The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Appropriations Committee on Agriculture, Environment, and General
Government
BILL: CS/SB 408
INTRODUCER: Regulated Industries Committee and Senator Burgess
SUBJECT: Thoroughbred Permitholders
DATE: April 14, 2025
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Baird Imhof RI Fav/CS
2. Davis Betta AEG Pre-meeting
3. RC
Please see Section IX. for Additional Information:
COMMITTEE SUBSTITUTE - Substantial Changes
I. Summary:
CS/SB 408 allows thoroughbred permitholders who operate a slot machine facility or cardroom
to decouple from the live racing requirements after giving notice on or after July 1, 2028, which
contains the date that live racing will end. The live racing cannot end any earlier than four years
after the date of the notice.
Additionally, the bill provides that the tax on handle for intertrack wagering is 0.5 percent if the
host track and guest track are thoroughbred permitholders or if the guest track is located outside
the market area of the host track and within the market area of a thoroughbred permitholder that
conducted a full schedule of live racing the preceding fiscal year.
The bill provides that a thoroughbred permitholder, in order to continue to operate slot machines,
must have on file with the Florida Gaming Control Commission (commission) a binding written
agreement between the applicant and the Florida Horsemen’s Benevolent and Protective
Association, Inc., and with the Florida Thoroughbred Breeders’ Association, Inc., until a
thoroughbred permitholder is no longer conducting live racing pursuant to the new section of the
bill.
Finally, the bill provides that thoroughbred permitholders are no longer required to conduct at
least 90 percent of the live performances during the initial year of licensure. Further, this section
provides that a thoroughbred permitholder, who operates a cardroom facility, must continue to
use at least 50 percent cardroom monthly net proceeds to supplement purses and breeder’s
REVISED: BILL: CS/SB 408 Page 2
awards during the permitholders’ next ensuing racing meet until he or she is no longer
conducting live racing.
The bill has an indeterminate fiscal impact. See Section V., Fiscal Impact Statement.
The bill takes effect July 1, 2025.
II. Present Situation:
Background
In general, gambling is illegal in Florida.
1
Chapter 849, F.S., prohibits keeping a gambling
house,
2
running a lottery,
3
or the manufacture, sale, lease, play, or possession of slot machines.
4
However, the following gaming activities are authorized by law and regulated by the state:
• Pari-mutuel
5
wagering at licensed greyhound and horse tracks and jai alai frontons;
6
• Slot machine gaming at certain licensed pari-mutuel locations in Miami-Dade County and
Broward County;
7
• Cardrooms
8
at certain pari-mutuel facilities;
9
• The state lottery authorized by section 15 of Article X of the State Constitution and
established under ch. 24, F.S.;
10
• Skill-based amusement games and machines at specified locations as authorized by
s. 546.10, F.S, the Family Amusement Games Act;
11
and
1
See s. 849.08, F.S.
2
See s. 849.01, F.S.
3
See s. 849.09, F.S.
4
See s. 849.16, F.S.
5
Section 550.002(22), F.S., defines “pari-mutuel” as “a system of betting on races or games in which the winners divide the
total amount bet, after deducting management expenses and taxes, in proportion to the sums they have wagered individually
and with regard to the odds assigned to particular outcomes.
6
See ch. 550, F.S., relating to the regulation of pari-mutuel activities.
7
See FLA. CONST., art. X, s. 23, and ch. 551, F.S.
8
Section 849.086(2)(c), F.S., defines “cardroom” to mean “a facility where authorized card games are played for money or
anything of value and to which the public is invited to participate in such games and charged a fee for participation by the
operator of such facility.”
9
See Florida Gaming Control Commission, Annual Report Fiscal Year 2023-2024 (Annual Report), at p. 19, at
https://www.flgaming.gov/pmw/annual-reports/docs/2023-2024-FGCC-Annual-Report.pdf
(last April 9, 2025), which states that of 30 licensed permitholders, 29 operated at a pari-mutuel facility.
