Assembly Bill 5893, which called for an extension of annual purse subsidies given to New Jersey's Thoroughbred and Standardbred Industries through 2029, was passed Monday by the New Jersey Senate by a 35-1 margin. The bill had earlier been passed by the Assembly, by a margin of 73-0, and will now head to the desk of Governor Phil Murphy, who is expected to sign the legislation into law.
The bill calls for a $20 million subsidy to be split evenly among the two breeds.
The money is seen as a critical lifeline as New Jersey's tracks do not receive revenue from any outside sources, namely from the Atlantic City casinos. Without the subsidy, Monmouth purses would fall behind those offered in nearby states like Pennsylvania and Maryland.
“What it does is give our breeders, owners and trainers opportunities through 2029,” said New Jersey Thoroughbred Horsemen's Association Executive Director Michael Musto. “It establishes a continuation of the stability we have now in New Jersey. Thanks to Dennis Drazin [the chairman and CEO of Darby Development, operator of Monmouth Park] 100% of our money goes to overnight purses and that's the heart of what makes racing in New Jersey. It's really encouraging. It's really Dennis Drazin who makes this all possible.”
Earlier bills had already guaranteed the subsidy for 2024. The extension will now keep the subsidy in place through 2029.
According to the Daily Racing Form, last year, Monmouth distributed $31 million in purses over 56 live racing days, for an average of $553,000 a day, the highest in its history, with one-third of that money coming from the subsidy.
As a condition of receiving the subsidy, Monmouth, which is run by the state's horsemen, must issue a report to the legislature, the governor and the New Jersey Racing Commission on how the funds were appropriated.
The subsidies appear to be helping as Monmouth has recorded increases in average total handle and average on-track handle three straight years. The average total handle in 2023 was $4,032,648, an 11.4% increase over last year's average of $3,620,719.
Monmouth is scheduled to open on May 11 and run a 51-day meet. A 10 day meet of all-turf racing at the Meadowlands will commence when Monmouth closes.
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