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AB-2270 Horse racing: out-of-country harness racing.(2017-2018)

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Date Published: 07/16/2018 09:00 PM
AB2270:v97#DOCUMENT

Assembly Bill No. 2270
CHAPTER 100

An act to amend Section 19596.1 of the Business and Professions Code, relating to horse racing, and making an appropriation therefor.

[ Approved by Governor  July 16, 2018. Filed with Secretary of State  July 16, 2018. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 2270, McCarty. Horse racing: out-of-country harness racing.
Under existing law, the California Horse Racing Board is authorized to permit a harness or quarter horse association conducting a horse race to accept wagers on the results of out-of-state, out-of-country, and other designated harness or quarter horse races, if specified conditions are met, including that the association conducts at least 7 live races and imports not more than 10 races on live racing days. A violation of the Horse Racing Law is a crime.
This bill would also authorize wagering on a nightly program of out-of-country harness racing from a single racetrack, regardless of the number of those races, if specified conditions are met. By imposing new requirements under the Horse Racing Law, the violation of which would be a crime, the bill would create new crimes and would thereby create a state-mandated local program.
Under existing law, revenues distributed to the state from horse racing are required to be deposited in the Fair and Exposition Fund and are continuously appropriated to the Secretary of Food and Agriculture for various regulatory and general governmental purposes. By providing for wagering on a nightly program of out-of-country harness racing, as provided, this bill would authorize additional wagering, and would increase the amount of continuously appropriated license fees, thereby making an appropriation.
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: 2/3   Appropriation: YES   Fiscal Committee: YES   Local Program: YES  

The people of the State of California do enact as follows:


SECTION 1.

 Section 19596.1 of the Business and Professions Code is amended to read:

19596.1.
 (a) Notwithstanding any other law, the board may authorize a harness or quarter horse association conducting a race meeting to accept wagers on the results of out-of-state or out-of-country harness or quarter horse races and, with the board’s approval and with the concurrence of the horsemen’s and horsewomen’s organization contracting with the association, other designated harness or quarter horse races during the period it is conducting the racing meeting, if all of the following conditions are met:
(1) The authorization complies with federal laws, including, but not limited to, Chapter 57 (commencing with Section 3001) of Title 15 of the United States Code.
(2) Wagering is offered only within the racing enclosure and only within 36 hours of the running of the out-of-state or out-of-country feature race.
(3) The association conducts at least seven live races, and imports not more than 10 races on those days during a racing meeting when live races are being run, except as provided in subdivision (b).
(4) If only one breed of horse specified in this section is being raced on a given day, then the association conducting the live racing may import those races that would otherwise be simulcast by the association that is not racing. After the usual deductions, including the portion for the racing association, the portion remaining for purses from these races shall be distributed equally for purses for harness and quarter horse horsemen and horsewomen.
(5) A quarter horse or harness racing association shall not accept wagers on out-of-state or out-of-country quarter horse or harness races commencing before 5:30 p.m., Pacific standard time, without the consent of any thoroughbred association or fair that is then conducting a live racing meeting in this state.
(b) An association that is authorized to import races pursuant to subdivision (a) may, at its sole discretion, import fewer than the maximum number of harness or quarter horse races authorized in paragraph (3) of subdivision (a). For up to two races per night, for each race that is not imported under the maximum authorized by paragraph (3) of subdivision (a) on a particular night of racing, the association may add a race to the number of races allowable under the maximum authorization on another night of racing. However, no more than two races may be added under this subdivision to the number allowable on a single night, and the total number of imported races over a calendar year may not exceed the total number of imported races authorized pursuant to paragraphs (3) and (4) of subdivision (a).
(c) Notwithstanding any other law, wagering on a nightly program of out-of-country harness racing from a single racetrack, regardless of the number of those races, may be accepted if all of the following conditions are met:
(1) Only a harness racing association may import a nightly program of out-of-country harness racing from a single racetrack on days when a harness racing association is conducting live racing.
(2) On days when a harness racing association does not conduct live racing, a quarter horse association conducting live racing on that day may accept wagers on a nightly program of out-of-country harness racing from a single racetrack.
(3) A nightly program of out-of-country harness racing from a single racetrack may be imported in addition to the authorizations in subdivisions (a) and (b).
(4) (A) After the deductions required by this article and the rules of the board, the remaining funds from the total amount handled on out-of-country harness racing authorized pursuant to this subdivision shall be distributed equally to the racing associations conducting night meetings in that calendar year.
(B) Funds distributed to a harness racing association pursuant to this subdivision shall be distributed 50 percent as commissions and 50 percent as purses. Funds distributed to a quarter horse racing association pursuant to this subdivision shall be distributed as commissions.

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.