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Committee hears bill to grant legal immunity and modernize off‑track pari‑mutuel rules

3170942 · May 1, 2025
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Summary

Sen. Julie Pizzina and industry representatives told the Assembly Judiciary Committee that Senate Bill 203 would protect volunteer committee members from civil suits and ease licensing and location rules for the system that aggregates off‑track horse racing wagers.

Sen. Julie Pizzina, sponsor of Senate Bill 203, told the Assembly Judiciary Committee at a hybrid hearing in Carson City and Las Vegas that the bill “revises provisions related to the pari mutuel system of wagering” and would protect officials who operate Nevada’s off‑track pari‑mutuel system from civil liability when acting in good faith.

The bill’s sponsor and legal counsel said the measure has two central goals: give liability immunity to the state entities and the members of the off‑track pari‑mutuel wagering committee who negotiate fees and contracts on behalf of Nevada race books, and modernize statutory requirements for the system operator (the “hub”) and for disseminators that broadcast races.

SB203 would add language immunizing the Nevada Gaming Commission, the Nevada Gaming Control Board, the off‑track pari‑mutuel wagering committee and certain others from civil suits “for any decision or action taken in good faith and without malicious intent to carry out the provisions of law relating to the pari mutuel system of wagering,” Sen. Pizzina said. Mark Rubinstein, attorney for industry groups, said the immunity language mirrors an existing provision in statute governing charitable lotteries: “The intent of this language is to provide immunity from civil liability for the 11 members who are appointed to serve on the off track pari mutuel wagering committee,” Rubinstein said.

Supporters told the committee the immunity is intended to protect volunteer committee members — typically race‑book managers or casino executives who serve without compensation — from the cost of defending antitrust claims that arose in recent years. Rubinstein said the committee has two limited functions: negotiating fee rates with out‑of‑state racetracks and negotiating with the system operator that aggregates wagers and provides accounting and reconciliation services for Nevada books.

The bill would also change licensing and operational rules for the hub operator. Presenters said SB203 would register the hub operator as a service provider rather than require a Nevada license and would allow the operator to be situated outside Nevada so long as it and its system are licensed or approved by a competent regulator in the place where it is physically located. Rubinstein said the change is “crucial” because an existing hub operator has indicated it is losing money and may not bid to continue operating the hub, and potential replacements are located outside Nevada.

The proposal would repeal or update obsolete provisions requiring a licensed disseminator to furnish live race broadcasts and results and would let racetracks contract directly with books for live broadcasts so long as all books are offered the same financial terms. Presenters told the committee that there are currently about two licensed disseminators in Nevada and roughly 70 licensed race books statewide; race‑book revenue for fiscal 2024 exceeded $32 million, according to testimony citing the Nevada Gaming Control Board abstract.

Caesars Entertainment testified in support. Committee members asked for clarifications about the number of disseminators and why immunity language was necessary; Rubinstein and other witnesses said the immunity costs the state nothing and is designed to prevent volunteers from having to defend costly litigation. No callers registered opposition during the public testimony portion. The committee closed the hearing on SB203 and moved to its next agenda item.

SB203 references Nevada statutory and regulatory material cited on the record, including Nevada Revised Statute chapter 464 and Nevada Gaming Control Board regulations 26A and 26C; presenters also compared the proposed immunity language to the provision in NRS chapter 462 that governs charitable lotteries.