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HF 2483

as introduced - 92nd Legislature (2021 - 2022) Posted on 04/09/2021 11:30am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to horse racing; modifying provisions relating to advance deposit wagering;
amending Minnesota Statutes 2020, sections 240.01, subdivision 18; 240.06,
subdivision 7; 240.11; 240.131, subdivision 7; 240.24, subdivisions 2a, 3; 240.30,
subdivision 5.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2020, section 240.01, subdivision 18, is amended to read:


Subd. 18.

Racing meeting.

"Racing meeting" is a series of days in which racing days
are not separated by more than five nonracing daysnew text begin unless approved in advance by the
commission
new text end.

Sec. 2.

Minnesota Statutes 2020, section 240.06, subdivision 7, is amended to read:


Subd. 7.

License suspension and revocation.

The commission:

(1) may revoke a class A license for (i) a violation of law, order, or rule which in the
commission's opinion adversely affects the integrity of horse racing in Minnesota, or for
an intentional false statement made in a license application, or (ii) a willful failure to pay
any money required to be paid by Laws 1983, chapter 214;

(2) may revoke a class A license for failure to perform material covenants or
representations made in a license application; and

(3) shall revoke a class A license if live racing has not been conducted on at least 50
racing days assigned by the commission during any period of 12 consecutive months, unless
the commission authorizes a shorter period because of circumstances beyond the licensee's
controlnew text begin pursuant to section 240.30, subdivision 5new text end.

The commission may suspend a class A license for up to one year for a violation of law,
order, or rule which in the commission's opinion adversely affects the integrity of horse
racing in Minnesota, and may suspend a class A license indefinitely if it determines that
the licensee has as an officer, director, shareholder, or other person with a direct, indirect,
or beneficial interest a person who is in the commission's opinion inimical to the integrity
of horse racing in Minnesota or who cannot be certified under subdivision 1, clause (4).

A license revocation or suspension under this subdivision is a contested case under
sections 14.57 to 14.69 of the Administrative Procedure Act, and is in addition to criminal
penalties imposed for a violation of law or rule.

Sec. 3.

Minnesota Statutes 2020, section 240.11, is amended to read:


240.11 LICENSES NONTRANSFERABLE.

new text begin (a) Except as provided in paragraph (b), new text enda license issued under this chapter may not be
transferred.

new text begin (b) A class A, class B, class C, or class D license to provide advance deposit wagering
may be transferred with prior approval by the commission.
new text end

Sec. 4.

Minnesota Statutes 2020, section 240.131, subdivision 7, is amended to read:


Subd. 7.

Payments to state.

(a) A regulatory fee is imposed at the rate of two percent
of all amounts wagered by Minnesota residents with an authorized advance deposit wagering
provider. The fee shall be declared on a form prescribed by the commission. The ADW
provider must pay the fee to the commission no more than 15 days after the end of the month
in which the wager was made. Fees collected under this paragraph must be deposited in the
state treasury and credited to a racing and card-playing regulation account in the special
revenue fund and are appropriated to the commission to offset the costsnew text begin incurred by the
commission as described in section 240.30, subdivision 9, or the costs
new text end associated with
regulating horse racing and pari-mutuel wagering in Minnesota.

(b) A breeders fund fee is imposed in the amount of one-quarter of one percent of all
amounts wagered by Minnesota residents with an authorized advance deposit wagering
provider. The fee shall be declared on a form prescribed by the commission. The ADW
provider must pay the fee to the commission no more than 15 days after the end of the month
in which the wager was made. Fees collected under this paragraph must be deposited in the
state treasury and credited to a racing and card-playing regulation account in the special
revenue fund and are appropriated to the commission to offset the cost of administering the
breeders fund and promote horse breeding in Minnesota.

Sec. 5.

Minnesota Statutes 2020, section 240.24, subdivision 2a, is amended to read:


Subd. 2a.

Reimbursement.

Increased expenses related to the use of upgraded drug
testing technologies and procedures are deemed to be necessary costs within the meaning
of section 240.155 and the commission deleted text beginshalldeleted text endnew text begin maynew text end be reimbursed for these expenses from
receipts from card playing activities regulated by the commission.

Sec. 6.

Minnesota Statutes 2020, section 240.24, subdivision 3, is amended to read:


Subd. 3.

Fees.

The commission shall establish by rule a fee or schedule of feesnew text begin that may
be used
new text end to recover the costs of medical testing of horses running at racetracks licensed by
the commission. Fees charged for the testing of horses shall cover the cost of the medical
testing laboratory. Fee receipts shall be deposited in the state treasury and credited to the
racing reimbursement account.

Sec. 7.

Minnesota Statutes 2020, section 240.30, subdivision 5, is amended to read:


Subd. 5.

Limitation.

new text begin(a) new text endThe commission shall not authorize a licensee to operate a card
club if the licensee has not conducted at least 50 days of live racing at a class A facility
within the past 12 months or during the preceding calendar year unless the commission
authorizes a shorter period deleted text beginbecause ofdeleted text endnew text begin as a result of an epidemic, natural disaster, flood,
war, or other
new text end circumstances beyond the licensee's controlnew text begin that made conducting 50 days of
live racing untenable for either public or equine health, welfare, or safety
new text end.

new text begin (b) Any authorization by the commission for a shorter period under paragraph (a), must
be approved in writing by the horsepersons' organization representing the majority of
horsepersons racing the breed racing the majority of races at the licensee's class A facility
during the preceding 12 months.
new text end