View From The Eighth Pole: California Racing, Heal Thyself

Even before impending purse cuts were reported for the upcoming winter meets at Santa Anita and Golden Gate Fields – the two Stronach Group-owned racetracks in California, the latter of which is slated to close for good in June – there has been no small amount of brainstorming over how the racing economics in the Golden State can be improved.

One idea, following the philosophy of Willie Sutton, was to go where the money is – in this case, Kentucky. The Bluegrass State's racing industry is rolling in clover, thanks to the Kentucky Thoroughbred Development Fund enriched by historical horse racing machines that are now scattered throughout the commonwealth at racetracks and satellite facilities. Millions of dollars in KTDF money has elevated purses for Kentucky-breds to unprecedented levels, and the best is yet to come. The philosophy for KTDF purse enhancements is to incentivize owners to buy Kentucky-breds to race in Kentucky.

Maiden and allowance purses for Kentucky-breds are north of $100,000 at some Kentucky tracks, and stakes purses have also soared. By comparison, maiden special weight races will be reduced from $67,000 to $65,000 at Santa Anita this winter and from $30,000 to $22,500 at Golden Gate, according to published reports.

Historically, Californians have been among the leading buyers at sales of Kentucky-breds, with many of the purchases going west to race. If purses decline further, that pool of buyers could dry up, affecting the pocketbooks of Kentucky breeders.

That is why some horsepeople both in California and Kentucky have asked if KTDF dollars can be used to incentivize owners to buy Kentucky-breds to race in other states, including California, with purse enhancements from that fund. The money is disbursed by the Kentucky Racing Commission.

For starters, that wouldn't be legal, according to Kentucky state Sen. Damon Thayer, a longtime Thoroughbred industry executive and racing and breeding advocate who serves as the Senate Majority Floor Leader in Frankfort.

Thayer said the statute for the Kentucky Thoroughbred Development Fund is set up to reward buyers of Kentucky-breds to race at Kentucky tracks. Period.

“I seriously doubt legislators in Kentucky would have an appetite to change the law and allow that money to be used in other states,” Thayer said.

Even if evidence showed how much out-of-state buyers spend on Kentucky-breds?

“I think that's going to be a very difficult sell,” he said. “The racing and breeding industry has had an exceptional three years with four major bills becoming law, and there's a little bit of fatigue right now in tackling any other big racing and breeding issues.

“Everything is working really well, and we just need to focus on staying the course that we've established with HHR, the tax bill, sports betting at the racetracks, and the bill banning the gray games (unlicensed slots-like machines at bars, restaurants, truck stops, and gas stations),” said Thayer. “Those were huge victories for racing and breeding between 2021, '22 and '23. I just don't see an appetite, for example, for letting Kentucky money be offered for races in California.”

Can Kentucky racing be too successful at the expense of other states?

“I don't have that concern,” Thayer said. “I want Kentucky racing to be as successful as it can be. I still think there is more blue sky ahead for the Kentucky horse industry. We're still in the introductory phase of HHR, so I think there is plenty of upside there, with more facilities to open. Sports betting at the tracks just began and I hope the racetracks use it as an opportunity to do some cross-marketing to get sports bettors to sample all of our pari-mutuel products.

“The job for the Kentucky legislature is to make sure the environment is right for Kentucky racing and breeding to thrive,” he said. “I don't think that's our job for other states. That's the job of legislatures in other states. The racetracks, the horsemen, and the breed groups in other states should look at what's happened in Kentucky as a blueprint for what can happen for them.”

Easier said than done. Kentucky's horse industry doesn't have a casin0-enriched Native American lobby in the state capitol like California does, working to squash any competition for gambling dollars.

Thayer said he recognizes that it's important for other states to succeed in order for Kentucky to succeed, listing Arkansas, Indiana, New York, Virginia, Louisiana, and Ohio among the states doing well thanks to revenue from slots, casinos, or HHR.

“There are some states in distress; I recognize that,” he said. “But it would be very difficult to convince the Kentucky legislature that it's our job to help save racing in California.”

In other words, California racing will have to save itself – not an easy task.

That's my view from the eighth pole.

