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View From The Eighth Pole: The Skunk In Arizona Racing

“You don't get in a pissing match with a skunk.”

Those words were first conveyed to me in the mid-1970s when I was dealing with a political operative in Washington, D.C., who wasn't happy with something written by a newspaper columnist nationally syndicated by the company for which I was working.

While that may be good advice, sometimes you just can't avoid confrontations with skunks.

One example came from a recent letter from Turf Paradise general manager Vincent Francia to horsemen who race at the Phoenix, Ariz. track.

The letter, likely dictated to Francia by Turf Paradise owner Jerry Simms, was both delusional and insulting. It said, in essence, if you want us to open Turf Paradise for an abbreviated race meeting in 2021, you'll have to find another organization besides the Arizona Horsemen's Benevolent and Protective Association to represent you. Either that, or the current board and executive director of the Arizona HBPA can resign, and then we'll consider opening for a live meet in January.

“Simms is trying to do the same thing with the horsemen that he did with the racing commission a while ago: divide and conquer,” said Robert Hutton, president of the Arizona HBPA. “His move to get rid of the HBPA is because he doesn't want anyone holding him to a standard.”

Simms and Francia are upset that Hutton and the Arizona HBPA took control of $2.1 million in the purse account generated primarily from Simms-controlled off-track betting facilities from the time live racing at Turf Paradise abruptly ended last March and horsemen were given short notice to leave the stable area.

“We were well within our rights,” Hutton said. “We want to take the purse money and give it to anyone who wants to run a live race meet in the state.”

The move came after Turf Paradise told the Arizona Racing Commission in August that it wouldn't be possible to run a 2020-'21 race meeting because of the COVID-19 pandemic. Virtually every other track in the country has been able to meet the challenge of the pandemic and operate with or without fans on-site.

Turf Paradise said it wanted to hold the horsemen's purse money for a meeting at some time in the future. Never mind the short-term pain having no 2021 meet would inflict on horsepeople who have supported Turf Paradise for years or decades.

According to Hutton, Francia and Simms simply may be trying to buy time and keep churning profits out of their OTB network – which he said can only operate if there is live racing.

“No live racing, no OTBs. That's the law,” Hutton said. “In his settlement agreement with us in March, one of the things we agreed to was he (Simms) could have OTB signals until the end of the year. We're willing to stick to that, but that date is fast approaching.”

In response to Francia's Sept. 17 letter to horsemen, Hutton issued one of his own on behalf of the Arizona HBPA the following day

In it, he calls Francia's bluff and agrees to a January-May race meet on the following conditions:

That Simms “respect the horsemen's choice of representation and refrain from your attempt to tell us, the horsemen, who we can have as our representatives. Respect us, our choices, our leadership, our solidarity, and our industry.”
That Simms “honor the arbitration agreement and allow the AHBPA control of the horsemen's purse account (with the understanding that it will be used for purses during Turf Paradise's live meet). Additionally, reimburse AHBPA purse money from March 2020, when you killed the contract, to present, what the state law requires: 50% of the OTB revenue, when a contract is not in place.”
“The track must be safe for horses and people. Right now, the main track, the turf track and the training track are not fit to run on. The back side is full of trenches, power boxes with wires exposed, and the roads and bridle path are in terrible condition. The barns are, as always, dilapidated. And the clubhouse is uninhabitable. No doubt, to meet this condition, a safety inspection will be required.”

Hutton then added: “As an aside, the condition of your facility and grounds gives us pause as to the genuineness of your proposal. Could it be that you are simply after an AHBPA that you can control so that you will be able to collect revenues from OTBs without live racing and secure approvals for importing the signal without live racing, as you are now? If that is the case, then we will have racing on your terms which is no racing at all. Which would violate state law, and we would be forced to have the Commission regulate compliance.”

There is a skunk involved in Arizona racing, for sure, but it's not the horsemen who started this pissing match.

That's my view from the eighth pole.

The post View From The Eighth Pole: The Skunk In Arizona Racing appeared first on Horse Racing News | Paulick Report.

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AZHBPA to Turf Paradise Racing Proposal: We’ve Conditions Too

The Arizona Horsemen’s Benevolent and Protective Association (AZHBPA) would be amenable to Turf Paradise’s latest proposal to conduct a live 2020-21 race meet as long as certain conditions of their own are met, according to a letter written by AZHBPA president Bob Hutton dated Friday and obtained by the TDN.

“Because we are the heart and soul of horse racing in Arizona, we offer you all we have to help make Turf Paradise the venue for racing it can be and once was,” Hutton wrote, pointing to the horsemen’s horses, approval rights for signals and purse money. However, “there are conditions,” he added, arguing that the condition of the facility and grounds “gives us pause as to the genuineness of your proposal.”

The letter is in response to a missive Turf Paradise sent to the horsemen Thursday, detailing a proposed live meet next year that will run Jan. 2 through May 1.

