RI
Rhode Island House Bill H6348

Rhode Island 2023 Regular Session

Rhode Island House Bill H6348 Compare Versions

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99 S T A T E O F R H O D E I S L A N D
1010 IN GENERAL ASSEMBLY
1111 JANUARY SESSION, A.D. 2023
1212 ____________
1313
1414 A N A C T
1515 RELATING TO STATE AFFAIRS AND GOVERNMENT -- VIDEO LOTTERY GAMES,
1616 TABLE GAMES AND SPOR TS WAGERING
1717 Introduced By: Representatives Costantino, Shallcross Smith, Edwards, Ackerman,
1818 Cardillo, and O'Brien
1919 Date Introduced: April 28, 2023
2020 Referred To: House Finance
2121
2222
2323 It is enacted by the General Assembly as follows:
24-SECTION 1. The state, through the State Lottery Division of the Department of Revenue 1
25-(the "Division"), shall implement, operate, conduct, and control iGaming, at the Twin River and 2
26-the Twin River-Tiverton gaming facilities. In furtherance thereof, the Division is authorized to 3
27-enter into agreements with the Rhode Island Affiliates of Bally's Corporation, a Delaware 4
28-corporation ("Bally's"), in connection with iGaming. This act shall be liberally construed to 5
29-effectuate its purposes. 6
30-SECTION 2. Definitions. 7
31-(a) In this act, capitalized terms not otherwise defined shall have the meanings given them 8
32-in § 42-61.2-1 of the General Laws as of the effective date of this act after giving effect to the 9
33-amendments thereto pursuant to Section 4 of this act. 10
34-(b) In this act: 11
35-(1) "Affiliate" means a Person who or that directly, or indirectly through one or more 12
36-intermediaries, controls, is controlled by or is under common control with a Person. 13
37-(2) "Bally's" means Bally's Corporation, a Delaware corporation. 14
38-(3) "Control" means the possession, directly or indirectly, of the power to direct or cause 15
39-the direction of the management and policies of a Person, whether through the ownership of voting 16
40-securities, by contract or otherwise. 17
41-(4) "iGaming Joint Venture" means a Delaware limited liability company to be owned in 18
24+SECTION 1. Sections 42-61.2-1, 42-61.2-3.1, 42-61.2-4, 42-61.2-6, 42-61.2-9, 42-61.2-1
25+11, 42-61.2-14 and 42-61.2-15 of the General Laws in Chapter 42-61.2 entitled "Video Lottery 2
26+Games, Table Games and Sports Wagering" are hereby amended to read as follows: 3
27+42-61.2-1. Definitions. 4
28+For the purpose of this chapter, the following words shall mean: 5
29+(1) “2017 Budget Act” means 2017 — H 5175 Substitute A, as amended, entitled “An Act 6
30+Relating to Making Appropriations for the Support of the State for the Fiscal Year ending June 30, 7
31+2018,” which Act was signed into law by the Governor of Rhode Island on August 3, 2017. 8
32+(2) "Bally's" means Bally's Corporation, a Delaware corporation. 9
33+(3) “Casino gaming” means any and all table and casino-style games played with cards, 10
34+dice, or equipment, for money, credit, or any representative of value; including, but not limited to: 11
35+roulette, blackjack, big six, craps, poker, baccarat, paigow, any banking or percentage game, or any 12
36+other game or device included within the definition of Class III gaming as that term is defined in 13
37+Section 2703(8) of Title 25 of the United States Code and that is approved by the state through the 14
38+division of state lottery. 15
39+(3)(4) “Central communication system” means a system approved by the Division, linking 16
40+all Video Lottery Terminals at a licensed video lottery retailer location to provide auditing program 17
41+information and any other information determined by the Division. In addition, the central 18
4242
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45-part by IGT Global Solutions Corporation, a Delaware corporation ("IGT") or Affiliates of IGT 1
46-and by Bally's or Affiliates of Bally's and controlled by Bally's or Affiliates of Bally's. 2
47-(5) "Person" means a natural person, corporation, limited liability company, partnership 3
48-(general or limited), joint venture, estate, trust or unincorporated association; any federal, state, 4
49-county, or municipal government or any bureau, department or agency thereof; any fiduciary acting 5
50-in such capacity, on behalf of any of the foregoing; or any other legal or business entity or 6
51-organization. 7
52-SECTION 3. Authorization and Empowerment of State Lottery Division with respect to 8
53-the Rhode Island Affiliates of Bally's. Notwithstanding any provisions of the general laws of the 9
54-state or regulations adopted thereunder to the contrary, including, without limitation, the provisions 10
55-of chapter 2 of title 37, chapter 61 of title 42, and chapter 64 of title 42, the Division is hereby 11
56-authorized and empowered: 12
57-(a) To enter into a contract with the Rhode Island Affiliates of Bally's to be the exclusive 13
58-iGaming game vendor ("iGaming Game Agreement") under the terms and conditions set forth in 14
59-this act, which shall, among other matters: 15
60-(1) Provide for a term that is coterminous with the UTGR Master Contract or Twin River- 16
61-Tiverton Master Contract, whichever agreement ends first; 17
62-(2) Provide that the state's maximum obligation of the payment service provider 18
63-transactions fees associated with the Division's operation of Gaming shall be thirty-three percent 19
64-(33%); 20
65-(3) Obligate the Rhode Island Affiliates of Bally's to regularly update online slot games 21
66-offered to players in connection with the Division's operation of iGaming on schedules agreed to 22
67-by the Division; 23
68-(4) Provide the Division with the right to assess liquidated damages against Bally's or its 24
69-Rhode Island Affiliates if any iGaming games are not available to players in accordance with this 25
70-act as determined by the Division; 26
71-(5) Require the Rhode Island Affiliates of Bally's to an enter into an assignment and 27
72-assumption agreement between the Rhode Island Affiliates of Bally's and the iGaming Joint 28
73-Venture (the "iGaming Assignment and Assumption Agreement"), the terms of which shall be 29
74-subject to the review and approval of the Division; 30
75-(6) Contain such other terms and conditions as the Division and the Rhode Island Affiliates 31
76-of Bally's may agree. 32
77-(b) To consent to: 33
78-(1) The irrevocable assignment by the Rhode Island Affiliates of Bally's to the iGaming 34
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45+communications system must provide all computer hardware and related software necessary for the 1
46+establishment and implementation of a comprehensive system as required by the Division. 2
47+(4)(5) “Collegiate sports or athletic event” shall not include a collegiate sports contest or 3
48+collegiate athletic event that takes place in Rhode Island or a sports contest or athletic event in 4
49+which any Rhode Island college team participates regardless of where the event takes place. 5
