0001| AN ACT | 0002| RELATING TO GAMBLING; PROVIDING FOR OFF-TRACK PARI-MUTUEL WAGERING ON | 0003| HORSE RACES; AMENDING SECTIONS OF THE HORSE RACING ACT. | 0004| | 0005| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO: | 0006| Section 1. Section 60-1-3 NMSA 1978 (being Laws 1933, Chapter | 0007| 55, Section 2, as amended by Laws 1989, Chapter 99, Section 1 and also | 0008| by Laws 1989, Chapter 377, Section 1) is amended to read: | 0009| "60-1-3. APPLICATION FOR LICENSES--STATE RACING COMMISSION | 0010| CREATED--MEMBERS--TERMS OF OFFICE--VACANCIES--POWERS AND DUTIES.-- | 0011| A. Any person, firm, association or corporation desiring to | 0012| hold a horse race, engage in horse race meetings or provide for | 0013| off-track pari-mutuel wagering on a horse race shall apply to the | 0014| state racing commission for a license. | 0015| B. There is created the "state racing commission". The | 0016| state racing commission shall consist of five members, no more than | 0017| three of whom shall be members of the same political party. They | 0018| shall be appointed by the governor, and no less than three of them | 0019| shall be practical breeders of racehorses within the state. Each | 0020| member shall be an actual resident of New Mexico and of such character | 0021| and reputation as to promote public confidence in the administration | 0022| of racing affairs. | 0023| C. The term of office of each member of the state racing | 0024| commission shall be six years from his appointment, and he shall serve | 0025| until his successor is appointed and qualified. In case of any | 0001| vacancy in the membership of the commission, the governor shall fill | 0002| the vacancy by appointment for the unexpired term. | 0003| D. No person shall be eligible for appointment as a member | 0004| of the state racing commission who is an officer, official or director | 0005| in any association or corporation conducting racing within the state. | 0006| E. Members of the state racing commission shall receive no | 0007| salary, but each member of the commission shall receive per diem and | 0008| mileage in accordance with the Per Diem and Mileage Act. The | 0009| commission may appoint a secretary and fix his duties and | 0010| compensation. | 0011| F. The state racing commission has the power to: | 0012| (1) grant, refuse and revoke licenses; | 0013| (2) make rules and regulations for the holding, | 0014| conducting and operating of all race meets, races and off-track | 0015| pari-mutuel wagering held in the state and to fix and set racing | 0016| dates; | 0017| (3) make an annual report to the governor of its | 0018| administration of the racing laws; | 0019| (4) require of each applicant for a license the full | 0020| name of the person, association or corporation applying and, if the | 0021| applicant is a corporation or an association, the name of the state in | 0022| which incorporated, the nationality and residence of the members of | 0023| the association and the names of the stockholders and directors of the | 0024| corporation; | 0025| (5) require of an applicant for a license the exact | 0001| location where it is desired to conduct or hold a race, race meeting | 0002| or off-track pari-mutuel wagering, whether or not the racetrack, plant | 0003| or place of business is owned or leased and, if leased, the name and | 0004| residence of the fee owner or, if the owner is a corporation, the | 0005| names of the directors and stockholders, a statement of the assets and | 0006| liabilities of the person, association or corporation making the | 0007| application, the kind of racing or off-track pari-mutuel wagering to | 0008| be conducted and the period desired and such other information as the | 0009| commission may require; | 0010| (6) require on each application a statement under | 0011| oath that the information contained in the application is true; | 0012| (7) personally or by agents and representatives | 0013| supervise and check the making of pari-mutuel pools and the | 0014| distribution from those pools; | 0015| (8) cause the various places where race meets are | 0016| held and off-track pari-mutuel wagering is conducted to be visited and | 0017| inspected at reasonable intervals; | 0018| (9) make rules governing, restricting or regulating | 0019| bids on leases; | 0020| (10) regulate rates charged by the licensee for | 0021| admission to races or for the performance of any service or the sale | 0022| of any article on the premises of the licensee at a racetrack; | 0023| (11) approve all proposed extensions, additions or | 0024| improvements to the buildings, stables or tracks upon property owned | 0025| or leased by a licensee at a racetrack and require the removal of any | 0001| employee or official employed by the licensee; | 0002| (12) completely supervise