EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
Italics indicate opposite chamber/conference committee amendments.
*hb1524*
HOUSE BILL 1524
C6, C7, Q7 (4lr3037)
ENROLLED BILL
— Ways and Means and Appropriations/Budget and Taxation —
Introduced by Chair, Ways and Means Committee (By Request – Maryland
Thoroughbred Racetrack Operating Authority)
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at ________________________ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Horse Racing – Racing Facility Ownership and Construction – Racing 2
Operations 3
FOR the purpose of altering the location, type, and ownership of horse racing facilities that 4
the Maryland Stadium Authority is authorized to finance; authorizing the Maryland 5
Stadium Authority, subject to certain requirements, to finance the planning, design, 6
and construction of certain racing facilities on behalf of the Maryland Thoroughbred 7
Racetrack Operating Authority; requiring the owner of a horse racing track to provide 8
certain notice to certain local governments; authorizing the State Racing Commission 9
to issue a license to hold a race meeting and award racing days to a certain nonprofit 10
organization; altering the date by which the owner of the Bowie Race Course 11
Training Center must convey the Center to the City of Bowie; authorizing the 12
Preakness Stakes to be transferred to another track in the State during the 13
reconstruction of Pimlico Race Course; increasing the amount of debt that the 14 2 HOUSE BILL 1524
Maryland Stadium Authority may issue for certain purposes in connection with 1
certain racing facilities; altering the requirements of certain agreements required 2
before the issuance of certain bonds; altering the membership of the Maryland 3
Thoroughbred Racetrack Operating Authority; requiring the Maryland 4
Thoroughbred Racetrack Operating Authority to prepare certain financial 5
statements; requiring the Maryland Thoroughbred Racetrack Operating Authority to 6
distribute certain profits in a certain manner; requiring that at least a certain number 7
of days before entering into a lease of the Pimlico racing facility site that the Maryland 8
Thoroughbred Racetrack Operating Authority submit a copy of the lease to the 9
Legislative Policy Committee for review and comment; stating the intent of the 10
General Assembly that a certain lottery game is administered in a certain manner; 11
altering the amount of money from the State Lottery Fund that the Comptroller is 12
required to deposit into the Racing and Community Development Financing Fund; 13
requiring the Comptroller to pay a certain supplemental local impact grant from the 14
State Lottery Fund; requiring the payment of a certain amount from the Purse 15
Dedication Account to the Maryland Thoroughbred Racetrack Operating Authority 16
under certain circumstances; altering certain requirements that must be satisfied 17
before the Maryland Thoroughbred Racetrack Operating Authority is authorized to 18
manage and oversee certain racing activities; altering the distribution and 19
authorized uses of the Racetrack Facility Renewal Account; altering a requirement 20
that certain unencumbered funds in the Racetrack Facility Renewal Account be 21
transferred to the Education Trust Fund; requiring, under certain circumstances, 22
that certain funds in the Racetrack Facility Renewal Account be made available for 23
certain purposes; exempting a certain horse racing licensee from the requirement to 24
pay an application fee for a certain sports wagering facility license; requiring the 25
Comptroller to distribute the sales and use tax revenue attributable to the purchase 26
of certain racehorses to a certain fund; altering certain income tax subtraction 27
modifications, sales and use tax exemptions, property tax exemptions, transfer tax 28
exemptions, and recordation tax exemptions related to horse racing; requiring the 29
Governor to include certain amounts in the State budget for certain purposes; 30
amending the Maryland Consolidated Capital Bond Loan of 2022 to alter the 31
purposes of a certain grant; extending the termination date of certain provisions of 32
law related to the Maryland Thoroughbred Racetrack Operating Authority; and 33
generally relating to horse racing in the State. 34
BY repealing 35
Article – Economic Development 36
Section 10–601(cc) and (dd) 37
Annotated Code of Maryland 38
(2018 Replacement Volume and 2023 Supplement) 39
BY renumbering 40
Article – Economic Development 41
Section 10–601(ee) through (iii) 42
to be Section 10–601(cc) through (ggg), respectively 43
Annotated Code of Maryland 44
(2018 Replacement Volume and 2023 Supplement) 45 HOUSE BILL 1524 3
BY repealing and reenacting, with amendments, 1
Article – Business Regulation 2
Section 11–317, 11–510(b), 11–519(d)(1)(i), and 11–520(b) 3
Annotated Code of Maryland 4
(2015 Replacement Volume and 2023 Supplement) 5
BY adding to 6
Article – Business Regulation 7
Section 11–519(d)(6) 8
Annotated Code of Maryland 9
(2015 Replacement Volume and 2023 Supplement) 10
BY repealing and reenacting, without amendments, 11
Article – Economic Development 12
Section 10–601(a), (b), and (d) 13
Annotated Code of Maryland 14
(2018 Replacement Volume and 2023 Supplement) 15
BY repealing and reenacting, with amendments, 16
Article – Economic Development 17
Section 10–601(s), 10–628(c)(1)(vii), 10–646.1, and 10–1003 10–1003, and 18
10–1004(a) 19
Annotated Code of Maryland 20
(2018 Replacement Volume and 2023 Supplement) 21
BY repealing and reenacting, without amendments, 22
Article – Economic Development 23
Section 10–601(cc), (kk), (ll), (tt), (uu), and (ww) 24
Annotated Code of Maryland 25
(2018 Replacement Volume and 2023 Supplement) 26
(As enacted by Section 2 of this Act) 27
BY repealing and reenacting, with amendments, 28
Article – Economic Development 29
Section 10–601(oo), (vv), and (xx) 30
Annotated Code of Maryland 31
(2018 Replacement Volume and 2023 Supplement) 32
(As enacted by Section 2 of this Act) 33
BY adding to 34
Article – Economic Development 35
Section 10–601(hhh) 36
Annotated Code of Maryland 37
(2018 Replacement Volume and 2023 Supplement) 38
BY adding to 39 4 HOUSE BILL 1524
Article – State Government 1
Section 9–111(f) and 9–120(b)(1)(xiii) 2
Annotated Code of Maryland 3
(2021 Replacement Volume and 2023 Supplement) 4
BY repealing and reenacting, with amendments, 5
Article – State Government 6
Section 9–120(b)(1)(iv), (xii), and (xiii), 9–1A–28(b), 9–1A–29(d) and (h) 9–1A–29(d), 7
(g), and (h), 9–1E–01(d), and 9–1E–06(b) and (d) 8
Annotated Code of Maryland 9
(2021 Replacement Volume and 2023 Supplement) 10
BY repealing and reenacting, without amendments, 11
Article – State Government 12
Section 9–1A–28(a), 9–1A–29(a), 9–1A–31(a)(1), (3), and (4), and 9–1E–01(a) 13
Annotated Code of Maryland 14
(2021 Replacement Volume and 2023 Supplement) 15
BY adding to 16
Article – Tax – General 17
Section 2–1302.3 18
Annotated Code of Maryland 19
(2022 Replacement Volume and 2023 Supplement) 20
BY repealing and reenacting, with amendments, 21
Article – Tax – General 22
Section 2–1303, 10–207(ii), 10–307(g), and 11–236 23
Annotated Code of Maryland 24
(2022 Replacement Volume and 2023 Supplement) 25
BY repealing and reenacting, without amendments, 26
Article – Tax – General 27
Section 10–207(a) and 10–307(a) 28
Annotated Code of Maryland 29
(2022 Replacement Volume and 2023 Supplement) 30
BY repealing and reenacting, with amendments, 31
Article – Tax – Property 32
Section 7–246, 12–108(hh), 13–207(a)(26), and 13–410 33
Annotated Code of Maryland 34
(2019 Replacement Volume and 2023 Supplement) 35
BY repealing and reenacting, with amendments, 36
Chapter 590 of the Acts of the General Assembly of 2020 37
Section 9 38
BY adding to 39 HOUSE BILL 1524 5
Chapter 344 of the Acts of the General Assembly of 2022 1
Section 1(3) Item ZA00(MO) 2
BY repealing and reenacting, with amendments, 3
Chapter 344 of the Acts of the General Assembly of 2022, as amended by Chapter 111 4
of the Acts of the General Assembly of 2023 5
Section 1(3) Item SA25(B) 6
BY repealing and reenacting, with amendments, 7
Chapter 111 of the Acts of the General Assembly of 2023 8
