Moore Considers Preakness Purchase Amid Lawmaker Opposition

Maryland’s Potential Move to Acquire Preakness Stakes Brand

At Laurel Park in Maryland, the topic of the state potentially purchasing the rights to the Preakness Stakes brand for $85 million was a central point of discussion during the 151st running of the historic race. Governor Wes Moore has expressed interest in this move, though he hasn’t confirmed whether the state will proceed with the purchase or outlined where the funds would come from.

Despite this uncertainty, a bipartisan group of Maryland legislators is already showing resistance to the idea. Moore emphasized his commitment to ensuring the Preakness remains in Maryland, stating, “We want to make sure that the Preakness will never leave the state of Maryland.”

The Current Situation with Preakness Stakes

In April, Churchill Downs acquired the intellectual property rights to the Preakness Stakes and Black-Eyed Susan Stakes for $85 million, gaining control over the trademarks and branding associated with these events. However, the state continues to pay to use the Preakness name. Under Maryland law, the state has the option to match Churchill Downs’ deal, but acquiring the intellectual property doesn’t necessarily mean the race will leave the state. State law mandates that the Preakness must remain in Maryland, except for limited temporary relocations.

Moore’s interest in investing $85 million comes as the state has already invested nearly half a billion dollars in rebuilding Pimlico Race Course in Baltimore. This investment was made possible through a loan from the Maryland Stadium Authority, which will be repaid using state lottery revenue and casino funds. However, the costs have risen significantly, with the rebuild initially budgeted at $375 million in 2020 and annual borrowing costs increasing by nearly 60%.

Concerns from Legislators

The governor's interest in the Preakness brand has raised concerns among some lawmakers. Democratic Senator Jim Rosapepe criticized the potential expenditure, calling it “ridiculous.” He referenced the previous failed attempt to buy Shamrock Farm in Carroll County, which turned into a costly and environmentally problematic project.

Rosapepe and his colleagues are urging caution, noting that past investments in the industry have led to missteps. “The whole thing about buying that farm is not going to work, and then say it’s a screwed-up mess,” he said.

Senate Minority Leader Steve Hershey, a Republican from western Maryland, believes that marketing and promotion should be left to experts. He acknowledged the concern about losing major sports franchises like the Commanders and the Orioles but also emphasized the importance of trusting Churchill Downs' commitment to keeping the Preakness in Maryland.

Calls for Transparency and Accountability

The Maryland Freedom Caucus has called for public scrutiny of any plans to acquire the Preakness brand. They have requested public hearings before legislative committees, a Board of Public Works review of the deal, disclosure of long-term fiscal implications, and an analysis of licensing the brand versus outright buying it.

“Horse racing is undeniably part of Maryland’s history and culture, and the Preakness remains an iconic event,” the caucus stated. “But history and tradition alone do not justify writing blank checks or committing taxpayers to ever-expanding financial obligations without full transparency and accountability.”

Ongoing Discussions and Future Steps

A spokesperson for Moore indicated that the state is still in the preliminary stages of discussing the acquisition of the Preakness Stakes’ brand. Currently, Maryland leases the Triple Crown race’s intellectual property rights, including all branding and trademarks.

In 2024, Maryland took control of thoroughbred racing from The Stronach Group, the parent company of 1/ST. A deal approved by the Board of Public Works saw Pimlico sold to a state-created authority. However, the state did not acquire the rights to the Preakness name and brand in that deal. Instead, a state authority leased those rights from 1/ST — along with the rights to the Black-Eyed Susan Stakes brand — for a fee starting at $3 million annually and escalating by 2.5% each year thereafter. Under the deal, 1/ST was also to receive 2% of the races’ betting handles.