HISA the Focus at HBPA, Racing Commissioners Conference

Edited Press Release

Louisiana Attorney General Jeff Landry and Daniel Suhr, managing attorney for the Liberty Justice Center, told an assembly of racehorse owners, trainers and racing regulators Tuesday that they expect the Horseracing Integrity & Safety Act (HISA) to wind up before the U.S. Supreme Court– and they also believe America's highest court will strike down the legislation as unconstitutional.

While the room at the Hotel Monteleone was populated with folks concerned how HISA will impact their industry, Landry and Suhr said the four legal challenges before the Fifth and Sixth Circuits have much broader implications for the country. HISA, originally passed by Congress when slipped into the 2020 Covid relief bill, sets up a private corporation, also known as HISA or the Authority, with broad powers to create, implement and enforce safety rules and drug and medication policies with the Federal Trade Commission providing some measure of oversight.

Landry, who brought suit against HISA in U.S. District Court in the Western District of Louisiana, was the keynote speaker Tuesday on the first of three days of panel discussions and presentations at the National Horsemen's Benevolent & Protective Association (NHBPA) conference being held in conjunction with the Association of Racing Commissioners International (ARCI), which represent pari-mutuel racing regulators.

“If we don't get this thing struck down, you better have this meeting in probably the dining room–and I mean the small dining room here at the Monteleone,” Landry said. “It will be a bunch of folks who have more money in their pockets than they know what to do with. And they're going to control the tracks and horse racing, and the rest of us really won't be able to enjoy the sport. This law is actually designed to eliminate the very fabric of horse racing. And so we stood up.

“I said, 'We are going to keep filing suits, and we're going to find a way to bring this thing to the U.S. Supreme Court if we have to. Guess what? We are there. And I'm glad we're there. I know the Sixth Circuit decision (upholding HISA, in contrast to the Fifth Circuit's appellate court ruling) was not all that great for us. But quite frankly, I think it was. Because it is going to absolutely force this case before the United States Supreme Court.”

Suhr added, “I believe this case is important not just for this industry. I know it is. But I'm here because I believe it's important for our country and our democracy, and I don't say that lightly. Because fundamentally what we're fighting about is accountability, transparency and fairness, which are core guarantees of our Constitution to all of us as citizens. When the government exercises power in our lives, when it comes into our business, our families, it is accountable to voters, it is transparent to the stakeholder community, to the news media and to all of us as citizens. And it is neutral. It is independent and it is fair when it exercises that power.”

Suhr said, based on their written SCOTUS opinions, that he believes there are enough justices to strike down HISA. “There's no such thing as a slam dunk in my business,” he said. “It's a lot like yours. Everything is a little bit of a gamble. But I do this for a living and I can tell you, we brought this case because we believe when it gets to the Supreme Court, those fundamental principles we've been talking about are actually going to decide the day. I think we have a really great shot at this.”

A Tuesday afternoon panel offered concepts that could lead to uniformity without vesting so much control and power in one entity and still utilizing the existing racing commissions.

“As we all look through a different lens now, something has to be established for uniformity,” said National HBPA CEO Eric Hamelback. “We want to make it constitutional and we want to make sure the right participants are helping to make the decisions. I see it as the right participants are in this room. We want uniformity based on science. We want it based on peer-reviewed research. We feel the way the (HISA) legislation was drafted, it doesn't lean toward being based on science. I think there's a lot of opinion in there.”

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NHBPA, Industry Statements on HISA Decision

After Thursday's dismissal by a federal judge of the National Horsemen's Benevolent and Protective Association (NHBPA)'s lawsuit questioning the constitutionality of the Horseracing Integrity and Safety Act (HISA), the NHBPA issued the following response:

“Aspects of this law will have a devastating effect on our industry and put many hardworking horsemen and horsewomen out of business,” said National HBPA CEO Eric Hamelback. “We've been saying for several years that this legislation was illegal. We are considering our options to appeal the decision and remain committed to doing due diligence to ensure a legal solution that protects the health and welfare of our equine and human athletes is adopted.”

