§ 23-110-302 - Application -- Issuance of temporary franchise -- Hearing and appeal. - Arkansas Statutes

23-110-302. Application -- Issuance of temporary franchise -- Hearing and appeal.

(a) Any corporation desiring a franchise to conduct horse racing in any county in which a current franchise for horse racing is not held by another shall file its application therefor with the Arkansas Racing Commission and deposit with the commission the sum of five thousand dollars ($5,000) to cover the expenses of publishing legal notices and to pay a pro rata part of the costs of the general election, as provided in this chapter.

(b) The application shall set forth:

(1) The name of the corporation and the address of its principal office;

(2) The names and addresses of all of the corporation's officers, directors, and stockholders;

(3) The name and address of the corporation's agent for service of process;

(4) The corporation's latest financial statements;

(5) The estimated amount of funds which the corporation proposes to spend for the acquisition of a site, the construction thereon of buildings and facilities, and the purchase of equipment for conducting racing meets;

(6) Copies of architectural plans and specifications for the buildings and facilities; and

(7) Such other information and requirements as the commission shall determine asbeing necessary to enable it to pass upon the application.

(c) (1) (A) Immediately upon the filing of each application, the commission shall:

(i) Investigate the personal background and financial responsibility of the officers, directors, and principal stockholders of the corporation;

(ii) Examine the plans and specifications of the buildings and facilities proposed to be constructed; and

(iii) Take into consideration such other facts and conditions as it shall find necessary or desirable in the premises.

(B) Within ninety (90) days after the date of the filing of any application, the commission shall grant, or refuse to grant, a temporary franchise to the corporation.

(2) However, in all instances the commission shall give the applicant and all others who shall have filed written requests to be heard on the question not less than ten (10) days' notice of the date it proposes to formally consider the application, and all interested parties shall have the right to appear before the commission and be heard. The commission shall make a record of its proceeding at each hearing.

(d) (1) Should the commission refuse to grant a temporary franchise, it shall set forth in writing its reasons for the refusal. A copy of the writing shall immediately be sent to the applicant by registered United States mail to the address named in the application.

(2) Within sixty (60) days after the date of any refusal, the applicant may file with the commission amendments to the application for the purpose of overcoming any of the objections on which the commission based its refusal to grant a temporary franchise. Within thirty (30) days after receipt of any amendments, the commission shall either confirm its original refusal, or it may grant a temporary franchise.

(3) Either within twenty (20) days following the date of original refusal or within twenty (20) days following the date of refusal after the filing of any amendments, the applicant may appeal to the Pulaski County Circuit Court. The appeal shall be tried de novo on the record of the hearing before the commission.

(4) An appeal may be taken by the commission or by the applicant from the circuit court to the Arkansas Supreme Court, which shall likewise be tried de novo.

(5) The mandate of the court shall be filed with the commission.

(e) (1) Should the commission grant a temporary franchise on its own motion or based upon the decision of the court, then the fact of the grant shall be certified by the commission to the Secretary of State, and the five thousand dollars ($5,000) deposited with it under the provisions of subsection (a) of this section shall be paid over to the Secretary of State by the commission.

(2) Should a temporary franchise not be granted under this section, the funds deposited with the commission under subsection (a) of this section shall be refunded to the corporation by the commission.