10 Del. Admin. Code § 203-1.0

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

Section 203-1.0 - Introduction: Role of State Lottery Office, Minimum Internal Control Standards

1.1 These regulations are authorized pursuant to 29 Del.C.§ 4805 of Title 29 of the Delaware Code. Video lottery and table game operations in the State of Delaware are strictly regulated by the Delaware State Lottery Office through the powers delegated to the Director of the Lottery pursuant to Title 29 of the Delaware Code.

1.2 In order to ensure the public trust, the integrity of gaming operations and the collection of required tax revenue, the agency shall adopt Minimum Internal Control Standards which prescribe minimum procedures for the exercise of effective control over the internal fiscal affairs of an agent, including provisions for the safeguarding of assets and revenue, the recording of cash and evidence of indebtedness, and the maintenance of reliable records, accounts, and reports of transactions, operations and events, including reports to the Director. Such Minimum Internal Control Standards shall address, at a minimum, the following:

1.2.1 A minimum uniform standard of accountancy methods, procedures and forms; a uniform code of accounts and accounting classifications; and such other standard operating procedures as may be necessary to assure consistency, comparability, and effective disclosure of all financial information, including calculations of percentages of profit by games, tables, and gaming devices;

1.2.2 The organizational structure of the agent and the required departments necessary to assure that management is held accountable within its area of responsibility and to provide adequate segregation so that incompatible functions do not permit employees to be in a position both to commit and conceal an error or to perpetrate a fraud in their normal course of duties;

1.2.3 Formulas and required reports covering the calculation of hold percentages; revenue and drop; expense and overhead schedules; complimentary services; cash, counter check and cash equivalent transactions;

1.2.4 Adequate safeguards within the cashiers' cage for the receipt, storage, inventory and disbursal of chips, cash, counter checks and other cash equivalents used in gaming; the cashing of checks; the redemption of chips and other cash equivalents used in gaming; and the recording of transactions pertaining to gaming;

1.2.5 A system for the collection and security of moneys at the table games, the transfer and recordation of chips between the table games and the cashiers' cage, and the transfer of money from the table games to the counting process;

1.2.6 The process and equipment to assure security for the counting and recordation of revenue;

1.2.7 Security, storage and recordation of chips, cards, dice, cash, and other sensitive equipment utilized in gaming;

1.2.8 Standards governing the utilization of the surveillance and security departments within the video lottery facility;

1.2.9 Rules governing the conduct of authorized games and the responsibility of video lottery facility personnel in respect thereto;

1.2.10 The orderly shutdown of gaming operations in the event that a state of emergency is declared, including without limitation, the securing of all keys and gaming assets;

1.2.11 Physical and systems controls for information technology;

1.2.12 Currency Transaction and Suspicious Activity Reporting in accordance with the Bank Secrecy Act.

10 Del. Admin. Code § 203-1.0