Tuesday, February 28, 2012
Vernon Downs Casino and Hotel Investments Would Boost Local Economy by $14 Million, Create Nearly 100 Construction-related and 78 Permanent Jobs
$9.8 Million Private Investment Hinges
on Passage of Expanded Gaming in New York
New Study Shows Local Economic Benefits
of Live Table Games for Oneida County
The addition of live table games to Vernon Downs Casino and Hotel would significantly increase the casino’s impact on the economy of Oneida County, with planned investments of nearly $10 million initially generating nearly 100 construction-related jobs, and expanded operations generating nearly $13 million annually in county-wide economic output and more than 154 new, local jobs. The findings came from an economic impact study released today by the New York Gaming Association which demonstrates how a Constitutional amendment authorizing live table games would help local economies.
If the Constitutional amendment authorizing live table games is approved, Vernon Downs Casino and Hotel is planning to invest nearly $10 million in private funding for a new casino complex that would become a destination spot for tourism in Oneida County. The upgrades would include renovations to the hotel, improvements to racing facilities, expansion of gaming, event, recreational and meeting space.
“As the residents of Oneida County are well aware, casino gambling already exists and allowing us to add table games would create new jobs and appeal to a different customer base of younger people who enjoy poker and real table games.” states Jeffrey Gural, Chairman of American Racing and Entertainment, (which operates Vernon Downs Casino and Racetrack.)
The independent economic impact report estimates that this investment would increase local economic output, which includes wages and salaries and the purchase of goods and services by more than $14 million and immediately create nearly 100 jobs in construction and other local industries, with an additional increase of almost 80 new jobs in hotel, gaming and restaurant operations once the facility is complete. Vernon Downs Casino and Hotel currently has over 300employees. Based on 2011 salary and wage levels, the annual payroll for these new employees is estimated to be more than $3 million.
In addition to these direct jobs, the “multiplier effect” of increased casino spending would create approximately 20 additional jobs with other businesses in the County.
The casino’s enhanced business would also allow Vernon Downs Casino and Hotel to increase its assistance to the racing and breeding industry, supporting additional jobs in the industry and adding more than $1.2 million to the local economy.
The expansion of Vernon Downs Casino and Hotel would also increase state and local government revenue including funding for education. According to the estimates from the report, payments to the state from Vernon Downs Casino net win would increase by over $5 million from what it is currently contributing without live table games; and more than $368,000 in other state taxes. The increase to local municipalities including local sales tax, hotel tax and real property tax would beapproximately $294,000. Finally, the construction project alone would generate approximately $259,000 in one-time state income, sales and business taxes; and about $19,000 in local sales taxes.
With the addition of live table games, The nine New York Gaming Association members are planning to invest more than $1.8 billion in construction, creating more than 17,000 construction related jobs and generating over $3.3 billion in state-wide economic output and approximately $300 million in additional support for education.
Allowing our members to offer table games will attract more visitors to our facilities, keeping the $3-5 billion that is currently being spent in other states, right here in New York.
The Racetrack Casinos comprising the New York Gaming Association include:
• Batavia Downs Casino
• Empire City Casino at Yonkers Raceway
• Empire Resorts at Monticello Casino & Raceway
• Finger Lakes Casino & Racetrack
• Hamburg Casino at Buffalo Raceway
• Resorts World Casino New York at Aqueduct Racetrack
• Saratoga Casino & Raceway
• Tioga Downs Casino
• Vernon Downs Casino & Hotel
The economic impact analysis study was conducted by Appleseed Inc., a New York City firm that specializes in providing economic and social research analysis.