NY Gaming Bill Aids Online Gambling Efforts

The gaming expansion bill passed last week by New York lawmakers is positive for most gaming operators in the northeastern United States as it contains the expansion to previously untapped regions, according to Fitch Ratings.

Contained Gambling Expansion

Fitch said the bill, which is expected to be signed by Gov. Andrew Cuomo, should have minimal negative impact on Atlantic City and Philadelphia land-based casino, as it concentrates on expanding in untapped areas - with four full-scale casinos in three upstate regions.

The bill outlines a seven-year exclusivity period in which no more than two casinos can be built in any of the three regions (Capital District-Saratoga, Hudson Valley-Catskill and Eastern Southern Tier). Full-scale casinos will still be prohibited in New York City and surrounds.

Effect on Online Gambling

New Jersey and Delaware are set to begin implementing online gambling some time this year, while a number of other northeastern states - led by Pennsylvania and Connecticut - are looking at introducing their own laws. New York is reportedly planning to start selling lottery tickets online.

NJ recently published its regulations, which approve intra-state online gambling and potentially make it the hub for online gambling in the northeast. The good news with the NY law is that it further promotes the right to gamble without curbing the efforts being made to introduce online gaming to a wider American audience through NJ.