WSR 00-19-064

PROPOSED RULES

LOTTERY COMMISSION


[ Filed September 19, 2000, 12:57 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 00-16-092.

Title of Rule: WAC 315-04-190 Compensation.

Statutory Authority for Adoption: RCW 67.70.040.

Statute Being Implemented: RCW 67.70.040.

Summary: WAC 315-04-190 would increase flexibility in changing retailer commissions.

Reasons Supporting Proposal: See Explanation of Rule below.

Name of Agency Personnel Responsible for Drafting: Mary Jane Ferguson, Rules Coordinator, Olympia, (360) 664-4833; Implementation and Enforcement: Merritt D. Long, Director, Olympia, (360) 664-4800.

Name of Proponent: Washington State Lottery Commission, governmental.

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

Explanation of Rule, its Purpose, and Anticipated Effects: WAC 315-04-190 would increase flexibility in changing retailer commissions.

Proposal Changes the Following Existing Rules: WAC 315-04-190 would increase flexibility in changing retailer commissions.

No small business economic impact statement has been prepared under chapter 19.85 RCW. The lottery has considered whether these rules are subject to the Regulatory Fairness Act, chapter 19.85 RCW, and has determined that they are not for the following reasons: (1) The rules have no economic impact on business' cost of equipment, supplies, labor or administrative costs. The rules are designed to establish rules and procedures for the playing of instant lottery games; and (2) the rules will have a negligible impact, if any, on business because they are interpretive. They have been promulgated for the purpose of stating policy, procedure and practice and do not include requirements for forms, fees, appearances or other actions by business.

RCW 34.05.328 does not apply to this rule adoption. Said section does not apply to these proposed rules because they are not proposed by one of the listed agencies. As the rules are merely interpretive, the lottery does not voluntarily apply this section.

Hearing Location: M. J. Murdock Executive Plaza Building, Cascadia Conference Room, 703 Broadway, Vancouver, WA 98660, on November 17, 2000, at 10:00 a.m.

Assistance for Persons with Disabilities: Contact Mary Jane Ferguson by November 15, 2000, TDD (360) 586-0933, or (360) 664-4833.

Submit Written Comments to: Mary Jane Ferguson, Lottery, fax (360) 664-4833, by September 12, 2000.

Date of Intended Adoption: November 17, 2000.

September 18, 2000

Mary Jane Ferguson

Rules Coordinator

OTS-4356.1


AMENDATORY SECTION(Amending WSR 92-19-057, filed 9/11/92, effective 10/12/92)

WAC 315-04-190
Compensation.

(1) Lottery retailers shall be entitled to a ((five and one-half percent)) discount on the retail price of the instant game tickets ((established by rule for each game)). The commission must approve the discount paid to the retailers.

(2) ((Effective July 1, 1993, lottery retailers shall be entitled to a six percent discount on the retail price of the instant game tickets established by rule for each game.

(3))) Lottery retailers authorized to sell on-line tickets shall be entitled to a ((five and one-half percent)) discount on the total of gross on-line ticket sales less on-line ticket cancellations. The commission must approve the discount paid to the retailers.

(((4) Effective July 1, 1993, lottery retailers authorized to sell on-line tickets shall be entitled to a six percent discount on the total of gross on-line ticket sales less on-line ticket cancellations.

(5) In addition to that discount authorized under subsections (3) and (4) of this section, lottery retailers authorized to sell tickets for the on-line game, lotto, shall be entitled to a one percent discount on the total of gross lotto ticket sales less lotto ticket cancellations where the tickets sold are for a jackpot prize of six million dollars or more.

(6))) (3) Lottery retailers may receive additional compensation through programs including but not limited to additional discounts, retailer games, retailer awards, and retailer bonuses.

(a) The commission must approve each such program prior to its implementation.

(b) The director shall establish and publish the procedures necessary to implement any such program approved by the commission prior to initiation of the program.

(((7))) (4) The lottery, when selling instant or on-line tickets, as a lottery retailer, may use the proceeds from the applicable discount on the retail price of the tickets sold to pay fees or other charges associated with those sales.

[Statutory Authority: RCW 67.70.040. 92-19-057, 315-04-190, filed 9/11/92, effective 10/12/92; 91-20-062, 315-04-190, filed 9/25/91, effective 10/26/91; 87-17-012 (Order 103), 315-04-190, filed 8/10/87; 87-05-005 (Order 99), 315-04-190, filed 2/6/87; 86-12-001 (Order 91), 315-04-190, filed 5/22/86; 86-01-060 (Order 83), 315-04-190, filed 12/16/85; 84-21-013 (Order 66), 315-04-190, filed 10/5/84; 84-01-004 (Order 42), 315-04-190, filed 12/8/83. Statutory Authority: RCW 67.70.040 and 67.70.050. 83-05-029 (Order 14), 315-04-190, filed 2/10/83. Statutory Authority: 1982 2nd ex.s. c 7. 82-21-039 (Order 4), 315-04-190, filed 10/15/82.]

Washington State Code Reviser's Office