Graded Stakes Winning Owners - Closing Remarks - John Harris (Harris Farms)

Article by Bill Heller

The breadth of California Racing Hall of Famer John C. Harris’ accomplishments is so vast, it’s difficult to know where to begin. “He’s probably one of the most influential horsemen in California racing as an owner and breeder, and respected by both sectors,” Bill Nader, the CEO of the Thoroughbred Owners of California, said. “He’s just an amazing man. What an impact he has had.”

His impact was celebrated last August when he was honored at the Edwin J. Gregson Charity/fundraising dinner at the Inn at Rancho Santa Fe, just a few miles east of Del Mar. He has served five terms as the President of the California Thoroughbred Breeders Association and is a member of the Jockey Club, the California Horse Racing Board and the Breeders’ Cup Board of Directors.

His list of racing stars includes his home-bred Soviet Problem, the 1994 California-bred Horse of the Year who won 15 of her 20 career starts with three seconds, one of them by a head to Cherokee Run in the 1994 Breeders’ Cup Sprint at Churchill Downs. Harris was co-breeder and co-owner of the incredible filly with Don Valpredo, the co-founder of Country Sweet Produce in Bakersfield. Harris called Soviet Problem “the best one I’ve ever had.”

Harris’ stallions at Harris Farms have included Cee’s Tizzy, sire of two-time Breeders’ Cup Classic winner Tiznow. Harris Farms was also part of the success story of 2014 and 2016 Horse of the Year California Chrome. Both those superstars grew up on Harris Farm and began training there.

The Harris Farm story traces back to Harris’ father, Jack, and his decision to move his farm from Texas to California in 1916. Twenty-seven years later, they established Harris Farm in California’s Central Valley, near Coalinga, a diversified company.

Thoroughbreds are just part of Harris’ story. His Harris Ranch Beef Company produces nearly 200 million pounds of beef and is California’s largest fed cattle processor. Harris Ranch Beef has been in California’s supermarkets for decades.

The Harris Ranch Restaurant alongside Interstate 5 has been a popular rest-stop for families traveling from Los Angeles to San Francisco or the other direction It is one of three dine-in restaurants on the vast property of more than several thousand acres. Harris Ranch Restaurant serves as many as half a million customers each year and has won several culinary awards. 

Harris Farm produces onions, garlic, almonds, pistachios, olives, citrus fruit and asparagus and includes vineyards for producing wine.

But horses hold a sacred place in Harris’ soul, and he has bred and raced champions for several decades.

The Harris Farm Horse Division is split into two distinct ranches, 450 acres in Coalinga, from the main ranch and the remaining 140 acres located in Sanger specializing in the development of young horses and long-term lay-ups.

How has he been able to succeed in so many endeavors simultaneously?

“I try to keep all the balls in the air and not screw up things in the process,” Harris said.

Those close to him know how remarkably well he’s accomplished that.

 “We’re all amazed, too,” said Tom Wyrick, the Assistant Manager of the Harris Farm Horse Division. “He’s a very caring guy. He’s good to people.”

Harris went the extra mile naming his horses for his employees. The first was Big Jess, Harris’ first home-bred stakes winner. He won 14 of 69 career starts with 12 seconds, seven thirds and earnings of $152,312. One of Big Jess’ sons, Juan Barrera, was also named for an employee. In 45 lifetime starts, he posted 10 victories, six seconds and seven thirds, making $245,705.

Harris cares deeply about racing in California, all racing in the state. 

On the California Horse Racing Board, Harris tried to ensure the future of California’s fair racing, trying to preserve historic venues such as Ferndale. 

Harris received a Bachelor of Science Degree in animal science and agricultural business management from the University of California at Davis.

In 2008, he was inducted into the California Racing Hall of Fame.

Harris said he was in favor of a recent proposed rule to limit the number of mares a stallion serves to 140: “I think it’s a good idea, but it’s kind of academic in California. We rarely have stallions in California who breed over 140 mares. Some are over 100, but none over 140. One-hundred-forty is quite a few. We breed horses here to race. The declining mares, that’s the tip of the iceberg. The problem in California is a lot of people aren’t making a lot of money racing here, and their interest starts to wane.”

  His interest never has. 

And he’s not slowing down. In 2023, Harris Farm horses won 27 of 194 starts and earned $1,628,186, its highest total of the 2000’s.

