The 17 municipalities that co-own the Western Regional Off-Track Betting Corp. can expect a payout of $7.8 million in 2025, according to an operational for the new year approved by the board of directors on Thursday.
If the 2024 estimate of $7.4 million holds, that's a $400,000 increase, but it still falls far short of 2023's record of $10,255,058.
The plan projects a net gaming win of $90,495,000.
Of that, close to $45 million will be paid to state agencies by statute.
The total operating expenses for all operations will exceed $38.6 million. Batavia Downs will account for $33 million of these expenses. This is an increase of $1 million.
Net earnings (profits) from all operations are expected to exceed $8.8 million, with branches generating more than $500,000 in surcharge revenue, losing more than $1.5 million, leaving municipalities the anticipated $7.8 million payout.
Branch operations continue to be a financial drain on the organization, with revenue steadily decreasing every year.
The anticipated handle for branch operations is projected to be $38.8 million in 2025, down from the planned handle of $43.9 million in 2024. OTB will earn more than $8 million on commissions, with other revenues exceeding $1.8 million. Statutory payments will be more than $4.7 million. Operating expenses will grow by more than $100,000 to $5.6 million.
There are eight branches within WROTB, 28 EZ-Bets sites(including four expected to start in 2025), plus online and telephone wagering.
The plan calls for Batavia Downs to operate 939 gaming machines, with a win per terminal per day of $267.17 for a total net win of $90.5 million.
Food and beverage revenue is expected to exceed $5.6 million with operational earnings exceeding $1.1 million.
The Rockin' the Downs concert series will return in 2025 with eight concerts, including a promise of some bigger name acts. Projected revenue from all sales is expected to approach $1 million. Net earnings will be less than $100,000. The plan does not project an increase in hotel and gaming revenue associated with the concerts.
Projected revenue for the hotel in 2025 is $2.9 million with a profit of $780,000.
At the track, between the summer-fall season and the winter season, there will be 71 racing dates. The anticipated handle is $968,200.
Administrative costs is projected to exceed $8.2 million, an increase of $1 million. The increase is related to ongoing demand for new and upgraded computers and software, legal services, and retirement benefits (including one buyout), plus the increased cost in health insurance.
Health benefit plans will increase by 6.5%.
