By Wilson H.B. No. 2511
74R7798 CAG-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the continuation and functions of the Texas Racing
1-3 Commission and to the transfer of certain commission functions to
1-4 the Texas Department of Commerce.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 1.02, Texas Racing Act (Article 179e,
1-7 Vernon's Texas Civil Statutes), is amended to read as follows:
1-8 Sec. 1.02. Purposes. The purpose <purposes> of this Act is
1-9 <are> to <encourage agriculture, the horse-breeding industry, the
1-10 horse-training industry, the greyhound-breeding industry, tourism,
1-11 and employment opportunities in this state related to horse racing
1-12 and greyhound racing and to> provide for the strict regulation of
1-13 horse racing and greyhound racing and the control of pari-mutuel
1-14 wagering in connection with that racing.
1-15 SECTION 2. Section 2.02, Texas Racing Act (Article 179e,
1-16 Vernon's Texas Civil Statutes), is amended to read as follows:
1-17 Sec. 2.02. Membership. (a) The commission consists of six
1-18 members appointed by the governor with the advice and consent of
1-19 the senate and two ex officio members who shall have the right to
1-20 vote. The ex officio members are the chairman of the Public Safety
1-21 Commission and the comptroller of public accounts. <In making
1-22 appointments to the commission, the governor shall strive to
1-23 achieve representation by all the population groups of the state
1-24 with regard to economic status, sex, race, and ethnicity.>
2-1 (b) Appointments to the commission shall be made without
2-2 regard to the race, color, disability, sex, religion, age, or
2-3 national origin of the appointees. <One appointed member must be a
2-4 veterinarian licensed to practice in this state who specializes in
2-5 the treatment of small animals. One appointed member must be a
2-6 veterinarian licensed to practice in this state who specializes in
2-7 the treatment of large animals. Two appointed members must be
2-8 individuals who are not veterinarians and who have special
2-9 knowledge or experience related to greyhound racing. Two appointed
2-10 members must be individuals who are not veterinarians and who have
2-11 special knowledge or experience related to horse racing.>
2-12 <(c) In making appointments to the commission, the governor
2-13 shall attempt to reflect the minority groups found in the state's
2-14 general populace.>
2-15 SECTION 3. Section 2.03, Texas Racing Act (Article 179e,
2-16 Vernon's Texas Civil Statutes), is amended to read as follows:
2-17 Sec. 2.03. Term of office. (a) Appointed <Except for the
2-18 initial appointments, appointed> members hold office for staggered
2-19 terms of six years with two members' terms expiring February 1 of
2-20 each odd-numbered year. A member holds office until that member's
2-21 successor is appointed and qualifies.
2-22 (b) <In making the initial appointments, the governor shall
2-23 designate two appointed members for a term expiring February 1,
2-24 1989, two for a term expiring February 1, 1991, and two for a term
2-25 expiring February 1, 1993. The governor shall make the initial
2-26 appointments on or before February 1, 1987.>
2-27 <(c)> The ex officio members hold office on the commission
3-1 for the time for which they hold their other offices.
3-2 SECTION 4. Section 2.05, Texas Racing Act (Article 179e,
3-3 Vernon's Texas Civil Statutes), is amended to read as follows:
3-4 Sec. 2.05. Eligibility. (a) The appointed members of the
3-5 commission must be representatives of the general public and have
3-6 general knowledge of business or agribusiness. A person is not
3-7 eligible for appointment as a public member of the commission if
3-8 the person or the person's spouse:
3-9 (1) is registered, certified, or licensed by the
3-10 commission, except as a commissioner;
3-11 (2) is employed by the commission or participates in
3-12 the management of a business entity or other organization regulated
3-13 by the commission or receiving funds from the commission;
3-14 (3) owns or controls, directly or indirectly, more
3-15 than a 10 percent interest in a business entity or other
3-16 organization regulated by the commission or receiving funds from
3-17 the commission; or
3-18 (4) uses or receives a substantial amount of tangible
3-19 goods, services, or funds from the commission, other than
3-20 compensation or reimbursement authorized by law for commission
3-21 membership, attendance, or expenses.
3-22 (b) A person is not eligible to be an appointed member of
3-23 the commission if that person owns any financial interest in a
3-24 racetrack or its operation or if that person is related within the
3-25 second degree by affinity or the third degree by consanguinity, as
3-26 determined under Subchapter B, Chapter 573, Government Code
3-27 <Article 5996h, Revised Statutes>, to a person who owns any
4-1 financial interest in a racetrack or its operation.
4-2 (c) Each person appointed to or employed by the commission
4-3 is subject to all background checks and qualification criteria
4-4 required to hold a racetrack license or other license under this
4-5 Act.
