I mention this to our friends in the sports world because yes, Virginia, and Maryland, and Kentucky, and California, and here in New York, too, horse racing was thriving long before the advent of organized baseball, football, basketball and hockey.
Never mind that the automobile wasn’t yet a gleam in Henry Ford’s eye.
With decade-awaited VLT legislation finally arriving late last year, this will be the first season that Saratoga’s purses, already America’s highest, will be slots-infused.
With $930,000 per day in purse distribution on average, it’s not very hyperbolic to refer to Saratoga 144 as “Racing’s Million-Dollar Meet.”
Given the money available in the Empire State, and the 25 percent bonus Del Mar will pay horsemen for ship-and-win forays to the Great Surf Place, America’s most popular handle leaders figure to enjoy memorable seasons, economic climate and all.
But there’s a thousand-pound Thoroughbred in the room and it’s the federal government. The action it will take in the future hangs over these meets as if it were a sword wielded by Damocles himself.
And no matter what side of the medication debate racing factions sits, no one can argue that the industry didn’t bring the specter of government intervention on itself.
In our view, Federal intervention would be the best thing for the industry if it is to survive the present and prosper in the future. When reason gives way to expediency and greed, only a third party with heft can flex the inflexible.
The irony here is that if the industry were given marching orders and immediate action was taken, it still would be the better part of two decades before the gene pool was cleaned out and what happens between the fences again would more meaningful that what transpires in the sales ring: Horseracing as end product; not marketing tool.
However, late breaking bulletins notwithstanding, I’d like to put all this away for a spell and concentrate on the beginning of the sport’s championship season, earning while I learn which the fairest animals of them all are.
Starting today, and again on Friday, I won’t have the time to sit before the computer and watch three more hours of Senate hearings; been there, did that, and it was as predictable as it was instructive.
Archival footage of the event is all over the Internet, and racing’s mainstream media has broken down the testimony and the reaction of legislators to the affidavits they witnessed.
But assessing the event for me was a little like “Playing the Red Board.” Even the analysis was predictable; reactive, picking at snippets of thought free of visceral, inflective context. The pictures as they were streamed live were worth thousands of words:
Sen. Tom Udall of New Mexico, Chairman of the Committee on Commerce, Science and Transportation on “Medication and Performance Enhancing Drugs in Horse Racing,” appeared to react reasonably, attentive and relatively agenda-free.
It may be argued that he harbored some pre-conceived notions, thanks to reports in the New York Times that were at once comprehensive and flawed. Still, Udall appeared to make an honest effort to seek out the truth.
If Udall’s queries appeared to lead any of the witnesses, he did so on both sides of an extremely complex issue.
One witness was Rep. Ed Whitfield of Kentucky, a sponsor of the Interstate Horseracing Improvement Act which would amend 1978’s Interstate Horseracing Act by banning performance-enhancing drugs on raceday, providing for stiff penalties for violators.
Of course, the severity of the punishment would be suitable to the crime and this is where the thousand-pound Thoroughbred reenters the room: What is the definition of a performance-enhancing drug, exactly?
Other witnesses were the industry’s practitioners, representing both the business and sporting aspects of the game, including testimony that addressed health safeguards for racing’s equine and human athletes.
The industry people were forthright and passionate, and all seemed to be speaking from their mind and heart. But depending on whom they were and who they were representing, their schemata began to show.
What was it that these people wanted? Did they just want to help make the current issues disappear? Do these hearings really matter, or is this just for show? What are the goals and what shoud they be, short or long term?
I will need until tomorrow to think this through. Right now I'm distracted; both divisions of the Oceanside Stakes require my undivided attention.
Wednesday: This Is the Business We Have Chosen, Part II


18 Jul 2012 at 04:19 am | #
JP,
Ironically the call for Federal government intervention now coincides with actual state government intervention in racing’s arguably most important jurisdiction. If only Gov. Cuomo’s priority while assuming control of NYRA was to make the racing it conducts in New York a model other states could follow by utilizing collaborative input for best practices from outside the state.
