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Tough Times for NY Racing @ Aqueduct & Saratoga

By Dave Lucas

http://stream.publicbroadcasting.net/production/mp3/wamc/local-wamc-890792.mp3

Albany, NY – Time is running out for New York's troubled racing industry, which is fighting battles on several fronts as we hear in this report from Capital District Bureau Chief Dave Lucas.

Problems with NYRA, OTB and VLTs have observers and fans wondering if horseracing has any future in the Empire State. Alarms had already been sounded about NYRA's fiscal health when word came Thursday that Governor David Paterson was withdrawing his support for Aqueduct Entertainment Group LLC to build and run a racino at the New York City track.

Governor Paterson announced AEG's selection on Jan. 29. Charges of political favoritism were immediately followed by state and federal investigations into the gaming selection process. AEG responded to a request for comment by email***, stating it "intends to pursue all available remedies"--- legal action could freeze the selection process.

Officials with NYRA have insisted the association can get Saratoga through the season, but observers see the industry, and the spa meet, circling the drain. Jack Knowlton, the operating manager at Sackatoga Stables, says other states are taking advantage of the chaos in Albany, positioning to push New York racing aside. Calls to Governor Paterson were not returned. Paterson is on record saying he wants a new procurement process -- that means new bids -- while state senate Democratic conference leader John Sampson says there's no time and wants one of the losers in the last bidding round chosen.

Senator Malcolm Smith's office responded to a request for comment by email, pointing out that the Senator "strongly believes we need to get jobs moving to the local community and dollars flowing to state coffers in a timely and responsible manner."

*** Full Statement of Barry Berke, Attorney for Aqueduct Entertainment Group:

The State's decision to withdraw Aqueduct Entertainment Group's designation is both arbitrary and capricious. As AEG has repeatedly stated, they remain ready, willing and able to finalize the Memorandum of Understanding and pay the $300 million licensing fee in accordance with the conditions placed upon AEG's election. In the event that AEG is not given an opportunity to address the issues raised by the Lottery, and the decision to reverse the prior selection of AEG as the successful bidder is not reconsidered, AEG intends to pursue all available remedies.