July 24, 2007, Introduced by Rep. Cushingberry and referred to the Committee on Regulatory Reform.
A bill to amend 1995 PA 279, entitled
"Horse racing law of 1995,"
by amending sections 17, 18, and 20 (MCL 431.317, 431.318, and
431.320), sections 17 and 18 as amended by 1998 PA 408 and section
20 as amended by 2006 PA 185.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 17. (1) The pari-mutuel system of wagering upon the
results of horse races as permitted by this act shall not be held
or construed to be unlawful. All forms of pari-mutuel wagering
conducted at a licensed race meeting shall be preapproved by the
racing commissioner pursuant to rule or written order of the
commissioner.
(2) A holder of a race meeting license may provide a place in
the race meeting grounds or enclosure at which he or she may
conduct and supervise the pari-mutuel system of wagering on the
results of horse races as permitted by this act. If the pari-mutuel
system of wagering is used at a race meeting, a totalisator or
other device that is equal in accuracy and clearness to a
totalisator and approved by the racing commissioner shall be used.
The odds display of the totalisator or other device shall be placed
in full view of the patrons.
(3) Subject to section 18(3), each holder of a race meeting
license shall retain as his or her commission on all forms of
straight
wagering 17% 20% of all money wagered involving straight
wagers on the results of live and simulcast horse races conducted
at the licensee's race meetings. Subject to section 18(3), each
holder of a race meeting license shall retain as his or her
commission on all forms of multiple wagering, without the written
permission
of the racing commissioner not more than 28% 31% and
with the written permission of the racing commissioner not more
than
35% 38% of all money wagered involving any form of multiple
wager on the results of live and simulcast horse races conducted at
the licensee's race meeting. Except as otherwise provided by
contract, and after deducting payments required under subsection
(8), 50% of all commissions from wagering on the results of live
racing at the racetrack where the live racing was conducted shall
be paid to the horsemen's purse pool at the racetrack where the
live
racing was conducted. As used in this subsection:
(a)
"Straight wagering" means a wager made on the finishing
position
of a single specified horse in a single specified race.
(b)
"Multiple wagering" means a wager made on the finishing
positions
of more than 1 horse in a specified race or the finishing
positions
of 1 or more horses in more than 1 specified race.
(4) All breaks shall be retained by the race meeting licensee
and paid directly to the city or township in which the racetrack is
located as a fee for services provided pursuant to section 21.
(5) Payoff prices of tickets of a higher denomination shall be
calculated as even multiples of the payoff price for a $1.00 wager.
Each holder of a race meeting license shall distribute to the
persons holding winning tickets, as a minimum, a sum not less than
$1.10 calculated on the basis of each $1.00 deposited in a pool,
except that each race meeting licensee may distribute a sum of not
less than $1.05 to persons holding winning tickets for each $1.00
deposited
in a minus pool. As used in this subsection, "minus pool"
means
any win, place, or show pool in which the payout would exceed
the
total value of the pool.
(6) A holder of a race meeting license shall not knowingly
permit a person less than 18 years of age to be a patron of the
pari-mutuel wagering conducted or supervised by the holder.
(7) Any act or transaction relative to pari-mutuel wagering on
the results of live or simulcast horse races shall only occur or be
permitted to occur within the enclosure of a licensed race meeting.
A person shall not participate in or be a party to any act or
transaction relative to placing a wager or carrying a wager for
placement outside of a race meeting ground. A person shall not
provide messenger service for the placing of a bet for another
person who is not a patron. However, this subsection does not
prevent simulcasting or intertrack or interstate common pool
wagering inside or outside this state as permitted by this act or
the rules promulgated under this act.
(8) From the commission allowed under subsection (3), a race
meeting licensee shall pay to the Michigan agriculture equine
industry development fund created in section 20 an amount equal to
2% of all money wagered on the results of live and simulcast horse
races conducted at the licensee's race meetings.
(9) As used in this section:
(a) "Minus pool" means a win, place, or show pool in which the
payout would exceed the total value of the pool.
