North Dakota 2025-2026 Regular Session

North Dakota Senate Bill SB2347 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	25.0647.02003
2		-	Title.03000
3		-	Adopted by the Judiciary Committee
	1	+	25.0647.02000
4	2		Sixty-ninth
5		-	February 10, 2025
6	3		Legislative Assembly
7	4		of North Dakota
8	5		Introduced by
9	6		Senators Myrdal, Sorvaag, Thomas
10		-	A BILL for an Act to create and enact twothree new sections to chapter 53-06.2 of the North
11		-	Dakota Century Code, relating to historic horse race wagering and, pari-mutuel horse racing,
12		-	and the establishment of the racing commission fund; and to amend and reenact sections
13		-	53-06.2-01, 53-06.2-04, 53-06.2-05, 53-06.2-06, 53-06.2-07, 53-06.2-08, 53-06.2-10,
14		-	53-06.2-10.1, and 53-06.2-11 of the North Dakota Century Code, relating to the authorization of
15		-	historic horse race wagering and on August 1, 2027, the elimination of simulcast dog racing
16		-	under the certificate system; and to provide an effective date.
	7	+	A BILL for an Act to create and enact two new sections to chapter 53-06.2 of the North Dakota
	8	+	Century Code, relating to historic horse race wagering and pari-mutuel horse racing; and to
	9	+	amend and reenact sections 53-06.2-01, 53-06.2-04, 53-06.2-05, 53-06.2-06, 53-06.2-07,
	10	+	53-06.2-08, 53-06.2-10, 53-06.2-10.1, and 53-06.2-11 of the North Dakota Century Code,
	11	+	relating to the authorization of historic horse race wagering and the elimination of simulcast dog
	12	+	racing under the certificate system.
17	13		BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF NORTH DAKOTA:
18	14		SECTION 1. AMENDMENT. Section 53-06.2-01 of the North Dakota Century Code is
19	15		amended and reenacted as follows:
20	16		53-06.2-01. Definitions.
21	17		As used in this chapter:
22	18		1."Association" means a person licensed by the racing commission conducting
23	19		pari - mutuel wagering.
24	20		2."Breeders' fund" means a fund, administered by the commission, established to
25	21		financially reward breeders or owners of North Dakota-bred horses to be paid in
26	22		accordance with rules as approved by the commission.
27	23		2.3."Certificate system" means the system of betting described in section 53-06.2-10.
28		-	Page No. 1 25.0647.02003
	24	+	3.4."Charitable organization" means a nonprofit organization operated for the relief of
	25	+	poverty, distress, or other conditions of public concern in this state and has been so
	26	+	engaged in this state for at least two years.
	27	+	4.5."Civic and service club" means a branch, lodge, or chapter of a nonprofit national or
	28	+	state organization that is authorized by its written constitution, charter, articles of
	29	+	incorporation, or bylaws to engage in a civic or service purpose in this state and has
	30	+	so existed in this state for at least two years. The term includes a similar local
	31	+	Page No. 1 25.0647.02000
29	32		SENATE BILL NO. 2347
30		-	~~PROPOSED AMENDMENTS TO~~
	33	+
31	34		1
32	35		2
33	36		3
34	37		4
35	38		5
36	39		6
37	40		7
38	41		8
39	42		9
40	43		10
41	44		11
42	45		12
43	46		13
44	47		14
45	48		15
46	49		16
47	50		17
48		-	18 Sixty-ninth
	51	+	18
	52	+	19
	53	+	20
	54	+	21
	55	+	22
	56	+	23
	57	+	24 Sixty-ninth
49	58		Legislative Assembly
50		-	3.4."Charitable organization" means a nonprofit organization operated for the relief of
51		-	poverty, distress, or other conditions of public concern in this state and has been so
52		-	engaged in this state for at least two years.
53		-	4.5."Civic and service club" means a branch, lodge, or chapter of a nonprofit national or
54		-	state organization that is authorized by its written constitution, charter, articles of
55		-	incorporation, or bylaws to engage in a civic or service purpose in this state and has
56		-	so existed in this state for at least two years. The term includes a similar local
57	59		nonprofit organization, not affiliated with a state or national organization, which is so
58	60		recognized by a resolution adopted by the governing body of the local jurisdiction in
59	61		which the organization conducts its principal activities, and which has existed in this
60	62		state for at least two years.
61	63		5.6."Commission" means the North Dakota racing commission.
62	64		6.7."Equine racing facility" means a horse racing facility that conducts at least eight live
63	65		horse races in a calendar year and which has a minimum racing infrastructure
64	66		consisting of:
65		-	a.A six-furlong [1207.01 meters] five-furlong [1005.84 meters] dirt track for flat
66		-	racing;
	67	+	a.A six-furlong [1207.01 meters] dirt track for flat racing;
67	68		b.Capacity for no fewer than five hundred individuals; and
68	69		c.Barns with no fewer than fifty permanent stalls.
69	70		8."Executive director" means the executive director of the commission.
70	71		7.9."Fraternal organization" means a nonprofit organization in this state, which is a
71	72		branch, lodge, or chapter of a national or state organization and exists for the common
72	73		business, brotherhood, or other interests of its members, and has so existed in this
73	74		state for two years. The term does not include a college or high school fraternity.
74	75		10."Historic horse race" means any horse race that was previously conducted by a
75	76		licensed pari-mutuel facility, concluded with official results, and concluded without
76	77		scratches, disqualifications, and dead-heat finishes.
77	78		8.11."Local jurisdiction" means, with respect to a site inside the city limits of a city, that city,
78	79		and with respect to a site not inside the city limits of a city, the county in which the site
79	80		is located.
80		-	Page No. 2 25.0647.02003
	81	+	9.12."Other public-spirited organization" means a nonprofit organization recognized by the
	82	+	governing body of the appropriate local jurisdiction by resolution as public-spirited and
	83	+	eligible under this chapter.
	84	+	10.13."Pari-mutuel wagering" means a method of wagering approved by the commission in
	85	+	which one or more patrons wager on a horse race, whether live, simulcast, or historic
	86	+	horse race.
	87	+	14."Purse fund" means a fund, administered by the commission, established to
	88	+	supplement and improve purses offered at racetracks within the state.
	89	+	Page No. 2 25.0647.02000
81	90		1
82	91		2
83	92		3
84	93		4
85	94		5
86	95		6
87	96		7
88	97		8
89	98		9
90	99		10
91	100		11
92	101		12
93	102		13
94	103		14
95	104		15
96	105		16
97	106		17
98	107		18
99	108		19
100	109		20
101	110		21
102	111		22
103	112		23
104	113		24
105	114		25
106	115		26
107	116		27
108	117		28
109	118		29
110	119		30 Sixty-ninth
111	120		Legislative Assembly
112		-	9.12."Other public-spirited organization" means a nonprofit organization recognized by the
113		-	governing body of the appropriate local jurisdiction by resolution as public-spirited and
114		-	eligible under this chapter.
115		-	10.13."Pari-mutuel wagering" means a method of wagering approved by the commission in
116		-	which one or more patrons wager on a horse race, whether live, simulcast, or historic
117		-	horse race.
118		-	14."Purse fund" means a fund, administered by the commission, established to
119		-	supplement and improve purses offered at racetracks within the state.
120	121		11.15."Racing" means live or simulcast horse racing under the certificate system or
121	122		simulcast dog racing under the certificate system.
