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Atlantic City Casinos Close During State Budget Impasse

Wednesday, July 05, 2006

ATLANTIC CITY, New Jersey – As reported by the Associated Press: "New Jersey's casinos ushered the last of the gamblers away fromslot machines and tables Wednesday, and janitors lockedAtlantic City Casinos
Atlantic City Casinos
  the doors behind them as a state government shutdown claimed its latest victims.

"In the first mass closure in the 28-year history of Atlantic City's legalized gambling trade, all 12 casinos were under state orders to lock up.

"Atlantic City's casinos are lucrative for New Jersey. They have a $1.1 billion payroll, and the state takes an 8 percent cut — an estimated $1.3 million a day. But as a stalemate over the state budget entered its fifth day Wednesday with no deal in sight, even they had to shut down.

"With no state budget, New Jersey can't pay its state employees, meaning the casino inspectors who keep tabs on the money and whose presence is required at casinos are off the job.

"…The problem started when the Legislature missed its July 1 constitutional deadline to pass the budget amid a fight with Gov. Jon S. Corzine over his proposed boost in the state sales tax.

"…Up to 15,000 casino employees would be thrown out of work by the closings, and that number could double if the casinos remain closed through the weekend, according to Robert McDevitt, president of Local 54 of UNITE HERE, a labor union that represents rank-and-file casino hotel workers.

"The gamblers were well aware of the loss for the city.

"'They're going to lose a lot of money,' said Jerome Harper, 42, of Philadelphia, who was playing the slots at Resorts Atlantic City. 'It's bad. Why close it down when you could just do your job and put the budget together? That's what they're paid for.'

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