CA AB1290

Repeals existing licensing exemption for limited partners in card clubs located at racetracks and replaces it with a new framework applicable to gambling enterprises owned by racetrack limited partnership owners.

Requires licensing only of corporations (and their officers, directors, and key employees) that directly or indirectly own or manage the gambling establishment and hold exclusive authority over day-to-day operations without influence from the racetrack partnership owner.

Allows racetrack limited partnership owners to retain another person or entity to manage operations, but requires that person or entity to be licensed in addition to the corporation's officers, directors, and key employees.

Applies only to gambling establishments located on or contiguous to grounds where a racetrack was previously located and authorized to conduct horserace meetings by January 1, 2012, and which are directly or indirectly owned by a racetrack limited partnership owner.

Defines "racetrack limited partnership owner" as a limited partnership or related partnerships that are at least 80 percent capitalized by institutional investors, employee benefit plans, or investment companies managing state university endowments.