Minnesotans Seek Changes To Off-Track Betting Limits

Off-track bets placed by Minnesotans outside the state increased 93 percent to $4.3 million in April. Yet it's illegal for Minnesotans to place in-state OTB wagers. A bill from state Rep. Brad Tabke (l.) may change the situation, though it faces strong opposition from tribes.

Minnesotans Seek Changes To Off-Track Betting Limits

As Covid-19 spread throughout the U.S., off-track wagering by Minnesotans on races outside the state increased 93 percent to $4.3 million in April, compared to April 2019, according to Minnesota Racing Commission records. Executive Director Steve May said as other sports ceased temporarily, horseracing still was available for bets. “Off-track wagering has been through the roof to be honest,” May said. The state receives a small percentage of money from off-track wagers to cover the track’s regulatory costs, May said.

But Minnesotans still cannot bet on races in Minnesota from their phones or online app. Bernell Rhone, a trainer at Canterbury Park in Shakopee, said, “A Minnesota resident can bet on Florida races, but they can’t bet on Minnesota races? Doesn’t make sense. We’re discriminating a little bit. It should be for all.”

Canterbury Vice President for Racing Operations Andrew Offerman noted, “Obviously it would have been a significant impact to our daily handle to have people within the state of Minnesota and our regular fans be able to participate from home,” Offerman said. He said off-track betting on in-state races would offset declining revenue due to limits on large gatherings, plus losses from concessions and special events that have shut down because of Covid-19. “When there is not 6,000 people here a day, that’s a lot of lost admission revenue and a lot of lost food and beverage revenue for us,” Offerman said.

That may change as a move to revise a 1991 statute legalizing off-track wagering that the state supreme court later ruled was unconstitutional gains traction. In the final days of the 2020 session, state Rep. Brad Tabke introduced a bill that would have temporarily permitted Minnesota residents to wager off-track on Minnesota races. The measure was part of a larger piece of legislation designed to support the horseracing industry during the pandemic.

However, Tabke removed the off-track wagering language from his own bill before it went to committee because of strong opposition. “It was a bridge too far as an expansion of gambling for the Minnesota Indian Gaming Association,” Tabke said.

MIGA represents the state’s tribes on gaming and other public policy matters. The group opposes any off-reservation gambling, stating that would set a precedent and negatively impact tribes. “With decreased gaming revenue due to more gaming outlets, tribes would be unable to sustain the progress being made for their people and communities,” according to the MIGA website.

Rhone is concerned that limits on off-track wagering, combined with Covid-19 safety protocols, could have devastating consequences for the state’s horseracing industry. “We’re trying to do whatever we can do to revitalize it and a few little changes would really make a world of difference. Times have changed. Rules need to change,” he said.