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The Friday Show Presented By Woodbine: A ‘Smart’ Book For Horse Racing Newbies

It's been nearly 20 years since Richard Eng was contacted by a representative of Wiley & Sons publishing to write a book designed to educate newcomers to horse racing on how to handicap and bet on what can be a very complicated and intimidating game.

The book, “Betting on Horse Racing for Dummies,” was part of the company's “dummies” brand of “taking on complex concepts and making them easy to understand.” They've published hundreds of titles for “dummies.”

“Betting on Horse Racing for Dummies” has been successful to the point that Eng was asked by the publisher one year ago to update the book in areas that have changed over the last two decades. The revision was a virtual rewrite of the entire book.

A longtime racing publicist, handicapper, newspaper columnist and radio host, Eng joins Ray Paulick and bloodstock editor Joe Nevills in this week's Friday Show to discuss the “Dummies” book, how to introduce new people to racing, and his thoughts on how the game is ever evolving.

Watch this week's episode of The Friday Show below:

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Paulick: What I Learned At The Global Symposium On Racing – Day Two

What I learned on Wednesday at the University of Arizona Race Track Industry Program's Global Symposium on Racing – Day Two.

While the opening panel discussions on Tuesday were about as cheery as a Dostoevsky novel, Wednesday's sessions were decidedly more uplifting – for the most part. Meeting some of the students and listening to presentations from people who are trying to make a positive difference reminded me of how I felt about the Symposium when I first began attending some 30 years ago. At its best, the annual gathering is an idea factory, giving people something to take home with them when they return to their jobs.

Following are some notes and opinions from Wednesday.

—RTIP Senior Capstone Presentations. Ben Atkinson and Eric DeCoster kicked off the day with a pair of presentations that were as different as night and day.

Atkinson examined ways of making racing a more popular and approachable sport through the use of short videos, or reels, that are increasingly popular on platforms like TikTok, Instagram, and Youtube. He cited research saying people's attention spans have decreased by 25 percent over a 15-year period (not coincidentally, when smartphones started growing out of our hands). The short videos are meant to introduce racing people – jockeys, grooms, and many others – to the public in easily digestible interviews.

DeCoster had more of an “inside baseball” presentation on how to modernize the condition book, adapting a handicap rating system like those used in other countries and revising how claiming races are written. A survey he conducted showed that even racing secretaries, trainers and owners find the way races are currently written to be confusing.

Racing can use more people like Atkinson and DeCoster to lead us into the light.

—“Racing's Success Stories – The Year in Review,” followed the student presentations and, unlike most of Tuesday's panels dominated by aging, white males (like me!), this group looked and sounded different.

There was moderator Annise Montplaisir, co-founder and president of Amplify Horse Racing, whose mantra is “Making Tracks for the Next Generation” through education, mentorship and career opportunities. Kirsten Green, executive director of the Retired Racehorse Project, reviewed the tremendous growth of the Thoroughbred Makeover that features former racehorses showing their skills in other disciplines. Hallie Hardy, executive director of Horse Country – which facilitates tours for the general public of working horse farms in Central Kentucky – relayed how those visits can change perceptions of how Thoroughbreds are cared for. Kyle McDoniel, chief operating officer for Equibase, suggested that expanded data collection can help racing catch up with how other sports use statistics to engage their fans. And Jodie Vella-Gregory, vice president of industry relations for 1/ST Racing and Gaming, provided a promising report on the growth of the recently formed Horse Racing Women's Summit.

With the possible exception of McDoniel and Equibase, none of these initiatives are designed to have an immediate impact on wagering – which remains an essential short- and long-term economic indicator for the sport. But all of them, in their own way, can make a difference in public opinion and on racing's social license to operate. Every one of them is a valuable asset for the industry.

—A third panel on Wednesday morning dealt with a difficult subject that until recently was taboo. “Out of the Shadows – Shining a Spotlight on Mental Health and Emotional Wellness” featured active jockeys Trevor McCarthy and Kyle Frey, and retired rider and current filmmaker Nathan Horrocks. Also speaking were three people dedicated to helping others get through difficult times: Epic Risk Management facilitator Ryan Tatusko, a former professional baseball player who attempted suicide while dealing with a severe gambling addiction; Judy Beck, a licensed clinical social worker with the Backstretch Employee Service Team at New York Racing Association tracks; and Dr. Ciara Losty, a sports psychologist who works with Irish jockeys on mental health issues. The panel was deftly moderated by retired jockey and NBC Sports reporter Donna Barton Brothers.

