New Mexico Administrative Code › Title 15 - GAMBLING AND LIQUOR CONTROL › Chapter 2 - HORSE RACING › Part 7 - PARI MUTUEL WAGERING › Section 15.2.7.12 - CALCULATION OF PAYOUTS AND DISTRIBUTION OF POOLS

Current through Register Vol. 35, No. 13, July 16, 2024
A.
GENERAL:
(1) All permitted pari-mutuel wagering pools
				shall be separately and independently calculated and distributed. Takeouts
				shall be deducted from each gross pool as stipulated by law. The remainder of
				the monies in the pool shall constitute the net pool for distribution as payout
				on winning wagers.
(2) For each
				wagering pool, the amount wagered on the winning betting interest or betting
				combinations is deducted from the net pool to determine the profit; the profit
				is then divided by the amount wagered on the winning betting interest or
				combinations, such quotient being the profit per dollar.
(3) Either the standard or net price
				calculation procedure may be used to calculate single commission pools, while
				the net price calculation procedure must be used to calculate multi-commission
				pools.
STANDARD PRICE CALCULATION PROCEDURE
SINGLE PRICE POOL
(WIN POOL)
Gross pool = Sum of wagers on all betting interest -
							 Refunds. Takeout = Gross pool x percent takeout. Net pool = Gross pool -
							 takeout. Profit = Net pool - Gross amount bet on winner. Profit per dollar =
							 Profit/gross amount bet on winner. $1 unbroken price = profit per dollar + $1.
							 $1 broken price = $1 unbroken price rounded down to the break point. Total
							 payout = $1 broken price x gross amount bet on winner. Total breakage = net
							 pool - total payout
PROFIT SPLIT
(PLACE POOL)
Profit is net pool less gross amount bet on all place
							 finishers
Finishers split profit frac12; and frac12; (place
							 profit), then divide by gross amount bet on each place finisher for two unique
							 prices.
PROFIT SPLIT
(SHOW POOL)
Profit is net pool less gross amount bet on all show
							 finishers
Finishers split profit 1/3 and 1/3 and 1/3 (show
							 profit), then divide by gross amount bet on each show finisher for three unique
							 prices.
NET PRICE CALCULATION PROCEDURE
SINGLE PRICE POOL
(WIN POOL)
Gross pool = Sum of wagers on all betting interests -
							 refunds. Takeout = gross pool x percent takeout for each source. Net pool =
							 gross pool - takeout. Net bet on winner = gross amount bet on winner x (1
							 percent takeout). Total net pool = sum of all sources net pools total net bet
							 on winner = sum of all sources net bet on winner. Total profit = total net pool
							 - total net bet on winner. Profit per dollar = total profit/total net bet on
							 winner. $1 unbroken base price = profit per dollar + $1* for each source. $1
							 unbroken price = $1 unbroken base price x (1 percent takeout). $1 broken price
							 = $1 unbroken price rounded down to the break point. Total payout = $1 broken
							 price x gross amount bet on winner. Total breakage = net pool - total payout.
PROFIT SPLIT
(PLACE POOL)
Total profit is the total net pool less the total net
							 amount bet on all place finishers.
Finishers split total profit frac12; and frac12;
							 (place profit), then divide by total net amount bet on each place finisher for
							 two unique unbroken base prices.
PROFIT SPLIT
(SHOW POOL)
Total profit is the total net pool less the total net
							 amount bet on all show finishers.
Finishers split total profit 1/3 and 1/3 and 1/3 (show
							 profit), then divide by total net amount bet on each show finisher for three
							 unique unbroken base prices.
(4)
				If a profit split results in only one covered winning betting interest or
				combinations it shall be calculated the same as a single price pool.
(5) Minimum payouts and the method used for
				calculating breakage shall be established by the commission.
(6) The individual pools outlined in these
				rules may be given alternative names by each association, provided prior
				approval is obtained from the commission.