Bill Text: IA SSB3199 | 2013-2014 | 85th General Assembly | Introduced


Bill Title: A study bill for an act concerning pari=mutuel racetracks, by providing for live dog racing at pari=mutuel dog racetracks, alternative licensure for dog racetracks authorized to conduct gambling games, calculating the wagering tax on certain racetracks, and establishing fees.

Spectrum: Unknown

Status: (N/A - Dead) 2014-02-18 - In State Government [SSB3199 Detail]

Download: Iowa-2013-SSB3199-Introduced.html
Senate Study Bill 3199 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON STATE GOVERNMENT BILL BY CHAIRPERSON DANIELSON) A BILL FOR An Act concerning pari-mutuel racetracks, by providing for 1 live dog racing at pari-mutuel dog racetracks, alternative 2 licensure for dog racetracks authorized to conduct gambling 3 games, calculating the wagering tax on certain racetracks, 4 and establishing fees. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 6132XC (7) 85 ec/rj
S.F. _____ Section 1. NEW SECTION . 99D.9A Dog racetrack licensure —— 1 fees. 2 1. Upon written notification to the commission by November 3 1, 2014, a licensee authorized to operate a pari-mutuel 4 dog racetrack and to conduct gambling games pursuant to 5 section 99F.6 as of January 1, 2014, may, upon agreement to 6 comply with the requirements of this section, discontinue 7 performances of live dog races at the racetrack on January 1, 8 2015, and maintain a license under this chapter for purposes 9 of permitting pari-mutuel wagering on simultaneously telecast 10 horse and dog races and for purposes of conducting gambling 11 games. 12 2. Upon discontinuance of live dog racing by a licensee, all 13 of the following shall occur: 14 a. The commission shall determine what portion of the 15 unexpended moneys in the dog racing promotion fund created 16 in section 99D.12 is attributable to the licensee that has 17 discontinued live racing and shall transfer those moneys to 18 the Iowa greyhound pari-mutuel racing fund created in section 19 99D.9B. 20 b. Any agreement, which was approved by the commission 21 for dog purse supplement payments for live racing that was 22 discontinued by the licensee, shall be terminated. 23 c. The commission, the licensee of the pari-mutuel dog 24 racetrack located in Pottawattamie county, and the Iowa 25 greyhound association shall take all action necessary to 26 facilitate the transfer of unexpended moneys, contained in 27 an escrow fund created pursuant to a decision in December 28 1995 regarding dog purse supplements at the racetrack, to the 29 commission, and the commission shall transfer such moneys to 30 the Iowa greyhound association for use by the association 31 pursuant to the requirements of section 99D.9C. 32 d. The licensee shall pay the live racing cessation fee as 33 provided by this section and shall continue to pay the annual 34 license fee and regulatory fee as a pari-mutuel dog racetrack 35 -1- LSB 6132XC (7) 85 ec/rj 1/ 15
S.F. _____ licensed to operate gambling games pursuant to the requirements 1 of section 99F.4A. 2 3. For purposes of this section, the live racing cessation 3 fee shall be paid to the commission for deposit in the Iowa 4 greyhound pari-mutuel racing fund created in section 99D.9B, 5 which fee shall be determined as follows: 6 a. For the pari-mutuel dog racetrack located in Dubuque 7 county, the payment of two million one hundred forty-two 8 thousand dollars within two weeks of the discontinuance of live 9 racing at the licensee, and two million one hundred forty-three 10 thousand dollars each January 1 for six consecutive calendar 11 years thereafter, commencing on January 1 of the calendar 12 year following the calendar year in which live racing was 13 discontinued. 14 b. For the pari-mutuel dog racetrack located in 15 Pottawattamie county, the payment of eleven million dollars 16 within two weeks of the discontinuance of live racing at the 17 licensee, and eleven million five hundred thousand dollars 18 each January 1 for six consecutive calendar years thereafter, 19 commencing on January 1 of the calendar year following the 20 calendar year in which live racing was discontinued. 21 4. A licensee who discontinues live racing pursuant to 22 the requirements of this section shall remain licensed as a 23 pari-mutuel dog racetrack licensed to operate gambling games, 24 shall comply with the requirements of this chapter applicable 25 to a dog racetrack licensee except for those requirements 26 applicable to live racing, and shall be permitted, but not 27 required, to conduct pari-mutuel wagering on simultaneously 28 telecast horse and dog races. If a licensee that discontinues 29 live racing pursuant to this section conducts pari-mutuel 30 wagering on simultaneously telecast horse or dog races, the 31 licensee shall carry the simultaneously telecast signal of any 32 dog racetrack facility licensed to conduct live pari-mutuel 33 wagering on dog races within the state at a commercially 34 reasonable rate to be negotiated by the parties and approved 35 -2- LSB 6132XC (7) 85 ec/rj 2/ 15
