File photo by Howard Owens.
On Thursday night, Byron Brown, president and CEO of Western Regional Off-Track Betting, had something to celebrate during the concert of polka star Jimmy Sturr in Park Place at Batavia Downs.
Earlier in the day, the state Senate and Assembly passed a budget that includes a 5% reduction in taxes on OTB revenue over the next five years. The budget is now on Gov. Kathy Hochul's desk, and she is expected to sign it.
Brown projects an additional $4.5 million in revenue for the corporation, and with revenue growth likely to top a total of $25 million in additional revenue over the next five years.
The new tax structure starts on June 1.
"We're thankful for the support that we received from the governor, the members of the Assembly, and the Senate," Brown said. "Through this process, we were in pretty constant communication with the Governor's Budget Office, Assembly, Ways and Means, and Senate Finance, and we were able to work closely with them on how the bill was drafted, which we deeply appreciate."
The additional profits will help fund a 3% raise for employees, a reduction in the employee share of health insurance costs, and an increased distribution to the 17 municipalities that control OTB, Brown said.
Under the current health insurance plan for employees, those hired before 2011 pay only 5% of the monthly premium. Those hired after pay 72%.
A family health insurance plan is curently $3,325 monthly. If hired after Jan. 1, 2012, the employee contribution is $2,394.
In March, according to a response from the corporation to a FOIL request from The Batavian, the corporation paid out $204,598 in insurance premiums for employees at the 5% tier, $13,408 at the 10% share tier, and $13,788 at the 20% tier. There are apparently no employees on the OTB's health plan at the 72% tier since OTB did not pay any premiums for the tier group.
The corporation paid out $33,788 in premiums in March for retirees and current and former board members (grandfathered in because of longevity).
At the end of March, of OTB's 440 employees, 188 were enrolled in health insurance coverage. In 2024, the corporation spent $2,912,879.27 on health insurance.
