Churchill Downs argued that banning those machines would nearly halve its revenue in Louisiana, which would make it unprofitable and unable to subsidize horse racing in the form of purses. It originally asked for a public subsidy of around $20 million but reduced that considerably in later negotiations.
The company didn’t get any support from Landry’s administration or from state and local legislators.
On the contrary, the New Orleans City Council and the state quickly passed measures to ensure that zoning restrictions and a historical designation would make it difficult for Churchill Downs to abandon horse racing and try and sell or redevelop the 145-acre Fair Grounds site.
Also, Saints and Pelicans owner Gayle Benson had made it known that she would be interested in buying Fair Grounds if it came on the market in order to preserve its historic place in the annual American horse racing calendar.