CHRB Unanimously Approves Plan to Make Pleasanton New Center of NorCal Circuit

The California Horse Racing Board (CHRB) voted 6-0 on Thursday to approve a dates package for the back half of 2024 that will establish the current fairs-meet-only track at Pleasanton as the new crux of a Northern California circuit.

The entire state has been trying to come to grips with the looming June 9 closure of Golden Gate Fields, the lone commercial track in the region, and the Mar. 21 vote by the CHRB was viewed as a NorCal racing lifeline by the estimated 250 supporters in attendance.

Those very vocal and at times emotional NorCal racing advocates greatly outnumbered proponents of a plan that would have instead consolidated all commercial-track racing in the state in Southern California.

The NorCal supporters consisted of horsemen who have called the circuit home for decades, plus a contingent of statewide breeding interests.

Those individuals had the group backing of the California Authority of Racing Fairs (CARF), which will operate the expanded Oct. 16-Dec. 25 Pleasanton meet under the auspices of a new management entity called Golden State Racing.

The California Thoroughbred Trainers (CTT), whose board of directors had unanimously voted to back the initiative that also calls for three other fairs venues to pick up other dates that will be abandoned by Golden Gate's closure, was also behind the Pleasanton idea.

1/ST Racing and Gaming–which owns both the closing Golden Gate and the financially struggling Santa Anita Park–had teamed with Del Mar Thoroughbred Club and the Thoroughbred Owners of California (TOC) to try an convince the CHRB that its alternate plan would be in the best long-term interests of the state as a whole.

That SoCal concept instead focused on redirecting simulcast revenue from the northern circuit to the southern tracks. It was further based on a premise that would have attempted to accommodate displaced Golden Gate outfits by creating more opportunities for lower-level horses to race at Los Alamitos Race Course, dropping the “claiming floors” at both Santa Anita and Del Mar, and establishing “relocation allowances” for stables that had to pack up and move while only short summer fairs meets were conducted in NorCal.

In the middle were the CHRB commissioners, who repeatedly expressed frustrations during the Mar. 21 meeting that because the NorCal and SoCal factions couldn't cooperate to come up with a joint plan, they had been placed in the unenviable position of having to choose one option over the other while knowing that they'd be making some constituents unhappy no matter how they voted on the measure.

Yet while the CHRB did ask pointed questions about CARF's plans for Pleasanton and how the new operation would be funded, commissioners saved their most barbed criticisms for 1/ST Racing's executive vice-chairman Craig Fravel, who only 48 hours before the meeting had penned an open letter that warned of potential consequences that might occur if the CHRB voted against the SoCal plan.

In his Mar. 19 letter–which backers of the Pleasanton plan clearly took as an ultimatum–Fravel had written that “should the Board allocate dates in the north per the CARF proposal Santa Anita will immediately meet with the TOC to implement purse cuts for the balance of 2024.”

Fravel also wrote that “Further planned investments in capital projects at Santa Anita will be reevaluated [and] further operation of Santa Anita and San Luis Rey [Downs] as training and stabling facilities may be in jeopardy.”

In response, CHRB commissioner Damascus Castellanos openly called out 1/ST Racing during Thursday's meeting for being too coercively demanding and for making an already complicated situation more difficult. Castellanos said over the past two days since Fravel's letter was made public, the CHRB has been inundated with calls from concerned constituents.

“I'm not upset because of the calls,” Castellanos told Fravel. “I'm upset because I don't do well with bullies. That's the problem. I'm upset that you [put this burden on] the CHRB. And that's not right. But, if that's the way you felt [you needed to] play the game, then that's what you're going to do…. You want to be the bully? You want to take your ball and run? Then that's up to you. I'm not advocating that. But what I'm saying is don't put that burden on us…. Everybody in this room has a responsibility to take care of themselves and each other. And I believe that that hasn't been done.”

CHRB commissioner Wendy Mitchell told Fravel that she was bothered by 1/ST Racing announcing Golden Gate's closure, not working constructively with NorCal interests to present a workable alternative, then responding with threats of closure when 1/ST Racing didn't like the concept that CARF came up with.

“That's not fair and that's not right,” Mitchell said. “And that's not a good business strategy…. You can't just throw out all these threats to us and say the industry is going to collapse in California [if you don't get your way].”