10
Chapter 24, F.S., was enacted by ch. 87-65, Laws of Fla., to establish the state lottery; s. 24.102, F.S., states the legislative
purpose and intent for the operations of the state lottery.
11
See s. 546.10, F.S. BILL: CS/SB 408 Page 3
• The following activities, if conducted as authorized under ch. 849, F.S., relating to Gambling,
under specific and limited conditions:
o Penny-ante games;
12
o Bingo;
13
o Charitable drawings;
14
o Game promotions (sweepstakes);
15
and
o Bowling tournaments.
16
A license to offer pari-mutuel wagering, slot machine gambling, or a cardroom at a pari-mutuel
facility is a privilege granted by the state.
17
The 1968 State Constitution states that “[l]otteries, other than the types of pari-mutuel pools
authorized by law as of the effective date of this constitution . . .” are prohibited.
18
A
constitutional amendment approved by the voters in 1986 authorized state-operated lotteries. Net
proceeds of the lottery are deposited to the Educational Enhancement Trust Fund (EETF) and
appropriated by the Legislature. Lottery operations are self-supporting and function as an
entrepreneurial business enterprise.
19
Pari-mutuel Wagering
Since approximately 1931, pari-mutuel wagering has been authorized in Florida for jai alai,
greyhound racing, and horseracing. These activities are overseen and regulated
20
by the Division
of Pari-Mutuel Wagering (division) at the commission, which is housed within the Department
of Legal Affairs, Office of the Attorney General.
21
The commission issues permits and operating
licenses for pari-mutuel wagering activities. Only pari-mutuel wagering permitholder under
certain conditions are authorized to conduct other gaming activities like operating a cardroom or
operating slot machines at their facilities.
12
See s. 849.085, F.S.
13
See s. 849.0931, F.S
14
See s. 849.0935, F.S.
15
Section 849.094, F.S., authorizes game promotions in connection with the sale of consumer products or services.
16
See s. 849.141, F.S.
17
Section 550.1625(1), F.S., “…legalized pari-mutuel betting at dog tracks is a privilege and is an operation that requires
strict supervision and regulation in the best interests of the state.” See also, Solimena v. State, 402 So.2d 1240, 1247 (Fla. 3d
DCA 1981), review denied, 412 So.2d 470, which states “Florida courts have consistently emphasized the special nature of
legalized racing, describing it as a privilege rather than as a vested right,” citing State ex rel. Mason v. Rose, 122 Fla. 413,
165 So. 347 (1936).
18
The pari-mutuel pools that were authorized by law on the effective date of the State Constitution, as revised in 1968,
include horseracing, greyhound racing, and jai alai games. The revision was ratified by the electorate on November 5, 1968.
19
The Department of the Lottery is authorized by s. 15, Art. X of the State Constitution. Chapter 24, F.S., was enacted by ch.
87-65, Laws of Fla., to establish the state lottery. Section 24.102, F.S., states the legislative purpose and intent for the
operations of the state lottery.
20
From 1932 to 1969, Florida’s pari-mutuel industry was regulated by the State Racing Commission. In 1970, the State
Racing Commission became a division within the Department of Business Regulation, which, in 1993, became the
Department of Business and Professional Regulation.
21
See ss. 16.71-16.716, F.S. BILL: CS/SB 408 Page 4
Pari-mutuel Wagering Permitting and Licensure
The Florida Pari-mutuel Wagering Act (act)
22
provides specific permitting and licensing
requirements for the pari-mutuel industry.
23
Permitholders apply for an operating license
annually to conduct pari-mutuel wagering activities.
24
Certain permitholders are also authorized
to operate cardrooms
25
and slot machines at their facility.
26
Currently, there are three pari-mutuel operating licenses that were issued for Fiscal Year 2024-
2025 to conduct live thoroughbred racing performances. These licenses and their locations
include:
27
• Gulfstream Park Racing Association Inc., which operates at Gulfstream Park in Broward
County.
• Gulfstream Park Thoroughbred After Racing Program, Inc., which operates at Gulfstream
Park in Broward County.
• Tampa Bay Downs, Inc., which operates at Tampa Bay Downs in Hillsborough County.
