Page 8 - NM Spring 2019

FROM THE PRESIDENT
Dear Members,
Here we are in another year! I hope everyone is doing well and that your broodmares and babies are doing well!
The annual meeting and awards banquet on Jan. 24th were another success. This meeting is always a good time to see people that we might not have seen for a bit and is also a good time
to congratulate those who have had a good
year. The annual meeting included breakout sessions where attendees were able to discuss three topics in smaller groups – how to increase our thoroughbred foal numbers, how to improve the breed sale and an information session on the breeder incentive and award monies. The an- nual meeting also included a silent auction that included a number of stallions and a framed and autographed photograph of Mike Smith, Bob Baffert and Justify that was a hot item.
I want to welcome three new board members – Annette McCloy, Mike Logan and Verner Query. Each of these new trust- ees will be an important asset on the board and are already “getting their feet wet” as we move through the legislative process. I also want to thank the three trustees who are taking a break from the board – Norma Al- varez, Jay Taylor and Jill Giles. Norma and Jay were long time members of the board
of trustees and both have been immensely important in the activities of the associa- tion over the past decade. Also, while Jill was a trustee she provided a liaison with the horsemen’s association and a good perspec- tive from someone who is involved in a many aspects of the racing industry here
The board will use input from members at the annual meeting to continue our goals of supporting the membership and improv- ing the association. This includes a deeper look into ideas for improving the breed sale, increasing our member outreach, building on relationships to improve our racing industry and ensuring that the breed incentive monies are equitably distributed.
Based on input from breeders about the pos- sibility of increasing breeders’ awards, the board has been analyzing the state’s breeder incentive awards. Here is what we have found. Several decades ago, the horse racing act instructed the New Mexico horse breeders’ association to create a fund to pay horse breeders of New Mexico- bred horses’ merit and incentive awards. This same act provides monies from the pari-mutuel handle and also directs how these monies will
be distributed. After the gaming control act was passed in 1997, additional monies were added to the breeders’ incentive fund from the gaming net revenues. The 2018 distribution chart shows amounts for each category.
The intent of the original legislation was to provide incentives for the breeders in the state so that the program would continue to grow and prosper. At the time that the horse racing act was created, the source of funds was pari-mutuel handle and there was no gaming revenue. The scenario today is much different as the gaming revenue completely overshadows the revenue from the pari-mutuel handle. Because of this scenario change, we are now distributing less than thirty percent of the breeders’ incentive fund to the actual breeders. Less than three per- cent of the fund goes to stallion owners and the rest, almost seventy percent goes to the owners of the breeds as they race. So, one would have to wonder if this is the appropriate percentage splits to really incentivize the breed program. While the owners of the race horse definitely deserve
the stakes and overnight enhancements that are provided, we would argue that a much larger per- centage of the annual incentive awards should go to the breeders. This is a big concern and we will continue to research and discuss these percent- ages with the goal of maximizing the incentives for breeding in the state.
And here is one more area of concern. Below is
a chart of the 2018 breed races and breed purses for each track by breed. This chart shows for 2018 across all tracks that thirty percent of the purse money
for breed races went to quarter horses and seventy percent went to thoroughbreds. Only SunRay is close to the 60/40 agreement and there is a real disparity at Sunland Park with only fifteen percent of the purse money for breeds going to quarter horses.
A letter has been sent to the tracks with a copy to the racing commission to open up a dialogue about taking care of our New Mexico breeds.
Debra Laney and Annette McCloy are already planning the summer meeting as part of the Zia Festival activities that will include a town hall meeting and the Zia party. Please mark your calendars for the weekend of July 27th, 2019 and plan to join us.
Here’s wishing you all a good foaling and breeding season.
Sincerely,
Ralph W. Vincent, President
Distribution of Funds from NMHBA
Breeders
Owners
Stallion Owners
Total
Stakes enhancements
2,827,500
Overnight enhancements
2,623,850
Breeds in Open races
539,607
10% Track Award
1,188,615
Annual incentive award
1,870,088
1,662,304
290,901
3,823,293
Totals
3,058,703
7,653,261
290,901
11,002,865
Percantage of Total
27.8%
69.6%
2.6%
Breed Races Only
% overnight races restricted to NM Bred by breed
% purse money in overnight races restricted to NM Bred
QH
TB
QH
TB
Sunland
14%
86%
15%
85%
SunRay
40%
60%
42%
58%
Ruidoso
34%
66%
35%
65%
Albuquerque
30%
70%
38%
62%
Zia Park
31%
69%
33%
67%
2018 Overnights
26%
72%
30%
70%
6 New Mexico Horse Breeder