Federal Register / Vol. 87, No. 17 / Wednesday, January 26, 2022 / Notices 4023 

1 15 U.S.C. 3051 through 3060. 

2 15 U.S.C. 3053(b)(2). 

3 15 U.S.C. 3053(b)(1). 

4 15 U.S.C. 3053(c)(1). 

5 16 CFR 1.140–1.144; see also Fed. Trade 

Comm’n, Procedures for Submission of Rules Under 

the Horseracing Integrity and Safety Act, 86 FR 

54819 (Oct. 5, 2021). 

Fredericksburg, Virginia, through their 

merger with and into OceanFirst Bank, 

Toms River, New Jersey, a wholly 

owned subsidiary of OceanFirst 

Financial Corp. 

B. Federal Reserve Bank of Chicago 

(Colette A. Fried, Assistant Vice 

President) 230 South LaSalle Street, 

Chicago, Illinois 60690–1414: 

1. Bank of Montreal, Montreal, 

Quebec, Canada; and BMO Financial 

Corp., Wilmington, Delaware; to acquire 

BancWest Holding Inc., and thereby 

indirectly acquire Bank of the West, 

both of San Francisco, California. 

Following the share acquisition, BMO 

Financial Corp. will merge with 

BancWest Holding Inc. with BMO 

Financial Corp. as the surviving entity. 

Board of Governors of the Federal Reserve 

System, January 21, 2022. 

Margaret McCloskey Shanks, 

Deputy Secretary of the Board. 

[FR Doc. 2022–01529 Filed 1–25–22; 8:45 am] 

BILLING CODE P 

FEDERAL TRADE COMMISSION 

[File No. P222100] 

HISA Enforcement Rule 

AGENCY: Federal Trade Commission. 

ACTION: Notice of Horseracing Integrity 

and Safety Authority (HISA) proposed 

rule; request for public comment. 

SUMMARY: The Horseracing Integrity and 

Safety Act of 2020 recognizes a selfregulatory nonprofit organization, the 

Horseracing Integrity and Safety 

Authority, which is charged with 

developing proposed rules on a variety 

of subjects. Those proposed rules and 

later proposed rule modifications take 

effect only if approved by the Federal 

Trade Commission. The proposed rules 

and rule modifications must be 

published in the Federal Register for 

public comment. Thereafter, the 

Commission has 60 days from the date 

of publication to approve or disapprove 

the proposed rule or rule modification. 

The Authority submitted to the 

Commission a proposed rule on 

Enforcement on December 20, 2021. The 

Office of the Secretary of the 

Commission determined that the 

proposal complied with the 

Commission’s rule governing such 

submissions. This document publicizes 

the Authority’s proposed rule text and 

explanation, and it seeks public 

comment on whether the Commission 

should approve or disapprove the 

proposed rule. 

DATES: If approved, the HISA proposed 

rule would have an effective date of July 

1, 2022. Comments must be received on 

or before February 9, 2022. 

ADDRESSES: Interested parties may file a 

comment online or on paper by 

following the instructions in the 

Comment Submissions part of the 

SUPPLEMENTARY INFORMATION section 

below. Write ‘‘HISA Enforcement’’ on 

your comment and file your comment 

online at https://www.regulations.gov 

under docket number FTC–2022–0009. 

If you prefer to file your comment on 

paper, mail your comment to the 

following address: Federal Trade 

Commission, Office of the Secretary, 

600 Pennsylvania Avenue NW, Suite 

CC–5610 (Annex B), Washington, DC 

20580, or deliver your comment to the 

following address: Federal Trade 

Commission, Office of the Secretary, 

Constitution Center, 400 7th Street SW, 

5th Floor, Suite 5610 (Annex B), 

Washington, DC 20024. 

FOR FURTHER INFORMATION CONTACT: 

Austin King (202–326–3166), Associate 

General Counsel for Rulemaking, Office 

of the General Counsel, Federal Trade 

Commission, 600 Pennsylvania Avenue 

NW, Washington, DC 20580. 

SUPPLEMENTARY INFORMATION: 

Table of Contents 

I. Self-Regulatory Organization’s Statement of 

the Background, Purpose of, and 

Statutory Basis for, the Proposed Rule 

a. Background and Purpose 

b. Statutory Basis 

II. Self-Regulatory Organization’s Statement 

of the Terms of Substance of the 

Proposed Rule 

a. Rule 8100—Violations 

b. Rule 8200— Sanctions for Violations; 

Consent Decrees; Notice of Suspected or 

Actual Violation 

c. Rule 8300 et seq.— Disciplinary 

Hearings and Accreditation Procedures 

d. Rule 8400— Investigatory Powers 

III. Self-Regulatory Organization’s Summary 

of Comments 

IV. Self-Regulatory Organization’s Response 

to Comments and Discussion of 

Alternatives 

V. Legal Authority 

VI. Effective Date 

VII. Request for Comments 

VIII. Comment and Submissions 

IX. Communications by Outside Parities to 

the Commissioners or Their Advisors 

X. Self-Regulatory Organization’s Proposed 

Rule Language 

Background 

The Horseracing Integrity and Safety 

Act of 2020 1 recognizes a self-regulatory 

nonprofit organization, the Horseracing 

Integrity and Safety Authority, which is 

charged with developing proposed rules 

on a variety of subjects. Those proposed 

rules and later proposed rule 

modifications take effect only if 

approved by the Federal Trade 

Commission.2 The proposed rules and 

rule modifications must be published in 

the Federal Register for public 

comment.3 Thereafter, the Commission 

has 60 days from the date of publication 

to approve or disapprove the proposed 

rule or rule modification.4

The Authority submitted to the 

Commission a proposed rule on 

Enforcement on December 20, 2021. The 

Office of the Secretary of the 

Commission determined that the 

proposal complied with the 

Commission’s rule governing such 

submissions.5

Pursuant to Section 3053(a) of the 

Horseracing Integrity and Safety Act of 

2020 (the ‘‘Act’’) and Federal Trade 

Commission Rule § 1.142, notice is 

hereby given that, on December 20, 

2021, the Horseracing Integrity and 

Safety Authority (‘‘HISA’’ or the 

‘‘Authority’’) filed with the Federal 

Trade Commission (the ‘‘Commission’’) 

the proposed Enforcement rule and 

supporting documentation as described 

in Items I, II, III, IV, and X below, which 

Items have been prepared by HISA. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Background, Purpose 

of, and Statutory Basis for, the 

Proposed Rule 

a. Background and Purpose 

The Horseracing Integrity and Safety 

Act of 2020 (‘‘Act’’) recognizes that the 

establishment of a national set of 

uniform standards for racetrack safety 

and medication control will enhance the 

safety and integrity of horseracing. As 

part of this endeavor, the Act, in 15 

U.S.C. 3053(a), directs the Authority to 

develop proposed rules relating to ‘‘(8) 

a description of safety, performance, 

and anti-doping and medication control 

rule violations applicable to covered 

horses and covered persons; (9) a 

schedule of civil sanctions for 

violations; and (10) a process or 

procedures for disciplinary hearings.’’ 

With the review, input, and ultimate 

approval of the Authority’s Board of 

Directors, the proposed rule: (1) Sets 

forth a set of violations in addition to 

those proposed separately in the Rule 

2200 Series, previously filed on 


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6See generally 15 U.S.C. 3057(a)(2); 810 Ky. 

Admin. Reg. 3:020 (‘‘Licensing of Racing 

Participants’’), Section 15 (‘‘License Denial, 

Revocation, and Suspension’’). 

