LTR-49-12-00009-P To Make a Technical Correction to Remove an Incorrect Provision Related to Licensing Agents

12/5/12 N.Y. St. Reg. LTR-49-12-00009-P

NEW YORK STATE REGISTER

VOLUME XXXIV, ISSUE 49

December 05, 2012

RULE MAKING ACTIVITIES

DIVISION OF THE LOTTERY

PROPOSED RULE MAKING

NO HEARING(S) SCHEDULED

 

I.D No. LTR-49-12-00009-P

To Make a Technical Correction to Remove an Incorrect Provision Related to Licensing Agents

PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:

Proposed Action:

This is a consensus rule making to repeal section 2836-4.7(a) of Title 21 NYCRR.

Statutory authority:

Lottery for Education Law, sections 1604 and 1617-a

Subject:

To make a technical correction to remove an incorrect provision related to licensing agents.

Purpose:

To conform with NYS Lottery for Education Law section 1617-a.

Text of proposed rule:

Subdivision (a) of section 2836-4.7 is hereby repealed:

2836-4 Video Lottery Gaming Agents

2836-4.7 Relationship.

(a) [Each video lottery gaming agent shall be considered an independent contractor and not an agent, servant or employee of the division or the state. Notwithstanding such status, each video gaming agent is a holder in trust of state moneys for the benefit of the state and until such moneys are deposited pursuant to video gaming procedures issued by the division, such moneys shall be considered held “in trust” for the benefit of the state and the division. With respect to all state moneys, the video lottery gaming agent irrevocably pledges, assigns and grants the division and the state a security interest in and control over all such moneys and any and all deposit accounts which such moneys may be deposited, including, without limitation, all interest, dividends, cash, instruments and other property held therein. Without limiting any of the foregoing, the video lottery gaming agent, as a condition to its license and operation certificate, will consent to any action which the state and/or the division deems necessary to perfect the security interest described above.]

Text of proposed rule and any required statements and analyses may be obtained from:

Julie B. Silverstein Barker, Associate Attorney, New York Lottery, One Broadway Center, Schenectady NY 12301-7500, [phone], email: [e-mail]

Data, views or arguments may be submitted to:

Same as above.

Public comment will be received until:

45 days after publication of this notice.

Consensus Rule Making Determination

Sections 1604 and 1617-a of the New York State Lottery for Education Law (Article 34 of the Tax Law) establish the New York Lottery's (the "Lottery") authority to promulgate regulations governing its games and the operation of video lottery gaming.

The Division of the Lottery's regulations are being amended to make a technical change to conform a provision of its regulations to Section 1617-a of the Lottery for Education Law.

Subdivision (a) of section 2836-4.7 incorrectly states that Video Lottery Agents are not agents of the Lottery. Such a statement is contrary to Section 1617-a of the Lottery for Education Law which authorizes the Lottery to license suitable applicants as Video Lottery Agents. Additionally, Video Lottery Agents are required to follow the Lottery's instructions.

Therefore, the proposed amendment is necessary to conform the Lottery's regulations to the Lottery's statutory authority to license agents.

No one is likely to object to these amendments because the amendment is being made to correct a technical error and conform the Lottery's regulations to law. This change will not have an impact on the manner in which the Lottery licenses agents or in the operation of Video Gaming.

Job Impact Statement

The proposed amendment of 21 NYCRR Part 2836-4.7 does not require a Job Impact Statement because there will be no adverse impact on jobs and employment opportunities in New York State.

The Division of the Lottery's regulations are being amended to make a technical change to conform a provision of its regulations to Section 1617-a of the Lottery for Education Law. Subdivision (a) of section 2836-4.7 incorrectly states that Video Lottery Agents are not agents of the Lottery. Such a statement is contrary to Section 1617-a of the Lottery for Education Law which authorizes the Lottery to license suitable applicants as Video Lottery Agents. Additionally, Video Lottery Agents are required to follow the Lottery's instructions. This change will not have an impact on the manner in which agents are licensed or in the operation of Video Gaming.

The change will not adversely impact jobs and employments opportunities within New York State.