Bill Text: NY A10441 | 2015-2016 | General Assembly | Amended
Bill Title: Relates to the operation of video lottery terminals at Aqueduct racetrack.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2016-06-03 - print number 10441a [A10441 Detail]
Download: New_York-2015-A10441-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 10441--A IN ASSEMBLY May 27, 2016 ___________ Introduced by M. of A. PRETLOW -- read once and referred to the Commit- tee on Racing and Wagering -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law, in relation to the operation of video lottery terminals at Aqueduct racetrack The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph 4 of subdivision a and subdivision c of section 2 1617-a of the tax law, paragraph 4 of subdivision a as added and subdi- 3 vision c as amended by section 1 of part SS of chapter 60 of the laws of 4 2016, are amended and a new subdivision d-1 is added to read as follows: 5 (4) Aqueduct racetrack, within the lottery terminal facility, pursuant 6 to an agreement between the corporation established pursuant to section 7 five hundred two of the racing, pari-mutuel wagering and breeding law in 8 the Nassau region and the operator of video lottery gaming at Aqueduct 9 racetrack, when such agreement is approved by the gaming commission and 10 as long as such agreement is in place, and when such agreement is accom- 11 panied by a detailed spending plan for the corporation established 12 pursuant to section five hundred two of the racing, pari-mutuel wagering 13 and breeding law in the Nassau region, which includes a plan for the 14 timely payment of liabilities due to the franchised corporation and the 15 fair and equitable distribution of funds by the corporation established 16 pursuant to section five hundred two of the racing, pari-mutuel wagering 17 and breeding law in the Nassau region to the participating counties, and 18 when such video lottery devices are hosted by the operator of video 19 lottery gaming at Aqueduct racetrack on behalf of the corporation estab- 20 lished pursuant to section five hundred two of the racing, pari-mutuel 21 wagering and breeding law in the Nassau region in lieu of the develop- 22 ment of a facility in Nassau county as authorized by paragraph three of 23 this subdivision [a of this section]. Such agreement reached by the 24 parties shall identify the agency principally responsible for funding, 25 approving or undertaking any actions of such agreement. Provided, howev- 26 er, nothing in this paragraph shall infringe upon the rights of the 27 corporation established pursuant to section five hundred two of the EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15686-02-6A. 10441--A 2 1 racing, pari-mutuel wagering and breeding law in the Nassau region to 2 develop a facility pursuant to paragraph three of this subdivision upon 3 the expiration, termination, or withdrawal of such agreement. 4 c. The terminals authorized pursuant to paragraph four of subdivision 5 a of this section shall: 6 (i) be deemed as operated by the corporation established pursuant to 7 section five hundred two of the racing, pari-mutuel wagering and breed- 8 ing law in the Nassau region for the purposes of section sixteen hundred 9 twelve of this chapter and the distributions therefrom made as if the 10 video lottery devices were located in Nassau county; 11 (ii) consist exclusively of electronic table games, unless otherwise 12 approved by the gaming commission and the director of the division of 13 the budget; [and] 14 (iii) be individually designated as hosted[.]; and 15 (iv) be in addition to the number of terminals in operation at the 16 Aqueduct video lottery terminal facility on the first of April, two 17 thousand sixteen. 18 d-1. The operator of video lottery gaming at Aqueduct racetrack shall 19 be required to maintain at minimum, the amounts for aid to education, 20 from video lottery gaming at Aqueduct racetrack at the dollar level 21 realized in two thousand fifteen, to be adjusted by the consumer price 22 index for all urban consumers, as published annually by the United 23 States department of labor, bureau of labor statistics. 