House Bill hb1497

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    Florida House of Representatives - 2002                HB 1497

        By Representative Greenstein






  1                      A bill to be entitled

  2         An act relating to video lotteries; amending s.

  3         24.101, F.S.; redesignating ch. 24, F.S., as

  4         the "Florida Public Education Lottery Chapter";

  5         amending ss. 24.102, 24.108, 24.111, 24.118,

  6         and 24.120, F.S., to conform; making technical

  7         corrections within the chapter; amending s.

  8         24.103, F.S., relating to definitions; defining

  9         the terms "video lottery game," "video lottery

10         terminal vendor," "net terminal income," and

11         "video lottery retailer"; amending s. 24.105,

12         F.S.; providing duties of the Department of the

13         Lottery relating to establishment and operation

14         of video lottery games; providing specific

15         rulemaking authority; amending s. 24.1055,

16         F.S.; correcting a reference; prohibiting

17         participation of minors in video lottery games;

18         requiring warning signs; providing criminal

19         penalties; creating s. 24.1121, F.S.; providing

20         requirements for video lottery games and

21         retailers; providing suspension powers to the

22         Department of the Lottery; providing for fines;

23         providing for enforcement of suspension orders

24         or fines in circuit court; providing for

25         allocation of net terminal income; providing

26         for distribution of proceeds; providing funds

27         to the Department of Children and Family

28         Services for a program on compulsive gambling;

29         providing for use of certain funds for purses,

30         awards, and benefits; requiring certain written

31         agreements; providing for transfer of funds

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  1         into the Public Education Capital Outlay and

  2         Debt Service Trust Fund and into the Department

  3         of Elderly Affairs' Grants and Donations Trust

  4         Fund; prohibiting manipulation or attempted

  5         manipulation of lottery games or terminals;

  6         providing criminal penalties; providing for

  7         payment of prizes; prohibiting isolation of

  8         video lottery terminals in pari-mutuel

  9         facilities; creating s. 24.1122, F.S.;

10         providing for licensure of video lottery

11         terminal vendors; creating s. 24.1123, F.S.;

12         prohibiting certain zoning changes by local

13         governments; creating s. 24.1124, F.S.,

14         relating to video lottery terminals; requiring

15         that such terminals be approved by the

16         department; providing technical specifications;

17         creating s. 24.1125, F.S.; providing for

18         training and certification of video lottery

19         terminal service employees; providing

20         rulemaking authority; creating s. 24.1126,

21         F.S.; requiring video lottery retailers to

22         provide notice of a toll-free problem gambling

23         hotline; amending s. 24.117, F.S.; prohibiting

24         knowingly permitting use of video lottery

25         terminals by minors; providing criminal

26         penalties; amending s. 24.122, F.S.;

27         prohibiting state and local taxation of the

28         installation, rental, or use of video lottery

29         terminals; amending s. 212.02, F.S.; clarifying

30         that video lottery terminals are not

31         coin-operated amusement machines for the

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  1         purpose of taxation; creating s. 550.26315,

  2         F.S., relating to the administration of the

  3         Video Lottery Purse Trust Fund; providing for

  4         distribution of proceeds; requiring certain

  5         proceeds to be used as additional purses,

  6         awards, or compensation; providing for transfer

  7         of certain proceeds to the Video Lottery

  8         Thoroughbred Trust Fund; providing rulemaking

  9         authority; creating s. 550.26325, F.S.,

10         relating to the distribution of funds from the

11         Video Lottery Thoroughbred Trust Fund;

12         requiring certain uses of distributed funds;

13         amending s. 550.2625, F.S.; requiring that the

14         Division of Pari-Mutuel Wagering of the

15         Department of Business and Professional

16         Regulation adopt rules regarding the

17         distribution of certain awards and funds,

18         including video lottery proceeds, received for

19         distribution to thoroughbred owners and

20         breeders by pari-mutuel permitholders or by

21         horsemen's or breeders' associations; providing

22         an exemption; providing administrative fines

23         for underpaying purses or awards; requiring

24         periodic audited accountings by permitholders

25         and by horsemen's and breeders' associations;

26         permitting agreement to increase the cap on

27         horseracing purses; creating s. 550.401, F.S.;

28         prohibiting the cancellation of certain

29         contracts by greyhound racing tracks; amending

30         s. 550.615, F.S.; providing that pari-mutuel

31         facilities are not required to broadcast their

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  1         intertrack signals to other facilities located

  2         within 25 miles; requiring approval of certain

  3         intertrack contracts; requiring written consent

  4         of certain permitholders relating to intertrack

  5         wagering; amending s. 550.6305, F.S.; providing

  6         that pari-mutuel facilities are not required to

  7         broadcast their intertrack signals to other

  8         facilities located within 25 miles; repealing

  9         additional requirements and authority provided

10         in relation to intertrack wagering on nighttime

11         thoroughbred races; amending s. 550.6308, F.S.;

12         authorizing an intertrack wagering licensee to

13         conduct intertrack wagering on additional types

14         of races and on additional days if operating as

15         a video lottery retailer; amending s. 565.02,

16         F.S.; providing that pari-mutuel facilities may

17         be licensed to sell alcoholic beverages when

18         conducting video lottery games; directing the

19         Alcohol, Drug Abuse, and Mental Health Program

20         Office within the Department of Children and

21         Family Services to establish a program relating

22         to compulsive gambling, which includes public

23         education, training, prevention, and treatment;

24         providing a contingent effective date.

25

26         WHEREAS, the need for additional classroom construction

27  both now and in the future will require an additional source

28  of revenue to meet that need, and

29         WHEREAS, the Florida Lottery was authorized by the

30  citizens of the State of Florida in the Florida Constitution

31  and was enacted by the Legislature of the State of Florida, in

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  1  part, to provide for the enhancement of educational

  2  opportunities in this state, and

  3         WHEREAS, the authorization of video lottery games as an

  4  expansion of the state lottery would provide additional

  5  funding which could, and should, help to address the unmet

  6  need for construction, renovation, and maintenance of

  7  educational facilities in this state, and

  8         WHEREAS, the citizens of this state have overwhelmingly

  9  rejected the establishment of casinos in this state, and

10         WHEREAS, the pari-mutuel industry of Florida has

11  provided employment, entertainment, and financial resources to

12  the State of Florida for over 75 years, and has been a vital

13  part of Florida's tourism industry, and

14         WHEREAS, the pari-mutuel industry permitholders are

15  strictly licensed and regulated by the State of Florida, and

16  have established a lengthy record of complying with the laws

17  of this state, and

18         WHEREAS, the amount which may be wagered at a licensed

19  facility has been unlimited, and

20         WHEREAS, there are a limited number of pari-mutuel

21  permits in Florida, and

22         WHEREAS, the Legislature has determined that permitting

23  video lottery terminals in licensed pari-mutuel facilities

24  will provide needed revenue for the construction of

25  educational facilities, enhance the economic vitality of the

26  pari-mutuel industry and the economic vitality of the state as

27  a whole, and ensure the protection of the public interests,

28  NOW, THEREFORE,

29

30  Be It Enacted by the Legislature of the State of Florida:

31

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  1         Section 1.  Section 24.101, Florida Statutes, is

  2  amended to read:

  3         24.101  Short title.--This chapter act may be cited as

  4  the "Florida Public Education Lottery Chapter Act."

