Bill Text: CA AB1303 | 2013-2014 | Regular Session | Chaptered


Bill Title: Horse racing: northern zone: fairs: satellite wagering.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2014-03-28 - Chaptered by Secretary of State - Chapter 7, Statutes of 2014. [AB1303 Detail]

Download: California-2013-AB1303-Chaptered.html
BILL NUMBER: AB 1303	CHAPTERED
	BILL TEXT

	CHAPTER  7
	FILED WITH SECRETARY OF STATE  MARCH 28, 2014
	APPROVED BY GOVERNOR  MARCH 28, 2014
	PASSED THE SENATE  MARCH 6, 2014
	PASSED THE ASSEMBLY  MARCH 17, 2014
	AMENDED IN SENATE  FEBRUARY 13, 2014

INTRODUCED BY   Assembly Member Hall

                        FEBRUARY 22, 2013

   An act to amend Section 19605.7 of, and to add Section 19549.16
to, the Business and Professions Code, relating to horse racing, and
declaring the urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1303, Hall. Horse racing: northern zone: fairs: satellite
wagering.
   (1) Existing law, the Horse Racing Law, notwithstanding any other
law, authorizes fairs that conduct live horse racing meetings in the
northern zone to allow a joint powers authority to administer and
distribute purses and authorizes the California Horse Racing Board to
annually allocate a maximum of 28 racing days to any county fair in
the northern zone which did not conduct horse racing prior to January
1, 1985.
   This bill would authorize the board, notwithstanding any other
law, to allocate racing days to a fair in the northern zone to be
conducted by the fair or, at the request of the fair, to authorize
the board to license a racing association that was licensed by the
board to conduct racing meetings in California prior to 2010 to
conduct live horse racing at the fair during the dates allocated to
the fair by the board. The bill would require the live horse racing
days, whether they are conducted by the fair or the racing
association contracting with the fair, to be subject to the same
provisions of law as are presently applicable to a fair race meeting
in the northern zone.
   (2) The Horse Racing Law requires the total percentage deducted
from wagers at satellite wagering facilities in the northern zone to
be the same as deductions for wagers at the racetrack where the
racing meeting is being conducted and to be distributed as specified.
That law also requires an additional amount not to exceed 4% of the
amount handled by the satellite wagering facility on conventional and
exotic wagers to be distributed to the organization formed to
operate the audiovisual signal system with the mutual consent of the
racing association, the organization representing the horsemen
participating in the meeting, and the board from January 1, 2010,
until December 31, 2013. That law also requires, commencing January
1, 2014, an amount not to exceed the amount of actual operating
expenses, as determined by the board, or 2.5% of the amount handled
by the satellite wagering facility on conventional and exotic wagers,
whichever is less, to be distributed to the organization formed to
operate the audiovisual signal system.
   This bill would extend these dates to December 31, 2016, and
January 1, 2017, respectively.
   A violation of the Horse Racing Law is generally a misdemeanor.
   Because the bill would change the definition of an existing crime,
the bill would impose a state-mandated local program.
   (3) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   (4) This bill would declare that it is to take effect immediately
as an urgency statute.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 19549.16 is added to the Business and
Professions Code, to read:
   19549.16.  (a) Notwithstanding any other law, the board may
allocate racing days, pursuant to this article, to a fair in the
northern zone to be conducted by the fair or, at the request of the
fair, the board may license a racing association that was licensed by
the board to conduct racing meetings in California prior to 2010 to
conduct live horse racing at the fair during the dates allocated to
the fair by the board.
   (b) The live horse racing days, whether they are conducted by the
fair or the racing association contracting with the fair, shall be
subject to the same provisions of law as are presently applicable to
a fair race meeting in the northern zone.
  SEC. 2.  Section 19605.7 of the Business and Professions Code is
amended to read:
   19605.7.  The total percentage deducted from wagers at satellite
wagering facilities in the northern zone shall be the same as the
deductions for wagers at the racetrack where the racing meeting is
being conducted and shall be distributed as set forth in this
section. Amounts deducted under this section shall be distributed as
follows:
   (a) (1) For thoroughbred meetings, 1.3 percent of the amount
handled by the satellite wagering facility on conventional and exotic
wagers shall be distributed to the racing association for payment to
the state as a license fee, 2 percent shall be distributed to the
satellite wagering facility as a commission for the right to do
business, as a franchise, and this commission is not for the use of
any real property, 0.54 percent shall be deposited with the official
registering agency pursuant to subdivision (a) of Section 19617.2 and
shall thereafter be distributed in accordance with subdivisions (b),
(c) and (d) of Section 19617.2, 0.033 percent shall be distributed
to the Center for Equine Health, and 0.067 percent shall be
distributed to the California Animal Health and Food Safety
Laboratory, School of Veterinary Medicine, University of California
at Davis. It is the intent of the Legislature that the 0.033 percent
of funds distributed to the Center for Equine Health shall
supplement, and not supplant, other funding sources.
   (2) (A) In addition to the distributions specified in paragraph
(1), for thoroughbred meetings, an amount not to exceed 4 percent of
the amount handled by the satellite wagering facility on conventional
and exotic wagers shall be distributed to an organization described
in Section 19608.2 with the mutual consent of the racing association,
the organization representing the horsemen participating in the
meeting, and the board from January 1, 2010, until December 31, 2016.
