HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/HB 909 Pari-mutuel Permitholders
SPONSOR(S): Commerce Committee, Esposito
TIED BILLS: IDEN./SIM. BILLS: SB 778
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Regulatory Reform & Economic Development 12 Y, 1 N Thompson Anstead
Subcommittee
2) State Administration & Technology 12 Y, 1 N Helpling Topp
Appropriations Subcommittee
3) Commerce Committee 17 Y, 1 N, As CS Thompson Hamon
SUMMARY ANALYSIS
The Florida Gaming Control Commission (Commission) is responsible for exercising all regulatory and executive
powers of the state with respect to gambling, including pari-mutuel wagering, cardrooms, and slot machine facilities.
The Florida Pari-mutuel Wagering Act (Act) provides specific permitting and licensure requirements for the pari -
mutuel industry. Pari-mutuel wagering activities are limited to operators who have received a permit from the
Commission, which is then subject to ratification by county referendum. Permitholders apply for an operating license
annually to conduct pari-mutuel wagering activities. Certain permitholders are authorized to operate cardrooms and
slot machines at their facility.
The bill revises provisions related to pari-mutuel wagering licenses, permit and application procedures, as follows:
Authorizes the Commission to penalize a licensee when a person falsely swears on an application.
Establishes email as the primary service of legal filings for the Commission, including final agency action.
Extends the filing timeframe for pari-mutuel operating license, and thoroughbred racing, applications for
licensure from December 15 - January 4, to January 15 - February 4, the issuance date from March 15 to
April 15, and the application amendment date from February 28 to March 28 .
Authorizes the Commission to approve minor changes in performance dates for pari -mutuel wagering
permitholders, removes the standards related to permitholders objecting to such changes, and makes it
permissive, instead of mandatory, for the Commission to consider the impact of such changes to state
revenues.
Authorizes the Commission to take action against a racetrack occupa tional licensee who has been subject
to certain federal horseracing penalties, including for a finding of a prohibited substance in an animal.
Establishes a single audit and reporting requirement for pari-mutuel and slot machine permitholders.
Revises the application and issuance fiscal year, submission, and issuance dates of nonwagering licenses
to line up with the pari-mutuel operating license timeframes.
Removes the authority of the Commission to conduct an eligibility investigation relating to new own ership or
management interest in a nonwagering permit.
Authorizes the Commission to waive the disqualifying offenses for slot machine occupational license
applicants in certain circumstances.
Allows certain pari-mutuel lease agreements between certain types of permitholders.
Effective upon becoming law, clarifies that certain horse racetracks in the state may continue to receive
broadcasts of horseraces conducted at horse racetracks outside of Florida.
The bill does not appear to have a fiscal impact on state or local government. The bill may have a positive fiscal
impact on the private sector.
The effective date of the bill is July 1, 2024.
This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
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FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
General Overview of Gaming in Florida
Gambling is generally prohibited in Florida, unless specifically authorized. Section 7, Art. X, of the
Florida Constitution prohibits lotteries, other than pari-mutuel pools, from being conducted in Florida.
Chapter 849, F.S., includes prohibitions against slot machines, keeping a gambling house and running
a lottery. However, a constitutional amendment approved by voters in 1986 authorized state-operated
lotteries, and a constitutional amendment in 2004, authorized slot machines in Miami-Dade and
Broward Counties.
The following gaming activities are also authorized by law and regulated by the state:
Pari-mutuel1 wagering;2
Gaming on tribal reservations in accordance with the Indian Gaming and Regulatory Act and the
2010 Gaming Compact with the Seminole Tribe of Florida;
Slot machine gaming at certain licensed pari-mutuel locations in Miami-Dade County and
Broward County;3 and
Cardrooms 4 at certain pari-mutuel facilities.
Chapter 849, F.S., also authorizes, under specific and limited conditions, the conduct of penny-ante
games,5 bingo,6 charitable drawings,7 game promotions (sweepstakes),8 bowling tournaments,9 and
skill-based amusement games and machines at specified locations. 10
In 2013, the Legislature clarified that Internet café style gambling machines were illegal in the state.
The legislation clarified existing sections of law regarding slot machines, charitable drawings, game
promotions, and amusement machines and created a rebuttable presumption that machines used to
simulate casino-style games in schemes involving consideration and prizes are prohibited slot
machines.11
In 2015, the Legislature determined that the regulation of the operation of skill-based amusement
games and machines would ensure compliance with Florida’s limitations on gam bling and prevent the
expansion of casino-style gambling. The Legislature clarified regulations related to the operation and
use of amusement games or machines to ensure that regulations would not be interpreted as creating
an exception to the state's general prohibitions against gambling.12
Amendment to Florida Constitution Prohibiting Racing of and Wagering on Greyhounds or Other Dogs
1 “Pari-mutuel” is defined in Florida law as “a system of betting on races or games in which the winners divide the total amount bet,
after deducting management expenses and taxes, in proportion to the sums they have wagered individually and with regard to the odds
assigned to particular outcomes. See s. 550.002(22), F.S.
