N.J. Admin. Code § 13:74-2.4

Current through Register Vol. 56, No. 24, December 18, 2024

Section 13:74-2.4 - Progress benchmarks that must be satisfied for a permit holder to maintain its share of unopened off-track wagering facilities

(a) This section shall become effective on the January 1 after this section becomes effective and enforceable.

(b) A permit holder shall retain its share of off-track wagering facilities to be established if the permit holder demonstrates, to the satisfaction of the Commission, that it continues to make progress on an annual calendar basis towards opening its share of off-track wagering facilities. The following requirements shall commence on the date this section becomes effective and enforceable and continue until all of the off-track wagering facilities within the permit holder's share are licensed and fully operational as provided below:

1. By December 31 of the year in which this section becomes effective and enforceable, the permit holder must file an application for an initial license for at least one off-track wagering facility within the permit holder's share. After filing the application for an initial off-track wagering license, the permit holder shall also demonstrate compliance with each of the following requirements:

i. The applicant has submitted to the Commission all information and documentation required by N.J.A.C. 13:74-2.1;

ii. The applicant has demonstrated to the Commission that the proposed off-track wagering facility is in a suitable location and the applicant has obtained fee title ownership of the proposed property or has obtained a leasehold interest in the proposed property for a period of not less than five years;

iii. The applicant must submit a detailed project development budget to the Commission to prove that applicant has obtained sufficient financial resources to pay for the design, construction, development, and other costs necessary to establish the proposed off-track wagering facility;

iv. The applicant has demonstrated to the Commission that the operational capacity and market feasibility of the proposed off-track wagering facility will benefit the horse racing industry in this State; and

v. The applicant shall supply information on key individuals necessary to operate the proposed off-track wagering facility in order to demonstrate that the applicant has the requisite staff to operate the facility.

2. By December 31 of the second year in which this section becomes effective and enforceable, the permit holder's application must be deemed complete by the Commission. Prior to the application being deemed complete, the applicant must submit all the necessary documentation referenced in (b)1 above and rectify any deficiencies in the application via delivery of all supplemental documentation and information requested, and in the timeframe stated, by the Commission.

3. By December 31 of the third year in which this section becomes effective and enforceable, the applicant must open the off-track wagering facility for business and begin accepting wagers; and

4. Each permit holder shall comply with the consecutive annual requirements of (b)1 through 3 above until that permit holder has opened all of the off-track wagering facilities within its share or the unopened off-track wagering facilities within its share will be subject to forfeiture. For example, by December 31 of the fourth year in which this section becomes effective and enforceable, the permit holder must file an application for an initial license for at least one other off-track wagering facility within the permit holder's share.

(c) A permit holder may, at any time in the process of applying for an initial license and opening an off-track wagering facility, request a one year extension of a single benchmark deadline if it can show good cause for being unable to complete the particular benchmark. A permit holder cannot receive more than one extension during the process of applying for an initial license andopening each individual off-track wagering facility.

(d) The failure to meet the benchmarks in this section shall constitute a basis for the denial of the initial off-track wagering license for which was applied. The failure to meet the benchmarks in this section shall result in the Commission ordering that the permit holder shall forfeit its share of unopened off-track wagering facilities to be established as required by N.J.S.A. 5:5-130.b(1). A permit holder's share of unopened off-track wagering facilities to be established cannot be transferred until that permit holder has exhausted its right to appeal the forfeiture.

N.J. Admin. Code § 13:74-2.4

Adopted by 51 N.J.R. 1772(a), effective 12/2/2019