Backer says lottery a jackpot for state
Posted on Monday, August 4, 2008
URL: http://www.nwanews.com/adg/News/233326/
John Bailey, an owner of apartment complexes who nearly single-handedly has funded the push for a state lottery in Arkansas, says he “certainly hopes” he and his business will benefit by its passage.
“There won’t be any direct benefit,” Bailey said. “I hope [any benefit will be ] the same benefit the whole state of Arkansas would have. It’s the sheer fact we’ll have a greater and larger pool of work force able to work for our company that will have college degrees. I hope the benefit will be for generations to come.”
Bailey, 50, of Little Rock, chief executive officer of Bailey Properties, says he has no financial interest in any companies that do business with lotteries and has no plans to expand into that field.
The proposed constitutional amendment to authorize the Legislature to create lotteries in Arkansas is the brainchild of Lt. Gov. Bill Halter. The plan would fund college scholarships.
Bailey would prefer not to be publicly connected to it.
“I just want to be involved with Bill Halter and give the people opportunity and hope,” Bailey said. “I don’t want to be involved in terms of names. If I didn’t have to put my name on the Ethics Commission documents I wouldn’t do it, and I know my family wouldn’t.”
Financial disclosures statement at the commission show Bailey has donated $ 400, 000 of the $ 477, 917 to Halter’s Hope for Arkansas committee. Most of the rest, $ 50, 000, came from Bailey’s father, Dr. Ted Bailey of Little Rock. Dr. Bailey’s other son, Ted, an apartment broker, gave $ 1, 000.
“If ol’ Johnny wishes he didn’t have to be disclosed, he can blame me,” said Scott Trotter of Little Rock, lawyer for the United Methodist Church, which is opposing the lottery. “The irony of it.”
Trotter chuckled as he recalled growing up down the street from Bailey in the Heights neighborhood of Little Rock. Trotter’s brother often played neighborhood football games with Bailey. And their families often socialized and played tennis at the Country Club of Little Rock.
In 1989, Trotter, as a lawyer for Common Cause, helped write the law requiring public disclosure of contributors to ballot committees.
“If you didn’t have to disclose, you might not know that one family is largely financing the lottery campaign,” Trotter said. “That shows it’s support is not broad-based and doesn’t have deep grass-roots support. It may poll well, but there wasn’t a big groundswell of volunteers if one family financed getting the signatures.”
Secretary of State Charlie Daniels on July 21 certified for the Nov. 4 ballot the proposed amendment after 91, 149 signatures from registered Arkansas voters were validated, eclipsing the necessary 77, 468.
Halter has insisted there is strong support for the lottery and “hundreds” of volunteers stepped forward to help.
Bailey has said the family was inspired to contribute to the campaign by Murphy Oil Corp. ’s pledge to give college scholarships to El Dorado High School graduates.
Larry Page, of Roland, director of the Arkansas Faith and Ethics Council, said there is a “vast difference in a corporation giving money out for scholarships” because in a lottery “people are fleeced in a giant numbers game with a slim, slim hope in winning a jackpot.”
Bailey responded, “I’m sorry for Larry Page for his interpretation and how he’s spinning. He needs to be truthful and not spin. [The lottery ] will be a watershed for our state.”
Bailey Properties, where his wife, Patti, also works, owns the historic Union Station in Little Rock, home of the company headquarters.
The company runs eight apartment complexes in Arkansas: Bowman Heights, Briarwood, Markham Oaks, Spring Valley and Waterford in Little Rock; Indian Hills and Overbrook in North Little Rock; and Capri in Blytheville.
Its other complexes are four in Shreveport, La.; three in Longview, Texas; two in Houston; and one in Texas City, Texas.
Altogether, there are about 4, 000 units.
The company was begun in 1956 by Bailey’s parents, Ted, an ear doctor, and Virginia. At that time it was known as Bailey Corp.
“She and my dad both enjoyed developing residential subdivisions,” Bailey said. “To name a few of their developments here in Little Rock: Foxcroft, Andover Square and St. Charles. My mother was a real visionary and had a tremendous ability to see what could be and make it happen. Her motto was ‘ just do it !’”
The company also developed Bowman Curve Shopping Center in Little Rock and the Live Oaks subdivision in Ferndale.
Among other properties, the company once owned the Hot Springs Factory Outlet Mall.
He said his only other business interest is timberland.
Bailey went to Little Rock schools, graduating from Central High School before graduating from the University of Arkansas at Fayetteville with a degree in finance and banking.
In the 1980 s, he lived in Chicago working as a floor trader at the Chicago Mercantile Exchange. He returned to Little Rock in 1992 to run the family business.
He and his wife have four children: Rachael, 23; Erik, 20; Eddie, 19; and Rebecca, 16.
The Baileys are involved in volunteering or raising money for the Boys and Girls Clubs of Little Rock, the Museum of Discovery in Little Rock, and Mount St. Mary Academy.
Kevin Crass, former Gov. Mike Huckabee’s attorney, has volunteered over the years at the Boys and Girls Club with Bailey.
He called Bailey “a good friend, fine person and family man. I would never question that his motives [with the lottery ] are pure. He was president of the board before me. He did a great job leading the organization. He was very generous with his time and money.”
Trotter said he hasn’t been “regular buddies” with Bailey since childhood, but they are friendly toward each other, even comparing notes on home remodeling several months ago.
Halter has praised Bailey’s “wonderful philanthropy.”
A Democrat, Bailey said he voted for Halter in the 2006 general election but can’t remember for sure whether he supported Halter in the Democratic primary.
He’s said he and his wife became involved in the lottery effort after hearing Halter talk about it on the radio.
If the lottery passes, he said he doesn’t care how the Legislature sets it up but wants it to be done so as much money as possible will be available so everyone who wants to go to a public or private college in Arkansas can do so.
Bailey said he’s “apprehensive” about the lottery’s chances of success. He said it’s possible he could give even more money to the lottery effort, now that the effort is shifting from signature gathering to a public-relations campaign.
But he said he hasn’t determined how much he’s willing to spend.
He’d rather not be the primary f inancial backer and wants others to step forward to help.
“This isn’t about us,” he said. “I don’t want it to be about us. I don’t want any attention here. This is about opportunity and hope.”