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2013-14 Enacted Budget Prelim Report

2013-14 Enacted Budget Prelim Report

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Published by Nick Reisman

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Published by: Nick Reisman on Apr 12, 2013
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01/19/2014

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The SFY 2013-14 Enacted Budget omits the Executive proposal to implement Phase I
Casino Gambling. The Executive’s 30-day amendments included provisions requiring
any applicant for a gaming facility license to enter into a labor peace agreement with
labor organizations actively engaged in representing or attempting to represent gaming or
hospitality industry workers in the State. This portion of the proposal was accepted.

On March 14, 2012, the Legislature passed Governor’s Program Bill 30, a constitutional
amendment which would provide authorization for casino gambling at no more than
seven facilities in New York State. Constitutional amendments require the passage of a
concurrent resolution by two separately elected legislatures and subsequent adoption by
the voters. Therefore, the earliest this amendment could take effect would be after the
November 2013 General Election.

The Enacted Budget omits provisions removing the remaining restrictions on the Lottery’s
Quick Draw game, which currently require that the premises where tickets are sold must
be larger than 2,500 square feet and that no one under 21 years of age may participate in
the game on premises where alcoholic beverages are sold.

As a result of a series of racehorse injuries and fatalities at New York tracks, the
Executive convened the Task Force on Racehorse Health and Safety in 2012. In order to
fund the recommendations of the Task Force, the Enacted Budget allocates 1.0 percent
of purse enhancements at Video Lottery Terminal (VLT) facilities to promoting and
ensuring the health and safety of horses in New York. The Executive estimates this
proposal would provide an additional $1.5 million for the racing regulation account
annually. Any unused portion would be returned to be used for purse enhancements. In
addition, provisions are added to establish the New York Task Force on Jockey Health
and Safety to investigate health and safety issues of jockeys who regularly race at
thoroughbred tracks in the State. Additional language directs the franchised corporation
to make $25,000 available for costs associated with producing a report of the task force
findings and recommendations. The report is required to be completed within 90 days.

The Enacted Budget creates a new account to be used for the administration of the
Gaming Commission. The Gaming Commission was established in the SFY 2012-13
Enacted Budget through the merger of the Division of the Lottery and the Racing and
Wagering Board. The Executive indicates that the new account is required because
administrative expenses cannot be paid from the State Lottery Fund or from racing
regulation funds. The new Commission commenced operations on February 1, 2013.

Provisions were added to provide medical assistance to retirees and those who were
active employees of New York City Off-track Betting Corporation with vested pension
time or credit as of December 7, 2010, the day when the Corporation’s operations
ceased. Up to $5.0 million will be provided annually for the costs of this provision.

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