Maybe racing would stand on its own merits in an ideal utopia, but in the real world it has to make a business case for itself. So while the inaugural Baltimore Grand Prix may have been a success in the purest sense of the term – bringing IndyCar, ALMS and several other series to the city's harbor front – financial woes could relegate it to history even faster than it came about... or the race cars that made it the spectacle it was.

The trouble, it seems, is between Baltimore Racing Development, which organized the event this past Labor Day, and the city in which it was held. Apparently BRD failed to pay all that was required by the municipality, and now city officials are demanding it pay up or get out of town.

According to reports, organizers owe city coffers some $1.5 million for services rendered, taxes and other expenses. Combined with the estimated $1.8 million it owes third parties, the Baltimore Grand Prix is looking at a huge debt that could take years to pay off, but if it doesn't get the chance to hold the remaining four races for which it's contracted, that debt could prove insurmountable.


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    • 1 Second Ago
  • 5 Comments
      Patrick Lea Reedy
      • 3 Years Ago
      I hope it stays...had a great time there and plan on going to all the others...
      CK
      • 3 Years Ago
      Its a shame. This was an amazing event that surpassed all expectations. 160,000 spectators and $47million rolled into downtown B-more (source: independent economic analysis commissioned by city). But as usual, the people at the top play too many games and the fans end up the losers (see: NBA)
      SloopJohnB
      • 3 Years Ago
      First thing Baltimore should demand is a bond/insurance against the race organizers defaulting on their debt to the city. Get the bond/insurance FIRST or kick the organization out...when you're in a hole, quit digging!! Yes..the organization will probably need to hold a couple more races to pay off the city...but without the insurance/bond there is no guarantee they won't take the money (gee..just who do those expense checks go to from the gate and other receipts?) and abscond leaving bills unpaid. And if no reputable agency will bond/insure the race organization---there's your answer right there.
      ijardine
      • 3 Years Ago
      Something does not ring right to this story. The event was deemed a "success" from the perspective of local businesses benefitting from the infux of visitors and companies needing local service during the event. The downside is some businesses and the City have not received payments for services rendered to the organizing company to the tune of $3.3mm So the question is: Did the city and it's businesses gain more than $3.3mm by holding the inaugural event in 2011? If the answer is no then do the obvious If the answer is YES the City and local businesses benefitted by far more than this amount (as seems likely)...then closing the door on the event would effectively be losing the money owed with no chance of pay back, or reaping future revenue from the event. I hope cool and logical heads work this one out so everyone stands an excellent chance of prospering for years to come.
      clquake
      • 3 Years Ago
      A good chunk of that is probably the police detail "needed" to direct traffic around the event that is clearly surrounded by concrete barriers and fences.