122	123		12.16."Racing promotion fund" means a fund administered by the commission established to
123	124		assist in improving and upgrading racetracks in the state, promoting horse racing in
124	125		the state, and developing new racetracks in the state as necessary and approved by
125	126		the commission.
126	127		13.17."Religious organization" means a nonprofit organization, church, body of
127	128		communicants, or group gathered in common membership for mutual support and
128	129		edification in piety, worship, and religious observances, and which has been so
129	130		gathered or united in this state for at least two years.
130	131		14.18."Veterans' organization" means a congressionally chartered organization in this state,
131	132		or a branch, lodge, or chapter of a nonprofit national or state organization in this state,
132	133		the membership of which consists of individuals who were members of the armed
133	134		services or forces of the United States, and which has so been in existence in this
134	135		state for at least two years.
135		-	SECTION 2. AMENDMENT. Section 53-06.2-01 of the North Dakota Century Code is
136		-	amended and reenacted as follows:
137		-	53-06.2-01. Definitions.
138		-	As used in this chapter:
139		-	1."Association" means a person licensed by the racing commission conducting
140		-	pari-mutuel wagering.
141		-	Page No. 3 25.0647.02003
142		-	1
143		-	2
144		-	3
145		-	4
146		-	5
147		-	6
148		-	7
149		-	8
150		-	9
151		-	10
152		-	11
153		-	12
154		-	13
155		-	14
156		-	15
157		-	16
158		-	17
159		-	18
160		-	19
161		-	20
162		-	21
163		-	22
164		-	23
165		-	24
166		-	25
167		-	26
168		-	27
169		-	28
170		-	29 Sixty-ninth
171		-	Legislative Assembly
172		-	2."Breeders' fund" means a fund, administered by the commission, established to
173		-	financially reward breeders or owners of North Dakota-bred horses to be paid in
174		-	accordance with rules as approved by the commission.
175		-	3."Certificate system" means the system of betting described in section 53-06.2-10.
176		-	4."Charitable organization" means a nonprofit organization operated for the relief of
177		-	poverty, distress, or other conditions of public concern in this state and has been so
178		-	engaged in this state for at least two years.
179		-	5."Civic and service club" means a branch, lodge, or chapter of a nonprofit national or
180		-	state organization that is authorized by its written constitution, charter, articles of
181		-	incorporation, or bylaws to engage in a civic or service purpose in this state and has
182		-	so existed in this state for at least two years. The term includes a similar local
183		-	nonprofit organization, not affiliated with a state or national organization, which is so
184		-	recognized by a resolution adopted by the governing body of the local jurisdiction in
185		-	which the organization conducts its principal activities, and which has existed in this
186		-	state for at least two years.
187		-	6."Commission" means the North Dakota racing commission.
188		-	7."Equine racing facility" means a horse racing facility that conducts at least eight live
189		-	horse races in a calendar year and which has a minimum racing infrastructure
190		-	consisting of:
191		-	a.A five-furlong [1005.84 meters] dirt track for flat racing;
192		-	b.Capacity for no fewer than five hundred individuals; and
193		-	c.Barns with no fewer than fifty permanent stalls.
194		-	8."Executive director" means the executive director of the commission.
195		-	9."Fraternal organization" means a nonprofit organization in this state, which is a
196		-	branch, lodge, or chapter of a national or state organization and exists for the common
197		-	business, brotherhood, or other interests of its members, and has so existed in this
198		-	state for two years. The term does not include a college or high school fraternity.
199		-	10."Historic horse race" means any horse race that was previously conducted by a
200		-	licensed pari-mutuel facility, concluded with official results, and concluded without
201		-	scratches, disqualifications, and dead-heat finishes.
202		-	Page No. 4 25.0647.02003
203		-	1
204		-	2
205		-	3
206		-	4
207		-	5
208		-	6
209		-	7
210		-	8
211		-	9
212		-	10
213		-	11
214		-	12
215		-	13
216		-	14
217		-	15
218		-	16
219		-	17
220		-	18
221		-	19
222		-	20
223		-	21
224		-	22
225		-	23
226		-	24
227		-	25
228		-	26
229		-	27
230		-	28
231		-	29
232		-	30 Sixty-ninth
233		-	Legislative Assembly
234		-	11."Local jurisdiction" means, with respect to a site inside the city limits of a city, that city,
235		-	and with respect to a site not inside the city limits of a city, the county in which the site
236		-	is located.
237		-	12."Other public-spirited organization" means a nonprofit organization recognized by the
238		-	governing body of the appropriate local jurisdiction by resolution as public-spirited and
239		-	eligible under this chapter.
240		-	13."Pari-mutuel wagering" means a method of wagering approved by the commission in
241		-	which one or more patrons wager on a horse race, whether live, simulcast, or historic
242		-	horse race.
243		-	14."Purse fund" means a fund, administered by the commission, established to
244		-	supplement and improve purses offered at racetracks within the state.
245		-	15."Racing" means live or simulcast horse racing under the certificate system or
246		-	simulcast dog racing under the certificate system.
247		-	16."Racing promotion fund" means a fund administered by the commission established to
248		-	assist in improving and upgrading racetracks in the state, promoting horse racing in
249		-	the state, and developing new racetracks in the state as necessary and approved by
250		-	the commission.
251		-	17."Religious organization" means a nonprofit organization, church, body of
252		-	communicants, or group gathered in common membership for mutual support and
253		-	edification in piety, worship, and religious observances, and which has been so
254		-	gathered or united in this state for at least two years.
255		-	18."Veterans' organization" means a congressionally chartered organization in this state,
256		-	or a branch, lodge, or chapter of a nonprofit national or state organization in this state,
257		-	the membership of which consists of individuals who were members of the armed
258		-	services or forces of the United States, and which has so been in existence in this
259		-	state for at least two years.
260		-	SECTION 3. AMENDMENT. Section 53-06.2-04 of the North Dakota Century Code is
	136	+	SECTION 2. AMENDMENT. Section 53-06.2-04 of the North Dakota Century Code is
261	137		amended and reenacted as follows:
262	138		53-06.2-04. Duties of commission.
263	139		The commission shall:
264	140		1.Provide for racing and wagering under the certificate system.
265		-	Page No. 5 25.0647.02003
	141	+	2.Set racing dates.
	142	+	3.Adopt rules for effectively preventing the use of any substance, compound items, or
	143	+	combinations of any medicine, narcotic, stimulant, depressant, or anesthetic which
	144	+	could alter the normal performance of a racehorse, unless specifically authorized by
	145	+	the commission.
	146	+	4.Supervise and check the making of pari-mutuel pools, pari-mutuel machines, and
	147	+	equipment at all races held for wagering under the certificate system.
	148	+	5.Adopt rules governing, restricting, or regulating bids on licensees' concessions and
	149	+	leases on equipment.
	150	+	6.Consider all proposed extensions, additions, or improvements to the buildings,
	151	+	stables, or tracks on property owned or leased by a licensee.
	152	+	Page No. 3 25.0647.02000
266	153		1
267	154		2
268	155		3
269	156		4
270	157		5
271	158		6
272	159		7
273	160		8
274	161		9
275	162		10
276	163		11
277	164		12
278	165		13
279	166		14
280	167		15
281	168		16
282	169		17
283	170		18
284	171		19
285	172		20
286	173		21
287	174		22
288	175		23
289	176		24
290	177		25
291	178		26
292	179		27
293	180		28
294	181		29
295	182		30
296	183		31 Sixty-ninth
297	184		Legislative Assembly
298		-	2.Set racing dates.
