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HomeMy WebLinkAboutFlorida House of Representatives HB 1453 by Representative Bitner Florida House of Representatives - 1999 By Representative Bitner HB 14 5 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 A bill to be entitled An act relating to video lotteries for educational facilities; amending s. 24.101, F.S.; redesignating chapter 24 of the Florida Statutes as the "Florida Public Education Lottery Chapter"; amending ss. 24.102, 24.108, 24.111, 24.118, and 24.120, F.S., to conform; making technical corrections within the chapter; amending s. 24.103, F.S., relating to definitions; defining the terms "video lottery game," "video lottery terminal vendor," "net terminal income," and "video lottery retailer"; amending s. 24.105, F.S.; providing duties of the Department of the Lottery relating to establishment and operation of video lottery games; providing specific rulemaking authority; amending s. 24.1055, F.S.; correcting a reference; prohibiting participation of minors in video lottery games; requiring warning signs; providing criminal penalties; creating s. 24.1121, F.S.; providing requirements for video lottery games and retailers; providing suspension powers to the Department of the Lottery; providing for fines; providing for enforcement of suspension orders or fines in circuit court; providing for allocation of net terminal income; providing for distribution of proceeds; providing for transfer of funds into the Public Education Capital Outlay and Debt Service Trust Fund; prohibiting manipulation or attempted manipulation of lottery games or 1 CODING: words st:r ickeI.L are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 authority; creating s. 550.26325, F.S., relating to the distribution of funds from the Video Lottery Thoroughbred Trust Fund; requiring certain uses of distributed funds; providing for periodic calculations for the distribution of proceeds in future years; amending s. 550.2625, F.S.; requiring that the Division of Pari-Mutuel Wagering of the Department of Business and Professional Regulation adopt rules regarding the distribution of certain awards and funds, including video lottery proceeds, received for distribution to thoroughbred owners and breeders by pari-mutuel permitholders or by horsemen's or breeders' associations; providing administrative fines for underpaying purses or awards; requiring periodic audited accountings by permitholders and by horsemen's and breeders' associations; creating s. 550.401, F.S.; prohibiting the cancellation of certain contracts by greyhound racing tracks; amending s. 550.615, F.S.; providing that pari-mutuel facilities are not required to broadcast their intertrack signals to other facilities located in the same county; requiring approval of certain intertrack contracts; requiring written consent of certain permitholders relating to intertrack wagering; amending s. 550.6305, F.S.; providing that pari-mutuel facilities are not required to broadcast their intertrack signals to other facilities located in the same 3 CODING:Words stxicken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 have established a lengthy record of complying with the laws 2 of this state, and 3 WHEREAS, the amount which may be wagered at a licensed 4 facility has been unlimited, and 5 WHEREAS, there are a limited number of pari-mutuel 6 permits in Florida, and 7 WHEREAS, the Legislature has determined that permitting 8 video lottery terminals in licensed pari-mutuel facilities 9 will provide needed revenue for the construction of 10 educational facilities, enhance the economic vitality of the 11 pari-mutuel industry and the economic vitality of the State as 12 a whole, and ensure the protection of the public interests, 13 NOW, THEREFORE, 14 15 Be It Enacted by the Legislature of the State of Florida: 16 17 Section 1. Section 24.101, Florida Statutes, is 18 amended to read: 19 24.101 Short title.--This chapter act may be cited as 20 the "Florida Public Education Lottery Chapter 1!tct." 21 Section 2. Section 24.102, Florida Statutes, is 22 amended to read: 23 24.102 Purpose and intent.-- 24 (1) The purpose of this chapter act is to implement s. 25 15, Art. X of the State Constitution in a manner that enables 26 the people of the state to benefit from significant additional 27 moneys for education and also enables the people of the state 28 to play the best lottery games available. 