New Jersey lawmakers advance horse racing $100 million state subsidy

Manalapan, NJ —  The New Jersey Senate Budget and Appropriations Committee advanced the proposed legislation on Monday (Dec. 10) by a vote of 13-0. The proposed legislation will provide a $20 million annual subsidy to New Jersey’s horse racing industry, to be divided equally between the Thoroughbred and Standardbred industries. The state’s funding would benefit not just racetracks but everyone involved in racing.

“The horse racing industry has had a long road to recovery, and we feel this purse supplement money, as well as the ability to enter into agreements with sports book operators at the racetracks, would provide a necessary shot of adrenaline into the horse racing industry,” AJ Sabath, a lobbyist representing the Standardbred Breeders and Owners Association of New Jersey, told the committee before the vote.

The SBOANJ and TrotPac have been and will continue to work with AJ Sabath on behalf of New Jersey horsemen and women to see this legislation through to the end.

The full story is below.

Lawmakers want to give horse racing industry $100 million state subsidy

By Ryan Hutchins

Trenton, NJ — Lawmakers want to give a $20 million annual subsidy to New Jersey’s horse racing industry, restoring state support for the first time since former Gov. Chris Christie redirected casino gambling revenue back to Atlantic City early this decade.

The proposed legislation, NJ S2992 (18R), which advanced out of the Senate Budget and Appropriations Committee on Monday by a vote of 13-0, comes just four months after it became legal for the tracks to offer sports betting.

Supporters of the bill say the subsidy, which would come from the state’s general fund and be divided equally between the Thoroughbred and the Standardbred industries, would benefit not just racetracks but everyone involved in racing — from jockeys to those working on equine farms. The bill also requires agreements with sports book operators that ensure some of that revenue will be shared with the breeders and owners.

“The horse racing industry has had a long road to recovery, and we feel this purse supplement money as well as the ability to enter into agreements with sports book operators at the racetracks would provide a necessary shot of adrenaline into the horse racing industry,” AJ Sabath, a lobbyist representing the Standardbred Breeders and Owners Association of New Jersey, told the committee before the vote.

The legislation is sponsored by state Sens. Vin Gopal (D-Monmouth) and Paul Sarlo (D-Bergen), the budget chairman and big booster of the industry.

The bill would provide the annual subsidy for five years, starting this fiscal year, funneling the $100 million through the New Jersey Racing Commission and requiring the funds be used for purse subsidies and track operations. The money would benefit the Meadowlands Racetrack in East Rutherford, Monmouth Park Racetrack in Oceanport and Freehold Raceway.

Monmouth Park and Meadowlands both have sports books on site. Representatives for Freehold said the track’s operators are talking to potential sports betting partners.

The struggling horse racing industry has been counting on sports betting to pull it back from the edge, especially after Christie in 2011 stripped it of a similar-sized subsidy paid by casinos. Now, the horse racing sector hasn’t done that bad; through October, Meadowlands Racetrack had won $15.2 million and Monmouth Park Racetrack had taken in
$7.5 million.

But supporters of the bill say the state needs to make sure that benefit trickles down to those who don’t own or operate the tracks.

“This will be a huge help for the horse racing industry that is an important part of New Jersey’s heritage and culture and a key source of jobs and economic activity,” Gopal said in a statement. “There are tens of thousands of jobs impacted directly or indirectly by the racing industry, including the long-term survival of Monmouth Racetrack.”

Back to Top

Share via