A screening of Horrocks' short film, “The Fail,” a gripping emotional tale of a steeplechase jockey dealing with the aftermath of a high-profile fall, followed the session.

McCarthy and Frey were extremely candid about the pressures they've faced, with Frey admitting that he “needed a mental health break” and was away from racing for two months this summer after experiencing “a full-blown panic attack.” He entered a 12-step program for what he called “untreated alcoholism,” citing Southern California's Winners Foundation and the racetrack chaplaincy for getting him the treatment he needed.

East Coast-based McCarthy talked about the endless grind that jockeys endure and the fear of losing business if they dare to take time off. “Jockeys don't get time off to reset, to give their bodies a break,” he said. “We have to be disciplined all the time, 365 days a year.”

He shared a story about finding joy from a riding accident that left him with a broken wrist because he realized he would finally get a break. “I was happier than a pig in poop,” he said.

McCarthy also said he's taken a lengthy break from social media after getting into a fight with people on Twitter last summer.

The discussion came in the wake jockeys Avery Whisman and Alex Canchari taking their own lives earlier this year.

—The remaining sessions focused on how racing can and is dealing with economic and societal pressures that jeopardize its very future.

Alan Foreman, moderating a panel entitled “From Data to Dollars – Understanding Horse Racing's Economic impact as Racing's Future Is Questioned,” opened with some grim but realistic comments: “It is no longer being quietly asked: Is it time to end horse racing?” Foreman called the reliance for survival on state and federal lawmakers “the elephant in the room that we dodge,” adding that those in denial about the threat should “just ask the Greyhound industry,” which has been eliminated in state after state.

The remainder of the panel helped answer Foreman's question of whether the economics of the horse industry can overcome the anti-racing sentiment that seems to be more vocal than ever. Julie Broadway, president of the American Horse Council, previewed results of a 2023 economic impact study that is used to demonstrate the significance of the horse industry in terms of jobs, support of small businesses, and significant contributions to the economy. In terms of racing, Householder said, in her conversations with federal legislators, “We also talk a lot about what we do with the horses when they come off the track.”

National Thoroughbred Racing Association president and CEO Tom Rooney – a former member of Congress who now works in Washington, D.C., to elevate racing's profile – said dealing with the current Congress is “extremely difficult. Whether or not anything is going to get accomplished in the next year for our industry or anybody is dubious to predict.” He added that many of today's politicians “are more interested in clicks or becoming famous than getting things done.”

Najja Thompson, executive director of the New York Thoroughbred Breeders, and Lonny Powell, CEO of the Florida Thoroughbred Breeders' & Owners' Association, both stressed the importance of economic data in support of the industry to gain support in their state capitols. “Economic impact studies have to be relatable to legislators,” Powell said. He cited three states he's worked in, saying in Washington he was able to show that the horse industry was bigger than ship-building; in Arizona, racing was the third largest tourist attraction; and in Florida, it is bigger than Major League Baseball's spring training season.

Powell also roundly criticized racetrack executives for not participating in the AHC economic survey, saying only four tracks responded. “How are we going to tell our story if no one is even trying?” he asked. “I don't get it.”

—Turf Publicists of America's Mark Kaufman Workshop focused on “Communications and Protocols for Equine and Jockey Injuries,” offering some insights on how to get the message out to media and the public that racing is improving its safety record for horses and riders. Amy Zimmerman, senior vice president at Santa Anita Park, suggested racing people should reclaim the term “animal activist,” because no one cares more about horses that the people who work with them on a daily basis. “I'm an animal activist,” she said, calling those who oppose the sport “racing abolitionists” and “extremists.”

Chip Tuttle, a partner with CTP in Boston that advises a number of racing organizations, said it is up to the sport to get out the message that injuries are decreasing overall despite some high-profile incidents in the past year. “Racehorse deaths generate clicks and eyeballs,” Tuttle said. “If we want the more positive narrative, we really have to shout it from the rooftops ourselves.” Tuttle said the NTRA has done a good job putting together information on its website showing the many safety protocols for horses but that the public is unaware of many of those efforts.

