S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5640--A
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             February 26, 2025
                                ___________
 
 Introduced  by  Sens. BAILEY, ADDABBO -- read twice and ordered printed,
   and when printed to be committed to the Committee  on  Racing,  Gaming
   and  Wagering -- 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,  in
   relation  to  authorizing  two percent of mobile sports tax revenue be
   used for youth team sports funding
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision  8 of section 1367 of the racing, pari-mutuel
 wagering and breeding law, as added by section 3 of part Y of chapter 59
 of the laws of 2021, is amended to read as follows:
   8. (A) Notwithstanding section  thirteen  hundred  fifty-one  of  this
 article,  mobile  sports  wagering  gross gaming revenue and tax revenue
 shall be excluded from sports wagering  gross  gaming  revenue  and  tax
 revenue.    Mobile sports wagering tax revenue shall be separately main-
 tained and returned to the state for deposit into the state lottery fund
 for education aid except as otherwise provided in this subdivision.  Any
 interest  and  penalties  imposed  by  the  commission relating to those
 taxes, all penalties levied and collected by  the  commission,  and  the
 appropriate  funds,  cash or prizes forfeited from sports wagering shall
 be deposited into the state lottery fund for education.
   (B) In the first fiscal year in which mobile sports wagering licensees
 commence operations and accept mobile sports  wagers  pursuant  to  this
 section,  the  commission  shall pay into the commercial gaming fund one
 percent of the state tax imposed  on  mobile  sports  wagering  by  this
 section  to  be distributed for problem gambling education and treatment
 purposes pursuant to paragraph a of subdivision four of section  ninety-
 seven-nnnn  of the state finance law; provided however, that such amount
 shall be equal to six million dollars for each fiscal year thereafter.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09670-03-5
 S. 5640--A                          2
              

 
   (C) In the first fiscal year in which mobile sports wagering licensees
 commence operations and accept mobile sports  wagers  pursuant  to  this
 section,  the  commission shall pay one percent of the state tax imposed
 on mobile sports wagering by this section to the general fund, a program
 to  be  administered by the office of children and family services for a
 statewide youth sports activities and education grant  program  for  the
 purpose  of  providing  annual  awards  to sports TEAMS AND programs for
 underserved youth under the  age  of  eighteen  years  FOR  PROGRAMMING,
 IMPROVEMENTS, AND EQUIPMENT; provided however, that such amount shall be
 equal  to  [five]  TWO  PERCENT OF MOBILE SPORTS TAX REVENUE AND NO LESS
 THAN TWENTY million dollars  for  each  fiscal  year  thereafter.  FIFTY
 PERCENT  OF  SUCH FUNDING SHALL BE USED FOR CAPITAL EXPENDITURES AND THE
 REMAINING FIFTY PERCENT SHALL BE USED FOR PROGRAMMING. CAPITAL  EXPENDI-
 TURE  FUNDING SHALL BE DISTRIBUTED BY COUNTY YOUTH BUREAUS. PROGRAMMATIC
 FUNDING SHALL BE DISTRIBUTED BY COUNTY YOUTH BUREAUS, EXCEPT IN THE CITY
 OF NEW YORK WHERE SEVENTY-FIVE PERCENT OF PROGRAMMING FUNDING  SHALL  BE
 DISTRIBUTED  BY THE CITY'S DEPARTMENT OF YOUTH AND COMMUNITY DEVELOPMENT
 AND TWENTY-FIVE PERCENT OF SUCH FUNDING SHALL BE DISTRIBUTED BY  LAUREUS
 SPORT FOR GOOD FOUNDATION USA. EACH COUNTY YOUTH BUREAU, THE CITY OF NEW
 YORK'S  DEPARTMENT OF YOUTH AND COMMUNITY DEVELOPMENT, AND LAUREUS SPORT
 FOR GOOD FOUNDATION USA SHALL ISSUE A REPORT TO THE COMMISSIONER ON  THE
 RECIPIENTS  OF SUCH FUNDING, THE USE OF THE FUNDS, AND THE IMPACT OF THE
 FUNDING WITHIN SIX MONTHS OF THE END OF EACH GRANT PERIOD.
   (D) The commission shall require at least monthly deposits by a  plat-
 form  provider  of  any  payments  pursuant to subdivision seven of this
 section, at such times, under such conditions, and in such  depositories
 as  shall  be prescribed by the state comptroller. The deposits shall be
 deposited to the credit of the state commercial gaming revenue fund. The
 commission shall require a monthly report and  reconciliation  statement
 to  be  filed  with  it  on  or before the tenth day of each month, with
 respect to gross revenues and deposits received and made,  respectively,
 during the preceding month.
   §  2. This act shall take effect on the first of April next succeeding
 the date on which it shall have become a law.