ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, February 11, 1994                   TAG: 9402110166
SECTION: VIRGINIA                    PAGE: B-6   EDITION: METRO 
SOURCE: BONNIE V. WINSTON STAFF WRITER
DATELINE: RICHMOND                                LENGTH: Medium


HORSE RACING BETS AGAINST RIVERBOATS

Horse-racing interests are effectively betting millions of dollars that they can stop riverboat gambling legislation, spurning a deal that would give their industry a cut of the tax revenues from floating casinos.

Del. Jerrauld Jones, D-Norfolk, chief patron of the riverboat gaming bill, said Thursday that he offered concessions to horse-racing interests as late as last week, hoping to end their opposition to riverboat gambling.

But track lobbyists apparently were so confident they could kill Jones' bill in committee that they turned down an offer that would have given the state's horse breeders' fund 50 cents for each passenger boarding a riverboat.

Under those terms, the breeders' fund stood to collect up to $3 million annually, one lawmaker said.

After a four-hour debate, Jones' bill won a 12-10 endorsement Wednesday in the House General Laws Committee. A single switch from "yes" to "no" would have produced a tie and killed the bill.

Jeff Gregson, a Richmond lobbyist for Churchill Downs Inc., said Jones' offer was discussed by the six applicants for a racing license.

"But we felt it was something we couldn't accept. We felt at this stage, it was best not to get in the mix with riverboat gambling," he said.

While competing for the license to build Virginia's first pari-mutuel track, individual racing interests have united to fight riverboat gambling. They and the state's horse industry claim riverboats would snatch limited gambling dollars from racetracks.

Riverboat proponents have cut deals to dedicate 10 percent of the state's share of the gambling proceeds to help displaced defense workers and another 20 percent to aid disadvantaged school districts.

While riverboat gaming directly would benefit localities in the eastern portion of the state, the concessions were added to secure the backing of lawmakers from other regions, Jones and other gaming proponents said.

Legislators from Southside and Southwest Virginia and inner-city areas have fought to ease disparities in state aid to their school systems.

Gregson said the deal may have swung one vote in committee, "but to my knowledge, there's no exodus of members from Southwest or Southside rushing to their side."

Riverboat proponents said further concessions may be offered to Northern Virginia lawmakers - perhaps a portion of the state's revenue dedicated to transportation needs in that car-clogged area - when the bill hits the House floor in the next few days.

House Speaker Thomas Moss, D-Norfolk, already has suggested that Hampton Roads support for the proposed Disney's America theme park in Prince William County could hinge on Northern Virginia's backing of riverboat gambling.

A coalition of lawmakers from Hampton Roads, Richmond, Northern Virginia and Southwest Virginia may be enough to get the bill through the House, several lawmakers said Thursday.

However, Jones acknowledged that the battle isn't over, and said he's still willing to offer horse interests a deal.

"All we want is an opportunity to exist," Jones said. "If it would minimize their opposition to my bill, then, yes, I would accept a compromise. My position is we ought to have a triple punch for economic development in this state by doing what we can for riverboat gambling, Disney and horse racing."

Keywords:
GENERAL ASSEMBLY 1994



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