December 6, 2021; (2) puts in place a 

schedule of civil sanctions for use in 

conjunction with the violations; (3) 

creates hearing and appeal procedures 

for disciplinary and accreditation 

decisions; and (4) sets forth rules that 

define the investigatory powers 

available to the Authority. 

b. Statutory Basis 

The Horseracing Integrity and Safety 

Act of 2020, 15 U.S.C. 3051 through 

3060. 

II. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule 

The proposed rule submitted by the 

Authority, which is applicable to all 

covered horses, covered persons, and 

covered racetracks, would establish rule 

violations and civil sanctions, 

procedures for disciplinary and 

accreditation hearings, and provisions 

concerning the exercise of investigatory 

powers by the Authority. The proposed 

rules would ensure that the Authority’s 

enforcement activities are conducted 

pursuant to a set of uniform standards. 

The Act provides that the uniform rules 

established under 15 U.S.C. 3057(d)(1) 

shall: ‘‘(A) take into account the unique 

aspects of horseracing; (B) be designed 

to ensure fair and transparent 

horseraces; and (C) deter safety, 

performance, and anti-doping and 

medication control rule violations.’’ 15 

U.S.C. 3057(d)(2). 

Existing Standards 

In developing the rules pertaining to 

violations, sanctions, hearing 

procedures, and investigatory powers, 

the Authority relied to a great extent 

upon the rules of horseracing in these 

subject areas as they currently exist in 

racing states. Additionally, rules in the 

various states incorporate many of the 

specific standards and protocols set 

forth in the Association of Racing 

Commissioners International’s Model 

Rules of Racing (‘‘ARCI Rules’’). The 

ARCI ‘‘Model Rules’’ of racing and 

wagering are recognized worldwide as a 

standard for the independent and 

impartial regulation of horseracing as 

well as the conduct of pari-mutuel 

wagering. Relying upon the collective 

expertise of regulatory personnel in 

member jurisdictions in consultation 

with regulated entities, industry 

stakeholders, fans and individuals, 

ARCI committees regularly consider 

ways to improve and enhance the 

regulation of racing. In some racing 

states, the Model Rules have the force of 

law, as they have been adopted by 

reference statutorily or through 

regulatory rulemaking. In other states 

the Model Rules form the basis upon 

which rules are written, ensuring 

substantial uniformity in the regulation 

of the sport. 

While state regulations vary in many 

details concerning medication control 

and safety provisions, the overall 

structure of the rules governing 

horseracing is consistent between and 

among the states. The rules of 

horseracing center around a number of 

common subject areas, including the 

licensing of racing associations and of 

individual participants in horseracing, 

medication control rules, pari-mutuel 

wagering rules, the operation of various 

incentive funds, rules concerning the 

running of the race, and rules 

establishing disciplinary measures and 

hearing procedures. The basic precepts 

of many of the rules pertaining to 

violations, sanctions, hearing 

procedures, and investigatory powers 

have been in force in racing states for 

many years, and the Authority has 

reviewed key provisions in numerous 

states in the course of developing the 

Rule 8000 Series. 

The Authority has also examined 

rules promulgated by the Financial 

Industry Regulatory Authority 

(‘‘FINRA’’). FINRA regulates and 

investigates the activities of brokerage 

firms, and a review of some of the 

FINRA provisions related to sanctions 

and investigatory powers was beneficial 

in the development of HISA rules in 

these areas. 

In sum, many of the rules set forth in 

this 8000 Series are derived from 

provisions with common features in 

many of the state and ARCI rules. The 

Authority reviewed these provisions 

and tailored them to the Authority’s 

regulatory structure and goals. The 

process was one of analysis and 

incorporation of common existing 

standards, and did not to any significant 

extent require the rejection of alternate 

standards. In other words, for many 

aspects of the proposed rules, the 

Authority identified no reasonable 

alternatives to the consensus established 

in existing state laws. 

The provisions of this Rule were 

made publicly available on the HISA 

website on November 22, 2021. Very 

few comments were received, but those 

that were received are addressed below. 

The ARCI Rules, several key state laws, 

and the FINRA provisions on which the 

Authority, as well as the few comments 

that the Authority received in its presubmission comment-seeking process, 

are included in the supporting 

documentation available at https://

www.regulations.gov under docket 

number FTC–2022–0009. 

a. Rule 8100—Violations 

The violations set forth in this section 

are drawn from similar provisions found 

in the ARCI Rules and the rules of many 

racing states. A number of the violations 

prohibit interfering with or obstructing 

investigatory or regulatory efforts 

conducted by Authority personnel. The 

violations also include attempts to 

conceal violations or to intimidate 

witnesses to violations or individuals 

who might report violations. Other 

provisions penalize the perpetration of 

a fraud concerning a Covered Horse and 

the failure to properly register with the 

Authority as required by rule. The 

prohibitions in Rule 8100 operate 

together with the Racetrack Safety Rules 

in the separately proposed Rule 2200 

Series and future anti-doping and 

medication control rules to provide a 

comprehensive enforcement scheme 

that will enhance the safety and 

integrity of horseracing.6

The violations enumerated in this rule 

are tailored to the unique aspects of 

horseracing in that violations do arise in 

the sport and must be penalized. It is 

vital to penalize violations to ensure 

that horseraces are conducted in a fair 

and transparent manner, which gives 

participants and the betting public 

confidence in the integrity of the sport. 

The successful prosecution of violations 

requires the investigation of the 

circumstances surrounding an alleged 

violation. An investigation includes 

interviewing the person alleged to have 

committed the violation, the inspection 

of that person’s books and records upon 

request by investigators, and 

interviewing other individuals who may 

have knowledge of the violation. The 

violation provisions in Section 8100 

penalize conduct that inhibits the 

investigatory process; such conduct 

includes intimidating witnesses, failing 

to cooperate with an investigation, and 

failing to provide accurate information 

regarding an investigation. Successful 

and consistent prosecution of violations 

deters violations and ensures the 

integrity of the sport. The 8100 series 

also penalized Covered Persons and 

Racetracks who fail to remit fees as 

required under 15 U.S.C. 3052(f)(3), as 

funding of the Authority is a vital 

element in supporting the Authority’s 

unique role in ensuring fair and 

transparent horseracing and deterring 

rule violations. 


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Federal Register / Vol. 87, No. 17 / Wednesday, January 26, 2022 / Notices 4025 

7See generally FINRA Rule 8310 (‘‘Sanctions for 

Violation of the Rules’’); 810 Ky. Admin. Reg. 8:030 

(‘‘Disciplinary Measures and Penalties’’), Sections 9 

(‘‘Disciplinary Measures by Stewards and Judges’’) 

and 10 (‘‘Disciplinary Measures by the 

Commission’’); Minn. Admin. R. 7897.0120 

(‘‘Disciplinary Sanctions’’); Minn. Admin. R. 

7897.0130 (‘‘Schedule of Fines’’). 

b. Rule 8200—Sanctions for Violations; 

Consent Decrees; Notice of Suspected or 

Actual Violation 

The sanctions set forth in Rule 8200 

apply to the Racetrack Safety rules set 

forth in the Rule 2200 Series and to the 

violations established in Rule 8100. 

Specifically exempted from the 8000 

series are the rules under development 

by the Authority’s Anti-Doping and 

Medication Committee. The rules 

pertaining to anti-doping and 

medication control violations are 

complex and specific to the unique 

aspects of medication control and will 

be set forth in that body of rules. 

Additionally, a second exemption in 

Rule 8200 makes clear that the sanctions 

in Rule 8200 do not apply to areas of 

regulatory activity that are not preempted by HISA; state regulations will 

continue to govern disciplinary action 

in these areas. By way of example, state 

regulations will continue to operate in 

the context of pari-mutuel wagering and 

the licensing by state racing 

commissions of individual participants 

in horseracing. 

