S03022 Summary:

BILL NOS03022A
 
SAME ASNo same as
 
SPONSORADAMS
 
COSPNSR
 
MLTSPNSR
 
Add Art XII SS1201 - 1214, RWB L
 
Relates to authorizing participation in an interstate compact that allows each state to coordinate racing and wagering rules and programs with other states.
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S03022 Actions:

BILL NOS03022A
 
03/09/2009REFERRED TO RACING, GAMING AND WAGERING
04/28/2009REPORTED AND COMMITTED TO FINANCE
05/19/20091ST REPORT CAL.370
05/20/20092ND REPORT CAL.
05/26/2009ADVANCED TO THIRD READING
07/16/2009COMMITTED TO RULES
01/06/2010REFERRED TO RACING, GAMING AND WAGERING
01/19/2010REPORTED AND COMMITTED TO CODES
03/02/2010REPORTED AND COMMITTED TO FINANCE
03/16/20101ST REPORT CAL.271
03/17/20102ND REPORT CAL.
03/18/2010ADVANCED TO THIRD READING
06/21/2010AMENDED ON THIRD READING (T) 3022A
06/25/2010PASSED SENATE
06/25/2010DELIVERED TO ASSEMBLY
06/25/2010referred to ways and means
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S03022 Floor Votes:

There are no votes for this bill in this legislative session.
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S03022 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         3022--A
            Cal. No. 271
 
                               2009-2010 Regular Sessions
 
                    IN SENATE
 
                                      March 9, 2009
                                       ___________
 
        Introduced by Sen. ADAMS -- (at request of the New York State Racing and
          Wagering Board) -- read twice and ordered printed, and when printed to
          be committed to the Committee on Racing, Gaming and Wagering -- recom-
          mitted  to  the Committee on Racing, Gaming and Wagering in accordance

          with Senate Rule 6, sec. 8 -- reported favorably from  said  committee
          and  committed  to  the  Committee on Codes -- reported favorably from
          said committee and committed to the Committee on Finance  --  reported
          favorably  from  said  committee,  ordered to first and second report,
          ordered to a third reading, amended and ordered  reprinted,  retaining
          its place in the order of third reading
 
        AN  ACT  to  amend the racing, pari-mutuel wagering and breeding law, in
          relation to authorizing participation in an  interstate  compact  that
          allows each state to coordinate racing and wagering rules and programs
          with other states
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. The  racing,  pari-mutuel  wagering  and  breeding  law  is

     2  amended by adding a new article XII to read as follows:
     3                                 ARTICLE XII
     4                   INTERSTATE RACING AND WAGERING COMPACT
     5  Section 1201. Purposes.
     6          1202. Definitions.
     7          1203. Composition and meetings of compact commission.
     8          1204. Operation of compact commission.
     9          1205. General powers and duties.
    10          1206. Other powers and duties.
    11          1207. Rule making.
    12          1208. Compact fees.
    13          1209. Status and relationship to member states.
    14          1210. Rights and responsibilities of member states.
    15          1211. Enforcement of compact.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets

                              [ ] is old law to be omitted.
                                                                   LBD09595-08-0

        S. 3022--A                          2
 
     1          1212. Legal actions against compact.
     2          1213. Restrictions on authority.
     3          1214. Construction, saving and severability.
     4    § 1201. Purposes. The purposes of this compact are:
     5    (a) to enable member states to act jointly and cooperatively to create
     6  more  uniform,  effective,  and efficient practices, programs, rules and
     7  regulations relating to live pari-mutuel horse or greyhound  racing  and
     8  to  pari-mutuel  wagering  activities, both on-track and off-track, that
     9  occur in or affect a member state;

    10    (b) to facilitate the health and growth of the industry by simplifying
    11  the process of participating in live  horse  and  greyhound  racing  and
    12  pari-mutuel  wagering, improving the quality and integrity of racing and
    13  wagering, more effectively regulating simulcast and wagering systems and
    14  activities, and through cooperative action reducing the  costs  incurred
    15  by each member state or participant;
    16    (c)  to  authorize  the  New  York  state racing and wagering board to
    17  participate in this compact;
    18    (d) to permit officials from the member states to participate in  this
    19  compact and, through the compact commission established by this compact,
    20  to  enter into contracts with governmental agencies and other persons to

