Gov. Chris Christie announced a compromise among legislative leaders on Monday that would let voters decide on North Jersey casinos.
Political infighting prevented the issue’s passage by the end of this legislative year. The agreement ensures the measure will be voted on in the next session, but it comes with a higher hurdle for the Legislature.
Christie, flanked by Senate President Stephen Sweeney and Assembly Speaker Vincent Prieto, said at a press conference that Sweeney’s bill will be introduced in both houses in the next legislative session. It will include an amendment requiring the new casino operators to each invest a minimum of $1 billion, as recommended by Prieto.
“We want real investment in the state of New Jersey,” Sweeney said. “We don’t want slots in a box.”
The agreement ends the feud between lawmakers that made them miss a key procedural deadline to make approving the ballot question easier.
Sweeney and Prieto each had his own proposed amendments, but neither would accept the other's proposal. The bills differed on who could own the new casinos and how much gambling tax money from those casinos would be used to redevelop Atlantic City.
By failing to agree on a plan by Monday, proponents of new casinos now need a three-fifths majority in both houses to put the question on the November ballot.
That is 48 votes in the Assembly and 24 in the Senate.
Had lawmakers agreed on one plan and passed it with simple majorities Monday, the amendment would have needed just a simple majority vote in both houses in the next session.
Earlier Monday, in what turned out to be just a symbolic vote, the Senate passed Sweeney’s bill by a vote of 33-6. It's unclear whether there is enough votes for a three-fifths majority in the Assembly, though Christie's support of the agreement may help garner Republican votes.
Sweeney's bill would require that both casinos be owned by existing Atlantic City casino operators, but outside companies could partner with those operators and own up to 49 percent of a new casino.
Sweeney's plan also uses more revenue collected from the new casinos to help Atlantic City. That money would not go to the city government or the Casino Reinvestment Development Authority. Instead, it would go to a non-profit investment fund.
The agreement will also include language forcing operators to propose projects within a certain timeline “that will address the ability to make this move quickly,” Christie said.
Casino gambling is currently limited to Atlantic City, which is still suffering from the closure of four casinos that cost about 8,000 lost jobs in 2014. Business leaders and Atlantic City-area elected officials are opposed to expanding casino gambling in the state, saying the new casinos will further devastate the local economy.
Sen. Jim Whelan and Sen. Jeff Van Drew both opposed Sweeney’s bill on Monday.
“It is foolish to think that gaming in North Jersey would do anything but cannibalize an already-saturated market in the same way that casinos in Pennsylvania, Delaware, and Maryland have cannibalized ours,” said Whelan, D-Atlantic.
Van Drew, D-Cape May, Cumberland, Atlantic, said: “Allowing gaming elsewhere will devastate Atlantic City, creating further job loss and additional hardship for our residents.”
Assemblyman Chris Brown, R-Atlantic, said regardless of the announced agreement, “our steadfast opposition made it harder for the Democrat leadership to put North Jersey casinos on the ballot” now that proponents need a larger majority.
Assemblyman Vince Mazzeo, D-Atlantic, said there is “no agreement and no amount of money being sent back to Atlantic City” that will make up for the thousands who could jobs in the area.
Sweeney, D-Salem, Gloucester, Cumberland, acknowledged the impact North Jersey casinos could have on Atlantic City, saying the city is “more than likely” going to lose jobs.
But he said the plan will provide funding to help “create a city that’s an entertainment destination” and bring year-round businesses to the resort.
Proponents of new casinos say expanding casino gaming will recapture gambling revenue lost to neighboring states while creating millions of dollars in new investment and thousands of new jobs in the state.
Sweeney’s plan doesn’t specify the new casinos’ locations, though it says they must be in separate counties and at least 72 miles away from Atlantic City. The Meadowlands sports complex in East Rutherford and Jersey City are the most talked about possible locations.
By CHRISTIAN HETRICK
Reprinted with permission of the pressofatlanticcity.com site