At the Edwin J. Gregson Foundation Dinner last August, Foundation President Jenine Sahadi said, “We’re delighted to honor John, not only for the accomplishments of his Harris Farm Horse Division, one of the country’s leading racing stables and utmost influential owner/breeder operations, for which he has been inducted to the California Racing Hall of Fame. We also acknowledge his many years of distinguished service to the industry as a California Horse Racing Board Commissioner, board member of the Breeders’ Cup, Jockey Club and the California Thoroughbred Breeders Association.”

Bill Nader, who was at that dinner, said, “It was a great night.”

And it couldn’t have meant more to Harris: “Eddie was a really good friend.”  

Barry Schwartz

Article by Bill Heller

What is more exciting for an owner and breeder than a two-year-old colt with talent? Former New York Racing Association Chairman of the Board and CEO Barry Schwartz’s New York-bred colt El Grande O certainly gives him reasons to dream. Off a head loss in the Funny Cide Stakes at Saratoga on August 27th, El Grande O dominated five rivals on a sloppy track at Aqueduct September 24, scoring by 8 ¼ lengths as the 3–5 favorite in the $125,000 Bertram F. Bongard Stakes under José Ortiz. Linda Rice trains the son of Take Charge Indy out of Rainbow’s Song by Unbridled’s Song who has two victories, three seconds and one third from his first six starts with earnings of $204,000.

El Grande O is Schwartz’s 26th Thoroughbred to win more than $200,000—a list that includes his top earners Boom Towner, Voodoo Song, The Lumber Guy, Kid Cruz, Princess Violet, Three Ring and Fire King. All of them earned between $700,000 and $1 million.

Now 81, Schwartz and his wife Sheryl still reside at their farm, Stonewall Farm, in northern Westchester County, with a second home on the ocean in California. Schwartz keeps busy playing the markets and running his horse stable.

The Calvin Klein years

It seems like forever since he and his childhood pal Calvin Klein, took Calvin Klein Inc. from a $10,000 initial investment to a global operation, which they sold for $430 million smack in the middle of Schwartz’s four-year reign at NYRA.

Schwartz and Klein, who both lived in the Bronx and had fathers who owned grocery markets in Harlem, went into their first partnership when they were nine, reselling newspapers and collecting bottles. “We’d go to the newsstand when the papers came in early evening,” Schwartz said. “We bought them for a nickel and sold them for a dime. We’d go to all the hotels, especially in the summer. On a good night, we’d make $3 apiece. That was a big deal then.”

When they began Calvin Klein Inc., they rented room 613 in the New York Hotel in Manhattan. The front door was open and faced the elevator. Calvin had the six women’s coats he had manufactured with Barry’s investment. 

One morning the elevator stopped on the sixth floor. One passenger walked out while another noticed the coats and got off. That passenger was Don O’Brien, the general manager of Bonwit Teller, one of New York’s most fashionable stores. 

Schwartz was home when Klein called him with great news: “You’ll never believe this. I got a $50,000 order from Bonwit Teller!” Schwartz replied, “Who’s Bonwit Teller?”  

He figured it out, and Calvin Klein, Inc. went onto incredible success.

The NYRA Years

In the four years Schwartz served as Chairman of the Board and CEO of NYRA from October 2000, to October 2004, racing in New York reached a pinnacle, a shining example of how racing should be operated—when fans and bettors mattered; when the right people in the right positions made the right decisions. 

It didn’t last. When Schwartz departed out of utter frustration from battling politicians and their inept decisions, racing in New York was never the same. It was almost like it was a mirage—a wonderful mirage.

But it was real. It was Camelot at Aqueduct, Belmont Park and Saratoga.

That he did this while he continued to operate Calvin Klein, Inc. is remarkable. To do it, he had to commute 30 to 45 minutes through New York traffic every morning. And he did NYRA pro bono.

Why? Because he cared deeply about racing, specifically New York racing. Schwartz’s goal at NYRA was straightforward: “to make New York racing No. 1 in the world.”

Schwartz, who had been a member of the NYRA Board since 1994, was approached by acting CEO and Chairman of the Board Kenny Noe, who had decided to retire in the fall of 2000. “I was excited to be asked,” Schwartz said. “I was flattered. My two biggest supporters were Kenny Noe and Dinny Phipps (head of the Jockey Club). Dinny pushed for it. I was kind of flabbergasted, but I was thrilled. I got really energized. It gave me purpose, something to sink my teeth into. I went gangbusters, all in.”

