The federal Horseracing Integrity and Safety Act took effect on July 1, in response to horse racing rules that varied from state to state. The law, which only governs thoroughbred racing and racetracks, was designed to require every U.S. track to abide by a standard set of regulations.
The impetus for the law included doping scandals, unexplained deaths at the Santa Anita track in California and the 2021 Kentucky Derby, whose winner, Medina Spirit, was disqualified for using an illegal drug.
With the support of Churchill Downs, U.S. Senator Mitch McConnell of Kentucky and other federal lawmakers pushed through legislation to create HISA. Among its provisions, HISA establishes guidelines on the use of the drug Lasix on race days; limits the use of a riding crop; standardizes horseshoes; expands veterinary oversight; sets surface maintenance standards; and issues testing requirements for horses.
While most states approve of the new HISA rules, Texas, Louisiana, Oklahoma and West Virginia all claim HISA is unconstitutional and infringes on a state’s rights to oversee activities within its borders.
Texas and the Texas Racing Commission have already sued, claiming HISA violated non-delegation doctrine, meaning the state did not get to vote on the rules specifically, and due process, meaning the state wanted more time to implement the changes. The suit was dismissed but appeals have been filed.
Louisiana and West Virginia recently filed a new federal lawsuit to block the implementation of HISA. They said the law violates the 4th, 7th and 10th amendments to the U.S. Constitution.
Referring to Louisiana, the suit states: “It is unclear how HISA will collect monies from racetracks and covered persons because Louisiana law makes clear that the Louisiana State Racing Commission must ensure parimutuel wagering revenue is distributed in a particular manner-namely, that ‘50 percent of specific proceeds shall be distributed by such track licensee as purses’ and the remaining 50 percent ‘shall be distributed by such track licensee as purses.’”
In Texas, Lone Star Park near Dallas has prohibited any simulcast signal from its races going beyond state borders. Also, advanced wagering companies cannot take bets on Texas races, which already has caused a significant drop in handle. On Saturday, June 25, Lone Star Park had a $1.7 million handle for 10 races; the next Saturday, with the races blacked out, the handle was $215,107 for eight races. Texas Racing Commission Executive Director Amy Cook said the park’s position symbolized “Texans supporting Texans.”
HISA is overseen by the Federal Trade Commission.
