SB45: Read the full bill that would bring horse racing to Georgia

Senate Bill 45

By:  Senators Beach of the 21st, Jones of the 25th, Mullis of the 53rd, Harbison of the 15th, Jones of the 10th and others

A BILL TO BE ENTITLED AN ACT

To amend Title 50 of the Official Code of Georgia Annotated, relating to state government, so as to provide for pari-mutuel horse racing in this state at a limited number of licensed equestrian centers; to create the Georgia Horse Racing Commission; to provide for the comprehensive regulation of pari-mutuel and related activities; to provide for legislative findings; to provide for definitions; to enter into the Interstate Compact on Licensure of Participants in Live Racing with Pari-mutuel Wagering; to provide a short title; to provide for related matters; to provide for a contingent effective date; to repeal conflicting laws; an for other purposes.

  • BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
  • SECTION 1.
  • This Act shall be known and may be cited as the “Rural Georgia Jobs and Growth Act.”
  • SECTION 2.
  • Title 50 of the Official Code of Georgia Annotated, relating to state government, is amended by adding a new chapter to read as follows:

   “CHAPTER 41   ARTICLE 1

  1. 50-41-1.
  2. It is found and declared by the General Assembly:
  3. (1)  That pari-mutuel wagering, conducted pursuant to this chapter, can support the state’s agricultural, tourism, and convention businesses, and enhance state revenues;
  4. (2)  That pari-mutuel horse racing shall only be permitted at facilities licensed by the
  5. State of Georgia; and
  6. (3)  That the Georgia Horse Racing Commission shall be accountable to the General Assembly and to the public through a system of audits and reports.
  7. 50-41-2.
  8. As used in this chapter, the term:
  9. (1)  ‘Advance deposit wagering’ means a system of pari-mutuel wagering on races sanctioned by this state or another jurisdiction in which wagers of an account holder are debited and payouts are credited to an account established by the account holder, regardless of whether the wagers are made in person at a licensed equestrian facility, by approved and licensed telephone application, or through other approved and licensed electronic means.

(2)  ‘Bona fide coin operated amusement machine’ means a bona fide coin operated amusement machine as defined in subsection (b) of Code Section 50-27-70.

(3)  ‘Cashless wagering system’ means the collective hardware, software, communications 36 technology, and other associated equipment used to facilitate pari-mutuel wagering and accounting in which the validity and value of a wagering instrument or wagering credits are determined, monitored, and retained by a computer operated and maintained by a licensee which maintains a record of each transaction involving such wagering instrument or wagering credits, exclusive of the game or pari-mutuel device on which wagers are being made.  Such term shall include computerized systems which facilitate electronic transfers of money directly to or from a historic race wagering machine.

  • (4)  ‘Commission’ means the Georgia Horse Racing Commission.
  • (5)  ‘Commissioner’ means the chief executive officer of the commission.
  • (6)  ‘Distributor’ means a person that is not affiliated with nor has an ownership interest in an equestrian facility or manufacturer and is engaged in selling, leasing, or servicing historic race wagering machines.  A financing agreement for the purchase or sale of
  • devices used in connection with the equestrian facility is not an ownership interest and
  • does not create an affiliation between a distributor and an equestrian facility or
  • manufacturer.
  • (7)  ‘Equestrian facility’ means a mixed-use land based development consisting of a combination of various tourism amenities and facilities, including, but not limited to, a racetrack or racetracks, pari-mutuel wagering facility or facilities, hotels, and restaurants. An equestrian facility may also include convention facilities, attractions, entertainment facilities, service centers, and shopping centers.

(8)  ‘Export signal racing revenue’ means revenue received by a licensed facility for the broadcast of races that occur at the equestrian facility to other facilities that are licensed or otherwise lawfully permitted to show horse races.

(9)  ‘Georgia Breeders Funds’ means the fund or funds established to foster the industry of breeding race horses in this state.

(10)  ‘Georgia Horse Racing Coalition’ means the Georgia nonprofit company Georgia Horse Racing Coalition, Inc.

(11)  ‘Gross historic race wagering machine revenue’ means the whole of moneys received from the public for the play of historic race wagering machines.  Gross historic race wagering machine revenue shall not include the following:

  • (A)  Counterfeit facsimiles of money, chips, tokens, wagering instruments, or wagering
  • credits;
  • (B)  Coins of other countries which are received in historic race wagering machines;
  • (C)  Any portion of the face value of any representative of value won by a licensee from
  • a patron for which the licensee can demonstrate that it or its affiliate has not received
  • cash;
  • (D)  Cash taken in fraudulent acts perpetrated against a licensee for which the licensee
  • is not reimbursed;
  • (E)  Cash received as entry fees for contests or tournaments in which patrons compete for prizes, except for a contest or tournament conducted in conjunction with an inter-facility linked system;
  • (F)  Cash or other consideration provided by a licensee to a patron and subsequently
  • played by the patron, for which the licensee can demonstrate that it or its affiliate has 79 not been reimbursed; or

(G)  Any promotional credit for any historic race wagering machine provided by a licensee to a patron and subsequently won by such licensee.

(12)  ‘Handle’ means the total amount of all live pari-mutuel wagering sales, excluding refunds and cancellations.

(13)  ‘Historic race wagering’ means a wager made on a historic race wagering machine 85 that allows a person to wager on the outcome of a horse race that occurred, in a licensed jurisdiction, sometime prior to the wager.

(14)  ‘Historic race wagering machine’ means a device of any kind that allows a person to engage in historic race wagering; provided, however, that a bona fide coin operated amusement machine is not a historic race wagering machine.

(15)  ‘Horse racing’ or ‘horse race’ means a competition on a set course involving a race between horses on which pari-mutuel wagering is permitted under the terms and conditions established by the commission.

(16)  ‘Horseman’ or ‘horsemen’ means any person that owns a 10 percent or greater interest in a race horse and is actively engaged in horse racing.

(17)  ‘Inter-facility linked system’ means a network of electronically interfaced, similar historic race wagering machines, which are located at two or more licensed equestrian facilities in this state or similar facilities not in this state, and which are linked to conduct pari-mutuel wagering activities, contests, or tournaments.

(18)  ‘License’ means a license required under this chapter and issued by the commission. (19)  ‘Live pari-mutuel wagering’ means pari-mutuel wagering on live horse race or horse races run at the licensed equestrian facility.  Live pari-mutuel wagering does not include historic race wagering.

103 (20)  ‘Manufacturer’ means a person that is not affiliated with nor has an ownership interest in an equestrian facility or distributor, and is engaged in creating, manufacturing, or licensing of historic race wagering machines, including significant components and

  1. software.
  2. (21)  ‘Net receipts’ means the gross historic race wagering machine revenue minus:
  3. (A)  The amount of winnings paid to the public from historic race wagering machines; (B)  The amount of moneys refunded to the public for bona fide malfunctions of the historic race wagering machine; and

111 (C)  Uncollectable debts when a member of the public has defaulted on a loan or other credit instrument extended by the licensed facility to the person using the historic race

  1. wagering machine.
  2. (22)  ‘Pari-mutuel wagering’ means the system of wagering on horse races in which those who wager on horses that finish in the position or positions for which wagers are taken share in the total amounts wagered, plus any amounts voluntarily provided by an equestrian facility licensee, less deductions required or permitted by law and also include pari-mutuel wagering on simulcast horse racing originating within this state or from any other jurisdiction.  Pari-mutuel wagering includes live pari-mutuel wagering and historic
  3. race wagering.
  4. (23)  ‘Person’ means any individual, group of individuals, firm, company, corporation, partnership, business, trust, association, or other legal entity.
  5. (24)  ‘Participant’ means any person that:
  6. (A)  Has an ownership interest in any horse entered to race in this state;
  7. (B)  Acts as the trainer, jockey, or driver of any horse entered to race in this state; or
  8. (C)  Takes part in any horse racing subject to the jurisdiction of the commission or in the conduct of a race meeting or pari-mutuel wagering thereon, including, but not limited to, a horse owner, trainer, jockey, driver, groom, stable foreman, valet, veterinarian, agent, pari-mutuel employee, concessionaire or employee thereof, track employee, or other position the commission deems necessary to regulate to ensure the integrity of horse racing in this state.
  9. (25)  ‘Pool’ means the amount wagered during a race meeting or during a specified period
  10. thereof.
  11. (26)  ‘Race meeting’ means the whole, consecutive period of time during which live horse racing with pari-mutuel wagering is conducted by a licensee which spans from the first day of the licensed racing calendar until the final racing day, including all days on which racing is not conducted within such period of time.

(27)  ‘Racetrack’ or ‘track’ means an outdoor course located in this state which is laid out for horse racing and is licensed by the commission as part of an equestrian license.

(28)  ‘Simulcast horse racing’ means the dissemination, receipt, or display of broadcasts of the audio or video portion, or both, of horse races conducted by a licensed horse racetrack, whether such races are conducted within this state or are conducted in any other jurisdiction, by satellite communication devices, television cables, telephone lines, or any other means for the purposes of conducting pari-mutuel wagering by patrons of a licensed horse racetrack or advance deposit account wagering licensee.  Simulcast horse racing received from outside this state shall have been licensed and regulated as pari-mutuel horse racing by the regulatory authority in the state, territory, or country from 148 which it is broadcast.

149 (29)  ‘Steward’ means a racing official, duly appointed by the commission or the 150 equestrian facility, with powers and duties prescribed by commission regulations. 151 (30)  ‘Takeout’ means the percentage of the pari-mutuel pools deducted by the racetrack 152 prior to the distribution of the pool.

