2026 STATE INCENTIVES FOR RACING AND BREEDING

WORDS - KEN SNYDER

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The gold rush that we thought might be imminent with 26 "Racing on Demand" terminals at Santa Anita Park on Thursday, January 5, was instead a rush of law enforcement officials rolling them away two days later. Yes, California, the last state holdout for some form of additional revenue, still has not joined other racing states supporting racing (and, in the opinion of many, the 21st century).

One can only imagine what happened to pull the rug out from under The Stronach Group's long-planned legal strategy and installation of HHR machines. The long and short of it is whether the HHRs are pari-mutuel wagering or are they slot machines.

One can only hope the legal wheels will turn quickly toward a decision to bring back the HHRs and restore the hopes of thousands of Californians who work in the racing industry and depend on those paychecks. The terminals may be gone, but so is any final decision on this issue.

Still to be determined is the future of Gulfstream Park, which may decouple casino slot machines and card rooms from horse racing [834]. That could take three years, but three years is a long time, and anything can happen. Who knew Florida Governor Ron DeSantis would show up at the Ocala Breeders' Sales Company to express opposition to the decoupling legislation? If I'm not mistaken, the governor will have to sign decoupling legislation.

At Gulfstream, purses will be increased through funds from the Florida-Bred Incentive Fund (FBIF), and the increases aren't paltry [835]. Maiden special weight and allowance races will go from $5,000 to $10,000; maiden optional claimers will jump from $43,000 to $50,000; and open stakes purses of $150,000 will be supplemented, courtesy of the FBIF, with $25,000.

Percentages for Maryland-sired and Maryland-bred runners foaled in 2023 will increase to 33.6%, payable for first, second, and third-place finishes in all overnight races. This represents a 40% increase over the bonus awarded to non-Maryland-sired Maryland-breds. In addition, the percentage for Maryland- sired and Maryland-bred maiden winners will rise to 8% for foals of 2022 and earlier. Sires must be registered to qualify.

Pennsylvania for 2026 advertises 40% breeder awards for PA-sired/PA-breds and 20% for non-PA-sired/PA-breds. Breeders earn awards on all PA races through third-place even when they no longer own the horse. This year, PA-sired/ PA-bred horses won't have to pay a registration fee for the Stallion Series. They are also automatically registered and eligible to run in the Stallion Series.

Owner awards on non-restricted races vary among Pennsylvania's three racetracks in 2026. At Parx, bonuses are 40%; Presque Isle Downs 30%; and Penn National 25%, and awards are for first through third-place finishes. Stallion owners of registered PA stallions will get 10% of purses when PA-sired/PA-bred runner wins, shows or places in PA.

New York-bred overnight races for 2-year-olds on the NYRA circuit will offer purse amounts matching open-company counterparts in 2026 and all NY-bred overnight races in 2027 (a 19% purse increase from 2023). Awards for breeders for NY-sired and non-NY-sired are the same as last year.

For NY-sired, it is 40% of purse money earned, 20% for second, and 10% for third, with a $40,000 cap per award . For non- NY-sired, divide those awards figures by two. Open owners' awards for NY-sired are 20% of purse money with a $20,000 cap. Non-NY-sired awards are also capped at $20,000 this year but pay 10% of purses.

There is good news regarding the stallion population in New York: registered stallions in the state totaled 35 in 2024 and 32 in 2025.

In Virginia, breeders earn bonuses for registered Virginia- breds finishing first through third-place in any open race in North America (excluding state-bred and state-sired races). Additionally, bonuses will be earned for a first through third-place finish in all races at Colonial Downs and NSA- sanctioned meets.

Breeders of foals born prior to 2024 will earn bonuses for first through third-place finishes in all sanctioned races in North America and NSA-sanctioned meets [847]. All individual awards have a $25,000 cap. Owners of registered Virginia- bred foals of 2020 and prior are eligible for up to 25% for winning non-Virginia-restricted races at any racetrack in the Mid-Atlantic region (NY, NJ, PA, DE, MD).

This also includes non-Virginia-restricted wins at sanctioned National Steeplechase Association (NSA) meets in the Mid- Atlantic region (NY, NJ, PA, DE, MD, VA) [848]. The bonus paid will be calculated as a percentage of the lesser of 60% of the published purse on the overnight or the published first- place purse on the chart [848]. There is a $10,000 cap on each individual award.

Owners of all registered Virginia-bred foals earn a 50% bonus when their Virginia-bred horse finishes first through fourth in an open race at Colonial Downs. The 50% bonus payment will be part of the horse's purse earnings.

Additionally, there are "Developer Benefits" for any person or entity listed as the owner when a VA-bred makes its first lifetime start. Developers of registered Virginia-bred foals of 2021 and after are eligible for up to a 25% Developer's Bonus for winning non-Virginia-restricted races at any racetrack in the Mid-Atlantic region (NY, NJ, PA, DE, MD, VA).

This also includes non-Virginia-restricted wins at sanctioned NSA meets in the Mid-Atlantic region (NY, NJ, PA, DE, MD, VA). The bonus paid will be calculated as a percentage of the lesser of 60% of the published purse on the overnight or the published first-place purse on the chart. There is a $10,000 cap on each individual award.

In West Virginia, the WV Thoroughbred Development Fund pays 60% to breeders/raisers, 25% to owners and 15% to sire owners in 2026. A Supplemental Purse Award program also pays breeders, sire owners, and WV resident owners up to 10% of a winning horse's earnings for that particular race.

Nationally, The Jockey Club has released the list of mares for this year's Mare Incentive Program. This initiative, a pilot program last year, waives certain registration fees for certain 2027 foals. Last year, 228 mares were bred through the program. The program divides mares into those six- to nine- years-old as of January 1, 2026 and mares 10- to 19-years-old as of January 1, 2026. The total number of eligible mares for 2026 is 22,243, down from last year's 23,090.

For 2026, The Louisiana Thoroughbred Breeders Association offers breeder awards that are tiered. LA-bred horses sired by a LA-based stallion earn a 25% award for a top-three finish. Out-of-state stallions earn 20%. Awards are capped at $200,000 for each race.

The California Thoroughbred Breeders Association (CTBA) will award a new $1,000 per-foal bonus (up to 25 foals) for mares bred in 2026, waive registration fees for members of the CTBA, and offer $3,000 in transport assistance for in-foal purchased mares bought at public auction outside California (for $20,000+ and under 12 years old), provided the mare is bred to a California stallion.