Tuesday, April 10, 2007

Horse industry insiders have warned the state could lose part of the racing
industry's annual half-billion dollar impact if steps aren't taken to
compete with gambling in neighboring states. The call follows a report
released last week by the Rutgers Equine Science Center that found the
industry alone funnels $1.1 billion annually to the state's economy with
racing bringing in an additional $503 million. "It is no secret racing is
facing tough competition from neighboring states that have added gaming
operations to their racing venues," said Karyn Malinowski, director of the
Rutgers Equine Science Center. "Any further erosion of racing in New Jersey
could have disastrous consequences for the state economy and the rest of the
equine industry." Bergen County lawmakers introduced a proposal to add video
lottery terminals to the Meadowlands Racetrack to compete with gambling in
places such as Mohegan Downs outside of Wilkes-Barre, Pa. But South Jersey
legislators vowed to fight the proposal, fearing that it would hurt Atlantic
City casinos. "There's no benefit to the state," said Sen. Stephen Sweeney,
D-Gloucester. "It's a benefit to the region at the expense of another
region." State Treasurer Bradley Abelow indicated the state would study
whether placing video lottery terminals at the Meadowlands would be
detrimental to Atlantic City. But racing enthusiasts believe the move is
necessary to keep New Jersey horses here.
"We need a mechanism to sustain racing in the state long term," said Barbara
DeMarco, a lobbyist for the thoroughbred industry. Without video lottery
terminals, DeMarco said, horse breeders are more inclined to take their
animals elsewhere. "Already, decisions are being made in New Jersey," she
said. "Are we going to do what other states around New Jersey are doing and
get VLTs?" Sens. Paul Sarlo and Joseph Coniglio, both D-Bergen, have said
video lottery terminals at the Meadowlands could bring in an estimated $300
million a year.