  1. 50-41-3.
  2. (a)  There is hereby established the Georgia Horse Racing Commission, which shall be a 155 body corporate and politic.  The commission shall have full legal authority over the 156 practice of pari-mutuel wagering on horse racing in this state; provided, however, that it 157 shall not regulate play on bona fide coin operated amusement machines.  The commission 158 shall be governed by a board that shall consist of five members appointed by the Governor. 159 (1)  Members of the board of the commission shall serve four-year terms of office or until 160 their respective successors are appointed.  Two members’ initial terms shall be two years, 161 one member’s initial term shall be three years, and two members’ initial terms shall be 162 four years as specified by the Governor in his or her initial appointments.  Members may 163 be reappointed by the Governor.  Members of the commission shall serve without 164 compensation; provided, however, that members may be reimbursed for reasonable 165 expenses associated with carrying out their respective duties on the commission.
  3. Members shall meet the following qualifications:
  4. (A)  Members shall be residents of the State of Georgia, shall be prominent persons in 168 their businesses or professions, and shall not have been convicted of any felony offense; 169 (B)  At least one member of the commission shall possess a valid horse owner’s license 170 from any state and have been an owner of thoroughbred horses for at least ten years; 171 (C)  At least one member of the commission shall have registered at least one horse
  5. with The Jockey Club in one of the last five consecutive years prior to appointment;
  6. (D)  At least one member of the board shall possess a United States Trotting 174 Association standardbred license and shall have been responsible for the dropping and 175 registering of a standardbred horse in this state; and

176 (E)  At least one member of the commission shall have experience in financing and 177 horses or horse racing generally.

178 (2)  Members of the commission shall not have any direct or indirect interest in any 179 undertaking that puts their personal interest in conflict with that of the commission, 180 including, but not limited to, an interest in a major procurement contract or a participating 181 retailer, or person that applies for or has obtained a license by the commission.

182 (3)  The members shall elect from their membership a chairperson and vice chairperson. 183 The members shall also elect a secretary and treasurer who may serve as the chief 184 executive officer of the commission.  Such officers shall serve for such terms as shall be 185 prescribed by the regulations promulgated by the commission and until their respective 186 successors are elected and qualified.  No member of the board shall hold more than one 187 office of the commission, except that the same person may serve as secretary and 188 treasurer.

189 (4)  The board may delegate to any one or more of its members, to the chief executive 190 officer, or to any agent or employee of the commission such powers and duties as it may 191 deem proper and that are consistent with this chapter.

192 (5)  No vacancy in the membership of the board shall impair the right of the members to 193 exercise all the powers and perform all the duties of the board.

  1. (b)  The board shall:
  2. (1)  Approve, disapprove, amend, or modify the budget recommended by the chief 196 executive officer for the operation of the commission;

197 (2)  Approve, disapprove, amend, or modify the terms of major procurements 198 recommended by the chief executive officer;

  1. (3)  Approve or disapprove of commission regulations pursuant to Chapter 13 of this title;
  2. and
  3. (4)  Perform such other functions as specified by this chapter.
  4. (c)  The commission shall name a chief executive officer who shall serve at the pleasure 203 of the commission for terms that may be decided and renewed by the commission.  The 204 chief executive officer shall be known as the Georgia Horse Racing Commissioner.  The 205 commissioner is empowered with all administrative duties carried out by the commission, 206 including, but not limited to, the authority to hire and fire personnel and to name senior
  5. leadership.
  6. 50-41-4.
  7. The commission shall have any and all powers necessary or convenient to its usefulness 210 in carrying out and effectuating the purposes and provisions of this chapter which are not 211 in conflict with the Constitution of this state and which are generally exercised by 212 corporations engaged in entrepreneurial pursuits and state instrumentalities engaged in 213 regulatory pursuits, including, but not limited to, the generality of the foregoing, the 214 following powers to:
  8. (1)  Conduct background and other investigations, security checks, and auditing and
  9. enforcement of license requirements required under this chapter;
  10. (2)  Promote responsible pari-mutuel wagering in this state;
  11. (3)  Sue and be sued;
  12. (4)  Appoint and select officers, auditors, agents, and employees, including professional 220 and administrative staff, personnel, and hearing officers;

221 (5)  Enter into contracts of any and all types on such terms and conditions as the 222 commission may determine;

  • (6)  Establish and maintain banking relationships, including, but not limited to,
  • establishment of checking and savings accounts and lines of credit;
  • (7)  Adopt and alter a seal;
  • (8)  Procure or to provide insurance;
  • (9)  Hold copyrights, trademarks, and service marks and enforce its rights with respect
  • thereto;
  • (10)  Enter into contracts to incur debt in its own name and enter into financing 230 agreements with the state, agencies or instrumentalities of the state, or with any 231 commercial bank or credit provider; provided, however, that any such debt must be 232 approved by the Georgia State Financing and Investment Commission;

233   (11)  Be authorized to administer oaths, take depositions, issue subpoenas, and compel 234          the attendance of witnesses and the production of books, papers, documents, and other 235          evidence relative to any investigation or proceeding conducted by the commission;

236 (12)  Enter into contracts or agreements with state or local law enforcement agencies, 237 including the Department of Revenue, for the performance of law enforcement, 238 background investigations, security checks, and auditing and enforcement of license

  • requirements required by Article 3 of this chapter;
  • (13)  Regulate pari-mutuel wagering in this state, including the supervision and control 241     of all licensing procedures and issuances;

242 (14)  Enter any facility issued a license by the commission, to audit the financial books 243 and records of any facility issued a license by the commission, to issue subpoenas, to 244 suspend, deny, revoke, or confiscate any license issued pursuant to this chapter; provided, 245 however, that no license may be sanctioned by the commission without due process 246 having been afforded to the licensee, including the opportunity for judicial review of the 247 commission’s decision pursuant to Code Section 50-13-19; and

248 (15)  Provide a report annually on or before April 15 to the Governor and the General 249 Assembly which shall include a financial statement of its operation of the commission.

  • 50-41-5.
  • (a)  The commission shall have the authority to promulgate rules and regulations to govern 252 pari-mutuel wagering, horse racing, and to implement this chapter.  Such rules and 253 regulations shall be promulgated pursuant to Chapter 13 of this title.
  • (b)  The commission shall promulgate regulations that:
  • (1)  Require the existence of a contract between the licensed equestrian facility and the 256 recognized majority horseman’s group providing for the payment purses and prizes on 257 horse racing conducted by the licensee;

258 (2)  Provide for the formation, conduct, and verification of any organization claiming to 259 be a recognized majority horseman’s group;

260   (3)  Require licensed equestrian facilities to provide live races no less than 60 days per 261          year; provided, however, that the commission shall allow a licensed equestrian facility 262          to run less than 60 days of live racing if such facility has shown reasonable good cause 263          for failing to do so;

264 (4)  Authorize the circumstances under which simulcast horse racing shall be conducted 265 at a licensed equestrian facility in this state and all such other regulations it deems 266 necessary and appropriate to effect the purposes of this chapter.  Such regulations shall 267 include provisions that all simulcast horse racing shall comply with the federal Interstate 268 Horse Racing Act of 1978, 15 U.S.C. Section 3001, et seq., and the rules and regulations 269 of the commission and the jurisdiction from which simulcast horse racing is received. 270 Except as otherwise authorized pursuant to this chapter, wagering on simulcast horse 271 racing shall take place only at a licensed equestrian facility;

272 (5)  Address contracts and dispute resolution between a licensed equestrian facility and 273 a recognized majority horseman’s group.  Such regulations shall provide at least that:

274 (A)  Any contract between a licensee and a recognized majority horseman’s group shall 275 be subject to the approval of the commission not less than 90 days prior to the 276 commencement of the racing meet of the licensee.  The commission’s authority to 277 approve or disapprove of the contract shall include, but shall not be limited to, the 278 provisions regarding expenses related to the administration of the horseman’s group and 279 the purses and prizes paid on horse racing pursuant to the agreement;

280 (B)  In the event that a licensee and a recognized majority horseman’s group are, in 281 good faith, unable to reach an agreement regarding purses at the live racetrack prior to 282 the 90th day prior to commencement of the racing meet of the licensee, the licensed 283 equestrian facility and recognized majority horseman’s group shall, on or before such 284 90th day, submit the dispute over the contract to the commission which shall refer the 285 dispute to a third party commercial arbitration service, and the parties shall pay their 286 own costs of the hearing.

287 (C)  In the event of arbitration under subparagraph (B) of paragraph (5) of this Code 288 section, any decision of the arbitrator involving less than $1 million may be appealed 289 to the chairperson of the commission, and any decision involving $1 million or more 290 may be appealed to the commission;

291 (D)  When reviewing a decision of an arbitrator or arbitrators, neither the chairperson 292 nor the commission shall not substitute his, her, or its judgment for that of the arbitrator 293 unless the findings of fact are clearly erroneous or not supported by any evidence, or 294 if the arbitrator’s conclusions of law constitute an abuse of discretion;

295 (E)  The commission shall issue a final decision within 60 days of receiving the appeal 296 of a decision of an arbitrator or arbitrators, and such decision shall be deemed the final 297 agency decision and appealable pursuant to Chapter 13 of this title; provided, however, 298 that the parties may agree to a one-time extension of up to 60 days for good cause; and 299 (F)  If the commission does not render a decision within the initial 60 day period or the 300 extended period, the decision shall be deemed affirmed as a matter of law and deemed 301 the final agency decision; and

302 (6)  Provide for addressing the appointment and retaining, through employment or 303 contract, stewards.  Stewards shall act as racing officials to oversee the conduct of horse 304 racing at licensed racetracks.  The stewards shall enforce the commission’s rules and 305 regulations and the provisions of this chapter and shall have authority to interpret the 306 commission’s rules and regulations and to decide all questions of racing not specifically 307 covered by the rules and regulations of the commission.  Nothing in this subsection shall 308 limit the authority of the commission to carry out the provisions of this chapter and to 309 exercise control of horse racing as set forth in this chapter, including the power to review 310 all decisions and rulings of the stewards.

311 (c)  The commission may promulgate regulations regarding hardware requirements of 312 historic race wagering machines.

313 (d)  The commission shall have plenary authority throughout this state to investigate and 314 issue citations for persons involved in the conduct of horse racing and pari-mutuel

315   wagering of any kind which does not comply with the provisions of this chapter and the 316          commission’s rules.

317 (e)  The authority to regulate bona fide coin operated amusement machines shall remain 318 the exclusive jurisdiction of the Georgia Lottery Corporation.

