Enrolled House Bill (H)

Authored by

DIGEST

Gaming. Authorizes advance deposit wagering on horse racing. Provides that each permit holder shall pay to the Indiana horse racing commission (IHRC) as an advance deposit wagering fee an amount equal to 60% of the net source market fee received by the permit holder from a licensed secondary pari-mutuel organization (SPMO). Provides that the IHRC shall use this revenue as follows: (1) 25% of the revenue shall be used to promote horse racing conducted at the state fair and at county fairs. (2) 75% of the revenue shall be distributed to different horsemen's associations to encourage Indiana horse owners and Gaming. Authorizes advance deposit wagering on horse racing. Provides that each permit holder shall pay to the Indiana horse racing commission (IHRC) as an advance deposit wagering fee an amount equal to 60% of the net source market fee received by the permit holder from a licensed secondary pari-mutuel organization (SPMO). Provides that the IHRC shall use this revenue as follows: (1) 25% of the revenue shall be used to promote horse racing conducted at the state fair and at county fairs. (2) 75% of the revenue shall be distributed to different horsemen's associations to encourage Indiana horse owners and horse trainers to participate at the permit holders' horse racing facilities. Exempts the IHRC from the general procurement law in making certain expenditures. Requires the IHRC to adopt procurement rules applying to expenditures for emergency purchases, drug and forensic testing, expert and specialized witnesses, and equipment and supplies costing less than $10,000 that are necessary for the regulation and administration of horse racing. Specifies that a person must be a licensee to be eligible to receive owner, breeder, or stallion awards. Prohibits certain individuals associated with the IHRC from wagering on gambling games at race track casinos. Changes requirements concerning fingerprinting, sanctions for refusing breath tests, the use of development fund money, payment for certain endoscopic examinations, the analysis of primary blood or urine specimens, and off-premises searches. Requires the IHRC to annually transfer from the gaming integrity fund to the Indiana state board of animal health $75,000 for each racetrack operated by a licensee. (Current law requires the transfer of 15% of the money deposited into the gaming integrity fund.) Provides that a transaction involving the sale of a race horse in a claiming race is exempt from the state gross retail tax. Makes the supplemental wagering tax 3% of a riverboat's adjusted gross receipts (AGR) for a riverboat that has relocated to an inland casino. Provides that the supplemental wagering tax shall be imposed starting the day operations begin at an inland casino. Provides that beginning July 1, 2018, the supplemental wagering tax is based on the riverboat's AGR multiplied by: (1) the total riverboat admissions tax that the riverboat paid beginning July 1, 2016, and ending June 30, 2017; divided by (2) the riverboat's AGR beginning July 1, 2016, and ending June 30, 2017. Provides that admission, wagering, and supplemental wagering taxes must be paid monthly to the department of state revenue (department). Provides that after June 30, 2020, and before July 1, 2021, the amount of wagering taxes that would be distributed to South Bend shall be deposited as being received from all riverboats whose supplemental wagering taxes are over 3.5% and distributed in the same manner as the supplemental wagering tax. Provides that the admission, supplemental wagering, and wagering tax be paid monthly to the department. Provides that after June 30, 2021, the amount of wagering taxes that would be distributed to South Bend shall be deposited in the state general fund. Provides that after June 30, 2021, if the total AGR received by licensees from gambling games under the riverboat gambling law during the preceding state fiscal year is less than the total AGR received from gambling games during the state fiscal year ending June 30, 2020, then: (1) the $33,000,000 of wagering tax set aside for revenue sharing is reduced proportionately; and (2) the $48,000,000 maximum amount of the supplemental distribution is reduced proportionately. Requires the Indiana economic development corporation (IEDC) to transfer 10% of the amount of wagering taxes and historic hotel district community support fees that are distributed to the IEDC to the South Central Indiana Regional Economic Development Corporation for economic development purposes. Provides for an eight year phase out of the state income tax add back for wagering taxes deducted on a taxpayer's federal income tax return. Removes references to "gambling excursions". Repeals flexible scheduling for riverboats. Urges the legislative council to assign gaming related issues to a study committee. ... View more