American Horse Council Accomplishments Since 1999
2008 Accomplishments
Supported enactment of the Economic Stimulus Act, which raised the Section 179 expense deduction to $250,000 and reinstated 50% bonus depreciation for horses and other depreciable property.
Passed legislation reducing the depreciation period for younger race horses to three years. The change placed all racehorses in the three-year category for depreciation purposes regardless of when they were placed in service.
Included provisions in the 2008 Farm Bill that specifically designated “horses” within the definition of livestock eligible for federal disaster assistance and “equine farmers and ranchers” within the definition of agricultural producers eligible for federal emergency loans.
Worked with USDA to draft and adopt an amendment to its import rules to allow non-competitive entertainment horses to be brought temporarily into the U.S. from countries affected with Contagious Equine Metritis without undergoing all of the tests required for permanent entry.
Submitted comments supporting the USDA’s proposal to extend the regulations governing the commercial transport of horses to slaughter to horses bound for slaughter, but delivered first to an assembly point, feedlot, or stockyard.
Published “Getting Involved in the 2008 Elections,” a guide for the horse industry. The guide stemmed from the program at the AHC’s National Issues Forum in Washington explaining how the horse industry could take advantage of the 2008 federal elections to get more involved with their elected representatives. This was the first national program of this kind for the horse industry.
Sponsored a day-long program with the Department of Agriculture on “The Unwanted Horse Issues: What Now” in response to the growing problem of unwanted horses across the country.
2007 Accomplishments
Supported USDA’s proposal to authorize the operation of permanent privately-operated quarantine facilities. In pressing USDA to propose the changes, the AHC recognized the international nature of the horse industry and the need for quarantine space to import horses.
Clarified the 2008 Fiscal Year USDA Appropriations bill to ensure that the continued international and interstate movement of horses was protected by having the overly-broad language in the bill that was intended to apply only to the transport of horses to processing facilities, but which would have applied to all horses, removed before final passage.
Supported broader opportunities for disabled riders in comments to the Architectural and Transportation Barriers Compliance Board calling for better trails, trail heads, access routes, mounting blocks, ramps, camping, rest room facilities and stables that accommodate the special needs of handicapped riders.
Submitted comments to the Department of Treasury and Federal Reserve Board supporting the regulations proposed by the agencies under the Unlawful Internet Gambling Enforcement Act. The regulations appeared to follow the statutory directive in the Act to not block racing’s transactions under the Interstate Horseracing Act. The AHC also suggested that the Agencies provide further positive clarification that such transactions are not to be blocked by allowing them to be designated by a specific merchant category code.
Recreational Horse Trails in Rural and Wildland Areas: Design, Construction, and Maintenance, written by Dr. Gene Wood of Clemson University, is published. This guidebook concentrates specifically on horse trail development in rural and wild land areas. The AHC contracted with the Federal Highway Administration to facilitate the funding of this manual.
2006 Accomplishments
Passed the Unlawful Internet Gambling Enforcement Act of 2006, which prohibits the use of credit in connection with unlawful Internet wagering, but permits pari-mutuel wagering on horse racing that is allowed under the Interstate Horseracing Act of 1978.
Worked with other organizations to extend through 2009 legislation allowing trainers, training facilities, horse shows and other employers to employ needed foreign workers in non-agricultural positions under the H-2B program. The change exempted such workers from the cap if they had received H-2B visas in the past.
Worked with other organizations to pass the Animal Enterprise Protection Terrorism Act of 2005. The bill extended the protections of the Animal Enterprise Protection Act not only to animal events, such as rodeos, shows and other equine competitions, but also to the employees and suppliers of such enterprises and commercial enterprises that sell animals.
Brought the Unwanted Horse Coalition under the auspices of the American Horse Council. By educating owners, breeders, sellers and horse organizations about the long-term responsibilities of owning and caring for horses, and focusing on opportunities available for these horses, such as retirement, retraining, new careers and uses, donation and euthanasia, the Coalition hopes to help these horses before they become unwanted.
Worked with the USDA to re-institute a new, more accurate test to determine whether horses imported into the U.S. are infected with Equine Piroplasmosis. The AHC worked with the Department to ensure that problems that arose when the test was first initiated eighteen months earlier did not occur again.
Initiated the Congressional Cavalry program to identify, in each Congressional district, individual horse owners, breeders, veterinarians, competitors, recreational riders, stables, service providers and others, who will agree to contact their Representatives/Senators or other federal officials as part of any grassroots lobbying efforts. Once activated, this could make the industry’s current grassroots efforts even more effective.
