Churchill Downs Inc. (CDI) has indicated it may surrender its Fair Grounds racing license, citing financial challenges exacerbated by the removal of lucrative historic horse racing (HHR) machines from its off-track betting parlors. Despite lobbying efforts, CDI failed to secure legislative subsidies to offset losses from HHR restrictions, which were recently ruled by Louisiana’s Supreme Court to require voter approval in each parish. Nonetheless, CDI generated significant revenue last year—around $1 billion—from the Fair Grounds’ racing meet, casino, OTB parlors, and related events like the New Orleans Jazz & Heritage Festival. Critics argue CDI has underinvested in mandated track improvements and appears focused on shifting profits back to its Louisville base.
The Fair Grounds holds deep cultural and historical significance in New Orleans, supporting a diverse equine industry that includes small local owners and prominent trainers nationwide. While CDI warns that closure could harm jobs and the state’s horse racing economy, permanent shutdown is unlikely given the track’s legacy and importance. The article suggests the Fair Grounds needs new ownership committed to preserving its heritage and supporting the community, with hopes that a passionate investor like Gayle Benson might soon take over to sustain this iconic Louisiana institution.