299		-	3.Adopt rules for effectively preventing the use of any substance, compound items, or
300		-	combinations of any medicine, narcotic, stimulant, depressant, or anesthetic which
301		-	could alter the normal performance of a racehorse, unless specifically authorized by
302		-	the commission.
303		-	4.Supervise and check the making of pari-mutuel pools, pari-mutuel machines, and
304		-	equipment at all races held for wagering under the certificate system.
305		-	5.Adopt rules governing, restricting, or regulating bids on licensees' concessions and
306		-	leases on equipment and governing historic horse racing.
307		-	6.Consider all proposed extensions, additions, or improvements to the buildings,
308		-	stables, or tracks on property owned or leased by a licensee.
309	185		7.Exclude from racetracks or simulcast pari-mutuel wagering facilities any
310	186		personindividual who violates any rule of the commission or any law.
311	187		8.Determine the cost of inspections performed under subsection 3 of section 53-06.2-05
312	188		and require the licensee to pay that cost.
313	189		9.Report biennially to the legislative council regarding the operation of the commission.
314	190		10.Provide notice to the North Dakota horsemen's council of meetings held by the
315	191		commission and permit the North Dakota horsemen's council to participate in the
316	192		meetings through placement of items on the agenda.
317	193		11.Complete, distribute, and post on the commission's website the minutes of each
318	194		commission meeting within thirty days of that meeting or before the next meeting of
319	195		the commission, whichever occurs first.
320		-	SECTION 4. AMENDMENT. Section 53-06.2-05 of the North Dakota Century Code is
	196	+	SECTION 3. AMENDMENT. Section 53-06.2-05 of the North Dakota Century Code is
321	197		amended and reenacted as follows:
322	198		53-06.2-05. Powers of commission.
323	199		The commission may:
324	200		1.Compel the production of all documents showing the receipts and disbursements of
325	201		any licensee and determine the manner in which such financial records are to be kept.
326	202		2.Investigate the operations of any licensee and enter any vehicle or place of business,
327	203		residence, storage, or racing of any licensee on the grounds of a licensed association
328	204		to determine whether there has been compliance with the provisions of this chapter
329		-	Page No. 6 25.0647.02003
	205	+	and rules adopted under this chapter, and to discover and seize any evidence of
	206	+	noncompliance.
	207	+	3.Request appropriate state officials to perform inspections necessary for the health and
	208	+	safety of spectators, employees, participants, and horses that are lawfully on a
	209	+	racetrack.
	210	+	4.License all participants in the racing and simulcast pari-mutuel wagering industry and
	211	+	require and obtain information the commission deems necessary from license
	212	+	applicants. Licensure of service providers, totalizator companies, site operators, and
	213	+	organizationsentities applying to conduct or conducting pari-mutuel wagering must be
	214	+	approved by the attorney general. The attorney general may not grant a license
	215	+	denied by the commission. The commission may obtain a statewide and nationwide
	216	+	Page No. 4 25.0647.02000
330	217		1
331	218		2
332	219		3
333	220		4
334	221		5
335	222		6
336	223		7
337	224		8
338	225		9
339	226		10
340	227		11
341	228		12
342	229		13
343	230		14
344	231		15
345	232		16
346	233		17
347	234		18
348	235		19
349	236		20
350	237		21
351	238		22
352	239		23
353	240		24
354	241		25
355	242		26
356	243		27
357	244		28
358	245		29
359	246		30
360	247		31 Sixty-ninth
361	248		Legislative Assembly
362		-	and rules adopted under this chapter, and to discover and seize any evidence of
363		-	noncompliance.
364		-	3.Request appropriate state officials to perform inspections necessary for the health and
365		-	safety of spectators, employees, participants, and horses that are lawfully on a
366		-	racetrack.
367		-	4.License all participants in the racing and, simulcast, advance deposit wagering, and
368		-	historic horse race pari-mutuel wagering industry and require and obtain information
369		-	the commission deems necessary from license applicants. Licensure of service
370		-	providers, totalizator companies, site operators, and organizationsentities applying to
371		-	conduct or conducting pari-mutuel wagering must be approved by the attorney
372		-	general. The attorney general may not grant a license denied by the commission. The
373		-	commission may obtain a statewide and nationwide criminal history record check from
374		-	the bureau of criminal investigation for the purpose of determining suitability or fitness
375		-	for a license. The nationwide check must be conducted in the manner provided in
376		-	section 12-60-24. All costs associated with obtaining a background check are the
377		-	responsibility of the applicant for a license.
	249	+	criminal history record check from the bureau of criminal investigation for the purpose
	250	+	of determining suitability or fitness for a license. The nationwide check must be
	251	+	conducted in the manner provided in section 12-60-24. All costs associated with
	252	+	obtaining a background check are the responsibility of the applicant for a license.
378	253		5.Receive moneys from the North Dakota horse racing foundation for deposit in the
379	254		purse fund, breeders' fund, or racing promotion fund in accordance with subsection 6
380	255		of section 53-06.2-11.
381	256		6.Adopt additional rules for the administration, implementation, and regulation of
382	257		activities conducted pursuant to this chapter. The commission shall deposit any fees
383	258		collected under authority of this subsection in the racing commission operating fund.
384	259		Subject to legislative appropriation, the commission may spend the fees for operating
385	260		costs of the commission.
386		-	SECTION 5. AMENDMENT. Section 53-06.2-06 of the North Dakota Century Code is
	261	+	SECTION 4. AMENDMENT. Section 53-06.2-06 of the North Dakota Century Code is
387	262		amended and reenacted as follows:
388	263		53-06.2-06. Organizations eligible to conduct racing and simulcastassist in
389	264		conducting pari-mutuel wagering.
390	265		Civic and service clubs; charitable, fraternal, religious, and veterans' organizations; and
391	266		other public-spirited
392		-	Page No. 7 25.0647.02003
	267	+	1.Public-spirited organizations the primary purpose of which is for equine education,
	268	+	community recreation, and economic development may be licensed to conduct racing
	269	+	and simulcast assist in conducting pari-mutuel wagering as authorized by this chapter.
	270	+	2.The following types of organizations may be licensed to conduct pari - mutuel wagering
	271	+	under this chapter:
	272	+	a.Civic and service clubs;
	273	+	b.Charitable, fraternal, religious, and veterans' organizations; and
	274	+	c.Other public-spirited organizations.
	275	+	SECTION 5. AMENDMENT. Section 53-06.2-07 of the North Dakota Century Code is
	276	+	amended and reenacted as follows:
	277	+	Page No. 5 25.0647.02000
393	278		1
394	279		2
395	280		3
396	281		4
397	282		5
398	283		6
399	284		7
400	285		8
401	286		9
402	287		10
403	288		11
404	289		12
405	290		13
406	291		14
407	292		15
408	293		16
409	294		17
410	295		18
411	296		19
412	297		20
413	298		21
414	299		22
415	300		23
416	301		24
417	302		25
418	303		26
419	304		27
420		-	28
421		-	29
422		-	30 Sixty-ninth
	305	+	28 Sixty-ninth
423	306		Legislative Assembly
424		-	1.Public-spirited organizations the primary purpose of which is for equine education,
425		-	community recreation, and economic development may be licensed to conduct racing
426		-	and simulcast assist in conducting pari-mutuel wagering as authorized by this chapter.
427		-	2.The following types of organizations may be licensed to conduct simulcast pari - mutuel
428		-	wagering under this chapter:
429		-	a.Civic and service clubs;
430		-	b.Charitable, fraternal, religious, and veterans' organizations; and
431		-	c.Other public-spirited organizations.
