Bill Text: TX SB1450 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to the abolishment of the Texas Racing Commission and the transfer of its powers and duties to the Texas Commission of Licensing and Regulation; providing penalties; authorizing fees.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-03-18 - Referred to State Affairs [SB1450 Detail]
Download: Texas-2013-SB1450-Introduced.html
83R2697 DDT-D | ||
By: Hinojosa | S.B. No. 1450 |
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relating to the abolishment of the Texas Racing Commission and the | ||
transfer of its powers and duties to the Texas Commission of | ||
Licensing and Regulation; providing penalties; authorizing fees. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
ARTICLE 1. TRANSFER OF DUTIES TO TEXAS COMMISSION OF LICENSING AND | ||
REGULATION | ||
SECTION 1.01. Section 1.03, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), is amended by amending Subdivisions | ||
(3), (5), and (79) and adding Subdivisions (82), (83), and (84) to | ||
read as follows: | ||
(3) "Commission" means the Texas [ |
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of Licensing and Regulation. | ||
(5) "Executive secretary" means the director | ||
[ |
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(79) "Executive director" means the executive | ||
director [ |
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(82) "Department" means the Texas Department of | ||
Licensing and Regulation. | ||
(83) "Director" means the director of the racing | ||
division. | ||
(84) "Racing division" means the division of the | ||
department assigned to oversee horse and greyhound racing. | ||
SECTION 1.02. The heading to Article 2, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), is amended to read | ||
as follows: | ||
[ |
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SECTION 1.03. Sections 2.12, 2.13, 2.14, and 2.15, Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
Sec. 2.12. DIRECTOR [ |
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The commission shall employ a director of the racing division [ |
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this Act. | ||
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(b) The racing division [ |
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continue to employ a person: | ||
(1) who owns or controls a financial interest in a | ||
licensee of the racing division [ |
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(2) who is employed by or serves as a paid consultant | ||
to a licensee of the racing division [ |
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breed registry, or a Texas trade association[ |
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racing or breeding; | ||
(3) who owns or leases a race animal that participates | ||
in pari-mutuel racing in this state; or | ||
(4) who accepts or is entitled to any part of the purse | ||
or Texas-bred incentive award to be paid on a greyhound or a horse | ||
in a race conducted in this state. | ||
(c) The racing division [ |
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continue to employ a person who is residentially domiciled with or | ||
related within the first degree by affinity or consanguinity to a | ||
person who is subject to a disqualification prescribed by | ||
Subsection (b) of this section. | ||
(d) The commission shall employ the director [ |
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population of the state as regards race, color, handicap, sex, | ||
religion, age, and national origin. | ||
Sec. 2.13. DIRECTOR [ |
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director [ |
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division [ |
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the commission. The director [ |
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pleasure of the commission on a full-time basis and may not hold | ||
other employment. | ||
Sec. 2.14. LEGAL REPRESENTATION. The attorney general | ||
shall designate at least one member of the attorney general's staff | ||
to counsel and advise the racing division [ |
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represent the racing division [ |
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The attorney general shall make available to the appropriate | ||
prosecuting attorneys any information obtained regarding | ||
violations of this Act. | ||
Sec. 2.15. RECORDS. All records of the racing division | ||
[ |
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inspection by the public during regular office hours. All | ||
applications for a license under this Act shall be maintained by the | ||
department [ |
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inspection during regular office hours. The contents of the | ||
investigatory files of the department [ |
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not public records and are confidential except in a criminal | ||
proceeding, in a hearing conducted by the department [ |
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on court order, or with the consent of the party being investigated. | ||
SECTION 1.04. Section 2.16(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) An investigation report or other document submitted by | ||
the Department of Public Safety to the racing division [ |
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becomes part of the investigative files of the racing division | ||
[ |
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subject of the investigation report or other document submitted by | ||
the Department of Public Safety to the racing division [ |
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that is part of the investigative files of the department | ||
[ |
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SECTION 1.05. Sections 3.02(a), (b), (d), and (g), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) The commission shall regulate and the department shall | ||
supervise every race meeting in this state involving wagering on | ||
the result of greyhound or horse racing. All persons and things | ||
relating to the operation of those meetings are subject to | ||
regulation and supervision by the commission and department. The | ||
commission shall adopt rules for conducting greyhound or horse | ||
racing in this state involving wagering and shall adopt other rules | ||
to administer this Act that are consistent with this Act. The | ||
commission or department, as applicable, shall also make rules, | ||
issue licenses, and take any other necessary action relating | ||
exclusively to horse racing or to greyhound racing. | ||
(b) The department [ |
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sections to review or propose rules of the commission. | ||
(d) The department [ |
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meeting under Subsection (c) of this section at each racetrack | ||
facility. The notice shall include an agenda of the meeting and a | ||
summary of the proposed rule. | ||
(g) The commission, in adopting rules, and the department, | ||
in the supervision and conduct of racing, shall consider the effect | ||
of a proposed commission or department action on the state's | ||
agricultural, horse breeding, horse training, greyhound breeding, | ||
and greyhound training industry. | ||
SECTION 1.06. Sections 3.021(a) and (c), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(a) Any provision in this Act to the contrary | ||
notwithstanding, the department [ |
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regulate all aspects of greyhound racing and horse racing in this | ||
state, whether or not that racing involves pari-mutuel wagering. | ||
(c) The department [ |
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licensing and regulating a racetrack that does not offer | ||
pari-mutuel wagering or a training facility in a reasonable amount | ||
that may not exceed the actual cost of enforcing rules adopted for | ||
the licensing and regulation of races and workouts at such a | ||
facility. | ||
SECTION 1.07. Sections 3.03 and 3.04, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
Sec. 3.03. POWER OF ENTRY. A member of the commission, an | ||
authorized agent of the commission or department, a commissioned | ||
officer of the Department of Public Safety, or a peace officer of | ||
the local jurisdiction in which the association maintains a place | ||
of business may enter any part of the racetrack facility or any | ||
other place of business of an association at any time for the | ||
purpose of enforcing and administering this Act. | ||
Sec. 3.04. REQUIREMENT OF BOOKS AND RECORDS; FINANCIAL | ||
STATEMENTS. The department [ |
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associations, managers, totalisator licensees, and concessionaires | ||
to keep books and records and to submit financial statements to the | ||
department [ |
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rules relating to those matters. | ||
SECTION 1.08. Sections 3.07(a), (c), and (d), Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
(a) The department [ |
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judges and all of the stewards for the supervision of a horse race | ||
or greyhound race meeting. Each horse race or greyhound race | ||
meeting shall be supervised by three stewards for horse racing or by | ||
three judges for greyhound racing. The department [ |
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shall designate one of the stewards or judges as the presiding | ||
steward or judge for each race meeting. The association, following | ||
the completion of the race meeting, may submit written comments to | ||
the department [ |
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stewards and judges for the department's [ |
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Comments received are not binding, in any way, on the department | ||
[ |
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shall employ at least one state veterinarian. The commission may, | ||
by rule, impose a fee on an association to offset the costs of | ||
compensating the stewards, judges, and state veterinarians. The | ||
amount of the fee for the compensation of stewards, judges, and | ||
state veterinarians must be reasonable according to industry | ||
standards for the compensation of those officials at other | ||
racetracks and may not exceed the actual cost to the department | ||
[ |
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officials shall be appointed by the association, with the approval | ||
of the department [ |
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not compensated by the department [ |
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by the association. | ||
(c) The department [ |
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or judge to take and pass both a written examination and a medical | ||
examination annually. The commission by rule shall prescribe the | ||
methods and procedures for taking the examinations and the | ||
standards for passing. Failure to pass an examination is a ground | ||
for refusal to issue an original or renewal license to a steward or | ||
judge or for suspension or revocation of such a license. | ||
(d) Medication or drug testing performed on a race animal | ||
under this Act shall be conducted by the Texas Veterinary Medical | ||
Diagnostic Laboratory or by a laboratory operated by or in | ||
conjunction with or by a private or public agency selected by the | ||
department [ |
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Veterinary Medical Diagnostic Laboratory. Medication or drug | ||
testing performed on a human under this Act shall be conducted by a | ||
laboratory approved by the department [ |
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services performed under this section shall be forwarded to the | ||
department [ |
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the charges for the services. Charges may include but are not | ||
limited to expenses incurred for travel, lodging, testing, and | ||
processing of test results. The reasonable charges associated with | ||
medication or drug testing conducted under this Act shall be paid by | ||
the association that receives the services. The commission shall | ||
adopt rules for the procedures for approving and paying laboratory | ||
charges under this section. The department [ |
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determine whether the laboratory charges are reasonable in relation | ||
to industry standards by periodically surveying the drug testing | ||
charges of comparable laboratories in the United States. The | ||
department [ |
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association that receives the services for immediate payment. | ||
SECTION 1.09. Section 3.08(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) Except as provided by Subsection (b) of this section, a | ||
final decision of the stewards or judges may be appealed to the | ||
department [ |
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under Chapter 2001, Government Code [ |
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SECTION 1.10. Section 3.09(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) The department [ |
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collects under this Act in the State Treasury to the credit of a | ||
special fund to be known as the Texas racing [ |
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fund. The Texas racing [ |