    21  carry out the purposes of this compact; and
    22    (e) to establish the compact commission created by this compact as  an
    23  interstate governmental entity duly authorized to request and to receive
    24  criminal  history record information from the federal bureau of investi-
    25  gation and from state, local, and foreign law enforcement agencies.
    26    § 1202. Definitions. For the purposes of this article,  the  following
    27  terms have the following meanings:
    28    (a)  "Commissioner"  means  the chairperson of the member state racing
    29  commission, or such person's designee, who represents the  member  state
    30  as  a  voting member of the compact commission and anyone who is serving
    31  as such person's alternate;

    32    (b) "Compact commission" means the organization of officials from  the
    33  member  states that is authorized and empowered by this compact to carry
    34  out the purposes of this compact;
    35    (c) "Compact rule" means a rule or  regulation  adopted  by  a  member
    36  state  through the compact to govern, for two or more member states, any
    37  part of live pari-mutuel  horse  and  greyhound  racing  or  pari-mutuel
    38  wagering  activities,  whether  on-track  or off-track, that occur in or
    39  affect such states;
    40    (d) "Live racing" means live horse or greyhound racing with pari-mutu-
    41  el wagering;
    42    (e) "Member state" means each state that has enacted this compact;
    43    (f) "National industry stakeholder" means a non-governmental organiza-

    44  tion that the compact commission determines from a national  perspective
    45  significantly  represents one or more categories of participants in live
    46  racing and pari-mutuel wagering;
    47    (g) "Participants in live racing and pari-mutuel wagering"  means  all
    48  persons  who  participate in, operate, provide industry services for, or
    49  are involved with live racing and pari-mutuel wagering;
    50    (h) "State" means each of the several states of the United States, the
    51  District of Columbia, the Commonwealth of Puerto Rico, and each territo-
    52  ry or possession of the United States; and
    53    (i) "State racing commission" means the state  racing  commission,  or
    54  its equivalent, in each member state. Where a member state has more than

    55  one, it shall mean all such racing commissions, or their equivalents.

        S. 3022--A                          3
 
     1    §  1203.    Composition and meetings of compact commission. The member
     2  states shall create and participate in a compact commission as follows:
     3    (a)  This compact shall come into force when enacted by any six eligi-
     4  ble states and shall thereafter become effective as to any other  member
     5  state  that  enacts this compact.  Any state that has adopted or author-
     6  ized pari-mutuel wagering or live horse or  greyhound  racing  shall  be
     7  eligible  to become a party to this compact.  A compact rule, fee, prac-
     8  tice, or program shall not become effective in a new member state  based

     9  merely upon it entering the compact.
    10    (b)  The  member  states hereby create the racing and wagering commis-
    11  sion, a body corporate and an  interstate  governmental  entity  of  the
    12  member  states,  to  coordinate  the decision-making and actions of each
    13  member state racing commission through a compact commission.
    14    (c) The compact commission shall  consist  of  one  commissioner,  the
    15  chairperson  of  the  state racing commission or such person's designee,
    16  from each member state.  When a commissioner is not present  to  perform
    17  any  duty  in  the  compact commission, a designated alternate may serve
    18  instead.   The person who represents  a  member  state  in  the  compact
    19  commission  shall  serve and perform such duties without compensation or

    20  remuneration; provided that, subject to  the  availability  of  budgeted
    21  funds,  each  may  be  reimbursed  for  ordinary and necessary costs and
    22  expenses.  The designation of a commissioner, including  the  alternate,
    23  shall  be effective when written notice has been provided to the compact
    24  commission.  The commissioner, including the alternate, must be a member
    25  or employee of the state racing commission.
    26    (d) The compact commissioner from each state shall participate  as  an
    27  agent  of  the state racing commission. Each commissioner shall have the
    28  assistance of the state racing commission  in  regard  to  all  decision
    29  making and actions of the state in and through the compact commission.

