MD Breeding Farms want to run racing in MD

[bisket]

Maryland Breeding Farms want to kick 1st Racing to the curb….
https://paulickreport.com/news/the-b...profit-racing/

[Dave Schwartz]

From the article:

“Why not look at a not-for-profit model for Maryland racing?” MTHA general counsel Alan Foreman asked the Authority, of which he is also a member. “We suggested the idea of a Racetrack Operating Authority, which is what we have now. And then that would flow down to the not-for-profit entity that can operate our tracks with innovative management, good management, no subsidies, and is dedicated to Maryland racing… But that's the model, and that's the one that we think needs to be carefully studied as an alternative to private operation.”

Forgive my negative tone, but...

Yes, non-profits are famous for innovative business management.

What could possibly go wrong?

[MooseDog]

TLDR;

I believe Del Mar is a non-profit and Keeneland while not, is essentially operating as a non-profit for the benefit of the industry.

Neither have casinos. They seem to be doing OK.

Done right, it’s a model that can work.

[Dave Schwartz]

Originally Posted by MooseDog

TLDR;

I believe Del Mar is a non-profit and Keeneland while not, is essentially operating as a non-profit for the benefit of the industry.

Neither have casinos. They seem to be doing OK.

Done right, it’s a model that can work.

That's a fair assessment.


I stand corrected.

[JustRalph]

One problem with non profit organizations.

They have no incentive to do the right thing or grow their business beyond handing bigger salaries out while basking in their glow of self righteous public facade

[bisket]

1st Racing has done a terrible job operating racing in MD. They bought the tracks from Joe DeFrancis Jr. The state legislature wanted to give the tracks a casino license. The deal negotiated between Magna and DeFrancis gave all proceeds of casinos to DeFrancis and Magna would operate the tracks. This was 25 years ago. The legislature didn’t like that arrangement. All of our racing facilities needed upgrading and modernization. The casino proceeds would allow the owner of the track to make the needed upgrades. Lol DeFrancis wanted put that money in his pocket. Putting the casino at the track was an easy solution because gambling was already at the facilities. Now casino licenses would become a tricky piece of legislation because no one wanted the casinos in their districts. It took 20 years to build the casinos and for the purse subsidies to reach the tracks. The legislature gave the breeders control of the subsidies instead of 1st Racing. The tracks don’t have control of that money. So in a sense the Breeders are already making many of the decisions.

[bisket]

Another thing…. Lol the legislature appropriated almost 400 million dollars to build a new track and upgrade facilities 5 years ago!!! 1st Racing still hasn’t come up with workable plan to spend that money. It’s time for the clown show to go back to California.

[castaway01]

Originally Posted by JustRalph

One problem with non profit organizations.

They have no incentive to do the right thing or grow their business beyond handing bigger salaries out while basking in their glow of self righteous public facade

For decades Maryland racing has been run like they're not trying to make a profit. Not sure how much worse an actual nonprofit could be....

[lamboguy]

this is just another move to wipe out what has worked in the racing industry for many years to make sure the big boys take down more and more of the money wipe out all the small fries in the game, and make sure the sport is less competitive and more boring.

this will only add to less breeding. less breeding leads to only expensive horses being bred. fewer horses eventually mean fewer races. the cheaper claiming races are still economically challenging unless you can race a horse more frequently than what the expensive horses run. not only that, when you wipe out the smaller guy, the mutual windows get affected in a negative way.

[Robert Fischer]

I don't know.



This stuff is outside my circle of competence.

[bisket]

Originally Posted by lamboguy

this is just another move to wipe out what has worked in the racing industry for many years to make sure the big boys take down more and more of the money wipe out all the small fries in the game, and make sure the sport is less competitive and more boring.

this will only add to less breeding. less breeding leads to only expensive horses being bred. fewer horses eventually mean fewer races. the cheaper claiming races are still economically challenging unless you can race a horse more frequently than what the expensive horses run. not only that, when you wipe out the smaller guy, the mutual windows get affected in a negative way.

I don’t know if you read the article, but the MD breeders said they don’t consider MD a 1st tier racing circuit. They consider horses bred in MD second tier runners. 1st racing wants to run 75 to 80 cards a year so purses will compete with New York and Kentucky. MD breeders want to race 175 days a year with a lower purse structure. How big were the fields at Saratoga this year? Lol MD is gonna fill fields with those horses? MD can fill fields with their own horses. That’s the idea…

[Sheffwed]

and while they are at it, reopen and expand racing at Fair Hill

+ preserve Pimlico, and Laurel can be a nice 2nd tier track with top turf racing, all of which would benefit the economy of the state, its industry and its breeders

the current owners blew it when it came to getting casino $, their time is up