A recently filed bill that would allow slot machines at horse tracks in the Garden State has bipartisan support and would bring revenue to the Boardwalk casinos as well as the state’s tax coffers.
Atlantic City Consortium
New Jersey State Senator Joe Pennacchio is back in the ring to take another swing at bringing slot machines to racetracks in New Jersey as a sponsor of SCR14. The bill would create a consortium of Atlantic City casinos to control the horse track slots with the revenue being divided unevenly – the larger the casino presence, the bigger the cut of the revenue.
“We are leaving untapped money on the table,” said Pennacchio. “The monies generated would be constitutionally dedicated with dollars going to Atlantic City infrastructure, the horse racing industry, the consortium, and state taxpayers.”
“Why does New Jersey continue to sit on the sidelines and have New York take advantage of a lucrative market which we should also be engaged in? A racino at the Meadowlands alone would be a game changer for New Jersey taxpayers,” added Pennacchio.
Should the bill pass both chambers, then it would be left to the voters to decide in November whether they want slot machines at local horse tracks.
Why does New Jersey continue to sit on the side lines and have New York take advantage of a lucrative market which we should also be engaged in?
A racino at the Meadowlands alone would be a game changer for New Jersey taxpayers. https://t.co/eSzVqJTUiR— Sen. Joe Pennacchio (@joepennacchio) February 13, 2024
Big Financial Boost
Unlike the 8% the casinos pay to the state on gross receipts, the tax rate on slots at New Jersey’s racinos would be substantially higher at 50%, much like New York’s tax rate on its own racinos. It is little wonder why several New Jersey legislators are pushing for this new legislation based on the massive amount of money produced by New York’s seven racinos.
Those racinos generated $2.2 billion in revenue, which swelled the state’s tax coffers by a whopping $932 million. Consider that the nine Atlantic City casinos contributed a combined $707 million in taxes to New Jersey while New York’s Yonkers racino produced $614 million in tax revenue all by itself.
The Meadowlands in East Rutherford, Monmouth Park in Oceanport, and Freehold Raceway would all be eligible to house slot machines should the bill pass the House and Senate before being given a final stamp of approval by the voters. Those facilities already offer retail and mobile sports betting.
Gaming Protection Bill Filed
Senator Joseph Cryan’s Senate Bill 2156 would establish stricter guidelines for gaming advertising in New Jersey including restricting “advertising for casino games and sports pools under certain circumstances.”
Cryan commented on his legislation by saying, “Gambling on casino games or sporting events is a potentially addictive behavior that can result in mental, social, and financial stresses to an individual, their family, and their community. While gambling in various forms and through various mediums is legal in this state, it is necessary to take steps to protect vulnerable populations… from the adverse effects associated with gambling.”
According to the language in the bill, New Jersey Division of Gaming Enforcement would be required to “promulgate rules to restrict advertisements made by casino licensees and sports wagering licensees, and their contracted operators, that relate to casino games or sports wagering, only if those advertisements are fraudulent or deceptive, are directed at individuals on the lawfully established self-exclusion list, or directly appeal to individuals under the legal age to gamble or wager.”
