The Michigan Gaming Control Board ordered Sports Creek Raceway in Swartz Creek to end live racing, simulcasting and parimutuel betting as of January 1, because officials at the racetrack officials and the Michigan Harness Horsemen’s Association could not come to an agreement. Sports Creek was one of two harness horseracing facilities in the state.
Phil Stommen, executive director of the association, which represents about 500 horsemen, said this is the first time this situation has occurred. He noted negotiations began in October but the association has not heard from raceway officials since the new year began. He said, “We have been exploring a variety of possible options to try and solve this, to no avail. At this point there’s no response from Sports Creek regarding our most recent proposal. We haven’t had feedback in the past few days since the Gaming Control Board announced they were going to shut them down. Their posturing is one of a lack of urgency.”
Stommen added, “I’m hopeful this is simply a negotiation tactic.” He said the association “has made a very fair offer to Sports Creek,” the same agreement the organization has with Northville Downs.
Stommen said licensed racetracks’ revenue has decreased in the last decade due to illegal horse betting and casinos. Sixty percent of revenue generated through wagering goes to the racetrack and 40 percent to horsemen. According to the Gaming Control Board, live wagering at Sports Creek was brought in $676,106 in 2014, down from $954,834 in 2013. Simulcast wagering was at $11,918,147 as of September 31, 2014, compared to $15,357,563 in 2013.
Statewide, horseracing revenue has declined from $260,962,791 in 2007, when there were 446 live racing days, to $126,913,242 in 2013, with 150 days of live racing. Sports Creek had 11 race days in 2014 and 10 days are allotted by the state for 2015. Last year there were nine live harness races at Sports Creek, which association member Mike Sweeney said “is not feasible. If they could race two days a week for an extended time, I think it would get more horses here.” He noted harness horses often run 20-30 times a year.
Swartz Creek City Manager Adam Zettel said Sports Creek officials recently asked for a tax reduction, and added the tax discussions “ongoing and independent.” Zettel said the city collects $42,000 annually in revenues from the track.
Mary Kay Bean, communications specialist for the Gaming Control Board, said, “The future of horseracing at Sports Creek is in the hands of the track’s owners and the Horsemen’s Association.”
