WSR 08-23-081



[ Filed November 18, 2008, 10:02 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 08-08-007.

Title of Rule and Other Identifying Information: WAC 230-15-050 Minimum cash on hand requirements.

Hearing Location(s): Holiday Inn, 1 South Grady Way, Renton, WA 98057, (425) 226-7700, on January 9, 2009, at 9:30 a.m.

Date of Intended Adoption: January 9, 2009.

Submit Written Comments to: Susan Arland, P.O. Box 42400, Olympia, WA 98504-2400, e-mail, fax (360) 486-3625, by January 1, 2009.

Assistance for Persons with Disabilities: Contact Gail Grate, executive assistant by January 1, 2009, TTY (360) 486-3637 or (360) 486-3453.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The Recreational Gaming Association (RGA) requests that:

1. Licensees must meet this requirement within three hours of opening. Currently, they must meet the cash on hand requirement when they open. This change will accommodate at least one licensee.

2. Cash on premises in the safe and vault, in addition to the cage, be counted towards the minimum cash on hand requirement; and

After the commission approved a wager increase for house-banked games from $200 to $300 at the September 2008 commission meeting, we needed to adjust our minimum bankroll requirements. We removed the $20,000 cap for the largest single prize available. Language was added to exclude player-supported jackpots and progressive jackpots from being included in the minimum bankroll calculation. These funds are required to be deposited into a separate bank account and are not kept in the cage. This is how we've been applying the rule. These changes were discussed at the October 2008 study session and the RGA supports the changes.

Statutory Authority for Adoption: RCW 9.46.070.

Statute Being Implemented: Not applicable.

Name of Proponent: Recreational Gaming Association, 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 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 statutorily required to prepare a cost-benefit analysis under RCW 34.05.328.

November 18, 2008

Susan Arland

Rules Coordinator


AMENDATORY SECTION(Amending Order 620, filed 11/20/07, effective 1/1/08)

WAC 230-15-050   Minimum cash on hand requirements.   (1) Card game licensees must have sufficient cash on hand to redeem all chips issued for play and pay out all prizes.

(2) ((Before)) Within three hours of opening for the business day, at a time included in the internal controls, house-banked card game licensees must have at least the following minimum amount of cash on premises in their cage, safe, and vault combined:

(a) One thousand dollars for each house-banked table on the gambling floor; plus

(b) The amount of the largest single prize available ((or not more than twenty thousand dollars)) excluding jackpot prizes when WAC rules require a deposit into a separate bank account (for example, player-supported jackpots and progressive jackpots).

For example: If a house-banked card room has fifteen house-banked tables and a largest single prize of twenty-three thousand dollars, before opening, the cage must have at least ((thirty-five)) thirty-eight thousand dollars on hand: 15 tables x $1,000 = $15,000 + largest single prize ((or $20,000 = $35,000))) of $23,000 = $38,000.

(3) Except for the restrictions on player-supported jackpot pay outs in WAC 230-15-405 and progressive jackpot pay outs in WAC 230-15-690, licensees may pay prizes by check if sufficient funds are available on deposit.

(4) Failure to keep funds to cash in chips, pay prizes, or redeem gambling related checks is prima facie evidence of fraud. Meeting the minimum cage cash amount does not relieve the licensee from the requirement to have sufficient funds available to redeem all chips and pay out all prizes.

[Statutory Authority: RCW 9.46.070. 07-23-081 (Order 620), 230-15-050, filed 11/20/07, effective 1/1/08; 07-09-033 (Order 608), 230-15-050, filed 4/10/07, effective 1/1/08.]

Washington State Code Reviser's Office