KRS § 230.405 — KY Code / Title XIX / Chapter 230 / Section 230.405
230.405 Kentucky quarter horse development fund -- Contributions -- Purposes -- Distribution -- Supplemental purses -- Official registrar -- Administrative regulations
Status: in_force

230.405 Kentucky quarter horse development fund -- Contributions -- Purposes --

Distribution -- Supplemental purses -- Official registrar -- Administrative

regulations.

(1) (a) There is hereby created a corporate account for the Kentucky Horse Racing

and Gaming Corporation, designated as the Kentucky quarter horse

development fund, consisting of moneys allocated to the fund under KRS

230.3771 together with any other moneys contributed to or allocated to the

fund from all other sources.

(b) For the purposes of this section, "development fund" or "fund" means the

Kentucky quarter horse development fund.

(c) Moneys to the credit of the development fund shall be transferred in the

following order:

1. Twenty-five thousand dollars ($25,000) each fiscal year to the Kentucky

problem gambling assistance account established in KRS 230.826; and

2. Remaining moneys to be divided as follows:

a. At least ninety percent (90%) shall be allocated within Kentucky

as set forth in this section; and

b. Up to ten percent (10%) for administration and operation of the

corporation.

(d) Notwithstanding KRS 45.229, moneys to the credit of the fund at the end of

the fiscal year shall not lapse but shall be carried forward in the fund to the

succeeding fiscal year.

(e) Interest earnings of the fund shall become a part of the fund and shall not

lapse.

(2) (a) The Kentucky Horse Racing and Gaming Corporation shall use the

development fund to promote races, provide purses for races, and award

breeders for horses bred and foaled in the Commonwealth.

(b) A foal of a pregnant mare bred in another state and brought back to Kentucky

to foal beginning with the breeding year 2025 and ending with foals of the

foaling year 2028 may be eligible for moneys from the fund. The pregnant

mare shall foal in Kentucky and have the resulting foal registered as a

Kentucky-bred quarter horse. Then the same mare, within the same calendar

year of the first foal being born, may be bred in Kentucky and registered to

the fund. If the mare foals a second time in Kentucky based on this breeding,

the resulting foal shall be registered as a Kentucky-bred quarter horse.

(c) The corporation shall provide for distribution of moneys to the credit of the

development fund to persons, corporations, or associations operating licensed

tracks within Kentucky conducting quarter horse racing, on an equitable basis

as determined by the corporation and in conformance with subsections (3) and

(4) of this section.

(3) The Kentucky Horse Racing and Gaming Corporation:

(a) Shall approve the amount of moneys to be paid from the development fund to

be:

1. Added to the purse provided for each race by the licensed operator of

the track; and

2. Awarded to breeders of Kentucky-bred quarter horses that win races at

licensed tracks in Kentucky;

(b) Shall approve the dates and conditions of races to be held by licensed tracks;

and

(c) May promulgate administrative regulations in accordance with KRS Chapter

13A to carry out the provisions of this section.

(4) (a) Moneys from the fund shall be allocated to each licensed association in an

amount equal to at least ninety percent (90%) of the amount the association

contributed to the fund.

(b) Any portion of a supplemental purse that is not awarded and paid over shall

be returned to the fund.

(c) The portion of the supplemental purse provided for any designated race shall

be awarded and paid to the owner of the horse only if the horse is duly

registered with the official registrar under this section.

(5) (a) In order for an owner of a Kentucky-bred quarter horse to be eligible to

demand, claim, and receive a portion of a supplemental purse provided by the

Kentucky quarter horse development fund, the quarter horse in a designated

race for which a supplemental purse has been provided by the Kentucky

quarter horse development fund shall have been duly registered as a

Kentucky-bred quarter horse with the official registrar of the Kentucky

quarter horse development fund prior to entry in the race.

(b) The Kentucky Quarter Horse Racing Association is hereby recognized and

designated as the sole official registrar of the Kentucky quarter horse

development fund for the purposes of registering Kentucky quarter horse

stallions, quarter horse mares, and Kentucky-bred quarter horses in

accordance with the terms of this section and any administrative regulations

promulgated by the Kentucky Horse Racing and Gaming Corporation. When

a Kentucky-bred quarter horse is registered with the official registrar, the

registrar shall be authorized to stamp the American Quarter Horse Association

certificate issued for the quarter horse with the seal of the registrar, certifying

that the quarter horse is a duly qualified and registered Kentucky-bred quarter

horse for purposes of this section. The registrar may establish and charge,

with the approval of the corporation, reasonable registration fees for its

services in the registration of Kentucky quarter horse stallions, quarter horse

mares, and Kentucky-bred quarter horses. Registration records of the registrar

shall be public records and open to public inspection at all normal business

hours and times.

(c) Any interested party aggrieved by the failure or refusal of the official registrar

to register a stallion, mare, or quarter horse as a Kentucky stallion, mare, or

Kentucky-bred quarter horse shall have the right to file with the registrar,

within thirty (30) days of the failure or refusal of the registrar, a petition

seeking registration of the quarter horse. The registrar shall promptly hear the

matter de novo and issue its order.

(6) The Kentucky Horse Racing and Gaming Corporation shall:

(a) Supervise registration of, or determine the eligibility of, horses entitled to

entry in races which receive a portion of purse money from the development

fund; and

(b) Determine the conditions, class, and quality of the fund-supported race

program established to carry out the purposes of this section.

(7) The corporation may promulgate administrative regulations in accordance with

KRS Chapter 13A to carry out the provisions and purposes of this section and shall

administer the Kentucky quarter horse development fund in a manner designed to:

(a) Promote and aid in the development of the quarter horse industry in

Kentucky;

(b) Upgrade the quality of quarter horse racing in Kentucky; and

(c) Improve the quality of quarter horses bred in Kentucky.