LAWRENCE J. HOGAN, JR., Governor Ch. 256
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Chapter 256
(Senate Bill 792)
AN ACT concerning
Horse Racing – Satellite Simulcast Betting Facilities and Permit Holders –
Alterations
FOR the purpose of providing that certain zoning approval is not required to use a facility
for satellite simulcast betting if the facility is properly zoned for certain gaming
activities; authorizing the State Racing Commission to waive review of an applicant
for a satellite simulcast betting permit if the applicant is licensed to conduct certain
gaming activities; repealing certain requirements for the standard of and amenities
offered by a satellite simulcast facility; altering certain requirements for the
operation of pari–mutuel betting equipment by certain horse racing licensees; and
generally relating to satellite simulcast betting on horse racing.
BY repealing and reenacting, without amendments,
Article – Business Regulation
Section 11–101(a), (d), and (i)
Annotated Code of Maryland
(2015 Replacement Volume and 2021 Supplement)
BY repealing and reenacting, with amendments,
Article – Business Regulation
Section 11–817, 11–818, and 11–825
Annotated Code of Maryland
(2015 Replacement Volume and 2021 Supplement)
BY repealing and reenacting, without amendments,
Article – State Government
Section 9–1E–04(a)
Annotated Code of Maryland
(2021 Replacement Volume)
BY adding to
Article – State Government
Section 9–1E–04(c)
Annotated Code of Maryland
(2021 Replacement Volume)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
That the Laws of Maryland read as follows:
Article – Business Regulation
Ch. 256 2022 LAWS OF MARYLAND
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11–101.
(a) In this title the following words have the meanings indicated.
(d) “Commission” means the State Racing Commission.
(i) “Licensee” means a person who has been awarded racing days for the current
calendar year.
11–817.
(a) A person must have a permit granted by the Commission whenever the person
holds satellite simulcast betting.
(b) (1) [Nothing] EXCEPT AS PROVIDED IN PA RAGRAPH (2) OF THIS
SUBSECTION, NOTHING in this Part III of this subtitle may preempt local zoning laws or
ordinances.
(2) THE USE OF A FACILITY FOR SATELLITE SIMULC AST BETTING IS
NOT REQUIRED TO BE S UBMITTED TO OR APPRO VED BY ANY COUNTY OR MUNICIPAL
ZONING BOARD , AUTHORITY, OR UNIT IF THE FACIL ITY IS PROPERLY ZONE D AND
OPERATING FOR THE FO LLOWING ACTIVITIES :
(I) OPERATION OF A VIDEO LOTTERY FACILITY ;
(II) OPERATION OF A SPORT S WAGERING FACILITY ; OR
(III) OPERATION OF EL ECTRONIC BINGO OR EL ECTRONIC TIP
JAR MACHINES .
11–818.
(a) Any person may apply for a permit.
(b) An applicant for a permit shall submit to the executive director of the
Commission an application in the form that the Commission requires.
(c) Except as provided in subsection (e) of this section, the Commission shall
conduct a personal and financial background check of an applicant for a permit including:
(1) a review, by a certified public accountant, of the certified financial
statements of the applicant, including contingent or pledged liabilities, sufficient to
determine the ability of the applicant to purchase or lease, and develop and maintain the
satellite simulcast facility for which the permit is sought;
LAWRENCE J. HOGAN, JR., Governor Ch. 256
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(2) an income statement of the applicant for the most recent year;
(3) a statement of financial and related records of any person in which the
applicant has at least a majority interest;
(4) a disclosure of all financial interests in horse racing and any other
legalized betting activity;
(5) the disclosure of each person who is a beneficial owner of the applicant;
(6) with the assistance of federal, State, and local law enforcement
authorities, a criminal background review; and
(7) a character review.
(d) The Commission shall adopt regulations establishing uniform procedures for
conducting the personal and financial background check required by this section.
(e) The Commission may waive [portions] ALL OR ANY PORTION of the review
that it determines to be appropriate for any applicant that is:
(1) a licensee;
(2) A VIDEO LOTTERY OPER ATION LICENSEE UNDER TITLE 9,
SUBTITLE 1A OF THE STATE GOVERNMENT ARTICLE; OR
(3) A SPORTS WAGERING FA CILITY LICENSEE UNDE R TITLE 9,
SUBTITLE 1E OF THE STATE GOVERNMENT ARTICLE.
11–825.
