The Horsemen’sNewsletter

September 2013

VLT Revenue To Purse Account

Remains Steady In 2013

Despite headlines of record gaming revenue flowing into the State of Mary-land coffers, actual revenue into the Thoroughbred Purse Account has re-mained fairly steady throughout 2013.

Funding into the Maryland Thor-oughbred Purse Account (MTPA) from Maryland VLTs in 2013 has averaged $2.43 million a month through the end of August. MTPA is the source of over-night and stakes purses awarded at Lau-rel Park, Pimlico and Timonium.

Currently, 7% of revenue generated from slots in Maryland is directed into the state’s Purse Dedication Account not to be confused with MTPA. That 7% is then divided between the Thorough-

bred and Standard-bred industries on an 80/20-percentage ba-sis. The Maryland-bred Fund receives 11% of the Thorough-bred share, and the remaining 89% goes to the MTPA.

Under the legisla-tion authorizing table

games in the state, the Purse Dedication Account’s 7% share of slots revenue would remain intact until a new Prince George’s County casino is operational; when that occurs, the percentage would decline to 6% but then be generated from six casino locations. Table games revenue is handled differently from VLT revenue with no proceeds directed into the state’s racing industries from table wagering.

The legalization of table games plus new income from the new Rocky Gap casino in Allegheny County helped push

Coming together after years of discus-sion, the Maryland Thoroughbred Horse-men’s Association and Maryland Horse Breeders Association have struck an accord to significantly expand the Maryland-Bred Bonus Program supplemented with con-siderable funding from the Thoroughbred Purse Account for the first time ever.

The deal, which was approved unani-mously by the MTHA Board on August 29 and signed on September 10 spells out a four-phase plan, which will lead to the eventual transfer of financing Maryland-Bred Owner Bonuses from the Maryland-Bred Fund to the Thoroughbred Purse Ac-count. The compromise reached between the groups protects current overnight purse levels and money available for the purchase of additional racing days over the 100-days guaranteed by Maryland Jockey Club. In ad-dition, the Agreement resolves the issue of the Bred Fund’s annual contribution towards the purchase of the additional live race days from the Maryland Jockey Club.

The Agreement will pave the way for 30% Bonuses for both owners and breeders of Maryland-bred runners. Breeder bonuses will continue to be financed from the Maryland-Bred Fund, which is administered by MHBA.

Details are as follows:PHASE 1: Guarantees the continuation

of the current 17.5% Maryland-Bred Bonus program for the 2013 Laurel Park fall meet, which begins on September 19. The deal au-thorizes Purse Account funding of a third of the cost of this program for the remainder of 2013. The current program pays this bo-nus to first-place finishers for Maryland-bred Maiden, Allowance and Claiming ($20,000+) horses.

PHASE 2: Expands the 17.5% Bonuses to horses that finish second or third in ad-dition to first beginning on January 1, 2014. Furthermore, the claiming threshold for this Bonus was reduced to $10,000.

Funding for the Phase 2 Owner Bonus ex-pansion will come from the Purse Account by allocating the breeders’ 11% expense sharing monies to this program. Additionally 50% of total new VLT revenue generated will be ap-plied to this program until it’s fully funded when the casino currently under construction in downtown Baltimore is operational. Open-ing for Maryland’s newest Casino, which will be located next to M&T Bank Stadium and op-erated by gaming giant Caesars, is expected late summer or fall of 2014.

Deal Reached Between Maryland’s

Horsemen and Breeders

Vol. 23 • Number 7

Continued on Page 2...Continued on Page 3

PHASE 3: Expands the Owner Bonus to 30% to all Maryland-bred runners fin-ishing first, second or third beginning on January 1, 2015, with continued funding for the program coming from the Purse Account’s increased VLT revenue realized from the Baltimore casino as well as the breeders’ 11% expense sharing monies.

PHASE 4: Fully implements the Maryland Racing Commission’s Breeder Task Force recommendations upon the opening of the casino to be constructed in Prince George’s County, anticipated to be on or about July 1, 2016. Thereafter, the Purse Account will shift up to 6% of overnight purse money into owner purse enhancements for Maryland-bred horses finishing first, second or third to a maxi-mum of 30%.

In addition, the breeders will resume their 11% expense contribution towards the purchase of up to an additional 46 live race days to ensure a 146 live racing schedule.

Continued from Page 1 McMahon Wins Trainer Title At Timonium

Trainer Hugh McMahon saddled nine winners, including three on closing day, during the 10-day meeting at the Maryland State Fair in Timonium to take home top trainer honors for the second consecutive year.

The 45-year-old native of Doncaster, England, won a $4,000 trainer’s bonus for most in-the-money finishes and most starters over the stand which concluded Sept. 2.

MTHA GOLF TOURNAMENT

Monday, September 16, 2013 Walden Country Club

Entry Fee $60 Per Person Includes:• 18-Hole Tournament with Cart• Two Drink Coupons with Prizes• $500 Team Awards• Two $50 Closest to the Pin Awards • One $50 Longest Drive Award • Call Dan Mangum at 410-802-5798

You’re Covered With Fire &

Disaster Insurance

As a service to Maryland’s horsemen, fire and disaster insurance is provided at no cost. Under this policy, MTHA members may be compensated for death or humane destruction of their horses due to a num-ber of perils, including fire, lightning, wind storm, smoke and flood.