Live Racing Requirements
Currently, only thoroughbred permitholders are required to conduct live racing in order to
operate other pari-mutuel gaming activities. Greyhound permitholders are prohibited from
conducting live racing, and jai alai permitholders, harness horse racing permitholders, and
quarter horse racing permitholders have the option to conduct live racing or games.
28
A greyhound permitholder, jai alai permitholder, harness horse racing permitholder, or quarter
horse racing permitholder that does not conduct live racing or games:
29
• Retains its permit.
• Is a pari-mutuel facility as defined in s. 550.002(23), F.S.
• Is eligible, but not required, to be a guest track, and if the permitholder is a harness horse
racing permitholder, is eligible to be a host track for purposes of intertrack wagering and
simulcasting pursuant to ss. 550.3551, 550.615, 550.625, and 550.6305, F.S.
• Remains eligible for a cardroom license.
Intertrack Wagering Tax on Handle
Current law requires each permitholder to pay a tax on contributions to pari-mutuel pools, known
as “handle,” on races or games conducted by the permitholder. The tax is imposed daily and is
based on the total contributions to all pari-mutuel pools conducted during the daily performance.
22
See ch. 550, F.S.
23
Section 550.054(1), F.S.
24
Section 550.0115, F.S.
25
Section 849.086, F.S.
26
Section 551.104, F.S.
27
Florida Gaming Control Commission, Permit Holder Operating Licenses 2024-2025, available at
https://flgaming.gov/pmw/tracks-frontons/permitholder-operating-licenses-2024-2025/ (last visited April 3, 2025).
28
Section 550.01215(1)(b)1., F.S.
29
Id. BILL: CS/SB 408 Page 5
If a permitholder conducts more than one performance daily, the tax is imposed on each
performance separately.
30
The tax on handle for intertrack wagering is broken down into the following categories:
31
• 2.0 percent of the handle if the host track is a horse track.
• 3.3 percent if the host track is a harness track.
• 5.5 percent if the host track is a dog track.
• 7.1 percent if the host track is a jai alai fronton.
• 0.5 percent if the host track and the guest track are thoroughbred permitholders or if the guest
track is located outside the market area of the host track and within the market area of a
thoroughbred permitholder currently conducting a live race meet.
The tax on handle for intertrack wagering on rebroadcasts of simulcast thoroughbred horse races
is 2.4 percent of the handle and 1.5 percent of the handle for intertrack wagering on rebroadcasts
of simulcast harness horseraces. The tax is deposited into the Pari-mutuel Wagering Trust
Fund.
32
Slot Machine Licensing
An application for a license to conduct slot machine gaming may be approved by the
commission only after the voters of the county where the applicant’s facility is located have
authorized by referendum slot machines within pari-mutuel facilities in that county as specified
in s. 23, Art. X of the State Constitution.
33
Currently, slot machines are only authorized in eight
licensed pari-mutuel facilities located in Miami-Dade and Broward counties and on tribal
property.
34
Slot machine licenses are only allowed to be issued to licensed pari-mutuel permitholders, and
slot machine gaming may be conducted only at the eligible facility at which the permitholder is
authorized under its valid pari-mutuel wagering permit to conduct pari-mutuel wagering
activities.
35
As a condition of licensure and to maintain continued authority for the conduct of slot machine
gaming, slot machine licensees that hold a thoroughbred permit, may conduct no fewer than a
full schedule of live racing or games as defined in s. 550.002(10), F.S. A permitholder’s
responsibility to conduct live races or games shall be reduced by the number of races or games
that could not be conducted due to the direct result of fire, strike, war, hurricane, pandemic, or
other disaster or event beyond the control of the permitholder.
36
30
Section 550.0951(3). F.S.
31
Section 550.0951(3)(c)1., F.S.
32
Id.
33
Section 551.104(2), F.S.
34
Section 551.101, F.S.
35
Section 551.104(3), F.S.
