Video Lottery Terminal Proceeds - Purse Dedication Account - Ocean Downs Race Course Operating Loss Assistance
Impact
The bill modifies existing provisions regarding the use of funds from the Purse Dedication Account, enabling Ocean Downs to receive financial assistance for operational costs incurred within the calendar year. This assistance will be based on $30,000 for each live racing day held. The funding structure is designed to sustain competitive horse racing activities and ensures the continuation of a vibrant racing schedule at the facility, which may potentially enhance economic activities in the region linked to racing events.
Summary
Senate Bill 363 addresses the allocation of Video Lottery Terminal proceeds specifically for the Ocean Downs Race Course. The bill allows the race course to utilize funds from the Purse Dedication Account to assist with operating losses, ensuring that a minimum of 40 live racing days is maintained annually. This legislative change aims to provide financial support under specific conditions, including provisions for exceptional circumstances that may affect the number of racing days.
Sentiment
The sentiment surrounding SB 363 appears to be supportive among stakeholders in the racing community. Supporters argue that the funding mechanism established by the bill will secure the economic viability of horse racing at Ocean Downs, essential for community tradition and economic growth. However, some concerns may exist regarding reliance on state funds for operational losses, suggesting a need for sustainable financial strategies beyond legislative assistance.
Contention
Discussion around the bill emphasizes the balance between state support for a niche industry and the potential implications for taxpayer funds being allocated to cover operational deficits. While support for the bill reflects a recognition of the importance of maintaining live racing, critics may question the long-term implications of such financial assistance, emphasizing the risks of dependency on state funding for operational viability.
Permits State Lottery Commission to authorize video lottery terminals at Meadowlands racetrack, upon voter approval; dedicates 1/3 net proceeds to General Fund, 1/3 to State education aid, and 1/3 to horse racing industry.