2000 Legislation
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SENATE BILL NO. 1363 – Race tracks, simulcast permitted

SENATE BILL NO. 1363

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Daily Data Tracking History



S1363......................................................by STATE AFFAIRS
RACE TRACKS - Amends existing law to revise the classification of race
tracks to govern which tracks are eligible for licensure to conduct
simulcast racing; and to provide the distribution of proceeds based upon
the revised classification.
                                                                        
02/03    Senate intro - 1st rdg - to printing
02/04    Rpt prt - to St Aff
02/10    Rpt out - rec d/p - to 2nd rdg
02/11    2nd rdg - to 3rd rdg
02/15    3rd rdg - PASSED - 21-10-4
      AYES--Andreason, Boatright, Cameron, Crow, Danielson, Darrington,
      Deide, Dunklin, Ingram, King-Barrutia, McLaughlin, Noh, Richardson,
      Riggs, Risch, Sandy, Schroeder, Stegner, Wheeler, Whitworth, Williams
      NAYS--Bunderson, Burtenshaw, Davis, Frasure, Geddes, Hawkins, Keough,
      Lee, Parry, Thorne
      Absent and excused--Branch, Ipsen, Sorensen, Stennett
    Floor Sponsor - Sandy
    Title apvd - to House
02/16    House intro - 1st rdg - to St Aff
03/20    Rpt out - rec d/p - to 2nd rdg
03/21    2nd rdg - to 3rd rdg
03/30    3rd rdg - PASSED - 59-2-9
      AYES -- Alltus, Barraclough, Barrett, Black, Boe, Callister,
      Campbell, Chase, Cheirrett, Clark, Crow, Cuddy, Deal, Denney,
      Ellsworth, Field(13), Field(20), Gagner, Hadley, Hammond, Hansen(23),
      Hansen(29), Henbest, Hornbeck, Jaquet, Jones(Jones), Kellogg,
      Kempton, Kendell, Kunz, Lake, Linford, Loertscher, Mader, Marley,
      McKague, Meyer, Montgomery, Mortensen, Moss, Moyle, Pearce, Pischner,
      Pomeroy, Ridinger, Ringo, Robison, Sali, Schaefer, Sellman, Shepherd,
      Smith, Smylie, Stevenson, Stoicheff, Tilman, Trail, Wood, Zimmermann
      NAYS -- Judd, Stone
      Absent and excused -- Bell, Bieter, Bruneel, Geddes, Gould, Reynolds,
      Taylor, Wheeler, Mr Speaker
    Floor Sponsor - Ellsworth
    Title apvd - to Senate
03/31    To enrol
04/03    Rpt enrol - Pres signed - Sp signed
04/04    To Governor
04/12    Governor signed
         Session Law Chapter 245
         Effective: 07/01/00

Bill Text


 S1363
                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-fifth Legislature                  Second Regular Session - 2000
                                                                        
                                                                        
                                       IN THE SENATE
                                                                        
                                    SENATE BILL NO. 1363
                                                                        
                                 BY STATE AFFAIRS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO HORSE RACING; AMENDING SECTION 54-2512, IDAHO CODE, TO REVISE LIM-
  3        ITATIONS GOVERNING WHEN SIMULCAST RACING IS PERMITTED; AND  AMENDING  SEC-
  4        TION  54-2513, IDAHO CODE, TO REVISE THE CLASSIFICATION APPLIED TO DISTRI-
  5        BUTION OF DEPOSITS AND TO MAKE TECHNICAL CORRECTIONS.
                                                                        
  6    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  7        SECTION 1.  That Section 54-2512, Idaho Code, be, and the same  is  hereby
  8    amended to read as follows:
                                                                        
