Regular Session 2015-2016 Senate Bill 1229 P.N. 1983

HOUSE AMENDED

PRIOR PRINTER'S NOS. 1757, 1763

PRINTER'S NO. 1983

THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

No.

1229

Session of

2015

INTRODUCED BY VOGEL, RAFFERTY AND HUGHES, MAY 6, 2016

AS REPORTED FROM COMMITTEE ON AGRICULTURE AND RURAL AFFAIRS,

HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 27, 2016

AN ACT

Amending the act of April 9, 1929 (P.L.177, No.175), entitled

"An act providing for and reorganizing the conduct of the

executive and administrative work of the Commonwealth by the

Executive Department thereof and the administrative

departments, boards, commissions, and officers thereof,

including the boards of trustees of State Normal Schools, or

Teachers Colleges; abolishing, creating, reorganizing or

authorizing the reorganization of certain administrative

departments, boards, and commissions; defining the powers and

duties of the Governor and other executive and administrative

officers, and of the several administrative departments,

boards, commissions, and officers; fixing the salaries of the

Governor, Lieutenant Governor, and certain other executive

and administrative officers; providing for the appointment of

certain administrative officers, and of all deputies and

other assistants and employes in certain departments, boards,

and commissions; providing for the regulation of pari-mutuel

thoroughbred horse racing and harness horse racing

activities, imposing certain taxes and providing for the

disposition of funds from pari-mutuel tickets; and

prescribing the manner in which the number and compensation

of the deputies and all other assistants and employes of

certain departments, boards and commissions shall be

determined," in horse race industry reform, further providing

for Pennsylvania Breeding Fund.

AMENDING TITLE 3 (AGRICULTURE) OF THE PENNSYLVANIA CONSOLIDATED

STATUTES, MAKING EDITORIAL CHANGES; CONSOLIDATING AN ARTICLE

OF THE ADMINISTRATIVE CODE OF 1929 RELATING TO RACE HORSE

INDUSTRY REFORM; FURTHER PROVIDING FOR PENNSYLVANIA BREEDING

FUND; AND MAKING A RELATED REPEAL.

The General Assembly of the Commonwealth of Pennsylvania

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hereby enacts as follows:

Section 1. Section 2836-D of the act of April 9, 1929

(P.L.177, No.175), known as The Administrative Code of 1929,

added February 23, 2016 (P.L.15, No.7), is amended to read:

Section 2836-D. Pennsylvania Breeding Fund.

(a) Establishment.--There is hereby created a restricted

account in the State Racing Fund to be known as the Pennsylvania

Breeding Fund which shall consist of the money deposited under

section 2834-D and any provision of 4 Pa.C.S. Pt. II (relating

to gaming) and which shall be distributed by the commission.

(b) Awards from the Pennsylvania Breeding Fund.--The

commission shall distribute money from the Pennsylvania Breeding

Fund as follows:

(1) An award of 30% of the purse earned by every

Pennsylvania-bred registered thoroughbred racing horse sired

in this Commonwealth by a registered Pennsylvania sire at the

time of conception of the Pennsylvania-bred registered

thoroughbred racing horse sired in this Commonwealth, or an

award of 20% of the purse earned by every Pennsylvania-bred

registered thoroughbred racing horse [sired] in this

Commonwealth sired by a nonregistered sire, which finishes

first, second or third in any race conducted by a licensed

racing entity under this article shall be paid to the breeder

of said Pennsylvania-bred registered thoroughbred racing

horse [sired] in this Commonwealth. A single award under this

paragraph may not exceed 1% of the total annual fund money.

(2) An award of 10% of the purse earned by any

Pennsylvania-bred registered thoroughbred racing horse sired

in this Commonwealth which finishes first, second or third in

any race conducted by a licensed racing entity under this

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article shall be paid to the owner of the registered

Pennsylvania sire which regularly stood in Pennsylvania at

the time of conception of the Pennsylvania-bred thoroughbred

racing horse sired in this Commonwealth. A single award under

this paragraph may not exceed 0.5% of the total annual fund

money.

(3) An award of 10% of the purse earned by any

Pennsylvania-bred registered thoroughbred racing horse

[sired] in this Commonwealth which finishes first in any race

conducted by a licensed racing entity under this article not

restricting entry to a Pennsylvania-bred registered

[thoroughbreds] thoroughbred racing horse [sired] in this

Commonwealth shall be paid to the licensed owner of said

Pennsylvania-bred registered thoroughbred horse [sired] in

this Commonwealth at the time of winning. A single award

under this paragraph may not exceed 0.5% of the total annual

fund money.

of the total of the estimated Pennsylvania Breeding Fund money

remaining each year after the deduction of expenses related to

the administration and development of the Pennsylvania Breeding

Fund program and the payment of breeder, stallion and owner

awards, shall be divided among the licensed racing entities that

conduct thoroughbred horse race meetings in direct proportion to

the rate by which each licensed racing entity generated the fund

money during the previous year to be used solely for purses for

Pennsylvania Breeding Fund stakes races which restrict entry to

a Pennsylvania-bred registered thoroughbred racing horse [sired]

in this Commonwealth.

(d) Remaining funds.--The Pennsylvania Breeding Fund money

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remaining following disbursements as directed in subsections (b)

(1), (2) and (3) and (c) shall be divided among the licensed

racing entities that conduct thoroughbred horse race meetings in

direct proportion to the rate by which each licensed racing

entity generated the fund money during the previous year to be

used for purses as follows:

(1) Claiming and nonclaiming Pennsylvania Breeding Fund

races which restrict entry to Pennsylvania-bred registered

thoroughbred racing horses [sired] in this Commonwealth.

(2) Claiming and nonclaiming Pennsylvania Breeding Fund

races which prefer Pennsylvania-bred registered thoroughbred

racing horses [sired] in this Commonwealth as starters. In

these races, should eight or more Pennsylvania-bred

registered thoroughbred racing horses [sired] in this

Commonwealth pass the entry box, the race shall be considered

closed to horses other than Pennsylvania-bred registered

thoroughbred racing horses [sired] in this Commonwealth.

(e) Funds not expended.--Pennsylvania Breeding Fund money

due to licensed racing entities, as outlined in subsections (c)

and (d), but not expended during the calendar year may be

carried forth in the fund on the accounts of the licensed racing

entities to be expended during the succeeding year in addition

to the racing entities' fund money annually due to them for

purses.

(e.1) Committee.--There is hereby established the

Pennsylvania Breeding Fund Advisory Committee within the

commission. The committee shall consist of five individuals, who

are residents of this Commonwealth, to be appointed by the

commission by June 1 of each year based on the recommendation of

the groups identified in this subsection. If a member other than

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a commissioner has not been recommended by June 1 of each year,

the commission shall make an appointment for the organization

failing to so recommend a member of the committee. The committee

shall assist and advise the commission on the regulation of

horse racing breeding issues under this article but shall have

no power in administering the fund. Members of the advisory

committee shall not receive compensation or reimbursements for

participation on the committee. The committee shall consist of

the following members:

(1) Two members representing the Pennsylvania Horse

Breeders' Association.

(2) One member representing licensed racing entities.

(3) One member representing the association representing

horsemen racing in Pennsylvania.

(4) One member of the commission.

(f) Pennsylvania Horse Breeders' Association.--The

commission shall contract with the Pennsylvania Horse Breeders'

Association as the organization responsible for the registration

and records of Pennsylvania-bred thoroughbred racing horses

[sired] in this Commonwealth. The Pennsylvania Horse Breeders'

Association shall advise the commission when called upon and

shall determine the qualifications for Pennsylvania-bred

thoroughbred racing horses [sired] in this Commonwealth and

Pennsylvania sires. Registration and records of the association

shall be official records of the Commonwealth and shall be

subject to the act of February 14, 2008 (P.L.6, No.3), known as

the Right-to-Know Law. At the close of each calendar year, the

Pennsylvania Horse Breeders' Association shall submit to the

commission for its approval an itemized budget of projected

expenses for the ensuing year relating to the administration and

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development of the Pennsylvania Breeding Fund Program. The

commission shall reimburse the Pennsylvania Horse Breeders'

Association for those expenses actually incurred in the

administration and development of the Pennsylvania Breeding Fund

Program from the Pennsylvania Breeding Fund, no more than on a

quarterly basis.

Section 2. The amendment of section 2836-D of the act shall

apply retroactively to January 1, 2016.

Section 3. This act shall take effect immediately.

SECTION 1. THE HEADING OF PART VIII OF TITLE 3 OF THE

PENNSYLVANIA CONSOLIDATED STATUTES IS RENUMBERED TO READ:

PART [VIII] C

MISCELLANEOUS PROVISIONS

SECTION 2. THE HEADING OF CHAPTER 81 OF TITLE 3 IS

RENUMBERED TO READ:

CHAPTER [81] 999

MISCELLANEOUS PROVISIONS

SECTION 3. SECTION 8101 OF TITLE 3 IS RENUMBERED TO READ:

§ [8101] 99901. (RESERVED).

SECTION 4. TITLE 3 IS AMENDED BY ADDING A PART TO READ:

PART VIII

HORSE RACING

CHAPTER

91. PRELIMINARY PROVISIONS (RESERVED)

93. RACE HORSE INDUSTRY REFORM

CHAPTER 91

PRELIMINARY PROVISIONS

CHAPTER 93

RACE HORSE INDUSTRY REFORM

SUBCHAPTER

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A. PRELIMINARY PROVISIONS

B. RACING OVERSIGHT

C. ADDITIONAL LICENSING REQUIREMENTS FOR LICENSED RACING

ENTITY, SECONDARY PARI-MUTUEL ORGANIZATION, TOTALISATOR

AND RACING VENDORS

D. COMPLIANCE

E. MEDICATION RULES AND ENFORCEMENT PROVISIONS

SUBCHAPTER A

PRELIMINARY PROVISIONS

SEC.

