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Election Update Coming Thursday Afternoon

An election-focused update on Ohio’s political enivironment as it relates to the equine industry will be posted on this site later today.

Supporters of Ohio casino bid intend to begin again to place several casinos statewide

FROM: Cleveland Plain Dealer

BY: Michael Sangiacomo

Backers of Tuesday’s failed casino referendum say they are gearing up for another try: This time they will propose several casinos around the state, including in Cleveland.

Rick Lertzman, co-founder of MyOhioNow, said he plans to soon begin the process to collect signatures for a petition to get a casino proposal on the ballot for November 2009.

“We have been talking to coalitions and groups in many parts of the state, including Clinton County, Cleveland, Toledo, Youngstown and Cincinnati, interested in joining the effort for casinos,” he said. “We learned a lot from Tuesday night’s loss, and we’ll address it.”

Issue 6, a state constitutional amendment that would have permitted one casino in Clinton County, lost by a vote of about 63 percent to 37 percent, or 3,153,553 to 1,885,839, according to final, unofficial results. The issue passed only in Clinton County and four counties nearby. It was the fourth time a gambling ballot issue had lost in Ohio since 1990.

Lertzman said that the next proposal would give other Ohio counties the same 30 percent of the gross gambling profits as Tuesday’s failed proposal but that backers would reword the amendment to address opponents’ criticism.

Dave Zanotti, president of the anti-gambling Ohio Roundtable, predicts another defeat.

“Addiction is a terrible thing and obviously these guys are addicted to the ballot process, and they need help,” Zanotti said. “We think that it will be defeated by the same 60 percent of voters that have defeated it the last four times.”

The biggest opposition to Issue 6 came from Penn National Racing, the owners of the Argosy Casino in Lawrenceburg, Ind., near Cincinnati, which would have been the Clinton County casino’s largest competitor.

In a six-week period ending Oct. 15, Penn National’s political action committee spent $27 million on commercials attacking the language of the proposal and the backers. MyOhioNow spent about $20 million.

Penn National spokesman Eric Schippers said the company would watch the next proposal closely.

“Ohio voters recognized that as a bad deal for Ohio,” he said. “They recognized the loopholes and sweetheart provisions.”

Lobbyist Neil Clark, who worked on the 2006 campaign to put slot machines in Ohio racetracks, said the lesson in the Clinton County casino loss is that it’s taking more and more money to defeat casino proposals.

Even so, said Clark, of Columbus-based State Street Consultants, Issue 6 was defeated by its poorly written language.

Problems with the wording included the portion that said the casino would pay “up to” 30 percent of its gross revenue to all 88 Ohio counties, Clark said. Those two words gave ammunition to the casino opponents.

Brock Milstein, one of the racetrack owners who sought a referendum in 2006 to place slot machines in locations around the state, said Issue 6’s defeat was not an indictment against gambling but against MyOhioNow’s plan.

Milstein, chairman and CEO of Northfield Park, said the push for some kind of casino should come from state legislators.

But there does not seem to be much support in Columbus.

Keith Dailey, spokesman for Gov. Ted Strickland, said the governor opposes any kind of expansion of the current, state-run lottery or of other forms of gambling. He could veto any such legislation.

Sen. William Sietz, Republican of Cincinnati, said he believes casinos are a good idea but sees little support for it in the Ohio House or Senate.

“We have three casinos in Indiana that are a half-hour from my district,” he said. “If the Argosy thought it was worth $50 million to keep all the Ohio money going to Indiana, we should look into it.”

Maryland Voters Approve Slot Machines

FROM: Blood Horse

BY: Staff Reports

Maryland voters approved legalizing slot machines in a Nov. 4 constitutional amendment, paving the way for up to 15,000 machines in five locations–perhaps two of them racetracks–and ending years of debate between lawmakers who never managed to pass the measure on their own.

With 66% of precincts reporting, approval of the measure received 59% of the vote, the Associated Press reported. The sites approved by voters are in Anne Arundel, Cecil, and Worcester counties; the city of Baltimore; and on state property in Rocky Gap State Park in western Maryland.

