Bill Text: CA AB1347 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Horse racing: out-of-state thoroughbred races.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2013-09-11 - Withdrawn from committee. Ordered to inactive file at the request of Senator Emmerson. [AB1347 Detail]

Download: California-2013-AB1347-Amended.html

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BILL NUMBER: AB 1347	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 24, 2013
	AMENDED IN ASSEMBLY  APRIL 16, 2013

INTRODUCED BY   Assembly Member Gray

                        FEBRUARY 22, 2013

   An act to amend  Sections   Section 
19596.2  and 19605.73  of the Business and
Professions Code, relating to horse racing.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1347, as amended, Gray. Horse racing: out-of-state thoroughbred
 races: statewide marketing organization.  
races.  
   (1) Existing 
    Existing  law authorizes a thoroughbred racing
association or fair to distribute the audiovisual signal and accept
wagers on the results of out-of-state thoroughbred races conducted in
the United States during the calendar period the association or fair
is conducting a race meeting, including days on which there is no
live racing being conducted by the association or fair, without the
consent of the organization that represents horsemen and horsewomen
participating in the race meeting and without regard to the amount of
purses. Under existing law, the total number of thoroughbred races
imported by associations or fairs on a statewide basis under these
provisions shall not exceed 50 per day on days when live thoroughbred
or fair racing is being conducted in the state, with the exception
of prescribed races, including races  imported  that are
part of the race card of the Kentucky Derby, the Kentucky Oaks, the
Preakness Stakes, the Belmont Stakes, the Jockey Club Gold Cup, the
Travers Stakes, the Arlington Million, the Breeders' Cup, the Dubai
Cup, the Arkansas Derby, or the Haskell Invitational.
   This bill would  also  exempt from the 50 race per day
limitation, races  imported  that are part of the race card
 of the Wood Memorial  . 
   (2) Existing law, operative until January 1, 2014, authorizes
thoroughbred racing associations, fairs, and the organization
responsible for contracting with thoroughbred racing associations and
fairs with respect to the conduct of racing meetings, to form a
private, statewide marketing organization to market and promote
thoroughbred and fair horse racing. If a marketing organization is
formed, existing law requires an amount not to exceed 0.25% of the
total amount handled by each satellite wagering facility to be
distributed to the marketing organization, and imposes certain
requirements on the marketing organization, including that the
marketing organization annually submit certain information to the
California Horse Racing Board.  
   This bill would extend the operation of those provisions to
January 1, 2019. Because the bill would extend provisions of the
Horse Racing Law, a violation of which is a crime, the bill would
create new crimes and would thereby impose a state-mandated local
program.  
   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. 
   Vote: majority. Appropriation: no. Fiscal committee:  yes
  no  . State-mandated local program:  yes
  no  .