The Federal government could then use the IHRIA to mandate uniform implementation of that model in all states with enforcement by a states-funded, independent commissioner’s office directed by a rotating board of state representatives at whose pleasure the commissioner would serve.
Like the UN Security Council, there could be permanent members, e.g., CA, FL, LA, KY, and NY as well as multiple rotating member tiers completing (as an example) a 9-member board, e.g., 3 members from AK, DE, IL, MD, NJ, and PA; and 1 from AZ, IN, MA, MN, MS, NM, OH, OR, TX, VA, WA, WV, etc.
18 Jul 2012 at 04:56 am | #
I, sounds like grist for an upcoming Players Up mill.
The interesting issue vis a vis feds v. NYS “take-overs” is that the feds won’t be taking over anything.
Secondly, I think the feds will err on the side of a Lasix ban, but not sure that will happen in NY, where NYTHA lobbying vigorously in defense of Lasix.
Let’s see how serious NYS is about better protecting the horses are riders.
Tomorrow’s follow-up will get more into Lasix issue.
Thanks
18 Jul 2012 at 12:30 pm | #
You write, ‘Racing’s Million Dollar Meet’. Now that purses will increase, fueled by slot revenue, not from any decisions or changes made by management, will the actual races be any different?
will takeout be reduced? will beer and dogs be cheaper? will I still have to use my own money to participate and hopefully make a few bucks?
Seems to me that nothing has changed for the people who enter the racetrack through the front entrance. The people who enter the racetrack from the backstretch are the beneficiaries of the slot fueled purses.
18 Jul 2012 at 04:44 pm | #
For once, I absolutely can’t argue, Wendell. I’m hoping that with a change in management to come, takeout can be lowered, at least in one or two pools, the way it is at many racetracks these days, which they use as a marketing tool. All these state generated studies about how racing doesn’t market itself.
What better promotion is there than putting more money back in bettors’ pockets? Funny, you talk about beer and hot dogs. Honest to goodness, on Saturday night, I went to the local harness track because my wife enjoys handicapping the harness races. What was the incentive?
Saratoga Gaming and Raceway held a “fan appreciation night” with dollar hot dogs and soda, free programs, handicapping contests for the crowd and rawings all night long. Lots of families in attendance. And the thing is, I watched and the husbands were making trips to the windows.
Saratoga Race Course is famed for their giveaways which attract mny “spinners,” the kind that don’t contribute to the handle. Maybe the “new NYRA” to come will consider the fan/bettor more; especially the latter. Saldy, however, that’s probably a longshot. Maybe that’s why more people bet from their living rooms these days.
18 Jul 2012 at 07:22 pm | #
So, how is this gift from Genting going to be distributed? With the narrow vision of NYRA management, I can probably guess and be right:
1. purses, 2. purses, 3. purses, 4. operating expenses, 5. executive pension payments, 6. maintenance and improvements to the existing infrastructure.
I should be excited that NYRA is now flush with cash? What is this cash doing for me? Will NYRA make a few wagers for me, eliminate parking and admission fees, buy me the Form, or reduce takeout. Where am I benefiting from this ‘gift’?
Oh, I get it. Purse increases mean that the racing is going to get better. The bigger the purse the more quality is drawn to the race, the horses get easier to handicap, the races become more exciting, and the payoffs get larger - right?
The distribution of the unearned cash from the casino is quite narrow, going mostly to fifty or so owners, trainers, and jockeys, executive salaries and expense accounts, pensions, daily operating expenses, and infrastructure.
And remember all you horseplayers who will be going to Saratoga to enjoy the ‘quality’ racing and atmosphere, that when you make a wager NYRA is grabbing fifteen cents to twenty-five cents from every dollar you wager before the bet amount enters the pool; this after receiving all that money from the casino. Like I said, nothing has changed for the bettor.
And the beat goes on .....
