Source: http://www.legis.state.wv.us/WVCODE/code.cfm?chap=29&art=25&section=38
Timestamp: 2015-03-01 03:49:06
Document Index: 603728185

Matched Legal Cases: ['§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§78', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§1172', '§1171', '§1178', '§29', '§29', '§1171', '§1178', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29', '§29']

Chapter 29 Entire Code ‹ Chapter 28
| Chapter 29A › Printer Friendly Versions
Chapter 29 | Article 29 - 25
| Section 38
6A - GRIEVANCE PROCEDURE FOR STATE 7 - POET LAUREATE
12C - PATIENT INJURY COMPENSATION 12D - WEST VIRGINIA PATIENT INJURY
15 - STATE COMMISSION ON MENTAL RE
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WVC 29-
WVC 29 - 25 - ARTICLE 25. AUTHORIZED GAMING FACILITY.
WVC 29 - 25 - 1 §29-25-1. Authorization of limited gaming facility; findings;
(a) Operation of West Virginia Lottery table games. --
Notwithstanding any provision of law to the contrary, the operation
of West Virginia Lottery games permitted by this article and the
related operation of a gaming facility and ancillary activities is
not unlawful when conducted under the terms specified in this
article and article twenty-two-c of this chapter.
(b) Legislative findings. -- The Legislature finds and
declares that the tourism industry plays a critical role in the
economy of this state and that a substantial state interest exists
in protecting that industry. It further finds and declares that
the authorization of the operation of a gaming facility at no more
than one well-established historic resort hotel in this state as
provided in this article will serve to protect and enhance the
tourism industry, and indirectly other segments of the economy of
this state, by providing a resort hotel amenity which is becoming
increasingly important to many actual and potential resort hotel
patrons. The Legislature finds and declares that video lottery
operations pursuant to section twenty-eight of this article and the
operation of the other West Virginia Lottery table games permitted
by this article constitute the operation of lotteries within the
purview of section thirty-six, article VI of the Constitution of
West Virginia. (c) Legislative intent. -- It is the intent of the Legislature
in the enactment of this article to promote tourism and year-round
employment in this state. It is expressly not the intent of the
Legislature to promote gaming. As a consequence, it is the intent
of the Legislature to allow limited gaming as authorized by this
article and article twenty-two-c of this chapter with all moneys
gained from the operation of the gaming facility, other than those
necessary to reimburse reasonable costs of operation, to inure to
the benefit of the state. Further, it is the intent of the
Legislature that amendments made to this article during the 2009
regular session will establish appropriate conformity between the
operations of video lottery and West Virginia Lottery table games
at the licensed gaming facility under this article and the
operations of video lottery and table games at the pari-mutuel
racetracks licensed under articles twenty-two-a and twenty-two-c of
WVC 29 - 25 - 2 §29-25-2. Definitions.
As used in this article, unless the context otherwise
requires, the following words and phrases have meanings indicated:
(a) "Applicant" means any person or entity applying for a
(b) "Adjusted gross receipts" means the gross receipts of a
gaming facility from West Virginia Lottery table games less
winnings paid to wagerers in such games.
(c) "Annual average gross receipts of the pari-mutuel
racetracks with table games licenses" means the amount obtained by
adding the adjusted gross receipts of all West Virginia pari-mutuel
racetracks with table games licenses and then dividing that
calculation by the number of West Virginia pari-mutuel racetracks
with table games licenses.
(d) "Background investigation" means a security, criminal and
credit investigation of an applicant who has applied for the
issuance or renewal or a license pursuant to this article or a
licensee who holds a current license.
(e) "Controlling interest" means:
(1) For a partnership, an interest as a general or limited
partner holding more than five percent interest in the entity;
(2) For a corporation, an interest of more than five percent
of the stock in the corporation; and
(3) For any other entity, an ownership interest of more than
five percent in the entity.
(f) "Controlling person" means, with respect to another
person, any person directly or indirectly owning or holding a
controlling interest in that other person.
(g) "Commission" means the State Lottery Commission created in
section four, article twenty-two of this chapter.
(h) "Designated gaming area" means one or more specific floor
areas of a licensed gaming facility within which the commission has
authorized operation of video lottery terminals or West Virginia
Lottery table games, or the operation of both video lottery
terminals and West Virginia Lottery table games.
(i) "Director" means the Director of the State Lottery
(j) "Erasable programmable read-only memory chips" or "EPROM"
means the electronic storage medium on which the operation software
for all games playable on a video lottery terminal resides and can
also be in the form of CD ROM, flash ROM or other new technology
medium that the commission may from time to time approve for use in
video lottery terminals. All electronic storage media are
considered to be property of the State of West Virginia.
(k) "Fringe benefits" means sickness and accident benefits and
benefits relating to medical and pension coverage.
(l) "Gaming devices and supplies" mean gaming tables for all
West Virginia Lottery table games, roulette wheels, wheels of
fortune, video lottery terminals, cards, dice, chips, tokens,
markers or any other mechanical, electronic or other device, mechanism or equipment or related supplies utilized in the
operation of a West Virginia Lottery table game.
(m) "Gaming facility" means a designated area on the premises
of an existing historic resort hotel in which West Virginia Lottery
table games are conducted by a gaming licensee.
(n) "Gaming licensee" means the licensed operator of a gaming
(o) "Gross receipts" means the total amount of money exchanged
for the purchase of chips, tokens or electronic cards by patrons of
a gaming facility reduced by gross terminal income to the extent
gross terminal income is included in the amount of money exchanged.
(p) "Gross terminal income", as used in this article and as
used in article twenty-two-a of this chapter, means the total
amount of cash, vouchers or tokens inserted into the video lottery
terminals operated by a licensee, minus promotional credits played,
and minus the total value of coins and tokens won by a player and
game credits which are cleared from the video lottery terminals in
exchange for winning redemption tickets.
(q) "Historic resort hotel" means a resort hotel registered
with the United States Department of the Interior as a national
historic landmark in its National Registry of Historic Places
having not fewer than five hundred guest rooms under common
ownership and having substantial recreational guest amenities in
addition to the gaming facility.
(r) "Historic Resort Hotel Fund" means the special fund in the State Treasury created in section twenty-two of this article.
(s) "Human Resource Benefit Fund" means the special fund in
the State Treasury created in section twenty-two-a of this article.
(t) "Human Resource Benefit Advisory Board" or "board" means
the advisory board created in section twenty-two-a of this article.
(u) "License" means a license issued by the commission,
(1) A license to operate a gaming facility;
(2) A license to supply gaming devices and supplies to a
gaming facility;
(3) A license to be employed in connection with the operation
of a gaming facility; or
(4) A license to provide management services under a contract
to a gaming facility under this article.
(v) "Licensed gaming facility employee" means any individual
licensed to be employed by a gaming licensee in connection with the
operation of a gaming facility.
(w) "Licensed gaming facility supplier" means a person who is
licensed by the commission to engage in the business of supplying
gaming devices and gaming supplies to a gaming facility.
(x) "Licensee" means a gaming licensee, a licensed gaming
facility supplier or a licensed gaming facility employee.
(y) "Manufacturer" means any person holding a license granted
by the commission to engage in the business of designing, building,
constructing, assembling or manufacturing video lottery terminals, the electronic computer components of the video lottery terminals,
the random number generator of the video lottery terminals, or the
cabinet in which it is housed, and whose product is intended for
sale, lease or other assignment to a licensed gaming facility in
West Virginia and who contracts directly with the licensee for the
(z) "Net terminal income" means gross terminal income minus an
amount deducted by the commission to reimburse the commission for
its actual cost of administering video lottery at the licensed
gaming facility. No deduction for any or all costs and expenses of
a licensee related to the operation of video lottery games shall be
deducted from gross terminal income.
(aa) "Person" means any natural person, corporation,
association, partnership, limited partnership, limited liability
company or other entity, regardless of its form, structure or
(bb)"Premises of an existing historic resort hotel" means the
historic resort hotel, attachments of the historic resort hotel,
and the traditional, immediate grounds of the historic resort
(cc) "Promotional credits" means credits given by the licensed
gaming facility or licensed racetrack to players allowing limited
free play of video lottery terminals in total amounts and under
conditions approved in advance by the commission.
(dd) "Video lottery game", as used in this article and as used
in article twenty-two-a of this chapter, means a commission-
approved, -owned and -controlled electronically simulated game of
chance which is displayed on a video lottery terminal and which:
(1) Is connected to the commission's central control computer
by an online or dial-up communication system;
(2) Is initiated by a player's insertion of cash, vouchers or
tokens into a video lottery terminal, which causes game play
credits to be displayed on the video lottery terminal and, with
respect to which, each game play credits entitles a player to
choose one or more symbols or numbers or to cause the video lottery
terminal to randomly select symbols or numbers;
(3) Allows the player to win additional game play credits,
coins or tokens based upon game rules which establish the random
selection of winning combinations of symbols or numbers or both and
the number of free play credits, coins or tokens to be awarded for
each winning combination of symbols or numbers or both;
(4) Is based upon a computer-generated random selection of
winning combinations based totally or predominantly on chance;
(5) Allows a player at any time to simultaneously clear all
game play credits and print a redemption ticket entitling the
player to receive the cash value of the free plays cleared from the
video lottery terminal; and
(ee) "Wager" means a sum of money or thing of value risked on
an uncertain occurrence.
(ff) "West Virginia Lottery table game" means any game played
with cards, dice or any mechanical, electromechanical or electronic
device or machine for money, credit or any representative of value,
including, but not limited to, baccarat, blackjack, poker, craps,
roulette, wheel of fortune or any variation of these games similar
in design or operation and expressly authorized by rule of the
commission, including multiplayer electronic table games, machines
and devices, but excluding video lottery, punchboards, faro,
numbers tickets, push cards, jar tickets, pull tabs or similar
WVC 29 - 25 - 3 §29-25-3. Commission duties and powers.
