Breeders' Cup Tax-Break Bill Filed in KY
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Legislation to authorize a pari-mutuel tax break for Keeneland, which will host this year's Breeders' Cup World Championships, has been filed in the Kentucky General Assembly.
The bill, filed by Reps. Dennis Keene and David Osborne, both Democrats, would waive the state pari-mutuel tax on the host track of a "two-day international horseracing event that distributes in excess of a total of $20 million in purses and awards." Keeneland will host the Breeders' Cup for the first time Oct. 30-31.
The tax break pertains to pari-mutuel wagers made on-track on live races during the two-day World Championships. It isn't clear whether Keeneland or Breeders' Cup would directly benefit from the tax break.
Similar legislation has been passed in Kentucky before to benefit Breeders' Cup and host Churchill Downs. The tax break expired, however, because it mandated the World Championships be held once every three years in Kentucky.
The 2015 bill states the event must return to Kentucky within four years.
Kentucky Senate Majority Floor Leader Damon Thayer, a Republican and former Breeders' Cup executive, previously expressed dismay that the Kentucky legislature had passed similar bills only to see the provisions expire because the Breeders' Cup didn't return to Kentucky within a three-year period. He also has said he would like to see a long-range plan for Breeders' Cup host sites.
He reiterated his position Jan. 8.
"I haven't seen the bill yet, but I still feel like there needs to be some assurances from Breeders' Cup before we pass yet another bill," Thayer said.
The legislation filed in the House of Representatives declares an "emergency" because it is "vital to have the correct tax program in place in advance of an international horse racing event that may occur in Kentucky in 2015 and beyond." It's unlikely the bill will be heard in committee before February.
Breeders' Cup already has said the World Championships will return to California in 2016 and 2017.