  5         Section 2.  Subsection (1) and paragraph (a) of

  6  subsection (2) of section 24.102, Florida Statutes, are

  7  amended to read:

  8         24.102  Purpose and intent.--

  9         (1)  The purpose of this chapter act is to implement s.

10  15, Art. X of the State Constitution in a manner that enables

11  the people of the state to benefit from significant additional

12  moneys for education and also enables the people of the state

13  to play the best lottery games available.

14         (2)  The intent of the Legislature is:

15         (a)  That the net proceeds of lottery games conducted

16  pursuant to this chapter act be used to support improvements

17  in public education and that such proceeds not be used as a

18  substitute for existing resources for public education.

19         Section 3.  Subsections (7), (8), (9), and (10) are

20  added to section 24.103, Florida Statutes, to read:

21         24.103  Definitions.--As used in this chapter act:

22         (7)  "Video lottery game" means an electronically

23  simulated game involving any element of chance that is played

24  on a video lottery terminal that, upon insertion of cash,

25  tokens, credits, or voucher, is available to play or simulate

26  a lottery-type game, including, but not limited to, line-up

27  games utilizing a video display and microprocessors, and in

28  which, by means of an element of chance, the player may

29  receive credits that can be redeemed for cash. "Video lottery

30  game" also means an electronically simulated game involving

31  elements of chance and skill that is played on a video lottery

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  1  terminal that, upon insertion of cash, tokens, credits, or

  2  voucher, is available to play or simulate the play of

  3  traditional card games including, but not limited to, video

  4  poker, utilizing a cathode ray tube or video display screen

  5  and microprocessors, and in which the player may win credits

  6  that can be redeemed for cash. "Video lottery game" also

  7  includes a progressive game, which is any game in which a

  8  jackpot grows and accumulates as it is being played on a video

  9  lottery terminal, or on a network of video lottery terminals,

10  and in which the outcome is randomly determined by the play of

11  video lottery terminals linked by a central network. A video

12  lottery terminal may use spinning reels or video displays, or

13  both. No video lottery terminal shall directly dispense coins,

14  cash, or tokens.

15         (8)  "Video lottery terminal vendor" means any person

16  or entity approved by the department which provides the video

17  lottery terminals to a video lottery retailer or computer

18  functions related to video lottery terminals to the

19  department.

20         (9)  "Net terminal income" means currency and other

21  consideration placed into a video lottery terminal minus

22  credits redeemed by players.

23         (10)  "Video lottery retailer" means any person who

24  possesses a pari-mutuel permit on July 1, 2001, issued

25  pursuant to chapter 550, who either has conducted a full

26  schedule of live greyhound, horse, or harness racing between

27  July 1, 2000, and June 30, 2001, as defined by s. 550.002(11),

28  or has conducted at least one full schedule of live jai alai

29  games between January 1, 1990, and June 30, 2001, as defined

30  by s. 550.002(11), or is authorized to receive broadcasts of

31  horseraces pursuant to s. 550.615.

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  1         Section 4.  Subsection (7) and paragraph (a) of

  2  subsection (9) of section 24.105, Florida Statutes, are

  3  amended, paragraphs (k), (l), and (m) are added to subsection

  4  (9) of said section and subsections (21), (22), (23), (24),

  5  (25), and (26) are added to said section, to read:

  6         24.105  Powers and duties of department.--The

  7  department shall:

  8         (7)  Make a continuing study of the lottery to

  9  ascertain any defects of the laws governing the lottery this

10  act or rules adopted thereunder which could result in abuses

11  in the administration of the lottery; make a continuing study

12  of the operation and the administration of similar laws in

13  other states and of federal laws which may affect the lottery;

14  and make a continuing study of the reaction of the public to

15  existing and potential features of the lottery.

16         (9)  Adopt rules governing the establishment and

17  operation of the state lottery, including:

18         (a)  The type of lottery games to be conducted, except

19  that:

20         1.  No name of an elected official shall appear on the

21  ticket or play slip of any lottery game or on any prize or on

22  any instrument used for the payment of prizes, unless such

23  prize is in the form of a state warrant.

24         2.  No coins or currency shall be dispensed from any

25  electronic computer terminal or device used in any lottery

26  game.

27         3.  Other than as provided in subparagraph 4., no

28  terminal or device may be used for any lottery game which may

29  be operated solely by the player without the assistance of the

30  retailer, except authorized video lottery terminals operated

31  pursuant to this chapter.

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  1         4.  The only player-activated machine which may be

  2  utilized is a machine which dispenses instant lottery game

  3  tickets following the insertion of a coin or currency by a

  4  ticket purchaser.  To be authorized a machine must: be under

  5  the supervision and within the direct line of sight of the

  6  lottery retailer to ensure that the machine is monitored and

  7  only operated by persons at least 18 years of age; be capable

  8  of being electronically deactivated by the retailer to

  9  prohibit use by persons less than 18 years of age through the

10  use of a lockout device that maintains the machine's

11  deactivation for a period of no less than 5 minutes; and be

12  designed to prevent its use or conversion for use in any

13  manner other than the dispensing of instant lottery tickets.

14  Authorized machines may dispense change to players purchasing

15  tickets but may not be utilized for paying the holders of

16  winning tickets of any kind. At least one clerk must be on

17  duty at the lottery retailer while the machine is in

18  operation. However, at least two clerks must be on duty at any

19  lottery location which has violated s. 24.1055.

20         (k)  The regulation of video lottery retailers as

21  pertains to video lottery products.

22         (l)  Specifications for video lottery terminals to be

23  approved and authorized as the department deems necessary to

24  maintain the integrity of video lottery games and terminals.

25  Initial rules sufficient to permit the operation of video

26  lotteries and the licensing of video lottery retailers shall

27  be adopted no later than August 1, 2002. The department shall

28  not provide for specifications which would have the result of

29  reducing to fewer than four the number of video lottery

30  terminal vendors who supply terminals which meet the

31  specifications.

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  1         (m)  The licensure and regulation of video lottery

  2  terminal vendors. The department shall not approve any person

  3  as a video lottery terminal vendor if such person has an

  4  interest in a video lottery retailer or a business

  5  relationship with a video lottery retailer other than as a

  6  vendor or lessor of video lottery terminals.

  7         (21)  Have in place the capacity to support video

  8  lottery games at facilities of video lottery retailers

  9  beginning no later than October 1, 2002.