50+(5)(6) “Consolidated promotional points program” means, collectively, the “Initial 6
51+Promotional Points Program” and the “Supplementary Promotional Points Program” applicable to 7
52+the Lincoln gaming facility and the “Initial Promotional Points Program” and the “Supplementary 8
53+Promotional Points Program” applicable to the Tiverton gaming facility, with each of the terms 9
54+“Initial Promotional Points Program” and “Supplementary Promotional Points Program” having 10
55+the meanings given such terms in the 2017 Budget Act. 11
56+(6)(7) “Credit facilitator” means any employee of a licensed video lottery retailer approved 12
57+in writing by the Division whose responsibility is to, among other things, review applications for 13
58+credit by players, verify information on credit applications, grant, deny, and suspend credit, 14
59+establish credit limits, increase and decrease credit limits, and maintain credit files, all in 15
60+accordance with this chapter and rules and regulations approved by the Division. 16
61+(7) (8) “DBR” means the department of business regulation, division of gaming and 17
62+athletics licensing, and/or and any successor in interest thereto. 18
63+(8)(9) “Director” means the director of the Division. 19
64+(9)(10) “Division” means the state lottery division of the department of revenue and/or any 20
65+successor in interest thereto. 21
66+(10)(11) “Hosting facility” refers to the Lincoln gaming facility and the Tiverton gaming 22
67+facility. 23
68+(12)(a) "iGaming" means casino gaming involving the placing of wagers of money or 24
69+something of monetary value for the opportunity to win money or something of monetary value on 25
70+a casino game, including, but not limited to, slot and table games, which game has been made 26
71+available to players through the use of the Internet through computers, mobile applications on 27
72+mobile devices, or other interactive devices approved by the Division, with wagers accepted by a 28
73+server-based gaming system located at a hosting facility. iGaming games may include, but are not 29
74+limited to, games involving digital versions of spinning reels or pay lines, and may include: 30
75+(i) An auto play feature; 31
76+(ii) An adjustable bet feature; 32
77+(iii) A random number generator to determine the game outcome; and 33
78+(iv) Games that can be played infinitely, using a nondepleting prize pool, offer prizes that 34
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82-Joint Venture of: 1
83-(i) The right to be the exclusive iGaming game vendor providing online slot games and 2
84-online table games to the Division, such online slot games and online table games being games 3
85-owned or licensed by an owner or an Affiliate of an owner of the iGaming game vendor or games 4
86-owned or licensed by a third party, that (in either case) are licensed to the iGaming game vendor 5
87-for sublicense to the Division as authorized by the Division. 6
88-(2) The assumption by the iGaming Joint Venture of the obligations of the Rhode Island 7
89-Affiliates of Bally's under the iGaming Game Agreement pursuant to the iGaming Assignment and 8
90-Assumption Agreement, the terms of which shall be subject to the review and approval of the 9
91-Division. 10
92-(c) To enter into a contract with the Rhode Island Affiliates of Bally's to be the exclusive 11
93-iGaming platform vendor ("iGaming Platform Agreement") under the terms and conditions set 12
94-forth in this act, which shall, among other matters: 13
95-(1) Provide for a term that is coterminous with the UTGR Master Contract and Twin River 14
96-Tiverton Master Contract; 15
97-(2) Obligate Bally's to regularly update and replace the server-based gaming system for 16
98-iGaming on schedules agreed to by the Division; 17
99-(3) Provide the Division with the right to assess liquidated damages against Bally's or its 18
100-Rhode Island Affiliates if iGaming wagers are not being accepted by the iGaming server-based 19
101-gaming system in accordance with this act as determined by the Division; 20
102-(4) Obligate the Rhode Island Affiliates of Bally's to fund the Division's responsible 21
103-gambling programs to include prevention and educations services in addition to those funds 22
104-provided under § 42-61.2-14, as amended by this act; 23
105-(5) Require the Rhode Island Affiliates of Bally's to host server-based gaming systems in 24
106-connection with online sports wagering as determined by the Division in the Division's sole 25
107-discretion; 26
108-(6) Require the Rhode Island Affiliates of Bally's to pay for the costs, including, but not 27
109-limited to, professional and project management fees, incurred by the Division in connection with 28
110-implementation of the Division's operation of iGaming; 29
111-(7) Provide financial protection to the state related to the impact on traditional lottery 30
112-products as a result of iGaming whereby Bally's or the Rhode Island Affiliates of Bally's make an 31
113-annual payment to the Division in an amount equal to one hundred percent (100%) of the first one 32
114-million dollars ($1,000,000) of any shortfall and fifty percent (50%) of any shortfall between one 33
115-million dollars ($1,000,000) and two million dollars ($2,000,000) in net revenue received by the 34
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82+are all available with every play, and have odds that remain the same with every play. 1
83+(b) All wagers on iGaming games shall be deemed to be placed and accepted, and iGaming 2
84+games shall be deemed to be operated on the Division's behalf, at the premises of a hosting facility. 3
85+(c) Notwithstanding the foregoing, the term "iGaming" does not include the following: 4
86+(i) Sports wagering conducted under § 42-61.2-2.4; 5
87+(ii) iLottery games; 6
88+(iii) Pari-mutuel betting on the outcome of thoroughbred or harness horse racing, or 7
89+greyhound dog racing, including, but not limited to, pari-mutuel wagering on a race that is 8
90+"simulcast" (as defined in § 41-11-1), as regulated elsewhere pursuant to the general laws, including 9
91+in chapters 3, 3.1, 4, and 11 of title 41; 10
92+(iv) Off-track betting on racing events, as regulated elsewhere pursuant to the general laws, 11
93+including in chapter 10 of title 41; 12
94+(v) Wagering on the respective scores or points of the game of jai alai or pelota and the 13
95+sale of pari-mutuel pools related to such games, as regulated elsewhere pursuant to the general 14
96+laws, including in chapter 7 of title 41; and 15
97+(vi) Lotteries, charitable gaming, games of chance, bingo games, raffles, and pull-tab 16
98+lottery tickets, to the extent permitted and regulated pursuant to chapter 19 of title 11. 17
99+(13) "iGaming game vendor" means a Delaware limited company: 18
100+(i) Owned in part by IGT (or by an entity controlling, controlled by or under common 19
101+control with IGT) and owned in the remaining part and controlled by (collectively) Twin River and 20
