The New York Racing Association (NYRA) representatives recently attended a state Assembly committee hearing to advocate for the introduction of fixed-odds betting on horse racing through New York’s online sports betting platforms. This initiative, supported by the NYRA, is estimated to potentially deliver nearly $30 million in additional revenue to the state, offering a significant financial boost.
The proposal, encapsulated in Democratic Sen. Joseph P. Addabbo Jr’s senate bill S8433, seeks to integrate fixed-odds betting on horse racing into the existing mobile sportsbooks. However, despite its introduction in the summer, the legislation has yet to advance. The NYRA emphasized that horse racing’s availability on mobile betting sites traditionally dominated by sports like football, basketball, and hockey could captivate a broader audience of bettors.
Jeffrey Cannizzo, NYRA’s vice president of government affairs, highlighted the potential benefits, stating the move as a strategic chance to channel new revenue streams into the horse racing industry and, by extension, to the state and key stakeholders such as horsemen, breeders, and owners. He underscored that this could invigorate the industry with fresh resources.
Andrew Offerman, who heads NYRA’s racing operations, pointed out the stagnation in New York’s prize money structure from 2016 to 2024, contrasting it with Kentucky’s dynamic growth following the legalization of historic horse racing machines. Kentucky’s implementation of these machines has significantly transformed its purse structure, elevating competitive stakes and posing a challenge for New York’s horsemen and racetracks to sustain high-quality racing.
Assemblywoman Carrie Woerner, who chairs the chamber’s Standing Committee on Racing and Wagering, acknowledged the pressing challenges confronting New York’s horse racing sector. She mentioned escalating costs associated with training, labor, operations, and regulatory compliance, compounded by the fierce competition from other gaming and entertainment forms.
In a separate context, New York’s mobile sports betting sector has witnessed remarkable growth. In October, the mobile sports betting handle reached an unprecedented $2.64 billion. This figure marks a significant 13.3 percent growth compared to the previous year and a 15.3 percent increase from September. It even surpassed the previous record of $2.48 billion set in January, illustrating the burgeoning interest and activity in the state’s sports betting market.
The New York State Gaming Commission reported a revenue of $238.7 million for October, reflecting a 35.4 percent increase year-on-year, with a hold percentage of 9.03 percent. This notable performance in the sports betting sector contrasts with the challenges faced by the horse racing industry, highlighting the potential benefits of integrating horse racing more fully into the digital betting ecosystem.
Proponents of fixed-odds betting on horse racing argue that it could serve as a much-needed revitalization strategy, aligning horse racing with the broader trends of sports betting and appealing to a demographic already engaged in online sports wagering. This approach, they contend, could rejuvenate interest in horse racing and stabilize the industry amidst evolving market dynamics.
However, not everyone is convinced. Critics worry about the long-term implications of fixed-odds betting. They argue that this shift might not necessarily translate into sustainable growth for horse racing. There is concern that it could lead to a dependency on a model that prioritizes immediate financial gains over the traditional elements of the sport that have defined it over the years.
Nevertheless, the ongoing discussions and legislative efforts highlight a critical juncture for New York’s horse racing industry. The sector must navigate these challenges while exploring innovative solutions to secure its future. The proposed integration of fixed-odds betting presents one possible pathway, promising to bridge the gap between traditional horse racing fans and the new generation of online bettors.
As the state Assembly continues to deliberate on the proposed bill, stakeholders remain hopeful yet cautious. The outcome of this legislative effort could set a precedent not only for New York but for other states evaluating similar measures. Whether fixed-odds betting becomes a staple of New York’s horse racing landscape remains to be seen, but the potential benefits, as outlined by the NYRA, provide a compelling case for consideration.
David Harrison stands tall in gambling journalism, marrying his firsthand casino experiences with a deep understanding of betting psychology. His articles transform complex gambling jargon into engaging tales of strategy and chance, making the world of betting accessible and enjoyable. David’s knack for narrative extends beyond print, making him a sought-after speaker on gambling trends and future bets. In the realm of gambling, David is both a scholar and a storyteller, captivating readers and listeners alike.
