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Key: (1) language to be deleted (2) new language

  

                         Laws of Minnesota 1991 

                        CHAPTER 330-S.F.No. 1316 
           An act relating to horse racing; authorizing the 
          commission to adopt rules governing affirmative action 
          plan goals and economic opportunity contract goals; 
          amending Minnesota Statutes 1990, sections 240.06, 
          subdivision 1; 240.07, subdivision 1; 240.19; and 
          240.23. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1990, section 240.06, 
subdivision 1, is amended to read: 
    Subdivision 1.  [APPLICATION.] The commission may issue one 
or more class A licenses, but not more than one to any one 
person.  An application for a class A license must be on a form 
the commission prescribes and must be accompanied by detailed 
plans and specifications of the track, buildings, fences, and 
other improvements.  The application must contain:  
    (a) the name and address of the applicant and, if it is a 
corporation, the names of all officers, directors, and 
shareholders of the corporation and any of its holding 
corporations; 
    (b) if required by the commission, the names of any person 
or persons holding directly, indirectly, or beneficially an 
interest of any kind in the applicant or any of its holding 
corporations, whether the interest is financial, administrative, 
policy making, or supervisory; 
    (c) a statement of the assets and liabilities of the 
applicant; 
     (d) an affidavit executed by the applicant setting forth 
that no officer, director, or other person with a present or 
future direct or indirect financial or management interest in 
the racetrack, to the best of the applicant's knowledge:  
     (1) is in default in the payment of an obligation or debt 
to the state under Laws 1983, chapter 214; 
     (2) has ever been convicted of a felony in a state or 
federal court or has a state or federal felony charge pending; 
     (3) is or has been connected with or engaged in any illegal 
business; 
     (4) has ever been found guilty of fraud or 
misrepresentation in connection with racing or breeding; 
      (5) has ever been found guilty of a violation of a law or 
rule relating to horse racing, pari-mutuel betting or any other 
form of gambling which is a serious violation as defined by the 
commission's rules; or 
      (6) has ever knowingly violated a rule or order of the 
commission or a law of Minnesota relating to racing; 
     (e) an irrevocable consent statement, to be signed by the 
applicant, which states that suits and actions relating to the 
subject matter of the application or acts or omissions arising 
from it may be commenced against the applicant in any court of 
competent jurisdiction in this state by the service on the 
secretary of state of any summons, process, or pleadings 
authorized by the laws of this state.  If any summons, process, 
or pleadings is served upon the secretary of state, it must be 
by duplicate copies.  One copy must be retained in the office of 
the secretary of state and the other copy must be forwarded 
immediately by certified mail to the address of the applicant, 
as shown by the records of the commission; and 
      (f) an affirmative action plan establishing goals and 
timetables consistent with the Minnesota human rights act, 
chapter 363, and in conformity with the goals established by the 
commission by rule.  
    Sec. 2.  Minnesota Statutes 1990, section 240.07, 
subdivision 1, is amended to read: 
     Subdivision 1.  [APPLICATION.] The commission may issue one 
or more class B licenses for the sponsorship and management of 
horse racing at licensed racetracks.  An application for a class 
B license must be on a form the commission prescribes, and must 
be accompanied by a bond in the principal amount of $500,000 
payable to the state of Minnesota conditioned on the licensee's 
payment of all fees, taxes, and other money due and payable 
under Laws 1983, chapter 214, including horse owner's purses and 
payouts on winning pari-mutuel tickets.  
     The application must contain:  
     (a) the name and address of the applicant and, if it is a 
corporation or association, the names of all officers, 
directors, and shareholders, including those of any of its 
holding companies; 
     (b) if required by the commission, the names of any person 
or persons holding, directly, indirectly, or beneficially, an 
interest of any kind in the applicant or any of its holding 
companies, whether the interest is financial, administrative, 
policy making, or supervisory; 
    (c) a statement of the assets and liabilities of the 
applicant; 
     (d) an affidavit of the type described in section 240.06, 
subdivision 1, clause (d); 
     (e) an irrevocable consent statement, to be signed by the 
applicant, which states that suits and actions relating to the 
subject matter of the application or acts or omissions arising 
from it may be commenced against the applicant in any court of 
competent jurisdiction in this state by the service on the 
secretary of state of any summons, process, or pleadings 
authorized by the laws of this state.  If any summons, process, 
or pleadings is served upon the secretary of state, it must be 
by duplicate copies.  One copy must be retained in the office of 
the secretary of state and the other copy must be forwarded 
immediately by certified mail to the address of the applicant, 
as shown by the records of the commission; and 
    (f) an affirmative action plan establishing goals and 
timetables consistent with the Minnesota Human Rights Act, 
chapter 363, and in conformity with the goals established by the 
commission by rule.  
    Sec. 3.  Minnesota Statutes 1990, section 240.19, is 
amended to read: 
    240.19 [CONTRACTS.] 
    The commission shall by rule require that all contracts 
entered into by a class A, class B, or class D licensee for the 
provision of goods or services, including concessions contracts, 
be subject to commission approval.  The rules must require that 
the contract include an affirmative action plan establishing 
goals and timetables consistent with the Minnesota Human Rights 
Act, chapter 363.  The rules may also establish goals to provide 
economic opportunity for disadvantaged and emerging small 
businesses, racial minorities, women, and disabled individuals.  
The commission may require a contract holder to submit to it 
documents and records the commission deems necessary to evaluate 
the contract.  
    Sec. 4.  Minnesota Statutes 1990, section 240.23, is 
amended to read: 
    240.23 [RULEMAKING AUTHORITY.] 
    The commission has the authority, in addition to all other 
rulemaking authority granted elsewhere in Laws 1983, chapter 
214, to promulgate rules governing:  
    (a) the conduct of horse races held at licensed racetracks 
in Minnesota, including but not limited to the rules of racing, 
standards of entry, operation of claiming races, filing and 
handling of objections, carrying of weights, and declaration of 
official results; 
    (b) wire communications between the premises of a licensed 
racetrack and any place outside the premises; 
    (c) information on horse races which is sold on the 
premises of a licensed racetrack; 
    (d) liability insurance which it may require of all class 
A, class B, and class D licensees; 
    (e) the auditing of the books and records of a licensee by 
an auditor employed or appointed by the commission; 
    (f) emergency action plans maintained by licensed 
racetracks and their periodic review; 
    (g) safety, security, and sanitation of stabling facilities 
at licensed racetracks; 
    (h) entry fees and other funds received by a licensee in 
the course of conducting racing which the commission determines 
must be placed in escrow accounts; and 
    (i) affirmative action in employment and contracting by 
class A, class B, and class D licensees; and 
    (j) any other aspect of horse racing or pari-mutuel betting 
which in its opinion affects the integrity of racing or the 
public health, welfare, or safety.  
     Rules of the commission are subject to chapter 14, the 
Administrative Procedure Act. 
    Presented to the governor May 31, 1991 
    Signed by the governor June 4, 1991, 8:56 p.m.

Official Publication of the State of Minnesota Revisor of Statutes