Legislative Bill Drafting Commission: 12264-01-6

       Legislative Bill Drafting Commission
                    12264-01-6
 
      S.        --------
                 Senate
                --------
 
      IN SENATE--Introduced by Sen
 
      --read twice and ordered printed,
      and when printed to be committed
      to the Committee on
 
                 -------- A.
                 Assembly
                 --------
 
      IN ASSEMBLY--Introduced by M. of A.
 
      with M. of A. as co-sponsors
 
 
      --read once and referred to the
      Committee on
 
      *BUDGBI*
      (Budgbi  -  makes  appropriation for
      the support of government)
 
                    --------
 
      NYRA Approp.
 
                     AN ACT
 
      to amend chapter 55 of the  laws  of
      2005,  making appropriations for the
      support of government
 
        The People of  the  State  of  New
      York,   represented  in  Senate  and
      Assembly, do enact as follows:                                         2                         12264-01-6
 
   1    Section  1.  Section 1 of chapter 55 of the laws of 2005, enacting the
 
   2  transportation,  economic  development  and  environmental  conservation
 
   3  budget,  is  amended  by  repealing  the  items hereinbelow set forth in
 
   4  brackets and by adding to such section the other  items  underscored  in
 
   5  this section.
 
   6             MISCELLANEOUS -- ALL STATE DEPARTMENTS AND AGENCIES
 
   7              STATE OPERATIONS AND AID TO LOCALITIES   2005-06
 
   8                NON-PROFIT RACING ASSOCIATION OVERSIGHT BOARD
 
   9  For payment according to the following schedule:
 
  10                                          APPROPRIATIONS  REAPPROPRIATIONS
 
  11    Special Revenue Funds - Other ......      20,000,000                 0
 
  12                                        ----------------  ----------------
 
  13      All Funds ........................      20,000,000                 0
 
  14                                        ================  ================
 
  15                 AGENCY BUDGET SUMMARY OF NEW APPROPRIATIONS
 
  16                   State          Aid to        Capital
 
  17  Fund Type      Operations     Localities      Projects        Total
 
  18  ------------ -------------- -------------- -------------- --------------
 
  19  SR-Other         20,000,000              0              0     20,000,000
                                          3                         12264-01-6
 
   1               -------------- -------------- -------------- --------------
 
   2  All Funds        20,000,000              0              0     20,000,000
 
   3               ============== ============== ============== ==============
 
   4                                  SCHEDULE
 
   5  OVERSIGHT ADVANCE FUND PROGRAM .............................. 20,000,000
 
   6                                                            --------------
 
   7    Special Revenue Funds - Other / State Operations
 
   8    State Lottery Fund - 160
 
   9    State Lottery Account
 
  10  The   amount   of   twenty  million  dollars
 
  11    ($20,000,000) is hereby appropriated  from
 
  12    the  state  lottery  fund  (160)  adminis-
 
  13    tration account  (04)  to  the  non-profit
 
  14    racing  association oversight board estab-
 
  15    lished pursuant to section  208-b  of  the
 
  16    racing,  pari-mutuel wagering and breeding
 
  17    law to be  disbursed  by  such  non-profit
 
  18    association  oversight  board  to the non-
 
  19    profit  racing  association   to   finance
 
  20    services  and expenses associated with the
 
  21    operation of the racetracks commonly known
 
  22    as Aqueduct racetrack, Belmont Park  race-
 
  23    track and Saratoga thoroughbred racetrack,
 
  24    such    disbursements   shall   constitute
                                          4                         12264-01-6
 
   1    prepayments of vendor fees and  the  addi-
 
   2    tional    vendor's   marketing   allowance
 
   3    authorized by chapter 61 of  the  laws  of
 
   4    2005,  to facilitate the timely opening of
 
   5    a video lottery terminal facility at Aque-
 
   6    duct racetrack authorized by  chapter  383
 
   7    of  the  laws  of 2001; provided, however,
 
   8    that,  consistent  with  a  memorandum  of
 
   9    understanding entered into on December 30,
 
  10    2005, by the director of the budget, chair
 
  11    of the non-profit racing association over-
 
  12    sight  board and president of a non-profit
 
  13    racing association, the non-profit  racing
 
  14    oversight board shall, prior to making any
 
  15    disbursement   to  the  non-profit  racing
 
  16    association,  consider  and  be  satisfied
 
  17    that  such  non-profit  racing association
 
  18    has and continues to fulfill the following
 
  19    commitments to: (1) by January  31,  2006,
 
  20    develop  a  cash  management plan which in
 
  21    the  judgment  of  the  non-profit  racing
 
  22    oversight   board  provides  a  reasonable
 
  23    expectation that available cash will cover
 
  24    necessary expenses of a non-profit  racing
 
  25    association through December 31, 2006; (2)
 
