PUBLIC PROTECTION CABINET
Department of Charitable Gaming
(As Amended at ARRS, October 13, 2015)
820 KAR 1:033. Electronic pulltab system,
electronic pulltab device, and electronic pulltab construction.
RELATES
TO: KRS 238.505(5), (27), (28), 238.545(1), (2)
STATUTORY
AUTHORITY: KRS 238.515(2), (4), (9), 238.530(5), 238.545(1), (2)
NECESSITY,
FUNCTION, AND CONFORMITY: KRS 238.515(2) and (9) require the Department of
Charitable Gaming to establish reasonable standards for the conduct of
charitable gaming. KRS 238.505(27), (28) and KRS 238.545(2) require the
department to establish standards for electronic pulltab device and electronic
pulltab construction, distribution, and rules of play. KRS
238.530(5) requires manufacturers and distributors of charitable gaming supplies
and equipment to maintain records as required by the department. This
administrative regulation establishes standards for the construction and
distribution of electronic pulltab devices and electronic pulltabs.
Section
1. General Requirements. (1) A manufacturer shall affix to each[all]
electronic pulltab device[devices] an
identification badge that shall include the following information:
(a)
Manufacturer name;
(b)
A unique serial number;
(c)
The electronic pulltab device model number, if applicable; and
(d)
The date of manufacture, if applicable[; and
(e) Any other information required by the
department].
(2)
An electronic pulltab system’s central computer system shall be dedicated[primarily]
to electronic accounting, reporting, and the presentation, randomization, and
transmission of electronic pulltabs to electronic pulltab devices. It shall
also be capable of generating the data necessary to provide reports required by
regulation or otherwise specified by the department.
(3)
A player shall purchase or otherwise obtain access to an electronic pulltab
device, and load money to a player account for purchase of electronic pulltabs
during the current gaming occasion, only from a point of sale station. The
point of sale station may be stationary, mobile, or self-service[,
or any configuration approved by the department].
(4)
A player shall only cash-out or redeem credits from a point of sale station.
(5)
All equipment used to facilitate the distribution, play, or redemption of electronic
pulltabs shall be physically located within the boundaries of the Commonwealth
of Kentucky. Electronic pulltab devices, site system if used, point of sale
stations, and all secondary components shall be located on the premises where
the gaming occasion is being held.
(6)
An electronic pulltab device shall not be capable of being used for the purpose
of engaging in any game prohibited by the department.
(7)
A licensed manufacturer of charitable gaming supplies and equipment shall sell,
lease, or otherwise provide in the Kentucky market only those electronic
pulltab systems and electronic pulltabs that conform to the requirements of 820
KAR 1:032 and this administrative regulation[these administrative
regulations].
(8)
A licensed distributor of charitable gaming supplies and equipment shall
distribute in Kentucky only those electronic pulltab systems and electronic
pulltabs that conform to the requirements of 820 KAR 1:032 and this
administrative regulation[these administrative regulations].
(9)
A licensed charitable organization shall provide to the public only those
electronic pulltab systems and electronic pulltabs that conform to the
requirements of 820 KAR 1:032 and this administrative regulation[these
administrative regulations].
Section
2. Testing and Approval of Electronic Pulltab Systems. (1) An
electronic pulltab system shall not be sold, leased, or otherwise furnished to
any person for use in the conduct of charitable gaming until an identical
system containing identical software has been:
(a) Tested and
certified by an independent testing facility accepted by the department;
and
(b)[, demonstrated to the department by the
manufacturer upon request of the department, and] Approved by the
department.
(2) The cost of testing and certification shall be the
responsibility of the manufacturer.
(3) The independent testing facility shall certify in
writing that the electronic pulltab system and associated hardware and software
conform, at a minimum, to the requirements and restrictions set forth in KRS
238.505(27), KRS 238.545(2), 820 KAR 1:001, 820 KAR 1:032, 820 KAR
1:036, and this administrative regulation[the
administrative regulations].
(4)(a) The department, in consultation with the independent
testing facility, shall determine if the electronic pulltab system and associated
hardware and software conform to the requirements and restrictions contained in
KRS 238.505(27), KRS 238.545(2) 820 KAR 1:001, 820 KAR 1:032, 820 KAR
1:036, and this administrative regulation[the
administrative regulations] and shall notify the manufacturer of
its decision in writing.
(b) Once the department has received the test results from
the independent testing facility, the department may request a demonstration of
the product within thirty (30) days.
(c) The department shall either approve or disapprove the
electronic pulltab system and software. The department shall inform the
manufacturer of its decision[within thirty (30) days of the demonstration,
or] no later than sixty (60) days after the department receives the
test results from the independent testing facility. Approval shall be granted
in accordance with paragraph (a) of this subsection.
