2002 - Harness Tracks of America, Inc.

HARNESS TRACKS OF AMERICA
Executive Newsletter
A daily fax and e-mail report on racing and gaming developments in North America and beyond
Stanley F. Bergstein, Editor
“IT WILL NEVER HAPPEN”
That was the boast -- or promise -- of powerful
Republican state senator William Gormley after
a meeting of New Jersey’s Economic Growth Committee
yesterday to discuss slots for the Meadowlands.
Gormley told reporters following the meeting
that the bill never will make it out of committee
stage. “It’s not going to happen. It will never
happen,” Gormley said. Representing Atlantic
City casinos as he does, Gormley’s statements
were hardly surprising. But what actually happens
is more likely to involve New Jersey’s budget woes
and what happens to New Jersey wagering after
Pennsylvania, New York and Maryland introduce
slots at their tracks. For one thing, Gormley may
be good at politics but is poor at arithmetic. He
tossed around numbers yesterday, saying slots at
the Meadowlands would gut an industry that provides
50,000 jobs -- Atlantic City cocktail waitresses,
dealers, etc. -- for one that provides 5,000,
but he presumably ignored the very substantial
agricultural industry in New Jersey that includes
farms, training centers, and green space throughout
the state.
HOW TO AVERT A PROBLEM
The New Mexico Racing Commission has been
agonizing over applicants for a license to open a
racetrack in Hobbs, in the southeastern part of
the state. One of the applicants is R. D. Hubbard,
who was ousted this year from his role with Pinnacle
gaming in Indiana. Another was Shawn Scott,
who has had some licensing problems of his own.
The governor of New Mexico, Gary Johnson,
wasn’t anxious to have the issue resolved right
now, preferring to find out if New Mexico needs
another track and how it would affect Indian tribes.
So he fired the entire commission, his spokesman
saying they had deserted their initial philosophy
that the state had enough tracks.
November 19, 2002
HOW TO KEEP A FIRE BURNING
One way to make sure a scandal stays in the media
is to keep hashing it over even after the problem
has been discovered and is being fixed. The
NTRA, determined to show that it is on top of this
thing, now has announced that it’s wagering technology
group will go back and review more than
1,000 pick four and pick six wagers around the
nation made within the last year. What that will do
for public confidence is not clear, other than keep
the issue alive and the NTRA name in front of the
public. All that talent at NTRA apparently thinks
this is a wonderful public relations move. We hope
it doesn’t mind at least one dissenting vote.
DECISIVE ACTION IN INDIANA
The Indiana Horse Racing Commission took decisive
action yesterday on two issues brought before
it by Indiana Downs, scheduled to open its
inaugural season Dec. 6.
In one, the commission refused Indiana Downs’
request to split $11 million in riverboat subsidies
for 2002 equally between it and Hoosier Park, and
voted to enforce the existing rule that the subsidy
revenues would be split between the two tracks on
the bases of purses generated.
The commission also declined with thanks an Indiana
Downs invitation to step into the issue of
how much tracks pay for their simulcasting signals.
The track has requested a rule that would
have required tracks sending signals into Indiana
to sell to both tracks at a “prevailing market rate.”
Racing commission chairman Richard Darko said
it was “too early” for regulators to interfere in that
area of simulcast negotiations, but added, “We
could come back to this in the future if it’s necessary.”
The commission did not deny the request
outright, but tabled it for future consideration.