(The Center Square) – Louisiana lawmakers approved spending $3.2 million on horse-racing purses, breeder awards and racing operations using money that originated in one of the state’s primary savings accounts.
The Joint Legislative Committee on the Budget approved the allocation without objection on Thursday.
The money will come from the Strategic Investments Across Louisiana Fund, a one-time spending account created with an $82.8 million transfer from the Revenue Stabilization Trust Fund.
The Revenue Stabilization Trust Fund serves as a state savings account, accumulating certain excess and mineral-related revenues for future use. Once transferred into the Strategic Investments fund, however, the money became available for one-time, nonrecurring spending.
State budget officials requested $3.2 million from that fund for the Louisiana State Racing Commission because dedicated video-poker revenue intended to support horse racing will not be available before the racing season begins in August.
The Legislative Fiscal Office made no recommendation for or against using the money for that purpose.
“This is an allowable use of the money if you wish to do so,” Alan Boxberger, the Legislative Fiscal Officer, told lawmakers before the request was approved.
Most of the $3.2 million will go toward racing purses.
About $1.92 million will go to the Horsemen’s Bookkeeper for purses involving Louisiana-bred thoroughbreds, while $960,000 will go to the Louisiana Quarter Horse Breeders Association for quarter-horse purses.
Another $144,000 will go to the Louisiana Thoroughbred Breeders Association for breeder awards, and $72,000 will go to the Louisiana Quarter Horse Breeders Association for breeder awards.
The remaining money includes $64,000 for Racing Commission operations and $40,000 for the Louisiana Horsemen’s Benevolent and Protective Association.
The allocation means money initially held in state savings will be used to support horse racing before dedicated gambling revenue becomes available.
The Racing Commission already has a separate $2.2 million appropriation from the Video Draw Poker Device Purse Supplement Subfund that remained unspent at the time of the request. Additional video-poker revenue is also expected to flow into that fund after the state closes out the fiscal year and formally recognizes the money.
