The End of an Addiction or Economy? New Jersey Lawmakers Scramble for Renewing Open Casino Licenses

A two-party license and renewal bill moving towards the last steps of approval in New Jersey would extend legal operations in online and physical casinos and keep them up and running for another ten years, ensuring the economic revenue and cash floor in New Jersey.

However, tensions rise as lawmakers scramble to speed up processes as this is the last year the previous bill remains in effect.

Casino Industry’s Economic Impact on New Jersey

Traditional and online casinos have been a part of New Jersey’s modern tradition for years, especially in Atlantic City, New Jersey, which is known for colorful parties, music, and a plethora of casinos available for anyone at any time as well as extensive online casino platforms like FanDuel online slots and live sportsbook games.

To recover against competitive states and market recessions, former governor Chris Christie championed a new bill legalizing casino gambling and placing initial regulations. The said law mandates online and physical online casinos to generate revenue for ten years, which comes to this year catching up on the renewal process before the November 2023 deadline to secure the industry and offer playing experiences with consumers.

Advocates of the bipartisan bill push its economic impact on the state, especially its contribution during the height of the COVID-19 Pandemic. The revenue gain and contributions of the industry have grown exponentially, pushing over $250 million per year under the Casino Revenue Fund statistics.

Ongoing Proposals on Extending Casino Licenses

A two-way or bipartisan bill, which is expected for the final approval steps, allows for a 10-year extension of state-approved casino licenses. Its approval is vital as the previous bill allowing such licenses is set to expire in November 2023.

The current proceeding of the new bill is already approved for the next steps by the state Assembly committee and set for a legislative review by the Senate’s budget committee. Should the new bill be passed before the expiration, businesses will thrive further and secure cash flow as one of the most significant sources of revenue for New Jersey.

As mentioned, New Jersey hosts many long-standing hotel casino brands and the entertainment industry. Online casino establishments have been legalized in the state since 2013 as part of raising Atlantic City’s level of economic conditions, and it has since contributed to the state’s source of cash flow, according to Don Guardian. Assemblyman and former Atlantic City Mayor state the city’s economic need for the casino industry.

Concerns Over Gambling Addiction

While the bill is processing and under review, there are rising concerns and talks about the rising gambling addiction in New Jersey since the first approved bill legislation. The convenience brought by online casinos and other forms of gambling like sportsbook bets has been associated with the potential growth of addiction, and other related issues have taken the bill a step back for consideration.

The creation of a “diversion court” has also been proposed, a recovery program that aims to offer mental and rehabilitation treatments for people suffering from different forms of gambling addiction. Such a program requires commitment and full participation of individuals seeking change through mental health professionals and effective treatment methods.

Critics question whether the bill should be revised and pushed for more assets on therapy and rehabilitation since there are newer and more convenient ways to bet, including sportsbook games from major athletic events. It is a debate amongst the two parties as the state tax revenues from such industries are seeing a climb in contributions which pro-renewal advocates push for New Jersey.

Seeing Potential For Bigger Cash Flow

Speaking of increasing contributions, the Casino Reinvestment Development Authority indicates a net revenue rise in the recent quarterly figures. According to public state records, there is an overall growth of $287 Million.

This denotes the possibility of continuous growth in the next ten years should the bipartisan bill be approved. To this day, there is still a robust debate against both sides of lawmakers pushing for economic growth through the long-standing gambling industry and the rising concerns of addiction and gambling-related crimes.

Final Thoughts

New Jersey suffered a deep economic crisis, only to recover from legalizing online casinos and building a solid foundation, leading to Atlantic City being the most significant city to host and cultivate the casino industry. But with good economic advantages comes the rising threat of addiction-related crimes and weak rehabilitation programs.

Regardless, all sides of the debate offer valid points; whether the bi-partisan bill gets approved before November 2023, this issue highlights the economic impact and exploitative nature of the traditional casino and online gambling industry; we can only speculate and hope for positive change for a better operating license and a better New Jersey from families to lawmakers.