Section 6 9
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 10
That Section(s) 10–601(cc) and (dd) of Article – Economic Development of the Annotated 11
Code of Maryland be repealed. 12
SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 10 –601(ee) through 13
(iii) of Article – Economic Development of the Annotated Code of Maryland be renumbered 14
to be Section(s) 10–601(cc) through (ggg), respectively. 15
SECTION 3. AND BE IT FURTHER E NACTED, That the Laws of Maryland read 16
as follows: 17
Article – Business Regulation 18
11–317. 19
(A) Before a license or racing days may be transferred to a buyer or a lessee of a 20
track: 21
(1) the Legislative Policy Committee shall have been notified at least 15 22
days before the transfer; 23
(2) the Legislative Policy Committee, if it has chosen to do so, shall have 24
provided comment to the Commission about the transfer; and 25
(3) the transfer shall have been approved by the Commission. 26
(B) AT LEAST 30 DAYS BEFORE THE OWNER OF A TRACK ENTERS INTO A 27
CONTRACT TO SELL THE TRACK, THE OWNER SHALL PROV IDE CONFIDENTIAL NOT ICE 28
OF THE CONTRACT TO T HE GOVERNING BODY OF THE JURISDICTION WHE RE THE 29
TRACK IS LOCATED . 30
11–510. 31
(b) The Commission may issue a license and award racing days only to: 32 6 HOUSE BILL 1524
(1) the Maryland Jockey Club of Baltimore City, Inc.; 1
(2) the Laurel Racing Assoc., Inc.; and 2
(3) subject to § 10–1003(b) of the Economic Development Article[,]: 3
(I) the Maryland Thoroughbred Racetrack Operating Authority; OR 4
(II) A NONPROFIT ORGANIZA TION THAT LEASES OR SUBLEASES 5
A RACING FACILITY OWNED BY FROM THE MARYLAND THOROUGHBRED 6
RACETRACK OPERATING AUTHORITY. 7
11–519. 8
(d) (1) (i) On or before December 31, [2024] 2025, the owner of the Bowie 9
Race Course Training Center shall convey the Bowie Race Course Training Center property 10
to the City of Bowie “as is”, with all defects that may exist, whether known or unknown, 11
and without any express or implied warranty, guarantee by, or recourse against the 12
conveyor of the property. 13
(6) FOR FISCAL 2026, THE GOVERNOR SHALL INCLUD E IN THE 14
ANNUAL OPERATING OR CAPITAL BUDGET BILL AN APPROPRIATION OF $6,200,000 15
TO THE COUNTY EXECUTIVE AND COUNTY COUNCIL OF PRINCE GEORGE’S COUNTY 16
FOR SITE DEVELOPMENT , DEMOLITION, AND GRADING ON AND AROUN D THE BOWIE 17
RACE COURSE TRAINING CENTER PROPERTY AND ROSECROFT RACEWAY. 18
11–520. 19
(b) The Preakness Stakes may be transferred to another track in the State only: 20
(1) as a result of a disaster or emergency; OR 21
(2) DURING THE RECO NSTRUCTION OF PIMLICO RACE COURSE, 22
SUBJECT TO THE APPRO VAL OF THE MARYLAND THOROUGHBRED RACETRACK 23
OPERATING AUTHORITY. 24
Article – Economic Development 25
10–601. 26
(a) In this subtitle the following words have the meanings indicated. 27
(b) “Authority” means the Maryland Stadium Authority. 28
HOUSE BILL 1524 7
(d) “Baltimore City” means, as the context requires: 1
(1) the geographic area of the City of Baltimore; or 2
(2) the Mayor and City Council of Baltimore. 3
(s) “Facility” means: 4
(1) a structure or other improvement developed at Camden Yards; 5
(2) a convention facility; 6
(3) the Hippodrome Performing Arts facility; 7
(4) a sports facility; 8
(5) a Baltimore City public school facility; 9
(6) a racing facility; 10
(7) A TRAINING FACILITY FOR THOROUGHBRED HOR SES; 11
[(7)] (8) a public school facility; 12
[(8)] (9) the Hagerstown Multi–Use Sports and Events Facility; 13
[(9)] (10) a sports entertainment facility; or 14
[(10)] (11) a Prince George’s County Blue Line Corridor facility. 15
(cc) (1) “MJC Entities” means the Maryland Jockey Club of Baltimore City, 16
Inc., Laurel Racing Association Limited Partnership, Laurel Racing Association, Inc., and 17
TSG Developments Investments, Inc. 18
(2) “MJC Entities” includes an affiliate, an assignee, a designee, a 19
successor, or a transferee of an MJC Entity. 20
(kk) (1) “Pimlico racing facility site” means the portion of the Pimlico site 21
containing the racing facilities. 22
(2) “Pimlico racing facility site” includes the portion of the site designated 23
to contain: 24
(i) the clubhouse and events center; 25
(ii) the dirt, turf, or synthetic racetracks; 26 8 HOUSE BILL 1524
(iii) the infield and immediately adjacent area surrounding the 1
perimeter of the racetracks that is contained on the site; 2
(iv) the stables, barns, and training facilities; 3
(v) the trackside aprons; and 4
(vi) associated roadways, walkways, parking areas, green space, 5
fencing, and related structures and areas as designated in the plans approved by the 6
Authority. 7
(ll) “Pimlico site” means the site in Baltimore City generally bounded by Northern 8
Parkway, Park Heights Avenue, Belvedere Avenue, and Pimlico Road. 9
(oo) “Project entities” means each entity or entities or a joint venture entity or 10
entities, that exists or is formed by any combination of MJC Entities, an entity owned by 11
the City of Baltimore (the Baltimore City Entity), or [an entity owned by Anne Arundel 12
County (the Anne Arundel County Entity) ] THE MARYLAND THOROUGHBRED 13
RACETRACK OPERATING AUTHORITY for: 14
(1) the MJC Entities’ conveyance of the Pimlico site [and the Laurel Park 15
racing facility site]; 16
(2) the operation of the Pimlico racing facility site and [the Laurel Park 17
racing] TRAINING facility site; and 18
(3) the construction, development, ownership, management, and operation 19
of the racing and community development projects. 20
(tt) “Racing and Community Development Facilities Fund” means the Fund 21
established under § 10–657.3 of this subtitle. 22
(uu) “Racing and Community Development Financing Fund” means the Fund 23
established under § 10–657.2 of this subtitle. 24
(vv) (1) “Racing and community development projects” means improvements to 25
the Pimlico racing facility site, Pimlico site, [Laurel Park racing facility site, and Laurel 26
Park site] AND TRAINING FACILIT Y SITE. 27
(2) “Racing and community development projects” includes: 28
(i) predesign and design work; 29
(ii) architectural and engineering services; 30
HOUSE BILL 1524 9
(iii) project consulting services; 1
(iv) demolition, clean–up, site work, and grading and site drainage; 2
(v) landscaping; 3
(vi) signage; 4
(vii) parking, roadways, fencing, walkways, sidewalks, and green 5
space; 6
(viii) security systems; 7
(ix) lighting, sound, video, and communication systems; 8
(x) pari–mutuel and tote systems; 9
(xi) plumbing, electric, fiber, cable, u tilities, and other 10
infrastructure; 11
(xii) water, sewer, and storm water management systems; 12
(xiii) construction and equipping of barns, clubhouses, dormitories or 13
other housing, an equine diagnostic and health facility, a Pimlico thoroughbred racing 14
museum, stables, tracks, training facilities, and other racing and community facilities; 15
(xiv) design and project contingencies, project allowances, and cost 16
escalators and other specifications for the projects; and 17
(xv) temporary or permanent improvements and facilities, including 18
at on– or off–site locations, used to maintain year–round racing and training. 19
(ww) (1) “Racing and community development project costs” means costs and 20
expenses associated with or that relate to the racing and community development projects. 21
(2) “Racing and community development project costs” includes transition 22
costs and reimbursements and the recycling of project cost savings for the benefit of the 23
racing and community development projects. 24
(xx) “Racing facility” means the Pimlico site and the [Laurel Park racing facility 25
site] TRAINING FACILITY SI TE and any facilities or other improvements on the Pimlico 26
site or the [Laurel Park racing facility site] TRAINING FACILITY SI TE. 27
(HHH) “TRAINING FACI LITY SITE” MEANS A SITE FOR TRAINING 28
FACILITY FOR THOROUGHBRED RACEHOR SES SELECTED OR ACQUIRED BY THE 29
MARYLAND THOROUGHBRED RACETRACK OPERATING AUTHORITY. 30 10 HOUSE BILL 1524
10–628. 1
(c) (1) Unless authorized by the General Assembly, the Board of Public Works 2
may not approve an issuance by the Authority of bonds, whether taxable or tax exempt, 3
