BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1786


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          Date of Hearing:   April 20, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          1786 (Cooley) - As Introduced February 4, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill modifies the requirements the California Standardbred  
          Sires Stakes Program. Specifically, this bill: 


          1)Expands eligibility to race in the California Standardbred  
            Sires Stakes Program to include the offspring of registered  
            Standardbred stallions standing in Iowa, Wisconsin, Minnesota,  
            Michigan, Maine, or the Province of Alberta, Canada. 








                                                                    AB 1786


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          2)Changes the requirement that races be scheduled for both  
            two-year-old and three-year-old trotters to a requirement that  
            races be scheduled for either two-year-old or three-year-old  
            trotters. 


          3)Deletes the requirement that two- and three-year-old races be  
            divided into colt and filly divisions. 


          4)Establishes the percentages to be allocated for horses  
            finishing in first through fifth place, inclusive, regardless  
            of the number of starters in the race. 


          FISCAL EFFECT:


          Negligible fiscal impact. 





          COMMENTS:


          1)Background. Existing law provides incentives for the breeding  
            and owning of California-bred horses. The California  
            Standardbred Sires Stakes Committee (CSSSC) is a non-profit  
            public benefit corporation that administers the Standardbred  
            Breeders Program (Program). The Program is funded from the  
            breakage at harness race meets and an additional one percent  
            takeout on all exotic wagering at harness race meets. In FY  
            2014-15, the Program generated approximately $225,000. 










                                                                    AB 1786


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            While the Program provides financial incentives for the  
            breeding and development of Standardbred horses, there has  
            nevertheless been a steep decline in the number of  
            Standardbred foals born in California. In 2015, there were  
            just 15 Standardbred foals born, compared to 190 born in 2004.  
            According to the sponsor of the bill, the California Harness  
            Horsemen's Association, this decline can be attributed to  
            breeders leaving California for other states that have slot  
            machine revenues to supplement purse pools.





          2)Purpose. According to supporters, AB 1786 is will help support  
            breeding of Standardbred horses on California farms, attract  
            more horses to California, increase the overall horse  
            population, and add more live racing days to the annual  
            calendar. 



          Analysis Prepared by:Luke Reidenbach / APPR. / (916)  
          319-2081