HBA-CMT H.B. 1923 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1923
By: Brimer
Licensing & Administrative Procedures
4/2/2001
Introduced



BACKGROUND AND PURPOSE 

As with such events as the Olympic or Pan American games, it takes
significant infrastructure improvements to attract nationally recognized
horse races to Texas tracks.  House Bill 1923 provides a funding mechanism
for the track that conducts the Breeders' Cup races to pay for the costs
associated with attracting such a race. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Texas Racing Commission in SECTION
1 (Section 6.094, Texas Racing Act) of this bill. 

ANALYSIS

House Bill 1923 amends the Texas Racing Act to authorize an association
conducting the Breeders' Cup races to apply to the payment or reimbursement
of Breeders' Cup costs amounts that would otherwise be set aside for the
state during the year in which the association hosts the Breeders' Cup
races limited to an amount equal to the lesser of the aggregate amount
contributed to pay Breeders' Cup costs by political subdivisions and
development organizations or $2 million.  Beginning on January 1 of the
year for which the association has been officially designated to host the
Breeders' Cup races, amounts that would otherwise be set aside for the
state during that year are required to be deposited into a special account
to be administered as provided in the bill.  The bill requires
disbursements to be made from the special account to Breeders' Cup costs.
The bill requires the association hosting the Breeders' Cup races to submit
a report to the Texas Racing Commission (commission) by January 31 of the
year following the year in which the association hosts the races.  The bill
specifies the contents of the report.  Following receipt of the report, the
commission is required to take any  steps it considers appropriate to
verify the report and give instructions for the final disbursement of any
funds remaining in the account.   

The bill requires the commission to adopt rules relating to the
administration of the bill, including rules relating to the auditing or
other verification of Breeders' Cup costs and amounts paid or set aside by
political subdivisions and development organizations, the establishment of
the special account, and the deposit, investment, and disbursement of funds
in or from the special account.  The bill authorizes the commission to
adopt rules to facilitate the conduct of the Breeders' Cup races, including
the adoption of rules or waivers of existing rules relating to the overall
conduct of racing during the Breeders' Cup races in order to assure the
integrity of the races, licensing for all participants, special stabling
and training requirements for foreign horses, and commingling of
pari-mutuel pools.  
 
EFFECTIVE DATE

September 1, 2001.