that constitute tax supported debt or nontax supported debt if, after issuance, there would 4
be outstanding and unpaid more than the following face amounts of the bonds for the 5
purpose of financing acquisition, construction, renovation, and related expenses for 6
construction management, professional fees, and contingencies in connection with: 7
(vii) racing facilities – [$375,000,000] $400,000,000; 8
10–646.1. 9
(a) Except as allowed by § 10–639 of this subtitle, to finance the planning, design, 10
and construction of any segment of a racing facility ON BEHALF OF THE MARYLAND 11
THOROUGHBRED RACETRACK OPERATING AUTHORITY, the Authority shall comply 12
with this section. 13
(b) At least 45 days before seeking approval of the Board of Public Works for each 14
bond issue or other borrowing, the Authority shall provide, in accordance with § 2–1257 of 15
the State Government Article, to the fiscal committees of the General Assembly[: 16
(1)] a comprehensive financing plan for the relevant racing facility that 17
includes: 18
[(i)] (1) the aggregate amount of funds needed for the racing 19
facility to be financed with the proposed bonds; 20
[(ii)] (2) a description of the racing facility to be constructed or 21
renovated; 22
[(iii)] (3) the anticipated total debt service for the proposed bond 23
issue; 24
[(iv)] (4) the anticipated total debt service when combined with the 25
debt service for all prior outstanding bond issues for racing facilities; [and] 26
[(v)] (5) anticipated project costs, AS DETERMINED BY THE 27
MARYLAND THOROUGHBRED RACETRACK OPERATING AUTHORITY, of at least 28
[$180,000,000] $250,000,000 for the Pimlico racing facility [or $155,000,000 for the 29
Laurel Park racing facility] AND $110,000,000 FOR THE TRAINING FACILITY SI TE; and 30
(6) A JOINT PLAN BETWEEN THE MARYLAND THOROUGHBRED 31
RACETRACK OPERATING AUTHORITY AND THE DEPARTMENT OF HOUSING AND 32 HOUSE BILL 1524 11
COMMUNITY DEVELOPMENT THAT INCL UDES THE FOLLOWING INVEST MENTS 1
INVESTMENT IN WORKFO RCE HOUSING IN AND AROUND THE PIMLICO RACING 2
FACILITY SITE: 3
(I) RACETRACK WORKFORCE HOUSING; 4
(II) COMMUNITY COMMERCIAL REVITALIZATION ; 5
(III) COMMUNITY SAFETY ; 6
(IV) COMMUNITY WORKFORCE DEVELOPMENT AND JOB 7
TRAINING; 8
(V) AFFORDABLE HOUSING ; 9
(VI) HOMEOWNERSHIP AND HO ME PRESERVATION ; 10
(VII) REDEVELOPMENT OF VAC ANT AND BLIGHTED HOU SING; 11
AND 12
(VIII) COMMUNITY BEAUTIFICA TION. 13
[(2) for any planned expenditures at the Laurel Park racing facility site, a 14
plan for the improvements necessary to ensure that the condition of any part of the site 15
where individuals reside is satisfactory for human habitation and meets the minimum 16
housing and sanitation standards in Anne Arundel County.] 17
(c) (1) A bond issued to finance planning, design, and construction or 18
renovations of or improvements to a racing facility: 19
(i) is a limited obligation of the Authority payable solely from money 20
pledged by the Authority to the payment of the principal of and the premium and interest 21
on the bond or money made available to the Authority for that purpose; 22
(ii) is not a debt, liability, or a pledge of the faith and credit or the 23
taxing power of the State, the Authority, or any other governmental unit; and 24
(iii) may not give rise to any pecuniary liability of the State, the 25
Authority, or any other governmental unit. 26
(2) The issuance of a bond to finance the planning, design, and construction 27
or renovations of or improvements to a racing facility is not directly, indirectly, or 28
contingently a moral or other obligation of the State, the Authority, or any other 29
governmental unit to levy or pledge any tax or make any appropriation to pay the bond. 30
12 HOUSE BILL 1524
(3) Each bond shall state on its face the provisions of paragraphs (1) and 1
(2) of this subsection. 2
(d) (1) In this subsection, “long–term agreement” includes a lease, operating, 3
joint venture, or management agreement with a minimum term that coincides with or 4
exceeds the initial term of the bonds issued for a racing facility. 5
(2) Before issuing any bonds for any segment of a racing facility, the 6
Authority shall ensure that the following agreements have been executed: 7
(i) subject to paragraph (3) of this subsection, a long–term 8
agreement regarding management and operations at the Pimlico racing facility site; AND 9
(ii) [subject to paragraph (4) of this subsection, a long–term 10
agreement regarding management and operations at the Laurel Park racing facility site; 11
and 12
(iii)] agreements between the Authority and project entities for the 13
planning, design, and construction of a racing facility. 14
(3) (i) Subject to subparagraph (ii) of this paragraph, the long–term 15
agreement required under paragraph (2)(i) of this subsection shall: 16
1. ensure the continuity of the Preakness Stakes at the 17
Pimlico racing facility site; 18
2. [ensure the MJC Entities’ sole, exclusive, and 19
unconditional rights to: 20
A. manage and operate the Pimlico racing facility site subject 21
to the exclusions and conditions in the long–term agreement; 22
B. conduct at the Pimlico racing facility site thoroughbred 23
training and racing, satellite simulcast wagering, advanced deposit wagering, and any 24
other lawful activities; 25
C. designate annually exclusive use periods for the conduct 26
of live thoroughbred training and racing; 27
D. maintain the track surfaces; 28
E. operate satellite simulcast wagering, advanced deposit 29
wagering, and any other lawful activities; and 30
HOUSE BILL 1524 13
F. an option to reacquire the Pimlico racing facility site at the 1
termination or expiration of the long–term agreement on mutually agreeable terms and 2
conditions, subject to the approval of the Board of Public Works; 3
3.] require BE CONTINGENT ON the conveyance or 4
conveyances in fee simple of the Pimlico site, in whole or in part, to THE MARYLAND 5
THOROUGHBRE D RACETRACK OPERATING AUTHORITY, Baltimore City, the 6
Baltimore Development Corporation or its successor or assigns, or any designated project 7
entity, at the time and on the conditions established in the long–term agreement and 8
subject to the Authority securing all the necessary development approvals and funding for 9
the racing and community development project costs; AND 10
[4. establish the MJC Entities’ rights to: 11
A. designate annually exclusive use periods for the conduct 12
of live thoroughbred training and racing; 13
B. maintain the track surfaces; and 14
C. operate satellite simulcast wagering, advanced deposit 15
wagering, and any other lawful activities; 16
5. preserve the MJC Entities’ tangible, intangible, 17
management, performance, distribution, intellectual property, advertising, concession, 18
merchandising, sponsorship, media, streaming, naming, licensing, and commercial 19
development rights, and any other rights identified by the MJC Entities; 20
6. subject to the operating agreements of the project entities, 21
preserve the MJC Entities’ right to retain or designate revenues and profits associated with 22
the MJC Entities’ rights and lawful activities; and 23
7.] 3. [subject to subparagraph (iii) of this paragraph,] 24
establish: 25
A. the right of the Authority or an entity designated by the 26
Authority to manage and operate the Pimlico Clubhouse and Events Facility, grounds, and 27
any facility [not designated for the MJC Entities’ year–round use]; 28
B. the obligation of the Authority or an entity designated by 29
the Authority to operate, maintain as a first–class facility, in good condition, repair, and 30
secure the Pimlico racing facility site during periods identified in the long–term agreement; 31
and 32
C. the obligation of the Authority or an entity designated by 33
the Authority to cooperate with respect to the provision of adequate parking and efficient 34
transportation plans around the Pimlico racing facility site. 35 14 HOUSE BILL 1524
(ii) 1. Unless thoroughbred racing is no longer a lawful activity, 1
or is otherwise rendered not commercially viable as a result of a change in law or regulation, 2
the long–term agreement under paragraph (2)(i) of this subsection may not expire while 3
