Ariz. Admin. Code § 19-2-104

Current through Register Vol. 30, No. 45, November 8, 2024

Section R19-2-104 - Permittee Responsibilities

A. A permittee shall maintain the grounds in a neat, clean, and safe condition. If a steward determines that a permittee is not in compliance with this Section, the steward shall require that the permittee immediately bring the grounds into compliance.

B. The permittee shall prevent any person, corporation, firm, or association not licensed by the Department from performing any act at its track which requires a license under A.R.S. Title 5, Chapter 1, or this Article.

C. Each permittee department head shall see that the permittee department head's employees are licensed and furnish a list of the employees upon request.

D. A permittee shall take all steps necessary to deny the privileges of a license to anyone whose license has been revoked or suspended and to keep such a person off the grounds of the permittee and to prevent a person who has been ruled off from entering the grounds of the permittee.

E. A permittee or its employees shall not obstruct a representative of the Department performing the representative's duties.

F. A permittee shall not knowingly allow on its grounds any betting or other operations in contravention of any law of the state of Arizona or of the United States.

G. The permittee shall immediately report all observed violations of any racing regulation or statute to the Department and shall cooperate with the Department and with state, federal, and local authorities in investigations of alleged violations.

H. A permittee shall provide the following services at the track:

1. A horse ambulance, approved by the Department, for the removal of crippled animals from the track.

2. A physician or emergency paramedic certified under A.R.S. § 36-2205 on duty during racing hours.

3. An ambulance, available during morning works and racing hours.

4. First aid quarters, available during morning works and racing hours.

5. A detention paddock (test barn) where all winners and other horses selected by the stewards are taken and kept under the supervision of the Department veterinarian until saliva, urine, blood, and other samples have been obtained.

6. An adequate security force whose duties include:

a. Maintaining order.

b. Excluding from the grounds all handbooks, touts, and operators of gambling devices.

c. Excluding from the grounds all persons ruled off by the stewards or the Department.

d. Excluding from the grounds all persons not eligible for a license under A.R.S. § 5-108.

e. Immediately reporting to the stewards any licensee who, while on the premises of the permittee, creates a disturbance, is intoxicated, interferes with any racing operation, or acts in an abusive or threatening manner to any racing official or other person.

7. A security guard stationed at the stable area entrance whose duties include:

a. Denying entrance to all persons not holding a license or credentials issued by the Department or a Departmental pass issued by the permittee.

b. Allowing any person seeking employment within the stable area to have access to that area for a period of one day, provided that:

i. The person is given a numbered card.

ii. A list of recipients of the numbered cards is provided to the track office of the Department upon request.

iii. The numbered card is retrieved by the security guard when the person leaves the stable area.

iv. The track office of the Department is notified of the retrieval.

8. A furnished office, including utilities and necessary office equipment, for the exclusive use of Department employees and officials.

9. A uniformed security official approved by the Department, on duty in the Department test barn during its regular business hours. The official shall provide security and monitor the collection procedure and sealing of samples taken from the horses.

10. A copy of all tip sheets offered for sale in the parking area or elsewhere on the grounds of the permittee, furnished daily to the stewards not later than three hours before first post.

I. A person shall not sell tip sheets, pamphlets, or other printed matter purporting to predict the outcome of a race other than official programs, the Daily Racing Form, and newspapers in the betting area.

J. Wagering shall be conducted upon the grounds of a permittee only under the pari-mutuel method as provided by statute and this Article and by the use of such mechanical or other equipment as the Department may require. Bookmaking or betting other than by the pari-mutuel method is prohibited.

K. A permittee shall not allow the official racing of horses on any track under its control except as provided by subsection (P) below unless:

1. The conditions of the race have been written by the racing secretary at the meeting.

2. The entries have been made in accordance with the requirements set forth in R19-2-113.

3. The race programmed as a part of a regular racing card conducted under the pari-mutuel system.

L. On a daily basis, and as soon as the entries have been closed and compiled and the declarations have been made, the permittee posts a list of the entries and declarations in a conspicuous place.

