BREEDING FUND NEWS:
NYC OTB Must Sever Some Contracts or Go Out of Business
End to Aqueduct VLT Selection Process in Sight
What's Happening This Week at Saratoga
Plan Would Put NYRA, Harness Tracks in Charge of NYC OTB
OTB Executive Offers Turnaround Plan
Spa Business Surges After Brilliant Weekend
Jockey Club Round Table Video Replay
Charles Hayward Interview on the State of Racing
Jockey Club Denies Stud Book Privileges to Paragallo
NYRA's Policy Aims to Enforce Anti-Slaughter Regulations
NYBS Co. Says October Sale Looks Like a Go
To All Program Participants:
New York City Off-Track Betting Corporation (NYC OTB) recently announced that
it would “defer” its statutorily required payments to the Breeding Fund that relate
to out-of-state handle and breakage. This “deferment” will result in a shortfall in
payments to the Breeding Fund of more than $200,000 per month, or roughly 64%
of the Breeding Fund’s monthly payments from NYC OTB. In response to this
unexpected action by NYC OTB, the Fund’s Board of Directors was left with the
difficult decision to initiate a “Special Holdback” in order to ensure a more
equitable distribution of awards for the remainder of 2010. Subsequently, the Fund Board members adopted a resolution at the June 24 meeting providing for the establishment of the Special Holdback. The resolution provided as follows:
Due to this temporary decline in Fund revenues, effective for all awards earned
on or after July 1, 2010, in addition to the 30% Regular Holdback (the “Regular
Holdback”), the Breeding Fund shall apply a Special Holdback of up to 20% on
the payment of awards (a “Special Holdback”), provided that to the extent the
Breeding Fund has monies on hand at the end of the year to make distributions,
and consistent with applicable statutory caps, all Breeding Fund participants who
are adversely affected by the application of the Special Holdback shall be paid
first, up to the amount of the Special Holdback, before any portion of the Regular
Holdback is distributed.
It is the belief of the Board of Directors of the Breeding Fund that this Special Holdback will facilitate a fairer and more equitable distribution of awards to
Breeding Fund participants throughout the remainder of the year. Were this
action not to be taken, there was substantial concern that there could be
insufficient Fund revenue in the latter part of 2010 to pay any awards. This
action taken by the Fund will ensure that awardees continue to receive a partial payment while NYC OTB resolves its financial problems.
As you may know, NYC OTB failed to pay the Fund more than $2.1 million in 2009, money that is still caught up in NYC OTB’s bankruptcy petition. Upon filing for bankruptcy protection, NYC OTB pledged to stay current with payments to creditors,
including the Breeding Fund. While NYC OTB kept that promise through March 2010, beginning in April it unilaterally decided to “defer” its out-of-state payment obligations to the Breeding Fund, resulting in this revenue shortfall for the Fund
and the need for our action.
It is our sincere hope that as NYC OTB resolves its financial problems, we will
be in a position to distribute both the Special Holdback and the Regular Holdback monies that Breeding Fund participants have earned.
With respect,
Tracy Egan
Executive Director
New York State Breeding and Development Fund
LATEST NY-BRED NEWS:
In Te Domine, Never Out of Traffic in Riskaverse, Ends Up Third
In Te Domine, winner of the Statue of Liberty Division of the New York Stallion Stakes Series in her last start, had lots of run for the $70,000 Riskaverse Stakes for three-year-old fillies at Saratoga on Thursday, but little opportunity to put it to good use. Hemmed in by traffic for most of the trip, the three-year-old daughter of Freud had to settle for third, making a brave late charge once she got running room.
Spa Notes: Eminent Tale Wins Debut; Fiddlers Patriot Sets Mellon Record
On the heels of Rightly So’s Grade 1 Ballerina victory on Travers Day, New York-breds continue to deliver at Saratoga. On Sunday, two-year-old Eminent Tale, by Read the Footnotes, won his debut. On Monday Fiddlers Patriot set a track record for 5 ½ furlongs on the Mellon Turf Course, edging out the current holder of the record, New York-bred Lady Rizzi, who set the mark in 2008.
Rogue’s Jewel Noses D’ Oratory to Capture New York Oaks at Finger Lakes
by Sarah Mace Blue Devil Racing Stable’s Rogue’s Jewel captured the 25th running of the $75,000 New York Oaks on Saturday at Finger Lakes, winning the 1 1/16-mile contest for New York-bred three-year-old fillies by a nose, just ahead of D’ Oratory, a maiden trained by James Bond, who was making her second career start after [...]
