Proposal advances to place fixed odds on horse racing bets at casinos

A Louisiana legislative committee advanced a proposal Monday that would allow the state’s casinos to take fixed-odds bets on horse racing, bringing those wagers in line with most other bets at sportsbooks.  

There was no opposition to House Bill 564, sponsored by House Speaker Clay Schexnayder, R-Gonzales, when brought up before the House Commerce Committee. The legislation would let casinos depart from the pari-mutuel form of wagering that’s standard at racetracks. 

For example, a bet placed with 5-to-1 fixed odds pays off at that rate no matter what subsequent bets are made on a race. Pari-mutuel bettors compete against one another, in a sense, and can impact odds as more money is bet on a horse. 

Pari-mutuel wagers are pooled and split evenly among winning bettors. Because final odds can’t be calculated until betting is closed, the odds can change between when a bet is placed and the payoff is determined.

Ed Fenasci, executive director of the Louisiana Horsemen’s Benevolent and Protective Association, appeared before the House Commerce Committee in support of Schexnayder’s bill. In an interview, he said the proposal would open up horse racing to a growing segment of gamblers. 

To entice the sportsbooks to participate, the proposal lowers the share of fixed-odds profits casinos forward to the state’s licensed racing association from 25% to 15%. Fenasci told the committee the 25% rate wouldn’t be feasible for casinos to turn a profit.      

— The Louisiana Illuminator is an independent, nonprofit, nonpartisan news organization driven by its mission to cast light on how decisions are made in Baton Rouge and how they affect the lives of everyday Louisianians, particularly those who are poor or otherwise marginalized.