In Albuquerque, New Mexico, District Judge Nancy Franchini recently rejected Coronado Partners’ lawsuit attempting to force the New Mexico Racing Commission (NMRC) to issue a sixth and final license for a racino in Tucumcari.
Coronado proposed a racino on the east side of Tucumcari that would create 500 jobs and generate revenue of up to $55 million by 2025. But due to the commission’s inaction, Coronado filed a lawsuit in late 2021 to make the commission issue a decision on its license application. Coronado also later filed an updated application.
In her ruling, Franchini noted that according to state law, the legislature authorizes the commission to grant or reject licenses. She added the commission’s actions are “not commendable” toward Coronado’s application but “the Court cannot conclude there was no rational connection between the facts and the choices made by Respondent in its denial of a sixth license.”
Coronado Principal Warren Frost commented, “I’m very disappointed. I thought we had an excellent argument.” In an interview with the Quay County Sun, Frost was asked if the Tucumcari racino was dead.
He replied, “I don’t know. It may be. It shouldn’t be so hard to bring 500 jobs to your community.” Frost has 30 days to appeal Franchini’s ruling.
NMRC Executive Director Izzy Trejo said in an email to the Sun after the hearing, “The record considered by the NMRC and reviewed by the judge provided ample and substantial evidence supporting the NMRC’s denial of issuing the 6th racing license to Coronado Partners. With the decision, the commission will move forward to do what we do best, regulate horseracing, which includes the execution of a nationally renowned drug testing program while focusing on the welfare of the beautiful equine athletes that participate in New Mexico.”
Public hearings about a sixth racing license were held over several months in 2018 but no action was taken. Reorganized in 2020, the commission refused to make a decision on a sixth license. Other racino license applicants were from Clovis and Lordsburg. In late 2018, the previous commission was prepared to issue a sixth license, but Lordsburg filed a restraining order that ended the process.
The reorganized commission then refused to issue a sixth license. Commissioners pointed to the decline of horse racing in New Mexico and increased competition from casinos. Frost, however, said no evidence or testimony to back up these claims was presented at any of the hearings.
In June 2022, Franchini granted Coronado’s request for a writ of mandamus against the commission regarding the Tucumcari application, compelling the commission to perform its official duties. This past February, the judge dismissed the commission’s attempt to dismiss Coronado’s lawsuit.