S.F. _____ by the commission. 1 Sec. 2. NEW SECTION . 99D.9B Iowa greyhound pari-mutuel 2 racing fund. 3 1. An Iowa greyhound pari-mutuel racing fund is created in 4 the state treasury under the control of the racing and gaming 5 commission. 6 2. The fund shall consist of all of the following: 7 a. Moneys in the dog racing promotion fund created in 8 section 99D.12 that were deposited in the fund from a dog 9 racetrack licensee that discontinues scheduling performances of 10 live dog races pursuant to section 99D.9A. 11 b. Moneys deposited in the fund from the live racing 12 cessation fee established in section 99D.9A. 13 c. Moneys transferred to the fund from the Iowa greyhound 14 association as provided in section 99D.9C. 15 3. Moneys in the fund shall be distributed by the commission 16 pursuant to rules adopted by the commission. Moneys in 17 the fund shall be distributed by the commission annually 18 and proportionally to eligible recipients based upon each 19 eligible recipient’s average annual purse winnings at Iowa 20 dog racetracks for calendar years 2009 through 2014 and the 21 economic impact of the reduction in live dog racing on an 22 eligible recipient as determined by the commission. If, 23 however, a license to conduct pari-mutuel wagering and 24 live racing at a dog racetrack is granted pursuant to an 25 application submitted pursuant to section 99D.9C, any moneys 26 remaining in the fund shall be distributed to the licensee for 27 costs associated with the development of the dog racetrack, 28 including, if otherwise authorized, a facility to conduct 29 gambling games as provided in chapter 99F at the dog racetrack. 30 For purposes of this paragraph, “eligible recipient” means 31 greyhound owners, greyhound breeders, and kennel operators who 32 earned purse moneys at any dog racetrack located in the state 33 that discontinued live dog racing pursuant to section 99D.9A 34 from 2009 through 2014, and no-kill animal adoption agencies. 35 -3- LSB 6132XC (7) 85 ec/rj 3/ 15
S.F. _____ 4. Section 8.33 does not apply to moneys in the fund. 1 Notwithstanding section 12C.7, subsection 2, interest or 2 earnings on moneys deposited in the fund shall be credited to 3 the fund. 4 5. The commission shall adopt rules to administer this 5 section. 6 Sec. 3. NEW SECTION . 99D.9C Alternative dog racetrack 7 licensure —— live racing. 8 1. An application for a license to conduct pari-mutuel 9 wagering and live racing at a dog racetrack under this chapter 10 that shall also authorize the licensee to hold a license to 11 conduct gambling games as provided in section 99F.4A may be 12 submitted by the Iowa greyhound association pursuant to this 13 section if the following conditions are met: 14 a. The proposed location of the dog racetrack shall not 15 be within fifty miles of the locations of the pari-mutuel dog 16 racetracks conducting gambling games as of January 1, 2014, 17 that are located in Pottawattamie county and Dubuque county. 18 b. The application for a license shall be submitted to the 19 commission by July 1, 2019. 20 c. The Iowa greyhound association complies with all other 21 requirements for submitting an application for a license under 22 this chapter that are not inconsistent with the requirements of 23 this section. 24 2. Notwithstanding any provision of law to the contrary, 25 the commission shall approve the application for a license 26 to conduct pari-mutuel wagering at a dog racetrack submitted 27 pursuant to this section barring convincing evidence that 28 approval of the application would not be in the best interests 29 of the state. 30 3. The Iowa greyhound association shall establish a fund 31 under its control for the receipt and deposit of escrow fund 32 moneys transferred to the Iowa greyhound association pursuant 33 to section 99D.9A. The Iowa greyhound association shall 34 use moneys in the fund to pay all reasonable and necessary 35 -4- LSB 6132XC (7) 85 ec/rj 4/ 15
