HB 1145

A bill to be entitled
2An act relating to pari-mutuel permitholders; amending s.
3550.002, F.S., which defines the term "full schedule of
4live racing or games"; providing that a greyhound
5permitholder shall not be required to conduct a minimum
6number of live performances; amending s. 550.01215, F.S.;
7revising requirements for an application for a license to
8conduct performances; providing an extended period to
9amend certain applications; amending s. 550.054, F.S.;
10removing a requirement for holders of certain converted
11permits to conduct a full schedule of live racing to
12qualify for certain tax credits; amending s. 550.0951,
13F.S.; revising provisions for transfer by a permitholder
14of a tax exemption or license fee credit to a greyhound
15permitholder; revising the tax on handle for dogracing and
16intertrack wagering; amending s. 550.09514, F.S.; revising
17purse requirements for greyhound racing and provisions for
18payment of purses; amending s. 550.615, F.S.; revising
19provisions for intertrack wagering; amending ss. 550.26165
20and 550.6305, F.S.; conforming cross-references to changes
21made by the act; amending s. 551.104, F.S.; revising a
22condition of licensure for the conduct of slot machine
23gaming; amending s. 551.114, F.S.; revising requirements
24for designated slot machine gaming areas; amending s.
25849.086, F.S.; revising requirements for initial and
26renewal issuance of a cardroom license; providing that
27neither a corresponding pari-mutuel license application
28nor a minimum number of live performances is required for
29a greyhound permitholder to maintain or renew a cardroom
30license; providing an effective date.
32Be It Enacted by the Legislature of the State of Florida:
34     Section 1.  Subsection (11) of section 550.002, Florida
35Statutes, is amended to read:
36     550.002  Definitions.-As used in this chapter, the term:
37     (11)  "Full schedule of live racing or games" means, for a
38greyhound or jai alai permitholder, the conduct of a combination
39of at least 100 live evening or matinee performances during the
40preceding year; for a permitholder who has a converted permit or
41filed an application on or before June 1, 1990, for a converted
42permit, the conduct of a combination of at least 100 live
43evening and matinee wagering performances during either of the 2
44preceding years; for a jai alai permitholder who does not
45operate slot machines in its pari-mutuel facility, who has
46conducted at least 100 live performances per year for at least
4710 years after December 31, 1992, and whose handle on live jai
48alai games conducted at its pari-mutuel facility has been less
49than $4 million per state fiscal year for at least 2 consecutive
50years after June 30, 1992, the conduct of a combination of at
51least 40 live evening or matinee performances during the
52preceding year; for a jai alai permitholder who operates slot
53machines in its pari-mutuel facility, the conduct of a
54combination of at least 150 performances during the preceding
55year; for a harness permitholder, the conduct of at least 100
56live regular wagering performances during the preceding year;
57for a quarter horse permitholder at its facility unless an
58alternative schedule of at least 20 live regular wagering
59performances is agreed upon by the permitholder and either the
60Florida Quarter Horse Racing Association or the horsemen's
61association representing the majority of the quarter horse
62owners and trainers at the facility and filed with the division
63along with its annual date application, in the 2010-2011 fiscal
64year, the conduct of at least 20 regular wagering performances,
65in the 2011-2012 and 2012-2013 fiscal years, the conduct of at
66least 30 live regular wagering performances, and for every
67fiscal year after the 2012-2013 fiscal year, the conduct of at
68least 40 live regular wagering performances; for a quarter horse
69permitholder leasing another licensed racetrack, the conduct of
70160 events at the leased facility; and for a thoroughbred
71permitholder, the conduct of at least 40 live regular wagering
72performances during the preceding year. For a permitholder which
73is restricted by statute to certain operating periods within the
74year when other members of its same class of permit are
75authorized to operate throughout the year, the specified number
76of live performances which constitute a full schedule of live
77racing or games shall be adjusted pro rata in accordance with
78the relationship between its authorized operating period and the
79full calendar year and the resulting specified number of live
80performances shall constitute the full schedule of live games
81for such permitholder and all other permitholders of the same
82class within 100 air miles of such permitholder. A live
83performance must consist of no fewer than eight races or games
84conducted live for each of a minimum of three performances each
85week at the permitholder's licensed facility under a single
86admission charge. Notwithstanding any other provision of law,
87beginning with the 2011-2012 fiscal year, there shall be no
88minimum requirement of live performances for greyhound
90     Section 2.  Subsection (1) of section 550.01215, Florida
91Statutes, is amended to read:
92     550.01215  License application; periods of operation; bond,
93conversion of permit.-
94     (1)  Each permitholder shall annually, during the period
95between December 15 and January 4, file in writing with the
96division its application for a license to conduct pari-mutuel
97wagering activities performances during the next state fiscal
98year. Each application requesting live performances, if any,
99shall specify the number, dates, and starting times of all
100performances which the permitholder intends to conduct. It shall
101also specify which performances will be conducted as charity or
102scholarship performances. In addition, each application for a
103license shall include, for each permitholder which elects to
104operate a cardroom, the dates and periods of operation the
105permitholder intends to operate the cardroom or, for each
106thoroughbred permitholder which elects to receive or rebroadcast
107out-of-state races after 7 p.m., the dates for all performances
108which the permitholder intends to conduct. Permitholders may
109shall be entitled to amend their applications through February
11028 or, for applications relating to the 2011-2012 fiscal year,
111through August 31, 2011.
