(1) A racing association licensed by the commission to conduct a race meet may seek approval from the commission to conduct parimutuel wagering on its program at a satellite location or locations within the state of Washington. The sale of parimutuel pools at satellite locations shall be conducted only during the licensee's race meet and simultaneous to all parimutuel wagering activity conducted at the licensee's live racing facility in the state of Washington. The commission's authority to approve satellite wagering at a particular location is subject to the following limitations:

       (a) The commission may approve only one satellite location in each county in the state; however, the commission may grant approval for more than one licensee to conduct wagering at each satellite location. A satellite location shall not be operated within twenty driving miles of any class 1 racing facility. For the purposes of this section, "driving miles" means miles measured by the most direct route as determined by the commission; and

       (b) A licensee shall not conduct satellite wagering at any satellite location within sixty driving miles of any other racing facility conducting a live race meet.

       (2) Subject to local zoning and other land use ordinances, the commission shall be the sole judge of whether approval to conduct wagering at a satellite location shall be granted.

       (3) The licensee shall combine the parimutuel pools of the satellite location with those of the racing facility for the purpose of determining odds and computing payoffs. The amount wagered at the satellite location shall be combined with the amount wagered at the racing facility for the application of take out formulas and distribution as provided in RCW 67.16.102, 67.16.105, 67.16.170, and 67.16.175. A satellite extension of the licensee's racing facility shall be subject to the same application of the rules of racing as the licensee's racing facility.

       (4) Upon written application to the commission, a class 1 racing association may be authorized to transmit simulcasts of live horse races conducted at its racetrack to locations outside of the state of Washington approved by the commission and in accordance with the interstate horse racing act of 1978 (15 U.S.C. Sec. 3001 to 3007) or any other applicable laws. The commission may permit parimutuel pools on the simulcast races to be combined in a common pool. A racing association that transmits simulcasts of its races to locations outside this state shall pay at least fifty percent of the fee that it receives for sale of the simulcast signal to the horsemen's purse account for its live races after first deducting the actual cost of sending the signal out of state.

       (5) Upon written application to the commission, a class 1 racing association may be authorized to transmit simulcasts of live horse races conducted at its racetrack to licensed racing associations located within the state of Washington and approved by the commission for the receipt of the simulcasts. The commission shall permit parimutuel pools on the simulcast races to be combined in a common pool. The fee for in-state, track-to-track simulcasts shall be five and one-half percent of the gross parimutuel receipts generated at the receiving location and payable to the sending racing association. A racing association that transmits simulcasts of its races to other licensed racing associations shall pay at least fifty percent of the fee that it receives for the simulcast signal to the horsemen's purse account for its live race meet after first deducting the actual cost of sending the simulcast signal. A racing association that receives races simulcast from class 1 racing associations within the state shall pay at least fifty percent of its share of the parimutuel receipts to the horsemen's purse account for its live race meet after first deducting the purchase price and the actual direct costs of importing the race.

       (6) A class 1 racing association may be allowed to import simulcasts of horse races from out-of-state racing facilities. With the prior approval of the commission, the class 1 racing association may participate in an interstate common pool and may change its commission and breakage rates to achieve a common rate with other participants in the common pool.

       (a) The class 1 racing association shall make written application with the commission for permission to import simulcast horse races for the purpose of parimutuel wagering. Subject to the terms of this section, the commission is the sole authority in determining whether to grant approval for an imported simulcast race.

       (b) ((During the conduct of its race meeting, a class 1 racing association may be allowed to import no more than one simulcast race card program during each live race day.)) A licensed racing association may also be approved to import one simulcast race of regional or national interest on each live race day. ((A class 1 racing association may be permitted to import two simulcast programs on two nonlive race days per each week during its live meet. A licensee shall not operate parimutuel wagering on more than five days per week. Parimutuel wagering on imported simulcast programs shall only be conducted at the live racing facility of a class 1 racing association.))

       (c) The commission may allow simulcast races of regional or national interest to be sent to satellite locations. The simulcasts shall be limited to one per day except for Breeder's Cup special events day.

       (d) When open for parimutuel wagering, a class 1 racing association which imports simulcast races shall also conduct simulcast parimutuel wagering within its licensed racing enclosure on all races simulcast from other class 1 racing associations within the state of Washington.

