Title: Horseracing Integrity Act of 2017
Policy area: Sports and Recreation

Summary:
Horseracing Integrity Act of 2017
This bill establishes the Horseracing Anti-Doping and Medication Control Authority as an independent non-profit corporation with responsibility for developing and administering an anti-doping and medication control program for: (1) Thoroughbred, Quarter, and Standardbred horses that participate in horse races that have a substantial relation to interstate commerce, (2) such horse races, and (3) the personnel engaged in the care, training, or racing of such horses.
The Federal Trade Commission (FTC) shall have exclusive jurisdiction over all horse racing anti-doping and medication control matters. The Authority and such FTC jurisdiction shall terminate if an interstate compact providing for services consistent with such program is established within five years after the program takes effect.
The Authority may enter into agreements with state racing commissions to implement the program within their jurisdictions.
Program elements shall include:
The Authority shall:
The bill sets forth civil enforcement provisions.
Activities under this bill are funded by an assessment placed on state racing commissions based on the calculation of cost per racing starter.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2651 Introduced in House (IH)]

<DOC>






115th CONGRESS
  1st Session
                                H. R. 2651

   To improve the integrity and safety of horseracing by requiring a 
uniform anti-doping and medication control program to be developed and 
   enforced by an independent Horseracing Anti-Doping and Medication 
                           Control Authority.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 25, 2017

  Mr. Barr (for himself and Mr. Tonko) introduced the following bill; 
       which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
   To improve the integrity and safety of horseracing by requiring a 
uniform anti-doping and medication control program to be developed and 
   enforced by an independent Horseracing Anti-Doping and Medication 
                           Control Authority.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Horseracing Integrity Act of 2017''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Recognizing the substantial relation that horseracing 
        has to interstate commerce, Congress enacted the Interstate 
        Horseracing Act of 1978 (15 U.S.C. 3001 et seq.) to regulate 
        pari-mutuel wagering on horseracing in order to protect and 
        further the horseracing industry of the United States. This Act 
        does not modify or supplement the Interstate Horseracing Act of 
        1978 or impair or restrict the operation and enforcement of 
        State law or regulation of horseracing with respect to matters 
        unrelated to anti-doping and medication control or for 
        violations of State or Federal criminal law.
            (2) Approximately 40 percent of the 740,239 starts by 
        Thoroughbred, Quarter Horse, and Standardbred racehorses in 
        2015 were made by horses that competed in more than one State. 
        Those Thoroughbred, Quarter Horse, and Standardbred racehorses 
        which participated in races in more than one State in 2015 made 
        over 55 percent of all United States racing starts that year.
            (3) Uniform adoption of national anti-doping and medication 
        control standards for horseracing in the United States will 
        promote interstate commerce, encourage fair competition and a 
        level playing field, assure full and fair disclosure of 
        information to purchasers of breeding stock and to the wagering 
        public, will improve the marketplace for domestic and 
        international sales of United States horses, will provide a 
        platform for consistency with all major international 
        horseracing standards, address growing domestic concerns over 
        disparities with international rules, and provide for the 
        safety and welfare of horses and jockeys.
            (4) The use of therapeutic medications in horseracing in 
        the United States must place the health and welfare of the 
        horse at the highest level of priority while achieving 
        consistency with the uses permitted in major international 
        horseracing jurisdictions. Because the various States have been 
        unable to adopt a national uniform anti-doping and medication 
        control program, national uniform regulations with respect to 
        the use of, and testing for, drugs capable of affecting the 
        results of a horse race and therapeutic medications used in 
        horseracing, such rules, procedures, and enforcement policies 
        should be implemented, consistent with internationally accepted 
        best practices, by an independent anti-doping and medication 
        control organization authorized by an act of Congress.
            (5) For human sports, Congress has demonstrated its 
        commitment to fair competition through legislation, oversight, 
        funding, and by its execution of an international treaty, the 
        UNESCO International Convention Against Doping in Sport. By 
        ratifying the UNESCO Convention, the United States agreed to 
        adopt appropriate measures consistent with the principles of 
        the World Anti-Doping Code and to take appropriate action, 
        including legislation, regulation, policies, or administrative 
        practices to implement that commitment.
            (6) In the context of Olympic sports, Congress has 
        recognized the United States Anti-Doping Agency as an 
        independent anti-doping and medication control organization 
        possessing high-level expertise and credibility in the 
        development and administration of an anti-doping and medication 
        control program.
