Chris Christie’s Bloated Estimates but Money for Online Gambling Keeps Flowing
While some critics and those in the media keep coming down on New Jersey Governor Chris Christie for his apparent overestimates of anticipated revenue and taxation derived from real money online gambling, few can say the new industry that kicked off late last month has been anything other than a huge success.
In fact, hardly anyone even spoke of the impact marketing dollars might have on the local economy. It’s much akin to what states like Iowa, Vermont and South Carolina experience during the lead up to Presidential primaries and caucuses. Local media outlets flush with new cash will ultimately lead to additional employment and contract service opportunities.
Casino companies are not just throwing money towards media outlets within the Garden State, New York City and much of Eastern Pennsylvania is also reaping the rewards.
That’s right, Governor Christie’s decision to sign a bill legalizing Web gambling in New Jersey is actually helping to boost the economies of neighboring states via the flow of new marketing dollars.
An independent online gaming analysis of expected New Jersey casino gross revenues from online gambling has projected numbers far short of Governor Christie’s budget figures — the third such study that has done so, John Brennan of the Bergen Record reported Friday.
Christie administration officials have estimated $160 million in first-year online gaming tax revenues for the fiscal year that will end in June and all three studies suggest amounts well below that figure. Each offer estimates within the $34 million to $40 million range.
These studies do not necessarily take into account New Jersey lawmakers desires to permit gamblers from overseas to eventually begin playing with state-licensed online casino and poker rooms. Likewise, the early success in New Jersey has prompted other states to take notice.
Sure Christie’s forecast might be a bit bloated but one will be hard pressed to find even the harshest critics calling legalized online gambling in New Jersey a failure by any stretch of the imagination.
- Chris Costigan, Gambling911.com Publisher