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

  SECTION 1.  Section 19596.2 of the Business and Professions Code is
amended to read:
   19596.2.  (a) Notwithstanding any other law and except as provided
in Section 19596.4, a thoroughbred racing association or fair may
distribute the audiovisual signal and accept wagers on the results of
out-of-state thoroughbred races conducted in the United States
during the calendar period the association or fair is conducting a
race meeting, including days on which there is no live racing being
conducted by the association or fair, without the consent of the
organization that represents horsemen and horsewomen participating in
the race meeting and without regard to the amount of purses.
Further, the total number of thoroughbred races imported by
associations or fairs on a statewide basis under this section shall
not exceed 50 per day on days when live thoroughbred or fair racing
is being conducted in the state. The limitation of 50 imported races
per day does not apply to any of the following:
   (1) Races imported for wagering purposes pursuant to subdivision
(c).
   (2) Races imported that are part of the race card of the Wood
Memorial, the Kentucky Derby, the Kentucky Oaks, the Preakness
Stakes, the Belmont Stakes, the Jockey Club Gold Cup, the Travers
Stakes, the Arlington Million, the Breeders' Cup, the Dubai Cup, the
Arkansas Derby, or the Haskell Invitational.
   (3) Races imported into the northern zone when there is no live
thoroughbred or fair racing being conducted in the northern zone.
   (4) Races imported into the combined central and southern zones
when there is no live thoroughbred or fair racing being conducted in
the combined central and southern zones.
   (b) Any thoroughbred association or fair accepting wagers pursuant
to subdivision (a) shall conduct the wagering in accordance with the
applicable provisions of Sections 19601, 19616, 19616.1, and
19616.2.
   (c) No thoroughbred association or fair may accept wagers pursuant
to this section on out-of-state races commencing after 7 p.m.,
Pacific standard time, without the consent of the harness or quarter
horse racing association that is then conducting a live racing
meeting in the Counties of Orange or Sacramento. 
  SEC. 2.    Section 19605.73 of the Business and
Professions Code is amended to read:
   19605.73.  (a) Thoroughbred racing associations, fairs, and the
organization responsible for contracting with thoroughbred racing
associations and fairs with respect to the conduct of racing meetings
may form a private, statewide marketing organization to market and
promote thoroughbred and fair horse racing, including, but not
limited to, the establishment and maintenance of an Internet Web site
featuring California thoroughbred and fair racing, the establishment
and administration of players incentive programs for those who wager
on thoroughbred association and fair races, and promotional
activities at satellite wagering facilities to increase their
attendance and handle. While the promotional activities at satellite
wagering facilities shall be funded by the marketing organization,
they shall be implemented and coordinated by representatives of the
satellite wagering facilities and the thoroughbred racing
associations or fairs then conducting a live race meet. The marketing
organization shall consist of the following members: two members,
one from the northern zone and one from the combined central and
southern zones, appointed by the thoroughbred racetracks; two
members, one from the northern zone and one from the combined central
and southern zones, appointed by the owners' organization
responsible for contracting with associations and fairs with respect
to the conduct of racing meetings; and two members, one from the
northern zone and one from the combined central and southern zones,
appointed by the organization representing racing and satellite
fairs.
   (b) The marketing organization formed pursuant to subdivision (a)
shall, by November 1 of each year, submit a written report to the
board on a statewide marketing and promotion plan for the upcoming
calendar year. In addition, the marketing organization shall annually
present to the board at the board's November meeting a verbal report
on the statewide marketing and promotion plan for the upcoming
calendar year. The plan shall be implemented as determined by the
marketing organization. The marketing organization shall receive
input from all interested industry participants and may utilize
outside consultants.
   (c) In addition to the distributions specified in subdivisions (a)
and (b) of Section 19605.7, subdivisions (a) and (b) of Section
19605.71, and Section 19605.72, for thoroughbred and fair meetings
only, from the amount that would normally be available for
commissions and purses, an amount not to exceed 0.25 percent of the
total amount handled by each satellite wagering facility shall be
distributed to the marketing organization formed pursuant to
subdivision (a) for the purposes set forth therein. The amounts
initially distributed to the marketing organization formed pursuant
to subdivision (a) shall be 0.2 percent of the total amount handled
by satellite wagering facilities for thoroughbred and fair meetings
only. The amount distributable to the marketing organization may be
adjusted by the board, in its discretion. However, the adjusted
amounts shall not exceed an aggregate of 0.25 percent of the total
amount handled by satellite wagering facilities for thoroughbred and
fair meetings only. Any of the promotion funds that are not expended
in the year in which they are collected may be expended in the
following year. If promotion funds expended in any one year exceed
the amount collected for that year, the funds expended in the
following year shall be reduced by the excess amount. The marketing
organization, on a quarterly basis, shall submit to the board a
written report that accounts for all receipts and expenditures of the
promotion funds for the previous three months.
   (d) This section shall remain in effect only until January 1,
2019, and, as of that date, is repealed, unless a later enacted
statute that is enacted before January 1, 2019, deletes or extends
that date. Any moneys held by the marketing organization shall, in
the event this section is repealed, be distributed to the
organization formed pursuant to Section 19608.2, for purposes of that
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.