Tom Rooney, president and CEO of the National Thoroughbred Racing Association (NTRA), sees reasons to be cheerful as he talks tariffs, immigration crackdowns, decoupling, historic horse racing and other matters arising
Amid the tumult from the first few months of Donald Trump’s latest presidency, perhaps the most disruptive elements have concerned the tariffs imposed upon global goods shipping into and out of the US.
From a racing standpoint, these tariffs have triggered alarm for all sorts of reasons, including the potential costs from horses shipping to America to be sold, for breeding or to race.
How will the tariffs affect the cost of agricultural goods like hay, feed and straw? Then there’s the capricious nature with which Trump has both imposed and then lifted his tariffs.
“If I would have talked to you yesterday, everything I would have said would have been wrong,” said Tom Rooney, president and CEO of the National Thoroughbred Racing Association (NTRA), speaking the day after Trump suddenly lifted a set of onerous tariffs he’d just instituted against dozens of countries.
Rooney knows better than most whereof he speaks. Before taking his high-profile leadership role within horse racing, he was a Republican US congressman who, between 2009 and 2019, represented Florida’s 16th and 17th congressional districts west of the state.
Despite Trump’s apparent volte face, tariffs remain on certain racehorses entering America from countries in the EU and Japan, among others. On the other hand, while a blanket 25% tariff exists on a lot of goods entering the US from Canada and Mexico, they currently don’t apply to live horses.
Tariffs: general sense of upheaval
“Hopefully, there’s some kind of a solution so that we're not having this hang over us for the rest of this administration. If it really is to get people to the negotiating table, then hopefully he gets that and gets them to the table,” said Rooney.
In the meantime, Rooney encourages stakeholders to contact their local politicians to share with them their fears about the impacts on their businesses.
“I have been working with [Kentucky] Congressman [Andy] Barr’s office to try to get some exceptions, especially with regard to the sales,” said Rooney. “If there's going to be exceptions, it might be difficult for us to argue that Thoroughbreds should be at the top of that list. But we're certainly going to try.”
Despite the general sense of upheaval from these global trade wars, horse racing has all sorts of reasons to feel good, according to Rooney.
To prove his point, Rooney highlighted the costly infrastructure upgrades the New York Racing Association (NYRA) is overseeing at Belmont Park and Saratoga, the record purses in Kentucky (at Keeneland and Kentucky Downs), and last year’s Keeneland September sales grossing a record haul.
“Netflix is also doing a series like they did for golf and Formula One racing that's coming out here soon, so hopefully that gives us a little bit of buzz,” said Rooney, about the latest iteration of the “Race for the Crown” series as it follows several jockeys, trainers and owners on the Triple Crown trail.
“As far as what I think we're doing and the trajectory that we're on, I think it's all very good,” said Rooney.
Maryland: budget shortfall is a problem
In many corners, another good news story these past couple of years has been the reforms coming the way of the Maryland racing industry.
Last year, the state legislature passed a major bill that transferred ownership of Pimlico Racecourse from The Stronach Group’s (TSG) 1/ST Racing and Gaming to the state, the establishment of a year-round training facility for Maryland’s horsemen and women, and the institution of the non-profit Maryland Thoroughbred Racetrack Operating Authority (MTROA) to oversee implementation of the Pimlico Plus plan, peopled by several industry figures.
Earlier this month, however, the state legislature shifted oversight of this plan from the MTROA to the Maryland Stadium Authority and the Maryland Economic Development Corporation.
This seemingly abrupt move has put some in Maryland on edge. Should they be concerned? No, said Rooney, calling it a decision made primarily for cost-saving purposes.
“This has nothing to do with the effectiveness of the authority [MTROA],” said Rooney, who once sat on the board.
“One of the big problems is Maryland has a budget shortfall,” he said. “I think they save $3.4 million by turning this over to the Maryland Stadium Authority early.”
Decoupling: ‘There’s a consequence for breaking that deal’
A legislative fight garnering nationwide interest is the TSG-led effort to decouple the live racing requirement for Gulfstream Park and Tampa Bay Downs to operate their respective casino and card rooms – a requirement that currently funnels a percentage of those gambling revenues to purses.
TSG, which owns Gulfstream Park, argues that decoupling is needed to attract redevelopment investors to its vast property. But many see the move as a death knell to horse racing in South Florida.
Indeed earlier this year, TSG advisor Keith Brackpool warned an assembled group of industry stakeholders that even if the decoupling legislation passed, he would only guarantee the track would remain open for live racing until 2028.
Right now, there are three different decoupling bills floating around the state legislature. Two such bills are in the House and are eligible for a vote on the chamber floor. Another decoupling bill in the senate has only passed through one committee. Typically, it would pass through at least two before that chamber votes on it. A bill can only be signed into law if both the House and Senate pass identically worded legislation.
How does Rooney see these various legislative efforts playing out? He said none of the Florida politicians he has spoken to want to jettison racing in the state.
‘They are playing dirty’ – horsemen fear uphill battle to save racing’s future at Gulfstream Park
“They all want to figure out a solution to make racing survive for generations to come, but in a better way,” said Rooney. “The problem they have is an owner [Belinda Stronach] that wants to not be involved in racing anymore.”
Furthermore, the deal that allowed TSG to operate the casino alongside the Gulfstream Park track came about through public referendum.
“How do you let somebody off that hook without having to pay some kind of a … I don't want to use the word punishment, but there's a consequence for breaking that deal,” said Rooney.
