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House Bill 1747e1

HB 1747, First Engrossed 1 A bill to be entitled 2 An act relating to pari-mutuel wagering; 3 amending s. 550.0951, F.S.; prescribing the tax 4 on handle for intertrack wagering; amending s. 5 550.09511, F.S.; prescribing the tax on handle 6 for live jai alai performances; amending s. 7 550.2625, F.S.; prescribing the tax on handle 8 for live thoroughbred performances; amending s. 9 550.2625, F.S.; revising standing requirements 10 for stallion awards; amending s. 550.09512, 11 F.S.; revising the date for expiration of that 12 section; amending s. 550.09514, F.S., relating 13 to greyhound purse requirements; amending s. 14 26, ch. 96-364, Laws of Florida, relating to 15 tax on handle of live thoroughbred 16 performances, live jai alai performances, and 17 intertrack wagering; providing effective dates. 18 19 Be It Enacted by the Legislature of the State of Florida: 20 21 Section 1. Effective July 1, 2000, subsection (3) of 22 section 550.0951, Florida Statutes, as amended by chapter 23 96-364, Laws of Florida, is amended to read: 24 550.0951 Payment of daily license fee and taxes.-- 25 (3) TAX ON HANDLE.--Each permitholder shall pay a tax 26 on contributions to pari-mutuel pools, the aggregate of which 27 is hereinafter referred to as "handle," on races or games 28 conducted by the permitholder. The tax is imposed daily and is 29 based on the total contributions to all pari-mutuel pools 30 conducted during the daily performance. If a permitholder 31 1 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 conducts more than one performance daily, the tax is imposed 2 on each performance separately. 3 (a) The tax on handle for thoroughbred horse racing, 4 harness horse racing, and quarter horse racing is 3.3 percent 5 of the handle. 6 (b) The tax on handle for dogracing is 7.6 percent of 7 the handle and for jai alai is 7.1 percent of the handle. 8 (c)1. The tax on handle for intertrack wagering is 3.3 9 percent of the handle if the host track is a horse track, 7.6 10 percent if the host track is a dog track, and 7.1 percent if 11 the host track is a jai alai fronton. The tax on handle for 12 intertrack wagering on rebroadcasts of simulcast horseraces is 13 2.4 percent of the handle. The tax shall be deposited into 14 the General Revenue Fund. 15 2. Effective October 1, 1996, the tax on handle for 16 intertrack wagers accepted by any dog track located in an area 17 of the state in which there are only three permitholders, all 18 of which are greyhound permitholders, located in three 19 contiguous counties, from any greyhound permitholder also 20 located within such area or any dog track or jai alai fronton 21 located as specified in s. 550.615(6) or (8), on races or 22 games received from the same class of permitholder located 23 within the same market area is 6 percent if the host facility 24 is a greyhound permitholder and, if the host facility is a jai 25 alai permitholder, the rate shall be 6.1 percent except that 26 it shall be 2.3 percent on handle at such time as the total 27 tax on intertrack handle paid to the division by the 28 permitholder during the current state fiscal year exceeds the 29 total tax on intertrack handle paid to the division by the 30 permitholder during the 1992-1993 state fiscal year. 31 2 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 2.3. Any guest track that imposes a surcharge on each 2 winning ticket cashed pursuant to s. 550.6335 shall pay an 3 additional tax equal to 5 percent of the surcharge so imposed. 4 Any taxes so imposed shall be deposited into the General 5 Revenue Fund. 6 Section 2. Effective July 1, 2000, paragraphs (a) and 7 (b) of subsection (2) and paragraph (a) of subsection (3) of 8 section 550.09511, Florida Statutes, as amended by chapter 9 96-364, Laws of Florida, are amended to read: 10 550.09511 Jai alai taxes; abandoned interest in a 11 permit for nonpayment of taxes.-- 12 (2) Notwithstanding the provisions of s. 13 550.0951(3)(b), wagering on live jai alai performances shall 14 be subject to the following taxes: 15 (a)1. The tax on handle per performance for live jai 16 alai performances is 5.0 4.25 percent of handle per 17 performance. However, when the live handle of a permitholder 18 during the preceding state fiscal year was less than $15 19 million, the tax shall be paid on the handle in excess of 20 $30,000 per performance per day. 21 2. The tax rate shall be applicable only until the 22 requirements of paragraph (b) are met. 23 (b) At such time as the total of admissions tax, daily 24 license fee, and tax on handle for live jai alai performances 25 paid to the division by a permitholder during the current 26 state fiscal year exceeds the total state tax revenues from 27 wagering on live jai alai performances paid