New York OTB Delays Closure Of Gambling Facilities
Off-Track betting was considered to be dead in New York even though many high ranking political figures have tried to find ways to keep the facilities open. On Saturday, the board of the OTC Corporation voted in favor of delaying the shutdown date, which was scheduled for Sunday.
OTB will continue to operate for another year, with the hopes that the company can emerge from bankruptcy at some point. The gambling through OTB has been consistently around $1 billion a year, but the company has fallen on tough financial times since the recession.
The horse racing industry, in general, has struggled since the economy dropped in the US. With casinos becoming more prevalent around the country, gamblers have been less inclined to go to racetracks to do their betting.
"Earlier this week there was a three-way agreement among leaders of the Assembly, State Senate, and the Executive Chamber on at least an interim package for New York City OTB that would grant temporary relief," said OTB Chairman Sandy Frucher. Frucher was speaking at an emergency meeting to discuss the future of OTB.
The news came just at the right time for thousands of people who were set to lose their jobs if the gambling parlors closed. Still, some of the locations will be closed down, but over 1,000 employees will keep their jobs in the meantime.
The plan runs deeper than just saving jobs. OTB will defer subsidy payments to the racing industry and is hoping that business picks up as the economy starts to improve. New York is also considering expanding their casino options, which will only hurt the efforts of OTB.
April 17, 2010
Posted By April Gardner
Staff Editor, CasinoGamblingWeb.com
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