Arkansas Administrative Code › Agency 006 - Department of Finance and Administration › Division 06 - Racing Commission › Rule 006.06.19-012 - CGR 12 Manufacturers, Distributors, Operators of Inter-Casino Linked Systems, Gaming Devices, New Games, Inter-Casino Linked Systems, On-Line Slot Metering Systems, Cashless Wagering Systems, Mobile Gaming Systems, Interactive Gaming Systems and Associated Equipment

Current through Register Vol. 49, No. 6, June, 2024
12.010
Definitions.
As used in this Rule, unless the context otherwise
				requires:
1. "Assume responsibility"
			 means to acquire complete control over, or ownership of, a gaming device,
			 cashless wagering system, mobile gaming system or interactive gaming
			 system.
2. "Cashless wagering
			 system" means the collective hardware, software, communications technology, and
			 other associated equipment used to facilitate wagering on any game or gaming
			 device including mobile gaming systems and interactive gaming systems with
			 other than chips or legal tender of the United States. The term does not
			 include any race and sports computerized bookmaking system that accepts
			 pari-mutuel wagers, or any other race and sports book systems that do not
			 accept wagering instruments, wagering credits or process electronic money
			 transfers. Associated equipment such as redemption kiosks may also be used to
			 act as promotion kiosks and automated teller machines.
3. "Commission" means the Arkansas Racing
			 Commission or the Commission's designee.
4. "Control program" means any software,
			 source language or executable code which affects the result of a wager by
			 determining win or loss. The term includes, but is not limited to, software,
			 source language or executable code associated with the:
(a) Random number generation
			 process;
(b) Mapping of random
			 numbers to game elements to determine game outcome;
(c) Evaluation of the randomly selected game
			 elements to determine win or loss;
(d) Payment of winning wagers;
(e) Game recall;
(f) Game accounting including the reporting
			 of meter and log information to on-line slot metering system;
(g) Monetary transactions conducted with
			 associated equipment;
(h) Software
			 verification and authentication functions which are specifically designed and
			 intended for use in a gaming device;
(i) Monitoring and generation of game tilts
			 or error conditions; and
(j) Game
			 operating systems which are specifically designed and intended for use in a
			 gaming device.
[] The term does not include software used for artistic
				attributes of a game including graphics, sound and animation providing
				entertainment unless such elements are material to game play because they are
				necessary for the player to understand the game or game outcome.
5. "Distribution" or
			 "distribute" means the sale, offering for sale, lease, offering for lease,
			 licensing or other offer of any gaming device, cashless wagering system, mobile
			 gaming system or interactive gaming system for use or play in
			 Arkansas.
6. "Distributor" means a
			 person who operates, carries on, conducts or maintains any form of
			 distribution.
7. "Distributor of
			 associated equipment" is any person that sells, offers to sell, leases, offers
			 to lease, licenses, markets, offers, or otherwise offers associated equipment
			 in Arkansas for use by licensees.
8. "Equipment associated with interactive
			 gaming" means any equipment or mechanical, electromechanical or electronic
			 contrivance, component or machine used remotely or directly in connection with
			 gaming or mobile gaming, any game, race book or sports pool that would not
			 otherwise be classified as a gaming device, including dice, playing cards,
			 links which connect to progressive slot machines, equipment which affects the
			 proper reporting of gross revenue, computerized systems of betting at a race
			 book or sports pool, computerized systems for monitoring slot machines and
			 devices for weighing or counting money; or a computerized system for
			 recordation of sales for use in an area subject to tax.
9. "Game of chance" means a game in which
			 randomness determines all outcomes of the game as determined over a period of
			 continuous play.
10. "Game of
			 skill" means a game in which the skill of the player, rather than chance, is
			 the dominant factor in affecting the outcome of the game as determined over a
			 period of continuous play.
11.
			 "Game outcome" is the final result of the wager.