  • 50-41-6.
  • Except as otherwise provided in this chapter, the commission shall be subject to the 321 provisions of Chapter 14 and Article 4 of Chapter 18 of this title; provided, however, that 322 the following information shall be deemed to be confidential: trade secrets including 323 nonpublic corporate governance information; security measures, systems, or procedures; 324 background checks and investigative notes; security reports; information concerning bids 325 or other contractual data, the disclosure of which would impair the efforts of the 326 commission to contract for goods or services on favorable terms; employee personnel 327 information unrelated to compensation, duties, qualifications, or responsibilities; and 328 information obtained pursuant to investigations which is otherwise confidential, and such 329 other information as the commission shall determine to be confidential.  Meetings or 330 portions of meetings devoted to discussing information deemed confidential pursuant to 331 this Code section shall be exempt from Chapter 14 of this title.  Information deemed 332 confidential pursuant to this Code section shall be exempt from the provisions of Article 4 333 of Chapter 18 of this title.
  • 50-41-7.
  • (a)  Except as provided in Code Section 50-41-17, pari-mutuel wagering may take place 336 in this state only on the grounds of licensed equestrian facilities on the same parcel of 337 property or property where there is a common entranceway for motor vehicles.

338 (b)  No person shall be permitted to participate in pari-mutuel wagering unless he or she 339 has reached the age of 21 years.

340 (c)  Nothing in this chapter shall limit, impair, or otherwise regulate the operation and play 341 of bona fide coin operated amusement machines.

  • ARTICLE 2
  • 50-41-8.
  • (a)  No person shall construct, establish, or own an equestrian facility without having first 345 obtained an equestrian facility license from the commission.

346 (b)  Notwithstanding any other provision of law, all licensed equestrian facilities operating 347 in this state may operate 24 hours a day for all legal purposes, including, but not limited 348 to, pari-mutuel wagering, hotel and hospitality operations, and the sale and service of food 349 and alcoholic beverages.

  • (c)  No person shall manufacture historic race wagering machines placed at a licensed
  • equestrian facility in this state without having first obtained a manufacturer’s license from
  • the commission.
  • (d)  No person shall sell, lease, or distribute historic race wagering machines to a licensed 354 equestrian facility in this state without having first obtained a distributor’s license from the
  • commission.
  • (e)  Except upon approval of the commission, no license issued under the provisions of this 357 chapter shall be transferable.
  • 50-41-9.
  • Whenever it appears to the commission that a licensee or any other person subject to the 360 jurisdiction of the commission has violated or may violate any provision of this chapter or 361 any regulations of the commission, or final decision of the commission, the commission 362 may apply to the appropriate superior court for an injunction against such person.  The 363 order granting or refusing such injunction shall be subject to appeal as in other cases in
  • equity.
  • 50-41-10.
  • (a)  The commission’s authority to award equestrian facility licenses shall be limited to a 367 maximum of three equestrian facilities in this state.  No equestrian facility shall be located 368 within 125 miles of any other equestrian facility.

369 (b)  Commencing on January 1 of the first calendar year after an equestrian facility receives 370 its license, such equestrian facility shall maintain and complete not less than 60 live racing 371 days annually.  The commission is authorized to suspend the equestrian facility license of 372 any equestrian facility that fails to satisfy this subsection; provided, however, that the 373 commission may waive this requirement if good cause has been shown that circumstances 374 beyond the control of an equestrian facility caused the reduced annual racing days.

  • 50-41-11.
  • (a)  Any person seeking a license issued by the commission shall apply to the commission 377 for such license.

378 (b)  The commission shall seek applications for equestrian facility licenses by issuing a 379 request for proposals for applications for licensure.  Such request for proposals shall be for 380 a period of not less than 90 days and the commission shall announce its intent to seek 381 applications at least 90 days before any deadline to apply is imposed by the commission; 382 provided, however, that the commission shall accept applications for licensure at least once 383 within the first nine months after a local referendum approves of equestrian facility conduct 384 as set forth in this chapter.  The commission shall review all applications for licensure 385 submitted in response to such request for proposals based on the criteria established in the 386 request for proposals which shall be consistent with the criteria set forth in this chapter. 387 All other licenses may be applied for at any time.

388 (c)  Any aggrieved applicant may appeal any adverse decision of the commission, and a 389 non-aggrieved applicant may intervene in an appeal pursuant to the procedures set forth in 390 Chapter 13 of this title.  No license applicant may challenge the application of any other 391 license applicant.

  • 50-41-12.
  • (a)  A person applying for an equestrian facility license shall be required to provide 394 financial information and information about its principal shareholders, members, officers, 395 and board of directors as required by the commission, specifically including:
  • (1)  The name and address of such person; if a corporation, the state of its incorporation,
  • the full name and address of each officer and director thereof, and, if a foreign 398 corporation, whether it is qualified to do business in this state; and, if a partnership or 399 joint venture, the name and address of each officer thereof;

400 (2)  The name and address of each stockholder or member of such corporation who has 401 or controls a 5 percent or greater ownership or security interest or each partner of such 402 partnership or joint venture who has or controls a 5 percent or greater ownership or 403 security interest and of each person that has contracted for a pecuniary interest in the 404 applicant or the enclosure where race meetings or pari-mutuel wagering will be 405 conducted, whether such interest is an ownership or a security interest, the nature and

406   value of such interest, and the name and address of each person that has agreed to lend 407          money to the applicant; and

408 (3)  Such information as the commission deems appropriate regarding the character, 409 background, and responsibility of the applicant and the members, partners, stockholders, 410 officers, and directors of the applicant.

411 (b)  The commission is empowered to assess a nonrefundable fee of up to $500,000.00 for 412 each application.

413 (c)  The commission may request privileged and confidential information from an 414 applicant.  In any case when the commission requests privileged or confidential 415 information the information provided shall:

  • (1)  Not be subject to inspection pursuant to Article 4 of Chapter 18 of this title;
  • (2)  Not impose liability in any civil or criminal matter; and
  • (3)  Be deemed not to constitute a waiver of any privilege that would otherwise have 419 attached to the information disclosed to the commission, its agents, or employees.

420 (d)  Each application shall be verified by the oath or affirmation of an officer of the 421 applicant.  Any person that knowingly makes a false statement of fact to the commission 422 for the purpose of obtaining a license under this chapter shall be guilty of a felony and, 423 upon conviction thereof, shall be punished by imprisonment for not less than one nor more 424 than ten years or a fine not to exceed $50,000.00, or both.

  • 50-41-13.
  • (a)  The commission shall consider all applications for equestrian facility licenses.  When 427 evaluating applications submitted for an equestrian facility license, the commission shall 428 consider several factors, including, but not limited to:

429 (1)  Whether the applicant is financially capable of constructing, operating, owning, and 430 maintaining an equestrian facility;

431 (2)  Whether the applicant demonstrates the greatest ability to benefit the Georgia horse 432 racing and agricultural industry, submits the best proposal, and has been issued an 433 equestrian facility license by the commission;

434 (3)  The location and description of the equestrian facility, including the placement of the 435 racetrack, place, or enclosure where such applicant proposes to hold such meetings or 436 wagering, including the name of any county or municipality in which any property of 437 such racetrack is or will be located;

438   (4)  In cases where a comparative review is required among several applications, which 439          applicant demonstrates the greatest ability to benefit the Georgia horse racing and 440          agricultural industry;

  • (5)  The applicant’s history of community involvement and support in each jurisdiction
  • in which it or its leadership operates or has operated;
  • (6)  The applicant’s record of supporting and advancing the sport of horse racing;
  • (7)  The applicant’s record, or its leadership’s, record of cooperation and support of 445 associations representing horsemen in all jurisdictions in which such applicant is licensed 446 to operate horse racing tracks;
  • (8)  The applicant or its leadership’s history of supporting the agricultural industry in each
  • state in which it is licensed or has been licensed to operate horse racing tracks;
  • (9)  If any of the facilities necessary for the conduct of racing or pari-mutuel wagering
  • are to be leased and the terms of such lease; and
  • (10)  Any other similar information which the commission in its discretion deems 452     appropriate.

453   (b)  No application for the equestrian facility shall be considered unless the applicant, a 454          majority of its owners who individually possess at least 5 percent of the applicant’s stock 455          or membership, or its management, can demonstrate a successful history of operating at 456          least one horse racing track in one of the previous five years from the date of the 457          application.

458 (c)  The commission shall deny an application for an equestrian facility unless the applicant 459 can demonstrate that:

460 (1)  The facility is within 50 miles of a major international airport with at least five 461 runways and includes a minimum investment of $250 million per equestrian facility and 462 any other facility includes a minimum investment of $125 million;

463 (2)  It is qualified to do business in this state and subject to the jurisdiction of the courts 464 of the State of Georgia, and all principal stockholders or members have submitted to the 465 jurisdiction of the courts of the State of Georgia and all nonresident principal 466 stockholders or members have designated the chairperson of the commission as their

  • agent for receipt of process;
  • (3)  It has obtained a letter of support from the Georgia Horse Racing Coalition;
  • (4)  Neither it nor its management have knowingly made a false statement of material fact 470 or has deliberately failed to disclose any information requested, or have been found guilty 471 of any illegal, corrupt, or fraudulent act, practice, or conduct in connection with any horse 472 racing in this or any other state; have been convicted of a felony; or have had a license 473 or permit to hold or conduct a horse race or maintain a pari-mutuel wagering license
  • denied for just cause, suspended, or revoked in any other state or country;
  • (5)  It has no corporate affiliation with or interest in a distributor or manufacturer;
  • (6)  It has not legally defaulted in the payment of any obligation or debt due to the State
  • of Georgia; and
  • (7)  It is a Georgia person subject to the jurisdiction of the laws and courts of the State
  • of Georgia.
  • (d)  An equestrian facility license may be suspended or revoked by the commission upon 481          a finding that the licensee is not in good standing because it has failed to meet the 482          minimum standards for facilities, racing quality, and other minimum standards required by 483 this chapter.