Laurel Park in Anne Arundel County and Ocean Downs in Worcester County are the two racetracks the could end up with slots. Laurel and Pimlico Race Course are owned by Magna Entertainment Corp., while Ocean Downs, a harness track, is owned by William Rickman, who also owns Delaware Park.

On Nov. 5, MEC, which operates as the Maryland Jockey Club, said it “expects to pursue a (slots) license for Laurel Park as soon as practicable after the administrative aspects of the license application process are finalized by applicable regulators.” Though Pimlico won’t have slots, it would share in the revenue, as would all tracks in the state.

“Today is a very important day for horse racing in Maryland,” MJC president and chief operating officer Tom Chuckas said in a statement. “The voters of Maryland have approved a measure that we at the Maryland Jockey Club are confident will help save an industry that we love and that employs thousands of Maryland residents. We expect that introducing (slots) in our state will put Maryland racing back on a more even playing field with its neighboring states.”

The vote could bring about a return of harness racing to Rosecroft Raceway, which closed for live racing earlier this year because of financial difficulties.

Democratic Gov. Martin O’Malley, who proposed the referendum idea, said slots are badly needed to help fix the state’s big budget deficits. “We’re already facing some really tremendous challenges because of the downturn in the economy, and if this had been rejected, we would have doubled those challenges,” O’Malley said.

Comptroller Peter Franchot, who battled hard against slots, told the Associated Press local communities will begin “to wrestle with this issue anew, deciding whether to change their planning” and zoning laws to allow slots.

“The task of balancing our state budget and meeting our critical needs has been made that much harder because so much has been promised to so many,” Franchot said in a statement. “People have been told that they can get something for nothing and we all know that that is not the case.”

Opponents have indicated they plan to fight slots on the local level. The approval process for exact locations hasn’t even begun.

O’Malley included the referendum as part of his plan to address a structural deficit during last year’s special session. Worsening economic conditions have created annual budget deficits in the area of $1 billion for the next several years, causing supporters to press the importance of the financial lift in recent months.

The state could receive $90 million for the next fiscal year through the sale of slot machine licenses. Once slots are fully operational in fiscal year 2013, slots could generate as much as $660 million a year for the state, according to state projections.

Without ADW Deal, Horses May Get Boot

FROM Blood Horse

BY: Tom LaMarra

About 1,000 Thoroughbreds could be forced to leave the grounds of Beulah Park by the end of this year if the racetrack and horsemen’s association don’t have a deal for advance deposit wagering revenue in place by Nov. 21, the day the Ohio State Racing Commission will award racing dates for 2009.

Beulah Park and the Ohio Horsemen’s Benevolent and Protective Association have a deal in place that covers everything except ADW revenue. The temporary agreement has allowed the Ohio track to export its live racing signal for the current meet, during which racing is held five days a week through Dec. 20.

Beulah Park normally would reopen in early January, but it has only requested two Thoroughbred dates and some Quarter Horse racing for 2009. The OSRC rejected the track’s request in October and told management and horsemen to resolve their differences by the November meeting.

Because the live races aren’t available through ADW platforms, and overall handle has declined, Beulah Park cut purses 9% effective Nov. 7. The minimum purse will drop to $3,200.

“At this point, without an ADW deal in place, we’re not going to open for the January meet,” Beulah Park general manager Mike Weiss said. “Without a deal, it takes too much out of the purse account and our bottom line. It’s very possible if the dates aren’t settled, we may close after Dec. 20.”

Weiss said about 1,000 horses are on the ground at the Grove City track. When asked where the horses would go if the barn area closes, Weiss said: “(Horsemen) are going to know ahead of time and have to make other arrangements. I personally pray it doesn’t come to that.”

Beulah Park, whose majority owner is homebuilder Charlie Ruma, is private property. Weiss said the track made a few adjustments earlier this fall to accommodate horses that had nowhere to go between meets at River Downs and Beulah Park.

Horsemen in Ohio and other states have been negotiating for a larger share of ADW revenue for horsemen and racetracks. They generally advocate a one-third split among horsemen, tracks, and ADW providers—about 7% each based on a blended takeout rate of 21% per dollar wagered.