However, the amount shall be no less than that specified in
subparagraph (B), and any amount greater than the amount specified in
subparagraph (B) shall be approved by the board for no more than 12
months at a time, and only upon a determination by the board that the
greater amount is in the economic interest of thoroughbred racing.
   (B) Commencing January 1, 2017, an amount not to exceed the amount
of actual operating expenses, as determined by the board, or 2.5
percent of the amount handled by the satellite wagering facility on
conventional and exotic wagers, whichever is less, shall be
distributed to an organization described in Section 19608.2.
   (C) A request to the board for a distribution pursuant to
subparagraph (A) shall be accompanied by a report detailing all
receipts and expenditures over the two prior fiscal years of the
funds affected by the request.
   (D) The racing association whose request pursuant to subparagraph
(A) has been approved by the board shall provide subsequent quarterly
reports of receipts and expenditures of the affected funds if
requested by the board.
   (b) For harness, quarter horse, Appaloosa, Arabian, or mixed breed
meetings, 0.4 percent of the amount handled by the satellite
wagering facility on conventional and exotic wagers shall be
distributed to the racing association for payment to the state as a
license fee, for fair meetings, 1 percent of the amount handled by
the satellite wagering facility on conventional and exotic wagers
shall be distributed to the fair association for payment to the state
as a license fee, 2 percent shall be distributed to the satellite
wagering facility as a commission for the right to do business, as a
franchise, and this commission is not for the use of any real
property, and 6 percent of the amount handled by the satellite
wagering facility or the amount of actual operating expenses, as
determined by the board, whichever is less, shall be distributed to
an organization described in Section 19608.2. In addition, in the
case of quarter horses, 0.4 percent shall be deposited with the
official registering agency pursuant to subdivision (b) of Section
19617.7 and shall thereafter be distributed in accordance with
subdivisions (c), (d), and (e) of Section 19617.7; in the case of
Appaloosas, 0.4 percent shall be deposited with the official
registering agency pursuant to subdivision (b) of Section 19617.9 and
shall thereafter be distributed in accordance with subdivisions (c),
(d), and (e) of Section 19617.9; in the case of Arabians, 0.4
percent shall be held by the association to be deposited with the
official registering agency pursuant to Section 19617.8, and shall
thereafter be distributed in accordance with Section 19617.8; in the
case of standardbreds, 0.4 percent shall be distributed for the
California Standardbred Sires Stakes Program pursuant to Section
19619; in the case of thoroughbreds, 0.48 percent shall be deposited
with the official registering agency pursuant to subdivision (a) of
Section 19617.2 and shall thereafter be distributed in accordance
with subdivisions (b), (c), and (d) of Section 19617.2; 0.033 percent
shall be distributed to the Center for Equine Health; and 0.067
percent shall be distributed to the California Animal Health and Food
Safety Laboratory, School of Veterinary Medicine, University of
California at Davis. It is the intent of the Legislature that the
0.033 percent of funds distributed to the Center for Equine Health
shall supplement, and not supplant, other funding sources.
   (c) In addition to the distributions specified in subdivisions (a)
and (b), for mixed breed meetings, 1 percent of the total amount
handled by each satellite wagering facility shall be distributed to
an organization described in Section 19608.2 for promotion of the
program at satellite wagering facilities. For harness meetings, 0.5
percent of the total amount handled by each satellite wagering
facility shall be distributed to an organization described in Section
19608.2 for the promotion of the program at satellite wagering
facilities, and 0.5 percent of the total amount handled by each
satellite wagering facility shall be distributed according to a
written agreement for each race meeting between the licensed racing
association and the organization representing the horsemen
participating in the meeting. If, with respect to harness meetings,
there are funds unexpended from this 1 percent, these funds may be
expended for other purposes with the consent of the horsemen and the
racing association to benefit the horsemen, or the racing
association, or both, pursuant to their agreement. For quarter horse
meetings, 0.5 percent of the total amount handled by each satellite
wagering facility on races run in California shall be distributed to
an organization described in Section 19608.2 for the promotion of the
program at satellite wagering facilities, 0.5 percent of the total
amount handled by each satellite wagering facility on out-of-state
and out-of-country imported races shall be distributed to the
official quarter horse registering agency for the purposes of Section
19617.75, and 0.5 percent of the total amount handled by each
satellite wagering facility on all races shall be distributed
according to a written agreement for each race meeting between the
licensed racing association and the organization representing the
horsemen participating in the meeting.
   (d) Additionally, for thoroughbred, harness, quarter horse, mixed
breed, and fair meetings, 0.33 percent of the total amount handled by
each satellite wagering facility shall be paid to the city or county
in which the satellite wagering facility is located pursuant to
Section 19610.3 or 19610.4.
   (e) Notwithstanding any other law, a racing association is
responsible for the payment of the state license fee as required by
this section.
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
  SEC. 4.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to preserve jobs, to ensure that live horse racing
continues in northern California each year, and for this act to apply
to the 2014 horse racing season, it is necessary that this act take
effect immediately.
                   
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