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Will California approve gaming machines to help save horse racing? - Los Angeles Times
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The facilities, individually, were in favor of installing the devices known as Historical Horse Racing (HHR) machines. The Native American tribes, which control non-pari-mutuel gambling in the state, were willing to become partners. All that was needed was consensus within the California horse racing industry. Louis Cella, Chuck Winner and Scott Daruty went to Sacramento to solve the problem. “We … lobbied them and we were very close to coming to a resolution on HHR in California,” said Cella, whose family owns Oaklawn Park in Arkansas and were the first to install HHR-like machines. “But then you had the conflicting views from the Northern tracks and the Southern tracks and the management in between couldn’t agree on anything. It became moot. It could not be solved. “It got so far that the Native American tribes were saying, ‘If you can solve that problem, we’ll play that game and let you go.’ We were going to save racing in California. But then special interests took over. … I don’t see how that’s getting resolved.” Cella could not remember the exact year the meeting took place. Winner, who was on the California Horse Racing Board (CHRB) between 2012-2019, died on March 24, 2022. Santa Anita owner The Stronach Group (TSG), for which Daruty works as a senior executive, denied a Times request for an interview. Outside the room was Steve Keech, who worked for TSG at the time and now works in technology at the Horseracing Integrity and Safety Authority (HISA). “When they came outside, they said, ‘So and so wants another couple points [of the profits],’\" Keech recalled. \"… The game doesn't work where it’s an infinite amount of money. You keep cutting it up and just about everybody wanted that one more point. “[Northern California and Southern California] couldn’t agree on anything, [especially with separate simulcasting regulatory groups running the north and south]. It was all, who wants this piece or that piece [of the money]? [The tribes] were willing to play because they were going to get a piece.” The Northern versus Southern issue has been resolved, with Northern tracks closing. But the question remains whether California can approve the use of HHR machines to help save the sport. Most in the industry agree that if California doesn’t get HHR or some other form of supplemental income to boost purses, racing in the state will not continue much longer. Santa Anita is having a good start to its current meeting with mutuel handle up. The track says attendance is up, but Santa Anita is notorious for its inaccuracy in this area. “CHRB long ago stopped providing attendance numbers in the annual report that were provided by racetracks because those numbers were and still are highly inflated for publicity purposes,” the CHRB stated in a September email to commissioners and executives. But the Santa Anita mutuel handle appears to be up, benefiting from simulcast money that was originally supposed to go to Northern California. The track just announced an increase in purses of about 20%. California racing has some of the lowest purses in the country for tracks the size of Santa Anita and Del Mar. Horsemen find racing elsewhere so much easier and more cost efficient. Kentucky has heavily subsidized racing purses because of its use of Historical Horse Racing machines. New York has casino gambling backing its purses. Oaklawn remains one of the most successful tracks in the country and it is tied to a casino. Survival rests on getting owners to bring their horses to California to run for competitive purses. Higher purses attract more horses, which means larger fields, which leads to more money being bet, all of which brings more money for everyone in racing. The maiden races at Churchill Downs in Kentucky pay twice what they do in California. While many East and Midwest tracks run stakes approaching $1 million, California stakes are usually run at the bare authorized minimum of $300,000 for Grade 1s, $200,000 for Grade 2s and $100,000 for Grade 3s. In 1986, the Santa Anita Handicap was a $1-million race. This year it is being run for $300,000. The urgency is well known within the community. There are four point people tasked with finding that solution — Aidan Butler, chief executive of 1/ST Racing, which owns Santa Anita; Josh Rubinstein, chief operating officer at Del Mar; Bill Nader, chief executive of the Thoroughbred Owners of California; and Keith Brackpool, a former CHRB chairman and TSG executive, who is working as a consultant. While there are occasional discussions among the leaders, there are no set meetings or information shared with the public. Butler, Nader and Rubinstein, who did return messages from The Times, all declined to speak about specifics or their efforts. TSG denied a Times request to talk to Brackpool and he did not respond to a phone message. The principals involved in the HHR effort have all been asked to sign non-disclosure agreements, people with knowledge of the talks told The Times. The Tribal Nation’s control of California gaming is well established both legally and culturally. In 1988, Congress passed the Indian Gaming Regulatory Act and ceded all authority over gaming on tribal lands to the states in which they reside. California, in turn, passed laws that allowed only five types of gambling. There are Indian casinos, which are allowed to have Las Vegas-style table games (except roulette) and slot machines; card clubs; charitable gambling (church bingo); the state lottery; and pari-mutuel wagering connected to horse racing. In 2000, voters passed Proposition 1A, which exclusively gave the right to use slot machines to the tribes. In 2004, a state ballot initiative that would have allowed the expansion of non-tribal gambling was defeated 84% to 16%. So, it seems that the law is on the side of the tribes. But racing interests say that HHR is not a game of chance but skill and is connected to a pari-mutuel hub. The problem is that everything about HHR screams slot machine. Multiple people with knowledge of the situation told The Times there has been no formal contact between the tribes and racing interests to find common ground. “We are very concerned about possible efforts to bring Historical Horse Racing gaming machines to California,” said James Siva, chairman of the California Nations Indian Gaming Assn. “These machines would seem to violate tribal exclusivity as they operate as de facto slot machines. While these machines have features that are cosmetically different from slot machines on both the back and front ends, for players the difference is imperceptible. “In the past few years, the attorneys general in the states of Oregon and Arizona quelled efforts in their respective states to install these machines at non-tribal gaming facilities. We will be discussing the issue and looking at options as this matter continues to evolve.” Some on the edges of finding an HHR machines solution not authorized to discuss it publicly say there are between four and six plans. Conversations with more than a dozen people with knowledge of the process painted a picture of the problems faced and decisions being made in regard to HHR. Most people interviewed did not want their name used for fear of upsetting the strategy. Here is a sampling of courses of action that have been or will be considered: — Negotiate with the tribes for a split in income from the machines. The machines would be located on track and be open seven days a week. This is the most seamless solution to the HHR dilemma. But it can’t happen without conversations with the tribes. — Roll out a few machines, maybe 40, after approval of the CHRB but with no agreement with the tribes. The thinking was this few number of machines would not be threatening to the tribes. It was then determined that the tribes are likely to sue the track regardless of the number of machines involved. So, this plan was placed on the back burner. — Roll out a lot of machines, perhaps as many as 1,000, get ready for litigation and make a fair amount of money while things work their way through the courts. — Hold tight for now but seek redress from the Legislature. In short, change the law so that HHR would be allowed on racetrack grounds. This now becomes a battle of the lobbyists and the tribes don’t