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The rule of thumb is that proceeds from wagers made in the “northern zone” stay in Northern California to pay for purses and operational expenses, while the proceeds from wagers made in the “southern zone” stay in Southern California for the same purposes.

California Governor Gavin Newsom has until October 14 to sign or veto AB 1074, introduced by Assemblymember Juan Alanis (R-Modesto). The bill passed a concurrence vote in the state Assembly Thursday, after being passed off the Senate floor by unanimous vote the day prior.

“The swift passage of AB 1074 in the Senate and Assembly with consensus backing of the racing industry provides the short-term answers that we desperately needed and the framework for the future,” wrote Thoroughbred Owners of California (TOC) president and CEO, Bill Nader, in a statement Thursday. “This was critically important to our constituents to know that Golden Gate Fields is still in play to June of next year.”

The Stronach Group (TSG), which owns and operates Golden Gate Fields, announced in July that it was closing the Bay Area facility at the end of December with the goal of increasing field size and adding another day of racing a week at Santa Anita.

If TSG applies for dates to operate a live meet at Golden Gate during the first half of 2024, such a proposal would first need approval by the California Horse Racing Board (CHRB). The next CHRB meeting is scheduled for Sept. 21.

In terms of simulcasting proceeds, the state is broken into three main geographical zones–the “Southern,” “Central” and “Northern” zones.

Largely speaking, the south and central zones are rolled into one big “southern zone,” roughly spanning the northern tip of San Luis Obispo County down to the Mexico border. The “northern zone” consists of the remaining counties in the state.

The monies generated from simulcasting wagering are used for a variety of operational expenses besides purses, including payments to the California Horse Racing Board (CHRB) and the Horseracing Integrity and Safety Authority (HISA), the backstretch retirement fund and workers' compensation.

According to a legislative analysis of the bill, Golden Gate Fields handled over $524 million in 2022, which generated approximately $25 million in track commissions and purse funds.

The bill states that, “notwithstanding any other law, if the board does not license a thoroughbred race meet to be conducted by a racing association at a racetrack located in the cities of Berkeley and Albany after July 1, 2024, a thoroughbred racing association, or racing fair, in the southern or central zone licensed by the board to conduct a thoroughbred race meet or fair meet shall, during racing weeks not allocated by the board for a race meet in the northern zone, be deemed to be operating in the northern zone for the purpose of conducting all permissible forms of wagering in the northern zone pursuant to this chapter and making and receiving required distributions from those wagers in accordance with this chapter.”

Initially, various stakeholders in Northern California–including representatives of the California Authority of Racing Fairs (CARF) —had voiced reservations about altering the system by which simulcast wagering proceeds are allocated.

CARF executive director, Larry Swartzlander, told the TDN last weekend that the legislative amendment was drafted by CARF in agreement with TSG, on the proviso that Golden Gate Fields remains open for racing an extra six months.

Next year's racing calendar in Northern California is, of course, still to be decided. Last weekend, Swartzlander floated a plan that if Golden Gate Fields remains open until mid-2024, Santa Rosa would stage a Thoroughbred meet from mid-October–when the Fresno fair meet ends–until the end of the year.

The 2025 Northern California Thoroughbred racing calendar, Swartzlander added, could still hinge around a permanent base at Cal Expo. Such a plan would apparently require reaching an agreement with California's harness racing industry, which only last year extended its lease of operations of the Cal Expo Harness racetrack until May 2030.

Swartzlander also suggested the permanent bases of any extended 2025 Thoroughbred racing calendar in the north could be split between Cal Expo and Santa Rosa.

“Negotiations are continuing,” Swartzlander had told the TDN. “We'll work with them [WatchandWager Cal Expo] to come up with a solution. Whether we end up with a 50-50 split between Cal Expo and Santa Rosa, or whether we end up relocating Harness to another track, there's several options.”

