On Monday (March 30), USTA President Russell Williams issued an open letter to the harness racing industry regarding tactics in protecting the integrity, health and welfare of our industry and horses as per the recent indictments of Thoroughbred and Standardbred trainers.

The letter is as follows:

Pick your catastrophe. We face a world health crisis worse than any we’ve seen for over a century. Meanwhile, the Governor of Pennsylvania is engaging in some state budget buccaneering that would, if the General Assembly permits it, destroy a two-century-old, native horse racing industry that brings $1.6 billion in economic impact and 20,000 jobs to the state. If this succeeds, what will happen in other states? And, finally, a long list of Thoroughbred and Standardbred industry participants face a reckoning that, looking at their conduct as alleged, you would think they never expected. This last situation is in the forefront of the minds of our Board of Directors as we work through our “annual meeting from home” this week and next.

We all abhor the allegations in the indictments and criminal complaints, and we roundly condemn all conduct of the kind. At the USTA, however, there is an obligation to forego the luxury of performative outrage and, instead, to concentrate on what concrete steps our mandate requires us to take. Our record in dealing as an association with cheating and horse abuse is excellent. Now I write to call for concrete action that will move us forward in the right direction. In this editorial, I offer some recommendations. Others will join in, I hope, offering additions and corrections. At last, I hope, everyone of good will in harness racing will contribute time and money to the work that must be done. We can resolve to embrace change and to bear its cost, because we know that only then can our racing sport thrive in the modern era.

The Narrative

We love horses. This is our narrative, it's beginning and its end, and it consists of countless stories of courage, hope, and love for horses that totally contradict the acts of a criminal few.

Perhaps our very survival as a sport requires us now to make sure that the world learns about our true selves. When a horse puts its nose ahead of another horse’s nose, evolution is at work. Taking the lead is part of a horse’s social nature, so (unlike dog racing, for example) horse racing is entirely natural, and horses thrive on it. Horse Persons can tell inspiring stories of horses that found a way to win against unplanned-for adversity, just as we must overcome adversity now. Caring well for horses, and we do care well for them, involves trying to understand these beautiful creatures that cannot communicate with us in human terms. But those of us who employ their intelligence to understand and communicate in something like horse terms become better people for it. There are wonderful stories of lives that have been transformed, not merely economically, but in a deeper way, by the bond with the horse, an animal that evolved along an entirely different strand of the net of creation from humans. Horses can teach us things about courage and beauty, even love, that we would otherwise never learn.

Some people do not know that our award-winning writers and photographers have been telling the story of harness racing in Hoof Beats since before the USTA was founded. But today the USTA has more powerful resources for telling the story of harness racing than it has ever had: our website is the most visited in harness racing and is closely watched by other breeds, and our social media presence is a serious force on the internet. Our Communications Department is unrivaled among breed associations, and our ability to put these resources to use is limited only by the cooperation of our membership. Finally, the USTA Board of Directors is meeting as I write, by means of a series of teleconferences, and advanced communications is under discussion. As the USTA and the membership find new and more effective ways to tell the true story of harness racing, we can correct the cultural narrative and propel our sport into its rightful place in the future.

“The Feds”

In the United States, the federal level provides the services that a central government should provide, while the states retain authority over every other matter. Federal prosecutions are usually the best way to address criminal activity occurring in multiple states. Although the conduct allegedly took place in several states, the indictments and criminal complaints under discussion issue from the Southern District of New York, one of the most sophisticated offices within the United States Justice Department.

We must not fall prey to the ignorant notion that there is any magical connection between the Justice Department and the Horse Racing Integrity Act which, if it ever were to see passage, would be governed by the Commerce Department. As Ed Martin, president of the Association of Racing Commissioners International (representing state authority), has pointed out: nobody needed a Horseracing Integrity bill to make these prosecutions happen. The laws that make the allegations in the indictments illegal, and the federal, state, and private agencies that built these cases already exist, and we should build on the existing system to prevent cheating and horse abuse, and to incentivize best practices in our sport.

The serious problems that the Horseracing Integrity Act poses for harness racing have been explained elsewhere. Yes, we have problems of our own to solve, but instead of throwing this poorly-considered federal Hail Mary, instead of ignoring the states’ established knowledge and experience in regulating horse racing, and instead of relying on some unspecifiable federal magic to solve our problems, our effort must be to support and extend the growing cooperation among state racing commissions. The state racing commissions themselves called for this over a year ago, by proposing a dedicated unit among key federal and state agencies to investigate racing matters and, where appropriate, to refer them for prosecution. This call was ignored by those proposing so-called racing integrity bills at the federal level, but individual state racing commissions are continuing nevertheless to strengthen their ties with state and federal enforcement agencies.

