The purpose and effect of the rule is to comply with the final order dated March 25, 2015, entered by Administrative Law Judge W. David Watkins in case number 14-6129RX, which held that the existing rule was vague.

 

DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION

Division of Pari-Mutuel Wagering

RULE NO.:RULE TITLE:

61D-4.002Evaluating a Permit Application for a Pari-Mutuel Facility

PURPOSE AND EFFECT: The purpose and effect of the rule is to comply with the final order dated March 25, 2015, entered by Administrative Law Judge W. David Watkins in case number 14-6129RX, which held that the existing rule was vague.

SUMMARY: The rule amendment provides clarity to the Division's process of evaluating permit applications for pari-mutuel facilities in compliance with the final order dated March 25, 2015, entered by Administrative Law Judge W. David Watkins in case number 14-6129RX, which held that the existing rule was vague.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: the economic review conducted by the agency.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 550.0251(3), 550.054(8)(b), 550.1815(5) FS.

LAW IMPLEMENTED: 550.0251, 550.054, 550.0951, 550.155, 550.1815 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Bryan A. Barber, [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

61D-4.002 Evaluating a Permit Application for a Pari-Mutuel Facility.

An applicant for a Florida Pari-Mutuel Facility permit shall submit a Form DBPR PMW-3010, Permit Application; https://www.flrules.org/gateway/reference.asp?NO=Ref-01552, a Form DBPR PMW-3030, Personal History Record; https://www.flrules.org/gateway/reference.asp?NO=Ref-01553, and a Form DBPR PMW-3195, Request for Release of Information and Authorization to Release Information; https://www.flrules.org/gateway/reference.asp?NO=Ref-01555, all of which are effective 9-12-12 and adopted herein by reference. The forms can be obtained at www.myfloridalicense.com/dbpr/pmw or by contacting the Division of Pari-Mutuel Wagering at 1940 North Monroe Street, Tallahassee, Florida 32399-1037.

(1) In evaluating a permit application, the division shall deny any application where the applicant fails to establish take into consideration the following criteria:

(a) Financial profitability potential profitability and financial soundness of the prospective permitholder as derived from the assets and liabilities of the applicant; the existence of any judgment or current litigation, whether civil, criminal, or administrative; the type of pari-mutuel activity to be conducted and desired period of operation; and net income projected over three years of operation with the permit. If the applicant is able to show any profitability as outlined in this subsection, the Division will review the following criteria in paragraph (b).

(b) That the issuance of the permit will The ability to preserve and protect the pari-mutuel revenues of the state and to ensure the integrity of the wagering pool; by generating an increase of total state revenue.

(c) The holdings, transactions, and investments of the applicant connected to previous business ventures;

(d) The existence of any judgment or current litigation, whether civil, criminal, or administrative, involving the applicant.

(2) After initial approval of the permit and the source of financing, the terms and parties of any subsequent financing shall be disclosed by the applicant or the permitholder, to the division within 30 days.

(3) A pari-mutuel wagering permitholder who transfers an ownership or equity interest in its permit to another licensed pari-mutuel wagering permitholder or who transfers a permit to an entity exclusively composed of ownership interests that have been approved under the provisions of Sections 550.054 and 550.1815, F.S., must file with the division Form DBPR PMW-3040, Permit Transfer Application From One Existing Permitholder to Another Existing Permitholder, effective 9-12-12, adopted herein by reference, https://www.flrules.org/gateway/reference.asp?NO=Ref-01554, which can be obtained at www.myfloridalicense.com/dbpr/pmw or by contacting the Division of Pari-Mutuel Wagering at 1940 North Monroe Street, Tallahassee, Florida 32399-1037.

Rulemaking Authority 550.0251(3), 550.054(8)(b), 550.1815(5) FS. Law Implemented 550.0251, 550.054, 550.0951, 550.155, 550.1815 FS. History–New 10-20-96, Amended 12-15-97, 3-4-07, 9-12-12,_______.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Jonathan Zachem, Director, Division of Pari-Mutuel Wagering

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Ken Lawson, Secretary, Department of Business and Professional Regulation

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: April 17, 2015

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: December 24, 2014