Senate Bill sb0160c1

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    Florida Senate - 2002                            CS for SB 160

    By the Committee on Finance and Taxation; and Senator
    Wasserman Schultz




    314-1961-02

  1                      A bill to be entitled

  2         An act relating to pari-mutuel wagering;

  3         requiring dogracing permitholders to provide a

  4         greyhound-adoption booth at each dogracing

  5         facility in the state; requiring that the booth

  6         be operated by certain qualified persons on

  7         weekends; requiring that information concerning

  8         the adoption of a greyhound be made available

  9         to the public at the facility; requiring the

10         permitholder to provide adoption information in

11         racing programs and to identify greyhounds that

12         will become available for adoption; authorizing

13         the permitholder to hold an additional charity

14         day that is designated as "Greyhound

15         Adopt-A-Pet Day"; requiring that profits

16         derived from the charity day be used to fund

17         activities promoting the adoption of

18         greyhounds; authorizing the Division of

19         Pari-mutuel Wagering within the Department of

20         Business and Professional Regulation to adopt

21         rules; providing penalties; amending s.

22         550.1647, F.S., relating to unclaimed tickets

23         and breaks with respect to greyhound racing;

24         defining the term "bona fide organization that

25         promotes or encourages the adoption of

26         greyhounds"; amending s. 550.5251, F.S.;

27         allowing a thoroughbred racing permitholder to

28         operate a cardroom; amending s. 849.086, F.S.;

29         redefining the term "authorized games";

30         allowing the amendment of a permitholder's

31         annual application to include operation of a

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    Florida Senate - 2002                            CS for SB 160
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  1         cardroom; providing restrictions relating to

  2         harness permitholder cardrooms; revising

  3         standards relating to when cardrooms may be

  4         operated and relating to bets; authorizing

  5         facilities to award prizes; revising the rate

  6         of the gross receipts tax on admissions;

  7         providing an effective date.

  8

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

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11         Section 1.  Greyhound adoptions.--

12         (1)  Each dogracing permitholder operating a dogracing

13  facility in this state shall provide for a greyhound-adoption

14  booth to be located at the facility. The greyhound-adoption

15  booth must be operated on weekends. In addition, the

16  greyhound-adoption booth must be operated by personnel or

17  volunteers from a bona fide organization that promotes or

18  encourages the adoption of greyhounds pursuant to section

19  550.1647, Florida Statutes. As used in this section, the term

20  "weekend" includes the hours during which live greyhound

21  racing is conducted on Friday, Saturday, or Sunday.

22  Information pamphlets and application forms shall be provided

23  to the public upon request. In addition, the kennel operator

24  or owner shall notify the permitholder that a greyhound is

25  available for adoption and the permitholder shall provide

26  information concerning the adoption of a greyhound in each

27  race program and shall post adoption information at

28  conspicuous locations throughout the dogracing facility. Any

29  greyhound that is participating in a race and that will be

30  available for future adoption must be noted in the race

31  program. The permitholder shall allow greyhounds to be walked

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    Florida Senate - 2002                            CS for SB 160
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  1  through the track facility to publicize the greyhound-adoption

  2  program.

  3         (2)  In addition to the charity days authorized under

  4  section 550.0351, Florida Statutes, a greyhound permitholder

  5  may fund the greyhound-adoption program by holding a charity

  6  racing day designated as "Greyhound Adopt-A-Pet Day." All

  7  profits derived from the operation of the charity day must be

  8  placed into a fund used to support activities at the racing

  9  facility which promote the adoption of greyhounds. The

10  division may adopt rules for administering the fund. Proceeds

11  from the charity day authorized in this subsection may not be

12  used as a source of funds for the purposes set forth in

13  section 550.1647, Florida Statutes.

14         (3)(a)  Upon a violation of this section by a

15  permitholder or licensee, the division may impose a penalty as

16  provided in section 550.0251(10), Florida Statutes, and

17  require the permitholder to take corrective action.