The sanctions provide the Authority 

with a broad range of options to apply 

in penalizing the violation of Authority 

rules. The sanctions range from the 

severe penalty of a lifetime ban from 

registration with the Authority to 

revocation or suspension of a Covered 

Person’s registration, the imposition of 

specified fines, or the issuance of a 

cease and desist order. Rule 8200 

further permits the Authority to require 

a Covered Person as a condition of 

participation in horseracing to take any 

remedial or other action that is 

consistent with the safety, welfare, and 

integrity of Covered Horses, Covered 

Persons, and Covered Horseraces. 

The rule also includes a mechanism 

permitting the Authority to issue a 

Notice of Suspected or Actual Violation 

to a Covered Person in cases in which 

the Authority has reason to suspect that 

a Covered Person has violated or failed 

to comply with Authority rules. This 

mechanism requires the Authority to 

specify the nature of the suspected or 

actual violation and requires the 

Covered Person to respond to the 

Authority’s notice. The Notice provision 

is intended in part to allow safety issues 

to be addressed without immediate 

resort to formal disciplinary action.7

The schedule of sanctions set forth in 

Rule 8200 provides the specific 

penalties that are the consequence of 

committing a rule violation in 

horseracing as conducted under the 

jurisdiction of the Authority. The 

schedule is tailored to the unique 

aspects of horseracing in that it imposes 

substantial fines upon Covered Persons. 

The imposition of fines is very common 

in the penalization of violations of 

horseracing rules. The sanctions also 

include forfeiture of purse, 

disqualification of horses, and changes 

to the order of finish in horse races, 

which are penalties unique to 

horseracing. Various other provisions 

can result in temporary or permanent 

revocation of registration with the 

Authority; registration is required to 

participate in horseracing. Additionally, 

racetracks can be prohibited from 

conducting horseraces upon a finding 

that a racetrack safety violation has been 

committed. 

The sanctions established under Rule 

8200 work in conjunction with the 

violations set forth in Rule 8100 to 

ensure that violations are properly and 

consistently penalized. This deters 

future violations and ensures that racing 

participants and the betting public have 

confidence that horseracing is 

conducted in a fair and transparent 

manner. The Consent Decree provision 

is included to allow the Authority to 

enter into agreements with Covered 

Persons that will ensure that Covered 

Persons take actions as needed to ensure 

that horseracing is conducted in a fair 

and transparent manner consistent with 

preserving the integrity of the sport. 

Similarly, the Notice of Suspected or 

Actual Violation allows the Authority to 

identify potential or actual violations 

and to ensure that Covered Persons 

cooperate with the Authority in taking 

any remedial action necessary to protect 

the integrity of horseracing. 

c. Rule 8300 et seq.—Disciplinary 

Hearings and Accreditation Procedures 

The disciplinary procedures 

established in the Rule 8300 Series 

apply to Safety Violations in the Rule 

2200 Series as well as the violations set 

forth in Rule 8100. Rule 8310 specifies 

that anti-doping and medication control 

rule violations are to be adjudicated in 

accordance with the specialized 

procedures within the medication rules. 

In tandem with Rule 8200, the 

disciplinary proceedings do not apply to 

areas of regulatory activity that are not 

pre-empted by HISA. 

Rule 8320 provides a procedure 

pertaining to the appeal of violations. 

The rule specifies that stewards’ rulings 

penalizing violation of the prohibitions 

relating to riding crops, shock wave 

therapy, and electrical or mechanical 

devices are appealable to the Board of 

the Authority. All other rule violations 

of the safety rules in Rule 2200 Series 

are referred by the Racing Safety 

Committee to one of four adjudicative 

bodies, depending upon the seriousness 

of the alleged violation and the facts of 

the case; the Racetrack Safety 

Committee may conduct the initial 

appeal hearing itself, or it may refer the 

case to the state stewards, or to either 

the National Stewards Panel or the 

Arbitral Body to be established under 

anti-doping and medication control 

rules. Under this procedure, the 

Racetrack Safety Committee, having 

knowledge and expertise concerning 

matters of racetrack safety, will direct 

the case to the adjudicator best suited to 

decide the case. 

In a parallel manner, the Board of the 

Authority will refer the appeal of 

violations of the prohibitions in Rule 

8100 either to the Board itself for a 

hearing, to the state stewards, or to 

either the National Stewards Panel or 

the Arbitral Body to be established 

under anti-doping and medication 

control rules. 

Rule 8340 sets forth notice 

requirements and hearing procedures to 

guide the adjudication of hearings 

before the Board of the Authority or the 

Racetrack Safety Committee in appeals 

under Rules 8320 and 8330 in those 

instances when the Board or the 

Committee refer matters to themselves 

for a hearing (the hearings referrals are 

described as ‘‘initial hearings’’ in Rule 

8340). In the case of an initial hearing 

before the Board, the Board will appoint 

a panel of three Board members to 

adjudicate at the hearing. Rule 8340 

establishes the procedures for the 

hearings. 

Rule 8350 sets forth procedures for 

the appeal to the Board of any decision 

rendered by the Racetrack Safety 

Committee, the state stewards, the 

National Stewards Panel, or an Arbitral 

Body. Additionally, in those instances 

in which a panel of the Board conducts 

the initial hearing, the procedures 

prohibit the members of the panel from 

participating in consideration of the 

appeal before the full Board. Rule 8350 

establishes the procedures and 

standards of review to be provided upon 

appeal. 

Rule 8360 establishes procedures 

appeals from any decision rendered by 

the Authority denying or revoking 

racetrack accreditation. The procedures 

provide that any revocation of 

accreditation be stayed, pending the 

Authority’s review of the case. The 

Authority may permit the racetrack to 


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8See generally Minn. Admin. R. 7897.0150 

(‘‘Disciplinary Procedures’’); Minn. Admin. R. 

7897.0170 (‘‘Conduct of Appeal Hearing’’); Model 

Rules of the Association of Racing Commissioners 

International (‘‘Chapter 3, Due Process and 

Hearings, ARCI–003–010 Proceedings by Stewards/ 

Judges’’). 

9See generally FINRA Rule 8210 (a) (‘‘Provision 

of Information and Testimony and Inspection and 

Copying of Books’’); Ky. Rev. Stat. 230.260(12) 

(‘‘Authority of Kentucky Horse Racing 

Commission’’); Minn. Stat. 240.21 (‘‘Right of 

Inspection’’). 

make a presentation, if requested by the 

racetrack. One commenter suggested 

creating a timeframe for the request and 

presentation, but the Authority prefers 

to avoid rigid timeframes in this 

context. The Authority may also request 

additional information from any source 

concerning the review of the case. After 

considering factors enumerated in the 

Rule concerning the nature of 

deficiencies in racetrack operations, the 

Authority may then deny or revoke 

accreditation upon a two-thirds vote of 

a quorum of the Authority members 

present; alternatively, the Authority 

may reinstate accreditation subject to 

any requirements deemed necessary by 

the Authority to ensure that horseracing 

at the racetrack is conducted in a safe 

manner. The process in Rule 8360 is 

designed to provide the racetrack and 

the Authority the opportunity and 

flexibility to remedy racetrack 

deficiencies and ensure that horseracing 

is conducted safely. 