4-6 (d) A person who has been convicted of a felony or of any
4-7 crime involving moral turpitude is not eligible for appointment to
4-8 the commission.
4-9 SECTION 5. Article 2, Texas Racing Act (Article 179e,
4-10 Vernon's Texas Civil Statutes), is amended by adding Sections
4-11 2.071-2.074 to read as follows:
4-12 Sec. 2.071. CONFLICT OF INTEREST. (a) An officer,
4-13 employee, or paid consultant of a Texas trade association in the
4-14 field of horse or greyhound racing or breeding may not be a member
4-15 of the commission or employee of the commission who is exempt from
4-16 the state's position classification plan or is compensated at or
4-17 above the amount prescribed by the General Appropriations Act for
4-18 step 1, salary group 12, of the position classification salary
4-19 schedule.
4-20 (b) A person who is the spouse of an officer, manager, or
4-21 paid consultant of such a Texas trade association may not be a
4-22 member of the commission and may not be an employee of the
4-23 commission who is exempt from the state's position classification
4-24 plan or is compensated at or above the amount prescribed by the
4-25 General Appropriations Act for step 1, salary group 12, of the
4-26 position classification salary schedule.
4-27 (c) For the purposes of this section, a Texas trade
5-1 association is a nonprofit, cooperative, and voluntarily joined
5-2 association of business or professional competitors in this state
5-3 designed to assist its members and its industry or profession in
5-4 dealing with mutual business or professional problems and in
5-5 promoting their common interest.
5-6 Sec. 2.072. LOBBYIST RESTRICTION. A person may not serve as
5-7 a member of the commission or act as the general counsel to the
5-8 commission if the person is required to register as a lobbyist
5-9 under Chapter 305, Government Code, because of the person's
5-10 activities for compensation on behalf of a profession related to
5-11 the operation of the commission.
5-12 Sec. 2.073. GROUNDS FOR REMOVAL. (a) It is a ground for
5-13 removal from the commission if a member:
5-14 (1) does not have at the time of appointment the
5-15 qualifications required by Section 2.02, 2.04, or 2.05 of this Act;
5-16 (2) does not maintain during service on the commission
5-17 the qualifications required by Section 2.02 or 2.05 of this Act;
5-18 (3) violates a prohibition established by Section
5-19 2.05, 2.07, 2.071, or 2.072 of this Act;
5-20 (4) cannot because of illness or disability discharge
5-21 the member's duties for a substantial part of the term for which
5-22 the member is appointed; or
5-23 (5) is absent from more than half of the regularly
5-24 scheduled commission meetings that the member is eligible to attend
5-25 during a calendar year unless the absence is excused by majority
5-26 vote of the commission.
5-27 (b) The validity of an action of the commission is not
6-1 affected by the fact that it is taken when a ground for removal of
6-2 a commission member exists.
6-3 (c) If the executive secretary has knowledge that a
6-4 potential ground for removal exists, the executive secretary shall
6-5 notify the presiding officer of the commission of the potential
6-6 ground. The presiding officer shall then notify the governor and
6-7 the attorney general that a potential ground for removal exists.
6-8 If the potential ground for removal involves the presiding officer,
6-9 the executive secretary shall notify the next highest officer of
6-10 the commission, who shall notify the governor and the attorney
6-11 general that a potential ground for removal exists.
6-12 Sec. 2.074. MEMBER TRAINING. (a) Before a member of the
6-13 commission may assume the member's duties and before the member may
6-14 be confirmed by the senate, the member must complete at least one
6-15 course of the training program established under this section.
6-16 (b) A training program established under this section shall
6-17 provide information to the member regarding:
6-18 (1) the enabling legislation that created the
6-19 commission;
6-20 (2) the programs operated by the agency;
6-21 (3) the role and functions of the agency;
6-22 (4) the rules of the agency with an emphasis on the
6-23 rules that relate to disciplinary and investigatory authority;
6-24 (5) the current budget for the agency;
6-25 (6) the results of the most recent formal audit of the
6-26 agency;
6-27 (7) the requirements of the:
7-1 (A) open meetings law, Chapter 551, Government
7-2 Code;
7-3 (B) open records law, Chapter 552, Government
7-4 Code; and
7-5 (C) administrative procedure law, Chapter 2001,
7-6 Government Code;
7-7 (8) the requirements of the conflict of interest laws
7-8 and other laws relating to public officials; and
7-9 (9) any applicable ethics policies adopted by the
7-10 agency or the Texas Ethics Commission.