Klein backed Schwartz’s decision. “The best thing that happened was that there was a long time before I took over,” Schwartz said. “I could work out the schedule I’d have to use. I spoke with Calvin about it. He thought it was a good idea. He always said, `If you’re near a phone, what’s the big deal?’”

So he did both. “At NYRA, my first two years were wonderful,” Schwartz said. “My first two years were a honeymoon. The next two years were just horrible.”

On the first day Schwartz took over NYRA and the three racetracks it operates—Belmont Park, Saratoga and Aqueduct—Schwartz went on NYRA’s new website, which had been designed by his son-in-law Michael, and asked fans and bettors what changes they wanted NYRA to make.

Then he made the changes, empowering fans, bettors and handicappers because he has always been a fan, a bettor and a handicapper.

This was a seismic shift in racetrack management, giving the people who support racing with their hard-earned cash every day a chance to impact the process. 

“On the website, we asked fans what they wanted,” Schwartz said. “We did that several times. Everybody loved that. The bettors could participate in the process.”

Bettors had never been asked that.

“It was genuine,” Bill Nader, former NYRA senior vice president, said. “He cared. He knew they cared. They shared the passion. It was a mind-blowing experience. It was exceptional, and I thought it was great that he heard their voice, that he gave them a seat at the table. He listened to what they said. He wanted to grow the business. He wanted to improve the business. Without consulting the customer, how do you do this?”

That initial fan survey on NYRA’s website received more than 4,000 responses. Schwartz responded by immediately making changes. Uniform saddle cloth pads—the 1 horse is red, the 2 horse is blue, etc.— made it easier to follow horses during a race. Claims, when someone purchases a horse that had just raced, were announced to the public. Barry also instituted a shoe board displaying each horse’s shoe type before every race.

A couple months after those changes, Schwartz said, “It really is true: talking to the fans is important. I’m going to continue involving the fans as long as I’m here. Without them, there’s no sport.”

On his first day, he promoted Bill Nader from Simulcast Director to Senior Vice President of Racing and watched Nader become one of the most respected racing officials in the world, serving as director of racing in Hong Kong for 15 years before becoming the president and CEO of the Thoroughbred Owners of California, June 21, 2022.

Schwartz said, “Bill was grossly underpaid. I didn’t want to lose him. When I reviewed the personnel and salaries, this guy was so underpaid; and I wound up signing him to a three-year contract. I wanted to make sure that he stayed. He was really close to me. When I got my people together, Bill was clearly the smartest guy in the room. He was the best guy I had.” 

Nader told Schwartz, “Wow, I’m thrilled, but I’m surprised.” Schwartz responded, “No, I’ve been watching.”

Nader’s appreciation of Schwartz’s support and impact hasn’t subsided more than 20 years later. “From day one, he just got behind me. That’s a huge amount of trust. He made me. He was the one person that changed the course of my life, providing me with the opportunity at NYRA. Six years later, the door he opened for me at NYRA led me to Hong Kong. He changed the path of my life, and I will be forever grateful.”

Schwartz didn’t take long to help all his employees in the first year. “NYRA got $13 million from Nassau County because NYRA had been overbilled for taxes,” Schwartz said. “I gave everybody a five-percent raise and a five-percent Christmas bonus. It was a big deal for the employees. They had never gotten a Christmas bonus.”

There was a new vibe at NYRA, and you could feel it. “What differentiated Barry was Barry was a New York guy,” top jockey-turned TV commentator Richie Migliore said. “He created his success through hard work. He was as comfortable shooting pool in the jockey room as he was in the boardroom. I remember him beating Jorge Chavez, who thought he was a really good pool player. Barry smoked him.”

Breeders’ Cup 2001

There were many shining moments during Schwartz’s four years, perhaps none more important than supervising the 2001 Breeders’ Cup at Belmont Park just weeks after the tragedy of 9-11 had left a city and a nation broken.

Like every other person in America, Schwartz remembers vividly the horror of 9-11 unfolding: “I was home in New Rochelle, getting dressed and ready to go to the farm. We were building our house there. It was in the very beginning. I saw the first plane hit. I told Sheryl, some idiot just flew his plane into the Trade Center. A few minutes later, I’m driving to the farm, and we hear about the second plane hitting. We spent the whole day at the farm. It was a safe haven at a very scary time. Sheryl’s brother got my kids out of the city.”

