BILL NUMBER: AB 2760 VETOED DATE: 09/30/2000 SEP 30 2000 To the Members of the Senate: I am returning Assembly Bill 2760 without my signature. This bill would amend current statute to allow Internet and telephone wagering on horse races and add various provisions to govern those activities. The bill would also provide new protections for racetrack "backstretch" employees including badly needed standards for living conditions such as housing, establishment of a health and welfare fund, and the right to organize for collective bargaining purposes. If this bill contained only the backstretch provisions, I would sign it. However, I cannot support the provisions lifting the State ban on Internet and telephone wagering. Changing State law to allow wagering via the Internet and telephone would be a major change in the status quo and, I believe, a significant expansion of gambling in California. * It would create State-sanctioned Internet and telephone betting. This would expand the opportunities for horse race wagering by making gambling legally available through the Internet and telephone. * It would expand the scope of gambling by allowing Internet and telephone betting on out-of-state and out-of-country horse races. * It would open the door to children and teenagers placing bets using their parents' accounts over the Internet. * And it would allow continual betting through commercial betting systems without being limited by the racing season of any particular racing association. If the Legislature sends me a bill to protect backstretch employees from being subjected to dismal living and working conditions, I will sign it. Sincerely, GRAY DAVIS