2 See ch. 550, F.S., relating to the regulation of pari-mutuel activities.
3 See FLA. CONST ., art. X, s. 23, and ch. 551, F.S.
4 S. 849.086(2)(c), F.S., defines “cardroom” to mean “a facility where authorized card games are played for money or anything of
value and to which the public is invited to participate in such games and charged a fee for participation by the operator of such
facility.”
5 S. 849.085, F.S.
6 S. 849.0931, F.S.
7 S. 849.0935, F.S.
8 S. 849.094, F.S., authorizes game promotions in connection with the sale of consumer products or services.
9 S. 849.141, F.S.
10 S. 546.10, F.S.
11 Florida House of Representatives Select Committee on Gaming, Final Bill Analysis of 2013 CS/HB 155, p. 1 (Apr. 19, 2013).
12 S. 546.10, F.S.
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During the 2018 General Election, voters approved an initiative constitutional amendment,
Amendment 13, Prohibition on Racing of and Wagering on Greyhounds or Other Dogs, which has been
codified in the State Constitution as Article X, Section 32.13
Article X, Section 32 states:
Prohibition on racing of and wagering on greyhounds or other dogs.—The humane
treatment of animals is a fundamental value of the people of the State of Florida. After
December 31, 2020, a person authorized to conduct gaming or pari-mutuel operations
may not race greyhounds or any member of the Canis Familiaris subspecies in connection
with any wager for money or any other thing of value in this state, and persons in this
state may not wager money or any other thing of value on the outcome of a live dog race
occurring in this state. The failure to conduct greyhound racing or wagering on greyhound
racing after December 31, 2018, does not constitute grounds to revoke or deny renewal of
other related gaming licenses held by a person who is a licensed greyhound permitholder
on January 1, 2018, and does not affect the eligibility of such permitholder, or such
permitholder’s facility, to conduct other pari-mutuel activities authorized by general law. By
general law, the legislature shall specify civil or criminal penalties for violations of this
section and for activities that aid or abet violations of this section.
As of January 1, 2021, wagering on live greyhound racing in Florida is completely prohibited. However,
cardroom and slot machine facilities by such permitholders may continue to operate after the closure of
racing activities.
Pari-mutuel Wagering
Since approximately 1931, pari-mutuel wagering has been authorized in Florida for jai alai, greyhound
racing, and horseracing. These activities are overseen and regulated14 by the Division of Pari-Mutuel
Wagering (Division) at the Florida Gaming Control Commission (Commission), which is housed within
the Department of Legal Affairs, Office of the Attorney General.15 The Commission is tasked with
exercising all regulatory and executive powers of the state on all forms of gambling authorized by the
State Constitution or law including pari-mutuel wagering, card rooms, slot machine facilities, and the
oversight of gaming compacts under the federal Indian Gaming Regulatory Act but excluding state
lottery games authorized by the State Constitution.16
Pari-mutuel Wagering State Revenue
License fees and taxes collected by pari-mutuel wagering permitholders, including slot machine and
cardroom permitholders, are deposited with the Chief Financial Officer, to the credit of the Pari-mutuel
Wagering Trust Fund. Slot machine tax revenue is transferred from the Pari-mutuel Wagering Trust
Fund to the Educational Enhancement Trust Fund to supplement public education funding statewide.
Taxes collected by cardrooms are split between the Pari-mutuel Wagering Trust Fund and the General
Revenue Fund. During the 2022-2023 fiscal year, the pari-mutuel industry operated 447 racing and
gaming days, which resulted in state revenue of $6,291,327, total paid attendance of 61,775, and total
pari-mutuel handle of $469,498,714.17
Pari-mutuel Wagering Live Performance Requirements
13 See the text of Amendment 13, now codified as art. X, s. 32, at
http://www.leg.state.fl.us/Statutes/index.cfm?Mode=Constitution&Submenu=3&Tab=statutes#A10S32 (last visited Jan. 27, 2024).
14 From 1932 to 1969, Florida’s pari-mutuel industry was regulated by the State Racing Commission. In 1970, the Commission
became a division within the Department of Business Regulation, which, in 1993, became DBPR.
15 See ss. 16.71-16.716, F.S.
16 S. 16.712, F.S.
17 Florida Gaming Control Commission, Annual Report Fiscal Year 2022-2023, https://flgaming.gov/pmw/annual-reports/docs/2022-
2023%20FGCC%20Annual%20Report.pdf (last visited Jan. 12, 2024).
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Currently, only thoroughbred permitholders are required to conduct live racing. 18 Greyhound
permitholders may not conduct live racing, and jai alai permitholders, harness horse racing
permitholders, or quarter horse racing permitholders may elect not to conduct live racing or games.
