Bill Text: CA AB1421 | 2011-2012 | Regular Session | Introduced
Bill Title: Harness racing organizations.
Spectrum: Slight Partisan Bill (Democrat 8-4)
Status: (Engrossed - Dead) 2012-08-30 - Ordered to inactive file at the request of Senator Yee. [AB1421 Detail]
Download: California-2011-AB1421-Introduced.html
BILL NUMBER: AB 1421 INTRODUCED
BILL TEXT
INTRODUCED BY Committee on Governmental Organization (Assembly
Members Hall (Chair), Nestande (Vice Chair), Blumenfield, Chesbro,
Cook, Gatto, Hill, Jeffries, Ma, V. Manuel Pérez, Silva, and Torres)
MARCH 21, 2011
An act to amend Section 19605.77 of the Business and Professions
Code, relating to harness racing organizations.
LEGISLATIVE COUNSEL'S DIGEST
AB 1421, as introduced, Committee on Governmental Organization.
Harness racing organizations.
Existing law, the Horse Racing Law, governs, among other types of
horse races, harness horse racing, in which horses that meet
specified criteria are harnessed to a sulky or similar vehicle and
raced at either the trotting or pacing gait. Existing law vests
jurisdiction and supervision over all horse racing meetings,
including harness races, in this state in the California Horse Racing
Board. Existing law requires, until January 1, 2014, the harness
racing association and the organization representing harness horsemen
and horsewomen to form an organization to which certain funds, that
may be deducted from the total amount handled in conventional
parimutuel pools of harness races, are distributed for purposes of
reducing the workers' compensation insurance costs for trainers who
are racing horses at the applicable harness racing association meet,
as specified.
This bill would additionally require that organization to account
to the California Horse Racing Board on or before August 1 of each
year with respect to the distribution of funds received pursuant to
those provisions during the immediately preceding fiscal year and to
obtain an independent audit of those distributions. The bill would
also require that a copy of the completed audit be forwarded to the
board within 45 days of its receipt by the organization.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 19605.77 of the Business and Professions Code
is amended to read:
19605.77. (a) Notwithstanding Section 19610, a harness racing
association may deduct an additional 1 percent of the total amount
handled in conventional parimutuel pools of harness races. This
additional deduction shall only be permitted with the approval of the
organization representing harness horsemen and horsewomen at the
applicable racing association meeting.
(b) Any funds collected pursuant to subdivision (a) from
conventional parimutuel pools on harness races within the inclosure
of a racetrack, at satellite wagering facilities within this state,
and through advance deposit wagering by residents of this state,
shall be distributed to the organization described in subdivision (e)
to be used in accordance with subdivision (d).
(c) Any harness racing association that authorizes a betting
system located outside of this state to accept conventional wagers on
its races and to combine those wagers in the association's
conventional parimutuel pools, including, but not limited to, a
multijurisdictional wagering hub as to conventional wagers made by
residents other than those of this state, may deduct the amount
specified in subdivision (a) in addition to any other applicable
deductions specified in law. Any amount deducted pursuant to this
subdivision shall be distributed to the organization described in
subdivision (e) to be used in accordance with the provisions of
subdivision (d). This additional deduction shall not be included in
the amount on which license fees are determined pursuant to Section
19602.
(d) The amounts distributed to the organization described in
subdivision (e) shall be deposited by that organization in a separate
account and used to reduce the workers' compensation insurance costs
for trainers who are racing horses at the applicable harness racing
association meet. Any funds not expended for this purpose in the
calendar year in which they are collected may either be used for the
following year's workers' compensation costs, as specified above, or
to benefit the harness purse pool at the track where the funds are
generated.
(e) (1) The harness racing association and
the organization representing harness horsemen and horsewomen shall
form an organization to which any funds deducted pursuant to
subdivisions (b) and (c) shall be distributed. The harness
associations collectively shall have representation equal to that of
the organization representing harness horsemen and horsewomen on the
governing board of the organization formed pursuant to this
subdivision.
(2) The organization formed pursuant to paragraph (1) shall
account to the board, on or before August 1 of each year, with
respect to the distribution of funds received pursuant to
subdivisions (c) and (d) during the immediately preceding fiscal
year, and shall obtain an independent audit of those distributions. A
copy of the completed audit shall be forwarded to the board within
45 days of its receipt by the organization.
(f) If the harness racing association and the organization
representing harness horsemen and horsewomen cannot agree on the
manner for distributing these funds to defray the costs of workers'
compensation insurance, the matter shall be submitted to the
California Horse Racing Board for a decision consistent with
subdivision (d), and the decision of the board shall be final.
(g) This section shall remain in effect only until January 1,
2014, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2014, deletes or extends
that date.