       (e) ((When not conducting a live race meeting, a class 1 racing association may be approved to conduct simulcast parimutuel wagering on imported simulcast races.)) The conduct of ((simulcast)) parimutuel wagering on ((the)) imported simulcast races shall be for not more than fourteen hours during any twenty-four hour period, for not more than five days per week and only at ((its)) the live racing facility of a class 1 racing association.

       (f) On any imported simulcast race, the class 1 racing association shall pay fifty percent of its share of the parimutuel receipts to the horsemen's purse account for its live race meet after first deducting the purchase price of the imported race and the actual costs of importing the race.

       (7) For purposes of this section, a class 1 racing association is defined as a licensee approved by the commission to conduct during each twelve-month period at least forty days of live racing. If a live race day is canceled due to reasons directly attributable to acts of God, labor disruptions affecting live race days but not directly involving the licensee or its employees, or other circumstances that the commission decides are beyond the control of the class 1 racing association, then the canceled day counts toward the forty-day requirement. The commission may by rule increase the number of live racing days required to maintain class 1 racing association status or make other rules necessary to implement this section.

       (8) This section does not establish a new form of gaming in Washington or allow expanded gaming within the state beyond what has been previously authorized. Simulcast wagering has been allowed in Washington before April 19, 1997. Therefore, this section does not allow gaming of any nature or scope that was prohibited before April 19, 1997. This section is necessary to protect the Washington equine breeding and racing industries, and in particular those sectors of these industries that are dependent upon live horse racing. The purpose of this section is to protect these industries from actual and potential adverse economic impacts and to promote fan attendance at class 1 racing facilities. Therefore, imported simulcast race card programs shall not be disseminated to any location outside the live racing facility of the class 1 racing association and a class 1 racing association is strictly prohibited from simulcasting imported race card programs to any location outside its live racing facility.

       (9) A licensee conducting simulcasting under this section shall place signs in the licensee's gambling establishment under RCW 9.46.071. The informational signs concerning problem and compulsive gambling must include a toll-free telephone number for problem and compulsive gamblers and be developed under RCW 9.46.071.

       (10) This act does not establish a new form of gaming in Washington or allow expanded gaming within the state beyond what has been previously authorized. Simulcast wagering has been allowed in Washington before the effective date of this act. Therefore, this section does not allow gaming of any nature or scope that was prohibited before the effective date of this act. This act is necessary to protect the Washington equine breeding and racing industries, and in particular those sectors of these industries that are dependent upon live horse racing. The purpose of this act is to protect these industries from adverse economic impacts and to promote fan attendance at class 1 racing facilities. Therefore, imported simulcast race card programs shall not be disseminated to any location outside the live racing facility of the class 1 racing association and a class 1 racing association is strictly prohibited from simulcasting imported race card programs to any location outside its live racing facility.

       (11) If a state or federal court makes a finding that the increase in the number of imported simulcast races that may be authorized under this act is an expansion of gaming beyond that which is now allowed, this act is null and void.

       (12) If any provision of this act or its application to any person or circumstance is held invalid, the remainder of this act or the application of the provision to other persons or circumstances is also invalid."

MOTIONS

      On motion of Senator West, the following title amendment was adopted:

       On page 1, on line 3 of the title, after "facilities;", strike the remainder of the title and insert "amending RCW 67.16.200; and creating a new section."

      On motion of Senator West, the rules were suspended, Engrossed Substitute Senate Bill No. 5407 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

POINT OF ORDER

      Senator Fairley: “ Madam President a point of order. Does this bill expand gambling?"

RULING BY THE PRESIDENT PRO TEMPORE

      President Pro Tempore Franklin: "Yes, it does, Senator, It will require thirty votes to pass."

      Further debate ensued.

      The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5407, under suspension of the rules.

ROLL CALL

      The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5407, under suspension of the rules, and the bill passed the Senate by the following vote: Yeas, 32; Nays, 9; Absent, 0; Excused, 8.

     Voting yea: Senators Brown, Constantine, Finkbeiner, Fraser, Gardner, Hale, Hewitt, Honeyford, Horn, Jacobsen, Johnson, Kastama, Kohl-Welles, McCaslin, McDonald, Morton, Parlette, Patterson, Prentice, Rasmussen, Roach, Rossi, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Swecker, West, Winsley and Zarelli - 32.