A greyhound permitholder, jai alai permitholder, harness horse racing permitholder, or quarter horse
racing permitholder that does not conduct live racing or games: 19
Retains its permit;
Is a pari-mutuel facility as defined in s. 550.002(23), F.S.;
Is eligible, but not required, to be a guest track, and if the permitholder is a harness horse racing
permitholder, is eligible to be a host track for purposes of intertrack wagering and simulcasting
pursuant to ss. 550.3551, 550.615, 550.625, and 550.6305, F.S.; and
Remains eligible for a cardroom license.
A permitholder or licensee may not conduct live greyhound racing or dogracing in connection with any
wager for money or any other thing of value in the state. The Division is authorized to deny, suspend,
or revoke any permit or license in ch. 550, F.S., for conducting live greyhound racing or dogracing in
violation of this provision. In addition to, or in lieu of, denial, suspension, or revocation of such permit or
license, the Division is authorized to impose a civil penalty of up to $5,000. All penalties imposed and
collected must be deposited with the Chief Financial Officer to the credit of the General Revenue
Fund.20
Pari-mutuel Wagering Permitting and Licensure
The Florida Pari-mutuel Wagering Act (Act)21 provides specific permitting and licensing requirements
for the conduct of the pari-mutuel industry.22 Pari-mutuel wagering activities are limited to operators
who have received a permit from the Division, which is then subject to ratification by county
referendum.23 Permitholders apply for an operating license annually to conduct pari-mutuel wagering
activities.24 Certain permitholders are also authorized to operate cardrooms 25 and slot machines at their
facility.26
During Fiscal Year 2021-2022, the following 39 pari-mutuel permitholders were licensed to operate:27
Nineteen Greyhound Racing permits.
Three Thoroughbred Horse Racing permits.
One Harness Horse Racing permit.
Six Quarter Horse Racing permits.
Ten Jai-Alai permits.
The Division is authorized to revoke or suspend any permit or license upon the willful violation by the
permitholder or licensee of any provision of the Act, or any administrative rule adopted by the Division,
and may impose a civil penalty against the permitholder or license up to $1,000 for each offense. 28
During Fiscal Year 2022-2023, the Division issued 22 rulings and five consent orders with assessed
fines and/or imposed license suspensions for violations. 29
18 S. 550.01215(1)(b)1., F.S.
19 Id.
20 S. 550.01215(1)(b)2., F.S.
21 Ch. 550, F.S.
22 S. 550.054(1), F.S.
23 S. 550.054(2), F.S.
24 S. 550.0115, F.S.
25 S. 849.086, F.S.
26 S. 551.104, F.S.
27 Florida Gaming Control Commission, Annual Report Fiscal Year 2022-2023, https://flgaming.gov/pmw/annual-reports/docs/2022-
2023%20FGCC%20Annual%20Report.pdf (last visited Jan. 12, 2024).
28 S. 550.054(9)(b), F.S.
29 Florida Gaming Control Commission, Annual Report Fiscal Year 2022-2023, https://flgaming.gov/pmw/annual-reports/docs/2022-
2023%20FGCC%20Annual%20Report.pdf (last visited Jan. 12, 2024).
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Pari-mutuel Wagering License Restrictions
The Act generally requires that any transfer or assignment of a permit receive prior approval 30 by the
Commission, which must determine the eligibility31 of persons and entities to hold a permit. Similarly, if
a permit is held by a corporation or business entity other than an individual, the transfer of ten percent
or more of the stock or other evidence of ownership or equity in the permitholder may not be made
without the prior approval of the transferee by the Commission.32
The Act provides restrictions on which persons and entities (including but not limited to employees,
officers and directors, partners, and owners of the permitholder) may hold permits, based on whether
they are of “good moral character,” or have been convicted of a disqualifying felony33 or for
bookmaking.34
The Act restricts pari-mutuel permitholders from being issued an operating license to conduct pari-
mutuel wagering, slot machine gaming, or the operation of a cardroom if the permitholder did not hold
an operating license for the conduct of pari-mutuel wagering for Fiscal Year 2020-2021.35
The Act restricts pari-mutuel permitholders from holding a permit to conduct pari-mutuel wagering
and associated cardroom or slot machine licenses 36 unless the permitholder, other than a limited
thoroughbred permitholder, held an operating license for the conduct of pari-mutuel wagering for Fiscal
year 2020-2021.37
The Act specifies that permits held on January 1, 2021 are deemed valid,38 but new permits for pari-
mutuel wagering may not be approved or issued.39
The Commission is required to revoke the permit of any permitholder, other than a limited thoroughbred
permitholder, who did not hold an operating license for the conduct of pari-mutuel wagering for fiscal
year 2020-2021. A permit revoked under this provision is void and may not be reissued. 40
Certain permitholders may relocate the location listed in their permit to a new location within 30
miles. Greyhound and jai alai permitholders operating in counties where they are the only permitholder
of that class may relocate.41 Greyhound permitholders that converted their permit from a jai alai permit
may relocate, and a greyhou