Pennsylvania Code › Title 58 - RECREATION › Part VII - GAMING CONTROL BOARD › Subpart E - Slot Machine, Table Game and Associated Equipment Testing and Control; Accounting and Internal Controls › Chapter 461a - SLOT MACHINE, TABLE GAME DEVICE, INTERACTIVE GAME, SPORTS WAGERING DEVICE, VIDEO GAME TERMINAL, AND ASSOCIATED EQUIPMENT TESTING AND CONTROLS › Section 461a.13 - Wide area progressive systems

Current through Register Vol. 54, No. 28, July 13, 2024
(a)
				  Two or more slot machine licensees may, with the prior written approval of the
				  Board as required under subsection (c), operate a wide area progressive
				  system.
(b) A wide area progressive
				  system shall at all times be installed and operated in accordance with relevant
				  requirements of the act and this subpart.
(c) A wide area progressive system shall be
				  operated and administered by participating slot machine licensees in accordance
				  with the terms and conditions of a written agreement executed by the
				  participating slot machine licensees. The agreement shall be referred to as a
				  slot system agreement. Slot system agreements must be submitted in writing and
				  approved by the Board prior to implementation.
(d) Slot machine licensees participating in a
				  slot system agreement may delegate, in whole or in part, the operation and
				  administration of a wide area progressive system to a licensed manufacturer
				  provided that the slot system agreement is executed by the licensed
				  manufacturer and its express terms are approved by the Board. The persons
				  designated in a slot system agreement as being responsible for the operation
				  and administration of a wide area progressive system shall be referred to as
				  the slot system operator.
(e) An
				  agreement between a licensed manufacturer and a slot machine licensee under
				  which a licensed manufacturer sells, leases or services a wide area progressive
				  system will not constitute a slot service agreement unless the agreement also
				  covers operation and administration of the wide area progressive
				  system.
(f) Slot system agreements
				  providing for the operation and administration of a wide area progressive
				  system must identify and describe with specificity the duties, responsibilities
				  and authority of each participating slot machine licensee and each slot system
				  operator including all of the following:
(1)
				  Details with regard to the terms of compensation for the slot system operator.
				  The agreement must address to what extent, if any, the slot system operator is
				  receiving compensation based directly or indirectly on an interest, percentage
				  or share of a slot machine licensee's revenue, profits or earnings from the
				  operation of the wide area progressive system.
(2) Responsibility for the funding and
				  payment of all jackpots, fees and gross terminal revenue taxes associated with
				  the operation of the wide area progressive system.
(3) Control and operation of the computer
				  monitoring room required under subsection (g).
(4) A description of the process by which
				  significant decisions with regard to the operation of the wide area progressive
				  system are approved and implemented by the participating slot machine licensees
				  and slot system operator.
(5) When
				  applicable, the terms of 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 and this
				  part.