A.B. 58 - *AB58* ASSEMBLY BILL NO. 58–COMMITTEE ON JUDICIARY (ON BEHALF OF THE NEVADA GAMING CONTROL BOARD) PREFILED NOVEMBER 20, 2024 ____________ Referred to Committee on Judiciary SUMMARY—Revises various provisions relating to gaming. (BDR 41-297) FISCAL NOTE: Effect on Local Government: No. Effect on the State: Yes. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to gaming; revising the definitions of certain terms related to gaming; providing for the administrative approval of games or gambling games by the Chair of the Nevada Gaming Control Board; revising the types of games that may be exposed by gaming establishments; making a technical correction to refer to a race book and sports pool for the purposes of licensing an establishment to operate interactive gaming; removing and repealing provisions governing cash access and wagering instrument service providers; removing and repealing provisions governing global risk management; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law defines certain terms for the purposes of provisions relating to 1 gaming. (NRS 463.013-463.01967) Section 1 of this bill removes dice, playing 2 cards and devices for weighing or counting money from the definition of the term 3 “associated equipment.” Section 4 of this bill adds a person who sells and provides 4 management, or consultation or instruction in the management, of risks associated 5 with wagering pools for a race or sporting event or any other event for which a 6 wager may be accepted to the definition of the term “information service.” 7 Existing law: (1) prohibits, in general, a gaming licensee from offering a game 8 or gambling game for play if the game or gambling game has not received a 9 recommendation from the Nevada Gaming Control Board or an approval from the 10 Nevada Gaming Commission; and (2) requires the Commission to adopt 11 regulations governing the approval of games or gambling games. (NRS 463.164) 12 Section 6 of this bill instead prohibits a gaming licensee from offering a game or 13 – 2 – - *AB58* gambling game for play if the game or gambling game has not been 14 administratively approved by the Chair of the Board in accordance with regulations 15 adopted by the Commission governing such administrative approval. Section 2 of 16 this bill makes a conforming change to refer to such regulations and administrative 17 approval of a game or gambling game. 18 Existing law prohibits the Commission from approving a license for an 19 establishment to operate interactive gaming unless certain conditions are met. (NRS 20 463.750) Section 8 of this bill makes a technical correction to refer to a race book 21 and sports pool for purposes of such licensure. 22 Existing law authorizes the Commission to provide by regulation for the 23 licensing of service providers, who generally: (1) perform certain services on behalf 24 of another licensed person who conducts nonrestricted gaming operations or an 25 establishment licensed to operate interactive gaming; or (2) provide services or 26 devices which patrons of licensed establishments use to obtain cash or wagering 27 instruments. (NRS 463.01395, 463.0157, 463.160, 463.677) Section 11 of this bill 28 repeals the term “cash access and wagering instrument service provider.” Sections 29 3, 5 and 7 of this bill make conforming changes to remove provisions of existing 30 law relating to cash access and wagering instrument service providers. Section 7 31 also removes system-based and system-supported games from the list of certain 32 games that may be exposed by licensed gaming establishments. 33 Existing law requires the Commission to adopt regulations relating to global 34 risk management, which is defined as the operation, by a person who has been 35 issued a license to operate a race book or sports pool, of certain risk management 36 services between and among various jurisdictions through communications 37 technology for the purposes of the management, or consultation or instruction in the 38 management, of wagering pools and the transmission of information relating to 39 wagering pools or other similar information. (NRS 463.810, 463.820) Section 11 40 repeals the provisions of existing law governing global risk management, and 41 section 4 adds certain activities previously included in the definition of “global risk 42 management” to the definition of “information service.” Sections 9 and 10 of this 43 bill make conforming changes to remove references to global risk management in 44 existing law. 45 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. NRS 463.0136 is hereby amended to read as 1 follows: 2 463.0136 “Associated equipment” means any equipment or 3 mechanical or electronic contrivance, component or machine used 4 remotely or directly in connection with gaming, any game, race 5 book or sports pool that would not otherwise be classified as a 6 gaming device, including [dice, playing cards,] links which connect 7 to progressive slot machines, inter-casino linked systems, equipment 8 which affects the proper reporting of gross revenue, computerized 9 systems of betting at a race book or sports pool [,] and computerized 10 systems for monitoring slot machines . [and devices for weighing or 11 counting money.] 