(5) Any modifications to an electronic pulltab system or its
software, except as provided in subsection (6) of this section,
shall be tested and certified by an independent testing facility, demonstrated
to the department by the manufacturer upon request, and approved by the
department in the same manner as a new system or new software. Testing and
certification shall be at the manufacturer’s expense.
(6) A manufacturer may conduct routine maintenance
activities and replace secondary components of an electronic pulltab system
without additional testing and certification as long as this activity does not
affect the operation of any proprietary software, the manner in which an
electronic pulltab game is played, the integrity of any critical or controlled
software, or the outcome of an electronic pulltab game. A record of all[such]
activities shall be maintained and provided to the department within ten (10)
days of the maintenance or replacement.
(7)(a) If a manufacturer, distributor, or charitable
organization detects or discovers any defect, malfunction, or problem with an
electronic pulltab system, electronic pulltab device, or electronic pulltab
game that affects the security or the integrity of the electronic pulltab
system, electronic pulltab device, or electronic pulltab game, the
manufacturer, distributor, or charitable organization shall immediately notify
the department. The charitable organization shall also immediately notify the
distributor of the defect, malfunction, or problem. The distributor shall
immediately notify the manufacturer of the defect, malfunction, or problem.
(b) If the department detects, discovers, or is notified of
any problem with an electronic pulltab system, electronic pulltab device, or
electronic pulltab game that affects the security or the integrity of the
electronic pulltab system, electronic pulltab device, or electronic pulltab game,
the department shall direct the manufacturer, distributor, and charitable
organization to immediately cease the sale, lease, or use of the affected
electronic pulltab system, electronic pulltab device, or electronic pulltab
game until the problem can be assessed by the department in consultation with
the manufacturer or distributor.
(c) If the department, in consultation with the manufacturer
or distributor, determines that a defect actually exists, and the defect
affects game security or otherwise threatens public confidence in the game, the
department shall require the manufacturer to issue a total recall of all
affected electronic pulltab systems, electronic pulltab devices, or electronic
pulltab games or affected game sets or subsets, if necessary.
(d) In choosing and directing a particular recall in
accordance with paragraph (c) of this subsection, the department shall be guided
in each circumstance by any combination of the following factors:
1. The nature of the defect;
2. Whether the defect affected game security;
3. Whether the defect affected game playability;
4. Whether the defect was limited to a specific number of
deals of a particular form number;
5. Whether the defect was easily detectable by a charitable
organization;
6. Whether the defect was easily detectable by members of
the general public;
7. Whether the defect threatens public confidence in the
game; or
8. Whether the defect is capable of being used to adversely
affect the fair play of the game.
(e) The manufacturer or distributor may correct the defect,
if possible, without issuing a total recall if the affected electronic pulltab
devices and electronic pulltabs are not offered for sale, lease, or use if and
until the department allows. The manufacturer or distributor shall make all
corrections within a reasonable time, not to exceed thirty (30) days, and the
manufacturer or distributor shall demonstrate the correction to the department.
If the department believes the defect has been corrected and that the defect no
longer affects game security or otherwise threatens public confidence in the
game, the department may issue written notification that the affected
electronic pulltab system, devices, or pulltab game may be reoffered for sale,
lease, or use.
(f) If a recall of an electronic pulltab system or
electronic pulltab device is necessary, the department, in consultation with
the manufacturer, shall determine a specific date for the recall of any
affected electronic pulltab system or electronic pulltab device[devices]
to be completed and whether the manufacturer is required to reimburse the
organization or distributor. The recall of any electronic pulltab game shall
occur no later than twenty-four (24) hours after the manufacturer is notified
of the defect.
(8)(a) A distributor or charitable organization shall not
add or remove any software programs to an approved electronic pulltab system
without the written permission of the manufacturer and the department.
(b) If the department detects or discovers an electronic
pulltab system at a playing location that is using components or software that
were required to have been approved by the manufacturer and the department, but
have not been approved, the electronic pulltab system shall be determined to
have an unauthorized modification and use of the system shall cease
immediately.
(9) All games including game themes, sounds, and music shall
be approved by the department prior to being available for play on an
electronic pulltab device in the Commonwealth of Kentucky.
Section
3. Electronic Pulltab System Requirements. (1) Any element of the central
computer system that holds or maintains game data, other than an electronic
pulltab device or point of sale station when in use, shall be kept in a locked
and secure enclosure with limited access to designated personnel. The system
shall provide a secure physical and electronic means for securing the games and
game data against alteration, tampering, or unauthorized access.
(2)
The central computer system shall include a central server located in the
Commonwealth of Kentucky that is accessible to the department so the department
has the ability to remotely verify the operation, compliance, and internal
accounting systems of the electronic pulltab system at any time. The department shall have
real time and complete read-only access to all data for all systems and
devices.
