WSR 06-05-038

PERMANENT RULES

HORSE RACING COMMISSION


[ Filed February 9, 2006, 3:59 p.m. , effective March 12, 2006 ]


Effective Date of Rule: Thirty-one days after filing.

Purpose: To amend WAC 260-48-800 to allow net price calculations consistent with the model rules and other racing jurisdictions.

Citation of Existing Rules Affected by this Order: Amending WAC 260-48-800 Parimutuel wagering pools.

Statutory Authority for Adoption: RCW 67.16.020 and 67.16.040.

Adopted under notice filed as WSR 06-02-081 on January 4, 2006.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 1, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 1, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0.

Date Adopted: February 9, 2006.

R. M. Leichner

Executive Secretary

OTS-8558.1


AMENDATORY SECTION(Amending WSR 96-10-014, filed 4/19/96, effective 6/11/96)

WAC 260-48-800   Parimutuel wagering pools.   (1) All permitted parimutuel wagering pools shall be separately and independently calculated and distributed. Takeout shall be deducted from each gross pool as stipulated by law. The remainder of the monies in the pool shall constitute the net pool for distribution as payoff on winning wagers.

(2) ((The)) Either standard price calculation procedure shall be used to calculate wagering pools; however, net price calculation shall be used any time international wagering is conducted.

(a) Standard price calculation procedure:


SINGLE PRICE POOL (WIN POOL)
Gross Pool = Sum of Wagers on all Betting Interests - Refunds
Takeout = Gross Pool x Percent Takeout
Net Pool = Gross Pool - Takeout
Profit = Net Pool - Gross Amount Bet on Winner
Profit Per Dollar = Profit/Gross Amount Bet on Winner
$1 Unbroken Price = Profit Per Dollar + $1
$1 Broken Price = $1 Unbroken Price Rounded Down to the Break Point
Total Payout = $1 Broken Price x Gross Amount Bet on Winner
Total Breakage = Net Pool - Total Payout

PROFIT SPLIT (PLACE POOL)


Profit is net pool less gross amount bet on all place finishers. Finishers split profit 1/2 and 1/2 (place profit), then divide by gross amount bet on each place finisher for two unique prices.


PROFIT SPLIT (SHOW POOL)


Profit is net pool less gross amount bet on all show finishers. Finishers split profit 1/3 and 1/3 and 1/3 (show profit), then divide by gross amount bet on each show finisher for three unique prices.

(b) Net price calculation procedure:


SINGLE PRICE POOL (WIN POOL)
Gross Pool = Sum of Wagers on all Betting Interests - Refunds
Takeout = Gross Pool x Percent Takeout for each Source
Net Pool = Gross Pool - Takeout
Net Bet on Winner = Gross Amount Bet on Winner x (1 - Percent Takeout)
Total Net Pool = Sum of all Sources Net Pools
Total Net Bet on Winner = Sum of all Sources Net Bet on Winner
Total Profit = Total Net Pool - Total Net Bet on Winner
Profit Per Dollar = Total Profit/Total Net Bet on Winner
$1 Unbroken Base Price = Profit Per Dollar + $1 for each Source
$1 Unbroken Price = $1 Unbroken Base Price x (1 - Percent Takeout)
$1 Broken Price = $1 Unbroken Price Rounded Down to the Break Point
Total Payout = $1 Broken Price x Gross Amount Bet on Winner
Total Breakage = Net Pool - Total Payout

PROFIT SPLIT (PLACE POOL)


Total profit is the total net pool less the total net amount bet on all place finishers. Finishers split total profit 1/2 and 1/2 (place profit), then divide by total net amount bet on each place finisher for two unique unbroken base prices.


PROFIT SPLIT (SHOW POOL)


Total profit is the total net pool less the total net amount bet on all show finishers. Finishers split total profit 1/3 and 1/3 and 1/3 (show profit), then divide by total net amount bet on each show finisher for three unique unbroken base prices.


(3) If a profit split results in only one covered winning betting interest or combinations it shall be calculated the same as a single price pool.

(4) The individual pools outlined in these rules may be given alternative names by each association, provided prior approval is obtained from the commission.

(5) In the event a minus pool occurs in any parimutuel pool, the expense of said minus pool shall be borne by the association.

(6) The association must pay to the holder of any ticket or tickets entitling the holder to participate in the distribution of a parimutuel pool the amount wagered by such holder plus a minimum of five percent thereof. This requirement is unaffected by the existence of a parimutuel pool which does not contain sufficient money to distribute said five percent to all persons holding such tickets.

(7) No person or corporation shall directly or indirectly purchase parimutuel tickets or participate in the purchase of any part of a parimutuel pool for another for hire or for any gratuity.

[Statutory Authority: RCW 67.16.040. 96-10-014, 260-48-800, filed 4/19/96, effective 6/11/96.]