12 – 3 – - *AB58* Sec. 2. NRS 463.0152 is hereby amended to read as follows: 1 463.0152 1. “Game” or “gambling game” means any game 2 played with cards, dice, equipment or any mechanical or electronic 3 device or machine for money, property, checks, credit or any 4 representative of value, including, without limiting the generality of 5 the foregoing, faro, monte, roulette, keno, bingo, fan-tan, twenty-6 one, blackjack, seven-and-a-half, klondike, craps, poker, chuck-a-7 luck, wheel of fortune, chemin de fer, baccarat, pai gow, beat the 8 banker, panguingui, slot machine, any banking or percentage game 9 or any other game or device approved by the Commission [, upon 10 the recommendation] or administratively approved by the Chair of 11 the Board [,] pursuant to [NRS 463.164.] regulations adopted by 12 the Commission. 13 2. The term does not include games: 14 (a) Played with cards in private homes or residences in which no 15 person makes money for operating the game, except as a player; or 16 (b) Operated by qualified organizations that are registered by the 17 Chair pursuant to the provisions of chapter 462 of NRS. 18 Sec. 3. NRS 463.0157 is hereby amended to read as follows: 19 463.0157 1. “Gaming employee” means any employee, 20 temporary employee or other representative of an operator of a slot 21 route, the operator of a pari-mutuel system, the operator of an inter-22 casino linked system or a manufacturer, distributor or disseminator, 23 or a gaming establishment licensed to conduct any game, 16 or more 24 slot machines, a race book, sports pool or pari-mutuel wagering, 25 whose job duties pertain to the operation, control or outcome of any 26 gambling game or the access, transport or review of any gaming 27 revenue, including, without limitation: 28 (a) Accounting or internal auditing personnel who are directly 29 involved in any recordkeeping or the examination of records 30 associated with revenue from gaming; 31 (b) Table games personnel; 32 (c) Cage and counting room personnel; 33 (d) Slot personnel; 34 (e) Keno personnel; 35 (f) Race book and sports pool personnel; 36 (g) Employees of a person required by NRS 464.010 to be 37 licensed to operate an off-track pari-mutuel system; 38 (h) Employees of a person required by NRS 463.430 to be 39 licensed to disseminate information concerning racing and 40 employees of an affiliate of such a person involved in assisting the 41 person in carrying out the duties of the person in this State; 42 (i) [Employees of a person required by paragraph (e) of 43 subsection 1 of NRS 463.160 to be registered to operate as a cash 44 access and wagering instrument service provider; 45 – 4 – - *AB58* (j)] Employees whose duties are directly involved with the 1 manufacture, repair, sale or distribution of gaming devices, 2 associated equipment when the employer is required by NRS 3 463.650 to be licensed, cashless wagering systems or interactive 4 gaming systems; 5 [(k)] (j) Employees of operators of interactive gaming systems 6 whose duties include the operational or supervisory control of the 7 systems or the games that are part of the systems; 8 [(l)] (k) Employees of operators of call centers who perform, or 9 who supervise the performance of, the function of receiving and 10 transmitting wagering instructions; 11 [(m)] (l) Employees who have access to the Board’s system of 12 records for the purpose of processing the registrations of gaming 13 employees that a licensee is required to perform pursuant to the 14 provisions of this chapter and any regulations adopted pursuant 15 thereto; 16 [(n)] (m) Information technology personnel who have 17 operational or supervisory control over information technology 18 systems associated with any of the matters related to gaming 19 described in this subsection; 20 [(o)] (n) Hosts or other persons empowered to extend credit or 21 complimentary services related to gaming; 22 [(p)] (o) Machine mechanics; 23 [(q)] (p) Odds makers and line setters; 24 [(r)] (q) Security personnel; 25 [(s)] (r) Shift or pit bosses; 26 [(t)] (s) Shills; 27 [(u)] (t) Supervisors or managers whose duties include the 28 supervision of employees described in this subsection; 29 [(v)] (u) Employees of a person required by NRS 463.160 to be 30 licensed to operate an information service; 31 [(w)] (v) Club venue employees; and 32 [(x)] (w) Other persons whose duties are similar to the 33 classifications set forth in paragraphs (a) to [(w),] (v), inclusive, as 34 the Commission may from time to time designate by regulation. 