Lawmakers in New Jersey continue working on ways to better protect the gambling industry in Atlantic City. This city is a major revenue generator for the state, yet has faced its share of issues over the last few years. A group of attorneys is now pushing hard to appeal NJ’s PILOT bill decision made last month.
Many feel that this bill could help to better protect the casinos operating in Atlantic City. Others believe it offers unnecessary tax breaks to the gaming companies in the state.
Here’s what you need to know about this situation.
Group of Attorneys Push Against NJ’s PILOT Bill Decision
The casino industry in New Jersey has been up and running for decades. All of the casinos in this state are located in Atlantic City, long-considered the country’s premier gambling destination on the East Coast. 2020 took a serious toll on the casinos in this city and some feared many of the casinos here would be forced to close permanently.
Last year, officials in the state presented a new bill called the payment-in-lieu-of-tax (PILOT) bill that aimed to cut down on the taxes New Jersey’s casinos would need to pay. The most notable part of the bill was removing online gambling from the revenue paid by these venues. Superior Court Judge Joseph Marczyk decided to vote against this bill, arguing it goes against a 2018 agreement in which casinos agreed to pay taxes on their igaming earnings.
This week, a group of attorneys in New Jersey announced they are looking to appeal Marczyk’s decision. Not everyone feels this appeal process will go as planned. Atlantic County Executive Dennis Levinson believes this is simply an attempt to delay NJ’s PILOT bill decision.
“It’s just a tactic to delay the process. These things are typically not granted,” Levinson said.
The decision by Marczyk does not mean that this PILOT bill is being struck down. It simply adds a few more steps for lawmakers to give it formal approval. This bill is now going to Atlantic County Assignment Judge Michael Blee where another decision will be made.
Atlantic City Casinos Reveal Major Improvements
New Jersey is still home to one of the most successful casino industries in the United States. Atlantic City draws in millions of tourists from around the country every year. The casinos here saw major success in 2021, yet analysts remain torn as to how these properties will fare this year.
Rising inflation rates and a major conflict in Europe have taken a toll on the US economy. As a result, fewer people are making the trip to gambling destinations. It’s unclear when exactly the economy will begin to improve, leading some to believe that casinos are in for yet another difficult year.
The casinos in Atlantic City are still doing their best to bring in as many tourists as possible. Many are choosing to undergo major upgrades as a way to accomplish that goal. That includes Ocean Casino Resort, which recently unveiled a $5 million improvement to its sportsbook this week.
Hard Rock Atlantic City has been undergoing some major renovations, too. This property has been one of the most successful in New Jersey for many years. It is owned by Hard Rock International and has posted solid revenue figures over the last few months.
NJ’s PILOT bill could help to improve the situation for the casinos in this city. It’s unclear when exactly this bill will go into effect, though. We’ll continue providing updates on how the casino industry here is faring over the next few months.
The Las Vegas Casino Industry Continues to Expand
The casino industry in Las Vegas remains the biggest and most successful in the United States. It’s here that many multi-billion dollar gambling properties are located. Like Atlantic City, Las Vegas found tremendous success throughout 2021.
This city’s gaming industry continues to expand. Many gambling companies have been working hard to expand in this city. That includes the aforementioned Hard Rock International, the company that recently agreed to purchase The Mirage from MGM Resorts International.
Companies are opening new properties in this city soon, too. Station Casinos is in the process of opening several new casinos here. It recently began construction on its new Durango Station casino, which is expected to be one of its hottest new properties in the southeast area of the city.
It appears that several new casinos will soon open on the Las Vegas Strip, too. The northern area of the Strip may soon host a major new resort.
What do you think of NJ’s PILOT bill? Do you think this bill will gain full approval from lawmakers before the end of the year? Let us know in the comments section below.