484 (e)  The award of an equestrian facility license to an applicant authorizes such applicant to 485 begin construction or development of the equestrian facility detailed in the application 486 submitted to the commission once the county or municipality where such equestrian facility 487 is to be located has approved of pari-mutuel wagering.  This subsection shall not excuse 488 a licensee from obtaining zoning approval and local permits required by local ordinance 489 and authorized by Code Section 50-41-25.

490 (f)  Upon the award of an equestrian facility license, the applicant shall cause $50 million 491 to be paid to the commission within ten business days or such license shall be revoked as 492 a matter of law.

493 (g)  Any person holding a license to operate a licensed equestrian facility in this state 494 pursuant to this chapter shall be authorized to conduct pari-mutuel wagering on horse 495 racing subject to the provisions of this chapter and the orders, conditions, and rules and 496 regulations of the commission.

  • 50-41-14.
  • An equestrian facility license shall be for a term of ten years.  An equestrian facility 499 licensee may renew its license for a fee of $250,000.00 and the renewal shall be granted 500 unless the commission determines that there is a reason to revoke the license for reasons 501 set forth in this chapter.
  • 50-41-15.
  • (a)  The commission shall grant a license to a distributor that applies and demonstrates to 504 the commission that it has no interest or corporate affiliation with an equestrian facility or 505 a manufacturer and:
  • (1)  Is a Georgia entity subject to the jurisdiction of the courts of the State of Georgia;
  • (2)  Has not knowingly made a false statement of material fact or has deliberately failed 508 to disclose any information requested;

509 (3)  Has not been found, or its principal stockholders, members, officers, or partners have 510 not been found guilty of any illegal, corrupt, or fraudulent act, practice, or conduct in 511 connection with any horse racing, pari-mutuel wagering, or similar activity in this or any 512 other state as applicable, or has been convicted of a felony;

513 (4)  Has not had a pari-mutuel wagering related license or permit suspended or revoked 514 in any other state or country; or

  • (5)  Has not legally defaulted in the payment of any obligation or debt due to the State of
  • Georgia.
  • (b)  The commission shall grant a license to a manufacturer that applies to the commission 518 and demonstrates, to the satisfaction of the commission, that it is subject to the jurisdiction 519 of the courts of the State of Georgia, has no interest in or corporate affiliation with a 520 distributor or equestrian facility, and satisfies the criteria set forth in paragraphs (2) through 521 (5) of subsection (a) of this Code section.

522   (c)  The commission shall set the application, license, and renewal fees for manufacturers 523          and distributors; provided, however, that no fee imposed pursuant to this Code section shall 524   exceed $25,000.00.

525 (d)  A distributor or manufacturer license shall not constitute a gambling license for 526 purposes of Code Section 50-27-87.

  • 50-41-16.
  • No employee of the commission and no spouse or immediate family member of any such 529 employee shall have any financial interest, direct or indirect, in any equestrian facility,

530 distributor, or manufacturer.  No employee of the commission and no spouse or immediate 531 family member of any such employee shall participate as owner of a horse or otherwise as 532 a contestant in any race subject to the jurisdiction of the commission or have any pecuniary 533 interest in the purse or prize contested for in any such race.

  • 50-41-17.
  • (a)  A license granted to an equestrian facility shall include the exclusive authorization to 536 provide for advance deposit account wagering in this state.

537   (b)  No person other than a licensed equestrian facility shall provide for advance deposit 538          account wagering in this state.

539   (c)  Any advance deposit wagering that is conducted in this state shall be limited to live 540          pari-mutuel wagering.

  • 50-41-18.
  • (a)  After a hearing upon at least 15 days’ notice, the commission may suspend or revoke 543 any license or fine the holder thereof a sum not to exceed $250,000.00 in any case in which 544 the commission has reason to believe that any provision of this chapter, or any rule, 545    regulation, or condition of the commission, has not been complied with or has been 546    violated.

547 (b)  The commission may revoke any equestrian facility license if the licensee, within three 548 years of issuance of such licensure, fails to commence its licensed activity in accordance 549 with its license; provided, however, that the commission is empowered with the discretion 550 to extend this deadline one time for one year for good cause shown.

551 (c)  The commission may summarily suspend any license for a period of not more than 90 552 days pending a de novo hearing and final determination by the commission if the 553 commission determines that emergency action is required to protect the public health, 554 safety, and welfare, including, but not limited to, revenues due the state, its political 555 subdivisions, and the horsemen’s purse account.  The commission shall schedule a hearing 556 within 15 business days after the license is summarily suspended and notify the licensee 557 not less than five business days before the hearing of the date, time, and place of the

  • hearing.
  • (d)  Deliberations of the commission shall be conducted pursuant to the provisions of 560 Chapter 14 of this title.  If any such license is suspended or revoked, the commission shall 561 state its reasons for doing so, which shall be made a formal part of the record.  Such action 562 shall be final unless appealed in accordance with Code Section 50-41-11.  Suspension or 563 revocation of a license by the commission for any violation shall not preclude criminal 564 liability for such violation.
  • 50-41-19.
  • (a)  Any licensee shall notify the commission of any person that seeks to become affiliated 567 with such licensee at a level that would have to be disclosed at the time of the application. 568 (b)  The commission shall determine whether the investment or status of the person 569 described in subsection (a) of this Code section would require the commission to revoke 570 the license and it is authorized to seek any information needed to make that determination. 571 (c)  If the commission determines that the proposed affiliation of the person described in 572 subsection (a) of this Code section would impair the commission’s ability to grant or renew 573 any license issued under this chapter, it shall notify the licensee or applicant of its decision, 574 and the decision may be appealed as set forth in this chapter.
  • 50-41-20.
  • (a)  No person shall engage in any horse racing or in the conduct of a race meeting or 577 pari-mutuel wagering thereon, including, but not limited to, as a horse owner, trainer, 578 jockey, driver, exercise rider, starter, groom, stable foreman, valet, veterinarian, agent, 579 pari-mutuel employee, concessionaire or employee thereof, track employee, or other 580 similar position the commission deems necessary to regulate to ensure the integrity of horse 581 racing in this state, unless such person possesses a permit therefor from the commission 582 and complies with the provisions of this chapter and all commission rules and regulations. 583 The commission shall establish procedures for the application and permitting of employees 584 whose services are also subject to licensure by the commission, and no application or 585 permit fee shall exceed the amounts set forth in this chapter.  The application shall include 586 such information deemed necessary by the commission, but shall require no more 587 information than that needed to grant or deny an application for a manufacturer or 588 distributor.  No permit issued under the provisions of this chapter shall be transferable. 589 (b)  The commission may waive the permit requirement for any person that possesses a 590 valid permit or license to participate in the conduct of horse racing in another racing 591 jurisdiction and participates in horse racing in this state on nonconsecutive racing days.

592 (c)  Once a horse is entered to run in this state, all participants shall come under the 593 jurisdiction of the commission and its stewards and shall be subject to the rules and 594 regulations of the commission and sanctions it or its stewards may impose.

595 (d)  The commission may suspend, deny, or revoke a permit issued under this chapter 596 subject to the procedures set forth for manufacturers and distributors.

  • 50-41-21.
  • (a)  The equestrian facility licensee may establish the takeout for pari-mutuel pools on the 599 live racing that it conducts and any breakage from pari-mutuel pools and the proceeds from 600 pari-mutuel tickets that have not been redeemed with 180 days of the race on which the 601 wager was placed shall be retained by the equestrian facility licensee in a segregated 602 account and shall be used for capital expenditures and capital maintenance of the racetrack 603 and its racing surface and stabling areas.

604 (b)  The commission shall promulgate regulations for the establishment of certain uses of 605 the live pari-mutuel wagering pools to insure that:

  • (1)  Five percent shall be used for purses on live races conducted at its facility;
  • (2)  Three and one-half of 1 percent shall be held in a separate account by the 608 commission.  It is the intent of the General Assembly that the funds held in this account 609 be used to fund education, health care needs, and rural development in the this state;

610 (3)  One-half of 1 percent shall be paid in conjunction with racing at its facility as 611 breeders’ awards or awards to owners of registered Georgia bred horses as breeding 612 incentives from the Georgia Breeders Funds in accordance with a plan approved by the

  • commission;
  • (4)  One-half of 1 percent shall be paid for funding of state resources for the treatment of 615 problem pari-mutuel wagering issues;

616 (5)  One-tenth of 1 percent shall be allocated by the commission to the College of 617 Veterinary Medicine of the University of Georgia to be used solely for the promotion and 618 growth of the equestrian racing and breeding industries in this state;

619   (6)  Two-tenths of 1 percent shall be allocated by the commission for racing horse 620          retirement; and

  • (7)  The balance of the takeout shall be used to cover the equestrian facility’s operating
  • expense.
  • 50-41-22.
  • (a)  In addition to the funds that are set forth in this Code section and in Code Section 625     50-41-21, licensed equestrian facilities shall pay 20 percent of the monthly net receipts 626          generated from historic race wagering machines games played at such licensed equestrian 627   facility to the commission in accordance with the regulations of the commission.  In 628     addition:

629 (1)  The commission shall maintain the payment made pursuant to this subsection in a 630 separate account and report on the account’s balance to the Governor and the General 631 Assembly on a quarterly basis.  It is the intent of the General Assembly that funds 632 deposited in the separate account shall be used to fund education, health care, and rural 633 development programs in the state of Georgia:

634 (2)  The collection of any tax or fee on the monthly net revenue generated from historic 635 race wagering machines shall be the exclusive province of the commission.  No tax on 636 historic race wagering machine revenue or other similar levy on pari-mutuel wagering 637 may be implemented by a county, municipality, or consolidated government in this state;

  • and
  • (3)  All sales of historic race wagering machines authorized under this chapter shall be 640     exempt from any and all sales taxes imposed by state or local law.

641 (b)  In addition to the funds set forth in this Code section and in Code Section 50-41-21, 642 there shall be a tax of 0.625 percent imposed on export signal racing revenue; provided, 643 however, that the tax imposed by this subsection shall not exceed $1 million on an annual 644 basis.  The tax shall be paid to the commission for deposit in the state treasury.

