Bill Text: CA AB1762 | 2011-2012 | Regular Session | Introduced


Bill Title: Horse racing: wagering.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-02-21 - From printer. May be heard in committee March 22. [AB1762 Detail]

Download: California-2011-AB1762-Introduced.html
BILL NUMBER: AB 1762	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Garrick

                        FEBRUARY 17, 2012

   An act to amend Section 19601 of the Business and Professions
Code, relating to horse racing.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1762, as introduced, Garrick. Horse racing: wagering.
    Existing law provides that a licensed association or fair that is
conducting a live horse racing meeting at any racing zone may accept
wagers on any race conducted in the state if certain requirements
are met, including that the association or fair accepting wagers on
an out-of-zone transmitted race distributes the audiovisual signal of
the race to, and accepts wagers from, all eligible satellite
wagering facilities. Existing law also specifies the dates, times,
and other procedures that associations and fairs are required to
observe in transmitting and accepting wagering on out-of-zone,
out-of-state, and out-of-country races.
   This bill would make technical, nonsubstantive changes to these
provisions.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 19601 of the Business and Professions Code is
amended to read:
   19601.  (a) Notwithstanding any other provision of law, a licensed
association or fair that is conducting a live meeting in any racing
zone may accept wagers on any race  that is  conducted in
this state, if all of the following requirements are met:
   (1) The association or fair that conducts the racing meeting and
the organization that is responsible for negotiating purse agreements
on behalf of the horsemen participating in that racing meeting
consent to the acceptance of the wagers. However, if consent is
withheld, any party may appeal the withholding of consent to the
board, which may determine that consent is not required.
   (2) The association or fair conducts not less than eight races on
days when the association or fair is licensed to conduct racing,
except that fewer than eight live races per day may be conducted by
the mutual agreement of the association or fair and the organization
that is responsible for negotiating purse agreements on behalf of the
horsemen participating in the racing meeting.
   (3) Wagering is offered only within the association's or fair's
racing inclosure or within the satellite wagering facility and only
within seven days of the commencement of the racing program with the
transmitted race.
   (4) All wagers are included in the appropriate parimutuel pool at
the racetrack of the association or fair where the race is conducted,
or, in the appropriate parimutuel pool of the racetrack of the
association or fair that accepts the transmitted race.
   (5) The association or fair accepting wagers on an out-of-zone
transmitted race distributes the audiovisual signal of the race to,
and accepts wagers from, all eligible satellite wagering facilities.
   (b) Any association or fair accepting wagers under subdivision (a)
shall deduct, from the total amount handled in each conventional and
exotic parimutuel pool on the transmitted race, the same percentages
deducted pursuant to Article 9.5 (commencing with Section 19610) for
races at its own meeting. However, if the wagers are from a quarter
horse race meeting, then the amounts deducted shall be the same as
for a quarter horse race meeting. Amounts deducted under this
section, including amounts deducted from wagers on out-of-zone races
within the inclosure of the association or fair, shall be distributed
as provided under Sections 19605.7, 19605.72, and 19605.73 with
respect to wagers made within the northern zone, or Sections
19605.71, 19605.72, and 19605.73 with respect to wagers made within
the central or southern zone, except that amounts distributed for
purposes other than state license fees and fees payable to the Center
for Equine Health, School of Veterinary Medicine, University of
California at Davis, and the California Animal Health and Food Safety
Laboratory shall be proportionally reduced by the amount of any fees
paid to the Triple Crown or Breeder's Cup day host association
pursuant to subdivision (c). The method used to calculate the
reduction in proportionate share shall be approved by the board. For
wagers on out-of-state and out-of-country races made within the
association's or fair's inclosure, 1 percent shall be distributed to
the association or fair as a satellite wagering facility commission.
   (c) Nothing in this section precludes an association or fair from
charging a fee as a condition of transmitting the Triple Crown or
Breeder's Cup day races, except that any fee shall be allocated among
all associations, fairs, and satellite wagering facilities receiving
the transmitted race in proportion to the amount wagered at each
location, and the fee shall equal that charged by the entity
conducting the race or races. Further, the only fee that can be
charged as a condition of transmitting the signal of an out-of-zone
race shall be a fee of 2.5 percent on Breeder's Cup day races.
   (d) All breakage and unclaimed tickets, including unclaimed
refunds, shall be distributed equally between the association or fair
that accepts wagers on the transmitted race, and the horsemen, in
the form of purses. The purse moneys generated by this subdivision
shall be made available for purses during the meeting in which they
are received by the association or fair, or, if the association or
fair is not then conducting a live racing meeting, during the next
succeeding meeting of the association or fair.
   (e) All wagers made pursuant to this section shall be considered
to have been wagered at a satellite wagering facility and shall be
excluded from total handle for the purposes of Section 19611.
   (f) Notwithstanding Section 19530.5, satellite wagering facilities
operated by a fair, in the Counties of Fresno, Kern, or Tulare shall
be considered northern zone facilities and shall receive their
audiovisual signal from the association or fair conducting a racing
meeting in the northern zone that is authorized to distribute the
signal and accept wagers on central and southern zone races.
Satellite wagering facilities operated by a fair, in the Counties of
Santa Barbara or Ventura shall be considered central-southern zone
facilities and shall receive the audiovisual signal from the
association or fair conducting a racing meeting in the central or
southern zone that is authorized to distribute the signal and accept
wagers on northern zone races.
   (g) All purse moneys derived from wagering on out-of-zone races at
fair racing meetings shall be distributed to all breeds of horses
participating in the fair meeting in direct proportion to the purse
money generated by breed on live races conducted during the fair race
meeting.
   (h) During calendar periods when both a fair and a thoroughbred
association conduct live racing, the amounts deducted under this
section shall be distributed on any day of overlap as provided in
Section 19607.5, except that the applicable state license fee shall
be at the rate specified for nonfair meetings in subdivision (b) of
Section 19605.7.
   (i) During calendar periods when a thoroughbred association and a
fair, or a thoroughbred association and any other breed association
are conducting a racing meeting in the same zone, the thoroughbred
association shall be the association authorized to distribute
out-of-zone, out-of-state, or out-of-country thoroughbred or fair
races, except that the thoroughbred association may waive this right
and allow the other breed racing association conducting a race
meeting to distribute the signal and accept wagers on out-of-zone,
out-of-state, or out-of-country thoroughbred or fair races for any
racing day or days. For the purposes of this subdivision, the
combined central and southern zone shall be considered one zone.
   (j) In order to ensure, to the extent possible, that out-of-state
and out-of-country simulcasting  ,  furthers the
purposes of this section, a committee made up of one representative
from each of the then-operating thoroughbred associations or fairs
that are conducting a live racing meeting in the state and one
representative of the organization responsible for negotiating purse
agreements on behalf of the horsemen participating in the meeting
shall do  all of  the following:
   (1) Determine the out-of-state or out-of-country thoroughbred
races to be imported on a statewide basis pursuant to provisions of
this chapter.
   (2) Ensure, to the extent possible, that the fees charged by
out-of-state or out-of-country entities for these signals are at the
lowest obtainable rate and at the same rate statewide, in order to
maximize the revenue available to in-state associations and fairs and
their horsemen.
   (3) Ensure, to the extent possible, due to the reciprocal nature
of the interstate simulcasting business, that the maximum obtainable
revenue is generated by the sale to out-of-state entities of the
audiovisual signal of races conducted in this state by thoroughbred
associations and fairs.
   (4) Ensure that program information requirements for in-state
signals comply with the standards of the board, but provide that
abbreviated program formats may be used for races imported from other
jurisdictions.
   (k) Notwithstanding any other provision of law, any thoroughbred
association or fair, when operating a live racing meeting, shall
distribute the signal of all races conducted by, or disseminated by,
that association or fair to, and accept wagers on these races from,
any association that is licensed to conduct a live quarter horse or
harness racing meeting in Orange County and that conducted such a
meeting in 1998.
   (  l  ) Notwithstanding any other provision of law, all
associations or fairs  ,  when operating as eligible
satellite wagering facilities  ,  shall be in compliance
with, and subject to the provisions of, Article 9.2 (commencing with
Section 19605) of this chapter, and shall display the signal and
accept wagers on all live races conducted in this state without
regard to breed.  Notwithstanding the foregoing provision, a
  A  thoroughbred racing association located in the
City of Arcadia is exempt from these requirements for live harness
and quarter horse races conducted at night unless the thoroughbred
racing association facility is open for business at that time and is
accepting wagers on other night signals pursuant to this chapter.

