N.Y. PML Law § 521 — New York Code / Act PML / Article 5-A / Section 521
Approval of plans of operation; amendments
Status: in_force

§ 521. Approval of plans of operation; amendments. In order to\naccomplish the objectives of this article, the commission shall have the\npower, subject to the provisions of this article but without limiting\nthe generality of any provision of this chapter, to approve a plan of\noperation submitted by any regional corporation created under article\nfive of this chapter.\n  1. Before the commission may grant such approval, the commission must\nreview and approve a feasibility study submitted by such corporation,\nincluding but not limited to the following subjects:\n  a. the overall practicability of establishing and operating an\nefficient and profitable system of off-track betting in such region or\nin such counties that have elected to participate in the corporation;\n  b. the potential market;\n  c. the estimated costs of operation;\n  d. the probable types of wagering and number of opportunities required\nfor successful operation; and\n  e. the probable impact of the proposed operation upon on-track\nattendance and pari-mutuel betting within the region. The commission\nmay, within the time provided for approval, request additional\ninformation from the corporation. Disapproval of the feasibility study\nshall be accompanied by a statement of the reasons therefor and shall be\ntreated as disapproval of a plan under subdivision three of this\nsection.\n  2. The plan of operation shall include the following:\n  a. the organizational structure of the corporation including the\napproximate number and compensation of employees;\n  b. a narrative description of the system;\n  c. the types and approximate cost of data processing, communication\nand transmission facilities that will be used, including back-up\nsystems;\n  d. security measures;\n  e. the type and number of betting opportunities to be offered;\n  f. the race tracks and races for which bets will be taken;\n  g. the maximum and minimum number of retail outlets or betting offices\nto be established;\n  h. the proposed system of accounts; and\n  i. the amount and proposed sources of financing.\n  3. Within ninety days of receipt of the feasibility study and plan,\nthe commission shall issue an order approving the plan, approving it\nwith modifications or denying approval and stating its reasons therefor.\nWithin such period the commission may request additional information or\nsuggest amendments. If the commission fails to approve the plan without\nmodification, the corporation may request a public hearing to be held\nwithin thirty days of the issuance of an order approving an application\nwith modifications or denying it. The commission shall issue its final\ndetermination within ten days of such hearing. The corporation may\nsubmit an amended application no sooner than ninety days after a denial.\n  4. A plan of operation may be amended from time to time at the request\nof either the corporation or the commission. The corporation shall have\nthe right to be heard concerning any amendment to the plan proposed\nafter implementation and the commission shall dispose of such proposed\namendments as expeditiously as practicable, but no later than thirty\ndays following submission by the corporation or, in the case of\namendments proposed by the commission, objection by the corporation.\n  5. Any arrangements for telecasts or broadcasts of running races\npursuant to contracts with track operators shall constitute a part of\nthe plan of operation, or an amendment thereto, as the case may be.\n  6. The plan of operation of the New York city off-track betting\ncorporation in effect on July first, nineteen hundred seventy-three,\nshall be deemed approved by the commission, but shall thereafter be\nsubject to the general jurisdiction of the commission in the same manner\nas are the plans of other regional corporations.\n  7. a. The city of Schenectady may continue to operate off-track\npari-mutuel betting within such city, subject to the jurisdiction of the\ncommission, until the commission approves a plan of operation submitted\nby the Capital District regional off-track betting corporation and such\nplan of operation is implemented; provided, however, that during any\nperiod that the city of Schenectady continues to operate off-track\npari-mutuel betting within such city pursuant to this subdivision, it\nmay accept off-track wagers on races at any harness track within the\nstate which so agrees subject to the approval of the commission until\nsuch time as the harness track located within the Capital District and\nthe city of Schenectady mutually agree on the provision of appropriate\nspace and facilities at such track for such city and such agreement is\nimplemented. Such plan of operation shall make due provision with\nrespect to investments and obligations of the city of Schenectady made\nor incurred in the operation of off-track pari-mutuel betting. The\ncounty of Schenectady shall reimburse the city of Schenectady on account\nof lost revenues from the operation of off-track betting. The amount of\nreimbursement shall be calculated under the rules of the commission to\nguarantee that the city shall receive annually an amount equal to the\nnet revenue received from off-track betting for the calendar year\nnineteen hundred seventy-three or a percent of the net revenues received\nby such county obtained by dividing the bets originating in such city by\nthe bets originating in such county during the distribution period,\nwhichever is less. Reimbursement shall continue for a period of ten\nyears and shall be made in substantially equal quarterly payments.