Aqueduct Focus of NYRA Board Meeting

by Mike Kane
Complaints about the current status of Aqueduct Racetrack intersected with talk about the future at the New York Racing Association’s Reorganization Board meeting Wednesday morning in New York City. 
Moments after NYRA President and CEO Christopher Kay outlined improvements scheduled this year at the company’s three tracks, board member Leonard Riggio commented on his Mar. 1 visit to Aqueduct. While his unbeaten colt Samraat won the GIII Gotham S., Riggio said that the building was not clean and the food service was unacceptable. 
“The food was terrible,” he said. “And the waiters; there just was no help in the place. Our experience, for the people I brought, was pretty sad.” Riggio noted that, though there is some question about how long Aqueduct will remain a racing venue, NYRA should not allow it to crumble. “With respect to the long-range plan, we definitely have to squeeze some money out of the capital budget to do some things other than the street art, basically fix that physical plant because it’s an eyesore,” Riggio said. “I’m not here holding management responsible, but, in terms of what the state’s long-range plans are for Aqueduct, you can’t let the infrastructure fall apart as it is. It’s dirty. It’s dangerous. It’s just really not good.” 
Kay said that he and his staff are working to correct the problems, many of which he explained are not new. He said that some of the issues are due to disputes with Genting, the Malaysian company that runs the Resorts World Casino at the track. NYRA was unhappy with how Genting handled maintenance and food service and has taken over those responsibilities. Kay said that New York State-mandated bidding policies have slowed the process of finding a new company to take over food service operations. 
During his report to the board, Kay addressed the fowl situation at Aqueduct, an influx of pigeons and other birds in the building, that generated bad publicity. 
“I deeply regret any inconvenience that any of our guests experienced as a result of this issue,” Kay said. “We’ve taken aggressive steps to solve it and I apologize to anyone who did not have a great experience and invite them to come back.” 
Responding to a remark by Riggio, Kay said that he could not discuss two unrelated matters, a sexual assault and the theft of computers and a Breeders’ Cup trophy at Aqueduct because they are in the criminal justice system. 
Board chairman David Skorton asked Kay to compile a list and keep the board up to date on how he is dealing with the problems at Aqueduct. 
Prior to Riggio’s remarks, Kay listed a series of upgrades being made at NYRA’s three tracks. The expenditures at Aqueduct exceed $5.8 million because the long-delayed Longshots sports bar and simulcast center is scheduled to open prior to the running of the Apr. 5 GI Wood Memorial. There will be 400 high-definition video screens in the facility. Kay also said that new seating, flooring and lighting will be installed and interiors painted at Aqueduct. 
Saratoga Race Course will have $1.9-million in capital improvements in place when the high-profile meet opens July 18. The lineup includes a total of 750 HD monitors–500 for the backyard and 250 for the building–125 additional picnic tables, a bigger playground area for children, three large video walls and an expansion toward the track of the Porch, the first-floor dining area where breakfast and lunch are served. 
Following the 90-minute meeting, Kay said that Belmont’s massive grandstand will be closed, except on Belmont Stakes Day, June 7, and all patrons will use the clubhouse. There will be 6,000 free outdoor seats. The admission price will be $5. Belmont will have 131 new high-definition television in place when the season opens May 1, completing the transition to 655 HD screens. The Belmont Cafe is being improved, a new music stage is scheduled and a new paddock concession stand is expected to be ready for the opening of the fall meet in September. 
Kay took time to promote the Belmont Stakes Day program that features six Grade I races, including the Metropolitan H., which was moved from its traditional Memorial Day date. 
“This day is just like New York. It’s big, it’s bold and it focuses on better quality,” he said. “Our horse racing that day, our card, will be second to none when you look at the other Triple Crown races.” 
Without providing details, Kay said that the Belmont S. program will include new entertainment and food selections and feature “some of the great people and the great institutions in New York throughout the day.” 
In 2013, its first full year under the management of the state-controlled reorganization board, NYRA’s racing operations had a loss of $12.3 million. That was an increase of $6.8 million from 2012, nearly half of which came from a $3-million settlement for New York Off-Track Betting. In addition, there were six fewer racing days in 2013. 
However, due to increases in revenue from the VLT casino at Aqueduct and a decrease in net operating expenses, NYRA’s net income in 2013 was $42.8 million, an increase of $17.3 million or 68%. The total revenue that flowed to NYRA from the VLTs was $110.2 million, a jump of $18.7 million due to a 17% average increase in business per VLT machine. 
Kay said that, despite historically bad weather in January and February, NYRA is on course to operate with a balanced budget this year. NYRA reported that it had reached settlements with former CEO Charles Hayward and former counsel Patrick Kehoe, who were fired in May 2012 in the Pick Six betting scandal that led to the state takeover.