Finally, Rule 8370 makes clear that 

decisions rendered by the Authority 

under Rules 8350 and 8360 constitute 

final civil sanctions within the meaning 

of 15 U.S.C. 3058, and are therefore 

subject to appeal and review by the 

Commission pursuant to the statute.8

It is vital to penalize violations of the 

rules of horseracing to ensure that 

horseraces are conducted in a fair and 

transparent manner, which gives 

participants and the betting public 

confidence in the integrity of the sport. 

In accordance with principles of due 

process, persons alleged to have 

committed violations are entitled to a 

fair hearing at which they may have the 

opportunity to present evidence in 

defense of a charged violation. The 

provisions set forth in the Rule 8300 

Series establish the rules and 

parameters of the hearing process. These 

provisions also provide for appeals to 

the Authority to review any decisions 

rendered against a Covered Person who 

is charged with a violation. These 

provisions are keyed to the unique 

organizational structure of the 

Authority. The hearing process is 

necessary to ensure that the penalties 

imposed upon Covered Persons are 

based upon a legitimate legal process 

that comports with the principles of due 

process. This ensures that violations are 

consistently and fairly penalized, which 

in turn deters future violations, and 

maintains the integrity and conduct of 

fair and transparent horseraces. 

The Rule 8300 Series also establishes 

procedures for hearings to adjudicate 

the denial or revocation of racetrack 

accreditation in those instances in 

which racetracks are alleged to have 

committed violations of the Racetrack 

Safety rules. Racetrack safety is of 

course unique to horseracing and is 

essential to ensure that horseracing is 

conducted safely and in a fair and 

transparent manner. 

4. Rule 8400—Investigatory Powers 

The provisions set forth in Rule 8400 

are common to the rules of many racing 

states and the ARCI rules of horseracing. 

These provisions establish the 

Authority’s power of access to records 

and places of business used in 

connection with Covered Horses and 

authorize the seizure of medications or 

other items that are in violation or 

suspected violation of Authority rules. 

The rules require Covered Persons to 

cooperate with the Authority in 

investigations, and they include the 

duty to respond truthfully to questions 

posed by investigators about a racing 

matter. Rule 8400 also authorizes the 

issuance of subpoenas and oaths to 

witnesses. All these provisions will 

serve to enhance the integrity of 

horseracing by ensuring the effective 

enforcement of Authority rules.9

As stated previously, it is vital to 

penalize violations of the rules of 

horseracing to ensure that horseraces are 

conducted in a fair and transparent 

manner, which gives participants and 

the betting public confidence in the 

integrity of the sport. The successful 

prosecution of violations requires the 

investigation of all the circumstances 

surrounding an alleged violation. 

Central to any investigation is the power 

to gain access to the books, records, and 

premises of persons believed to have 

committed a violation; to subpoena 

witnesses; and to take testimony under 

oath of any person with knowledge of 

the circumstances regarding a violation. 

Rule 8400 specifically confers these 

powers upon the Authority and 

penalizes any obstruction or failure to 

comply with the investigatory powers 

set forth in the section. 

III. Self-Regulatory Organization’s 

Summary of Comments 

As encouraged by the Commission’s 

procedural rule, beginning in November 

2021, prior to finalization of the 

submissions by the Authority to the 

Commission, a draft of the proposed 

Enforcement rule was made available to 

the public for review and comment on 

the HISA website, https://

www.hisausregs.org/. Five comments 

upon the 8000 series were received. 

These comments were posted on the 

HISA Regulations Publication website at 

https://www.hisausregs.org/. 

IV. Self-Regulatory Organization’s 

Responses to Comments and Discussion 

of Alternatives 

The following is a description of the 

primary subjects that received 

comments and the manner in which the 

Authority addressed those comments in 

developing the proposed rule submitted 

to the Commission, as well as the 

reasonable alternatives the Authority 

considered alongside the option 

ultimately proposed. 

As previously mentioned, because of 

the relative uniformity of state 

approaches to defining violations, 

imposing sanctions, establishing hearing 

procedures, and providing investigatory 

powers, informed heavily by the ARCI 

Model Rules, the Authority did not 

identify reasonable alternatives to many 

of the aspects of its proposed 

Enforcement rule. The absence of 

reasonable alternatives to many aspects 

of Enforcement was underscored by the 

paucity of public comments on the 

proposed rule compared to the plethora 

of comments the Authority has received 

on Racetrack Safety (proposed on 

December 6, 2021) and Anti-Doping (yet 

to be proposed but under development). 

Most aspects of the proposed 

Enforcement rule received no 

comments, including Rule 8100 and 

Rule 8400. 

Rule 8200 Comments 

One commenter inquired whether 

Continuing Education courses will be 

required in this context. Rule 2182, 

previously proposed to the Commission, 

does establish Continuing Education 

requirements. Rule 8200 further 

provides that the Authority may enter 

into a consent decree or similar 

agreement with a Covered Person to 

enhance the safety and integrity of 

horseracing under the Act. Such a 

decree might require a trainer to adopt 

improved practices to ensure proper 

care for horses or might similarly 

require a racetrack to upgrade its 

facilities to enhance the safety of 

horseracing conducted at the track. 

One commenter asked whether a 

consent decree ‘‘process’’ has been 

developed. The rule allows the 

Authority to enter into a consent decree, 


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10 15 U.S.C. 3053(c)(2). 

11 15 U.S.C. 3053(e). 12 16 CFR 1.31; see Fed. Trade Comm’n, 

Procedures for Responding to Petitions for 

Rulemaking, 86 FR 59851 (Oct. 29, 2021). 13 16 CFR 1.31(b)(3). 14 15 U.S.C. 3053(e). 

though the process for doing so is not 

strictly defined, to allow for flexibility 

in developing decrees. 

Rule 8300 et seq. Comments 

One commenter suggested deleting 

Rule 8320, though without offering a 

reason; the Authority believes the Rule 

will operate to enhance the effective 

enforcement of racing safety and 

integrity. 

One commenter suggested creating a 

timeframe for the request and 

presentation under Rule 8360, but the 

Authority prefers to avoid rigid 

timeframes in this context. 

V. Legal Authority 

The rule is proposed by the Authority 

for approval or disapproval by the 

Commission under 15 U.S.C. 3053(c)(1). 

VI. Effective Date 

If approved by the Commission, the 

proposed rule will take effect July 1, 

2022. 

VII. Request for Comments 

Members of the public are invited to 

comment on the Authority’s proposed 

rule. The Commission requests that 

factual data on which the comments are 

based be submitted with the comments. 

The supporting documentation referred 

to in the Authority’s filing, as well as 

the written comments it received before 

submitting the proposed rule to the 

Commission, are available for public 

inspection at www.regulations.gov 

under docket number FTC–2022–0009. 

The Commission seeks comments that 

address the decisional criteria provided 

by the Act. The Act gives the 

Commission two criteria against which 

to measure proposed rules and rule 

modifications: ‘‘The Commission shall 

approve a proposed rule or modification 

if the Commission finds that the 

proposed rule or modification is 

consistent with—(A) this chapter; and 

(B) applicable rules approved by the 

Commission.’’ 10 In other words, the 

Commission will evaluate the proposed 

rule for its consistency with the specific 

requirements, factors, standards, or 

considerations in the text of the Act as 

well as the Commission’s procedural 

rule. 

