BILL ANALYSIS
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 1072|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
UNFINISHED BUSINESS
Bill No: SB 1072
Author: Calderon (D)
Amended: 8/30/10
Vote: 21
SENATE GOVERNMENTAL ORG. COMMITTEE : 7-0, 4/27/10
AYES: Wright, Denham, Florez, Negrete McLeod, Price,
Wyland, Yee
NO VOTE RECORDED: Harman, Calderon, Oropeza, Padilla
SENATE FLOOR : 34-0, 5/3/10
AYES: Aanestad, Ashburn, Cedillo, Cogdill, Corbett,
Correa, Cox, Denham, DeSaulnier, Ducheny, Dutton, Florez,
Hancock, Harman, Hollingsworth, Huff, Kehoe, Leno, Liu,
Lowenthal, Negrete McLeod, Oropeza, Padilla, Pavley,
Price, Romero, Runner, Simitian, Strickland, Walters,
Wolk, Wright, Wyland, Yee
NO VOTE RECORDED: Alquist, Calderon, Steinberg, Wiggins,
Vacancy, Vacancy
ASSEMBLY FLOOR : 56-10, 8/30/10 - See last page for vote
SUBJECT : Horse racing: statewide marketing
organization: Breeders
Cup promotion: wagering deductions: exchange
wagering
SOURCE : California Authority of Racing Fairs
DIGEST : This bill makes the following substantive
CONTINUED
SB 1072
Page
2
changes and additions to Californias Horse Racing Law: (1)
requires thoroughbred racing associations and fairs to
deduct an additional amount of the total handle on exotic
wagering (e.g., exacta, trifecta, superfecta) for purse
augmentation; (2) authorizes the California Horse Racing
Board (CHRB) to license entities to operate "exchange
wagering" systems, as defined, that accept exchange wagers
from individuals residing either within or outside of this
state on horse races run in California or other states and
makes it explicit that exchange wagering shall not become
operative until May 1, 2012; (3) requires each exchange
wagering licensee to annually distribute a specified amount
of exchange wagering revenue to the existing jockey health
and benefit welfare fund; (4) authorizes the thoroughbred
racing industry to use monies from horse racing wagering
pools to promote the Breeders' Cup, in order that
California might be considered the permanent home of this
championship series of races; (5) extends the sunset, from
January 1, 2011 to January 1, 2014, on provisions that
authorize racing associations and fairs that conduct
thoroughbred racing to pay to the owners' organization a
certain portion of the purses for a statewide marketing
program, as specified, to increase interest in horse
racing; and (6) provides that an amount not to exceed 0.05
percent of the total amount handled by each satellite
wagering facility shall be distributed to the nonprofit
organization designated by CHRB for the purpose of
maintaining a database of horse racing information, as
defined.
Assembly Amendments incorporate provisions contained in AB
2414 (Perez) into this bill.
ANALYSIS : Existing law provides that "parimutuel
wagering" is a form of wagering in which bettors either
purchase tickets of various denominations, or issue
wagering instructions leading to the placement of wagers,
on the outcome of one or more horse races. When the
outcome of the race or races has been declared official,
the association distributes the total wagers comprising
each pool, less the amounts retained for purposes specified
in this chapter, to winning bettors.
Existing law requires racing associations to pay out
CONTINUED
SB 1072
Page
3
certain percentages of the total amount wagered and of the
portion deducted from the parimutuel pool (i.e., the
takeout), for state license fees, owner purses, racing
association commissions, and breeding incentive programs.
The amounts vary depending upon the type of breed bet upon
(Thoroughbred, Quarter Horse, harness, etc.), the type of
bet made (e.g., conventional or exotic), and whether the
wager was made on-track or at a satellite wagering
facility.
