West Flagler Associates, Ltd. v. Department of Business & Professional Regulation, Division of Pari-Mutuel Wagering
219 So. 3d 149
| Fla. Dist. Ct. App. | 2017Background
- West Flagler, a Miami-Dade pari‑mutuel permit holder, applied twice (for different two‑year fiscal windows) for newly created summer jai alai permits under §550.0745(1).
- The statute allows a permittee with the smallest "mutuel play" for two consecutive years to convert its permit to a summer jai alai permit; if that eligible permittee declines, a new summer permit is made available in the county.
- West Flagler argued SFRA had the smallest play (excluding out‑of‑state simulcast export wagers) for the relevant periods, and because SFRA declined conversion, new permits should be created and awarded to West Flagler.
- The Division included simulcast export wagers in the "play or total pool" calculation, which produced different lowest‑play permittees across the paired years and in one period identified SJAP (already a summer permit holder) as the lowest — yielding no eligible converter and thus no new permit.
- After an ALJ recommended denial, the Division adopted the findings and denied both applications; West Flagler appealed, challenging (1) whether simulcast export wagers count in the "play or total pool" and (2) whether an existing summer jai alai permit holder can "convert" to a new summer jai alai permit.
Issues
| Issue | West Flagler (Plaintiff) | Division (Defendant) | Held |
|---|---|---|---|
| Does "play or total pool" include simulcast export (out‑of‑state) wagers? | Count only live and intertrack wagers; exclude simulcast export wagers so SFRA would be lowest. | Include simulcast export wagers in the total pool calculation. | Include simulcast export wagers; Division’s construction upheld. |
| Is an existing summer jai alai permit holder eligible to "convert" to a new summer jai alai permit? | Conversion could occur or be treated to permit relocation/new permit creation. | A permit already a summer jai alai permit cannot convert to a summer jai alai permit; no conversion = no new permit. | Existing summer permit holders cannot convert to a new summer permit; no new permit created. |
Key Cases Cited
- J.S. v. C.M., 135 So. 3d 312 (Fla. 1st DCA 2012) (standard of review for ALJ findings and legal conclusions)
- West Flagler Assoc., Ltd. v. Dep. of Bus. & Prof. Reg., 139 So. 3d 419 (Fla. 1st DCA 2014) (deference to administrative construction of statute)
- South Florida Racing Ass’n v. State, Dep’t of Bus. & Prof. Reg., 201 So. 3d 57 (Fla. 3d DCA 2015) (interpretation that intertrack wagers count in "play or total pool")
- All Seasons Resorts, Inc. v. Div. of Land Sales, 455 So. 2d 544 (Fla. 1st DCA 1984) (agency construction entitled to great weight)
- Shell Harbor Grp., Inc. v. Dep’t of Bus. Reg., 487 So. 2d 1141 (Fla. 1st DCA 1986) (agency construction deference)
Affirmed: the Division correctly construed §550.0745(1) and denial of both applications was proper.