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appropriated only for the administration and enforcement of this | ||
Act. Any unappropriated money exceeding $750,000 that remains in | ||
the fund at the close of each fiscal biennium shall be transferred | ||
to the General Revenue Fund and may be appropriated for any legal | ||
purpose. The legislature may also appropriate money from the | ||
General Revenue Fund for the administration and enforcement of this | ||
Act. Any amount of general revenue appropriated for the | ||
administration and enforcement of this Act in excess of the | ||
cumulative amount deposited in the Texas racing [ |
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fund shall be reimbursed from the Texas racing [ |
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fund not later than one year after the date on which the general | ||
revenue funds are appropriated, with 6-3/4 percent interest with | ||
all payments first attributable to interest. | ||
SECTION 1.11. Sections 3.10 and 3.11, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
Sec. 3.10. ANNUAL REPORT. The racing division [ |
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shall make a report to the governor, lieutenant governor, and | ||
speaker of the house of representatives not later than January 31 of | ||
each year. The report shall cover the operations of the racing | ||
division [ |
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racing and greyhound breeding and racing during the previous year. | ||
The racing division [ |
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Department of Public Safety a comprehensive report of any organized | ||
crime activities in this state which the Department of Public | ||
Safety [ |
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any and all illegal gambling which may be known to exist in the | ||
state and shall include the report by the Department of Public | ||
Safety [ |
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recommendations it considers appropriate. | ||
Sec. 3.11. COOPERATION WITH PEACE OFFICERS. The commission | ||
and the racing division shall cooperate with all district | ||
attorneys, criminal district attorneys, county attorneys, the | ||
Department of Public Safety, the attorney general, and all peace | ||
officers in enforcing this Act. Under its authority to conduct | ||
criminal history information record checks under this Act or | ||
Section 51.4012, Occupations Code [ |
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division [ |
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intelligence data with other states and agencies. | ||
SECTION 1.12. Section 3.13(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) The department [ |
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organization that meets the requirements of Subsection (a) of this | ||
section. | ||
SECTION 1.13. Sections 3.16(b), (d), (e), (f), and (j), | ||
Texas Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(b) The department [ |
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determine whether a prohibited substance has been used. The | ||
testing may be prerace or postrace as determined by the department | ||
[ |
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method. The commission's rules shall require state-of-the-art | ||
testing methods. | ||
(d) Except as otherwise provided, a person may appeal a | ||
ruling of the stewards or judges to the department [ |
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The department [ |
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the matter is before the department [ |
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(e) The department [ |
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to be frozen for a period necessary to allow any follow-up testing | ||
to detect and identify a prohibited substance. Any other specimen | ||
shall be maintained for testing purposes in a manner required by | ||
commission rule. | ||
(f) If a test sample or specimen shows the presence of a | ||
prohibited substance, the entire sample, including any split | ||
portion remaining in the custody of the department [ |
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shall be maintained until final disposition of the matter. | ||
(j) A person who violates a rule adopted under this section | ||
may: | ||
(1) have any license issued to the person by the racing | ||
division [ |
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(2) be barred for life or any other period from | ||
applying for or receiving a license issued by the racing division | ||
[ |
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SECTION 1.14. Sections 3.17 through 3.21, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
Sec. 3.17. SECURITY FOR FEES AND CHARGES. The department | ||
[ |
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amount and form determined by the commission to adequately ensure | ||
the payment of any fees or charges due to the state or the | ||
department [ |
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charges for drug testing. | ||
Sec. 3.18. CEASE AND DESIST ORDER. (a) The executive | ||
director [ |
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executive director [ |
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or other licensee is engaging or is likely to engage in conduct that | ||
violates this Act or a commission rule. | ||
(b) On issuance of a cease and desist order, the executive | ||
director [ |
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licensee by personal delivery or registered or certified mail, | ||
return receipt requested, to the person's last known address, a | ||
proposed cease and desist order. The proposed order must state the | ||
specific acts or practices alleged to violate this Act or a | ||
commission rule. The proposed order must state its effective date. | ||
The effective date may not be before the 21st day after the date the | ||
proposed order is mailed or delivered. If the person against whom | ||
the proposed order is directed requests, in writing, a hearing | ||
before the effective date of the proposed order, the order is | ||
automatically stayed pending final adjudication of the order. | ||
Unless the person against whom the proposed order is directed | ||
requests, in writing, a hearing before the effective date of the | ||
proposed order, the order takes effect and is final and | ||
nonappealable as to that person. | ||
(c) On receiving a request for a hearing, the executive | ||
director [ |
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hearing by personal delivery or registered or certified mail, | ||
return receipt requested. At a hearing, the department | ||
[ |
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support of the order. Each person against whom the order is | ||
directed may cross-examine and show cause why the order should not | ||
be issued. | ||
(d) After the hearing, the department [ |
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issue or decline to issue a cease and desist order. The proposed | ||
order may be modified as necessary to conform to the findings at the | ||
hearing. An order issued under this section is final for purposes | ||
of enforcement and appeal and shall require the person to | ||
immediately cease and desist from the conduct that violates this | ||
Act or a commission rule. | ||
(e) A person affected by a cease and desist order issued, | ||
affirmed, or modified after a hearing may file a petition for | ||
judicial review in a district court of Travis County under Chapter | ||
2001, Government Code. A petition for judicial review does not stay | ||
or vacate the order unless the court, after hearing, specifically | ||
stays or vacates the order. | ||
Sec. 3.19. EMERGENCY CEASE AND DESIST ORDER. (a) The | ||
executive director [ |
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desist order if the executive director [ |
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believes an association or other licensee is engaged in a | ||
continuing activity that violates this Act or a commission rule in a | ||
manner that threatens immediate and irreparable public harm. | ||
(b) After issuing an emergency cease and desist order, the | ||
executive director [ |
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other licensee by personal delivery or registered or certified | ||
mail, return receipt requested, to the person's last known address, | ||
an order stating the specific charges and requiring the person | ||
immediately to cease and desist from the conduct that violates this | ||
Act or a commission rule. The order must contain a notice that a | ||
request for hearing may be filed under this section. | ||
(c) An association or other licensee that is the subject of | ||
an emergency cease and desist order may request a hearing. The | ||
request must be filed with the executive director [ |
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later than the 10th day after the date the order was received or | ||
delivered. A request for a hearing must be in writing and directed | ||
to the executive director [ |
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for the request to set aside or modify the order. Unless a person | ||
who is the subject of the emergency order requests a hearing in | ||
writing before the 11th day after the date the order is received or | ||
delivered, the emergency order is final and nonappealable as to | ||
that person. | ||
(d) On receiving a request for a hearing, the executive | ||
director [ |
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hearing by personal delivery or registered or certified mail, | ||
return receipt requested. The hearing must be held not later than | ||
the 10th day after the date the executive director [ |
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receives the request for a hearing unless the parties agree to a | ||
later hearing date. At the hearing, the department [ |
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has the burden of proof and must present evidence in support of the | ||
order. The person requesting the hearing may cross-examine | ||
witnesses and show cause why the order should not be affirmed. | ||
Section 2003.021(b), Government Code, does not apply to hearings | ||
conducted under this section. | ||
(e) An emergency cease and desist order continues in effect | ||
unless the order is stayed by the executive director [ |
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The executive director [ |
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granting a stay of the order. | ||
(f) After the hearing, the executive director [ |
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shall affirm, modify, or set aside in whole or part the emergency | ||
cease and desist order. An order affirming or modifying the | ||
emergency cease and desist order is final for purposes of | ||
enforcement and appeal. | ||
Sec. 3.20. VIOLATION OF FINAL CEASE AND DESIST ORDER. (a) | ||
If the executive director [ |
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person has violated a final and enforceable cease and desist order, | ||
the executive director [ |
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(1) initiate administrative penalty proceedings under | ||
Article 15 of this Act; | ||
(2) refer the matter to the attorney general for | ||
enforcement by injunction and any other available remedy; or | ||
(3) pursue any other action, including suspension of | ||
the person's license, that the executive director [ |
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considers appropriate. | ||
(b) If the attorney general prevails in an action brought | ||
under Subsection (a)(2) of this section, the attorney general is | ||
entitled to recover reasonable attorney's fees. | ||
Sec. 3.21. INJUNCTION. The department [ |
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institute an action in its own name to enjoin the violation of this | ||
Act. An action for an injunction is in addition to any other | ||
action, proceeding, or remedy authorized by law. | ||
SECTION 1.15. Section 3.22(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) The executive director [ |
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prohibiting the association from making any transfer from a bank | ||
account held by the association for the conduct of its business | ||
under this Act, pending department [ |
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records of the account, if the executive director [ |
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reasonably believes that the association has failed to maintain the | ||
proper amount of money in the horsemen's account. The executive | ||
director [ |
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association to pay certain expenses necessary for the operation of | ||
the racetrack, subject to the executive director's [ |
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approval. An order issued under this section may be made valid for | ||
a period not to exceed 14 days. | ||
SECTION 1.16. Sections 4.01, 4.05, 5.01, 5.02, 5.03, 5.04, | ||
5.05, and 6.01, Texas Racing Act (Article 179e, Vernon's Texas | ||
Civil Statutes), are amended to read as follows: | ||
Sec. 4.01. BOOKS AND RECORDS. All books, records, and | ||
financial statements required by the department [ |
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Section 3.04 of this Act are open to inspection by the comptroller. | ||
