IN.gov - Skip Navigation

Note: This message is displayed if (1) your browser is not standards-compliant or (2) you have you disabled CSS. Read our Policies for more information.

Indiana Horse Racing Commission

HRC > Annual Reports & Statistics > 2002 Annual Report 2002 Annual Report

 Indiana State SealThe Honorable Joseph E. Kernan
Governor of the State of Indiana
Room 206, The Statehouse
Indianapolis, IN 46204


October 1, 2003

Dear Governor Kernan:

After serving the State of Indiana for the past five years on the Gaming Commission, it has been a pleasure to return to the Horse Racing Commission and reacquaint myself with all aspects of the horse racing industry.

The year 2002 was a landmark year with Indiana's second pari-mutuel track, Indiana Downs in Shelby County, grand opening in December. This fine facility holds the promise of growth and opportunity for all racing breeds.

As in the past, the Commission continues to focus its energies on diligently regulating the pari-mutuel industry. The results of our regulatory efforts, along with statistics of interest, are highlighted in this report.

I look forward to working with my fellow commissioners to continue to maintain our strong regulatory presence. I am confident that we will continue to grow and further strengthen this unique and important industry.

I am grateful to have the opportunity to serve you, the public and all the fine people in Indiana's horse racing industry.

Respectfully submitted,

Richard Darko, Chairman
Indiana Horse Racing Commission

Table of Contents

Indiana Horse Racing Commission

Commissioners

Richard Darko
Alan Armstrong
Janet Bozzelli
Richard "Pete" Beck
K. Clay Smith.
Chairman * (2004)
Vice-Chairman * (2003)
Secretary * (2005)
Member * (2005)
Member * (2006)
* Term expires September 1st of year indicated.

Staff

Joe Gorajec
Deena Pitman
Robert Smith
Wendi Samuelson-Dull
Jessica Larkins
Jacki Brown
Shirley Murphy
Pat Adams
Executive Director
Assistant Executive Director
Director of Security
Controller
Director of Standardbred Racing
Thoroughbred Development Director
Licensing Supervisor
Investigator


To further assist the Commission with its regulatory responsibilities, the following individuals provided professional or technical service at Hoosier Park and Indiana Downs during the 2002 racing season.

Standardbred Judges
Timothy Schmitz, Presiding Judge
William Perkins, Associate Judge
Richard Williams, Associate Judge
John Eddy, Associate Judge
Thoroughbred Stewards
Gary Wilfert, Senior State Steward
Mike Manganelo, Associate Steward
Jim Higginbottom, Associate Steward


Commission Veterinarian
David Younts, D.V.M.
Sallie Cosgrove, D.V.M.
Veterinary Technicians
Stephanie Adams
Claudia Shaff
Racing Inspectors
Paul Clark
Karla Vaughn


Standardbred Breed Development
Advisory Committee
Ernest M. Gaskin, Chair
Henry B. Blackwell, II
Nat Hill, IV
Thoroughbred Breed Development
Advisory Committee
Jake Fredrick, Chair
Mari Hulman George
Rich Richey


Standardbred Advisory Board Quarter Horse Breed Development
Richard Link
Vic Losure
Nancy Sabatini
Michael Thompson
Randy Dever
Jeff Henson, Chair
Advisory Committee
Shirley Tresner, Chair
James Carmicael, D.V.M.
Jessica Larkins, ExOfficio Member Michael Renihan


Back to the Table of Contents


Year In Review

On December 6th Indiana Downs becomes the States' second pari-mutuel track. The customer friendly facility opens its 19-day inaugural harness meet to rave reviews.

February

  • On February 21, 2002 at the Harness Tracks of America's annual convention in Las Vegas, Harness Horse Youth Foundation Executive Director, Ellen Taylor, is honored with the association's prestigious Distinguished Service Award.


