HB 563

1
A bill to be entitled
2An act relating to thoroughbred horse Breeders' Cup
3meets; creating s. 550.26357, F.S.; providing for the
4creation of a special thoroughbred race meet
5designated as the "Breeders' Cup Permanent Meet" which
6shall be conducted annually at the facility of a
7Florida horseracing permitholder; providing conditions
8for the annual meet; providing a timeframe for the
9meet; providing for issuance of a permit for the meet;
10exempting the issuance of the permit from certain
11provisions; authorizing pari-mutuel wagers on races at
12the meet; prohibiting races at certain thoroughbred
13facilities during the meet; providing a tax credit as
14compensation for race days lost due to the
15prohibition; providing that the permitholder
16conducting the Breeders' Cup Permanent Meet is exempt
17from paying taxes on the handle for Breeders' Cup
18races under the permit; providing the permitholder
19with certain tax credits to be used for certain
20purposes; providing conditions to receive the credits;
21exempting the permitholder from the payment of purses
22and other payments to horsemen during the meet;
23providing for broadcast of the races for wagering
24purposes; providing for use of a totalisator outside
25the state; requiring audits before tax credits may be
26claimed; providing for the hearing of disputes between
27the division and any permitholder regarding the tax
28credits; authorizing the division to adopt and waive
29rules for certain purposes; authorizing the
30permitholder to receive a license to operate slot
31machines at the facility identified in the Breeders'
32Cup Permit under certain conditions; providing for
33revocation, suspension, or escheatment of the permit;
34providing for application; providing an effective
35date.
36
37Be It Enacted by the Legislature of the State of Florida:
38
39     Section 1.  Section 550.26357, Florida Statutes, is created
40to read:
41     550.26357  Breeders' Cup Permanent Meet.-
42     (1)  Notwithstanding any provision of law to the contrary,
43upon designation by Breeders' Cup Limited of the facility of any
44Florida horseracing permitholder to be the permanent home of the
45Breeders' Cup series of horseraces or to be one of the sites
46included in a rotation of designated sites for the Breeders' Cup
47series of horseraces, there is created a special thoroughbred
48race meet designated as the "Breeders' Cup Permanent Meet" which
49shall be conducted annually at the facility of the Florida
50permitholder so designated. Upon the designation of the facility
51of a Florida horseracing permitholder as the location for the
52Breeders' Cup Permanent Meet and the filing of the application
53by the designated permitholder, the division shall issue a
54thoroughbred racing permit to the designated permitholder to
55operate the Breeders' Cup Permanent Meet, which permit shall be
56known as the Breeders' Cup Permit.
57     (2)  The Breeders' Cup Permanent Meet shall commence on the
58day on which the Breeders' Cup races are first conducted and
59shall continue through the following November 30. In order to
60provide for consistency and certainty in the annual racing
61schedule, the Breeders' Cup Permanent Meet shall be conducted
62annually at the facility of the designated permitholder
63regardless of whether the annual Breeders' Cup series of
64horseraces is conducted live at the facility of the Florida
65permitholder that holds the Breeders' Cup Permit in any
66particular year. The holder of the Breeders' Cup Permit shall
67comply with the requirements of s. 550.01215 with regard to
68application for an annual license to conduct the Breeders' Cup
69Permanent Meet, which license shall be issued by the division as
70otherwise provided in s. 550.01215. Notwithstanding any other
71provision of law, the provisions of this chapter relating to
72referendum requirements for the issuance of a pari-mutuel permit
73or which otherwise impose mileage limitations on the location of
74a new pari-mutuel permit do not apply to the permit created
75under this section.
76     (3)  The permitholder conducting the Breeders' Cup
77Permanent Meet is specifically authorized to create pari-mutuel
78pools during the Breeders' Cup Permanent Meet by accepting pari-
79mutuel wagers on the horseraces run during the meet.
80     (4)  A permitholder located within 35 miles of the
81permitholder conducting the Breeders' Cup Permanent Meet may not
82conduct a thoroughbred race meet on any of the days of the
83Breeders' Cup Permanent Meet; however, as compensation for the
84loss of racing days, any such operating permitholder shall
85receive a credit against the taxes otherwise due and payable to
86the state under ss. 550.0951 and 550.09515. The credit shall be
87in an amount equal to the actual operating loss determined to
88have been suffered by the operating permitholder as a result of
89not operating on the prohibited racing days, not to exceed
90$950,000 in any one year. The determination of the amount to be
91credited shall be made by the division upon application by the
92operating permitholder. The tax credits provided under this
93subsection shall be available to an operating permitholder who
94is required to close a bona fide meet consisting in part of no
95fewer than 10 scheduled performances in the 15 days immediately
96preceding the Breeders' Cup Permanent Meet and who does not
97conduct additional thoroughbred racing performances during the
98remainder of the calendar year after the conclusion of the
99Breeders' Cup Permanent Meet. Such tax credit shall be in lieu
100of any other compensation or consideration for the loss of
101racing days. There shall be no replacement or makeup of any lost
102racing days.
103     (5)  Notwithstanding any provision of ss. 550.0951 and
104550.09515, the permitholder conducting the Breeders' Cup
105Permanent Meet is exempt from paying taxes on the handle
106included within the pari-mutuel pools of the permitholder for
107the day or the days on which the races sponsored by Breeders'
108Cup Limited are conducted live at the facility of the Florida
109permitholder that holds the Breeders' Cup Permit.
110     (6)  The permitholder conducting the Breeders' Cup
111Permanent Meet shall receive a credit against the taxes
112otherwise due and payable to the state under ss. 550.0951 and
113550.09515 generated during the Breeders' Cup Permanent Meet.