(a)
The manufacturer shall provide to the department all current protocols,
passwords, and any other required information needed to access the electronic
pulltab system prior to the operation of the system within Kentucky, and at all
times while the system remains operational within Kentucky.
(b)
The department shall be notified of any changes in the protocols, passwords,
and any other required information needed to access the system at
least[within] three (3) days prior to[of]
the change.
(c)
Any reports maintained or generated by the electronic pulltab system shall be
capable of being downloaded or otherwise accessed via the internet by the
department.
(3)
A site system, if used, shall:
(a) Be located at the gaming premises;
(b) Be operated by the charitable organization;
(c) Interface with, connect with, control, or
define the operational parameters of the electronic pulltab devices;
(d) Report and transmit the game results as
prescribed by the department;
(e) Provide security and access levels sufficient
so that the internal control objectives are met as prescribed by the
department; and
(f) Contain a point of sale station.
(4) The site system, if used, may include the
following components:
(a) Required printers;
(b) Proprietary executable software;
(c) Report generation software; and
(d) An accounting system or database.
(5)
The electronic pulltab system shall provide password protection for each
organization.
(6)[(4)]
An electronic pulltab system shall provide a means for terminating a game set
if information about electronic pulltabs in an open game set has been accessed,
or if the department determines there has been a breach of game
security[at the discretion of the department].[In
such cases,] Traceability of unauthorized access including time and
date, users involved, and any other relevant information shall be available.
(7)[(5)]
An electronic pulltab system shall not permit the alteration of any accounting
or significant event information. Significant events shall include power resets
or failures, communication loss between an electronic pulltab device and the
electronic pulltab system, any award in excess of the single win limit for an
electronic pulltab, or corruption of the electronic pulltab system memory or
storage. If financial data is changed, an automated audit log shall be capable
of being produced to document the following:
(a)
Data element altered;
(b)
Data element value prior to alteration;
(c)
Data element value after alteration; and
(d)
Time and date of alteration.
(8)[(6)]
An electronic pulltab system shall provide password security or other secure
means of ensuring data integrity and enforcing user permissions for all system
components, including the following:
(a)
All programs and data files shall only be accessible via the entry of a
password that shall be known only to authorized personnel;
(b)
The electronic pulltab system shall have multiple security access levels to
control and restrict different privilege levels;
(c)
The electronic pulltab system access accounts shall be unique when assigned to
the authorized personnel;
(d)
The storage of passwords and PINs shall be in an encrypted, nonreversible form;
and
(e)
A program or report shall be available that lists all authorized users on the
electronic pulltab system including their privilege level.
(9)[(7)]
All components of an electronic pulltab system that allow access to users,
other than end-users for game play, shall have a password sign-on comprised
of a[with two-level codes comprising the] personal
identification code and a personal password.
(a)
The personal identification code shall have a length of at least six (6) ASCII
characters.
(b)
The personal password shall have a minimum length of six (6) alphanumeric
characters, which shall include at least one (1) non-alphabetic character.
(10)[(8)]
Electronic pulltab system software components shall be verifiable by a secure
means at the system level. An electronic pulltab system shall have the ability
to allow for an independent integrity check of the components from an outside
source and is required for all control programs that may affect the integrity
of the electronic pulltab system. This shall be accomplished by being authenticated
by a third-party device, which may be embedded within the electronic pulltab
system software or having an interface or procedure for a third-party
application to authenticate the component. This integrity check shall provide a
means for field verification of the electronic pulltab system components.
(11)[(9)]
The electronic pulltab system shall have a medium for securely storing
electronic pulltab game sets which shall be mirrored in real time by a backup
medium. The electronic pulltab system shall also provide a means for storing
duplicates of the game sets already transmitted to the electronic pulltab
devices so as to reflect, on an ongoing basis, changes in the transmitted game
sets as they occur.
(a)
All storage shall be through an error checking, nonvolatile physical medium, or
an equivalent architectural implementation, so that if the primary storage
medium fails, the functions of the electronic pulltab system and the process of
auditing those functions shall continue with no critical data loss.
(b)
The database shall be stored on redundant media so that a single failure of any
portion of the system shall not result in the loss or corruption of data.
(c)
If there is a catastrophic failure when the electronic pulltab system cannot be
restarted in any other way, it shall be possible to reload the electronic
pulltab system from the last viable backup point and fully recover the contents
of that backup, to consist of at least the following information:
1.
All significant events;
2.
All accounting information; and
3.
Auditing information, including all open game sets and the summary of completed
game sets.
(12)[(10)]
Connections between all components of the electronic pulltab system shall only
be through use of secure communication protocols which are designed to prevent
unauthorized access or tampering, employing Data Encryption Standards (DES) or
equivalent encryption with changeable seeds or algorithms.