or due by the 28 permitholder in fiscal year 1991-1992, the permitholder shall 29 pay tax on handle for live jai alai performances at a rate of 30 3.3 2.55 percent of the handle per performance for the 31 remainder of the current state fiscal year. For purposes of 3 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 this section, total state tax revenues on live jai alai 2 wagering in fiscal year 1991-1992 shall include any admissions 3 tax, tax on handle, surtaxes on handle, and daily license 4 fees. 5 (3)(a) Notwithstanding the provisions of s. 6 550.0951(3)(c) subsection (2) and s. 550.0951(3)(c)1., any jai 7 alai permitholder which is restricted under Florida law from 8 operating live performances on a year-round basis is entitled 9 to conduct wagering on live performances at a tax rate of 3.85 10 percent of live handle. Such permitholder is also entitled to 11 conduct intertrack wagering as a host permitholder on live jai 12 alai games at its fronton at a tax rate of 3.3 percent of 13 handle at such time as the total tax on intertrack handle paid 14 to the division by the permitholder during the current state 15 fiscal year exceeds the total tax on intertrack handle paid to 16 the division by the permitholder during the 1992-1993 state 17 fiscal year. 18 Section 3. Effective July 1, 1998, subsection (2) of 19 section 550.2625, Florida Statutes, as amended by chapter 20 96-364, Laws of Florida, is amended to read: 21 550.2625 Horseracing; minimum purse requirement, 22 Florida breeders' and owners' awards.-- 23 (2) Each permitholder conducting a horserace meet is 24 required to pay from the takeout withheld on pari-mutuel pools 25 a sum for purses in accordance with the type of race 26 performed. 27 (a) A permitholder conducting a thoroughbred horse 28 race meet under this chapter must pay from the takeout 29 withheld a sum not less than 7.5 percent of all contributions 30 to pari-mutuel pools conducted during the race meet as purses. 31 In addition to the 7.5 percent minimum purse payment, 4 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 permitholders conducting live thoroughbred performances shall 2 be required to pay as additional purses .375 percent of live 3 handle for performances conducted during the period beginning 4 on January 3 and ending March 16; .225 percent for 5 performances conducted during the period beginning March 17 6 and ending May 22; and .6 percent for performances conducted 7 during the period beginning May 23 and ending January 2. 8 Except that any thoroughbred permitholder whose total handle 9 on live performances during the 1991-1992 state fiscal year 10 was not greater than $34 million is not subject to this 11 additional purse payment. A permitholder authorized to conduct 12 thoroughbred racing may withhold from the handle an additional 13 amount equal to 1 percent on exotic wagering for use as 14 owners' awards, and may withhold from the handle an amount 15 equal to 2 percent on exotic wagering for use as overnight 16 purses. No permitholder may withhold in excess of 20 percent 17 from the handle without withholding the amounts set forth in 18 this subsection. 19 (b)1. A permitholder conducting a harness horse race 20 meet under this chapter must pay to the purse pool from the 21 takeout withheld a purse requirement that totals an amount not 22 less than 8 percent of all contributions to pari-mutuel pools 23 conducted during the race meet. An amount not less than 7.5 24 percent of the total handle shall be paid from this purse pool 25 as purses. 26 2. An amount not to exceed 0.5 percent of the total 27 handle on all harness horse races that are subject to the 28 purse requirement of subparagraph 1., must be available for 29 use to provide medical, dental, surgical, life, funeral, or 30 disability insurance benefits for occupational licensees who 31 work at tracks in this state at which harness horse races are 5 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 conducted. Such insurance benefits must be paid from the 2 purse pool specified in subparagraph 1. An annual plan for 3 payment of insurance benefits from the purse pool, including 4 qualifications for eligibility, must be submitted by the 5 Florida Standardbred Breeders and Owners Association for 6 approval to the division. An annual report of the implemented 7 plan shall be submitted to the division. All records of the 8 Florida Standardbred Breeders and Owners Association 9 concerning the administration of the plan must be available 10 for audit at the discretion of the division to determine that 11 the plan has been implemented and administered as authorized. 