Req. No. 11116 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
2nd Session of the 59th Legislature (2024)
CONFERENCE COMMITTEE
SUBSTITUTE
FOR ENGROSSED
HOUSE BILL NO. 3693 By: Culver of the House
and
Stephens of the Senate
CONFERENCE COMMITTEE SUBSTITUTE
An Act relating to amusements and sports; amending 3A
O.S. 2021, Sections 201 and 208.3, which relate to
the Oklahoma Horse Racing Commission; modifying
appointment of members of the Commission; providing
for appointing procedure if there is a vacancy ;
prohibiting the Commission from expending certain
funds when other funds are available; and providing
an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA:
SECTION 1. AMENDATORY 3A O.S. 2021, Section 201, is
amended to read as follows:
Section 201. A. There is hereby create d the Oklahoma Horse
Racing Commission, which shall consist of the following nine (9)
members:
1. One member who shall be from the First Congressional
District, one member who shall be from the Sec ond Congressional
District, one member who shall be from the Third Congressional
Req. No. 11116 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
District, one member who shall be from the Fourth C ongressional
District, and one member who shall be from the Fifth Congressional
District appointed by the Governor with the advice and consent of
and confirmed by the Senate;
2. One at large member who shall be experienced in the horse
racing industry and from the state and one at large member who may
be experienced in the horse racing industry and who shall be from
the state appointed by the Speaker of the Oklahoma House of
Representatives; and
3. One at large member who shall be experienced in the h orse
racing industry and from the state and one at large member who shall
be experienced in the ho rse racing industry and from the stat e
appointed by the President Pro Tempore of t he Oklahoma State Senate.
4. In the event of a vacancy that qualifies for an appointment
under subsections 2 o r 3 above, the Speaker of the House and the
President Pro Tempore shall have alternating appointment s; provided,
however, the Speaker of the House shall make the initial
appointment.
At least one member shall be appointed from each congressional
district, and at least three of the remaining members sh all be
experienced in the hor se industry and shall be appointed from the
state at large. Howeve r, when When congressional districts ar e
redrawn, each member appointed and confirmed by the Senate, if
applicable, prior to July 1 of the year in which such modification
Req. No. 11116 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
becomes effective shall complete the current term of office, and
appointments made and confirmed by the Senate, if applicable , after
July 1 of the year in which such modific ation becomes effective
shall be based on the redrawn districts. Appointments made after
July 1 of the year in which such mod ification becomes effective
shall be from any redrawn districts which are not represented by a
board member until such time as eac h of the modified congressional
districts is represented by a board member.
B. To be eligible for appointment to the Commissi on, a person
shall:
1. Be a citizen of the United States;
2. Have been a resident of this state for five ( 5) years
immediately preceding the appointment; and
3. Not have been convicted of a f elony pursuant to the laws of
this state, the laws of any othe r state, or the laws of the United
States as established by a n ational criminal history record check as
defined by Section 150.9 o f Title 74 of the Oklahoma Statutes.
C. The term of office of a member of the Commission shall be
for six (6) years and until a successor is appointed and qualified.
D. The Governor Each appointing authority may remove any member
of he or she appointed to the Commission for incompetence, neglect
of duty, or malfeasan ce in office upon first giving the member a
copy of the charges and an opportunity to be heard. A vacancy on
Req. No. 11116 Page 4 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
the Commission shall be filled for the unexpired term by app ointment
made by the Governor appropriate appointing authority.
SECTION 2. AMENDATORY 3A O.S. 2021, Section 208.3, is
amended to read as follows:
Section 208.3 A. There is hereby cre ated in the State Treasury
an agency special account for the Oklahoma Horse Racing Commission,
to be designated the "Oklahoma Breeding Development Fund Special
Account". The fund shall be a c ontinuing fund, not subject to
fiscal year limitations, and shal l consist of all monies received by
the Commission for deposit in the fund pursuant to Section 205.6 of
this title and from r evenue received as breakage and from unclaimed
pari-mutuel tickets. All monies accruing to the credit of the fund
are hereby appropriated and may be budgeted and expended by th e
Commission for the purposes specified in subse ction B of this
section. Expenditures from the fund shall be made upon vouchers
prescribed by the State Treasurer and issued by the Commission
against the Oklahoma Breeding Development Fund Special Account. The
official registering agency designated by t he Commission pursuant to
subsection D of this section shall verify the current eligibility of
a participating horse prior to distributing any purse supplement,
stake, reward or award from the Oklahoma Breedi ng Development Fund
Special Account. Any person entitled to monies from the Ok lahoma
Breeding Development Fund Special Account as a purse supplem ent,
stake, reward, or award (awards), will forfeit such monies if that
Req. No. 11116 Page 5 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
person fails to comply with all requir ements necessary for earning
the awards. Further, any such person will forfeit such monies if,
within one (1) year from the date of the race in w hich such award
was earned, that person does not submit the stat e voucher for
payment or for replacement in th e event of an expired voucher, or if
that person fails to submit all documentat ion required by the
Oklahoma Horse Racing Commission. In such even t, monies accrued
from forfeiture will be returned to the Oklaho ma Breeding
Development Fund Special Account f or expenditure by the Commission
for the purposes specified in subsection B of this section.