Mitchell continued: “We're expected, as regulators, to pick sides. To pick north against south. To pick fairs, versus, you know, the Southern California tracks. I don't like the way this was handled. I don't appreciate it. I think we need to have a different attitude and strategy for how to save horse racing in the state of California versus what we have seen so far.”

Fravel then attempted to explain what he meant in the letter using a more moderate tone while underscoring that 1/ST Racing's chairwoman and chief executive officer, Belinda Stronach, remains fully committed to making sure Santa Anita doesn't suffer the same going-out-of-business fate as Golden Gate.

Racing at Santa Anita | Benoit

“The letter didn't say we're shutting down,” Fravel said. “The letter said we have to sit down and figure out what we're going to be able to invest with the prospect of continuing to lose money. I can say one thing: I was on the phone with Belinda yesterday. She does not want to close Santa Anita. We've had offers over and over again from people wanting to [buy it], but [upper management's response has consistently been] 'not for sale.' So the commitment is to continue racing. To make racing thrive at Santa Anita, and to try and reinvest our efforts in this product.”

According to plans for the Pleasanton proposal submitted by CARF that were included in the CHRB meeting packet, “In order to provide for the additional horses expected to run at this meet, more than 300 portable stalls will be moved to [Pleasanton's] Alameda County Fairgrounds. No other improvements to the facilities are needed at this time. However, future investments could include additional permanent stalls, improvements to the grandstand and the installation of a turf course.”

Larry Swartzlander, the executive director for CARF, later put an approximate $7-million projected price tag on the turf course, noting that it wouldn't be undertaken until at least year two of the Pleasanton phase-in.

CARF's plan further called for other dates formerly run at Golden Gate to be reallocated this year between Sonoma County Fair (July 31-Aug. 20), Humboldt County Fair (Aug. 21-Sept. 17) and the Big Fresno Fair (Sept. 18-Oct. 15).

CARF and Alameda County Fair have drafted a licensing agreement that will cover five years, the written materials stated.

Back in January, the TOC had previously articulated in front of the CHRB that even though it was in support of any “feasible and viable” plan to keep year-round racing afloat in NorCal, a danger existed in the form of that move increasing economic pressures in the south that the TOC believes would erode the overall California product.

On Thursday, Bill Nader, the TOC's president and chief executive officer, said that while agreement among its board members wasn't unanimous about not backing the Pleasanton plan, “in terms viability, there just wasn't enough assurance that this was a viable plan.”

Nader said the TOC had difficulty with the extended Pleasanton meet using the higher California takeout structure that applies to fairs (instead of the lower commercial takeout scheme that Golden Gate would have been required to use), because, he explained, that form of bet pricing would be burdensome to horseplayers.

Nader also said that he wasn't sure CARF's proposed daily purses (which are still a work in progress) reflected an accurate projection, because Pleasanton would basically have to match what the better-established, lower-takeout Golden Gate meet generated in betting handle to achieve it. The TOC, he said, has come up with slightly different and lower figures.

Nader made it clear that he wasn't arguing which projection was right and which was wrong. But he did state concerns that within a few months, the CHRB will have to make decisions on 2025 dates allocations, and that even then, the Pleasanton meet won't yet be completed, so no one will have “the real truth” on whether the numbers make sense or not.

“The TOC does represent the north. It does represent the south,” Nader said, which elicited catcalls and boos from many in attendance who have accused the TOC of not being representative of the NorCal interests. “What we want is just reliable, accurate information to understand what puts California in the best position going forward.”

Nader continued: “No matter what we do, no matter what decisions are made, there's going to be some pain, and there's going to be some who are going to walk away disappointed. And unfortunately, that's inevitable. I don't care what decision is made–no matter what we do, it's going to have impact to the detriment of some. Frankly, I just think it's unavoidable.”

Alan Balch, the executive director of the CTT, explained prior to the CHRB's vote why his organization backed the NorCal plan.

“Our board, nine people south and north, are unanimous in supporting the effort to keep Northern California racing going,” Balch said. “We believe that racing is California is not going to survive in any meaningful, important way without California breeding, [and] we just need to have a chance to keep breeders interested and motivated to breed, and to provide hope for the future.