10         (22)  Hear and decide promptly and in reasonable order

11  all license applications or proceedings for suspension or

12  revocation of licenses.

13         (23)  Collect and disperse such revenue due the

14  department as described in this chapter.

15         (24)  Certify net terminal income by inspecting

16  records, conducting audits, or any other reasonable means.

17         (25)  Provide a list of approved vendors and maintain a

18  current list of all contracts between video lottery terminal

19  vendors and video lottery retailers.

20         (26)  Approve an application as a video lottery

21  retailer, pursuant to s. 24.103(10) within 30 days after the

22  receipt of the application.

23         Section 5.  Section 24.1055, Florida Statutes, is

24  amended to read:

25         24.1055  Prohibition against sale of lottery tickets to

26  minors; posting of signs; penalties.--

27         (1)  No person who is less than 18 years of age may

28  purchase a lottery ticket by means of a machine or otherwise.

29         (2)  Any retailer that sells lottery tickets by means

30  of a player activated machine shall post a clear and

31  conspicuous sign on such machine, which states the following:

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  1         THE SALE OF LOTTERY TICKETS TO PERSONS UNDER

  2         THE AGE OF 18 IS AGAINST FLORIDA LAW (SECTION

  3         24.1055 24.105, FLORIDA STATUTES).  PROOF OF

  4         AGE IS REQUIRED FOR PURCHASE.

  5         (3)  No person who is less than 18 years of age may

  6  play a video lottery game authorized by this chapter.

  7         (4)  Any video lottery retailer that has a video

  8  lottery terminal at its facility shall post a clear and

  9  conspicuous sign on such terminal, which states the following:

10         THE USE OF A VIDEO LOTTERY TERMINAL BY PERSONS

11         UNDER THE AGE OF 18 IS AGAINST FLORIDA LAW

12         (SECTION 24.1055, FLORIDA STATUTES).  PROOF OF

13         AGE IS REQUIRED FOR USE.

14         (5)(3)  Any person, including any vendor or video

15  lottery retailer, who violates this section is guilty of a

16  misdemeanor of the second degree, punishable as provided in s.

17  775.082 or s. 775.083.

18         Section 6.  Subsection (5) and paragraph (b) of

19  subsection (7) of section 24.108, Florida Statutes, are

20  amended to read:

21         24.108  Division of Security; duties; security

22  report.--

23         (5)  The Department of Law Enforcement shall provide

24  assistance in obtaining criminal history information relevant

25  to investigations required for honest, secure, and exemplary

26  lottery operations, and such other assistance as may be

27  requested by the secretary and agreed to by the executive

28  director of the Department of Law Enforcement. Any other state

29  agency, including the Department of Business and Professional

30  Regulation and the Department of Revenue, shall, upon request,

31  provide the Department of the Lottery with any information

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  1  relevant to any investigation conducted pursuant to this

  2  chapter act. The Department of the Lottery shall maintain the

  3  confidentiality of any confidential information it receives

  4  from any other agency. The Department of the Lottery shall

  5  reimburse any agency for the actual cost of providing any

  6  assistance pursuant to this subsection.

  7         (7)

  8         (b)  The portion of the security report containing the

  9  overall evaluation of the department in terms of each aspect

10  of security shall be presented to the Governor, the President

11  of the Senate, and the Speaker of the House of

12  Representatives.  The portion of the security report

13  containing specific recommendations shall be confidential and

14  shall be presented only to the secretary, the Governor, and

15  the Auditor General; however, upon certification that such

16  information is necessary for the purpose of effecting

17  legislative changes, such information shall be disclosed to

18  the President of the Senate and the Speaker of the House of

19  Representatives, who may disclose such information to members

20  of the Legislature and legislative staff as necessary to

21  effect such purpose. However, any person who receives a copy

22  of such information or other information which is confidential

23  pursuant to this chapter act or rule of the department shall

24  maintain its confidentiality.  The confidential portion of the

25  report is exempt from the provisions of s. 119.07(1) and s.

26  24(a), Art. I of the State Constitution.

27         Section 7.  Subsection (1) of section 24.111, Florida

28  Statutes, is amended to read:

29         24.111  Vendors; disclosure and contract

30  requirements.--

31

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  1         (1)  The department may enter into contracts for the

  2  purchase, lease, or lease-purchase of such goods or services

  3  as are necessary for effectuating the purposes of this chapter

  4  act.  The department may not contract with any person or

  5  entity for the total operation and administration of the state

  6  lottery established by this chapter act but may make

  7  procurements which integrate functions such as lottery game

  8  design, supply of goods and services, and advertising.  In all

  9  procurement decisions, the department shall take into account

10  the particularly sensitive nature of the state lottery and

11  shall consider the competence, quality of product, experience,

12  and timely performance of the vendors in order to promote and

13  ensure security, honesty, fairness, and integrity in the

14  operation and administration of the lottery and the objective

15  of raising net revenues for the benefit of the public purpose

16  described in this chapter act.

17         Section 8.  Section 24.1121, Florida Statutes, is

18  created to read:

19         24.1121  Video lottery games.--

20         (1)  Video lottery games may only be offered by a video

21  lottery retailer at its pari-mutuel facility. During any

22  calendar year in which a video lottery retailer maintains

23  video lottery terminals within the confines of its pari-mutuel

24  facility, the video lottery retailer must conduct a full

25  schedule of live racing or games as defined in s. 550.002(11)

26  or be authorized to receive broadcasts of horseraces pursuant

27  to s. 550.615.  In the case of a person who possesses a

28  greyhound racing permit or a jai alai permit, such person

29  shall be eligible to serve as a video lottery retailer only if

30  that permitholder also conducted, during the prior fiscal

31  year, no fewer than 80 percent of the number of performances

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  1  and no fewer than 80 percent of the number of live races or

  2  games which the same permitholder conducted during the

  3  2001-2002 state fiscal year. The department may waive the

  4  requirements provided in this subsection relating to the

  5  conducting of live races or games upon a showing that the

  6  failure to conduct such games resulted from a natural disaster

  7  or other acts beyond the control of the permitholder. If the

  8  video lottery retailer fails to comply with the requirement to

  9  conduct a full schedule of races or games or, if a greyhound

10  racing permitholder or jai alai permitholder, the video

11  lottery retailer failed in the previous fiscal year to conduct

12  the required number of live races or games, within 30 days

13  after written notice from the department, the department shall

14  order the video lottery retailer to suspend its video lottery

15  operation. The department may assess an administrative fine

16  not to exceed $5,000 per video lottery terminal, per day,

17  against any video lottery retailer who fails to suspend its

18  video lottery operation when ordered to suspend by the

19  department. The department may enforce its order of suspension

20  or any administrative fine assessed in furtherance of such

21  order as provided in s. 120.69. Each video lottery retailer

22  shall post a bond payable to the state in an amount determined

23  by the department that is sufficient to guarantee payment to

24  the state of revenue due in any payment period.

