A New Track in Texas?

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Linda in TX
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A New Track in Texas?

Postby Linda in TX » Wed Oct 27, 2004 4:43 am

Last night the Pflugerville city council approved the building of a $15 million track in this north Austin 'burb. The plan will now go before the Texas Racing Commission for a final decision on allowing the track at that site. The group, which currently operates Retama outside San Antonio, previously received a license from the TRC to build a track in south Austin. But those plans fell through when the group was unable to secure the land.

The new track would be located about seven miles from Manor Downs.

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Postby Michael » Wed Oct 27, 2004 12:30 pm

Now all Texas needs is slots or VLTS and it will be off and running. I read and hear conflicting reports of their legislative status. What do you know about them?

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Postby KAL » Wed Oct 27, 2004 12:52 pm

Good news for Austin... maybe.

Michael, I had the same question as you. From what I hear, those proposing the new track, as well as some other well connected folks (including those in Laredo) are pretty positive some movements may be made in that direction... especially with the success being seen around them. Texans don't like to be shown up by anyone... especially by those in states who share a border.

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Oklahoma tracks

Postby henthorn » Wed Oct 27, 2004 1:19 pm

New Mexico and Louisiana are making lots of horsemen happy and making Texas covetous, but the jury is still out on Oklahoma's racing future. We are all pretty sure that if next week's state question 712 does not pass (and I have grave doubts), Magna will drop Remington Park like a hot potato and get outa town fast. Fair Meadows in Tulsa may be able to salvage some income if Tulsa can make some agreement with the local Indian casinos, who may decide to shutter them or turn them into bigger casinos. Will Rogers Downs and Blue Ribbon Downs are owned now by Indian tribes. Remington is hanging on by its fingernails until the vote is final; then we go down the toilet or Magna will put major renovations into the property to get a first class casino going by summertime 2005. I have the feeling those horsemen who have been on the fence about leaving, staying, renovating, or buying property, will move to other states within this next year if the bill doesn't pass. This is basically our last chance to save horse racing in our state.
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Postby KAL » Wed Oct 27, 2004 1:37 pm

Henthorn, I do have hopes things work out for Oklahoma... but, for some reason, Magna seems to be the kiss of death where ever they go. They simply don't seem to provide any credibility... which is quite necessary when working an arrangement of support. So, I fear the situation is going to be pretty one-sided... against the horsemen. Let's face it, the religious anti-gambling group will be walking side by side with the Indian gaming only group... and who is their opposition? A fractured and hesitant horsemen's group and Magna...

Interestingly, on the other hand, one of the pushes in Texas actually comes in the form of weakness in Kentucky. The die-hard Texas guys are using the current state of affairs in Kentucky as a selling point to their legislature. If the vote goes in favor of following the region's trend, then look for an even further exodus of mares out of Kentucky... and the re-location of some stallions. Basically, they see the weakness in Kentucky and realize they can gain quite a bit if they act now. Within a few years Texas could be on that second tier right under Kentucky... there could be an incredible change in dynamics.

Another interesting thought would be to look at the "power" players who hold Texas dear... Stonerside's McNairs, Lane's End Farish, Walmac Jones, WinStar's ownership, etc. If I were the proprietor of a farm in Kentucky and derived much of my income from the same... I think I would be looking for someplace else to ply my trade... the big boys are always going to be fine, but the little guy is squarely in touble if he doesn't get some help.

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Postby Linda in TX » Wed Oct 27, 2004 1:44 pm

A measure to allow VLTs died during a special legislative session in May. Most of the opposition is coming from neighboring states that have VLTs and those who object on moral grounds. Governor Perry supports slots, the racing lobbyists are very strong here, and a measure will be back on the table during the next session. I doubt there'd be any interest in building a new track near Austin and one in Laredo if there wasn't a great deal of optimism about slots being approved soon.

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Postby henthorn » Wed Oct 27, 2004 2:07 pm

Actually, KAL, the tide has turned this year regarding the Oklahoma horsemen. All was going well, all were actually working together, the TB people and QH people, Indian tribes, governor, and educators have all been in bed together on this one for nearly a year now. But we've had a series of blows just before election time.