    30    (e)  Each  member state, by its commissioner, shall be entitled to one
    31  vote in the compact commission. A majority vote of the total  number  of
    32  commissioners  shall be required to issue or renew a license, to receive
    33  and distribute any funds, and to adopt, amend, or rescind the by-laws. A
    34  compact rule, fee, practice, or program shall take  effect  in  and  for
    35  each  member  state  whose commissioner votes affirmatively to adopt it.
    36  Other compact actions shall require a majority vote of the commissioners
    37  who are meeting.
    38    (f) Meetings and votes of the compact commission may be  conducted  in
    39  person  or  by telephone or other electronic communication. Meetings may
    40  be called by the chairperson of the compact commission  or  by  any  two

    41  commissioners.  Reasonable  notice  of each meeting shall be provided to
    42  all commissioners serving in the compact commission.
    43    (g) No action  may be taken at a  compact  commission  meeting  unless
    44  there  is  a  quorum, which is either a majority of the commissioners in
    45  the compact commission or, where applicable, all the commissioners  from
    46  any  member  states  who  propose or are voting affirmatively to adopt a
    47  compact rule, fee, practice, or program.
    48    (h) Once effective, the compact shall continue  in  force  and  remain
    49  binding  according to its terms upon each member state; provided that, a
    50  member state may withdraw from the compact by repealing the statute that
    51  enacted the compact into law. The racing  commission  of  a  withdrawing

    52  state shall give written notice of such withdrawal to the compact chair-
    53  person,  who  shall  notify the member state racing commissions. A with-
    54  drawing state shall remain responsible for any  unfulfilled  obligations
    55  and liabilities. The effective date of withdrawal from the compact shall
    56  be the effective date of the repeal.

        S. 3022--A                          4
 
     1    §  1204.  Operation  of  compact commission. The compact commission is
     2  hereby granted, so that it may be  an  effective  means  to  pursue  and
     3  achieve the purposes of each member state in this compact, the power and
     4  duty:
     5    (a) to adopt, amend, and rescind by-laws to govern its conduct, as may

     6  be necessary or appropriate to carry out the purposes of the compact; to
     7  publish  them  in a convenient form; and to file a copy of them with the
     8  state racing commission of each member state;
     9    (b) to elect annually from among the commissioners  (including  alter-
    10  nates) a chairperson, vice-chairperson, and treasurer with such authori-
    11  ty and duties as may be specified in the by-laws;
    12    (c)  to  establish and appoint committees which it deems necessary for
    13  the carrying out of its functions, including advisory  committees  which
    14  shall  be comprised of national industry stakeholders and organizations,
    15  and such other persons as may  be  designated  in  accordance  with  the
    16  by-laws,  to  obtain  their timely and meaningful input into the compact

    17  rule, fee, practice, and program making processes;
    18    (d) to establish an executive committee, with  membership  established
    19  in the by-laws, which shall oversee the day-to-day activities of compact
    20  administration  and management by the executive director and staff; hire
    21  and fire as may be necessary after consultation with the compact commis-
    22  sion; administer and enforce compliance with  the  provisions,  by-laws,
    23  rules,  fees,  practices,  and programs of the compact; and perform such
    24  other duties as the by-laws may establish;
    25    (e) to create, appoint, and abolish all  those  offices,  employments,
    26  and  positions,  including  an executive director, useful to fulfill its
    27  purposes; to hire persons for them; to prescribe their  powers,  duties,

    28  and  qualifications;  and  to  provide  for their term, tenure, removal,
    29  compensation, fringe and retirement benefits, and  other  conditions  of
    30  employment;
    31    (f)  to  delegate  day-to-day  management  and  administration  of its
    32  duties, as needed, to an executive director and support staff,  such  as
    33  the  Association  of  Racing  Commissioners  International,  Inc. or its
    34  successor;
    35    (g) to adopt an annual budget sufficient to provide for the payment of
    36  the reasonable expenses of its establishment, organization, and  ongoing
    37  activities. The budget shall be fully funded by means established by the
    38  compact  commission. A member state may choose to participate in funding