12 If the division finds that the Florida Standardbred Breeders 13 and Owners Association has not complied with the provisions of 14 this section, the division may order the association to cease 15 and desist from administering the plan and shall appoint the 16 division as temporary administrator of the plan until the 17 division reestablishes administration of the plan with the 18 association. 19 (c) A permitholder conducting a quarter horse race 20 meet under this chapter shall pay from the takeout withheld a 21 sum not less than 6 percent of all contributions to 22 pari-mutuel pools conducted during the race meet as purses. 23 (d) The division shall adopt reasonable rules to 24 ensure the timely and accurate payment of all amounts withheld 25 by horserace permitholders regarding the distribution of 26 purses, owners' awards, and other amounts collected for 27 payment to owners and breeders. Each permitholder that fails 28 to pay out all moneys collected for payment to owners and 29 breeders shall, within 10 days after the end of the meet 30 during which the permitholder underpaid purses, deposit an 31 amount equal to the underpayment into a separate 6 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 interest-bearing account to be distributed to owners and 2 breeders in accordance with division rules. 3 (e) An amount equal to 8.5 percent of the purse 4 account generated through intertrack wagering and interstate 5 simulcasting will be used for Florida Owners' Awards as set 6 forth in subsection (3). Any thoroughbred permitholder with 7 an average blended takeout which does not exceed 20 percent 8 and with an average daily purse distribution excluding 9 sponsorship, entry fees, and nominations exceeding $225,000 is 10 exempt from the provisions of this subsection. 11 Section 4. Paragraph (d) of subsection (3) of section 12 550.2625, Florida Statutes, is amended to read: 13 550.2625 Horseracing; minimum purse requirement, 14 Florida breeders' and owners' awards.-- 15 (3) Each horseracing permitholder conducting any 16 thoroughbred race under this chapter, including any intertrack 17 race taken pursuant to ss. 550.615-550.6305 or any interstate 18 simulcast taken pursuant to s. 550.3551(3) shall pay a sum 19 equal to 0.75 percent on all pari-mutuel pools conducted 20 during any such race for the payment of breeders' and stallion 21 awards as authorized in this section. This subsection also 22 applies to all Breeder's Cup races conducted outside this 23 state taken pursuant to s. 550.3551(3). On any race 24 originating live in this state which is broadcast out-of-state 25 to any location at which wagers are accepted pursuant to s. 26 550.3551(2), the host track is required to pay 3.3 percent of 27 the gross revenue derived from such out-of-state broadcasts as 28 breeders' and stallion awards. The Florida Thoroughbred 29 Breeders' Association is authorized to receive these payments 30 from the permitholders and make payments of awards earned. 31 The Florida Thoroughbred Breeders' Association has the right 7 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 to withhold up to 10 percent of the permitholder's payments 2 under this section as a fee for administering the payments of 3 awards and for general promotion of the industry. The 4 permitholder shall remit these payments to the Florida 5 Thoroughbred Breeders' Association by the 5th day of each 6 calendar month for such sums accruing during the preceding 7 calendar month and shall report such payments to the division 8 as prescribed by the division. With the exception of the 9 10-percent fee, the moneys paid by the permitholders shall be 10 maintained in a separate, interest-bearing account, and such 11 payments together with any interest earned shall be used 12 exclusively for the payment of breeders' awards and stallion 13 awards in accordance with the following provisions: 14 (d) In order for an owner of the sire of a 15 thoroughbred horse winning a stakes race to be eligible to 16 receive a stallion award, the stallion must have been 17 registered with the Florida Thoroughbred Breeders' 18 Association, and the breeding of the registered Florida-bred 19 horse must have occurred in this state. The stallion must be 20 standing permanently in this state between February 1st 21 through June 15th of each year or, if the stallion is dead, 22 must have stood permanently in this state for a period of not 23 less than 1 year immediately prior to its death. The removal 24 of a stallion from this state during the period of time 25 between February 1st through June 15th of any year for any 26 reason, other than exclusively for prescribed medical 27 treatment, as approved by the Florida Thoroughbred Breeders' 28 Association, renders the owner or owners of the stallion 29 ineligible to receive a stallion award under any circumstances 30 for offspring sired prior to removal; however, if a removed 31 stallion is returned to this state, all offspring sired 8 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 subsequent to the return make the owner or owners of the 2 stallion eligible for the stallion award but only for those 3 offspring sired subsequent to such return to this state. The 4 Florida Thoroughbred Breeders' Association shall maintain 5 complete records showing the date the stallion arrived in this 6 state for the first time, whether or not the stallion remained 7 in the state permanently, the location of the stallion, and 8 whether the stallion is still standing in this state and 9 complete records showing awards earned, received, and 10 distributed. The association may charge the owner, owners, or 11 breeder a reasonable fee for this service. 