9301. DEFINITIONS.

§ 9301. DEFINITIONS.

THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS CHAPTER

SHALL HAVE, UNLESS THE CONTEXT CLEARLY INDICATES OTHERWISE, THE

MEANINGS GIVEN TO THEM IN THIS SECTION:

"ACCOUNT." AN ACCOUNT FOR ACCOUNT WAGERING WITH A SPECIFIC

IDENTIFIABLE RECORD OF DEPOSITS, WAGERS AND WITHDRAWALS

ESTABLISHED BY AN ACCOUNT HOLDER AND MANAGED BY THE LICENSED

RACING ENTITY OR SECONDARY PARI-MUTUEL ORGANIZATION.

"ACCOUNT HOLDER." AN INDIVIDUAL WHO SUCCESSFULLY COMPLETED

AN APPLICATION AND FOR WHOM THE LICENSED RACING ENTITY OR

SECONDARY PARI-MUTUEL ORGANIZATION HAS OPENED AN ACCOUNT.

"ADVANCE DEPOSIT ACCOUNT WAGERING SYSTEM." A SYSTEM BY WHICH

WAGERS ARE DEBITED AND PAYOUTS ARE CREDITED TO AN ADVANCE

DEPOSIT ACCOUNT HELD BY A LICENSED RACING ENTITY OR SECONDARY

PARI-MUTUEL ORGANIZATION ON BEHALF OF A PERSON.

"APPLICANT." A PERSON WHO, ON HIS OWN BEHALF OR ON BEHALF OF

ANOTHER, IS APPLYING FOR PERMISSION TO ENGAGE IN AN ACT OR

ACTIVITY WHICH IS REGULATED UNDER THE PROVISIONS OF THIS

CHAPTER. IF THE APPLICANT IS A PERSON OTHER THAN AN INDIVIDUAL,

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THE COMMISSION SHALL DETERMINE THE ASSOCIATED PERSONS WHOSE

QUALIFICATIONS ARE NECESSARY AS A PRECONDITION TO THE LICENSING

OF THE APPLICANT.

"BACKSIDE AREA." AN AREA OF THE RACETRACK ENCLOSURE THAT IS

NOT GENERALLY ACCESSIBLE TO THE PUBLIC AND WHICH INCLUDES, BUT

IS NOT LIMITED TO, A FACILITY COMMONLY REFERRED TO AS A BARN,

PADDOCK ENCLOSURE, TRACK KITCHEN, RECREATION HALL, BACKSIDE

EMPLOYEE QUARTERS AND TRAINING TRACK, AND ROADWAYS PROVIDING

ACCESS TO THE AREA. THE TERM DOES NOT INCLUDE AN AREA OF THE

RACETRACK ENCLOSURE WHICH IS GENERALLY ACCESSIBLE TO THE PUBLIC,

INCLUDING THE VARIOUS BUILDINGS COMMONLY REFERRED TO AS THE

GRANDSTAND OR THE RACING SURFACE AND WALKING RING.

"BREAKAGE." THE ODD CENTS OF REDISTRIBUTIONS TO BE MADE ON

CONTRIBUTIONS TO PARI-MUTUEL POOLS EXCEEDING A SUM EQUAL TO THE

NEXT LOWEST MULTIPLE OF 10.

"CLEAN LETTER OF CREDIT." A LETTER OF CREDIT WHICH IS

AVAILABLE TO THE BENEFICIARY AGAINST PRESENTATION OF ONLY A

DRAFT OR RECEIPT.

"COMMISSION." THE STATE HORSE RACING COMMISSION.

"COMMISSIONER." AN INDIVIDUAL APPOINTED TO AND SWORN IN AS A

MEMBER OF THE COMMISSION IN ACCORDANCE WITH SECTION 9311(B)

(RELATING TO STATE HORSE RACING COMMISSION).

"CONVICTION." A FINDING OF GUILT OR A PLEA OF GUILTY OR NOLO

CONTENDERE, WHETHER OR NOT A JUDGMENT OF SENTENCE HAS BEEN

IMPOSED AS DETERMINED BY THE LAW OF THE JURISDICTION IN WHICH

THE PROSECUTION WAS HELD. THE TERM DOES NOT INCLUDE A CONVICTION

THAT HAS BEEN EXPUNGED OR OVERTURNED OR FOR WHICH AN INDIVIDUAL

HAS BEEN PARDONED OR AN ORDER OF ACCELERATED REHABILITATIVE

DISPOSITION.

"ELECTRONIC WAGERING." A METHOD OF PLACING OR TRANSMITTING A

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LEGAL WAGER BY AN INDIVIDUAL IN THIS COMMONWEALTH THROUGH

TELEPHONE, ELECTROMECHANICAL, COMPUTERIZED SYSTEM OR ANY OTHER

FORM OF ELECTRONIC MEDIA APPROVED BY THE COMMISSION AND ACCEPTED

BY A SECONDARY PARI-MUTUEL ORGANIZATION OR A LICENSED RACING

ENTITY OR THE LICENSED RACING ENTITY'S APPROVED OFF-TRACK

BETTING SYSTEM LOCATED IN THIS COMMONWEALTH.

"EVERGREEN CLAUSE." A TERM IN A LETTER OF CREDIT PROVIDING

FOR AUTOMATIC RENEWAL OF THE LETTER OF CREDIT.

"EX PARTE COMMUNICATION." AN OFF-THE-RECORD COMMUNICATION

ENGAGED IN OR RECEIVED BY A COMMISSIONER OF THE COMMISSION

REGARDING THE MERITS OF, OR ANY FACT IN ISSUE RELATING TO, A

PENDING MATTER BEFORE THE COMMISSION OR WHICH MAY REASONABLY BE

EXPECTED TO COME BEFORE THE COMMISSION IN A CONTESTED ON-THE-

RECORD PROCEEDING. THE TERM SHALL NOT INCLUDE:

(1) AN OFF-THE-RECORD COMMUNICATION BY A COMMISSIONER,

THE DEPARTMENT OF REVENUE, PENNSYLVANIA STATE POLICE,

ATTORNEY GENERAL OR OTHER LAW ENFORCEMENT OFFICIAL, PRIOR TO

THE BEGINNING OF THE PROCEEDING SOLELY FOR THE PURPOSE OF

SEEKING CLARIFICATION OR CORRECTION TO EVIDENTIARY MATERIALS

INTENDED FOR USE IN THE PROCEEDINGS.

(2) A COMMUNICATION BETWEEN THE COMMISSION OR A

COMMISSIONER AND LEGAL COUNSEL.

"FELONY." AN OFFENSE UNDER THE LAWS OF THIS COMMONWEALTH OR

THE LAWS OF ANOTHER JURISDICTION, PUNISHABLE BY IMPRISONMENT FOR

MORE THAN FIVE YEARS.

"FINANCIAL INTEREST." AN OWNERSHIP, PROPERTY, LEASEHOLD OR

OTHER BENEFICIAL INTEREST IN AN ENTITY. THE TERM SHALL NOT

INCLUDE AN INTEREST WHICH IS HELD OR DEEMED TO BE HELD IN ANY OF

THE FOLLOWING:

(1) SECURITIES THAT ARE HELD IN A PENSION PLAN, PROFIT-

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SHARING PLAN, INDIVIDUAL RETIREMENT ACCOUNT, TAX-SHELTERED

ANNUITY, A PLAN ESTABLISHED UNDER SECTION 457 OF THE INTERNAL

REVENUE CODE OF 1986 (PUBLIC LAW 99-514, 26 U.S.C. § 457), OR

ANY SUCCESSOR PROVISION, DEFERRED COMPENSATION PLAN WHETHER

QUALIFIED OR NOT QUALIFIED UNDER THE INTERNAL REVENUE CODE OF

1986, OR ANY SUCCESSOR PROVISION OR OTHER RETIREMENT PLAN

THAT:

(I) IS NOT SELF-DIRECTED BY THE INDIVIDUAL.

(II) IS ADVISED BY AN INDEPENDENT INVESTMENT ADVISER

WHO HAS SOLE AUTHORITY TO MAKE INVESTMENT DECISIONS WITH

RESPECT TO CONTRIBUTIONS MADE BY THE INDIVIDUAL TO THESE

PLANS.

(2) A TUITION ACCOUNT PLAN ORGANIZED AND OPERATED UNDER

SECTION 529 OF THE INTERNAL REVENUE CODE OF 1986 THAT IS NOT

SELF-DIRECTED BY THE INDIVIDUAL.

(3) A MUTUAL FUND WHERE THE INTEREST OWNED BY THE MUTUAL

FUND IN A LICENSED RACING ENTITY DOES NOT CONSTITUTE A

CONTROLLING INTEREST AS DEFINED IN 4 PA.C.S. § 1103 (RELATING

TO DEFINITIONS).

"HORSE RACE MEETING." A SPECIFIED PERIOD AND DATES EACH YEAR

DURING WHICH A LICENSED RACING ENTITY IS AUTHORIZED TO CONDUCT

LIVE RACING OR PARI-MUTUEL WAGERING AS APPROVED BY THE

COMMISSION.

"HORSE RACING." STANDARDBRED HORSE RACING AND THOROUGHBRED

HORSE RACING.

"HORSEMEN'S ORGANIZATION." A TRADE ASSOCIATION WHICH

REPRESENTS THE MAJORITY OF OWNERS AND TRAINERS WHO OWN AND RACE

HORSES AT A RACETRACK.