1) there are ten (count'em ten) state questions on the ballot, including the governor's pet lottery plan, a gay marriage amendment, a mixed-up tobacco taxation bill, and I suspect many people will mark a big "NO" across all of them out of disgust
2) the question on the ballot is very badly written, so many people won't even know what they're voting for
3) as usual, a few horsemen do most of the work while the silent majority sits quietly awaiting their fate
4) newspaper headlines erupted just yesterday about shenanigans and double-dealing by most of the tribal casinos in purchasing land for gaming without going through required federal guidelines
5) although seventy million dollars a year is expected to go to the state for education purposes, there is no real backing from the state's teacher's unions (they've been burned too many times before when monies were promised them), and feel a little bit oily backing a "gambling bill" in public
6) the religious right has always had a fair minority of anti's, but the group is growing with all the aforementioned problems
7) I suspect, as happened at Lone Star, that the out of state casinos are behind the scenes on bringing up the potential negatives, since they don't want the competition.
8. if one reads the state question being voted on, nowhere does it say the biggest beneficiary of the income is the state education system. Most people will just see it as a bonus for horsemen and tribes
Last edited by henthorn on Wed Oct 27, 2004 5:31 pm, edited 1 time in total.
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Postby brooke » Wed Oct 27, 2004 4:17 pm

well since were talking bout tracks and slots, has anyone heard anything about racing in Birmingham? i know they turned down the bill, but any new hope? im moving back to that area in about a year and a half sure would be nice if they'd get it back runnin. OH and now that TN has passed the lot. how soon do u think it will be before they break down and do the big racing thing?
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Postby KAL » Wed Oct 27, 2004 6:27 pm

Brooke,
Alabama has a very, very limited time in which to act. At present, the religious right (with support from neighbors in Mississippi) are standing firmly in the way. Economically, Alabama would reap huge rewards, while Mississippi would suffer a huge blow.

Currently, there is no gambling and no racing in Georgia, however there are several groups trying to change this. If they get "it" done first, the effect will be devastating to the revival of racing in Alabama. The track at Birmingham could pull thousands nightly from the Atlanta area alone, even more on weekends. If a campaign to couple a casino atmosphere with the Trent Jones Trail (currently one of 'Bama's biggest draws) were enacted, the effects would be even more grand. However, given the historical and current politics and antics of politicians in the state, when coupled with the desperate casinos in Mississippi and the moral right... I fear Alabama will continue to forego all opportunities for self-help.

I'd personally love to see racing make a comeback in Alabama. I think it would be good for everyone and give a small boost to the economy. Of course, I also would love to see breeding return to parts of TN... many don't know of the tremendous TB history which runs through Nashville. Unfortunately, much of this history has been lost... and probably never regained.

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Postby jellac » Wed Oct 27, 2004 8:47 pm

Linda in TX said:

Linda in TX wrote:A measure to allow VLTs died during a special legislative session in May. Most of the opposition is coming from neighboring states that have VLTs and those who object on moral grounds. Governor Perry supports slots, the racing lobbyists are very strong here, and a measure will be back on the table during the next session. I doubt there'd be any interest in building a new track near Austin and one in Laredo if there wasn't a great deal of optimism about slots being approved soon.


Emphasis on: "those who object on moral grounds". I'm going to use the overly broad and overused term "Religious Right" with my apologies up front to any that feel wrongly lumped together by that moniker.

Doesn't politics make interesting bedfellows? Here's Republican Gov. Rick Perry being receptive to the horse industry lobbyists and most of the Republican movers n' shakers working to drum up support for VLTs legislation in Texas while come election time they'll be preaching to the morally and politically conservative "Religious Right" at every turn. [I'd love to be a fly on the wall in the upstairs party suite at Lone Star during the Breeder's Cup doings this Saturday. There's sure to be some serious lobbying going on there. Horsemen wanting support for VLTs on the eve of an election with most State offices up for re-election a few years hence, hmmmmm. I sense some horsetradin' will be goin' on. Highly restricted entry and strictly high dollar/invitation only to gain it I hear.]

