TEXAS COMMISSION GRANTS THREE NEW RACETRACK LICENSES

March 21, 2007 – The Texas Racing Commission on Tuesday granted licenses for three new Class 2 tracks, including one on a conditional basis.

Two of the licenses are for tracks in Laredo, while the other is for a track in McAllen. Both cities sit on Texas’ southern border with Mexico and are about 100 miles apart.

Plans for the McAllen track, which would be owned in partnership by the LaMantia family of McAllen and managed by Retama Park, call for a seven-furlong oval and a stable area for 800 horses. The total cost of the project, which includes a 1,210-seat grandstand for racing, is estimated at $23 million.

The project has the support of McAllen mayor Richard Cortez, Hidalgo County Judge J.D. Salinas, and State Rep. Kino Flores. However, the granting of the license was opposed by Harlingen mayor Rick Rodriguez, who claims that business at the city’s Valley Race Park, a greyhound track, would be adversely affected by a competing track in McAllen. Harlingen is about 20 miles east of McAllen.

“We’re extremely disappointed in the racing commission’s decision in granting this license,” Rodriguez told the Brownsville Herald. “It will cost the city of Harlingen approximately 200-plus jobs and tourism money. If the (Harlingen) racetrack decides to close, it’s just going to have a very negative impact on the city. The (area) cannot support two tracks.

“I’m going to get together with the business community to see if we can challenge this decision or if there is a way to appeal it to see if there is a way for the commission to reconsider its decision,” he added.

The LaMantia family, which owns local Budweiser distributor L&F Distributors, and Retama Park were also granted one of the Laredo licenses. The other Laredo license was granted to Maxxam Inc., which owns and operates Sam Houston Race Park and Valley Race Park.

But Maxxam’s license is conditional, as Texas law prevents any person or company from owning more than five percent of more than two racetracks. The commission granted the license but with final approval not until May, and then only if Maxxam has sold one of its other racetrack properties, presumably Valley Race Park.