432		-	SECTION 6. AMENDMENT. Section 53-06.2-07 of the North Dakota Century Code is
433		-	amended and reenacted as follows:
434	307		53-06.2-07. Issuance of racing licenses - Applications.
435	308		1.On compliance by an applicant with this chapter and the approval of the attorney
436	309		general, the commission may issue a license to conduct races. The attorney general
437	310		may not grant a license denied by the commission.
438	311		2.An application for a license to conduct a racing meet must be signed under oath and
439	312		filed with the commission. The application must contain at least the following:
440	313		a.The name and post-office address of the applicant.
441	314		b.The location of the racetrack and whether it is owned or leased. If the racetrack is
442	315		leased, a copy of the lease must be included.
443	316		c.A statement of the applicant's previous history and association sufficient to
444	317		establish that the applicant is an eligible organization.
445	318		d.The time, place, and number of days the racing meet is proposed to be
446	319		conducted.
447	320		e.The type of racing to be conducted.
448	321		f.Other information the commission requires.
449	322		3.At least thirty days before the commission issues or renews a license to conduct
450	323		races, the applicant shall deliver a complete copy of the application to the local
451	324		jurisdiction governing body. The application to the commission must include a
452	325		certificate verified by a representative of the applicant, indicating delivery of the
453	326		application copy to the governing body. If the governing body of the local jurisdiction
454	327		adopts a resolution disapproving the application for license or renewal and so informs
455		-	Page No. 8 25.0647.02003
	328	+	the executive director within thirty days of receiving a copy of the application, the
	329	+	license to conduct races may not be issued or renewed.
	330	+	4.A licensee, including a totalizator provider or service provider, may not offer bets or
	331	+	wagers on dog races.
	332	+	SECTION 6. AMENDMENT. Section 53-06.2-08 of the North Dakota Century Code is
	333	+	amended and reenacted as follows:
	334	+	53-06.2-08. License authorization and fees.
	335	+	1.Each license issued under the certificate system must describe the place, track, or
	336	+	racecourse at which the licensee may hold races. Every license must specify the
	337	+	number of days the licensed races may continue, the hours during which racing may
	338	+	Page No. 6 25.0647.02000
456	339		1
457	340		2
458	341		3
459	342		4
460	343		5
461	344		6
462	345		7
463	346		8
464	347		9
465	348		10
466	349		11
467	350		12
468	351		13
469	352		14
470	353		15
471	354		16
472	355		17
473	356		18
474	357		19
475	358		20
476	359		21
477	360		22
478	361		23
479	362		24
480	363		25
481	364		26
482	365		27
483	366		28
484	367		29
485	368		30
486	369		31 Sixty-ninth
487	370		Legislative Assembly
488		-	the executive director within thirty days of receiving a copy of the application, the
489		-	license to conduct races may not be issued or renewed.
490		-	4. A licensee, including a totalizator provider or service provider, may not offer bets or
491		-	wagers on dog races.
492		-	SECTION 7. AMENDMENT. Section 53-06.2-07 of the North Dakota Century Code is
493		-	amended and reenacted as follows:
494		-	53-06.2-07. Issuance of racing licenses - Applications.
495		-	1.On compliance by an applicant with this chapter and the approval of the attorney
496		-	general, the commission may issue a license to conduct races. The attorney general
497		-	may not grant a license denied by the commission.
498		-	2.An application for a license to conduct a racing meet must be signed under oath and
499		-	filed with the commission. The application must contain at least the following:
500		-	a.The name and post-office address of the applicant.
501		-	b.The location of the racetrack and whether it is owned or leased. If the racetrack is
502		-	leased, a copy of the lease must be included.
503		-	c.A statement of the applicant's previous history and association sufficient to
504		-	establish that the applicant is an eligible organization.
505		-	d.The time, place, and number of days the racing meet is proposed to be
506		-	conducted.
507		-	e.Other information the commission requires.
508		-	3.At least thirty days before the commission issues or renews a license to conduct
509		-	races, the applicant shall deliver a complete copy of the application to the local
510		-	jurisdiction governing body. The application to the commission must include a
511		-	certificate verified by a representative of the applicant, indicating delivery of the
512		-	application copy to the governing body. If the governing body of the local jurisdiction
513		-	adopts a resolution disapproving the application for license or renewal and so informs
514		-	the executive director within thirty days of receiving a copy of the application, the
515		-	license to conduct races may not be issued or renewed.
516		-	4. A licensee, including a totalizator provider or service provider, may not offer bets or
517		-	wagers on dog races.
518		-	Page No. 9 25.0647.02003
519		-	1
520		-	2
521		-	3
522		-	4
523		-	5
524		-	6
525		-	7
526		-	8
527		-	9
528		-	10
529		-	11
530		-	12
531		-	13
532		-	14
533		-	15
534		-	16
535		-	17
536		-	18
537		-	19
538		-	20
539		-	21
540		-	22
541		-	23
542		-	24
543		-	25
544		-	26
545		-	27
546		-	28
547		-	29
548		-	30 Sixty-ninth
549		-	Legislative Assembly
550		-	SECTION 8. AMENDMENT. Section 53-06.2-08 of the North Dakota Century Code is
551		-	amended and reenacted as follows:
552		-	53-06.2-08. License authorization and fees.
553		-	1.Each license issued under the certificate system must describe the place, track, or
554		-	racecourse at which the licensee may hold races. Every license must specify the
555		-	number of days the licensed races may continue, the hours during which racing may
556	371		be conducted, and the number of races that may be held each day. Races authorized
557	372		under this chapter may be held during the hours approved by the commission and
558		-	within the hours permitted by state law.
559		-	2. Wagering on historic horse races may be conducted on :
560		-	a. At only one equine racing facility in the state.
561		-	b. On any day, regardless of whether live racing or simulcasting is taking place.
562		-	2.3.The commission may charge a license fee for racing commensurate with the size and
	373	+	within the hours permitted by state law. Wagering on historic horse races may be
	374	+	conducted on any day, regardless of whether live racing or simulcasting is taking
	375	+	place.
	376	+	2.The commission may charge a license fee for racing commensurate with the size and
563	377		attendance of the race meet.
564		-	3.4.Each applicant for a license under this chapter shall give bond or a letter of credit
	378	+	3.Each applicant for a license under this chapter shall give bond or a letter of credit
565	379		payable to this state with good security as approved by the commission. The bond or
566	380		letter of credit must be in the amount the commission determines will adequately
567	381		protect the amount normally due and owing to this state in a regular payment period
568	382		or, in the case of new or altered conditions, based on the projected revenues.
569		-	4.5.The commission may grant licenses to horse owners, jockeys, riders, agents, trainers,
	383	+	4.The commission may grant licenses to horse owners, jockeys, riders, agents, trainers,
570	384		grooms, stable foremen, exercise workers, veterinarians, valets, concessionaires,
571	385		service providers, employees of racing associations, and such other persons as
572	386		determined by the commission. Licensure of service providers, totalizator companies,
573	387		site operators, and organizations applying to conduct or conducting pari-mutuel
574	388		wagering must be approved by the attorney general. The attorney general may not
575	389		grant a license denied by the commission. License fees are as established by the
576	390		commission.
577		-	5.6.The commission may establish the period of timeterm for which licenses issued under
	391	+	5.The commission may establish the period of timeterm for which licenses issued under
578	392		this chapter are valid.