The comptroller by rule may specify the form and manner in which the | ||
books, records, and statements are to be kept and reports are to be | ||
filed that relate to the state's share of a pari-mutuel pool. | ||
Sec. 4.05. COMPLIANCE. (a) If an association or | ||
totalisator company does not comply with a rule adopted by the | ||
comptroller under this article, refuses to allow access to or | ||
inspection of any of its required books, records, or financial | ||
statements, refuses to allow access to or inspection of the | ||
totalisator system, or becomes delinquent for the state's portion | ||
of the pari-mutuel pool or for any other tax collected by the | ||
comptroller, the comptroller shall certify that fact to the | ||
department [ |
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(b) With regard to the state's portion of the pari-mutuel | ||
pool and any penalties related to the state's portion, the | ||
comptroller, acting independently of the department [ |
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may take any collection or enforcement actions authorized under the | ||
Tax Code against a delinquent or dilatory taxpayer. Administrative | ||
appeals related to the state's portion of the pari-mutuel pool or | ||
late reporting or deposit of the state's portion shall be to the | ||
comptroller and then to the courts as under Title 2, Tax Code. All | ||
other administrative appeals shall be to the commission and then to | ||
the courts. | ||
Sec. 5.01. FORM; CERTIFICATE; FEES. (a) The department | ||
[ |
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and shall provide each occupational licensee with a license | ||
certificate or credentials. | ||
(b) The department [ |
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reasonable license fees for each category of license issued under | ||
this Act. | ||
(c) The operation of a racetrack and the participation in | ||
racing are privileges, not rights, granted only by the department | ||
[ |
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conditions set by the department and commission. | ||
(d) The commission by rule shall set fees in amounts | ||
reasonable and necessary to cover the department's [ |
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costs of regulating, overseeing, and licensing live and simulcast | ||
racing at racetracks. | ||
Sec. 5.02. JUDICIAL REVIEW. (a) Judicial review of an | ||
order of the department or commission is under the substantial | ||
evidence rule. | ||
(b) Venue for judicial review of an order of the department | ||
or commission is in a district court in Travis County. | ||
Sec. 5.03. FINGERPRINTS. (a) An applicant for any license | ||
or license renewal under this Act must, except as allowed under | ||
Section 7.10 of this Act, submit to the racing division | ||
[ |
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natural person applying for the license or license renewal or, if | ||
the applicant is not an individual natural person, a complete set of | ||
fingerprints of each officer or director and of each person owning | ||
an interest of at least five percent in the applicant. The | ||
Department of Public Safety may request any person owning any | ||
interest in an applicant for a racetrack license to submit a | ||
complete set of fingerprints. | ||
(b) If a complete set of fingerprints is required by the | ||
racing division [ |
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shall, not later than the 10th business day after the date the | ||
racing division [ |
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prints to the Department of Public Safety or the Federal Bureau of | ||
Investigation. If the prints are forwarded to the Department of | ||
Public Safety, the Department of Public Safety [ |
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classify the prints and check them against its fingerprint files | ||
and shall report to the racing division [ |
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concerning the criminal record of the applicant or the lack of such | ||
a record. A racetrack license may not be issued until the report is | ||
made to the racing division [ |
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occupational license may be issued before a report is made to the | ||
racing division [ |
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(c) A peace officer of this or any other state, or any | ||
district office of the racing division [ |
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fingerprints of an applicant for a license or license renewal on | ||
forms approved and furnished by the Department of Public Safety and | ||
shall immediately deliver them to the racing division [ |
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Sec. 5.04. ACCESS TO CRIMINAL HISTORY RECORDS. In addition | ||
to any other authorizations to obtain criminal history record | ||
information provided by law, the department [ |
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is authorized to obtain any criminal history record information | ||
that relates to each applicant for employment by the racing | ||
division [ |
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the racing division [ |
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Department of Public Safety or the Federal Bureau of Investigation | ||
Identification Division. The racing division [ |
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refuse to recommend an applicant who fails to provide a complete set | ||
of fingerprints. | ||
Sec. 5.05. COST OF CRIMINAL HISTORY CHECK. (a) The | ||
department or commission shall, in determining the amount of a | ||
license fee, set the fee in an amount that will cover, at least, the | ||
cost of conducting a criminal history check on the applicant for a | ||
license. | ||
(b) The racing division [ |
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Department of Public Safety for the cost, if any, of conducting a | ||
criminal history check under this article. | ||
Sec. 6.01. LICENSE REQUIRED. A person may not conduct | ||
wagering on a greyhound race or a horse race meeting without first | ||
obtaining a racetrack license from the department [ |
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person who violates this section commits an offense. | ||
SECTION 1.17. Sections 6.02(b), (c), (f), and (g), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(b) A class 1 racetrack is a racetrack on which live racing | ||
is conducted for a number of days in a calendar year, the number of | ||
days and the actual dates to be determined by the department | ||
[ |
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operate only in a county with a population of not less than 1.3 | ||
million, or in a county adjacent to a county with such a population. | ||
Not more than three class 1 racetracks may be licensed and operated | ||
in this state. | ||
(c) A class 2 racetrack is a racetrack on which live racing | ||
is conducted for a number of days to be determined by the department | ||
[ |
||
entitled to conduct 60 days of live racing in a calendar year. An | ||
association may request additional or fewer days of live racing. If | ||
after receipt of a request from an association the department | ||
[ |
||
feasible and in the best interest of the state and the racing | ||
industry, the department [ |
||
fewer days. The department [ |
||
that holds a class 2 racetrack license and that is located in a | ||
national historic district to conduct horse races for more than 60 | ||
days in a calendar year. | ||
(f) The number of race dates allowed under this section | ||
relates only to live race dates. A racetrack may present simulcast | ||
races on other dates as approved by the department [ |
||
(g) A class 4 racetrack is a racetrack operated by a county | ||
fair under Section 12.03 of this Act. An association that holds a | ||
class 4 racetrack license may conduct live races for a number of | ||
days not to exceed five days in a calendar year on dates selected by | ||
the association and approved by the department [ |
||
SECTION 1.18. Sections 6.03(a), (b), (e), and (h), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) The department [ |
||
applicant for an original racetrack license to pay the required | ||
application fee and to submit an application, on a form prescribed | ||
by the department [ |
||
information: | ||
(1) if the applicant is an individual, the full name of | ||
the applicant, the applicant's date of birth, a physical | ||
description of the applicant, the applicant's current address and | ||
telephone number, and a statement by the applicant disclosing any | ||
arrest or conviction for a felony or for a misdemeanor, except a | ||
misdemeanor under Subtitle C, Title 7, Transportation Code, [ |
||
|
||
|
||
(2) if the applicant is a corporation: | ||
(A) the state in which it is incorporated, the | ||
names and addresses of the corporation's agents for service of | ||
process in this state, the names and addresses of its officers and | ||
directors, the names and addresses of its stockholders, and, for | ||
each individual named under this subdivision, the individual's date | ||
of birth, current address and telephone number, and physical | ||
description, and a statement disclosing any arrest or conviction | ||
for a felony or for a misdemeanor, except a misdemeanor under | ||
Subtitle C, Title 7, Transportation Code, [ |
||
|
||
|
||
(B) identification of any other beneficial owner | ||
of shares in the applicant that bear voting rights, absolute or | ||
contingent, any other person that directly or indirectly exercises | ||
any participation in the applicant, and any other ownership | ||
interest in the applicant that the applicant making its best effort | ||
is able to identify; | ||
(3) if the applicant is an unincorporated business | ||
association: | ||
(A) the names and addresses of each of its | ||
members and, for each individual named under this subdivision, the | ||
individual's date of birth, current address and telephone number, | ||
and physical description, and a statement disclosing any arrest or | ||
conviction for a felony or for a misdemeanor, except a misdemeanor | ||
under Subtitle C, Title 7, Transportation Code, [ |
||
|
||
|
||
(B) identification of any other person that | ||
exercises voting rights in the applicant or that directly or | ||
indirectly exercises any participation in the applicant and any | ||
other ownership interest in the applicant that the applicant making | ||
its best effort is able to identify; | ||
(4) the exact location at which a race meeting is to be | ||
conducted; | ||
(5) if the racing facility is in existence, whether it | ||
is owned by the applicant and, if leased to the applicant, the name | ||
and address of the owner and, if the owner is a corporation or | ||
unincorporated business association, the names and addresses of its | ||
officers and directors, its stockholders and members, if any, and | ||
its agents for service of process in this state; | ||
(6) if construction of the racing facility has not | ||
been initiated, whether it is to be owned by the applicant and, if | ||
it is to be leased to the applicant, the name and address of the | ||
prospective owner and, if the owner is a corporation or | ||
unincorporated business association, the names and addresses of its | ||
officers and directors, the names and addresses of its | ||
stockholders, the names and addresses of its members, if any, and | ||
the names and addresses of its agents for service of process in this | ||
state; | ||
(7) identification of any other beneficial owner of | ||
shares that bear voting rights, absolute or contingent, in the | ||
owner or prospective owner of the racing facility, or any other | ||
person that directly or indirectly exercises any participation in | ||
the owner or prospective owner and all other ownership interest in | ||
the owner or prospective owner that the applicant making its best | ||
effort is able to identify; | ||
(8) a detailed statement of the assets and liabilities | ||
of the applicant; | ||
(9) the kind of racing to be conducted and the dates | ||
requested; | ||
(10) proof of residency as required by Section 6.06 of | ||
this Act; | ||
(11) a copy of each management, concession, and | ||
totalisator contract dealing with the proposed license at the | ||
proposed location in which the applicant has an interest for | ||
inspection and review by the department [ |
||
or licensee shall advise the department [ |
||
in any management, concession, or totalisator contract; all | ||
management, concession, and totalisator contracts must have prior | ||
approval of the department [ |
||
criminal records history, and other information required of license | ||
applicants pursuant to Sections 5.03 and 5.04 and Subdivisions (1) | ||
through (3) of this subsection shall be required of proposed | ||
totalisator firms, concessionaires, and managers and management | ||
firms; and | ||
(12) any other information required by the department | ||
[ |
||
(b) When the department [ |
||
security of a racetrack facility, or a copy of a management, | ||
concession, or totalisator contract for review under Subdivision | ||
(11) of Subsection (a) of this section, the department [ |
||
shall review the contract or security plan in an executive session. | ||
Documents submitted to the department [ |
||
section by an applicant are subject to discovery in a suit brought | ||