35 2. “Gaming employee” does not include employees whose 36 duties do not involve gaming activities, persons engaged exclusively 37 in preparing or serving food or beverages or persons involved 38 primarily in the resort or hotel functions of a licensed gaming 39 establishment. 40 Sec. 4. NRS 463.01642 is hereby amended to read as follows: 41 463.01642 1. “Information service” means a person who sells 42 and provides information to a licensed sports pool that is used 43 primarily to aid the placing of wagers on events of any kind. 44 – 5 – - *AB58* 2. The term includes, without limitation, a person who sells 1 and provides any: 2 [1.] (a) Line, point spread or odds; 3 [2.] (b) Information, advice or consultation considered by a 4 licensee in establishing or setting any line, point spread or odds; [or 5 3.] (c) Advice, estimate or prediction regarding the outcome of 6 an event [. 7 ] ; or 8 (d) Management, or consultation or instruction in the 9 management, of risks associated with wagering pools for a race or 10 sporting event or any other event for which a wager may be 11 accepted. 12 3. The term does not include a newspaper or magazine of 13 general circulation or a television or radio service or broadcast if the 14 primary purpose of the newspaper, magazine or television or radio 15 service or broadcast is other than to aid the placing of wagers on 16 events of any kind. 17 Sec. 5. NRS 463.160 is hereby amended to read as follows: 18 463.160 1. Except as otherwise provided in subsection 3 and 19 NRS 462.155, 463.172 and 463.1725, it is unlawful for any person, 20 either as owner, lessee or employee, whether for hire or not, either 21 solely or in conjunction with others: 22 (a) To deal, operate, carry on, conduct, maintain or expose for 23 play in the State of Nevada any gambling game, gaming device, slot 24 machine, race book or sports pool; 25 (b) To provide or maintain any information service; 26 (c) To operate a gaming salon; 27 (d) To receive, directly or indirectly, any compensation or 28 reward or any percentage or share of the money or property played, 29 for keeping, running or carrying on any gambling game, slot 30 machine, gaming device, race book or sports pool; or 31 (e) [To operate as a cash access and wagering instrument service 32 provider; or 33 (f)] To operate, carry on, conduct, maintain or expose for play in 34 or from the State of Nevada any interactive gaming system, 35 without having first procured, and thereafter maintaining in 36 effect, all federal, state, county and municipal gaming licenses or 37 registrations as required by statute, regulation or ordinance or by the 38 governing board of any unincorporated town. 39 2. Except as otherwise provided in subsection 3, it is unlawful 40 for any person knowingly to permit any gambling game, slot 41 machine, gaming device, race book or sports pool to be conducted, 42 operated, dealt or carried on in any house or building or other 43 premises owned by the person, in whole or in part, by a person who 44 is not licensed pursuant to this chapter, or that person’s employee. 45 – 6 – - *AB58* 3. The Commission may, by regulation, authorize a person to 1 own or lease gaming devices for the limited purpose of display or 2 use in the person’s private residence without procuring a state 3 gaming license. 4 4. For the purposes of this section, the operation of a race book 5 or sports pool includes making the premises available for any of the 6 following purposes: 7 (a) Allowing patrons to establish an account for wagering with 8 the race book or sports pool; 9 (b) Accepting wagers from patrons; 10 (c) Allowing patrons to place wagers; 11 (d) Paying winning wagers to patrons; or 12 (e) Allowing patrons to withdraw cash from an account for 13 wagering or to be issued a ticket, receipt, representation of value or 14 other credit representing a withdrawal from an account for wagering 15 that can be redeemed for cash, 16 whether by a transaction in person at an establishment or through 17 mechanical means, such as a kiosk or similar device, regardless of 18 whether that device would otherwise be considered associated 19 equipment. A separate license must be obtained for each location at 20 which such an operation is conducted. 