With a $3 billion deficit plaguing the state of New York for 2019-2020, they could look to sports betting to help close the gap according to the Press-Republican.
Speaking to lawmakers earlier this week, Governor Andrew Cuomo said that he wanted to allow sports betting in NY at four Upstate New York casinos:
– Tioga Downs in Tioga County (partnered with FanDuel)
– Resorts World Catskills in Sullivan County (partnered with Bet365)
– Rivers Casino in Schenectady County (partnered with Rush Interactive)
– del Lago in Seneca County (partnered with DraftKings)
Previously, in 2013, the Pari-Mutuel Wagering and Breeding Law allowed these casinos to accept bets, but the federal PASPA ban prevented it. With that in the rear-view mirror, Cuomo wants to move forward. State law requires the budget to be in place by April 1
Bad news for those hoping for broad sports betting in NY:
Cuomo's budget director Robert Mujica just said governor's office believes there would need to be a change to the state constitution to allow sports betting anywhere but in the existing private and Native casinos.
— Jon Campbell (@JonCampbellGAN) January 15, 2019
“It’s here, it’s a reality, and it will help generate activity in those casinos,” Cuomo said.
Oneida and Seneca tribal-owned casinos will also offer sports betting options in direct competition with 4 up-state NY casino sportsbooks. The Oneida struck a deal with Caesars Entertainment earlier this month.
NY Sports Betting Tax & Royalty Payments
Before Cuomo spoke to lawmakers, Sen. Joseph Addabbo Jr., who is also the new chairman of the Senate Racing, Gaming and Wagering Committee, said he expects Cuomo to make the sports betting initiative part of the state budget.
Addabbo also introduced some legislation that would require casinos to pay a 0.2 percent royalty of their handle for access to data from professional sports leagues and prominent third-parties in regards to sports betting. The bill also called for an 8.5 percent tax on their gross sports betting revenue.
DraftKings & FanDuel Positioned for NY Betting
What makes these four casinos more appealing are certain partnerships. For example, del Lago partnered with DraftKings in July at the Waterloo site and FanDuel partnered with Tioga Downs.
During this discussion, Cuomo did not address online betting. However, Section 1367 of the law states that an operator shall only accept wagers from bettors “physically present,” in a casino’s sports wagering lounge.
A spokesperson for the New York State Gaming Commission also declined to comment on the concept of online betting.
It’s probably safe to say that neighboring New Jersey’s Sports Betting handle of $1.25 billion with revenue of over $72 million fueled more interest for the Governor and the state of New York.
States With Legal Sports Betting USA
LEGAL & ACTIVE LEGAL, AWAITING LAUNCH POSSIBLE 2019 LAUNCH