Results of our class

survey

What you liked best?

Variety of riding styles and ways to be involved with horses

Passionate horse people

Team created between horse and handler

Close knit horse community

Feel and connection with the horse when riding

What you liked least?

Expense

Politics

Snobby, crazy, know-it-all, or generally unwelcoming people

Inhumane tactics and uneducated owners

How do you define “abuse” ??????

2013 National Western Stock Show

Issues in the Horse

Industryjust a few . . . . . .

Hot Issues that affect the entire industry . . . .

The closing of horse meat plants….no longer a floor, no economic and humane route for unwanted horses, transportation issues to Canada or Mexico, etc. Will they re-open?

Animal Welfare vs Animal Rights groups . . . What is the difference??? Animal Welfare: work for humane treatment of

animals Animal Rights: aim to completely end the use and

ownership of animals…..PETA was the first! Fox hunting?

Humane Society of the United States

Led by Wayne Pacelle

Portrays itself as mainstream animal care organization…NOT associated with local animal shelters!

Oppose rodeos, horse racing, research, livestock production….NO animal products allowed in the office!

Money and Power ….driving forces for them …. Took in 84 MILLION dollars just in 2008! Took in 93 MILLION dollars in 2009! Reportedly 162 million in assets! “Emotional dollars” …MUCH larger acct than

PETA!

What should the response of the Horse Industry be???

Ignore and ye shall disappear?

Mud slinging?

Alternatives?

Industry must be vigilant in their projection of positive images…. Get the “bad actors” out USDA considers horses “livestock” and

oversees Tn Walking Horse welfare at horse shows and “soring” issue

United State Equestrian Federation New Stance

During its Dec. 17, 2012, meeting, the USEF executive committee approved a rule banning soring “and/or the use of any action device on any limb of a Tennessee Walking Horse, Racking Horse, or Spotted Saddle Horse in any class at a USEF Licensed Competition.”

The rule defines an action device as “as any boot, collar, chain, roller, or other device that encircles or is placed upon the lower extremity of the leg of a horse in such a manner that it can rotate around the leg or slide up and down the leg so as to cause friction or strike the hoof, coronet band, fetlock joint of pastern of the horse.” The use of weighted shoes, pads and other devices also known as stacks or performance packages are also banned under the rule. The rule excludes the use of protective bell boots or heel boots.

AQHA new Steward Program at horse shows….sweeping the competitions “clean” of bad actors!

Is it working??? Other examples in the horse industry?

ISSUE: Expense

Expenses to whom? Just you, the buyer???

How does the money involved change the horse business ….. and the industry???

Kentucky Breeders’ Incentive Fund

• Created in 2007

• Intended to support breeding in KY for both non-racing and racing horses

• 80% Thoroughbreds, 13% Standardbreds, 7% all other breeds

• Money comes from the sales tax on stud fees• 2008- $18.7 million

Kentucky Breeders Incentive Fund

Includes 11 non-racing breedsAppaloosa, Arabian, Miniature, Morgan,

Paso Fino, Saddlebred, Hackney, KY Walking Horse, Paint, Rocky Mountain Horse, Quarter Horse

Each breed individually allocates money

Under review every three years

KY Horse Breeders’ Incentive Fund

Rewards for horses bred in Ky and some require the foal “drop” in KY but not all breeds

All KY stallions in participating breeds pay a 7% tax on breeding fee that ultimately funds this program

Mare is nominated and the foal is eligible for funds based on winnings (races or points in that breed). Exhibitor/owner gets @70% of payout, stallion owner gets a 20% as does mare owner gets 10%!

Breakdown: 80% to Tb, 13% to Standardbred, 7% to non-racing breeds

KY Horse Breeders’ Incentive Fund (non-racing)

What breeds currently qualify for non‐race incentive funds?

Kentucky Appaloosa Owners Association [KAOA] Kentucky Arabian and Half‐Arabian Breeders Alliance [KAHABA] Kentucky Miniature Horse Breeders Club [KMHB] Kentucky Morgan Horse Association [KMHA] Rocky Mountain Horse Kentucky Breeders Association, Inc. [RMH‐BIF] Kentucky Paint Horse Club [KPHC] Kentucky Paso Fino Horse Association [KPFHA Kentucky Quarter Horse Association [KyQHA] Kentucky Saddlebred Owners & Breeders Association [KSOBA] South Central Hackney Association [SCHA] Kentucky Walking Horse Breeder Incentive Fund [KWH‐BIF]

What is the impact?

Huge registrations and breeding business

Larger prices for horses eligible for winnings

Happier owners….Example….bought a horse to promote for breeders in march, showed VERY successfully between Mr and Nov….won a bunch, sold it in Nov. and is awaiting a 6-7000.00 check from this program!!!

$10 million awarded in 2010$4.4 million for KY races$5.5 million for non-KY races$3,166 per race$100,000 for Derby and Oaks

(Grade 1)~$25,000 for stakes races

Money, Money, Money

Virginia Breeders Fund

1% of every dollar wagered on Thoroughbreds supports the fund

$1.5 million annually

50% to restricted VA-bred races

35% to breeder awards

15% to stallion awards

Other Breeders’ Funds

NY Thoroughbred Breeding & Development FundDistributes $52 million/year

PA breeding fund program$15 million/year

Delaware, Maryland, West Virginia, Colorado, New Mexico, California

Other Incentive Funds?

Breed futurities. Breed a mare and enter her foal in a show, even before the foal is born sometimes! The earlier you enter them, the cheaper it is to pay into the opportunity to win money.

Nominate a young horse for a program that makes them eligible for the rest of their life for winning funds in certain classes. Payout goes to the owner/exhibitor primarily but a smaller amount goes to the breeder and the owner of the sire.

Other Issues?

Virginia “Sunday Hunting Bill”

Passed out of the Senate committee Jan. 18, 2012

The movement to open Virginia to Sunday hunting gained momentum Thursday when the Senate Agriculture, Conservation and Natural Resources Committee voted 11-4 to turn a bill over to the full Senate.

Similar bills in years past have failed to make it out of committee.

"This has been a long journey," said Matt O'Brien, a Suffolk hunter who two years ago started a Facebook page - "Legalize Virginia Sunday Hunting for All."

"It's game on now," he said. "The Virginia Sunday Hunting Coalition gave a marvelous presentation.

I was not expecting this, and didn't want to get my hopes up. But this is a huge day for Sunday hunting.”

2012 update: The issue has been killed in committee!!!

2013 update: The issue has been killed in committee with a big scare!

Who watches out for political movements???

State Horse Councils….VHC is very active

American Horse Council

Farm Bureau

A Few politically minded individuals with friends in the right places!

The Horse Industry

Economic environment

“Health” of the horse industry is driven by economy…Why?

Recreational based9.2 million horses in US102 BILLION $ industry2 million Americans own

horses; 4.6 million are involved in some way

1 out of ever 63 Americans have something to do with horses…..therefore, Opportunity for Growth!

Friday Mike Jennings,

Professional Auction Services, Inc

Business site for Mike Jennings

On line Auction that just closed last night! Take a peak at prices and horses!

Your perspective about the future? (comments from first interview for class)

Be positive, where there is a will, there is a way. But sometimes it is best to start in the horse business as a part time venture and let it grow as the demand and income grows…..for many of you, you are going to jump in with both feet and give it a whirl. Good for you! Just try to get some insurance and save for those rainy days or retirement!

Next week….

Facilities……design, equipment, costs, pasture management, fencing, etc.

Special guest for lab: Mr. Rob Stoneburner, barn builder in

Waynesboro, VA. This will be very insightful!

Atwood Footing Representative, Middleburg, VA