June

  • Executive Director, Joe Gorajec, issues two Preliminary Reports against Indianapolis Downs charging the track failed to disclose its relationship with a consultant during the process of two applications for a race track permit. The reports recommend 1.2 million dollars in fines.
  • Governor O'Bannon appoints Richard J. Darko as Chairman of the Commission upon the resignation of Nick Stein. Darko returns to the Racing Commission after serving with the distinction (1989-1997) as an original member of the panel.
  • On July 2nd the Commission approves Indiana Downs' first satellite facility application for a license in Evansville.


December

  • On December 16th the Commission approves a settlement agreement regarding the two Preliminary Reports issued to Indiana Downs in June. In the settlement Indiana Downs agrees to violating Commission regulations and to the payment of $400,000 in fines and $150,000 in attorney fees. Indiana Downs also apologizes to the Commission Executive Director, Joe Gorajec.


Back to the Table of Contents


Live Racing At Hoosier Park

Standardbred

Number of Dates 90
Total Handle $4,246,902
Average Daily Handle $47,188
Total Attendance 73,970
Average Daily Attendance 822

Thoroughbred and Quarter Horse

Number of Dates 68
Total Handle $4,227,736
Average Daily Handle $62,173
Total Attendance 65,760
Average Daily Attendance 967

Combined Standardbred,
Thoroughbred and Quarter Horse

Number of Dates 158
Total Handle $8,474,638
Average Daily Handle $53,637
Total Attendance 139,730
Average Daily Attendance 884


The statistics above represent attendance and handle at Hoosier Park on live racing only. Additional wagering on Hoosier Park's live racing at Indiana OTB's is as follows - Standardbred ($1,848,147), Thoroughbred ($1,745,403) totaling ($3,593,550).



Back to the Table of Contents


Indiana Downs Statistics

Standardbred Live Racing

Number of Dates 19
Total Handle $704,961
Average Daily Handle $37,103


Standardbred Simulcasting Export

Number of Dates 19
Total Handle $3,238,138
Average Daily Handle $170,428

Standardbred Simulcasting Import

Number of Dates 25
Total Handle $289,306
Average Daily Handle $11,572


Thoroughbred Simulcasting

Number of Dates 25
Total Handle
$567,098
Average Daily Handle $22,684


All Breeds - Simulcast and Import

Number of Dates 25
Total Handle $856,404
Average Daily Handle $34,256

Back to the Table of Contents

Distribution of the Wagering Dollar

The following is a breakdown of the distribution of all monies wagered at Hoosier Park and its satellite facilities and Indiana Downs:


 

Hoosier Park

Indiana Downs

Returned to Bettors $115,553,592.54 $1,244,475.85
Track Share $18,124,846.15 $176,359.65
Purses Earned $7,555,785.79 $99,216.00
Pari-Mutuel Tax $4,023,480.22 $31,227.30
Breakage $773,228.30 $10,086.20

Back to the Table of Contents

State Revenues

The following are the direct state revenues collected in accordance with the pari-mutuel statute IC 4-31:

 

Hoosier Park

Indiana Downs

Pari-Mutuel Tax $4,023,480.22 $31,227.30
Track Reimbursementfor Officials $289,061.94 $49,232.79
Admission Tax $10,577.80 $804.80
Fines and Civil Penalties Paid $33,350.00 $1,850.00
Track Permit and License Fees $8,000.00 $6,000.00
Total Revenue $4,364,469.96 $95,050.58

The direct revenue received by the State of Indiana exceeded the cost of regulation. Indiana Horse Racing Commission operating expenditures for calendar year 2002 were $1,270,208.01.



Back to the Table of Contents


Total In-State Handle

</A>


Back to the Table of Contents


Breakdown of Handle by Location

Breakdown of Handle by Location


Back to the Table of Contents


Purses Paid

Standardbred

Hoosier Park

Indiana Downs*

2002 $ 13,464,500 $1,601,900
2001 $ 11,631,350 n/a
2000 $ 10,877,500 n/a
1999 $ 11,960,800 n/a
1998 $ 12,186,805 n/a
1997 $   9,558,420 n/a
1996 $   5,608,176 n/a
1995 $   3,593,180 n/a
        

Total

$78,880,731

$1,601,900

* Live racing was not conducted at Indiana Downs prior to 2002.


