A New York regulatory board on January 3 officially began the bidding process to award three lucrative casino franchises in New York City or surrounding suburbs. It’s a meaningful long-term effort on racetracks, existing track-based racecourses, the state’s own lottery system, and potentially some suburban casinos that opened later. when casino gambling was most recently expanded in New York in 2013.
The Gaming Facility Venue Council, a three-member panel of volunteers, approved the submission of the registration request. It begins to officially start an understate casino bidding war that in practical, financial and political ways began over a year ago between gambling hobbyists from all over the world. The world wishes to legally participate in the New York City gambling market.
The board said applicants must agree to invest at least $500 million in their projects and also pay at least $500 million in licensing fees to the state if they are successful with their bid.
Various interests have spawned casino ideas everywhere from Midtown Manhattan to Coney Island to a large-scale casino expansion in New York City. Aqueduct race track.
Bid winners will have a timetable for their initial license term: 10 years, if history is a guide in the Empire State, to be renewed for the next several years.
Bidders must also provide a description of the “competitive environment” they anticipate in the next 10 years after opening the casino and the potential impact on existing commercial casinos, VLT gaming facilities , racetrack, tribal casinos, “or other New York businesses.”
“Applicants should describe how they intend to expand the relevant market by attracting new visitors, as opposed to merely transferring visitors from existing gaming venues in the region,” the request said. new to the application stated.
A decade ago, officials had similarly high expectations, unproven as it has largely been, publicly predicting that four suburban casino licenses would be awarded after a language change. The 2013 constitution would create “destination” gambling and entertainment facilities to change the fate of the state’s economic downturn areas.
The panel currently considering future applications must take into account a range of factors, from the financial viability of the bidders, the amount of “quality” work to be created, the arrangement agreement employment with unions to their past experience and ability to adhere to a “reasonable and workable construction schedule” for future casino growth.
Casino operators must also agree to transfer 25 percent of the revenue from the slot machines and 10 percent of the proceeds from other gambling to the state of New York. Those levels, as seen with track-based racecourses and suburban commercial casinos, can always be changed by state officials in the coming years to levels more favorable to owners. own casino.
State officials, in the New York 2022 budget, approved a process for issuing another three suburban casino licenses.
The license is not expected to be awarded until, at the earliest, sometime later this year. The only important deadline the sitting panel agreed to today during a briefing held at its Manhattan office: February 3. That’s when potential bidders must submit the state questionnaire. their first on the awarding process.