(a) Duties. -- In addition to the duties set forth elsewhere
in this article, the commission shall:
(1) Establish minimum standards for gaming devices and
supplies, including electronic or mechanical gaming devices;
(2) Approve, modify or reject game rules of play for all West
Virginia Lottery table games proposed to be operated by a gaming
(3) Approve, modify or reject minimum internal control
standards proposed by the licensee gaming facility for a West
Virginia Lottery table game, including the maintenance of financial
(4) Provide staff to supervise, inspect and monitor the
operation of any gaming facility, including inspection of gaming
devices and supplies used in the operation to assure continuous
compliance with all rules of the commission and provisions of this
(5) Establish minimum levels of insurance to be maintained
with respect to a gaming facility;
(6) Investigate applicants to determine eligibility for any
license and, where appropriate, select among competing applicants;
(7) Designate appropriate classifications of personnel to be
employed in the operation of a gaming facility and establish
appropriate licensing standards within the classifications;
(8) Issue all licenses;
(9) Charge and collect the taxes and fees authorized, required
or specified in this article:
(i) Receive, accept and pay the specified percentage of taxes
collected under sections twenty and twenty-one of this article into
the Historic Resort Hotel Fund; and
(ii) Receive, accept and pay the specified percentage of taxes
the Human Resource Benefit Fund;
(10) Maintain a record of all licenses issued;
(11) Keep a public record of all commission actions and
(12) File a written annual report to the Governor, the
President of the Senate and the Speaker of the House of Delegates
on or before January 30 of each year and any additional reports as
the Governor or Legislature may request.
(b) Powers. -- In addition to the powers set forth elsewhere
in this article, the commission has the following powers:
(1) To sue to enforce any provision of this article by
injunction;
(2) To hold hearings, administer oaths and issue subpoenas for
the attendance of a witness to testify and to produce evidence;
(3) To enter a gaming facility at any time and without notice
to ensure strict compliance with the rules of the commission;
(4) To bar, for cause, any person from entering or
participating in any capacity in the operation of a gaming facility; and
(5) To exercise such other powers as may be necessary to
effectuate the provisions of this article.
WVC 29 - 25 - 4 §29-25-4. Appointment of commission staff; conditions of
The director, pursuant to the provisions of section six,
article twenty-two of this chapter, with the approval of the
commission, may appoint any professional, clerical, technical and
administrative personnel, who shall be state employees hired in
accordance with article six of this chapter, that may be necessary
to carry out the provisions of this article. Prior to his or her
appointment, each staff person shall undergo a thorough background
investigation, including fingerprinting and a check of criminal
records. No employee may directly or indirectly hold any financial
interest in any entity licensed under this article.
WVC 29 - 25 - 5 §29-25-5. Rules.
The commission shall propose for promulgation legislative
rules in accordance with the provisions of article three, chapter
twenty-nine-a of this code as are necessary to provide for
implementation and enforcement of the provisions of this article. Any legislative rules proposed by the commission before September
1, 2009, may be by emergency rule.
WVC 29 - 25 - 6 §29-25-6. Law enforcement.
(a) Generally. -- Notwithstanding any provision of this code
to the contrary, the commission shall, by contract or cooperative
agreement with the West Virginia State Police, arrange for those
law-enforcement services uniquely related to gaming as such occurs
at the gaming facility that are necessary to enforce the provisions
(b) Costs. -- The actual cost of services provided by the West
Virginia State Police pursuant to a contract or cooperative
agreement entered into pursuant to the provisions of subsection (a)
of this section, including, but not limited to, necessary training
costs, shall be paid by the commission as an administrative
(c) Notwithstanding any provision of this code to the
contrary, the West Virginia State Police shall have exclusive
jurisdiction over felony offenses committed on the grounds of the
gaming facility.
WVC 29 - 25 - 7 §29-25-7. Local option.
(a) No gaming facility may be licensed to operate in a county
until the county commission of the county holds an election on the
question of whether a gaming facility may be operated within the
county and the voters approve the operation of a gaming facility in
the county. The election shall be determined by a vote of the
resident voters of the county in which the facility is proposed to
The county commission of the county in which the proposed
facility is located shall give notice to the public of the election
by publication of the notice as a Class II-0 legal advertisement in
compliance with the provisions of article three, chapter fifty-nine
of this code, and the publication area for the publication shall be
the county in which the election is to be held. The date of the
last publication of the notice shall fall on a date within the
period of the fourteen consecutive days next preceding the
On the local option election ballot shall be printed the
Shall West Virginia lottery commission video lottery games and
authorized games of chance be permitted within an area at the [name
of qualified historic resort hotel]?
Any local option election to approve or disapprove of the
proposed authorization of a gaming facility within a county shall
be in accordance with procedures adopted by the commission. The
local option election may be held in conjunction with a primary or
general election, or at a special election. Approval shall be by
a majority of the voters casting votes on the question of approval
or disapproval of gaming facility operations at the election.
If a majority votes against allowing a gaming facility, no
election on the issue shall be held for a period of one hundred
four weeks. If a majority votes "yes" no election reconsidering
the action may be held for a period of five years. A local option
election may thereafter be held if a written petition of qualified
voters residing within the county equal to at least five percent of
the number of persons who were registered to vote in the next
preceding general election is received by the county commission of
the county in which the gaming facility is to be located. The
petition may be in any number of counterparts. The election shall
take place at the next primary or general election scheduled more
than ninety days following receipt by the county commission of the
petition required by this subsection: Provided, That the issue may
not be placed on the ballot until all statutory notice requirements have been met: Provided, however, That no subsequent disapproval
may take effect until after the expiration of the five-year
licensing period in effect at the time of the referendum.
(b) No local law or regulation providing any penalty,
disability, restriction, regulation or prohibition for operating a
gaming facility or supplying a gaming facility may be enacted, and
the provisions of this article preempt all regulations, rules,
ordinances and laws of any county or municipality in conflict with
(c) Except as specifically provided in this article, no other
fees or taxes may be imposed by a local governing body.
WVC 29 - 25 - 8 §29-25-8. Licenses required.
(a) No person may engage in any activity in connection with a
gaming facility in this state for which a license is required by
subsection (b) of this section unless that person has been licensed
by the commission in accordance with this article.
(1) For any person engaging in the business of operating a
gaming facility in the state;
(2) For any person engaging in the business of supplying a
gaming facility with gaming devices, gaming supplies or gaming
(3) For any individual employed by a gaming licensee in
connection with the operation of a gaming facility in the state;
(4) For any person providing management services under a
contract to a gaming facility.
(c) Any license required under this article is in addition to
all other licenses or permits otherwise required by law.
WVC 29 - 25 - 9 §29-25-9. License to operate a gaming facility.
(a) Single license. -- The commission may issue only one
license to operate a gaming facility. If the one license
limitation in the preceding sentence is found to be
unconstitutional in a final, nonappealable order by a court of
competent jurisdiction, the commission shall have no authority to
issue any license under this article and, in such event, the
provisions of this article shall not be severable and any license
issued under the provisions of this article prior thereto shall be
void. The Legislature intends that no more than one license to
operate one gaming facility in this state shall be authorized in
(b) Applicant qualifications. -- The applicant shall be the
actual operator of the gaming facility to be located on the
premises of an existing historic resort hotel. The applicant may
be the owner of the existing historic resort hotel or a person that
leases well-defined spaces on the premises of the historic resort
hotel in order to operate a gaming facility as defined by this
article. The resort hotel shall be located within the jurisdiction
of a county approving the operation of a gaming facility in
accordance with section seven of this article. The applicant shall
meet the qualifications and requirements set forth in this article
and rules adopted by the commission. In determining whether to
grant a license to operate a gaming facility to an applicant, the
commission shall consider:
(1) The character, reputation, experience and financial
integrity of the applicant and any controlling person of the
(2) Whether the applicant has adequate capital to construct
and maintain the proposed gaming facility for the duration of a
(3) The extent to which the applicant meets standards
contained in rules adopted by the commission relating to public
safety or other standards; and
(4) The plan submitted by the applicant regarding employment
levels and the extent to which the submitted plan demonstrates an
ability on the part of the applicant to create at least one hundred
full-time equivalent jobs with a salary and benefit package
commensurate with existing employees at the historic resort hotel.
(c) Floor plan submission requirement. -- Prior to commencing
the operation of any West Virginia Lottery table game in a
designated gaming area, the gaming facility licensee shall submit
to the commission for its approval a detailed floor plan depicting
the location of the designated gaming area in which West Virginia
Lottery table game gaming equipment will be located and its
proposed arrangement of the West Virginia Lottery table game gaming
equipment. If the floor plans for the designated gaming area
preserve the historic integrity of the historic resort hotel where
the licensed gaming facility is located, then any floor plan
submission that satisfies the requirements of the rules promulgated by the commission shall be considered approved by the commission
unless a gaming facility is notified in writing to the contrary
within one month of filing a detailed floor plan.
(d) Management service contracts. --
(1) Approval. -- A gaming facility may not enter into any
management service contract that would permit any person other than
the licensee to act as the commission's agent in operating West
Virginia Lottery table game unless the management service contract:
(A) Is with a person licensed under this article to provide
management services; (B) is in writing; and (C) the contract has
been approved by the commission.
(2) Material change. -- A licensed gaming facility shall
submit any material change in a management service contract
previously approved by the commission to the commission for its
approval or rejection before the material change may take effect.
(3) Prohibition on assignment or transfer. -- A management
services contract may not be assigned or transferred to a third
(4) Other commission approvals and licenses. -- The duties and
responsibility of a management services provider under a management
services contract may not be assigned, delegated, subcontracted or
transferred to a third party to perform without the prior approval
of the commission. Third parties shall be licensed under this
article before providing service. The commission shall license and
require the display of West Virginia Lottery game logos on appropriate game surfaces and other gaming items and locations as
the commission considers appropriate.
(e) License application requirements. -- An applicant for a
license to operate a gaming facility shall:
(1) Submit an application to the commission on a form
prescribed by the commission, which form shall include:
(A) Information concerning the applicant and of any
controlling person of the applicant sufficient to serve as a basis
for a thorough background check;
(B) Subject to the provisions of subsection (g) of this
section with respect to publicly-traded corporations, the identity
of all stockholders or other persons having a financial interest in
either the applicant or any controlling person of the applicant and
the identity of each director or executive officer of the applicant
and of any controlling person of the applicant;
(C) The identity of the historic resort hotel at which the
gaming facility is to be located, including identification of the
county in which the historic resort hotel is located; and (D) Any other information designated by the commission as
appropriate to assist it in determining whether a license should be
(2) Pay to the commission a nonrefundable application fee for
deposit into the Community-Based Service Fund created in section
twenty-seven, article twenty-two-c of this chapter in the amount of
(f) Privately held corporations. -- In the event that an
applicant or any controlling person of an applicant is a privately
held corporation, then the commission may not grant a license until
the commission determines that each person who has control of the
applicant also meets all of the qualifications the applicant must
meet to hold the license for which application is made. The
following persons are considered to have control of an applicant:
(1) Each person associated with a corporate applicant,
including any corporate holding company, parent company or
subsidiary company of the applicant, but not including a bank or
other licensed lending institution which holds a mortgage or other
lien acquired in the ordinary course of business, who has the
ability to control the activities of the corporate applicant or
elect a majority of the board of directors of that corporation;
(2) Each person associated with a noncorporate applicant who
directly or indirectly holds any beneficial or proprietary interest
in the applicant or who the commission determines to have the
ability to control the applicant; and
(3) Key personnel of an applicant, including any executive,
employee or agent, having the power to exercise significant
influence over decisions concerning any part of the applicant's
(g) Publicly traded corporations. -- In the event that an
applicant or any controlling person of an applicant is a publicly
traded corporation, then information otherwise required to be furnished by an applicant with respect to stockholders, directors
and executive officers of the publicly traded corporation shall be
limited to information concerning only those executive officers of
the publicly traded corporation whose ongoing and regular
responsibilities relate or are expected to relate directly to the
operation or oversight of the gaming facility. "Publicly traded
corporation" as used herein means any corporation or other legal
entity, except a natural person, which has one or more classes of
securities registered pursuant to Section twelve of the Securities
Exchange Act of 1934, as amended (15 U.S.C. §78), or is an issuer
subject to Section fifteen-d of said act.