Although the Commission must 

approve the proposed rule if the 

Commission finds that the proposed 

rule is consistent with the Act and the 

Commission’s procedural rule, the 

Commission may consider broader 

questions about the health and safety of 

horses or the integrity of horseraces and 

wagering on horseraces in another 

context: ‘‘The Commission may adopt 

an interim final rule, to take effect 

immediately, . . . if the Commission 

finds that such a rule is necessary to 

protect—(1) the health and safety of 

covered horses; or (2) the integrity of 

covered horseraces and wagering on 

those horseraces.’’ 11 The Commission 

may exercise its power to issue an 

interim final rule on its own initiative 

or in response to a petition from a 

member from the public. If members of 

the public wish to provide comments to 

the Commission that bear on protecting 

the health and safety of horses or the 

integrity of horseraces and wagering on 

horseraces but do not discuss whether 

HISA’s proposed rule on Enforcement is 

consistent with the Act or the applicable 

rules, they should not submit a 

comment here. Instead, they are 

encouraged to submit a petition 

requesting that the Commission issue an 

interim final rule addressing the subject 

of interest. The petition must meet all 

the criteria established in the Rules of 

Practice (Part 1, Subpart D); 12 if it does, 

the petition will be published in the 

Federal Register for public comment. In 

particular, the petition for an interim 

final rule must ‘‘identify the problem 

the requested action is intended to 

address and explain why the requested 

action is necessary to address the 

problem.’’ 13 As relevant here, the 

petition should provide sufficient 

information for the public to comment 

on, and for the Commission to find, that 

the requested interim final rule is 

‘‘necessary to protect—(1) the health 

and safety of covered horses; or (2) the 

integrity of covered horseraces and 

wagering on those horseraces.’’ 14

VIII. Comment Submissions 

You can file a comment online or on 

paper. For the Commission to consider 

your comment, we must receive it on or 

before February 9, 2022. Write ‘‘HISA 

Enforcement’’ on your comment. Your 

comment—including your name and 

your state—will be placed on the public 

record of this proceeding, including, to 

the extent practicable, on the website 

https://www.regulations.gov. 

Because of the public health 

emergency in response to the COVID–19 

outbreak and the Commission’s 

heightened security screening, postal 

mail addressed to the Commission will 

be subject to delay. We strongly 

encourage you to submit your comments 

online through the https://

www.regulations.gov website. To ensure 

that the Commission considers your 

online comment, please follow the 

instructions on the web-based form. 

If you file your comment on paper, 

write ‘‘HISA Enforcement’’ on your 

comment and on the envelope, and mail 

your comment to the following address: 

Federal Trade Commission, Office of the 

Secretary, 600 Pennsylvania Avenue 

NW, Suite CC–5610 (Annex B), 

Washington, DC 20580, or deliver your 

comment to the following address: 

Federal Trade Commission, Office of the 

Secretary, Constitution Center, 400 7th 

Street SW, 5th Floor, Suite 5610 (Annex 

B), Washington, DC 20024. If possible, 

please submit your paper comment to 

the Commission by courier or overnight 

service. 

Because your comment will be placed 

on the public record, you are solely 

responsible for making sure that your 

comment does not include any sensitive 

or confidential information. In 

particular, your comment should not 

contain sensitive personal information, 

such as your or anyone else’s Social 

Security number; date of birth; driver’s 

license number or other state 

identification number or foreign country 

equivalent; passport number; financial 

account number; or credit or debit card 

number. You are also solely responsible 

for making sure your comment does not 

include any sensitive health 

information, such as medical records or 

other individually identifiable health 

information. In addition, your comment 

should not include any ‘‘[t]rade secret or 

any commercial or financial information 

which . . . is privileged or 

confidential’’—as provided in Section 

6(f) of the FTC Act, 15 U.S.C. 46(f), and 

FTC Rule § 4.10(a)(2), 16 CFR 

4.10(a)(2)—including in particular 

competitively sensitive information 

such as costs, sales statistics, 

inventories, formulas, patterns, devices, 

manufacturing processes, or customer 

names. 

Comments containing material for 

which confidential treatment is 

requested must be filed in paper form, 

must be clearly labeled ‘‘Confidential,’’ 

and must comply with FTC Rule 

§ 4.9(c), 16 CFR 4.9(c). In particular, the 

written request for confidential 

treatment that accompanies the 

comment must include the factual and 

legal basis for the request and must 

identify the specific portions of the 

comment to be withheld from the public 

record. See FTC Rule § 4.9(c). Your 

comment will be kept confidential only 

if the General Counsel grants your 

request in accordance with the law and 

the public interest. Once your comment 

has been posted publicly at 


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4028 Federal Register / Vol. 87, No. 17 / Wednesday, January 26, 2022 / Notices 

15The Commission notes that the 3000 Series and 

7000 Series rules have not yet been proposed by the 

Authority. This and other cross-references to 

forthcoming rule proposals will be effective if such 

rules are proposed by the Authority and approved 

by the Commission under the same process as this 

proposed rule. The 2000 Series rules were 

published in the Federal Register on January 5, 

2022. 87 FR 435. 

www.regulations.gov—as legally 

required by FTC Rule § 4.9(b), 16 CFR 

4.9(b)—we cannot redact or remove 

your comment, unless you submit a 

confidentiality request that meets the 

requirements for such treatment under 

FTC Rule § 4.9(c), and the General 

Counsel grants that request. 

Visit the FTC website to read this 

document and the news release 

describing it. The FTC Act and other 

laws that the Commission administers 

permit the collection of public 

comments to consider and use in this 

proceeding as appropriate. The 

Commission will consider all timely 

and responsive public comments it 

receives on or before February 9, 2022. 

For information on the Commission’s 

privacy policy, including routine uses 

permitted by the Privacy Act, see 

https://www.ftc.gov/siteinformation/ 

privacypolicy. 

IX. Communications by Outside Parties 

to the Commissioners or Their Advisors 

Written communications and 

summaries or transcripts of oral 

communications respecting the merits 

of this proceeding, from any outside 

party to any Commissioner or 

Commissioner’s advisor, will be placed 

on the public record. See 16 CFR 

1.26(b)(5). 

X. Self-Regulatory Organization’s 

Proposed Rule Language 

Rule 8000 Series—Violations, 

Sanctions, Hearing Procedures, and 

Investigatory Powers 

8100 Violations 

8200 Schedule of Sanctions for 

Violations; Consent Decrees; Notice 

of Suspected or Actual Violation 

8300 Disciplinary Hearings and 

Accreditation Procedures 

8310 Application 

8320 Adjudication of Violations of 

Established in the Rule 2200 Series 

8330 Adjudication of Rule 8100 

Violations 

8340 Initial Hearings Conducted 

Before the Racetrack Safety 

Committee or the Board of the 

Authority 

8350 Appeal to the Board 

8360 Accreditation Procedures 

8370 Final Civil Sanction 

8400 Investigatory Powers 

8000. Violations, Sanctions, Hearing 

Procedures, and Investigatory Powers 

8100. Violations 

Violations under this Rule shall 

include: 

(a) Failure to cooperate with the 

Authority or an agent of the Authority 

during any investigation; 

(b) Failure to respond truthfully, to 

the best of a Covered Person’s 

knowledge, to a question of the 

Authority or an agent of the Authority 

with respect to any matter under the 

jurisdiction of the Authority; 

(c) Tampering or attempted tampering 

with the application of the safety, 

performance, or anti-doping and 

medication control rules or process 

adopted by the Authority, including: 

(1) Intentional interference, or an 

attempt to interfere, with an official or 

agent of the Authority; 

(2) Procurement or the provision of 

knowingly false information to the 

Authority or agent of the Authority; and 

(3) The intimidation of, or an attempt 

to intimidate, a potential witness; 

(d) Assisting, encouraging, aiding, 

abetting, conspiring, covering up, or any 

other type of intentional complicity 

involving a racetrack safety violation, or 

the violation of a period of suspension 

or ineligibility; 

(e) Threatening or seeking to 

intimidate a person with the intent of 

discouraging the person from the good 

faith reporting to the Authority, an agent 

of the Authority or the Commission, of 

information that relates to: 

(1) A suspected or alleged violation of 

a rule in the Rule 2200 Series; or 

(2) a suspected or alleged 

noncompliance with a rule in the Rule 

2200 Series; 

(f) Failure to comply with a written 

order or ruling of the Authority or an 

agent of the Authority pertaining to a 

racing matter or investigation; 

(g) Failure to register with the 

Authority, making a knowingly false 

statement or omission of information in 

an application for registration with the 

Authority, or failure to advise the 

Authority of material changes in the 

application information as required 

under any provision in Authority 

regulations; 

(h) Perpetrating or attempting to 

perpetrate a fraud or misrepresentation 

in connection with the care or racing of 

a Covered Horse; 

(i) Failure to remit fees as required 

under 15 U.S.C. 3052(f)(3); and 

(j) Failure by a Racetrack to collect 

equitable allocation amounts among 

Covered Persons in conformity with the 

funding provisions of 15 U.S.C. 

