NYC-OTB

[Gibbon]

All the more reason to get involved and support this tread.

The mayor acknowledged that this is likely to lead to the end of OTB operations in the city and recommended that OTB take "appropriate action." He also blamed Albany for OTB's current state of affairs --> NY DailyNews

The New York City Off-Track Betting Corp. operates more than 60 branches throughout the city where gamblers gather to bet on the day's races. Bettors place an average of 1.6 million wagers per day, totaling more than $1 billion in bets per year, according to NYCOTB --> USA Today

The threat of at least a temporary shutdown is very real.

[badcompany]

I believe it was former Mayor Rudy Guiliani who said that NYC-OTB is the only bookie in the world to consistantly lose money.

[onefast99]

I think that the NJ OTB parlors will show a significant increase in handle when these shut down. The new one in Fords(woodbridge) Favorites is very nice, nicer then any of the NYC OTB restaurants or parlors. Maybe NJ will explore one or two more of these in northern NJ.

[The Hawk]

Originally Posted by Gibbon

All the more reason to get involved and support this tread.


The threat of at least a temporary shutdown is very real.

As a guy who used to frequent the NYC OTB's I'm not so sure their closure would be a terrible idea. Obviously, NYRA, which is bankrupt, isn't getting a whole lot out of the current deal. Maybe they can start the OTB system from scratch and make it actually work for the racing industry, as opposed for the state. And, of course, many parlors are eyesores which give us ALL a bad name.

Originally Posted by badcompany

I believe it was former Mayor Rudy Guiliani who said that NYC-OTB is the only bookie in the world to consistantly lose money.

It was, but it was an unfair statement, as Rudy obviously knew the situation well, and that it was (and is) an impossible business model.

[PaceAdvantage]

How can an entity that takes in $1billion+ in action every year close its doors? It will never happen....somebody will step in (ie. the state) to shore things up....too many cushy political patronage jobs to save....and too much money to NY state to ignore....

[samyn on the green]

I do not think the city is serious about closing OTB. These press releases are meant to set the stage for NYC OTB to get the NYRA signal for free.

Early in 2007, the Boston Consulting Group, which had been retained by the city to produce a report on the financial health of NYCOTB, released a report that said the racing industry's share of OTB's revenue should be cut because racetracks in the state were flush with money from slot machines, which were legalized in 2001 at every racetrack in New York except Belmont Park and Saratoga.

OTB wants to compete with NYRA and it also wants its product for next to nothing. This is like me buying a lot of hotdogs from Nathans for 3 cents a dog and setting up shop with a cart in front of the store in Coney Island along with every corner in the city and selling the Frankfurters for less than Nathans themselves. Then complaining that when Nathans wanted a fair market price for their Frankfurters that our Nathans cart in front of Nathans was subsidizing the Frankfurter industry by selling so many of their products. Remember Nathans is only getting 3 cents when we sell one of their Frankfurters. Is this subsidizing Nathans?

"Years of state legislative schemes that favored racing interests over NYCOTB, at the expense of essential city services, have forced the city into a financially untenable situation in which city taxpayers are, in effect, asked to subsidize the state racing industry," Bloomberg said.

[OTM Al]

People need to realize that the OTB are not partners with NYRA, but competitors. Yes, there is a wierd symbiotic relationship, but they aren't working together and thus both are having troubles that they need not have. At the very least, the 3 OTB orginizations in which the tracks are located should be folded into the franchise.

[Indulto]

http://www.ny1.com/ny1/content/index.jsp?stid=3&aid=75661
Mayor Rejects Bailout For Cash-Strapped OTB Corporation
By Josh Robin

… A shutdown would not just disappoint racing fans. With no official place for betting, there are concerns organized crime could step in with bookies filling the void"

Hey, Tom, time to drag out that thumb armor!

[Spectacular Sid]

I don't live in NYC, but isn't phone/account wagering legal there? If so, is OTB really necessary?

[OTM Al]

Italian food isn't neccessary, but some people prefer it. I enjoy the OTB "restaurants" and unless i go to the track, its the only way I bet

[Indulto]

Originally Posted by OTM Al

Italian food isn't neccessary, but some people prefer it. I enjoy the OTB "restaurants" and unless i go to the track, its the only way I bet

I believe matzoh as well as pasta was home-delivered.

Or was Meyer Lansky just a myth?

[badcompany]

Originally Posted by Spectacular Sid

I don't live in NYC, but isn't phone/account wagering legal there?

Yes.

Originally Posted by Spectacular Sid

If so, is OTB really necessary?

No.

The ideal situation would be home betting by phone or internet and an OTB cable network (not channel) that carries all the tracks. The same way the parlors carry all the tracks. I know I'd pay extra for that.

As it stands now, we have OTB parlors that are an embarrassment to horseracing and a disgrace to humanity, and, an OTB channel that carries four or five tracks at once without any semblance of order or direction.

[Gibbon]

Originally Posted by badcompany

The ideal situation would be home betting by phone or internet....

For the recreational player that would be a truism.

As for me, it will cripple my play. Supplying SS #, dealing with tax consequences is a large part of my job. Now I can walk into one of the three NYC-OTB teletheater which pay track prices and make a 10 dime play discreetly at the self services machines. Break up my bet into numerous smaller tickets thus avoiding any tax obligations. I can get paid in OTB vouchers. Vouchers come in denominations up to nine hundred and ninety nine dollars. Cashing in 20/30/40 vouchers with no tax stimulations.

Without this essential convenience, I'll be forced to give up my beloved game and play football, basketball and baseball exclusively. Sure I could move to Vegas but from my prior experience, Vegas is fanatical about tax avoiders. As far as offshore; due to legality that's a private matter.






_______________________
There is something about the outside of a horse that is good for the inside of a man. ~ Winston Churchill

[Gibbon]

Posted 11/16/2007, 6:04 pm
OTB finances a complex equation
By MATT HEGARTY
http://www.drf.com/news/article/90395.html

New York City OTB is the single largest bet taker in the U.S., accounting for more than $1obillion in wagers in the 2006 fiscal year through 60 parlors and an Internet and telephone wagering system. Because of the sheer size of its handle, the company has been able to strike cut-rate simulcasting deals for out-of-state signals while at the same time providing tens of millions of dollars each year to support racetracks in the state.

There appear to be several options to prevent a shutdown of OTB. One would be to reduce its mandatory payments so that the company retains more revenue - at the expense of racetracks, horsemen, breeders, regulators, or a combination of all three. Another would be an increase in the takeout, allowing OTBs to increase the revenue provided by each bet. Still another would be legislation that folds the OTB into the next franchiseholder for the three tracks currently operated by the New York Racing Association, an idea that, in principle, Bloomberg supports.

A merger with the racing operator is perhaps the most logical solution, considering the duplications between the two companies.

[riskman]

Originally Posted by badcompany

I believe it was former Mayor Rudy Guiliani who said that NYC-OTB is the only bookie in the world to consistantly lose money.

What bookmaker do you know that provides health and disability benefits, paid vacation and sick leave, retirement benefits and a flex work schedule.