Bill Text: CA SB1439 | 2009-2010 | Regular Session | Amended
Bill Title: Horse racing: minisatellite wagering facilities.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-06-14 - Placed on inactive file on request of Senator Price. [SB1439 Detail]
Download: California-2009-SB1439-Amended.html
BILL NUMBER: SB 1439 AMENDED BILL TEXT AMENDED IN SENATE MAY 28, 2010 AMENDED IN SENATE APRIL 28, 2010 AMENDED IN SENATE APRIL 6, 2010 INTRODUCED BY Senator Price FEBRUARY 19, 2010 An act to amend Section 19605.25 of the Business and Professions Code, relating to horse racing. LEGISLATIVE COUNSEL'S DIGEST SB 1439, as amended, Price. Horse racing: minisatellite wagering facilities. Existing law authorizes the California Horse Racing Board to approve an additional 15 minisatellite wagering sites in each zone under certain conditions, including that no site is within 20 miles of a racetrack, a satellite wagering facility, or a tribal casino that has a satellite wagering facility. Existing law provides that if the proposed facility is within 20 miles of one of the above-referenced satellite facilities, then the consent of each facility within a 20-mile radius must be given before the proposed facility may be approved by the board. Existing law requires the written consent of the San Mateo County Fair be obtained prior to the approval of any minisatellite wagering site located within a 20-mile radius of its fairground. This bill would replace the 20-mile radius requirement in the above provisions with a 15-mile requirement and would provide that the requirement that the approval of a racetrack, satellite wagering facility, tribal casino that has a satellite wagering facility, or fair be obtained if the proposed minisatellite wagering facility is within 15 miles shall only apply to those facilities that are operated by tribal casinos, racetracks, or fairs that actually conduct 2 weeks or more of live racing in the preceding year. The bill would authorize the board, if a satellite wagering facility or tribal casino does not consent to a minisatellite wagering facility being situated within 15 miles, to conduct a one-year test at the proposed site in order to determine its impact on total parimutuel revenues and on attendance and wagering at existing satellite wagering facilities. With respect to the one-year test, the bill would provide that the board may approve only one minisatellite wagering facility per existing satellite wagering facility and the minisatellite wagering facilitymustshall not be located within 10 miles of the satellite wagering facility. The bill would authorize a certain impact fee, as provided. This bill would specify how mileages are to be measured for purposes of the above provisions. This bill would, notwithstanding the above provisions, prohibit the establishment of a satellite wagering facility or minisatellite wagering facility within 20 miles of a tribal casino. By establishing a prohibition under the Horse Racing Law, the violation of which would be a crime, the bill would impose a state-mandated local program. This bill would make clarifying and other technical changes. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 19605.25 of the Business and Professions Code is amended to read: 19605.25. (a) The board may approve an additional 15 minisatellite wagering sites in each zone, if all of the following conditions are met: (1) No site is within 15 miles of a racetrack, a satellite wagering facility, or a tribal casino that has a satellite wagering facility. If the proposed minisatellite wagering facility is within 15 miles of one of the above-referenced facilities, then the consent of each such facility within 15 miles must be given before the proposed minisatellite wagering facility may be approved by the board. (2) An agreement in accordance with subdivision (a) of Section 19605.3 has been executed and approved by the board. In addition to the requirements set forth in that provision, the agreement shall specify which components of its racing program, including live, out-of-zone, out-of-state, and out-of-country races, an association or fair will make available to the site. The terms and conditions of the agreement, including all fees payable pursuant to paragraph (3) of that provision, a portion of which may be paid to horsemen in the form of purses, shall be subject to the approval of the horsemen's organization responsible for negotiating purse agreements with the association or fair. (3) The site is approved by the board. (4) The wagers are accepted in an area that is accessible only to those who are at least 21 years of age. (5) The board has approved the accommodation, equipment used in conducting wagering at the site, communications system, technology, and method used by the site to accept wagers and transmit odds, results, and other data related to wagering. (b) Parimutuel clerks shall be available to service the self-service tote machines at these locations, and to cash wagering vouchers on a regularly scheduled basis. (c) Until July 1, 2011, if the proposed minisatellite wagering site is in the northern zone in a fair district where the fair has operated a satellite wagering facility for the previous five years, the approval of the fair must be obtained even if the proposed location is more than 15 miles from the existing satellite wagering facility operated by the fair. (d) For purposes of commissions, deductions, and distribution of handle, wagers placed at minisatellite sites shall be treated as if they were placed at satellite wagering facilities authorized under Section 19605, 19605.1, or 19605.2. Section 19608.4 shall apply to minisatellite wagering facilities. (e) The written consent of the San Mateo County Fair shall be obtained prior to the approval of any minisatellite wagering site located within 15 miles of its fairground. (f) Minisatellite wagering facilities created pursuant to this section are not eligible for satellite wagering commission distributions pursuant to Section 19604. (g) The board shall adopt emergency regulations to implement these new facilities on or before April 1, 2008. The board, in adopting these regulations, shall minimize the expense to both the operator of the minisatellite facility and the host racetrack. (h) If there are more than 15 applications for minisatellite wagering facilities in any zone, the board shall determine which facilities will generate the largest handle, and give priority to the approval of those facilities. The board shall license a minisatellite facility for two years, and then review the operation and the size of the handle, and determine if it is in the best interest of horse racing to relicense the facility or, in the alternative, license another minisatellite facility that might generate a greater handle. (i) Except as may be provided in the agreement required pursuant to paragraph (2) of subdivision (a), no association or fair shall be required to make all or part of its racing program available to a minisatellite wagering facility. Notwithstanding subdivision (e) of Section 19608.2, all costs incurred by the organization executing that agreement in excess of the amounts distributable to the organization from wagers placed at the site on that racing program, shall be borne by the minisatellite wagering facility. (j) Notwithstanding subdivisions (a) and (e), the requirement that the approval of a racetrack, satellite wagering facility, tribal casino that has a satellite wagering facility, or fair be obtained if the proposed minisatellite wagering facility is within 15 miles shall only apply to those facilities that are operated by tribal casinos, racetracks, or fairs that actually conduct two weeks or more of live racing in the preceding year. If a satellite wagering facility, or tribal casino that has a satellite wagering facility, does not consent to a minisatellite wagering facility being situated within 15 miles, the board may conduct a one-year test at the proposed site in order to determine the impact of the proposed minisatellite wagering facility on total parimutuel revenues, and on the attendance and wagering at existing satellite wagering facilities. With respect to the one-year test, the board may approve only one minisatellite wagering facility per existing satellite wagering facility and the minisatellite wagering facilitymustshall not be located within 10 miles of the existing satellite wagering facility. During the one-year study, the operator of the minisatellite wagering facility and the satellite wagering facility operated by a fair or a tribal casino may enter into an agreement providing for the payment of an impact fee. If there is no agreement within that year, the board may hear testimony from both parties and impose an impact fee based on the results of the one-year test study. A decision of the board regarding a proposed site may cover the period of time during which the test is to be conducted, as well as apply to the operation of the minisatellite wagering facility if it continues to operate beyond one year. (k) For purposes of this section, mileages shall be measured property line to property line by the shortest publicly accessible driving route. (l) Notwithstanding the provisions of this section, no satellite wagering facility or minisatellite wagering facility shall be located within 20 miles of a tribal casino. SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.