Historical Horse Racing gaming facilities, which have been a boon to the racing industry in Kentucky by supplementing purses, will be allowed to reopen June 8, Kentucky Gov. Andy Beshear said in his daily press conference June 4.
Kentucky has four such gaming parlors, all closed since mid-March due to COVID-19—Derby City Gaming, Ellis Park, Kentucky Downs, and The Red Mile —where patrons can play slot-like devices with results determined by previously run horse races. Churchill Downs owns Derby City Gaming and gaming at The Red Mile is in partnership with Keeneland.
"They've provided a very compelling plan where we believe people can stay safe," Beshear said.
The authorization of resumed gaming at HHR facilities was greeted enthusiastically by the Kentucky Equine Education Project, a lobbying and economic advocacy group that works to promote horse racing and breeding in the state.
"KEEP commends the Governor and the horse industry for working together on this solution, which will allow the facilities to operate at one-third capacity and provide a safe environment for the fans of this unique entertainment experience," the organization said in a statement. "HHR has single-handedly transformed the horse racing industry in Kentucky. HHR's impact on the industry has set it apart from competing states by creating a magnet that is drawing horse operations from around the country to the Commonwealth. HHR alone has contributed more than $52 million to racing purses, more than $50 million to breeders and has contributed tens of millions of dollars to the Kentucky General Fund, as well as other state programs."
The resumption of gaming at HHR facilities comes when Kentucky tracks are experiencing depleted purse funds as a result of lost on-track business due to spectatorless racing under COVID-19 and the suspension of HHR.
The four HHR facilities handled more than $270 million in gaming during February, their last full month of operation before the COVID-19 pandemic, though replicating that handle is unlikely this month due to restricted attendance.
During a remote meeting of the Kentucky Thoroughbred Development Fund committee June 3, representatives from Ellis Park and Kentucky Downs suggested purses would be down sharply for their meets this year.
The KTDF, a purse incentive program for Kentucky-bred horses most common in maiden special weight and allowance races, accumulates funding from on-track wagers and HHR. Betting through advance-deposit platforms, which accounts for nearly all handle amid spectatorless racing, doesn't generate funds for KTDF.
Prior to the announcement of the reopening of HHR, Dan Bork, the racing secretary for Ellis Park, estimated during the Wednesday KDTF meeting that the track's summer purses would fall in the $20,000-$25,000 range for maidens, about half of what was offered in 2019.
Ted Nicholson, the senior vice president and general manager of Kentucky Downs, said he anticipated a 30% reduction in purses for maiden and allowance races for its lucrative, short September meet.
Ellis Park officials said June 5 their HHR facility would open Monday at 10 a.m. CT with spacing restrictions, increased terminal cleaning, and with temperature tests required of patrons.
Ellis will also begin simulcasting wagering June 10 on the track's second floor, also with designated spacing and at partial capacity.
"We applaud Gov. Beshear and his office working with the racetracks to get our revenue stream back up and running," said Jeff Inman, Ellis Park's general manager. "This is vital to having a successful live race meet, which is so important to the horse industry in Kentucky and all the businesses in the Tri-State area who benefit from Ellis Park and its horsemen."
Ellis Park also will begin allowing horses into the stable area starting Monday by appointment only. Its live meet begins June 28.
Kentucky Downs will not open its HHR facility until Wednesday at 9 a.m CT, partially to move some terminals to its second floor for adequate distancing, the track said. It is planning to offer simulcasting beginning June 11.
Racing is currently ongoing behind closed doors in Kentucky at Churchill Downs, also with reduced purses but still among the highest in the country. Awaiting health clearance, Churchill has not yet allowed owners or fans to attend live racing.