WSR 10-19-052

PERMANENT RULES

GAMBLING COMMISSION


[ Order 673 -- Filed September 14, 2010, 8:02 a.m. , effective January 1, 2011 ]


Effective Date of Rule: January 1, 2011.

Purpose: Casey's Deadgame Service's request that the billing threshold be increased from $25,000 to $30,000 for punch board/pull-tab (PB/PT) service businesses was approved. This allows PB/PT service businesses to increase their yearly income $5,000 a year without upgrading to a service supplier license. This could potentially save these small businesses more than $600 a year in licensing fees.

Citation of Existing Rules Affected by this Order: Amending WAC 230-03-020 and 230-03-210.

Statutory Authority for Adoption: RCW 9.46.070.

Adopted under notice filed as WSR 10-15-026 on July 13, 2010.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 1, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 1, Repealed 0.

Date Adopted: September 13, 2010.

Susan Arland

Rules Coordinator

OTS-3243.1


AMENDATORY SECTION(Amending Order 457, filed 3/22/06, effective 1/1/08)

WAC 230-03-020   Punch board and pull-tab service business permit.   (1) You must apply for a punch board and pull-tab service business permit if you:

(a) Reconcile sales, prizes, and cash on hand for punch board and pull-tab series; or

(b) Complete records we require; or

(c) Store punch boards and pull-tab series removed from play.

(2) The owners or employees of the punch boards and pull-tab service business must not be employees of the operator.

(3) The owners or employees of the punch boards and pull-tab service business must not provide management advice to the operator.

(4) The punch board and pull-tab service business must apply for a gambling service supplier license if combined gross billings exceed ((twenty-five)) thirty thousand dollars during the permit period.

[Statutory Authority: RCW 9.46.070. 06-07-157 (Order 457), 230-03-020, filed 3/22/06, effective 1/1/08.]

OTS-3244.2


AMENDATORY SECTION(Amending Order 617, filed 10/22/07, effective 1/1/08)

WAC 230-03-210   Applying for a gambling service supplier license.   (1) You must apply for a gambling service supplier license if you perform any of the following gambling-related services for compensation:

(a) Consulting or advisory services regarding gambling activities; or

(b) Gambling management services; or

(c) Financing for more than one licensee for purchases or leases of gambling equipment or financing for providing infrastructure or facilities, or equipment that supports gambling operations:

(i) Once you have financed more than one licensee, you must be a licensed gambling service supplier until all loans with licensees or previous licensees are paid.

(ii) Once you have been a licensed gambling service supplier, you must be licensed as a gambling service supplier again before financing purchases or leases for any licensee; or

(d) Acting as a lending agent, or loan servicer, or placement agent; or

(e) Providing the assembly of components for gambling equipment under a contract with a licensed manufacturer or entering into an ongoing financial arrangement for gambling related software with a licensed manufacturer; or

(f) Installing, integrating, maintaining, or servicing digital surveillance systems that allow direct access to the operating system; or

(g) Training individuals to conduct authorized gambling activities; or

(h) Providing any other service or activity where influence may be exerted over any gambling activity licensed by the commission; or

(i) Performing the testing and certification of tribal lottery systems in meeting requirements specified in the tribal-state compact; or

(j) Providing nonmanagement-related recordkeeping or storage services for punch board and pull-tab operators, when the combined total gross billings from such services exceed thirty thousand dollars during any permit period or license year.

(2) You do not need a gambling service supplier license if you are:

(a) A bank, mutual savings bank, or credit union regulated by the department of financial institutions or any federally regulated commercial lending institution; or

(b) A university or college regulated by the Washington state board of community and technical colleges and the higher education coordinating board that trains individuals to conduct authorized gambling activities; or

(c) An attorney, accountant, or governmental affairs consultant whose primary business is providing professional services that are unrelated to the management or operation of gambling activities; or

(d) A person who only provides nonmanagement-related recordkeeping or storage services for punch board and pull-tab operators, when the combined total gross billings from such services do not exceed ((twenty-five)) thirty thousand dollars during any ((calendar year)) permit period; or

(e) A person who provides names, images, artwork or associated copyrights, or trademarks, or patent use, or other features that do not affect the results or outcome of the game, for use in gambling equipment; or

(f) Regulated lending institutions.

[Statutory Authority: RCW 9.46.070. 07-21-116 (Order 617), 230-03-210, filed 10/22/07, effective 1/1/08; 06-24-030 (Order 605), 230-03-210, filed 11/29/06, effective 1/1/08; 06-07-157 (Order 457), 230-03-210, filed 3/22/06, effective 1/1/08.]

Washington State Code Reviser's Office