Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: THURSDAY, January 13, 1994 TAG: 9401130157
SECTION: VIRGINIA PAGE: C3 EDITION: STATE
SOURCE: BONNIE V. WINSTON STAFF WRITER
DATELINE: RICHMOND LENGTH: Medium
Outside a Virginia Racing Commission meeting Wednesday, horse breeders and lawyers representing track owners momentarily put aside their competition for a license to build and run the state's first track to plot strategy against their common enemy - riverboat gambling.
If gaming boats are legalized by the General Assembly, they would suck the lifeblood - gambling dollars - from any horse track, several said.
Proposed tracks, which have been bolstered by the multimillion-dollar commitments of private businessman and local governments, need protection rather than life-threatening competition as the industry wobbles to its feet, they said.
"It's a pure economic issue," said William G. Thomas, a veteran lawyer-lobbyist representing Maryland track operator Joseph DeFrancis. A DeFrancis-led group wants a license to build a track in Loudoun County.
"I believe the studies have all shown that where riverboat gambling goes in, it adversely impacts racetracks," Thomas said. "I think it could kill a racetrack in Virginia."
Lawrence Framme, lawyer for a group seeking a license for a Prince William County track, said lawmakers have an obligation to the horse industry they sought to help when pari-mutuel betting was legalized six years ago.
"The question is whether the legislature made a commitment to the horse industry, and whether it intends to keep it," said Framme, former state secretary of economic development.
Riverboat gambling legislation, sponsored by Del. Jerrauld Jones, D-Norfolk, was narrowly defeated last year in a House committee.
But support for floating casinos has been growing, particularly as Virginia's budget gets tighter. Studies show riverboat gambling would pump $6 million to $7 million monthly into the state treasury; hundreds of thousands of dollars more in gambling taxes, not to mention tourist dollars, would flow to local governments where the riverboats would be berthed.
"When the legislature approved pari-mutuel racing six years ago, we didn't grant them a monopoly for ever and ever," said Jones, who recalled voting for pari-mutuel racing. "Everyone has a chance to perform. It raises questions why in six years a track hasn't been built."
Jones said the state cannot continue to protect a "dying industry," but should support a burgeoning industry that would create thousands of well-paying jobs and become a new customer for Virginia shipbuilders. Hurt by defense cutbacks, Hampton Roads' shipyards can convert to building gambling riverboats, he said.
"I can't feel too sorry for Mr. Thomas, whose Maryland client is seeking a license to build a track and will take profits back to Maryland," Jones said. "His opposition is at the expense of my shipyard."
Memo: shorter version ran in the Metro edition.