102+Twin River-Tiverton (or by an entity controlling, controlled by or under common control with Twin 21
103+River and Twin River- Tiverton), meaning that such controlling entities or entity possess, directly 22
104+or indirectly, the power to direct or cause the direction of the management and policies of the 23
105+iGaming game vendor, whether through the ownership of voting securities, by contract or 24
106+otherwise; and 25
107+(ii) Authorized by the Division to be the exclusive provider of online slot games and online 26
108+table games to the Division in accordance with this chapter, such online slot games and online table 27
109+games being games owned or licensed by an owner of the iGaming game vendor (or by an entity 28
110+controlling, controlled by or under common control with such owner) or games owned or licensed 29
111+by a third party, that (in either case) are licensed to the iGaming game vendor for sublicense to the 30
112+Division. 31
113+(14) "iGaming platform vendor" means an entity that owns or is the lessee under a long- 32
114+term lease of a hosting facility (or by an entity controlling, controlled by or under common control 33
115+with such an entity) and that is authorized by the Division to operate iGaming on the Division's 34
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119-Division from traditional lottery products, including online games and instant ticket games. For 1
120-purposes of this subdivision, a shortfall in net revenue from traditional lottery products shall mean 2
121-the difference between the net revenue in traditional lottery products in any given fiscal year and 3
122-the net revenue in traditional lottery products in the most recent full fiscal year before the start of 4
123-iGaming. 5
124-(8) Contain such other terms and conditions as the Division and Bally's may agree. 6
125-(d) Nothing in this act shall be deemed to affect the authority of the Division to regulate 7
126-Bally's, Affiliates of Bally's, or the iGaming Joint Venture in connection with state-operated casino 8
127-gaming (including iGaming). 9
128-SECTION 4. Sections 42-61.2-1, 42-61.2-4, 42-61.2-6, 42-61.2-9, 42-61.2-11, 42-61.2-14 10
129-and 42-61.2-15 of the General Laws in Chapter 42-61.2 entitled "Video Lottery Games, Table 11
130-Games and Sports Wagering" are hereby amended to read as follows: 12
131-42-61.2-1. Definitions. 13
132-For the purpose of this chapter, the following words shall mean: 14
133-(1) "2017 Budget Act" means 2017 — H 5175 Substitute A, as amended, entitled "An Act 15
134-Relating to Making Appropriations for the Support of the State for the Fiscal Year ending June 30, 16
135-2018," which Act was signed into law by the Governor of Rhode Island on August 3, 2017. 17
136-(2) "Casino gaming" means any and all table and casino-style games played with cards, 18
137-dice, or equipment, for money, credit, or any representative of value; including, but not limited to: 19
138-roulette, blackjack, big six, craps, poker, baccarat, paigow, any banking or percentage game, or any 20
139-other game or device included within the definition of Class III gaming as that term is defined in 21
140-Section 2703(8) of Title 25 of the United States Code and that is approved by the state through the 22
141-division of state lottery. 23
142-(3) "Central communication system" means a system approved by the Division, linking all 24
143-Video Lottery Terminals at a licensed video lottery retailer location to provide auditing program 25
144-information and any other information determined by the Division. In addition, the central 26
145-communications system must provide all computer hardware and related software necessary for the 27
146-establishment and implementation of a comprehensive system as required by the Division. 28
147-(4) "Collegiate sports or athletic event" shall not include a collegiate sports contest or 29
148-collegiate athletic event that takes place in Rhode Island or a sports contest or athletic event in 30
149-which any Rhode Island college team participates regardless of where the event takes place. 31
150-(5) "Consolidated promotional points program" means, collectively, the "Initial 32
151-Promotional Points Program" and the "Supplementary Promotional Points Program" applicable to 33
152-the Lincoln gaming facility and the "Initial Promotional Points Program" and the "Supplementary 34
153-
154-
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156-Promotional Points Program" applicable to the Tiverton gaming facility, with each of the terms 1
157-"Initial Promotional Points Program" and "Supplementary Promotional Points Program" having the 2
158-meanings given such terms in the 2017 Budget Act. 3
159-(6) "Credit facilitator" means any employee of a licensed video lottery retailer approved in 4
160-writing by the Division whose responsibility is to, among other things, review applications for 5
161-credit by players, verify information on credit applications, grant, deny, and suspend credit, 6
162-establish credit limits, increase and decrease credit limits, and maintain credit files, all in 7
163-accordance with this chapter and rules and regulations approved by the Division. 8
164-(7) "DBR" means the department of business regulation, division of gaming and athletics 9
165-licensing, and/or and any successor in interest thereto. 10
166-(8) "Director" means the director of the Division. 11
167-(9) "Division" means the state lottery division of the department of revenue and/or any 12
168-successor in interest thereto. 13
169-(10) "Hosting facility" refers to the Lincoln gaming facility and the Tiverton gaming 14
170-facility. 15
171-(11)(a) "iGaming" means casino gaming, inclusive of online slot games and online table 16
172-games as defined herein, and made available to players who have reached twenty-one (21) years of 17
173-age through the use of the Internet through computers, mobile applications on mobile devices, or 18
174-other interactive devices approved by the Division, which wagers are accepted by a server-based 19
175-gaming system located at the premises of a hosting facility. 20
176-(b) All wagers on iGaming games shall be deemed to be placed and accepted, and iGaming 21
177-games shall be deemed to be operated on the Division's behalf, at the premises of a hosting facility. 22
178-(c) Notwithstanding the foregoing, the term "iGaming" does not include the following: 23
179-(i) Sports wagering conducted under § 42-61.2-2.4; 24
180-(ii) Online sports wagering conducted under § 42-61.2-2.4 and regulated elsewhere 25
181-pursuant to the general laws, including in § 42-61.2-16; 26
182-(iii) Pari-mutuel betting on the outcome of thoroughbred or harness horse racing, or 27
183-greyhound dog racing, including, but not limited to, pari-mutuel wagering on a race that is 28
184-"simulcast" (as defined in § 41-11-1), as regulated elsewhere pursuant to the general laws, including 29
