New Jersey Officials Close Out May with a Flourish

 

Atlantic City Bailout Bills Pass Both NJ Houses

New Jersey legislation that aims to help Atlantic City financially recover from poor gaming revenue and successful tax appeals now awaits Gov. Chris Christie’s signature, after passing both houses of the state Legislature on Thursday.

During their regular voting sessions, the New Jersey Senate and Assembly approved a pair of bills that would give city officials 150 days come up with a financial plan to avoid bankruptcy and would create a tax deferral arrangement for casinos.

The two Senate bills evolved from Senate and Assembly proposals that had been merged and advanced Monday by the Assembly Judiciary Committee, giving rise to new bailout legislation that leaves collective bargaining agreements intact and gives officials of the struggling resort town more time to hash out its budget before state officials intervene.

The two points of contention had sparked showdowns between Assembly Speaker Vincent Prieto, D-Bergen, and Senate President Steve Sweeney, D-Gloucester, but lawmakers hailed the latest versions of the Municipal Stabilization and Recovery Act, or S1711, and the payment-in-lieu-of-taxes plan, memorialized in S1715.

The two sides had worked on a series of amendments to the Senate versions to bring them in line with the Assembly’s vision. For example, casinos are not allowed to opt out of the PILOT program, and the Municipal Stabilization and Recovery Act — formerly known as the “state takeover” bill, before Prieto and unions decried the stripping of the city’s autonomy — now extends early retirement incentives to all full-time employees to save money.

The Municipal Stabilization and Recovery Act won 32-5 approval in the Senate and 60-12 passage in the Assembly. The PILOT bill got 33-4 approval in the Senate and 61-12 passage in the Assembly.

Twelve casinos had made up 70 percent of annual property taxes in Atlantic City as of 2013. But competition from surrounding states and other factors have left the city with eight operating casinos, after four closed in 2014, and a tax base that dropped from $20.5 billion in 2010 to $7.3 billion in 2015.

The dire situation prompted Christie in January 2015 to tap an emergency manager for the resort town, after which Moody’s Investors Service slashed the municipality’s bond rating.

The pressure to come up with a plan to avoid insolvency reached fever pitch in recent months as city officials braced for a shutdown and battled legal wars.

Previously, the state Department of Education sued the town to ensure its school district got its share of taxes, although a state court judge last month declined to freeze the city’s assets. Compounding the fiscal woes are $240 million the city allegedly owes to bondholders and $150 million for successful tax appeal, including $88 million allegedly owed to Borgata Hotel Casino & Spa.

Prieto and Sweeney locked horns again earlier this month, when Prieto said the Assembly was not going to consider the Senate’s state takeover, which was the only plan Christie had said he would endorse to fix the resort town.

NJ Assembly Passes $15 Minimum Wage Bill

The New Jersey Assembly on Thursday advanced legislation that would gradually boost the minimum wage to $15 an hour in phased increases over the next five years, an initiative touted by the chamber’s Democratic leaders as a tool to help reverse the trend of poverty in the state.

Unveiled in February, the bill previously passed the Assembly Labor Committee and now sits before the Senate after its 42-30-1 passage Thursday. The legislation heeds the call of the nationwide Fight for $15 movement and its advancement comes a month after New York and California signed the initiative into law.

Assembly Bill 15 would increase the state’s current base hourly rate of $8.38 to $10.10 at the start of next year and make incremental boosts annually from 2018 to 2021 until the minimum wage is $15

Stating their case for the proposal’s importance in the Garden State, the bill’s primary sponsors cited Legal Services of New Jersey’s estimates that the state is home to 2.8 million adults and 800,000 children living in poverty as of 2014, marking a 40 percent increase in the poor population since the recession of 2008, according to LSNJ estimates.

The take-home pay for a full-time minimum wage worker is less than $18,000 a year in a state that has among the highest costs of living in the country, the sponsors said.

The bill’s primary backers also include Assembly Budget Chairman Gary Schaer, D-Passaic/Bergen, and Assemblywoman Cleopatra Tucker, D-Essex.

An identical Senate version of the legislation sponsored by Senate President Steve Sweeney, D-Gloucester, and Sen. Joseph Vitale, D-Middlesex, was advanced by that chamber’s Labor Committee last week.