(13)[(11)]
An electronic pulltab system's[system] central
computer system may be used to record the data used to verify game play and to
configure and perform security checks on electronic pulltab devices, if the
functions do not affect the security, integrity, or outcome of any game and
meet the requirements set forth in this administrative regulation regarding program
storage devices.
(14)[(12)]
An electronic pulltab system shall not display to the
player, the licensed organization, or the licensed distributor the number of
electronic pulltabs that remain in a game set, or the number of winners or
losers that have been drawn or still remain in the game set, while the game set
is still open for play. Once a game set has been closed, it shall not be able
to be opened for play.
(15)[(13)] The electronic pulltab
system shall render unplayable the electronic pulltabs of a charitable
organization once the organization logs out of the system at the end of the
organization’s gaming occasion and until the organization logs back onto the
system at the start of the organization’s next scheduled gaming occasion. If
multiple organizations use the same electronic pulltab devices and electronic
pulltab system, one (1) organization’s electronic pulltab games and data shall
not be accessible or played by another organization.
(16)[(14)]
An electronic pulltab system may include player tracking software. Player
tracking records shall at all times be the property of the charitable
organization and neither the manufacturer nor the distributor shall utilize or
make available to any person, other than the department or as otherwise
authorized by law, the information contained within the player tracking
software without the express permission of the charitable organization.
Section
4. Point of Sale Requirements. (1) An electronic pulltab system shall include a
point of sale station that is used to facilitate the sale of an electronic
pulltab device, to load money to a player account for purchase of electronic
pulltabs during the current gaming occasion, and to cash-out or redeem credits
from the play of electronic pulltabs.
(a)
The point of sale station may be stationary, mobile, or self-service[,
or any configuration approved by the department].
(b)
The point of sale station shall not be designed or manufactured to resemble an
electronic gaming device that utilizes a video display monitor, such as a video
lottery terminal, video slot machine, video poker machine, or any similar video
gaming device.
(c)
The point of sale station shall not have vertical or horizontal spinning reels,
a pull handle, sounds or music intended to entice a player to play, flashing
lights, tower light, top box, enhanced animation, artwork, or any other
attribute or representation that mimics a video lottery terminal, video slot
machine, video poker machine, or any similar video gaming device.
(d)
The point of sale station shall not function simultaneously as an electronic
pulltab device.
(2)
The point of sale station shall be capable of printing a receipt, which the
organization shall provide to the player, that details each transaction. The
receipt shall contain, at a minimum, the following information:
(a)
The date and time of the transaction;
(b)
A unique non-resettable transaction number that is printed in continuous,
consecutive order;
(c)
The dollar amount of the transaction, including the cost, if any, of the
electronic pulltab device and the amount of money loaded to a player account
that will be available for the purchase of electronic pulltabs during that
gaming occasion;
(d)
A unique entry code or account number that will be used to activate an
electronic pulltab device and make available to the player the money loaded to
the player account at the point of sale for the purchase of electronic pulltabs
during that gaming occasion;
(e)
The name of the charitable organization and license number; and
(f)
The point of sale identification number or name.
(3)
If the receipt printer malfunctions or printed receipts are not legible, manual
receipts shall be issued that contain the same information required by
subsection (2) of this section.
(4)
The point of sale station shall be capable of displaying, at minimum, the following
for each gaming occasion:
(a)
The sales transaction history, including:
1.
The organization name and license number;
2.
Date and time of each transaction;
3.
Dollar value of each transaction;
4.
Quantity of electronic pulltab devices sold;
5.
All transaction numbers; and
6.
The point of sale identification number or name; and
(b)
A pay-out history detailing all pay-outs, including:
1.
The organization name and license number;
2.
Date and time of each pay-out;
3.
Dollar value of each pay-out; and
4.
Point of sale identification number or name.
(5) A point of sale station shall not display[pay-out]
information relating to prizes already paid out in[specific to]
a particular game set, the number of electronic pulltabs that remain in a game
set, or the number of winners or losers that have been drawn or still remain in
the game set, while the game set is still open for play.
Section
5. Electronic Pulltab Device Requirements. (1) An electronic
pulltab device shall be designed as a handheld or fixed base personal computing
device that:
(a) Is used to play one (1) or more electronic pulltab
games;
(b) Requires coded entry to activate a device for a player
to purchase and play electronic pulltabs, but does not allow the use of coin,
currency, or tokens to be inserted to purchase and play electronic pulltabs;
(c) Maintains and displays information pertaining to accumulation
of credits that may be applied to games in play or redeemed upon termination of
play;
(d) Has no vertical or horizontal spinning reels, pull
handle, sounds or music solely intended to entice a player to play, flashing
lights, tower light, top box, coin tray, ticket acceptor, hopper, coin
acceptor, cabinet, artwork, or any other attribute or representation that
mimics a video slot machine;
(e) Shall
not be capable of displaying any enticing animation while in an idle state. An
electronic pulltab device may use simple display elements or screen savers to
prevent monitor damage;
(f) Has no additional function as a gambling device other
than as an electronic pulltab device or as an approved card-minding device, if
possible; and
(g) Is not a pulltab dispenser as described[defined]
in 820 KAR 1:034.