36
Section 551.104(4)(c), F.S. BILL: CS/SB 408 Page 6
Slot Machine Gaming Locations and Operations
Section 32 of Art. X of the State Constitution, adopted pursuant to a 2004 initiative petition,
authorized slot machines in licensed pari-mutuel facilities in Broward and Miami-Dade counties,
if approved by county referendum. The voters in Broward and Miami-Dade counties approved
slot machine gaming. Slot machine gaming in the state, by authorized slot machine gaming
licensees at specified pari-mutuel facility locations, is limited to Broward and Miami-Dade
counties, and as authorized by federal law and the 2021 Gaming Compact, in the tribal gaming
facilities of the Seminole Tribe currently operating in Broward County, Collier County,
Okeechobee County, and Hillsborough County.
Cardroom Licensing
An application for a license to conduct cardroom gaming may be approved by the commission
upon proof that the local government where the applicant for such license desires to conduct
cardroom gaming has voted to approve such activity by a majority vote of the governing body of
the municipality or the governing body of the county if the facility is not located in a
municipality.
37
Municipalities are authorized to prohibit the establishment of a cardroom on or after July 1,
2021, within their jurisdiction. This does not apply to a licensed pari-mutuel permitholder who
held an operating license for the conduct of pari-mutuel wagering for Fiscal Year 2020-2021 in
the municipality’s jurisdiction or to a cardroom that was previously approved by the
municipality.
38
Only those persons holding a valid cardroom license issued by the commission may operate a
cardroom. A cardroom license may only be issued to a licensed pari-mutuel permitholder, and an
authorized cardroom may only be operated at the same facility at which the permitholder is
authorized under its valid pari-mutuel wagering permit to conduct pari-mutuel wagering
activities.
39
A pari-mutuel permitholder, other than a converted quarter horse to thoroughbred permitholder
or a purchaser, transferee, or assignee holding a valid permit for the conduct of pari-mutuel
wagering, may not be issued a license for the operation of a cardroom if the permitholder did not
hold an operating license for the conduct of pari-mutuel wagering for fiscal year 2020-2021.
40
In order for an initial cardroom license to be issued to a converted quarter horse to thoroughbred
permitholder, the applicant must have requested, as part of its pari-mutuel annual license
application, to conduct at least a full schedule of live racing.
41
In order for a cardroom license to be renewed by a thoroughbred permitholder, the applicant
must have requested, as part of its pari-mutuel annual license application, to conduct at least 90
37
Section 849.086(16)(a), F.S.
38
Section 849.086(16)(b), F.S.
39
Section 849.086(5)(a), F.S.
40
Section 849.086(5)(c), F.S.
41
Id. BILL: CS/SB 408 Page 7
percent of the total number of live performances conducted by such permitholder during either
the state fiscal year in which its initial cardroom license was issued or the state fiscal year
immediately prior thereto if the permitholder ran at least a full schedule of live racing or games
in the prior year.
42
Horse Breeding and Racing in Florida
The Florida horse industry generates an annual $12.8 billion impact on the gross domestic
product of Florida, along with providing nearly 112,000 jobs.
43
The Florida Thoroughbred
industry has, in addition to the economic impact, produced one Triple Crown winner, six
Kentucky Derby winners, seven Preakness winners, six Belmont Stakes winners, and 52 national
champions. Marion County (Ocala) has more horses and ponies than any other county in the
United States.
44
The Florida Thoroughbred Breeders’ and Owners’ Association Inc., (Breeders) is a not-for-profit
that represents more than 1,300 Thoroughbred breeders and owners in Florida. The Breeders
work with the Department of Agriculture and Consumer Services (DACS) to promote and
market the industry both nationally and internationally, as well as providing awards to promote
Florida Thoroughbreds in the industry.
The Florida Horseman’s Benevolent & Protective Association Inc., (Horsemen) is a not-for
profit representing more than 5,000 Thoroughbred horse owners and trainers who do business in
Florida. The organization promotes relationships with racetracks, community, and government.
The Horsemen representing the majority of the thoroughbred racehorse owners and trainers at
any particular facility received a 1 percent distribution from the purses at that facility for
authorized uses. The awards for breeders, trainers, and owners are generally provided for in
statute, although the specific awards, procedures, and payments may vary according to adopted
plans.
