STATE-BY-STATE NEWS UPDATE Spring 2005:
The Racing States/First Quarter

ALABAMA
Bay Minette: Circuit Judge Robert Wilters Jan. 24 dismissed animal cruelty and conspiracy charges against three individuals allegedly involved in the Robert Rhodes greyhound-killing operation that made national headlines in 2002. Wilters also released a fourth co-conspirator, Clarence Ray Patterson, who had spent ten months in jail since he surrendered to authorities in 2004.

Following his arrest by Baldwin County District Attorney David Whetstone, Rhodes implicated four Florida kennel operators and trainers - John "Willie" Smith, Ursula O'Donnell, Paul Discolo Jr. and Patterson - who brought greyhounds to Rhodes's farm to be killed, according to investigators. Statements made by Rhodes were the heart of the prosecution's case, but Rhodes died unexpectedly in June 2003.

Lawyers for Smith, O'Donnell and Discolo filed motions to dismiss the charges against their clients in April 2004, arguing that it would be unfair to allow Rhodes's statements to be used against their clients because they would not have an opportunity to cross-examine him. Whetstone argued that Rhodes's statements should be allowed under an exception to Alabama's hearsay rule since Rhodes and the others participated in a continuing criminal conspiracy.

In early January, Wilters ruled in favor of the defense. In light of the judge's ruling, Whetstone said he would not have enough evidence to prosecute the defendants and requested the charges be dismissed.

[See GNN Summer 2002 online for details of the Rhodes killing-field case. - Ed.]
Source: Mobile Register: Brendan Kirby

FLORIDA
Bonita Springs: The Naples-Fort Myers Greyhound Track reopened its third floor in mid-January following completion of renovations that included an enlarged poker room with 24 tables.

Legislation allowing extended hours of operation and higher stakes at racetrack card rooms went into effect in August 2003. At the time, Harry Olsen, manager of the Daytona Beach dog track, said, "It's another revenue stream for a dying industry."

Source: The News Press: Dave Kempton

Melbourne: More than 100 people were lined up outside Melbourne Greyhound Park Jan. 17 awaiting the opening of the track's temporary 10-table poker room; 700 more poured in during the next 12 hours. "It's turned out to be overwhelming," said track general manager Patrick Biddix. A permanent 40-table room was scheduled to open in April after completion of a $3 million renovation of the facility's 16,000-square-foot second floor.

Melbourne recently switched from a six-month live racing season to a year-round schedule, which allows the track to offer poker year-round. Under current regulations, greyhound tracks must have a performance of at least eight races a day in order to have card rooms. Biddix said, "The greyhound crowd and the poker crowd are absolutely the same customers. I believe one will feed off the other."

Source: Florida Today: Donna Balancia

IOWA
Dubuque: A three-member arbitration panel settled a contentious contract dispute over purse supplements between Dubuque Greyhound Park and Casino and the Iowa Greyhound Association. The Dubuque Racing Association (DRA), the gambling facility's nonprofit license holder, accepted the compromise agreement Feb. 16. The new contract was hailed by greyhound owners and described as an "unfortunate situation" by a DRA board president Nick Schrup.

The agreement requires the racetrack casino operation to pay 8 percent of its post-tax casino revenue to supplement purses, which is the money paid to greyhound kennel operators. Based on DRA figures, the track will pay out $3.62 million in casino revenues to supplement purses and another $175,000 for stakes races, an increase of $859,000, or 31 percent, from last year's agreement.

"The word supplement starts to lose its dictionary definition to me when the supplement is nine times higher" than the pari-mutual payout, said Bruce Wentworth, general manager of the track. The casino operation posted $1.46 million in net income last fiscal year, but the greyhound racing side of the business posted a loss of $873,000.

Source: Telegraph Herald: M.D. Kittle

Waterloo: The Iowa Racing and Gaming Commission March 23 concluded two days of presentations from gaming companies and community leaders on ten proposed casino sites throughout Iowa, including three competing proposals in Waterloo.

The National Cattle Congress (NCC) and the Meskwaki Indian Tribe presented their $45 million development plan to reopen the defunct Waterloo Greyhound Park as a combined casino and dog-racing facility to be called Black Hawk County Greyhound Park and Casino. Waterloo native Lorenzo Creighton, president of the New York New York Hotel and Casino in Las Vegas, is spearheading the project. The NCC operated the dog track for ten years until bankruptcy forced its closure in 1996.

The Greater Cedar Valley Alliance, a countywide economic development organization, endorsed two of the three casino plans for the Waterloo-Cedar Valley area - the Isle of Capri Casino and the downtown Cedar Landing Hotel and Casino - but not the NCC-Meswaki proposal.

