Churchill Downs Wins Kentucky Court Ruling Against HISA Fee Methodology
The U.S. District Court for the Western District of Kentucky ruled that the Horseracing Integrity and Safety Authority’s purse-weighted fee methodology is unlawful. Churchill Downs said this decision voids HISA’s fee demands and removes the threat of ongoing collections, reducing legal and regulatory cost risks for the company.
1. Court Decision Details
On April 1, 2026, the U.S. District Court for the Western District of Kentucky ruled that HISA’s purse-weighted fee methodology exceeded its authority and is unlawful. The judgment invalidates fee assessments based on purse distributions and prevents further collections under this method.
2. Churchill Downs’ Response
Churchill Downs said the ruling removes potential liabilities related to HISA’s fee demands and underscores concerns over the Authority’s fiscal management. Leadership expects lower regulatory costs and a reduction in legal distractions, improving operational focus on entertainment and wagering businesses.
3. Potential Next Steps
HISA may seek appellate review, potentially prolonging legal uncertainty. Market participants will monitor any appeals timeline and subsequent impacts on fee structures across U.S. racetracks.