Toledo
Blade...
House
OK of bill may doom Raceway Park
By Jim Provance
COLUMBUS
-- The Ohio House Thursday
gave Penn National Gaming, Inc., the green light to ask state
regulators to
move its Raceway Park racetrack license to the Youngstown area.
The
bill doesn’t specifically mention
Penn or its Toledo racetrack, but Rep. Matt Szollosi (D., Oregon) said
there’s
“very little doubt’’ who the target is. Penn has already told the
racing
commission that, if racetrack slot machines become reality, it will
seek
permission to relocate Raceway Park to the Youngstown suburb of
Austintown and
its Beulah Park track from the Columbus suburbs to Dayton.
The
gambling corporation contends that
its two racetracks, presumably equipped with slot machines in the near
future,
would compete for the same gamblers with its two voter-approved casinos
under
construction on Toledo’s riverfront and in Columbus.
“There
are many in Toledo who feel
that a promise, real or implied, given during the campaign has been
broken,’’
Mr. Szollosi said. “It’s my understanding that three of Ohio’s seven
racetracks
have been purchased within the last 17 months or so for a sum total
approaching
$130 million.
“Obviously,
these investors are
banking on state approval of video lottery terminals,’’ he said. “I
find it
unfortunate that a Toledo tradition spanning six decades is on the
brink of
extinction based on speculation that slot machines will be the
salvation for
Ohio’s budget woes.’’
Raceway
Park directly employs about
110 full and part-time workers. Penn has said it would give former
track
employees preference when filling jobs at the new Toledo casino, which
is
tentatively expected to open in April.
House
Bill 277 passed the chamber by a
bipartisan vote of 77-17 and now goes to the Senate. It was sponsored
by Rep.
Louis Blessing (R., Cincinnati), a long-time advocate for racetrack
slots, and
Rep. Ron Gerberry (D., Canfield), who represents Austintown.
“It
is not specific,’’ Mr. Gerberry
said. “It could be other counties, but there’s an opportunity that [the
Mahoning Valley] could be one of those areas. We’ve stood up on this
floor many
times and we’ve supported Toledo, Columbus, [and] Cincinnati, and to be
very
honest, I’m asking you to support the Mahoning Valley.’’
There
was no support, however, from
Toledo Thursday. All three lawmakers representing the city -- Mr.
Szollosi,
Rep. Teresa Fedor, and Rep. Michael Ashford -- voted against the bill.
The
bill would open a two-year window
for any track owner eligible to get a permit to operate slot machines
to make
its case to the Ohio State Racing Commission for a license transfer.
Lawmakers
authorized slot machines at racetracks two years ago, but the plan was
derailed
by a court challenge. The commission must act on the request.
The
bill addresses the concern raised
by House Speaker Bill Batchelder (R., Medina) that the transfer of
permits for
racetracks would require legislative approval.
“That
language we did today takes care
of the problem of location,’’ he said.
In
addition to the city’s three
lawmakers, “no’’ votes from northwest Ohio included Reps. Randy Gardner
(R.,
Bowling Green), Lynn Wachtmann (R., Napoleon), and Robert Sprague (R.,
Findlay). “Yes’’ votes included Reps. Barbara Sears (R., Monclova
Township),
Dennis Murray (D., Sandusky), and Rex Damschroder (R., Fremont).
Mr.
Gardner said he was concerned by
the bill’s rapid pace, less than 24 hours between bill introduction and
a House
vote.
“I
did not have an adequate
opportunity to talk directly to people in northwest Ohio who had an
interest in
this, including the harness horsemen’s association,’’ he said. “Over
the years,
they’ve communicated with me on issues on the industry and survival of
racetracks. I’m concerned that the way the law and rules are today,
greater
northwest Ohio may not be able to fairly compete to have a racetrack
facility
in future years.’’
The
creation of an eighth racetrack in
Ohio would require legislative approval. Also, the deal that Gov. John
Kasich
struck recently with Penn and Rock Ohio Caesars, owner of developing
casinos in
Cleveland and Cincinnati, appears to preclude the placement of another
slots
license in close proximity to the casinos.
Because
the horse-racing industry has
long contended slots are necessary to help tracks compete with
similarly
equipped tracks in other states, it appears unlikely a new racing-only
facility
would open in northwest Ohio without a slots license.
Penn
spokesman Bob Tenenbaum said the
firm has no timeline for the move.
“We
have to see what the process is,’’
he said. “Our goal is to wind up with racetracks in Youngstown and
Dayton with
[slots].’’
Mr.
Batchelder said additional votes
are still necessary before any slot operations can open. Those votes
will not
happen until after lawmakers return from summer recess in September, he
said.
Read
it at the Toledo Blade
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