Who owns the NYRA land?

[highnote]

Who owns the land on which NYRA racetracks sit?

I know there is another thread with this same topic, but I couldn't locate it. If I do, then I'll copy and paste this message into it.

This document from the Albany website make it seem like NYRA owns the land.

Before 1955 the racetracks were run by small corporations. I assume the corporations owned the land. But maybe it was leased from the state?

For this argument assume the corporations owned it. In 1955 the Jockey Club formed a non-profit corporation to run the tracks and bought out the stock of the corporations. So if the corporations owned the land and the Jockey Club bought the stock, then doesn't the Jockey Club get the land, too? If so, then NYRA must own the land. Right?

http://www2.als.edu/glc/wagering/BarrettTestimony.pdf

By the way, a lot of critics in 1955 thought the Jockey Club running NY racing was socialism. I'm inclined to agree a little.

I think public for-profit corporations should run these establishments. That way, we individuals can buy stock in them and share in the success or failure of the track.

[weegee]

If you want to see what happens when stockholders share in the success and failure of a company owning racetracks, go the the MEC site at Yahoo and read the message board (www.yahoo.com (http://www.yahoo.com), click "financial", type in MECA, click "message boards"). The primary goal of the shareholder is make money, preferably right now, and to do that, many on the message board feel that the tracks should be sold or turned wholly into casinos. Some of the ranting is sort of funny, but it's sobering to see what being a publicly traded company means for a racetrack. It's not all positive.

[DJofSD]

So the stockholders are taking a similar position as corporare raiders -- the parts are more valuable than the whole. And the hope/expectation is to develop the property sans racing.

[weegee]

Exactly. And even though some stockholders may be racing fans, when it comes to their invested dollars, they're more than willing to sell the sport down the river to make a dime. (Who needs the stinkin' Preakness?) Regarding MEC specifically, the racing aspect is seen as Frank's eccentric hobby which is getting in the way of real business. It will be interesting to see what happens to the company and the tracks it owns when Frank passes on to the big entertainment complex in the sky. Not that I'm wishing it.

[highnote]

If racetracks can't make it on their own should the government partner with them just so they can stay in business?

Like the article said that I posted, critics called the NYRA/NY State partnership socialism.

I think without government interference a racetrack could be run profitably. I think the interference is what caused a lot of the problems. If it can't be run profitably then it should not be a going concern.

What if PepsiCo wasn't profitable -- should the government become their partner?

[Ron]

I just assumed the government was involved in race tracks because horse racing is gambling and that's illegal unless its done by the government.

[highnote]

You're right. But I think it could be done better without gov involvement.

Vegas seems to run pretty well without a lot of gov involvement.

Maybe there is more gov involvement in Vegas than I am aware?

[TravisVOX]

The state would have allowed NYRA to file Chapter 11 if they (the state) felt they owned the land. Bankruptcy court would determine who owns the land... state gets nervous, says I'll bail them out. I think thats what happened.

[Ron]

This whole thing is strange to me. NYRA only has one contract so if they lose it then all their employees are out of work. I wish that I knew more about how they got the contract. It seems to me like they do own the tracks. If they were able to sell that land recently....

[Indulto]

SJ,

Thanks very much for posting that link. How come I didn’t have to sign in to get that report?

You’d think that between DRF, Blood-Horse, Thoroughbred Times, The Saratogian, and the Albany Times Union, some reporter would have mentioned Liebman’s warning that although the possibility of Saratoga becoming independently operated should be definitely be explored, he identified specific drawbacks to the idea; and told us what they were as well.

Very importantly, Liebman pointed out to the committee the importance of Fan support for their actions.

Now I know why some people here have given me flak about fonts. Presenting that report all in caps sure slowed me down!

[DJofSD]

I'll point out that DMR is owned and operated by the 22nd agricultural district, a CA state agency. While things are not 100% perfect at the fairgrounds or during the DMTC meeting, they do get a great majority of it right.

[Figman]

I am lucky to know Bennett Liebman personally for a long time. He not only is the brightest light out there in the racetrack world....he is an extremely knowlegeable horseplayer.

Despite being a law professor in a prestigious law school, he is not the proverbial professor that resides in an ivory tower not understanding the real world. He has also been an advisor to a previous NY Governor and a commissioner of the Racing and Wagering Board in New York. He is well known at the Race Track Industry program in Arizona.

If anyone can find some of his old columns in the Racing Form during the early 1990's, you will see what I am saying about Mr. Liebman knowing the "lay of the land!" An honest, experienced and knowledgeable man that should be listened to. Are you listening NYRA Ad Hoc Committee?

[highnote]

Wasn't he recently replaced by Pataki with some unexperienced person?

[Figman]

Recently, no.
Replaced by an inexperienced person -Yes, six years ago!

[highnote]

Recently, no.
Replaced by an inexperienced person -Yes, six years ago!


I thought Steve Crist just did an article about Bennett about a month ago?

[Figman]

You may be thinking of the Chairman of the Racing and Wagering Board - Michael Hoblock, Jr. who was replaced as Chairman by the one other member of the Board.

In essence, they switched roles. The current Chairwoman is the person that six years ago replaced Bennett Liebman.