Sunday Favorites: The Case Against The One-Armed-Bandit

The 1930s brought tough times to Florida, putting an end to the extravagant era of leisure homes and high-rises following the Florida Land Boom of the 1920s. As the Great Depression hit, it burst the economic bubble and left Florida with an empty treasury and a trail of unpaid road and treasury bonds. The sun-soaked state faced challenges that echoed the national struggle during those hard times, according to Pamela Gibson in her 1986 article, “Florida and the One-Year, One-Arm Bandit”.

Slot machines confiscated in Datona Beach.

State Archives of Florida, Florida Memory

Amid economic hardship, as families tightened their belts, a new avenue for prosperity emerged - slot machines. While most households were making do with less, land developers and forward-thinking businessmen eyed these coin machines as a potential pitfall, offering a modern twist to the American dream they could dangle excitedly before eager citizens.

Businessmen who profited by promoting Florida as a land of leisure and luxury lobbied the Florida House to pass House Bill 1131, legalizing certain types of coin machines.

At first glance, the bill seemed to grant citizens access to machines categorized as skill machines, like pinball, and vending machines, such as those for candy or cigarettes. However, it also encompassed "automatic vending machines with a premium feature that may or may not vend when a coin is deposited." This description covertly included slot machines, later notoriously named the one-armed bandit.

Another controversial aspect of the bill was that those businesses operating the machines had to be licensed through the State Comptroller.

In addition, Section 12 stated that citizens did not have the right to pass ordinances prohibiting the use of these gambling devices. This part was highly contested because the Florida Constitution explicitly criminalized lotteries, dice, and gambling equipment, Gibson said.

Despite public outcry, the bill became law on June 10, 1935, without Governor David Sholtz’s approval.

The new licensing law took effect on Oct. 1, 1936. In Manatee County, 20 coin machines were seized and auctioned off by the state for non-payment of operator licensing fees, according to an article in the Bradenton Herald. Unlicensed businesses in Tampa and Jacksonville were the next to lose their privileges.

In response, citizen-led groups launched significant anti-slot-machine campaigns. Despite lobbyists showcasing the $350,000 in taxes generated by slots, opponents contended that these machines were detrimental to the economy. They argued that slot machines were diverting millions of dollars that could otherwise support purchases of essential items like food, clothing, household goods, homes, and various commodities crucial for fostering stability and a robust economy.

“Their weapon was the press, and their goal was public opinion,” Gibson wrote.  “Many journalists like the Bradenton-Herald joined in wishing to rid the state slot machines.

An onslaught of attention-getting headlines ensued, dubbing slot machines “the One-Armed Bandit” implying that they stole money from families and local businesses.  

“Let’s be through with the One-Armed Bandit!” they said.

There was a silver lining in the form of a clause that allowed 20 percent of voters to petition county officials to revoke the licensing requirement. In Palm County citizens attempted to do this, however, the legitimacy of their votes was questioned and ultimately discarded due to unpaid poll taxes.

The case went all the way to the Florida Supreme Court, with other lawsuits popping up in all major Florida cities.

Meanwhile, in Manatee County all small businesses that had once earned change off vending machines and gaming devices had given up the ghost, ultimately having to pay more in taxes than they earned from them. The 1936 directory had no mention of coin-operated machines anywhere in the county.

Manatee County voters turned out in significant numbers on election day that year, benefiting from favorable weather conditions. The newspaper reported that the county aligned itself with the broader state and national trends, with the county decisively rejecting slot machines, with 15 of 19 precincts reporting 1,179 votes against them and 347 in favor, reflecting a clear public stance against the One-Arm Bandit. Duette stood out as the sole precinct supporting the machines, with a close vote of 12 in favor and 11 against.

Following Manatee County's lead, other counties swiftly followed suit, leading to the expulsion of slot machines within a year. This marked the end of the One-Armed Bandit era in Florida.