PART 8. TEXAS RACING COMMISSION
CHAPTER 309. RACETRACK LICENSES AND OPERATIONS
SUBCHAPTER A. RACETRACK LICENSES
16 TAC §309.8
The Texas Racing Commission (Commission) adopts amendments
to 16 TAC §309.8, Racetrack License Fees, relating to the fees
charged to pari-mutuel racetrack license holders, without changes.
The proposed amendments were published in the March 13, 2009, issue
of the Texas Register (34 TexReg 1772).
The Commission proposed the amendments in conjunction with the emergency
adoption of the identical amendments as published in the March 13,
2009, issue of the Texas Register (34 TexReg 1769).
The purpose of the amendments is to provide additional revenue
to the Commission to administer the Texas Racing Act and support the
regulation of live and simulcast racing. The amendments increase the
annual license fee for licensed but inactive pari-mutuel racetracks
by $25,000 annually.
At the meeting of the Commission's Rules Committee on April 2,
2009, representatives of three inactive racetrack license holders
expressed interest in substituting higher annual inactive fees for
the use of security bonds. However, at the Committee's meeting on
June 3, 2009, the racetracks expressed no opposition to adoption of
the rule as proposed, and the Commission received no written comments
in response to publication in the Texas Register.
The amendments are therefore adopted without change to the
proposal as published.
The amendments are adopted under the Texas Revised Civil
Statutes, Article 179e, §3.02, which authorizes the Commission
to adopt rules for conducting horse or greyhound racing involving
wagering and other rules to administer the Texas Racing Act, and §5.01,
which requires the Commission to set fees by rule in amounts reasonable
and necessary to cover the Commission's costs of regulating, overseeing,
and licensing live and simulcast racing at racetracks.
This agency hereby certifies that the adoption has been
reviewed by legal counsel and found to be a valid exercise of the
agency's legal authority.
Filed with the Office of the Secretary of State on June 24, 2009.
TRD-200902609
Mark Fenner
General Counsel
Texas Racing Commission
Effective date: July 14, 2009
Proposal publication date: March 13, 2009
For further information, please call: (512) 833-6699
16 TAC §309.11, §309.12
The Texas Racing Commission (Commission) adopts new
16 TAC §309.11, Fees for Requests to Approve a Transfer of Pecuniary
Interests, with changes and 16 TAC §309.12, Fees for Requests
to Approve Change of Location, without changes. Section 309.11 relates
to the fees that a racing association must pay in order for the Commission
to review a request to transfer an ownership interest in the association
and for the Commission to reimburse the Department of Public Safety
for the required background investigation. Section 309.12 relates
to the fees that a racing association must pay in order for the Commission
to review a request to change the association's location. The proposed
amendments were published in the March 13, 2009, issue of the Texas Register
(34 TexReg 1773).
The new rules allow the Commission to recover the costs of reviewing
and approving requests for changes in ownership and location of racetrack
licenses. New §309.11 requires that the association pay a processing
fee and a background investigation fee when requesting Commission
approval to transfer an ownership interest. New §309.12 requires
that the association pay a processing fee when requesting Commission
approval to change location.
The proposal for new §309.11 was discussed at the Commission's
Rules Committee meetings on April 2 and June 3, 2009. The racetracks
asked for clarification as to whether the fee applied to each transfer,
or whether multiple transfers for a track could be consolidated into
a single request and have only one fee. The tracks also expressed
concern that the fee was too high for transfers of less than 1% interest
in a track. As a result, new §309.11 is adopted with a revision
that clarifies that each transfer requires a separate payment of the
appropriate fee. The revision also reduced the cost for ownership
transfers of less than 1% to $25.
