093_SB1525eng

 
SB1525 Engrossed                     LRB093 07623 LRD 10880 b

 1        AN ACT in relation to gambling.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The Illinois Horse  Racing  Act  of  1975  is
 5    amended by changing Section 30 as follows:

 6        (230 ILCS 5/30) (from Ch. 8, par. 37-30)
 7        Sec.  30.   (a)  The General Assembly declares that it is
 8    the policy  of  this  State  to  encourage  the  breeding  of
 9    thoroughbred  horses  in this State and the ownership of such
10    horses by residents of this State in order  to  provide  for:
11    sufficient  numbers  of  high quality thoroughbred horses  to
12    participate in thoroughbred racing meetings  in  this  State,
13    and to establish and preserve the agricultural and commercial
14    benefits  of such breeding and racing industries to the State
15    of Illinois.  It is the intent of  the  General  Assembly  to
16    further this policy by the provisions of this Act.
17        (b)  Each organization licensee conducting a thoroughbred
18    racing  meeting  pursuant  to this Act shall provide at least
19    two races each day limited to Illinois conceived  and  foaled
20    horses  or  Illinois  foaled  horses or both.  A minimum of 6
21    races shall  be  conducted  each  week  limited  to  Illinois
22    conceived  and  foaled or Illinois foaled horses or both.  No
23    horses shall be permitted to start in such races unless  duly
24    registered under the rules of the Department of Agriculture.
25        (c)  Conditions  of  races  under subsection (b) shall be
26    commensurate with past performance,  quality,  and  class  of
27    Illinois  conceived  and  foaled  and  Illinois foaled horses
28    available.  If, however, sufficient competition cannot be had
29    among horses of that class on any day, the  races  may,  with
30    consent  of  the  Board,  be  eliminated  for  that  day  and
31    substitute races provided.
 
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 1        (d)  There  is hereby created a special fund of the State
 2    Treasury to be known as the  Illinois  Thoroughbred  Breeders
 3    Fund.
 4        Except  as  provided  in  subsection (g) of Section 27 of
 5    this Act, 8.5% of all the monies received  by  the  State  as
 6    privilege taxes on Thoroughbred racing meetings shall be paid
 7    into the Illinois Thoroughbred Breeders Fund.
 8        (e)  The  Illinois  Thoroughbred  Breeders  Fund shall be
 9    administered by the Department of Agriculture with the advice
10    and assistance of the Advisory Board  created  in  subsection
11    (f) of this Section.
12        (f)  The  Illinois  Thoroughbred  Breeders  Fund Advisory
13    Board shall consist of the  Director  of  the  Department  of
14    Agriculture,  who  shall  serve  as Chairman; a member of the
15    Illinois Racing Board, designated by it; 2 representatives of
16    the organization  licensees  conducting  thoroughbred  racing
17    meetings,  recommended  by  them;  2  representatives  of the
18    Illinois  Thoroughbred  Breeders   and   Owners   Foundation,
19    recommended  by  it;  and 2 representatives of the Horsemen's
20    Benevolent   Protective   Association   or   any    successor
21    organization established in Illinois comprised of the largest
22    number  of  owners  and trainers, recommended by it, with one
23    representative of the Horsemen's  Benevolent  and  Protective
24    Association  to come from its Illinois Division, and one from
25    its Chicago Division. Advisory Board members shall serve  for
26    2  years  commencing January 1 of each odd numbered year.  If
27    representatives  of  the  organization  licensees  conducting
28    thoroughbred  racing  meetings,  the  Illinois   Thoroughbred
29    Breeders and Owners Foundation, and the Horsemen's Benevolent
30    Protection  Association  have not been recommended by January
31    1, of each odd numbered year, the Director of the  Department
32    of Agriculture shall make an appointment for the organization
33    failing  to  so  recommend  a  member  of the Advisory Board.
34    Advisory Board members  shall  receive  no  compensation  for
 