112     Section 3.  Paragraph (b) of subsection (14) of section
113550.054, Florida Statutes, is amended to read:
114     550.054  Application for permit to conduct pari-mutuel
116     (14)
117     (b)  The division, upon application from the holder of a
118jai alai permit meeting all conditions of this section, shall
119convert the permit and shall issue to the permitholder a permit
120to conduct greyhound racing. A permitholder of a permit
121converted under this section shall be required to apply for and
122conduct a full schedule of live racing each fiscal year to be
123eligible for any tax credit provided by this chapter. The holder
124of a permit converted pursuant to this subsection or any holder
125of a permit to conduct greyhound racing located in a county in
126which it is the only permit issued pursuant to this section who
127operates at a leased facility pursuant to s. 550.475 may move
128the location for which the permit has been issued to another
129location within a 30-mile radius of the location fixed in the
130permit issued in that county, provided the move does not cross
131the county boundary and such location is approved under the
132zoning regulations of the county or municipality in which the
133permit is located, and upon such relocation may use the permit
134for the conduct of pari-mutuel wagering and the operation of a
135cardroom. The provisions of s. 550.6305(9)(d) and (f) shall
136apply to any permit converted under this subsection and shall
137continue to apply to any permit which was previously included
138under and subject to such provisions before a conversion
139pursuant to this section occurred.
140     Section 4.  Paragraph (b) of subsection (1) and paragraphs
141(b) and (c) of subsection (3) of section 550.0951, Florida
142Statutes, are amended to read:
143     550.0951  Payment of daily license fee and taxes;
145     (1)
146     (b)  Each permitholder that cannot utilize the full amount
147of the exemption of $360,000 or $500,000 provided in s.
148550.09514(1) or the daily license fee credit provided in this
149section may, at any time, after notifying the division in
150writing, elect once per state fiscal year on a form provided by
151the division, to transfer such exemption or credit or any
152portion thereof to any greyhound permitholder which acts as a
153host track to such permitholder for the purpose of intertrack
154wagering. Once an election to transfer such exemption or credit
155is filed with the division, it shall not be rescinded. The
156division shall disapprove the transfer when the amount of the
157exemption or credit or portion thereof is unavailable to the
158transferring permitholder for any reason, including being
159unavailable because the transferring permitholder did not
160conduct live racing in the fiscal year, or when the permitholder
161who is entitled to transfer the exemption or credit or who is
162entitled to receive the exemption or credit owes taxes to the
163state pursuant to a deficiency letter or administrative
164complaint issued by the division. Upon approval of the transfer
165by the division, the transferred tax exemption or credit shall
166be effective for the first performance of the next payment
167period as specified in subsection (5). The exemption or credit
168transferred to such host track may be applied by such host track
169against any taxes imposed by this chapter or daily license fees
170imposed by this chapter. The greyhound permitholder host track
171to which such exemption or credit is transferred shall reimburse
172such permitholder the exact monetary value of such transferred
173exemption or credit as actually applied against the taxes and
174daily license fees of the host track. The division shall ensure
175that all transfers of exemption or credit are made in accordance
176with this subsection and shall have the authority to adopt rules
177to ensure the implementation of this section.