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The letter reads:

“As the California Horse Racing Board proceeds with the investigation into the jarring death of Medina Spirit, I urge you to ensure such efforts are thorough, transparent, and independent of any outside influence. Further, I ask that you
provide my staff with regular updates on the investigation and any recommended actions necessary to prevent additional fatalities.

“As you well know, Medina Spirit is one of 71 racehorses who have died at California racing facilities thus far in 2021. While this represents a reduction in deaths from prior years, it is apparent that more work is necessary to prevent these tragic fatalities. The continuation of racehorse deaths across the country illustrates why states' cooperation is especially critical to support the implementation of the Horseracing Integrity and Safety Act. As you know, this law establishes national, uniform safety standards for horse racing, which will take effect on July 1, 2022.

“I recognize that Governor Newsom and the CHRB have worked to improve the safety of horse racing, and I expect this matter will be treated with the seriousness and professionalism it deserves. As a lifelong horse-enthusiast, I appreciate your prioritizing the welfare of racehorses. Your oversight role in this investigation and beyond is critical to protecting these horses and strengthening the integrity of the sport. Please let me know if I can be helpful.”

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Alfieri has been managing member of Mission Real Estate Group since 2005. He was chief executive officer of the Sheriff's Youth Foundation from 2017 to 2020. He was principal and a founding partner at Bantry Property Services LLC from 2005 to 2010 and general partner and founder of Twin Palms Restaurants from 1991 to 2005.

Alfieri is a 40-year member of the Pasadena Tournament of Roses Association and a member of the Pasadena Optimist Club. This position requires Senate confirmation and the compensation is $100 per diem. Alfieri is a Republican.

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This progress did not come about suddenly. The list of safety initiatives on the CHRB website dates back decades. Previous racing commissioners demonstrated a strong commitment to racing safety. Racetrack owners and management have provided leadership and resources. Horsemen's groups have provided encouragement and support with the cooperation of owners, trainers, jockeys, veterinarians, and other stakeholders in the industry.

While the numbers of equine fatalities have been trending downward since 2005, the last fiscal year marked the most significant improvement in a single year with a 40-percent decline. Continuing the actions of previous Boards, which included establishing an entry review panel for Santa Anita at the direction of Governor Gavin Newsom, the current commissioners expanded the review panel program to all tracks to make certain that entered horses are fit to compete.

Dr. Greg Ferraro, chairman, recalls setting the course for the Board at the first meeting he chaired on November 22, 2019: “I stated that our primary focus would be the health and safety of horses and riders. We've come a long way in fulfilling that promise, and I assure everyone that we will remain committed to that effort with new policies and regulations.”

Over the last 19 months, Chairman Ferraro, Vice Chairman Oscar Gonzales, and Commissioners Dennis Alfieri, Wendy Mitchell, and Alex Solis, later joined by Commissioners Damascus Castellanos and Brenda Davis, have taken more than 40 regulatory actions intended to either directly or indirectly protect horses, thereby reducing fatalities and protecting riders. Among the more significant actions, the commissioners:

•   Adopted rules limiting the use of the riding crop, which at the time were the strictest rules in the nation, while enhancing penalties for violation of those rules.
•   Required trainers to participate in a full postmortem examination review to make them aware of the nature of the injuries and to discuss ways to prevent such injuries in the future. This has helped lead to a culture change in the California horse racing industry whereby participants are placing a higher priority on the protection of horses.
•   Allowed Official Veterinarians to require diagnostic imaging prior to removing horses from the restrictive Veterinarian's List and permitting them to train or compete.
•   Prohibited or severely restricted the use of bisphosphonates, thyroxine, extracorporeal shockwave therapy, and intra-articular injections prior to workouts and racing.
•   Took significant steps to make veterinary treatments transparent to authorities and in certain cases new owners.

Furthermore, the CHRB recently created the new position of Chief Official Veterinarian and named Dr. Timothy Grande, longtime Official Veterinarian on the Southern California thoroughbred circuit, to meet the broad responsibilities of overseeing veterinarians, veterinary procedures, and practices throughout the state. The CHRB also appointed Dr. Jeff Blea to the role of Equine Medical Director, who will bring new ideas, perspective, and energy to this important position.

