1998 Legislation
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HOUSE BILL NO. 492 – Horse racing moneys, distribution

HOUSE BILL NO. 492

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Daily Data Tracking History



H0492......................................................by STATE AFFAIRS
HORSE RACING - Amends existing law to provide for appropriation, deposit
and distribution of moneys derived from horse racing.

01/22    House intro - 1st rdg - to printing
01/23    Rpt prt - to St Aff
02/06    Rpt out - rec d/p - to 2nd rdg
02/09    2nd rdg - to 3rd rdg
02/11    3rd rdg - PASSED - 61-5-4
      AYES -- Alltus, Barraclough, Barrett, Bell, Bieter, Bivens,
      Black(15), Black(23), Boe, Bruneel, Callister, Campbell, Chase,
      Clark, Crane, Crow, Cuddy, Deal, Denney, Ellsworth, Field(13),
      Field(20), Gagner, Gould, Hadley, Hansen, Henbest, Hornbeck, Jaquet,
      Jones(9), Jones(22), Jones(20), Judd, Kempton, Kendell, Kjellander,
      Kunz, Lake, Linford, Mader, Marley, McKague, Meyer, Miller,
      Mortensen, Newcomb, Pischner, Reynolds, Richman, Ridinger, Robison,
      Schaefer, Stevenson, Stoicheff, Stone, Stubbs, Tilman, Watson,
      Wheeler, Zimmermann, Mr Speaker
      NAYS -- Geddes, Loertscher, Sali, Taylor, Tippets
      Absent and excused -- Kellogg, Pomeroy, Trail, Wood
    Floor Sponsor - Deal
    Title apvd - to Senate
02/12    Senate intro - 1st rdg - to St Aff
03/04    Rpt out - rec d/p - to 2nd rdg
03/05    2nd rdg - to 3rd rdg
03/16    3rd rdg - PASSED - 33-0-2
      AYES--Andreason, Boatright, Branch, Bunderson, Burtenshaw, Cameron,
      Crow, Danielson, Darrington, Deide, Dunklin, Frasure, Geddes, Hansen,
      Hawkins, Ingram, Keough, King, Lee, McLaughlin, Noh, Parry,
      Richardson, Riggs, Risch, Sandy, Schroeder, Sorensen, Stennett,
      Sweeney, Thorne, Wheeler, Whitworth
      NAYS--None
      Absent and excused--Ipsen, Twiggs
    Floor Sponsor - Darrington
    Title apvd - to House
03/17    To enrol
03/17    Rpt enrol - Sp signed
03/18    Pres signed - to Governor
03/19    Governor signed
         Session Law Chapter 127
         Effective: 07/01/98

Bill Text


H0492


                                                                        
 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fourth Legislature                 Second Regular Session - 1998
                                                                        

                             IN THE HOUSE OF REPRESENTATIVES

                                    HOUSE BILL NO. 492

                                BY STATE AFFAIRS COMMITTEE

 1                                        AN ACT
 2    RELATING TO HORSE RACING; AMENDING SECTION 54-2513, IDAHO CODE, TO PROVIDE FOR
 3        APPROPRIATION, DEPOSIT AND  DISTRIBUTION  OF  MONEYS  DERIVED  FROM  HORSE
 4        RACING.