579		-	Page No. 10 25.0647.02003
580		-	1
581		-	2
582		-	3
583		-	4
584		-	5
585		-	6
586		-	7
587		-	8
588		-	9
589		-	10
590		-	11
591		-	12
592		-	13
593		-	14
594		-	15
595		-	16
596		-	17
597		-	18
598		-	19
599		-	20
600		-	21
601		-	22
602		-	23
603		-	24
604		-	25
605		-	26
606		-	27
607		-	28
608		-	29 Sixty-ninth
609		-	Legislative Assembly
610		-	6.7.The commission shall deposit all fees collected under this section in the racing
	393	+	6.The commission shall deposit all fees collected under this section in the racing
611	394		commission operating fund. Subject to legislative appropriation, the commission may
612	395		spend the fees for operating costs of the commission.
613		-	SECTION 9. AMENDMENT. Section 53-06.2-10 of the North Dakota Century Code is
	396	+	SECTION 7. AMENDMENT. Section 53-06.2-10 of the North Dakota Century Code is
614	397		amended and reenacted as follows:
615	398		53-06.2-10. Certificate system - Rules.
616	399		The certificate system allows a licensee to receive money from any person present aton a
617		-	live, simulcast, or historic horse or dog race, simulcast horse race, or simulcast dog race who
618		-	desires to bet on any entry in that race. A person betting on an entry to win acquires an interest
619		-	in the total money bet on all entries in the race, in proportion to the amount of money bet by that
620		-	person, under rules adopted by the commission. The licensee shall receive the bets and for
621		-	each bet on a live or simulcast horse race shall issue a certificate to the bettor on which is at
622		-	least shown the number of the race, the amount bet, and the number or name of the entry
623		-	selected by the bettor. A certificate may not be issued for a wager on a historic horse race . The
624		-	commission may adopt rules for place, show, quinella, combination, or other types of betting
625		-	usually connected with racingpari - mutuel wagering .
626		-	SECTION 10. AMENDMENT. Section 53-06.2-10 of the North Dakota Century Code is
627		-	amended and reenacted as follows:
628		-	53-06.2-10. Certificate system - Rules.
629		-	The certificate system allows a licensee to receive money from any person on a live,
630		-	simulcast, or historic horse or dog race. A person betting on an entry to win acquires an interest
631		-	in the total money bet on all entries in the race, in proportion to the amount of money bet by that
632		-	person, under rules adopted by the commission. The licensee shall receive the bets and for
633		-	each bet on a live or simulcast horse race shall issue a certificate to the bettor on which is at
634		-	least shown the number of the race, the amount bet, and the number or name of the entry
635		-	selected by the bettor. A certificate may not be issued for a wager on a historic horse race. The
636		-	commission may adopt rules for place, show, quinella, combination, or other types of
637		-	pari-mutuel wagering.
638		-	SECTION 11. AMENDMENT. Section 53-06.2-10.1 of the North Dakota Century Code is
639		-	amended and reenacted as follows:
640		-	Page No. 11 25.0647.02003
641		-	1
642		-	2
643		-	3
644		-	4
645		-	5
646		-	6
647		-	7
648		-	8
649		-	9
650		-	10
651		-	11
652		-	12
653		-	13
654		-	14
655		-	15
656		-	16
657		-	17
658		-	18
659		-	19
660		-	20
661		-	21
662		-	22
663		-	23
664		-	24
665		-	25
666		-	26
667		-	27
668		-	28
669		-	29
670		-	30 Sixty-ninth
671		-	Legislative Assembly
672		-	53-06.2-10.1. Simulcast wagering.
673		-	1.As used in this section, "account wagering" means a form of pari - mutuel wagering in
674		-	which an individual deposits money in an account and uses the account balance to
675		-	pay for pari - mutuel wagers.
676		-	2.In addition to racing under the certificate system, as authorized by this chapter, and
677		-	conducted upon the premises of a racetrack, simulcast pari-mutuel and account
678		-	wagering may be conducted in accordance with this chapter or rules adopted by the
679		-	commission under this chapter in accordance with chapter 28-32.
680		-	3.Any organization qualified under section 53-06.2-06 to conduct racing may make
681		-	written applicationapply to the commission for the conduct of simulcast pari-mutuel
682		-	and account wagering on races held at licensed racetracks inside the state or
683		-	racetracks outside the state, or both.
684		-	4.Licensure of service providers, totalizator companies, site operators, or organizations
685		-	applying to conduct or conducting simulcast or account wagering must be approved by
686		-	the attorney general. The attorney general may not grant a license denied by the
687		-	commission.
688		-	5.Notwithstanding any other provision of this chapter, the commission may authorize any
689		-	licensee to participate in interstate or international combined wagering pools with one
690		-	or more other racing jurisdictions. Anytime that
691		-	a.If a licensee participates in an interstate or international combined pool, the
692		-	licensee, as prescribed by the commission, may adopt the take-out of the host
693		-	jurisdiction or facility.
694		-	b.The commission may permit a licensee to use one or more of its races or
695		-	simulcast programs for an interstate or international combined wagering pool at
696		-	locations outside its jurisdiction and may allow pari-mutuel pools in other states to
697		-	be combined with pari-mutuel pools in its jurisdiction for the purpose of
698		-	establishing an interstate or international combined wagering pool.
699		-	c.The participation by a licensee in a combined interstate or international wagering
700		-	pool does not cause that licensee to be considered to be doing business in any
701		-	jurisdiction other than the jurisdiction in which the licensee is physically located.
702		-	Page No. 12 25.0647.02003
703		-	1
704		-	2
705		-	3
706		-	4
707		-	5
708		-	6
709		-	7
710		-	8
711		-	9
712		-	10
713		-	11
714		-	12
715		-	13
716		-	14
717		-	15
718		-	16
719		-	17
720		-	18
721		-	19
722		-	20
723		-	21
724		-	22
725		-	23
726		-	24
727		-	25
728		-	26
729		-	27
730		-	28
731		-	29
732		-	30 Sixty-ninth
733		-	Legislative Assembly
734		-	d.Pari-mutuel taxes or commissions may not be imposed on any amounts wagered
735		-	in an interstate or international combined wagering pool other than amounts
736		-	wagered within this jurisdiction.
737		-	e.Breakage for interstate or international combined wagering pools must be
738		-	calculated in accordance with the statutes or rules of the host jurisdiction and
739		-	must be distributed among the participating jurisdictions in a manner agreed to
740		-	among the jurisdictions.
741		-	6.The certificate system also permits pari-mutuel wagering to be conducted through
742		-	account wagering. As used in this section, "account wagering" means a form of
743		-	pari-mutuel wagering in which an individual deposits money in an account and uses
744		-	the account balance to pay for pari-mutuel wagers. An account wager made on an
745		-	account established in this state may only be made only through the licensed
746		-	simulcast service provider approved by the attorney general and authorized by the
747		-	commission to operate the simulcast pari-mutuel wagering system under the certificate
748		-	system. The attorney general may not grant a license denied by the commission. An
749		-	account wager may be made in person, by direct telephone communication, or
750		-	through other electronic communication in accordance with rules adopted by the
751		-	commission. Breakage for interstate or international combined wagering pools must be
752		-	calculated in accordance with the statutes or rules of the host jurisdiction and must be
753		-	distributed among the participating jurisdictions in a manner agreed to among the
754		-	jurisdictions.
755		-	SECTION 12. A new section to chapter 53-06.2 of the North Dakota Century Code is
756		-	created and enacted as follows:
757		-	Historic horse race wagering.
