Bill Text: NY A04409 | 2021-2022 | General Assembly | Introduced
Bill Title: Permits video lottery gaming in the town of Woodbury, Orange county; designates vendor fees; requires a mitigation agreement.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-01-05 - referred to ways and means [A04409 Detail]
Download: New_York-2021-A04409-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 4409 2021-2022 Regular Sessions IN ASSEMBLY February 4, 2021 ___________ Introduced by M. of A. PRETLOW -- read once and referred to the Commit- tee on Ways and Means AN ACT to amend the tax law and the state finance law, in relation to video lottery gaming in the town of Woodbury The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subclause 5 of clause (B) of subparagraph (ii) of paragraph 2 1 of subdivision b of section 1612 of the tax law, as amended by section 3 1 of part S of chapter 39 of the laws of 2019, is amended to read as 4 follows: 5 (5) [forty-nine] sixty-four percent for a video lottery gaming facili- 6 ty authorized pursuant to paragraph [five] eight of subdivision a of 7 section sixteen hundred seventeen-a of this article; 8 § 2. Paragraph 2 of subdivision b of section 1612 of the tax law, as 9 amended by section 2 of part S of chapter 39 of the laws of 2019, is 10 amended to read as follows: 11 2. As consideration for the operation of a video lottery gaming facil- 12 ity, the division, shall cause the investment in the racing industry of 13 a portion of the vendor fee received pursuant to paragraph one of this 14 subdivision in the manner set forth in this subdivision. With the 15 exception of Aqueduct racetrack, a video lottery gaming facility author- 16 ized pursuant to paragraph [five] eight of subdivision a of section 17 sixteen hundred seventeen-a of this article or a facility in the county 18 of Nassau or Suffolk operated by a corporation established pursuant to 19 section five hundred two of the racing, pari-mutuel wagering and breed- 20 ing law, each such track shall dedicate a portion of its vendor fees, 21 received pursuant to clause (A), (B), (B-1), (B-2), (C), or (D) of 22 subparagraph (ii) of paragraph one of this subdivision, for the purpose 23 of enhancing purses at such track, in an amount equal to eight and 24 three-quarters percent of the total revenue wagered at the vendor track 25 after pay out for prizes. One percent of the gross purse enhancement EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD06078-02-1A. 4409 2 1 amount, as required by this subdivision, shall be paid to the gaming 2 commission to be used exclusively to promote and ensure equine health 3 and safety in New York. Any portion of such funding to the gaming 4 commission unused during a fiscal year shall be returned to the video 5 lottery gaming operators on a pro rata basis in accordance with the 6 amounts originally contributed by each operator and shall be used for 7 the purpose of enhancing purses at such track. One and one-half percent 8 of the gross purse enhancement amount at a thoroughbred track, as 9 required by this subdivision, shall be paid to an account established 10 pursuant to section two hundred twenty-one-a of the racing, pari-mutuel 11 wagering and breeding law to be used exclusively to provide health 12 insurance for jockeys. In addition, with the exception of Aqueduct race- 13 track, a video lottery gaming facility authorized pursuant to paragraph 14 [five] eight of subdivision a of section sixteen hundred seventeen-a of 15 this article or a facility in the county of Nassau or Suffolk operated 16 by a corporation established pursuant to section five hundred two of the 17 racing, pari-mutuel wagering and breeding law, one and one-quarter 18 percent of total revenue wagered at the vendor track after pay out for 19 prizes, received pursuant to clause (A), (B), (B-1), (B-2), (C), or (D) 20 of subparagraph (ii) of paragraph one of this subdivision, shall be 21 distributed to the appropriate breeding fund for the manner of racing 22 conducted by such track. 23 Provided, further, that nothing in this paragraph shall prevent each 24 track from entering into an agreement, not to exceed five years, with 25 the organization authorized to represent its horsemen to increase or 26 decrease the portion of its vendor fee dedicated to enhancing purses at 27 such track during the years of participation by such track, or to race 28 fewer dates than required herein. 