Tuesday, July 21, 2009

The Only Thing Worse Than Beating A Dead Horse is Betting On One

Recently the Kentucky General Assembly voted not to allow slot machines and other gaming to accompany horse racing. This was a bad move in my opinion.

Kentucky has a proud heritage of horse breeding and horse racing. I can remember going to races at Keeneland Downs in Lexington, Kentucky and seeing the immaculate grounds at Church Hill Downs in Louisville, Kentucky. The Kentucky Derby is one of the most watched cultural-sporting events in the U.S.

However, the General Assembly's decision to not allow gaming at race tracks is hurting the purse winnings in Kentucky's horse racing and the overall talent that races in Kentucky. Our Kentucky tradition is under fire from neighboring states that allow facilities to offer horse racing as well as casinos.

Our neighboring states, most notably, Indiana and Pennsylvania, have what are called "racinos" (horse racing and casinos combined in one central location). These racinos divert winnings from their casinos to their horse races in order to offer better purses for the riders and horse owners. When horse owners, breeders, and experienced riders catch wind of these bigger purses, they leave Kentucky and follow the money. Kentucky horse racing officials have already began reporting losses from the migration of breeders and riders to other states.

Plain and simple, Indiana racinos attract business from Kentucky and Ohio is theatening to take some more business from us too if they open up their own racinos. These are dollars that help our state economy. The General Assembly is allowing these funds, the funds that Kentucky needs right now during the economic collapse, to go to our neighboring states. Instead of these dollars being reinvested in Kentucky, they travel across the Ohio river and are reinvested in Indiana or in whichever state these dollars are spent. Could you imagine if these dollars stayed here in Kentucky? How many jobs would they create? How much tax revenue would they generate to the state of Kentucky?

By allowing racinos in the state, Kentucky can better compete with Indiana and Ohio. Indiana is already beginning to fear the actions that neighboring states will take regarding gaming as their state revenue depends heavily on their government-sanctioned casinos. Indiana has long said that the state's loss of gaming revenue from state competition is not a matter of "if it will happen" but "when it will happen". Their prophecy is coming true as both Kentucky and Ohio have considered allowing racino legislation.

Most people who are opposed to allowing expanded gaming at horse racing facilities argue that gambling is regressive (disproportionately affects the poor) and that including gaming at such harrowed places like Keeneland and Church Hill Downs will compromise the beauty of these places.

In regards to the first argument, I personally don't feel that government should take a paternalistic approach to making laws. That is to say that government should not act like a parent and decide what is best for it's citizens. I have always appreciated the tenets of Social Darwinism (not to be confused with Darwinism); only the most resourceful survive in this world. In my opinion, if you are foolish enough to go out and gamble away all of your paycheck or wager and lose your house on a game of roulette or black jack, that is your decision and you should have to pay the consequences, not myself or anyone else for that matter.

I know that opens a Pandora's box of responses, especially if the actions of said addicted gambler also affect members his or her family. In this situation, I do not think those family members should be punished equally for the actions of the addicted gambler, otherwise warranting some form of assistance.

If people are concerned about the beauty of these historic racing sites, there are ways to provide gaming and horse racing at one location, but still not compromise these buildings. Establishing casinos on site (but not attached to) of these historic places will provide casinos near the horse racing action and at the same time leave the racing facilities fully intact and without alteration. And besides, at least gambling will save these historic horse racing sites by drawing back those breeders, owners, and riders that left in the first place.

I take pride in my Kentucky heritage, especially around Derby time. When people think "Kentucky", they think bourbon, basketball, and thorough-bred horses. Bourbon has remained unchanged since it was first created in Bourbon County, Kentucky in the 18th Century. With the addition of Coach John Calipari to the Kentucky basketball program, Kentucky basketball is back on track to being the dynasty it once was. With the addition of gambling at horse racing sites, Kentucky can work to preserve it's proud heritage of horse racing and take back what our neighboring states have stolen from us; our thorough-breds, our breeders, our riders, and our money. This is not an issue of gambling, this is an issue of Kentucky Pride.

1 comment:

Neal said...

I understand your point but I seriously wonder if allowing any kind of gambling is good. I think the people who can least afford it are the most likely to gamble....thinking they're going to get rich quick.