Illinois General Assembly - Full Text of HB4229
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Full Text of HB4229  101st General Assembly




State of Illinois
2019 and 2020


Introduced 1/27/2020, by Rep. Norine K. Hammond


230 ILCS 5/31  from Ch. 8, par. 37-31

    Amends the Illinois Horse Racing Act of 1975. In provisions concerning stallions that qualify for Illinois Standardbred Breeders Fund breeding, removes language requiring the stallion to be owned by a resident of Illinois or a corporation in which all shareholders, directors, officers, and incorporators are residents of Illinois. Removes language prohibiting semen from being transported outside of Illinois. Removes language requiring the stallion's owner to be a resident of Illinois the previous 12 months. Removes language requiring that certain agreements for ownership or transfer of interest in a stallion must restrict ownership or transfer of interest to a resident of Illinois. Effective immediately.

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HB4229LRB101 14616 SMS 63527 b

1    AN ACT concerning gaming.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Illinois Horse Racing Act of 1975 is amended
5by changing Section 31 as follows:
6    (230 ILCS 5/31)  (from Ch. 8, par. 37-31)
7    Sec. 31. (a) The General Assembly declares that it is the
8policy of this State to encourage the breeding of standardbred
9horses in this State and the ownership of such horses by
10residents of this State in order to provide for: sufficient
11numbers of high quality standardbred horses to participate in
12harness racing meetings in this State, and to establish and
13preserve the agricultural and commercial benefits of such
14breeding and racing industries to the State of Illinois. It is
15the intent of the General Assembly to further this policy by
16the provisions of this Section of this Act.
17    (b) Each organization licensee conducting a harness racing
18meeting pursuant to this Act shall provide for at least two
19races each race program limited to Illinois conceived and
20foaled horses. A minimum of 6 races shall be conducted each
21week limited to Illinois conceived and foaled horses. No horses
22shall be permitted to start in such races unless duly
23registered under the rules of the Department of Agriculture.



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1    (b-5) Organization licensees, not including the Illinois
2State Fair or the DuQuoin State Fair, shall provide stake races
3and early closer races for Illinois conceived and foaled horses
4so that purses distributed for such races shall be no less than
517% of total purses distributed for harness racing in that
6calendar year in addition to any stakes payments and starting
7fees contributed by horse owners.
8    (b-10) Each organization licensee conducting a harness
9racing meeting pursuant to this Act shall provide an owner
10award to be paid from the purse account equal to 12% of the
11amount earned by Illinois conceived and foaled horses finishing
12in the first 3 positions in races that are not restricted to
13Illinois conceived and foaled horses. The owner awards shall
14not be paid on races below the $10,000 claiming class.
15    (c) Conditions of races under subsection (b) shall be
16commensurate with past performance, quality and class of
17Illinois conceived and foaled horses available. If, however,
18sufficient competition cannot be had among horses of that class
19on any day, the races may, with consent of the Board, be
20eliminated for that day and substitute races provided.
21    (d) There is hereby created a special fund of the State
22Treasury to be known as the Illinois Standardbred Breeders
23Fund. Beginning on June 28, 2019 (the effective date of Public
24Act 101-31) this amendatory Act of the 101st General Assembly,
25the Illinois Standardbred Breeders Fund shall become a
26non-appropriated trust fund held separate and apart from State



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1moneys. Expenditures from this Fund shall no longer be subject
2to appropriation.
3    During the calendar year 1981, and each year thereafter,
4except as provided in subsection (g) of Section 27 of this Act,
5eight and one-half per cent of all the monies received by the
6State as privilege taxes on harness racing meetings shall be
7paid into the Illinois Standardbred Breeders Fund.
8    (e) Notwithstanding any provision of law to the contrary,
9amounts deposited into the Illinois Standardbred Breeders Fund
10from revenues generated by gaming pursuant to an organization
11gaming license issued under the Illinois Gambling Act after
12June 28, 2019 (the effective date of Public Act 101-31) this
13amendatory Act of the 101st General Assembly shall be in
14addition to tax and fee amounts paid under this Section for
15calendar year 2019 and thereafter. The Illinois Standardbred
16Breeders Fund shall be administered by the Department of
17Agriculture with the assistance and advice of the Advisory
18Board created in subsection (f) of this Section.
19    (f) The Illinois Standardbred Breeders Fund Advisory Board
20is hereby created. The Advisory Board shall consist of the
21Director of the Department of Agriculture, who shall serve as
22Chairman; the Superintendent of the Illinois State Fair; a
23member of the Illinois Racing Board, designated by it; a
24representative of the largest association of Illinois
25standardbred owners and breeders, recommended by it; a
26representative of a statewide association representing