185-in chapters 3, 3.1, 4, and 11 of title 41; 30
186-(iv) Off-track betting on racing events, as regulated elsewhere pursuant to the general laws, 31
187-including in chapter 10 of title 41; 32
188-(v) Wagering on the respective scores or points of the game of jai alai or pelota and the 33
189-sale of pari-mutuel pools related to such games, as regulated elsewhere pursuant to the general 34
190-
191-
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193-laws, including in chapter 7 of title 41; and 1
194-(vi) Lotteries, charitable gaming, games of chance, bingo games, raffles, and pull-tab 2
195-lottery tickets, to the extent permitted and regulated pursuant to chapter 19 of title 11. 3
196-(12) "iGaming game vendor" means any entity authorized to provide online slot games and 4
197-online table games, as approved by the Division in connection with iGaming, on the Division's 5
198-behalf in accordance with this chapter, such online slot games and online table games being games 6
199-owned or licensed by the iGaming game vendor (or by an entity controlling, controlled by or under 7
200-common control with such entity) or games owned or licensed by a third party, that (in either case) 8
201-are licensed to the iGaming game vendor for sublicense to the Division as authorized by the 9
202-Division. 10
203-(13) "iGaming platform vendor" means an entity that operates a hosting facility (or by an 11
204-entity controlling, controlled by or under common control with such an entity) and that is authorized 12
205-by the Division to conduct iGaming on the Division's behalf in accordance with this chapter. 13
206-(11)(14) "IGT" means IGT Global Solutions Corporation, a Delaware corporation. 14
207-(12)(15) "Licensed video lottery retailer" means a pari-mutuel licensee specifically 15
118+LC002864 - Page 4 of 21
119+behalf in accordance with this chapter. 1
120+(11)(15) “IGT” means IGT Global Solutions Corporation, a Delaware corporation. 2
121+(16) "iLottery game" means a traditional lottery game (such as daily numbers, Powerball 3
122+and Mega Millions) played online or a traditional instant ticket lottery game (for example, digital 4
123+simulations of physical instant ticket lottery games) made available to players through the use of 5
124+the Internet through computers, mobile applications on mobile devices, or other interactive devices 6
125+approved by the Division. iLottery games may include: 7
126+(i) An auto play feature; 8
127+(ii) An adjustable bet feature; 9
128+(iii) A random number generator to determine the game outcome; and 10
129+(iv) Games that can be played infinitely, using a nondepleting prize pool, offer prizes that 11
130+are all available with every play, and have odds that remain the same with every play. 12
131+However, iLottery games shall not include games involving actual or digital versions of 13
132+spinning reels or pay lines. 14
133+(12)(17) “Licensed video lottery retailer” means a pari-mutuel licensee specifically 15
208134 licensed by the Director subject to the approval of the Division to become a licensed video lottery 16
209135 retailer. 17
210-(13)(16) "Lincoln gaming facility" means the gaming and entertainment facility located at 18
211-100 Twin River Road in the town of Lincoln, Rhode Island (sometimes referred to as "Twin River" 19
212-or the "Twin River gaming facility"). 20
213-(14)(17) "Marketing Year" means the fiscal year of the state. 21
214-(15)(18) "Net table-game revenue" means win from table games minus counterfeit 22
136+(13)(18) “Lincoln gaming facility” means the gaming and entertainment facility located at 18
137+100 Twin River Road in the town of Lincoln, Rhode Island (sometimes referred to as “Twin River” 19
138+or the “Twin River gaming facility”). 20
139+(14)(19) “Marketing Year” means the fiscal year of the state. 21
140+(15)(20) “Net table-game revenue” means win from table games minus counterfeit 22
215141 currency. 23
216-(16)(19) "Net terminal income" means currency placed into a Video Lottery Terminal less 24
142+(16)(21) “Net terminal income” means currency placed into a Video Lottery Terminal less 24
217143 credits redeemed for cash by players. 25
218-(17)(20) "Newport Grand" means Newport Grand, LLC, a Rhode Island limited-liability 26
144+(17)(22) “Newport Grand” means Newport Grand, LLC, a Rhode Island limited-liability 26
219145 company, successor to Newport Grand Jai Alai, LLC, and each permitted successor to and assignee 27
220146 of Newport Grand, LLC under the Newport Grand Master Contract, including, without limitation, 28
221147 Premier (as defined in subsection (25) of this section) and/or Twin River-Tiverton (as defined in 29
222148 subsection (40) of this section) provided it is a pari-mutuel licensee (as defined in this section); 30
223149 provided, further, however, where the context indicates that the term is referring to the physical 31
224150 facility, then it shall mean the gaming and entertainment facility located at 150 Admiral Kalbfus 32
225151 Road, Newport, Rhode Island. 33
226-(18)(21) "Newport Grand Marketing Year" means each fiscal year of the state or a portion 34
152+(18)(23) “Newport Grand Marketing Year” means each fiscal year of the state or a portion 34
227153
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230156 thereof between November 23, 2010, and the termination date of the Newport Grand Master 1
231157 Contract. 2
232-(19)(22) "Newport Grand Master Contract" means that certain master video lottery 3
158+(19)(24) “Newport Grand Master Contract” means that certain master video lottery 3
233159 terminal contract made as of November 23, 2005, by and between the division of lotteries of the 4
234160 Rhode Island department of administration and Newport Grand, as amended and extended from 5
235161 time to time as authorized therein and/or as such Newport Grand Master Contract may be assigned 6
236162 as permitted therein. 7
237-(20)(23) "Online gaming account" means an account opened by a patron that such patron 8
238-shall use for the deposit and withdrawal of funds used for online sports wagering, iGaming, or both. 9
239-An online gaming account may be used for both online sports wagering conducted under § 42-61.2-10
240-2.4 and iGaming, only if the patron is over twenty-one (21) years of age. A patron under the age of 11
241-twenty-one (21) is prohibited from having or using an online gaming account for iGaming. 12
242-(24) "Online slot game" means an online slot-machine-like game authorized by the 13
243-Division within the scope of the term iGaming. Online slot games include, but are not limited to, 14
244-online games involving digital versions of spinning reels or pay lines, and may include: 15
163+(20)(25) “Online gaming account” means an account opened by a patron that such patron 8
164+shall use for the deposit and withdrawal of funds used for online sports wagering., iGaming, or 9
165+both. An online gaming account may be used for both online sports wagering conducted under § 10
