BILL NUMBER: S8433
SPONSOR: ADDABBO
 
TITLE OF BILL:
An act to amend the racing, pari-mutuel wagering and breeding law, in
relation to wagers on certain horse racing events and authorizing agree-
ments between a mobile sports wagering operator, mobile sports wagering
licensee, or operator and certain entities; and providing for the repeal
of such provisions upon expiration thereof  
PURPOSE:
To establish a program pursuant to which fixed odds sports wagering may
be made on certain horse racing events.  
SUMMARY OF PROVISIONS:
Section 1. Amends section 1367(1) of the Racing, Pari-Mutuel Wagering
and Breeding Law to add definitions of "horse racing event" and "fixed
odds sports wagering agreement."
Section 2. Amends section 1367(1)(s) of the Racing, Pari-Mutuel Wagering
and Breeding Law to make clear that a "prohibited sports event" for
purposes of sports wagering shall only include those horse racing events
where there is not otherwise a Fixed odds sports wagering agreement in
place.
Section 3. Amends section 1367(2) by adding a new paragraph that details
how fixed odds may be accepted on horse racing, subject to a fixed odds
sports wagering agreement and explains who may enter into such agree-
ments, subject to the Gaming Commission's approval. The new paragraph
also ensures that the applicable horsemen's association shall have the
opportunity to enter into an agreement with the track offering fixed
odds to set for the type of fixed odds wagers that will be permitted.
The law would similarly detail how the revenues generated from such
arrangements would be distributed between the thoroughbred and standard-
bred industries, and then details how, within each of those industries,
the revenues would be allocated. That includes supports for purses and
the applicable breeding funds.
Section 4. Provides for an April 1, 2026 effective date and a three year
sunset date.
 
JUSTIFICATION:
As part of the 2021 enacted budget, New York State authorized the Gaming
Commission to license mobile sports wagering operators. Those licenses
have since been awarded to entities tasked with offering gaming opportu-
nities that will lead to the best financial opportunities for the state
of New York and in the years following the issuance of the licenses, New
York has collected billions of dollars in taxes on mobile sports bets,
most of which is allocated to education funding. This State revenue has
the potential to grow if the law was adjusted to ensure that horse
tracks and sports wagering providers were authorized to enter into
agreements that would allow for New Yorkers to make fixed odds wagers on
horse racing. This would both help grow the sports wagering tax revenue,
while also open new opportunities for parimutuel wagering. This legis-
lation would enable sports wagering providers to offer that opportunity,
should they so choose, but only if they enter into an agreement with the
horse racing content provider. If enacted, these changes could generate
as much as a quarter of a billion dollars in new tax revenue for the
State of New York.
 
LEGISLATIVE HISTORY:
New Bill.
 
FISCAL IMPLICATIONS:
TBD
 
EFFECTIVE DATE:
This act shall take effect April 1, 2026,