Republican leaders have expressed opposition to the legislation. In statements issued when the Senate proposal was announced, Sen. Christopher J. Connors, Assemblyman Brian E. Rumpf and Assemblywoman DiAnne C. Gove said seniors and small businesses would be hit particularly hard while Senate Republican Leader Tom Kean said the minimum wage increase — along with pushes to mandate paid sick leave and add more flexible leave and benefit options — would make life more unaffordable for all New Jerseyans.

The Ailing Transportation Trust Fund

With a crisis in Atlantic City apparently averted, Trenton’s attention will turn — after the Memorial Day weekend — to the virtually exhausted Transportation Trust Fund.

With competing schemes to revive the fund being floated, there will be plenty to argue about. And just to keep things interesting, lawmakers will also be pushing to wrap up a new state budget by the June 30 deadline.

The trust fund pays for more than $3 billion in annual road, bridge, and rail-network improvements, with money that comes from federal matching funds and New Jersey’s 10.5-cent per-gallon tax on gasoline and the its 4-cent per-gallon tax on the gross receipts of petroleum products. Revenue from the sales tax and highway tolls also help subsidize annual state spending of about $1.6 billion under a five-year financing plan that Christie put forward in 2011.

But money from the gas tax will be enough to service only the fund’s extensive debt starting July 1.

Up for debate: whether to create a new “tax-fairness package” that makes cut in the general budget to offset a gas-tax hike that is set aside of for transportation projects.

The alternative? A pay-as-you go system that trims existing budget lines but primarily relies on an expectation of tax revenue to grow each year.

The pay-as-you-go folks, led by Sen. Jennifer Beck (R-Monmouth) dug in launching a petition drive that’s intended to push back against the bipartisan tax-fairness package, which has gained momentum in the State House in recent weeks.

Gov. Chris Christie will also have a say, and over the next month the issue will likely put to a test two of his longest-standing records. He’s yet to approve a major tax increase since he took office early in 2010, and he’s yet to be overridden by a Legislature that’s controlled by Democrats, but not with veto-proof majorities.

Many in Trenton expect the issue will eventually be resolved with a bipartisan deal that will involve hiking either the 10.5-cent tax on gasoline, the 4-cent tax on petroleum products, or some combination of increases that will affect both levies. New Jersey has the second-lowest gas tax in the nation, which was last raised in 1988.

Democrats have been working diligently behind the scenes to secure votes for a gas-tax increase – which they’ve yet to define publicly – by offering up a series of tax cuts to entice Republicans into endorsing what’s being described as a broader “tax fairness” deal. They include proposals to phase out the estate tax over five years; increase current state income tax exemptions for retirement income like pensions and annuities; create a state income tax deduction for charitable contributions; and increase the state version of the Earned Income Tax Credit.

For his part, Christie hasn’t ruled out a gas-tax increase, but he also hasn’t clearly defined what he would like to see in any deal that could win his support. When asked about the issue by a woman calling into his monthly radio show on NJ 101.5 FM radio earlier this week, Christie said he expects to hear more from lawmakers now that they’ve resolved their differences on the Atlantic City rescue.

But Beck, the Monmouth County senator, has been clear in her opposition to a gas-tax increase. She’s launched an online petition to rally opposition that a recent Quinnipiac University poll measured to be 54 percent of New Jersey’s registered voters.

As part of a trust fund renewal plan that she’s put forward, Beck introduced two bills yesterday that are designed to help free up cash in the annual budget to pay for $1.6 billion in transportation upgrades each year through the 2023 fiscal year.

One bill seeks to save about $50 million annually by consolidating several state transportation agencies like New Jersey Transit and the New Jersey Turnpike Authority. But the bulk of the new revenue would come from another, more controversial measure that would reduce healthcare benefits for public workers at all levels and then repurpose most of the savings for transportation projects.

Beck’s plan is also relying on some new borrowing and at least 3 percent growth in annual revenues. She would also raise additional funds by increasing motor-vehicle fines and diverting more money from the state’s Clean Energy Fund.

Her efforts drew support from the New Jersey chapter of the conservative Americans for Prosperity organization, which has been making phone calls to stoke grassroots opposition to a gas-tax hike.

But transportation advocates and public-worker unions criticized Beck’s proposal yesterday, questioning whether her revenue sources and forecasts are realistic.