Existing law authorizes a Thoroughbred association or fair,
at the joint request of the association or fair and the
organization representing the horsemen, and subject to
approval of CHRB, to deduct from the parimutuel pool for
any type of wager, an amount of 10 percent to 25 percent,
inclusive, of the total amount handled for the meeting of
the thoroughbred association or fair that accepts the
wager. Existing law allows the distribution of funds from
the amount deducted to be modified or redirected, subject
to the approval of CHRB, as specified.
Existing law permits CHRB to set the deduction for any new
type of wager introduced after January 1, 2004, in an
amount of not less than 10 percent nor more than 30 percent
at the joint request of an association or fair and the
horsemen's organization.
Existing law authorizes a quarter horse association,
subject to approval by CHRB, and a harness racing
association to deduct up to two percent more from the total
amount wagered in the parimutuel pool for any type of
wager, and, specifies how the funds shall be distributed to
eligible satellite wagering facilities, owners' purses and
racetrack commissions.
Existing law provides that unclaimed refunds from horse
racing are to be distributed to an organization that is
responsible for negotiating business agreements on behalf
of horsemen, to be held in trust for the purpose of
negotiating an agreement with a jockey's organization to
provide health and welfare benefits to California licensed
jockeys. Existing law requires that the funds held in
trust shall not exceed $450,000.
CONTINUED
SB 1072
Page
4
Existing law authorizes racing associations, fairs, and the
Thoroughbred Owners of California to form a private
statewide marketing organization to market and promote
thoroughbred and fair horse racing. The California
Marketing Committee (CMC) is generally responsible for
promoting horse racing in the state by developing and
implementing a marketing plan that will increase on-track
and off-track attendance throughout the state. The CMC is
required to submit an annual marketing and promotion plan
to CHRB. These provisions sunset as of January 1, 2011.
Existing law provides for the California Travel and Tourism
Commission (CTTC). The CTTC is a not-for-profit, 501(C)(6)
corporation formed in 1998 to work jointly with the State
of California's Division of Tourism to implement the annual
Marketing Plan, which promotes California as a travel
destination. While these two partners (CTTC and Division
of Tourism) are separate legal entities, they are commonly
referred to jointly as California Tourism.
This bill:
1. Makes various legislative findings relative to the
economic importance of the Breeders' Cup Championship
series and declares that it is not only the desire of
the Legislature to encourage the organization operating
this prestigious international event to make California
its permanent home but also the intent of the
Legislature to provide substantial support towards that
endeavor.
2. Also, makes additional findings and declarations
relative to the fact that California has one of the
lowest "takeouts" on wagering and concern that horse
owners are not bringing their horses to California
because of lower purses and horses are leaving the state
in order to compete for higher purses.
3. Provides that every thoroughbred racing association or
fair that conducts a live race meet shall deduct an
additional two percent of the total amount handled on
exotic wagers requiring the selection of two wagering
interests (e.g., exactas, quinellas) and three percent
of the total amount handled on exotic wagers requiring
CONTINUED
SB 1072
Page
5
the selection of three or more wagering interests (e.g.,
trifectas, superfectas). (The additional takeout is
intended to augment purses.)
4. Provides that any thoroughbred association or fair that
authorizes betting systems located outside of this state
to accept wagers on a race shall retain from the total
amount received from the out-of-state betting system,
less certain deductions made pursuant to existing
provisions of law, the incremental amount received as a
result of the two percent or three percent takeout
referenced above on exotic wagers required by this bill,
for distribution as overnight purses.
5. Grants CHRB the authority to postpone or revoke
implementation of the takeout increase, as specified.
6. Adds a new Article (Article 9.1) to the Horse Racing Law
authorizing "exchange wagering" and declares that the
Legislature has determined that CHRB is best suited to
oversee, license, and regulate exchange wagering in
California. Also, declares legislative intent to
promote the economic future of the horse racing industry
in California and to foster the potential for increased
commerce, employment and recreational opportunities by
authorizing exchange wagering.
