SENATE . . . . . . . . . . . . . . No. 2409 The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ SENATE, June 29, 2023. The committee on Consumer Protection and Professional Licensure, to whom was referred the petitions (accompanied by bill, Senate, No. 172) of Paul R. Feeney and Tackey Chan for legislation to revitalize agriculture, conditioning and simulcasting; (accompanied by bill, House, No. 273) of Tackey Chan relative to extending simulcasting and live horse racing authorization; (accompanied by bill, House, No. 342) of Bradley H. Jones, Jr., and others for legislation to authorize the comptroller to transfer funds from the Race Horse Development Fund to the Community Preservation Trust Fund; (accompanied by bill, House, No. 361) of Adrian C. Madaro relative to extending simulcasting and horse racing authorization; and (accompanied by bill, House, No. 362) of Adrian C. Madaro relative to regulating horse racing, simulcasting and wagering; and so much of the recommendations of the Massachusetts Gaming Commission (House, No 3) as relates to further regulate horse racing (House, No. 4), reports the accompanying bill (Senate, No. 2409). For the committee, John J. Cronin 1 of 77 FILED ON: 6/26/2023 SENATE . . . . . . . . . . . . . . No. 2409 The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act to revitalize agriculture, conditioning and simulcasting. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 SECTION 1. Section 7 of chapter 4 of the General Laws, as appearing in the 2020 2Official Edition, as amended by section 1 of chapter 173 of the acts of 2022, is hereby further 3amended by striking out clause Tenth and inserting in place thereof the following:- 4 Tenth, “Illegal Gaming”, a banking or percentage game played with cards, dice, tiles, 5dominoes, or an electronic, electrical or mechanical device or machine for money, property, 6checks, credit or any representative of value, but excluding: (i) a lottery game conducted by the 7state lottery commission under sections 24, 24A and 27 of chapter 10; (ii) a game conducted 8under chapter 23K; (iii) sports wagering conducted under chapter 10; (iv) wagering on races 9under chapters 23K ¼ and 23K ½; (v) a game of bingo conducted under chapter 271; (vi) 10charitable gaming conducted under said chapter 271; and (vii) a fantasy contest conducted under 11section 11M1/2. 12 SECTION 2. Section 2 of chapter 23K of the General Laws, as so appearing, is hereby 13amended by inserting after the definition of “Application”, the following definition:- 2 of 77 14 “Board”, the state racing board established in section 7A. 15 SECTION 3. Section 4 of chapter 23K of the General Laws, as so appearing, is hereby 16amended in clause (29) by inserting after the word “the”, in line 113, the following:- board or. 17 SECTION 4. Section 7 of chapter 23K of the General Laws, as amended by section 117 18of chapter 194 of the acts of 2011, is hereby further amended by striking out the section entirely, 19and inserting in place of the following:- 20 Section 7. (a) The commission shall administer and enforce appeals of decisions of the 21board related to pari-mutuel wagering and simulcasting. 22 (b) The commission may grant a simulcasting license to a gaming establishment subject 23to the provisions of sections 8 and 9 of chapter 23K ½; provided, however, that in granting any 24such license to a gaming establishment, the commission shall take into consideration the impact 25on facilities licensed under chapters 23K ¼ and 23K ½. 26 SECTION 5. Said chapter 23K of the General Laws, as so appearing, is hereby amended 27by inserting after section 7 the following section:- 28 Section 7A. There shall be within the commission a board to be known as the state racing 29board, in this chapter and in chapters 23K ¼ and 23K ½ called the board. 30 The board shall consist of three members, one who shall serve as chair, all to be 31appointed by the governor. Not more than two of such members shall be of the same political 32party. No person shall be appointed to the board nor be an employee thereof nor officiate at pari- 33mutuel meetings conducted in this commonwealth who is licensed or regulated, directly or 34indirectly, by the board other than for the position to which such person is appointed nor shall 3 of 77 35such person have any legal or beneficial interest, direct or indirect, pecuniary or otherwise, in 36any firm, association or corporation so licensed or regulated or which participates in pari-mutuel 37wagering or simulcasting in any manner nor shall such person participate in pari-mutuel 38wagering or simulcasting in any manner other than in such person’s official capacity. No person 39shall be a member of the board who is not of good moral character or who has been convicted of, 40or is under indictment for, a felony under the laws of Massachusetts or any other state, or the 41United States. Members of the board shall each possess not less than five years of responsible 42administrative experience in public or business administration; provided that the chair shall also 43have professional experience in gaming or racing regulatory administration or gaming or racing 44industry management; provided, further, that at least one member shall be licensed to practice 45veterinary medicine in the commonwealth with equine racing diagnosis and treatment or research 46experience. 47 Members shall receive salaries not greater than three-fourths of the salary of the 48commissioner of administration under section 4 of chapter 7; provided, however, that the chair 49shall receive a salary equal to the salary of the commissioner of administration. Members shall 50devote their full time and attention to the duties of their office. 51 Each member shall serve for a term of five years and shall hold office until 52reappointment, or the appointment and qualification of their successor; provided, however, that 53no member shall serve more than 15 years. The governor may remove any member for cause and 54shall fill any vacancy for the unexpired term. Whenever any action by the board is required to be 55in writing, such writing shall be sufficient when signed by the board chair. 4 of 77 56 Notwithstanding the provisions of section 7, the board shall administer and enforce 57chapters 23K ¼ and 23K ½ and any general and special law related to live racing, pari-mutuel 58wagering and simulcasting. The board shall serve as a host racing commission and an off-track 59betting commission for purposes of 15 U.S.C. 3001, et seq. 60 The day-to-day operations and general administration of the board, including all 61administrative functions of the board and all actions not expressly required by statute or 62regulation to be carried out by the board itself, shall, at the direction and under the board, be 63under the supervision of an executive director of racing, who shall be appointed by the chair of 64the board. The executive director of racing shall devote their full time during business hours to 65their duties hereunder. Subject to the provisions of subsections (k) through (w), inclusive, of 66section 3, the board may employ such other persons, in addition to the aforementioned executive 67director of racing, as the board may determine to be necessary to carry out such day-to-day 68operations and general administration of the board. 69 The board shall make an annual report in January of each year to the general court. That 70report shall include the following information with respect to the previous calendar year: 71statements of monies deposited in the Race Horse Development Fund established under section 7260, the Thoroughbred Horse Capital Improvements Trust Fund established under section 60A, 73and the Standardbred Horse Capital Improvements Trust Fund established under section 60B, 74together with a detailed account of monies disbursed from the funds, the specific capital 75improvements for which the disbursements were intended, and a report on which of the 76improvements have been accomplished; a statement of racing dates awarded to licensees, 77including those awarded in connection with a state or county fair; and a statement of the total 78amounts wagered at each race track, together with the monies paid to the commonwealth and the 5 of 77 79board, purses paid to horse owners and monies retained by each licensee, together with a 80statement of the net profit of each licensee taken from the financial statements filed under section 8111 of chapter 23K ¼. Copies of the report shall be transmitted to the governor, the president of 82the senate, the speaker of the house of representatives, the chairs of the house and senate 83committees on ways and means, the joint committee on consumer protection and professional 84licensure, and the joint committee on revenue. 85 SECTION 6. Section 19 of said chapter 23K, as so appearing, is hereby amended by 86striking out the figure “128A” each time it appears, and inserting in place thereof the following:- 8723K ¼. 88 SECTION 7. Said section 19 of said chapter 23K, as so appearing, is hereby further 89amended by striking out figure “128C” each time it appears, and inserting in place thereof the 90following:- 23K ½. 91 SECTION 8. Section 20 of said chapter 23K, as so appearing, is hereby amended by 92striking out the figure “128A” each time it appears, and inserting in place thereof the following:- 9323K ¼. 94 SECTION 9. Said section 20 of said chapter 23K, as so appearing, is hereby further 95amended by striking out figure “128C” each time it appears, and inserting in place thereof the 96following:- 23K ½. 97 SECTION 10. Section 24 of said chapter 23K, as so appearing, is hereby amended by 98striking out the figure “128A”, in line 2, and inserting in place thereof the following:- 23K ¼. 6 of 77 99 SECTION 11. Chapter 23K of the General Laws, as so appearing, is hereby amended by 100striking out section 60, and inserting in place thereof the following:- 101 Section 60. (a) There shall be established and set up on the books of the commonwealth a 102Race Horse Development Fund to be administered by the board. The fund shall consist of monies 103deposited under subsection (c) of section 55. The board shall make distributions from the Race 104Horse Development Fund to each licensee under chapter 23K ¼. 105 (b) The board shall make recommendations on how the funds received in subsection (a) 106shall be distributed between thoroughbred and standardbred racing facilities to support the 107thoroughbred and standardbred horse racing industries under this section. In making its 108recommendations, the board shall consider certain criteria including, but not limited to: (i) the 109average purses awarded at thoroughbred and standardbred racing facilities; (ii) the total 110employment numbers, both direct and indirect, attributable to each horse racing industry; (iii) the 111relative needs of each horse racing industry for increased purses; (iv) the amount of the live 112racing handle generated by each horse racing industry; and (v) the number of breeding and 113training farms of each industry that are located in the commonwealth. The board shall submit 114distribution recommendations to the clerks of the senate and house of representatives not later 115than 30 days before changing the distribution percentage; provided, however, that the total 116distribution percentage between the thoroughbred and standardbred racing industries shall not be 117changed by more than 10 percentage points in a given year. 118 (c) Funds received from the Race Horse Development Fund shall be distributed between 119thoroughbred and standardbred accounts, as approved by the board, as follows: 7 of 77 120 (i) 80 per cent of the funds approved by the board shall be deposited weekly into a 121separate, interest-bearing purse account to be established by and for the benefit of the horsemen; 122provided, however, that the earned interest on the account shall be credited to the purse account; 123and provided further, that licensees shall combine these funds with revenues from existing purse 124agreements to fund purses for live races consistent with those agreements with the advice and 125consent of the horsemen; 126 (ii) 16 per cent of the funds approved by the board shall be deposited as follows: (A) for a 127thoroughbred track, into the Massachusetts Thoroughbred Breeding Program authorized by the 128board; or (B) for a standardbred track, into the Massachusetts Standardbred Breeding Program 129authorized by the board; 130 (iii) 4 per cent shall be used to fund health and pension benefits for the members of the 131horsemen's organizations representing the owners and trainers at a horse racing facility for the 132benefit of the organization's members, their families, employees and others under the rule and 133eligibility requirements of the organization, as approved by the board; provided, however, that 134this amount shall be deposited within 5 business days of the end of each month into a separate 135account to be established by each respective horsemen's organization at a banking institution of 136its choice; and provided further, that of this amount, the board shall determine how much shall be 137paid annually by the horsemen's organization to the thoroughbred jockeys or standardbred 138drivers organization at the horse racing facility for health insurance, life insurance or other 139benefits to active and disabled thoroughbred jockeys or standardbred drivers under the rules and 140eligibility requirements of that organization. 8 of 77 141 SECTION 12. Said Chapter 23K of the General Laws, as so appearing, is hereby 142amended by inserting after section 60, the following 2 new sections:- 143 Section 60A. There shall be established and set up on the books of the commonwealth a 144Thoroughbred Horse Capital Improvements Trust Fund to be administered by the board. During 145each calendar year each running horse track licensee under section 3 of chapter 23K ¼, other 146than a licensee holding a racing meeting in connection with a state or county fair, shall daily pay: 147the total sum of the so-called breaks, as defined in section 9 of said chapter 23K ¼ , less one 148hundred thousand dollars, into the said trust fund under the direction and supervision of the state 149racing board members, as they are individuals, as trustees of said trust; provided, however, that 150the aforementioned sum of one hundred thousand dollars shall be allocated, subject to 151appropriation, to the Massachusetts council on compulsive gambling. Said trustees shall deposit 152all monies in said trust fund in one or more banks, at interest, within the commonwealth. 153 Said trustees may expend without appropriation all or any part of the Thoroughbred 154Horse Capital Improvements Trust Fund to a running horse track licensee in proportion to the 155amount deposited in said fund by said running horse track licensee for use as all or part of a 156capital expenditure for alterations, additions, replacements, changes, improvements or major 157repairs to or upon the property owned or leased by such licensee and used by it for the conduct of 158racing, but not for the costs of maintenance or of other ordinary operations, whether such costs 159have been incurred or not. Said trustees may expend to a licensee all amounts accumulated in 160such trust fund which are attributable to racing operations conducted at a running horse track. 161 Said trustees shall prescribe terms and conditions for such grants and may designate 162specific capital improvements to be undertaken by a licensee; provided, however, that, prior to 9 of 77 163approving any expenditures from said trust funds for purposes not designated by the trustees, the 164trustees shall require the licensee to submit to them detailed business plans describing the 165specific capital improvements contemplated by the licensee and shall formally vote to permit 166such expenditures; provided, further, that under no circumstances shall the trustees permit the 167expenditure of trust funds for purposes not directly related to the improvement of running horse 168racing; and provided, further, that such terms and conditions for capital improvement projects 169shall include schedules of periodic payments to be prepared by the trustees in accordance with 170schedules contained in construction contracts for such capital improvement projects. Such 171licensee shall comply with all applicable provisions of chapter 149 unless such compliance is 172waived by the commission for cause. 173 No such expenditure for such capital improvements shall be approved by the trustees if 174such improvements are to be accomplished pursuant to a contract with a person, corporation, 175partnership, trust or any combination of the same or any other entity owned wholly or in part by 176a person, corporation, partnership, trust or any combination of the same or any other entity which 177owns or operates or holds any interest in any racetrack in the commonwealth. 178 The trustees shall hire the services of such architectural and engineering consultants or 179the services of such other consultants as they deem appropriate to advise them generally and to 180evaluate proposed capital improvement projects submitted to them for their approval. 181 Nothing herein contained shall preclude a running horse track from making capital 182improvements not funded in whole or in part from such funds; provided, however, that all sums 183approved by said trustees hereunder shall be expended in their entirety for capital improvements; 184provided, further, that any revision by said licensee in the making of capital improvements as 10 of 77 185hereinbefore provided, shall require separate written approval by the trustees therefor. All 186financial statements required under section 11 of chapter 23K ¼ shall be accompanied by a 187statement signed under the pains and penalties of perjury by the chief financial officer of the 188licensee, setting forth the capital improvements made with funds obtained under this section and 189further certifying that such expenditures are treated as capital expenditures in the accompanying 190financial statements. 191 The trustees shall require from a running horse racetrack such vouchers, cancelled checks 192or other documents as said trustees deem necessary to verify that the expenditures from said 193funds were carried out in accordance with the provisions of this section. 