MD
Maryland Senate Bill SB792

Maryland 2022 Regular Session

Maryland Senate Bill SB792 Compare Versions

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1- LAWRENCE J. HOGAN, JR., Governor Ch. 256
21
3-– 1 –
4-Chapter 256
5-(Senate Bill 792)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ *sb0792*
89
9-Horse Racing – Satellite Simulcast Betting Facilities and Permit Holders –
10-Alterations
10+SENATE BILL 792
11+C7, C6 2lr2540
12+ CF HB 942
13+By: Senator Guzzone
14+Introduced and read first time: February 7, 2022
15+Assigned to: Budget and Taxation
16+Committee Report: Favorable
17+Senate action: Adopted
18+Read second time: March 4, 2022
1119
12-FOR the purpose of providing that certain zoning approval is not required to use a facility
13-for satellite simulcast betting if the facility is properly zoned for certain gaming
14-activities; authorizing the State Racing Commission to waive review of an applicant
15-for a satellite simulcast betting permit if the applicant is licensed to conduct certain
16-gaming activities; repealing certain requirements for the standard of and amenities
17-offered by a satellite simulcast facility; altering certain requirements for the
18-operation of pari–mutuel betting equipment by certain horse racing licensees; and
19-generally relating to satellite simulcast betting on horse racing.
20+CHAPTER ______
2021
21-BY repealing and reenacting, without amendments,
22- Article – Business Regulation
23-Section 11–101(a), (d), and (i)
24- Annotated Code of Maryland
25- (2015 Replacement Volume and 2021 Supplement)
22+AN ACT concerning 1
2623
27-BY repealing and reenacting, with amendments,
28- Article – Business Regulation
29-Section 11–817, 11–818, and 11–825
30- Annotated Code of Maryland
31- (2015 Replacement Volume and 2021 Supplement)
24+Horse Racing – Satellite Simulcast Betting Facilities and Permit Holders – 2
25+Alterations 3
3226
33-BY repealing and reenacting, without amendments,
34- Article – State Government
35-Section 9–1E–04(a)
36- Annotated Code of Maryland
37- (2021 Replacement Volume)
27+FOR the purpose of providing that certain zoning approval is not required to use a facility 4
28+for satellite simulcast betting if the facility is properly zoned for certain gaming 5
29+activities; authorizing the State Racing Commission to waive review of an applicant 6
30+for a satellite simulcast betting permit if the applicant is licensed to conduct certain 7
31+gaming activities; repealing certain requirements for the standard of and amenities 8
32+offered by a satellite simulcast facility; altering certain requirements for the 9
33+operation of pari–mutuel betting equipment by certain horse racing licensees; and 10
34+generally relating to satellite simulcast betting on horse racing. 11
3835
39-BY adding to
40- Article – State Government
41-Section 9–1E–04(c)
42- Annotated Code of Maryland
43- (2021 Replacement Volume)
36+BY repealing and reenacting, without amendments, 12
37+ Article – Business Regulation 13
38+Section 11–101(a), (d), and (i) 14
39+ Annotated Code of Maryland 15
40+ (2015 Replacement Volume and 2021 Supplement) 16
4441
45- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
46-That the Laws of Maryland read as follows:
42+BY repealing and reenacting, with amendments, 17
43+ Article – Business Regulation 18
44+Section 11–817, 11–818, and 11–825 19
45+ Annotated Code of Maryland 20
46+ (2015 Replacement Volume and 2021 Supplement) 21
4747
48-Article – Business Regulation
49- Ch. 256 2022 LAWS OF MARYLAND
48+BY repealing and reenacting, without amendments, 22 2 SENATE BILL 792
5049
51-– 2 –
52-11–101.
5350
54- (a) In this title the following words have the meanings indicated.
51+ Article – State Government 1
52+Section 9–1E–04(a) 2
53+ Annotated Code of Maryland 3
54+ (2021 Replacement Volume) 4
5555
56- (d) “Commission” means the State Racing Commission.
56+BY adding to 5
57+ Article – State Government 6
58+Section 9–1E–04(c) 7
59+ Annotated Code of Maryland 8
60+ (2021 Replacement Volume) 9
5761
58- (i) “Licensee” means a person who has been awarded racing days for the current
59-calendar year.