 5    Be It Enacted by the Legislature of the State of Idaho:

 6        SECTION  1.  That  Section 54-2513, Idaho Code, be, and the same is hereby
 7    amended to read as follows:

 8        54-2513.  HORSE RACING -- DISTRIBUTIONS OF DEPOSITS -- BREAKAGE. (A)  Each
 9    licensee  conducting the pari-mutuel system for live and simulcast horse races
10    having an average daily handle in  excess  of  one  hundred  thousand  dollars
11    ($100,000) shall distribute all sums deposited in any pool as follows:
12        (1)  Eighty-two  per cent (82%) of any win, place or show pool to the win-
13        ner thereof, and eighteen per cent (18%) to the licensee;
14        (2)  Seventy-seven and one-quarter per cent (77.25%) of all two (2)  horse
15        exotic  wagers  including, but not limited to, daily doubles and quinellas
16        to the winner thereof, three-quarters of one per cent (.75%) to the racing
17        commission for deposit in the racing commission  account,  and  twenty-two
18        per cent (22%) to the licensee;
19        (3)  Seventy-five  and  one-quarter  per cent (75.25%) of all three (3) or
20        more horse exotic wagers including, but not limited to, trifecta and twin-
21        trifecta to the winner thereof, three-quarters of one per cent  (.75%)  to
22        the  racing  commission  for deposit in the racing commission account, and
23        twenty-four per cent (24%) to the licensee.
24        (B)  Each licensee conducting the pari-mutuel system for live  and  simul-
25    cast horse races having an average daily handle in excess of one hundred thou-
26    sand  dollars  ($100,000)  shall  retain  the  sums  deposited  in any pool as
27    required in subsection (A) of this section, for distribution and payment based
28    upon gross daily receipts as follows:
29        (1)  One and one-quarter per cent (1.25%) of gross daily  receipts,  sepa-
30        rately  stated,  shall  be  paid to the Idaho state racing commission, for
31        deposit in the racing commission account, which is hereby created  in  the
32         dedicated   state regulatory  fund.
33        (2)  One-half  of  one  per cent (.50%) of gross daily receipts from horse
34        races, separately stated, shall be paid to the Idaho state racing  commis-
35        sion  for  deposit in the track distribution account, which is hereby cre-
36        ated in the  dedicated   pari-mutuel  distribution  
37        fund, for further distribution to certain Idaho horse race tracks, defined
38        as follows:
39             a.  Recipient  horse  racing  tracks shall be those which, during the
40             race meet year of distribution, have an average daily handle of  less
41             than sixty thousand dollars ($60,000);
42             b.  Distributions  to recipient horse racing tracks shall be weighted
43             proportionately on the number of days raced during the year  of  dis-


                                          2

 1             tribution.
 2             All moneys in the track distribution account are hereby  contin-
 3        uously    appropriated  to the commission for payment as required by
 4        this section.  Payments to horse racing tracks shall be made annually  but
 5        not later than December 15.
 6        (3)  One-half  of  one  per cent (.50%) of gross daily receipts from horse
 7        races, separately stated shall be paid by the licensee to the   commission
 8        for  deposit in the breed distribution account, which is hereby created in
 9        the  dedicated   pari-mutuel   distribution    fund,
10        for  payment  by  the  commission in proportion to the handle generated by
11        each horse breed, to lawfully constituted representatives  of  each  horse
12        breed,   to   benefit   owners   and/or  breeders  of  Idaho  bred  racing
13        thoroughbreds, racing quarter horses, racing Appaloosas, racing paints and
14        racing Arabians, subject to the approval of the commission. Moneys in  the
15        breed distribution account on December 31 of each year which have not been
16        distributed  by  the  commission shall be paid to the public school income
17        fund.
18             All moneys in the breed distribution account are hereby  contin-
19        uously  appropriated to the commission for payment  as  required  by
20        this section. Payments to representatives shall be made quarterly.
21        (4)  From  the balance of gross daily receipts remaining with the licensee
22        after the distributions required in subsection (B)(1),  (2),  and  (3)  of
23        this  section  from  horse  races,  the following amounts shall be paid or
24        retained:
25             a.  From the first $20,000 of  gross  daily  receipts,  the  licensee
26             shall retain the entire amount;
27             b.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
28             receipts between $20,000 and $30,000), the public school income  fund
29             and the equine education account shall each receive one-eighth of one
30             per cent (.125%), and the licensee shall retain the balance;
31             c.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
32             receipts between $30,000 and $40,000), the public school income  fund
33             and  the  equine  education  account shall each receive sixty-two and
34             one-half hundredths per cent (.625%), and the licensee  shall  retain
35             the balance;
36             d.  From  all  amounts  of  over $40,000 of gross daily receipts, the
37             public school income fund and the equine education account shall each
38             receive one and one-eighth per cent (1.125%), and the licensee  shall
39             retain the balance.
40             The public schools' and the equine education account's share shall be
41        paid  by  the  licensee to the racing commission for deposit in the public
42        school income fund or the equine education  account  as  appropriate.  The
43        licensee's percentage shall be retained by the licensee.
44        (C)  Each  licensee  conducting the pari-mutuel system for live and simul-
45    cast horse races having an average daily handle of one hundred  thousand  dol-
46    lars  ($100,000)  or  less  shall distribute all sums deposited in any pool as
47    follows:
48        (1)  Seventy-seven per cent (77%) of any win, place or show  pool  to  the
49        winner thereof, and twenty-three per cent (23%) to the licensee;
50        (2)  Seventy-six  and  one-quarter per cent (76.25%) of all other pools to
51        the winner thereof, three-quarters of one per cent (.75%)  to  the  racing
52        commission  for  deposit  in the racing account, and twenty-three per cent
53        (23%) to the licensee.
54        (D)  Each licensee conducting the pari-mutuel system for live  and  simul-
55    cast  horse  races shall retain twenty-three per cent (23%) of all sums depos-


