HB 360-FN-A - AS INTRODUCED
2017 SESSION
17-0422
08/10
HOUSE BILL 360-FN-A
AN ACT reducing the pari-mutuel tax.
SPONSORS: Rep. Sylvia, Belk. 6
COMMITTEE: Ways and Means
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This bill reduces the pari-mutuel tax.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
17-0422
08/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seventeen
AN ACT reducing the pari-mutuel tax.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Pari-Mutuel Tax. Amend RSA 284:23, I-IV to read as follows:
I.(a) Each person, association or corporation licensed to conduct a running horse race or running horse meet under this chapter shall pay to the state treasurer a sum of money equal to one percent of the total contributions to all pari-mutuel pools conducted, made, or sold at any such race or meet licensed under this chapter. The amounts so paid to the state treasurer shall be for the use of the state.
(b) Each person, association, or corporation licensed to simulcast a running horse race or running horse meet under this chapter shall pay to the state treasurer a sum of money equal to [1 1/4] 1/2 percent of the total contributions to all such pari-mutuel pools conducted, made, or sold at such simulcast race or simulcast race meet by such person, association, or corporation licensed to simulcast such races. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a running horse race or running horse meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the lottery commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
II.(a) Each person, association, or corporation licensed to conduct a harness horse race or harness horse race meet under this chapter shall pay to the state treasurer a sum of money equal to one percent of all total contributions to all pari-mutuel pools in a calendar day. The amount so paid to the state treasurer shall be for the use of the state.
(b) Each person, association, or corporation licensed to simulcast a harness horse race or simulcast a harness horse race meet under this chapter shall pay to the state treasurer a sum of money equal to [1 1/4] 1/2 percent of the total contributions to all such pari-mutuel pools conducted, made, or sold at such simulcast race or race meet by such person, association, or corporation licensed to simulcast such races. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a harness horse race or harness horse race meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the lottery commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
III.(a) [Repealed.]
(b) Each person, association or corporation licensed to simulcast a dog race or simulcast a dog race meet under this chapter shall pay to the state treasurer a sum of money equal to [1 1/2] 1/2 percent of all pari-mutuel pools conducted, made, or sold at such simulcast race or simulcast race meet by such person, association, or corporation licensed under this chapter. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a dog race or meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the lottery commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
IV. Each person, association, or corporation licensed to conduct a race or race meet under this chapter shall also pay to the city or town treasurer in which the racing plant is located for each day of racing, whether such day includes live racing only, simulcast racing only, or a combination thereof,[ the fees assessed in subparagraphs (a) and (b) below] $10 for each $10,000 or portion thereof, based upon the aggregate pari-mutuel pools conducted, made, or sold by such person, association, or corporation on each such day. This rate is provided if said person, association, or corporation has a license to conduct races or race meets for more than 10 days during the year for which the license is issued. If said person, association, or corporation has a license to conduct races or race meets for 10 days or less, the per diem fee shall be determined by the lottery commission.
[(a) Each Weekday including Saturday Pari-mutuel pool Fee [Under $300,000 $ 300 per day $300,000 or more $ 350 per day]
(b) Each Sunday Pari-mutuel pool Fee Under $350,000 $ 400 per day $350,000 but under $500,000 $ 800 per day $500,000 or more $1,200 per day]
2 Effective Date. This act shall take effect July 1, 2017.
17-0422
1/3/17
HB 360-FN-A- FISCAL NOTE
as introduced
AN ACT reducing the pari-mutuel tax.
FISCAL IMPACT: [ X ] State [ ] County [ X ] Local [ ] None
|
| |||
| Estimated Increase / (Decrease) | |||
STATE: | FY 2018 | FY 2019 | FY 2020 | FY 2021 |
Appropriation | $0 | $0 | $0 | $0 |
Revenue | $(205,571) | $(205,571) | $(205,571) | $(205,571) |
Expenditures | $0 | $0 | $0 | $0 |
Funding Source: | [ ] General [ X ] Education [ ] Highway [ ] Other | |||
LOCAL: |
|
|
|
|
Revenue | $(86,475) | $(86,475) | $(86,475) | $(86,475) |
Expenditures | $0 | $0 | $0 | $0 |
METHODOLOGY:
This bill amends RSA 284:23 by decreasing the pari-mutuel tax from 1 1/4 percent (horse racing) and 1 1/2 percent (dog racing) to 1/2 percent of the total contributions. This bill also decreases per diem fees paid to the city or town treasurers in which the racing facility is located. Pursuant to RSA 284:21-j, I, lottery fund balance (net profit) shall be deposited in the education trust fund at the end of the fiscal year. The Lottery Commission estimates a $205,571 decrease in state revenue and $86,475 decrease in local revenue in each fiscal year based on the two entities in New Hampshire which are currently licensed and subject to the pari-mutuel tax:
Estimated State Impact | |||||||
Race Type | FY 2016 Handle | Current Tax Rate | FY 2016 Tax Yield | Proposed Tax Rate | Proposed Tax Yield | Fiscal Impact | |
Horse (Thoroughbred) | $12,696,349 | 1.25% | $158,704 | .5% | $63,482 | $(95,223) | |
Harness | $1,903,910 | 1.25% | $23,799 | .5% | $9,520 | $(14,279) | |
Dog (Greyhound) | $9,624,888 | 1.5% | $144,373 | .5% | $48,124 | $(96,249) | |
Total | $24,225,147 |
| $326,876 |
| $121,126 | $(205,751) | |
Estimated Local Impact | |||||||
FY 2016 Handle | Current Per Diem Fee | FY 2016 Revenue Yield | Proposed Per Diem Fee | Proposed Revenue Yield | Fiscal Impact | ||
$24,225,147 | $300-$1,200 based on pari-mutuel sales | $110,700 | $10 for each $10,000 of aggregate pari-mutuel pool conducted | $24,225 | $(86,475) |
AGENCIES CONTACTED:
Lottery Commission
Date | Body | Type |
---|---|---|
Jan. 19, 2017 | House | Hearing |
Feb. 2, 2017 | House | Exec Session |
Oct. 25, 2017 | House | Exec Session |
Jan. 3, 2018 | House | Floor Vote |
Jan. 3, 2018: Inexpedient to Legislate: MA VV 01/03/2018 HJ 1 P. 46
Jan. 3, 2018: Committee Report: Inexpedient to Legislate for 01/03/2018 (Vote 23-0; CC)
Oct. 25, 2017: Executive Session: 10/25/2017 10:00 AM LOB 202
Sept. 6, 2017: Retained Bill Subcommittee Work Session: 09/06/2017 01:00 PM LOB 202
: Retained in Committee
Feb. 2, 2017: Executive Session: 02/02/2017 LOB 202
Jan. 26, 2017: Subcommittee Work Session: 01/26/2017 12:00 PM LOB 202
Jan. 19, 2017: Public Hearing: 01/19/2017 11:00 AM LOB 202
Jan. 5, 2017: Introduced 01/05/2017 and referred to Ways and Means HJ 3 P. 10