178     (3)  TAX ON HANDLE.-Each permitholder shall pay a tax on
179contributions to pari-mutuel pools, the aggregate of which is
180hereinafter referred to as "handle," on races or games conducted
181by the permitholder. The tax is imposed daily and is based on
182the total contributions to all pari-mutuel pools conducted
183during the daily performance. If a permitholder conducts more
184than one performance daily, the tax is imposed on each
185performance separately.
186     (b)1.  The tax on handle for dogracing is 3.45 5.5 percent
187of the handle, except that for live charity performances held
188pursuant to s. 550.0351, and for intertrack wagering on such
189charity performances at a guest greyhound track within the
190market area of the host, the tax is 7.6 percent of the handle.
191     2.  The tax on handle for jai alai is 7.1 percent of the
193     (c)1.  The tax on handle for intertrack wagering is 2.0
194percent of the handle if the host track is a horse track, 3.3
195percent if the host track is a harness track, 3.45 5.5 percent
196if the host track is a dog track, and 7.1 percent if the host
197track is a jai alai fronton. The tax on handle for intertrack
198wagering is 0.5 percent if the host track and the guest track
199are thoroughbred permitholders or at facilities other than dog
200tracks if the guest track is located outside the market area of
201the host track and within the market area of a thoroughbred
202permitholder currently conducting a live race meet. The tax on
203handle for intertrack wagering is 1.5 percent if the host track
204and the guest track are greyhound permitholders and the guest
205track is located outside the market area of the host track and
206within the market area of a thoroughbred permitholder currently
207conducting a live race meet. The tax on handle for intertrack
208wagering on rebroadcasts of simulcast thoroughbred horseraces is
2092.4 percent of the handle and 1.5 percent of the handle for
210intertrack wagering on rebroadcasts of simulcast harness
211horseraces. The tax shall be deposited into the Pari-mutuel
212Wagering Trust Fund.
213     2.  The tax on handle for intertrack wagers is accepted by
214any dog track located in an area of the state in which there are
215only three permitholders, all of which are greyhound
216permitholders, located in three contiguous counties, from any
217greyhound permitholder also located within such area or any dog
218track or jai alai fronton located as specified in s. 550.615(6)
219or (9), on races or games received from the same class of
220permitholder located within the same market area is 3.9 percent
221if the host facility is a greyhound permitholder and, if the
222host facility is a jai alai permitholder, the rate shall be 6.1
223percent if the host facility is a jai alai permitholder, except
224that it shall be 2.3 percent on handle at such time as the total
225tax on intertrack handle paid to the division by the
226permitholder during the current state fiscal year exceeds the
227total tax on intertrack handle paid to the division by the
228permitholder during the 1992-1993 state fiscal year.
229     Section 5.  Paragraphs (b), (c), and (e) of subsection (2)
230of section 550.09514, Florida Statutes, are amended to read:
231     550.09514  Greyhound dogracing taxes; purse requirements.-
232     (2)
233     (b)  Except as otherwise set forth herein, in addition to
234the minimum purse percentage required by paragraph (a), each
235permitholder conducting live racing during a fiscal year shall
236pay as purses an annual amount equal to 75 percent of the daily
237license fees paid by each permitholder for the 1994-1995 fiscal
238year. This purse supplement shall be disbursed weekly during the
239permitholder's race meet in an amount determined by dividing the
240annual purse supplement by the number of performances approved
241for the permitholder pursuant to its annual license and
242multiplying that amount by the number of performances conducted
243each week. For the greyhound permitholders in the county where
244there are two greyhound permitholders located as specified in s.
245550.615(6), such permitholders shall pay in the aggregate an
246amount equal to 75 percent of the daily license fees paid by
247such permitholders for the 1994-1995 fiscal year. These
248permitholders shall be jointly and severally liable for such
249purse payments. The additional purses provided by this paragraph
250must be used exclusively for purses other than stakes. The
251division shall conduct audits necessary to ensure compliance
252with this section.
