Background:
This bill would reenact the Tennessee state racing commission that terminated on June 30,
1998, after sunsetting and winding up its operations, and this bill would reestablish
prior law on the commission in its entirety as it once existed. This bill would also allow
a previous conditional licensee under prior law to apply for a new license by using its
previous application and updating it to reflect any changes, including any changes in its
corporate structure and financial condition since the grant of its initial license. Such
applicant would not be subject to any fees or background checks, other than an updated
check by the Tennessee bureau of investigation. The newly-reenacted commission must
complete its review of the previous licensee's application on a de novo basis as soon as
practicable, but if the commission does not act by August 1, 2001, then the application
would be deemed approved. This bill would recognize the validity of and reauthorize any
rules of the commission that were properly promulgated and in effect as of June 1, 1998,
and such rules would then expire on June 30, 2003. Under this bill, the governor would
have authority to reappoint members to the commission who previously served on the
commission, or the governor could appoint new members, according to criteria delineated
under the prior law. These appointments or reappointments must be made as soon as
practicable, and the members would serve until the close of the next annual session of the
general assembly. The newly-reenacted commission would terminate on June 30, 2003. The
executive secretary of the commission would no longer be required to devote full time to
the duties of the office and may hold another office or employment. Under the prior law,
with the approval of the commission, whenever an association would participate in an
interstate combined wagering pool, the association could adopt the take-out of the host
jurisdiction or facility. Of the simulcast handle, the state would receive 1 percent of
the first $600,000 and 2 percent of the amount over $600,000 for distribution by the
department of revenue under law, and the state would also receive 1/2 of 1 percent for
deposit into the racing development fund. This bill would not reenact this scheme. Instead
of the daily simulcast handle, the department would receive: (A) 1 1/2 percent of the
first $300,000; (B) 2 percent for the amount from $300,000 to $450,000; (C) 2 1/2 percent
for the amount from $450,000 to $600,000; and (D) 3 percent for any amount above $600,000.
In addition, the department would allocate a reasonable portion, not set at any specific
percentage amount, for deposit into the racing development fund. This bill would require
the county election commission with jurisdiction over any municipality that has approved
pari-mutuel wagering on horse racing to include on the ballot for the next municipal
election a yes-no question as to whether or not to permit live race and simulcast race
pari-mutuel wagering on horse racing and pari-mutuel wagering on horse racing at satellite
teletheaters. However, if the licensee notifies the county election commission not less
than 60 days before the election, then the question would only be whether or not to permit
live race and simulcast race pari-mutuel wagering on horse racing. |