18 Jul 2012 at 08:24 pm | #
Sure would like to see some of that VLT money go towards the bettors in the form of reduced takeouts. How a bout a 15% takeout on Pick 4’s like numerous other tracks have.
Couldn’t agree more with reducing admission, food, and beverage prices. Somebody mentioned free or reduced prices for Racing Forms or Daily Programs as well. Absolutely!
I remember years ago going into the Catskill or Schenectady OTB and they had that days PP’s posted on the wall, what a concept! Totally forgotten today. As a matter of fact, I recall Racing Rorm PP’s being posted at Belmont, near the binocular rental I recall, once upon a time.
If the tracks would subsidize PP’s of at least their daily card, it could go a long way toward creating new and more knowledgeable fans, as well as making old fans happier. What a concept!
Anyway enough dreaming for now.
18 Jul 2012 at 08:29 pm | #
Hey HRI, you fixed the time stamp! Thank You
18 Jul 2012 at 09:19 pm | #
I been thinking (yea, it hurts). Why does the horseplayer who sits at home, beer in one hand, phone in the other, chips in a bowl, get to be treated as an equal to the bloke who paid homage to Saratoga, hopped in his car, filled the gas tank, drove a couple of hours, paid for parking and admission, and to his surprise managed to pick the winner of the first race receiving an identical payoff to the couch potato?
Where has racetrack management showed any appreciation for the guy who is sitting in the grandstand, having wiped the pigeon yuk off of the seat before sitting down?
I just picked up a #2 pencil. Doing the math, using a crowd of 15,000 and a per capita wagering amount of $240, it appears that NYRA would receive $720,000 from on-track wagering (using a mix takeout rate of 20%. Now, if NYRA reduced the on-track takeout rate to 15% for all wagers, NYRA would receive $540,000, a reduction of $180,000. Would they actually be losing any money, as patrons would be getting more for their winnings and no doubt sending it in on the very next race.
Imagine this: (NYRA advertisement) ‘Come to the track in person and wager and receive a discount. The payoffs will be larger than what your fellow horseplayers are receiving at off-track facilities and telephone wagering. Who says we don’t love you?’
Knowing the mind-set of NYRA management, beer and dog prices have probably increased this year.
18 Jul 2012 at 10:33 pm | #
wmc,
Do I detect a more supportive attitude on your part toward lowering takeout in #5, and considerably more detail then usual in #8? Perhaps your absence from the OTB is a positive influence on your thinking.
18 Jul 2012 at 11:07 pm | #
wmcorrow is making a lot of sense these days!
I’d also suggest OTB’s eliminating the surcharge AND reduce takeout. It’s a half hour drive for me to get to the nearest OTB in Kingston NY, so it also costs more than sitting in front of my computer. I go for the comraderie not the added costs. In the 14 years since I moved upstate, attendance at this OTB has plummetted. Half the automated machines are broken, the carpet is torn and worn out, TV’s, seats and benches are worn out, etc, etc… Come to think of it maybe I’ll stay home even more or go to a friend’s house with TVG, internet, and a refrigerator, barbeque grill, etc,etc…
I will be at The Spa Friday and Saturday, but only because my sister lives near Schenectady and I have a place to spend the night.
18 Jul 2012 at 11:57 pm | #
Who is John Galt? Who are those guys? Who is Indulto?
I have never been against lowering takeout. My position has always been, for decades, that takeout has had nothing to do with the decline in Thoroughbred racing’s popularity.
I have been working the phone account for the last few days. Tomorrow it is back to the local OTB, where handle has no doubt been down.
#10: Your description of the local OTB mirrors the local OTB here in this scandal a month state of Connecticut until about two years ago when a British company acquired all OTB outlets in the state from Scientific Instruments (Autotote). To my surprise the new owners have done an excellent job in improving all facilities across the state, even opening additional outlets. However, attendance is still declining which begs the question: what are they doing? where is the profit, honey? It is obvious: the British company is banking on sports betting coming to this corrupt state, as it has in New Jersey and another state (Delaware?). No longer will Vegas have exclusivity.