Bill to Establish Independent Kentucky Gaming Commission Passes House

In a vote late Thursday night, the Kentucky General Assembly passed a bill to establish an independent Kentucky Horse Racing and Gaming Corporation, according to a press release from Senate Majority Floor Leader Damon Thayer (R-Georgetown), the primary sponsor of the legislation. Senate Bill (SB) 299 revises Thayer's original proposal to attach the commission to the Kentucky Department of Agriculture administratively. The legislative effort was revised following further conversations with stakeholders and House Speaker David Osborne (R-Prospect), which would now establish an independent Kentucky Horse Racing and Gaming Corporation.

In his support of the bill, Osborne drew comparisons to the Kentucky Lottery Corporation and the Public Service Commission. A Senate Committee Substitute was adopted to outline the corporation's formation and set forth a robust framework for its operations. Subsequently, the Senate committee approved SB 299 on Tuesday and with passage in the House was delivered to the Governor on Wednesday.

Currently, HRC oversees all aspects of horse racing in the state, including venues housing historic horse racing (HHR) machines. SB 299 seeks to create the Kentucky Horse Racing and Gaming Corporation as an independent entity that regulates horse racing, sports wagering and charitable gaming in the commonwealth, effective July of this year.

“With the passage of SB 299, we're taking a crucial step in safeguarding the integrity and prosperity of our signature horse racing industry,” said Thayer. “As a cornerstone of Kentucky's heritage and economy, it's imperative that we uphold strong oversight and management of these vital industries. I contend the success of this industry demands it be a stand-alone entity capable of utilizing its funding without having to get authorizations from a bureaucratic agency. I am proud to sponsor this measure to promote this integral part of the commonwealth.”

Under SB 299, the existing racing commission members would transition to become the initial board of the newly formed corporation, serving two-year terms. Future board members would continue to be appointed by the governor but would require approval from the Kentucky Senate and oversight from the Executive Branch Ethics Commission.

Read SB 299 in its entirety here.

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Bill Overhauling Kentucky Racing Commission Passes State Senate

A bill introduced by Senate Republican Floor Leader Damon Thayer to create a new government corporation to oversee horse racing in the state has passed through the Kentucky Senate and will move on to the Kentucky General Assembly, according to the Kentucky Lantern.

Senate Bill 299 was heard in a joint meeting of the Senate and House economic development committees Tuesday morning and won Senate approval in a 26-11 floor vote in the afternoon. The bill would create the Kentucky Horse Racing and Gaming Corporation to replace the Kentucky Horse Racing Commission and Department of Charitable Gaming. The racing commission would be abolished in July 2024 and its employees and responsibilities would be transferred to the corporation, which would oversee live horse racing and sports wagering, as well as charitable gaming, after July 2025.

Board members of the corporation would be appointed by the governor and subject to Senate confirmation.

“I think this would bring increased scrutiny, integrity and transparency to all legal forms of gaming in Kentucky,” Kentucky Lantern quoted Thayer as saying in a committee meeting to discuss the bill.

Democratic Caucus Chair Reggie Thomas of Lexington led his party's opposition to the bill, which was introduced as a shell bill.

“The lack of transparency, the lack of sunshine, is something that should not be applauded,” he said.

Shell bills typically contain no substantive provisions and are introduced to ultimately be amended to include the actually intended legislative proposals.

In addition to the Democratic opposition, five Republicans also voted against the bill.

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Staunch Horse Racing Supporter Damon Thayer Will Not Seek State Re-election

Kentucky State Senate Majority Floor Leader Damon Thayer, (R-Georgetown), a staunch supporter of horse racing in the Bluegrass, will not seek re-election for the 17th Senate District and allow his term to expire in December 2024, the Commonwealth of Kentucky Senate Majority Caucus said in a release early Wednesday afternoon.

“I have decided not to seek re-election to the state Senate in 2024,” Senator Thayer said. “The end of my current term next year will mark 22 years in the Senate and 12 as Majority Floor Leader. After conversations with my adult children, close friends and colleagues, I have concluded this is the right decision.”

Thayer is the longest-serving Republican Senate Majority Floor Leader in Kentucky history. The 17th Senate District, which includes Grant and Scott Counties and portions of Fayette and Kenton Counties, is within what has become known as Kentucky's Golden Triangle.

As a leading voice for Thoroughbred racing, Thayer has championed the passage of historical horse racing and last year successfully co-led the fight to dissolve penny breakage, which has already returned millions of dollars back to horseplayers.

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Mount Fee Increase For All Kentucky Racetracks

The Jockeys' Guild has reached an agreement with the Kentucky HBPA and the Kentucky Thoroughbred Association on a mount fee increase effective Nov. 29, which is opening day of the Turfway Park Holiday meet, the organization said in a release Wednesday.

The mount fee schedule calls for a minimum fee of $125 at all Kentucky racetracks, including Churchill Downs, Keeneland, Ellis Park, Kentucky Downs and Turfway Park. This agreement also provides for $500 minimum fee in races with purses of $1 million or more.

“On behalf of our members who ride in Kentucky, I would like to thank the Kentucky HBPA and the Kentucky Thoroughbred Association for working with the Guild to reach this agreement,” said Terry Meyocks, President and CEO of Jockeys' Guild. “Special thanks to Senator Damon Thayer, for his assistance in reaching this agreement. Without his support, it would not have been accomplished.”

The Kentucky Horse Racing Commission's Rules Committee passed Oct. 4 a unanimous motion recommending this scale to the full commission for consideration and anticipated approval. Once approved, the proposed amendment to the administrative regulation will be filed with the Legislative Research Commission to follow the rule making process and allow for written and public comment. The agreements with the Kentucky HBPA and the KTA will remain in effect until the regulation has been formally adopted, which will likely be next year.

“I was pleased to advocate for a pay increase for the jockeys,” said Sen. Damon Thayer, Majority Leader of the Kentucky Senate. “Those who risk their lives every day at our tracks should be paid a fee commensurate with Kentucky's position of having the top purses in North America. In particular, I would like to thank trainer Dale Romans as a leader in the KHBPA, for facilitating in reaching the agreement and to Commissioner Charlie O'Connor for his role at the Commission in moving forward with the adoption of the new regulation.”

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