“We can all disagree about the viability of any particular northern plan,” Balch said. “But with no plan and no racing in the north, there is very little incentive for California breeders to continue.”

Balch said that his constituents have heard too much rhetoric from the TOC and 1/ST Racing along the lines of, “If this northern money doesn't come to the south, we'll have to cut purses in the south.”

But, Balch postulated, “Do these people realize that if there is no Northern California racing, the Northern California purses will be cut to zero? Does that make sense? Not if we're all in the same state. We have to work together.”

Prior to the CHRB's unanimous vote in favor of the NorCal plan, CHRB chairman Gregory Ferraro, DVM, pointed out that, “This is a serious fiduciary responsibility that the board is taking on here, [and] it's increasingly clear to me that if racing is going to survive in California at all, we can't make two circuits. We have to make one circuit [in which tracks] are not conflicting with each other, where you're benefitting each other.”

CHRB vice-chair Oscar Gonzales added that even if the NorCal interests get what they want out of the vote, they, too, must realize that SoCal does need some form of cooperation and financial help.

“I believe that this [vote] should be an opportunity to reset, [and] the start of mending fences,” Gonzales said. “And [then] let's get on with making California racing the best in the nation.”

Castellanos concurred.

“We need to work together. We need to figure out how to keep racing in California. Not just northern, not just southern–in California. Because if we keep on going at this rate, we're going to implode. There's no reason for us to cannibalize each other,” Castellanos said.

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Vocal Two-Circuit Supporters in Cali Come Out Firing in First of Many Expected North/South Skirmishes

The precarious, up-in-the-air future of California racing and whether or not the state can continue to support two geographic year-round circuits was made no clearer after Thursday's California Horse Racing Board (CHRB) meeting. The 3 1/2-hour session was dominated by discussion of competing North-versus-South plans that both tried to carve a sustainable path forward while underscoring the dire circumstances that face the industry with the June 9 closure of Golden Gate Fields looming like an unavoidable asteroid.

Although the CHRB concluded the meeting–which featured testimony that was at times emotional, hopeful, angry, and even ominous–without taking any voting action on the situation, proponents behind ideas that would turn one of the NorCal fairs locations into a venue capable of hosting nearly year-round Thoroughbred racing had a decided edge in turnout and vocal support.

In part, that's because those NorCal-based supporters enjoyed a home-track advantage, because the Jan. 18 CHRB meeting was held at Cal Expo in Sacramento, the preferred location for a year-round venue as outlined in a presentation by the California Authority of Racing Fairs (CARF).

But the locale wasn't the only factor, as much of the back-and-forth debate also came across as a referendum about larger racing entities allegedly trying to trump smaller ones, whether or not 1/ST Racing and Gaming–which owns both Golden Gate and Santa Anita Park–will be good for the state in the long run, and whether or not the Thoroughbred Owners of California (TOC) organization speaks for all the stakeholders in the state or just the higher-end stables based in SoCal.

Yet it was telling that no fewer than 26 industry stakeholders spoke before the board on this wide-ranging, controversial North/South topic during the public commentary period, and not a single one voiced support for an alternate plan proposed by TOC in conjunction with executives from Santa Anita Park and Del Mar Thoroughbred Club.

That TOC-backed concept would consolidate all commercial-track racing in the state at SoCal. The goal would be to maintain level purses there under a simulcast revenue “redirect” plan that would also try to accommodate displaced Golden Gate outfits by creating more opportunities for lower-level horses to race at Los Alamitos Race Course, dropping the “claiming floors” at both Santa Anita and Del Mar, and establishing “relocation allowances” for stables that had to pack up and move.

The TOC's takeaway message was that even though it is in support of any “feasible and viable” plan to keep year-round racing afloat in NorCal, a danger exists in the form of increasing economic pressures in the South that, in turn, could contribute to millions of dollars in purse overpayments at Santa Anita and Del Mar that would likely erode the overall California product.

“With the closing of Golden Gate, can we continue to support two full-time circuits? This is a fair question,” said Bill Nader, the TOC's president and chief executive officer.

“We are running out of time,” Nader continued. “If there is agreement on one point, I think it would be that the latest possible decision on the allocation of 2024-25 race dates would be at the CHRB meeting in March. This would help re-establish stability and certainty for the many who are looking for answers.”

