(a) Lease. If an applicant for a license to operate a racetrack intends to lease the racetrack facility from another person, the Commission may not grant the license if the Commission determines that:
  (1) the lessor would not be qualified to be issued a license; or
  (2) the lease is a subterfuge to avoid compliance with the Act or a rule of the Commission.
(b) Reasonable Diligence Required. If the Commission determines that an association is failing to exercise reasonable diligence in preparing a racetrack to begin racing on the date approved by the Commission, the Commission may revoke the license and grant the license to another applicant.

Source Note: The provisions of this §309.5 adopted to be effective October 21, 1999, 24 TexReg 8964