Time to learn from the past and forget the piecemeal approach

When I was a kid, a journey with my grandfather was a travelogue of often defunct racecourses and anecdotes of what had gone on there years earlier.

My favourite tale involved the old Carterton track where he claimed he broke his little toe.

Between the time he quit race riding and established himself as a trainer many of the tracks he used to frequent had gone the way of the Dodo so there were plenty of stories.

So, what has that got to do with anything you ask?  Well, last week the NZ Herald, finally realising the Messara report was an eventuality whether their NZRB-employed “reporter” liked it or not, ran what I refer to as a “non-story”.

With the report yet to be released and so consequently light on any facts the writer went for the divide and rule approach by focusing on the fact Messara had been asked to focus on the thoroughbred code.

The reasoning was twofold he decided – our code had “fallen the furthest behind its Australian equivalent in terms of stake money and infrastructure, particularly New South Wales racing” and this doozy – “it was serious players in the thoroughbred industry, like Sir Patrick Hogan, who were among the most vocal Peters supporters before last year’s election.”  Right….so now we have established the level of media we are dealing with, lets move on to another aspect of the piece which left readers in no doubt as to the writer’s absolute terror that the gravy train may be about to derail.

Lacking an actual story, he decided to attempt to provoke the provinces with the following statement: “Reducing the number of racing venues in New Zealand also looks certain to be recommended but again that will be met with considerable resistance in some regions.”

No prizes for either assumption.  There is no doubt that, for our population, we do have a surfeit of tracks, likewise, if you are going to suggest to a club that they might want to curtail their activities and relocate then you had better be armed with a good argument.

Not every club is double-blessed in the way the Feilding Jockey Club, New Zealand’s best example of a club moving down the road, was – with the advantage of owning land someone else was prepared to pay money for AND being driven by a forward-thinking president and committee who put industry interests first. If you need further convincing just compare their Cup stake these days to the figure they ran for at their old home track.

Considerable resistance is an understatement based on my personal experience too.  I am old enough to remember going racing at the Opaki track just outside of Masterton – in May, it wasn’t pleasant.  At the time, working at BloodHorse magazine I was already aware of the glut of tracks in the country and the fact that some of them were looking pretty shabby and struggling to survive.

In my youth and naivety I suggested to a few of the locals – all heavily involved in the industry – that it wouldn’t be long before we saw racing in the Wairarapa solely at Tauherenikau.  Needless to say the reaction was instant and negative.

The same suggestion, it turned out, was made in the 1946 Finlay Royal Commission, although no one reminded me of that at the time!  Eventually it did happen, albeit about 40 years after Finlay and co’s recommendation.

The Herald picked the right irritant if it wanted to stir up anti feeling prior to the release of the Messara report.  The arguments around which clubs should survive, which should amalgamate or pool their resources and which should just pack up their tents have been hotly contested since Finlay’s Commission mooted the same.  

Anyone remember the Otautau Jockey Club or the Waiapu Racing club or the Tolaga Bay Racing club?  Those three were among six clubs the Commission recommended have their licences withdrawn and relocated to other clubs.  By the time the 1970 McCarthy Commission was back revisiting some of the same ground those three had gone, while many of the others which it was suggested might rethink their futures were still raging into the night (I’m looking at you Masterton)!

So here we are five Commissions of Inquiry down the track – yes, FIVE – 1911 Clifford; 1915 Hunter; 1920 Kent; 1946 Finlay and 1970 McCarthy – obviously we are very slow learners, something Waikato Stud’s Garry Chittick reminds us of regularly.

On top of these Commissions we’ve also had a Ministerial Review, which I vaguely remember in the early 1990s; the PwC industry report of 2002; the Ernst & Young Performance and Efficiency Audit of the NZRIB of 1997 (what I wouldn’t give to see something like that delving into Jackson St these days!); the Racing Industry Working Group report in 2003 and that is probably only scratching the surface.

And where do we find ourselves people?