25         (2)  Each pari-mutuel permitholder shall notify the

26  department prior to operating video lottery games at the

27  pari-mutuel facility.

28         (3)  To facilitate the auditing and security programs

29  critical to the integrity of the video lottery system, the

30  department shall have overall control of the entire system.

31  Each video lottery terminal shall be linked, directly or

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  1  indirectly, to a computer system under the control of the

  2  department.

  3         (4)  The department shall determine, by rule, the

  4  method by which cash receipts will be electronically validated

  5  and redeemed.

  6         (5)  No person under the age of 18 years may play a

  7  video lottery game authorized by this chapter.

  8         (6)  Video lottery games may be played at an authorized

  9  video lottery retailer's pari-mutuel facility even if such

10  retailer is not conducting a pari-mutuel event.

11         (7)  Video lottery games shall pay out a minimum of 88

12  percent of the amount of cash, tokens, credits, or vouchers

13  put into a video lottery terminal.  The department may permit

14  the payment of a lesser percentage if requested by a video

15  lottery retailer and the department determines that the

16  payment of a minimum of 88 percent is not financially viable

17  at the video lottery retailer's location and that the total

18  amount of net revenue payable to the Public Education Capital

19  Outlay and Debt Service Trust Fund will not be negatively

20  impacted. Such percentages shall be measured on an annual

21  basis.

22         (8)  Income derived from video lottery operations shall

23  not be subject to the provisions of s. 24.121. The allocation

24  of net terminal income derived from video lottery games shall

25  be as follows:

26         (a)  Thirty-six percent to the Video Lottery

27  Administrative Trust Fund of the department for transfer to

28  the Public Education Capital Outlay and Debt Service Trust

29  Fund.

30         (b)  Two percent to the Video Lottery Administrative

31  Trust Fund for transfer to in equal shares to the counties in

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  1  which the pari-mutuel facilities with video lottery terminals

  2  are located. if any such pari-mutuel facility with video

  3  lottery terminals is located within an incorporated

  4  municipality, twenty percent of the equal share of the two

  5  percent otherwise to be transferred to the county in which

  6  such facility is located shall instead be transferred to such

  7  municipality.

  8         (c)  Two percent to the Video Lottery Administrative

  9  Trust Fund of the department for transfer to the

10  Administrative Trust Fund established pursuant to s. 24.120.

11         (d)  Eight percent to the Video Lottery Administrative

12  Trust Fund of the department for transfer to the Video Lottery

13  Purse Trust Fund in the Department of Business and

14  Professional Regulation, to be distributed in accordance with

15  s. 550.26315(1).

16         (e)  To the Video Lottery Administrative Trust Fund of

17  the department for transfer to the Department of Children and

18  Family Services, 0.25 percent for the establishment and

19  administration of a treatment program for compulsive gambling.

20         (f)  If the video lottery retailer holds a valid

21  harness racing permit under chapter 550, 6 percent of its net

22  terminal income shall be distributed by the video lottery

23  retailer as purses for live performances conducted at the

24  video lottery retailer's pari-mutuel facility in accordance

25  with the provisions of chapter 550.

26         (g)  If the video lottery retailer holds a valid jai

27  alai permit under chapter 550, 6 percent of its net terminal

28  income shall be distributed by the video lottery retailer as

29  purses for live performances conducted at the video lottery

30  retailer's pari-mutuel facility in accordance with chapter

31  550.

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  1         (h)  If the video lottery retailer holds a valid

  2  greyhound racing permit under chapter 550, 6 percent of its

  3  net terminal income shall be distributed by the video lottery

  4  retailer as purses for live performances conducted at the

  5  video lottery retailer's pari-mutuel facility in accordance

  6  with chapter 550.

  7         (i)  To be retained by the video lottery retailer as

  8  compensation:

  9         1.  If a valid thoroughbred permitholder under chapter

10  550, 51.75 percent to be distributed as provided in paragraph

11  (j).

12         2.  If a valid holder of a permit other than a

13  thoroughbred permit, 45.75 percent.

14         3.  If the holder of a license issued pursuant to s.

15  550.615(9) or s. 550.6308, 51.75 percent to be distributed as

16  provided in paragraph (k).

17         (j)  If the video lottery retailer holds a valid

18  thoroughbred racing permit under chapter 550, the remaining

19  net terminal income generated at its facility:

20         1.  Three and three-tenths percent shall be distributed

21  for use as Florida thoroughbred breeders' and stallion awards

22  pursuant to ss. 550.26165 and 550.2625.

23         2.  One-quarter of one percent shall be distributed to

24  the Jockeys' Guild Health and Welfare Trust maintained by

25  Jockeys' Guild, Inc., for the purpose of providing health,

26  disability, and retirement benefits to active, disabled, and

27  retired Florida jockeys in accordance with eligibility

28  criteria established by Jockeys' Guild, Inc., shall annually

29  provide a certified financial statement of the expenditures

30  made for benefits provided under this subparagraph.

31

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  1         3.  Ninety-six and forty-five one hundredths percent

  2  shall be distributed as provided by written agreement between

  3  the video lottery retailer and the Florida Horseman's

  4  Benevolent and Protective Association.  Such contract shall be

  5  filed with the department. No video lottery retailer required

  6  to enter into a contract by this subparagraph shall be

  7  authorized to conduct video lottery games unless such contract

  8  is in effect and is filed with the department.

  9         (k)  If the video lottery retailer holds a license

10  issued pursuant to s. 550.615(9) or s. 550.6308, the remaining

11  net terminal income generated at its facility:

12         1.  Three and three-tenths percent shall be distributed

13  for use as Florida thoroughbred breeders' and stallion awards

14  pursuant to ss. 550.26165 and 550.2625.

15         2.  Ninety-six and seven-tenths percent shall be

16  distributed as provided by written agreement between the video

17  lottery retailer and the Florida Thoroughbred Breeders'

18  Association.  Such contract shall be filed with the

19  department. No video lottery retailer required to enter into a

20  contract by this subparagraph shall be authorized to conduct

21  video lottery games unless such contract is in effect and is

22  filed with the department.

23         (9)  The allocation provided in subsection (8) shall be

24  made weekly.  Amounts allocated pursuant to paragraphs

25  (8)(a)-(e) shall be remitted to the department by electronic

26  transfer within 24 hours after the allocation is determined.