Nader's tone was largely somber and straightforward as he discussed the TOC's rationale with executives from 1/ST Racing and Del Mar presenting alongside. But at times his comments were met with derision and catcalls from opponents, who greatly outnumbered the supporters of the TOC's plan.

Many of those same folks also cheered and applauded any mentions of trying to save year-round NorCal racing.

At one point, CHRB chairman Gregory Ferraro, DVM, asked audience members to respect decorum so that the outbursts wouldn't bog down the meeting. But his request to “stop the clapping and the booing” went largely unheeded.

Larry Swartzlander, the executive director for CARF, detailed his organization's work-in-progress plan to install a seven-furlong track inside the current main mile oval at Cal Expo, which for years has largely hosted Standardbred racing outside of the short season that the Thoroughbred fair races in Sacramento.

Swartzlander said Cal Expo would likely race 103 Thoroughbred dates in the future (on the outer oval), with cards scheduled roughly twice weekly when the other NorCal fairs weren't in season.

“We are looking at funding from horsemen, CARF, and potential grants,” Swartzlander said, admitting that his plan is just in its initial stages because horsemen in California have only known since July about 1/ST Racing's plan to close Golden Gate.

As a result, Swartzlander was light on specifics such as firm costs and a timeline.

Swartzlander said next up is a Jan. 26 meeting with the Cal Expo board of directors seeking conceptual approval.

“If the board does decline to approve racing at Cal Expo, we will move to Pleasanton,” as a potential year-round NorCal racing home, Swartzlander said. “The Pleasanton board is very strongly in support of racing, and if I have to make one commitment to you, Pleasanton will race.”

When CHRB executive director Scott Chaney pressed Swartzlander for cost details, Swartzlander gave an estimate for state-owned Cal Expo's overhaul in the $1- to 1.5-million range.

Chaney expressed surprise at such a low figure.

“I'm not going to lie. I think you're very low,” Chaney said.

“One of the things that concerns all of us is uncertainty right now,” Chaney said. “We're, I'm sure, bleeding horses every day because there's no clear plan. We don't know what we're doing in the future [and] I am concerned about timeline and cost at Cal Expo. I just think it's unrealistic. I know it's unrealistic, to be honest.”

Commissioner Wendy Mitchell said she appreciated CARF's efforts at coming up with a plan, but also expressed doubts.

“I don't see how any of this lines up,” Mitchell said. “And I guess my concern from a regulatory or from the industry perspective is I don't want to create false expectations for people that are really unattainable…. I don't mean to be negative or a doubter, but I'm trying to be realistic and pragmatic about what the industry is facing.”

Commissioner Damascus Castellanos said that the time crunch and uncertainty was caused by 1/ST Racing, not CARF.

“The industry was kind of slow to get going on this whole thing,” Castellanos said. “We would be so further along if [1/ST Racing] came to us with proper notice [and] the groups in this room today probably could have gotten together and been done with this plan.”

Ian McLean, an owner and breeder, said during the public commentary session that the CHRB itself is partly to blame.

“If I'm not mistaken, this board works for us. We don't work for you,” McLean said. “The one thing that I've asked this board for years and years is to give us more attention in NorCal. Give us more time. Make us more important. Listen to what we have to say, and make us feel like we matter. And I don't think that's been done.”

McLean said the CHRB's response to CARF's proposal is too focused on negativity and “looking for the holes” in the plan.

“And I agree that you should look for the holes,” McLean continued. “But you should also look for 'How could we patch those holes?'”

Jamey Thomas, a third-generation NorCal trainer, advocated for the CHRB taking a slower approach.

“CARF needs time to get all this situated and done,” Thomas said. “It's kind of been a rush job. They're rushing us, forcing us, to get this stuff done faster than it can be done. Again, if they had let us know a year ago, by now everything could have been in place, we would have had a place to run. And we will have a place to run. The thing is, we just need the time.”

Tom Bachman, who said he's been breeding and selling Thoroughbreds in California for 40 years, underscored that the state's bloodstock industry works on a different timeline.

“My concern as a breeder is that the decisions I make today, the results are three or four years away when I've got to sell,” said Bachman. “So it's very difficult to have faith that three or four years from now there's sustainable racing in California. So my breeding now has moved to Kentucky.”