lose often. It could be a negotiating point. HHR is not believed to be a serious concern of the tribes as the amount of money, in the grand scheme, is not that much. The tribes have opposed any form of gambling it doesn’t control for fear of the “slippery slope” of adding more gambling it does not control. But the tribes may be willing to allow HHR if they can gain concessions in the Legislature on internet gambling, which remains their No. 1 concern. — The tracks negotiate with just a single tribe, not the consortium of all of them, to allow HHR on their property. A representative of the tribes told The Times that no individual tribal entity could negotiate on their own. But … there are 109 tribes in California and 76 California Indian gaming casinos (and five mini-casinos). Total revenue is $9 billion. This could set up infighting in the tribal community that could strengthen the tracks’ position, only because there is not an enormous amount of money at stake. Again, if the tribes were to get something in return, such as concessions on internet wagering, the equation could change. This may eventually end up in the wheelhouse of Rob Bonta, the California attorney general. His office, when contacted by The Times, referred the question about HHR to the CHRB, which is in favor of HHR. But it is unclear whether the attorney general endorses that position or simply was declining to discuss it publicly. The specter of HHR in California has been there for a while. But it exploded when CHRB chairman Greg Ferraro told the New York Times in November that HHR machines would be in California tracks shortly and that the CHRB would approve it. “I guess the cat is out of the bag,” one CHRB commissioner told The Times. But Ferraro’s comments seemed premature as months passed without HHR machines appearing on the CHRB agenda. Beneath all the politics, how quickly tracks can use HHR machines likely hinges on whether they are considered games of chance or skill. If it is skill, and proved to be a pari-mutuel product, then the path to success is much easier. If it is shown to be a game of chance, such as slot machines, then it would be nearly impossible to use the machines without tribal cooperation. The Times played the 1/ST Racing HHR machine, powered by PariMAX, and the Churchill Downs product under the name Exacta. Representatives of both products were willing to exhibit their products at the Global Symposium in Tucson, but declined to publicly discuss the machines. There is little doubt that the machines are designed to provide fast action with a payout that is clearly better than horse racing. Takeout on horse racing gambling — the fee immediately withheld from any winnings — is usually in the mid to late teens but can exceed 20%. The average take on a slot machine is 82% to 95%. People familiar with California horsemen's sentiments told The Times that they probably would accept an 8% takeout, with at least one point (of 100) going to breeding, at least two or three for purses and the remainder split between the track and the tribes. Kentucky has about an 8% takeout, which is far superior to what bettors get if playing the horses. Playing the HHR machines is identical to the experience of playing a slot machine. You can play as fast or slow as you want and your eyes are transfixed on the middle of the machine where you see the traditional symbols of cherries, dollar signs and jackpot payoffs. You can hit another button and get minimal handicapping information that, essentially, is worthless to someone who really wants to play horse racing. If you pull the handle, or push the button, the wheels spin until the result of traditional slot symbols is final. Then at the top of the machine, you get about the last second or two of the race. No more. There is an option to view the full race, but few use it. “We just discovered that people don’t want to watch the race, they just want the action and that the race slows things down,” said a vendor representative who said they could not be quoted on any issue. HISA’s Keech helped develop the first HHR machines and his name is on the original patent. “When you go to play a slot machine, it’s like going to a movie, there's a particular experience you're looking for,” Keech said. “As a player, what you want in the experience is not watching horse racing. Sorry, it's not. But it's a way for horse racing to monetize historic content. “It's OK for movies to do that, it's OK for singers to do that, it's OK for all these other industries to do that, so why is everyone wigged out that horse racing wants to monetize its content. … I have some disagreements with some of the designs of things, but no, it is 100% not a slot machine. If you look at a slot math model and then look at an HHR math model, they aren’t even close.” If you wondered how HHR can crank out as many races as it can and still build a mutuel pool, it’s because of a model that you aren’t just playing people in the same room as you, but all over the country. Santa Anita believes it has the infrastructure ready to go. In late November, the track rolled out the machines and plugged them in on the third-floor grandstand. At the time, Butler said the machines were at the track since at least 2019 when he joined the company. HHR experts looked at pictures of the machines and verified they are very old models. Butler was angry that word of the machines had leaked and when The Times inquired about them, he ordered the machines to be shut off and put back in storage. If Santa Anita were to add machines, they would probably be newer models produced by the company that owns the track. Unless an agreement can be reached with the tribes, the use of HHR machines in California is likely to be decided by the courts. And perhaps the question of whether HHR is a game of skill or chance will favor horse racing, despite some obvious challenges. “You know the old saying, 'If it walks like a duck and quacks like a duck?'\" said Marc Guilfoil, HISA's director of state racing commission relations. \"Well, we call those swimming chickens.”","articleSection":"Sports","url":"https://www.latimes.com/sports/story/2025-02-10/can-california-get-historical-horse-racing-over-the-finish-line","dateModified":"2025-02-10T14:06:48.179Z","datePublished":"2025-02-10T14:06:48.179Z","description":"California's racing future likely hinges on adding Historical Horse Racing machines, but they are similar to slot machines and face many hurdles.","hasPart":{"@type":"WebPageElement","isAccessibleForFree":false,"cssSelector":".paywall"},"image":[{"@context":"http://schema.org","@type":"ImageObject","height":936,"url":"https://ca-times.brightspotcdn.com/dims4/default/feeafe8/2147483647/strip/false/crop/3000x1890+0+0/resize/1486x936!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg","width":1486},{"@context":"http://schema.org","@type":"ImageObject","height":675,"url":"https://ca-times.brightspotcdn.com/dims4/default/eb896f8/2147483647/strip/false/crop/3000x1688+0+101/resize/1200x675!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg","width":1200}],"isPartOf":{"@type":["CreativeWork","Product"],"name":"Los Angeles Times","productID":"latimes.com:showcase"},"mainEntityOfPage":{"@type":"WebPage","@id":"https://www.latimes.com/sports/story/2025-02-10/can-california-get-historical-horse-racing-over-the-finish-line"},"author":[{"@context":"http://schema.org","@type":"Person","affiliation":"Los Angeles Times","description":"John Cherwa is a special contributor to the Los Angeles Times. 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class="link" href="https://www.latimes.com/sports">Sports</a></div> <h1 class="headline">Will California ever approve Historical Horse Racing machines to help save the sport?</h1> </div> <div class="image-wrapper"> <div class="page-lead-media-darken-overlay desktop overlay overlay-zero-percent image-width-full " data-desktop-image-ratio="LongFormPageLead" > </div> <figure> <picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/b37b303/2147483647/strip/true/crop/2836x1890+82+0/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/9495d6f/2147483647/strip/true/crop/2836x1890+82+0/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/020f503/2147483647/strip/true/crop/2836x1890+82+0/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/fc31941/2147483647/strip/true/crop/2836x1890+82+0/resize/1024x682!