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Minutes for HB2545 - Committee on Federal and State Affairs

Short Title

Amending the Kansas expanded lottery act regarding racetrack gaming facilities.

Minutes Content for Tue, Feb 13, 2018

Chairperson Barker opened the hearing on HB2545.  At the Chairperson's request, Jason Long, Revisor, provided an overview of the bill (Attachment 1)

Chairperson Barker said that there are a large number of conferees, and he is therefore going to divide the time equally between the proponents and opponents.  Each side will get 31 minutes for testimony.  With regard to the opponents, he will allow 15 minutes for the casino conferees and 15 minutes for the animal rights conferees.

Chairperson Barker recognized Mike O'Neal as a proponent of HB2545 (Attachment 2) (Attachment 2A)HB2545 acknowledges the existence of contracts currently in place with casino managers and provides a process by which legal issues can be expeditiously resolved.  The state has promised that, after the contracts are signed, it is not going to grant licenses for operation of lottery gaming facilities (as opposed to racetrack gaming facilities), it is not going to add areas to the state or add to the zones of the state, nor will it add counties to the four existing zones.  Three racetrack gaming facilities were identified and they coincide with three of the gaming zones.  The only place there is not a racetrack facility able to operate is in southwest Kansas. The contemplation was that there would be three racetrack gaming facilities in the same gaming zones as the lottery gaming facilities.  His written testimony has a question and answer section which should address most of the questions that have been raised about HB2545.

Representative Adam Lusker was recognized as a proponent of HB2545 (Attachment 3).  He lives in southeast Kansas where the Camptown Greyhound Park is located.  This bill does not expand gaming.  This bill will make the changes necessary to bring in jobs and additional revenue in property taxes.

Chairperson Barker recognized Representative Larry Hibbard as a proponent of HB2545 (Attachment 4).  His interest lays primarily in the fact that Eureka Downs is in his district.  It was the first pari-mutuel wagering facility in Kansas.  It ultimately shut down because of the high taxes, but has continued to operate as a training facility for local area horses that race in other states.  If this bill passes out and is signed by the governor, Eureka Downs is in good enough shape it could immediately start holding races.

Chairperson Barker then recognized Jim Gartland as a proponent of HB2545 (Attachment 5).  Abilene, Kansas is known as the greyhound capital of the world.  The only thing missing is the live racing of greyhounds.  He asks that the Committee support this bill.

Ernie Rodina testified as a proponent of HB2545 (Attachment 6). He has been involved in the horse industry most of his life and he has seen the positive economic impact the race tracks have brought to Kansas. 

Chairperson Barker then recognized Kevin Fowler as an opponent to HB2545 (Attachment 7). He appears on behalf of the managers of the Kansas Star Casino in Mulvane and the Boot Hill Casino in Dodge City in opposition to HB2545.  This bill represents the latest attempt by proponents to convince the state to renege on its binding and enforceable contractual commitments made to four lottery gaming facility managers pursuant to the Kansas Expanded Lottery Act (KELA).  This bill dramatically changes the gaming environment under KELA and materially breaches the State's contractual obligations by authorizing closed racetracks to reopen and operate as full-time casinos that will emphasize slot machines and simulcast gaming in direct competition with the state-owned and operated lottery gaming facilities.

Whitney Damron provided testimony in opposition to HB2545 on behalf of Kansas Entertainment (Attachment 8).  The bill indicates the pari-mutuel tracks had not opened because they were unable to make a sustainable profit.  There is no way to know that because the tracks were never opened. 

Mark Eby was recognized by Chairperson Barker as an opponent to HB2545 (Attachment 9). He represents the Kansas Humane Society in Wichita.   In 2009 they euthanized 7,000 animals at their facility alone.  This past year they reduced that number to 800. Greyhound racing will have an impact on their facility.  Every kennel taken by a greyhound represents another animal that won't be helped. 

Sharen Miller provided opposition testimony to HB2545 (Attachment 10).  She is a volunteer at Retired Greyhounds as Pets.  The greyhounds that she has rescued have been very poorly treated. 

Midge Grinstead testified as an opponent to HB2545 (Attachment 11).  This will increase greyhound breeding and racing and, in turn, increase suffering for dogs.  These animals are not always treated well.  Greyhound racing died in Kansas because no one wanted it or participated in it. 