The bills currently knocking around the state legislature have sunset clauses that require TSG to maintain live racing at Gulfstream Park for a minimum of either five or seven years.
Moving the iceberg
“The seven-year thing, yes, it's better than five,” said Rooney. “But as somebody said: ‘It's like being on the Titanic except the iceberg just got moved a little further away.’
“The people that are in charge have to figure out something beyond just making [Stronach] race for seven more years. The horsemen need time to figure out an alternative.
“Then there's the X factor – there could be some other group that swoops in to buy Gulfstream or some other venue and gets permission to start a new racetrack there,” he went on.
“I just don't know how you do that without having slot machines help with purses. I don't think you can just do it as a standalone racetrack unless the state's going to somehow help you.”
Historical horse racing – a hot topic
Outside economic lifelines for horse racing are a hot topic right now beyond just slot machines. In states like Kentucky and Virginia, historic horse racing machines provide a key supplement to purse revenues. They used to be in Louisiana, as well.
In March, however, the Louisiana Supreme Court dealt a blow to the state’s four racetracks by declaring a 2021 statute that had legalized historical horse racing machines as unconstitutional without voter approval.
Churchill Downs Inc., which owns Fair Grounds in Louisiana, subsequently announced a roughly 25% cut to purses at the track on the back of the court’s decision.
“This ruling places at risk an entire horse racing ecosystem that relies on historical horse racing revenue,” the company wrote in a statement at the time.
Does Rooney see any similarities between the recent purse cuts at Fair Grounds and the now defunct Golden Gate Fields in California, a state that has no supplemental purse income. Prior to closing in 2024, TSG-owned Golden Gate Fields announced a 25% cut to purses as a means of clawing back a large purse overpayment.
“I don't think it's the end of the conversation yet,” said Rooney about Louisiana, who pointed out the differing political climates towards horse racing between the two states.
“I see the Fair Grounds as a very well-established track and a state that loves horse racing, as opposed to Golden Gate Fields.”
The latter venue, now defunct, faced a critical local government in the City of Berkeley, Rooney explained.
“As to what Churchill's intentions are, I don't know,” he added. “But I assume that trying to get [historic horse racing made] constitutional through a ballot initiative or what have you is probably the next play.”
HISA at work: Improved equine safety numbers
Through the Horseracing Integrity and Safety Act’s (HISA) fatality metrics and the Horseracing Integrity and Safety Unit’s (HIWU) recently released annual report, the industry got another glimpse at noticeably improved equine safety numbers under HISA’s watch.
In short, 2024 was the first year (since the Jockey Club started compiling its nationwide database on raceday equine fatalities) that fatalities at HISA-regulated tracks were below one raceday fatality for 1,000 starts, at a rate of 0.9 fatalities per 1,000 starts.
For tracks not regulated by HISA, the raceday equine fatality rate was almost double that number and showed a slight increase from 2023 figures.
At the same time, several jurisdictions continue to raise serious concerns about the financial toll from paying for these federal welfare and safety programs, especially in light of a new funding methodology that smaller tracks say puts them at a major disadvantage compared with their deeper-pocketed rivals.
Indeed, the president of Washington State’s Emerald Downs recently told the Seattle Times that the track’s increased fees put next year’s meet in doubt.
Alleviating financial burden
Rooney said that he and others are currently pursuing possible legislative ways to alleviate the financial burden on struggling tracks while at the same time navigating the reality that HISA first passed in part because it had an industry-funded business model.
“It's a burden, especially to some of the smaller tracks and not as affluent horsemen that are having to come up with costs that they really can't afford,” he claimed.
“Is there a way for us to make the argument to appropriators that keeping the sport of horse racing as safe as possible is worth some kind of investment by Congress? We're not there yet. But we’re definitely working with Lisa [Lazarus, HISA CEO] and her team on it.
“Nobody wants HISA to succeed more than she does,” said Rooney. “After all the work that she's put in, she wants it to be sustained over time and not have some replacement bill come in that basically doesn't have any teeth.”
Immigration question
Another unavoidable element of the current administration is its aggressive crackdown on immigration, targeting individuals who are in the US both legally and illegally.
Despite its large immigrant workforce, horse racing has so far escaped any targeted immigration raids. Given the president’s similar reliance on immigrant labor to keep his businesses running, Rooney is hopeful horse racing continues to remain outside of the crackdown blitz.
Immigration experts, however, have long extolled the need for comprehensive reform to make the system fairer and more streamlined for both immigrants and employers. Does Rooney see an opening in Washington for such a legislative package?
The simple answer is no. “I mean, [the current Republican party] is a long way away from George Bush and his dad and even Reagan. So no, I don't see Trump putting forward any kind of reform that makes our economy and our labor force better,” said Rooney.
“I just don't think that's been in his wheelhouse the whole time since he came down that escalator talking about illegal immigrants.”
As to matters of more immediate concern, Rooney the racing fan is eagerly awaiting the upcoming Triple Crown. “It is shaping up to be a very exciting Derby next month, thanks to some of these horses that we've seen qualify for the Derby like Journalism and Tappan Street,” he said.
“Then we move on to the Preakness, which will be the last year they hold it at the old Pimlico, before they tear it down and build a new facility there that's going to be state of the art,” Rooney added. “What with this and the racing season coming up, we have a lot of positive things to look forward to.”
Be that as it may, with so many pressing issues occupying his in tray, he is unlikely to be left twiddling his thumbs any time soon.
• Visit the NTRA website
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