Johnny Taboada, who was a TOC director until last Sunday, when he was one of three directors to resign in protest over the TOC's proposed statewide consolidation, told the CHRB that the NorCal fairs are in jeopardy without a year-round track in the region.

“If you rush into the decision without giving the chance for the NorCal [entities to come up with an plan for a] circuit, you're going to not only put people out of work, you're going to be closing the fairs as well,” Taboada said. “If we don't have the dates assigned to the North and therefore the money goes to the South, that will be the end of not only NorCal racing, but also the fairs.”

CHRB chairman Ferraro wrapped up the session by saying that this is only the first major discussion on an enormously important topic.

“We needed your information. We need your input,” Ferraro said. “I'm telling you, it's not easy sitting in this chair looking at this situation. It is almost a no-win situation for this board. We're going to do the best we can to do right by everybody. But obviously, we have no decision-making [Thursday], so we will have to end this meeting without a decision, and we'll see what happens over the next couple of months.”

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CHRB Backs Blea Ahead of ‘Dangerousness’ Hearing

Three members of the California Horse Racing Board (CHRB), plus the agency's executive director, on Thursday advocated for the reinstatement of temporarily suspended CHRB equine medical director Jeff Blea on the eve of his hearing before the California Veterinary Medical Board (VMB) to rule on a list of allegations that include administering “dangerous drugs” to racehorses without examination or medical necessity.

“For my own two cents as chairman, I think that the issues surrounding Dr. Jeff Blea brought forth by the veterinary medical board are both ill-advised and slanderous,” said CHRB chair Gregory Ferraro, who is also a licensed veterinarian.

“Unfortunately, he has now become a pawn in a politically driven agenda to disparage horse racing in California,” Ferraro said. “The people behind this effort are willing to sully and besmirch Dr. Blea's reputation to achieve their ends. And while they are in the process of achieving these goals, the health and safety of racehorses are being compromised every day that Dr. Blea is not allowed to perform his duties.

“Personally, I am dismayed that no one in authority is willing to step forward and call out this ordeal for what it is–an unwarranted and unfair vendetta,” Ferraro summed up.

No members of the CHRB voiced criticisms of Blea. But when the topic was opened up to hear the opinions of nine members of the public who had requested commentary time, sentiment turned against Blea and the CHRB's backing of him by an 8-1 margin.

Among the public opinions voiced were some that advocated for letting the VMB process play out so Blea's allegedly “reckless” behavior could be properly adjudicated. One speaker also called for Ferraro to go on the record by naming the people or entities he believes are slandering Blea.

After the public portion of the Jan. 20 CHRB meeting, the board was scheduled to discuss the case in greater detail while operating in a closed executive session.

TDN reported last week how the VMB also claims that Blea presents a “danger to public health, safety and welfare” due to his oversight of the high-profile investigation into the death of the Bob Baffert-trained Medina Spirit, the GI Kentucky Derby winner who collapsed and died after a scheduled workout Dec. 6 at Santa Anita Park.

The alleged medication violations occurred before Blea's tenure began at the CHRB, when he was previously employed as an attending veterinarian who treated racehorses.

“Although I question the veracity of those allegations, what is particularly disturbing is the desire to suspend his veterinary license in advance of his hearing, and more to the point, prevent him from working in his role as equine medical director,” said Scott Chaney, the CHRB's executive director.

“I am sorry for Dr. Blea and his family. And although he has been professional and hopeful throughout this ordeal, it is not right that his excellent reputation be besmirched in this way,” Chaney said.

Chaney said the CHRB has hired outside legal counsel to represent its interests in the case and to “right this wrong.” He added that acting veterinary personnel have been appointed to ensure that the equine medical director's duties get covered, but that the CHRB is “less effective without him.”

CHRB vice chair Oscar Gonzales said, “In order for the CHRB to keep moving in the right direction, we need Dr. Blea as equine medical director.”

Commissioner Alex Solis also spoke out in defense of Blea's character and competence.

None of the four CHRB-affiliated speakers directly addressed the charges against Blea. They largely chose to cite declining equine fatality statistics at the state's racetracks, which they said underscored the importance of having their chosen equine medical director in place to further those efforts.