The proposal for new §309.12 was also discussed at the Rules
Committee meetings on April 2 and June 3, 2009. Some racetracks asked
whether it would be appropriate to have the same fee for both Class
1 and Class 2 racetracks, as they require similar amounts of effort
by staff to review requested changes in location. Staff agreed that
the efforts are similar, but observed that the rules generally charge
higher fees to Class 1 licenses than for Class 2 licenses, and that
regardless of class, the designated amounts are not a determination
of the final fee. As a result, new §309.12 is adopted without
changes to the proposal as published.
The new rules are adopted under the Texas Revised Civil
Statutes, Article 179e, §3.02, which authorizes the Commission
to adopt rules for conducting horse or greyhound racing involving
wagering and other rules to administer the Texas Racing Act, and §5.01,
which requires the Commission to set fees by rule in amounts reasonable
and necessary to cover the Commission's costs of regulating, overseeing,
and licensing live and simulcast racing at racetracks.
§309.11.Fees for Requests to Approve a Transfer of Pecuniary Interests.
(a) General Provisions. A license holder who requests
Commission approval to transfer a pecuniary interest in a racetrack
license must submit with the request a fee in an amount set by the
Commission.
(b) Fees.
(1) The request fee is composed of a variable processing
charge and investigation charge. The processing charge is the amount
needed by the Commission to cover the administrative costs of processing
the request. The investigation charge is the amount needed by the
Commission to cover the costs incurred by the Department of Public
Safety and Commission staff for conducting the background investigation
on the proposed transferee. A license holder must pay all charges
contemporaneously with filing the request. The Commission will take
no action on a request under this section unless the requestor submits
the total amount of the request fee with the request. The Commission
shall hold the request fee in the state treasury in a suspense account.
The Commission may transfer the processing funds due to the Commission
to the Texas Racing Commission Fund as costs are incurred. If the
actual costs to the Commission of processing the request or conducting
the investigation exceed the amount deposited for the applicable charge,
the requestor shall pay the remaining amount not later than 10 business
days after receipt of a bill from the Commission. If the costs of
processing the request or conducting the investigation are less than
the amount of the charge, the Commission shall refund the excess not
later than 10 business days after the Commission's decision on the
request becomes final.
(2) The fees for a request for Commission approval
to approve a transfer of pecuniary interests in a racetrack license
that effects a change in the controlling interest of that license
are as follows:
(A) The amount to be deposited for the processing charge
for a horse racetrack request is:
(i) for a Class 1 racetrack, $50,000;
(ii) for a Class 2 racetrack, $25,000;
(iii) for a Class 3 racetrack, $10,000; and
(iv) for a Class 4 racetrack, $2,500.
(B) The amount to be deposited for the investigation
charge for a horse racetrack request is:
(i) for a Class 1 racetrack, $25,000;
(ii) for a Class 2 racetrack, $10,000;
(iii) for a Class 3 racetrack, $1,500; and
(iv) for a Class 4 racetrack, $1,000.
(C) The amount to be deposited for the processing charge
for a greyhound racetrack request is $50,000.
(D) The amount to be deposited for the investigation
charge for a greyhound racetrack request is $25,000.
(3) The fees for a request for Commission approval
to approve a transfer of pecuniary interests of 5.0% or more in a
racetrack license, but that does not effect a change in the controlling
interest of that license, are as follows:
(A) The amount to be deposited for the processing charge
for a horse racetrack request is:
(i) for a Class 1 racetrack, $500;
(ii) for a Class 2 racetrack, $250;
(iii) for a Class 3 racetrack, $100; and
(iv) for a Class 4 racetrack, $50.
(B) For each proposed transfer of pecuniary interests
of 5.0% or more, the amount to be deposited for the investigation
charge for a horse racetrack request is:
(i) for a Class 1 racetrack, $1,000;
(ii) for a Class 2 racetrack, $500;
(iii) for a Class 3 racetrack, $250; and
(iv) for a Class 4 racetrack, $125.
(C) The amount to be deposited for the processing charge
for a greyhound racetrack request is $500.
(D) The amount to be deposited for the investigation
charge for a greyhound racetrack license request is $1,000.