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 1    their  services  as  members  but shall be reimbursed for all
 2    actual and necessary expenses and disbursements  incurred  in
 3    the execution of their official duties.
 4        (g)  No  monies  shall  be  expended  from  the  Illinois
 5    Thoroughbred  Breeders  Fund  except  as  appropriated by the
 6    General Assembly.   Monies  appropriated  from  the  Illinois
 7    Thoroughbred   Breeders   Fund   shall  be  expended  by  the
 8    Department of Agriculture, with the advice and assistance  of
 9    the  Illinois  Thoroughbred Breeders Fund Advisory Board, for
10    the following purposes only:
11             (1)  To  provide  purse  supplements  to  owners  of
12        horses  participating  in  races  limited   to   Illinois
13        conceived  and  foaled   and Illinois foaled horses.  Any
14        such purse supplements shall not be included in and shall
15        be paid in addition to any purses, stakes,  or  breeders'
16        awards   offered   by   each   organization  licensee  as
17        determined  by  agreement   between   such   organization
18        licensee  and  an organization representing the horsemen.
19        No monies from the Illinois  Thoroughbred  Breeders  Fund
20        shall  be  used to provide purse supplements for claiming
21        races in which the minimum claiming price  is  less  than
22        $7,500.
23             (2)  To  provide stakes and awards to be paid to the
24        owners of the winning horses in certain races limited  to
25        Illinois  conceived and foaled and Illinois foaled horses
26        designated as stakes races.
27             (2.5)  To provide an award to the owner or owners of
28        an Illinois conceived and foaled or Illinois foaled horse
29        that  wins  a  maiden  special  weight,   an   allowance,
30        overnight  handicap  race, or claiming race with claiming
31        price of $10,000  or  more  providing  the  race  is  not
32        restricted  to  Illinois conceived and foaled or Illinois
33        foaled horses.  Awards shall  also  be  provided  to  the
34        owner  or  owners  of  Illinois  conceived and foaled and
 
SB1525 Engrossed            -4-      LRB093 07623 LRD 10880 b
 1        Illinois foaled horses that  place  second  or  third  in
 2        those  races.   To  the extent that additional moneys are
 3        required to pay the minimum additional awards of  40%  of
 4        the  purse  the  horse earns for placing first, second or
 5        third in those races for Illinois foaled  horses  and  of
 6        60%  of  the  purse  the  horse  earns for placing first,
 7        second or third in those races for Illinois conceived and
 8        foaled horses, those moneys shall be  provided  from  the
 9        purse account at the track where earned.
10             (3)  To  provide  stallion  awards  to  the owner or
11        owners of any stallion that is duly registered  with  the
12        Illinois  Thoroughbred Breeders Fund Program prior to the
13        effective date of this amendatory Act of 1995 whose  duly
14        registered Illinois conceived and foaled offspring wins a
15        race conducted at an Illinois thoroughbred racing meeting
16        other  than a claiming race. Such award shall not be paid
17        to the owner or  owners  of  an  Illinois  stallion  that
18        served outside this State at any time during the calendar
19        year in which such race was conducted.
20             (4)  To  provide  $75,000  annually for purses to be
21        distributed to county fairs that provide for the  running
22        of  races  during  each  county  fair exclusively for the
23        thoroughbreds conceived  and  foaled  in  Illinois.   The
24        conditions  of the races shall be developed by the county
25        fair association and reviewed by the Department with  the
26        advice   and  assistance  of  the  Illinois  Thoroughbred
27        Breeders Fund Advisory Board. There shall be no  wagering
28        of  any  kind  on  the  running of Illinois conceived and
29        foaled races at county fairs.
30             (4.1)  To  provide  purse  money  for  an   Illinois
31        stallion stakes program.
32             (5)  No  less  than  80%  of all monies appropriated
33        from the Illinois Thoroughbred  Breeders  Fund  shall  be
34        expended  for  the purposes in (1), (2), (2.5), (3), (4),
 