  9        54-2512.  PARI-MUTUEL  BETTING  -- OTHER BETTING ILLEGAL. (1) Any licensee
 10    conducting a race meet under this act may provide a place  or  places  in  the
 11    race  meet  grounds or enclosure at which such licensee may conduct and super-
 12    vise the use of the pari-mutuel system by patrons on the result of  the  races
 13    conducted  by such licensee at such race meet and, upon written application by
 14    a licensee and approval by the commission, on the result of  simulcast  and/or
 15    televised  races.  The  commission shall issue no more than one (1) license to
 16    simulcast per live race meet licensee and there shall be no more  simulcasting
 17    sites in the state than there are licensed live race meet sites.
 18        (2)  (a) Licenses  authorizing  simulcast  and/or  televised races will be
 19        regulated by the commission, in addition to  its  other  responsibilities,
 20        for  the  purpose  of  enhancing,  promoting, and protecting the live race
 21        industry in the state of Idaho. No license authorizing simulcasting and/or
 22        televised races shall be issued to or renewed for  persons  that  are  not
 23        also  licensed  to  conduct live race meets in the state of Idaho. Persons
 24        applying for a simulcast and/or televised race license shall have annually
 25        conducted live race meets in the state of Idaho during the  preceding  two
 26        (2)  calendar years, and have an agreement reached voluntarily or pursuant
 27        to binding arbitration in conformance with chapter 9, title 7, Idaho Code,
 28        with a horsemen's group as the term "horsemen's group" is defined in  sec-
 29        tion  54-2502, Idaho Code. The agreement shall address, but not be limited
 30        to, number of live race days and percentage of the live race and simulcast
 31        handle that is dedicated to the live horse race purse structure. Race days
 32        agreed upon shall be submitted to the  Idaho  racing  commission  for  its
 33        approval.
 34        (b)  In addition to the restrictions recited in paragraph (a) of this sub-
 35        section,  live  horse  race  licensees that have had an average daily live
 36        race handle of more than sixty thousand dollars  ($60,000)  a  total  race
 37        handle  from  both  live  races and simulcast races exceeding five million
 38        dollars ($5,000,000) during the last calendar year in operation shall  not
 39        have  a  license authorizing simulcasting and/or televised races issued or
 40        renewed if the licensee has not run in the calendar year immediately  pre-
 41        ceding  the year for which the application for a license is being made for
 42        at least ninety percent (90%) of the number of live races that  were  con-
 43        ducted by that licensee in 1989.
                                                                        
                                           2
                                                                        
  1        (c)  The commission may issue a license authorizing simulcast and/or tele-
  2        vised  races  to  a  live horse race licensee only after that licensee has
  3        conducted at that facility a minimum of forty (40)  live  horse  races  in
  4        each  of  the  two  (2)  calendar years preceding the application for such
  5        license. The requirements of this paragraph are only  applicable  to  live
  6        horse  race  licensees  who  have  received  their initial live horse race
  7        license after April 1, 1997.
  8        (3)  Such pari-mutuel system conducted at such race meet shall  not  under
  9    any   circumstances, if conducted under the provisions of this act and in con-
 10    formity thereto and to the rules of the commission, be held or construed to be
 11    unlawful, other statutes of this state to the contrary notwithstanding.
 12        (4)  The participation by a licensee in an  interstate  combined  wagering
 13    pool does not cause that licensee to be considered to be doing business in any
 14    jurisdiction  other  than the jurisdiction in which the licensee is physically
 15    located.
 16        (5)  Pari-mutuel taxes or commissions may not be imposed  on  any  amounts
 17    wagered  in  an  interstate  combined wagering pool other than amounts wagered
 18    within this jurisdiction.
 19        (6)  It shall be unlawful to conduct pool selling, book making, or to cir-
 20    culate handbooks, or to bet or wager on a race  of  any  licensed  race  meet,
 21    other  than  by the pari-mutuel system; and it shall further be unlawful know-
 22    ingly to permit any minor to use the pari-mutuel system.
                                                                        