under this Act but are not public records and are not subject to | ||
Chapter 552, Government Code [ |
||
|
||
|
||
subsection, the department [ |
||
involvement of minority owned businesses whenever possible. | ||
(e) The minimum application fee for a horse racing track is | ||
$15,000 for a class 1 racetrack, $7,500 for a class 2 racetrack, | ||
$2,500 for a class 3 racetrack, and $1,500 for a class 4 racetrack. | ||
The minimum application fee for a greyhound racing track is | ||
$20,000. Using the minimum fees, the commission by rule shall | ||
establish a schedule of application fees for the various types and | ||
sizes of racing facilities. The department [ |
||
the application fees in amounts that are reasonable and necessary | ||
to cover the costs of administering this Act. | ||
(h) In considering an application for a horse racetrack | ||
license under this section, the department [ |
||
additional weight to evidence concerning an applicant who has | ||
experience operating a horse racetrack licensed under this Act. | ||
SECTION 1.19. Section 6.031, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 6.031. BACKGROUND CHECK. The department [ |
||
shall require a complete personal, financial, and business | ||
background check of the applicant or any person owning an interest | ||
in or exercising control over an applicant for a racetrack license, | ||
the partners, stockholders, concessionaires, management personnel, | ||
management firms, and creditors and shall refuse to issue or renew a | ||
license or approve a concession or management contract if, in the | ||
sole discretion of the department [ |
||
checks reveal anything which might be detrimental to the public | ||
interest or the racing industry. The department [ |
||
not hold a hearing on the application, or any part of the | ||
application, of an applicant for a racetrack license before the | ||
completed background check of the applicant has been on file with | ||
the department [ |
||
SECTION 1.20. Section 6.032(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) The department [ |
||
holder of a racetrack license or an applicant for a racetrack | ||
license to post security in an amount reasonably necessary, as | ||
provided by commission rule, to adequately ensure the license | ||
holder's or applicant's compliance with substantive requirements of | ||
this Act and commission rules. | ||
SECTION 1.21. Section 6.04, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
Sec. 6.04. ISSUANCE OF LICENSE. (a) The department | ||
[ |
||
it finds that the conduct of race meetings at the proposed track and | ||
location will be in the public interest, complies with all zoning | ||
laws, and complies with this Act and the rules adopted by the | ||
commission and if the department [ |
||
convincing evidence that the applicant will comply with all | ||
criminal laws of this state. In determining whether to grant or | ||
deny an application for any class of racetrack license, the | ||
department [ |
||
(1) the applicant's financial stability; | ||
(2) the applicant's resources for supplementing the | ||
purses for races for various breeds; | ||
(3) the location of the proposed track; | ||
(4) the effect of the proposed track on traffic flow; | ||
(5) facilities for patrons and occupational | ||
licensees; | ||
(6) facilities for race animals; | ||
(7) availability to the track of support services and | ||
emergency services; | ||
(8) the experience of the applicant's employees; | ||
(9) the potential for conflict with other licensed | ||
race meetings; | ||
(10) the anticipated effect of the race meeting on the | ||
greyhound or horse breeding industry in this state; and | ||
(11) the anticipated effect of the race meeting on the | ||
state and local economy from tourism, increased employment, and | ||
other sources. | ||
(b) [ |
||
the applicant described in this article have been satisfied, the | ||
department [ |
||
application is complete. | ||
(c) [ |
||
determination with respect to a pending application not later than | ||
the 120th day after the date on which the department [ |
||
provided to the applicant the notice required under Subsection (b) | ||
[ |
||
(d) [ |
||
licenses for more than three greyhound racetracks in this state. | ||
Those racetracks must be located in counties that border the Gulf of | ||
Mexico. | ||
(e) [ |
||
racetrack license, the department [ |
||
compliance with the department's [ |
||
regarding the physical facilities or operations of a horse | ||
racetrack. The department [ |
||
compliance with standards that relate to the testing of horses or | ||
licensees for the presence of a prohibited drug, chemical, or other | ||
substance. If the department [ |
||
department [ |
||
establish a schedule under which the licensee must comply with the | ||
standards. | ||
SECTION 1.22. Sections 6.06(e), (f), and (k), Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
(e) The department [ |
||
of a license under this article on the observance of commission | ||
[ |
||
the department may condition the continued holding of the license | ||
on compliance with the rules as amended. | ||
(f) The department [ |
||
license or may suspend or revoke a license of a licensee under this | ||
article who knowingly or intentionally allows access to an | ||
enclosure where greyhound races or horse races are conducted to a | ||
person who has engaged in bookmaking, touting, or illegal wagering, | ||
whose income is from illegal activities or enterprises, or who has | ||
been convicted of a violation of this Act. | ||
(k) The department [ |
||
and management of an active license issued under this article every | ||
five years beginning on the fifth anniversary of the issuance of the | ||
license. In performing the review, the department [ |
||
require the license holder to provide any information that would be | ||
required to be provided in connection with an original license | ||
application under Article 5 of this Act or this article. The | ||
department [ |
||
sufficient to implement this subsection. | ||
SECTION 1.23. Sections 6.0601(a), (b), and (d), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) The department [ |
||
racetrack license as an active license or an inactive license. The | ||
department [ |
||
license as appropriate. | ||
(b) The department [ |
||
license as an active license if the license holder: | ||
(1) holds live racing events at the racetrack; or | ||
(2) makes good faith efforts to conduct live racing. | ||
(d) Before the first anniversary of the date a new racetrack | ||
license is issued, the department [ |
||
evaluation of the license to determine whether the license is an | ||
active or inactive license. | ||
SECTION 1.24. Sections 6.0602(a), (b), and (d), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) The commission by rule shall establish an annual renewal | ||
process for inactive licenses and the department may require the | ||
license holder to provide any information required for an original | ||
license application under this Act. An inactive license holder | ||
must complete the annual renewal process established under this | ||
section until the department [ |
||
(1) designates the license as an active license; or | ||
(2) refuses to renew the license. | ||
(b) In determining whether to renew an inactive license, the | ||
department [ |
||
(1) the inactive license holder's: | ||
(A) financial stability; | ||
(B) ability to conduct live racing; | ||
(C) ability to construct and maintain a racetrack | ||
facility; and | ||
(D) other good faith efforts to conduct live | ||
racing; and | ||
(2) other necessary factors considered in the issuance | ||
of the original license. | ||
(d) The department [ |
||
of the racing industry and other key stakeholders in developing the | ||
license renewal process under this section. | ||
SECTION 1.25. Section 6.061(f), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(f) The commission shall adopt rules relating to the | ||
department's [ |
||
section by the executive director [ |
||
adopted under this subsection must be consistent with Chapter 2001, | ||
Government Code. | ||
SECTION 1.26. Section 6.062, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 6.062. SUPERVISION OF CHANGES TO PREMISES. (a) The | ||
department [ |
||
approving the construction, renovation, or maintenance of any | ||
building or improvement on the premises of a racetrack facility. | ||
(b) The commission shall adopt rules relating to: | ||
(1) the approval of plans and specifications; | ||
(2) the contents of plans and specifications; | ||
(3) the maintenance of records to ensure compliance | ||
with approved plans and specifications; | ||
(4) the content and filing of construction progress | ||
reports by the racetrack facility to the department [ |
||
(5) the inspection by the department [ |
||
others; | ||
(6) the method for making a change or amendment to an | ||
approved plan or specification; and | ||
(7) any other method of supervision or oversight | ||
necessary. | ||
(c) If the department [ |
||
that an association has failed to comply with the requirements of | ||
this section, a representative of the association shall appear | ||
before the department [ |
||
compliance with the rules adopted under this section. | ||
(d) Before a building or improvement may be used by the | ||
association, the department [ |
||
the construction, renovation, or maintenance of the building or | ||
improvement was completed in accordance with the approved plans and | ||
specifications and whether other requirements of the department or | ||
commission were met. | ||
(e) If the department [ |
||
association failed to comply with a requirement of this section or | ||
rule adopted under this section, the department [ |
||
initiate an enforcement action against the association. In | ||
addition to any other authorized enforcement action, the department | ||
[ |
||
association that has failed to comply with the requirement of this | ||
section. | ||
SECTION 1.27. Sections 6.063(a), (b), (c), and (d), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) The executive director [ |
||
suspend a racetrack license if the executive director [ |
||
determines that a racetrack at which races or pari-mutuel wagering | ||
are conducted under the license is being operated in a manner that | ||
constitutes an immediate threat to the health, safety, or welfare | ||
of the participants in racing or the patrons. | ||
(b) After issuing a summary suspension order, the executive | ||
director [ |
||
delivery or registered or certified mail, return receipt requested, | ||
to the licensee's last known address, an order stating the specific | ||
charges and requiring the licensee immediately to cease and desist | ||
from all conduct permitted by the license. The order must contain a | ||
notice that a request for hearing may be filed under this section. | ||
(c) An association that is the subject of a summary | ||
suspension order may request a hearing. The request must be filed | ||
with the executive director [ |
||
after the date the order was received or delivered. A request for a | ||
hearing must be in writing and directed to the executive director | ||
[ |
||
or modify the order. Unless a licensee who is the subject of the | ||
order requests a hearing in writing before the 11th day after the | ||
date the order is received or delivered, the order is final and | ||
nonappealable as to that licensee. | ||
(d) On receiving a request for a hearing, the executive | ||
director [ |
||
hearing by personal delivery or registered or certified mail, | ||
return receipt requested. The hearing must be held not later than | ||
the 10th day after the date the executive director [ |
||
receives the request for a hearing unless the parties agree to a | ||
later hearing date. At the hearing, the department [ |
||
has the burden of proof and must present evidence in support of the | ||
order. The licensee requesting the hearing may cross examine | ||
witnesses and show cause why the order should not be affirmed. | ||
Section 2003.021(b), Government Code, does not apply to hearings | ||
conducted under this section. | ||
SECTION 1.28. Sections 6.07(b) and (c), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(b) The department [ |
||
(1) it appears that the lease is a subterfuge to evade | ||
compliance with Section [ |
||
(2) the racetrack and surrounding structures do not | ||
conform to the rules adopted under this Act; or | ||
(3) the lessee, prospective lessee, or lessor is | ||
disqualified from holding a racetrack license. | ||
(c) Each lessor and lessee under this section must comply | ||
with the disclosure requirements of Subdivision (1) of Subsection | ||
(a) of Section 6.03 of this Act. The department [ |
||
not approve a lease if the lessor and lessee do not provide the | ||
required information. | ||
SECTION 1.29. Section 6.08(b)(4), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(4) An association[ |
||
portion of the revenue set aside under this subsection to an | ||
organization recognized under Section 3.13 of this Act, as provided | ||
by a contract approved by the department [ |
||
SECTION 1.30. Section 6.08(i), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(i) Ten percent of the total breakage from a live | ||
pari-mutuel pool or a simulcast pari-mutuel pool is to be paid to | ||
the department [ |
||
breed registry, subject to rules promulgated by the commission. The | ||
appropriate breed registry for Thoroughbred horses is the Texas | ||
Thoroughbred Breeders Association, for quarter horses is the Texas | ||
