State will take over OTB

Friday the 13th turned out to be a lucky day for nearly 1,500 New York City Off Track Betting (OTB) workers, when Governor David Paterson announced that the State will keep the operation going.
The agreement, reached by the Patterson, Senate Majority Leader Joe Bruno and Assembly Speaker Sheldon Silver, calls for a state takeover of the New York City OTB through the creation of legislation to create a new State public benefit corporation n the Empire State Off-Track Betting Corporation.
“New York State will immediately begin to pursue initiatives to substantially improve the profitability of OTB,” Patterson said.
These moves would include eliminating functional overlaps between the New York City OTB, the New York Racing Association and the other five OTB branches around the state.
In addition OTB would close its headquarters in the pricey Times Square section of Manhattan and relocate to Aqueduct Race Track, a move which will save $5 million per year in rent, according to Paterson.
Mayor Michael Bloomberg had announced that Sunday, June 15 was OTB’s last day in the city, “period, end of story.” However, at the press conference on Tuesday, June 10, he suggested, “If the state wants to take it over, fine, happy to let them do it.”
Apparently, with the threatened loss of jobs and loss of revenue to the thoroughbred racing industry, Paterson, Bruno (whose district includes Saratoga race track and many horse farms) and Silver found a way to take the Mayor up on his offer.
“We are pleased to have played a key role in partnering with Governor Paterson, Mayor Bloomberg and the Assembly to craft a solution that keeps New York City OTB open and viable, and protects the jobs and quality-of-life of 1500 employees and their families,” Bruno said.
Silver said, “There is simply no way that we could let New York City OTB shut down.”
The chairs of the Assembly and Senate committees which oversee racing in the state had praise for the agreement; none could match the relief expressed by Lillian Roberts, Executive Director of District Council 37, which represents the workers.
“The winners in all of this are the 1,500 OTB employees who can sleep soundly tonight knowing that they are no longer at risk of losing their jobs and New Yorkers who will continue to benefit from the 1.1 billion dollars generated by the New York City OTB,” she said.
Almost lost in the congratulations was Patterson’s announcement that he had tapped State Senator John Sabini to serve as Chair of the New York State Racing and Wagering Board.
The position, which has a six-year term and pays $120,800 per year, requires confirmation by the Senate. “Upon confirmation, State Senator Sabini will step down from his Senate seat,” Paterson said.
Sabini’s political future has been in doubt since he was arrested for Driving While Intoxicated on September 27, 2007. He pleaded guilty to a lesser charge of Driving While Ability Impaired on February 5.
City Councilmember Hiram Monserrate, who came within 400 votes of winning the 2006 Democratic primary against Sabini, received the County Democrats’ endorsement for the seat in late May.
Sabini has been ranking Minority member of the Senate Racing, Gaming and Wagering Committee during his term. “There is no one more knowledgeable about these issues and I am confident that he will help establish a viable and profitable long term structure for off-track betting in New York,” Paterson said.