3052(f)(3) and any rules pertaining 

thereto. 

8200. Schedule of Sanctions for 

Violations; Consent Decrees; Notice of 

Suspected or Actual Violation 

(a) Application. This Schedule shall 

apply to any violation of, or failure to 

comply with, the Act or regulations 

promulgated by the Authority by a 

Covered Person, except for: 

(1) Anti-doping and medication 

control rule violations as established in 

the Rule 3000 Series; 15 and 

(2) State laws or regulations not preempted by 15 U.S.C. 3054(b). 

(b) Imposition of Sanction. The 

Authority, the Racetrack Safety 

Committee, the stewards, any steward or 

body of stewards selected from the 

National Stewards Panel, or an Arbitral 

Body, after any hearing required to be 

conducted in accordance with the Rule 

7000 Series and upon finding a 

violation or failure to comply with the 

regulations of the Authority with the 

exceptions identified in paragraph (a), 

may impose one or more of the 

following sanctions on a Covered Person 

for each violation of the rules of the 

Authority: 

(1) For a violation of Rule 2271(b) or 

2272 relating to the use of Shock Wave 

Therapy, a violation of Rule 2273 

relating to the use of other electrical or 

mechanical devices, or a violation of 

Rule 2280 relating to the use of the 

riding crop, impose the penalties set 

forth in Rules 2272, 2274, 2282, and 

2283; 

(2) impose a fine upon a Covered 

Person in the following amounts: 

(i) Up to $50,000.00 for a first 

violation, or 

(ii) from $50,000.00 to $100,000.00 for 

a second violation of the same or similar 

nature to a prior violation, or any 

violation that due to its nature, 

chronicity, or severity poses an actual or 

potential threat of harm to the safety, 

health, and welfare of Covered Persons, 

Covered Horses, or the integrity of 

Covered Horseraces; 

(3) deny or suspend the registration of 

a Covered Person for a definite period, 

probationary period, or a period 

contingent on the performance of a 

particular act; 

(4) revoke the registration of a 

Covered Person subject to reapplication 

at a specified date; 

(5) impose a lifetime ban from 

registration with the Authority; 

(6) bar a Covered Person from 

associating with all Covered Persons 

concerning any matter under the 

jurisdiction of the Commission and the 

Authority during the period of a 

suspension; 


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(7) impose a temporary or permanent 

cease and desist order against a Covered 

Person; 

(8) require a Covered Person as a 

condition of participation in horseracing 

to take any remedial or other action that 

is consistent with the safety, welfare, 

and integrity of Covered Horses, 

Covered Persons, and Covered 

Horseraces; 

(9) deny or require the forfeiture of 

purse money, disqualify a horse, or 

make changes to the order of finish in 

Covered Races as consistent with the 

safety, welfare, and integrity of Covered 

Horses, Covered Persons, and Covered 

Horseraces; 

(10) censure a Covered Person; 

(11) prohibit a Racetrack from 

conducting any Covered Horserace; or 

(12) impose any other sanction as a 

condition of participation in horseracing 

as deemed appropriate by the Authority 

in keeping with the seriousness of the 

violation and the facts of the case, and 

that is consistent with the safety, 

welfare, and integrity of Covered 

Horses, Covered Persons, and Covered 

Horseraces. 

(c) Consent Decrees. The Authority 

shall have the discretion to enter into a 

consent decree or other similar 

agreement with a Covered Person as 

necessary to promote the safety, welfare, 

and integrity of Covered Horses, 

Covered Persons, and Covered 

Horseraces. 

(d) Notice of Suspected or Actual 

Violation. 

(1) The Authority or the Racetrack 

Safety Committee may issue a Notice of 

Suspected or Actual Violation to a 

Covered Person in any case in which the 

Authority has reason to believe that the 

Covered Person has violated or has 

failed to comply any provision of 

regulations of the Authority. The notice 

shall: 

(i) Identify the provision or provisions 

which the Covered Person is believed to 

have violated; 

(ii) specify with reasonably 

particularity the factual basis of the 

Authority’s belief that the provision has 

been violated; and 

(iii) provide the Covered Person at 

least 7 days to respond, or a longer 

period as deemed appropriate and 

specified in the Notice by the Authority 

based upon the seriousness of the 

violation or the imminence of risk. 

(2) Upon receipt of the Notice of 

Suspected or Actual Violation, the 

Covered Person shall respond in writing 

to the Authority within the time period 

specified in the notice. The Covered 

Person shall include in the response: 

(i) A statement by the Covered Person 

admitting the violation, or explaining 

the reasons why the Covered Person 

believes that a violation has not 

occurred; 

(ii) all relevant details concerning the 

circumstances of the suspected or actual 

violation, including the results of any 

investigation undertaken by the Covered 

Person of the circumstances, and 

identification of any persons 

responsible for the circumstances; and 

(iii) a detailed explanation of any 

remedial plan the Covered Person 

proposes to undertake to cure the 

suspected or actual violation, and the 

date of the expected completion of the 

remedial plan. 

8300. Disciplinary Hearings and 

Accreditation Procedures 

8310. Application 

An alleged violation or failure to 

comply with the provisions of the Rule 

2200 Series and any alleged violation of 

the rules set forth in Rule 8100 shall be 

adjudicated in accordance with this 

Rule 8300 Series, except that: 

(a) An alleged violation of the antidoping and medication control rule 

provisions in the Rule 3000 Series shall 

be adjudicated in accordance with the 

procedures set forth therein; and 

(b) This regulation shall not apply to 

the adjudication of violations arising 

under state laws, racing rules, and 

regulations not preempted under 15 

U.S.C. 3054(b). 

8320. Adjudication of Violations of 

Established in the Rule 2200 Series 

(a) Any ruling by the stewards finding 

a violation of Rule 2271(b) or 2272 

relating to the use of Shock Wave 

Therapy, a violation of Rule 2280 

relating to the use of the riding crop, or 

a violation of Rule 2273 relating to the 

use of other electrical or mechanical 

devices, may be appealed to the Board 

of the Authority under the procedures 

described in Rule 8330. An appeal shall 

be filed in writing within 10 days of the 

issuance of the ruling by the stewards. 

(b) With regard to any matter 

involving an alleged violation of a rule 

in the Rule 2200 Series other than those 

set forth in paragraph (a) above, the 

Racetrack Safety Committee may, at its 

discretion and taking into account the 

seriousness of the alleged violation and 

the facts of the case: 

(1) Refer the matter to the National 

Stewards Panel for adjudication in 

conformity with the procedures 

established in the Rule 7000 Series; 

(2) Refer the matter to an independent 

Arbitral Body for adjudication in 

conformity with the procedures 

established in the Rule 7000 Series; 

(3) Refer the matter to the stewards for 

adjudication in accordance with the 

procedures of the applicable state 

jurisdiction; or 

(4) Conduct a hearing upon the matter 

itself, under the procedures set forth in 

Rule 8340. 

