The Texas Racing Commission has three sources of revenue for operating expenses:
1. Racetrack license fees and fines assessed against the racetracks
2. Occupational license fees and fines assessed against licensees
3. Uncashed winning mutuel tickets ("outs")
The Commission collects license fees from racetrack licensees, which are based
on the Commission's costs to administer and enforce the Texas Racing Act (Act,
§6.18). The Commission also collects license fees from occupational licensees,
which are based on the relative income of the various categories of licenses
(Act, §7.05).
Pursuant to the Act, §3.07,
uncashed winning mutuel tickets may be used by the racetracks to offset the
costs of the Commission's drug testing program for race animals. Any outs remaining
after drug testing charges have been paid revert to the Commission.
The State's share of the pari-mutuel takeout is deposited directly to the General
Revenue Fund and is not related to the Commission's financing structure.
Texas Bred Incentive Programs
The Commission also receives revenue from racetracks for the Texas Bred
Incentive Programs. These funds are paid to the various breed registries
to be used as breeders' awards. Because this money is statutorily dedicated
to the Texas Bred Incentive Programs, the funds are not available to the
Commission for any other purpose and are not reflected in the charts below.
Click here for more information
about the Texas Bred Incentive Programs.
