Economic Development and Sports, Part 3 (Gambling, Continued)

Todd McInturf / The Detroit News. Eric Goodell drives Pokemon to a win Tuesday at Hazel Park, which spent more than $30 million on grandstand upgrades over the past two years.

Today's Detroit News reports, in "Northville Downs appeals Romulus track license: Harness racing facility says competition would force it to close; Hazel Park could also take hit", that "Northville Downs argues a third in Metro Detroit will oversaturate the market and force the 61-year-old track to close. The Downs is among Northville's top 10 sources of tax revenue, generating more than $500,000 for the city last year." Apparently, the Detroit Race Course, closed a few years ago.

Big Money

"The cities of Northville and Hazel Park reap cash from the tracks in their communities through a combination of property taxes and a percentage of winning payouts. The Hazel Park track generated about $600,000 for the city in 2004, down from about $900,000 in 1999. In the 1950s, revenue from the track made up about 50 percent of the city's budget; now its contributions amount to less than 5 percent of the city's $11.5 million annual budget, said City Manager Ed Klobutcher. Still, 'this is a huge part of our city's economy. Without its continued viability, the viability of Hazel Park is threatened,' Klobutcher said.

Gary Word, city manager of Northville, is keeping a watchful eye on Magna's racetrack plans. The city received $534,406 in revenue from the track in 2004, down from $684,195 in 2000."