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Sadinsky report says government should support track
By Wayne Creighton
Fort Erie
Jun 27, 2008
The long-awaited Sadinsky report on the horse racing and breeding industry in Ontario was released Monday and encourages the provincial government to consider providing support to the Fort Erie Race Track, as long as the proposed $300-million development for the track and the surrounding area makes economic sense.

In chapter 10 of the 80-page report commissioned in July 2007 by then-Minister of Government and Consumer Services Gerry Phillips, the panel chaired by Stanley Sadinsky, former chair of the Ontario Racing Commission, takes a look at the special problems facing border race tracks, including Windsor Raceway as well as Fort Erie.

"If diversification at Fort Erie Race Track leads to stability of the racing enterprise, that will surely inure to the benefit of horse racing," reads the report. "If these plans are likely to go forward, we encourage the provincial government to provide a level of interim subsidization for Fort Erie unconnected to slot revenue in order to keep the track 'alive' in the interim."

One of the 11 recommendations in the report is the establishment of a Gaming Secretariat, whose responsibilities would include the development and implementation of a comprehensive gaming strategy for the province, which includes the horse racing and breeding industry.

"The Gaming Secretariat can oversee the situations of both Windsor Raceway and Fort Erie Race Track and make decisions as to how Ontario's other gaming facilities might assist," says the report.

It goes on to talk about the two commercial casinos in Niagara Falls playing a role in assisting Fort Erie.

"If gaming in these two areas of the province was considered a whole rather than by facility by facility, a great deal could be accomplished by enhancing individual operations and making adjustments that could support the objective of sustaining jobs, particularly in the agricultural sector, rather than simply maximizing provincial revenue," reads the report.

In the executive summary of the report, it says the horse racing and breeding industry in Ontario support about 55,000 full- and part-time jobs, many in the province's agricultural sector, which would be difficult to replace.

Another recommendation in the report is to reconstitute and revamp the Ontario Horse Racing Industry Association (OHRIA), rename it Horse Racing Ontario (HRO) and have it perform a much broader role which would include the ultimate structure and administration of programs recommended in the Sadinsky Report.

"The ability of the HRO's new board to come together and work in the best interests of the industry as a whole is perhaps the single most important element for the future success of the horse racing and breeding industry in Ontario," says the report.

The panel fully supports the continuation of the Slots at Racetracks Program at a minimum level of 20 per cent of the revenue generated from slot machines at the tracks.

It does recommend, however, that the program be adjusted to better meet the objectives of enhancing wagering on Ontario product and enhancing the breeding of Ontario race horses.

"It is recommended that when the New Slots Program can be implemented, the annual slot revenue be pooled and distributed on the following basis: 25 per cent of the slot revenue generated at each race track would be paid to the racetrack and 25 per cent would be paid to that race track's respective horse people for purses," says the report.Jim Thibert, general manager of the Fort Erie Economic Development and Tourism Corporation and one of the driving forces behind the Save Our Track campaign, was up bright and early Tuesday morning to read the report and was pleased with its contents.

"We are glad it's over and the report has been tendered," said Thibert. "We are moving forward and typically people will hold off making any sort of decision about what we're doing until they find out what the ultimate plan is for the horse industry."

Thibert added that he thinks the report validates what Fort Erie is doing.

"They are literally saying that the horse racing industry is worth saving and they want to do that and the way to do that is to subsidize it to the extent that we can change things and get things working. As well, they are encouraging us at the border tracks to move forward with economic initiatives such as we are doing.

"This is like third party, provincial endorsement for us and who would have guessed?"