1. Use of Funds 

• 100% of OPT IN fees collected for a given foal crop will be applied to that crop’s designated eligibility year. 

• Funds will be deposited into a separate, interest-bearing account, most likely a Certificate of Deposit (CD). 

2. Purse Funding 

• The total purse for each eligibility year will consist of: 

• OPT IN fees collected for that crop, plus 

• Any interest earned, minus 

• Any applicable bank or administrative fees. 

3. Eligibility 

• Only foals from participating stallions that have been properly OPTED IN with payment received and cleared prior to the published deadline will be eligible to compete for that crop’s purse. 

• Proof of sire participation and OPT IN confirmation will be required before eligibility is recognized. 

4. Refunds 

• OPT IN fees are non-refundable once processed, regardless of changes in ownership, horse status, or event outcomes. 

5. Event Allocations and Rollovers 

• Each crop purse is allocated across designated events and/or divisions. 

• If an event does not meet minimum entry requirements (e.g., insufficient horses to award the allocation), the funds allocated to that event will be re-distributed to the other eligible winning horses within that foal crop year. 

• No funds from one foal crop will roll into another foal crop. 

6. Tax Reporting 

• No purse payouts will be issued without a completed IRS Form W-9 on file. 

• All tax liabilities associated with purse winnings are the sole responsibility of the recipient. 

7. Transparency 

• SDP Buffalo Ranch (administrator of the SDP Breeders Bonus) will provide periodic reporting on purse balances and distributions. 

• Final payout amounts will be published following the completion of each eligibility year. 

8. Payouts 

• All purse payouts will be made directly to the breeder of record at time of foaling, unless otherwise documented through approved transfer of rights. 

9. Discretionary Authority 

• SDP Buffalo Ranch reserves the right to determine account structures, purse allocation adjustments, and resolutions for unforeseen circumstances not specifically addressed herein. 

• Any disputes shall be resolved at the sole discretion of the program administrator, and all decisions will be considered final. 

10. Governing Law 

• These Terms & Conditions shall be governed by and construed under the laws of the State of Texas.