253     (c)1.  Each greyhound permitholder when conducting at least
254three live performances during any week shall pay purses in that
255week on wagers it accepts as a guest track on intertrack and
256simulcast greyhound races at the same rate as it pays on live
257races. Each greyhound permitholder when conducting at least
258three live performances during any week shall pay purses in that
259week, at the same rate as it pays on live races, on wagers
260accepted on greyhound races at a guest track which is not
261conducting live racing and is located within the same market
262area as the greyhound permitholder conducting at least three
263live performances during any week.
264     2.  Each host greyhound permitholder shall pay purses on
265its simulcast and intertrack broadcasts of greyhound races to
266guest facilities that are located outside its market area in an
267amount equal to one quarter of an amount determined by
268subtracting the transmission costs of sending the simulcast or
269intertrack broadcasts from an amount determined by adding the
270fees received for greyhound simulcast races plus 3 percent of
271the greyhound intertrack handle at guest facilities that are
272located outside the market area of the host and that paid
273contractual fees to the host for such broadcasts of greyhound
274races. For guest greyhound permitholders not conducting live
275racing during a fiscal year and not subject to the purse
276requirements of subparagraph 1., 3 percent of the greyhound
277intertrack handle shall be paid to the host greyhound
278permitholder for payment of purses at the host track.
279     (e)  In addition to the purse requirements of paragraphs
280(a)-(c), each greyhound permitholder shall pay as purses an
281amount equal to one-third of the amount of the tax reduction on
282live and simulcast handle applicable to such permitholder as a
283result of the reductions in tax rates provided by this act
284through the amendments to s. 550.0951(3). With respect to
285intertrack wagering when the host and guest tracks are greyhound
286permitholders not within the same market area, an amount equal
287to the tax reduction applicable to the guest track handle as a
288result of any reductions the reduction in tax rates rate
289provided by this act through the amendment to s. 550.0951(3),
290other than revisions to s. 550.0951(3)(c)1. and 2. made after
291December 31, 2010, shall be distributed to the guest track, one-
292third of which amount shall be paid as purses at the guest
293track. However, if the guest track is a greyhound permitholder
294within the market area of the host or if the guest track is not
295a greyhound permitholder, an amount equal to such tax reduction
296applicable to the guest track handle shall be retained by the
297host track, one-third of which amount shall be paid as purses at
298the host track. These purse funds shall be disbursed in the week
299received if the permitholder conducts at least one live
300performance during that week. If the permitholder does not
301conduct at least one live performance during the week in which
302the purse funds are received, the purse funds shall be disbursed
303weekly during the permitholder's next race meet in an amount
304determined by dividing the purse amount by the number of
305performances approved for the permitholder pursuant to its
306annual license, and multiplying that amount by the number of
307performances conducted each week. The division shall conduct
308audits necessary to ensure compliance with this paragraph.
309     Section 6.  Subsection (1) of section 550.26165, Florida
310Statutes, is amended to read:
311     550.26165  Breeders' awards.-
312     (1)  The purpose of this section is to encourage the
313agricultural activity of breeding and training racehorses in
314this state. Moneys dedicated in this chapter for use as
315breeders' awards and stallion awards are to be used for awards
316to breeders of registered Florida-bred horses winning horseraces
317and for similar awards to the owners of stallions who sired
318Florida-bred horses winning stakes races, if the stallions are
319registered as Florida stallions standing in this state. Such
320awards shall be given at a uniform rate to all winners of the
321awards, shall not be greater than 20 percent of the announced
322gross purse, and shall not be less than 15 percent of the
323announced gross purse if funds are available. In addition, no
324less than 17 percent nor more than 40 percent, as determined by
325the Florida Thoroughbred Breeders' Association, of the moneys
326dedicated in this chapter for use as breeders' awards and
327stallion awards for thoroughbreds shall be returned pro rata to
328the permitholders that generated the moneys for special racing
329awards to be distributed by the permitholders to owners of
330thoroughbred horses participating in prescribed thoroughbred
331stakes races, nonstakes races, or both, all in accordance with a
332written agreement establishing the rate, procedure, and
333eligibility requirements for such awards entered into by the
334permitholder, the Florida Thoroughbred Breeders' Association,
335and the Florida Horsemen's Benevolent and Protective
336Association, Inc., except that the plan for the distribution by
337any permitholder located in the area described in s.
