S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 8211--A

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                               May 7, 2009
                               ___________

Introduced by M. of A. FIELDS -- Multi-Sponsored by -- M. of A. BOYLE --
  read  once  and  referred  to  the Committee on Racing and Wagering --
  recommitted to the Committee on Racing and Wagering in accordance with
  Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
  reprinted as amended and recommitted to said committee

AN ACT to amend the racing, pari-mutuel wagering and  breeding  law  and
  the tax law, in relation to allowing off-track betting corporations in
  the state to host video lottery terminals

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Section 503 of the racing, pari-mutuel wagering and  breed-
ing law is amended by adding a new subdivision 10-a to read as follows:
  10-A.  IN  A REGION IN WHICH NO PARTICIPATING COUNTY CONTAINS EITHER A
THOROUGHBRED OR STANDARDBRED RACE  TRACK  LICENSED  TO  OPERATE  BY  THE
RACING  AND  WAGERING BOARD, TO OPERATE VIDEO LOTTERY GAMING AT A CORPO-
RATION'S FACILITY WHICH IS LICENSED PURSUANT  TO  SECTION  ONE  THOUSAND
EIGHT OR ONE THOUSAND NINE OF THIS CHAPTER;
  S 2. Subparagraph (ii) of paragraph 1 of subdivision b of section 1612
of the tax law, as amended by section 1 of part O-1 of chapter 57 of the
laws  of 2009, clause (G) as amended by chapter 342 of the laws of 2009,
is amended to read as follows:
  (ii) less a vendor's fee the amount of which is to be paid for serving
as a lottery agent to the track operator of a vendor track[:]; AND  LESS
A VENDOR'S FEE TO BE PAID FOR SERVING AS A LOTTERY AGENT TO THE REGIONAL
OFF-TRACK  BETTING  CORPORATION  OPERATOR AT AN AUTHORIZED PARTICIPATING
OFF-TRACK BETTING FACILITY LICENSED PURSUANT TO EITHER SECTION ONE THOU-
SAND EIGHT OR ONE THOUSAND NINE OF THE RACING, PARI-MUTUEL WAGERING  AND
BREEDING LAW.
  (A)  having fewer than one thousand one hundred video gaming machines,
at a rate of thirty-six percent for  the  first  fifty  million  dollars
annually, twenty-nine percent for the next hundred million dollars annu-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10036-04-0
              

