In case you haven’t heard, Gov. Kathy Hochul is intent on dumping more taxpayer money into a “burn pit” industry whose glory days are long gone.
Earlier this month, New York Focus revealed that Hochul’s proposed budget would sink nearly a half billion dollars in public money into the state’s long-declining horse-racing industry to finance renovations at Belmont Park race track on Long Island.
Hochul says taxpayers would be reimbursed in full, plus interest, in 20 years.
Huh? The racing industry has been losing tens of millions over the last decade. Yet somehow, Hochul’s crystal ball sees a renaissance coming.
In fact, that forecast is a self-serving New York Racing Association-commissioned study that she won’t release.
Only a summary is public, and two experts interviewed by NY Focus call it “clearly unreasonable” and “mostly bogus.”
The facts are clear: Attendance at New York racetracks is down from over 11 million fans 40 years ago to little more than 2 million diehards today.
Tax revenue from the tracks has fallen from the hundreds of millions to roughly $10 million.
By the way, the public still supports the tracks to the tune of $200 million a year to get that measly $10 million return in tax receipts.
Albany is literally burning public money to keep the NYRA alive.
This latest “investment” looks more like a bid to buy votes — on top of the $68 million the state just put into the UBS Arena, the Islanders’ new home at Belmont.
It also echoes Hochul’s bid to expand the yearly film and television tax credit from $420 million to $700 million — a 70% boost — though in that case the motive (as it was under Gov. Andrew Cuomo) is more to win Hollywood donations and some face time with the stars.
Plenty of movies and TV shows would still film in New York without the bribe.
You can make a “cultural heritage” case for keeping New York’s horse-racing industry alive, even though the free market would execute it.
But don’t insult the public by pretending the state can reap a windfall by burning more taxpayer cash on this money pit.
The Empire State faces a dire budget future; if it’s going to turn the economy around, it needs to put broad tax reduction far ahead of special-interest giveaways.