7-11 SECTION 6. Section 2.10, Texas Racing Act (Article 179e,
7-12 Vernon's Texas Civil Statutes), is amended to read as follows:
7-13 Sec. 2.10. PRESIDING OFFICER <CHAIRMAN>. The governor shall
7-14 designate a <one> member of the commission as the presiding officer
7-15 <chairman> of the commission to serve in that capacity at the
7-16 pleasure of the governor.
7-17 SECTION 7. Section 2.11, Texas Racing Act (Article 179e,
7-18 Vernon's Texas Civil Statutes), is amended by amending Subsection
7-19 (b) and adding Subsection (d) to read as follows:
7-20 (b) A majority of the commission constitutes a quorum. <A
7-21 majority of a section of the commission constitutes a quorum for
7-22 purposes of conducting business related to matters under the
7-23 exclusive jurisdiction of that section.>
7-24 (d) The commission shall develop and implement policies that
7-25 provide the public with a reasonable opportunity to appear before
7-26 the commission and to speak on any issue under the jurisdiction of
7-27 the commission.
8-1 SECTION 8. Article 2, Texas Racing Act (Article 179e,
8-2 Vernon's Texas Civil Statutes), is amended by adding Sections
8-3 2.17-2.25 to read as follows:
8-4 Sec. 2.17. OPEN MEETINGS; ADMINISTRATIVE PROCEDURE. The
8-5 commission is subject to the open meetings law, Chapter 551,
8-6 Government Code, and the administrative procedure law, Chapter
8-7 2001, Government Code.
8-8 Sec. 2.18. ANNUAL ACCOUNTING. The commission shall prepare
8-9 annually a complete and detailed written report accounting for all
8-10 funds received and disbursed by the commission during the preceding
8-11 fiscal year. The annual report must meet the reporting
8-12 requirements applicable to financial reporting provided in the
8-13 General Appropriations Act.
8-14 Sec. 2.19. FUNDS PAID TO COMMISSION. All money paid to the
8-15 commission under this Act is subject to Subchapter F, Chapter 404,
8-16 Government Code.
8-17 Sec. 2.20. EMPLOYMENT PRACTICES. (a) The executive
8-18 secretary or the executive secretary's designee shall develop an
8-19 intra-agency career ladder program that addresses opportunities for
8-20 mobility and advancement for employees within the commission. The
8-21 program shall require intra-agency posting of all positions
8-22 concurrently with any public posting.
8-23 (b) The executive secretary or the executive secretary's
8-24 designee shall develop a system of annual performance evaluations
8-25 that are based on documented employee performance. All merit pay
8-26 for commission employees must be based on the system established
8-27 under this subsection.
9-1 (c) The executive secretary or the executive secretary's
9-2 designee shall prepare and maintain a written policy statement to
9-3 assure implementation of a program of equal employment opportunity
9-4 under which all personnel transactions are made without regard to
9-5 race, color, disability, sex, religion, age, or national origin.
9-6 The policy statement must include:
9-7 (1) personnel policies, including policies relating to
9-8 recruitment, evaluation, selection, appointment, training, and
9-9 promotion of personnel that are in compliance with the requirements
9-10 of Chapter 21, Labor Code;
9-11 (2) a comprehensive analysis of the commission
9-12 workforce that meets federal and state guidelines;
9-13 (3) procedures by which a determination can be made
9-14 about the extent of underuse in the commission workforce of all
9-15 persons for whom federal or state guidelines encourage a more
9-16 equitable balance; and
9-17 (4) reasonable methods to appropriately address those
9-18 areas of underuse.
9-19 (d) A policy statement prepared under Subsection (c) of this
9-20 section must cover an annual period, be updated annually and
9-21 reviewed by the Texas Commission on Human Rights for compliance
9-22 with Subsection (c)(1) of this section, and be filed with the
9-23 governor's office.
9-24 (e) The governor's office shall deliver a biennial report to
9-25 the legislature based on the information received under Subsection
9-26 (d) of this section. The report may be made separately or as a
9-27 part of other biennial reports made to the legislature.
10-1 Sec. 2.21. STANDARDS OF CONDUCT. The executive secretary or
10-2 the executive secretary's designee shall provide to members of the
10-3 commission and to agency employees, as often as necessary,
10-4 information regarding their qualification for office or employment
10-5 under this Act and their responsibilities under applicable laws
10-6 relating to standards of conduct for state officers or employees.
10-7 Sec. 2.22. DIVISION OF RESPONSIBILITY. The commission shall
10-8 develop and implement policies that clearly separate the
10-9 policymaking responsibilities of the commission and the management
10-10 responsibilities of the executive secretary and the staff of the
10-11 commission.
