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Resorts World NYC Fights State Over $500M+ Casino Tax Dispute While Workers Watch

The Casino Opened. The Lawyers Got Busy.
Resorts World NYC launched New York City's first full-scale casino in April 2026. The ink was barely dry before the company and the state were at each other's throats over money.
The core dispute: Resorts World says its mandatory "racing support" payments to the horseracing industry are already baked into its tax burden. The New York State Gaming Commission disagrees — and says those payments, worth at least $150 million per year, must come on top of taxes, according to four sources familiar with the discussions, as reported by New York Focus on June 1, 2026.
That gap adds up fast. With competitor casinos — Steve Cohen's Metropolitan Park in Queens and Bally's in the Bronx — not scheduled to open until mid-2030, Resorts World is on the hook to cover ALL racing support payments alone until then. That's a potential bill of over $500 million in four years. For a single property.
Resorts World's Play
The company isn't sitting still. According to New York Focus, Resorts World has been pitching state lawmakers on legislation that would have the Gaming Commission pay racing support directly "from the commercial gaming revenue fund" — the same pool where Resorts World's taxes go, earmarked primarily for education and public transit.
Resorts World spokesperson Stefan Friedman framed it as a technical fix, not a bailout. He pointed to the company's track record: $4.5 billion to education funds, $2.5 billion to horseracing interests, and $500 million to the MTA over 15 years. Friedman said the company will "strictly abide by the payments we agreed to in our winning bid."
Under the proposed bill, Resorts World would stop making its own direct racing payments — and the state would pick it up from the gaming revenue fund — until a second NYC casino opens. That's money that otherwise goes to education and transit.
Governor Kathy Hochul's office told New York Focus the legislation "is designed to ensure that the racing industry does not suffer adverse consequences." It's a careful non-answer that tells you nothing about who actually absorbs the cost.
Who Actually Loses When the Big Dogs Fight?
The Daily Wire flagged what the outlet described as a disconnect between New York casino union leaders and their rank-and-file workers — with the headline pointing to leadership profiting while workers struggle. The Daily Wire's source material was thin on specifics, but the underlying tension it points to is real and documented.
Go back to 2020: when COVID shuttered every New York casino, nearly 5,000 union workers at properties including Resorts World, Rivers Casino, del Lago, and Empire City were laid off overnight. The Hotel Trades Council — led by President Rich Maroko — spent months in legal battles just to keep healthcare coverage alive for members who weren't earning a dime.
The HTC did win those fights. Healthcare extensions were secured at every major property, protecting close to 5,000 members and their families through the worst of the pandemic, according to Hotel Trades Council's own reporting.
The 2020 episode reveals a structural reality: workers are always the most exposed. When revenue dries up or a legal dispute freezes operations, it's the housekeeping attendants and dealers who feel it first.
What Mainstream Coverage Is Getting Wrong
Most coverage of the Resorts World dispute treats this as a dry regulatory story about tax accounting. It's not.
This is a $500 million question about whose priorities the state actually serves. Does the gaming revenue fund — legally designated for education and transit — get quietly redirected to cover horseracing industry payments because a well-connected casino company lobbied for a favorable bill? That's a legitimate public interest question.
The union angle is being ignored entirely. While executives and lobbyists negotiate nine-figure outcomes in Albany, the people cleaning hotel rooms and dealing cards at Resorts World NYC have zero seat at that table. Their wages, hours, and job security are downstream from every one of these decisions.
The Daily Wire's framing — union leaders getting rich while workers struggle — lacks specific numbers and hard sourcing. The underlying tension is real, but the evidence presented falls short of what the claim requires.
The Bottom Line
Resorts World NYC is a massive operation with a legitimate record of payments to the state. The company's argument that this is a technical accounting dispute may even be correct on the merits. But pushing legislation that routes $500 million in obligations through a public education fund — before ANY competing casino opens to share the burden — is not a technical adjustment. It's a policy choice with real costs.
Taxpayers and students don't get a lobbyist. Casino workers don't get a seat in Albany. The horseracing industry is fighting for its cut. And the politicians are sorting out who gets the check.