by Frank Angst

As Kentucky horsemen continue to prevent Churchill Downs from importing its signal to most advance-deposit-wagering outlets, the national Thoroughbred Owners and Breeders Association encouraged the hardboots to continue their fight for increased ADW revenues.

In a letter to the Kentucky Horsemen’s Benevolent and Protective Association, TOBA Chairman Bill Casner and TOBA President Dan Metzger endorsed the Kentucky horsemen’s efforts to increase the amount of ADW revenue committed to purses. Through the Thoroughbred Horsemen’s Group, horsemen in Kentucky, Texas, Florida, and several other states are seeking an equal, one-third each split of revenue between the ADW company, host track, and purses.

At Calder Race Course and Lone Star Park, purses have been cut as horsemen have refused to sign an agreement to allow those tracks to import their signals to most ADW outlets. Churchill Downs Inc.’s ADW site, TwinSpires.com, has not been offering Churchill races and only plans to offer the Kentucky Oaks (G1) and Kentucky Derby presented by Yum! Brands (G1) this week if the issue is not resolved.

“TOBA applauds the leadership of the Kentucky HBPA and recognizes the short-term financial setbacks that horsemen must sustain during this period,” the letter said. “We completely support the goals of the THG to require fair pricing for advance deposit wagering companies as the shift in wagering from on-track and traditional simulcast outlets to ADW companies has led to less money from pari-mutuel sources being contributed to live racing.”

Churchill Downs Inc. President Bob Evans said on Monday he would not agree to the horsemen’s plan because it would make Churchill unprofitable.

The TOBA letter said because track owners like Churchill and Magna Entertainment also own ADW sites, it is important horsemen secure an increased percentage of ADW handle.

“Racetrack companies that own ADW companies are ‘incentivized’ to redirect wagering from on-track to their ADW company by the current pricing model, as they are able to retain more revenue from an account wager and pay less to purse accounts than when the same bet is made at their track,” the letter said.

Ian Meyers of ADW outlet Premier Turf Club noted that some ADW companies and rebate shops currently have access to the Churchill signal. He said those sites include Elite Turf Club, Racing and Gaming Services, and several off-track betting sites that also offer ADW.

Lone Star Park announced Tuesday that it will cut overnight purses by 10%, effective May 8.

“Obviously we are extremely disappointed to announce a 10% purse cut three weeks into our season, especially when we have gotten off to such a great start this year, ” said Lone Star Park President Drew Shubeck. “When the Thoroughbred Horsemen’s Group and the Texas Horsemen's Partnership chose this direction, unfortunately, Lone Star Park was left with no alternative.

Shubeck said the failure to reach an agreement is hurting horse racing.

“The current situation has no winners,” added Shubeck. “We remain hopeful of a quick resolution that will allow us to provide the quality horse racing our fans and horsemen are accustomed to---and deserve.”

In another simulcasting issue, the New York Racing Association and the Mid-Atlantic Cooperative, simulcasting representative for 16 of that region’s tracks, have failed to come to terms over simulcasting each others’ races.

“It is unfortunate that negotiations won’t result in a deal by the start of the Belmont Park meeting,” said Hal Handel, NYRA Executive Vice President. “Simulcast pricing is a changing part of the racing landscape. The discussions have been amicable, so we’re hopeful our outstanding economic issues can be resolved soon.”

NYRA’s Belmont Park opens for racing on Wednesday, April 30.