Historicly the only way to get a gambling measure of any kind approved in Texas was to: 1st) be in a recession, such that oil revenue was not making the regular contributions to the School Fund that it had been in prior years, and 2nd) promise the funds from the proposed gambling will go to pay for "education" (but of course make sure they actually just get added to the General Fund with some small excess going to Education to make everyone feels good - the way we did with our Lottery venture.)

OF course the population is changing - more and more folks from outside the state and even outside the nation's borders are moving here, and there are more of that expanded population living in the metropolitan areas than in the rural areas but it will be interesting to see if they can get VLTs voted through while the price of oil is sky high. Mind you Texas' remaining reserves - those that are on lands where the royalty IS by law paid into the School Fund are in decline for the most part and while the price of oil tends to counteract that it can only do so for so long.

Maybe they could convince Texans that VLTs is the only way to prevent - OMG!! A State Income Tax being enacted!!!! Being against a state income tax is a matter of moral conviction in this state.

Seriously, the lack of slots while they enrich purses across state lines is sucking running stock out of Texas like crazy.....many of the stallions and better mares to follow, if not already booked outside. But I don't hear anyone addressing what the benefit will be when all the states have slots? IF Texas can pass it - we'll be the last of all our neighboring states to gain it (I'm not sure about Arkansas having slots?)

I wonder if a formula for splitting of the slots revenue can be devised that will give us the means to give up enough to the State coffers AND build competitive purses, given our late start?

I would also point out that if they do get a legislative bill for SLOTS out of committee and miracle of miracles it is voted and approved by the Legislature, I am sure there will be a campaign by the anti-gambling conservatives -with the full financial backing of out of state gambling interests for that campaign - to have a Ballot Initiative to approve or reject that approved bill. Getting the 10K or even 100k signatures required to do that shouldn't be hard at all judging by other recent Ballot Initiatives that have made it.

I also wonder whether any of this wealth generated by slots is signifigantly going to trickle down to the smaller scale breeder? I predict stud fees will go up for the better stallions/new arrivals on the premise that it's worth paying to get a foal capable of winning the new purses. I'm sure horsemen and their staff will finally feel justified in raising their fees to be more on a parity with the better circuits. To justify the stud fee/investment/improve one's chances breeders will be on the hunt for better mares to breed.

YET for breeder's the measure of 'success' will always be whether or not one has a reasonalble expectation of breeding an animal that gives you an economic "out" - i.e. at the SALEs - as in the perrenial complaint of the climate in the state being such that it is not possible to produce a commerical product.

I'm curious - at the point where your state is indistinguishable from your neighbors as far as purses/race quality and full cards go do you then point to the few states that have Las Vegas style casinos associated with racing and say "Oh I've got to have THAT to be competitive?!"

And why oh why does any horseman think that getting slots at their racetrack might improve their situation - I think that if you have ever thought that the track management was less than responsive before to your concerns about the conditions on the backside, the track surface, etc., you'd better hang onto your hat once slots rule their world. Then the horses will truly be - for most of the people there and certainly for the management - simply window dressing for the non-horse gaming.

I know I'm being negative here and in a few spots provocative and I don't mean to come off like some provincial type or incite a rash of bashing. I just don't get why slots is going to be anything more than a short-term panacea. I think the problem is building up interest in/support for the sport. I happen to like the horses, raising and racing them and betting them. Somehow that got hardwired into me before I was 10YO - and I didn't grow up anywhere near a farm or a horse of my own. I inherited it from the excitement and fun my parents seemed to have watching the Triple Crown races on television - the only horseracing you were going to see in Houston Texas in the 50's and 60's. Right now as a patron of Sam Houston Race Park my biggest complaint is that they don't/won't ban smoking on the premises and it is absolutely one of the worse second hand smoke venues I've encountered in a long time. I always sit upstairs just to get away from it for as long as I can but by the 5th or 6th race it's found it's way up the escalators (and from the smoking allowed seats upstairs) and chases me home most nights. (I'm not one of those militant anti-smoking types either - if we were able to sit outdoors to take in the races here I'd not say a word, just move away from any smoke that I found to be too much) Want to know where the other second hand smoke den I encountered was - the casinos at Shreveport, La. I found out very quickly that the only time I wanted to play at their table games was between 6AM and 10AM....then I had to get out of there - my eyes watering and red,my throat scratchy and my clothes stinkin'. OH yeah I can't wait until we get slots....even though I yearn for the purse money.