758		-	1.In accordance with pari - mutuel wagering under the certificate system, and if
759		-	conducted at an equine racing facility, pari - mutuel wagering on historic horse races
760		-	may be conducted in accordance with this chapter or rules adopted by the
761		-	commission. Any equine racing facility under this chapter may offer wagering on
762		-	historic horse races on electronic devices if:
763		-	a.Wagering is conducted within an equine racing facility, using the pari - mutuel
764		-	method of wagering;
765		-	Page No. 13 25.0647.02003
	400	+	live, simulcast, or historic horse race, simulcast horse race, or simulcast dog race who desires
	401	+	to bet on any entry in that race. A person betting on an entry to win acquires an interest in the
	402	+	Page No. 7 25.0647.02000
766	403		1
767	404		2
768	405		3
769	406		4
770	407		5
771	408		6
772	409		7
773	410		8
774	411		9
775	412		10
776	413		11
777	414		12
778	415		13
779	416		14
780	417		15
781	418		16
782	419		17
783	420		18
784	421		19
785	422		20
786	423		21
787	424		22
788	425		23
789	426		24
790	427		25
791	428		26
792	429		27
793	430		28
794	431		29
795	432		30
796	433		31 Sixty-ninth
797	434		Legislative Assembly
798		-	b.A licensee maintains no fewer than two terminals offering the same type of wager
799		-	on historic horse races;
800		-	c.The terminal used for conducting a historic horse race:
801		-	(1)Provides true and accurate past performance information on each historic
802		-	horse race before a patron makes selections;
803		-	(2)Displays the official results of each race;
804		-	(3)Has been tested by an independent testing laboratory to ensure integrity
805		-	and proper working order; and
806		-	(4)Displays pool amounts that patron will receive for a winning wager; and
807		-	d.The identity of each race is revealed to the patron after the patron has placed a
808		-	wager.
809		-	2.The terminal used for conducting a historic horse race may display a photographic
810		-	recording or digital simulation or recreation of a portion of the race.
811		-	3.Notwithstanding any other provision of this chapter, in addition to any bond provided to
812		-	the attorney general as security for other licensed activity pursuant to section
813		-	53 - 06.2 - 08, each licensed service provider approved by the commission to offer
814		-	wagering on historic horse races shall post a bond of five hundred thousand dollars
815		-	payable to the state. A licensed service provider posting a bond under this section is
816		-	not required to post more than one bond in the amount of five hundred thousand
817		-	dollars, regardless of the number of simulcast facilities at which it offers wagers on
818		-	historic horse races.
819		-	SECTION 13. A new section to chapter 53-06.2 of the North Dakota Century Code is
820		-	created and enacted as follows:
821		-	Pari-mutuel horse wagering.
822		-	For pari-mutuel horse wagering:
823		-	1.Wagers must be placed in one or more wagering pools.
824		-	2.Wagers on different races or sets of races may be pooled together.
825		-	3.Patrons may establish odds or payouts.
826		-	4.Winning patrons share in amounts wagered, including carryover amounts plus
827		-	amounts provided by an association less any deductions required, as approved by the
	435	+	total money bet on all entries in the race, in proportion to the amount of money bet by that
	436	+	person, under rules adopted by the commission. The licensee shall receive the bets and for
	437	+	each bet on a live or simulcast horse race shall issue a certificate to the bettor on which is at
	438	+	least shown the number of the race, the amount bet, and the number or name of the entry
	439	+	selected by the bettor. A certificate may not be issued for a wager on a historic horse race. The
	440	+	commission may adopt rules for place, show, quinella, combination, or other types of betting
	441	+	usually connected with racingpari - mutuel wagering .
	442	+	SECTION 8. AMENDMENT. Section 53-06.2-10.1 of the North Dakota Century Code is
	443	+	amended and reenacted as follows:
	444	+	53-06.2-10.1. Simulcast wagering.
	445	+	1.As used in this section, "account wagering" means a form of pari - mutuel wagering in
	446	+	which an individual deposits money in an account and uses the account balance to
	447	+	pay for pari - mutuel wagers.
	448	+	2.In addition to racing under the certificate system, as authorized by this chapter, and
	449	+	conducted upon the premises of a racetrack, simulcast pari-mutuel and account
	450	+	wagering may be conducted in accordance with this chapter or rules adopted by the
	451	+	commission under this chapter in accordance with chapter 28-32.
	452	+	3.Any organization qualified under section 53-06.2-06 to conduct racing may make
	453	+	written applicationapply to the commission for the conduct of simulcast pari-mutuel
	454	+	and account wagering on races held at licensed racetracks inside the state or
	455	+	racetracks outside the state, or both.
	456	+	4.Licensure of service providers, totalizator companies, site operators, or organizations
	457	+	applying to conduct or conducting simulcast or account wagering must be approved by
	458	+	the attorney general. The attorney general may not grant a license denied by the
828	459		commission.
829		-	Page No. 14 25.0647.02003
	460	+	5.Notwithstanding any other provision of this chapter, the commission may authorize any
	461	+	licensee to participate in interstate or international combined wagering pools with one
	462	+	or more other racing jurisdictions. Anytime that
	463	+	a.If a licensee participates in an interstate or international combined pool, the
	464	+	licensee, as prescribed by the commission, may adopt the take-out of the host
	465	+	jurisdiction or facility.
	466	+	Page No. 8 25.0647.02000
830	467		1
831	468		2
832	469		3
833	470		4
834	471		5
835	472		6
836	473		7
837	474		8
838	475		9
839	476		10
840	477		11
841	478		12
842	479		13
843	480		14
844	481		15
845	482		16
846	483		17
847	484		18
848	485		19
849	486		20
850	487		21
851	488		22
852	489		23
853	490		24
854	491		25
855	492		26
856	493		27
857	494		28
858	495		29
859	496		30
860	497		31 Sixty-ninth
861	498		Legislative Assembly
	499	+	b.The commission may permit a licensee to use one or more of its races or
	500	+	simulcast programs for an interstate or international combined wagering pool at
	501	+	locations outside its jurisdiction and may allow pari-mutuel pools in other states to
	502	+	be combined with pari-mutuel pools in its jurisdiction for the purpose of
	503	+	establishing an interstate or international combined wagering pool.
	504	+	c.The participation by a licensee in a combined interstate or international wagering
	505	+	pool does not cause that licensee to be considered to be doing business in any
	506	+	jurisdiction other than the jurisdiction in which the licensee is physically located.
	507	+	d.Pari-mutuel taxes or commissions may not be imposed on any amounts wagered
	508	+	in an interstate or international combined wagering pool other than amounts
	509	+	wagered within this jurisdiction.
	510	+	e.Breakage for interstate or international combined wagering pools must be
	511	+	calculated in accordance with the statutes or rules of the host jurisdiction and
	512	+	must be distributed among the participating jurisdictions in a manner agreed to
	513	+	among the jurisdictions.
	514	+	6.The certificate system also permits pari-mutuel wagering to be conducted through
	515	+	account wagering. As used in this section, "account wagering" means a form of
	516	+	pari-mutuel wagering in which an individual deposits money in an account and uses
	517	+	the account balance to pay for pari-mutuel wagers. An account wager made on an
	518	+	account established in this state may only be made only through the licensed
	519	+	simulcast service provider approved by the attorney general and authorized by the
	520	+	commission to operate the simulcast pari-mutuel wagering system under the certificate
	521	+	system. The attorney general may not grant a license denied by the commission. An
	522	+	account wager may be made in person, by direct telephone communication, or
	523	+	through other electronic communication in accordance with rules adopted by the
	524	+	commission. Breakage for interstate or international combined wagering pools must be
	525	+	calculated in accordance with the statutes or rules of the host jurisdiction and must be
	526	+	distributed among the participating jurisdictions in a manner agreed to among the
	527	+	jurisdictions.