7. Defines a host of new terms, as specified, for purposes
of exchange wagering including the term "exchange
wagering" which means a form of parimutuel wagering in
which two or more persons place identically opposing
wagers in a given market.
8. Stipulates that exchange wagering shall only be
conducted by an exchange wagering licensee pursuant to a
valid exchange wagering license issued by CHRB. Also,
provides that no exchange wagering licensee may accept
wagers prior to May 1, 2012.
9. Makes it explicit that no exchange wagering licensee
shall accept exchange wagers on races conducted in
California from a resident of California or a resident
of a jurisdiction outside California, or conducted
outside California from a resident of California, unless
CONTINUED
SB 1072
Page
6
an exchange wagering agreement, as defined, exists
allowing such wagers. Additionally, exchange wagering
must be conducted pursuant to and in compliance with the
federal Interstate Horseracing Act of 1978.
10.Defines "exchange wagering agreement" to mean a written
agreement by and among the applicable exchange wagering
licensee, the applicable racing association or racing
fair conducting live racing in this state and the
horsemen's organization responsible for negotiating
purse agreements for the breed on which exchange wagers
are accepted, provided that the terms and conditions for
the permitted use of signal by the exchange wagering
licensee, and the compensation to the applicable racing
association or racing fair and the horsemen's
organization include certain specified provisions.
11.Requires CHRB to promulgate rules and regulations
governing the conditions under which exchange wagering
may be conducted, including requiring an annual audit of
an exchange wagering licensee. Also, allows exchange
wagers to be submitted and accepted by licensed exchange
wagering systems in the same manner as is currently
provided for Advanced Deposit Wagers (e.g., in person,
telephone, or Internet).
12.Requires CHRB, prior to promulgating rules and
regulations under which exchange wagering may be
conducted, to consider studies or comments submitted by
interested parties on the impact of exchange wagering on
parimutuel wagering and the economics of the State's
horse racing industry to assist the board in developing
rules, regulations and conditions for exchange wagering
that are in the best interest of the public and the
industry.
13.Provides that only persons 18 years of age or older
could establish exchange wagering accounts and requires
CHRB to approve security policies and safeguards to
ensure player protections, age verification and
location.
14.Directs CHRB to adopt rules prohibiting any owner,
trainer, jockey, or stable employee from placing an
CONTINUED
SB 1072
Page
7
exchange wager on any horse owned, trained, or ridden by
any of those individuals.
15.Includes language (similar to Advance Deposit Wagering
law) relative to supporting the contracting rights of
parimutuel clerks that have been displaced due to the
increased automation of the wagering process, in
addition to a specific distribution to the existing
jockey health and benefit welfare fund.
16.Provides that monies that would have been otherwise
distributed to a purse account from the increased
takeout on Breeders' Cup day(s) shall be available for
the purpose of promoting and sponsoring the Breeders'
Cup.
17.Also, requires the host track of the Breeders' Cup to
enter into a written agreement with the Breeders' Cup,
LTD, in consultation and cooperation with the California
Tourism Commission and the statewide marketing
organization relative to the manner in which the funds
set aside to support and promote the Breeders' Cup are
to be expended.
18.Furthermore, requires that a written report be made to
CHRB detailing the manner in which the set aside funds
were utilized to promote and support the Breeders' Cup.
19.Extends the sunset, from January 1, 2011 to January 1,
2014, on provisions that authorize racing associations
and fairs that conduct thoroughbred racing to pay to the
owners' organization a certain portion of the purses for
a statewide marketing program, as specified, to increase
interest in horse racing.
20.Requires the statewide marketing plan for horse racing
to be presented (rather than submitted) to the Horse
Racing Board at CHRB's November meeting. Also, requires
the written plan be submitted to CHRB by November 1st of
each year.
21.Changes the distribution amount that would normally be
available for commissions and purses, from 0.4 percent
to an amount not to exceed 0.25 percent of the total
CONTINUED
SB 1072
Page
8
amount handled by each satellite wagering facility which
is then distributed to the marketing organization, as
specified.
