WSR 10-19-106

PROPOSED RULES

GAMBLING COMMISSION


[ Filed September 21, 2010, 8:32 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 10-16-156.

Title of Rule and Other Identifying Information: WAC 230-13-135 Maximum wagers and prize limitations at certain amusement game locations.

Hearing Location(s): Lacey Community Center, 6729 Pacific Avenue S.E., Lacey, WA 98503, (360) 491-0857, on November 18 or 19, 2010, at 9:00 a.m. or 1:00 p.m.

Date of Intended Adoption: November 18 or 19, 2010.

Submit Written Comments to: Susan Arland, P.O. Box 42400, Olympia, WA 98504-2400, e-mail SusanA@wsgc.wa.gov, fax (360) 486-3625, by November 1, 2010.

Assistance for Persons with Disabilities: Contact Gail Grate, executive assistant, by November 1, 2010, TTY (360) 486-3637 or (360) 486-3453.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: Curtis Epping, owner of Funland Family Entertainment Center, a commercial amusement game licensee, has submitted a petition for rule change requesting that amusement centers be removed from the list of locations required to comply with the wagering and prize restrictions in WAC 230-13-135. Currently, the maximum wager is $0.50 and the maximum cost for a prize is $250 if school-aged minors are allowed to play. Removing amusement centers from WAC 230-13-135(7) will allow these licensees to charge more per play and offer more attractive prizes.

Reasons Supporting Proposal: The petitioner stated in the rule petition that amusement centers generate income based almost exclusively from the operation of amusement games. The industry has changed and they are trying to keep up by offering more exciting amusement games. In order to offer the best amusement games and prizes they must be allowed to charge a higher price per play. The petitioner stated the market will determine how much they charge per play. If the price is too high customers won't play the games.

The petitioner noted that some amusement centers are seasonal businesses similar to agricultural fairs/carnivals in that they must generate income in a short period of time (during the summer or tourist season). However, the agricultural fairs charge up to $5 per play. According to the petitioner, they cannot offer the maximum prize allowed ($250) at $0.50 per play. If they are allowed to charge more per play they will be able to offer nicer prizes.

The petitioner also noted in the petition that most of the kids that visit their location are supervised by their parents or guardians. In addition, WAC 230-13-090 requires amusement centers and other locations where minors are allowed to play, to provide adult supervision during all hours of operation.

Statutory Authority for Adoption: RCW 9.46.0201, 9.46.0331, 9.46.070.

Statute Being Implemented: Not applicable.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Curtis Epping, Funland Family Entertainment Center (amusement center licensee), private.

Name of Agency Personnel Responsible for Drafting: Susan Arland, Rules Coordinator, Lacey, (360) 486-3466; Implementation: Rick Day, Lacey, (360) 486-3446; and Enforcement: Mark Harris, Lacey, (360) 486-3579.

No small business economic impact statement has been prepared under chapter 19.85 RCW. A small business economic impact statement has not been prepared pursuant to RCW 19.85.025 because the change would not impose additional costs on businesses.

A cost-benefit analysis is not required under RCW 34.05.328. The Washington state gambling commission is not an agency that is stautorily [statutorily] required to prepare a cost-benefit analysis under RCW 34.05.328.

September 14, 2010

Arlene K. Dennistoun

Staff Attorney

OTS-3649.1


AMENDATORY SECTION(Amending Order 650, filed 7/13/09, effective 8/13/09)

WAC 230-13-135   Maximum wagers and prize limitations at certain amusement game locations.   The maximum wager is fifty cents and the maximum cost for a prize is two hundred fifty dollars if school-aged minors are allowed to play amusement games at the following locations:

(1) Regional shopping centers; and

(2) Movie theaters; and

(3) Bowling alleys; and

(4) Miniature golf course facilities; and

(5) Skating facilities; and

(6) Family sports complexes.

(((i))) (a) A "family sports complex" is a facility, at a permanent location, to which people go to play sports. A family sports complex must offer multiple sports activities, such as indoor soccer, outdoor soccer, lacrosse, baseball, Frisbee, and lawn bowling and the gross receipts must be primarily from these sports activities.

(((ii))) (b) A family sports complex does not include a facility owned or operated by a school or school district; and

(7) ((Amusement centers; and

(8))) Grocery or department stores. A "department or grocery store" means a business that offers the retail sale of a full line of clothing, accessories, and household goods, or a full line of dry grocery, canned goods, or nonfood items plus some perishable items, or a combination of these. A department or grocery store must have more than ten thousand square feet of retail and support space, not including the parking areas; and

(((9))) (8) Any business whose primary activity is to provide food service for on premises consumption.

[Statutory Authority: RCW 9.46.070. 09-15-067 (Order 650), 230-13-135, filed 7/13/09, effective 8/13/09; 08-11-036 (Order 625), 230-13-135, filed 5/14/08, effective 7/1/08; 07-15-064 (Order 612), 230-13-135, filed 7/16/07, effective 1/1/08.]

Washington State Code Reviser's Office