62+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 10
63+That the Laws of Maryland read as follows: 11
6064
61-11–817.
65+Article – Business Regulation 12
6266
63- (a) A person must have a permit granted by the Commission whenever the person
64-holds satellite simulcast betting.
67+11–101. 13
6568
66- (b) (1) [Nothing] EXCEPT AS PROVIDED IN PA RAGRAPH (2) OF THIS
67-SUBSECTION, NOTHING in this Part III of this subtitle may preempt local zoning laws or
68-ordinances.
69+ (a) In this title the following words have the meanings indicated. 14
6970
70- (2) THE USE OF A FACILITY FOR SATELLITE SIMULC AST BETTING IS
71-NOT REQUIRED TO BE S UBMITTED TO OR APPRO VED BY ANY COUNTY OR MUNICIPAL
72-ZONING BOARD , AUTHORITY, OR UNIT IF THE FACIL ITY IS PROPERLY ZONE D AND
73-OPERATING FOR THE FO LLOWING ACTIVITIES :
71+ (d) “Commission” means the State Racing Commission. 15
7472
75- (I) OPERATION OF A VIDEO LOTTERY FACILITY ;
73+ (i) “Licensee” means a person who has been awarded racing days for the current 16
74+calendar year. 17
7675
77- (II) OPERATION OF A SPORT S WAGERING FACILITY ; OR
76+11–817. 18
7877
79- (III) OPERATION OF EL ECTRONIC BINGO OR EL ECTRONIC TIP
80-JAR MACHINES .
78+ (a) A person must have a permit granted by the Commission whenever the person 19
79+holds satellite simulcast betting. 20
8180
82-11–818.
81+ (b) (1) [Nothing] EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS 21
82+SUBSECTION, NOTHING in this Part III of this subtitle may preempt local zoning laws or 22
83+ordinances. 23
8384
84- (a) Any person may apply for a permit.
85+ (2) THE USE OF A FACILITY FOR SATELLITE SIMULC AST BETTING IS 24
86+NOT REQUIRED TO BE S UBMITTED TO OR APPRO VED BY ANY COUNTY OR MUNICI PAL 25
87+ZONING BOARD , AUTHORITY, OR UNIT IF THE FACIL ITY IS PROPERLY ZONE D AND 26
88+OPERATING FOR THE FO LLOWING ACTIVITIES : 27
8589
86- (b) An applicant for a permit shall submit to the executive director of the
87-Commission an application in the form that the Commission requires.
90+ (I) OPERATION OF A VIDEO LOTTERY FACILITY ; 28
8891
89- (c) Except as provided in subsection (e) of this section, the Commission shall
90-conduct a personal and financial background check of an applicant for a permit including:
92+ (II) OPERATION OF A SPORT S WAGERING FACILITY ; OR 29
9193
92- (1) a review, by a certified public accountant, of the certified financial
93-statements of the applicant, including contingent or pledged liabilities, sufficient to
94-determine the ability of the applicant to purchase or lease, and develop and maintain the
95-satellite simulcast facility for which the permit is sought;
96- LAWRENCE J. HOGAN, JR., Governor Ch. 256
94+ (III) OPERATION O F ELECTRONIC BINGO O R ELECTRONIC TIP 30
95+JAR MACHINES . 31
96+ SENATE BILL 792 3
9797
98-– 3 –
99- (2) an income statement of the applicant for the most recent year;
10098
101- (3) a statement of financial and related records of any person in which the
102-applicant has at least a majority interest;
99+11–818. 1
103100
104- (4) a disclosure of all financial interests in horse racing and any other
105-legalized betting activity;
101+ (a) Any person may apply for a permit. 2
106102
107- (5) the disclosure of each person who is a beneficial owner of the applicant;
103+ (b) An applicant for a permit shall submit to the executive director of the 3
104+Commission an application in the form that the Commission requires. 4
108105
109- (6) with the assistance of federal, State, and local law enforcement
110-authorities, a criminal background review; and
106+ (c) Except as provided in subsection (e) of this section, the Commission shall 5
107+conduct a personal and financial background check of an applicant for a permit including: 6
111108
112- (7) a character review.