SB1525 Engrossed            -5-      LRB093 07623 LRD 10880 b
 1        (4.1), and (5) as shown above.
 2             (6)  To provide for educational  programs  regarding
 3        the thoroughbred breeding industry.
 4             (7)  To provide for research programs concerning the
 5        health, development and care of the thoroughbred horse.
 6             (8)  To  provide  for  a  scholarship  and  training
 7        program for students of equine veterinary medicine.
 8             (9)  To   provide   for   dissemination   of  public
 9        information  designed  to   promote   the   breeding   of
10        thoroughbred horses in Illinois.
11             (10)  To  provide  for  all expenses incurred in the
12        administration  of  the  Illinois  Thoroughbred  Breeders
13        Fund.
14        (h)  Whenever the Governor finds that the amount  in  the
15    Illinois Thoroughbred Breeders Fund is more than the total of
16    the  outstanding  appropriations from such fund, the Governor
17    shall notify the State Comptroller and the State Treasurer of
18    such fact.  The Comptroller and  the  State  Treasurer,  upon
19    receipt  of  such  notification,  shall  transfer such excess
20    amount from the Illinois Thoroughbred Breeders  Fund  to  the
21    General Revenue Fund.
22        (i)  A  sum  equal to 12 1/2% of the first prize money of
23    every  purse  won  by  an  Illinois  foaled  or  an  Illinois
24    conceived and foaled horse in races not limited  to  Illinois
25    foaled  horses  or  Illinois  conceived and foaled horses, or
26    both, shall be paid by the organization  licensee  conducting
27    the  horse  race  meeting.  Such  sum  shall be paid from the
28    organization  licensee's  share  of  the  money  wagered   as
29    follows:   11 1/2% to the breeder of the winning horse and 1%
30    to the organization representing  thoroughbred  breeders  and
31    owners   whose   representative   serves   on   the  Illinois
32    Thoroughbred Breeders Fund Advisory Board for  verifying  the
33    amounts   of   breeders'   awards   earned,   assuring  their
34    distribution in accordance with this Act, and  servicing  and
 
SB1525 Engrossed            -6-      LRB093 07623 LRD 10880 b
 1    promoting  the  Illinois  thoroughbred horse racing industry.
 2    The  organization  representing  thoroughbred  breeders   and
 3    owners  shall cause all expenditures of monies received under
 4    this subsection (i) to be audited  at  least  annually  by  a
 5    registered  public  accountant.   The organization shall file
 6    copies of each annual audit with the Racing Board, the  Clerk
 7    of  the  House  of  Representatives  and the Secretary of the
 8    Senate, and shall make copies of each annual audit  available
 9    to the public upon request and upon payment of the reasonable
10    cost  of  photocopying  the  requested number of copies. Such
11    payments shall not reduce any award to the owner of the horse
12    or reduce the taxes payable under this Act.  Upon  completion
13    of  its racing meet, each organization licensee shall deliver
14    to the organization representing  thoroughbred  breeders  and
15    owners   whose   representative   serves   on   the  Illinois
16    Thoroughbred Breeders Fund Advisory Board a  listing  of  all
17    the  Illinois  foaled  and  the Illinois conceived and foaled
18    horses which won breeders' awards  and  the  amount  of  such
19    breeders'  awards under this subsection to verify accuracy of
20    payments and assure proper distribution of  breeders'  awards
21    in accordance with the provisions of this Act.  Such payments
22    shall  be  delivered  by  the organization licensee within 30
23    days of the end of each race meeting.
24        (j)  A sum equal to 12 1/2% of the first prize money  won
25    in  each  race  limited to Illinois foaled horses or Illinois
26    conceived and foaled horses, or both, shall be  paid  in  the
27    following  manner by the organization licensee conducting the
28    horse race meeting, from the organization licensee's share of
29    the money wagered: 11 1/2% to the breeders of the  horses  in
30    each  such  race  which are the official first, second, third
31    and fourth finishers and 1% to the organization  representing
32    thoroughbred  breeders and owners whose representative serves
33    on the Illinois Thoroughbred Breeders Fund Advisory Board for
34    verifying the amounts of breeders'  awards  earned,  assuring
 