12 Section 5. Subsection (5) of section 550.09512, 13 Florida Statutes, as created by section 1 of chapter 93-288, 14 Laws of Florida, is amended to read: 15 550.09512 Harness horse taxes; abandoned interest in a 16 permit for nonpayment of taxes.-- 17 (5) This section is repealed July 1, 2000 1998, and 18 shall be reviewed by the Legislature prior to that date. 19 Section 6. Paragraphs (b) and (c), of subsection (2) 20 of section 550.09514, Florida Statutes, 1996 Supplement, is 21 amended to read: 22 550.09514 Greyhound dogracing taxes; purse 23 requirements.-- 24 (2) 25 (b)1. Except as otherwise provided herein, in addition 26 to the minimum purse percentage required by paragraph (a), 27 each permitholder shall pay as purses, for fiscal year 28 1996-1997, an amount equal to 75 percent of the permitholder's 29 tax credit pursuant to s. 550.0951(1). 30 2. Except as otherwise set forth herein, in addition 31 to the minimum purse percentage required by paragraph (a), 9 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 beginning July 1, 1997, each permitholder shall pay as purses 2 an amount equal to 75 percent of the daily license fees paid 3 by each permitholder for the 1994-1995 fiscal year. This purse 4 supplement shall be prorated and dispersed weekly during a 5 permitholder's live meet. For the greyhound permitholders in 6 the county where there are two greyhound permitholders located 7 as specified in s. 550.615(6), such permitholders shall pay in 8 the aggregate an amount equal to 75 percent of the daily 9 license fees paid by such permitholders for the 1994-1995 10 fiscal year. These permitholders shall be jointly and 11 severally liable for such purse payments. 12 13 The additional purses provided by this paragraph must be used 14 exclusively for purses other than stakes. The division shall 15 conduct audits necessary to ensure compliance with this 16 section. 17 (c) The division shall require sufficient 18 documentation from each greyhound permitholder regarding 19 purses paid on live racing and greyhound intertrack and 20 simulcast broadcasts to assure that the annual purse 21 percentage rates paid by each permitholder on the intertrack 22 or simulcast broadcasts are not reduced below those paid 23 during the 1993-1994 state fiscal year. In addition, each 24 greyhound permitholder when conducting its live meet live 25 races shall pay purses on wagers it accepts as a guest track 26 on intertrack and simulcast greyhound races at the same rate 27 as it pays on live races. Each greyhound permitholder acting 28 as a host track shall pay purses, at the same rate as it pays 29 on live races, on wagers accepted on such races at a guest 30 track which is not conducting live racing and is located 31 within the same market area as the host. 10 CODING: Words stricken are deletions; words underlined are additions. HB 1747, First Engrossed 1 Section 7. Section 26 of chapter 96-364, Laws of 2 Florida, is amended to read: 3 Section 26. Effective July 1, 1998, the amendments to 4 subsection (3) of section 550.0951, subsections (2) and (3) of 5 section 550.09511, subsection (2) of section 550.09515, and 6 subsection (2) of section 550.2625, Florida Statutes, shall 7 expire and the text of said subsections shall revert to that 8 in existence immediately prior to chapter 96-364, Laws of 9 Florida, this act becoming law and as set forth in that the 10 act without the amendments to such subsections, specified in 11 that this act, except that any amendments to such text enacted 12 other than by that this act shall be preserved and continue to 13 operate to the extent that such amendments are not dependent 14 upon the portions of said text which expire pursuant to the 15 provisions of that this act. The Statutory Revision Division 16 of the Joint Legislative Management Committee shall include in 17 an appropriate reviser's bill any amendments to said section 18 which are necessary to give effect to the legislative intent 19 expressed in this section. 20 Section 8. Except as otherwise expressly provided in 21 this act, this act shall take effect upon becoming a law. 22 23 24 25 26 27 28 29 30 31 11