B. No monies shall be expended by the Commission fro m the
Oklahoma Breeding Development Fund Special Account except for any of
the following purposes:
1. To provide purse supplements to owners of Oklahoma -bred
horses;
2. To provide stakes and rewards to be paid to the owners of
the winning Oklahoma-bred horses in certain horse races;
3. To provide stallion awards to the owner of the Oklahoma
stallion which is th e sire of an Oklahoma -bred horse if such a horse
wins any race conducted at a r ace meeting;
4. To provide breeders awards to the owner of the Okl ahoma-
registered mare which is the dam of an Oklahoma-bred horse if such a
horse wins any race conducted at a race meeting;
Req. No. 11116 Page 6 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
5. To provide monies for equine r esearch through state
institutions accredited for the same;
6. To provide monies for use in marke ting, promoting and
advertising the Oklahoma-Bred Program and the Oklahoma horse racing
industry to the people of Oklahoma, the United States and abroad;
7. To provide for the administrati on of the Oklahoma Breeding
Development Program. The Oklahoma Hors e Racing Commission is hereby
authorized to utilize up to fiftee n percent (15%) of the prior
year's receipts for administration. All expenses reimbursed as
administrative pursuant to this subsection shall be itemized and
audited pursuant to subsection E o f this section. Any monies
transferred from the Oklahoma Breedi ng Development Fund Special
Account to the Oklahoma Breeding Development Revolving Fund for
administrative reimbursement foun d to be unsubstantiated, excessive
or ineligible for reimbursement by the audit shall be returned to
the Oklahoma Breeding Developm ent Fund Special Account within thirty
(30) days of the conclusion of the audit; and
8. To provide, upon the request of an o fficial horsemen's
representative organization for a breed, funding to any nonprofit
entity that is based in Oklahoma and exempt fr om taxation pursuant
to the provisions of the United States Internal Revenue Code, 26
U.S.C. Section 501(c), for the purpose of providing care of retired
and unwanted Oklahoma-bred racing stock of the particular breed of
horse represented by the requesting organization. Provided,
Req. No. 11116 Page 7 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
however, that no mon ies shall be expended by the Commission for the
purpose of this paragraph if federal funds are available for the
same purpose.
C. By rule the Comm ission shall:
1. Define the term "Oklahoma-bred horse";
2. Qualify stallions for participation in Oklahoma -bred
stallion awards;
3. Provide for the regist ration of Oklahoma-domiciled mares and
stallions and Oklahoma-bred horses. No such horse shall com pete in
the races limited to Oklahoma-bred horses unless regist ered with the
Commission. The Commission may prescribe such forms as are
necessary to determi ne the eligibility of such hors es; provided,
breeding stallions shall be eligible for registration in the
Oklahoma-bred breeding program until July 1 of the breed ing year.
No person shall knowingly prepare o r cause preparation of an
application for regist ration of such foals which cont ains false
information;
4. Establish a schedule of fees for the reg istration of
Oklahoma-domiciled mares and stallions and Oklahom a-bred horses
sufficient to provide for all ex penses incurred in the
administration of the Okl ahoma Breeding Development Fund Special
Account;
5. Allow a mare registered as Oklahoma -bred racing stock which
has not been registered as an Oklahoma broodmare prior to foaling to
Req. No. 11116 Page 8 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
be registered as an Oklaho ma broodmare upon payme nt of the
registration fee and a late fee not to exceed Two Hundred Dollars
($200.00), which action shall entitle the foals of the mare to be
registered as Oklahoma-bred horses, provided all other
qualifications of the Commission are met; and
6. Establish criteria which a nonprof it entity based in
Oklahoma must meet to be eligible to receive funds for the purpose
of caring for retired and unwanted Oklahoma-bred racing stock.
D. The Commission may contract with and designate an offic ial
registering agency to implement the registra tion of horses and the
payment of awards from the Oklahoma Breeding Development Fund
Special Account. The official registering agency shall operate
under the supervision of the Commission and be subject to t he rules
and regulations of the Commission. The official registering agency
shall receive no compensation except fees received for registration
of horses. In the event the Commission elects to perform as the
official registering agency rather than contra cting for such
services, the Commission shall de posit all registration fees fro m
the registration of Oklahoma-bred horses into the Oklahoma Breedin g
Development Fund Special Account.
SECTION 3. This act shall become effective November 1, 2024.
59-2-11116 CMA 05/20/24