                                          3

 1    ited in any pool, for distribution and payment based upon gross daily receipts
 2    as follows:
 3        (1)  One and one-quarter per cent (1.25%) of gross daily  receipts,  sepa-
 4        rately  stated,  shall  be  paid to the Idaho state racing commission, for
 5        deposit in the racing commission account.
 6        (2)  One-half of one per cent (.50%) of gross daily  receipts  from  horse
 7        races,  separately stated, shall be paid to the Idaho state racing commis-
 8        sion for deposit in the  track distribution account, for further distribu-
 9        tion to certain Idaho  horse race tracks, defined as follows:
10             a.  Recipient horse racing tracks shall be those  which,  during  the
11             race  meet year of distribution, have an average daily handle of less
12             than sixty thousand dollars ($60,000);
13             b.  Distributions to recipient horse racing tracks shall be  weighted
14             proportionately  on  the number of days raced during the year of dis-
15             tribution.
16             All moneys in the track distribution account are hereby  contin-
17        uously  appropriated to the commission for payment  as  required  by
18        this  section.  Payments to horse racing tracks shall be made annually but
19        not later than December 15.
20        (3)  One-half of one per cent (.50%) of gross daily  receipts  from  horse
21        races,  separately  stated shall be paid by the licensee to the commission
22        for deposit in the breed distribution account, for payment by the  commis-
23        sion  in  proportion  to the handle generated by each horse breed, to law-
24        fully constituted representatives of each horse breed, to  benefit  owners
25        and/or breeders of Idaho bred racing thoroughbreds, racing quarter horses,
26        racing  Appaloosas,  racing  paints  and  racing  Arabians, subject to the
27        approval of the commission. Moneys in the breed  distribution  account  on
28        December 31 of each year which have not been distributed by the commission
29        shall  be  paid  to the public school income fund. All moneys in the breed
30        distribution account are hereby  continuously  appropriated  to
31        the commission for payment as required by this section. Payments to repre-
32        sentatives shall be made quarterly.
33        (4)  Twenty  and  three-quarters per cent (20.75%) of gross daily receipts
34        from horse races shall be paid or retained as follows:
35             a.  From the first $20,000 of  gross  daily  receipts,  the  licensee
36             shall retain twenty and three-quarters per cent (20.75%);
37             b.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
38             receipts between $20,000 and $30,000), the public school income  fund
39             and the equine education account shall each receive one-eighth of one
40             per  cent  (.125%), and the licensee shall retain twenty and one-half
41             per cent (20.50%);
42             c.  From the next  $10,000  of  gross  daily  receipts  (gross  daily
43             receipts  between $30,000 and $40,000), the public school income fund
44             and the equine education account shall  each  receive  sixty-two  and
45             one-half  hundredths  per cent (.625%), and the licensee shall retain
46             nineteen and one-half per cent (19.50%);
47             d.  From all amounts of over $40,000 of  gross  daily  receipts,  the
48             public school income fund and the equine education account shall each
49             receive  one and one-eighth per cent (1.125%), and the licensee shall
50             retain eighteen and one-half per cent (18.50%).
51        The public schools' share and the equine education account's  share  shall
52        be paid by the licensee to the racing commission for deposit in the public
53        school  income  fund  or  the equine education account as appropriate. The
54        licensee's percentage shall be retained by the licensee.
55        (E)  Each licensee may retain the odd cents of all  redistribution  to  be


