WILLIAM DONALD SCHAEFER, Governor                   Ch. 754

(3) A licensee shall dedicate .75 percent of the
funds received under paragraph (1) of this subsection to capital
improvements at the track.

(B-4) (1) THE INCREASED FUNDS RETAINED BY A LICENSEE UNDER
SUBSECTION (B-2) OF THIS SECTION ARE PROVIDED SO THAT THE
LICENSEE SHALL IMPROVE THE FACILITIES AND SERVICES OF ITS TRACK
AND INCREASE ITS PROMOTIONAL AND MARKETING ACTIVITIES, IN ORDER
THAT ATTENDANCE AND WAGERING MAY BE INCREASED AND THE WELL-BEING
OF THE STANDARDBRED RACING INDUSTRY ENHANCED.

(2)  A LICENSEE WHO RETAINS ADDITIONAL FUNDS UNDER
SUBSECTION (B-2) OF THIS SECTION, BY OCTOBER 1, 1988 AND OCTOBER
1, 1989, SHALL SUBMIT TO THE COMMISSION AND THE FISCAL COMMITTEES
OF THE GENERAL ASSEMBLY A WRITTEN REPORT , BASED ON AUDITED
FINANCIAL STATEMENTS, ON THE USE OF THE INCREASED FUNDS RETAINED
BY THE LICENSEE BEGINNING JULY 1, 1985 UNDER SUBSECTION (B-2) OF
THIS SECTION.

(3) IN NO YEAR SHALL THE LICENSEE'S EXPENDITURE FOR
CAPITAL IMPROVEMENTS, MARKETING, PUBLIC RELATIONS, PROMOTIONS,
AND MAINTENANCE BE LESS THAN THE AVERAGE EXPENDITURE OF THE
LICENSEE FOR THE 3 FISCAL YEARS PRECEDING THE ENACTMENT OF THIS
LEGISLATION FOR EACH OF THE ABOVE LISTED AREAS. IN CALCULATING
THE MINIMUM REQUIRED EXPENDITURE, A LICENSEE MAY NOT INCLUDE IN
THE CALCULATION ANY ALLOWANCE FOR INCOME TAX CONSEQUENCES
RESULTING FROM THE INCREASED FUNDS.

(4) THE REPORT SUBMITTED TO THE COMMISSION AND TO THE
FISCAL COMMITTEES UNDER PARAGRAPH (2) OF THIS SUBSECTION SHALL BE
SUBMITTED UNDER PENALTY OF PERJURY.

(B-5) (1) A LICENSEE MAY NOT WILFULLY AND KNOWINGLY MAKE OR
CAUSE TO BE MADE ANY FALSE STATEMENT OR ENTRY IN THE REPORT
REQUIRED TO BE FILED UNDER PARAGRAPH (B-4)(2) OF THIS SECTION.

(2) A LICENSEE WHO WILFULLY AND KNOWINGLY VIOLATES
PARAGRAPH (1) OF THIS SUBSECTION IS GUILTY OF A MISDEMEANOR AND,
UPON CONVICTION, PUNISHABLE BY A FINE NOT TO EXCEED $1,000 OR
IMPRISONMENT NOT TO EXCEED 1 YEAR, OR BOTH.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect July 1, 1987.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect on July 1, 1987, contingent on the taking effect of

Chapter ___ of the Acts of 1987 (S.B. 1001) (71r3399), and if

Chapter ___ does not become effective, this Act shall be null and

void without the necessity of further action by the General
Assembly.

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