Being controlled by an obese organisation which is haemorrhaging money via the open oozing wound which is its operating costs.  It suckles 870+ employees, with the knowledgeable and necessary being squeezed out at the expense (and I mean expense) of the six-figure earners who are disconnected and disinterested.

We are racing for stakes which wouldn’t – at the lower level – be out of place in a racebook from thirty years ago, while costs have continued to escalate.  The following from the 1970 McCarthy Commission report would not be too far removed from how NZ trainers are operating today – “training fees charged by the licenced trainers barely covered the costs of feed and labour…trainers relied chiefly on their customary 10 percent share of stakes for their personal income.”  You want to know why so many of our promising young horses are sold off-shore, there’s your answer.

Our infrastructure is struggling to remain fit for purpose thanks to decades of neglect – if it wasn’t for the weight of Health and Safety demands number eight wire would be all that was holding us together in some places.

Make no mistake, this Messara report will paint a clear picture of what needs to be done and don’t be surprised if it sounds vaguely familiar.  After all, we’ve had a swag of Commissions and reports which have recommended the way forward. In each and every case these have been adopted in a piecemeal fashion, with the hard decisions avoided to our detriment.

The 1970 McCarthy report, in its conclusion, was wary of this after stating its recommendations were designed with the object of presenting one comprehensive plan of reform.

It stated: “Piecemeal adoption would lose much of the advantage of a plan aimed at ensuring a viable future for the industry as a whole.  Hopes of this are less likely to be fulfilled if the recommendations are not seen as inter-related.”

The final statements of that Royal Commission are worth repeating in full:

“We cannot leave our task without stressing once more two points which we have made often during this report.  The first, that though racing and trotting are merely different parts of an industry which includes other groups as well and which must therefore have machinery to co-ordinate and direct it, yet we firmly believe that the two codes should be left to decide their own internal structures and run their own affairs as they themselves would wish, without direction from others, save when the economic welfare of the whole industry is involved.  Because of this belief we have refrained from some positive recommendations which we might otherwise have made about matters which we think would be better changed. The second point is, that though we are convinced that the industry will experience increasing difficulties and challenges in the years ahead, its situation is far from desperate; it has much vitality and many forces for good. It must, however, prepare for the future by mobilising and employing them with the greatest efficiency.  Only if it does that, will it live vigorously and prosper.”

We had the chance in 1970 but lacked the cojones to make the changes needed.  Let’s not make the same mistake this time.

 

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Remembering a milestone racing anniversary

Today, 15 July 2018, marks 40 years since the first New Zealand women rode against men at a totalisator meeting.

Last week, through a happy quirk which sees me now working in the same faculty, I asked former National MP Professor Marilyn Waring about her recollections of how things played out back then.

“I remember lots of it,” she said, adding that Linda Jones, who was the face and driver of the movement to get women licensed, had come to her as a constituent of her Waipa electorate.

“Linda had applied two or three times for a licence to the Racing Conference, she’d ridden miles of trackwork and she wasn’t the only one,” Professor Waring said.

“She showed me the correspondence they’d had and the main reason the Conference gave every time was that there was no separate toilet and changing facilities and racing clubs couldn’t afford to put them in.”

Here, she paused to allow those words sink in, before saying wryly, “As we said, how much did it cost for a curtain, if they were really that fussed.”

What played into the hands of Linda Jones and the other women wanting to ride was an election promise from National in the 1975 election.

“The National party had a commitment to establish a human rights commission,” Waring explained.

“And when that draft bill was ready, I sent a copy with a very polite letter – and it was – to the NZ Racing Conference which had always been split on the matter.  There were a couple of good guys in there but they kept being out-voted.”

“I drew the attention of the organisation to the equality in employment, or discrimination in employment clauses in the bill and suggested, that given their treatment of women who were applying to have licences, they should have a copy of the bill because they would probably need to make a submission if they wanted to continue with their particular position,” she said.