 23        SECTION 2.  That Section 54-2513, Idaho Code, be, and the same  is  hereby
 24    amended to read as follows:
                                                                        
 25        54-2513.  HORSE  RACING -- DISTRIBUTIONS OF DEPOSITS -- BREAKAGE. (A) Each
 26    licensee conducting the pari-mutuel system for live and simulcast horse  races
 27    having  an  average  daily  handle  in  excess of one hundred thousand dollars
 28    ($100,000) shall distribute all sums deposited in any pool as follows:
 29        (1)  Eighty-two per cent percent (82%) of any win, place or show  pool  to
 30        the winner thereof, and eighteen per cent percent (18%) to the licensee;
 31        (2)  Seventy-seven  and  one-quarter  per cent percent (77.25%) of all two
 32        (2) horse exotic wagers including, but not limited to, daily  doubles  and
 33        quinellas  to  the  winner thereof, three-quarters of one per cent percent
 34        (.75%) to the racing commission  for  deposit  in  the  racing  commission
 35        account, and twenty-two per cent percent (22%) to the licensee;
 36        (3)  Seventy-five  and  one-quarter per cent percent (75.25%) of all three
 37        (3) or more horse exotic wagers including, but not  limited  to,  trifecta
 38        and  twin-trifecta  to  the winner thereof, three-quarters of one per cent
 39        percent (.75%) to the racing commission for deposit in the racing  commis-
 40        sion account, and twenty-four per cent percent (24%) to the licensee.
 41        (B)  Each  licensee  conducting the pari-mutuel system for live and simul-
 42    cast horse races having an average daily handle in excess of one hundred thou-
 43    sand dollars ($100,000) shall  retain  the  sums  deposited  in  any  pool  as
 44    required in subsection (A) of this section, for distribution and payment based
 45    upon gross daily receipts as follows:
 46        (1)  One and one-quarter per cent percent (1.25%) of gross daily receipts,
 47        separately stated, shall be paid to the Idaho state racing commission, for
 48        deposit  in  the racing commission account, which is hereby created in the
 49        state regulatory fund.
 50        (2)  One-half of one per cent percent (.50%) of gross daily receipts  from
 51        horse  races,  separately  stated, shall be paid to the Idaho state racing
 52        commission for deposit in the track distribution account, which is  hereby
 53        created  in the pari-mutuel distribution fund, for further distribution to
                                                                        
                                           3
                                                                        
  1        certain Idaho horse race tracks, defined as follows:
  2             a.  Recipient horse racing tracks shall be those  which,  during  the
  3             race  meet year of distribution, have an average daily handle of less
  4             than sixty thousand dollars ($60,000) a total race handle  from  both
  5             live  races  and  simulcast  races  of less than five million dollars
  6             ($5,000,000);
  7             b.  Distributions to recipient horse racing tracks shall be  weighted
  8             proportionately  on  the number of days raced during the year of dis-
  9             tribution.
 10             All moneys in the track distribution account are hereby  continuously
 11        appropriated  to  the  commission for payment as required by this section.
 12        Payments to horse racing tracks shall be made annually but not later  than
 13        December 15.
 14        (3)  One-half  of one per cent percent (.50%) of gross daily receipts from
 15        horse races, separately stated shall be paid by the licensee to the   com-
 16        mission  for  deposit  in  the breed distribution account, which is hereby
 17        created in the pari-mutuel distribution fund, for payment by  the  commis-
 18        sion  in  proportion  to the handle generated by each horse breed, to law-
 19        fully constituted representatives of each horse breed, to  benefit  owners
 20        and/or breeders of Idaho bred racing thoroughbreds, racing quarter horses,
 21        racing  Appaloosas,  racing  paints  and  racing  Arabians, subject to the
 22        approval of the commission. Moneys in the breed  distribution  account  on
 23        December 31 of each year which have not been distributed by the commission
 24        shall be paid to the public school income fund.
 25             All  moneys in the breed distribution account are hereby continuously
 26        appropriated to the commission for payment as required  by  this  section.
 27        Payments to representatives shall be made quarterly.
 28        (4)  From  the balance of gross daily receipts remaining with the licensee
 29        after the distributions required in subsection (B)(1),  (2),  and  (3)  of
 30        this  section  from  horse  races,  the following amounts shall be paid or
 31        retained:
 32             a.  From the first $20,000 of  gross  daily  receipts,  the  licensee
 33             shall retain the entire amount;
 34             b.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
 35             receipts between $20,000 and $30,000), the public school income  fund
 36             and the equine education account shall each receive one-eighth of one
 37             per cent percent (.125%), and the licensee shall retain the balance;
 38             c.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
 39             receipts between $30,000 and $40,000), the public school income  fund
 40             and  the  equine  education  account shall each receive sixty-two and
 41             one-half hundredths per cent percent (.625%), and the licensee  shall
 42             retain the balance;
 43             d.  From  all  amounts  of  over $40,000 of gross daily receipts, the
 44             public school income fund and the equine education account shall each
 45             receive one and one-eighth per cent percent (1.125%), and the  licen-
 46             see shall retain the balance.
 47             The public schools' and the equine education account's share shall be
 48        paid  by  the  licensee to the racing commission for deposit in the public
 49        school income fund or the equine education  account  as  appropriate.  The
 50        licensee's percentage shall be retained by the licensee.
 51        (C)  Each  licensee  conducting the pari-mutuel system for live and simul-
 52    cast horse races having an average daily handle of one hundred  thousand  dol-
 53    lars  ($100,000)  or  less  shall distribute all sums deposited in any pool as
 54    follows:
 55        (1)  Seventy-seven per cent percent (77%) of any win, place or  show  pool
                                                                        
