PURPOSE: This rule sets forth the requirements for disclosure of financial plan for Class D licenses.

1. (1) The applicant for a Class D license must disclose its financial projections for the development period and for the conducting of the race meets.
2. (2) Separate schedules based on the number of racing days and the types of pari-mutuel wagering must be included.
3. (3) The disclosure must include:
4. (A) The applicant’s requirements for breaking even, the optimum number of racing fzevss,and the types of betting the applicant

(B)‘The following assumptions and the support for them:

1. 1. Average daily attendance;
2. 2. Average daily per capita handle and average bet;
3. 3. The retainage;
4. 4. Admissions to track, including ticket prices and free admissions, if any;
5. 5. Parking volume, fees and revenues;
6. 6. Concessions, gift shop and program sales;
7. 7. Cost of purses;
8. 8. Pari-mutuel expense;
9. 9. Breeder funds;
10. 10. Payroll;
11. 11. Operatmg supplies and service;
12. 12. Utilities, if any;
13. 13. Repairs and maintenance;
14. 14. Insurance, if any;
15. 15. Travel expense;
16. 16. Membership expense;
17. 17. Security expense;
18. 18. Legal and audit expense; and
19. 19. Debt service;

1. (C) The following profit and loss elements:

   1. 1. Total revenue, including projected revenues from:

      1. A. Retainage;
      2. B. Breakage;
      3. C. Admissions;
      4. D. Parking; and
      5. E. Concessions, gifts and program

operations;

1. 2. Total operating expenses including anticipated expenses for: 12 CSR 50-13-REVENUE

   1. A. Purses;
   2. B. Pari-mutuel;
   3. C. Breakage to state;
   4. D. Breeder fund;
   5. E. Special assessments;
   6. F. Cost of concession goods, gifts and

programs;

1. G. Advertising and promotion;
2. H. Payroll;
3. I. Operating supplies and service;
4. J. Maintenance and repairs;
5. K. Insurance, if any;
6. L. Security; and
7. M. Legal and audit; and

8. 3. Nonoperating expenses including anticipated expenses for:

   1. A. Debt service;
   2. B. Facility depreciation, including the

identification of method used; and

1. C. Equipment depreciation, including

the identification of the method used; (D) Projected cash flow including assessments of:

1. 1. Income, including:

   1. A. Equity contributions;
   2. B. Debt contributions;
   3. C. Interest income; and
   4. D. Operating revenue; and

2. 2. Disbursements, including:

   1. A. Land;
   2. B. Improvements;
   3. C. Equipment;
   4. D. Debt service;
   5. E. Operating expense; and
   6. F. Organizational expense; and

1. (E) Project balance sheets as of the end of the development period and for the requested race meets setting forth-

   1. 1. Current fixed and other noncurrent assets;
   2. 2. Current and long-term liabilities; and
   3. 3. Capital accounts.
2. (4) The applicant must also disclose an accountant’s report of the financial projections

3. (5) The commission will utilize financial projections in deciding whether to issue Class D licenses, Neither acceptance of a license application nor issuance of a license shall bind the commission as to matters within its discretion, including, but not limited to, assignment of racing days and design of types of permissible parimutuel pools.

   Auth: section 313.580, RSMo (1986). Emergency rule filed June 5, 1986, efjectiue June 15, 1986, expired Oct. 13, 1986. Original rule filed June 12, 1986, effective Oct. 27, 1986.