338550.615(8)(9) shall be agreed upon by that permitholder, the
339Florida Thoroughbred Breeders' Association, and the association
340representing a majority of the thoroughbred racehorse owners and
341trainers at that location. Awards for thoroughbred races are to
342be paid through the Florida Thoroughbred Breeders' Association,
343and awards for standardbred races are to be paid through the
344Florida Standardbred Breeders and Owners Association. Among
345other sources specified in this chapter, moneys for thoroughbred
346breeders' awards will come from the 0.955 percent of handle for
347thoroughbred races conducted, received, broadcast, or simulcast
348under this chapter as provided in s. 550.2625(3). The moneys for
349quarter horse and harness breeders' awards will come from the
350breaks and uncashed tickets on live quarter horse and harness
351racing performances and 1 percent of handle on intertrack
352wagering. The funds for these breeders' awards shall be paid to
353the respective breeders' associations by the permitholders
354conducting the races.
355     Section 7.  Section 550.615, Florida Statutes, is amended
356to read:
357     550.615  Intertrack wagering.-
358     (1)  Any horserace permitholder licensed under this chapter
359which has conducted a full schedule of live racing may, at any
360time, receive broadcasts of horseraces and accept wagers on
361horseraces conducted by horserace permitholders licensed under
362this chapter at its facility.
363     (2)  A Any track or fronton licensed under this chapter
364that conducted a full schedule of live racing which in the
365preceding year or any dog track conducted a full schedule of
366live racing is qualified to, at any time, receive broadcasts of
367any class of pari-mutuel race or game and accept wagers on such
368races or games conducted by any class of permitholders licensed
369under this chapter.
370     (3)  If a permitholder elects to broadcast its signal to
371any permitholder in this state, any permitholder that is
372eligible to conduct intertrack wagering under the provisions of
373ss. 550.615-550.6345 is entitled to receive the broadcast and
374conduct intertrack wagering under this section; provided,
375however, that the host track may require a guest track within 25
376miles of another permitholder to receive in any week at least 60
377percent of the live races that the host track is making
378available on the days that the guest track is otherwise
379operating live races or games. A host track may require a guest
380track not operating live races or games and within 25 miles of
381another permitholder to accept within any week at least 60
382percent of the live races that the host track is making
383available. A person may not restrain or attempt to restrain any
384permitholder that is otherwise authorized to conduct intertrack
385wagering from receiving the signal of any other permitholder or
386sending its signal to any permitholder.
387     (4)  No In no event shall any intertrack wager may be
388accepted, except with regard to greyhound permitholders, on the
389same class of live races or games of any permitholder without
390the written consent of such operating permitholders conducting
391the same class of live races or games if the guest track is
392within the market area of such operating permitholder.
393     (5)  No permitholder within the market area of the host
394track shall take an intertrack wager on the host track without
395the consent of the host track.
396     (6)  Notwithstanding the provisions of subsection (3), in
397any area of the state where there are three or more horserace
398permitholders within 25 miles of each other, intertrack wagering
399between permitholders in said area of the state shall only be
400authorized under the following conditions: Any permitholder,
401other than a thoroughbred permitholder, may accept intertrack
402wagers on races or games conducted live by a permitholder of the
403same class or any harness permitholder located within such area
404and any harness permitholder may accept wagers on games
405conducted live by any jai alai permitholder located within its
406market area and from a jai alai permitholder located within the
407area specified in this subsection when no jai alai permitholder
408located within its market area is conducting live jai alai
409performances; any greyhound or jai alai permitholder may receive
410broadcasts of and accept wagers on any permitholder of the other
411class provided that a permitholder, other than the host track,
412of such other class is not operating a contemporaneous live
413performance within the market area.
414     (7)  In any county of the state where there are only two
415permits, one for dogracing and one for jai alai, no intertrack
416wager may be taken during the period of time when a permitholder
417is not licensed to conduct live races or games without the
418written consent of the other permitholder that is conducting
419live races or games. However, if neither permitholder is
420conducting live races or games, either permitholder may accept
421intertrack wagers on horseraces or on the same class of races or
422games, or on both horseraces and the same class of races or
423games as is authorized by its permit.
