House File 181 - Introduced
HOUSE FILE
BY SCHUELLER, SANDS, WORTHAN,
DE BOEF, DOLECHECK, MERTZ,
FREVERT, GASKILL, and
ALONS
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act concerning horse racing by providing minimum total purses
2 for races of standardbred horses at county fairs and including
3 an applicability and effective date provision.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
5 TLSB 1167YH 82
6 ec/je/5
PAG LIN
1 1 Section 1. Section 99F.6, subsection 4, paragraph a, Code
1 2 2007, 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, a licensee to conduct gambling games
1 17 under this chapter shall, unless an operating agreement for an
1 18 excursion gambling boat otherwise provides, distribute at
1 19 least three percent of the adjusted gross receipts for each
1 20 license year for educational, civic, public, charitable,
1 21 patriotic, or religious uses as defined in section 99B.7,
1 22 subsection 3, paragraph "b". However, if a licensee who is
1 23 also licensed to conduct pari=mutuel wagering at a horse
1 24 racetrack has unpaid debt from the pari=mutuel racetrack
1 25 operations, the first receipts of the gambling games operated
1 26 within the racetrack enclosure less reasonable operating
1 27 expenses, taxes, and fees allowed under this chapter shall be
1 28 first used to pay the annual indebtedness. The commission
1 29 shall authorize, subject to the debt payments for horse
1 30 racetracks and the provisions of paragraph "b" for dog
1 31 racetracks, a licensee who is also licensed to conduct
1 32 pari=mutuel dog or horse racing to use receipts from gambling
1 33 games within the racetrack enclosure to supplement purses for
1 34 races particularly for Iowa=bred horses pursuant to an
1 35 agreement which shall be negotiated between the licensee and
2 1 representatives of the dog or horse owners. For agreements
2 2 subject to commission approval concerning purses for horse
2 3 racing beginning on or after January 1, 2006 2007, and ending
2 4 before January 1, 2021, the agreements shall provide that
2 5 total annual purses for all horse racing shall be no less than
2 6 eleven percent of the first two hundred million dollars of net
2 7 receipts, and six percent of net receipts above two hundred
2 8 million dollars, and shall provide that at least one million
2 9 dollars of the total annual purses shall be used for purses
2 10 for races of standardbred horses at county fairs. Agreements
2 11 that are subject to commission approval concerning horse
2 12 purses for a particular period of time beginning on or after
2 13 January 1, 2006, and ending before January 1, 2021, shall be
2 14 jointly submitted to the commission for approval. A qualified
2 15 sponsoring organization shall not make a contribution to a
2 16 candidate, political committee, candidate's committee, state
2 17 statutory political committee, county statutory political
2 18 committee, national political party, or fund=raising event as
2 19 these terms are defined in section 68A.102. The membership of
2 20 the board of directors of a qualified sponsoring organization
2 21 shall represent a broad interest of the communities. For
2 22 purposes of this paragraph, "net receipts" means the annual
2 23 adjusted gross receipts from all gambling games less the
2 24 annual amount of money pledged by the owner of the facility to
2 25 fund a project approved to receive vision Iowa funds as of
2 26 July 1, 2004.
2 27 Sec. 2. EFFECTIVE DATE == RETROACTIVE APPLICABILITY. This
2 28 Act takes effect upon enactment and is retroactively
2 29 applicable to January 1, 2007, and is applicable on and after
2 30 that date.
2 31 EXPLANATION
2 32 This bill establishes that agreements on horse racing
2 33 purses negotiated for horse racing conducted through January
2 34 2021 shall provide that at least $1,000,000 of the total
2 35 annual purses shall be used for purses for races for
3 1 standardbred horses at county fairs. The bill takes effect
3 2 upon enactment and is retroactively applicable to January 1,
3 3 2007.
3 4 LSB 1167YH 82
3 5 ec:rj/je/5