2009 Archive
September 1, 2009
FOR IMMEDIATE RELEASE
Kentucky's Quarter Horse Incentive Program is Working
The Breeders' Incentive Fund of the Kentucky Quarter Horse Association (KyQHA BIF) has been one of the most successful programs ever. The intent of the Kentucky Legislature was to increase economic activity through the stimulation of demand for state-bred horses. Figures released today show that in 2008 BIF-eligible Quarter Horses earned nearly 6,000 points in sanctioned shows or races, more than twenty times the total in 2006.
For this third year of the program, a total of $428,927 will be awarded to the breeders, owners, and, in a majority of cases, the sires of 925 BIF-eligible Kentucky-bred horses that in 2008 were shown or raced to 5,888 points. This compares to only 257 show-and-racing points earned by eligible Kentucky-bred Quarter Horses in 2006, and 2,158 points in 2007. That this dramatic increase in activity was produced, for the most part, by horses conceived prior to the creation of the BIF reveals the scope of its unique and dramatic economic-incentive impact.
Under the rules of the KyQHA BIF, 80 percent of the amount allocated is awarded to those owners who actually race or exhibit eligible horses in shows or races sanctioned by the American Quarter Horse Association, wherever they take place. This structure gives Kentucky breeders the choice of either retaining ownership, thereby earning owner awards themselves, or marketing their foals to others, presumably at a BIF-induced premium, and also receiving the allocated 10 percent in breeder awards. The other 10 percent goes to Kentucky-based sires.
Creation by Kentucky's Legislature of breeder incentive programs for a dozen different breeds is unprecedented, as has been the allocation in the last three years of over $50 million for economic development within the state's horse industry. This evidences a serious commitment by legislators to public policies supporting the industry. The united goal of various horse groups in the Commonwealth is continued national leadership and vitality through development of an additional source of significant revenue for these incentive programs, which will likely include eventual approval of alternative gaming at licensed tracks, as in a number of other states.
Because the official points for showing and racing are calculated differently by AQHA, the total amount of money is first divided into two pools, one for showing and one for racing, in a ratio determined by the number of Kentucky-breds competing in each category. The pools are then divided by the total number of points earned in each category to calculate the value of the points. For the first time, the point values are essentially the same. The point value for showing in 2008 is $74.18 while the point value for racing is $68.16. This procedure ensures that the BIF total available per competing eligible horse in each category is exactly the same, $463.70.
The commitment by the Commonwealth of Kentucky to do everything politically feasible to encourage and foster its signature horse industry, and the deep commitment by the KyQHA to do everything feasible to promote and sustain the Quarter Horse breed in Kentucky, are factors to consider in the choice of Kentucky as a place for those who are serious about their Quarter Horse business operations. In truth, many stallions and farm operations have moved into the state since 2005 and announcement of the KyQHA BIF. Together, we will help our industry prosper.
The Kentucky Quarter Horse Association is the official affiliate of the American Quarter Horse Association in the state. More information about the KyQHA BIF, as well as all the other programs and activities of the KyQHA, can be found at the official web site: www.kyqha.com