Upstate racetrack to move forward with casino

Upstate racetrack to move forward with casino

An upstate racetrack will move forward with casino plans, leaving Hawthorne Racetrack in west suburban Stickney still waiting to close a deal to get one.

Accel Entertainment recently agreed to buy Fairmount Park Racetrack, now doing business as FanDuel Sportsbook and Horse Racing in Collinsville, for $35 million.

Accel, a video gaming terminal operator, plans to invest between $85 million and $95 million for temporary and permanent casinos at the site, while retaining racing, creating a “racino.”

Accel’s five-year plan predicted the facility could generate between $20 million and $25 million before paying taxes, debt and depreciation, creating a “compelling cash return.”

But five years after passing a law authorizing construction of a racino, Hawthorne officials again said they were still seeking funding.

Chairman Tim Carey said they were in “advanced stages” of reaching a deal, but a lawyer for the company said they could not publicly provide details.

Hawthorne was recently sued by a veterinarian, claiming that authorities allowed sick, injured or lame horses to participate in races. In one case, a horse died just nine days after the race, according to the lawsuit.

The suit was filed in federal court by Christine Tuma, a veterinarian who had worked part-time for Hawthorne for three years before being part of a number of layoffs that the track said were due to economic conditions in 2023 .

Her judgment about the lack of health of the horses while she worked at the track was overruled by Illinois Racing Board chief veterinarian Dawn Folker-Calderon and another veterinarian, according to the suit.

Horses were at least in some cases prevented from racing on the day of their examination, but were not prevented from racing in the future. The actions would have taken place over two years and approximately 75 days of racing.

Tuma suggested that knowledge of the sick horses “might” have been used to place illegal bets or fix races, the suit says.

Besides Hawthorne, other defendants named in the suit included the racing board, veterinarians and other track officials.

Hawthorne issued a statement calling the suit “false and misguided” and saying she would vigorously challenge it in court.

Hawthorne describes itself as the oldest family-owned racetrack in North America and said Tuma tries to settle professional disagreements with more experienced and accomplished veterinarians.

The Racing Board released a statement that when officials were made aware of some of the allegations in March 2023, they immediately investigated and alerted federal horse racing authorities.

“We found no credible evidence to support allegations of wrongdoing at the time, nor did federal authorities inform us of any substantiated allegations,” the statement said.

True or false, the lawsuit could prevent Hawthorne from obtaining funding while legal and financial liability remains a threat, said Illinois Harness Horsemen’s Association President Jeff Davis.

He urged state lawmakers this fall to revoke Hawthorne’s extraordinary exclusive authority to open a racino both on his current track in Stickney and in southwest Cook County.

In 2019, lawmakers significantly expanded play in Illinois and gave Hawthorne veto power over anyone else developing the southwest Cook site.

Since then, other companies have held licensing competitions, acquired land and built temporary casinos in Chicago and Waukegan, while the Hard Rock Café recently opened its permanent casino in Rockford.

Walker’s Bluff Casino Resort opened in upstate Carterville in 2023. Golden Nugget Danville also opened last year. And the Wind Creek Chicago Southland Casino is under construction in the south suburbs and expected to open this fall.

Harness horse racers support Revolutionary Racing, which opened a $75 million gaming center in Kentucky last year, planning to open a racino in upstate Decatur. The riders say they don’t want to take away Hawthorne’s right to build a racino, but want to open it up to competition so a qualified developer can do it.

The controversy comes as Hawthorne had called for a reduction in race dates next year for harness racing.

Since Arlington International Raceway closed in 2021, it was acquired by the Chicago Bears, who demolished the track to reduce property taxes on the site.

Since then, Hawthorne has kept the racing industry alive by hosting thoroughbred and harness racing, but without a racino to generate revenue, the industry is dying.

The two types of races use different types of tracks, so they must take turns using the facilities. Harness racing is restricted to the winter months, while thoroughbred racing allows racing the rest of the year.

“We are not a sustainable industry,” Davis said, “until we have our own caterpillars.”