A state committee approved a bill that would divert sports wagering taxes to property tax relief for Atlantic City residents.
The bill, which now heads to the full Senate, would take the 1.25 percent tax that currently goes to the CRDA's efforts to market the city and relieve some of the property tax burden.
Atlantic City's tourism industry includes room, luxury, parking and sports wagering taxes, Mayor Marty Small told the committee Thursday morning.
"Atlantic City taxpayers benefit from none," he said. "I need the committee to make that make sense."
This would give about $2 million back to taxpayers, according to Small and the bill's sponsor, Burlington County Democrat state Sen. Troy Singleton.
But state Sen. Vincent Polistina, R-Atlantic, insisted it was closer to $10 million.
"The notion that the city's not getting anything from casino gaming is not accurate," he said.
The still-controversial PILOT bill sent about $150 million to $160 million from the CRDA to property tax relief, Polistina said, calling it a much more "global issue."
"We applaud any effort to return money to taxpayers," he said. But pointed to deeper issues with the city's finances and areas that have long gone without improvements.
He said with New York gaming "on the horizon," redevelopment and marketing are crucial to the city.
Small countered that the city's financial situation has greatly improved, with the third consecutive tax decrease on the way, the full-time staff at an all-time low and Moody's giving its seal of approval.
He also took issue with Polistina'sstance.
"I don't understand for the life of me how a local senator can vote against Atlantic City," he told BreakingAC. "You're representing the people of Atlantic City, not state agencies."
"This is a terrible time to be taking additional revenue from the CRDA," Polistina told BreakingAC in a statement. "After the diversion of tens of millions from the CRDA as a result of the recent PILOT legislation, we are severely hampering our efforts to redevelop Atlantic City at a time when we must be planning for the additional competition from New York gaming.
"CRDA must have the resources necessary to invest in a city which in many ways looks worse now after billions of dollars of investment and 44 years of gaming than it ever has," he added.
Small insisted the move is not a knock at the CRDA.
"They have been a great partner and done so much for the City of Atlantic City," he said.
The committee approved the measure 3-2, with Polistina and state Sen. James Holzapfel, R-Essex, Hudson and Union, voting against.
Sponsor Singleton, along with the committee Chair James Beach and Vice Chair Vin Gopal, both Democrats, backing it.