Quarter Horse Association, for Appaloosa horses is the Texas | ||
Appaloosa Horse Club, for Arabian horses is the Texas Arabian | ||
Breeders Association, and for paint horses is the Texas Paint Horse | ||
Breeders Association. | ||
SECTION 1.31. Sections 6.09(d) and (f), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(d) Fifty percent of the breakage is to be paid to the | ||
appropriate state greyhound breeding registry. Of that portion of | ||
the breakage 25 percent of that breakage is to be used in stakes | ||
races and 25 percent of that total breakage from a live pari-mutuel | ||
pool or a simulcast pari-mutuel pool is to be paid to the department | ||
[ |
||
subject to rules promulgated by the commission. | ||
(f) The commission in adopting rules relating to money paid | ||
to the department [ |
||
registry under Subsection (d) of this section shall require the | ||
award of a grant in an amount equal to two percent of the amount paid | ||
to the department [ |
||
registry to a person for the rehabilitation of greyhounds or to | ||
locate homes for greyhounds. | ||
SECTION 1.32. Sections 6.091(a), (c), (e), (f), and (g), | ||
Texas Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(a) An association shall distribute from the total amount | ||
deducted as provided by Sections 6.08(a) and 6.09(a) of this Act | ||
from each simulcast pari-mutuel pool and each simulcast | ||
cross-species pool the following shares: | ||
(1) an amount equal to one percent of each simulcast | ||
pool as the amount set aside for the state; | ||
(2) an amount equal to 1.25 percent of each simulcast | ||
cross-species pool as the amount set aside for the state; | ||
(3) if the association is a horse racing association, | ||
an amount equal to one percent of a multiple two wagering pool or | ||
multiple three wagering pool as the amount set aside for the | ||
Texas-bred program to be used as provided by Section 6.08(f) of this | ||
Act; | ||
(4) if the association is a greyhound association, an | ||
amount equal to one percent of a multiple two wagering pool or a | ||
multiple three wagering pool as the amount set aside for the | ||
Texas-bred program for greyhound races, to be distributed and used | ||
in accordance with rules of the commission adopted to promote | ||
greyhound breeding in this state; and | ||
(5) the remainder as the amount set aside for purses, | ||
expenses, the sending association, and the receiving location | ||
pursuant to a contract approved by the department [ |
||
between the sending association and the receiving location. | ||
(c) A greyhound racetrack association that receives an | ||
interstate cross-species simulcast signal shall distribute the | ||
following amounts from the total amount deducted as provided by | ||
Subsection (a) of this section from each pool wagered on the signal | ||
at the facility: | ||
(1) a fee of 1.5 percent to be paid to the racetrack | ||
facility in this state sending the signal; | ||
(2) a purse in the amount of 0.75 percent to be paid to | ||
the official state breed registry for thoroughbred horses for use | ||
as purses at racetracks in this state; | ||
(3) a purse in the amount of 0.75 percent to be paid to | ||
the official state breed registry for quarter horses for use as | ||
purses at racetracks in this state; and | ||
(4) a purse of 4.5 percent to be escrowed with the | ||
department [ |
||
Subsection (e) of this section. | ||
(e) The purse set aside under Subsection (c)(4) of this | ||
section shall be deposited into an escrow account in the registry of | ||
the department [ |
||
this state may apply to the department [ |
||
all or part of the escrowed purse account for use as purses. The | ||
department [ |
||
the escrowed purse account shall be allocated and in what | ||
percentages, taking into consideration purse levels, racing | ||
opportunities, and the financial status of the requesting | ||
racetrack. [ |
||
|
||
|
||
(f) A [ |
||
association that is located not more than 75 miles from a greyhound | ||
racetrack facility that offers wagering on a cross-species | ||
simulcast signal may apply to the department [ |
||
additional allocation of up to 20 percent of the funds in the | ||
escrowed purse account that is attributable to the wagering on a | ||
cross-species simulcast signal at the greyhound racetrack | ||
facility, if the horse racetrack facility sends the cross-species | ||
simulcast signal to the greyhound racetrack. If the applying horse | ||
racetrack can prove to the department's [ |
||
that a decrease in the racetrack's handle has occurred that is | ||
directly due to wagering on an interstate cross-species simulcast | ||
signal at a greyhound racetrack facility that is located not more | ||
than 75 miles from the applying racetrack, the department | ||
[ |
||
account as the department [ |
||
compensate the racetrack for the decrease, but the amount allocated | ||
may not exceed 20 percent of the funds in the escrowed purse account | ||
that are attributable to the wagering on the interstate | ||
cross-species simulcast signal at the greyhound racetrack | ||
facility. Any amount allocated by the department [ |
||
under this subsection may be used by the racetrack facility for any | ||
purpose. | ||
(g) If a racing association purchases an interstate | ||
simulcast signal and the cost of the signal is more than five | ||
percent of the pari-mutuel pool, the department [ |
||
reimburse the racing association an amount equal to one-half of the | ||
signal cost that is more than five percent of the pari-mutuel pool | ||
from the escrowed purse account under Subsection (c)(4) of this | ||
section. | ||
SECTION 1.33. Sections 6.092(c), (d), and (e), Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
(c) An organization receiving funds generated by live or | ||
simulcast pari-mutuel racing shall annually file with the | ||
department [ |
||
independent certified public accountant. The audit shall include a | ||
verification of any performance report sent to or required by the | ||
department [ |
||
(d) The department [ |
||
books of an organization that submits an independent audit to the | ||
department [ |
||
necessary to confirm or further investigate the findings of an | ||
audit or report. | ||
(e) The commission by rule may suspend or withhold funds | ||
from an organization that: | ||
(1) it determines has failed to comply with the | ||
requirements or performance measures adopted under Subsection (a) | ||
of this section; or | ||
(2) has, following an independent audit or other | ||
report to the department [ |
||
the use of funds by the organization. | ||
SECTION 1.34. Sections 6.094(b), (c), (d), and (e), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(b) An association conducting the Breeders' Cup races may | ||
apply to the reimbursement of Breeders' Cup costs amounts that | ||
would otherwise be set aside by the association for the state under | ||
Sections 6.091(a)(1) and 6.093 of this Act during the year in which | ||
the association hosts the Breeders' Cup races, limited to an amount | ||
equal to the lesser of the aggregate amount contributed to pay | ||
Breeders' Cup costs by political subdivisions and development | ||
organizations or $2 million. Beginning on January 1 of the year for | ||
which the association has been officially designated to host the | ||
Breeders' Cup races, amounts that would otherwise be set aside by | ||
the association for the state during that year under Sections | ||
6.091(a)(1) and 6.093 of this Act shall be set aside, in accordance | ||
with procedures prescribed by the comptroller, for deposit into the | ||
Breeders' Cup Developmental Account. The Breeders' Cup | ||
Developmental Account is an account in the general revenue fund. | ||
The department [ |
||
the account may be appropriated only to the department [ |
||
and may be used only for the purposes specified in this section. | ||
The account is exempt from the application of Section 403.095, | ||
Government Code. | ||
(c) The department [ |
||
from the Breeders' Cup Developmental Account to reimburse Breeders' | ||
Cup costs actually incurred and paid by the association, after the | ||
association files a request for reimbursement. Disbursements from | ||
the account may not at any time exceed the aggregate amount actually | ||
paid for Breeders' Cup costs by political subdivisions and | ||
development organizations, as certified by the department | ||
[ |
||
(d) Not later than January 31 of the year following the year | ||
in which the association hosts the Breeders' Cup races, the | ||
association shall submit to the department [ |
||
that shows: | ||
(1) the total amount of Breeders' Cup costs incurred | ||
and paid by the association; | ||
(2) the total payments made by political subdivisions | ||
and development organizations for Breeders' Cup costs; and | ||
(3) any other information requested by the department | ||
[ |
||
(e) Following receipt of the report required by Subsection | ||
(d) of this section, the department [ |
||
steps it considers appropriate to verify the report. Not later than | ||
March 31 of the year following the event, the department | ||
[ |
||
fund any balance remaining in the Breeders' Cup Developmental | ||
Account after reimbursement of any remaining Breeders' Cup costs | ||
authorized under this section. | ||
SECTION 1.35. Section 6.12(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) In the event of the death of any person whose death | ||
causes a violation of the licensing provisions of this Act, the | ||
department [ |
||
not to exceed one year under rules adopted by the commission. | ||
SECTION 1.36. Section 6.13, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
Sec. 6.13. FINANCIAL DISCLOSURE. (a) The commission by | ||
rule shall require that each association holding a license for a | ||
class 1 racetrack, class 2 racetrack, or greyhound racetrack must | ||
annually file with the department [ |
||
statement that: | ||
(1) contains the names and addresses of all | ||
stockholders, members and owners of any interest in the racetrack | ||
facility; | ||
(2) indicates compliance during the filing period with | ||
Section 6.06 of this Act; and | ||
(3) includes any other information required by the | ||
department [ |
||
(b) Each transaction that involves an acquisition or a | ||
transfer of a pecuniary interest in the association must receive | ||
prior approval from the department [ |
||
changes the ownership of the association requires submission of | ||
updated information of the type required to be disclosed under | ||
Subsection (a) of Section 6.03 of this Act and payment of a fee to | ||
recover the costs of the criminal background check. | ||
SECTION 1.37. Sections 6.14(a), (b), and (d), Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
(a) An association may not conduct greyhound or horse racing | ||
at any place other than the place designated in the license except | ||
as provided by this section or by Section 6.15 of this Act. However, | ||
if the racetrack or enclosure designated in the license becomes | ||
unsuitable for racing because of fire, flood, or other catastrophe, | ||
the affected association, with the prior approval of the department | ||
[ |
||
of a meeting temporarily at any other racetrack licensed by the | ||
department [ |
||
conducted by the affected association if the licensee of the other | ||
racetrack also consents to the usage. | ||
(b) The department [ |
||
three racetrack licenses for greyhound racing. | ||
(d) On request of an association, the department | ||
[ |
||
of the racetrack if the commission finds that: | ||
(1) the conduct of race meetings at the proposed track | ||
at the new location will be in the public interest; | ||
(2) there was not a competing applicant for the | ||
original license; and | ||
(3) the association's desire to change location is not | ||
the result of a subterfuge in the original licensing proceeding. | ||
SECTION 1.38. Section 6.15, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
Sec. 6.15. RACING AT TEMPORARY LOCATION. After an | ||
association has been granted a license to operate a racetrack and | ||
before the completion of construction at the designated place for | ||
which the license was issued, the department [ |
||
application by the association, issue a temporary license that | ||
permits the association to conduct races at a location in the same | ||
county for a period expiring two years after the date of issuance of | ||
the temporary license or on the completion of the permanent | ||
facility, whichever occurs first. The department [ |
||
set the conditions and standards for issuance of a temporary | ||
license and allocation of appropriate race days. An applicant for a | ||
temporary license must pay the application fees and must post the | ||
bonds required of other licensees before the issuance of a | ||
temporary license. After a temporary license has expired, no | ||
individual, corporation, or association, nor any individual | ||
belonging to a corporation or association which has been granted a | ||
temporary license, may get an extension of the temporary license or | ||
a new temporary license. | ||
SECTION 1.39. Section 6.16(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) An association may not employ any person who has been a | ||
member of the commission, the executive director [ |
||
|
||
[ |
||
plan of grade 12 or above, or any person related within the second | ||
degree by affinity or the third degree by consanguinity, as | ||