A. 8211--A                          2

ally,  and twenty-six percent thereafter of the total revenue wagered at
the vendor track after payout for prizes pursuant to this chapter;
  (B)  having one thousand one hundred or more video gaming machines, at
a rate of thirty-two percent of the total revenue wagered at the  vendor
track  after payout for prizes pursuant to this chapter, except for such
facility located in the county of Westchester, in which  case  the  rate
shall  be thirty-four percent of the total revenue wagered at the vendor
track after payout for prizes pursuant to this chapter, for a period  of
twenty-four  months effective beginning April first, two thousand eight;
provided, however, that in the event that the vendor  track  located  in
Westchester  county  completes a successful restructuring prior to March
thirty-first, two thousand ten, the vendor fee will be reduced to  thir-
ty-two  percent  ninety  days following the completion of the successful
restructuring. A successful restructuring is defined as a  restructuring
of  the  existing debt obligations of such vendor track located in West-
chester county that meets the following two conditions:
  (i) it requires no more than  twenty  million  dollars  of  additional
equity invested in such track; and
  (ii) results in average net interest costs of less than nine percent.
  Notwithstanding  the foregoing, the vendor fee at such track OR VENDOR
OFF-TRACK BETTING FACILITY  will  become  thirty-one  percent  effective
April  first,  two  thousand  ten  and remain at that level for a period
equal to two times the period of time (measured in days) that the vendor
fee was thirty-four percent or until March  thirty-first,  two  thousand
twelve,  whichever  is  later.  Notwithstanding the foregoing, not later
than April first, two thousand twelve, the vendor fee shall become thir-
ty-two percent and remain at that level thereafter; and except for Aque-
duct racetrack, in which case  the  vendor  fee  shall  be  thirty-eight
percent  of  the  total revenue wagered at the vendor track after payout
for prizes pursuant to this chapter;
  (C) notwithstanding clauses (A) and (B) of this subparagraph, when the
vendor track OR VENDOR OFF-TRACK BETTING FACILITY is located in an  area
with  a population of less than one million within the forty mile radius
around such track, at a rate  of  forty  percent  for  the  first  fifty
million  dollars  annually,  twenty-nine  percent  for  the next hundred
million dollars annually, and twenty-six percent thereafter of the total
revenue wagered at the vendor track OR VENDOR OFF-TRACK BETTING FACILITY
after payout for prizes pursuant to this chapter;
  (D) notwithstanding clauses (A), (B) and  (C)  of  this  subparagraph,
when  the  vendor  track OR VENDOR OFF-TRACK BETTING FACILITY is located
within fifteen miles of a Native American class III gaming facility at a
rate of forty-two percent of the total revenue  wagered  at  the  vendor
track after payout for prizes pursuant to this chapter;
  (E)  notwithstanding  clauses  (A),  (B), (C) and (D) of this subpara-
graph, when a Native American class III gaming facility is  established,
after  the  effective date of this subparagraph, within fifteen miles of
the vendor track OR VENDOR OFF-TRACK BETTING  FACILITY,  at  a  rate  of
forty-two  percent  of the total revenue wagered after payout for prizes
pursuant to this chapter;
  (E-1) for purposes of this subdivision, the term  "class  III  gaming"
shall have the meaning defined in 25 U.S.C. S 2703(8).
  (F) notwithstanding clauses (A), (B), (C), (D) and (E) of this subpar-
agraph,  when  a  vendor track, is located in Sullivan county and within
sixty miles from any gaming facility in a contiguous state  such  vendor
fee  shall, for a period of five years commencing April first, two thou-
sand eight, be at a rate of  forty-two  percent  of  the  total  revenue

A. 8211--A                          3

wagered  at  the  vendor  track after payout for prizes pursuant to this
chapter, after which time such rate shall be as for all tracks in clause
(C) of this subparagraph.
  (G) notwithstanding any other provisions of this section, when no more
than one vendor track located in the town of Thompson in Sullivan county
at  the  site  of the former Concord Resort at which a qualified capital
investment has been made and  no  fewer  than  one  thousand  full-time,
permanent employees have been newly hired, is located in Sullivan county
and  is  within  sixty  miles  from  any gaming facility in a contiguous
state, then for a period of forty years the division shall pay into  the
state  treasury,  to  the  credit  of  the state lottery fund created by
section ninety-two-c of the state finance law the greater of  (i)  twen-
ty-five  percent  of  total  revenue  after payout for prizes for "video
lottery games" or (ii) for the first eight years  of  operation  thirty-
eight million dollars, and beginning in the ninth year of operation such
amount  shall  increase  annually  by  the lesser of the increase in the
consumer price index or two percent plus the division  shall  retain  an
amount  equal  to  all  actual  expenses related to operations, adminis-
tration and procurement of the video lottery terminal  operation  at  no
more  than  one vendor track located in the town of Thompson in Sullivan
county at the site of the former Concord Resort, provided, however, such
amount retained by the division shall not exceed seven percent of  total
revenue  after  payout of prizes. In addition, in the event the division
makes a payment pursuant to subclause (i) of this clause,  the  division
shall  pay  to  the  credit of the state lottery fund created by section
ninety-two-c of the state finance law 11.11 percent  of  the  amount  by
which  total revenue after payout for prizes exceeds two hundred fifteen
million dollars, but in no event shall such payment exceed five  million
dollars.
  The  balance  shall be paid as a vendor's fee to the track operator of
no more than one vendor track located in the town of Thompson in  Sulli-
van  county  at  the  site of the former Concord Resort for serving as a
lottery agent under this chapter.
  Provided, however, that in the case of no more than one  vendor  track
located  in  the  town of Thompson in Sullivan county at the site of the
former Concord Resort with a qualified capital investment, and one thou-
sand full-time, permanent employees as of July first, two thousand elev-
en if at any time  after  three  years  of  opening  operations  of  the
licensed  video  gaming  facility  or  licensed vendor track, the vendor
track experiences an employment shortfall,  then  the  recapture  amount
shall apply, for only such period as the shortfall exists.
  For  the purposes of this section "qualified capital investment" shall
mean an investment of a  minimum  of  six  hundred  million  dollars  as
reflected  by  audited financial statements of which not less than three
hundred million dollars shall be comprised of  equity  and/or  mezzanine
financing  as  an initial investment in a county where twelve percent of
the population is below the federal poverty level  as  measured  by  the
most  recent  Bureau of Census Statistics prior to the qualified capital
investment commencing that results in the construction,  development  or
improvement  of  at  least  one  eighteen  hole  golf  course,  and  the
construction and issuance of certificates of occupancy for hotels, lodg-
ing, spas, dining, retail and entertainment venues, parking garages  and
other  capital  improvements at or adjacent to the licensed video gaming
facility or licensed vendor track which promote or  encourage  increased
attendance at such facilities.