    39  by means other than a compact fee or fees, in  which  case  the  compact
    40  commission  shall make a finding of how much the member state, including
    41  its racing and wagering, may benefit from  budget  items  (less  program
    42  costs  funded by user fees); and the member state may provide such fund-
    43  ing by its own means. Indivisible benefits to live racing shall be allo-
    44  cated by proportion of annual purses. Nothing in  this  provision  shall
    45  prevent  the  compact  commission  from  paying obligations accrued in a
    46  prior year or from revising its finding of the benefit to a member state
    47  from the preceding year; and
    48    (h) to provide a mediation and a binding  dispute  resolution  service

    49  for  member  states  who decide to use them to resolve a compact dispute
    50  among each other; provided, that the design and implementation  of  each
    51  program shall be established by compact rule making.
    52    §  1205. General powers and duties. To allow each member state, as and
    53  when it chooses, to achieve the purposes of this compact  through  joint
    54  and  cooperative  action, the member states are hereby granted the power
    55  and duty, by and through the compact commission:

        S. 3022--A                          5
 
     1    (a) to act jointly and cooperatively to create a  more  equitable  and
     2  uniform pari-mutuel racing and wagering interstate regulatory framework,
     3  including  but  not  limited  to  the  adoption of standardized rules of

     4  racing and equine drug regulations, closing inequalities in how  regula-
     5  tory  standards  and  statutory  requirements  apply to industry partic-
     6  ipants; improving wagering monitoring and integrity; and making industry
     7  and participant information more available to government officials;
     8    (b) to collaborate with national industry  stakeholders  and  industry
     9  organizations,  such as the Racing Medication and Testing Consortium, in
    10  the design and implementation of compact  rules,  fees,  practices,  and
    11  programs in a manner that serves the best interests of racing;
    12    (c)  to  create  more  uniform,  effective, or efficient practices and
    13  programs, with the consent of each member state that  shall  participate

    14  in  them,  relating  to  any part of live pari-mutuel horse or greyhound
    15  racing or pari-mutuel wagering  activities,  whether  on-track  or  off-
    16  track, that occur in or affect a member state;
    17    (d)  to  adopt compact rules, which shall have the force and effect of
    18  state rules or regulations in the member states who vote to adopt  them,
    19  to govern all or any part of live pari-mutuel horse and greyhound racing
    20  or pari-mutuel wagering activities;
    21    (e)  to charge and collect a fee for services provided by the compact,
    22  including licensure and renewal  of  each  license  applicant,  and  for
    23  defraying  the  actual cost of compact commission administration, proce-
    24  dures, activities and programs; and

    25    (f) to issue and renew licenses for participants in  live  racing  and
    26  pari-mutuel wagering who are found by the compact commission to have met
    27  its  licensure  or  renewal  requirements  in  categories  it chooses to
    28  license. It shall establish the term for each category, and the  license
    29  criteria and weight given to character and integrity information that in
    30  its  judgment  meet  the  most  restrictive  requirements  of the member
    31  states. The compact commission shall not have the power or authority  to
    32  deny a license. If it determines that an applicant will not be eligible,
    33  it  shall  notify  the applicant that it will not be able to process the
    34  application any further, which shall not constitute  and  shall  not  be

    35  considered  to  be  the denial of a license. Although an applicant shall
    36  have the right to present further evidence and to be  heard,  the  final
    37  decision  on  issuance  or  renewal  of  a  license shall be made by the
    38  compact commission pursuant to its established requirements. The compact
    39  commission shall have the power and duty to investigate  license  appli-
    40  cants and, as permitted by federal and state law, to gather information,
    41  including  criminal  history records from the federal bureau of investi-
    42  gation and from state, local, and foreign country law enforcement  agen-
    43  cies  (including the Royal Canadian Mounted Police), necessary to decide
    44  whether an applicant  meets  its  license  requirements.  Such  criminal

    45  history  record  information  may  be  received and reviewed only by the
    46  officials on, and employees of, the compact commission, and that  infor-
    47  mation  may be used only for the purposes of this compact. No such offi-
    48  cial or employee may  disclose  or  disseminate  such  criminal  history
    49  record  information  to any person or entity other than another official
    50  on, or employee of, the compact commission. The compact commission,  its
    51  employees,  or  its designee shall take the fingerprints of each license
    52  applicant and, pursuant to Public Law  92-544  or  Public  Law  100-413,
    53  forward  the  fingerprints to a state identification bureau, the Associ-
    54  ation of Racing Commissioners International  (an  association  of  state