(b) "Multiple wagering" means wagering made on the finishing
positions of more than 1 horse in a specified race or the finishing
positions of 1 or more horses in more than 1 specified race.
(c) "Straight wagering" means wagering made on the finishing
position of a single specified horse in a single specified race.
Sec. 18. (1) Simulcasting by race meeting licensees may be
authorized by the racing commissioner subject to the limitations of
this
section. As used in this section, "simulcast" means the live
transmission
of video and audio signals conveying a horse race held
either
inside or outside this state to a licensed race meeting in
this
state. A simulcast from 1 racetrack in this state to another
racetrack
in this state shall be called an "intertrack simulcast".
A
simulcast from a racetrack outside this state to a racetrack
inside
this state shall be called an "interstate simulcast".
(2) The holder of a race meeting license may apply to the
racing commissioner, in the manner and form required by the
commissioner, for a permit to televise simulcasts of horse races to
viewing areas within the enclosure of the licensed racetrack at
which the applicant is licensed to conduct its race meeting. The
commissioner may issue a permit for individual race and full card
simulcasts televised during, between, before, or after programmed
live horse races on any day that live racing is conducted by the
applicant, and also on other days during the term of the
applicant's license when the applicant does not conduct live horse
racing, subject to the following conditions:
(a) The applicant shall have a current contract with a
certified horsemen's organization.
(b) The applicant shall have applied for and been allocated
the minimum number of live racing dates required by section 12(1)
to (5), subject to the availability of adequate horse supply as
determined by the racing commissioner.
(c) The applicant shall make a continuing good faith effort
throughout the duration of its race meeting to program and conduct
not
less than 9 or more live
horse races on each live racing date
allocated to the applicant.
(d) The certified horsemen's organization with which the
applicant has contracted shall have consented to the requested
simulcasts on any live racing day when the applicant is unable to
program
and conduct not less than 9 or
more live horse races, if
required by section 12(6).
(e) If the requested simulcasts are interstate, the applicant
shall waive in writing any right that the applicant may have under
the
interstate horse racing act of 1978, Public Law 95-515, 15
U.S.C.
USC 3001 to 3007, to restrict interstate simulcasts by
other
race meeting licensees in this state.
(f) If the applicant conducts its race meeting in a city area,
the applicant shall make the video and audio signals of its live
horse races available for intertrack simulcasting to all licensed
race meetings in this state located more than 12 miles from the
applicant's race meeting. The applicant shall charge each race
meeting licensee the same fee to receive its live signals for
intertrack simulcasting. The fee shall not exceed 3% of the total
amount wagered on the intertrack simulcast at each race meeting
that receives the simulcast.
(g) Except as otherwise agreed by the race meeting licensees
in a city area and the respective certified horsemen's
organizations
with which they contract, a if
the licensee is in
a
city area, the licensee shall receive all available intertrack
simulcasts from licensed race meetings in the city area located
more than 12 miles from the licensee's race meeting.
(h)
A licensed If the licensee
conducts its race meeting
outside a city area, the licensee shall not conduct interstate
simulcasts unless it also receives all intertrack simulcasts from
licensed race meetings in a city area that are available.
(i)
All applicants conducting licensed If the applicant
conducts its race meetings in a city area, the applicant shall
authorize all other race meeting licensees in the state to conduct
simulcasts of races of the breed for which the applicant is
licensed
to conduct live horse racing. An The applicant may shall
not conduct interstate simulcasts unless the applicant gives
authorization, to
do so is given by the applicant, in accordance
with subdivision (j), permitting all other race meeting licensees
to receive interstate simulcasts of a different breed than they are
licensed to race live.
(j)
A The race meeting licensee shall not conduct an
interstate simulcast of a different breed than it is licensed to
race live at its race meeting, unless the licensee has the written
permission of all race meeting licensees in a city area that are
licensed to race that breed live at their race meetings.
