Source: http://regulations.delaware.gov/register/december2011/final/15%20DE%20Reg%20886%2012-01-11.htm
Timestamp: 2017-12-17 15:54:02
Document Index: 219112223

Matched Legal Cases: ['§1832', '§1140', '§10142', '§1139', '§1827', '§1827', '§1140', '§1827', '§1825', '§1826']

10 DE Admin. Code 103, 104
After due notice in the Register of Regulations and two Delaware newspapers, a public hearing was held on Thursday, November 3, 2011, at a scheduled meeting of the Delaware Board of Charitable Gaming, to receive comments and to review written comments submitted by the public, if any, regarding proposed amendments to the Board's Rules.
There are several proposed amendments. The first would amend 10 DE Admin. Code 103, Rule 1.0 and would add definitions of the terms "charitable gaming vendor," a term used to describe third party vendors who assist charitable organizations in conducting charitable gaming events, and "officer," to indicate that this term includes investors, managers, and others involved in the operation of a charitable gaming vendor.
Additional proposed amendments would add new rules 14.0 and 15.0, and renumber former Rule 14.0 as Rule 16.0 in 10 DE Admin. Code 103. New Rule 14.0 would explain the requirements for the licensing of charitable gaming vendors and the background checks required of officers of such vendors. New Rule 15.0 would explain the Board's view on the number of events organizations may have when they are affiliated with other organizations.
Another proposed amendment would create a new Rule 6.0 in 10 DE Admin. Code 104 explaining the requirements for licensing employees, principals, owners and contractors of third party vendors or charitable gaming vendors, including the licensing of members of the charitable organization serving as dealers, bookkeepers, treasurers or tournament directors. These requirements already appear in the statute at 28 Del.C. §1832, and would be essentially be very similar requirements as for licensing charitable gaming vendors.
The proposed amendments were published in the Register of Regulations, Volume 15, Issue 4, on October 1, 2011.
The Board hereby adopts the proposed amendments to its rules in the manner to be published in the Register of Regulations in December, 2011, to be effective ten days after publication of the Order in the Register of Regulations.
The text of the revised rules shall be as published in the Register of Regulations in December, 2011, as attached hereto as Exhibit A.
SO ORDERED this 3rd day of November, 2011.
James Greene, Chair
3.1.6	No unreasonable commission, salary, compensation, reward, recompense, reimbursement of expenses or gift or other consideration shall be paid directly or indirectly, to any person for conducting or assisting in the conduct of any Function. Organizations may contract with third party vendors to conduct or assist in conducting the Function, and may agree to pay reasonable compensation to the vendor. No tip, gratuity or gift or other consideration shall be given or accepted by any person conducting or assisting in the conduct of a Function either directly or indirectly, and one or more signs prohibiting tipping shall be or more signs prohibiting tipping shall be prominently displayed in each playing area. Nothing in this subsection prohibits any person from sharing food and beverages made available at the functions, or the collection of bar tips for the benefit of the Sponsoring Organization.
5.2	Equipment. Equipment used in the conduct of a bazaar must be maintained in good repair and sound working condition. Equipment shall be used and operated so that each player is given an equal opportunity to win.
6.3	In charitable gambling other than bingo and Texas Hold 'Em, there shall be no limit on the amount a person may bet or win, except that no person may lose more than $150 in a single day or event. This limit applies to the entire event approved to begin on a certain day. If an event continues past midnight, no new limit shall apply. Any person who has lost $150 during the event shall not be permitted to gamble again after midnight.
12.1	Within 30 days of the last day of the function, the member-in-charge shall submit a report to the Board that includes all information required by 28 Del.C. §1140(a).
14.0	Licensure
14.1	A charitable gaming vendor must hold a valid business license issued by the State of Delaware, which must remain current. The vendor must inform the Board within ten days if the license lapses. The Board may suspend or revoke a vendor’s license for failure to maintain a current Delaware business license or for failing to inform the Board of the loss of a business license.
14.2	The vendor also must be licensed by the Board as a charitable gaming vendor. To become licensed, the vendor shall file an application prepared by the Board or by the Division of Professional Regulation (“Division”). The application must be signed by all officers of the vendor.
14.3	Investigators assigned to the Division will conduct an investigation to determine the suitability of the applicant for licensure. The investigator will provide his or her recommendation of suitability of each applicant to the Delaware Board of Charitable Gaming. The Division’s investigators may access the state and federal criminal history databases for the purpose of reviewing the criminal history of any individual applicant or officer of an applicant.
14.4	All officers of such vendors shall be required to undergo criminal background checks as a requirement for licensure. The applicant’s officers must contact the State Bureau of Identification (“Bureau”) to make arrangements for fingerprint processing. The officers must complete a fingerprint card and form with the necessary personal information and sign an Authorization for Release of Information form to release criminal history records to the Division of Professional Regulation (“Division”) and the Delaware Board of Charitable Gaming. At the time of processing the officers must show proof of official identification to complete the criminal history request. A fee is required to be paid for state and federal processing of fingerprint cards and criminal history records. The fee is set by the Bureau, and the officers shall make that payment directly to that agency. Certified copies of the criminal history record shall be forwarded to the Division. The Bureau shall act as the intermediary for the receipt of the federal criminal history record checks performed by the Federal Bureau of Investigation. The Bureau shall forward the results of these federal record checks to the attention of the Division, along with the results of a report of the individual’s entire criminal history record from the Bureau or a statement from the Bureau that its Central Repository contains no such information relating to that person, in a confidential manner. The Division may provide the individual officer with a copy of the criminal history records upon written request. The officer shall have the opportunity to respond to the Division regarding any information obtained prior to a determination of suitability for licensure. Such a response shall be made within ten (10) days of the person’s receipt of the criminal background information from the Division.