determined under Chapter 573, Government Code, to such a member or | ||
employee, during the one-year period immediately preceding the | ||
employment by the association. | ||
SECTION 1.40. Sections 7.01(a) and (c), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(a) Except as provided by this section, a person may not | ||
participate in racing with pari-mutuel wagering other than as a | ||
spectator or as a person placing a wager without first obtaining a | ||
license from the department [ |
||
in any occupation for which commission rules require a license | ||
under this Act without first obtaining a license from the | ||
department [ |
||
(c) A racetrack licensed under this Act is responsible for | ||
ensuring that its employees comply with this Act and commission | ||
rules. The department or commission may impose disciplinary action | ||
against a licensed racetrack for violations of this Act and | ||
commission rules by its employees as provided by Section 6.0603 of | ||
this Act. | ||
SECTION 1.41. Section 7.02(e), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(e) The department [ |
||
management contract to operate or manage a racetrack owned by a | ||
governmental entity unless the racetrack license holder is an owner | ||
of the entity that proposes to manage the racetrack. | ||
SECTION 1.42. Section 7.03, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
Sec. 7.03. ISSUANCE. The department [ |
||
issue a license to a qualified person on application and payment of | ||
the license fee. | ||
SECTION 1.43. Sections 8.01, 8.02, and 9.01, Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
Sec. 8.01. ALLOCATION. The department [ |
||
allocate the live and simulcast racing days for the conduct of live | ||
and simulcast racing at each racetrack licensed under this Act. | ||
Each racetrack shall accord reasonable access to races for all | ||
breeds of horses as determined by the racetrack through | ||
negotiations with the representative state breed registry with the | ||
final approval of the department [ |
||
approval, the department [ |
||
availability of competitive horses, economic feasibility, and | ||
public interest. In allocating race dates under this section, the | ||
department [ |
||
from simulcast race dates. The department [ |
||
Sunday racing unless the prohibition would conflict with another | ||
provision of this Act. | ||
Sec. 8.02. CHARITY DAYS. (a) The department [ |
||
shall grant additional racing days to each association during a | ||
race meeting to be conducted as charity days. The department | ||
[ |
||
additional days to each class 1 racetrack and to each class 2 | ||
racetrack. Each class 1 and class 2 racetrack shall conduct charity | ||
race days in accordance with this section. | ||
(b) The commission shall adopt rules relating to the conduct | ||
of charity days. The department [ |
||
races held by an association on a charity day are comparable in all | ||
respects, including the generation of revenue, to the races held by | ||
that association on any other racing day. | ||
Sec. 9.01. TEXAS-BRED HORSES. Subject to this Act or any | ||
rule of the commission, the state horse breed registries shall make | ||
reasonable rules to establish the qualifications of accredited | ||
Texas-bred horses to promote, develop, and improve the breeding of | ||
horses in this state. Rules adopted by a registry are subject to | ||
department [ |
||
SECTION 1.44. Section 9.03(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) To encourage the breeding of horses in this state, any | ||
accredited Texas-bred horse finishing first, second, or third in | ||
any race in this state except a restricted stakes race shall receive | ||
a purse supplement. The appropriate state breed registry shall act | ||
in an advisory capacity to the association and the department | ||
[ |
||
this section. | ||
SECTION 1.45. Sections 9.05 and 9.06, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
Sec. 9.05. TYPES OF RACING. When a horse racing association | ||
conducts a race meeting for more than one breed of horse at one | ||
racetrack, the number of races to be run by each breed on each day | ||
shall be equitable as determined by the department [ |
||
under Section 8.01 of this Act. The commission, by rule or by order, | ||
may allow an exception if there are not enough horses of a breed | ||
available to provide sufficient competition. | ||
Sec. 9.06. STABLING. When a horse racing association | ||
conducts a race meeting for more than one breed of horse at one | ||
racetrack, on-track stalls shall be provided on an equitable basis | ||
as determined by the department [ |
||
this Act. | ||
SECTION 1.46. Sections 9A.001(e) and (f), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(e) The department [ |
||
the location for each Texas Derby. Each Texas Derby must be held | ||
annually at the class 1 racetrack determined by the department | ||
[ |
||
location of each Texas Derby in consultation with: | ||
(1) each class 1 racetrack; | ||
(2) the official state breed registries; and | ||
(3) the official horsemen's organization. | ||
(f) The department [ |
||
Texas Derby. The department [ |
||
proceeds from the sale of the right to name a Texas Derby into the | ||
Texas Derby escrow purse fund established under Section 9A.003 of | ||
this article. | ||
SECTION 1.47. Section 9A.002(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) For each Texas Derby, the department [ |
||
appoint a state veterinarian to conduct a prerace examination of | ||
each horse entered in the race to determine whether the horse is | ||
healthy and meets standards set by commission rule for racing. | ||
SECTION 1.48. Sections 10.01 and 10.02, Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
Sec. 10.01. NUMBER OF RACING DAYS. Any greyhound racing | ||
licensee shall be entitled to have 300 evening and 150 matinee | ||
performances in a calendar year. The department [ |
||
grant at least five additional racing days during a race meeting to | ||
be conducted as charity days. The commission shall adopt rules | ||
relating to the conduct of charity days. The department | ||
[ |
||
charity day are comparable in all respects, including the | ||
generation of revenue, to the races held by that association on any | ||
other racing day. | ||
Sec. 10.02. SUBSTITUTE RACING DAYS OR ADDITIONAL RACES. If | ||
for a reason beyond the licensee's control and not caused by the | ||
licensee's fault or neglect it is impossible for the licensee to | ||
hold or conduct a race or races on a day authorized by the | ||
department [ |
||
discretion and at the request of the licensee, as a substitute for | ||
the race or races, may specify another day for the holding or | ||
conducting of racing by the licensee or may add additional races to | ||
already programmed events. | ||
SECTION 1.49. Section 10.04(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) Subject to this Act or any rule of the commission, the | ||
state greyhound breed registry shall make reasonable rules to | ||
establish the qualifications of accredited Texas-bred greyhounds | ||
to promote, develop, and improve the breeding of greyhounds in this | ||
state. Rules adopted by the registry are subject to department | ||
[ |
||
SECTION 1.50. Section 11.01(a-1), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a-1) The department [ |
||
investigators as the department [ |
||
to enforce this Act and the rules of the commission. Each | ||
investigator shall take the constitutional oath of office and file | ||
it with the department [ |
||
investigator has the powers of a peace officer. | ||
SECTION 1.51. Sections 11.011(b), (c), (f), and (m), Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
(b) With approval of the department [ |
||
accepted on a simulcast race by any out-of-state receiving location | ||
may be included in the pari-mutuel pool for the race at the sending | ||
racetrack association in this state. | ||
(c) With approval of the department [ |
||
accepted by a licensed racetrack association in this state on a race | ||
simulcast from out-of-state may be included in the pari-mutuel | ||
pools for the race at the out-of-state sending racetrack. | ||
(f) Nothing in this Act is to be construed to allow wagering | ||
in Texas on simulcast races at any location other than a racetrack | ||
licensed under this Act that has been granted live race dates by the | ||
department [ |
||
(m) The department [ |
||
on an interstate simulcast race unless the receiving location | ||
consents to wagering on interstate simulcast races at all other | ||
receiving locations in this state. | ||
SECTION 1.52. Section 11.02, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 11.02. COMPUTATION OF WAGERING. The wagering may be | ||
calculated only by state-of-the-art computational equipment that | ||
is approved by the department [ |
||
[ |
||
equipment. | ||
SECTION 1.53. Sections 11.04(a) and (e), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(a) Only a person inside the enclosure where both live and | ||
simulcast race meetings are authorized may wager on the result of a | ||
live or simulcast race presented by the association in accordance | ||
with commission rules. Except as provided by this section, a person | ||
may not place, in person, by telephone, or over the Internet, a | ||
wager for a horse race or greyhound race conducted inside or outside | ||
this state. The commission shall adopt rules to prohibit wagering | ||
by employees of the racing division [ |
||
wagering by persons licensed under this Act. | ||
(e) An association that allows a machine in an enclosure as | ||
provided by Subsection (c) shall collect a fee of $1 for each | ||
transaction under Subsection (c). The commission shall adopt rules | ||
providing for collection, reporting, and auditing of the | ||
transaction fee. The association shall forward the fee to the | ||
department [ |
||
deposit the fee to the credit of the general revenue fund. | ||
SECTION 1.54. Section 11.07(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) If the claimant satisfactorily establishes a right to | ||
distribution from the pool, the association shall pay the amount | ||
due the claimant. If the association refuses to pay a claimant who | ||
has established satisfactorily a right to distribution from the | ||
pool, the claimant may appeal to the department [ |
||
procedures prescribed by commission rule. | ||
SECTION 1.55. Section 13.01, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 13.01. REGULATION BY COMMISSION. The commission shall | ||
adopt rules providing for the exclusion or ejection from an | ||
enclosure where greyhound races or horse races are conducted, or | ||
from specified portions of an enclosure, of a person: | ||
(1) who has engaged in bookmaking, touting, or illegal | ||
wagering; | ||
(2) whose income is from illegal activities or | ||
enterprises; | ||
(3) who has been convicted of a violation of this Act; | ||
(4) who has been convicted of theft; | ||
(5) who has been convicted under the penal law of | ||
another jurisdiction for committing an act that would have | ||
constituted a violation of any of the rules mentioned in this | ||
section; | ||
(6) who has committed a corrupt or fraudulent act in | ||
connection with greyhound racing or horse racing or pari-mutuel | ||
wagering or who has committed any act tending or intended to corrupt | ||
greyhound racing or horse racing or pari-mutuel wagering in this | ||
state or elsewhere; | ||
(7) who is under suspension or ruled off a racetrack by | ||
the department [ |
||
corresponding authority in another state because of fraudulent or | ||
corrupt practices or other acts detrimental to racing; | ||
(8) who has submitted a forged pari-mutuel ticket or | ||
has altered or forged a pari-mutuel ticket for cashing or who has | ||
cashed or caused to be cashed an altered, raised, or forged | ||
pari-mutuel ticket; | ||
(9) who has been convicted of committing a lewd or | ||
lascivious act or other crime involving moral turpitude; | ||
(10) who is guilty of boisterous or disorderly conduct | ||
while inside a racing enclosure; | ||
(11) who is an agent or habitual associate of a person | ||
excludable under this section; or | ||
(12) who has been convicted of a felony. | ||
SECTION 1.56. Sections 13.02(b) and (c), Texas Racing Act | ||
(Article 179e, Vernon's Texas Civil Statutes), are amended to read | ||
as follows: | ||
(b) Such an application constitutes a contested case under | ||
Chapter 2001, Government Code [ |
||
|
||
|
||
[ |
||
exclusion or ejection was proper, it shall make and enter an order | ||
to that effect in its minutes, and the person shall continue to be | ||
excluded from each association. | ||
(c) The person excluded or ejected may appeal an adverse | ||
decision of the commission by filing a petition for judicial review | ||
in the manner provided by Chapter 2001, Government Code [ |
||
|
||
|
||
this subsection is subject to the substantial evidence rule. Venue | ||
for the review is in a district court in Travis County. | ||
SECTION 1.57. Section 14.01(c), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(c) An offense under this section is a state jail felony if: | ||
(1) the actor is a licensee under this Act or an | ||
employee or member of the commission or the department and the actor | ||
knowingly represents that a member or employee of the commission or | ||
the department or a person licensed by the commission or department | ||
is the source of the false information; or | ||