                                          4

 1    based on each dollar deposited exceeding a sum equal to the next lowest multi-
 2    ple  of ten (10), known as breakage, and the total amount of unclaimed tickets
 3    at the termination of the time allowed by rule of the commission.
 4        (F)  If the fiscal year-end balance in the racing  commission    free
 5    fund     account  exceeds $400,000, the excess shall be 
 6    distributed   transferred by the office  of the state controller to
 7    the pari-mutuel distribution fund, which is hereby created, for  further  dis-
 8    tribution  as follows:
 9        (1)  Sixty  per  cent  (60%)  shall be  paid for owner-breeder awards
10          deposited in the Idaho  horse  owner/breeder  award  account,
11        which is hereby created in the pari-mutuel distribution fund, and shall be
12        distributed by the racing commission annually, but not later than December
13        15 of each year as follows :
14             a.  Fifty  per  cent (50%)  of this amount shall be deposited in
15             the Idaho horse breeders' and owners' award account and shall be dis-
16             tributed by the racing commission annually, but not later than Decem-
17             ber 15 of each year,  to the breeders  of  Idaho  bred  winners
18             based  on the number of live races by each breed for the current cal-
19             endar year; and
20             b.  Fifty per cent (50%)  of all moneys deposited in  the  Idaho
21             horse breeders' and owners' award account shall be distributed by the
22             racing  commission  annually,  but not later than December 15 of each
23             year,  in equal amounts to owners of Idaho bred horse race win-
24             ners.
25              c.  All moneys in the Idaho  owner/breeder  award  account  are
26             hereby  continuously  appropriated  to  the commission for payment as
27             required in this section. 
28        (2)  Forty per cent (40%) shall be   deposited  in  the  track  purse
29        enhancement account, which is hereby created, and  paid to all Idaho
30        licensed  horse  racetracks  for  the  purpose of purse enhancement .
31        Purse enhancement funds shall be disbursed  based on the  number  of
32        live  race  dates  held  the  preceding  calendar  year.  Track purse
33        enhancement moneys shall be disbursed no later than thirty (30) days after
34        Idaho state racing commission approval of live race meet license  applica-
35        tions  for  the  forthcoming calendar year.  All moneys in the track purse
36        enhancement account are hereby continuously appropriated to the commission
37        for payment as required by this section. 

Statement of Purpose / Fiscal Impact








    STATEMENT OF PURPOSE 
    RS07413 3
    
    Amendment to Idaho Code Section 54-2513 for the purpose of including appropriation 
    language in all sections of this code. Establish the Idaho Owner/Breeder Awards account in 
    the pari-mutuel distribution fund and consolidate repetitive language in sections "a" & "b" 
    under (F)1, to make this portion of the section clearer. Establish the Track Purse 
    Enhancement account in the pari-mutuel distribution fund and establish a date for 
    disbursement.
    
    FISCAL IMPACT
    This proposed amendment requires no additional funding by the state of Idaho.
    
    
    CONTACT
    Name: Eugene Baker
    Agency: Idaho Racing Commission
    Phone: 884-7080
    Statement of Purpose/Fiscal Impact
    
    H 492