CHAPTER 152 HOUSE BILL No. 3028 (Amended by Chapter 178)
      An Act concerning the Kansas parimutuel racing act; amending K.S.A. 1997 Supp. 74-8802
      and repealing the existing section; also repealing K.S.A. 1997 Supp. 74-8802a, 74-8802b
      and 74-8813a.

Be it enacted by the Legislature of the State of Kansas:

Section 1. K.S.A. 1997 Supp. 74-8802 is hereby amended to read as
follows: 74-8802. As used in this the Kansas parimutuel racing act unless
the context otherwise requires:

(a) ``Breakage'' means the odd cents by which the amount payable on
each dollar wagered exceeds:

(1) A multiple of $.10, for parimutuel pools from races conducted in
this state; and

(2) a multiple of such other number of cents as provided by law of
the host jurisdiction, for interstate combined wagering pools.

(b) ``Commission'' means the Kansas racing and gaming commission
created by this act.

(c) ``Concessionaire licensee'' means a person, partnership, corpora-
tion or association licensed by the commission to utilize a space or priv-
ilege within a racetrack facility to sell goods or services.

(d) ``Contract'' means an agreement, written or oral, between two or
more persons, partnerships, corporations or associations, or any combi-
nation thereof, which creates an obligation between the parties.

(e) ``Crossover employment'' means a situation in which an occupa-
tional licensee is concurrently employed at the same racing facility by an
organization licensee and a facility owner licensee or facility manager
licensee.

(f) ``Dual racetrack facility'' means a racetrack facility for the racing
of both horses and greyhounds or two immediately adjacent racetrack
facilities, owned by the same licensee, one for racing horses and one for
racing greyhounds.

(f) (g) ``Executive director'' means the executive director of the com-
mission.

(g) (h) ``Facility manager licensee'' means a person, partnership, cor-
poration or association licensed by the commission and having a contract
with an organization licensee to manage a racetrack facility.

(h) (i) ``Facility owner licensee'' means a person, partnership, cor-
poration or association, or the state of Kansas or any political subdivision
thereof, licensed by the commission to construct or own a racetrack fa-
cility but does not mean an organization licensee which owns the race-
track facility in which it conducts horse or greyhound racing.

(i) (j) ``Fair association'' means an association organized pursuant to
K.S.A. 2-125 et seq. and amendments thereto or a nonprofit association
determined by the commission to be otherwise organized to conduct fair
activities pursuant to findings of fact entered by the commission in a
license order.

(j) (k) ``Financial interest'' means an interest that could result directly
or indirectly in receiving a pecuniary gain or sustaining a pecuniary loss
as a result of ownership or interest in a business entity or activity or as a
result of a salary, gratuity or other compensation or remuneration from
any person.

(k) (l) ``Greyhound'' means any greyhound breed of dog properly reg-
istered with the national greyhound association of Abilene, Kansas.

(l) (m) ``Horsemen's association'' means any association or corpora-
tion:

(1) All officers, directors, members and shareholders of which are
licensed owners of horses or licensed trainers of horses, or both;

(2) which is applying for or has been issued a facility owner license
authorizing ownership of Eureka Downs, Anthony Downs or a racetrack
facility on or adjacent to premises used by a fair association to conduct
fair activities; and

(3) none of the officers, directors, members or shareholders of which
holds another facility owner license or is an officer, director, member or
shareholder of another facility owner licensee.

(m) (n) ``Horsemen's nonprofit organization'' means any nonprofit
organization:

(1) All officers, directors, members or shareholders of which are li-
censed owners of horses or licensed trainers of horses, or both; and

(2) which is applying for or has been issued an organization license
authorizing the conduct of horse races at Eureka Downs, Anthony Downs
or a racetrack facility on or adjacent to premises used by a fair association
to conduct fair activities.

(n) (o) ``Host facility'' means the racetrack at which the race is run
or, if the race is run in a jurisdiction which is not participating in the
interstate combined wagering pool, the racetrack or other facility which
is designated as the host facility.

(o) (p) ``Host jurisdiction'' means the jurisdiction where the host fa-
cility is located.

(p) (q) ``Interstate combined wagering pool'' means a parimutuel pool
established in one jurisdiction which is combined with comparable pari-
mutuel pools from one or more racing jurisdictions for the purpose of
establishing the amount of money returned on a successful wager in the
participating jurisdictions.

(q) (r) ``Intertrack wagering'' means wagering on a simulcast race at
a licensed racetrack facility or at a facility which is licensed in its racing
jurisdiction to conduct live races.

