Who owns NYRA?

[Suff]

http://www.saratogian.com/site/news....d=349537&rfi=6

Contending they own the tracks, NYRA leaders maintain that New York cannot simply turn them over to another entity.

The purpose of this and future columns is to present both sides of the issue to readers of The Saratogian

[Kreed]

NEVER ... NEVER ... does it read in the charter that NYRA would OWN anything.
Their payments to the state over the years was a clear accounting issue;
they are a non-profit entity from start to finish & no where did their payments
become "mortage payments" to acquire the land or tracks. That's a trump card
that I know NYRA will NEVER use in reality.

[Suff]

COMING WEDNESDAY: The GNYRA goes into business, establishing a new relationship between racing and state government

Thats Vietch, in reality.


.

[PaceAdvantage]

Originally Posted by Kreed

NEVER ... NEVER ... does it read in the charter that NYRA would OWN anything.
Their payments to the state over the years was a clear accounting issue;
they are a non-profit entity from start to finish & no where did their payments
become "mortage payments" to acquire the land or tracks. That's a trump card
that I know NYRA will NEVER use in reality.

Do you even have a clue about what you write about? Since when are not-for-profit PRIVATE corporations banned from owning property? Being not-for-profit has nothing to do with this discussion.

NYRA says they have the deeds, and they pay the property taxes.

NYRA is NOT a state agency, even the great Mr. Hevesi acknowledged such in his most recent state audit of NYRA.

NYRA claims they purchased the racetracks in September of 1955 for $20 million.

Why are they paying property taxes if they are not the owners of the property? Would you pay your neighbor's property taxes just for the hell of it?

If this is such a cut and dried issue, why hasn't the state put an end to this argument? It should be rather simple to prove who does or who doesn't own the properties.

Unfortunately, I don't know all the details to what is going on in this issue, but common sense tells you that NYRA has a legitimate claim to the property ownership issue, ESPECIALLY if it is as complicated an issue as some are trying to make it out to appear. In that case, I would think a judge would side with the current occupants....LOL

Check out the NYRA media guide for a history of NYRA....

http://nyra.com/images/nyra2005mediaguide.pdf

The GNYRA asked the state for a 25-year exclusive franchise for the plan, principally to guarantee its ability to repay bank loans necessary for the purchase and rehabilitation of the tracks.

It should be fairly easy to prove who owns the tracks....so far, the evidence squarely points to NYRA....let's see what Veitch has to say in the rest of his article....

[Dancer's Image]

Thanks Suff, for posting this article. I will look forward to reading the rest of the story.

[keilan]

PA -- I should state from the outset that I know nothing about this thread but ownership in this case is probably clear cut, the property tax liability often becomes contested not so much as who’s responsible (clearly the owner) but what is taxable and which portions are exempt from taxation. Many times these payments are negotiated just outside the letter of the law.

Apologize if I’m waaaay off topic but I’m trying to get to 1400 posts by year end.

[Kreed]

umm ... just re-read my post & I didn't say non-profits couldn't own property.
ALL my comments were about NYRA --- nothing else. It worked this way
with NYRA: if NYRA met its operating expenses then all other revenues
went to the state; if NYRA could NOT meet its operating expenses then the
STATE would foot the additional costs. IOWS, the STATE, with its large,
almost bottomless pockets is NYRA's sugar daddy. The STATE made all the
bank arrangements; NYRA was NOT, EVER, a private corp (as PA typed).
NYRA was a legal, accounting entity, almost a fictional construct like
web masters (among others).

[Dancer's Image]

Kreed/PA;
I know nothing about this except what I'm reading here. But the first paragraph of the article linked by Suff says this...

"Is Saratoga Race Course a local treasure owned by a private corporation called the New York Racing Association, or is it a public asset owned by the state, as some politicians have described it?"

...and from the NYRA media guide which PA linked, it says, (and I can't cut and paste that dor some reason), that NYRA was established by the NY state legislature in 1955 as a non-dividend paying corporation. So NYRA is some kind of a corporation.

Now, the important point is who paid the $20 million in 1955 to buy the existing tracks? The article and the media guide both say that NYRA bought the existing tracks for $20 million in 1955, but it is not clear whose money that $20 million was. I find it hard to believe that a group of businessmen, ie. the NYRA trustees, would put up the $20 million when, as a state regulating body, they, as the NYRA, could use public money to accomplish the same thing. But that should be a matter of public record. This should be interesting!

[Kreed]

OK, its a coin toss. IF NYRA plays perfect it could salvage its life. but A+ it
must be. THINK. in '55 the State of NY conceives a plan: WE, NY STATE
will do this: #1, Create an entity called NYRA; #2, Give OUR creation, NYRA,
rich parents, the wealth of NY; #3, have old guys, called Trustees, watch
NY state's interest, giving THEM all the power; #4, if OUR child NYRA acts
foolish, no worry, we, NY State will pick up the tab; #5, yeah its a CORP but
ONLY on paper because for a VERY LONG time, we, NY State, will guarantee
its survival; #6, WE, NY state, will maximize its survival by giving it an exclusive: NO other entity can compete with NYRA; #7, when millions are needed to run the day-to-day things, banks will lend NYRA money because (a) WE know what banks; (b) BANKS know us; (c) NY State will back NYRA's debt. IF we, the trustees say NYRA go kill yourself, NYRA will do so happily. The Trustees say jump & NYRA obeys. PS: who/what is really NYRA without the Trustees' word? If NYRA "owns" ANYTHING & the Trustees say NO WAY, then NYRA goes puff. NYRA is a construct. It's NOT real. accountants know these things. its an everyday reality. YET, constructs do come alive & the
law is tricky, and and and, but I think it does NOT ever own anything here.

[highnote]

A quote from the article:

The GNYRA asked the state for a 25-year exclusive franchise for the plan, principally to guarantee its ability to repay bank loans necessary for the purchase and rehabilitation of the tracks.

In other words, the GNYRA wanted no competition from other racing organizations for the license to conduct betting at its tracks for the period.

So it sounds to me that when the franchise ends competition is allowed -- assuming the state will approve licenses for new tracks.

I would be all for competition. Anyone who knows NY racing knows that fans are not treated all that well. Not terribly bad, but not well, either. Perhaps competition would be healthy for the NY Racing Industry. I think monopolies are rearely healthy.

[Tom]

Another installment:

http://www.saratogian.com/site/news.cfm?newsid=14810415

I would guess that since NYRA has been paying the property taxes, theyshould have a legal standing - if NYC tries to give the tracks to someone else, could NYRA sue for the tax money?