(4) The fees for a request for Commission approval
to approve a transfer of pecuniary interests of more than 1.0% and
less than 5.0% in a racetrack license and that does not effect a change
in the controlling interest of that license are as follows:
(A) The amount to be deposited for the processing charge
for a horse racetrack request is:
(i) for a Class 1 racetrack, $100;
(ii) for a Class 2 racetrack, $100;
(iii) for a Class 3 racetrack, $50; and
(iv) for a Class 4 racetrack, $25.
(B) For each proposed transfer of pecuniary interests
of more than 1.0% and less than 5.0%, the amount to be deposited for
the investigation charge for a horse racetrack request is:
(i) for a Class 1 racetrack, $500;
(ii) for a Class 2 racetrack, $250;
(iii) for a Class 3 racetrack, $125; and
(iv) for a Class 4 racetrack, $50.
(C) The amount to be deposited for the processing charge
for a greyhound racetrack request is $100.
(D) The amount to be deposited for the investigation
charge for a greyhound racetrack request is $500.
(5) The fees for a request for Commission approval
to approve a transfer of pecuniary interests of 1.0% or less in a
racetrack license and that does not effect a change in the controlling
interest of that license are as follows:
(A) The amount to be deposited for the processing charge
for a horse racetrack request is $25.
(B) For each proposed transfer of pecuniary interests
of 1.0% or less, the amount to be deposited for the investigation
charge for a horse racetrack request is $50.
(C) The amount to be deposited for the processing charge
for a greyhound racetrack request is $25.
(D) The amount to be deposited for the investigation
charge for a greyhound racetrack request is $50.
This agency hereby certifies that the adoption
has been reviewed by legal counsel and found to be a valid exercise
of the agency's legal authority.
Filed with the Office of the Secretary of State on June 24, 2009.
TRD-200902610
Mark Fenner
General Counsel
Texas Racing Commission
Effective date: July 14, 2009
Proposal publication date: March 13, 2009
For further information, please call: (512) 833-6699
SUBCHAPTER B. SPECIFIC LICENSES
16 TAC §311.104
The Texas Racing Commission (Commission) adopts amendments
to 16 TAC §311.104, Trainers, relating to the qualifications
and responsibilities of trainers with changes to the proposed text
as published in the March 13, 2009, issue of the Texas Register
(34 TexReg 1775). The amendments are adopted
with one correction to the text as published. The correction provides
that an applicant who fails a second practical examination may not
reschedule another practical examination for 365 days after the day
the applicant failed the second, instead of the first, practical examination.
The amendments will provide additional revenue to the Commission
to administer the Texas Racing Act and to support the regulation of
live and simulcast racing. They will also reduce unnecessary expenses
caused by trainer candidates who have requested examinations before
being adequately prepared and who have missed scheduled examinations
without adequate notice. The changes to §311.104 create a $50
fee for administering the written and practical examination to become
a trainer. They also provide that failure to timely reschedule a missed
exam will result in loss of the testing fee.
The Commission received no written comments in response to the
publication. The proposed amendments were also discussed at the Commission's
Rules Committee meetings on April 2 and June 3, 2009, where no attendee
objected to their adoption.
The amendments are adopted under the Texas Revised Civil
Statutes, Article 179e, §3.02, which authorizes the Commission
to adopt rules for conducting horse or greyhound racing involving
wagering and other rules to administer the Texas Racing Act, and §5.01,
which requires the Commission to set fees by rule in amounts reasonable
and necessary to cover the Commission's costs of regulating, overseeing,
and licensing live and simulcast racing at racetracks.
§311.104.Trainers.
(a) Licensing.
(1) Except as otherwise provided by this subsection,
a trainer must obtain a trainer's license before the trainer may enter
a horse or greyhound in a race. A trainer may enter a horse or greyhound
in a stakes race without first obtaining a license, but must obtain
a license before the horse or greyhound may start in the stakes race.