18         (b)  A penalty imposed under section 550.0251(10),

19  Florida Statutes, does not exclude a prosecution for cruelty

20  to animals or for any other criminal act.

21         Section 2.  Section 550.1647, Florida Statutes, is

22  amended to read:

23         550.1647  Greyhound permitholders; unclaimed tickets;

24  breaks.--All money or other property represented by any

25  unclaimed, uncashed, or abandoned pari-mutuel ticket which has

26  remained in the custody of or under the control of any

27  permitholder authorized to conduct greyhound racing

28  pari-mutuel pools in this state for a period of 1 year after

29  the date the pari-mutuel ticket was issued, if the rightful

30  owner or owners thereof have made no claim or demand for such

31  money or other property within that period of time, shall,

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    Florida Senate - 2002                            CS for SB 160
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  1  with respect to live races conducted by the permitholder, be

  2  remitted to the state pursuant to s. 550.1645; however, such

  3  permitholder shall be entitled to a credit in each state

  4  fiscal year in an amount equal to the actual amount remitted

  5  in the prior state fiscal year which may be applied against

  6  any taxes imposed pursuant to this chapter. In addition, each

  7  permitholder shall pay, from any source, including the

  8  proceeds from performances conducted pursuant to s. 550.0351,

  9  an amount not less than 10 percent of the amount of the credit

10  provided by this section to any bona fide organization that

11  promotes or encourages the adoption of greyhounds. As used in

12  this section, the term "bona fide organization that promotes

13  or encourages the adoption of greyhounds" means any

14  organization that provides evidence of compliance with chapter

15  496 and possesses a valid exemption from federal taxation

16  issued by the Internal Revenue Service. Such bona fide

17  organization, as a condition of adoption, must provide

18  sterilization of greyhounds by a licensed veterinarian before

19  relinquishing custody of the greyhound to the adoptor. The fee

20  for sterilization may be included in the cost of adoption.

21         Section 3.  Subsection (4) of section 550.5251, Florida

22  Statutes, is amended to read:

23         550.5251  Florida thoroughbred racing; certain permits;

24  operating days.--

25         (4)  A thoroughbred racing permitholder may not begin

26  any race later than 7 p.m. However, Any thoroughbred

27  permitholder in a county in which the authority for cardrooms

28  has been approved by the board of county commissioners may

29  elect not to operate a cardroom and, when conducting live

30  races during its current race meet, may and instead to receive

31  and rebroadcast out-of-state races after the hour of 7 p.m. on

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    Florida Senate - 2002                            CS for SB 160
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  1  any day during which the permitholder conducts live races.

  2  However, such permitholder may not engage in both operating a

  3  cardroom and receiving or rebroadcasting out-of-state races

  4  after 7 p.m.  Permitholders shall be required to elect between

  5  either operating a cardroom or engaging in simulcasting after

  6  7 p.m. at the time of submitting its application for its

  7  annual license pursuant to this section.

  8         Section 4.  Paragraph (a) of subsection (2),

  9  subsections (5), (7), and (8), and paragraphs (a) and (d) of

10  subsection (13) of section 849.086, Florida Statutes, are

11  amended to read:

12         849.086  Cardrooms authorized.--

13         (2)  DEFINITIONS.--As used in this section:

14         (a)  "Authorized game games" means a game or series of

15  games of poker, pinochle, bridge, rummy, canasta, hearts,

16  dominoes, or mah-jongg only those games authorized by s.

17  849.085(2)(a) and which are played in a nonbanking manner.

18         (5)  LICENSE REQUIRED; APPLICATION; FEES.--No person

19  may operate a cardroom in this state unless such person holds

20  a valid cardroom license issued pursuant to this section.

21         (a)  Only those persons holding a valid cardroom

22  license issued by the division may operate a cardroom.  A

23  cardroom license may only be issued to a licensed pari-mutuel

24  permitholder and an authorized cardroom may only be operated

25  at the same facility at which the permitholder is authorized

26  under its valid pari-mutuel wagering permit to conduct

27  pari-mutuel wagering activities. Cardroom licenses are not

28  transferable.

