Bill Text: NY A03562 | 2023-2024 | General Assembly | Introduced


Bill Title: Prohibits wagers on a horse racing event unless such racing event is offered pursuant to a fixed odds sports wagering agreement; authorizes agreements between a mobile sports wagering operator and an affiliate to locate self-service sports betting kiosks upon the premises of the affiliate.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2024-01-03 - referred to racing and wagering [A03562 Detail]

Download: New_York-2023-A03562-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          3562

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    February 3, 2023
                                       ___________

        Introduced  by M. of A. PRETLOW -- read once and referred to the Commit-
          tee on Racing and Wagering

        AN ACT to amend the racing, pari-mutuel wagering and  breeding  law,  in
          relation  to  wagers  on  certain  horse racing events and authorizing
          agreements between a mobile sports wagering operator and an affiliate

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Subdivision  1 of section 1367 of the racing, pari-mutuel
     2  wagering and breeding law is amended  by  adding  three  new  paragraphs
     3  (dd), (ee) and (ff) to read as follows:
     4    (dd)  "Horse racing event" means any sport or athletic event conducted
     5  in New York state subject to the provisions of article two, three, five,
     6  nine, or ten of this chapter, as well as any  sport  or  athletic  event
     7  conducted  outside  of  New  York  state, which if conducted in New York
     8  state, would be subject to the provisions of such articles.
     9    (ee) "Affiliate" means any off-track betting corporation, professional
    10  sports stadium  or  arena,  automobile  racing  facility  that  hosts  a
    11  national  association  for  stock car auto racing national touring race,
    12  franchised corporation, thoroughbred racing corporation  or  other  race
    13  track licensed pursuant to this chapter, or an operator of video lottery
    14  gaming  at  Aqueduct licensed pursuant to section sixteen hundred seven-
    15  teen-a of the tax law, which has an affiliate agreement  with  a  mobile
    16  sports wagering operator pursuant to section thirteen hundred sixty-sev-
    17  en-a of this title.
    18    (ff) "Fixed odds sports wagering agreement" means an agreement between
    19  a mobile sports wagering operator or mobile sports wagering licensee and
    20  an  entity  that  possesses a license awarded pursuant to article two or
    21  three of this chapter that has  the  authority  to  conduct  pari-mutuel
    22  wagering  on  the  form  of racing involved in the relevant horse racing
    23  event and subject to the approval of the commission.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06819-01-3

        A. 3562                             2

     1    § 2. Paragraph (s) of subdivision 1 of section  1367  of  the  racing,
     2  pari-mutuel wagering and breeding law, as amended by section 3 of part Y
     3  of chapter 59 of the laws of 2021, is amended to read as follows:
     4    (s)  "Prohibited  sports event" means (i) a sport or athletic event in
     5  which any New York college team participates  regardless  of  where  the
     6  event  takes  place, [or] (ii) a high school sport or athletic event, or
     7  (iii) a horse racing event. [The]  Notwithstanding  the  foregoing,  the
     8  following  shall  not  be  considered  prohibited sports events: [(i)] a
     9  collegiate tournament, [and (ii)] a sports event within such  tournament
    10  so  long as no New York college team is participating in that particular
    11  sports event, and a horse racing event that is  offered  pursuant  to  a
    12  fixed odds sports wagering agreement;
    13    §  3.  Subdivision 2 of section 1367 of the racing, pari-mutuel wager-
    14  ing and breeding law is amended by adding a new paragraph (e-1) to  read
    15  as follows:
    16    (e-1)(i)(1)  A mobile sports wagering operator or mobile sports wager-
    17  ing licensee may accept a fixed odds wager on a horse  racing  event  if
    18  such  mobile sports wagering operator or mobile sports wagering licensee
    19  has entered into a fixed odds sports wagering agreement with  an  entity
    20  that has the authority to provide the content of such horse racing event
    21  pursuant  to article two or three of this chapter. In furtherance of any
    22  fixed odds sports wagering agreement, an entity that holds  a  franchise
    23  or  license  pursuant  to  article  two  of  this chapter may only offer
    24  content involving thoroughbred races and an entity that holds a  license
    25  pursuant to article three of this chapter may only offer content involv-
    26  ing standardbred races.
    27    (2)  All fixed odds sports wagering agreements must be approved by the
    28  commission prior to taking effect. Any content offered  pursuant  to  an
    29  approved fixed odds sports wagering agreement shall subsequently be made
    30  available  to  any  interested mobile sports wagering operator or mobile
    31  sports wagering licensee on commercially reasonable terms, as determined
    32  by the commission.
    33    (ii) Any holder of a pari-mutuel wagering franchise or license  pursu-
    34  ant  to  article  two  or three of this chapter that enters into a fixed
    35  odds sports wagering agreement shall separately  maintain  an  agreement
    36  with  the  applicable  horsemen's association, setting forth the type of
    37  wagers that may be placed on a horse racing  event  and  the  manner  in
    38  which revenue generated pursuant to the agreement or agreements with the
    39  mobile sports wagering operator or mobile sports wagering licensee shall
    40  be distributed.
    41    §  4.  Section 1367-a of the racing, pari-mutuel wagering and breeding
    42  law is amended by adding a new subdivision 8 to read as follows:
    43    8. (a) For purposes of  this  subdivision,  an  "affiliate  agreement"
    44  shall  mean an agreement entered into between an affiliate and an opera-
    45  tor, mobile sports wagering operator, or mobile sports wagering licensee
    46  to locate self-service sports betting kiosks that  are  owned,  operated
    47  and  maintained  by  the  operator,  mobile sports wagering operator, or
    48  mobile sports wagering licensee, and connected via the internet  to  the
    49  mobile sports wagering operator or licensee's  server or other equipment
    50  used to accept mobile sports wagers at a licensed gaming facility pursu-
    51  ant  to  this  section  upon  the premises of the affiliate.  Authorized
    52  sports bettors may place account wagers, place  and  redeem  non-account
    53  cash wagers, and deposit and withdraw account funds at such kiosks.
    54    (b)  All  affiliate agreements shall be subject to regulations promul-
    55  gated by the commission and must be approved by the commission prior  to
    56  taking effect. Any such affiliate agreement shall include a plan for the

        A. 3562                             3

     1  timely  payment of liabilities due to the affiliate under the agreement;
     2  provided, however, that such payment of liabilities related to  a  wager
     3  shall take place no later than sixty days after a wager is received at a
     4  kiosk;  and  provided further, that the commission shall not approve any
     5  such agreement between a mobile sports wagering operator and  a  profes-
     6  sional sports stadium or arena until six months after the effective date
     7  of  this paragraph.  For purposes of this paragraph, "liabilities" shall
     8  not include any potential winnings.
     9    § 5. This act shall take effect on the ninetieth day  after  it  shall
    10  have become a law. Effective immediately, the addition, amendment and/or
    11  repeal  of  any  rule  or regulation necessary for the implementation of
    12  this act on its effective date are authorized to be made  and  completed
    13  on or before such effective date.
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