MN SF2835

Authorizes advance deposit wagering (ADW) on horse racing in Minnesota, regulated by the Minnesota Racing Commission, to recapture revenues from unregulated multijurisdictional wagering providers.

Requires ADW providers to hold a class C license, enter commission-approved contracts with licensed racetracks, maintain a $1,000,000 surety bond, and submit a detailed plan of operation.

Imposes a 1% regulatory fee and 0.25% breeders fund fee on all amounts wagered by Minnesota residents, with fees collected by ADW providers and paid to the commission monthly.

Requires ADW providers to pay "source market fees" to licensed racetracks by contract (28% to standardbred tracks, 72% to thoroughbred/quarter horse tracks), with at least 50% of fees directed to breeder awards and purses.

Effective July 1, 2016, with enforcement provisions beginning November 1, 2016; grants the Racing Commission rulemaking authority using exempt procedures.