To say that the Rutgers’ report sent a shock wave across New Jersey is an understatement. Even the Assembly committee felt the aftermath of the report. Indeed, Jim Johnson demanded a review of the current legislation in Atlantic city. His request was because of the things the report highlighted. But it’s not a coincidence it seems. Indeed, in the past months, many have questioned the viability of the current market. But, Jim Johnson pressed to congress to act now before it’s was too late.
Now if you’ve been following the news. You already guessed that all didn’t well receive Jim Johnson plea to cap licenses. In fact, Democratic Assemblyman Ralph Caputo especially opposed to the idea. But it’s not a big surprise here. After all, Caputo has long been in favour to restore the Showboats’ gambling license too. And this is an idea that causes a lot of controversies nowadays. And this is to say the lease.
But, Caputo reminded the Assembly that. The GGR increased 15% since Hard Rock and Ocean Resort reopened. And the decrease in profits is because other properties have had to update to stay current. Plus, he urged the comity not to jump to cannibalization conclusion yet.
All and all, Jim’s plea to the Assembly isn’t unreasonable. Even if some have accused it of being somewhat conservative. On October 31st, he re-iterated that he believes that steps have to be taken. And this to ensure that the NJ casino industry is healthy. But also contribute towards the region and global economy.
But maybe all parties will agree. Indeed, taking steps doesn’t have to mean limiting casino licences. But it could also mean creating new incentives. And incentives that would drive more industry to come here. Even non-gambling ones could help towards profitability. And this could counterbalance the cannibalization that everyone fears nowadays it seems. But also support a thriving industry that banks on tourism to succeed.