Golden Gate Fields receives conditional approval for meet

CYPRESS, Calif. – Golden Gate Fields received conditional approval Thursday to operate a six-week race meeting from Aug. 22 to Oct. 2, pending completion of a contract regarding labor costs between the racetrack and an association of Northern California county fairs.

The board of directors of the California Authority of Racing Fairs is scheduled to meet Tuesday to discuss the contract. Thursday, the California Horse Racing Board approved a motion, presented by chairman Chuck Winner, to approve the racing dates at Golden Gate Fields, provided the CARF board approves the agreement by Wednesday.

The outstanding issue surrounds labor costs, particularly salaries for mutuel clerks, officials said. At Thursday’s meeting, officials discussed whether Golden Gate Fields, the county fairs, or Northern California Off-Track Wagering Inc. – which administers the satellite system on behalf of racetracks, county fairs, and the Thoroughbred Owners of California – would be responsible for labor costs.

Golden Gate Fields officials have said in recent months they want to reduce costs by breaking away from a decades-long arrangement with the satellite network and develop an alternative system of betting “cafes” where customers can place bets that would be treated as account wagers.

For the time being, the offtrack betting structure will not change, though the issue remains a concern for racing officials. Larry Swartzlander, executive director of CARF, said the labor issues will need to be discussed again later this summer when Golden Gate Fields seeks approval for its fall race meeting, which is scheduled to begin Oct. 17.

“These issues will resurface for the fall meet,” Swartzlander told the racing board. “This solution is kicking the can down the road. The big thing involves around labor. In 30 days, we’ll be in front of you again.”

Winner warned the parties that they must resolve the issues regarding labor costs on their own.

“As for labor issues, that is not something that is under our jurisdiction,” Winner said. “With respect for kicking the can down the road, our objective was to make sure the summer meeting will be run.”

Last month, the racing board ordered Golden Gate Fields to reach an agreement with the Northern California offtrack satellite wagering systems to run its late summer meeting. The racing board’s legal staff recommended that the board not approve the application for a race meeting because of a lack of a completed application that included agreements with satellite wagering systems.

The racing board gave Golden Gate Fields until July 2 to complete the agreement, a deadline that was missed. The racing board released a statement earlier this month acknowledging the missed deadline, but indicating the parties involved were holding ongoing discussions.