HB 1545-FN-A – AS AMENDED BY THE HOUSE
06Feb2008… 0301h
2008 SESSION
08/04
HOUSE BILL 1545-FN-A
AN ACT establishing a waiver option for live-racing tracks.
SPONSORS: Rep. Wendelboe, Belk 1; Rep. Cooney, Graf 7
This bill establishes a waiver option for live-racing tracks.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
06Feb2008… 0301h
08-2327
08/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eight
AN ACT establishing a waiver option for live-racing tracks.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Fees. Amend RSA 284:12-a, II to read as follows:
II. Investigation fees shall be collected by the commission and shall be continually appropriated to the commission and used by the commission to offset the costs of conducting background checks and monitoring of license applicants and licensees as required under this section, RSA 284:16, RSA 284:16-a, RSA 284:18-a, RSA 284:19, RSA 284:20, [and] RSA 284:20-b, and RSA 284:22-a. Funds received hereunder and not expended for such investigations shall lapse to the general fund 2 years after receipt of such funds.
2 Pari-Mutuel Pools. Amend RSA 284:22 to read as follows:
284:22 Pari-Mutuel Pools. During the calendar years of 1941-2029, a licensee under this chapter may sell pari-mutuel pools in accordance with this chapter and rules adopted by the commission. Pari-mutuel pools shall be sold within the enclosure of the racetrack where a licensed race or race meet is held or as provided in RSA 284:22-a, and not elsewhere.
I. The commission on all win, place, and show pari-mutuel pools at tracks or race meets at which running horse races are conducted for public exhibition shall be uniform throughout the state at the rate of 19 percent of each dollar wagered in such pools, and the commission on all other pari-mutuel pools at such tracks or race meets shall be at the rate of not less than 26 percent of each dollar wagered in such pools and not more than 27 percent of each dollar wagered in such pools as determined from time to time by the licensee which conducts live running horse races after written notice to the commission and, in the absence of written notice, at the rate of 26 percent of each dollar wagered in such pools. Except as provided in RSA 284:22-a, the amount of the purse at such tracks or race meets at which running horse races are conducted shall be 8 1/4 percent of each dollar wagered in all pari-mutuel pools, said 8 1/4 percent to be paid by the licensee out of the commission on such pools. [In addition to the above commission, 1/2 of the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10, known as “breakage”, shall be retained by the licensee, 1/4 paid to the state treasury for the use of the state in accordance with the provisions of RSA 284:2 and 1/4 shall be paid to the pari-mutuel commission. The pari-mutuel commission shall distribute such breakage to the licensee which paid such breakage to supplement purses of live races conducted by the licensee at the location from which such breakage was paid.] Each licensee shall pay the tax provided for in RSA 284:23. In addition to the commission, 3/4 of breakage shall be retained by the licensee and 1/4 of breakage shall be paid to the state treasurer for deposit in the general fund. For purposes of this paragraph, “breakage” means the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10.
II. The commission on all win, place, and show pari-mutuel pools at tracks or race meets at which harness horse races are conducted for public exhibition, including those conducted by agricultural fairs, shall be uniform throughout the state at the rate of 19 percent of each dollar wagered in such pools, and the commission on all other pari-mutuel pools at such tracks or race meets shall be at the rate of not less than 25 percent of each dollar wagered in such pools and not more than 26 percent of each dollar wagered in such pools as determined from time to time by the licensee which conducts live harness horse racing after written notice to the commission and, in the absence of such written notice, at the rate of 25 percent of each dollar wagered in such pools. [In addition to the above commission, 1/2 of the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10, known as “breakage”, shall be retained by the licensee, 1/4 paid to the state treasury for the use of the state in accordance with the provisions of RSA 284:2 and 1/4 shall be paid to the pari-mutuel commission. The pari-mutuel commission shall distribute such breakage to the licensee which paid such breakage to supplement purses of live races conducted by the licensee at the location from which such breakage was paid.] Each licensee shall pay the tax provided for in RSA 284:23. In addition to the commission, 3/4 of breakage shall be retained by the licensee and 1/4 of breakage shall be paid to the state treasurer for deposit in the general fund. For purposes of this paragraph, “breakage” means the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10.
