California-bred Thoroughbreds have historically been central to the state’s racing industry, comprising nearly half of all starters and over half of horses stabled at Southern California tracks. However, a declining foal crop threatens this dominance, with projections indicating 290 fewer Cal-bred runners between 2026 and 2028. Breeders face challenges such as high training costs, relatively stagnant purses, and competition from larger sales like Keeneland, which diminish incentives to breed locally. Key stakeholders suggest reforms including guaranteed per-start fees for Cal-breds, rescheduling the California yearling sale to coincide with peak racing enthusiasm, expanding turf stakes races for Cal-breds, and creating multi-state breeding programs to bolster regional collaboration.

Industry voices also emphasize the need for better promotion to attract younger participants, improved coordination between racing offices and breeders, and enhanced purse structures—such as extending Del Mar’s racing calendar with its lucrative purses—to provide more opportunities and financial viability. Suggestions include mandating a minimum number of Cal-bred races daily, increasing bonuses for horses purchased at California sales, and innovating race conditions to support horses with fewer recent wins. Collectively, these measures aim to revitalize California breeding by increasing owner participation, improving sales value, and fostering a sustainable racing ecosystem.