Mayor Valerie Keehn announced on Thursday, the receipt of a check for nearly $4 million, the first annual installment of special state aid payments based on video lottery revenues at the Saratoga Gaming and Harness raceway.

The $3,830,752 payment comes under a 2006 state law that created a new aid program for communities that host video lottery facilities licensed by the State Lottery. The annual payments are made from the State’s Local Assistance Fund, not from the State Lottery Fund for Education.

Communities hosting video lottery facilities receive a special local assistance fund payment equal to 3.5 percent of the annual revenues divided between the city and the county with the city receiving a three-quarters share and the county a one-quarter share.

Of the total $5,107,669 this year, the city received $3,830,752 and the county received $1,276,917. Next year’s payments are expected to be higher due to this year’s expansion of the Saratoga video lottery facility.

Former Governor George Pataki originally targeted the program at communities with high poverty levels, which would have excluded Saratoga, but Keehn and the City Council successfully lobbied the State Legislature to change the program to include all video lottery communities. Keehn thanked all members of the City Council, as well as city residents for contacting legislators when the Council was lobbying for the changes.

“I’m proud of the City Council’s teamwork in persuading the Legislature to create this permanent revenue source that we’ll be receiving as long as the state keeps the video lottery facility operating in Saratoga Springs,” Keehn said. “We’re very pleased to have this state aid provide some relief to the taxpayers of Saratoga Springs.”

The mayor addressed the possibility of the revenue not continuing as a reoccurring stream in Saratoga under Gov. Eliot Spitzer, and said her belief remains that the communities hosting the VLT’s should be able to reap the benefits they bring. She stressed the need for diligence and said the city can’t let its guard down on this issue.