Thoroughbred

Hoosier Park*

2002 $12,062,500
2001 $11,771,781
2000 $11,035,875
1999 $12,600,200
1998 $11,468,830
1997 $ 8,703,640
1996 $ 5,942,589
1995 $ 2,673,058
* Live thoroughbred racing was not conducted at Indiana Downs in 2002.


Back to the Table of Contents


Occupational Licensing

Pursuant to IC 4-31-6 and 71 IAC 5-1-1, all persons participating in pari-mutuel racing under the jurisdiction of the Commission are required to be licensed. The licensing process is the backbone of the Commission's regulatory efforts. Each prospective licensee is fingerprinted. The Federal Bureau of Investigation (FBI) and the Indiana State Police provide the Commission with criminal histories of all applicants. The Commission may refuse or deny the application for licensure of any person whose criminal or racing violation record is contrary to the public's best interest.


  2002  

Category

Count

  

Category

Count

Owner, Standardbred 2,167    Vendor/Contractor 44
Owner, Thoroughbred 1,815    Asst. Trainer, Standardbred 37
Groom 1,223    Farrier 33
Track Employee 538    Authorized Agent, Thoroughbred 32
Stable Name 463    Trainer, Quarter Horse 29
Owner/Trainer, 414    Authorized Agent, Standardbred 28
Owner/Trainer/Driver 324    Owner/Trainer, Quarter Horse 28
Trainer, Thoroughbred 305    Pony Rider 27
Vendor Employee 262    Racing Official 26
Pari-Mutuel Clerk 240    Jockey Agent 25
Owner/Trainer, Standardbred 218    Gate Crew 19
Driver/Trainer 155    Valet 14
Trainer, Standardbred 153    Other 13
Jockey 131    Apprentice Jockey 11
Track Security 126    Veterinarian 11
Driver 124    Track Management 6
Owner, Quarter Horse 113    Vet. Assistant 5
Asst. Trainer, Thoroughbred 94    Farrier's Assistant 3
Exercise Rider 56    Outrider 3
Commission Staff 50    Asst. Trainer, Quarter Horse 2

Total Licenses Issued:    9,367



SUMMARY

1994

1995

1996

1997

1998

1999

2000

2001

2002

Licenses Issued 1,922 5,269 6,292 7,152 7,806 7,877 7,808 8,191 9,365
Probationary Licenses Issued 21 54 53 68 80 70 89 113 107
Licenses Refused 16 10 29 26 21 2 9 16 13


Back to the Table of Contents


Equine Drug Testing

Pari-mutuel horse racing can succeed as a legitimate major league sport only if its races are perceived by the wagering public to be honest, competitive contests, free from manipulation by man or drugs. With the exception of furosemide (salix) and phenylbutazone (bute), under regulatory restrictions, state law and Commission rules prohibit the presence of any drug in horses racing at a pari-mutuel track. The Commission's drug detection program is one of the nation's most comprehensive and its laboratory, one of the most respected in the racing industry.

Truesdail Laboratory in Tustin, California, serves as the primary testing laboratory for the Indiana Horse Racing Commission. Truesdail Lab has been a leader in racing chemistry and drug-related research for over 50 years. The following table indicates, by breed, the number of samples analyzed and the number of positive tests reported. In each instance, the offending horse was disqualified and placed last. In accordance with the pari-mutuel statute, all purse money earned is ordered returned and redistributed.


Breed Race Date Urine Blood Positive Tests
Standardbred 109 2289 2568 10
Thoroughbred 70 1375 1569 7
Totals 179 3664 4137 17

The table below represents a further breakdown, by breed, of the name and types of drugs reported by the laboratory.


Number of Violations ARCI   
Standardbred Thoroughbred Drug Classification Type
5    Banamine (Class 4) non-steroidal anti-inflammatory
1    Methocarbarnol (Class 4) muscle relaxant
4 7 Bute (Overage) non-steroidal anti-inflammatory


Back to the Table of Contents


Human Drug Testing

Commission regulations provide that a licensee or an applicant for licensure may be required, if reasonable suspicion exists, to submit to a drug test. Commission rules require a minimum suspension of thirty (30) days for a positive test for an illegal drug.