"IMMEDIATE FAMILY." A SPOUSE, PARENT, BROTHER, SISTER OR

CHILD.

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"IRREVOCABLE CLEAN LETTER OF CREDIT." A CLEAN LETTER OF

CREDIT WHICH CANNOT BE CANCELED OR AMENDED UNLESS THERE IS AN

AGREEMENT TO CANCEL OR AMEND AMONG ALL PARTIES TO THE LETTER OF

CREDIT.

"LAND MILE." A UNIT OF DISTANCE EQUAL TO 1,609.3 METERS OR

5,280 FEET, AS MEASURED IN A STRAIGHT LINE.

"LICENSED RACING ENTITY." ANY PERSON THAT HAS OBTAINED A

LICENSE TO CONDUCT LIVE THOROUGHBRED OR HARNESS HORSE RACE

MEETINGS RESPECTIVELY WITH PARI-MUTUEL WAGERING FROM THE

COMMISSION.

"LICENSEE." THE HOLDER OF A LICENSE ISSUED UNDER THIS

CHAPTER.

"NOMINAL CHANGE IN OWNERSHIP." THE SALE, PLEDGE,

ENCUMBRANCE, EXECUTION OF AN OPTION AGREEMENT OR OTHER TRANSFER

OF LESS THAN 5% OF THE EQUITY SECURITIES OR OTHER OWNERSHIP

INTEREST OF A PERSON WHOSE PERCENTAGE OWNERSHIP DOES NOT AFFECT

THE DECISIONS OF THE LICENSED RACING ENTITY.

"NONPRIMARY LOCATION." ANY FACILITY IN WHICH PARI-MUTUEL

WAGERING IS CONDUCTED BY A LICENSED RACING ENTITY PURSUANT TO

THIS CHAPTER OTHER THAN THE RACETRACK WHERE LIVE RACING IS

CONDUCTED.

"OWNERSHIP INTEREST." OWNING OR HOLDING, OR BEING DEEMED TO

HOLD, DEBT OR EQUITY SECURITIES OR OTHER OWNERSHIP INTEREST OR

PROFIT INTEREST.

"PARI-MUTUEL WAGERING." A FORM OF WAGERING, INCLUDING

MANUAL, ELECTRONIC, COMPUTERIZED AND OTHER FORMS AS APPROVED BY

THE COMMISSION, ON THE OUTCOME OF A HORSE RACING EVENT IN WHICH

ALL WAGERS ARE POOLED AND HELD BY A LICENSED RACING ENTITY OR

SECONDARY PARI-MUTUEL ORGANIZATION FOR DISTRIBUTION OF THE TOTAL

AMOUNT, LESS THE DEDUCTIONS AUTHORIZED BY LAW, TO HOLDERS OF

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WINNING TICKETS.

"PERSON." ANY NATURAL PERSON, CORPORATION, FOUNDATION,

ORGANIZATION, BUSINESS TRUST, ESTATE, LIMITED LIABILITY COMPANY,

LICENSE CORPORATION, TRUST, PARTNERSHIP, LIMITED LIABILITY

PARTNERSHIP, ASSOCIATION OR ANY OTHER FORM OF LEGAL BUSINESS

ENTITY.

"PRIMARY MARKET AREA OF A RACETRACK." THE LAND AREA INCLUDED

IN A CIRCLE DRAWN WITH THE RACETRACK AS THE CENTER AND A RADIUS

OF 35 LAND MILES.

"PRINCIPAL." ANY OF THE FOLLOWING INDIVIDUALS ASSOCIATED

WITH A PARTNERSHIP, TRUST ASSOCIATION, LIMITED LIABILITY COMPANY

OR CORPORATION:

(1) THE CHAIRMAN AND EACH MEMBER OF THE BOARD OF

DIRECTORS OF A CORPORATION.

(2) EACH PARTNER OF A PARTNERSHIP AND EACH PARTICIPATING

MEMBER OF A LIMITED LIABILITY COMPANY.

(3) EACH TRUSTEE AND TRUST BENEFICIARY OF AN

ASSOCIATION.

(4) THE PRESIDENT OR CHIEF EXECUTIVE OFFICER AND EACH

OTHER OFFICER, MANAGER AND EMPLOYEE WHO HAS POLICY-MAKING OR

FIDUCIARY RESPONSIBILITY WITHIN THE ORGANIZATION.

(5) EACH STOCKHOLDER OR OTHER INDIVIDUAL WHO OWNS, HOLDS

OR CONTROLS, EITHER DIRECTLY OR INDIRECTLY, 5% OR MORE OF

STOCK OR FINANCIAL INTEREST IN THE COLLECTIVE ORGANIZATION.

(6) ANY OTHER EMPLOYEE, AGENT, GUARDIAN, PERSONAL

REPRESENTATIVE, LENDER OR HOLDER OF INDEBTEDNESS WHO HAS THE

POWER TO EXERCISE A SIGNIFICANT INFLUENCE OVER THE

APPLICANT'S OR LICENSEE'S OPERATION.

"RACETRACK." THE PHYSICAL FACILITY WHERE A LICENSED RACING

ENTITY CONDUCTS THOROUGHBRED OR STANDARDBRED HORSE RACE MEETINGS

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RESPECTIVELY WITH PARI-MUTUEL WAGERING.

"RACETRACK ENCLOSURE." FOR PURPOSES OF THIS CHAPTER, THE

TERM "RACETRACK ENCLOSURE," WITH RESPECT TO EACH LICENSED RACING

ENTITY, SHALL BE DEEMED TO INCLUDE AT LEAST ONE PRIMARY

RACETRACK LOCATION AT WHICH HORSE RACE MEETINGS AUTHORIZED TO BE

HELD BY THE LICENSED RACING ENTITIES ARE CONDUCTED, INCLUDING

THE GRANDSTAND, FRONTSIDE AND BACKSIDE FACILITIES AND ALL

PRIMARY, NONPRIMARY, CONTIGUOUS AND NONCONTIGUOUS LOCATIONS OF

THE LICENSED RACING ENTITY WHICH ARE SPECIFICALLY APPROVED BY

THE COMMISSION FOR CONDUCTING THE PARI-MUTUEL SYSTEM OF WAGERING

ON THE RESULTS OF HORSE RACING HELD AT SUCH MEETINGS OR RACE

MEETINGS CONDUCTED BY ANOTHER LICENSED RACING ENTITY OR

TRANSMITTED TO SUCH LOCATIONS BY SIMULCASTING.

"RACING VENDOR." A PERSON WHO PROVIDES GOODS OR SERVICES TO

A LICENSED RACING ENTITY DIRECTLY RELATED TO RACING OR THE

RACING PRODUCT, AS DETERMINED BY THE COMMISSION.

"SECONDARY MARKET AREA OF A RACETRACK." THE LAND AREA

INCLUDED IN A CIRCLE DRAWN WITH THE RACETRACK AS THE CENTER AND

A RADIUS OF 50 LAND MILES, NOT INCLUDING THE PRIMARY MARKET AREA

OF THE RACETRACK.

"SECONDARY PARI-MUTUEL ORGANIZATION." A LICENSED ENTITY,

OTHER THAN A LICENSED RACING ENTITY, THAT OFFERS AND ACCEPTS

PARI-MUTUEL WAGERS. A PERSON OR ENTITY THAT PROVIDES TO A

LICENSED RACING ENTITY HARDWARE, SOFTWARE, EQUIPMENT, CONTENT OR

SERVICES USED TO MANAGE, CONDUCT, OPERATE OR RECORD PARI-MUTUEL

WAGERING ACTIVITY BY OR FROM RESIDENTS OF THIS COMMONWEALTH

SHALL NOT BE DEEMED TO BE A SECONDARY PARI-MUTUEL ORGANIZATION

SOLELY BY VIRTUE OF THE PROVISION OF THE ASSETS OR SERVICES.

"SIMULCAST." LIVE VIDEO AND AUDIO TRANSMISSION OF A RACE AND

PARI-MUTUEL INFORMATION FOR THE PURPOSE OF PARI-MUTUEL WAGERING

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AT LOCATIONS OTHER THAN THE RACETRACK WHERE THE RACE IS RUN.

"STANDARDBRED HORSE RACING" OR "HARNESS RACING." A FORM OF

HORSE RACING IN WHICH THE HORSES PARTICIPATING ARE ATTACHED "IN

HARNESS" TO A SULKY OR OTHER SIMILAR VEHICLE, AT A SPECIFIC

GAIT, EITHER A TROT OR PACE.

"SUBSTANTIAL CHANGE IN OWNERSHIP." THE SALE, PLEDGE,

ENCUMBRANCE, EXECUTION OF AN OPTION AGREEMENT OR ANOTHER

TRANSFER OF 5% OR MORE OF THE EQUITY SECURITIES OR OTHER

OWNERSHIP INTEREST OF A PERSON WHOSE PERCENTAGE OWNERSHIP

AFFECTS THE DECISIONS OF THE LICENSED RACING ENTITY.

"THOROUGHBRED HORSE RACING." THE FORM OF HORSE RACING IN

WHICH EACH PARTICIPATING HORSE IS MOUNTED BY A JOCKEY, IS DULY

REGISTERED WITH THE JOCKEY CLUB OF NEW YORK AND ENGAGES IN HORSE

RACING ON THE FLAT, WHICH MAY INCLUDE A STEEPLECHASE OR HURDLE

RACE.

