NEWS
NYRA warns employees of possible June 9 shutdown
Posted: Friday, May 21, 2010 9:10 AM
by Paul Post
The New York Racing Association formally has notified employees that it will stop racing and start closing down its racetracks on June 9.
The notices, pursuant to the requirements of the federal and New York State Workers Adjustment and Retraining Notification Acts (also known as WARN Acts), were sent to more than 1,400 NYRA employees on Thursday and indicated that layoffs can be expected to begin as early as June 9.
Meanwhile, NYRA continues to pursue solutions with state officials that could avert a racing shutdown.
“When we're out of money, we stop,” NYRA President Charles Hayward said.
The Belmont Stakes (G1), the third jewel of American Thoroughbred racing’s Triple Crown and arguably the biggest date on NYRA’s calendar, is June 5.
Hayward has warned since December that NYRA would run out of money this summer, but his message has not resonated at the state capital, where lawmakers have taken no action to alleviate NYRA’s financial predicament.
Gov. David Paterson pledged on Tuesday that the state would approve a loan of up to $25-million to keep racing going. Formal layoff notices are the last thing NYRA can do to convince lawmakers its problems are real.
Some of New York’s most prominent horsemen have already taken portions of their stables to Monmouth Park in New Jersey, where a $1-million per day meeting begins Saturday.
“I've got ten there,” said Rick Violette, a prominent trainer, NYRA board member, and president of the 5,000-member New York Thoroughbred Horsemen’s Association. “Most of us had to do it out of self-defense. We're committed to New York, but we also have an obligation to our owners, especially if races we wanted to run don’t fill. This is an expensive game and most owners lose money. We have to put our owners in a position to make money. It's a business decision.”
Several more New York trainers are either new to Monmouth or returning after a long absence this year. Steve Asmussen, Patrick Biancone, Gary Contessa, Nick Zito, and Violette have a combined 80 stalls there, which represent a portion of each of their stables.
Other prominent trainers, Kiaran McLaughlin and Todd Pletcher, are returning with the same number of stalls, 31 and 39, respectively. Monmouth's 1,600 stalls are filled, and the track has a waiting list for others hoping to get in.
“The big guys wanted to have a division here,” Monmouth Racing Secretary Mike Dempsey said. “There's been increased interest from the whole country. We're giving away a lot of money every day.”
Monmouth is getting $20-million from Atlantic City casinos and has shortened its schedule from 93 to 50 days, more than tripling purses from $332,672 to $1-million per day. NYRA reduced its purse structure by $4-million this year.
Hayward insisted Thursday that NYRA’s financial predicament has not affected the quality of New York racing.
“We do not have fewer horses or trainers at Belmont,” he said. “We have 2,000 stalls full of horses and a full complement of trainers. [Racing Secretary] P. J. [Campo] has had no trouble filling races to date, and we are off to a very strong Belmont spring meet.”
It could come to a screeching halt, however, if state leaders do not deal with NYRA's fiscal problems between now and June 9.
“There's a gray cloud hanging over everyone's head,” New York trainer Pat Quick said.
Paul Post is a New York correspondent of Thoroughbred Times
READER COMMENTS
|
|
|
Posted by: waldo, goshen , KY on May 23, 2010 at 09:24 PM
Can someone tell me how an organization like NYRA which is one of the best racing venues in America, and has the best horse racing in the world loses money. Just like all government agencey's either they pay their employees to much or they have to pay pensions that are unsustainable. Just bankrupt the company and let a private company buy them
Report Abuse 
|
|
|
|
|
|
Posted by: Irwin, Rockaway Park, NY on May 23, 2010 at 08:50 AM
Forward this to Charlie Hayward and the rest of the suits.If they took pink slips, NYRA could have a rebirth.
Report Abuse
|
|
|
|
|
|
Posted by: Deadtickets, Hague , NY on May 22, 2010 at 03:26 PM
Saratoga, the city and the track are already up the creek without a paddle. Horsemen have committed to other tracks. They cannot bail out on these commitments as racing secretaries have carded races for them. Short fields will be the norm. Betting people will lose interest and play elsewhere. And it will roll over into next year as the handles will be down and they will offer lower purses. No one wants to be part of this car wreck. Talking to business people around Saratoga, reservations are way off. The NYRA should have been given walking papers when times were good. What business gives out $20k vouchers to people with unpaid vouchers over due. A jewel thrown to the lions. What a shame.
Report Abuse
|
|
|
|
|
|
