Kentucky Governor Reiterates Calls To Support Sports Wagering, Historical Horse Racing

During Thursday's State of the Commonwealth and Budget address from the governor's mansion, Kentucky Governor Andy Beshear reiterated his support for both sports wagering and historical horse racing.

“Speaking of laws that unduly restrict us from growth and innovation,” Gov. Beshear said, “it is time to legalize medical marijuana, pass sports betting, and save historic horse racing.”

While Gov. Beshear's remarks on the subject were brief this Thursday, he has long been a supporter of both historical horse racing and sports wagering. The former has come under fire, however, due to a Kentucky Supreme Court decision last September which declared at least one version of historical horse racing terminal to not constitute pari-mutuel wagering, and thus to be illegal.

In response to the state's Supreme Court ruling, Churchill Downs has halted major construction projects at both it's Louisville, Ky. flagship track and at the recently-purchased Turfway Park in Florence, Ky.

In mid-December, during a virtual legislative preview conference, Gov. Beshear urged lawmakers to legalize historical horse racing in support of Kentucky jobs and the over $21 million it contributes to the state's budget.

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Gov. Beshear Calls On Kentucky Lawmakers To Be ‘Bold,’ Approve Historical Horse Racing, Sports Wagering

Kentucky Governor Andy Beshear fortified his positions on historical horse racing and sports wagering on Wednesday evening, calling on lawmakers to be “bold” and approve both during the 2021 General Assembly which begins on Jan. 5, reports the Kentucky Herald-Leader. Gov. Beshear's comments were made in a 20-minute speech he gave to the virtually-held legislative preview conference for the Kentucky Chamber.

Gov. Beshear has long been a supporter of both historical horse racing and sports wagering. The former has come under fire in 2020, however, due to a Kentucky Supreme Court decision in September which declared at least one version of historical horse racing terminal to not constitute pari-mutuel wagering, and thus to be illegal.

In response to the state's Supreme Court ruling, Churchill Downs has halted major construction projects at both it's Louisville, Ky. flagship track and at the recently-purchased Turfway Park in Florence, Ky.

Gov. Beshear urged lawmakers to legalize historical horse racing in support of Kentucky jobs and the over $21 million it contributes to the state's budget.

Read more at the Kentucky Herald-Leader.

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Legislative Fix For HHR Still Unclear In Kentucky; No Bill Pre-FiledYet

According to The Louisville Courier-Journal, the future of the horse racing community in Kentucky could be at stake after a recent state Supreme Court ruling on historical horse racing (HHR). The supreme court dealt a blow to the racing industry in September when it ruled that one manufacturer's HHR terminals don't comply with the legal definition of pari-mutuel wagering in the state.

Supporters and opponents of HHR appeared before the General Assembly's Interim Joint Committee on Licensing, Occupations and Administrative Regulations to discuss the path forward for HHR.

Racing industry representatives warned that the loss of HHR would seriously cripple Kentucky's Thoroughbred industry. The machines have provided $717 million in direct revenue to the horse industry so far.

Representatives from the Family Foundation, which brought the original suit questioning the legality of the machines, say a constitutional amendment would be required to change the state's definition of pari-mutuel wagering to accommodate HHR. The group opposes the machines, which resemble slot machines but use video of previously-run races to determine winning number combinations.

Senate Majority Floor Leader Damon Thayer disagreed.

“We're not looking for an expansion of gambling here,” Thayer said. “All we're looking to do is to put in statute that historical horse racing meets the definition of pari-mutuel wagering and this body has the authority to do that.”

As of Monday, no bill had been prefiled by a legislator regarding pari-mutuel racing in Kentucky. The next legislative session begins in January.

Read more at courier-journal.com.

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Cauthen: Historical Racing Is ‘Moving Our Industry Forward While Bolstering Many Others’

On Monday, Kentucky legislators heard arguments from both sides of the historical horse racing debate. The discussion was precipitated by the state's Supreme Court ruling declaring the games do not qualify as pari-mutuel wagering, and thus are not legal under state law. Horsemen are seeking legislation allowing HHR terminals to be legal, and Doug Cauthen, chairman of the board of the Kentucky Equine Education Project, penned an op/ed for the Northern Kentucky Tribune to urge state legislators to protect historical horse racing.

Cauthen explained that historical horse racing is directly responsible for 1,400 jobs across the state, and has contributed over $52 million to Kentucky's general fund. The games support the state's horse racing industry, which has a $5.2 billion economic impact.

“Historical horse racing is not a new idea or some 'what if' concept,” Cauthen wrote. “It is brick and mortar facilities that are generating valuable state revenue, providing paychecks for Kentuckians and moving our industry forward while bolstering many others. (…) By taking action to protect the future of historical racing, our elected officials are protecting critical jobs, state revenue and economic development—all of which greatly benefit their constituents and their communities.”

Read more at the Northern Kentucky Tribune.

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