Background:
When the State Supreme Court ruled that nearly all forms of gambling in Tennessee were
constitutionally-prohibited lotteries, they also opined that pari-mutuel betting on horse
racing was not an illegal lottery due to the skill required in successfully handicapping a
horse race. Racing proponents, especially those in Shelby County, seized upon the
opportunity to pass a "local option" bill through the Legislature, allowing one
county in each Grand Division to legalize pari-mutuel betting. Shelby County did so in
fairly short order. Attempts in Davidson and Williamson Counties were defeated; however,
Trousdale County did pass a referendum allowing horse racing.
The same act also set up a State Racing Commission to regulate the tracks that the act
anticipated. It also called for the Commission to pass on the background of those desiring
to operate a track. Taking this duty seriously, the Commission declined to issue any of
those coming forward with a proposal for a track in Shelby County, citing their felonious
backgrounds and organized crime connections (surprise, surprise). No one ever came forward
with a serious proposal for a track in Trousdale County due to its small size and
inaccessibility (no four-lane roads in or into the county). After Mississippi legalized
casino gambling the interest in building a Memphis racetrack declined precipitously. When
the Racing Commission came up for reauthorization a few years ago under the
"Sunset" provisions, it was decided since that it had existed for about a decade
and still had no tracks to regulate that it should be allowed to go out of business. The
courts subsequently ruled that without a commission, there could be no racing in
Tennessee, rendering the rest of the act invalid.
What the proponents of gambling are wanting now with their proposed revival of the Racing
Commission has to do with horse racing in name only. Their new proposed Act provides for
"off-track" betting and "simulcast wagering". This means that instead
of actual horse tracks, what would be built would be large video gambling parlors where
races from other states would be broadcast and bet upon. Picture "legal bookie
joints" and you get the idea. Very few of horse racing's alleged benefits would
accrue -- no influx of large animal veterinarians, no high-paying jockey and trainer jobs,
no working-class groom and stablehand jobs, no increase in hay sales, no higher pasture
land values. Just an increase in gambling addicts and a few crummy ticket-taking jobs,
plus maybe a few cocktail-waitress type positions.
It is instructive to note that the operator of the new Nashville Superspeedway is Dover
Downs Entertainment. At their headquarters in Dover, Delaware, they operate a horse track
on the infield of the car track, and a casino operation as well. Wilson County, where the
new raceway is located, is adjacent to Trousdale County. While Dover Downs officials deny
any intent of bringing gambling operations to Tennessee at this time, the future
possibilities are obvious. Also obvious in the wording of the proposed Lottery Amendment
is the possibility of these "simulcast wagering facilities" becoming the sites
for various "annual fundraising events" which nonprofit groups are to be allowed
to operate. If such a venue could arrange to "host" the "annual event"
of a different nonprofit group every night, it could soon become essentially a casino in
fact, if not in name.
The former Louisville Downs (a trotting/pacing track formerly known as "The Red
Mile") was bought by its erstwhile competitor, Churchill Downs and converted into
just the sort of facility contemplated by the new Racing Commission bill. I have not
visited it, but I understand from those that have that it is a casino in all but name,
designed to compete with the Indiana and Illinois "riverboats", and that
Churchill Downs officials are now lobbying the Kentucky Legislature hard for legal
permission to convert it into an out-and-out casino.
Action:
This is what we can expect in Tennessee if we allow this bill to pass. As Barney Fife
often advised Sheriff Andy Taylor, the time is now to "nip it in the bud". I
encourage those of you who agree to contact your state legislators. Tell them that you
believe the Racing Commission Reauthorization Bill currently being contemplated is
dangerous for Tennessee and a bad idea.
Robert Qualls |