Moody's: Casinos good for NY communities, though benefit may be 'muted' as industry struggles

Industries Associated Press

A leading rating agency says new casinos coming to upstate New York will benefit their local communities — even though the overall outlook for the gambling industry remains negative.

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Moody's Investors Service says Friday that this week's decision to award casino licenses to projects in Sullivan, Seneca and Schenectady counties is a "credit positive" for the local governments that stand to raise millions in new revenue.

But Moody's also cautions that the casinos' long-term economic benefit may be "muted" given the increasingly saturated gambling market in the northeast. Moody's says the national gambling industry is facing reductions in revenue and demand.

Gov. Andrew Cuomo has hailed the state's gambling expansion, saying it will lead to increased jobs and tourism in struggling areas upstate.