22.Provides that an initial amount of 0.05 percent of the
total amount handled by each satellite wagering facility
shall be distributed to the nonprofit organization
designated by CHRB for the purpose of maintaining a
database of horse racing information as defined.
23.Requires the marketing organization, on a quarterly
basis, to submit to CHRB a report accounting for all
receipts and expenditures of the promotion funds during
the previous three months.
24.Deletes obsolete language regarding workers'
compensation responsibilities associated with the
statewide marketing association.
Background
Takeout rate component . The "takeout" is the amount
deducted from wagers before winnings are paid out to
bettors. The state, racetracks, breeders, and horsemen
through purses, receive a distribution from the takeout.
Currently, California's takeout rate on Thoroughbred races
is 15.43 percent for win, place, and show wagers, and 20.68
percent for other types of wagers (i.e., Exacta, Trifecta,
and Pick-6). Over the last couple of years, there has been
a movement within the racing industry in other states to
have greater flexibility to either lower or increase the
takeout. For instance, Keeneland Racetrack in Kentucky and
Saratoga in New York lowered their takeout structure while
the Maryland Jockey Club increased their parimutuel
takeout. The various racing jurisdictions experienced
varied results after altering the takeout.
Many within the racing industry have a view that moderating
takeout rates on specific pools might stimulate handle as
well as overall revenue for purses. Today's racing
customer is not just a local resident who comes to a
California racetrack but a patron sitting in a simulcast
facility in another state with a wide choice of tracks to
wager on. Ultimately, racing's patrons drive the
CONTINUED
SB 1072
Page
9
parimutuel market and their response to an increased or
decreased takeout on any type of wager will determine the
rate of takeout. Many within the racing industry have a
view that moderating takeout rates on specific pools might
stimulate handle as well as overall revenue for purses.
AB 1308 (Torrico), Chapter 410, Statutes of 2007, gave a
racing association and the owners' organization
flexibility, subject to CHRB approval, to set takeout rates
at an amount of not less than 10 percent nor more than 25
percent from the parimutuel pool for any type of wager. AB
1308 provided the horse racing industry with greater
flexibility to make adjustments to the takeout.
This bill expands on the concept contained in AB 1308 by
directing the increased takeout (two percent to three
percent) directly to purses which benefits owners,
trainers, and jockeys. This bill is intended to allow
greater flexibility to direct the distribution of funds
generated by a takeout increase to an area with the
greatest economic benefit for the industry. This bill is
also intended to enable the California racing industry to
increase its competitiveness by establishing purses more
consistent with purses in other major racing states (e.g.,
New York, Pennsylvania, West Virginia, Delaware, Iowa,
Indiana, Louisiana, New Mexico, and Florida) that benefit
from the operation of slot machines and video lottery
terminals, which are prohibited at California racetracks.
Even with an increase in the takeout rate, California would
still rank among the top twenty lowest takeout structures
on specific exotic wagers in the country. Proponents
indicate that the increased takeout revenue would be
focused on an agreed upon strategy for stabilizing industry
operations.
This bill allows CHRB to postpone and/or revoke the
implementation of the takeout increase, as defined, if the
board determines that the incremental amount received from
out-of-state betting systems is insufficient to achieve the
objective.
Takeout rate comparisons . Currently, California has one of
the lowest takeouts on rates on exotic wagering (20.68
percent) in the nation. Del Mar Thoroughbred Club, Santa
CONTINUED
SB 1072
Page
10
Anita Park, Hollywood Park, and Golden Gate Fields rank in
the top ten nationally for offering the lowest takeout rate
on exotic wagers.