Belmont Park, in Elmont, Long Island—just 12 miles from “ground zero”—had already been selected to host the 2001 Breeders’ Cup on October 27, less than two months later; and no one was quite certain if that was still going to happen. “We had conversations with everybody,” Schwartz said. “I was in the same camp as Dinny. I thought it was very important to show New York was alive and well.”

Breeders’ Cup President D.G. Van Clief Jr. issued a statement saying, “Obviously, on the morning of Sept. 11, the world changed, and it certainly changed our outlook on the 2001 World Thoroughbred Championships. But it is very important for us to stay with our plan. We’d like it to be a celebration and salute to the people of New York.” 

Schwartz leaned heavily on Nader to get it done. “It was challenging,” Nader said. “We literally worked 18 hours a day. There was the normal preparation. Then the security side. Nobody minded the extra hours. We wanted to be sure we didn’t miss a thing. It was the most rewarding race day of my career because of what it meant. We were beat up. We were sad. We were down. There was a clumsy period of what to do. What is appropriate? The uncertainty of running the Breeders' Cup at Belmont? For horse racing fans, it meant a lot that they could return to the track and feel good, feel alive. I believe it was the first international event held in New York after 9-11. For me, I’m not sure there has been a better day of racing than that.”

On October 11, Sheikh Mohammed al Maktoum’s private 747 arrived at JFK International Airport from England. On board, were three of Godolphin Stable’s best horses including Arc de Triomphe, Juddmonte International winner Sakhee and major stakes winner Fantastic Light. They were accompanied by two FBI agents, four customs agents and three carloads of Port Authority police. There were no incidents, and the European horses settled in at Belmont Park. 

The day broke sunny. There were shooters on the roofs of many Belmont Park buildings carrying AKA assault rifles. “They were very visible,” Schwartz said. “We had sharpshooters on the roof. I went up to the roof, and the guys were just laying down with rifles. It was scary.”

Nader said, “Seeing the snipers on the roof, I thought, how are people going to handle this? Once the races began to flow, it became one of the greatest events I’ve ever been involved in.”

At the opening ceremonies, dozens of jockeys accompanied by members of the New York State Police and Fire Departments lined up on the turf course, each jockey holding the flag of his country. Following a bagpipe rendition of “Amazing Grace,” Carl Dixon of the New York State Police Department sang the national anthem.

Hopes for an all-positive afternoon disappeared before the first Breeders’ Cup race, the Distaff, when Exogenous, who had won the Beldame and Gazelle Stakes, reared and flipped while leaving the tunnel, slamming her head on the ground. The filly was brought back to Hall of Fame trainer Scotty Schulhofer’s barn but died several days later. Her death was only two years after Schwartz lost his brilliant filly Three Ring when she fell and hit her head in the paddock and died in front of Schwartz and Sheryl before her race.

The climax of the day was the $4 million Breeders’ Cup Classic matching the defending champion, Tiznow, against Sakhee, European star Galileo and Albert the Great. In the final sixteenth of a mile, Sakhee took a narrow lead on the outside of Tiznow, who responded by battling back to win the race by a nose. Announcer Tom Durkin captured the moment beautifully, shouting, “Tiznow wins it for America!”

America had won just by running the Breeders’ Cup as planned. That made NYRA, Schwartz Nader, and the rest of their team, winners, too.

Breeders Cup 2022 – the pick-six scandal

A year later, a day after the 2002 Breeders’ Cup Classic at Arlington Park in Chicago, Nader’s quick actions saved racing from further embarrassment when three fraternity brothers from Drexel University were not paid on their identical six winning $2 Pick Six tickets worth a total of more than $3 million.

Nader hadn’t even attended the Breeders’ Cup that Saturday, but he was at Belmont Park the following morning when he noticed something strange about the Pick Six, which had just six winning tickets from a single place, Catskill (New York) Off-Track Betting. “I asked Jim Gallagher to get the configuration of the tickets,” Nader said. “I looked at it, and I said, `Oh, man, this is a real problem. This is a scam.’ Catskill had made up just one-tenth percent of the Pick Six pool. The tickets were the same ticket six times. And the singles were in the first four races with all the horses in the last two.

