S T A T E   O F   N E W   Y O R K
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                                   891

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                             January 8, 2015
                               ___________

Introduced  by M. of A. PRETLOW -- read once and referred to the Commit-
  tee on Racing and Wagering

AN ACT to amend the tax law, in relation  to  video  lottery  gaming  at
  commercial bowling establishments

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

  Section 1.   Subparagraph (iii) of paragraph 1  of  subdivision  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:
  (iii) less an additional vendor's marketing allowance at a rate of ten
percent for the first one hundred million  dollars  annually  and  eight
percent  thereafter  of  the  total  revenue wagered at the vendor track
after payout for prizes to be used by the vendor track for the marketing
and promotion and associated costs of its  video  lottery  gaming  oper-
ations  and  pari-mutuel  horse  racing  operations, as long as any such
costs associated with pari-mutuel horse racing operations simultaneously
encourage increased attendance at such  vendor's  video  lottery  gaming
facilities, consistent with the customary manner of marketing comparable
operations in the industry and subject to the overall supervision of the
division;  provided,  however,  that  the  additional vendor's marketing
allowance shall not exceed eight percent in any year for any operator of
a racetrack located in the county of Westchester  or  Queens;  provided,
however,  a  vendor  track that receives a vendor fee pursuant to clause
(G) of subparagraph (ii) of this paragraph shall not receive  the  addi-
tional  vendor's  marketing  allowance;  provided, however, except for a
vendor track located west of State Route 14  from  Sodus  Point  to  the
Pennsylvania  border within New York shall continue to receive a market-
ing allowance of ten percent on total  revenue  wagered  at  the  vendor
track  after  payout for prizes in excess of one hundred million dollars
annually provided, however, a vendor that receives a vendor fee pursuant
to clause (G-1) of subparagraph (ii) of this paragraph shall receive  an

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05563-01-5
              

A. 891                              2

additional  marketing  allowance  at  a rate of ten percent of the total
revenue wagered at the video lottery gaming facility  after  payout  for
prizes.  [In  establishing  the vendor fee,] A COMMERCIAL BOWLING ESTAB-
LISHMENT  THAT  IS  AUTHORIZED BY SECTION SIXTEEN HUNDRED SEVENTEEN-A OF
THIS ARTICLE SHALL BE ENTITLED TO A VENDOR FEE OF NOT  LESS  THAN  20.25
PERCENT  IN THE FIRST, SECOND AND THIRD YEARS OF VIDEO LOTTERY GAMING AT
SUCH COMMERCIAL BOWLING ESTABLISHMENT, 20.0 PERCENT IN  THE  FOURTH  AND
FIFTH YEARS AND 17.5 PERCENT IN ALL SUBSEQUENT YEARS.
  S 2. Section 1617-a of the tax law is amended by adding a new subdivi-
sion a-1 to read as follows:
  A-1.  THE  DIVISION  OF  THE  LOTTERY IS HEREBY AUTHORIZED TO LICENSE,
PURSUANT TO RULES AND REGULATIONS TO BE PROMULGATED BY THE  DIVISION  OF
THE LOTTERY, THE OPERATION OF VIDEO LOTTERY GAMING AT COMMERCIAL BOWLING
ESTABLISHMENTS THAT ARE DULY LICENSED TO SERVE ALCOHOLIC BEVERAGES, HAVE
SEGREGATED  AREAS THAT PROHIBIT ACCESS TO PERSONS UNDER TWENTY-ONE YEARS
OF AGE, AND THAT ARE LOCATED IN A COUNTY  OR  COUNTIES  IN  WHICH  VIDEO
LOTTERY GAMING HAS BEEN AUTHORIZED PURSUANT TO LOCAL LAW. SUCH RULES AND
REGULATIONS  SHALL PROVIDE, AS A CONDITION OF LICENSURE, THAT SUCH BOWL-
ING ESTABLISHMENTS TO BE LICENSED ARE CERTIFIED TO BE IN COMPLIANCE WITH
ALL STATE AND LOCAL FIRE AND SAFETY CODES, THAT THE DIVISION IS AFFORDED
ADEQUATE SPACE, INFRASTRUCTURE, AND AMENITIES CONSISTENT  WITH  INDUSTRY
STANDARDS  FOR  SUCH  VIDEO LOTTERY GAMING OPERATIONS AND TO ENSURE THAT
PERSONS UNDER TWENTY-ONE YEARS OF AGE ARE PROHIBITED  ACCESS  FROM  SUCH
AREAS,  THAT EMPLOYEES INVOLVED IN THE OPERATION OF VIDEO LOTTERY GAMING
PURSUANT TO THIS SECTION ARE LICENSED BY THE RACING AND WAGERING  BOARD,
AND  SUCH  OTHER  TERMS  AND CONDITIONS OF LICENSURE AS THE DIVISION MAY
ESTABLISH.   NOTWITHSTANDING ANY INCONSISTENT PROVISION  OF  LAW,  VIDEO
LOTTERY  GAMING  AT  A COMMERCIAL BOWLING ESTABLISHMENT PURSUANT TO THIS
SECTION SHALL BE DEEMED AN APPROVED ACTIVITY FOR SUCH BOWLING ESTABLISH-
MENT UNDER THE RELEVANT CITY, COUNTY,  TOWN,  OR  VILLAGE  LAND  USE  OR
ZONING ORDINANCES, RULES, OR REGULATIONS. NO BOWLING ESTABLISHMENT OPER-
ATING  VIDEO  LOTTERY  GAMING  PURSUANT  TO  THIS SECTION MAY HOUSE SUCH
GAMING ACTIVITY IN A STRUCTURE DEEMED OR APPROVED  BY  THE  DIVISION  AS
"TEMPORARY" FOR A DURATION OF LONGER THAN EIGHTEEN MONTHS.
  S 3. This act shall take effect immediately.