194 Funds paid by licensees and deposited by the board in the Thoroughbred Horse Capital 195Improvements Trust Fund shall remain in said funds until expended under this section; provided, 196however, that any amount in said accounts as of December 31st of each year which has not been 197so expended or as to which no binding commitment has been made by said trustees shall 198thereupon be deposited in the Race Horse Development Fund established under section 60 of 199chapter 23K. 200 Section 60B. There shall be established and set up on the books of the commonwealth a 201Standardbred Horse Capital Improvements Trust Fund to be administered by the board. During 202each calendar year each harness horse track licensee under section 3 of chapter 23K ¼, other 203than a licensee holding a racing meeting in connection with a state or county fair shall daily pay: 204the total sum of the so-called breaks, as defined in section 9 of said chapter 23K ¼ , and a sum 205equal to 2 per cent of the total amount wagered by patrons wagering on the speed or ability of a 206combination of more than one harness horse in a single pool, exotic wagering, so-called, into the 11 of 77 207said trust fund under the direction and supervision of the state racing board members, as they are 208individuals, as trustees of said trust. Said trustees shall deposit all monies in said trust fund in 209one or more banks, at interest within the commonwealth. 210 Said trustees may expend without appropriation all or any part of the Standardbred Horse 211Capital Improvements Trust Fund to a harness horse track licensee for use as all or part of a 212capital expenditure for alterations, additions, replacements, changes, improvements or major 213repairs to or upon the property owned or leased by such licensee and used by it for the conduct of 214racing, but not for the costs of maintenance or of other ordinary operations, whether such costs 215have been incurred or not. Said trustees may expend to a licensee all amounts accumulated in 216such trust fund which are attributable to racing operations conducted at a harness horse track. 217 Said trustees shall prescribe terms and conditions for such grants and may designate 218specific capital improvements to be undertaken by the licensee; provided, however, that prior to 219approving any expenditures from said trust fund for purposes not designated by the trustees, the 220trustees shall require the licensee to submit to them detailed business plans describing the 221specific capital improvements contemplated by the licensee and shall formally vote to permit 222such expenditures; provided, further, that under no circumstances shall the trustees permit the 223expenditure of trust funds for purposes not directly related to the improvement of harness horse 224racing; provided, further, that such terms and conditions for capital improvement projects shall 225include schedules of periodic payments to be prepared by the trustees in accordance with 226schedules contained in construction contracts for such capital improvement projects. Such 227licensee shall comply with all applicable provisions of chapter 149 unless such compliance is 228waived by the commission in writing for cause. 12 of 77 229 No such expenditure for capital improvements shall be approved by the trustees if such 230improvements are to be accomplished pursuant to a contract with a person, corporation, 231partnership, trust or any combination of the same or any other entity owned wholly or in part by 232a person, corporation, partnership, trust or any combination of the same or any other entity which 233owns or operates or holds any interest in any racetrack in the commonwealth. 234 The trustees shall hire the services of such architectural and engineering consultants or 235the services of such other consultants as they deem appropriate to advise them generally and to 236evaluate capital improvement projects submitted to them for their approval. 237 Nothing herein contained shall preclude a harness horse track from making capital 238improvements not funded in whole or in part from such funds; provided, however, that all sums 239approved by said trustees hereunder shall be expended in their entirety for capital improvements; 240provided, further, that any revision by said licensee in the making of capital improvements as 241hereinbefore provided, shall require separate written approval by the trustees therefor. All 242financial statements required under section 11 of chapter 23K ¼ shall be accompanied by a 243statement signed under the pains and penalties of perjury by the chief financial officer of the 244licensee, setting forth the capital improvements made with funds obtained under this section and 245further certifying that such expenditures are treated as capital expenditures in the accompanying 246statements. 247 The trustees shall require from a harness racetrack such vouchers, cancelled checks or 248other documents as said trustees deem necessary to verify that the expenditures from said funds 249were carried out in accordance with the provisions of this section. 13 of 77 250 Funds paid by licensees and deposited by the board in the Standardbred Horse Capital 251Improvements Trust Fund shall remain in said funds until expended under this section; provided, 252however, that any amount in said accounts as of December 31st of each year which has not been 253so expended or as to which no binding commitment has been made by said trustees shall 254thereupon be deposited in the Race Horse Development Fund established under section 60 of 255chapter 23K. 256 SECTION 13. The General Laws, as so appearing, is hereby amended by inserting after 257Chapter 23K the following two chapters:- 258 CHAPTER 23K ¼. 259 HORSE RACING MEETINGS. 260 Section 1. Terms used in this chapter shall, unless the context otherwise requires, be 261construed as follows:- 262 “Board”, the state racing board established in chapter 23K. 263 ''Breaks'', in the case of racing meetings conducted in the commonwealth by a racing 264meeting licensee, the odd cents over any multiple of 10 cents of winnings per $1 wagered. 265 ''Commission'', the Massachusetts gaming commission established in chapter 23K. 266 ''Racing meeting'' shall include every meeting within the commonwealth where horses are 267raced and where any form of betting or wagering on the speed or ability of horses shall be 268permitted, but shall not include any meeting where no such betting or wagering is permitted even 269though horses or their owners, are awarded certificates, ribbons, premiums, purses, prizes or a 270portion of gate receipts for speed or ability shown. 14 of 77 271 ''Race track'' shall include the track, grounds, auditorium, amphitheatre or bleachers, if 272any, and adjacent places used in connection therewith, where a horse racing meeting may be 273held; provided, however, that each person licensed to conduct a running horse racing meeting, 274other than a licensee holding a racing meeting in connection with a state or county fair, shall 275conduct the racing meeting on a race track with a racing strip of not less than 1 mile. 276 ''Rebate'', money returned, which was not the result of winning a prize from the wagered 277competition pursuant to this chapter and chapter 23K ½, to a bettor by a racing meeting licensee 278based on a percentage of his wager. 279 ''State or county fair'' shall mean an agricultural fair or exhibition, the main purpose of 280which is the encouragement, improvement or extension of agriculture by competitive exhibits of 281agricultural products, including exhibits described in paragraph (f) of section 2 of chapter 128, 282and of varied types of available livestock, with youth participation therein, and the display of 283agricultural machinery, implements and other improvements of interest to dairy and produce 284farmers and horticulturists. 285 Section 2. Any person desiring to hold or conduct a horse racing meeting within the 286commonwealth shall make an application to the state racing board established in chapter 23K for 287a license so to do. Such application shall state: 288 (1) The name of the applicant. 289 (2) The post office address of the applicant, and if a corporation, the name of the state 290under the laws of which it is incorporated, the location of its principal place of business and the 291names and addresses of its directors and stockholders. 15 of 77 292 (3) The location of the race track where it is proposed to hold or conduct such meeting. 293 (4) The days on which it is intended to hold or conduct such a meeting. 294 (5) The hours of each day between which it is intended to hold or conduct racing at such 295meeting, which hours shall be not before ten o'clock ante meridian for horse racing except as 296provided for in section 3, nor later than seven o'clock post meridian for running horse racing nor 297later than twelve o'clock midnight for harness horse racing. 298 (6) Answers to such other questions as the board may prescribe, and 299 (7) That the applicant will comply, in case such license be issued, with all applicable laws 300and with all applicable rules and regulations prescribed by the board. 301 Such application shall be filed with the board on or before October 1st of the calendar 302year preceding the calendar year for which application requests a license to be issued under this 303chapter; and the board shall grant or dismiss such application not later than the November 15th 304next following; provided, however, that a supplementary application by a licensee for a 305subsequent license in the calendar year for which a license had theretofore been issued to such 306licensee and relating to the same premises as were specified in the previously issued license, and 307supplementary applications by a licensee for additional licenses under section 4, may be filed 308with the board at any time prior to the expiration of said calendar year for which a license had 309theretofore been issued to said licensee; and the board shall grant or dismiss such applications 310within 30 days of the date of filing. Such applications shall be signed and sworn to, if made by 311an individual, by such individual; if made by two or more individuals or a partnership, by one of 312such individuals or by a member of such partnership, as the case may be, if made by a trust, by a 16 of 77 313trustee of such trust, and, if made by an association or corporation, by the president or vice 314president thereof. The board may prescribe forms to be used in making such applications. 315 With such application there shall be delivered to the board a certified check or bank draft, 316payable to the board, weekly in advance for the full amount of the license fee required by this 317chapter. 318 Section 3. If any application for a license, filed as provided by section 2, shall be in 319accordance with the provisions of this chapter, the board, after reasonable notice and a public 320hearing in the city or town wherein the license is to be exercised, may issue a license to the 321applicant to conduct a racing meeting, in accordance with the provisions of this chapter, at the 322race track specified in such application; provided, that if the board has already taken action on an 323application for any calendar year, after such notice and public hearing, no other public hearing 324need be held on any other application from the same applicant relating to the same premises filed 325prior to the expiration of said year; and provided, further, that on an application for a license to 326conduct a horse racing meeting in connection with a state or county fair the applicant shall show 327a certificate from the commissioner of food and agriculture that (1) such fair is a state or county 328fair as defined in section one, (2) such fair has been operating for each of the five consecutive 329years immediately preceding the date of filing such application and had received for each of said 330five consecutive years assistance from the agricultural purposes fund, (3) such fair is properly 331qualified as hereinafter in this paragraph provided and (4) the location where such racing 332meeting is to be held is annually approved by him and by the board of agriculture; and provided, 333further, that on an application for a license to conduct a horse racing meeting in connection with 334a state or county fair by an applicant to whom a prior license to conduct such a racing meeting at 335the race track specified in said application has been granted by the board, no hearing need be 17 of 77 336held, unless a request, signed by at least one per cent of the registered voters of the city or town 337in which the track is located, is filed with the board not later than thirty days following the 338granting of said license. In determining whether a fair is properly qualified under this paragraph, 339the commissioner of food and agriculture shall consider the number of days such fair has 340operated each previous year, the area of the land used for fair purposes, the number of entries in 341agricultural show events in previous years, the number and value of prizes offered in such events 342and whether or not the granting of a racing license would tend to promote the agricultural 343purposes of the fair. 344 Such license shall state: 345 (1) The name of the person to whom the same is issued, 346 (2) The location of the race track where the racing meeting thereby authorized is to be 347held, 348 (3) The days on which such meeting may be held or conducted, 349 (4) The hours of each day between which racing may take place at such meeting, and 350 (5) That the required license fee has been received by the commission. 351 No license shall be issued which would permit a racing meeting to be held or conducted 352except under the following conditions: 353 (a) No license shall be issued for more than an aggregate of 200 racing days in any 1 year 354at all running horse racing meetings combined, not including running horse racing meetings held 355in connection with state or county fairs. 18 of 77 356 (b) No license shall be issued for more than an aggregate of 200 racing days in any 1 year 357at all harness horse racing meetings combined, including harness horse racing meetings at state 358or county fairs. 359 (c) Licenses shall permit racing meetings only between the hours of 10:00 a.m. and 12:00 360midnight. The board shall grant authorized dates at such times that are consistent with the best 361interests of racing and the public; provided, however, that dates for racing meetings held in 362connection with a state or county fair may only be awarded during the period between June 15 363and October 15. The board may, in its discretion, on written application from a racing licensee 364made at least 7 days prior to the date of any proposed change of time stated in the racing license 365and without necessity for further public hearing, change the hours of conducting such racing 366meeting between any of the aforesaid hours, notwithstanding the hours set forth on the license; 367provided, however, that, if by reason of state or national emergency, night illumination is 368forbidden by public authority, then the board may, in its discretion, issue a license to permit 369racing at such hours as the board shall determine between the hours of 10:00 a. m. and 12:00 370midnight. For the purpose of imposing the fee provided for in section 4, computing the sums 371payable to the board under section 9 and counting the number of days authorized by clauses (a) 372and (b), any racing meeting held after 7:00 p.m. on the same day on which a racing meeting is 373held at the same race track prior to 7:00 p.m. shall be considered a separate day of racing. 374 (d) Each county shall have not more than 1 racing meeting licensee, except in connection 375with a state or county fair. 376 (e) No license shall be issued to any person who is in any way in default, under the 377provisions of this chapter, in the performance of any obligation or in the payment of any debt to 19 of 77 378the board; provided, however, that no license shall be issued to any person who has, within 10 379years of the time of filing the application for the license, been convicted of violating section 9. 380 (f) In granting authorized dates under this section, the board shall take into consideration, 381in addition to any other appropriate and pertinent factors, the following: the financial ability of 382an applicant to operate a race track; the maximization of state revenues; the suitability of racing 383facilities for operation at the time of the year for which dates are assigned; the circumstance that 384large groups of spectators require safe and convenient facilities; the interest of members of the 385public in racing competition honestly managed and of good quality; the necessity of having and 386maintaining proper physical facilities for racing meetings and the necessity of according fair 387treatment to the economic interest and investments of those who in good faith have provided and 388maintain such facilities. Notwithstanding the foregoing provisions of this section, the board shall 389have the right to review and reconsider without further notice or public hearing any application 390made prior to October 1 for which racing dates have been requested for the following year; 391provided that the application has had a public hearing prior to November 15; and provided, 392further, that any applicant who has been denied these racing dates makes a written request for 393review and reconsideration within 90 days of receiving notice of the denial; and provided further, 394that the commission shall reconsider and review the request within 180 days of the denial. 395 (g) No license shall be transferable, except with the approval of the board. 396 (h) No license shall be issued to permit horse racing meetings to be held on premises 397owned by the commonwealth or any political subdivision thereof. 