Rosecroft Raceway
Encyclopedia
Rosecroft Raceway is a harness
horse racing
track located in Oxon Hill, Maryland
, in the United States
.
in the mid-20th century founded Rosecroft Raceway in 1947. It was the only known raceway to be owned by horse owners, horse trainers, and jockeys.
Rosecroft was originally the W.E. Miller Stables. It was located next to the Rosecroft Stock Farm, where horses were bred. For many years, Rosecroft Raceway held an annual sale of yearling
Standardbred horses bred in Maryland. It also hosted the annual Sire Stake Races to promote the best of Maryland-bred horses.
Rosecroft announced it would close on July 1, 2010. The track had had several owners in the past few years, had stopped hosting live harness racing, and then lost it license to broadcast thoroughbred races. Live racing ended in 2009, and the track relied on the simulcasts and revenue from off-track betting
. After losing $30 million in 2009, Cloverleaf Enterprises (the track's current owner) filed for Chapter 11
bankruptcy
in June 2009. Mark Vogel, one of Rosecroft Raceway's previous owners, loaned the track $350,000 to stay open. Vogel offered to buy the track, but a bankruptcy court judge refused to approve the plan. Rosecroft officials had hoped that the Maryland General Assembly
would approve legislation allowing table game
s and other types of casino
gambling at Rosecroft, but that did not occur. In early June 2010, Cloverleaf filed for Chapter 7
bankruptcy liquidation.
announced plans to buy the shuttered track for $10.25 million. Penn National said that it plans to return live racing and simulcast wagering to the track, with the intent of also pushing for changes in Maryland gaming laws that would allow slots and table games.
On July 28, 2011, the Maryland Racing Commission unanimously agreed to allow Rosecroft's owner, Penn National Gaming, to secure a $1.4 million line of credit to cover operating losses at Rosecroft for fiscal years 2011 and 2012. Historically, the racing commission would not allow a racetrack to open unless the owners showed they had the financial resources to do so for at least two years. Penn National said it was likely to incur $2.3 million in losses through 2013. Because of Rosecroft's financial difficulties, the commission went further and asked Penn National to create a cash escrow
account before opening the track. Penn National refused, but when Maryland horse breeders put pressure on the agency the racing commission agreed to allow Penn National to secure a line of credit instead.
Penn National said it was also hoping to convince the state to allow slot machine
s at the track, even though voters did not approve Prince George's County as a gambling location. Revenues from slot machines could generate $4 million a year by 2013, which could be used to fund racing purses. The company anticipated that live harness racing would resume in October, with 20 days of racing in 2011 and 54 days in 2012. Penn National made $500,000 in improvements at the track since February 2011, and planned another $1 million more over the next year.
Rosecroft Raceyway also hoped to begin simulcasting races in late August 2011. However, disputes between tracks and simulcasters about revenues led to a two-year delay in reaching new agreements on broadcast rights. In the spring of 2011, the Maryland legislature passed a bill that required all parties to enter into mediation. If mediation was not successful by October 1, 2011, then an arbitrator was required to step in. To resolve a conflict of interest, Penn National sold its financial stake in the Maryland Jockey Club’s in late spring 2011. If Rosecroft is able to simulcast other track's races, it would be eligible to receive $1.2 million in gambling revenues from the state in 2012.
In early August 2011, Rosecroft made public its plans for adding a a casino at Rosecroft. It proposed demolishing its existing grandstand and building a casino (capable of housing about 4,700 slot machines) alongside the track. Penn National said the casino would generated $500 million in revenue, with about half that going to the state and half of one percent going to the county.
An agreement on simulcasting of races was reached in mid-August, allow Rosecroft to reopen on August 25, 2011. Still outstanding was how much money Penn National owed to Maryland horse owners and breeders. Rosecroft owed $1.24 million in unpaid disbursements under its previous simulcast license, and the parties were negotiating about how much of this debt Penn National would pay. Rosecroft drew 400 to 500 patrons on its opening day, and said it would be open from noon to midnight every day of the week. Penn National also reiterated its intent to spend $1 million in the coming year to renovate the property, which would include razing old horse barns, putting a new roof on the betting parlors, and upgrading the HVAC
system.
