(a) Scheduling of review.
  (1) Except as otherwise provided in this subsection, an association holding a racetrack license designated as "Active-Operating" or "Active-Other" shall be subject to an ownership and management review in calendar year 2013.
  (2) An association that undergoes or has undergone an ownership and management review in connection with a change of controlling interest during 2008 or any subsequent year shall be subject to review under this section in the year beginning five years after the Commission approved the change in controlling interest.
  (3) An association which receives its original license during or after calendar 2013 shall be subject to review under this section in the year beginning five years after its date of original licensure.
(b) Submission requirements. Not later than June 30 of the year in which an association is subject to review, the association shall submit to the Commission:
  (1) copies of its current management, concession, and totalisator contracts;
  (2) a copy of its current security plan;
  (3) for each person owning an interest of at least five percent of the association and for each officer, director, or management committee member who is not currently licensed as an Association Officer or Director by the Commission:
    (A) a completed background information form and written authorization for the Commission and the Department of Public Safety to conduct any investigation deemed necessary; and
    (B) a set of fingerprints on a form prescribed by the Department of Public Safety, or if the person already has a set of fingerprints classified and on file with the Department of Public Safety, authorization to resubmit those fingerprints to the Federal Bureau of Investigation and the Department of Public Safety for investigation;
  (4) a review fee of $5,000, to be held by the Commission in the state treasury in a suspense account until the review is complete or transferred to the Texas Racing Commission Fund as costs are incurred; and
  (5) any other information required by the Commission.
(c) Commission review.
  (1) The executive secretary shall prepare a report for the Commission's review summarizing:
    (A) the information provided by the association under this section or under §309.152 of this title (relating to Records);
    (B) the Commission's inspection reports from the prior five years;
    (C) the results of any inspections or investigations conducted by the Commission as part of the review; and
    (D) any other information relevant to the ownership or management of the association.
  (2) The executive secretary will separately provide to the Commission the results of any background investigations conducted by the Department of Public Safety.
  (3) At the conclusion of each review, the Commission:
    (A) may take any action authorized under the Act or the Rules; and
    (B) shall schedule the next ownership and management review of the association's license.
(d) Reconciliation of costs. Upon completion of the review, the Commission shall determine its total cost of processing the review, including its administrative costs and any investigative costs that are reimbursable to the Department of Public Safety.
  (1) If the actual cost to the Commission of processing the review exceeds the amount of the review fee paid by the association, the Commission shall bill the association for any additional amount, to be paid not later than 30 days after receipt of a bill from the Commission.
  (2) If the actual cost to the Commission of processing the review is less than the amount of the review fee paid by the association, the Commission shall refund the excess not later than 30 business days after the Commission's decision on the review becomes final.

Source Note: The provisions of this §309.53 adopted to be effective May 30, 2013, 38 TexReg 3336