Modified Federal Drug Oversight Bill Could be Introduced July 6

The proposed federal legislation to establish a nationwide Thoroughbred racing regulatory organization could be filed the week of July 6, a spokesperson for Congressman Paul Tonko (D-NY) confirmed Friday.

But the sweeping medication reform legislation that would create the Thoroughbred Horseracing Anti-Doping Organization (THADO) might look slightly different than the draft of the bill Tonko unveiled in a May 29 teleconference.

Specifically, according to Chauncey Morris, executive director of the Kentucky Thoroughbred Association and Kentucky Thoroughbred Owners & Breeders, changes are being drafted to clear up ambiguities about THADO’s interaction with and possible control over the Interstate Horseracing Act of 1978 (IHA).

In addition, Morris said tweaks are being implemented to clarify checks and balances that the industry will have against the United States Anti-Doping Agency (USADA), which will have oversight and enforcement of THADO. Exactly how THADO will be funded also needs to be better outlined, as does the issue of retroactivity of the rules.

In announcing his intent to file legislation last month, Tonko said he wanted THADO to be operational by Jan. 1, 2017.

On Wednesday, the KTA/KTOB announced that its board had voted to join the Coalition for Horse Racing Integrity, which is an organization spearheaded by The Jockey Club, Breeders’ Cup Ltd., WHOA and the Humane Society of the United States to harness the collective forces of a number of industry groups that support THADO.

Morris told TDN in a Friday phone interview that the KTA/KTOB’s decision to join the coalition had been contingent on changes being made to the original draft of the bill, which he described as a work in progress.

“I wouldn’t call them concerns, I’d characterize them more as factors or issues that are important over accountability of THADO,” Morris said. “The overarching thing at our board meeting was the IHA has protected the industry. That’s something my directors felt very firmly as a board, that we wouldn’t want to be getting into a situation that would jeopardize anything to do with the IHA, and we had a constitutional attorney from our law firm actually speak to that issue. It’s his opinion that the approach that The Jockey Club is [backing in the legislation] will not jeopardize the IHA.

“Retroactivity is a very important thing, so ‘no retroactivity’ is answered in the newest draft of the bill,” Morris continued. “And if there’s going to be any new costs associated with this testing, that really needs to be arrived upon in a collaborative manner so everybody knows what’s going on in order to ensure the integrity for the industry with eyes wide open.”

Morris said he did not have a revised draft of the THADO legislation to disclose for publication.

Sean Magers, Tonko’s communications director, confirmed via email that there were changes forthcoming. But he too could not provide a copy of the redrafted bill, and he did not summarize any changes from the original version.

“We look forward to working with all stakeholders to make sure all concerns are addressed,” Magers wrote.

Eric Hamelback, chief executive officer for the National Horsemen’s Benevolent and Protective Association, said his organization has neither seen the proposed changes nor been asked to participate in the redrafting of the bill.

“That’s part of the frustration, is that no one seems to have the right final draft,” Hamelback said. “It’s hard for us to say we oppose it 100 %, mainly because we haven’t been included. The rumors fly, and we certainly reacted early on. I know that [several industry groups] are talking and trying to find compromises, but we have not been asked since the very initial stage to have any input.”

When Tonko first outlined his plan, there were two obvious areas of concern for industry stakeholders: One was that funding for THADO would come from “loans and donations,” and that no specific annual operating budget was mentioned by Tonko. The other was that individual states and racetracks that did not come into compliance with THADO would face the steep penalty of not being allowed to participate in interstate wagering, which is governed by the IHA.

In a May 29 phone interview with TDN, Hamelback expressed concerns about both of those issues. He estimated that operating THADO could cost as much as $60 million annually, and that the HBPA “would not support anything that gives control of our industry’s simulcasting signal essentially to this organization.”

On Friday, Hamelback reiterated his concerns: “A) USADA has no equine experience. B) The misnomer of this rampant drugging and doping is statistically inaccurate; the Racing Medication and Testing Consortium (RMTC) numbers can tell you that. C) The establishing of the right for a private organization to control our simulcasting signal, and D) No veto power [for horsemen].”

Yet Hamelback underscored that the HBPA is not against the concept of modifying drug rules.

“It has nothing to do with medication. There’s nothing about medication [in the THADO plan] that gives us any concerns,” Hamelback said. “It’s about the effect and layering of the IHA, which we believe would be detrimental to all of the industry. I need some help to convey that the HBPA is not pro-medication. Are we pro-therapeutic medication? Absolutely we are. We are as adamant as anybody about getting a national, uniform policy. We just want it to be fair, we want it to be based on science, and we want it to be peer-reviewed.”

Morris took umbrage with Hamelback’s $60 million annual cost estimate. Although he admitted he didn’t have a crystal-clear guess of his own at what it would cost to implement THADO, Morris said he believed the working number to be about $22 million. This would fluctuate, he said, depending on how money that is currently spent by individual racing commissions gets factored into the equation.

“That’s based on assumptions within the existing regulatory model, and this is the reason that it’s vital that racing commissions work collaboratively with this whole process on implementation,” Morris said. “This is about putting things into play that constantly improve our sport. We don’t know what the answers are, but we know that to get to the answers, racing commissions have to sound off on it. Racing commissions shouldn’t feel their power is being usurped. Actually, it makes their job, I wouldn’t say a little easier, but maybe more efficient.”

Morris continued: “In 38 states, the RMTC and the National Uniform Medication Program have made some incredible, incredible achievements. But there are still gaps. And those gaps, they make it difficult to be a trainer in the United States, especially if you’re shipping horses multi-state. And some of the changes in the [THADO] bill, it would make their lives a heck of a lot easier.”

James Baker, a Kentucky-based trainer who was recently elected to the KTA/KTOB board, said in a Friday phone interview that he has been a proponent of medication reform for years, and that he supports THADO even tough he realizes there are still some kinks to be worked out in the final bill.

“The biggest issue is the welfare of the horses,” Baker said. “It doesn’t take a scientist to figure this game out, and I think USADA could catch on quick. They might be able to help us out with tests that we don’t even take for horses, so I think that could be a plus. There’s an old saying that you can’t stay the same to get any better, and that’s where the sport is at right now.”

But how about the ambiguity in funding, and the potential that the horsemen might have to bear the brunt of the costs for THADO?

“If it’s going to help the horses and the horsemen in the long run, then so be it, let’s all chip in a little bit,” Baker said.

On Wednesday, the topic of the proposed THADO legislation was discussed informally at the New York Racing Association Reorganization Board of Directors meeting.

“Be careful what you ask for getting involved with the federal government,” said NYRA ex-officio board member Rick Violette Jr., who also serves as president of the New York Thoroughbred Horsemen’s Association.

“”I’m disappointed that there’s such little acknowledgment of the tremendous gains that we’ve gotten nationally on uniform medication, uniform testing, and working toward uniform penalties,” Violette said. “There are plenty of people who aren’t so keen on involving the federal government.”

Stuart Janney III, a NYRA board member and vice chairman of The Jockey Club, offered a counterpoint.

“A lot of people confuse [THADO] with a federal solution, and it’s not a federal solution,” Janney said. “What it is is the federal government enabling there to be a solution… You need somebody like the federal government to say, ‘You’re going to change the way you do business.’”

“To the extent we can bring not only integrity in actuality in the sport, but also the perception of how people view us, [THADO] is going to be enormously helpful,” Janney continued. “Obviously, there will be a lot of arguments about it, and there will be a lot of activity in Washington. But we’re in the first inning.”