Executive Director Scott Chaney is excited with the direction the CHRB has charted:  “I took this job a year-and-a-half ago because I recognized this Board's and the Administration's commitment to real, significant, long-term reform in the arena of animal welfare.  It has been gratifying to be a part of this sea change in racing, and the results are undeniable.  We clearly have more work to do, but with this reform-minded Board, dedicated staff, and committed stakeholders, the future is bright.”

Reform efforts continue in all areas of animal welfare with specific emphasis on standardizing and utilizing algorithms to identify high risk horses, completing race-day medication prohibition, applying a science-based approach to making track surfaces safer, and exploring other ways to reduce and eliminate human and equine injuries.

Details on all Board actions are available in press releases on the CHRB website.

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Horse racing is stuck: stuck in the winter of 2019. Stuck at my home track at Santa Anita. That Santa Anita winter meet saw 37 horses euthanized and the meet stopped for a time due to horse safety concerns. California Senator Dianne Feinstein admonished the track publicly and Governor Gavin Newsom called horse racing “archaic.”  There was real fear among Santa Anita officials for the continuation of horse racing in California.

The events at Santa Anita were a trauma that reverberated around the U.S. racing world. The critics had been jabbing at racing for decades as societal mores regarding animals had changed dramatically. Suddenly, the entire industry found itself in a huge public relations and political crisis from which it has not escaped.

California and Santa Anita led the reforms aimed at making racing safer. Horses would be screened, medical records transparent, medication levels and rules therein standardized and much more. Throughout the country, industry practices changed dramatically. Did the changes work?  Yes, the changes have worked. There were 11 deaths at the recently concluded Santa Anita winter meet. Racing fatalities have dropped significantly in California. That is the story that needs to be told throughout the country. Racing is back on a solid foundation. But that is not what is happening looking at the headlines today. Far from it.

I was recently mingling among young fans at Hollywood Gold Cup Day at Santa Anita. They were as full of the wonder and joy of racing as I was in the late 1960s as a youth. My immigrant Armenian dad (who had been seized from Russia by the Nazis for forced labor during World War II) would tip the ushers so we could have a precious box up in the stands with the owners, movie stars and the trainers. There was actor John Forsythe. Walking by, always expressionless, was trainer Charlie Whittingham. What great horses I saw at Santa Anita over the years: Damascus, Affirmed, Spectacular Bid! And many years later, what event could compare with my experience at a Kentucky Derby? I thought to myself: who is going to educate this generation about racing and keep them in the game to see what I saw? The racing industry or the critics?

The choice is immediate. Why is the industry, in its entirety, not stepping forward and telling a renewed story of a sport that is as brilliant as its horses and its people and of a sport again ready to regain luster? The industry is not seizing the moment because the critics continue to set the dialogue. The critics' paradigm about racing is what prevails in the general media.

Just what do the critics say about horse racing? To start, they see no beauty in the interaction of humans to horses. This is an extreme position and must be so noted and challenged by industry spokespeople. The critics see no beauty or sport in the competition of horses. They start with the fact that horses die. But for the critics, horses die only in racing. The critics do not like to admit that horses also die in nature. The industry must counter that horses are actually better off in racing than in nature. Nature is not neutral. Nature is more about Darwin than Bambi. And, aesthetically, racing can be beautiful–something the critics, a priori, will not admit.

The critics then attack horse racing from another angle. Horses are drugged. And winning horses are “juiced.” The critics prey on a vague notion that has lingered about the sport that it is somehow rigged. I call this the film noir version of horse racing: everyone in racing is seedy or greedy or crooked. We have all seen some fragments of this view in a plot of an old movie. Such a notion is palpably false. Trainers know how hard it is to win a race. The general public needs to be better educated about the game. This dark view of racing needs to be met head on. How are races really won: pace, class, conditioning, etc. Young folk are hungry for information about the game. At the track, they have mountains of questions. Racing needs to continually educate the fanbase. Instead, recent events and industry decisions have actually fueled this pejorative film noir view of racing.