     Voting nay: Senators Fairley, Franklin, Haugen, Hochstatter, Long, McAuliffe, Oke, Regala and Stevens - 9.

     Excused: Senators Benton, Carlson, Costa, Deccio, Eide, Hargrove, Kline and Thibaudeau - 8.

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5407, under suspension of the rules, having received the constitutional sixty percent majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

STATEMENT FOR THE JOURNAL

      Engrossed Substitute Senate Bill No. 5407 is a measure which allows horse racing tracks to import more simulcast horse races. The Lieutenant Governor has ruled that the measure would ‘expand gambling’ under Article 2, Section 24 of the State Constitution. I am not a proponent of increased gambling in our state, and to the best of my recollection have seldom, if ever, voted to expand gambling. In fact, during the 2001 regular session, I voted ‘no’ on final passage of Engrossed Substitute Senate Bill No. 5407, and I twice voted ‘no’ on final passage of Engrossed Substitute House Bill No. 1571, the House companion measure.

      On May 21, 2001, during the roll call vote on Engrossed Substitute Senate Bill No. 5407, I was engaged in an intense discussion with another Senator concerning a different, pressing issue of the first special session. My attention was focused on the other issue, and I voted ‘yes’ on Engrossed Substitute Senate Bill No. 5407 inadvertently. I do not support Engrossed Substitute Senate Bill No. 5407, and in no way intended to vote for it.

SENATOR DAN McDONALD, Forty-eighth Legislative District

      There being no objection, the President Pro Tempore reverted the Senate to the sixth order of business.

      There being no objection, the Senate resumed consideration of Substitute Senate Bill No. 6140 and the pending amendments by Senators Patterson, Thibaudeau, Kohl-Welles, Jacobsen, Kline, Franklin, McAuliffe, Eide and Regala on page 1, beginning on lines 16 and 21; page 2, beginning on line 13; and page 5, line 21, to the striking amendment by Senators Haugen, McDonald and Gardner, deferred May 18, 2001.

      Debate ensued.

      .Senators Snyder, Betti Sheldon and Haugen demanded the previous question and the demand was sustained.

      The President Pro Tempore declared the question before the Senate shall the main question be now put.

      The demand for the previous question carried.

      Senator Jacobsen demanded a roll call and the demand was sustained.

      The President Pro Tempore declared the question before the Senate to be the roll on the adoption of the amendments by Senators Patterson

Thibaudeau, Kohl-Welles, Jacobsen, Kline, Franklin, McAuliffe, Eide and Regala on page 1, lines 16 and 21; page 2, line 13; and page 5, line 21; to the striking amendment by Senators Haugen, McDonald and Gardner to Substitute Senate Bill No. 6140.

ROLL CALL

      The Secretary called the roll and the amendments to the striking amendment were not adopted by the following vote: Yeas, 16; Nays, 29; Absent, 0; Excused, 4.

     Voting yea: Senators Brown, Constantine, Eide, Fairley, Franklin, Fraser, Hargrove, Jacobsen, Kline, Kohl-Welles, McAuliffe, Patterson, Regala, Roach, Sheldon, B. and Thibaudeau - 16.

     Voting nay: Senators Finkbeiner, Gardner, Hale, Haugen, Hewitt, Hochstatter, Honeyford, Horn, Johnson, Kastama, Long, McCaslin, McDonald, Morton, Oke, Parlette, Prentice, Rasmussen, Rossi, Sheahan, Sheldon, T., Shin, Snyder, Spanel, Stevens, Swecker, West, Winsley and Zarelli - 29.

     Excused: Senators Benton, Carlson, Costa and Deccio - 4.

MOTION

      Senator Roach moved that the following amendments to the striking amendment by Senators Haugen, McDonald and Gardner be considered simultaneously and be adopted:

       On page 2, on line 29, after "shall", strike the remainder of line 29 through line 38 in their entirety and insert the following: serve as a member on the planning committee. Members shall receive no compensation, but may be reimbursed for travel expenses as the planning committee deems appropriate:"

       On page 8, beginning on line 17, after "committee," strike the remainder of subsection 1 to Section 6, and strike all of subsection 2 to Section 8, lines 20-29 in their entirety.

