Officials consider plan to reprivatize NYRA
SARATOGA SPRINGS, N.Y. >> A legislative plan to reprivatize New York Racing Association has several key differences from Gov. Andrew Cuomo’s proposal, Assemblywoman Carrie Woerner says.
In January, Cuomo unveiled plans for a 15-member NYRA board with six instead of 12 state political appointees.
But the plan sparked considerable criticism because it would greatly increase powers of a Franchise Oversight Board, which monitors NYRA’s business activities, including punitive action if NYRA doesn’t meet certain financial benchmarks.
“It’s hard to run a business with those kinds of conditions,” said Woerner, D-Round Lake.
The assembly’s plan for NYRA, similar to one being advanced in the senate, is contained in its 2017-18 budget proposal.
Both legislative bodies want to prohibit the Oversight Board from taking “corrective” action against NYRA.
Under the assembly proposal, the NYRA board would have four state appointees instead of the six Cuomo wants. The governor would have two picks, plus one each by the assembly and senate.
To enure local representation, the remaining board members would include at least one person from each of the three communities where NYRA tracks — Saratoga Race Course, Belmont Park and Aqueduct Racetrack — are located.
The assembly also wants to ensure that no more money from Resorts World Casino at Aqueduct is siphoned away from racing, Woerner said. NYRA and the thoroughbred racing industry are supposed to get a certain percentage of revenue from the casino’s 5,544 gaming machines.
Last year, however, in an 11th-hour state budget deal, revenue from some machines was permanently redirected to financiallytroubled Nassau Regional Off Track Betting.
Critics say this has taken money away from NYRA, its purse structure — the prize money owners, trainers and riders compete for — and the thoroughbred breeding industry.
“This is important for Saratoga County because there are so many horse farms here,” Woerner said.
Despite differences between the governor’s and legislative proposals for NYRA, Woerner said she believes a compromise will be reached before the legislative session ends in June. The Saratoga Race Course season opens on Friday, July 21.
“Unlike last year, the governor has actually put forward a proposal,” Woerner said. “The two (legislative) houses are together. I feel confident that through negotiations we will have a reasonable compromise that sets NYRA up for success.”
NYRA has been under state control since October 2012 when Cuomo instituted a 17-member board with 12 state appointees.
Critics, including many Spa City business leaders, say this has limited NYRA’s ability to make strategic long-term decisions affecting its position in the globally competitive racing world. Saratoga Race Course is a major component of the Capital Region economy.
Until NYRA comes out from under state control, the firm can’t move forward with plans greatly affecting its fiscal strength and viability, the group Concerned Citizens for Saratoga Racing says. The NYRA board has not met since December and no meetings are currently scheduled.