462-220-0040
State of Oregon Share of the Pari-Mutuel Handle.
In addition to the licensing fee set forth in OAR
462-220-0030(6), the hub operator shall pay to the Oregon Racing Commission the
payments authorized by ORS 462.725(4)(b) on all grossgross net mutuel
wagering receipts minus cancels and refunds recorded by
the hub's totalizator system during the license period. The payments shall be
made as follows:
(1) Payments shall be made each month based on the gross gross net mutuel wagering receipts for that
month.
(2) Payments shall be made in a timely manner as prescribed by the executive director of the commission.
(3) Payments shall be calculated according to one of the following formulas as elected by the hub operator in the manner specified in section (6):
(a) Payment of 0.125% of the first 60 million dollars in gross gross net mutuel wagering receipts during the license period and
0.25% of the gross gross net mutuel
wagering receipts in excess of
60 million dollars during that period; or
(b) Payment of 0.25% of gross gross net mutuel
wagering receipts, except that if the hub operator conducts business in a state
where hubs are specifically authorized and the tax rate is less than 0.25%, the
tax rate for wagers by the residents of such state would be that of the state
in which they reside. This exception is limited to a single state designated by
the hub operator in the manner specified in section (7).
(4) Advanced
deposit wagering handle from past live racing products will be calculated
separately from all other gross net mutual wagering receipts
recorded by the hub’s totalizator system. These product wagering receipts will,
however, follow the same payment structure as all other gross net wagering
receipts including the maximum payment set out in section (6).
(5) (4)
Each affiliate of a licensed multi-jurisdictional hub will follow the
same payment structure as the licensed multi-jurisdictional hub including the calculations set out in section
3 and the maximum payment set out in section 6 5. The additional
payments, as outlined in (3), will occur after the affiliate’s first
$20,000,000.00 in handle or after the licensee has reached their maximum
payment, whichever occurs last. The first $20,000,000.00 of the
affiliate's handle and any additional handle if the licensee has not yet
reached their maximum payment is exempt from separate fee
payments. The first $20,000,000.00 will nevertheless apply toward the
licensee’s maximum payment. If an affiliate is operating non-merged pools,
and exceeds the maximum payment as defined in (5), they shall pay .125% on all
additional non-merged pool wagers placed through the licensee. There will be no
maximum payment assessed on wagers placed on non-merged pools.
(5)
The maximum payment for each fiscal year will be published in advance and will
increase by 2.5% each fiscal year. The commission may change that limit prior
to the start of each fiscal year.
(6)
Notwithstanding OAR 462-220-0040 (5), the maximum payment set out in
section (6) will increase 2.5% on an annual basis for each fiscal year through
2029-2030 unless the commission changes that limit before the beginning of
a fiscal year. Maximum payments through fiscal year 2029-2030 are
calculated below.
Fiscal
Year — Fee Payment Schedule:
2025-26
- $838,027.88
2026-27 -
$858,978.58
2027-28
- $880,453.04
2028-29
- $902,464.37
2029-2030
- $925,025.97
(7) (6) The
hub operator shall state in its license application its election to pay tax
calculated pursuant to section (3), subsections (a) or (b), for gross gross net mutuel
wagering handle minus cancels
and refunds minus cancels and refunds
Statutory/Other Authority: ORS 462.270(3) & 462.725
Statutes/Other Implemented: ORS 462.725
History:
RC
13-2025, minor correction filed 10/08/2025, effective 10/08/2025
RC
10-2025, amend filed 08/27/2025, effective 08/28/2025
RC
5-2024, amend filed 02/23/2024, effective 02/23/2024
RC
2-2023, amend filed 03/02/2023, effective 03/02/2023
RC
2-2019, amend filed 10/10/2019, effective 10/10/2019
RC
8-2018, amend filed 12/10/2018, effective 12/10/2018
RC 2-2016, f. & cert. ef. 5-9-16
RC 3-2012, f. 10-9-12, cert. ef. 10-15-12
RC 2-2012, f. 5-29-12, cert. ef. 6-1-12
RC 1-2005, f. 5-23-05, cert. ef. 7-1-05
RC 3-2004, f. 6-23-04, cert. ef. 7-1-04
RC 4-2003, f. 6-20-03, cert. ef. 7-1-03
RC 3-2003, f. 6-13-03, cert. ef. 7-1-03
RC 4-2002, f. & cert. ef. 6-28-02
RC 1-2001, f. & cert. ef. 3-19-01
RC 3-2000, f. 3-27-00, cert. ef. 5-1-00
Advisory meeting required: Yes
December 4, 2025, 12:00
Hearing requirement: Yes December 18, 2025, Commissioner Berry
Reason for
the rule:
Corrects the
gross to net
Removes
unnecessary language that requires constant updating
Clarifies Non-Merged Pool requirements.