Minnesota Lawyer
Canterbury president and CEO Randy Sampson (right). AP Photo / Star Tribune: Glen Stubbe
The Minnesota Racing Commission has given its stamp of approval to a historic deal cut between horse racing track Canterbury Park and the Shakopee Mdewakanton Sioux Community that will fatten purses and upend the gambling debate at the Capitol.
Under the terms of the deal, Canterbury Park will end its long pursuit of slot machines at the track — better known as a “racino” — in exchange for $75 million from the Shakopee tribe over 10 years to fatten its purses. The tribe runs Mystic Lake casino. The agreement also includes an extra $8.5 million from the tribe for joint marketing efforts. The commission approved the deal on a 5-3 vote on Wednesday after testimony from advocates and opponents.
The deal will also require Canterbury to team up with the tribe to block any metro-area expansion of gambling, including racino, which the track avidly sought for more than a decade. Canterbury CEO Randy Sampson told the commission Wednesday that the track has spent $1.5 million on lobbing for racino since 2009.
The terms of the agreement pose significant risks for Canterbury if racino passes. Either side can terminate the agreement at any time if a racino or any other metro-area expanded gambling proposal passes the Legislature and is signed into law. In addition, Canterbury would have to pay penalties to the tribe if expanded gambling passes.
John Derus, a spokesman for the state’s other racetrack, Running Aces Harness Park, was on hand to testify against the move. The track was cut out of the deal between Canterbury and the tribe, and Derus says they have no intention of dropping their push at the Capitol to install a racino at their track. Running Aces asked the commission delay a decision on the deal.
Officials from Anoka County, where the Running Aces track is located, also testified against the deal. Minnesota horse breeders attended in support, saying the extra money from the tribe will give a shot of life to the ailing horse industry in the state.