166+42-61.2-2.4 and iGaming, or a patron may have separate online gaming accounts for iGaming and 11
167+online sports wagering. 12
168+(26) "Online slot game" means an online slot-machine-like game within the scope of the 13
169+term iGaming. Online slot games include, but are not limited to, online games involving digital 14
170+versions of spinning reels or pay lines, and may include: 15
245171 (i) An auto play feature; 16
246172 (ii) An adjustable bet feature; 17
247173 (iii) A random number generator to determine the game outcome; and 18
248174 (iv) Games that can be played infinitely, using a nondepleting prize pool, offer prizes that 19
249175 are all available with every play, and have odds that remain the same with every play. 20
250-(25) "Online slot gaming revenue" means: 21
176+(27) "Online slot gaming revenue" means: 21
251177 (i) The total of cash or cash equivalents received from the operation of online slot games 22
252178 minus the total of: 23
253179 (A) Cash or cash equivalents paid to players as a result of the operation of online slot 24
254180 games; 25
255-(B) Marketing expenses related to online slot games as agreed to by the Division, the 26
256-iGaming game vendor, and the iGaming platform vendor, as approved by the Division; and 27
181+(B) Marketing expenses related to online slot games as agreed to by the Division and the 26
182+iGaming platform vendor, as approved by the Division; and 27
257183 (C) Any federal excise taxes (if applicable). 28
258-(ii) The term does not include any of the following: 29
184+(ii) The term online slot gaming revenue does not include any of the following: 29
259185 (A) Counterfeit cash; 30
260186 (B) Coins or currency of other countries received as a result of the operation of online slot 31
261187 games, except to the extent that the coins or currency are readily convertible to cash; 32
262-(C) Cash taken in a fraudulent act perpetrated against the iGaming platform vendor or 33
263-iGaming game vendor, for which the iGaming platform vendor or iGaming game vendor is not 34
188+(C) Cash taken in a fraudulent act perpetrated against the iGaming platform vendor for 33
189+which the iGaming platform vendor is not reimbursed; 34
264190
265191
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267-reimbursed; 1
268-(D) Free play provided by the iGaming platform vendor or iGaming game vendor as 2
269-authorized by the Division to a player and subsequently "won back" by the iGaming platform 3
270-vendor or iGaming game vendor, for which the iGaming platform vendor or iGaming game vendor 4
271-can demonstrate that it or its affiliate has not been reimbursed in cash. 5
272-(21)(26) "Online sports wagering" means engaging in the act of sports wagering by the 6
273-placing of wagers on sporting events or a combination of sporting events, or on the individual 7
274-performance statistics of athletes in a sporting event or a combination of sporting events, over the 8
275-internet through computers, mobile applications on mobile devices or other interactive devices 9
276-approved by the Division, which wagers are accepted by a server-based gaming system located at 10
277-the premises of a hosting facility authorized to accept sports wagers and administer payoffs of 11
278-winning sports wagers; all such wagers shall be deemed to be placed and accepted at the premises 12
279-of a such hosting facility. 13
280-(22)(27) "Online sports-wagering revenue" means: 14
281-(i) The total of cash or cash equivalents received from online sports wagering minus the 15
282-total of: 16
283-(I) Cash or cash equivalents paid to players as a result of online sports wagering; 17
284-(II) Marketing expenses related to online sports wagering as agreed to by the Division, the 18
285-sports-wagering vendor, and the host facilities, as approved by the Division; and 19
286-(III) Any federal excise taxes (if applicable). 20
192+LC002864 - Page 6 of 21
193+(D) Free play provided by the iGaming platform vendor as authorized by the Division to a 1
194+player and subsequently "won back" by the iGaming platform vendor, for which the iGaming 2
195+platform vendor can demonstrate that it or its affiliate has not been reimbursed in cash. 3
196+(28) "Online table game" means a casino-style table game within the scope of the term 4
197+iGaming. Online table games include, but are not limited to, games played with the digital 5
198+representation of cards, dice or equipment, such as, but not limited to, roulette, blackjack, big six, 6
199+craps, poker, baccarat, paigow and other banking and percentage games. Online table games 7
200+include, but are not limited to, online games involving digital versions of: 8
201+(i) An adjustable bet feature; 9
202+(ii) A random number generator to determine the game outcome; and 10
203+(iii) Games that can be played infinitely, using a nondepleting prize pool, offer prizes that 11
204+are all available with every play, and have odds that remain the same with every play. 12
205+(29) "Online table gaming revenue" means: 13
206+(i) The total of cash or cash equivalents received from the operation of online table games 14
207+minus the total of: 15
208+(A) Cash or cash equivalents paid to players as a result of the operation of online table 16
209+games; 17
210+(B) Marketing expenses related to online table games as agreed to by the Division and the 18
211+iGaming platform vendor, as approved by the Division; and 19
212+(C) Any federal excise taxes (if applicable). 20
287213 (ii) The term does not include any of the following: 21
288-(I) Counterfeit cash. 22
289-(II) Coins or currency of other countries received as a result of online sports wagering, 23
290-except to the extent that the coins or currency are readily convertible to cash. 24
291-(III) Cash taken in a fraudulent act perpetrated against a hosting facility or sports-wagering 25
292-vendor for which the hosting facility or sports-wagering vendor is not reimbursed. 26
293-(IV) Free play provided by the hosting facility or sports-wagering vendor as authorized by 27
294-the Division to a player and subsequently "won back" by the hosting facility or sports-wagering 28
295-vendor, for which the hosting facility or sports-wagering vendor can demonstrate that it or its 29
296-affiliate has not been reimbursed in cash. 30
297-(28) "Online table game" means a casino-style table game authorized by the Division 31
298-within the scope of the term iGaming, where such games are conducted by one or more live persons 32
299-and made available to players through use of the Internet through computers, mobile applications 33
300-on mobile devices, or other interactive devices approved by the Division, which wagers are 34
214+(A) Counterfeit cash; 22
215+(B) Coins or currency of other countries received as a result of the operation of online table 23
216+games, except to the extent that the coins or currency are readily convertible to cash; 24
