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Legislation introduced to speed selection of Aqueduct racino operator

Posted: Wednesday, March 24, 2010 3:51 PM

by Paul Post
 
A New York state Senator has introduced legislation aimed at expediting the selection of an Aqueduct gaming operator.

Aqueduct’s proposed racino would generate much-needed revenue for the New York Racing Association.

In late January, the state named Aqueduct Entertainment Group to run Aqueduct’s video lottery terminals. But the deal fell apart March 11 when AEG failed to meet some of the state’s conditions for obtaining a gaming license.

“The selection of AEG to run the VLTs at Aqueduct was made behind closed doors after a secretive, politically-influenced process with no public input or review of the submitted proposals,” state Sen. Marty Golden (R-Brooklyn) said. “This is the latest in a series of missteps that have delayed the installation of VLTs at Aqueduct and cost New York state hundreds of millions of dollars in lost revenue. My legislation will put an efficient, transparent process in place so we can ensure the best vendor is chosen as soon as possible.”

 Under Golden’s legislation, all proposals previously submitted would be viable, with the exception of AEG. The minimum upfront payment to the state would be $300-million.

Golden’s plan calls for a major accounting firm to review bids and make recommendations to state leaders. A joint public hearing by the Senate and Assembly would be held within ten days of a recommendation. The Governor, Assembly speaker and Senate temporary president would make the final selection within 15 days of the joint public hearing.

“New York is in a fiscal crisis, and each day we delay the implementation of VLTs at Aqueduct, we are losing millions of dollars in potential revenue,” Golden said. “This process has taken far too long—it’s clear we need an expedited, fair and open process to get the best vendor in place as soon as possible. Resolving this issue will bring in revenues to help us close the massive budget deficit, and create hundreds of much-needed jobs for New York City residents.”

Paul Post is a New York-based correspondent for Thoroughbred Times

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