   A 
    (m)     A  quarter horse racing
association located in the southern zone shall display the signal and
accept wagers on all races imported by, or conducted by, a harness
racing association conducting racing in the northern zone. A harness
racing association in the northern zone shall display the signal and
accept wagers on all races imported by, or conducted by, a quarter
horse racing association conducting racing in the southern zone. On
those nights when both the harness racing association in the northern
zone and the quarter horse racing association in the southern zone
are conducting live racing, the audiovisual signal of both breeds
shall be displayed and wagers shall be accepted on both breeds at
each of the locations where the live racing is being conducted, and
each association shall display the audiovisual signal and accept
wagers on the other association's live or imported races throughout
their respective facilities, as they do when they are conducting
satellite wagering during other periods of the same day. Each
association shall pay the other an additional 5 percent of the amount
wagered at their respective facilities on the races imported by, or
conducted by, the other racing association. The additional 5 percent
received by the racing association pursuant to this paragraph shall
be distributed as 50 percent as commissions to the racing association
and 50 percent as purses to the horsemen participating in the racing
meeting.  Further, satellite   Satellite 
wagering facilities located at fairs may, but are not required to,
accept an audiovisual signal on out-of-state or out-of-country races
unless the facility is open for business at the time and accepting
wagers on other signals pursuant to this chapter.
                           
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