SGC-30-13-00010-EP Recognition of Establishment of the Gaming Commission
7/24/13 N.Y. St. Reg. SGC-30-13-00010-EP
NEW YORK STATE REGISTER
VOLUME XXXV, ISSUE 30
July 24, 2013
RULE MAKING ACTIVITIES
NEW YORK STATE GAMING COMMISSION
EMERGENCY/PROPOSED RULE MAKING
NO HEARING(S) SCHEDULED
I.D No. SGC-30-13-00010-EP
Filing No. 750
Filing Date. Jul. 09, 2013
Effective Date. Jul. 09, 2013
Recognition of Establishment of the Gaming Commission
PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:
Proposed Action:
Amendment of Parts 4000/5831 and addition of Parts 5000-5013 and 5100-5122 to Title 9 NYCRR; and repeal of Parts 2800-2836 of Title 21 NYCRR.
Statutory authority:
Racing, Pari-Mutuel Wagering and Breeding Law, sections 102, 103, 104 and 128
Finding of necessity for emergency rule:
Preservation of general welfare.
Specific reasons underlying the finding of necessity:
(1) The nature and location of the general welfare need:
Effective February 1, 2013, Part A of Chapter 60 of the Laws of 2012 consolidated the New York State Division of the Lottery and the New York State Racing and Wagering Board into a new Gaming Commission. Such Chapter of law was codified as Article 1 of the Racing, Pari-Mutuel Wagering and Breeding Law. The New York State Gaming Commission is authorized by Section 128 of the Racing, Pari-Mutuel Wagering and Breeding Law to promulgate regulations on an emergency basis to ensure the implementation of Article 1 of the Racing, Pari-Mutuel Wagering and Breeding law that established the Gaming Commission.
Pursuant to Section 100 of the Racing, Pari-Mutuel Wagering and Breeding Law, the Legislature found and determined that the gaming industries constitute a vital sector of New York State's overall economy. The Legislature also found and determined that responsive, effective, innovative, state gaming regulation is necessary to operate in a global, evolving and increasingly competitive market place. The Legislature additionally found and determined that establishment of the Gaming Commission was necessary to modernize and transform the present State gaming agencies into a new integrated state gaming commission.
This emergency rulemaking is in the interest of the public welfare to continue growth of the gaming industry which will contribute to economic development and job creation in this State. Further, it is essential to maintain the public confidence and trust in the credibility and integrity of legalized gaming activities. This emergency rulemaking memorializes the consolidation of various regulatory functions into a single oversight body with broad powers.
(2) Description of the cause, consequences, and expected duration of the need to file emergency rules:
The cause of the need is set forth in paragraph #1 above. The consequence of filing this emergency rulemaking is the memorialization of the establishment of the Gaming Commission and its four divisions: Charitable Gaming, Gaming, Lottery and Racing. The Gaming Commission filed this emergency rulemaking with a Notice of Proposed Rulemaking to continue the normal rulemaking procedures relative to these regulations. The Gaming Commission expects this emergency rulemaking to be in effect for ninety days. The Gaming Commission then expects to file a Notice of Adoption after consideration of any comments received during the comment period associated with the Notice of Proposed Rulemaking.
(3) Compliance with the requirements of § 202(1) of the State Administrative Procedure Act would be contrary to the public interest because it would delay memorialization of the consolidation of the Gaming Commission in applicable regulations. Furthermore, the Gaming Commission has the express statutory authority to promulgate this rulemaking on an emergency basis pursuant to Section 128 of the Racing, Pari-Mutuel Wagering and Breeding Law without regard to the provisions of the State Administrative Procedure Act.
(4) Circumstances necessitate that the public and interested parties be given less than the minimum period for notice and comment because the Legislature determined the urgent need for this rulemaking when it authorized the Gaming Commission to promulgate these rules on an emergency basis as provided in Section 128 of the Racing, Pari-Mutuel Wagering and Breeding Law. The Gaming Commission recognizes the value and importance of public comment and is therefore also filing this emergency rulemaking with a Notice of Proposed Rulemaking to allow for a public comment period and further public review.
Subject:
Recognition of establishment of the Gaming Commission.
Purpose:
Technical changes to references to the Racing and Wagering Board and Lottery to Gaming Commission.