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1agricultural fairs in Illinois, recommended by it, such
2representative to be from a fair at which Illinois conceived
3and foaled racing is conducted; a representative of the
4organization licensees conducting harness racing meetings,
5recommended by them; a representative of the Breeder's
6Committee of the association representing the largest number of
7standardbred owners, breeders, trainers, caretakers, and
8drivers, recommended by it; and a representative of the
9association representing the largest number of standardbred
10owners, breeders, trainers, caretakers, and drivers,
11recommended by it. Advisory Board members shall serve for 2
12years commencing January 1 of each odd numbered year. If
13representatives of the largest association of Illinois
14standardbred owners and breeders, a statewide association of
15agricultural fairs in Illinois, the association representing
16the largest number of standardbred owners, breeders, trainers,
17caretakers, and drivers, a member of the Breeder's Committee of
18the association representing the largest number of
19standardbred owners, breeders, trainers, caretakers, and
20drivers, and the organization licensees conducting harness
21racing meetings have not been recommended by January 1 of each
22odd numbered year, the Director of the Department of
23Agriculture shall make an appointment for the organization
24failing to so recommend a member of the Advisory Board.
25Advisory Board members shall receive no compensation for their
26services as members but shall be reimbursed for all actual and



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1necessary expenses and disbursements incurred in the execution
2of their official duties.
3    (g) Monies expended from the Illinois Standardbred
4Breeders Fund shall be expended by the Department of
5Agriculture, with the assistance and advice of the Illinois
6Standardbred Breeders Fund Advisory Board for the following
7purposes only:
8        1. To provide purses for races limited to Illinois
9    conceived and foaled horses at the State Fair and the
10    DuQuoin State Fair.
11        2. To provide purses for races limited to Illinois
12    conceived and foaled horses at county fairs.
13        3. To provide purse supplements for races limited to
14    Illinois conceived and foaled horses conducted by
15    associations conducting harness racing meetings.
16        4. No less than 75% of all monies in the Illinois
17    Standardbred Breeders Fund shall be expended for purses in
18    1, 2, and 3 as shown above.
19        5. In the discretion of the Department of Agriculture
20    to provide awards to harness breeders of Illinois conceived
21    and foaled horses which win races conducted by organization
22    licensees conducting harness racing meetings. A breeder is
23    the owner of a mare at the time of conception. No more than
24    10% of all monies appropriated from the Illinois
25    Standardbred Breeders Fund shall be expended for such
26    harness breeders awards. No more than 25% of the amount



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1    expended for harness breeders awards shall be expended for
2    expenses incurred in the administration of such harness
3    breeders awards.
4        6. To pay for the improvement of racing facilities
5    located at the State Fair and County fairs.
6        7. To pay the expenses incurred in the administration
7    of the Illinois Standardbred Breeders Fund.
8        8. To promote the sport of harness racing, including
9    grants up to a maximum of $7,500 per fair per year for
10    conducting pari-mutuel wagering during the advertised
11    dates of a county fair.
12        9. To pay up to $50,000 annually for the Department of
13    Agriculture to conduct drug testing at county fairs racing
14    standardbred horses.
15    (h) The Illinois Standardbred Breeders Fund is not subject
16to administrative charges or chargebacks, including, but not
17limited to, those authorized under Section 8h of the State
18Finance Act.
19    (i) A sum equal to 13% of the first prize money of the
20gross purse won by an Illinois conceived and foaled horse shall
21be paid 50% by the organization licensee conducting the horse
22race meeting to the breeder of such winning horse from the
23organization licensee's account and 50% from the purse account
24of the licensee. Such payment shall not reduce any award to the
25owner of the horse or reduce the taxes payable under this Act.
26Such payment shall be delivered by the organization licensee at



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1the end of each quarter.
2    (j) The Department of Agriculture shall, by rule, with the
3assistance and advice of the Illinois Standardbred Breeders
4Fund Advisory Board:
5        1. Qualify stallions for Illinois Standardbred
6    Breeders Fund breeding; such stallion shall be owned by a
7    resident of the State of Illinois or by an Illinois
8    corporation all of whose shareholders, directors, officers
9    and incorporators are residents of the State of Illinois.
10    Such stallion shall stand for service at and within the
11    State of Illinois at the time of a foal's conception, and
12    such stallion must not stand for service at any place, nor
13    may semen from such stallion be transported, outside the
14    State of Illinois during that calendar year in which the
15    foal is conceived and that the owner of the stallion was
16    for the 12 months prior, a resident of Illinois. However,
17    from January 1, 2018 until January 1, 2022, semen from an
18    Illinois stallion may be transported outside the State of
19    Illinois. The articles of agreement of any partnership,
20    joint venture, limited partnership, syndicate, association
21    or corporation and any bylaws and stock certificates must
22    contain a restriction that provides that the ownership or
23    transfer of interest by any one of the persons a party to
24    the agreement can only be made to a person who qualifies as
25    an Illinois resident.
26        2. Provide for the registration of Illinois conceived



