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PA Bulletin, Doc. No. 08-90

PROPOSED RULEMAKING

PENNSYLVANIA GAMING CONTROL BOARD

[58 PA. CODE CH. 461a]

Slot Machine Testing and Control

[38 Pa.B. 343]
[Saturday, January 19, 2008]

   The Pennsylvania Gaming Control Board (Board), under the general authority in 4 Pa.C.S. § 1202(b)(30) (relating to general and specific powers) and the specific authority in 4 Pa.C.S. § 1207 (relating to regulatory authority of board) proposes to amend Chapter 461a (relating to slot machine testing and control) to read as set forth in Annex A.

Purpose of the Proposed Amendments

   These proposed amendments add provisions governing how slot machine licensees should treat unredeemed gaming vouchers.

Explanation of Amendments to Chapter 461a

   The Board's current regulations require that gaming voucher systems must be in compliance with the Board's technical standards. The Board has recently amended the technical standards related to gaming vouchers to eliminate the requirement that gaming vouchers have an expiration date. The Board also revised the technical standards to clarify that Article XIII.I of The Fiscal Code (code) (72 P. S. §§ 1301.1--1301.28a) regarding the disposition of abandoned and unclaimed property applies to unredeemed gaming vouchers.

   Consistent with those changes the Board is proposing to amend §§ 461a.1 and 461a.8 (relating to definitions; and gaming vouchers). In § 461a.1, the Board is adding a definition of ''unredeemed gaming voucher.'' In § 461a.8, the Board is adding new requirements which must be addressed in each slot machine licensee's internal controls. More specifically, slot machine licensees will be required to establish procedures: to pay the value of unredeemed gaming vouchers to patrons that can be identified by the slot machine licensee; to track unredeemed gaming vouchers and forward the unredeemed gaming vouchers to the State Treasurer as required by Article XIII.I of the code; and to file copies with the Board of any reports submitted to State Treasurer related to the unredeemed vouchers.

Affected Parties

   Slot machine licensees will have clearer guidance as to how they should treat unredeemed gaming vouchers.

   There are currently 11 slot machine licensees.

Fiscal Impact

Commonwealth

   There will be no new costs to the Board or other Commonwealth agencies as a result of this amendment. Reports filed with the State Treasurer by the slot machine licensees will be handled by existing staff.

Political Subdivisions

   This proposed rulemaking will have no fiscal impact on political subdivisions of this Commonwealth.

Private Sector

   Slot machine licensees will be required to track unredeemed gaming vouchers and forward them to the State Treasurer as required by Article XIII.I of the code.

General Public

   The Board anticipates that some patrons who did not redeem gaming vouchers issued to them will benefit by receiving the value of the unredeemed vouchers from the slot machine licensees.

Paperwork requirements

   The proposed amendments will require slot machine licensees to annually prepare reports for the State Treasurer and submit copies of those reports to the Board.

Effective Date

   The proposed rulemaking will become effective upon final-form publication in the Pennsylvania Bulletin.

Public Comments

   Interested persons are invited to submit written comments, suggestions or objections regarding the proposed rulemaking, within 30 days after the date of publication in the Pennsylvania Bulletin to Paul Resch, Secretary, Pennsylvania Gaming Control Board, P. O. Box 69060, Harrisburg, PA 17106-9060, Attention: Public Comment on Regulation No. 125-78.

Contact Person

   The contact person for questions about this proposed rulemaking is Richard Sandusky, Director of Regulatory Review, at (717) 214-8111.

Regulatory Review

   Under section 5(a) of the Regulatory Review Act (act) (71 P. S. § 745.5(a)), on January 9, 2008, the Board submitted a copy of this proposed rulemaking and a copy of the Regulatory Analysis Form to the Independent Regulatory Review Commission (IRRC) and to the Chairpersons of the House Gaming Oversight Committee and the Senate Community, Economic and Recreational Development Committee. A copy of this material is available to the public upon request.

   Under section 5(g) of the act, IRRC may convey any comments, recommendations or objections to the proposed rulemaking within 30 days of the close of the public comment period. The comments, recommendations or objections must specify the regulatory review criteria which have not been met. The act specifies detailed procedures for review, prior to final publication of the rulemaking, by the Board, the General Assembly and the Governor of comments, recommendations or objections raised.

MARY DIGIACOMO COLINS,   
Chairperson

   Fiscal Note: 125-78. No fiscal impact; (8) recommends adoption.

Annex A

TITLE 58.  RECREATION

PART VII.  GAMING CONTROL BOARD

Subpart E.  SLOT [MACHINE TESTING, CERTIFICATION AND CONTROL] MACHINES AND ASSOCIATED EQUIPMENT

CHAPTER 461a.  SLOT MACHINE
TESTING AND CONTROL

§ 461a.1.  Definitions.

   The following words and terms, when used in this subpart, have the following meanings, unless the context clearly indicates otherwise:

*      *      *      *      *

   Unredeemed gaming voucher--A gaming voucher that has not been presented to a slot machine licensee for redemption or a gaming voucher that has been found and returned to a slot machine licensee.

*      *      *      *      *

§ 461a.8.  Gaming vouchers.

*      *      *      *      *

   (b)  The design specifications for a gaming voucher, [the expiration terms applicable thereto,] the voucher verification methodologies utilized and any limitation on the value of a gaming voucher must be in compliance with technical standards on gaming vouchers under § 461b.3 (relating to gaming vouchers).

*      *      *      *      *

   (d) Prior to issuing a gaming voucher, a slot machine licensee shall establish a system of internal controls for the issuance and redemption of gaming vouchers. The internal controls shall be submitted and approved by the Board under § 465a.2 (relating to internal control systems and audit protocols) and address:

*      *      *      *      *

   (9)  Procedures for the payment of the value of unredeemed gaming vouchers to patrons whose identity can be determined by the slot machine licensee.

   (10)  Procedures for the retention, tracking and payment of the value of unredeemed gaming vouchers to the State Treasurer as required under Article XIII.I of The Fiscal Code (72 P. S. §§ 1301.1--1301.28a) regarding the disposition of abandoned and unclaimed property.

   (11)  Procedures for filing with the Board a copy of any report submitted to the State Treasurer as required by Article XIII.I of The Fiscal Code.

*      *      *      *      *

[Pa.B. Doc. No. 08-90. Filed for public inspection January 18, 2008, 9:00 a.m.]



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