"TOTALISATOR." A COMPUTER SYSTEM USED TO POOL WAGERS, RECORD

SALES, CALCULATE PAYOFFS AND DISPLAY WAGERING DATA ON A DISPLAY

DEVICE THAT IS LOCATED AT A PARI-MUTUEL FACILITY OR NONPRIMARY

LOCATION.

SUBCHAPTER B

RACING OVERSIGHT

SEC.

9311. STATE HORSE RACING COMMISSION.

9312. ADDITIONAL POWERS OF COMMISSION.

9313. BUDGET.

9314. LOCATION.

9315. NUMBER OF LICENSED RACING ENTITIES.

9316. DEPARTMENT OF REVENUE.

9317. ALLOCATION OF RACING DAYS.

9318. LICENSES FOR HORSE RACE MEETINGS.

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9319. CODE OF CONDUCT.

9320. FINANCIAL INTERESTS.

9321. OFFICIALS AT HORSE RACE MEETINGS.

9322. SECONDARY PARI-MUTUEL ORGANIZATION.

9323. OCCUPATIONAL LICENSES FOR INDIVIDUALS.

9324. (RESERVED).

9325. POWER OF COMMISSION TO IMPOSE FINES.

9326. ADMISSION TO RACETRACK.

9327. SECURITY PERSONNEL.

9328. (RESERVED).

9329. INTERSTATE SIMULCASTING.

9330. PLACE AND MANNER OF CONDUCTING PARI-MUTUELWAGERING AT

RACETRACK ENCLOSURE.

9331. PARI-MUTUEL WAGERING AT NONPRIMARY LOCATIONS.

9332. BOOKS AND RECORDS OF PARI-MUTUEL WAGERING.

9333. FILING OF CERTAIN AGREEMENTS WITH COMMISSION.

9334. STATE RACING FUND AND TAX RATE.

9335. PARI-MUTUEL POOL DISTRIBUTION.

9336. PENNSYLVANIA BREEDING FUND.

9337. PENNSYLVANIA SIRE STAKES FUND.

9338. FAIR FUND PROCEEDS.

9339. HEARING.

9340. PROHIBITION OF WAGERING.

9341. VETERINARIANS AND STATE STEWARDS.

9342. PROMOTIONS AND DISCOUNTS.

9343. MONITORING OF WAGERING ON VIDEO SCREENS.

9344. INTRASTATE SIMULCASTING.

9345. COMMINGLING.

9346. STANDARDBRED HORSE RACING PURSE MONEY.

§ 9311. STATE HORSE RACING COMMISSION.

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(A) ESTABLISHMENT.--THE STATE HORSE RACING COMMISSION IS

ESTABLISHED AS A COMMISSION WITHIN THE DEPARTMENT OF AGRICULTURE

TO INDEPENDENTLY REGULATE THE OPERATIONS OF HORSE RACING, THE

CONDUCT OF PARI-MUTUEL WAGERING AND THE PROMOTION AND MARKETING

OF HORSE RACING IN THIS COMMONWEALTH IN ACCORDANCE WITH THIS

CHAPTER.

(B) MEMBERSHIP.--THE COMMISSION SHALL CONSIST OF THE

FOLLOWING MEMBERS:

(1) FOUR MEMBERS APPOINTED BY THE GOVERNOR AS FOLLOWS:

(I) ONE INDIVIDUAL REPRESENTING THE THOROUGHBRED

HORSEMEN'S ORGANIZATIONS IN THIS COMMONWEALTH, SELECTED

FROM A LIST OF AT LEAST 10 QUALIFIED INDIVIDUALS

SUBMITTED BY THE THOROUGHBRED HORSEMEN'S ORGANIZATIONS.

(II) ONE INDIVIDUAL REPRESENTING A THOROUGHBRED

BREEDER ORGANIZATION IN THIS COMMONWEALTH, SELECTED FROM

A LIST OF AT LEAST 10 QUALIFIED INDIVIDUALS SUBMITTED BY

A THOROUGHBRED BREEDER ORGANIZATION.

(III) ONE INDIVIDUAL REPRESENTING THE STANDARDBRED

HORSEMEN'S ORGANIZATIONS IN THIS COMMONWEALTH, SELECTED

FROM A LIST OF AT LEAST 10 QUALIFIED INDIVIDUALS

SUBMITTED BY THE STANDARDBRED HORSEMEN'S ORGANIZATIONS.

(IV) ONE INDIVIDUAL REPRESENTING A STANDARDBRED

BREEDER ORGANIZATION IN THIS COMMONWEALTH, SELECTED FROM

A LIST OF AT LEAST 10 QUALIFIED INDIVIDUALS SUBMITTED BY

A STANDARDBRED BREEDER ORGANIZATION.

(2) ONE MEMBER APPOINTED BY EACH OF THE FOLLOWING, NONE

OF WHOM SHALL BE A MEMBER OF A HORSEMEN'S ORGANIZATION OR

BREEDER ORGANIZATION:

(I) THE PRESIDENT PRO TEMPORE OF THE SENATE.

(II) THE MINORITY LEADER OF THE SENATE.

20160SB1229PN1983 - 16 -

(III) THE SPEAKER OF THE HOUSE OF REPRESENTATIVES.

(IV) THE MINORITY LEADER OF THE HOUSE OF

REPRESENTATIVES.

(3) THE SECRETARY OF AGRICULTURE OR THE SECRETARY'S

DESIGNEE, WHO SHALL BE A NONVOTING EX OFFICIO MEMBER.

(4) ONE INDIVIDUAL WHO IS A LICENSED DOCTOR OF

VETERINARY MEDICINE IN THIS COMMONWEALTH, WHO SHALL NOT BE A

MEMBER OF A HORSEMEN'S ORGANIZATION OR A BREEDER

ORGANIZATION, APPOINTED BY THE GOVERNOR.

(5) EACH APPOINTING AUTHORITY SHALL MAKE ITS

APPOINTMENTS WITHIN 30 DAYS OF THE EFFECTIVE DATE OF THIS

SECTION. APPOINTMENTS TO FILL A VACANCY SHALL BE MADE WITHIN

10 DAYS OF THE CREATION OF THE VACANCY. AN APPOINTMENT SHALL

NOT BE FINAL UNTIL RECEIPT BY THE APPOINTING AUTHORITY OF A

BACKGROUND INVESTIGATION OF THE APPOINTEE BY THE PENNSYLVANIA

STATE POLICE, WHICH SHALL BE COMPLETED WITHIN 30 DAYS OF THE

APPOINTMENT. A PERSON WHO HAS BEEN CONVICTED IN A DOMESTIC OR

FOREIGN JURISDICTION OF A FELONY, INFAMOUS CRIME, GAMBLING

OFFENSE OR AN OFFENSE RELATED TO FIXING HORSE RACES OR ANIMAL

CRUELTY MAY NOT BE APPOINTED TO THE COMMISSION.

(6) THE FOLLOWING SHALL APPLY TO APPOINTEES,

COMMISSIONERS, EMPLOYEES AND INDEPENDENT CONTRACTORS:

(I) EACH COMMISSIONER AT THE TIME OF APPOINTMENT

MUST BE AT LEAST 25 YEARS OF AGE AND MUST HAVE BEEN A

RESIDENT OF THIS COMMONWEALTH FOR A PERIOD OF AT LEAST

ONE YEAR IMMEDIATELY PRECEDING APPOINTMENT. EACH

COMMISSIONER MUST REMAIN A RESIDENT OF THIS COMMONWEALTH

DURING THE TERM OF MEMBERSHIP ON THE COMMISSION.

(II) EXCEPT FOR THE COMMISSIONER APPOINTED UNDER

PARAGRAPH (3), A PERSON MAY NOT BE APPOINTED A

20160SB1229PN1983 - 17 -

COMMISSIONER IF THE PERSON IS A PUBLIC OFFICIAL OR PARTY

OFFICER AS DEFINED IN 4 PA.C.S. § 1512 (RELATING TO

FINANCIAL AND EMPLOYMENT INTERESTS) IN THIS COMMONWEALTH

OR ANY OF ITS POLITICAL SUBDIVISIONS.

(III) EACH COMMISSIONER, EMPLOYEE AND INDEPENDENT

CONTRACTOR OF THE COMMISSION MUST SIGN AN AGREEMENT NOT

TO DISCLOSE CONFIDENTIAL INFORMATION.

(IV) EXCEPT FOR A COMMISSIONER APPOINTED UNDER

PARAGRAPH (1), A COMMISSIONER, EMPLOYEE OR INDEPENDENT

CONTRACTOR OF THE COMMISSION OR OTHER AGENCY HAVING

REGULATORY AUTHORITY OVER HORSE RACING UNDER THIS CHAPTER

MAY NOT BE EMPLOYED, HOLD AN OFFICE OR POSITION OR BE

ENGAGED IN AN ACTIVITY WHICH IS INCOMPATIBLE WITH THE

POSITION, EMPLOYMENT OR CONTRACT.

(V) A COMMISSIONER MAY NOT BE PAID OR RECEIVE A FEE

OR OTHER COMPENSATION FOR ANY ACTIVITY RELATED TO THE

DUTIES OR AUTHORITY OF THE COMMISSION OTHER THAN

COMPENSATION AND EXPENSES PROVIDED BY LAW.