  • 50-41-23.
  • (a)  The commission shall require all individuals employed by a licensed equestrian facility 647 to register and obtain a license from the commission if the commission determines that the 648 individual has not been convicted of a crime involving cruelty to animals, pari-mutuel 649 wagering, or related crime.

650 (b)  Licenses for individuals associated with owning or training horses for racing shall not 651 exceed $100.00 per year.

652 (c)  Licenses for individuals employed by racetracks or advance deposit account wagering 653 operations shall not exceed $500.00 per year.

654 (d)  Licenses for individuals employed by entities doing business with racetracks or 655 advance deposit wagering account operations shall not exceed $500.00 per year.

656   (e)  Licenses for individuals employed by distributors shall not exceed $100.00 per year. 657          50-41-24.

658 (a)  Except as provided in this Code section, the commission shall not grant any initial 659 license to construct, establish, operate, or own an equestrian facility unless the county 660 where the track is to be located has voted to approve the state-wide constitutional 661 amendment referendum to allow for pari-mutuel wagering.

662 (b)  The commission may grant any initial license to construct, establish, operated, or own 663 an equestrian facility in a county where a majority of voters disapproved of the state-wide 664 constitutional referendum on the question of pari-mutuel wagering if:

  • (1)  The local governing authority approves a referendum; or
  • (2)  A petition signed by 1 percent or 1,000, whichever is less, of the qualified electors 667 of such county or municipality is filed with the election superintendent of such county or 668 municipality asking that a referendum be held on the question of whether horse racing 669 and pari-mutuel wagering shall be permitted at a licensed racetrack in such county or 670 municipality in accordance with this chapter.

671 (c)(1)  A petition pursuant to paragraph (2) of subsection (b) of this Code section shall 672 be in the form specified by the rules and regulations of the State Election Board.  Each 673 person signing such petition shall declare therein that he or she is a duly qualified and 674 registered elector of the county or municipality and shall add to his or her signature, his 675 or her residence address, giving municipality, if any, and county, with street and number, 676 if any, and shall be urged to add the person’s date of birth, which shall be used for 677 verification purposes.  No person shall sign the same petition more than once.  The 678 petition shall also contain at the top of each page a statement of the question or questions 679 proposed to be submitted to the electors in accordance with this Code section.  Each page 680 shall bear on the bottom or back thereof the affidavit of the circulator of such page, which 681 shall be subscribed and sworn to by such circulator before a notary public and shall set 682 forth his or her residence address, giving municipality with street and number, if any; that 683 each signer manually signed his or her own name with full knowledge of the contents of 684 the petition; and that, to the best of the affiant’s knowledge and belief, the signers are 685 registered electors of the county or municipality qualified to sign the petition, that their 686 respective residences are correctly stated in the petition, and that they all reside in the 687 county or municipality.  No notary public shall sign the petition as an elector or serve as 688 a circulator of any petition which he or she notarized.  Any and all pages of a petition that 689 have the circulator’s affidavit notarized by a notary public who also served as a circulator 690 of one or more pages of the petition or who signed one of the pages of the petition as an 691 elector shall be disqualified and rejected.

692 (2)  Following the filing of such petition, the election superintendent shall verify such 693 petition within 90 days following its submission for verification.  If such petition is found 694 to contain a sufficient number of valid signatures of the qualified electors of the 695 jurisdiction, the election superintendent shall call and conduct a special election in 696 accordance with Chapter 2 of Title 21 to submit the referendum question to the electors 697 of the jurisdiction.  Such special election shall be held on the next available day under 698 Code Section 21-2-540 that is at least 60 days after the date on which the petition is 699 verified but shall not be later than the next general election unless such general election 700 is within 60 days of the date on which the petition is verified.

701 (d)  The election superintendent of such county or municipality shall publish notice of a 702 referendum election under this Code section in the legal organ of the county or 703 municipality once a week for three consecutive weeks immediately prior to such election 704 notifying the electors of the jurisdiction of the date and purpose of such special election. 705 Each ballot shall contain the following question as requested in the petition or approved by 706 the local governing authority:

707 ‘(  )  YES Shall horse racing and pari-mutuel wagering be permitted in [name of 708 county or municipality] at a licensed racetrack in accordance with

  • (  )  NO     Chapter 41 of Title 50 of the O.C.G.A.?’
  • All persons desiring to vote for approval of the question shall vote ‘Yes,’ and all persons 711 desiring to vote for rejection of the question shall vote ‘No.’  If more than one-half of the 712 votes cast on the question are for approval, then pari-mutuel wagering may be conducted 713 in such county or municipality.  If the question is not so approved or if the election is not 714 conducted as provided in this Code section, such question shall not be approved.  The 715 expense of such election shall be borne by the county or municipality, as appropriate.  It 716 shall be the election superintendent’s duty to certify the result thereof to the Secretary of 717 State.  No such referendum shall be held more often than every three years in the same 718 county or municipality.  A subsequent referendum shall be required if a license has not

719 been granted by the commission within five years of the certification of the special election 720 approving a question.

  • 50-41-25.
  • (a)  Although the power to license, regulate, and collect certain revenues of pari-mutuel and 723 in this state is vested with the commission, the governing authority of any county, 724 municipality, or consolidated government in this state shall be authorized to enact and 725 enforce certain ordinance provisions authorized by this Code section.  Permissible local 726 ordinances are those that provide for:

727 (1)  Zoning restrictions related to distance from specified structures and uses and building 728 and related permits so long as the distance requirements, use restrictions, and building 729 permits applied to licensed equestrian facilities are no more restrictive, onerous, or 730 expensive than the requirements and restrictions applicable to all hotels and resorts 731 located within the jurisdiction;

732 (2)  The procurement and public display of a business license at an equestrian facility by 733 a licensee, provided that such requirements are no more restrictive, onerous, or expensive 734 than the requirements faced by all hotels and resorts located within the jurisdiction;

735 (3)  The procurement of a local alcohol license by a licensee for an equestrian facility, 736 provided that such requirements are no more restrictive, onerous, or expensive than the 737 requirements faced by all hotels and resorts located within the jurisdiction that are 738 licensed to sell and serve alcoholic beverages;

739 (4)  Compliance of a licensed equestrian facility with local fire and safety codes, provided 740 that such requirements are no more restrictive, onerous, or expensive than the 741 requirements faced by all hotels and resorts located within the jurisdiction; and

742 (5)  The elimination of any ordinance or local regulation on the ability of a licensed 743 equestrian facility to operate on a 24 hour basis for all legal purposes, including, but not 744 limited to, pari-mutuel wagering, hotel and hospitality operations, and the sale and 745 service of food and alcoholic beverages.

746 (b)  No local ordinance or regulation shall regulate the use of tobacco at a licensed 747 equestrian facility.

  • 50-41-26.
  • All pari-mutuel wagering conducted in this state shall be regulated, licensed, subjected to 750 revenue collection, or taxed only in accordance with the provisions of this chapter and the 751 regulations of the commission and shall not be subject to any licensing requirements, 752 regulatory considerations, revenue collection, or taxes already placed on bona fide coin 753 operated amusement machines pursuant to Chapter 27 of this title or any other state or local 754 law or rules, regulations, ordinances, or resolutions.
  • 50-41-27.
  • (a)  All conduct authorized by this chapter that takes place at a licensed equestrian facility 757 or by authorized advance deposit wagering shall not constitute gambling or any other 758 conduct made illegal by Article 2 of Chapter 11 of Title 16.

759 (b)  The provisions of Code Section 13-8-3 regarding the illegality and nonenforceability 760 of gambling contracts and any debt associated with them shall not be applicable to 761 contracts or debt arising out of legal pari-mutuel wagering conducted in accordance with 762 the requirements of this chapter and the regulations of the commission.

  • 50-41-28.
  • (a)  A credit instrument accepted by a licensee on or after the effective date of this chapter 765 and the debt that such credit instrument represents are valid and may be enforced by the 766 legal process.
  • (b)  A licensee:
  • (1)  May accept a credit instrument that is payable to an affiliated company or may 769 complete a credit instrument in the name of an affiliated company as payee if such credit 770 instrument otherwise complies with this Code section and the records of the affiliated 771 company pertaining to the credit instrument are made available to agents of the 772 commission upon request; and

773 (2)  May accept a credit instrument before, at the time, or after the patron incurs the debt. 774 The credit instrument and the debt that such credit instrument represents are enforceable 775 without regard to whether such credit instrument was accepted before, at the time, or after 776 the debt was incurred.

777   (c)  This Code section shall not prohibit the establishment of an account by a deposit of 778          cash, recognized traveler’s check, or any other instrument which is equivalent to cash. 779          (d)  The commission shall have all necessary authority to promulgate regulations, policies, 780          and procedures:

  • (1)  Regarding the issuance of credit instruments by licensees; and
  • (2)  Prescribing the conditions under which a credit instrument may be redeemed or 783 presented to a bank or credit union for collection or payment.

784 (e)  Except as provided in Code Section 50-41-17, no pari-mutuel wagering shall occur 785 anywhere in this state except on the premises of a licensed equestrian facility; provided, 786 however, that the play of bona fide coin operated amusement machines shall not constitute 787 gambling or commercial gambling for any purpose.

  • 50-41-29.
  • All licensees shall, in addition to maintaining full compliance with the obligations of this 790 chapter and the regulations of the commission, adhere to the federal record-keeping, 791 reporting, and compliance program demands required of similar operators by the Financial 792 Crimes Enforcement Network (FinCEN) of the United States Department of the Treasury. 793 Such obligations include, but are not limited to, adhering, when applicable, to the 794 requirements of the federal Bank Secrecy Act of 1970, as amended, and its associated 795 regulations in 31 C.F.R. Part 103.
  • ARTICLE 3
  • 50-41-30.
  • (a)  Any person that, with the intent to defraud, acts to alter the outcome of any horse race, 799 pari-mutuel wagering, or use of a historic race wagering machine through:
  • (1)  The use of any device, electrical or otherwise, except those specifically permitted by
  • the regulations, policies, or procedures of the commission;
  • (2)  The administration or introduction of any foreign substance or item; or
  • (3)  Any other impermissible means under the regulations, policies, and procedures of the
  • commission
  • shall be guilty of a felony and, upon conviction thereof, shall be punished by a fine not to 806          exceed $25,000.00.

