Casino City's North American Gaming Almanac - 2022-2023 Edition Sample Pages

United States New Jersey Casino City’s North American Gaming Almanac 557 New Jersey New Jersey licenses and regulates casinos, pari-mutuel horse race betting, sports betting, daily fantasy sports, a state lottery and charitable bingo. Regulated internet gambling became legal in New Jersey in 2013, and the state approved wagering on competitions determined by skill in 2015. In June 2018, New Jersey began accepting legal sports wagers at select casinos and horse tracks, one month after the Supreme Court struck down PASPA. In 1976, the state approved casinos, but only within Atlantic City. Residents of the state rejected an expansion of casino gambling in November 2016, with a referendum on the repeal of the provision that limits casinos to Atlantic City. The referendum would have authorized two new casinos at least 72 miles from Atlantic City. While Atlantic City had at one time been the only place on the East Coast with casinos, competition from casinos in Pennsylvania, Connecticut, Maryland, Delaware and New York resulted in plummeting revenues in the Garden State. Four Atlantic City casinos closed in 2014, dealing a devastating blow to the Atlantic City economy and to New Jersey's reputation as a gaming state. Atlantic City casino revenues dropped from an all-time high of $5.2 billion in 2006 to just $2.56 billion in 2015. In response to the casino closures, New Jersey resorted to extraordinary measures to bring sports betting to the state. In September 2014, Gov. Chris Christie issued a directive that said the state's racetracks and casinos could offer sports betting and would not be prosecuted or face any civil liability. The legislature passed a law, which Christie signed in October 2014. William Hill opened a sportsbook at Monmouth Park days later and planned to offer sports betting on NFL games that weekend, though betting was prevented by an injunction from a district court judge. The issue was considered by the Third Circuit Court of Appeals, which held an enbanc rehearing of the case on 17 February 2016. The case made its way up to the U.S. Supreme Court, and on May 2018, the Court struck down the Professional and Amateur Sports Protection Act (PASPA) of 1992, deeming it unconstitutional. Gov. Phil Murphy signed New Jersey sports betting into law on 11 June 2018, and three days later he placed the state's first legal sports bet. The state is also considering a proposal to allow two "boutique" casinos. The smaller properties would need just 200 hotel rooms, rather than the 500 currently required in other Atlantic City resorts. The bill had advanced through a state Senate committee, but had not yet been considered by the full Senate. Revenue by Gaming Activity Revenue in Millions USD 2017 2018 2019 2020 Casino/Card Rooms 2,413.42 2,510.75 2,686.54 1,512.66 Charitable Gaming 55.34 0.00 0.00 0.00 Lotteries 1,284.07 1,352.29 1,318.41 1,386.23 Online Gaming 245.61 298.70 482.70 970.34 Race Wagering1 56.10 53.55 50.09 27.41 Sports Betting 0.00 94.18 362.50 398.52 Total 4,054.53 4,309.47 4,900.24 4,295.16 1 2017-2020 revenue has been estimated using the industry average of wagered returned to bettors of 80.3% Revenue Change from Prior Year 2017 2018 2019 2020 Casino/Card Rooms 0.31% 4.03% 7.00% -43.69% Charitable Gaming 2.13% Lotteries 0.67% 5.31% -2.50% 5.14% Online Gaming 16.21% 21.62% 61.60% 101.02% Race Wagering -3.60% -4.55% -6.46% -45.28% Sports Betting 284.91% 9.94% All Gaming Activities 1.23% 6.29% 13.71% -12.35% Inflation Adjusted Revenue Revenue in Millions 2021 USD 2017 2018 2019 2020 Casino/Card Rooms 2,745.07 2,786.01 2,928.51 1,625.21 Charitable Gaming 62.94 0.00 0.00 0.00 Lotteries 1,460.41 1,501.23 1,438.16 1,492.61 Online Gaming 279.34 331.56 526.05 1,044.87 Race Wagering 63.81 59.45 54.62 29.52 Sports Betting 0.00 104.16 394.93 428.09 Total 4,611.57 4,782.42 5,342.27 4,620.31 Inflation-Adjusted Revenue Change From Prior Year 2017 2018 2019 2020 Casino/Card Rooms -1.76% 1.49% 5.11% -44.50% Charitable Gaming Lotteries -1.44% 2.80% -4.20% 3.79% Online Gaming 13.72% 18.70% 58.66% 98.63% Race Wagering -5.61% -6.82% -8.13% -45.95% Sports Betting 279.14% 8.40% All Gaming Activities -0.88% 3.70% 11.71% -13.51% Gaming Profile by Type of Location Locations Bingo Halls ........................................ 1 5.3% Casinos ............................................... 9 47.4% Horse Tracks ...................................... 3 15.8% OTB Facilities .................................... 6 31.6% Total .................................................. 19 100.0% Slots Casinos ......................................... 17,977 100.0% Table Games Including Poker Casinos ........................................... 1,298 100.0% Poker Tables Casinos ............................................. 194 100.0% Table Games Excluding Poker Casinos ........................................... 1,104 100.0% Casino and Card Room Gaming In 1976, New Jersey voters approved casinos in Atlantic City by referendum, and the New Jersey Casino Control Act was signed into law in 1977. New Jersey casinos are regulated by the New Jersey Casino Control Commission and the Division of Gaming Enforcement (DGE). The Commission, responsible for licensing New Jersey's casinos and key employees, is an independent agency within the Department of the Treasury; the DGE is part of the state's Attorney General's Office. The DGE investigates casino and key employee license applications and makes licensing

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