[Federal Register Volume 87, Number 95 (Tuesday, May 17, 2022)]
[Notices]
[Pages 29862-29867]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-10709]


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FEDERAL TRADE COMMISSION

[File No. P222100]


HISA Registration Rule

AGENCY: Federal Trade Commission.

ACTION: Notice of Horseracing Integrity and Safety Authority (HISA) 
proposed rule; request for public comment.

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SUMMARY: The Horseracing Integrity and Safety Act of 2020 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. 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 Registration on April 25, 2022. 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 take effect on July 1, 
2022. Comments must be received on or before May 31, 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 Registration'' on 
your comment and file your comment online at https://www.regulations.gov under docket number FTC-2022-0028. 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 and Discussion of Alternatives
III. Self-Regulatory Organization's Summary of Comments Received 
Pre-Submission and Its Responses to Those Comments
IV. Legal Authority
V. Effective Date
VI. Request for Comments
VII. Comment and Submissions
VIII. Communications by Outside Parities to the Commissioners or 
Their Advisors
IX. 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\
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    \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).
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    Pursuant to Section 3053(a) of the Horseracing Integrity and Safety 
Act of 2020 and Commission Rule 1.142, notice is hereby given that, on 
April 25, 2022, the Horseracing Integrity and Safety Authority 
(``HISA'' or the ``Authority'') filed with the Federal Trade Commission 
a proposed Registration rule and supporting documentation as described 
in Items I, II, III, IV, and IX below, which Items have been prepared 
by HISA. The Office of the Secretary of the Commission determined that 
the filing complied with the Commission's rule governing such 
submissions.\5\ The Commission publishes this notice to solicit 
comments on the proposed rule from interested persons.
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    \5\ 16 CFR 1.140 through 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).
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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. The Act specifically states that 
the Commission, the Authority, and the anti-doping medication control 
enforcement agency ``shall have safety, performance, and anti-doping 
and medication control authority over covered persons similar to such 
authority of the State racing commissions before the program effective 
date.'' State racing commissions routinely license participants in 
horse racing as a prerequisite for participation in the sport. In the 
same manner, Congress mandated in the Act that the Authority require 
the registration of Covered Persons: ``As a condition of participating 
in covered races and in the care, ownership, treatment, and training of 
covered horses, a covered person shall register with the Authority in 
accordance with rules promulgated by the Authority and approved by the 
Commission in accordance with section 3053 of this title.'' \6\
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    \6\ 15 U.S.C. 3054(d)(1).
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    In requiring the registration of Covered Persons, Congress 
recognized that the effective regulation of horseracing under the Act 
requires that Covered Persons participating in Covered Horseraces must 
be identifiable as individuals to the Authority. This is necessary for 
a number of reasons, including the need to contact a Covered Person to 
request information required under Authority rules and to initiate 
disciplinary proceedings if a Covered Person fails to comply with the 
rules. To this end, the Registration proposed rule requires a Covered 
Person to register with the Authority, providing his or her name, 
contact information, state licensing status, and other pertinent 
information to the Authority. The Registration proposed rule fulfills 
Congress's registration mandate by

[[Page 29863]]