10-12 Sec. 2.23. PROGRAM AND FACILITY ACCESSIBILITY. The
10-13 commission shall comply with federal and state laws related to
10-14 program and facility accessibility. The executive secretary shall
10-15 also prepare and maintain a written plan that describes how a
10-16 person who does not speak English can be provided reasonable access
10-17 to the commission's programs and services.
10-18 Sec. 2.24. INFORMATION TO PUBLIC. (a) The commission shall
10-19 prepare information of public interest describing the functions of
10-20 the commission and the procedures by which complaints are filed
10-21 with and resolved by the commission. The commission shall make the
10-22 information available to the public and appropriate state agencies.
10-23 (b) The commission by rule shall establish methods by which
10-24 racetrack patrons are notified of the name, mailing address, and
10-25 telephone number of the commission for the purpose of directing
10-26 complaints to the commission. The commission may provide for that
10-27 notification:
11-1 (1) on every race performance program provided by each
11-2 racetrack association; or
11-3 (2) on signs prominently displayed in the common
11-4 public areas on the premises of each racetrack association.
11-5 Sec. 2.25. COMPLAINT HANDLING. (a) The commission shall
11-6 keep information about each complaint filed with the commission.
11-7 The information shall include:
11-8 (1) the date the complaint is received;
11-9 (2) the name of the complainant;
11-10 (3) the subject matter of the complaint;
11-11 (4) a record of all persons contacted in relation to
11-12 the complaint;
11-13 (5) a summary of the results of the review or
11-14 investigation of the complaint; and
11-15 (6) for complaints for which the agency took no
11-16 action, an explanation of the reason the complaint was closed
11-17 without action.
11-18 (b) The commission shall keep a file about each written
11-19 complaint filed with the commission that the agency has authority
11-20 to resolve. The commission shall provide to the person filing the
11-21 complaint and the persons or entities complained about the
11-22 commission's policies and procedures pertaining to complaint
11-23 investigation and resolution. The commission, at least quarterly
11-24 and until final disposition of the complaint, shall notify the
11-25 person filing the complaint and the persons or entities complained
11-26 about of the status of the complaint unless the notice would
11-27 jeopardize an undercover investigation.
12-1 SECTION 9. Section 3.01, Texas Racing Act (Article 179e,
12-2 Vernon's Texas Civil Statutes), is amended to read as follows:
12-3 Sec. 3.01. COMMISSION ACTIONS <SECTIONS>. <(a)> For the
12-4 purposes of rulemaking and licensing and for any action relating
12-5 exclusively to horse racing or <exclusively> to greyhound racing,
12-6 the commission shall <operate as separate sections.>
12-7 <(b) For issues related to greyhound racing, the
12-8 veterinarian member who specializes in the treatment of small
12-9 animals, the members who have special knowledge or experience
12-10 related to greyhound racing, and the two ex officio members shall
12-11 exercise exclusive jurisdiction. For issues related to horse
12-12 racing, the veterinarian member who specializes in the treatment of
12-13 large animals, the members who have special knowledge or experience
12-14 related to horse racing, and the two ex officio members shall
12-15 exercise exclusive jurisdiction.>
12-16 <(c) On matters of general application to both greyhound and
12-17 horse racing, the commission shall> act as a single body.
12-18 SECTION 10. Section 3.021(b), Texas Racing Act (Article
12-19 179e, Vernon's Texas Civil Statutes), is amended to read as
12-20 follows:
12-21 (b) To protect the health, safety, and welfare of race
12-22 animals and participants in racing, to safeguard the interest of
12-23 the general public, and to promote the orderly <growth and> conduct
12-24 of racing within the state, the commission may adopt rules for the
12-25 licensing and regulation of races and workouts at racetracks that
12-26 do not offer pari-mutuel wagering and for workouts at training
12-27 facilities to secure past performances and workouts.
13-1 SECTION 11. Section 3.07(a), Texas Racing Act (Article 179e,
13-2 Vernon's Texas Civil Statutes), is amended to read as follows:
13-3 (a) Each horse race or greyhound race meeting shall be
13-4 supervised by three stewards employed by the commission <approved
13-5 by the commission> for horse racing or by three judges employed by
13-6 the commission <approved by the commission> for greyhound racing.