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 1024w,https://ca-times.brightspotcdn.com/dims4/default/80498f3/2147483647/strip/true/crop/2836x1890+82+0/resize/1240x826!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/ef59cd5/2147483647/strip/true/crop/2836x1890+82+0/resize/1440x960!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/f8ab3a0/2147483647/strip/true/crop/2836x1890+82+0/resize/2000x1333!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 2000w" sizes="100vw" /> <img class="image" alt="Historical horse racing betting terminals sparked controversy when they were installed in Idaho." srcset="https://ca-times.brightspotcdn.com/dims4/default/52a3dff/2147483647/strip/true/crop/2836x1890+82+0/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 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1024w,https://ca-times.brightspotcdn.com/dims4/default/55aa56a/2147483647/strip/true/crop/2836x1890+82+0/resize/1240x826!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/82f3e2f/2147483647/strip/true/crop/2836x1890+82+0/resize/1440x960!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/532318e/2147483647/strip/true/crop/2836x1890+82+0/resize/2000x1333!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg 2000w" sizes="100vw" width="2000" height="1333" src="https://ca-times.brightspotcdn.com/dims4/default/532318e/2147483647/strip/true/crop/2836x1890+82+0/resize/2000x1333!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fae%2F32%2F24ff5caa4ece93fe142845692475%2Fap18248657461064.jpg" decoding="async" > </picture> </figure> </div> </div> <div class="figure-content"> <div class="figure-caption" >Historical horse racing machines often trigger controversy when they’re installed, raising questions about whether they violate various state gaming restrictions.</div><div class="figure-credit">(Otto Kitsinger / Associated Press)</div> </div> </div> <main class="page-main"> <article class="story"> <div class="byline"> <div class="authors"> <div class="author-name"> <span class="byline-prefix">By</span> <a class="link" href="https://www.latimes.com/people/john-cherwa" aria-label="John Cherwa" data-click="standardBylineAuthorName" >John Cherwa</a><span class="author-title">Special Contributor </span> </div> </div> <time datetime="2025-02-10T14:06:48.179Z" class="published-date"><span class="published-date-day">Feb. 10, 2025 </span><span class="published-time">6:06 AM PT </span></time></div> <div class="page-actions"> <ps-actionbar data-element="action-bar" class="font-service"> <ul data-element="action-bar-menu" class="flex gap-2 list-none"> <li data-element="action-bar-share" class="flex relative "> <button data-element="action-link" class="flex items-center h-7 px-1.25 font-service text-xs text-primary-text-color rounded-3xl border border-solid border-secondary-color-3 bg-transparent cursor-pointer" data-modal-trigger> <svg class="icon flex items-center justify-center w-7.5 h-7.5 fill-current-color p-1.5 pointer-events-none"> <use xlink:href="#share-more-arrow"></use> </svg> <span class="pr-1.25 pointer-events-none">Share</span> </button> <div data-element="action-bar-content" class="ct-hidden"> <div data-element="action-bar-overlay" class="fixed inset-0 z-1050 bg-[#000000] bg-opacity-50 lg:hidden " 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!border !border-solid !border-secondary-color-3 !text-primary-text-color bg-transparent rounded-full cursor-pointer" data-social-service="print" data-social-trigger="actionBar"> <svg class="icon print-icon h-4.5 w-4.5"><use xlink:href="#mono-icon-print"></use></svg> <span class="sr-only">Print</span> </button> </li> </ul> </div> </div> </li> <li> <button data-element="action-link" class="flex items-center h-7 px-1.25 font-service text-xs rounded-3xl text-primary-text-color border border-solid border-secondary-color-3 bg-transparent cursor-pointer" data-comment-indicator> <svg class="icon flex items-center justify-center w-7.5 h-7.5 p-1.5 fill-current-color"> <use xlink:href="#comment"></use> </svg> <span class="coral-count pr-1.25" data-comment="Comment" data-coral-notext="true"> </span> </button> </li> </ul> </ps-actionbar> </div> <div data-element="story-body" class="ct-rich-text-children font-body font-normal text-lg leading-7.75 text-primary-text-color clearfix max-w-170 mt-7.5 mb-10 mx-auto" data-subscriber-content> <p>California horse racing, <a class="link" href="https://www.latimes.com/sports/story/2025-02-02/santa-anita-horse-racing-survival">now in danger of shutting down</a>, could have put itself on solid footing more than a decade ago when it explored the idea of adding electronic machines that allow gamblers to bet on replays of horse races at its tracks. </p><p>The facilities, individually, were in favor of installing the devices known as Historical Horse Racing (HHR) machines. The Native American tribes, which control non-pari-mutuel gambling in the state, were willing to become partners. All that was needed was consensus within the California horse racing industry.</p><p>Louis Cella, Chuck Winner and Scott Daruty went to Sacramento to solve the problem.</p><p>“We … lobbied them and we were very close to coming to a resolution on HHR in California,” said Cella, whose family owns Oaklawn Park in Arkansas and were the first to install HHR-like machines. “But then you had the conflicting views from the Northern tracks and the Southern tracks and the management in between couldn’t agree on anything. It became moot. It could not be solved.</p><div class="enhancement" data-click="enhancement" data-align-center ><figure class="figure"> <picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/433418b/2147483647/strip/true/crop/2520x1800+0+0/resize/320x229!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/0faa940/2147483647/strip/true/crop/2520x1800+0+0/resize/568x406!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/f69d5b2/2147483647/strip/true/crop/2520x1800+0+0/resize/768x549!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/d26ec55/2147483647/strip/true/crop/2520x1800+0+0/resize/1080x772!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/b49f951/2147483647/strip/true/crop/2520x1800+0+0/resize/1240x886!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/3d552c5/2147483647/strip/true/crop/2520x1800+0+0/resize/1440x1029!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/64ad1dc/2147483647/strip/true/crop/2520x1800+0+0/resize/2160x1543!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 2160w" sizes="100vw" /> <img class="image" alt="Lanfranco Dettori rides There Goes Harvard to victory in the Grade III $100,000 San Marcos Stakes at Santa Anita Park " srcset="https://ca-times.brightspotcdn.com/dims4/default/a0ca49f/2147483647/strip/true/crop/2520x1800+0+0/resize/320x229!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/ffafd34/2147483647/strip/true/crop/2520x1800+0+0/resize/568x406!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/6b00ab2/2147483647/strip/true/crop/2520x1800+0+0/resize/768x549!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/f8df90a/2147483647/strip/true/crop/2520x1800+0+0/resize/1080x772!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/56f6849/2147483647/strip/true/crop/2520x1800+0+0/resize/1240x886!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/db218c0/2147483647/strip/true/crop/2520x1800+0+0/resize/1440x1029!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/868cc38/2147483647/strip/true/crop/2520x1800+0+0/resize/2160x1543!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg 2160w" sizes="100vw" width="2000" height="1429" src="https://ca-times.brightspotcdn.com/dims4/default/6b317c4/2147483647/strip/true/crop/2520x1800+0+0/resize/2000x1429!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F1e%2Fb2%2F74e3302a4074bae976e89ce7ac9d%2Fap25040010925305.jpg" decoding="async" loading="lazy" > </picture> <div class="figure-content"> <div class="figure-caption" >Lanfranco Dettori rides There Goes Harvard to victory in the Grade III $100,000 San Marcos Stakes on Feb. 8 at Santa Anita Park in Arcadia.</div> <div class="figure-credit">(AP)</div> </div> </figure> </div><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-1" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_1" data-slot-sizes="[[5, 1]]" data-ad-type="injected" data-module-targeting="{"instart": "false"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>“It got so far that the Native American tribes were saying, ‘If you can solve that problem, we’ll play that game and let you go.’ We were going to save racing in California. But then special interests took over. … I don’t see how that’s getting resolved.”</p><p>Cella could not remember the exact year the meeting took place. Winner, who was on the California Horse Racing Board (CHRB) between 2012-2019, died on March 24, 2022. <a class="link" href="https://www.latimes.com/sports/story/2023-07-28/santa-anita-renovations-30-million-upgrades">Santa Anita owner The Stronach Group</a> (TSG), for which Daruty works as a senior executive, denied a Times request for an interview.</p><p>Outside the room was Steve Keech, who worked for TSG at the time and now works in technology at the Horseracing Integrity and Safety Authority (HISA).</p><p>“When they came outside, they said, ‘So and so wants another couple points [of the profits],’” Keech recalled. “… The game doesn’t work where it’s an infinite amount of money. You keep cutting it up and just about everybody wanted that one more point.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="promo promo-position-small promo-small" data-module-id="00000194-eee2-deca-a7be-fef77b5c0000" data-promotable-id="00000194-8a6d-da83-a59e-afff847a0000" data-content-type="longForm" data-show-img data-click="promoSmall" > <div class="promo-wrapper"> <div class="promo-media" data-click="media" ><a class="link promo-placeholder" href="https://www.latimes.com/sports/story/2025-02-02/santa-anita-horse-racing-survival" aria-label="Inside California horse racing’s complex problems that could hurt the sport nationwide" ><picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/647b3e0/2147483647/strip/true/crop/4507x3005+0+0/resize/110x73!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/c7652d9/2147483647/strip/true/crop/4507x3005+0+0/resize/180x120!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/4daaeda/2147483647/strip/true/crop/4507x3005+0+0/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/c32cbd8/2147483647/strip/true/crop/4507x3005+0+0/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/600fabb/2147483647/strip/true/crop/4507x3005+0+0/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/b65af74/2147483647/strip/true/crop/4507x3005+0+0/resize/840x560!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 840w" sizes="180px" /> <img class="image" alt="Jockey Irad Ortiz Jr. reacts as he rides White Abarrio to win the Breeders' Cup on Nov. 4 at Santa Anita Park in Arcadia" srcset="https://ca-times.brightspotcdn.com/dims4/default/5c70504/2147483647/strip/true/crop/4507x3005+0+0/resize/110x73!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/3f7af8e/2147483647/strip/true/crop/4507x3005+0+0/resize/180x120!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/5f0dda3/2147483647/strip/true/crop/4507x3005+0+0/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/fd66ec9/2147483647/strip/true/crop/4507x3005+0+0/resize/568x379!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/081bce5/2147483647/strip/true/crop/4507x3005+0+0/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/8f20aa6/2147483647/strip/true/crop/4507x3005+0+0/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg 840w" sizes="180px" width="840" height="560" src="https://ca-times.brightspotcdn.com/dims4/default/8f20aa6/2147483647/strip/true/crop/4507x3005+0+0/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F2f%2F1c%2F6446a2784e579fb07bfcf863152b%2Fap23309036622581.jpg" decoding="async" loading="lazy" > </picture> </a></div><div class="promo-content"> <div class="promo-title-container"> <p class="promo-category" data-click="category" > <a class="link" href="https://www.latimes.com/sports">Sports</a> </p> <h3 class="promo-title" data-click="title" > <a class="link" href="https://www.latimes.com/sports/story/2025-02-02/santa-anita-horse-racing-survival">Inside California horse racing’s complex problems that could hurt the sport nationwide</a> </h3> </div> <p class="promo-description">Declining purses, field sizes and foal crops puts California racing in trouble. But if racing in California dies, can the rest of the country succeed?</p> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2025-02-03T01:01:07.864Z"> <span data-element="date-time-content">Feb. 2, 2025</span> </time> </div> </div> </div></div><p>“[Northern California and Southern California] couldn’t agree on anything, [especially with separate simulcasting regulatory groups running the north and south]. It was all, who wants this piece or that piece [of the money]? [The tribes] were willing to play because they were going to get a piece.”</p><p>The Northern versus Southern issue has been resolved, <a class="link" href="https://www.latimes.com/sports/story/2024-06-09/golden-gate-fields-closes-california-racing-struggles">with Northern tracks closing</a>. </p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-2" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_2" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"2"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>But the question remains whether California can approve the use of HHR machines to help save the sport.</p><div class="enhancement" data-click="enhancement" data-align-center > <hr class="divider"> </div><p>Most in the industry agree that if California doesn’t get HHR or some other form of supplemental income to boost purses, racing in the state will not continue much longer. </p><p><a class="link" href="https://www.latimes.com/sports/story/2024-12-26/raging-torrent-beats-mystik-dan-santa-anita-malibu-stakes">Santa Anita is having a good start</a> to its current meeting with mutuel handle up. The track says attendance is up, but Santa Anita is notorious for its inaccuracy in this area. </p><p>“CHRB long ago stopped providing attendance numbers in the annual report that were provided by racetracks because those numbers were and still are highly inflated for publicity purposes,” the CHRB stated in a September email to commissioners and executives.</p><p>But the Santa Anita mutuel handle appears to be up, benefiting from simulcast money that was originally supposed to go to Northern California. The track just announced an increase in purses of about 20%. </p><div class="enhancement" data-click="enhancement" data-align-center ><figure class="figure"> <picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/14ead8e/2147483647/strip/true/crop/4320x3086+0+0/resize/320x229!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/bfd6c10/2147483647/strip/true/crop/4320x3086+0+0/resize/568x406!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/b847985/2147483647/strip/true/crop/4320x3086+0+0/resize/768x549!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/4d10f0d/2147483647/strip/true/crop/4320x3086+0+0/resize/1080x772!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/f6611f5/2147483647/strip/true/crop/4320x3086+0+0/resize/1240x886!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/c354d9e/2147483647/strip/true/crop/4320x3086+0+0/resize/1440x1029!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/315532b/2147483647/strip/true/crop/4320x3086+0+0/resize/2160x1543!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 2160w" sizes="100vw" /> <img class="image" alt="Jockey Flavien Prat rides Caalu to victory in the $100,000 Sweet Life Stakes horse race on Feb. 9 at Santa Anita Park." srcset="https://ca-times.brightspotcdn.com/dims4/default/dfa512c/2147483647/strip/true/crop/4320x3086+0+0/resize/320x229!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/ee4c6e4/2147483647/strip/true/crop/4320x3086+0+0/resize/568x406!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/9d47aff/2147483647/strip/true/crop/4320x3086+0+0/resize/768x549!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/2b271db/2147483647/strip/true/crop/4320x3086+0+0/resize/1080x772!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/e5be32c/2147483647/strip/true/crop/4320x3086+0+0/resize/1240x886!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/3e94379/2147483647/strip/true/crop/4320x3086+0+0/resize/1440x1029!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/6ebae03/2147483647/strip/true/crop/4320x3086+0+0/resize/2160x1543!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg 2160w" sizes="100vw" width="2000" height="1429" src="https://ca-times.brightspotcdn.com/dims4/default/8076ce0/2147483647/strip/true/crop/4320x3086+0+0/resize/2000x1429!