After legislative fix, tracks are back in gambling business in Lexington, elsewhere
Even though Gov. Andy Beshear has yet to sign the legislation to legalize historical horse racing at tracks, the Red Mile has reopened.
The Lexington gambling parlor, jointly owned with Keeneland, reopened at 10 a.m. on Feb. 13, less than 48 hours after the Kentucky General Assembly finished passing the bill.
“On behalf of our team members, our horsemen and all of the citizens of the Commonwealth who earn their pay checks directly or indirectly from the horse industry, we applaud the Kentucky House of Representatives for the passage today of SB 120. The future of the Commonwealth’s signature industry and those who support it is secure,” the tracks said in a joint announcement with Churchill Downs, Kentucky Downs and Ellis Park immediately after passage.
The legislation redefined parimutuel to include games that the Kentucky Supreme Court had ruled in an opinion in September did not qualify for standard legal definitions. The conservative Family Foundation, which opposes expanded gambling, is expected to challenge the measure in court.
In the meantime, Keeneland and the Red Mile have restarted their facility, which was the only one to close after the state Supreme Court in January declined to reconsider its opinion.
On Tuesday, the Kentucky Horse Racing Commission approved changes to the wording of statutes and regulations to conform to the newly passed language.
They also approved plans by Kentucky Downs in Franklin to add a second facility in Bowling Green in Warren County, less than 60 miles away. A specific location has not been announced. According to the racing commission, the new facility will “offer simulcast racing wagering as well as a variety of parimutuel wagers including exotic wagers, all yet to be determined.”
Despite the temporary closure of one facility for nearly a month, revenue from the slots-like machines is up overall for the first six months of the fiscal year by more than 32 percent. Through the end of January, more than $2.2 billion had been wagered across Kentucky, generating about $158 million for the tracks and $14 million for the General Fund.
The tracks have promised lawmakers to revisit the tax structure on the gambling parlors.
Beshear told the racing commission on Tuesday that he plans to sign the HHR legislation as soon as it can be enrolled, possibly next week due to weather delays. He also said that he plans to push for changing the tax structure during the current session, according to The Bloodhorse.
This story was originally published February 16, 2021 at 4:39 PM.