            (7) Congress supports the establishment of an independent 
        anti-doping and medication control organization to ensure the 
        wagering public's confidence in the fairness of horseracing and 
        to strengthen and harmonize anti-doping and medication control 
        rules and sanctions for horseracing in order to ensure fair and 
        transparent horseraces and to deter the commission of anti-
        doping and medication control rule violations.
            (8) The movement of horses among the States for the purpose 
        of participating in covered horseraces, the widespread 
        acceptance, receipt, and transmission of wagers on covered 
        horseraces in interstate commerce, and the need to ensure 
        integrity of competition in, and wagering on, covered 
        horseraces warrant congressional action as set forth in this 
        Act.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Authority.--The term ``Authority'' means the 
        independent Horseracing Anti-Doping and Medication Control 
        Authority established by section 5.
            (2) Commission.--The term ``Commission'' means the Federal 
        Trade Commission.
            (3) Covered horserace.--The term ``covered horserace'' 
        means any horserace that has a substantial relation to 
        interstate commerce, including any horserace that is the 
        subject of interstate off-track wagers.
            (4) Covered horse.--The term ``covered horse'' means any 
        Thoroughbred, Quarter, or Standardbred horse, beginning on the 
        date of the horse's first timed and reported workout at a race 
        track that participates in covered horseraces or a licensed 
        training facility until the Authority receives written notice 
        that the horse has been retired.
            (5) Covered persons.--The term ``covered persons'' means 
        all trainers, owners, veterinarians, persons (legal and 
        natural) licensed by a state racing commission and the agents, 
        assigns and employees of such persons and other horse support 
        personnel who are engaged in the care, training, or racing of 
        covered horses.
            (6) Equine constituencies.--The term ``equine 
        constituencies'' means, collectively, the owners and breeders, 
        trainers, racetracks, veterinarians, State racing commissions, 
        and jockeys.
            (7) Equine industry representative.--The term ``equine 
        industry representative'' means an organization regularly and 
        significantly engaged in the equine industry, including 
        organizations that represent the interests of, and whose 
        membership consists of, owners and breeders, trainers, 
        racetracks, veterinarians, State racing commissions, and 
        jockeys.
            (8) Horseracing anti-doping and medication control 
        program.--The term ``horseracing anti-doping and medication 
        control program'' means the program established under section 
        6.
            (9) Interstate off-track wager.--The term ``interstate off-
        track wager'' has the meaning given such term in section 3 of 
        the Interstate Horseracing Act of 1978 (15 U.S.C. 3002).
            (10) Jockey.--The term ``jockey'' means a rider or driver 
        of a covered horse in covered horseraces.
            (11) Medication and regulatory experts.--The term 
        ``medication and regulatory experts'' means organizations or 
        associations that are actively involved in the establishment of 
        equine medication standards, or groups or associations 
        representing entities responsible for the current regulation of 
        the equine industry, or groups or associations representing 
        equine practitioners and veterinarians.
            (12) Owners and breeders.--The term ``owners and breeders'' 
        means those persons who either hold ownership interests in 
        covered horses or who are in the business of breeding covered 
        horses.
            (13) Prohibited methods.--The term ``prohibited methods'' 
        means any methods that are on the list of prohibited methods 
        identified in section 6(g).
            (14) Prohibited substances.--The term ``prohibited 
        substances'' means any substances that are on the list of 
        prohibited substances identified in section 6(g).
            (15) Permitted methods.--The term ``permitted methods'' 
        means those methods identified in the list of permitted methods 
        identified in section 6(g).
            (16) Permitted substances.--The term ``permitted 
        substances'' means those substances contained in the list of 
        permitted substances identified in section 6(g).
            (17) Racetrack.--The term ``racetrack'' means an 
        organization licensed by a State racing commission to conduct 
        covered horseraces.
            (18) State racing commission.--The term ``State racing 
        commission'' means that entity designated by State statute or, 
        in the absence of statute, by regulation, with jurisdiction to 
        regulate the conduct of horseracing within the State.
            (19) Takeout.--The term ``takeout'' means that portion of a 
        wager that is deducted from or not included in the pari-mutuel 
        pool, and that is distributed to persons other than those 
        placing wagers.
            (20) Trainers.--The term ``trainer'' means an individual 
        engaged in the training of covered horses.
            (21) Veterinarian.--The term ``veterinarian'' means a 
        licensed veterinarian who provides veterinary services to 
        covered horses.
            (22) Workout.--The term ``workout'' means a timed running 
        of a horse over a predetermined distance not associated with a 
        race or, with regard to a horse taking part in harness or pace 
        racing, its first qualifying race.