SB1525 Engrossed            -7-      LRB093 07623 LRD 10880 b
 1    their  proper  distribution  in accordance with this Act, and
 2    servicing  and  promoting  the  Illinois  thoroughbred  horse
 3    racing industry. The organization  representing  thoroughbred
 4    breeders  and  owners  shall cause all expenditures of monies
 5    received under this subsection (j) to  be  audited  at  least
 6    annually by a registered public accountant.  The organization
 7    shall file copies of each annual audit with the Racing Board,
 8    the  Clerk  of the House of Representatives and the Secretary
 9    of the Senate, and shall make copies  of  each  annual  audit
10    available  to the public upon request and upon payment of the
11    reasonable cost  of  photocopying  the  requested  number  of
12    copies.
13        The  11 1/2% paid to the breeders in accordance with this
14    subsection shall be distributed as follows:
15             (1)  60% of such sum shall be paid to the breeder of
16        the horse which finishes in the official first position;
17             (2)  20% of such sum shall be paid to the breeder of
18        the horse which finishes in the official second position;
19             (3)  15% of such sum shall be paid to the breeder of
20        the horse which finishes in the official third  position;
21        and
22             (4)  5%  of such sum shall be paid to the breeder of
23        the horse which finishes in the official fourth position.
24        Such payments shall not reduce any award to the owners of
25    a horse or reduce the taxes  payable  under  this  Act.  Upon
26    completion  of  its  racing  meet, each organization licensee
27    shall deliver to the organization  representing  thoroughbred
28    breeders  and  owners  whose  representative  serves  on  the
29    Illinois  Thoroughbred Breeders Fund Advisory Board a listing
30    of all the Illinois foaled and  the  Illinois  conceived  and
31    foaled  horses  which  won breeders' awards and the amount of
32    such breeders' awards in accordance with  the  provisions  of
33    this   Act.   Such   payments   shall  be  delivered  by  the
34    organization licensee within 30 days of the end of each  race
 
SB1525 Engrossed            -8-      LRB093 07623 LRD 10880 b
 1    meeting.
 2        (k)  The  term "breeder", as used herein, means the owner
 3    of the mare at the time the foal is  dropped.   An  "Illinois
 4    foaled  horse"  is a foal dropped by a mare which enters this
 5    State on or before December 1, in the year in which the horse
 6    is bred, provided the mare remains continuously in this State
 7    until its foal is born. An "Illinois foaled horse" also means
 8    a foal born of a mare in the same year  as  the  mare  enters
 9    this State on or before March 1, and remains in this State at
10    least  30  days after foaling, is bred back during the season
11    of the foaling to an Illinois Registered Stallion  (unless  a
12    veterinarian  certifies  that the mare should not be bred for
13    health reasons), and is not bred to a  stallion  standing  in
14    any  other  state during the season of foaling.  An "Illinois
15    foaled horse" also means a foal born in Illinois  of  a  mare
16    purchased  at  public auction subsequent to the mare entering
17    this State prior to February 1 of the foaling year  providing
18    the mare is owned solely by one or more Illinois residents or
19    an  Illinois  entity  that  is  entirely owned by one or more
20    Illinois residents.
21        (l)  The Department of Agriculture shall, by  rule,  with
22    the  advice  and  assistance  of  the  Illinois  Thoroughbred
23    Breeders Fund Advisory Board:
24             (1)  Qualify  stallions  for Illinois breeding; such
25        stallions to  stand  for  service  within  the  State  of
26        Illinois  at  the  time  of  a  foal's  conception.  Such
27        stallion  must not stand for service at any place outside
28        the State of Illinois during the calendar year  in  which
29        the  foal is conceived. The Department of Agriculture may
30        assess and collect application fees for the  registration
31        of  Illinois-eligible  stallions.  All fees collected are
32        to be paid into the Illinois Thoroughbred Breeders Fund.
33             (2)  Provide  for  the  registration   of   Illinois
34        conceived  and  foaled horses and Illinois foaled horses.
 
