Hollywood Park Quits Association : Track Resigns Before Being Forced From Race Federation

Hollywood Park has resigned from a federation of California race tracks, shortly before the group was expected to expel the Inglewood track for failure to pay $48,000 in disputed expenses.

The Federation of California Racing Assns., a nonprofit corporation that consists of most of the state’s tracks, is scheduled to meet Thursday in Los Angeles to consider Hollywood Park’s membership and what it feels are Hollywood Park’s financial obligations.

On Nov. 6, however, Marje Everett, Hollywood Park’s chief executive officer, notified the federation that her track was resigning.

In a letter to David M. Blicker, president of the federation, Everett said:

“It has been obvious to me for a long time that in spite of the many contributions that were made by representatives of Hollywood Park at no cost to the federation, the manner in which the affairs of the federation are conducted is not compatible when considered in the best interest of all concerned.”

The federation handles industrial relations for member tracks, in areas that include contracts, health and welfare benefits, pension programs, grievances and arbitration. Blicker said that the federation deals with eight unions in which members work at race tracks.

According to Blicker, Hollywood Park’s debt of $48,000 dates back three years. Most of the outstanding amount pertains to expenses from insurance administration and the operation of the labor relations office.

“Much of this money was a bill for things that affect Santa Anita’s employees,” said Neil Papiano, Hollywood Park’s chief counsel. “It’s not justified, and the federation was told this before the expenses were incurred.

“We had one position on this, and Santa Anita had another, and we’ve decided to handle our own labor relations.”

In October, Everett said in a letter to Blicker that the federation “failed to conduct its affairs in a businesslike and appropriate matter. Specifically, no competitive bids were asked for and therefore none received on the various insurance programs that were purchased for member tracks.”

Everett also said that Hollywood Park “would have substantial amounts of money coming from the federation,” citing legal assistance that Papiano’s law office contributed to horsemen during Del Mar’s illegal-aliens crisis in 1985.

Everett also said that early this year, Hollywood Park officials were instrumental in negotiating a three-year labor contract “which literally saved hundreds of thousands of dollars for each track, each year.”

Asked about Everett’s letter, Blicker said: “The federation doesn’t take issue about where credit is due. But that letter was not a complete recitation of things people did without being paid.

“The matters mentioned in that letter are irrelevant to the main issue, which we consider to be a serious matter. Hollywood Park has ongoing obligations to the federation, irrespective of the fact that they might have resigned.”