Relates to capital awards to certain vendor tracks and to the disposition of revenues.
TITLE OF BILL: An act to amend the tax law, in relation to capital awards to certain vendor tracks and disposition of revenues
PURPOSE: The purpose of this bill is to protect the western NY economy by creating a level playing field for existing gaming venues.
SUMMARY OF PROVISIONS:
Sections 1 and 2 of the bill amend various provision of the tax law relating to operations at gaming venues in western NY.
Section 3 of the bill provides authority to the Division of Lottery for certain reimbursements.
Section 4 of the bill is the effective date.
JUSTIFICATION: Western New York Racinos are a strong economic driver for local economies that also provide critical revenue for county governments throughout the region. As such, it is vitally important that the state act to increase vendor fees, capital award allowances, free play allowances and also reimbursement for the costs of rebranding the facilities located in the Finger Lakes, Batavia and Hamburg. These changes will allow Western New York Racinos the kind of economic certainty that is needed to not only retain their current workforce, but also to seriously contemplate expansion. As New York implements changes to its gaming laws and rules and contemplates others, it is important to make sure that a level playing field exists for those gaming venues that already support the local economy. This bill aims to do exactly that.
PRIOR LEGISLATIVE HISTORY: New bill.
FISCAL IMPLICATIONS: To be determined.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 5835--A 2013-2014 Regular Sessions IN SENATE June 17, 2013 ___________Introduced by Sens. MAZIARZ, GALLIVAN, GRISANTI, NOZZOLIO -- read twice and ordered printed, and when printed to be committed to the Committee on Rules -- recommitted to the Committee on Racing, Gaming and Wager- ing in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the tax law, in relation to capital awards to certain vendor tracks and disposition of revenues THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subparagraph (ii) of paragraph 1 of subdivision b of section 1612 of the tax law is amended by adding two new clauses (J) and (K) to read as follows: (J) NOTWITHSTANDING CLAUSES (A), (B), (C), (D) AND (E) OF THIS SUBPAR- AGRAPH, WHEN A VENDOR TRACK IS LOCATED WITHIN ONTARIO, GENESEE OR ERIE COUNTIES, AT A RATE SEVEN AND ONE-HALF (7.5) PERCENTAGE POINTS GREATER THAN THE PERCENTAGE OF THE TOTAL REVENUE WAGERED AT THE VENDOR TRACK WHICH WOULD OTHERWISE BE APPLICABLE AND PAYABLE UNDER CLAUSE (A), (B), (C), (D), OR (E) OF THIS SUBPARAGRAPH. (K) NOTWITHSTANDING CLAUSES (A), (B), (C), (D), (E) AND (J) OF THIS SUBPARAGRAPH, WHEN A VENDOR TRACK IS LOCATED WITHIN ONTARIO OR GENESEE COUNTIES, EFFECTIVE ON THE DATE THAT A NATIVE AMERICAN CASINO OPENS TO THE GENERAL PUBLIC IN ANY OF MONROE, ORLEANS, GENESEE, LIVINGSTON, ONTARIO OR WAYNE COUNTIES, AT A RATE TEN PERCENTAGE POINTS GREATER THAN THE PERCENTAGE OF THE TOTAL REVENUE WAGERED AT THE VENDOR TRACK WHICH WOULD OTHERWISE BE APPLICABLE AND PAYABLE UNDER CLAUSE (A), (B), (C), (D), OR (E) OF THIS SUBPARAGRAPH. S 2. Paragraph 3 of subdivision f of section 1617-a of the tax law, as added by section 2 of part O of chapter 61 of the laws of 2011, is amended to read as follows:EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11567-02-4 S. 5835--A 2
(3) For each video lottery facility, the annual value of the free play allowance credits authorized for use by the operator pursuant to this subdivision shall not exceed an amount equal to ten percent of the total amount wagered on video lottery games after payout of prizes; PROVIDED HOWEVER, THAT THE FREE PLAY ALLOWANCE CREDITS AUTHORIZED FOR USE BY AN OPERATOR IN ONTARIO, GENESEE AND ERIE COUNTIES SHALL NOT EXCEED AN AMOUNT EQUAL TO FIFTEEN PERCENT OF THE TOTAL AMOUNT WAGERED ON VIDEO LOTTERY GAMES AFTER THE PAYOUT OF PRIZES. The division shall establish procedures to assure that free play allowance credits do not exceed such amount. S 3. The division of the lottery is authorized and directed to reim- burse to any vendor track located within the geographic area set forth in paragraph 12(a)(1) of the Nation-State Gaming Compact between the Seneca Nation of Indians and the State of New York executed on August 18, 2002, as amended, the full amount of all documented expenses incurred by such vendor track in removing any use of the word "casino" or "slot machine" from their signage, Internet websites, marketing piec- es and other promotional material, and adopting new alternative business trademarks, trade names and logos which do not make use of the word "casino" or "slot machine". S 4. This act shall take effect immediately.