  26    by  January  31,  2006,  develop a plan of
 
  27    action necessary to reduce, to the  extent
 
  28    practicable, operating costs in the calen-
                                          5                         12264-01-6
 
   1    dar  year  two  thousand  six by an amount
 
   2    deemed  appropriate  by   the   non-profit
 
   3    racing  association  oversight board to be
 
   4    based  upon  a review of non-profit racing
 
   5    association expenditures;  (3)  diligently
 
   6    explore  sale  of  its  equity interest in
 
   7    "Equibase"; (4)  on  an  expedited  basis,
 
   8    make  application  to the state racing and
 
   9    wagering   board   to   increase   certain
 
  10    retention  rates on wagers by at least one
 
  11    percent (1%); (5) reevaluate, in consulta-
 
  12    tion with the  non-profit  racing  associ-
 
  13    ation  oversight  board, the rates of each
 
  14    simulcast contract and potentially renego-
 
  15    tiate such rates  of  exchange  for  those
 
  16    contracts;  and  (6)  provide  access to a
 
  17    non-profit  racing  association  oversight
 
  18    board   representative   to  review  cash,
 
  19    accounting records and expenditures  on  a
 
  20    real  time and continuing basis (including
 
  21    on-site auditor reporting directly to such
 
  22    oversight board). Any  funds  advanced  by
 
  23    the  non-profit  racing  association over-
 
  24    sight board as prepayments of  the  vendor
 
  25    fees  or the additional vendor's marketing
 
  26    allowance shall be  repaid  with  interest
 
  27    (to  accrue at a rate of four percent (4%)
 
  28    per  annum)  to  the  state  lottery  fund
                                          6                         12264-01-6
 
   1    administration  account  from  vendor fees
 
   2    and  the  additional  vendor's   marketing
 
   3    allowance  authorized by chapter 61 of the
 
   4    laws  of  2005,  commencing with the first
 
   5    day of operation  of  such  video  lottery
 
   6    terminal  facility  at Aqueduct racetrack,
 
   7    pursuant to a plan developed by  the  non-
 
   8    profit racing association oversight board;
 
   9    provided,  however,  that  such plan shall
 
  10    require, without limitation, any vendor of
 
  11    such  facility  to  return  to  the  state
 
  12    lottery  fund administration account up to
 
  13    twenty percent (20%) of the  vendor's  fee
 
  14    and  fifty percent (50%) of the additional
 
  15    vendor's marketing allowance authorized by
 
  16    chapter 61 of the laws of 2005  that  such
 
  17    vendor  generates through the operation of
 
  18    such video lottery  terminal  facility  at
 
  19    Aqueduct  racetrack.  Notwithstanding  any
 
  20    provision of law to the contrary, any such
 
  21    vendor  or  operator  shall  continue   to
 
  22    return such percentage of the vendors fees
 
  23    to  the  state lottery fund administration
 
  24    account until  such  time  as  the  amount
 
  25    returned to such account equals the amount
 
  26    of  the  vendor's fee prepaid to the track
 
  27    operator by the non-profit racing  associ-
 
  28    ation   oversight  board,  plus  interest;
                                          7                         12264-01-6
 
   1    provided, however, that the full amount of
 
   2    the vendor's  fee  prepaid  to  the  track
 
   3    operator, plus interest, shall be returned
 
   4    to  the  division  of the lottery no later
 
   5    than December 31, 2007 ...................... 20,000,000
 
   6                                              ==============
 
   7    Total new appropriations for state operations and aid to
 
   8      localities .............................................. 20,000,000
 
   9                                                            ==============
 
  10    § 2. This act shall take effect immediately and  shall  be  deemed  to
 
  11  have been in full force and effect on and after April 1, 2005.