After negotiations with Churchill Downs Inc. stalled, financially troubled Fair Grounds on Monday submitted a Chapter 11 reorganization plan that calls for the facility to be auctioned through United States bankruptcy court.

"If the court approves the plan, all interested parties, including Churchill Downs, would be allowed to participate in the auction, which could begin in 45 days and be completed in 90 days.

"The plan comes after talks between the two tracks stagnated, primarily due to Fair Grounds's refusal to give up its appeal of a court's decision to award $89.9-million to horsemen for underpaid purses since the advent of video poker. Churchill Downs offered $45-million for Fair Grounds, with $33-million going to Louisiana horsemen to settle the purse debt with the track and $12-million to other creditors…"