Tampa Bay Downs is one of America’s oldest tracks, and is the only Thoroughbred racetrack on
the west coast of Florida. It opened in 1926, and has been used for Thoroughbred racing for most
of the intervening years, subject to economic downturns, wars, and natural disasters.
45
Gulfstream Park Racing, located between Fort Lauderdale and Miami, has been in operation
since the 1940s, and known as the host of the G1 Florida Derby, a race that has produced the
Kentucky Derby winner 25 times in 71 years.
46
42
Id.
43
American Horse Council, 2023 Economic Impact Study of the U.S. Horse Industry, Graphic referencing Florida impact
available at https://nwdistrict.ifas.ufl.edu/phag/2024/04/12/economic-impact-study-indicates-the-florida-equine-industry-
remains-strong/#:~:text=Contributes%20%2412.8%20billion%20to%20the,%E2%80%93 (last visited April 9, 2025).
44
Id.
45
Tampa Bay Downs, A Legacy in Thoroughbred Racing & More, available at https://www.tampabaydowns.com/visitor-
info/history/ (last visited April 9, 2025).
46
Kentucky Derby, Florida Derby Race History, available at https://www.kentuckyderby.com/races/2025/03/florida-derby/
(last visited April 9, 2025). BILL: CS/SB 408 Page 8
Thoroughbred Purses and Awards
Thoroughbred purses represent the prize money distributed to the owners, trainers, and jockeys
of the horses that finish in the top positions in a race. Awards are honors given to recognize
outstanding achievements by horses, jockeys, trainers, owners, and breeders, typically on an
annual basis.
A slot machine license may not be issued, or renewed, to an applicant holding a permit to
conduct pari-mutuel wagering meets of thoroughbred racing unless the applicant has on file with
the commission a binding written agreement between the applicant and the:
47
• Horsemen, governing the payment of purses on live thoroughbred races conducted at the
licensee’s pari-mutuel facility.
• Breeders, governing the payment of breeders’, stallion, and special racing awards on live
thoroughbred races conducted at the licensee’s pari-mutuel facility.
The agreements may direct the payment of such purses and awards from revenues generated by
any wagering or gaming the applicant is authorized to conduct under Florida law. All purses and
awards are subject to the terms of ch. 550, F.S. All sums for breeders’, stallion, and special
racing awards are remitted monthly to the Breeders, for the payment of awards subject to the
administrative fee authorized in s. 550.2625(3), F.S.
48
“Purse” means the cash portion of the prize for which a race or game is contested.
49
“Breeders’
and stallions awards” means financial incentives paid to encourage the agricultural industry of
breeding racehorses in this state.
50
Current law provides that “the purse structure and the
availability of breeder awards are important factors in attracting the entry of well-bred horses in
racing meets in this state which in turn helps to produce maximum racing revenues for the state
and the counties.”
51
Each permitholder conducting a horserace meet is required to pay from the takeout withheld on
pari-mutuel pools a sum for purses in accordance with the type of race performed.
52
Each
horseracing permitholder conducting any thoroughbred race is required to pay a sum on all pari-
mutuel pools conducted during any such race for the payment of breeders’, stallion, or special
racing awards.
53
Florida Agricultural Promotional Campaign
In 1990, the Legislature created the Florida Agricultural Promotional Campaign Trust Fund
(Trust Fund) to support the Florida Agricultural Promotional Campaign (campaign).
54
The goal
of the campaign was to “increase consumer awareness and expand the market for Florida’s
47
Section 551.104(10)(a)1., F.S.
48
Id.
49
Section 550.002(28), F.S.
50
Section 550.002(2), F.S.
51
Section 550.2625(1), F.S.
52
See s. 550.2625(2)(a), F.S.
53
See s. 550.2625(3), F.S.
54
Chapter 90-323, Laws of Fla., s. 16. BILL: CS/SB 408 Page 9
agricultural products.”