29 (2) The intent of the Legislature is: 30 (a) That the net proceeds of lottery games conducted 31 pursuant to this chapter act be used to support improvements 5 CODING:Words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 lottery game play purposes of a player's selections in any 2 lottery game involving player selections, any goods or 3 services involving the receiving of a player's selection 4 directly from a player in any lottery game involving player 5 selections, any goods or services involving the drawing, 6 determination, or generation of winners in any lottery game, 7 the security report services provided for in this chapter act, 8 or any goods and services relating to marketing and promotion 9 which exceed a value of $25,000. 10 (6) "Retailer" means a person who sells lottery 11 tickets on behalf of the department pursuant to a contract. 12 (7) "Vendor" means a person who provides or proposes 13 to provide goods or services to the department, but does not 14 include an employee of the department, a retailer, or a state 15 agency. 16 (8) "Video lottery game" means an electronically 17 simulated game involving any element of chance that is played 18 on a video lottery terminal that, upon insertion of cash, 19 tokens, credits, or voucher, is available to play or simulate 20 a lottery-type game, including, but not limited to, line-up 21 games utilizing a video display and microprocessors, and in 22 which, by means of an element of chance, the player may 23 receive credits that can be redeemed for cash. "Video lottery 24 game" also means an electronically simulated game involving 25 elements of chance and skill that is played on a video lottery 26 terminal that, upon insertion of cash, tokens, credits, or 27 voucher, is available to play or simulate the play of 28 traditional card games including, but not limited to, video 29 poker, utilizing a cathode ray tube or video display screen 30 and microprocessors, and in which the player may win credits 31 that can be redeemed for cash. "Video lottery game" also 7 CODING:Words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HE 1453 1 (2) (a) supervise and administer the operation of the 2 lottery in accordance with the provisions of this chapter act 3 and rules adopted pursuant thereto. 4 (b)l. Initiate the public sale of lottery tickets with 5 an instant game starting no later than January 15, 1988. If 6 the secretary finds that a state of emergency exists that 7 would prohibit the department from initiating such sale on or 8 before such date or that would cause the initiation of such 9 sale on or before such date to be clearly contrary to the 10 integrity of the state, the secretary shall certify such 11 finding to the Governor. If the Governor verifies such 12 finding, the department shall initiate the sale of lottery 13 tickets on the earliest feasible date after the abatement of 14 such state of emergency. 15 2. Also begin to operate on-line games no later than 16 May 1, 1988. If the secretary finds that a state of emergency 17 exists that would prohibit the department from initiating such 18 on-line games on or before such date or that would cause the 19 initiation of on-line games on or before such date to be 20 clearly contrary to the integrity of the state, the secretary 21 shall certify such finding to the Governor. If the Governor 22 verifies such finding, the department shall initiate the sale 23 of lottery tickets on the earliest feasible date after the 24 abatement of such state of emergency. 25 (3) For purposes of any investigation or proceeding 26 conducted by the department, have the power to administer 27 oaths, require affidavits, take depositions, issue subpoenas, 28 and compel the attendance of witnesses and the production of 29 books, papers, documents, and other evidence. 30 31 9 CODING:words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 (10) Have in place the capacity to support video 2 lottery games at facilities of video lottery retailers 3 beginning no later than October 1, 1999. 4 (11) Hear and decide promptly and in reasonable order 5 all license applications or proceedings for suspension or 6 revocation of licenses. 7 (12) Collect and disperse such revenue due the 8 department as described in this chapter. 9 (13) Certify net terminal income by inspecting 10 records, conducting audits, or any other reasonable means. 11 (14) Provide a list of approved vendors and maintain a 12 current list of all contracts between video lottery terminal 13 vendors and video lottery retailers. 