                                           4
                                                                        
  1        to  the  winner  thereof,  and  twenty-three per cent percent (23%) to the
  2        licensee;
  3        (2)  Seventy-six and one-quarter per cent percent (76.25%)  of  all  other
  4        pools to the winner thereof, three-quarters of one per cent percent (.75%)
  5        to   the  racing  commission  for  deposit  in  the  racing  account,  and
  6        twenty-three per cent percent (23%) to the licensee.
  7        (D)  Each licensee conducting the pari-mutuel system for live  and  simul-
  8    cast  horse races shall retain twenty-three per cent percent (23%) of all sums
  9    deposited in any pool, for distribution and payment  based  upon  gross  daily
 10    receipts as follows:
 11        (1)  One and one-quarter per cent percent (1.25%) of gross daily receipts,
 12        separately stated, shall be paid to the Idaho state racing commission, for
 13        deposit in the racing commission account.
 14        (2)  One-half  of one per cent percent (.50%) of gross daily receipts from
 15        horse races, separately stated, shall be paid to the  Idaho  state  racing
 16        commission for deposit in the track distribution account, for further dis-
 17        tribution to certain Idaho  horse race tracks, defined as follows:
 18             a.  Recipient  horse  racing  tracks shall be those which, during the
 19             race meet year of distribution, have an average daily handle of  less
 20             than  sixty  thousand dollars ($60,000) a total race handle from both
 21             live races and simulcast races of  less  than  five  million  dollars
 22             ($5,000,000);
 23             b.  Distributions  to recipient horse racing tracks shall be weighted
 24             proportionately on the number of days raced during the year  of  dis-
 25             tribution.
 26             All  moneys in the track distribution account are hereby continuously
 27        appropriated to the commission for payment as required  by  this  section.
 28        Payments  to horse racing tracks shall be made annually but not later than
 29        December 15.
 30        (3)  One-half of one per cent percent (.50%) of gross daily receipts  from
 31        horse  races,  separately stated shall be paid by the licensee to the com-
 32        mission for deposit in the breed distribution account, for payment by  the
 33        commission  in  proportion to the handle generated by each horse breed, to
 34        lawfully constituted representatives  of  each  horse  breed,  to  benefit
 35        owners  and/or breeders of Idaho bred racing thoroughbreds, racing quarter
 36        horses, racing Appaloosas, racing paints and racing Arabians,  subject  to
 37        the  approval  of the commission. Moneys in the breed distribution account
 38        on December 31 of each year which have not been distributed by the commis-
 39        sion shall be paid to the public school income fund.  All  moneys  in  the
 40        breed  distribution  account  are  hereby continuously appropriated to the
 41        commission for payment as required by this section. Payments to  represen-
 42        tatives shall be made quarterly.
 43        (4)  Twenty  and  three-quarters  per cent percent (20.75%) of gross daily
 44        receipts from horse races shall be paid or retained as follows:
 45             a.  From the first $20,000 of  gross  daily  receipts,  the  licensee
 46             shall retain twenty and three-quarters per cent percent (20.75%);
 47             b.  From  the  next  $10,000  of  gross  daily  receipts (gross daily
 48             receipts between $20,000 and $30,000), the public school income  fund
 49             and the equine education account shall each receive one-eighth of one
 50             per  cent  percent  (.125%), and the licensee shall retain twenty and
 51             one-half per cent percent (20.50%);
 52             c.  From the next  $10,000  of  gross  daily  receipts  (gross  daily
 53             receipts  between $30,000 and $40,000), the public school income fund
 54             and the equine education account shall  each  receive  sixty-two  and
 55             one-half  hundredths per cent percent (.625%), and the licensee shall
                                                                        