Substance of emergency/proposed rule (Full text is posted at the following State website:www.gaming.ny.gov):
NEW YORK STATE GAMING COMMISSION TITLE 9 NYCRR SUBTITLE T
Effective February 1, 2013, Part A of Chapter 60 of the Laws of 2012 consolidated the New York State Division of the Lottery and the New York State Racing and Wagering Board into a new Gaming Commission. Such Chapter of law was codified as Article 1 of the Racing, Pari-Mutuel Wagering and Breeding Law. Pursuant to Sections 123 and 129 of the Racing, Pari-Mutuel Wagering and Breeding Law, unless the context shall otherwise require, whenever the “Racing and Wagering Board” or “Division of Lottery” are referred to or designated in any law or rule pertaining to the functions, powers, obligations and duties transferred and assigned to the Gaming Commission, such reference or designation shall be deemed to refer to the Gaming Commission.
Technical amendments were made throughout the former agencies’ regulations to change references from the Racing and Wagering Board, Chairman of the Board, the Lottery and the Director of the Lottery to the Gaming Commission to reflect the Gaming Commission’s four divisions: Charitable Gaming, Gaming, Lottery and Racing and to effect other stylistic changes.
In addition to the technical references in the regulations, the Division of the Lottery’s regulations are being re-codified into Subtitle T of Title 9 of New York Codes, Rules and Regulations so that the Gaming Commission’s regulations are within the same Subtitle for ease of reference. A chart is attached for ease of reference.
REORGANIZATION CHART FOR GAMING COMMISSION RULES
SUBTITLE T. New York State Gaming Commission
Division of NYCRR
Title
Recodified Parts
Former Parts
CHAPTER I
Division of Horse Racing and Pari-Mutuel Wagering
Parts 4000-4550
Parts 4000-4500, 5100-5300 and 5402
Subchapter A
Thoroughbred Racing
Article 1
Rules of Racing
Parts 4000-4044
Parts 4000-4044
Article 2
Steeplechases, Hurdle Races and Hunt Meetings
Parts 4050-4066
Parts 4050-4066
Article 3
New York-Bred Thoroughbreds
Parts 4080-4081
Parts 4080-4081
Subchapter B
Harness Racing
Parts 4100-4123
Parts 4100-4123
Subchapter C
Quarter Horse Racing
Parts 4200-4237
Parts 4200-4237
Subchapter D
Promotion of Equine Research
Part 4250
Part 4500
Subchapter E
Totalisator Systems
Part 4300
Part 5100
Subchapter F
Off-Track Pari-Mutuel Betting
Parts 4400-4412
Parts 5200-5212
Subchapter G
Internet and Telephone Account Wagering
Part 4500
Part 5300
Subchapter H
Adjudicatory Proceedings for Racing
Part 4550
Part 5402
CHAPTER II
Division of Charitable Gaming
Parts 4600-4831
Parts 5600-5831
Subchapter A
Games of Chance General Provisions, Identification and Licensing
Parts 4600-4611
Parts 5600-5611
Subchapter B
Authorized Games of Chance, Games of Chance Currency, Conduct of Games and Supplies and Equipment
Parts 4620-4627
Parts 5620-5627
Subchapter C
Bingo General Provisions
Parts 4800-4801
Parts 5800-5802
Subchapter D
Bingo Licensing and Registration
Parts 4810-4815
Parts 5810-5815
Subchapter E
Bingo Conduct of Games, Hearings and Appeals
Parts 4820-4823 and 4830-4831
Parts 5830-5823 and 5830-5831
CHAPTER III
Division of Lottery
Parts 5000-5013
21 NYCRR Parts 2800-2835
CHAPTER IV
Division of Gaming
Parts 5100-5300
21 NYCRR Part 2836
Subchapter A
Video Lottery Gaming
Parts 5100-5300
21 NYCRR Part 2836
Subchapter B
[Reserved]
Part 5200
(new)
Subchapter C
[Reserved]
Part 5300
(new)
CHAPTER V
Administration
Parts 5400-5500
Parts 5400-5401
Subchapter A
Public Access to Records
Parts 5400-5401
Parts 5400-5401
Subchapter B
General Provisions
Part 5402
(new)
Subchapter C
Office of Racing Promotion and Development
Part 5500
(new)
Notes:
Subdivision (l) of Section 4002.1 of Subtitle T, Title 9 is repealed. This subdivision repeated the VLT occupational licensing rules in former NYSRWB horse racing rules and is redundant to Subchapter A, Chapter IV, of Subtitle T, Title 9, as amended.