S.F. _____ costs and fees associated with pursuing a license under this 1 section for developing a dog racetrack, including, if otherwise 2 authorized, a gambling structure to conduct gambling games as 3 provided in chapter 99F at the dog racetrack. If the Iowa 4 greyhound association is unable to obtain a license pursuant to 5 this section by July 1, 2020, the Iowa greyhound association 6 shall transfer any unused portion of the fund to the commission 7 for deposit in the Iowa greyhound pari-mutuel racing fund 8 created in section 99D.9B. 9 Sec. 4. Section 99D.11, subsection 6, paragraph b, Code 10 2014, is amended to read as follows: 11 b. (1) The commission may authorize the licensee to 12 simultaneously telecast within the racetrack enclosure or 13 licensed premises , for the purpose of pari-mutuel wagering, a 14 horse or dog race licensed by the racing authority of another 15 state. It is the responsibility of each licensee to obtain 16 the consent of appropriate racing officials in other states as 17 required by the federal Interstate Horseracing Act of 1978, 18 15 U.S.C. § 3001 3007, to televise races for the purpose of 19 conducting pari-mutuel wagering. 20 (2) A licensee may also obtain the permission of a person 21 licensed by the commission to conduct horse or dog races in 22 this state to televise races conducted by that person for the 23 purpose of conducting pari-mutuel racing wagering . However, 24 arrangements made by a licensee to televise any race for 25 the purpose of conducting pari-mutuel wagering are subject 26 to the approval of the commission, and the commission shall 27 select the races to be televised. The races selected by the 28 commission shall be the same for all licensees approved by the 29 commission to televise races for the purpose of conducting 30 pari-mutuel wagering. The commission shall not authorize the 31 simultaneous telecast or televising of and a licensee shall 32 not simultaneously telecast or televise any horse or dog race 33 for the purpose of conducting pari-mutuel wagering unless the 34 simultaneous telecast or televising is done at the racetrack 35 -5- LSB 6132XC (7) 85 ec/rj 5/ 15
S.F. _____ of a licensee that schedules no less than sixty performances 1 of nine live races each day of the season or at the licensed 2 premises of a licensee that is no longer obligated to schedule 3 performances of live races pursuant to section 99D.9A . 4 (3) For purposes of the taxes imposed under this chapter , 5 races televised by a licensee for purposes of pari-mutuel 6 wagering shall be treated as if the races were held at the 7 racetrack enclosure or licensed premises of the licensee. 8 Notwithstanding any contrary provision in this chapter , the 9 commission may allow a licensee to adopt the same deductions 10 as those of the pari-mutuel racetrack from which the races are 11 being simultaneously telecast. 12 Sec. 5. Section 99F.4A, subsection 2, Code 2014, is amended 13 to read as follows: 14 2. A license to operate gambling games shall be issued only 15 to a licensee holding a valid license to conduct pari-mutuel 16 dog or horse racing pursuant to chapter 99D on January 1, 1994 , 17 or to a licensee holding a valid license to conduct pari-mutuel 18 live dog racing pursuant to chapter 99D under the provisions 19 of section 99D.9C . 20 Sec. 6. Section 99F.4A, subsection 8, paragraph a, Code 21 2014, is amended to read as follows: 22 a. The commission shall, upon the immediate payment of 23 the applicable table games license fee and submission to the 24 commission by June 1, 2005, of an application by a licensee 25 of a pari-mutuel dog or horse racetrack licensed to conduct 26 gambling games at a pari-mutuel racetrack enclosure, issue 27 a license to the licensee to conduct table games of chance, 28 including video machines that simulate table games of chance, 29 at the pari-mutuel racetrack enclosure whose licensee holds a 30 valid license to conduct pari-mutuel dog racing pursuant to 31 chapter 99D on January 1, 1994, subject to the requirements of 32 this subsection . However, a table games license may only be 33 issued to a licensee required to pay a table games license fee 34 of three million dollars under this subsection if the licensee, 35 -6- LSB 6132XC (7) 85 ec/rj 6/ 15
