Kentucky racing officials have agreed to a contract with a British company to establish a major lab in the state that would conduct drug testing for its horse races.

The Kentucky Horse Racing Commission voted unanimously yesterday to agree to the contract with HFL Sport Science.

The company is one of the world's top drug surveillance laboratories for both human and equine sports.

Kentucky now sends samples to a lab at the University of Florida for testing.

The new in-state lab will save racetracks about 20% per year and the commission says that's not the only benefit.

"The state of Kentucky is not putting out any money for their bricks and mortars. I mean that's their investment, that they're making probably because they intend to do other things than just equine drug testing," said Dr. Jerry Yon of Kentucky Equine Drug Research.

The commission is now going to start looking at possible locations for the new lab.