SEC. 4. JURISDICTION FOR HORSERACING ANTI-DOPING AND MEDICATION CONTROL 
              MATTERS.

    (a) In General.--Effective upon the effective date of the anti-
doping and medication control program as set forth in section 10, the 
Authority shall exercise authority over all horseracing anti-doping and 
medication control matters consistent with the provisions of this Act.
    (b) Powers and Authority.--
            (1) In general.--The Authority shall be established as a 
        private, independent, self-regulatory, non-profit corporation 
        with responsibility for developing and administering an anti-
        doping and medication control program for covered horses, 
        covered persons, and covered horseraces consistent with the 
        provisions of this Act.
            (2) Powers.--The Authority shall be vested with the same 
        anti-doping and medication control powers over horseracing 
        licensees as the State racing commissions have in their 
        respective States in respect to access to offices, track 
        facilities, and other places of business of licensees, search 
        and seizure, issuance and enforcement of subpoenas and 
        subpoenas duces tecum, and other investigatory powers.
            (3) Consent.--As a condition of eligibility to participate 
        in covered horseraces, covered persons agree that they and 
        their covered horses shall be bound by the provisions of the 
        horseracing anti-doping and medication control program 
        established in accordance with section 6.
    (c) Exclusive Jurisdiction and Oversight.--
            (1) Jurisdiction of commission.--The Commission shall have 
        exclusive jurisdiction over all horseracing anti-doping and 
        medication control matters consistent with this Act.
            (2) Activities of authority.--The Authority shall engage in 
        activities in accordance with such rules as are approved 
        pursuant to this Act.
    (d) Guiding Principles.--In carrying out the provisions of this 
Act, the Commission and the Authority shall be guided by the findings 
and principles contained in section 2.
    (e) State Compact.--The jurisdiction and authority granted to the 
Commission and the Authority under this Act shall terminate if, at any 
time after the expiration of five years following the effectiveness of 
the anti-doping and medication control program--
            (1) an interstate compact is established that includes 
        among its members 75 percent of the States in which starts in 
        covered races occurred during the calendar year preceding the 
        formation of the compact and those States which collectively 
        hosted not less than 90 percent of the total racing starts of 
        covered horses in covered races for the two-year period 
        preceding the formation of the compact; and
            (2)(A) all member States enter into and maintain an 
        agreement with the Authority for services consistent with the 
        anti-doping and medication control program provided for in 
        section 6 in those States; or
            (B) the compact is drafted with public input from 
        horseracing industry constituencies (including trainers, 
        owners, the breed registry, veterinarians, regulators, race 
        tracks, testing laboratories, bettors, and jockeys) by persons 
        who conform to the conflict of interest restrictions set forth 
        in section 5(d); obligates the compact to pay the costs of 
        winding down the Authority and transitioning its operations to 
        the compact; provides for uniform anti-doping and medication 
        control regulations among all member States, consistent with 
        section 6 and no less restrictive than the Authority's most 
        recent anti-doping and medication control program; and is 
        governed and maintained by a board, which would include among 
        its members persons meeting the requirements of Section 5(b), 
        each board member conforming to the conflict of interest 
        restrictions set forth in section 5(d).
The consent of Congress is hereby given to interstate compacts meeting 
the requirements referenced in this section 5(h).

SEC. 5. ESTABLISHMENT OF HORSERACING ANTI-DOPING AND MEDICATION CONTROL 
              AUTHORITY.