Lest I be called a hypocrit, the latter is important to an owner, in degrees. We sent our 4YO Tx Acc'd gelding to Mountaineer when advised by another poster on this Board that he could possibally win there - he was just a step too slow to win against the maiden special weights/maiden claimers we had him up against in Texas. It worked but without the purse structure it would not have been attractive enough to send him there. For me it was important to get him where he might be able to win - to my partner in life and horses it was important to get him where he "might" win AND if he did it would make something of a financial difference....Without the incentive of that purse structure I doubt I could have convinced him to ship the horse.

So, Michael, KAL, others - anyone - please disabuse me of my stubborn suspicions that the quest for SLOTs in Texas is just "the next best thing" that mostly puts money in all the same ol' pockets that have had it nailed down for quite some time now and in the long run will do little to improve the situation for horses racing, those breeding thoroughbreds or quarterhorses for racing, etc.

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Postby Michael » Wed Oct 27, 2004 9:05 pm

Very interesting discussion. I can't recall a time when the future of our dear sport has been so threatened. Just a year ago California horsemen were ecstatic over Arnold Schwarzenegger's victory over the horse hater Gray Davis; as it turns out, Gov. Arnold has become the greatest anesthema to racing our state has ever known. My last month, spent at Santa Anita, really alerted me to the deep seeded fear almost every horseman has about racing in CA. Between the Indian casinos, Stronach management style, CHRB cronyism, CTBA incompetence and, perhaps above all, medication abuses, a lot of people are ready to throw in the towel if anything more crashes in.

I am very fearful for the future of horse racing. That's why I speak up whenever and wherever I can to help more people understand what WILL happen if the status quo continues.

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Postby henthorn » Wed Oct 27, 2004 9:27 pm

jellac, I agree wholeheartedly with your contention that slots are just a short term bandaid on the problem of low purses, and that track management needs to make it fun to attend the races. I have little doubt that Remington Park's horsemen and racing fans will still be neglected if the casino takes over, but also little doubt that without the income from the casino, the racetrack will fold.

Meanwhile the slow gradual erosion of racing in our state has already caused me and others to seek other regional or national options for our horses, even if it means very little personal contact anymore. I have my horses stabled on others' property, so I have less to lose other than the touchy-feely contact. I stopped taking coworkers and friends to our track years ago, because it's no longer a fun place to go.
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Postby KAL » Thu Oct 28, 2004 1:44 am

Hentorn, the last sentence of your reply is one of the saddest I can recall reading... and I do not doubt its truth. Racetracks, across the board, seem to have little clue how to package, promote, and otherwise market their product. To make matters worse, at least in your case, your signature track is owned by the "innovative" Magna. It is sad that Magna, time after time, track after track, has failed to deliver, failed to improve, and often, failed to show concern for the plight of their "new purchase".

Jellac, I agree that slots are probably only a short term fix, but without at least this, the short term is bleak in many areas. The "fix" could very well start the ball rolling for better purses, and, even more importantly, better breeder incentive awards. If a breeder incentive award program is adequately funded their will be better stock moving into the state. Actually, it should bring better and more stock, which of course means more jobs associated with this uptick. The improvement in stock, especially stallions, would allow for a more palatable sales possibility, which means you might have a chance in the commercial market (especially if said product also was eligible for rich state-bred purses).

Someone, rightfully so, eloquently advocated against the weak racing found in restricted state-bred races in another thread. While I agree with this sentiment, a well designed program should give a boost to the state-breds and still accentuate the need for the continuation of improvement by the state-breds. However, getting the "trackers" and the "breeders" to agree becomes more difficult when more money is involved.

