BILL ANALYSIS
Bill No: SB
830
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2009-2010 Regular Session
Staff Analysis
SB 830 Author: Committee on Governmental Organization
As Introduced: March 19, 2009
Hearing Date: April 28, 2009
Consultant: Chris Lindstrom
SUBJECT
Horse racing law: intent.
DESCRIPTION
Clarifies the policy purpose of Horse Racing Law,
reflecting the changes made to the law pursuant to the
enactment of SB 16xx (Chapter 12, Statutes of 2009-10
Second Extraordinary Session).
EXISTING LAW
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.
Existing law provides that the intent of California's Horse
Racing Law is to allow parimutuel wagering on horse racing
while:
1) Assuring protection of the public.
2) Encouraging agriculture and the breeding of horses
in this state.
3) Supporting the network of California fairs.
4) Providing for maximum expansion of horse racing
SB 830 (G.O. Committee) continued
Page 2
opportunities in the public interest.
5) Providing uniformity of regulation for each type of
horse racing.
BACKGROUND
In 1933, California voters passed a constitutional
amendment authorizing parimutuel 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 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 SB 16xx.
SB 16xx authorizes 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. As such, SB 830 modifies the stated policy purpose
of the Horse Racing Law to reflect the changes brought
about by SB 16xx.
PRIOR/RELATED LEGISLATION
AB 840 (Garrick), 2009-2010 Legislative Session . Makes a
technical change to the intent section of Horse Racing Law
to specify that it is the intent to of the law to allow
parimutuel wagering on horse races while ensuring the
protection of the public. Pending in Assembly Rules
Committee.
SB 16xx (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.
SUPPORT: None on file as of April 24, 2009.
OPPOSE: None on file as of April 24, 2009.
SB 830 (G.O. Committee) continued
Page 3
FISCAL COMMITTEE: Senate Appropriations Committee
**********