University of Northern Iowa President Robert Koob, who chairs the alliance board, said the endorsement was based on a study by Wells Gaming Research of Las Vegas, Nevada. The study concluded that compared to the NCC-Meswaki proposal, the Isle of Capri and Cedar Landing projects would provide more jobs, yield a higher tax return to the community and have a broader economic impact. The alliance hired the gaming research group to conduct a study on the economic impact of each of the three Waterloo proposals.

Gaming commissioners toured the ten proposed casino sites in seven cities in early April. The five-member commission is expected to decide May 11 whether to grant licenses to any or all of the ten applicants, but analysts agree that only one casino license will be given to Black Hawk County.

Sources: Waterloo-Cedar Falls Courier: Tim Jamison; Des Moines Register: William Petroski

MASSACHUSETTS
Boston: Dr. Paul F. Kippenberger, a high-profile veterinarian associated with the greyhound racing industry, lost his licenses to practice veterinary medicine in his clinics and at the state's two greyhound tracks. In its 39-page license revocation order issued April 15, the state veterinary board detailed Kippenberger's treatment of five dogs, none of them greyhounds, between 2002 and 2004, two of which died.

Anne Collins, executive director of the Division of Professional Licensure, which oversees the vet board, said Kippenberger's case was "the worst veterinary case we've ever seen. The board was clearly shocked with the level of negligent treatment."

Kippenberger, a board member of the National Greyhound Association, is also head of the Massachusetts chapter of the American Greyhound Council. As such, he wrote the opposition language that accompanied the 2000 ballot question to ban dog racing in the state. His argument against the measure stated: "Greyhound racing in Massachusetts has an excellent record. No violations of animal welfare regulations have been documented."

Kippenberger's license has been on probation since 1999 after the U.S. Drug Enforcement Agency fined him $15,000 for security and record-keeping violations involving steroids used on racing greyhounds.

Source: The Boston Globe: Raphael Lewis

WISCONSIN
Delavan: State Division of Gaming officials suspended the license of kennel operator John Jachimowski after greyhounds in his kennel at the Geneva Lakes Greyhound Track in Delavan were "found to have been neglected and in an unacceptable condition with feces in their crates, urine-soaked bedding and food pans left from the previous day." The dogs' care was taken over by the track.

A state council of stewards made the determination after an inspection in January. "They fined him $200 and then went back a few days later and were still unsatisfied with the conditions, so they fined him $2,000 and suspended him," said Scott Larrivee, a spokesman for the Department of Administration.

The 90-day license suspension began Feb. 5. Division of Gaming officials also recommended that Jachimowski's license be revoked. The license revocation, which is a lifetime ban, is pending before the gaming division, Larrivee said.

Sources: Wisconsin State Journal: George Hesselberg; Associated Press

Hudson: The U. S. Supreme Court Jan. 10 declined to hear an appeal by three Wisconsin tribes that challenged the governor's authority to block them from turning the defunct St. Croix Meadows dog track into an off-reservation casino. The decision lets stand an appeals court ruling that upheld the power of governors to approve off-reservation casinos under the federal Indian Gaming Regulatory Act (IGRA) of 1988.

Immediately after the Supreme Court's refusal to hear the appeal, Mark Goff, spokesman for track owner Fred Havenick, said the proposal is dead. One month later he said, "The partnership has not made a decision to abandon pursuing a casino on the site." Goff said it would be "premature to say what approach will be taken" regarding the site, but said Havenick remains steadfast that the land was developed as a track, which is a gaming business and should remain so.

Nancy Bieraugel, who organized community and business opposition to the casino proposal, said, "The community is even less compatible than it was before. Hudson doesn't have the infrastructure for a casino. But we've been battling this for more than ten years, and we'll do it all over again if we have to."

Sources: Pioneer Press: Kevin Harter; The Associated Press

Kenosha: Officials of the city, Kenosha County and Menominee Nation March 28 signed an agreement outlining how the Indian tribe would reimburse local governments for services and lost tax revenues if Dairyland Greyhound Park is placed into tribal trust for a proposed $808 million casino. The project requires the approval of the U.S. Bureau of Indian Affairs and Gov. Jim Doyle.

Tribal chairman Michael Chapman and casino developer Dennis Troha said they were pleased with the intergovernmental agreement and expressed optimism about the federal review process. "I think we are filing a quality land-in-trust application and a high-quality environmental impact statement," Troha said.

The proposed casino would have 3,100 slot machines, a 500-seat entertainment venue, and 50,000 square feet of retail space. The project's second phase includes a 400-room hotel, conference center and spa. The Menominee also would run the greyhound racetrack operation.

An economic impact study commissioned by Milwaukee-area business and community groups and the Forest Lake Potawatomi, who operate a casino in Tama, projected that the economic loss to the Milwaukee area could climb as high as $1 billion through the loss of 2,000 jobs if the proposed casino in nearby Kenosha is built.

Sources: Duluth News-Tribune:
Associated Press;
The Business Journal of Milwaukee: Erik Brooks