217+(C) Cash taken in a fraudulent act perpetrated against the iGaming platform vendor for 25
218+which the iGaming platform vendor is not reimbursed; 26
219+(D) Free play provided by the iGaming platform vendor as authorized by the Division to a 27
220+player and subsequently "won back" by the iGaming platform vendor, for which the iGaming 28
221+platform vendor can demonstrate that it or its affiliate has not been reimbursed in cash. 29
222+(21)(30) “Online sports wagering” means engaging in the act of sports wagering by the 30
223+placing of wagers on sporting events or a combination of sporting events, or on the individual 31
224+performance statistics of athletes in a sporting event or a combination of sporting events, over the 32
225+internet through computers, mobile applications on mobile devices or other interactive devices 33
226+approved by the Division, which wagers are accepted by a server-based gaming system located at 34
301227
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304-accepted by a server-based gaming system located at the premises of a hosting facility and played 1
305-with the digital representation of cards, dice or equipment 2
306-(29) "Online table gaming revenue" means: 3
307-(i) The total of cash or cash equivalents received from the operation of online table games 4
308-minus the total of: 5
309-(A) Cash or cash equivalents paid to players as a result of the operation of online table 6
310-games; 7
311-(B) Marketing expenses related to online table games as agreed to by the Division and the 8
312-iGaming platform vendor, as approved by the Division; and 9
313-(C) Any federal excise taxes (if applicable). 10
229+LC002864 - Page 7 of 21
230+the premises of a hosting facility authorized to accept sports wagers and administer payoffs of 1
231+winning sports wagers; all such wagers shall be deemed to be placed and accepted at the premises 2
232+of a such hosting facility. 3
233+(22)(31) “Online sports-wagering revenue” means: 4
234+(i) The total of cash or cash equivalents received from online sports wagering minus the 5
235+total of: 6
236+(I) Cash or cash equivalents paid to players as a result of online sports wagering; 7
237+(II) Marketing expenses related to online sports wagering as agreed to by the Division, the 8
238+sports-wagering vendor, and the host facilities, as approved by the Division; and 9
239+(III) Any federal excise taxes (if applicable). 10
314240 (ii) The term does not include any of the following: 11
315-(A) Counterfeit cash; 12
316-(B) Coins or currency of other countries received as a result of the operation of online table 13
317-games, except to the extent that the coins or currency are readily convertible to cash; 14
318-(C) Cash taken in a fraudulent act perpetrated against the iGaming platform vendor or 15
319-iGaming game vendor for which the iGaming platform vendor or iGaming game vendor is not 16
320-reimbursed; 17
321-(D) Free play provided by the iGaming platform vendor or iGaming game vendor as 18
322-authorized by the Division to a player and subsequently "won back" by the iGaming platform 19
323-vendor or iGaming game vendor, for which the iGaming platform vendor or iGaming game vendor 20
324-can demonstrate that it or its affiliate has not been reimbursed in cash. 21
325-(23)(30) "Pari-mutuel licensee" means: 22
326-(i) An entity licensed pursuant to § 41-3.1-3; and/or and 23
327-(ii) An entity licensed pursuant to § 41-7-3. 24
328-(24)(31) "Payoff," when used in connection with sports wagering, means cash or cash 25
329-equivalents paid to a player as a result of the player's winning a sports wager. A "payoff" is a type 26
330-of "prize," as the term "prize" is used in chapters 61, 61.2, and 61.3 of this title. 27
331-(25)(32) "Premier" means Premier Entertainment II, LLC and/or and its successor in 28
332-interest by reason of the acquisition of the stock, membership interests, or substantially all of the 29
333-assets of such entity. 30
334-(26)(33) "Prior marketing year," means, with respect to a marketing year, the most recent 31
335-previous marketing year during which the Division operated a majority of the authorized video 32
336-lottery games at each of the Lincoln gaming facility and the Tiverton gaming facility for at least 33
337-360 days (or 361 days in the case there are 366 days in such marketing year). For the avoidance of 34
241+(I) Counterfeit cash. 12
242+(II) Coins or currency of other countries received as a result of online sports wagering, 13
243+except to the extent that the coins or currency are readily convertible to cash. 14
244+(III) Cash taken in a fraudulent act perpetrated against a hosting facility or sports-wagering 15
245+vendor for which the hosting facility or sports-wagering vendor is not reimbursed. 16
246+(IV) Free play provided by the hosting facility or sports-wagering vendor as authorized by 17
247+the Division to a player and subsequently “won back” by the hosting facility or sports-wagering 18
248+vendor, for which the hosting facility or sports-wagering vendor can demonstrate that it or its 19
249+affiliate has not been reimbursed in cash. 20
250+(23)(32) “Pari-mutuel licensee” means: 21
251+(i) An entity licensed pursuant to § 41-3.1-3; and/or and 22
252+(ii) An entity licensed pursuant to § 41-7-3. 23
253+(24)(33) “Payoff,” when used in connection with sports wagering, means cash or cash 24
254+equivalents paid to a player as a result of the player’s winning a sports wager. A “payoff” is a type 25
255+of “prize,” as the term “prize” is used in chapters 61, 61.2, and 61.3 of this title. 26
256+(25)(34) “Premier” means Premier Entertainment II, LLC and/or and its successor in 27
257+interest by reason of the acquisition of the stock, membership interests, or substantially all of the 28
258+assets of such entity. 29
259+(26)(35) “Prior marketing year,” means, with respect to a marketing year, the most recent 30
260+previous marketing year during which the Division operated a majority of the authorized video 31
261+lottery games at each of the Lincoln gaming facility and the Tiverton gaming facility for at least 32
262+360 days (or 361 days in the case there are 366 days in such marketing year). For the avoidance of 33
263+doubt, because the Division will not have operated a majority of the authorized video lottery games 34
338264
339265
340-LC002864/SUB A/2 - Page 10 of 20
341-doubt, because the Division will not have operated a majority of the authorized video lottery games 1
342-at the Lincoln gaming facility and at the Tiverton gaming facility for at least 361 days during the 2
343-marketing year expiring on June 30, 2020, the prior marketing year with respect to the marketing 3
344-year expiring on June 30, 2021, shall be the marketing year expiring on June 30, 2019. 4
345-(27)(34) "Promotional points" has the meaning given such term in the 2017 Budget Act. 5
346-(28)(35) "Rake" means a set fee or percentage of cash and chips representing cash wagered 6
347-in the playing of a nonbanking table game assessed by a table games retailer for providing the 7
348-services of a dealer, gaming table, or location, to allow the play of any nonbanking table game. 8
349-(29)(36) "Server-based gaming system" means all hardware, software, and 9
350-communications devices that comprise a system utilized for the purpose of offering an electronic 10
351-platform used in connection with the process of placing and accepting sports wagers and/or 11
352-iGaming wagers (as applicable). 12
353-(30)(37) "Sporting event" means any professional sport or athletic event, any Olympic or 13
354-international sports competition event, and any collegiate sport or athletic event, or any portion 14
355-thereof, including, but not limited to, the individual performance statistics of athletes in a sports 15
356-event or combination of sports events, except "sporting event" shall not include a prohibited 16
357-sporting event. 17
358-(31)(38) "Sports wagering" means the business of accepting wagers on sporting events or 18
359-a combination of sporting events, or on the individual performance statistics of athletes in a sporting 19
360-event or combination of sporting events, by any system or method of wagering. The term includes, 20
361-but is not limited to, exchange wagering, parlays, over-under, moneyline, pools, and straight bets, 21
362-and the term includes the placement of such bets and wagers. However, the term does not include, 22
363-without limitation, the following: 23
364-(i) Lotteries, including video lottery games and other types of casino gaming operated by 24
365-the state, through the Division, as of June 22, 2018. 25
366-(ii) Pari-mutuel betting on the outcome of thoroughbred or harness horse racing, or 26
367-greyhound dog racing, including but not limited to, pari-mutuel wagering on a race that is 27
368-"simulcast" (as defined in § 41-11-1), as regulated elsewhere pursuant to the general laws, including 28
369-in chapters 3, 3.1, 4, and 11 of title 41. 29
370-(iii) Off-track betting on racing events, as regulated elsewhere pursuant to the general laws, 30
371-including in chapter 10 of title 41. 31
372-(iv) Wagering on the respective scores or points of the game of jai alai or pelota and the 32
373-sale of pari-mutuel pools related to such games, as regulated elsewhere pursuant to the general 33
374-laws, including in chapter 7 of title 41. 34
266+LC002864 - Page 8 of 21
267+at the Lincoln gaming facility and at the Tiverton gaming facility for at least 361 days during the 1
268+marketing year expiring on June 30, 2020, the prior marketing year with respect to the marketing 2
269+year expiring on June 30, 2021, shall be the marketing year expiring on June 30, 2019. 3
270+(27)(36) “Promotional points” has the meaning given such term in the 2017 Budget Act. 4
271+(28)(37) “Rake” means a set fee or percentage of cash and chips representing cash wagered 5
272+in the playing of a nonbanking table game assessed by a table games retailer for providing the 6
273+services of a dealer, gaming table, or location, to allow the play of any nonbanking table game. 7
274+(29)(38) “Server-based gaming system” means all hardware, software, and 8
275+communications devices that comprise a system utilized for the purpose of offering an electronic 9
276+platform used in connection with the process of iGaming or placing and accepting sports wagers, 10
277+or both iGaming and placing and accepting sports wagers. 11
278+(30)(39) “Sporting event” means any professional sport or athletic event, any Olympic or 12
279+international sports competition event, and any collegiate sport or athletic event, or any portion 13
280+thereof, including, but not limited to, the individual performance statistics of athletes in a sports 14
281+event or combination of sports events, except “sporting event” shall not include a prohibited 15
282+sporting event. 16
283+(31)(40) “Sports wagering” means the business of accepting wagers on sporting events or 17
284+a combination of sporting events, or on the individual performance statistics of athletes in a sporting 18
285+event or combination of sporting events, by any system or method of wagering. The term includes, 19
286+but is not limited to, exchange wagering, parlays, over-under, moneyline, pools, and straight bets, 20
287+and the term includes the placement of such bets and wagers. However, the term does not include, 21
288+without limitation, the following: 22
289+(i) Lotteries, including video lottery games and other types of casino gaming operated by 23
290+the state, through the Division, as of June 22, 2018. 24
291+(ii) Pari-mutuel betting on the outcome of thoroughbred or harness horse racing, or 25
292+greyhound dog racing, including but not limited to, pari-mutuel wagering on a race that is 26
293+“simulcast” (as defined in § 41-11-1), as regulated elsewhere pursuant to the general laws, 27
294+including in chapters 3, 3.1, 4, and 11 of title 41. 28
295+(iii) Off-track betting on racing events, as regulated elsewhere pursuant to the general laws, 29
296+including in chapter 10 of title 41. 30
297+(iv) Wagering on the respective scores or points of the game of jai alai or pelota and the 31
298+sale of pari-mutuel pools related to such games, as regulated elsewhere pursuant to the general 32
299+laws, including in chapter 7 of title 41. 33
300+(v) Lotteries, charitable gaming, games of chance, bingo games, raffles, and pull-tab lottery 34
375301
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377-LC002864/SUB A/2 - Page 11 of 20
378-(v) Lotteries, charitable gaming, games of chance, bingo games, raffles, and pull-tab lottery 1
379-tickets, to the extent permitted and regulated pursuant to chapter 19 of title 11. 2
380-(iv) iGaming (as defined in this section). 3
381-(32)(39) "Sports-wagering device" means any mechanical, electrical, or computerized 4
382-contrivance, terminal, machine, or other device, apparatus, equipment, or supplies approved by the 5
383-Division and used to conduct sports wagering. 6
384-(33)(40) "Sports-wagering revenue" means: 7
385-(i) The total of cash or cash equivalents received from sports wagering minus the total of: 8
386-(I) Cash or cash equivalents paid to players as a result of sports wagering; 9
387-(II) The annual flat fee to the host communities as defined by § 42-61.2-5(c); 10
388-(III) Marketing expenses related to sports wagering as agreed to by the Division, the sports-11
389-wagering vendor, and the host facilities, as approved by the Division; and 12
390-(IV) Any federal excise taxes (if applicable). 13
391-(ii) The term does not include any of the following: 14
392-(I) Counterfeit cash. 15
393-(II) Coins or currency of other countries received as a result of sports wagering, except to 16
394-the extent that the coins or currency are readily convertible to cash. 17
395-(III) Cash taken in a fraudulent act perpetrated against a hosting facility or sports-wagering 18
