Thursday, September 22, 2016

Sweeney bill would prevent "warehousing" of casino licenses



Senate President Steve Sweeney introduced a bill Thursday that would disqualify a casino license applicant for five years if that person “substantially” closes a casino in the state.


The bill is in response to concerns that Trump Taj Mahal Casino Resort will close and “warehouse” the license, or reopen the casino with reduced wages for workers, the Senate Majority Office said in a news release. Taj owners plan to close the casino Oct. 10. The casino employs about 2,800 people.

A Taj spokesperson didn’t immediately return a request for comment.

The bill, S-2575, amends existing law that gives gaming regulators the responsibility to require license holders to abide by certain standards. Sweeney’s bill will update those standards to “prevent the manipulation of bankruptcy law and gaming licensing,” the release said.
Related

“Labor disputes happen and usually get resolved one way or another,” said Sweeney, D-Salem, Gloucester, Cumberland. “But casino owners shouldn’t be able to misuse bankruptcy laws and gaming regulations in order to warehouse a license or take money out of the pockets of casino workers and strip them of benefits simply because they refuse to come to a labor agreement with their employees.”

The bill lets the Division of Gaming Enforcement determine what constitutes a “substantial closure” of a casino. It would be retroactive to Jan. 1, 2016, but would not apply to other casino licenses held by the owner, the release said.

“This bill encourages casino owners to keep their properties open and rebuild Atlantic City rather than keep their license and throw thousands of families to the curb,” Sweeney said in a statement.

No comments:

Post a Comment