Catskill OTB to Shut Down After 48 Years Due to Financial Struggles
After nearly five decades of operation, Catskill Regional Off-Track Betting Corporation (OTB) will cease accepting wagers at the end of this month. The closure marks the culmination of an almost decade-long financial struggle, coupled with mismanagement and failure to adapt to New Yorkâs rapidly shifting gambling landscape.
The Company Faded into Irrelevancy
Catskill OTB, which once thrived as a hub for horse racing bets, operated from the Hudson Valley region and through its online platform, Interbets. However, as sports betting became legalized and online platforms dominated the wagering space, the corporationâs relevance and profits dwindled rapidly, culminating in the current development.
Horse racing isnât growing its fan base, and total betting has decreased, so have our revenues.
Wanda Williams, Catskill OTB president
The OTB announced its closure on its website, describing the move as a temporary pause rather than a permanent end. The organization plans to restructure and seek legislative support in 2025, hopefully resuming operations. Wanda Williams, Catskill OTB president, said the company was determined to address outstanding debts to the state and other entities during the hiatus.
Catskill OTB has struggled to keep its head above water for years, hampered by regulatory hurdles and a lack of modernized offerings. Once operating multiple betting kiosks and physical branches, the corporation scaled back significantly after the pandemic, reducing its presence to online betting and limiting its physical presence to select restaurants.
A Comeback Is Not Impossible
State records showed that Catskill OTB handled just $9 million in horse racing wagers in 2023âa fraction of the total bets generated by other regional OTBs. Despite generating $746 million in contributions to governments and the horse racing industry over its lifetime, declining betting activity made its current business model unsustainable.
Williams cited repeated legislative setbacks as a prime reason for the shutdown. A proposal to expand operations to New York City and offer video lottery terminals was rejected, limiting Catskill OTBâs options. In a recent letter to Governor Kathy Hochul, Williams pleaded for an emergency meeting to discuss the organizationâs dire circumstances and request state intervention.
I am requesting an emergency meeting to discuss the history of the relationship with the NYSGC and put together an action plan that supplements and supports a State Public Benefit Corporation in serious need of attention and assistance.
Wanda Williams, Catskill OTB president
Catskill OTB will officially stop taking new bets on 30 November, while account holders can access their funds until 15 December. The shutdown affects about a dozen employees, but the organization still hopes for a comeback, pending legislative reforms and financial restructuring. However, returning to profitability remains challenging, especially given the corporationâs history of mismanagement.
