Washington Horse Racing
Commission
Meeting Minutes
September 13, 2007
Present were: Carol Smith-Merkulov, Chair; Jeff
Colliton, Commissioner; Paul George, Commissioner;
Bud Hallowell, DVM, Commissioner; Hartly Kruger, Commissioner;
Heather Polz, Assistant Attorney General; Robert M.
Leichner, Executive Secretary; Patty Sorby, Confidential
Secretary.
Item #1. Approval of the meeting minutes of August
16 and 17, 2007.
Commissioner Kruger moved to approve the minutes
as submitted. Commissioner Colliton seconded the motion.
Unanimously approved.
Item #2. Chairperson’s report.
Chairperson Smith-Merkulov attended the Walla Walla
Fall race meet. She said the meet went well and reported
on a racing spill at the wire where jockey Connie
Doll-Carriere had been injured but was in satisfactory
condition.
Ms. Doll-Carriere had related a request to have the
Class C meets prepare an insurance card information
and give it to the jockey’s in the case of an
injury with all the insurance information the hospital
may need on the card. Mr. Shorty Martin said the small
tracks were aware of this issue and were working on
it for next season’s meets.
Commissioner Colliton also attended the Walla Walla
Fall meet and said the staff of the racing association
and the WHRC had done a great job.
Item #3. Emerald Downs’ report.
Susie Sourwine reported modest gains for the Emerald
Downs’ handle since last month’s report.
She said some exciting races were coming up, the Washington
Cup 5, the Hall of Fame inductees presentation and
announced that TVG would begin broadcasting on basic
cable on September 17th. Track surface concerns had
been reported right after the race track had been
soaked by summer rains and hadn’t really had
a chance to recover but also said administration was
working closely with the Horsemen’s Benevolent
& Protective Association (HBPA) to resolve the
concerns.
Frank McDonald, President, HBPA also said soil samples
had been taken and results should be back soon and
they would be going over any issues.
Item #4. Request by Len Kasmerski for refund of L&I
premium.
Mr. Kasmerski was not present, Steward Ken Doll had
personally informed him of this item on the agenda.
This item was moved to later in the agenda in case
Mr. Kasmerski appears. Chairperson Smith-Merkulov
tabled this item to another day when Mr. Kasmerski
could be present to participate in the discussion.
Item #5. Rules of Racing – Discussion:
a. WAC 260-20-160 (Ambulances) Medical Aid.
Robert Leichner said that at the May 2007 meeting
in Walla Walla the WHRC adopted amendments to Chapter
260-20 WAC and during the discussion, the WHRC decided
to postpone the amendments and prepare a new proposal
addressing medical aid on the grounds during live
racing. Stakeholders were sent the amendments that
all racing associations provide a vehicle, properly
equipped and staffed with two emergency medical technicians
for each day the track is open for racing and a requirement
that Class A and B associations provide a first-aid
room equipped with two beds and other appropriate
equipment.
These amendments were filed with the Code Reviser
on May 21, 2007 and shared with stakeholders on June
18, 2007. Public comments were received with concerns
regarding (1) no medical staff on the grounds when
conducting training either on a race day or non-race
day at Emerald Downs and the Class C meets; and (2)
emergency medical technicians that are not trained
in advanced life support (paramedics).
In response, staff prepared four options and requested
direction from the commission on the proposed language
that should be filed for adoption.
Susie Sourwine stated Jack Hodge, Vice President
of Emerald Downs supported option one.
Mary Ann O’Connell, Executive Director, HBPA
said Emerald Downs goes beyond what is required. She
said there should be no difference in the requirements
from the Class A and B tracks and the Class C tracks.
Shorty Martin, Class C race meet representative said
the Class C tracks do not have the money to have the
EMT’s during training.
Chairperson Smith-Merkulov said the consensus of
the commission is option one which requires racing
associations to provide a vehicle properly equipped
and staffed with two emergency medical technicians
one hour before post time until the last race is official
each day the track is open for racing. Class A or
B associations must provide a first-aid room equipped
with two beds and other appropriate equipment, staff
prepare the suggested language for filing.
b. WAC 260-44-150 Horseshoes (Toe Grabs).
Mr. Leichner said the Association of Racing Commissioners
International (ARCI) had notified the WHRC a model
rule was passed prohibiting toe grabs with a height
greater than four millimeters (0.15748 inches) worn
on the front shoes of horses while flat track racing
on any track surface or conditions.
Mr. Leichner requested direction from the commission
whether to proceed with amending WAC 260-44-150 to
include the suggested model rule language.
Mary Ann O’Connell, Executive Director, HBPA,
supported adopting the language into rule.
Commissioner Kruger moved to have staff amend WAC
260-44-150 to incorporate the suggested model rule
language. Commissioner Hallowell seconded the motion.
Unanimously approved.
