BILL ANALYSIS
AB 2792
Page 1
Date of Hearing: April 21, 2010
ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
Joe Coto, Chair
AB 2792 (Governmental Organization Committee) - As Introduced:
March 17, 2010
SUBJECT : Horse racing law intent: licenses.
SUMMARY : Clarifies the policy purpose of Horse Racing Law,
reflecting the changes made to the law pursuant to the enactment
of SBX2 16 (Ashburn), Chapter 12, Statutes of 2009 Second
Extraordinary Session.
EXISTING LAW :
1)Article IV, Section 19(b) of the Constitution of the State of
California provides that the Legislature may provide for the
regulation of horse races and horse race meetings and wagering
on the results.
2)Provides that the intent of California's Horse Racing Law is
to allow pari-mutuel wagering on horse racing while:
a) Assuring protection of the public.
b) Encouraging agriculture and the breeding of horses in
this state.
c) Supporting the network of California fairs.
d) Providing for maximum expansion of horse racing
opportunities in the public interest.
e) Providing uniformity of regulation for each type of
horse racing.
FISCAL EFFECT : Unknown.
COMMENTS :
In 1933, California voters passed a constitutional amendment
authorizing pari-mutuel wagering on horse racing. The
commitment to use a percentage of the wagers to establish a
continuous funding source for the fairs, while at the same time,
AB 2792
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relieving the state's General Fund of the funding
burden became socially and politically palatable in 1933 as the
country began to pull itself up by the bootstraps from the Great
Depression.
For more than 75 years, this relationship existed between horse
racing and the fairs until the enactment of SBX2 16. The bill
authorized the appropriation of $32 million a year from the
state's General Fund in support of the fairs and relieves the
horse racing industry of its obligation to fund the fairs from
license fees assessed on horse racing wagers. This measure
modifies the stated policy purpose of the Horse Racing Law to
reflect the changes brought about by SBX2 16.
Prior Legislation : SBX2 16 (Ashburn), Chapter 12, Statutes of
2009-10 Second Extraordinary Session. Among other things,
provides that beginning on July 1, 2009, and annually
thereafter, thirty-two million ($32,000,000) shall be
appropriated from the state's General Fund and paid into the
Fair and Exposition Fund for the financial support of the
network of California fairs.
Related legislation : SB 830 (Senate Governmental Organization
Committee) of 2009. Clarifies the policy purpose of Horse
Racing Law, reflecting the changes made to the law pursuant to
the enactment of SB 16XX (Ashburn), Chapter 12, Statutes of 2009
Second Extraordinary Session. Pending on the Assembly floor.
REGISTERED SUPPORT / OPPOSITION :
Support
None on file
Opposition
None on file
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531