A BILL TO BE ENACTED - PowerPoint Presentation

Slide1

A BILL TO BE ENACTED

To Provide for Pari-Mutuel Wagering on Horse RacingSlide2

Establishment of the Division of Horse Racing (Article 1)

This legislation creates a

Division of Horse Racing (DHR)

under the Georgia Lottery Corporation (GLC) (Subsection 1)

The Board of the Georgia Lottery Corporation will appoint a Director of the DHR (Subsection 3)

The DHR is funded entirely by permit fees paid by individuals and entities involved (Subsection 31)

All monies received by the DHR are placed in a State Operations Fund (Subsection 8)Slide3

Duties of the DHR (Subsections 6, 7, 9, 13, 16)

Maintain jurisdiction and supervision of all horse racing licensed under this provision

Establish and enforce and all Rules and Regulations

Audit and Report to the Governor and General Assembly annually

Appoint Stewards, Veterinarians, Inspectors and other employees essential to the operation

Fingerprint and conduct background checks on all employees and licensees

Issue all licenses

Grant permits for non-thoroughbred racing at its discretionSlide4

Racetrack Licensee (Subsections 12, 13, 14, 16, 18, 19)

Must pass background checks

Identify all stockholders

B

e adequately capitalized

D

emonstrate a successful history of operating not less than five racetracks managing a handle of at least $2 billion dollars over the last five years

-Subsections 11, 15 and 17 outline provisions for denying a license to any individual or entity

-Subsection 19 sets the timeframe for a racetrack license

-Subsection 20 regulates the licensing process for Advance Deposit Wagering(ADW)Slide5

Applications and Permits

Subsections 21 through 27 outline:

Requirements for application

Consideration of applications

Duties and responsibilities of the DHR in issuing licenses

Timeframes for notifications and responses

Penalties for suspension or revocation of licensesSlide6

Racetrack/Satellite Facility Location

No facility may be located in a county or municipality without the approval of the voters via a local referendum (Subsection 28)

Only three racetrack licenses will be issued and in effect at any one time (Subsection 15)Slide7

Handle and Takeout (Subsection 29)

Handle

means the total amount of all pari-mutuel wagering from all sources

Takeout

means the percentage of the Handle deducted by the racetrack prior to distribution to the bettorsSlide8

Distribution (Subsection 29)

Distribution of Takeout (as a percentage of Handle):

5% to be used for purses on live races

3% to be allocated to the GLC for HOPE and need based scholarships

1% to the local governing authority of the racetrack or satellite facility within its jurisdiction

.5% to breeders awards as incentives to grow the equine industry in Georgia

.1% to the UGA School of Veterinary Medicine

The balance will go to cover the racetrack or satellite facilities operating expensesSlide9

Annual Permit Fees (Subsection 31)

Racetracks $150,000

Advance Deposit Wagering operations $150,000

Satellite Facilities $15,000

Non-Thoroughbred Racing Facilities $15,000

Associated Business Entities $5,000

Employees $500

Owners

and Trainers $100

Amounts shown are ‘not to exceed’ and are subject to review annually by the DHRSlide10

Interstate Compact on Licensure (Article 2)

The purpose of this compact is to establish uniform licensing requirements among the participating party states and to authorize the DHR to participate in this compact

Subsections 40 through 43 outline:

- Purpose

- Definitions

- Powers and Duties

- Voting Requirements

- AdministrationSlide11

Criminal Provisions (Article 3)

Subsections 50 through 58 outline the penalties and/or fines associated with various criminal acts conducted in association with racetrack operations and pari-mutuel wageringSlide12

Effective Date

Act is effective January 1, 2017

Amendment to the Constitution must:

F

irst be passed by the General Assembly

Then be ratified by the electors in the November, 2016 general election