N.D. Admin. Code 69.5-01-11-05

Current through Supplement No. 395, January, 2025
Section 69.5-01-11-05 - Licensing site operators
1. Before the commission may grant a license to a site operators, it shall review and approve a plan of operation submitted by an applicant including, but not limited to, the following information:
a. A feasibility study denoting the revenue earnings expected from the facility and the costs expected to operate such facility. The feasibility study must include:
(1) The number of races to be simulcast.
(2) The types of wagering to be offered.
(3) The level of attendance expected and the area from which such attendance will be drawn.
(4) The level of anticipated wagering activity.
(5) The source and amount of revenue expected from other than pari-mutuel wagering.
(6) The cost of operating the facility and the identification of costs to be amortized and the method of amortization of such costs.
b. The security measures to be employed to protect the facility, to control crowds, to safeguard the transmission of the simulcast signal and to control the transmission of wagering data to effectuate common wagering pools.
c. The description of the management groups responsible for the operation of the facility.
d. The system of accounts to maintain a separate record of revenues collected by the facility, the distribution of such revenues, and the accounting of costs relative to the operation.
e. The location of each site and a copy of the lease or site agreement.
f. All written agreements or letters of consent between parties to the operation of the system, including a licensed service provider.
g. Proof of eligibility under North Dakota Century Code section 53-06.2-06.
h. Applicant's financial information demonstrating adequate capitalization to carry on the duties of a site operator.
i. Support or nonsupport of the local jurisdictional government.
j. Proof of adequate experience and knowledge necessary to conduct simulcasting and pari-mutuel wagering operations.
2. The license fee shall be as prescribed by the commission. Site operators may apply for a license and may operate one or more sites at the fees prescribed by the commission. Licenses will be for a term of one calendar year.
3. Licenses to site operators may be granted as follows:
a. Organizations eligible under North Dakota Century Code section 53-06.2-06.
b. Indian tribal entities within the state which may be licensed pursuant to the provision of an existing racing addendum to a tribal gaming compact with the state.
c. No service providers may be licensed as site operators.
4. Each applicant for a license under this chapter shall give a bond or letter of credit payable to this state with good security as approved by the commission. The bond or letter of credit must be in the amount the commission determines will adequately protect the amount normally due and owing to this state in a regular payment period or, in the case of new or altered conditions, based on the projected revenues.
5. No simulcasting or pari-mutuel wagering may be conducted at a site not approved by the commission.

N.D. Admin Code 69.5-01-11-05

Effective March 1, 1990; amended effective August 1, 2007; July 1, 2011.
Amended by Administrative Rules Supplement 2016-360, April 2016, effective 4/1/2016.

General Authority: NDCC 53-06.2-05

Law Implemented: NDCC 53-06.2-04, 53-06.2-05, 53-06.2-06, 53-06.2-07, 53-06.2-08, 53-06.2-10.1, 53-06.2-14