BILL NUMBER: SB 1523AMENDED BILL TEXT AMENDED IN SENATE APRIL 16, 2012 INTRODUCED BY Senator Strickland FEBRUARY 24, 2012 An act to amend Section 19640 of the Business and Professions Code, relating to horse racing, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGEST SB 1523, as amended, Strickland. Horse racing: fund for retired race horses. Existing law, the Horse Racing Law, generally regulates horse racing and vests the administration and enforcement of the Horse Racing Law in the California Horse Racing Board. Existing law provides that all money representing penalties or fines imposed by the stewards of a horse race meeting shall be collected by the licensee of the meeting and paid to the board within 10 days after its close. Existing law requires the board to deposit the money in the State Treasury to the credit of the General Fund. Existing law also requires that various fees are payable to the state as license fees, such as the fees imposed upon fair associations for every live racing meeting conducted by the associations persons who participate in horse racing, including horse owners, jockeys, drivers, apprentices, grooms, and valets, to be licensed by the board, and to pay license fees pursuant to the rules and regulations adopted by the board . This bill would require the board to deposit all money representing penalties or fines imposed by the stewards of a horse race meeting and all money representing license fees paid to the board for occupational licenses into the Fund for Retired California Race Horses, which would be established by the bill as a continuously appropriated fund, thereby making an appropriation , for purposes of financing a program for the rehabilitation and retraining of retired California race horses in state prisons . The bill would require the program to be developed by the board and implemented in partnership with a nonprofit organization that operates rehabilitation and retirement services in the state for retired Cali fornia race horses. The bill would require the nonprofit organization to be approved by the board and the Department of Corrections and Rehabilitation. The bill would require the board to adopt regulations for the management and distribution of funds deposited in the Fund for Retired California Race Horses that would . The bill would require the regulations to establish a grant request process under which a portion of the funds collected would be allocated to for the distribution of those moneys to the nonprofit organization and for the distribution of moneys received by the nonprofit organizations organization that operate rehabilitation and retirement facilities located in this state for the care of retired California race horses. The bill would also authorize the board to enter into an agreement with to the Department of Corrections and Rehabilitation for the rehabilitation and retraining of retired California race horses for services provided by prisoners for the rehabilit ation and retraining of retired California race horses pursuant to the program. The bill would require the nonprofit organization and the Department of Corrections and Rehabilitation to submit an annual budget and quarterly financial statements to the board . Vote: 2/3. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 19640 of the Business and Professions Code is amended to read: 19640. (a) All money representing penalties or fines imposed by the stewards of a horse race meeting shall be collected by the licensee of the meeting and paid to the board within 10 days after its close, and the board shall deposit all such of the money in the State Treasury to the credit of the Fund for Retired California Race Horses, which is hereby established in the State Treasury. All fees paid to the board for occupational licenses, as specified in Section 1481 of Article 4 of Division 4 of Title 4 of the California Code of Regulations, shall also be deposited by the board into the fund . Notwithstanding (b) Notwithstanding Section 13340 of the Government Code, all moneys in the fund shall be continuously appropriated to the board for the purposes of funding the program described in this section. (b) Notwithstanding any other law, all money representing license fees paid to the board shall be deposited by the board into the fund. (c) The board shall adopt regulations for the management and distribution of moneys deposited in the Fund for Retired California Race Horses. Those regulations shall establish a grant request process and conditions under which a portion of the funds collected as provided in subdivisions (a) and (b) shall be allocated to board-approved nonprofit organizations that operate rehabilitation and retirement facilities located in this state for the care of retired California race horses. The board may also enter into an agreement with the Department of Corrections and Rehabilitation for the rehabilitation and retraining of retired California race horses. (c) The board shall establish a program for the rehabilitation and retraining of retired California race horses in state prisons. The program shall be developed by the board and shall be implemented in partnership with a nonprofit organization that operates rehabilitation and retirement facilities in the state for the care of retired California race horses. The nonprofit organization shall be approved by the board and the Department of Corrections and Rehabilitation. (d) The board shall adopt regulations for the management and distribution of moneys in the Fund for Retired California Race Horses. The regulations shall also establish a process for the distribution of those moneys to the nonprofit organization and for the distribution of moneys received by the nonprofit organization to the Department of Corrections and Rehabilitation for services provided by prisoners for the rehabilitation and retraining of retired California race horses pursuant to the program. (e) The nonprofit organization and the Department of Corrections and Rehabilitation shall submit a budget for the ensuing calendar year at the board's November meeting each year, and shall file quarterly financial statements with the board.