Harness racing
Harness racing is a form of horse racing in which the horses race at a specific gait . They usually pull a two-wheeled cart called a sulky, although racing under saddle is also conducted in Europe.-Breeds:...
horse racing
Horse racing
Horse racing is an equestrian sport that has a long history. Archaeological records indicate that horse racing occurred in ancient Babylon, Syria, and Egypt. Both chariot and mounted horse racing were events in the ancient Greek Olympics by 648 BC...
track located in Oxon Hill, Maryland
Oxon Hill, Maryland
Oxon Hill is part of the Oxon Hill-Glassmanor census-designated place in southern Prince George's County, Maryland, United States. Oxon Hill is a suburb of Washington, DC located southeast of the downtown district and east of Alexandria, Virginia...
, in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
.
History
William E. Miller, a noted harness racer and horse breederHorse breeding
Horse breeding is reproduction in horses, and particularly the human-directed process of selective breeding of animals, particularly purebred horses of a given breed. Planned matings can be used to produce specifically desired characteristics in domesticated horses...
in the mid-20th century founded Rosecroft Raceway in 1947. It was the only known raceway to be owned by horse owners, horse trainers, and jockeys.
Rosecroft was originally the W.E. Miller Stables. It was located next to the Rosecroft Stock Farm, where horses were bred. For many years, Rosecroft Raceway held an annual sale of yearling
Yearling (horse)
A yearling is a young horse of either sex that is between one and two years old. Yearlings are comparable in development to a very early adolescent, they are not fully mature physically, and while they may be in the earliest stages of sexual maturity, they are considered too young to be breeding...
Standardbred horses bred in Maryland. It also hosted the annual Sire Stake Races to promote the best of Maryland-bred horses.
Rosecroft announced it would close on July 1, 2010. The track had had several owners in the past few years, had stopped hosting live harness racing, and then lost it license to broadcast thoroughbred races. Live racing ended in 2009, and the track relied on the simulcasts and revenue from off-track betting
Off-track betting
Off-track betting refers to sanctioned gambling on horse racing outside a race track.-US history:...
. After losing $30 million in 2009, Cloverleaf Enterprises (the track's current owner) filed for Chapter 11
Chapter 11, Title 11, United States Code
Chapter 11 is a chapter of the United States Bankruptcy Code, which permits reorganization under the bankruptcy laws of the United States. Chapter 11 bankruptcy is available to every business, whether organized as a corporation or sole proprietorship, and to individuals, although it is most...
bankruptcy
Bankruptcy
Bankruptcy is a legal status of an insolvent person or an organisation, that is, one that cannot repay the debts owed to creditors. In most jurisdictions bankruptcy is imposed by a court order, often initiated by the debtor....
in June 2009. Mark Vogel, one of Rosecroft Raceway's previous owners, loaned the track $350,000 to stay open. Vogel offered to buy the track, but a bankruptcy court judge refused to approve the plan. Rosecroft officials had hoped that the Maryland General Assembly
Maryland General Assembly
The Maryland General Assembly is the state legislature of the U.S. state of Maryland. It is a bicameral body. The upper chamber, the Maryland State Senate, has 47 representatives and the lower chamber, the Maryland House of Delegates, has 141 representatives...
would approve legislation allowing table game
Table game
In casinos, the term table game is used to distinguish games such as blackjack, craps, roulette and baccarat that are played on a table and operated by one or more live dealers like a croupier or poker dealer, as opposed to a games played on a mechanical device like a video slot machine...
s and other types of casino
Casino
In modern English, a casino is a facility which houses and accommodates certain types of gambling activities. Casinos are most commonly built near or combined with hotels, restaurants, retail shopping, cruise ships or other tourist attractions...
gambling at Rosecroft, but that did not occur. In early June 2010, Cloverleaf filed for Chapter 7
Chapter 7, Title 11, United States Code
Chapter 7 of the Title 11 of the United States Code governs the process of liquidation under the bankruptcy laws of the United States...
bankruptcy liquidation.
