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Democrats' gaming summit in Atlantic City exposes North, South Jersey divide

All Dems emphasized jobs, but divide emerged over reinvigorating Atlantic City but not Meadowlands

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Democrats met in Atlantic City today to discuss Gov. Chris Christie's proposals on the future of gambling in New Jersey.

ATLANTIC CITY — Gov. Chris Christie’s controversial plan to revamp gaming in Atlantic City got its first legislative hearing today in a "summit" of Democrats who uniformly preached the need to protect and create jobs, but quickly exposed the great divide between North Jersey and South Jersey over whether gambling should be allowed in the Meadowlands.

The wide-ranging conference in Atlantic City opened with applause to a red-coated bugler belting out the traditional "call to post," a musical reminder of horse-racing supporters’ disdain for the plan as race tracks — slated to lose state subsidies under the plan — fight for their survival.

"This is not about a region. This is about jobs, very important jobs," Senate President Stephen Sweeney (D-Gloucester) told a crowd of more than 600 at the Atlantic City Convention Center. "It’s not about horse racing. It’s about jobs. This is not about casino gaming. It’s about jobs. All areas of the state need to win here."

Christie last month endorsed a report led by former Sports Authority chairman Jon Hanson that recommends, among other things, a state takeover of the gaming and entertainment district of Atlantic City. Critical of the casino gaming subsidies of the ailing horse racing industry, it suggests ending live horse racing in New Jersey and either selling the Meadowlands track for $1 or leasing it to a private concern.

While panel members also stressed jobs, the North Jersey/South Jersey lines emerged as Democratic lawmakers either threw their support behind a reinvigorated Atlantic City at the expense of possible Meadowlands gaming or a rebranded Meadowlands that shares the gaming spotlight with Atlantic City.

"The Hanson Report in my opinion is incomplete, at best, and it is misguided, at worst," said Sen. Paul Sarlo (D-Bergen). "It essentially puts us in the position of playing favorites, of choosing amongst its children by supporting one region at the expense of another. That is unacceptable."

Sarlo became embroiled in a heated debate with Mark Juliano, CEO of Trump Entertainment Resorts and president of the New Jersey Casino Association, who urged the panel to reject proposals to install video lottery terminals at the Meadowlands track instead of closing it.

"Authorizing slot machines, VLTs or table games elsewhere in the state would not only take substantial gaming revenue from our casino resorts, but, far more importantly, would present a substantial obstacle to the ability of this market to attract the private capital needed to revitalize the city and the casino industry," Juliano said.

Sarlo noted the opening of a race track with table games and slot machines in Chester, Pa., owned by Harrah’s Entertainment, which also owns four casinos in Atlantic City. He questioned why Juliano did not consider that competition to Atlantic City while casinos contend gaming at the Meadowlands would be.

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Juliano said spreading gambling around the state would make investors reluctant to commit money for new projects because they would consider Atlantic City’s gaming market too unstable.

He said Harrah’s, Trump, Tropicana and Borgata today formed a group called Atlantic City Partnership that will focus on marketing efforts, including building a new brand for the city.

Nicholas Hecker, a principal with Hard Rock International, reiterated the company’s desire to build a 200-room casino hotel in Atlantic City, but said the $400 million project would be contingent on amending the Casino Control Act to allow for Atlantic City casino hotels with fewer than 500 rooms. He said "time is of the essence" in getting legislation passed because there is a limit to how long financing will be available.

Sen. Raymond Lesniak (D-Union), meanwhile, said he continues to lead the charge to bring sports betting to Atlantic City.

The panel, which will also hold meetings at the Meadowlands and in Trenton, took testimony from casino executives, building trades and contractors, vendors, and resort hotel workers. Atlantic City Mayor Lorenzo Langford and two city council members told the lawmakers they welcomed the assistance, but said they want a partnership rather than a dictatorship.


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