Except as otherwise provided by this section, to be licensed by the
Commission as a trainer, a person must:
(A) be at least 18 years old;
(B) satisfactorily complete a written examination prescribed
by the Commission; and
(C) satisfactorily complete a practical examination
prescribed by the Commission and administered by the stewards or racing
judges or designee of the stewards or racing judges.
(2) The standard for passing the written examination
must be printed on the examination. A $50 non-refundable testing fee
is assessed for administering the written and practical examinations.
The fee is due and payable at the time the first examination appointment
is scheduled. A minimum of 48 hours advance notice is required to
reschedule an examination appointment without loss of the testing
fee. An applicant who fails to timely reschedule an examination appointment
must pay a new testing fee to reschedule the appointment. An applicant
who fails the written examination may not take the examination again
before the 60th day after the date the applicant failed the examination.
An applicant who fails the practical examination may not reschedule
the practical examination again before the 180th day after the applicant
failed the practical examination. An applicant who fails the practical
examination for a second time may not reschedule another practical
examination for 365 calendar days after the day the applicant failed
the second practical examination and the applicant must pay an additional
$50 non-refundable testing fee. The Commission may waive the requirement
of a written and/or practical examination for a person who has a current
license issued by another pari-mutuel racing jurisdiction. If a person
for whom the examination requirement was waived demonstrates an inability
to adequately perform the duties of a trainer, through excessive injuries,
rulings, or other behavior, the stewards or racing judges may require
the person to take the written examination. If such a person fails
the examination, the stewards or racing judges shall suspend the person's
license for 60 days with reinstatement contingent upon passing the
written examination.
(3) A trainer must use the trainer's legal name to
be licensed as a trainer. A trainer who is also an owner may use a
stable name or kennel name in the capacity of owner.
(4) To be licensed as an assistant trainer, a person
must qualify in all respects for a trainer's license and be in the
employ of a licensed trainer. An assistant trainer's license carries
all the privileges and responsibilities of a trainer's license.
(b) Absolute Insurer.
(1) A trainer shall ensure the health and safety of
each horse or greyhound that is in the care and custody of the trainer.
(2) A trainer shall ensure that a horse or greyhound
that runs a race while in the care and custody of the trainer or kennel
owner is free from all prohibited drugs, chemicals, or other substances.
(3) A trainer who allows a horse or greyhound to be
brought to the paddock or lockout kennel warrants that the horse or
greyhound:
(A) is qualified for the race;
(B) is ready to run;
(C) is in a physical condition to exert its best efforts; and
(D) is entered with the intent to win.
(c) Health Reports.
(1) A trainer shall immediately notify the Commission
veterinarian or designee of unusual symptoms in a horse or greyhound
that is in the trainer's care and custody.
(2) Not later than one hour after finding a dead horse
or greyhound on association grounds, a trainer shall notify the stewards
or racing judges and the Commission veterinarian, or their designee,
of the death. In the absence of regulatory personnel, the trainer
shall notify security personnel on the association grounds.
(d) Owner Suspended. A trainer may not retain a horse
or greyhound in the trainer's care and custody if the Commission has
suspended or revoked the license of the owner of the horse or greyhound.
(e) An individual who is licensed to work for a trainer
is not permitted in the stable or kennel area on association grounds
unless the licensee is employed by and doing work for a trainer on
the association grounds. An individual in the stable or kennel area
on association grounds who is not in the employ of and doing work
for a trainer may be ejected from the stable or kennel area on the
association grounds.
(f) Restrictions on Racing. A trainer may not enter
a race animal or cause a race animal to be entered in a race at a
racetrack if:
(1) the owner or trainer is employed by the racetrack
association in a management or supervisory position that is capable
of affecting the conduct of races or pari-mutuel wagering at the racetrack; or
(2) the owner or trainer is involved in any way with
the sale or publication of tip sheets on association grounds.
