Replaces the New York city and Nassau county regional off track betting corporations with the establishment of a reconstituted Metropolitan OTB.
TITLE OF BILL: An act to amend the racing, pari-mutuel wagering and breeding law, in relation to abolishing the New York city and Nassau county regional off-track betting corporations and establishing a reconstituted Metropolitan OTB
PURPOSE: This legislation would formally dissolve the New York City OTB and the Nassau County OTB, merging the two into the "Metropolitan OTB." The Metropolitan OTB would be responsible for all off track betting within the former Nassau and NYC regions.
SUMMARY OF PROVISIONS:
Section 502 of the Racing, Pari-Mutuel wagering and Breeding law is amended to create a new Metropolitan OTB.
JUSTIFICATION: There is an immediate need to take action to rescue NYC OTB from financial insolvency and to take definitive steps to stave off such possible action with Nassau OTB. While there is a real need to effect more efficient and streamlined operations, the systematic malady is with the non-business model that is foisted upon the regional OTBs by the current legislative scheme.
NYC OTB and Nassau County OTB account for contributing nearly a billion dollars to the State's economy. Moreover, over 2,000 people are employed through these two entities. It is estimated that 700 of that work force will lose their jobs if the NYC OTB proceeds to bankruptcy if the current system is not fixed.
LEGISLATIVE HISTORY: 2010: S.6313 - Held in Racing, Gaming & Wagering 2011: S.3683 - Referred to Racing, Gaming & Wagering 2012: S.3683 Referred to Racing, Gaming & Wagering
FISCAL IMPLICATIONS: To be determined.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 2723 2013-2014 Regular Sessions IN SENATE January 23, 2013 ___________Introduced by Sen. ADAMS -- read twice and ordered printed, and when printed to be committed to the Committee on Racing, Gaming and Wager- ing AN ACT to amend the racing, pari-mutuel wagering and breeding law, in relation to abolishing the New York city and Nassau county regional off-track betting corporations and establishing a reconstituted Metro- politan OTB THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivisions 1 and 3 of section 502 of the racing, pari-mu- tuel wagering and breeding law, subdivision 1 as amended by chapter 710 of the laws of 1990, are amended to read as follows: 1. A regional off-track betting corporation is hereby established for each region, except the New York city
[region]AND NASSAU COUNTY REGIONS for which [the New York city]A RECONSTITUTED NEW YORK CITY-NASSAU COUN- TY off-track betting corporation (HEREINAFTER, THE METROPOLITAN OTB), IS HEREBY established pursuant to and subject to article six of this chap- ter AND shall constitute the regional corporation and such article six shall govern such [New York city]RECONSTITUTED NEW YORK CITY-NASSAU COUNTY off-track betting corporation. Each regional corporation shall be a body corporate and politic constituting a public benefit corporation. Each corporation shall be administered by a board of directors consist- ing of two members from each participating county containing a city of over one hundred fifty thousand in population, according to the last federal census, and one member from each other participating county. Notwithstanding any other provision of law to the contrary, the members shall be appointed by the county governing body, and may, at the discretion of such governing body of counties which have a population of less than two hundred thousand, include sitting members of such govern- ing body. A member of a governing body who is appointed a director after July first, nineteen hundred ninety shall not be compensated by theEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD05589-01-3 S. 2723 2
regional corporation; provided, however, that the mayor of a city of over one hundred fifty thousand that has elected to participate in the management of a corporation pursuant to subdivision two of this section shall, with the approval of the city's legislative body, appoint one of the members to which the county containing such city is entitled. In the case of the corporation established for the Suffolk region
[and Nassau region], the board of directors of each corporation shall consist of three members appointed by the governing body of [each]SUCH county, not more than two of whom shall be members of the same political party. IN THE CASE OF THE METROPOLITAN OTB, THE BOARD OF DIRECTORS SHALL CONSIST OF FIVE MEMBERS, TWO APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE, TWO APPOINTED BY THE SPEAKER OF THE ASSEMBLY, AND ONE APPOINTED BY THE GOVERNOR, NOT MORE THAN THREE OF WHOM SHALL BE MEMBERS OF THE SAME POLI- TICAL PARTY. Each director shall serve at the pleasure of the governing body or mayor appointing him, as the case may be. A chairman shall be elected by the members to serve a term of one year. 3. Upon the passage of enabling legislation by the governing body of not less than three counties within a region representing not less than thirty percent of the population of such region, as determined by the last federal census, or in the case of the Suffolk region, upon the passage of enabling legislation by the governing body of Suffolk county, or in the case of the [Nassau region]METROPOLITAN OTB, upon the [passage of enabling legislation by the governing body of Nassau county]ENACTMENT INTO STATE LAW OF ENABLING LEGISLATION, or in the case of the Mid-Hudson region upon the passage of enabling legislation by the governing body of the county of Westchester and of the governing body of one other county in such region, and following the appointment of members of the board of directors, such corporation shall file with the secretary of state and with the state racing and wagering board a certificate setting forth: a. The date of passage of the enabling legislation; b. The name of the agency, which shall be the name of the region followed by the words "regional off-track betting corporation"; and c. The names of the members of the board of directors and the chair- man. S 2. This act shall take effect immediately.