Weiss has said Beulah Park came up with a formula that would have provided about 6% for purses from ADW handle. “Our horsemen are starving but they wouldn’t take it, because this is a fight on a national level,” he said.

On Nov. 4, Weiss said he determined that in 2007 Churchill Downs Inc.-owned TwinSpires.com handled $2.7 million and provided $277,000—10%–to purses from a combination of host and source-market fees. The information about TwinSpires.com and possible closure of the barn area were noted on the Beulah Park overnight for Nov. 7.

Ohio HBPA executive director Dave Basler disputed the TwinSpires.com figures. He said that for most of Beulah Park’s winter/spring meet last year, the ADW service AmericaTAB, owned in part by Beulah Park, was in operation and paying much higher source-market fees for bets made on Ohio races.

AmericaTAB was sold to CDI last spring. Basler said the 10% figure probably is a combination of revenue from both services, with most of the revenue from AmericaTAB.

Basler wouldn’t speculate on when the ADW dispute will be resolved, but a national deal would facilitate resolution of the Beulah Park situation. The Ohio HBPA is a member of the Thoroughbred Horsemen’s Group, which has been negotiating ADW contracts for members.

“Hopefully, we’ll get something done nationally,” Basler said. “The California situation brought people to the negotiating table.”

In California, the Thoroughbred Owners of California, a THG member, hasn’t granted consent for major ADW providers to offer wagering on Hollywood Park races outside of California. Hollywood Park, which opened Oct. 29, has cut purses and claims ADW handle is down 50%.

Kentucky Confirms First EEE Case Since 1995

FROM: The Horse

BY: Erin Ryder

According to a statement from the Kentucky State Veterinarian’s Office, the USDA’s National Veterinary Services Laboratory in Ames, Iowa, today confirmed a diagnosis of Eastern equine encephalomyelitis (EEE) in a Paint filly in Gallatin County.

The 6-month-old filly first showed clinical signs Oct. 9. She was found down and unable to rise without assistance. “Once up filly would fall when trying to step, and (it) demonstrated an inability to swallow,” the report noted. “Condition deteriorated to the point of euthanasia.”

The carcass was submitted to the University of Kentucky’s Livestock Disease Diagnostic Center for necropsy. Testing conducted there and the Department of Public Health Laboratory in Frankfort, Ky., ruled out West Nile virus, equine protozoal myeloencephalitis, and rabies as potential causes of the encephalitic condition.

Tests performed at the federal lab isolated EEE virus in the filly’s brain tissue, and EEE viral RNA in both the isolate and tissue.

The filly was not vaccinated for EEE.

According to the report, EEE is seldom diagnosed in Kentucky. The last confirmed case of a horse naturally infected with EEE in the state was reported in 1995 in an unvaccinated adult mare in Western Kentucky.

Equine are considered a “dead-end host” for the virus, and do not pose a risk of transmitting it to other susceptible animals.

“While we are continuing our investigation, at this point in time how the filly contracted the virus is without explanation,” the report noted.

Tetanus Death Review Finds Correlation to Age, Vaccination Status

FROM: The Horse

BY: Christa Lesté-Lasserre

Young horses are more susceptible to the dangers of tetanus than their older counterparts and are at a greater risk of death due to the disease, according to recent study carried out by Belgian researchers at the University of Liege.

Their research also revealed that, contrary to a common belief, the administration of tetanus anti-serum (TAT) is not 100% effective in preventing tetanus, said Gaby van Galen, DVM, MSc, primary author of the study, which was published recently in a Dutch veterinary health review.

Tetanus is caused by an anaerobic bacteria found in the soil and in feces. It infects horses through wounds. Clinical signs include spasms, stiffness, anxiety, perspiration, extended neck and head, prolapse of the third eyelid, retracted lips, and an elevated tail. Horses that have difficulty breathing or can no longer stand are significantly more likely to die from the disease, the study reported.

