'Hawthorne Casino is Coming,' Says Track Executive

It's been more than three years since Illinois Gov. J. B. Pritzker's signature authorized racinos at Illinois tracks and more than two years since the Illinois Gaming Board gave its conditional go-ahead for the construction of the gaming facilities. Yet, as the summer of 2022 turned to autumn Sept. 22, the Illinois Racing Board was wondering, with some concern: Where are the racinos that were supposed to be pumping big bucks into the purse accounts at Hawthorne Race Course and FanDuel Sportsbook and Horse Racing, the former Fairmount Park? Not only are there no racinos, but there's not even construction activity at either track. Horsemen were getting nervous that their hopes were about to be dashed, yet again, in the long-running saga that started with the decision in 2020 by Churchill Downs Inc. not to apply for a gaming license at its former Arlington International Racecourse—and later to close that track. After months of silence, Hawthorne president Tim Carey finally provided some answers, and a strong message of hope for the future, at the Illinois Racing Board's first open meeting at its new downtown Chicago headquarters. "Hawthorne Casino is coming," Carey said, "and it's going to transform Illinois horse racing for generations. That is my promise to our employees, our partners, and this entire industry." He acknowledged that delays have led to frustration within the industry. Noting his family's fourth generation of Hawthorne ownership now is "essentially a 130-year-old startup business," Carey added, "For anyone who is not part of this daily process, the necessary accomplishments that we have made are not seen, and so I understand how hope can give way to frustration." The holdup, he said, has been the laborious process of gaining ongoing approvals, beyond the July 2022 finding of "preliminary suitability," from the Illinois Gaming Board—a body that prizes integrity far above speed of operation. But Carey said the end appears in sight. "Upon approval, we expect to be in a position to begin construction later this year," he said, with a timeline calling for 14 months between the first hammered nail and the first spinning roulette wheel. That would have casino operations going in early 2024. While waiting for the regulatory go-ahead, Carey said, Hawthorne has been making all possible progress behind the scenes, including reaching agreement in principle with 29 unions on contracts that will create 1,200 construction jobs resulting in "the first unionized casino in Illinois." "And, of course, all of this development will happen while we are racing," Carey added. "No one wants this more than us," he said, adding after a slight pause, "Except for the horsemen." Plans and commitment remain much less firm at FanDuel Sportsbook and Horse Racing, located in Collinsville, Ill., across the Mississippi River from St. Louis. Melissa Helton, president and general manager, said while the track's owner has stabilized operations during the past few years and instituted the $250,000 St. Louis Derby Presented by FanDuel Sportsbook, currently Illinois' richest race, there is as yet no written timeline for development of a casino or improvements to the track. Helton said architects and city officials have been working on plans but acknowledged she has no formal approval for the project, sparking concern by commissioners. "Where is ownership today?" commissioner Leslye Sandberg asked. "Why aren't they here to address these issues? Come on, let's get something a little more concrete." The IRB then modified its dates order for 2023 to make Fairmount's April 18-Sept. 18 dates conditional on something more concrete. "On or before March 1, 2023, Fairmount Park shall provide the Illinois Racing Board with a detailed infrastructure improvement plan that has been signed off on by ownership, including a timeline of when projects will be completed," the order said. Dave McCaffrey, executive director of the Illinois Thoroughbred Horsemen's Association, said actual construction of the racinos would provide a shot of enthusiasm for owners and trainers. "It's a little tough right now to go to an owner said say buy horses with the lack of certainty surrounding everything," he said. "There's a lot of mystery. But if you see progress being made, and that progress is going on, and it's visible, it will mean a lot." IRB chairman Daniel Beiser noted the Illinois racing community is counting on racino proceeds to help put the reeling racing industry in Illinois back on a competitive footing with surrounding states. "The long-term future of Illinois racing depends on a racino at both locations," he said.