One of the first rules of politics is to always have an exit strategy. By all means promise the voters anything you want, just have some manoeuvring room that allows for a little backtracking if the circumstances alter the way you perceive the facts. 

Twenty-four hours ago American racing was facing the worst-case scenario of their Triple Crown becoming a Double Crown.  The New York Racing Association was saying that it was about to hit the financial buffers, due to financial problems, and was likely to reach the end of the line before the running of the Belmont Stakes – the final leg of the Triple Crown – on June 5th.

 This doomsday prediction was based upon the impasse between David Paterson, the Governor of New York, and state legislators who have been unable to reach a consensus view on the best financial plan for the tracks which the NYRA  runs, Aqueduct, Saratoga and Belmont. The NYRA is awaiting funds that would be derived from a plan to install video slot machines at Aqueduct. This would generate revenues of approximately $1million per day, not only securing the future of all three tracks but also providing long-term capital to the state and $200million in licensing fees that is sorely needed to fill this year’s budget deficit.

However, according to industry publication The Blood Horse, Charles Hayward, the president NYRA, seems to be trying to put out the fire that his original words had started. “There’s not a threat there,” Hayward was quoted as saying. “Sometimes you need to be a little more direct to help people understand what the circumstances are.”

It is simple enough to understand the circumstances that have produced this response from the NYRA. Paterson and state legislative leaders have been stuck for months over who to choose from a list of five bidding groups to run the Aqueduct VLT (video-lottery terminals) casino. Now, it would be unfair to rush these honourable gentlemen, or their predecessors, into a hasty decision, but come on. This has been going on for eight years – and the meter is running quicker than one of those New York yellow taxis. The state is losing an estimated $400million a year and the NYRA is out of pocket by the small amount of about $60million a year because of the vacillation.

Any wonder that Hayward thought that a few headlines might focus a few minds? Judging by the reaction in the US media, he certainly got the first objective and now must be hoping to achieve the main one.

When it came to pointing accusing fingers Hayward was quick to clear his own backyard first – “it’s not our fault there’s no VLT operator” – but, equally, chose not to heavily implicate the current decision makers, instead turning the heat on former Governor George Pataki. Hayward said the Pataki administration’s dislike for NYRA scuttled a deal NYRA had with MGM Mirage that would have, in the end, brought far more money to NYRA and the state than any deal the state might end up with from the current bids on the table.

Even if the bidding process is accelerated to a point of conclusion it has already left a trail of legal intricacies that may well lay the state open to litigation from losing bidders.

Having pushed everyone close to the precipice, just to give them the benefit of the view, Hayward now seems ready to take the step back.  “It seems to me that the political leaders understand that this has to get done,” he said, refuting any plans for an alternative venue for the Belmont. “I don’t think we’d undertake that. I don’t know how we’d do that, to be honest. It’s still our plans to run the Belmont stakes.

“We’re not putting a gun to anybody’s head. We’re just saying the facts.”

Another rule of politics – do not make threats that you are not prepared to back up.

Paul Wheeler