Relates to stallion eligibility for New York-bred harness horse events for stallions owned or jointly owned by a resident of a state other than New York

BILL NUMBER:S7098

Title of bill

An act to amend the racing, pari-mutuel wagering and breeding law, in relation to stallion eligibility for New York-bred harness horse events

Purpose

This bill would provide for equivalent treatment for the state's thoroughbred and standardbred horse breeding programs with respect to residency requirements.

Summary of provisions

Sections 1 & 2. Amends subdivisions 1 and 3 of Section 334 of the Racing, Pari-Mutuel Wagering and Breeding Law to allow foals to be eligible for the New York Sire Stakes harness racing program, if the foal was conceived from a mare that was bred in the state, and sired by a stallion owned, or leased by a resident of New York for at least one year.

Section 3. Effective date.

Existing law

Current law requires a stallion must be leased for at least ten years.

Justification

The state's standardbred breeding laws were put into place almost 50 years ago and for that time, they have served the New York breeding industry well. However, it is becoming clear that the statute governing the state's standardbred breeding program needs to be updated to reflect the current economic climate that exists in New York for the horse breeding industry. The current laws governing standardbred stallions standing for stud service in New York State require the stallions to be owned by or leased by a New York resident for a minimum of 10 years. In earlier years, most stallions were solely owned by New York residents and this was not at problem.

Today the Video Lottery Terminal (VLT) revenue attracts top stallions to New York and the dollar value of many of these stallions goes well into seven figures. Many of these stallions are syndicated and have multiple shareholders. The shareholders have control over these stallions. To require any organization or company that wants to come into New York to do business to stay a minimum of 10 years is not conducive to attracting and retaining these entities.

If a stallion cannot get enough mares to breed he becomes a commodity that needs to be relocated or sold. If a stallion becomes infertile or is injured he is no longer a viable breeding animal. An owner shouldn't have to pay to keep a stallion in New York, if they can't make money and a farm does not want to stand a stallion if they can't make money.

As a result, a change is needed in ownership and lease requirements make the standardbred breeding program more responsive to the current

state of the industry. This legislation seeks to change residency requirements for standardbred stallion from ten years to one year.

This change would make the harness breeding program requirement identical to what is currently enjoyed by the thoroughbred breeders in the state.

This change will encourage owners to move their stallions to New York to compete in one of the most successful breeding programs in the world.

Legislative history

New bill.

Fiscal implications

None.

Effective date

This act shall take effect immediately.