Kentucky Administrative Regulations › Title 809 - Public Protection Cabinet - Kentucky Horse Racing Commission › Chapter 10 - Technical Criteria › Section 809 KAR 10:004 - Sports wagering accounts

Current through Register Vol. 51, No. 1, July 1, 2024
RELATES TO: KRS Chapter 230
NECESSITY, FUNCTION, AND CONFORMITY:
				KRS
				230.260 requires the commission to
				"promulgate administrative regulations to establish standards for the conduct
				of sports wagering."KRS 230.361(2)
				requires the commission to "promulgate administrative regulations governing and
				regulating sports wagering, including administrative regulations for the
				deposit of funds by credit or debit cards or other means of electronic funds
				transfer."KRS
				230.805(3) establishes
				additional requirements for registration of sports wagering patrons' accounts,
				such as account registration and wager placement. This administrative
				regulation establishes sports wagering account requirements, dormant and closed
				account requirements, and responsible gaming limits.
Section 1. Sports Wagering Account
			 Requirements. Patrons shall register their sports wagering accounts with the
			 licensee pursuant to KRS 230.805. Licensees shall
			 adopt account registration policies pursuant to
			 KRS
			 230.805. All account registration policies
			 shall be subject to approval by the commission. Nothing in this section shall
			 be interpreted to prohibit the licensee from accepting anonymous wagers by a
			 sports wagering device within the licensed premises.
(1) An account shall only be established in
			 the name of an account holder who is a natural person and shall not be in the
			 name of any beneficiary, custodian, joint trust, corporation, partnership, or
			 any other entity.
(2) A licensee
			 shall collect the following personally identifiable information from each
			 account holder through the sports wagering system:
(a) The account holder's full legal
			 name;
(b) The account holder's date
			 of birth;
(c) The account holder's
			 Social Security number, or the last four (4) digits of the Social Security
			 number, or an equivalent government identification number for a noncitizen,
			 such as a passport or taxpayer identification number; and
(d) All data required by
			 KRS
			 230.805.
(3) During the sports wagering account
			 registration process, the licensee shall:
(a)
			 Deny patrons the ability to register for account if they submit a birth date
			 which indicates that they are an underage person; and
(b) Inform the patron on the account
			 application which information fields are "required," which are not, and what
			 will be the consequences of not filling in the required fields.
(4) During the sports wagering
			 account registration process, patrons shall:
(a) Agree to the terms and conditions and
			 privacy policies of the licensee;
(b) Acknowledge that they are prohibited
			 from:
1. Transferring or selling an account or
			 account balance;
2. Using any
			 technology that may obscure or falsify the account holder's physical location
			 for the purpose of placing sports wagers;
3. Allowing any unauthorized person to access
			 or use their account; and
4. Any
			 form of collusion, cheating, or other unlawful activity.
(c) Consent to the monitoring and recording
			 of the use of their account by the licensee and the racing
			 commission;
(d) Attest that:
1. The account holder meets all eligibility
			 requirements to place a wager with a licensee in this Commonwealth;
			 and
2. The personally identifiable
			 information the account holder is providing to open the account is
			 accurate.
(e) Authorize
			 the provision of notices and other required communications either through a
			 designated mobile or other interface or to an electronic mail address
			 designated by the account holder.
(5) A licensee shall maintain an electronic
			 patron file, which shall include the following for each sports wagering
			 account:
(a) Unique sports wagering account ID
			 and username (if different);
(b)
			 The information indicated in subsection (2) of this section to register an
			 account holder and create the account;
(c) The date and method of identity
			 verification:
1. Where applicable, the
			 licensee shall maintain the document number of the government-issued
			 identification credential examined and its date of expiration.
2. If a government-issued identification
			 credential is not required for registration, the electronic record that details
			 the process used to confirm the account holder's identity shall be
			 recorded.
(d) The date
			 of account holder agreement to the terms and conditions and privacy
			 policies;
(e) Previous sports
			 wagering accounts, if any, and reason for de-activation;
(f) The date and method from which the sports
			 wagering account was registered;
(g) The date and time a sports wagering
			 account is accessed by any person;
(h) The IP address at which a sports wagering
			 account is accessed by any person;
(i) A history of financial transactions,
			 including deposits, withdrawals, and account adjustments;
(j) Account details and current balance,
			 including any incentive credits. All restricted wagering credits and
			 unrestricted funds that have a possible expiration shall be maintained
			 separately; and
(k) The current
			 status of the sports wagering account (e.g., active, dormant, closed,
			 suspended, excluded).
(6) The following information maintained as
			 part of the electronic patron file shall be stored in encrypted form:
(a) The account holder's government
			 identification number, or portion(s) thereof;
(b) The account holder's previous and current
			 password(s), PIN(s), or other authentication credential(s); and
(c) The account holder's previous and current
			 debit instrument number(s), credit or debit card number(s), bank account
			 number(s) or other personal financial information.
(7) A licensee may allow the account holder
			 to update authentication credentials, registration information and the account
			 used for financial transactions. A multi-factor authentication process shall be
			 employed for these purposes.