senate Bill S2723

2013-2014 Legislative Session

Abolishes the New York city and Nassau county regional off-track betting corporations and establishes a reconstituted Metropolitan OTB

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Jan 23, 2013 referred to racing, gaming and wagering

S2723 - Bill Details

Current Committee:
Law Section:
Racing, Pari-Mutuel Wagering and Breeding Law
Laws Affected:
Amd ยง502, RWB L
Versions Introduced in Previous Legislative Sessions:
2011-2012: S3683
2009-2010: S6313

S2723 - Bill Texts

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Replaces the New York city and Nassau county regional off track betting corporations with the establishment of a reconstituted Metropolitan OTB.

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BILL NUMBER:S2723

TITLE OF BILL: An act to amend the racing, pari-mutuel wagering and
breeding law, in relation to abolishing the New York city and Nassau
county regional off-track betting corporations and establishing a recon-
stituted Metropolitan OTB

PURPOSE: This legislation would formally dissolve the New York City OTB
and the Nassau County OTB, merging the two into the "Metropolitan OTB."
The Metropolitan OTB would be responsible for all off track betting
within the former Nassau and NYC regions.

SUMMARY OF PROVISIONS:

Section 502 of the Racing, Pari-Mutuel wagering and Breeding law is
amended to create a new Metropolitan OTB.

JUSTIFICATION: There is an immediate need to take action to rescue NYC
OTB from financial insolvency and to take definitive steps to stave off
such possible action with Nassau OTB. While there is a real need to
effect more efficient and streamlined operations, the systematic malady
is with the non-business model that is foisted upon the regional OTBs by
the current legislative scheme.

NYC OTB and Nassau County OTB account for contributing nearly a billion
dollars to the State's economy. Moreover, over 2,000 people are employed
through these two entities. It is estimated that 700 of that work force
will lose their jobs if the NYC OTB proceeds to bankruptcy if the
current system is not fixed.

LEGISLATIVE HISTORY: 2010: S.6313 - Held in Racing, Gaming & Wagering
2011: S.3683 - Referred to Racing, Gaming & Wagering 2012: S.3683 -
Referred to Racing, Gaming & Wagering

FISCAL IMPLICATIONS: To be determined.

EFFECTIVE DATE: This act shall take effect immediately.

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

                                  2723

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 23, 2013
                               ___________

Introduced  by  Sen.  ADAMS  -- 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 racing, pari-mutuel wagering and breeding law, in
  relation to abolishing the New York city and  Nassau  county  regional
  off-track betting corporations and establishing a reconstituted Metro-
  politan OTB

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

  Section 1. Subdivisions 1 and 3 of section 502 of the racing, pari-mu-
tuel wagering and breeding law, subdivision 1 as amended by chapter  710
of the laws of 1990, are amended to read as follows:
  1.  A regional off-track betting corporation is hereby established for
each region, except the New York city [region] AND NASSAU COUNTY REGIONS
for which [the New York city] A RECONSTITUTED NEW YORK CITY-NASSAU COUN-
TY off-track betting corporation (HEREINAFTER, THE METROPOLITAN OTB), IS
HEREBY established pursuant to and subject to article six of this  chap-
ter  AND  shall constitute the regional corporation and such article six
shall govern such [New York city]  RECONSTITUTED  NEW  YORK  CITY-NASSAU
COUNTY off-track betting corporation. Each regional corporation shall be
a  body corporate and politic constituting a public benefit corporation.
Each corporation shall be administered by a board of directors  consist-
ing  of  two members from each participating county containing a city of
over one hundred fifty thousand in population,  according  to  the  last
federal  census,  and  one  member from each other participating county.
Notwithstanding any other provision of law to the contrary, the  members
shall  be  appointed  by  the  county  governing  body,  and may, at the
discretion of such governing body of counties which have a population of
less than two hundred thousand, include sitting members of such  govern-
ing body. A member of a governing body who is appointed a director after
July  first,  nineteen  hundred  ninety  shall not be compensated by the

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05589-01-3

S. 2723                             2

regional corporation; provided, however, that the mayor  of  a  city  of
over  one  hundred fifty thousand that has elected to participate in the
management of a corporation pursuant to subdivision two of this  section
shall,  with the approval of the city's legislative body, appoint one of
the members to which the county containing such city is entitled. In the
case of the corporation established for the Suffolk region  [and  Nassau
region],  the  board  of  directors of each corporation shall consist of
three members appointed by the governing body of [each] SUCH county, not
more than two of whom shall be members of the same political  party.  IN
THE  CASE  OF THE METROPOLITAN OTB, THE BOARD OF DIRECTORS SHALL CONSIST
OF FIVE MEMBERS, TWO APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE,
TWO APPOINTED BY THE SPEAKER OF THE ASSEMBLY, AND ONE APPOINTED  BY  THE
GOVERNOR, NOT MORE THAN THREE OF WHOM SHALL BE MEMBERS OF THE SAME POLI-
TICAL  PARTY. Each director shall serve at the pleasure of the governing
body or mayor appointing him, as the case may be. A  chairman  shall  be
elected by the members to serve a term of one year.
  3.  Upon  the passage of enabling legislation by the governing body of
not less than three counties within a region representing not less  than
thirty  percent  of  the population of such region, as determined by the
last federal census, or in the case of  the  Suffolk  region,  upon  the
passage of enabling legislation by the governing body of Suffolk county,
or  in  the  case  of  the  [Nassau  region]  METROPOLITAN OTB, upon the
[passage of enabling legislation by the governing body of Nassau county]
ENACTMENT INTO STATE LAW OF ENABLING LEGISLATION, or in the case of  the
Mid-Hudson  region  upon  the  passage  of  enabling  legislation by the
governing body of the county of Westchester and of the governing body of
one other county in  such  region,  and  following  the  appointment  of
members  of the board of directors, such corporation shall file with the
secretary of state and with  the  state  racing  and  wagering  board  a
certificate setting forth:
  a. The date of passage of the enabling legislation;
  b.  The  name  of  the  agency,  which shall be the name of the region
followed by the words "regional off-track betting corporation"; and
  c. The names of the members of the board of directors and  the  chair-
man.
  S 2. This act shall take effect immediately.

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