BILL ANALYSIS
AB 2792
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 2792 (Governmental Organization Committee)
As Amended August 20, 2010
Majority vote
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|ASSEMBLY: |62-0 |(May 28, 2010) |SENATE: |35-0 |(August 25, |
| | | | | |2010) |
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Original Committee Reference: G.O.
SUMMARY : Extends the sunset date, by three years, on
California's participation in the National Thoroughbred Racing
Association (NTRA) and changes the stallion award definitions in
Horse Racing Law to allow California stallions to be vested for
their years of service regardless if the stallion later
leaves the state. Provides technical clean-up to Horse Racing
Law to ensure the law reflects changes made through the
enactment of SB 16X2 (Ashburn), Chapter 12, Statutes of
2009-10, Second Extraordinary Session.
The Senate amendments :
1)Extend the sunset date on California's participation in the
National Thoroughbred Racing Association (NTRA) from January
1, 2011, to January 1, 2014.
2)Change the stallion award eligibility definitions in Horse
Racing Law to allow California stallions to be vested for
their years of service regardless if the stallion later leaves
the state, as specified.
3)State that "eligible thoroughbred stallion" means a
Thoroughbred stallion that was continuously present in this
state from February 1 to June 15, inclusive, of the year 2010
or any subsequent calendar year in which he stood at stud and
fathered the participant in the race. If a sire dies in this
state in the year 2010 or any subsequent year and stood his
last season at stud in this state, or was standing at stud in
this state on the date of his death in the year 2010 or any
subsequent year, he shall thereafter continue to be considered
an eligible thoroughbred stallion regarding a race participant
fathered by him in that season.
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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,
e) Providing uniformity of regulation for each type of
horse racing.
1)Authorizes California Thoroughbred owners to deduct a portion
of their purse pools to participate in the "national
marketing" association, the NTRA. This provision expires on
January 1, 2011.
2)Provides that an "eligible Thoroughbred stallion" means a
Thoroughbred stallion that was continuously present in this
state during certain dates of the calendar year in which the
qualifying race was conducted or if the sire left this state
after June 15 of the year in which the qualifying race was
conducted, during certain dates of the following calendar
year.
3)Provides that if a sire dies in this state and stood his last
season at stud in this state, he shall thereafter continue to
be considered an "eligible Thoroughbred stallion."
4)Provides that a Thoroughbred stallion shall be considered an
eligible Thoroughbred stallion only if its owner has filed a
claim for stallion award on or before February 15 of the
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calendar year immediately following the calendar year for
which awards are being distributed and is registered with the
official registering agency.
5)Provides that a "stallion owner" means the person who is the
owner of the eligible Thoroughbred stallion as of December 31
of the calendar year in which that sire's foals had eligible
earnings or the person who owned the eligible sire on the date
that the stallion died.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, no costs associated with this legislation.
COMMENTS : This bill extends the sunset date on California's
participation in the NTRA. Participation in the NTRA is
intended to increase interest in horse racing through national
marketing and advertising. California Thoroughbred owners'
legal authority to participate in the NTRA expires on January 1,
2011. This bill extends that date until January 1, 2014.
This bill changes the stallion award eligibility definitions in
Horse Racing Law to allow California stallions to be vested for
their years of service regardless if the stallion later leaves
the state. The revision of the stallion award definitions will
reward stallion owners for the years that their stallion stood
in the state, and allow for greater flexibility to later move
the horse without penalty. This flexibility will provide a
further incentive for top stallions to come to California.
The bill is also a clean-up measure to SB 16X2 (Ashburn),
Chapter 12, Statutes of 2009-10, Second Extraordinary Session,
which among other things, provided that beginning on July 1,
2009, and annually thereafter, $32 million 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. This bill modifies the stated policy purpose
of the Horse Racing Law to reflect the changes brought about by
SB 16X2.
Prior legislation: SB 16 X2 (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
General Fund and paid into the Fair and Exposition Fund for the
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financial support of the network of California fairs.
SB 1072 (Ron Calderon) of 2010, extends the sunset date from
January 1, 2011, to January 1, 2014, in existing law relating to
a private statewide marketing organization to market and promote
thoroughbred and fair horse racing in California, as described.
(Pending on Assembly Floor)
AB 1736 (Governmental Organization Committee), Chapter 444,
Statutes of 2007, extended the sunset date from January 1, 2008,
to January 1, 2011, in existing law, which allows any racing
association or fair that conducts thoroughbred racing to pay to
the owners 'organization a certain portion of the purses for a
national marketing program, as specified.
AB 1578 (Governmental Organization Committee), Chapter 550,
Statutes of 2009, permited the official Thoroughbred registering
agency to distribute a specific portion of designed funds
annually for a California-bred bonus program.
Analysis Prepared by : Eric Johnson / G. O. / (916) 319-2531
FN: 0006758