Seeking to reduce its $16 billion deficit, the Ontario government is considering one of economist Don Drummond’s recommendations to cut the “Slots at Racetracks” program, which could result in the downfall of horse racing in Ontario.

Slot machines were instituted at Ontario racetracks–both Standardbred and Thoroughbred–in the late 1990s. At that time the racetrack industry and government negotiated an agreement that required a portion (20%) of slot revenues be directed to the racing industry.

“The stated goals of the Slots at Racetracks program was to enhance live racing and subsequently benefit the agricultural sector in Ontario,” said Ontario Harness Horse Association General Manager Brian Tropea. “This arrangement has been beneficial for everyone and has allowed the racing industry to prosper.”

For example, the Ontario government receives $261 million a year directly from the horse racing industry and its participants, while the Ontario horse racing industry currently employs 60,000 Ontarians and sees a total of $1.5 billion in wages and salaries sustained annually from total expenditures from the Ontario horse racing and breeding industries. In addition the slots at racetracks program generates approximately $1 billion dollars in revenue per year for the provincial government