14 (15) Approve an application as a video lottery 15 retailer, pursuant to s. 24.103(11) within 30 days of the 16 receipt of the application. 17 (16){rfrT Adopt rules governing the establishment and 18 operation of the state lottery, including: 19 (a) The type of lottery games to be conducted, except 20 that: 21 1. No name of an elected official shall appear on the 22 ticket or play slip of any lottery game or on any prize or on 23 any instrument used for the payment of prizes, unless such 24 prize is in the form of a state warrant. 25 2. No coins or currency shall be dispensed from any 26 electronic computer terminal or device used in any lottery 27 game. 28 3. Other than as provided in subparagraph 4., no 29 terminal or device may be used for any lottery game which may 30 be operated solely by the player without the assistance of the 31 11 CODING:words 5txicken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 (f) The frequency of drawings or selections of winning 2 tickets. 3 (g) The number and type of locations at which tickets 4 may be purchased. 5 (h) The method to be used in selling tickets. 6 (i) The manner and amount of compensation of 7 retailers. 8 (j) Such other matters necessary or desirable for the 9 efficient or economical operation of the lottery or for the 10 convenience of the public. 11 (k) The regulation of video lottery retailers as 12 pertains to video lottery products. 13 (1) Specifications for video lottery terminals to be 14 approved and authorized as the department deems necessary to 15 maintain the integrity of video lottery games and terminals. 16 Initial rules sufficient to permit the operation of video 17 lotteries and the licensing of video lottery retailers shall 18 be adopted no later than August 1, 1999. The department shall 19 not provide for specifications which would have the result of 20 reducing to fewer than four the number of video lottery 21 terminal vendors who supply terminals which meet the 22 specifications. 23 (m) The licensure and regulation of video lottery 24 terminal vendors. The department shall not approve any person 25 as a video lottery terminal vendor if such person has an 26 interest in a video lottery retailer or a business 27 relationship with a video lottery retailer other than as a 28 vendor or lessor of video lottery terminals. 29 (17)+rrt Have the authority to hold copyrights, 30 trademarks, and service marks and enforce its rights with 31 respect thereto. 13 CODING:Words ~t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 winner consents to the release of such information or as 2 provided for in s. 24.115(4) or s. 409.2577. 3 (c) Any information made confidential and exempt from 4 the provisions of s. 119.07(1) under this subsection shall be 5 disclosed to a member of the commission, to the Auditor 6 General, or to the independent auditor selected under s. 7 24.123 upon such person's. request therefor. If the President 8 of the Senate or the Speaker of the House of Representatives 9 certifies that information made confidential under this 10 subsection is necessary for effecting legislative changes, the 11 requested information shall be disclosed to him or her, and he 12 or she may disclose such information to members of the 13 Legislature and legislative staff as necessary to effect such 14 purpose. 15 (20)~ Have the authority to perform any of the 16 functions of the Department of Management Services under 17 chapter 255, chapter 273, chapter 281, chapter 283, or chapter 18 287, or any rules adopted under any such chapter, and may 19 grant approvals provided for under any such chapter or rules. 20 If the department finds, by rule, that compliance with any 21 such chapter would impair or impede the effective or efficient 22 operation of the lottery, the department may adopt rules 23 providing alternative procurement procedures. Such 24 alternative procedures shall be designed to allow the 25 department to evaluate competing proposals and select the 26 proposal that provides the greatest long-term benefit to the 27 state with respect to the quality of the products or services, 28 dependability and integrity of the vendor, dependability of 29 the vendor's products or services, security, competence, 30 timeliness, and maximization of gross revenues and net 31 proceeds over the life of the contract. 