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fab%2F70%2Fab5a8770499da1505ec63cef10a4%2Fsanta-anita-horse-racing-68692.jpg" decoding="async" loading="lazy" > </picture> <div class="figure-content"> <div class="figure-caption" >Jockey Flavien Prat rides Casalu, front left, to victory in the $100,000 Sweet Life Stakes horse race Feb. 9 at Santa Anita Park in Arcadia.</div> <div class="figure-credit">(Uncredited / Associated Press)</div> </div> </figure> </div><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-3" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_3" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"3"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>California racing has some of the lowest purses in the country for tracks the size of Santa Anita and Del Mar. Horsemen find racing elsewhere so much easier and more cost efficient. Kentucky has heavily subsidized racing purses because of its use of Historical Horse Racing machines. New York has casino gambling backing its purses. Oaklawn remains one of the most successful tracks in the country and it is tied to a casino.</p><p>Survival rests on getting owners to bring their horses to California to run for competitive purses. Higher purses attract more horses, which means larger fields, which leads to more money being bet, all of which brings more money for everyone in racing.</p><p>The maiden races at Churchill Downs in Kentucky pay twice what they do in California. While many East and Midwest tracks run stakes approaching $1 million, California stakes are usually run at the bare authorized minimum of $300,000 for Grade 1s, $200,000 for Grade 2s and $100,000 for Grade 3s.</p><p>In 1986, the Santa Anita Handicap was a $1-million race. This year it is being run for $300,000.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="promo promo-position-small promo-small" data-module-id="00000194-eee5-d33e-afd5-eef5a3640000" data-promotable-id="00000194-d6df-d7c3-a7d6-ffdf41970000" data-content-type="article" data-show-img data-click="promoSmall" > <div class="promo-wrapper"> <div class="promo-media" data-click="media" ><a class="link promo-placeholder" href="https://www.latimes.com/sports/story/2025-02-05/santa-anita-employee-alleges-lying-and-fraud-in-horse-deaths" aria-label="Former Santa Anita employee’s lawsuit alleges lying amid horse deaths" ><picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/c0a4ecd/2147483647/strip/true/crop/5086x3391+0+0/resize/110x73!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/f6bca4a/2147483647/strip/true/crop/5086x3391+0+0/resize/180x120!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/5fa8dea/2147483647/strip/true/crop/5086x3391+0+0/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/cb1a150/2147483647/strip/true/crop/5086x3391+0+0/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/c268f28/2147483647/strip/true/crop/5086x3391+0+0/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/67b7ae6/2147483647/strip/true/crop/5086x3391+0+0/resize/840x560!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 840w" sizes="180px" /> <img class="image" alt="Horses finish the fourth race during the last day of the winter/spring meet at the Santa Anita horse racing track Sunday, June 23, 2019, in Santa Anita, Calif. (AP Photo/Chris Carlson)" srcset="https://ca-times.brightspotcdn.com/dims4/default/674d057/2147483647/strip/true/crop/5086x3391+0+0/resize/110x73!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/7397808/2147483647/strip/true/crop/5086x3391+0+0/resize/180x120!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/573d5f1/2147483647/strip/true/crop/5086x3391+0+0/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/3600bc0/2147483647/strip/true/crop/5086x3391+0+0/resize/568x379!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/43d2e47/2147483647/strip/true/crop/5086x3391+0+0/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/21bafe0/2147483647/strip/true/crop/5086x3391+0+0/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg 840w" sizes="180px" width="840" height="560" src="https://ca-times.brightspotcdn.com/dims4/default/21bafe0/2147483647/strip/true/crop/5086x3391+0+0/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F3a%2F58%2Fba1fb191490189ddf577ac94b77e%2Fsanta-anita-horse-racing-58052.jpg" decoding="async" loading="lazy" > </picture> </a></div><div class="promo-content"> <div class="promo-title-container"> <p class="promo-category" data-click="category" > <a class="link" href="https://www.latimes.com/sports">Sports</a> </p> <h3 class="promo-title" data-click="title" > <a class="link" href="https://www.latimes.com/sports/story/2025-02-05/santa-anita-employee-alleges-lying-and-fraud-in-horse-deaths">Former Santa Anita employee’s lawsuit alleges lying amid horse deaths</a> </h3> </div> <p class="promo-description">A lawsuit filed by former Santa Anita public relations director Mike Willman accuses track executives of lying during the 2019 horse fatality crisis.</p> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2025-02-05T19:14:49.392Z"> <span data-element="date-time-content">Feb. 5, 2025</span> </time> </div> </div> </div></div><p>The urgency is well known within the community. </p><p>There are four point people tasked with finding that solution — Aidan Butler, chief executive of 1/ST Racing, which owns Santa Anita; Josh Rubinstein, chief operating officer at Del Mar; Bill Nader, chief executive of the Thoroughbred Owners of California; and Keith Brackpool, a former CHRB chairman and TSG executive, who is working as a consultant.</p><p>While there are occasional discussions among the leaders, there are no set meetings or information shared with the public. </p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-4" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_4" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"4"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>Butler, Nader and Rubinstein, who did return messages from The Times, all declined to speak about specifics or their efforts. TSG denied a Times request to talk to Brackpool and he did not respond to a phone message. </p><p>The principals involved in the HHR effort have all been asked to sign non-disclosure agreements, people with knowledge of the talks told The Times.</p><div class="enhancement" data-click="enhancement" data-align-center > <hr class="divider"> </div><p>The Tribal Nation’s control of California gaming is well established both legally and culturally. In 1988, Congress passed the Indian Gaming Regulatory Act and ceded all authority over gaming on tribal lands to the states in which they reside.</p><p>California, in turn, passed laws that allowed only five types of gambling. There are Indian casinos, which are allowed to have Las Vegas-style table games (except roulette) and slot machines; card clubs; charitable gambling (church bingo); the state lottery; and pari-mutuel wagering connected to horse racing.</p><p>In 2000, voters passed Proposition 1A, which exclusively gave the right to use slot machines to the tribes.</p><p>In 2004, a state ballot initiative that would have allowed the expansion of non-tribal gambling was defeated 84% to 16%.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-5" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_5" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"5"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><div class="enhancement" data-click="enhancement" data-align-center ><div class="promo promo-position-small promo-small" data-module-id="00000194-eee6-d506-a5b7-fef7c67c0000" data-promotable-id="00000193-d04e-d277-a9fb-dfceca690000" data-content-type="article" data-show-img data-click="promoSmall" > <div class="promo-wrapper"> <div class="promo-media" data-click="media" ><a class="link promo-placeholder" href="https://www.latimes.com/sports/story/2024-12-16/northern-california-racing-experiment-ending-santa-anita" aria-label="Attempt to revive horse racing in Northern California ends, affecting the sport around the state" ><picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/509c512/2147483647/strip/true/crop/4097x2731+0+89/resize/110x73!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 110w,https://ca-times.brightspotcdn.com/dims4/default/21751bd/2147483647/strip/true/crop/4097x2731+0+89/resize/180x120!