Projections for 3 percent annual growth over seven years comes as the Christie administration was just forced to scale back its own tax-collection forecasts by a combined $1 billion for the current budget and the fiscal year that will begin on July 1. Growth has also been slow over the last decade, with revenues up just over 6 percent, from $31.2 billion during the 2007 fiscal year to a projected $33.2 billion for the current fiscal year.

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New Jersey issues regulations allowing companies to place skill-based gambling devices on the floor of the state’s casinos.

The New Jersey Division of Gaming Enforcement (Division) presently posted rules by which manufacturers of skill-based games must operate.

Those prescriptions include prominently letting players know that the outcome of their bet can be influenced by their physical or mental skill as opposed to traditional gambling devices that are based on chance.

“This is another important step towards implementing skill-based gaming in the Atlantic City gaming market,” said Division Director David Rebuck. “Although the Division has had the authority to authorize these games for some time and announced in October 2014 an initiative for manufacturers to bring their skill-based games to New Jersey, the industry requested specific regulations to guide their efforts to create innovative skill-based products.”

The rules include requirements that the games pay out a certain percentage of bets collected, and they prohibit casinos from making the games harder or easier to win while a game is in progress, based on the perceived skill of the player.

They also include monitoring programs to guard against collusion or money laundering in multi-player peer-to-peer games.

Manufacturers say skill-based slot machines are meant to appeal to millennials who tend to skip over traditional machines because they see them as old-fashioned.

Rebuck said that under a fast-track provision, manufacturers who bring their skill-based devices to New Jersey before any other jurisdiction can have them in operation on a casino floor within 14 days of approval.

The rules mirror those adopted last September in Nevada, so any device approved there would be allowed in New Jersey, as well.

 

Atlantic City Rescue Bills Move Closer To Law

Amended versions of three New Jersey bills aiming to stabilize Atlantic City’s faltering economy received final Senate approval Thursday, sealing their passage in both houses of the Legislature. The anchor of the proposal, A3981, calls for a payment-in-lieu-of-taxes plan to stabilize the town’s fiscal health. A3984 would reallocate a casino tax that’s being used for redevelopment projects to help the city pay debt service on municipal bonds, and A3985 would drop a five-year obligation to use casino revenue for marketing purposes so those funds can be redirected to the city coffers.

Lawmakers called the legislation a step toward fiscal recovery for the shore town, which lost four of its 12 casinos to bankruptcies or closures in the past two years and faces a spate of tax appeals settled in casinos’ favor. Assemblyman Vince Mazzeo, D-Atlantic, called on Gov. Chris Christie, who conditionally vetoed the bills in November, to sign the modified versions into law immediately.

Gov. Chris Christie had conditionally vetoed the bills in November, commending the Legislature for its efforts to stabilize the city but warning that certain provisions simply shifted resources to the city without demanding accountability on the part of those who would receive the funds or benefit from the “unique tax payment arrangements.”

The governor amended the 3981 bill to eliminate the creation of a PILOT council comprised of casino owners and stipulated that the Local Finance Board, in conjunction with the New Jersey Division of Gaming Enforcement, would determine the amount of the PILOT payments. A provision requiring casino owners to sign agreements with the city to make the payments was also added. Under the conditional veto, the other two bills would only go into effect upon the passage of A3981.

The legislation was part of a five-bill package introduced in December 2014. In November, Christie signed into law another part of the package, A3983, that would provide additional state money to the city’s struggling public schools, but gave absolute veto to A3982, which would have required casinos to provide proof they are providing “suitable” health care and retirement benefits to employees.

The Senate gave 329-6 passage to A3981, 32-4 passage to A3984 and 36-1 approval to A3985. Each bill was sponsored by Mazzeo, Senate President Stephen M. Sweeney, D-Gloucester, and Assemblyman John J. Burzichelli, D-Cumberland.

The legislation’s other supporters included Assemblyman Paul D. Moriarty, D-Gloucester, who co-sponsored d A3981 and A3984; Assemblyman Bob Andrzejczak, D-Cape May County, who sponsored A3985 and A3981; and Assemblyman Thomas P. Giblin, D-Passaic, who sponsored A3984 and A3985.

Atlantic City’s financial situation has been dire for some time. Twelve casinos made up 70 percent of annual property taxes in Atlantic City as of 2013, but competition from surrounding states and other factors have left the city with eight operating casinos and a tax base that dropped from $20.5 billion in 2010 to $7.3 billion. Christie in January 2015 tapped an emergency manager for the city, after which Moody’s Investors Service slashed the municipality’s bond rating.