13-7 The commission shall employ all <one> of the stewards who supervise
13-8 <supervises> a horse race meeting <who shall be the presiding
13-9 steward. The other stewards at the race meeting shall be
13-10 compensated by the association>. The commission shall employ all
13-11 <one> of the judges who supervise <supervises> a greyhound race
13-12 meeting <who shall be the presiding judge; the other judges at such
13-13 a race meeting shall be compensated by the association>. The
13-14 commission shall designate one of the stewards or judges as the
13-15 presiding steward or judge for each race meeting. For each race
13-16 meeting, the commission shall appoint at least one state
13-17 veterinarian who shall be compensated by the commission. The
13-18 commission by rule shall determine the amount of compensation for
13-19 the <stewards, judges, and> state veterinarians who are required to
13-20 be compensated by the commission. The commission may impose a fee
13-21 on an association to offset the costs of compensating the
13-22 <racetrack> stewards, judges, and state veterinarians <for that
13-23 association>. The amount of the fee for the compensation of
13-24 stewards, judges, and state veterinarians must be reasonable
13-25 according to industry standards for the compensation of those
13-26 officials at other racetracks and may not exceed the actual cost to
13-27 the commission for compensating the officials. All other racetrack
14-1 officials shall be appointed by the association, with the approval
14-2 of the commission. Compensation for those officials not
14-3 compensated by the commission shall be determined by the
14-4 association.
14-5 SECTION 12. Section 3.08(a), Texas Racing Act (Article 179e,
14-6 Vernon's Texas Civil Statutes), is amended to read as follows:
14-7 (a) Except as provided by Subsection (b) of this section, a
14-8 final decision of the stewards or judges may be appealed to the
14-9 commission in the manner provided for a contested case under
14-10 Chapter 2001, Government Code <the Administrative Procedure and
14-11 Texas Register Act (Article 6252-13a, Vernon's Texas Civil
14-12 Statutes)>.
14-13 SECTION 13. Article 3, Texas Racing Act (Article 179e,
14-14 Vernon's Texas Civil Statutes), is amended by adding Sections
14-15 3.13-3.16 to read as follows:
14-16 Sec. 3.13. REGULATION OF INAPPROPRIATE OR UNSAFE CONDITIONS.
14-17 (a) The commission shall adopt rules implementing this section,
14-18 including rules:
14-19 (1) requiring the report of and correction of:
14-20 (A) an inappropriate condition on the premises
14-21 of a racetrack facility that interferes with the administration of
14-22 this Act; or
14-23 (B) a condition on the premises of a racetrack
14-24 facility that makes the facility unsafe for a race participant,
14-25 patron, or animal; and
14-26 (2) determining the methods and manner in which the
14-27 executive secretary may determine and remedy inappropriate
15-1 conditions or unsafe facilities on the premises of a racetrack,
15-2 including the methods and manner in which the executive secretary
15-3 may remedy emergency situations.
15-4 (b) The executive secretary shall issue a notice of
15-5 violation to a racetrack facility on a finding that an
15-6 inappropriate or unsafe condition exists.
15-7 (c) If the executive secretary determines that an
15-8 inappropriate or unsafe condition exists at the racetrack facility,
15-9 the executive secretary shall order the racetrack facility to take
15-10 action within a specified period to remedy the inappropriate
15-11 condition or unsafe condition. In determining the period for
15-12 compliance, the executive secretary shall consider the nature and
15-13 severity of the problem and the threat to the health, safety, and
15-14 welfare of the race participants, patrons, or animals.
15-15 (d) The commission shall adopt rules requiring the reporting
15-16 of any corrective action taken by a racetrack facility in response
15-17 to an order of the executive secretary under Subsection (c) of this
15-18 section.
15-19 (e) If a racetrack facility fails to take any action as
15-20 required under Subsection (c) of this section, the executive
15-21 secretary shall initiate an enforcement action against the
15-22 racetrack facility. The executive secretary may rescind any live
15-23 or simulcast race date of any racetrack association that does not
15-24 take corrective action within the period set by the executive
15-25 secretary.
15-26 (f) The commission shall adopt rules relating to the
15-27 commission's review of an action taken under this section by the
16-1 executive secretary. A rule adopted under this subsection must be
16-2 consistent with Chapter 2001, Government Code.
16-3 Sec. 3.14. SUPERVISION OF CHANGES TO PREMISES. (a) The
16-4 commission shall adopt a method of supervising and approving the
16-5 construction, renovation, or maintenance of any building or
16-6 improvement on the premises of a racetrack facility.
16-7 (b) The commission shall adopt rules relating to:
16-8 (1) the approval of plans and specifications;
16-9 (2) the contents of plans and specifications;
16-10 (3) the maintenance of records to ensure compliance
16-11 with approved plans and specifications;
16-12 (4) the content and filing of construction progress
16-13 reports by the racetrack facility to the commission;
16-14 (5) the inspection by the commission or others;
16-15 (6) the method for making a change or amendment to an
16-16 approved plan or specification; and
16-17 (7) any other method of supervision or oversight
16-18 necessary.