A. 8211--A                          4

  For  the  purposes  of  this  section, "full-time, permanent employee"
shall mean an employee who has worked  at  the  video  gaming  facility,
vendor  track  or related and adjacent facilities for a minimum of thir-
ty-five hours per week for not less than four consecutive weeks and  who
is  entitled to receive the usual and customary fringe benefits extended
to other employees with comparable rank and  duties;  or  two  part-time
employees  who have worked at the video gaming facility, vendor track or
related and adjacent facilities for a combined  minimum  of  thirty-five
hours  per  week  for  not  less than four consecutive weeks and who are
entitled to receive the usual and customary fringe benefits extended  to
other employees with comparable rank and duties.
  For the purpose of this section "employment goal" shall mean one thou-
sand  five  hundred  full-time  permanent employees after three years of
opening operations of the licensed video  gaming  facility  or  licensed
vendor track.
  For  the  purpose  of this section "employment shortfall" shall mean a
level of employment that falls below the employment goal,  as  certified
annually  by  vendor's  certified  accountants  and  the chairman of the
empire state development corporation.
  For the purposes of this section "recapture  amount"  shall  mean  the
difference between the amount of the vendor's fee paid to a vendor track
with  a qualified capital investment, and the vendor fee otherwise paya-
ble to a vendor track pursuant to clause (F) of this subparagraph,  that
is reimbursable by the vendor track to the division for payment into the
state  treasury,  to  the  credit  of  the state lottery fund created by
section ninety-two-c of the state finance  law,  due  to  an  employment
shortfall  pursuant to the following schedule only for the period of the
employment shortfall:
  (i) one hundred percent of the  recapture  amount  if  the  employment
shortfall  is  greater  than  sixty-six  and  two-thirds  percent of the
employment goal;
  (ii) seventy-five percent of the recapture amount  if  the  employment
shortfall  is  greater  than  thirty-three  and one-third percent of the
employment goal;
  (iii) forty-nine and one-half percent of the recapture amount  if  the
employment  shortfall  is  greater than thirty percent of the employment
goal;
  (iv) twenty-two percent of the  recapture  amount  if  the  employment
shortfall is greater than twenty percent of the employment goal;
  (v) eleven percent of the recapture amount if the employment shortfall
is greater than ten percent of the employment goal.
  (H)  notwithstanding  clauses  (A), (B), (C), (D), (E), (F) and (G) of
this subparagraph, the track operator of a  vendor  track  OR  OFF-TRACK
BETTING  OPERATOR  OF  A  VENDOR  OFF-TRACK BETTING CORPORATION shall be
eligible for a vendor's capital award of up to four percent of the total
revenue wagered at the vendor track OR VENDOR OFF-TRACK BETTING FACILITY
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 OR VENDOR OFF-TRACK BETTING FACILITY 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 OR VENDOR OFF-TRACK BETTING  FACILITY  demon-