Human Drug Testing

1994

1995

1996

1997

1998

1999

2000

2001

2002

Number of Samples Tested 1 14 15 33 24 32 16 18 32
Number of Positive Tests 0 3 8 14 12 19 6 9 6


Back to the Table of Contents


Breed Development Programs

Overview

Pursuant to IC 4-31-11, breed development funds have been established to promote the breeding of horses while stimulating the agri-business sector of the state's economy. Standardbred, thoroughbred and quarter horse breed development advisory committees make recommendations to the Commission regarding the distribution of these monies.

The Indiana bred program is funded by the Breed Development Fund established in the Indiana pari-mutuel statute. The Breed Development Fund consists of breakage (the difference in the rounding off of pari-mutuel payoffs), outs (all uncashed tickets), and the riverboat admissions tax allocation. The Indiana Horse Racing Commission receives 65 cents for every admission on an Indiana riverboat. Twenty (20) percent of the 65 cents goes into the Breed Development Fund. The Breed Development Fund is divided forty-eight (48) percent to the Indiana Thoroughbred Breed Development Fund and forty-eight (48) percent to the Standardbred Breed Development Fund and four (4) percent to the Quarter Horse Breed Development Fund.


Thoroughbred

The mission of the Thoroughbred Development Advisory Committee is to register thoroughbred horses for the Indiana bred program and provide incentives and awards to three important elements of the Indiana thoroughbred industry: the owner, the breeder and the stallion owner. The intent of these incentives and awards is to promote investment of capital into the Indiana economy (via thoroughbred breeding, racing and related agri-business) and maximize the positive impact to the state's economy. The incentives reward risk, and the awards reward success on the racetrack…through winning!

For foals of 1998 and the future, "Indiana bred" is defined as any thoroughbred foaled in the State of Indiana whose dam was registered with the IHRC and entered the State of Indiana by December 1 of the year prior to foaling. The mare must remain in Indiana continuously until foaling. The resulting foal will then be registered as an Indiana bred. In the event a mare entered the State of Indiana and was registered with the IHRC after December 1 of the year prior to foaling, the foal (which must be foaled in Indiana) will be eligible to be registered as an Indiana bred only if said mare was bred back to a registered Indiana stallion after foaling in Indiana.


2002 Distribution of Awards

Purse Supplements $ 1,360,000
Owners Awards 1,289,413
Breeders Awards 1,076,500
Stallion Owner Awards 92,723
Out-of-State Awards 73,555
Total:   $3,892,191


Back to the Table of Contents


Breed Development Programs

Standardbred

The Standardbred Breed Development Program continued with a lucrative program at Hoosier Park in 2002 that included a series of Late Closing events, the GENESIS Series and the Indiana Sires Stakes and Indiana Sired Late Closing Events at Indiana Downs. Indiana Sired Late Closing events, Indiana Sires Stakes, Indiana sired overnights, GENESIS Series, and the Indiana Sired Mini Series awarded $5,934,893 in purse money. The Breed Development program has provided an opportunity for the Indiana Sires Stakes to become one of the industry's premier programs. The Indiana Sires Stakes program reached record levels for 2002, with finals for three year olds growing above $100,000, and the program awarding $2,215,706 in purses to Indiana Sired horses. The success of the Indiana Standardbred Breed Development Program during 2002 has resulted in over 6.5 million dollars paid in purses at Hoosier Park to Indiana Sired horses and premium prices received for Indiana sired yearlings at the Indiana sales. More tha 1,911 broodmares were bred to registered Indiana stallions in 2002, assuring continuous growth of our State's Standardbred industry.

The successful Indiana Sired Fair Circuit Program was continued for the county and state fair. During 2002, the two-tier racing system that was successfully implemented into this program during 2001 was continued, giving horses more racing option at the county fair level. This two-tier racing system was also continued into the "Fall Classic Racing Program" which in it's fourth year, gave Indiana sired horses an opportunity to race after the completion of the Indiana State Fair and Hoosier Park. Through these continued efforts, the Standardbred Breed Development Program is developing and promoting a fast growing and high quality Standardbred industry in the state of Indiana.