    55  officials  regulating  pari-mutuel  wagering, designated by the Attorney
    56  General of the United States), or  another  entity  with  an  equivalent

        S. 3022--A                          6
 
     1  designation,  for  submission  to the federal bureau of investigation or
     2  other receiving law enforcement agency.  The  compact  commission  shall
     3  cooperate  with  the  Interstate Compact on Licensure of Participants in
     4  Live  Racing with Pari-Mutuel Wagering and, if requested by that entity,
     5  assume all of its licensing and  employer  duties  and  responsibilities
     6  with  the  authority  of and pursuant to all of the licensing standards,
     7  laws, rules and regulations applicable to that entity.

     8    § 1206. Other powers and duties. The compact commission  may  exercise
     9  such  incidental powers and duties as may be necessary and proper for it
    10  to function in a useful manner, including but not limited to  the  power
    11  and duty:
    12    (a)  to enter into contracts and agreements with governmental agencies
    13  and other persons, including officers and employees of a  member  state,
    14  to  provide personal services for its activities and such other services
    15  as may be necessary;
    16    (b) to borrow, accept, and contract for the services of personnel from
    17  any state, federal, or other governmental  agency,  or  from  any  other
    18  person or entity;
    19    (c)  to  receive  information  from and to provide information to each

    20  member state racing commission, including its  officers  and  staff,  on
    21  such terms and conditions as may be established in the by-laws;
    22    (d)  to acquire, hold, and dispose of any real or personal property by
    23  gift, grant, purchase, lease, license, and similar means and to  receive
    24  additional funds through gifts, grants, and appropriations;
    25    (e)  to  purchase  and  maintain  insurance  and bonds, and to require
    26  others to do so;
    27    (f) when authorized by a compact  rule,  to  conduct  hearings,  issue
    28  subpoenas  requiring  the  attendance and testimony of witnesses and the
    29  production of evidence, and render decisions and orders;
    30    (g) to establish in the by-laws the requirements that  shall  describe

    31  and  govern its duties to conduct open or public meetings and to provide
    32  public access to compact records and information,  which  shall  include
    33  the  exceptions  established  by  law  in  one or more member states and
    34  shield any confidential submissions  made  in  connection  with  license
    35  applications; and
    36    (h)  to  enforce compliance with the provisions, by-laws, rules, fees,
    37  practices, and programs of the  compact  using  such  means  as  may  be
    38  consistent with this compact.
    39    § 1207. Rule making. In the exercise of its rule making authority, the
    40  compact commission shall:
    41    (a)  engage  in formal rule making pursuant to a process that substan-
    42  tially conforms to the Model State Administrative Procedure Act of  1981

    43  as  amended,  as may be appropriate to the actions and operations of the
    44  compact commission;
    45    (b) gather information and engage in discussions with advisory commit-
    46  tees, national industry stakeholders, and others to foster and conduct a
    47  collaborative approach in the design and advancement of compact rules in
    48  a manner that serves the best interests of racing and as established  in
    49  the by-laws;
    50    (c)  not  publish  a  proposed compact rule in a member state over its
    51  objection. The affirmative vote of a member state for a proposed compact
    52  rule shall be necessary and sufficient to adopt,  amend,  or  rescind  a
    53  compact rule as applicable to that member state; and

    54    (d)  have  a  standing  committee  that reviews at least quarterly the
    55  participation in and value of compact rules and, when it determines that
    56  a revision is appropriate or when requested  to  by  any  member  state,

        S. 3022--A                          7
 
     1  submits a revising proposed compact rule. To the extent a revision would
     2  only  add  or  remove a member state or states from where a compact rule
     3  has been adopted, the vote required by this article shall be required of
     4  only such state or states.
     5    §  1208.  Compact  fees.  (a)  The  compact  commission may charge and
     6  collect a fee for services provided by the compact, including  licensure
     7  and renewal of each license applicant, and for defraying the actual cost