Former Article 4 (Part 4070) of Subtitle T, Title 9 is repealed. This Article, a breakage experiment during 1978-80, is obsolete.
Sections 4081.2 through 4081.6 and section 4082.2 of Subtitle T, Title 9 are repealed. These rules, governing horses foaled during 1979-92 and the 1993 distribution schedule for breeders awards, are obsolete.
Part 5211 of Subtitle T, Title 9 is repealed. This Part, a repetition of the OTB pool distribution contained in statute in the 1970s, is obsolete.
Part 5802 of Subtitle T, Title 9 is repealed. This Part, FOIL and personal privacy rules for bingo regulation, was duplicated elsewhere in former NYSRWB rules and is redundant to Parts 5400 and 5401 of Subtitle T, Title 9, as amended.
This notice is intended:
to serve as both a notice of emergency adoption and a notice of proposed rule making. The emergency rule will expire October 6, 2013.
Text of rule and any required statements and analyses may be obtained from:
Rick Goodell, New York State Gaming Commission, One Broadway Center, POB 7500, Schenectady NY 12305, (518) 388-3408, email: nylrules@gaming.ny.gov
Data, views or arguments may be submitted to:
Same as above.
Public comment will be received until:
45 days after publication of this notice.
Regulatory Impact Statement
1. Statutory Authority: Effective February 1, 2012, Part A of Chapter 60 of the Laws of 2012, codified as Article 1 of the New York State Racing, Pari-Mutuel Wagering and Breeding Law, established the New York State Gaming Commission to regulate gaming and horse racing within the State. Section 128 of such law authorizes the Gaming Commission to promulgate regulations on an emergency basis to implement the establishment of the Gaming Commission, its four divisions and regulation of gaming and racing within the State. These regulations fulfill that mandate.
2. Legislative Objectives: Pursuant to Section 100 of the Racing, Pari-Mutuel Wagering and Breeding Law, the Legislature found and determined that the gaming industries constitute a vital sector of New York State's overall economy. The Legislature also found and determined that responsive, effective, innovative, state gaming regulation is necessary to operate in a global, evolving and increasingly competitive market place. The Legislature additionally found and determined that establishment of the Gaming Commission was necessary to modernize and transform the present State gaming agencies into a new integrated state gaming commission.
3. Needs and Benefits: The regulations satisfy a legislative mandate directing the Gaming Commission to regulate gaming and racing within the State.
The benefits of this rulemaking are to memorialize the establishment of the Gaming Commission and its four divisions: Charitable Gaming, Gaming, Lottery and Racing and to re-codify the existing gaming and racing regulations into one Subtitle for ease of reference.
4. Costs:
a. Costs to regulated parties for the implementation and continuing compliance with the rule: None.
b. Costs to the agency, the State, and local governments for the implementation and continuation of the rule: No additional operating costs are anticipated, since funds originally appropriated for the expenses of operating the Gaming Commission are expected to be sufficient.
c. Sources of cost evaluations: The foregoing cost evaluations are based on the current operation of the Gaming Commission.
5. Local Government Mandates: No local mandates are imposed by rule upon any county, city, village, etc.
6. Paperwork: There are no changes in paperwork requirements.
7. Duplication: This rule will not duplicate, overlap or conflict with any State or Federal statute or rules.
8. Alternatives: In furtherance of its statutory mandate to regulate gaming and racing within the State, the Gaming Commission is proposing this rulemaking to make technical changes to terminology through its rules to memorialize its establishment and the establishment of its four divisions. The alternative to not promulgating this rulemaking, is to not memorialize the establishment of the Gaming Commission in regulation and to allow the existing regulations to continue which do not accurately reflect the structure of the Gaming Commission.
9. Federal Standards: This rule will not duplicate, overlap or conflict with any State or Federal statute or rules.
10. Compliance Schedule: None.
Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement
The proposal does not require a Regulatory Flexibility Statement, Rural Flexibility Statement or Job Impact Statement. There will be no adverse impact on jobs, rural areas, small business or local governments.