New Jersey Legislation & Regulation Watch For 2016

New Jersey’s weakened gaming industry, workforce pressures and vulnerable environment have driven legislative developments in recent months, giving interested folks plenty of pending bills to watch in 2016.

Atlantic City, the state’s only constitutionally-allowed gaming revenue resource, has suffered  from casino bankruptcies, closures and competition, driving lawmakers to consider tax incentives that would boost the resort town, along with a proposal to geographically expand the market share of casinos.

Casino employees, some of whom have gone on strike in the past year, represent just one industry characterized by a labor pool that wants a better work-life balance. Lawmakers have heeded their calls with legislation that has drawn objections from a recession weary business sector still struggling to cope with ongoing economic uncertainty.

On the natural resources front, the New Jersey Department of Environmental Protection’s proposed changes to rules governing the state’s flood hazard areas have riled conservationists who fear the updates lessen protections and pander to developers.

Here’s a summary of critical legislation and regulation that could affect significant  New Jersey State changes in 2016:

Atlantic City Fiscal Recovery Package

Pinning their hopes on reviving Atlantic City, lawmakers are continuing to push a financial incentive package spearheaded by Senate President Stephen M. Sweeney and Sen. Jim Whalen, D-Atlantic.

Three of the bills have passed both houses of the Legislature as of the Assembly’s Dec. 17 voting session and are awaiting Gov. Chris Christie’s signature. The anchor of the proposal, A3981, calls for a payment-in-lieu-of-taxes plan to stabilize the town’s fiscal health.  A3984 would reallocate a casino tax that’s being used for redevelopment projects to help the city pay debt service on municipal bonds, and A3985 would drop a five-year obligation to use casino revenue for marketing purposes so those funds can be redirected to the city.

In November, Christie signed into law another part of the package, A3983, that would provide additional state money to the city’s struggling public schools, but implemented an  absolute veto to A3982, that would have required casinos to provide proof they are providing “suitable” health care and retirement benefits to employees.

Constitutional Amendment to Expand Gambling

Looking beyond Atlantic City, lawmakers are considering  advisiability of  casinos in the Meadowlands and the Monmouth Park racetrack.  Legislation would reverse the state’s constitutional restriction, and the topic could be left up to voters.

The Senate Budget and Appropriations Committee on Dec. 17 approved Sweeney’s SCR185, that would pose the question of non-Atlantic City gaming in a public referendum next November, while the Assembly passed a twin version of the bill on to that house’s Tourism, Gaming and the Arts Committee.

The legislation would make for a “potentially huge” expansion of the New Jersey’s gaming industry, although the passage of a constitutional amendment is difficult to predict given the expected high turnout due to the presidential election.

Supporting New Jersey Families Act

Casino employees and the state’s labor force in general also stand to get a boost from pending legislation aiming to improve work-life balance and increase paid time off. Along with legislation that would help displaced casino workers prepare to re-enter the workplace, lawmakers are also considering a family-geared legislation package that was unveiled in May by Senate Majority Leader Loretta Weinberg, D-Bergen. The Supporting New Jersey Families Act, which has yet to undergo committee review, would require employers in all industries to provide shift workers with predictable schedules and time off to attend school activities, expand state employee family leave privileges and establish a commission to do a gender pay disparity study. The bills have twin legislation in the Assembly.

The first prong of Weinberg’s package, the Schedules that Work Act, S2933, provides a private right of action for employees seeking to change their work schedules.

Paid Sick Leave

Among the most controversial legislatative actions are those advocating for employees is the proposed Paid Sick Leave Law, S785 and A2354, under which workers would get the better of five to nine sick days or more generous packages provided under local laws.

The Senate bill, also sponsored by Weinberg, got full approval in Dec. 17, while the Assembly version is poised for a second reading by the chamber. That bill counts Assembly members Pamela R. Lampitt, D-Camden, Shavonda E. Sumter, D-Passaic, Raj Mukherji, D-Hudson, Jerry Green, D-Passaic, and Benjie E. Wimberly, D-Bergen-Passaic as primary sponsors.

