N.Y. Racing, Pari-Mutuel Wagering and Breeding Law § 509-a

§ 509-a. Capital acquisition fund. 1. The corporation may create and\nestablish a capital acquisition fund for the purpose of financing the\nacquisition, construction or equipping of offices, facilities or\npremises of the corporation. Such capital acquisition fund shall consist\nof (i) the amounts specified pursuant to subdivision three-a of section\nfive hundred thirty-two of this chapter; and (ii) contributions from the\ncorporation's pari-mutuel wagering pools, subject to the following\nlimitations:\n a. no contribution shall exceed the amount of one percent of the total\npari-mutuel wagering pools for the quarter in which the contribution is\nmade;\n b. no contribution shall reduce the amount of quarterly net revenues,\nexclusive of surcharge revenues, to an amount less than fifty percent of\nsuch net revenues; and\n c. the balance of the fund shall not exceed the lesser of one percent\nof total pari-mutuel wagering pools for the previous twelve months or\nthe undepreciated value of the corporation's offices, facilities and\npremises.\n 2. a. Notwithstanding any other provision of law or regulation to the\ncontrary, from April nineteenth, two thousand twenty-one to March\nthirty-first, two thousand twenty-two, twenty-three percent of the\nfunds, not to exceed two and one-half million dollars, in the Catskill\noff-track betting corporation's capital acquisition fund and\ntwenty-three percent of the funds, not to exceed four hundred forty\nthousand dollars, in the Capital off-track betting corporation's capital\nacquisition fund established pursuant to this section shall also be\navailable to such off-track betting corporation for the purposes of\nstatutory obligations, payroll, and expenditures necessary to accept\nauthorized wagers.\n b. Notwithstanding any other provision of law or regulation to the\ncontrary, from April first, two thousand twenty-two to March\nthirty-first, two thousand twenty-three, twenty-three percent of the\nfunds, not to exceed two and one-half million dollars, in the Catskill\noff-track betting corporation's capital acquisition fund established\npursuant to this section, and twenty-three percent of the funds, not to\nexceed four hundred forty thousand dollars, in the Capital off-track\nbetting corporation's capital acquisition fund established pursuant to\nthis section, shall be available to such off-track betting corporations\nfor the purposes of statutory obligations, payroll, and expenditures\nnecessary to accept authorized wagers.\n c. Notwithstanding any other provision of law or regulation to the\ncontrary, from April first, two thousand twenty-three to March\nthirty-first, two thousand twenty-four, twenty-three percent of the\nfunds, not to exceed two and one-half million dollars, in the Catskill\noff-track betting corporation's capital acquisition fund established\npursuant to this section, and one million dollars in the Capital\noff-track betting corporation's capital acquisition fund established\npursuant to this section, shall be available to such off-track betting\ncorporation for the purposes of expenditures necessary to accept\nauthorized wagers; past due statutory obligations to New York licensed\nor franchised racing corporations or associations; past due contractual\nobligations due to other racing associations or organizations for the\ncosts of acquiring a simulcast signal; past due statutory payment\nobligations due to the New York state thoroughbred breeding and\ndevelopment fund corporation, agriculture and New York state horse\nbreeding development fund, and the Harry M. Zweig memorial fund for\nequine research; and past due obligations due the state.\n d. Notwithstanding any other provision of law or regulation to the\ncontrary, from April first, two thousand twenty-four to March\nthirty-first, two thousand twenty-five, twenty-three percent of the\nfunds, not to exceed two and one-half million dollars, in the Catskill\noff-track betting corporation's capital acquisition fund established\npursuant to this section, and one million dollars in the Capital\noff-track betting corporation's capital acquisition fund established\npursuant to this section, shall be available to such off-track betting\ncorporation for the purposes of expenditures necessary to accept\nauthorized wagers; past due statutory obligations to New York licensed\nor franchised racing corporations or associations; past due contractual\nobligations due to other racing associations or organizations for the\ncosts of acquiring a simulcast signal; past due statutory payment\nobligations due to the New York state thoroughbred breeding and\ndevelopment fund corporation, agriculture and New York state horse\nbreeding development fund, and the Harry M. Zweig memorial fund for\nequine research; and past due obligations due the state.