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Regular Session, 2010
HOUSE BILL NO. 827
BY REPRESENTATIVE TUCKER
RACING/REVENUES: Provides for changes to the disbursement of monies collected for
the Horsemen's Benevolent and Protective Association
AN ACT1
To amend and reenact R.S. 4:183(A)(introductory paragraph) and (4)(b) and (B),2
216(C)(1)(introductory paragraph), (2), (4), and (5), 217(D)(1)(d) and R.S.3
27:318(B)(4) and (C) and 361(B)(4)(a)(i) and (ii) and to repeal R.S. 4:183(A)(4)(c),4
251, 251.1, and 252, relative to disbursement of revenues generated by horse racing;5
to provide for disbursement of revenues earned on horse racing pari-mutuel wagers;6
to provide for disbursement of revenues generated at offtrack wagering facilities; to7
provide for disbursement of revenues generated by devices at pari-mutuel wagering8
facilities; to provide for disbursement of revenues generated by slot machines at9
eligible facilities; to repeal the Horsemen's Workers' Compensation Insurance10
Program and the Horsemen's Self-Help Pension Program; and to provide for related11
matters.12
Be it enacted by the Legislature of Louisiana:13
Section 1. R.S. 4:183(A)(introductory paragraph) and (4)(b) and (B),14
216(C)(1)(introductory paragraph), (2), (4), and (5), 217(D)(1)(d) are hereby amended and15
reenacted to read as follows: 16
§183. Contracts between licensees and permittees licensed to race horses at race17
meetings conducted in the state18
A. The monies to be distributed by a licensee as purses to permittees licensed19
to race horses in Louisiana and the monies to be distributed by a licensee to the20 HLS 10RS-709 ORIGINAL
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Horsemen's Benevolent and Protective Association for the use and benefit of such1
permittees, their employees, and others, for hospital and medical benefits and for the2
administrative expenses in providing these benefits Department of Public Safety3
and Corrections, public safety services, office of state police shall be and include:4
* * *5
(4) The total of Paragraphs (1), (2), and (3) of this Subsection shall be6
allocated by the licensee in not less than the following percentages thereof:7
* * *8
(b) Four percent thereof to the Horsemen's Benevolent and Protective9
Association for the use and benefit of such permittees, their employees, and others10
as medical and hospital benefits with an amount not to exceed thirty percent11
aforesaid of the commissions and amounts received by the Horsemen's Benevolent12
and Protective Association to be used for administrative expenses and other costs13
necessary to provide the benefits Department of Public Safety and Corrections,14
public safety services, office of state police.15
B. Monies due as purses to persons licensed to race horses at race meetings16
conducted in the state as a result of conditions outlined in R.S. 4:183(A) and the17
monies due to the Horsemen's Benevolent and Protective Association pursuant to the18
provisions of R.S. 4:183(A)(4)(b) Department of Public Safety and Corrections,19
public safety services, office of state police shall be allocated and distributed during20
the race meeting at which earned.21
(1) In the event the amount distributed as purses is more than the amount22
required by R.S. 4:183(A), the overpayment shall be carried forward to the next race23
meeting conducted by the same association. It shall be carried on the association24
books as an asset.25
(2) In the event the amount distributed as purses to persons licensed to race26
horses at race meetings conducted in the state is less than the amount required by27
R.S. 4:183(A), and more than an amount equal to the average daily purse distribution28
at the race meeting at which generated, it shall be delivered to the Horsemen's29 HLS 10RS-709 ORIGINAL
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Benevolent and Protective Association for further distribution to persons having1
earned monies during the meeting, in the direct proportion that the underpayment is2
to the monies earned by that person at that meeting. In the event the underpayment3
is less than an amount equal to the average daily purse distribution at that meeting,4
it shall be retained by the association in an interest bearing account to be used for5
purses at the next meeting conducted by that association. Interest earned on the6
account shall be added to the purse paid over and above the amount required to be7
paid as purses by R.S. 4:183(A).8
* * *9
§216. Commissions on wagers10
* * *11
C.(1) From such commissions, and except when the primary licensee is12
conducting offtrack wagering at its racing facility, on all wagers made at an offtrack13
wagering facility, the following amounts thereof shall be used for disbursement by14
the licensee to supplement horsemen's purses or for payment to the Department of15
Public Safety and Corrections, public safety services, office of state police in16
accordance with the provisions of R.S. 4:217:17
* * *18
(2) When the primary licensee is conducting offtrack wagering at its racing19
facility, from such commissions, six and one-half percent of all daily wagers made20
at the facility shall be used for disbursement by the licensee to supplement21
horsemen's purses or for payment to the Department of Public Safety and22
Corrections, public safety services, office of state police in accordance with the23
provisions of R.S. 4:217.24
* * *25
(4) In addition to the commissions provided for in Paragraphs (1) and (2) of26
this Subsection, on exotic wagers on two or more horses placed at offtrack facilities,27
the licensee shall disburse an amount equal to one and one-half percent of the28
amount so wagered to be used to supplement horsemen's purses or for payment to29 HLS 10RS-709 ORIGINAL
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the Department of Public Safety and Corrections, public safety services, office of1