398 (j) No license shall be issued to any person to hold or conduct a horse racing meeting in 399connection with a state or county fair or any exhibition for the encouragement or extension of 20 of 77 400agriculture under the reduced license fee provided in section 4, unless the applicant shall first 401satisfy the board that the main purpose of the fair or exhibition is the encouragement or extension 402of agriculture and that the same constitutes a bona fide exhibition of that character. No license 403shall be issued to a person to hold or conduct a horse racing meeting in connection with a state or 404county fair or any exhibition for the encouragement or extension of agriculture for more than 15 405days in a calendar year. 406 (k) No license shall be issued unless the person applying therefor shall have executed and 407delivered to the board a bond payable to the board in the amount of $1,250,000 with a surety or 408sureties approved by the board conditioned upon the payment of all sums which may become 409payable to the board under this chapter; provided, however, that the amount of such bond, in the 410case of any person holding or conducting a racing meeting in connection with a state or county 411fair, shall be $250,000. 412 (l) Every license shall be recorded in the office of the clerk of the city or town in which 413the racing meeting is held or conducted at a time not less than 5 days before the first day of the 414meeting or forthwith upon the issuance of the license if the same shall be issued after that time. 415After the license is so recorded, a duly certified copy thereof shall forthwith be conspicuously 416displayed and shall be kept so displayed continuously during the racing meeting in the principal 417business office at the race track where the meeting is held and at all reasonable times shall be 418exhibited to any person requesting to see the same. 419 (m) Every licensee shall keep conspicuously posted in various places on its premises a 420notice containing the name and numbers of the council on compulsive gambling and a statement 421of its availability to offer assistance. 21 of 77 422 Section 4. The fee for the license provided for in section 3 shall be $300 or three-fourths 423of one-tenth of one per cent of the average daily handle of the previous calendar year for each 424day of any running horse or harness horse racing meeting, whichever is the greater amount; 425provided, however, that a reduced fee, applicable to a license to any person holding or 426conducting a horse racing meeting in connection with a state or county fair, or any exhibition for 427the encouragement or extension of agriculture, shall not exceed $100 for each day of such horse 428racing meeting. 429 If for any reason or cause, beyond the control of and through no fault or neglect of any 430licensee and while such licensee is not in default, it should become impossible or impracticable 431to conduct racing upon any day or successive days specified in a license issued by the board, the 432board at the request of the licensee may, and upon proper showing shall, request the state 433treasurer to refund to the licensee an amount equal to the license fees paid for days on which 434such licensee does not hold or conduct a racing meeting under the terms of the license issued for 435such purpose. Upon receipt of such request, the state treasurer shall forthwith pay such amount to 436such licensee. The board may, upon application of any such licensee, and upon the payment of 437the required license fees, grant an additional license for not more than the number of days on 438which it was impossible or impracticable to conduct racing, which days shall not be counted in 439the aggregate of racing days permitted by section 3. The decision of the board as to such 440impossibility or impracticability shall be final. 441 No license fee for the privilege of holding or conducting a horse racing meeting, or for 442any other purpose peculiarly incidental to the holding or conducting of such a meeting, shall be 443imposed upon or collected from such a licensee by any city or town. 22 of 77 444 Section 5. (a) The provisions of section 181 of chapter 140, and of sections 31, 33 and 34 445of chapter 271, and of chapter 494 of the acts of 1908 shall not apply to race tracks or racing 446meetings laid out and conducted by licensees under this chapter or to animals eligible to race at 447such meetings; except that no license shall be granted by the board for a racing meeting in any 448city or town, except in connection with a state or county fair, unless the location of the race track 449where such meeting is to be held or conducted has been once approved by the mayor and city 450council or the town council or the selectmen as provided by said section 33 of said chapter 271, 451after a public hearing, seven days’ notice of the time and place of which hearing shall have been 452given by posting in a conspicuous public place in such city or town and by publication in a 453newspaper published in such city or town, if there is any published therein, otherwise in a 454newspaper published in the county wherein such city or town is situated, and a majority of the 455registered voters of such city or town voting on the described location relative to granting such 456licenses have voted in the affirmative within the same calendar year as such approval by a mayor 457and city council or the town council or the selectmen. 458 (b) A certified copy of the results of a vote on a question submitted to the voters of a 459political subdivision, in accordance with the provisions of this chapter, relative to granting a 460license for a horse racing meeting or horse races at fairs, shall be sent by the state secretary, or 461by the city or town clerk in the case of a vote by a city or town, to the board within 90 days after 462the election. 463 Section 6. The board shall have full discretion to refuse to grant a license to any applicant 464for a license or to suspend or revoke the license of any licensee. If any license is suspended or 465revoked, the board shall make a record of its reasons for doing so and such record shall be made 466available to any person requesting to inspect the same. 23 of 77 467 Section 7. Except in the case of a publicly held corporation, no person, firm, partnership, 468trust, association or corporation who has been granted a license to conduct a horse racing 469meeting, or an officer, director or the beneficial owner of 10 per cent or more of the stock of a 470corporation holding such a license, shall sell, transfer, convey or cause to be transferred, singly 471or in concert with others, more than 10 per cent of the value or stock of the facility or corporation 472so licensed without first obtaining the written approval of the board. 473 The board shall approve such sale, transfer or conveyance unless it finds that the 474consideration therefor is (i) inadequate or (ii) without good cause, (iii) that the sale or transfer 475results in an undesirable concentration of ownership of racing facilities within the 476commonwealth, or (iv) that the sale or transfer has an adverse impact upon the integrity of the 477racing industry. 478 A publicly held corporation, shall, prior to the sale, transfer or conveyance of more than 47910 per cent of the stock of the corporation, file notice of such action with the board. A copy of 480any filing required by state or federal securities law regarding notice of such sale, transfer or 481conveyance shall be simultaneously filed with the board. The board shall have the same rights as 482to transferees as it would have with respect to original applicants for licensure. 483 Section 8. At least 85 per cent of the persons employed by a licensee at a racing meeting 484held or conducted by them shall be citizens of the commonwealth and shall have been such 485citizens for at least two years immediately prior to such employment. 486 Section 9. (a) Before holding or conducting a racing meeting, every licensee shall provide 487a place or places, equipped as hereinafter provided, on the grounds where such meeting is held or 488conducted or adjacent thereto, but not elsewhere, at which such licensee shall conduct and 24 of 77 489supervise the pari-mutuel or certificate system of wagering on the speed or ability of horses 490performing in the races held or conducted by such licensee at such meeting, and such pari-mutuel 491or certificate method of wagering upon such races so conducted shall not under any 492circumstances be held or construed to be unlawful, notwithstanding any general or special law to 493the contrary. Such place or places shall be equipped with automatic betting machines capable of 494accurate and speedy determination of awards or dividends to winning patrons, and all such 495awards or dividends shall be calculated by a totalisator machine or like machine, except at state 496or county fairs. 497 (b) No other place or method of betting, poolmaking, wagering or gambling shall be used 498or permitted by the licensee, nor shall this chapter be deemed to authorize or legalize the pari- 499mutuel or certificate system of wagering on any races except at the track where such pari-mutuel 500or certificate system of wagering is conducted; provided, however, that this prohibition shall not 501apply to simulcast wagering authorized under chapter 23K ½ nor to account wagering 502authorized under section 10 of said chapter. 503 (c) Each licensee conducting a running horse racing meeting, other than a licensee 504holding a racing meeting in connection with a state or county fair, shall return to the winning 505patrons wagering on the speed or ability of any 1 running horse in a race or races all sums so 506deposited as an award or dividend, according to the acknowledged and recognized rules and 507methods under which such pari-mutuel or certificate system has been operated, less the breaks 508and less an amount not to exceed 19 per cent of the total amount so deposited by patrons 509wagering on the speed or ability of any 1 running horse; and each such licensee shall return to 510the winning patrons wagering on the speed or ability of a combination of more than 1 horse in a 511single pool, also known as an exotic wager, all sums so deposited as an award or dividend, 25 of 77 512according to the acknowledged and recognized rules and methods under which such pari-mutuel 513or certificate system has been operated, less the breaks and less an amount not to exceed 26 per 514cent of the total amount deposited. Each licensee shall: 515 (1) pay to the board on the day following each day of such running horse racing meeting 516a sum equal to 0.75 per cent of the total amount deposited on the preceding day by patrons so 517wagering at the meeting, the percentage to be paid from the 19 per cent or 26 per cent withheld, 518as provided in this section, from the total amount wagered; 519 (2) pay to the Massachusetts Thoroughbred Breeders Association, Inc. on the day 520following each day of such running horse racing meeting a sum equal to 1 per cent of the total 521amount deposited by the patrons, less the breaks, and taken from the 19 per cent withheld and 522from the 26 per cent withheld from exotic wagers, the monies to be used for the purposes of 523subsection (g) of section 2 of chapter 128; 524 (3) allocate from the total amount deposited daily by the patrons wagering at the meeting 525a sum equal to 8.5 per cent from the 19 per cent withheld and a sum equal to 9.5 per cent from 526the 26 per cent withheld from the exotic wagers to be used solely for the payment of purses to 527the horse owners in accordance with the rules and established customs of conducting running 528horse racing meetings and, with the approval of the appropriate horsemen's association 529representing the horse owners racing at that meeting, for payment of administrative and 530horseracing operations, and the monies shall be in addition to monies deposited into a separate 531purse account as simulcast premiums received pursuant to section 2 of chapter 23K ½; 532 (5) pay a sum equal to 0.25 per cent from the 19 per cent and 26 per cent withheld from 533the total amount wagered by patrons so wagering and the total sum of the breaks annually into 26 of 77 534the trust fund known as the Thoroughbred Horse Capital Improvements Trust Fund, under the 535direction and supervision of the state racing board members as they are individuals as trustees of 536said trust; 537 (6) pay to Tufts University School of Veterinary Medicine on the day following each day 538of such running horse racing meeting a sum equal to 0.5 per cent of the total amount deposited 539by the patrons, less the breaks, from the 26 per cent withheld from exotic wagers, to be used for 540equine research scholarships and loans. 541 Each licensee may retain as its commission on the total of all sums so deposited, a sum 542not exceeding the balance of the 19 or 26 per cent withheld as provided in this section from the 543total amounts wagered less the amounts required to be paid under clauses (1) to (6), inclusive. 544 (d) Each licensee conducting a harness horse racing meeting shall return to the winning 545patrons wagering on the speed or ability of any 1 harness horse in a race or races all sums so 546deposited as an award or dividend, according to the acknowledged and recognized rules and 547methods under which such pari-mutuel or certificate system has been operated, less the breaks 548and less an amount not to exceed 19 per cent of the total amount so deposited by patrons 549wagering on the speed or ability of any 1 harness horse; and each such licensee shall return to the 550winning patrons wagering on the speed or ability of a combination of more than 1 horse in a 551single pool, also known as an exotic wager, all sums so deposited as an award or dividend, 552according to the acknowledged and recognized rules and methods under which such pari-mutuel 553or certificate system has been operated, less the breaks and less an amount not to exceed 26 per 554cent of the total amount so deposited. Each such licensee, including a licensee holding a harness 555horse racing meeting in connection with a state or county fair, shall: 27 of 77 556 (1) pay to the board on the day following each day of such harness horse racing meeting, 557excluding races conducted in connection with a state or county fair, a sum equal to 0.75 per cent 558of the total amount deposited on the preceding day by patrons so wagering at the meeting, the 559percentage to be paid from the 19 per cent withheld from the straight wagers or 26 per cent 560withheld from the exotic wagers as provided under this section; 561 (2) pay to the Massachusetts Standardbred Breeders program established under 562subsection (j) of section 2 of chapter 128, on the day following each day of the harness horse 563racing meeting a sum equal to 0.5 per cent of the total amount deposited by the patrons, less the 564breaks, and taken from the 19 per cent withheld from the straight wagers and a sum equal to 1.5 565per cent of the total amount deposited by the patrons, less the breaks, from the 26 per cent 566withheld from the exotic wagers; the monies to be used for the purposes of said subsection (j) of 567said section 2 of said chapter 128; 568 (3) allocate from the total amount deposited daily by the patrons wagering at such 569meeting a sum equal to 8 per cent from the 19 per cent withheld and a sum equal to 10 per cent 570from the 26 per cent withheld from the exotic wagers to be used solely for the payment of purses 571to the horse owners in accordance with the rules and established customs of conducting harness 572horse racing meetings; the monies shall be in addition to monies deposited into a separate purse 573account as simulcast premiums received under section 2 of chapter 23K ½ ; 574 (5) pay the total sum of the breaks and a sum equal to 2 per cent of the total amount of 575the exotic wagers into the trust fund known as the Standardbred Horse Capital Improvements 576Trust Fund, under the direction and supervision of the state racing board members as they are 577individuals as trustees of the trust. 28 of 77 578 Each licensee may retain as its commission on the total of all sums deposited, a sum not 579exceeding the balance of the 19 per cent withheld from the straight wagers or the 26 per cent 580withheld from the exotic wagers as provided in this section less the amounts required to be paid 581under clauses (1) to (5), inclusive. 582 (f) Each licensee conducting a running horse racing meeting in connection with a state or 583county fair shall return to the winning patrons wagering on the speed or ability of any 1 running 584horse in a race or races all sums so deposited as an award or dividend, according to the 585acknowledged and recognized rules and methods under which such pari-mutuel or certificate 586system has been operated, less the breaks and less an amount not to exceed 19 per cent of the 587total amount so deposited by patrons wagering on the speed or ability of any 1 running horse. 588 Each such licensee shall return to the winning patrons wagering on the speed or ability of 589a combination of more than 1 horse in a single pool, also called an exotic wager, all sums so 590deposited as an award or dividend, according to the acknowledged and recognized rules and 591methods under which pari-mutuel or certificate system has been operated, less the breaks and 592less an amount not to exceed 26 per cent of the total amount so deposited. Each licensee shall: 593 (1) pay to the board on the day following each day of such running horse racing meeting 594a sum equal to 0.75 per cent of the total amount deposited on the preceding day by patrons 595wagering at the meeting, the percentage to be paid from the 19 per cent and 26 per cent withheld, 596as provided under this section, from the total amount wagered on straight wagers and exotic 597wagers, respectively; 598 (2) allocate from the total amount deposited daily by the patrons wagering at the meeting 599a sum equal to 8 per cent from each of the respective 19 per cent withheld and 26 per cent 29 of 77 600withheld as provided in this subsection to be used solely for the payment of purses to the horse 601owners in accordance with the rules and established customs for the conduct of running horse 602racing meetings; and 603 (3) pay a sum equal to 1 per cent of the total handle at the end of its racing schedule to 604the Massachusetts Thoroughbred Breeders Association, Inc.; provided, however, that the 605Association shall utilize the monies to develop a program to support horse racing at agricultural 606fairs including, but not limited to, owners' and breeders' awards for Massachusetts-bred 607thoroughbreds and provisions to supplement the purses of races or to provide the entire purse for 608the Massachusetts-bred thoroughbred races. 