Friday, February 10, 2012
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By Ron Bartizek rbartizek@timesleader.com
Business & Consumer / City Editor
HARRISBURG – Purses are up dramatically since the introduction of casino gambling at Pennsylvania horse racetracks, but that doesn’t necessarily mean the promises of Act 71, the legislation that legalized slot machines, have been fulfilled.
“There isn’t a story to tell just yet,” said Daniel Tufano, chief administrative officer of the Pennsylvania State Horse Racing Commission, during Monday’s session of the Pennsylvania Gaming Congress. The session continues today.
Despite the “incredible investment” in casinos that host racing, state tax collections on racing fell 4 percent in 2007, Tufano said. He pointed out that racing has been stagnant nationwide.
Higher purses have drawn better horses to Mohegan Sun at Pocono Downs, said marketing vice president James Wise, but not noticeably larger crowds in the grandstand. Wise did not attend the seminar but was contacted at the Plains Township casino.
“That has not slowed our desire to work on options that can expose new people to the racing side of the business,” Wise said. And while attendance may not be swelling, the Downs’ “export” signal, which is sent to betting parlors across the nation, is more popular, raising the volume of betting.
Casino racetracks are required by the state to invest in their tracks, paddocks and barns for at least five years. Jeffrey Lolli, who moderated the panel on casinos’ effect on racing, said that even though there seems to be limited crossover of customers, there’s enough benefit that racing will continue to have support. Adding table games, which attract gamblers with similar characteristics as racing, will help. He thinks table games are not far away in Pennsylvania.
“That will only strengthen the relationship between the two,” Lolli said.
Wise said the Downs’ racing calendar has been shortened this year to accommodate construction of a new, $3.5 million indoor paddock. Live racing will begin April 1 and end Sept. 13, several weeks earlier than usual. There will be 95 racing dates in between.
The 52,000-square-foot heated and air conditioned paddock will accommodate enough horses for a 14-race card as well as some offices.
“This is part of our commitment to the racing community here,” Wise said.
Ron Bartizek, Times Leader business editor, can be reached at 970-7157.
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