(k) All authorized simulcasts shall be conducted in compliance
with the written permit and related orders issued by the racing
commissioner and all other requirements and conditions of this act
and the rules of the racing commissioner promulgated under this
act.
(l) All authorized interstate simulcasts shall also
comply with
the
interstate horse racing act of 1978, Public Law 95-15, 15
U.S.C.
USC 3001 to 3007.
(3) All forms of wagering by pari-mutuel methods provided for
under this act for live racing shall be allowed on simulcast horse
races authorized under this section. All money wagered on simulcast
horse races at a licensed race meeting shall be included in
computing the total amount of all money wagered at the licensed
race meeting for purposes of section 17. When the simulcast is an
interstate simulcast, the money wagered on that simulcast shall
form a separate pari-mutuel pool at the receiving track unless 2 or
more licensees receive the same interstate simulcast signals or the
racing commissioner permits the receiving track to combine its
interstate simulcast pool with the pool created at the out-of-state
sending track on the same race. If 2 or more licensees receive the
same interstate simulcast signals, the money wagered on the
simulcasts shall be combined in a common pool and the licensees
shall jointly agree and designate at which race meeting the common
pool will be located. However, if the law of the jurisdiction in
which the sending racetrack is located permits interstate common
pools at the sending racetrack, the racing commissioner may permit
pari-mutuel pools on interstate simulcast races in this state to be
combined with pari-mutuel pools on the same races created at the
out-of-state sending racetrack. If the pari-mutuel pools on the
interstate simulcast races in this state are combined in a common
pool at the out-of-state sending track, then the commissions
described in section 17 on the pool created in this state shall be
adjusted to equal the commissions in effect at the sending track
under the laws of its jurisdiction. If the simulcast is an
intertrack simulcast, the money wagered on that simulcast at the
receiving racetrack shall be added to the pari-mutuel pool at the
sending racetrack.
(4) Each race meeting licensee that receives an interstate
simulcast shall pay to the horsemen's simulcast purse pool
established under section 19 a sum equal to 40% of the licensee's
net commission from all money wagered on the interstate simulcast,
as determined by section 17(3) after first deducting from the
licensee's statutory commission the payment required under section
17(8),
the applicable state tax on wagering due
and payable under
section 22, and the actual verified fee paid by the licensee to the
sending host track to receive the interstate simulcast signal. The
licensee shall retain the remaining balance of its net commission
and
shall be is responsible for paying all other capital and
operational expenses related to receiving interstate simulcasts at
its race meeting. Any subsequent rebate of a fee paid by a licensee
to receive interstate simulcast signals shall be shared equally by
the licensee and the horsemen's simulcast purse pool established
under section 19.
(5) A race meeting licensee licensed to conduct pari-mutuel
horse racing in a city area shall provide the necessary equipment
to send intertrack simulcasts of the live horse races conducted at
its race meeting to all other race meeting licensees in this state,
and shall send its intertrack simulcast signals to those licensees
upon request for an agreed fee, which shall not exceed 3% of the
total amount wagered on the race at the receiving track. Race
meeting licensees that send or receive intertrack simulcasts shall
make the following payments to the horsemen's purse pools:
(a) Each race meeting licensee that sends an intertrack
simulcast shall pay 50% of the simulcast fee that it receives for
sending the simulcast signal to the horsemen's purse pool at the
sending track.
(b) Each race meeting licensee that receives an intertrack
simulcast shall pay to the horsemen's simulcast purse pool
established pursuant to section 19 a sum equal to 40% of the
receiving track's net commission from wagering on the intertrack
simulcast under section 17(3) after first deducting from the
licensee's statutory commission the payment required under section
17(8),
the applicable state tax on wagering due
and owing under
section 22, and the actual verified fee paid by the receiving track
to the sending host track to receive the intertrack simulcast
signal.
(6) The racing commissioner may authorize a race meeting
licensee to transmit simulcasts of live horse races conducted at
its racetrack to locations outside of this state in accordance with
the
interstate horse racing act of 1978, Public Law 95-515, 15
U.S.C.