Sherry Chavez testified in opposition to HB2545 (Attachment 12).  Gambling on dog racing has dropped by 66 percent over the past decade.  It is a dying business, it is not profitable, and it is a cruel sport. 

Chairperson Barker recognized Terry Garberg as an opponent to HB2545 (Attachment 13).  Dog racing is unpopular with the public and it is undeniably inhumane to greyhounds. In Kansas, breeders of racing greyhounds are not required to meet the minimal standards of animal care assigned to other breeders.

Katie Barnett testified in opposition to HB2545 (Attachment 14).  If the National Greyhound Association of Abilene, Kansas, was a successful business operation, then greyhound racing should be flourishing across the nation, but it's not.  More than 30 tracks have closed in ten states, and the last remaining track in Iowa has seen a 41 percent reduction in wagering.   

Chairperson Barker stated that written proponent testimony has been submitted by Travis Bartley, Kansas Greyhound Association (Attachment 15); Duane Droge, DVM (Attachment 16); Stacy Randle, Eureka Downs Training Center (Attachment 17); Linda Snyder, Greenwood County Fair Association (Attachment 18); Justine Staten, Kansas Horse Council (Attachment 19);Trisha Thomas, Kansas Department for Children and Families (Attachment 20); and Janet VanBebber, American Quarter Horse Association (Attachment 21).  Written opponent testimony has been submitted by Rick Bailey (Attachment 22); Tamera Baumann (Attachment 23); Maureen Bernhagen (Attachment 24); Crystal Swann Blackdeer, Leavenworth County Humane Society (Attachment 25); Debbie Blochlinger (Attachment 26); Sumner County Board of County Commissioners (Attachment 27); Shelley Bonnell (Attachment 28); Mary Kay Caldwell, SEK Humane Society (Attachment 29); Randi Carter, All Dogs Bark N Play (Attachment 30); Michael Chavez, Jr. (Attachment 31); Sarah Coffman, Wichita Animal Action League (Attachment 32); Hazel Keitel Dornschuld (Attachment) 33; Melissa Driscoll (Attachment 34); Ashley Finneran (Attachment 35); Patricia Freeman (Attachment 36); Elizabeth Gunneson (Attachment 37); Kelly Hames (Attachment 38);  Amy Heggestad, Beauties and Beasts, Inc. (Attachment 39); Kent Hixson, Mulvane City Administrator (Attachment 40); Lisa Horn, Retired Greyhounds as Pets (Attachment 41); Kelly James (Attachment 42); Jenista Johnson (Attachment 43); Kelly Kultala, Humane Society Legislative Fund of Kansas (Attachment 44); Kara Knight, Heartstrings Animal Advocates (Attachment 45); Shanti Leiker (Attachment 46); Carla Lewis, Kansas Animal Control Association (Attachment 47); Bob Magnus (Attachment 48); Carly McLaughlin (Attachment 49); Alitia McMullen, Beauties and Beasts, Inc. (Attachment 50); Debbie Jo Miller, Companion Animal Protection Society (Attachment 51); Nancy Nguyen (Attachment 52); Charlene Osborn (Attachment 53); Yvonne Perry (Attachment 54); Lauren Peterson (Attachment 55); Arlene Piatkowski, Kansas K9 Rescue (Attachment 56); Kimberly Pugliese, Beauties and Beasts (Attachment 57); Jennifer Sanders (Attachment 58); Jessica Sherwood, K-9 Karma Animal Advocates Inc. (Attachment 59) ; Jordan Smith (Attachment 60); Eric Stafford, Kansas Chamber (Attachment 61); Kimberly Stietz (Attachment 62); Robyn Stone, KCREGAP (Attachment 63); Cheryl Taskinen (Attachment 64); Cherise Tieben, City of Dodge City (Attachment 65); Kathryn Titus, REGAP (Attachment 66); Heidi Ulmer, REGAP (Attachment 67); Toni Wenger, Kansas K-9 ResQ, Inc. (Attachment 68); and Michelle Wilcox (Attachment 69).

Chairperson Barker requested that the Committee members take the testimony and review it.

The hearing on HB2545 was closed.

Chairperson Barker asked if there were any requests for bill introductions.  There were none.

The meeting was adjourned at 10:20 a.m.