N.Y. Racing, Pari-Mutuel Wagering and Breeding Law § 115-b: Market origin credits

§ 115-b. Market origin credits. 1. Notwithstanding any other provision

of law to the contrary, any racing associations and corporations,

franchised corporations, and off-track betting corporations that makes a

payment of the regulatory fees imposed by this chapter may reduce such

payment by an amount equal to the market origin credit allocated to such

racing association or corporation, franchised corporation, or off-track

betting corporation by the commission. The commission shall allocate

credits in an amount equal to eighty-two and six-tenths percent of the

amount received from the market origin fee paid pursuant to subdivision

six of section one thousand twelve-a of this chapter for the period from

the sixteenth day of the preceding month through the fifteenth day of

the current month. The commission shall notify participants of

allocations on or before the twentieth day of the current month.

2. The commission shall allocate credits to racing associations and

corporations, franchised corporations, and off-track betting

corporations in the following amounts:

a. Thirty-six and seven-tenths percent of the amount received from the

market origin fee paid pursuant to subdivision six of section one

thousand twelve-a of this chapter to regional off-track betting

corporations. Allocations to individual regional off-track betting

corporations shall be made based on a ratio where the numerator is the

regional corporation's total in-state handle for the previous calendar

year as calculated by the commission and the denominator is the total

in-state handle of all the regional off-track betting corporations for

the previous calendar year as calculated by the commission;

b. Forty-five and nine-tenths percent of the amount received from the

market origin fee paid pursuant to subdivision six of section one

thousand twelve-a of this chapter to the racing associations and

corporations and franchised corporations. Allocations to individual

racing associations and corporations and franchised corporations shall

be made as follows:

(i) Sixty percent to thoroughbred racing associations and franchised

corporations. Five-sixths shall be allocated to a franchised corporation

and one-sixth shall be allocated to a thoroughbred racing association.

(ii) Forty percent to harness racing associations and corporations.

Allocations to individual harness racing associations and corporations

shall be made based on a ratio where the numerator is the association's

or corporation's total in-state handle on live racing for the previous

calendar year as calculated by the commission and the denominator is the

total in-state on live handle for all harness racing associations and

corporations for the previous calendar year as calculated by the

commission.

3. As a condition for any racing association or corporation or

franchised corporation to claim any market origin credits allocated to

it, such racing association or corporation or franchised corporation

must make payments for moneys otherwise to be used to pay the regulatory

fee as follows:

(i) Payment of an amount equal to forty percent of the allocated

credits into an account used solely for the purpose of enhancing purses

at such racing association or corporation or franchised corporation.

Such payment shall be made within five days from receipt of notification

of an allocation by the commission of an allocation of market origin

credits;

(ii) Payment of an amount equal to twenty percent of the allocated

credits to the state's breeding funds. Sixty percent of the payments to

the breeding funds shall be allocated to the New York state thoroughbred

breeding and development fund corporation established pursuant to

section two hundred fifty-two of this chapter, and forty percent to the

agriculture and New York state horse breeding development fund

established pursuant to section three hundred thirty of this chapter.

Such payment shall be made within five days from receipt of notification

of an allocation by the commission of an allocation of market origin

credits.

4. The commission shall promulgate any rules and regulations necessary

for the administration of the market origin credit.