USC 3001 to 3007, or any other applicable laws, and may
permit
pari-mutuel pools on such the
simulcast races created under
the laws of the jurisdiction in which the receiving track is
located to be combined in a common pool with pari-mutuel pools on
the
same races created in this state. A race meeting licensee that
transmits simulcasts of its races to locations outside this state
shall pay 50% of the fee that it receives for sending the simulcast
signal to the horsemen's purse pool at the sending track after
first deducting the actual verified cost of sending the signal out
of state.
(7) Simulcasting of events other than horse races for purposes
of pari-mutuel wagering is prohibited.
(8) As used in this section:
(a) "Interstate simulcast" means a simulcast from a racetrack
outside this state to a racetrack inside this state.
(b) "Intertrack simulcast" means a simulcast from 1 racetrack
in this state to another racetrack in this state.
(c) "Simulcast" means the live transmission of video and audio
signals conveying a horse race held either inside or outside this
state to a licensed race meeting in this state.
Sec. 20. (1) It is the policy of this state to encourage the
breeding of horses of all breeds in this state and the ownership of
such horses by residents of this state to provide for sufficient
numbers of high quality race horses of all breeds to participate in
licensed race meetings in this state; to promote the positive
growth and development of high quality horse racing and other
equine competitions in this state as a business and entertainment
activity for residents of this state; and to establish and preserve
the substantial agricultural and commercial benefits of the horse
racing and breeding industry to the state of Michigan. It is the
intent of the legislature to further this policy by the provisions
of this act and annual appropriations to administer this act and
adequately fund the agriculture and equine industry programs
established by this section.
(2) Money received by the racing commissioner and the state
treasurer under this act shall be paid promptly into the state
treasury and placed in the Michigan agriculture equine industry
development fund created in subsection (3).
(3) The Michigan agriculture equine industry development fund
is created in the department of treasury. The Michigan agriculture
equine industry development fund shall be administered by the
director of the department of agriculture with the assistance and
advice of the racing commissioner.
(4) Money shall not be expended from the Michigan agriculture
equine industry development fund except as appropriated by the
legislature. Money appropriated by the legislature for the Michigan
agriculture equine industry development fund shall be expended by
the director of the department of agriculture with the advice and
assistance of the racing commissioner to make the payments required
by subsection (18) and to provide funding for the general fund as
provided in subsection (17) and for agriculture and equine industry
development programs as provided in subsections (5) to (11).
(5) The following amounts shall be paid to standardbred and
fair programs:
(a) A sum not to exceed 75% of the purses for standardbred
harness horse races offered by fairs and races at licensed pari-
mutuel racetracks. Purse supplements for overnight races at fairs
paid pursuant to this subsection shall be $1,000.00. However, if
the average purse offered for maiden overnight races of the same
breed at any licensed race meeting in this state during the
previous year as calculated by the department of agriculture was
less than $1,000.00, purse supplements for overnight races at fairs
paid under this subsection shall not exceed that average purse.
(b) A sum to be allotted on a matching basis, but not to
exceed $15,000.00 each year to a single fair, for the purpose of
equipment rental during fairs; ground improvement; constructing,
maintaining, and repairing buildings; and making the racetrack more
suitable and safe for racing at fairs.
(c) A sum to be allotted for paying special purses at fairs on
2-year-old and 3-year-old standardbred harness horses conceived
after January 1, 1992, and sired by a standardbred stallion
registered with the Michigan department of agriculture that was
leased or owned by a resident or residents of this state and that
did not serve a mare at a location outside of this state from
February 1 through July 31 of the calendar year in which the
conception occurred. A foal that is born on or after January 1,
2002 of a mare owned by a nonresident of this state and that is
conceived outside of this state from transported semen of a
stallion registered with the Michigan department of agriculture is
eligible for Michigan tax-supported races only if, in the year that
the foal is conceived, the Michigan department of agriculture's
agent for receiving funds as the holding agent for stakes and
futurities is paid a transport fee as determined by the Michigan
department of agriculture and administered by the Michigan harness
horsemen's association.
