§ 4-35-7-16 — Negotiation of distribution agreement

Indiana § 4-35-7-16

• Jurisdiction: Indiana
• Art. 35: GAMBLING GAMES AT RACETRACKS
• Ch. 7: Conduct of Gambling Games at Racetracks

Text

(a) The amount of gambling game revenue
that must be distributed under section 12(b) of this chapter must be
determined in a distribution agreement entered into by negotiation
committees representing all licensees and the horsemen's associations
having contracts with licensees that have been approved by the Indiana
horse racing commission.
(b) Each horsemen's association shall appoint a representative to a
negotiation committee to negotiate the distribution agreement required
by subsection (a). If there is an even number of horsemen's associations
appointing representatives to the committee, the members appointed by
each horsemen's association shall jointly appoint an at-large member
of the negotiation committee to represent the interests of all of the
horsemen's associations. The at-large member is entitled to the same
rights and privileges of the members appointed by the horsemen's
associations.
(c) Each licensee shall appoint a representative to a negotiation
committee to negotiate the distribution agreement required by
subsection (a). If there is an even number of licensees, the members
appointed by each licensee shall jointly appoint an at-large member of
the negotiation committee to represent the interests of all of the
licensees. The at-large member is entitled to the same rights and
privileges of the members appointed by the licensees.
(d) If a majority of the members of each negotiation committee is
present, the negotiation committees may negotiate and enter into a
distribution agreement binding all horsemen's associations and all
licensees as required by subsection (a).
(e) The initial distribution agreement entered into by the negotiation
committees:
(1) must be in writing;
(2) must be submitted to the Indiana horse racing commission
before October 1, 2013;
(3) must be approved by the Indiana horse racing commission
before January 1, 2014; and
(4) may contain any terms determined to be necessary and
appropriate by the negotiation committees, subject to subsection
(f) and section 12 of this chapter.
(f) A distribution agreement must provide that at least ten percent
(10%) and not more than twelve percent (12%) of a licensee's adjusted
gross receipts must be distributed under section 12(b) of this chapter.
A distribution agreement applies to adjusted gross receipts received by
the licensee after December 31 of the calendar year in which the
distribution agreement is approved by the Indiana horse racing
commission.
(g) A distribution agreement may expire on December 31 of a
particular calendar year if a subsequent distribution agreement will take
effect on January 1 of the following calendar year. A subsequent
distribution agreement:
(1) is subject to the approval of the Indiana horse racing
commission; and
(2) must be submitted to the Indiana horse racing commission
before October 1 of the calendar year preceding the calendar year
in which the distribution agreement will take effect.
(h) The Indiana horse racing commission shall annually report to the
budget committee on the effect of each distribution agreement on the
Indiana horse racing industry before January 1 of the following
calendar year.

Legislative History

As added by P.L.210-2013, SEC.15. Amended by P.L.255-2015, SEC.41; P.L.108-2019, SEC.78; P.L.168-2019, SEC.20.