any bond, debt, or other financial instrument issued by the Authority for the improvement 4
of a racing facility remains unpaid. 5
2. If thoroughbred racing is no longer a lawful activity, or is 6
otherwise rendered not commercially viable as a result of a change in law or regulation, the 7
parties to the long–term agreement shall notify the Board of Public Works at least 180 days 8
before the expiration or termination of the long–term agreement. 9
3. The notice required under subsubparagraph 2 of this 10
subparagraph shall contain a wind–down plan. 11
4. The long–term agreement required under paragraph (2)(i) 12
of this subsection shall contain dispute resolution provisions, including expedited review, 13
in the event that there is a dispute among the parties regarding the existence of the 14
conditions described in subsubparagraph 1 of this subparagraph or the contents of the 15
wind–down plan. 16
[(iii) The MJC Entities shall have: 17
1. priority of use over the Pimlico Clubhouse and Events 18
Facility and grounds for MJC Entities’ purposes related to racing, wagering, or other 19
agreed–on uses; and 20
2. the right to access and egress from the Pimlico racing 21
facility site during periods identified in the agreement.] 22
(4) (i) Subject to subparagraph (ii) of this paragraph, the [long–term 23
agreement] AGREEMENTS required under paragraph (2)(ii) of this subsection shall: 24
1. [ensure that the Maryland Million is run annually at 25
Laurel Park except: 26
A. during periods of construction; 27
B. if prevented from doing so by weather, acts of God, or other 28
circumstances beyond the control of the racing licensee; or 29
C. if the racing licensee and the Maryland Million, LLC agree 30
to another location that is approved by the State Racing Commission; 31
2. ensure the MJC Entities’ sole, exclusive, and 32
unconditional rights to: 33 HOUSE BILL 1524 15
A. manage and operate the Laurel Park racing facility site; 1
and 2
B. conduct at the Laurel Park racing facility site year–round 3
thoroughbred training and racing, satellite simulcast wagering, advanced deposit 4
wagering, and any other lawful activities; 5
3. provide for the MJC Entities: 6
A. grant of an interest in the Laurel Park racing facility site, 7
in whole or in part, to Anne Arundel County or an entity or entities designated by Anne 8
Arundel County, including any designated project entity, for a specified term, including 9
renewals, and on the conditions established in the long–term agreement and subject to the 10
Authority securing all necessary development approvals and funding for the racing and 11
community development project costs; 12
B. access to the Laurel Park racing facility site for parking 13
and roadways; 14
C. rights to the Laurel Park racing facility site at the 15
expiration or termination of the long–term agreements on mutually agreeable terms and 16
conditions; 17
D. payment to Anne Arundel County, or an entity designated 18
by Anne Arundel County, of an amount at least equal to the prorated amount of real 19
property taxes paid in fiscal year 2020 for the Laurel Park racing facility site and any 20
improvements on the site, unless otherwise agreed to by the MJC Entities and Anne 21
Arundel County; and 22
E. an obligation to maintain as a first–class facility, in good 23
condition, repair, and secure the Laurel Park racing facility site during the periods 24
identified in the long–term agreement; 25
4.] preserve the MJC Entities’ tangible, intangible, 26
management, performance, distribution, intellectual property, advertising, concession, 27
merchandising, sponsorship, media, streaming, naming, licensing, commercial 28
development, and any other rights identified by the MJC Entities; and 29
[5.] 2. subject to the operating agreements of the project entities, 30
preserve the MJC Entities’ right to retain or designate revenues and profits associated with 31
the MJC Entities’ rights and lawful activities. 32
(ii) 1. Unless thoroughbred racing is no longer a lawful activity, 33
or is otherwise rendered not commercially viable as a result of a change in law or regulation, 34
the [long–term agreement] AGREEMENTS under paragraph (2)(ii) of this subsection may 35 16 HOUSE BILL 1524
not expire while any bond, debt, or other financial instrument issued by the Authority for 1
the improvement of a racing facility remains unpaid. 2
2. If thoroughbred racing is no longer a lawful activity, or is 3
otherwise rendered not commercially viable as a result of a change in law or regulation, the 4
parties to the [long–term agreement] AGREEMENTS shall notify the Board of Public Works 5
at least 180 days before the expiration or termination of the [long–term agreement] 6
AGREEMENTS . 7
3. The notice required under subsubparagraph 2 of this 8
subparagraph shall contain a wind–down plan. 9
4. The [long–term agreement] AGREEMENTS required 10
under paragraph (2)(ii) of this subsection shall contain dispute resolution provisions, 11
including expedited review, in the event that there is a dispute among the parties regarding 12
the existence of the conditions described in subsubparagraph 1 of this subparagraph or the 13
contents of the wind–down plan. 14
(e) [The] ON BEHALF OF THE MARYLAND THOROUGHBRED RACETRACK 15
OPERATING AUTHORITY, THE Authority shall enter into agreements with project entities 16
or local entities for planning, design, and construction of the racing and community 17
development projects at a racing facility site. 18
(f) For fiscal year 2022 and each fiscal year thereafter, until the bonds that have 19
been issued to finance racing facilities are no longer outstanding and unpaid, the 20
Comptroller shall deposit into the Racing and Community Development Financing Fund 21
AT LEAST $17,000,000 from the State Lottery Fund under § 9–120(b)(1)(iv) of the State 22
Government Article. 23
(g) If the money deposited in the Racing and Community Development Financing 24
Fund in accordance with subsection (f) of this section is not needed for debt service or debt 25
service reserves, the Authority may transfer those funds to the Racing and Community 26
Development Facilities Fund. 27
(h) If funds are needed for debt service or debt service reserves, the Authority 28
may transfer money in the Racing and Community Development Facilities Fund to the 29
Racing and Community Development Financing Fund. 30
10–1003. 31
(a) The purpose of the Authority is to maintain the State as a best–in–class 32
thoroughbred horse racing venue. 33
(b) The Authority may: 34
HOUSE BILL 1524 17
(1) study and make any recommendations that the Authority finds are in 1
the best interests of thoroughbred racing in the State; 2
(2) in coordination with other State entities, develop new and existing 3
horse racing and training facilities in the State; 4
(3) [subject to subsection (c) of this section and in accordance with an 5
executive order or a determination of the State Racing Commission that a thoroughbred 6
racing licensee under Title 11, Subtitle 5 of the Business Regulation Article, for any reason 7
other than weather, an act of God, or other circumstances beyond the control of the licensee, 8
is unable to support the minimum number of live racing days: 9
(i)] SUBJECT TO THE APPRO VAL OF AN AGREEMENT BY THE 10
BOARD OF PUBLIC WORKS, manage and oversee, in compliance with Title 11, Subtitle 5 11
of the Business Regulation Article: 12
[1.] (I) day–to–day thoroughbred horse racing operations; 13
[2.] (II) live racing days; and 14
[3.] (III) assets in the State; [and] 15
[(ii)] (4) in coordination with the Maryland Economic Development 16
Corporation, acquire property or contractual interests consistent with § 11–521 of the 17
Business Regulation Article and the procedures set forth in §§ 8–334 through 8–339 of the 18
Transportation Article; 19
[(4)] (5) enter into any agreements, leases, partnerships, or contracts 20
necessary to: 21
(i) support and sustain Maryland thoroughbred racing and 22
pari–mutuel wagering activity; and 23
(ii) ensure compliance with State Racing Commission rules and 24
regulations; 25
[(5)] (6) authorize or create a separate body, entity, or holding company 26
to carry out any provisions of this subtitle; 27