III. For the purposes set forth in this section, an “agricultural fair” means an association which provides for and pays premiums of $5,000 or more, annually, as is determined by the commissioner of agriculture, markets, and food, in accordance with RSA 284:25.
IV. The commission on all win, place, and show pari-mutuel pools at tracks or race meets at which dog races are conducted for public exhibition shall be uniform throughout the state at the rate of 19 percent of each dollar wagered in such pools; and the commission on all other pari-mutuel pools at such tracks or race meets shall be at the rate of not less than 26 percent of each dollar wagered in such pools and not more than 27 percent of each dollar wagered in such pools as determined from time to time by the licensee which conducts live dog racing after written notice to the commission and, in the absence of such written notice, at the rate of 26 percent of each dollar wagered in such pools. [In addition to the above commission, 1/2 of the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10, known as “breakage”, shall be retained by the licensee, 1/4 paid to the state treasury for the use of the state in accordance with the provisions of RSA 284:2 and 1/4 shall be paid to the pari-mutuel commission. The pari-mutuel commission shall distribute such breakage to the licensee which paid such breakage to supplement purses of live races conducted by the licensee at the location from which such breakage was paid.] Each licensee shall pay the tax provided for in RSA 284:23. In addition to the commission, 3/4 of breakage shall be retained by the licensee and 1/4 of breakage shall be paid to the state treasurer for deposit in the general fund. For purposes of this paragraph, “breakage” means the odd cents of all redistribution based on each dollar wagered exceeding a sum equal to the next lowest multiple of 10.
3 Sales. Amend RSA 284:22-a, II(a)(1) to read as follows:
(1) Such sales are within the enclosure of the racetrack at which the licensee holds a license for the current year to conduct live racing in this state or, if such licensee makes an agreement as provided pursuant to RSA 284:22-a, II(a)(3)(B), within the enclosure of the racetrack maintained by such licensee as provided in RSA 284:22-a, II(a)(3)(B)(ii);
4 Pari-Mutuel Pools on Simulcast Racing. RSA 284:22-a, II(a)(3) is repealed and reenacted to read as follows:
(3)(A) The licensee, if the licensee is licensed to conduct live running horse racing or harness horse racing, has scheduled at least 50 calendar days of such live racing in the calendar year in which the licensee simulcasts, or if the licensee does not have scheduled at least 50 calendar days of such live racing in such calendar year, the licensee conducts such live racing on the day on which the licensee simulcasts; or
(B) The licensee, if the licensee is licensed to conduct live dog racing, has scheduled at least 25 days of such live racing in the calendar year in which the licensee simulcasts, or if the licensee has not scheduled at least 25 calendar days of such live racing in such calendar year, the licensee conducts such live racing on the day on which the licensee simulcasts; provided, however, a licensee may schedule its 25 days of live dog racing to be held at another facility licensed within the state, provided that:
(i) Such agreement is in writing and is approved by the commission after notice and hearing;
(ii) The licensee maintains its racetrack in a condition which is capable to conduct live dog racing as previously conducted and such condition is approved by the commission after notice and hearing; and
(iii) The licensee pays a fee of $5,000 to the commission for each calendar year of any such agreement; and
5 Pari-Mutuel; Pools on Simulcast Racing. RSA 284:22-a, IV is repealed and reenacted to read as follows:
IV.(a) A licensee authorized to conduct live running horse racing or live harness racing which has scheduled less than 50 calendar days of such live racing in a calendar year may simulcast on a day on which such live racing is scheduled at the licensee's race track, without conducting such live racing, provided that the live racing program is cancelled due to weather or other conditions which produce unsafe conditions at the racetrack of the licensee. The determination to cancel a live program based on weather or the condition of the racetrack shall be made by the licensee, and notice shall be provided to the commission. Notwithstanding the foregoing, a licensee which has scheduled less than 50 days of live running horse racing or live harness horse racing shall be limited to no more than 10 such cancellations in a calendar year.