29         (b)  After the initial cardroom license is granted, the

30  application for the annual license renewal shall be made in

31  conjunction with the applicant's annual application for its

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    Florida Senate - 2002                            CS for SB 160
    314-1961-02




  1  pari-mutuel license. If a permitholder has operated a cardroom

  2  during either of the 2 previous fiscal years and fails to

  3  include a renewal request for the operation of the cardroom in

  4  its annual application for license renewal, the permitholder

  5  may amend its annual application to include operation of the

  6  cardroom. In order for a cardroom license to be renewed the

  7  applicant must have requested, as part of its pari-mutuel

  8  annual license application, to conduct at least 90 percent of

  9  the total number of live performances conducted by such

10  permitholder during either the state fiscal year in which its

11  initial cardroom license was issued or the state fiscal year

12  immediately prior thereto. If the application is for a harness

13  permitholder cardroom, the applicant must have requested

14  authorization to conduct a minimum of 140 live performances

15  during the state fiscal year immediately prior thereto. If

16  more than one permitholder is operating at a facility, each

17  permitholder must have applied for a license to conduct a full

18  schedule of live racing.

19         (c)  Persons seeking a license or a renewal thereof to

20  operate a cardroom shall make application on forms prescribed

21  by the division. Applications for cardroom licenses shall

22  contain all of the information the division, by rule, may

23  determine is required to ensure eligibility.

24         (d)  The annual cardroom license fee for each facility

25  shall be $1,000 for the first table and $500 for each

26  additional table to be operated at the cardroom.  This license

27  fee shall be deposited by the division with the Treasurer to

28  the credit of the Pari-mutuel Wagering Trust Fund.

29         (7)  CONDITIONS FOR OPERATING A CARDROOM.--

30         (a)  A cardroom may only be operated only at the

31  location specified on the cardroom license issued by the

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    Florida Senate - 2002                            CS for SB 160
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  1  division, and such location may only be the location at which

  2  the pari-mutuel permitholder is authorized to conduct

  3  pari-mutuel wagering activities pursuant to such

  4  permitholder's valid pari-mutuel permit or as otherwise

  5  authorized by law and current license.

  6         (b)  A cardroom may be operated at the facility only

  7  when the facility is authorized to accept wagers on

  8  pari-mutuel events during its authorized meet.  A cardroom may

  9  begin operations within 2 hours prior to the post time of the

10  first pari-mutuel event conducted live at the pari-mutuel

11  facility on which wagers are accepted by the facility and must

12  cease operations by 2 a.m. on the following day within 2 hours

13  after the conclusion of the last pari-mutuel event conducted

14  live at the pari-mutuel facility on which wagers are accepted.

15         (c)  A cardroom operator must at all times employ and

16  provide a nonplaying dealer for each table on which authorized

17  card games which traditionally utilize a dealer are conducted

18  at the cardroom.  Such dealers may not have any participatory

19  interest in any game other than the dealing of cards and may

20  not have an interest in the outcome of the game.  The

21  providing of such dealers by a licensee shall not be construed

22  as constituting the conducting of a banking game by the

23  cardroom operator.

24         (d)  A facility that operates a cardroom may award

25  giveaways or prizes to players who hold combinations of cards

26  specified by the cardroom operator.

27         (e)(d)  Each cardroom operator shall conspicuously post

28  upon the premises of the cardroom a notice which contains a

29  copy of the cardroom license; a list of authorized games

30  offered by the cardroom; the wagering limits imposed by the

31  house, if any; any additional house rules regarding operation

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    Florida Senate - 2002                            CS for SB 160
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  1  of the cardroom or the playing of any game; and all costs to

  2  players to participate, including any rake by the house.  In

  3  addition, each cardroom operator shall post at each table a

  4  notice of the minimum and maximum bets authorized at such

  5  table and the fee for participation in the game conducted.