(2) the false statement or information was contained | ||
in racing selection information provided to the public. | ||
SECTION 1.58. Section 14.04(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) A person commits an offense if the person is a licensee | ||
and the person knowingly or intentionally permits, facilitates, or | ||
allows access, to an enclosure where races are conducted, to | ||
another person who the person knows: | ||
(1) has engaged in bookmaking, touting, or illegal | ||
wagering; | ||
(2) derives income from illegal activities or | ||
enterprises; | ||
(3) has been convicted of a violation of this Act; or | ||
(4) is excluded by the department [ |
||
entering a racetrack facility. | ||
SECTION 1.59. Section 14.05(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) A person who is subject to this section commits an | ||
offense if the person intentionally or knowingly wagers on the | ||
result of a greyhound race or horse race conducted in this state | ||
that: | ||
(1) is held on an American Indian reservation or on | ||
American Indian trust land located in this state; and | ||
(2) is not held under the supervision of the | ||
department [ |
||
SECTION 1.60. Section 14.06(c), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(c) An offense under this section is a state jail felony | ||
unless the statement was material in a commission or department | ||
action relating to a racetrack license, in which event the offense | ||
is a felony of the third degree. | ||
SECTION 1.61. Section 14.12, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 14.12. CRIMINAL CONFLICT OF INTEREST. A person who is | ||
a member of the commission or the racing division commits an offense | ||
if the person: | ||
(1) accepts, directly or indirectly, employment or | ||
remuneration from a racetrack facility, association, or other | ||
licensee, including a facility, association, or licensee located or | ||
residing in another state; | ||
(2) wagers or causes a wager to be placed on the | ||
outcome of a horse or greyhound race conducted in this state; or | ||
(3) accepts or is entitled to any part of a purse to be | ||
paid to an animal in a race conducted in this state. | ||
SECTION 1.62. Section 14.17(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) In this section, "lawful request" means a request from | ||
the commission or the department, an authorized agent of the | ||
commission or the department, the director or a commissioned | ||
officer of the Department of Public Safety, a peace officer, or a | ||
steward or judge at any time and any restricted location that: | ||
(1) is on a racetrack facility; and | ||
(2) is not a public place. | ||
SECTION 1.63. Section 14.18(b), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(b) A search may be conducted by a commissioned officer of | ||
the Department of Public Safety or a peace officer, including a | ||
peace officer employed by the department [ |
||
and at any location that is on a racetrack facility, except a | ||
location: | ||
(1) excluded by commission rule from searches under | ||
this section; or | ||
(2) provided by an association under commission rule | ||
for private storage of personal items belonging to a licensee | ||
entering a racetrack facility. | ||
SECTION 1.64. Section 14.20, Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
Sec. 14.20. COMMISSION AND DEPARTMENT AUTHORITY. This | ||
article may not be construed to restrict the department's or | ||
commission's administrative authority to enforce this Act or | ||
commission rules to the fullest extent authorized by this Act or | ||
other law. | ||
SECTION 1.65. Section 16.01(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) The department [ |
||
license or accept an application for a license for a racetrack to be | ||
located in a county until the commissioners court has certified to | ||
the secretary of state that the qualified voters of the county have | ||
approved the legalization of pari-mutuel wagering on horse races or | ||
greyhound races in the county at an election held under this | ||
article. [ |
||
|
||
SECTION 1.66. Section 16.13(a), Texas Racing Act (Article | ||
179e, Vernon's Texas Civil Statutes), is amended to read as | ||
follows: | ||
(a) Not later than the 30th day after the date the result of | ||
the election is declared, any qualified voter of the county may | ||
contest the election by filing a petition in the district court of | ||
the county. Any person who is licensed or who has made application | ||
to the department [ |
||
this Act may become a named party to the proceedings by pleading to | ||
the petition on or before the time set for hearing and trial as | ||
provided by Subsection (c) of this section or thereafter by | ||
intervention on leave of court. | ||
SECTION 1.67. Sections 18.06, 18.07, and 18.08, Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes), are | ||
amended to read as follows: | ||
Sec. 18.06. RELEASE OF LIABILITY. A member of the | ||
commission, an employee of the department [ |
||
or judge, an association, a horsemen's organization, or any other | ||
person regulated under this Act is not liable to any individual, | ||
corporation, business association, or other entity for a cause of | ||
action that arises out of that person's performance or exercise of | ||
discretion in the implementation or enforcement of this Act or a | ||
rule adopted under this Act if the person has acted in good faith. | ||
Sec. 18.07. PAST PERFORMANCE OF ASSOCIATION. In | ||
considering a pleading of a racetrack association, the department | ||
[ |
||
the racetrack association in Texas, which includes, but is not | ||
limited to, the financial condition of the track, regulatory | ||
compliance and conduct, and any other relevant matters concerning | ||
the operation of a track. | ||
Sec. 18.08. DISTANCE LEARNING. The department [ |
||
may provide assistance to members of the racing industry who are | ||
attempting to develop or implement adult, youth, or continuing | ||
education programs that use distance learning. | ||
SECTION 1.68. Sections 2.01, 2.02, 2.03, 2.04, 2.05, 2.06, | ||
2.071, 2.073, 2.074, 2.08, 2.09, 2.10, 2.11, 2.19, 2.20, 2.21, | ||
2.22, 2.23, 2.24, 2.25, and 18.01, Texas Racing Act (Article 179e, | ||
Vernon's Texas Civil Statutes), are repealed. | ||
ARTICLE 2. CONFORMING AMENDMENTS | ||
SECTION 2.01. Section 87.002, Civil Practice and Remedies | ||
Code, is amended to read as follows: | ||
Sec. 87.002. APPLICABILITY OF CHAPTER. This chapter does | ||
not apply to an activity regulated by the racing division of the | ||
Texas Department of Licensing and Regulation [ |
||
|
||
SECTION 2.02. Section 104.001, Civil Practice and Remedies | ||
Code, is amended to read as follows: | ||
Sec. 104.001. STATE LIABILITY; PERSONS COVERED. In a cause | ||
of action based on conduct described in Section 104.002, the state | ||
shall indemnify the following persons, without regard to whether | ||
the persons performed their services for compensation, for actual | ||
damages, court costs, and attorney's fees adjudged against: | ||
(1) an employee, a member of the governing board, or | ||
any other officer of a state agency, institution, or department; | ||
(2) a former employee, former member of the governing | ||
board, or any other former officer of a state agency, institution, | ||
or department who was an employee or officer when the act or | ||
omission on which the damages are based occurred; | ||
(3) a physician or psychiatrist licensed in this state | ||
who was performing services under a contract with any state agency, | ||
institution, or department or a racing official performing services | ||
under a contract with the Texas Department of Licensing and | ||
Regulation [ |
||
the damages are based occurred; | ||
(3-a) a phlebotomist licensed in this state who was | ||
performing services under a contract with the Texas Department of | ||
Criminal Justice when the act or omission on which the damages are | ||
based occurred; | ||
(4) a chaplain or spiritual advisor who was performing | ||
services under contract with the Texas Department of Criminal | ||
Justice[ |
||
Justice Department [ |
||
on which the damages are based occurred; | ||
(5) a person serving on the governing board of a | ||
foundation, corporation, or association at the request and on | ||
behalf of an institution of higher education, as that term is | ||
defined by Section 61.003(8), Education Code, not including a | ||
public junior college; | ||
(6) a state contractor who signed a waste manifest as | ||
required by a state contract; or | ||
(7) the estate of a person listed in this section. | ||
SECTION 2.03. Article 2.12, Code of Criminal Procedure, is | ||
amended to read as follows: | ||
Art. 2.12. WHO ARE PEACE OFFICERS. The following are peace | ||
officers: | ||
(1) sheriffs, their deputies, and those reserve | ||
deputies who hold a permanent peace officer license issued under | ||
Chapter 1701, Occupations Code; | ||
(2) constables, deputy constables, and those reserve | ||
deputy constables who hold a permanent peace officer license issued | ||
under Chapter 1701, Occupations Code; | ||
(3) marshals or police officers of an incorporated | ||
city, town, or village, and those reserve municipal police officers | ||
who hold a permanent peace officer license issued under Chapter | ||
1701, Occupations Code; | ||
(4) rangers and officers commissioned by the Public | ||
Safety Commission and the Director of the Department of Public | ||
Safety; | ||
(5) investigators of the district attorneys', criminal | ||
district attorneys', and county attorneys' offices; | ||
(6) law enforcement agents of the Texas Alcoholic | ||
Beverage Commission; | ||
(7) each member of an arson investigating unit | ||
commissioned by a city, a county, or the state; | ||
(8) officers commissioned under Section 37.081, | ||
Education Code, or Subchapter E, Chapter 51, Education Code; | ||
(9) officers commissioned by the General Services | ||
Commission; | ||
(10) law enforcement officers commissioned by the | ||
Parks and Wildlife Commission; | ||
(11) airport police officers commissioned by a city | ||
with a population of more than 1.18 million located primarily in a | ||
county with a population of 2 million or more that operates an | ||
airport that serves commercial air carriers; | ||
(12) airport security personnel commissioned as peace | ||
officers by the governing body of any political subdivision of this | ||
state, other than a city described by Subdivision (11), that | ||
operates an airport that serves commercial air carriers; | ||
(13) municipal park and recreational patrolmen and | ||
security officers; | ||
(14) security officers and investigators commissioned | ||
as peace officers by the comptroller; | ||
(15) officers commissioned by a water control and | ||
improvement district under Section 49.216, Water Code; | ||
(16) officers commissioned by a board of trustees | ||
under Chapter 54, Transportation Code; | ||
(17) investigators commissioned by the Texas Medical | ||
Board; | ||
(18) officers commissioned by: | ||
(A) the board of managers of the Dallas County | ||
Hospital District, the Tarrant County Hospital District, the Bexar | ||
County Hospital District, or the El Paso County Hospital District | ||
under Section 281.057, Health and Safety Code; and | ||
(B) the board of directors of the Ector County | ||
Hospital District under Section 1024.117, Special District Local | ||
Laws Code; | ||
(19) county park rangers commissioned under | ||
Subchapter E, Chapter 351, Local Government Code; | ||
(20) investigators employed by the racing division of | ||
the Texas Department of Licensing and Regulation [ |
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(21) officers commissioned under Chapter 554, | ||
Occupations Code; | ||
(22) officers commissioned by the governing body of a | ||
metropolitan rapid transit authority under Section 451.108, | ||
Transportation Code, or by a regional transportation authority | ||
under Section 452.110, Transportation Code; | ||
(23) investigators commissioned by the attorney | ||
general under Section 402.009, Government Code; | ||
(24) security officers and investigators commissioned | ||
as peace officers under Chapter 466, Government Code; | ||
(25) an officer employed by the Department of State | ||
Health Services under Section 431.2471, Health and Safety Code; | ||
(26) officers appointed by an appellate court under | ||
Subchapter F, Chapter 53, Government Code; | ||
(27) officers commissioned by the state fire marshal | ||
under Chapter 417, Government Code; | ||
(28) an investigator commissioned by the commissioner | ||
of insurance under Section 701.104, Insurance Code; | ||
(29) apprehension specialists and inspectors general | ||
commissioned by the Texas Juvenile Justice Department as officers | ||
under Sections 242.102 and 243.052, Human Resources Code; | ||
(30) officers appointed by the inspector general of | ||
the Texas Department of Criminal Justice under Section 493.019, | ||
Government Code; | ||
(31) investigators commissioned by the Commission on | ||
Law Enforcement Officer Standards and Education under Section | ||
1701.160, Occupations Code; | ||
(32) commission investigators commissioned by the | ||
Texas Private Security Board under Section 1702.061(f), | ||
Occupations Code; | ||
(33) the fire marshal and any officers, inspectors, or | ||
investigators commissioned by an emergency services district under | ||
Chapter 775, Health and Safety Code; | ||
(34) officers commissioned by the State Board of | ||