For that proposed meet to go ahead, however, Turf Paradise management listed in the letter a number of caveats, namely that $2.1 million of disputed purse account monies be returned to Turf Paradise, and that the Arizona horsemen form a new representative organization or for the current AZHBPA board members and their executive director to resign.

These purse account funds have been the latest bone of contention in a long-running dispute between Arizona horsemen and management of Turf Paradise. Track general manager Vince Francia previously told the TDN that these funds contractually belong to Turf Paradise for the horsemen that race there.

The horsemen, however, argue that they ultimately wield control over the purse account, as per a prior arbitrated settlement. Indeed, earlier this week a widely circulated email stated that the AZHBPA has secured a good chunk of this money and placed it into a trust to pay purses if and when racing resumes elsewhere.

Francia told the TDN that he has advised facility owner Jerry Simms that the AZHBPA’s written rebuttal is an “olive branch” to conduct negotiations, and that all conditions are on the table.

The main conditions outlined in the AZHBPA’s Friday response are as follows:

“The first condition is that you, Mr. Simms [Turf Paradise owner], respect the Horsemen’s choice of representation and refrain from your attempt to tell us, the Horsemen, who we can have as our representatives. Respect us, our choices, our leadership, our solidarity, and our industry.

“Here is the second condition: Honor the arbitration agreement and allow the AHBPA control of the horsemen’s purse account, (with the understanding that it will be used for purses during Turf Paradise’s live meet). Additionally, reimburse AHBPA purse money from March 2020, when you killed the contract, to present, what the state law requires: 50% of the OTB revenue, when a contract is not in place.

“This takes us to the third condition: The track must be safe for the horses and people. Right now, the main track, the turf track and the training track are not fit to run on. The backside is full of trenches, power boxes with wires exposed, and the roads and bridle path are in terrible condition. The barns are, as always, dilapidated. And the clubhouse is uninhabitable. No doubt, to meet this condition, a safety inspection will be required.

“If you meet these conditions, we will fully engage in arriving at a new contract. Suffice to say, efforts have been made to resolve our differences, but when you remove the AHBPA from our mutual account so that we, the Horsemen, cannot access our own purse funds, that should have been the end of our efforts to revitalize racing at our venue. Yet, here we are, offering to race again. Join us by respecting our choices and the laws that govern our industry. Then, both being reasonable, we can enter into a new contract.”

The AZHBPA’s latest overture, said Francia, is a “positive” one. “Mr. Hutton is offering an olive branch to discuss everything, including the two terms that we put forth. Something we both want is to have live racing reactivated here the day after New Year,” he said.

“I hope there’s resolution for both of our sides,” Francia added, “because it effects the livelihood of thousands of people in an industry that has a very ingrained attachment to this state. There’s 65 years of memories here.”

Francia also struck a more personal note. “When all this is said and done, I grieve the loss of friendship with Bob Hutton. We were good friends, we enjoyed each other’s company,” he said. “But that friendship has unfortunately been lost. And I understand.”

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Turf Paradise to AZHBPA: Let’s Race, But First Return Money

Turf Paradise is proposing to host a live meet next year that will run Jan. 2 through May 1, according to a letter from Turf Paradise general manager, Vince Francia, to the Arizona horsemen dated Thursday.

Turf Paradise had previously announced that it had cancelled its 2020-2021 race meet due to health fears associated with operating a live meet during a global pandemic.

For the proposed meet to go ahead, however, Turf Paradise management listed in the letter a number of caveats, namely that $2.1 million of disputed purse account monies be returned to Turf Paradise, and that the Arizona horsemen form a new representative organization or for the current Arizona Horsemen’s Benevolent and Protective Association (AZHBPA) board members and their executive director to resign.

These purse account funds have been the latest bone of contention in a long-running dispute between Arizona horsemen and management of Turf Paradise. Francia previously told the TDN that these funds contractually belong to Turf Paradise for the horsemen that race there.

But Thursday’s letter states that the “first condition” for the proposed meet to go ahead at Turf Paradise is that the “$2.1 million” that was transferred be returned to the horsemen’s purse account at Turf Paradise.

“That money does not belong to the AZBBPA or to Turf Paradise,” the letter states. “It belongs to the horsemen who are racing live at Turf. Without that money being transferred back into the horsemen’s purse account, Turf would not be able to host the proposed race meet. It has been publically stated by AZHBPA President Bob Hutton that, ‘they [the funds] will be used only for purse money for whatever track that wants to run a live meet!'”

The “second condition” of a meet at Turf Paradise is that the Arizona horsemen form a new group that represents a “majority of horsemen at Turf Paradise,” and represent the horsemen’s interests in live racing and simulcasting at Turf Paradise. According to the letter, the new group would have to elect a board of directors, including a president and officers, and create by-laws.

The letter also states, however, that another “quicker way” to accomplish this goal would be for the current AZHBPA board members and their executive director to resign their positions, “making room” for a new board and executive director.