\n e. Notwithstanding any other provision of law or regulation to the\ncontrary, from April first, two thousand twenty-five to March\nthirty-first, two thousand twenty-six, one million dollars in the\nCapital off-track betting corporation's capital acquisition fund\nestablished pursuant to this section shall be available to such\noff-track betting corporation for the purposes of expenditures necessary\nto accept authorized wagers; past due statutory obligations to New York\nlicensed or franchised racing corporations or associations; past due\ncontractual obligations due to other racing associations or\norganizations for the cost of acquiring a simulcast signal; past due\nstatutory payment obligations due to the New York state thoroughbred\nbreeding and development fund corporation, agriculture and New York\nstate horse breeding development fund, and the Harry M. Zweig memorial\nfund for equine research; and past due obligations due the state.\n f. Notwithstanding any other provision of law or regulation to the\ncontrary, from April first, two thousand twenty-six to March\nthirty-first, two thousand twenty-seven, one million dollars in the\nCapital off-track betting corporation's capital acquisition fund\nestablished pursuant to this section, shall be available to such\noff-track betting corporation for the purposes of expenditures necessary\nto accept authorized wagers; past due statutory obligations to New York\nlicensed or franchised racing corporations or associations; past due\ncontractual obligations due to other racing associations or\norganizations for the cost of acquiring a simulcast signal; past due\nstatutory payment obligations due to the New York state thoroughbred\nbreeding and development fund corporation, agriculture and New York\nstate horse breeding development fund, and the Harry M. Zweig memorial\nfund for equine research; and past due obligations due the state.\n g. Prior to a corporation being able to utilize the funds authorized\nby paragraph c, d, e or f of this subdivision, the corporation must\nattest that the surcharge monies from section five hundred thirty-two of\nthis chapter are being held separate and apart from any amounts\notherwise authorized to be retained from pari-mutuel pools and all\nsurcharge monies have been and will continue to be paid to the\nlocalities as prescribed in law. Once this condition is satisfied, the\ncorporation must submit an expenditure plan to the gaming commission for\nreview. Such plan shall include the corporation's outstanding\nliabilities, projected revenue for the upcoming year, a detailed\nexplanation of how the funds will be used, and any other information\nnecessary to detail such plan as determined by the commission. Upon\nreview, the commission shall make a determination as to whether the\nrequirements of this paragraph have been satisfied and notify the\ncorporation of expenditure plan approval. In the event the commission\ndetermines the requirements of this paragraph have not been satisfied,\nthe commission shall notify the corporation of all deficiencies\nnecessary for approval. As a condition of such expenditure plan\napproval, the corporation shall provide a report to the commission no\nlater than the last day of the calendar year for which the funds are\nrequested, which shall include an accounting of the use of such funds.\nAt such time, the commission may cause an independent audit to be\nconducted of the corporation's books to ensure that all moneys were\nspent as indicated in such approved plan. The audit shall be paid for\nfrom money in the fund established by this section. If the audit\ndetermines that a corporation used the money authorized under this\nsection for a purpose other than one listed in their expenditure plan,\nthen the corporation shall reimburse the capital acquisition fund for\nthe unauthorized amount.\n 3. The Catskill off-track betting corporation and the Capital\noff-track betting corporation shall make a report to the governor,\nspeaker of the assembly, temporary president of the senate and the\ncommission detailing the actual use of the funds made available in the\ncapital acquisition fund. Such report shall include, but not be limited\nto, any impact on employment levels since utilizing the funds, the\nstatus of any statutory obligations, an accounting of the use of such\nfunds, and any other information as deemed necessary by the commission.\nSuch report shall be due no later than the last day of the fiscal year\nin which the monies were spent.\n