NY Governor Paterson Announces Details Of Agreement With City On State Takeover Of New York City OTB

1,500 OTB Workers Will Report To Work Monday Morning; Legislative Action to be Taken up By Legislature Tomorrow

June 15, 2008 -- Today New York Governor David A. Paterson announced the details of the City and State agreement on an immediate State takeover of New York City Off-Track Betting (OTB).

OTB window, New York City: Photo by Adam Kuban (CC)

“The finalization of this agreement is a win for the state, a win for the city of New York and a win for the people whose livelihoods depend on a well-run OTB,” said Governor David A. Paterson. "I thank the Mayor and his staff for their hard work this weekend, Speaker Silver and Majority Leader Bruno for their leadership, and welcome 1,500 OTB employees back to work on Monday.”

Per the agreement between the City and the State there will be an immediate takeover of OTB by a newly formed state public benefit corporation. The legislation will be taken up Monday by the Legislature. In addition, the City will temporarily postpone its layoff notices, pending completion of the takeover, at which point they will be rescinded. As part of this agreement, the City will continue to receive the portion of the surcharge that is related to bets placed on races at tracks within the city limits. In 2007, this amounted to $4.25 million.

In addition, the City will agree to continue to broadcast races on behalf of NYC OTB for a period of three years over the city's channels 71 and 73 on Time Warner Cable. NYC OTB will pay the City $3.25 million per year during the term of this agreement. After three years, the parties will negotiate in good faith to see if a mutually acceptable agreement can be made to continue NYC OTB's access to Channel 71 and Channel 73.

Senate Majority Leader Joe Bruno said: “I am very pleased that we have reached a final agreement that assures that 1500 OTB workers will have a job tomorrow morning and that we can begin discussions on a long term resolution of off track betting that compliments the investments we have made at our thoroughbred and harness tracks. I congratulate Governor Paterson and Mayor Bloomberg for their efforts to resolve their differences and look forward to concluding other outstanding issues involving NYRA and Aqueduct before we conclude the session on June 23.”

Assembly Speaker Sheldon Silver said: “We are pleased to have been able to help work out an agreement for an immediate state takeover of NYC OTB. OTB is an important part of the thoroughbred racing industry, and racing is important part of the state economy. There is much that has to change to make the thoroughbred racing industry in general and OTB in particular more profitable, and this agreement helps move us toward that goal. I want to express my thanks to Assembly Racing and Wagering Committee Chair Gary Pretlow and to Governor Paterson, Senator Bruno and DC 37 Executive Director Lillian Roberts.”

Source: New York Governor

Bookmark/Search this post with:

 •    •    •    •    •    •    •    •    •    •    •    •