The Idaho Racing Commission erred when it distributed funds last year from a fund that is now no longer in existence to horse breeder associations instead of public education, according to a state auditor.
The money had been collected from slot machine-like terminals that took bets on historical races and were thus called “historical racing” machines. The 250 machines that were installed in the state’s eight racetracks were later banned.
The commission paid $286,000 to the breeder groups in 2015, but neglected to pay $72,000 to schools that it was obligated to disburse.
Moreover, because the law that had made the machines’ operation legal had been repealed, the authorization for the commission to distribute the money had also been repealed.
When the commission learned of this error, official said they would ask the state attorney general for guidance, and ask the breeder groups for the money back.
The commission still controls $143,314 that is supposed to go to the Idaho Horse Council Youth Program, but cannot legally pay it out because it now lacks that authority.
The commission says it hopes that new legislation in 2017 will correct the situation.
