Lawmaker Expresses Concerns Over NYRA Plan

The New York Racing Association may be on a fast track to devise a plan removing it from state government control, but at least one veteran state lawmaker is in no rush to see the racing operator in charge of its destiny.



"I don't think they're ready to go on their own yet," said Assembly Racing Committee chairman Gary Pretlow.



The warnings by Pretlow and the hesitation by his Senate committee counterpart to give a green light now to any of NYRA's still-developing plans signal some potential bumps for next year's scheduled end of state oversight of NYRA.



Though NYRA uses the term "re-privitization" to describe the scheduled end next fall of the state's control of its operations, Pretlow made clear he will oppose any effort that might arise to make NYRA a truly private corporation.



"It remains a franchise under the state of New York and nothing else is really acceptable," Pretlow said.



Moreover, Pretlow signaled interest in extending the three-year oversight period, which began in October 2012 following concerns by Gov. Andrew Cuomo over how NYRA runs its three tracks in New York. Pretlow would like to see the current domination of state appointees on the 17-member board continue past next October's scheduled oversight expiration, though with more control by the Legislature over the NYRA board.



The NYRA board is now dominated by Cuomo appointees. The 17-member board is composed of eight appointees by the governor, two each by the Senate and Assembly and five by the previous NYRA board.



Pretlow's views can be overruled if deals are cut by Cuomo and the two leaders of the Senate and Assembly after a new session begins in January 2015. But his opinions will help guide positions that Assembly Speaker Sheldon Silver takes in those closed-door talks with Cuomo and the Senate.



NYRA this week said it is aiming to complete by the spring a full set of proposals, ranging from how a new board of directors would be shaped to possible changes needed in state law and regulations, for its future operations. Cuomo and lawmakers can reject or accept any part of NYRA's plan, though given the current board composition it is all but certain that NYRA is not undertaking its re-privitization effort without input from the Cuomo administration.



Whether the NYRA matter is resolved in next spring's state budget process or rolls over to an end-of-session issue in June remains an open question. Among the many uncertainties is how state officials will react to the current NYRA board's intention to drop any decision-making effort regarding real estate holdings by NYRA, which are code terms for what to do about the future of Aqueduct Racetrack.



The Senate Racing Committee chairman, Republican John Bonacic, who represents an area of the Catskills region hoping to be awarded casino licenses by the state in the coming weeks, declined to be interviewed.



But MJ Goff, his spokeswoman, did not signal interest on the senator's part to be clearing the path now for NYRA to just get its way. "The senator would want to review the reorganization plan, which is due to be put together by the NYRA board, and get input from various stakeholders before determining the path he feels is right for New York racing going forward," she said in a statement.



The Cuomo administration has also not signaled a definitive approach it wants taken for NYRA, though the governor in the past has said he wants the state out of running NYRA's operations at the end of the three-year control period.



The NYRA board met this week in Manhattan and discussed some preliminary issues for its future governance structure and other matters. Board members said some votes on future plans could start coming at its next meeting in December.



Pretlow said he believes NYRA should not be given the same legal rights as privately-run harness tracks in New York. Asked why, he said, "Because the state would have no say over what happens there. The harness tracks are private and they run roughshod over their horsemen."



Noting NYRA's claim this week that it will end the 2014 fiscal year with a surplus for the first time in 13 years, Pretlow said, "Good things are happening" at NYRA.



But the Democrat said NYRA is still "not ready for a whole new structure. I think we have to continue the way we are now until such time as they can be trusted to run it on its own again." Pretlow said he has voiced his concerns directly to NYRA CEO Christopher Kay.



Pretlow also voiced frustration that NYRA has "not had much interaction" with the Legislature the past couple years because they either make decisions on their own or through the Cuomo-run state Gaming Commission.