12. "Game variation" means a change or
			 alteration in a game or gambling game that affects the manner or mode of play
			 of an approved game. This includes, but is not limited to, the addition or
			 removal of wagering opportunities or a change in the theoretical hold
			 percentage of the game.
13. "Gaming
			 session" means the period of time commencing when a player initiates a game or
			 series of games on a gaming device by committing a wager and ending at the time
			 of a final game outcome for that game or series of games.
14. "Hybrid game" means a game in which a
			 combination of the skill of the player and chance affects the outcome of the
			 game as determined over a period of continuous play.
15. "Identifier" means any specific and
			 verifiable fact concerning a player or group of players which is based upon
			 objective criteria relating to the player or group of players, including,
			 without limitation:
(a) The frequency, value
			 or extent of predefined commercial activity;
(b) The subscription to or enrollment in
			 particular services;
(c) The use of
			 a particular technology concurrent with the play of a gaming device;
(d) The skill of the player;
(e) The skill of the player relative to the
			 skill of any other player participating in the same game;
(f) The degree of skill required by the game;
			 or
(g) Any combination of (a) to
			 (f), inclusive.
16.
			 "Independent contractor" means any person who:
(a) Is not an employee of a licensed
			 manufacturer; and
(b) Pursuant to
			 an agreement with a licensed manufacturer:
(1)
			 Designs, develops, programs, produces or composes a control program on behalf
			 of the licensed manufacturer; or
(2) Designs, develops, produces or composes
			 software, source language or executable code intended to be compiled into a
			 control program by the licensed manufacturer.
[] As used in this Rule "licensed manufacturer" includes any
				affiliate that is owned or controlled by or under common control with the
				licensee.
17. "Independent testing laboratory" means a
			 private laboratory that is registered by the Commission to inspect and certify
			 games, gaming devices, associated equipment, cashless wagering systems,
			 inter-casino linked systems, mobile gaming systems or interactive gaming
			 systems, and any components thereof and modifications thereto, and to perform
			 such other services as the Commission may request.
18. "Inter-casino linked system" means:
(a) A network of electronically interfaced
			 similar games which are located at two or more licensed gaming establishments
			 that are linked to:
(1) Conduct gaming
			 activities, contests or tournaments; or
(2) Facilitate participation in a common
			 progressive prize system, and the collective hardware, software, communications
			 technology and other associated equipment used in such system to link and
			 monitor games or devices located at two or more licensed gaming establishments,
			 including any associated equipment used to operate a multi-jurisdictional
			 progressive prize system.
(b) Systems that solely record a patron's
			 wagering activity among affiliated properties are not inter-casino linked
			 systems.
(c) The term
			 "multi-jurisdictional progressive prize system" means the collection of
			 hardware, software, communications technology and other associated equipment
			 used to link and monitor progressive slot machines or other games among
			 licensed gaming establishments in this state participating in an inter-casino
			 linked system and one or more lawfully operated gaming locations in other
			 jurisdictions that participate in a similar system for the purpose of
			 participation in a common progressive prize system.
19. "Inter-casino linked system modification"
			 means a change or alteration to an inter-casino linked system made by an
			 operator who has been previously approved by the Commission to operate that
			 system. With regard to inter-casino linked systems that link progressive payout
			 schedules, the term includes, but is not limited to:
(a) A change in a system name or theme;
			 or
(b) A change in gaming device
			 denomination.
20.
			 "Interactive gaming system" is a gaming device and means the collective
			 hardware, software, communications technology, and proprietary hardware and
			 software specifically designed or modified for, and intended for use in, the
			 conduct of interactive gaming. The core components of an interactive gaming
			 system, including servers and databases running the games on the interactive
			 gaming system and storing game and interactive gaming account information, must
			 be located in the State of Arkansas except as otherwise permitted by the
			 Commission.