2005 Accomplishments
Published the Economic Impact of the Horse Industry on the United States documenting that the horse industry in all its segments of racing, showing recreation and other activities involves 9.2 million horses, has a total economic impact on the U.S. of $102 billion, supports 1.4 million full-time jobs, pays $2 billion in taxes and includes 4.7 million Americans.
Worked for legislation that was passed making horses eligible for some federal emergency relief assistance following disasters, ending the long-standing disparate treatment of horses versus other livestock and crops, which have enjoyed federal benefits for many years.
Worked for legislation that was passed to permit trainers, training facilities, horse shows and other employees to continue to employ needed foreign workers in non-agricultural positions under the H-2B program. Passage of this legislation became urgent when the U.S. Citizenship and Immigration Service began to enforce the cap on the number of foreign workers allowed to enter the U.S. under this program although the restriction had not been imposed for some time.
Worked with the federal Highway Administration to issue a clarification that equestrians are allowed on shared-use paths and trails constructed or maintained with federal-aid transportation funds, an important positive step in recognizing riding activities on public land. Because horses were not specifically listed in the underlying statute, some land managers had erroneously used this oversight to exclude them from such trails, although this was not the intent of the law.
Worked with the USDA to re-institute a new, more accurate test to determine whether horses imported into the U.S. are infected with Equine Piroplasmosis. The AHC worked with the Department to ensure that problems that arose when the test was first initiated eighteen months earlier did not occur again.
Worked with other organizations to secure $370 million in funding for the Recreational Trails Program (RTP) over the next five years – more than was requested by the Administration. RTP funds are used to build and maintain recreational trails for various users, including recreational riders.
Formed a Hurricane Katrina Relief Fund with other AHC organizational members to collect funds to assist horse owners in states affected by the disaster.
2004 Accomplishments
Organized an AHC Equine Identification Task Force to involve, report to and educate the horse industry about the issues surrounding a national equine identification system in order to form some consensus regarding the horse industry’s involvement in the proposed national identification system. This group is later recognized by USDA as the official Equine Species Working Group and liaison with the Department on the proposed National Animal Identification System.
Commissioned Deloitte Consulting LLP to do another study of the national economic impact of the horse industry in order to provide fresh, updated figures about the economic importance of the horse industry in all its segments.
Worked with other industry groups in passing legislation clarifying that the 30% alien withholding requirements does not apply to non-resident aliens in foreign countries wagering on U.S. races through international pools commingled with American wagering pools. The change opens the opportunity to set up world-wide betting pools on U.S. races in order to grow income to tracks, horsemen and states.
2003 Accomplishments
Supported federal tax exchanges that raised the beneficial “Section 179 expense deduction” for horses and other depreciable property used in the horse business from $25,000 to $100,000 for the period through 2007.
Worked with other groups to raise the “Bonus depreciation” from 30% to 50 % for horses and other property purchased in service in the horse business through 2004.
Initiated the AHC’s popular Washington Update email service to provide prompt, up-to-the-minute information to AHC members on the latest federal political, legislative and regulatory actions.
Commissioned an Equine Trails Manual on the construction and maintenance of recreational horse trails by Dr. Gene Wood of Clemson University through the Federal Highway Administration and the U.S. Forest Service. The manual will be the first of its kind for the recreational horse industry.
At the invitation of Interior Secretary Gale Norton, the AHC became a charter member for the revitalized Take Pride in America Program, which was organized to recognize volunteer activities on public lands and to promote outdoor recreational activities.
Environmental Protection Agency adopted final rules under the Clean Water Act to ensure that facilities confining large numbers of animals, including horses, take action to manage manure and wastewater to reduce the pollution caused by water run-off from such operations. The revised rules clarify the limited application of the rules to the overwhelming number of equine facilities, other than racetracks and similar large facilities.
Entered into a Memorandum of Understanding with the US Forest Service establishing a formal relationship between the agency and our member organizations to better facilitate recreational opportunities for riders on public lands.
Published the AHC’s Care and Handling Guidelines for Horse Owners outlining practices for good horse management.
2002 Accomplishments
Worked with other groups to enact the Tax Stimulus Bill, which allows 30% bonus depreciation on business assets, including horses and other property used in the horse business, purchased by the taxpayer from September 11, 2001 to January 1, 2004 and originally used by January 1, 2005.
Supported the reduction in the withholding tax on pari-mutuel wagers from 28% to 27% and ultimately 25% in 2006.
Supported the US Department of Agriculture’s adoption of rules that subjected the commercial transport of horses to slaughter facilities to federal regulation for the first time.
Worked with other groups to enact Terrorism Risk Insurance Act of 2002 to ensure the continued availability of commercial property and casualty insurance and reinsurance for the risk of losses arising from terrorist attacks on facilities that conduct large events, like racetracks, convention centers and exhibition halls and the construction of such facilities.