M. A permittee shall print on a daily racing program a list of all officials and directors of the permittee and of track and racing officials, together with such pertinent rules as the Department may designate.

N. A permittee shall not allow an official to act until the official's appointment has been approved by the Department; provided that, in the case of sickness or inability to act, the provisions of R19-2-121(A)(5) apply.

O. The permittee shall provide a photo finish and videotape device, approved by the Department, for the purpose of recording all races. The photographs and videotapes may be used to aid the stewards in determining the finishes of races. Permittees shall retain for three months all official race photographs and videotapes. The Department may require that specific photographs and videotapes be retained for a longer period of time or be transmitted to the Department for subsequent administrative or judicial proceedings.

P. Notwithstanding subsection (K), wagering may be conducted, by permission of the Department, on electronically televised simulcasts provided:

1. The simulcasts originate from a racing facility outside the state of Arizona.

2. The race is televised on the grounds of the permittee.

3. The televised race is included with the posted races for that racing day.

4. The televised race complies with the Interstate Horseracing Act of 1978 ( 15 U.S.C. 3001 et seq.).

5. Monies wagered are computed in the total daily handle.

6. An out-of-state facility, receiving a simulcast originating from a racing facility within the state of Arizona, operates under the approval and regulation of an official agency of that state.

Q. Any automatic timing device installed by the permittee shall have the approval of the Department.

R. Each commercial horse racing permittee shall furnish the Department with annual financial statements audited and certified by a firm approved by the auditor general.

1. The firm shall conduct the audit in accordance with audit standards prescribed by the auditor general.

2. The firm shall prepare the financial statements in accordance with generally accepted accounting practices.

3. The firm shall use the following accounting practices:

a. Overpayments shall be treated as an asset to the extent that they are recoverable. Overpayments are reported as an asset titled "Purse Overpayments," immediately following current assets. If the permittee and the accountant determine that all or part of any overpayment is not recoverable, the dollar amount expensed and the basis of the determination shall be disclosed in the notes to the financial statements.

b. Underpayments shall be reflected as an account payable.

c. Wagering income shall be reported net of sales taxes.

d. Amounts which a permittee is seeking to recover through litigation shall not be reported as assets.

4. The firm shall submit the following information with the financial statements in a form prescribed by the Department:

a. An analysis of the composition of and changes in accounts payable which include underpayments and asset accounts which include overpayments,

b. A summary of current year purse expense and over- or underpayment,

c. The total amount of salaries and bonuses expense,

d. Legal and accounting expense attributable to racing-related matters,

e. An explanation of the types of revenues and expenses classified in accounts titled "other," and

f. Other financial information requested by the Commission or Department.

5. Financial statements of permittees granted original permits prior to July 1, 1982, shall be on a fiscal year basis. Financial statements of permittees granted original permits after July 1, 1982, may be on a fiscal or calendar year basis at the discretion of the Director.

6. The firm shall submit financial statements within 120 calendar days of the end of the fiscal or calendar year.

7. The firm shall report overpayments and underpayments to the Department in a form prescribed by the Department within 10 working days after the end of each condition book period.

S. Each permittee shall comply with the provisions of Article 2 of this Chapter.

Ariz. Admin. Code § R19-2-104

Adopted effective August 5, 1983 (Supp. 83-4). Amended subsection (H) paragraph (9) effective August 2, 1985 (Supp. 85-4). Amended subsection (R) effective June 6, 1986 (Supp. 86-3). Amended effective March 20, 1990 (Supp. 90-1). Amended effective August 6, 1991 (Supp. 91-3). R19-2-104 recodified from R4-27-104 (Supp. 95-1). Amended effective January 6, 1998 (Supp. 98-1). Amended by exempt rulemaking at 17 A.A.R. 1484, effective July 20, 2011 (Supp. 11-3).