Digital Wager Wire highlights the most important events impacting the domestic and international sports betting and gaming industry each week throughout the year.
Yonkers Mayor Voices Support for MGM Casino Proposal
Gaining favor with local lawmakers and community activists for a multi-billion-dollar gaming project that will drastically change the complexion of the neighborhood can be a difficult task. However, MGM has a leg up on most of the other 10 casino proposals for the three available downstate casino licenses in that it is already operating in the community as Empire City Casino by MGM Resorts at Yonkers Raceway.
Thus, it is one of two racinos currently operating in downstate New York and currently offers slots, video poker and Keno. But because it does not have a full Class III casino license, it cannot offer table games. However, that will change should it be awarded one of the three casino licenses, and a $2 billion renovation would begin along with a slight name change to MGM Empire City.
All proposals must be submitted by June 1st, and the New York State Gaming Commission (NYSGC) is scheduled to award the three downstate casino licenses on December 1st of this year. Yonkers Mayor Mike Spano believes MGM should not only be awarded one of the three licenses, but failure to do so could threaten the survival of its current operation.
Ohio Gov’s Tax Increase on Sportsbook Revenues Nixed
Ohio Governor Mike DeWine has a budget deficit on his hands that needs to be closed, and he also wants the taxpayers to partially fund a new stadium for the Cleveland Browns. Generating additional money to solve both those problems is weighing heavily on his mind these days, which is why he decided to double the tax rate on sportsbooks’ revenues from 20% to 40%.
This is the second time the governor has gone to this particular well after raising the tax rate on sportsbooks’ revenues from 10% to 20% only months after the industry launched in January 2023. However, this time around his colleagues in the House were not as welcoming to a tax hike and voted to approve House Bill 96, sans the increase.
Despite this recent setback, the tax increase is not necessarily a dead issue, as the Senate could reinsert it in their budget proposal, but it is unlikely the upper chamber will do so. Many lawmakers are still unsure how the previous increase has affected the industry long-term.
