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2005 - Harness Tracks of America, Inc.

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HARNESS TRACKS OF AMERICAExecutive NewsletterA daily fax and e-mail report on racing and gaming developments in North <strong>America</strong> and beyondStanley F. Bergstein, EditorMORE TROUBLE FROM KYLArizona senator Jon Kyl is at it again, proposinglegislation that could be disastrous for racing.This time it is called “The Unlawful InternetGambling Enforcement Act <strong>of</strong> <strong>2005</strong>, and accordingto the headlines on this morning’s “MarketWatch” <strong>of</strong> the Wall Street Journal, there are notrack exemptions in this latest Kyl attack. Thestory, written by William Spain, says the draftlegislation was spurred by the World Trade Organizationruling on the dispute between the U.S.and Antigua. A warning was sounded on thesepages several months ago, when U.S. trade repsbegan talking about “minor revisions” in currentInternet laws. Kyl apparently saw the disputeas another opportunity to reintroduce hispreviously failed measures, but writer Spainsays this one goes farther. “What makes Kyl’slatest proposal different from previous failedbills is that it doesn’t carve out an exception forracing. That has given rise to warnings that theonly part <strong>of</strong> the parimutuel industry that is growingat all -- account, or remote, wagering -- couldbe run right out <strong>of</strong> business.” Spain said thatthrough a spokesman, Kyl declined to commenton the proposal.The Spain article apparently was triggered by along report co-authored by Anthony Cabot, apartner in the Las Vegas <strong>of</strong>fice <strong>of</strong> Lewis andRoca LLP, and Eugene Christiansen, chairman<strong>of</strong> the gaming consulting firm Christiansen CapitalAdvisers in New York. HTA has obtained acopy <strong>of</strong> the article, which reportedly is scheduledfor publication in Gaming Law Review. Itis titled “Why the Future <strong>of</strong> Horseracing is atRisk: the WTO Decision and Senator Kyl,” andit begins, “For the past seven years, SenatorJon Kyl (R-AZ) and other conservative members<strong>of</strong> Congress have attempted to passlegislation that would prohibit all forms<strong>of</strong> Internet wagering. In early May, Sena-May 24, <strong>2005</strong>tor Kyl began circulating proposed legislationthat would again seek to prohibit interactive gaming.Significant changes in the political landscapein Washington provide an unprecedented opportunityfor Senator Kyl to obtain the necessaryvotes in both the House and Senate to pass his“Unlawful Internet Gambling Enforcement Act <strong>of</strong><strong>2005</strong> (New Kyl bill). Republicans control bothhouses <strong>of</strong> Congress; they control the WhiteHouse; they control the Department <strong>of</strong> Justice;they are increasing their control <strong>of</strong> the Federalbench; and they owe this control in significantpart to the Christian Right, for whom Internetgambling is a moral issue, just as, to theirforebearers, Prohibition was a moral issue. Ifthey want to pass Senator Kyl’s bill, or any version<strong>of</strong> Senator Kyl’s bill, they can.” Greg Avioli,executive vice president <strong>of</strong> the NTRA, whospeaks more and more for the <strong>America</strong>n HorseCouncil these days, says, “We are confident thatMr. Kyl and other members <strong>of</strong> the Senate donot want to interfere with legal parimutuel betting(and that) whatever legislation passes willadequately protect racing.” That’s Greg Aviolitalking, not Jon Kyl. Kyl is my senator, and unfortunatelyI do not share Avioli’s confidence inhim. Racing had better begin preparing itselffor another major effort with what friends it hasin Congress to kill this legislation soon.BOB HACKETT DIES AT 80Robert Alden Hackett, former editor <strong>of</strong> both Ho<strong>of</strong>Beats and Horseman and Fair World, died Saturdayin an assisted living home in Hilton Head, SC.Bob, 80, had been seriously ill for several years.He moved to South Carolina a year or so ago tobe near his daughters. A Harvard graduate andcavalry man who moved to Tubac, AZ, after retirementto share old times with hiscavalry buddy Will Rogers Jr., he was one <strong>of</strong>the sport’s most popular figures during hislong writing and editing career. He will beburied in Arlington National Cemetary.

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