NYRA approves admissions increase

Admission prices are going up this summer at the Saratoga Race Course.

The New York Racing Association board of directors passed a 2014 budget on Wednesday that includes increases to admission, boxes and parking at Saratoga. The move was part of an effort by NYRA CEO and President Chris Kay to move the racing organization's operations in the black for next year.

This year NYRA is projected to have an operations deficit of about $10 million, but next year they're projecting a slim surplus with the help of cost cutting measures and higher fees.

According to the budget summary, NYRA will generate new revenues from "new funding opportunities for customers with MoneyGram," its improved online wagering platforms, increased prices for admissions, box seats and parking, a more expensive simulcast signal and attract more sponsorship revenues. To reduce spending, the executive summary says NYRA will close Aqueduct’s training center during non-racing months, reduce legal expenses, reduce costs related to NYRA’s phone wagering operation, reduce overall labor expense and find efficiencies, including through a reorganization, strategic hires and long-term planning.

General admission for Saratoga will move from $3 to $5 and clubhouse admission will go from $5 to $8 under the approved budged. Admission costs will also go up at Belmont.

The admissions increase sparked serious debate during Wednesday's meeting. Board members opposed to the increase, including special adviser John Hendrickson, warned that the move might keep fans from attending, especially when there are so many other gambling alternatives, like racinos with free admission, online wagering platforms and OTB parlors.

Hendrickson said NYRA should be considering other ways to raise money, like altering the role of OTBs and reducing takeout rates.

NYRA Chairman David Skorton said management and the board will carefully monitor the implementation of the admissions increase this spring at Belmont. It's not clear what might prompt them not to implement the increase at Saratoga too.

Kay said NYRA expects $1.8 million to $2 million in additional revenue from the increased admissions cost.

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