By 2021, the industry had made great strides in the area of horse safety. In watching what transpired after the positive test result for Medina Spirit, one wouldn't know it. After news of the first test positive, Churchill Downs suspended the trainer from entering horses at its track. Such a definitive response opened the door for the critics to create the spin about the Derby result, a result that quickly came to be viewed as bogus. The trainer later pointed to a creme for a rash as the (undetermined) reason for the test result. Even this purported creme explanation was used by one critic's group to state that the creme was given purposely to mask a secret injection of Medina Spirit before the Derby. And so it went…

The general press, not especially astute at covering horse racing these days, followed a story that was defined by one side. Not surprising where they too ended up. There was no industry spokesperson to counter the excesses of the public discussion which cast a long shadow about racing's product itself. As the second positive result came in from the lab, Churchill was categoric in its response and its accompanying statement fed readily into the critics' dialogue that the race result was phony and that racing Medina Spirit was not safe. A drastic measure of a two-year suspension by Churchill of the trainer was proposed. The extent of the suspension cast further suspicion about Medina Spirit's Derby victory.

Before the vitriol and the finger pointing ensued, it would have been nice to hear someone stop and say that it was “a good thing” Medina Spirit's rash was treated.

The Derby product is racing's product and its results cannot be picked apart so readily. But that is what happened. Ironically, those with little expertise in horse racing defined the illegitimacy of a Derby result while those with expertise remained largely silent. So we learned from the charges led by the critics and found in the general press that it was not safe to race Medina Spirit Derby Day and his win was not an honest result. When Churchill made an official pronouncement, it used words like integrity and safety. The critics' talking points about Medina Spirit's Derby run and that of Churchill management were comparable. “Integrity” casts doubt on the veracity of the Derby result. The victory of Medina Spirit has not yet been adjudicated so how is it illegitimate as it stands? Safety? Medina Spirit ran two weeks later in the Preakness without incident. Where did the notion that Medina Spirit was not “safe” to race Derby Day come from?

A Pandora's Box was opened. About that time, a friend called me up and said, “Hey, I heard they gave steroids to the Derby winner, just like Lance Armstrong.” Medications and the levels therein will take time to work out. The rules have just been put in place. The industry must be patient. The rules must be tried and tested and workable for horsemen also. And let's find out what really happened before we denigrate a Derby winner. Let whatever litigation take place that needs to take place in the courts.

The sport of U.S. racing is its history. And Triple Crown history is its ultimate statement. The overreactions of Churchill have disparaged its own product and unfortunately fueled the film noir view of racing promoted by the critics. There is no mechanism to step in and help a racetrack deal with the fallout of critical circumstances. The industry needs a permanent, day-to-day, public relations and political entity that can respond in the industry's general interest. Such a body can also proactively educate the public and the general press about horse racing today.

It is time for the industry to exhale and tell its story. Safety?  Horse racing is much safer today. Say so. Time for racing to recount its tradition to a new generation and disseminate its renewed story to everyone. Time to again be proud. Time to take the narrative about racing away from the critics.

Armen Antonian holds a doctorate in political economy and political philosophy and is a lifelong racing fan.

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Del Mar's 82nd racing season will open on Friday, July 16, and run through Labor Day Monday, September 6.

All fans wishing to attend must obtain a seating package in advance of their arrival. Admission tickets and parking passes will be included in the package. The track will put seats on sale online on Friday, June 18 (go to DMTC.com/tickets) with a pre-sale available on Thursday, June 17, for those that sign up at the Del Mar website (DMTC.com/2021).

“We are delighted to be able to welcome our fans back to Del Mar,” said DMTC president and COO Josh Rubinstein. “We appreciate their patience as we have all adapted to the changing circumstances over the last 15 months. We also appreciate the thoughtful guidance and cooperation we have received from the California Department of Public Health, the San Diego County Department of Public Health along with Dr. Ghazala Sharieff, Chief Medical Officer of Scripps Health, and her expert staff.”

