A bill (HB 2498) that would establish a newly formed Virginia Gaming Commission appears to have stalled in the Virginia’s General Assembly for the remainder of the session, having failed to clear the Finance and Appropriations Committee of the Virginia Senate.

The bill would have placed regulation of Virginia horse racing under the Virginia Gaming Commission, yet to be formed. The industry’s current regulator, the Virginia Racing Commission, would become merely advisory.

According to the General Assembly’s website, the last action on the bill was that it was “left in Appropriations.” Racing advocates confirmed that they believe the legislation to be dead for this session.

Virginia’s interest in creating the Virginia Gaming Commission evolved from the general expansion of gaming in the state, including casinos, sports betting and charitable gaming.  The addition of Historic Horse Racing (HHR) in 2018 was essential to the reopening of Colonial Downs a year later, making Virginia one of the few states in the nation that has increased racing days in thoroughbred and harness racing. 

The Virginia Racing Commission has a charge “to promote, sustain and grow a native industry in Virginia.” It was established in 1988 after Virginians passed a referendum in favor of pari-mutuel wagering, 42 years after the Virginia Thoroughbred Association began seeking its approval. 

The Virginia Racing Commission regulates an industry that is much more than merely a gambling game. Racing creates more jobs and has more economic impact outside of the gaming – via farms, farriers, feed lots, and the like — than in it, although wagering is a major revenue generator.

But HB 2498, sponsored by Delegate Paul Krizek (D-Alexandria), would have upended a model that racing advocates say works. The state Racing Commission’s functions would have been subsumed into the larger Gaming Commission, with the possible concomitant loss of expertise and focus on racing.

Another bill tabled this session was one to allow so-called “skill games,” which are essentially slot machines with a “skill” component. A similar bill in 2024 was vetoed by Gov. Glenn Youngkin (R), who had signaled earlier this year, he would have vetoed that initiative again. Virginia’s Joint Legislative Audit and Review Committee had previously estimated that skill games could have impacted HHR by as much as 40%. 

Such tabled bills could reappear in a special session, but racing advocates believe the Gaming Commission bill likely will not

“Virginia horse racing isn’t against oversight,” said Debbie Easter, Executive Director of the Virginia Thoroughbred Association. “We just want to make sure horse racing doesn’t go backwards or that we lower our position.  We look forward to working in the next year on something that will be good for everybody. This bill fails to have protections for racing in it, and we want to work with the patrons to get it right.”