(2) An
electronic pulltab device shall not have hardware or software that determines
the outcome of any electronic pulltab, produces its own outcome, or affects the
order of electronic pulltabs as dispensed from the electronic pulltab system's[system]
central computer system. The game outcome shall be determined by the electronic
pulltab system's[system] central computer system.
(3) An electronic pulltab
device may utilize a touch screen. The touch screen shall meet the following
requirements:
(a)
It shall be accurate once calibrated;
(b)
It shall be able to be recalibrated; and
(c)
It shall have no hidden or undocumented buttons or touchpoints anywhere on the
touch screen.
(4) An electronic pulltab device shall not be capable of
displaying the number of electronic pulltabs that remain in a game set or the
number of winners or losers that have been drawn or still remain in the game
set, while the game set is still open for play.
(5) A fixed base electronic pulltab device shall
not be built into a cabinet or in any way be designed or manufactured to
resemble any electronic gaming device that utilizes a video display monitor,
such as a video lottery terminal, video slot machine, video poker machine, or
any similar video gaming device.
Section
6. Electronic Pulltab Requirements. (1) An electronic pulltab
system shall dispense, upon player request and payment of consideration, an
electronic pulltab. A player shall win if the player's electronic pulltab
contains a combination of symbols or numbers that was designated in advance of
the game as a winning combination. There may be multiple winning combinations
in each game. All games shall be played without replacement.
(2)
An
electronic pulltab game shall:
(a) Be a version of a paper pulltab game that is played on
an electronic pulltab device;
(b) Have a predetermined, finite number of winning and
losing tickets, not to exceed 25,000 tickets per game set;
(c) Charge the same price for each ticket in a game set;
(d) Require that a player press a button or perform some
other function to purchase or open an electronic pulltab ticket;
(e) Comply with KRS Chapter 238, 820 KAR 1:001, 820
KAR 1:032, 820 KAR 1:036,[all applicable statutes] and this
administrative regulation[regulations governing pulltab games];
(f) Comply with prize limits set forth in KRS 238.545(2);
(g) Have a unique serial number for each game set that shall
not be regenerated. Each pulltab in a game set shall bear the same serial
number and only one (1) serial number shall be used in a game set. After
randomization, game sets may be broken into subsets of equal size. If game
subsets are used, they shall each be assigned a unique serial number and be
traceable to a parent game set. If a seal card is used with a pulltab game set,
the seal card shall bear the same serial number as each pulltab; and
(h) Have an electronic flare or seal card, viewable upon
player request, that displays the name of the game, manufacturer’s name or
logo, manufacturer’s form number, the game serial number, the predetermined
finite number of tickets in the game, and the prize structure, and the cost per
play.
(3) An electronic pulltab game shall[;
(i)] not contain vertical or horizontal
spinning reels or other representations that mimic a video slot machine.
(4) An electronic pulltab game[;
and
(j)] may have visual or audio
enhancements to provide information about the game being played if the
component does not affect the outcome of a game and if any game theme, visual enhancement,
sound, or music is approved by the department prior to being available for play
on an electronic pulltab device.
(5)[(3)] The available games,
flare, and rules of play shall be displayed on the electronic pulltab device's
video screen upon player request.
(6)[(4)]
Any number of game themes may be selectable for play on any given electronic
pulltab device. Only one (1) of the game themes shall be playable at a time.
(7)[(5)]
The results of the electronic pulltab shall be shown to the player using a
video display. Results shall not be shown by using[No]
rolling, flashing, or spinning animations, reels, or other
representations that mimic a video slot machine[are permitted].
(8)[(6)]
Any sound or music solely intended to entice a player to play shall be
prohibited. Any sound or music emitted by an electronic pulltab device shall not
be played at a level sufficient to disturb other players or patrons.
(9)[(7)]
An electronic pulltab device shall have one (1) or more buttons,
electromechanical or touch screen, to facilitate the following functions:
(a)
Viewing of the game "help" screens;
(b)
Viewing of the game rules including the flare or seal card;
(c)
Initiating game play;
(d)
Cash-out or logout; and
(e)
Purchasing or revealing the pulltab.
(10)[(8)]
Each electronic pulltab shall be initially displayed so that the
numbers, letters, or symbols on the pulltab are concealed. Each electronic pulltab
game shall require the player to press a "play", "purchase",
"open", or equivalent button to initiate the purchase of an
electronic pulltab. A player may have the option of opening each individual line,
row, or column of each electronic pulltab or may choose to "open all".
