RATON The three-man investment group hoping to eventually get a chance to submit an application for a horseracing track and casino here envisions the project including a city-financed events center that would likely have a bigger impact on economic development than the racino.

City officials and the three businessmen expect an events center could book events all year long and attract a wide variety of visitors to town for those events. The center could be built into the racino facility as the result of a private/public partnership between the investment group and the city, both parties say.

The track will probably lose money, said Ernie Wood, a Colorado City, Texas, rancher and racehorse owner who is one-third of the racino group. He described the track as a tool to operate a profitable casino and as a site for an events center.

Mostly what its going to provide is economic development, he said of an events center that would bring people in here year-round. He said such an indoor venue could host everything from rodeos to concerts to BMX bike competitions.

City Commissioner Neil Segotta, who along with City Manager Pete Kampfer introduced Wood around town last week, called the events center the real key to this project. Segotta and Kampfer said that even if the racino project does not happen, the city remains interested in pursuing an events center on its own.

But for now, the private and public parties involved are hoping the project will include it all, with perhaps an events center being built in the grandstand structure of the track, the same place the casino could also reside, according to Wood.

Wood was introduced to the idea of becoming a Raton racino owner by Kampfer, who promoted the idea to his friend after leaving the city manager job in Colorado City to take the same position in Raton earlier this year. Wood, in turn, found partnership interest from New Mexico rancher Lyle Burns and Santa Fe attorney Frank Bond, a Republican gubernatorial candidate in 1990 who lost to Bruce King in the general election. Burns, who Wood said made much of his money in the oil field pipe business, now ranches in Alto, N.M., in southern Lincoln County. Wood himself has a solid financial base through oil properties in Texas, Wyoming and Mexico, he said.

Wood said any of the three men would not be able to get a racino project done alone, but together they believe they can do it. In addition, the men are surrounding ourselves with finance and casino advisers, Wood said. Kampfer has said the group is working with a Las Vegas, Nev., firm that has experience in racetracks and casinos.

Wood said he, Burns and Bond were convinced to pursue a Raton racino after visiting the city. He said they found out how important it is to the community and what a great community you have.

While city officials are eyeing an events center in Raton regardless of whether a racino is built, looking at things from the other side, Wood said the racino if the New Mexico Racing Commission were to approve the application could go up without the events center if necessary. He said his group would not finance an events center but welcomes the facility within or near the racino and plans to include the events center in the features to be listed on the racino application to the state.

If and when the Racing Commission will be able to accept applications depends on the outcome of an appeal currently pending in the state Court of Appeals. The appeal was filed by Canadian developer Michael Moldenhauer, who had earlier been granted the states final racing license but later saw the Racing Commission declare it expired at the end of 2010, the year in which he was supposed to hold his inaugural live racing season at a site in south Raton. A court order prohibits the Racing Commission from accepting or considering any racing-license applications while the appeal is pending.

Prior to the loss of the racing license which Moldenhauer is trying to re-secure through his appeal the New Mexico Gaming Control Board revoked his gaming license for his proposed racino after he failed to meet a deadline to open a temporary casino. The board also claimed Moldenhauer had failed to file certain information the board had required of him. He appealed that revocation, but the Court of Appeals in June upheld the revocation on the basis that Moldenhauer failed to hold a state-mandated minimum number of live racing days needed to maintain his racino gaming license.

Kampfer last week described Moldenhauer as a developer and promoter, but said he was not a money guy. Kampfer said the new investment group brings business experience and the needed funding.

Wood estimated the groups envisioned racino complex would cost $50 million to $75 million to construct, with the final cost dependent on things such as whether a turf track is included and whether an events center gets into the final plans. Kampfer said the city would likely have to issue $4 million to $8 million in bonds to pay for the events center.

For now, city officials are trying to help with the overall project by working on workforce development, infrastructure, and promotion of the project and the new investment group to surrounding municipalities. Wood and city officials met with Trinidad representatives Friday night. Kampfer said the city is also trying to stay in touch with state transportation department officials regarding the planned south Raton Interstate-25 interchange upgrade because that state project could be key to creating and improving ancillary roads to and from a racino if it is located in that area.

Moldenhauer planned his racino for that area, intending to build on land he purchased from the city for $1 just south of Hereford Avenue and east of I-25. Wood said his group will not be looking to obtain public land. He said he, Burns and Bond have looked at several private properties but he declined to identify them as potential racino sites, but have yet to decide on one, although they plan to do that as they await the court outcome of Moldenhauers case. The group is also spending its time gathering its money, getting its engineering work done and preparing its application, Wood said. Kampfer said Ratons community/economic development director, Christopher Reed, will work with the investors on the application development.

We want to make sure we put in the best application we can, Wood said, adding that he and his partners see great opportunities in Raton because the city is a little island in northeast New Mexico that lacks nearby potential competition from Indian casinos or racinos in neighboring states.

Wood said Texas appears ready to soon allow its horse tracks to begin adding casinos, something they currently cannot do. Wood believes that if that happens, Raton, being farther away from the west Texas border, will be a better racino location than other New Mexico areas that have expressed interest in pursuing the license, specifically Tucumcari and Clovis, which both sit closer to the state line than does Raton.

Meanwhile, Pennsylvania-based Penn National Gaming has indicated it will pursue the racing license for the purpose of expanding its casino at its Hobbs racino. The company does not plan to expand racing there, but must obtain another racing license if it wants to acquire another gaming license needed for more slot machines.

The state only has one remaining racing license to issue the one that Moldenhauer claims still should belong to him. Although that litigation has completed the briefing process by attorneys and is awaiting to be assigned to a panel of judges, a decision could still take months or even a year or more.

Under gaming compacts the state signed with New Mexico Indian tribes, the state is limited to six non-reservation racinos, and five are already operating.

Kampfer is glad to have new investors for the city to work with on a racino project.

We need a major impact to turn the (economic) tide, he said. Lets take what we can get and get it done.

Wood said he, Burns and Bond are eager to get in front of the public and see if their project can work as they anticipate.

If the community will get behind us, then well definitely get behind the community he said. Were ready to start spending our money and getting this accomplished.