(VI) A COMMISSIONER, EMPLOYEE OR INDEPENDENT

CONTRACTOR OF THE COMMISSION MAY NOT PARTICIPATE IN A

HEARING, PROCEEDING OR OTHER MATTER IN WHICH THE MEMBER,

EMPLOYEE OR INDEPENDENT CONTRACTOR, OR THE IMMEDIATE

FAMILY THEREOF, HAS A FINANCIAL INTEREST IN THE SUBJECT

MATTER OF THE HEARING OR PROCEEDING OR OTHER INTEREST

THAT COULD BE SUBSTANTIALLY AFFECTED BY THE OUTCOME OF

THE HEARING OR PROCEEDING WITHOUT FIRST FULLY DISCLOSING

THE NATURE OF THE INTEREST TO THE COMMISSION AND OTHER

PERSONS PARTICIPATING IN THE HEARING OR PROCEEDING. THE

COMMISSION SHALL DETERMINE IF THE INTEREST IS A

DISQUALIFYING INTEREST THAT REQUIRES THE DISQUALIFICATION

20160SB1229PN1983 - 18 -

OR NONPARTICIPATION OF A COMMISSIONER, AN EMPLOYEE OR

INDEPENDENT CONTRACTOR.

(VII) AT THE TIME OF APPOINTMENT AND ANNUALLY

THEREAFTER, EACH COMMISSIONER SHALL DISCLOSE THE

EXISTENCE OF ANY FINANCIAL INTEREST IN ANY APPLICANT OR

LICENSED RACING ENTITY AND IN AN AFFILIATE, INTERMEDIARY,

SUBSIDIARY OR HOLDING COMPANY THEREOF HELD BY THE

COMMISSIONER OR KNOWN TO BE HELD BY A COMMISSIONER'S

IMMEDIATE FAMILY. THE DISCLOSURE STATEMENT SHALL BE FILED

WITH EACH DIRECTOR ESTABLISHED UNDER SUBSECTION (D)(2)

AND WITH THE APPOINTING AUTHORITY FOR SUCH COMMISSIONER

AND SHALL BE OPEN TO INSPECTION BY THE PUBLIC AT THE

OFFICE OF THE COMMISSION DURING THE NORMAL BUSINESS HOURS

OF THE COMMISSION AND POSTED ON THE COMMISSION'S INTERNET

WEBSITE FOR THE DURATION OF A COMMISSIONER'S TERM AND FOR

TWO YEARS AFTER A COMMISSIONER LEAVES OFFICE.

(VIII) (RESERVED).

(IX) A COMMISSIONER, EMPLOYEE OR BUREAU DIRECTOR OF

THE COMMISSION MAY NOT DIRECTLY OR INDIRECTLY SOLICIT,

REQUEST, SUGGEST OR RECOMMEND TO ANY APPLICANT, LICENSED

RACING ENTITY OR AN AFFILIATE, INTERMEDIARY, SUBSIDIARY

OR HOLDING COMPANY THEREOF OR TO AN EMPLOYEE OR AGENT

THEREOF, THE APPOINTMENT OR EMPLOYMENT OF ANY PERSON IN

ANY CAPACITY BY THE APPLICANT, LICENSED RACING ENTITY OR

AN AFFILIATE, INTERMEDIARY, SUBSIDIARY OR HOLDING COMPANY

THEREOF DURING THE TERM OF OFFICE OR EMPLOYMENT WITH THE

COMMISSION.

(X) EXCEPT FOR A COMMISSIONER APPOINTED UNDER

PARAGRAPH (1), A COMMISSIONER MAY NOT ACCEPT EMPLOYMENT

WITH AN APPLICANT FOR A HORSE RACING LICENSE, A LICENSED

20160SB1229PN1983 - 19 -

RACING ENTITY, OR AN AFFILIATE, INTERMEDIARY, SUBSIDIARY

OR HOLDING COMPANY THEREOF, FOR A PERIOD OF TWO YEARS

FROM THE TERMINATION OF TERM OF OFFICE.

(XI) A FORMER COMMISSIONER MAY NOT APPEAR BEFORE THE

COMMISSION IN ANY HEARING OR PROCEEDING OR PARTICIPATE IN

ANY OTHER ACTIVITY ON BEHALF OF ANY APPLICANT FOR A HORSE

RACING LICENSE, A LICENSED RACING ENTITY, OR AN

AFFILIATE, INTERMEDIARY, SUBSIDIARY OR HOLDING COMPANY OF

AN APPLICANT OR LICENSED RACING ENTITY FOR A PERIOD OF

TWO YEARS FROM THE TERMINATION OF TERM OF OFFICE.

(XII) A COMMISSIONER OR EMPLOYEE OF THE COMMISSION

MAY NOT ACCEPT A COMPLIMENTARY SERVICE, PLACE A WAGER OR

BE PAID ANY PRIZE FROM ANY WAGER ON A HORSE RACE AT A

RACETRACK OR NONPRIMARY LOCATION WITHIN THIS COMMONWEALTH

OR AT ANY OTHER RACETRACK OR NONPRIMARY LOCATION OUTSIDE

THIS COMMONWEALTH WHICH IS OWNED OR OPERATED BY A

LICENSED RACING ENTITY OR ANY OF ITS AFFILIATES,

INTERMEDIARIES, SUBSIDIARIES OR HOLDING COMPANIES FOR THE

DURATION OF THE COMMISSIONER'S OR EMPLOYEE'S TERM OF

OFFICE OR EMPLOYMENT. NOTHING IN THIS SECTION SHALL BE

CONSTRUED TO PROHIBIT A COMMISSIONER APPOINTED UNDER

PARAGRAPH (1) FROM BEING AWARDED A PURSE OR BREEDERS'

AWARD FOR THE COMMISSIONER'S PARTICIPATION IN HORSE

RACING.

(XIII) A COMMISSIONER WHO HAS BEEN CONVICTED DURING

HIS TERM OF OFFICE IN A DOMESTIC OR FOREIGN JURISDICTION

OF A FELONY, INFAMOUS CRIME, OFFENSE RELATED TO FIXING OR

RIGGING HORSE RACES OR GAMBLING OFFENSE SHALL, UPON

CONVICTION, BE AUTOMATICALLY REMOVED FROM THE COMMISSION

AND SHALL BE INELIGIBLE TO BECOME A COMMISSIONER IN THE

20160SB1229PN1983 - 20 -

FUTURE.

(XIV) THE FOLLOWING SHALL APPLY TO AN EMPLOYEE OF

THE COMMISSION, WHO IS NOT SUBJECT TO A COLLECTIVE

BARGAINING AGREEMENT, WHOSE DUTIES SUBSTANTIALLY INVOLVE

LICENSING, ENFORCEMENT, DEVELOPMENT OF LAW, PROMULGATION

OF REGULATIONS OR DEVELOPMENT OF POLICY, RELATING TO

HORSE RACING UNDER THIS CHAPTER OR WHO HAS OTHER

DISCRETIONARY AUTHORITY WHICH MAY AFFECT OR INFLUENCE THE

OUTCOME OF AN ACTION, PROCEEDING OR DECISION UNDER THIS

CHAPTER, INCLUDING THE DIRECTOR OF A BUREAU:

(A) THE INDIVIDUAL MAY NOT, FOR A PERIOD OF TWO

YEARS FOLLOWING TERMINATION OF EMPLOYMENT, ACCEPT

EMPLOYMENT WITH OR BE RETAINED BY AN APPLICANT FOR A

HORSE RACING LICENSE OR A LICENSED RACING ENTITY OR

BY AN AFFILIATE, INTERMEDIARY, SUBSIDIARY OR HOLDING

COMPANY OF AN APPLICANT OR A LICENSED RACING ENTITY.

(B) THE INDIVIDUAL MAY NOT, FOR A PERIOD OF TWO

YEARS FOLLOWING TERMINATION OF EMPLOYMENT, APPEAR

BEFORE THE COMMISSION IN A HEARING OR PROCEEDING OR

PARTICIPATE IN ACTIVITY ON BEHALF OF ANY APPLICANT,

LICENSEE OR LICENSED RACING ENTITY OR ON BEHALF OF AN

AFFILIATE, INTERMEDIARY, SUBSIDIARY OR HOLDING

COMPANY OF ANY APPLICANT, LICENSEE OR LICENSED RACING

ENTITY.

EMPLOYEE SUBJECT TO THE JURISDICTION OF THE

PENNSYLVANIA SUPREME COURT UNDER SECTION 10(C) OF

ARTICLE V OF THE CONSTITUTION OF PENNSYLVANIA.

(XV) NOTHING UNDER SUBPARAGRAPH (XIV) SHALL PREVENT

A CURRENT OR FORMER EMPLOYEE OF THE COMMISSION FROM

20160SB1229PN1983 - 21 -

APPEARING BEFORE THE COMMISSION IN A HEARING OR

PROCEEDING AS A WITNESS OR TESTIFYING AS TO A FACT OR

INFORMATION.

(XVI) THE STATE ETHICS COMMISSION SHALL ISSUE A

WRITTEN DETERMINATION OF WHETHER A PERSON IS SUBJECT TO

SUBPARAGRAPH (XIV) UPON THE WRITTEN REQUEST OF THE PERSON

OR THE PERSON'S EMPLOYER OR POTENTIAL EMPLOYER. A PERSON

THAT RELIES IN GOOD FAITH ON A DETERMINATION ISSUED UNDER

THIS PARAGRAPH SHALL NOT BE SUBJECT TO ANY PENALTY FOR AN

ACTION TAKEN, IF ALL MATERIAL FACTS SET FORTH IN THE

REQUEST FOR THE DETERMINATION ARE CORRECT.

