RWB-17-12-00002-E Qualifying Performances for Horses That Compete at Harness Racetracks

4/25/12 N.Y. St. Reg. RWB-17-12-00002-E

NEW YORK STATE REGISTER

VOLUME XXXIV, ISSUE 17

April 25, 2012

RULE MAKING ACTIVITIES

RACING AND WAGERING BOARD

EMERGENCY RULE MAKING

 

I.D No. RWB-17-12-00002-E

Filing No. 281

Filing Date. Apr. 04, 2012

Effective Date. Apr. 04, 2012

Qualifying Performances for Horses That Compete at Harness Racetracks

PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:

Action taken:

Addition of section 4113.5(a)(1)(i) to Title 9 NYCRR.

Statutory authority:

Racing, Pari-Mutuel Wagering and Breeding Law, sections 101(1) and 301(1)

Finding of necessity for emergency rule:

Preservation of general welfare.

Specific reasons underlying the finding of necessity:

The Board has determined that immediate adoption of this rule is necessary for the preservation of the general welfare and that compliance with the requirements of subdivision 1 of Section 202 of the State Administrative Procedure Act would be contrary to the public interest.

This rule is necessary to protect the general welfare of the horse racing industry and the thousands of jobs that are created through it. On March 26, 2012, Saratoga Raceway closed its racetrack to racing due to an outbreak of strangles, a highly contagious bacteria-borne equine disease. The Saratoga track is scheduled to re-open on April 11, 2012 and shipping restrictions associated with the strangles outbreak are expected to be lifted at the same time. As a result of this outbreak, the shipping of harness race horses was restricted at Saratoga and other New York State racetracks where these harness horses travel to compete. As result, horses that were scheduled to meet qualification requirements were unable to do so. Subsequently, the horse racing economy and the revenues derived for support of government, have been adversely impacted. This amendment is critically needed to restore harness racing to its normal levels in New York State as soon as possible. The Board has determined that a temporary 30-day emergency rule allowing for a 60-day qualification period will suffice.

Subject:

Qualifying performances for horses that compete at harness racetracks.

Purpose:

Extend to 60-days the qualification period for standardbred horses due to limitations on shipping horses and quarantine.

Text of emergency rule:

Subparagraph (i) of Paragraph 1 of Subdivision (a) of section 4113.5 of 9E NYCRR is added to read as follows:

(1) The horse does not show a charted line of a current performance meeting the qualifying standards at the track for the class of race. Current performance shall be defined as a start within 30 days of the date of the race to which declared. A performance on or after September 1 of the preceding year, shall be considered current for a horse making its first start of the current year before June 1 at Vernon Downs, Saratoga Raceway, Monticello Raceway, and Goshen Historic Track. Official workouts shall be acceptable as qualifying performances for this paragraph for horses with previous satisfactory races.

(i) Notwithstanding the requirements stated in Paragraph 1, during the period of April 4, 2012 through May 4, 2012 inclusive, “current performance” shall be defined as a start within 60 days of the date of the race to which declared.

This notice is intended

to serve only as an emergency adoption, to be valid for 90 days or less. This rule expires May 3, 2012.

Text of rule and any required statements and analyses may be obtained from:

John J. Googas, New York State Racing and Wagering Board, One Broadway Center, Suite 600, Schenectady, New York 12305-2553, [phone], email: [e-mail]

Regulatory Impact Statement

1. Statutory authority: Racing, Pari-Mutuel Wagering and Breeding Law, sections 101 and 301. Under Section 101, the Board has general jurisdiction over all horse racing activities and all pari-mutuel racing activities. Section 301 authorizes the Board to prescribe rules and regulations for harness racing.

2. Legislative objectives: To ensure that that the conduct of harness racing is consistent with the public interest, convenience and necessity and with the best interests of racing generally.

3. Needs and benefits: The amendment is necessary to allow horses to compete at harness racetracks and thereby derive income. Racing and qualification schedules were severely disrupted in March and April due to the outbreak of strangles among harness racehorses within New York State. As a result of the outbreak, shipping of horses was prohibited at certain tracks, three weeks of racing was cancelled at Saratoga Raceway, and the training/qualification schedules for scores of horses were negatively impacted. This amendment is necessary to ensure that horse owners, drivers, trainers and grooms remain employed and economically viable by allowing horses to qualify for a race even though unforeseen circumstances have prevented their horses from qualifying. Current performances and qualifying races are used to gauge a horse's speed, endurance and competitive spirit. Such performance provides the public with the assurance that a horse is capable of racing in a competitive manner.

Preserving those racetrack job opportunities is in the best interest of racing generally. The amendment will extend the 30-day qualification period to 60 days for the period of April 4, 2012 through May 4, 2012. The purpose of the existing rule is to ensure that horses are qualified to compete at the level at which the public will be wagering upon their performance. This amendment is necessary to ensure that harness racing is able to recover to it fullest capacity and that revenue in support of government through pari-mutuel wagering is preserved.

4. Costs:

(a) Costs to regulated parties for the implementation of and continuing compliance with the rule: There are no costs to regulated parties. In fact, under the current rule, due to the costs of supporting and training a horse, horse owners may be losing money because of the limited opportunities to qualify, compete and earn money. This rule would reduce costs for horse owners by allowing them to compete more and earn money.

(b) Costs to the agency, the state and local governments for the implementation and continuation of the rule: None.

(c) The information, including the source(s) of such information and the methodology upon which the cost analysis is based: The Office of Counsel of the New York State Racing and Wagering Board made this analysis based upon nature of the rule.

(d) There are no costs, therefore the Board cannot provide an exact estimate of costs.

5. Local government mandates: None. Local governments do not regulate horse racing in the State of New York.

6. Paperwork: None.

7. Duplication: None. The New York State Racing and Wagering Board is the only entity whose duty is to regulate horse racing in the State of New York, and there are no other controlling rules or regulations with any other government agency.

8. Alternatives: No alternatives were considered given the narrowly tailored purpose of adopting a 30-day extension for qualification. The need for this rule is dictated by the unforeseen consequences of a contagious equine infection and the Board has decided that a specific rule extending the qualification period is all that is required to ensure that harness racing is restored as soon and as practicable as possible.

9. Federal standards: None.

10. Compliance schedule: Once adopted, the rule can be implemented immediately upon publication in the State Register.

Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement

This proposal does not require a Regulatory Flexibility Statement, Rural Area Flexibility Statement or Job Impact Statement as it allows the Board to extend the qualification period for a harness racehorse. These proposed amendments do not impact upon State Administrative Procedure Act section 102(8), nor do they affect employment. It will not impose an adverse economic impact on reporting, recordkeeping or other compliance requirements on small businesses in rural or urban areas nor on employment opportunities. This emergency rulemaking will not have an adverse impact on jobs. In fact, this rulemaking will help preserve jobs in New York State. Due to an outbreak in March of strangles, a contagious bacterial infection that affects horses, several racetracks imposed limitations in shipping horses out or into their facilities. Saratoga Raceway discontinued racing altogether between March 26, 2012 and April 11, 2012. Monticello Raceway and Buffalo Raceway enacted limits on shipping of horses into their tracks. This had an adverse impact on the qualifying schedule and racing plans for owners and trainers across the state. Under this emergency amendment, the qualifying period for horses that wish to compete will be extended to 60 days from 30 days to allow harness horses to qualify and compete and thereby restore full pari-mutuel harness racing in New York State.