       Renumber the sections consecutively and correct any internal references accordingly.

      Debate ensued.

      The President Pro Tempore declared the question before the Senate to be the adoption of the amendments by Senator Roach on page 2, line 29, and page 8, beginning on line 17, to the striking amendment by Senators Haugen, McDonald and Gardner to Substitute Senate Bill No. 6140.

      The motion by Senator Roach failed and the amendments to the striking amendment were not adopted.

MOTION

      Senator Roach moved that the followings amendments to the striking amendment by Senators Haugen, McDonald and Gardner be considered simultaneously and be adopted:

       On page 2, on line 34, after "district. " strike the remainder of line 34 and all of line 35 through "official" and insert the following:

       "The appointee shall be an elected official."

       On page 8, on line 27, after "district. " strike the remainder of line 27 and all of line 28 through "official" and insert the following:

       "The appointee shall be an elected official."

      Debate ensued.

      The President Pro Tempore declared the question before the Senate to be the adoption of the amendments by Senator Roach on page 2, line 34, and page 8, line 27, to the striking amendment by Senators Haugen, McDonald and Gardner to Substitute Senate Bill No. 6140.

      The motion by Senator Roach failed and the amendments to the striking amendment were not adopted.

MOTION

      Senator Oak moved that the following amendment by Senators Oke and Winsley to the striking amendment by Senators Haugen, McDonald and Gardner be adopted:

       On page 5, after line 34, insert the following:

       "PROVIDED, that no person who regularly pays a fee or toll imposed pursuant to a project constructed under a public-private transportation initiative, 47.46 RCW, shall be liable for payment of any tax or fee imposed under this act."

      Debate ensued.

      The President Pro Tempore declared the question before the Senate to be the adoption of the amendment by Senators Oke and Winsley on page 5, after line 34, to the striking amendment by Senators Haugen, McDonald and Gardner to Substitute Senate Bill No. 6140.

      The motion by Senator Oak failed and the amendment to the striking amendment was not adopted.

      The President Pro Tempore declared the question before the Senate to be the adoption of the striking amendment by Senators Haugen, McDonald and Gardner to Substitute Senate Bill No. 6140.

      The motion by Senator Haugen carried and the striking amendment was adopted.

MOTION

      On motion of Senator Haugen, the following title amendment was adopted:

       On page 1, line 1 of the title, after "creation of" strike the remainder of the title and insert "regional transportation investment districts; amending RCW 43.84.092, 43.84.092, and 81.104.140; reenacting and amending RCW 47.05.021; adding new sections to chapter 43.131 RCW; adding a new chapter to Title 47 RCW; creating a new section; providing an effective date; providing an expiration date; and declaring an emergency."

      On motion of Senator Haugen, the rules were suspended, Engrossed Substitute Senate Bill No. 6140 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      Senators Snyder, McCaslin and Haugen demanded the previous question and the demand was sustained.

      The President Pro Tempore declared the question before the Senate to be shall the main question be now put.

      The demand for the previous question carried.

       The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 6140.

ROLL CALL

      The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 6140 and the bill passed the Senate by the following vote: Yeas, 26; Nays, 20; Absent, 0; Excused, 3.

     Voting yea: Senators Brown, Deccio, Finkbeiner, Gardner, Hale, Hargrove, Haugen, Hewitt, Honeyford, Horn, Johnson, Kastama, Long, McCaslin, McDonald, Parlette, Prentice, Rasmussen, Rossi, Sheahan, Sheldon, T., Snyder, Spanel, Swecker, West and Winsley - 26.

     Voting nay: Senators Constantine, Eide, Fairley, Franklin, Fraser, Hochstatter, Jacobsen, Kline, Kohl-Welles, McAuliffe, Morton, Oke, Patterson, Regala, Roach, Sheldon, B., Shin, Stevens, Thibaudeau and Zarelli - 20.

     Excused: Senators Benton, Carlson and Costa - 3.

      ENGROSSED SUBSTITUTE SENATE BILL NO. 6140, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

MOTION

      At 1:31 p.m., on motion of Senator Betti Sheldon, the Senate adjourned until 10:00 a.m., Tuesday, May 22, 2001.

BRAD OWEN, President of the Senate

TONY M. COOK, Secretary of the Senate