Product
Historical Horse Racing (HHR)
Historical horse racing (HHR) machines
Definition
Historical horse racing (HHR) is a form of pari-mutuel wagering in which players bet on replays of horse races that have already been run, with identifying details such as the track, date and horses hidden until after the bet, usually on terminals that look and play like slot machines. Wagers go into pools shared among players, and the outcome comes from the result of the real historical race; the reels and animations on screen display that result rather than generate it.
US states authorise HHR to fund live racing at tracks and off-track betting venues. Virginia's racing statute defines it as pari-mutuel pools on previously run races. Kentucky enacted a statute in February 2021 after its Supreme Court ruled in September 2020 that the machines then in use were not pari-mutuel. Kansas authorised machines in 2022 with a ban on random number generators, and Wyoming permits them at off-track betting sites. Its legality turns on whether a product is genuinely pari-mutuel.
Key takeaways
- HHR machines take pari-mutuel bets on replays of past horse races, with race details hidden until after the wager, presented in a slot-style format.
- Outcomes come from real historical race results, not a random number generator; Kansas law expressly bans RNGs for HHR.
- Kentucky's Supreme Court held in September 2020 that the HHR system then used was not pari-mutuel; the legislature responded with SB 120, signed in February 2021.
- States use HHR revenue to support live racing, but legality depends on state law and has been repeatedly litigated.
Why it matters
HHR lets a state with a racing industry but no appetite for full casino legalisation put slot-like games into tracks and betting venues under existing pari-mutuel law. For tracks and horsemen it has been transformative, funding purses and keeping live racing viable, and in several states it has created a gaming sector of real scale. For suppliers it is a distinct product line: content is often adapted from slot titles, but the back end must run genuine pools linked to a library of historical races, and each state certifies the system.
The legal foundation is the commercial risk. In Kentucky the Supreme Court held in September 2020 that the system then in use did not create a wagering pool among patrons as pari-mutuel wagering requires, which put the industry's existence in doubt until the legislature amended the statutory definition in February 2021. Other states write tight rules into statute: Kansas's 2022 law caps machines at 1,000 per racetrack facility, taxes wagers at 3% of the amount bet, bans internet wagering on historical races and prohibits random number generators. Opponents continue to challenge HHR as slot machines in all but name.
Anyone pricing an HHR business should model the law as a variable. The regulatory map tracks state positions and the EGM entry explains the casino machines HHR competes with.
Historical Horse Racing (HHR) vs EGM (Electronic Gaming Machine)
| Historical Horse Racing (HHR) | EGM (Electronic Gaming Machine) |
|---|---|
| An HHR machine takes pari-mutuel bets: stakes go into pools among players, and results come from real past races, so the operator takes a commission from the pool rather than banking the bets. | A slot machine or EGM is house-banked: a random number generator determines each outcome and the house pays wins from its own funds, with return set by the game's maths. |
The two can look identical on the floor, but the legal distinction decides whether a venue needs a racing licence or a casino licence, and HHR's survival depends on it.
The bottom line
Historical horse racing is pari-mutuel betting dressed as a slot machine. It funds racing in the states that allow it, and its future in each depends on courts and legislators accepting that it is genuinely pari-mutuel.
Sources
- Family Trust Foundation of Kentucky v. Kentucky Horse Racing Commission (2020) - FindLaw (Supreme Court of Kentucky opinion)
- 21RS SB 120: An act relating to pari-mutuel wagering - Kentucky General Assembly
- Code of Virginia section 59.1-365: Definitions - Virginia Law, Virginia General Assembly
- Sports Wagering; House Sub. for Sub. for SB 84 (2022 Summary of Legislation) - Kansas Legislative Research Department
Frequently asked questions
What is historical horse racing?
Historical horse racing is betting on replays of horse races that have already been run. The machine hides the race's identity, the player places a bet, and the result of the real race decides the outcome. Bets go into pari-mutuel pools shared among players. Most machines display the result through slot-style reels, so they look like casino games.
How do historical horse racing machines work?
The machine draws a past race from a large library and hides the track, date and horse names. The player chooses or accepts a selection, the wager joins a pool with other players' bets, and the race result determines who wins from the pool. The spinning reels or other graphics are a display of that result, not a separate random outcome.
Is historical horse racing legal?
In some US states. Virginia's racing law provides for it, Kentucky enacted a statute in February 2021 after a September 2020 court ruling against the machines then in use, Kansas authorised it in 2022 and Wyoming permits machines at off-track betting sites. Other states have rejected it or seen it struck down, so legality depends on current state law.
Are HHR machines slot machines?
Legally, not where they are authorised. They are classed as pari-mutuel wagering on horse races, which is why they can operate under racing laws without casino licences. Critics argue they are slot machines in all but name, and courts have examined whether specific systems genuinely create pools among players.
Can you play historical horse racing online?
Generally not. HHR is authorised as a venue-based product at racetracks and off-track betting facilities, and some statutes expressly rule out online play: Kansas law prohibits wagering on historical horse races over the internet or a cellular network, including through websites and mobile apps.