During a Senate committee hearing in June, the legislation was hailed by unions, think tanks and groups such as the New Jersey Working Families Alliance. Business-centered organizations, such as the New Jersey Farm Bureau and the New Jersey State Chamber of Commerce, criticized  the administrative and expense ramifications.

Given New Jersey Governor Chris Christie’s previous opposition to mandated sick leave, the future of the legislation remains uncertain, since in the aggregate, the  legislative proposals would create new administrative burdens on employers, including smaller businesses and start-ups, and increase the risk of litigation as traditional employer prerogatives are legislatively  prescribed.

Flood Hazard Area Rules

The New Jersey Department of Environmental Protection’s planned changes to flood hazard area rules, announced in June drew not only a backlash from environmentalists but twin bills proposed explicitly to overturn the changes. They are presently pending public comment.

Among the biggest changes in store is the increase in the amount of vegetation in riparian zones — where regulated water meets land — that can be disturbed for construction, and the extension of that allowed disturbance to building projects that would normally require a hardship exemption.

Sen. Raymond J. Lesniak, D-Union, served as a primary sponsor of SCR180 that received full Senate approval in October and is pending before the Assembly. Identical legislation, ACR249, was introduced in November by Assemblyman John F. McKeon, D-Morris, and Assemblywoman L. Grace Spencer, D-Essex. Both bills have been advanced by the Assembly Environment and Solid Waste Committee.

These rules affect virtually all development in all sectors across the state, and also serve as one of the state’s few points of leverage over federally authorized projects, like pipelines and utility facilitiesThese rules also dictate rebuilding and resiliency policy in and near flood prone areas. The impact would reach beyond the shore to industrial sites, many in low-lying areas along New Jersey Rivers.

Where the state goes on these issue affects not only environmental quality but also the value of properties, and the costs and likelihood of future business expansion.

Gambling mecca gone bad-Atlantic City, NJ

By Martin J . Milita, Jr., Esq.

It seems like only yesterday that Detroit filed for bankruptcy. It’s actually been more than two years since the initial filing, and almost a year since a judge approved the bankruptcy plan.

In the East, the fortunes of Atlantic City have always followed casinos, which is not a good sign in today’s economy. With four of the big gambling houses bankrupt, Atlantic City finds itself hurting for revenue.

The city has a $100 million hole in its budget. This is made worse by the fact that it keeps losing tax refund lawsuits. So far the city has been forced to refund $186 million in taxes after Casino owners contested their assessments.

But the pain isn’t all on the revenue side.

Atlantic City employs 29 city workers per 1,000 residents, almost triple the rate of Newark, with 11 employees per 1,000 residents, and Jersey City, with 10 employees per 1,000 residents. The mayor recommended laying off more than 200 workers, but that would still leave the city with a much higher worker-per-resident ratio than other cities.

So far, the New Jersey government, including the governor, has been quiet on the possibility of a bankruptcy in the state. The state has gone so far as to give the city more time to repay state loans. If Atlantic City goes under, it would be the first municipal bankruptcy in New Jersey since the depression.

While the state government hasn’t mentioned that the city might go bankrupt, it hasn’t taken that option off the table either. It could be that the governor wants to keep all avenues open, since he has the same financial issues at the state level. As long as bankruptcy is possible, he might have more leverage when negotiating pension reforms with unions.

Many other towns, counties, and states have fiscal woes that will only be addressed through some version of bankruptcy or negotiated restructuring. By the time that happens, investors and taxpayers have already lost.

Martin J. Milita, Jr. Esq. is senior director at Duane Morris Government Strategies, LLC.

Duane Morris Government Strategies (DMGS) supports the growth of organizations, companies, communities and economies through a suite of government and business consulting services. The firm offers a range of government relations and public affairs services, including lobbying, grant writing; development finance consulting, media relations management, grassroots campaigning and community outreach. Milita works at the firm’s Trenton and Newark New Jersey offices.

Visit his blog at: https://martinmilita1.wordpress.com

Follow him on twitter: @MartinMilita1

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http://www.dmgs.com/

NJ Senate Panel Backs Housing Tax Credit For Atlantic City

A New Jersey Senate committee on Tuesday approved legislation that would create a new tax credit program to encourage the development of owner-occupied housing in Atlantic City as the municipality works to diversify its tax base and recover from a rash of casino closings.