15 CODING:Words 5t~ick~n are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 (a) No person shall be employed by the department who 2 has been convicted of, or entered a plea of guilty or nolo 3 contendere to, a felony committed in the preceding 10 years, 4 regardless of adjudication, unless the department determines 5 that: 6 1. The person has been pardoned or his or her civil 7 rights have been restored; or 8 2. Subsequent to such conviction or entry of plea the 9 person has engaged in the kind of law-abiding commerce and 10 good citizenship that would reflect well upon the integrity of 11 the lottery. 12 (b) No officer or employee of the department having 13 decisionmaking authority shall participate in any decision 14 involving any vendor or retailer with whom the officer or 15 employee has a financial interest. No such officer or 16 employee may participate in any decision involving any vendor 17 or retailer with whom the officer or employee has discussed 18 employment opportunities without the approval of the secretary 19 or, if such officer is the secretary or any member of the 20 commission, without the approval of the Governor. Any officer 21 or employee of the department shall notify the secretary of 22 any such discussion or, if such officer is the secretary or a 23 member of the commission, he or she shall notify the Governor. 24 A violation of this paragraph is punishable in accordance with 25 s. 112.317. 26 (c) No officer or employee of the department who 27 leaves the employ of the department shall represent any vendor 28 or retailer before the department regarding any specific 29 matter in which the officer or employee was involved while 30 employed by the department, for a period of 1 year following 31 17 CODING:Words stricker. are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 standards of conduct for public officers and employees imposed 2 by law. 3 Section 5. Section 24.1055, Florida Statutes, is 4 amended to read: 5 24.1055 Prohibition against sale of lottery tickets to 6 minors; posting of signs; penalties.-- 7 (1) No person who is less than 18 years of age may 8 purchase a lottery ticket by means of a machine or otherwise. 9 (2) Any retailer that sells lottery tickets by means 10 of a player activated machine shall post a clear and 11 conspicuous sign on such machine, which states the following: 12 THE SALE OF LOTTERY TICKETS TO PERSONS UNDER 13 THE AGE OF 18 IS AGAINST FLORIDA LAW (SECTION 14 24.1055 24.10~, FLORIDA STATUTES). PROOF OF 15 AGE IS REQUIRED FOR PURCHASE. 16 (3) No person who is less than 18 years of age may 17 playa video lottery game authorized by this chapter. 18 (4) Any video lottery retailer that has a video 19 lottery terminal at its facility shall post a clear and 20 conspicuous sign on such terminal, which states the following: 21 THE USE OF A VIDEO LOTTERY TERMINAL BY PERSONS 22 UNDER THE AGE OF 18 IS AGAINST FLORIDA LAW 23 (SECTION 24.1055, FLORIDA STATUTES). PROOF OF 24 AGE IS REQUIRED FOR USE. 25 ~~ Any person, including any vendor or video 26 lottery retailer, who violates this section is guilty of a 27 misdemeanor of the second degree, punishable as provided in s. 28 775.082 or s. 775.083. 29 Section 6. Subsections (5) and (7) of section 24.108, 30 Florida Statutes, are amended to read: 31 19 CODING:Words stxicken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HE 1453 1 Governor, and the Auditor General; however, upon certification 2 that such information is necessary for the purpose of 3 effecting legislative changes, such information shall be 4 disclosed to the President of the Senate and the Speaker of 5 the House of Representatives, who may disclose such 6 information to members of the Legislature and legislative 7 staff as necessary to effect such purpose. However, any person 8 who receives a copy of such information or other information 9 which is confidential pursuant to this chapter act or rule of 10 the department shall maintain its confidentiality. The 11 confidential portion of the report is exempt from the 12 provisions of s. 119.07(1) and s. 24(a), Art. I of the State 13 Constitution. 14 (c) Thereafter, similar studies of security shall be 15 conducted as the department deems appropriate but at least 16 once every 2 years. 17 Section 7. Subsection (1) of section 24.111, Florida 18 Statutes, 1998 Supplement, is amended to read: 19 24.111 Vendors; disclosure and contract 20 requirements.