BILL NUMBER: SB 1887	CHAPTERED  09/27/00

	CHAPTER   779
	FILED WITH SECRETARY OF STATE   SEPTEMBER 27, 2000
	APPROVED BY GOVERNOR   SEPTEMBER 27, 2000
	PASSED THE SENATE   AUGUST 30, 2000
	PASSED THE ASSEMBLY   AUGUST 28, 2000
	AMENDED IN ASSEMBLY   AUGUST 25, 2000
	AMENDED IN SENATE   MAY 24, 2000
	AMENDED IN SENATE   MAY 4, 2000

INTRODUCED BY   Senator Vasconcellos

                        FEBRUARY 24, 2000

   An act to amend Section 19605.35 of the Business and Professions
Code, relating to horse racing.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1887, Vasconcellos.  Horse racing:  impact fees.
   (1) Existing law authorizes agreements between racing associations
and satellite wagering facilities concerning the transmission of
signal, the inclusion of wagers in the appropriate parimutuel pool,
and the payment of supplemental impact fees apart from the deductions
and distributions from the amount handled specified under the Horse
Racing Law.  Existing law provides that nothing in these provisions
shall be construed to require an association or fair to execute an
agreement concerning these fees, and that notwithstanding these
provisions, no impact fee or charge shall be paid by the operator of
a satellite wagering facility that was also licensed at any time
during the prior year to conduct a live racing meeting in the
northern zone.
   This bill would expand this exclusion to include any satellite
wagering facility in the northern zone that was licensed at any time
prior to January 1, 2000.
   (2) Existing law also provides that on-track license fees
applicable to associations conducting thoroughbred racing in the
northern zone shall be reduced by 0.3%, and that the amount thereby
retained shall be paid to the association in the form of a
commission.
   This bill would  also provide that specified on-track license fees
applicable to wagers made within the inclosures of thoroughbred
racing associations in the Counties of Alameda and San Mateo shall be
permanently reduced, beginning in 2001, by an additional sum equal
to the actual amount of impact fees respectively received by each
association from the Santa Clara County Fair in 2000.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 19605.35 of the Business and Professions Code
is amended to read:
   19605.35.  (a) Notwithstanding paragraph (3) of subdivision (a) of
Section 19605.3, no fee or charge authorized under that paragraph
shall be paid by the operator of a satellite wagering facility that
was licensed in the northern zone at any time prior to January 1,
2000.  Notwithstanding any other provision of law, total on-track
license fees applicable to all wagers made within the inclosure of
associations conducting thoroughbred racing meetings in the northern
zone, including wagers on out-of-zone, out-of-state, and
out-of-country races, shall be reduced by  0.3 percent.  In addition,
the total on-track license fees applicable to all wagers made within
the inclosures of associations conducting thoroughbred racing
meetings in the Counties of Alameda and San Mateo shall, beginning on
January 1, 2001, and each year thereafter, be further reduced by an
additional sum equal to the amount of impact fees respectively
received by each association from the Santa Clara County Fair during
the 2000 calendar year.  The reduction in license fees provided by
this section shall be distributed solely to the association in the
form of commissions.  All other distributions from handle shall be as
provided elsewhere in this chapter.
   (b) Notwithstanding paragraph (3) of subdivision (a) of Section
19605.3, no fee or charge authorized under that paragraph shall be
paid by the operator of a satellite wagering facility that was also
licensed at any time during the prior year to conduct a live
thoroughbred or quarter horse racing meeting in the central or
southern zones or a live fair racing meeting in Los Angeles County.
Notwithstanding any other provision of law, on-track license fees
applicable to all wagers made within the inclosure of an association
conducting a thoroughbred meet in the central or southern zones,
including wagers on out-of-zone, out-of-state, and out-of-country
races, shall be reduced by 0.15 percent.  The reduction in license
fees provided by this section shall be distributed solely to the
association in the form of commissions.  All other distributions from
handle shall be as provided elsewhere in this chapter.