SENATE BILL REPORT
SB 5270
This analysis was prepared by non-partisan legislative staff for the use of legislative members in
their deliberations. This analysis is not a part of the legislation nor does it constitute a
statement of legislative intent.
As Reported By Senate Committee On:
Labor, Commerce, Research & Development, January 29, 2007
Title: An act relating to advance deposit wagering.
Brief Description: Allowing advance deposit wagering to continue beyond October 1, 2007.
Sponsors: Senators Kohl-Welles, Hewitt, Prentice, Rasmussen, Keiser, Kauffman and Honeyford; by request of Horse Racing Commission.
Brief History:
Committee Activity: Labor, Commerce, Research & Development: 1/29/07. [DP]
SENATE COMMITTEE ON LABOR, COMMERCE, RESEARCH & DEVELOPMENT
Majority Report: Do pass.Signed by Senators Kohl-Welles, Chair; Keiser, Vice Chair; Clements, Ranking Minority Member; Franklin, Holmquist, Murray and Prentice.
Staff: Kathleen Buchli (786-7488)
Background: Advance deposit wagering is a form of parimutuel wagering in which an
individual deposits money in an account with an entity authorized by the Horse Racing
Commission to conduct advance deposit wagering. The account funds are then used to pay for
parimutuel wagers made in person, by telephone, or through communication by other electronic
means. An entity offering advance deposit wagering on horse racing is prohibited from extending
credit to participants, must verify the identity, residence and age of a person establishing an
account, and may not allow anyone under the age of 21 to open, own, or have access to an
advance deposit wagering account.
Three groups in the state are licensed by the Commission to conduct advance deposit wagering
in the state.
Summary of Bill: The statute's expiration date is deleted. Advance deposit wagering may continue on and after October 1, 2007.
Appropriation: None.
Fiscal Note: Available.
Committee/Commission/Task Force Created: No.
Effective Date: Ninety days after adjournment of session in which bill is passed.
Staff Summary of Public Testimony: PRO: There have been no problems with advance deposit wagering since its enactment and it has significantly helped Washington's horse racing industry. A portion of each wager, the source market fee, is returned to Washington's horse racing industry. The source market fee is distributed as breeders awards, owners' bonuses, purse funds and operating accounts. The horse racing commission may assist horse racing and has provided funds for investment in nonprofit tracks, jockey incentives, and equine health research. Advanced deposit wagering has strengthened programs provided for barn area workers and their families, including dental care programs, eyeglass vouchers, English as a second language programs, groom training programs, and on-site day care centers. This is good for the economic development of the horse racing industry. This also brings additional television coverage which helps to promote Emerald Downs as a world class racing venue.
Persons Testifying: PRO: Bob Leichner, Washington Horse Racing Commission; Ron Crockett, Susie Sourwine, and Jim Halstrom, Northwest Racing, Emerald Downs; and Mary Ann O'Connell, Washington Horsemen's Benevolent & Protective Association.