New York’s Casino Expansion Reignites Northern New Jersey’s Racino Push

New York’s advancement of three full-scale downstate casino proposals — now recommended for licensing but still awaiting final approval from the state’s Gaming Commission — is triggering a fresh push in New Jersey to revisit an idea long considered dead: allowing a racino with slots and potentially table games at the Meadowlands or Monmouth Park racetracks.

For lawmakers pushing for expansion, the message is straightforward: with New York City poised to transform its gaming landscape, New Jersey risks losing significant revenue if it doesn’t act.

New York City Comes a Step Closer to Casinos

On December 1, the New York State Gaming Facility Location Board recommended three downstate casino proposals to receive licenses by the state’s Gaming Commission. The projects, located in Queens and the Bronx, would give New York a Las Vegas–style metro gaming options as early as mid-2026.

For supporters of expansion in New Jersey, the New York City developments mark a time to act. Northern New Jersey residents who currently play in Atlantic City could cross the Hudson and spend their money there.

Senator Pennacchio Renews Racino Campaign

State Sen. Joe Pennacchio (R-26) says the developments in New York validate what he has warned about for years.

In a recent statement, he argued New Jersey is “leaving untapped money on the table.” He added that “a racino at the Meadowlands alone would be a game changer for New Jersey taxpayers.” He criticized state leadership for allowing New York to “charge ahead… yet leaders refuse to act.”

Pennacchio stated that “New Jersey continues to sit on its hands.” He called the Meadowlands Racetrack the state’s single most valuable gaming asset that’s not being fully utilized.

SCR130: A 2025 Revival of 2016 Idea

There is an active bill in the New Jersey legislature for a constitutional amendment that would allow two casinos outside Atlantic City, specifically at the Meadowlands and Monmouth Park racetracks.

The resolution, SCR130, outlines a revenue plan that directs funds toward property tax relief, special education, pensions, tourism in Atlantic City, and support for the state’s horse racing industry. The proposal represents a significant shift from the 2016 failed expansion effort. Then, voters rejected it by a margin of 77% to 23%.

Supporters claim this is a more targeted, more voter-friendly model. Unlike the 2016 referendum, SCR130 limits expansion to two racetracks rather than opening the door to statewide casino proliferation.

The resolution, introduced in May, has not seen any action in the Senate.

Why 2025 Is Different

Supporters argue the political and economic landscape has shifted dramatically:

• New York’s casinos will directly compete for New Jersey’s northern players — a scenario that didn’t exist in 2016.
• The Meadowlands has become one of the highest-grossing sports wagering locations in the country. Backers argue that adding slots and table games is the natural next step.
• Racetracks are struggling financially, and proponents argue that racino revenue is crucial to preserving jobs and enhancing purse structures.
• SCR130 earmarks revenue with more specificity, something advocates believe could resonate with property-tax-pressed voters.

Governor Murphy Says He’s Open

Gov. Phil Murphy has repeatedly signaled he is “open-minded” about casino expansion beyond Atlantic City, especially as neighboring states grow their markets.

In comments reported by regional outlets in the summer, Murphy stated that he supports considering new casino locations if it helps retain New Jersey’s gambling and tourism dollars that could otherwise flow to New York.

The governor’s openness is notable — no previous administration has publicly supported reopening the casino-expansion debate after the 2016 blowout defeat.

Industry observers say the “now or never” argument is shaping the conversation. New York is pulling the region’s gaming gravity northward, and New Jersey must decide whether to counteract or concede.

Opposition Remains Strong

Atlantic City stakeholders remain cautious. They have warned for a long time that adding gaming up north could cannibalize in-state revenue. Some lawmakers argue that weakening Atlantic City’s monopoly risks destabilizing the city’s post-COVID recovery. This summer marked Atlantic City casinos’ strongest summer in over a decade.

Voter skepticism also remains a significant unknown. While the Meadowlands is popular among sports-betting customers, it’s unclear whether statewide voters would approve expansion — even in the face of New York’s rapid build-out.

Some argue that the continued popularity of online casinos may translate to a limited appetite for retail casino expansion.

What Comes Next

While proponents like Pennacchio are renewing calls for action, SCR 130 has little time remaining in the 2025 session, which expires at the end of the year.

While it would carry over into the 2026 session, the measure must pass with a 3/5 supermajority by August 2026 to reach the November ballot. That is considered extremely difficult to achieve.

Meanwhile, New York’s Gaming Commission is expected to finalize its three casino selections by the end of the year. That timeline will remain central to political calculations in New Jersey.

For now, the race is less about who opens first — and more about whether New Jersey decides to compete at all.

Image credit: Meadowlandsracetrack via Wikimedia Commons (license)