California Horse Racing Board's meeting Tuesday at Hollywood Park could shed some light on the direction of Santa Anita Park.

Canadian mogul Frank Stronach, chairman of MI Developments, is scheduled to address the board on a number of issues, including a potential new racetrack surface for Santa Anita and the recent cancelation of its lease with the charitable Oak Tree Racing Association.

"I think that the board is looking for a good resolution of the future of Santa Anita, something that assures that Santa Anita stays in place and is going to be a good citizen of the racing community and of the community in general," said CHRB member John Harris.

MI Developments acquired Santa Anita from Magna Entertainment Corp. in April as part of a reorganization plan approved by a Delaware bankruptcy court.

Since then, the racetrack's owners voided its lease with Oak Tree, leaving the location of the fall meet - held at Santa Anita for the last 41 years - up in the air.

Sherwood Chillingworth, Oak Tree's director and executive vice president, said he would only consider signing another lease with Santa Anita if the terms remained the same as before.

He had originally considered renegotiating the terms as MID had said it wanted to do, he said.

"Now we're either going to do it the way we have it or not at all," Chillingworth said. "It's a hell of a deal for Santa Anita."

MID officials have said that Oak Tree "got

the best deal in America" and say the company is seeking a better return on the $200 million dollar investment it made when it acquired the track.

Chillingworth has held discussions with officials at Hollywood Park and Del Mar about hosting Oak Tree next fall at one of these venues. He is waiting to make any final decisions until Stronach's visit this week, though he needs to know where the meet will be by July 1, he said.

Dennis Mills, MID's CEO and vice chairman, has said Santa Anita might replace its synthetic surface soon, which could jeopardize hosting Oak Tree's meet there.

The surface, although considered extremely safe, is defective and failed to drain properly on several racing days during last winter's meet and in 2008.

Stronach, a strong-advocate of deregulation of the industry, could also present his ideas on deregulating racing dates in California, something that would require a change in state laws and the agreement of the horse racing board.

"Santa Anita is the backbone of California racing," said George Haines, the racetrack's president, when asked what Stronach could offer the industry in return for its support of deregulation. "This is what we have to offer. This is our store."

Santa Anita is currently allowed to run only 17 weeks of racing each year, Haines said.

But a number of board members have expressed their reservations.

"With all the different stakeholders in racing, to just suddenly go to an unregulated industry is not a viable solution," Harris said. "A lot of these issues are legislative issues."

Haines said that Stronach "is very passionate" about the horse racing industry and his ideas to revitalize it.

"Horse racing is changing and it's changing quickly," Haines said.

brenda.gazzar@sgvn.com

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