Maryland HB 856: Horse Racing - Distribution of Racetrack Facility Renewal Account Funds - Alterations

Bill Text

EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0856*

HOUSE BILL 856
C6 5lr1867

By: Cecil County Delegation
Introduced and read first time: January 30, 2025
Assigned to: Ways and Means

A BILL ENTITLED

AN ACT concerning 1

Horse Racing – Distribution of Racetrack Facility Renewal Account Funds 2
– Alterations 3

FOR the purpose of altering the distribution of certain funds available under the Racetrack 4
Facility Renewal Account; and generally relating to the Racetrack Facility Renewal 5
Account. 6

BY repealing and reenacting, without amendments, 7
Article – State Government 8
Section 9–1A–29(a), (c), and (e) 9
Annotated Code of Maryland 10
(2021 Replacement Volume and 2024 Supplement) 11

BY repealing and reenacting, with amendments, 12
Article – State Government 13
Section 9–1A–29(d) and (h) 14
Annotated Code of Maryland 15
(2021 Replacement Volume and 2024 Supplement) 16

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 17
That the Laws of Maryland read as follows: 18

Article – State Government 19

9–1A–29. 20

(a) There is a Racetrack Facility Renewal Account under the authority of the 21
State Racing Commission. 22

2 HOUSE BILL 856

(c) Except as provided in subsection (d)(1) of this section, funds from the Account 1
shall be used to provide a grant to the holder of a license to hold a race meeting in the State 2
for racetrack facility capital construction and improvements. 3

(d) (1) The amount of funds made available from the Racetrack Facility 4
Renewal Account shall be allocated as follows: 5

(i) [1. for fiscal year 2021, 80% to be deposited in the Racing and 6
Community Development Facilities Fund established under § 10–657.3 of the Economic 7
Development Article; and 8

2.] for fiscal year 2022 and thereafter, 80% to the State 9
Lottery Fund established under § 9–120 of this title; and 10

(ii) 1. FOR EACH FISCAL YEAR THAT ROSECROFT RACEWAY 11
IS USED FOR LIVE RACING, subject to paragraph (2) of this subsection, 20% to Rosecroft 12
Raceway and Ocean Downs Race Course according to a formula established in regulations 13
adopted by the State Racing Commission; AND 14

2. FOR EACH FISCAL YEAR AFTER ROSECROFT 15
RACEWAY IS CLOSED AND NO LONGER USED FOR LIVE RACING, SUBJECT TO 16
PARAGRAPH (2) OF THIS SUBSECTION: 17

A. 10% TO OCEAN DOWNS RACE COURSE; AND 18

B. 10% TO RACE COURSES WITHIN THE FAIR HILL 19
NATURAL RESOURCES MANAGEMENT AREA. 20

(2) Of the amount available to Rosecroft Raceway OR THE RACE COURSES 21
WITHIN THE FAIR HILL NATURAL RESOURCES MANAGEMENT AREA from the 22
Racetrack Facility Renewal Account under paragraph (1)(ii) of this subsection[: 23

(i) the unencumbered fund balance, including accrued interest, 24
existing as of June 30, 2020, shall be transferred to the Racing and Community 25
Development Facilities Fund established under § 10–646.3 of the Economic Development 26
Article; and 27

(ii)], subject to paragraph (3) of this subsection, for fiscal year [2021] 28
2026 and each fiscal year thereafter, $200,000 shall be transferred annually to Employ 29
Prince George’s, Inc. for workforce development and small, minority, and women–owned 30
business development. 31

(3) (i) It is the intent of the General Assembly that the funds 32
transferred to Employ Prince George’s, Inc. shall supplement, and not supplant, funds 33
otherwise available for Employ Prince George’s, Inc. 34

HOUSE BILL 856 3

(ii) If Employ Prince George’s, Inc. is unable to expend the funds 1
transferred under paragraph [(2)(ii)] (2) of this subsection during the 12–month period 2
after which Employ Prince George’s, Inc. received the funds, Employ Prince George’s, Inc. 3
shall partner with similar organizations located within Prince George’s County to expend 4
the balance of the funds from that period to encourage workforce development and small, 5
minority, and women–owned business development. 6

(4) For fiscal year 2026, the Governor shall include in the annual budget 7
bill an appropriation of $4,500,000 to the Racetrack Facility Renewal Account to be made 8
available to Rosecroft Raceway. 9

(e) In order to obtain a grant, a holder of a license to hold a race meeting in the 10
State shall: 11

(1) submit a capital construction plan to be implemented within a specified 12
time frame to the State Racing Commission for approval; and 13

(2) provide and expend a matching fund. 14

(h) (1) The State Racing Commission shall adopt regulations to implement the 15
provisions of this section, including regulations to: 16

(i) address minimum criteria for the types of improvements to be 17
made by the holder of a license; and 18

(ii) establish a formula to allocate funds under subsection [(d)(2)] 19
(D)(1)(II)1 of this section between Rosecroft Raceway and Ocean Downs Race Course. 20

(2) If Rosecroft Raceway is closed and no longer used for live racing the 21
unencumbered fund balance, including accrued interest, of the amount a