WSR 16-09-043
PROPOSED RULES
GAMBLING COMMISSION
[Filed April 15, 2016, 8:47 a.m.]
Original Notice.
Preproposal statement of inquiry was filed as WSR 16-06-130.
Title of Rule and Other Identifying Information: Amending WAC 230-13-075 Assigning and reporting group numbers of authorized amusement games, 230-13-170 Recordkeeping for commercial amusement games, 230-07-125 Recordkeeping requirements for lower volume charitable or nonprofit organizations, and 230-13-005 Amusement games authorized.
Hearing Location(s): Red Lion, 18220 International Boulevard, Seattle, WA 98188, (206) 246-5535, on July 14 or 15, 2016, at 9:30 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 14 or 15, 2016.
Submit Written Comments to: Susan Newer, P.O. Box 42400, Olympia, WA 98504-2400, e-mail Susan.Newer@wsgc.wa.gov, fax (360) 486-3625, by July 1, 2016.
Assistance for Persons with Disabilities: Contact Michelle Rancour by July 1, 2016, TTY (360) 486-3637 or (360) 486-3453.
Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: In July 2015, the commissioners authorized group 12 amusement games to be played by persons twenty-one and over. These rules address recordkeeping and the nontransferability of tokens. Currently, amusement game operators are only required to notify us once a year of the amusement games they have. They are also only required to report their overall amusement game gross receipts. Given the questions about group 12 amusement games, staff needs to know where group 12 amusement games are being operated and the gross receipts they are bringing in. For group 12 amusement games, coupons, tickets, tokens or tokens on an electronic token cards [card] are nontransferable, such as player tracking systems, customer rewards systems, etc.
Statutory Authority for Adoption: RCW 9.46.070 and 9.46.0201.
Statute Being Implemented: Not applicable.
Rule is not necessitated by federal law, federal or state court decision.
Name of Proponent: Washington state gambling commission, governmental.
Name of Agency Personnel Responsible for Drafting: Susan Newer, Lacey, (360) 486-3466; Implementation: David Trujillo, Director, Lacey, (360) 486-3512; and Enforcement: Josh Stueckle, Acting 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 changes would not impose additional costs.
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.
April 15, 2016
Susan Newer
Rules Coordinator
AMENDATORY SECTION (Amending WSR 07-10-032, filed 4/24/07, effective 1/1/08)
WAC 230-07-125 Recordkeeping requirements for lower volume charitable or nonprofit organizations.
(1) Organizations operating without a license under RCW 9.46.0315 or 9.46.0321 and lower volume charitable or nonprofit licensees must keep a set of permanent monthly records of the gambling activities. Lower volume licensees include:
(a) Fund-raising events;
(b) Bingo (Classes A, B, and C);
(c) Raffles (Classes A, B, C, and D);
(d) Amusement games (Classes A, B, C, and D); and
(e) Card games (Classes A, B, and C).
(2) The monthly records must include, at least:
(a) The gross receipts from each activity;
(b) The gross receipts from group 12 amusement games;
(c) The total amount of cash prizes actually paid out;
(((c))) (d) The total of the cost to the licensee of all merchandise prizes actually paid out for each activity;
(((d))) (e) A summary of all expenses related to each of the activities; and
(((e))) (f) The net income received from the activity, the purpose(s) for which the net income was raised, and the amount paid to each recipient.
(3) Licensees must keep these records for three years from the end of the license year for which the record was created.
(4) Organizations operating under RCW 9.46.0315 or 9.46.0321 must maintain their records for one year.
AMENDATORY SECTION (Amending WSR 15-15-063, filed 7/10/15, effective 8/10/15)
WAC 230-13-005 Amusement games authorized.
(1) We authorize the approved groups of amusement games set forth in this chapter. Operators must only operate amusement games that meet the standards of at least one of the authorized groups.
(2) Commercial businesses or nonprofit or charitable organizations may apply for licenses for amusement games.
(3) Charitable or nonprofit organizations also may conduct amusement games without a license when authorized to do so under RCW 9.46.0321 and 9.46.0331.
(4) Operators must operate amusement games as either:
(a) An attended amusement game.
(i) An "attended amusement game" means an amusement game that requires the presence or assistance of a person (attendant) in the regular operation of the game; and
(ii) These games must award a merchandise prize to players if players achieve the objective with one cost of play; or
(b) A coin or token activated amusement game.
(i) A "coin or token activated amusement game" means an amusement game that uses a mechanical, electronic, or electro-mechanical machine to allow the player to activate the game by inserting coins ((or)), tokens, or tokens on an electronic token card; and
(ii) These games may dispense merchandise prizes, or coupons, tickets, ((or)) tokens, or tokens onto an electronic token card redeemable for merchandise prizes; and
(iii) For group 12 amusement games, coupons, tickets, tokens or tokens on an electronic token card are nontransferable, such as player tracking systems, customer rewards systems, etc.
(5) Amusement games must not award additional plays as prizes.
(6) Electronic token card means a card issued by the operator that stores purchased credits available to play the amusement game separate from the coupons, tickets, or tokens awarded or dispensed as prizes from the play of the amusement game. Coupons, tickets, or tokens awarded as prizes cannot be used to play amusement games and must only be redeemed for merchandise prizes.
AMENDATORY SECTION (Amending WSR 07-15-064, filed 7/16/07, effective 1/1/08)
WAC 230-13-075 Assigning and reporting group numbers of authorized amusement games.
(1) Amusement game licensees must determine the authorized group number of each game and prepare a list of all games they plan to operate during each license year. They must submit this list to us with their activity report. The list must contain, at least, the name and group number of each game.
(2) Amusement game licensees must notify us within thirty days of putting into play and removing from play a group 12 amusement game. Reporting must be in the format we require.
AMENDATORY SECTION (Amending WSR 07-15-064, filed 7/16/07, effective 1/1/08)
WAC 230-13-170 Recordkeeping for commercial amusement games.
(1) Amusement game licensees must prepare a detailed record for each location where they operate games. They must retain the records for at least three years. The records must include details necessary to determine:
(a) Gross ((gambling)) receipts received from players from each group of amusement games; and
(b) Value of prizes awarded to winners.
(2) Records must include, at least:
(a) The gross ((gambling)) receipts collected from amusement games at each location, with receipting records; and
(b) An entry for each withdrawal of receipts from the games. Coin or token activated amusement games only require an entry of the ending meter reading, the number of plays, and gross ((gambling)) receipts at the end of each month; and
(c) A summary of the operation of the activity. This includes, at least, coin-in meter readings and gross ((gambling)) receipts. Operators must provide these coin-in meter readings and gross ((gambling)) receipts to charitable or nonprofit organizations each time they service a game or disburse money.
(3) Licensees must report at least monthly the number and actual cost of merchandise prizes awarded for each location.
(4) For amusement games that issue tickets for the redemption of prizes, licensees must at least log the beginning and ending nonresettable ticket out meters or ticket numbers during each collection of funds from each game.
(5) Licensees must provide the full details for all amusement game operating expenses.