New York Codes, Rules and Regulations › Title 9 - EXECUTIVE DEPARTMENT › Subtitle T - New York State Gaming Commission › Chapter IV - Division of Gaming › Subchapter B - Casino Gaming › Part 5313 - Conduct and Operation of Gaming › Section 5313.1 - System of internal control

Current through Register Vol. 46, No. 28, July 10, 2024
(a) Consistent
					 with Racing, Pari-Mutuel Wagering and Breeding Law section 1334, a gaming
					 facility licensee shall submit to the commission a written description of its
					 initial system of administrative and accounting procedures, including its
					 internal control systems and audit protocols, at least 60 days prior to the
					 projected date of issuance of an operation certificate unless otherwise
					 approved in writing by the commission. A written system of internal controls
					 shall include, without limitation:
(1)
					 organization charts depicting segregation of functions and
					 responsibilities;
(2) a description
					 of the duties and responsibilities of each position shown on the organization
					 charts and the respective lines of authority for each;
(3) a detailed narrative description of the
					 administrative and accounting procedures designed to satisfy the requirements
					 of this Part;
(4) a record
					 retention policy relating to retention, storage and destruction of books,
					 records and documents, as required by section
					 5313.10 of this Part;
(5) procedures to ensure that assets are
					 safeguarded and counted in conformance with count procedures as set forth in
					 this Subchapter;
(6) procedures
					 governing the conduct of all gaming-related promotions to be offered;
(7) procedures to ensure that the gaming
					 facility licensee's employees comply with licensing or registration
					 requirements;
(8) other items the
					 commission may request in writing to be included in such gaming facility's
					 internal controls;
(9)
					 administrative controls that include the procedures and records that relate to
					 the decision-making processes leading to management's authorization of
					 transactions;
(10) accounting
					 controls that safeguard assets and revenues and ensure the reliability of
					 financial records. Such accounting controls must be designed to provide
					 reasonable assurance that:
(i) transactions
					 or financial events that occur in the operation of a slot machine or table game
					 are executed in accordance with management's general and specific
					 authorization;
(ii) transactions or
					 financial events that occur in the operation of a slot machine or table game
					 are recorded as necessary to permit preparation of financial statements in
					 conformity with generally accepted accounting principles in the United States,
					 Article 13 of the Racing, Pari-Mutuel Wagering and Breeding Law and this
					 Subchapter;
(iii) transactions or
					 financial events that occur in the operation of gaming are recorded in a manner
					 that provides reliable records, accounts and reports, including the recording
					 of cash and evidences of indebtedness, for use in the preparation of reports to
					 the commission;
(iv) transactions
					 or financial events that occur in the operation of gaming are recorded to
					 ensure accountability for assets and to permit the proper and timely reporting
					 of gaming revenue, fees and taxes;
(v) access to assets is permitted only in
					 accordance with management's general and specific authorization; and
(vi) the recorded accountability for assets
					 is compared with existing physical assets at reasonable intervals and that
					 appropriate action is taken with respect to any discrepancies;
(11) procedures and controls for
					 ensuring that each slot machine and electronic table game directly provides and
					 communicates all required activities and financial details to the online
					 monitoring and accounting system;
(12) procedures and controls for ensuring
					 that all functions, duties and responsibilities are segregated and performed in
					 accordance with sound financial practices by qualified personnel; and
(13) procedures and controls for ensuring,
					 through the use of surveillance and security departments, that the gaming
					 facility is secure during normal operations and during any emergencies due to
					 malfunctioning equipment, loss of power, natural disaster or any other
					 cause.