S.8520 Summary

• Establishes New York Racing Network, Inc. as a new entity incorporated by the franchised thoroughbred corporation and harness racing corporations to conduct off-track pari-mutuel wagering, telephone betting, and internet wagering on horse races.

• Reduces pari-mutuel tax payments owed by NYC Off-Track Betting Corporation by 50% initially, with graduated reductions based on annual handle thresholds ranging from $600-$640 million, eventually phasing out the reduction at $640 million or above.

• Transfers all telephone betting and telephone wagering accounts currently maintained by NYC Off-Track Betting Corporation to New York Racing Network, Inc., while allowing limited affiliate services for deposits and withdrawals at OTB locations.

• Authorizes video lottery facility operators to offer subsidized free play credits (7.5-10% of wagered amounts depending on facility type) that are excluded from revenue calculations and education funding formulas.

• Reduces payments required to in-state race tracks on out-of-state wagers by 50-20% depending on fiscal year, with elimination of the reduction if NYC Off-Track Betting Corporation's annual handle exceeds $600-620 million.