STATE OF NEW YORK ________________________________________________________________________ 4746 2023-2024 Regular Sessions IN ASSEMBLY February 23, 2023 ___________ Introduced by M. of A. PRETLOW -- read once and referred to the Commit- tee on Racing and Wagering AN ACT to amend the racing, pari-mutuel wagering and breeding law, in relation to payments by off-track betting corporations to regional licensed harness tracks The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Clause (E) of subparagraph 5 of paragraph b of subdivision 2 1 of section 1016 of the racing, pari-mutuel wagering and breeding law, 3 as amended by chapter 18 of the laws of 2008 and item (ii) as amended by 4 chapter 243 of the laws of 2020, is amended to read as follows: 5 (E) [On] During the first one hundred twenty days in any calendar year 6 when a franchised corporation is not conducting a race meeting [and when 7 a licensed harness track is neither accepting wagers nor displaying the 8 signal from an in-state thoroughbred corporation or association or an 9 out-of-state thoroughbred track]: 10 (i) [Such] A licensed regional harness track shall receive in lieu of 11 any other payments on wagers placed at off-track betting facilities 12 outside the special betting district on races conducted by an in-state 13 thoroughbred racing corporation, two and eight-tenths percent on regular 14 and multiple bets during a regional meeting and one and nine-tenths 15 percent of such bets if there is no regional meeting and four and eight- 16 tenths percent on exotic bets on days on which there is a regional meet- 17 ing and three and four-tenths percent of such bets if there is no 18 regional meeting. 19 (ii) [Such] A licensed regional harness track shall receive [one and 20 one-half] three-quarters of one percent on total regional handle on 21 races conducted at out-of-state or out-of-country thoroughbred tracks. 22 (iii) In those regions in which there is more than one licensed 23 regional harness track, [if no track is accepting wagers or displaying 24 the live simulcast signal from the out-of-state track,] the total sum EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD09461-01-3
A. 4746 2 1 shall be divided among the tracks in proportion to the ratio the wagers 2 placed on races conducted by each track bears to the corporation's total 3 in-region harness handle. [If one or more tracks are accepting wagers or 4 displaying the live simulcast signal, the total amount shall be divided 5 among those tracks not accepting wagers or displaying the simulcast 6 signal for an out-of-state track or in-state thoroughbred corporation or 7 association.] 8 § 2. Clause (F) of subparagraph 6 of paragraph b of subdivision 1 of 9 section 1016 of the racing, pari-mutuel wagering and breeding law, as 10 amended by chapter 18 of the laws of 2008 and item (ii) as amended by 11 chapter 243 of the laws of 2020, is amended to read as follows: 12 (F) [On] During the first one hundred twenty days in any calendar year 13 when a franchised corporation is not conducting a race meeting [and when 14 a licensed harness track is neither accepting wagers nor displaying the 15 signal from an in-state thoroughbred corporation or association or an 16 out-of-state thoroughbred track]: 17 (i) [Such] A licensed regional harness track shall receive in lieu of 18 any other payments on wagers placed at off-track betting facilities 19 outside the special betting district on races conducted by an in-state 20 thoroughbred racing corporation, two and eight-tenths percent on regular 21 and multiple bets during a regional meeting and one and nine-tenths 22 percent of such bets if there is no regional meeting and four and eight- 23 tenths percent on exotic bets on days on which there is a regional meet- 24 ing and three and four-tenths percent of such bets if there is no 25 regional meeting. 26 (ii) [Such] A licensed regional harness track shall receive [one and 27 one-half] three-quarters of one percent on total regional handle on 28 races conducted at out-of-state or out-of-country thoroughbred tracks. 29 (iii) In those regions in which there is more than one licensed 30 regional harness track, [if no track is accepting wagers or displaying 31 the live simulcast signal from the out-of-state track,] the total sum 32 shall be divided among the tracks in proportion to the ratio the wagers 33 placed on races conducted by each track bears to the corporation's total 34 in-region harness handle. [If one or more tracks are accepting wagers or 35 displaying the live simulcast signal, the total amount shall be divided 36 among those tracks not accepting wagers or displaying the simulcast 37 signal for an out-of-state track or in-state thoroughbred corporation.] 38 § 3. Subdivision 2 of section 1017 of the racing, pari-mutuel wagering 39 and breeding law, as amended by chapter 174 of the laws of 2013 and 40 paragraph a as amended by chapter 243 of the laws of 2020, is amended to 41 read as follows: 42 2. a. Maintenance of effort. Any off-track betting corporation that 43 engages in accepting wagers on the simulcasts of thoroughbred races from 44 out-of-state or out-of-country as permitted under subdivision one of 45 this section shall submit to the commission, for its approval, a sched- 46 ule of payments to be made in any year or portion thereof, that such 47 off-track corporation engages in nighttime thoroughbred simulcasting. In 48 order to be approved by the commission, the payment schedule shall be 49 identical to the actual payments and distributions of such payments to 50 tracks and purses made by such off-track corporation pursuant to the 51 provisions of section one thousand fifteen of this article during the 52 year two thousand two, as derived from out-of-state harness races 53 displayed after 6:00 P.M. If approved by the commission, such scheduled 54 payments shall be made from revenues derived from any simulcasting 55 conducted pursuant to this section and section one thousand fifteen of 56 this article. Notwithstanding any inconsistent provision of this para-
A. 4746 3 1 graph: (i) for purposes of calculating the payments to be made pursuant 2 to this paragraph for calendar year two thousand twenty-three, the 3 amount otherwise payable, if any, by an off-track betting corporation to 4 a regional harness track shall be reduced in proportion to the 5 reduction, if any, in the number of racing programs conducted by the 6 regional harness track during two thousand twenty-three compared with 7 the number of racing programs conducted by such track during the two 8 thousand twelve base calendar year; and (ii) no off-track betting corpo- 9 ration shall have any further payment obligation pursuant to this para- 10 graph with respect to calendar years commencing on or after January 11 first, two thousand twenty-four. 12 b. Additional payments. During each calendar year, to the extent, and 13 at such time in the event, that aggregate statewide wagering handle 14 after 7:30 P.M. on out-of-state and out-of-country thoroughbred races 15 exceeds one hundred million dollars, each off-track betting corporation 16 conducting such simulcasting shall pay to its regional harness track or 17 tracks, an amount equal to [two percent] the following percentage of its 18 proportionate share of such excess handle: for calendar years through 19 two thousand twenty-three, two percent; for calendar year two thousand 20 twenty-four, one and one-half percent; for calendar year two thousand 21 twenty-five, one percent; and for calendar year two thousand twenty-six, 22 one-half of one percent. There shall be no further additional payment 23 obligation pursuant to this paragraph for calendar years commencing on 24 or after January first, two thousand twenty-six. In any region where 25 there are two or more regional harness tracks, such [two percent] 26 payment amount shall be divided between or among the tracks in a propor- 27 tion equal to the proportion of handle on live harness races conducted 28 at such tracks during the preceding calendar year. Fifty percent of the 29 sum received by each track pursuant to this paragraph shall be used 30 exclusively for increasing purses, stakes and prizes at that regional 31 harness track. For the purpose of determining whether such aggregate 32 statewide handle exceeds one hundred million dollars, all wagering on 33 such thoroughbred races accepted by licensed multi-jurisdictional 34 account wagering providers from customers within New York state shall be 35 excluded. 36 § 4. This act shall take effect immediately.