16-19 (c) If the commission has grounds to believe that a
16-20 racetrack facility has failed to comply with the requirements of
16-21 this section, the holder of a racetrack license shall appear before
16-22 the commission, at a public hearing, to consider the issue of
16-23 compliance with the rules adopted under this section.
16-24 (d) Before a building or improvement may be used by the
16-25 racetrack facility, the commission shall determine whether the
16-26 construction, renovation, or maintenance of the building or
16-27 improvement was completed in accordance with the approved plans and
17-1 specifications and whether other requirements of the commission
17-2 were met.
17-3 (e) If the commission determines that the facility failed to
17-4 comply with a requirement of this section or rule adopted under
17-5 this section, the commission shall initiate an enforcement action
17-6 against the racetrack facility. In addition to any other
17-7 authorized enforcement action, the commission may rescind any live
17-8 or simulcast race date of any racetrack association that has failed
17-9 to comply with the requirement of this section.
17-10 Sec. 3.15. DISCIPLINARY ACTIONS. The commission shall
17-11 revoke, suspend, or refuse to renew a license, place on probation a
17-12 person whose license has been suspended, or reprimand a licensee
17-13 for a violation of this Act or a rule of the commission. If a
17-14 license suspension is probated, the commission may require the
17-15 licensee to report regularly to the commission on matters that are
17-16 the basis of the probation.
17-17 Sec. 3.16. HEARING REQUIREMENTS. If the commission proposes
17-18 to suspend, revoke, or refuse to renew a person's license, the
17-19 person is entitled to a hearing conducted by the State Office of
17-20 Administrative Hearings. Proceedings for a disciplinary action,
17-21 other than those conducted by racing stewards or judges, are
17-22 governed by the administrative procedure law, Chapter 2001,
17-23 Government Code. Rules of practice adopted by the commission under
17-24 Section 2001.004, Government Code, applicable to the proceedings
17-25 for a disciplinary action, other than those conducted by racing
17-26 stewards or judges, may not conflict with rules adopted by the
17-27 State Office of Administrative Hearings.
18-1 SECTION 14. Article 5, Texas Racing Act (Article 179e,
18-2 Vernon's Texas Civil Statutes), is amended by adding Section 5.05
18-3 to read as follows:
18-4 Sec. 5.05. COST OF CRIMINAL HISTORY CHECK. The commission
18-5 shall, in determining the amount of a license fee, set the fee in
18-6 an amount that will cover, at least, the cost of conducting a
18-7 criminal history check on the applicant for a license.
18-8 SECTION 15. Section 6.04(a), Texas Racing Act (Article 179e,
18-9 Vernon's Texas Civil Statutes), is amended to read as follows:
18-10 (a) The commission may issue a racetrack license to a
18-11 qualified person if it finds that the conduct of race meetings at
18-12 the proposed track and location will be in the public interest,
18-13 complies with all zoning laws, and complies with this Act and the
18-14 rules adopted by the commission and if the commission finds by
18-15 clear and convincing evidence that the applicant will comply with
18-16 all criminal laws of this state. In determining whether to grant
18-17 or deny an application for any class of racetrack license, the
18-18 commission may consider <the degree to which any of> the following
18-19 factors <regarding the applicant's racetrack or proposed race
18-20 meeting serve to nurture, promote, develop, or improve the horse or
18-21 greyhound industry in this state>:
18-22 (1) the applicant's financial stability;
18-23 (2) the applicant's resources for supplementing the
18-24 purses for races for various breeds;
18-25 (3) the location of the proposed track;
18-26 (4) the effect of the proposed track on traffic flow;
18-27 (5) facilities for patrons and occupational licensees;
19-1 (6) facilities for race animals;
19-2 (7) availability to the track of support services and
19-3 emergency services;
19-4 (8) the experience of the applicant's employees;
19-5 (9) the potential for conflict with other licensed
19-6 race meetings;
19-7 (10) the anticipated effect of the race meeting on the
19-8 greyhound or horse breeding industry in this state; and
19-9 (11) the anticipated effect of the race meeting on the
19-10 state and local economy from tourism, increased employment, and
19-11 other sources.
19-12 SECTION 16. Sections 6.06(e) and (f), Texas Racing Act
19-13 (Article 179e, Vernon's Texas Civil Statutes), are amended to read
19-14 as follows:
19-15 (e) The <appropriate section of the> commission may
19-16 condition the issuance of a license under this article on the
19-17 observance of its rules. The commission may amend the rules at any
19-18 time and may condition the continued holding of the license on
19-19 compliance with the rules as amended.