21 Sec. 6. NRS 463.164 is hereby amended to read as follows: 22 463.164 1. A licensee shall not offer a game or gambling 23 game for play unless the game or gambling game has received [a 24 recommendation] administrative approval from the Chair of the 25 Board or an approval of the Commission. 26 2. [The Board may recommend a game or gambling game for 27 the approval of the Commission, and upon the issuance of any such 28 recommendation, a licensee may immediately offer the game or 29 gambling game for play, subject to the final disposition of the 30 Commission pursuant to subsection 3. 31 3. Not later than 60 days after the issuance of a 32 recommendation of the Board pursuant to subsection 2, the 33 Commission shall render a final disposition relating to the approval 34 or disapproval of the game or gambling game. If the Commission 35 does not render a final disposition within such time, the game or 36 gambling game is deemed to be approved by the Commission. 37 4.] The Commission shall adopt regulations governing the 38 administrative approval of games or gambling games. 39 Sec. 7. NRS 463.677 is hereby amended to read as follows: 40 463.677 1. The Legislature finds that: 41 (a) Technological advances have evolved which allow licensed 42 gaming establishments to expose games, including, without 43 limitation, [system-based and system-supported games,] gaming 44 devices, interactive gaming, cashless wagering systems or race 45 – 7 – - *AB58* books and sports pools, and to be assisted by an interactive gaming 1 service provider or a service provider, as applicable, who provides 2 important services to the public with regard to the conduct and 3 exposure of such games. 4 (b) To protect and promote the health, safety, morals, good 5 order and general welfare of the inhabitants of this State, and to 6 carry out the public policy declared in NRS 463.0129, it is necessary 7 that the Board and Commission have the ability to: 8 (1) License interactive gaming service providers; 9 (2) Register service providers; and 10 (3) Maintain strict regulation and control of the operation of 11 such interactive gaming service providers or service providers, 12 respectively, and all persons and locations associated therewith. 13 2. Except as otherwise provided in subsection 4, the 14 Commission may, with the advice and assistance of the Board, 15 provide by regulation for the: 16 (a) Licensing of an interactive gaming service provider; 17 (b) Registration of a service provider; and 18 (c) Operation of such a service provider or interactive gaming 19 service provider, respectively, and all persons, locations and matters 20 associated therewith. 21 3. The regulations pursuant to subsection 2 may include, 22 without limitation: 23 (a) Provisions requiring: 24 (1) The interactive gaming service provider to meet the 25 qualifications for licensing pursuant to NRS 463.170, in addition to 26 any other qualifications established by the Commission and to be 27 licensed regardless of whether the interactive gaming service 28 provider holds any license. 29 (2) The service provider to be registered regardless of 30 whether the service provider holds any license. 31 (b) Criteria regarding the location from which the interactive 32 gaming service provider or service provider, respectively, conducts 33 its operations, including, without limitation, minimum internal and 34 operational control standards established by the Commission. 35 (c) Provisions relating to: 36 (1) The licensing of persons owning or operating an 37 interactive gaming service provider, and any person having a 38 significant involvement therewith, as determined by the 39 Commission. 40 (2) The registration of persons owning or operating a service 41 provider, and any persons having a significant involvement 42 therewith, as determined by the Commission. 43 (d) A provision that a person owning, operating or having 44 significant involvement with an interactive gaming service provider 45 – 8 – - *AB58* or a service provider, respectively, as determined by the 1 Commission, may be required by the Commission to be found 2 suitable to be associated with licensed gaming, including race book 3 or sports pool operations. 4 (e) Additional matters which the Commission deems necessary 5 and appropriate to carry out the provisions of this section and which 6 are consistent with the public policy of this State pursuant to NRS 7 463.0129, including that an interactive gaming service provider or a 8 service provider, respectively, must be liable to the licensee on 9 whose behalf the services are provided for the interactive gaming 10 service provider’s or service provider’s proportionate share of the 11 fees and taxes paid by the licensee. 