The reaction to the governor's proposal was mixed. A spokesman for a business group that has advocated casino development in the Catskills was supportive of the increase, while a Republican Senator broke with the Republican governor and said that any increase from three to five casinos should be put to a public referendum.

On Tuesday, the state had reached an agreement with the Oneida Indian Tribe of Wisconsin and the Stockbridge-Munsee Band of Mohican Indians on long-standing land claim disputes that could pave the way for both tribes to develop casinos in Sullivan County on land off of Route 17.

Last month, New York State announced land claim settlement agreements with the Cayuga Nation of New York and the Seneca-Cayuga Tribe of Oklahoma, which plan to build gaming facilities at Monticello Raceway and at the Concord hotel property in the Town of Thompson respectively.