establishing the procedures and rules under which Covered Persons 
register with the Authority. The Registration proposed rule also 
requires Covered Persons to ensure that Covered Horses for which they 
are responsible are registered with the Authority. In registering 
Covered Horses, Covered Persons must identify the location of the 
Covered Horse and provide the equine vaccine and health information 
required by Rule 2143 of the Authority's Racetrack Safety Rules. These 
requirements serve the vital function of enabling the Authority to 
quickly locate a Covered Horse if medication testing is required or if 
a Covered Horse's health and safety becomes a concern and to review the 
health and vaccine information entered into the Authority's database at 
the time of registration.
    In developing the Registration proposed rule, the Authority 
considered creating a registration system that paralleled existing 
state licensing requirements. State licensing schemes routinely require 
substantial amounts of information from a license applicant, including 
the applicant's licensing and disciplinary history, citizenship status, 
criminal history, civil judgments entered against the applicant, and 
employment status; similar information is often required regarding an 
applicant's spouse. (Attached as supporting documentation are the 
licensing rules and applications that the Authority consulted in 
developing the Registration proposed rule). Ultimately, the Authority 
opted not to fully duplicate state licensing information requirements, 
since the Authority may obtain information concerning state licensees 
from cooperating state racing commissions, the Association of Racing 
Commissioners International, and The Jockey Club. The Authority's 
Registration proposed rule therefore creates a narrower and more 
streamlined process that focuses primarily on requiring Covered Persons 
to provide and update contact information, to register Covered Horses 
as necessary, and to agree to comply with the rules, standards, and 
procedures developed and approved under 15 U.S.C. 3054(c). Certain 
categories of Covered Persons are required to submit additional 
information. Veterinarians are required to list the jurisdictions in 
which they are currently licensed by state veterinary licensing 
authorities. Jockeys are required to provide the names of the jockey 
agents who represent them, and jockey agents are in turn required to 
identify the jockeys they represent. Racetracks are required to 
identify the majority or controlling interests of the Racetrack and to 
report any changes in ownership and control to the Authority.
    The Registration proposed rule will affect Covered Persons by 
requiring them to register with the Authority and provide and update 
the information specified in the proposed rule. The Registration 
proposed rule also requires Covered Persons to agree to comply with all 
rules, standards, and procedures developed and approved under 15 U.S.C. 
3054(c). As noted previously, the registration process is necessary for 
the effective regulation of Covered Persons, but it is not overly 
burdensome and is less extensive than state licensing requirements. The 
Registration proposed rule affects Covered Horses by requiring a 
Covered Person to register with the Authority all Covered Horses for 
which the Covered Person is the Responsible Person. (The Responsible 
Person concept is more fully described below in Item II of this Notice, 
the ``Self-Regulatory Organization's Statement of the Terms of 
Substance of the Proposed Rules''). The safety and welfare of Covered 
Horses will be enhanced by their registration with the Authority, 
since, as described previously, the Authority will be able to locate a 
horse for testing and safety purposes and to review the horse health 
information provided during registration. The registration of Covered 
Horses and Covered Persons, including racetracks, will further the 
purpose of enhancing the safety, welfare, and integrity of Covered 
Persons and Covered Horses, and the safe conduct of Covered Horseraces 
will be significantly enhanced as a result.
    The Registration proposed rule is consistent with the Act in that 
it complies with and fulfills the Act's specific mandate in 15 U.S.C. 
3054(d)(1) to require the registration of Covered Persons with the 
Authority in accordance with rules promulgated by the Authority and 
approved by the Commission. The Registration proposed rule provides 
Covered Persons with the information and guidance necessary to properly 
register with the Authority, establishes certain exemptions to 
registration, requires that registration information be updated as 
necessary, and provides for the registration of Covered Horses.

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 Registration Proposed Rule and Discussion of Alternatives

    The Authority's Registration proposed rule was guided by the 
purposes and objectives of the Act, in particular the Act's explicit 
directive in 15 U.S.C. 3054(d)(1) that Covered Persons be required to 
register with the Authority in accordance with rules promulgated by the 
Authority and approved by the Commission. The Registration proposed 
rule establishes the requirements and procedures for the registration 
of Covered Persons.
    Covered Persons are required to register for 12-month periods and, 
at the end of this period, to review and update registration 
information previously submitted to the Authority. The Registration 
proposed rule sets forth the information required for a Covered Person 
to register, including name and contact information, identification of 
the states in which the Covered Person is currently licensed, and the 
occupations for which the Covered Person is licensed. The registration 
website allows a registrant to upload a copy of a currently valid 
racing license, from which the computerized registration system 
extracts information that permits the Authority to verify the 
registrant's identity and compare it with the databases of The Jockey 
Club and the Association of Racing Commissioners International. If the 
user is unable to upload a photo of the racing license, the website 
will allow the user to manually enter all required information.
    Particular provisions have been included regarding certain 
categories of Covered Persons. Veterinarians are required to identity 
those states in which they are licensed to practice veterinary 
medicine. Jockeys are required to provide the names of the jockey 
agents who represent them, and jockey agents are similarly required to 
identify the jockeys they represent. Racetracks are defined in the Act 
as Covered Persons, and are required to provide the racetrack's 
physical address, mailing address, phone number, and general delivery 
email address. In addition, racetracks are required to provide the name 
and contact information for the Director or Officer with the principal 
responsibility for conducting Covered Horseraces. This person will 
serve as the Authority's primary point of contact in communicating with 
the racetrack. Racetracks are also required to identify the majority or 
controlling ownership interests of the racetrack.

