New rule by Wyoming would restrict off-track betting
According to a new rule to be imposed by the Wyoming Pari-Mutuel Commission, track owners are now required to stage 16 days of live horse racing as a pre-requisite to off-track betting. The goal of the new regulation is to revive
the deteriorating horse racing industry which has suffered greatly because of the recession. The commission seeks to give the industry a jump start and make it more attractive for recreational purposes.
Until now, the track owners had been taking advantage of a loophole present in the legislature. This translated into not putting up live events as it was not compulsory under the law. The track owners resorted to offering simulcast
betting to quite a number of cities instead. As a result of this, there were no live events hosted by Wyoming Downs this year, which is the state’s only horse track. An effort was made by the owners of the Evanston track to be supportive by applying to host
10 live horse racing events next year. However, they still claim that doing so would result in a loss of more than $20,000 for each event that they host.
The rule is not designed to be harsh to the owners, it rather focuses on bolstering the horse racing industry of the area. According to the rule, a track owner would be allowed to get an exemption from the condition of providing
16 live horse racing days before they could start off-track betting under special conditions. These include financial problems among other things. Once the owners are able to prove that they are facing economic hardship, it will then be up to the discretion
of the Wyoming Pari-Mutuel Commission to decide the number of days the track should host live horse racing in order to receive its simulcast permit.
"We want to be fair to all concerned," said Charles Moore, the Commission's Executive Director. "That is one of our biggest and strongest goals."
The reason for choosing 16 days to offer live races per track as determined by the commission is that it equals the average number of live race events run annually in Wyoming over the last decade.
Moore does not find fault with the operators of the track who want to run less races as he admits that the cost is great and is willing to admit the important role of lawmakers to promote live horse racing by restricting off-track
betting. According to Moore, this would greatly support live events in Wyoming.
Eric Spector, who is the President of the company operating the track, thinks that the requirement of hosting 16 live horse races would be risky for Wyoming Downs, specially taking into consideration the prevailing economic conditions.
He also added that off-track betting could not earn back the total number of losses incurred by hosting live racing events.
"It imposes a loss that is not in balance with the revenues that could be generated," he said. "We all need to be very careful on how to strike a balance on this."
Spector is not hopeless about the economic conditions and talks about being willing and able to offer more live races once the economy takes a turn. In the meantime however, the commission and the horsemen’s group must seek a way
to ensure that Wyoming Downs remains in a financially stable position because the interests of both stakeholders are tied to it.
"If we can't operate, the industry is out of business," he said. "And that is not something any of us want to see happen."
The rule designed by the commission has to undergo a review process that would take several months. It will also be subject to public approval before it can take effect.
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