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 180w,https://ca-times.brightspotcdn.com/dims4/default/09e1dd4/2147483647/strip/true/crop/4097x2731+0+89/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 320w,https://ca-times.brightspotcdn.com/dims4/default/380bc2f/2147483647/strip/true/crop/4097x2731+0+89/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 568w,https://ca-times.brightspotcdn.com/dims4/default/831cbf9/2147483647/strip/true/crop/4097x2731+0+89/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 768w,https://ca-times.brightspotcdn.com/dims4/default/9feaa97/2147483647/strip/true/crop/4097x2731+0+89/resize/840x560!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 840w" sizes="180px" /> <img class="image" alt="A jockey works out a horse on the dirt track at the Alameda County Fairgrounds in Pleasanton." srcset="https://ca-times.brightspotcdn.com/dims4/default/bab0caa/2147483647/strip/true/crop/4097x2731+0+89/resize/110x73!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 110w,https://ca-times.brightspotcdn.com/dims4/default/a29bf93/2147483647/strip/true/crop/4097x2731+0+89/resize/180x120!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 180w,https://ca-times.brightspotcdn.com/dims4/default/30393c4/2147483647/strip/true/crop/4097x2731+0+89/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 320w,https://ca-times.brightspotcdn.com/dims4/default/0ffc0ab/2147483647/strip/true/crop/4097x2731+0+89/resize/568x379!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 568w,https://ca-times.brightspotcdn.com/dims4/default/06ce9df/2147483647/strip/true/crop/4097x2731+0+89/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 768w,https://ca-times.brightspotcdn.com/dims4/default/a24e9a8/2147483647/strip/true/crop/4097x2731+0+89/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318 840w" sizes="180px" width="840" height="560" src="https://ca-times.brightspotcdn.com/dims4/default/a24e9a8/2147483647/strip/true/crop/4097x2731+0+89/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F40%2F67%2Feb59b80048c8b5828a268f6aabda%2Fhttps-delivery-gettyimages.com%2Fdownloads%2F1298813318" decoding="async" loading="lazy" > </picture> </a></div><div class="promo-content"> <div class="promo-title-container"> <p class="promo-category" data-click="category" > <a class="link" href="https://www.latimes.com/sports">Sports</a> </p> <h3 class="promo-title" data-click="title" > <a class="link" href="https://www.latimes.com/sports/story/2024-12-16/northern-california-racing-experiment-ending-santa-anita">Attempt to revive horse racing in Northern California ends, affecting the sport around the state</a> </h3> </div> <p class="promo-description">The Northern California racing experiment will be coming to an end this week, effectively killing racing in the northern part of the state and having an impact statewide.</p> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2024-12-16T23:08:57.149Z"> <span data-element="date-time-content">Dec. 16, 2024</span> </time> </div> </div> </div></div><p>So, it seems that the law is on the side of the tribes. But racing interests say that HHR is not a game of chance but skill and is connected to a pari-mutuel hub. The problem is that everything about HHR screams slot machine.</p><p>Multiple people with knowledge of the situation told The Times there has been no formal contact between the tribes and racing interests to find common ground.</p><p>“We are very concerned about possible efforts to bring Historical Horse Racing gaming machines to California,” said James Siva, chairman of the California Nations Indian Gaming Assn. “These machines would seem to violate tribal exclusivity as they operate as de facto slot machines. While these machines have features that are cosmetically different from slot machines on both the back and front ends, for players the difference is imperceptible.</p><p>“In the past few years, the attorneys general in the states of Oregon and Arizona quelled efforts in their respective states to install these machines at non-tribal gaming facilities. We will be discussing the issue and looking at options as this matter continues to evolve.”</p><div class="enhancement" data-click="enhancement" data-align-center > <hr class="divider"> </div><p>Some on the edges of finding an HHR machines solution not authorized to discuss it publicly say there are between four and six plans. </p><p>Conversations with more than a dozen people with knowledge of the process painted a picture of the problems faced and decisions being made in regard to HHR. Most people interviewed did not want their name used for fear of upsetting the strategy.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-6" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_6" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"6"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>Here is a sampling of courses of action that have been or will be considered:</p><p>— Negotiate with the tribes for a split in income from the machines. The machines would be located on track and be open seven days a week. This is the most seamless solution to the HHR dilemma. But it can’t happen without conversations with the tribes.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="promo promo-position-small promo-small" data-module-id="00000194-eee7-deca-a7be-fef704ce0000" data-promotable-id="0000018f-ee12-dc81-a5ef-ee36aaf70000" data-content-type="article" data-show-img data-click="promoSmall" > <div class="promo-wrapper"> <div class="promo-media" data-click="media" ><a class="link promo-placeholder" href="https://www.latimes.com/sports/story/2024-06-09/golden-gate-fields-closes-california-racing-struggles" aria-label="Golden Gate Fields comes to a close as California racing struggles to exist" ><picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/2eec20b/2147483647/strip/true/crop/3000x2000+0+39/resize/110x73!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/9aa0e02/2147483647/strip/true/crop/3000x2000+0+39/resize/180x120!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/e95b31f/2147483647/strip/true/crop/3000x2000+0+39/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/7abb9c9/2147483647/strip/true/crop/3000x2000+0+39/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/c24b742/2147483647/strip/true/crop/3000x2000+0+39/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/17d9934/2147483647/strip/true/crop/3000x2000+0+39/resize/840x560!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 840w" sizes="180px" /> <img class="image" alt="ALBANY, CA - APRIL 28: Apprentice Jockey Martin Garcia of Mexico runs a horse on the track during morning workouts at Golden Gate Fields April 28, 2006 in Albany, California. Garcia, 21, came to the United States from Veracruz, Mexico three years ago in search of work. He landed a job as a cook at a deli in Pleasanton, California. After he had been on the job for a while, Garcia found out that the restaurant owner had a horse and asked if he could ride it sometime. Garcia?s natural talent of handling the horse was noticed and he was introduced to a trainer at the local fairground racetrack. Garcia got a job working out horses and was immediately recognized for his riding abilities and asked if he would like to become a jockey. In 2005 Garcia began racing and winning. He is now the second winning jockey in the country. Despite making the average of $10,000 per week, he still works at the deli two nights a week. (Photo by Justin Sullivan/Getty Images)" srcset="https://ca-times.brightspotcdn.com/dims4/default/9ad4106/2147483647/strip/true/crop/3000x2000+0+39/resize/110x73!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/70e5cda/2147483647/strip/true/crop/3000x2000+0+39/resize/180x120!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/8e4345f/2147483647/strip/true/crop/3000x2000+0+39/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/7152e1c/2147483647/strip/true/crop/3000x2000+0+39/resize/568x379!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/9d19a5e/2147483647/strip/true/crop/3000x2000+0+39/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/7c80ede/2147483647/strip/true/crop/3000x2000+0+39/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg 840w" sizes="180px" width="840" height="560" src="https://ca-times.brightspotcdn.com/dims4/default/7c80ede/2147483647/strip/true/crop/3000x2000+0+39/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2F82%2F34%2F6f7bb3b14b13bbd811879f3da6b9%2Fhttps-delivery.gettyimages.com%2Fdownloads%2F57489727.jpg" decoding="async" loading="lazy" > </picture> </a></div><div class="promo-content"> <div class="promo-title-container"> <p class="promo-category" data-click="category" > <a class="link" href="https://www.latimes.com/sports">Sports</a> </p> <h3 class="promo-title" data-click="title" > <a class="link" href="https://www.latimes.com/sports/story/2024-06-09/golden-gate-fields-closes-california-racing-struggles">Golden Gate Fields comes to a close as California racing struggles to exist</a> </h3> </div> <p class="promo-description">After 83 years, Sunday is the last day of racing at Golden Gate Fields. The track will be missed for its inclusiveness and place in California racing history.