Off-Track Betting lets go of 1,300 workers....

Off-Track Betting lets go of 1,300 workers, says it will close 66 parlors if state can't reach deal


ALBANY - The city's Off-Track Betting issued pink slips to 1,300 employees Friday as efforts to extend a lifeline to the cash-strapped agency stalled during budget talks in Albany.

"We cannot reach a three-way agreement on it to keep them afloat," said Assembly Speaker Sheldon Silver (D-Manhattan), referring to talks with Gov. Paterson and the state Senate.

Without a rescue deal from the state, the struggling OTB says it will shutter its 66 betting parlors on April 11.

The agency has become a political football as lawmakers scramble to close a $9 billion budget gap.

Paterson is pushing to allow the city's OTB to defer up to $3.7 million in payments it owes while work continues on a reorganization plan.

But lawmakers balked.

Assemblyman Gary Pretlow, chairman of the Racing and Wagering Committee, blasted OTB management for "unconscionable delays" in providing accurate financial information.

The Legislature will miss its April 1 deadline for a 2010-2011 budget - and is working on a short-term stopgap.

The Assembly approved a spending extension Friday. The Senate delayed action until Monday after Westchester Dem Ruth Hassell-Thompson fell ill.

"We are very far away on spending reductions," said Larry Schwartz, secretary to the governor, about the budget talks.