“Back then, you didn’t get paid until the weekend ended. I called Arlington Park. I begged them not to pay it. The guy said, `Okay, Bill. I won’t pay them until you tell me.’ Then I called the TRPB (Thoroughbred Racing Protective Bureau).”

The tickets had been altered after the fourth race to list only the winning horse. Subsequently, investigators found that the fixers had tested their scam twice before the Breeders’ Cup. Additionally, they also had been successfully cashing counterfeit tickets of uncashed tickets all over the East Coast. The scam had been exposed before the cheaters got paid.

Racing’s image took a big hit from this, but it would have been much worse if Nader hadn’t acted. “It meant a lot,” Schwartz said. “If it came out after it was paid, it would have been disastrous.” 

Backing José Santos

Seven months later, Hall of Fame jockey José Santos, who had won the 2002 Breeders’ Cup Classic on 43–1 Volponi for Hall of Fame trainer Phil Johnson, also won the 2003 Kentucky Derby on Funny Cide. A week later, the Miami Herald broke just about every journalism standard there is, alleging that Santos had used a buzzer to win the race from a single phone interview with Santos, whose English was pretty good but not 100 percent; and a single photo the Herald deemed suspicious. This created national and international headlines that Saturday morning, and Santos learned the bad news that morning at Belmont Park, when he was having breakfast with his son, José Jr., at the backside kitchen.

Schwartz responded immediately for NYRA. He got the “suspicious” photo blown up, and it showed conclusively that what looked like an object in Santos’ hand was just the view of the silks of Jerry Bailey riding Empire Maker behind Funny Cide. Besides that, Santos would have needed three hands to carry his whip, the reins and a buzzer.

“NYRA defended me 100 percent as soon as it came out,” Santos said 20 years later. “They did everything to clear my name.”

A hearing in Kentucky two days later confirmed how ludicrous the allegations had been—mistakes the Herald paid for in Santos’ successful lawsuit against the paper.

Schwatz’s legacy

Schwartz’s biggest contribution at NYRA was lowering takeout—the amount of money taken from people’s bets—which, in turn, increases handle, allowing corresponding increases in purse money. Schwartz’s simple logic, which he had used his whole life at Calvin Klein, Inc., dictated that if products aren’t selling, you lower the price. That couldn’t penetrate many of the blockheads in the racing industry who still have failed to grasp this simple concept. When Schwartz left, the takeout was increased and handle declined.

“He came in with a different lens than anyone before him,” Nader said. “He looked at it as a retail business. How do I grow the business? That was retail sales. In our business, it was betting. I think that’s why he really connected. He came in as an owner, breeder and fan. That was the added dimension he brought. That was something we had never seen before. Suddenly, the business was growing.”

The numbers showed that. When bettors get more money returned in payoffs, they bet more—a simple process called churn.

Through intense lobbying, Schwartz got the legislature to reduce the takeout on win bets from 15 percent to 14—one of the lowest in the nation; from 20 to 17.5 percent on two-horse wagers, and the takeout on non-carryover Pick Sixes from 25 percent to 20 and then to 15. “It took a long time to get the bill passed,” Schwartz said. “It passed 211–0. I personally lobbied in Albany to explain how lowering the takeout was good for everybody. Once I convinced them, they endorsed it. It passed both houses, and Governor Pataki signed it. I had a good rapport with him. He’d come to my house at Saratoga every summer. I got along very well with him.” 

The impact of lower takeout was immediate. It began at the 2001 Saratoga meet, and handle rose 4.9 percent to a record of $553 million. Attendance at the 36-day meet broke one million for the first time. At the ensuing Belmont Park Fall Meet, handle rose 28 percent. In its first full year with lower takeout in 2002, handle increased at NYRA by $150 million when compared to 2000—the last full year with higher takeout. Schwartz felt it was just a start. 

“My goal is for this to be so successful I can keep lowering it,” Schwartz said in a 2001 article by Michael Kaplan in Cigar Aficionado. “With a 10 percent takeout, the size of our handle will become enormous.”

Such thinking was revolutionary to how business had been done at America’s racetracks. “Business got tough, so racetrack operators all over the country raised their takeouts,” Schwartz said in Kaplan’s article. “You don’t do that. Where I come from, you lower your price when business is bad.”

In 2023, Schwartz was asked why racetracks around the country haven’t lowered takeout: “The people who run racetracks just don’t understand the sport.”

Schwartz certainly does.