Comparing case studies of 30 horses and a donkey admitted to the university’s clinic between 1991 and 2006, van Galen’s team found that 84% of the animals were 5 or less than 5 years old and that 77% of these died or were euthanized within eight days of diagnosis, compared to 20% of those older than 5. The total survival rate of all equids in the study was 32%. Whereas the average age of survivors was 6.7 years old, that of the non-survivors was less than half that age, at 3.2 years. None of the equids had been properly vaccinated, according to the study, although some of them had received TAT preventively (before castration, for example).

“All horses are at risk for tetanus,” van Galen said. “But sadly, more and more people truly believe that there is no good reason for vaccinating against tetanus besides putting money in veterinarian’s pocket. Horse owners need to understand that it only takes a very small wound, often invisible to us, to develop tetanus. Also, they should never subject their horses to non-urgent surgical procedures–especially castrations–unless (the horse has) been vaccinated. You just can’t rely on the TAT, but proper vaccination saves lives and money.”

Proper vaccination, she said, means a TAT for newborn foals, a primary vaccination at 4-6 months of age, a booster 30-60 days later, and a yearly booster. Pregnant mares should be vaccinated three to five weeks before foaling, not only because retained placentas account for a source of tetanus but also because it ensures the passage of antibodies through the colostrum to the newborn foal. TAT should be administered to any horse not properly vaccinated when the known tetanus risk is high (when there are wounds, foot abscesses, emergency procedures, etc.). “But even with the TAT, start a proper vaccination regimen immediately,” she said.

Consider Vaccinating Horses Against Botulism

FROM: The Horse

BY: Edited Press Release

The recent deaths of approximately 100 horses in Florida in an apparent outbreak of equine botulism have highlighted the need for a better understanding of the causes of the dreaded disease, and how it can be prevented.

Haylage contaminated with the botulinum toxin has been implicated as the culprit in the outbreak that spread quickly through a population of mares on a Florida embryo transfer farm (read more). Forage poisoning is the most common cause of the disease that, although well studied, fails to gain the attention of more publicized threats to horses.

“Historically, equine botulism has been considered a regional concern limited to areas of the country where Clostridium botulinum, the soilborne bacterium whose toxin causes the disease, is known to exist,” said Dr. Jennifer Newman, Neogen’s technical service veterinarian. “The traditional reach of C. botulinum type B has been in the temperate Mid-Atlantic soils of the United States, including Kentucky, Pennsylvania, and adjoining states. Types A and C are associated with the vicinities of Colorado, Utah, and the West Coast. Disease outbreaks occur so sporadically that people in non-endemic areas have let their guard down when it comes to the severity of botulism. However, as horses and feed are increasingly transported in and out of the endemic areas, this once regional concern is becoming more widespread.

“To address this increasing concern, the American Association of Equine Practitioners included botulism in the list of risk-based vaccines within its 2008 Vaccination Guidelines,” she continued. “Horse owners routinely, and justifiably, have their animals vaccinated against tetanus, West Nile virus, Eastern and Western equine encephalomyelitis, rabies, and other diseases. Horse owners, with their veterinarians, should also be evaluating the risk posed to their animals by botulism and whether vaccination against botulism is beneficial.”

Dr. Newman said Neogen, in cooperation with a number of veterinarians and veterinary hospitals, has launched educational programs to teach horse caregivers and owners how to preliminarily recognize and prevent the disease.

“Unfortunately, in Kentucky we have years of experience with equine botulism in the form of shaker foal syndrome,” she said. “The disease can be very difficult to diagnose, because its clinical signs of reduced tongue tone, difficulty swallowing, muscle tremors, weakness, and recumbency mirror other diseases. The ‘grain test’ and ‘tongue test’ are two simple tests that veterinarians and horse owners can use initially when botulism is suspected. We have a great deal of additional clinical information available to the equine community on our Web site or by contacting Neogen directly.”

Neogen provides the only USDA-approved vaccine against the predominant cause of equine botulism, C. botulinum Type B. First approved in 1987 and sold exclusively to veterinarians, BotVax B has safely and successfully protected hundreds of thousands of horses and foals from equine botulism and shaker foal syndrome.

