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Stan Jumps Ugly on Silly NJ Pols (updated)

May 19th 2008

4 comments

Gotta love Stan Bergstein when he gets his dander up-- and he did today for HTA (for good reason) in reacting to the latest bizarre news out of New Jersey. Here is Stan's column and all I can say is "AMEN": 
 
"IN NJ, ANYTHING BUT RACING
As Pennsylvania racing zooms past to new heights, legislators in New Jersey, and its governor Jon Corzine, turn away from racing to keno and sports betting, leaving a major agricultural industry to wither on the vine.
 
NJ.com reports this morning that “Searching for new sources of cash, the Corzine administration is taking a fresh look at an old idea: setting up keno games in bars, restaurants and other places where patrons can bet on numbers drawn every few minutes.” The news service also reported that the Senate Wagering, Tourism and Historic Preservation Committee was meeting today to hear testimony on a bill that would permit sports betting in casinos, or a second bill that would permit it in casinos or racetracks, this despite the fact that it is against federal law.  
 
The committee also is to consider a resolution to ask Congress to lift the federal ban. The bill sponsor, Democrat Raymond Lesniak, wants New Jersey to go farther. He has asked the Corzine administration to file a lawsuit challenging the 1992 federal ban, and said if it does not do so he will file the suit himself. All of this takes place in a state with the world’s foremost harness track, the Meadowlands, which with its sister track Monmouth Park and Freehold Raceway could provide hundreds of millions to the state if allowed to have slots.
 
New Jersey’s shadow government, Atlantic City casinos, do not want that to happen, and in New Jersey what the casinos want the casinos get. As to keno, the Lottery Commission already has rules in effect to regulate keno in bars and restaurants if they are approved, but the casinos do not want them. Atlantic City’s former mayor and now state senator Jim Whelan has registered strong opposition, saying keno could have a “devastating effect” on the multibillion dollar casino industry by creating state-wide competition. No one within earshot in Trenton mentioned the devastating effect on New Jersey racing."
 
UPDATE. Here is a quote from Leon Zimmerman, on behalf of the SBOA: "The SBOA of New Jersey is vehemently opposed to any effort to authorize keno games in bars and taverns in this state.  If video lottery terminals are not going to be approved for racetracks, then keno gambling should not be put in bars and taverns.  It would create another form of gambling that could only further negatively impact horse race wagering in New Jersey at a time when we are facing tremendous competition from neighboring states with slot machines or VLTs that significantly increase purses at their tracks.  Casinos in Atlantic City and a State lottery already have had a devastating effect on New Jersey horse racing and breeding."
 
 

Comments

pat w. said...

Just a side note to the comments made by the Harrah's CEO in Montreal. Being a Pa. resident and also being around the game for nearly 30 years now, I know the Philly area's background quite well going back to the Liberty Bell and Brandywine eras, ie, those were the "days" for area harness racing.

Obviously, I have lived through the just passed era of harness racing being non-existent in the area minus a few very good years at GSP. When Harrisburg finally was able to shove through the slots bill, I was thrilled cause I knew what was coming. When plans to build the new "Chester Downs", I was ecstatic. The planners hooked up with Harrah's Entertainment who built a beautiful facility and currently run a top notch form of harness racing.

BUT---and this is the part the CEO better remember when he gets up on his soapbox the next time----Harrah's would not even be in the slots business in Pennsylvania without harness racing. The Harrah's coffers, and I'm sure the CEO's own pockets come annual bonus time, are being filled due to harness racing in Pa. My bottom line point is that harness racing is being supported right now by the Harrah's slot machines BUT without harness racing, those slot machines would still be in a warehouse somewhere.

posted at 10:32 AM on May 21st 2008

Paul Siegel said...

Carol:

I know why the SBOA testified at the hearing. I'm suggesting that we are starting to sound like a broken record with the "Me too, me too...if the casinos have it we need it too."

Have my friends at the SBOA noticed that Harrah's has already made it clear they're not happy with having to subsidize horse racing at Chester? I understand the industry didn't exactly come off too well at the recent hearing on introducing table games in PA either.

Subsidization by another form of gambling is a crutch...and a crutch that may be taken away sooner rather than later as governments want a bigger piece of the pie to help avoid tax increaes and casino operators make it clear they need a ROI comparable to what they earn on non-racino casinos.

posted at 9:11 PM on May 19th 2008

CarolNJ said...

Paul, we know that sports gambling is a longshot but were it to become a reality, the racing industry is just trying to make sure it is in the hunt as a "host" for it and not just the casinos in Atlantic City. The survival of racetracks is largely related to their position as gaming facilities -- not just racing facilities -- and pretty much any form of gaming should be considered.

posted at 8:08 PM on May 19th 2008

Paul Siegel said...

And of course the SBOANJ is front and center trying to get the racetracks in on the sports betting, which has about as much chance of being legalized as I do of being the first man to walk on Mars. We might want to spend a little more of our time working on more potentially feasible solutions to our problems:

News from the Standardbred Breeders & Owners Association of New Jersey

SBOANJ URGES SPORTS BETTING AT TRACKS IF STATE GETS APPROVAL

TRENTON, NJ – May 19, 2008 -- A State Senate Committee was urged today [May 19, 2008] by the Standardbred Breeders and Owners Association of New Jersey that if a federal ban on sports betting is ever overturned, it should be allowed at the state’s racetracks, as well as at Atlantic City casinos.

“Racetracks, like casinos, are highly regulated, stand-alone locations currently providing secure wagering operations,” Leon Zimmerman, lobbyist for the SBOANJ, told the Senate Committee on Wagering and Tourism.

The Committee took testimony for discussion purposes only on legislation to authorize professional sports wagering at the casinos and racetracks and a resolution to urge the U. S. Congress to lift the current federal ban on sports wagering. No votes were taken, but senators on the Committee indicated their strong support for the idea.

Supporters of the proposal envision a legal fight to overturn the ban, which applies to 46 states. Only Nevada, Delaware, Oregon and Montana are permitted to have sports wagering because of a grandfather clause in the ban.

Zimmerman was testifying on behalf of the statewide association which represents thousands of people involved in all aspects of the standardbred breeding and racing industry in New Jersey - breeders, horse and farm owners, trainers, drivers and caretakers of harness horses that race at the Meadowlands and Freehold Raceway.

He noted that the horse industry in New Jersey has been in decline since the competition of casinos in Atlantic City, and that surrounding states have put slot machines or video lottery terminals at their racetracks to boost purses that will eventually outpace New Jersey’s track purses.

Under an agreement awaiting approval by all parties, the Atlantic City casinos would supplement racetrack purses by $30 million a year for three years in lieu of VLTs at the tracks.

“The horse racing industry will be better equipped to survive if it has another form of wagering, such as on sports, available under its roof,” he said, noting that revenues produced through sports betting at racetracks would benefit the state, racetracks and purses for horsemen competing at these racing facilities.

Opposition to the professional sports wagering legislation was voiced by a representative of the National Football League.

-Submitted by Leon Zimmerman for the SBOANJ

posted at 4:14 PM on May 19th 2008


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