Reflections: Laughlins Report on New York Racing Shows Decreases due to High Taxation, Daily Racing Form, 1954-05-31

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REFL ECT IONS By NELSON DUNSTAN BELMONT PARK, Elmont, L. I., N. Y., May 29t — On numerous occasions this writer has commented on racing taxation in New York state. During those so-called "investigations" by the Wicks Committee we repeatedly said that the player and the racing associations would get nothing but the worst of it. They did. It is not necessary to review again what transpired, and ■| we have always regretted that a more vigorous protest B was not lodged with the New York state legislature. We W know what has become of the "dream track," which is so sorely needed and richly deserved by the fans in New York city. It blew to the high heavens when the Wicks Bill returned the tax in the Empire state to 15 per cent. There was little or no protest by the New York racing associations when that bill was passed by the legislature. When we inquired of a lawmaker why such a bill was enacted his answer was: "Why, we did not receive one protest from anybody in racing." When we arrived, at Belmont Park a few days back we were handed a copy of. "A study of Thoroughbred Racing in New York "State." We knew it was being prepared and we were anxious to read the findings of Robert H. Laughlin, a certified public accountant who had been delving into the situation so far as New York racing was concerned. It is an intelligent report of what is actually taking place, and clearly shows that the sport in the Empire state is taking all the worst of it. AAA Laughlin s report is set up in 13 different charts. Though they cover a different phase of the situation, they add up to the fact that virtually, every locality shows increases while New York state is standing still, if not actually losing ground. There was a decrease last year in Laughlins Report on New York Racing Shows Decreases Due to High Taxation New Jersey Draws Metropolitan Patrons Will Lawmakers See Effect of Tax? attendance and mutuel play, and it would not surprise us if that is found to be true again this year. The latest "Trend of Racing" table showed that while Jamaica had an increase of some four per cent in attendance the mutuel play was virtually the same as it was a year ago. At the current Belmont Park meeting both departments show a decrease of close to seven per cent. It* is the overall picture that counts, however, and in his report Laughlin, in chart form, leaves no doubt of the fact that New York racing is on the downward trend. In "Scope and Purpose" in his report the accountant quotes many authorities, particularly Grantland Rice, who, back in 1946, wrote in the New York Sun, "While racing is booming * all over the country — Delaware, Maryland, New England, Illinois, California and so on — it lias been steadily declining at New York tracks. The state legislature and the city administration made one mistake. .They believed that racing fans are all suckers and would take any rap. But a good many thousands of racing fans have either quit going to the New York tracks or moved elsewhere. New Jersey will reap a much greater harvest later on. And New Yorks decline will be even greater." AAA It would be impossible in this space to. comment on the many charts that Laughlin prepared. What impressed this writer chiefly however was chart four, which gives the pari-mutuel take in each state. There are eight states in which the take is 15 per cent, but New York is the only one in which the racing associations get a return of only four per cent. New York state grabs 11 per cent. New York tracks present the best racing in the country, yet Laughlin says: "It is a foregone conclusion that attendance and consequently betting on the New York tracks will materially decline." It will be recalled that last August the HBPA sent a letter of protest to Governor Dewey, stating that unless the tax in New York was reduced the sport would eventually descend in the half-mile class. So far as we know, the Governor ignored the letter and as a result New Jersey is attracting far more patrons from New York than was the case back in 1946 when Rice wrote his column. While the attendance in New York is dropping it is steadily increasing at the New Jersey tracks, which offer the finest accommodations for the racing public. AAA Recently Ogden Phipps of The Jockey Club urged the press to emphasize the injustice of taxation in New York every time it had the opportunity. It is not a matter for the press alone. The Jockey Club, the Thoroughbred Racing Associations, the New York racing organizations and every one interested should voice a protest against this tax which threatens the sport in the Empire state. Governor Dewey has no interest in racing beyond the revenue it yields the state, and the Wicks Committee did little more than study how far the Empire state could go in taxing the public that likes to go to the races. We are entitled here in New York to a track comparable to those in New Jersey and other states but we are not going to get one until there is a more equitable distribution of the tax. We are glad this booklet was prepared by Laughlin but it will mean nothing unless it is followed up by a vigorous protest by every one concerned. Governor Dewey is an able executive but this policy, and that of the New York state legislature, is so shortsighted that it is hard to believe that they do not realize it.


Persistent Link: https://drf.uky.edu/catalog/1950s/drf1954053101/drf1954053101_56_2
Local Identifier: drf1954053101_56_2
Library of Congress Record: https://lccn.loc.gov/unk82075800