(d) A sum to pay not more than 75% of an eligible cash premium
paid by a fair or exposition. The commission of agriculture shall
promulgate rules establishing which premiums are eligible for
payment and a dollar limit for all eligible payments.
(e) A sum to pay breeders' awards in an amount not to exceed
10% of the gross purse to breeders of Michigan bred standardbred
harness horses for each time the horse wins a race at a licensed
race meeting or fair in this state. As used in this subdivision,
"Michigan bred standardbred harness horse" means a horse from a
mare owned by a resident or residents of this state at the time of
conception, that was conceived after January 1, 1992, and sired by
a standardbred stallion registered with the Michigan department of
agriculture that was leased or owned by a resident or residents of
this state and that did not serve a mare at a location outside of
this state from February 1 through July 31 of the calendar year in
which the conception occurred. To be eligible, each mare shall be
registered with the Michigan department of agriculture. A foal that
is born on or after January 1, 2002 of a mare owned by a
nonresident of this state and that is conceived outside of this
state from transported semen of a stallion registered with the
Michigan department of agriculture is eligible for Michigan tax-
supported races only if, in the year that the foal is conceived,
the Michigan department of agriculture's agent for receiving funds
as the holding agent for stakes and futurities is paid a transport
fee as determined by the Michigan department of agriculture and
administered by the Michigan harness horsemen's association.
(f) A sum not to exceed $4,000.00 each year to be allotted to
fairs to provide training and stabling facilities for standardbred
harness horses.
(g) A sum to be allotted to pay the presiding judges and
clerks of the course at fairs. Presiding judges and clerks of the
course shall be hired by the fair's administrative body with the
advice and approval of the racing commissioner. The director of the
department of agriculture may allot funds for a photo finish system
and a mobile starting gate. The director of the department of
agriculture shall allot funds for the conducting of tests, the
collection and laboratory analysis of urine, saliva, blood, and
other samples from horses, and the taking of blood alcohol tests on
drivers, jockeys, and starting gate employees, for those races
described in this subdivision. The department may require a driver,
jockey, or starting gate employee to submit to a breathalyzer test,
urine test, or other noninvasive fluid test to detect the presence
of alcohol or a controlled substance. If the results of a test show
that a person has more than .05% of alcohol in his or her blood, or
has present in his or her body a controlled substance, the person
shall not be permitted to continue in his or her duties on that
race day and until he or she can produce, at his or her own
expense, a negative test result.
(h) A sum to pay purse supplements to licensed pari-mutuel
harness race meetings for special 4-year-old filly and colt horse
races.
(i) A sum not to exceed 0.25% of all money wagered on live and
simulcast horse races in Michigan shall be placed in a special
standardbred sire stakes fund each year, 100% of which shall be
used to provide purses for races run exclusively for 2-year-old and
3-year-old Michigan sired standardbred horses at licensed harness
race meetings in this state. As used in this subdivision, "Michigan
sired standardbred horses" means standardbred horses conceived
after January 1, 1992 and sired by a standardbred stallion
registered with the Michigan department of agriculture that was
leased or owned by a resident or residents of this state and that
did not serve a mare at a location outside of this state from
February 1 through July 31 of the calendar year in which the
conception occurred. A foal that is born on or after January 1,
2002 of a mare owned by a nonresident of this state and that is
conceived outside of this state from transported semen of a
stallion registered with the Michigan department of agriculture is
eligible for Michigan tax-supported races only if, in the year that
the foal is conceived, the Michigan department of agriculture's
agent for receiving funds as the holding agent for stakes and
futurities is paid a transport fee as determined by the Michigan
department of agriculture and administered by the Michigan harness
horsemen's association.
(6) The following amounts shall be paid to thoroughbred
programs:
(a) A sum to be allotted thoroughbred race meeting licensees
to supplement the purses for races to be conducted exclusively for
Michigan bred horses.
