NY state takes over city's OTB

NEW YORK Mayor Michael Bloomberg had said the city was ready to shutter its 60 OTB parlors on Sunday before announcement of the deal. About 1,500 jobs at the financially troubled OTB had been on the brink of being eliminated.

Paterson says he'll welcome those OTB employees back to work Monday.

Under the agreement a newly formed state public benefit corporation takes over OTB. The legislation will be taken up Monday by the Legislature.

The city will continue to receive payments relating to tracks within it. Last year that amounted to $4.25 million.

Bloomberg says the agreement belongs in the winner's circle.