    (a) Establishment.--There is established the Horseracing Anti-
doping and Medication Control Authority, a private, independent, self-
regulatory, nonprofit corporation with responsibility for developing 
and administering an anti-doping and medication control program for 
covered horses, covered persons, and covered horseraces.
    (b) Composition.--The Authority shall be governed by a board (in 
this section referred to as the ``Board'') which shall be comprised of 
the following:
            (1) The chief executive officer of the United States Anti-
        Doping Agency.
            (2) Six individuals, selected by the United States Anti-
        Doping Agency from among members of the board of the United 
        States Anti-Doping Agency.
            (3) Six individuals selected by the United States Anti-
        Doping Agency--
                    (A) from among individuals who represent different 
                equine industry constituencies; and
                    (B) such that--
                            (i) at least 1 member has expertise in 
                        equine anti-doping and medication control 
                        regulation;
                            (ii) at least 1 member has significant 
                        experience as an owner of covered horses or is 
                        a person with expertise in the breeding of race 
                        horses;
                            (iii) at least 1 member was formerly 
                        employed as an executive with a racetrack;
                            (iv) at least 1 member has a degree in 
                        veterinary medicine and either has expertise in 
                        equine veterinary practice with regard to race 
                        horses or expertise in veterinary research in 
                        matters affecting race horses;
                            (v) at least 1 member has expertise in 
                        training covered horses; and
                            (vi) at least 1 member has expertise in 
                        riding covered horses as a jockey.
    (c) Selection Methodology.--In selecting individuals under 
subsection (b), the United States Anti-Doping Agency shall--
            (1) solicit lists of 2 candidates each from a cross-section 
        of equine industry representatives;
            (2) endeavor to provide diversity among the Board's 
        membership between persons primarily involved with the 3 breeds 
        of racehorses, to the greatest extent practicable and 
        consistent with the standards for Board membership set forth in 
        this section;
            (3) if Board positions remain unfilled from the lists 
        solicited under paragraph (1), ask organizations, groups, and 
        associations that represent the various equine constituencies 
        set forth in subsection (b)(3)(B) to submit an additional 2 
        candidates from which the Agency may fill the remaining open 
        Board positions; and
            (4) if Board positions remain unfilled from the second set 
        of candidate lists, choose, in accordance with subsection (b), 
        one or more persons at large with substantial experience in the 
        equine industry and meets the qualifications of the person 
        described in subsection (b) whose position on the Board remains 
        to be filled.
    (d) Conflicts of Interest.--To avoid any conflict of interest, no 
member of the Board shall be--
            (1) an individual who has a financial interest in or 
        provides goods or services to covered horses;
            (2) an official or officer of any equine industry 
        representative or serve in any governance or policymaking 
        capacity for an equine industry representative; or
            (3) an employee or have a business or commercial 
        relationship with any of the individuals or organizations 
        described in paragraphs (1) or (2).
    (e) Terms; Vacancies.--
            (1) Staggered terms.--The terms of members of the Board 
        shall be 3 years and shall be staggered so that the terms of no 
        more than 5 members of the Board expire in any year.
            (2) Limitation on consecutive terms.--Members of the Board 
        may serve for no more than 2 consecutive full terms.
            (3) Vacancies.--Vacancies among Board positions held by 
        equine industry candidates shall be filled pursuant to the 
        provisions of subsection (b) and any other vacancies shall be 
        filled pursuant to the provisions of the rules of the 
        Authority. At any time after the expiration of 5 years 
        following the date on which initial selection and appointment 
        of the members of the Board of the Authority is completed under 
        section 5, the United States Anti-Doping Agency may withdraw 
        from participation in the Authority and direct its chief 
        executive officer and board members resign their memberships on 
        the Board of the Authority. Following receipt of such 
        resignations by the Authority, the remaining members of the 
        Board of the Authority shall select new Board members to fill 
        the vacant positions in the same manner as is provided in 
        paragraphs (1) through (4) of subsection (c).
    (f) Standing Committees.--
            (1) In general.--The Authority shall establish one or more 
        standing advisory and technical committees, which shall include 
        qualified representatives from horseracing industry 
        constituencies, including trainers, owners, the breed registry, 
        veterinarians, regulators, race tracks, testing laboratories, 
        bettors, and jockeys.
            (2) Committee on development and maintenance of the 
        horseracing anti-doping and medication control program.--The 
        Authority shall establish a standing advisory committee, which 
        shall include medication and regulatory experts and other 
        representatives from horseracing industry constituencies, to 
        provide advice and guidance to the Board on the development and 
        maintenance of the horseracing anti-doping and medication 
        control program
            (3) Chairperson of committee on permitted and prohibited 
        substances and methods.--The Authority shall appoint the Board 
        member selected pursuant to subsection (b)(3)(B)(i) to serve as 
        the chairperson of the standing advisory and technical 
        committee on permitted and prohibited substances and methods.
            (4) Duties.--The committees established under paragraph (1) 
        shall assist the Authority in establishing and administering 
        the horseracing anti-doping and medication control program.
            (5) Committee conflicts of interest.--No standing committee 
        members, other than those who are members of the Board of the 
        Authority or employees of the Authority, shall be subject to 
        the conflict of interest provisions set forth in section 5(d).
    (g) Administration of the Authority.--
            (1) Administrative structure.--The Authority shall 
        establish an administrative structure and employ among its 
        staff employees with sufficient experience in and knowledge of 
        equine-related and anti-doping and medication control matters 
        as appropriate to carry out the responsibilities set forth in 
        this Act.
            (2) Employees generally.--The Board of the Authority shall 