27  If live meets were conducted at the pari-mutuel facility of

28  the video lottery retailer during the weekly period for which

29  the allocation is made, the portion of the allocation to be

30  distributed pursuant to paragraphs (8)(f), (g), and (h) shall

31  be paid as purses for those live meets.  If no live meets were

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  1  conducted at the pari-mutuel facility during the weekly period

  2  for which the allocation is made, the distribution of purse

  3  money shall be made during the next ensuing meet following the

  4  weekly period in which the net terminal income is earned. The

  5  accumulated amount to be distributed as purses during the next

  6  ensuing meet shall be distributed weekly during the

  7  permitholder's next race meeting in an amount determined by

  8  dividing the amount to be distributed by the number of

  9  performances approved for the permitholder pursuant to its

10  annual license and multiplying that amount by the number of

11  performances conducted each week. No less than one-half of the

12  interest income earned on funds required to be distributed

13  under paragraphs (8)(f), (g), and (h) prior to their

14  distribution as purses shall be distributed by the video

15  lottery retailer as purses for live performances conducted at

16  the video lottery retailer's pari-mutuel facility in

17  accordance with chapter 550.

18         (10)  Any person who, with intent to manipulate the

19  outcome, payoff, or operation of a video lottery terminal,

20  manipulates or attempts to manipulate the outcome, payoff, or

21  operation of a video lottery terminal by physical or

22  electronic tampering or other means commits a felony of the

23  third degree, punishable as provided in s. 775.082, s.

24  775.083, or s. 775.084.

25         (11)  Notwithstanding s. 24.115, each video lottery

26  retailer shall have the responsibility for payment of video

27  lottery prizes.

28         (12)  In any area or room in a facility in which a

29  video lottery terminal is placed, the video lottery retailer

30  must also place video monitors displaying the live races or

31  games of that facility, if such are being conducted, or, if no

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  1  live races or games are being conducted, displaying some or

  2  all of the available simulcast races or games, giving

  3  preference to performances conducted by Florida pari-mutuel

  4  permitholders.  In each such area or room, the video lottery

  5  retailer shall also provide a means by which patrons may wager

  6  on pari-mutuel activity.

  7         Section 9.  Section 24.1122, Florida Statutes, is

  8  created to read:

  9         24.1122  Licensure of video lottery terminal

10  vendors.--Video lottery terminal vendors shall be licensed by

11  the Department of the Lottery, and, by August 1, 2002, the

12  department shall adopt rules governing such licensure. The

13  department shall not license any person as a video lottery

14  terminal vendor if such person has an interest in a video

15  lottery retailer or a business relationship with a video

16  lottery retailer other than as a vendor or lessor of video

17  lottery terminals.

18         Section 10.  Section 24.1123, Florida Statutes, is

19  created to read:

20         24.1123  Local zoning of pari-mutuel facilities.--The

21  installation, operation, or use of a video lottery terminal on

22  any property on which pari-mutuel operations were or would

23  have been lawful under any county or municipal zoning

24  ordinance as of July 1, 2000, shall not be deemed to change

25  the character of the use of such property and shall not be

26  prohibited on such property by any local zoning ordinance or

27  amendments thereto.

28         Section 11.  Section 24.1124, Florida Statutes, is

29  created to read:

30         24.1124  Video lottery terminals.--

31

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  1         (1)  Video lottery terminals shall not be offered for

  2  use or play in this state unless approved by the department.

  3         (2)  Video lottery terminals approved for use in this

  4  state shall:

  5         (a)  Be protected against manipulation to affect the

  6  random probabilities of winning plays.

  7         (b)  Have one or more mechanisms that accept coins,

  8  currency, tokens, or vouchers in exchange for game credits.

  9  Such mechanisms shall be designed to prevent players from

10  obtaining credits by means of physical tampering.

11         (c)  Be capable of suspending play until reset at the

12  direction of the department as a result of physical tampering.

13         (d)  Be capable of being linked to the department's

14  central computer communications system for the purpose of

15  auditing the operation, financial data, and program

16  information as required by the department.

17         Section 12.  Section 24.1125, Florida Statutes, is

18  created to read:

19         24.1125  Video lottery terminal training program.--

20         (1)  Every licensed video lottery terminal vendor shall

21  submit a training program for the service and maintenance of

22  such terminals and equipment for approval by the department.

23  The training program shall include an outline of the training

24  curriculum, a list of instructors and their qualifications, a

25  copy of the instructional materials, and the dates, times, and

26  location of training classes. No service and maintenance

27  program shall be held unless approved by the department.

28         (2)  Every video lottery terminal service employee

29  shall complete the requirements of the manufacturer's training

30  program before such employee performs service, maintenance, or

31  repair on video lottery terminals or video lottery terminal

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  1  associated equipment. Upon the successful completion by a

  2  service employee of the training program required by this

  3  section, the department shall issue a certificate authorizing

  4  such employee to service, maintain, and repair video lottery

  5  terminals and video lottery terminal associated equipment. No

  6  certificate of completion shall be issued to any video lottery

  7  terminal service employee until the department has ascertained

  8  that such employee has completed the required training

  9  program. Any person certified as a video lottery terminal

10  service employee under this section shall pass a background

11  investigation conducted under the rules of the department. The

12  department may revoke certification upon finding a video

13  lottery terminal service employee in violation of any

14  provision of this chapter or a department rule.

15         (3)  The department is authorized to adopt rules

16  regarding the training, qualifications, and certification of

17  video lottery terminal service employees, as provided in this

18  section.

19         Section 13.  Section 24.1126, Florida Statutes, is

20  created to read:

21         24.1126  Notice of availability of assistance for

22  compulsive gambling required.--

23         (1)  The owner of each facility at which video lottery

24  games are conducted, pursuant to the provisions of chapter 24,

25  shall post signs with the statement "IF YOU OR SOMEONE YOU

26  KNOW HAS A GAMBLING PROBLEM, HELP IS AVAILABLE. CALL

27  1-800-426-7711." Such signs shall be posted within 50 feet of

28  each entrance and exit and within 50 feet of each credit

29  location within the facility.

30         (2)  Each pari-mutuel facility licensee, who operates

31  as a video lottery retailer, shall print the statement "IF YOU

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  1  OR SOMEONE YOU KNOW HAS A GAMBLING PROBLEM, HELP IS AVAILABLE.

  2  CALL 1-800-426-7711" on all daily racing programs provided by

  3  the licensee or its lessees to the general public.

  4         Section 14.  Subsection (2) of section 24.117, Florida

  5  Statutes, is amended to read:

  6         24.117  Unlawful sale of lottery tickets; penalty.--Any

  7  person who knowingly:

  8         (2)  Sells a state lottery ticket to a minor or permits

  9  a minor to use a video lottery terminal; or

10

11  is guilty of a misdemeanor of the first degree, punishable as

12  provided in s. 775.082 or s. 775.083.

13         Section 15.  Subsection (4) of section 24.118, Florida

14  Statutes, is amended to read:

15         24.118  Other prohibited acts; penalties.--

16         (4)  BREACH OF CONFIDENTIALITY.--Any person who, with

17  intent to defraud or with intent to provide a financial or

18  other advantage to himself, herself, or another, knowingly and

19  willfully discloses any information relating to the lottery

20  designated as confidential and exempt from the provisions of

21  s. 119.07(1) pursuant to this chapter act is guilty of a

22  felony of the first degree, punishable as provided in s.