8330. Adjudication of Rule 8100 

Violations 

With regard to any matter involving 

an alleged violation of a rule established 

in Rule 8100, the Board of the Authority 

may at its discretion and taking into 

account the seriousness of the violation 

and the facts of the case: 

(a) Refer the matter to the National 

Stewards Panel for adjudication in 

conformity with the procedures 

established in the Rule 7000 Series; 

(b) Refer the matter to an independent 

Arbitral Body for adjudication in 

conformity with the procedures 

established in the Rule 7000 Series; 

(c) Refer the matter to the stewards for 

adjudication in accordance with the 

procedures of the applicable state 

jurisdiction; or 

(d) Conduct a hearing upon the matter 

itself, under the procedures set forth in 

Rule 8340. 

8340. Initial Hearings Conducted Before 

the Racetrack Safety Committee or the 

Board of the Authority 

(a) An initial hearing before the Board 

shall be conducted by a panel of three 

Board members. The Board chair shall 

appoint the panel members and shall 

also designate one of them as the chair 

of the panel. 

(b) An initial hearing before the 

Racetrack Safety Committee shall be 

heard by a quorum of the Racetrack 

Safety Committee. The Racetrack Safety 

Committee chair shall act as the chair of 

the hearing panel unless the Chair is 

unavailable, in which case the Racetrack 

Safety Committee chair shall designate 

a member of the quorum to act as the 

chair of the panel. 

(c) Persons entitled to notice of a 

hearing before the Board or the 

Racetrack Safety Committee shall be 

informed not less than twenty (20) days 

prior to the hearing of: 

(1) The time, place, and nature of the 

hearing; 

(2) the legal authority and jurisdiction 

under which the hearing is to be held; 

(3) a description of the alleged 

violation, specifying by number the rule 

allegedly violated; and 

(4) a statement of the factual basis of 

the alleged violation in sufficient detail 

to provide adequate opportunity to 

prepare for the hearing. 

(d) At any time prior to, during, or 

after the hearing, the Board or the 

Racetrack Safety Committee in its 

discretion may require the submission 


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of written briefs or other information as 

will assist in the hearing of the matter. 

(e) All testimony in proceedings 

before the Board or the Racetrack Safety 

Committee shall be given under oath. 

(f) The burden of proof shall be on the 

party alleging the violation to show, by 

a preponderance of the evidence, that 

the Covered Person has violated or 

failed to comply with a provision of or 

is responsible for a violation of a 

provision of the Authority’s regulations. 

(g) The Board or the Racetrack Safety 

Committee shall allow a full 

presentation of evidence and shall not 

be bound by the technical rules of 

evidence. However, the Board or the 

Racetrack Safety Committee may 

disallow evidence that is irrelevant or 

unduly repetitive of other evidence. The 

Board or the Racetrack Safety 

Committee shall have the authority to 

determine, in its sole discretion, the 

weight and credibility of any evidence 

or testimony. The Board or the 

Racetrack Safety Committee may admit 

hearsay evidence if it determines the 

evidence is of a type that is commonly 

relied on by reasonably prudent people. 

Any applicable rule of privilege shall 

apply in hearings before the Board or 

the Committee. 

(h) A party is entitled to present his 

case or defense by oral or documentary 

evidence, to submit rebuttal evidence, 

and to conduct such limited crossexamination as may be required for a 

full and true disclosure of the facts. 

(i) The Board or the Racetrack Safety 

Committee shall issue to all parties 

within 30 days of the close of the 

hearing a written decision setting forth 

findings of fact, conclusions of law and 

the disposition of the matter including 

any penalty imposed. If the thirtieth day 

falls on a Saturday, Sunday, or holiday, 

then the written decision shall be issued 

on the next working day immediately 

following the Saturday, Sunday, or 

holiday. 

8350. Appeal to the Board 

(a) Any decision rendered by the 

Racetrack Safety Committee, the 

stewards, the National Stewards Panel, 

or an Arbitral Body, may be appealed on 

the record to the Board. The decision 

may be appealed by a party to the 

decision, or the decision may be 

reviewed upon the Board’s own 

initiative and at its discretion. 

(b) Any decision rendered by an 

initial Board hearing panel may be 

appealed on the record to the Board, to 

be heard by a quorum of the Board 

which shall not include the Board 

members who were on the panel in the 

initial hearing. The decision may be 

appealed by a party to the decision, or 

the decision may be reviewed upon the 

Board’s own initiative and at its 

discretion. 

(c) An appeal shall not automatically 

stay the decision. A party may request 

the Board to stay the decision. The 

Board shall order a stay for good cause 

shown. 

(d) A party to the decision may appeal 

to the Board by filing with the Board a 

written request for an appeal within 10 

days of receiving a written order. The 

appeal request shall contain the 

following information: 

(1) The name, address, and telephone 

number, if any, of the appellant; 

(2) a description of the objections to 

the decision; 

(3) a statement of the relief sought; 

and 

(4) whether the appellant desires to be 

present in person at the hearing of the 

appeal. 

(e) The Board shall set a date, time, 

and place for the hearing. Notice shall 

be given to the appellant in writing and 

shall set out the date, time, and place of 

the hearing, and shall be served 

personally or sent by electronic or U.S. 

mail to the last known address of the 

appellant. If the appellant objects to the 

date of the hearing, the appellant may 

obtain a continuance, but the 

continuance shall not automatically stay 

imposition of a sanction or prolong a 

stay issued by the Board. 

(f) Upon review of the decision which 

is the subject of the appeal, the Board 

shall uphold the decision unless it is 

clearly erroneous or not supported by 

the evidence or applicable law. 

(g) Upon completing its review, the 

Board may: 

(1) Accept the decision; 

(2) Reject or modify the decision, in 

whole or in part; 

(3) Remand the matter, in whole or in 

part, to the stewards, Racetrack Safety 

Committee, the National Stewards 

Panel, or an Arbitral Body, as the case 

may be, for further proceedings as 

appropriate; or 

(4) Conduct further proceedings on 

the matter as appropriate, including but 

not limited to requiring the submission 

of written briefs or, in extraordinary 

circumstances and at the Board’s 

discretion, the taking of additional 

testimony before the Board under oath. 

(h) The Board shall issue its written 

decision based on the record and any 

further proceedings or testimony. A 

copy of the Board’s decision shall be 

served upon all parties by first class 

mail, electronic mail, or personal 

service. 

(i) The decision of the Board shall be 

the final decision of the Authority. 

8360. Accreditation Procedures 

(a) Any decision issued by the 

Authority denying or revoking racetrack 

accreditation may: 

(1) Be appealed within 10 days by the 

Racetrack to the Authority for a de novo 

hearing reviewing the Authority’s 

decision; or 

(2) Reviewed by the Authority on its 

own initiative. 

(b) The Authority’s order revoking 

accreditation shall be stayed 

automatically pending review of the 

decision by the Authority. 

(c) At its discretion, the Authority 

may request and consider any 

additional information from any source 

that may assist in the review. 

(d) The Racetrack may request to 

make a presentation before the 

Authority concerning racetrack safety 

and any remedial efforts proposed to be 

undertaken by the Racetrack. At its 

discretion, the Authority may permit the 

Racetrack to make such presentation. 

