2023 New York Laws › PML - Racing, Pari-Mutuel Wagering and Breeding Law › Article 2 - Thoroughbred Racing and Breeding › 206 - Franchise for Running Races and Steeplechase Meetings.

§  206.  Franchise for running races and steeplechase meetings. 1. The
  franchised  corporation  referred  to  in  this  chapter  shall   be   a
  not-for-profit   corporation   to  be  known  as  The  New  York  Racing
  Association,  Inc.  To  the  extent   that   the   provisions   of   the
  not-for-profit  corporation  law  do not conflict with the provisions of
  this article, the not-for-profit corporation  law  shall  apply  to  the
  franchised  corporation and the franchised corporation shall be a type C
  corporation pursuant  to  the  not-for-profit  corporation  law.  If  an
  applicable  provision  of this article relates to a matter embraced in a
  provision of the not-for-profit corporation law but is not  in  conflict
  therewith, both provisions shall apply. The franchised corporation shall
  perform its functions under a franchise agreement which, notwithstanding
  the  provisions  of section one hundred twelve of the state finance law,
  shall not be subject to the approval required by such section, and  such
  other  agreements as may be necessary and appropriate and shall exercise
  its powers through a board of directors established  under  section  two
  hundred  seven  of  this  article.  The  franchise confers the right and
  responsibility to manage and operate  all  functions  at  the  franchise
  racetracks  including  but  not  limited  to  and subject to appropriate
  racing  laws  and  regulations  the  hiring  and  management  of  racing
  secretaries,  stewards,  race officials, backstretch employees and other
  equine and racing related functions, establishing the purses, the stakes
  program and owner's relations, maintenance of the  franchise  racetracks
  and  associated  facilities, the selection of vendors for food, beverage
  and  other  concessions  and  such  other  activities  approved  by  the
  franchise   oversight   board.   The   franchised  corporation,  in  its
  discretion, may permit utilization of the state racing  franchise  lands
  for  business  purposes  unrelated to racing, provided however that upon
  written notice from the franchise oversight board with  respect  to  any
  such  activity,  the franchised corporation shall cease such utilization
  within thirty days in order  to  allow  the  franchise  oversight  board
  approved  development  or  alternative  uses  approved  by the franchise
  oversight board. All franchise rights or  interests  in  assets  of  the
  state  racing franchise including but not limited to leasehold interests
  shall be  limited  to  the  term  of  the  franchise.  Upon  expiration,
  termination  or  ending  of the franchise by any other means provided by
  law, all franchise  rights  or  interest  granted  to  or  held  by  the
  franchised corporation shall cease and revert to the state.
Notwithstanding  any  provisions of law to the contrary the franchised
  corporation shall not conduct, manage or otherwise operate video lottery
  gaming activities on the lands of the state racing franchise.
2. The franchised corporation shall, upon acceptance of the franchise,
  franchise  agreements  and  all  enumerated  conditions,  be  granted  a
  franchise  for  a  period  of not more than twenty-five years, ending no
  later than December thirty-first, two thousand thirty-three.
3. Upon  acceptance  of  the  franchise,  the  franchisee's  corporate
  duration  shall  be  made coterminous with the expiration, revocation or
  relinquishment of such franchise.  Such  length  of  duration  shall  be
  deemed  to  be  incorporated  within and made part of the certificate of
  incorporation of the franchised corporation and  no  amendment  to  such
  certificate to incorporate any such provision shall be necessary to give
  effect  to  any  such  provision and that any provision contained within
  such  certificate  inconsistent  in  any  manner  with  the   provisions
  contained  within this section shall be null and void and cease to be of
  effect and shall be superseded by the provisions of  this  section.  The
  dissolution  provisions of articles ten and eleven of the not-for-profit
  corporation  law  shall  apply  upon  the  expiration,   revocation   or
  relinquishment of such franchise.
4.  The  franchised  corporation  shall  not  commence operation until
  by-laws and a corporate governance code of conduct are  adopted  by  its
  board  of  directors.  Such by-laws and code shall ensure the franchised
  corporation is operated in an efficient and transparent manner, with the
  highest  degree  of  integrity and is fully accountable to the people of
  the state of New York.
5. The franchised corporation shall comply with  all  applicable  laws
  and  regulations  and  retain an independent business integrity counsel,
  who, among other things, will act  as  an  independent  source  to  help
  ensure  the  integrity  of  the franchised corporation, its officers and
  employees, and its operations.
6. The  franchised  corporation  shall  honor  and  be  bound  by  all
  collective  bargaining agreements to which the previous franchise holder
  was a party for their remaining term.
The franchised corporation shall, upon the  request  of  an  off-track
  betting  corporation,  purchase  simulcasting  rights  jointly  with the
  off-track betting corporation so that the off-track betting  corporation
  pays  the  same  price  for  the  purchased simulcasting rights that the
  franchised corporation  pays.  To  the  extent  permitted  by  law,  the
  franchised corporation shall also share simulcasting pricing information
  in the market with off-track betting corporations;
7.  The  franchised  corporation  shall  conduct  public  meetings  in
  cooperation with local advisory boards established pursuant  to  section
  two  hundred  twelve  of  this  article  within  one hundred eighty days
  following the effective date of this section on or  near  the  racetrack
  facilities   of  Aqueduct,  Belmont  and  Saratoga.  Thereafter,  public
  meetings shall be held no less than twice yearly in cooperation with the
  local advisory boards established pursuant to section two hundred twelve
  of the racing, pari-mutuel  wagering  and  breeding  law,  in  order  to
  solicit  the concerns of the community surrounding the respective racing
  operations.