SB1525 Engrossed            -9-      LRB093 07623 LRD 10880 b
 1        No such horse shall  compete  in  the  races  limited  to
 2        Illinois  conceived  and foaled horses or Illinois foaled
 3        horses or both unless registered with the  Department  of
 4        Agriculture.  The Department of Agriculture may prescribe
 5        such forms as are necessary to determine the  eligibility
 6        of  such horses. The Department of Agriculture may assess
 7        and collect application  fees  for  the  registration  of
 8        Illinois-eligible  foals.   All  fees collected are to be
 9        paid into the Illinois  Thoroughbred  Breeders  Fund.  No
10        person shall knowingly prepare or cause preparation of an
11        application  for  registration  of  such foals containing
12        false information.
13        (m)  The Department of Agriculture, with the  advice  and
14    assistance   of   the  Illinois  Thoroughbred  Breeders  Fund
15    Advisory Board, shall provide that certain races  limited  to
16    Illinois  conceived  and foaled and Illinois foaled horses be
17    stakes races and determine the total  amount  of  stakes  and
18    awards to be paid to the owners of the winning horses in such
19    races.
20        In  determining the stakes races and the amount of awards
21    for such races, the Department of Agriculture shall  consider
22    factors,  including  but  not limited to, the amount of money
23    appropriated for  the  Illinois  Thoroughbred  Breeders  Fund
24    program,  organization licensees' contributions, availability
25    of  stakes   caliber   horses   as   demonstrated   by   past
26    performances,  whether  the  race can be coordinated into the
27    proposed racing dates within organization  licensees'  racing
28    dates,  opportunity  for  colts  and  fillies and various age
29    groups to race,  public  wagering  on  such  races,  and  the
30    previous racing schedule.
31        (n)  The  Board  and  the  organizational  licensee shall
32    notify the Department of the conditions  and  minimum  purses
33    for  races  limited  to  Illinois  conceived  and  foaled and
34    Illinois foaled  horses  conducted  for  each  organizational
 
SB1525 Engrossed            -10-     LRB093 07623 LRD 10880 b
 1    licensee  conducting  a  thoroughbred  racing  meeting.   The
 2    Department  of  Agriculture with the advice and assistance of
 3    the Illinois Thoroughbred Breeders Fund  Advisory  Board  may
 4    allocate  monies  for  purse  supplements for such races.  In
 5    determining whether to allocate money  and  the  amount,  the
 6    Department  of  Agriculture shall consider factors, including
 7    but not limited to, the amount of money appropriated for  the
 8    Illinois  Thoroughbred  Breeders  Fund program, the number of
 9    races that may occur, and the organizational licensee's purse
10    structure.
11        (o)  In  order  to  improve  the  breeding   quality   of
12    thoroughbred  horses  in  the  State,  the  General  Assembly
13    recognizes  that  existing  provisions  of  this  Section  to
14    encourage  such  quality  breeding  need  to  be  revised and
15    strengthened.  As such, a Thoroughbred Breeder's Program Task
16    Force is to be appointed by the Governor by September 1, 1999
17    to make recommendations to the General Assembly by  no  later
18    than  March  1, 2004 2000.  This task force is to be composed
19    of 2 representatives from the Illinois Thoroughbred  Breeders
20    and  Owners  Foundation,  2  from  the  Illinois Thoroughbred
21    Horsemen's Association, 3 from Illinois race tracks operating
22    thoroughbred race meets for an average of at least 30 days in
23    the past 3 years, the Director of Agriculture, the  Executive
24    Director of the Racing Board, who shall serve as Chairman.
25    (Source: P.A. 91-40, eff. 6-25-99.)