Unwanted Horses: A Challenge for Sellers

FROM: Blood Horse

BY: Dierdre Biles

With the economy struggling and the buy-back/no bid rates at Thoroughbred auctions rising, the issue of unwanted horses is a growing concern. Antony Beck, president of Gainesway Farm in Lexington, decided to try to do something about it, by sponsoring an adoption service on the Web site of The Blood-Horse’s sister publication, The Horse (www.TheHorse.com).

The site will allow Thoroughbred owners to list information about horses they are willing to give away free to good homes in the United States.

“It’s a sad, but a very definite situation that we’re facing,” Beck said. “A large number of Thoroughbreds are going to be taken out of the breed one way or another, and it would be wonderful if they could go out of the racing orbit into the show horse or pleasure horse worlds. This is a way we can save a lot of lives.”

Because The Horse focuses on providing equine health information for all breeds, the Thoroughbreds offered through the adoption service will be exposed to a large and diverse audience of horsemen.

Beck also would like to see auction companies advertise in equine publications outside of the Thoroughbred industry because “there is going to be a tremendous opportunity to get some really good Thoroughbred blood for very reasonable prices” in the coming months or even years.

More than 5,800 Thoroughbreds are cataloged to the Fasig-Tipton and Keeneland mixed sales in November in Central Kentucky. All but 189 of that total (including one late addition) are in the Keeneland auction.

According to Keeneland’s director of sales, Geoffrey Russell, his company is taking a “wait and see” approach to the situation, but he praised Beck for seeking a solution to what could become a very big problem.

“We commend Mr. Beck for trying to find alternative markets for these Thoroughbreds (that aren’t considered commercially viable), and we think it’s a great idea,” Russell said.

During previous Thoroughbred market downturns, people buying horses for slaughter and broodmares to join nurse mare herds shopped at the lower end of the Kentucky mixed sales. But the $1,000 minimum bid at both Keeneland and Fasig-Tipton was designed to make horses too expensive for slaughter buyers, and it also probably will shut out nurse mare owners as well.

In addition, there no longer are any horse slaughterhouses operating in this country, which makes buying horses for human consumption less financially feasible.

“What happens to the mares that don’t get sold is something that we are going to have to address,” said Mill Ridge Farm’s Bayne Welker, who is the president and chairman of the Consignors and Commercial Breeders Association.

“My guess is that some of these horses will get pushed off into regional markets where there are good state-bred programs and people can get some breeders’ bonuses if those mares can produce good runners. I can tell you the issue has been discussed with Geoffrey and Chauncey Morris at Keeneland, and I’ve brought up the idea that maybe we could do package deals for emerging markets with some of these mares that don’t get sold, so we can make sure that they get homes.”

Because of overproduction in the Thoroughbred commercial breeding industry, “the market won’t take care of every horse,” said Kitty Taylor of Warrendale Sales. “People have to have a plan B. They have to be willing to say, ‘OK, this mare is coming out of production, and I’m either going to find a good home for her or she’s going to live in my back field, or I’m going to donate her to the University of Kentucky or whomever (for research).

“Everybody is really going to have to start thinking about what they are going to do. It’s very sad for me as a person who loves horses and loves animals, but I would advise a client with an older horse, if they can’t care for that animal anymore, to euthanize it. Don’t let it go down a route in life that is going to be distressful or damaging or a bad way to live, because once you let them out of your control, that’s what can happen.”

The Humane Society of the United States recommends humane euthanasia performed by a veterinarian as an alternative to slaughter, and some equine veterinary practices are offering low cost euthanasia clinics. In a recent survey conducted by TheHorse.com., 89.1% of the readers who responded said low cost euthanasia clinics should be widely available.

“If there are as many horses not sold as we fear there might be, there needs to be some serious discussion about what to do next,” said Dan Kenny of Four Star Sales. “The solutions run the range from rehab farms that are supported by the industry all the way to euthanasia. When you have to take horses back (after they fail to sell), you do the best you can to get them placed somewhere else, which is fine if you’re dealing with a handful, but I think we are going to be dealing with significant numbers.”

