Public Employee Press

Making progress toward saving OTB

By DIANE S. WILLIAMS

The union appeared to be making progress toward saving the jobs of 1,500 OTB workers in mid-April as the City Council and top Albany leaders called for preventing the threatened June shutdown of the city’s Off-Track Betting Corp.

In a measure aimed at saving the jobs, the City Council voted unanimously April 16 for Resolution 1235, which urges Albany lawmakers to save the Off-Track Betting Corp. and permanently correct the formula for distribution of its proceeds.

“I am optimistic that Albany will act to save OTB and our jobs. I have spoken to the governor’s staff, state Senate Majority Leader Joseph L. Bruno, Assembly Speaker Sheldon Silver and other leaders in Albany, who have given me their word that they are going to work it out so no jobs are lost,” said OTB Employees Local 2021 President Lenny Allen.

Gov. David Paterson, Bruno and Silver went beyond private assurances April 15 with a joint public statement announcing their commitment to save OTB.

The Finance Committee heard testimony from Allen, city Comptroller William Thomp­son and OTB President Raymond V. Casey at a hearing on April 9.

Roberts praises City Council
The City Council vote April 16 followed a press conference called by Finance Committee Chair David I. Weprin and attended by DC 37 Executive Director Lillian Roberts and Allen. “Resolution 1235 is a starting point for working together to find a solution to a problem that affects many stakeholders,” Weprin said.

“Today’s action on the part of the City Council goes a long way,” said Roberts.

As PEP went to press, the union had received an official layoff notice from OTB, whose directors have voted to close by June 16 unless state legislators act.

“If New York City OTB ceases operations, our members will be out of work and our retirees will lose their health benefits,” Allen said. “It would hurt the city, state and local economies in neighborhoods in the five boroughs and open the door for the return of illegal bookies who siphon off millions of dollars from government.”

Union “cautiously optimistic”
Union leaders remained “cautiously optimistic” as Albany leaders pledged to save OTB.

But just how legislators would fix the distribution formula and which plan would work best for the long term were not known, said DC 37 Political Director Wanda Williams.

OTB tops DC 37’s agenda for its annual Lobby Day in Albany May 6.

Over the years Albany has altered the OTB formula to reduce New York City’s share. OTB forks over a disproportionate 74 percent of its $125 million annual profits to the New York Racing Association.

Casey testified that the current fiscal schedule leaves OTB coffers empty by June and said that in a shutdown the agency would be unable to pay for employees’ accrued leave.

New York City OTB employees handle 40 percent of all racing wagers in the state, and the agency funnels enormous revenues to Albany. DC 37 leaders, the City Council and many members of the Senate and Assembly agree that in this weakened economy OTB is a billion-dollar-plus business New York State cannot afford to lose.

“It does not make sense that the state would risk losing millions because it won’t change the formula,” Roberts said.
“This is an emergency for our members and for our city and our state. It is our number one emergency. We thank Chairman Weprin, City Council member Robert Jackson and everyone here today for working with us.”

As the clock ticked toward OTB’s closing bell, DC 37 continued to lobby state legislators to do right by the 1,500 threatened workers. Weprin said, “We urge Albany to act now.”