-- 21 (1) The department may enter into contracts for the 22 purchase, lease, or lease-purchase of such goods or services 23 as are necessary for effectuating the purposes of this chapter 24 act. The department may not contract with any person or 25 entity for the total operation and administration of the state 26 lottery established by this chapter act but may make 27 procurements which integrate functions such as lottery game 28 design, supply of goods and services, and advertising. In all 29 procurement decisions, the department shall take into account 30 the particularly sensitive nature of the state lottery and 31 shall consider the competence, quality of product, experience, 21 CODING:Words 6tricken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 the required number of live races or games, within 30 days 2 after written notice from the department, the department shall 3 order the video lottery retailer to suspend its video lottery 4 operation. The department may assess an administrative fine 5 not to exceed $5,000 per video lottery terminal, per day, 6 against any video lottery retailer who fails to suspend its 7 video lottery operation when ordered to suspend by the 8 department. The department may enforce its order of suspension 9 or any administrative fine assessed in furtherance of such 10 order as provided in s. 120.69. Each video lottery retailer 11 shall post a bond payable to the state in an amount determined 12 by the department that is sufficient to guarantee payment to 13 the state of revenue due in any payment period. 14 (2) Each pari-mutuel permitholder shall notify the 15 department prior to operating video lottery games at the 16 pari-mutuel facility. 17 (3) To facilitate the auditing and security programs 18 critical to the integrity of the video lottery system, the 19 department shall have overall control of the entire system. 20 Each video lottery terminal shall be linked, directly or 21 indirectly, to a computer system under the control of the 22 department. 23 (4) The department shall determine, by rule, the 24 method by which cash receipts will be electronically validated 25 and redeemed. 26 27 video 28 29 video lottery retailer's pari-mutuel facility even if such 30 retailer is not conducting a pari-mutuel event. 31 (5) No person under the age of 18 years may play a lottery game authorized by this chapter. (6) Video lottery games may be played at an authorized 23 CODING:Words stxlckeu are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 (e) If the video lottery retailer holds a valid 2 thoroughbred permit under chapter 550, 20 percent of its net 3 terminal income shall be remitted to the video Lottery 4 Thoroughbred Trust Fund in the Department of Business and 5 Professional Regulation, to be distributed in accordance with 6 s. 550.26325. 7 (f) To be retained by the video lottery retailer as 8 compensation: 9 1. If a valid thoroughbred permitholder under chapter 10 550, 31.75 percent. 11 2. If a holder of a valid harness racing permit under 12 chapter 550, 45.75 percent. 13 3. If a valid holder of a permit other than a 14 thoroughbred permit or harness racing permit, 45.75 percent. 15 (g) If the video lottery retailer holds a valid 16 harness racing permit under chapter 550, 6 percent of its net 17 terminal income shall be distributed by the video lottery 18 retailer as purses for live performances conducted at the 19 video lottery retailer's pari-mutuel facility in accordance 20 with the provisions of chapter 550. 21 (h) If the video lottery retailer holds a valid jai 22 alai permit under chapter 550, 6 percent of its net terminal 23 income shall be distributed by the video lottery retailer as 24 purses for live performances conducted at the video lottery 25 retailer's pari-mutuel facility in accordance with chapter 26 550. 27 (i) If the video lottery retailer holds a valid 28 greyhound racing permit under chapter 550, 6 percent of its 29 net terminal income shall be distributed by the video lottery 30 retailer as purses for live performances conducted at the 31 25 CODING:Words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HE 1453 1 operation of a video lottery terminal by physical or 2 electronic tampering or other means commits a felony of the 3 third degree, punishable as provided in s. 775.082, s. 4 775.083, or s. 775.084. 5 (11) Notwithstanding s. 24.115, each video lottery 6 retailer shall have the responsibility for payment of video 7 lottery prizes. 