55
The Trust Fund, within the DACS, holds funding for implementing the
campaign.
56
In 2023, the Legislature amended s. 212.20, F.S., to distribute $27.5 million to the Trust Fund to
be used by the DACS to “encourage breeding thoroughbred racehorses and the conducting of
thoroughbred racing at thoroughbred tracks in Florida.”
57
Section 571.265, F.S., requires the funds to be distributed as follows:
• $5 million to the Breeders, to be used for:
o Purses or purse supplements for Florida-bred or Florida-sired horses that participate in
Florida thoroughbred races.
o Awards to breeders of Florida-bred horses that win, place, or show in Florida
thoroughbred races.
o Awards to owners of stallions who sired Florida-bred horses that win Florida
thoroughbred stakes races, if the stallions are registered with the Breeders as Florida
stallions.
o Other racing incentives connected to Florida-bred or Florida-sired horses registered with
the association that participate in thoroughbred races in Florida.
o Awards administration.
o Promotion of the Florida thoroughbred breeding industry.
• $5 million to Tampa Bay Downs, Inc., to be used as purses in thoroughbred races conducted
at its pari-mutuel facilities and for the maintenance and operation of that facility, pursuant to
an agreement with its local majority horsemen’s group.
• $15 million to Gulfstream Park Racing Association, Inc., to be used as purses in
thoroughbred races conducted at its pari-mutuel facility and for the maintenance and
operation of its facilities, pursuant to an agreement with the Horsemen.
• $2.5 million to be distributed as follows:
o $2 million to Gulfstream Park Racing Association, Inc., to be used as purses and purse
supplements for Florida-bred or Florida-sired horses registered with the Breeders that
participate in thoroughbred races at the permitholder’s pari-mutuel facility, pursuant to a
written agreement filed with the DACS establishing the rates, procedures, and eligibility
requirements entered into by the permitholder, the Breeders, and the Horsemen.
o $500,000 to Tampa Bay Downs, Inc., to be used as purses and purse supplements for
Florida-bred or Florida-sired horses registered with the association that participate in
thoroughbred races at the permitholder’s pari-mutuel facility, pursuant to a written
agreement filed with the DACS establishing the rates, procedures, and eligibility
requirements entered into by the permitholder, the association, and the local majority
horsemen’s group at the permitholder’s pari-mutuel facility.
On or before the first day of the August following each fiscal year in which a recipient under
s. 571.265, F.S., received or used such funds, each such recipient must submit a report to the
DACS detailing how all funds were used in the prior fiscal year.
58
55
Section 571.22, F.S.
56
Section 571.26, F.S.
57
Chapter 2023-157, Laws of Fla., s. 42.
58
Section 571.265(4), F.S. BILL: CS/SB 408 Page 10
III. Effect of Proposed Changes:
Section 1 amends s. 550.01215, F.S., to allow thoroughbred permitholders who operate a slot
machine facility or cardroom to decouple from the live racing requirements after giving notice on
or after July 1, 2028, which contains the date that live racing will end. The live racing cannot end
any earlier than four years after the date of the notice.
Section 2 amends s. 550.0951, F.S., to modify the requirement that a thoroughbred permitholder
must currently be conducting a live race meet for the 0.5 percent applicable tax rate on handle
for intertrack wagering to apply to the guest tracks outside the market area of the host and within
the market area of a thoroughbred permitholder. The bill revises the criteria to apply if a
thoroughbred permit holder conducted a full schedule of live racing the preceding fiscal year.
Section 3 amends s. 551.104, F.S., to provide that a thoroughbred permitholder, in order to
continue to operate slot machines, must have on file with the commission a binding written
agreement between the applicant and the Florida Horsemen’s (Horsemen) Benevolent and
Protective Association, Inc., and with the Florida Thoroughbred Breeders’ Association, Inc.,
(Breeders) until a thoroughbred permitholder is no longer conducting live racing pursuant
s. 550.01215, F.S.
