BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 2520|
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CONSENT
Bill No: AB 2520
Author: Hall (D)
Amended: As introduced
Vote: 27
SENATE GOVERNMENTAL ORGANIZATION COMM. : 13-0, 6/12/12
AYES: Wright, Anderson, Berryhill, Calderon, Cannella,
Corbett, De León, Evans, Hernandez, Padilla, Walters,
Wyland, Yee
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
ASSEMBLY FLOOR : 73-0, 5/10/12 (Consent) - See last page
for vote
SUBJECT : Horse racing
SOURCE : Author
DIGEST : This bill increases, from eight to 10, the
amount of races a harness and quarter horse racing
association may import (out-of-state or out-of-country) on
live racing days.
ANALYSIS : Over the years, there has been a noticeable
decline in the number of people attending and participating
in live horse racing events in California. The declining
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 to
CONTINUED
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compensate for losses at their live horse racing events.
Existing law however restricts the number of quarter horse
or harness races that can be imported via satellite to
eight races per day by the respective racing association.
The author's office argues that by allowing each breed to
import an additional two races per day this bill will
enable each racing association to import a full card of
races from an out-of-state location. Los Alamitos Race
Course and Sacramento Cal Expo are the only racetracks that
conduct harness racing and quarter horse racing meets.
The author's office believes that this bill will provide
the quarter and harness racing industry an additional
marketing tool to help increase on-track and off-track
attendance and wagering handle throughout California. This
bill is also intended to provide those breeds with a
mechanism to increase track commissions, purses, and
breeder's awards.
Harness racing is a form of horse-racing in which
standard-bred horses race in a specified gait, either
trotting or a faster gait called pacing. The jockey sits
in a two-wheeled cart pulled by the horse. In California,
harness racing is held exclusively at Cal Expo in
Sacramento. For 2011-12, the harness racing meets are
scheduled from December 26, 2011 to June 30, 2012.
Quarter horse racing in California is held exclusively at
Los Alamitos race track. Unlike thoroughbreds, which make
up most professional racing and often race longer
distances, quarter horses are bred to sprint short
distances ranging from 220 to 870 yards. The Los Alamitos
meet lasts virtually all year long with the 2011-12 meet
lasting from December 30, 2011 until December 23, 2012.
Background
In the late 1990's, California racetracks began importing
additional races from out-of-state locations to provide
California's horse racing patrons with the opportunity to
wager on quality races offered by racetracks throughout the
country. Since the introduction of this practice (which,
incidentally is authorized in many other states that
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likewise allow pari-mutuel wagering on horse races),
wagering on these out-of-state races has been well received
by betting patrons, as evidenced by modest increases in
overall wagering activity. This has also helped the
industry offset a continued reduction in on-track wagering
activity.
Prior Legislation
AB 136 (Silva), Chapter 221, Statutes of 2009, deleted the
limitation on the total number of out-of-state or
out-of-country harness or quarter horse races that may be
imported in a calendar year by a harness or quarter horse
racing association.
AB 763 (Chesbro), Chapter 122, Statutes of 2009, authorized
the Humboldt County Fair to offer satellite wagering on
eight out-of-state races during the August days when the
fair is offering live racing, if specified conditions are
met.
AB 2048 (Silva), Chapter 439, Statutes of 2008, among other
things, increased by two (from six to eight) the number of
races that a harness and quarter horse racing association
could import on live racing days from out-of-state and
out-of-country locations.
SB 1183 (Margett), Chapter 232, Statutes of 2004,
authorized a harness racing association that is conducting
a live race meeting to accept wagers on the full card of
races conducted by another racing association on the day
the other racing association conducts the Breeder's Crown
Stakes, the Meadowlands Pace, the Hambletonian or the North
American Cup.
SB 2035 (Karnette), Chapter 268, Statutes of 2002, allowed
a harness or quarter horse racing association to "bank" up
to two out-of-state or out-of-county imported races on a
specific race day, and then add those races to another race
day's importation schedule.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: No
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ASSEMBLY FLOOR : 73-0, 5/10/12
AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall,
Bill Berryhill, Block, Blumenfield, Bonilla, Bradford,
Brownley, Buchanan, Butler, Charles Calderon, Campos,
Carter, Cedillo, Chesbro, Conway, Davis, Dickinson,
Donnelly, Eng, Feuer, Fong, Fuentes, Beth Gaines,
Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, Hagman,
Halderman, Hall, Harkey, Hayashi, Roger Hernández, Hill,
Huber, Hueso, Huffman, Jones, Knight, Lara, Logue, Bonnie
Lowenthal, Ma, Mansoor, Mendoza, Miller, Mitchell,
Monning, Morrell, Nestande, Nielsen, Pan, Perea,
Portantino, Silva, Skinner, Smyth, Solorio, Swanson,
Torres, Valadao, Wagner, Wieckowski, Williams, Yamada,
John A. Pérez
NO VOTE RECORDED: Cook, Fletcher, Furutani, Jeffries,
Norby, Olsen, V. Manuel Pérez
DLW:k 6/26/12 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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