109+ (1) a review, by a certified public accountant, of the certified financial 7
110+statements of the applicant, including contingent or pledged liabilities, sufficient to 8
111+determine the ability of the applicant to purchase or lease, and develop and maintain the 9
112+satellite simulcast facility for which the permit is sought; 10
113113
114- (d) The Commission shall adopt regulations establishing uniform procedures for
115-conducting the personal and financial background check required by this section.
114+ (2) an income statement of the applicant for the most recent year; 11
116115
117- (e) The Commission may waive [portions] ALL OR ANY PORTION of the review
118-that it determines to be appropriate for any applicant that is:
116+ (3) a statement of financial and related records of any person in which the 12
117+applicant has at least a majority interest; 13
119118
120- (1) a licensee;
119+ (4) a disclosure of all financial interests in horse racing and any other 14
120+legalized betting activity; 15
121121
122- (2) A VIDEO LOTTERY OPER ATION LICENSEE UNDER TITLE 9,
123-SUBTITLE 1A OF THE STATE GOVERNMENT ARTICLE; OR
122+ (5) the disclosure of each person who is a beneficial owner of the applicant; 16
124123
125- (3) A SPORTS WAGERING FA CILITY LICENSEE UNDE R TITLE 9,
126-SUBTITLE 1E OF THE STATE GOVERNMENT ARTICLE.
124+ (6) with the assistance of federal, State, and local law enforcement 17
125+authorities, a criminal background review; and 18
127126
128-11–825.
127+ (7) a character review. 19
129128
130- (a) A satellite simulcast facility:
129+ (d) The Commission shall adopt regulations establishing uniform procedures for 20
130+conducting the personal and financial background check required by this section. 21
131131
132- (1) shall be in premises owned or leased by a permit holder;
132+ (e) The Commission may waive [portions] ALL OR ANY PORTION of the review 22
133+that it determines to be appropriate for any applicant that is: 23
133134
134- (2) may not be within a 35–mile radius of any mile thoroughbred track or
135-harness track unless approved by the track licensee, the group that represents a majority
136-of the applicable owners and trainers licensed in the State and the group that represents a
137-majority of the applicable breeders in the State, considered separately;
135+ (1) a licensee; 24
138136
139- (3) unless the track agrees otherwise, may not operate during hours on
140-those days that racing with pari–mutuel betting is permitted at a racetrack located in this
141-State within a 35–mile radius of the satellite simulcast facility; and
137+ (2) A VIDEO LOTTERY OPER ATION LICENSEE UNDER TITLE 9, 25
138+SUBTITLE 1A OF THE STATE GOVERNMENT ARTICLE; OR 26
142139
143- (4) shall offer pari–mutuel betting facilities and amenities that the
144-Commission finds are[: Ch. 256 2022 LAWS OF MARYLAND
140+ (3) A SPORTS WAGERING FA CILITY LICENSEE UNDE R TITLE 9, 27
141+SUBTITLE 1E OF THE STATE GOVERNMENT ARTICLE. 28
145142
146-– 4 –
143+11–825. 29
144+ 4 SENATE BILL 792
147145
148- (i) comparable to those available in the sports palace facilities of the
149-mile thoroughbred racing licensees including:
150146
151- 1. high quality dining, lounge, and seating areas that are of
152-a manner generally found in fine restaurants; and
147+ (a) A satellite simulcast facility: 1
153148
154- 2. teletheatre screen capacity; and
149+ (1) shall be in premises owned or leased by a permit holder; 2
155150
156- (ii)] appropriate for the area where the satellite simulcast facility is
157-located.
151+ (2) may not be within a 35–mile radius of any mile thoroughbred track or 3
152+harness track unless approved by the track licensee, the group that represents a majority 4
153+of the applicable owners and trainers licensed in the State and the group that represents a 5
154+majority of the applicable breeders in the State, considered separately; 6
158155
159- (b) (1) A mile thoroughbred racing licensee or a harness racing licensee:
156+ (3) unless the track agrees otherwise, may not operate during hours on 7
157+those days that racing with pari–mutuel betting is permitted at a racetrack located in this 8
158+State within a 35–mile radius of the satellite simulcast facility; and 9
160159
161- (I) shall own or lease the pari–mutuel betting equipment at a
162-satellite simulcast facility; and
160+ (4) shall offer pari–mutuel betting facilities and amenities that the 10
161+Commission finds are[: 11
163162
164- (II) EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS
165-SUBSECTION, shall, with its employees, operate the equipment.
163+ (i) comparable to those available in the sports palace facilities of the 12
164+mile thoroughbred racing licensees including: 13
166165
167- (2) (I) IN THIS PARAGRAPH , “SPORTS WAGERING LICE NSEE” HAS
168-THE MEANING STATED I N § 9–1E–01 OF THE STATE GOVERNMENT ARTICLE.
166+ 1. high quality dining, lounge, and seating areas that are of 14
167+a manner generally found in fine restaurants; and 15
169168
170- (II) SUBJECT TO THE APPROV AL OF THE COMMISSION AND THE
171-STATE LOTTERY AND GAMING CONTROL COMMISSION:
169+ 2. teletheatre screen capacity; and 16
172170
173- 1. A SELF–SERVICE KIOSK AT A S ATELLITE SIMULCAST
174-FACILITY THAT IS LOC ATED IN A SPORTS WAG ERING FACILITY MAY A CCEPT BOTH
175-SATELLITE SIMULCAST BETS AN D SPORTS WAGERS , PROVIDED THAT THE KI OSK
176-SEPARATELY ACCOUNTS FOR THE DIFFERENT TY PES OF WAGERS AND ME ETS ALL
177-SPECIFICATIONS AND R EQUIREMENTS ESTABLIS HED BY REGULATION BY THE STATE
178-LOTTERY GAMING CONTROL COMMISSION; AND
171+ (ii)] appropriate for the area where the satellite simulcast facility is 17
172+located. 18
179173
180- 2. A MILE TH OROUGHBRED RACING LI CENSEE OR A
181-HARNESS RACING LICEN SEE MAY ENTER INTO A N AGREEMENT WITH A S PORTS
182-WAGERING LICENSEE AU THORIZING THE EMPLOY EES OF THE SPORTS WA GERING
183-LICENSEE TO OPERATE THE PARI–MUTUEL BETTING EQUIP MENT AND TO ACCEPT
184-PARI–MUTUEL BETS ON HOR SE RACING IN A SATEL LITE SIMULCAST FACIL ITY.
174+ (b) (1) A mile thoroughbred racing licensee or a harness racing licensee: 19
185175
186- (c) A mile thoroughbred racing licensee or a harness racing licensee shall submit
187-to the Commission all contracts and agreements relating to satellite simulcast betting
188-under this subtitle.
176+ (I) shall own or lease the pari–mutuel betting equipment at a 20
177+satellite simulcast facility; and 21
189178
190- (d) (1) The Commission shall periodically be assured by permit holders that LAWRENCE J. HOGAN, JR., Governor Ch. 256
179+ (II) EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS 22
180+SUBSECTION, shall, with its employees, operate the equipment. 23
191181
192-– 5 –
193-facilities continue to meet the requirements of this section.
182+ (2) (I) IN THIS PARAGRAPH , “SPORTS WAGERING LICE NSEE” HAS 24
183+THE MEANING STATED I N § 9–1E–01 OF THE STATE GOVERNMENT ARTICLE. 25
194184
195- (2) (i) The Commission shall inspect satellite simulcast facilities at
196-least four times each year to determine if the permit holders are continuing to comply with
197-the provisions of this section.
185+ (II) SUBJECT TO THE APPROV AL OF THE COMMISSION AND THE 26
186+STATE LOTTERY AND GAMING CONTROL COMMISSION: 27
198187
199- (ii) The inspections under this subsection shall include evaluations
200-of the financial and physical conditions of each satellite simulcast facility.
188+ 1. A SELF–SERVICE KIOSK AT A S ATELLITE SIMULCAST 28
189+FACILITY THAT IS LOC ATED IN A SPORTS WAG ERING FACILITY MAY A CCEPT BOTH 29
190+SATELLITE SIMULCAST BETS A ND SPORTS WAGERS , PROVIDED THAT THE KI OSK 30
191+SEPARATELY ACCOUNTS FOR THE DIFFERENT TY PES OF WAGERS AND ME ETS ALL 31 SENATE BILL 792 5
201192
202- (3) If the Commission finds that a permit holder is not complying with the
203-provisions of this section, the Commission may impose a penalty on the permit holder
204-similar to those penalties levied on licensees as provided under § 11–308 of this title.