23  775.082, s. 775.083, or s. 775.084.

24         Section 16.  Subsection (1) of section 24.120, Florida

25  Statutes, is amended to read:

26         24.120  Financial matters; Administrative Trust Fund;

27  interagency cooperation.--

28         (1)  There is hereby created in the State Treasury an

29  Administrative Trust Fund to be administered in accordance

30  with chapters 215 and 216 by the department.  All money

31  received by the department which remains after payment of

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  1  prizes and initial compensation paid to retailers shall be

  2  deposited into the Administrative Trust Fund.  All moneys in

  3  the trust fund are appropriated to the department for the

  4  purposes specified in this chapter act.

  5         Section 17.  Section 24.122, Florida Statutes, is

  6  amended to read:

  7         24.122  Exemption from taxation; state preemption;

  8  inapplicability of other laws.--

  9         (1)  This chapter act shall not be construed to

10  authorize any lottery except the lotteries lottery operated or

11  directed by the department pursuant to this chapter act.

12         (2)  No state or local tax shall be imposed upon any

13  prize paid or payable under this chapter act or upon the sale

14  of any lottery ticket or the installation, rental, or use of

15  any video lottery terminal pursuant to this chapter act.

16         (3)  All matters relating to the operation of the state

17  lottery are preempted to the state, and no county,

18  municipality, or other political subdivision of the state

19  shall enact any ordinance relating to the operation of the

20  lottery authorized by this chapter act.  However, this

21  subsection shall not prohibit a political subdivision of the

22  state from requiring a retailer to obtain an occupational

23  license for any business unrelated to the sale of lottery

24  tickets.

25         (4)  Any state or local law providing any penalty,

26  disability, restriction, or prohibition for the possession,

27  manufacture, transportation, distribution, advertising, or

28  sale of any lottery ticket, including chapter 849, shall not

29  apply to the tickets of the state lottery operated pursuant to

30  this chapter act; nor shall any such law apply to the

31  possession of a ticket issued by any other government-operated

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  1  lottery.  In addition, activities of the department under this

  2  chapter act are exempt from the provisions of:

  3         (a)  Chapter 616, relating to public fairs and

  4  expositions.

  5         (b)  Chapter 946, relating to correctional work

  6  programs.

  7         (c)  Chapter 282, relating to communications and data

  8  processing.

  9         (d)  Section 110.131, relating to other personal

10  services.

11         Section 18.  Subsection (24) of section 212.02, Florida

12  Statutes, is amended to read:

13         212.02  Definitions.--The following terms and phrases

14  when used in this chapter have the meanings ascribed to them

15  in this section, except where the context clearly indicates a

16  different meaning:

17         (24)  "Coin-operated amusement machine" means any

18  machine operated by coin, slug, token, coupon, or similar

19  device for the purposes of entertainment or amusement.  The

20  term includes, but is not limited to, coin-operated pinball

21  machines, music machines, juke boxes, mechanical games, video

22  games, arcade games, billiard tables, moving picture viewers,

23  shooting galleries, and all other similar amusement devices.

24  The term does not include a video lottery terminal approved

25  pursuant to chapter 24.

26         Section 19.  Section 550.26315, Florida Statutes, is

27  created to read:

28         550.26315  Administration of the Video Lottery Purse

29  Trust Fund.--

30

31

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  1         (1)  Fifty-eight percent of the proceeds of the Video

  2  Lottery Purse Trust Fund shall be transferred to the Video

  3  Lottery Thoroughbred Trust Fund.

  4         (2)  Forty-two percent of the proceeds of the Video

  5  Lottery Purse Trust Fund shall be distributed to pari-mutuel

  6  permitholders to be distributed as purses at their respective

  7  pari-mutuel facilities as follows:

  8         (a)  Eight percent shall be distributed to holders of

  9  valid harness racing permits.

10         (b)  Seven percent shall be distributed to holders of

11  valid jai alai permits.

12         (c)  Twenty-seven percent shall be distributed to

13  holders of valid greyhound racing permits.

14

15  Each permitholder entitled to receive distributions under a

16  paragraph of this subsection shall receive a percentage of the

17  amount to be distributed under that paragraph which is

18  determined by dividing the amounts paid in purses by such

19  permitholder during the state fiscal year 2000-2001 by the

20  amount of purses paid by all such permitholders statewide

21  during the state fiscal year 2000-2001.

22         (3)  All proceeds distributed under this section are in

23  addition to and supplement the other funds set forth in this

24  chapter for use as purses, awards, and, in the case of jai

25  alai, player compensation.

26         (4)  Of amounts to be distributed pursuant to this

27  section and s. 24.1121(8)(h) to persons holding valid

28  greyhound racing permits, 10 percent of such sums shall be

29  distributed as additional purses on all live races at each

30  facility to Florida-bred greyhounds in a manner similar to the

31

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  1  distribution of regular purses and in accordance with rules

  2  adopted by the division.

  3         (5)  Of amounts to be distributed pursuant to this

  4  section and s. 24.1121(8)(f) to persons holding valid harness

  5  racing permits, 6.6 percent of such sums shall be distributed

  6  for payment of breeders' awards, stallion awards, and stallion

  7  stakes, and for additional expenditures pursuant to ss.

  8  550.26165 and 550.2625. The Florida Standardbred Breeders and

  9  Owners Association may, in accordance with s. 550.2625(4),

10  deduct a fee for administering the payment of awards and for

11  general promotion of the industry.

12         (6)  The department is authorized to adopt rules to

13  provide for the equitable distribution of funds by

14  permitholders for purses, awards, or jai alai player

15  compensation, in accordance with the provisions of this

16  section.

17         Section 20.  Section 550.26325, Florida Statutes, is

18  created to read:

19         550.26325  Distribution of funds from Video Lottery

20  Thoroughbred Trust Fund.--The proceeds of the Video Lottery

21  Thoroughbred Trust Fund shall be distributed as follows:

22         (1)  For use as Florida thoroughbred breeders' and

23  stallion awards pursuant to ss. 550.26165 and 550.2625: 6.6

24  percent.  The Florida Thoroughbred Breeders' Association may,

25  in accordance with s. 550.2625(3), deduct a fee for

26  administering the payment of awards and for general promotion

27  of the industry.

28         (2)  The remainder shall be divided proportionally

29  among the thoroughbred permitholders for use as purses based

30  upon a formula determined by dividing the amounts paid in

31  purses by such thoroughbred permitholder during the 2000-2001

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  1  state fiscal year by the amount of purses paid by all such

  2  thoroughbred permitholders statewide during the 2000-2001

  3  state fiscal year.

