As you are probably aware, the Florida HBPA has settled a protracted 78 day dispute with Churchill Downs Inc (CDI). On Monday, July 7, 2008, the FHBPA signed a purse contract and a slots contract with CDI. At the same time, Churchill dismissed, without prejudice, the claims it brought against the FHBA and its Directors in an antirust lawsuit that was filed in April. While settlement was reached on the purse and slot contracts and on the dismissal of Churchill’s lawsuit against the horsemen, no resolution was reached on the issue of Advance Deposit Wagering (ADW) on Calder’s simulcast signal. The Thoroughbred Horsemen’s Group (THG), which was heavily involved in the Ellis Park ADW settlement, will negotiate ADW rates for the FHBPA.

The FHBPA would like to thank all those horsemen from around the country and their associations, whether HBPA or THA, for all their support during this very trying two and a half month period for Florida horsemen.

But mostly the FHBPA would like to thank those Calder owners and trainers who stood behind and strongly supported the FHBPA in their negotiations with Churchill Downs. These individuals took the full brunt of the 30% cut in overnight purses and stakes purse cuts that were as drastic as from $100,000 to $36,000. They were the unsung heroes in this whole unfortunate situation. Without their complete support while being battered financially, this whole matter would never have been resolved in the positive way that it was.

Now that the appropriate contracts are in place the FHBPA will work with Calder to make the Calder/Tropical meets as successful as possible.

Many of our members have been requesting an update regarding purses and when a purse contract might be concluded with Calder and Tropical. You should know that the FHBPA Contract Committee is composed of trainers and owners and are working very hard to ensure that a fair agreement is reached with Calder and Tropical. The Contract Committee is sensitive to the current state of purses at Calder and is focused on the best interests of horsemen. That includes a fair purse contract and a fair agreement regarding the addition of slot machine revenue to overnight purses. We have been meeting with representatives of Churchill Downs who are representing Calder and Tropical in the meetings. Another meeting is scheduled for June 9, 2008. We cannot discuss the details of the negotiations nor can we discuss the pending ADW litigation. If we are successful in our efforts to make both a fair purse contract and a fair slot revenue agreement the horsemen will be notified immediately.

Despite any rumors that you have heard the Contract Committee and the horsemen are strongly united in this very important matter. The FHBPA has received much encouragement and will continue to strive to serve the best long term interests of our members.

FROM FHBPA:

There have been a lot of rumors flying around, but here’s what’s going on. First of all, the Contract Committee did not send a message to Churchill that it didn’t want to meet and negotiate this morning. In fact, the exact opposite. We’ve been trying to get them to sit down at the table for months. And we will be meeting with them later this morning.

What was communicated to Churchill on Friday was that we wanted to meet and negotiate all three contracts. The purse contract. The slots contract. The ADW contract.

If the slots contract and the ADW contract weren’t on the table, there would be no reason to meet solely on the purse contract. Realize Calder can open without a purse contract.

Some history on the slots contract. We met with top representatives from Churchill back in November. At that time, they presented a management approved slots proposal that was very close to acceptable right from the start. We were quite pleased with the deal. A written and signed version arrived two days after our meeting.

After that meeting in November, we asked repeatedly for another meeting to nail down particulars. Never got a response. Well, no, one meeting was set up, but cancelled at the last minute by Churchill. Now, with the legislature debating a tax cut for the slots …which should mean more for all…that November proposal is suddenly null and void. Churchill has come up with all kinds of reasons they can’t negotiate the slots now. We feel they just don’t want to give the horsemen half the potential tax cut like they offered in November. We don’t plan to agree to a purse contract until the slots deal and the ADW deal are in place.

As regards the ADW (advance deposit wagering) contract, it’s important to understand a couple of things. First, the ADW platforms (basically betting from home on the internet or by phone) offer the only segment of the wagering dollar that’s on the increase each year. On track and simulcast wagering are both declining. No news to any of you. Bottom line is not enough of that ADW money goes fairly to purses at this point.

You’ve probably heard of the THG (Thoroughbred Horsemen’s Group) by now. Basically, it’s an alliance of horsemen’s groups from just about every track in the country except New York. (New York doesn’t control its own signal.) And what the THG is insisting on is a negotiated higher cut of the ADW wagering dollar. Otherwise, at contract time each THG member track will be examining closely exactly where its signal is being simulcast. It’s already happening in Texas and probably Kentucky.

Right now, the THG tracks are in their position of greatest leverage. The Kentucky Derby is coming up and no track wants to lose the Derby signal. But if management won’t sit down and negotiate, then that’s what’s likely to happen.

Look, we’re pretty much all dying here at Calder. We have to find a way to boost purses. This ADW proposal is our best hope at the moment since Churchill has decided not to install their slots until sometime in 2009 at the earliest. With apologies to Ben Franklin, we better hang together or we’re sure to hang separately.

The Florida HBPA announced the results of its annual election which occurred Saturday, March 15th. Reelected to the 15 person Board as owners were incumbents Sam Gordon and Herb Elkins. The trainers elected were Marty Wolfson and Tim Ritvo. The FHBPA elects five individuals to its 15 person Board every year who serve a three year term. Elected at large to the FHBPA Board was Richard Root. The trainer alternate was Larry Pilotti and the owner alternates were John Penn and Peter Goldman.

At the next regularly scheduled board meeting of the FHBPA on March 31st, the FHBPA elected its officers for 2008-2009. Elected to his fourth term as President was Sam Gordon. Elected as Vice Presidents were Phil Combest, Mike Nyman and Marty Wolfson. John Penn was appointed as Secretary and Barry Rose was again appointed as Treasurer.

The Florida Horsemen’s Benevolent and Protective Association is proud to announce the results of the 2008 Board of Directors election:

Herbert Elkins – Owner Samuel Gordon – Owner Peter Goldman – Owner Alternate John Penn – Owner Alternate Timothy Ritvo – Trainer Richard Root – Trainer Martin Wolfson – Trainer Larry Pilotti – Trainer Alternate