PENNSYLVANIA GAMING CONTROL BOARD [58 PA. CODE CHS. 461, 465 AND 466] Temporary Regulations; Slot Machine Testing, Accounting and Internal Controls and Slot Computer Systems [36 Pa.B. 3416]
[Saturday, July 1, 2006]The Pennsylvania Gaming Control Board (Board), under 4 Pa.C.S. § 1203(a) (relating to temporary regulations), adopts temporary regulations to facilitate implementation of 4 Pa.C.S. Part II (relating to gaming), enacted by the act of July 5, 2004 (P. L. 572, No. 71) (Act 71). The Board's temporary regulations will be added to Part VII (relating to Gaming Control Board). Chapters 461 and 466, entitled slot machines and associated equipment and Slot computer systems, are added to Subpart E, entitled slot machine testing, certification and control. Sections 465.12--465.19 are added to Chapter 465, entitled accounting and internal controls, under Subpart E, entitled slot machine testing, certification and control.
Purpose and Background
Under 4 Pa.C.S. § 1203(a), the Board is authorized to promulgate temporary regulations to facilitate the prompt implementation of Act 71. The regulations are necessary to enhance the credibility of the licensed operation of slot machines and associated equipment within this Commonwealth and to carry out the policy and purposes of the Board. To invite public input, the Board published draft regulations on the Board's website and 10-day public comment period was provided.
Under 4 Pa.C.S. § 1203(b), the temporary regulations adopted by the Board expire no later than 3 years following the effective date of Act 71 or upon promulgation of regulations as generally provided by the law. These temporary regulations are not subject to sections 201--205 of the act of July 31, 1968 (P. L. 769, No. 240) (45 P. S. §§ 1201--1208), known as the Commonwealth Documents Law (CDL), or to the Regulatory Review Act (71 P. S. §§ 745.1--745.15).
Financial Impact
Act 71 and the regulations will provide for the implementation and management of gaming within this Commonwealth and the collection of fees and taxes from entities and individuals authorized by the Board to be employed by, provide gaming related services to, or operate gaming facilities. The appropriations from the Commonwealth for the implementation of Act 71 and costs of administering 4 Pa.C.S. Part II will be reimbursed by the licensed entities as specified within Act 71. Individuals and entities that wish to obtain licenses as gaming entities shall pay to the Gaming Fund significant licensing fees to obtain the authority to do business within this Commonwealth. Part of these fees shall reimburse the Board and the Pennsylvania State Police for licensing processes and background investigations. The licensing, registration, certification and permitting of individuals and other classes of applicants will be reimbursed by the applicants through fees established by the Board. It is anticipated that all expenses of the Board and all associated activities shall be reimbursed by the applicants and gaming entities as previously specified. The Board shall have no financial impact on the State budget.
Statutory Authority
The Board is authorized under 4 Pa.C.S. § 1203(a) to adopt and publish temporary regulations to implement the policies and purposes of Act 71.
Regulatory Review
Under 4 Pa.C.S. § 1203(b), the Board's authority to adopt temporary regulations expires 2 years from the effective date of Act 71.
Findings
The Board finds that:
(1) Under 4 Pa.C.S. § 1203(a), the temporary regulations are exempt from the requirements of the Regulatory Review Act and sections 201--205 of the CDL.
(2) A 10-day public comment period was held prior to the adoption of the temporary regulations.
(3) The adoption of the temporary regulations provided by this order is necessary and appropriate for the administration of the authorizing statute.
Order
The Board, acting under the authorizing statute, orders that:
(a) The Board acting under the authority of the Act 71, adopts as its final-form temporary regulations, the draft regulations as amended by resolution at the June 15, 2006, public meeting. The temporary regulations pertain to slot machine testing, accounting and internal controls and slot computer systems.
(b) The temporary regulations of the Board, 58 Pa. Code Chapters 461, 465 and 466, are amended by amending §§ 461.1 and 461.2 and by adding §§ 461.3--461.21, §§ 465.12--465.19 and § 466.1 to read as set forth in Annex A.
(c) The temporary regulations are effective June 15, 2006.
(d) The temporary regulations shall be posted in their entirety on the Board's website and published in the Pennsylvania Bulletin.
(e) The temporary regulations shall be subject to amendment as deemed necessary by the Board in accordance with the purpose of Act 71 and to further the intent of Act 71.
(f) The Chairperson of the Board shall certify this order and deposit the regulations with the Legislative Reference Bureau as required by law.
THOMAS A. DECKER,
ChairpersonFiscal Note: 125-31. No fiscal impact; (8) recommends adoption.
Annex A TITLE 58. RECREATION PART VII. GAMING CONTROL BOARD Subpart E. SLOT MACHINE TESTING, APPROVAL AND CONTROL CHAPTER 461. SLOT MACHINES AND ASSOCIATED EQUIPMENT § 461.1. Definitions.
The following words and terms, when used in this subpart, have the following meanings, unless the context clearly indicates otherwise:
Double-up--An optional wager on a slot machine in which the player has a mathematically equal probability of winning or losing the wager.
Modification--A change or alteration in a slot machine or associated equipment that affects the manner or mode of play or operation of the slot machine or associated equipment.
(i) The term includes a change to control or graphics programs and to the theoretical hold percentage.
(ii) In the case of slot machines, the term does not include:
(A) A conversion.
(B) Replacement of one approved component with an identical component.
(iii) In the case of a wide-area progressive system, the term includes:
(A) A change in a system name or theme.
(B) A change in the odds to win the progressive payout.
(C) A change in the reset amount.
(D) A change in the progessive rate.
(E) A change in the wager necessary to win the progressive payout.
Progressive--A slot machine that offers a jackpot that may increase in value based upon wagers as the slot machine is played. Progressive slot machines may stand alone, be linked at a licensed facility or be part of a wide area progressive system.
Randomness--The observed unpredictability and absence of pattern in a set of elements or events that have definite probabilities of occurrence.
Skill--The application of intelligence and specific knowledge to achieve the best result when a slot machine offers a choice of options during game play.
Slot Lab--The Gaming Laboratory Operations Bureau of the Board.
Strategy choice--A particular play option on a slot machine that requires the use of skill to consistently achieve the best result.
Theme--A concept, subject matter and methodology of design.
Wager--Placing at risk in a slot machine a coin, bill, ticket, gaming voucher, coupon, or similar object or, upon payment of any consideration, including the use of cashless funds transfer systems and external bonusing systems.
§ 461.2. Protocol requirements.
In accordance with section 1324 of the act (relating to protocol information), manufacturer licensees and supplier licensees shall be required to enable all slot machine terminals to communicate with the Department's central control computer for the purpose of transmitting auditing program information and activating and disabling slot machine terminals.
§ 461.3. Testing and approval generally.
(a) In accordance with section 1320 of the act (relating to slot machine testing and certification standards), the Board will determine the manner and scope in which slot machine terminals are to be tested and approved prior to operation and use in a licensed facility in this Commonwealth.
(b) All slot machines operated in this Commonwealth must be approved by the Board.
(c) The Board has the authority to require one or more of the following procedures with respect to testing and certifying a slot machine:
(1) An abbreviated testing and approval process in accordance with § 461.4(f) (relating to submission for testing and approval).
(2) Testing and approval in accordance with § 461.4(h).
(3) Utilize the services of slot machine testing facility to conduct the testing until a slot machine testing facility is created by the Board.
(d) On or before July 5, 2007, the Board will establish and maintain an independent slot machine testing facility. The cost of establishment and operation of the facility shall be paid by each manufacturer licensee in accordance with a schedule adopted by the Board.
(e) The Board will require payment of all costs for the testing and approval of all slot machines and associated equipment through procedures prescribed by the Board.
(f) The Board will require a manufacturer licensee seeking approval of a slot machine or associated equipment to pay all costs of transportation, inspection and testing.
§ 461.4. Submission for testing and approval.
(a) A slot machine or associated equipment identified in subsection (b) (collectively referred to as ''products'' or ''equipment, device or software''), or a modification thereto, may not be offered for sale, lease or distribution for ultimate use by a slot machine licensee in this Commonwealth unless a prototype identical in all mechanical, electrical, electronic and other respects has been tested and approved by the Board. When an applicant for, or holder of, a slot machine license develops software or a system that is functionally equivalent to any of the slot systems enumerated in subsection (b), that software or system shall be subject to the testing and approval process of this subpart to the same extent as if the software or system were developed by an applicant for, or holder of, a manufacturer license. Any reference in this subpart to the responsibilities of a manufacturer applies to an applicant for, or holder of, a slot machine license developing software or systems subject to testing and approval under this subpart.
(b) For the purposes of this section, slot machines and associated equipment which shall be submitted for testing and Board approval include:
(1) Slot machines, including bill validators and printers.
(2) Slot monitoring systems, to the extent the system interfaces with slot machines and related systems.
(3) Casino management systems, to the extent the system interfaces with slot machines and related systems.
(4) Player tracking systems, to the extent the system interfaces with slot machines and related systems.
(5) Progressive systems, including wide area progressive systems.
(6) Gaming voucher systems.
(7) External bonusing systems.
(8) Cashless funds transfer systems.
(9) Machines performing gaming voucher, coupon or jackpot payout transactions.
(10) Coupon systems, to the extent the system interfaces with slot machines and related systems.
(11) Other associated equipment as required by the Board.
(c) Slot machine prototypes and associated equipment prototypes, and any modifications thereto, which are subject to testing and approval under this section will be evaluated by the Board for overall operational integrity and compliance with the act, this subpart and any technical standards adopted by the Board. In addition, with regard to any slot machine, or modification thereto, the Board will test for compatibility and compliance with the central control computer and protocol specifications approved by the Department including the ability to communicate with the central control computer for the purpose of transmitting auditing program information, real time information retrieval and activation and disabling of slot machines.
(d) The Board may periodically prescribe for completion by an applicant for, or holder of, a manufacturer license a standard product submission checklist, together with supplemental product specific submission checklists, to facilitate the examination and analysis of a prototype or modification.
(e) The Board may periodically prescribe certification requirements, to be executed by the chief engineer of the applicant for, or holder of, a manufacturer license or the engineer in charge of the division of the manufacturer responsible for producing the product submitted, unless otherwise noted, to obtain sufficient assurances from the manufacturer that the product was properly and completely tested by the manufacturer prior to its submission to the Board.
(f) Notwithstanding the terms of subsection (c), the Board may utilize an abbreviated testing and approval process in accordance with section 1320 of the act (relating to slot machine testing and certification standards).
(g) When an applicant for, or holder of, a manufacturer license seeks to utilize, during the applicable period, the abbreviated testing and approval process for a slot machine prototype, associated equipment prototype or any modification thereto, it shall submit to the Board's Slot Lab the following:
(1) A prototype of the equipment, device or software accompanied by a written request for abbreviated testing and approval which identifies the jurisdiction within the United States upon which the applicant for, or holder of, a manufacturer license proposes the Board rely (''named jurisdiction''). The manufacturer shall transport the equipment, device or software at its own expense and deliver it to the offices of the Board's Slot Lab.
(2) A certification executed by the chief engineer of the applicant for, or holder of, a manufacturer license or the engineer in charge of the division of the manufacturer responsible for producing the equipment, device or software submitted (''professional'') asserting that:
(i) The specific prototype or modification is identical in all mechanical, electrical, electronic and other respects to one which has been tested and approved by the testing facility operated by the named jurisdiction or a private testing facility on behalf of the named jurisdiction.
(ii) The manufacturer is licensed in good standing in the named jurisdiction and that the subject product has all regulatory approvals prerequisite to sale or distribution in the named jurisdiction.
(iii) In the professional's opinion, the testing standards of the named jurisdiction are comprehensive and thorough and provide similar adequate safeguards as those required by this subpart.
(iv) In the professional's opinion, the equipment, device or software complies with the act, this subpart and any technical standards adopted by the Board including requirements related to the central control computer.
(3) An executed copy of a current product submission checklist, and any product specific supplemental submission checklists applicable to the submitted equipment, device or software unless a substantially similar checklist was filed with the named jurisdiction and is included in the submission package required by paragraph (4).
(4) Copies of the submission package, and any amendments thereto, filed with the named jurisdiction, copies of any correspondence, review letters or approvals issued by the testing facility operated by the named jurisdiction or a private testing facility on behalf of the named jurisdiction and, as applicable, a copy of the final regulatory approval issued by the named jurisdiction.
(5) The manufacturer shall disclose with specificity to the Board any conditions or limitations placed by the named jurisdiction on the operation or placement of the equipment, device or software at the time of approval or subsequently thereafter.
(6) When a slot machine prototype, or a modification thereto is submitted, the manufacturer shall submit a complete, comprehensive and technically accurate description of the manner in which the slot machine was tested for compatibility and compliance with the central control computer and protocol specifications approved by the Department including the ability to communicate with the central control computer for the purpose of transmitting auditing program information, real time information retrieval and activation and disabling of slot machines.
(7) Any hardware, software and other equipment, inclusive of technical support and maintenance applicable thereto, required by the Board's Slot Lab to conduct the abbreviated testing and approval process contemplated by the act, this subpart and technical standards adopted by the Board. The testing equipment and services required by this paragraph shall be provided at no cost to the Board.
(8) Additional documentation requested by the Board.
