19520-19526

BUSINESS AND PROFESSIONS CODE
SECTION 19520-19526




19520.  (a) Every person not required to be licensed under Article 4
(commencing with Section 19480) who participates in, or has anything
to do with, the racing of horses, including a horse owner, jockey,
driver, apprentice, exercise rider, agent trainer, stable foreman,
groom, valet, horseshoer, stable watchman, outrider, and every
employee of a parimutuel department, shall be licensed by the board
pursuant to rules and regulations that the board may adopt, and upon
the payment of a license fee fixed and determined by the board. Any
license issued pursuant to this article shall include a current
photograph of the licensed person.
   (b) No person required to be licensed by this article may
participate in any capacity in any horse race meeting without a valid
and unrevoked license authorizing the participation.
   (c) The board may adopt regulations to require outrider license
applicants to pass both a written and an oral examination and to
authorize outriders to exercise the duties and powers of the board
set forth in Section 19440 as are delegated by the board.



19521.  An original license issued pursuant to this article shall be
issued for a period of the calendar year in which it is issued, and
shall be renewable for a period, not to exceed three years, which the
board may, by regulation, establish. The board may establish a
license fee schedule consistent with the different period for which
the licenses may be granted. The license shall be valid at all horse
racing meetings in this state during the period for which it is
issued, unless it is suspended or revoked prior to the expiration of
the period.


19522.  The board shall also set forth requirements for the position
of satellite facility supervisor for all satellite wagering
facilities operated by the state or on public land. The satellite
facility supervisor shall, among other things, monitor the
performance of licensees at the facilities.



19523.  The board may, at any time, require the removal of any
racing official or employee in any case where it has reason to
believe that the official or employee has been guilty of any
dishonest practice in connection with horse racing, has failed to
comply with any condition of the licensee's license, or has violated
any law or any rule or regulation of the board.



19525.  (a) For purposes of this section, "equine" means a horse of
any breed used for racing or showing, including prospective
racehorses, breeding prospects, stallions, stallion seasons,
broodmares, yearlings, or weanlings, or any interest therein.
   (b) Any sale, purchase, or transfer of an equine shall be both of
the following:
   (1) Accompanied by a written bill of sale or acknowledgment of
purchase setting forth the purchase price.
   (2) Signed by both the purchaser and the seller or their duly
authorized agents or, in a transaction solely relating to a season or
fractional interest in a stallion, signed by the syndicate manager
or stallion manager.
   (c) When a transaction described in subdivision (b) is
accomplished through a public auction, the bill of sale requirement
may be satisfied by the issuance of an auction receipt generated by
the auction house and signed by the purchaser or an agent whom the
purchaser has authorized.
   (d) It is unlawful for a person to act as a "dual agent," which is
hereby defined as a person acting as an agent for both the purchaser
and the seller, in a transaction involving the sale, purchase, or
transfer of an interest in an equine without the prior knowledge of
both the purchaser and seller, and the written consent of both the
purchaser and seller.
   (e) It is unlawful for a person acting as an agent for either a
purchaser or a seller or acting as a dual agent in a transaction
involving the sale, purchase, or transfer of an equine to receive in
excess of five hundred dollars ($500) worth of compensation, fees,
gratuities, or other items of value, related directly or indirectly
to that transaction, from an individual or entity, including any
consigner involved in the transaction, other than the agent's
principal, unless both of the following occur:
   (1) The agent receiving the item of value and the individual or
entity giving the item of value disclose the transfer of that item of
value in writing to the principal or principals for whom the agent
is acting.
   (2) Each principal for whom the agent is acting consents thereto
in writing.
   (f) Any person acting as an agent for a purchaser or seller or
acting as a dual agent in a transaction involving the sale, purchase,
or transfer of an equine shall, upon request by his or her principal
or principals, provide to the requesters copies of all financial
records in the possession or control of the agent pertaining to the
transaction. For purposes of this subdivision, financial records
shall not include the agent's or owner's work product used to
internally evaluate the equine.
   (g) Any person injured by a violation of this section shall
recover treble damages from persons or entities violating this
section.
   (h) No contract or agreement for payment of a commission, fee,
gratuity, or any other form of compensation in connection with any
sale, purchase, or transfer of an equine shall be enforceable by way
of an action or defense unless both of the following occur:
   (1) The contract or agreement is in writing and is signed by the
party against whom enforcement is sought.
   (2) The recipient of the compensation provides a written bill of
sale or auction receipt for the transaction in accordance with
paragraph (1) of subdivision (b) and subdivision (c) respectively.
   (i) The board may suspend or revoke the license of any person who
violates this section.
   (j) Subdivisions (g) and (h) shall not apply to the acts or
omissions of an entity or individual engaged in conducting a public
auction of an equine, or the entity or individual's employees or
agents, if both of the following conditions apply:
   (1) The acts or omissions of the entity, individual, employee, or
agent are in furtherance of or pursuant to the conduct of the public
auction of an equine.
   (2) The entity or individual is appropriately licensed or
authorized to conduct that specific public auction by the California
Horse Racing Board and any other governmental entity whose permission
or authorization is required to conduct the auction.



19526.  (a) Each trainer shall keep accurate payroll records,
showing the name, address, social security number, work
classification, straight time and overtime hours worked each day and
week, paid to each of his or her employees.
   (b) The payroll records enumerated under subdivision (a) shall be
available for inspection at all reasonable hours at the principal
office of the trainer on the following basis:
   (1) A copy of an employee's payroll record shall be made available
for inspection or furnished to the employee or his or her authorized
representative upon request.
   (2) A copy of all payroll records enumerated in subdivision (a)
shall be made available for inspection or furnished upon request to
the board and the Division of Labor Standards Enforcement of the
Department of Industrial Relations.
   (3) On or before January 31 of each year, each trainer shall
provide copies of federal W-2 and 1099 tax forms for his or her
backstretch employees for the previous calendar year to the
administrator of the pension fund for backstretch employees.
   (c) The payroll records described in this section shall be on
forms provided by the Division of Labor Standards Enforcement or
shall contain the same information as the forms provided by the
division.
   (d) A trainer shall make the records enumerated in subdivision (a)
available to an employee or his or her authorized representative
within 10 days after receipt of a written request.
   (e) The trainer shall inform the board of the location of the
records enumerated under subdivision (a), including the street
address, city and county, and shall, within five working days,
provide a notice of a change of location and address.
   (f) In addition to any other penalty imposed by law, any trainer
who fails to provide access to the records enumerated in subdivision
(a) to the board, the employee or his or her authorized
representative, the administrator of the pension or welfare funds, or
to the Division of Labor Standards enforcement as required by law
shall be subject to suspension of his or her license.
   (g) Except for trainers covered by an operative collective
bargaining agreement pursuant to Section 19613.7, the board may
require, as a condition of issuing or renewing a trainer's license,
that the trainer submit a declaration that they have maintained true
and correct payroll records and have complied with the requirements
of the Labor Code and applicable wage orders of the Industrial
Welfare Commission.
   (h) The Labor Commissioner shall establish and maintain a program
to audit the payroll records of trainers who are not parties to a
collective bargaining agreement entered pursuant to Article 2.5
(commencing with Section 19455) and who operate in California for 90
or more racing days in a calendar year, in a manner to ensure that
every subject licensee is audited at least once prior to January 1,
2006. Evidence of substantial noncompliance with the Labor Code and
applicable wage orders of the Industrial Welfare Commission shall be
referred by the board to the Labor Commissioner.