Dental Examiners under Section 254.013, Occupations Code, subject | ||
to the limitations imposed by that section; | ||
(35) investigators commissioned by the Texas Juvenile | ||
Justice Department as officers under Section 221.011, Human | ||
Resources Code; and | ||
(36) the fire marshal and any related officers, | ||
inspectors, or investigators commissioned by a county under | ||
Subchapter B, Chapter 352, Local Government Code. | ||
SECTION 2.04. Sections 88.526(a) and (c), Education Code, | ||
are amended to read as follows: | ||
(a) The director shall prepare an annual report on equine | ||
research funded under this subchapter. The director shall | ||
distribute the report to the racing division of the Texas | ||
Department of Licensing and Regulation [ |
||
members of the Texas horse racing industry. The director shall make | ||
copies of the report available to interested parties. | ||
(c) The director shall, at least annually, consult with the | ||
racing division of the Texas Department of Licensing and Regulation | ||
[ |
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equine research funded by the account. | ||
SECTION 2.05. Section 411.096, Government Code, is amended | ||
to read as follows: | ||
Sec. 411.096. ACCESS TO CRIMINAL HISTORY RECORD | ||
INFORMATION: TEXAS DEPARTMENT OF LICENSING AND REGULATION [ |
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[ |
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criminal history record information maintained by the department | ||
that pertains to a person who is: | ||
(1) appointed to the racing division of the department | ||
[ |
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(2) an applicant for employment by the racing division | ||
of the department [ |
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(3) an applicant for a license under the Texas Racing | ||
Act (Article 179e, Vernon's Texas Civil Statutes). | ||
(b) Criminal history record information obtained by the | ||
department [ |
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disclosed to any person except in a criminal proceeding, in a | ||
hearing conducted by the department [ |
||
or with the consent of the applicant. | ||
SECTION 2.06. Section 572.003(c), Government Code, is | ||
amended to read as follows: | ||
(c) The term means a member of: | ||
(1) the Public Utility Commission of Texas; | ||
(2) [ |
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[ |
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(3) [ |
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(4) [ |
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(5) [ |
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(6) [ |
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(7) [ |
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Retirement System of Texas; | ||
(8) [ |
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(9) [ |
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[ |
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(10) [ |
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(11) [ |
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(12) [ |
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(13) [ |
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(14) [ |
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(15) [ |
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college or university as defined by Section 61.003, Education Code, | ||
or of The University of Texas Southwestern Medical Center at | ||
Dallas, The University of Texas Medical Branch at Galveston, The | ||
University of Texas Health Science Center at Houston, The | ||
University of Texas Health Science Center at San Antonio, The | ||
University of Texas M. D. Anderson [ |
||
University of Texas Health Science Center at Tyler, University of | ||
North Texas Health Science Center at Fort Worth, Texas Tech | ||
University Health Sciences Center, Texas State Technical | ||
College--Harlingen, Texas State Technical College--Marshall, Texas | ||
State Technical College--Sweetwater, or Texas State Technical | ||
College--Waco; | ||
(16) [ |
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Board; | ||
(17) [ |
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(18) [ |
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Retirement System of Texas; | ||
(19) [ |
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(20) [ |
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(21) [ |
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Housing and Community Affairs; | ||
(22) [ |
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[ |
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(23) [ |
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(24) [ |
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(25) [ |
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(26) [ |
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governing board; | ||
(27) [ |
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[ |
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(28) [ |
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(29) [ |
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Texas; | ||
(30) [ |
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(31) [ |
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[ |
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[ |
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[ |
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[ |
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(32) [ |
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authority created under the Texas Constitution or a statute of this | ||
state; or | ||
(33) [ |
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SECTION 2.07. Section 2054.352(a), Government Code, is | ||
amended to read as follows: | ||
(a) The following licensing entities shall participate in | ||
the system established under Section 2054.353: | ||
(1) Texas Board of Chiropractic Examiners; | ||
(2) Court Reporters Certification Board; | ||
(3) State Board of Dental Examiners; | ||
(4) Texas Funeral Service Commission; | ||
(5) Texas Board of Professional Land Surveying; | ||
(6) Texas Medical Board; | ||
(7) Texas Board of Nursing; | ||
(8) Texas Optometry Board; | ||
(9) Department of Agriculture, for licenses issued | ||
under Chapter 1951, Occupations Code; | ||
(10) Texas State Board of Pharmacy; | ||
(11) Executive Council of Physical Therapy and | ||
Occupational Therapy Examiners; | ||
(12) Texas State Board of Plumbing Examiners; | ||
(13) Texas State Board of Podiatric Medical Examiners; | ||
(14) Texas State Board of Examiners of Psychologists; | ||
(15) State Board of Veterinary Medical Examiners; | ||
(16) Texas Real Estate Commission; | ||
(17) Texas Appraiser Licensing and Certification | ||
Board; | ||
(18) Texas Department of Licensing and Regulation; | ||
(19) Texas State Board of Public Accountancy; | ||
(20) State Board for Educator Certification; | ||
(21) Texas Board of Professional Engineers; | ||
(22) Department of State Health Services; | ||
(23) Texas Board of Architectural Examiners; | ||
(24) [ |
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[ |
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Standards and Education; and | ||
(25) [ |
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ARTICLE 3. TRANSITION AND EFFECTIVE DATE | ||
SECTION 3.01. The change in law made by this Act to the | ||
requirements for the issuance or renewal of a license issued under | ||
the Texas Racing Act (Article 179e, Vernon's Texas Civil Statutes) | ||
applies only to the issuance or renewal of a certificate under that | ||
Act that expires on or after January 1, 2014. A certificate that | ||
expires before that date is governed by the law in effect on the | ||
date the certificate expires, and the former law is continued in | ||
effect for that purpose. | ||
SECTION 3.02. The change in law made by this Act to the | ||
procedures relating to disciplinary actions for persons licensed | ||
under the Texas Racing Act (Article 179e, Vernon's Texas Civil | ||
Statutes) applies only to a disciplinary action initiated on or | ||
after January 1, 2014. A disciplinary action initiated before that | ||
date is governed by the law in effect on the date the action is | ||
initiated, and the former law is continued in effect for that | ||
purpose. | ||
SECTION 3.03. (a) On January 1, 2014: | ||
(1) the Texas Racing Commission is abolished and all | ||
powers and duties of the Texas Racing Commission under the Texas | ||
Racing Act (Article 179e, Vernon's Texas Civil Statutes) and other | ||
law are transferred to the Texas Commission of Licensing and | ||
Regulation and the Texas Department of Licensing and Regulation; | ||
(2) all obligations, rights, contracts, bonds, | ||
appropriations, records, and property of the Texas Racing | ||
Commission are transferred to the Texas Department of Licensing and | ||
Regulation; | ||
(3) a rule, policy, procedure, or decision of the | ||
Texas Racing Commission continues in effect as a rule, policy, | ||
procedure, or decision of the Texas Commission of Licensing and | ||
Regulation or the Texas Department of Licensing and Regulation, in | ||
accordance with Subdivision (1) of this subsection, until | ||
superseded by a later act of the Texas Commission of Licensing and | ||
Regulation or the Texas Department of Licensing and Regulation; and | ||
(4) except as otherwise provided by this Act, a | ||
reference in law to the Texas Racing Commission means the Texas | ||
Commission of Licensing and Regulation. | ||
(b) Not later than October 1, 2013, the Texas Racing | ||
Commission, the Texas Commission of Licensing and Regulation, and | ||
the Texas Department of Licensing and Regulation shall adopt a | ||
comprehensive transition plan for the transfer described by | ||
Subsection (a) of this section. | ||
(c) Not later than November 1, 2013, the Texas Racing | ||
Commission shall meet with the Texas Department of Licensing and | ||
Regulation to provide for the transfer of essential personnel to | ||
the Texas Department of Licensing and Regulation. | ||
(d) The Texas Racing Commission shall continue, as | ||
necessary, to perform the duties and functions being transferred to | ||
the Texas Commission of Licensing and Regulation or the Texas | ||
Department of Licensing and Regulation until the transfer of agency | ||
duties and functions is complete. | ||
(e) Subsections (b), (c), and (d) of this section take | ||
effect September 1, 2013. | ||
SECTION 3.04. (a) The Texas Racing Commission and the Texas | ||
Commission of Licensing and Regulation shall enter into or revise a | ||
joint memorandum of understanding to coordinate the Texas Racing | ||
Commission's and the Texas Department of Licensing and Regulation's | ||
information systems to allow for the sharing of information so that | ||
each entity may effectively and efficiently perform the functions | ||
and duties assigned to it. Neither the Texas Racing Commission nor | ||
the Texas Department of Licensing and Regulation may impose or | ||
collect a fee or charge in connection with the sharing of | ||
information under the joint memorandum of understanding entered | ||
into or revised under this section. | ||
(b) The Texas Racing Commission and the Texas Department of | ||
Licensing and Regulation shall implement the joint memorandum of | ||
understanding using existing personnel and resources. | ||
(c) Otherwise confidential information shared under the | ||
memorandum of understanding remains subject to the same | ||
confidentiality requirements and legal restrictions on access to | ||
the information that are imposed by law on the entity that | ||
originally obtained or collected the information. | ||
(d) Information may be shared under the memorandum of | ||
understanding without the consent of the person who is the subject | ||
of the information. | ||
(e) The memorandum of understanding required by Subsection | ||
(a) of this section must be entered into or revised at the first | ||
official meeting of the Texas Commission of Licensing and | ||
Regulation occurring after the effective date of this section. | ||
(f) This section takes effect September 1, 2013. | ||
SECTION 3.05. (a) In addition to the memorandum of | ||
understanding required by Section 3.04 of this article, the Texas | ||
Racing Commission and the Texas Commission of Licensing and | ||
Regulation may enter into or revise one or more other joint | ||
memoranda of understanding necessary to effect the transfer of the | ||
powers and duties of the Texas Racing Commission to the Texas | ||
Commission of Licensing and Regulation and the Texas Department of | ||
Licensing and Regulation under this Act. A memorandum of | ||
understanding may include an agreement for the provision of office | ||
space, utilities, and other facility services, and support | ||
services, and the transfer of information technology as necessary | ||
or appropriate to effect the transfer of the powers and duties of | ||
the Texas Racing Commission to the Texas Commission of Licensing | ||
and Regulation and the Texas Department of Licensing and | ||
Regulation. | ||
(b) Sections 3.04(b), (c), and (d) of this article apply to | ||
a memorandum of understanding entered into or revised under | ||
Subsection (a) of this section. | ||
(c) This section takes effect September 1, 2013. | ||
SECTION 3.06. Except as otherwise provided by this Act, | ||
this Act takes effect January 1, 2014. |