Ocean Downs Wants to Gamble On Slots; Business Owners Don't

This report is one in a series on the five potential locations for slot machine gambling in Maryland.

BERLIN, Md. -- A crowd dominated by families filed into the stands of Ocean Downs on a recent breezy night, with adults sipping beers and comparing wagers as children scurried down toward a low fence that separated them from the standardbreds circling the half-mile oval.

The atmosphere at the horse track here on Maryland's Eastern Shore seemed a throwback to a generation past, not unlike a minor-league baseball park built during the middle of the last century. But a prominent sign in the infield, advertising another track in Delaware operated by the same Washington area owner, provided a not-so-subtle hint of a possible future.

"Slots," it shouted. "Experience the difference!"

In November, Maryland voters will be asked whether to authorize up to 15,000 slot machines at five venues across the state, resolving a bitter fight that has paralyzed Annapolis politicians for years. Ocean Downs, which opened in 1949, is among two existing racetracks that could be eligible for a share of the machines -- up to 2,500 -- if voters statewide give their blessing.

If slots come to the track, there is no dispute that things will be different. Whether the change would be for the better is a matter of fierce dispute.

Hotel and restaurant owners in the neighboring tourist town of Ocean City have emerged as the most vocal opponents of the plan, claiming that slots at Ocean Downs could undermine their businesses and quality of life.

Among the staunchest advocates are the drivers at the harness track, who guide the trotters and pacers competing at Ocean Downs from carts attached behind them. Like others in Maryland's racing industry, they argue that their days are numbered without slots.

Maryland is surrounded by states -- Delaware, West Virginia and Pennsylvania -- that supplement their racing purses with slots proceeds.

"It would mean a lot, especially here on the Eastern Shore," said W. David Hill III, a longtime driver whose arm was bandaged from a spill during a race the week before. "A lot of these boys are barely hanging on. Delaware's got all the money. Their purses are humongous compared to here."

A study released last fall by the pro-slots administration of Maryland Gov. Martin O'Malley (D) found that the average prize money at a comparable track in Delaware was nearly 10 times that of Ocean Downs, where purses averaged $22,000 nightly.

Although the largest share of Maryland's proceeds would support education and other state services, the plan being put to voters calls for using 7 percent -- up to $100 million a year -- to enhance purses at Maryland tracks, including those without slots on site, and to subsidize the horse-breeding industry. An additional 2.5 percent of the proceeds, estimated at $25 million a year, would be made available as "racetrack facility renewal" grants for in-state tracks.