(11)[(9)] Following play of an
electronic pulltab, the result shall be clearly shown on the video display
along with any prizes that may have been awarded. Prizes shall be added as a
credit to the player’s account.
(12)[(10)]
An available player account balance shall be collected by the player by
pressing the "cash-out" button or "logoff" button on the
electronic pulltab device and taking the device, the receipt, or, if allowed, a
player account card to the point of sale station.
(13)[(11)]
Game themes shall not contain obscene or offensive graphics, animations, or
references.[The department shall determine what constitutes obscene or
offensive graphics, animations, or references.]
(14)[(12)]
An
electronic pulltab game shall not be capable of displaying the number of
electronic pulltabs that remain in the game set, or the number of winners or
losers that have been drawn or still remain in the game set, while the game set
is still open for play.
Section
7. Randomization of Electronic Pulltabs. (1) An electronic pulltab system shall
utilize randomizing procedures in the creation of game sets for electronic
pulltabs, or utilize externally generated randomized game sets. After
randomization, game sets may be broken into game subsets of equal size which
shall be assigned a unique serial number.
(2)
Winning electronic pulltabs shall be distributed randomly among all other
pulltabs in a game set to eliminate any pattern between game sets, or portions
of game sets.
(3)
Any random number generation, shuffling, or randomization of outcomes used in
connection with an electronic pulltab system shall be by use of a random number
generation application that has successfully passed standard tests for
randomness and unpredictability.
Section
8. Flares and Seal Cards for Electronic Pulltabs. (1) Every game set shall
include a flare or a seal card. The manufacturer shall include on the
electronic flare or seal card the following information:
(a)
The name of the game;
(b)
The manufacturer's name or logo;
(c)
The manufacturer's form number;
(d)
The game set serial number;
(e)
The predetermined finite number of tickets within the game set;
(f)
The prize structure, including a description of the number of winning pulltabs
by denomination, and amounts, if any, dedicated to the prize pool in a seal
card game with a cumulative prize, or a carryover or progressive prize; and
(g)
The cost per play of an electronic pulltab within the game set.
(2)
Every game set of electronic pulltabs shall contain electronic rules of play.
Section
9. Electronic Accounting and Reporting. (1) One (1) or more electronic internal
accounting systems shall be required to perform recordkeeping, reporting, and
other functions in support of an electronic pulltab system. The electronic
internal accounting system shall not interfere with the outcome of any gaming
function.
(2)
The electronic internal accounting system shall be capable of recording and
retaining for a period of not less than three (3) years the following
information:
(a)
The name and license number of the organization utilizing an electronic pulltab
system; and
(b)
For each gaming occasion:
1.
The date and time of each log-on and log-off of an organization;
2.
The total amount of all monetary transactions regarding electronic
pulltabs and electronic pulltab devices at each gaming occasion;
3.
The total number of electronic pulltab devices sold or provided at each gaming
occasion;
4.
The serial number of each hand-held electronic pulltab device sold or provided;
5.
The terminal number for each fixed base electronic pulltab device sold or
provided;
6.
The name, serial number, price, and predetermined finite number of tickets
within each game set available for play at each gaming occasion;
7.
The total number of electronic pulltabs played from each game set at each
gaming occasion;
8.
All prize payouts for each game set per gaming occasion; and
9. All wagers and other
information necessary to fully reconstruct a game outcome.
(3) The information required by subsection (2) of this section shall
be secure and shall not be accessible for alteration. Information pertaining to
the number of electronic pulltabs that remain in an open game set, or the
number of winners or losers that have been drawn or still remain in an open
game set shall not be accessible to the licensed organization or the licensed
distributor.
(4)
The electronic pulltab system's[system] central
computer system shall maintain a printable, permanent record of all
transactions involving each device and each closed electronic pulltab game
played on each device.
(5)
An electronic pulltab system shall have report generation software with the
capability to print all information required to be maintained on the system’s
active or archived databases, and pursuant to the restrictions related to
information available on open game sets.[Reporting shall be in a
format requested by the department.]
(6)
All data required to be available or reported by this administrative regulation
shall be retained for a period of not less than three (3) years.
Section
10. Manufacturer Requirements. (1) Each manufacturer selling, leasing, or
otherwise furnishing electronic pulltab devices, site systems, point of sale
stations, secondary components, and electronic pulltabs shall maintain a log or
other record showing the following:
(a)
The name, address, and license number of the distributor to whom the electronic
pulltab devices, site systems[system], point of
sale stations[station], secondary components, or
electronic pulltabs were sold, leased, or otherwise furnished;
(b)
The date of the transaction with the distributor;
(c)
The model, version, and serial number of each hand-held electronic pulltab
device, if applicable;
(d)
The account number or terminal number of each fixed base electronic pulltab
device, if applicable;
(e)
The quantity of each type of electronic pulltab device;
(f)
The model and version number of the system software;
(g)
The name, form number, and serial number of each game set of electronic
pulltabs; and
(h)
The quantity of game sets sold, the cost per game set, the selling price per
ticket, the cash take-in per game set, and the cash payout per game set.