</p> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2024-06-09T11:00:36.850Z"> <span data-element="date-time-content">June 9, 2024</span> </time> </div> </div> </div></div><p>— Roll out a few machines, maybe 40, after approval of the CHRB but with no agreement with the tribes. The thinking was this few number of machines would not be threatening to the tribes. It was then determined that the tribes are likely to sue the track regardless of the number of machines involved. So, this plan was placed on the back burner.</p><p>— Roll out a lot of machines, perhaps as many as 1,000, get ready for litigation and make a fair amount of money while things work their way through the courts. </p><p>— Hold tight for now but seek redress from the Legislature. In short, change the law so that HHR would be allowed on racetrack grounds. This now becomes a battle of the lobbyists and the tribes don’t lose often. It could be a negotiating point. HHR is not believed to be a serious concern of the tribes as the amount of money, in the grand scheme, is not that much. The tribes have opposed any form of gambling it doesn’t control for fear of the “slippery slope” of adding more gambling it does not control. But the tribes may be willing to allow HHR if they can gain concessions in the Legislature on internet gambling, which remains their No. 1 concern.</p><p>— The tracks negotiate with just a single tribe, not the consortium of all of them, to allow HHR on their property. A representative of the tribes told The Times that no individual tribal entity could negotiate on their own. But … there are 109 tribes in California and 76 California Indian gaming casinos (and five mini-casinos). Total revenue is $9 billion. This could set up infighting in the tribal community that could strengthen the tracks’ position, only because there is not an enormous amount of money at stake. Again, if the tribes were to get something in return, such as concessions on internet wagering, the equation could change.</p><p>This may eventually end up in the wheelhouse of Rob Bonta, the California attorney general. His office, when contacted by The Times, referred the question about HHR to the CHRB, which is in favor of HHR. But it is unclear whether the attorney general endorses that position or simply was declining to discuss it publicly. </p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-7" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_7" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"7"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><div class="enhancement" data-click="enhancement" data-align-center > <hr class="divider"> </div><p>The specter of HHR in California has been there for a while. But it exploded when CHRB chairman Greg Ferraro told the New York Times in November that HHR machines would be in California tracks shortly and that the CHRB would approve it.</p><p>“I guess the cat is out of the bag,” one CHRB commissioner told The Times.</p><p>But Ferraro’s comments seemed premature as months passed without HHR machines appearing on the CHRB agenda.</p><p>Beneath all the politics, how quickly tracks can use HHR machines likely hinges on whether they are considered games of chance or skill. If it is skill, and proved to be a pari-mutuel product, then the path to success is much easier. If it is shown to be a game of chance, such as slot machines, then it would be nearly impossible to use the machines without tribal cooperation. </p><p>The Times played the 1/ST Racing HHR machine, powered by PariMAX, and the Churchill Downs product under the name Exacta. Representatives of both products were willing to exhibit their products at the Global Symposium in Tucson, but declined to publicly discuss the machines.</p><div class="enhancement" data-click="enhancement" data-align-center ><figure class="figure"> <picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/f7c4138/2147483647/strip/true/crop/3609x2406+0+0/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/2797dd1/2147483647/strip/true/crop/3609x2406+0+0/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/c1c798e/2147483647/strip/true/crop/3609x2406+0+0/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/bf910b6/2147483647/strip/true/crop/3609x2406+0+0/resize/1080x720!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/7441ecd/2147483647/strip/true/crop/3609x2406+0+0/resize/1240x826!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/24b169f/2147483647/strip/true/crop/3609x2406+0+0/resize/1440x960!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/0526c10/2147483647/strip/true/crop/3609x2406+0+0/resize/2160x1440!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 2160w" sizes="100vw" /> <img class="image" alt="Fans arrive for the Breeder's Cup at Santa Anita Park in Arcadia on Nov. 4, 2023." srcset="https://ca-times.brightspotcdn.com/dims4/default/4896401/2147483647/strip/true/crop/3609x2406+0+0/resize/320x213!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/9ce12d4/2147483647/strip/true/crop/3609x2406+0+0/resize/568x379!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/26c0260/2147483647/strip/true/crop/3609x2406+0+0/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/ca116a5/2147483647/strip/true/crop/3609x2406+0+0/resize/1080x720!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1080w,https://ca-times.brightspotcdn.com/dims4/default/dcc649e/2147483647/strip/true/crop/3609x2406+0+0/resize/1240x826!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1240w,https://ca-times.brightspotcdn.com/dims4/default/1870c7a/2147483647/strip/true/crop/3609x2406+0+0/resize/1440x960!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 1440w,https://ca-times.brightspotcdn.com/dims4/default/818b97b/2147483647/strip/true/crop/3609x2406+0+0/resize/2160x1440!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg 2160w" sizes="100vw" width="2000" height="1333" src="https://ca-times.brightspotcdn.com/dims4/default/26ccbb5/2147483647/strip/true/crop/3609x2406+0+0/resize/2000x1333!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fda%2F44%2F6c645927471fae3b1acd279bd29a%2Fbreeders-cup-horse-racing-97950.jpg" decoding="async" loading="lazy" > </picture> <div class="figure-content"> <div class="figure-caption" aria-hidden="true" >Fans arrive for the Breeder’s Cup at Santa Anita Park in Arcadia on Nov. 4, 2023.</div> <div class="figure-credit">(Ashley Landis / Associated Press)</div> </div> </figure> </div><p>There is little doubt that the machines are designed to provide fast action with a payout that is clearly better than horse racing. Takeout on horse racing gambling — the fee immediately withheld from any winnings — is usually in the mid to late teens but can exceed 20%. The average take on a slot machine is 82% to 95%.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-8" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_8" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"8"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>People familiar with California horsemen’s sentiments told The Times that they probably would accept an 8% takeout, with at least one point (of 100) going to breeding, at least two or three for purses and the remainder split between the track and the tribes.</p><p>Kentucky has about an 8% takeout, which is far superior to what bettors get if playing the horses.</p><p>Playing the HHR machines is identical to the experience of playing a slot machine. You can play as fast or slow as you want and your eyes are transfixed on the middle of the machine where you see the traditional symbols of cherries, dollar signs and jackpot payoffs.</p><p>You can hit another button and get minimal handicapping information that, essentially, is worthless to someone who really wants to play horse racing.</p><p>If you pull the handle, or push the button, the wheels spin until the result of traditional slot symbols is final. Then at the top of the machine, you get about the last second or two of the race. No more. There is an option to view the full race, but few use it.