(g) Trainer Employees.
(1) A trainer may not employ an individual who is less
than 16 years of age to work for the trainer on an association's grounds.
(2) A trainer may not employ a jockey to prevent the
jockey from riding in a race.
(h) Trainer Absent. If a trainer must be absent because
of illness or any other cause, the trainer shall appoint another licensed
trainer to fulfill his or her duties, and promptly report the appointment
to the stewards or racing judges for approval. The absent trainer
and substitute trainer have joint responsibility for the condition
of the race animals normally trained by the absent trainer.
(i) Suspended, Revoked or Ineligible Horse Trainers.
(1) A person may not assume the responsibilities of
a horse trainer who is ineligible to be issued a license or whose
license is suspended or revoked if the person is related to the trainer
within the first degree of consanguinity or affinity.
(2) A person who assumes the care, custody, or control
of the horses of a suspended, revoked or ineligible horse trainer
may not:
(A) receive any compensation regarding those horses
from the suspended, revoked or ineligible trainer;
(B) pay any compensation regarding those horses to
the suspended, revoked or ineligible trainer;
(C) solicit or accept a loan of anything of value from
the suspended, revoked or ineligible trainer; or
(D) use the farm or individual name of the suspended,
revoked or ineligible trainer when billing customers.
(3) A person who assumes the care, custody, or control
of the horses of a suspended, revoked or ineligible trainer is directly
responsible for all financial matters relating to the care, custody,
or control of the horses.
(4) On request by the Commission, a suspended, revoked
or ineligible trainer or a person who assumes the care, custody, or
control of the horses of a suspended, revoked or ineligible trainer
shall permit the Commission to examine all financial or business records
to ensure compliance with this section.
(j) Reporting to Clocker. When taking a horse onto
a racetrack to work, a horse trainer or an assistant of the trainer
shall report the horse's name and the distance to be worked to the
morning clocker or an assistant clocker or shall instruct the jockey
or exercise rider to transmit the information to the clocker or assistant clocker.
(k) Other Responsibilities - A trainer is responsible for:
(1) the condition and contents of stalls/kennels, tack
rooms, feed rooms, and other areas which have been assigned by the association;
(2) maintaining the assigned stable/kennel area in
a clean, neat and sanitary condition at all times;
(3) ensuring that fire prevention rules are strictly
observed in the assigned stable/kennel area;
(4) training all animals owned wholly or in part by
the trainer that are participating at the race meeting;
(5) ensuring that, at the time of arrival at a licensed
racetrack, each animal in the trainer's care is accompanied by a valid
health certificate/certificate of veterinary inspection;
(6) using the services of those veterinarians licensed
by the Commission to attend animals that are on association grounds;
(7) promptly notifying the official veterinarian of
any reportable disease and any unusual incidence of a communicable
illness in any animal in the trainer's charge;
(8) immediately reporting to the stewards/judges and
the official veterinarian if the trainer knows, or has cause to believe,
that a animal in the trainer's custody, care or control has received
any prohibited drugs or medication;
(9) maintaining a knowledge of the medication record
and status of all animals in the trainer's care;
(10) ensuring the fitness of a animal to perform creditably
at the distance entered; and
(11) ensuring that the trainer's horse is properly
shod, bandaged and equipped.
This agency hereby certifies that the adoption
has been reviewed by legal counsel and found to be a valid exercise
of the agency's legal authority.
Filed with the Office of the Secretary of State on June 24, 2009.
TRD-200902612
Mark Fenner
General Counsel
Texas Racing Commission
Effective date: July 14, 2009
Proposal publication date: March 13, 2009
For further information, please call: (512) 833-6699
SUBCHAPTER A. OFFICIALS
DIVISION 1. APPOINTMENT OF OFFICIALS
CHAPTER 311. OTHER LICENSES
CHAPTER 315. OFFICIALS AND RULES FOR GREYHOUND RACING