As per the letter: “Recently the AZHBPA and Turf Paradise agreed to terminate the current contract between us. A new contract will be needed between Turf Paradise and the new horsemen’s group.

“Suffice it is to say, both Turf and the AZHBPA have tried to resolve their differences. But with the transfer of Turf Paradise horsemen’s purse money into an account by the AZHBPA–without advising Turf management–there is no point in further dialogue or negotiations between the two of us.

“Time is of the essence. There is a lot that Turf Paradise and the horsemen need to do so that we can open racing on Jan. 2. This also includes Racing Commission approval of the proposed live dates. To get this done everyone is going to have to move quickly.”

National HBPA president Leroy Gessmann re-stated the AZHBPA’s position that it ultimately controls the purse account, and that the money is intended for whatever facility conducts a live race meet in Arizona.

“If Turf Paradise wants to run a live meet, all they’ve got to do is apply for live dates, meet the safety standards set forth by the commission, and we will provide them with the purse money,” said Gessman.

When asked about the second condition in the letter–the formation of a new horsemen’s group–Gessman responded: “I don’t know what to say about that-the HBPA is the one that holds the purse money.”

The HBPA is also the horsemen’s recognized group, he added, “not only at Turf Paradise but according to the state.”

Gessman also cast doubts over the sincerity of the proposed race-dates in the letter. “All [Turf Paradise owner, Jerry Simms] is trying to do is keep his OTB system intact,” said Gessman. “He’s not trying to run a race meet.”

According to Francia, however, the change in heart concerning the operation of a live race meet this ensuing winter has been brought about by concerns for the Arizona horsemen.

“The horsemen have wanted and needed a place to race during the winter,” he said. “The pandemic hasn’t gone away–

we’re well aware of that, and we’re going to have to deal with that.”

When asked about his request for the horsemen to form a new group to represent the horsemen’s interests, Francia said that it’s an effort to break the intransigence in ongoing negotiations between the two entities.

“Personally, I’ve known Mr. Simms for 20 years–I’m his good friend as well as his employee,” said Francia. “I am just exhausted and disheartened by this negative energy that has been directed towards him by this board.”

The post Turf Paradise to AZHBPA: Let’s Race, But First Return Money appeared first on TDN | Thoroughbred Daily News | Horse Racing News, Results and Video | Thoroughbred Breeding and Auctions.

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Arizona Horsemen Secure Some Disputed Purse Funds

At the six-month mark of the shutdown of live racing in Arizona that is the result of both the pandemic and a prolonged fight over off-track betting (OTB) privileges, the Arizona Horsemen’s Benevolent and Protective Association (AZHBPA) has reportedly secured some of the disputed money from the horsemen’s account that had been controlled by Turf Paradise and placed it into a trust to pay purses if and when racing resumes elsewhere.

This news was shared in the form of a widely circulated email that made the rounds on social media Monday. It was purportedly written to the AZHBPA membership by National HBPA president Leroy Gessmann and dated Sept. 12.

“[AZHPA president] Bob Hutton, with suggestions from the Board members, was able to acquire part of our purse fund from Turf Paradise,” the email stated. “These funds are now in our control in a trust account and will remain there until our legal issues with Turf Paradise are resolved. When they are available, they will only be used for purse money, for whatever track wants to run a live meet! We have retained an attorney that is working on getting the rest of our money and all money earned in 2021 by Turf Paradise’s OTBs. If [Turf Paradise] won’t host a live meet for Arizona horsemen, they should not be able to profit from our business.”

The state’s two commercial tracks are Turf Paradise in Phoenix and Arizona Downs 82 miles north in Prescott.

Turf Paradise ended its spring meet prematurely Mar. 14 as the COVID-19 pandemic swept the nation. Last month track management withdrew its dates request for a traditional 2020-21 autumn-to-spring meet, citing liability concerns related to COVID-19.

Arizona Downs is the former Yavapai Downs. It reopened in 2019 under the new name but called off part of its race meet because of a simulcasting signal dispute that eventually wound up in the courts. Its 2020 summer season never started as scheduled because local health officials would not extend permission to reopen under pandemic conditions.

At a Sept. 10 Arizona Racing Commission meeting, members of the horse racing community lobbied for officials to help clear the way for expanded dates at Arizona Downs.

“Arizona Downs future with racing is totally dependent on the proposal that Arizona Downs presents to the HBPA board,” the email stated. “The HBPA will make sure the purses are funded properly and that the management team is performing to the standards that the Arizona Horsemen deserve…The HBPA is about live racing and any permittee that doesn’t support live racing will not be recognized by our group. No permittee will be able to operate OTBs after Dec. 31, 2020, without having a live meet!”

At the Sept. 10 commission meeting, chairman Rory Goree said that moving forward, the commission needs to “start looking at what the requirements are regarding live racing versus having an OTB [and] what powers we may have regarding if [a licensee is] not offering live racing [but still operating] OTB networks.”

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