SGC-28-16-00008-A Regulation of Table Game Equipment

9/21/16 N.Y. St. Reg. SGC-28-16-00008-A

NEW YORK STATE REGISTER

VOLUME XXXVIII, ISSUE 38

September 21, 2016

RULE MAKING ACTIVITIES

NEW YORK STATE GAMING COMMISSION

NOTICE OF ADOPTION

 

I.D No. SGC-28-16-00008-A

Filing No. 837

Filing Date. Sept. 06, 2016

Effective Date. Sept. 21, 2016

Regulation of Table Game Equipment

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

Action taken:

Addition of Part 5322 to Title 9 NYCRR.

Statutory authority:

Racing, Pari-Mutuel Wagering and Breeding Law, sections 104(19), 1307(1), (2)(g), 1335(4) and (11)

Subject:

Regulation of table game equipment.

Purpose:

To set forth the physical characteristics, inspection, use, storage and destruction of table game equipment.

Substance of final rule:

The addition of Part 5322 of Subtitle T of Title 9 NYCRR will allow the New York State Gaming Commission (“Commission”) to prescribe requirements for the inspection, use, storage and destruction of table game equipment. The rule also prescribes the physical characteristics for certain table game equipment.

Section 5322.1 sets forth the definitions applicable to the Part. Section 5322.2 establishes the physical characteristics of gaming chips. Section 5322.3 establishes the procedure for reserve gaming chip use. Section 5322.4 sets forth the procedure for the exchange and redemption of gaming chips and table game promotional coupons. Section 5322.5 sets forth the procedure for the receipt, security, storage and destruction of gaming chips. Sections 5322.6 and 5322.7 set forth the physical characteristics and use of tournament chips and plaques. Sections 5322.8 and 5322.9 set forth the physical characteristics of big wheels and roulette equipment. Section 5322.10 establishes the inspection and storage requirements for manual or automated shakers. Sections 5322.11 through 5322.13 set forth the physical characteristics, use, storage, inspection and destruction requirements for dice and pai gow tiles. Sections 5322.14 and 5322.15 set forth the physical characteristics, use, storage, inspection and destruction requirements for playing cards. Section 5322.16 establishes procedures for the pre-shuffle and pre-inspection of playing cards. Sections 5322.17 through 5322.19 establish requirements for the use of card readers, dealing shoes, automated dealing devices and automated card shuffling devices.

Final rule as compared with last published rule:

Nonsubstantive changes were made in sections 5322.2(e) and 5322.4(g).

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

Kristen Buckley, New York State Gaming Commission, One Broadway Center, P.O. Box 7500, Schenectady, New York 12301, [phone], email: [e-mail]

Revised Regulatory Impact Statement, Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement

The Commission made nonsubstantive changes to sections 5322.2 and 5322.4 in Part 5322 Table Game Equipment. The changes do not necessitate a revision to the previously published RIS and consolidated RFA, RAFA and JIS statement.

Initial Review of Rule

As a rule that does not require a RFA, RAFA or JIS, this rule will be initially reviewed in the calendar year 2021, which is no later than the 5th year after the year in which this rule is being adopted.

Assessment of Public Comment

The Gaming Commission received comments from one entity, Fox Rothschild LLP on behalf of Montreign Operating Company, LLC, in regard to this proposed rulemaking. The Commission has considered each of the comments received and decided that no changes were appropriate at this time. In particular:

1. Proposed Rule 5322.2(b)(8). The commentator requested that each value chip with a denomination of $25 or more only be required to contain at least two anti-counterfeiting measures. The Commission disagrees and believes that imposing a minimum of at least three anti-counterfeiting measures is not overly burdensome and consistent with other gaming jurisdictions.

2. Proposed Rule 5322.2(d)(4) and (e)(4). The commentator requested that the descriptive requirements for a promotional gaming chip be removed. The Commission reviewed other gaming jurisdictions and believes these requirements provide an additional measure of security.

3. Proposed Rule 5322.4(c). The commentator requested that patrons be allowed to use value chips for payment of food, beverage or related serves. The Commission conducted a thorough review of those jurisdictions that regulate the use of value chips and believes that the proposed rule is consistent with those jurisdictions.

4. Proposed Rule 5322.18(b). The commentator requested that an automatic card shuffling device not be stored in a locked compartment when it is not in use. The Commission disagrees and believes a locked compartment is necessary to protect against automatic card shuffling device tampering.