        select the Authority's chief executive officer. All Authority 
        employees shall serve at the pleasure the Authority's chief 
        executive officer. All Authority employees shall be subject to 
        the conflict of interest revisions applicable to members of the 
        Board of the Authority as set forth in section 5(d).
    (h) Oversight of Rules Prescribed by the Authority.--
            (1) Filing requirement.--The Authority shall file with the 
        Commission, in accordance with such rules as the Commission may 
        prescribe, copies of any proposed rule or change to any rule 
        (collectively ``proposed rule'') of the Authority. Proposed 
        rule means the lists of permitted and prohibited substances; 
        laboratory standards for accreditation and protocols; schedules 
        of sanctions for violations; processes and procedures for 
        disciplinary hearings; and formula and methodology for 
        determining assessments set out in section 11(e).
            (2) Publication and comment.--
                    (A) In general.--The Commission shall publish the 
                proposed rule and provide interested persons an 
                opportunity to comment.
                    (B) Approval required.--No proposed rule shall take 
                effect unless it has been approved by the Commission.
            (3) Approval.--
                    (A) Period.--The Commission shall approve or 
                disapprove a proposed rule no later than 45 days after 
                the proposed rule is published.
                    (B) Conditions.--The Commission shall approve a 
                proposed rule if it finds that such proposed rule is 
                consistent with the requirements of this Act and the 
                rules and regulations promulgated by the Commission.
    (i) Oversight of Final Decisions of the Authority.--
            (1) Notice of sanctions.--If the Authority imposes any 
        final sanction, the Authority shall promptly file notice 
        thereof with the Commission in such form as the Commission may 
        require.
            (2) Review by administrative law judge.--
                    (A) Application for review.--All final sanctions of 
                the Authority shall be subject to review by an 
                administrative law judge appointed pursuant to this Act 
                upon application by the Commission or any person 
                aggrieved by such final sanction filed within 30 days 
                after the date such notice was filed with the 
                Commission.
                    (B) Appointment of administrative law judge.--The 
                Commission shall appoint one or more administrative law 
                judges to serve a term of seven years unless earlier 
                removed by the Commission for cause. At the time of 
                his/her appointment, the administrative law judge shall 
                have been a practicing lawyer for at least ten years 
                and shall have demonstrated expertise in matters 
                relating to horseracing and anti-doping and medication 
                control.
                    (C) Nature of review.--In matters reviewed pursuant 
                to this subsection, the administrative law judge shall 
                conduct a hearing in a manner as the Commission may 
                specify by rule. Such hearing shall conform to section 
                556 of title 5, United States Code. The administrative 
                law judge shall determine whether--
                            (i) a person has engaged in such acts or 
                        practices or has omitted such acts or practices 
                        as the Authority has found the person to have 
                        engaged in or omitted; and
                            (ii) such acts, practices, or omissions are 
                        in violation of the Act or the anti-doping and 
                        medication control rules approved by the 
                        Commission.
                    (D) Decision by administrative law judge.--The 
                administrative law judge shall render a decision within 
                60 days of the conclusion of the hearing. Such decision 
                may affirm, reverse, modify, set aside, or remand for 
                further proceedings, in whole or in part, the final 
                sanction of the Authority. Such decision shall 
                constitute the decision of the Commission without 
                further proceedings unless there is a timely notice or 
                application for review filed pursuant to paragraph (3).
            (3) Review by commission.--
                    (A) Notice of review by commission.--The Commission 
                may, on its own motion, review any decision of the 
                administrative law judge rendered pursuant to 
                subsection (i)(2) by giving notice thereof to the 
                Authority and interested parties within 30 days of the 
                decision by the administrative law judge.
                    (B) Application for review.--The Authority or any 
                person aggrieved by the decision of an administrative 
                law judge rendered pursuant to subsection (i)(2) may 
                petition the Commission to review such decision by 
                filing an application for review within 30 days of the 
                rendering of such decision. If such application is 
                denied, the decision of the administrative law judge 
                shall constitute the decision of the Commission without 
                further proceedings. Whether to grant review is within 
                the Commission's discretion, provided however that the 
                Commission may grant review only where the application 
                therefor demonstrates:
                            (i) a prejudicial error was committed in 
                        the conduct of the proceeding; or
                            (ii) the decision embodies an erroneous 
                        application of the anti-doping and medication 
                        rules previously approved by the Commission.
                    (C) Nature of review.--In matters reviewed pursuant 
                to this subsection, the Commission may affirm, reverse, 
                modify, set aside or remand for further proceedings, in 
                whole or in part, on the basis of the record before the 
                administrative law judge and briefs submitted to the 
                Commission. The Commission shall give deference to a 
                factual finding by the administrative law judge unless 
                such finding is clearly erroneous. The Commission shall 
                review a conclusion of law by the administrative law 
                judge de novo. The Commission shall not permit the 
                taking of additional evidence except upon a showing 
                that such additional evidence is material and that such 
                evidence could not in the exercise of reasonable 
                diligence have been adduced previously.
            (4) Stay of proceedings.--Review by an administrative law 
        judge or the Commission pursuant to subsection (i) shall not 
        operate as a stay of any final sanction of the Authority unless 
        the administrative law judge or Commission otherwise orders.