807   (b)  Any person that, with the intent to defraud, influences or conspires with another to alter 808   the outcome of any horse race, pari-mutuel wagering, or use of a historic race wagering 809          machine through:

  • (1)  The use of any device, electrical or otherwise, except those specifically permitted by
  • the regulations, policies, or procedures of the commission;
  • (2)  The administration or introduction of any foreign substance or item; or
  • (3)  Any other impermissible means under the regulations, policies, and procedures of the
  • commission shall be guilty of a felony and, upon conviction thereof, shall be punished 815 by a fine not to exceed $100,000.00.
  • (c)  Any person that, with the intent to defraud:
  • (1)  Alters or misrepresents the outcome of a horse race or other event on which wagers
  • have been made after the outcome is made sure but before it is revealed to the players;
  • (2)  Places, increases, or decreases a bet or to determine the course of play after acquiring
  • knowledge, not available to all players, of the outcome of a horse race or any event that 821     affects the outcome of the horse race or which is the subject of the bet or to aid anyone 822          in acquiring such knowledge for the purpose of placing, increasing, or decreasing a bet 823 or determining the course of play contingent upon that event or outcome;

824 (3)  Claims, collects, or takes, or attempts to claim, collect, or take, money or anything 825 of value in or from a historic race wagering machine without having made a wager 826 contingent thereon, or to claim, collect, or take an amount greater than the amount won; 827 (4)  Places or increases a wager after acquiring knowledge of the outcome of the 828 gambling game or other event which is the subject of the bet, including past posting and

  • pressing bets;
  • (5)  Reduces the amount wagered or cancels the bet after acquiring knowledge of the 831 outcome of a pari-mutuel wager or other event which is the subject of the bet, including
  • pinching bets;
  • (6)  Manipulates any component of a historic race wagering machine in a manner 834 contrary to the designed and normal operational purpose for the component or 835 pari-mutuel wagering; or

836 (7)  Offers, promises, or gives anything of value to anyone for the purpose of influencing 837 the outcome of a race upon which a wager may be made, or places, increases, or 838 decreases a wager after acquiring knowledge, not available to the general public, that 839 anyone has been offered, promised, or given anything of value for the purpose of 840 influencing the outcome of the contest or race upon which the wager is placed, increased,

  • or decreased
  • shall be guilty of a felony and, upon conviction thereof, shall be punished by a fine not to 843          exceed $25,000.00.
  • 50-41-31.
  • It shall be unlawful for any person to use, possess with the intent to use, or assist another 846 person in using or possessing with the intent to use any computerized, electronic, electrical, 847 or mechanical device, or any software or hardware, or any combination thereof, which is 848 designed, constructed, altered, or programmed to obtain an advantage at making any 849 pari-mutuel wager in a licensed equestrian facility.
  • 50-41-32.
  • (a)  It shall be unlawful for any licensee, employee, or other person, not a duly authorized 852 employee of a licensee acting in furtherance of his or her employment within a licensed 853 equestrian facility, to possess, use, sell, or manufacture any counterfeit instruments, 854 counterfeit tickets, or other counterfeit items that are used to determine the outcome of any 855 contest or promotional activity conducted by or on behalf of any licensee.

856 (b)  It shall be unlawful for any individual, not a duly authorized employee of a licensee 857 acting in furtherance of his or her employment within a licensed equestrian facility, to have 858 on his or her person or in his or her possession on or off the premises of any licensed 859 equestrian facility any device intended to be used to violate the provisions of this chapter 860 or the regulations, policies, and procedures of the commission.

861 (c)  Any person violating the terms of this Code section shall be guilty of a felony and, 862 upon conviction thereof, shall be punished by a fine not to exceed $25,000.00.

  • 50-41-33.
  • It shall be unlawful for any person, whether the person is an owner or employee of or a 865 player in a licensed equestrian facility, to knowingly cheat at pari-mutuel wager.  Any 866 individual found to be knowingly cheating shall be guilty of a felony and, upon conviction 867 thereof, shall be punished by a fine not to exceed $25,000.00.
  • 50-41-34.
  • (a)  As used in this Code section, ‘medium of communication’ includes, but shall not be 870 limited to, mail, telephone, television, telegraph, facsimile, cable, wire, the internet, or any 871 other similar medium.

872 (b)  Except as otherwise provided in subsection (d) of this Code section, a person, alone or 873 with others, shall not knowingly, within or outside of this state:

874 (1)  Accept or receive, directly or indirectly, through any medium of communication a 875 wager from another person that is physically present within this state; or

876 (2)  Allow a lessee, agent, or employee to accept or receive, directly or indirectly, through 877 any medium of communication a wager from another person that is physically present 878 within this state.

  • (c)  Except as otherwise provided in this Code section, a person, alone or with others, shall
  • not knowingly:
  • (1)  From within this state, place, send, transmit, or relay through a medium of 882 communication a wager to another person or equestrian facility that is located within or 883 outside of this state; or

884 (2)  From outside of this state, place, send, transmit, or relay through a medium of 885 communication a wager to another person or a licensed equestrian facility that is located 886 within this state.

887 (d)  The provisions of subsections (b) and (c) of this Code section shall not apply to a 888 wager placed by a person for the person’s own benefit or, without compensation, for the 889 benefit of another that is accepted or received by, placed with, or sent, transmitted, or 890 relayed to any other person or licensed equestrian facility that is licensed to engage in 891 wagering pursuant to this chapter, if the wager is accepted or received within this state and 892 otherwise complies with all other applicable laws and regulations concerning wagering. 893 (e)  A person that violates the provisions of subsection (b) or (c) of this Code section shall 894 be guilty of a misdemeanor.

  • 50-41-35.
  • (a)  Any person that conspires, confederates, or combines with another, either inside or 897 outside this state, to commit a felony prohibited by this chapter shall be guilty of a felony 898 and, upon conviction thereof, shall be punished by a fine not exceed $100,000.00. 899 (b)  Any person that attempts to commit any act prohibited by this chapter shall be guilty 900 of a criminal offense and shall be punished as provided in Code Section 16-4-6.
  • 50-41-36.
  • Any person not licensed in accordance with this chapter to conduct pari-mutuel wagering 903 or horse racing on which pari-mutuel wagering is conducted who conducts pari-mutuel 904 wagering or horse racing on which pari-mutuel wagering is conducted with his or her 905 knowledge or consent shall be guilty of a felony and, upon conviction thereof, shall be 906 punished by imprisonment for not less than one nor more than ten years or a fine not to 907 exceed $100,000.00, or both.
  • 50-41-37.
  • Any person other than the lawful holder thereof who has in his or her possession any 910 credential, license, or permit issued by the commission or a forged or simulated credential, 911 license, or permit of the commission and who uses such credential, license, or permit for 912 the purpose of misrepresentation, fraud, or touting shall be guilty of a felony and, upon 913 conviction thereof, shall be punished by imprisonment for not less than one nor more than 914 ten years or a fine not to exceed $100,000.00, or both.  Any credential, license, or permit 915 issued by the commission if used by the holder thereof for a purpose other than 916 identification and in the performance of legitimate duties on a racetrack shall be 917 automatically revoked whether so used on or off a racetrack.
  • 50-41-38.
  • Any person that knowingly transmits information as to the progress or results of a horse 920 race or information as to wagers, betting odds, post or off times, or jockey changes in any 921 race by any means whatsoever for the purposes of carrying on illegal betting in violation 922 of Part 1 of Article 2 of Chapter 12 of Title 16 or to a person engaged in illegal betting 923 shall be guilty of a felony and, upon conviction thereof, shall be punished by imprisonment 924 for not less than one nor more than ten years or a fine not to exceed $100,000.00, or both. 925 This Code section shall not be construed to prohibit a newspaper from printing such results 926 or information as news or any television or radio station from telecasting or broadcasting 927 such results or information as news.  This Code section shall not be construed to place in 928 jeopardy any common carrier or its agents performing operations within the scope of a 929 public franchise or any gambling operation authorized by law.
  • 50-41-39.
  • Any person that knowingly and intentionally by false representation attempts to or does 932 persuade, procure, or cause another person to wager on a horse in a race to be run in this 933 state or elsewhere and upon which money is wagered in this state and who asks or demands 934 compensation as a reward for information or purported information given in such case shall 935 be guilty of touting and, upon conviction, shall be punished as for a misdemeanor.
  • 50-41-40.
  • Any person that gives, promises, or offers to any jockey, driver, groom, or any person 938 participating in any race meeting, including owners of racetracks and their employees, 939 stewards, trainers, judges, starters, and special peace officers, any valuable thing with intent 940 to influence him or her to attempt to lose or cause to be lost a horse race in which such 941 person is taking part or expects to take part or has any duty or connection or who, being 942 either jockey, driver, or groom or participant in a race meeting, solicits or accepts any 943 valuable thing to influence him or her to lose or cause to be lost a horse race in which he 944 or she is taking part or expects to take part or has any duty or connection shall be guilty of 945 a felony and, upon conviction thereof, shall be punished by imprisonment for not less than 946 one nor more than ten years or a fine not to exceed $100,000.00, or both.
  • 50-41-41.
  • (a)  Any person that, with the intent to defraud, acts to alter the outcome of a race by:
  • (1)  The administration of any substance foreign to the natural horse, except those 950 substances specifically permitted by the rules and regulations of the commission; or

951 (2)  The use of any device, electrical or otherwise, except those specifically permitted by 952 the rules and regulations of the commission,

953 shall be guilty of a felony and, upon conviction thereof, shall be punished by imprisonment 954 for not less than one nor more than three years or a fine not to exceed $25,000.00, or both. 955 (b)  Any person that, with the intent to defraud, influences or conspires with another to alter 956 the outcome of a race by:

957 (1)  The administration of any substance foreign to the natural horse, except those 958 substances specifically permitted by the rules and regulations of the commission; or

  • (2)  The use of any device, electrical or otherwise, except those specifically permitted by
  • the rules and regulations of the commission,
  • shall be guilty of a felony and, upon conviction thereof, shall be punished by imprisonment 962 for not less than one nor more than ten years or a fine not to exceed $100,000.00, or both. 963 (c)  Any person that:

964 (1)  Administers any substance foreign to the natural horse, except those substances 965 specifically permitted by the rules and regulations of the commission, when the horse is 966 entered to start; or

967 (2)  At any time exposes any substance foreign to the natural horse with the intent of 968 impeding or increasing the speed, endurance, health, or condition of a horse,

969 shall be guilty of a felony and, upon conviction thereof, shall be punished by imprisonment 970 for not less than one nor more than ten years or a fine not to exceed $100,000.00, or both. 971 (d)(1)  The commission shall implement or contract with an independent third party to 972 implement a split-sample procedure for testing race horses under this Code section.  The 973 commission shall split each urine and blood sample using the split-sample procedure into 974 a primary sample and a secondary or split sample upon collection.  The commission shall 975 transfer custody of the primary sample to the commission laboratory, with custody of the 976 split sample remaining with the commission except as provided in this subsection.