John Stuart of Bluegrass Thoroughbred Services believes only a limited number of the lowest-priced sale Thoroughbreds will find new homes with people involved in other areas of the equine industry.

“The sport horse people want a special kind of horse,” he said. “They want something that has the looks, the soundness, and the temperament they like, and they buy those horses, which are really nice ones, for good money privately off the racetracks long before they would ever hit the sale ring.

“If you just want a horse to ride, there are all kinds you can get for free. I fox hunt, and every day on my e-mail, there are messages about horses that I could have if I would just go and pick them up.”
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Ohio Creates Equine Advisory Task Force; OEIC well represented

FROM: Blood Horse

BY: Tom LaMarra

Just days before Ohioans vote on whether to authorize a constitutional amendment allowing for a casino in southwestern Ohio, the state Department of Agriculture announced an 11-member Equine Industry Advisory Task Force charged with promoting and strengthening the state’s horse industry.

The advisory group was announced Oct. 31. It follows a September meeting of industry stakeholders.

Earlier this year, horse groups launched the Ohio Equine Industry Coalition, which is similar to the Kentucky Equine Education Project in Kentucky. The group is designed to raise the profile of the horse industry and tout its economic benefits.

In a release, the Ohio Department of Agriculture said Ohio has more than 307,000 horses that produce total economic impact of about $2.2 billion per year. More than 16,000 people are employed by the industry, the statistics show.

“This task force’s creation is an exciting event for the equine industry here in Ohio,” Robert Boggs, director of the agriculture department, said in a statement. “Our goal is to strengthen the industry and to renew Ohioans’ enthusiasm by bringing together representatives who can share diverse experiences and viewpoints.”

The horseracing industry in Ohio has been in decline for years. Racing dates have been cut, foal crops are down, and wagering continues to sag. Through Oct. 25, total handle at seven tracks in the state was down almost 12% from 2007, according to the Ohio State Racing Commission.

Ohio has three Thoroughbred tracks (Beulah Park, River Downs, and Thistledown) and four Standardbred tracks (Lebanon Raceway, Northfield Park, Raceway Park, and Scioto Downs). It also has more than 50 county fairs that offer limited pari-mutuel harness racing in the summer and early fall.

The controversial casino measure is of particular interest to the horse industry because no revenue from the facility would go to racing or breeding. In 2006, a statewide ballot measure calling for video lottery terminals at Ohio tracks failed to pass.

The proposed casino would be located near Wilmington, just off Interstate 71 north of Cincinnati, east of Dayton, and south of Columbus.

The OSRC Oct. 16 adopted a resolution opposing the casino measure, which is called Issue 6 on the ballot.

“The Ohio State Racing Commission is in favor of increased gaming in Ohio, however, we feel the racetracks are best prepared to implement this for the benefit of the horse industry,” the resolution states. “Passage of Issue 6 would jeopardize the 8,200 direct jobs and 16,000 indirect jobs of the Ohio horseracing industry.”

The new equine task force is scheduled to meet for the first time Nov. 6, two days after Election Day, in Reynoldsburg near Columbus. Members of the task force are Adam Ward, the Ohio Department of Agriculture legislative liaison who will serve as chairman; Willie Koester, chairman of the state racing commission (racing industry); Mike Gerard, a private horse owner (pleasure horse industry); Gary King of the Ohio Agri-business Association (feed and tack industry); Elizabeth Burick, a private horse owner (show horse industry); Dr. Tony Forshey, Ohio Department of Agriculture state veterinarian (veterinary field); Fred Arnold of the Ohio Fair Managers’ Association (Ohio county fairs with harness racing); and Dr. John Mossbarger of Midland Acres (equine breeders).

At-large members are Keith Stimpert of the Ohio Farm Bureau; Brock Schmaltz of Ohio Equine Industry Coalition; Tom Fries Jr. of the Ohio Standardbred Commission; and Denny Hales of the Ohio Quarter Horse Association.

Also this year, the OSRC issued a request for proposal for a study of the horseracing industry. The report is expected to address economic impact and challenges facing the industry, and offer solutions.

Readers Weigh in on Low-Cost Euthanasia Clinics