S.F. _____ and all other licensees of an excursion gambling boat in that 1 county, file an agreement with the commission authorizing the 2 granting of a table games license under this subsection and 3 permitting all licensees of an excursion gambling boat to 4 operate a moored barge as of a specific date. The licensee 5 shall be granted a table games license by the commission upon 6 payment of the applicable license fee to the commission which 7 table games license fee may be offset by the licensee against 8 taxes imposed on the licensee by section 99F.11 , to the extent 9 of twenty percent of the table games license fee paid pursuant 10 to this subsection for each of five consecutive fiscal years 11 beginning with the fiscal year beginning July 1, 2008. Fees 12 paid pursuant to this subsection are not refundable to the 13 licensee. A licensee shall not be required to pay a fee to 14 renew a table games license issued pursuant to this subsection . 15 Moneys collected by the commission from a table games license 16 fee paid under this subsection shall be deposited in the 17 rebuild Iowa infrastructure fund created in section 8.57 . 18 Sec. 7. Section 99F.4A, subsection 8, Code 2014, is amended 19 by adding the following new paragraph: 20 NEW PARAGRAPH . 0b. Upon submission to the commission of 21 an application by a licensee of a pari-mutuel dog racetrack 22 licensed pursuant to the authority of section 99D.9C and 23 authorized to conduct gambling games at a pari-mutuel racetrack 24 enclosure, the commission shall issue a license to the licensee 25 to conduct table games of chance, including video machines that 26 simulate table games of chance, at the pari-mutuel racetrack 27 enclosure. 28 Sec. 8. Section 99F.6, subsection 4, paragraph a, 29 subparagraph (3), Code 2014, is amended to read as follows: 30 (3) The commission shall authorize, subject to the debt 31 payments for horse racetracks and the provisions of paragraph 32 “b” for dog racetracks, a licensee who is also licensed to 33 conduct pari-mutuel dog or horse racing to use receipts from 34 gambling games within the racetrack enclosure to supplement 35 -7- LSB 6132XC (7) 85 ec/rj 7/ 15
S.F. _____ purses for races particularly for Iowa-bred horses pursuant to 1 an agreement which shall be negotiated between the licensee and 2 representatives of the dog or horse owners. For agreements 3 subject to commission approval concerning purses for horse 4 racing beginning on or after January 1, 2006, the agreements 5 shall provide that total annual purses for all horse racing 6 shall be no less than eleven percent of the first two hundred 7 million dollars of net receipts, and six percent of net 8 receipts above two hundred million dollars. For agreements 9 subject to commission approval concerning purses for horse 10 racing beginning on or after January 1, 2015, the agreements 11 shall provide for an additional purse supplement amount for all 12 horse racing conducted at the horse racetrack in Polk county 13 equal to an amount representing fifty percent of the difference 14 in the wagering tax calculated for the licensee under section 15 99F.11 using the definition of adjusted gross receipts as 16 provided in section 99F.1 and the definition of adjusted gross 17 receipts for purposes of the licensee as provided in section 18 99F.11. In addition, live standardbred horse racing shall not 19 be conducted at the horse racetrack in Polk county, but the 20 purse moneys designated for standardbred racing pursuant to 21 section 99D.7, subsection 5 , paragraph “b” , shall be included 22 in calculating the total annual purses required to be paid 23 pursuant to this subsection . Agreements that are subject to 24 commission approval concerning horse purses for a period of 25 time beginning on or after January 1, 2006, shall be jointly 26 submitted to the commission for approval. 27 Sec. 9. Section 99F.6, subsection 4, paragraph b, Code 2014, 28 is amended to read as follows: 29 b. (1) The commission shall authorize the licensees of 30 pari-mutuel dog racetracks located in Dubuque county and Black 31 Hawk county to conduct gambling games as provided in section 32 99F.4A if the licensees schedule at least one hundred thirty 33 performances of twelve live races each day during a season of 34 twenty-five weeks. For the pari-mutuel dog racetrack located 35 -8- LSB 6132XC (7) 85 ec/rj 8/ 15
S.F. _____ in Pottawattamie county, the commission shall authorize the 1 licensee to conduct gambling games as provided in section 2 99F.4A if the licensee schedules at least two hundred ninety 3 performances of twelve live races each day during a season 4 of fifty weeks. The For the licensee of a pari-mutuel dog 5 racetrack licensed pursuant to the authority of section 99D.9C, 6 the commission shall authorize the licensee to conduct gambling 7 games as provided in section 99F.4A if the licensee schedules 8 at least two hundred ninety performances of twelve live races 9 each day during a season of at least fifty weeks. However, 10 the requirement to schedule performances of live races for 11 purposes of conducting