424     (7)(8)  In any three contiguous counties of the state where
425there are only three permitholders, all of which are greyhound
426permitholders, If any greyhound permitholder leases the facility
427of another greyhound permitholder for the purpose of conducting
428all or any portion of the conduct of its live race meet pursuant
429to s. 550.475, such lessee may conduct intertrack wagering at
430its pre-lease permitted facility throughout the entire year,
431including while its race live meet is being conducted at the
432leased facility, if such permitholder has conducted a full
433schedule of live racing during the preceding fiscal year at its
434pre-lease permitted facility or at a leased facility, or
435combination thereof.
436     (8)(9)  In any two contiguous counties of the state in
437which there are located only four active permits, one for
438thoroughbred horse racing, two for greyhound dogracing, and one
439for jai alai games, no intertrack wager may be accepted on the
440same class of live races or games of any permitholder without
441the written consent of such operating permitholders conducting
442the same class of live races or games if the guest track is
443within the market area of such operating permitholder.
444     (9)(10)  All costs of receiving the transmission of the
445broadcasts shall be borne by the guest track; and all costs of
446sending the broadcasts shall be borne by the host track.
447     Section 8.  Paragraph (g) of subsection (9) of section
448550.6305, Florida Statutes, is amended to read:
449     550.6305  Intertrack wagering; guest track payments;
450accounting rules.-
451     (9)  A host track that has contracted with an out-of-state
452horse track to broadcast live races conducted at such out-of-
453state horse track pursuant to s. 550.3551(5) may broadcast such
454out-of-state races to any guest track and accept wagers thereon
455in the same manner as is provided in s. 550.3551.
456     (g)1.  Any thoroughbred permitholder which accepts wagers
457on a simulcast signal must make the signal available to any
458permitholder that is eligible to conduct intertrack wagering
459under the provisions of ss. 550.615-550.6345.
460     2.  Any thoroughbred permitholder which accepts wagers on a
461simulcast signal received after 6 p.m. must make such signal
462available to any permitholder that is eligible to conduct
463intertrack wagering under the provisions of ss. 550.615-
464550.6345, including any permitholder located as specified in s.
465550.615(6). Such guest permitholders are authorized to accept
466wagers on such simulcast signal, notwithstanding any other
467provision of this chapter to the contrary.
468     3.  Any thoroughbred permitholder which accepts wagers on a
469simulcast signal received after 6 p.m. must make such signal
470available to any permitholder that is eligible to conduct
471intertrack wagering under the provisions of ss. 550.615-
472550.6345, including any permitholder located as specified in s.
473550.615(8)(9). Such guest permitholders are authorized to accept
474wagers on such simulcast signals for a number of performances
475not to exceed that which constitutes a full schedule of live
476races for a quarter horse permitholder pursuant to s.
477550.002(11), notwithstanding any other provision of this chapter
478to the contrary, except that the restrictions provided in s.
479550.615(8)(9)(a) apply to wagers on such simulcast signals.
481No thoroughbred permitholder shall be required to continue to
482rebroadcast a simulcast signal to any in-state permitholder if
483the average per performance gross receipts returned to the host
484permitholder over the preceding 30-day period were less than
485$100. Subject to the provisions of s. 550.615(4), as a condition
486of receiving rebroadcasts of thoroughbred simulcast signals
487under this paragraph, a guest permitholder must accept
488intertrack wagers on all live races conducted by all then-
489operating thoroughbred permitholders.
490     Section 9.  Paragraph (c) of subsection (4) of section
491551.104, Florida Statutes, is amended to read:
492     551.104  License to conduct slot machine gaming.-
493     (4)  As a condition of licensure and to maintain continued
494authority for the conduct of slot machine gaming, the slot
495machine licensee shall:
496     (c)  Conduct no fewer than a full schedule of live racing
497or games as defined in s. 550.002(11), except for holders of
498greyhound permits, which have no live racing requirement. A
499permitholder's responsibility to conduct such number of live
500races or games shall be reduced by the number of races or games
501that could not be conducted due to the direct result of fire,
502war, hurricane, or other disaster or event beyond the control of
503the permitholder.
504     Section 10.  Subsections (2) and (4) of section 551.114,
505Florida Statutes, are amended to read:
506     551.114  Slot machine gaming areas.-
507     (2)  The slot machine licensee shall display pari-mutuel
508races or games within the designated slot machine gaming areas
509and offer patrons within the designated slot machine gaming
510areas the ability to engage in pari-mutuel wagering on any live,
511intertrack, and simulcast races conducted or offered to patrons
512of the licensed facility.
