Horse racing: parimutuel wagering and charity racing days.

(1) Existing law, the Horse Racing Law, provides for the operation of live horse racing in this state and for wagering on horse races, and for the operation of satellite wagering facilities, subject to regulation and oversight by the California Horse Racing Board as specified. That law authorizes an association or fair to offer any form of parimutuel wagering, as defined, and authorizes the board to prohibit any form of parimutuel wagering if it determines that the proposed wagering would compromise the honesty and integrity of racing in the state. This bill would correct an outdated cross-reference and would delete the board's authority to annually allocate a maximum of 28 racing days to any county fair in the northern zone which did not conduct horse racing prior to January 1, 1985. (2) The Horse Racing Law also requires each licensed racing association to designate a certain number of racing days to be conducted as charity days for the purpose of distribution of the net proceeds to beneficiaries. Existing law requires that beneficiaries of these proceeds be a nonprofit corporation or organization entitled by law to receive a distribution made by a distributing agent, exempt or entitled to exemption from state and federal income taxes, engaged in specified beneficial activities, and approved by the California Horse Racing Board. Existing law requires, among other distributions, that at least 20% of the distribution from charity day racing go to charities associated with the horse racing industry. This bill would increase the percentage of that distribution to 30%.