SEC. 6. HORSERACING ANTI-DOPING AND MEDICATION CONTROL PROGRAM 
              REQUIRED.

    (a) Program Required.--Not later than 1 year after the date on 
which initial selection and appointment of the members of the board of 
the Authority is completed under section 5 and after notice to and with 
appropriate opportunity for comment from equine industry 
representatives and the public, the Authority shall develop and 
administer the horseracing anti-doping and medication control program 
for covered horses, covered persons, and covered horseraces.
    (b) Elements of Program.--The horseracing anti-doping and 
medication control program shall include the following:
            (1) A uniform set of anti-doping and medication control 
        rules.
            (2) Lists of permitted and prohibited substances (which may 
        include, without limitation, drugs, medications, naturally 
        occurring substances and synthetically occurring substances) 
        and methods.
            (3) A prohibition upon the administration of any prohibited 
        or otherwise permitted substance to a covered horse within 24 
        hours of its next racing start, which shall be effective not 
        later than January 1, 2019.
            (4) A process for sample collection.
            (5) Programs for in-competition and out-of-competition 
        testing (including no-advance-notice testing and mandatory 
        reporting of each horse's location for testing).
            (6) Testing procedures, standards, and protocols for both 
        in-competition and out-of-competition testing.
            (7) Laboratory standards for accreditation and testing 
        requirements, procedures, and protocols.
            (8) The undertaking of investigations at racetrack and non-
        racetrack facilities related to anti-doping and medication 
        control rule violations.
            (9) Procedures for investigating, charging, and 
        adjudicating violations and for the enforcement of sanctions 
        for violations.
            (10) A schedule of sanctions for violations.
            (11) Disciplinary hearings, which may include binding 
        arbitration, sanctions and research.
            (12) Management of violation results.
            (13) Programs relating to anti-doping and medication 
        control research and education.
    (c) Applicability to Covered Horses and Persons.--
            (1) In general.--The equine horseracing anti-doping and 
        medication control program developed and administered pursuant 
        to subsection (a) shall apply to all covered horses, covered 
        persons, and covered horseraces.
            (2) Agreement by covered persons.--As a condition of 
        eligibility to participate in covered horseraces, covered 
        persons shall agree that they and their covered horses shall be 
        bound by the provisions of the horseracing anti-doping and 
        medication control program.
    (d) Limitation of Authority.--
            (1) Prospective application.--The jurisdiction and 
        authority of the Commission and Authority with respect to the 
        horseracing anti-doping and medication control program shall be 
        prospective only.
            (2) No authority over previous matters.--Neither the 
        Commission nor the Authority shall have authority or 
        responsibility to investigate, prosecute, adjudicate, or 
        penalize conduct occurring prior to the effective date of the 
        horseracing anti-doping and medication control program.
            (3) Preservation of state racing commission authority over 
        previous matters.--State racing commissions shall retain 
        authority over matters described in paragraph (2) until the 
        final resolution of any resulting charges.
    (e) Considerations.--The horseracing anti-doping and medication 
control program shall take into consideration international anti-doping 
and medication control standards, including the World Anti-Doping Code 
and the Principles of Veterinary Medical Ethics of the American 
Veterinary Medical Association, that could be applicable to the 
horseracing anti-doping and medication control program.
    (f) Updates.--The Authority shall update the horseracing anti-
doping and medication control program from time to time.
    (g) Lists of Prohibited Substances and Methods.--
            (1) In general.--The Authority shall, by rule develop, 
        maintain, and publish lists of permitted and prohibited 
        substances and methods.
            (2) Contents.--The initial list, which shall be subject to 
        such future changes as the Authority considers appropriate and 
        which shall be in effect until amended by the Authority, of 
        prohibited substances and methods shall include any substance 
        or method that is included on either--
                    (A) class 1, 2, 3, and 4 drugs, medications, and 
                substances in the Uniform Classification Guidelines for 
                Foreign Substances of the Association of Racing 
                Commissioners International, Version 13.0, revised 
                December 2016; or
                    (B) the 2017 Prohibited List, International 
                Standard, of the World Anti-Doping Code, unless and to 
                the extent that such a substance or method described in 
                subparagraph (A) or (B) is contained on the list of 
                permitted substances and methods identified on the 
                Association of Racing Commissioners International 
                Therapeutic Medication Schedule for Horses, Version 
                3.2, revised December 2016.
            (3) Deadlines for lists.--
                    (A) Developed and published.--The lists of 
                permitted and prohibited substances and methods, 
                including all modifications to the initial lists, shall 
                be developed and published not later than the date that 
                is 120 days before the date on which the horseracing 
                anti-doping and medication control programs goes into 
                effect under section 6(a).
                    (B) Effective.--The lists described in subparagraph 
                (A) shall take effect on the date that is 1 year after 
                the date on which initial selection and appointment of 
                the members of the board of the Authority is completed 
                under section 5.
            (4) Periodic review.--
                    (A) In general.--The inclusion of permitted or 
                prohibited substances or methods on the lists shall be 
                subject to periodic review by the Authority, which 
                shall be subject to review by the Commission under 
                section 4, for modification, substitution, addition to, 
                or deletion from the lists.
                    (B) Establishment of notice, consultation, and 
                comment process.--The Authority shall establish a 
                notice, consultation, and comment process for the 
                periodic reviews carried out under subparagraph (A) 
                that involves industry representatives and the public.
    (h) Anti-Doping and Medication Control Rule Violations.--
            (1) In general.--The Authority, after notice to and with 
        appropriate opportunity for comment from industry 
        representatives and the public, shall establish, by rule, a 
        list of anti-doping and medication control rule violations 
        applicable to either horses or covered persons.
            (2) Elements.--The list established under paragraph (1) may 
        include the following:
                    (A) Strict liability for the presence of a 
                prohibited substance or method in a horse's sample or 
                the use of a prohibited substance or method.
                    (B) Strict liability for the presence of a 
                permitted substance in a horse's sample in excess of 
                the amount allowed by the horseracing anti-doping and 
                medication control program.
