If you are a fair that integrates with 4-H Online AND your state 4-H Online setup includes Animal Types (Animal ID), you do not have to create additional Animal Types in FairEntry. In fact, if you don't link to the 4-H Online Animal Types, exhibitors who are signing in through 4-H Online will not be able to use their 4-H Online animals unless you link the divisions to the 4-H Online Animal Type that was imported through the integration process.
Exhibitors who are NOT in 4-H Online (FFA, Open) can add animals to entries, using the fields set up in the 4-H Online Animal Type, so it's not necessary to have a duplicate of those Animal Types.
The screenshot below shows unnecessary and confusing Animal Types. From the "stickers" on them, you can see that some were created in FairEntry, and others were imported from 4-H Online. The problem comes when either the wrong one is linked to the division, or both are linked (and the exhibitors have to guess which one to pick).
If you see this same problem in your fair, you should choose to NOT copy Animal Types from one fair year to the next, then just import the Animal Types from 4-H Online. Alternately, before you open entries for the year, you can delete the animal types that do not have the 4-H Online "sticker" on them. If you see the red "Delete" button, that Animal Type can be removed, or at a minimum, edited to clarify what's going on. For example, if you need different information about FFA/Open animals than you do about 4-H animals, you should clearly name them as "Open/FFA Horses" for example.