Moody’s Investor Service said recent agreements between the state and Indian tribes over gambling disputes is a “credit positive” for the local governments that will now share in the revenues from the casinos.
The Senecas owe the state about $600 million, as well as owing money to the cities.
“The loss of the revenue has caused severe budgetary stress for both cities: the Senecas owe Niagara Falls $17 million and the city will need to borrow for cash flow purposes later this year if the Senecas to do not remit the revenues,” Moody’s said.
“The agreements with the other Indian Nations may signal the possibility of a near-term settlement with the Senecas.”
Gov. Andrew Cuomo over the past week announced agreements with the Oneidas and Mohawks for exclusive gaming rights in central New York and northern New York, respectively. A piece of the revenue will go to the local counties.