[(6)] (7) adopt regulations to carry out the provisions of this subtitle; and 28
[(7)] (8) make any other recommendations the Authority deems 29
necessary. 30
[(c) Before the Authority may exercise the powers authorized under subsection 31
(b)(3) of this section, the Legislative Policy Committee shall review and comment on the 32 18 HOUSE BILL 1524
executive order or determination of the State Racing Commission described under 1
subsection (b)(3) of this section.] 2
(C) (1) THE AUTHORITY SHALL PREPA RE ACCRUAL BASIS FIN ANCIAL 3
STATEMENTS AT THE CL OSE OF EACH FISCAL Y EAR. 4
(2) THE ACCRUAL BASIS FIN ANCIAL STATEMENTS SHALL DESCRIBE 5
THE CURRENT FINANCIA L CONDITIONS OF THE AUTHORITY FOR THE YEA R AND 6
PROVIDE A STATEMENT OF OPERATING PROFIT OR LOSS. 7
(3) SUBJECT TO PARAGRAPH (4) OF THIS SUBSECTION , BEGINNING 8
WITH THE FIRST FULL YEAR OF THOROUGHBRED RACING OPERATIONS AT THE 9
NEWLY CONSTRUCTED PIMLICO RACING FACILI TY, 10% OF THE ANNUAL NET 10
INCOME OF THE AUTHORITY SHALL BE DI STRIBUTED EACH YEAR IN ACCORDANCE 11
WITH § 9–1A–31(A)(3)(II) OF THE STATE GOVERNMENT ARTICLE. 12
(4) PRIOR TO CALCULATING THE AMOUNT TO BE DIS TRIBUTED UNDER 13
PARAGRAPH (3) OF THIS SUBSECTION , THE ANNUAL NET INCOM E OF THE AUTHORITY 14
SHALL BE REDUCED BY THE CUMULATIVE OPERA TING LOSSES CARRIED FORWARD, IF 15
ANY, FROM PRIOR YEARS OF OPERATION. 16
(D) (1) AT LEAST 45 DAYS BEFORE THE AUTHORITY ENTERS INTO A LEASE 17
OF THE PIMLICO RACING FACILI TY SITE, THE AUTHORITY SHALL SUBMI T A COPY OF 18
THE LEASE TO THE LEGISLATIVE POLICY COMMITTEE. 19
(2) THE LEGISLATIVE POLICY COMMITTEE SHALL HAVE UP TO 45 20
DAYS AFTER THE LEASE IS SUBMITTED TO THE COMMITTEE UNDER PARAG RAPH (1) 21
OF THIS SUBSECTION TO REV IEW AND COMMENT ON T HE LEASE. 22
10–1004. 23
(a) (1) Subject to paragraph (2) of this subsection, the Authority consists of: 24
(i) the following members appointed by the Governor with the advice 25
and consent of the Senate: 26
1. one member from a list of two individuals nominated by 27
the Maryland Thoroughbred Horsemen’s Association; 28
2. one member from a list of two individuals nominated by 29
the Maryland Horse Breeders Association; [and] 30
3. ONE MEMBER WHO REPRE SENTS PARK HEIGHTS 31
RENAISSANCE, INC.; 32
HOUSE BILL 1524 19
4. ONE MEMBER WHO REPRE SENTS THE COMMUNITY 1
SURROUNDING THE TRAI NING FACILITY SITE A S DEFINED UNDER § 10–601 OF THIS 2
TITLE; AND 3
[3.] 5. three other members who possess relevant industry, 4
business, or government experience: 5
A. at least one of whom shall have experience in real estate 6
development or the financial services industries; and 7
B. one of whom shall serve as Chair; 8
(ii) the Chair or Executive Director of the Maryland Stadium 9
Authority, or the designee of the Chair or Executive Director; 10
(iii) the Chair or Executive Director of the Maryland Economic 11
Development Corporation, or the designee of the Corporation’s Board of Directors; 12
(iv) one member who is not an elected official, appointed by the 13
President of the Senate; 14
(v) one member who is not an elected official, appointed by the 15
Speaker of the House; 16
(vi) the following nonvoting, ex officio members, appointed by the 17
Governor: 18
1. one member of the community who resides near Laurel 19
Park Race Course; 20
2. one member of the community who resides near Pimlico 21
Race Course; and 22
3. one member of the community who resides near the Bowie 23
Race Course Training Center property; and 24
(vii) one nonvoting, ex officio member of the State Racing Commission, 25
designated by a majority of the members of the State Racing Commission. 26
(2) A majority of the members of the Authority may not have a direct interest 27
in thoroughbred horse racing as an owner, trainer, or licensee. 28
Article – State Government 29
9–111. 30
20 HOUSE BILL 1524
(F) IT IS THE INTENT OF T HE GENERAL ASSEMBLY THAT THE AGENCY 1
OFFER THE RACETRAX LOTTERY GAME AT A FREQUENCY THAT MAXIMIZES REVENUE 2
FROM THE GAME . 3
9–120. 4
(b) (1) By the end of the month following collection, the Comptroller shall 5
deposit, cause to be deposited, or pay: 6
(iv) after June 30, 2021, into the Racing and Community 7
Development Financing Fund established under § 10–657.2 of the Economic Development 8
Article from the money that remains in the State Lottery Fund, after the distribution under 9
subsection (a) of this section, an amount equal to AT LEAST $17,000,000 in each fiscal year 10
until the bonds issued for a racing facility have matured; 11
(xii) after June 30, 2023, into the Prince George’s County Blue Line 12
Corridor Facility Fund established under § 10–657.6 of the Economic Development Article 13
from the money that remains in the State Lottery Fund from the proceeds of all lotteries after 14
the distributions under subsection (a) of this section and items (i) through (xi) of this 15
paragraph, an amount not to exceed $27,000,000 to be paid in two installments not later 16
than November 1 and June 1 of each fiscal year; [and] 17
(XIII) AFTER JUNE 30, 2024, A SUPPLEMENTAL LOCAL IMPACT 18
GRANT OF $3,000,000 EACH FISCAL YEAR TO THE COUNTY EXECUTIVE AND COUNTY 19
COUNCIL OF PRINCE GEORGE’S COUNTY FROM THE MONEY THAT REMAINS IN THE 20
STATE LOTTERY FUND FROM THE PROCEED S OF ALL LOTTERIES A FTER THE 21
DISTRIBUTIONS UNDER SUBSECTION (A) OF THIS SECTION AND ITEMS (I) THROUGH 22
(XII) OF THIS PARAGRAPH TO BE DISTRIBUTED IN PRINCE GEORGE’S COUNTY IN 23
ACCORDANCE WITH § 9–1A–31 OF THIS TITLE; AND 24
[(xiii)] (XIV) into the General Fund of the State the money that 25
remains in the State Lottery Fund from the proceeds of all lotteries after the distributions 26
under subsection (a) of this section and items (i) through [(xii)] (XIII) of this paragraph. 27
9–1A–28. 28
(a) There is a Purse Dedication Account under the authority of the State Racing 29
Commission. 30
(b) (1) The Account shall receive money as required under § 9–1A–27 of this 31
subtitle. 32
(2) Money in the Account shall be invested and reinvested by the Treasurer 33
and interest and earnings shall accrue to the Account. 34
(3) The Comptroller shall: 35 HOUSE BILL 1524 21
(i) account for the Account; 1
(ii) for fiscal year 2021, transfer $5,000,000, from the portion of the 2
proceeds in the Account allocated to thoroughbred purses under subsection (c)(1) of this 3
section, to the Racing and Community Development Facilities Fund established under § 4
10–657.3 of the Economic Development Article; 5
(iii) for fiscal year 2022 and each fiscal year thereafter, on a properly 6
approved transmittal prepared by the Maryland Stadium Authority, issue a warrant to pay 7
out $5,000,000, from the portion of the proceeds in the Account allocated to thoroughbred 8
purses under subsection (c)(1) of this section, to the State Lottery Fund established under § 9
9–120 of this title until any bonds, debt, or other financial instruments issued or made 10
available by the Maryland Stadium Authority for a racing facility under Title 10, Subtitle 11
6 of the Economic Development Article reach final maturity; [and] 12
(iv) BEGINNING WITH THE F IRST FULL YEAR OF TH OROUGHBRED 13
RACING OPERATIONS AT THE NEWLY CONSTRUCTE D PIMLICO RACING FACILI TY, FOR 14
ANY FISCAL YEAR THAT THE MARYLAND THOROUGHBRED RACETRACK OPERATING 15
AUTHORITY REPORTS AN OPERATING LOSS UNDER § 10–1003(C) OF THE ECONOMIC 16
DEVELOPMENT ARTICLE, ON A PROPERLY APPROV ED TRANSMITTAL PREPA RED BY 17
THE AUTHORITY, ISSUE A WARRANT TO P AY OUT THE AMOUNT OF THE OPERATING 18
LOSS, FROM THE PORTION OF THE PRO CEEDS IN THE ACCOUNT ALLOCATED TO 19
THOROUGHBRED PURSES UNDER SUBSECTION (C)(1) OF THIS SECTION , TO THE 20
AUTHORITY; AND 21
(V) on a properly approved transmittal prepared by the State Racing 22
Commission, issue a warrant to pay out money from the Account in the manner provided 23
under this section. 24
(4) The Account is a special, nonlapsing fund that is not subject to § 7–302 25
of the State Finance and Procurement Article. 26
(5) Except as provided in paragraph (3)(ii) [and (iii)] THROUGH (IV) of this 27
subsection, expenditures from the Account shall only be made on a properly approved 28
transmittal prepared by the State Racing Commission as provided under subsection (c) of 29
this section. 30
