S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 3710--A

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            January 28, 2013
                               ___________

Introduced  by M. of A. PRETLOW -- read once and referred to the Commit-
  tee on Ways and Means -- recommitted to  the  Committee  on  Ways  and
  Means  in  accordance  with  Assembly  Rule  3,  sec.  2  -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN ACT to amend the tax law, in relation to video  gaming  machines  and
  disposition of revenues

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Clause (H) of subparagraph (ii) of paragraph 1 of  subdivi-
sion b of section 1612 of the tax law, as separately amended by chapters
174 and 175 of the laws of 2013, is amended to read as follows:
  (H)  notwithstanding  clauses  (A), (B), (C), (D), (E), (F) and (G) of
this subparagraph, the track operator of a vendor track shall be  eligi-
ble  for  a  vendor's  capital  award of up to four percent of the total
revenue wagered at the vendor track after payout for prizes pursuant  to
this  chapter,  which  shall  be  used  exclusively  for capital project
investments to improve the facilities of the vendor track which  promote
or  encourage  increased attendance at the video lottery gaming facility
including, but not limited to hotels, other lodging  facilities,  enter-
tainment   facilities,  retail  facilities,  dining  facilities,  events
arenas, parking garages and other  improvements  that  enhance  facility
amenities;  provided  that such capital investments shall be approved by
the division, in consultation with the state racing and wagering  board,
and  that  such vendor track demonstrates that such capital expenditures
will increase patronage at such vendor track's facilities  and  increase
the amount of revenue generated to support state education programs. The
annual  amount of such vendor's capital awards that a vendor track shall
be eligible to receive shall be limited  to  two  million  five  hundred
thousand  dollars,  except for Aqueduct racetrack, for which there shall
be no vendor's capital awards. Except for tracks having  less  than  one

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01642-03-4
              

A. 3710--A                          2

thousand  [one]  NINE  hundred  video  gaming machines, and except for a
vendor track located west of State Route 14  from  Sodus  Point  to  the
Pennsylvania  border  within  New  York,  each  track  operator shall be
required  to  co-invest  an  amount  of capital expenditure equal to its
cumulative vendor's capital award. For all tracks, except  for  Aqueduct
racetrack,  the  amount  of  any vendor's capital award that is not used
during any one year period may be carried  over  into  subsequent  years
ending  before  April first, two thousand fourteen. Any amount attribut-
able to a capital expenditure approved prior to April first,  two  thou-
sand fourteen and completed before April first, two thousand sixteen; or
approved  prior  to  April  first,  two  thousand eighteen and completed
before April first, two thousand twenty for a vendor track located  west
of State Route 14 from Sodus Point to the Pennsylvania border within New
York,  shall  be  eligible to receive the vendor's capital award. In the
event that a vendor track's capital expenditures, approved by the  divi-
sion  prior to April first, two thousand fourteen and completed prior to
April first, two thousand sixteen, exceed the vendor track's  cumulative
capital  award during the five year period ending April first, two thou-
sand fourteen, the vendor shall continue to receive  the  capital  award
after  April  first,  two  thousand fourteen until such approved capital
expenditures are paid to the vendor track subject to any required co-in-
vestment. In no event shall any vendor track that receives a vendor  fee
pursuant  to  clause  (F)  or (G) of this subparagraph be eligible for a
vendor's capital award under this section.  Any  operator  of  a  vendor
track  which  has  received a vendor's capital award, choosing to divest
the capital improvement toward which the award was applied, prior to the
full depreciation of the capital improvement in accordance with general-
ly accepted accounting principles, shall reimburse the state in  amounts
equal  to  the  total of any such awards. Any capital award not approved
for a capital expenditure at a video lottery gaming  facility  by  April
first,  two  thousand fourteen shall be deposited into the state lottery
fund for education aid; and
  S 2. This act shall take effect immediately.