BILL ANALYSIS
AB 2792
Page 1
ASSEMBLY THIRD READING
AB 2792 (Committee on Governmental Organization)
As Introduced March 17, 2010
Majority vote
GOVERNMENTAL ORGANIZATION 21-0APPROPRIATIONS 11-0
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|Ayes:|Coto, Anderson, |Ayes:|Fuentes, Ammiano, |
| |Blakeslee, Chesbro, Cook, | |Bradford, Coto, Davis, |
| |Bradford, Evans, | |Hill, Hall, Skinner, |
| |Galgiani, Hall, | |Solorio, Torlakson, |
| |Hernandez, Hill, | |Torrico |
| |Charles Calderon, Ma, | | |
| |Mendoza, Nestande, V. | | |
| |Manuel Perez, Portantino, | | |
| |Silva, Torres Torrico, | | |
| |Tran | | |
| | | | |
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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)Provides, under Article IV, Section 19(b) of the Constitution
of the State of California, 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; and,
AB 2792
Page 2
e) Providing uniformity of regulation for each type of
horse racing.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, there are no costs associated with this legislation.
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,
relieving the state's General Fund (GF) 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 GF 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.
Specifically, this bill removes the language which states that
pari-mutuel wagering on horse racing is intended to support the
network of California fairs.
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, $32 million shall be appropriated from the state's
GF and paid into the Fair and Exposition Fund for the financial
support of the network of California fairs.
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531
FN: 0004336