     8  of   compact  commission  administration,  procedures,  activities,  and
     9  programs; provided that such latter fee  or  fees  shall  not  create  a
    10  disproportionate cost for any member state.
    11    (b)  Compact  fees must relate to participation in live horse or grey-
    12  hound racing and pari-mutuel wagering activities,  whether  on-track  or
    13  off-track,  that  occur  in  or  affect  a member state. No fee shall be
    14  adopted except after consultation with relevant advisory committees  and
    15  interested national industry stakeholders.
    16    (c)  The establishment of a compact fee may include a requirement that
    17  a participant in live horse or greyhound racing with pari-mutuel  wager-
    18  ing, as a condition of continued participation, collect, hold, and remit

    19  to the compact commission funds that belong to a third party, with which
    20  it  conducts  related  transactions,  that is obliged to pay the compact
    21  fee.
    22    (d) The compact commission may require fee  payments  to  occur  on  a
    23  periodic  basis, accompanied by a sworn report attesting to accuracy and
    24  completeness, and may provide that it shall have the  power  to  examine
    25  the  books  and  records of any persons required to pay or remit it, for
    26  the purpose of ascertaining whether the proper amounts are  being  paid.
    27  Such  books  and  records shall not thereby be made available for public
    28  inspection.
    29    (e) No fee shall be adopted before  the  completion  of  a  period  of

    30  public  notice  and  participation  substantially  conforming, as may be
    31  appropriate to the actions and operations of the compact commission, for
    32  making rules under the Model State Administrative Procedure Act of  1981
    33  as amended.
    34    §  1209.  Status  and  relationship  to member states. (a) The compact
    35  commission, as an interstate governmental entity, shall be  exempt  from
    36  all taxation in and by the member states.
    37    (b)  The  compact commission shall not pledge the credit of any member
    38  state except by and with the appropriate legal authority of that state.
    39    (c) The compact commission shall adopt an annual budget that is suffi-
    40  cient to provide for the payment  of  the  reasonable  expenses  of  its

    41  establishment, organization, and ongoing activities, and by which member
    42  states shall fully fund the compact commission by the means set forth in
    43  this compact.
    44    (d) Each member state shall reimburse or otherwise pay the expenses of
    45  its commissioner, including any alternate, in the compact commission.
    46    (e)  No  member  state,  except  as provided in section twelve hundred
    47  twelve of this article, shall be held liable  for  the  debts  or  other
    48  financial obligations incurred by the compact commission.
    49    (f)  No  member state shall have, while it participates in the compact
    50  commission, any claim to or ownership of any property held by or  vested
    51  in the compact commission or to any compact commission funds held pursu-

    52  ant  to  this  compact  except for state license or other fees or monies
    53  collected by the compact commission as its agent.
    54    (g) The compact dissolves upon the  date  of  the  withdrawal  of  the
    55  member  state  that reduces membership in the compact to one state. Upon
    56  dissolution, the compact becomes null  and  void  and  shall  be  of  no

        S. 3022--A                          8
 
     1  further  force  or  effect,  although rules and programs adopted through
     2  this compact shall remain rules and programs in each member  state  that
     3  had  adopted  or  consented to them, and the business and affairs of the
     4  racing  and  wagering  compact  shall be concluded and any surplus funds

     5  shall be distributed to the former member states in accordance with  the
     6  by-laws.
     7    §  1210. Rights and responsibilities of member states. (a) Each member
     8  state in the compact shall accept the decisions, duly applicable to  it,
     9  of  the  compact commission in regard to compact rules, fees, practices,
    10  and programs, and the issuance or renewal of licenses;
    11    (b) When the compact commission determines that  an  application  will
    12  not  be processed further, the member states shall not treat this as the
    13  denial of a license or otherwise penalize the applicant because of  such
    14  action by the compact commission;
    15    (c)  Each  member  state  in  the  compact shall have and exercise the
    16  right:

    17    (1) to charge a fee for the use  of  a  compact  license  within  that
    18  member state equal to the fee charged for a comparable state license;
    19    (2) to apply its own standards and procedures to determine whether the
    20  use  of  a  compact commission license should be suspended or revoked in
    21  its jurisdiction;
    22    (3) to apply its own standards  for  licensure  or  renewal  of  state
    23  applicants  who  do  not  meet the licensure requirements of the compact
    24  commission, who are within a category  of  participants  in  racing  and
    25  wagering  that  the compact commission does not license, or who apply to
    26  the member state for a state license; and
    27    (4) to apply its own  standards  and  procedures,  except  as  may  be