14.5	In making the determination of suitability for licensure, the Board of Charitable Gaming shall consider the background of each individual applicant or officer of the applicant. The licensure requirement shall include the satisfaction of such security, fitness and background standards as the Board may deem necessary relating to competence, honesty and integrity, such that a person’s reputation, habits and associations do not pose a threat to the public interest of the State or to the reputation of or effective regulation and control of charitable gaming. It is specifically provided that any person convicted of any felony, a crime involving gambling, or a crime of moral turpitude within ten (10) years prior to applying for a license or any time thereafter shall be deemed unfit, and if such person is an officer of an applicant, the applicant shall be deemed unfit. The Board shall also consider the applicant’s or the officer’s truthfulness in disclosing requested information, particularly in regard to the criminal history.
14.6	The Board shall communicate the results of the determination of suitability in writing to the applicant within sixty (60) days of receipt of the criminal history information, unless extenuating circumstances require a longer period. If the Board determines that an applicant has satisfied the licensing requirements, the applicant will be issued a license. If an applicant is denied a license, the applicant may appeal for reconsideration as set forth below.
14.6.1	Appeal may be initiated by an applicant notified that the license was denied by submitting a request for a hearing to the Board of Charitable Gaming within ten (10) days of receipt of the notice of denial.
14.6.2	The appeal shall be reviewed by the Board and the person shall be given the opportunity to be heard by the Board within sixty (60) days of receipt of the letter of appeal, unless extenuating circumstances require a longer period. The hearing will be held in accordance with the Administrative Procedures Act, 29 Del.C., Ch. 101.
14.6.3	A written decision shall be rendered by the Board within sixty (60) days of the hearing, unless extenuating circumstances require a longer period. All decisions are final and may then be appealed to Superior Court under 29 Del.C. §10142.
14.7	An determined to be unsuitable for licensure pursuant to this procedure shall be prohibited from reapplying for licensure for a period of twelve (12) months.
14.8	All records pertaining to criminal background checks and suitability determinations shall be maintained in a confidential manner including, but not limited to, the following:
14.8.1	Access to criminal background check records, letters of reference accompanying out-of-state criminal background checks and determination of suitability of applicants shall be limited to the Board and designated personnel within the Division;
14.8.2	All such records shall be kept in locked cabinets or as digital files; and
14.8.3	No information from such records shall be released without the signed release of the individual applicant or officer.
14.9	All records pertaining to criminal background checks and suitability determinations of applicants for licensure and Board of Charitable Gaming meetings to make suitability determinations shall not be subject to the Delaware Freedom of Information Act, Title 29, Ch. 100.
14.10	The license shall expire and be renewable every three (3) years. Ninety (90) days prior to expiration, each licensee shall contact the Division of Professional Regulation and submit a new and updated license application form and undergo an investigation as in the original licensing.
14.11	Officers of licensees shall notify the Division of Professional Regulation no later than three (3) days after an arrest for any crime, excluding minor traffic violations. The Division will forward this information to the Board and the Board may proceed to determine the person’s continuing suitability as a licensee, and may suspend the license until the criminal charges have been resolved.
15.0	Maximum Number of Permissible Events
15.1	Under the terms of 28 Del.C. §1139(c), §1827 and 10 DE Admin. Code 103 Rule 8.1, organizations are limited in the number of bingo, Texas Hold ‘Em and charitable gaming events which they may conduct. The Board has held that a Delaware charitable organization that establishes a subsidiary group or groups, such as an auxiliary which does not have its own separate Employee Identification Number or Federal Identification Number from the Internal Revenue Service, will be required to share its limited number of permissible events with the subsidiary group. For example, since five (5) Texas Hold ‘Em tournaments are permitted in one year under 28 Del.C. §1827, the main group and the subsidiary group or groups may have a total of five (5) tournaments between or among them, rather than each entity being permitted to have up to five tournaments.
15.2	If the subsidiary group obtains its own separate Employer Identification Number or federal identification number from the Internal Revenue Service, then the subsidiary group may itself have the maximum number of events.
15.3	However, the Board views national charitable organizations with Delaware affiliates differently. If there are several affiliates of a national charitable organization in Delaware, and each is independent of the others, each affiliate may seek up to the maximum number of permissible events through use of the notice of charitable standing granted to the national organization, provided the national organization confirms that the affiliate has its permission to do so. Each Delaware affiliate of a national charitable organization may request permission to conduct up to the maximum number of permissible events.
146.0	Severability
1.1	Within 30 days of the last day of the function, the member-in-charge shall submit a report to the Board that includes all information required by 28 Del.C. §1140(a).
2.1	The Board interprets the phrase “with each tournament by the sponsoring organization to be held at least 70 days apart” in 28 Del.C. §1827 to mean that no sponsoring organization may conduct a subsequent tournament less than 70 days from the date of their immediately prior tournament.
The statutory provisions of 28 Del.C. §1825 and 28 Del.C. §1826(2) do not harmonize. Consequently, the Board has determined that re-buys are optional.
15 DE Reg. 886 (12/01/11) (Final)