The bill establishes new provisions within chapter 67.16 RCW to allow the Washington Horse Racing Commission to impose fees necessary for compliance with the Horseracing Integrity and Safety Act of 2020. It authorizes the commission to set reasonable fees, which will be deposited into a newly created Washington equine industry federal regulatory account. This account is intended to cover federal fees and direct costs associated with the act, ensuring that the state meets its regulatory obligations.

Additionally, the bill mandates that by July 1, 2027, and annually thereafter, the state treasurer will transfer up to $1,500,000 from the general fund to the regulatory account, based on revenues from state parimutuel and sales taxes related to class 1 racing associations. This amount may be adjusted for inflation and federal fee changes. The funds in the regulatory account can only be used for specific expenditures related to federal compliance, ensuring that the horse racing industry in Washington is adequately funded to meet its regulatory requirements.