Wednesday, June 20, 2007

A week after the Maryland Jockey Club announced it would slash purses and stakes races to make up a projected $3 million budget shortfall, the Maryland Racing Commission approved a request yesterday to lessen the percentage of bonus money paid to breeders and owners from the Maryland-bred fund.

The fund, which last year paid out approximately $4 million in incentive bonuses, according to Cricket Goodall, executive director of the Maryland Horse Breeders Association, will have its bonuses cut from 13.5 percent to 10 percent for the breeder of an eligible race winner and 6.75 percent to 5 percent for the stallion owner. Payouts for winning owners will remain at 10 percent. The percentages are derived from the parimutuel betting pools of each race and paid out two weeks after a horse wins.

"We don't want to get into a position where we overpay," Goodall said. "It's a consequence of bad times."

The cuts were announced at the racing commission meeting at the North East Racing and Sports Club, an off-track betting facility. The Maryland Jockey Club announced last week that purses would be cut at Laurel Park this fall by $2,000 per race and $1 million would be taken from the stakes schedule.

"What happens in this industry hinges on what happens in the next few months," said racing commissioner Alvin Akman, who along with former chairman Tom McDonough completed his term yesterday after not having his position renewed by Gov. Martin O'Malley (D). "We've been racing [in Maryland] for 100 years, but we're cresting now."

"It's going to be a difficult fight" getting slot machines legalized to help the industry, McDonough said. "Good luck."

-- John Scheinman