SENATE BILL 625
54th legislature - STATE OF NEW MEXICO - first session, 2019
Linda M. Lopez and Elizabeth “Liz” Stefanics and
Joseph L. Sanchez and Patricia Roybal Caballero
RELATING TO GAMING; REQUIRING A MINIMUM NUMBER OF LIVE RACES THAT RACETRACKS CONDUCT; PROVIDING DUE PROCESS TO CERTAIN LICENSEES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 60-2E-27 NMSA 1978 (being Laws 1997, Chapter 190, Section 29, as amended) is amended to read:
"60-2E-27. GAMING OPERATOR LICENSEES--SPECIAL CONDITIONS FOR RACETRACKS--NUMBER OF GAMING MACHINES--[DAYS] RACES AND HOURS OF OPERATIONS.--
A. A racetrack licensed by the state racing commission pursuant to the Horse Racing Act to conduct live horse races or simulcast races may be issued a gaming operator's license to operate gaming machines on its premises where live racing is conducted.
B. A racetrack's gaming operator's license shall automatically become void if the racetrack:
(1) [the racetrack] no longer holds an active license to conduct pari-mutuel wagering;
[(2) the racetrack paid gaming tax to the state on its net take in an amount greater than eight million dollars ($8,000,000) in the prior fiscal year pursuant to Section 60-2E-47 NMSA 1978 and fails to maintain a minimum of four live race days a week with at least nine live races on each race day during its licensed race meet, except as provided in Subsection F of this section; or
(3) the racetrack paid gaming tax to the state on its net take in an amount equal to eight million dollars ($8,000,000) or less in the prior fiscal year pursuant to Section 60-2E-47 NMSA 1978 and fails to maintain a minimum of three live race days a week with at least ten live races on each day during its licensed race meets, except as provided in Subsection F of this section.]
(2) excludes a licensee without due process and the approval of the state racing commission; or
(3) fails to maintain daily racing cards with sixty percent thoroughbred horse races of which two races per day are restricted to New Mexico-bred horses, and forty percent quarter horse races of which two races per day are restricted to New Mexico-bred horses.
C. Unless a larger number is allowed pursuant to Subsection D of this section, a gaming operator licensee that is a racetrack may have up to six hundred licensed gaming machines.
D. By execution of an allocation agreement, signed by both the allocating racetrack and the racetrack to which the allocation is made, a gaming operator licensee that is a racetrack may allocate any number of its authorized gaming machines to another gaming operator licensee that is a racetrack. To be valid, the allocation agreement must bear the written approval of the board and the state racing commission, and this approval shall make specific reference to the meeting at which the action of approval was taken and the number of votes cast both for and against the approval. By allocating a number of its authorized machines to another racetrack, the allocating racetrack automatically surrenders all rights to operate the number of machines allocated. No racetrack shall operate or be authorized to operate more than seven hundred fifty gaming machines.
E. Gaming machines on a racetrack gaming operator licensee's premises may be played only on days when the racetrack is either conducting live horse races or simulcasting horse race meets. On days when gaming machines are permitted to be operated, a racetrack gaming operator licensee may offer gaming machines for operation for up to eighteen hours per day; provided that the total number of hours in which gaming machines are operated does not exceed one hundred twelve hours in a one-week period beginning on Tuesday at 8:00 a.m. and ending at 8:00 a.m. on the following Tuesday. A racetrack gaming operator licensee may offer gaming machines for play at any time during a day; provided that the total hours of operation in each day from just after midnight of the previous day until midnight of the current day does not exceed eighteen hours. A racetrack gaming operator licensee shall determine, within the limitations imposed by this subsection, the hours it will offer gaming machines for operation each day and shall notify the board in writing of those hours.
F. [Maintaining fewer live race days or fewer live races on each race day during a licensed race meet does not constitute a failure to maintain the minimum number of live race days or races as required by Paragraphs (2) and (3) of Subsection B of this section] Each year, the state racing commission shall approve a set number of races to be held at the racetrack of each racetrack gaming operator licensee. If there are five racetrack gaming operator licensees, the commission shall approve no fewer than three thousand races in aggregate annually at the five racetracks. If there are six racetrack gaming operator licensees, the commission shall approve no fewer than three thousand five hundred races in aggregate annually at the six racetracks. Except as provided in this subsection, if a racetrack gaming operator licensee fails to hold, in any year, at least the number of races set by the commission for that year, the commission shall issue a notice of noncompliance to the racetrack and the board shall revoke the racetrack's gaming operator's license. The failure of a racetrack gaming operator licensee to hold, in any year, at least the number of races set by the state racing commission for that year shall not automatically cause the racetrack's gaming operator's license to become void or revoked if the licensee submits to the board written approval by the state racing commission for the licensee to vary the minimum number of [live race days or] races, and the variance is due to:
(1) the inability of a racetrack gaming operator licensee to fill races as published in the licensee's condition book as long as the same type of canceled race is run within the following two race weeks as the race season permits;
(2) severe weather or other act, event or occurrence resulting from natural forces;
(3) a strike or work stoppage by jockeys or other persons necessary to conduct a race or meet;
(4) a power outage, electrical failure or failure or unavailability of any equipment or supplies necessary to conduct a race or meet;
(5) hazardous conditions or other threats to the public health or safety; or
(6) any other act, event or occurrence that the board finds is not within the control of the licensee even with the exercise of reasonable diligence or care.
G. Alcoholic beverages shall not be sold, served, delivered or consumed in the area restricted pursuant to Subsection F of Section 60-2E-26 NMSA 1978."
- 6 -