Florida Senate - 2015                        COMMITTEE AMENDMENT
       Bill No. SPB 7088
       
       
       
       
       
       
                                Ì798676eÎ798676                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                   Comm: WD            .                                
                  04/10/2015           .                                
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       The Committee on Regulated Industries (Sachs) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Between lines 45 and 46
    4  insert:
    5         Section 2. Section 550.6309, Florida Statutes, is created
    6  to read:
    7         550.6309 Intertrack and simulcast wagering pilot program.
    8  The department shall establish a pilot program pursuant to this
    9  section which authorizes intertrack and simulcast wagers at a
   10  public food service establishment licensed under chapter 509
   11  which is licensed under the Beverage Law or a vendor that is
   12  licensed under s. 563.02(1)(b)-(f), s. 564.02(1)(b)-(f), or s.
   13  565.02(1)(b)-(f).
   14         (1) LOCATION.—The department shall select two counties in
   15  which to implement the program. The department must select one
   16  county with a population fewer than 300,000, and one county with
   17  a population between 300,000 and 1 million.
   18         (a)Before the department may select a county for the
   19  program, the governing board of the county must pass a
   20  resolution authorizing the county’s participation in the program
   21  and the governing board of the county must send a written
   22  notification of the resolution to the department from an
   23  authorized representative of that county.
   24         (b)The department shall select the first county in each
   25  population category for the pilot program which submits the
   26  written notification specified in paragraph (a).
   27         (2) PERMIT.—A public food service establishment and vendor
   28  must use a company that is authorized by the department,
   29  pursuant to this section, to set up and operate the equipment
   30  necessary to offer intertrack or simulcast wagering.
   31         (a) An applicant for a permit must submit an application
   32  that includes all of the following:
   33         1. The full name of the applicant.
   34         2. If a corporation, the name of the state in which the
   35  corporation is incorporated and the names and addresses of the
   36  officers, directors, and shareholders holding at least 5 percent
   37  equity or, if a business entity other than a corporation, the
   38  names and addresses of the principals, partners, or shareholders
   39  holding at least 5 percent equity.
   40         3. The names and addresses of the ultimate equitable owners
   41  for a corporation or other business entity, if different from
   42  those provided under subparagraph 2., unless the securities of
   43  the corporation or entity are registered pursuant to s. 12 of
   44  the Securities Exchange Act of 1934, 15 U.S.C. ss. 78a-78kk, and
   45  if such corporation or entity files with the United States
   46  Securities and Exchange Commission the reports required by s. 13
   47  of that act or if the securities of the corporation or entity
   48  are regularly traded on an established securities market in the
   49  United States.
   50         4. A statement of the assets and liabilities of the
   51  applicant.
   52         5. A business plan for the first year of operation.
   53         6. A documentation that demonstrates that:
   54         a. The applicant has at least 2 years’ experience in
   55  providing these types of services in similar venues in other
   56  states;
   57         b. The applicant has provided a complete description of the
   58  transmission, totalizer, and data processing equipment to be
   59  used;
   60         c. The equipment proposed to be used by the applicant is
   61  capable of authenticating state identification and verifying the
   62  users age before the user engaging in any wagering activity;
   63         d. The applicant is capable of monitoring the wagering
   64  activity in real time;
   65         e. The applicant has provided a system without the use of
   66  tellers to receive and pay wagers in real time to the users;
   67         f. The management or management groups responsible for the
   68  operations of the applicant have sufficient management
   69  experience to properly operate this type of wagering; and
   70         g. The applicant has provided sufficient security measures
   71  to protect the integrity of the live broadcast signal and the
   72  integrity of the wagering process.
   73         7. For each individual listed in the application as an
   74  owner, partner, officer, or director, a complete set of
   75  fingerprints taken by an authorized law enforcement officer.
   76  Fingerprints must be submitted to the Federal Bureau of
   77  Investigation for processing. Applicants who are foreign
   78  nationals shall submit such documents as necessary to allow the
   79  division to conduct criminal history records checks in the
   80  applicant’s home country. The applicant must pay the cost of
   81  processing. The division may charge up to a $2 handling fee for
   82  each set of fingerprint records.
   83         8. A fee, as determined by department rule. In calculating
   84  the permit fee, the department shall consider the costs
   85  associated with filing and investigating applications as well as
   86  the amount of funds appropriated by the Legislature to implement
   87  and administer the pilot program.
   88         9. Any other information the department requires.
   89         (b) A permit may not be issued to an applicant if a member
   90  of the board, the chief executive officer, or any management
   91  personnel of the applicant has been found guilty of, or has pled
   92  nolo contendere to, a felony or an act of fraud. The department
   93  may charge the applicant for reasonable and anticipated costs
   94  incurred in determining the eligibility of the applicant under
   95  this paragraph.
   96         (c) Upon receiving an application and any necessary
   97  amendments, the department shall verify the information
   98  contained in the application. If the applicant meets all
   99  requirements, conditions, and qualifications of this section and
  100  the rules of the department, the department will issue the
  101  permit.
  102         (d) Subsequent annual renewal applications from a licensee
  103  must be accompanied by proof, in such form as the department
  104  requires, that the licensee still meets all of the conditions
  105  and requirements for licensure under this section.
  106         (e) If a permit is held by a business entity, the transfer
  107  of at least 10 percent of the stock or other evidence of
  108  ownership or equity in the permitholder may not be made without
  109  the prior approval of the transferee by the department. Changes
  110  in ownership or interest of at least 5 percent of the stock or
  111  other evidence of ownership or equity in the permitholder must
  112  be approved by the department before such change, unless the
  113  owner is an existing owner of that permit who was previously
  114  approved by the department. Changes in ownership or interest of