205193
206-Article – State Government
194+SPECIFICATIONS AND R EQUIREMENTS ESTABLIS HED BY REGULATION BY THE STATE 1
195+LOTTERY GAMING CONTROL COMMISSION; AND 2
207196
208-9–1E–04.
197+ 2. A MILE THOROUGHBRED RACING L ICENSEE OR A 3
198+HARNESS RACING LICEN SEE MAY ENTER INTO A N AGREEMENT WITH A S PORTS 4
199+WAGERING LICENSEE AU THORIZING THE EMPLOY EES OF THE SPORTS WA GERING 5
200+LICENSEE TO OPERATE THE PARI–MUTUEL BETTING EQUIP MENT AND TO ACCEPT 6
201+PARI–MUTUEL BETS ON HO RSE RACING IN A SATE LLITE SIMULCAST FACI LITY. 7
209202
210- (a) Except as otherwise provided in this subtitle, the Commission shall regulate
211-sports wagering and the conduct of sports wagering to the same extent that the Commission
212-regulates the operation of video lottery terminals and table games under Subtitle 1A of this
213-title.
203+ (c) A mile thoroughbred racing licensee or a harness racing licensee shall submit 8
204+to the Commission all contracts and agreements relating to satellite simulcast betting 9
205+under this subtitle. 10
214206
215- (C) THE COMMISSION MAY ADOPT REGULATIONS AUTHORIZ ING A SPORTS
216-WAGERING LICENSEE , IF A SATELLITE SIMUL CAST FACILITY IS LOC ATED IN THE
217-LICENSEE’S SPORTS WAGERING FA CILITY, TO ALLOW ITS EMPLOYE ES TO:
207+ (d) (1) The Commission shall periodically be assured by permit holders that 11
208+facilities continue to meet the requirements of this section. 12
218209
219- (1) ACCEPT SATELLITE SIM ULCAST BETS ON HORSE RACING; AND
210+ (2) (i) The Commission shall inspect satellite simulcast facilities at 13
211+least four times each year to determine if the permit holders are continuing to comply with 14
212+the provisions of this section. 15
220213
221- (2) OPERATE KIOSKS CAPAB LE OF ACCEPTING BOTH SPORTS WAGERS
222-AND SATELLITE SIMULC AST BETS.
214+ (ii) The inspections under this subsection shall include evaluations 16
215+of the financial and physical conditions of each satellite simulcast facility. 17
223216
224- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
225-1, 2022.
217+ (3) If the Commission finds that a permit holder is not complying with the 18
218+provisions of this section, the Commission may impose a penalty on the permit holder 19
219+similar to those penalties levied on licensees as provided under § 11–308 of this title. 20
226220
227-Approved by the Governor, May 12, 2022.
221+Article – State Government 21
222+
223+9–1E–04. 22
224+
225+ (a) Except as otherwise provided in this subtitle, the Commission shall regulate 23
226+sports wagering and the conduct of sports wagering to the same extent that the Commission 24
227+regulates the operation of video lottery terminals and table games under Subtitle 1A of this 25
228+title. 26
229+
230+ (C) THE COMMISSION MAY ADOPT REGULATIONS AUTHORIZ ING A SPORTS 27
231+WAGERING LICENSEE , IF A SATELLITE SIMUL CAST FACILITY IS LOC ATED IN THE 28
232+LICENSEE’S SPORTS WAGERING FA CILITY, TO ALLOW ITS EMPLOYE ES TO: 29
233+
234+ (1) ACCEPT SATELLITE SIM ULCAST BETS ON HORSE RACING ; AND 30
235+
236+ (2) OPERATE KIOSKS CAPAB LE OF ACCEPTING BOTH SPORTS WAGERS 31
237+AND SATELLITE SIMULC AST BETS. 32
238+
239+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 33 6 SENATE BILL 792
240+
241+
242+1, 2022. 1
243+
244+
245+
246+
247+Approved:
248+________________________________________________________________________________
249+ Governor.
250+________________________________________________________________________________
251+ President of the Senate.
252+________________________________________________________________________________
253+ Speaker of the House of Delegates.