2002 Distribution of Awards

Purse supplements -Hoosier Park $ 2,155,650
Purse supplements - Indiana Downs 125,300
Purse supplements - County Fairs 499,730
Purse supplements - State Fair 280,000
Purse supplements - Fall Classic 219,320
Indiana Sired & Breeder Awards 359,450
Total:   $3,639,450



Back to the Table of Contents


Breed Development Programs

Quarter Horse

The Indiana Quarter Horse Breed Development Committee was established in November of 1999 with the first breed development races occurring in the fall of 2000. Shirley Tresner, James Carmichael, DVM and Michael Renihan were the first to be named to the committee appointed by Governor Frank O'Bannon.

The purpose of the committee is to register Quarter Horses for the Indiana bred, foaled, and owned programs and provide incentives and awards for race horse owners, breeder and stallion owners. The intent of these incentives and awards is to promote investment of capital into the Indiana economy. In 2002, $172,460 was given in purse supplements and awards at Hoosier Park.


2002 Distribution of Awards

Purse Supplements $ 120,000
Owners Awards 31,675
Breeders Awards 18,382
Stallion Owner Awards 2,403
Total:   $ 172,460

2002 Breed Development Fund Revenue

Breed Breakage Outstanding Tickets * Riverboat Revenue Total
Standardbred 394,922.23 329,864.34 2,319,928.74 3,044,715.31
Thoroughbred 394,918.39 329,864.34 2,319,928.74 3,044,711.47
Quarter Horse N/A 27,488.67 100,000.00 127,488.67
Total 789,840.62 687,217.35 4,739,857.48 6,216,915.45


Back to the Table of Contents


Blood Gas Analysis Program

The purpose of the Blood Gas Analysis (BGA) program is to deter and detect the practice of "bicarbonate loading" or what is known in the racing business as "milkshaking." This practice generally entails giving a horse a large quantity of an alkaline substance, usually baking soda, prior to a race. The alkaline substance neutralizes the lactic acid that is produced during exercise and, as a consequence, delays the onset of fatigue. Research has demonstrated that this practice induces some horses to race faster times. Bicarbonate loading can give a horse an unfair competitive edge and thus compromise the integrity of the sport. This practice is strictly prohibited by the rules of the Commission.

The BGA Program is operated by the Commission in a small laboratory located in the paddocks at Hoosier Park and Indiana Downs. Blood samples of selected horses are analyzed prior to the race on a state-of-the-art blood gas analysis machine. Each sample is analyzed by a certified lab technician.



Back to the Table of Contents



Riverboat Revenue

The statute permitting riverboat gaming in Indiana earmarks sixty-five (65) cents of the three dollar admission tax to the pari-mutuel horse racing industry. These funds are distributed to various segments of the racing industry in accordance with Commission rule 71 IAC 12-2-15.


2002 Riverboat Revenue Allocation to Racing From Admission Tax (65 cents)


Purses       $ 9,479,714.98
   Standardbred $4,639,857.49   
   Thoroughbred $4,639,857.49   
   Quarter Horse $ 200,000.00   
Tracks       9,479,714.98
   Hoosier Park $9,331,262.64   
   Indiana Downs 148,452.34   
Breed Development       4,739,857.48
   Standardbred $2,319,928.74   
   Thoroughbred $2,319,928.74   
   Quarter Horse $100,000.00   
Total       $23,699,287.44

(Distribution Formula: Pursuant to 71 IAC 12-2-15, riverboat revenue is allotted 40% to purses, 40% to the tracks and 20% to breed development funds.)



Back to the Table of Contents



2003 Live Racing Dates Standardbred

Download the 2003 Standardbred Racing Calendar

Back to the Table of Contents



2003 Live Thoroughbred Racing Dates

Download the 2003 Thoroughbred Racing Calendar

Back to the Table of Contents