(h) When an applicant for, or holder of, a manufacturer license seeks Board approval of a slot machine prototype, associated equipment prototype, or any modification thereto for which the abbreviated testing process in subsection (f) is not applicable, it shall submit to the Board's Slot Lab the following:
(1) A prototype of the equipment, device or software accompanied by a written request for testing and approval. The manufacturer shall transport the equipment, device or software at its own expense and deliver it to the offices of the Board's Slot Lab in accordance with instructions provided.
(2) Certifications required under subsection (e) providing assurances from the manufacturer that the product was properly and completely tested and emulated by the manufacturer prior to its submission to the Board and that the product, device or software complies with the act, this subpart and any technical standards adopted by the Board, including any applicable requirements related to the central control computer.
(3) An executed copy of a current product submission checklist, and any product specific supplemental submission checklists applicable to the submitted equipment, device or software.
(4) A complete, comprehensive and technically accurate description of the equipment, device or software, accompanied by applicable diagrams, schematics and specifications, together with documentation with regard to the manner in which the product was tested and emulated by the manufacturer prior to its submission to the Board.
(5) Any hardware, software and other equipment, inclusive of technical support and maintenance applicable thereto, required by the Board's Slot Lab to conduct the testing and approval process contemplated by the act, this subpart and any technical standards adopted by the Board. The testing equipment and services required by this paragraph shall be provided at no cost to the Board.
(6) In the case of a slot machine prototype, the following additional information shall be submitted:
(i) A copy of all executable software, including data and graphics information, on electronically readable, unalterable media.
(ii) A copy of all source code for programs that cannot be reasonably demonstrated to have any use other than in a slot machine, on electronically readable, unalterable media.
(iii) A copy of all graphical images displayed on the slot machine including reel strips, rules, instructions and paytables.
(iv) A mathematical explanation of the theoretical return to the player, listing all assumptions, all steps in the formula from the first principles through to the final results of all calculations including bonus pays and, when a game requires or permits player skill in the theoretical derivations of the payout return, the source of strategy.
(v) Hardware block diagrams of the major subsystems.
(vi) A complete set of schematics for all subsystems.
(vii) A wiring harness connection diagram.
(viii) A technical and an operator manual.
(ix) A description of all security methodologies incorporated into the design of the slot machine including, when applicable, encryption methodology for all alterable media, auto-authentication of software and recovery capability of the slot machine for power interruption.
(x) For all meters required by this subpart or any technical standards adopted by the Board, a cross reference of product meters to the required meters, if necessary.
(xi) A description of all tower light functions indicating the corresponding condition.
(xii) A description of all error conditions and the corresponding action required by the operator.
(xiii) A description of the use and function of all available dip switch settings or configurable options.
(xiv) A description of the pseudo random number generator or generators used to determine game outcome, including a detailed explanation of operational methodology, and a description of the manner by which the pseudo random number generator and random number selection process is impervious to outside influences, interference from electro-magnetic, electro-static, and radio frequencies, and influence from ancillary equipment via data communications. Test results in support of representations shall be submitted. For the purposes of this section, ''game outcome'' means the results of a wager.
(xv) Any specialized hardware, software or testing equipment, inclusive of technical support and maintenance, needed to complete the evaluation, which may include an emulator for a specified microprocessor, PCs, extender cables for CPU boards, target reel strips and door defeats. The testing equipment and services required by this paragraph shall be provided at no cost to the Board.
(xvi) A compiler, or reasonable access to a compiler, for the purpose of building applicable code modules.
(xvii) All program storage media including eproms, eeproms, and any type of alterable media for all slot machine software.
(xviii) Technical specifications for any microprocessor or microcontroller.
(xix) A complete, comprehensive and technically accurate description of the manner in which the slot machine was tested for compatibility and compliance with the central control computer and protocol specifications approved by the Department including the ability to communicate with the central control computer for the purpose of transmitting auditing program information, real time information retrieval and activation and disabling of slot machines.
(xx) Additional documentation as requested by the Board.
(7) In the case of a modification to a slot machine prototype, including a change in theme, the following additional information shall be submitted:
(i) A complete, comprehensive and technically accurate description of the proposed modification to the slot machine prototype, accompanied by applicable diagrams, schematics and specifications.
(ii) When a change in theme is involved, a copy of all graphical images displayed on the slot machine including reel strips, rules, instructions and paytables.
(iii) When a change in the manner in which the theoretical payout percentage is achieved is involved, a mathematical explanation of the theoretical return to the player, listing all assumptions, all steps in the formula from the first principles through to the final results of all calculations including bonus pays and, when a game requires or permits player skill in the theoretical derivations of the payout return, the source of strategy.
(iv) A complete, comprehensive and technically accurate description of the manner in which the slot machine was tested for compatibility and compliance with the central control computer and protocol specifications approved by the Department including the ability to communicate with the central control computer for the purpose of transmitting auditing program information, real time information retrieval and activation and disabling of slot machines.
(v) Additional documentation as requested by the Board.
(8) In the case of a slot monitoring system, casino management system, player tracking system, wide area progressive system, gaming voucher system, external bonusing system, cashless funds transfer system, automated gaming voucher, coupon redemption or jackpot payout machine, coupon system or any other equipment or system required to be tested and approved under subsection (b):
(i) A technical and an operator manual.
(ii) A description of all security methodologies incorporated into the design of the system to include, when applicable, password protection, encryption methodology and its application, auto-authentication, network redundancy, back-up and recovery procedures.
(iii) A complete schematic or network diagram of the system's major components accompanied by a description of each component's functionality and a software object report. The description must disclose the functions performed by each component.
(iv) A description of the data flow, in narrative and in schematic form, including specifics with regard to data cabling and, when appropriate, communications methodology for multi-site applications.
(v) A list of all computer operating systems and third party software incorporated into the system together with a description of their interoperability.
(vi) System software and hardware installation procedures.
(vii) A list of all system reports available.
(viii) When applicable, features for each system which may include patron and employee card functions, promotions, reconciliation procedures and patron services.
(ix) A description of any interoperability testing including test results for each submitted system's connection to, as applicable, slot machines, voucher, coupon redemption and jackpot payout machines, computerized systems for counting money, vouchers and coupons. This list must identify the tested products by manufacturer, model and software identification and version number.
(x) A narrative describing the method used to authenticate software.
(xi) When requested by the Board, all source code.
(xii) When applicable, a complete, comprehensive and accurate description, accompanied by applicable diagrams, schematics and specifications, of the creation of a voucher and the redemption options available.
(xiii) When applicable, a complete, comprehensive and technically accurate description, accompanied by applicable diagrams, schematics and specifications, of the creation of a coupon and the redemption options available.
(xiv) Any specialized hardware, software or other equipment, inclusive of technical support and maintenance applicable thereto, required by the Board's Slot Lab to conduct the testing and approval process contemplated by the act, this subpart and technical standards adopted by the Board. The testing equipment and services required by this paragraph shall be provided at no cost to the Board.
(xv) Additional documentation requested by the Board.
(9) In the case of a modification to any of the systems identified in paragraph (8), the following additional information shall be submitted:
(i) A complete, comprehensive and technically accurate description of the proposed modification to the system, accompanied by applicable diagrams, schematics and specifications.
(ii) A brief narrative disclosing the purpose for the modification.
(iii) Additional documentation as requested by the Board.
(i) At the conclusion of any testing of a prototype or modification by the Board's Slot Lab, but prior to a decision to approve a prototype or modification, the Board may require a trial period of scope and duration it deems appropriate to assess the operation of the prototype or modification in a live gaming environment. The conduct of the test period shall be subject to compliance by the licensed manufacturer, any applicable licensed supplier, and the slot machine licensee with specific terms and conditions as required by the Board, which may include development and implementation of product specific accounting and internal controls, periodic data reporting to the Board and compliance with any technical standards on trial periods or the prototype or modification adopted by the Board. The Board may authorize the receipt of compensation by a licensed manufacturer or licensed supplier during the trial period. The Board may order termination of the trial period if it determines that the licensed manufacturer, any applicable licensed supplier or the slot machine licensee conducting the trial period has not complied with the terms and conditions required by the Board or that the product is not performing as expected.
(j) At the conclusion of any testing of a prototype or modification, the Board's Slot Lab will report to the Board the results of its testing. Upon receipt of the Slot Lab's report, the Board will approve, approve with conditions or reject the submitted prototype or modification, require additional testing or a trial period under subsection (i). Board approval of a prototype or modification does not constitute a guarantee of the prototype or modification's safety.
(k) A slot machine licensee is prohibited from installing in its licensed facility any slot machine or associated equipment, or modification thereto, required to be tested and approved under subsection (b) unless the equipment, device or software has been approved by the Board. A slot machine licensee may not modify, alter or tamper with any approved slot machine or associated equipment.
(l) Notwithstanding subsection (k), when a modification to a slot machine prototype or associated equipment prototype is required on an emergency basis to prevent cheating or malfunction, upon the written request of a licensed manufacturer in the manner prescribed by the Board, which request must expressly detail the name and employer of any persons to be involved in the installation of a modification and the manner in which it is to be effected, the Board may, in writing, authorize installation of a modification prior to the completion of the testing and approval process required by this subpart. Within 15 days of receipt of any authorization to install an emergency modification, the manufacturer shall submit the modification for full testing and approval in accordance with this subpart.
(m) Concurrent with the initial receipt of slot machines, an applicant for, or holder of, a slot machine license shall file a slot machine master list as required by § 463.5 (relating to slot machine master list).
(n) The testing of equipment, devices or software under this subpart may require the dismantling of the product and testing that may result in damage to, or destruction of, one or more systems or components. Once submitted for testing, equipment, devices or software will not be returned to the manufacturer unless otherwise determined by the Board.
§ 461.5. Slot machine conversions.
(a) Definition. The following term, when used in this section, has the following meaning, unless the context clearly indicates otherwise:
Conversion--A change or alteration to a slot machine that does not affect the manner or mode of play or operation of the slot machine.
(b) Records of conversion. A slot machine licensee shall:
(1) Maintain complete and accurate records of all conversions.
(2) Give prior notice of a slot machine conversion to the Board's Slot Lab in writing in the manner prescribed by the Board.
(3) Notice the Department in accordance with § 463.6 (relating to notice to central computer system).
§ 461.6. Revocations.
If subsequent to the approval of a slot machine prototype, associated equipment prototype, or modification thereto, the Board determines that the equipment, device or software approved by the Board meets either of the following criteria, the Board may take action it deems appropriate, including revocation of the approval or imposition of additional conditions:
(1) The equipment, device or software is not in compliance with the act, this subpart or technical standards adopted by the Board.
(2) With regard to any slot machine, or modification thereto, the equipment, device or software is not compatible with, or compliant with the central control computer and protocol specifications approved by the Department or is unable to communicate with the central control computer for the purpose of transmitting auditing program information, real time information retrieval and activation and disabling of slot machines.
§ 461.7. Slot machine minimum design standards.
(a) A slot machine is any mechanical or electrical contrivance, terminal, machine or other device as defined in § 401.4 (relating to definitions).
(b) A slot machine is prohibited from being set to pay out less than the theoretical payout percentage, which shall be no less than 85% but not equal or exceed 100%. The theoretical payout percentage for the total value of slot machine wagers will be calculated using the following criteria:
(1) The defined set of all symbols that will be displayed using spinning reels or video displays or both.
(2) The finite set of all possible combinations which shall be known as the cycle of the game. All possible combinations in a slot machine cycle shall be independent of each other and of all possible combinations from cycles in other slot machines.
(3) The value of each winning combination that corresponds with the set from paragraph (2) which, whether by reason of skill or application of the element of chance, or both, may deliver or entitle the person playing the slot machine to a jackpot.
(4) A payout of merchandise or anything of value provided a cash equivalent award for the merchandise is offered. The value of the cash equivalent will contribute to the calculation of the theoretical payout percentage.
(5) A payout in the form of an annuity will contribute to the calculation of the theoretical payout percentage by dividing the initial or reset amount of the jackpot payout by the number of years over which the jackpot will be paid.
(6) The odds of any winning combination may not exceed 50 million to 1.
(c) The calculation of the theoretical payout percentage will not include:
(1) The amount of any progressive jackpot in excess of the initial or reset amount.
(2) A cash or noncash complimentary issued under § 465.8 (relating to complimentary services or items).
(3) A payout of merchandise or anything of value when a cash equivalent award is not offered.
(d) A play offered by a slot machine may not have a theoretical payout percentage which is less than, when calculated to one hundredth of a percentage point, the theoretical payout percentage for any other play offered by that slot machine which is activated by a slot machine wager in a lesser amount than the slot machine wager required for that play. Notwithstanding the foregoing, the theoretical payout percentage of one or more particular plays may be less than the theoretical payout percentage of one or more plays which require a lesser wager provided that:
(1) The aggregate total of the decreases in the theoretical payout percentage for plays offered by the slot machine is not more than 1/2 of 1%.
(2) The theoretical payout percentage for every play offered by the slot machine is equal to or greater than the theoretical payout percentage for the play that requires the lowest possible wager that will activate the slot machine.
(e) In addition to the requirements of subsections (b), (c) and (d), the volatility of a slot machine must verify that the theoretical payout percentage equals or exceeds the minimum payout requirement of 85% within 10 million plays. The criteria used to calculate the volatility must be in accordance with technical standards applicable to volatility adopted by the Board.
(f) The selection from the set of all possible combinations of symbols shall be made applying a pseudo random number generator. At a minimum, each pseudo random number generator must adhere to the following criteria:
(1) The random selection process must meet a 95% confidence interval.
(2) As determined by the Board, it must pass a standard chi-squared test for goodness of fit.
(3) Each possible slot machine combination which produces winning or losing slot machine outcomes must be available for random selection at the initiation of each play.
(4) A slot machine payout percentage that may be affected by reason of skill must meet the theoretical payout requirements of this subpart when evaluated by the Board using a method of play that will provide the greatest return to the player.
(5) Once a random selection process has occurred, the slot machine must:
(i) Display an accurate representation of this randomly selected outcome.
(ii) Not make a secondary decision which affects the result shown to the person playing the slot machine.
(g) A slot machine is prohibited from automatically altering any function of the slot machine based on internal computation of the hold percentage.
(h) The available winning combinations and applicable rules of play for a slot machine shall be available at all times the slot machine is idle to the patron playing the slot machine. The award schedule of available winning combinations may not include possible aggregate awards achievable from free plays. A slot machine that includes a strategy choice must provide mathematically sufficient information for a patron to use optimal skill. Information regarding a strategy choice need not be made available for any strategy decisions whenever the patron is not required, in addition to the initial wager, to make an additional wager and, when as a result of playing a strategy choice, the patron can not lose any credits earned thus far during that game play.
(i) Unless otherwise authorized by the Board, each slot machine approved for use in a licensed facility must be equipped with the following meters. The meters must comply with any technical standards adopted by the Board. The required meters must continuously and automatically increment in units equal to the denomination of the slot machine or, in the case of a slot machine configured for multidenomination play, must display the required information in dollars and cents.
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[Continued from previous Web Page] (1) Coin in. The slot machine must have a meter that accumulates the total value of all wagers, whether the wager results from the insertion of currency, gaming vouchers, coupons, downloaded credits, credits won or any other means. This meter must:
(i) Not include subsequent wagers of intermediate winnings accumulated during game play sequence such as those acquired from ''double up'' games.
(ii) For multi-game and multi-denomination/multi-game slot machines, monitor the information necessary, on a per pay table basis, to calculate a weighted average actual payout percentage.
(2) Coin out. The slot machine must have a meter that accumulates the total value of all amounts directly paid by the slot machine as a result of winning wagers, whether the payout is made directly from the printer by issuance of a gaming voucher, directly to a credit meter or by any other means. This meter may not record amounts awarded as the result of an external bonusing system or a progressive payout.
(3) Attendant paid jackpots. The slot machine must have a meter that accumulates the total value of credits paid by an attendant resulting from a single winning alignment or combination, the amount of which is not capable of being paid by the slot machine itself. This meter may not record amounts awarded as the result of an external bonusing system or a progressive payout. This meter is to record only amounts specifically listed in the manufacturer's par sheet.
(4) Attendant paid cancelled credits. The slot machine must have a meter that accumulates the total value of all amounts paid by an attendant resulting from a player initiated cash-out that exceeds the physical or configured capability of the slot machine.
(5) Bill in. The slot machine must have a meter that accumulates the total value of currency accepted. The slot machine must also have a specific meter for each denomination of currency accepted that records the number of bills accepted for each denomination.
(6) Voucher in--cashable/value. The slot machine must have a meter that accumulates the total value of all cashable gaming vouchers accepted by the slot machine.
(7) Voucher in--cashable/count. The slot machine must have a meter that accumulates the total number of cashable gaming vouchers accepted by a slot machine.
(8) Voucher out--cashable/value. The slot machine must have a meter that accumulates the total value of all cashable gaming vouchers issued by the slot machine.
(9) Voucher out--cashable/count. The slot machine must have a meter that records the total number of all cashable gaming vouchers issued by a slot machine.
(10) Voucher out--noncashable/value. The slot machine must have a meter that accumulates the total value of all noncashable gaming vouchers issued by the slot machine.
(11) Voucher out--noncashable/count. The slot machine must have a meter that records the total number of all noncashable gaming vouchers issued by the slot machine.
(12) Cashable electronic in. The slot machine must have a meter that accumulates the total value of cashable credits electronically transferred to the slot machine by means of an external connection between the slot machine and a cashless funds transfer system.
(13) Noncashable electronic in. The slot machine must have a meter that accumulates the total value of noncashable credits electronically transferred to the slot machine by means of an external connection between the slot machine and a cashless funds transfer system.
(14) Coupon in--cashable/value. The slot machine must have a meter that accumulates the total value of all cashable coupons accepted by the slot machine.
(15) Coupon in--cashable/count. The slot machine must have a meter that accumulates the total number of all cashable coupons accepted by the slot machine.
(16) Coupon in--noncashable/value. The slot machine must have a meter that accumulates the total value of all noncashable coupons accepted by the slot machine.
(17) Coupon in--noncashable/count. The slot machine must have a meter that accumulates the total number of noncashable coupons accepted by the slot machine.
(18) Slot machine paid external bonus payout. The slot machine must have a meter that accumulates the total value of additional amounts awarded as a result of an external bonusing system and paid by the slot machine.
(19) Attendant paid external bonus payout. The slot machine must have a meter that accumulates the total value of additional amounts awarded as a result of an external bonusing system and paid by a slot attendant.
(20) Slot machine paid progressive payout. The slot machine must have a meter that accumulates the total value of credits paid as a result of progressive awards paid directly by the slot machine. This meter may not record awards paid as a result of an external bonusing system.
(21) Attendant paid progressive payout. The slot machine must have a meter that accumulates the total value of credits paid by a slot attendant as a result of progressive awards that are not capable of being paid by the slot machine. This meter must not include awards paid as a result of an external bonusing system.
(22) Additional requirements. Other meters as may be required by technical standards adopted by the Board.
(j) Unless otherwise authorized by the Board, each slot machine approved for use in a licensed facility must be equipped with the following noncumulative meters:
(1) Credits wagered. The slot machine must have a meter, visible from the front exterior of a slot machine, known as a credit wagered meter that advises the patron of the total value of amounts wagered in a particular game or round of slot play.
(2) Win meter. The slot machine must have a meter, visible from the front exterior of the slot machine, known as a win meter that advises the patron of the total value of amounts won in the immediately concluded game or round of slot play.
(3) Credits paid. The slot machine must have a meter, visible from the front exterior of the slot machine, known as a credits paid meter that advises the patron of the total value of the last: cash out initiated by the patron, win paid directly by the slot machine, attendant paid jackpot or attendant paid cancelled credit.
(4) Credit meter. The slot machine must have a meter, visible from the front exterior of the slot machine and specifically labeled as a credit meter, which advises the patron as to the number of credits or monetary value available for wagering on the slot machine. The credit meter need not distinguish between cashable credits and noncashable credits.
(k) Each slot machine must have a meter which stores the number of games played, in the manner and for a duration specified in this subpart or in technical standards adopted by the Board, since the following events:
(1) Power reset.
(2) Door close.
(3) Game initialization (random access memory (RAM) clear).
(l) Each slot machine must be equipped with a device, mechanism or method for retaining the total value of all meters required under subsection (i) for 72 hours subsequent to a power loss.
(m) The required meters on each slot machine must be accessible and legible without access to the interior of the slot machine.
(n) Each slot machine must be equipped with a tower light capable of effectively communicating the status of the slot machine in accordance with technical standards on tower lights and error conditions adopted by the Board.
(o) Each slot machine must be equipped with a device, mechanism or method for detecting, displaying and communicating to a slot monitoring system error conditions. The error conditions detected, displayed and communicated by a slot machine, and the method to be utilized to clear the message with regard to the error condition, must be in accordance with technical standards on tower lights and error conditions adopted by the Board.
(p) Each slot machine must, in accordance with section 1324 of the act (relating to protocol information), comply with the comprehensive protocol specifications necessary to enable the slot machine to communicate with the Department's central control computer as that protocol is amended or supplemented, for the purpose of transmitting auditing program information, real time information retrieval and slot machine activation and disabling.
(q) A slot machine must lock up and preclude further play whenever a jackpot occurs that is not able to be paid completely by the slot machine and requires a hand pay. When the jackpot occurs, the slot machine can offer a predetermined number of double-up wagers before the slot machine locks up.
(r) A slot machine must be configured to not accept more than $3,000 in currency before a wager must be made or play initiated unless otherwise authorized by the Board.
(s) Printers incorporated into a slot machine must be:
(1) Designed to allow the slot machine to detect and report a low paper level, paper out, presentation error, printer failure and paper jams.
(2) Mounted inside a lockable compartment within the slot machine.
(t) Seating made available by a slot machine licensee for use during slot play must be fixed and stationary in nature. Slot seating must be installed in a manner that effectively precludes its ready removal by a patron but permits controlled removal, for example for Americans With Disabilities Act of 1990 (ADA) purposes (42 U.S.C.A. §§ 12101--12213), by slot operations department personnel.
(u) Unless a slot machine licensee's slot monitoring system is configured to automatically record all of the information required by this subsection, the slot machine licensee shall be required to physically house in each slot machine the following entry authorization logs:
(1) A machine entry authorization log that documents each time a slot machine or any device connected thereto which may affect the operation of the slot machine is opened. The log must contain, at a minimum, the date, time, purpose for opening the slot machine or device and the signature and license number of the person opening and entering the slot machine or device. Each log must have recorded thereon a sequence number and the manufacturer's serial number or the asset number corresponding to the slot machine in which it is housed.
(2) A progressive entry authorization log that documents each time a progressive controller not housed within the cabinet of the slot machine is opened. The log must contain, at a minimum, the date, time, purpose for accessing the progressive controller and the signature and license number of the person accessing the progressive controller. Each log must be maintained in the progressive controller unit and have recorded thereon a sequence number and the manufacturer's serial number of the progressive controller.
(v) The Board may waive one or more of the slot machine minimum design standards in this section or technical standards adopted by the Board applicable to slot machine design, upon a determination that a slot machine prototype or modification as configured nonetheless meets the operational integrity standards of the act, this subpart and technical standards adopted by the Board.
§ 461.8. Gaming vouchers.
(a) A gaming voucher is an instrument that upon insertion into a slot machine bill validator entitles the patron inserting the gaming voucher to cashable or noncashable credits on a slot machine corresponding to the value printed on the gaming voucher. 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 adopted by the Board.
(b) A slot machine licensee may utilize a gaming voucher system. A gaming voucher system is the collective hardware, software, communications technology and other ancillary equipment used to facilitate the issuance of gaming vouchers and the redemption of gaming vouchers by slot machines, automated gaming voucher redemption machines, the cashiers' cage or in other locations, and in alternative manners, as approved by the Board. A gaming voucher system must comply with technical standards on gaming voucher systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a gaming voucher system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) Except as provided in subsection (n) with regard to employee redemption of gaming vouchers, each gaming voucher shall be redeemed by a patron for a specific value of cash, slot machine credits, or, at the request of the patron, a check issued by the slot machine licensee in the amount of the gaming voucher surrendered. Notwithstanding the forgoing, a slot machine licensee may not permit a gaming voucher that is presented for redemption to be redeemed if it knows, or has reason to know, that the gaming voucher:
(1) Is materially different from the sample of the gaming voucher approved by the Board.
(2) Was previously redeemed.
(3) Was printed as a test gaming voucher.
(e) Prior to issuing a gaming voucher, each 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 § 465.3 (relating to internal control systems and audit protocols) and address:
(1) Procedures for assigning a slot machine's asset number and identifying other redemption locations in the system, and enabling and disabling voucher capabilities for slot machines and redemption locations.
(2) Procedures for issuance, modification and termination of a unique system account for each user in accordance with technical standards adopted by the Board.
(3) Procedures used to configure and maintain user passwords in accordance with technical standards adopted by the Board.
(4) Procedures for restricting special rights and privileges, such as administrator and override capabilities, in accordance with technical standards adopted by the Board.
(5) The duties and responsibilities of the information technology, internal audit, slot operations and slot accounting departments, respectively, and the level of access for each position with regard to the gaming voucher system.
(6) A description of physical controls on all critical hardware such as locks and surveillance, including the location and security protocols applicable to each piece of equipment as approved by the Board.
(7) Procedures for the backup and timely recovery of critical data in accordance with any technical standards adopted by the Board.
(8) Logs used to document and maintain the details of any Board approved hardware and software modifications upon implementation.
(f) The system of internal controls required to be submitted and approved by the Board under subsection (e) must also include the procedures to be applied in the following instances:
(1) The slot machine licensee chooses to pay a patron the value of a gaming voucher notwithstanding the fact that its gaming voucher system is inoperable rendering it unable to determine the validity of the gaming voucher at the time of payment.
(2) The slot machine licensee chooses to pay a patron the value of a gaming voucher notwithstanding the fact that the gaming voucher system failed to verify and electronically cancel the gaming voucher when it was scanned.
(g) At the end of each gaming day, the gaming voucher system must generate reports, as approved by the Board, which reports are provided to the slot accounting department, either directly by the system or through the information technology department, and contain the following information, at a minimum:
(1) All gaming vouchers that have been issued. Reports with regard to slot machine activity must include the asset number of the slot machine and the serial number, value, date and time of issuance of each gaming voucher.
(2) All gaming vouchers that have been redeemed and canceled by redemption location, including the asset number of the slot machine or location if other than a slot machine, the serial number, value, date and time of redemption for each voucher, the total value of all gaming vouchers redeemed at slot machines, and the total value of all gaming vouchers redeemed at locations other than slot machines.
(3) The unredeemed liability for gaming vouchers.
(4) The readings on gaming voucher related slot machine meters and a comparison of the readings to the number and value of issued and redeemed gaming vouchers, as applicable.
(5) Exception reports and audit logs.
(h) The slot machine licensee shall immediately report to the Board, in a manner prescribed by the Board, any evidence that a gaming voucher has been counterfeited, tampered with, or altered in any way which would affect the integrity, fairness, reliability or suitability of the gaming voucher.
(i) Upon presentation of a gaming voucher for redemption at a slot machine, the total value of which gaming voucher cannot be completely converted into an equivalent value of credits that match the denomination of the slot machine, the slot machine must perform one of the following procedures:
(1) Automatically issue a new gaming voucher containing the value that cannot be completely converted.
(2) Not redeem the gaming voucher and immediately return the gaming voucher to the patron.
(3) Allow for the additional accumulation of credits on an odd cents meter or a meter that displays the value in dollars and cents.
(j) A slot machine licensee that utilizes a system or a slot machine that does not print a test gaming voucher that is visually distinguishable from a valid gaming voucher whenever the slot machine is tested on the gaming floor must have in place internal controls approved by the Board under § 465.3 for the issuance of test currency from the cashiers' cage and the return and reconciliation of the test currency and any gaming vouchers printed during the testing process.
(k) Notwithstanding the requirements of subsection (d), if a patron requests to redeem a gaming voucher by mail, the slot machine licensee may effectuate the redemption. However, the gaming vouchers may only be redeemed by a cage supervisor in accordance with internal controls approved by the Board under § 465.3, which includes the following:
(1) Procedures for using the gaming voucher system to verify the validity of the serial number and value of the voucher, which, if valid, must be immediately canceled electronically by the system.
(2) Procedures for the issuance of a check containing the value of the voucher.
(l) Gaming vouchers redeemed at cashiering locations shall be transferred to the slot accounting department on a daily basis. Gaming vouchers redeemed by slot machines shall be counted in the count room and forwarded to the slot accounting department upon the conclusion of the count process. Gaming vouchers redeemed at automated gaming voucher redemption machines shall be forwarded to slot accounting upon the conclusion of the cashiers' cage reconciliation process. Slot accounting department representatives with no incompatible functions shall perform, at a minimum, the following:
(1) On a daily basis:
(i) Compare gaming voucher system report data to any count room system report data available for that gaming day to ensure proper electronic cancellation of the gaming voucher.
(ii) Calculate the unredeemed liability for gaming vouchers, either manually or by means of the gaming voucher system.
(2) On a weekly basis, compare appropriate slot machine meter readings to the number and value of issued and redeemed gaming vouchers per the gaming voucher system. Meter readings obtained through a slot monitoring system may be utilized to complete this comparison.
(m) A slot machine licensee shall provide written notice to the Board's Slot Lab of any adjustment to the value of any gaming voucher. The notice shall be made prior to, or concurrent with, the adjustment.
(n) Employees of a slot machine licensee who are authorized to receive gaming vouchers as gratuities may redeem the gaming vouchers only at the cashiers' cage. Gaming vouchers valued at more than $100 shall be redeemed at the cashiers' cage only with the approval of the supervisor of the cashier conducting the redemption transaction.
(o) Each gaming voucher system must be configured to alert the slot machine licensee to any malfunction. Following any malfunction of a system, the slot machine licensee shall immediately notify the Board and may not utilize the system until the malfunction has been successfully eliminated. Notwithstanding the foregoing, the Board may permit, in accordance with approval procedures the Board prescribes, a slot machine licensee to utilize the system prior to its being successfully restored, for a period not to exceed 72 hours, provided that:
(1) The malfunction is limited to a single storage media device, such as a hard disk drive.
(2) In addition to the malfunctioning storage media device, the system contains a backup storage media device not utilized in the normal operation of the system. The backup device must immediately and automatically replace the malfunctioning device to permit a complete and prompt recovery of all information in the event of an additional malfunction.
(3) Continued use of the malfunctioning system would not inhibit the ability to perform a complete and prompt recovery of all information, and would not otherwise harm or affect the normal operation of the system.
(p) Other than a modification to a gaming voucher system required on an emergency basis to prevent cheating or malfunction and approved by the Board under § 461.4(l), a modification to a gaming voucher system may not be installed without the gaming voucher system having undergone the testing and approval process required under § 461.4.
(q) The Board may waive one or more requirements of this section or technical standards applicable to gaming voucher systems adopted by the Board upon a determination that the nonconforming gaming voucher system nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.9. Coupons.
(a) A coupon is an instrument issued by a slot machine licensee under which cashable or noncashable slot machine credits are provided directly or indirectly to a patron with or without regard to the identity of the patron or patron's level of gaming activity.
(b) A slot machine licensee may issue coupons. A coupon system is the collective hardware, software, communications technology and other ancillary equipment used to facilitate the issuance of coupons, the acceptance of a coupon by a slot machine or its redemption at an automated coupon redemption machine, cashiers' cage or such other locations, and in an alternative manner approved by the Board. A coupon system must comply with any technical standards on coupon systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a coupon system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) Each coupon shall be designed and manufactured with sufficient graphics or other security measures, to permit, to the greatest extent possible, the proper verification of the coupon. Each coupon must contain, at a minimum, the following information:
(1) The name or trade name of the slot machine licensee, and if the slot machine licensee is affiliated with a casino licensee in any other jurisdiction with an identical or similar name or trade name, the name of the Pennsylvania location must be evident on the coupon.
(2) The value of the coupon, in both numbers and words.
(3) A unique serial number, which is automatically generated by the system in accordance with this subpart and technical standards adopted by the Board.
(4) The locations where the coupon may be redeemed and restrictions regarding redemption.
(5) An indication of the date on which the coupon becomes invalid.
(6) A bar code or magnetic strip which enables the system to establish the validity of the coupon and its value in accordance with this subpart and any technical standards adopted by the Board.
(e) Prior to issuing a coupon, each slot machine licensee shall establish a system of internal controls for the issuance and redemption of coupons. The internal controls shall be submitted to, and approved by the Board under § 465.3 (relating to internal control systems and audit protocols).
(f) The Board may waive one or more requirements of this section or technical standards applicable to coupon systems adopted by the Board upon a determination that the nonconforming coupon system nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.10. Automated gaming voucher and coupon redemption machines.
(a) Automated gaming voucher and coupon redemption machines may be located on or proximate to the gaming floor of a licensed facility and must be subject to surveillance coverage under § 465.10 (relating to surveillance system; surveillance department control; surveillance department restrictions). Each automated gaming voucher and coupon redemption machine must have imprinted, affixed or impressed on the outside of the machine a unique asset identification number.
(b) A slot machine licensee is prohibited from utilizing an automated gaming voucher and coupon redemption machine that has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(c) Each automated gaming voucher and coupon redemption machine must have the capability of establishing the validity of the gaming voucher or coupon by comparing the instrument's unique serial number, automatically generated by the respective gaming voucher or coupon system in accordance with this subpart and technical standards adopted by the Board with electronic records within the gaming voucher system or coupon system.
(d) The methods utilized to comply with subsection (c) shall be submitted to and approved by the Board in the context of the testing of a gaming voucher system or coupon system.
(e) An automated gaming voucher and coupon redemption machine may function as a bill breaker changing bills of one denomination into bills of a smaller denomination.
(f) Each automated gaming voucher and coupon redemption machine must contain a lockable gaming voucher, coupon and currency storage box which retains the gaming vouchers, coupons or currency accepted by the machine. Each gaming voucher, coupon and currency storage box located inside the machine must also have imprinted, affixed or impressed thereon the asset identification number of the corresponding machine.
(g) Each automated gaming voucher and coupon redemption machine must have, at a minimum, the following:
(1) One lock securing the compartment housing and the storage box and one lock securing the storage box within the compartment, the keys to which must be different from each another. The key to the compartment housing the storage box shall be controlled by the slot operations department. The key to the lock securing the storage box within the compartment shall be controlled by the slot accounting department.
(2) One lock securing the compartment housing the currency cassettes, the key to which shall be controlled by the slot accounting department.
(3) One lock securing the compartment housing the coin storage container, the key to which shall be controlled by the slot accounting department.
(4) One lock securing the contents of the storage box, the key to which must be different from the keys referenced in paragraphs (1)--(3). This key shall be controlled by an employee of the slot accounting department other than the employee controlling the keys referenced in paragraphs (1)--(3).
(h) Each automated gaming voucher and coupon redemption machine must be designed to resist forced illegal entry. The slot machine licensee must secure the input/output ports on an automated gaming voucher and coupon redemption machine.
(i) Each automated gaming voucher and coupon redemption machine's currency cassettes must be designed to preclude access to its interior and must render itself inoperable if unauthorized access occurs. The key to each currency cassette shall be controlled by the slot accounting department.
(j) Access controls relating to the operating system or applications of the automated gaming voucher and coupon redemption machine, and ancillary systems, applications and equipment associated with the reconciliation thereof, must employ security measures that require authentication of the user and recording and maintaining of data regarding access and any modifications made. Authentication must be in accordance with this subpart and technical standards adopted by the Board.
(k) A gaming voucher or coupon accepted by an automated gaming voucher and coupon redemption machine shall be cancelled immediately upon exchange in a manner that effectively prevents its subsequent redemption by the cashiers' cage, another automated gaming voucher and coupon redemption machine or its acceptance in a slot machine bill validator. The methods utilized to comply with this requirement shall be in accordance with this subpart and technical standards adopted by the Board.
(l) Each automated gaming voucher and coupon redemption machine must be designed to be impervious to outside influences, interference from electro-magnetic, electro-static and radio frequencies and influence from ancillary equipment.
(m) Each automated gaming voucher and coupon redemption machine must include a means to protect against transaction failure and data loss due to power loss.
(n) Each automated gaming voucher and coupon redemption machine must detect, display and record electronically the following error conditions: power reset; door open; door just closed; and system communication loss. These error conditions may be automatically cleared by the automated gaming voucher and coupon redemption machine when the condition no longer exists and upon completion of a new transaction.
(o) Each automated gaming voucher and coupon redemption machine must detect, display and record electronically the error conditions in paragraphs (1)--(4). These error conditions must disable the automated gaming voucher and coupon redemption machine and prohibit new transactions and may only be cleared by either the slot accounting department or slot operations department.
(1) Failure to make payment, if the gaming voucher or coupon is not returned and no receipt is issued.
(2) Failure to make complete payment if a receipt for the unpaid amount is not issued.
(3) Bill validator failure.
(4) Printer failure due to printer jam or lack of paper.
(p) Each automated gaming voucher and coupon redemption machine must be designed to evaluate whether sufficient funds are available before stacking the voucher and completing the transaction.
(q) Each automated gaming voucher and coupon redemption machine must be capable of maintaining synchronization between its real time clock and that of the gaming voucher system and coupon system.
(r) Each automated gaming voucher and coupon redemption machine must be equipped with electronic digital storage meters which accumulate the following information. The information must be readily available through system reports. Where a value is maintained, the value must be in dollars and cents.
(1) Physical coin out. Each automated gaming voucher and coupon redemption machine must have a meter that accumulates the total value, by denomination, of all coins paid by the automated gaming voucher and coupon redemption machine.
(2) Voucher in--value. Each automated gaming voucher machine must have a meter that accumulates the value of all cashable gaming vouchers accepted.
(3) Voucher in--count. Each automated gaming voucher machine must have a meter that accumulates the number of all cashable gaming vouchers accepted.
(4) Coupon in--value. Each automated coupon redemption machine must have a meter that accumulates the value of all cashable coupons accepted.
(5) Coupon in--count. Each automated coupon redemption machine must have a meter that accumulates the number of all cashable coupons accepted.
(6) Bill in. Each automated gaming voucher and coupon redemption machine must have a meter that accumulates the value of all currency accepted by the automated gaming voucher and coupon redemption machine. Each automated gaming voucher and coupon redemption machine must also have specific meters for each denomination of currency accepted that records the number of bills accepted.
(7) Bill out. Each automated gaming voucher and coupon redemption machine must have a meter that accumulates the total value of currency dispensed. Each automated gaming voucher and coupon redemption machine must also provide for specific meters for each denomination of currency dispensed that record the number of bills dispensed.
(8) Additional requirements. Other meters as may be required by technical standards adopted by the Board.
(s) An automated gaming voucher and coupon redemption machine must have the capacity to record and retain, in an automated transaction log, all critical transaction history for at least 30 days. Transaction history must include records with regard to the date, time, amount and disposition of each complete and incomplete transaction, error conditions, logical and physical access and attempted access to the automated gaming voucher and coupon redemption machine. If an automated gaming voucher and coupon redemption machine is capable of redeeming multiple vouchers and coupons in a single transaction, the transaction history must include a breakdown of the transaction with regard to gaming vouchers and coupons.
(t) Each automated gaming voucher and coupon redemption machine or ancillary systems, applications and equipment associated with the reconciliation thereof, must be capable of producing the following reports upon request:
(1) Gaming voucher transaction report. This report must include the disposition (paid, partial pay, unpaid) of gaming vouchers accepted by an automated gaming voucher and coupon redemption machine which must include the validation number, the date and time of redemption, amount requested and the amount dispensed. This information must be available by reconciliation period which may be by day, shift or drop cycle.
(2) Coupon transaction report. This report must include the disposition (paid, partial pay, unpaid) of coupons accepted by an automated gaming voucher and coupon redemption machine which must include the unique serial number, the date and time of redemption, amount requested and the amount dispensed. This information must be available by reconciliation period which may be by day, shift or drop cycle.
(3) Reconciliation report. This report must include the following information:
(i) Report date and time.
(ii) Unique asset identification number of the machine.
(iii) Total cash balance of the currency cassettes.
(iv) Total count of currency accepted by denomination.
(v) Total dollar amount of vouchers accepted.
(vi) Total count of gaming vouchers accepted
(vii) Total dollar amount of coupons accepted.
(viii) Total count of coupons accepted.
(4) Gaming voucher, coupon and currency storage box report. This report must be generated, at a minimum, whenever a gaming voucher, coupon and currency storage box is removed from an automated gaming voucher and coupon redemption machine. The report must include the following information:
(i) Report date and time.
(ii) Unique asset identification number of the machine.
(iii) Unique identification number for each storage box in the machine.
(iv) Total value of currency dispensed.
(v) Total number of bills dispensed by denomination.
(vi) Total dollar value of gaming vouchers accepted.
(vii) Total count of gaming vouchers accepted.
(viii) Total dollar value of coupons accepted.
(ix) Total count of coupons accepted.
(x) Details required to be included in the gaming voucher transaction report required by paragraph (1) and the coupon transaction report required in paragraph (2).
(5) Transaction report. This report must include all critical patron transaction history including the date, time, amount and disposition of each complete and incomplete transaction. If an automated gaming voucher and coupon redemption machine is capable of redeeming multiple vouchers or coupons in a single transaction, the transaction history must include a breakdown of the transaction with regard to gaming vouchers and coupons accepted.
(u) The Board may waive one or more requirements of this section or technical standards applicable to automated gaming voucher and coupon redemption machines adopted by the Board upon a determination that the machine as configured nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.11. Automated gaming voucher and coupon redemption machines: accounting controls.
Prior to commencing use of either an automated gaming voucher redemption machine, an automated coupon redemption machine, bill breaker or some combination thereof, each slot machine licensee shall establish a comprehensive system of internal controls addressing the distribution of currency or coin, or both, to the machines, the removal of any gaming vouchers, coupons or currency accepted by the machines and the reconciliations associated therewith. The internal controls shall be submitted to, and approved by the Board under § 465.3 (relating to internal control systems and audit protocols).
§ 461.12. Progressive slot machines.
(a) A progressive slot machine is a slot machine that offers a jackpot that may increase in value based upon wagers as the slot machine is played. A progressive slot machine may stand alone, be linked or interconnected with other progressive slot machines. Progressive slot machines located at a licensed facility that are linked or interconnected with progressive slot machines at another licensed facility are collectively referred to as a wide area progressive system.
(b) Each slot machine that offers a progressive jackpot which may increase in value based upon wager and is adjusted and displayed by a device other than the approved program that controls the operation of the slot machine, referred to herein as a progressive controller, must have the following features:
(1) For each progressive jackpot offered by the slot machine, a mechanical, electrical or electronic device, to be known as a progressive meter, visible from the front of the slot machine, which may increase in value based upon wagers, and which advises the player of the amount which can be won if the slot machine symbols that award the progressive jackpot appear as a result of activation of play of the slot machine.
(2) A slot machine paid progressive payout meter in accordance with § 461.7(i) (relating to slot machine minimum design standards).
(3) A slot attendant paid progressive payout meter in accordance with § 461.7(i).
(4) A cumulative progressive payout meter that continuously and automatically records the total value of progressive jackpots paid directly by the slot machine or by a slot attendant.
(5) A key and key switch to reset the progressive meters or other reset mechanism as may be approved by the Board.
(6) A key locking the compartment housing the progressive meters or other means by which to preclude unauthorized alterations to the progressive meters. This key or alternative security method must be different than the key or reset mechanism in paragraph (5).
(7) Dual key control by the security department and slot accounting department, or alternative key controls as the Board approves, of the compartment housing the microprocessor or other unit that controls the progressive meters. The compartment shall be in a location approved by the Board.
(c) Each slot machine that is connected to a common progressive meter for the purpose of offering the same progressive jackpot on two or more slot machines must:
(1) Have the same probability of hitting the combination that will award the progressive jackpot as every other linked slot machine connected to the common progressive meter.
(2) Require that the same amount in wager be invested to entitle the player to a chance at winning the progressive jackpot and that each increase in wager increment the progressive meter by the same rate of progression as every other linked slot machine connected to the common progressive meter.
(3) Have its program or progressive controller that controls the common display for the progressive meter housed in a location and subject to dual key controls as may be approved by the Board.
(d) Notwithstanding the provision of subsection (c):
(1) Two or more linked slot machines offering the same progressive jackpot may be of different denominations or have different wagers, or both, required to win the progressive jackpot, provided that:
(i) The probability of winning the progressive jackpot is directly proportional to the wager required to win that jackpot.
(ii) A notice approved by the Board indicating the proportional probability of hitting the progressive jackpot on a linked progressive system is conspicuously displayed on each linked slot machine.
(2) The probability of winning a progressive jackpot offered on linked slot machines may vary among the machines when necessary to enable a slot machine licensee or, as applicable, a slot system operator, to institute a change in the probability which is otherwise permitted by this subpart, if the change is completed expeditiously in accordance with procedures that have been filed with and approved by the Board.
(e) A slot machine licensee seeking to utilize a linked slot machine shall submit to the Board for approval the location and manner of installing any progressive meter display mechanism.
(f) A slot machine that offers a progressive jackpot may not be placed on the gaming floor until the slot machine licensee or, as applicable, the slot system operator, has submitted to the Board, in a manner the Board directs, and the Board has approved, the following:
(1) The initial and reset amounts at which the progressive meters will be set.
(2) The proposed system for controlling the keys and applicable logical access controls to the slot machines.
(3) The proposed rate of progression for each progressive jackpot.
(4) The proposed limit for the progressive jackpot, if any.
(5) The calculated probability of winning each progressive jackpot. The probability may not exceed 50 million to 1. Notwithstanding the foregoing, this paragraph does not apply to a jackpot with a probability that may exceed 50 million to 1 during the game cycle due solely to the intervening occurrence of free play awards between the activation of a play and the award of the jackpot.
(g) Progressive meters may not be turned back to a lesser amount unless one of the following occurs:
(1) The amount indicated has been actually paid to a winning patron.
(2) The progressive jackpot amount won by the patron has been recorded in accordance with a system of internal controls approved under § 465.3 (relating to internal control systems and audit protocols).
(3) The progressive jackpot has, with prior Board approval, been transferred to another progressive slot machine or wide area progressive system in accordance with this subpart.
(4) The change is necessitated by a slot machine or meter malfunction, in which case:
(i) For progressive jackpots governed by subsection (b), an explanation shall be entered on the progressive slot summary required by this subpart and the Board shall be notified of the resetting in writing in a manner the Board directs.
(ii) For progressive jackpots governed by subsection (m), an explanation shall be entered on the machine entry authorization log required under this subpart unless the slot machine automatically addresses the malfunction in a manner approved by the Board.
(h) Once an amount appears on a progressive meter, the probability of hitting the combination that will award the progressive jackpot may not be decreased unless the progressive jackpot has been won by a patron or the progressive jackpot has been transferred to another progressive slot machine or wide area progressive system or removed in accordance with subsection (j).
(i) When a progressive slot machine has a progressive meter with digital limitations on the meter, the slot machine licensee shall set a limit on the progressive jackpot not to exceed the display capability of the progressive meter.
(j) A slot machine licensee or, as applicable, a slot system operator, may limit, transfer or terminate a progressive jackpot offered on a gaming floor only in accordance with the following procedures:
(1) Establish a payout limit for a progressive jackpot provided that the payout limit is greater than the then current payout amount on the progressive jackpot meter. The slot machine licensee shall notice the Board, in a manner the Board directs, of the imposition of a payout limit on a progressive meter or a modification thereto concurrent with the setting of the payout limit.
(2) May terminate a progressive jackpot concurrent with the winning of the progressive jackpot provided its slot machine program or progressive controller was configured prior to the winning of the progressive jackpot to establish a fixed reset amount with no progressive increment.
(3) May immediately and permanently remove one or more linked slot machines from a gaming floor, provided that:
(i) When the slot machine is part of a wide area progressive system offered at multiple licensed facilities, the slot machine licensee shall retain at least one linked slot machine offering the same progressive jackpot on its gaming floor.
(ii) When the progressive jackpot is only offered in a single licensed facility, at least two linked slot machines offering the same progressive jackpot must remain on the gaming floor.
(4) May transfer a progressive jackpot amount on a stand alone progressive slot machine or the common progressive jackpot on an entire link of progressive slot machines with a common progressive meter, including a wide area progressive system, from a gaming floor provided the progressive jackpot is:
(i) Transferred in its entirety.
(ii) Transferred to either of the following:
(A) The progressive meter for a progressive slot machine or wide area progressive system with the same or greater probability of winning the progressive jackpot, the same or lower wager requirement to be eligible to win the progressive jackpot, and the same type of progressive jackpot (cash, annuity, annuity/cash option or a combination/alternate jackpot). However, if no other progressive slot machine or wide area progressive system meets all of these qualifications, the Board may authorize a transfer of the jackpot to the progressive meter of the most similar progressive slot machine or wide area progressive system available if the Board finds the transfer would be in the public interest.
(B) The progressive meters of two separate progressive slot machines or wide area progressive systems, provided that each progressive slot machine or wide area progressive system to which the jackpot is transferred individually satisfies the requirements of clause (A).
(iii) Notice of intent to transfer the progressive jackpot is conspicuously displayed on the front of each slot machine for at least 30 days.
(iv) Notice of intent to transfer the progressive jackpot is provided in writing to the Board, in a manner the Board directs, at least 30 days prior to the transfer of the progressive jackpot.
(5) May immediately and permanently remove a progressive jackpot on a stand alone progressive slot machine, the common progressive jackpot on an entire link of progressive slot machines with a common progressive meter or an entire wide area progressive system from a gaming floor provided notice of intent to remove the progressive jackpot is:
(i) Conspicuously displayed on the front of each slot machine for at least 30 days.
(ii) Provided in writing to the Board, in a manner the Board directs, at least 30 days prior to the removal of the progressive jackpot.
(k) The amount indicated on the progressive meter or meters and coin in meter on each slot machine governed by subsection (b) shall be recorded on a progressive slot summary report at least once every 7 calendar days and each report shall be signed by the preparer. If not prepared by the slot accounting department, the progressive slot summary report shall be forwarded to the slot accounting department by the end of the gaming day on which it is prepared. A representative of the slot accounting department shall be responsible for calculating the correct amount that should appear on a progressive meter. If an adjustment to the progressive meters is necessary, the adjustment shall be made by a member of the slot operations department as follows:
(1) Supporting documentation shall be maintained to explain any addition or reduction in the registered amount on the progressive meter. The documentation must include the date, asset number of the slot machine, the amount of the adjustment and the signatures of the slot accounting department member requesting the adjustment and of the slot operations department member making the adjustment.
(2) The adjustment shall be effectuated within 48 hours of the meter reading.
(l) Except as otherwise authorized by this section, a slot machine offering a progressive jackpot that is removed from the gaming floor shall be returned to or replaced on the gaming floor within 5 gaming days. The amount on the progressive meters on the returned or replacement machine may not be less than the amount on the progressive meters at the time of removal. If the slot machine is not returned or replaced, any progressive meter amount at the time of removal shall, within 5 days of the slot machine's removal, be added to a slot machine approved by the Board which slot machine offers the same or a greater probability of winning the progressive jackpot and requires the same wager or less than the wager required to win the progressive jackpot on the slot machine that was removed. This subsection does not apply to the temporary removal by a slot machine licensee, for a period not to exceed 30 days, of all linked slot machines that are part of a particular wide area progressive system, provided that the progressive jackpot offered by the temporarily removed slot machines remains available on slot machines that are part of the same wide area progressive system in another licensed facility.
(m) Each slot machine that offers a progressive jackpot controlled by a slot machine program with a fixed initial and reset amount, rate of progression and progressive jackpot limit which cannot be changed by the slot machine licensee must limit the progressive jackpot to an amount which is less than $1,200.
(n) A progressive jackpot governed by subsection (m) is not subject to subsections (j)(4), (k) or (l).
(o) Where a slot machine is located adjacent to any linked progressive slot machine, the slot machine licensee shall conspicuously display on the slot machine a notice advising patrons that the slot machine is not participating in the progressive jackpot of the adjacent link.
(p) The Board may waive one or more of the requirements of this section or technical standards applicable to progressive slot machines adopted by the Board upon a determination that the progressive slot machine or wide area progressive slot system as configured meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
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[Continued from previous Web Page] § 461.13. Wide area progressive systems.
(a) Two or more slot machine licensees may, with the prior written approval of the Board, operate linked progressive slot machines that are interconnected between participating licensed facilities. The slot machines participating in the link shall be collectively referred to as a wide area progressive system.
(b) A wide area progressive system shall at all times be installed and operated in accordance with the relevant requirements of the act, this subpart and technical standards adopted by the Board.
(c) Each wide area progressive system shall be operated and administered by participating slot machine licensees in accordance with the terms and conditions of a written agreement executed by the participating slot machine licensees and approved by the Board. The agreement shall be referred to as a slot system agreement. Slot system agreements must be approved in writing by the Board prior to implementation and comply with the act, this subpart and technical standards on wide area progressive systems adopted by the Board.
(d) Nothing herein prevents the slot machine licensees participating in a slot system agreement from delegating, in whole or in part, the operation and administration of a wide area progressive system to a licensed manufacturer provided that the slot system agreement is executed by the licensed manufacturer and its express terms are determined by the Board to be in compliance with the act, this subpart and technical standards on wide area progressive systems adopted by the Board. The person or persons designated in a slot system agreement as being responsible for the operation and administration of a wide area progressive system shall be referred to as the slot system operator.
(e) An agreement between a licensed manufacturer and a slot machine licensee under which a licensed manufacturer sells, leases or services a wide area progressive system will not constitute a slot service agreement unless the agreement also covers operation and administration of the wide area progressive system.
(f) Slot system agreements must address:
(1) Details with regard to the terms of compensation for the slot system operator. In specific, the agreement must address to what extent, if any, the slot system operator is receiving compensation based, directly or indirectly, on an interest, percentage or share of a slot machine licensee's revenue, profits or earnings from the operation of the wide area progressive system
(2) Responsibility for the funding and payment of all jackpots, fees and gross terminal revenue taxes associated with the operation of the wide area progressive system.
(3) Control and operation of the computer monitoring room required under this subpart.
(4) Other requirements requested by the Board, including those required to comply with technical standards on wide area progressive systems adopted by the Board.
(g) Each wide area progressive system shall be controlled and operated from a computer monitoring room approved by the Board. The computer monitoring room must:
(1) Be under the sole possession and control of, and maintained and operated by, employees of the slot system operator designated in the slot system agreement for that system. The employees shall be licensed or permitted as the Board deems appropriate based on an analysis of specific duties and responsibilities.
(2) Have its monitoring equipment subjected to surveillance coverage either by the surveillance system of a slot machine licensee participating in the slot system agreement or by a dedicated surveillance system maintained by the slot system operator. Surveillance coverage must be in accordance with technical standards adopted by the Board.
(3) Be accessible through a locked door. The door must be alarmed in a manner that audibly signals the surveillance monitoring room for the surveillance system elected under paragraph (2).
(4) Have a computer monitoring room entry log. The log must be:
(i) Kept in the computer monitoring room.
(ii) Maintained in a book with bound numbered pages that cannot be readily removed.
(iii) Signed by each person entering the computer monitoring room who is not an employee of the slot system operator expressly employed in the computer monitoring room on his assigned shift. Each entry must contain the following:
(A) The date and time of entering and exiting the room.
(B) The name, department or employer, when applicable, license number of the person entering and exiting the room and of the person authorizing the entry.
(C) The reason for entering the computer monitoring room.
(5) Reside within a licensed facility or other location approved by the Board.
(h) The Board may waive one or more of the requirements of this section or technical standard applicable to wide area progressive system adopted by the Board upon a determination that the nonconforming wide area progressive system nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.14. Slot monitoring systems.
(a) A slot monitoring system is the collective hardware, software, communications technology and other ancillary equipment used to collect, monitor, interpret, analyze, authorize, report and audit data with regard to activity at slot machines, inclusive of slot machine meter readings, error conditions, slot machine security, accounting, player tracking and productivity analysis.
(b) A slot monitoring system must comply with the act, this subpart and technical standards on slot monitoring systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a slot monitoring system which has not had any interface between it and slot machines and related systems tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) The Board may waive one or more of the requirements of this section or technical standards applicable to slot monitoring systems adopted by the Board upon a determination that the slot monitoring system as configured nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.15. Casino management systems.
(a) A casino management system is the collective hardware, software, communications technology and other ancillary equipment used to collect, monitor, interpret, analyze, report and audit data with regard to activity at slot machines, inclusive of slot machine level accounting transactions, player tracking and productivity analysis.
(b) A casino management system must comply with the act, this subpart and technical standards on casino management systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a casino management system which has not had any interface between it and slot machines and related systems tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) The Board may waive one or more of the requirements of this section or technical standards applicable to casino management systems adopted by the Board upon a determination that the casino management system as configured nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.16. Player tracking systems.
(a) A player tracking system is the collective hardware, software, communications technology and other ancillary equipment used to collect, monitor, interpret, analyze, authorize, report and audit data with regard to player activity at slot machines. Player activity may be tracked generally or on an individual player basis.
(b) A player tracking system must comply with the act, this subpart and technical standards on player tracking systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a player tracking system which has not had any interface between it and slot machines and related systems tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) The Board may waive one or more of the requirements of this section or technical standards applicable to player tracking systems adopted by the Board upon a determination that the player tracking system as configured nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.17. External bonusing systems.
(a) An external bonusing system is the collective hardware, software, communications technology and other ancillary equipment used in conjunction with slot machines to deliver randomly selected player incentives (bonus awards) to active slot machine players and to effect the accurate metering of the bonus award event on the slot machine.
(b) The combination of the slot machine theoretical payout percentage plus the bonus awards generated by an external bonusing system cannot equal or exceed 100% of the theoretical payout for a slot machine on which the external bonus award is available.
(c) A slot machine must satisfy the minimum theoretical payout percentage required under this subpart without the contribution of any external bonus award available on the slot machine.
(d) An external bonusing system must comply with the act, this subpart and technical standards on external bonusing systems adopted by the Board.
(e) A slot machine licensee is prohibited from utilizing an external bonusing system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(f) The Board may waive one or more of the requirement of this section or technical standards applicable to external bonusing systems adopted by the Board upon a determination that the external bonusing system as configured nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.18. Cashless funds transfer systems.
(a) A cashless funds transfer system is the collective hardware, software, communications technology and other ancillary equipment used to facilitate the electronic transfer of cashable or noncashable credits to a patron at a slot machine in connection with a promotional program.
(b) A cashless funds transfer system must comply with the act, this subpart and technical standards on cashless funds transfer systems adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a cashless funds transfer system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) Prior to utilizing a cashless funds transfer system, each slot machine licensee shall establish a system of internal controls applicable to the cashless funds transfer system. The internal controls shall be submitted to and approved by the Board under § 465.3 (relating to internal control systems and audit protocols). The internal control procedures submitted by the slot machine licensee must address the integrity, security and control of its cashless funds transfer system and include the following:
(1) An overview of the system design.
(2) System access controls and restrictions.
(3) Override policies and restrictions.
(6) Backup and recovery procedures.
(7) Logical and physical access controls and restrictions.
(8) Network security.
(9) Procedures for handling customer disputes.
(e) Each transfer of electronic credits to a slot machine under this section shall be initiated by a patron using an access control approved by the Board. Access controls must require the use of a unique access code for each patron. The access code shall be selected by and only available to the patron.
(f) A record of each transfer of electronic credits to a slot machine under this section shall be maintained by the slot machine licensee and be identified by, at a minimum, the date, time and the asset number of the slot machine to which the transfer occurred and an identification number assigned to the patron who initiated the transaction. The identification number assigned to each patron for the purposes of this section must be different from the unique access code selected by that patron as part of an access control.
(g) On at least a monthly basis, each slot machine licensee using a cashless funds transfer system shall provide a statement to each patron who has participated in the system that month. The statement must include, at a minimum, the patron's beginning monthly balance, credits earned, credits transferred to a slot machine under this section and the patron's monthly ending balance. With the written authorization of the patron, the mailing of a monthly statement may be omitted or be issued electronically to the patron. Notwithstanding the foregoing, a monthly statement is not required for transfers of temporary electronic credits or transfers of electronic credits from a temporary anonymous account.
(h) A slot machine licensee shall notice the Board's Slot Lab in writing of any adjustment to the amount of any credit transferred to a slot machine by means of a cashless funds transfer system. The notice shall be made on or before the date of adjustment.
(i) The Board may waive one or more of the requirements of this section or technical standards applicable to cashless funds transfer systems adopted by the Board upon a determination that the nonconforming cashless funds transfer system nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.19. Remote system access.
(a) In emergency situations or as an element of technical support, an employee of a licensed manufacturer may perform analysis of, or render technical support with regard to, a slot machine licensee's slot monitoring system, casino management system, player tracking system, external bonusing system, cashless funds transfer system, wide area progressive system, gaming voucher system or other Board approved system from a remote location.
(b) Remote system access shall be performed in accordance with any technical standards on remote system access adopted by the Board.
(c) A slot machine licensee authorizing access to a system by a licensed manufacturer under this section shall be responsible for implementing a system of access protocols and other controls over the physical integrity of any system and any remote access process sufficient to insure appropriately limited access to software and the system wide reliability of data.
§ 461.20. Server supported slot systems.
(a) The following terms, when used in this section, have the following meanings, unless the context clearly indicates otherwise:
Server supported slot machine--A slot machine connected to, and administered by, a server supported slot system.
Slot machine server--A computer configured to receive, store, authenticate and download to server supported slot machines Board-approved slot machine games and other approved software. A slot machine server may also be used to effect changes in a server supported slot machine's configuration.
Server supported slot system--A system comprised of one or more server supported slot machines connected to a slot machine server and its ancillary computer network for the ultimate purpose of downloading Board-approved slot machine games and other approved software to server supported slot machines. Results from the play or operation of a server supported slot machine connected to a server supported slot system must be determined solely by the individual slot machine and not by the slot machine server or other ancillary computer network.
(b) A server supported slot system, and server supported slot machines to which it is connected, must comply with the act, this subpart and technical standards on server supported slot systems, slot machine servers and server supported slot machines adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a server supported slot system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) Prior to utilizing a server supported slot system, each slot machine licensee shall establish a system of internal controls applicable to a server supported slot system. The internal controls shall be submitted to and approved by the Board under § 465.3 (relating to internal control systems and audit protocols). The internal control procedures submitted by the slot machine licensee must address the integrity, security and control of its server supported slot system.
(e) The Board may waive one or more of the requirements of this section or technical standards applicable to server supported slot systems, slot machine servers and server supported slot machines adopted by the Board upon a determination that the nonconforming server supported slot system, slot machine server or server supported slot machine nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
§ 461.21. Server based slot systems.
(a) The following terms, when used in this section, have the following meanings, unless the context clearly indicates otherwise:
Server based slot machine--A slot machine accessing a server based slot system.
Slot machine server--A computer configured to receive, store and authenticate Board-approved slot machine games and other approved software.
Server based slot system--A system comprised of one or more server based slot machines connected to a slot machine server and its ancillary computer network for the ultimate purpose of facilitating access by a server based slot machine to Board-approved slot machine games and other approved software residing on the slot machine server. Results from the play or operation of a server based slot machine must be determined solely by the slot machine server and not by the individual slot machine.
(b) A server based slot system, and any server based slot machines accessing the system, must comply with the act, this subpart and technical standards on server based slot systems, slot machine servers and server based slot machines adopted by the Board.
(c) A slot machine licensee is prohibited from utilizing a server based slot system which has not been tested and approved by the Board under § 461.4 (relating to submission for testing and approval).
(d) Prior to utilizing a server based slot system, each slot machine licensee shall establish a system of internal controls applicable to a server based slot system. The internal controls shall be submitted to and approved by the Board under § 465.3 (relating to internal control systems and audit protocols). The internal control procedures submitted by the slot machine licensee must address the integrity, security and control of its server based slot system.
(e) The Board may waive one or more of the requirements of this section or technical standards applicable to server based slot systems, slot machine servers and server based slot machines adopted by the Board upon a determination that the nonconforming server based slot system, slot machine server or server based slot machine nonetheless meets the operational integrity requirements of the act, this subpart and technical standards adopted by the Board.
CHAPTER 465. ACCOUNTING AND INTERNAL CONTROLS § 465.12. Slot machine licensee's organization.
(a) Each slot machine licensee's system of internal controls must, in accordance with section 1322 of the act (relating to slot machine accounting controls and audits) and § 465.3 (relating to internal control systems and audit protocols), include organization charts depicting appropriate segregation of functions and responsibilities and descriptions of the duties and responsibilities for each position shown on each organization chart. Each slot machine licensee shall be permitted, except as otherwise provided in this section, to tailor its organizational structure to meet the needs or policies of its own particular management philosophy. The proposed organizational structure of each slot machine licensee shall be approved by the Board in the absence of a conflict between the organizational structure and the following criteria. The criteria are designed to maintain the integrity of the slot machine operation. Each slot machine licensee's organization charts must provide for:
(1) A system of personnel and chain of command which permits management and supervisory personnel to be held accountable for actions or omissions within their areas of responsibility.
(2) The segregation of incompatible functions, duties and responsibilities so that no employee is in a position both to commit an error or to perpetrate a fraud and to conceal the error or fraud in the normal course of his or her duties.
(3) The performance of all functions, duties and responsibilities in accordance with sound financial practices by competent, qualified personnel.
(4) The areas of responsibility which are not so extensive as to be impractical for one person to monitor.
(5) A chief executive officer. For the purposes of this section, a chief executive officer means the person located at the licensed facility who is ultimately responsible for the daily conduct of the slot machine licensee's gaming business, including the direct or indirect supervisor of the departments required by subsection (b), regardless of the form of business association of the slot machine licensee or applicant or the particular title which that person or any other person holds. The slot machine licensee's organization charts must designate which positions, in the absence of the chief executive officer, shall be designated as having responsibility for the daily conduct of the slot machine licensee's gaming business.
(b) In addition to satisfying the requirements of subsection (a), each slot machine licensee's system of internal controls must include, at a minimum, the following departments and supervisory positions, each of which shall be categorized as mandatory and cooperate with, yet perform independently of, all other mandatory departments and supervisory positions of the slot machine licensee. Notwithstanding the foregoing, a department or supervisor of a slot machine licensee that is not required or authorized by this section may operate under or in conjunction with a mandatory department or supervisor provided the organizational structure is consistent with the standards contained within the act and subsection (a). Mandatory departments and supervisory positions are as follows:
(1) A surveillance department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the director of surveillance. The director of surveillance shall be subject to the reporting requirements specified in subsection (c) and shall be licensed as a key employee. The surveillance department shall be responsible for the following:
(i) The clandestine surveillance of the operation of, and gaming conducted at, slot machines.
(ii) The clandestine surveillance of the operation of automated bill breaker, gaming voucher, coupon redemption and jackpot payout machines.
(iii) The clandestine surveillance of the operation of the cashiers' cage and any satellite cage.
(iv) The audio and video recording of activities in the count room in conformance with 18 Pa.C.S. §§ 5701--5781 (relating to Wiretapping and Electronic Surveillance Control Act), and the video recording of movements of cash and slot cash storage boxes.
(v) The detection of cheating, theft, embezzlement and other illegal activities within the licensed facility.
(vi) The detection of the presence of any person who is required to be excluded or ejected from the licensed facility under section 1514 of the act (relating to regulation requiring exclusion of certain persons), who may be excluded or ejected from the licensed facility under section 1515 of the act (relating to repeat offenders excludable from the gaming floor and licensed gaming facilities) or is self excluded from the gaming floor and gaming activities at all licensed facilities under section 1516 of the act (relating to list of persons self-excluded from gaming activities).
(vii) The video recording of those locations, persons, ac- tivities or transactions required under § 465.10(e) (relating to surveillance system; surveillance department control; surveillance department restrictions) and of any illegal and unusual activities monitored by the surveillance department.
(viii) The provision of immediate notice to appropriate supervisors, the Bureau and the Pennsylvania State Police upon detecting, and also upon commencing video recording of, any person who is engaging in or attempting to engage in, or who is reasonably suspected of cheating, theft, embezzlement or other illegal activities, including any person who is required to be excluded or ejected from the licensed facility under section 1514 of the act, who may be excluded or ejected from the licensed facility under section 1515 of the act or is self excluded from the gaming floor and gaming activities at all licensed facilities under section 1516 of the act.
(ix) The clandestine surveillance of any slot computer system or equipment designated for coverage by the Board in conjunction with the approval of a slot machine system, including a slot monitoring system, casino management system, wide area progressive system, gaming voucher system and any communication equipment with the central control computer.
(2) An internal audit department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the director of internal audit. The director of internal audit shall be subject to the reporting requirements specified in subsection (c) and shall be licensed as a key employee.
(3) An information technology department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the information technology director. The information technology director shall be licensed as a key employee and be responsible for the quality, reliability and accuracy of the slot computer systems used by the slot machine licensee regardless of whether data, software or systems are located within or outside the licensed facility. The information technology director shall further be responsible for the security and physical integrity of, and the accountability and maintenance of, the following:
(i) Access codes and other security controls used to insure appropriately limited access to computer software and the system wide reliability of data.
(ii) Computer tapes, disks or other electronic storage media containing data relevant to the slot machine licensee's operations.
(iii) Computer hardware, communications equipment and software used in the conduct of the slot machine licensee's operations.
(iv) The computerized slot monitoring system utilized by the slot machine licensee. Specifically, the information technology director shall ensure that:
(A) Each slot machine located on the gaming floor is connected electronically to the slot machine licensee's computerized slot monitoring system and to the Commonwealth's central control computer in accordance with section 1323 (relating to central control computer system).
(B) The security features of the computerized slot monitoring system prohibit, at a minimum, the deletion, creation or modification of any data unless a permanent record is created that sets forth:
(I) The original information.
(II) Any modification to the original information.
(III) The identity of the employee making the modification.
(VI) If applicable, the identity of each employee authorizing the modification.
(C) Any computerized jackpot payout system utilized by the slot machine licensee is configured to require that any modification of $100 or more to the original amount recorded on a computerized jackpot payout or system override is authorized by two slot accounting department employees, one of whom is in a position of greater authority than the individual preparing the jackpot payout.
(D) Procedures and controls are in place that define and limit interaction between both the slot operations department and slot accounting department and the computerized slot monitoring system including access to system menus, the establishment of slot machine profile parameters, and the ability of each department to access, delete, create or modify information contained in the slot monitoring system.
(4) A slot operations department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the director of slot operations. The director of slot operations shall be licensed as a key employee and be responsible for the operation of, and conduct of gaming at, slot machines within the licensed facility.
(5) A security department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the director of security. The security department shall be licensed as a key employee and be responsible for the overall security of the licensed facility including the following:
(i) The physical safety of natural persons.
(ii) The physical safeguarding of assets.
(iii) The protection of the property of both the patron and the slot machine licensee from illegal activity.
(iv) In collaboration with the human resources department or its functional equivalent, the design, implementation and enforcement of a system for the issuance of access badges.
(v) The design, implementation and enforcement of a system for the issuance of temporary access credentials.
(vi) The recording of any unusual incidents within the licensed facility in which the security department is involved. Each incident shall be recorded by security department personnel in a book with bound numbered pages that cannot be readily removed or be maintained in an electronic format that the Board approves. The log shall be stored and retained in accordance with § 465.7 (relating to retention, storage and destruction of books, records and documents). The following information shall be recorded:
(1) The assignment number.
(2) The date and time.
(3) The nature of the incident.
(4) The persons involved in the incident.
(5) The security department employees assigned to cover the incident.
(vii) The identification and removal of any person who is required to be excluded or ejected from the licensed facility under section 1514 of the act, who may be excluded or ejected from the licensed facility under section 1515 of the act or is self excluded from the gaming floor and gaming activities at all licensed facilities under section 1516 of the act.
(viii) The performance of all duties and responsibilities required under the system of internal controls submitted and approved under § 465.3.
(ix) Providing immediate notice to the Pennsylvania State Police upon detecting the presence in the licensed facility of a person possessing a firearm or handgun in violation of § 465.14 (relating to firearms; possession within a licensed facility).
(6) A slot accounting department supervised by a person located at the licensed facility who functions, for regulatory purposes, as the director of slot accounting. The director of slot accounting shall be licensed as a key employee and be responsible for all slot accounting functions including the preparation and control of records and data, the control of stored data, the control of unused forms, the accounting for and comparison of operational data and forms, and the control and supervision of the cashiers' cage, any satellite cage and the count room. In addition to the requirement that the director of slot accounting be licensed as a key employee, the supervisor of the cashiers' cage shall, on all shifts, be licensed as a key employee.
(c) The supervisors of the surveillance and internal audit departments required by subsection (b) shall comply with the following reporting requirements:
(1) Each supervisor shall report directly to the chief executive officer of the slot machine licensee regarding administrative matters and daily operations. However, a slot machine licensee may allow each of these supervisors to report directly to a management executive of the licensee other than the chief executive officer if that executive reports directly to the chief executive officer.
(2) Each supervisor shall report directly to one of the following persons or entities regarding matters of policy, purpose, responsibility and authority, which persons or entities shall also control the hiring, termination and salary of each supervisor:
(i) The independent audit committee of the slot machine licensee's board of directors.
(ii) The independent audit committee of the board of directors of any holding or intermediary company of the slot machine licensee which has authority to direct the operations of the slot machine licensee.
(iii) The senior surveillance or internal audit executives of any holding or intermediate company included in subparagraph (ii) if the most senior executive in the reporting line reports directly to the independent audit committee of the board of directors of the holding or intermediary company.
(iv) For slot machine licensees or holding companies which are not corporate entities, the noncorporate equivalent of any of the persons or entities listed in subparagraphs (i)--(iii).
(d) The slot machine licensee's personnel shall be trained in all policies, procedures and internal controls relevant to each employee's individual function. Special instructional programs shall be developed by the slot machine licensee in addition to any on-the-job instruction sufficient to enable all members of the departments required by this section to be thoroughly conversant in, and knowledgeable of, the required manner of performance of all transactions relating to their functions.
(e) Notwithstanding any other provision to the contrary, a slot machine licensee may, with the prior approval of the Board, designate and assign more than one person to serve jointly as the supervisor of a department required by this section. Each person approved to serve as a joint supervisor of such a department shall be located at the licensed facility and shall be individually and jointly accountable and responsible for the operations of that department.
(f) In the event of a vacancy in the chief executive officer position or any mandatory department supervisory position required by subsection (b), the following apply:
(1) The slot machine licensee shall notify the Board within 5 days from the date of vacancy. The notice must be in writing and indicate the following information:
(i) The vacant position.
(ii) The date on which the position became vacant.
(iii) The date on which it is anticipated that the vacancy will be filled on a permanent basis.
(2) The slot machine licensee shall designate a person to assume the duties and responsibilities of the vacant position within 30 days after the date of vacancy. The person may assume the duties and responsibilities of the vacant position on a temporary basis, provided that:
(i) The person does not also function as the department supervisor for any other mandatory department required by this section.
(ii) The person's areas of responsibility will not be so extensive as to be impractical for one person to monitor.
(iii) The position shall be filled on a permanent basis within 120 days of the original date of vacancy.
(3) Within 5 days of filling any vacancy under paragraph (2), the slot machine licensee shall notify the Board thereof. The notice must be in writing and indicate the following:
(i) The position.
(ii) The name of the person designated.
(iii) The date that the vacancy was filled.
(iv) An indication of whether the position has been filled on a temporary or permanent basis.
(4) The notices required by this subsection shall be directed to the Board's Bureau of Licensing.
§ 465.13. Access badges and temporary access credentials.
(a) Each slot machine licensee shall establish procedures, in writing, for readily and effectively identifying each person permitted, during the normal course of performing his duties, to have access to one or more restricted areas within the licensed facility.
(1) The procedures must include the requirement that persons wear, in a visible location, an access badge.
(2) The procedures must also include a methodology for updating the access badge procedures to reflect changes and amendments in the slot machine licensee's table of organization and the positions approved with respect thereto.
(3) The procedures must further include provisions expressly addressing access by employees of licensed manufacturers, licensed suppliers and registered and certified vendors.
(b) Each slot machine licensee shall also establish procedures, in writing, for readily and effectively identifying each person permitted, under temporary or emergency circumstances, to have access to one or more restricted areas within the licensed facility.
(1) The procedures must include the requirement that the persons wear, in a visible location, a temporary access credential.
(2) The procedures must also include a methodology for updating the temporary access credential procedures to reflect changes and amendments in the slot machine licensee's table of organization and the positions approved with respect thereto.
(3) The procedures must further include provisions expressly addressing temporary or emergency access by licensed manufacturers, licensed suppliers and registered and certified vendors.
(c) The procedures required in subsection (a) are to be designed, implemented and enforced by the security department in collaboration with the human resources department or its functional equivalent. The procedures in subsection (b) are to be designed, implemented and enforced by the security department. Procedures addressing both access badges and temporary credentials shall be retained in the security department and shall be made immediately available to the Board and the Pennsylvania State Police upon request. The slot machine licensee shall cooperate with the Board in making amendments to its procedures to improve the effectiveness of its access badge and temporary credential systems.
§ 465.14. Firearms; possession within a licensed facility.
(a) Individuals, including security department personnel, are prohibited from possessing any firearm or handgun within a licensed facility without the express written approval of the Board, in accordance with the authorization procedures as the Board determines, notwithstanding the following general prohibitions:
(1) Pennsylvania State Police assigned to its Gaming Enforcement Office may possess a firearm or handgun within the licensed facility.
(2) An on duty officer or agent of any local, State or Federal law enforcement agency having primary jurisdiction over the licensed facility may possess a firearm or handgun in all areas of the licensed facility except the gaming floor or restricted areas servicing the slot operations where that officer or agent is acting in his official capacity. Officers or agents possessing firearms or handguns within a licensed facility under this section shall notify the Board and the Pennsylvania State Police Gaming Enforcement Office of their presence in the licensed facility. Notification shall be made immediately upon entry into the licensed facility or prior to arrival at the licensed facility, if feasible. Notification is not required if exigent circumstances exist.
(b) A slot machine licensee may not employ off duty law enforcement officers to provide security related services on the gaming floor, in restricted areas within the licensed facility or in any manner in connection with the conduct of slot machine operations.
(c) To obtain approval for the possession of a firearm or handgun within a licensed facility, an individual shall be required to demonstrate to the Board that the individual:
(1) Has received an adequate course of training in the possession and use of the firearm or handgun.
(2) Is the holder of a valid license for the possession of the firearm or handgun.
(3) Has a compelling need for the possession of the firearm or handgun within the licensed facility.
(d) Each slot machine licensee shall cause to be posted in a conspicuous location at each entrance to the licensed facility signs that may be easily read stating: The possession by any person of any firearm or handgun within this licensed facility without the express written permission of the Pennsylvania Gaming Control Board is prohibited.
§ 465.15. Security department minimum staffing.
In accordance with § 465.3(d)(5) (relating to internal control systems and audit protocols), each slot machine licensee shall be required to submit, for Board approval, a minimum staffing submission with regard to its security department. The minimum staffing submission must consider the size and layout of the licensed facility as well as the number and configuration of slot machines on the gaming floor and must at all times provide for adequate and effective security of the gaming floor and any restricted areas servicing the gaming operation.
§ 465.16. Cashiers' cage.
(a) Each establishment shall have on, immediately adjacent or reasonably proximate to the gaming floor, a physical structure known as a cashiers' cage to house the cashiers and to serve as the central location in the licensed facility for:
(1) The custody of the cage inventory comprised of cash (currency or coin) and the forms, documents, and records normally associated with the operation of a slot cage.
(2) The initial financial consolidation of all transactions relating to slot machine activity.
(3) Other functions normally associated with the operation of a cashiers' cage.
(b) The cashiers' cage must be designed and constructed to provide maximum security for the materials housed therein and the activities performed therein. The design and construction must include:
(1) Manually triggered silent alarm systems located at the cashiers' window, vault and in any ancillary office space adjacent or proximate thereto. The systems must be connected directly to the monitoring room of the surveillance department and to the security department.
(2) A double door entry and exit system that will not permit a person to pass through the second door until the first door is securely locked. In addition, the following apply:
(i) The first door leading from the gaming floor of the double door entry and exit system must be controlled by the security department, the surveillance department or, in the alternative, a Board-approved computerized access system designed and administered to provide a functionally equivalent level of security. The second door of the double door entry and exit system must be controlled by the cashiers' cage.
(ii) The system must have surveillance coverage which shall be monitored by the surveillance department.
(iii) Any entrance to the cashiers' cage that is not a double door entry and exit system shall be an alarmed emergency exit door only.
(3) Separate manual locks on each door of the double door entry and exit system, the keys to which shall be different from each other.
(c) Each establishment may also have one or more satellite cages separate and apart from the cashiers' cage, established to maximize security, efficient operations or patron convenience. A satellite cage may perform any of the functions of the cashiers' cage and must be equipped with an alarm system in compliance with subsection (b)(1). The functions which are conducted in a satellite cage shall be subject to the accounting controls applicable to a cashiers' cage set forth in this subpart.
(d) Each slot machine licensee shall maintain immediately available to the Board and the Pennsylvania State Police a current list, with license numbers, of all persons possessing the combination or keys to the locks securing the double door entry and exit system restricting access to the cashiers' cage and any satellite cage and the vault as well as a list of all persons possessing the ability to activate or deactivate alarm systems for the cashiers' cage, any satellite cage and vault.
§ 465.17. Accounting controls for the cashiers' cage.
(a) The assets for which slot cashiers are responsible shall be maintained on an imprest basis. At the end of each shift, slot cashiers assigned to the outgoing shift shall record on a cashiers' count sheet the face value of each cage inventory item counted and the total of the opening and closing cage inventories and shall reconcile the total closing inventory with the total opening inventory. Each cashiers' count sheet shall be signed by the preparing cashier attesting to the accuracy of the information thereon.
(b) At the opening of every shift, in addition to the imprest funds normally maintained by slot cashiers, each slot machine licensee shall have on hand in the cashiers' cage or readily available thereto, a reserve cash bankroll adequately funded to pay winning patrons.
(c) The cashiers' cage and any satellite cage shall be physically segregated by personnel and function as follows:
(1) Slot cashiers shall operate with individual imprest inventories of cash and their functions include the following:
(i) The receipt of cash and cash equivalents from patrons in exchange for cash.
(ii) The receipt of personal checks for gaming and nongaming purposes from patrons in exchange for cash, subject to limitations on the amount required by the Board.
(iii) The receipt of cash, cash equivalents, checks issued by the slot machine licensee, annuity jackpot checks, wire transfers and cashless funds transfers from patrons to establish a customer deposit.
(iv) The receipt of customer deposit forms from patrons in exchange for cash.
(v) The preparation of jackpot payout slips in accordance with this subpart and technical standards adopted by the Board.
(vi) The receipt of gaming vouchers from patrons, or from authorized employees who received gaming vouchers as gratuities, in exchange for cash.
(vii) The issuance, receipt and reconciliation of imprest funds used by slot attendants, including an imprest change/pouch payout fund.
(viii) The issuance of cash to automated bill breaker, gaming voucher, coupon redemption and jackpot payout machines in exchange for proper documentation.
(2) Main bank cashier functions include the following:
(i) The receipt of cash, cash equivalents, gaming vouchers, jackpot payout slips and personal checks received for gaming and nongaming purposes from slot cashiers in exchange for cash.
(ii) The receipt of cash from the count rooms.
(iii) The receipt of personal checks accepted for gaming and nongaming purposes from slot cashiers for deposit.
(iv) The preparation of the overall cage reconciliation and accounting records.
(v) The preparation of the daily bank deposit for cash, cash equivalents and personal checks.
(vi) The issuance, receipt and reconciliation of imprest funds used by slot attendants.
(vii) The receipt from slot cashiers of documentation with signatures thereon, required to be prepared for the effective segregation of functions in the cashiers' cage.
(viii) The responsibility for the reserve cash bankroll.
(ix) The receipt of unsecured currency and unsecured gaming vouchers and preparation of reports thereon.
(d) At the end of each gaming day a copy of the cashiers' count sheets and related documentation shall be forwarded to the accounting department for agreement of opening and closing inventories, agreement of amounts thereon to other forms, records and documents required by this subpart and recording of transactions.
§ 465.18. Bill validators and slot cash storage boxes.
(a) Each slot machine shall be equipped with a bill validator configured to accept any combination of currency, gaming vouchers, coupons and other instruments authorized by the Board for incrementing credits on a slot machine.
(b) Access to the bill validator shall be controlled by at least one lock, the key to which shall be controlled by the slot operations department.
(c) Each bill validator in a slot machine shall have contained in it a secure tamper resistant container known as a slot cash storage box in which shall be deposited all currency, gaming vouchers, coupons and Board-approved instruments inserted into the bill validator.
(d) The slot cash storage box shall be secured to the bill validator by two separate locks, the keys to which shall be different from each other, one of which may be the lock to the belly door or main door of the slot machine and a second of which is the lock on the release mechanism on the slot cash storage box. The key to the belly door or main door of the slot machine shall be maintained and controlled by the slot operations department. The key to the lock securing the release mechanism on the slot cash storage box shall be maintained and controlled by the security department. The security department shall establish a sign-out and sign-in procedure with regard to this key which includes documentation of this transfer.
(e) Each slot cash storage box must:
(1) Have at least one lock securing the contents of the slot cash storage box, the key to which shall be maintained and controlled by the slot accounting department.
(2) Have a slot opening through which currency, gaming vouchers and coupons can be inserted into the slot cash storage box.
(3) Have a mechanical arrangement or device that prohibits removal of currency, gaming vouchers and coupons from the slot opening whenever the slot cash storage box is removed from the bill validator.
(4) Be fully enclosed, except for openings that may be required for the operation of the bill validator or the slot cash storage box. However, the location and size of the openings may not affect the security of the slot cash storage box, its contents or the bill validator, and shall be approved by the Board.
(5) Have an asset number that is permanently imprinted, affixed or impressed on the outside of the slot cash storage box which corresponds to the asset number of the slot machine to which the bill validator has been attached. In lieu of the asset number, a slot machine licensee may develop and maintain, with prior Board approval, a system for assigning a unique identification number to its slot cash storage boxes. The system must ensure that each slot cash storage box can readily be identified, either manually or by computer, when in use with, attached to, and removed from a particular bill validator. Each unique identification number must be permanently imprinted, affixed or impressed on the outside of each slot cash storage box that does not otherwise bear an asset number. The asset number or unique identification number must be conspicuous and clearly visible to persons involved in removing or replacing the slot cash storage box in the bill validator and through the slot machine licensee's surveillance system. Notwithstanding the foregoing, emergency slot cash storage boxes may be maintained without the unique numbers, provided the word emergency is permanently imprinted, affixed or impressed thereon, and when put into use, are temporarily marked with the asset number of the slot machine to which the bill validator is attached.
(6) Be designed and installed in a manner that renders the slot machine inoperable in the event of the removal or absence of the slot cash storage box.
§ 465.19. Transportation of slot cash storage boxes to and from bill validators; storage.
(a) Each slot machine licensee shall place on file with the Board, in the manner prescribed by the Board, a schedule setting forth the specific times at which slot cash storage boxes will be brought to or removed from the bill validators along with specifications as to what areas of the gaming floor will be dropped on each pick-up day and the specific transportation route to be utilized from the gaming floor to the count room. Each slot machine licensee shall also maintain immediately available to the Board and the Pennsylvania State Police, a current list, with license numbers, of the employees participating in the transportation of slot cash storage boxes. Any deviation from the schedule setting forth the specific times at which slot cash storage boxes will be brought to or removed from the bill validators, a change in the areas to be dropped or the transportation route to the count room shall be noticed to the Board in advance in a manner prescribed by the Board.
(b) Slot cash storage boxes removed from bill validators shall be transported directly to, and secured in, the count room or a trolley storage area located immediately adjacent thereto, configured and secured in a manner approved by the Board, by a minimum of three employees, at least one of which is a member of the security department and at least one of which is a member of the slot accounting department.
(1) Upon its removal from a bill validator, a slot cash storage box shall be placed immediately in an enclosed trolley which is secured by two separately keyed locks. The key to one lock shall be maintained and controlled by the slot accounting department. The key to the second lock shall be maintained and controlled by the security department. Access to the security department's key shall be controlled, at a minimum, by a sign-out and sign-in procedure. The security department key shall be returned to its secure location immediately upon the completion of the collection and transportation of the slot cash storage boxes.
(2) Prior to the movement of any trolley containing slot cash storage boxes from the gaming floor into the count room, the drop team supervisor shall verify that the number of slot cash storage boxes being transported from the gaming floor equals the number of slot cash storage boxes scheduled to be collected that day.
(3) A slot cash storage box being replaced by an emergency slot cash storage box shall be transported to, and secured in, the count room by a minimum of three employees, at least one of which is a member of the slot accounting department and at least one of which is a member of the security department.
(c) Slot cash storage boxes not contained in a bill validator, including emergency slot cash storage boxes which are not actively in use, shall be stored in the count room or other secure area outside the count room approved by the Board, in an enclosed storage cabinet or trolley and secured in the cabinet or trolley by a separately keyed, double locking system. The key to one lock shall be maintained and controlled by the slot accounting department and the key to the second lock shall be maintained and controlled by a security department. Access to the security department's key shall be limited to a supervisor of that department.
(d) Notwithstanding subsection (b), the security department may, immediately prior to the commencement of the count process, issue its key to the storage cabinet or trolley to a count room supervisor for the purpose of allowing count room personnel to gain access to the slot cash storage boxes to be counted. Any key transferred from the custody of the security department to the count room supervisor shall be returned immediately following the conclusion of the count of the slot cash storage boxes and the return of any empty emergency drop boxes and slot cash storage boxes to their respective storage cabinet or trolley by the count room supervisor. The security department shall establish a sign-out and sign-in procedure which includes documentation of this transfer.
§ 465.20. Acceptance of tips or gratuities from patrons.
A key employee or gaming employee who serves in a supervisory position is prohibited from soliciting or accepting, and no other gaming employee may solicit, any tip or gratuity from any patron of the slot machine licensee where he is employed. The slot machine licensee may not permit any practices prohibited by this section.
CHAPTER 466. SLOT COMPUTER SYSTEMS Sec.
466.1. Slot computer systems generally. § 466.1. Slot computer systems generally.
(a) All aspects of a slot machine licensee's slot computer system shall be located within the licensed facility unless otherwise approved by the Board in accordance with technical standards adopted by the Board.
(b) For the purposes of this section, a slot computer system must include all aspects of a computer system which the act, this subpart or technical standards adopted by the Board either require or permit to be utilized by a slot machine licensee in the conduct of, or monitoring of, slot machine operations including hardware, software and network interfaces used in connection with the operation of a slot monitoring system, casino management system, player tracking system, external bonusing system, cashless funds transfer system and gaming voucher system. However, a slot computer system will not be construed to include the following:
(1) A slot machine or bill validator.
(2) A wide area progressive slot system.
(3) Other computer systems or applications that the Board determines are not slot computer systems.
(c) The Board may waive one or more of the requirements of this section or technical standard applicable to slot computer systems adopted by the Board upon a determination that the nonconforming system protocols nonetheless meet the integrity requirements of the act, this subpart and technical standard adopted by the Board.
[Pa.B. Doc. No. 06-1253. Filed for public inspection June 30, 2006, 9:00 a.m.]
Document Information
- PA Codes:
- 58 Pa. Code § 461.1
58 Pa. Code § 461.2
58 Pa. Code § 461.3
58 Pa. Code § 461.4
58 Pa. Code § 461.5
58 Pa. Code § 461.6
58 Pa. Code § 461.7
58 Pa. Code § 461.8
58 Pa. Code § 461.9
58 Pa. Code § 465.12
58 Pa. Code § 465.13
58 Pa. Code § 465.14
58 Pa. Code § 465.15
58 Pa. Code § 465.16
58 Pa. Code § 465.17
58 Pa. Code § 465.18
58 Pa. Code § 465.19
58 Pa. Code § 465.20
58 Pa. Code § 466.1