Senate Bill No. 230

(By Senator Bailey)

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[Introduced March 3, 1997; referred to the Committee
on Finance.]
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A BILL to amend and reenact section thirteen, article twenty- three, chapter nineteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to the expenditure of excess moneys from unredeemed dog racing pari-mutuel tickets.

Be it enacted by the Legislature of West Virginia:
That section thirteen, article twenty-three, chapter nineteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted to read as follows:
ARTICLE 23. HORSE AND DOG RACING.
PART VIII. DISPOSITION OF FUNDS FOR PAYMENT OF OUTSTANDING AND

UNREDEEMED PARI-MUTUEL TICKETS; IRREDEEMABLE TICKETS; AWARDS.


§19-23-13. Disposition of funds for payment of outstanding and unredeemed pari-mutuel tickets; publication of notice; irredeemable tickets; stake races for dog tracks.

(a) All moneys held by any licensee for the payment of outstanding and unredeemed pari-mutuel tickets, if not claimed within ninety days after the close of a horse or dog race meeting or the televised racing day, as the case may be, in connection with which the tickets were issued, shall be turned over by the licensee to the racing commission within fifteen days after the expiration of such ninety-day period, and the licensee shall give such the information as the racing commission may require concerning such all outstanding and unredeemed tickets. All such this money shall be deposited by the racing commission in a banking institution of its choice in a special account to be known as "West Virginia Racing Commission Special Account -- Unredeemed Pari-Mutuel Tickets". Notice of the amount, date and place of such deposit shall be given by the racing commission, in writing, to the state treasurer. The racing commission shall then cause to be published a notice to the holders of such the outstanding and unredeemed pari-mutuel tickets, notifying them to present such the tickets for payment at the principal office of the racing commission within ninety days from the date of the publication of such the notice. Such The notice shall be published within fifteen days following the receipt of said moneys by the commission from the licensee as a Class I legal advertisement in compliance with the provisions of article three, chapter fifty-nine of this code, and the publication area for such the publication shall be the county in which such the horse or dog race meeting was held and the county in which the televised racing day wagering conducted in this state.
(b) Any such pari-mutuel tickets from horse racing tracks that shall not be presented for payment within ninety days from the date of the publication of the notice shall thereafter be irredeemable, and the moneys theretofore held for the redemption of such pari-mutuel tickets shall become the property of the racing commission and shall be expended as provided in this subsection. The racing commission shall maintain separate accounts for each licensee and shall record therein the moneys turned over by such the licensee and the amount expended at such the licensee's track for the purposes set forth in this subsection. The moneys in the "West Virginia Racing Commission Special Account -- Unredeemed Pari-Mutuel Tickets" shall be expended as follows:
(1) To the owner of the winning horse in any horse race at a horse race meeting held or conducted by any licensee: Provided, That the owner of such the horse is at the time of such the horse race a bona fide resident of this state, a sum equal to ten percent of the purse won by such the horse. The commission may require proof that the owner was, at the time of the race, a bona fide resident of this state. Upon proof by the owner that he filed a personal income tax return in this state for the previous two years and that he owned real or personal property in this state and paid taxes in this state on said property for the previous two years, he shall be presumed to be a bona fide resident of this state; and
(2) To the breeder (that is, the owner of the mare) of the winning horse in any horse race at a horse race meeting held or conducted by any licensee: Provided, That the mare foaled in this state, a sum equal to ten percent of the purse won by such horse; and
(3) To the owner of the stallion which sired the winning horse in any horse race at a horse race meeting held or conducted by any licensee: Provided, That the mare which foaled such the winning horse was served by a stallion standing and registered in this state, a sum equal to ten percent of the purse won by such the horse; and
(4) To those horse racing licensees not participating in the thoroughbred development fund authorized in section thirteen-b of this article the unexpended balance of such the licensee's account not expended as provided in subdivisions (1), (2) and (3) of this subsection: Provided, That all moneys distributed under this subdivision shall be expended solely for capital improvements at the licensee's track: Provided, however, That such the capital improvements must be approved, in writing, by the West Virginia racing commission before funds are expended by the licensee for that capital improvement; and
(5) When the moneys in the special account, known as the "West Virginia Racing Commission Special Account -- Unredeemed Pari-Mutuel Tickets" will more than satisfy the requirements of subdivisions (1), (2), (3) and (4) of this subsection, the West Virginia racing commission shall have the authority to expend the excess moneys from unredeemed horse racing pari-mutuel tickets as purse money in any race conditioned exclusively for West Virginia bred or sired horses: and to expend the excess moneys from unredeemed dog racing pari-mutuel tickets in supplementing purses and establishing stake races and dog racing handicaps at the dog tracks: Provided, That beginning with the fiscal year one thousand nine hundred ninety, and subject to the availability of funds, the commission shall, after the requirements of subdivisions (1), (2), (3) and (4) of this subsection have been satisfied, transfer annually three hundred thousand dollars of such the excess moneys into a separate account to be used for promotional activities and purses for stake races for the West Virginia thoroughbred breeders classic, which shall give equal consideration to all horses qualifying under the West Virginia breeders program for each stake race, based solely on the horses' sex, age and earnings.
The commission shall submit to the legislative auditor a quarterly report and accounting of the income, expenditures and unobligated balance in the special account created by this section known as the "West Virginia Racing Commission Special Account -- Unredeemed Pari-Mutuel Tickets".
(c) Any pari-mutuel tickets from dog racing tracks not presented within ninety days from the date of the publication of the notice shall thereafter be irredeemable, and the moneys held for the redemption of such pari-mutuel tickets shall become the property of the racing commission, and shall be expended as follows:
(1) Fifty percent of the funds to be divided equally among existing dog tracks for stake races; and,
(2) Fifty percent of the funds to the "West Virginia Racing Commission Special Account -- West Virginia Greyhound Development Fund."
(c)(d) Nothing contained in this article shall prohibit one person from qualifying for all or more than one of the aforesaid awards or for awards under section thirteen-b of this article.
(d)(e) The cost of publication of the notice provided for in this section shall be paid from the funds in the hands of the state treasurer collected from the pari-mutuel pools' tax provided for in section ten of this article, when not otherwise provided in the budget; but no such costs shall be paid unless an itemized account thereof, under oath, be first filed with the state auditor.


NOTE: The purpose of this bill is to provide for the expenditure of excess moneys from unredeemed dog racing pari- mutuel tickets.

Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.