	528	+	SECTION 9. A new section to chapter 53-06.2 of the North Dakota Century Code is created
	529	+	and enacted as follows:
	530	+	Page No. 9 25.0647.02000
	531	+	1
	532	+	2
	533	+	3
	534	+	4
	535	+	5
	536	+	6
	537	+	7
	538	+	8
	539	+	9
	540	+	10
	541	+	11
	542	+	12
	543	+	13
	544	+	14
	545	+	15
	546	+	16
	547	+	17
	548	+	18
	549	+	19
	550	+	20
	551	+	21
	552	+	22
	553	+	23
	554	+	24
	555	+	25
	556	+	26
	557	+	27
	558	+	28
	559	+	29
	560	+	30
	561	+	31 Sixty-ninth
	562	+	Legislative Assembly
	563	+	Historic horse race wagering.
	564	+	1.In accordance with pari - mutuel wagering under the certificate system, and if
	565	+	conducted at an equine racing facility, pari - mutuel wagering on historic horse races
	566	+	may be conducted in accordance with this chapter or rules adopted by the
	567	+	commission. Any equine racing facility under this chapter may offer wagering on
	568	+	historic horse races on electronic devices if:
	569	+	a.Wagering is conducted within an equine racing facility, using the pari - mutuel
	570	+	method of wagering;
	571	+	b.A licensee maintains no fewer than two terminals offering the same type of wager
	572	+	on historic horse races;
	573	+	c.The terminal used for conducting a historic horse race:
	574	+	(1)Provides true and accurate past performance information on each historic
	575	+	horse race before a patron makes selections;
	576	+	(2)Displays the official results of each race;
	577	+	(3)Has been tested by an independent testing laboratory to ensure integrity
	578	+	and proper working order; and
	579	+	(4)Displays pool amounts that patron will receive for a winning wager; and
	580	+	d.The identity of each race is revealed to the patron after the patron has placed a
	581	+	wager.
	582	+	2.The terminal used for conducting a historic horse race may display a photographic
	583	+	recording or digital simulation or recreation of a portion of the race.
	584	+	3.Notwithstanding any other provision of this chapter, in addition to any bond provided to
	585	+	the attorney general as security for other licensed activity pursuant to section
	586	+	53 - 06.2 - 08, each licensed service provider approved by the commission to offer
	587	+	wagering on historic horse races shall post a bond of five hundred thousand dollars
	588	+	payable to the state. A licensed service provider posting a bond under this section is
	589	+	not required to post more than one bond in the amount of five hundred thousand
	590	+	dollars, regardless of the number of simulcast facilities at which it offers wagers on
	591	+	historic horse races.
	592	+	SECTION 10. A new section to chapter 53-06.2 of the North Dakota Century Code is
	593	+	created and enacted as follows:
	594	+	Page No. 10 25.0647.02000
	595	+	1
	596	+	2
	597	+	3
	598	+	4
	599	+	5
	600	+	6
	601	+	7
	602	+	8
	603	+	9
	604	+	10
	605	+	11
	606	+	12
	607	+	13
	608	+	14
	609	+	15
	610	+	16
	611	+	17
	612	+	18
	613	+	19
	614	+	20
	615	+	21
	616	+	22
	617	+	23
	618	+	24
	619	+	25
	620	+	26
	621	+	27
	622	+	28
	623	+	29
	624	+	30
	625	+	31 Sixty-ninth
	626	+	Legislative Assembly
	627	+	Pari-mutuel horse wagering.
	628	+	For pari-mutuel horse wagering:
	629	+	1.Wagers must be placed in one or more wagering pools.
	630	+	2.Wagers on different races or sets of races may be pooled together.
	631	+	3.Patrons may establish odds or payouts.
	632	+	4.Winning patrons share in amounts wagered, including carryover amounts plus
	633	+	amounts provided by an association less any deductions required, as approved by the
	634	+	commission.
862	635		5.Pools may be paid out incrementally as approved by the commission.
863		-	SECTION 14. A new section to chapter 53-06.2 of the North Dakota Century Code is
864		-	created and enacted as follows:
865		-	Racing commission operating fund.
866		-	There is created in the state treasury the racing commission operating fund. The fund
867		-	consists of all racing taxes, monetary fines, and interest and penalties collected under this
868		-	chapter.
869		-	SECTION 15. AMENDMENT. Section 53-06.2-11 of the North Dakota Century Code is
	636	+	SECTION 11. AMENDMENT. Section 53-06.2-11 of the North Dakota Century Code is
870	637		amended and reenacted as follows:
871	638		53-06.2-11. Bet payoff formulas - Uses by licensee of funds in excess of expenses -
872	639		Payment to general fund.
873	640		1.For wagering on live horse racing:
874	641		a.In win, place, and show pari-mutuel pools, the licensee may deduct no more than
875	642		twenty percent of the amount wagered. Of the amount wagered, the licensee
876	643		shall pay:
877		-	(1)One-half of one percent to the state treasurer to be deposited in the
878		-	~~generalracing commission operating~~ fund.
	644	+	(1)One-half of one percent to the state treasurer to be deposited in the general
	645	+	fund.
879	646		(2)One-half of one percent to the commission to be deposited in the breeders'
880	647		fund.
881	648		(3)One-half of one percent to the commission to be deposited in the purse
882	649		fund.
883	650		(4)One-half of one percent to the commission to be deposited in the racing
884	651		promotion fund.
885	652		b.In daily double, quinella, exacta, trifecta, or other combination pari-mutuel pools,
886	653		the licensee may deduct no more than twenty-five percent of the amount
887	654		wagered. Of the amount wagered, the licensee shall pay:
888		-	(1)One-half of one percent to the state treasurer to be deposited in the
889		-	generalracing commission operating fund.
890		-	(2)One-half of one percent to the commission to be deposited in the breeders'
	655	+	(1)One-half of one percent to the state treasurer to be deposited in the general
891	656		fund.
892		-	Page No. 15 25.0647.~~02003~~
	657	+	Page No. 11 25.0647.02000
893	658		1
894	659		2
895	660		3
896	661		4
897	662		5
898	663		6
899	664		7
900	665		8
901	666		9
902	667		10
903	668		11
904	669		12
905	670		13
906	671		14
907	672		15
908	673		16
909	674		17
910	675		18
911	676		19
912	677		20
913	678		21
914	679		22
915	680		23
916	681		24
917	682		25
918	683		26
919	684		27
920	685		28
921	686		29
922	687		30 Sixty-ninth
923	688		Legislative Assembly
	689	+	(2)One-half of one percent to the commission to be deposited in the breeders'
	690	+	fund.
924	691		(3)One-half of one percent to the commission to be deposited in the purse
925	692		fund.
926	693		(4)One-half of one percent to the commission to be deposited in the racing
927	694		promotion fund.
928	695		2.For simulcast and account wagering:
929	696		a.In win, place, and show pari-mutuel pools, the licensee may deduct no more than
930	697		twenty percent of the amount wagered. Except as limited in subdivision c, of the
931	698		amount wagered by simulcast and account wagering in win, place, and show
932	699		pari-mutuel pools, the licensee shall pay:
933	700		(1)One-sixteenth of one percent to the state treasurer to be deposited in the
934		-	~~generalracing commission operating~~ fund.