The statement continued, “In his decision, Judge Hendrix acknowledged his court cannot “expand or constrict” the precedents, which makes the ruling ripe for appeal. Judge Hendrix wrote, 'The Horsemen are correct that HISA creates a novel structure that nationalizes regulation of the horseracing industry…Although the Horsemen make compelling arguments that HISA goes too far, only appellate courts may expand or constrict precedent. This Court cannot.'”

National HBPA and affiliates in Arizona, Arkansas, Indiana, Illinois, Louisiana, Nebraska, Oklahoma, Oregon, Pennsylvania, Washington, West Virginia and Tampa Bay are represented by the Liberty Justice Center, a national nonprofit law firm.

“We are encouraged that Judge Hendrix recognized the strength of our arguments and plan to push them vigorously on appeal,” said Daniel Suhr, managing attorney at the Liberty Justice Center. “Congress cannot cede its legal authority to regulate an entire industry to a private organization. This case remains important to protect the integrity of not only the horseracing industry but also our Constitution.”

The statement concluded, “HISA still faces a separate federal lawsuit challenging its constitutionality. That suit filed in Lexington, KY., was brought by the United States Trotting Association; the states of Oklahoma, West Virginia and Louisiana with support from six additional states; and other entities that include two racing commissions and the Oklahoma Quarter Horse Association. In the best interest of horse racing, horsemen and horsewomen, we must continue to exercise our due diligence and see this through. The National HBPA appreciates the process. We believe Judge Hendrix has done deliberative, supportive work and has provided a path to move forward with our challenge.

 A number of state and industry officials also issued statements on the decision:

James L. Gagliano, President and COO of The Jockey Club:
The Jockey Club congratulates the Horseracing Integrity and Safety Authority and its counsel on the Federal Texas District Court's finding that the Horseracing Integrity and Safety Act of 2020 is indeed constitutional.

For those long supporting the passage and implementation of the Act, this is a result we have long anticipated. To HISA Chairman Charlie Scheeler, CEO Lisa Lazarus, and the entire HISA team and its counsel, we express our gratitude for your continued dedication to the cause of equine safety and integrity in our sport. We look forward to HISA beginning the first prong of its programs to enhance our sport on July 1.

Marty Irby, Executive Director of Animal Wellness Action:
We applaud the court for validating what we knew all along, the Horseracing Integrity and Safety Act is in sync with the U.S. Constitution and intent of the Commerce Clause–some of the most brilliant legal minds in Congress, the animal protection space, and Thoroughbred horse racing prepared and vetted a bullet-proof measure that's now the law of the land.

It's time for the Horseracing Integrity and Safety Authority to swiftly implement the new law as intended and secure a contract with the U.S. Anti-Doping Agency to oversee all testing and enforcement so the eradication of doping can begin. We congratulate the Authority on this tremendous victory leading up to the running of the 148th Kentucky Derby.

U.S. Senate Repulican Leader, Ky Senator Mitch McConnell:
Kentucky's signature horseracing industry is a key part of our heritage and supports 24,000 workers across the Commonwealth. Working closely with sport leaders, horse advocates, and fans, Congressman Barr and I led the Horseracing Integrity and Safety Act of 2020 to passage to promote safety and fairness across Thoroughbred racing, ensuring the sport's future viability. This legislation's advocates knew from the beginning that it was fully constitutional, and I am pleased the court agreed with our arguments, which I supported through an amicus brief. I congratulate the Horse Integrity and Safety Authority for their recent positive momentum, moving us all closer to a safer, better-regulated American Thoroughbred racing industry.

Ky Congressman Andy Barr:
The Horseracing Integrity and Safety Act was carefully and thoroughly drafted with an eye toward ensuring the Authority it created was constitutional in its structure and powers. Throughout the process Senator McConnell and I consulted with lawyers and relevant precedent to ensure the statute would survive any constitutional challenge. The fact that the Northern District of Texas has upheld HISA reinforces that due diligence. I look forward to seeing the Authority begin its programming this summer and the further advancement of the sport.

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