Item #6. Hearings:
Chairperson Smith-Merkulov said Mr. Wilson Dieguez
had withdrawn his request for hearing and had been
remanded to the board of stewards for imposition of
penalty. Ms. Smith-Merkulov read the rest of the names
of those who had been scheduled for hearing and tabled
those not present.
e. Debbie Hoonan-Trujillo
Chairperson Smith-Merkulov opened the hearings at
10:30 AM and introduced those present. Robert Lopez,
Deputy Secretary represented staff. Heather Polz,
Assistant Attorney General represented the commission.
Jim Oliver represented Debbie Hoonan-Trujillo. Mr.
Lopez introduced seven exhibits and Chairperson Smith-Merkulov
admitted them. Kenneth Doll, Steward, WHRC gave testimony.
Debbie Hoonan-Trujillo gave testimony. After considering
testimony the WHRC upheld the decision of the stewards.
Hearing closed.
LUNCH BREAK (12 Noon to 1:00 PM)
Item #4. Request by Len Kasmerski for refund of L&I
premium.
Chairperson Smith-Merkulov said Mr. Kasmerski had
appeared and she had granted his request to be heard
immediately following the lunch break.
Mr. Leichner said Mr. Kasmerski had submitted two
letters to the WHRC requesting they be forwarded to
each commissioner. In his letter Mr. Kasmerski requested
a refund of one exercise rider premium because he
was overcharged for having fifteen stalls when he
actually only had twelve stalls. Mr. Kasmerski had
originally thought he was to receive three more horses
and it turned out the owner of those three horses
obtained his own trainer’s license and requested
and received three stalls of his own. Mr. Kasmerski
stated this could be verified by Bret Anderson, Emerald
Downs’ Racing Secretary (Mr. Anderson’s
letter attached).
Mr. Leichner said he had done some research and found
that Mr. Kasmerski did in fact obtain a trainer license
and requested three groom slots and two exercise rider
premiums on January 3, 2007 indicating fifteen stalls.
The Emerald Downs 2007 allotment for stalls indicated
fifteen stalls for Mr. Kasmerski, the Emerald Downs
Trainer’s Horses Listing printed on May 2, 2007
indicated fourteen horses in the care of Mr. Kasmerski.
Mr. Kasmerski had twelve horses on the grounds as
early as March 18th.
The three additional horses that Mr. Kasmerski was
expecting were for Mr. Don Richardson and they arrived
around the beginning of April. Mr. Richardson did
not obtain a license until May 11, 2007, the three
horses were in the care of Mr. Kasmerski until Mr.
Richardson obtained three stalls on May 16, 2007 as
indicated on Mr. Richardson’s stall application.
Chairperson Smith-Merkulov said the rules provide
that the WHRC must collect the L&I premium at
the time of licensing and the rules also provide that
in the event a trainer increases the number of horses
or stalls the WHRC is required to collect any additional
premium owed as provided in WAC 260-36-220 Industrial
insurance premiums. The rules do not have any provision
to refund any part of a premium.
Chairperson Smith-Merkulov moved that WAC 260-36-220
does not authorize a refund mechanism for L&I
premiums and Mr. Kasmerski’s request is denied.
Commissioner Kruger seconded motion. Unanimously approved.
f. Gerald Miller.
Chairperson Smith-Merkulov opened the hearing at
1:40 PM and introduced those present. Robert Lopez,
Deputy Secretary represented staff. Heather Polz,
Assistant Attorney General represented the commission.
Gerald Miller was present and not represented by an
attorney. Mr. Lopez introduced ten exhibits and Chairperson
Smith-Merkulov admitted them. Mr. Miller stipulated
as to the truth and accuracy of the exhibits and Mr.
Lopez rested. Mr. Miller called upon Ron Whited, Charles
Essex and Walter Roderick, WHRC Investigator as witnesses.
After considering testimony the WHRC granted Mr. Miller
a conditional license with several conditions.
a. L. Videll Bronson.
Chairperson Smith-Merkulov opened the hearing for
L. Videll Bronson and introduced those present. Robert
Lopez, Deputy Secretary represented staff. Heather
Polz, Assistant Attorney General represented the commission.
Ms. Bronson did not appear. Mr. Lopez moved for a
default judgment. Mr. Lopez introduced seven exhibits
and Chairperson Smith-Merkulov admitted them. WHRC
Investigator Rick Harwood gave testimony. WHRC Presiding
Steward Doug Moore gave testimony. After considering
the testimony the WHRC affirmed the ruling of the
board of stewards and increased the $50 fine to $250
and ordered that it must be paid before applying for
a 2008 license.
Hearing closed.
b. Virgil Bronson.
Chairperson Smith-Merkulov opened the hearing for
Virgil Bronson and introduced those present. Robert
Lopez, Deputy Secretary represented staff. Heather
Polz, Assistant Attorney General represented the commission.
