Is it possible that New York City will become a major center for actual casinos? At the very least, it appears that this is what state officials are considering, given that gaming establishments in upstate New York City are currently experiencing some of their most difficult times.
At least one meeting between gambling industry executives and legislative representatives is planned for Albany
During this event, Assembly Speaker Carl E. Heastie was also seen proposing a new concept that would introduce three full-scale gambling casinos in the city region itself.
The senators believe that if this idea were to be implemented, it would not only create hundreds of new job opportunities, but it would also generate millions of dollars for the state each year. They anticipate a financial recovery for the city of New York at a time when the “failure of the Amazon agreement in Queens” and the financial crisis to repair the dilapidated subways are gaining attention. This comes at a time when the city’s finances are expected to improve.
While one proposal detailed plans to convert the Aqueduct Raceway, including Long Island and Yonkers Raceway, into full-fledged casinos, the other discussed a bidding process for three licenses for a new gambling center outside of Manhattan. While the first proposal detailed plans to convert the Aqueduct Raceway, as well as the Long Island and Yonkers Raceways, into full-fledged casinos, the second proposal discussed a different type of casino.
Both the chairwoman of the Assembly Gambling Committee and the Senate Gaming Committee have stated their support for expanding gaming opportunities in New York City, as has the Speaker of the House. Carl E. Hestie is remaining calm in the face of the escalating proposal. Governor Andrew M. Cuomo, on the other hand, has shown little sign of warming to the idea of a state-level expansion on this scale.
Furthermore, Andrea Stewart-Cousins, the Democratic Senate leader, has not provided any information about the potential locations of the new casinos that have been proposed.
Given that New York previously agreed not to issue any new gambling licenses until 2023, the three gaming corporations have proposed a one-hundred-million-dollar compensation package for remote casino gambling operators. Furthermore, each of the brands has proposed to the state that if given the opportunity, they will invest at least $500 million in the downstate market.
Gary Pretlow, Assembly member and chairman of the Racing and Wagering Committee, has enthusiastically supported this proposal. According to Pretlow, the amount of $500 would unquestionably be added to the annual budget due to the type of financial crisis that New York City is currently experiencing. This proposal was approved right away. Furthermore, the casinos in the upstate region have approved the brand-new expansion plan.
The proposal’s most significant challenge as it climbs the mountain has come from the liberal Democrats in the State Assembly in Albany. They believe that moving forward with this proposal will increase the state’s financial burden.
Mr. Coumo has not outright rejected the idea of establishing additional gambling hubs within the state of New York until 2023, but he has made it clear that he is skeptical. Sheldon Adelson, the owner of Las Vegas Sands and a supporter of Republican politicians, is planning to build an expensive casino in New York City in the future. He appears to be more interested in the proposals made by Sheldon Adelson.
Former Governor David Paterson has already been chosen by the corporation to advocate for the construction project. Mr. Paterson believes that the presence of a high-end gaming hub in a vital city like New York would undoubtedly increase the number of international tourists who visit the city on an annual basis.
In a recent interview, he stated that the proposal should have been brought to his attention while he was working for the company, when New York was facing a $21 billion deficit.
In addition, he discussed the state budget shortfalls, the decreased revenue from income tax, the obstacles to marijuana legalization, and other proposals for the establishment of alternative revenue gateways.
As a result of this impending disaster, the governor and lawmakers have given the go-ahead for what is known as the pied-a-terre tax over the last week. This innovative new scheme focuses on ultra-luxurious second homes in New York City.
Furthermore, New York is under stress as a result of external pressure from neighboring states. For example, the state of New Jersey has approved plans to expand gambling and has gained internal support. Yonkers’ mayor has expressed support for the addition of live-dealer table games to the Empire City casino, which will coexist with the existing slot machines. Members of the Westchester Business Council were also heard discussing the effects of Empire City.
According to MGM Resorts, which owns Yonkers Raceway, and Genting Group, which operates the Resorts World racino at Aqueduct, they could convert their current bases into fully operational casinos in a matter of months. In contrast, any outside organization would have to position itself and manage each project from the ground up.
Michael Levoff, a Genting Group spokesperson, said the Resorts World racino is just one authorization away from becoming a reliable operator that has already generated more than $2 billion in revenue in seven years. The Genting Group provided this information.
During this time, it appears that Las Vegas Sands is capitalizing on its construction appeal and is in the process of negotiating with a favorable union partnership that will go above and beyond to ensure the agreement is met. One of these supporters, the president of the Building Construction and Trades Council, had previously advocated for the development of downstate casinos to help the state’s dwindling revenue. This fan club was one of the backers.
However, the Business Council of New York has already petitioned Mr. Cuomo in support of its expansion plans, arguing that it could immediately generate $1.5 billion in revenue to fill the revenue gap. In addition, the council admitted that they were opposed to “any quick-fix method to convert existing racinos” in relation to their proposal. As a result, they filed a bid protest.
When it came to moving forward with gaming projects, the state was always slow and hesitant to reach an agreement. The first modern franchises were not granted in New York until after the Supreme Court recognized the rights of Native Americans in the 1980s and 1990s, including a 1993 compact with the governor at the time, Mario M. Cuomo.
Finally, racinos opened in the state in 2004, eventually expanding to nine different locations across the state. Despite the state’s capacity warnings, Governor Cuomo signed a bond legislation bill in 2013 that allowed for the addition of seven new casinos, which are now fully operational. Furthermore, the governor stated at the time that the facilities in the upstate would be covered before those in the downstate. Furthermore, he promised that no new licenses would be issued before 2023.
However, the newly licensed casinos fell far short of their revenue projections. And two of them were the Resort and Casino at Del Lago, which had already received a debt warning, and the Resorts World Catskills, which is owned by Empire Resorts and had suffered significant losses the previous year.
Mr. Cuomo granted permission to all of these upstate casinos, including the Del Lago Resort and Casino, Resorts World Catskills, Tioga Downs Casino Resort, and Rivers Casino, to offer sports betting in exchange for a single sign-off. However, these establishments made it impossible for New Jersey residents to participate in mobile sports betting.
Around this time, New York’s governor appeared to recognize the importance of having a casino in the state and suggested competitive bidding, which had the potential to drive the price to levels incomprehensibly higher than the $500 million proposed by Genting and MGM.
It was a clear appeal on the part of the casino corporations to point to an infinite number of potential visitors to New York, which included an estimated 65 million people each year.
According to Ron Reese, a Sands Corporation representative, the state has a massive demographic opportunity, which is the best-kept secret for the success of multi-billion dollar casino business enterprises.
Indeed, Governor Cuomo has referred to a casino in New York as “the golden franchise” of various gambling games. The governor only emphasized the importance of a competitive bidding process in order to provide the most accurate estimate to the people of New York.