12 4. The Commission may not adopt regulations pursuant to this 13 section until the Commission first determines that interactive 14 gaming service providers or service providers, respectively, are 15 secure and reliable, do not pose a threat to the integrity of gaming 16 and are consistent with the public policy of this State pursuant to 17 NRS 463.0129. 18 5. Subject to any regulations adopted by the Commission 19 pursuant to subsection 6, the premises on which an interactive 20 gaming service provider or a service provider conducts its 21 operations are subject to the power and authority of the Board and 22 Commission pursuant to NRS 463.140, as though the premises are 23 where gaming is conducted and the interactive gaming service 24 provider or service provider, respectively, is a gaming licensee. 25 6. The Commission may adopt regulations that define the 26 scope of the power and authority of the Board and Commission 27 provided in subsection 5 as it deems appropriate based on the type 28 and function of a specific interactive gaming service provider or 29 service provider. 30 7. As used in this section: 31 (a) “Interactive gaming service provider” means a person who 32 acts on behalf of an establishment licensed to operate interactive 33 gaming and: 34 (1) Manages, administers or controls wagers that are 35 initiated, received or made on an interactive gaming system; 36 (2) Manages, administers or controls the games with which 37 wagers that are initiated, received or made on an interactive gaming 38 system are associated; 39 (3) Maintains or operates the software or hardware of an 40 interactive gaming system; or 41 (4) Provides products, services, information or assets to an 42 establishment licensed to operate interactive gaming and receives 43 therefor a percentage of gaming revenue from the establishment’s 44 interactive gaming system. 45 – 9 – - *AB58* (b) “Service provider” means a person who [: 1 (1) Is a cash access and wagering instrument service 2 provider; or 3 (2) Meets] meets such [other or additional] criteria as the 4 Commission may establish by regulation. 5 Sec. 8. NRS 463.750 is hereby amended to read as follows: 6 463.750 1. The Commission shall, with the advice and 7 assistance of the Board, adopt regulations governing: 8 (a) The licensing and operation of interactive gaming; and 9 (b) The registration of service providers to perform any action 10 described in paragraph (b) of subsection 7 of NRS 463.677. 11 2. The regulations adopted by the Commission pursuant to this 12 section must: 13 (a) Establish the investigation fees for: 14 (1) A license to operate interactive gaming; 15 (2) A license for a manufacturer of interactive gaming 16 systems; 17 (3) A license for an interactive gaming service provider to 18 perform the actions described in paragraph (a) of subsection 7 of 19 NRS 463.677; and 20 (4) Registration as a service provider to perform the actions 21 described in paragraph (b) of subsection 7 of NRS 463.677. 22 (b) Provide that: 23 (1) A person must hold a license for a manufacturer of 24 interactive gaming systems to supply or provide any interactive 25 gaming system, including, without limitation, any piece of 26 proprietary software or hardware; 27 (2) A person must hold a license for an interactive gaming 28 service provider to perform the actions described in paragraph (a) of 29 subsection 7 of NRS 463.677; and 30 (3) A person must be registered as a service provider to 31 perform the actions described in paragraph (b) of subsection 7 of 32 NRS 463.677. 33 (c) Except as otherwise provided in subsections 6 to 10, 34 inclusive, set forth standards for the suitability of a person to be: 35 (1) Licensed as a manufacturer of interactive gaming 36 systems; 37 (2) Licensed as an interactive gaming service provider as 38 described in paragraph (a) of subsection 7 of NRS 463.677 that are 39 as stringent as the standards for a nonrestricted license; or 40 (3) Registered as a service provider as described in paragraph 41 (b) of subsection 7 of NRS 463.677 that are as stringent as the 42 standards for a nonrestricted license. 43 (d) Set forth provisions governing: 44 – 10 – - *AB58* (1) The initial fee for a license for an interactive gaming 1 service provider as described in paragraph (a) of subsection 7 of 2 NRS 463.677. 3 (2) The initial fee for registration as a service provider as 4 described in paragraph (b) of subsection 7 of NRS 463.677. 5 (3) The fee for the renewal of such a license for such an 6 interactive gaming service provider or registration as a service 7 provider, as applicable, and any renewal requirements for such a 8 license or registration, as applicable. 