This is stupid. What to we want, these punk kids to go to college so they can graduate and work at Mickey D's?
The money would do a lot more good being paid to rich horse owners and the undocumenteds on the back stretch.
Otherwise, they would be on welfare.
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Horseshoes or homeroom? Bill would shift $250 million from horse racing to school districts
40th Anniversary Penn National Race Course
Rep. Todd Stephens (R-Montgomery County) is proposing legislation that shift $250 million from the Horse Racing Development Fund to school districts that receive less than 35 percent of their funding from the state. CHRIS KNIGHT, The Patriot-News (CHRIS KNIGHT/The Patriot-News)
Print Jeff Frantz | jfrantz@pennlive.com By Jeff Frantz | jfrantz@pennlive.com
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on January 29, 2014 at 2:31 PM, updated January 29, 2014 at 3:06 PM
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Since money from slots started pumping up purses for horse racing in Pennsylvania, the owners who took home a payday have included a sheik, a prince from the Middle East, millionaires and billionaires.
Proposed legislation would take nearly all of the money from the state's Horse Racing Development Fund and redirect it to school districts that receive less than 35 percent of their funding from the state. Rep. Todd Stephens (R-Montgomery County) said his bill would provide relief for local property taxpayers and address the imbalance in the state's school funding formula.
Stephens' bill would shift $250 million from the development fund to school districts receiving less than average state funding.
"The bottom line is only people with means can get into horse racing and they're the ones winning these purses," Todd said. "Right now, we have to prioritize our spending. We have a constitutional obligation to our children -- frankly I think we have a moral obligation to our children as well -- to provide them with a thorough and efficient school system and …. we are not doing that."
Many of the school districts that would benefit are in counties that have grown since 1991, when the state froze the school funding formula. Most of the districts in the midstate would benefit. In Adams County three of six districts would receive extra funding; six of eight Cumberland County districts, five of 10 Dauphin County districts, four of six Lebanon County districts, 13 of 16 Lancaster County districts, 15 of 16 York County districts.
What Stephens sees as a potential windfall for school and local taxpayers, the horse industry sees as a death sentence.
"It's gone," said Todd Mostoller, Executive Director of the state Horseman's Benevolent & Protective Association. "(If it passes) there is no industry in Pennsylvania."
Horse racing has a $4 billion economic impact in Pennsylvania, Mosteller said. It has grown -- back by money from slots machines -- even through the recession. A lot of those are agricultural jobs.
At the news conference announcing the bill, Stephens read from an article in a trade magazine quoting a New Freedom owner criticizing how the fund is currently structured, since some of the winning horses come from out of state. Mostoller called than an opinion, contradicted by reports on the industry.
While a large percentage of the development fund does go to purses, Mosteller said it also pays for healthcare coverage and incentives breeders to work in Pennsylvania.
"I'd hate to see people who invested hundreds of millions of dollars then to have the rug pulled out from under them," Mostoller said.
Stephens bill wouldn't eliminate the development fund, but it would practically end its impact on horse racing. Under the bill, any slots money for the fund after $250 million would go to the racing industry, but that would be a few million, at best.
The most the fund ever received in one year was $263 million. Slots revenue in the state declined for the first time this year, and the experience of other states suggests Pennsylvania won't see another spike. Stephens estimated the fund will have about $245 million this fiscal year, which wouldn't meet his stated goal for funding schools.
Since slots were legalized in 2006, the legislature has dipped into the development fund to pay for a variety of things.
Stephens and other representatives who spoke Monday seemed to think they'd have the public on their side.
"When faced with policy decisions, I'll choose my constituents over gaming revenue or the horsemen any day of the week," said Rep. Seth Grove, R-Dover.
Stephens said he sent the legislation to Gov. Tom Corbett's budget office this week, but has not yet heard back. Corbett will deliver his budget address Tuesday.
Stephens introduces his bill at a time when other measures before the legislature would address property taxes and the state's school funding formula. When asked if this means those initiatives won't receive enough support to pass, Stephens replied that his bill wouldn't impede either property tax reform or a proposed school funding study.
"This is a more immediate way to address some of these issues," Stephens said. "I want to make it clear, this is not a solution to the whole problem. This is just a step towards a solution. There's still a lot of other work that needs to be done."
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settmoney16 minutes ago
The Godfather of Pennsylvania’s Horse Racing Industry-former ranking PA State Senator John J. Shumaker (R-Grantville) served from 1983 to 1995. He probably turned over in his grave after learning of shifting $250 million from horse racing to school districts
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hgunwilltravel012 hours ago
I am totally against throwing more money at an entity that has a proven track record of waste, greed, and incompetence. The unions must be really powerful to have so many entitles wanting to throw more money down this part-time rat hole.
WHAT ABOUT TAX RELIEF FOR THE HOMEOWNERS?
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offtherails11 hours ago
No tax relief, just golden parachutes for the fat cats. Bye Bye middle class.
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hgunwilltravel011 hours ago
Sad but true!
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rosepetals8115 hours ago
NO NO absolutely NO. NO more money thrown at school districts without mandatory consolidation of school districts. This 500 thiefdoms with 500 Superintendents of schools at $175,000/yr and the ancillary vice principals MUST end. There is no way this $250MM will go to property tax relief. No one want to admit the over boated administrative costs and the unholy pensions going to non educators. No one want to admit that schools will squander this on stadiums or pretty improvements. Want real change? DEMAND consolidation, go to a political function and hammer them on this issue, it is at the root of the pension crisis.
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offtherails15 hours ago
Maybe the politicians will make a bill to bet/gamble on high school sports the profits from that could go to property tax relief. I have some ideas I just need the traction.lol. Sorry readers, I'm just sick of taxpayer waste so I have to make light of it.
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hgunwilltravel011 hours ago
Great post rosepetals81! We need more citizens to stand up for change.
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offtherails16 hours ago
I thought legal gambling was to go to property tax relief not to teachers unions? Sorry old folks get ready to lose everything you ever worked for. You can thank the polititions.
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hgunwilltravel011 hours ago
This damnable tyranny must end!
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settmoney16 hours ago
This is most ludicrous budget proposal I have ever heard of in my adult life. The racing industry will fold-up inside of one year. They depend on the money generated at the tables to support the horsemen, farmers, feed mills, and everything and anything that operates in conjunction with the horse racing industry.
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yadayada16 hours ago
"the racing industry will fold-up inside of one year"........... good. It's dirty anyway. (have we not read the recent events out there? Only 4 were arrested, but there are plenty more!)
And the casino will still be there making money for the state. The horsemen constantly cry poverty, but their own mis-use of their funds is not our problem. Not to mention, while they cry poverty, they aren't paying taxes like the rest of us because they use their "creative bookkeeping" to fall below the povery level.
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Dakota Swartz3 hours ago
with a statement like this in defense "I'd hate to see people who invested hundreds of millions of dollars then to have the rug pulled out from under them,"
good maybe they should be putting their monies elsewhere !
poor investments for you are not the taxpayers problems !
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