  4         Section 21.  Paragraphs (d) and (e) of subsection (2)

  5  and paragraph (a) of subsection (6) of section 550.2625,

  6  Florida Statutes, are amended, and paragraph (f) is added to

  7  subsection (2), to read:

  8         550.2625  Horseracing; minimum purse requirement,

  9  Florida breeders' and owners' awards.--

10         (2)  Each permitholder conducting a horserace meet is

11  required to pay from the takeout withheld on pari-mutuel pools

12  a sum for purses in accordance with the type of race

13  performed.

14         (d)  The division shall adopt reasonable rules to

15  ensure the timely and accurate payment of all amounts withheld

16  by horserace permitholders regarding the distribution of

17  purses, Florida breeders' and stallion awards, and Florida

18  owners' awards, and all other amounts received or collected

19  for payment to owners and breeders, including video lottery

20  proceeds.  Each permitholder that fails to pay out during its

21  meet all moneys received or collected for payment to owners

22  and breeders during that meet shall, within 30 10 days after

23  the end of the meet during which the underpayment occurred

24  permitholder underpaid purses, deposit an amount equal to the

25  underpayment into a separate interest-bearing account to be

26  distributed to owners and breeders in accordance with division

27  rules. Any permitholder paying out during its meet less than

28  90 percent of all moneys received or collected for payment to

29  owners and breeders during that meet shall be subject to an

30  administrative fine in an amount equal to double the amount of

31  the underpayment. Within 30 days after the end of its meet,

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  1  each permitholder shall be required to file with the division

  2  an audited accounting reflecting the receipt and payment of

  3  all sums dedicated to purses, Florida breeders' and stallion

  4  awards, and Florida owners' awards.

  5         (e)  An amount equal to 8.5 percent of the purse

  6  account generated through video lottery proceeds pursuant to

  7  s. 550.26325(2), intertrack wagering, and interstate

  8  simulcasting shall will be used for Florida Owners' Awards as

  9  set forth in subsection (3). This percentage may be changed by

10  written agreement between the Florida Horseman's Benevolent

11  and Protective Association and the Florida Thoroughbred

12  Breeders' Association, filed with the division.  Any

13  thoroughbred permitholder that had with an average blended

14  takeout which does not exceed 20 percent and with an average

15  daily purse distribution excluding sponsorship, entry fees,

16  and nominations exceeding $225,000 in the 2000-2001 fiscal

17  year is exempt from the provisions of this paragraph. This

18  exemption shall apply for up to 73 racing days.

19         (f)  The division shall adopt reasonable rules to

20  ensure the timely and accurate payment of all amounts received

21  or collected by a horsemen's or breeders' association for

22  payment to owners and breeders, including video lottery

23  proceeds. Each horsemen's or breeders' association that fails

24  to pay out during the calendar year all moneys received or

25  collected for payment to owners and breeders during that year

26  shall, within 30 days after the end of the calendar year

27  during which the underpayment occurred, deposit an amount

28  equal to the underpayment into a separate interest-bearing

29  account to be distributed to owners or breeders in accordance

30  with division rules. Any horsemen's or breeders' association

31  paying out during the calendar year less than 90 percent of

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  1  all moneys received or collected for payment to owners and

  2  breeders during that calendar year shall be subject to an

  3  administrative fine in an amount equal to double the amount of

  4  the underpayment. Within 60 days after the end of the calendar

  5  year, each permitholder shall be required to file with the

  6  division an audited accounting reflecting the receipt and

  7  payment of all sums received and collected for payment to

  8  owners and breeders.

  9         (6)(a)  The takeout may be used for the payment of

10  awards to owners of registered Florida-bred horses placing

11  first in a claiming race, an allowance race, a maiden special

12  race, or a stakes race in which the announced purse, exclusive

13  of entry and starting fees and added moneys, does not exceed

14  $40,000 or such higher amount as may be agreed to in writing

15  between the permitholder and the Florida Horseman's Benevolent

16  and Protective Association, which agreement shall be filed

17  with the division.

18         Section 22.  Section 550.401, Florida Statutes, is

19  created to read:

20         550.401  Limited prohibition on termination of kennel

21  operators.--A greyhound track may not terminate a kennel

22  operator, other than for breach of contract that remains in

23  breach 15 days following the delivery in writing of notice of

24  such breach to the kennel operator, for 12 months following

25  the first period that purse payments are made pursuant to the

26  provisions of s. 550.26315. Thereafter, only those kennel

27  operators can be terminated without cause if the kennel

28  occupies one of the bottom three positions based on total

29  number of wins for two consecutive racing seasons, which may

30  include the 12-month period following the first period that

31

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  1  purse payments are made pursuant to the provisions of s.

  2  550.26315.

  3         Section 23.  Subsections (3) and (4) of section

  4  550.615, Florida Statutes, are amended to read:

  5         550.615  Intertrack wagering.--

  6         (3)(a)  If a permitholder who operates as a video

  7  lottery retailer as defined in s. 24.103 elects to broadcast

  8  its signal to any permitholder in this state, any

  9  permitholder, not located within 25 miles of the host track,

10  that is eligible to conduct intertrack wagering under the

11  provisions of ss. 550.615-550.6345 is entitled to receive the

12  broadcast and conduct intertrack wagering under this section;

13  provided, however, that the host track may require a guest

14  track within 25 miles of another permitholder to receive in

15  any week at least 60 percent of the live races that the host

16  track is making available on the days that the guest track is

17  otherwise operating live races or games. A host track may

18  require a guest track not operating live races or games and

19  within 25 miles of another permitholder to accept within any

20  week at least 60 percent of the live races that the host track

21  is making available. A permitholder may, pursuant to a written

22  contract, elect to broadcast its signal to any permitholder in

23  this state located within 25 miles of the host track, provided

24  that where a thoroughbred permitholder is the host track, any

25  such contract must be approved by the Florida Horseman's

26  Benevolent and Protective Association. A person may not

27  restrain or attempt to restrain any permitholder that is

28  otherwise authorized to conduct intertrack wagering from

29  receiving the signal of any other permitholder or sending its

30  signal to any permitholder.

31

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  1         (b)  If a permitholder who does not operate as a video

  2  lottery retailer as defined in s. 24.103 elects to broadcast

  3  its signal to any permitholder in this state, any permitholder

  4  that is eligible to conduct intertrack wagering under the

  5  provisions of ss. 550.615-550.6345 is entitled to receive the

  6  broadcast and conduct intertrack wagering under this section;

  7  provided, however, that the host track may require a guest

  8  track within 25 miles of another permitholder to receive in

  9  any week at least 60 percent of the live races that the host

10  track is making available on the days that the guest track is

11  otherwise operating live races or games. A host track may

12  require a guest track not operating live races or games and

13  within 25 miles of another permitholder to accept within any

14  week at least 60 percent of the live races that the host track

15  is making available. A person may not restrain or attempt to

16  restrain any permitholder that is otherwise authorized to

17  conduct intertrack wagering from receiving the signal of any

18  other permitholder or sending its signal to any permitholder.