[[Page 29864]]

    The Registration proposed rule includes a provision exempting from 
the registration requirement persons performing certain functions at a 
racetrack. The exemption is set forth in paragraph (f) of the rule as 
follows: ``Vendors of goods or services and racetrack employees or 
contractors who do not have access to restricted areas of a Racetrack 
in the ordinary course of carrying out their duties are not required to 
register with the Authority. For purposes of this rule, mutuel 
employees are deemed not to have access to restricted areas of a 
Racetrack.''
    The Act, in 15 U.S.C. 3054(d)(2), specifically requires that 
registration include ``an agreement by the covered person to be subject 
to and comply with the rules, standards, and procedures developed and 
approved under [15 U.S.C. 3054(c)].'' The Registration proposed rule 
includes a provision that requires a Covered Person to agree to these 
rules, standards, and procedures, and further states that these rules, 
standards, and procedures are set forth in the Authority's Rule 8000 
Series. The Authority's registration website also requires the Covered 
Person to affirm this agreement and provides a link to the Rule 8000 
Series if the Covered Person desires to read the rules.
    The Registration proposed rule further requires that the 
information provided by a Covered Person be complete and correct, and 
it requires Covered Persons to update registration information to 
accurately report any material changes in the information required for 
registration. The Registration proposed rule also establishes penalties 
for failure to register with the Authority, for making a knowingly 
false statement or omission of information in an application for 
registration with the Authority, and for failure to advise the 
Authority of material changes in information provided to the Authority 
as required under any provision in Authority rules.
    The Act defines Covered Horse at 15 U.S.C. 3051(4).\7\ A key 
requirement in the Authority's regulation scheme is that all Covered 
Horses shall have at all times a Responsible Person who is ultimately 
responsible for the safety and welfare of the Covered Horse. The 
definition of Responsible Person was developed by the Racetrack Safety 
Committee and is set forth in the Racetrack Safety and Accreditation 
Rule 2000 Series.\8\ The Registration proposed rule requires that 
Responsible Persons, as defined in Rule 2010 of the Racetrack Safety 
Rules, shall ensure that Covered Horses are registered with the 
Authority. The Registration proposed rule specifies the information to 
be submitted, including the Covered Horse's name and year of birth, the 
dam of the Covered Horse, the ID number of the Owner of the covered 
Horse, the horse's location and Vaccine and Health Information required 
in Rule 2143 of the Racetrack Safety Regulations, and other information 
reasonably required by the Authority to fulfill its statutory duties 
under the Act. The Registration proposed rule also makes clear that 
failure to register a Covered Horse shall constitute a violation and is 
subject to the sanctions set forth in Rule 8200 and the disciplinary 
procedures set forth in Rule 8300.
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    \7\ 15 U.S.C. 3051(4) (``Covered Horse. The term `covered horse' 
means any Thoroughbred horse, or any other horse made subject to 
this chapter by election of the applicable State racing commission 
or the breed governing organization for such horse under section 
3054(j) of this title, during the period--(A) beginning on the date 
of the horse's first timed and reported workout at a racetrack that 
participates in covered horseraces or at a training facility; and 
(B) ending on the date on which the Authority receives written 
notice that the horse has been retired.'').
    \8\ Definition of Responsible Person in Rule 2010: ``Responsible 
Person means the individual designated in the registration with the 
Authority as the Responsible Person in accordance with the 
following: (1) For a Covered Horse that has not yet performed its 
first Workout (or competed in a Race, whichever is earlier), the 
Responsible Person shall be the Owner of the Covered Horse unless 
the Horse is in training in another country. (2) Once in training, 
the Responsible Person shall be the licensed Trainer for the Covered 
Horse. The licensed Trainer's designation as the Responsible Person 
shall be filed with the Authority. The Trainer designation must be 
kept current with the Authority. Designation transfers must be in 
writing and on record with the Authority prior to the effective date 
of the transfer, except for claiming Races in which transfers must 
be recorded the same day. (3) If a Covered Horse ceases training for 
a period of time, the designation may be transferred to the Owner 
prior to the effective date. (4) If the Owner is an entity, the 
managing Owner shall be named.''
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III. Self-Regulatory Organization's Summary of Comments Received Pre-
Submission and Its Responses to Those Comments