    28  provided  by  rule, to determine whether a participant in live racing or
    29  pari-mutuel wagering has violated any rule or regulation in  its  juris-
    30  diction and to impose an appropriate penalty;
    31    (d)  Each  member  state  racing  commission shall promptly notify the
    32  compact commission, or its  designee,  whenever  the  member  state  has
    33  adjudged  a violation of any state or compact rule and imposed a suspen-
    34  sion or revocation upon a compact commission licensee;
    35    (e) All departments, agencies, bodies, officers, and employees of each
    36  member state and its political subdivisions are authorized to  cooperate
    37  with the compact commission and shall take all necessary and appropriate
    38  action,  such  as  to publish proposed and adopted rules in state regis-

    39  tries and administrative codes, to  effectuate  and  in  furtherance  of
    40  compact duties or actions that may affect the state; and
    41    (f)  This  compact  shall  not  be  construed to diminish or limit the
    42  powers and responsibilities of the member state racing commission, or to
    43  invalidate any action it has previously taken, except to the  extent  it
    44  has,  by  its  compact commissioner, expressed its consent to a specific
    45  rule or other action of the compact commission.
    46    § 1211. Enforcement of compact. (a) Any member state  in  the  compact
    47  and  the  compact  commission  may  initiate  legal action in the United
    48  States District Court, in any federal district where the compact commis-

    49  sion has an office, to enforce compliance by any  member  state  or  the
    50  compact commission with the compact provisions, by-laws, fees, findings,
    51  practices, and programs.
    52    (b)  Any  member  state  in the compact and the compact commission may
    53  initiate legal action, in any state or federal  court,  to  enforce  the
    54  compact  provisions,  fees,  practices, and programs against any person,
    55  including a non-member state or political subdivision.

        S. 3022--A                          9
 
     1    (c) The compact commission shall have standing  to  intervene  in  any
     2  legal  action  that  pertains  to  the subject matter of the compact and
     3  might affect its powers, duties, or actions.

     4    (d)  The  courts  and executive in each member state shall enforce the
     5  compact and take all actions necessary and appropriate to effectuate its
     6  purposes and intent. Compact provisions, by-laws,  and  rules  shall  be
     7  received  by  all judges, departments, agencies, bodies, and officers of
     8  each member state and its political subdivisions as evidence of them.
     9    (e) The compact commission may require, from the date  a  compact  fee
    10  was  required to be paid, interest not to exceed the rate of one percent
    11  per month and a penalty not to exceed five percent. The compact  commis-
    12  sion  may,  if  it  determines that any fees received by it were paid in
    13  error, and provided that an application for it is filed with the compact

    14  commission within one year from the time the erroneous payment is  made,
    15  correct  the  error  by a refund, without interest, including from other
    16  collected fees.
    17    (f) The compact commission, if it determines that a payment or  report
    18  is  in  error,  may  make a finding that fixes the correct amount of the
    19  fee.  It must issue the finding within three years from when  a  fee  or
    20  report  was  due  or  filed.  The  finding shall be final and conclusive
    21  unless an application for a hearing is filed by the subject within thir-
    22  ty days.  The action of the compact commission in making a  final  find-
    23  ing,  after a hearing, shall be reviewable in state court as provided in
    24  this compact.

