BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2103
                                                                  Page  1

          Date of Hearing:   May 7, 2008

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

                   AB 2103 (Plescia) - As Amended:  April 23, 2008 

          Policy Committee:                              InsuranceVote:8 -  
          0
                        Governmental Organization                    14 -  
          0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This legislation extends a sunset date from January 1, 2009 to  
          January 1, 2014 for a current program that allows a portion of  
          the money collected through betting on horse races to be placed  
          in a fund that helps the thoroughbred horseracing industry  
          defray the costs of workers' compensation insurance.

           FISCAL EFFECT  

          The money placed in this fund comes from the pari-mutuel handle,  
          proceeds that would be paid to the owners of winning horses and  
          successful bettors.  Therefore, there is no impact on the state  
          General Fund or state special funds.

           COMMENTS  

           1)Purpose  .  This bill extends for five years a program  
            established in 2004, which was designed to provide relief from  
            the increasing costs of workers compensation insurance to the  
            thoroughbred horseracing industry.  The original program has  
            allowed the industry to create its own workers' compensation  
            insurance program, known as the California Horsemen's Safety  
            Alliance.  That program has been operating for the last four  
            years.  This bill allows the program to continue operation for  
            another five years. 

           2)Related Legislation  . AB 701 (J. Horton; Chapter 40, Statutes  
            of 2004) provided a framework for the deduction from the  
            pari-mutuel pools in order to address increased costs in  








                                                                  AB 2103
                                                                  Page  2

            workers compensation insurance in the horse racing industry.


           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081