“Linda tells me that, at the meeting of the board, the letter was received and almost immediately someone said, ‘well we’re not going to have any choice are we, so we might as well move to do it now’ – and that’s what happened.”

At the time, as a local MP, she said attending race-meetings was something she did regularly because it was where people were.  She also remembered a number of studmasters and trainers being within her electorate.

These days she is a little more removed.

“It’s not like I pay a great deal of attention, but I get a thrill whenever they’re top of the table,” she said.

When the history of women earning the right to compete against men is recalled the part Waring and Linda Jones played is, rightly, to the forefront.  Likewise the fact that licensed Canadian Joan Phipps put a burr under the saddle of the NZ Racing Conference when was brought over to compete in 1977 – they couldn’t deny her a licence and she struck a blow for the movement by riding a winner while she was here.  

Then 15 July 1978 rolled around and the first of the Kiwi girls hit the track.  

First up on that auspicious day was Joanne Hale riding in a hurdle race at Waimate.  In what is now an awesome piece of synergy the race was won by King Bard ridden by Jim Collett, father of this season’s premiership winning jockey Samantha.

Jockeys are renowned for having elephant-like memories when it comes to their winning rides and, Jim Collett had no trouble recalling that day at Waimate 40 years ago.

Those watching our often depleted jumping ranks would probably find it amazing to know that 14 hurdlers went to the start that day.

Collett said there was little or no stick given to Hale, “jumps riders are a bit different, they’re a bit quieter and they tend to look after each other,” he said.

Another interesting fact he dredged up from the day was that there was a false start in the race.

“We had to go back and jump the first fence again, because a gate didn’t open,” he said.

Collett could give chapter and verse about the brilliance of his ride to win the race, but today is all about the women!  My memories are centred around Jo Hale and the fact that about six months after that momentous day I was lucky enough to get to know her.

At the time I was (allegedly) attending Canterbury University but, in reality I was hanging out with my best mate from secondary school who was working at Barrie Taggart’s stables and flatting with Jo Hale.

She had an impact on both of our lives at the time.  My friend remembers just how much: “She picked me up on Riccarton racecourse when I was just a kid potentially headed down a bad path and taught me the value of hard work; the need to be smart; that class didn’t really account for much; how to look people in the eye and the power that comes from that and that you should always be picked on talent, not gender or whatever else.”

Those were pretty big life lessons for a teenager, and as my friend added, there were a whole lot after us that she inspired too, including her own daughters.

My strongest memory is that she pushed me so far out of my comfort zone I found myself doing something that, at that age, I never would have anticipated.  She made me get over my timidity and actually believe I could stand up in front of a crowd and speak….it wasn’t pretty and no one but Jo could have given me the self-belief to do it.

Jo didn’t talk much about that first ride – it was more about living in the moment – but I do remember one conversation we had about wanting to be the first to do something.  She said that was part of what drove her and found a newspaper clipping which quoted her to that effect. 

My time in Christchurch was short-lived and later contact with Jo was through the ubiquitous Facebook.

In the intervening years and now known as Jo Giles, she had remarried; had a family; represented New Zealand at pistol shooting; competed in motor-sport; entered rock ‘n roll contests; run for parliament; started her own local body political party; run for mayor of Christchurch; and presented a TV programme on Christchurch TV.

In February 2011 she was one of the victims of the Christchurch earthquake in the CTV building.

Her contribution to racing is commemorated with a plaque at Riccarton racecourse. Those who she inspired remember her regularly as the larger-than-life character she was – we thought she was indestructible.

Photo: The writer “horsing around” with Jo Hale in Christchurch in 1979.

 

 

 

 

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Winners are grinners, until you delve into the figures!

Forgive me for the length of this blog post as I set out to write about one topic and then I had a winner!

Yes, one of the fab four in which I hold varying sized shares rocked up at Ruakaka and showed the world what a Galloping Weka can do.  Wekaforce, a daughter of Showcasing and Spera, was introduced to me by Janine and Les Wallace and so I joined the large team (including several mates) which races her from Tony Pike’s stable.

