10 Del. Admin. Code § 205-5.0

Current through Register Vol. 28, No. 7, January 1, 2025

Section 205-5.0 - Agents: Duties

5.1 The following ongoing duties are required of all licensed agents:

5.1.1 Provide a secure location for the placement, operation, and play of all authorized charitable video lottery machines located on the licensed agent's premises.

5.1.2 Permit no person to tamper with or interfere with the approved operation of any authorized charitable video lottery machine or other gaming equipment without prior written approval of the agency, unless otherwise directed by the lottery office.

5.1.3 With respect to charitable video lottery operations, contract only with licensed charitable gaming vendors for the supply of charitable video lottery machines or associated equipment authorized by the agency to participate in charitable video lottery operations within the State of Delaware.

5.1.4 Ensure that no charitable video lottery machine or associated equipment or any other related accessory may be used in a charitable video lottery facility if the machine, equipment, or supplier of the machine or equipment has not been previously approved by the agency.

5.1.5 Ensure authorized charitable video lottery machines are placed and remain as placed, unless the agency authorizes their movement within the sight and control of the agent or a designated employee who is physically present at the time of movement.

5.1.6 Monitor players who use charitable video lottery machines and prevent access to, or use by:

5.1.6.1 players who are under the age of twenty-one (21) years,

5.1.6.2 players who are intoxicated, or

5.1.6.3 players whom the agent has reason to believe are intoxicated.

5.1.7 Prohibit use of charitable video lottery machines by players who are barred by law or who self-barred themselves from playing any charitable video lottery machine.

5.1.8 Commit no violations of the laws of this State concerning the sale, dispensing, and consumption on the premises of alcoholic beverages that result in suspension or revocation of an alcoholic beverage license.

5.1.9 Maintain at all times sufficient cash in denominations accepted by the charitable video lottery machines located on the premises.

5.1.10 Report promptly all charitable video lottery machine malfunctions to the appropriate charitable gaming vendor and agency and notify the agency of any failure of a charitable gaming vendor to provide service and repair of such charitable video lottery machines and associated equipment.

5.1.11 Assume responsibility for the proper and timely payment to players of cash or credits awarded.

5.1.12 Prohibit the possession, use or control of gambling paraphernalia on the premises which is not directly related to the agent's charitable video lottery operations and prohibit illegal gambling on the premises.

5.1.13 Attend all meetings, seminars, and training sessions required by the agency.

5.1.14 Supervise its employees and their activities to ensure compliance with these rules.

5.1.15 Assume responsibility for the proper and immediate redemption of all credits; however, no credits may be redeemed by an individual under the age of twenty-one (21) years. No credits or prizes may be redeemed by or for any individual who is illegally on the agent's premises or individuals who have requested that they be self-banned from the agent's premises.

5.1.16 Provide dedicated power and a proper charitable video lottery machine environment in accordance with the specifications of the agency.

5.1.17 Immediately report to the agency any violation, or any facts or circumstances that may result in a violation, of state or federal law and/or any rules or regulations pursuant thereto by the agent, its employees, or anyone acting on behalf of the agent, excluding violations concerning motor vehicle laws.

5.1.18 Conduct charitable video lottery operations in a manner that does not pose a threat to the public health, safety, or welfare of the citizens of Delaware, or reflect adversely on the security or integrity of the lottery office.

5.1.19 Hold the agency, the Director, the State of Delaware, and its officers and employees harmless from, and defend and pay for the defense of, any and all claims that may be asserted against the agency, the Director, the State of Delaware, and its officers and employees that may arise from the agent's participation in or the operation of a charitable video lottery machine, except claims arising from the negligence or willful misconduct of the agency, the Director, the State of Delaware, or its officers or employees.

5.1.20 Maintain all records required to be kept by agents according to Delaware laws and regulations as well as these rules and all federal laws and regulations.

5.1.21 Provide at the request of the Director or the DGE immediate access to the premises and to all records related to any aspect of these rules.

5.1.22 Keep current on all payments, tax obligations and other obligations to the agency and other licensees with whom charitable video lottery business is conducted. The agent shall pay the players and transfer the net charitable video lottery game proceeds to the agency in conformity with the requirements set forth in these rules and 29 Del.C. Ch. 48.

5.1.23 Comply with such other requirements as shall be specified by the Director.

5.1.24 Notify the Director on a continuing basis of any change in officers assuming responsibility of the agent.

5.1.25 Comply with all requests for a background investigation. The failure of any officer of the agent to satisfy a background investigation may constitute "cause" for the suspension or revocation of the agent's license; provided, however, that the agency will first give an agent a reasonable opportunity to remove or replace such individual if the agent was unaware of such "cause" prior to the background investigation.

5.1.26 Comply on a continuing basis with the requirements for obtaining or retaining a license under the provisions of these rules and 29 Del.C. Ch. 48.

5.1.27 Immediately notify the DGE and the agency about, and submit any evidence of, any charitable video lottery machine or related equipment which has been, or there is reasonable suspicion that it may have been, tampered with or altered in such a way that the integrity or conformity of the charitable video lottery machine or related equipment may have been affected.

5.1.27.1 Any agent who has retained any charitable video lottery machine or related equipment under a reasonable suspicion that said machine or equipment was tampered with or altered, or who has retained any equipment or device of those specified in these rules under a reasonable suspicion that said equipment or device was introduced or was used or intended to be used in the charitable video lottery facility in violation of the law or these rules, shall keep said machine, equipment, or device in the state in which it was found when it was retained and shall deliver said machine, equipment or device to a representative of the DGE as soon as possible.

5.1.27.2 Any agent who has retained any charitable video lottery machine or related equipment or other devices as set forth in subsection 5.1.27.1 shall be responsible for ensuring that any such machine, equipment or other device, and any evidence related to the same which should be submitted to the DGE, is maintained in a secure manner until the arrival of an authorized representative of the DGE.

5.1.28 Immediately notify the DGE about any illegal or suspicious activities that occur or are occurring in the agent's charitable video lottery facility or premises that relate to the safety, security or gaming operations of the facility or premises. An agent shall also immediately notify the DGE of any illegal or suspicious activities that occur outside of the charitable video lottery facility or premises that relate to the safety, security or gaming operations of the charitable video lottery facility or premises.

5.1.29 Immediately notify the DGE if anyone acting on behalf of the agent physically detains a person suspected of a violation of 11 Del.C. § 1471.

5.1.30 Annually submit to the agency the following items by the due dates set forth below:

5.1.30.1 By February 28 of each year, a membership affidavit form, which the agency will provide to the charitable video lottery agent, that lists the total number of the agent's active members. This affidavit is required only for those charitable video lottery agents that wish to operate more than the minimum 10 charitable video lottery machines. The agent must ensure that the membership affidavit form has been notarized by a notary public;

5.1.30.2 By March 31 of each year, a charitable donations report form, which the agency will provide to the charitable video lottery agent, that lists the agent's charitable donations for the preceding calendar year; and

5.1.30.3 Between December 1 and December 31 of each year, a written confirmation that the charitable video lottery agent has registered with the U.S. Department of Justice, which confirmation may be forwarded to the agency by electronic mail.

10 Del. Admin. Code § 205-5.0

27 DE Reg. 679 (3/1/2024) (Final)