HISA Page

All Actions: H.R.9132 — 117th Congress (2021-2022)

All Actions: H.R.5693 — 118th Congress (2023-2024)

H.R. 98 related

“Congress passed a bill authorizing the Horseracing Integrity and Safety Authority (“Authority”) as a

private self-regulatory organization.

The Authority must develop rules related to horseracing, including anti-doping, medication control and racetrack safety.

The Federal Trade Commission (FTC)

is given broad oversight over the Authority. The FTC, after providing an opportunity for public comment, must approve or disapprove any rule proposed by HISA. Civil sanctions imposed by the Authority for violations of its rules or standards may be appealed to the Commission for review by an Administrative Law Judge and by the Commission.

The Authority must also submit guidance it develops to the Commission. In addition, certain practices involving drugs are made unfair or deceptive practices under Section 5(a) of the FTC Act.”

ON THE FLOOR:

“[Extensions of Remarks]
[Page E47]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




OPPOSING THE UNCONSTITUTIONAL HORSERACING INTEGRITY AND SAFETY
AUTHORITY

______


HON. LANCE GOODEN

of Texas

in the house of representatives

Tuesday, January 24, 2023

Mr. GOODEN of Texas.

“Mr. Speaker, I rise today in opposition to the
unconstitutional Horseracing Integrity and Safety Authority (HISA).
During the 117th Congress, I filed an amendment to the omnibus spending
bill to strip language from the bill that had been intended to “fix”
the Horseracing Integrity and Safety Act, which was found
unconstitutional by the Fifth Circuit Court of Appeals on November 18,
2022, because Congress had unlawfully delegated its lawmaking power to
a private corporation called the “Authority”. The Appeals Court said
the Authority needed more oversight from the Federal Trade Commission
(FTC), but the language included in the omnibus had been hastily put
together and failed to address the underlying issue raised by the
Appeals Court. The so-called “fix” still did not allow the FTC to
make policy decisions. The FTC still may only reject rules proposed by
the Authority if they are inconsistent with the Act, but the Act is
written so broadly that no rule will ever be rejected. After the rules
have gone into effect, the FTC may now issue its own rules, but it
still may do so only to make them consistent with the Act. It cannot
impose its own policy decisions on the Authority’s rules.
Unfortunately, my amendment did not receive a vote in this era of
governing by omnibus, but I will be working this Congress to pass
legislation through regular order that will fix the constitutional
problems with HISA.” SOURCE

the following from here

“HORSERACING INTEGRITY AND
SAFETY ACT
Mr. GRASSLEY. Madam President,
in the early hours of Tuesday morning,
we were given the text to the omnibus
appropriations bill. With the end of the
year fast approaching, everyone is trying to get this bill signed into law
quickly. That is true even if it has not
been fully reviewed and every consequence thought out.
We saw this 2 years ago, when the
omnibus was included with COVID-relief funding, within the 2020 omnibus
was the Horseracing Integrity and
Safety Act.
Prior to this 2020 act becoming law,
with no process and no opportunity to
debate the merits of the act, horseracing was regulated by States, and
Congress had no role on how the industry was regulated.
What this 2020 bill did was impose a
one-size-fits-all Federal regulatory approach on all States, from Iowa to Kentucky, to West Virginia, to New York.
This is a bill that had never gone
through the committee process, but it
managed to end up in the omnibus.
As a result of this hasty lawmaking,
last month, we saw the Fifth Circuit
Court of Appeals strike down the law
on the grounds that the act is unconstitutional. Regular order in the Senate, especially through committee
process, would have prevented this unconstitutional language.
This did not come as a surprise. It
was clear that the private nonprofit
Horseracing Authority created in the
2020 omni wielded nearly unlimited
Federal rulemaking authority and answered to no one, not even the President of the United States.
The court ruled that the power of the
Federal Government can be wielded
only by the Federal Government, not
private entities like the ‘‘Authority.’’
For months I have worked with
horsemen in Iowa and my colleagues in
the Senate to address the obvious failures with implementation of this law
since it went into effect earlier this
year.
I specifically asked the FTC about
the extent of its oversight of the FTC,
a key factor for the Fifth Circuit’s ruling.
The FTC response was simple. It said
it did not have any oversight over the
‘‘Authority.’’ This is clearly unconstitutional and is inconsistent with conservative principles of small government and reigning in the Federal bureaucracy.
Now that the courts have found HISA
unconstitutional, Congress should
work a fix through the regular committee process to avoid the pitfalls of
the previous legislation.
But that is not what is happening
today. In the 2022 omni once again, the
special interests that invented the unconstitutional ‘‘Authority’’ in the first
place have convinced their supporters a
quick fix is needed in this omnibus.
The same people who pushed the unconstitutional ‘‘Authority’’ through in
an end of year omnibus are once again
forcing legislation without any input
from Senators like me.
This fix to the unconstitutional Federal rulemaking power wielded by the
‘‘Authority’’ is included on page 1,930.
How many members of Congress even
know that this is included? Probably
very few.
I have since introduced an amendment that would strike this text with
Senator MANCHIN. Since then numerous
offices reached out to find out what
this is—and once they do—have expressed the same opposition to this becoming law that I have.
This is just one example of which
there are many, of legislating on an
omnibus. It lets a select few Members,
or in this case just one Member, of
leadership create new Federal regulatory frameworks for entire industries.
I support ensuring safe, humane
horseracing. But I also support small
tracks, like Prairie Meadows in Iowa,
which don’t have the billionaires backing like those in States that host Triple Crown races.
And I am not alone because most
other States have tracks like Prairie
Meadows.
Instead of governing this way, Congress should work with State racing
commissions to regulate horseracing in
a responsible way to ensure racetrack
safety and the economic viability of
small tracks across the country.
I will work with any Senator who is
willing to stand up for small tracks in
the next Congress and fix this broken
way of governing.” SOURCE