A. 8211--A                          5

strates  that  such capital expenditures will increase patronage at such
vendor track's OR VENDOR OFF-TRACK BETTING 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  OR  OFF-TRACK  BETTING
FACILITIES  having  less  than  one  thousand  one  hundred video gaming
machines, each track operator OR  OFF-TRACK  BETTING  FACILITY  OPERATOR
shall be required to co-invest an amount of capital expenditure equal to
its  cumulative  vendor's  capital  award.  For  all tracks OR OFF-TRACK
BETTING FACILITIES, 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 years ending  before  April  first,  two
thousand  thirteen.  Any  amount  attributable  to a capital expenditure
approved prior to April  first,  two  thousand  thirteen  and  completed
before  April  first,  two thousand fifteen 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 thou-
sand thirteen and completed prior to April first, two thousand  fifteen,
exceed  the vendor track's cumulative capital award during the five year
period ending April first,  two  thousand  thirteen,  the  vendor  shall
continue  to  receive  the capital award after April first, two thousand
thirteen until such approved capital expenditures are paid to the vendor
track subject to any required  co-investment.  In  no  event  shall  any
vendor track OR VENDOR OFF-TRACK BETTING FACILITY that receives a vendor
fee pursuant to clause (F) or (G) of this subparagraph be eligible for a
vendor's  capital  award  under  this  section. Any operator of a vendor
track OR VENDOR OFF-TRACK BETTING FACILITY which has received a vendor's
capital award, choosing to divest the capital improvement  toward  which
the  award  was  applied,  prior to the full depreciation 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  thousand  thirteen
shall be deposited into the state lottery fund for education aid; and
  S  3.  Subparagraph  (iii) of paragraph 1 and the opening paragraph of
paragraph 2 of subdivision b of section 1612 of the tax law, as  amended
by  section 1 of part O-1 of chapter 57 of the laws of 2009, are amended
to read as follows:
  (iii) less an additional vendor's marketing allowance at a rate of ten
percent for the first one hundred million  dollars  annually  and  eight
percent  thereafter  of the total revenue wagered at the vendor track OR
VENDOR OFF-TRACK BETTING FACILITY after payout for prizes to be used  by
the  vendor track OR VENDOR OFF-TRACK BETTING FACILITY for the marketing
and promotion and associated costs of its  video  lottery  gaming  oper-
ations  and  pari-mutuel  horse  racing  operations, as long as any such
costs associated with pari-mutuel horse racing operations simultaneously
encourage increased attendance at such  vendor's  video  lottery  gaming
facilities, consistent with the customary manner of marketing comparable
operations in the industry and subject to the overall supervision of the
division;  provided,  however,  that  the  additional vendor's marketing
allowance shall not exceed eight percent in any year for any operator of
a racetrack located in the county of Westchester  or  Queens;  provided,
however,  a  vendor  track  OR  VENDOR  OFF-TRACK  BETTING FACILITY that
receives a vendor fee pursuant to clause (G)  of  subparagraph  (ii)  of