</p><p>“We just discovered that people don’t want to watch the race, they just want the action and that the race slows things down,” said a vendor representative who said they could not be quoted on any issue.</p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-9" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_9" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"9"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><div class="enhancement" data-click="enhancement" data-align-center ><div class="promo promo-position-small promo-small" data-module-id="00000194-eeeb-d506-a5b7-fefb199a0000" data-promotable-id="00000193-f657-d277-a9fb-ffdf94cc0000" data-content-type="article" data-show-img data-click="promoSmall" > <div class="promo-wrapper"> <div class="promo-media" data-click="media" ><a class="link promo-placeholder" href="https://www.latimes.com/sports/story/2024-12-26/raging-torrent-beats-mystik-dan-santa-anita-malibu-stakes" aria-label="Raging Torrent beats Kentucky Derby winner Mystik Dan on opening day at Santa Anita" ><picture > <source type="image/webp" srcset="https://ca-times.brightspotcdn.com/dims4/default/b1b221d/2147483647/strip/true/crop/4523x3016+259+280/resize/110x73!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 110w,https://ca-times.brightspotcdn.com/dims4/default/f84c33a/2147483647/strip/true/crop/4523x3016+259+280/resize/180x120!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 180w,https://ca-times.brightspotcdn.com/dims4/default/595addd/2147483647/strip/true/crop/4523x3016+259+280/resize/320x213!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 320w,https://ca-times.brightspotcdn.com/dims4/default/db7ded5/2147483647/strip/true/crop/4523x3016+259+280/resize/568x379!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 568w,https://ca-times.brightspotcdn.com/dims4/default/0e2ada7/2147483647/strip/true/crop/4523x3016+259+280/resize/768x512!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/0bb62fe/2147483647/strip/true/crop/4523x3016+259+280/resize/840x560!/format/webp/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 840w" sizes="180px" /> <img class="image" alt="Raging Torrent, with jockey Lanfranco Dettori aboard, wins the Malibu Stakes at Santa Anita on Thursday." srcset="https://ca-times.brightspotcdn.com/dims4/default/ff81364/2147483647/strip/true/crop/4523x3016+259+280/resize/110x73!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 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568w,https://ca-times.brightspotcdn.com/dims4/default/6393e9b/2147483647/strip/true/crop/4523x3016+259+280/resize/768x512!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 768w,https://ca-times.brightspotcdn.com/dims4/default/780f2a8/2147483647/strip/true/crop/4523x3016+259+280/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg 840w" sizes="180px" width="840" height="560" src="https://ca-times.brightspotcdn.com/dims4/default/780f2a8/2147483647/strip/true/crop/4523x3016+259+280/resize/840x560!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Feb%2F03%2F8f69d2414faca459c9e3779eae27%2Fap24361844192085.jpg" decoding="async" loading="lazy" > </picture> </a></div><div class="promo-content"> <div class="promo-title-container"> <p class="promo-category" data-click="category" > <a class="link" href="https://www.latimes.com/sports">Sports</a> </p> <h3 class="promo-title" data-click="title" > <a class="link" href="https://www.latimes.com/sports/story/2024-12-26/raging-torrent-beats-mystik-dan-santa-anita-malibu-stakes">Raging Torrent beats Kentucky Derby winner Mystik Dan on opening day at Santa Anita</a> </h3> </div> <p class="promo-description">Raging Torrent, a winner in four of seven races this year, won the Malibu Stakes on the first day of racing at Santa Anita. Mystik Dan finished last.</p> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2024-12-27T23:17:26.175Z"> <span data-element="date-time-content">Dec. 27, 2024</span> </time> </div> </div> </div></div><p>HISA’s Keech helped develop the first HHR machines and his name is on the original patent.</p><p>“When you go to play a slot machine, it’s like going to a movie, there’s a particular experience you’re looking for,” Keech said. “As a player, what you want in the experience is not watching horse racing. Sorry, it’s not. But it’s a way for horse racing to monetize historic content.</p><p>“It’s OK for movies to do that, it’s OK for singers to do that, it’s OK for all these other industries to do that, so why is everyone wigged out that horse racing wants to monetize its content. … I have some disagreements with some of the designs of things, but no, it is 100% not a slot machine. If you look at a slot math model and then look at an HHR math model, they aren’t even close.”</p><p>If you wondered how HHR can crank out as many races as it can and still build a mutuel pool, it’s because of a model that you aren’t just playing people in the same room as you, but all over the country.</p><p>Santa Anita believes it has the infrastructure ready to go. In late November, the track rolled out the machines and plugged them in on the third-floor grandstand. At the time, Butler said the machines were at the track since at least 2019 when he joined the company. HHR experts looked at pictures of the machines and verified they are very old models. Butler was angry that word of the machines had leaked and when The Times inquired about them, he ordered the machines to be shut off and put back in storage.</p><p>If Santa Anita were to add machines, they would probably be newer models produced by the company that owns the track.</p><p>Unless an agreement can be reached with the tribes, the use of HHR machines in California is likely to be decided by the courts. </p><div class="enhancement" data-click="enhancement" data-align-center ><div class="google-dfp-ad-wrapper" style="min-height: 270px;" data-min-height="270" > <div class="google-dfp-ad-caption">Advertisement</div> <div id="storylongform-inline-10" class="google-dfp-ad injected" data-slot-name="/21787098806/web.latimes/sports/storylongform_inline_10" data-slot-sizes="[[300, 250], [728, 90], [970, 250], [970, 90], [1280, 220], [1680, 220], [320, 250], [1800, 220]]" data-ad-type="injected" data-slot-ad-size-maps="[[[1024, 0], [728, 90], [970, 250], [970, 90], [1680, 220], [1280, 220], [1800, 220]], [[0, 0], [300, 250], [1680, 220], [1280, 220], [320, 250], [1800, 220]]]" data-module-targeting="{"position":"10"}" > <span class="google-dfp-ad-placeholder"></span> </div> </div></div><p>And perhaps the question of whether HHR is a game of skill or chance will favor horse racing, despite some obvious challenges.</p><p>“You know the old saying, ‘If it walks like a duck and quacks like a duck?’” said Marc Guilfoil, HISA’s director of state racing commission relations. “Well, we call those swimming chickens.”</p><div class="enhancement" data-click="enhancement" data-align-center > <div class="list list-zz list-spacer-bottom" data-list-id="00000187-6cb2-de63-a98f-6fffbd9a0003" data-module-id="00000187-6cb2-de63-a98f-6fffbd9a0003"> <div data-element="element-header" data-click="liZZListTitleCTA" class="!pb-0 border-solid pt-0 border-0 "> <h3 class="mb-5 p-0 font-serviceblack text-2xl leading-6.5" data-element="element-header-title" data-counter="3">More to Read </h3> 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src="https://ca-times.brightspotcdn.com/dims4/default/aa82c8a/2147483647/strip/true/crop/2496x1669+0+0/resize/320x214!/quality/75/?url=https%3A%2F%2Fcalifornia-times-brightspot.s3.amazonaws.com%2Fec%2F3a%2F9b9e53a14b6da549d45ad99c1f4b%2F1495585-sp-nba-lakers-mavericks-2-ajs.jpg" decoding="async" loading="lazy" > </picture> </a></div> <div class="promo-content"> <div class="promo-title-container"> <h3 class="promo-title" > <a class="link" href="https://www.latimes.com/sports/lakers/story/2025-02-25/los-angeles-lakers-dallas-mavericks-nba-game-recap">Luka Doncic struggles against his old team, but LeBron James’ big fourth lifts Lakers</a> </h3> </div> <time class="promo-timestamp font-service font-medium text-sm text-secondary-color-6" datetime="2025-02-26T07:11:31.007Z"> <span data-element="date-time-content">Feb. 25, 2025</span> </time> </div> </div> </div> </li> </ul> </div> </div> </div> </article> <div class="page-content-wrapper"> <ps-comments class="page-comments block my-10 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