New York Codes, Rules and Regulations › Title 9 - EXECUTIVE DEPARTMENT › Subtitle T - New York State Gaming Commission › Chapter I - Division of Horse Racing and Pari-Mutuel Wagering › Subchapter A - Thoroughbred Racing › Article 1 - Rules of Racing › Part 4003 - Racing Associations › Licenses › Section 4003.12 - Certification of annual expenditures for enhancements

Current through Register Vol. 46, No. 28, July 10, 2024
(a) Pursuant to subdivision one of section
						  236 of the Racing, Pari-Mutuel Wagering and Breeding Law, the commission shall
						  certify to the Commissioner of Taxation and Finance no later than 80 days after
						  the close of each calendar year the name of each racing association or
						  corporation, other than a nonprofit racing association, that has failed during
						  the immediately preceding calendar year to expend an amount equal to at least
						  one-half of one percent of such association or corporation's on-track bets
						  during the immediately preceding calendar year for enhancements consisting of
						  capital improvements as defined in section 237 of such law (and section
						  4003.11 of this Part), repairs to
						  the physical plant, structures and equipment used in racing or wagering
						  operations and costs connected with up to five special events approved by the
						  commission as defined in section 236.
(b) In this connection, each racing
						  association, other than a nonprofit racing association shall by January 31st of
						  the current year file with the commission schedules of expenditures made during
						  the preceding calendar year segregated by expenditures for capital
						  improvements, eligible repairs and special events. Such schedules shall be in
						  summary form identifying each asset or special event by appropriate name, the
						  total expended for each asset or special event, and the date of completion for
						  use for such asset or the date each special event was held. Copies of bills,
						  invoices and other supporting documentation providing details of such
						  expenditures shall be retained by the track for audit by the
						  commission.
(c) To qualify as
						  eligible repairs, expenditures must be for work or materials necessary to put
						  inoperative assets back into good operating condition; in addition, the
						  replacement of parts, the fixing of plant, overhaul of equipment, and similar
						  work that ordinarily would not qualify as capital expenditures because the life
						  of the asset is not thereby extended shall nevertheless qualify as eligible
						  repairs. Maintenance expenditures, incurred for the purpose of keeping assets
						  in operating condition are excluded.
(d) In determining whether the necessary
						  amounts have been expended, the commission shall consider the preceding
						  calendar year or the average of the two preceding calendar years, whichever is
						  higher. It shall be presumed that only expenditures submitted in the form
						  required in subdivision (b) of this section are expenditures qualified for
						  consideration by the commission.
(e) If the commission determines that such
						  racing association or corporation has failed to make the total of expenditures
						  as established by statue, the commission shall notify the affected association
						  or corporation of the commission's determination by February 20th of the
						  current year and schedule a date within 15 days thereof to hear the association
						  or corporation in regard to the commission's determination.
(f) Copies of any certification made in
						  accordance with subdivision (a) of this section shall be served upon the
						  affected association or corporation by the date prescribed in such subdivision
						  (a).