(XVII) THE STATE ETHICS COMMISSION SHALL PUBLISH A

LIST OF ALL EMPLOYMENT POSITIONS WITHIN THE COMMISSION

WHOSE DUTIES WOULD SUBJECT THE INDIVIDUALS IN THOSE

POSITIONS TO THE PROVISIONS OF SUBPARAGRAPH (XIV). THE

COMMISSION SHALL ASSIST THE STATE ETHICS COMMISSION IN

THE DEVELOPMENT OF THE LIST, WHICH SHALL BE PUBLISHED BY

THE STATE ETHICS COMMISSION IN THE PENNSYLVANIA BULLETIN

BIENNIALLY AND POSTED BY THE COMMISSION ON THE

COMMISSION'S INTERNET WEBSITE. UPON REQUEST, EMPLOYEES OF

THE COMMISSION SHALL HAVE A DUTY TO PROVIDE THE STATE

ETHICS COMMISSION WITH ADEQUATE INFORMATION TO ACCURATELY

DEVELOP AND MAINTAIN THE LIST. THE STATE ETHICS

COMMISSION MAY IMPOSE A CIVIL PENALTY UNDER 65 PA.C.S. §

1109(F) (RELATING TO PENALTIES) UPON AN INDIVIDUAL WHO

FAILS TO COOPERATE WITH THE STATE ETHICS COMMISSION UNDER

THIS SUBPARAGRAPH. AN INDIVIDUAL WHO RELIES IN GOOD FAITH

ON THE LIST PUBLISHED BY THE STATE ETHICS COMMISSION

SHALL NOT BE SUBJECT TO ANY PENALTY FOR A VIOLATION OF

SUBPARAGRAPH (XIV).

20160SB1229PN1983 - 22 -

(XVIII) A COMMISSIONER MAY NOT SOLICIT, REQUEST,

SUGGEST OR RECOMMEND THE EMPLOYMENT BY THE COMMISSION OF

AN IMMEDIATE FAMILY MEMBER.

(XIX) IF A COMMISSIONER VIOLATES ANY PROVISION OF

THIS SECTION, THE APPOINTING AUTHORITY MAY REMOVE THE

PERSON FROM THE COMMISSION. A COMMISSIONER REMOVED UNDER

THIS PARAGRAPH SHALL, FOR A PERIOD OF FIVE YEARS

FOLLOWING REMOVAL, BE PROHIBITED FROM FUTURE APPOINTMENT

TO THE COMMISSION AND SHALL BE PROHIBITED FROM APPLYING

FOR A LICENSE OR OTHER AUTHORIZATION UNDER THIS CHAPTER

AND FROM BECOMING AN INDEPENDENT CONTRACTOR WITH THE

COMMISSION.

(XX) EXCEPT FOR A COMMISSIONER APPOINTED UNDER

PARAGRAPH (1), A COMMISSIONER OR EMPLOYEE OF THE

COMMISSION MAY NOT DIRECTLY OR INDIRECTLY HAVE AN

OWNERSHIP INTEREST IN A RACE HORSE WHICH IS ENTERED IN A

HORSE RACE MEETING IN THIS COMMONWEALTH.

(7) A COMMISSIONER SHALL NOT BE PERSONALLY LIABLE FOR

ANY OF THE FOLLOWING:

(I) OBLIGATIONS OF THE COMMISSION.

(II) ACTIONS WHICH WERE WITHIN THE SCOPE OF THEIR

OFFICE AND MADE IN GOOD FAITH.

(B.1) INITIAL APPOINTMENTS TO COMMISSION.--

(1) APPOINTEES INITIALLY APPOINTED UNDER SUBSECTION (B)

SHALL SERVE AN INITIAL TERM OF TWO YEARS AND UNTIL THEIR

SUCCESSORS ARE APPOINTED AND QUALIFIED.

(2) AN APPOINTMENT TO FILL A VACANCY CREATED BY A

COMMISSIONER APPOINTED IN ACCORDANCE WITH PARAGRAPH (1) SHALL

BE FOR THE REMAINDER OF THE UNEXPIRED TERM.

(B.2) TERMS OF OFFICE.--UPON THE EXPIRATION OF A TERM OF A

20160SB1229PN1983 - 23 -

COMMISSIONER APPOINTED UNDER SUBSECTIONS (B) AND (B.1), THE

FOLLOWING SHALL APPLY:

(1) THE TERM OF OFFICE OF A GUBERNATORIAL APPOINTEE

SHALL BE THREE YEARS AND UNTIL A SUCCESSOR IS APPOINTED AND

QUALIFIED.

(2) THE TERM OF OFFICE OF A LEGISLATIVE APPOINTEE SHALL

BE TWO YEARS AND UNTIL A SUCCESSOR IS APPOINTED AND

QUALIFIED.

(3) A LEGISLATIVE APPOINTEE SHALL SERVE NO MORE THAN

THREE FULL CONSECUTIVE TERMS.

(4) A GUBERNATORIAL APPOINTEE SHALL SERVE NO MORE THAN

TWO FULL CONSECUTIVE TERMS.

(5) AN APPOINTMENT TO FILL A VACANCY SHALL BE FOR THE

REMAINDER OF THE UNEXPIRED TERM.

(6) A COMMISSIONER APPOINTED TO FILL A VACANCY UNDER

PARAGRAPH (3) MAY SERVE THREE FULL TERMS FOLLOWING THE

EXPIRATION OF THE TERM RELATED TO THE VACANCY.

(7) A COMMISSIONER APPOINTED TO FILL A VACANCY UNDER

PARAGRAPH (4) MAY SERVE TWO FULL TERMS FOLLOWING THE

EXPIRATION OF THE TERM RELATED TO THE VACANCY.

OF THE COMMISSION.

(C.1) COMPENSATION.--COMMISSIONERS SHALL BE REIMBURSED FOR

DOCUMENTED EXPENSES INCURRED IN THE PERFORMANCE OF THEIR

OFFICIAL DUTIES AND EXCEPT FOR COMMISSIONERS APPOINTED UNDER

SUBSECTION (B)(3), COMMISSIONERS SHALL BE PAID $150 PER DIEM.

(C.2) MEETINGS.--THE COMMISSION SHALL MEET AT LEAST ONCE A

MONTH AND AT OTHER TIMES AS THE COMMISSION CHAIRPERSON DEEMS

NECESSARY. PUBLIC NOTICE OF THE TIME AND PLACE OF MEETINGS OF

THE COMMISSION SHALL BE GIVEN IN ACCORDANCE WITH 65 PA.C.S. CH.

20160SB1229PN1983 - 24 -

7 (RELATING TO OPEN MEETINGS).

(D) OFFICE OF HORSE RACING.--THERE IS HEREBY ESTABLISHED

WITHIN THE COMMISSION AN OFFICE OF HORSE RACING.

(1) THE OFFICE SHALL BE COMPRISED OF THE FOLLOWING:

(I) THE BUREAU OF THOROUGHBRED HORSE RACING SHALL

HAVE OVERSIGHT OVER THE CONDUCT OF THOROUGHBRED HORSE

RACING IN THIS COMMONWEALTH.

(II) THE BUREAU OF STANDARDBRED HORSE RACING SHALL

HAVE OVERSIGHT OVER THE CONDUCT OF STANDARDBRED HORSE

RACING IN THIS COMMONWEALTH.

(2) THERE SHALL BE A DIRECTOR OF THE BUREAU OF

THOROUGHBRED HORSE RACING AND A DIRECTOR OF THE BUREAU OF

STANDARDBRED HORSE RACING TO SERVE AND REPORT TO THE

COMMISSION. THE DIRECTOR OF EACH BUREAU SHALL NOT BE

SUPERVISED BY THE DEPARTMENT OF AGRICULTURE. THE COMMISSION

SHALL ASSIGN THE DIRECTORS DUTIES AND RESPONSIBILITIES AS

REQUIRED TO FULFILL THE COMMISSION'S OBLIGATIONS UNDER THIS

CHAPTER OR ANY OTHER ACT. THE COMMISSION MAY, BY ORDER,

DELEGATE DUTIES AND RESPONSIBILITIES TO THE BUREAU DIRECTOR

AS THE COMMISSION DETERMINES NECESSARY TO DISCHARGE THE DAY-

TO-DAY LICENSING, ENFORCEMENT AND ADMINISTRATIVE OPERATIONS

OF THE COMMISSION. THE DIRECTOR OF EACH BUREAU ESTABLISHED IN

THIS SECTION MUST MEET ALL OF THE FOLLOWING REQUIREMENTS:

(I) HAS EITHER:

(A) BEEN CERTIFIED AS A RACING OFFICIAL; OR

(B) HAS AT LEAST FIVE YEARS' EXPERIENCE IN THE

MANAGEMENT OF A LICENSED RACING ENTITY OR EQUIVALENT

RACING EXPERIENCE.

(II) ANY OTHER CRITERIA ESTABLISHED BY THE

COMMISSION.

20160SB1229PN1983 - 25 -

(3) EACH BUREAU ESTABLISHED UNDER THIS SUBSECTION SHALL

HAVE THE FOLLOWING POWERS AND DUTIES:

(I) EVALUATE AND REVIEW ALL APPLICANTS AND

APPLICATIONS FOR A THOROUGHBRED HORSE RACING OR

STANDARDBRED HORSE RACING LICENSE. A BUREAU UNDER THIS

SECTION SHALL BE PROHIBITED FROM DISCLOSING ANY PORTION

OF AN EVALUATION TO A COMMISSIONER PRIOR TO THE DECISION

RELATING TO THE APPLICANT'S SUITABILITY FOR LICENSURE BY

THE COMMISSION.

(II) INSPECT AND MONITOR LICENSEES AND OTHER PERSONS

REGULATED UNDER THIS CHAPTER FOR NONCRIMINAL VIOLATIONS,

INCLUDING POTENTIAL VIOLATIONS REFERRED TO EITHER BUREAU

BY THE COMMISSION OR OTHER PERSON.

(III) MONITOR HORSE RACING OPERATIONS TO ENSURE

COMPLIANCE WITH THIS CHAPTER.

