By Bianca Fortis
A proposed constitutional amendment that would allow the development of seven full-scale casinos throughout New York state could potentially help Resorts World casino expand, state Sen. Joseph Addabbo (D-Howard Beach) said.
The proposed amendment will appear as a referendum on the November ballot and will ask voters to “allow the Legislature to authorize and regulate up to seven casinos for the legislated purposes of promoting job growth, increasing aid to schools and permitting local governments to lower property taxes through revenues generated.”
The original state constitution banned gambling, but over time amendments have been made to allow some forms of gambling, such as video lottery terminals and racetrack betting pools. Full-scale casinos now are allowed only on land owned by native Americans.
In July, Gov. Andrew Cuomo signed legislation that would establish four casinos upstate. This would come into effect only if the referendum is passed. There would be a seven-year moratorium before any casino could be authorized in New York City. The moratorium also applies to Long Island and Westchester, Rockland and Putnam counties.
After the exclusivity period, Resorts World in Ozone Park would have the opportunity to expand into a full gaming site, Addabbo said. It currently offers only video lottery terminals.
Addabbo said he initially believed the legislation would benefit Resorts World more.
“I have Resorts World in my district,” he said. “I need to maximize potential in terms of jobs.”
He said he decided to support the amendment because some of the revenue will be directed into the budgets of schools throughout the state.
According to the governor’s office, revenues from the casino will provide funds to schools as well as promote job growth and allow for lower property taxes.
But opponents of the referendum say the amendment will not be as beneficial as some elected officials say it will be.
The Coalition Against Gambling in New York contends disbursement of revenues would result in just a few dollars for both property tax relief and aid to education, especially for downstate residents.
The amendment is “just bad public policy” because it relies on problem and pathological gamblers, who contribute as much as 50 percent of casino revenues, said Dave Colavito, a member of the coalition.
“If you ask the average New York voter, ‘Do you think we should be raising money for education by marketing to and cultivating problem gamblers?’ most would say no,” he said.
Colavito said the wording of the referendum is one-sided, an argument made by many state officials.
“All they talk about is the benefits and not the costs that get passed into communities,” he said.
Those costs include increased crime, the cost of law enforcement, more welfare and food stamp recipients and potentially more bankruptcy filings, he said.
A Siena College poll released Monday indicated that 55 percent of voters support the amendment if they are provided with the wording that will appear on the ballot. Some 42 percent said they would vote against it.
But if voters are asked if they would support passing an amendment “to allow non-Indian, Las Vegas-style casinos to be built in New York,” they are evenly divided, 46 percent to 46 percent, the poll found.
Colavito said there should be public hearings about the amendment.
“It’s fine to say, ‘Let the people decide,’” he said. “They should, but they need to make an informed decision.”
Reach reporter Bianca Fortis by email at bfortis@cnglocal.com or by phone at 718-260-4546.