8 (12) In any area or room in a facility in which a 9 video lottery terminal is placed, the video lottery retailer 10 must also place video monitors displaying the live races or 11 games of that facility, if such are being conducted, or 12 displaying available simulcast races or garnes, if no live 13 races or games are being conducted. In each such area or 14 room, the video lottery retailer shall also provide a means by 15 which patrons may wager on pari-mutuel activity. 16 Section 9. Section 24.1122, Florida Statutes, is 17 created to read: 18 24.1122 Licensure of video lottery terminal 19 vendors.--Video lottery terminal vendors shall be licensed by 20 the Department of the Lottery, and, by August 1, 1999, the 21 department shall adopt rules governing such licensure. The 22 department shall not license any person as a video lottery 23 terminal vendor if such person has an interest in a video 24 lottery retailer or a business relationship with a video 25 lottery retailer other than as a vendor or lessor of video 26 lottery terminals. 27 Section 10. Section 24.1123, Florida Statutes, is 28 created to read: 29 24.1123 Local zoning of pari-mutuel facilities.--The 30 installation, operation, or use of a video lottery terminal on 31 any property on which pari-mutuel operations were or would 27 CODING:Words stricker, are deletions; words underlined are additions. Florida House of Representatives - 1999 s22-144A-99 HB 1453 1 curriculum, a list of instructors and their qualifications, a 2 copy of the instructional materials, and the dates, times, and 3 location of training classes. No service and maintenance 4 program shall be held unless approved by the department. 5 (2) Every video lottery terminal service employee 6 shall complete the requirements of the manufacturer's training 7 program before such employee performs service, maintenance, or 8 repair on video lottery terminals or video lottery terminal 9 associated equipment. Upon the successful completion by a 10 service employee of the training program required by this 11 section, the department shall issue a certificate authorizing 12 such employee to service, maintain, and repair video lottery 13 terminals and video lottery terminal associated equipment. No 14 certificate of completion shall be issued to any video lottery 15 terminal service employee until the department has ascertained 16 that such employee has completed the required training 17 program. Any person certified as a video lottery terminal 18 service employee under this section shall pass a background 19 investigation conducted under the rules of the department. The 20 department may revoke certification upon finding a video 21 lottery terminal service employee in violation of any 22 provision of this chapter or a department rule. 23 (3) The department is authorized to adopt rules 24 regarding the training, qualifications, and certification of 25 video lottery terminal service employees, as provided in this 26 section. 27 Section 13. Section 24.117, Florida Statutes, is 28 amended to read: 29 24.117 Unlawful sale of lottery tickets; penalty.--Any 30 person who knowingly: 31 29 CODING:Words st~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 the trust fund are appropriated to the department for the 2 purposes specified in this chapter act. 3 Section 16. Section 24.122, Florida Statutes, is 4 amended to read: 5 24.122 Exemption from taxation; state preemption; 6 inapplicability of other laws.-- 7 (1) This chapter act shall not be construed to 8 authorize any lottery except the lotteries lotte~y operated or 9 directed by the department pursuant to this chapter act. 10 (2) No state or local tax shall be imposed upon any 11 prize paid or payable under this chapter act or upon the sale 12 of any lottery ticket or the installation, rental, or use of 13 any video lottery terminal pursuant to this chapter act. 14 (3) All matters relating to the operation of the state 15 lottery are preempted to the state, and no county, 16 municipality, or other political subdivision of the state 17 shall enact any ordinance relating to the operation of the 18 lottery authorized by this chapter act. However, this 19 subsection shall not prohibit a political subdivision of the 20 state from requiring a retailer to obtain an occupational 21 license for any business unrelated to the sale of lottery 22 tickets. 