                    (C) Strict liability for the use of a permitted 
                method in violation of the applicable limitations 
                established within the horseracing and medication 
                control program.
                    (D) Attempted use of a prohibited substance or 
                method.
                    (E) Possession of any prohibited substance or 
                method.
                    (F) Attempted possession of any prohibited 
                substance or method.
                    (G) Administration or attempted administration of 
                any prohibited substance or method.
                    (H) Refusing or failing without compelling 
                justification to submit a horse for sample collection.
                    (I) Tampering or attempted tampering with any part 
                of doping control.
                    (J) Trafficking or attempted trafficking in any 
                prohibited substance or method and complicity in any 
                anti-doping and medication control rule violation.
    (i) Testing Laboratories.--
            (1) In general.--Not later than 1 year after the date on 
        which initial selection and appointment of the members of the 
        board of the Authority is completed under section 5, the 
        Authority shall establish by rule standards of accreditation 
        for laboratories involved in the testing of samples taken from 
        covered horses, the process for achieving and maintaining 
        accreditation, and the standards and protocols for testing of 
        samples.
            (2) Extension of provisional or interim accreditation.--The 
        Authority may, by rule, extend provisional or interim 
        accreditation to laboratories accredited by the Racing 
        Medication and Testing Consortium, Inc.
            (3) Selection of laboratories by states.--Each State racing 
        commission, if it so elects, shall determine the laboratory to 
        be used in testing samples taken within its jurisdiction, 
        provided that the laboratory selected has been accredited by, 
        and complies with the testing protocols and standards 
        established by, the Authority.
            (4) Selection of laboratories by the authority.--If a State 
        racing commission does not elect to determine the laboratory to 
        be used in testing samples taken within its jurisdiction, the 
        Authority shall by rule, make the selection.
    (j) Results Management and Disciplinary Process.--
            (1) In general.--Not later than 1 year after the date on 
        which initial selection and appointment of the members of the 
        board of the Authority is completed under section 5, the 
        Authority, after notice to and with appropriate opportunity for 
        comment from equine industry representatives and the public, 
        shall promulgate rules for anti-doping and medication control 
        results management and the disciplinary process for anti-doping 
        and medication control rule violation results management, 
        including the following:
                    (A) Provisions for notification of anti-doping and 
                medication control rule violations.
                    (B) Hearing procedures.
                    (C) Burden of proof.
                    (D) Presumptions.
                    (E) Evidentiary rules.
                    (F) Appeals.
                    (G) Guidelines for confidentiality and public 
                reporting of decisions.
            (2) Due process.--The rules promulgated under paragraph (1) 
        shall provide for adequate due process, including impartial 
        hearing officers or tribunals commensurate with the seriousness 
        of the alleged anti-doping and medication control rule 
        violation and the possible sanctions for such violation.
    (k) Sanctions.--
            (1) In general.--The Authority, after notice to and with 
        appropriate opportunity for comment from industry 
        representatives and the public, shall promulgate uniform rules 
        imposing sanctions against covered persons or covered horses 
        for anti-doping and medication control rule violations.
            (2) Requirements.--The rules promulgated under paragraph 
        (1) shall--
                    (A) take into account the unique aspects of 
                horseracing;
                    (B) be designed to ensure fair and transparent 
                horseraces; and
                    (C) deter the commission of anti-doping and 
                medication control rule violations.
            (3) Severity.--The rules promulgated under paragraph (1) 
        shall impose sanctions up to and including lifetime bans from 
        horseracing, disgorgement of purses, monetary fines and 
        penalties and changes to the order of finish in covered races. 
        The sanctioning rules shall also include opportunities for 
        anti-doping and medication control rule violators to reduce the 
        otherwise applicable sanctions generally comparable to those 
        opportunities afforded by the United States Anti-Doping 
        Agency's Protocol for Olympic Movement Testing.
    (l) Enforcement.--In addition to any penalties or sanctions imposed 
in accordance with the provisions of the horseracing anti-doping and 
medication control program, whenever it shall appear to the Authority 
that one has engaged, is engaged or is about to engage in acts or 
practices constituting a violation of any provision of this Act or the 
horseracing anti-doping and medication control program, the Authority 
may commence a civil action against such covered person or any 
racetrack in the proper district court of the United States, the United 
States District Court for the District of Columbia, or the United 
States courts of any territory or other place subject to the 
jurisdiction of the United States, to enjoin such acts or practices, to 
enforce any fines, penalties or other sanctions imposed in accordance 
with the provisions of the anti-doping and medication control program 
and for all other relief to which the Authority may be entitled. Upon a 
proper showing, a permanent or temporary injunction or restraining 
order shall be granted without bond.
    (m) Periodic Assessments by Comptroller General of the United 
States.--
            (1) Assessments.--Following the third anniversary of the 
        date on which the anti-doping and medication control program 
        identified in section 6 takes effect and not less frequently 
        than once every 4 years thereafter, the Comptroller General of 
        the United States shall review and analyze results of the such 
        program in comparison to the results of similar equine anti-
        doping and medication control programs in major foreign racing 
        jurisdictions.
            (2) Gathering assessments from industry representatives.--
        In conjunction with review and analysis required by paragraph 
        (1), the Comptroller General may invite persons representing 
        the significant facets of the horseracing industry, including 
        associations and individuals representing racetracks, breeders, 
        owners, trainers, veterinarians, jockeys, bettors, equine 
        researchers, and organizations dedicated to the welfare and 
        safety of covered horses, to collectively meet with and provide 
        testimony to the Comptroller General for the purpose of 
        gathering further assessments on the performance and 
        effectiveness of the Authority and the anti-doping and 
        medication control program.
            (3) Reports.--Upon the conclusion of a review and analysis 
        under paragraph (1), the Comptroller General shall submit to 
        Congress a report on such review and analysis with an 
        assessment of the performance of the Authority and the 
        Commission concerning their effectiveness as an anti-doping and 
        medication control organization and the efficiency of the 
        horseracing anti-doping and medication control program.