    25    § 1212. Legal actions against compact. (a) Any person may  commence  a
    26  claim, action, or proceeding in state court to challenge a compact rule,
    27  fee,  practice, or program that is duly applicable to that state, in the
    28  same manner and subject to  the  same  limits  of  liability,  defenses,
    29  rights  to indemnity or defense by the state, and other legal rights and
    30  duties, for non-compact matters, of the state  racing  commission  under
    31  the laws of its state.
    32    (b)  A compact commissioner, alternate, or other member or employee of
    33  a state racing commission who undertakes compact  activities  or  duties
    34  does  so in the course of business of their state racing commission, and
    35  shall have the liabilities, defenses, rights to indemnity and defense by

    36  the state, and other legal rights and duties, for  non-compact  matters,
    37  of state employees under the laws of their state. The executive director
    38  and other employees of the compact commission shall be accorded the same
    39  legal  rights  and duties, except to indemnity, of state employees under
    40  the laws of the member state in which they are primarily employed.
    41    (c) Each member state shall be liable  for  and  pay  judgments  filed
    42  against  the  compact  commission  to  the extent related to its partic-
    43  ipation in the compact. Where liability arises  from  action  undertaken
    44  jointly with other member states, the liability shall be divided equally
    45  among  the  states for whom the applicable rule, fee, practice, program,

    46  or action or omission of the executive director or  other  employees  of
    47  the  compact  commission  was  undertaken;  and  no  member  state shall
    48  contribute to or pay, or be jointly or  severally  or  otherwise  liable
    49  for,  any part of any judgment beyond its share as determined in accord-
    50  ance with this article.
    51    § 1213. Restrictions on authority. (a) Notwithstanding anything to the
    52  contrary herein, the compact commission shall not  adopt  any  practice,
    53  program  or  rule  that may change New York state requirements governing
    54  the amount and distribution of the takeout, retention, or  breakages  on
    55  intrastate  wagers or that imposes licensure requirements for non-racing

        S. 3022--A                         10
 

     1  or non-wagering employees of any racetrack or off-site wagering facility
     2  operating wholly within the state.
     3    (b)  New York state laws applicable to pari-mutuel racing and wagering
     4  shall remain in full force and effect.
     5    (c) Notwithstanding anything to the contrary herein, no fee except for
     6  services provided by the compact commission  shall  be  adopted  by  the
     7  compact  commission  in  New York state without the prior consent of any
     8  horsemen (as expressed  by  their  recognized  horsemen's  organization)
     9  licensed  by  the  board who, or any franchised or board-licensed racing
    10  corporation that, would be obliged to pay the fee.
    11    § 1214. Construction, saving and severability. (a) This compact  shall

    12  be  liberally construed so as to effectuate its purposes. The provisions
    13  of this compact shall be severable and if any phrase,  clause,  sentence
    14  or provision of this compact is declared to be contrary to the Constitu-
    15  tion  of  the United States or of any member state, or the applicability
    16  of this compact to any government, agency,  person  or  circumstance  is
    17  held  invalid,  the  validity  of  the remainder of this compact and its
    18  applicability to any government, agency, person  or  circumstance  shall
    19  not  be  affected.  If all or some portion of this compact is held to be
    20  contrary to the constitution of any  member  state,  the  compact  shall
    21  remain in full force and effect as to the remaining member states and in

    22  full  force  and  effect  as  to  the state affected as to all severable
    23  matters.
    24    (b) In the event of any allegation, finding,  or  ruling  against  the
    25  compact  or  its procedures or actions, provided that a member state has
    26  followed the compact's stated procedures, any rule it purported to adopt
    27  using the procedures of this statute shall constitute a duly adopted and
    28  valid state rule, and any program that it purported to create  or  agree
    29  to using the procedures of this statute shall constitute a duly made and
    30  valid state program and multilateral agreement with the other consenting
    31  member states.
    32    §  2.  This  act shall only take effect with respect to any compacting
    33  state which has  enacted  an  interstate  compact  entitled  "interstate

    34  racing  and  wagering  compact"  and  having an identical effect to that
    35  added by section one of this act upon the enactment into law by at least
    36  six eligible states, but if such states have already enacted such legis-
    37  lation, this act shall take effect immediately; provided, however,  that
    38  the provisions of section one of this act shall expire upon reduction of
    39  the membership in such compact to one state; provided that the secretary
    40  of  state shall notify the legislative bill drafting commission upon the
    41  occurrence of the enactment and repeal of legislation  provided  for  in
    42  section  one  of  this  act in order that the commission may maintain an
    43  accurate and timely effective data base of the official text of the laws
    44  of the state of New York in furtherance of effectuating  the  provisions
    45  of  section  44  of  the  legislative law and section 70-b of the public
    46  officers law.

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