President Trump Should Restructure HISA
As a passionate advocate for the future of horse racing in America, I am writing to request President Donald J. Trump's support in revitalizing this beloved sport.
Horse racing has a rich history and is deeply ingrained in our culture. To restore its former glory, I believe we can make meaningful changes. One key suggestion is to restructure the Horseracing Integrity and Safety Authority initiative now!
As you may know, the United States Constitution does not confer the regulation of horse racing to the federal government. By default, these administrative functions defer to the states, allowing for localized decision-making that reflects the unique needs of each community. Every state that has horse racing has a horse racing board that oversees the sport. To force federal regulation, HISA had to be enacted via the Department of Commerce using interstate wagering as its wedge into the sport.
Non-HISA states such as Texas are punished by disallowing interstate wagering, which reduces revenue and ultimately results in smaller purses and thus a weaker racing product. I have no problem with enacting uniform medication and safety protocols using industry input and guidance tempered by phased implementation with corrective action feedback. I propose HISA design and refine the protocols with each state participating with annual renewals. HISA should be funded by Congress and not by horsemen fees. Rather than just punishing noncompliance, participating states should receive a $5 million-$10 million dollar allocation to purses (added as a percentage of historical purse levels) as well as full access to online wagering.
Additionally, introducing monetary incentives for both breeders and owners could stimulate participation and investment in horse racing. By promoting a more supportive environment, we can attract new entrants into the sport.
I'm sure you know that when you buy a piece of real estate, after a one-year holding period, the capital gain on any sale becomes long term with beneficial tax incentives. The IRS however requires horse owners to hold their property for two years before it becomes a long-term capital gain. Breeders sell most of their horses at yearling sales, thus any gains are taxed as short term even though they have held the property over a year, at great expense since they eat like a horse! Ultimately, if these efforts grow the sport, they will generate more revenues for all horse-related businesses and thus generate more tax revenue for the federal government.
In summary, a focus on reducing undue regulatory burdens can foster a thriving horse racing landscape. By employing a strategy that involves more incentives and support—"less deep state, less stick, and more carrot"—I am confident we can invigorate the industry.
Thank you for considering this proposal. I appreciate your dedication to improving America, and I believe that together, we can make horse racing great again.
Perry L. Martin
Alpine, Wyo.