Mr. Bronson did not appear. Mr. Lopez moved for a
default judgment. Mr. Lopez introduced nine exhibits
and Chairperson Smith-Merkulov admitted them. WHRC
Investigator Rick Harwood gave testimony. WHRC Dick
Smith, Supervisor Investigative Unit gave testimony.
Mr. Lopez requested that Mr. Bronson’s license
be permanently revoked and that he be made ineligible
to apply. After considering testimony, Mr. Bronson’s
license was permanently revoked and he was made permanently
ineligible to apply for a license, permanently ineligible
to apply for an advance deposit wagering account and
permanently ineligible to attend any WHRC licensed
association or off-track betting (OTB) facility.
BREAK (3:30 PM) RECONVENED (3:35 PM)
c. Kevin S. Knapp.
Chairperson Smith-Merkulov opened the hearing for
Kevin S. Knapp and introduced those present. Robert
Lopez, Deputy Secretary represented staff. Heather
Polz, Assistant Attorney General represented the commission.
Mr. Knapp did not appear. Mr. Lopez moved for a default
judgment and an order of dismissal. Mr. Lopez introduced
eight exhibits and Chairperson Smith-Merkulov admitted
them. Mr. Lopez gave testimony and requested Mr. Knapp’s
license be permanently revoked and that Mr. Knapp
be made permanently ineligible to apply, ineligible
to apply for an advance deposit wagering account through
any WHRC licensed company and banned from any WHRC
licensed association or off-track betting (OTB) facility.
After considering testimony, Mr. Knapp’s license
was permanently revoked and he was made permanently
ineligible to apply, permanently banned from all WHRC
licensed racing facilities including off-track betting
(OTB) facilities and permanently ineligible to apply
for an advance deposit wagering account.
Item #7. 2008 License fee update.
Mr. Leichner said that at the WHRC meeting in July
2007 questions were raised on how to reduce the impact
of proposed license increases. Two options were discussed.
(1) Reduce staff hours and (2) use non-profit racetrack
funding incentives. Mr. Leichner said he analyzed
reducing staff hours and found that some hours linked
to the registration clerk were not licensing related
and by deleting those hours costs were reduced. But
further research found that by reducing hours was
not consistent with WHRC customer service objectives
and the current schedule is supported by the HBPA.
Any significant reduction in hours may make it difficult
to fill this position.
Mr. Leichner said using equine incentive funds could
have adverse consequences for non-profit racetracks.
The non-profit racetracks are in desperate need of
funding to help cover jockey liability insurance costs.
The jockey incentive fund helps ensure that adequate
numbers of jockeys are available to race to make the
meets viable with six or more horse fields.
Mr. Leichner said without this funding it is possible
the four non-profit meets will not be able to continue.
This could diminish the ability of the WHRC to fulfill
it responsibilities to promote economic benefits of
the equine industry. Losing the non-profit tracks
would reduce the operating costs of the WHRC by $200,000
($100,000 in regulatory costs and $100,000 in purse
fund subsidies from WHRC operating account). Loss
of racing opportunities at the non-profit tracks could
adversely affect the horse racing industry.
Mr. Leichner provided the commission with five options:
maximum increase allowable by the growth factor; maximum
whole dollar increase; comprehensive adjustments;
comprehensive adjustments less $2.00-eliminate multiple
license discounts; and comprehensive adjustments with
multiple license discount. Staff recommended the fifth
option for comprehensive adjustments with multiple
license discount.
MaryAnn O’Connell strongly urged the commission
to retain the multiple license discount.
Commissioner George moved to approve option five,
comprehensive adjustments with a multiple license
discount. Commissioner Kruger seconded the motion.
Unanimously approved.
Item #8. Jockey incentive – distribution for
2007 season.
Mr. Leichner provided the commission with a breakdown
of the incentive fund distribution. Mr. Leichner discovered
the funds attributed to Daniel Boag actually should
be attributed to Mark Boag, they had been reversed
and it would be corrected. The funds will be sent
out as soon as the recipients return the W-9 forms.
Mr. Larry Farrell will not receive any Jockey Incentive
Funds because his license was permanently revoked.
Item #9. Executive Secretary’s report.
a. Walla Walla fall meet wagering recap.
Mr. Leichner explained the accountant’s recap
of the Walla Walla fall meet noting the revenue in
comparison to 2006 was down 11.51 percent.
b. Accountant’s recap August 2006/2007.
Mr. Leichner provided the accountant’s recap
for Emerald Downs during August in comparison to August
2006. Also provided was the accountant’s statement
of total advance deposit wagering and allocation of
source market fees for Emerald Downs 2006/2007 wagering
period.
c. 2007-2009 Budget update.
Mr. Leichner explained the WHRC projections compared
to actual revenues and expenditures.
Item #10. Any other business that may be properly
brought before the Commission.
Meeting adjourned.
____________________________________
Robert M. Leichner, Executive Secretary
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