PLACE YOUR BETS (SOMETIME, IN THE LIKELY DISTANT FUTURE): The high-stakes competition to win a lucrative downstate casino license continues to be beset by delays, and one of the four members of the board entrusted with awarding the licenses has stepped down, Playbook has learned. Quenia Abreu, CEO of the New York Women's Chamber of Commerce, has left her prestigious volunteer role on the gaming commission’s downstate siting board. Playbook obtained her Nov. 4 letter of resignation, which made no mention of the reason for her resignation. While the casino licenses can still be awarded with three board spots filled, Abreu’s departure marks the latest example of how a process intended to be smooth and swift has been anything but. In 2022, the state Legislature approved three casino licenses for the New York metro area, setting off a bidding war for a metaphorical money-printing license from the state. The three New York casinos are bound to be some of the most lucrative in the world. But while the process was intended to be close to the finish line by now, the state’s gaming commission continues to delay. In June, it rebuffed a bill from Queens Sen. Joe Addabbo and Mt. Vernon Assemblymember Gary Pretlow to speed up the timeline and codify its end date. News that the siting board has shrunk also comes as Gov. Kathy Hochul is expected to veto Addabbo and Pretlow’s bill by next week.
“It feels like everyone is frustrated,” said one source close to the process, reacting to Abreu’s departure. “New York constantly bills itself as the land of opportunity. But we’re slow-walking tens of thousands of jobs and billions in revenue. It makes little sense.”
The board’s members must reside in New York and cannot have any financial interest in gaming activities. The three remaining members include a former university president, a banking CEO and a real estate law expert. They will score the applicants along a highly detailed rubric, with the gaming commission weighing in on their decision. If the board loses one more member, state law dictates it would be too small to award a license. Abreu, the recently departed board member, did not respond to multiple requests for comment. Alan Woinski, founder and publisher of Gaming Industry Daily, has tracked casino licensing processes around the country for the last 30 years. He says New York’s process includes unnecessary layers, like the siting board.
“New York has always been weird with that, and that's why there was so much controversy the first round of licenses,” Woinski said, noting the state decided to award Resorts World a casino in the Catskills in 2015 and “it blew up in their face, because that casino has been a terrible loser.” That casino has struggled to meet revenue expectations. “Now they've got an opportunity to actually put gaming people on this board,” Woinski said. “The gambling industry is so different than any other industry, you can't just put somebody with experience in some sort of real estate or consumer venture and just think, no problem, they're going to know what to do with a casino.” Woinski also warned of further delays from potential lawsuits, which are common when casino licensing processes wrap up.
“It's a process that's already been delayed, in my opinion, far too long. It's a picture of inefficiency at this point,” he said. “We voted on it in 2022 with such optimism, and here we are going upon three years later and you and I could be having this conversation three years from now.” — Jason Beeferman |