Video lottery terminals' benefits to Nassau, Suffolk not assured

The state law that permits video lottery terminals in Nassau and Suffolk counties contains no guarantee that gambling winnings will trickle down to the counties.
The legislation only provides for the counties to get the profits left over after a state education fund, the state gaming commission and racing interests get their cut and all operating expenses are paid.
That is unlike almost all the existing VLT casinos in New York State, which are covered by formulas that provide local communities with a percentage of gambling revenue each year. A similar plan originally included in the Nassau and Suffolk authorizations was dropped during last-minute negotiations between the governor, Assembly and State Senate leaders in 2013.
StoryNY racinos' revenue down $7MMore coverageLatest Long Island gaming newsThe proposals to build two VLT casinos on Long Island come as Nassau and Suffolk seek new ways to close budget gaps without raising taxes, and the counties' two off-track-betting corporations struggle to survive while carrying a large amount of debt. But critics question whether the casinos can be successful given the debtload and plans by the traditionally patronage-laden OTBs to hire hundreds more workers to run them.