The city of Niagara Falls is slated to receive $12.3 million as compensation for payments lost in New York’s dispute with the Seneca Indian Nation over casino revenue-sharing.
The announcement from Gov. Andrew Cuomo’s office characterized the bailout as an advance against funds allotted the city from the state’s 25 percent cut of the annual slot machine win from Seneca Niagara Resort & Casino.
The tribe, which also owns casinos in Buffalo and Salamanca, halted those payments in 2016, claiming the obligation ended with the expiration of the tribe’s 2002 compact with the state. The state contends that amendments to the compact concluded in 2009 effectively extend the payments for several more years. The two sides are in arbitration.
A spokesman for Buffalo Mayor Byron Brown said there’s been no word from Cuomo about the estimated $17 million it’s out since the dispute started, but the city “remains confident,” he said.
“The city has an open line of communication directly with the leadership in Albany, and we feel the situation will be resolved in a manner that is beneficial,” he said.
Salamanca Mayor Michael Smith said he’s received a pledge from Cuomo’s office that aid will be forthcoming if arbitration goes against the state. The dispute has left the city with a $6 million hole in its $9.1 million budget.
“We have received assurances from the Governor’s Office that come budget time, the state will be there for the city,” Smith said.