9–1A–29. 31
(a) There is a Racetrack Facility Renewal Account under the authority of the 32
State Racing Commission. 33
(d) (1) The amount of funds made available from the Racetrack Facility 34
Renewal Account shall be allocated as follows: 35
22 HOUSE BILL 1524
(i) [1.] for fiscal year [2021] 2025 AND EACH FISCAL YEAR 1
THEREAFTER , [80%] 10% to be deposited in the Racing and Community Development 2
Facilities Fund established under § 10–657.3 of the Economic Development Article; [and] 3
(II) [2.] for fiscal year 2022 and thereafter, 80% to the State 4
Lottery Fund established under § 9–120 of this title; and 5
[(ii)] (III) [subject to paragraph (2) of this subsection, 20% to 6
Rosecroft Raceway and] FOR FISCAL YEAR 2025 AND EACH FISCAL YEAR THEREAFTER , 7
10% TO Ocean Downs Race Course [according to a formula established in regulations 8
adopted by the State Racing Commission]. 9
(2) [Of the amount available to Rosecroft Raceway from the Racetrack 10
Facility Renewal Account under paragraph (1)(ii) of this subsection: 11
(i) the unencumbered fund balance, including accrued interest, 12
existing as of June 30, 2020, shall be transferred to the Racing and Community 13
Development Facilities Fund established under § 10–646.3 of the Economic Development 14
Article; and 15
(ii) subject] SUBJECT to paragraph (3) of this subsection, FROM 16
THE AMOUNT TRANSFERR ED TO THE STATE LOTTERY FUND RACING AND 17
COMMUNITY DEVELOPMENT FACILITIES FUND IN ACCORDANCE WITH P ARAGRAPH 18
(1)(II) (1)(I) OF THIS SUBSECTION , for fiscal year [2021] 2025 and each fiscal year 19
thereafter, $200,000 shall be transferred annually to Employ Prince George’s, Inc. for 20
workforce development and small, minority, and women–owned business development. 21
(d) (1) The amount of funds made available from the Racetrack Facility 22
Renewal Account shall be allocated as follows: 23
(i) 1. for fiscal year 2021, 80% to be deposited in the Racing and 24
Community Development Facilities Fund established under § 10–657.3 of the Economic 25
Development Article; and 26
2. for fiscal year 2022 and thereafter, 80% to the State Lottery 27
Fund established under § 9–120 of this title; and 28
(ii) subject to paragraph (2) of this subsection, 20% to Rosecroft 29
Raceway and Ocean Downs Race Course according to a formula established in regulations 30
adopted by the State Racing Commission. 31
(2) Of the amount available to Rosecroft Raceway from the Racetrack 32
Facility Renewal Account under paragraph (1)(ii) of this subsection: 33
HOUSE BILL 1524 23
(i) the unencumbered fund balance, including accrued interest, 1
existing as of June 30, 2020, shall be transferred to the Racing and Community Development 2
Facilities Fund established under § 10–646.3 of the Economic Development Article; and 3
(ii) subject to paragraph (3) of this subsection, for fiscal year 2021 4
and each fiscal year thereafter, $200,000 shall be transferred annually to Employ Prince 5
George’s, Inc. for workforce development and small, minority, and women–owned business 6
development. 7
(3) (i) It is the intent of the General Assembly that the funds 8
transferred to Employ Prince George’s, Inc. shall supplement, and not supplant, funds 9
otherwise available for Employ Prince George’s, Inc. 10
(ii) If Employ Prince George’s, Inc. is unable to expend the funds 11
transferred under paragraph [(2)(ii)] (2) (2)(ii) of this subsection during the 12–month 12
period after which Employ Prince George’s, Inc. received the funds, Employ Prince 13
George’s, Inc. shall partner with similar organizations located within Prince George’s 14
County to expend the balance of the funds from that period to encourage workforce 15
development and small, minority, and women–owned business development. 16
(4) FOR FISCAL YEAR 2026, THE GOVERNOR SHALL INCLUD E IN THE 17
ANNUAL BUDGET BILL A N APPROPRIATION OF $4,500,000 TO THE RACETRACK 18
FACILITY RENEWAL ACCOUNT TO BE MADE AVAILABLE TO ROSECROFT RACEWAY. 19
(g) Any unencumbered funds remaining in the Racetrack Facility Renewal 20
Account after [a] THE LAST video lottery facility TO OPEN has been in operation for 16 years 21
shall be paid to the Education Trust Fund established under § 9–1A–30 of this subtitle. 22
(h) (1) The State Racing Commission shall adopt regulations to implement the 23
provisions of this section, including regulations to[: 24
(1)] (I) address minimum criteria for the types of improvements to be 25
made by the holder of a license[; and 26
(2) (II) establish a formula to allocate funds under subsection (d)(2) of 27
this section between Rosecroft Raceway and Ocean Downs Race Course]. 28
(2) IF ROSECROFT RACEWAY IS CLOSED AND NO LONGER USED FOR 29
LIVE RACING THE UNENCUMBERED FUND BA LANCE, INCLUDING ACCRUED 30
INTEREST, OF THE AMOUNT AVAILA BLE TO ROSECROFT RACEWAY FROM THE 31
RACETRACK FACILITY RENEWAL ACCOUNT UNDER SUBSECT ION (D)(1)(II) OF THIS 32
SECTION SHALL BE MAD E AVAILABLE TO OCEAN DOWNS RACE COURSE. 33
9–1A–31. 34
24 HOUSE BILL 1524
(a) (1) Except as provided in paragraph (8) of this subsection, the local impact 1
grants provided under § 9–1A–27 of this subtitle shall be distributed as provided in this 2
subsection. 3
(3) The remaining funds for local impact grants shall be distributed in the 4
following manner: 5
(i) 82% to the local jurisdictions with video lottery facilities, based 6
on each jurisdiction’s percentage of overall gross revenues from video lottery terminals; and 7
(ii) except as provided in paragraph (4) of this subsection, for 8
operations at a video lottery facility starting in fiscal year 2012 and ending in fiscal year 9
2032, 18% to Baltimore City with the Pimlico Community Development Authority acting as 10
the local development council in accordance with subsection (d) of this section, to be 11
distributed primarily for capital projects benefiting economic and community development 12
in the following manner: 13
1. A. for fiscal years 2012 through 2023, at least 75% in a 14
manner that is consistent with the Park Heights Master Plan; and 15
B. for fiscal years 2024 through 2032, 85% in a manner that 16
is consistent with the Park Heights Master Plan; and 17
2. the remainder dedicated to the needs of: 18
A. any census blockgroup that Baltimore City identifies as 19
being located partly or entirely within 1 mile of Pimlico Race Course but not within the 20
boundaries of the Park Heights Master Plan in a manner that is consistent with adopted 21
neighborhood priorities; 22
B. any neighborhood included in the Northwest Community 23
Planning Forum Strategic Neighborhood Action Plan in a manner that is consistent with 24
the adopted Northwest Community Planning Forum Strategic Neighborhood Action Plan 25
priorities; and 26
C. beginning after a video lottery operation license is issued to 27
a video lottery facility in Baltimore City, any neighborhood within an area bounded by 28
Liberty Heights Avenue, Northern Parkway, Druid Park Drive, and Wabash Avenue in a 29
manner that is consistent with adopted neighborhood priorities. 30
(4) (i) Of the amount specified under paragraph (3)(ii) of this subsection: 31
1. $1,000,000 shall be provided annually to Prince George’s 32
County to be used for public safety projects in the community within 5 miles surrounding 33
Rosecroft Raceway; 34
HOUSE BILL 1524 25
2. $500,000 shall be provided annually for impact aid to be 1
distributed as provided under § 11–404(d) of the Business Regulation Article to help pay for 2
facilities and services in communities within 3 miles of the Laurel Race Course; 3
3. for fiscal years 2022 through 2032, $3,500,000 shall be 4
provided annually to the State Lottery Fund established under § 9–120 of this title; and 5
4. for fiscal years 2021 through 2032, the greater of 6
$2,400,000 or 24% of the total amount distributed for the fiscal year under paragraph (3)(ii) 7
of this subsection shall be provided annually to Park Heights Renaissance, Inc. 8
(ii) The Legislative Policy Committee shall report its findings and 9
recommendations concerning the advisability of the continuation of the distribution of funds 10
after fiscal year 2032 to the Comptroller and, in accordance with § 2–1257 of this article, the 11