    As encouraged by the Commission's procedural rule, the Authority, 
before finalizing this submission to the Commission, made a draft of 
the Registration proposed rule available to the public for review and 
comment on the HISA website, https://www.hisausregs.org/. Comments on 
the Registration proposed rule were received from various individuals 
and groups in the horseracing industry.
    Some commenters urged that accommodation be made for members of the 
horseracing industry who do not have access to computers or are not 
computer literate.\9\ The Authority recognizes that this can be a 
concern. But the registration process is not complex, and assistance is 
often available from other members of the industry and from horseracing 
organizations such as the Jockey's Guild. Concerns were also expressed 
about members of the horseracing industry who do not speak English.\10\ 
The Authority is developing the website to accommodate the many 
Spanish-speaking members of the horseracing industry. One commenter 
asked whether a fee will be imposed for registration.\11\ The Authority 
will not be imposing registration fees at this time.
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    \9\ Thoroughbred Horsemen's Association (``THA'') and the 
Jockey's Guild (``Jockey's Guild'').
    \10\ THA, Jockey's Guild.
    \11\ THA.
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    One commenter offered suggested language to be added to the 
Registration proposed rule, similar to the more extensive information 
requirements of state licensing applications.\12\ Other commenters 
asked whether the Authority would collaborate with state racing 
commissions in obtaining information pertaining to HISA registrants 
that has previously been submitted to state racing commissions.\13\ 
Some commenters assumed that the HISA registration system would 
duplicate the state licensing system in many respects. As noted 
elsewhere in this filing, the Registration proposed rule will not 
require the extensive licensing, disciplinary, employment, and spousal 
information that state racing commissions routinely require, and it 
will therefore not duplicate state licensing information requirements. 
The Registration proposed rule will focus primarily on the 
identification of Covered Persons and Covered Horses. The Authority 
will collaborate with the state racing commissions and other 
organizations as needed if additional information specific to a 
particular individual is required.
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    \12\ Racing Officials Accreditation Program.
    \13\ THA, Jockey's Guild.
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    A commenter asked how information concerning horses will be kept 
current, in view of the fact that horse ownership, custody, and control 
can change frequently.\14\ The commenter asked whether it is realistic 
to assume that owners and trainers will be in frequent contact with 
HISA to update ownership and control. The commenter asked whether this 
information can be obtained directly from the racetracks through their 
internal systems or InCompass. In response to these

[[Page 29865]]