(IV) INSPECT AND EXAMINE LICENSED RACING ENTITIES

AND RACETRACK FACILITIES.

(A) INSPECTIONS MAY INCLUDE THE REVIEW AND

REPRODUCTION OF ANY DOCUMENT OR RECORD.

(B) EXAMINATIONS MAY INCLUDE THE REVIEW OF

ACCOUNTING, ADMINISTRATIVE AND FINANCIAL RECORDS,

MANAGEMENT CONTROL SYSTEMS, PROCEDURES AND OTHER

RECORDS.

(V) REFER POSSIBLE CRIMINAL VIOLATION TO LAW

ENFORCEMENT.

(VI) COOPERATE IN THE INVESTIGATION AND PROSECUTION

OF ANY CRIMINAL VIOLATION.

(VII) ISSUE ADMINISTRATIVE SUBPOENAS TO EFFECTUATE

AN INSPECTION AND REVIEW UNDER THIS PARAGRAPH, ADMINISTER

OATHS AND TAKE TESTIMONY AS NECESSARY FOR THE

20160SB1229PN1983 - 26 -

ADMINISTRATION OF THIS CHAPTER.

(E) JURISDICTION.--THE COMMISSION SHALL HAVE JURISDICTION

AND REGULATORY AUTHORITY OVER THE FOLLOWING:

(1) PARI-MUTUEL WAGERING AND OTHER HORSE RACING

ACTIVITIES IN THIS COMMONWEALTH.

(2) A LICENSED PERSON ENGAGED IN PARI-MUTUEL HORSE

RACING ACTIVITIES.

(3) OUT-OF-COMPETITION DRUG TESTING, WHICH SHALL INCLUDE

THE RANDOM DRUG TESTING OF ANY HORSE ENTERED IN A RACE,

NOTWITHSTANDING THE PHYSICAL LOCATION OF THE HORSE, STABLED

ON THE GROUNDS OR SHIPPED INTO A LICENSED RACING ENTITY'S

FACILITY.

(4) THE CONDUCT OF HORSE RACING IN THIS COMMONWEALTH.

(F) VOTING.--

(1) EXCEPT AS OTHERWISE PROVIDED IN THIS SUBSECTION,

ACTIONS OF THE COMMISSION SHALL BE SUBJECT TO A SIMPLE

MAJORITY VOTE OF THE COMMISSION.

(2) A QUALIFIED MAJORITY VOTE CONSISTING OF THE TWO

COMMISSIONERS APPOINTED UNDER SUBSECTION (B)(1)(I) AND (II)

AND AS MANY VOTES OF THE REMAINING VOTING COMMISSIONERS AS

NECESSARY TO CONSTITUTE A MAJORITY OF THOSE COMMISSIONERS

VOTING SHALL BE REQUIRED TO:

(I) APPROVE, ISSUE, DENY OR CONDITION A LICENSE TO

CONDUCT THOROUGHBRED HORSE RACE MEETINGS UNDER SECTION

9318 (RELATING TO LICENSES FOR HORSE RACE MEETINGS).

(II) ADOPT REGULATIONS GOVERNING THOROUGHBRED HORSE

RACE MEETINGS UNDER THIS SECTION.

(III) EMPLOY A DIRECTOR OF THE BUREAU OF

THOROUGHBRED HORSE RACING UNDER SUBSECTION (D)(2).

(3) A QUALIFIED MAJORITY VOTE CONSISTING OF THE TWO

20160SB1229PN1983 - 27 -

COMMISSIONERS APPOINTED UNDER SUBSECTION (B)(1)(III) AND (IV)

AND AS MANY VOTES OF THE REMAINING VOTING COMMISSIONERS AS

NECESSARY TO CONSTITUTE A MAJORITY OF THOSE COMMISSIONERS

VOTING SHALL BE REQUIRED TO:

(I) APPROVE, ISSUE, DENY OR CONDITION A LICENSE TO

CONDUCT STANDARDBRED HORSE RACE MEETINGS UNDER SECTION

9318.

(II) ADOPT RULES AND REGULATIONS GOVERNING

STANDARDBRED HORSE RACE MEETINGS UNDER THIS SECTION.

(III) EMPLOY A DIRECTOR OF THE BUREAU OF

STANDARDBRED HORSE RACING UNDER SUBSECTION (D)(2).

(4) COMMISSIONERS APPOINTED UNDER SUBSECTION (B)(1)(I)

AND (II) SHALL BE DISQUALIFIED AND MUST ABSTAIN FROM VOTING

ON ANY MATTER UNDER PARAGRAPH (3).

(5) COMMISSIONERS APPOINTED UNDER SUBSECTION (B)(1)(III)

AND (IV) SHALL BE DISQUALIFIED AND MUST ABSTAIN FROM VOTING

ON ANY MATTER UNDER PARAGRAPH (2).

(6) IF ONE OR MORE APPOINTEES UNDER SUBSECTION (B)(1) IS

NOT PARTICIPATING IN VOTING ON ANY MATTER UPON WHICH THEY ARE

OTHERWISE ELIGIBLE TO VOTE UNDER PARAGRAPH (2) OR (3), THE

QUALIFIED MAJORITY SHALL CONSIST OF THE REMAINING APPOINTEE

UNDER THE RESPECTIVE SUBPARAGRAPH OF SUBSECTION (B)(1)

PURSUANT TO WHICH THE NONPARTICIPATING COMMISSIONER HAS BEEN

APPOINTED, IF ANY, AND AS MANY COMMISSIONERS AS NECESSARY TO

CONSTITUTE A MAJORITY OF THOSE COMMISSIONERS VOTING.

(G) RECORDS.--THE COMMISSION SHALL MAINTAIN AT ITS OFFICE

THE FOLLOWING:

(1) ALL DOCUMENTS, DIGITAL OR NONDIGITAL, PROVIDED TO OR

FILED WITH THE COMMISSION RELATING TO THE REGULATION OF HORSE

RACING AND PARI-MUTUEL WAGERING UNDER THIS CHAPTER. THE

20160SB1229PN1983 - 28 -

COMMISSION MAY ACCEPT DIGITAL SIGNATURES ON DOCUMENTS

PROVIDED OR FILED AND DOCUMENTS MAY BE DESIGNATED AS

CONFIDENTIAL IN ACCORDANCE WITH COMMISSION POLICY.

(2) A DOCKET SETTING FORTH THE NAMES OF ALL STOCKHOLDERS

IN A LICENSED RACING ENTITY. THE DOCKET SHALL BE AVAILABLE

FOR PUBLIC INSPECTION DURING NORMAL BUSINESS HOURS OF THE

COMMISSION.

(3) THE NUMBER OF SHARES HELD BY EACH STOCKHOLDER.

(4) A COMPLETE RECORD OF PROCEEDINGS OF THE COMMISSION

RELATING TO HORSE RACING AND PARI-MUTUEL WAGERING.

(H) RULES AND REGULATIONS.--THE FOLLOWING SHALL APPLY:

(1) ALL RULES AND REGULATIONS PROMULGATED UNDER THE

FORMER ACT OF DECEMBER 11, 1967 (P.L.707, NO.331), REFERRED

TO AS THE PENNSYLVANIA THOROUGHBRED HORSE RACING LAW, OR THE

FORMER ACT OF DECEMBER 22, 1959 (P.L.1978, NO.728), REFERRED

TO AS THE PENNSYLVANIA HARNESS RACING LAW, SHALL REMAIN IN

EFFECT EXCEPT TO THE EXTENT THAT THEY ARE IN DIRECT CONFLICT

WITH THIS CHAPTER. THE COMMISSION MAY ADOPT, AMEND, REVISE OR

ALTER THE RULES AND REGULATIONS AS THE COMMISSION DEEMS

NECESSARY.

(2) THE COMMISSION SHALL PROMULGATE RULES AND

REGULATIONS NECESSARY FOR THE ADMINISTRATION AND ENFORCEMENT

OF THIS CHAPTER. EXCEPT AS PROVIDED IN THIS PARAGRAPH AND

PARAGRAPH (3), REGULATIONS SHALL BE PROMULGATED IN ACCORDANCE

WITH LAW.

(3) IN ORDER TO FACILITATE THE PROMPT IMPLEMENTATION OF

THIS CHAPTER, REGULATIONS PROMULGATED BY THE COMMISSION SHALL

BE DEEMED TEMPORARY REGULATIONS WHICH SHALL NOT EXPIRE FOR A

PERIOD OF THREE YEARS FOLLOWING PUBLICATION. TEMPORARY

REGULATIONS SHALL NOT BE SUBJECT TO:

20160SB1229PN1983 - 29 -

(I) SECTIONS 201, 202, 203, 204 AND 205 OF THE ACT

OF JULY 31, 1968 (P.L.769, NO.240), REFERRED TO AS THE

COMMONWEALTH DOCUMENTS LAW.

(II) SECTIONS 204(B) AND 301(10) OF THE ACT OF

OCTOBER 15, 1980 (P.L.950, NO.164), KNOWN AS THE

COMMONWEALTH ATTORNEYS ACT.

(III) THE ACT OF JUNE 25, 1982 (P.L.633, NO.181),

KNOWN AS THE REGULATORY REVIEW ACT.

(4) THE COMMISSION'S AUTHORITY TO PROMULGATE TEMPORARY

REGULATIONS UNDER PARAGRAPH (3) SHALL EXPIRE THREE YEARS

AFTER THE EFFECTIVE DATE OF THIS SECTION. REGULATIONS ADOPTED

AFTER THIS PERIOD SHALL BE PROMULGATED AS PROVIDED BY LAW.

