To the editor:
While the vision for the future of the Preakness continues to improve and excite, the economic reality grows dimmer and more desperate. Under a law passed last April, the Maryland Stadium Authority was required to submit two progress reports to House and Senate Committees, the first by Sept. 30, 2022, and the second by Jan. 1, 2023. The racing facility redevelopment at Pimlico and Laurel Park was not on the MSA board agenda for their meeting on Jan 3, 2023, and has not been discussed by the board in recent months.
MD bill 897 permits a grand vision for a new Preakness home at Pimlico Race Course, authorizing the issuing of bonds, but contingent on agreements between the Maryland Jockey Club, LifeBridge Health, the City of Baltimore and the stadium authority. A scan of the required agreements suggests that it is a big nut to crack. Meanwhile, the plan to demolish Pimlico is stalled, and the increasing price of money as time goes forward diminishes the impact of the bond cap.
Rebuilding a new Pimlico at the Park Heights location for a limited race meet in an era of declining popularity and attendance is absurd. The multi-use vision for the new facility is unlikely to offset the capital and operating costs of a racing facility. It's a roll of the dice to predict if private capital will come in to support the grand Park Heights neighborhood redevelopment plan. If private capital does come, that would be fantastic provided it does not diminish the current neighborhood housing inventory.
Laurel Park is the most economically realistic home for the Preakness, as well as Maryland racing. So declaring Laurel as the home of the Preakness and investing in the facility makes sense.
Some have expressed the sentiment that the Preakness is a Maryland issue, not just a Baltimore issue. Through that lens, keeping the Preakness viable in the state of Maryland is a win. It does not need to be in Baltimore city. Indeed, it is not only a Baltimore or Maryland issue, but a racing industry and national event within that industry. A quality production of the Preakness is important to the image and history of horse racing. If there was an overarching organization like FIFA deciding on a World Cup venue or NCAA deciding on a March Madness venue, where would the Preakness be situated? (At this point in time my answer would be Delaware Park.)
The key obstacles that I predict will stalemate the effort are found in the necessary pre-requisite agreements to the issuing of bonds. There are eight agreements, and the ones that on an initial read appear problematic are:
— Agreement #4: Control of the Scheduling Programming Budget and Construction Decisions
— Agreement #5 – Pimlico Long Term Operating Agreement
— Agreement #6 – Pimlico Lease Agreement Associated with Preakness
The plan calls for the City of Baltimore to own the Pimlico property and lease it back to the Maryland Jockey Club. The cost of that lease is likely to be contentious. But a bigger obstacle could be who shoulders the operating costs of the facility that would be substantial and ongoing. The MJC has the operating expertise, but the cost of maintaining two facilities is staggering.
Consolidation to Laurel is the only viable solution. The report to the General Assembly already stipulates a $150-million shortfall, which will grow as time goes forward and the cost of money, labor, and materials increase. Acting now, the bonds should provide sufficient investment in the Laurel Park facility. So many “what if” scenarios are in play here that one could only imagine a long and costly, perhaps fruitless, negotiation period. Better to get on with a workable plan now instead of sinking more time and money into a luxury yacht design that will never set sail from the Annapolis dock.
The water continues to heat up to boil the horse racing frog. Paradigm shifts are needed. The Horseracing Integrity and Safety Authority is one of them. Letting go of Pimlico as the home of the Preakness is another. City leaders will take heat if the Preakness is lost from Baltimore. But in the long run Maryland and Baltimore politicians will be true to their mission to support the public good. The debt retirement of the proposed bonds will come from taxes from video lotteries and casino betting. But wasn't the legislation to grant betting licenses in the state predicated on using tax revenues to support education if not other public necessities? It's the economic engine of America that generates the wealth to enjoy luxuries such as horse racing. Education and public infrastructure are the foundations to keeping our economic engine running.
Adding my 2 cents in on what would enhance the experience of fans onsite and on television at Laurel: Remove the existing unremarkable utilitarian jockey/official/administration building that sits beyond the circular saddling shed and construct an open-air parade ring surrounded by terraced standing viewing structure. A paddock/parade ring with a terraced standing area makes the statement that the horse is the center of this drama. Seeing the participants increases interest and appreciation. Top tier tracks Sha Tin, Hanshin, Longchamp, Baden-Baden, and Belmont Park are among those that have this feature and throngs visit their parade rings each race.
— Martin Chamberlin
Bluemont, Virginia
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