Wekaforce showed she might have an interesting career in front of her with a smart winning effort at her first trial at Te Teko recently and hence she found herself today in a two-year-old race.

While Vinnie Colgan had been on board at the trial his unavailability today meant Michael “The King” Coleman climbed on board.  It had been a couple of decades since he last won for me, I reminded him via text last night. “Couple? Try three,” was his pithy reply – obviously my various trainers weren’t putting him on enough!

So, long story short Wekaforce showed she was well named and added to Showcasing’s ever-growing band of winners with a four and a quarter length victory.   Vinnie may have difficulty prising Michael off in the future!

As I’ve written previously, it’s always a huge buzz when you have a winner and great fun when you can share it with your friends.  However, as I’ve also written before we are all in this for the love of it and that excitement because the financial returns just aren’t there at the moment.

I feel confident as I write “at the moment” thanks to the promise of the Messara overhaul.  At last it feels as though someone might slash through all the wastage at the NZRB resulting in increased returns to those who are actually forking out to put on the show.

So, in a convoluted way that brings me to the original topic I had in mind before I got side-tracked by a winner!

Racing’s contribution to the nation’s economy has been laid out in some detail in the latest Size and Scope report produced by IER for the NZRB.

IER have a long-standing relationship with the Racing Board, having conducted research at Summer Festival and other key meetings over the past six years.  The company brands itself as a boutique business consultancy which specialises in the areas of research, strategy development, economic and social impact studies, and performance measurement in sport, racing, tourism and the entertainment industry.

I must confess that I did nag NZRB CEO John Allen as to when the document might appear online, having read that it was due around now.  To his credit within days the report surfaced exactly when promised yesterday afternoon.

Much of what is reported should be widely known by those at the coal face and, while I will focus on a few points here, I recommend checking out the original 90+ page document if you are interested in looking at how the industry is tracking in your own region or if you want more detail around the other two codes.

The big numbers are around the industry’s value-added contribution to the country’s economy which sits at $1.6billion – $1,633.5m to be precise.

We also employ 14,398 FTE, with 46% of these employed as a direct result of racing activity (take a bow NZRB, you’re likely to be top of the heap here, if not with numbers employed then definitely thanks to your wage bill).

When it comes to the other figures I have only concentrated on the thoroughbred code and, please note, the numbers relate to the 2016-17 season.

The total number involved in our code is 34,768 which is made up of 3,705 breeders; 15,951 owners; 1013 trainers; 228 jockeys; 2633 racing club and industry staff; 6475 staff employed by participants; and 4,763 volunteers.

During the period under review we welcomed 3,354 live foals, while there were 6,376 thoroughbreds in training.  The majority of these – which I am sure will come as no surprise – were in the Waikato, with 46.9% trained in the industry heartland.  The next two regions, which are each home to 12.7% of the total were Taranaki/Manawatu-Whanganui and Auckland.

During the past season in the wording of the Size and Scope study the “thoroughbred training activity is responsible for generating more than $274 million in expenditure impacts in New Zealand.”

Now remember, this is just the cost for those in our code and while I know we are all incredible optimists this figure just confirms it.  So, we paid $274m to get our thoroughbreds to the races and, at the end of the season, the money distributed to the THREE codes by the NZRB was $135m (according to the IER report) or $137.6m (according to the NZRB Annual report).

Apparently, we’re meant to be ecstatic to be racing for $10,000 minimums (yeah great, 30 years ago winning a $10,000 race paid your training fees for a year, I hate to think how quickly the winner’s share of today’s $10,000 race will be eaten up).

What I find really galling is the fact that the Board wants us to be grateful for that minimum level and the fact they are “giving” the industry $137.6m.  All this while they recorded operating costs of $136.3m last season.

We’re also meant to be grateful that they’ve reeled themselves in a little bit and dropped those costs by $5.1m (3.7%) from the previous season.

