Legislature to help Catskill Region with $1b investment from Empire

According to Governor David Paterson, an agreement was made with the legislature that will pave the way for the development of a major resort and VLT gaming facility in the Catskill Region at the current site of the Monticello Gaming and Raceway. The program bill will lower the tax rate on VLT revenue in return for a $1 billion investment, a commitment to increase education funding and the creation of 2,000 permanent jobs. The investment will be made by Empire Resorts, Inc., which was recently acquired from Concord Associates LP, a development group managed by Westchester developer Louis Cappelli, the Concord and Grossinger's Resort Hotels and golf courses. This new Monticello project must be completed by January 31, 2011, and includes plans for the construction of a hotel, convention center, new racino, retail space and a parking garage. At least one 18-hole golf course will be redeveloped. "There was a time when the Catskills were the pre-eminent vacation destination on the entire east coast. The beauty and majesty of the region has not changed, and this deal will help return the Catskills to their former glory a destination spot," said Paterson. "This agreement is a big win for Monticello, Sullivan County, and all of NYS. Government and the private sector have worked together to structure a deal that will at least double the amount of money for education that the State expected to generate from the Monticello Racetrack and to create 2,000 permanent new jobs." The new VLT facility will provide a minimum of $38 million annually for education, twice the amount currently expected to be generated by Monticello Gaming and Raceway in the absence of this upgrade. The amount of VLT profit the operator will be allowed to retain will be tied to the number of jobs created and maintained. Paterson called the deal a major breakthrough for the Catskill region, which has suffered economically in recent years, and specifically thanked senator John Bonacic and assemblywoman Aileen Gunther for their efforts on the project, and for introducing the bills in their respective houses. Senate majority leader Joseph Bruno said, "This agreement is a positive step toward the creation of 2,000 new, good-paying jobs for Catskill Region workers and their families. By creating a world class casino that will be a tourist destination for visitors from all around, we will provide a lift to the local economy and ensure greater resources for education for students all across this state. I commend the governor for his leadership, and thank senator Bonacic for all he has done to advocate for this important project." Assembly speaker Sheldon Silver said, "Today's agreement reflects the type of smart, effective economic development strategy that the assembly majority has advocated for years. By taking advantage of the strength of Sullivan County as a widely recognized tourist destination, a casino and resort project such as this brings us closer to successfully revitalizing our communities - particularly upstate. The Catskill resorts have always been more than a community of grand hotels, they are a part of the fabric of N.Y."