–Integrity issues dominated the final two panels, with the first session spotlighting regulatory investigation teams used for major events and the second featuring a variety of people from the Horseracing Integrity and Safety Authority and the Horseracing Integrity & Welfare Unit. The latter included information on how much of the data now being collected on horse health is being used by HISA, how HIWU's investigation unit goes about its work, and the progress being made in drug testing and harmonization of laboratories contracted with HIWU to conduct pre-post, post-race and out-of-competition testing.

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Paulick: What I Learned At The Global Symposium On Racing

What I learned on Tuesday at the University of Arizona Race Track Industry Program's Global Symposium on Racing.

I've been to this rodeo a few times, though not to all 49 since the Symposium was first held in 1974. I'm sure someone wears that distinction with pride. I wonder what the sport's biggest challenges were when this annual gathering was created.

Following are some notes and opinions on Day One.

—-Lisa Lazarus, chief executive officer of the Horseracing Integrity and Safety Authority, said one of the things the organization will focus on in 2024 is to explore “potential funding mechanisms both governmental and private to reduce the financial burden to the industry.”

One thing I've heard over and over from people who have dealt with Lazarus is that she listens. This is one of those examples.

HISA is expensive. Regulating a gambling activity that involves animals is bound to be expensive if done right. It hasn't been done right in the past with the various state commissions.

Lazarus also said a focus in 2024 will involve greater collaboration with “all industry participants.” One example: Next month, HISA plans to launch a “Next Generation Advisory Group” that will provide younger individuals an opportunity to be heard.

She also said technology will play a greater role going forward. “Many answers to our most pressing problems lie in our data.”

—-Andy Beyer, who I consider an industry treasure as a beloved curmudgeon, was out-curmudgeoned by Steven Crist and Jay Privman during a panel discussion, “Legends of the Game – Racing's Iconic Turf Writers.”

Beyer was inclined to agree with calls to change the timing of the Triple Crown, saying horsemen are no longer willing to run horses back in the Preakness two weeks after the Kentucky Derby – the Derby winner often being the lone exception. Crist and Privman both pooh-poohed adding more spacing between the races, saying the Triple Crown is one thing the industry does right.

Crist said one of his all-time favorite days was the 1989 Belmont Stakes when Easy Goer turned the tables on Derby-Preakness winner Sunday Silence. In the current climate, Triple Crown rivalries do not exist because horses that don't win at Churchill Down won't show up at Pimlico for the Triple Crown's middle leg as Easy Goer did.

—-Speaking of embracing change, that was the title of the next Tuesday morning panel, which asked the burning question, “Are We Ready to Adopt Category 1 Rules in the U.S.?”

Honestly, I don't care whether or not the rules governing disqualifications are tweaked – and the consensus of the panel favored change that would result in fewer DQs. I just would like to see consistent rules across all racing jurisdictions and, more importantly, consistent application of the rules.

Horseplayers, me included, are fed up with inconsistent officiating. But I suppose we could say the same of NFL referees.

—An afternoon panel, “Land For Sale. How Will Race Track Closures Impact the Industry's Long-Term Sustainability?” might as well have been called The Undertakers. There were only glimmers of hope for racing's future from the speakers who cited declining foal crops, declining wagering, and a declining number of racetracks. But maybe that's what you get when you ask six aging, white, male industry professionals (not unlike me) to sit on a panel discussing the future.

—Finally, the manure from the enablers of computer-assisted wagering players was knee deep in a panel pondering “The Good, The Bad, and the Future” of a maddening development that is causing longtime horseplayers to quit the game.

The largest CAW players are affiliated with Elite Turf Club, which is owned by the Stronach Group and New York Racing Association. Stronach Group and NYRA won't reveal the sweetheart deals given to Elite players or provide wagering details on how much Elite Players are betting or winning. One panelist was blatantly dishonest in saying anyone could get the same deals.

Scott Daruty, a longtime Stronach Group executive, essentially said “trust us” when it comes to the kinds of deals they are giving to the Elite players.

As former President Ronald Reagan said during negotiations with the Russians on arms control: “Trust, but verify.”

I'll trust them when they are more transparent and we can verify the deals Elite Turf Club players are getting, how much they are betting, and how much they are taking out of the pools.

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