TORONTO – Dozens of Ontario horse farmers and their supporters gathered outside the legislature Wednesday to pressure the governing Liberals not to scrap an agreement that gives them a share of racetrack slot revenues.
Thousands of rural jobs are at risk if the cash-strapped government withdraws the horse racing industry’s annual $345-million share of slot machine revenues – money that the Liberals are now calling a “subsidy,” the group said.
They include horse trainers, grooms, veterinarians, blacksmiths, feed suppliers, hay farmers, truck drivers, track maintenance crews and tellers, said Brian Tropea, general manager of the Ontario Harness Horse Association.
Many are self-employed and don’t have pensions or benefits, he added.
“We’re just very proud, hardworking people who have never had – and don’t want – any government handout,” Tropea said.
“I can tell you that if the government follows through on this proposal, it will eventually kill our industry. Chances are, many of us will end up unemployed, or join the exodus from Ontario, not unlike what has happened in the manufacturing industry.”
Calling the money a subsidy is “false, misleading and highly offensive,” said Tropea.
In the late 1990s, the government approached the racing industry about installing slot machines at racetracks. Both parties realized that the slots would compete with the horse racing, so they negotiated an agreement to give the racing industry a cut of the revenues, he said.
Economist Don Drummond recommended that the province review the revenue-sharing deal in a highly-anticipated report on what measures the Liberals must take to slay the deficit by 2017-18.
The Liberals have signalled that they may withdraw the money in an effort to balance the books. Ontario slots take in $1.7 billion a year and 20 per cent of it goes to racetrack operators and local members of the horse racing industry, according to the government.
Finance Minister Dwight Duncan wouldn’t say what might happen to the slot revenues, deferring his decision until the Ontario Lottery and Gaming Corp. finishes a review of its land-based operations.
Ontario puts more money into the horse racing industry than Alberta, British Columbia and Manitoba combined, he said. Most provinces have one to five racetracks, while Ontario has 17.
“Frankly, given the choices that we are confronted with, this is obviously an area we’re looking at closely,” Duncan said.
Progressive Conservative Garfield Dunlop, who hosted the group’s press conference at the legislature, said he’s worried that if the government goes back on its deal with the horse racing industry, it may do the same with the Chippewas who get a slice of profits from Casino Rama in his riding.
But Tory leader Tim Hudak, who has criticized the Liberals for cherrypicking from Drummond’s 362 recommendations, wouldn’t say where the party stands on revenue sharing with the horse racing industry.
“If you’re asking me again if I’m going to get into the weeds and talk about 362 one-offs, no,” he said.
Hudak keeps telling the government to adopt all of Drummond’s advice, but wants to pick and choose himself, countered Duncan.
“They didn’t even ask a question in the legislature today (about horse racing) even though they hosted the press conference,” he said.
“So we’re seeing a lot of flipping and flopping.”
Comments