SEC. 7. OTHER LAWS UNAFFECTED.

    This Act shall not be construed to modify, impair, or restrict the 
operation or effectiveness of State or Federal statutes and regulations 
directed at--
            (1) any of the consents, approvals, or agreements required 
        by the Interstate Horseracing Act of 1978;
            (2) criminal conduct by covered persons and others;
            (3) horseracing matters unrelated to anti-doping and 
        medication control as addressed in this Act; or
            (4) the use of medication in human participants in covered 
        races.

SEC. 8. STATE DELEGATION; DUTY OF COOPERATION.

    (a) State Delegation.--
            (1) In general.--The Authority may enter into agreements 
        with one or more State racing commissions to implement within 
        their respective jurisdictions any of the components of the 
        horseracing anti-doping and medication control program 
        established by the Authority if the Authority determines that a 
        particular State racing commission will be able to implement a 
        component of the horseracing anti-doping and medication control 
        program in accordance with the standards and requirements 
        established by the Authority.
            (2) Duration of agreements.--Any agreement entered into 
        under paragraph (1) shall remain in effect as long as the 
        Authority determines the applicable racing commission to be 
        implementing the components of the medication regulation 
        program covered by the agreement in compliance with the 
        standards and requirements established by the Authority.
    (b) Duty of Cooperation.--Where conduct by any person subject to 
the horseracing anti-doping and medication control program may involve 
both an anti-doping and medication control rule violation and violation 
of State or Federal law, this Act imposes a duty to cooperate and share 
information between the Authority and State and Federal law enforcement 
authorities.

SEC. 9. RULES OF CONSTRUCTION.

    The Authority shall not have the power to impose criminal sanctions 
and shall not be considered nor construed to be an agent of, or an 
actor on behalf of, the United States Government or any State.

SEC. 10. EFFECTIVE DATE.

    (a) In General.--The horseracing anti-doping and medication control 
program shall take effect not later than the date that is 1 year after 
the date on which initial selection and appointment of the members of 
the board of the Authority is completed under section 5.
    (b) Transition.--The Authority and State regulatory authorities 
shall work cooperatively to develop transition rules with respect to 
doping conduct, sanctions, and investigations arising prior to the 
effective date of the horseracing anti-doping and medication control 
program.

SEC. 11. FUNDING.

    (a) Rule of Construction.--Nothing in this Act shall be construed 
to require--
            (1) the appropriation of any amount to the Authority; or
            (2) the Federal Government to guarantee the debts of the 
        Authority.
    (b) Prohibition on Increased Takeout.--No State racing commission 
may increase the takeout of any racetrack to collect fees to fund the 
Authority.
    (c) Initial Funding.--
            (1) In general.--Initial funding to establish the Authority 
        and underwrite its operations prior to the effective date shall 
        be provided by loans obtained by and donations made to the 
        Authority.
            (2) Borrowing and accepting donations.--The Authority may 
        borrow money and accept private donations and contributions 
        toward the funding of its operations.
            (3) Annual calculation of amounts required.--
                    (A) In general.--Not later than the date that is 90 
                days before the date set forth in section 10(a) and not 
                later than November 1 of each year thereafter, the 
                Authority shall determine and provide to each State 
                racing commission the estimated amount required per 
                racing starter to fund the horseracing anti-doping and 
                medication control program for the coming year and to 
                liquidate any loans or funding shortfall in the current 
                year and any prior years.
                    (B) Basis of calculation.--The amount calculated 
                under subparagraph (A) shall be based upon the annual 
                budget of the Authority for the succeeding year, as 
                approved by the board of the Authority.
                    (C) Requirements regarding budgets of authority.--
                The Authority's initial budget shall require the 
                approval of \2/3\ of its board and any subsequent 
                budget that exceeds the preceding year's budget by more 
                than 5 percent shall also require the approval of \2/3\ 
                of the board of the Authority.
    (d) Assessment and Collection of Fees by States.--
            (1) Notice of election.--Any State racing commission that 
        elects to remit fees pursuant to this subsection shall notify 
        the Authority of such election at least 60 days prior to the 
        adoption of the horseracing anti-doping and medication control 
        program.
            (2) Requirement to remit fees.--Once a State racing 
        commission makes such notification, the election shall remain 
        in effect and the State racing commission shall be required to 
        remit fees pursuant to this subsection.
            (3) Withdrawal of election.--A State racing commission may 
        withdraw its election after providing notice to the Authority 
        of its intent to cease remitting fees pursuant to this 
        subsection not later than 1 year before ceasing such remitting.
            (4) Schedule of remittance.--Each State racing commission 
        that elects to remit fees shall remit to the Authority on or 
        before the 20th day of each calendar month an amount equal to 
        the applicable fee per racing start multiplied by the number of 
        racing starts in the State in the previous month.
            (5) Determinations of methods.--Each State racing 
        commission shall determine, subject to the applicable laws and 
        regulations of the State, the method by which the requisite 
        amount shall be allocated, assessed, and collected, provided 
        that in no event shall the funds be obtained by means of an 
        increase in the takeout.
    (e) Assessment and Collection of Fees by the Authority.--
            (1) Calculation.--In the event a State racing commission 
        does not elect to remit fees pursuant to subsection (d) or 
        withdraws its election under such subsection, the Authority 
        shall calculate each month the applicable fee per racing start 
        multiplied by the number of racing starts in the State in the 
        previous month.
            (2) Allocation.--The Authority shall equitably allocate 
        that amount calculated under paragraph (1), among those 
        involved in covered horseraces pursuant to such rules as the 
        Authority may promulgate, subject to review by the Commission 
        under section 4.
            (3) Assessment.--The Authority shall assess a fee equal to 
        the allocation made under paragraph (2), provided that the fee 
        shall not be in the form of an increase of the takeout, and 
        shall collect such fee according to such rules as the Authority 
        may promulgate, subject to such Commission review.
            (4) Limitation.--A State racing commission that does not 
        elect to remit fees pursuant to subsection (d) or that 
        withdraws its election under such subsection shall not impose 
        or collect from any person a fee or tax relating to anti-doping 
        and medication control matters for covered horseraces.
                                 <all>