513     (4)  Designated slot machine gaming areas may be located
514within the current live gaming facility or in an existing
515building that must be contiguous and connected to the live
516gaming facility, if applicable. If a designated slot machine
517gaming area is to be located in a building that is to be
518constructed, that new building must be contiguous and connected
519to the live gaming facility.
520     Section 11.  Paragraphs (a) and (b) of subsection (5) and
521paragraph (d) of subsection (13) of section 849.086, Florida
522Statutes, are amended to read:
523     849.086  Cardrooms authorized.-
524     (5)  LICENSE REQUIRED; APPLICATION; FEES.-No person may
525operate a cardroom in this state unless such person holds a
526valid cardroom license issued pursuant to this section.
527     (a)  Only those persons holding a valid cardroom license
528issued by the division may operate a cardroom. A cardroom
529license may only be issued to a licensed pari-mutuel
530permitholder and an authorized cardroom may only be operated at
531the same facility at which the permitholder is authorized under
532its valid pari-mutuel wagering permit to conduct pari-mutuel
533wagering activities. An initial cardroom license shall be issued
534to a pari-mutuel permitholder only after its facilities are in
535place and, except for greyhound permitholders, after it conducts
536its first day of live racing or games. A greyhound permitholder
537that is otherwise eligible shall be issued a cardroom license
538without regard to licensure for or actual conduct of live
540     (b)  Except for greyhound permitholders After the initial
541cardroom license is granted, the application for the annual
542license renewal shall be made in conjunction with the
543applicant's annual application for its pari-mutuel license. If a
544permitholder has operated a cardroom during any of the 3
545previous fiscal years and fails to include a renewal request for
546the operation of the cardroom in its annual application for
547license renewal, the permitholder may amend its annual
548application to include operation of the cardroom. In order for a
549cardroom license to be renewed the applicant must have
550requested, as part of its pari-mutuel annual license
551application, to conduct at least 90 percent of the total number
552of live performances conducted by such permitholder during
553either the state fiscal year in which its initial cardroom
554license was issued or the state fiscal year immediately prior
555thereto if the permitholder ran at least a full schedule of live
556racing or games in the prior year. If the application is for a
557harness permitholder cardroom, the applicant must have requested
558authorization to conduct a minimum of 140 live performances
559during the state fiscal year immediately prior thereto. If more
560than one permitholder is operating at a facility, each
561permitholder must have applied for a license to conduct a full
562schedule of live racing. However, no corresponding pari-mutuel
563license application or minimum numbers of requested or conducted
564live performances is required in order for a greyhound
565permitholder to maintain or renew a cardroom license.
567     (d)1.  Each greyhound and jai alai permitholder that
568operates a cardroom facility shall use at least 4 percent of
569such permitholder's cardroom monthly gross receipts to
570supplement greyhound purses if live racing is conducted during a
571fiscal year, or jai alai prize money, respectively, during the
572permitholder's current or next ensuing pari-mutuel meet.
573     2.  Each thoroughbred and harness horse racing permitholder
574that operates a cardroom facility shall use at least 50 percent
575of such permitholder's cardroom monthly net proceeds as follows:
57647 percent to supplement purses and 3 percent to supplement
577breeders' awards during the permitholder's next ensuing racing
579     3.  No cardroom license or renewal thereof shall be issued
580to an applicant holding a permit under chapter 550 to conduct
581pari-mutuel wagering meets of quarter horse racing unless the
582applicant has on file with the division a binding written
583agreement between the applicant and the Florida Quarter Horse
584Racing Association or the association representing a majority of
585the horse owners and trainers at the applicant's eligible
586facility, governing the payment of purses on live quarter horse
587races conducted at the licensee's pari-mutuel facility. The
588agreement governing purses may direct the payment of such purses
589from revenues generated by any wagering or gaming the applicant
590is authorized to conduct under Florida law. All purses shall be
591subject to the terms of chapter 550.
592     Section 12.  This act shall take effect July 1, 2011.

CODING: Words stricken are deletions; words underlined are additions.