Cal. Bus. & Prof. Code § 19596.1

(a) Notwithstanding any other law, the board may authorize a harness or quarter horse association conducting a race meeting to accept wagers on the results of out-of-state or out-of-country harness or quarter horse races and, with the board’s approval and with the concurrence of the horsemen’s and horsewomen’s organization contracting with the association, other designated harness or quarter horse races during the period it is conducting the racing meeting, if all of the following conditions are met:
1. (1) The authorization complies with federal laws, including, but not limited to, Chapter 57 (commencing with Section 3001) of Title 15 of the United States Code.
2. (2) Wagering is offered only within the racing enclosure and only within 36 hours of the running of the out-of-state or out-of-country feature race.
3. (3) The association conducts at least seven live races, and imports not more than 10 races on those days during a racing meeting when live races are being run, except as provided in subdivision (b).
4. (4) If only one breed of horse specified in this section is being raced on a given day, then the association conducting the live racing may import those races that would otherwise be simulcast by the association that is not racing. After the usual deductions, including the portion for the racing association, the portion remaining for purses from these races shall be distributed equally for purses for harness and quarter horse horsemen and horsewomen.
5. (5) A quarter horse or harness racing association shall not accept wagers on out-of-state or out-of-country quarter horse or harness races commencing before 5:30 p.m., Pacific standard time, without the consent of any thoroughbred association or fair that is then conducting a live racing meeting in this state.
(b) An association that is authorized to import races pursuant to subdivision (a) may, at its sole discretion, import fewer than the maximum number of harness or quarter horse races authorized in paragraph (3) of subdivision (a). For up to two races per night, for each race that is not imported under the maximum authorized by paragraph (3) of subdivision (a) on a particular night of racing, the association may add a race to the number of races allowable under the maximum authorization on another night of racing. However, no more than two races may be added under this subdivision to the number allowable on a single night, and the total number of imported races over a calendar year may not exceed the total number of imported races authorized pursuant to paragraphs (3) and (4) of subdivision (a).
(c) Notwithstanding any other law, wagering on a nightly program of out-of-country harness racing from a single racetrack, regardless of the number of those races, may be accepted if all of the following conditions are met:
1. (1) Only a harness racing association may import a nightly program of out-of-country harness racing from a single racetrack on days when a harness racing association is conducting live racing.
2. (2) On days when a harness racing association does not conduct live racing, a quarter horse association conducting live racing on that day may accept wagers on a nightly program of out-of-country harness racing from a single racetrack.
3. (3) A nightly program of out-of-country harness racing from a single racetrack may be imported in addition to the authorizations in subdivisions (a) and (b).
4. (4)
  1. (A) After the deductions required by this article and the rules of the board, the remaining funds from the total amount handled on out-of-country harness racing authorized pursuant to this subdivision shall be distributed equally to the racing associations conducting night meetings in that calendar year.
  2. (B) Funds distributed to a harness racing association pursuant to this subdivision shall be distributed 50 percent as commissions and 50 percent as purses. Funds distributed to a quarter horse racing association pursuant to this subdivision shall be distributed as commissions.