House File 2182
HOUSE FILE
BY BAUDLER
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to agreements for purses and supplements for
2 pari=mutual horse racing.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 6077HH 80
5 ec/pj/5
PAG LIN
1 1 Section 1. Section 99F.6, subsection 4, paragraph a, Code
1 2 Supplement 2003, is amended to read as follows:
1 3 a. Before a license is granted, the division of criminal
1 4 investigation of the department of public safety shall conduct
1 5 a thorough background investigation of the applicant for a
1 6 license to operate a gambling game operation on an excursion
1 7 gambling boat. The applicant shall provide information on a
1 8 form as required by the division of criminal investigation. A
1 9 qualified sponsoring organization licensed to operate gambling
1 10 games under this chapter shall distribute the receipts of all
1 11 gambling games, less reasonable expenses, charges, taxes,
1 12 fees, and deductions allowed under this chapter, as winnings
1 13 to players or participants or shall distribute the receipts
1 14 for educational, civic, public, charitable, patriotic, or
1 15 religious uses as defined in section 99B.7, subsection 3,
1 16 paragraph "b". However, if a licensee who is also licensed to
1 17 conduct pari=mutuel wagering at a horse racetrack has unpaid
1 18 debt from the pari=mutuel racetrack operations, the first
1 19 receipts of the gambling games operated within the racetrack
1 20 enclosure less reasonable operating expenses, taxes, and fees
1 21 allowed under this chapter shall be first used to pay the
1 22 annual indebtedness. The commission shall authorize, subject
1 23 to the debt payments for horse racetracks and the provisions
1 24 of paragraph "b" for dog racetracks, a licensee who is also
1 25 licensed to conduct pari=mutuel dog or horse racing to use
1 26 receipts from gambling games within the racetrack enclosure to
1 27 supplement purses for races particularly for Iowa=bred horses
1 28 pursuant to an agreement which shall be negotiated between the
1 29 licensee and representatives of the dog or horse owners. For
1 30 each agreement concerning purses for horse racing entered into
1 31 on or after January 1, 2006, the agreement shall provide that
1 32 total annual purses for horse racing at every racetrack
1 33 enclosure within Polk county shall be no less than thirteen
1 34 percent of the annual adjusted gross receipts from all
1 35 gambling games, and of the gross sum wagered from all pari=
2 1 mutual horse wagering and all wagering on simultaneously
2 2 telecast horse and dog races within Polk county on the first
2 3 one hundred ninety=five million dollars of the annual adjusted
2 4 gross receipts, and ten percent of the annual adjusted gross
2 5 receipts above one hundred ninety=five million dollars. In
2 6 addition, each agreement concerning purses for horse racing
2 7 entered into on or after January 1, 2006, shall also provide
2 8 that no less than twenty percent of total annual purses for
2 9 horse racing shall be used to supplement purses for Iowa=
2 10 foaled and registered horses. A qualified sponsoring
2 11 organization shall not make a contribution to a candidate,
2 12 political committee, candidate's committee, state statutory
2 13 political committee, county statutory political committee,
2 14 national political party, or fund=raising event as these terms
2 15 are defined in section 68A.102. The membership of the board
2 16 of directors of a qualified sponsoring organization shall
2 17 represent a broad interest of the communities.
2 18 EXPLANATION
2 19 This bill deals with agreements relating to annual purses
2 20 for horse racing in Polk county. The bill provides that, for
2 21 each agreement on purses entered into on or after January 1,
2 22 2006, the agreement shall provide that total annual purses for
2 23 horse racing shall be no less than 13 percent of annual
2 24 adjusted gross receipts from gambling games and of gross sums
2 25 wagered from horse racing at a racetrack on the first $195
2 26 million of receipts, and 10 percent of adjusted gross receipts
2 27 on amounts over $195 million. The bill also provides that an
2 28 agreement shall provide that at least 20 percent of the total
2 29 annual purses for horse racing shall supplement purses for
2 30 Iowa=foaled and registered horses.
2 31 LSB 6077HH 80
2 32 ec/pj/5