\n  b. Until such time as the Capital District regional off-track betting\ncorporation's plan of operation has been approved by the commission and\nthe county of Schenectady has enacted enabling legislation to join such\ncorporations and such county's participation has been implemented, the\ncity of Schenectady shall have all the rights, powers, duties and\nobligations of the county of Schenectady under this chapter, including\nbut not limited to the right to participate in the formation of such\ncorporation or subsequently to participate in the operation thereof, as\nthe case may be, except that the geographical boundaries of such city's\nparticipation shall be limited to the city of Schenectady.\n  8. The commission may authorize and approve:\n  a. an application submitted by the New York city off-track betting\ncorporation to amend its plan of operation, pursuant to the provisions\nof this section, to provide for the display in no more than two existing\nfacilities within Richmond county of telecasts of live audio and visual\nsignals of harness racing from any harness racing association or\ncorporation within its region; provided, however, that\n  (i) the association or corporation conducting such racing has entered\ninto a written agreement for such telecasts with the New York city\noff-track betting corporation pursuant to section five hundred\ntwenty-seven of this chapter, which agreement shall terminate no later\nthan the thirtieth day of June, nineteen hundred eighty-five,\n  (ii) all expenses incurred in the implementation of such amendment to\nits plan of operation for such telecasting shall be the responsibility\nof the New York city off-track betting corporation, and\n  (iii) the commission shall submit reports to the governor and the\nlegislature evaluating the results of such experiment on the\ncompatibility with the well-being of the horse racing and breeding\nindustries in this state, and its effect on handle and attendance at\noff-track facilities within Richmond county, and including\nrecommendations regarding the future authorization of the telecast of\nlive audio and visual signals into off-track betting facilities; and\n  b. one other application submitted by an off-track betting\ncorporation, other than the New York city off-track betting corporation,\nto amend its plan of operation, pursuant to the provisions of this\nsection, to provide for the display in two existing facilities within\nits region of telecasts of live audio and visual signals of harness\nracing from any harness racing association or corporation within its\nregion; provided however, that\n  (i) the association or corporation conducting such racing has entered\ninto a written agreement for such telecasts with such off-track betting\ncorporation pursuant to section five hundred twenty-seven of this\nchapter, which agreement shall terminate no later than the thirtieth day\nof June, nineteen hundred eighty-five,\n  (ii) all expenses incurred in the implementation of such amendment to\nits plan of operation for such telecasting shall be the responsibility\nof the off-track betting corporation, and\n  (iii) the commission shall submit reports to the governor and the\nlegislature evaluating the results of such experiment on the\ncompatibility with the well-being of the horse racing and breeding\nindustries in this state, and at off-track facilities within its region,\nand including recommendations regarding the future authorization of the\ntelecast of live audio and visual signals into off-track betting\nfacilities.\n  c. provided, however, that such audio and visual telecasts into\napproved facilities shall commence no earlier than sixty days after such\ntelecasts have been approved. During such time, the off-track betting\ncorporation shall provide to the commission daily data, to include but\nnot be limited to, wagers, separately by type of racing and wagers,\nattendance and promotion expenditures of such facilities in such manner\nas the commission may require. Such data shall be used as the\npre-telecast base to evaluate the impact of such telecasts. In addition,\nsuch similar data and information shall also be supplied to the\ncommission during the period that such telecasts are authorized. No\nchange in the types of wagers offered to patrons may be made without\nprior written approval by the commission of at least thirty days in\nadvance of such requested change.\n