Bill Text: NY S06525 | 2019-2020 | General Assembly | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Permits video lottery gaming in the town of Woodbury, Orange county; designates vendor fees; requires a mitigation agreement.
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2020-01-08 - REFERRED TO RACING, GAMING AND WAGERING [S06525 Detail]
Download: New_York-2019-S06525-Amended.html
Bill Title: Permits video lottery gaming in the town of Woodbury, Orange county; designates vendor fees; requires a mitigation agreement.
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2020-01-08 - REFERRED TO RACING, GAMING AND WAGERING [S06525 Detail]
Download: New_York-2019-S06525-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 6525--A 2019-2020 Regular Sessions IN SENATE June 14, 2019 ___________ Introduced by Sens. SKOUFIS, ADDABBO, METZGER, MAYER -- read twice and ordered printed, and when printed to be committed to the Committee on Rules -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law and the state finance law, in relation to video lottery gaming in the town of Woodbury The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Clause (B) of subparagraph (ii) of paragraph 1 of subdivi- 2 sion b of section 1612 of the tax law is amended by adding a new 3 subclause 5 to read as follows: 4 (5) sixty-four percent for a video lottery gaming facility authorized 5 pursuant to paragraph five of subdivision a of section sixteen hundred 6 seventeen-a of this article; 7 § 2. Paragraph 2 of subdivision b of section 1612 of the tax law, as 8 amended by section 1 of part OO of chapter 59 of the laws of 2014, is 9 amended to read as follows: 10 2. As consideration for the operation of a video lottery gaming facil- 11 ity, the division, shall cause the investment in the racing industry of 12 a portion of the vendor fee received pursuant to paragraph one of this 13 subdivision in the manner set forth in this subdivision. With the 14 exception of Aqueduct racetrack, a video lottery gaming facility author- 15 ized pursuant to paragraph five of subdivision a of section sixteen 16 hundred seventeen-a of this article or a facility in the county of 17 Nassau or Suffolk operated by a corporation established pursuant to 18 section five hundred two of the racing, pari-mutuel wagering and breed- 19 ing law, each such track shall dedicate a portion of its vendor fees, 20 received pursuant to clause (A), (B), (B-1), (B-2), (C), or (D)[, (E),21(F), or (G)] of subparagraph (ii) of paragraph one of this subdivision, 22 for the purpose of enhancing purses at such track, in an amount equal to 23 eight and three-quarters percent of the total revenue wagered at the EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD13351-06-9S. 6525--A 2 1 vendor track after pay out for prizes. One percent of the gross purse 2 enhancement amount, as required by this subdivision, shall be paid to 3 the gaming commission to be used exclusively to promote and ensure 4 equine health and safety in New York. Any portion of such funding to the 5 gaming commission unused during a fiscal year shall be returned to the 6 video lottery gaming operators on a pro rata basis in accordance with 7 the amounts originally contributed by each operator and shall be used 8 for the purpose of enhancing purses at such track. One and one-half 9 percent of the gross purse enhancement amount at a thoroughbred track, 10 as required by this subdivision, shall be paid to an account established 11 pursuant to section two hundred twenty-one-a of the racing, pari-mutuel 12 wagering and breeding law to be used exclusively to provide health 13 insurance for jockeys. In addition, with the exception of Aqueduct race- 14 track, a video lottery gaming facility authorized pursuant to paragraph 15 five of subdivision a of section sixteen hundred seventeen-a of this 16 article or a facility in the county of Nassau or Suffolk operated by a 17 corporation established pursuant to section five hundred two of the 18 racing, pari-mutuel wagering and breeding law, one and one-quarter 19 percent of total revenue wagered at the vendor track after pay out for 20 prizes, received pursuant to clause (A), (B), (B-1), (B-2), (C), or 21 (D)[, (E), (F), or (G)] of subparagraph (ii) of paragraph one of this 22 subdivision, shall be distributed to the appropriate breeding fund for 23 the manner of racing conducted by such track. 24 Provided, further, that nothing in this paragraph shall prevent each 25 track from entering into an agreement, not to exceed five years, with 26 the organization authorized to represent its horsemen to increase or 27 decrease the portion of its vendor fee dedicated to enhancing purses at 28 such track during the years of participation by such track, or to race 29 fewer dates than required herein. 30 § 3. Subdivision h of section 1612 of the tax law, as amended by chap- 31 ter 174 of the laws of 2013, is amended to read as follows: 32 h. As consideration for the operation of a video lottery gaming 33 [resort] facility located in [Sullivan county] the town of Woodbury, 34 county of Orange, the division shall cause the investment in the racing 35 industry at the following amount from the vendor fee to be paid as 36 follows: 37 As amount to the horsemen for purses at a licensed racetrack in Sulli- 38 van county [and to the agriculture and New York state horse breeding39development fund to maintain racing support payments at the same dollar40levels realized in two thousand thirteen, to be adjusted by the consumer41price index for all urban consumers, as published annually by the United42States department of labor bureau of labor statistics] in an amount 43 equal to eight and three-quarters percent of the total revenue wagered 44 at the video lottery gaming facility, after pay out for prizes. The 45 horsemen at a licensed racetrack in Sullivan county shall pay to the 46 horsemen at a licensed racetrack at Yonkers racetrack an amount to main- 47 tain purses for such horsemen at the same dollar levels realized in two 48 thousand eighteen, to be adjusted by the consumer price index for all 49 urban consumers, as published annually by the United States department 50 of labor bureau of labor statistics. In addition, one and one-quarter 51 percent of total revenue wagered at the video lottery gaming facility 52 after pay out for prizes, received pursuant to clause (B) of subpara- 53 graph (ii) of paragraph one of subdivision b of this section, shall be 54 distributed to the appropriate breeding fund for the manner of racing 55 conducted by such track. In no circumstance shall net proceeds of the 56 lottery, including the proceeds from video lottery gaming, be used forS. 6525--A 3 1 the payment of non-lottery expenses of the gaming commission, adminis- 2 trative or otherwise. 