New York's casinos underperforming

A law was signed in 2013 by Governor Andrew M. Cuomo paving the way for seven new casinos in New York in a move to revive economic activity and generate new tax revenue in “moribund upstate areas.”

Before that, the state had only licensed so-called racinos, which are connected to racetracks and feature video lottery terminals but no table games like blackjack and craps.

According to The New York Times, that expansion has led to some $70 million in new gaming tax and ample jobs at new facilities and constructions sites. But most recent figures provided by the New York State Gaming Commission show that early returns from two casinos that opened in February have been weaker than projections.

Here are some examples:

The Del Lago Resort & Casino

$151 million in gaming revenue in its first year. When it applied for the license in 2014, it had projected $262 million.

The Rivers Casino and Resort

First-year projections ran between $181.5 million and $222.2 million. It opened on February 8. Since then, the casino has grossed $81.8 million, representing 77 percent of even its lowball estimate.

The Tioga Downs

It was converted from one of the state’s racinos in December and is also missing forecasts.

“It is entirely premature to give credence to any analysis of how well the casinos are operating,” Lee Park, a spokesman for the Gaming Commission, told the Times considering it was “much too early to make any judgment on gaming performance” because new casinos’ amenities, like hotels, are still under construction or only recently opened.