609 Each licensee may retain as its commission on the total of all sums so deposited, a sum 610not exceeding the balance of the 19 or 26 per cent withheld as provided in this section from the 611total amounts wagered less the amounts required to be paid under clauses (1) to (3), inclusive. 612 (h) All pari-mutuel taxes paid to the board under this section, together with all pari- 613mutuel taxes paid to the board under section 2 of chapter 23K ½, and all assessments, association 614licensing fees, occupational licensing fees, fines, penalties and miscellaneous revenues, other 615than unclaimed wagers, paid to the board shall be deposited in the race horse development fund 616established in chapter 23K. 617 (j) 3.5 per cent of all purses at all running horse racing meeting licensees' tracks in the 618commonwealth shall be paid to the Massachusetts Thoroughbred Breeders' Association, Inc. 619 Section 10. Monies from all unclaimed live wagers made under this chapter and chapter 62023K ½ shall be deposited with the board. Subject to the rules and regulations established by the 621board, the board shall deposit the unclaimed live wagers into the purse accounts of the racing 30 of 77 622meeting licensees that generated those unclaimed live wagers. A notice of the limitation 623prescribed by this section, in such form as the board shall prescribe, shall be posted by each 624licensee in a conspicuous place at each window or booth where pari-mutuel tickets are sold. 625 Section 11. Accurate records and books shall at all times be kept and maintained by each 626licensee, showing the number, nature and amount of all wagers made in connection with such 627meeting. The board, or its duly authorized representatives, shall at all reasonable times have 628access to the records and books of any licensee for the purpose of examining and checking the 629same, and ascertaining whether or not the proper amount has been or is being paid to the 630commission as herein provided. 631 Within 60 days after the close of a racing meeting, each licensee conducting a horse 632racing meeting shall submit, on forms prescribed by the board, financial statements certified to 633the board by a certified public accountant; provided, however, that said licensee with the prior 634written approval of the board, may submit said statements annually within 60 days after the close 635of its fiscal year, if any. The board, or its duly authorized representatives, shall at all reasonable 636times have access to all records and books of the licensee for the purpose of examining and 637certifying the same. 638 The board may also from time to time require sworn statements of such wagers and may 639prescribe blanks upon which such reports shall be made. Any licensee failing or refusing to make 640such report as herein provided, or failing or refusing to pay the amount found to be due as 641provided in this chapter, shall be deemed guilty of larceny and upon conviction shall be punished 642by a fine of not less than $1,000 nor more than $10,000. 31 of 77 643 Section 12. The board shall appoint two stewards to each track licensed to conduct racing 644meetings, who shall not be subject to chapter 31 or section 9A of chapter 30. The board shall 645assign, by regulation, duties to be performed by him. The compensation of the board-appointed 646steward shall be fixed by the board. 647 The board may also appoint one or more other representatives to attend each racing 648meeting held or conducted under a license issued under this chapter, and the appointment of said 649representatives shall not be subject to chapter 31 or section 9A of chapter 30. The compensation 650and duties of each such representative shall be fixed by the board. 651 Each such representative appointed by the board to attend a racing meeting shall have full 652and free access to the space or enclosure where the pari-mutuel or certificate system of wagering 653is conducted or supervised for the purpose only of ascertaining whether or not the provisions of 654this chapter are being properly observed. They shall also, for the same purpose only, have full 655and free access to the books, records and papers pertaining to such pari-mutuel or certificate 656system of wagering. All employees of the board assigned to the tracks for security purposes and 657all police officers assigned to the board shall be under the control and authority of one of the 658representatives of the board at each track. Said representative shall have full and free access to 659any other areas used in connection with the conduct of racing. They shall investigate, ascertain 660and report to the board in writing under oath as to whether or not he has discovered any violation 661at such meeting of any of the provisions of this chapter, and, if so, the nature and character of 662such violations. Such report shall be made within 10 days after the termination of the duties of 663such representative at any racing meeting. 32 of 77 664 If any such report shows any violation of this chapter, the board shall transmit a copy of 665such report to the attorney general for such action as they shall deem proper. 666 Section 13. The board shall apply to the department of public safety for the assignment of 667a complement of police officers to the board on a regular basis and said department shall assign 668such complement to the board. The board shall assign such police officers to guard and protect 669the lives and safety of the public, property and the animals to be raced at any such meeting, and 670to perform any such other duties which may be required by said board in order to maintain fair 671and honest pari-mutuel racing at any such meeting. The police officers so assigned shall, except 672in the case of an emergency, and while on duty at any such racing meeting, be subject to the 673operational authority of the board; provided, however, that such assignment or reassignment 674shall not in any way impair any rights to which any officer may be entitled. 675 The board shall from funds available pay to the department of public safety the cost of 676the salaries of the police officers so assigned from funds appropriated to the board. 677 All assignments and reassignments to the board, except as the commissioner of public 678safety shall determine that an emergency exists or is threatened, shall be subject to the approval 679of the chair of the board. Nothing herein shall prevent licensees from applying to the state police 680if they have jurisdiction in the area where a racing meeting is to be held, or to the police 681department of a city or town wherein a racing meeting is to be held, in order that such police 682agency may furnish a police detail for safety or traffic purposes at any racing meeting authorized 683by this chapter. The total cost for any such police detail shall be a sum equal to the salaries of the 684police officers comprising such detail, plus a sum to cover the administrative expenses incurred 685by the department of each such police officer. 33 of 77 686 The board shall employ as many veterinarians, chemists and laboratory technicians as it 687deems necessary to insure the legitimate performance of the animals to be raced at any racing 688meetings authorized by this chapter and to protect the health of such animals and the department 689of public safety shall provide that such veterinarians, chemists and laboratory technicians shall 690have access to the department's laboratory facilities. 691 Section 14. The board shall make periodic inspections of all of the installations and 692facilities operated by its licensees, including stable areas and the office of the racing secretary 693during the time that entries are being filed. Each member shall from time to time personally visit 694the jockeys' room to observe the activity of the custodians and valets, and the operation of the 695clerk of the scales, weighing procedures and security provisions. The activities of stewards, 696placing judges, patrol judges and starters shall be closely supervised by said board and the 697calculating and tote control room of the various tracks shall be regularly spot-checked to insure 698fair and equitable results for the wagering public. 699 Section 15. The board shall have full power to prescribe rules, regulations and conditions 700under which all horse races at horse racing meetings shall be conducted in the commonwealth 701and may by rule or regulation prohibit licensees from admitting minors to horse racing meetings. 702 The board shall have power to prescribe special rules, regulations and conditions 703applicable to horse racing meetings held under licenses granted hereunder in connection with a 704state or county fair, or any exhibition for the encouragement or extension of agriculture. 705 The board shall prescribe rules and regulations under which betting accounts for account 706wagering, as provided in section 10 of chapter 23K ½, shall be established, maintained and 707operated. 34 of 77 708 Rules and regulations so prescribed shall be printed by the board and furnished in 709reasonable numbers to anyone who may request them. 710 Any person violating any such rule or regulation shall, upon a complaint brought by the 711board, be punished by a fine not exceeding $5,000 or by imprisonment not exceeding one year, 712or by both. 713 Section 16. For the purpose of enabling the board to exercise and maintain a proper 714control over horse racing conducted under the provisions of this chapter, the rules, regulations 715and conditions prescribed by the board under section 15 shall provide for the licensing and 716registering at reasonable and uniform fees, of agents, assumed names, colors, partnerships and 717minor agreements and shall provide for the licensing at reasonable and uniform fees of 718veterinarians, blacksmiths, owners, trainers, jockeys and stable employees at horse tracks 719participating in such racing, and any other persons having access to horses and all pari-mutuel 720clerks and other persons with access to money wagered on races. 721 Such rules and regulations shall also provide for the fingerprinting of all licensees. Every 722person so licensed shall be required to display and wear a badge containing a photograph. Such 723rules and regulations may also provide for the suspension and revocation of licenses so granted 724and for the imposition on persons so licensed of reasonable forfeitures and penalties for the 725violation of any rule or regulation prescribed by the board and for the use of the proceeds of such 726penalties and forfeitures. 727 The board shall have access to criminal offender record information of applicants for any 728license granted under this chapter or chapter 23K ¼, including officers, directors and beneficial 729owners of 10 per cent or more of the stock of a corporation applying for such a license, and for 35 of 77 730applicants for employment by the board. Such access shall be exercised in accordance with 731sections 167 to 178, inclusive, of chapter 6. 732 Section 17. Notwithstanding the provisions of section 5 of chapter 30A, no rule, 733regulation or condition of the board promulgated under the provisions of this chapter shall take 734effect except as hereinafter provided. 735 A copy of every such rule, regulation or condition shall be filed with the clerk of the 736senate and shall be forthwith referred by them to the joint committee on consumer protection and 737professional licensure. 738 Said committee shall file a written report with the clerks of the house and senate within 73930 days after the filing of the copy thereof with said clerks, stating whether said rules, 740regulations and conditions are consistent with the statutory provisions under which they were 741promulgated. 742 Said rules, regulations and conditions shall take effect unless disapproved by a majority 743vote of both branches of the general court within 60 days after the filing of the copy thereof with 744the clerks of the house and senate unless the general court has prorogued within said 60 days. 745 If the general court prorogues within 60 days of the filing, with the clerks of the house 746and senate of such rules, regulations and conditions, the clerks of the house and senate shall refer 747the same to the committee on consumer protection and professional licensure the next session of 748the general court. 749 Said committee shall report as hereinbefore provided within 30 days of the first day of 750such session and such rules, regulations and conditions shall take effect unless disapproved by a 36 of 77 751majority vote of both branches of the general court within 60 days of the first day of such 752session. 753 The clerks of the house and senate shall notify the board of the action taken thereon by 754the general court. 755 Notwithstanding the provisions of this section, the board may adopt emergency rules or 756regulations to protect the health or safety of the public, participants, or animals; provided, 757however, that no emergency rule or regulation shall attempt to regulate the dates, manner of 758wagering, or economic terms or conditions of horse racing within the commonwealth; and 759provided, further, that such emergency rules and regulations shall expire within 90 days. 760 Section 18. (a) Whoever, being under 21 years old, participates, whether personally or 761through an agent, in the pari-mutuel or certificate system of wagering at a racing meeting held or 762conducted by a licensee shall be punished by a fine not to exceed $1,000. 763 (b) Whoever, being a licensee or an employee of a licensee, who knowingly allows a 764person under the age of 21 to participate, whether personally or through an agent, in the pari- 765mutuel or certificate system of wagering at a racing meeting held or conducted by such licensee 766shall be punished, for a first offense, by imprisonment in the house of correction for not more 767than 1 year or a fine not to exceed $10,000, or both, and in the case of a person other than a 768natural person, by a fine not to exceed $500,000 and, for a second or subsequent offense, by 769imprisonment in the house of correction for not more than 2 years or a fine not to exceed 770$50,000, or both, and in the case of a person other than a natural person, by a fine not to exceed 771$1,000,000. 37 of 77 772 (c) Whoever knowingly participates in the pari-mutuel or certificate system of wagering 773at a racing meeting held or conducted by such licensee for or on behalf of a person under 21 774years of age shall be punished by imprisonment in a house of correction for not more than 6 775months or by a fine of not more than $1,000 or both. 776 Section 19. Whoever, with intent to defraud, falsely makes, alters or forges a pari-mutuel 777betting ticket issued under the provisions of section 9, or whoever, with intent to defraud, utters 778and publishes as true a false, forged or altered pari-mutuel betting ticket issued under the 779provisions of said section 9, knowing the same to be false, forged or altered, shall be punished by 780a fine of not more than $1,000 or by imprisonment in the state prison for not more than five years 781or in a jail for not more than two years. 782 Section 20. Any person making a handbook, at any race track within the commonwealth, 783or holding or conducting a gambling pool or managing any other type of wagering or betting on 784the results of any horse or dog race, or aiding or abetting any of the foregoing types of wagering 785or betting, except as permitted by this chapter, shall for a first offence be punished by a fine of 786not more than two thousand dollars and imprisonment for not more than one year, and for a 787subsequent offence by a fine of not more than $10,000 and imprisonment for not more than two 788years. 789 Section 21. Any jockey, trainer or owner of horses participating in horse racing, if found 790guilty by the board of unfair riding or crooked tactics, may be barred or suspended from further 791participation in racing throughout the commonwealth. 792 Section 22. No person shall administer or cause to be administered any drug, internally or 793externally by injection, drench or otherwise, to any horse for the purpose of retarding, 38 of 77 794stimulating or in any other manner affecting the speed of such horse in or in connection with a 795race conducted under the provisions of this chapter. Whoever violates this section shall be 796punished by a fine of $5,000 or by imprisonment for one year, or both. 797 Section 23. No person shall influence, induce or conspire or connive with, or attempt so 798to do, any owner, trainer, jockey, agent, driver, groom or other person associated with or 799interested in or having charge of or access to any horse entered or to be entered in a race for the 800purpose of fraudulently affecting the ultimate result of such race. Whoever violates this section 801shall be punished by a fine of not less than $100 nor more than $3,000 or by imprisonment for 802not more than one year, or both. 803 Section 24. Any board member or representative of the board or any person licensed to 804conduct a horse racing meeting, including racing meetings conducted in connection with state or 805county fairs, shall have the right to refuse admission to or eject from its premises any person 806whose presence on said premises is detrimental, in the sole judgment of the board member or 807representative of the board or of said licensee, to the proper and orderly conduct of a racing 808meeting. 809 Any person who has been notified by any board member or representative of the board or 810a licensee of a racing meeting not to enter or attempt to enter its premises and who thereafter, 811without the express approval of any board member or representative of the board or the licensee, 812enters or attempts to enter such premises while a racing meeting is being conducted therein, shall 813be punished by a fine of not more than $1,000 or by imprisonment for not more than six months, 814or both. Any person so excluded by any board member or representative of the board or by a 815licensee shall have a right of appeal to the commission. The commission shall hold a hearing 39 of 77 816within ten days after any such person requests an appeal and may after such hearing by vote 817allow such person admission to such meeting. 