3 § 4. Subdivision a of section 1617-a of the tax law is amended by 4 adding four new paragraphs 5, 6, 7 and 8 to read as follows: 5 (5) At a facility located in the town of Woodbury, county of Orange to 6 be operated by the entity otherwise licensed to operate video lottery 7 gaming at Monticello racetrack, provided that: (i) such licensed entity 8 is no longer operating video lottery gaming at Monticello racetrack and 9 provided that Monticello racetrack is conducting racing operations; (ii) 10 such facility in the town of Woodbury, county of Orange is not sited 11 within a thirty mile radius of the video lottery gaming facility at 12 Yonkers racetrack; and (iii) the licensed entity, its subsidiaries and 13 affiliates, including the entity licensed to operate a commercial gaming 14 facility in Sullivan county, and the entity licensed to operate video 15 lottery gaming at Yonkers racetrack enter into a mitigation agreement, 16 to be approved by the gaming commission, which shall include, but not be 17 limited to, terms that require: (A) the operator of the facility in the 18 town of Woodbury, county of Orange to make an annual payment to the 19 entity licensed to operate video lottery gaming or commercial gaming at 20 Yonkers racetrack to account for the effects that siting such facility 21 in Orange county would likely have on the gross gaming revenue of the 22 entity licensed to operate at Yonkers racetrack; (B) employment levels 23 at the affected facilities; and (C) that upon expiration or termination 24 of the agreement, the authority to operate video lottery gaming in 25 Orange county shall cease. Notwithstanding any other provision of this 26 subdivision, at no time shall an entity operating video lottery gaming 27 in Orange county be permitted to apply for or receive a license to oper- 28 ate a commercial gaming facility in that county. Notwithstanding any 29 other provision of law to the contrary, at no time shall an entity oper- 30 ating video lottery gaming in the town of Woodbury, county of Orange be 31 permitted to enter into any agreement with, or accept any benefit from, 32 an entity authorized pursuant to article eighteen-a of the general 33 municipal law, including but not limited to payments in lieu of taxes 34 authorized by section eight hundred fifty-eight of the general municipal 35 law. 36 (6) Notwithstanding any other provision of law to the contrary, as a 37 condition of the license to operate a video lottery gaming facility 38 located in the town of Woodbury, county of Orange, such operator shall 39 provide an annual certification to the New York state gaming commission 40 that: (i) the staffing levels at a commercial gaming facility located in 41 zone two, region one pursuant to section thirteen hundred ten of the 42 racing, pari-mutuel wagering and breeding law (or any successor commer- 43 cial gaming facility located in said region) are no less than ninety 44 percent of staffing levels in effect at the end of the third quarter of 45 the year two thousand nineteen; and (ii) upon commencement of operations 46 of the video lottery gaming facility located in the town of Woodbury, 47 county of Orange, the combined staffing levels at such facility and the 48 commercial gaming facility located in zone two, region one (or any 49 successor commercial gaming facility located in region) are no less than 50 ninety percent of combined staffing levels between both facilities at 51 the end of the third quarter of the year two thousand nineteen. In 52 furtherance of and without limiting the foregoing, the licensees for 53 such facilities shall not conduct any mass, involuntary layoff events 54 that would trigger worker adjustment and retraining notification (WARN) 55 act notifications pursuant to article twenty-five-a of the labor law orS. 6525--A 4 1 otherwise result in the employment levels at the combined facilities 2 dropping below agreed upon levels. 3 (7) Notwithstanding any other provision of law to the contrary, as a 4 condition of the license to operate a video lottery gaming facility 5 located in the town of Woodbury, county of Orange, such operator shall 6 maintain assistance payments made pursuant to section fifty-four-l of 7 the state finance law to the village of Monticello, Sullivan county, the 8 town of Thompson, Sullivan county, and Sullivan county. Payments made 9 pursuant to this paragraph shall be made quarterly at the same dollar 10 level realized in two thousand eighteen, to be adjusted annually pursu- 11 ant to changes in the consumer price index for all urban consumers, as 12 published annually by the United States department of labor bureau of 13 labor statistics. 14 (8) Notwithstanding any other provision of law to the contrary, as a 15 condition of the license to operate a video lottery gaming facility 16 located in the town of Woodbury, county of Orange, such operator shall 17 execute a memorandum of understanding with the county of Sullivan, which 18 shall be filed prior to approval of such license to operate by the state 19 gaming commission, which shall include, but not be limited to terms that 20 provide for a one-time payment in the amount of one million dollars from 21 such operator to the county of Sullivan. 22 § 5. Section 54-l of the state finance law is amended by adding a new 23 subdivision 5 to read as follows: 24 5. Notwithstanding any other provision of law to the contrary, all 25 municipalities within which the facility referenced in paragraph five of 26 subdivision a of section sixteen hundred seventeen-a of the tax law is 27 located, shall be eligible for state assistance to eligible cities and 28 eligible municipalities pursuant to this section; provided, however, 29 that if such facility is located within the geographic boundaries of 30 more than one village, each such village shall receive an equal amount 31 of state assistance pursuant to this section. State assistance awarded 32 to such cities and municipalities shall not be less than three million 33 dollars per award regardless of the number of such cities or munici- 34 palities receiving such award. 35 § 6. This act shall take effect immediately; provided, however, that 36 no video lottery gaming may be conducted at any facility within Orange 37 county unless and until the mitigation agreement required by this act is 38 executed by all parties and approved by the gaming commission.