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October 18, 2016 CSI Filing: Skill-Based Amusement Machines

Created by Executive Order 2011-01K, the Common Sense Initiative (CSI), and Senate Bill 2 of the 129th General Assembly, require state agencies, including the Casino Control Commission, to draft rules in collaboration with stakeholders, assess and justify any adverse impact on the business community (as defined by Senate Bill 2), and provide opportunity for the affected public to provide input on the rules. 

The Ohio Casino Control Commission submitted the following proposed rules to the CSI office for review on October 18, 2016: 

 

Brief Explanation of the Rules 

The proposed rules contained within this package relate to the regulation of skill-based amusement machines and include prohibited activities and affirmative duties of licensees.

3772-50 Skill-Based Amusement Machines (5 rules)

  • 3772-50-16, titled “Prohibited activities.” This rule prohibits certain conduct by skill-based amusement machine vendors, operators, locations, and other persons. The prohibited conduct includes obtaining a skill-based amusement machine from a person not licensed by the Commission, with a limited exception; extending credit to players; failing to submit any required report of form; submitting a skill-based amusement machine to more than one certified independent skill-based amusement machine testing laboratory; and conducting or participating in conducting skill-based amusement machine gaming in violation of the Revised Code or the administrative rules. The purpose of the rule is to outline the specific activities that are prohibited in skill-based amusement machine gaming in Ohio. 
  • 3772-50-17, titled “Duties of skill-based amusement machine vendors.” This rule describes the responsibilities of skill-based amusement machine vendors to manufacture or distribute skill-based amusement machines that comply with technical standards established by the Commission, submit skill-based amusement machines to a certified independent skill-based amusement machine testing laboratory, and ensure that skill-based amusement machines have a locked cabinet or console. The rule further provides that a skill-based amusement machine vendor shall comply with notices and directives from the Commission or the Executive Director to implement policies, procedures, or practices. The purpose of the rule is to outline the affirmative duties of a licensed skill-based amusement machine vendor.
  • 3772-50-18, titled “Duties of type-B skill-based amusement machine operators.” This rule describes the responsibilities of type-B skill-based amusement machine operators to maintain certain records, including a machine entry authorization log, maintain the security of locked cabinets or consoles, ensure that prizes are capable of being dispensed from a type-B skill-based amusement machine, and place a sign or sticker on each type-B skill-based amusement machine providing a complaint phone number available to consumers. The rule further provides that a type-B skill-based amusement machine operator shall comply with notices and directives from the Commission or the Executive Director to implement policies, procedures, or practices. The purpose of the rule is to outline the affirmative duties of a licensed type-B skill-based amusement machine operator.
  • 3772-50-19, titled “Duties of type-C skill-based amusement machine operators.” This rule describes the responsibilities of type-C skill-based amusement machine operators to maintain certain records, including a machine entry authorization log, maintain the security of locked cabinets or consoles, display available prizes in a single area, and place a sign at a location or sticker on each skill-based amusement machine providing a complaint phone number available to consumers. The rule further provides that a type-C skill-based amusement machine operator shall comply with notices and directives from the Commission or the Executive Director to implement policies, procedures, or practices. The purpose of the rule is to outline the affirmative duties of a licensed type-C skill-based amusement machine operator.
  • 3772-50-20, titled “Duties of type-C skill-based amusement machine locations.” This rule describes the responsibilities of type-C skill-based amusement machine locations to revenue-share only with licensed operators and maintain accounting for each agreement, allow a licensed operator to place any required signs or materials at the location, display available prizes in a single area, and ensure at least one licensed skill-based amusement machine key employee is employed at or present at the location. The rule further provides that a type-C skill-based amusement machine location shall comply with notices and directives from the Commission or the Executive Director to implement policies, procedures, or practices. The purpose of the rule is to outline the affirmative duties of a licensed type-C skill-based amusement machine location.

Associated CSI Documents
Business Impact Analysis

Contact Information for Comments

The Commission welcomes comments regarding these proposed rules. To ensure your comments are considered as part of the Common Sense Initiative (“CSI”) review period, the Commission should receive them no later than November 1, 2016.

Any questions or comments with respect to these rules may be directed to Andromeda Morrison via email at Andromeda.Morrison@casinocontrol.ohio.gov or U.S. Mail at 10 West Broad Street, 6th Floor, Columbus, Ohio 43215. Comments may also be directed to the CSI Office at csipubliccomments@governor.ohio.gov.


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