Published on: September 17, 2024, 10:26h.
Last updated on: September 17, 2024, 10:38h.
A prominent Democratic figure in the New York State Senate recently expressed concerns over Gov. Kathy Hochul’s reluctance to address legislation that aims to expedite the issuance of three downstate casino licenses authorized by the legislature in 2013.
The 2013 legislation introduced four upstate and three downstate licenses for slot machines and live dealer table games, with sports betting privileges added later.
A 10-year moratorium was imposed on the issuance of downstate licenses to allow upstate properties to establish their customer base without facing competition from downstate operations.
The three downstate licenses are highly sought after, with major casino operators preparing to submit bids. These resort developments, each requiring a $500 million licensing fee, are expected to generate crucial tax revenue for the state to support infrastructure upgrades for public transportation amidst a shrinking taxpayer base.
Governor’s Delay in Process
State Sen. Joe Addabbo (D-Queens), head of the Racing, Gaming, and Wagering Committee, sponsored a bill earlier this year to expedite the downstate casino licensing process. The bill, supported by Assemblyman Gary Pretlow (D-Mount Vernon), aimed to set an earlier deadline for submitting bids to the New York Gaming Facility Location Board compared to the current deadline of June 27, 2025.
Despite passing through the Assembly and Senate in June, the bill by Addabbo and Pretlow remains stalled after the August 31 deadline for submitting bids. There are concerns that the governor may veto the bill.
Addabbo expressed optimism in an interview with Spectrum News that Hochul will reconsider her stance and realize the benefits of expediting the process. The casinos are not only expected to bring in $1.5 billion in revenue immediately but also create thousands of jobs, according to Addabbo.
These are high-quality union jobs. Each site is projected to provide at least a thousand construction jobs, followed by 2,500 post-construction,” Addabbo stated.
There are eleven bids in consideration for the three licenses, with indications that two licenses may already be designated for MGM Resorts’ Empire City Casino in Yonkers and Genting’s Resorts World New York City in Queens, both of which currently offer slot-like games.
Current Timeline for Licensing
Unless Hochul aligns with Addabbo and Pretlow’s timeline for the downstate casinos, the Gaming Facility Location Board is set to announce the winners by December 1, 2025.
Other prominent casino companies preparing bids include Caesars Entertainment in Times Square, Wynn Resorts in Hudson Yards, and Las Vegas Sands on Long Island.
Proposals from Hard Rock for an integrated resort at New York Mets’ Citi Field in Queens, Mohegan near the United Nations Headquarters, Bally’s at a golf course in the Bronx, and a bid for Coney Island led by the Chickasaw Nation are also in the works.