If the chairperson of the board is to be believed we’re all idiots and we simply don’t understand why they’ve had to spend so much over the years.  Witness this little snippet from the NZRB’s Statement of Intent 2018-2020 – “The reasons for the historically increasing trends in NZRB’s operating costs over the decade to 2014 have not been well understood in some sectors of the industry,” she said.

Rather than explain to us plebs why it was necessary to spend so much instead we get the old policeman tactic of  “move along folks, nothing to see here” and  Glenda tells us: “However, the key point now is that the current Board and management are succeeding in reducing NZRB’s year on year normal operating costs.”

If that is the key point then the Messara report can’t come soon enough!

In the meantime I shall raise a glass to Wekaforce and the Galloping Wekas team – we might not get rich but we are anticipating plenty of fun based on today’s debut win.

Is Messara our messiah?

Is the light finally appearing at the end of the tunnel?

Last week’s announcement that John Messara would be reviewing the New Zealand industry’s governance structures before providing recommendations for its future direction had many industry stalwarts celebrating.

Messara, based on his efforts with Racing NSW and Racing Australia, is seen as New Zealand racing’s potential messiah. He has certainly shown himself to be incredibly astute in the operation of Arrowfield Stud, having employed several talented Kiwis!

While he is familiar with our industry he also lacks the parochialism which seems to stymie any local attempts to drive the industry forward. What will be interesting is how Messara will consider the needs of three conflicting codes. That is something which proved a bridge too far for previous chairmen of the NZRB who, for every financial contribution to one code, were then faced with the other two, hands out and demanding the same amount!

According to the Racing Minister, Winston Peters, Messara’s review – which is expected to be presented to government by the middle of the year – will “also assist the government in determining if the current Racing Act 2003 and the proposed Racing Amendment Bill are fit for purpose.”

The 2003 Act gave us the poorly written Section 16, the cause of much gnashing of teeth at the absolute absurdity of it all. For the benefit of those who have never actually read Section 16 it states as follows:

Amounts of distributions to codes

(1)

The Board must, as soon as practicable following the end of a racing year, determine the amount to be distributed among the racing codes for that year from any surpluses referred to in sections 53(2) and 57(2), or any other source whether capital or income.

(2)

Unless a majority of the racing codes otherwise agrees in writing, the amount referred to in subsection (1) must be not less than the total of the surpluses referred to in sections 53(2) and 57(2) for that racing year less the total amount credited to reserves for that year from those surpluses.

(3)

Unless a majority of the racing codes otherwise agrees in writing, the amount referred to in subsection (1) must be distributed among the racing codes in the same proportions that the Board considers are the proportions to which the codes contributed to the New Zealand turnover of the Board for that racing year.

(4)

In subsection (3), New Zealand turnover of the Board means the total gross amount received by the Board from racing betting placed in New Zealand on races run in New Zealand.

While on the subject of the Racing Act, Section 16 and the like, I have often been astounded at the number of people who work within the industry yet have no idea of the responsibilities of the various bodies.

The NZ Thoroughbred Breeders’ has come to the party with a fabulously simple explanation in their latest Bulletin, so big ups to them for the following:

https://www.nzthoroughbred.co.nz/site_files/13893/upload_files/blog/68426NZTBAonlineBulletin-Aprilrev.pdf?dl=1

Anyone who is a little confused about who does what when it comes to the Minister, NZ Thoroughbred Racing or the NZ Racing Board should check it out.

While their explanation included Section 8 (c) “The objectives of the Board are – to maximise its profits for the long-term benefit of New Zealand racing” I probably would have hammered the point home a little more by including Section 9 (a) which reads as follows:


Functions of Board

(1)

The functions of the Board are—

(a)

to develop policies that are conducive to the overall economic development of the racing industry, and the economic well-being of people who, and organisations which, derive their livelihoods from racing:

If John Messara can deliver us a blueprint for policies which can do that then he may very well be remembered as New Zealand racing’s messiah.