Here's Matt Hegarty's thorough piece:
http://www.drf.com/print/news/nyra-o...-correct-error
For those piling on NYRA, the NYS RWB completely forgot about the sunsetting of the increase as well and supposed 'Franchise Oversight Board' likely had no idea about anything related to this:
And not even the racing board was aware of the error, since it signed off on documents throughout the past 15 months that described the superexotic rate at 26 percent. Under New York's laws, the board is required to review and approve NYRA's business plan every year, and the plan that was approved for 2012 listed the superexotic takeout rate at 26 percent rate. The board also approves NYRA's simulcast contracts, which list the takeout rates applied to all wagers.
As soon as this came out yesterday, in the back of my mind I recalled the 1% provision involved in the NYC OTB wrangling between Bloomberg and Albany. But like every other member of the media I had forgotten about it and the 2 year rollback timestamp. From Hegarty's
2008 article on the increase which came at the time of the NYC OTB crisis involving Bloomberg dumping it into Albany's lap:
The provision is one of two takeout increases contained in the bill, which passed Monday night. The other increases the takeout by 1 percent on all wagers made on races run at the three tracks operated by the New York Racing Association. Both takeout increases will take effect 90 days after the bill is passed, or just shortly after NYRA wraps up its upstate meet at Saratoga Race Course. The provisions sunset after two years.
Everyone should recall that NYRA vehemently argued against that Albany-generated 1% and
increased rebates to NYRA Rewards members to try and offset it. The bottom line here is that the extra 1% decrease to 24% being instituted will stick around longer than the 15 months when it could have been 25%.