Under current California Department of Public Health guidelines, fans will be required to wear masks when visiting Del Mar, except when eating or drinking in designated areas. However, California Gov. Gavin Newsom is scheduled to issue revised guidance on June 15th and track officials will adjust requirements on face coverings based on the new guidelines.

Del Mar will offer seating in its Stretch Run (Grandstand), Clubhouse, Turf Club, Skyrooms, Luxury and Celebrity Suites and its five major restaurants. Total seating at the track is 14,994. Track officials will have more to say about General Admission access over the next several weeks.

“We will continue to monitor public health guidelines and adjust our plans as the state makes additional progress and updates its recommendations,” said Rubinstein.

Besides the sale and pre-sale arrangements online, Del Mar will be offering the purchase of reserved seating packages by phone (858 792-4242) starting on Monday, June 21.

First post daily at the seaside oval will be 2 p.m. on all days except Fridays. Opening Day Friday will have a 2 p.m. post, but then Fridays thereafter will see a 4 p.m. start with the exceptions of the last two Fridays of the meet (August 27 and September 3) when things get started at 3:30 p.m. The first two weeks of the season will feature Friday-through-Sunday three-day weekends.  For the remainder of the meet, racing will be conducted on a Thursdays-through-Sunday basis with Closing Day on Labor Day Monday.

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Scopolamine has found its way into California hay supplies via jimson weed, so it's not unreasonable to conclude the positive test was a result of environmental contamination. It's also unlikely that the drug's presence at a low yet impermissible level had any impact on performance.

But rules are rules.

According to California Horse Racing Board rule 1859.5 (Disqualification Upon Positive Test Finding), a positive test of drugs in classes 1, 2 or 3 (as defined by the CHRB) “shall require disqualification of the horse from the race in which it participated and forfeiture of any purse … regardless of culpability for the condition of the horse.”

In April 2018, scopolamine was a Class 3 drug under CHRB rules.

CHRB members, meeting in executive session on Aug. 23, 2018, circumvented those rules by voting to not pursue the matter, acceding to the recommendations of the CHRB's equine medical director, Dr. Rick Arthur, and the board's then-executive director, Rick Baedeker.

There is an old expression that “we don't know what we don't know.” In this case, we don't know how many previous times the board took such actions, stopping an alleged medication violation before it reached the stewards for a hearing. We do know the CHRB has prosecuted numerous cases of positive drug tests that any rational person would assume resulted from environmental contamination.

So what was different about this case?

For starters, by the time this came before the CHRB in August 2018, Justify had a) won the Triple Crown, b) had his breeding rights sold for a record $75 million, and c) been retired from racing. He was also trained by a Hall of Famer who had become the “face” of the sport.

Additionally, there was a can of worms labeled “Derby Points” that some might try to open if Justify was disqualified from the Santa Anita Derby, a race that gave the son of Scat Daddy the points needed to qualify for the Kentucky Derby field.

So the CHRB voted behind closed doors to end the investigation and successfully tamped down what could have been an embarrassing situation – until a September 2019 report by Joe Drape in the New York Times exposed what had happened.

There's another old expression that “it's not the crime, it's the coverup.” Scopolamine positives have been called before in California. Trainers were not sanctioned but their horses disqualified. No one likes when that happens, but it's a matter of following the rules. Maybe the rules need to be changed to accommodate environmental contaminations, but until that happens it isn't right for regulators to circumvent the rules they don't like.

The New York Times article hit as California racing was trying to recover from the high-profile equine fatality spike at Santa Anita earlier in the year that thrust the sport in the national spotlight in a most unflattering way. The handling of the Justify case only poured gasoline onto the regulatory fire.

The controversies riled the office of Gov. Gavin Newsom and dominoes started falling at the CHRB. Chuck Winner had already stepped down as board chairman when the Justify story broke. Vice chair Madeline Auerbach resigned from the board when she was passed over to chair the organization. Executive director Baedeker announced that he was retiring and other staff positions changed. New appointees came from outside the industry and without direct investment in racing or conflicts of interest.

