11 Va. Admin. Code § 20-30-130

Current through Register Vol. 41, No. 8, December 2, 2024

Section 11VAC20-30-130 - Requirements regarding renting premises, agreements, and landlord participation

A. A person who rents, leases, or otherwise provides a premises to a qualified organization to hold a poker tournament shall obtain a landlord registration from the department. A landlord shall obtain a landlord registration regardless of whether the landlord charges or intends to charge a rental fee for providing a premises to a qualified organization.

B. All persons who rent, lease, or otherwise provide a premises to a qualified organization to hold a poker tournament shall apply to the department for a landlord registration on a form prescribed by the department. The application for a landlord registration shall include:

1. The names of all owners, directors, and partners; and

2. All current rental agreements between the landlord and a qualified organization.

C. A landlord registration shall be valid for a period of one year from the date of issuance or for the period specified on the registration. The department may issue a registration for a period of less than one year. If any information on the registration application changes or is found to be inaccurate, the applicant shall notify the department and provide the updated or corrected information within three business days of the change or the discovery of the inaccuracy.

D. A qualified organization shall ensure that the landlord; the landlord's agents; the landlord's employees; or an immediate family member or person residing in the household of such landlord, agent, or employee shall not directly or indirectly make a loan to the qualified organization; a member of the qualified organization; a person affiliated or associated with the qualified organization; an operator; a charitable gaming supplier; or an immediate family member or person residing in the household of a member of the qualified organization, a person affiliated or associated with the qualified organization, an operator, or a charitable gaming supplier. For the purpose of this subsection, a "loan" is a loan that the landlord; the landlord's agents; the landlord's employees; or an immediate family member or person residing in the household of such landlord, agent, or employee makes (i) during the qualified organization's contract with the landlord or (ii) within the three years preceding the effective date of that contract. For the purpose of this subsection, a "loan" is a loan on which the qualified organization; member of the qualified organization; person affiliated or associated with the qualified organization; or immediate family members or persons residing in the household of a member of the qualified organization or of a person affiliated or associated with the qualified organization maintains an outstanding balance during the qualified organization's contract with the landlord.

E. A qualified organization shall ensure that the landlord; the landlord's agents; the landlord's employees; or the immediate family members or persons residing in the household of such landlord, agent, or employee shall not directly or indirectly make any payment to the qualified organization; a member of the qualified organization; a person affiliated or associated with the qualified organization; an operator; a charitable gaming supplier; or an immediate family member or person residing in the household of a member of the qualified organization, a person affiliated or associated with the qualified organization, an operator, or a charitable gaming supplier.

F. A qualified organization shall ensure that the landlord; its agent; its employees; or the immediate family members or persons residing in the household of such landlord, agent, or employee shall not:

1. Participate in the management, operation, conduct, or administration of the qualified organization's poker tournament that is operated, conducted, or administered on the landlord's premises;

2. Sell, lease, or otherwise provide any charitable gaming supplies, including playing cards, poker chips, or other game pieces, for use during the qualified organization's poker tournament that is operated, conducted, or administered on the landlord's premises;

3. Require as a condition of the lease that the qualified organization use a particular charitable gaming supplier or operator; or

4. Provide, advise, or direct the qualified organization or operator to use a particular person to manage, operate, conduct, or administer the qualified organization's poker tournament that is to be held in the landlord's premises.

G. A member of a qualified organization who participates in the management, operation, or conduct of a poker tournament shall not provide services to a landlord or be remunerated in any manner by the landlord of the premises that the qualified organization uses to manage, operate, or conduct its poker tournament.

H. A qualified organization shall only lease a premises by means of a fixed rental payment. The fixed rental payment shall reflect the current fair market rental value of the property and shall not be based upon or determined by a percentage of the proceeds derived from the operation of the poker tournament or to the number of people in attendance at such tournament.

I. The qualified organization shall ensure that no contract for the rental or leasing of a premises for a poker tournament shall be contingent upon the qualified organization's agreement that it will contract with a particular business for a particular premises, equipment, or service. The qualified organization shall prohibit the landlord, owner, lessor, or lessee of the premises where the poker tournament is being played from serving in any capacity with the qualified organization that is leasing from such landlord, owner, lessor, or lessee.

J. A charitable gaming supplier is ineligible for a landlord registration.

K. A landlord shall provide to the department the records related to the landlord's lease with a qualified organization, including financial records, that the department deems necessary to complete an inspection, audit, or investigation. The department shall provide written receipt of such records at the time the landlord provides requested records to the department. The department may suspend or revoke the registration of a landlord who refuses to provide the requested record.

L. If the department determines that a landlord is not in compliance with a provision of the Charitable Gaming Law or regulations adopted pursuant thereto, the department may deny, suspend, or revoke the landlord's registration.

M. A qualified organization shall not lease the premises of any landlord that has contracted with the qualified organization to administer the qualified organization's poker tournament as an operator.

11 Va. Admin. Code § 20-30-130

Derived from Virginia Register Volume 40, Issue 17, eff. 5/9/2024.

Statutory Authority: § 18.2-340.19 of the Code of Virginia.