Assembly Bill A2207

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

                                  2207

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 15, 2015
                               ___________

Introduced  by  M. of A. GUNTHER, ROBERTS -- Multi-Sponsored by -- M. of
  A. COOK -- read once and referred to the Committee on Ways and Means

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 1 of part
BB of chapter 59 of the laws of 2014, 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,  and  except  for  a  vendor
track  located west of State Route 14 from Sodus Point to the Pennsylva-
nia border within New York, each track operator  shall  be  required  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04513-01-5
              

A. 2207                             2

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 years ending before
April first, two thousand [fifteen] SIXTEEN.  Any amount attributable to
a capital expenditure  approved  prior  to  April  first,  two  thousand
[fifteen] SIXTEEN and completed before April first, two thousand [seven-
teen]  EIGHTEEN;  or  approved prior to April first, two thousand [nine-
teen] TWENTY and completed before April first, two thousand [twenty-one]
TWENTY-TWO for a vendor track located west of State Route 14 from  Sodus
Point  to  the Pennsylvania border within New York, 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 [fifteen] SIXTEEN and completed prior to April first, two thou-
sand  [seventeen] EIGHTEEN, exceed the vendor track's cumulative capital
award during the five year  period  ending  April  first,  two  thousand
[fifteen]  SIXTEEN,  the  vendor  shall  continue to receive the capital
award after April first,  two  thousand  [fifteen]  SIXTEEN  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 subpara-
graph be eligible for a vendor's capital 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 depreciation of the capital improvement in
accordance with generally accepted accounting  principles,  shall  reim-
burse  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 [fifteen] SIXTEEN shall be
deposited into the state lottery fund for education aid; and
  S 2. This act shall take effect immediately.