WSR 12-12-007

PROPOSED RULES

GAMBLING COMMISSION


[ Filed May 24, 2012, 8:33 a.m. ]

Continuance of WSR 11-23-172.

Preproposal statement of inquiry was filed as WSR 11-15-019.

Title of Rule and Other Identifying Information: New sections WAC 230-11-200 Defining "electronic raffle system," 230-11-205 Operating requirements for electronic raffle systems, 230-11-210 Leasing electronic raffle systems, and 230-16-152 Remote access of electronic raffle systems.

Hearing Location(s): Embassy Suites Hotel, 15920 West Valley Highway, Seattle, WA 98188, (206) 227-8844, on July 12 or 13, 2012, at 9:00 a.m. or 1:00 p.m. NOTE: Meeting dates and times are tentative. Visit our web site at www.wsgc.wa.gov and select public meeting about ten days before the meeting to confirm meeting date/location/start time.

Date of Intended Adoption: July 12 or 13, 2012. NOTE: Meeting dates and times are tentative. Visit our web site at www.wsgc.wa.gov and select public meeting about ten days before the meeting to confirm meeting date/location/start time.

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 July 1, 2012.

Assistance for Persons with Disabilities: Contact Gail Grate, executive assistant, by July 1, 2012, TTY (360) 486-3637 or (360) 486-3453.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: 50/50 Central, formerly a licensed manufacturer, is requesting a rule change to allow raffle tickets to be sold using electronic raffle systems. The system is loaded into hand-held equipment that prints raffle tickets. For example, an individual representing a charitable/nonprofit organization could walk around an arena with a hand-held point of sale system (POS) and ask people if they want to purchase a raffle ticket. If so, the individual representing the nonprofit would collect money, print a receipt from the POS equipment and give the receipt to the purchaser. The raffle number(s) are printed on the receipt. Individuals who purchase tickets would not interact with the equipment. Currently, one discount plan is allowed per raffle (for example, tickets are $8 each, or buy 2 for $10). The rule change would allow raffles that use the electronic accounting system to use up to four discount plans for a raffle.

Reasons Supporting Proposal: See above.

Statutory Authority for Adoption: RCW 9.46.070, 9.46.0277.

Statute Being Implemented: Not applicable.

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

Name of Proponent: Blair Smith, representing 50/50 Central Ltd, a previously licensed manufacturer, private.

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

No small business economic impact statement has been prepared under chapter 19.85 RCW. A small business economic impact statement was not prepared because the rule change would not impose additional costs on any licensee. Although there is a cost associated with purchasing the electronic raffle system, licensees would not be required to use the system.

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

May 24, 2012

Susan Arland

Rules Coordinator

OTS-4415.3

ELECTRONIC RAFFLE SYSTEMS
NEW SECTION
WAC 230-11-200   Defining "electronic raffle system."   "Electronic raffle system" means computer software and related gambling equipment approved by us and used by raffle licensees to sell tickets, account for sales, and print paper tickets to determine winners.

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NEW SECTION
WAC 230-11-205   Operating requirements for electronic raffle systems.   Electronic raffle systems must be approved by us prior to use, meet the requirements below, and not perform additional functions:

(1) Raffle licensees using electronic raffle systems must:

(a) Conduct their raffles in the same way as other raffles; and

(b) Print individual raffle tickets prior to the drawing; and

(c) Disconnect all connections that go outside of the electronic raffle system to ensure that internet capability is not available; and

(d) Not allow raffle players to interact with the electronic raffle system.

(2) Approved electronic raffle systems may bundle tickets and sell them at a discount if they:

(a) Create the discount plan before selling any raffle tickets; and

(b) Do not change the discount plan during the raffle; and

(c) Make single nondiscounted tickets available to all participants; and

(d) Only use up to a maximum of four discount plans for each raffle; and

(e) Print each discounted raffle ticket number included in a bundle and a description of the discount plan on a single ticket/receipt.

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NEW SECTION
WAC 230-11-210   Leasing electronic raffle systems.   If a raffle licensee leases an electronic raffle system from a manufacturer, the lease must not be based on, in whole or in part, the raffle receipts. However, manufacturers may charge a fixed amount per event.

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OTS-4416.2

ELECTRONIC RAFFLE SYSTEMS
NEW SECTION
WAC 230-16-152   Remote access of electronic raffle systems.   Licensed manufacturers or manufacturer representatives may access the electronic raffle systems for maintenance or repair. Remote access will only be enabled for the duration of the maintenance or repair and the connection terminated immediately after.

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Washington State Code Reviser's Office