The City of Buenos Aires demands the total gambling profit

Mauricio Macri, Mayor of the City of Buenos Aires, demanded the National Government the 100% of the games of chance profits for the city (they currently receive just a 26%).

The agreement, signed in 2003 during Aníbal Ibarra conduct in government, ratified by law, states a co-participation in the dividends among ministries of Social Development of the city and the nation, a 50% each.

Through a document signed August 14th and sealed by Néstor García Lira, president of the Games of Chance Institute of the city, the local government demanded the National Lottery “the 100% of the profit of the games that are operated in the City of Buenos Aires“, because nowadays, it just receives among 24 and 26% of the collection, an annual income of USD 50 million. In 2007, USD 5 billion have been bet.

In three months, the local government expects to achieve its aim: to renegotiate the percentage and receive more money than what it currently receives, retroactive to last January 1st. In exchange, it will bring the Nation the management of the gambling activities for other five years, although the local constitution establishes that the city must have the total control of that area.

If a new agreement is signed and ratified by law, in which the city would have the total of the profits in the five bingos, slots, betting agencies and the two casinos, among other gambling venues, the local government would quadruple its incomes: it would collect an annual figure close to USD 200,000,000.

According to La Nación newspaper, the national government does not intend to grant the management of the games of chance to the city. That’s why authorities of Buenos Aires aim to renegotiate the current percentage than to achieve the complete autonomy on the matter.

If approved by national authorities, the new agreement would last five years. Sources of the Ministry of Social Development of the Nation, leaded by Alicia Kirchner, confirmed that they had received the petition of the city and that is being analyzed.