(2)
A manufacturer selling, leasing, or otherwise providing electronic pulltab
devices, site systems[system], point of sale
stations, or secondary components to a distributor shall provide the
distributor with an invoice or other documentation that contains, at a minimum,
the following information:
(a) The manufacturer
name, address, and license number;
(b)
The distributor name, address, and license number;
(c)
The address to which the shipment was delivered;
(d)
The date of sale or credit and the time period covered by the invoice;
(e)
The conditions of the sale or credit;
(f)
A description of the type and the quantity of electronic pulltab[pulltabs]
devices, site systems, point of sale stations, and secondary components provided;
(g)
The total invoice amount;
(h)
The name of the person who ordered the supplies;
(i)
The name of the person making the delivery;
(j)
The date of delivery or date the item was picked up for sale or credit;
(k)
The place or manner of delivery; and
(l)
The name and signature of the person taking delivery, if any.
(3) A manufacturer
providing electronic pulltabs to a distributor for distribution to a licensed
charitable organization shall provide the distributor with an invoice or other
documentation that contains, at a minimum, the following information:
(a) The manufacturer
name, address, and license number;
(b)
The distributor name, address, and license number;
(c)
The organization name, address, and license number;
(d)
The date of sale or credit and the time period covered by the invoice;
(e)
The conditions of the sale or credit;
(f)
The quantity of electronic pulltabs sold including the number of game sets, the
name of each game set, the number of tickets per game set, and the serial number
and form number of the game set; and
(g)
The total invoice amount.
(4) The manufacturer
shall maintain physical or electronic copies of the documentation required by
this section for a period of not less than three (3) years.
(5)
A manufacturer shall supply any available financial reports to distributors and
organizations, upon request, that provide detailed pulltab sales activity for
the requesting distributor or organization for a selected date range.
Section
11. Distributor Requirements. (1) Before initial use by a charitable
organization, the distributor shall ascertain that the particular electronic
pulltab system, electronic pulltab device, and associated software version are
approved by the department for use in Kentucky.
(2)
A distributor shall not display, use, or otherwise furnish an electronic
pulltab device, site system, or secondary component which has in any manner
been marked, defaced, or tampered with, or which is otherwise intended to
deceive the public or affect a person’s chances of winning.
(3)
Before the complete removal of any electronic pulltab system, the distributor
shall supply a copy of the data files to each charitable organization which
used the electronic pulltab system and to the department.
(4)
Each distributor selling, leasing, or otherwise furnishing electronic pulltab
devices, site systems, point of sale stations, secondary components, or[and]
electronic pulltabs shall maintain a log or other record showing the following
information, if applicable:
(a)
The name of the location, physical address, telephone number, and facility
license number, if applicable, where the electronic pulltab devices, site systems[system],
point of sale stations, and secondary components are located for play;
(b)
A description, including the quantity, of all electronic pulltab devices, site systems[system],
point of sale stations, and secondary components at each playing location;
(c)
The date any electronic pulltab device, site system, point of sale station, or
secondary component was installed in or removed from a playing location;
(d)
The model, version, and serial numbers or terminal numbers of the electronic
pulltab devices, site systems[system], point of
sale stations, and secondary components, if applicable;
(e)
The name and license number of the charitable organization or distributor to
whom the electronic pulltab devices, site systems[system],
point of sale stations, or secondary components were sold, leased, or otherwise
furnished;
(f)
The name and license number of the manufacturer or distributor from whom the
electronic pulltab devices, site systems[system],
point of sale stations, and secondary components were purchased, leased, or
otherwise obtained;
(g)
Each contract, lease, or purchase agreement between a distributor and the
charitable organization or other distributor to which the electronic pulltab
devices, site systems[system], point of sale
stations, or secondary components are furnished; and
(h)
The total dollar amount of electronic pulltab device, site system, point of
sale station, and secondary component sales or lease transactions regarding
each charitable organization to which the equipment was furnished during each
calendar quarter.
(5)
A distributor selling, leasing, or otherwise providing electronic pulltab
devices, site systems[system], point of sale
stations, or secondary components to a licensed charitable organization shall
provide the organization with an invoice or other documentation that contains,
at a minimum, the following information:
(a) The manufacturer
name, address, and license number;
(b)
The distributor name, address, and license number;
(c)
The organization name, address, and license number;
(d)
The date of sale or credit and the time period covered by the invoice;
(e)
The conditions of the sale or credit;
(f)
A description of the type and the quantity of electronic pulltab devices, site
systems, point of sale stations, and secondary components provided;
(g)
The total invoice amount;
(h)
The name of the person who ordered the supplies;
(i)
The name of the person making the delivery;
(j)
The date of delivery or date the item was picked up for sale or credit;
(k)
The place or manner of delivery; and
(l)
The name and signature of the person taking delivery, if any.