23 (4) Any state or local law providing any penalty, 24 disability, restriction, or prohibition for the possession, 25 manufacture, transportation, distribution, advertising, or 26 sale of any lottery ticket, including chapter 849, shall not 27 apply to the tickets of the state lottery operated pursuant to 28 this chapter act; nor shall any such law apply to the 29 possession of a ticket issued by any other government-operated 30 lottery. In addition, activities of the department under this 31 chapter act are exempt from the provisions of: 31 CODING:Words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HE 1453 1 (2) Forty-two percent of the proceeds of the Video 2 Lottery Purse Trust Fund shall be distributed to pari-mutuel 3 permitholders to be distributed as purses at their respective 4 pari-mutuel facilities as follows: 5 (a) Eight percent shall be distributed to holders of 6 valid harness racing permits; 7 (b) Seven percent shall be distributed to holders of 8 valid jail alai permits; 9 (c) Twenty-seven percent shall be distributed to 10 holders of valid greyhound racing permits. 11 12 Each permitholder entitled to receive distributions under a 13 paragraph of this subsection shall receive a percentage of the 14 amount to be distributed under that paragraph which is 15 determined by dividing the amounts paid in purses by such 16 permitholder during the state fiscal year 1997-1998 by the 17 amount of purses paid by all such permitholders statewide 18 during the state fiscal year 1997-1998. 19 (3) All proceeds distributed under this section are in 20 addition to and supplement the other funds set forth in this 21 chapter for use as purses, awards, and, in the case of jai 22 alai, player compensation. 23 (4) Of amounts to be distributed pursuant to this 24 section and s. 24.1121(8) (i) to persons holding valid 25 greyhound racing permits, 10 percent of such sums shall be 26 distributed as additional purses on all live races at each 27 facility to Florida-bred greyhounds in a manner similar to the 28 distribution of regular purses and in accordance with rules 29 adopted by the division. 30 (5) The department is authorized to adopt rules to 31 provide for the equitable distribution of funds by 33 CODING:words 5t~icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 a sum for purses in accordance with the type of race 2 performed. 3 (d) The division shall adopt reasonable rules to 4 ensure the timely and accurate payment of all amounts withheld 5 by horserace permitholders regarding the distribution of 6 purses, Florida breeders' and stallion awards, and Florida 7 owners' awards, and all other amounts received or collected 8 for payment to owners and breeders, including video lottery 9 proceeds. Each permitholder that fails to payout during its 10 meet all moneys received or collected for payment to owners 11 and breeders during that meet shall, within 30 r& days after 12 the end of the meet during which the underpayment occurred 13 peJ.ULi tl!oldeJ:: undeJ::paid PUl ses, deposit an amount equal to the 14 underpayment into a separate interest-bearing account to be 15 distributed to owners and breeders in accordance with division 16 rules. Any permitholder paying out during its meet less than 17 90 percent of all moneys received or collected for payment to 18 owners and breeders during that meet shall be subject to an 19 administrative fine in an amount equal to double the amount of 20 the underpayment. Within 30 days after the end of its meet, 21 each permitholder shall be required to file with the division 22 an audited accounting reflecting the receipt and payment of 23 all sums dedicated to purses, Florida breeders' and stallion 24 awards, and Florida owners' awards. 25 (e) An amount equal to 8.5 percent of the purse 26 account generated through video lottery proceeds pursuant to 27 s. 550.26325(2) ,intertrack wagering and interstate 28 simulcasting will be used for Florida Owners' Awards as set 29 forth in subsection (3). AllY thoJ::ouglillJ..ed J?~J::nlit.holdeJ.. with aI! 30 avezage blended t.akeout. which do~s I~t exceed 20 peJ..cent and 31 ~it.h an aveJ..age daily pUJ::se distJ::ibutioil excluding 35 CODING:Words stJ::icken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HE 1453 1 provisions of s. 550.26315. Thereafter, only those kennel 2 operators can be terminated without cause if the kennel 3 occupies one of the bottom three positions based on total 4 number of wins for two consecutive racing seasons, which may 5 include the 12-month period following the first period that 6 purse payments are made pursuant to the provisions of s. 7 550.26315. 8 Section 22. Subsections (3) and (4) of section 9 550.615, Florida Statutes, 1998 Supplement, are amended to 10 read: 11 550.615 Intertrack wagering.