Gonzales cited “outdated standards and regulations” as a factor in Blea's case, and he implored the CHRB and VMB to meet “as soon as possible” to update such standards to prevent similar “unintended consequences.”

Public commenter Lynn Freudenberg, who signed up to speak as a member of an organization called “Kill Racing, Not Horses,” advocated for the CHRB to take an introspective look at its defense of Blea.

“I know you guys have a personal relationship with Dr. Blea. And I can see why you like him. He's your veterinarian–of course you like him,” Freudenberg said. “But you have to realize that the veterinary board has reason and they have evidence, and they're asking for this to be debated if [Blea's conduct] is wrong.

“Dr. Blea is being charged with negligence. He's administering drugs, medications [and applying] treatment to animals without performing an examination or performing a diagnosis. He's just blindly giving things out. There's six cases, and they have a list of drugs that go with it,” Freudenberg said.

“These are all recent [allegations]. This is nothing from the past,” Freudenberg said. “I don't know why you would stand behind somebody when his own veterinary board is going against him. I think you have to open your eyes and see what's going on and why this is happening.”

A Jan. 11 TDN investigation into the accusations against Blea found a broad consensus among veterinary medical experts that the alleged infractions are largely matters of poor record keeping that rarely, if ever, rise to the level of a suspended license.

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CHRB: Balch Building Accident Prevention Task Force, Breeders’ Cup Investigation Ongoing

The California Horse Racing Board conducted a meeting by teleconference on Wednesday, Nov. 17. The public participated by dialing into the teleconference and/or listening through the audio webcast link on the CHRB website. Chairman Gregory Ferraro chaired the meeting, joined by Commissioners Dennis Alfieri, Brenda Washington Davis, Wendy Mitchell, and Alex Solis.

The full audio of this entire Board meeting is available on the CHRB Website (www.chrb.ca.gov) under the Webcast link.

In brief:

· Alan Balch, the executive with California Thoroughbred Trainers who is spearheading the formation of a broadly based industry committee designed to develop regulations and procedures to further decrease equine injuries, reported there is widespread interest among all elements of California horse racing. He said the full committee and the smaller steering committee are in the process of being formed. Balch promised to give the Board reports every one or two months.

“I hope to have something very concrete by February,” he added.

· The Board approved two license applications for racing at Los Alamitos. The traditional night Quarter Horse meet conducted by the Los Alamitos Quarter Horse Racing Association will open Dec. 26, 2021, and run through Dec. 18, 2022. More immediately, a short, daytime Thoroughbred meet conducted by the Los Alamitos Horse Racing Association will run from Dec. 3 through Dec. 12.

· Pertaining to those two meets at Los Alamitos, the Board approved agreements between the meet operators and the horsemen's groups for those two breeds allowing the racing secretaries to set entry conditions limiting certain medications and procedures.

· The Board approved the license application for Watch and Wager LLC to conduct a harness meet at Cal Expo that will open Dec. 26, 2021, and run through May 1, 2022. General Manager Chris Schick said they will offer an expanded stakes schedule for this meet.

· The Board approved an amended license for NYRAbets, LLC, to provide Advance Deposit Wagering services, necessary because of a partial ownership change. NYRAbets President Tony Allevato reported that Fox Sports has acquired a minority interest of 25 percent in the company.

· CHRB Executive Director Scott Chaney reported on the Breeders' Cup that was run at Del Mar on Friday, Nov. 5, and Saturday, Nov. 6.

“Much of the press has centered on a premature scratch in the Juvenile Turf race, which was the last race on Friday's card,” said Chaney. “The CHRB is conducting an investigation, which will determine whether any regulations were violated and will offer suggestions with respect to how such mistakes can be avoided in the future. I also expect to convene a meeting of the Parimutuel Committee to determine if our rules relating to wagering can be improved or updated.

“On a more positive note, the Breeders' Cup achieved another record handle, which seems to be the case when it comes to California, but more importantly all races on both days, including undercard races, were conducted without Lasix or any other medication, and were completed without significant injury. Our restrictive crop rule was also in effect for the event, as it is on every racing day in California.”

· Public comments made during the meeting can be accessed through the meeting audio archive on the CHRB website.

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