state police in accordance with the provisions of R.S. 4:217.2
(5) Notwithstanding the provisions of Paragraphs (1), (2), and (4) of this3
Subsection, when an offtrack wagering facility has not conducted pari-mutuel4
wagering at its facility prior to July 1, 1991, and for a twenty-four month period5
commencing the first day on which pari-mutuel wagering is conducted at that6
facility, from such commissions, five and one-half percent of all daily wagers made7
at the facility shall be used for disbursement by the licensee to supplement8
horsemen's purses or for payment to the Department of Public Safety and9
Corrections, public safety services, office of state police in accordance with the10
provisions of R.S. 4:217. After the twenty-four month twenty-four-month period has11
expired, purse supplements shall be calculated according to the provisions of12
Paragraphs (1), (2), and (4) of this Subsection.13
* * *14
§217. Purse supplements; designation and distribution15
* * *16
D.(1) Notwithstanding any other provision of law to the contrary, the monies17
designated for purses under the provisions of R.S. 4:216(C) from wagers placed at18
offtrack wagering facilities on special accredited Louisiana bred maiden races as19
defined in R.S. 4:184 shall be accounted for separately and shall be distributed as20
follows:21
* * *22
(d) Two percent shall be distributed to the Horsemen's Benevolent and23
Protective Association for the use and benefit of such persons and other horsemen24
as medical and hospital benefits with an amount not to exceed thirty percent thereof25
to be used for administrative expenses and other costs necessary to provide the26
benefits Department of Public Safety and Corrections, public safety services, office27
of state police.28
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Section 2. R.S. 27:318(B)(4) and (C) and 361(B)(4)(a)(i) and (ii) are hereby amended1
and reenacted to read as follows: 2
§318. Distribution of device revenues; particular licensed establishments; pari-3
mutuel wagering facilities4
* * *5
B. Revenues earned for purse supplements under Subsection A shall be6
disbursed, accounted for, and used as follows:7
* * *8
(4) Four percent of all monies earned or authorized in accordance with the9
provisions of this Section for purse supplements shall be paid the authorized10
representative of the horsemen for the use and benefit of such persons and other11
horsemen as medical and hospital benefits shall be deposited to the credit of the12
Department of Public Safety and Corrections, public safety services, office of state13
police. However, provisions of this Paragraph shall not apply if provisions of R.S.14
4:183 as currently in effect require such a deduction from monies earned for purse15
supplements under this Section, and provisions of this Paragraph would result in16
duplication of designated funds for hospitalization for horsemen.17
C. The division shall require all contracts between licensed device owners,18
operators, or service entities and owners of licensed establishments offering pari-19
mutuel wagering to be in writing and submitted to the division within ten days of20
signing. The division shall promulgate rules and regulations necessary to require21
correct reporting and timely use of those funds designated for use as horsemen's22
purses.23
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§361. Conduct of slot machine gaming; temporary conduct1
* * *2
B. As a condition of licensing and to maintain continued authority for the3
conduct of slot machine gaming at the licensed eligible facility, the owner of the4
licensed eligible facility shall:5
* * *6
(4) Contribute to the support of pari-mutuel wagering facilities in the state7
at large and the horse breeding industry by paying annually from the annual net slot8
machine proceeds received from slot machine gaming operations at the licensed9
eligible facility as provided in this Paragraph:10
(a) The licensed eligible facility shall pay a fixed percentage of fifteen11
percent of the annual net slot machine proceeds received from slot machine gaming12
operations at the licensed eligible facility to supplement purses as follows:13
(i) Seventy percent to supplement purses for thoroughbred races at that14
facility or any facility licensed by the Louisiana State Racing Commission to conduct15
additional or substitute races or race days as authorized by R.S. 4:147.1, thirty16
percent of which shall be for Louisiana-bred thoroughbred horses. Four percent of17
this amount shall go to the Horsemen's Benevolent and Protective Association in18
accordance with law be deposited to the credit of the Department of Public Safety19
and Corrections, public safety services, office of state police.20
(ii) Thirty percent to supplement purses for quarter horse races at that facility21
or any facility licensed by the Louisiana State Racing Commission to conduct22
additional or substitute races or race days as authorized by R.S. 4:147.1, sixty23
percent of which shall be for Louisiana-bred quarter horses. Four percent of this24
amount shall go to the Horsemen's Benevolent and Protective Association in25
accordance with law be deposited to the credit of the Department of Public Safety26
and Corrections, public safety services, office of state police.27
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Section 3. R.S. 4:183(A)(4)(c), 251, 251.1, and 252 are hereby repealed in their1
entirety.2
Section 8. This Act shall become effective on July 1, 2010; if vetoed by the governor3
and subsequently approved by the legislature, this Act shall become effective on July 1,4
2010, or on the day following such approval by the legislature, whichever is later.5
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Tucker HB No. 827
Abstract: Disburses revenues from horse racing related wagering to the La. State Police.
