HARNESS TRACKS OF AMERICA Executive Newsletter

HARNESS TRACKS OF AMERICA
Vernon closed yesterday, as Jeff Gural promised,
and UticaOD.com reported that it may stay closed
until the end of the month, with its 200 winter
employees out of work. State Assemblywoman
RoAnn Destito told the news service that some
committee members still need to be convinced
passage of the bill is the right thing to do. She
said she hopes her colleagues “recognize there is
an urgency here.” Another legislator, state senator
Joseph Griffo, said the negotiating committee
working on the NYRA bill also is considering
the Vernon matter as part of a settlement plan.
Griffo said, “Unfortunately this appears to be
the manner sometimes in which Albany works.
You wait until you’re on the brink, and then
it appears that there is progress. Now they’re
trying to deal with the racing issue collectively,
rather than in segments.”
NYRA, meanwhile, has showed its teeth in what
the New York Post’s Ed Fontaine called “a game
of chicken.” Joe Bruno keeps saying the deal is
done -- his exact words were “It’s not ideal. It’s
a deal” -- and said an announcement would be
made by the deadline for franchise extension on
Wednesday. C. Steven Duncker, chairman of
NYRA, had a slightly different take on the situation.
He said, “Unfortunately, a weekend review
indicated that the franchise discussions are going
backward, not forward. The areas of concern
continue to be the economic model for the
future of racing in New York and governance.
It is essential that the legislation provides
a proper framework to ensure that New
York thoroughbred racing maintains
Executive Newsletter
A daily fax and e-mail report on racing and gaming developments in North America and beyond
Stanley F. Bergstein, Editor
February 12, 2008
THE WORD IS BLEAK
its leadership for the life of the new franchise.
That’s this morning’s status report on the fate The bill does not provide the proper business
of New York thoroughbred and harness racing, model and economic terms that permits NYRA
with Vernon Downs closed for simulcasting and to emerge from bankruptcy, nor does it correct
VLT’s and NYRA promising to be closed Thursday
if a settlement is not reached by tomorrow. ing in New York, a broken model that can only
the broken business model of thoroughbred rac-
worsen and further imperil this industry under
the legislation currently proposed.”
Bruno’s spokesman, Scott Reif, was quoted in
the Post as saying of Duncker’s statement, “We
think it lacks credibility. It’s an example of more
scare tactics. We’re continuing to work with the
Governor and the Assembly to finalize the agreement
and still expect to announce by Wednesday.”
Bruno accused Gov. Eliot Spitzer of “putzing
around” on reorganizing the NYRA board
and added, “If you don’t do something new and
different, shame on us.”
Did you ever try a one-handed handshake?
STATE CAN’T STOP SHUTDOWN
The Troy Record, commenting on the threatened
NYRA shutdown, reported that the New York
State Labor Department cannot stop the action
if NYRA chooses to close. A spokeswoman, Chris
Perham, told the newspaper, “Our hands are tied
if they (NYRA) don’t do what they’re supposed
to. The WARN act (a federal bill that prohibits
shutdowns without 60 days notice) does not contain
any enforcement power for the state Labor
Department.” Ms. Perham said NYRA employees
would have to take action in federal district
court to prevent a NYRA shutdown. A NYRA
spokesman, John Lee, said, “The legal opinion
we’ve received is that the law does not apply to
this situation.” Lee said the state had offered
NYRA another extension beyond Wednesday,
but “we have serious problems with operating
again with another extension.” The ball
passes once again to Joe Bruno’s court.