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1    and foaled horses and no such horse shall compete in the
2    races limited to Illinois conceived and foaled horses
3    unless registered with the Department of Agriculture. The
4    Department of Agriculture may prescribe such forms as may
5    be necessary to determine the eligibility of such horses.
6    No person shall knowingly prepare or cause preparation of
7    an application for registration of such foals containing
8    false information. A mare (dam) must be in the State at
9    least 30 days prior to foaling or remain in the State at
10    least 30 days at the time of foaling. However, the
11    requirement that a mare (dam) must be in the State at least
12    30 days before foaling or remain in the State at least 30
13    days at the time of foaling shall not be in effect from
14    January 1, 2018 until January 1, 2022. Beginning with the
15    1996 breeding season and for foals of 1997 and thereafter,
16    a foal conceived by transported semen may be eligible for
17    Illinois conceived and foaled registration provided all
18    breeding and foaling requirements are met. The stallion
19    must be qualified for Illinois Standardbred Breeders Fund
20    breeding at the time of conception and the mare must be
21    inseminated within the State of Illinois. The foal must be
22    dropped in Illinois and properly registered with the
23    Department of Agriculture in accordance with this Act.
24    However, from January 1, 2018 until January 1, 2022, the
25    requirement for a mare to be inseminated within the State
26    of Illinois and the requirement for a foal to be dropped in



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1    Illinois are inapplicable.
2        3. Provide that at least a 5-day racing program shall
3    be conducted at the State Fair each year, unless an
4    alternate racing program is requested by the Illinois
5    Standardbred Breeders Fund Advisory Board, which program
6    shall include at least the following races limited to
7    Illinois conceived and foaled horses: (a) a 2-year-old two
8    year old Trot and Pace, and Filly Division of each; (b) a
9    3-year-old three year old Trot and Pace, and Filly Division
10    of each; (c) an aged Trot and Pace, and Mare Division of
11    each.
12        4. Provide for the payment of nominating, sustaining
13    and starting fees for races promoting the sport of harness
14    racing and for the races to be conducted at the State Fair
15    as provided in subsection (j) 3 of this Section provided
16    that the nominating, sustaining and starting payment
17    required from an entrant shall not exceed 2% of the purse
18    of such race. All nominating, sustaining and starting
19    payments shall be held for the benefit of entrants and
20    shall be paid out as part of the respective purses for such
21    races. Nominating, sustaining and starting fees shall be
22    held in trust accounts for the purposes as set forth in
23    this Act and in accordance with Section 205-15 of the
24    Department of Agriculture Law.
25        5. Provide for the registration with the Department of
26    Agriculture of Colt Associations or county fairs desiring



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1    to sponsor races at county fairs.
2        6. Provide for the promotion of producing standardbred
3    racehorses by providing a bonus award program for owners of
4    2-year-old horses that win multiple major stakes races that
5    are limited to Illinois conceived and foaled horses.
6    (k) The Department of Agriculture, with the advice and
7assistance of the Illinois Standardbred Breeders Fund Advisory
8Board, may allocate monies for purse supplements for such
9races. In determining whether to allocate money and the amount,
10the Department of Agriculture shall consider factors,
11including, but not limited to, the amount of money appropriated
12for the Illinois Standardbred Breeders Fund program, the number
13of races that may occur, and an organization licensee's purse
14structure. The organization licensee shall notify the
15Department of Agriculture of the conditions and minimum purses
16for races limited to Illinois conceived and foaled horses to be
17conducted by each organization licensee conducting a harness
18racing meeting for which purse supplements have been
20    (l) All races held at county fairs and the State Fair which
21receive funds from the Illinois Standardbred Breeders Fund
22shall be conducted in accordance with the rules of the United
23States Trotting Association unless otherwise modified by the
24Department of Agriculture.
25    (m) At all standardbred race meetings held or conducted
26under authority of a license granted by the Board, and at all



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1standardbred races held at county fairs which are approved by
2the Department of Agriculture or at the Illinois or DuQuoin
3State Fairs, no one shall jog, train, warm up or drive a
4standardbred horse unless he or she is wearing a protective
5safety helmet, with the chin strap fastened and in place, which
6meets the standards and requirements as set forth in the 1984
7Standard for Protective Headgear for Use in Harness Racing and
8Other Equestrian Sports published by the Snell Memorial
9Foundation, or any standards and requirements for headgear the
10Illinois Racing Board may approve. Any other standards and
11requirements so approved by the Board shall equal or exceed
12those published by the Snell Memorial Foundation. Any
13equestrian helmet bearing the Snell label shall be deemed to
14have met those standards and requirements.
15(Source: P.A. 100-777, eff. 8-10-18; 101-31, eff. 6-28-19;
16101-157, eff. 7-26-19; revised 9-27-19.)
17    Section 99. Effective date. This Act takes effect upon
18becoming law.