To boost state revenue, license more casinos
New York faces extraordinary pressure as lawmakers decide how to fill the state’s growing budget deficit.
I have been through this grueling budget process. As governor, I was forced to transform the budget process just to keep New York from stopping dead in its tracks.
As I learned, in a time of budget distress, there are two options: Cut spending or raise revenue. With a hole this deep, we need to study every possible solution, because there is no silver bullet.
Right now, spending cuts are not an option as New Yorkers battle to recover from COVID -19. Neighborhoods have been decimated and need to be rebuilt.
In terms of additional revenue, some want to tax people right out of the state. It would provide some revenue, but at what cost? We can be smart and find new revenue streams — like awarding the three remaining downstate casino licenses, resulting in an immediate influx of $1.5 billion and new union jobs. New York voters already approved the three licenses, and lawmakers just need to expedite the process to reap the benefits.
Expanding downstate gaming and awarding three licenses will bring:
$1.5 billion in immediate revenue
$900 million in new, reoccurring annual revenue
■ 120,000 new direct and indirect jobs
■ 70,000 local union construction jobs and career training opportunities
■ $4.2 billion in annual union construction job wages
$7.2 billion in annual operation job wages
$7.5 billion of new capital invested in New York
All of this can and will be done without any state or federal subsidies. None.
Furthermore, as companies bid for a casino license in New York, our government has the chance to hold them to the highest minority and womenowned business enterprise standards. Minority businesses have been decimated during the pandemic, and now we can build back stronger and in an equitable and sustainable manner.
These once-in-a-lifetime results will be a reality only if the state has an open and transparent process for all three remaining licenses to reach the maximum benefits and to put New Yorkers back to work.