(b) A sum to pay awards to owners of Michigan bred horses that
finish first, second, or third in races open to non-Michigan bred
horses.
(c) A sum to pay breeders' awards in an amount not to exceed
10% of the gross purse to the breeders of Michigan bred
thoroughbred horses for each time Michigan bred thoroughbred horses
win at a licensed race meeting in this state.
(d) A sum to pay purse supplements to licensed thoroughbred
race meetings for special 4-year-old and older filly and colt horse
races.
(e) A sum not to exceed 0.25% of all money wagered on live and
simulcast horse races in Michigan shall be placed in a special
thoroughbred sire stakes fund each year, 100% of which shall be
used to provide purses for races run exclusively for 2-year-old and
3-year-old and older Michigan sired thoroughbred horses at licensed
thoroughbred race meetings in this state and awards for owners of
Michigan sired horses or stallions. As used in this subdivision,
"Michigan sired thoroughbred horses" means thoroughbred horses
sired by a stallion registered with the department of agriculture
that was leased or owned exclusively by a resident or residents of
this state and that did not serve a mare at a location outside of
this state during the calendar year in which the service occurred.
(f) A sum to be allotted sufficient to pay for the collection
and laboratory analysis of urine, saliva, blood, and other samples
from horses and licensed persons and for the conducting of tests
described in section 16(4)(b).
(7) The following amounts shall be paid for quarter horse
programs:
(a) A sum to supplement the purses for races to be conducted
exclusively for Michigan bred quarter horses.
(b) A sum to pay not more than 75% of the purses for
registered quarter horse races offered by fairs.
(c) A sum to pay breeders' awards in an amount not to exceed
10% of a gross purse to breeders of Michigan bred quarter horses
for each time a Michigan bred quarter horse wins at a county fair
or licensed race meeting in this state.
(d) A sum to pay for the collection and laboratory analysis of
urine, saliva, blood, and other samples from horses and licensed
persons and the taking of blood alcohol tests on jockeys for those
races described in this subsection and for the conducting of tests
described in section 16(4)(b).
(e) As used in this subsection, "Michigan bred quarter horse"
means that term as defined in R 285.817.1 of the Michigan
administrative code. Each mare and stallion shall be registered
with the director of the department of agriculture.
(8) The following amounts shall be paid for Appaloosa
programs:
(a) A sum to supplement the purses for races to be conducted
exclusively for Michigan bred Appaloosa horses.
(b) A sum to pay not more than 75% of the purses for
registered Appaloosa horse races offered by fairs.
(c) A sum to pay breeders' awards in an amount not to exceed
10% of the gross purse to the breeders of Michigan bred Appaloosa
horses for each time Michigan bred horses win at a fair or licensed
race meeting in this state.
(d) The department shall also allot sufficient funds from the
revenue received from Appaloosa horse racing to pay for the
collection and laboratory analysis of urine, saliva, blood, or
other samples from horses and licensed persons and the taking of
blood alcohol tests on jockeys for those races described in this
subsection and for the conducting of tests described in section
16(4)(b).
(e) As used in this subsection, "Michigan bred Appaloosa
horse" means that term as defined in R 285.819.1 of the Michigan
administrative code. Each mare and stallion shall be registered
with the director of the department of agriculture.
(9) The following amounts shall be paid for Arabian programs:
(a) A sum to supplement the purses for races to be conducted
exclusively for Michigan bred Arabian horses.
(b) A sum to pay not more than 75% of the purses for
registered Arabian horse races offered by fairs.
(c) A sum to pay breeders' awards in an amount not to exceed
10% of the gross purse to the breeders of Michigan bred Arabian
horses for each time Michigan bred horses win at a fair or licensed
racetrack in this state.
(d) A sum allotted from the revenue received from Arabian
horse racing to pay for the collection and laboratory analysis of
urine, saliva, blood, and other samples from horses and licensed
persons and the taking of blood alcohol tests on jockeys for those
races described in this subsection and for the conducting of tests
described in section 16(4)(b).