gambling games under this chapter shall 12 not apply to a licensee who is no longer obligated to schedule 13 performances of live races pursuant to section 99D.9A. 14 (2) If a pari-mutuel dog racetrack authorized to conduct 15 gambling games as of January 1, 2014, is required to schedule 16 performances of live races for purposes of conducting gambling 17 games under this chapter, the commission shall approve an 18 annual contract to be negotiated between the annual recipient 19 of the dog racing promotion fund and each dog racetrack 20 licensee to specify the percentage or amount of gambling 21 game proceeds which shall be dedicated to supplement the 22 purses of live dog races. The parties shall agree to a 23 negotiation timetable to insure no interruption of business 24 activity. If the parties fail to agree, the commission 25 shall impose a timetable. If the two parties cannot reach 26 agreement, each party shall select a representative and the 27 two representatives shall select a third person to assist in 28 negotiating an agreement. The two representatives may select 29 the commission or one of its members to serve as the third 30 party. Alternately, each party shall submit the name of the 31 proposed third person to the commission who shall then select 32 one of the two persons to serve as the third party. All 33 parties to the negotiations, including the commission, shall 34 consider that the dog racetracks were built to facilitate the 35 -9- LSB 6132XC (7) 85 ec/rj 9/ 15
S.F. _____ development and promotion of Iowa greyhound racing dogs in this 1 state and shall negotiate and decide accordingly. 2 (3) A pari-mutuel dog racetrack licensed pursuant to the 3 authority of section 99D.9C that conducts gambling games shall 4 dedicate an amount of moneys annually, totaling the combined 5 annual purse supplements paid annually by pari-mutuel dog 6 racetracks discontinuing the performance of live dog races 7 pursuant to section 99D.9A, adjusted annually by the cost of 8 living index, to supplement the purses of live dog races. All 9 parties involved in the supplementation of purses, including 10 the commission, shall consider that the dog racetracks were 11 built to facilitate the development and promotion of Iowa 12 greyhound racing dogs in this state and shall act accordingly. 13 Sec. 10. Section 99F.7, subsection 11, paragraph c, Code 14 2014, is amended to read as follows: 15 c. If a licensee of a pari-mutuel racetrack who held a valid 16 license issued under chapter 99D as of January 1, 1994, or a 17 licensee of a pari-mutuel dog racetrack licensed pursuant to 18 the authority of section 99D.9C, requests a license to operate 19 gambling games as provided in this chapter , the board of 20 supervisors of a county in which the licensee of a pari-mutuel 21 racetrack requests a license to operate gambling games shall 22 submit to the county electorate a proposition to approve or 23 disapprove the operation of gambling games at pari-mutuel 24 racetracks at an election held on a date specified in section 25 39.2, subsection 4 , paragraph “a” . If the operation of 26 gambling games at the pari-mutuel racetrack is not approved by 27 a majority of the county electorate voting on the proposition 28 at the election, the commission shall not issue a license to 29 operate gambling games at the racetrack. 30 Sec. 11. Section 99F.7, subsection 11, paragraph e, Code 31 2014, is amended to read as follows: 32 e. After a referendum has been held which approved or 33 defeated a proposal to conduct gambling games as provided in 34 this section , another referendum on a proposal to conduct 35 -10- LSB 6132XC (7) 85 ec/rj 10/ 15
S.F. _____ gambling games shall not be held until the eighth calendar year 1 thereafter. However, this paragraph shall not apply to an 2 initial referendum on a proposal to conduct gambling games by a 3 licensee of a pari-mutuel dog racetrack licensed pursuant to 4 the authority of section 99D.9C. 5 Sec. 12. Section 99F.11, subsection 2, Code 2014, is amended 6 by adding the following new paragraph: 7 NEW PARAGRAPH . d. If the licensee is a dog racetrack 8 enclosure licensed pursuant to the authority of section 99D.9C, 9 twenty-two percent. 10 Sec. 13. Section 99F.11, Code 2014, is amended by adding the 11 following new subsection: 12 NEW SUBSECTION . 4. For purposes of this section, “adjusted 13 gross receipts” means, for a licensee of a racetrack enclosure 14 conducting live races and gambling games, an amount equal 15 to the adjusted gross receipts from gambling games for the 16 licensee reduced by the amount paid by the licensee during the 17 fiscal year from gambling game proceeds to supplement purses. 