General Assembly, on or before November 1, 2030. 12
9–1E–01. 13
(a) In this subtitle the following words have the meanings indicated. 14
(d) “Horse racing licensee” means the holder of a license issued by the State 15
Racing Commission under [Title 11, Subtitle 5] § 11–510 of the Business Regulation 16
Article [to hold racing in Anne Arundel County]. 17
9–1E–06. 18
(b) (1) [An] EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS 19
SUBSECTION, AN applicant for a sports wagering license shall pay to the Commission an 20
application fee of: 21
[(1)] (I) $2,000,000 for a Class A–1 sports wagering facility license; 22
[(2)] (II) $1,000,000 for a Class A–2 sports wagering facility license; 23
[(3)] (III) $250,000 for a Class B–1 sports wagering facility license; 24
[(4)] (IV) $50,000 for a Class B–2 sports wagering facility license; and 25
[(5)] (V) $500,000 for a mobile sports wagering license. 26
(2) THE REQUIREMENT TO PA Y AN APPLICATION FEE TO THE 27
COMMISSION UNDER PARA GRAPH (1) OF THIS SUBSECTION D OES NOT APPLY TO AN 28
APPLICANT FOR A CLASS A–2 SPORTS WAGERING FACI LITY LICENSE THAT IS A 29
HORSE RACING LICENSE E DESCRIBED UNDER § 11–510(B)(3) OF THE BUSINESS 30
REGULATION ARTICLE. 31
26 HOUSE BILL 1524
(d) (1) A sports wagering licensee may not begin accepting wagers on sporting 1
events until the application fee under subsection [(b)] (B)(1) of this section is paid in full 2
and the applicant reimburses the Commission for expenses related to performing 3
background investigations. 4
(2) The application fee under subsection [(b)] (B)(1) of this section is 5
nonrefundable. 6
Article – Tax – General 7
2–1302.3. 8
AFTER MAKING THE DIST RIBUTIONS REQUIRED U NDER §§ 2–1301 THROUGH 9
2–1302.2 OF THIS SUBTITLE , THE COMPTROLLER SHALL DIS TRIBUTE THE S ALES 10
AND USE TAX REVENUE THAT IS ATTRIBUTABLE TO THE PURCHASE OF A RACEHORSE 11
FOLLOWING A CLAIMING RACE TO THE RACING AND COMMUNITY DEVELOPMENT 12
FACILITIES FUND ESTABLISHED UNDE R § 10–657.3 OF THE ECONOMIC 13
DEVELOPMENT ARTICLE. 14
2–1303. 15
After making the distributions required under §§ 2–1301 through [2–1302.2] 16
2–1302.3 of this subtitle, the Comptroller shall pay: 17
(1) revenues from the hotel surcharge into the Dorchester County 18
Economic Development Fund established under § 10–130 of the Economic Development 19
Article; 20
(2) to the Blueprint for Maryland’s Future Fund established under § 5–206 21
of the Education Article, the following percentage of the remaining sales and use tax 22
revenues: 23
(i) for fiscal year 2023, 9.2%; 24
(ii) for fiscal year 2024, 11.0%; 25
(iii) for fiscal year 2025, 11.3%; 26
(iv) for fiscal year 2026, 11.7%; and 27
(v) for fiscal year 2027 and each fiscal year thereafter, 12.1%; and 28
(3) the remaining sales and use tax revenue into the General Fund of the 29
State. 30
10–207. 31 HOUSE BILL 1524 27
(a) To the extent included in federal adjusted gross income, the amounts under 1
this section are subtracted from the federal adjusted gross income of a resident to determine 2
Maryland adjusted gross income. 3
(ii) (1) In this subsection, [“Laurel Park site” and “Pimlico site” have the 4
meanings] “PIMLICO SITE” HAS THE MEANING stated in § 10–601 of the Economic 5
Development Article. 6
(2) The subtraction under subsection (a) of this section includes: 7
(i) the amount of gain recognized as a result of the direct or indirect 8
transfer or conveyance of[: 9
1.] any property located, or used, at or within the [Laurel 10
Park site or] Pimlico site; and 11
[2. any portion of the Bowie Race Course Training Center 12
property; and] 13
(ii) the amount of income recognized as a result of any expenditure 14
of funds directly or indirectly by the State[,] OR Baltimore City[, or Anne Arundel County] 15
with respect to the [Laurel Park site or] Pimlico site. 16
10–307. 17
(a) To the extent included in federal taxable income, the amounts under this 18
section are subtracted from the federal taxable income of a corporation to determine 19
Maryland modified income. 20
(g) The subtraction under subsection (a) of this section includes the amounts 21
allowed to be subtracted for an individual under: 22
(1) § 10–207(i) of this title (Profits on sale or exchange of State or local 23
bonds); 24
(2) § 10–207(k) of this title (Relocation and assistance payments); 25
(3) § 10–207(m) of this title (State or local income tax refunds); 26
(4) § 10–207(c–1) of this title (State tax–exempt interest from mutual 27
funds); 28
(5) [§ 10–207(hh)] § 10–207(II) of this title (Gain on the transfer of 29
property within the [Laurel Park site or] Pimlico site [or Bowie Race Course Training 30
Center property] and income recognized as result of governmental expenditures); or 31 28 HOUSE BILL 1524
(6) § 10–207(jj) of this title (Coronavirus relief payments). 1
11–236. 2
(a) (1) In this section the following words have the meanings indicated. 3
(2) (i) “Construction material” means an item of tangible personal 4
property that is used to construct or renovate a building, a structure, or an improvement 5
on land and that typically loses its separate identity as personal property once incorporated 6
into the real property. 7
(ii) “Construction material” includes building materials, building 8
systems equipment, landscaping materials, and supplies. 9
(3) [“Laurel Park racing facility site” has the meaning stated in § 10–601 10
of the Economic Development Article. 11
(4)] “Pimlico site” [has the meaning] AND “TRAINING FACI LITY SITE” 12
HAVE THE MEANINGS stated in § 10–601 of the Economic Development Article. 13
(b) The sales and use tax does not apply to a sale of construction material, if: 14
(1) the construction material is purchased by a person solely for use in 15
furtherance of the provisions of Title 10, Subtitle 6 of the Economic Development Article 16
for the construction or redevelopment at the [Laurel Park racing facility site or] Pimlico 17
site OR TRAINING FACILITY SITE; 18
(2) the sale is made before January 1, [2026] 2029; and 19
(3) the buyer provides the vendor with eligibility of the exemption issued 20
by the Comptroller. 21
(c) The Comptroller shall adopt regulations to implement this section. 22
Article – Tax – Property 23
7–246. 24
(a) In this section, [“Laurel Park racing facility site” and] “Pimlico racing facility 25
site” AND “TRAINING FACILITY SI TE” have the meanings stated in § 10–601 of the 26
Economic Development Article. 27
(b) An interest of a person in an improvement at the [Laurel Park racing facility 28
site or] Pimlico racing facility site OR TRAINING FACILITY SITE or an interest of a person 29 HOUSE BILL 1524 29
in the real property of the [Laurel Park racing facility site or] Pimlico racing facility site 1
OR TRAINING FACILITY SITE is not subject to property tax for the duration of: 2
(1) with respect to the Pimlico racing facility site, the long–term agreement 3
described under [§ 10–646.1(d)(2)(i)] § 10–646.1(D) of the Economic Development Article; 4
or 5
(2) with respect to the [Laurel Park racing facility site] TRAINING 6
FACILITY SITE, the long–term agreement described under [§ 10–646.1(d)(2)(ii)] § 7
10–646.1(D) of the Economic Development Article. 8
12–108. 9
(hh) (1) In this subsection, [“Laurel Park racing facility site”,] “MJC Entities”, 10
“Pimlico racing facility site”, “Pimlico site”, [and] “project entities”, AND “TRAINING 11
FACILITY SITE” have the meanings stated in § 10–601 of the Economic Development 12
Article. 13
(2) An instrument of writing is not subject to recordation tax if the 14
instrument of writing transfers or grants a security interest in property that is[: 15
(i)] located at or within the [Laurel Park racing facility site,] Pimlico 16
racing facility site, [or] Pimlico site, OR TRAINING FACILITY SITE and the transfer or 17
grant is by any combination of project entities, MJC Entities, Baltimore City, OR an entity 18
designated by Baltimore City[, Anne Arundel County, or an entity designated by Anne 19
Arundel County; or 20
(ii) the property identified as the Bowie Race Course Training 21
Center under § 11–519 of the Business Regulation Article that is transferred by the owner 22
of the property to a government entity]. 23
