CHAPTER 156

AN ACT TO AMEND CHAPTER 5, TITLE 28, DELAWARE CODE, RELATING TO HARNESS RACING.

Be it enacted by the General Assembly of the State of Delaware:

Section 1. § 555, Title 28, Delaware Code, is amended to read:

§ 555. Tax on pari-mutuel and totalizator pools; special fund

(a) Every person engaged in the business of conducting a harness racing meet under this chapter shall pay as a tax to this state 5 per cent of the total contributions to all pari-mutuel and totalizator pools conducted or made on any and every race track licensed under this chapter, and on every race at such track. The tax shall be paid by certified check and shall be transmitted by the licensee to the Commission. If the Commission finds it correct, it shall transmit the check to the State Treasurer.

(a) The State Treasurer shall deposit the monies received pursuant to this section in the General Fund of this state except that an amount equal to 1/2 of one per cent of all contributions to all pari-mutuel and totalizator pools conducted or made on any and every race track licensed under this chapter and on every race at such track, shall be deposited to a special fund called "The Delaware Standardbred Development Fund" which shall be administered pursuant to subchapter V of this chapter.

Section 2. Chapter 5, Title 28, Delaware Code, is amended by adding a new subchapter V to read:

SUBCHAPTER V. DELAWARE STANDARDBRED

DEVELOPMENT FUND

§ 561. Board of Trustees

The Governor shall appoint seven (7) members to the Board of Trustees for a term of four (4) years. This Board will consist of the following: one person from each county who represents a holder of a pari-mutuel license in that county, one

person who is a recognized breeder of Standardbred horses in this state, and three persons, one from each county who are members of a recognized Standardbred Horsemen's Association. Four of the members of the Board of Trustees shall be members of one of the 2 major, political parties and the other 3 members shall be members of the other political party.

§ 562. Definitions

As used in this subchapter:

(a) "Horse", "stallion", "mare", or 'foal" means horses of the Standardbred breed.

(b) "Accredited Delaware Standardbred Horse" means a horse conceived in this state and born in this state which is:

(1) Born of a mare that is residing in this state at the time of such conception, remains continuously in the state through the date on which such horse is born, and is registered as required by the rules of the Board of Trustees; and

(2) Conceived by a stallion that is residing in this state from the first day of February to the first day of August of the year in which such horse is conceived, stands for breeding purposes only in this state in the year in which such horse is conceived, and is registered as required by the rules of the Board of Trustees.

(c) "Delaware conceived and foaled horse" means a horse born in this state after December 31, 1967 of a mare bred in this state and sired by a stallion standing for breeding purposes in this state at the time of the conception of such horse and not standing for such purposes at any place outside the state during the calendar year in which such horse is conceived, and which horse is registered as required by the rules of the Board of Trustees.

(d) "Delaware foaled horse" means a horse born after December 31, 1967, of a mare which enters this state on or before the fifteenth day of July of the year in which the horse is conceived and remains continuously in this state until the horse is born, which horse is registered as required by the rules of the Board of Trustees.

(e) 'Delaware owned horse" means a horse whose owner is a Delaware owner as defined in the rules of the Board of Trustees,

§ 563. Delaware Standardbred Development Fund

There is created in the State Treasury a special Delaware Standardbred Development Fund, hereinafter referred to as "Fund", which shall consist of monies deposited thereto pursuant to §555 of this title.

§ 564. Use of the fund

(a) The Board of Trustees shall use the Fund to promote Delaware bred harness horse races and*o provide purses for such races for horses in the following order of preference, so that the funds will be used for races for a lower preferenced class of horses when sufficient races for a higher preferenced class:

(1) Accredited Delaware Standardbred horses;

(2) Delaware conceived and foaled horses;

(3) Delaware foaled horses ;

(4) Delaware owned horses.

(b) Such races shall be held on such conditions as the Board of Trustees may, in its sole discretion, determine. The Board of Trustees may combine any of the above classes of horses in one race with preference given to horses of the higher preferenced class. No horse shall compete in any race for which monies from the Fund are used for purse purposes unless such horse is registered as required by the rules of the Board of Trustees. In no event shall the Board of Trustees require an entry fee in excess of $100 for such races. In no event shall the age of any horse or horses exceed 4 years old.

§ 565. Scheduling of races

Each holder of a license to conduct a harness racing meet shall schedule Delaware bred harness horse races promoted by the Board of Trustees in accordance with the direction of the Board of Trustees, but the licensee shall have the absolute right and uncontrolled discretion to fix the date or dates and the time or position on its daily racing programs at which such races

shall be held and to determine whether or not such races shall be wagering or non-wagering races.

§ 566. Location of races

At least 20 per cent of the total purse money provided by the Board of Trustees annually for Delaware bred harness horse races, as authorized by § 564 of this title, shall be allocated for the special races required by this subchapter in each county of the state.

§ 567. Rules of the Board of Trustees

The Board of Trustees shall implement this subchapter by the promulgation of such rules as it finds necessary or desirable including rules relating to the registration of horses and the qualification of owners as Delaware owners. Such rules may include such nominating and stake fees as the Board of Trustees determines is appropriate.

§ 568. Budget procedures

Procedures for the use of The Delaware Standardbred Development Fund by the Board of Trustees, as authorized in § 564 of this title, shall be established by the Budget Director.

§ 569. Advertising budget

Advertising for The Delaware Standardbred Development Fund shall not exceed more than 10 per cent of the annual income of the Fund.

§ 0. Operating budget

The total operating budget of the Delaware Standardbred Development Fund, not including advertising, shall not exceed more than 10 per cent of the annual income of the Fund.

Section 3. The provisions of this act shall become effective 30 days after approval by the Governor.

Approved December 26, 1967.