(6) A distributor
providing electronic pulltabs to a licensed charitable organization shall
provide the organization with an invoice or other documentation that contains,
at a minimum, the following information:
(a) The manufacturer
name, address, and license number;
(b)
The distributor name, address, and license number;
(c)
The organization name, address, and license number;
(d)
The date of sale or credit and the time period covered by the invoice;
(e)
The conditions of the sale or credit;
(f)
The quantity of electronic pulltabs sold including the number of game sets, the
name of each game set, the number of tickets per game set, and the serial
number and form number of the game set; and
(g)
The total invoice amount.
(7) An invoice not
challenged within seven (7) days of delivery shall be deemed accurate. Any
challenge to an invoice shall be made in writing to the distributor and a copy
shall be sent to the department.
(8)
The distributor shall maintain physical or electronic copies of the
documentation required by this section for a period of not less than three (3)
years.
(9)
A
distributor shall deliver electronic pulltab devices, site systems[system], point of sale
stations, and secondary components to an agreed secure location or to an
identified person.
Section
12. Charitable Organization Requirements. (1) Before initial use, the
organization shall ascertain that the particular electronic pulltab system,
electronic pulltab device, and associated software version are approved by the
department for use in Kentucky.
(2)
An organization shall not display, use, or otherwise furnish an electronic
pulltab device, site system, or secondary component which has in any manner
been marked, defaced, or tampered with, or which is otherwise intended to
deceive the public or affect a person’s chances of winning.
(3)
The use of electronic pulltab devices shall only be allowed at an authorized
location, which shall be limited to the following:
(a)
On or in the premises of a licensed charitable
organization;
(b) In a licensed charitable gaming facility; or
(c) With prior approval of the department, at any authorized
charity fundraising event conducted by a licensed charitable organization at an
off-site location.
(4) All electronic pulltab games shall be sold and played at
the authorized locations and shall not be linked to other authorized locations.
(5) Electronic pulltab games shall not be transferred
electronically or otherwise to any other location by the licensed organization.
(6) An organization may remove from play a device that a
player has not maintained in an activated mode for a specified period of time
determined by the organization. The organization shall provide the notice in
its house rules and shall allow the player to cash-out.
(7) Before purchasing or being provided with an electronic
pulltab device, a player shall present proof that the player is at least
eighteen (18) years of age. Proof shall be in the form of a picture
identification card that includes the player’s date of birth. If an organization
uses a self-service point of sale kiosk, identification shall be presented and
verified at the door.
(8) Each player shall be limited to the use of one (1) electronic
pulltab device at a time.
(9)
If a player’s electronic pulltab device malfunctions during a game, it shall[may]
be repaired or the credits shall[may] be
transferred to another electronic pulltab device.
(10)
The department shall be allowed access to examine and inspect any part of an
electronic pulltab system. The department shall be granted access to all
electronic pulltab devices in use by a charitable organization.
(11)
The organization shall reasonably ensure that the connection to the electronic
pulltab system's[system] central computer system is
operational at all times.
(12)
If the organization sells electronic pulltab devices for a discounted price, or
gives them away as a promotion, the site system shall be programmed to account
for the discounted item and priced separately from those sold at the regular
price. A generic discount key shall not be allowed.
(13)
The organization shall print a Total Sales Activity Report For
Electronic Pulltab Devices at the end of each gaming occasion and
maintain it with the occasion records. The Total Sales Activity Report For
Electronic Pulltab Devices shall be completed in the format of Form
CG-EPD.
(14)
A manufacturer’s representative or distributor's representative may be present
during a gaming occasion only to consult, demonstrate, and train the
organization on the operation of the electronic pulltab system.
Section
13. Incorporation by Reference. (1) Form CG-EPD, "Total Sales
Activity Report For Electronic Pulltab Devices[Device
Total Sales Activity Report]", 8/15[5/15],
is incorporated by reference.
(2)
This material may be inspected, copied, or obtained, subject to applicable
copyright law, at the Department of Charitable Gaming, Public Protection
Cabinet, 132 Brighton Park Boulevard, Frankfort, Kentucky 40601, Monday through
Friday, 8 a.m. to 4:30 p.m.
SCOTT
JONES, Commissioner
AMBROSE
WILSON IV, Secretary
APPROVED
BY AGENCY: June 12, 2015
FILED
WITH LRC: June 12, 2015 at 4 p.m.
CONTACT
PERSON: Noelle J. Bailey, General Counsel, Department of Charitable Gaming, 132
Brighton Park Boulevard, Frankfort, Kentucky 40601, phone (502) 573-5528, fax
(502) 573-6625.