18 EXPLANATION 19 The inclusion of this explanation does not constitute agreement with 20 the explanation’s substance by the members of the general assembly. 21 This bill concerns pari-mutuel racetracks authorized to 22 conduct gambling games. 23 New Code section 99D.9A allows a licensee authorized to 24 operate a pari-mutuel dog racetrack and to conduct gambling 25 games as of January 1, 2014, to, upon written notice to the 26 racing and gaming commission, by November 1, 2014, discontinue 27 performances of live dog races on January 1, 2015, and to 28 maintain a license under Code chapter 99D for purposes of 29 permitting, but not requiring, pari-mutuel wagering on 30 simultaneously telecast horse and dog races and continuing 31 to allow the licensee to conduct gambling games. The bill 32 does provide that if the licensee decides to simultaneously 33 telecast horse or dog races, the licensee is required to 34 carry the simultaneously telecast signal of any dog racetrack 35 -11- LSB 6132XC (7) 85 ec/rj 11/ 15
S.F. _____ conducting live pari-mutuel wagering on dog races within 1 the state. The bill provides that upon discontinuing live 2 racing, the racing and gaming commission shall transfer any 3 unexpended moneys, contained in the dog racing promotion fund 4 attributable to the licensee discontinuing live dog racing, 5 to an Iowa greyhound pari-mutuel racing fund created in the 6 bill. In addition, upon discontinuing live racing, moneys from 7 an escrow fund for greyhound racing shall be transferred to 8 the Iowa greyhound association and any agreement for dog purse 9 supplement payments for live racing shall be terminated. The 10 licensee, upon discontinuing live dog racing, shall commence 11 paying a new live racing cessation fee which shall be deposited 12 in an Iowa greyhound pari-mutuel racing fund created in the 13 bill. The new Code section sets the live racing cessation fee 14 for the pari-mutuel dog racetrack located in Dubuque county at 15 $2.142 million, payable upon discontinuing live racing, and 16 at $2.143 million, payable each January 1 for six calendar 17 years thereafter. For the pari-mutuel dog racetrack located 18 in Pottawattamie county, the live racing cessation fee is set 19 at $11 million, payable upon discontinuing live racing, and at 20 $11.5 million, payable each January 1 for six calendar years 21 thereafter. The bill provides that a licensee discontinuing 22 live racing shall continue to pay the annual license fee and 23 regulatory fee as a pari-mutuel dog racetrack licensed to 24 conduct gambling games pursuant to the requirements of Code 25 section 99F.4A. 26 New Code section 99D.9B creates an Iowa greyhound 27 pari-mutuel racing fund under the control of the racing 28 and gaming commission. The fund shall consist of moneys 29 transferred from the dog racing promotion fund and moneys from 30 the live racing cessation fee established in new Code section 31 99D.9A, and any moneys transferred from the Iowa greyhound 32 association as provided in the bill. 33 The bill provides that moneys in the fund shall be 34 distributed by the commission annually and proportionally to 35 -12- LSB 6132XC (7) 85 ec/rj 12/ 15
S.F. _____ greyhound owners, greyhound breeders, and kennel operators, 1 and no-kill animal adoption agencies based upon average annual 2 purse winnings from dog races in the state from 2009 through 3 2014 and the economic impact of the reduction in live dog 4 racing as determined by the commission. In addition, the 5 bill requires that if a license to conduct live pari-mutuel 6 wagering at a dog racetrack is granted as provided in the bill, 7 any moneys remaining in the fund shall be distributed to the 8 licensee for costs associated with the development of the dog 9 racetrack and gaming facility. 10 New Code section 99D.9C authorizes the Iowa greyhound 11 association to apply for a license to conduct pari-mutuel 12 wagering and live racing at a dog racetrack and to be eligible 13 to conduct gambling games pursuant to the requirements of 14 Code chapter 99F. The bill provides that the Iowa greyhound 15 association must locate the new dog racetrack at least 50 miles 16 away from the existing dog racetracks in Pottawattamie and 17 Dubuque counties, and submit an application by July 1, 2019. 