(e) In conducting its review, that 

Authority may consider all factors that 

it deems appropriate, including but not 

limited to: 

(1) The extent and magnitude of any 

deficiencies in racetrack operations 

conducted at the Racetrack; 

(2) The threat posed by the 

deficiencies to the safety and integrity of 

horseracing conducted at the Racetrack; 

(3) The adequacy of the efforts the 

Racetrack proposes to undertake or has 

undertaken to remedy all deficiencies at 

the Racetrack; 

(4) The likelihood and timeframe 

within which compliance will be 

achieved by the Racetrack, given the 

resources available to the Racetrack and 

the past record of the Racetrack in 

achieving and maintaining compliance 

with the rules of the Authority; and 

(5) Any other factors the Authority 

deems relevant to its review. 

(f) Upon completing its review, the 

Authority may take one or more of the 

following actions: 

(1) Order that the Racetrack’s 

accreditation be denied or revoked, 

upon a vote in favor of denial or 

revocation by two-thirds of a quorum of 

the members of the Authority; 

(2) Reinstate accreditation subject to 

any requirements the Authority deems 

necessary to ensure that horseracing 

will be conducted in a manner 

consistent with racetrack safety and 

integrity. The Authority may also 

impose a fine upon reinstatement in 

amount not to exceed $50,000.00. The 

Authority may require the Racetrack to 

report at prescribed intervals on the 

status of racetrack safety operations and 

remedial efforts to improve safety 


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pursuant to the Authority’s racetrack 

safety rules; or 

(3) Prohibit a Racetrack from 

conducting any Covered Horserace. 

8370. Final Civil Sanction 

Any decision rendered by the Board 

of the Authority under Rule 8350, or the 

Authority under Rule 8360, shall 

constitute a final civil sanction subject 

to appeal and review in accordance with 

the provisions of 15 U.S.C. 3058. 

8400. Investigatory Powers 

(a) The Commission, the Authority, or 

their designees: 

(1) Shall have free access to the books, 

records, offices, racetrack facilities, and 

other places of business of Covered 

Persons that are used in the care, 

treatment, training, and racing of 

Covered Horses, and to the books, 

records, offices, facilities, and other 

places of business of any person who 

owns a Covered Horse or performs 

services on a Covered Horse; and 

(2) May seize any medication, drug, 

substance, paraphernalia, object, or 

device in violation or suspected 

violation of any provision of 15 U.S.C. 

57A or the regulations of the Authority. 

(b) A Covered Person shall: 

(1) Cooperate with the Commission, 

the Authority or their designees during 

any investigation; and 

(2) Respond truthfully to the best of 

the Covered Person’s knowledge if 

questioned by the Commission, the 

Authority, or their designees about a 

racing matter. 

(c) A Covered Person or any officer, 

employee or agent of a Covered Person 

shall not hinder a person who is 

conducting an investigation under or 

attempting to enforce or administer any 

provision of 15 U.S.C. 57A or the 

regulations of the Authority. 

(d) The Commission or the Authority 

may issue subpoenas for the attendance 

of witnesses in proceedings within their 

jurisdiction and for the production of 

documents, records, papers, books, 

supplies, devices, equipment, and all 

other instrumentalities related to 

matters within the jurisdiction of the 

Commission or the Authority. 

(e) Failure to comply with a subpoena 

or with the other provisions of this Rule 

may be penalized by the imposition of 

one or more penalties set forth in Rule 

8200. 

(f) The Commission or the Authority 

may administer oaths to witnesses and 

require witnesses to testify under oath 

in matters within the jurisdiction of the 

Commission or the Authority. 

By direction of the Commission. 

Joel Christie, 

Acting Secretary. 

[FR Doc. 2022–01663 Filed 1–25–22; 8:45 am] 

BILLING CODE 6750–01–P 

GENERAL SERVICES 

ADMINISTRATION 

[OMB Control No. 3090–0246; Docket No. 

2022–0001; Sequence No. 1] 

Information Collection; General 

Services Administration Regulation; 

Packing List Clause 

AGENCY: Office of Acquisition Policy, 

General Services Administration (GSA). 

ACTION: Notice and request for 

comments. 

SUMMARY: Under the provisions of the 

Paperwork Reduction Act of 1995, GSA 

invites the public to comment on a 

request to review and approve an 

extension of a previously approved 

information collection requirement 

regarding the packing list clause. 

DATES: Submit comments on or before: 

March 28, 2022. 

ADDRESSES: Submit comments 

identified by Information Collection 

3090–0246 via http://

www.regulations.gov. Submit comments 

via the Federal eRulemaking portal by 

searching the OMB control number. 

Select the link ‘‘Submit a Comment’’ 

that corresponds with ‘‘Information 

Collection 3090–0246, Packing List 

Clause’’. Follow the instructions 

provided at the ‘‘Submit a Comment’’ 

screen. Please include your name, 

company name (if any), and 

‘‘Information Collection 3090–0246, 

Packing List Clause’’ on your attached 

document. 

Instructions: Please submit comments 

only and cite Information Collection 

3090–0246, Packing List Clause, in all 

correspondence related to this 

collection. Comments received generally 

will be posted without change to http:// 

www.regulations.gov, including any 

personal and/or business confidential 

information provided. To confirm 

receipt of your comment(s), please 

check www.regulations.gov, 

approximately two-to-three days after 

submission to verify posting. 

FOR FURTHER INFORMATION CONTACT: Mr. 

Clarence Harrison Jr, Procurement 

Analyst, at telephone 202–227–7051, or 

via email at gsarpolicy@gsa.gov. 

SUPPLEMENTARY INFORMATION: 

A. Purpose 

GSAR clause 552.211–77, Packing 

List, requires a contractor to include a 

packing list or other suitable document 

that verifies placement of an order and 

identifies the items shipped. In addition 

to information contractors would 

normally include on packing lists, the 

identification of cardholder name, 

telephone number and the term ‘‘Credit 

Card’’ is required. 

B. Annual Reporting Burdens 

Respondents: 14,923. 

Responses per Respondent: 19. 

Total Annual Responses: 283,233. 

Hours per Response: .05. 

Total Burden Hours: 14,161. 

C. Public Comments 

Public comments are particularly 

invited on: Whether this collection of 

information is necessary and whether it 

will have practical utility; whether our 

estimate of the public burden of this 

collection of information is accurate and 

based on valid assumptions and 

methodology; ways to enhance the 

quality, utility, and clarity of the 

information to be collected. 

Obtaining Copies of Proposals: 

Requesters may obtain a copy of the 

information collection documents from 

the GSA Regulatory Secretariat Division, 

by calling 202–501–4755 or emailing 

GSARegSec@gsa.gov. 

Jeffrey A. Koses, 

Senior Procurement Executive, Office of 

Acquisition Policy, Office of Governmentwide Policy. 

[FR Doc. 2022–01490 Filed 1–25–22; 8:45 am] 

BILLING CODE 6820–61–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Centers for Medicare & Medicaid 

Services 

[Document Identifier: CMS–10157 and CMS– 

R–262] 

Agency Information Collection 

Activities: Submission for OMB 

Review; Comment Request 

AGENCY: Centers for Medicare & 

Medicaid Services, Health and Human 

Services (HHS). 

ACTION: Notice. 

SUMMARY: The Centers for Medicare & 

Medicaid Services (CMS) is announcing 

an opportunity for the public to 

comment on CMS’ intention to collect 

information from the public. Under the 

Paperwork Reduction Act of 1995 

(PRA), federal agencies are required to 

publish notice in the Federal Register 

concerning each proposed collection of 

information, including each proposed 


khammond on DSKJM1Z7X2PROD with NOTICES