(h) Gaming facility qualifications. -- An applicant for a
license to operate a gaming facility shall demonstrate that the
gaming facility will: (1) Be accessible to disabled individuals;
(2) not be located at the main entrance to the historic resort
hotel; (3) be licensed in accordance with all other applicable
federal, state and local laws; and (4) meet any other
qualifications specified by rules adopted by the commission.
(i) Surety bond requirement. -- The licensed gaming facility
shall execute a surety bond to be given to the state to guarantee
the licensee faithfully makes all payments in accordance with the
provisions of this article and rules promulgated by the commission. The surety bond shall be:
(1) In an amount determined by the commission to be adequate
to protect the state against nonpayment by the licensee of amounts due the state under this article;
(3) With a surety approved by the commission who is licensed
to write surety insurance in this state. The bond shall remain in
effect during the term of the license and may not be canceled by a
surety on less than thirty days' notice in writing to the
commission. The total and aggregate liability of the surety on the
bond is limited to the amount specified in the bond. (j) Authorization of license. -- A license to operate a gaming
facility authorizes the licensee to engage in the business of
operating a gaming facility while the license is effective. A
license to operate a gaming facility is not transferable or
assignable and cannot be sold or pledged as collateral.
(k) Audits. -- A licensed gaming facility operator shall
submit to the commission an annual audit, by a certified public
accountant who is, or whose firm is, licensed in the State of West
Virginia, or by a nationally recognized accounting firm, of the
financial transactions and condition of the licensee's total
operations. The audit shall be in accordance with generally
accepted auditing principles.
(l) Annual license renewal fee. -- For the second year that it
is licensed, the licensed gaming facility shall pay to the
commission a license renewal fee of $250,000. For the third year
that it is licensed, the licensed gaming facility shall pay to the
commission a license renewal fee of $500,000. For every year after the third year that it is licensed, the licensed gaming facility
shall pay to the commission a license renewal fee that is
calculated by determining the annual average gross receipts of the
West Virginia pari-mutuel racetracks with table games licenses for
the last full fiscal year of adjusted gross receipts available, and
dividing that number into the licensed gaming facility operator's
adjusted gross receipts for the same full fiscal year of adjusted
gross receipts to obtain a percentage, and by multiplying the
resulting percentage by $2,500,000: Provided, That the amount
required to be paid by the licensed gaming facility shall be not
less than $500,000, nor more than $2,500,000.
(m) The licensed gaming facility shall provide to the
commission, at no cost to the commission, suitable office space at
the gaming facility to perform the duties required of it by the
WVC 29 - 25 - 10 §29-25-10. Reports by licensee.
(a) A gaming licensee shall file with the commission an annual
balance sheet and profit and loss statement pertaining to the
licensee's operation of a gaming facility in this state. A gaming
licensee also shall file with the commission an annual statement
identifying each controlling person of the licensee and all
stockholders, partners, officers or directors for the licensee and
any controlling person: Provided, That if a gaming licensee or
controlling person is a publicly-traded corporation, then as to the
publicly-traded corporation the annual report is required to
identify only executive officers whose ongoing regular duties
relate directly to the operation of the gaming facility. A gaming
licensee shall file further reports with the commission as the
commission may require by rule.
(b) A gaming licensee shall maintain daily records showing the
(1) The total number of patrons of the gaming facility; and
(2) The gross receipts and the adjusted gross receipts.
(c) From information provided under this subsection, from the
audit described in subsection (j), section nine of this article,
and from any other source available to the commission, the
commission shall identify the profits made from the operation of the gaming facility and compare the profits to profits made from the operation of facilities of a similar nature in other states. Annually, the commission shall submit a report to the joint
committee on government and finance setting forth the profits made
in the operation of the gaming facility in this state and the
results of the comparison to profits made in other states. The
commission shall include in the report its recommendations for any
adjustments in the taxes imposed upon the operation of a gaming
facility under the provisions of this article that would be
commensurate with the legislative intent to maximize taxes received
from the operation of a gaming facility and minimize profits
derived by a licensee from the operation of a gaming facility.
WVC 29 - 25 - 11 §29-25-11. License to supply gaming facility.
(a) Licenses. -- The commission may issue a license to each
applicant for a license to supply a gaming facility with gaming
devices, gaming supplies or services who meets the requirements of
(b) License qualifications. -- To qualify for a license, an
applicant shall meet the requirements of this section. Each
applicant who is an individual who is a controlling person of an
applicant that is not an individual shall be of good moral
character and reputation and shall have the necessary experience
and financial ability to successfully carry out the functions of a
gaming facility supplier. The commission may adopt rules
establishing additional requirements for a gaming facility
(c) Supplier specification. -- An applicant for a license to
supply gaming devices, equipment and supplies to a gaming facility
shall demonstrate that the gaming devices, equipment and supplies
that the applicant plans to sell or lease to the licensed operator
of the gaming facility, conform or will conform to standards
established by rules of the commission and applicable state law.
(d) License application requirements. -- An applicant for a
license shall:
(1) Submit an application to the commission on the form that
the commission requires including adequate information to serve as
a basis for a thorough background check;
(2) Submit fingerprints for a national criminal records check
by the Criminal Identification Bureau of the West Virginia State
Police and the Federal Bureau of Investigation. The fingerprints
shall be furnished by all persons required to be named in the
application and shall be accompanied by a signed authorization for
the release of information by the Criminal Investigation Bureau and
the Federal Bureau of Investigation. The commission may require
any applicant seeking the renewal of a license or permit to furnish
fingerprints for a national criminal records check by the Criminal
Identification Bureau of the West Virginia State Police and the
Federal Bureau of Investigation; and
(3) Pay to the commission a nonrefundable application fee in
the amount of $100 to be retained by the commission as
reimbursement for the licensing process.
(e) Authorization of licensee. -- A license to supply a gaming
selling gaming devices and supplies to a gaming facility while the
license is effective.
(f) Inventory. -- A licensed gaming facility supplier shall
submit to the commission a list of all equipment, gaming devices
and supplies sold or delivered to a gaming facility in this state
when required by the commission.
(g) Annual license renewal fee. -- A licensed gaming facility
supplier shall pay to the commission an annual license renewal fee
of $100.
WVC 29 - 25 - 12 §29-25-12. License to be employed by operator of gaming facility.
(a) Licenses. -- The commission shall issue a license to each
applicant for a license to be employed in the operation of a gaming
facility who meets the requirements of this section.
(b) License qualifications. -- To qualify for a license to be
employed in a gaming facility, the applicant shall be an individual
of good moral character and reputation and have been offered
employment by the gaming facility contingent upon licensure
pursuant to the provisions of this section. The commission, by
rule, may specify additional requirements to be met by applicants
based on the specific job classification in which the applicant is
to be employed.
(c) License application requirements. -- An applicant for a
license to be employed in the operation of a gaming facility shall:
the commission requires, including adequate information to serve as
any applicant seeking the renewal of a license or permit to furnish fingerprints for a national criminal records check by the Criminal
reimbursement for the licensing process. This fee may be paid on
behalf of the applicant by the employer.
(d) Authorization of licensee. -- A license to be employed by
a gaming facility authorizes the licensee to be so employed in the
capacity designated by the commission with respect to the license
while the license is effective.
(e) Annual license renewal fee. -- Each licensed employee
shall pay to the commission an annual license renewal fee set by
the commission, which renewal fee may vary based on the capacity
designated with respect to the licensee but in no event to exceed
$100. The fee may be paid on behalf of the licensed employee by
WVC 29 - 25 - 13 §29-25-13. False statements on applications; other license
(a) Any person who knowingly makes a false statement on an
application is guilty of a misdemeanor and, upon conviction
thereof, shall be fined not more than $1,000 and confined in jail
for not more than six months except that in the case of a person
other than a natural person, the amount of the fine imposed may not
be more than $25,000.
(b) The commission may not grant a license pursuant to the
provisions of this article if there is substantial evidence that
(1) Has knowingly made a false statement of a material fact to
the commission; (2) Has been suspended from operating a gambling game, gaming
device or gambling operation in another jurisdiction by a board or
other governmental authority of that jurisdiction having
responsibility for the regulation of gambling or gaming activities;
(3) Has been convicted of a felony, an offense of moral
turpitude, a gambling offense, a theft or fraud offense or has
otherwise demonstrated, either by a police record or other
satisfactory evidence, a lack of respect for law and order;
(4) Has failed to meet any monetary obligation in connection
with a gaming facility or any other form of gaming; or
(5) In the case of an applicant for a license to operate a
gaming facility or to supply a gaming facility:
(A) Has not demonstrated financial responsibility sufficient
to meet adequately the requirements of the enterprise proposed;
(B) Is not the true owner of the enterprise or is not the sole
owner and has not disclosed the existence or identity of other
persons who have an ownership interest in such enterprise; or
(C) Is a corporation and five percent or more of the stock of
the corporation is subject to a contract or option to purchase at
any time during the period for which the license is issued unless
the contract or option was disclosed to and approved by the
(c) In addition to any other grounds specified in this
article, and subject to the hearing provisions of section seventeen
of this article, in the case of a license to operate a gaming
facility the commission may deny a license to any applicant,
reprimand any licensee, or suspend or revoke a license if the
applicant or licensee or any controlling person of the applicant or
licensee knowingly employs an individual in a senior management
position who has been convicted of a felony under the laws of this
state, another state, a territory of the United States, or the
United States or employs any individual in a senior management
position who has had a license relating to the operation of a
gaming facility revoked by this state or any other state.
(d) Character references may be required of persons licensed,
but the character reference may not be obtained from persons in the
same or similar occupations or professions in other states.