Examples of a higher takeout rate (Thoroughbreds) for an
exotic wager (Trifecta) would be Fair Grounds in Louisiana
at 25 percent, Monmouth Park in New Jersey at 25 percent,
Pimilco in Maryland at 25.75 percent, Belmont Park and
Saratoga Park in New York at 26 percent, and Penn National
in Pennsylvania at 31 percent compared to California at
20.68 percent.
Even with the takeout increase as proposed, California will
still be in the middle-tier for its takeout on exotic
wagers compared to other racing prominent jurisdictions
across the country.
Deteriorating status of the horse racing industry in
California . The California horse racing industry's
long-term health is threatened by a combination of factors,
including competition from racing in other states, other
forms of gaming within California, racetrack bankruptcies
and the potential for higher return from development than
operating revenues. As resources shrink, the industry is
experiencing deficits in virtually every one of its revenue
sources. Traditional take out, allocation and distribution
formulas are no longer able to sustain ongoing operations.
As the value of racing operations declines, track ownership
is struggling to maximize shareholders' return on the
investment and tempted by alternative uses of the property
that yield higher returns. Consequently, the racing
industry is suffering unprecedented instability and capital
flight. Tens of thousands of industry jobs are in
immediate jeopardy, along with breeding farms and precious
open space in urban centers throughout California. Also at
risk is a substantial amount of local and state revenue
generated both directly and indirectly by the industry.
Exchange wagering component . This bill additionally
authorizes CHRB to license entities to operate exchange
wagering systems that accept "exchange wagers" from
individuals residing either within or outside of this state
on horse races run in California or in other states, so
long as the process is conducted in compliance with the
CONTINUED
SB 1072
Page
11
federal Interstate Horseracing Act. Exchange wagering is
defined as a means of parimutuel wagering in which two or
more persons place identically opposing wagers on a horse
race. This bill requires exchange wagering agreements to
be entered into by the exchange wagering licensee, the
applicable racing association or fair conducting live
racing in the state, and the horsemen's organization
representing the particular breed currently racing at the
meet, and that provides for the contractual terms and
conditions specifying the use of the racing signal and the
compensation returned to the respective parties to the
agreement, audit terms and conditions, and contractual
remedies.
Exchange wagering on horse racing is currently permitted in
England, where it has been reported to have contributed to
a double-digit increase in wagering handle as well as
helping to appeal to a different segment of the betting
public that generally did not gravitate to conventional
parimutuel wagering opportunities. Similar legislation has
been introduced and is moving through the New Jersey State
Legislature as well.
Wagering on horse races in California is conducted using
the "parimutuel method" in which bettors are betting
against each other, with no other entity having an interest
or stake in the outcome of the race.
In traditional parimutuel wagering, each bettor selects the
horse(s) they choose to wager on an outcome (how those
individual horses will finish in a race - Win, Place, and
Show wagering) or the order of finish for multiple numbers
of horses (exotic wagers such as exacta, trifecta,
superfecta), and the amount which they desire to wager.
The odds on any particular horse are determined by the
total amount bet on the race by the individual bettors.
The bets made are pooled together and the parimutuel
operator is responsible for paying the winning bets from
that pool.
In parimutuel "exchange wagering" (which involves bettors
betting against each other, with no other entity having an
interest or stake in the outcome of the race), each bettor
again selects a horse, an outcome, and the amount the
CONTINUED
SB 1072
Page
12
bettor desires to wager. Another bettor can match that
wager, choosing to wager the opposite of the original
wager. For example, if bettor "A" thinks a horse will win
a race and would like to wager $2 to win on that horse at
1-1 odds, bettor "B" can match the wager for $2 at 1-1 odds
if bettor B has the opinion that the horse will not win the
race. When wagers are matched, they are pooled together
and the parimutuel exchange wagering operator is
responsible for paying the winning bettors out of the pool
(just as is the case in all other forms of parimutuel
wagering on horse races in California). Parimutuel
exchange wagering is limited to win, place and show
wagering.
