S T A T E O F N E W Y O R K
________________________________________________________________________
2559
2015-2016 Regular Sessions
I N A S S E M B L Y
January 20, 2015
___________
Introduced by M. of A. PRETLOW -- read once and referred to the Commit-
tee on Racing and Wagering
AN ACT to amend the racing, pari-mutuel wagering and breeding law, in
relation to payments to the racing industry at racinos receiving full
casino gaming licenses
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 1355 of the racing, pari-mutuel wagering and breed-
ing law, as added by chapter 174 of the laws of 2013, is amended to read
as follows:
S 1355. Racing support payments. 1. If an applicant who possesses a
pari-mutuel wagering franchise or license awarded pursuant to article
two or three of this chapter, or who possessed in two thousand thirteen
a franchise or a license awarded pursuant to article two or three of
this chapter or is an articulated entity or such applicant, is issued a
gaming facility license pursuant to this article, the licensee shall:
(a) Maintain payments made from video lottery gaming operations to the
relevant horsemen and breeders organizations at the same dollar level
realized in two thousand thirteen, to be adjusted annually pursuant to
changes in the consumer price index for all urban consumers, as
published annually by the United States department of labor bureau of
labor statistics;
(I) INVEST IN THE RACING INDUSTRY A PORTION OF ITS ANNUAL GROSS GAMING
REVENUE RECEIVED PURSUANT TO THIS CHAPTER BY DEDICATING A PORTION OF ITS
ANNUAL GROSS GAMING REVENUE RECEIVED PURSUANT TO THIS CHAPTER SOLELY FOR
THE PURPOSE OF ENHANCING PURSES AT SUCH TRACK, ACCORDING TO THE FOLLOW-
ING SCHEDULE:
FROM THE FIRST FIFTEEN PERCENT INCREASE IN GROSS GAMING REVENUE ABOVE
ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO LOTTERY TERMINALS OPERATED
PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX LAW: NO CONTRIBUTION UNTIL
THE FOLLOWING PLATEAUS ARE REACHED;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05534-01-5
A. 2559 2
BETWEEN FIFTEEN AND ONE-HUNDREDTHS PERCENT TO THIRTY PERCENT INCREASE
IN GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM
VIDEO LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE
TAX LAW: EIGHT PERCENT OF TOTAL GROSS GAMING REVENUE.
BETWEEN THIRTY AND ONE-HUNDREDTHS PERCENT TO FIFTY PERCENT INCREASE IN
GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO
LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX
LAW: AN ADDITIONAL SIX PERCENT OF TOTAL GROSS GAMING REVENUE ABOVE THE
PREVIOUS PLATEAU.
BETWEEN FIFTY AND ONE-HUNDREDTHS PERCENT TO EIGHTY PERCENT INCREASE IN
GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO
LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX
LAW: AN ADDITIONAL FIVE PERCENT OF TOTAL GROSS GAMING REVENUE ABOVE THE
PREVIOUS PLATEAU.
EIGHTY AND ONE-HUNDREDTHS PERCENT AND ABOVE INCREASE IN GROSS GAMING
REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO LOTTERY
TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX LAW: AN
ADDITIONAL FOUR PERCENT OF TOTAL GROSS GAMING REVENUE ABOVE THE PREVIOUS
PLATEAU.
(II) IN ADDITION, TO THE FOREGOING, THE LICENSEE SHALL DISTRIBUTE A
PORTION OF ITS ANNUAL GROSS GAMING REVENUE RECEIVED PURSUANT TO THIS
CHAPTER TO THE APPROPRIATE BREEDING FUND SOLELY FOR THE PURPOSES OF
ENHANCING THE APPROPRIATE BREEDING FUND, ACCORDING TO THE FOLLOWING
SCHEDULE:
FROM THE FIRST FIFTEEN PERCENT INCREASE IN GROSS GAMING REVENUE ABOVE
ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO LOTTERY TERMINALS OPERATED
PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX LAW: NO CONTRIBUTION UNTIL
THE FOLLOWING PLATEAUS ARE REACHED;
BETWEEN FIFTEEN AND ONE-HUNDREDTHS PERCENT TO THIRTY PERCENT INCREASE
IN GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM
VIDEO LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE
TAX LAW: ONE PERCENT OF TOTAL GROSS GAMING REVENUE.
BETWEEN THIRTY AND ONE-HUNDREDTHS PERCENT TO FIFTY PERCENT INCREASE IN
GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO
LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX
LAW: AN ADDITIONAL EIGHTY-FIVE HUNDREDS PERCENT OF TOTAL GROSS GAMING
REVENUE ABOVE THE PREVIOUS PLATEAU.
