By Mallory Haigh
On March 28, the Ontario government will introduce the 2012 provincial budget. Part of its budget deliberations could include controversial recommendations by economist Don Drummond to eliminate profit sharing agreements between the Ontario Lottery and Gaming Corporation and the horse racing industry.
When the Drummond Report was originally introduced at Queen’s Park, it highlighted, among other recommendations, that the Government of Ontario “re-evaluate, on a value-for-money basis, the practice of providing a portion of net slot revenues to the horse racing and breeding industry and municipalities in order to substantially reduce and better target that support.”
Local area horsemen say that if the Drummond recommendations are approved, they are greatly concerned about the potential fallout. Since the industry is very family-based, with many businesses spanning generations, the local equine economy is at risk, they say.
According to the Value4Money website published by the Ontario Horse Racing Industry Association, an estimated 60,000 Ontarians are employed in this agricultural sector.
Within the Quinte region, there are an estimated 25 independent breeding and/or training operations for both thoroughbred and standardbred racehorses.
Dan Gassien is a local third generation horseman who bases his training operation out of Stirling.
Gassien, who dropped out of high school at age 15 to join in the family business of breeding, raising and training standardbred racehorses, said he is unsure of his future if cuts to the industry proposed in the budget is passed.
“I don’t have any other education or training in any other trade, like many of the people in the business,” Gassien said, “I don’t know what anyone is going to do.”
Forty-seven-year-old Gassien trailers his horses to Kawartha Downs for each race from his Stirling farm, between one to three times per week.
Originally, Gassien moved to Belleville from Lindsay, because of the proposed track construction on rezoned Bell Boulevard land.
Now, however, he said he is forced to transport his horses to other tracks to compete, dbecause of the continual stalling of development.
With the Drummond Report recommendations, Gassien feels it is likely the track will never be brought back to Belleville, and that smaller tracks like Kawartha Downs are likely to suffer exponentially.
“It is liable to wipe me right out. The quality of horses that will be left over are going to have to be of such a high calibre that your average current trainer is just not going to be able to compete,” he said, also noting that it is the small-time trainers like himself who make up the body of the industry.
Many horsemen note that it won’t just be them affected by a depleted racing industry. Other industries, including additional subsets of agriculture such as hay farmers, blacksmiths and veterinarians as well as industries such as the automotive, insurance and entertainment industries will suffer horesmen say.
The Progressive Conservative government, under Mike Harris, introduced a no-tax bill in 1998 on the horse racing industry to grow the sport.
In the late 1990s, the OLG entered into a two per cent profit-sharing agreement with the racetracks in order to increase race purses and assist horsemen.
Now, with this profit-sharing agreement at risk and the livelihood of many on the chopping block, local politicians and MPP’s are working to protect their constituents.
Northumberland-Quinte West MPP Rob Milligan is one of the Ontario politicians looking to come to bat for the horse racing industry.
“This politics of urban and rural divide, we have to overcome that,” said Milligan.
“It is just about educating all parties on the industry itself, and how it benefits not just rural Ontario, but urban Ontario as well.”