-- 12 (3) (a) If a permitholder who operates as a video 13 lottery retailer as defined in s. 24.103 elects to broadcast 14 its signal to any permitholder in this state, any 15 permitholder, not located in the same county as the host 16 track, that is eligible to conduct intertrack wagering under 17 the provisions of ss. 550.615-550.6345 is entitled to receive 18 the broadcast and conduct intertrack wagering under this 19 section; however, the host track may require a guest track 20 within 25 miles of another permitholder to receive in any week 21 at least 60 percent of the live races that the host track is 22 making available on the days that the guest track is otherwise 23 operating live races or games. A host track may require a 24 guest track not operating live races or games and within 25 25 miles of another permitholder to accept within any week at 26 least 60 percent of the live races that the host track is 27 making available. A permitholder may, pursuant to a written 28 contract, elect to broadcast its signal to any permitholder in 29 this state located within the same county as the host track, 30 provided that where a thoroughbred permitholder is the host 31 track, any such contract must be approved by the horsemen's 37 CODING:Words 6tyicken are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 Section 23. Paragraph (g) of subsection (9) of section 2 550.6305, Florida Statutes, 1998 Supplement, is amended to 3 read: 4 550.6305 Intertrack wagering; guest track payments; 5 accounting rules.-- 6 (9) A host track that has contracted with an 7 out-of-state horse track to broadcast live races conducted at 8 such out-of-state horse track pursuant to s. 550.3551(5) may 9 broadcast such out-of-state races to any guest track and 10 accept wagers thereon in the same manner as is provided in s. 11 550.3551. 12 (g)I7 Any thoroughbred permitholder which accepts 13 wagers on a simulcast signal must make the signal available to 14 any permitholder that is located in a county other than the 15 county in which the permitholder providing the signal is 16 located and that is eligible to conduct intertrack wagering 17 under the provisions of ss. 550.615-550.6345. 18 2. An}' thoxoughbxed perILLitholde:r wl"ich accepts wage:r5 19 on a sin,ulcast signal :received d.fte.1. 6 p.m. ",ust n,ake such 20 signal available to al"}! pexILLitl"olde:r tl"at is eligible to 21 conduct illtert:rack ~ageLing unde:r the p:rovision5 of 55. 22 ::;::;0.61::; ::;::;0.634::;, includiHg all}' pe.uLLitholdeJ:: located as 23 specified in 5. ::;::;0.61::;(6). :Jucl" guest pe.l::LLlitholdexs a:re 24 authoJ:: ized to accept ~age.l. 05 on sud" SiILLulcast si911al, 25 l"ot~ith5tandil"g any otl"e:r pJ::olJision of this d"apteJ:: to the 26 COI"L.l.ary. 27 3. Any thoroughb:red peJ::n,itholde.l. whid" accepts wage:r5 28 011 a s";'",ulcast sighal :received d.fte:r 6 p."" l"ust make 5ud" 29 signal available to a"ly pex1L,itl"olde:r that is eli91ble to 30 conduct intext:rack wage:rLlg unde:r the provisions of 55. 31 ::;::;0.61::; ::;::;0.634::;, LICludiI"9 any pe:rn,";' tllOldel. located as 39 CODING:Words strickel" are deletions; words underlined are additions. Florida House of Representatives - 1999 522-144A-99 HB 1453 1 racetrack or jai alai fronton and on days on which the 2 pari-mutuel facility is open to the public for the purpose of 3 video lottery play authorized by the Department of the 4 Lottery. Except as in this subsection otherwise provided, 5 caterers licensed hereunder shall be treated as vendors 6 licensed to sell by the drink the beverages mentioned herein 7 and shall be subject to all the provisions hereof relating to 8 such vendors. 9 Section 25. This act shall take effect upon becoming a 10 law, if House Bill I House Bill I and House Bill 11 or similar legislation is adopted in the same legislative 12 session or an extension thereof. 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 ***************************************** HOUSE SUMMARY Provides for the establishment and operation of video lottery games to be conducted at par~-mutuel facilities and the allocation of certain income from the games to the Department of the Lottery for transfer to the Public Educat~on Capital Outlay and Debt Service Trust Fund. Provides add~tional funas for pari-mutuel purses. Changes regulation of intertrack wager~ng. 41 CODING:Words styickeI! are deletions; words underlined are additions.