  6         (f)(e)  The cardroom facility shall be subject to

  7  inspection by the division or any law enforcement agency

  8  during the licensee's regular business hours.  The inspection

  9  will specifically encompass the permitholder internal control

10  procedures approved by the division.

11         (g)(f)  A cardroom operator may refuse entry to or

12  refuse to allow to play any person who is objectionable,

13  undesirable, or disruptive, but such refusal shall not be on

14  the basis of race, creed, color, religion, sex, national

15  origin, marital status, physical handicap, or age, except as

16  provided in this section.

17         (8)  METHOD OF WAGERS; LIMITATION.--

18         (a)  No wagering may be conducted using money or other

19  negotiable currency.  Games may only be played utilizing a

20  wagering system whereby all players' money is first converted

21  by the house to tokens or chips which shall be used for

22  wagering only at that specific cardroom.

23         (b)  The cardroom operator may limit the amount wagered

24  in any game or series of games, but the maximum bet winnings

25  of any player in a single round, hand, or game may not exceed

26  $2 $10 in value. There may not be more than three raises in

27  any round of betting. The fee charged by the cardroom for

28  participation in the game shall not be included in the

29  calculation of the limitation on the bet amount pot size

30  provided in this paragraph.

31         (13)  TAXES AND OTHER PAYMENTS.--

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    Florida Senate - 2002                            CS for SB 160
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  1         (a)  Each cardroom operator shall pay a tax to the

  2  state of 2 10 percent of the cardroom operation's monthly

  3  gross receipts.

  4         (d)  Each greyhound and jai alai permitholder that

  5  which operates a cardroom facility shall use utilize at least

  6  10 4 percent of such permitholder's cardroom monthly gross

  7  receipts to supplement greyhound purses or jai alai prize

  8  money, respectively, during the permitholder's next ensuing

  9  pari-mutuel meet.  Each thoroughbred and harness horse racing

10  permitholder that which operates a cardroom facility shall use

11  utilize at least 50 percent of such permitholder's cardroom

12  monthly net proceeds as follows:  47 percent to supplement

13  purses and 3 percent to supplement breeders' awards during the

14  permitholder's next ensuing racing meet.

15         Section 5.  This act shall take effect July 1, 2002.

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    Florida Senate - 2002                            CS for SB 160
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  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                              SB 160

  3

  4  1.    The bill clarifies that the greyhound-adoption booths
          may be operated on days other than weekends, and that,
  5        regardless of the day of operation, the booths must be
          operated by personnel or volunteers from a bona fide
  6        organization that promotes or encourages the adoption of
          greyhounds pursuant to s. 550.1647,F.S.
  7
    2.    The bill revises the conditions under which card rooms
  8        may be operated at pari-mutuel wagering facilities in
          the state.
  9
         a.     The bill authorizes thoroughbred racing permit
10              holders to operate card rooms during both live
                racing and simulcast.
11
         b.     The bill defines an "authorized game" to mean a
12              game or series of games of poker, pinochle,
                bridge, rummy, canasta, hearts, dominoes, or
13              mah-jongg, eliminating the requirement that the
                winnings of any player in a single round, hand, or
14              game may not exceed $10 in value.

15       c.     The bill eliminates the $10 pot limit and replaces
                it with a $2 bet limit with a maximum of three
16              raises per round of betting.

17       d.     The bill increases the hours of operation by
                allowing a card room to begin operations two hours
18              before any pari-mutuel event begins and to
                continue business until 2:00 a.m. the following
19              day.

20       e.     The bill authorizes card room operators to give
                away prizes to players who hold certain
21              combinations of cards.

22       f.     The bill decreases the gross receipts tax paid by
                the card room operator to the state from 10% to 2%
23              of monthly gross receipts.

24       g.     The bill increases the amount paid from card room
                receipts as supplemental purses and prize money.
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         h.     The bill requires each permit holder operating at
26              a facility to have applied for a license to
                conduct a full schedule of live performances in
27              order to receive a renewed card room license.

28       i.     The bill requires the annual card room license fee
                to apply to each facility rather than each permit
29              holder at a facility.

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