New York Governor Fails To Include Online Casino In Budget
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Just days after New York State Sen. Joseph Addabbo introduced iCasino legislation for the second year in a row, Gov. Kathy Hochul effectively put the kibosh on it for 2024.
In her annual budget, Hochul did not include any mention of online casinolegalization or the potential $475 million in annual tax revenue Addabbo projects. By not including it in her budget, this sends a message to the legislature that the bill is not of prime importance.
Hochul’s budget, which comes in at $233 billion, does include some gambling news — all of it related to horse betting and none of it earth-shattering. The governor wants to extend the current parimutuel tax rates and simulcast revisions, as well as allow off-track betting parlors to have flexibility in how they spend their capital funds.
Calls to Addabbo were not immediately returned Tuesday, but he has said in the past that without Hochul’s support, he wouldn’t be pushing terribly hard to get an iCasino bill passed this year. But Addabbo could still push the bill across, and if it passes, the Senate could enter into negotiations with the governor.
The legislation
Addabbo’s billproposes a 30.5% tax rate on gross gaming revenue for licensees. Similar to the previous year’s attempt, any casino or operator engaged in iGaming must submit a onetime fee of $2 million to the New York State Gaming Commission. Additionally, the bill mandates a onetime fee of $10 million for any independent contractor providing an iGaming platform for an operator.
The eligibility for licenses extends beyond resort casinos to include federally recognized tribes with state relationships, video lottery parlors featuring live racing, and existing sports betting operators.
This year’s bill introduces iLottery and designates $11 million in funding for individuals struggling with gambling addiction.