Coverage extends to horses located at Bowie, Laurel, Pimlico and Timonium and in transit to and from each track. Addition-ally, horses are covered when in transit from Bowie and Laurel to race and return from out-of-state tracks.

Lloyds Underwriters is the insurer and the MTHA is reimbursed for the premium by track management.

Maryland Horse Radio ReturnsStan Salter’s Maryland

Horse Radio is back on the air. The show is broad-cast live on Baltimore’s ESPN Radio 1300AM on Thursday evenings from

7-8 p.m.

The show can also be heard online at maryland-horseradio.com or on your smartphone with the free

app Pocket Tunes.

The Horsemen’sNewsletter

Published by the

MTHA500 Redland Court – Suite 105, Owings Mills, Maryland 21117;

(410) 902-6842; Fax: (410) 902-6841; E-mail: info@mdhorsemen.com

Website: www.mdhorsemen.com

The Horsemen’s Newsletter reports on issues and events

of interest to owners and trainers in Maryland.

15% Of Food & Beverage Sales Will Be Donated To A Special Fund Created For Backstretch Workers In Need

Assistance Fund Night at Corner Stable Columbia

Thurs., Oct. 17, 6-9pm

Come Out And Enjoy The World’s Finest Ribs And Crabcakes While Supporting An Excellent Cause...

50/50 Raffle and Memorabilia Auction

Rec Report

8630 Guilford Road, Columbia, MD

Calendar

Live Racing:Laurel Park ....................... Sept. 19 - Dec. 31

Notable Events:

1313

Maryland Million Day October 19Laurel Park

MRMA Crab FeastOctober 26Laurel Park

Fasig-Tipton Auctions:Eastern Fall Yearling Sale .............. Sept. 30

December Mixed ................................ Dec. 9

Keeneland Auctions:September Yearling Sale ............... Sept. 9-21

November Breeding Stock Sale ..... Nov. 5-14

January Horses of All Ages Sale .... Jan. 6-12

Ocala Breeders’ Sales Preferred Fall Mixed Sale ................. Oct. 15

Open Fall Mixed Sale ....................... Oct. 16

Continued from Page 1total revenue numbers in the state to all-time highs earlier this year. Unfortunately these in-creases do not translate into substantial growth in Purse Account revenue in the short term since the Purse Dedication Account receives no income from table games as well a reduced share of VLT revenue from Rocky Gap.

Moving forward, MTPA gains are expected when Horseshoe Baltimore casino is sched-uled to open in mid 2014. In addition, a state commission is expected to decide in Decem-ber which of three applicants will be awarded a license for a casino in Prince George’s County.

2013 MTPA Revenue from VLTs:January $2,109,297February $2,380,735March $2,820,078April $2,442,623May $2,465,822June $2,382,164July $2,399,884August $2,454,329

Texas Hold’em Tournament

Bowie Track Kitchen

Monday, October 14thAt Noon

Backstretch Appreciation DayWill be held Sunday, September 15 from

1-4 p.m. at Laurel. As always, it will be ca-tered by Russell Clark. There will be door prizes and DJ music by Carlisle Entertain-ment. Soda will be served.

For more information call Recreation Di-rector Dan Mangum at (410) 802-5798.

Orioles Playoff TicketsThe MTHA has secured a small block of

Baltimore Orioles playoff tickets if the Birds qualify for the post season for the second consecutive year.

Look for information on ticket raffles in the track kitchens.

Gold Cup TicketsThe MTHA sponsored over 25 backstretch

employees who witnessed a United States romp over El Salvador in the CONCACAF Gold Cup Soccer Quarterfinals at M&T Bank Stadium.

Many thanks go out to Juan Ramirez for all his help!

Bowling TournamentThe MTHA Bowling Tournament will re-

turn on Monday, October 21 at AMF Laurel Lanes. Please sign up at the track kitchens or call Dan at (410) 802-5798. The MTHA will be providing a pizza party and cash awards to the highest male and female bowlers.

MTHA500 Redland Court, #105

Owings Mills, Maryland 21117

September 2013

STANDARDPRE-SORT

US POSTAGE

PAIDPERMIT #15

WESTMINSTER, MD

Board of Directors

Richard J. Meyer, PresidentDale Capuano, Vice President

W. Robert BailesHoward M. BenderChristine E. Bricker

Linda S. GaudetH. Neil Glasser

Christopher W. GroveArnold A. Heft

Richard J. Hoffberger Michael F. HorningR. Larry JohnsonTimothy L. Keefe

Lawrence E. MurrayKatharine M. Voss

Horsemen Offered 50% Discount

Use Code MTHA When Purchasing Tickets

Backstretch Appreciation

BARBECUE

Food, fun and fellowship will highlight the MTHA’s Backstretch Appreciation Day on September 15 from 1-4 pm. The event will take place in the white house area adjacent to the paddock area at Laurel. All backstretch personnel and their families are invited free of charge.

September 15, 1-4 pm - Laurel Park

Thoroughbred Makeover& National Symposium

26 Trainers26 Racehorses26 New Careers

Retired Racehorse Training Project

Pimlico Race Course October 5-6, 2013