Posted: Wednesday, March 17, 2010 12:00 am

When a new owner took over the Wyoming Downs horse track in Evanston in 2006, he predicted an expansion of live racing there, plus at the state's off-track betting facilities.

Despite an initial bump in the days of live racing that first year -- from 14 to 19 days -- it hasn't worked out that way. Not by a long shot.

This year, Wyoming Downs does not plan to offer any live racing. It has only requested a permit for two roping days, which allows it to qualify for a simulcast permit. Since Wyoming decided to allow off-track betting in 1989, the OTB sites have subsidized the operation in Evanston by offering horse race simulcasts from tracks around the country, and then adding dog racing.

In the mid-1980s, when Wyoming Downs opened, Casper, Gillette, Rock Springs and Cheyenne also had live horse racing tracks. But the industry has been dying a slow death for decades for a variety of reasons, including more competition for entertainment dollars, the opening of casinos on the Wind River Indian Reservation, and periodic economic downturns (including the one Wyoming is in today).

Along the way, the only surviving track has made attempts to resuscitate its business by expanding what it offers at OTB locations in Evanston, Casper, Cheyenne and Rock Springs. For a short time "instant racing" machines were allowed, but in 2005 the Wyoming Supreme Court ruled they were just another form of slot machines, which are illegal in Wyoming. And while the business had been an ardent opponent of a state lottery, it changed its tune last year and supported a bill that would have allowed it to have virtual lottery terminals at its OTBs. The measure failed.

This year, a frustrated Wyoming Horse Council proposed closing a loophole in the state's pari-mutuel laws that allows Wyoming Downs to continue holding a license for the simulcast broadcasts without scheduling any live racing. Senate File 64, sponsored by Sen. John Schiffer, R-Gillette, easily passed. It gives the Wyoming Pari-Mutuel Commission authority to set the number of live horse racing or pari-mutuel event days to qualify for a simulcasting permit.

The commission must now adopt rules regarding those requirements before the law goes into effect Jan. 1, 2011. Charles Moore, the commission's executive director, said the state will work with Wyoming Downs and the horsesmen's group to craft regulations that are fair to all concerned.

Good luck with that. It's not going to be easy to please both groups, and it may be impossible.

While we understand the horsemen's desire for more live racing, and feel it would benefit Wyoming residents and visitors who enjoy the activity, the fact remains that it's a losing proposition for any track owner. Government shouldn't force anyone to lose money.

Eric Spector, owner of Wyoming Downs, estimated he loses $20,000 to $25,000 per day on every live day of racing at the track. He maintained that due to high overhead at the OTB sites, he can't recoup the losses through simulcasting if it's mandatory he run a few weeks of live racing.

"This concept of government or legislative control over this operation is the wrong approach," Spector said. "All it's going to do is put us out of business."

We don't think that was the Legislature's intent at all, but it's likely to happen. Lawmakers should closely watch the progress on rules made by the commission, and revisit the issue next year if necessary. Live horse racing may never make a full recovery in Wyoming, but that's no reason off-track betting facilities should now be placed in jeopardy.

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