The racing industry derives revenue from traditional
parimutuel wagering from a "takeout" or "commission" that
is charged on every wager placed in the pool, and from
parimutuel exchange wagering from a "commission" that is
charged only on a bettor's net winnings on a particular
race. In either case, those revenues are shared among the
horse owners (purses), the race tracks and the provider of
the parimutuel wagering service.
Breeders' Cup Component . This bill is also intended to
encourage the Breeders' Cup to consider locating its series
of championship races on a permanent basis in California.
The State of California is in competition with the states
of Kentucky and New York to be the permanent home of the
Breeders' Cup, which is actively looking at a permanent
host location as a potential option as part of its ongoing
strategic planning initiative. The Breeders' Cup
Championship series of races were held in California in
2008 and 2009 and generated significant revenue and tourism
for the State.
It is a well-known fact that the California horse racing
industry is in distress and has lost favor with the public,
primarily due to competition with other forms of gambling
and declining popularity of its own product. Yet the horse
racing industry in this state remains an important segment
of the economy, generating by some estimates almost 50,000
jobs. It is the author's belief that locating the
Breeders' Cup on a permanent basis in California would
generate $60 million in economic output and create over 500
CONTINUED
SB 1072
Page
13
direct and indirect jobs, according to the Los Angeles
Economic Development Corporation's estimate in relation to
the 2009 Breeders' Cup that was held at Santa Anita
racetrack. To that end, this bill stipulates that the
monies that would have otherwise been distributed to a
purse account from the increased takeout on Breeders' Cup
day(s) shall be available for the purpose of promoting and
sponsoring the Breeders' Cup.
Marketing program component . SB 27 (Maddy), Chapter 335,
Statutes of 1998, among its provision, created a private
statewide marketing organization for thoroughbred and fair
racing that is funded by 0.4 percent of the instate
off-track handle. The funds generated from this
distribution are used to market California horse racing on
a statewide basis. The CMC is generally responsible for
promoting horse racing in the state by developing and
implementing a marketing plan that will increase on-track
and off-track attendance throughout the state. An
underlying assumption of the CMC's Marketing Plan is that
it is far easier to capture a new fan through an on-track
visitation to a satellite wagering facility.
In 2003, the CMC received approximately $6.1 million to
support its marketing efforts but due to handle declines it
has been reduced to approximately $4 million in 2010.
Current law provides that the CMC must annually submit to
CHRB a statewide marketing and promotion plan for
thoroughbred and fair horse racing that encompasses all
geographical zones in the state, including the manner in
which funds were expended in the implementation of the plan
for the previous calendar year. Additionally, the 2010 CMC
budget redirects a portion of its marketing and advertising
funds to enhance purses on major racing days, such as the
Santa Anita Handicap, Hollywood Gold Cup, and Pacific
Classic. CMC will expire after this year due to a sunset
provision in the law unless there is legislation to extend
it.
AB 1736 (Assembly Governmental Organization Committee),
Chapter 444, Statutes of 2007, extended the sunset to
January 1, 2011. SB 1072 will extend the sunset of the
program until January 1, 2014. Additionally, SB 1072 makes
various modifications to the manner in which the marketing
CONTINUED
SB 1072
Page
14
organization may expend its revenue. Furthermore, SB 1072
contains language which provides an amount not to exceed
0.05 percent of the total amount handled by each satellite
wagering facility shall be distributed to the non-profit
organization [the California Horse Racing Information
Management System, Inc (CHRIMS)] designated by CHRB for the
purpose of maintaining a database of horse racing
information, as defined.
Proponents indicate that the original funding for the
development of CHRIMS was provided by un-cashed vouchers
[AB 1418 (Tucker), Chapter 311, Statutes of 1994]. As
account wagering has proliferated and on-track and
off-track wagering have experienced severe declines in
handle due to economic conditions the revenues from
vouchers have declined dramatically. CHRIMS has filled the
funding gap through the deferral of equipment and software
upgrades, direct industry surcharges and through the
development of outside revenues from services provided to
customers in other states. However, voucher revenues have
continued to decline and are projected to decline by
$125,000 in 2010. In addition, CHRIMS must repay capital
equipment financing provided by Oak Tree Racing Association
which was used to replace equipment on the verge of failure
and replace revenues from services previously provided to
CMC for its player rewards and database marketing efforts.
