Florida Parimutuel Slots Hearings Begin

Hearings will start this week before the Florida Supreme Court regarding whether a racetrack can install slots in a county where voters approved them in a referendum. Governor Rick Scott's administration argues legislative approval is required. The case could affect five other counties where voters supported slots in referendums.

On Tuesday, June 7, the Florida Supreme Court will hear arguments on a case that could have far-reaching implications for gambling in the state. In Gretna Racing LLC v. Florida Department of Business and Professional Regulation, etc., justices will consider whether the parimutuel facility Gretna Racing in rural Gadsden County can offer slots, which was approved by voters in a referendum. However, Governor Rick Scott’s administration contends the racetrack cannot have slots without the approval of the legislature; last year the 1st District Court of Appeal sided with Scott.

The outcome of the case could affect five other counties where voters have approved slots in referendums: Brevard, Lee, Palm Beach, Washington and Hamilton.

Recently in Hamilton County, Administrative Law Judge E. Gary Early recommended that flag drop races be allowed, dismissing the state Division of Pari-Mutuel Wagering’s contention that the races, which the small track ran in June 2014, violated the track’s license.

Agreeing with critics of the track who claim it’s an excuse to eventually offer more lucrative gambling options, Early stated although “nothing about Hamilton Downs being real in terms of racetrack standards,” the state regulators’ claim was “insufficient to support a disciplinary sanction based on what the Division perceives to be inadequate speed, ‘breaking’ ability, or competitiveness of any given race.” He noted the state “was candid that ‘no rule or statute explicitly sets forth the particular speed at which a horse race must be conducted to count towards a permit-holder’s license requirements.’ ” He also wrote the racetrack’s owner “was frank in his admission that the 2014 race season was important because it allowed Hamilton Downs to qualify for a card room license and, if ultimately allowed, slot machines.”

After watching a video of the flag drop races, Early wrote it “must be seen to be believed.” He mentioned “tired, reluctant, skittish, or disinterested horses moving at a slow pace down a dust-choked path,” and stated the “overall quality of the videotaped races was about what one would expect of an entry-level campers’ horse show held at the conclusion of a two-week YMCA summer camp.” Finally, he noted, “While the ‘races’ in this case violated no established horse racing standard, the video establishes that the ‘races’ were more evocative of an Our Gang comedy short than the undercard at Pimlico.”