By John Wagner
Washington Post Staff Writer
Wednesday, August 1, 2007
A national casino operator has made an offer to buy Rosecroft Raceway, the struggling harness racing track in Prince George's County, renewing a debate over whether the site is an appropriate venue for slot-machine gambling.
Thomas F. Chuckas Jr., chief executive of Cloverleaf Enterprises Inc., Rosecroft's management company, said yesterday that Penn National Gaming Inc. had made "an offer that had merit and consideration" that would be vetted by Cloverleaf, a division of a nonprofit association of horsemen.
Chuckas, who would not disclose terms of the offer, said that it was premature to discuss the prospect of slots at Rosecroft.
Past debates about slots in Maryland have ended in stalemate. But many lawmakers say they think the outlook for expanded gambling in the state has improved significantly, given a new governor who supports placing slots at horse tracks and a looming budget shortfall of almost $1.5 billion.
Penn National Gaming runs several racing facilities that have slots, including Charles Town Races & Slots in West Virginia and Penn National Race Course, a track with a casino set to open next year in Pennsylvania. They are among 18 facilities the company operates, according to its 2006 annual report. A spokeswoman declined to comment yesterday.
A Rosecroft representative notified legislative aides yesterday of the potential sale, and word spread quickly through Annapolis. Supporters and opponents of slots offered divergent assessments yesterday about whether the company's interest in Rosecroft would alter the prospects for bringing slots to Prince George's.
Senators from Prince George's have split in the past over expanded gambling, but the county's state House delegation has been united in its opposition to putting any facilities in Prince George's. Clergy have helped lead the opposition.
Del. Dereck E. Davis, a leading Democratic lawmaker from the county, said that the sale of Rosecroft to Penn National Gaming would have no effect on the delegation's posture on slots.
"The delegation has been pretty solid in its opposition for several years," said Davis, chairman of the House Economic Matters Committee. "Given our budget situation, I think a lot of people assume that slots coming to the racetracks is imminent. But that's a judgment made independent of the Prince George's House delegation. Maybe they're just hedging their bets."
Complicating the situation is Rosecroft's proximity to National Harbor, the large-scale development rising along the Potomac River. Developers have objected to placing slots at Rosecroft unless National Harbor also gets slots.
Gerard Evans, a lobbyist for the Maryland Thoroughbred Horsemen's Association, which has been pushing for the legalization of slots, said the national reputation of Penn National Gaming could change opinions about slots in Prince George's.
"It certainly changes the stakes here," Evans said. "They're a powerhouse. This is their business, operating slots at racetracks."
Rick Abbruzzese, a spokesman for Gov. Martin O'Malley (D), declined to comment on the possible purchase.
O'Malley, who took office in January, has advocated placing an unspecified "limited" number of slots at racetracks to help prop up the financially struggling industry. He has not offered a plan detailing how many machines should be legalized or where they would go. During last year's gubernatorial campaign, O'Malley said he would not impose slots on a community that does not want them.
Legislative analysts have said slots bills debated in recent years had the potential to bring the state more than $800 million a year, although slots opponents say that figure is optimistic.
Staff researcher Meg Smith contributed to this report.
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