texas

New Money Deadline Approaching for Texas Horse Racing

Horse racing in Texas could come to an abrupt halt for the second time this year, if the Texas Racing Commission again runs out of state money in a dispute between the commission and some lawmakers opposed to expansion of gambling.

The panel has enough cash to remain running until Nov. 30, when unappropriated money transferred to the commission two months ago runs out. That cash infusion, which was the result of a temporary legislative agreement, ended a one-day shutdown on Sept. 1.

"It's just a waiting game right now," John Jamison, director of facilities and track superintendent at Lone Star Park in Grand Prairie, told the Fort Worth Star-Telegram.  "Everybody is holding their breath, collectively praying for the result that the commission will be funded so they can go ahead and plan their lives."

The dispute involves race tracks' desire to install "historical racing" devices, which resemble slot machines and replay past races. The devices have no information to tip off players to the outcome.

Supporters say the machines are needed at Texas tracks to compete with operations in other states that have casinos and bigger payoffs.   Opponents argue that the machines could bring casino-style gambling to Texas tracks, where the issue never has received legislative approval.

Some lawmakers sued the racing commission last year when the panel gave historical racing the green light. A state judge in Austin sided with the opponents, ruling that the Texas Legislature -- not the commission -- should have that authority. A coalition of race tracks is appealing.

In the legislative session that wrapped up in the spring, lawmakers agreed to finance the racing commission for the next two years. However, lawmakers insisted that the roughly $1.5 million in state funding needed to be approved by the Legislative Budget Board, which couldn't come to an agreement on the money by Aug. 31.  The indecision meant that the commission was idled by a lack of money.

"When the tracks shut down, it opened up everybody's eyes," Jamison said. "We lost hundreds of thousands of dollars that day . (at tracks) throughout the state. It put fear in everybody."

The Fort Worth Star-Telegram reported that officials were aware of the approaching deadline of Nov. 30, and were working behind the scenes to find a solution.

Commission spokesman Robert Elrod says a shutdown would be "worst-case scenario."

State estimates show the industry is responsible for 36,000 jobs and contributes $5.5 billion to the Texas economy. 

"People are scared," Jamison said. "They don't want to move their families, but they have very little to do with the outcome. Their lives are in the hands of someone else. That's hard to deal with as well."

Copyright AP - Associated Press
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