818 Section 25. No person shall hold or conduct, or assist, aid or abet in holding or 819conducting, any horse racing meeting within the commonwealth unless such person shall comply 820with the provisions of this chapter. 821 Any person holding or conducting or any person aiding or abetting in holding or 822conducting, any horse racing meeting within the commonwealth in violation of any of the 823provisions of this chapter shall, unless some other penalty for such violation is provided in this 824chapter, be punished for each such offence by a fine of not more than $10,000 or by 825imprisonment for not more than one year, or both. 826 For the purpose of this section, each day on which any horse racing meeting shall be held 827or conducted in violation of any of the provisions of this chapter shall be considered a separate 828and distinct offence. 829 Section 26. Notwithstanding the provisions of this chapter or any general or special law 830to the contrary, no dog racing or racing meeting where any form of betting or wagering on the 831speed or ability of dogs occurs shall be conducted or permitted in this commonwealth and the 832board is hereby prohibited from accepting or approving any application or request for racing 833dates for dog racing. 834 Any person violating any provision of this section relative to dog racing shall be subject 835to a civil penalty of not less than $20,000 which shall be payable to the board and used for 836administrative purposes of the board subject to appropriation. 40 of 77 837 CHAPTER 23K ½. 838 SIMULCAST WAGERING OF RACING. 839 Section 1. As used in this chapter, the following words shall have the following meanings 840unless the context clearly requires otherwise: 841 "Advance deposit wagering”, a form of pari-mutuel wagering in which a person deposits 842money in an account with an advance deposit wagering hub operator licensed by the board to 843conduct advance deposit wagering. The money is used to pay for pari-mutuel wagers made in 844person, by telephone, or through a communication by other electronic means on horse or dog 845races held in or outside the Commonwealth. 846 "Advance deposit wagering hub operator", a simulcast and interactive wagering hub 847business operated by a racing meeting licensee or gaming licensee directly, or through an 848agreement with an authorized and licensed service provider, and licensed by the board that, 849through a subscriber-based service located in this or another state, conducts pari-mutuel 850wagering on the races that it simulcasts and on other races that it carries in its wagering menu 851and that uses a computer that registers bets and divides the total amount bet among those who 852won. 853 “Board”, the state racing board established in chapter 23K. 854 ''Breaks'', in the case of racing meetings conducted in the commonwealth by a racing 855meeting licensee, the odd cents over any multiple of 10 cents of winnings per 1 dollar wagered. 856In the case of racing meetings conducted at a host track outside the commonwealth, the amount 41 of 77 857of the breaks shall be determined in accordance with the laws of the state in which the host track 858is located. 859 ''Commission'', the Massachusetts gaming commission established in chapter 23K. 860 ''Dark days'', those days during a racing season on which live racing is not conducted. 861 ''Dark season'', that period of consecutive days between racing seasons during which a 862racing meeting licensee may not conduct live racing performances. 863 ''Full schedule of live racing performances'', the conduct of no fewer than seven live races 864at not less than four separate racing performances each full week during a racing season. 865 “Gaming licensee”, a person or entity who holds a gaming license under chapter 23K. 866 ''Guest track'', a racing meeting licensee or an out-of-state pari-mutuel wagering facility 867which accepts any simulcast wager on a live race conducted at another track which is presented 868by simulcast at its facility. 869 ''Host track'', a racing meeting licensee or an out-of-state track which conducts a live race 870which is the subject of inter-track simulcasting and simulcast wagering. 871 ''Inter-track simulcasting'', the simulcast of a live race conducted at one track to another 872track, whether either of said tracks is inside or outside the commonwealth, to permit the recipient 873of the simulcast to accept simulcast wagers on the race. 874 ''Racing card'', a full program of races on a specified day as approved by the state racing 875commission at a racing meeting licensee, a pari-mutuel licensee, or other licensed wagering 876facility located outside the commonwealth. 42 of 77 877 ''Racing day'', a day on which 1 or more racing performances are conducted. 878 ''Racing meeting licensee'', a person licensed by the board, under chapter 23K ¼ to 879conduct live horse racing meetings; provided, however, that for the purposes of this chapter the 880words racing meeting licensee shall not include licensees holding racing meetings in connection 881with a state or county fair. 882 ''Racing performance'', the conduct of at least seven live races during one day. 883 ''Racing season'', that period of consecutive days including dark days during which a 884racing meeting licensee conducts a full schedule of live racing performances pursuant to his 885operating license. 886 ''Simulcast'', the broadcast, transmission, receipt or exhibition, by any medium or manner, 887of a live race, including but not limited to, a system, network, or programmer which transmits, or 888receives, television or radio signals by wire, satellite, or otherwise. 889 ''Simulcast wager'', a wager taken at a guest track on a race conducted live at another 890track, whether inside or outside the commonwealth. 891 "Source market fee", the portion of a wager made with a licensed advance deposit 892wagering hub operator by a Massachusetts resident that is paid to the board. 893 ''Takeout'', that amount of money wagered which is not returned as prize money to the 894wagerers and which does not include the breaks as defined in section 9 of chapter 23K ¼. 895 Section 2. A racing meeting licensee, except a licensee operating within Berkshire 896county, or gaming licensee shall have the right to simulcast live races, for wagering purposes or 897otherwise, within the commonwealth except in Berkshire county and to and from pari-mutuel 43 of 77 898licensees or other licensed wagering facilities located outside the commonwealth. Such right 899shall only be exercised on any calendar day on which a racing meeting licensee conducts a racing 900performance, a dark day or during a dark season. Any violation of the provisions of this chapter 901shall be cause for the board to invoke its power to suspend or revoke a racing meeting licensee’s 902operating license under section 6 of chapter 23K ¼ or for the commission to invoke its power to 903suspend or revoke a gaming licensee’s operating license under section 3 of chapter 23K. A 904racing meeting licensee shall make simulcasts of live races conducted by such racing meeting 905licensee available to all otherwise eligible racing meeting licensees and gaming licensees who 906have successfully made application to the board or commission to simulcast, on the same terms, 907to include economic terms, and conditions. 908 All racing meeting licensees and gaming licensees, whether acting as a host or guest track 909for simulcasting purposes shall file with the board, clerk of the senate and clerk of the house of 910representatives a copy of all contracts, agreements, or conditions under which simulcast events 911are broadcast, transmitted or received which shall include provisions for takeout, commissions 912and charges. 913 No racing meeting licensee, whether acting as a guest track or a host track shall simulcast 914live races unless said licensee conducts a full schedule of live racing performances during a 915racing season except that if the board determines that a licensee cannot conduct a full schedule of 916live racing performances due to weather conditions, race track conditions, strikes, work 917stoppages, sickness or quarantine not within the control of the licensee, the board may permit the 918licensee to continue simulcasting, and if it appears that a racing meeting licensee is or will 919become unable to conduct a full schedule of live racing performances, the board shall suspend 920such right to simulcast until said licensee conducts or resumes a full schedule of live racing 44 of 77 921performances; provided, further, that no racing meeting licensee shall simulcast live races unless 922each said racing meeting licensee is licensed to conduct no fewer than a total of 60 racing 923performances. 924 All simulcasts shall comply with the provisions of the Interstate Horseracing Act of 1978, 92515 U.S.C. Sec. 3001 et seq. or other applicable federal law; provided, however, that all 926simulcasts from states whose racing associations do not require approval in compliance with the 927Interstate Horseracing Act of 1978, 15 U.S.C. Sec. 3004 (a) (1) (A), except simulcasts during the 928month of August, shall require the approval of the New England Horsemen's Benevolent and 929Protective Association, or other entity deemed appropriate by the board, prior to being simulcast 930to any racing meeting licensee within the commonwealth; provided, further, that if said 931association agrees to approve such simulcast for one racing meeting licensee, it shall approve the 932simulcast for all otherwise eligible racing meeting licensees. 933 Each racing meeting and gaming licensee shall pay a fee for those days, whether a dark 934day, a day during a dark season, or any day between periods of racing under an operating license, 935when no live races are conducted but simulcast races are shown and simulcast wagers are 936accepted. Such fee shall be determined by the board in accordance with the license fees charged 937under the provisions of chapter 23K ¼. No other daily fee shall be assessed. 938 Section 3. All wagers on simulcast races accepted by a racing meeting licensee or gaming 939licensee within the commonwealth or by a pari-mutuel licensee in another jurisdiction when such 940licensee is operating as a guest track shall be included in the pari-mutuel pool of the racing 941meeting licensee which conducts the live race, unless the board approves a different procedure. 45 of 77 942 The board shall promulgate rules as are necessary to facilitate the commingling of pari- 943mutuel pools, to ensure the proper calculations and distributions of payments and takeouts on 944such wagers and to regulate the distribution of net proceeds as provided in this chapter. 945 Section 4. The unclaimed simulcast wagers collected by the gaming licenses, the running 946horse racing meeting licensee, and the harness horse racing meeting licensee shall be deposited 947in a separate account under the control and supervision of the board for payment to the purse 948accounts of the racing meeting that generated the unclaimed wagers. 949 Section 5. (a) Each racing meeting licensee within the commonwealth acting as a guest 950track and simulcasting a live running horse race from a host track within the commonwealth 951shall pay daily from such simulcast wagers a sum equal to 0.125 per cent and the total sum of the 952breaks into the trust fund known as the Thoroughbred Horse Capital Improvements Trust Fund 953under the direction and supervision of the state racing board members. 954 Each such racing meeting licensee acting as a guest track shall return to the winning 955patrons wagering on such simulcast race all sums so deposited as an award or dividend, 956according to the acknowledged and recognized rules and methods under which such pari-mutuel 957or certificate system has been operated, less such breaks and less an amount not to exceed 19 per 958cent of the total amount so deposited by patrons wagering on the speed or ability of any one 959running horse, also known as a straight wager, and, each such licensee shall return to the winning 960patrons wagering on the speed or ability of a combination of more than one horse in a single 961pool, also known as an exotic wager, all sums so deposited as an award or dividend, less such 962breaks, and less an amount not to exceed 26 per cent of the total amount so deposited. 46 of 77 963 The licensee shall pay to the board on behalf of the commonwealth on the day following 964each day of simulcasting, a sum equal to 0.375 per cent; a sum equal to 0.5 per cent to the 965breeders association of the most recent live racing performance at the guest track for the 966purposes of promoting the respective breeding in the commonwealth pursuant to law; a sum 967equal to 5 per cent to be paid from the 19 per cent withheld and a sum of 6 per cent to be paid 968from the 26 per cent withheld to the horse owners at the host track for purses in accordance with 969the rules and established customs of conducting running horse racing meetings or, with the 970approval of the appropriate horsemen's association representing the horse owners racing at that 971meeting, for payment of administrative and horseracing operations; said percentage to be paid 972from the 19 per cent and the 26 per cent withheld, as provided in this section. 973 The sum of 4.25 per cent of the straight wagering pool and 7 per cent of the exotic 974wagering pool shall be paid to the racing meeting licensee at the host track; 8.75 per cent of the 975straight wagering pool and 11.75 per cent of the exotic wagering pool shall be retained by the 976racing meeting licensee at the guest track; provided, however, that not less than 3.5 per cent shall 977be paid to the horse owners, of the most recent live racing performance at the guest track, for 978purses or, with the approval of the appropriate horsemen's association representing the horse 979owners racing at that meeting, for payment of administrative and horseracing operations, said 980percentages to be paid from the 19 per cent and 26 per cent withheld as provided in this section. 981 (b) Each racing meeting licensee within the commonwealth acting as a guest track and 982simulcasting a live running horse race from a host track from outside the commonwealth shall 983pay daily from such simulcast wagers the sum of 0.125 per cent and the total sum of the such 984breaks into the trust fund known as the Thoroughbred Horse Capital Improvements Trust Fund 985under the direction and supervision of the state racing board members. 47 of 77 986 Each licensee shall return to the winning patrons all sums so deposited less the breaks 987and less either an amount not to exceed 19 per cent of the straight wagering pool and 26 per cent 988of the exotic wagering pool or the amount which would be paid under the laws of the jurisdiction 989exercising regulatory authority over the host track; provided, however, that, from the total of the 990percentages withheld, the sum of 0.375 per cent shall be paid daily to the board on behalf of the 991commonwealth; the sum of 0.5 per cent shall be paid daily to the breeders' association of the 992most recent live racing performance at the guest track for the purposes of promoting the 993respective breeding of the animals in the commonwealth pursuant to law; and the remaining 994percentages shall be retained by the racing meeting licensee as their commission; provided 995further, that the running horse racing meeting licensee and the appropriate horseman's 996association representing the horse owners racing at that race track shall contract between 997themselves a percentage of not less than 4 per cent and not more than 7.5 per cent of the 998remaining percentages to be paid to the horse owners. 999 Section 5A. (a) Each racing meeting licensee within the commonwealth acting as a guest 1000track and simulcasting a live harness horse race from a host track within the commonwealth shall 1001pay daily from such simulcast wagers the total sum of the breaks, and a sum equal to 1 per cent 1002of the exotic wagering pool into the trust fund known as the Standardbred Horse Capital 1003Improvements Trust Fund under the direction and supervision of the state racing board members. 1004 Each such racing meeting licensee acting as a guest track shall return to the winning 1005patrons wagering on such simulcast race all sums so deposited as an award or dividend, 1006according to the acknowledged and recognized rules and methods under which such pari-mutuel 1007or certificate system has been operated, less the such breaks and less an amount not to exceed 19 1008per cent of the total amount so deposited by patrons wagering on the speed or ability of any one 48 of 77 1009harness horse, also known as a straight wager, and each such licensee shall return to the winning 1010patrons wagering on the speed or ability of a combination of more than one horse in a single 1011pool, also known as an exotic wager, all sums so deposited as an award or dividend, less such 1012breaks and less an amount not to exceed 26 per cent of the total amount so deposited. 1013 The licensee shall pay to the board on behalf of the commonwealth on the day following 1014each day of simulcasting a sum equal to 0.375 per cent; a sum equal to 0.25 per cent to the 1015breeders association of the most recent live performance at the guest track for the purpose of 1016promoting the respective breeding of such animals in the commonwealth pursuant to law; a sum 1017equal to 5 per cent shall be paid to the horse owners for purses at the host track in accordance 1018with the rules and established customs of conducting harness horse racing meetings; a sum equal 1019to 5.875 per cent shall be paid to the racing meeting licensee at the host track; a sum equal to 7.5 1020per cent shall be retained by the racing meeting licensee at the guest track; provided, however, 1021that not less than 3.5 per cent shall be paid to the horse owners of the most recent live racing 1022performance at the guest track, for purses, said percentages to be paid from the 19 per cent 1023withheld from the straight wager as provided in this section. 