Kansas Administrative Regulations › Agency 112 - KANSAS RACING AND GAMING COMMISSION › Article 107 - ELECTRONIC GAMING MACHINES › Section 112-107-22 - Wide-area progressive systems

Current through Register Vol. 43, No. 28, July 11, 2024
(a) Two or more facility managers may operate
			 linked progressive LFGs that are interconnected between two or more
			 participating gaming facilities, with the prior written approval of the
			 commission and the Kansas lottery as required under subsection (c). The LFGs
			 participating in the link shall be collectively referred to as a wide-area
			 progressive system.
(b) Each
			 wide-area progressive system shall at all times be installed and operated in
			 accordance with relevant requirements of the act, this article, and article
			 110.
(c) Each wide-area progressive
			 system shall be operated and administered by participating facility managers in
			 accordance with the terms and conditions of a written agreement executed by the
			 participating facility managers. The agreement shall be referred to as an
			 electronic gaming system agreement. Each electronic gaming system agreement
			 shall be submitted in writing and approved by the commission and the Kansas
			 lottery before implementation and shall meet the requirements of the act, this
			 article, and article 110.
(d) Any
			 facility manager participating in an electronic gaming system agreement may
			 delegate, in whole or in part, the management and administration of a wide-area
			 progressive system to a gaming supplier if the electronic gaming system
			 agreement is executed by the gaming supplier and the terms of the agreement are
			 approved by the commission and the Kansas lottery. The persons designated in an
			 electronic gaming system agreement as being responsible for the management and
			 administration of a wide-area progressive system shall be referred to as the
			 wide-area progressive system operator.
(e) An agreement between a gaming supplier
			 and a facility manager under which a gaming supplier sells, leases, or services
			 a wide-area progressive system shall not constitute an electronic gaming
			 service agreement, unless the agreement also covers the management and
			 administration of the wide-area progressive system.
(f) Each electronic gaming system agreement
			 providing for the management and administration of a wide-area progressive
			 system shall identify and describe with specificity the duties,
			 responsibilities, and authority of each participating facility manager and each
			 electronic gaming system operator, including the following:
(1) Details with regard to the terms of
			 compensation for the electronic gaming system operator. The agreement shall
			 address to what extent, if any, the electronic gaming system operator is
			 receiving compensation based, directly or indirectly, on an interest,
			 percentage, or share of a facility manager's revenue, profits, or earnings from
			 the management of the wide-area progressive system;
(2) responsibility for the funding and
			 payment of all jackpots and fees associated with the management of the
			 wide-area progressive system;
(3)
			 control and operation of the computer monitoring room required under subsection
			 (l);
(4) a description of the
			 process by which significant decisions with regard to the management of the
			 wide-area progressive system are approved and implemented by the participating
			 facility managers and electronic gaming system operator;
(5) when applicable, terms satisfactory to
			 the commission with regard to apportionment of responsibility for establishing
			 and servicing any trust agreement associated with any annuity jackpot offered
			 by the wide-area progressive system;
(6) responsibility for generating, filing,
			 and maintaining the records and reports required under the act, this part, and
			 article 110; and
(7) any other
			 relevant requirements of the commission, including those required to comply
			 with the technical standards on wide-area progressive systems adopted by the
			 commission under article 110.