13–207. 24
(a) An instrument of writing is not subject to transfer tax to the same extent that 25
it is not subject to recordation tax under: 26
(26) § 12–108(hh) of this article (Transfer of real property within the [Laurel 27
Park racing facility site,] Pimlico racing facility site, Pimlico site, or [Bowie Race Course 28
Training Center property)], OR TRAINING FACILITY SITE). 29
13–410. 30
An instrument of writing is not subject to the county transfer tax to the same extent 31
that it is not subject to the recordation tax under: 32
30 HOUSE BILL 1524
(1) § 12–108(cc) of this article (Certain transfers to land trusts); or 1
(2) § 12–108(hh) of this article (Transfer of real property within the [Laurel 2
Park racing facility site,] Pimlico racing facility site, Pimlico site, or [Bowie Race Course 3
Training Center property)], OR TRAINING FACILITY SI TE). 4
Chapter 590 of the Acts of 2020 5
SECTION 9. AND BE IT FURTHER ENACTED, That: 6
(a) In addition to the funds otherwise available for racing and community 7
development project costs under this Act and notwithstanding the limitations under § 8
10–657.3 of the Economic Development Article, as enacted by Section 1 of this Act, 9
$2,000,000 of the funds transferred to the Racing and Community Development Facilities 10
Fund established under § 10–657.3 of the Economic Development Article in accordance with 11
§ 9–1A–29(d)(2) of the State Government Article, as enacted by Section 1 of this Act, may 12
be used: 13
(1) BEFORE JUNE 1, 2024, only to reimburse the racing licensees’ costs 14
attributable to maintaining ongoing year–round racing operations, ensuring the continued 15
running of the Preakness Stakes at the Pimlico site during construction, and expenses 16
related to the Bowie Race Course Training Center before the conveyance of the property in 17
accordance with § 11–519 of the Business Regulation Article, as enacted by Section 1 of this 18
Act; AND 19
(2) ON OR AFTER JUNE 1, 2024, BY THE MARYLAND THOROUGHBRED 20
RACETRACK OPERATING AUTHORITY FOR TRANSIT IONAL, OPERATIONAL , AND 21
CAPITAL COSTS AT LAUREL PARK AND OTHER USES D EEMED NECESSARY BY T HE 22
AUTHORITY. 23
(b) The Maryland Stadium Authority shall cooperate with the racing licensee to 24
identify the costs described under subsection [(a)] (A)(1) of this section and establish an 25
approval process before any reimbursement is provided in accordance with subsection [(a)] 26
(A)(1) of this section. 27
Chapter 344 of the Acts of 2022 28
Section 1(3) 29
ZA00 MISCELLANEOUS GRANT PROGRAMS 30
(MO) PARK HEIGHTS WORKFORCE HOUSING. PROVIDE A GRANT TO TH E 31
BOARD OF DIRECTORS OF PARK HEIGHTS RENAISSANCE TO BE USE D, IN 32
CONSULTATION WITH TH E DEPARTMENT OF HOUSING AND COMMUNITY 33
DEVELOPMENT , THE MARYLAND THOROUGHBRED RACETRACK 34 HOUSE BILL 1524 31
OPERATING AUTHORITY, AND THE GOVERNING BO DY OF THE PIMLICO 1
REDEVELOPMENT COMMUNITY COMPACT, FOR INVESTMENTS IN 2
WORKFORCE HOUSING TH AT ARE CONSISTENT WI TH THE PARK HEIGHTS 3
MASTER PLAN AREA ……………………………………………… 10,000,000 4
Chapter 344 of the Acts of 2022, as amended by Chapter 111 of the Acts of 2023 5
Section 1(3) 6
SA25 DIVISION OF DEVELOPMENT FINANCE 7
(Statewide) 8
(B) Maryland Racing Operations Fund. Provide funds for the acquisition, 9
construction, rehabilitation, or other capital expenditures for thoroughbred 10
racetracks ………………………………………………………………. [10,000,000] 0 11
Chapter 111 of the Acts of 2023 12
SECTION 6. AND BE IT FURTHER ENACTED, That, except as provided in Section 13
5 of this Act, this Act shall take effect June 1, 2023. Section 2 of this Act shall remain 14
effective for a period of [4] 6 years and 1 month and, at the end of June 30, [2027] 2029, 15
Section 2 of this Act, with no further action required by the General Assembly, shall be 16
abrogated and of no further force and effect. 17
SECTION 4. AND BE IT FURTHER ENACTED, That it is the intent of the General 18
Assembly that: 19
(1) the Maryland Jockey Club transfer, in accordance with the Pimlico 20
Transfer Agreement, ownership of the Pimlico racing facility site to the Maryland 21
Thoroughbred Racetrack Operating Authority; 22
(2) on or before January 1, 2025: 23
(i) the Maryland Jockey Club or an affiliate make Laurel Park 24
available to the Maryland Thoroughbred Racetrack Operating Authority for use as a 25
transition facility while new racing facilities are constructed at the Pimlico racing facility 26
site and a new training facility is constructed; and 27
(ii) the Maryland Jockey Club or an affiliate and Laurel Racing 28
Association Limited Partnership transfer the right to conduct all thoroughbred horse racing 29
in the State to the Maryland Thoroughbred Racetrack Operating Authority or its designees 30
except that the Maryland Jockey Club or an affiliate may conduct the Preakness Stakes, 31
the Black–Eyed Susan Stakes, and related undercard races in 2025 at the Pimlico racing 32
facility site and Laurel Park in 2026; 33
32 HOUSE BILL 1524
(3) (iii) on or before July 1, 2026, the Maryland Jockey Club or an 1
affiliate and Maryland Thoroughbred Racetrack Operating Authority enter into a licensing 2
agreement for the intellectual property related to the Preakness Stakes and the 3
Black–Eyed Susan Stakes; and 4
(4) (iv) on or before January 1, 2027, the Maryland Jockey Club or an 5
affiliate and the Laurel Racing Association Limited Partnership enter into a long–term 6
loan agreement with the Maryland Thoroughbred Racetrack Operating Authority granting 7
the Authority the right to display the Woodlawn Vase at any location of the Authority’s 8
choosing; 9
(5) (3) the ownership of the Maryland Jockey Club and Pimlico names 10
and trademarks be transferred to the Maryland Thoroughbred Racetrack Operating 11
Authority; and 12
(6) (4) the Maryland Jockey Club and Laurel Racing Association 13
Limited Partnership transfer to the Maryland Thoroughbred Racetrack Operating 14
Authority: 15
(i) all personal property and equipment at the Pimlico racing facility 16
site necessary to operate year–round racing and to use the personal property and 17
equipment at Laurel Park during the period that the Pimlico racing facility site is under 18
construction; 19
(ii) the Maryland Thoroughbred Purse Account; and 20
(iii) on the agreement of the parties, material contracts, permits, and 21
licenses applicable to the Pimlico Racetrack. 22
SECTION 5. AND BE IT FURTHER ENACTED, That: 23
(a) On or before June 30, 2024, the unencumbered fund balance, including 24
accrued interest, that is allocated to the Rosecroft Raceway under the Racetrack Facility 25
Renewal Account shall be transferred to the Racing and Community Development 26
Facilities Fund established under § 10–657.3 of the Economic Development Article. 27
(b) The funds described under subsection (a) of this section may be used by the 28
Maryland Thoroughbred Racetrack Operating Authority for transitional, operational, and 29
capital costs at Laurel Park and other uses deemed necessary by the Authority. 30
SECTION 6. AND BE IT FURTHER ENACTED, That the Governor may transfer by 31
budget amendment for fiscal year 2025 an amount not exceeding $10,000,000 from the 32
Racing and Community Development Financing Fund to the Maryland Racing Operations 33
Fund established under § 10–1008 of the Economic Development Article to be used by the 34
Maryland Thoroughbred Racetrack Operating Authority, or a nonprofit organization 35
designated by the Authority, as working capital. 36
HOUSE BILL 1524 33
SECTION 6. 7. AND BE IT FURTHER ENACTED, That it is the intent of the 1
General Assembly that this Act is consistent with the terms set forth in the executed 2
Pimlico Redevelopment Community Compact. 3
SECTION 8. AND BE IT FURTHER ENACTED, That, prior to the expiration of the 4
sunset provision under Chapter 111 of the Acts of 2023, as amended by Section 3 of this 5
Act, the Maryland Thoroughbred Racetrack Operating Authority shall transfer or assign 6
all obligations in accordance with the transaction agreements described under Section 4 of 7
this Act. 8
SECTION 7. 9. AND BE IT FURTHER ENACTED, That this Act shall take effect 9
June 1, 2024. 10
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.