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Pataki Budget Depends on Gambling Revenue

By Mark Scott

Buffalo, NY – As he tries to close a more than $11 billion deficit in the coming year, Governor Pataki is looking to gambling to fill the state's coffers.

The governor's proposed budget for 2003-2004 includes fee increases, a temporary tax on hospitals and a SUNY tuition hike to raise revenue. It also depends on gambling revenue.

The largest amount, some $5.6 billion, would come from the state lottery. Of that amount, $1.8 billion would be spent on education.

The new Seneca Niagara Casino, where revenues during its first month of operation are running 20 percent higher than projected, would generate $40 million for the state. And that revenue source would increase if more Seneca casinos are opened, including the one planned for Buffalo.

Pataki is also hoping to get his long-stalled plan for video lottery terminals at racetracks off the ground this year.