Mick Ruis, who owned Santa Anita Derby runner-up Bolt d'Oro, sued the CHRB in January 2020, claiming he was entitled to the $600,000 first-place money from the race. In July, Ruis reached an agreement to settle the lawsuit when the CHRB said it would file a complaint to conduct a purse disqualification hearing on Justify. That hearing, which also included a complaint filed on Hoppertunity's positive test, was conducted on Oct. 29.

Here's where things start veering off into La-La Land.

The three stewards, John Herbuveaux, Kim Sawyer and Ron Church, did their due diligence sifting through the evidence and testimony. They put together a lengthy findings of fact and timeline, including making note that scopolamine changed from a Class 3 drug to Class 4 months after the Santa Anita Derby and Tokyo City Cup were run. The stewards did all the things you would expect them to do when conducting a hearing of this type and then making a determination.

Then they took the ultimate copout. No matter what the evidence was, no matter what the rules stated, they dismissed the complaint “because the CHRB has already ruled on this matter, in executive session, at the Aug. 23, 2018, meeting.”

Are you kidding me?

Unless this was some kind of carefully orchestrated kabuki theater involving CHRB members, staff and stewards to go through the motions of a hearing in order to satisfy the terms of the settlement agreement with Ruis – which seems highly unlikely – the final order by the stewards is mind-boggling.

If the stewards felt as though the matter was dismissed in August 2018, why did they go to the trouble of conducting a hearing? Couldn't they have sought clarification from legal counsel at the CHRB as to whether or not the matter was settled?

The order by the stewards may not be the final word. Attorney Darrell Vienna, representing Ruis, pointed out that California's Business and Professions Code, section 19517, states the CHRB “may overrule any steward's decision other than a decision to disqualify a horse due to a foul or a riding or driving infraction in a race, if a preponderance of the evidence indicates any of the following:

“1) The steward mistakenly interpreted the law.

“2) New evidence of a convincing nature is produced

“3) The best interests of racing and the state may be better served.

“…Furthermore, any decision pertaining to the distribution of purses may be changed only if a claim is made in writing to the board by one of the involved owners or trainers, and a preponderance of the evidence clearly indicates to the board that one or more of the grounds for protest, as outlined in regulations adopted by the board, has been substantiated.”

Within hours of the decision by the stewards to dismiss the complaint, Vienna filed a claim with the board on behalf of Ruis, asking for the CHRB to overrule the stewards.

The ball is back in the CHRB's court, but these are not the same CHRB members who opted to bury this matter in August 2018.

That's my view from the eighth pole.

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The governor also signed a second horse racing bill, co-authored by Sen. Dodd and Assemblymember Adam Gray, D-Merced,  incorporating recommendations from the California Horse Racing Board.

“The horse racing industry must accept and adopt forward-thinking solutions as the health and welfare of the sport's human and equine athletes are paramount to their future in California,” said Gov. Newsom. “These bills are an essential step to create a safer and more transparent horse racing experience for everyone involved and can serve as a model for other states to follow.”

“Making horse racing safer for horses and jockeys is critical for the future of this sport,” Sen. Dodd said. “Thanks to Gov. Newsom for signing my bill, which will help ensure track conditions are right and horses are fit before they hit the starting gate.”

Last year, 37 horses died at Santa Anita Park, prompting calls for immediate action. Sen. Dodd wrote Senate Bill 469, which was signed by Gov. Gavin Newsom, allowing the California Horse Racing Board to suspend racing at tracks where dangerous conditions exist.

This year, Sen. Dodd followed up with Senate Bill 800, which incorporates reforms recommended by the CHRB, including improved veterinary medical review prior to races and increased transparency in drug testing. The second bill, AB 1974, provides additional safeguards. 

Sen. Dodd chairs the Senate Governmental Organization Committee, which sets policy for the horse racing industry, among other things.

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