Technically, a program formulated like the KTDF, along with breeders incentive awards (the part of the equation KY is missing), is probably the best for the long-term interest of the sport and the quality of the stock. However, with large purses, it is probable that "outside" horses will dominate until the state-breds can catch-up, so some degree of restricted races may be necessary early on to support the program. Of course, in my opinion, a sliding scale should be built-in which limits the time and purse money for these restricted races, and this will be incredibly hard to pass and actually perform because of the addictive nature of money and certain humans inability to handle both success and progressive thinking.

The point is that slots are probably not the long-term solution... but, sometimes you have to do something drastic short-term to break a negative cycle (or slide), otherwise there may be no long term. As one of our foremost economic thinkers once said, "... in the long term we are all dead...".

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Postby jellac » Thu Oct 28, 2004 6:10 am

Henthorn, Michael & KAL - Thanks. I appreciate your replies. It is a thorny issue in part because there are so many "stakeholders" each with a very different idea of what their measure of success is and what the timeline for achieving that success might be. Unfortunately we live in a society where everyone feels compelled to operate increasingly compressed timelines and when time is short the only yardstick becomes the bottom line. I think "success" - if it were defined as increased patronage at the tracks, i.e. higher attendance - would be executed, necessarily, over a longer timeline and look a bit different in the end. More importantly I think is the fact that increased patronage would tend to inculcate the 'fun' of going to the races into a new generation. I've exposed my niece and nephew to the fun of being around horses, going to the track and "guessing" which one is going to win. They are keen to go to the races every time they come to Texas or I go to L.A. I invite my "horsey" oriented friends from the worlds of dressage/eventing and H/J to join me on the backside when I have a horse being galloped or worked for an upcoming race - encouraging them to bring along their Pony Club sons and daughters - and I invite a larger circle of friends and acquaintenances to join us at the paddock rail for the race. (I do feel that I have to "warn" them about the smoke filled simulcast parlor that our lower level is, but most either accept that or bypass that area quickly.) Is it a quick fix, no - so far though I've got one friend, a rural suburbanite, working professinal and mother of two who rides and jumps reading the Sports section's horse racing program to "watch" for my horse - the only one she knows. Her daughter - on the trail to become perhaps a high competiton level eventer - is very keen to come to the track when he runs or works...if it doesn't interfere with school. Here's the kicker - they live almost 2hrs from our track and because of the connection are willing to make that trip. I'm amazed! I don't think that enough is done to personalize racing for the public - that's what would get them interested enough to come to the track.

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Postby KAL » Thu Oct 28, 2004 8:56 am

Jellac, I wish more people in the industry thought like you.

Of course, around Lexington, when Keeneland is in session... everyone knows and appreciates it. The same can be said of Saratoga, and perhaps to a lesser degree of Del Mar. Even Hot Springs, the tiny town in the middle of nowhere, transforms during race season... but not as much now as it did 10 years ago. I truly think that if it weren't for racing, Hot Springs probably would be close to a ghost town by now. According to those who have been around long enough to know, Hialeah was the same.... what a sad state of affairs.

You know... nothing beats live racing... granted I don't get much thrill over being around the paddock at a third rate track anymore (Keeneland and Churchill along with a few others spoiled this... but I love being in Keeneland's paddock and around those incredible critters). However, it doesn't matter what track, where it is located, nothing beats being at the rail as the horses come down the stretch.

In fact, after close to 20 years of going to the tracks... and after going to approximately 30 tracks... I seemingly had forgotten the experience of "the rail". I guess too much time was spent up in the box seats or near a monitor... However, this past weekend, I made it a point to get up to the rail for almost every race at Keeneland... even in the pouring rain. It brought back the surge... which I had missed.

Perhaps the simulcast, monitor, television generation has taken quite a bit from the game. It keeps you from the most important and enjoyable part... the horses... the magnificient critters who are about to perform incredibly valiant and athletic feats. If you take a newbie to the track, keep them out of the "parlors"... keep them out of the clubhouse... get them to the paddock, get them to the rail... and listen to them re-visit the excitement for the next few days. It will happen... and it happens less because of the gambling... but more because of the horse.