Casinos and Racetracks Co-Existing

Each month brings a new set of hassles for Atlantic City it seems. First they had to deal with the racetracks wanting slot machines, an issue they have been able to put off for about four years. Then they had to deal with New York legalizing slot machines. Then they had to deal with Pennsylvania legalizing slot machines, and bringing them in so close that you can smell them on the Boardwalk. Now the racetracks are back at them again, asking the state for slot machines again.

Casinos have supported the racing industry for the last four years, giving them more than $80 million over that same amount of time. The tracks have agreed not to try and get slot machines while they are being subsidized, but that agreement is due to run out at the end of next year.

It is possible that the agreement will be renewed, but many think that if it is renewed, the tracks are going to be asking for more money now that they see what slot machines have done for PA tracks. That agreement must be renewed by the end of this year, and that is proving to be a tricky thing for AC, because they are already losing money to neighboring states’ slot machines.

Monmouth Park gets the Breeders Cup this year, which will help sales but it will be a short lived boost. Slot machine supporters say that neighboring states can be used as templates for adding slot machines to Jersey’s tracks as well. However, lawmakers from South Jersey say that by it has been hard enough for the casinos competing with neighboring states, why would they add in more competition if they didn’t have to?


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