9 (4) Any portion of the license fee paid by a person licensed 10 to operate interactive gaming, pursuant to subsection 1 of NRS 11 463.770, for which an interactive gaming service provider may be 12 liable to the person licensed to operate interactive gaming. 13 (e) Provide that gross revenue received by an establishment 14 from the operation of interactive gaming is subject to the same 15 license fee provisions of NRS 463.370 as the games and gaming 16 devices of the establishment, unless federal law otherwise provides 17 for a similar fee or tax. 18 (f) Set forth standards for the location and security of the 19 computer system and for approval of hardware and software used in 20 connection with interactive gaming. 21 (g) Define “interactive gaming system,” “manufacturer of 22 interactive gaming systems,” “operate interactive gaming” and 23 “proprietary hardware and software” as the terms are used in this 24 chapter. 25 3. Except as otherwise provided in subsections 4 and 5, the 26 Commission shall not approve a license for an establishment to 27 operate interactive gaming unless: 28 (a) In a county whose population is 700,000 or more, the 29 establishment is a resort hotel that holds a nonrestricted license to 30 operate games and gaming devices. 31 (b) In a county whose population is 52,000 or more but less than 32 700,000, the establishment is a resort hotel that holds a nonrestricted 33 license to operate games and gaming devices or the establishment: 34 (1) Holds a nonrestricted license for the operation of games 35 and gaming devices; 36 (2) Has more than 120 rooms available for sleeping 37 accommodations in the same county; 38 (3) Has at least one bar with permanent seating capacity for 39 more than 30 patrons that serves alcoholic beverages sold by the 40 drink for consumption on the premises; 41 (4) Has at least one restaurant with permanent seating 42 capacity for more than 60 patrons that is open to the public 24 hours 43 each day and 7 days each week; and 44 – 11 – - *AB58* (5) Has a gaming area that is at least 18,000 square feet in 1 area with at least 1,600 slot machines, 40 table games, and a [sports] 2 race book and [race] sports pool. 3 (c) In all other counties, the establishment is a resort hotel that 4 holds a nonrestricted license to operate games and gaming devices 5 or the establishment: 6 (1) Has held a nonrestricted license for the operation of 7 games and gaming devices for at least 5 years before the date of its 8 application for a license to operate interactive gaming; 9 (2) Meets the definition of group 1 licensee as set forth in the 10 regulations of the Commission on the date of its application for a 11 license to operate interactive gaming; and 12 (3) Operates either: 13 (I) More than 50 rooms for sleeping accommodations in 14 connection therewith; or 15 (II) More than 50 gaming devices in connection 16 therewith. 17 4. The Commission may: 18 (a) Issue a license to operate interactive gaming to an affiliate of 19 an establishment if: 20 (1) The establishment satisfies the applicable requirements 21 set forth in subsection 3; 22 (2) The affiliate is located in the same county as the 23 establishment; and 24 (3) The establishment has held a nonrestricted license for at 25 least 5 years before the date on which the application is filed; and 26 (b) Require an affiliate that receives a license pursuant to this 27 subsection to comply with any applicable provision of this chapter. 28 5. The Commission may issue a license to operate interactive 29 gaming to an applicant that meets any qualifications established by 30 federal law regulating the licensure of interactive gaming. 31 6. Except as otherwise provided in subsections 7, 8 and 9: 32 (a) A covered person may not be found suitable for licensure 33 under this section within 5 years after February 21, 2013; 34 (b) A covered person may not be found suitable for licensure 35 under this section unless such covered person expressly submits to 36 the jurisdiction of the United States and of each state in which 37 patrons of interactive gaming operated by such covered person after 38 December 31, 2006, were located, and agrees to waive any statutes 39 of limitation, equitable remedies or laches that otherwise would 40 preclude prosecution for a violation of any provision of federal law 41 or the law of any state in connection with such operation of 42 interactive gaming after that date; 43 – 12 – - *AB58* (c) A person may not be found suitable for licensure under this 1 section within 5 years after February 21, 2013, if such person uses a 2 covered asset for the operation of interactive gaming; and 3 (d) Use of a covered asset is grounds for revocation of an 4 interactive gaming license, or a finding of suitability, issued under 5 this section. 