and control the pari-mutuel | 0003| machines and equipment at all races and off-track pari-mutuel wagering | 0004| held or operated by the state or any state agency or commission; | 0005| (13) approve all contracts and agreements for the | 0006| payment of money and all salaries, fees and compensations by any | 0007| licensee of a racetrack; | 0008| (14) regulate the size of the purse, stake or reward | 0009| to be offered for any race; | 0010| (15) exclude or compel the exclusion of, from all | 0011| racecourses or off-track pari-mutuel wagering places, any person whom | 0012| the commission deems detrimental to the best interests of racing or | 0013| any person who willfully violates the racing laws or any rule, | 0014| regulation or order of the commission or any law of the United States | 0015| or of this state; | 0016| (16) compel the production of all documents showing | 0017| the receipts and disbursements of any licensee and determine the | 0018| manner in which such financial records shall be kept; | 0019| (17) investigate the operations of any licensee, and | 0020| the commission has authority to place attendants and such other | 0021| persons as may be deemed necessary in the offices, on the tracks or in | 0022| places of business of any licensee for the purpose of satisfying | 0023| itself that the rules and regulations are strictly complied with; and | 0024| (18) employ staff as peace officers for the purpose | 0025| of conducting investigations and for enforcing rules and regulations | 0001| of the state racing commission and the laws of the state and to obtain | 0002| documents and information from other agencies in order to assist the | 0003| commission. Staff employed as peace officers shall be required to | 0004| satisfactorily complete a basic law enforcement training program but | 0005| such peace officers shall not carry firearms or other deadly weapons | 0006| while on duty. | 0007| G. The state racing commission shall publicly state its | 0008| reasons for refusing an application for a license. The reasons shall | 0009| be included in the minute book of the commission, and the minute book | 0010| shall be subject to public inspection at all reasonable times. | 0011| H. The state racing commission has the power to summon | 0012| witnesses, books, papers, documents or tangible things and to | 0013| administer oaths for the effectual discharge of the commission's | 0014| duties. The commission may appoint a hearing officer to conduct any | 0015| hearing required by the Horse Racing Act or any rule or regulation | 0016| promulgated pursuant to that act." | 0017| Section 2. Section 60-1-10 NMSA 1978 (being Laws 1933, Chapter | 0018| 55, Section 6, as amended) is amended to read: | 0019| "60-1-10. PARI-MUTUEL METHOD LEGALIZED--MAXIMUM | 0020| COMMISSIONS--HORSEMEN'S COMMISSION--GAMBLING STATUTES NOT | 0021| REPEALED--COMMISSION DISTRIBUTION.-- | 0022| A. Within the enclosure where any horse races are | 0023| conducted, either as live on-track horse races or as horse races | 0024| simulcast pursuant to Section 60-1-25 NMSA 1978, or where a licensee | 0025| has been licensed to use the pari-mutuel method or system of wagering | 0001| on races, including off-track pari-mutuel wagering, the pari-mutuel | 0002| system is lawful. | 0003| B. The sale to patrons of pari-mutuel tickets or | 0004| certificates on the races or the use of the pari-mutuel system shall | 0005| not be construed to be betting, gambling or pool selling and is | 0006| authorized under the conditions provided by law. | 0007| C. There shall be for each class A licensee a commission of | 0008| nineteen percent of the gross amount wagered on win, place and show | 0009| through the pari-mutuel system, of which eighteen and three-fourths | 0010| percent shall be retained by the licensee and one-fourth of one | 0011| percent shall be allocated to the general fund. A commission in an | 0012| amount determined by the licensee of not less than eighteen and | 0013| six-eighths percent and not greater than twenty-five percent of the | 0014| gross amount wagered on win, place and show through the pari-mutuel | 0015| system shall be retained by a class B licensee racetrack. Each class | 0016| B licensee shall advise the state racing commission not less than | 0017| thirty days in advance of each horse racing meeting of the percentage | 0018| the licensee shall retain as commission. From its commission, each | 0019| class A and class B licensee shall allocate five-eighths of one | 0020| percent to the New Mexico horse breeders' association weekly for | 0021| distribution pursuant to the provisions of Subsection C of Section | 0022| 60-1-17 NMSA 1978. | 0023| D. Except as otherwise provided in this subsection, a | 0024| commission shall be retained by the licensee at the election of each | 