(e) As used in this subsection, "Michigan bred Arabian horse"
means a Michigan-bred horse as that term is defined in R
285.822.1(i) of the Michigan administrative code. Each mare and
stallion shall be registered with the director of the department of
agriculture.
(10) The following sums shall be paid for American paint horse
programs:
(a) A sum to supplement the purses for races to be conducted
exclusively for Michigan bred American paint horses.
(b) A sum to pay not more than 75% of the purses for
registered American paint horse races offered by fairs.
(c) A sum to pay breeders' awards in an amount not to exceed
10% of the gross purse to the breeders of Michigan bred American
paint horses for each time a Michigan bred American paint horse
wins at a county fair or licensed race meeting in this state.
(d) A sum to pay for the collection and laboratory analysis of
urine, saliva, blood, and other samples from horses and licensed
persons and the taking of blood alcohol tests on jockeys for those
races described in this subsection and for the conducting of tests
described in section 16(4)(b).
(e) As used in this subsection, "Michigan bred American paint
horse" means a Michigan-bred paint horse as that term is defined in
R 285.823.1 of the Michigan administrative code.
(11) The following amounts shall be paid for the equine
industry research, planning, and development grant fund program:
(a) A sum to fund grants for research projects conducted by
persons affiliated with a university or governmental research
agency or institution or other private research entity approved by
the racing commissioner, which are beneficial to the horse racing
and breeding industry in this state.
(b) A sum to fund the development, implementation, and
administration of new programs that promote the proper growth and
development of the horse racing and breeding industry in this state
and other valuable equine-related commercial and recreational
activities in this state.
(12) As used in subsection (11), "equine industry research"
means the study, discovery and generation of accurate and reliable
information, findings, conclusions, and recommendations that are
useful or beneficial to the horse racing and breeding industry in
this state through improvement of the health of horses; prevention
of equine illness and disease, and performance-related accidents
and injuries; improvement of breeding technique and racing
performance; and compilation and study of valuable and reliable
statistical data regarding the size, organization, and economics of
the industry in this state; and strategic planning for the
effective promotion, growth, and development of the industry in
this state.
(13) Subject to subsection (17), money appropriated and
allotted to the Michigan agriculture equine industry development
fund shall not revert to the general fund and shall be carried
forward from year to year until disbursed to fund grants for
research projects beneficial to the industry.
(14) A percentage of the Michigan agriculture equine industry
development fund that is equal to 1/100 of 1% of the gross wagers
made each year in each of the racetracks licensed under this act
shall be deposited in the compulsive gaming prevention fund created
in section 3 of the compulsive gaming prevention act, 1997 PA 70,
MCL 432.253.
(15) The director of the department of agriculture shall
promulgate rules pursuant to the administrative procedures act of
1969, 1969 PA 306, MCL 24.201 to 24.328, to implement this section.
The rules promulgated under this subsection shall do all of the
following:
(a) Prescribe the conditions under which the Michigan
agriculture equine industry development fund and related programs
described in subsections (1) to (13) shall be funded.
(b) Establish conditions and penalties regarding the programs
described in subsections (5) to (12).
(c) Develop and maintain informational programs related to
this section.
(16) Funds under the control of the department of agriculture
in this section shall be disbursed under the rules promulgated
pursuant to subsection (15). All funds under the control of the
department of agriculture approved for purse supplements and
breeders' awards shall be paid by the state treasurer not later
than 45 days from the date of the race.
(17) Two million dollars shall be transferred from the
Michigan agriculture equine industry development fund to the
general fund in the fiscal year ending September 30, 2006.
(18) Beginning with the fiscal year ending September 30, 2008,
$750,000.00 shall be paid annually from the Michigan agriculture
equine industry development fund to the department of state police
to be used only for traffic control in relation to motorsports
events held at a motorsports entertainment complex that has a
seating capacity of 100,000 or more.