1024 The licensee shall pay to the board on behalf of the commonwealth on the day following 1025each day of simulcasting a sum equal to 0.375 per cent; a sum equal to 0.75 per cent to the 1026breeders association of the most recent live racing performance at the guest track for the purpose 1027of promoting the respective breeding of such animals in the commonwealth pursuant to law; a 1028sum equal to 6 per cent to be paid to the horse owners at the host track for purses in accordance 1029with the rules and established customs of conducting harness horse racing meetings; a sum equal 1030to 6.875 per cent shall be paid to the racing meeting licensee at the host track; a sum equal to 11 1031per cent shall be retained by the racing meeting licensee at the guest track; provided, however, 49 of 77 1032that not less than 3.5 per cent shall be paid to the horse owners, of the most recent live racing 1033performance at the guest track, for purses, said percentages to be paid from the 26 per cent 1034withheld from the exotic wager pool as provided in this section. 1035 (b) Each racing meeting licensee within the commonwealth acting as a guest track and 1036simulcasting a live harness horse race from a host track from outside the commonwealth shall 1037pay daily from such simulcast wagers the total sum of such breaks into the trust fund known as 1038the Standardbred Horse Capital Improvement Trust Fund under the direction and supervision of 1039the state racing board members. 1040 Each licensee shall return to the winning patrons all sums so deposited less such breaks 1041and less either an amount not to exceed 19 per cent of the straight wagering pool and 26 per cent 1042of the exotic wagering pool or the amount which would be paid under the laws of the jurisdiction 1043exercising regulatory authority over the host track; provided, however, that, from the total of the 1044percentages withheld, the sum of 0.375 per cent shall be paid daily to the board on behalf of the 1045commonwealth; the sum of 1 per cent of the exotic wagering pool shall be paid daily to the 1046Standardbred Horse Capital Improvement Trust Fund under the direction and supervision of the 1047state racing board members; the sums of 0.25 per cent of the straight wagering pool and 0.75 per 1048cent of the exotic wagering pool shall be paid daily to the breeders' association of the most recent 1049live racing performance at the guest track for the purposes of promoting the breeding of the 1050animals in the commonwealth pursuant to law; and the remaining percentages shall be retained 1051by the racing meeting licensee as their commission; provided, however, that the harness horse 1052racing meeting licensee and the appropriate horseman's association representing the horse 1053owners racing at the race track shall contract between themselves a percentage of not less than 4 50 of 77 1054per cent and not more than 7.5 per cent of the remaining percentages to be paid to the horse 1055owners. 1056 Section 6. (a) If a new running horse racing meeting licensee should replace the existing 1057running horse meeting licensee during any point in a calendar year and a new contract is not 1058agreed upon between the new running horse meeting licensee and the horseman's association 1059before the start of the next racing season, then the last signed, executed and completed contract 1060between the previous running horse racing meeting licensee and the horseman's association shall 1061remain in effect for the racing season only or until a new contract is agreed upon. 1062 (b) If a new harness horse racing meeting licensee should replace the existing harness 1063horse meeting licensee during any point in a calendar year and a new contract between the new 1064harness horse meeting licensee and the horseman's association is not agreed upon before the start 1065of the next racing season, then the last signed, executed and completed contract between the 1066previous harness horse racing meeting licensee and the horseman's association shall remain in 1067effect for the racing season only or until a new contract is agreed upon 1068 Section 7. Notwithstanding section 2, a running horse racing meeting licensee, excluding 1069a licensee in Berkshire county, which is conducting running horse racing meetings in connection 1070with a state or county fair, may, with the permission of the board and subject to the approval of 1071the city council and mayor or board of selectmen and town meeting of a city or town where the 1072fair is located, and following a demonstration by said licensee of its ability to complete no less 1073than 50 per cent of the live races performances approved by the board, simulcast unlimited 1074thoroughbred horse races and the intrastate live races of the racing meeting licensees in the 1075commonwealth on any day if such simulcast is conducted in connection with a state or county 51 of 77 1076fair, for wagering purposes or otherwise, from pari-mutuel wagering facilities located within the 1077commonwealth except in Berkshire county; but, if the board determines that a licensee cannot 1078conduct 50 per cent of live racing performances due to weather conditions, race track conditions, 1079strikes, work stoppages, sickness or quarantine not within the control of the licensee, the board 1080may permit the licensee to continue simulcasting on that day despite the stoppage of the 1081performances for said reasons. The total number of days of simulcast at the state or county fair, 1082which is licensed by the board for live running horse racing meetings, shall not exceed the total 1083number of days the live racing licensee is licensed to operate or 15 days, whichever is less. The 1084licensee shall simulcast its live racing performances and receive a fee therefor of 11 per cent; 1085provided, however, that said simulcast shall not be considered a live in-state racing performance 1086for purposes of the fourth paragraph of section 2. 1087 The racing meeting licensees conducting running horse racing meetings in connection 1088with a state or county fair and simulcasting a live running horse race from a host track within the 1089commonwealth shall pay daily from such simulcast wagers the total sum of the breaks and a sum 1090equal to 0.125 per cent into the host track trust fund known as the Running Horse Capital 1091Improvements Trust Fund, under the direction and supervision of the state racing board 1092members. 1093 The board shall promulgate rules and regulations for the simulcast of pari-mutuel races in 1094connection with state or county fairs. 1095 Each such racing meeting licensee acting as a guest track shall return to the winning 1096patrons wagering on such simulcast race all sums so deposited as an award or dividend, 1097according to the acknowledged and recognized rules and methods under which such pari-mutuel 52 of 77 1098or certificate system has been operated, less the breaks and less an amount not to exceed 19 per 1099cent of the total amount so deposited by the patrons wagering on the speed or ability of any one 1100running horse, also known as a straight wager, and, each such licensee shall return to winning 1101patrons wagering on the speed or ability of a combination of more than one horse in a single 1102pool, also called an exotic wager, all sums so deposited as an award or dividend, less the breaks, 1103and less an amount not to exceed 26 per cent of the total amount so deposited; provided, 1104however, that a sum equal to 0.25 per cent of the total amount deposited on said exotic wagering 1105pool shall be payable to the division of fairs of the commonwealth; provided, further, that the 1106division of fairs may expend such funds without further appropriation and for such purposes as 1107authorized under the provisions of paragraph (f) of section 2 of chapter 128; and provided, 1108further, that such expenditures by the division of fairs shall not exceed $50,000 in any fiscal 1109year. 1110 The licensee shall pay to the board on behalf of the commonwealth on the day following 1111each day of simulcasting, a sum equal to 0.375 per cent; a sum equal to 0.5 per cent to the 1112breeders' association of the most recent live racing performance at the host track for the purposes 1113of promoting the breeding of such animals in the commonwealth pursuant to law; a sum equal to 11145 per cent to be paid from the 19 per cent withheld and a sum of 6 per cent to be paid from the 26 1115per cent withheld to the horse owners at the host track for the purses in accordance with the rules 1116and established customs of conducting running horse racing meetings. 1117 The sum of 4.25 per cent of the straight wagering pool and 7 per cent of the exotic 1118wagering pool shall be paid to the racing meeting licensee at the host track; and 8.75 per cent of 1119the straight wagering pool and 11.75 per cent of the exotic wagering pool shall be retained by the 1120racing meeting licensee at the guest track; provided, however, that not less than 3.5 per cent shall 53 of 77 1121be paid to the horse owners, of the most recent live racing performance at the host track, for 1122purses, said percentages to be paid from the 19 per cent and 26 per cent withheld as provided in 1123this section. 1124 All simulcasts shall comply with the provisions of the Interstate Horse Racing Act of 11251978, 15 U.S.C. Sec. 3001 et seq. or other applicable federal law; provided, however, that all 1126simulcasts from states which have racing associations that do not require approval in compliance 1127with the Interstate Horse Racing Act of 1978, 15 U.S.C. Sec. 3004 (a) (1) (A), except simulcasts 1128during the month of August, shall require the approval of the New England Horsemen's 1129Benevolent and Protective Association, or other entity deemed appropriate by the board, prior to 1130being simulcast to any racing meeting licensee within the commonwealth; provided further, that 1131if the association agrees to approve such simulcast for 1 racing meeting licensee, it shall approve 1132the simulcast for all otherwise eligible racing meeting licensees. 1133 Section 8. (a) Each gaming licensee within the commonwealth acting as a guest track and 1134simulcasting a live running or harness horse race from a host track within the commonwealth 1135shall pay daily from such simulcast wagers a sum equal to 0.125 per cent and the total sum of the 1136breaks into the trust fund of the most recent live performance at the guest track under the 1137direction and supervision of the state racing board members. 1138 Each such gaming licensee acting as a guest track shall return to the winning patrons 1139wagering on such simulcast race all sums so deposited as an award or dividend, according to the 1140acknowledged and recognized rules and methods under which such pari-mutuel or certificate 1141system has been operated, less such breaks and less an amount not to exceed 19 per cent of the 1142total amount so deposited by patrons wagering on the speed or ability of any one running horse, 54 of 77 1143also known as a straight wager, and, each such licensee shall return to the winning patrons 1144wagering on the speed or ability of a combination of more than one horse in a single pool, also 1145known as an exotic wager, all sums so deposited as an award or dividend, less such breaks, and 1146less an amount not to exceed 26 per cent of the total amount so deposited. 1147 The licensee shall pay to the board on behalf of the commonwealth on the day following 1148each day of simulcasting, a sum equal to 0.375 per cent; a sum equal to 0.5 per cent to the 1149breeders association of the most recent live racing performance at the guest track for the 1150purposes of promoting the respective breeding in the commonwealth under law; a sum equal to 5 1151per cent to be paid from the 19 per cent withheld and a sum of 6 per cent to be paid from the 26 1152per cent withheld to the horse owners at the host track for purses in accordance with the rules and 1153established customs of conducting running horse racing meetings or, with the approval of the 1154appropriate horsemen's association representing the horse owners racing at that meeting, for 1155payment of administrative and horseracing operations; said percentage to be paid from the 19 per 1156cent and the 26 per cent withheld, as provided in this section. 1157 The sum of 4.25 per cent of the straight wagering pool and 7 per cent of the exotic 1158wagering pool shall be paid to the racing meeting licensee at the host track; 8.75 per cent of the 1159straight wagering pool and 11.75 per cent of the exotic wagering pool shall be retained by the 1160gaming licensee at the guest track; provided, however, that not less than 3.5 per cent shall be 1161paid to the horse owners, of the most recent live racing performance at the guest track, for purses 1162or, with the approval of the appropriate horsemen's association representing the horse owners 1163racing at that meeting, for payment of administrative and horseracing operations, said 1164percentages to be paid from the 19 per cent and 26 per cent withheld as provided in this section. 55 of 77 1165 (b) Each gaming licensee within the commonwealth acting as a guest track and 1166simulcasting a live running or harness horse race from a host track from outside the 1167commonwealth shall pay daily from such simulcast wagers the sum of 0.125 per cent and the 1168total sum of the such breaks into the trust fund of the most recent live performance at the guest 1169track under the direction and supervision of the state racing board members. 1170 Each licensee shall return to the winning patrons all sums so deposited less the breaks 1171and less either an amount not to exceed 19 per cent of the straight wagering pool and 26 per cent 1172of the exotic wagering pool or the amount which would be paid under the laws of the jurisdiction 1173exercising regulatory authority over the host track; provided, however, that, from the total of the 1174percentages withheld, the sum of 0.375 per cent shall be paid daily to the board on behalf of the 1175commonwealth; the sum of 0.5 per cent shall be paid daily to the breeders' association of the 1176most recent live racing performance at the guest track for the purposes of promoting the 1177respective breeding of the animals in the commonwealth under law; and the remaining 1178percentages shall be retained by the gaming licensee as their commission; provided further, that 1179the gaming licensee and the appropriate horseman's association representing the horse owners 1180racing at the host race track shall contract between themselves a percentage of not less than 4 per 1181cent and not more than 7.5 per cent of the remaining percentages to be paid to the horse owners. 1182 Section 9. (a) Each racing meeting licensee within the commonwealth acting as a guest 1183track and simulcasting a live greyhound race from a host track from outside the commonwealth 1184shall return to the winning patrons all sums so deposited less such breaks and less either an 1185amount not to exceed 19 per cent of the total amount so deposited or an amount which would be 1186paid under the laws of the jurisdiction exercising regulatory authority over such host track; 1187provided, however, that a sum equal to 0.375 per cent of the total amount wagered shall be paid 56 of 77 1188daily to the board on behalf of the commonwealth; a sum equal to 0.5 per cent of the total 1189amount wagered shall be paid to the Capital Improvement Trust Fund of the racing meeting 1190licensee acting as a guest track under the direction and supervision of the state racing board 1191members; and the remaining percentages shall be retained by the racing meeting licensee as their 1192commission; provided, however, that not less than 3.5 per cent shall be paid to the purses of the 1193racing meeting licensee acting as a guest track, and the remaining portion shall be applied to the 1194expenses as the racing meeting licensee is required to pay under contracts negotiated with the 1195host track. 1196 (b) Each gaming licensee within the commonwealth acting as a guest track and 1197simulcasting a live greyhound race from a host track from outside the commonwealth shall return 1198to the winning patrons all sums so deposited less such breaks and less either an amount not to 1199exceed 19 per cent of the total amount so deposited or an amount which would be paid under the 1200laws of the jurisdiction exercising regulatory authority over such host track; provided, however, 1201that a sum equal to 0.375 per cent of the total amount wagered shall be paid daily to the board on 1202behalf of the commonwealth; a sum equal to 0.5 per cent of the total amount wagered shall be 1203paid to the Race Horse Development Fund under the direction and supervision of the board 1204members; and the remaining percentages shall be retained by the gaming licensee as their 1205commission; provided, however, that not less than 3.5 per cent shall be paid to for school aid to 1206cities, towns, regional school districts, counties maintaining agricultural schools, independent 1207vocational schools and independent agricultural and technical schools to be distributed under 1208chapters 70 and 76 of the General Laws and section 3, and the remaining portion shall be applied 1209to the expenses as the gaming licensee is required to pay under contracts negotiated with the host 1210track. 57 of 77 1211 Section 10. (a) The board may license an advance deposit wagering hub operator to 1212conduct advance deposit wagering. The board shall impose an initial non-refundable application 1213fee which of $2,500 which shall be paid by each applicant for such license or renewal thereof. 1214Advance deposit wagering is prohibited and illegal unless it is conducted through an advance 1215deposit wagering hub operator licensed by the board. 