payers' dollars, which is far from the truth. In fact horse racing is totally funded from wagering which occurs at the r
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The Broken Promise According to the OLG, $832.9 Million (5%) has been distributed to 23 host communities (“their share of gross slots revenue”) since the onset of the Slots at Racetracks Partnership. Why then is the Ontario government pulling the plug on such a successful business model? Why now are they calling what they once called a “strong community partnership” with “local economic benefits” a “subsidy”? The Slots at Racetracks Partnership The Proposal In the late 1990’s, the Ontario government and the horse racing industry formed an agreement that later was described by the Ontario Ministry of Tourism, Culture and Recreation as “beneficial to all parties.” The objective was to promote live horse racing as well as to create economic development in the agricultural sector, through increased purses, improved quality of horses and enhanced
breeding. In turn, the government would utilize the already existing facilities and benefit from the already established customer base. The Agreement Under the Slots at Racetracks Initiative, the horse racing industry
Ontario’s Horse Racing Industry is responsible for 31,441 full time jobs in Ontario, and up to 60,000 jobs when including part-time and seasonal work. Horse racing industry expenses in Ontario total approximately $2 billion dollars per year with 80% ($1.6 billion) of those expenses being incurred in rural Ontario. (OHRIA, value4money.ca) The Announcement Prior to the 2012 Budget Bill introduction, Ontario Finance Minister Dwight Duncan leaked to the media that the agreement between the government and the racetracks will come to an end, calling it a “subsidy” and misleading the public into thinking the monies paid to the horsemen was derived from tax payers’ dollars, which is far from the truth. In fact horse racing is totally funded from wagering which occurs at the racetrack (either on the slots or on the races). This announcement was made within days of a quarterly OLG report declaring distribution of $18M to host communities which had quoted Duncan as saying: pb:cra
would receive 20% of the total gross slot revenues, 10% of which would go to the horse industry to be put back into horse breeding, ownership and racing via purse monies, and 10% to the racetrack operators. Host municipalities would also receive 5% of the gross slot revenues benefiting their local communities in areas such as Healthcare and Education. The negotiated 20% that goes to the racing industry currently supports the
second largest sector in agricultural in Ontario. Under the new modernization plan, that
OLG Slots at Racetrack priorities (pg. 234 of Program’s contribution to Budget 2011). Ontario’s finances. The OLG Slots at According to Budget 2011, Racetracks Program was slot machines at racetracks credited in Budget 2011 were responsible, in part, with providing $345 for $1.5 billion dollars of million dollars of support hospital operating for Ontario’s Agricultural expenses, $120 million sector and $76 million money will most likely dollars for the Ontario dollars for municipalities. end up in the hands of Trillium Foundation, $41 international gaming million dollars for companies. problem gambling and related programs, $10 The Benefits million for amateur sports, and $69 million dollars for Dwight Duncan’s 2011 budget spoke glowingly of general government
“The partnership between OLG gaming sites and the 23 host communities continues to provide considerable advantages to people across Ontario”...“Municipalities are enabled to make improvements to infrastructure and community programs by the sharing of gaming revenues, while the sites themselves create employment opportunities and stimulate tourism within our province.” (OLG.ca - January 20, 2012) The official announcement was made not even a month later, in the heart of foaling season, that the Fort Erie, Windsor and Sarnia slot locations would cease operations commencing April 30, 2012 and the other 14 locations effective March 31, 2013. This announcement sent shockwaves of panic throughout the race horse industry and instantaneously, breeders felt the repercussions as cancellations to their breeding stallions flooded their phone lines. The Devastation The impact of these slot closures is astronomical. Many of us, the horsemen and women of Ontario, have dedicated our lives to the industry. We have followed in our parents’ footsteps in most cases and hence have little to no education to fall back on. We depend on our jobs to provide for our families, to pay our mortgages and our car payments. Many are
self-employed and have reinvested any profit made back into the industry. It is our passion as well as our livelihood. 60,000+ families will be affected negatively by this either directly or indirectly be it owners, breeders, trainers, grooms, veterinarians, farmers, feed mills, blacksmiths, etc. The list goes on and on. This will create a “Ripple Effect” that will resonate throughout rural Ontario. There are currently thousands of racehorses registered in the Province and only a fraction will find homes as show or pleasure horses. With their sole intent and purpose removed, the remainder will most likely succumb to their fate by means of euthanasia or slaughter. Please help us spread the word of this injustice. With your help, we may be able to convince the Ontario government to overturn their decision. For more information on how this will affect Ontario as a whole, please visit racingfuture.com, ohha.ca, or value4money.ca. Another informative source can be found at http://www.canadiansportsman.ca/ userfiles/file/Sportsman-FightForOurFuture.pdf To express your concerns, please contact your local MPP’s office.