comments, the Authority notes that the InCompass system records the 
name of the trainer at the time of entry and of racing but does not 
track the identity of the trainer at any other time. The Authority 
believes that the registration of horses is vital to securing horse 
safety and welfare and that the requirements placed upon Responsible 
Persons are not unreasonable or burdensome. The Authority's website 
registration system has been specifically designed to be user-friendly 
and to make registration a relatively simple and time-efficient 
process. The commenter asked several questions as to how personal 
information will be maintained and the privacy of rights of individual 
secured. The Authority has developed privacy policies and a terms-and-
conditions policy that will govern these matters.
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    \14\ THA.
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    A commenter asked whether certain classes of individuals are 
Covered Persons required to register, including personnel working for 
horsemen's organizations and suppliers who have access to certain areas 
of the racetrack. In response, the Authority states that the 
Registration proposed rule and the exemption provision in paragraph 
9000(f) of the rule make clear those persons who are required to 
register. Another commenter offered suggestions to clarify the language 
in an early draft of the Registration proposed rule concerning persons 
who are exempted from registration.\15\ The suggestions were helpful to 
the Authority in finalizing the language in the registration exemption.
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    \15\ Colonial Downs.
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    A commenter asked whether Covered Persons will include jockeys 
engaged in quarter horse racing.\16\ Currently, quarter horse racing is 
not subject to the Act. Quarter horse jockeys will not be required to 
register, unless they participate in thoroughbred races.\17\
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    \16\ Jockey's Guild.
    \17\ The Act defines jockey as ``a rider or driver of a covered 
horse in covered horseraces.'' 15 U.S.C. 3051(12).
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    A commenter asked whether the current penalty structure in Rule 
8300, which authorizes penalties of up to $50,000.00 for a first 
violation, can be tailored to the specific violations of the 
Registration proposed rule, including the failure to update contact 
information.\18\ The commenter noted that some of the penalties would 
be excessive as applied to a person who fails to update contact 
information. The Authority believes that the current penalty structure, 
which offers considerable flexibility in tailoring penalties to the 
nature of a violation, will not result in excessive penalties for 
failure to update contact information or other violations.
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    \18\ Jockey's Guild.
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    A commenter asked whether changes in jockey and agent 
relationships, which are currently provided to the racing office or 
stewards at the track where the jockey is riding, can be automatically 
updated.\19\ In response, the Authority states that it would be 
impractical to attempt to obtain this information from every racetrack 
in operation in the United States. The HISA website provides a 
centralized method of obtaining the information, and it is a simple 
process for jockeys and jockey agents to record and update the required 
information on the website.
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    \19\ Jockey's Guild.
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    One commenter asked to be kept informed as to whether horses at the 
two-year-old training sales will be considered Covered Horses.\20\ 
Pursuant to 15 U.S.C. 3051(4) and Rule 2010, a horse is not a Covered 
Horse until the horse's first timed and reported workout. Workouts at 
two-year-old training sales are not considered timed and reported 
workouts. It is possible that the Authority may be addressing this 
issue in the anti-doping and medication control rules, which will be 
published at a future date.
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    \20\ American Association of Equine Practitioners.
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    One commenter noted that owners do not always receive photo IDs 
from the various state racing commissions by which they are 
licensed.\21\ The HISA registration system does not require that a 
license contain a photo of the licensee. The commenter also noted that 
the National Racing License issued by the National Racing Compact is 
not a physical document that can be uploaded. In response to this 
comment and to avoid confusion, the Authority deleted a reference to 
the National Racing License in the Registration proposed rule.
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    \21\ Maryland Racing Commission.
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    Several commenters offered suggestions concerning helpful minor 
adjustments of the language used in early drafts of the Registration 
proposed rule. These comments were carefully reviewed, and several of 
the changes were incorporated into the draft Registration proposed rule 
as it developed into its final form.\22\
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    \22\ The Jockey Club, Racing Officials Accreditation Program.
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IV. Legal Authority

    This rule is proposed by the Authority for approval or disapproval 
by the Commission under 15 U.S.C. 3053(c)(1).

V. Effective Date

    If approved by the Commission, this proposed rule will take effect 
on July 1, 2022.

VI. 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 https://www.regulations.gov under docket number FTC-2022-0028.
    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.'' \23\ 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.
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    \23\ 15 U.S.C. 3053(c)(2).
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    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.'' 
\24\ 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 Registration is consistent with 
the Act or the applicable rules, they should not submit a

[[Page 29866]]

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); \25\ 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.'' 
\26\ 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.'' \27\
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    \24\ 15 U.S.C. 3053(e).
    \25\ 16 CFR 1.31; see Fed. Trade Comm'n, Procedures for 
Responding to Petitions for Rulemaking, 86 FR 59851 (Oct. 29, 2021).
    \26\ 16 CFR 1.31(b)(3).
    \27\ 15 U.S.C. 3053(e).
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VII. 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 May 31, 2022. 
Write ``HISA Registration'' 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 Registration'' 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 https://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 May 31, 
2022. For information on the Commission's privacy policy, including 
routine uses permitted by the Privacy Act, see https://www.ftc.gov/siteinformation/privacypolicy.