  115  less than 5 percent must be reported to the department within 20
  116  days of the change. The department may then conduct an
  117  investigation to ensure that the permit is properly updated to
  118  show the change in ownership or interest.
  119         (f) The department may revoke or suspend a permit issued
  120  under this chapter upon the willful violation by a permitholder
  121  of any provision of this chapter or rule adopted under this
  122  chapter. In lieu of suspending or revoking a permit, the
  123  department may impose a civil penalty against the permitholder
  124  for a violation of this chapter or any rule adopted by the
  125  department. The penalty may not exceed $1,000 for each separate
  126  offense. All penalties imposed and collected must be deposited
  127  with the Chief Financial Officer to the credit of the General
  128  Revenue Fund.
  129         (3)LICENSE TO OPERATE.—
  130         (a) Each permitholder may apply for an annual license with
  131  the division to operate for the upcoming fiscal year. The
  132  permitholder seeking an annual license must apply with the
  133  division between December 15 and January 4 of each year.
  134         (b) Each permitholder must include in the annual license
  135  application the binding written agreement required under
  136  subsection (4) and the name and location of pari-mutuel
  137  facilities with which the applicant intends to contract. A
  138  permitholder must amend its license within 7 days of any changes
  139  to the license operation.
  140         (4) DISTRIBUTION.—A permitholder may not receive a license
  141  until it files with the department a binding written agreement
  142  that governs takeout and the payment of purses between the
  143  permitholder and a pari-mutuel facility hosting races. A
  144  permitholder may not stream a signal for the purpose of
  145  intertrack or simulcast wagering from a pari-mutuel facility
  146  unless the permitholder has entered into a binding written
  147  agreement with such facility and the written agreement is on
  148  file with the department.
  149         (a) For thoroughbred horse racing, the written agreement
  150  must be signed by the Florida Thoroughbred Breeders’ Association
  151  or the association representing a majority of the horse owners
  152  and trainers at the eligible facility.
  153         (b) For harness horse racing, the written agreement must be
  154  signed by the Florida Standardbred Breeders and Owners
  155  Association or the association representing a majority of the
  156  horse owners and trainers at the eligible facility.
  157         (c) For quarter horse racing, the written agreement must be
  158  signed by the Florida Quarter Horse Racing Association or the
  159  association representing a majority of the horse owners and
  160  trainers at the eligible facility.
  161         (d) For jai alai games and greyhound racing, at least 1
  162  percent of the wagering proceeds from greyhound racing must be
  163  given to the association that represents a majority of greyhound
  164  owners, and at least 1 percent of the wagering proceeds from jai
  165  alai games must be given to the association that represents a
  166  majority of jai alai players in order to supplement purses.
  167         (e) One percent of takeout must be distributed to the pari
  168  mutuel facility located closest to the public food service
  169  establishment or vendor offering pari-mutuel wagering.
  170         (4) TAX.—Intertrack and simulcast wagering offered by a
  171  licensee shall be taxed at the rate of 0.85 percent.
  172         (5) LIMITATIONS.—A permitholder licensed under this section
  173  may not conduct pari-mutuel wagering at a public food
  174  establishment or vendor that is located within 5 miles of a
  175  pari-mutuel facility.
  176  
  177  
  178  ================= T I T L E  A M E N D M E N T ================
  179  And the title is amended as follows:
  180         Delete lines 2 - 12
  181  and insert:
  182         An act relating to gaming; amending s. 285.710, F.S.;
  183         authorizing and directing the Governor to execute a
  184         specified written amendment to the Gaming Compact
  185         between the Seminole Tribe of Florida and the State of
  186         Florida; authorizing and directing the Governor to
  187         cooperate with the Tribe in seeking approval of the
  188         amendment; providing that the amendment of the compact
  189         does not require legislative ratification in certain
  190         circumstances; creating s. 550.6309, F.S.; requiring
  191         the Department of Business and Professional Regulation
  192         to establish a specified pilot program; requiring the
  193         department to select two counties in which to
  194         implement the program; requiring the governing board
  195         of the county to pass a specified resolution and send
  196         a written notification of the resolution to the
  197         department before the department may select a county
  198         for the program; requiring the department to select a
  199         county in a specified manner; requiring a public food
  200         service establishment and vendor to use a company that
  201         is authorized by the department; requiring an
  202         applicant to submit an application with specified
  203         information to receive a permit; prohibiting the
  204         issuance of a permit if specified persons have been
  205         found guilty of, or pled nolo contendere to specified
  206         crimes; authorizing the department to charge the
  207         applicant for reasonable and anticipated costs and
  208         fees in determining the eligibility of the applicant;
  209         prohibiting a permit from being issued to specified
  210         persons; requiring that the department verify the
  211         informed contained in the application; requiring prior
  212         approval by the department for specified transfers of
  213         stock; authorizing the department to revoke or suspend
  214         a permit in certain circumstances; authorizing the
  215         department to impose a civil penalty in lieu of the
  216         suspension or revocation of the permit; authorizing a
  217         permitholder to apply for an annual license; requiring
  218         a permitholder to include in the annual license
  219         specified information; providing that a permitholder
  220         may not receive a license until it files with the
  221         department a specified binding written agreement;
  222         prohibiting a permitholder from streaming a signal in
  223         certain circumstances; requiring a written agreement
  224         with specified organizations for certain types of
  225         racing or game; requiring a specified percentage of
  226         takeout to be distributed to the pari-mutuel facility
  227         located closest to the public food service
  228         establishment or vendor; requiring a tax on intertrack
  229         and simulcast wagering; prohibiting a specified
  230         permitholder from conducting pari-mutual wagering at a
  231         public food service establishment or vendor within a
  232         specified mileage of a pari-mutuel facility; providing
  233         an