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Wonderland seeks to revive simulcasts

A Suffolk Downs venue is sought

Wonderland Greyhound Park has sat idle since it was closed in August. Above is a view from the track’s old clubhouse. Wonderland Greyhound Park has sat idle since it was closed in August. Above is a view from the track’s old clubhouse. (Jonathan Wiggs/Globe Staff/File 2010)
By Matt Murphy
State House News Service / November 11, 2010

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Wonderland Greyhound Park, closed in August after the Legislature failed to approve casino gambling, is seeking to revive its simulcasting operations at Suffolk Downs in an effort to pay off debt.

The Revere track, which laid off all 85 employees when it closed, still holds a license for off-track simulcast betting on dog races through July 31.

Yesterday, the State Racing Commission tabled the venue-transfer request from the track’s owners, with commissioners requesting additional information.

The plan, in addition to giving Wonderland’s owners a way to pay their bills, would reintroduce off-track betting on dog races to the Greater Boston market.

“As you know, Wonderland Greyhound Park was recently forced to suspend its simulcasting operations due to drastic economic conditions in the industry which made it increasingly difficult for Wonderland to remain competitive,’’ Richard Dalton, chief executive of Wonderland, wrote to the Racing Commission.

“This suspension has caused many hardships, most notably to the many longtime members of the Wonderland family whose jobs were lost as a result.’’

After 75 years of continuous operation, Wonderland suffered twin blows recently: the failure of efforts to expand gambling in Massachusetts and a voter-approved ban on greyhound racing that went into effect in January 2009.

Wonderland and Suffolk Downs, a thoroughbred racetrack in East Boston, had expressed interest in a joint casino venture. The Legislature and Governor Deval Patrick did not agree on legislation to authorize casinos, however.

Dalton, in a letter dated Sept. 7, proposed relocating Wonderland’s simulcasting operation to satisfy “its obligations to other racing meeting licensees and industry vendors’’ and to meet “existing public demand’’ for greyhound simulcasts in Greater Boston.

The three-member Racing Commission delayed consideration of Wonderland’s proposal but opted to give the track’s owners additional time to produce a full accounting of how much Wonderland owes and to make revenue estimates for simulcasting at Suffolk Downs.

The commission plans to deliberate on Wonderland’s proposal at its next meeting, scheduled for Dec. 1.

Under the plan, Wonderland would operate as a separate entity at Suffolk Downs, retaining all revenue from off-track dog betting. Suffolk Downs would be paid an administrative fee for hosting.

“We would be amenable to discussing with you specific measures to ensure that proceeds from wagers on these simulcasts are set aside to settle debts,’’ Dalton wrote.

Commissioner Terry Segal, however, raised concerns that the Racing Commission is being asked to take action beyond regulating the racing industry, and helping Wonderland to settle its debts. “I don’t think we should be a collection agency,’’ Segal said.

Segal said he was “strongly considering’’ making a motion at the next hearing that would require Wonderland to put up a $300,000 refundable letter of credit as a condition of approval of the change in venue.

“I don’t think all these clients should have to wait for the next 10 years for some simulcast to pay them off,’’ Segal said.

Wonderland’s precise debt load was unclear yesterday, but a Racing Commission document estimated the track owes Plainridge Racecourse in Plainville more than $35,000 in fees unpaid since September 2009 for the right to simulcast races from that track.

Wonderland was barred from simulcasting races from Plainridge in July for failure to pay.

Chip Tuttle, Suffolk Downs’s chief operating officer, said he supports Wonderland’s plan, which would bring simulcast dog racing to Suffolk Downs for the first time since 2009.

Suffolk Downs held a license from 2006 to 2009 to simulcast dog races at Raynham-Taunton Greyhound Park and Lincoln Park in Rhode Island.

“There’s still some interest in this product; we just don’t know how much,’’ Tuttle said.

Suffolk Downs holds an option to purchase Wonderland Greyhound Park through July 1. Tuttle said he plans to move forward with a purchase, regardless of whether casino and slot-machine gambling are authorized by the Legislature next year.

Asked whether a merger could be jeopardized if Wonderland is not able to retire its debt, Tuttle said that is unlikely.

“I think we’ve got a solid agreement with Wonderland that we can work with,’’ he said.

Tuttle added that Wonderland owes money to Suffolk Downs’s purse fund, which is used to pay horsemen at the track.