24 § 2. Clause (H) of subparagraph (ii) of paragraph 1 of subdivision b 25 of section 1612 of the tax law, as separately amended by section 1 of 26 part GG and section 2 of part SS of chapter 60 of the laws of 2016, is 27 amended to read as follows: 28 (H) notwithstanding clauses (A), (B), (C), (D), (E), (F) and (G) of 29 this subparagraph, the track operator of a vendor track and in the case 30 of Aqueduct, the video lottery terminal facility operator, shall be 31 eligible for a vendor's capital award of up to four percent of the total 32 revenue wagered at the vendor track after payout for prizes pursuant to 33 this chapter, which shall be used exclusively for capital project 34 investments to improve the facilities of the vendor track which promote 35 or encourage increased attendance at the video lottery gaming facility 36 including, but not limited to hotels, other lodging facilities, enter- 37 tainment facilities, retail facilities, dining facilities, events 38 arenas, parking garages and other improvements that enhance facility 39 amenities; provided that such capital investments shall be approved by 40 the division, in consultation with the state racing and wagering board, 41 and that such vendor track demonstrates that such capital expenditures 42 will increase patronage at such vendor track's facilities and increase 43 the amount of revenue generated to support state education programs. The 44 annual amount of such vendor's capital awards that a vendor track and in 45 the case of Aqueduct, the video lottery terminal facility operator, 46 shall be eligible to receive shall be limited to two million five 47 hundred thousand dollars, [except for Aqueduct racetrack, for which48there shall be no annual limit,] provided, however, that any such capi- 49 tal award for the Aqueduct video lottery terminal facility operator 50 shall be one percent of the total revenue wagered at the video lottery 51 terminal facility after payout for prizes pursuant to this chapter until 52 the earlier of the designation of one thousand video lottery devices as 53 hosted pursuant to paragraph four of subdivision a of section sixteen 54 hundred seventeen-a of this chapter or April first, two thousand nine- 55 teen and shall then be four percent of the total revenue wagered at the 56 video lottery terminal facility after payout for prizes pursuant to thisA. 10441--A 3 1 chapter, provided, further, that such capital award shall only be 2 provided pursuant to an agreement with the operator to construct an 3 expansion of the facility, hotel, and convention and exhibition space 4 requiring a minimum capital investment of three hundred million dollars. 5 Except for tracks having less than one thousand one hundred video gaming 6 machines, and except for a vendor track located west of State Route 14 7 from Sodus Point to the Pennsylvania border within New York, and except 8 for Aqueduct racetrack each track operator shall be required to co-in- 9 vest an amount of capital expenditure equal to its cumulative vendor's 10 capital award. For all tracks, except for Aqueduct racetrack, the amount 11 of any vendor's capital award that is not used during any one year peri- 12 od may be carried over into subsequent years ending before April first, 13 two thousand seventeen. Any amount attributable to a capital expenditure 14 approved prior to April first, two thousand seventeen and completed 15 before April first, two thousand nineteen; or approved prior to April 16 first, two thousand twenty-one and completed before April first, two 17 thousand twenty-three for a vendor track located west of State Route 14 18 from Sodus Point to the Pennsylvania border within New York, shall be 19 eligible to receive the vendor's capital award. In the event that a 20 vendor track's capital expenditures, approved by the division prior to 21 April first, two thousand seventeen and completed prior to April first, 22 two thousand nineteen, exceed the vendor track's cumulative capital 23 award during the five year period ending April first, two thousand 24 seventeen, the vendor shall continue to receive the capital award after 25 April first, two thousand seventeen until such approved capital expendi- 26 tures are paid to the vendor track subject to any required co-invest- 27 ment. In no event shall any vendor track that receives a vendor fee 28 pursuant to clause (F) or (G) of this subparagraph be eligible for a 29 vendor's capital award under this section. Any operator of a vendor 30 track which has received a vendor's capital award, choosing to divest 31 the capital improvement toward which the award was applied, prior to the 32 full depreciation of the capital improvement in accordance with general- 33 ly accepted accounting principles, shall reimburse the state in amounts 34 equal to the total of any such awards. Any capital award not approved 35 for a capital expenditure at a video lottery gaming facility by April 36 first, two thousand seventeen shall be deposited into the state lottery 37 fund for education aid; and 38 § 3. This act shall take effect immediately; provided, however that 39 section two of this act shall take effect on the same date and in the 40 same manner as section 2 of part SS of chapter 60 of the laws of 2016, 41 takes effect.
