Horse-racing budget talks to continue
Horse racing in Pennsylvania will not be shut down yet. Officials said Friday that negotiations between state lawmakers and horse-racing leaders will continue into next week as they seek new ways to fund regulation costs.
Horse racing in Pennsylvania will not be shut down yet.
Officials said Friday that negotiations between state lawmakers and horse-racing leaders will continue into next week as they seek new ways to fund regulation costs.
Last week, Gov. Wolf threatened to order the closure of Pennsylvania's six racetracks by Friday if the industry failed to pay for licensing costs, safety measures, and the drug testing of horses. Both sides have said all week that progress is being made toward an agreement on how the industry will handle those costs, although few details have been released.
If the governor were to shut down horse racing, it would take 30 days from the time of his order to completely cease operations, officials said.
"We're happy that the talks are still proceeding, and we're still working on it," Salvatore M. DeBunda, president of the Pennsylvania Thoroughbred Horsemen's Association, which represents trainers and owners at Parx Casino in Bensalem, said Friday afternoon.
Agriculture Secretary Russell Redding said in a Friday afternoon statement that the possible suspension of the sport would be delayed for another week, with both sides close to a deal.
"We have come a long way since last Friday, when the future of racing in Pennsylvania was very much in doubt," Redding said. "While we don't yet have a comprehensive agreement, we do agree on many of the major points. Those areas where differences remain are not insurmountable."
But neither he nor others have been willing to identify what those differences are, how big the gap is, or what it might take to overcome them. Their talks, both face-to-face in Harrisburg and on the phone, have been ongoing for more than a week.
Horse racing contributes $1.6 billion to the state's economy and employs 23,000 people, including many at Harrah's racetrack in Chester and Parx in Bensalem, supporters say.
For decades, the costs of regulating the sport, which total about $20 million per year, were covered by revenue from horse betting as the State Racing Fund. But as the sport's popularity and wagers declined - 71 percent since 2001 - the fund fell short.
That forced the state to transfer money from somewhere else in the budget or another racing fund - the Race Horse Development Fund - that is supported by slot machine revenue. This year, the shortfall is about $10 million, officials said.
Harrisburg's ongoing budget stalemate forced the issue into the open last week because the state lacked money to transfer into the deflated racing fund, the Wolf administration said.
Spokesman Jeff Sheridan said the industry had to face the "hard truths" and pushed for agreement on a measure sponsored by Sen. Elder Vogel (R., Beaver) that includes the industry bearing $9 million in drug testing costs.
610-313-8118@Ben_Finley