An even more significant development is taking place. “Interstate compacts” provide a contractual structure that enhances cooperation among states regarding regulations and enforcement. This is not a new concept: for years an interstate licensing compact has existed, simplifying licensing for owners, trainers, drivers, jockeys, and other licensees across the country. In a similar but more important way, an interstate medication compact would bring about consistent medication regulation nationwide. (We don’t use the word “uniform,” because Standardbred and Thoroughbred medication rules can’t be uniform. They must differ in a few areas because the two breeds have different performance models.) Interstate medication compacts are working their way through several state legislatures, and we may be approaching passage of a multi-breed medication compact in one of the leading racing states. If this happens, I believe that the other racing states will quickly follow suit.

Reading legislative bills (and enacted statutes) can be extremely tedious for most people. But someone has to do it. And if you read the Horseracing Integrity draft bill, you will discover something very surprising: recognition in the bill’s own language of the primacy and importance of interstate compacts and, by implication, state authority. It’s almost as if the federalization special interests felt compelled to acknowledge that the states have already done all the work and already have all the know-how regarding medication regulation. Section 4(e) of the draft bill says that the whole federal house of cards collapses if, “after the expiration of five years following [the effective date of the Act],” an interstate compact is established. Amazingly, the draft then goes on, in subsection 4(e)(2), to recite important steps that we should take to develop an interstate medication compact.

Let us not wait five years enduring some sort of expensive and pointless federal intermission before we do what should have been done in the first place: to fully establish the breed-specific medication compact that is presently evolving in the states.

The Ethical Climate

We can achieve a radically new regulatory process that will render extinct the criminal activity of a few horsepersons and veterinarians, and we can do it without having to purchase any expensive federal snake oil. The type of criminal activity under discussion was, in the past, often veiled by certain legal concepts and, to some extent, aided by a certain “don’t ask don’t tell” attitude within the industry. We now have the opportunity, maybe our last, to change this permanently.

First, the days of turning a blind eye to suspicious activity are over. They never should have existed. I offer, as a good counterexample to horse persons who failed, in the past, to report suspicious activity, the American bar. If a lawyer becomes aware of an ethical infraction and fails to report it, he or she becomes guilty in turn of another serious ethical infraction. In other words, the legal community has a self-policing system that can be expected to work much better than the “don’t ask don’t tell’ system that we have tolerated in racing. In grade school, if you told on someone, you were a “rat.” Unfortunately, this way of thinking persisted into adulthood among some horse persons. It was never valid. We must police ourselves, because our obligation is not to be a “stand-up guy.” Our obligation is to ensure the health and welfare of our horses, and to preserve the integrity of our industry.

Second, we must recalibrate our internal affairs. No longer can we be excused for leaving investigation and enforcement up to our chronically underfunded racing commissions. But rather than pouring more of our money into the state commissions, we should develop private investigative capabilities that support the regulators’ powers and we should demand the commissions’ formalized cooperation with the investigations that must be carried out.

Much of the investigative work that went into the current prosecutions was carried out not by the FBI, but rather by a private firm called “5 Stones intelligence” or “5Si.” We have contracted with investigative firms in past years, but never did we make the sort of commitment that was made to 5Si. Maybe this should be the model going forward: use the power of private investigations wherever necessary to support the work of the racing commissions. Indeed, as Ed Martin pointed out, the current prosecution demonstrates the way to protect racing. No federal Hail Mary is necessary.

Third, all licensees in racing should be required to consent to investigation by any racing authority, in any public or private place, at any time, and also to consent to all appropriate, effective corrective action pending a hearing. If you want to participate in our industry, this comes with the territory. I’m aware of a case in which a trainer was caught doing something blatantly wrong to a horse, behaved extremely guiltily when caught, and then influenced a veterinarian to lie about the matter. The USTA suspended this individual and never looked back, but the state racing commission did nothing about it, because it thought that its hands were tied. Let us untie the hands of the racing commissions and other racing authorities, including the USTA, which has always been a powerful investigative force in harness racing.

Where are the large sums of money going to come from that will be needed for all of this? This is something that we will have to figure out, and now the discussion has begun. But I can tell you this: the funding we come up with to make effective the work of the state regulators is sure to be less than what the Horse Racing Integrity Act would cost us.

According to the testimony of a Thoroughbred witness before the Congressional subcommittee that is presently considering the Horseracing Integrity Act, the cost to the Standardbred industry would be about $13.8 million. Even if we had to put that much into the existing system to make it work effectively, at least we would know where the money was going.

Conclusion and Invitation

Times of peril are also times of opportunity. We’re aware, we’re outraged, we’re worried. But we’re also energized as perhaps never before. Now is our chance to do things that probably could not have been done before. The USTA will act. I invite industry stakeholders to join the USTA in developing a comprehensive template that will protect real integrity, support the health and welfare of our horses, and permit the beautiful narrative of horse racing to continue uninterrupted.

(USTA)