(I) APPLICATION.--THE COMMISSION SHALL DEVELOP AN

APPLICATION FOR APPLICANTS SEEKING A LICENSE TO CONDUCT HORSE

RACING PURSUANT TO THIS CHAPTER.

(J) LICENSES.--EACH LICENSE TO CONDUCT HORSE RACING OR ANY

OTHER ACTIVITY UNDER THIS CHAPTER ISSUED PRIOR TO JANUARY 1,

2017, SHALL REMAIN IN EFFECT FOR THE REMAINDER OF THE TERM FOR

WHICH THE LICENSE WAS ISSUED UNLESS REVOKED OR SUSPENDED.

BEGINNING JANUARY 1, 2017, A LICENSE SHALL BE RENEWED OR A NEW

LICENSE SHALL BE ISSUED IN ACCORDANCE WITH THIS CHAPTER.

(K) REPORT OF COMMISSION.--TWELVE MONTHS AFTER THE EFFECTIVE

DATE OF THIS SECTION AND EVERY YEAR ON THAT DATE THEREAFTER, THE

COMMISSION, THROUGH THE DEPARTMENT OF AGRICULTURE, SHALL ISSUE A

REPORT TO THE GOVERNOR AND EACH MEMBER OF THE GENERAL ASSEMBLY

ON THE GENERAL OPERATION OF THE COMMISSION AND EACH LICENSEE'S

PERFORMANCE, INCLUDING NUMBER AND WIN PER RACE AND TOTAL GROSS

REVENUE AT EACH FACILITY OF A LICENSED RACING ENTITY DURING THE

PREVIOUS YEAR, ALL TAXES, FEES, FINES AND OTHER REVENUES

COLLECTED AND, WHERE APPROPRIATE, DISBURSED, THE COSTS OF

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OPERATION OF THE COMMISSION, ALL HEARINGS CONDUCTED AND THE

RESULTS OF THE HEARINGS AND OTHER INFORMATION THAT THE

COMMISSION DEEMS NECESSARY AND APPROPRIATE. NOTWITHSTANDING ANY

OTHER REPORTING REQUIREMENTS IN 4 PA.C.S. § 1211 (RELATING TO

REPORTS OF BOARD), THE PENNSYLVANIA GAMING CONTROL BOARD AND THE

DEPARTMENT OF AGRICULTURE MUST JOINTLY SUBMIT THE REPORT UNDER

THIS SUBSECTION RELATING TO RACING ON AN ANNUAL BASIS.

(L) RECORD OF PROCEEDINGS.--THE COMMISSION SHALL CAUSE TO BE

MADE AND KEPT A RECORD OF ALL PROCEEDINGS HELD AT PUBLIC

MEETINGS OF THE COMMISSION. A VERBATIM TRANSCRIPT OF THOSE

PROCEEDINGS SHALL BE PREPARED BY THE COMMISSION UPON THE REQUEST

OF ANY PERSON AND THE PAYMENT BY THAT PERSON OF THE COSTS OF

PREPARATION.

(M) PUBLIC RECORDS.--THE COMMISSION SHALL ANNUALLY POST ON

ITS INTERNET WEBSITE A LIST OF ALL THE ITEMIZED EXPENSES OF

EMPLOYEES AND COMMISSIONERS THAT WERE OR ARE TO BE REIMBURSED

FROM THE STATE RACING FUND. THE LIST SHALL IDENTIFY THE NATURE

OF THE EXPENSE, THE EMPLOYEE, MEMBER OR THE AGENCY AND EMPLOYEE

OF THE AGENCY TO WHICH AN EXPENSE IS ATTRIBUTABLE. BY OCTOBER 1

OF EACH YEAR, A FINAL REPORT OF ALL EXPENSES DESCRIBED IN THIS

SUBSECTION FOR THE PRECEDING FISCAL YEAR SHALL BE POSTED ON THE

COMMISSION'S INTERNET WEBSITE AND SHALL BE SUBMITTED TO THE

APPROPRIATIONS COMMITTEE OF THE SENATE, THE AGRICULTURE AND

RURAL AFFAIRS COMMITTEE OF THE SENATE, THE APPROPRIATIONS

COMMITTEE OF THE HOUSE OF REPRESENTATIVES AND THE AGRICULTURE

AND RURAL AFFAIRS COMMITTEE OF THE HOUSE OF REPRESENTATIVES.

INFORMATION POSTED ON THE INTERNET WEBSITE PURSUANT TO THIS

SUBSECTION SHALL BE FINANCIAL RECORDS FOR THE PURPOSES OF AND

SUBJECT TO REDACTION UNDER THE RIGHT-TO-KNOW LAW.

(N) REIMBURSEMENT.--THE DEPARTMENT OF AGRICULTURE'S

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PROVISION OF SHARED ADMINISTRATIVE SERVICES, SHARED STAFF AND

SHARED FACILITIES TO THE COMMISSION MUST BE REIMBURSED FROM THE

STATE RACING FUND AND SHALL BE LIMITED TO ACTUAL COSTS OF

PROVIDING THE SERVICES, STAFF AND FACILITIES, INCLUDING

SALARIES, BENEFITS AND EXPENSES OF EMPLOYEES PROVIDING THE

SHARED ADMINISTRATIVE SERVICES. THE DEPARTMENT OF AGRICULTURE

MUST RETAIN RECORDS REGARDING ADMINISTRATIVE SHARED SERVICES

PROVIDED TO THE COMMISSION BY A DEPARTMENT OF AGRICULTURE'S

EMPLOYEE.

§ 9312. ADDITIONAL POWERS OF COMMISSION.

THE COMMISSION SHALL REGULATE HORSE RACING AT WHICH PARI-

MUTUEL WAGERING IS CONDUCTED AND APPROVE THE NUMBER OF RACING

DAYS ALLOCATED TO EACH LICENSED RACING ENTITY. IN ADDITION TO

ANY OTHER POWERS OF THE COMMISSION:

(1) THE COMMISSION SHALL PROMULGATE REGULATIONS

REGARDING MEDICATION RULES AS REQUIRED UNDER SUBCHAPTER E

(RELATING TO MEDICATION RULES AND ENFORCEMENT PROVISIONS).

(2) THE FOLLOWING SHALL APPLY:

(I) THE COMMISSION SHALL REQUIRE AN APPLICANT UNDER

THIS CHAPTER TO SUBMIT TO FINGERPRINTING FOR A REPORT OF

FEDERAL CRIMINAL HISTORY RECORD INFORMATION.

(II) THE APPLICANT MUST SUBMIT A FULL SET OF

FINGERPRINTS TO THE PENNSYLVANIA STATE POLICE OR THE

PENNSYLVANIA STATE POLICE'S AUTHORIZED AGENT FOR THE

PURPOSE OR A RECORD CHECK. THE PENNSYLVANIA STATE POLICE

OR THE PENNSYLVANIA STATE POLICE'S AUTHORIZED AGENT MUST

THEN SUBMIT THE FINGERPRINTS TO THE FEDERAL BUREAU OF

INVESTIGATION FOR THE PURPOSE OF VERIFYING THE IDENTITY

OF THE APPLICANT AND OBTAINING A CURRENT RECORD OF ANY

CRIMINAL ARRESTS AND CONVICTIONS.

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(III) THE COMMISSION SHALL CONSIDER INFORMATION

OBTAINED PURSUANT TO THIS PARAGRAPH FOR THE PURPOSE OF

SCREENING APPLICANTS FOR FITNESS FOR LICENSURE IN

ACCORDANCE WITH THE PROVISIONS OF THIS CHAPTER.

(IV) NATIONAL CRIMINAL HISTORY RECORD INFORMATION

RECEIVED BY THE COMMISSION SHALL BE HANDLED AND

MAINTAINED IN ACCORDANCE WITH FEDERAL BUREAU OF

INVESTIGATION POLICY.

(V) FINGERPRINTS OBTAINED UNDER THIS PARAGRAPH MAY

BE MAINTAINED BY THE COMMISSION AND PENNSYLVANIA STATE

POLICE TO ENFORCE THIS CHAPTER AND FOR GENERAL LAW

ENFORCEMENT PURPOSES.

(VI) IN ADDITION TO ANY OTHER FEE OR COST ASSESSED

BY THE COMMISSION, AN APPLICANT MUST PAY FOR THE COST OF

THE FINGERPRINT PROCESS.

(VII) THE COMMISSION MAY EXEMPT APPLICANTS FOR

POSITIONS NOT RELATED TO THE CARE OR TRAINING OF HORSES,

RACING, WAGERING, SECURITY OR THE MANAGEMENT OF A

LICENSED RACING ENTITY, FROM THE PROVISIONS OF THIS

CHAPTER.

(3) WITHIN 90 DAYS OF THE EFFECTIVE DATE OF THIS

SECTION, THE COMMISSION MUST ADOPT AND PUBLISH A

COMPREHENSIVE FEE SCHEDULE IN THE PENNSYLVANIA BULLETIN. TWO

YEARS FOLLOWING THE EFFECTIVE DATE OF THIS SECTION, THE

COMMISSION MAY ADOPT REGULATIONS TO ANNUALLY INCREASE ANY

FEE, CHARGE OR COST AUTHORIZED UNDER THIS CHAPTER.

(4) THE COMMISSION OR DESIGNATED EMPLOYEE OF THE

COMMISSION SHALL HAVE THE POWER TO ADMINISTER OATHS AND

EXAMINE WITNESSES AND MAY ISSUE SUBPOENAS TO COMPEL

ATTENDANCE OF WITNESSES AND PRODUCTION OF ALL RELEVANT AND

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