House File 2077 - Introduced HOUSE FILE 2077 BY HIGHFILL A BILL FOR An Act relating to purse agreements concerning horse racing 1 regulated by the racing and gaming commission. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5432YH (4) 87 ec/rn

H.F. 2077 Section 1. Section 99F.6, subsection 4, paragraph a, 1 subparagraph (3), Code 2018, is amended to read as follows: 2 (3) The commission shall authorize, subject to the debt 3 payments for horse racetracks and the provisions of paragraph 4 “b” for dog racetracks, a licensee who is also licensed to 5 conduct pari-mutuel dog or horse racing to use receipts from 6 gambling games within the racetrack enclosure to supplement 7 purses for races particularly for Iowa-bred horses pursuant to 8 an agreement which shall be negotiated between the licensee and 9 representatives of the dog or horse owners. For agreements 10 subject to commission approval concerning purses for horse 11 racing beginning on or after January 1, 2006, the agreements 12 shall be negotiated between the licensee authorized to 13 conduct horse racing, an applicable contributory licensee, 14 and representatives of horse owners, and shall provide that 15 total annual purses for all horse racing shall be no less 16 than eleven percent of the first two hundred million dollars 17 of net receipts, and six percent of net receipts above two 18 hundred million dollars , of the licensee and any applicable 19 contributory licensee . In addition, live standardbred horse 20 racing shall not be conducted at the horse racetrack in Polk 21 county, but the purse moneys designated for standardbred racing 22 pursuant to section 99D.7, subsection 5 , paragraph “b” , shall be 23 included in calculating the total annual purses required to be 24 paid pursuant to this subsection . Agreements that are subject 25 to commission approval concerning horse purses for a period of 26 time beginning on or after January 1, 2006, shall be jointly 27 submitted to the commission for approval. 28 Sec. 2. Section 99F.6, subsection 4, paragraph a, 29 subparagraph (5), Code 2018, is amended to read as follows: 30 (5) For purposes of this paragraph , : 31 (a) “Contributory licensee” means a licensee who is not 32 licensed to conduct pari-mutuel dog or horse racing that is 33 located within thirty-five miles of the horse racetrack in Polk 34 county. 35 -1- LSB 5432YH (4) 87 ec/rn 1/ 2

H.F. 2077 (b) “net “Net receipts” means the annual adjusted gross 1 receipts from all gambling games less the annual amount of 2 money pledged by the owner of the facility to fund a project 3 approved to receive vision Iowa funds as of July 1, 2004. 4 EXPLANATION 5 The inclusion of this explanation does not constitute agreement with 6 the explanation’s substance by the members of the general assembly. 7 This bill concerns purse agreements relating to horse racing 8 governed by the racing and gaming commission. 9 Code section 99F.6, concerning requirements of an applicant 10 licensed to conduct gambling games, is amended relative to 11 agreements governing purses for horse racing conducted at the 12 horse racetrack located in Polk county. The bill defines 13 “contributory licensee” as a gambling games licensee that 14 does not conduct horse or dog races that is located within 35 15 miles of the racetrack in Polk county. The bill then provides 16 that any agreement governing purses for horse racing shall be 17 negotiated between the licensee of the horse racetrack, any 18 contributory licensee, and horse owners and further provides 19 that receipts from gambling games at the contributory licensee 20 shall also be used to determine the total annual purses for all 21 horse racing. 22 -2- LSB 5432YH (4) 87 ec/rn 2/ 2