Secured $50 million federal appropriation for Recreational Trails Program.
Faced with a shortage of quarantine facilities for the importation of horses, worked with the US Department of Agriculture to propose regulations for the establishment of privately owned, permanent-entry quarantine facilities for importing horses into the US. Submitted comments in support of the USDA proposal, which required USDA-oversight and other federal restrictions that had to be satisfied in order to protect the domestic horse population.
Worked with the US Department of Agriculture to revise the fee structure to reserve quarantine space for importing horses into the US to make the process user-friendlier and ensure stalls are available when needed.
2001 Accomplishments
Worked with other groups to enact legislation lowering tax rates and raising the estate tax exemption to $1 million in 2002, $3.5 million over the following eight years and repealing the estate tax completely in 2010.
Worked with U.S. Department of Agriculture to ensure that horses could continue to be imported into the United States during the Foot & Mouth Disease outbreak in England and France. USDA came very close to banning the importation of horses from those countries.
Passed special legislation providing federal emergency loan relief for the first time for horse owners and breeders who suffered losses because of Mare Reproductive Loss Syndrome (MRLS).
Worked with other groups to include in the Fiscal Year 2002 appropriations bill for the US Department of Agriculture $40 million for a new USDA research facility for efforts on national and international standards for biocontainment, animal handling, personnel safety and health, quality assurance and environmental protections.
Assisted in the formation of the bi-partisan Congressional Horse Caucus to educate Members of Congress and their staffs about the importance of the horse industry in the economic, agricultural, sporting and recreational life of Americans.
At the urging of the AHC, the US Department of Agriculture issued a conditional license for the use of a vaccine against West Nile Virus to deal with the dramatic spread of the disease in the years since its first appearance in the US in 1999. Such licenses are only issued to meet emergency situations or special circumstances.
Worked with the Environmental Protection Agency regarding the agency’s proposal to tighten the regulations under the Clean Water Act regarding discharges of pollutants and water from Concentrated Animal Feeding Operations (CAFOs) and submitted detailed comments differentiating the horse industry from traditional feedlot operations and explaining the potentially dramatic adverse impact and effect of the proposed rules on the horse industry.
Recognized the importance of the $28 billion recreational segment of the industry by forming the American Horse Council Recreation Committee to specifically advise the AHC on national issues and federal legislation and regulations affecting riders and events.
2000 Accomplishments
Amended the Interstate Horseracing Act to clarify that interstate simulcast wagering and account wagering are lawful between states where such pari-mutuel wagering is legal. This clarification was sought because of adverse positions expressed during hearings on the Internet gambling legislation by the Department of Justice on racing’s interstate activities.
Bureau of Land Management issued final rule on congressionally-designated Wilderness Areas clarifying, at the request of the AHC, that the use of horses and other pack stock is a legitimate activity in such areas.
Public Sector Gaming Study Commission issued its final report recognizing the positive economic impact of the pari-mutuel racing and breeding industry. The Commission recommended that states review their regulations to ensure that racing is not operating at a competitive disadvantage because of antiquated restrictions, that alternative forms of wagering at tracks be left to each state, and that federal laws be clarified to ensure that interstate pari-mutuel wagering through electronic means is permitted between states where it is legal.
At the request of the AHC, the US Department of Agriculture published an advance notice of proposed rulemaking seeking public input on the advisability of developing a federal program to deal with Equine Viral Arteritis (EVA) for horses in the US. The purpose is to seek a solution to the problems experienced by horse owners and breeders as a result of EVA.
The House Financial Services Committee amended the Internet Gambling Funding Prohibition Act to distinguish that it applies only to unlawful Internet wagering, not state-licensed and regulated activities like horseracing. The bill does not pass Congress.
1999 Accomplishments
National Gambling Impact Study Commission released final report calling for a “moratorium” on the expansion of all forms gambling. The report recognizes the economic significance of the US horse industry, noting it is well-regulated and acknowledging the industry’s efforts to deal with issues of problem gambling. On a split vote, the Commission recommended that alternative forms of wagering not be placed at racetracks and that account wagering on racing not be expanded. The Commission did not call for a ban on account wagering.
Coordinated and represented the racing and breeding industry’s presentation to the Public Sector Gaming Study Commission, which was established by the National Council of Legislators from Gaming States to provide the gaming states’ perspective on gambling as a complement to the National Gambling Impact Study Commission’s Report.
Worked with other groups to develop a database of projects funded by the Recreational Trails Program to help educate Congress about the importance and value of the federal program