6 7. The Commission, upon recommendation of the Board, may 7 waive the requirements of subsection 6 if the Commission 8 determines that: 9 (a) In the case of a covered person described in paragraphs (a) 10 and (b) of subsection 1 of NRS 463.014645: 11 (1) The covered person did not violate, directly or indirectly, 12 any provision of federal law or the law of any state in connection 13 with the ownership and operation of, or provision of services to, an 14 interactive gaming facility that, after December 31, 2006, operated 15 interactive gaming involving patrons located in the United States; 16 and 17 (2) The assets to be used or that are being used by such 18 person were not used after that date in violation of any provision of 19 federal law or the law of any state; 20 (b) In the case of a covered person described in paragraph (c) of 21 subsection 1 of NRS 463.014645, the assets that the person will use 22 in connection with interactive gaming for which the covered person 23 applies for a finding of suitability were not used after December 31, 24 2006, in violation of any provision of federal law or the law of any 25 state; and 26 (c) In the case of a covered asset, the asset was not used after 27 December 31, 2006, in violation of any provision of federal law or 28 the law of any state, and the interactive gaming facility in 29 connection with which the asset was used was not used after that 30 date in violation of any provision of federal law or the law of any 31 state. 32 8. With respect to a person applying for a waiver pursuant to 33 subsection 7, the Commission shall afford the person an opportunity 34 to be heard and present relevant evidence. The Commission shall act 35 as finder of fact and is entitled to evaluate the credibility of 36 witnesses and persuasiveness of the evidence. The affirmative votes 37 of a majority of the whole Commission are required to grant or deny 38 such waiver. The Board shall make appropriate investigations to 39 determine any facts or recommendations that it deems necessary or 40 proper to aid the Commission in making determinations pursuant to 41 this subsection and subsection 7. 42 9. The Commission shall make a determination pursuant to 43 subsections 7 and 8 with respect to a covered person or covered 44 asset without regard to whether the conduct of the covered person or 45 – 13 – - *AB58* the use of the covered asset was ever the subject of a criminal 1 proceeding for a violation of any provision of federal law or the law 2 of any state, or whether the person has been prosecuted and the 3 prosecution terminated in a manner other than with a conviction. 4 10. It is unlawful for any person, either as owner, lessee or 5 employee, whether for hire or not, either solely or in conjunction 6 with others, to operate interactive gaming: 7 (a) Until the Commission adopts regulations pursuant to this 8 section; and 9 (b) Unless the person first procures, and thereafter maintains in 10 effect, all appropriate licenses as required by the regulations adopted 11 by the Commission pursuant to this section. 12 11. A person who violates subsection 10 is guilty of a category 13 B felony and shall be punished by imprisonment in the state prison 14 for a minimum term of not less than 1 year and a maximum term of 15 not more than 10 years or by a fine of not more than $50,000, or 16 both. 17 Sec. 9. NRS 465.090 is hereby amended to read as follows: 18 465.090 1. It is unlawful for a person to furnish or 19 disseminate any information in regard to racing or races, from any 20 point within this state to any point outside the State of Nevada, by 21 telephone, telegraph, teletype, radio or any signaling device, with 22 the intention that the information is to be used to induce betting or 23 wagering on the result of the race or races, or with the intention that 24 the information is to be used to decide the result of any bet or wager 25 made upon the race or races. 26 2. This section does not prohibit: 27 (a) A newspaper of general circulation from printing and 28 disseminating news concerning races that are to be run or the results 29 of races that have been run; or 30 (b) The furnishing or dissemination of information concerning 31 wagers made in an off-track pari-mutuel system of wagering 32 approved by the Nevada Gaming Commission . [; or 33 (c) Global risk management pursuant to NRS 463.810 and 34 463.820.] 35 3. A person who violates the provisions of this section is guilty 36 of a category B felony and shall be punished by imprisonment in the 37 state prison for a minimum term of not less than 1 year and a 38 maximum term of not more than 6 years, or by a fine of not more 39 than $5,000, or by both fine and imprisonment. 