Massachusetts casinos and Mashpee Wampanoag oppose House plan for historical horse racing machines

Opposition is growing in Massachusetts to a plan that would place historical horse racing (HHR) machines at two former racetracks, Suffolk Downs and Raynham Park. Critics argue it could damage existing casinos, reduce public revenue and create an uneven regulatory environment.

The provision is part of the House version of an economic development bill passed in July. It would let the two sites operate HHR machines under licenses issued earlier to the old racetracks. The Senate version leaves it out, so the matter is among those a conference committee must resolve, according to The Boston Globe. House Speaker Ron Mariano has defended the plan as a way to raise money for healthcare. Under the proposal, 2.5% of the total amount wagered on HHR machines would go to the Health Safety Net trust fund, which helps hospitals and health centers care for uninsured and underinsured patients.

Supporters say the new operations could generate $120 million a year in tax revenue by their third year. The state's three licensed casino operators, Encore Boston Harbor, MGM Springfield and Plainridge Park, dispute that figure and have urged lawmakers to reject the measure. They point to an economic impact study by Morowitz Gaming Advisors and Global Gaming and Hospitality, which estimates HHR could draw $131 million to $216 million in gambling revenue away from current casinos. According to the consultants, that could mean annual losses of $45 million to $73 million for state and local governments, along with job losses and reduced business for related suppliers.

The study also highlights differences between the HHR framework and current casino rules. Massachusetts limits casino development to three geographic areas, and licensed operators must reach agreements with host communities and meet regulatory requirements. The House amendment sets no cap on the number of HHR machines or where facilities may operate, and its wording could allow online HHR wagering, which would add a competitor to the Massachusetts Lottery's recently launched online platform.

The Mashpee Wampanoag Tribe, which runs First Light Casino in Taunton, also opposes the plan. Tribal Chairman Brian Weeden voiced concern about its possible effect on the tribe's economic interests and sovereignty.

The racetrack sites have drawn investor attention. Suffolk Downs investor Richard Fields has expressed interest in developing a gambling and entertainment venue and says he wants to buy Raynham Park from the Carney family. Mariano said he has a personal relationship with George Carney, a member of the family, but stressed that the legislation is meant to benefit the state rather than individual businesses.