114This credit shall be in an amount not to exceed $950,000 and
115shall be used by the permitholder to pay the purses offered by
116the permitholder during the Breeders' Cup Permanent Meet in
117excess of the purses that the permitholder is otherwise required
118by law to pay. The amount to be credited shall be determined by
119the division upon application of the permitholder that is
120subject to audit by the division.
121     (7)  In addition to the credit received under subsection
122(6), the permitholder conducting the Breeders' Cup Permanent
123Meet shall receive a credit against the taxes otherwise due and
124payable to the state under ss. 550.0951 and 550.09515 generated
125during the Breeders' Cup Permanent Meet. This credit shall be in
126an amount not to exceed $950,000 and shall be used by the
127permitholder for such capital improvements and extraordinary
128expenses as may be necessary for operation of the Breeders' Cup
129Permanent Meet. The amount to be credited shall be determined by
130the division upon application of the permitholder that is
131subject to audit by the division.
132     (8)  The permitholder conducting the Breeders' Cup
133Permanent Meet is exempt from the payment of purses and all
134other payments to horsemen on all on-track, intertrack,
135interstate, and international wagers or rights fees or payments
136arising therefrom for the day or the days upon which the races
137sponsored by Breeders' Cup Limited are conducted live at the
138facility of the Florida permitholder that holds the Breeders'
139Cup Permit.
140     (9)(a)  Pursuant to s. 550.3551(2), the permitholder
141conducting the Breeders' Cup Permanent Meet may transmit
142broadcasts of the live races conducted during the Breeders' Cup
143Permanent Meet to locations outside this state for wagering
144purposes. The division may approve broadcasts to pari-mutuel
145permitholders and other betting systems authorized under the
146laws of any other state or country. Wagers accepted by any out-
147of-state pari-mutuel permitholder or betting system on any races
148broadcast under this section may be, but are not required to be,
149commingled with the pari-mutuel pools of the permitholder
150conducting the Breeders' Cup Permanent Meet. The calculation of
151any payoff on national pari-mutuel pools with commingled wagers
152may be performed by the permitholder's totalisator contractor at
153a location outside this state. Pool amounts from wagers placed
154at pari-mutuel facilities or other betting systems in foreign
155countries before being commingled with the pari-mutuel pool of
156the Florida permitholder conducting the Breeders' Cup Permanent
157Meet shall be calculated by the totalisator contractor and
158transferred to the commingled pool in United States currency in
159cycles customarily used by the permitholder. Pool amounts from
160wagers placed at any foreign pari-mutuel facility or other
161betting system may not be commingled with a Florida pool until a
162determination is made by the division that the technology used
163by the totalisator contractor is adequate to ensure commingled
164pools will result in the calculation of accurate payoffs to
165Florida bettors. Any totalisator contractor at a location
166outside this state must comply with the totalisator licensing
167requirements in s. 550.495.
168     (b)  The permitholder conducting the Breeders' Cup
169Permanent Meet may transmit broadcasts of the live races
170conducted during the Breeders' Cup Permanent Meet to other pari-
171mutuel facilities located in this state for wagering purposes.
172However, the permitholder conducting the Breeders' Cup Permanent
173Meet is not required to transmit broadcasts to any pari-mutuel
174facility located within 25 miles of the facility at which the
175Breeders' Cup Permanent Meet is conducted.
176     (10)  The exemption from the tax credits provided in
177subsections (4), (6), and (7) may not be granted and may not be
178claimed by any permitholder until an audit is completed by the
179division. The division is required to complete the audit within
18030 days after receipt of the necessary documentation from the
181permitholder to verify the permitholder's claim for tax credits.
182If the documentation submitted by the permitholder is incomplete
183or is insufficient to document the permitholder's claim for tax
184credits, the division may request such additional documentation
185as is necessary to complete the audit. Upon receipt of the
186division's written request for additional documentation, the 30-
187day time limitation shall commence anew. Any dispute between the
188division and any permitholder regarding the tax credits
189authorized under subsection (4), subsection (6), or subsection
190(7) shall be determined by a hearing officer of the Division of
191Administrative Hearings under s. 120.57(1).
192     (11)  The division may adopt such rules as are necessary to
193facilitate the conduct of the Breeders' Cup Permanent Meet as
194authorized in this section. The division may also adopt or waive
195rules relating to the overall conduct of racing during the
196Breeders' Cup Permanent Meet to ensure the integrity of the
197races, licensing for all participants, special stabling and
198training requirements for foreign horses, commingling of pari-
199mutuel pools, and audit requirements for tax credits and other
200benefits.
201     (12)  Notwithstanding any provision of law to the contrary,
202if at the time of the issuance of the Breeders' Cup Permit the
203facility identified in the Breeders' Cup Permit is located in a
204county in which slot machines are authorized and slot machines
205are not authorized at the facility identified in the Breeders'
206Cup Permit, the facility identified in the Breeders' Cup Permit
207shall be deemed an eligible facility for the purposes of slot
208machine activities and licensure under chapter 551; and, upon
209submission of the necessary applications for licensure under
210chapter 551, the division shall issue a slot machine license for
211the facility identified in the Breeders' Cup Permit. For the
212purposes of s. 551.104(10) and notwithstanding any provision
213therein to the contrary, the horsemen's association with which
214the holder of the Breeders' Cup Permit must be under contract
215shall be the association that represents the majority of
216horsemen that race at the facility under all of the permits
217operated at the facility annually.
218     (13)  The Breeders' Cup Permit issued under this section is
219not subject to revocation, suspension, or escheatment, except as
220otherwise provided in this chapter for the revocation,
221suspension, or escheatment of thoroughbred permits generally.
222     (14)  The provisions of this section shall prevail over any
223conflicting provisions of this chapter.
224     Section 2.  This act shall take effect July 1, 2012.


CODING: Words stricken are deletions; words underlined are additions.