VIII. 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).

IX. Self-Regulatory Organization's Proposed Rule Language

    9000. Registration of Covered Persons and Covered Horses.
    (a) Registration Requirement for Covered Persons. A Covered Person 
as defined by 15 U.S.C. 3051(6) shall register with the Authority in 
accordance with this rule on the Horseracing Integrity and Safety 
Authority website at https://portal.hisausapps.org/registration. At the 
end of each successive twelve-month period, calculated from the date of 
a Covered Person's initial registration, a Covered Person shall be 
required to review the accuracy of information previously submitted on 
the website and to update the information as necessary. An individual 
who is no longer a Covered Person may request the Authority to have his 
or her name removed from registration with Authority.
    (b) Information Required for Registration of Covered Persons. The 
following information shall be provided by all Covered Persons who 
register as individuals with the Authority:

    (1) The Covered Person's name, physical address, and permanent 
mailing address;
    (2) The Covered Person's mobile phone number or email address, 
or both if available;
    (3) Identification of all racing jurisdictions in which the 
Covered Person is currently licensed and the occupation(s) for which 
the Covered Person is licensed;
    (4) An image of at least one currently valid license issued to 
the Covered Person by a racing regulatory authority; and
    (5) Any other information reasonably required by the Authority 
to fulfill its statutory duties under the Act.

    (c) Jockeys and Jockey Agents. Jockeys shall identify the Jockey 
agents who represent them. Jockey agents shall identify the Jockeys 
whom they represent.
    (d) Veterinarians. A Covered Person who registers as a veterinarian 
shall also list the jurisdictions in which the registrant is currently 
licensed by state veterinary licensing authorities.
    (e) Racetracks. A Racetrack licensed by a state racing commission 
to conduct

[[Page 29867]]

Covered Horseraces as defined by 15 U.S.C. 3051(5) shall register with 
the Authority, and shall provide and update as necessary the following 
information:

    (1) The name and contact information, including email address 
and direct phone number, of the Director or Officer with principal 
responsibility for conducting Covered Horseraces to serve as the 
contact person for the Racetrack;
    (2) The Racetrack's physical address, mailing address, phone 
number, and general delivery email address; and
    (3) Identification of the majority or controlling ownership 
interests of the Racetrack. Any change in the majority or 
controlling ownership interests or control of a Racetrack shall 
constitute a material change and shall be reported to the Authority 
within 30 days of the change.

    (f) Registration exemptions. Vendors of goods or services and 
racetrack employees or contractors who do not have access to restricted 
areas of a Racetrack in the ordinary course of carrying out their 
duties are not required to register with the Authority. For purposes of 
this rule, mutuel employees are deemed not to have access to restricted 
areas of a Racetrack.
    (g) Agreement with respect to Authority rules, standards, and 
procedures. Pursuant to 15 U.S.C. 3054(d) of the Act, a Covered Person 
who registers with the Authority shall agree to be subject to and 
comply with the rules, standards, and procedures of the Authority 
developed and approved under 15 U.S.C. 3054(c). These rules, standards, 
and procedures are set forth in the Rule 8000 Series.
    (h) Accuracy of and Changes to Registration Information.

    (1) Complete and Correct Information. Information provided by a 
Covered Person in the course of registration shall be complete and 
correct.
    (2) Material Changes in Registration Information. A Covered 
Person registered with the Authority shall update registration 
information to accurately report any material changes in any 
information required for registration by the Authority.
    (3) Penalties. As set forth in Rule 8100(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 
information provided to the Authority as required under any 
provision in Authority rules shall constitute a violation and shall 
be subject to the sanctions set forth in Rule 8200 and the 
disciplinary procedures set forth in Rule 8300.

    (i) Registration of Covered Horses. Responsible Persons as defined 
in Rule 2010 shall ensure that Covered Horses as defined by 15 U.S.C. 
3051(4) are registered with the Authority. The following information 
shall be provided by all Covered Persons who register horses with the 
Authority:

    (1) The Covered Horse's name and year of birth;
    (2) The name of the dam of the Covered Horse;
    (3) The ID number of the Owner of the Covered Horse;
    (4) The location of the Covered Horse;
    (5) The Vaccine and Health Information required by Rule 2143; 
and
    (6) Any other information reasonably required by the Authority 
to fulfill its statutory duties under the Act.

    (j) Penalty for Failure to Register a Covered Horse. Failure by a 
Responsible Person to register a Covered Horse with the Authority shall 
constitute a violation and shall be subject to the sanctions set forth 
in Rule 8200 and the disciplinary procedures set forth in Rule 8300.

    By direction of the Commission.
Joel Christie,
Acting Secretary.
[FR Doc. 2022-10709 Filed 5-16-22; 8:45 am]
BILLING CODE 6750-01-P