NYRA Backs Fixed-Odds Betting for Tax Boost

NYRA has told State Assembly committees that fixed-odds betting will generate $30m.

Boost needed

The New York Racing Association (NYRA) has made it clear to State Assembly committees that the horseracing body fully backs the introduction of fixed-odds betting and the major tax revenue boost it would bring.

NYRA testified in support of fixed-odds to the New York State Assembly Standing Committees on Racing and Wagering (R&W) and Economic Development, Job Creation, Commerce, and Industry (EDJC) on Friday.

According to reports, a NYRA official said the industry could generate nearly $30m extra tax dollars for the state, while also boosting the appeal of a sport fighting to stay financially competitive in New York.

Huge opportunity

NYRA Vice President of Government Affairs Jeffrey Cannizzo told the R&W committee that his body sees fixed-odds betting “as an opportunity to drive new revenue to our industry, to the state, and down to the shareholders and stakeholders, which are horsemen, breeders, and owners.”

Cannizzo pointed to New York’s market leadership in mobile sports betting, where online sportsbooks are, according to Covers: “seeing more wagering in two weeks than the entirety of U.S. thoroughbred horse racing is in an entire month.”

“We see this as a huge opportunity to provide them our content on their platforms,” the NYRA exec told the committee.

NYRA, which operates Aqueduct, Belmont Park, and Saratoga Race Course, also pointed to Kentucky’s gambling gambit and how the extra revenue earned there is being injected back into the sport, leaving the New York horse racing industry under pressure to compete.

Kentucky pressure

NYRA Senior Vice President of Racing Operations Andrew Offerman told the R&W committee Kentucky’s adoption of “historic horse racing, slot machine-like games”…“has dramatically changed (Kentucky’s) purse structure.”

Offerman added that the extra tax revenue has “put incredible competitive pressure on New York’s horsemen (and) our racetracks to continue to generate quality racing that competes with Kentucky.”

While fixed-odds legislation exists in the New York State Senate, bill S8433 hasn’t gone anywhere since its introduction in the summer.