                                           5
                                                                        
  1             retain nineteen and one-half per cent percent (19.50%);
  2             d.  From all amounts of over $40,000 of  gross  daily  receipts,  the
  3             public school income fund and the equine education account shall each
  4             receive  one and one-eighth per cent percent (1.125%), and the licen-
  5             see shall retain eighteen and one-half per cent percent (18.50%).
  6        The public schools' share and the equine education account's  share  shall
  7        be paid by the licensee to the racing commission for deposit in the public
  8        school  income  fund  or  the equine education account as appropriate. The
  9        licensee's percentage shall be retained by the licensee.
 10        (E)  Each licensee may retain the odd cents of all  redistribution  to  be
 11    based on each dollar deposited exceeding a sum equal to the next lowest multi-
 12    ple  of ten (10), known as breakage, and the total amount of unclaimed tickets
 13    at the termination of the time allowed by rule of the commission.
 14        (F)  If the fiscal year-end  balance  in  the  racing  commission  account
 15    exceeds  $400,000,  the excess shall be transferred by the office of the state
 16    controller to the pari-mutuel distribution fund, which is hereby created,  for
 17    further distribution as follows:
 18        (1)  Sixty  per  cent  percent (60%) shall be deposited in the Idaho horse
 19        owner/breeder award account, which is hereby created  in  the  pari-mutuel
 20        distribution fund, and shall be distributed by the racing commission annu-
 21        ally, but not later than December 15 of each year as follows:
 22             a.  Fifty  per  cent percent (50%) to the breeders of Idaho bred win-
 23             ners based on the number of live races by each breed for the  current
 24             calendar year; and
 25             b.  Fifty  per cent percent (50%) in equal amounts to owners of Idaho
 26             bred horse race winners.
 27             c.  All moneys in the Idaho owner/breeder award  account  are  hereby
 28             continuously  appropriated  to the commission for payment as required
 29             in this section.
 30        (2)  Forty per cent percent (40%) shall be deposited in  the  track  purse
 31        enhancement  account,  which  is  hereby  created,  and  paid to all Idaho
 32        licensed horse racetracks for the purpose of purse  enhancement  based  on
 33        the  number  of  live  race  dates held the preceding calendar year. Track
 34        purse enhancement moneys shall be disbursed no later than thirty (30) days
 35        after Idaho state racing commission approval of  live  race  meet  license
 36        applications  for  the forthcoming calendar year.  All moneys in the track
 37        purse enhancement account are hereby continuously appropriated to the com-
 38        mission for payment as required by this section.

Statement of Purpose / Fiscal Impact


                      STATEMENT OF PURPOSE 
                            RS 09767 

The purpose of this proposed legislation is to change the amount of handle (monies wagered) a
live race track licensee must have had wagered at their facility, in any one year, in order to
participate in the small track fund. The proposed legislation also uses this new handle definition
as the benchmark for tracks with a handle exceeding five million dollars annually to also be
required to run at least 90% of the number of live races that were conducted by that licensee in
1989. 






                          FISCAL IMPACT 

No fiscal impact. 







          Contact:  Idaho Horse Racing Alliance
                    Tim Elison, Chairman 
                    365-1520 

                    Stan Boyd 
                    344-2271 



                                                            STATEMENT OF PURPOSE/FISCAL NOTE                            S 1363