Reopening
On January 28, 2011, Penn National GamingPenn National Gaming
Penn National Gaming, Inc. is a diversified owner and operator of casino properties, as well as horse racetracks and associated off-track betting facilities primarily in the United States...
announced plans to buy the shuttered track for $10.25 million. Penn National said that it plans to return live racing and simulcast wagering to the track, with the intent of also pushing for changes in Maryland gaming laws that would allow slots and table games.
On July 28, 2011, the Maryland Racing Commission unanimously agreed to allow Rosecroft's owner, Penn National Gaming, to secure a $1.4 million line of credit to cover operating losses at Rosecroft for fiscal years 2011 and 2012. Historically, the racing commission would not allow a racetrack to open unless the owners showed they had the financial resources to do so for at least two years. Penn National said it was likely to incur $2.3 million in losses through 2013. Because of Rosecroft's financial difficulties, the commission went further and asked Penn National to create a cash escrow
Escrow
An escrow is:* an arrangement made under contractual provisions between transacting parties, whereby an independent trusted third party receives and disburses money and/or documents for the transacting parties, with the timing of such disbursement by the third party dependent on the fulfillment of...
account before opening the track. Penn National refused, but when Maryland horse breeders put pressure on the agency the racing commission agreed to allow Penn National to secure a line of credit instead.
Penn National said it was also hoping to convince the state to allow slot machine
Slot machine
A slot machine , informally fruit machine , the slots , poker machine or "pokies" or simply slot is a casino gambling machine with three or more reels which spin when a button is pushed...
s at the track, even though voters did not approve Prince George's County as a gambling location. Revenues from slot machines could generate $4 million a year by 2013, which could be used to fund racing purses. The company anticipated that live harness racing would resume in October, with 20 days of racing in 2011 and 54 days in 2012. Penn National made $500,000 in improvements at the track since February 2011, and planned another $1 million more over the next year.
Rosecroft Raceyway also hoped to begin simulcasting races in late August 2011. However, disputes between tracks and simulcasters about revenues led to a two-year delay in reaching new agreements on broadcast rights. In the spring of 2011, the Maryland legislature passed a bill that required all parties to enter into mediation. If mediation was not successful by October 1, 2011, then an arbitrator was required to step in. To resolve a conflict of interest, Penn National sold its financial stake in the Maryland Jockey Club’s in late spring 2011. If Rosecroft is able to simulcast other track's races, it would be eligible to receive $1.2 million in gambling revenues from the state in 2012.
In early August 2011, Rosecroft made public its plans for adding a a casino at Rosecroft. It proposed demolishing its existing grandstand and building a casino (capable of housing about 4,700 slot machines) alongside the track. Penn National said the casino would generated $500 million in revenue, with about half that going to the state and half of one percent going to the county.
An agreement on simulcasting of races was reached in mid-August, allow Rosecroft to reopen on August 25, 2011. Still outstanding was how much money Penn National owed to Maryland horse owners and breeders. Rosecroft owed $1.24 million in unpaid disbursements under its previous simulcast license, and the parties were negotiating about how much of this debt Penn National would pay. Rosecroft drew 400 to 500 patrons on its opening day, and said it would be open from noon to midnight every day of the week. Penn National also reiterated its intent to spend $1 million in the coming year to renovate the property, which would include razing old horse barns, putting a new roof on the betting parlors, and upgrading the HVAC
HVAC
HVAC refers to technology of indoor or automotive environmental comfort. HVAC system design is a major subdiscipline of mechanical engineering, based on the principles of thermodynamics, fluid mechanics, and heat transfer...
system.