A. 8211--A                          6

this  paragraph  shall  not  receive  the  additional vendor's marketing
allowance. In establishing the vendor fee, the division shall ensure the
maximum lottery support for education while also ensuring the  effective
implementation  of  section  sixteen hundred seventeen-a of this article
through the provision of reasonable reimbursements and  compensation  to
vendor  tracks  OR VENDOR OFF-TRACK BETTING FACILITIES for participation
in such program. Within twenty days after any award of  lottery  prizes,
the  division  shall  pay  into the state treasury, to the credit of the
state lottery fund, the balance of all moneys received from the sale  of
all  tickets for the lottery in which such prizes were awarded remaining
after provision for the payment of prizes as herein provided. Any reven-
ues derived from the sale of advertising on  lottery  tickets  shall  be
deposited in the state lottery fund.
  As consideration for the operation of a video lottery gaming facility,
the  division,  shall  cause  the investment in the racing industry of a
portion of the vendor fee received pursuant to  paragraph  one  of  this
subdivision  in  the  manner  set  forth in this subdivision.   With the
exception of ANY VENDOR OFF-TRACK BETTING FACILITY  AND  Aqueduct  race-
track,  each  such  track  shall  dedicate a portion of its vendor fees,
received pursuant to clause (A), (B), (C), (D),  (E),  (F),  or  (G)  of
subparagraph  (ii)  of paragraph one of this subdivision, solely for the
purpose of enhancing purses at such track, in an amount equal  to  eight
and  three-quarters  percent  of the total revenue wagered at the vendor
track after pay out for prizes. In addition, with the exception of Aque-
duct racetrack, one and one-quarter percent of total revenue wagered  at
the  vendor  track after pay out for prizes, received pursuant to clause
(A), (B), (C), (D), (E), (F), or (G) of subparagraph (ii)  of  paragraph
one  of this subdivision, shall be distributed to the appropriate breed-
ing fund for the manner of racing conducted by such track.
  S 4. Subdivision a of section 1617-a of the tax  law,  as  amended  by
section  2  of part O-1 of chapter 57 of the laws of 2009, is amended to
read as follows:
  a. The division of the lottery is hereby authorized to license, pursu-
ant to rules and regulations to be promulgated by the  division  of  the
lottery,  the  operation of video lottery gaming at (1) Aqueduct, Monti-
cello, Yonkers, Finger Lakes, and Vernon Downs  racetracks,  or  at  any
other  racetrack licensed pursuant to article three of the racing, pari-
mutuel wagering and breeding law that are located in a county  or  coun-
ties in which video lottery gaming has been authorized pursuant to local
law,  excluding  the  licensed racetrack commonly referred to in article
three of the racing, pari-mutuel wagering and breeding law as  the  "New
York state exposition" held in Onondaga county and the racetracks of the
non-profit  racing  association  known as Belmont Park racetrack and the
Saratoga thoroughbred racetrack;  AND  (2)  AT  ONE  REGIONAL  OFF-TRACK
BETTING  CORPORATION  FACILITY LICENSED PURSUANT TO SECTION ONE THOUSAND
EIGHT OR ONE THOUSAND NINE  OF  THE  RACING,  PARI-MUTUEL  WAGERING  AND
BREEDING LAW WITHIN ANY REGION IN WHICH NO PARTICIPATING COUNTY CONTAINS
EITHER  A  THOROUGHBRED OR STANDARDBRED RACETRACK LICENSED TO OPERATE BY
THE RACING AND  WAGERING  BOARD.    Such  rules  and  regulations  shall
provide,  as  a  condition  of  licensure,  that  racetracks OR REGIONAL
OFF-TRACK BETTING CORPORATIONS, AS CREATED BY SECTION FIVE  HUNDRED  TWO
OF THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW, to be licensed are
certified  to  be in compliance with all state and local fire and safety
codes, that the division is afforded adequate space, infrastructure, and
amenities consistent with industry standards for such video gaming oper-
ations as found  at  racetracks  in  other  states,  that  racetrack  OR