18 The bill requires the racing and gaming commission to issue 19 the license to the applicant barring any convincing evidence 20 that approval of the license would not be in the best interests 21 of the state. The new Code section also requires the Iowa 22 greyhound association to establish a fund under its control for 23 the receipt and deposit of escrow fund moneys transferred to 24 the Iowa greyhound association pursuant to the requirements of 25 new Code section 99D.9A in the bill. The bill authorizes the 26 association to use moneys in the fund to pay all reasonable and 27 necessary costs and fees associated with pursuing a license 28 and for developing a dog racetrack. If the Iowa greyhound 29 association is unable to obtain a license by July 1, 2020, the 30 bill requires the association to transfer any unused portion of 31 the fund to the commission for deposit in the Iowa greyhound 32 pari-mutuel racing fund created in Code section 99D.9B. 33 Code section 99D.11(6)(b), concerning pari-mutuel wagering 34 on simultaneous telecasts of horse or dog races, is amended 35 -13- LSB 6132XC (7) 85 ec/rj 13/ 15
S.F. _____ to allow a simultaneous telecast of horse and dog races at a 1 licensee in this state that is no longer obligated to schedule 2 live dog races pursuant to new Code section 99D.9A on the 3 licensed premises. Under current law, simulcast telecasting 4 of races can only be allowed at a racetrack of a licensee that 5 schedules no less than 60 performances of nine live races each 6 day of the season. 7 Code section 99F.4A, concerning gambling games at 8 pari-mutuel racetracks, is amended to allow a dog racetrack 9 licensee issued a license pursuant to new Code section 99D.9C 10 to conduct gambling games. The Code section is further 11 amended to require the racing and gaming commission to issue 12 the new dog racetrack a license to conduct table games at the 13 racetrack. 14 Code section 99F.6(4)(a) is amended to provide that 15 agreements for horse purses beginning on or after January 1, 16 2015, shall include a supplemental purse amount equal to 50 17 percent of an amount representing the reduction in the wagering 18 tax owed by the horse racetrack licensee due to the changes to 19 Code section 99F.11 in the bill. 20 Code section 99F.6(4)(b) is amended to allow the conduct of 21 gambling games at a pari-mutuel dog racetrack that is no longer 22 obligated to schedule performances of live races pursuant to 23 new Code section 99D.9A. The provision is further amended 24 to require a new dog racetrack licensed pursuant to new Code 25 section 99D.9C to schedule at least 290 performances of 12 live 26 dog races each day during a season of at least 50 weeks in order 27 to conduct gambling games. The provision is further amended 28 to provide that the purse supplements for live dog racing paid 29 annually by a pari-mutuel dog racetrack licensed pursuant to 30 the authority of Code section 99D.9C shall be in an amount of 31 moneys totaling the combined annual purse supplements paid 32 by pari-mutuel dog racetracks discontinuing the performance 33 of live dog races pursuant to Code section 99D.9A, adjusted 34 annually by the cost of living index. 35 -14- LSB 6132XC (7) 85 ec/rj 14/ 15
S.F. _____ Code section 99F.7(11), concerning referendums to conduct 1 gambling games, is amended to provide that if a new dog 2 racetrack licensed pursuant to new Code section 99D.9C requests 3 a license to conduct gambling games, the applicable county 4 supervisors shall submit the proposition to conduct gambling 5 games at the racetrack to the county electorate at an election 6 for approval. In addition, the bill provides that the current 7 eight-year time limitation on holding a referendum that has 8 been held in a county which has approved or defeated a proposal 9 to conduct gambling games shall not apply to a request for an 10 initial referendum on a proposal to conduct gambling games by a 11 licensee of a pari-mutuel dog racetrack licensed pursuant to 12 the authority of Code section 99D.9C. 13 Code section 99F.11, concerning the wagering tax on adjusted 14 gross receipts from gambling games, is amended. The bill 15 provides that the tax rate on adjusted gross receipts over $3 16 million on gambling games on the new dog racetrack licensed 17 pursuant to new Code section 99D.9C shall be 22 percent. The 18 Code section is also amended to provide that the adjusted gross 19 receipts for purposes of the wagering tax for a licensee of a 20 racetrack enclosure conducting live races is an amount equal 21 to the adjusted gross receipts from gambling games for the 22 licensee reduced by the amount paid by the licensee during the 23 fiscal year from gambling game proceeds to supplement purses. 24 -15- LSB 6132XC (7) 85 ec/rj 15/ 15
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