HARNESS TRACKS OF AMERICA Executive Newsletter

HARNESS TRACKS OF AMERICAHOUSE APPROVES DEL. GAMESTable games for HTA’s two Delaware tracks, DoverDowns and Harrington Raceway, are halfwayhome to state approval. The Delaware House,with little discussion, passed the measure yesterday,27-5. As passed, the bill calls for a collectivelicense fee of $13.5 million, split among the threeracinos, including Delaware Park, on percentageaccording to play. If they spend a total of $2.5million on capital improvements annually andreach performance goals, the fee could drop toas low as $5 million. The bill provides for racinosto get 66% of gross table game revenue, withthe state taking 29% and 4.5% earmarked forpurses.KY SENATE CHIEF’S BILL FAILSThe president of the Kentucky Senate, DavidWilliams, lost his bid for a constitutional amendmenton slots at tracks yesterday, garnering only21 votes where 23 were required for passage. Themeasure died on a straight party line vote, with16 Democrats opposing. Kentucky law calls fora three fifths majority in both House and Senateon constitutional amendments. Williams,who faces re-election this year, was accused byDemocratic Senator Mike Reynolds of using theattempted vote purely for political purposes.Reynolds was quoted in the Louisville Courier-Journal as saying the move had nothing to dowith gambling, because Williams knew it hadabsolutely no chance of approval in the House.INDIANA VOTE NEXT WEEKIn Indianapolis, the state Senate AppropriationsCommittee discussed but did not vote onlegislation that would allow riverboat casinos tomigrate inland. For a $50 million fee, the casinoscould move onto land in the counties wherethey are located. An exception would be madein Gary, where two riverboats are located,because one license would be returned tothe Indiana Gaming Commission.Executive NewsletterA daily fax and e-mail report on racing and gaming developments in North America and beyondStanley F. Bergstein, EditorFriday, January 22, 2010The Appropriations committee is schedule to voteon the measure this coming Tuesday. If the billwere to pass as written, it could have a heavy impacton racino play at HTA’s Indiana members,Hoosier Park and Indiana Downs. The measureis being considered because of fears that comingcasinos in Ohio will cost Indiana an estimated$100 million in gambling tax revenue.ROCK SHAKEN BY DISPUTEHTA member Rockingham Park, like othertracks affected by the 17-track Mid-AtlanticCooperative, is hurting from the continuedcontractual dispute with TrackNet Media overpercentage fees on simulcasting. The ChurchillDowns-Frank Stronach controlled TrackNetand the Mid-Atlantic tracks are holding out forhigher fees at the tracks they control, includingGulfstream Park, Santa Anita, the Fair Grounds,Golden Gate and Laurel. The dispute, ragingsince October, involves TrackNet’s rejection of amulti-year offer of escalating fees. Ed Callahan,president and general manager of Rockingham,says it has impacted track business there by 10to 15%, and that customers -- including thosefrom neighboring Massachusetts -- have beenseriously deprived of highly desirable simulcastsignals. He called the present deadlock “regretful,”but said he expected an upcoming bill in theNew Hampshire senate would include tracks ina proposal to allow gaming in the state in hotelswith 500 rooms or more.NO FLY-BY SLOTS IN MIAMIIn Florida, Miami-Dade County commissionersvoted yesterday, 8-2, to abandon their quest forslots at the Miami airport. Bowing to opposition,the commission decided, according to memberDorrin Rolle, that it should not pursue a battle itcould not win.Get your room reservations for the HyattGrand Champions in to Jen Foley at HTA.