BILL NUMBER: AB 1289	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 18, 2008
	AMENDED IN ASSEMBLY  APRIL 9, 2007

INTRODUCED BY   Assembly Member Price

                        FEBRUARY 23, 2007

   An act to amend Section  19604   19601.2
 of the Business and Professions Code, relating to horse racing.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1289, as amended, Price.  Advance deposit wagering:
out-of-state providers.   Fairs: wagering: out-of-zone,
out-of-state, and out-of-country races.  
   Existing law provides that when the San Mateo County Fair, or
other fair or thoroughbred association, and the Humboldt County Fair
simultaneously conduct race meetings, the San Mateo County Fair, or
other fair or thoroughbred association, is authorized to distribute
the signal and accept wagers on out-of-zone, out-of-state, and
out-of-country races if it complies with specified conditions. 

   Under existing law, for the period in which both fairs are
conducting race meetings, the San Mateo County Fair, or other fair or
thoroughbred association, is required to give to the Humboldt County
Fair 0.75% of the out-of-zone, out-of-state, and out-of-country
handle. Existing law requires the San Mateo County Fair to distribute
the remaining amount by retaining 50% and distributing it equally as
commissions and purses with the other 50% being paid to the state as
a license fee.  
   This bill would make clarifying changes to the above provisions.
 
   Existing law authorizes advance deposit wagering to be conducted,
with the approval of the California Horse Racing Board. Under
existing law, advance deposit wagering is defined as a form of
parimutuel wagering in which a person residing within California or
outside of the state establishes an account with a licensee,
board-approved betting system, or multijurisdictional wagering hub
located within California or outside of the state.  

   This bill would remove from that definition, and from all
provisions related to the authorization of advance deposit wagering,
the reference to a multijurisdictional wagering hub located outside
of the state.  
   Under existing law, in order for a licensee, betting system, or
multijurisdictional wagering hub to be approved by the board to
conduct advance deposit wagering, it must meet certain requirements.
 
   This bill would add to those requirements that the employees who
operate and administer the advance deposit wagering on a daily basis
shall work in California.  
   Existing law requires the California Horse Racing Board to adopt
rules to license and regulate all phases of operation of advance
deposit wagering for licensees, betting systems, and
multijurisdictional hubs located in California.  
   This bill would require the rules adopted by the board to include
a requirement that employees represented in the same or similar
classifications be employed at a ratio of one employee for every
$20,000 in wagers handled by those licensees, betting systems, and
multijurisdictional hubs.  
   Existing law specifies how the amount received as a market access
fee from advance deposit wagers shall be distributed. 

   This bill would require that a specified amount of that fee be
used to establish and administer a defined contribution retirement
plan for California jockeys, as specified.  
   Under existing law, the provisions relating to advance deposit
wagering will be repealed on January 1, 2008.  
   This bill would delay the repeal date until January 1, 2011.

   Vote: majority. Appropriation: no. Fiscal committee:  yes
  no  . State-mandated local program: no.


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

   SECTION 1.    Section 19601.2 of the  
Business and Professions Code   is amended to read: 
   19601.2.  (a) During calendar periods when the San Mateo County
Fair, or other fair or thoroughbred association, and the Humboldt
County Fair simultaneously conduct race meetings  in the northern
zone , the San Mateo County Fair, or other fair or thoroughbred
association, shall be the association authorized to distribute the
signal and accept wagers on out-of-zone, out-of-state, and
out-of-country races if it complies with the conditions specified in
subdivision (a) of Section 19601. The amounts deducted from these
wagers shall be distributed as provided in Section 19601, and license
fees on races conducted by the Humboldt County Fair and on
out-of-zone, out-of-state, or out-of-country races shall be as
specified in subdivision (h) of Section 19601. Additionally, from,
and to the extent of, license fees generated from the total handle of
the San Mateo County Fair, or other fair or thoroughbred
association, during the overlap, the San Mateo County Fair, or other
fair or thoroughbred association, shall distribute to the Humboldt
County Fair, not less than seven days after the close of the racing
meeting, an amount equal to 0.75 percent of the out-of-zone,
out-of-state, and out-of-country handle. From the amount remaining,
if any, 50 percent shall be retained by the San Mateo County Fair
 ,   or other fair or thoroughbred association,  to
be distributed equally as commissions and purses, and 50 percent
shall be paid to the state as a license fee.
   (b) During calendar periods when the Fresno District Fair and any
thoroughbred association in the northern zone both conduct race
meetings, the thoroughbred association shall be the association
authorized to distribute the signal and accept wagers on out-of-zone,
out-of-state, and out-of-country races, if it complies with the
conditions specified in subdivision (a) of Section 19601. The amounts
deducted from these wagers shall be distributed as provided in
Section 19601, and license fees on races conducted by the Fresno
District Fair and on out-of-zone, out-of-state, or out-of-country
races shall be as specified in subdivision (h) of Section 19601.
Additionally, from, and to the extent of, license fees generated from
the total handle of the thoroughbred association during the overlap,
the thoroughbred association shall distribute to the Fresno District
Fair, not less than seven days after the close of the racing
meeting, an amount equal to 0.75 percent of the out-of-zone,
out-of-state, and out-of-country handle. From the amount remaining,
if any, 50 percent shall be retained by the thoroughbred association
to be distributed equally as commissions and purses, and 50 percent
shall be paid to the state as a license fee. All matter omitted in
this version of the bill appears in the bill as amended in Assembly,
April 9, 2007. (JR11)