by Greg Forde

The complete shutdown of live racing in Michigan was averted today after the state Senate voted 28-6 to re-establish the Office of Racing Commissioner within the Department of Agriculture one day before funding ran out, which would have forced a layoff of 25 staffers. The House had approved a similar measure on October 28.

Last month, Gov. Jennifer Granholm, by executive order, abolished the Office of Racing Commissioner and moved racing oversight to the Michigan Gaming Control Board, effective January 10, 2010. Michigan’s fiscal year ends October 31, and as part of the budget process, Granholm used a line item veto to eliminate funding for Office of Racing Commissioner operations as well as the position of racing commissioner, effectively closing the office on November 6.
 
The legislation passed today does not restore the racing commissioner position, but it does provide $1.8-million in supplemental funding for Office of Racing Commissioner operations and places racing oversight back in the Department of Agriculture. Granholm is expected to sign the bill this week.

State Rep. John Espinoza, who sponsored the legislation on the House of Representatives side, said the legislation moved easily through both chambers because the money is not coming from the state’s general fund but rather from a restricted fund called the Agriculture Equine Industry Development Fund. 

“This is money that was generated by the industry itself and can only be used by the industry,” Espinoza said. “Once we were aware of the situation and the tight deadline, we were able to move pretty quickly. Jobs were at stake here.”

Greg Forde is a Michigan-based Thoroughbred Times correspondent