Present law requires a minimum of 50% of a licensee's commission of the gross pari-mutuel
handle retained by the licensee from each race to be distributed as follows: 96% to the
permittees as purses and 4% to the Horsemen's Benevolent and Protective Association
(HBPA) for medical and hospital benefits.
Proposed law changes present law with respect to the disbursement of the 4% from HBPA
to the La. State Police.
Present law provides that the monies designated for purses from wagers placed at offtrack
wagering facilities on special accredited La.-bred maiden races shall be accounted for
separately and shall be distributed as follows:
(1)15.10% shall be distributed to the La. Thoroughbred Breeders Assc. for breeder
awards in accordance with a distribution formula established by the executive
committee of that organization.
(2)41.45% shall be distributed to the host track for purse supplements for the special
accredited La.-maiden thoroughbred races held at that track.
(3)41.45% shall be distributed to the tracks owned by the licensees of the offtrack
wagering facility where the wagers are made for purse supplements for the special
accredited La.-bred maiden thoroughbred races held at their respective tracks.
(4)2% shall be distributed to the HBPA for the use and benefit of such persons and
other horsemen as medical and hospital benefits with an amount not to exceed 30%
thereof to be used for administrative expenses and other costs necessary to provide
the benefits.
Proposed law retains present law with the exception of the 2% of offtrack monies designated
for purses. Instead of that 2% going to the HBPA, proposed law redirects that money to the
La. State Police.
Present law requires that, out of 20% of the net video draw poker device revenue derived
from operation of such devices at pari-mutuel wagering facilities, 4% shall be paid to
horsemen for medical and hospital benefits. Furthermore, there may also be an additional
2% of the 20% of the net video draw poker device revenue being paid to the HBPA. HLS 10RS-709 ORIGINAL
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Proposed law redirects that 4% to the La. State Police and if there is an additional 2% being
paid to the HBPA, this amount is also redirected to the La. State Police.
Present law, with respect to thoroughbred races, requires that out of 15% of the net slot
machine proceeds derived from operation of such devices at racing facilities that 4% of 70%
of purse supplements be paid to the HBPA. Furthermore, there may also be an additional
2% of the 70% of thoroughbred purse supplements being paid to the HBPA. Proposed law
redirects this 4% to the La. State Police and if there is an additional 2% being paid to the
HBPA, this amount is also redirected to the La. State Police. Present law, with respect to
quarter horse races, requires that out of 15% of the net slot machine proceeds derived from
operation of such devices at racing facilities that 4% of 30% of purse supplements be paid
to the HBPA. Furthermore, there may also be an additional 2% of the 30% of quarter horse
purse supplements being paid to the HBPA. Proposed law redirects this 4% to the La. State
Police and if there is an additional 2% being paid to the HBPA, this amount is also redirected
to the La. State Police.
Present law provides for the Horsemen's Workers' Compensation Insurance Program and the
Horsemen's Self-Help Pension Program to be funded by revenues generated by present law.
Proposed law repeals present law.
Effective July 1, 2010.
(Amends R.S. 4:183(A)(intro. para.) and (4)(b) and (B), 217(D)(1)(d), and R.S. 27:318(B)(4)
and (C) and 361(B)(4)(a)(i) and (ii); Repeals R.S. 4:183(A)(4)(c), 251, 251.1, and 252)