BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 897| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ CONSENT Bill No: AB 897 Author: Hall (D) Amended: As introduced Vote: 21 SENATE GOVERNMENTAL ORGANIZATION COMM. : 13-0, 06/28/11 AYES: Wright, Anderson, Berryhill, Calderon, Cannella, Corbett, De León, Evans, Hernandez, Padilla, Strickland, Wyland, Yee SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 ASSEMBLY FLOOR : 72-0, 05/12/11 - See last page for vote SUBJECT : Horse racing: quarter horse racing SOURCE : Author DIGEST : This bill authorizes the California Horse Racing Board to permit a licensed California quarter horse racing association that is conducting a live racing meeting to accept wagers on the full card of races conducted by another racing association on the date that other association conducts the Texas Classic Futurity and Remington Park Futurity. ANALYSIS : Existing law grants the California Horse Racing Board the authority to regulate the various forms of horse racing authorized in this state. CONTINUED AB 897 Page 2 Existing law authorizes a licensed quarter horse racing association that is conducting a live racing meeting in this state to accept wagers on races conducted by the racing association that conducts the American Quarter Horse Racing Challenge, if the races are conducted on the same day as the American Quarter Horse Racing Challenge. Existing law permits a harness or Quarter Horse association conducting a race meeting to accept wagers on the results of out-of-state, out-of-country, and sometimes other harness or Quarter Horse races, if specified conditions are met, including that the association conducts at least seven live races and imports not more than eight races on live racing days, as specified. Existing law authorizes the inclusion of wagers in the pari-mutuel pools of the out-of-state association that conducts the races on which the wagers are placed. This bill authorizes the California Horse Racing Board to permit a licensed California quarter horse racing association that is conducting a live racing meeting to accept wagers on the full card of races conducted by another racing association on the date that other association conducts the Texas Classic Futurity and Remington Park Futurity. Prior Legislation AB 2201 (Coto), Chapter 253, Statutes of 2010, authorized the California Horse Racing Board to permit a California harness racing association to accept wagers on the full card of races conducted by another racing association on the date of the "Cane Pace." AB 2790 (Governmental Organization Committee), Chapter 141, Statutes of 2010, added the Arlington Million to the group of specific stake races which are exempt from the 32-race per day limit on imported races. AB 3074 (Governmental Organization Committee), Chapter 510, Statutes of 2008, among other things, increased from 23 to 32, the limitation on the total number of out-of-state thoroughbred races that may be imported per day by a CONTINUED AB 897 Page 3 thoroughbred association or fair that is conducting a live race meet. Also, allowed a harness racing association in California to import all of the races conducted on Kentucky Futurity day. AB 2048 (Silva), Chapter 439, Statutes of 2008, among other things, allowed harness and quarter horse racing associations and fairs to offer wagering on eight harness or quarter horse races broadcast by satellite on each day live races are run. SB 1183 (Margett), Chapter 232, Statutes of 2004, authorized a harness association to import the full cards of races held by the association hosting the Breeder's Crown Stakes, the Meadowlands Pace, the Hambletonian, or the North American Cup on the days that those races are being run. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No SUPPORT : (Verified 8/15/11) Los Alamitos Racetrack ARGUMENTS IN SUPPORT : According to the author's office, over the years existing law has been amended to allow specific notable races to be imported outside of an eight-race per day limit, as defined in current law. This has been done for scheduling, promotional and financial reasons. Additionally, the author's office points out that there has been a general decline in the number of people attending and wagering at live horse tracks in California due to a number of factors, including increased competition from other forms of gaming, unwillingness of customers to travel a significant distance to racetracks and the availability of off-track wagering. This decline in attendance at live horse racing events has prompted racetracks to rely on revenues from in-state and out-of-state satellite wagering and account wagering. This bill allows a quarter horse racing association in California to import all of the races conducted on Texas Classic Futurity and Remington Park Futurity day, CONTINUED AB 897 Page 4 irrespective of the eight race day limit. The Texas Classic Futurity, run at Lone Star Park at Grand Prairie, carries a total purse (including two consolation races) of $1 million. The Texas Classic Futurity is the richest race in Texas and third richest Quarter Horse race in the world, only behind the All American Futurity and Los Alamitos Million. The author's office believes this measure will give California's quarter horse racing industry a marketing tool to increase on-track and off-track attendance on this specific day and provide the industry with a mechanism to increase track commissions, purses, and breeder's awards. ASSEMBLY FLOOR : 72-0, 05/12/11 AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, Brownley, Buchanan, Butler, Charles Calderon, Campos, Carter, Chesbro, Conway, Cook, Davis, Dickinson, Donnelly, Feuer, Fletcher, Fong, Fuentes, Furutani, Beth Gaines, Galgiani, Gatto, Gordon, Grove, Hagman, Halderman, Hall, Harkey, Hayashi, Roger Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones, Knight, Lara, Logue, Bonnie Lowenthal, Ma, Mendoza, Miller, Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez, Silva, Skinner, Smyth, Solorio, Swanson, Valadao, Wagner, Wieckowski, Williams, John A. Pérez NO VOTE RECORDED: Cedillo, Eng, Garrick, Gorell, Mansoor, Portantino, Torres, Yamada PQ:nl 8/16/11 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED