136 RULE 12  
MANUFACTURERS, DISTRIBUTORS, OPERATORS OF INTER- CASINO LINKED  
SYSTEMS, GAMING DEVICES, NEW GAMES, INTER- CASINO LINKED SYSTEMS,  
ON-LINE SLOT METERING SYSTEMS, CASHLESS WAGERING SYSTEMS,  
MOBILE GAMING SYSTEMS, INTERACTIVE GAMING SYSTEMS  
AND ASSOCIATED EQ UIPMENT  
 
12.010  Definitions.  
12.015 Policy.  
12.0215 Determination of suitability. 
12.023 Manufacturer’ s agreements with independent contractors.  
12.024 Manufacturer ’s responsibilities for independent contractors.  
12.025 Certain themes prohibited in association with gaming devices or slot machines.  
12.030 Approval of gaming devices and the operation of new inter -casino linked systems; 
applications and procedures.  
12.040 Minimum standards for gaming devices.  
12.045 Minimum standards for inter -casino linked systems.  
12.050 Technical standards.  
12.060 Employment of individual to respond to inquiries from the Commission . 
12.070 Commission  evaluation of new gaming devices. 
12.075 Commission  evaluation of inter -casino linked systems.  
12.080 Field test of new gaming devices and new inter- casino linked systems.  
12.090 Certification by manufacturer.  
12.100 Final approval of new gaming devices and new inter -casino linked systems.  
12.105 Installation of a system based game or a system supported game.  
12.110 Approval to modify gaming devices or inter -casino linked systems; applications and 
procedures.  
12.120 Commission  evaluation of  modifications.  
12.130 Field test of modified gaming devices and modified inter -casino linked systems.  
12.140 Final approval of modifications. 
12.160 Duplication of program storage media. 
12.170 Marking, registration, and distribution of gaming devices. 
12.180 Approval for category I licensees to distribute gaming devices out of Arkansas ; 
applications and procedure;  
recordkeeping requirements for category II licensees; extraterritorial distribution compliance; inspection of facilities and devices.  
12.190 Approval to sell or dispose of gaming devices.  
12.200 Maintenance of gaming devices.  
12.210 Approval of promotional devices; applications and procedures. 
12.220 Summary suspension of approval of gaming devices and inter -casino linked systems.  
12.230 Approval  of new games and game variations; applications and procedures. 
12.240 Field trials of new games and game variations.  
12.250 Final approval of new games.  
12.260 Approval of associated equipment; applications and procedures.  
12.270 Commission  evaluation of associated equipment.  
12.280 Field trial of associated equipment.  
12.290 Installation of associated equipment.  
12.300 Maintenance of associated equipment.  137 12.302 Manufacturer or distributor of associated equipment; registration of a 
manufacturer or distributor of associated  equipment; application and procedures.  
12.305 Manufacturer or distributor of associated equipment; determination of suitability.  
12.310  Retention of records.  
 
12.010 Definitions. As used in this Rule , unless the context otherwise requires:  
1. “Assume responsibility ” means to acquire complete control over, or ownership of, a 
gaming device, cashless wagering system, mobile gaming system or interactive gaming system.  
 
2. “Cashless wagering system ” means the collective hardware, software, communications 
technology, and other associated equipment used to facilitate wagering on any game or gaming device including mobile gaming systems and interactive gaming systems with other than chips or legal tender of the United States. The term does not include any race and sports computerized bookmaking system that accepts pari -mutuel wagers, or any other race and sports book systems 
that do not accept wagering instruments, wagering credits or process electronic money transfers.  
Associated equipment such as r edemption kiosks  may also be used to act as  promotion kiosks 
and automated teller machine s. 
  
3. “Commission ” means the Arkansas  Racing Commission  or the Commission ’s designee.  
 4. “Control program ” means any software, source language or executable code which affects 
the result of a wager by determining win or loss. The term includes, but is not limited to, software, source language or executable code associated with the:  
(a) Random number generation process;  
(b) Mapping of random numbers to game elements to determine game outcome;  
(c) Evaluation of the randomly selected game elements to determine win or loss;  
(d) Payment of winning wagers;  
(e) Game recall;  
(f) Game accounting including the reporting of meter and log information to on- line slot 
metering system;  
(g) Monetary transactions conducted with associated equipment;  
(h) Software verification and authentication functions which are specifically designed and 
intended for use in a gaming device;  
(i) Monitoring and generation of gam e tilts or error conditions; and  
(j) Game operating systems which are specifically designed and intended for use in a gaming 
device.  
 The term does not include software used for artistic attributes of a game including graphics, 
sound and animation providing entertainment unless such elements are material to game play because they are necessary for the player to understand the game or game outcome. 
  
5. “Distribution ” or “distribute ” means the sale, offering for sale, lease, offering for lease, 
licensing or other offer of any gaming device, cashless wagering system, mobile gaming system or interactive gaming system for use or play in Arkansas . 
 6. “Distributor ” means a person who oper ates, carries on, conducts or maintains any form of 
distribution.  
  138 7. “Distributor of associated equipment ” is any person that sells, offers to sell, leases, offers 
to lease, licenses, markets, offers, or otherwise offers associated equipment in Arkansas  for use by 
licensees.  
 
8. “Equipment associated with interactive gaming ” means any equipment or mechanical, 
electromechanical or electronic contrivance, component or machine used remotely or directly in connection with gaming or mobile gaming, any game, r ace book or sports pool that would not 
otherwise be classified as a gaming device, including dice, playing cards, links which connect to progressive slot machines, equipment which affects the proper reporting of gross revenue, computerized systems of betting at a race book or sports pool, computerized systems for monitoring slot machines and devices for weighing or counting money; or a computerized system for recordation of sales for use in an area subject to tax.  
 9. “Game of chance”  means a game in which randomness determines all outcomes of the 
game as determined over a period of continuous play.  
 10. “Game of skill”  means a game in which the skill of the player, rather than chance, is the 
dominant factor in affecting the outcome of  the game as determined over a period of continuous 
play.  
 11. “ Game outcome”  is the final result of the wager.  
 12. “Game variation ” means a change or alteration in a game or gambling game that affects 
the manner or mode of play of an approved game. This includes, but is not limited to, the addition or removal of wagering opportunities or a change in the theoretical hold percentage of the game.  
 13. “Gaming session ” means the period of time commencing when a player initiates a game 
or series of games on a  gaming device by committing a wager and ending at the time of a final 
game outcome for that game or series of games.  
 14. “Hybrid game ” means a game in which a combination of the skill of the player and 
chance affects the outcome of the game as determined  over a period of continuous play.  
 15. “Identifier ” means any specific and verifiable fact concerning a player or group of players 
which is based upon objective criteria relating to the player or group of players, including, without limitation:  
(a) The frequency, value or extent of predefined commercial activity;  
(b) The subscription to or enrollment in particular services;  
(c) The use of a particular technology concurrent with the play of a gaming device;  
(d) The skill of the player;  
(e) The skill of the player relative to the skill of any other player participating in the same 
game;  
(f) The degree of skill required by the game; or  
(g) Any combination of (a) to (f), inclusive.  
 16. “ Independent contractor ” means any person who:  
(a) Is not an employee of a licensed manufacturer; and  139 (b) Pursuant to an agreement with a licensed manufacturer:  
(1) Designs, develops, programs, produces or composes a control program on behalf of the 
licensed manufacturer; or  
(2) Designs, develops, produces or composes software, source language or executable 
code inten ded to be compiled into a control program by the licensed manufacturer.  
 As used in this Rule  “licensed manufacturer ” includes any affiliate that is owned or controlled 
by or under common control with the licensee.  
 
17. “Independent testing laboratory ” means a private laboratory that is registered by the 
Commission to inspect and certify games, gaming devices, associated equipment, cashless wagering systems, inter -casino linked systems, mobile gaming systems or interactive gaming systems, and 
any component s thereof and modifications thereto, and to perform such other services as the 
Commission  may request.  
 18. “ Inter-casino linked system ” means:  
(a) A network of electronically interfaced similar games which are located at two or more 
licensed gaming establishments that are linked to: 
(1) Conduct gaming activities, contests or tournaments; or  
(2) Facilitate participation in a common progressive prize system,  
and the collective hardware, software, communications technology and other associated equipment used in such system to link and monitor games or devices located at two or more 
licensed gaming establishments, including any associated equipment used to operate a multi -
jurisdictional progressive prize system.  
(b) Systems that solely record a patron’ s wagering activity among affiliated properties are not 
inter-casino linked systems. 
(c) The term “multi- jurisdictional progressive prize system ” means the collection of hardware, 
software, communications technology and other associated equipment used to link and monitor progressive slot machines or other games among licensed gaming establishments in this state participating in an inter -casino link ed system and one or more lawfully operated gaming locations 
in other jurisdictions that participate in a similar system for the purpose of participation in a common progressive prize system.  
 19. “Inter-casino linked system modification ” means a change or  alteration to an inter -casino 
linked system made by an operator who has been previously approved by the Commission to operate that system. With regard to inter -casino linked systems that link progressive payout 
schedules, the term includes, but is not lim ited to:  
(a) A change in a system name or theme; or  
(b) A change in gaming device denomination.  
 20. “Interactive gaming system”  is a gaming device and means the collective hardware, 
software, communications technology, and proprietary hardware and software specif ically 
designed or modified for, and intended for use in, the conduct of interactive gaming. The core components of an interactive gaming system, including servers and databases running the games on the interactive gaming system and storing game and intera ctive gaming account information, 
must be located in the State of Arkansas  except as otherwise permitted by the Commission . 
 140 21. “ Manufacture ” means:  
(a) To manufacture, produce, program, design, control the design of or make modifications to 
a gaming device, associated equipment, cashless wagering system, mobile gaming system or 
interactive gaming system for use or play in Arkansas ; 
(b) To direct, control or assume responsibility for the methods and processes used to design, 
develop, program, assemble, produce, fabricate, compose and combine the components and other tangible objects of any gaming device, associated equipment, cashless wagering system, mobil e 
gaming system or interactive gaming system for use or play in Arkansas ; or 
(c) To assemble, or control the assembly of, a gaming device, associated equipment, cashless 
wagering system, mobile gaming system or interactive gaming system for use or play in Arka nsas. 
 22. “Manufacturer ” means a person who operates, carries on, conducts or maintains any form 
of manufacture.  
 23. “Manufacturer of associated equipment ” is any person that manufactures, assembles, or 
produces any associated equipment, including inter -casino linked systems, for use in Arkansas  by 
licensees.  
 24. “Manufacturer of equipment associated with interactive gaming ” means any person that 
manufactur es, assembles, or produces any equipment associated with interactive gaming.  
 25. “Mobile gaming system”  or “system ” means a system that allows for the conduct of 
games through mobile communications devices operated solely within a licensed gaming establis hment by the use of communications technology that allows a patron to bet or wager, and 
corresponding information related to the display of the game, gaming outcomes or other similar  
 26. “ Mobile gaming system modification ” means any change or alteration to a mobile gaming 
system made by a manufacturer from its approved configuration.  
 27. “Modification ” means a change or alteration in a gaming device previously approved by 
the Commission for use or play in Arkansas  that affects the manner or mode of play of the 
device. The term includes a change to control programs and, except as provided in paragraphs (c) and (d) of this subsection, in the theoretical hold percentage. The term does not include:  
(a) Replacement of one component with another, pre -approved component;  
(b) The rebuilding of a previously approved device with pre -approved components;  
(c) A change in the theoretical hold percentage of a mechanical or electro -mechanical device, 
provided that the device as changed meets the standards of these Rule s; 
(d) A change in the theoretical hold percentage of an electronic device which is the result of a 
top award jackpot or bonus jackpot payment which is paid directly by an attendant and which is 
not accounted for by the device; or  
(e) A change to software used for artistic attributes of a game, including graphics, sound and 
animation providing entertainment unless such elements are material to game play because they are necessary for the player to understand the game or game outcome.  
 28. “On-line slot metering system”  means the collective hardware, software and other 
associated equipment used to monitor, accumulate, and record meter information from gaming devices within a licensed establishment.  141  
29. “Operator ” means, except as otherwise provided, any person or entity holding a license to 
operate:  
(a) An inter -casino linked system or mobile gaming system in Arkansas ; 
(b) A Casino  gaming operation that operates an inter -casino linked system of affiliates; or  
(c) An inter -casino linked system under the preceding paragraphs (a) or (b) of this section 
which system also is linked to or otherwise incorporates a multi- jurisdictional progressive prize 
system.  
 30. “Private residence”  means a noncommercial structure used by a natural person as a place 
of abode and which is not used for a commercial purpose.  
 31. “Proprietary hardware and software ” means hardware or software sp ecifically designed 
for use in a gaming device including a mobile gaming system and interactive gaming system.  
 32. “Randomness ” is the observed unpredictability and absence of pattern in a set of elements 
or events that have definite probabilities of occurrence.  
 33. “Rules of play ” means those features of a game necessary for a reasonable person to 
understand how a game is played including, but not limited to, the following:  
(a) Help screens;  
(b) Award cards; and  
(c) Pay-line information.  
The term does not include those inherent features of a game that a reasonable person should 
know or understand prior to initiating the game.  
 34. “ Skill”  means the knowledge, dexterity or any other ability or expertise of a natural 
person.  
 35. “ Theme”  means a concept, subject matter and methodology of design.  
 12.015 Policy. Gaming devices and associated equipment that incorporate innovative, 
alternative and advanced technology are beneficial to and in the best interests of the State of 
Arkansas  and it is the policy of the Commission to encourage the development and deployment 
of such technologies by manufacturers, distributors and gaming establishments  Arkansas . 
 
12.0215 Determination of suitability.  
1. A person is not subject to licensing in connection with activities performed as an 
independent contractor provided that a person who is licensed under the provisions of this section 
assumes responsibility for the design, development, programming, production or composition of the control program Arkansas . 
2. An independent contractor may be required by the Commission, upon recommendation of 
the Commission , to file an application for a finding of suitability to be an independent contractor 
for a licensed manufacturer.  
3. The Commission shall give written notice to the independent contractor of its decision to 
require the filing of a n application for a finding of suitability. Unless otherwise stated by the 142 Commission in its written notice, an independent contractor who has been ordered to file an 
application for a finding of suitability to be an independent contractor may continue to perform under a contract with a manufacturer unless and until the Commission finds the independent contractor unsuitable.  
4. If the Commission finds an independent contractor to be unsuitable:  
(a) All licensed manufacturers shall, upon written notification, i mmediately terminate any 
existing relationships, direct or indirect, with such independent contractor;  
(b) No new gaming device with a control program that contains software, source language, or 
executable code created in whole or in part by the unsuitable independent contractor shall be approved; and  
(c) Any previously approved gaming device with a control program that contains software, 
source language, or executable code created in whole or in part by the independent contractor is subject to revocation of its approval if the reasons for the finding of unsuitability also apply to that gaming device.  
 5. Failure of a licensed manufacturer to terminate any association or agreement with an 
independent contractor after receiving notice of the determination of unsuitabili ty constitutes an 
unsuitable method of operation. 
6. The Commission retains jurisdiction to determine the suitability of an independent 
contractor regardless of whether or not the independent contractor has any active agreements with licensed manufacturers or  is otherwise no longer functioning as an independent contractor.  
7. A failure on the part of an independent contractor to submit an application for a finding of 
suitability within 30 days after being demanded to do so by the Commission shall constitute 
grounds for a finding of unsuitability of the independent contractor.  
8. An independent contractor, or employee thereof, is not considered a gaming employee in 
relation to any work conducted designing, programming, producing or composing a control program within the scope of an agreement entered into with a licensed manufacturer. An 
independent contractor or employee thereof, is in no way exempt from being classified as a gaming employee for such work performed outside the scope of an agreement with a licensed manufacturer or for other work performed related to gaming.  
 12.023 Manufacturer ’s agreements with independent contractors. Any agreement 
between a licensed manufacturer and an independent contractor shall provide for termination without continuing obligation of the licensed manufacturer in the event the independent 
contractor:  
1. Refuses to respond to information requests from the Commission ; 
2. Fails to file an application for a finding of suitability as required by the Commission; or  
3. Is found unsuitable by the 
Commission.  
12.024 Manufacturer ’s responsibilities for independent contractors.  Each licensed  
manufacturer must:  143 1. Complete a review of any software, source language or executable code designed, 
developed, produced or composed by an independent contractor for compliance with all 
applicable regulations and technical standards of the Commission and Commission  prior to 
submission to the Commission ; and  
2. As to such submission, maintain a record of the general subject matter description of the 
software, source language or executable code that was designed, developed, produced or composed by an independent contractor, by contr actor name.  
 Unless the Commission  approves or requires otherwise in writing, such records shall be 
maintained for a minimum of five years from the date of the relevant submission and must be made available to the Commission  upon request. Failure to keep and provide such records is an 
unsuitable method of operation. 
12.025 Certain themes prohibited in association with gaming devices or slot machines.  
1. A gaming device or gaming device modification submitted for approval by a  manufacturer 
or made available for play by a licensee must not use a theme that:  
(a) Is derived from or based on a product that is currently and primarily intended or marketed 
for use by persons under 21 years of age, or  
(b) Depicts a subject or material that: 
(1) Is obscene;  
(2) Offensively portrays persons based on race, religion, national origin, gender, or sexual 
preference; or  
(3) Is otherwise contrary to public policy of this state.  
 2. A manufacturer, licensee or other person holding the intellectual property rights to a theme 
may, concurrent with or independent of an application for approval of or modification to a gaming device, file a  request with the Commission , in such manner and using such forms as the 
Commission  may prescribe, for a determination as to whether subsection 1 prohibits use of the 
theme in connection with a gaming device.  
(a) The request for determination must be accompanied by a nonrefundable fee of [ $500]  for 
each separate theme.  
(b) The requesting party s hall articulate the reasons that the theme is not prohibited by 
subsection 1 along with any additional information it deems relevant to the determination. Information submitted pursuant to this section is confidential;  
 3. Within 30 days of the submission of the request for deter mination pursuant to 
subsection 2, the Commission  shall administratively approve, approve with modification or 
condition, or deny the request for determination. 
4. A written request for withdrawal of the request for determination may be m ade by the 
requesting party at any time prior to the Commission ’s final action on such request. A request for 
withdrawal is effective upon delivery to the Commission  and is without prejudice.  
12.030 Approval of gaming devices and the operation of new inter- casino linked 
systems; applications and procedures.  
1. A manufacturer or distributor shall not distribute a gaming device in Arkansas  and a 
licensee shall not offer a gaming device for play unless it has been approved by the Commission or is offered for play pursuant to a field test ordered by the Commission . 144 2. An operator of an inter -casino linked system shall not install and operate a n ew inter -
casino linked system in Arkansas  and a licensee shall not offer any gaming device or game for 
play that is part of such a system unless operation of the inter -casino linked system and all 
gaming devices or games that are part of or connected to th e inter -casino linked system have 
been approved by the Commission or are offered for play pursuant to a field test ordered by the 
Commission . 
3. Applications for approval of a new gaming device or to operate a new inter -casino linked 
system shall be made and processed in such manner and using such forms as the Commission  
may prescribe. Only licensed manufacturers may apply for approval of a new gaming device. Only operators may apply for approval to operate a new inter -casino linked system.  
4. At the Commission ’s request an applicant for a manufacturer ’s or inter -casino linked 
system operator ’s license shall, or upon the Commission ’s prior approval an applicant for a 
manufacturer ’s or operator ’s license may, apply for a preliminary determination that a new 
gaming device or new inter -casino linked system meets the standards required by this Rule . 
5. Each application shall include, in addition to other items or information as the 
Commission  may require:  
(a) A complete, comprehensive, and technically accurate description and  explanation in both 
technical and lay language of the manner in which the device or inter -casino linked system 
operates and complies will all applicable statutes, regulations and technical standards, signed under penalty of perjury;  
(b) A statement under pena lty of perjury that, to the best of the manufacturer ’s knowledge, 
the gaming device meets the standards of section 14.040 or, in the case of an inter -casino linked 
system, that to the best of the operator ’s knowledge the system meets the standards of secti on 
14.045;  
(c) In the case of a gaming device, a copy of all executable software, including data and 
graphic information, and a copy of all source code for programs that cannot be reasonably demonstrated to have any use other than in a gaming device, submitted on electronically 
readable, unalterable media;  
(d) In the case of a gaming device, a copy of all graphical images displayed on the gaming 
device including, but not limited to, reel strips, rules, instructions and paytables;  
(e) In the case of an inter -casino linked system:  
(1) An operator ’s manual;  
(2) A network topology diagram;  
(3) An internal control system; 
(4) A hold harmless agreement;  
(5) A graphical representation of the system theme and all related signage;  
(6) Information sufficient to calculate a theoretical payoff schedule amount including, but  
not limited to, the base and reset amounts, the total contribution percentage and a breakdown of that percentage including contribution rates to all progressive payoff schedules and all reset funds, the odds of winning the progressive  payoff schedule and the amount of the wager required 
to win the progressive payoff schedule; and  
(7) The form of any agreement or written specifications permitted or required of an 
operator by any other state or tribal government and affecting a multi -jurisdi ctional progressive 
prize system.  
(f) In the case of a mobile gaming system:  
(1) An operator ’s manual;  145 (2) A network topology diagram;  
(3) An internal control system; and  
(4) A description of the method used to isolate game function to the areas listed in these 
Rules ; and  
(g) All materials relating to the results of the registered independent testing laboratory ’s 
inspection and certification process that are required under section 14.400. 
 
12.040 Minimum standards for gaming devices. 
1. All gaming devices must:  
(a) Theoretically pay out a mathematically demonstrable percentage of all amounts wagered  
over the life of the game , which must not be less than 83 percent for each wager available for 
play on the device.  
(b) Determine game outcome solely by the application of:  
(1) Chance;  
(2) The skill of the player; or  
(3) A combination of the skill of the player and chance. 
(c) Display in an accurate and non -misleading manner: 
(1) The rules of play;  
(2) The amount required to wager on the game or series of games in a gaming session;  
(3) The amount to be paid on winning wagers;  
(4) Any rake -off percentage or any fee charged to play the game or series of games in a 
gaming session;  
(5) Any monetary wagering limits for games representative of live gambling games; 
(6) The total amount wagered by the player;  
(7) The game outcome; and  
(8) Such additional information sufficient for the player to reasonably understand the 
game outcome.  
(d) Satisfy the technical standards adopted pursuant to these Rule s. 
 
2. Once a game is initiated by a player on a gaming device, the rules o f play for that game, 
including the probability and award of a game outcome, cannot be changed. In the event the game or rules of play for the game, including probability and award of a game outcome, change between games during a gaming session, notice of the change must be prominently displayed to the player.  
 3. Gaming devices connected to a common payoff schedule shall:  
(a) All be of the same denomination and have equivalent odds of winning the common 
payoff schedule/common award based as applicable on either or both of the combined influence 
of the attributes of chance and skill; or  
(b) If of different denominations, equalize the expected value of winning the payoff 
schedule/common award on the various denominations by setting the odds of winning the payoff  
schedule in proportion to the amount wagered based as applicable on either or both the combined influence of the attributes of chance and skill, or by requiring the same wager to win the payoff schedule/award regardless of the device’ s denomination. The m ethod of equalizing the expected 
value of winning the payoff schedule/award shall be conspicuously displayed on each device connected to the common payoff schedule/common award. For the purposes of this requirement, equivalent is defined as within a 5 perc ent tolerance for expected value and no more than a 1 
percent tolerance on return to player or payback. 
 146 4. All possible game outcomes must be available upon the initiation of each play of a game 
upon which a player commits a wager on a gaming device.  
 
5. For gaming devices that are representative of live gambling games, the mathematical 
probability of a symbol or other element appearing in a game outcome must be equal to the mathematical probability of that symbol or element occurring in the live gambling game.  
 6. Gaming devices that offer games of skill or hybrid games must indicate prominently on the 
gaming  device that the outcome of the game is affected by player skill.  
 7. Gaming devices must not alter any function of the device based on the actual hold 
percentage.  
 8. Gaming devices may use an identifier to determine which games are presented to or 
available for  selection by a player.  
 9. For gaming devices manufactured and distributed before September 28, 1989, the 
Commission  may waive the requirem ents of these Rules  for a licensee exposing a gaming device to 
the public for play, if the licensee can demonstrate to the Commission ’s satisfaction that:  
(a) After the waiver the aggregate theoretical payout for all amounts wagered on all gaming 
devices exposed for play by the licensee at a single establishment meets the 83 percent standard 
of subsection 1(a) of section 14.040, and 
(b) The licensee is unable to bri ng the device into compliance with the requirements of 
subsection 1(a) of section 14.040 because of excessive cost or the unavailability of parts.  
 10. The Commission  may waive for good cause shown the requirements of a technical 
standard for a game. The C ommission  has full and absolute authority to condition or limit a 
waiver granted under this section for any cause deemed reasonable.  
 12.045 Minimum standards for inter -casino linked systems. All inter -casino linked 
systems submitted for approval:  
1. Shall, in the case of an inter -casino linked system featuring a progressive payoff schedule 
that increases as the inter -casino linked system is played, have a minimum rate of progression for 
the primary jackpot meter of not less than .4 of one percent of a mounts wagered. In the case of an 
inter-casino linked system featuring a progressive payoff schedule that increases over time, have 
a minimum rate of progression for the primary jackpot meter of not less than one hundred dollars per day. The provisions of this subsection do not prevent an operator from limiting a progressive payoff schedule as allowed by these Rules . 
 2. Shall have a method to secure data transmissions between the games and devices and the 
main computer of the operator, as approved by the Comm ission . 
3. Shall display the rules of play and the payoff schedule. 
4. Shall meet the applicable minimum standards for internal control that have been adopted 
pursuant to these Rules . 
 147 12.050 Technical standards.  
1. The Commission  shall publish technical standards for approval of gaming devices, on- line 
slot metering systems, cashless wagering systems, and associated equipment.  
 
2. The Commission  shall:  
(a) Publish notice of proposed technical standards or revisions by posting the proposed 
changes or revisions on the Commission ’s website;  
(b) Mail notice of the posting of the proposed technical standards or revisions on the 
Commission ’s website and a copy of this  section to every Casino  licensee, licensed manufacturer 
and every person who has filed a request with the Commission; and 
(c) Provide a copy of the proposed technical standards or revisions to the Commission.  
 3. The Commission  shall consider all written stat ements, arguments, or contentions 
submitted by interested parties within 30 days of service of the notice provided for in subsection 2.  
 4. Not later than 45 days after service of written notice that the Commission  has proposed the 
technical standards or r evisions, any Casino  licensee or licensed manufacturer may object to the 
technical standards or revisions by filing a written objection with the Commission.  
 5. The Commission shall consider any objections filed to the technical standards or revisions 
proposed by the Commission . If the Commission does not concur with any of the technical 
standards, the Commission  shall revise the technical standards to reflect the order of the 
Commission.  
 6. The Commission  shall send written notice of the effective date of the standards or 
revisions to all Casino  licensees, licensed manufacturers and every person who has filed a request 
with the Commission.  
7. Casino  licensees or licensed manufacturers may propose the adoption, revision, or deletion  
of technical standards by submitting a written request to the Commission  who will consider the 
request at the Commission ’s discretion. If the Commission  does not propose the technical 
standard, the Casino licensee or licensed manufacturers may file a request with the Commission to 
adopt, revise, or delete a technical standard. The Commission may consider the request at its discretion.  
12.060 Employment of  individual to respond to inquiries from the Commission . 
1. Each manufacturer and operator shall employ or retain an individual who understands the 
design and function of each of its gaming devices, cashless wagering systems, inter -casino linked 
systems, mobi le gaming systems, or interactive gaming systems who shall respond within the 
time specified by the Commission  to any inquiries from the Commission  concerning the gaming 
device, cashless wagering system, inter -casino linked system, mobile gaming system, or  
interactive gaming system or any modifications to the gaming device, cashless wagering system, inter-casino linked system, mobile gaming system, or interactive gaming system. Each 
manufacturer or operator shall on or before December 31st of each year repo rt in writing the 
name of the individual designated pursuant to this section and shall report in writing any change in the designation within 15 days of the change.  
2. Each registered independent testing laboratory shall employ an individual who 
understands t he inspection and certification methodology, procedures, and operation of the 148 registered independent testing laboratory. Such person shall be available during regular Arkansas  
business hours to respond to requests from the Commission . Each registered independent testing 
laboratory shall provide the Commission  with the name of the employee performing this function 
as part of their initial registration application materials, and shall report in writing any subsequent 
change in the emplo yee designated to perform this function within 15 days of the change.  
 12.070 Commission  evaluation of new gaming devices. The Commission  may require 
transportation of not more than two working models of a new gaming device to the new game lab of the Commission  or some other location for review and inspection. The manufacturer seeking 
approval of the device must pay the cost of the inspection and investigation. The lab may dismantle the models and may destroy electronic components in order to fully evaluate  the 
device. The Commission  may require that the manufacturer provide specialized equipment or the 
services of an independent technical expert to evaluate the device.  
12.075 Commission  evaluation of inter -casino linked systems. The Commission  may require 
transportation of not more than one working model of an inter -casino linked system to the 
Commission ’s offices or some other location for review and inspection pursuant to these Rules . 
The associated equipment manufacturer seeking approval of the system shall pay the cost of the inspection and investigation. The Commission  may dismantle the model and may destroy 
electronic components in order to fully evaluate the inter -casino linked system. The Commission  
may require that the operator of an inter -casino linked system provide specialized equipment or the 
services of an independent technical expert to evaluate the inter -casino linked system.  
 
12.080 Field test of new gaming devices and new inter -casino linked systems.  
1. The Commission , in accordance with these Rules , may allow or require that one or more 
models of a new gaming device or inter -casino linked system be tested at a licensed gaming 
establishment(s) for not more than 180 days under terms and conditions that the Commission  
may approve or require. Upon written request of the manufacturer, distributor or operator, the 
Commission  may, by written agreement, allow the test period to be continued an additional 
90 days beyond the 180- day maximum field test period, for the purpose of allowing the 
application for approval of the new gaming device or application to operate a new inter -casino 
linked system to be acted upon by the Commission . The Commission  shall report all field tests 
on the agenda of the next regularly scheduled meeting of the Commission . 
 
2. In the interests of expediting the introduction of innovative, alternative and advanced 
technology for gaming devices and inter -casino linked systems for use or play in Arkansas , a 
manufacturer may request its new gaming device or in ter-casino linked system be considered for 
evaluation under New Innovation Beta as an alternative to the field testing process set forth under subsection 1. 
(a) For purposes of this section only, the term “ New Innovation Beta ” means a process of 
evaluating a new gaming device or inter -casino linked system utilizing a field testing period 
under conditions and limitations described in this subsection. 
(b) The terms and conditions imposed under the New Innovation Beta will be set fort h by the 
Commission , and may include the requirement that a licensee notify patrons that the new gaming 
device is part of such a field test and is being exposed for play prior to finalization of the product in order to allow the evaluation of the gaming de vice or inter -casino linked system at an earlier 
stage of the regulatory approval process.  149 (c) The decision whether to permit a new gaming device or inter -casino linked system to be 
evaluated utilizing New Innovation Beta is at the sole and absolute discretion of the Commission . 
(d) When considering the request to evaluate a new gaming device or inter -casino linked 
system utilizing New Innovation Beta, the Commission  will consider factors including, without 
limitation, the ability of the gaming device to accurately  determine, evaluate, and display the 
game outcome, the ability of the gaming device to accurately process the acceptance and award 
of all payments, and the extent to which an inter -casino linked system complies with the 
requirements of these Rules . 
(e) The Commission  may also consider the approval status of the gaming device or inter -
casino linked system in another state or foreign jurisdiction in which gaming is legal and regulated by a government agency with standards for gaming devices and inter -casino linked 
systems materially the same as those in Arkansas , the determination of which is within the sole 
discretion of the Commission . 
 3. A manufacturer shall not modify a gaming device and an operator shall not modify a new 
inter-casino linked system during the test period without the prior written approval of the 
Commission . 
 4. The Commission  may order termination of the test period, if the Commission  determines, 
in the Commission ’s sole and absolute discretion, that the manufacturer, operator, or licensed 
gaming establishment has not complied with the terms and conditions of the order allowing or requiring a test period or for any cause deemed reasonable.  
(a) If the test period is terminated due to the licensed gaming establishment’ s failure to 
comply with the terms and conditions of the order allowing or requiring a test period, the Commission  may order that the test be conducted at another licensed gaming establishment.  
(b) A manufacturer or operator may object to the termination of the test period by filing a 
written objection with the Commission. The filing of an objection shall not stay the order 
terminating the test. If the Commission fails to order resumption of the test within 60 days of the written objection, the objection will be deemed denied. If the Commi ssion sustains the objection, 
the testing may be resumed under terms that may be approved or required by the Commission. 
 5. A licensee or manufacturer, or their agent shall not play a new gaming device during a test 
period.  A licensee or operator, or the ir agent, shall not play a gaming device or game connected to 
a new inter -casino linked system during a test period.  
 6. If the Commission  has made a determination that a new gaming device or new inter -casino 
linked system is not eligible for testing at a licensed gaming establishment, the Commission  shall 
notify the manufacturer or operator in writing. Not later than 10 days after receipt o f such 
notification, the manufacturer or operator may object to such a determination by filing written objection with the Commission. If the Commission fails to order a test period within 60 days of the written objection, the objection will be deemed denie d. If the Commission sustains the objection, 
the new gaming device or new inter -casino linked system may be tested at a licensed gaming 
establishment under terms and conditions that may be approved or required by the Commission.  
 
12.090 Certification by manufacturer.  
1. After completing its evaluation of a new gaming device, the Commission ’s new games lab 
shall send a report of its evaluation to the manufacturer seeking approval of the device. The 
report must include an explanation of the manner in which the device operates. The report must 150 not include a position as to whether the device should be approved. The manufacturer shall return 
the report within 15 working days and shall either:  
(a) Certify under penalty of perjury that to the best of its knowledge the explanation is 
correct; or  
(b) Make appropriate corrections, clarifications, or additions to the report and certify under 
penalty of perjury that to the best of its knowledge the explanation of the gaming device is correct as amended.  
 2. The Commissio n may order additional evaluation and a field test of the new gaming device 
of up to 60 days in addition to the test period provided for in these Rules  if the Commission  
determines, based upon the manufacturer ’s certification, that such additional evaluation is 
necessary.  
 12.100 Final approval of new gaming devices and new inter -casino linked systems.  
1. After completing its evaluation of the new gaming device or the operation of a new inter -
casino linked system, the Commission  shall recommend whet her the application for approval of 
the new gaming device or operation of a new inter -casino linked system should be granted.  
 2. In considering whether a new gaming device or operation of a new inter -casino linked 
system will be given final approval, the Commission  shall consider whether:  
(a) Approval of the new gaming device or operation of a new inter -casino linked system is 
consistent with the public policy of this state.  
(b) The terms of any agreement or written specifications permitted or required of an operator 
by any other state or tribal government and affecting a multi -jurisdictional progressive prize 
system:  
(1) Comply with the provisions of these Rules ; and  
(2) Include procedures satisfactory to the Commission for:  
(A) Ensuring compliance with the requirements of these Rules ; 
(B) Resolution of patron disputes under procedural and substantive requirements equal 
to or greater than the standards applied by the Commission ; 
(C) Surveillance and security of gaming devices connected to  such system;  
(D) Record -keeping and record -retention;  
(E) Control of access to any internal mechanism of gaming devices connected to such 
system;  
(F) Prior administrative approval of the Commission  for any adjustments to progressive 
meters;  
(G) Access by the Commission  to audit compliance with the requirements of this 
subparagraph; and  
(H) Any special procedures necessary for a multi -jurisdictional progressive prize 
system with  
lawfully operated gaming locations participating outside the United States, including without limitation matters of currency conversion and the availability of English translations of all relevant and material documentation and information. 
(c) For an inter- casino linked system of games of skill or hybrid games:  
(1) The types of games that will be connected  to such a system are compatible;  
(2) The communications technology used to connect participating gaming devices is 
adequate for the operating environment for such a system; and  151 (3) The progressive payoff schedules used for such systems are accurately described fo r 
players and comply with these Rules . Notwithstanding the provisions of these Rules , such 
schedules may broaden and encourage participation in games with skill attributes, by providing, 
without limitation, for partial prize awards, and prize awards for ga mes with different themes or 
based on the use of identifiers.  
 3. Commission approval of a gaming device or inter -casino linked system does not constitute 
certification of the devices  or inter -casino linked system ’s safety. Commission approval of a 
multi- jurisdictional progressive prize system shall include approval of any agreement or written 
specifications permitted or required by any other state or tribal government and affecting such system. The Commission  will complete any written acknowledgement necessary to document the 
Commission ’s approval of any such agreement or written specifications. The prior administrative 
approval of the Commission  is required of any modification to such agreement or written 
specifications.  
 4. A manufacturer or distributor who becomes aware that a gaming device or associated 
equipment approved by the Commission or the Commission  no longer complies with the Rules  of 
the Commission or the technical standards adopted pursuant to these  Rules shall notify the 
Commission  in writing within 3 business days.  
 12.105 Installation of a system based game or a system supported game. A licensee shall 
not install or use a system based game or system supported game without prior written approval of th e system network implementation from the Commission . Additionally, any modifications to 
the approved network  implementation must be approved by the Commission . Applications for 
approval to install or modify a system based game or system supported game shall be made and processed in such manner and using such forms as the Commission  may prescribe. The applicant 
seeking approval of the installation shall pay the cost of the investigation.  
 
12.110 Approval to modify gaming devices or inter -casino linked systems; applications 
and procedures.  
1. Modifications to gaming devices may only be made by licensed manufacturers who have 
received prior written approval of the Commission . Inter -casino linked system modifications may 
only be made by operators of such systems who have received prior written approval of the 
Commission . 
The Commission , in the Commission ’s sole and absolute discretion, may refer an inter -casino 
linke d system modification to the full Commission  for consideration of approval. In an 
emergency when a modification is necessary to prevent cheating or malfunction, the Commission  
may, in the Commission ’s sole and absolute discretion, orally approve a modifica tion to be made 
by a manufacturer or operator. Within 15 days of the emergency modification, the manufacturer or operator making such modification shall submit a written request for approval of the modification that shall contain the information required b y subsection 3 and such other 
information as required by the Commission . 
 2. A manufacturer shall not modify a gaming device unless the device, as modified, meets 
the standards in these Rules . An operator shall not modify an inter -casino linked system unless 
the system, as modified, meets the standards in these Rules . The Commission  may, in the 
Commission ’s sole and absolute discretion, waive  all or some of the standards in these Rules , if 
the modification is necessary to prevent cheating or malfunction. A waiver shall be effective 152 when the manufacturer or operator receives a written notification from the Commission  that all or 
some of the standards will be waived pursuant to this subsection. A  waiver of all or some of the 
standards pursuant to this subsection is not an approval of the modification.  
 
3. Applications for approval to modify a gaming device or an inter -casino linked system shall 
be made by a manufacturer and processed in such manner a nd using such forms as the Commission  
may prescribe. Each application shall include, in addition to such other items or information as the Commission  may require:  
(a) A complete, comprehensive, and technically accurate description and explanation of the 
modification in both technical and lay language signed under penalty of perjury;  
(b) Unless the standards of these Rules  have been waived pursuant to subsection 2, a 
statement under penalty of perjury that to the best of the manufacturer ’s knowledge, the gam ing 
device, as modified, meets the standards of these Rules or , in the case of an inter -casino linked 
system, a statement under penalty of perjury that to the best of the operator ’s knowledge the 
inter-casino linked system, as modified, meets the standards of these Rules ; 
(c) In the case of a gaming device:  
(1) A copy of all executable software, including data and graphic information, and a copy 
of all source code for programs that cannot be reasonably demonstrated to have any use other than in a gaming device, submitted on electronically readable, unalterable media;  
(2) A copy of all graphical images displayed on the gaming device including, but not 
limited to, reel strips, rules, instructions and paytables;  
(d) In the case of a modification to the control program of a gaming device that includes 
software, source language or executable code designed or developed by an independent contractor:  
(1) The name of the independent contractor; and  
(2) A general subject matter description of such software, source language or executable 
code compiled into the control program as part of the submission to the Commission ; 
(e) In the case of an inter -casino linked system:  
(1) An operator ’s manual;  
(2) An internal control system; 
(3) A hold harmless agreement;  
(4) A graphical representation of the system theme and all related signage; and  
(5) Information sufficient to calculate a theoretical payoff schedule amount.  
(f) All materials relating to the results of the registered indepe ndent testing laboratory ’s 
inspection and certification process that are required under these Rules . 
 12.120 Commission  evaluation of modifications. 
1. The Commission  may require transportation of not more than two working models of a 
modified gaming device or not more than one working model of a modified inter -casino linked 
system, or any component thereof, to the Commission ’s offices or some other location for review  
and inspection. The manufacturer or operator seeking approval of the modification shall pay the cost of the inspection and investigation. The Commission  may dismantle the models and may 
destroy electronic components in order to fully evaluate the modified gaming device or inter -
casino linked system, or component. The Commission  may require that the manufacturer or 
operator provide specialized equipment or the services of an independent technical expert to evaluate the modification.  
 153 2. The Commission  has sole and absolute discretion to determine whether the requested 
modification of a gaming device renders the device sufficiently different so that the modified 
device should be treated as a new gaming device. If the Commission  makes such a determinatio n, 
the Commission  shall notify the manufacturer in writing. The manufacturer may file an 
application for approval of a new gaming device.  
 3. The manufacturer or operator shall submit materials relating to the results of the 
registered independent testing lab oratory ’s inspection and certification process that are 
required under t hese Rules .  
 12.130 Field test of modified gaming devices and modified inter -casino linked systems.  
1. The Commission  may allow or require that one or more models of a modified gaming 
device or modified inter -casino linked system be tested at a licensed gaming establishment for 
not more than 180 days under terms and conditions that the Commission  may approve or require.  
 2. In the interests of expediting innovative, alternative and advanced technology in the 
modification of gaming devices and inter -casino linked systems approved for use or play in 
Arkansas , a manufacturer may request a modification to its gaming device or inter -casino linked 
system be considered for evaluation under New Innovation Beta as an alternative to the field testing process set forth in these Rules . 
(a) For purposes of this section only, the term “ New Innovation Beta ” means a process of 
evaluating a modification to a gaming device or inter -casino linked system utilizing a field 
testing period under conditions and limitations described in this subsection. 
(b) The terms and conditions imposed under New Innovation Beta will be set forth by the 
Commission , and may include the requirement that a licensee notify patrons that the modification 
to an approved gaming device or inter -casino linked system is part of such a field evaluation and 
is being exposed for play prior to finalization of the product in order to allow the evaluation of the modification to the gaming device or inter -casino linked system at an earlier stage of the 
regulatory approval process. 
(c) The decisi on whether to permit a modification to an approved gaming device or inter -
casino linked system to be evaluated utilizing New Innovation Beta is at the sole and absolute discretion of the Commission . 
(d) When considering the request to evaluate a modification t o an approved gaming device or 
inter-casino linked system utilizing New Innovation Beta, the Commission  will consider factors 
including, without limitation, the ability of the gaming device to accurately determine, evaluate, and display the game outcome, the ability of the gaming device to accurately process the acceptance and award of all payments, and the extent to which an inter -casino linked system 
complies with the requirements of these Rules . 
(e) The Commission  may also consider the approval status of the modification to an 
approved gaming device or inter -casino linked system in another state or foreign jurisdiction in 
which gaming is legal and regulated by a government agency with standards for modifications of gaming devices and inter -casino linked systems materially the same as those in Arkansas , the 
determination of which is within the sole discretion of the Commission . 
 3. A manufacturer shall not further modify a gaming device and an operator shall not further 
modify an inter -casino linked system during the test period without the prior written approval of 
the Commission . 
 154 4. The Commission  may order t ermination of the test period if the Commission  determines, 
in the Commission ’s sole and absolute discretion, that the manufacturer, operator, or licensed 
gaming establishment has not complied with the terms and conditions of the order allowing or 
requiring a test period or for any cause deemed reasonable.  
 5. A licensee or manufacturer, or their agent shall not play a modified gaming device during a 
test period. A licensee or operator, or their agent shall not play a gaming device or game connected  to a modified inter -casino linked system during a test period.  
 6. If the Commission  has made a determination that the modified gaming device or modified 
inter-casino linked system is not eligible for testing at a licensed gaming establishment, the 
Commis sion shall notify the manufacturer or operator in writing.  
 12.140 Final approval of modifications. The Commission  shall notify the manufacturer or 
operator in writing of the Commission ’s decision to approve or disapprove a modification. 
 
12.160 Duplication of program storage media. A licensee other than a manufacturer shall 
not duplicate the contents of gaming device program storage media unless its duplication process 
has received written approval of the Commission . 
 12.170 Marking, registr ation, and distribution of gaming devices.  
1. Except as otherwise provided in subsection 2, a manufacturer or distributor shall not 
distribute a gaming device unless the gaming device has:  
(a) A permanent serial number which must be affixed as required by the provisions of the 
Gaming Device Act of 1962, 15 U.S.C. 1173; and 
(b) For devices distributed in this state: (1) A permanent serial number which must be the same number as given the device 
pursuant to the provisions of the Gaming Device Act of 1962, 15 U.S.C. 1173, permanently 
stamped or engraved in lettering no smaller than 5 millimeters on the metal frame or other permanent component of the device and on a removable metal plate attached to the cabinet of the device; and  
(2) The Commission  approval number or, if the device has been modified since initial 
approval of the device, the modification approval number affixed on all program storage media placed in the device.  
 2. The Commission  may, in the Commission ’s sole and absolute discretion, waive the 
requirements of subsection 1 if:  
(a) The device was manufactured prior to January 1, 1962, and the manufacturer or 
distributor permanently stamps or engraves in lettering no smaller than 5 millimeters a distributor ’s identification code assigned by the Commission  and a seriatim number on the metal 
frame or other permanent component of each device covered by this subsection. 
(b) The program storage media in 1(b) can be altered through a means that does not require 
removal from the device or if the size of  such media does not permit it.  
 3. Each manufacturer or distributor shall keep records of the date of each distribution, the 
serial numbers of the devices, the Commission  approval number, or if the device has been 
modified since initial approval of the de vice, the modification approval number, and the name, 
addresses and telephone numbers of the person to whom the gaming devices have been 155 distributed for use or play in Arkansas  and shall provide such records to the Commission  
immediately upon the Commissio n’s request.  
 
4. For all gaming devices distributed from a location within Arkansas  that are not for use or 
play in Arkansas , a manufacturer or distributor shall provide any and all records documenting 
such distributions to the Commission  upon request. Such records shall include the information 
required under the Gambling Device Act of 1962, 15 U.S.C. 1173, and shall be retained for a period of five years.  
 
12.180 Approval for category I licensees to distribute gaming devices out of Arkansas ; 
applications and procedure; recordkeeping requirements for category II licensees; 
extraterritorial distribution compliance; inspection of facilities and devices.  
1. Subject to the exemption set forth in subsection 4, category I manufacturers and 
distributors shall not distribute gaming devices out of this state without applying for and receiving the prior written approval of the Commission . Applications for such approval to 
distribute gaming devices out of this state must be made, processed, and determined in such manner and using such forms as the Commission  may prescribe. Each application must include, 
in addition to such other items or information as the Commission  may require:  
(a) The full name, state of residence, address, telephone number, social  security number, and 
driver ’s license number of both the purchaser and the person to whom the shipment is being 
made, if neither is currently licensed by the Commission. If the purchaser or person to whom the shipment is being made does not have a social security number or driver ’s license number, the 
birth date of the purchaser or person to whom the shipment is being made may be substituted;  
(b) The name and permanent address of the purchaser or person to whom the shipment is 
being made if either is currently  licensed by the Commission;  
(c) The destination, including the port of exit if the destination is outside the continental United 
States;  
(d) The number of devices to be shipped;  
(e) The serial number of each device;  
(f) The model number of each device and year each devic e was manufactured, if known;  
(g) The denomination of each device;  
(h) The expected date and time of shipment; and  
(i) The method of shipment and name and address of carrier.  
 2. Except as provided in paragraph (c) of this subsection, category II manufacturers and 
distributors  are exempt from subsection 1, and shall:  
(a) Prepare and maintain records of the information required by the Gaming Devices Act of 
1962, 15 U.S.C. 1173. The records and documentation required by this paragraph (a) will be retained for a period of five years and must be produced for inspection upon request by the Commission . The failure to prepare and maintain such records and documentation will be an 
unsuitable method of operation. 
(b) Submit to the Commission  on or before the 15th day of January and J uly of each calendar 
year an electronic record of the name and address of all current customers which shall be in a searchable format. The record required by this paragraph (b) will be received and retained by the Commission  as confidential.  
(c) A category II manufacturer and distributor may by written notice to the Commission  elect 
to be treated as and comply with the requirements of this Rule  applicable to a category I 
manufacturer and distributor.  156  
3. Manufacturers and distributors shall not ship gaming devi ces to a destination where 
possession of a gaming device is unlawful.  
 4. Category I manufacturers and distributors are exempt from the requirements of this Rule  for 
shipments of gaming devices provided:  
(a) The gaming devices are only distributed to:  
(1) Persons licensed to expose such devices for play or for further distribution, in the 
jurisdiction of destination or by a tribal gaming authority in the jurisdiction of destination; 
(2) A federal, state or tribal gaming regulatory authority or law enforcement a gency; or  
(3) A testing laboratory authorized by an entity identified within subparagraph (2) of this 
paragraph.  
(b) The category I manufacturer and distributor files the information required by subsection 1 
on or before the 15th of the month following the month of distribution.  
 The Commission  may publish a list of jurisdictions or licensees to which this exemption does 
not apply and where category I manufacturers and distributors may not ship gaming devices without prior approval as required by subsection 1 of this Rule . 
 5. Category I manufacturers and distributors shall obtain and thereafter maintain, a statement 
by the purchaser under penalty of perjury that each device will be used only for lawful purposes, unless the purchaser is currently licensed by  the Commission or comparable agency of another 
state or tribal gaming agency or the destination is outside the United States.  
 6. Manufacturers and distributors shall, on or before the 15th day of January of each calendar 
year, give the Commission  a copy of the documentation evidencing registration with the United 
States Attorney General pursuant to the provisions of the Gaming Devices Act of 1962, 15 U.S.C. 
1173, for the ensuing year.  
 7. An agent of the Commission  may inspect:  
(a) The premises of manufacture rs and distributors and all gaming devices located therein.  
(b) All gaming devices for which an application has been filed by a category I manufacturer 
or distributor pursuant to subsection 1 of this Rule  prior to distribution out of this state. Category 
I man ufacturers and distributors shall make the gaming devices subject to such applications 
available for such inspection. 
 8. If the Commission  does not deny an application filed by a category I manufacturer or 
distributor for approval to distribute gaming devices out of this state pursuant to subsection 1 within 5 working days of receipt of a complete application, the application will be deemed to be approved.  
 9. A category I manufacturer or distributor shall keep a record of all shipments made out of 
state of parts specifically designed for use in a gaming device. The record must include the information set forth in subsection 1, if applicable. A manufacturer or distributor shall not ship parts specifically designed for use in a gaming device to a destination where possession of a gaming device is unlawful.  
 10. The Commission  may, in the Commission ’s discretion, waive one or more of the 
requirements o f this section upon good cause shown. 157  
11. As used in this section:  
(a) “Category I manufacturer or distributor ” means any manufacturer or distributor licensed 
by the Commission that does not qualify as a category II manufacturer or distributor. 
(b) “Category II manufacturer or distributor ” means any manufacturer or distributor that:  
(1) Is and has been licensed in good standing by the Commission for the preceding five 
years;  
(2) Is and has been licensed, registered, approved or qualified in at least ten other 
domestic  United States or tribal jurisdictions for the preceding three years  
(3) Maintains pursuant to or consistent with the requirements of these Rule s a 
compliance review and reporting system;  
(4) Has annual gross sales exceeding $5 Million Dollars for such licensee’ s preceding 
fiscal year;  
(5) Maintains an office or other facility in the state of Arkansas  at which the records 
required by this Rule  are stored and may be inspected and copied by the Commission . 
(6) Did not during the preceding year exclusively distribute used gam ing devices. As 
used in this subparagraph, “ used gaming devices ” means gaming devices previously used or 
played in a gaming operation in Arkansas , including such devices that have been in any way 
modified or refurbished since original manufacture. 
(c) “Current customer ” means a person to whom the applicable manufacturer or distributor 
has shipped or delivered a gaming device within the preceding six months pursuant to a contract, agreement or other arrangement with such manufacturer or distributor, or its a ffiliate, for the 
purchase, lease, license or other right to use such gaming device.  
 12.190 Approval for certain licensees to sell or dispose of gaming devices.  
1. A licensee, other than a manufacturer and distributor, shall not dispose of gaming devices 
without the prior written approval of the DF&A , unless the devices are sold or delivered to its 
affiliated companies or a licensed manufacturer or distributor, in which case approval is deemed granted.  
 2. A licensee, other than a manufacturer and distributor, shall not request approval to sell or 
deliver gaming devices to a person other than its affiliated companies or a licensed manufacturer or distributor unless the devices have been marked pursuant to these Rules . 
 3. Applications for approval to sell gaming devices under this Rule  must be made, 
processed, and determined in such manner and using such forms as the DF&A  may prescribe. 
Each application must include the information required by these Rule s, in addition to such other 
items or information as the DF&A  may require.  
 4. Applications for approval to dispose of gaming devices under this Rule  must be made, 
processed, and determined in such manner and using such forms as the DF&A  may prescribe.  
 12.200 Maintenance of gaming devices. A licensee shall not alter the operation of approved 
gaming devices and shall maintain the gaming devices in a suitable condition. Each licensee shall keep a written list of repairs made to gaming devices offered for play to the public that require a replacement of parts that affect the game outcome and shall make the list available for inspection by the Commission  upon the Commission ’s request.  
 158 12.210 Approval of promotional devices; applications and procedures. 
1. As used in this section, “promotional device ” means a contrivance that resembles a gaming 
device or slot machine that:  
(a) Is playable without a wager being made; or  
(b) Always pays out an amount in either cash or prizes that is equal to or greater than the wager 
made.  
 
2. A manufacturer or distributor s hall not distribute a promotional device for use in this state 
and a Casino  licensee shall not offer a promotional device for play to the public unless the 
promotional device has been approved by the Commission . A restricted licensee shall not offer a 
prom otional device for play to the public unless the promotional device and the use of the 
promotional device have both been approved by the Commission . 
 3. Applications for approval of promotional devices must be made, processed, and determined 
in such manner and using such forms as the Commission  may prescribe. Each application must 
include, in addition to such other items or information as the Commission may require:  
(a) A complete, comprehensive, and technically accurate description and explanation of the 
manner in which the device operates and complies with all applicable statutes, regulations and technical standards, signed under penalty of perjury;  
(b) The name and permanent address of the purchaser if the purchaser is currently licensed by 
the Commission;  
(c) The name, permanent address, social security number, and driver ’s license number of the 
purchaser if the purchaser is not currently licensed by the Commission. If the purchaser does not 
have a social security number or driver ’s license number, the purchaser ’s birth date may be 
substituted;  
(d) The quantity and the serial numbers of the promotional devices being sold or distributed; 
and 
(e) A statement by the purchaser u nder penalty of perjury that the device will be used only 
for lawful purposes.  
 
12.220 Summary suspension of approval of gaming devices and inter -casino linked 
systems.  
1. The Commission  may issue a summary order, with or without notice to the manufacturer , 
distributor, operator, or licensee, suspending approval of a gaming device or inter -casino linked 
system if it determines that the device or inter -casino linked system does not operate:  
(a) In the manner certified by the manufacturer pursuant to section 14.090;  
(b) As approved by the Commission; or  
(c) As approved by the Commission , if the device has been modified since initial approval of 
the device or inter -casino linked system.  
 
2. After issuing an order pursuant to subsection 1, the Commission  may seal or seize all 
models of that gaming device or inter -casino linked system Arkansas . 
 
12.230 Approval of new games and game variations; applications and procedures.  
1. A licensee shall not offer a new game for play unless the new game has been approved  by 
the Commission. A licensee shall not offer a game variation for play unless the game variation 
has been approved in writing by the Commission . 
 159 2. Applications for approval of a new game or game variation must be made and processed 
in such manner and using such forms as the Commission  may prescribe. The applicant seeking 
approval of the new game or game variation shall pay the cost of the investigation. Each 
application must include, in addition to such other items or information as the Commission  may 
require:  
(a) The name, permanent address, social security number, and driver ’s license number of the 
person developing the new game or game variation. If the person developing the new game or game variation does not have a social security number or a driver ’s license number, the person ’s birth date 
may be substituted;  
(b) The name of the game which must be different than the name of a game currently 
approved by the Commission;  
(c) A description of the new game or game variation, including the rules of play, the 
proposed schedule of payouts, and a statistical evaluation of the theoretical percentages of the game; and  
(d) All materials relating to the results of the registered independent testing laboratory ’s 
inspection and certification process that are required under  these Rules . 
 12.240 Field trials of new games and game variations.  
1. The Commission may allow or require that a new game or game variation to be tested at a 
licensed gaming establishment for not more than 180 days under terms and conditions that the Commission  may approve or require.  
2. The Commission  may order termination of the test period, if the Commission  determines, 
in the Commission ’s sole and absolute discretion, that the developer of the new game or the 
licensed gaming establishment has not comp lied with the terms and conditions of the order 
allowing or requiring a test period. 
 12.250 Final approval of new games. The Commission  shall recommend to the Commission 
whether the application for approval of the new game should be granted. In considering whether a new game will be given final approval, the Commission  shall consider whether approval is 
consistent with the public policy o f this state.  
 
12.260 Approval of associated equipment; applications and procedures.  
1. Unless otherwise waived pursuant to subsection 2, a manufacturer or distributor of 
associated equipment shall not distribute associated equipment unless it has been approved by the 
Commission . Applications for approval of associated equipment shall be made and processed in 
such manner and using such forms as the Commission  may prescribe. Each application must 
include, in addition to such other items or information as the  Commission  may require:  
(a) The name, permanent address, social security number, and driver ’s license number of the 
manufacturer or distributor of associated equipment unless the manufacturer or distributor is currently licensed by the Commission. If the manu facturer or distributor of associated equipment 
is a corporation, the names, permanent addresses, social security numbers, and driver ’s license 
numbers of the directors and officer s must be included. If the manufacturer or distributor of  
associated equipment is a partnership, the names, permanent addresses, social security numbers, and driver ’s license numbers of the partners and their partnership interest must be included. If 
social security numbers or driver ’s license numbers are not av ailable, the manufacturer ’s or 
distributor ’s birth date may be substituted; 160 (b) A complete, comprehensive and technically accurate description and explanation in both 
technical and lay language of the associated equipment or a modification to previously approved 
associated equipment and its intended usage, signed under penalty of perjury;  
(c) Detailed operating procedures for the associated equipment;  
(d) The standards under which such tests were performed, including Technical Standards 2 
and 3 if applicable, and  the results of such testing that confirms the associated equipment is 
functioning as represented, signed under penalty of perjury; and  
(e) All materials relating to the results of the registered independent testing laboratory ’s 
inspection and certification pr ocess that are required under these Rules . 
 2. Except as provided in subsection 3, upon written request from the manufacturer or 
distributor of associated equipment, or as the Commission  otherwise deems reasonable, the 
Commission  may, in the Commission ’s sole and absolute discretion, waive the approval 
requirement for associated equipment upon such terms and conditions that the Commission  may 
approve or require or refer the associated equipment to the full Commission  for consideration of 
approval.  
 3. Except as otherwise provided in subsection 4, the Commission  shall not grant an approval 
pursuant to these Rules  or waive such approval requirement pursuant to these Rules  with respect 
to any associated equipment that, when installed, will allow a patro n to use a debit instrument for 
purposes of making electronic funds transfers from an independent financial institution to a game or gaming device through a cashless wagering system until such time as the appropriate Rules  for 
such transfers are adopted.  
 4. The Commission  may grant approvals pursuant to subsection 1 or waive such approval 
requirements pursuant to subsection 2 with respect to the use of a prepaid access instrument in 
conjunction with an approved cashless wagering system.  
 5. A manufacturer or distributor of associated equipment who becomes aware that associated 
equipment approved by the Commission  no longer complies with the Rules  of the Commission or 
the technical standards a dopted pursuant to these Rules  shall notify the Commission  in writing 
within 3 business days.  
 12.270 Commission  evaluation of associated equipment. The Commission  may require 
transportation of not more than 2 working models of associated equipment to the new game lab of the Commission  or some other location for review and inspection. The manufacturer seeking 
approval of the equipment must pay the cost of the inspection and investigation. The lab may dismantle the associated equipment and may destroy electronic components in order to fully evaluate the equipment. The Commission  may require the manufacturer or distributor seeking 
approval to provide specialized equipment or the services of an independent technical expert to evaluate the associated equipment.  
 
12.280 Field trial of associated equipment. 
1. The Commission  may allow or require that the associated equipment be tested at licensed 
gaming establishments for not more than 180 days under terms and conditions that the 
Commission  may approve or require. The Commission  may allow an additional test period u pon 
written request of the manufacturer or distributor of associated equipment. 
 161 2. A manufacturer of associated equipment shall not modify associated equipment during 
the test period without the prior oral approval of the Commission . 
 
3. The Commission  may orde r termination of the test period, if the Commission  determines, 
in the Commission ’s sole and absolute discretion, that the manufacturer or the distributor of the 
associated equipment or licensed gaming establishment has not complied with the terms and conditions of the order allowing or requiring a test period. If the test period is terminated due to the licensed gaming establishment’ s failure to comply with the terms and conditions of the order 
allowing or requiring a test period, the Commission  may order that the test be conducted at 
another licensed gaming establishment.  
 
12.290 Installation of associated equipment. 
1. Except as otherwise provided in these Rule s, a licensee shall not install or use associated 
equipment without prior written approval of the Commission , unless the Commission  has waived 
the approval requirement pursuant to these Rule s. Applications for approval to install or use 
associated equipment shall be made and processed in such manner and using such forms as the 
Commission  may prescribe.  The Commission  shall not approve any use or installation(s) of 
associated equipment that allow a patron to use a debit instrument for purposes of making electronic funds transfers from an independent financial institution to a game or gaming device throug h a cashless wagering system until such time as the appropriate Rules  for such transfers are 
adopted.  
 2. The Commission  may grant approvals for the use of or installation of equipment used in 
conjunction with prepaid access instruments. 
 
12.300 Maintenance of associated equipment. The manner in which previously approved 
associated equipment operates may be altered only with the prior written approval of the Commission . 
 
12.302 Manufacturer or distributor of associated equipment; registration  of a 
manufacturer or distributor of associated equipment; application and procedures.  
1. The initial application for registration and the application for renewal of registration shall 
be made, processed, and determined using such forms as the Commission  may require or approve 
and must be accompanied and supplemented by such documents and information as may be 
specified or required.  
 2. Any applications for registration or renewal required under this section shall be prepared 
and submitted by the relevant ma nufacturer or distributor of associated equipment. 
 3. Fee Structure and Registration Period.  
(a) Upon submission of an application for registration as a manufacturer or distributor of 
associated equipment or renewal application, the applicant shall pay an applic ation fee of $1,000.  
(b) Before the Commission issues an initial registration or renewal of any registration for a 
manufacturer or distributor of associated equipment, the manufacturer or distributor of associated equipment shall pay an issuance fee of $1,000.  
 4. Each registered associated equipment manufacturer or distributor shall inform the 
Commission  in writing of any changes in the ownership, officers, or directors of the manufacturer or 162 distributor of associated equipment. Reports required under this subsection shall be made to the 
Commission  within 30 days of occurrence.  
 
12.305 Manufacturer or distributor of associated equipment; determination of 
suitability.  
1. In addition to the requirements of this Rule  requiring a manufacturer or distributor of 
associated equipment to be registered, the Commission may require a manufacturer or distributor 
of associated equipment who sells, transfers or offers the associated equipment for use or play in Arkansas  to file an application for a finding of suitability to be a manufacturer or distributor of 
associated equipment.  
 2. The Commission may require any person who directly or indirectly involves himself or 
herself in the sale, transfer or offering for use or play in A rkansas  of such associated equipment 
who is not otherwise required to be licensed as a manufacturer or distributor to file an application for a finding of suitability to be a manufacturer or distributor of associated equipment. 
 3. The Commission shall give written notice of its decision to require the filing of an 
application for a finding of suitability under subsection 1 and/or 2. 
 4. All investigative costs and fees associated with applications for a finding of suitability are 
owed by the party required  to file the application for a finding of suitability. Failure to remit such 
costs and fees within such periods set by the Commission, upon the advice of the Commission , will 
result in a lapse of the registrations of the applicable manufacturer or distribu tor of associated 
equipment and will constitute an unsuitable method of operation. Where the party required to file an application to manufacture or distribute associated equipment is not registered, failure to pay 
such investigative costs and fees is grounds for denial of any application associated with such manufacture or distribution of associated equipment. 
 5. Failure of any party described in subsections 1 or 2 to submit an application for a finding of 
suitability within 30 days of being demanded to do so by the Commission shall constitute grounds for a finding of unsuitability of that party.  
 6. If the Commission finds any manufacturer or distributor of associated equipment, as 
described in subsection 1, or any person, as described in subsection 2, t o be unsuitable under this 
section:  
(a) The registration of such manufacturer or distributor is thereupon revoked as a matter of 
law; 
(b) Any applications for registration as a manufacturer or distributor of associated equipment 
associated with a party which is found unsuitable are deemed denied as a matter of law; and  
(c) All Casino licensees shall, upon written notification from the Commission , terminate any 
existing relationships, direct or indirect, with such unsuitable parties.  
 7. Failure of a Casino license e to terminate any association or agreement, direct or indirect, 
with any party found unsuitable upon receiving written notice of the determination of unsuitability constitutes an unsuitable method of operation.  
 8. Failure of a registered manufacturer or di stributor of associated equipment to terminate any 
association or agreement with any party found unsuitable upon receiving written notice of the 163 determination of unsuitability shall constitute grounds for the revocation of the registration of the 
manufactu rer or distributor of associated equipment. 
 9. The Commission retains jurisdiction to determine the suitability of any party described in 
subsections 1 or 2 regardless of whether or not that party has severed any relationship with a Casino licensee or reg istered manufacturer or distributor of associated equipment. 
 
12.310 Retention of records. Unless otherwise specified, all records required by this Rule  
must be maintained for 5 years.  
 
End – Rule  12