WSR 08-20-007



[ Order 630 -- Filed September 18, 2008, 11:39 a.m. , effective January 1, 2009 ]

Effective Date of Rule: January 1, 2009.

Purpose: This rules package adds back definitions relating to licensee activity reporting and the requirement that out of state licenses have a resident agent in Washington state. It also corrects the activity reporting period for commercial amusement game licensees.

Citation of Existing Rules Affected by this Order: Amending WAC 230-13-169.

Statutory Authority for Adoption: RCW 9.46.070.

Adopted under notice filed as WSR 08-15-066 on July 14, 2008, and published August 6, 2008.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 7, Amended 1, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 7, Amended 1, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 7, Amended 1, Repealed 0.

Date Adopted: September 18, 2008.

Susan Arland

Rules Coordinator


WAC 230-03-052   Resident agent to be appointed by out-of-state applicants and licensees.   (1) All applicants and licensees that do not have a business office or licensed premises within Washington state must appoint a resident agent for receiving and accepting service of process and other communications from us.

(2) The resident agent must be:

(a) A natural person who is a resident living in Washington state; and

(b) At least eighteen years old.

(3) The resident agent's name, business address, and home address must be filed with us.



WAC 230-06-150   Defining "gross gambling receipts."   (1) "Gross gambling receipts" means the amount due to any operator of a gambling activity for:

(a) Purchasing chances to play a punch board or pull-tab series; and

(b) Purchasing chances to enter a raffle; and

(c) Fees or purchase of cards to participate in bingo games; and

(d) Fees to participate in an amusement game, including rent or lease payments paid to licensees or franchisers for allowing operation of an amusement game on their premises; and

(e) "Net win" from a house-banked card game; and

(f) Tournament entry fees; and

(g) Administrative fees from player-supported jackpots; and

(h) Fees to participate in a nonhouse-banked card game (for example, time, rake, or per hand fee).

(2) The amount must be stated in U.S. currency.

(3) The value must be before any deductions for prizes or other expenses.

(4) "Gross gambling receipts" does not include fees from players to enter player-supported jackpots. However, any portion of wagers deducted for any purpose other than increasing current prizes or repayment of amounts used to seed prizes are "gross gambling receipts."


WAC 230-06-155   Defining "gross sales."   (1) "Gross sales" means the amount received for all nongambling goods and services sold or occurring on the premises.

(2) The amount must be stated in U.S. currency minus any sales taxes or discounts.

(3) Income received from sales made on behalf of others or in partnership with third parties, commission income, or income splitting schemes, must be recorded at the net amount realized.


WAC 230-06-160   Defining "net gambling receipts."   "Net gambling receipts" means all gross gambling receipts from any gambling activity minus:

(1) The value for cash prizes; and

(2) The actual cost of any merchandise prizes that were awarded.


WAC 230-06-165   Defining "net gambling income."   (1) "Net gambling income" means net gambling receipts minus all other expenses related to the operation of a licensed activity paid out during the same reporting period.

(2) Expenses must be reported on the accrual basis if the records are normally maintained on that basis.


WAC 230-06-170   Defining "net win."   "Net win" means gross wagers received from gambling activities or fund-raising events minus the:

(1) Amount paid to players for winning wagers; and

(2) Accrual of prizes for progressive jackpot contests; and

(3) Repayment of amounts used to seed guaranteed progressive jackpot prizes.


WAC 230-06-175   Defining "cost."   (1) "Cost" means the amount paid or owed by the purchaser, for any gambling or nongambling product or service, at the time of the transaction and documented on the sales receipt/transfer document.

(2) "Cost" does not include:

(a) Sales taxes paid by the purchaser; or

(b) Any markup or value added by the purchaser.



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

WAC 230-13-169   Annual activity reports for commercial amusement game licensees.   Commercial amusement game licensees must submit an annual activity report to ((the commission. The activity reports must be)) us in the format we require and must:

(1) Cover the ((periods:

(a) January 1 through June 30; and

(b) July 1 through December 31)) license year of one calendar year or less; and

(2) Be received at our administrative office or postmarked no later than thirty days following the end of the reporting period; and

(3) Be signed by the licensee's highest ranking executive officer or a designee. If someone other than the commercial amusement game licensee or its employee prepares the report, then it must provide the preparer's name and business telephone number; and

(4) ((Be filed even if they do not renew their license. They must file a report for the period between the previous report filed and the expiration date of the license)) Submit a report for any period of time their license was valid, even if they had no activity or did not renew their license; and

(5) Complete the report according to the instructions furnished with the report.

[Statutory Authority: RCW 9.46.070. 07-21-116 (Order 617), 230-13-169, filed 10/22/07, effective 1/1/08.]

Washington State Code Reviser's Office