Extends certain provisions relating to capital awards to vendor tracks.
Ayes (7): Bonacic, Griffo, Hannon, Nozzolio, Ranzenhofer, Addabbo, Stewart-Cousins
Ayes W/R (1): Adams
Excused (2): McDonald, Huntley
Ayes (34): DeFrancisco, Johnson, Alesi, Bonacic, Flanagan, Fuschillo, Golden, Griffo, Hannon, Lanza, Larkin, LaValle, Little, Marcellino, Nozzolio, Robach, Saland, Seward, Young, Krueger, Breslin, Diaz, Dilan, Duane, Gianaris, Montgomery, Oppenheimer, Parker, Peralta, Perkins, Rivera, Stavisky, Stewart-Cousins, Squadron
Excused (1): Farley
Ayes (59): Adams, Addabbo, Alesi, Avella, Ball, Bonacic, Breslin, Carlucci, DeFrancisco, Diaz, Dilan, Duane, Farley, Flanagan, Fuschillo, Gallivan, Gianaris, Golden, Griffo, Grisanti, Hannon, Hassell-Thomps, Johnson, Kennedy, Klein, Lanza, Larkin, LaValle, Libous, Little, Marcellino, Martins, Maziarz, McDonald, Montgomery, Nozzolio, O'Mara, Oppenheimer, Parker, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Saland, Sampson, Savino, Serrano, Seward, Skelos, Smith, Squadron, Stavisky, Stewart-Cousin, Storobin, Valesky, Young, Zeldin
Excused (3): Espaillat, Huntley, Krueger
TITLE OF BILL: An act to amend the tax law, in relation to capital awards to vendor tracks
PURPOSE OR GENERAL IDEA OF BILL: To extend for one year the ability of vendor tracks to carryover the unused portion of their capital award from one year into subsequent years and to extend the deadline for submission and completion of projects which would qualify for the vendor's capital award.
SUMMARY OF SPECIFIC PROVISIONS: Section 1. Amends clause (H) of subparagraph (ii) of paragraph 1 of subdivision b of section 1612 of the tax law to extend for one year the ability of vendor tracks (except for Aqueduct Racetrack) to carryover the unused portion of their capital award from one year into subsequent years. It also extends by one year the deadline for submission and completion of projects which would qualify for the vendor's capital award.
Section 2. Effective date.
JUSTIFICATION: Currently there is significant movement in the area of gaming policy in New York State and a constitutional amendment to allow full casino gaming may go before the voters of New York in November of 2013. This one year extender would give vendor tracks the ability to see the resolution of this issue before being locked into capital award projects which may become moot or even counterproductive depending on the direction of New York State gaming policy.
PRIOR LEGISLATIVE HISTORY: None.
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE: This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 7049 IN SENATE April 25, 2012 ___________Introduced by Sen. BONACIC -- 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 tax law, in relation to capital awards to vendor tracks THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Clause (H) of subparagraph (ii) of paragraph 1 of subdivi- sion b of section 1612 of the tax law, as amended by section 6 of part K of chapter 57 of the laws of 2010, is amended to read as follows: (H) notwithstanding clauses (A), (B), (C), (D), (E), (F) and (G) of this subparagraph, the track operator of a vendor track shall be eligi- ble for a vendor's capital award of up to four percent of the total revenue wagered at the vendor track after payout for prizes pursuant to this chapter, which shall be used exclusively for capital project investments to improve the facilities of the vendor track which promote or encourage increased attendance at the video lottery gaming facility including, but not limited to hotels, other lodging facilities, enter- tainment facilities, retail facilities, dining facilities, events arenas, parking garages and other improvements that enhance facility amenities; provided that such capital investments shall be approved by the division, in consultation with the state racing and wagering board, and that such vendor track demonstrates that such capital expenditures will increase patronage at such vendor track's facilities and increase the amount of revenue generated to support state education programs. The annual amount of such vendor's capital awards that a vendor track shall be eligible to receive shall be limited to two million five hundred thousand dollars, except for Aqueduct racetrack, for which there shall be no vendor's capital awards. Except for tracks having less than one thousand one hundred video gaming machines, each track operator shall be required to co-invest an amount of capital expenditure equal to its cumulative vendor's capital award. For all tracks, except for Aqueduct racetrack, the amount of any vendor's capital award that is not used during any one year period may be carried over into subsequent yearsEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD15440-01-2 S. 7049 2
ending before April first, two thousand
[thirteen]FOURTEEN. Any amount attributable to a capital expenditure approved prior to April first, two thousand [thirteen]FOURTEEN and completed before April first, two thou- sand [fifteen]SIXTEEN shall be eligible to receive the vendor's capital award. In the event that a vendor track's capital expenditures, approved by the division prior to April first, two thousand [thirteen]FOURTEEN and completed prior to April first, two thousand [fifteen]SIXTEEN, exceed the vendor track's cumulative capital award during the five year period ending April first, two thousand [thirteen]FOURTEEN, the vendor shall continue to receive the capital award after April first, two thou- sand [thirteen]FOURTEEN until such approved capital expenditures are paid to the vendor track subject to any required co-investment. In no event shall any vendor track that receives a vendor fee pursuant to clause (F) or (G) of this subparagraph be eligible for a vendor's capi- tal award under this section. Any operator of a vendor track which has received a vendor's capital award, choosing to divest the capital improvement toward which the award was applied, prior to the full depre- ciation of the capital improvement in accordance with generally accepted accounting principles, shall reimburse the state in amounts equal to the total of any such awards. Any capital award not approved for a capital expenditure at a video lottery gaming facility by April first, two thou- sand [thirteen]FOURTEEN shall be deposited into the state lottery fund for education aid; and S 2. This act shall take effect immediately.