As the bidding and pitching process for new casinos to win licenses in and around New York City heats up, we’ll be taking a closer look at some of the local potential impacts. Known collectively as the “downstate New York” casino license tender, at least one new casino will open with two other full-fledged casino licenses possibly going to existing lottery casinos in the area.
The first and second licenses are “widely believed” to be destined for the walls of Resorts World New York in Jamaica, Queens, and MGM’s Empire City Casino at Yonkers Raceway in that city. Both locations already host large and popular video lottery terminal-fed (VLT) slot machines and table games and could conceivably garner one or both of the first licenses while a third license is entirely up for grabs under costly terms and potentially huge financial benefits.
The Minimum Bid is $500 Million
The minimum bid for each of the three licenses is half a billion dollars, however, as observers have noted in the past, the NYC area could be the biggest untapped casino market on earth with a populace of some 19 million people.
The Brooklyn Paper will be the main source for our article today along with our own reporting and a bag of facts generated by gambling authorities in the state, the World Casino Directory, and other sources as noted throughout the story.
Thor Equities is looking to develop property it owns on Coney Island, a historical icon as well as a southern Brooklyn neighborhood where opinions run hot and cold as well as tepidly indifferent to the prospects of a large new Las Vegas-style casino and entertainment complex there.
Developers believe some 4,000 new jobs would be directly and indirectly created in Brooklyn if the consortium’s eventual bid is ultimately accepted. Not only jobs but good-paying union jobs according to former New York City council member and a pro-casino task force member, Robert Cornegy.
According to the local paper, Cornegy believes that jobs with a decent wage and year-round employment would be created in the neighborhood between gaming, hospitality, and hotel operators opening doors to the middle class for many people who have not had such opportunities in front of them in some time.
Cornegy reportedly told Brooklyn Paper: “Being able to bring decent paying, year-round jobs is something that I feel like I am compelled to push and demand.
“For people of color, black people in particular, labor has created a pathway to the middle class in a lot of different industries. The hotel trade is one of the more lucrative opportunities.”
While some people don’t hold these sorts of jobs in high esteem, Cornegy says they can pay as much as $30 per hour and offer a chance at upward mobility as well as enticing benefits.
He particularly focused on the fact that the neighborhood already has its own “brand” and that built-in advantage could be wasted if it’s not used.
Community Board 13 is a New York City government entity that serves the areas of Brighton Beach, Coney Island, Gravesend, and Sea Gate. Public meetings are still held via Zoom rather than in person but the Board is still active.
Community Board 13 chair, Lucy Mujica Diaz seems to be wary of that number and told the Papoer that she wonders what percentage of those jobs would actually go to community members and stated that the jobs might not be the best match for many community members.
Mujica Diaz is quoted as saying, “I don’t see someone in hospitality lasting that long,” according to Brooklyn Paper. “I don’t think it would be a good fit for some of the people because there are still unanswered questions.”
Statistics for the neighborhood show a slightly higher unemployment rate than the rest of the city overall with 5.6% in Kings County compared to 5.3% for NYC overall.
A member of the “casino bidding team” purportedly stated that recruitment and job training would be preferentially provided to locals. Local job fairs and other “pipelines” of opportunity would also be afforded to local citizens. It may be of interest to note that when Bally’s was pitching its Chicago Casino, the first real casino ever in the nation’s third-largest city, a promised number of jobs and matches was part of the package.
According to Carnegie’s thinking: “I think it’s important to note how far, even when we talk about the disparities in the city, those disparity numbers are always increased in a place like Coney Island,” he said.
Diaz noted that the neighborhood’s current seasonal nature can feed into the lack of job opportunities as well. The Coney Island poverty rate is reportedly 24% while that of the city overall stands at 20%. She worries that locals wouldn’t apply for the obs as even making a single dollar more in salary can increase the rent people in public housing must pay. Over 100,000 New Yorkers live in one of the 79 developments operated by the New York City Housing Authority with about 11,000 Community Board 13 area residents being part of that number. C13 also serves Brighton Beach.
Better Pay is Not Always Attractive
Diaz explained in more detail how the current structure of eligibility for that housing complicates matters and asserted she was confident that not even 50% of the jobs would go to locals. Some senior residents simply don’t want or need full-time “lucrative” employment as the income would simply lower the income insurance benefits they already receive from Social Security.
There are regular community members who are opposed to the casino being located there as well. However, when it comes to “grassroots” organizations it’s not always easy or even possible to know true motives as casino license competitors and other “stakeholders” can easily influence the voice of opposition movements when checks and balances are not established prior the bidding process getting underway. Preliminary bidding for the licenses has officially been underway for several months.
The Paper noted that casino proponents are still in the process of “workshopping” a proposal and haven’t completed their RFP or Request for Proposal which city casino planners began offering in early January.
The state has still not published a submission date for the proposals being sought by the New York State Gaming Facility Location Board.
Cornegy maintains the project would be good for job creation. “This project looks to be one of the largest job creators in southern Brooklyn,” he said.
Source: Developers say proposed Coney Island casino would bring 4,000 new jobs to the People’s Playground, The Brooklyn Paper, June 15, 2023
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Bally’s Corp. and IGT, two major gambling businesses with headquarters in America’s smallest but most densely populated state, had a chance to pitch their plan for online casino gambling in Rhode Island, but not every stakeholder in government the local gambling economy appeared to be happy about the prospect as proposed.
Providence, Rhode Island-based International Game Technology (IGT) has announced that it has extended its contract with the Rhode Island Lottery (RIL) to provide sports betting technology to the state for another three years.
Bally’s Corp. wants to open up online casino gambling in America’s smallest, yet most densely populated state. Officials announced on Wednesday that they intend to seek approval from the Rhode Island government to bring fully licensed and regulated online gambling to the state. Bally’s is headquartered in the state’s capital, Providence.
