Role of States and State racing commissions

(a) Enforcement authority (1) State election To enforce A State racing commission may elect to exercise enforcement authority with respect to the rules issued under paragraphs (1) and (2) of section 101(c) within the State concerned. (2) RHSO rules If a State racing commission does not make the election described in paragraph (1), the RHSO shall enforce the rules issued under paragraphs (1) and (2) of section 101(c) within the State, pursuant to a memorandum of understanding entered into with the RHSO. (b) Preemption The rules of the RHSO promulgated in accordance with this Act shall preempt any provision of State law or regulation of member States with respect to matters within the jurisdiction of the RHSO. (c) Unfair or deceptive acts or practices Each member State shall, as a condition of being a member of the interstate compact, have in effect a statute that treats as an unfair or deceptive act or practice the sale of a covered horse, or of any other horse in anticipation of its future participation in a covered race, if the seller— (1) knows or has reason to know the horse has been administered— (A) a bisphosphonate prior to the horse’s fourth birthday; or (B) any other substance or method the RHSO determines has a long-term degrading effect on the soundness of the covered horse; and (2) fails to disclose to the buyer the administration of the bisphosphonate or other such substance or method.