1216 (b) A licensed advance deposit wagering hub operator: 1217 (1) may only accept advance deposit wagering money for races conducted in compliance 1218with the interstate horse racing act or by a licensed race meet; 1219 (2) may not accept a wager in an amount in excess of the money on deposit in the account 1220of a person who wishes to make the wager; 1221 (3) may not rebate any money to a bettor based on a wager made under this chapter or 1222chapter 23K ¼; 1223 (4) may not allow a person under 18 years of age to open an account with the advance 1224deposit wagering hub operator, make a wager from an account, or otherwise have access to an 1225account; 1226 (5) shall include a statement in any of its advertising for advance deposit wagering that a 1227person under 18 years of age is not allowed to participate; 1228 (6) shall verify the identification, residence, and age of each person seeking to open an 1229advance deposit wagering account which shall not be assignable or otherwise transferable; 58 of 77 1230 (7) shall utilize personal identification numbers and such other technologies as the board 1231may specify to assure that only the account holder has access to the advance deposit wagering 1232account; 1233 (8) may require a minimum balance in an account, which the board shall prescribe by 1234regulation; 1235 (9) shall utilize appropriate totalizator and accounting controls to safeguard the 1236transmission of wagering data, and keep a system of accounts to maintain a separate record of 1237revenues and an accounting of costs relative to the operation of the hub operator; 1238 (10) shall agree to pay to the board a source market fee in an amount equal to a 1239percentage of the total amount wagered by Massachusetts residents from their accounts with the 1240advance deposit wagering hub operator; and 1241 (11) shall agree to a payment schedule of source market fees on or before the fifth 1242business day of each month covering payments due for the period of the preceding calendar 1243month. 1244 (c) A licensed advance deposit wagering hub operator shall pay a source market fee equal 1245to 5 per cent on each wager accepted from Massachusetts residents. Of the amounts collected 1246under this subsection: 1247 (1) 4 per cent shall be payable to for school aid to cities, towns, regional school districts, 1248counties maintaining agricultural schools, independent vocational schools and independent 1249agricultural and technical schools to be distributed under chapters 70 and 76 of the General Laws 1250and section 3; 59 of 77 1251 (2) 6 per cent shall be payable to the Race Horse Development Fund; 1252 (3) 10 per cent shall be payable to the General Fund; and 1253 (4) 80 per cent shall be payable to live race meet licensees based on each live race meet 1254licensee's percentage of the total annual on-track pari-mutuel handle during the previous live race 1255season. Prior to the beginning of each year's live race season, the correct percentage must be 1256distributed by the board to each live race meet licensee to be used for race purses or other 1257purposes that the board considers appropriate for the good of the horseracing industry; provided, 1258however, that a minimum of 20 per cent shall be dedicated to race purses. 1259 (d) Wagers placed with the operators shall result in the combination of all wagers placed 1260with such operators with the wagering pools at the host track so as to produce common pari- 1261mutuel betting pools for the calculation of odds and the determination of payouts from such 1262pools, which payout shall be the same for all winning tickets, irrespective of whether a wager is 1263placed at a host track or at an advance deposit wagering hub operator in compliance with this 1264chapter and chapter 23K ¼. 1265 (e) Each licensee shall, with respect to each betting account established with such 1266licensee, make tax withholdings and provide tax and revenue reporting, all as otherwise required 1267for wagers placed at a racing meeting licensee. 1268 (f) The balance in any betting account maintained by a person licensed under this section, 1269which account has been inactive for a period of 3 years, shall be presumed to be abandoned and 1270paid to the state treasurer under the provisions of chapter 200A. 60 of 77 1271 (g) The licensee may refuse to establish or maintain a betting account and may refuse 1272deposits to any such account if the licensee deems such refusal appropriate; provided, however, 1273that such licensee shall not establish or maintain a betting account for any person who has been 1274banned or prohibited from entering the premises of a racing meeting licensee or gaming 1275establishment in the commonwealth. The licensee may suspend or close any account at any time; 1276provided, however, that the licensee shall return to the account holder any funds that are on 1277deposit in the account at the time it is closed. 1278 (h) No race shall be telecast live to a public location outside of a guest track if used in 1279conjunction with the operation of the account wagering system in a manner that creates an off- 1280track betting center. This section prohibits any contract or other agreement of a person licensed 1281to conduct a running horse or harness horse racing meeting that facilitates or encourages off- 1282track betting as well as any arrangement involving dedicated or direct telephone lines or other 1283electronic connections between the licensee's facility and a public location outside the area of the 1284licensee's facility at which live telecasts of races are presented. This section shall not prohibit 1285television display of races at public locations when account wagering is incidental to the 1286presentation of such races and the telecasting does not occur in conjunction with the operation of 1287an off-track betting center within the commonwealth. 1288 (i) Betting accounts authorized by this section shall be established, maintained and 1289operated in accordance with rules and regulations promulgated by the board. The board shall 1290conduct annual audits of each advance deposit wagering hub operator within 90 days of the end 1291of each calendar year with respect to all monies attributable to account wagers. The board shall 1292report the findings of each such audit within 30 days of the completion of the audit to the house 1293and senate chairs of the joint committee on consumer protection and professional licensure. 61 of 77 1294 (j) A licensee failing to comply with this section shall be punished by a fine of not more 1295than $10,000 or by imprisonment in the house of correction for not more than two years, or both. 1296A licensee failing to comply with the requirements of the section shall also be subject to 1297revocation of their license and civil penalties imposed by the board of not more than $10,000 if, 1298after notice and a hearing, the board finds that a violation has occurred. 1299 Section 11. (a) The board shall have full power to promulgate rules, regulations, and 1300conditions under which all running horse, harness horse, or greyhound racing simulcasts and 1301simulcast and advance deposit wagers shall be conducted in the commonwealth. 1302 (b) Notwithstanding the provisions of this section, the board may adopt emergency rules 1303or regulations to protect the health or safety of the public, participants, or animals, or to insure 1304the integrity of racing and pari-mutuel and advance deposit wagering; provided, however, that no 1305emergency rule or regulation shall attempt to regulate the dates, manner of wagering, or 1306economic terms or conditions of racing within the commonwealth; provided, further, that such 1307emergency rules and regulations shall expire within 90 days of their promulgation. 1308 SECTION 14. Section 2 of chapter 128 of the General Laws, as so appearing, is hereby 1309amended by striking out subsection (g) and inserting in place thereof the following subsection:- 1310 (g) Promote, develop and encourage through the Massachusetts Thoroughbred Breeding 1311Program, the breeding of thoroughbred horses in the commonwealth by offering cash prizes to 1312breeders of such horses in the following manner: in consultation with the Massachusetts Gaming 1313Commission, the Massachusetts Thoroughbred Breeders Association, Inc. shall, from time to 1314time, after discussion with the chair of the state racing board, set the percentages for: (i) bonuses 1315to be awarded to the breeder of a Massachusetts-bred thoroughbred horse of the purse money 62 of 77 1316won by such thoroughbred horse in a pari-mutuel running horse race if such horse finishes first, 1317second, third, fourth or fifth; (ii) incentives to the owner of the stallion, at the time of service to 1318the dam of such purse winner; provided, however, that (A) the stallion shall have been registered 1319by February 1 and stood the entire breeding season for that year in the commonwealth; (B) the 1320horse shall have finished first, second, third, fourth or fifth; and (C) the stallion shall be 1321registered with the Massachusetts Thoroughbred Breeders Association, Inc. and shall not be 1322registered to stand in any other state that year; and (iii) incentives for the purse monies won by 1323such thoroughbred horse in any unrestricted or restricted pari-mutuel running horse race held 1324within or outside the commonwealth to the owner of a Massachusetts-bred or accredited horse if 1325such horse finishes first, second, third, fourth or fifth. 1326 The Massachusetts Thoroughbred Breeders Association, Inc. may pay incentives for 1327races to be limited to Massachusetts-bred and accredited thoroughbred race horses from the 1328Massachusetts thoroughbred breeding program at licensed pari-mutuel race meetings authorized 1329by the state racing board and after discussion with the chair of said board, and to pay cash 1330incentives to encourage breeding in Massachusetts. Such races may be betting or non-betting 1331races and may or may not be scheduled races by the licensee conducting the racing meeting. 1332Purse monies paid by the association under this section may be in such amounts as the 1333association shall determine and may be the sole cash purse for such races or may be 1334supplemental to the cash purses established by the licensee; provided, however, that such 1335discretion shall include the discretion to set an overall cap on awards earned. 1336 No person shall be eligible for the prizes provided herein unless the following standards 1337are met: 63 of 77 1338 (i)(1) The foal of a thoroughbred mare that drops such foal in the commonwealth and is 1339bred back to a Massachusetts-registered stallion; or (2) the foal of a thoroughbred mare who 1340resides in the commonwealth continuously for at least 90 days, including foaling and foals in the 1341commonwealth, shall be a Massachusetts-bred; or 1342 (ii) Any foal that is raised in the commonwealth for 3 months continuously prior to 1343December 31 of its two-year old year shall be a Massachusetts-accredited horse; and 1344 (iii) Each thoroughbred foal dropped or raised in the commonwealth shall be registered 1345with the Jockey Club, the Massachusetts Gaming Commission, and the Massachusetts 1346Thoroughbred Breeders Association, Inc.; and 1347 (iv) Prior to the first day of September of each year, each person standing a thoroughbred 1348stallion in the commonwealth at either private or public service shall file with the Massachusetts 1349Thoroughbred Breeders Association, Inc.: (A) a list of all thoroughbred mares bred to such 1350stallion in that year; and (B) a verified statement representing that said stallion stood the entire 1351breeding season in the commonwealth. 1352 A Massachusetts-accredited thoroughbred shall be eligible for any Massachusetts bred 1353race, except for Massachusetts restricted stakes races. For Massachusetts bred stake races, 1354Massachusetts-accredited horses may enter to fill the race after all Massachusetts-bred horses 1355have already been entered in the race. A full race shall be determined by Massachusetts 1356Thoroughbred Breeders Association, Inc. and the hosting track for the race. 1357 Prior to the first day of September annually, each person raising a weanling or yearling in 1358the commonwealth for six months prior to December 31 of the horse’s two-year old year shall 64 of 77 1359file with the Massachusetts Thoroughbred Breeders Association, Inc. a verified statement that it 1360is raising the horse in the commonwealth and the location of the horse. 1361 The Massachusetts Thoroughbred Breeders Association, Inc. may pay foaling bonuses to 1362the owner of any mare that foals within the commonwealth. To be eligible for such bonus, prior 1363to foaling, the owner of such mare shall file with the Massachusetts Thoroughbred Breeders 1364Association, Inc. a verified statement that the mare is in foal, the expected due date and the 1365location of the mare. 1366 The Massachusetts Thoroughbred Breeders Association, Inc. may expend up to 12 per 1367cent of the amount received each fiscal year for the program for advertising, marketing, 1368promotion, and administration of the thoroughbred breeding program in the commonwealth. 1369 The state auditor shall twice annually audit the books of the Massachusetts Thoroughbred 1370Breeders Association Inc., to ensure compliance with this section. 1371 SECTION 15. Said section 2 of said chapter 128 of the General Laws, as so appearing, is 1372hereby further amended by striking out subsection (j) and inserting in place thereof the following 1373subsection:- 1374 (j) Promote, develop and encourage, through the Massachusetts Standardbred Breeding 1375Program, the breeding of standardbred horses in the commonwealth by offering cash prizes to 1376breeders of such horses. The representative organization of standardbred breeders and owners 1377approved by the state racing board shall, from time to time in consultation with the chair of the 1378racing board and the commissioner of the department of food and agriculture, set the percentages 1379for purses to be awarded to the breeder of a Massachusetts standardbred horse. 65 of 77 1380 The representative organization of standardbred breeders and owners approved by the 1381state racing commission may pay cash purses and stallion awards for stakes races limited to 1382Massachusetts bred standardbred race horses and qualified Massachusetts stallions from the 1383Massachusetts standardbred breeding program at licensed pari-mutuel racing meetings 1384authorized by the state racing board. Such races may be betting or non-betting races and may or 1385may not be scheduled races by the licensee conducting the racing meeting. All races for the 1386standardbred breeding program shall be held at a licensed pari-mutuel facility. Purse monies and 1387stallion awards paid by the representative organization of standardbred breeders and owners 1388approved by the state racing commission may be paid in such amounts as the representative 1389organization shall determine and may be either the sole cash purse for such races or may be 1390supplemental to the cash purses established by the licensee of the pari-mutuel facility. 1391 The standardbred horses eligible to participate in the purses provided herein shall be 1392limited to those of racing ages 2 and 3 and shall have met the following requirements: 1393 (1) the qualifying standardbred horses shall have been sired by a Massachusetts registered 1394stallion on file with the department of food and agriculture; provided, however, that the stallion 1395shall have stood the entire breeding season of February 1 to July 15, inclusive, in the 1396commonwealth in the year any such eligible foal was conceived; or 1397 (2) the foal of a standardbred mare that drops the foal in the commonwealth and is bred 1398back to a Massachusetts registered stallion; or the foal of a standardbred mare that resides in the 1399commonwealth from December 1 of the year prior to foaling and continues such residence until 1400foaling and foals in the commonwealth; 66 of 77 1401 (3) in either the case of subparagraph (1) or (2), each standardbred foal dropped in the 1402commonwealth shall be registered with the United States Trotting Association and the 1403department of food and agriculture. 1404 Prior to October 1 of each year, each breeder standing a standardbred stallion in the 1405commonwealth at either private or public service shall file with the department of food and 1406agriculture a list of all standardbred mares bred to such stallion in that year and a verified 1407statement representing that the stallion stood the entire breeding season in the commonwealth. 1408 The representative organization may expend up to 8 per cent of the amount received each 1409fiscal year for the program for advertising, marketing, promotion and administration of the 1410standardbred breeding program in the commonwealth. 1411 The state auditor shall annually audit the books of the qualified organization to ensure 1412compliance with this subsection. 1413 SECTION 16. Section 17A of chapter 271 of the General Laws, as amended by section 141418 of chapter 173 of the acts of 2022,, is hereby further amended by striking out the words 1415“section 5C of chapter 128A”, and inserting in place thereof the following words:- section 10 of 1416chapter 23K ½. 1417 SECTION 16A. The first paragraph of section 12A of chapter 494 of the acts of 1978 is 1418hereby amended by striking out the words “and until July 31, 2023”, inserted by section 1 of 1419chapter 128 of the acts of 2022, and inserting in place thereof the following words:- and until 1420July 31, 2024. 67 of 77 1421 SECTION 16B. The first paragraph of section 12A of chapter 494 of the acts of 1978 is 1422hereby amended by striking out the words “and until July 31, 2023”, inserted by section 1 of 1423chapter 128 of the acts of 2022, and inserting in place thereof the following words:- and until 1424July 31, 2024. 1425 SECTION 17. Section 12A of chapter 494 of the acts of 1978 is hereby repealed. 1426 SECTION 17A. The introductory paragraph of section 13 of said chapter 494 is hereby 1427amended by striking out the words “and until July 31, 2023”, inserted by section 3 of said 1428chapter 128, and inserting in place thereof the following words:- and until July 31, 2024. 1429 SECTION 18. Section 13 of said chapter 494 of the acts of 1978 is hereby repealed. 1430 SECTION 18A. Section 15 of said chapter 494 is hereby amended by striking out the 1431words “and until July 31, 2023”, inserted by section 4 of said chapter 128, and inserting in place 1432thereof the following words:- and until July 31, 2024. 1433 SECTION 19. Section 15 of said chapter 494 of the acts of 1978 is hereby repealed. 