American horse racing began as a recreational activity in the early sixteenth century; however, by the early seventeenth century, horse racing became more commercialized and official race courses were built in both Virginia and New York (Cassidy).Thoroughbred racing continued to grow in popularity, and by 1860, racetracks were being developed in nearly every state throughout America. Nonetheless, the public began to distrust the racing industry in the 1890s, and many jockeys, trainers, and horse owners were accused of corruption. Consequently, the amount of racetracks in the United States drastically decreased from 314 to 25 between the years 1897 and 1908 …show more content…
Roosevelt became president, he allocated power from the federal government to the state governments, especially in context with regulatory agencies. Soon after, states began to realize the need for laws and regulations to be set in place in order to ensure the safety of the horses, jockeys, trainers, owners, and spectators. This recognition spurred the creation of the state racing commissions and even caused the public to begin positively viewing the industry again. While the state racing commissions were intended to ensure the integrity of the sport, in actuality, they created a fragmented system of government and regulations that allowed each state to individually maintain and adopt its own laws. State racing commissions are accountable for “Issuing licenses to participants, promulgating rules governing the sport, enforcing these rules, and administering penalties for any rules violation” (Cassidy). In 1978, Congress passed the Interstate Horseracing Act of 1978 which granted some legislative power to the federal government in order to more efficiently regulate interstate off-track-wagering within the horse racing industry (Cassidy). Interstate off-track-wagering is simply making a legal wager in one state while the actual outcome of the horserace occurs in a separate state. Even with this progress, today’s horse racing industry is largely decentralized with its thirty-eight separate racing jurisdictions that each regulate and enforce laws