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S.F. No. 1575 - Minnesota Racing Commission Ongoing Operation Appropriation
Author: Senator Eric R. Pratt
Prepared By: Stephanie James, Senate Counsel (651/296-0103)
Date: March 8, 2017


Several sections of this bill create statutory appropriations to the Racing Commission that are contingent on a failure to enact an appropriation to the Racing Commission, as might occur if a biennial budget is not enacted. Section 4 creates a statutory appropriation that is not contingent on such a failure. The bill makes other changes related to fees collected from advance deposit wagering and to permitted uses of money from certain fees.

Section 1 [Disposition of proceeds; account] appropriates money to the Racing Commission for operations if a biennium ends without an appropriation to the Racing Commission for the following biennium.  The money is appropriated from the racing and card playing regulation account into which is deposited licensing and other fees imposed by the Racing Commission.  The appropriation is annual and ongoing until a biennial appropriation is enacted.  The amount of the appropriation is capped at the amount authorized in the second year of the most recently enacted biennial appropriation. 

This section also adds “regulatory fees” related to advance deposit wagering enacted in 2016 to a list of money to be distributed in a specified manner.

Section 2 [Reimbursement account credit] requires the Racing Commission to continue operations if the major appropriation bills needed to finance state government are not enacted by the beginning of a fiscal biennium.

This section also adds regulatory oversight to the list of permitted uses for an existing statutory appropriation of money that is received by the commission for veterinarian, steward, and medical testing services and from regulatory fees for advance deposit wagering. 

Section 3 [Appropriation for Functions Supporting Ongoing Operation of the Racing Commission] appropriates money from the general fund to the commissioner of management and budget for accounting, procurement, payroll, and human services for the Racing Commission if legislation isn’t enacted by July 1 in an odd-numbered year that appropriates that money.  Permits the commissioner of management and budget to transfer a portion of this appropriation to other state agencies to support these functions. A subsequent appropriation to the commissioner of management and budget for a biennium supersedes and replaces this funding.

Section 4 [Reimbursement to commission] creates a statutory appropriation to the Racing Commission of money collected by the Racing Commission from card club operators to reimburse the Racing Commission for its costs or regulating card clubs. This statutory appropriation is not contingent on a shutdown.

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