A. 8211--A                          7

REGIONAL  OFF-TRACK BETTING CORPORATION employees involved in the opera-
tion of video lottery gaming pursuant to this section  are  licensed  by
the  racing  and  wagering board, and such other terms and conditions of
licensure  as the division may establish. Notwithstanding any inconsist-
ent provision of law, video lottery gaming at a  racetrack  OR  REGIONAL
OFF-TRACK  BETTING  CORPORATION pursuant to this section shall be deemed
an approved activity for such racetrack OR  REGIONAL  OFF-TRACK  BETTING
CORPORATION  under  the relevant city, county, town, or village land use
or zoning ordinances, rules, or regulations. No entity licensed  by  the
division  operating  video  lottery  gaming pursuant to this section may
house such gaming activity in a structure  deemed  or  approved  by  the
division  as  "temporary" for a duration of longer than eighteen-months.
Nothing in this section shall prohibit the division  from  licensing  an
entity  to  operate  video  lottery  gaming  at an existing racetrack as
authorized in this subdivision whether or  not  a  different  entity  is
licensed  to conduct horse racing and pari-mutuel wagering at such race-
track pursuant to article two or three of the racing, pari-mutuel wager-
ing and breeding law.
  The division, in consultation with  the  racing  and  wagering  board,
shall  establish  standards  for approval of the temporary and permanent
physical layout and construction of any facility or building devoted  to
a  video lottery gaming operation. In reviewing such application for the
construction or reconstruction of facilities related or devoted  to  the
operation  or  housing of video lottery gaming operations, the division,
in consultation with the racing and wagering board,  shall  ensure  that
such facility:
  (1)  possesses superior consumer amenities and conveniences to encour-
age and attract the patronage of tourists and other visitors from across
the region, state, and nation.
  (2) has adequate motor vehicle parking facilities  to  satisfy  patron
requirements.
  (3)  has a physical layout and location that facilitates access to and
from the horse racing track portion of such facility to encourage patro-
nage of live horse racing events that are conducted at such track.
  S 5. Subdivision a of section 1617-a of the  tax  law,  as  separately
amended  by chapter 286 of the laws of 2008 and section 2 of part O-1 of
chapter 57 of the laws of 2009, is amended to read as follows:
  a. The division of the lottery is hereby authorized to license, pursu-
ant to rules and regulations to be promulgated by the  division  of  the
lottery, the operation of video lottery gaming at [a vendor track pursu-
ant to clause (G) of subparagraph (ii) of paragraph one of subdivision b
of section sixteen hundred twelve of this article.] (1) AQUEDUCT, MONTI-
CELLO,  YONKERS,  FINGER  LAKES,  AND VERNON DOWNS RACETRACKS, OR AT ANY
OTHER RACETRACK LICENSED PURSUANT TO ARTICLE THREE OF THE RACING,  PARI-
MUTUEL  WAGERING  AND BREEDING LAW THAT ARE LOCATED IN A COUNTY OR COUN-
TIES IN WHICH VIDEO LOTTERY GAMING HAS BEEN AUTHORIZED PURSUANT TO LOCAL
LAW, EXCLUDING THE LICENSED RACETRACK COMMONLY REFERRED  TO  IN  ARTICLE
THREE  OF  THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW AS THE "NEW
YORK STATE EXPOSITION" HELD IN ONONDAGA COUNTY AND THE RACETRACKS OF THE
NON-PROFIT RACING ASSOCIATION KNOWN AS BELMONT PARK  RACETRACK  AND  THE
SARATOGA  THOROUGHBRED  RACETRACK;  AND  (2)  AT  ONE REGIONAL OFF-TRACK
BETTING CORPORATION FACILITY LICENSED PURSUANT TO SECTION  ONE  THOUSAND
EIGHT  OR  ONE  THOUSAND  NINE  OF  THE RACING, PARI-MUTUEL WAGERING AND
BREEDING LAW WITHIN ANY REGION IN WHICH NO PARTICIPATING COUNTY CONTAINS
EITHER A THOROUGHBRED OR STANDARDBRED RACETRACK LICENSED TO  OPERATE  BY
THE RACING AND WAGERING BOARD. Such rules and regulations shall provide,