0025| class A licensee racetrack of not less than twenty-one percent and not | 0001| greater than twenty-five percent of the gross amount wagered on exotic | 0002| wagering and at the election of each class B licensee racetrack, and | 0003| with the approval of the state racing commission, of not less than | 0004| twenty-one percent and not greater than thirty percent of the gross | 0005| amount wagered on exotic wagering. For the purpose of this | 0006| subsection, "exotic wagering" means all wagering other than win, place | 0007| and show, through the pari-mutuel system. Each licensee shall advise | 0008| the state racing commission not less than thirty days in advance of | 0009| each horse racing meeting of the amount of the commission of the gross | 0010| amount wagered on exotic wagering to be retained by the licensee. | 0011| From its commission, the licensee shall allocate one and three-eighths | 0012| percent to the New Mexico horse breeders' association weekly for | 0013| distribution pursuant to the provisions of Subsection C of Section | 0014| 60-1-17 NMSA 1978. | 0015| E. A licensee of off-track pari-mutuel wagering shall not | 0016| receive a commission on the wagering conducted. | 0017| F. The odd cents of all redistributions to the wagerer over | 0018| the next lowest multiple of ten from the gross amount wagered through | 0019| the pari-mutuel system shall be retained by the licensee, with fifty | 0020| percent of the total being allocated to enhance the race purses of | 0021| established stake races that include only horses registered as New | 0022| Mexico bred with the New Mexico horse breeders' association, to be | 0023| distributed by the New Mexico horse breeders' association pursuant to | 0024| Paragraph (3) of Subsection C of Section 60-1-17 NMSA 1978 subject to | 0025| the approval of the state racing commission. | 0001| G. All money resulting from the failure of patrons who | 0002| purchased winning pari-mutuel tickets during the meeting to redeem | 0003| their winning tickets before the end of the sixty-day period | 0004| immediately succeeding the closing day of the meeting and all money | 0005| resulting from the failure of patrons who purchased pari-mutuel | 0006| tickets that were entitled to refund but were not refunded during the | 0007| same sixty-day period shall be apportioned as follows: | 0008| (1) thirty-three and thirty-three hundredths percent | 0009| shall be retained by the licensee; | 0010| (2) thirty-three and thirty-four hundredths percent | 0011| shall be distributed to the New Mexico horse breeders' association to | 0012| enhance each track's established overnight purses for races that | 0013| include only horses registered as New Mexico bred with the New Mexico | 0014| horse breeders' association pursuant to Paragraph (3) of Subsection C | 0015| of Section 60-1-17 NMSA 1978, subject to the approval of the state | 0016| racing commission; and | 0017| (3) thirty-three and thirty-three hundredths percent | 0018| shall be allocated to horsemen's race purses. | 0019| H. To promote and improve the quality of horse racing and | 0020| simulcasting and the participation of interested persons in horse | 0021| racing in New Mexico, one-half of one percent of the gross amount | 0022| wagered on simulcast horse races in New Mexico shall be allocated by | 0023| each licensee for distribution to the New Mexico horsemen's | 0024| association, provided that at least one-quarter of one percent of the | 0025| gross amount wagered on simulcast races that is so allocated is used | 0001| solely for medical benefits for the members of the New Mexico | 0002| horsemen's association, and provided further that the remaining one- | 0003| quarter of one percent of the gross amount wagered on simulcast races | 0004| that is so allocated shall be used to enhance purses at each licensed | 0005| racetrack. The state racing commission shall by regulation provide | 0006| for the timing and manner of the distribution required by this | 0007| subsection and shall audit, or arrange for an independent audit of, | 0008| the disbursement required by this subsection. | 0009| I. Fifty percent of the net retainage of each licensee | 0010| shall be allocated to race purses. For purposes of this section, "net | 0011| retainage" of the licensee means the commission retained by the | 0012| licensee on all forms of wagers minus: | 0013| (1) the taxes delineated in Sections 60-1-8 and | 0014| 60-1-15 NMSA 1978; | 0015| (2) money allocated to the New Mexico horse breeders' | 0016| association by this section and Section 60-1-17 NMSA 1978; | 0017| (3) money allocated to the New Mexico horsemen's | 0018| association by this section; and | 0019| (4) a deduction for expenses incurred to engage in | 0020| intrastate simulcasting pursuant to Section 60-1-25 NMSA 