	701	+	general fund.
935	702		(2)One-sixteenth of one percent to the commission to be deposited in the
936	703		breeders' fund.
937	704		(3)One-sixteenth of one percent to the commission to be deposited in the
938	705		purse fund.
939	706		(4)One-sixteenth of one percent to the commission to be deposited in the
940	707		racing promotion fund.
941	708		b.Except as limited in subdivision c, of the amount wagered by simulcast and
942	709		account wagering in daily double, quinella, exacta, trifecta, or other combination
943	710		pari-mutuel pools, the licensee shall pay:
944	711		(1)One-sixteenth of one percent to the state treasurer to be deposited in the
945	712		general fund.
946	713		(2)One-sixteenth of one percent to the commission to be deposited in the
947	714		breeders' fund.
948	715		(3)One-sixteenth of one percent to the commission to be deposited in the
949	716		purse fund.
950	717		(4)One-sixteenth of one percent to the commission to be deposited in the
951	718		racing promotion fund.
952		-	c.For the fiscal year commencing July 1, 2013, the licensee may not pay more than
953		-	four hundred thousand dollars. For the fiscal year commencing July 1, 2014, and
954		-	Page No. 16 25.0647.02003
	719	+	Page No. 12 25.0647.02000
955	720		1
956	721		2
957	722		3
958	723		4
959	724		5
960	725		6
961	726		7
962	727		8
963	728		9
964	729		10
965	730		11
966	731		12
967	732		13
968	733		14
969	734		15
970	735		16
971	736		17
972	737		18
973	738		19
974	739		20
975	740		21
976	741		22
977	742		23
978	743		24
979	744		25
980	745		26
981	746		27
982	747		28
983	748		29
984	749		30 Sixty-ninth
985	750		Legislative Assembly
986		-	thereafter, theThe licensee may not pay more than four hundred twenty thousand
	751	+	c.For the fiscal year commencing July 1, 2013, the licensee may not pay more than
	752	+	four hundred thousand dollars. For the fiscal year commencing July 1, 2014, and
	753	+	thereafter, the licensee may not pay more than four hundred twenty thousand
987	754		dollars.
988	755		3.For historic horse race wagering, the licensee may deduct no more than twenty - five
989	756		percent of the amount wagered. Of the amount wagered, the licensee shall pay:
990		-	a.One - fourth of one percent to the state treasurer to be deposited in the
991		-	~~general racing commission operating~~ fund.
	757	+	a.One - fourth of one percent to the state treasurer to be deposited in the general
	758	+	fund.
992	759		b.One - sixth of one percent to be deposited in the breeder's fund.
993	760		c.One - sixth of one percent to be deposited in the purse fund.
994	761		d.One - sixth of one percent to be deposited in the racing promotion fund.
995	762		e.One - fourth of one percent to be deposited in the treasury of the county in which
996		-	wagering on historic horse racing takes place gambling disorder prevention and
997		-	treatment fund .
	763	+	wagering on historic horse racing takes place.
998	764		f.One - fourth of one percent to be deposited in the treasury of the city in which
999	765		wagering on historic horse racing takes place.
1000		-	4.All moneys in the racing commission operating fund, in excess of those appropriated
1001		-	by the legislative assembly for administrative and operating costs associated with the
1002		-	racing commission, must be transferred to the general fund.
1003		-	5. For all pari-mutuel wagering the licensee shall pay to the commission the amount due
	766	+	4.For all pari-mutuel wagering the licensee shall pay to the commission the amount due
1004	767		for all unclaimed tickets and all breakage on the first twenty million dollars wagered in
1005	768		each fiscal year with each service provider. The amount received must be deposited in
1006	769		the racing promotion fund.
1007		-	4.5. 6. The licensee conducting wagering on live racing, simulcast horse racing wagering,
	770	+	4.5.The licensee conducting wagering on live racing, simulcast horse racing wagering,
1008	771		historic horse racing, or account wagering shall retain all other money in the
1009	772		pari-mutuel pool and pay it to bettors holding winning tickets as provided by rules
1010	773		adopted by the commission.
1011		-	5.6. 7. A licensee may not use any of the portion deducted for expenses under subsections 1
	774	+	5.6.A licensee may not use any of the portion deducted for expenses under subsections 1
1012	775		and 2 for expenses not directly incurred by the licensee in conducting pari-mutuel
1013	776		racingwagering under the certificate system. After paying qualifying expenses, the
1014	777		licensee shall use the remainder of the amount so withheld only for eligible uses
1015	778		allowed to charitable gambling organizations under section 53-06.1-11.1.
1016		-	Page No. 17 25.0647.02003
	779	+	6.7.The commission shall deposit the moneys received pursuant to subsections 1, 2, and
	780	+	3, and 4 and from the North Dakota horse racing foundation pursuant to subsection 5
	781	+	of section 53-06.2-05 in the breeders' fund, the purse fund, and the racing promotion
	782	+	Page No. 13 25.0647.02000
1017	783		1
1018	784		2
1019	785		3
1020	786		4
1021	787		5
1022	788		6
1023	789		7
1024	790		8
1025	791		9
1026	792		10
1027	793		11
1028	794		12
1029	795		13
1030	796		14
1031	797		15
1032	798		16
1033	799		17
1034	800		18
1035	801		19
1036	802		20
1037	803		21
1038	804		22
1039	805		23
1040	806		24
1041	807		25
1042	808		26
1043	809		27
1044	810		28
1045	811		29
1046		-	30 Sixty-ninth
	812	+	30
	813	+	31 Sixty-ninth
1047	814		Legislative Assembly
1048		-	6.7. 8. The commission shall deposit the moneys received pursuant to subsections 1, 2, and
1049		-	3, and 4 5 and from the North Dakota horse racing foundation pursuant to subsection 5
1050		-	of section 53-06.2-05 in the breeders' fund, the purse fund, and the racing promotion
1051	815		fund. Moneys, and any earnings on the moneys, in the breeders' fund, purse fund, and
1052	816		racing promotion fund are appropriated to the commission on a continuing basis to
1053	817		carry out the purposes of those funds under this chapter and must be administered
1054	818		and disbursed in accordance with rules adopted by the commission. The commission
1055	819		may not transfer money among the funds. The commission shall distribute in-state
1056	820		awards and payment supplements from the breeders' fund in the same calendar year
1057	821		the money was earned by the recipient. The commission shall distribute out-of-state
1058	822		awards and payment supplements from the breeders' fund, if made available by the
1059	823		commission, within two months of the end of the calendar year the money was earned
1060	824		by the recipient. The commission shall distribute payments awarded to qualified
1061	825		owners and breeders from the breeders' fund without requiring owners and breeders
1062	826		to apply for the payments. The commission may receive twenty-five thousand dollars
1063	827		per year or twenty-five percent per year, whichever is greater, from the racing
1064	828		promotion fund for the payment of the commission's operating expenses.
1065		-	SECTION 16. EFFECTIVE DATE. Sections 2, 7, and 10 of this Act are effective on
1066		-	August 1, 2027.
1067		-	Page No. 18 25.0647.02003
	829	+	Page No. 14 25.0647.02000
1068	830		1
1069	831		2
1070	832		3
1071	833		4
1072	834		5
1073	835		6
1074	836		7
1075	837		8
1076	838		9
1077	839		10
1078	840		11
1079	841		12
1080	842		13
1081	843		14
1082		-	15
1083		-	16
1084		-	17
1085		-	18
1086		-	19