(b) A licensee authorized to conduct live dog racing which has scheduled less than 25 calendar days of such live racing in a calendar year may simulcast on a day on which such live racing is scheduled at the licensee's race track, without conducting such live racing, provided that the live racing program is cancelled due to weather or other conditions which produce unsafe conditions at the racetrack of the licensee. The determination to cancel a live program based on weather or the conditions of the racetrack shall be made by the licensee, and notice shall be provided to the commission. Notwithstanding the foregoing, a licensee which has scheduled less than 25 days of live dog racing shall be limited to no more than 10 such cancellations in a calendar year.
6 Committee Established. There is established a committee to study standardizing the treatment of racing dogs.
7 Membership and Compensation.
I. The members of the committee shall be as follows:
(a) No more than 5 members of the house of representatives, appointed by the speaker of the house of representatives, one of whom shall be a member of the environment and agriculture committee.
(b) One member of the senate, appointed by the president of the senate.
II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.
8 Duties. The committee shall study the following issues as related to dogs at racetracks:
I. Minimum standards for cage size for racing dogs at racetracks.
II. Requirements for the time dogs spend outside of their cages at racetracks.
III. The euthanasia policy of racetracks.
IV. The illness treatment policy of racetracks.
V. The adoption policy of racetracks.
VI. Feeding standards of racetracks.
VII. Any other issues related to dogs at racetracks.
9 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the first-named house member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Three members of the committee shall constitute a quorum.
10 Report. The committee shall report its findings and any recommendations for proposed legislation to the speaker of the house of representatives, the chair of the house environment and agriculture committee, the president of the senate, the senate executive departments and administration committee, the house clerk, the senate clerk, the governor, and the state library on or before November 1, 2008.
11 Effective Date.
I. Sections 6 through 10 of this act shall take effect upon its passage.
II. The remainder of this act shall take effect January 1, 2010.
LBAO
08-2327
Amended 02/21/08
HB 1545 FISCAL NOTE
AN ACT establishing a waiver option for live-racing tracks.
FISCAL IMPACT:
The Pari-Mutuel Commission states this bill, as amended by the House (Amendment #2008-0301h), will reduce state revenue by approximately $12,000 in FY 2010, and by $24,000 in FY 2011 and each year thereafter. This bill would decrease state expenditures by $18,450 in FY 2010, and by $36,900 in FY 2011 and each year thereafter. This bill will have no fiscal impact on county and local revenue or expenditures
METHODOLOGY:
The Pari-Mutuel Commission states this bill would allow for a reduction of live racing from 50 days to 25, or no live racing days if there is an agreement with another track to hold the 25 required days. The Commission assumes that licensing fees will stay the same except for any racetrack where no live racing is held where no license fees would be collected. It is assumed that attendance and wagering will remain at its 2006 levels. However, the Commission has recent statistics showing that a reduction in live racing has decreased both live and simulcast betting resulting in reduced revenue to the state. The Commission’s administrative and enforcement costs will be reduced by an indeterminable amount if live racing is eliminated or reduced. The Commission has based its calculations below on calendar year 2006 figures as that data was most readily available. The Commission states there are a variety of potential scenarios that would be possible for the tracks to meet the required 25 live racing days or agreement with another track. The Commission’s estimates ranged as follows:
Greyhound Track Racing Days Scenarios Revenue Expenditures
A - All tracks running 25 live racing days $(23,997) $(36,900)
B - 2 tracks not running live, 1 track running 75 live days $(23,547) $(36,900)
C - 1 track not running live, 1 track running 25 live days,
and 1 track running 50 live days $(23,772) $(36,900)
Under any scenario in the table above, the bill is estimated to decrease state revenue by approximately $24,000 annually (rounded figures), and decrease state expenditures by $36,900 annually. The effective date of this bill is January 1, 2010, which would result in a half-year impact in FY 2010 of a decrease in state revenue of approximately $12,000, and a decrease in state expenditures of $18,450.