WVC 29 - 25 - 14 §29-25-14. Licenses; availability for inspection; change of address.
(a) The commission shall include on each license that the
commission issues:
(3) The effective date of the license; and
(4) Any other information the commission considers
(b) Each gaming licensee or licensed supplier of a gaming
facility shall display the license conspicuously in its place of
business or have the license readily available for inspection at
the request of any agent of the commission or of the state police. Each holder of a license to be employed by a gaming facility shall
carry the license on his or her person at all times when present in
a gaming facility and, if required by rules adopted by the
commission with respect to the particular capacity in which the
licensee is employed, have some indicia of licensure prominently
displayed on his or her person.
(c) Each licensee shall give the commission written notice of
any change of address and any other relevant information necessary
for the maintenance of accurate records by the commission.
WVC 29 - 25 - 15 §29-25-15. Expiration date and renewal of gaming license.
(a) A license expires on the fifth anniversary of its
effective date, unless the license is renewed for additional
five-year terms as provided in this section.
(b) At least two months before a license expires, the
commission shall send to the licensee, by mail to the last known
address, a renewal application form and notice that states:
(2) The date by which the commission must receive the renewal
application for the renewal to be issued and mailed before the
existing license expires; and
(c) Before the license expires the licensee may renew it for
successive additional five-year terms if the licensee:
(2) Pays to the commission the following renewal fee:
(A) The sum of twenty-five thousand dollars for a license to
operate a gaming facility;
(B) The sum of five thousand dollars for a license to supply
a gaming facility; and
(C) As set by the commission by rule in the case of a license
to be employed by an operator of a gaming facility, not to exceed
three hundred dollars, which renewal fee may be paid on behalf of the licensee by the employer; and
(3) Submits to the commission a renewal application in the
form that the commission requires accompanied by satisfactory
evidence of compliance with any additional requirements set by
rules of the commission for license renewal; and
(4) Submits to the commission evidence satisfactory to the
commission of the gaming facility operator's compliance with the
plan described in subdivision (4), subsection (b), section nine of
this article to create at least one hundred full-time equivalent
positions with a salary and benefit package commensurate with
existing employees at the historic resort hotel. Notwithstanding
any provision of subsection (d) of this section, the failure to
substantially comply with the plan, as determined by the
commission, may constitute grounds for the denial of the renewal of
(d) The commission shall renew the license of each licensee
who meets the requirements of this section.
WVC 29 - 25 - 16 §29-25-16. License denial, revocation and reprimand.
(a) The commission may deny a license to any applicant,
applicant or licensee, or any controlling person of the applicant
or license:
(1) Fraudulently or deceptively obtains or attempts to obtain
a license for the applicant or licensee or for another;
(3) Is convicted of a felony under the laws of this state,
another state, a territory of the United States or the United
(4) Is convicted of a misdemeanor under the laws of this
state, another state, the United States or a territory of the
United States for gambling or a gambling-related activity; or
(5) Is not complying with this act, the rules or the minimum
internal control standards promulgated by the commission or the
(b) Instead of or in addition to reprimanding a licensee or
suspending or revoking a license, the commission may impose a civil
penalty under section twenty-seven of this article.
WVC 29 - 25 - 17 §29-25-17. Hearing procedures.
(a) Right to a hearing. -- Except as otherwise provided by
law, before the commission takes any action involving a licensee
under the provisions of this article, it shall give the persons
against whom the action is contemplated an opportunity for a
hearing before the commission.
(b) Notice of hearing and right to counsel. -- The commission
shall give notice and hold the hearing in accordance with article
five, chapter twenty-nine-a of this code. The notice shall be
given to the person by certified mail to the last known address of
the person at least thirty days before the hearing. The person may
be represented at the hearing by counsel.
(c) Failure to comply with subpoena. -- If a person fails to
comply with a subpoena issued under this section, on petition of
the commission, the circuit court may compel obedience to the
subpoena. If after due notice the person against whom the action
is contemplated fails or refuses to appear, the commission may hear
and determine the matter.
(d) Appeal. -- Any person aggrieved by a final decision of the
commission in a contested case may file a petition for appeal in
the circuit court of Kanawha County within thirty days after the
person received notice of the final order or decision, as provided
in section four, article five, chapter twenty-nine-a of this code.
WVC 29 - 25 - 18 §29-25-18. Inspection and seizure.
As a condition of licensure, to inspect or investigate for
criminal violations of this article or violations of the rule
promulgated by the commission, the commission agents and the West
Virginia State Police may each, without notice and without warrant:
(1) Inspect and examine all premises of the gaming facility
with West Virginia Lottery table games, gaming devices, the
premises where gaming equipment is manufactured, sold, distributed
or serviced or any premises in which any records of the activities
are prepared or maintained;
(2) Inspect any gaming equipment in, about, upon or around the
premises of a gaming facility with West Virginia Lottery table
(3) Seize summarily and remove from the premises and impound
any gaming equipment for the purposes of examination, inspection or
(4) Inspect, examine and audit all books, records and
documents pertaining to a gaming facility licensee's operation;
(5) Summarily seize, impound or assume physical control of any
book, record, ledger, West Virginia Lottery table game, gaming
equipment or device, cash box and its contents, counting room or
its equipment or West Virginia Lottery table game operations; and
(6) Inspect the person, and the person's personal effects
present on the grounds of a licensed gaming facility with West
Virginia Lottery table games, of any holder of a license issued pursuant to this article while that person is present on the
grounds of a licensed gaming facility having West Virginia Lottery
WVC 29 - 25 - 19 §29-25-19. Consent to presence of law-enforcement officers;
wagering limits; operations and services; posting
of betting limits.
(a) Consent to presence of law-enforcement officers. -- Any
individual entering the gaming facility shall be advised by the
posting of a notice or other suitable means of the possible
presence of state, county or municipal law-enforcement officers and
by entering the gaming facility impliedly consents to the presence
of the law-enforcement officers.
(b) Commission discretion in gaming operations. -- Video
lottery terminals operated at the gaming facility may allow minimum
and maximum wagers on a single game the amounts determined by the
license in the exercise of its business judgment subject to the
approval of the commission.
(1) Subject to the approval of the commission, the gaming
facility licensee shall, with respect to West Virginia Lottery
table games, establish the following:
(A) Maximum and minimum wagers;
(B) Advertising and promotional activities;
(C) Hours of operation; (D) The days during which games may be played; and
(2) The commission may consider multiple factors, including,
but not limited to, industry standards, outside competition and any
other factors as determined by the commission to be relevant in its
decision to approve the gaming facility's determination of those items listed in subdivision (1) of this subsection.
(c) Setting of operations. -- Notwithstanding anything to the
contrary contained elsewhere in this chapter, the commission may
establish the following parameters for commission regulated lottery
games of any kind which is played at a licensed gaming facility:
(2) Any probability limits of obtaining the maximum payout for
a particular play; and
(3) Limitations on the types and amounts of financial
transactions, including extension of credit to a patron, which a
gaming facility can enter into with its patrons.
(d) Posting of betting limits. -- A gaming facility shall
conspicuously post a sign at each West Virginia Lottery table game
indicating the permissible minimum and maximum wagers pertaining at
that table. A gaming facility licensee may not require any wager
to be greater than the stated minimum or less than the stated
maximum. However, any wager actually made by a patron and not
rejected by a gaming facility licensee prior to the commencement of
play shall be treated as a valid wager.
WVC 29 - 25 - 20 §29-25-20. Accounting and reporting of gross terminal income;
The licensed gaming facility shall submit thirty-six percent
of the gross terminal income from video lottery games at the
licensed gaming facility to the commission through electronic funds
transfer to be deposited into the Historic Resort Hotel Fund
created in section twenty-two of this article. The licensed gaming
facility shall also submit seventeen percent of the gross terminal
income from video lottery games at the licensed gaming facility to
the commission through electronic funds transfer to be deposited
into the Human Resource Benefit Fund created in section
twenty-two-a of this article. Each of these submissions shall be
made to the commission weekly. The gaming licensee shall furnish
to the commission all information and bank authorizations required
to facilitate the timely transfer of moneys to the commission. The
gaming licensee shall provide the commission thirty days' advance
notice of any proposed account changes in order to assure the
uninterrupted electronic transfer of funds.
WVC 29 - 25 - 21 §29-25-21. Taxes on games other than video lottery games.
(a) Imposition and rate of limited gaming profits tax. --
There is hereby levied and shall be collected a privilege tax
against a gaming license in an amount to be determined by the
application of the rate against adjusted gross receipts of the
licensed gaming facility. The rate of tax is thirty-five percent. Of that thirty-five percent, thirty percent shall be directly
deposited by the commission into the Historic Resort Hotel Fund
created in section twenty-two of this article and the remaining
five percent shall be directly deposited by the commission into the
Human Resource Benefit Fund created in section twenty-two-a of this
article. For purposes of calculating the amount of tax due under
this section, the licensee shall use the accrual method of
accounting. This tax is in addition to all other taxes and fees
imposed: Provided, That the consumers sales and service tax
imposed pursuant to article fifteen, chapter eleven of this code
may not apply to the proceeds from any wagering with respect to a
West Virginia Lottery table game pursuant to this article.
(b) Computation and payment of tax. -- The taxes levied under
the provisions of this section are due and payable to the
commission in weekly installments on or before the Wednesday of
each week. The taxpayer shall, on or before the Wednesday of each
week, make out and submit by electronic communication to the
commission a return for the preceding week, in the form prescribed
by the commission, showing: (1) The total gross receipts from the gaming facility for that month and the adjusted gross receipts; (2)
the amount of tax for which the taxpayer is liable; and (3) any
further information necessary in the computation and collection of
the tax which the Tax Commissioner or the commission may require. Payment of the amount of tax due shall accompany the return. All
payments made pursuant to this section shall be deposited in
accordance with sections twenty-two and twenty-two-a of this
article. Payments due to the commission under this section and
payments due to the commission under section twenty of this article
shall be sent simultaneously.
(c) Negative adjusted gross receipts. -- When adjusted gross
receipts for a week is a negative number because the winnings paid
to patrons wagering on the gaming facility's West Virginia Lottery
table games exceeds the gaming facility's gross receipts from the
purchase of table game tokens, chips or electronic media by
patrons, the commission shall allow the licensee to, pursuant to
rules of the commission, carry over the negative amount of adjusted
gross receipts to returns filed for subsequent weeks. The negative
amount of adjusted gross receipts may not be carried back to an
earlier week and the commission is not required to refund any tax
received by the commission, except when the licensee surrenders its
license to act as agent of the commission in operating West
Virginia Lottery table game under this article and the licensee's
last return filed under this section shows negative adjusted gross
receipts. In that case, the commission shall multiply the amount of negative adjusted gross receipts by the applicable rate of tax
and pay the amount to the licensee, in accordance with rules of the
(d) Prohibition on credits. -- Notwithstanding any other
provision of this code to the contrary, no credits may be allowed
against any tax imposed on any taxpayer by this code for an
investment in gaming devices and supplies, for an investment in
real property which would be directly utilized for the operation of
a gaming facility or for any jobs created at a gaming facility. Notwithstanding any other provision of this code to the contrary,
the tax imposed by this section may not be added to federal taxable
income in determining West Virginia taxable income of a taxpayer
for purposes of article twenty-four, chapter eleven of this code.
(e) Tax imposed by this section is in lieu of other taxes. -- (1) With the exception of the ad valorem property tax
collected under chapter eleven-a of this code, the tax imposed by
this section is in lieu of all other state taxes and fees imposed
on the operation of, or the proceeds from operation of West
Virginia Lottery table games, except as otherwise provided in this
section. The consumers sales and service tax imposed pursuant to
article fifteen, chapter eleven of this code shall not apply to the
licensee's gross receipts from any wagering on a West Virginia
Lottery table game pursuant to this article or to the licensee's
purchasing of gaming equipment, supplies or services directly used
in operation of a West Virginia Lottery table games authorized by this article. These purchases are also exempt from the use tax
imposed by article fifteen-a, chapter eleven of this code.
(2) With the exception of the ad valorem property tax
this section is in lieu of all local taxes and fees levied on or
imposed with respect to the privilege of offering a West Virginia
Lottery table game to the public, including, but not limited to,
the municipal business and occupation taxes and amusement taxes
authorized by article thirteen, chapter eight of this code and the
municipal sales and service tax and use tax authorized by article
thirteen-c of said chapter.
WVC 29 - 25 - 22 §29-25-22. Historic Resort Hotel Fund; allocation of adjusted
gross receipts; disposition of license fees.
(a) There is hereby created a special fund in the State
Treasury which shall be designated and known as the Historic Resort
Hotel Fund. Thirty-six percent of the gross terminal income
received by the commission under section twenty of this article and
thirty percent of the adjusted gross receipts received by the
commission under section twenty-one of this article shall be
deposited with the State Treasurer and placed in the Historic
Resort Hotel Fund. The fund shall be an interest-bearing account
with interest to be credited to and deposited in the Historic
Resort Hotel Fund.
(b) All expenses of the commission shall be paid from the
Historic Resort Hotel Fund, including reimbursement of the State
Police for activities performed at the request of the commission in
connection with background investigations or enforcement activities
pursuant to this article. At no time may the commission's expenses
under this article exceed fifteen percent of the total of the
annual revenue received from the licensee under this article,
including all license fees, taxes or other amounts required to be
deposited in the Historic Resort Hotel Fund.
(c) An Historic Resort Hotel Modernization Fund is hereby
created within the Historic Resort Hotel Fund. For all fiscal
years beginning on or after July 1, 2011, the commission shall
deduct two and one-half percent from gross terminal income received by the commission under section twenty of this article for the
fiscal year and deposit these amounts into a separate facility
modernization account maintained within the Historic Resort Hotel
Modernization Fund for each historic resort hotel. For each dollar
expended by a historic resort hotel for video lottery or table
gaming facility modernization improvements at the historic resort
hotel, having a useful life of three or more years and placed in
service after April 1, 2011, the historic resort hotel shall
receive $1 in recoupment from its facility modernization account. For purposes of this section, the term "video lottery or table
gaming facility modernization improvements" include acquisition of
computer hardware and software, communications and Internet access
equipment, security and surveillance equipment, video lottery
terminals and other electronic equipment or other equipment
designed to modernize the facility.
(d) The balance of the Historic Resort Hotel Fund shall become
net income and shall be divided as follows:
(1) Sixty-four percent of the Historic Resort Hotel Fund net
income shall be paid into the General Revenue Fund to be
appropriated by the Legislature;
(2) Nineteen percent of the Historic Resort Hotel Fund net
income shall be paid into the State Debt Reduction Fund established
in section twenty-seven, article twenty-two-c of this chapter to be
(3) The Tourism Promotion Fund established in section twelve, article two, chapter five-b of this code shall receive three
percent of the Historic Resort Hotel Fund net income;
(4) The county where the gaming facility is located shall
receive four percent of the Historic Resort Hotel Fund net income;
(5) The municipality where the gaming facility is located or
the municipality closest to the gaming facility by paved road
access as of the effective date of the reenactment of this section
by the 2009 regular session of the Legislature shall receive two
and one-half percent of the Historic Resort Hotel Fund net income; (6) The municipalities within the county where the gaming
facility is located, except for the municipality receiving funds
under subdivision (5) of this subsection, shall receive equal
shares of two and one-half percent of the Historic Resort Hotel
Fund net income;
(7) Each county commission in the state that is not eligible
to receive a distribution under subdivision (4) of this subsection
shall receive equal shares of two and one-half percent of the
Historic Resort Hotel Fund net income: Provided, That funds
transferred to the county commission under this subdivision shall
be used only to pay regional jail expenses and the costs of
infrastructure improvements and other capital improvements; and
(8) The governing body of each municipality in the state that
is not eligible to receive a distribution under subdivisions (5)
and (6) of this subsection shall receive equal shares of two and
one-half percent of the Historic Resort Hotel Fund net income: Provided, That funds transferred to municipalities under this
subdivision shall be used only to pay for debt reduction in
municipal police and fire pension funds and the costs of
infrastructure improvements and other capital improvements.
(e) Notwithstanding any provision of this article to the
contrary, all limited gaming facility license fees and license
renewal fees received by the commission pursuant to section nine of
this article shall be deposited into the Community-Based Service
Fund created in section twenty-seven, article twenty-two-c of this
(f) With the exception of the license fees and license renewal
fees received by the commission pursuant to section nine of this
article, all revenues received from licensees and license
applicants under this article shall be retained by the commission
as reimbursement for the licensing process.
WVC 29 - 25 - 22 A
§29-25-22a. Human Resource Benefit Fund.
Treasury which shall be designated and known as the Human Resource
Benefit Fund. Seventeen percent of the gross terminal income
five percent of the adjusted gross receipts received by the
deposited with the State Treasurer and placed in the Human Resource
Benefit Fund. The fund shall be an interest-bearing account with
interest to be credited to and deposited in the Human Resource
Benefit Fund.
(b) For each dollar expended by the historic resort hotel for
fringe benefits for the employees of the historic resort hotel, the
commission shall transfer to the historic resort hotel one dollar
of recoupment from the Human Resource Benefit Fund: Provided, That
the historic resort hotel is not entitled to recoupment for money
spent on fringe benefits beyond the amount of money available to be
expended from the Human Resource Benefit Fund at the time the
request for recoupment is made by the historic resort hotel.
(c) The commission shall have full rights and powers to audit
the spending of money from the Human Resource Benefit Fund to
ensure that the money is being used in the manner prescribed under
this section. The commission shall have the power and authority to
audit as frequently as it sees fit, so long as it conducts at least
two audits each fiscal year.
(d) There is hereby created the Human Resource Benefit
Advisory Board, which shall meet every six months to verify the
commission's audit.
(1) The board shall consist of five members, all residents and
citizens of the State of West Virginia:
(A) One member shall be a representative of the collective
bargaining unit that represents a majority of the employees of the
historic resort hotel;
(B) One member shall be a representative of the historic
resort hotel; and
(C) Three members shall be employees of the commission.
(2) The members shall be appointed or elected by the entity or
persons that they represent. Establishment of terms for members
shall be determined by the entity or persons that they represent,
if the entity or persons choose to set terms.
(3) A majority of members constitutes a quorum for the
(4) The board shall meet every six months at the headquarters
of the commission. Upon its own motion or upon the request of the
commission, it may hold meetings in addition to the required
meetings. The commission shall pay the travel expenses of members
of the board who are not employed by the commission.
(5) All meetings of the board shall be open to the public.
(6) The board shall operate in an advisory capacity. Its
functions shall include, but are not limited to, reviewing and verifying financial audits of the Human Resource Benefit Fund
conducted by the commission and its employees and reviewing source
documents associated with disbursements from the Human Resource
(7) Within thirty days of any board meeting, the board shall
report to the commission its findings and any recommendations it
may have. The report to the commission shall be made at a
commission meeting that is open to the public.
(e) In the event that an audit conducted by the commission, or
suggested changes to the audit submitted by the board and adopted
by the commission, reveals that the historic resort hotel has acted
improperly or negligently in its claim for money from the Human
Resource Benefit Fund, the commission may impose a civil penalty
against the historic resort hotel of up to one hundred percent of
the improperly claimed amount. Any civil penalty imposed on the
historic resort hotel by the commission under this subsection shall
be deposited by the commission into the Historic Resort Hotel Fund.
WVC 29 - 25 - 22 B
§29-25-22b. Changes in distribution of adjusted gross receipts
and additional income; distributions from excess
lottery fund.
(a) Notwithstanding any provision of section twenty-two of
this article to the contrary, for the fiscal year beginning July 1,
2014, and each fiscal year thereafter, after payment of the
commission's expenses pursuant to subsection (b), section
twenty-two of this article, each distribution made in subsection
(c), section twenty-two of this article from gross terminal income,
and each distribution of the balance of the Historic Resort Hotel
Fund made in subsection (d), section twenty-two of this article,
except subdivisions (4), (5) (6), (7) and (8) of that subsection,
shall be reduced by one hundred percent. Payments shall not be
made pursuant to section twenty-two of this article, other than
those excepted by this subsection, and are made in lieu thereof in
an amount to be determined by appropriation from the State Excess
Lottery Revenue Fund.
(b) The total amount of reductions resulting from subsection
(a) of this section shall be paid into the State Excess Lottery
Revenue Fund created in section eighteen-a, article twenty-two of
(c) Notwithstanding any other provision of this code to the
contrary, for the fiscal year beginning July 1, 2014, and each
fiscal year thereafter, moneys deposited to the State Excess Lottery Revenue Fund pursuant to this section shall be expended by
the Lottery in accordance with appropriations.
(d) Prior to payment of any appropriation made pursuant to
this section, debt service payments payable from the State Excess
Lottery Fund shall first be paid in accordance with the provisions
of section eighteen-a, eighteen-d and eighteen-e, article
twenty-two of this chapter and in the priority as defined by
subsection (c), section eighteen-f, article twenty-two of this
contrary, after payment of debt service from the State Excess
Lottery Revenue Fund, all other distributions required by section
eighteen-a, article twenty-two of this chapter and the
distributions appropriated pursuant to this section shall be paid
on a pro rata basis.
WVC 29 - 25 - 23 §29-25-23. Prohibition on unauthorized wagering; complimentary
service, gift, cash or other item.
(a) A gaming licensee may not permit any form of wagering
except as authorized under this article or article twenty-two,
twenty-two-a or twenty-two-c of this chapter.
(b) A gaming licensee may receive wagers only from an
individual present in a licensed gaming facility.
(c) All gaming facility operations shall utilize a cashless
wagering system whereby all players' money is converted to tokens,
paper vouchers, electronic cards or chips at the request of the
wagerer which can only be used for wagering in a licensed gaming
facility and wagering may not be conducted with money or other
negotiable currency:
(1) Wagering on West Virginia Lottery table games may not be
conducted with money or other negotiable currency or with tokens,
electronic cards or other electronic media or chips not issued by
the gaming facility where the West Virginia Lottery table game will
(2) At the request of the player, the licensee shall convert
a player's tokens, electronic cards or other electronic media or
chips back to money.
(3) The licensee may not charge a fee for converting a
player's money to an acceptable media for playing a West Virginia
Lottery table game or charge a fee for converting the acceptable
media for wagering a West Virginia Lottery table game back to money.
(d) The gaming licensee is prohibited from offering any
complimentary service, gift, cash or other item of value to any
person unless:
(1) The complimentary consists of room, food, beverage or
entertainment expenses provided directly to the patron and his or
her guests by the gaming facility licensee or indirectly to the
patron and his or her guests on behalf of the licensee by a third
(2) The complimentary consists of documented transportation
expenses provided directly to the patron and his or her guests on
behalf of a gaming facility licensee by a third party: Provided,
That the licensee complies with the rules promulgated by the
commission to ensure that a patron's and his or her guests'
documented transportation expenses are paid for or reimbursed only
once; or
(3) The complimentary consists of coins, tokens, cash or other
complimentary items or services provided through any complimentary
distribution program, the terms of which shall be filed with the
commission upon implementation of the program or maintained
pursuant to commission rule. Any change in the terms of a
complimentary program shall be filed with the commission upon
implementation of the change.
(e) Notwithstanding any provision of subsection (d) of this
section to the contrary, a gaming facility licensee may offer and provide complimentary cash or noncash gifts that are not otherwise
included in that subsection to any person: Provided, That any
complimentary cash or noncash gifts in excess of an amount per trip
to be set by interpretive rule of the commission are supported by
documentation regarding the reason the gift was provided to the
patron and his or her guests, including, where applicable, a
patron's player rating. The documentation shall be maintained by
a gaming facility licensee in accordance with commission rules. For purposes of this subsection, all gifts presented to a patron
and a patron's guests directly by the gaming facility licensee or
indirectly on behalf of the licensee by a third party within any
five-day period shall be considered to have been made during a
WVC 29 - 25 - 24 §29-25-24. Individual gaming restrictions.
(a) An individual may enter a designated gaming area or remain
in a designated gaming area only if the individual:
(1) Is either;
(A) A registered overnight guest at the historic resort hotel
on whose premises the gaming facility is located;
(B) A person who is a not a registered overnight guest, but is
a registered participant at a convention or event being held at the
historic resort hotel: Provided, That this paragraph does not apply
on any calendar day when less than four hundred guest rooms are
occupied at the historic resort hotel; or
(C) A member of a homeowner or facility association that
entitles members to substantial privileges at the historic resort
hotel on whose premises the gaming facility is located or an
overnight guest of such a member: Provided, That the association
was in existence as of April 1, 2009;
(2) Is at least twenty-one years of age;
(3) Is not visibly intoxicated;
(4) Has not been determined by the gaming facility operator or
the commission to be unruly, disruptive or otherwise interfering
with operation of the gaming facility; or to be likely to commit,
or to attempt to commit, a violation of this article; and
(5) Has not been barred by the commission from entering a
(b) Notwithstanding any provisions of this code to the contrary, no employee of the commission or any member of his or her
immediate household may wager at the gaming facility, and no
licensed limited gaming facility employee may wager on any table
game at the limited gaming facility.
WVC 29 - 25 - 25 §29-25-25. Offenses and penalties.
(a) A gaming licensee is guilty of unlawful operation of a
West Virginia Lottery table game when:
(1) The licensee operates a West Virginia Lottery table game
or places a video lottery game or video lottery terminal in any
location that is not a designated gaming area approved by the
(2) The licensee acts or employs another person to act as if
he or she is not an agent or employee of the licensee in order to
encourage participation in a West Virginia Lottery table game in a
(3) The licensee knowingly permits an individual under the age
of twenty-one years of age to enter or remain in a designated
gaming area or to play video lottery terminals or West Virginia
Lottery table game at a licensed gaming facility;
(4) The licensee exchanges tokens, chips or other forms of
credit to be used for wagering in a gaming facility for anything of
value except in exchange for money or credits to a player's
(5) The licensee operates a West Virginia Lottery table game
or places a video lottery game or video lottery terminal into play
without authority of the commission to do so;
(6) The licensee knowingly conducts, carries on, operates or
exposes for play or allows to be conducted, carried on, operated or
exposed for play any West Virginia Lottery table game, video lottery game, video lottery terminal or other device, equipment or
material that has in any manner been tampered with or placed in a
condition or operated in a manner, the result of which is designed
to deceive the public; or
(7) The licensee employs an individual in a position or to
perform duties, for which a license is required by this article or
rules of the commission and the employee does not have a license
issued under the provisions of this article or the licensee
continues to employ the individual in a position or to perform
duties, for which a license is required by this article or rules of
the commission, after the employee's license expired, was revoked
by the commission or not renewed by the commission.
(1) The person operates, carries on or exposes for play a West
Virginia Lottery table game prior to obtaining a license or after
the person's license has expired and prior to actual renewal of the
license or before the West Virginia Lottery table game and the
licensee's rules for play for the game are approved or modified and
(2) The person works or is employed in a position requiring a
license under the provisions of this article without having the
license required by this article;
(3) A licensee who possesses any video lottery terminal or
other device, equipment or material which the person knows has been
manufactured, distributed, sold, tampered with or serviced in violation of the provisions of this article; or
(4) A licensee who knowingly conducts, carries on, operates or
exposes for play, or allows to be conducted, carried on, operated
or exposed for play any video lottery game, video lottery terminal,
or other device, equipment or material which has in any manner been
tampered with, or placed in a condition, or operated in a manner,
the result of which tends to deceive the public or tends to alter
the normal random selection of characteristics or the normal random
selection of characteristics or the normal chance of the video
(1) The person offers, promises or gives anything of value or
benefit to a person who has an ownership or financial interest in,
is employed by or has a service contract with a gaming facility or
to that person's spouse or any dependent child or dependent parent,
pursuant to an agreement or arrangement, in fact or implied from
the circumstances, with intent that the promise or thing of value
or benefit will influence the actions of the person in order to
affect or attempt to affect the outcome of a West Virginia Lottery
table game or to influence official action of the commission. For
the purposes of this subdivision and subdivision (2) of this
subsection, the term "person who is connected with a gaming
facility" includes, but is not limited to, a person licensed under
this article as well as an officer or employee of a licensee;
(2) The person solicits or knowingly accepts or receives a promise of anything of value or benefit while the person is
connected with a gaming facility, pursuant to an understanding or
arrangement or with the intent that the promise or thing of value
or benefit will influence the actions of the person to affect or
attempt to affect the outcome of a West Virginia Lottery table game
or to influence official action of the commission;
(3) The person uses or possesses on property owned by the
licensed gaming facility or on property contiguous to the gaming
facility, with the intent to use, an electronic, electrical or
mechanical device that is designed, constructed or programmed to
assist the user or another person:
(A) In projecting the outcome of a West Virginia Lottery table
(B) In keeping track of cards dealt or in play;
(C) In analyzing the probability of the occurrence of an event
relating to a West Virginia Lottery table game;
(D) In analyzing the strategy for playing or betting to be
used in a West Virginia Lottery table game, except as permitted in
writing by the commission; or
(E) In obtaining an advantage at playing any West Virginia
Lottery table game at a licensed gaming facility authorized under
this article to operate a West Virginia Lottery table game;
(4) The person cheats at a West Virginia Lottery table game in
a gaming facility;
(5) The person manufacturers, sells, or distributed any cards, chips, dice, game or device which is intended to be used to violate
any provision of this article or the table gaming laws of any other
(6) The person instructs a person in cheating or in the use of
a device for that purpose with the knowledge or intent that the
information or use conveyed may be employed to violate any
provision of the article;
(7) The person places a bet after acquiring knowledge, not
available to all players, of the outcome of the West Virginia
Lottery table game which is the subject of the bet or aids a person
in acquiring the knowledge for the purpose of placing a bet
contingent on that outcome;
(8) The person claims, collects, takes or attempts to claim,
collect or take money or anything of value into or from a gaming
facility, with intent to defraud, without having made a wager
contingent on winning a West Virginia Lottery table game, or
claims, collects or takes an amount of money or thing of value or
greater value than the amount won;
(9) The person knowingly uses chips, electronic media or
tokens that are counterfeit to place a wager in a gaming facility;
(10) The person knowingly uses any medium other than chips,
tokens or other methods of credit approved by the commission to
place a wager in a gaming facility;
(11) The person, not a gaming licensee or employee or agent of
a gaming facility licensed under this article acting in furtherance of the gaming licensee's interests, has in his or her possession on
grounds owned by the gaming facility licensed under this article or
on grounds contiguous to the gaming facility, any device, by
whatever name called, intended to be used to violate a provision of
this article or a rule of the commission implementing or explaining
a provision of this article; or
(12) The person, not a gaming licensee or agent of a gaming
licensee acting in furtherance of the gaming licensee's interests,
has in his or her possession any key or device designed for the
purpose of opening, entering or affecting the operation of a West
Virginia Lottery table game, drop box or an electronic or
mechanical device connected with or used in connection with a West
Virginia Lottery table game in a gaming facility or for removing
coins, tokens, chips or other contents therefrom.
(d) Any person who violates the provisions of subsection (a)
or (b) of this section is guilty of a misdemeanor and, upon
conviction thereof, shall be fined not more than $1,000 and
confined in jail for not more than six months, except that in the
case of a person other than a natural person, the amount of the
fine imposed may not be more than $25,000.
(e) Any person who violates the provisions of subsection (c)
of this section is guilty of a felony and, upon conviction thereof,
shall be fined not less than $5,000 nor more than $10,000 and
committed to a state correctional facility for a term of
imprisonment of not less than one year nor more than five years.
(f) With regard to subdivision (3), subsection (c) of this
section, the gaming facility licensee shall post notice of this
prohibition and the penalties of this section in a manner
determined by the commission.
WVC 29 - 25 - 26 §29-25-26. Forfeiture of property.
(a) Anything of value, including all traceable proceeds
including, but not limited to, real and personal property, moneys,
negotiable instruments, securities and conveyances, is subject to
forfeiture to the State of West Virginia if the item was used for
(1) As a bribe intended to affect the outcome of a West
Virginia Lottery table game in a gaming facility; or
(2) In exchange for or to facilitate a violation of this
(b) The Legislature finds and declares that the seizure and
sale of items under the provisions of this section is not
contemplated to be a forfeiture as that term is used in section
five, article XII of the Constitution of West Virginia and, to the
extent that a seizure and sale may be found to be a forfeiture, the
Legislature hereby finds and declares that the proceeds from a
seizure and sale under this article are not part of net proceeds as
it is contemplated by section five, article XII of the Constitution
of West Virginia.
(c) Subsection (a) of this section does not apply if the act
or omission which would give rise to the forfeiture was committed
or omitted without knowledge or consent of the owner of the
property to be forfeited.
WVC 29 - 25 - 27 §29-25-27. Civil penalties.
The commission may impose on a person who violates the
provisions of this article a civil penalty not to exceed ten
thousand dollars for each violation, whether or not the person is
licensed under this article.
The provisions of article five, chapter twenty-nine-a of this
code shall apply to any civil penalty imposed pursuant to the
WVC 29 - 25 - 28 §29-25-28. Specific provision for video lottery games.
The commission is authorized to implement and operate video
lottery games at one gaming facility in this state in accordance
with the provisions of this article and the applicable provisions
of article twenty-two-a of this chapter. The provisions of said
article apply to this article, except in the event of conflict or
inconsistency between any of the provisions of this article and the
provisions of article twenty-two-a of this chapter. In that event,
the provisions of this article shall supersede any conflicting or
inconsistent provisions contained in article twenty-two-a of this
WVC 29 - 25 - 29 §29-25-29. Video lottery terminal requirements; application for
approval of video lottery terminals; testing of
video lottery terminals; report of test results;
modifications to previously approved models;
conformity to prototype; seizure and destruction of
(a) Video lottery terminals registered with and approved by
the commission for use at the gaming facility may offer video
lottery games regulated, controlled, owned and operated by the
commission in accordance with the provisions of this section and
utilizing specific game rules.
(b) A manufacturer may not sell or lease a video lottery
terminal for placement at the gaming facility unless the terminal
has been approved by the commission. Only manufacturers with
licenses may apply for approval of a video lottery terminal or
associated equipment. The manufacturer shall submit two copies of
terminal illustrations, schematics, block diagrams, circuit
analysis, technical and operation manuals and any other information
requested by the commission for the purpose of analyzing and
testing the video lottery terminal or associated equipment.
(c) The commission may require that two working models of a
video lottery terminal be transported to the location designated by
the commission for testing, examination and analysis.
(1) The manufacturer shall pay all costs of testing,
examination, analysis and transportation of such video lottery terminal models. The testing, examination and analysis of any
video lottery terminal model may require dismantling of the
terminal and some tests may result in damage or destruction to one
or more electronic components of such terminal model. The
commission may require that the manufacturer provide specialized
equipment or pay for the services of an independent technical
expert to test the terminal.
(2) The manufacturer shall pay the cost of transportation of
two video lottery terminals to lottery headquarters. The
commission shall conduct an acceptance test to determine terminal
functions and central system compatibility. If the video lottery
terminal fails the acceptance test conducted by the commission, the
manufacturer shall make all modifications required by the
(d) After each test has been completed, the commission shall
provide the terminal manufacturer with a report containing
findings, conclusions and pass/fail results. The report may
contain recommendations for video lottery terminal modification to
bring the terminal into compliance with the provisions of this
article. Prior to approving a particular terminal model, the
commission may require a trial period not to exceed sixty days for
a licensed gaming facility to test the terminal. During the trial
period, the manufacturer may not make any modifications to the
terminal model unless modifications are approved by the commission.
(e) The video lottery terminal manufacturer and licensed gaming facility are jointly responsible for the assembly and
installation of all video lottery terminals and associated
equipment. The manufacturer and licensed gaming facility shall not
change the assembly or operational functions of a terminal licensed
for placement in West Virginia unless a request for modification of
an existing video terminal prototype is approved by the commission. The request shall contain a detailed description of the type of
change, the reasons for the change and technical documentation of
(f) Each video lottery terminal approved for placement at the
gaming facility shall conform to the exact specifications of the
video lottery terminal prototype tested and approved by the
commission. If any video lottery terminal or any video lottery
terminal modification, which has not been approved by the
commission, is supplied by a manufacturer and operated by the
gaming facility, the commission shall seize and destroy all of that
licensed gaming facility's and manufacturer's noncomplying video
lottery terminals and shall suspend the license and permit of the
licensed gaming facility and manufacturer.
WVC 29 - 25 - 30 §29-25-30. Video lottery terminal hardware and software
requirements; hardware specifications; software
requirements for randomness testing; software
requirements for percentage payout; software
requirements for continuation of video lottery
game after malfunction; software requirements for
play transaction records.
(a) The commission may approve video lottery terminals and in
doing so shall take into account advancements in computer
technology, competition from nearby states and the preservation of
jobs at the historic resort hotel. In approving video lottery
terminals licensed for placement in this state the commission shall
insure that the terminals meet the following hardware
(1) Electrical and mechanical parts and design principles may
not subject a player to physical hazards or injury.
(2) A surge protector shall be installed on the electrical
power supply line to each video lottery terminal. A battery or
equivalent power back-up for the electronic meters shall be capable
of maintaining accuracy of all accounting records and terminal
status reports for a period of one hundred eighty days after power
is disconnected from the terminal. The power back-up device shall
be located within the locked logic board compartment of the video
lottery terminal.
(3) An on/off switch which controls the electrical current used in the operation of the terminal shall be located in an
accessible place within the interior of the video lottery terminal.
(4) The operation of each video lottery terminal may not be
adversely affected by any static discharge or other electromagnetic
(5) A bill or voucher acceptor or other means accurately and
efficiently to establish credits shall be installed on each video
lottery terminal. All acceptors shall be approved by the
commission prior to use on any video lottery terminal in this
(6) Access to the interior of video lottery terminal shall be
controlled through a series of locks and seals.
(7) The main logic boards and all erasable programmable
read-only memory chips ("EPROMS") are considered to be owned by the
commission and shall be located in a separate locked and sealed
area within the video lottery terminal.
(8) The cash compartment shall be located in a separate locked
area within or attached to the video lottery terminal.
(9) No hardware switches, jumpers, wire posts or any other
means of manipulation may be installed which alter the pay tables
or payout percentages in the operation of a game. Hardware
switches on a video lottery terminal to control the terminal's
graphic routines, speed of play, sound and other purely cosmetic
features may be approved by the commission.
(10) Each video lottery terminal shall contain a single printing mechanism capable of printing an original ticket and
capturing and retaining an electronic copy of the ticket data as
approved by the commission: Provided, That the printing mechanism
is optional on any video lottery terminal which is designed and
equipped exclusively for coin or token payouts. The following
information shall be recorded on the ticket when credits accrued on
a video lottery terminal are redeemed for cash:
(i) The number of credits accrued;
(ii) Value of the credits in dollars and cents displayed in
both numeric and written form;
(iii) Time of day and date;
(iv) Validation number; and
(v) Any other information required by the commission.
(11) A permanently installed and affixed identification plate
shall appear on the exterior of each video lottery terminal and the
following information shall be on the plate:
(i) Manufacturer of the video lottery terminal;
(ii) Serial number of the terminal; and
(iii) Model number of the terminal.
(12) The rules of play for each game shall be displayed on the
video lottery terminal face or screen. The commission may reject
any rules of play which are incomplete, confusing, misleading or
inconsistent with game rules approved by the commission. For each
video lottery game, there shall be a display detailing the credits
awarded for the occurrence of each possible winning combination of numbers or symbols. All information required by this subdivision
shall be displayed under glass or another transparent substance. No stickers or other removable devices may be placed on the video
lottery terminal screen or face without the prior approval of the
(13) Communication equipment and devices shall be installed to
enable each video lottery terminal to communicate with the
commission's central computer system by use of a communications
protocol provided by the commission to each permitted manufacturer,
which protocol shall include information retrieval and terminal
activation and disable programs, and the commission may require
each licensed racetrack to pay the cost of a central site computer
as a part of the licensing requirement.
(14) All video lottery terminals shall have a security system
which temporarily disables the gaming function of the terminal
while opened.
(b) Each video lottery terminal shall have a random number
generator to determine randomly the occurrence of each specific
symbol or number used in video lottery games. A selection process
is random if it meets the following statistical criteria:
(1) Chi-square test. -- Each symbol or number shall satisfy
the ninety-nine percent confidence limit using the standard
chi-square statistical analysis of the difference between the
expected result and the observed result.
(2) Runs test. -- Each symbol or number may not produce a significant statistic with regard to producing patterns of
occurrences. Each symbol or number is random if it meets the
ninety-nine percent confidence level with regard to the "runs test"
for the existence of recurring patterns within a set of data.
(3) Correlation test. -- Each pair of symbols or numbers is
random if it meets the ninety-nine percent confidence level using
standard correlation analysis to determine whether each symbol or
number is independently chosen without regard to another symbol or
number within a single game play.
(4) Serial correlation test. -- Each symbol or number is
standard serial correlation analysis to determine whether each
symbol or number is independently chosen without reference to the
same symbol or number in a previous game.
(c) Each video lottery terminal shall pay out no less than
eighty percent and no more than ninety-nine percent of the amount
wagered. The theoretical payout percentage will be determined
using standard methods of probability theory.
(d) Each video lottery terminal shall be capable of continuing
the current game with all current game features after a video
lottery terminal malfunction is cleared. If a video lottery
terminal is rendered totally inoperable during game play, the
current wager and all credits appearing on the video lottery
terminal screen prior to the malfunction shall be returned to the
(e) Each video lottery terminal shall at all times maintain
electronic accounting regardless of whether the terminal is being
supplied with electrical power. Each meter shall be capable of
maintaining a total of no less than eight digits in length for each
type of data required. The electronic meters shall record the
(1) Number of coins inserted by players or the coin equivalent
if a bill acceptor is being used or tokens or vouchers are used;
(2) Number of credits wagered;
(3) Number of total credits, coins and tokens won;
(4) Number of credits paid out by a printed ticket;
(5) Number of coins or tokens won, if applicable;
(6) Number of times the logic area was accessed;
(7) Number of times the cash door was accessed;
(8) Number of credits wagered in the current game;
(9) Number of credits won in the last complete video lottery
game; and
(10) Number of cumulative credits representing money inserted
by a player and credits for video lottery games won, but not
(f) No video lottery terminal may have any mechanism which
allows the electronic accounting meters to clear automatically. Electronic accounting meters may not be cleared without the prior
approval of the commission. Both before and after any electronic
accounting meter is cleared, all meter readings shall be recorded in the presence of a commission employee.
(g) The primary responsibility for the control and regulation
of any video lottery games and video lottery terminals operated
pursuant to this article rests with the commission.
(h) The commission shall directly or through a contract with
a third party vendor other than the video lottery licensee,
maintain a central site system of monitoring the lottery terminals,
utilizing an online or dial-up inquiry. The central site system
shall be capable of monitoring the operation of each video lottery
game or video lottery terminal operating pursuant to this article
and, at the direction of the director, immediately disable and
cause not to operate any video lottery game and video lottery
terminal. As provided in this section, the commission may require
the licensed racetrack to pay the cost of a central site computer
as part of the licensing requirement.
WVC 29 - 25 - 31 §29-25-31. The specific video lottery duties required of the
The gaming facility licensee shall:
(a) Acquire video lottery terminals by purchase, lease or
other assignment and provide a secure location for the placement,
operation and play of the video lottery terminals;
(b) Pay for the installation and operation of commission
approved telephone lines to provide direct dial-up or online
communication between each video lottery terminal and the
commission's central control computer;
(c) Permit no person to tamper with or interfere with the
operation of any video lottery terminal;
(d) Ensure that any telephone lines from the commission's
central control computer to the video lottery terminals located at
the licensed gaming facility are at all times connected and prevent
any person from tampering or interfering with the operation of the
telephone lines;
(e) Ensure that video lottery terminals are within the sight
and control of designated employees of the license gaming facility;
(f) Ensure that video lottery terminals are placed and remain
placed in the specific locations within the gaming facility that
have been approved by the commission. No video lottery terminal or
terminals at the gaming facility shall be relocated without the
prior approval of the commission;
(g) Monitor video lottery terminals to prevent access to or play by persons who are under the age of twenty-one years or who
are visibly intoxicated;
(h) Maintain at all times sufficient change and cash in the
denominations accepted by the video lottery terminals;
(i) Provide no access by a player to an automated teller
machine (ATM) in the area of the gaming facility where video
lottery games are played;
(j) Pay for all credits won upon presentment of a valid
winning video lottery ticket;
(k) Report promptly to the manufacturer and the commission all
video lottery terminal malfunctions and notify the commission of
the failure of a manufacturer or service technician to provide
prompt service and repair of such terminals and associated
(l) Install, post and display prominently at locations within
or about the licensed gaming facility signs, redemption information
and other promotional material as required by the commission; and
(m) Promptly notify the commission in writing of any breaks or
tears to any logic unit seals.
WVC 29 - 25 - 32 §29-25-32. Surcharge; Capital Reinvestment Fund.
(a) For all fiscal years beginning on or after July 1, 2009,
there shall be imposed a surcharge of ten percent against the share
of gross terminal income retained by the gaming facility as
provided by section twenty of this article.
(b) The Capital Reinvestment Fund is hereby created within the
Lottery Fund. The surcharge amount attributable to the historic
resort hotel shall be retained by the commission and deposited into
a separate capital reinvestment account for the historic resort
hotel. For each dollar expended by the historic resort hotel for
capital improvements at the historic resort hotel, of any amenity
associated with the historic resort hotel's destination resort
facility operations, or at adjacent facilities owned by the
historic resort hotel having a useful life of seven or more years
and placed in service after April 1, 2009, the licensed gaming
facility shall receive one dollar in recoupment from its Capital
Reinvestment Fund account: If a historic resort hotel's unrecouped
capital improvements exceed its Capital Reinvestment Fund account
at the end of any fiscal year, the excess improvements may be
carried forward to seven subsequent fiscal years.
(c) Any moneys remaining in the historic resort hotel's
Capital Reinvestment Fund account at the end of any fiscal year
shall be deposited in the Historic Resort Hotel Fund.
WVC 29 - 25 - 33 §29-25-33. License to be a provider of management services.
(a) License. -- The commission may issue a license to a person
providing management services under a management services contract
to a gaming facility when the commission determines that the person
meets the requirements of this section and any applicable rules of
the commission. (b) License qualifications. -- Each applicant who is an
individual and each individual who controls an applicant, as
provided in subsection (f), section two of this article, shall be
of good moral character, honesty and integrity and shall have the
necessary experience and financial ability to successfully carry
out the functions of a management services provider. The
commission may adopt rules establishing additional requirements for
an authorized management services provider. The commission may
accept licensing by another jurisdiction, specifically determined
by the commission to have similar licensing requirements, as
evidence the applicant meets authorized management services
provider licensing requirements.
(c) Management service provider specifications. -- An
applicant for a license to provide management services to a gaming
facility licensee shall demonstrate that the management services
that the applicant plans to offer to the gaming facility licensee
conform or will conform to standards established by rules of the
commission and applicable state law.
(d) License application requirements. -- An applicant for a license to provide management services to a gaming facility
licensee shall:
(1) Submit an application to the commission in the form
required by the commission including adequate information to serve
as a basis for a thorough background check;
(3) Pay to the commission a nonrefundable application fee for
deposit into the Historic Resort Hotel Fund in the amount of $100.
(e) Authorization. -- A license to provide management services
to a gaming facility licensee authorizes the licensee to provide
management service to a gaming facility while the license is
active. The commission may by rule establish the conditions which
constitute an emergency under which the commission may issue
provisional licenses pending completion of final action on an
(f) Fees, expiration date and renewal. -- A licensed provider
of management services shall pay to the commission an annual
license fee of $100 for an initial term beginning prior to the date
of the provider's first contract with a gaming facility licensee
and continuing through the end of the twelfth month thereafter
whenever the licensee has paid the renewal fee and has continued to
comply with all applicable statutory and rule requirements. The
commission shall renew a license to provide management services to
a gaming facility annually thereafter. A gaming facility licensee
may continue to use the management services provided by the
management services provider while that provider was licensed,
notwithstanding the expiration of the provider's license, unless
the commission finds the services provided are not conforming to
standards established by rule of the commission and applicable
WVC 29 - 25 - 34 §29-25-34. State ownership of West Virginia Lottery table games.
All West Virginia Lottery table games authorized by this
article shall be West Virginia lottery games owned by the State of
West Virginia. A gaming facility license granted to a historic
resort hotel by the commission pursuant to this article shall
include the transfer by the commission to the historic resort hotel
limited license rights in and to the commission's intellectual
property ownership of the West Virginia lottery games which
includes granting licensees limited lawful authority relating to
the conduct of lottery table games for consideration, within the
terms and conditions established pursuant to this article and any
rules promulgated under this article.
WVC 29 - 25 - 35 §29-25-35. Preemption.
No local law or rule providing any penalty, disability,
restriction, regulation or prohibition for operating a historic
resort hotel with West Virginia Lottery table games or supplying a
licensed gaming facility may be enacted and the provisions of this
article preempt all regulations, rules, ordinances and laws of any
county or municipality in conflict with this article.
WVC 29 - 25 - 36 §29-25-36. Exemption from federal law.
Pursuant to Section 2, Chapter 1194, 64 Stat. 1134, 15 U.S.C.
§1172, approved January 2, 1951, the State of West Virginia, acting
by and through duly elected and qualified members of the
Legislature, does declare and proclaim that the state is exempt
from Chapter 1194, 64 Stat. 1134, 15 U.S.C. §1171 to §1178.
WVC 29 - 25 - 37 §29-25-37. Game rules of play; disputes.
(a) As an agent of the commission authorized to operate West
Virginia Lottery table games, the gaming facility licensee shall
have written rules of play for each West Virginia Lottery table
game it operates that are approved by the commission before the
West Virginia Lottery table game is offered to the public. Rules
of play proposed by the gaming facility may be approved, amended or
rejected by the commission.
(b) All West Virginia Lottery table games shall be conducted
according to the specific rules of play approved by the commission. All wagers and pay-offs of winning wagers shall be made according
to those rules of play, which shall establish any limitations
necessary to assure the vitality of West Virginia Lottery table
game operations.
(c) The gaming facility licensee shall make available in
printed form to any patron, upon request of the patron, the
complete texts of the rules of play of any West Virginia Lottery
table games in operation at the gaming facility, pay-offs of
winning wagers and any other advice to the player required by the
(d) Patrons are considered to have agreed that the
determination of whether the patron is a valid winner is subject to
the game of play rules and, in the case of any dispute, will be
determined by the commission. The determination by the commission
shall be final and binding upon all patrons and shall not be subject to further review or appeal.
WVC 29 - 25 - 38 §29-25-38. Shipment of gambling devices.
All shipments of gambling devices, including video lottery
machines, to the licensed gaming facility in this state, the
registering, recording and labeling of which have been completed by
the manufacturer or dealer thereof in accordance with Chapter 1194,
64 Stat. 1134, 15 U.S.C. §1171 to §1178, are legal shipments of
gambling devices into the State of West Virginia.
§29 - 27 - 1 - (Amended Code)
§29 - 27 - 2 - (Amended Code)
§29 - 27 - 3 - (Amended Code)
§29 - 27 - 4 - (Amended Code)
§29 - 27 - 6 - (Amended Code)
§29 - 28 - 1 - (Repealed Code)
§29 - 28 - 2 - (Repealed Code)
§29 - 28 - 3 - (Repealed Code)
§29 - 28 - 4 - (Repealed Code)
§29 - 28 - 5 - (Repealed Code)
§29 - 28 - 6 - (Repealed Code)
§29 - 28 - 7 - (Repealed Code)
§29 - 28 - 8 - (Repealed Code)
§29 - 28 - 9 - (Repealed Code)
§29 - 28 - 10 - (Repealed Code)
§29 - 28 - 11 - (Repealed Code)
§29 - 28 - 12 - (Repealed Code)
§29 - 28 - 13 - (Repealed Code)
HOUSE BILL - 2227
HB2227 SUB ENR (Uploaded - 02/18/2015)
Relating to the National Coal Heritage Area Authority