What's Happening With Racetrack Video Lottery Terminals???
8/12/09 by Tom LaMarra

    A big story that’s getting very little play is what’s happening with racetrack video lottery
    terminals in Ohio. For the first time in the United States, a state law—a governor’s directive
    in the case of Ohio—has no provisions for horsemen’s purses and breed development funds.

    It’s scary but not surprising. VLTs in Ohio were authorized to balance the state budget, not
    help racing. And only one group—the Ohio HBPA—carried the water in negotiations in a state
    with multiple racing and breeding interests.

    It’s funny. Kentucky tracks can’t get VLTs even though the entire horse industry has actively
    lobbied for them, and a bill calls for a fat 14.5% to go to purses and breed development
    programs.

    There’s a good chance, however, it’s going to happen in a year or two. Unlike Ohio, Kentucky
    racing will be flush, but that alone is a potentially big problem: What to do with all that cash?

    It won’t be much of a problem for Thoroughbred racing, which currently has a year-round
    circuit and a supply of quality stock despite increasing competition from other states. In
    other words, it’s pretty obvious how the money will be used, save for a potential windfall at
    Kentucky Downs, which will race only four days this year but could have one of the more
    successful VLT casinos in the state.

    I’m wondering about harness racing. Is there a plan?

    Kentucky harness racing has no year-round circuit anymore. “Mystery meets” are held at two
    tracks—hardly anyone sees or bets on the races—while the third is limping along and
    probably will relocate to accommodate gaming machines.

    It wouldn’t take a whole lot of money to make harness racing in Kentucky lucrative, not to
    mention Kentucky is a pretty good place to raise and race horses. It’s not a stretch to think
    horsemen and horses will relocate here.

    So what’s the plan? Why the silence? Is there a plan?

    Will dates be added? Will the mystery meets at least have a product that can be exported via
    simulcasts? Will non-winners of $500 in the last six starts race for $10,000 purses because
    there’s way too much money and not enough stock or interest in the product?

    Will this be a money-grab, or something meaningful?

    If you have any thoughts, let me know. I’m concerned. Kentucky’s harness racing slide has
    been going on for more than a decade. VLTs produce money, but they don’t often change
    the mindsets that have contributed to the slide.

    If racing’s not being promoted now, how do we know it will be promoted in the future—even
    with all that cash?

    If you’re not thinking about it, start. Things have a way of sneaking up on you, especially
    when transparency is at a premium.