19-20 (f) The <appropriate section of the> commission may refuse
19-21 to issue a license or may suspend or revoke a license of a licensee
19-22 under this article who knowingly or intentionally allows access to
19-23 an enclosure where greyhound races or horse races are conducted to
19-24 a person who has engaged in bookmaking, touting, or illegal
19-25 wagering, whose income is from illegal activities or enterprises,
19-26 or who has been convicted of a violation of this Act.
19-27 SECTION 17. Article 6, Texas Racing Act (Article 179e,
20-1 Vernon's Texas Civil Statutes), is amended by adding Section 6.092
20-2 to read as follows:
20-3 Sec. 6.092. OVERSIGHT OF USE OF FUNDS GENERATED BY
20-4 PARI-MUTUEL RACING. (a) The commission shall adopt reporting,
20-5 monitoring, and auditing requirements or other appropriate
20-6 performance measures for any organization that receives funds
20-7 generated by live or simulcast pari-mutuel racing.
20-8 (b) The commission shall adopt the requirements or
20-9 performance measures after consultation with the affected
20-10 organization. In adopting the rules, the commission shall give
20-11 consideration to the concerns of the affected organization.
20-12 (c) An independent audit shall be conducted annually of an
20-13 organization receiving funds generated by live or simulcast
20-14 pari-mutuel racing. A copy of the report shall be sent to the
20-15 commission. The audit shall include a verification of any
20-16 performance report sent to or required by the commission.
20-17 (d) The commission may review any records or books of an
20-18 organization that submits an independent audit to the commission as
20-19 the commission determines necessary to confirm or further
20-20 investigate the findings of an audit or report.
20-21 (e) The commission by rule may suspend or withhold funds
20-22 from an organization that:
20-23 (1) it determines has failed to comply with the
20-24 requirements or performance measures adopted under Subsection (a)
20-25 of this section; or
20-26 (2) has, following an independent audit or other
20-27 report to the commission, material questions raised on the use of
21-1 funds by the organization.
21-2 SECTION 18. Section 7.05, Texas Racing Act (Article 179e,
21-3 Vernon's Texas Civil Statutes), is amended to read as follows:
21-4 Sec. 7.05. License fees. (a) The commission shall adopt by
21-5 rule a fee schedule for licenses issued under this article.
21-6 (b) The commission shall base the license fees on the
21-7 relative or comparative incomes or property interests of the
21-8 various categories of licensees, with the lower income category of
21-9 licensees being charged nearer the minimum fee and the higher
21-10 income category of licensees charged nearer the maximum fee.
21-11 (c) In setting the fee schedule under Subsection (a) of this
21-12 section, the commission shall include the cost of criminal history
21-13 checks determined under Section 5.05 of this Act. The commission
21-14 may determine the best method for recouping this cost and complying
21-15 with the other provisions of this section, including collecting the
21-16 costs over an extended period.
21-17 SECTION 19. Section 7.07, Texas Racing Act (Article 179e,
21-18 Vernon's Texas Civil Statutes), is amended to read as follows:
21-19 Sec. 7.07. Term of license. (a) A license issued under
21-20 this article is valid for a period set by the commission not to
21-21 exceed 36 months following the date of its issuance. It is
21-22 renewable on application and payment of the fee in accordance with
21-23 the rules of the commission.
21-24 (b) The commission by rule may adopt a system under which
21-25 licenses expire on various dates during the year. For the year in
21-26 which the license expiration date is changed, license fees shall be
21-27 prorated on a monthly basis so that each licensee pays only that
22-1 portion of the license fee that is allocable to the number of
22-2 months during which the license is valid. On renewal of the
22-3 license on the new expiration date, the total license renewal fee
22-4 is payable.
22-5 SECTION 20. Article 7, Texas Racing Act (Article 179e,
22-6 Vernon's Texas Civil Statutes), is amended by adding Section 7.10
22-7 to read as follows:
22-8 Sec. 7.10. RECIPROCAL LICENSES; OUT-OF-STATE APPLICANTS.
22-9 (a) The commission may waive any prerequisite to obtaining a
22-10 license for an applicant after reviewing the applicant's
22-11 credentials and determining that the applicant holds a valid
22-12 license from another state that has license requirements
22-13 substantially equivalent to those of this state.
22-14 (b) The commission may waive any prerequisite to obtaining a
22-15 license for an applicant with a valid license from another state
22-16 with which the State of Texas has a reciprocity agreement. The
22-17 commission may enter into reciprocal agreements with other states
22-18 to allow for licensing by reciprocity.
