(a) The commission shall establish as Texas Derbies the following annual stakes races:
(1) one race open to three-year-old Thoroughbreds;
(2) one race open only to three-year-old Texas-bred Thoroughbreds;
(3) one race open to three-year-old quarter horses; and
(4) one race open only to three-year-old Texas-bred quarter horses.
(b) Each Texas Derby must be held annually on a date and at the class 1 racetrack determined by the commission. The commission shall determine the location of each Texas Derby in consultation with:
(1) each class 1 racetrack;
(2) the official state horse breed registries; and
(3) the official horsemen's organization.
(c) The commission may sell the right to name a Texas Derby. The commission shall deposit the proceeds from the sale of the right to name a Texas Derby into the Texas Derby escrow purse fund established under Section 2031.004.