40 Sec. 10. NRS 465.094 is hereby amended to read as follows: 41 465.094 The provisions of NRS 465.092 and 465.093 do not 42 apply to [global risk management pursuant to NRS 463.810 and 43 463.820 or to] a wager placed by a person for the person’s own 44 benefit or, without compensation, for the benefit of another that is 45 – 14 – - *AB58* accepted or received by, placed with, or sent, transmitted or relayed 1 to: 2 1. A race book or sports pool that is licensed pursuant to 3 chapter 463 of NRS, if the wager is accepted or received within this 4 State and otherwise complies with all other applicable laws and 5 regulations concerning wagering; 6 2. A person who is licensed to engage in off-track pari-mutuel 7 wagering pursuant to chapter 464 of NRS, if the wager is accepted 8 or received within this State and otherwise complies with subsection 9 3 of NRS 464.020 and all other applicable laws and regulations 10 concerning wagering; 11 3. Any other person or establishment that is licensed to engage 12 in wagering pursuant to title 41 of NRS, if the wager is accepted or 13 received within this State and otherwise complies with all other 14 applicable laws and regulations concerning wagering; or 15 4. Any other person or establishment that is licensed to engage 16 in wagering in another jurisdiction and is permitted to accept or 17 receive a wager from patrons within this State under an agreement 18 entered into by the Governor pursuant to NRS 463.747. 19 Sec. 11. NRS 463.01395, 463.810 and 463.820 are hereby 20 repealed. 21 Sec. 12. This act becomes effective on July 1, 2025. 22 TEXT OF REPEALED SECTIONS 463.01395 “Cash access and wagering instrument service provider” defined. “Cash access and wagering instrument service provider” means a provider of services or devices for use by patrons of licensed gaming establishments to obtain cash or wagering instruments through a variety of automated methods, including, without limitation: 1. Wagering instrument issuance and redemption kiosks; or 2. Money transfers through mobile or Internet services. 463.810 “Global risk management” defined. 1. As used in this section and NRS 463.820, unless the context otherwise requires, “global risk management” means the operation, by a person who has been issued a license to operate a race book or sports pool, of risk management services between and among permissible jurisdictions through communications technology for the purposes of providing the management, or consultation or instruction in the management, of wagering pools and the – 15 – - *AB58* transmission of information relating to wagering pools or other similar information. The term: (a) Includes, without limitation: (1) The management of risks associated with a wagering pool for a race or sporting event or any other event for which a wager may be accepted. (2) The setting or changing of bets or wagers, cutoff times for bets or wagers, acceptance or rejection of bets or wagers, pooling or laying off of bets or wagers, lines, point spreads, odds or other activity relating to betting or wagering. (3) The use, transmittal and accumulation of information and data for the purpose of providing risk management services. (b) Does not include: (1) The transmission or placement of a bet or wager for a race or sporting event or any other event for which a wager may be accepted between or among permissible jurisdictions. (2) The provision of any information service, as defined by NRS 463.01642. 2. As used in this section: (a) “Communications technology” has the meaning ascribed to it in NRS 463.016425. (b) “Permissible jurisdiction” means any jurisdiction in which global risk management or the betting or wagering on a race or sporting event is lawful or not otherwise expressly prohibited under the laws of that jurisdiction. (c) “Wagering pool” means a pool or a combination of multiple pools for the placement of bets or wagers for a race or sporting event or any other event for which a wager may be accepted and which is located in a permissible jurisdiction. 463.820 Regulations. The Commission shall, with the advice and assistance of the Board, adopt regulations for global risk management. The regulations adopted by the Commission pursuant to this section may include, without limitation: 1. Provisions which establish minimum internal and operational control standards for global risk management; and 2. Any additional provisions which the Commission deems necessary and appropriate to carry out the provisions of this section and which are consistent with the public policy of this State pursuant to NRS 463.0129. H