19         (4)  In no event shall any intertrack wager be accepted

20  on the same class of live or simulcast races or games of any

21  permitholder without the written consent of such operating

22  permitholders conducting the same class of live or simulcast

23  races or games if the guest track is within the market area of

24  such operating permitholder.

25         Section 24.  Paragraph (g) of subsection (9) of section

26  550.6305, Florida Statutes, is amended to read:

27         550.6305  Intertrack wagering; guest track payments;

28  accounting rules.--

29         (9)  A host track that has contracted with an

30  out-of-state horse track to broadcast live races conducted at

31  such out-of-state horse track pursuant to s. 550.3551(5) may

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  1  broadcast such out-of-state races to any guest track and

  2  accept wagers thereon in the same manner as is provided in s.

  3  550.3551.

  4         (g)1.  Any thoroughbred permitholder which accepts

  5  wagers on a simulcast signal must make the signal available to

  6  any permitholder that is located more than 25 miles from where

  7  the permitholder providing the signal is located and that is

  8  eligible to conduct intertrack wagering under the provisions

  9  of ss. 550.615-550.6345.

10         2.  Any thoroughbred permitholder which accepts wagers

11  on a simulcast signal received after 6 p.m. must make such

12  signal available to any permitholder that is eligible to

13  conduct intertrack wagering under the provisions of ss.

14  550.615-550.6345, including any permitholder located as

15  specified in s. 550.615(6).  Such guest permitholders are

16  authorized to accept wagers on such simulcast signal,

17  notwithstanding any other provision of this chapter to the

18  contrary.

19         3.  Any thoroughbred permitholder which accepts wagers

20  on a simulcast signal received after 6 p.m. must make such

21  signal available to any permitholder that is eligible to

22  conduct intertrack wagering under the provisions of ss.

23  550.615-550.6345, including any permitholder located as

24  specified in s. 550.615(9).  Such guest permitholders are

25  authorized to accept wagers on such simulcast signals for a

26  number of performances not to exceed that which constitutes a

27  full schedule of live races for a quarter horse permitholder

28  pursuant to s. 550.002(11), notwithstanding any other

29  provision of this chapter to the contrary, except that the

30  restrictions provided in s. 550.615(9)(a) apply to wagers on

31  such simulcast signals.

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  1

  2  No thoroughbred permitholder shall be required to continue to

  3  rebroadcast a simulcast signal to any in-state permitholder if

  4  the average per performance gross receipts returned to the

  5  host permitholder over the preceding 30-day period were less

  6  than $100.  Subject to the provisions of s. 550.615(4), as a

  7  condition of receiving rebroadcasts of thoroughbred simulcast

  8  signals under this paragraph, a guest permitholder must accept

  9  intertrack wagers on all live races conducted by all

10  then-operating thoroughbred permitholders.

11         Section 25.  Subsection (6) is added to section

12  550.6308, Florida Statutes, to read:

13         550.6308  Limited intertrack wagering license.--In

14  recognition of the economic importance of the thoroughbred

15  breeding industry to this state, its positive impact on

16  tourism, and of the importance of a permanent thoroughbred

17  sales facility as a key focal point for the activities of the

18  industry, a limited license to conduct intertrack wagering is

19  established to ensure the continued viability and public

20  interest in thoroughbred breeding in Florida.

21         (6)  Notwithstanding the limitations on use of the

22  license provided in subsections (1) and (4) and s. 550.615(9),

23  if the licensee is also operating as a video lottery retailer,

24  the licensee may conduct intertrack wagering on thoroughbred

25  horse racing and on greyhound racing and the licensee may also

26  conduct intertrack wagering between May 9 and October 31 at

27  such times and on such days as any thoroughbred, jai alai, or

28  a greyhound permitholder in the same county is conducting live

29  performances.

30         Section 26.  Subsection (5) of section 565.02, Florida

31  Statutes, is amended to read:

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  1         565.02  License fees; vendors; clubs; caterers; and

  2  others.--

  3         (5)  A caterer at a horse or dog racetrack or jai alai

  4  fronton may obtain a license upon the payment of an annual

  5  state license tax of $675. Such caterer's license shall permit

  6  sales only within the enclosure in which such races or jai

  7  alai games are conducted, and such licensee shall be permitted

  8  to sell only during the period beginning 10 days before and

  9  ending 10 days after racing or jai alai under the authority of

10  the Division of Pari-mutuel Wagering of the Department of

11  Business and Professional Regulation is conducted at such

12  racetrack or jai alai fronton and on days on which the

13  pari-mutuel facility is open to the public for the purpose of

14  video lottery play authorized by the Department of the

15  Lottery. Except as in this subsection otherwise provided,

16  caterers licensed hereunder shall be treated as vendors

17  licensed to sell by the drink the beverages mentioned herein

18  and shall be subject to all the provisions hereof relating to

19  such vendors.

20         Section 27.  Compulsive gambling program.--The Alcohol,

21  Drug Abuse, and Mental Health Program Office within the

22  Department of Children and Family Services shall establish a

23  program for public education, awareness, and training

24  regarding problem and compulsive gambling and the treatment

25  and prevention of problem and compulsive gambling. The program

26  shall include:

27         (1)  Maintenance of a compulsive gambling advocacy

28  organization's toll-free problem gambling telephone number to

29  provide crisis counseling and referral services to families

30  experiencing difficulty as a result of problem or compulsive

31  gambling.

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  1         (2)  The promotion of public awareness regarding the

  2  recognition and prevention of problem or compulsive gambling.

  3         (3)  Facilitation, through inservice training and other

  4  means, of the availability of effective assistance programs

  5  for problem and compulsive gamblers, of all ages, and family

  6  members affected by problem and compulsive gambling.

  7         (4)  Studies to identify adults and juveniles in this

  8  state who are, or who are at risk of becoming, problem or

  9  compulsive gamblers.

10         Section 28.  This act shall take effect upon becoming a

11  law, if House Bill     , House Bill     , House Bill     , and

12  House Bill     , or similar legislation is adopted in the same

13  legislative session or an extension thereof and becomes law.

14

15            *****************************************

16                          HOUSE SUMMARY

17
      Provides for the establishment and operation of video
18    lottery games to be conducted at pari-mutuel facilities
      and the allocation of revenues from the games to the
19    Video Lottery Administrative Trust Fund of the Department
      of the Lottery for transfer to the Public Education
20    Capital Outlay and Debt Service Trust Fund, to the Grants
      and Donations Trust Fund of the Department of Elderly
21    Affairs, to the Administrative Trust Fund of the
      department, to the Video Lottery Purse Trust Fund of the
22    Department of Business and Professional Regulation, and
      to the Department of Children and Family Services.
23    Provides additional funds for pari-mutuel purses. Changes
      regulation of intertrack wagering. See bill for details.
24

25

26

27

28

29

30

31

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