A. 8211--A                          8

as  a  condition  of  licensure,  that  such  [racetrack]  RACETRACKS OR
REGIONAL OFF-TRACK BETTING CORPORATIONS,  AS  CREATED  BY  SECTION  FIVE
HUNDRED  TWO OF THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW, TO BE
LICENSED ARE certified to be in compliance with all state and local fire
and  safety codes, that the division is afforded adequate space, infras-
tructure, and amenities consistent  with  industry  standards  for  such
video  gaming  operations  as  found at racetracks in other states, that
racetrack OR REGIONAL OFF-TRACK BETTING CORPORATION  employees  involved
in  the  operation  of video lottery gaming pursuant to this section are
licensed by the racing and wagering board,  and  such  other  terms  and
conditions  of  licensure as the division may establish. Notwithstanding
any inconsistent provision of law, video lottery gaming at  a  racetrack
OR REGIONAL OFF-TRACK BETTING CORPORATION pursuant to this section shall
be  deemed an approved activity for such racetrack OR REGIONAL OFF-TRACK
BETTING CORPORATION under the relevant city, county,  town,  or  village
land  use  or  zoning  ordinances,  rules,  or  regulations.   No entity
licensed by the division operating video lottery gaming pursuant to this
section may house such gaming activity in a structure deemed or approved
by the division as "temporary" for a duration of longer  than  eighteen-
months. Nothing in this section shall prohibit the division from licens-
ing  an  entity to operate video lottery gaming at an existing racetrack
as authorized in this subdivision whether or not a different  entity  is
licensed  to conduct horse racing and pari-mutuel wagering at such race-
track pursuant to article two or three of the racing, pari-mutuel wager-
ing and breeding law.
  The division, in consultation with  the  racing  and  wagering  board,
shall  establish  standards  for approval of the temporary and permanent
physical layout and construction of any facility or building devoted  to
a  video lottery gaming operation. In reviewing such application for the
construction or reconstruction of facilities related or devoted  to  the
operation  or  housing of video lottery gaming operations, the division,
in consultation with the racing and wagering board,  shall  ensure  that
such facility:
  (1)  possesses superior consumer amenities and conveniences to encour-
age and attract the patronage of tourists and other visitors from across
the region, state, and nation.
  (2) has adequate motor vehicle parking facilities  to  satisfy  patron
requirements.
  (3)  has a physical layout and location that facilitates access to and
from the horse racing track portion of such facility to encourage patro-
nage of live horse racing events that are conducted at such track.
  The division shall not approve the construction or alteration  of  any
facility  or  building  devoted  to  the  operation  or housing of video
lottery gaming until the person or entity selected to operate such video
lottery gaming shall have submitted to the division a statement  of  the
location  of  the proposed facility or building, together with a plan of
such racetrack, and plans of all existing buildings, seating stands  and
other  structures  on the grounds of such racetrack, in such form as the
division may prescribe, and such plans shall have been approved  by  the
division.  The division, at the expense of the applicant, may order such
engineering examination thereof as the division may deem necessary. Such
construction or alteration may be made only with  the  approval  of  the
division  and  after examination and inspection of the plans thereof and
the issuance of a permit therefor by the division.
  S 6. This act shall take effect the first of January  next  succeeding
the  date  on  which it shall have become a law, provided, however, that

A. 8211--A                          9

the amendments to subdivision a of section 1617-a of the tax law made by
section four of this act shall not affect the repeal of such section and
shall be deemed repealed therewith; provided however, the amendments  to
subdivision  a  of section 1617-a of the tax law made by section five of
this act shall take effect on the same date and in the  same  manner  as
chapter  286 of the laws of 2008 takes effect; and provided further that
the amendments to subdivision a of section 1617-a of the tax law made by
section five of this act shall be subject to the repeal of such subdivi-
sion pursuant to section 4 of part C of chapter 383 of the laws of 2001,
as amended by chapter 286 of the laws of 2008.