Proponents contend that this measure will help ensure that
CHRIMS remains a valuable technology and marketing tool for
California's horse racing industry.
Related Legislation
AB 2414 (Perez) sunsets the exchange wagering provisions of
SB 1072 (Calderon) on May 1, 2016. The bill is pending in
Senate Rules Committee.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
Unknown.
SUPPORT : (Verified 8/31/10)
California Authority of Racing Fairs (source)
CONTINUED
SB 1072
Page
15
California Horse Racing Board
California Teamsters Public Affairs Council
California Thoroughbred Breeders Association
Del Mar Thoroughbred
Hollywood Park
Jockeys Guild
Los Angeles County Fair
Service Employees International Union
Thoroughbred Owners of California
TVG
UNITE HERE
OPPOSITION : (Verified 8/31/10)
California Coalition Against Gambling Expansion
California Thoroughbred Trainers
Churchill Downs Incorporated (Twin Spires, YouBet, and
United Tote)
ARGUMENTS IN SUPPORT : Proponents contend that this bill
is about self-reliance, re-investing in California for
growth, and protecting jobs for the future. Proponents
claim this bill potentially increases purses by $25 million
or more annually thereby placing California's purse
structure on a competitive basis with other states.
Proponents also argue that the higher purses will help
increase field size and provide increased handle.
Furthermore, proponents believe there are adequate
safeguards (checks and balances) in this bill to ensure
that implementation of "exchange wagering" will benefit
California's horse racing industry.
ARGUMENTS IN OPPOSITION : Opponents are generally
supportive of the provisions in this bill pertaining to the
increase in the takeout on specified wagers as well as the
provisions intended to improve California's ability to
attract the Breeders' Cup World Championships however
opponents have expressed concern with the provisions
authorizing "exchange wagering." Opponents state that
"exchange wagering actually allows bettors using the
Internet to place bets that a horse will lose, rather than
win. This is fraught with danger and threatens the very
integrity of horse racing in our state which is a
multi-billion dollar industry, providing tens of thousands
CONTINUED
SB 1072
Page
16
of jobs. This also has the potential of actually reducing
on-track activity and could negatively impact jobs in the
future." Opponents believe that exchange wagering is a
major policy change in horse racing law that warrants major
study and discussion prior to adoption by the Legislature.
ASSEMBLY FLOOR :
AYES: Ammiano, Anderson, Bass, Beall, Block, Blumenfield,
Bradford, Brownley, Buchanan, Caballero, Charles
Calderon, Carter, Chesbro, Conway, Coto, Davis, De La
Torre, De Leon, Evans, Feuer, Fletcher, Fong, Fuentes,
Furutani, Galgiani, Garrick, Gatto, Gilmore, Hall,
Hayashi, Hernandez, Hill, Huber, Huffman, Jones, Lieu,
Ma, Mendoza, Miller, Nava, Nestande, Norby, V. Manuel
Perez, Portantino, Salas, Saldana, Silva, Solorio, Audra
Strickland, Swanson, Torlakson, Torres, Torrico, Tran,
Villines, John A. Perez
NOES: Adams, Bill Berryhill, DeVore, Gaines, Harkey,
Knight, Niello, Nielsen, Skinner, Smyth
NO VOTE RECORDED: Arambula, Tom Berryhill, Cook, Eng,
Fuller, Hagman, Jeffries, Logue, Bonnie Lowenthal,
Monning, Ruskin, Yamada, Vacancy, Vacancy
TSM:mw 8/31/10 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****
CONTINUED