BETWEEN FIFTY AND ONE-HUNDREDTHS PERCENT TO EIGHTY PERCENT INCREASE IN
GROSS GAMING REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO
LOTTERY TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX
LAW: AN ADDITIONAL SIXTY-FIVE HUNDREDTHS PERCENT OF TOTAL GROSS GAMING
REVENUE ABOVE THE PREVIOUS PLATEAU.
EIGHTY AND ONE-HUNDREDTHS PERCENT AND ABOVE INCREASE IN GROSS GAMING
REVENUE ABOVE ITS TWO THOUSAND FOURTEEN NET WIN FROM VIDEO LOTTERY
TERMINALS OPERATED PURSUANT TO ARTICLE THIRTY-FOUR OF THE TAX LAW: AN
ADDITIONAL FORTY-FIVE HUNDREDTHS PERCENT OF TOTAL GROSS GAMING REVENUE
ABOVE THE PREVIOUS PLATEAU.
(III) PAY TWO PERCENT OF SUCH ADDITIONAL PURSE ENHANCEMENT AMOUNT TO
THE GAMING COMMISSION TO BE HELD FOR THE JOINT AND EXCLUSIVE USE OF
PROMOTING AND MARKETING THE EQUINE RACING INDUSTRY IN NEW YORK WITH THE
CONSENT AND APPROVAL OF THE RECOGNIZED HORSEMEN'S ASSOCIATION AND THE
LICENSEE HEREUNDER. ANY PORTION OF SUCH FUNDING PAID TO THE GAMING
COMMISSION WHICH IS UNUSED OR NOT DEDICATED TO A SPECIFIC PROJECT DURING
ANY FISCAL YEAR SHALL BE RETURNED TO THE LICENSEES ON A PRO RATA BASIS
IN ACCORDANCE WITH THE AMOUNTS ORIGINALLY CONTRIBUTED BY EACH LICENSEE
AND SHALL BE USED FOR THE PURPOSE OF ENHANCING PURSES AT SUCH TRACK
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UNLESS THE PARTIES AGREE TO DEDICATE ALL OR A PORTION THEREOF TO DRUG
TESTING.
(B) PROVIDED, FURTHER, THAT NOTHING IN THIS PARAGRAPH SHALL PREVENT
EACH LICENSEE FROM ENTERING INTO AN AGREEMENT, NOT TO EXCEED FIVE YEARS,
WITH THE RECOGNIZED HORSEMEN'S ASSOCIATION AT THAT TRACK TO INCREASE OR
DECREASE THE PORTION OR PERCENTAGE OF ITS GROSS GAMING REVENUE DEDICATED
TO ENHANCING PURSES AT SUCH TRACK DURING THE YEARS OF PARTICIPATION BY
SUCH TRACK IN GAMING ACTIVITY.
(C) PROVIDED FURTHER THAT ALL REQUIRED ENHANCEMENTS AND DISTRIBUTIONS
SHALL BE MADE BY FEBRUARY FIRST OF THE SUCCEEDING YEAR.
(D) PROVIDED FURTHER, THAT IN THE CALENDAR YEAR A GAMING FACILITY
BECOMES OPERATIONAL, THE COMPUTATIONAL FLOOR AND CEILING AMOUNTS FOR THE
RANGES SET FORTH ABOVE SHALL BE ADJUSTED BY A MULTIPLIER FRACTION, THE
DENOMINATOR OF WHICH IS TWELVE, AND THE NUMERATOR OF WHICH IS THE NUMBER
OF FULL OPERATIONAL MONTHS DURING THE INITIAL YEAR OF OPERATION.
[(b)] (E) All [racetracks] RACETRACK locations awarded a gaming facil-
ity license shall maintain racing activity and race dates pursuant to
articles two and three of this chapter.
2. If an applicant that does not possess either a pari-mutuel wagering
license or franchise awarded pursuant to article two or three of this
chapter is issued a gaming facility license pursuant to this article,
the licensee shall pay:
(a) an amount to horsemen for purses at the licensed racetracks in the
region that will assure the purse support from video lottery gaming
facilities in the region to the licensed racetracks in the region to be
maintained at the same dollar levels realized in two thousand thirteen
to be adjusted by the consumer price index for all urban consumers, as
published annually by the United States department of labor bureau of
labor statistics; and
(b) amounts to the agricultural and New York state horse breeding
development fund and the New York state thoroughbred breeding and devel-
opment fund to maintain payments from video lottery gaming facilities in
the region to such funds to be maintained at the same dollar levels
realized in two thousand thirteen to be adjusted by the consumer price
index for all urban consumers, as published annually by the United
States department of labor bureau of labor statistics.
S 2. This act shall take effect immediately.