                                 CODE OF VIRGINIA

ADVANCE DEPOSIT ACCOUNT WAGERING REVENUES; DISTRIBUTION (§ 59.1-392.1)

A. Notwithstanding the provisions of § 59.1-392, the allocation of revenue from
advance deposit account wagering shall include (i) a licensee fee of 1.5 percent
paid to the Commission; (ii) an additional fee equal to one percent of all
wagers made within the Commonwealth placed through an advance deposit account
wagering licensee, which shall be paid to the Virginia Breeders Fund, and (iii)
an additional fee equal to nine percent of all wagers made within the
Commonwealth placed through an advance deposit account wagering licensee, out of
which shall be paid:

   1. Four percent to a nonprofit industry stakeholder organization recognized
   by, and with oversight from, the Commission to include the recognized majority
   horsemen&#8217;s group, a breeder&#8217;s organization, and a licensed track
   operator for the purpose of promoting, sustaining, and advancing horse racing
   within the Commonwealth; and

   2. Five percent to representatives of the recognized majority horsemen&#8217;s
   group by breed to be used for purse funds at races conducted in the
   Commonwealth, unless otherwise authorized by the Commission.
   				Notwithstanding the foregoing, if the advance deposit account wagering
   licensee is a significant infrastructure limited licensee, the additional fee
   equal to nine percent of the wagers placed through such advance deposit
   account wagering licensee since November 1, 2014, shall instead be retained by
   such licensee for operational expenses, including defraying the costs of live
   racing.

B. The Commission-recognized nonprofit industry stakeholder organization shall
make distributions from fees received from advance deposit wagering to
organizations within the Commonwealth providing care for retired race horses,
the Virginia-Maryland Regional College of Veterinary Medicine, the Virginia
Horse Center Foundation, the Virginia Horse Industry Board, and the Virginia
Thoroughbred Association in the percentages of wagering handles set forth in
subsections K and N of &#xA7; 59.1-392, and shall make a distribution of
thirty-five one-hundredths of one percent of all wagers made within the
Commonwealth placed through such advance deposit account wagering licensee to
the locality where live racing licensed by the Commission occurred prior to
January 1, 2012, and beginning January 1, 2020, to the locality or localities
where such live racing occurs to be shared in a ratio of the number of such
annual live races in a locality to the total number of such annual lives races
in the Commonwealth. Distributions under this section from the
Commission-recognized nonprofit stakeholder organization to the foregoing
entities and locality or localities, when added to the distributions to such
entities and locality or localities under &#xA7; 59.1-392, shall be capped at
the sum necessary to equal distributions made in the 2013 calendar year to each
entity under &#xA7; 59.1-392, and shall be capped at the sum necessary to equal
$400,000 for a locality or localities.

C. Any additional distribution of fees received from advance deposit account
licensees by the Commission-recognized nonprofit industry stakeholder
organization shall be approved by the Commission.

HISTORY: 2015, cc. 731, 751.