1434 SECTION 19A. The first paragraph of section 9 of chapter 277 of the acts of 1986 is 1435hereby amended by striking out the words “and until July 31, 2023”, inserted by section 5 of said 1436chapter 128, and inserting in place thereof the following words:- and until July 31, 2024. 1437 SECTION 20. Section 9 of chapter 277 of the acts of 1986 is hereby repealed. 1438 SECTION 20A. The first sentence of the first paragraph of section 3 of chapter 114 of the 1439acts of 1991 is hereby amended by striking out the words “and until July 31, 2023”, inserted by 1440section 6 of said chapter 128, and inserting in place thereof the following words:- and until July 144131, 2024. 68 of 77 1442 SECTION 20B. The last paragraph of said section 3 of said chapter 114 is hereby 1443amended by striking out the words “July 31, 2023”, inserted by section 7 of said chapter 128, and 1444inserting in place thereof the following words:- July 31, 2024. 1445 SECTION 20C. The first paragraph of section 4 of said chapter 114 is hereby amended 1446by striking out the words “and until July 31, 2023”, inserted by section 8 of said chapter 128, and 1447inserting in place thereof the following words:- and until July 31, 2024. 1448 SECTION 20D. The last paragraph of said section 4 of said chapter 114 is hereby 1449amended by striking out the words “July 31, 2023”, inserted by section 9 of said chapter 128, and 1450inserting in place thereof the following words:- July 31, 2024. 1451 SECTION 20E. The first paragraph of section 5 of said chapter 114 is hereby amended 1452by striking out the words “and until July 31, 2023”, inserted by section 10 of said chapter 128, 1453and inserting in place thereof the following words:- and until July 31, 2024. 1454 SECTION 21. Sections 3 through 5, inclusive, of chapter 114 of the actions of 1991 are 1455hereby repealed. 1456 SECTION 21A. Section 45 of chapter 139 of the acts of 2001 is hereby amended by 1457striking out the words “July 31, 2023”, inserted by section 11 of said chapter 128, and inserting 1458in place thereof the following words:- July 31, 2024. 1459 SECTION 21B. Section 20 of chapter 449 of the acts of 2006 is hereby amended by 1460striking out the words “July 31, 2023”, inserted by section 12 of said chapter 128, and inserting 1461in place thereof the following words:- July 31, 2024. 69 of 77 1462 SECTION 21C. Section 92 of chapter 194 of the acts of 2011 is hereby amended by 1463striking out the words “July 31, 2023”, inserted by section 13 of said chapter 128, and inserting 1464in place thereof the following words:- July 31, 2024. 1465 SECTION 21D. Section 112 of said chapter 194 is hereby amended by striking out the 1466words “July 31, 2023”, inserted by section 14 of said chapter 128, and inserting in place thereof 1467the following words:- July 31, 2024. 1468 SECTION 22. Section 92 of chapter 194 of the acts of 2011 is hereby repealed. 1469 SECTION 22A. Section 74 of chapter 10 of the acts of 2015 is hereby amended by 1470striking out the words “July 31, 2023”, inserted by section 15 of said chapter 128, and inserting 1471in place thereof the following words:- July 31, 2024. 1472 SECTION 23. Section 17 of chapter 128 of the acts of 2022 is hereby repealed. 1473 SECTION 24. (a) Notwithstanding the live racing takeout structure under subsection (c) 1474of section 9 of chapter 23K ¼ of the General Laws or the simulcast racing takeout structures 1475under sections 5, 5A and 9 of chapter 23K ½, for not more than 5 years, a new running race 1476horse meeting licensee conducting a running horse racing meeting shall return to the winning 1477patrons wagering on the speed or ability of any one running horse in a race or races all sums so 1478deposited as an award or dividend, according to the acknowledged and recognized rules and 1479methods under which such pari-mutuel or certificate system has been operated, less the breaks 1480and less an amount not to exceed 19 per cent of the total amount so deposited by patrons 1481wagering on the speed or ability of any one running horse; and each such licensee shall return to 1482the winning patrons wagering on the speed or ability of a combination of more than one horse in 1483a single pool, also known as an exotic wager, all sums so deposited as an award or dividend, 70 of 77 1484according to the acknowledged and recognized rules and methods under which such pari-mutuel 1485or certificate system has been operated, less the breaks and less an amount not to exceed 26 per 1486cent of the total amount deposited. Such licensee shall: 1487 (1) pay to the board on the day following each day of such running horse racing meeting 1488a sum equal to 0.75 per cent of the total amount deposited on the preceding day by patrons so 1489wagering at the meeting, the percentage to be paid from the 19 per cent or 26 per cent withheld, 1490as provided in this section, from the total amount wagered; 1491 (2) pay to the Massachusetts Thoroughbred Breeders Association, Inc. on the day 1492following each day of such running horse racing meeting a sum equal to 1 per cent of the total 1493amount deposited by the patrons, less the breaks, and taken from the 19 per cent withheld and 1494from the 26 per cent withheld from exotic wagers, the monies to be used for the purposes of 1495subsection (g) of section 2 of chapter 128; 1496 (3) allocate from the total amount deposited daily by the patrons wagering at the meeting 1497a sum equal to 8.5 per cent from the 19 per cent withheld and a sum equal to 9.5 per cent from 1498the 26 per cent withheld from the exotic wagers to be used solely for the payment of purses to 1499the horse owners in accordance with the rules and established customs of conducting running 1500horse racing meetings and, with the approval of the appropriate horsemen's association 1501representing the horse owners racing at that meeting, for payment of administrative and 1502horseracing operations, and the monies shall be in addition to monies deposited into a separate 1503purse account as simulcast premiums received pursuant to section 2 of chapter 23K ½; 1504 (4) pay to Tufts University School of Veterinary Medicine on the day following each day 1505of such running horse racing meeting a sum equal to 0.5 per cent of the total amount deposited 71 of 77 1506by the patrons, less the breaks, from the 26 per cent withheld from exotic wagers, to be used for 1507equine research scholarships and loans. 1508 Each such licensee may retain as its commission on the total of all sums so deposited, a 1509sum not exceeding the balance of the 19 or 26 per cent withheld as provided in this section from 1510the total amounts wagered less the amounts required to be paid under clauses (1) to (6), 1511inclusive. 1512 (b) Each such licensee acting as a guest track and simulcasting a live running or harness 1513horse race from a host track within the commonwealth shall pay daily from such simulcast 1514wagers a sum equal to 0.125 per cent and the total sum of the breaks into the trust fund of the 1515most recent live performance at the guest track under the direction and supervision of the state 1516racing board members. 1517 Each such licensee acting as a guest track shall return to the winning patrons wagering on 1518such simulcast race all sums so deposited as an award or dividend, according to the 1519acknowledged and recognized rules and methods under which such pari-mutuel or certificate 1520system has been operated, less such breaks and less an amount not to exceed 19 per cent of the 1521total amount so deposited by patrons wagering on the speed or ability of any one running horse, 1522also known as a straight wager, and, each such licensee shall return to the winning patrons 1523wagering on the speed or ability of a combination of more than one horse in a single pool, also 1524known as an exotic wager, all sums so deposited as an award or dividend, less such breaks, and 1525less an amount not to exceed 26 per cent of the total amount so deposited. 1526 The licensee shall pay to the board on behalf of the commonwealth on the day following 1527each day of simulcasting, a sum equal to 0.375 per cent; a sum equal to 0.5 per cent to the 72 of 77 1528breeders association of the most recent live racing performance at the guest track for the 1529purposes of promoting the respective breeding in the commonwealth under law; a sum equal to 5 1530per cent to be paid from the 19 per cent withheld and a sum of 6 per cent to be paid from the 26 1531per cent withheld to the horse owners at the host track for purses in accordance with the rules and 1532established customs of conducting running horse racing meetings or, with the approval of the 1533appropriate horsemen's association representing the horse owners racing at that meeting, for 1534payment of administrative and horseracing operations; said percentage to be paid from the 19 per 1535cent and the 26 per cent withheld, as provided in this section. 1536 The sum of 4.25 per cent of the straight wagering pool and 7 per cent of the exotic 1537wagering pool shall be paid to the racing meeting licensee at the host track; 8.75 per cent of the 1538straight wagering pool and 11.75 per cent of the exotic wagering pool shall be retained by the 1539licensee at the guest track; provided, however, that not less than 3.5 per cent shall be paid to the 1540horse owners, of the most recent live racing performance at the guest track, for purses or, with 1541the approval of the appropriate horsemen's association representing the horse owners racing at 1542that meeting, for payment of administrative and horseracing operations, said percentages to be 1543paid from the 19 per cent and 26 per cent withheld as provided in this section. 1544 (c) Each such licensee acting as a guest track and simulcasting a live running or harness 1545horse race from a host track from outside the commonwealth shall pay daily from such simulcast 1546wagers the sum of 0.125 per cent and the total sum of the such breaks into the trust fund of the 1547most recent live performance at the guest track under the direction and supervision of the state 1548racing board members. 73 of 77 1549 Each licensee shall return to the winning patrons all sums so deposited less the breaks 1550and less either an amount not to exceed 19 per cent of the straight wagering pool and 26 per cent 1551of the exotic wagering pool or the amount which would be paid under the laws of the jurisdiction 1552exercising regulatory authority over the host track; provided, however, that, from the total of the 1553percentages withheld, the sum of 0.375 per cent shall be paid daily to the board on behalf of the 1554commonwealth; the sum of 0.5 per cent shall be paid daily to the breeders' association of the 1555most recent live racing performance at the guest track for the purposes of promoting the 1556respective breeding of the animals in the commonwealth under law; and the remaining 1557percentages shall be retained by the licensee as their commission. 1558 (d) Each such licensee acting as a guest track and simulcasting a live greyhound race 1559from a host track from outside the commonwealth shall return to the winning patrons all sums so 1560deposited less such breaks and less either an amount not to exceed 19 per cent of the total 1561amount so deposited or an amount which would be paid under the laws of the jurisdiction 1562exercising regulatory authority over such host track; provided, however, that a sum equal to 15630.375 per cent of the total amount wagered shall be paid daily to the board on behalf of the 1564commonwealth; and the remaining percentages shall be retained by the racing meeting licensee 1565as their commission; provided, however, that not less than 3.5 per cent shall be paid to the purses 1566of the racing meeting licensee acting as a guest track, and the remaining portion shall be applied 1567to the expenses as the racing meeting licensee is required to pay under contracts negotiated with 1568the host track. 1569 SECTION 25. (a) Notwithstanding any general or special law to the contrary, the harness 1570race horse meeting licensee located in Norfolk county licensed to conduct live racing under 1571chapter 128A and simulcast wagering under chapter 128C in calendar year 2020 shall not be 74 of 77 1572subject to the provisions of section 5 of chapter 23K ¼ except for at any time that said licensee 1573ceases live racing operations at the licensee’s location. 1574 (b) The state racing board shall convert said licensee’s live racing license issued under 1575chapter 128A to a live racing license issued under chapter 23K ¼, and shall convert said 1576licensee’s simulcast wagering license issued under chapter 128C to a simulcast wagering license 1577issued under chapter 23K ½ for the remaining duration of time as such chapter 128A and 128C 1578licenses, respectively. 1579 SECTION 26. (a) Notwithstanding any general or special law to the contrary, as of the 1580effective date of this section, no person shall be required to pay any money into the Running 1581Horse Capital Improvements Trust Fund and the Running Horse Promotional Trust Fund, each 1582established pursuant to section 11 of chapter 494 of the acts of 1978, or into the Harness Horse 1583Capital Improvement Trust Fund and the Harness Horse Promotional Trust Fund, each 1584established pursuant to section 12 of said chapter 494, or into the Greyhound Capital 1585Improvements Trust Fund and the Greyhound Promotional Trust Fund, each established pursuant 1586to section 12A of said chapter 494, all of which funds are referred to in this section as the 1587“Racing Trust Funds.” Any funds that were previously paid into the Racing Trust Funds and had 1588not been expended prior to the effective date of this section shall be paid by the state racing 1589board, without condition or restriction and within 30 days of the effectiveness of this section, to 1590the Race Horse Development Fund established under section 60 of chapter 23K. 1591 (b) Once all funds in a Racing Trust Fund shall have been so paid, the Racing Trust 1592Funds shall be dissolved. 1593 (There is no SECTION 27) 75 of 77 1594 SECTION 28. Notwithstanding chapter 23K ¼ of the General Laws and sections 1, 2 and 15957 of chapter 23K ½ of the General Laws or any other general or special law, rule or regulation to 1596the contrary, the greyhound meeting licensee located in Bristol county and the greyhound 1597meeting licensee located in Suffolk county licensed to conduct live racing under chapter 128A 1598and simulcast wagering under chapter 128C in calendar year 2009, may be authorized by the 1599state racing board to conduct simulcast wagering under said chapter 23K ½ until July 31, 2025; 1600provided, however, that the days between January 1 and December 31 of each year shall be dark 1601days under said chapter 23K ½ and the licensees shall continue to be precluded from conducting 1602live racing during that period and as provided in chapter 388 of the acts of 2008; provided 1603further, that simulcasts shall be subject to section 7 of chapter 23K; provided further, that all 1604simulcasts shall comply with the Interstate Horse Racing Act of 1978, 15 U.S.C. Sec. 3001 et 1605seq. or other applicable federal law; provided further, that all simulcasts from states which have 1606racing associations that do not require approval in compliance with the Interstate Horse Racing 1607Act of 1978, 15 U.S.C. Sec. 3004 (a) (1) (A), except simulcasts during the month of August, 1608shall require the approval of the New England Horsemen's Benevolent & Protective Association, 1609or other entity deemed appropriate by the board, prior to being simulcast to a racing meeting 1610licensee within the commonwealth; and provided further, that if the association agrees to approve 1611the simulcast for 1 racing meeting licensee, it shall approve the simulcast for all otherwise 1612eligible racing meeting licensees. 1613 SECTION 28A. Notwithstanding section 2 of chapter 128A of the General Laws and 1614sections 1, 2, 2A and 4 of chapter 128C of the General Laws or any other general or special law 1615to the contrary, the running race horse meeting licensee located in Suffolk county licensed to 1616conduct live racing pursuant to said chapter 128A and simulcast wagering pursuant to said 76 of 77 1617chapter 128C in calendar year 2023 shall remain licensed as a running horse racing meeting 1618licensee until July 31, 2024 and shall remain authorized to conduct simulcast wagering pursuant 1619to said chapter 128C until July 31, 2024; provided, however, that the days between the effective 1620date of this act and July 31, 2023 shall be dark days pursuant to said chapter 128C and the 1621licensee shall be precluded from conducting live racing during that period unless it applies for 1622and is granted a supplemental live racing license pursuant to said chapter 128A; provided further, 1623that all simulcasts shall comply with the Interstate Horse Racing Act of 1978, 15 U.S.C. 3001 et 1624seq. or other applicable federal law; provided further, that all simulcasts from states which have 1625racing associations that do not require approval in compliance with the Interstate Horse Racing 1626Act of 1978, 15 U.S.C. 3004(a)(1)(A) shall require the approval of the New England Horsemen’s 1627Benevolent & Protective Association prior to being simulcast to a racing meeting licensee within 1628the commonwealth; and provided further, that if the association agrees to approve the simulcast 1629for 1 racing meeting licensee, it shall approve the simulcast for all otherwise eligible racing 1630meeting licensees. 1631 SECTION 29. Section 14 is hereby repealed. 1632 SECTION 30. Section 29 shall take effect 6 years after the issuance of a new running 1633race horse license by the state racing board. 1634 SECTION 31. Notwithstanding any general or special law or rule or regulation to the 1635contrary, any general and special laws outside of this Act, licenses, authorizations or approvals 1636relative to horse or dog racing, simulcasting or wagering thereof in effect on or before July 31, 16372024 are hereby repealed after affirmative review by the state racing board. 77 of 77 1638 SECTION 31A. Sections 16A, 16B, 17A, 18A, 19A, 20A, 20B, 20C, 20D, 20E, 21A, 163921B, 21C, 21D, 22A, 23 and 28A shall take effect on July 30, 2023. 1640 SECTION 32. Except as otherwise specified, this act shall take effect on August 1, 2024.