The New Jersey Senate Budget and Appropriations Committee backed the formation of the Atlantic City Growth Tax Credit Program in a 11-2 vote, though the bill drew concerns from Democrats who suggested projects elsewhere in the state should have a shot at the incentives and Republicans who disagreed with the size of the credits.

The program would fall under the umbrella of the New Jersey Housing and Mortgage Finance Agency and provide developers of nonrental housing in Atlantic City with gross income tax credits of up to 80 percent of their costs for land acquisition, capital improvements, engineering fees and architectural fees.

Projects covered under the bill, S2654, couldn’t be more than eight stores and would have to include at least eight newly constructed residential units. At least 80 percent of the project’s units would have to be owner occupied.

During Tuesday’s hearing, Committee Chairman Paul Sarlo, D-Bergen, said he supported the proposal but added that other New Jersey municipalities such as Paterson and Passaic could also benefit from such a program.

“It should be expanded,” Sarlo said. “We all want to help Atlantic City, but I get frustrated sometimes.” (Credit Bergan Record).

The size of the proposed tax credit didn’t sit well with other lawmakers. State Sen. Sam Thompson, R-Middlesex, called the incentive excessive, while state Sen. Jennifer Beck, R-Monmouth, urged her colleagues to take a harder look at the potential cost.

“I think there should be some type of tax credit, but I just feel like that encompasses a very big number and should be revisited,” Beck said. (Credit Bergan Record).

The bill was previously advanced by the Senate Economic Growth Committee in January. Sponsors of the measure include state Sens. Jim Whelan, D-Atlantic, and Robert Singer, R-Ocean.

Nearly three-quarters of Atlantic City’s residents are tenants, according to the bill. Meanwhile, homeowners are facing a serious hardship as the city’s property tax burden shifts from its gaming sector and other commercial businesses, the bill says. Expanding the city’s pool of residential property taxpayers would help lessen that burden, according to the bill.

The HMFA would stop accepting new applications for the program by either Jan. 1, 2020, or when the city’s proportion of homeowners to renters has evened out to at least 50 percent.

Twelve casinos in Atlantic City made up 70 percent of annual property taxes as of 2013, but a flood of closures has left the city with eight operating casinos and a tax base that has fallen from $20.5 billion in 2010 to $7.3 billion, according to a March report from the city’s state-appointed emergency manager, Kevin Lavin.

Casino tax appeals have only added to that strain. The city has taken on $186 million in debt to repay casino tax reassessments for 2010-13, but there were $126 million in resolved tax appeals that didn’t have bonding behind them, the report said.

NJ Legislature Considering Special Tax Zone For Atlantic City

In a 6-3 vote with one member not voting, the New Jersey Assembly Commerce and Economic Development Committee on Thursday approved a bill that would create an urban enterprise zone in Atlantic City; an effort to incentivize businesses with tax credits to spur economic development in the ailing resort city.

The committee signed off on A3920, authorizing the creation of an urban enterprise zone in Atlantic City for a one-time term of 10 years to provide the city with a shot in the arm to create jobs, spark economic development and provide vital property tax relief.

The UEZ designation would allow qualifying businesses in Atlantic City to collect a sales and use tax that’s half of what it would normally have to collect and to receive up to a $1,500 tax credit for every new permanent full-time employee they hire.

The bill would also allocate a significant portion of the sales and use tax collected during the 10-year period to go directly back to the city for property tax relief.

The measure is an attempt to stem the bleeding in Atlantic City, which has been hit with a brutal downturn in gaming tax revenues amid heavy competition from rival gaming destinations that has prompted the shutdown of four casinos — Atlantic Club, Revel, Showboat and Trump Plaza — and the loss of 8,000 jobs in 2014 alone.

However, some committee members expressed concern as to whether UEZs have been proven to spur economic development in the cities and regions where they’ve been established. New Jersey’s UEZ program, which was launched in 1983, currently has 32 designated UEZs.

The woes in Atlantic City have been mounting. Gov. Chris Christie last month installed an emergency management team to oversee the city’s finances after a brutal downturn in gaming tax revenues. In addition to the more recent shutdowns in September of the Revel, Showboat and Trump Plaza, another Atlantic City casino, Trump Taj Mahal, is also at risk of closing as a bitter feud between its owners and workers’ unions threatens to derail a potential Chapter 11 reorganization for Trump Entertainment Resorts Inc.