New Jersey's Desperation

If you want to know about the failure of Predatory Gambling as public policy, look at Atlantic City.

If you want to know the irrational solution lawmakers offer, look at New Jersey.


Just as in Massachusetts, it's always EXPANSION rather than sound fiscal policy.

North Jersey lawmakers want casino at Meadowlands to be a solution for struggling Atlantic City

Published: Thursday, July 19, 2012
Matt Friedman/Statehouse Bureau

TRENTON — Those who want to bring a casino to the Meadowlands hammered home a message at an Assembly panel hearing today: Let Atlantic City be a tourist destination, but let North Jersey have a casino for straight up, no-nonsense gambling.

“They’re in the resort business. We’re in the gambling business,” Tom Luchento, president of the Standardbred Breeders and Owners Association of New Jersey, told reporters shortly before the hearing began.

The Assembly Regulatory Oversight and Gaming Committee is well into a hearing right now at the Meadowlands Racetrack, where it’s taking testimony from dozens of lawmakers, experts, mayors, labor officials, horse racing officials and others.

But lawmakers are not planning to take action on legislation to make it happen any time soon.

Instead, the old north-south geographical division emerged as North Jersey lawmakers called building a Meadowlands casino one solution to lagging gaming and horse racing revenues, while South Jersey legislators said it would undermine Atlantic City just as the state is trying to revitalize the struggling city and rebrand it as a family tourist destination.

Gov. Chris Christie and Senate President Stephen Sweeney (D-Gloucester) both advocate keeping gambling limited to Atlantic City — at least for the near future.

Proponents of a North Jersey casino said the move is needed to compete with neighboring states that are “eating our lunch” by building competing casinos and “racinos” near their borders with New Jersey.

“Let’s stop talking. Let’s build one,” said state Sen. Paul Sarlo (D-Bergen), who represents the Meadowlands. “This is not about north versus south. This is not about Meadowlands versus Atlantic City. This is about one state and making sure we capture the revenue here in the state of New Jersey.

If we’re not interested in doing that we might as well shut all the doors to gaming and find another way of creating revenues.”

Sarlo noted revenues from Atlantic City had fallen from a peak of $500 million in 2006 to $231 million in the budget year that ended last month.

Jeff Gural, operator of the race track, said his industry is "in trouble" and estimated a Meadowlands casino would bring $350 million in tax revenue to the state. “We do not believe we will be competing with Atlantic City for customers because people who want a resort type atmosphere will continue to go to Atlantic City,” he said.

But Assemblyman Chris A. Brown (R-Atlantic), who represents Atlantic City, said putting a casino in the Meadowlands would be like “putting a $1,000 saddle on a 10 cent race horse.”

“It’s simply too high a price to pay for a horse that simply won’t succeed,” he said, saying it could cost Atlantic City casinos 45 percent of their revenues.

Steve Rittvo, a casino consultant, said a Meadowlands casino would “have a fairly significant impact on Atlantic City.”

“That’s something you probably need to be cautious with. But the reality is a significant amount is going to happen independent of what you’re doing,” he said.

Assemblyman Ralph Caputo (D-Essex) has introduced a resolution that would ask voters to amend the state constitution to allow gambling in the Meadowlands. The legislation, which was first introduced in December 2010, has not advanced. Caputo said he would like to see it on the ballot in a year or two.

http://www.nj.com/news/index.ssf/2012/07/north_jersey_lawmakers_want_ca.html