The provincial government of British Columbia has informed horseman at Hastings Park in Vancouver that purse accounts will no longer receive subsidies from slot machines in an adjacent casino starting next year, according to a letter distributed by the track’s horsemen group.
The letter, signed by Nina Krieger, the province’s Minister of Public Safety and Solicitor General, cites the “current fiscal and economic climate” for the decision. Krieger wrote that the climate has created a “challenging time for many sectors, individuals, and families across” the province, and that a review of Hastings' racing operation determined that the subsidies could be better used elsewhere.
“This decision has been made after careful analysis of the current economic impact and long-term projections for the industry, which have shown that even with significant and ongoing government investment from casino-generated revenue, the industry is not sustainable because of a range of factors, primarily declining revenues and public participation and attendance at horse racing events,” Krieger wrote.
The British Columbia Horsemen’s Benevolent and Protective Association called an emergency meeting for Thursday night to discuss the implications of the decision, which it called “as serious as it was unexpected.”
“We know this announcement will cause shock, anger, and uncertainty,” said a letter distributed to horsemen on Thursday. “We share those feelings. But we also know the strength and resilience of the people who make up this industry and we will keep you informed frequently as we assess next steps and chart a course forward.”
Hastings Park has in recent years held 45 days of live racing a year, stretched over six months from May to October, with racing generally held on weekdays.
Last month, the Tsliel-Waututh Nation advanced an agreement to purchase the track’s casino operation from Great Canadian Entertainment, which has owned the property’s racing assets since 2004, prior to the provincial government’s approval of a casino at the location. Ever since acknowledging the existence of a tentative deal in the summer, rumors have swirled within British Columbia that the property may be converted into a new soccer stadium.
The letter from Krieger indicated that the provincial government was aware that the clawback of the subsidies could have disastrous consequences for the racing operation.
“I appreciate that this decision will have significant implications for the future of live horse racing in the province and for those who have invested in or work in the industry,” Krieger wrote. “Government supports are available for workers if needed, including income assistance . . . and programs that help individuals improve their skills and find jobs.”
Racing throughout North America is heavily reliant on subsidies from casinos, including in major racing states like Kentucky, New York, and Florida. Tracks in those states have so far been able to strike relatively strong partnerships with state governments to protect those subsidies, but provincial governments and horsemen in Canada have been locked in protracted negotiations over the last decade to determine the proper relationship between the provinces, racing, and casino gambling.
“Until we have hard facts to relay to HBPA members, there will be no speculation as to what comes next,” the HBPA membership letter said.
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