1978, | 0021| provided that: | 0022| (a) the deduction for each licensee shall be a | 0023| portion of five percent of the gross amount wagered at all the sites | 0024| receiving the same simulcast horse races; | 0025| (b) the deduction portion for each licensee | 0001| shall be an amount allocated to the licensee by agreement voluntarily | 0002| reached among all the licensees sending or receiving the same | 0003| simulcast horse races; and | 0004| (c) the deduction portion for each licensee | 0005| shall be an amount allocated to the licensee by the state racing | 0006| commission if all the licensees sending or receiving the same | 0007| simulcast horse races fail to reach a voluntary agreement under | 0008| Subparagraph (b) of this paragraph. | 0009| J. Existing statutes of this state against horse racing on | 0010| Sundays or on bookmaking, pool selling or other methods of wagering on | 0011| the racing of horses are not repealed but are hereby expressly | 0012| continued in effect, with the exception that the operation of the | 0013| pari-mutuel method or system in connection with the racing of horses, | 0014| when used as provided by law, is lawful. | 0015| K. In the event any money paid or allocated to the New | 0016| Mexico horse breeders' association or the New Mexico Appaloosa racing | 0017| association pursuant to the Horse Racing Act cannot be paid to or | 0018| allocated or administered by such associations, then the state racing | 0019| commission, or such other organization as may be designated, retained | 0020| or absolutely controlled by the state racing commission, shall receive | 0021| all such money and shall pay, allocate and administer all such money | 0022| pursuant to the provisions of Section 60-1-17 NMSA 1978. If the state | 0023| racing commission or its controlled designee is required to pay, | 0024| allocate or administer money on behalf of the New Mexico horse | 0025| breeders' association or the New Mexico Appaloosa racing association | 0001| pursuant to this subsection, then the maximum percentage of funds set | 0002| forth in Paragraph (3) of Subsection C of Section 60-1-17 NMSA 1978 | 0003| shall be paid by the state racing commission to the New Mexico horse | 0004| breeders' association or the New Mexico Appaloosa racing association | 0005| as a fee to obtain the certification of the registry of the dam and | 0006| stud of the New Mexico bred horse. | 0007| L. In the event any money paid or allocated to the New | 0008| Mexico horsemen's association pursuant to the Horse Racing Act cannot | 0009| be paid to or allocated or administered by the association, then the | 0010| state racing commission, or such other organization as may be | 0011| designated, retained or absolutely controlled by the state racing | 0012| commission, shall receive all such money and shall pay, allocate and | 0013| administer all such money to achieve the purposes of the provisions of | 0014| this section." | 0015| Section 3. Section 60-1-25 NMSA 1978 (being Laws 1991, Chapter | 0016| 195, Section 6) is amended to read: | 0017| "60-1-25. SIMULCASTING.-- | 0018| A. As used in this section, "simulcasting" means a live | 0019| audio-visual broadcast of an actual horse race at the time it is run. | 0020| B. The state racing commission may permit simulcasting of | 0021| races being run at licensed New Mexico racetracks to racetracks | 0022| outside the state, as well as to other licensed New Mexico racetracks | 0023| and licensees of off-track pari-mutuel wagering, and of races being | 0024| run at racetracks outside New Mexico to licensed racetracks and | 0025| licensees of off-track pari-mutuel wagering in this state. | 0001| Pari-mutuel wagering on simulcasted races shall be prohibited at | 0002| licensed New Mexico racetracks except on days that such racetracks | 0003| have race meets in progress or on days that such racetracks do not | 0004| have race meets in progress but are simulcasting races from another | 0005| licensed New Mexico racetrack; provided, however, that pari-mutuel | 0006| wagering on simulcasted races shall only be allowed at any licensed | 0007| New Mexico racetrack within a radius of eighty miles of any other | 0008| licensed New Mexico racetrack with race meets in progress if there is | 0009| mutual agreement of the two licensees, and provided further that no | 0010| licensed New Mexico racetrack shall be allowed to receive broadcasts | 0011| of simulcast races unless that racetrack offers at least seventeen | 0012| days per year of pari-mutuel | 0013| wagering on on-track live horse races. The commission shall | 0014| promulgate rules and regulations concerning the simulcasting of racing | 0015| as provided in this section. | 0016| C. All simulcasting of races shall have prior approval | 0017| of the state racing commission." |