977 (2)  The commission shall notify the owner or trainer, the stewards, and the equestrian 978 facility of all drug test results.  If a drug test result is positive, upon request by the 979 affected trainer or owner of the horse from which the sample was obtained, the 980 commission shall send the split sample to an approved independent laboratory for 981 analysis.  The commission shall establish standards and rules for uniform enforcement 982 and shall maintain a list of at least five approved independent laboratories from which an 983 owner or trainer can select if a drug test result is positive.

984 (3)  If the commission laboratory’s findings are not confirmed by the independent 985 laboratory, no further administrative or disciplinary action under this Code section may

  • be pursued.
  • (4)  If the independent laboratory confirms the commission laboratory’s positive result, 988 the commission may commence enforcement proceedings against the offending 989 individuals, including the owner, trainer, and veterinarian.  For purposes of this 990 subsection, the commission shall in good faith attempt to obtain a sufficient quantity of 991 the test fluid to allow both a primary test and a secondary test to be made.  If there is an 992 insufficient quantity of the split sample for confirmation of the commission laboratory’s 993 positive result, the commission may not take further action on the matter against the 994 owner or trainer, and any resulting license suspension shall be immediately lifted.

995 (5)  The commission shall require its laboratory and the independent laboratories to 996 annually participate in an externally administered quality assurance program designed to 997 assess testing proficiency in the detection and appropriate quantification of medications, 998     drugs, and naturally occurring substances that may be administered to racing animals.

999 The administrator of the quality assurance program shall report its results and findings 1000 to the commission and the Department of Agriculture.

1001 (e)  The commission may inspect or coordinate inspections with law enforcement of any 1002 area of a facility where racing animals are raced, trained, housed, or maintained, including 1003 any areas where food, medications, or other supplies are kept, to ensure the humane 1004 treatment of racing animals and in compliance with this chapter and the rules of the

  1. commission.
  2. (f)  In order to protect the safety and welfare of racing animals and the integrity of the races 1007 in which the animals participate, the commission shall adopt rules establishing the 1008 conditions of use and maximum concentrations of medications, drugs, and naturally 1009 occurring substances identified in the Controlled Therapeutic Medication Schedule, by the 1010 Association of Racing Commissioners International, Inc. (ARCI).  Controlled therapeutic 1011 medications include only the specific medications and concentrations allowed in biological 1012 samples which have been approved by ARCI as controlled therapeutic medications.

1013 (g)  The commission rules shall designate the appropriate biological specimens by which 1014 the administration of medications, drugs, and naturally occurring substances is monitored 1015 and shall determine the testing methodologies, including measurement uncertainties, for 1016 screening such specimens to confirm the presence of medications, drugs, and naturally 1017 occurring substances.

1018 (h)  The commission rules shall include a classification system for drugs and substances 1019 and a corresponding penalty schedule for violations which incorporates the Uniform 1020 Classification Guidelines for Foreign Substances and Recommended Penalties Model Rule, 1021 by ARCI.  The rules shall specify that a drug that is not listed in the Controlled Therapeutic 1022 Medication Schedule which is present in a sample taken from the animal immediately after 1023 the race is a prohibited substance.  The presence of a prohibited substance in a sample may 1024 result in summary suspension of a permit holder.

1025 (i)  Medications authorized by the commission pursuant to this Code section shall only be 1026 administered by the track veterinarian or the state veterinarian.

  1. 50-41-42.
  2. The possession or transportation of any drug except those permitted by regulations of the 1029 commission within the racing enclosure is prohibited except upon a bona fide veterinarian’s 1030 prescription with complete statement of uses and purposes on the container.  A copy of 1031 such prescription shall be filed with the stewards.  Any person knowingly violating the

1032   provisions of this Code section relating to the legal possession of drugs shall be guilty of 1033 a misdemeanor.  The provisions of Chapter 13 of Title 16 shall apply in situations when 1034 drugs regulated by that chapter are within the racing enclosure.

  1. 50-41-43.
  2. Any person that knowingly enters or races any horse in any running or harness race under 1037 any name or designation other than the name or designation assigned to such horse by and 1038 registered with the Jockey Club, the United States Trotting Association, the American 1039 Quarter Horse Association, or other applicable association or who knowingly instigates, 1040 engages in, or in any way furthers any act by which any horse is entered or raced in any 1041 running or trotting race under any name or designation other than the name or designation 1042 duly assigned by and registered with the Jockey Club, the United States Trotting 1043 Association, the American Quarter Horse Association, or other applicable association shall 1044 be guilty of a felony and, upon conviction thereof, shall be punished by imprisonment for 1045 not less than one nor more than ten years or a fine not to exceed $100,000.00, or both.
  3. 50-41-44.
  4. No person shall wager on or conduct any wagering on the outcome of a horse race pursuant 1048 to the provisions of this chapter unless such person is 21 years of age or older.  No person 1049 shall accept any wager from a minor.  Any person violating the provisions of this Code 1050 section shall be guilty of a misdemeanor.
  5. ARTICLE 4
  6. 50-41-50.
  7. The Interstate Compact on Licensure of Participants in Live Racing with Pari-mutuel 1054 Wagering is enacted into law and entered into with all other jurisdictions legally joining 1055 therein in the form substantially as follows:

1056   ‘ARTICLE I – PURPOSES 1057   SECTION 1.  Purposes.

  1. The purposes of this compact are to:
  2. 1.  Establish uniform requirements among the party states for the licensing of participants 1060          in live racing with pari-mutuel wagering, and ensure that all such participants who are 1061       licensed pursuant to this compact meet a uniform minimum standard of honesty and 1062 integrity.

1063 2.  Facilitate the growth of the pari-mutuel racing industry in each party state and 1064 nationwide by simplifying the process for licensing participants in live racing, and reduce 1065 the duplicative and costly process of separate licensing by the regulatory agency in each 1066 state that conducts live racing with pari-mutuel wagering.

  1. 3.  Authorize the Georgia Horse Racing Commission to participate in this compact.
  2. 4.  Provide for participation in this compact by officials of the party states, and permit those 1069 officials, through the compact committee established by this compact, to enter into 1070 contracts with governmental agencies and nongovernmental persons to carry out the 1071 purposes of this compact.

1072 5.  Establish the compact committee created by this compact as an interstate governmental 1073 entity duly authorized to request and receive criminal history record information from the 1074 Federal Bureau of Investigation and other state and local law enforcement agencies.

1075 ARTICLE II – DEFINITIONS 1076           SECTION 2.  Definitions.

1077 “Compact committee” means the organization of officials from the party states that is 1078 authorized and empowered by this compact to carry out the purposes of this compact.

1079 “Official” means the appointed, elected, designated or otherwise duly selected 1080 representative of a racing commission or the equivalent thereof in a party state who 1081 represents that party state as a member of the compact committee.

1082 “Participants in live racing” means participants in live racing with pari-mutuel wagering 1083 in the party states.

  1. “Party state” means each state that has enacted this compact.
  2. “State” means each of the several states of the United States, the District of Columbia, the 1086 Commonwealth of Puerto Rico and each territory or possession of the United States.
  3. ARTICLE III – ENTRY INTO FORCE, ELIGIBLE PARTIES AND WITHDRAWAL
  4. SECTION 3.  Entry into force.
  5. This compact shall come into force when enacted by any four states.  Thereafter, this 1090 compact shall become effective as to any other state upon both (i) that state’s enactment of 1091 this compact and (ii) the affirmative vote of a majority of the officials on the compact 1092 committee as provided in Section 8 of this compact.
  6. SECTION 4.  States eligible to join compact.
  7. Any state that has adopted or authorized live racing with pari-mutuel wagering shall be 1095 eligible to become party to this compact.
  8. SECTION 5.  Withdrawal from compact and impact thereof
  9. on force and effect of compact.
  10. Any party state may withdraw from this compact by enacting a statute repealing this 1099 compact, but no such withdrawal shall become effective until the head of the executive 1100 branch of the withdrawing state has given notice in writing of such withdrawal to the head 1101 of the executive branch of all other party states.  If, as a result of withdrawals, participation 1102 in this compact decreases to less than three party states, this compact no longer shall be in 1103 force and effect unless and until there are at least three or more party states again 1104 participating in this compact.
  11. ARTICLE IV – COMPACT COMMITTEE
  12. SECTION 6.  Compact committee established.
  13. There is hereby created an interstate governmental entity to be known as the “compact 1108 committee,” which shall be comprised of one official from the racing commission or its 1109 equivalent in each party state who shall be appointed, serve, and be subject to removal in 1110 accordance with the laws of the party state he or she represents.  Pursuant to the laws of his 1111 or her party state, each official shall have the assistance of his or her state’s racing 1112 commission or the equivalent thereof in considering issues related to licensing of 1113 participants in live racing and in fulfilling his or her responsibilities as the representative 1114 from his or her state to the compact committee.  If an official is unable to perform any duty 1115 in connection with the powers and duties of the compact committee, the racing commission 1116 or equivalent thereof from his or her state shall designate an alternate who shall serve in 1117 his or her place and represent the party state as its official on the compact committee until 1118 that racing commission or equivalent thereof determines that the original representative 1119 official is able once again to perform his or her duties as that party state’s representative 1120 official on the compact committee.  The designation of an alternate shall be communicated 1121 by the affected state’s racing commission or equivalent thereof to the compact committee 1122 as the committee’s bylaws may provide.
  14. SECTION 7. Powers and duties of compact committee.
  15. In order to carry out the purposes of this compact, the compact committee is hereby granted 1125 the power and duty to:

1126 1.  Determine which categories of participants in live horse racing, including, but not 1127 limited to, owners, trainers, jockeys, grooms, mutuel clerks, racing officials, veterinarians, 1128 and farriers, and which categories of equivalent participants in dog racing and other forms 1129 of live racing with pari-mutuel wagering authorized in two or more of the party states, 1130 should be licensed by the committee, and establish the requirements for the initial licensure 1131        of applicants in each such category, the term of the license for each category, and the

1132 requirements for renewal of licenses in each category; provided, however, that, with regard 1133 to requests for criminal history record information on each applicant for a license, and with 1134 regard to the effect of a criminal record on the issuance or renewal of a license, the 1135 compact committee shall determine for each category of participants in live racing which 1136 licensure requirements for that category are, in its judgment, the most restrictive licensure 1137 requirements of any party state for that category and shall adopt licensure requirements for 1138 that category that are, in its judgment, comparable to those most restrictive requirements. 1139 2.  Investigate applicants for a license from the compact committee and, as permitted by 1140 federal and state law, gather information on such applicants, including criminal history 1141 record information from the Federal Bureau of Investigation and relevant state and local 1142 law enforcement agencies, and, where appropriate, from the Royal Canadian Mounted 1143 Police and law enforcement agencies of other countries, necessary to determine whether 1144 a license should be issued under the licensure requirements established by the committee 1145 as provided in paragraph 1 of this section.  Only officials on, and employees of, the 1146 compact committee may receive and review such criminal history record information, and 1147 those officials and employees may use that information only for the purposes of this 1148 compact.  No such official or employee may disclose or disseminate such information to 1149 any person or entity other than another official on or employee of the compact committee. 1150 The fingerprints of each applicant for a license from the compact committee shall be taken 1151 by the compact committee, its employees, or its designee and, pursuant to Public 1152 Law 92-544 or Public Law 100-413, shall be forwarded to a state identification bureau, or 1153 to an association of state officials regulating pari-mutuel wagering designated by the 1154 Attorney General of the United States, for submission to the Federal Bureau of 1155 Investigation for a criminal history record check.  Such fingerprints may be submitted on 1156 a fingerprint card or by electronic or other means authorized by the Federal Bureau of 1157 Investigation or other receiving law enforcement agency.

1158 3.  Issue licenses to, and renew the licenses of, participants in live racing listed in 1159 paragraph 1 of this section who are found by the committee to have met the licensure and 1160 renewal requirements established by the committee.  The compact committee shall not have 1161 the power or authority to deny a license.  If it determines that an applicant will not be 1162 eligible for the issuance or renewal of a compact committee license, the compact 1163 committee shall notify the applicant that it will not be able to process his or her application 1164 further.  Such notification does not constitute and shall not be considered to be the denial 1165 of a license.  Any such applicant shall have the right to present additional evidence to, and 1166 to be heard by, the compact committee, but the final decision on issuance or renewal of the 1167 license shall be made by the compact committee using the requirements established 1168 pursuant to paragraph 1 this section.

1169 4.  Enter into contracts or agreements with governmental agencies and with 1170 nongovernmental persons to provide personal services for its activities and such other 1171 services as may be necessary to effectuate the purposes of this compact.

1172 5.  Create, appoint, and abolish those offices, employments, and positions, including an 1173 executive director, as it deems necessary for the purposes of this compact, prescribe their 1174 powers, duties and qualifications, hire persons to fill those offices, employments and 1175 positions, and provide for the removal, term, tenure, compensation, fringe benefits, 1176 retirement benefits, and other conditions of employment of its officers, employees, and 1177 other positions.

1178 6.  Borrow, accept, or contract for the services of personnel from any state, the United 1179 States, or any other governmental agency, or from any person, firm, association, 1180 corporation, or other entity.

1181 7.  Acquire, hold, and dispose of real and personal property by gift, purchase, lease, license, 1182 or in other similar manner, in furtherance of the purposes of this compact.

  1. 8.  Charge a fee to each applicant for an initial license or renewal of a license.
  2. 9.  Receive other funds through gifts, grants and appropriations.
  3. SECTION 8.  Voting requirements.
  4. A.  Each official shall be entitled to one vote on the compact committee.
  5. B.  All action taken by the compact committee with regard to the addition of party states 1188 as provided in Section 3 of this compact, the licensure of participants in live racing, and the 1189 receipt and disbursement of funds shall require a majority vote of the total number of 1190 officials (or their alternates) on the committee.  All other action by the compact committee 1191 shall require a majority vote of those officials (or their alternates) present and voting.

1192 C.  No action of the compact committee may be taken unless a quorum is present.  A 1193 majority of the officials (or their alternates) on the compact committee shall constitute a

  1. quorum.
  2. SECTION 9.  Administration and management.
  3. A.  The compact committee shall elect annually from among its members a chairman, a 1197 vice-chairman, and a secretary/treasurer.

1198 B.  The compact committee shall adopt bylaws for the conduct of its business by a 1199 two-thirds’ vote of the total number of officials (or their alternates) on the committee at that 1200 time and shall have the power by the same vote to amend and rescind these bylaws.  The 1201 committee shall publish its bylaws in convenient form and shall file a copy thereof and a 1202         copy of any amendments thereto with the secretary of state or equivalent agency of each 1203  of the party states.

1204 C.  The compact committee may delegate the day-to-day management and administration 1205 of its duties and responsibilities to an executive director and his or her support staff.

  1. D.  Employees of the compact committee shall be considered governmental employees.
  2. SECTION 10.  Immunity from liability for performance 1208        of official responsibilities and duties.

1209 No official of a party state or employee of the compact committee shall be held personally 1210 liable for any good faith act or omission that occurs during the performance and within the 1211 scope of his or her responsibilities and duties under this compact.

1212   ARTICLE V – RIGHTS AND RESPONSIBILITIES OF EACH PARTY STATE 1213            SECTION 11.  Rights and responsibilities of each party state.

  1. A.  By enacting this compact, each party state:
  2. 1.  Agrees (i) to accept the decisions of the compact committee regarding the issuance of 1216 compact committee licenses to participants in live racing pursuant to the committee’s 1217 licensure requirements, and (ii) to reimburse or otherwise pay the expenses of its official 1218 representative on the compact committee or his or her alternate.

1219 2.  Agrees not to treat a notification to an applicant by the compact committee under 1220 paragraph 3 of Section 7 of this compact that the compact committee will not be able to 1221 process his or her application further as the denial of a license, or to penalize such an 1222 applicant in any other way based solely on such a decision by the compact committee.

  1. 3.  Reserves the right (i) to charge a fee for the use of a compact committee license in that
  2. state, (ii) to apply its own standards in determining whether, on the facts of a particular 1225 case, a compact committee license should be suspended or revoked, (iii) to apply its own 1226 standards in determining licensure eligibility, under the laws of that party state, for 1227 categories of participants in live racing that the compact committee determines not to 1228 license and for individual participants in live racing who do not meet the licensure 1229 requirements of the compact committee, and (iv) to establish its own licensure standards 1230 for the licensure of non-racing employees at pari-mutuel racetracks and employees at 1231 separate satellite wagering facilities.  Any party state that suspends or revokes a compact 1232 committee license shall, through its racing commission or the equivalent thereof or 1233 otherwise, promptly notify the compact committee of that suspension or revocation. 1234 B.  No party state shall be held liable for the debts or other financial obligations incurred 1235 by the compact committee.

1236   ARTICLE VI – CONSTRUCTION AND SEVERABILITY 1237      SECTION 12.  Construction and severability.

1238 This compact shall be liberally construed so as to effectuate its purposes.  The provisions 1239 of this compact shall be severable, and, if any phrase, clause, sentence or provision of this 1240 compact is declared to be contrary to the Constitution of the United States or of any party 1241 state, or the applicability of this compact to any government, agency, person, or 1242 circumstance is held invalid, the validity of the remainder of this compact and the 1243 applicability thereof to any government, agency, person, or circumstance shall not be 1244 affected thereby.  If all or some portion of this compact is held to be contrary to the

1245 constitution of any party state, the compact shall remain in full force and effect as to the 1246 remaining party states and in full force and effect as to the state affected as to all severable

  1. matters.’
  2. 50-41-51.
  3. The Governor shall appoint one official to represent the State of Georgia on the compact 1250 committee for a term of four years.  No official shall serve more than three consecutive 1251 terms.  A vacancy shall be filled by the Governor for the unexpired term.
  4. 50-41-52.
  5. All departments, agencies, and officers of the State of Georgia and its political subdivisions 1254 are authorized to cooperate with the compact committee in furtherance of any of its 1255 activities pursuant to the compact.
  6. 50-41-53.
  7. Nothing in this article shall be construed to diminish or limit the powers and 1258 responsibilities of the commission established by Article 1 of this chapter or to invalidate 1259 any action of the commission previously taken, including, without limitation, any rule or
  8. regulation promulgated thereby.”
  9. SECTION 3.
  10. Providing that an amendment to the Constitution of the State of Georgia that authorizes 1263 pari-mutuel wagering is passed by the General Assembly and ratified by the voters in the 1264 2020 general election, this Act shall become effective on January 1, 2021.
  11. SECTION 4.
  12. All laws and parts of laws in conflict with this Act are repealed.

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