BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 1786| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- CONSENT Bill No: AB 1786 Author: Cooley (D) Introduced:2/4/16 Vote: 21 SENATE GOVERNMENTAL ORG. COMMITTEE: 12-0, 6/14/16 AYES: Hall, Bates, Block, Gaines, Galgiani, Glazer, Hernandez, Hill, Hueso, Lara, McGuire, Vidak NO VOTE RECORDED: Berryhill SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8 ASSEMBLY FLOOR: 76-0, 4/28/16 (Consent) - See last page for vote SUBJECT: Horse racing: the California Standardbred Sires Stakes Program SOURCE: California Harness Horseman's Association Golden Bear Racing DIGEST: This bill makes modest and clarifying changes to the California Standardbred Sires Stakes Program to allow horses bred in specified states but foaled in California to qualify for entry to race in this state. ANALYSIS: Existing law: 1)Provides that the California Horse Racing Board (CHRB) is responsible for adopting rules and regulations for the protection of the public and the control of horse racing and pari-mutuel wagering, as well as enforcing all laws, rules, AB 1786 Page 2 and regulations dealing with horse racing and pari-mutuel wagering. 2)Establishes the California Standardbred Sires Stakes Program for Standardbred horses bred in California, and provides that an offspring of a registered California Standardbred stallion standing in California during an entire breeding season is eligible to race in the program. 3)Requires the CHRB to set a schedule of races for the program in accordance with specified requirements, including, among other things, that races be scheduled by the California Standardbred Sires Stakes Committee, at its discretion, for two-year-old and three-year-old trotters and two-year-old and three-year-old pacers, as specified, and that two- and three-year-old races be divided into colt and filly divisions. 4)Establishes the manner of dividing the purse in California Standardbred Sires Stakes races, and sets forth the percentages to be allocated for horses placing in the race based on the number of participating starters in a race. This bill: 1)Expands eligibility to race in the California Standardbred Sires Stakes Program to include the offspring of a registered Standardbred stallion standing in Iowa, Wisconsin, Minnesota, Michigan, or Maine, or the Province of Alberta, Canada. 2)Makes minor changes to requirements pertaining to the scheduling of races for trotters, as specified, and deletes the requirement that two- and three-year-old races be divided into colt and filly divisions. 3)Modifies the current manner of dividing the purse in California Standardbred Sires Stakes races by providing that the percentages shall be allocated for horses finishing in first through fifth place, inclusive, regardless of the number of starters in the race. Background AB 1786 Page 3 The California Standardbred Sires Stakes Committee (CSSSC) was created in 1977 to encourage agriculture and the breeding of horses in California. In short, the CSSSC's purpose is to provide financial incentives for the breeding and development of Standardbred racehorses which are bred to run in harness races. Harness racing is a form of horse racing in which the horses race at a specific gait (a trot or a pace) pulling two-wheeled carts called sulkies. Currently, there is one harness racing association licensed to operate a racing meeting in California (run at Cal-Expo). Purpose of AB 1786. The author's office notes that in the late 19th Century, Sacramento was internationally famous for horse breeding that took place within the boundaries of the Rancho Del Paso land grant located northeast of the City. Sacramento's time as a renowned location for horse breeding has long past. However, the names of streets, neighborhoods, and even schools that remain to this day show evidence of the former success of horse breeding in Sacramento. The author's office also points out that 10 years ago Standardbreds raced over 120 days a year in California. Today, there are only 54 race days a year which has resulted in a drastic reduction of jobs at racetracks and breeding farms. This bill is designed to help boost the dwindling number of Standardbred horses available to run in harness races in this state and encourage more owners to race their horses in California. Related/Prior Legislation AB 280 (Silva, Chapter 98, Statutes of 2011) changed the definition of a California-bred Standardbred horse by deleting the requirement that the Standardbred foal be conceived in California, as specified. AB 2538 (Strickland, Chapter 278, Statutes of 2004) changed the definition of a California-bred Standardbred horse for purposes of the incentive awards program by deleting the requirement in existing law that the mare drop the horse in California after the conception. AB 1786 Page 4 SB 738 (Karnette, Chapter 24, Statutes of 2003) modified the definition of a California-bred Standardbred horse for purposes of the incentive awards program, as specified. FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No SUPPORT: (Verified 8/1/16) California Harness Horseman's Association (co-source) Golden Bear Racing (co-source) OPPOSITION: (Verified 8/1/16) None received ARGUMENTS IN SUPPORT: Writing in support, the California Harness Horseman's Association and Golden Bear Racing state, "In the last decade, there has been a steep reduction in the number of Standardbred foals - which are used exclusively in harness racing - born in California. In 2004 there were 190 Standardbred foals born in California and in 2015 there were only 15. Breeders have left California for other states that have slot machine revenues to supplement purse pools. Under this bill, the requirements for horses to qualify to race in California Sires Stakes races would be modified to allow horses bred elsewhere but foaled in California to qualify. We believe this will create an incentive that will help revive breeding of Standardbred horses on California farms, attract more horses to our state, increase the horse population in California, and add race days to our calendar." ASSEMBLY FLOOR: 76-0, 4/28/16 AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, AB 1786 Page 5 Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon NO VOTE RECORDED: Chávez, Daly, Mathis, Olsen Prepared by: Arthur Terzakis / G.O. / (916) 651-1530 8/3/16 18:54:22 **** END ****