29 § 3. Subdivision h of section 1612 of the tax law, as amended by 30 section 3 of part S of chapter 39 of the laws of 2019, is amended to 31 read as follows: 32 h. As consideration for the operation of a video lottery gaming facil- 33 ity located in the town of Woodbury, county of Orange [county], the 34 division shall cause the investment in the racing industry at the 35 following amount from the vendor fee to be paid as follows: 36 As amount to the horsemen for purses at a licensed racetrack in Sulli- 37 van county in an amount equal to eight and three-quarters percent of the 38 total revenue wagered at the video lottery gaming facility, after pay 39 out for prizes. The [facility located in Orange county, as defined in40paragraph five of subdivision a of section sixteen hundred seventeen-a41of this article shall pay to the] horsemen at a licensed racetrack in 42 Sullivan county shall pay to the horsemen at a licensed racetrack at 43 Yonkers racetrack an amount to maintain purses for such horsemen at the 44 same dollar levels realized in two thousand eighteen, to be adjusted by 45 the consumer price index for all urban consumers, as published annually 46 by the United States department of labor bureau of labor statistics. In 47 addition, one and one-quarter percent of total revenue wagered at the 48 video lottery gaming facility after pay out for prizes, received pursu- 49 ant to clause (B) of subparagraph (ii) of paragraph one of subdivision b 50 of this section, shall be distributed to the appropriate breeding fund 51 for the manner of racing conducted by such track. In no circumstance 52 shall net proceeds of the lottery, including the proceeds from video 53 lottery gaming, be used for the payment of non-lottery expenses of the 54 gaming commission, administrative or otherwise. 55 § 4. Subdivision a of section 1617-a of the tax law is amended by 56 adding four new paragraphs 8, 9, 10 and 11 to read as follows:A. 4409 3 1 (8) At a facility located in the town of Woodbury, county of Orange to 2 be operated by the entity otherwise licensed to operate video lottery 3 gaming at Monticello racetrack, provided that: (i) such licensed entity 4 is no longer operating video lottery gaming at Monticello racetrack and 5 provided that Monticello racetrack is conducting racing operations; (ii) 6 such facility in the town of Woodbury, county of Orange is not sited 7 within a thirty mile radius of the video lottery gaming facility at 8 Yonkers racetrack; and (iii) the licensed entity, its subsidiaries and 9 affiliates, including the entity licensed to operate a commercial gaming 10 facility in Sullivan county, and the entity licensed to operate video 11 lottery gaming at Yonkers racetrack enter into a mitigation agreement, 12 to be approved by the gaming commission, which shall include, but not be 13 limited to, terms that require: (A) the operator of the facility in the 14 town of Woodbury, county of Orange to make an annual payment to the 15 entity licensed to operate video lottery gaming or commercial gaming at 16 Yonkers racetrack to account for the effects that siting such facility 17 in Orange county would likely have on the gross gaming revenue of the 18 entity licensed to operate at Yonkers racetrack; (B) employment levels 19 at the affected facilities; and (C) that upon expiration or termination 20 of the agreement, the authority to operate video lottery gaming in 21 Orange county shall cease. Notwithstanding any other provision of this 22 subdivision, at no time shall an entity operating video lottery gaming 23 in Orange county be permitted to apply for or receive a license to oper- 24 ate a commercial gaming facility in that county. Notwithstanding any 25 other provision of law to the contrary, at no time shall an entity oper- 26 ating video lottery gaming in the town of Woodbury, county of Orange be 27 permitted to enter into any agreement with, or accept any benefit from, 28 an entity authorized pursuant to article eighteen-a of the general 29 municipal law, including but not limited to payments in lieu of taxes 30 authorized by section eight hundred fifty-eight of the general municipal 31 law. 32 (9) Notwithstanding any other provision of law to the contrary, as a 33 condition of the license to operate a video lottery gaming facility 34 located in the town of Woodbury, county of Orange, such operator shall 35 provide an annual certification to the New York state gaming commission 36 that the staffing levels at a commercial gaming facility located in zone 37 two, region one pursuant to section thirteen hundred ten of the racing, 38 pari-mutuel wagering and breeding law (or any successor commercial 39 gaming facility located in said region) are no less than one thousand 40 four hundred thirteen full-time, permanent employees. In furtherance of 41 and without limiting the foregoing, the licensee for the commercial 42 gaming facility located in zone two, region one pursuant to section 43 thirteen hundred ten of the racing, pari-mutuel wagering and breeding 44 law (or any successor commercial gaming facility located in such region) 45 shall not conduct any mass, involuntary layoff events that would trigger 46 worker adjustment and retraining notification (WARN) act notifications 47 pursuant to article twenty-five-A of the labor law or otherwise result 48 in the employment levels at such facility dropping below levels mandated 49 by this section. For purposes of this section, "full-time, permanent 50 employee" shall mean an employee who has worked at the facility for a 51 minimum of thirty-five hours per week for not less than four consecutive 52 weeks and who is entitled to receive the usual and customary fringe 53 benefits extended to other employees with comparable rank and duties; or 54 two part-time employees who have worked at the facility for a combined 55 minimum of thirty-five hours per week for not less than four consecutiveA. 4409 4 1 weeks and who are entitled to receive the usual and customary fringe 2 benefits extended to other employees with comparable rank and duties. 3 (10) Notwithstanding any other provision of law to the contrary, as a 4 condition of the license to operate a video lottery gaming facility 5 located in the town of Woodbury, county of Orange, such operator shall 6 maintain assistance payments made pursuant to section fifty-four-l of 7 the state finance law to the village of Monticello, Sullivan county, the 8 town of Thompson, Sullivan county, and Sullivan county. Payments made 9 pursuant to this paragraph shall be made quarterly at the same dollar 10 level realized by such municipalities in two thousand twenty, to be 11 adjusted annually pursuant to changes in the consumer price index for 12 all urban consumers, as published annually by the United States depart- 13 ment of labor bureau of labor statistics. As an additional condition 14 for such license, such operator shall maintain additional quarterly 15 assistance payments to Sullivan county in annualized amounts equal to 16 the sales taxes paid to such county by the operator of the commercial 17 gaming facility located in zone two, region one pursuant to section 18 thirteen hundred ten of the racing, pari-mutuel wagering and breeding 19 law (or any successor commercial gaming facility located in said region) 20 in the year two thousand eighteen, to be adjusted annually pursuant to 21 changes in the consumer price index for all urban consumers, as 22 published annually by the United States department of labor bureau of 23 labor statistics. 24 (11) Notwithstanding any other provision of law to the contrary, no 25 license shall be granted to operate a video gaming facility located in 26 the town of Woodbury, county of Orange, prior to the execution of a 27 memorandum of understanding between such operator and the county of 28 Sullivan, which shall be approved by passage of a resolution of the 29 Sullivan county legislature. Such memorandum of understanding shall 30 include, but not be limited to, terms that provide for a one-time 31 payment in the amount of one million dollars from such operator to the 32 county of Sullivan, in addition to any other terms. 33 § 5. Section 54-l of the state finance law is amended by adding a new 34 subdivision 6 to read as follows: 35 6. Notwithstanding any other provision of law to the contrary, all 36 municipalities within which the facility referenced in paragraph eight 37 of subdivision a of section sixteen hundred seventeen-a of the tax law 38 is located, shall be eligible for state assistance to eligible cities 39 and eligible municipalities pursuant to this section; provided, however, 40 that if such facility is located within the geographic boundaries of 41 more than one village, each such village shall receive an equal amount 42 of state assistance pursuant to this section. State assistance awarded 43 to such cities and municipalities shall not be less than three million 44 dollars per award regardless of the number of such cities or munici- 45 palities receiving such award. 46 § 6. This act shall take effect immediately; provided, however, that 47 no video lottery gaming may be conducted at any facility within Orange 48 county unless and until the mitigation agreement required by this act is 49 executed by all parties and approved by the gaming commission.