22-19 SECTION 21. Section 9.01, Texas Racing Act (Article 179e,
22-20 Vernon's Texas Civil Statutes), is amended to read as follows:
22-21 Sec. 9.01. Texas-bred horses. Subject to this Act and any
22-22 rule of the commission, the <The> state horse breed registries
22-23 shall make reasonable rules to establish the qualifications of
22-24 accredited Texas-bred horses to promote, develop, and improve the
22-25 breeding of horses in this state. Rules adopted by a registry are
22-26 subject to commission approval.
22-27 SECTION 22. Section 10.04, Texas Racing Act (Article 179e,
23-1 Vernon's Texas Civil Statutes), is amended to read as follows:
23-2 Sec. 10.04. Texas-bred greyhounds. Subject to this Act or
23-3 any rule of the commission, the <The> state greyhound breed
23-4 registry shall make reasonable rules to establish the
23-5 qualifications of accredited Texas-bred greyhounds to promote,
23-6 develop, and improve the breeding of greyhounds in this state.
23-7 Rules adopted by the registry are subject to commission approval.
23-8 SECTION 23. Section 18.01(a), Texas Racing Act (Article
23-9 179e, Vernon's Texas Civil Statutes), is amended to read as
23-10 follows:
23-11 (a) The Texas Racing Commission is subject to Chapter 325,
23-12 Government Code (Texas Sunset Act). Unless continued in existence
23-13 as provided by that chapter, and except as provided by Subsections
23-14 (b) and (c) of this section, the commission is abolished and this
23-15 Act expires September 1, 2001 <1995>.
23-16 SECTION 24. Section 481.172, Government Code, is amended to
23-17 read as follows:
23-18 Sec. 481.172. Duties. The department shall:
23-19 (1) promote and advertise within the United States and
23-20 in foreign countries, by radio, television, newspaper, and other
23-21 means considered appropriate, tourism in this state by non-Texans,
23-22 including persons from foreign countries, and distribute
23-23 promotional materials through appropriate agencies, including the
23-24 United States Travel and Tourism Agency;
23-25 (2) encourage travel by Texans to this state's scenic,
23-26 historical, natural, agricultural, educational, recreational, and
23-27 other attractions;
24-1 (3) coordinate and stimulate orderly and accelerated
24-2 development of tourist attractions throughout this state;
24-3 (4) conduct a public relations campaign to create a
24-4 responsible and accurate national and international image of this
24-5 state;
24-6 (5) cooperate fully with the Parks and Wildlife
24-7 Department in all matters relating to promotion of tourism;
24-8 (6) cooperate with the State Highway and Public
24-9 Transportation Commission in the administration of the commission's
24-10 collateral program of highway map distribution and operation of
24-11 travel information bureaus and other tourist-related functions of
24-12 the commission; <and>
24-13 (7) encourage communities, organizations, and
24-14 individuals in this state to cooperate with its program by their
24-15 activities and use of their own funds and collaborate with those
24-16 organizations and other governmental entities in the pursuit of the
24-17 objectives of this subchapter; and
24-18 (8) promote and encourage the horse racing and
24-19 greyhound racing industry, if funds are appropriated for the
24-20 promotion or encouragement.
24-21 SECTION 25. Section 18.02, Texas Racing Act (Article 179e,
24-22 Vernon's Texas Civil Statutes), is repealed.
24-23 SECTION 26. (a) This Act takes effect September 1, 1995.
24-24 (b) The changes in law made by this Act relating to the
24-25 qualifications and appointment of members to the Texas Racing
24-26 Commission do not affect the entitlement of a member of the
24-27 commission serving immediately before the effective date of this
25-1 Act to continue to serve on the commission for the term to which
25-2 the member was appointed. As the terms of members of the
25-3 commission expire or as vacancies on the commission occur, the
25-4 governor shall make appointments to the commission to achieve as
25-5 soon as possible the membership plan prescribed for the commission
25-6 by the Texas Racing Act (Article 179e, Vernon's Texas Civil
25-7 Statutes), as amended by this Act.
25-8 (c) The authority for rulemaking and licensing and for any
25-9 action relating exclusively to horse racing or exclusively to
25-10 greyhound racing that was granted to a separate section of the
25-11 Texas Racing Commission is transferred to the Texas Racing
25-12 Commission.
25-13 SECTION 27. The importance of this legislation and the
25-14 crowded condition of the calendars in both houses create an
25-15 emergency and an imperative public necessity that the
25-16 constitutional rule requiring bills to be read on three several
25-17 days in each house be suspended, and this rule is hereby suspended.