Tags
champions, economics of breeding, kentucky breeding, lookin at lucky, rachel alexandra, van company business in kentucky, zenyatta
Today, racing fans around the world watched three Eclipse champions race at three different tracks. Two won despite the oddities of pace and circumstance, thus confirming their qualities and great hopes for the future.
The questions will pop up in coming days about Rachel Alexandra and her readiness to compete against Zenyatta in the Apple Blossom. Let’s hope that all works out for the best and that more exciting racing awaits us soon.
Certainly, Lookin at Lucky overcame his difficulties in a roughly run race to show toughness and courage fitting for a champion and classic prospect of considerable promise.
Regardless of the results of specific races, this was a tremendous day of racing at tracks from coast to coast and points in between. By any fair-minded observer, the sport was seen in glory with lovely horses racing on many venues in front of cheering fans.
A black cloud of long-term concern, however, is the state of the breeding farms in the Bluegrass. As horsemen in Kentucky know and some readers of this blog and other reports will have learned, all is not well.
Financial challenges of many kinds await, and they should not be underestimated. In one area of commerce related to the breeding of racehorses, there has been a precipitous drop in activity already.
In the central Kentucky area, several companies make a tidy living by transporting mares from boarding farms to the farms that stand stallions. These breeding shed runs average about $130 each to the mare owner, pushing millions of dollars into the Kentucky economy annually. Yet this year, business is down by more than half for these transport companies. Yes, more than half.
That proportion may alter somewhat in coming weeks if breeders from other states ship mares into Kentucky, but this does sound so very like what some concerned farm owners have been saying might happen. It just seems to be happening more quickly than even they expected.
Will the concerns of breeders and farm owners continue to fall on deaf ears among our political leaders?
bloodstock in the bluegrass 
Well, the first bill that passed out of committee is a start, but I actually saw a KY stallion go to stand in IN, and several to LA! The KY legislators need to wise up to what the “Horse Capital of the World” is, and what it needs!!
Barb Fulbright,
I am not sure I like the bill for “Instant Racing” that passed through committee last week. An addition to the bill is a tax on all wagers made by Kentucky residents on Advance Deposit Wagering (ADW) accounts. This tax is listed as “only” 1.5%. Now I am not sure I know how they will handle this tax but I am guessing the ADW companies will pass it along to their customers. Horseplayers do not need any additional taxes (takeout) added to wagers. But in this case the 1.5% tax could actually be a 50% tax on winnings. Let’s use the example of a show wager that returns $2.20. Because we do not deal in pennies for wagering purposes but only dimes when the ADW tax is added into the equation the show ticket becomes $2.10. And that’s a 50% tax on a winning ticket (this does not include the 18% or so that was taken off the top of the wager when your bet is placed). And this tax will be added only to Kentucky residents. Which leaves the poor bettor (yeah that’s me) with just a few options. Stop playing the horses, do not bet via an ADW account and head to the track, make the wager outside of Kentucky, wager illegally via a bookmaker or move to another state. Now moving to another state is not something I would want to consider. However, moving out of a state that David Williams calls home is certainly tempting. If we could get Damon Thayer to drop the ADW tax I would be in favor of the Instant Racing legislation as a way to help breeders in the state receive some financial assistance. I never thought the day would come that people would rather own a Pennsylvania bred horse over a Kentucky bred horse.
Thanks for that info. I’m not a bettor, but I see what you’re saying. I guess I was just glad to see them start to do something!! Gotcha now, though. This is serious stuff, and it just doesn’t seem to be getting through to them. very scary and frustrating!!
Observer,
It is a sad commentary on the state of politics and politicians’ attitudes to racing when the men and women in Frankfort will tack on another tax to a supposedly helpful bill.
Such actions are enough to make us question where the politicians’ loyalties lie.