STATE OF NEW YORK
________________________________________________________________________
5295--A
2013-2014 Regular Sessions
IN SENATE
May 16, 2013
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Introduced by Sen. NOZZOLIO -- read twice and ordered printed, and when
printed to be committed to the Committee on Investigations and Govern-
ment Operations -- recommitted to the Committee on Investigations and
Government Operations in accordance with Senate Rule 6, sec. 8 --
committee discharged, bill amended, ordered reprinted as amended and
recommitted to said committee
AN ACT to amend the tax law, in relation to video gaming machines and
disposition of revenues
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Clause (H) of subparagraph (ii) of paragraph 1 of subdivi-
2 sion b of section 1612 of the tax law, as separately amended by chapters
3 174 and 175 of the laws of 2013, is amended to read as follows:
4 (H) notwithstanding clauses (A), (B), (C), (D), (E), (F) and (G) of
5 this subparagraph, the track operator of a vendor track shall be eligi-
6 ble for a vendor's capital award of up to four percent of the total
7 revenue wagered at the vendor track after payout for prizes pursuant to
8 this chapter, which shall be used exclusively for capital project
9 investments to improve the facilities of the vendor track which promote
10 or encourage increased attendance at the video lottery gaming facility
11 including, but not limited to hotels, other lodging facilities, enter-
12 tainment facilities, retail facilities, dining facilities, events
13 arenas, parking garages and other improvements that enhance facility
14 amenities; provided that such capital investments shall be approved by
15 the division, in consultation with the state racing and wagering board,
16 and that such vendor track demonstrates that such capital expenditures
17 will increase patronage at such vendor track's facilities and increase
18 the amount of revenue generated to support state education programs. The
19 annual amount of such vendor's capital awards that a vendor track shall
20 be eligible to receive shall be limited to two million five hundred
21 thousand dollars, except for Aqueduct racetrack, for which there shall
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01642-02-4
S. 5295--A 2
1 be no vendor's capital awards. Except for tracks having less than one
2 thousand [one] nine hundred video gaming machines, and except for a
3 vendor track located west of State Route 14 from Sodus Point to the
4 Pennsylvania border within New York, each track operator shall be
5 required to co-invest an amount of capital expenditure equal to its
6 cumulative vendor's capital award. For all tracks, except for Aqueduct
7 racetrack, the amount of any vendor's capital award that is not used
8 during any one year period may be carried over into subsequent years
9 ending before April first, two thousand fourteen. Any amount attribut-
10 able to a capital expenditure approved prior to April first, two thou-
11 sand fourteen and completed before April first, two thousand sixteen; or
12 approved prior to April first, two thousand eighteen and completed
13 before April first, two thousand twenty for a vendor track located west
14 of State Route 14 from Sodus Point to the Pennsylvania border within New
15 York, shall be eligible to receive the vendor's capital award. In the
16 event that a vendor track's capital expenditures, approved by the divi-
17 sion prior to April first, two thousand fourteen and completed prior to
18 April first, two thousand sixteen, exceed the vendor track's cumulative
19 capital award during the five year period ending April first, two thou-
20 sand fourteen, the vendor shall continue to receive the capital award
21 after April first, two thousand fourteen until such approved capital
22 expenditures are paid to the vendor track subject to any required co-in-
23 vestment. In no event shall any vendor track that receives a vendor fee
24 pursuant to clause (F) or (G) of this subparagraph be eligible for a
25 vendor's capital award under this section. Any operator of a vendor
26 track which has received a vendor's capital award, choosing to divest
27 the capital improvement toward which the award was applied, prior to the
28 full depreciation of the capital improvement in accordance with general-
29 ly accepted accounting principles, shall reimburse the state in amounts
30 equal to the total of any such awards. Any capital award not approved
31 for a capital expenditure at a video lottery gaming facility by April
32 first, two thousand fourteen shall be deposited into the state lottery
33 fund for education aid; and
34 § 2. This act shall take effect immediately.