(a) A satellite simulcast facility:
(1) shall be in premises owned or leased by a permit holder;
(2) may not be within a 35–mile radius of any mile thoroughbred track or
harness track unless approved by the track licensee, the group that represents a majority
of the applicable owners and trainers licensed in the State and the group that represents a
majority of the applicable breeders in the State, considered separately;
(3) unless the track agrees otherwise, may not operate during hours on
those days that racing with pari–mutuel betting is permitted at a racetrack located in this
State within a 35–mile radius of the satellite simulcast facility; and
(4) shall offer pari–mutuel betting facilities and amenities that the
Commission finds are[: Ch. 256 2022 LAWS OF MARYLAND
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(i) comparable to those available in the sports palace facilities of the
mile thoroughbred racing licensees including:
1. high quality dining, lounge, and seating areas that are of
a manner generally found in fine restaurants; and
2. teletheatre screen capacity; and
(ii)] appropriate for the area where the satellite simulcast facility is
located.
(b) (1) A mile thoroughbred racing licensee or a harness racing licensee:
(I) shall own or lease the pari–mutuel betting equipment at a
satellite simulcast facility; and
(II) EXCEPT AS PROVIDED I N PARAGRAPH (2) OF THIS
SUBSECTION, shall, with its employees, operate the equipment.
(2) (I) IN THIS PARAGRAPH , “SPORTS WAGERING LICE NSEE” HAS
THE MEANING STATED I N § 9–1E–01 OF THE STATE GOVERNMENT ARTICLE.
(II) SUBJECT TO THE APPROV AL OF THE COMMISSION AND THE
STATE LOTTERY AND GAMING CONTROL COMMISSION:
1. A SELF–SERVICE KIOSK AT A S ATELLITE SIMULCAST
FACILITY THAT IS LOC ATED IN A SPORTS WAG ERING FACILITY MAY A CCEPT BOTH
SATELLITE SIMULCAST BETS AN D SPORTS WAGERS , PROVIDED THAT THE KI OSK
SEPARATELY ACCOUNTS FOR THE DIFFERENT TY PES OF WAGERS AND ME ETS ALL
SPECIFICATIONS AND R EQUIREMENTS ESTABLIS HED BY REGULATION BY THE STATE
LOTTERY GAMING CONTROL COMMISSION; AND
2. A MILE TH OROUGHBRED RACING LI CENSEE OR A
HARNESS RACING LICEN SEE MAY ENTER INTO A N AGREEMENT WITH A S PORTS
WAGERING LICENSEE AU THORIZING THE EMPLOY EES OF THE SPORTS WA GERING
LICENSEE TO OPERATE THE PARI–MUTUEL BETTING EQUIP MENT AND TO ACCEPT
PARI–MUTUEL BETS ON HOR SE RACING IN A SATEL LITE SIMULCAST FACIL ITY.
(c) A mile thoroughbred racing licensee or a harness racing licensee shall submit
to the Commission all contracts and agreements relating to satellite simulcast betting
under this subtitle.
(d) (1) The Commission shall periodically be assured by permit holders that LAWRENCE J. HOGAN, JR., Governor Ch. 256
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facilities continue to meet the requirements of this section.
(2) (i) The Commission shall inspect satellite simulcast facilities at
least four times each year to determine if the permit holders are continuing to comply with
the provisions of this section.
(ii) The inspections under this subsection shall include evaluations
of the financial and physical conditions of each satellite simulcast facility.
(3) If the Commission finds that a permit holder is not complying with the
provisions of this section, the Commission may impose a penalty on the permit holder
similar to those penalties levied on licensees as provided under § 11–308 of this title.
Article – State Government
9–1E–04.
(a) Except as otherwise provided in this subtitle, the Commission shall regulate
sports wagering and the conduct of sports wagering to the same extent that the Commission
regulates the operation of video lottery terminals and table games under Subtitle 1A of this
title.
(C) THE COMMISSION MAY ADOPT REGULATIONS AUTHORIZ ING A SPORTS
WAGERING LICENSEE , IF A SATELLITE SIMUL CAST FACILITY IS LOC ATED IN THE
LICENSEE’S SPORTS WAGERING FA CILITY, TO ALLOW ITS EMPLOYE ES TO:
(1) ACCEPT SATELLITE SIM ULCAST BETS ON HORSE RACING; AND
(2) OPERATE KIOSKS CAPAB LE OF ACCEPTING BOTH SPORTS WAGERS
AND SATELLITE SIMULC AST BETS.
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
1, 2022.
Approved by the Governor, May 12, 2022.