1-1     By:  Wilson (Senate Sponsor - Armbrister)             H.B. No. 2484
 1-2           (In the Senate - Received from the House April 30, 2001;
 1-3     May 1, 2001, read first time and referred to Committee on Business
 1-4     and Commerce; May 10, 2001, reported favorably by the following
 1-5     vote:  Yeas 6, Nays 0; May 10, 2001, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the regulation of racing.
 1-9           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-10           SECTION 1. Section 6.08, Texas Racing Act (Article 179e,
1-11     Vernon's Texas Civil Statutes), is amended by amending Subsection
1-12     (i) and adding Subsection (n) to read as follows:
1-13           (i)  Ten percent of the total breakage from a live
1-14     pari-mutuel pool or a simulcast pari-mutuel pool is to be paid to
1-15     the commission for use by the appropriate state horse breed
1-16     registry, subject to rules promulgated by the commission. The
1-17     appropriate breed registry for Thoroughbred horses is the Texas
1-18     Thoroughbred Breeders Association, for quarter horses is the Texas
1-19     Quarter Horse Association, [for Appaloosa horses is the Texas
1-20     Appaloosa Horse Club,] for Arabian horses is the Texas Arabian
1-21     Breeders Association, and for paint horses is the Texas Paint Horse
1-22     Breeders Association.
1-23           (n)  A horse breed registry may by rule restrict the
1-24     eligibility of its horses for accredited Texas-bred awards or purse
1-25     supplements when the horse runs in mixed racing.
1-26           SECTION 2.  Section 11.011(e), Texas Racing Act (Article
1-27     179e, Vernon's Texas Civil Statutes), is amended to read as
1-28     follows:
1-29           (e)  If intrastate wagering pools are combined between
1-30     tracks, the receiving track [where the race originates] is
1-31     responsible for the state's share of the pari-mutuel pool
1-32     regardless of whether a shortage or error occurred at the
1-33     originating track or receiving track.
1-34           SECTION 3.  Section 6.06(a), Texas Racing Act (Article 179e,
1-35     Vernon's Texas Civil Statutes), is amended to read as follows:
1-36           (a)  To preserve and protect the public health, welfare, and
1-37     safety, the commission shall adopt rules relating to license
1-38     applications, the financial responsibility, moral character, and
1-39     ability of applicants, and all matters relating to the planning,
1-40     construction, and operation of racetracks.  The commission may
1-41     refuse to issue a racetrack license or may revoke or suspend a
1-42     license if, after notice and hearing, it has reasonable grounds to
1-43     believe and finds that:
1-44                 (1)  the applicant has been convicted in a court of
1-45     competent jurisdiction of a violation of this Act or any rule
1-46     adopted by the commission or that the applicant has aided, abetted,
1-47     or conspired with any person to commit such a violation;
1-48                 (2)  the applicant has been convicted of a felony or of
1-49     any crime involving moral turpitude, including convictions for
1-50     which the punishment received was a suspended sentence, probation,
1-51     or a nonadjudicated conviction, that is reasonably related to the
1-52     applicant's present fitness to hold a license under this Act;
1-53                 (3)  the applicant has violated or has caused to be
1-54     violated this Act or a rule of the commission in a manner that
1-55     involves moral turpitude, as distinguished from a technical
1-56     violation of this Act or of a rule;
1-57                 (4)  the applicant is unqualified, by experience or
1-58     otherwise, to perform the duties required of a licensee under this
1-59     Act;
1-60                 (5)  the applicant failed to answer or falsely or
1-61     incorrectly answered a question in an application;
1-62                 (6)  the applicant fails to disclose the true ownership
1-63     or interest in a greyhound or horse as required by the rules of the
1-64     commission;
 2-1                 (7)  the applicant is indebted to the state for any
 2-2     fees or for the payment of a penalty imposed by this Act or by a
 2-3     rule of the commission;
 2-4                 (8)  the applicant is not of good moral character or
 2-5     the applicant's reputation as a peaceable, law-abiding citizen in
 2-6     the community where the applicant resides is bad;
 2-7                 (9)  the applicant has not yet attained the minimum age
 2-8     necessary to purchase alcoholic beverages in this state;
 2-9                 (10)  the applicant is in the habit of using alcoholic
2-10     beverages to an excess or uses a controlled substance as defined in
2-11     Chapter 481, Health and Safety Code, or a dangerous drug as defined
2-12     in Chapter 483, Health and Safety Code, or is mentally
2-13     incapacitated;
2-14                 (11)  the applicant may be excluded from a track
2-15     enclosure under this Act;
2-16                 (12)  [the applicant has not been a United States
2-17     citizen residing in this state for the period of 10 consecutive
2-18     years immediately preceding the filing of the application;]
2-19                 [(13)]  the applicant has improperly used a license
2-20     certificate, credential, or identification card issued under this
2-21     Act;
2-22                 (13) [(14)]  the applicant is residentially domiciled
2-23     with a person whose license has been revoked for cause within the
2-24     12 months immediately preceding the date of the present
2-25     application;
2-26                 (14) [(15)]  the applicant has failed or refused to
2-27     furnish a true copy of the application to the commission's district
2-28     office in the district in which the premises for which the permit
2-29     is sought are located;
2-30                 (15) [(16)]  the applicant is engaged or has engaged in
2-31     activities or practices that the commission finds are detrimental
2-32     to the best interests of the public and the sport of greyhound
2-33     racing or horse racing; or
2-34                 (16) [(17)]  the applicant fails to fully disclose the
2-35     true owners of all interests, beneficial or otherwise, in a
2-36     proposed racetrack facility.
2-37           SECTION 4.  Sections 6.06(c), (d), and (h), and Section 6.16,
2-38     Texas Racing Act (Article 179e, Vernon's Texas Civil Statutes), are
2-39     repealed.
2-40           SECTION 5.  This Act takes effect September 1, 2001.
2-41                                  * * * * *