(r) (s) ``Intrastate combined wagering pool'' means a parimutuel pool
which is combined with comparable parimutuel pools from one or more
racetrack facilities for the purpose of establishing the amount of money
returned on a successful wager at the participating racetrack facilities.

(s) (t) ``Kansas-whelped greyhound'' means a greyhound whelped and
raised in Kansas for the first six months of its life.

(t) (u) ``Minus pool'' means a parimutuel pool in which, after de-
ducting the takeout, not enough money remains in the pool to pay the
legally prescribed minimum return to those placing winning wagers, and
in which the organization licensee would be required to pay the remaining
amount due.

(u) (v) ``Nonprofit organization'' means:

(1) A corporation which is incorporated in Kansas as a not-for-profit
corporation pursuant to the Kansas general corporation code and the net
earnings of which do not inure to the benefit of any shareholder, individ-
ual member or person; or

(2) a fair association.

(v) (w) ``Occupation licensee'' means a person licensed by the com-
mission to perform an occupation or provide services which the commis-
sion has identified as requiring a license pursuant to this act.

(w) (x) ``Off-track wagering'' means wagering on a simulcast race at
a facility which is not licensed in its jurisdiction to conduct live races.

(x) (y) ``Organization licensee'' means a nonprofit organization li-
censed by the commission to conduct races pursuant to this act and, if
the license so provides, to construct or own a racetrack facility.

(y) (z) ``Parimutuel pool'' means the total money wagered by individ-
uals on one or more horses or greyhounds in a particular horse or grey-
hound race to win, place or show, or combinations thereof, as established
by the commission, and, except in the case of an interstate or intrastate
combined wagering pool, held by the organization licensee pursuant to
the parimutuel system of wagering. There is a separate parimutuel pool
for win, for place, for show and for each of the other forms of betting
provided for by the rules and regulations of the commission.

(z) (aa) ``Parimutuel wagering'' means a form of wagering on the out-
come of horse and greyhound races in which those who wager purchase
tickets of various denominations on one or more horses or greyhounds
and all wagers for each race are pooled and the winning ticket holders
are paid prizes from such pool in amounts proportional to the total re-
ceipts in the pool.

(aa) (bb) ``Race meeting'' means the entire period of time for which
an organization licensee has been approved by the commission to hold
live or simulcast horse or greyhound races at which parimutuel wagering
is conducted, including such additional time as designated by the com-
mission for the conduct of official business before and after the races.

(bb) (cc) ``Racetrack facility'' means a racetrack within Kansas used
for the racing of horses or greyhounds, or both, including the track sur-
face, grandstands, clubhouse, all animal housing and handling areas, other
areas in which a person may enter only upon payment of an admission
fee or upon presentation of authorized credentials and such additional
areas as designated by the commission.

(cc) (dd) ``Racing jurisdiction'' or ``jurisdiction'' means a govern-
mental authority which is responsible for the regulation of live or simul-
cast racing in its jurisdiction.

(dd) (ee) ``Racing or wagering equipment or services licensee'' means
any person, partnership, corporation or association licensed by the com-
mission to provide integral racing or wagering equipment or services, as
designated by the commission, to an organization licensee.

(ee) (ff) ``Recognized greyhound owners' group'' means the duly rec-
ognized group elected in accordance with rules and regulations of the
commission by a majority of the Kansas licensed greyhound owners at
the racetrack facility voting in the election. The commission may desig-
nate an organization such as the national greyhound association of Abi-
lene, Kansas, to conduct the election.

(ff) (gg) ``Recognized horsemen's group'' means the duly recognized
group, representing the breeds of horses running at a racetrack facility,
elected in accordance with rules and regulations of the commission by a
majority of the licensed owners and trainers at the racetrack facility voting
in the election. If the licensee does not have a recognized horsemen's
group, the commission shall designate as the recognized horsemen's
group one that serves another organization licensee, but not one that
serves a fair association organization licensee.

(gg) (hh) ``Simulcast'' means a live audio-visual broadcast of an actual
horse or greyhound race at the time it is run.

(hh) (ii) ``Takeout'' means the total amount of money withheld from
each parimutuel pool for the payment of purses, taxes and the share to
be kept by the organization licensee. Takeout does not include the break-
age. The balance of each pool less the breakage is distributed to the
holders of winning parimutuel tickets.

Sec. 2. K.S.A. 1997 Supp. 74-8802, 74-8802a, 74-8802b and 74-
8813a are hereby repealed.

Sec. 3. This act shall take effect and be in force from and after its
publication in the statute book.

Approved May 11, 1998