Section 4 amends s. 849.086, F.S., to provide that thoroughbred permitholders are no longer
required to conduct at least 90 percent of the live performances during the initial state fiscal year
of licensure or the state fiscal year immediately preceding the initial year. Further, this section
provides that a thoroughbred permitholder, who operates a cardroom facility, must continue to
use at least 50 percent cardroom monthly net proceeds to supplement purses and breeder’s
awards during the permitholders’ next ensuing racing meet until the thoroughbred holder is no
longer conducting live racing pursuant to s. 550.01215, F.S.
Sections 5-9, relating to ss. 550.3551, 550.615. 550.09511, and 550.6305, F.S., are reenacted for
the purpose of incorporating the amendments being made by the bill.
Section 10 provides an effective date of July 1, 2025.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
None.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None. BILL: CS/SB 408 Page 11
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
Decoupling may displace families, eliminate jobs, and jeopardize 110,000 acres of horse
farms. This could further degrade the horse breeding industry and thoroughbred racing in
Florida.
59
C. Government Sector Impact:
In Fiscal Year 2023-24 the Florida Gaming Control Commission (commission) expended
approximately $640,000 in OPS dollars associated with occupational licensing and post-
race specimen collection for the detection of impermissible substances in thoroughbred
racing animals. The amount the commission would realize in the reduction of OPS
expenditures would be dependent on the number of live racing performances reduced or
eliminated by Florida Thoroughbred licensees.
60
However, the bill has no fiscal impact
on state revenue or expenditures in Fiscal Year 2025-2026. In future years, the fiscal
impact of the bill, is indeterminate dependent on the effects of decoupling.
The Federal Horse Racing and Integrity Authority (HISA) applies an annual assessment
to all covered tracks nationwide to recoup its costs. The cost methodology is based on the
number of live performances and total purses paid. Should a Florida thoroughbred track
cease live racing, the overall costs would likely impact the potential annual assessment of
all tracks nationwide.
61
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
59
Florida Gaming Control Commission, 2025 Agency Analysis Legislative Bill Analysis (February 6, 2025), available at
https://abar.laspbs.state.fl.us/ABAR/Attachment.aspx?ID=36208 (last visited March 31, 2025) (on file with the Senate
Appropriations Committee on Agriculture, Environment, and General Government).
60
Id.
61
Id. BILL: CS/SB 408 Page 12
VIII. Statutes Affected:
This bill substantially amends the following sections of the Florida Statutes: 550.01215,
550.0951, 551.104, and 849.086.
This bill reenacts sections 550.3551, 550.615, 550.09515, 550.09511, and 550.6305 of the
Florida Statutes.
IX. Additional Information:
A. Committee Substitute – Statement of Substantial Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
CS by Regulated Industries on April 1, 2025:
The committee substitute:
• Allows thoroughbred permitholders who operate a slot machine facility or cardroom
to decouple from the live racing requirements after giving notice on or after July 1,
2028, which contains the date that live racing will end, which cannot be earlier than
four years after the date of the notice.
• Clarifies that the tax on handle for intertrack wagering is 0.5 percent if the host track
and guest track are thoroughbred permitholders or if the guest track is located outside
the market area of the host track and within the market area of a thoroughbred
permitholder that conducted a full schedule of live racing the preceding fiscal year.
• Clarifies that a thoroughbred permitholder, in order to continue to operate slot
machines, must have on file with the commission a binding written agreement
between the applicant and the Florida Horsemen’s Benevolent and Protective
Association, Inc., and with the Florida Thoroughbred Breeders’ Association, Inc.,
until a thoroughbred permitholder is no longer conducting live racing pursuant to the
new section of the bill.
• Provides that thoroughbred permitholders are no longer required to conduct at least
90 percent of the live performances during the initial year of licensure.
• Provides that a thoroughbred permitholder, in order to continue to operate a cardroom
facility, must have on file with the commission a binding written agreement between
the applicant and the Florida Horsemen’s Benevolent and Protective Association,
Inc., and with the Florida Thoroughbred Breeders’ Association, Inc., until a
thoroughbred permitholder is no longer conducting live racing pursuant to the new
section of the bill.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.