21. "Manufacture"
			 means:
(a) To manufacture, produce, program,
			 design, control the design of or make modifications to a gaming device,
			 associated equipment, cashless wagering system, mobile gaming system or
			 interactive gaming system for use or play in Arkansas;
(b) To direct, control or assume
			 responsibility for the methods and processes used to design, develop, program,
			 assemble, produce, fabricate, compose and combine the components and other
			 tangible objects of any gaming device, associated equipment, cashless wagering
			 system, mobile gaming system or interactive gaming system for use or play in
			 Arkansas; or
(c) To assemble, or
			 control the assembly of, a gaming device, associated equipment, cashless
			 wagering system, mobile gaming system or interactive gaming system for use or
			 play in Arkansas.
22.
			 "Manufacturer" means a person who operates, carries on, conducts or maintains
			 any form of manufacture.
23.
			 "Manufacturer of associated equipment" is any person that manufactures,
			 assembles, or produces any associated equipment, including inter-casino linked
			 systems, for use in Arkansas by licensees.
24. "Manufacturer of equipment associated
			 with interactive gaming" means any person that manufactures, assembles, or
			 produces any equipment associated with interactive gaming.
25. "Mobile gaming system" or "system" means
			 a system that allows for the conduct of games through mobile communications
			 devices operated solely within a licensed gaming establishment by the use of
			 communications technology that allows a patron to bet or wager, and
			 corresponding information related to the display of the game, gaming outcomes
			 or other similar
26. "Mobile gaming
			 system modification" means any change or alteration to a mobile gaming system
			 made by a manufacturer from its approved configuration.
27. "Modification" means a change or
			 alteration in a gaming device previously approved by the Commission for use or
			 play in Arkansas that affects the manner or mode of play of the device. The
			 term includes a change to control programs and, except as provided in
			 paragraphs (c) and (d) of this subsection, in the theoretical hold percentage.
			 The term does not include:
(a) Replacement of
			 one component with another, pre-approved component;
(b) The rebuilding of a previously approved
			 device with pre-approved components;
(c) A change in the theoretical hold
			 percentage of a mechanical or electro-mechanical device, provided that the
			 device as changed meets the standards of these Rules;
(d) A change in the theoretical hold
			 percentage of an electronic device which is the result of a top award jackpot
			 or bonus jackpot payment which is paid directly by an attendant and which is
			 not accounted for by the device; or
(e) A change to software used for artistic
			 attributes of a game, including graphics, sound and animation providing
			 entertainment unless such elements are material to game play because they are
			 necessary for the player to understand the game or game outcome.
28. "On-line slot metering system"
			 means the collective hardware, software and other associated equipment used to
			 monitor, accumulate, and record meter information from gaming devices within a
			 licensed establishment.
29.
			 "Operator" means, except as otherwise provided, any person or entity holding a
			 license to operate:
(a) An inter-casino linked
			 system or mobile gaming system in Arkansas;
(b) A Casino gaming operation that operates
			 an inter-casino linked system of affiliates; or
(c) An inter-casino linked system under the
			 preceding paragraphs (a) or (b) of this section which system also is linked to
			 or otherwise incorporates a multi-jurisdictional progressive prize
			 system.
30. "Private
			 residence" means a noncommercial structure used by a natural person as a place
			 of abode and which is not used for a commercial purpose.
31. "Proprietary hardware and software" means
			 hardware or software specifically designed for use in a gaming device including
			 a mobile gaming system and interactive gaming system.
32. "Randomness" is the observed
			 unpredictability and absence of pattern in a set of elements or events that
			 have definite probabilities of occurrence.
33. "Rules of play" means those features of a
			 game necessary for a reasonable person to understand how a game is played
			 including, but not limited to, the following:
(a) Help screens;
(b) Award cards; and
(c) Pay-line information.
The term does not include those inherent features of a game
				that a reasonable person should know or understand prior to initiating the
				game.
34.
			 "Skill" means the knowledge, dexterity or any other ability or expertise of a
			 natural person.
35. "Theme" means a
			 concept, subject matter and methodology of design.