BC Tax Exemption on Call for Special Session

Breeders' Cup tax exemptions are on the agenda for Kentucky's special session.

An economic incentives package that will be part of a special legislative session in Kentucky includes a provision to attract future editions of the Breeders’ Cup World Championships.

Gov. Steve Beshear made the announcement June 5, a day after he added aid for the horse racing and breeding industry to the call for the special session that begins June 15. Beshear is drafting legislation to authorize video lottery terminals at the state’s racetracks.

The economic incentives legislation includes “updating the state’s antiquated economics incentive tool box,” offering tax credits to small businesses, and finding a way to attract a NASCAR race to Kentucky Speedway. The racing-related provision calls for “expanding a tax exemption already in place to improve the state’s chances of hosting future” Breeders’ Cup events.

Churchill Downs will host the 2010 Breeders’ Cup, a two-day event. Breeders’ Cup officials have expressed interest having the event at Churchill more often.

Legislation that awarded the tax breaks should the Breeders’ Cup be held in Kentucky every third year expires this year.

“In a time when every job is sacred and every economic investment a cause to celebrate, Kentucky must be aggressive in identifying and seizing every opportunity that presents itself,” Beshear said in a statement. “These are measures that, I believe, have deep and broad support in each chamber. It is time now to move them—quickly—through this process, which is exactly what a short and necessary special session is designed for.”