396-vendor for which the hosting facility or sports-wagering vendor is not reimbursed. 19
397-(IV) Free play provided by the hosting facility or sports-wagering vendor as authorized by 20
398-the Division to a patron and subsequently "won back" by the hosting facility or sports-wagering 21
399-vendor, for which the hosting facility or sports-wagering vendor can demonstrate that it or its 22
400-affiliate has not been reimbursed in cash. 23
401-(34)(41) "Sports-wagering vendor" means any entity authorized by the Division to operate 24
402-sports betting on the Division's behalf in accordance with this chapter. 25
403-(35)(42) "Table game" or "Table gaming" means that type of casino gaming in which table 26
404-games are played for cash or chips representing cash, or any other representation of value that has 27
405-been approved by the Division, using cards, dice, or equipment and conducted by one or more live 28
406-persons. 29
407-(36)(43) "Table-game retailer" means a retailer authorized to conduct table gaming 30
408-pursuant to § 42-61.2-2.1 or § 42-61.2-2.3. 31
409-(37)(44) "Technology provider" means any individual, partnership, corporation, or 32
410-association that designs, manufactures, installs, maintains, distributes, or supplies Video Lottery 33
411-Terminals or associated equipment for the sale or use in this state. 34
303+LC002864 - Page 9 of 21
304+tickets, to the extent permitted and regulated pursuant to chapter 19 of title 11. 1
305+(iv) iGaming (as defined in this section). 2
306+(32)(41) “Sports-wagering device” means any mechanical, electrical, or computerized 3
307+contrivance, terminal, machine, or other device, apparatus, equipment, or supplies approved by the 4
308+Division and used to conduct sports wagering. 5
309+(33)(42) “Sports-wagering revenue” means: 6
310+(i) The total of cash or cash equivalents received from sports wagering minus the total of: 7
311+(I) Cash or cash equivalents paid to players as a result of sports wagering; 8
312+(II) The annual flat fee to the host communities as defined by § 42-61.2-5(c); 9
313+(III) Marketing expenses related to sports wagering as agreed to by the Division, the sports-10
314+wagering vendor, and the host facilities, as approved by the Division; and 11
315+(IV) Any federal excise taxes (if applicable). 12
316+(ii) The term does not include any of the following: 13
317+(I) Counterfeit cash. 14
318+(II) Coins or currency of other countries received as a result of sports wagering, except to 15
319+the extent that the coins or currency are readily convertible to cash. 16
320+(III) Cash taken in a fraudulent act perpetrated against a hosting facility or sports-wagering 17
321+vendor for which the hosting facility or sports-wagering vendor is not reimbursed. 18
322+(IV) Free play provided by the hosting facility or sports-wagering vendor as authorized by 19
323+the Division to a patron and subsequently “won back” by the hosting facility or sports-wagering 20
324+vendor, for which the hosting facility or sports-wagering vendor can demonstrate that it or its 21
325+affiliate has not been reimbursed in cash. 22
326+(34)(43) “Sports-wagering vendor” means any entity authorized by the Division to operate 23
327+sports betting on the Division’s behalf in accordance with this chapter. 24
328+(35)(44) “Table game” or “Table gaming” means that type of casino gaming in which table 25
329+games are played in person (i.e., physically present) at a hosting facility for cash or chips 26
330+representing cash, or any other representation of value that has been approved by the Division, 27
331+using cards, dice, or equipment and conducted by one or more live persons. 28
332+(36)(45) “Table-game retailer” means a retailer authorized to conduct table gaming 29
333+pursuant to § 42-61.2-2.1 or § 42-61.2-2.3. 30
334+(37)(46) “Technology provider” means any individual, partnership, corporation, or 31
335+association that designs, manufactures, installs, maintains, distributes, or supplies Video Lottery 32
336+Terminals or associated equipment for the sale or use in this state. 33
337+(38)(47) “Tiverton gaming facility” means the gaming and entertainment facility located 34
412338
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414-LC002864/SUB A/2 - Page 12 of 20
415-(38)(45) "Tiverton gaming facility" means the gaming and entertainment facility located at 1
416-the intersection of William S. Canning Boulevard and Stafford Road in the town of Tiverton, Rhode 2
417-Island (sometimes referred to as "Twin River-Tiverton"). 3
418-(39)(46) "Twin River" (sometimes referred to as "UTGR") means UTGR, Inc., a Delaware 4
419-corporation, and each permitted successor to and assignee of UTGR, Inc.; provided, however, 5
420-where the context indicates that the term is referring to a physical facility, then "Twin River" shall 6
421-mean the Lincoln gaming facility. 7
422-(40)(47) "Twin River-Tiverton" means Twin River-Tiverton, LLC and/or and its successor 8
423-in interest by reason of the acquisition of the stock, membership interests, or substantially all of the 9
424-assets of such entity; provided, however, where the context indicates that the term is referring to a 10
425-physical facility, then "Twin River-Tiverton" shall mean the Tiverton gaming facility. 11
426-(41)(48) "Twin River-Tiverton Marketing Year" has the same meaning as Marketing Year 12
427-(as defined in subsection (14) of this section). 13
428-(42)(49) "Twin River-Tiverton Master Contract" has the same meaning as Newport Grand 14
429-Master Contract (as defined in subsection (19) of this section). 15
430-(43)(50) "UTGR Master Contract" means that certain master video lottery terminal contract 16
431-made as of July 1, 2005, by and between the division of lotteries of the Rhode Island department 17
432-of administration (now the division of lotteries of the Rhode Island department of revenue) and 18
433-Twin River, as amended and extended from time to time as authorized therein and/or and as such 19
434-UTGR Master Contract may be assigned as permitted therein. 20
435-(44)(51) "Video Lottery Agreement" means that certain Video Lottery Central Computer 21
436-System Agreement dated as of December 20, 2001, by and between IGT and the Division, as 22
437-amended, extended, assigned, and assumed from time to time. 23
438-(45)(52) "Video lottery games" means lottery games played on Video Lottery Terminals 24
439-controlled by the Division. 25
440-(46)(53) "Video lottery terminal" means any electronic computerized video game machine 26
441-that, upon the insertion of cash or any other representation of value that has been approved by the 27
442-Division, is available to play a video game authorized by the Division, and that uses a video display 28
443-and microprocessors in which, by chance, the player may receive free games or credits that can be 29
444-redeemed for cash. The term does not include a machine that directly dispenses coins, cash, or 30
445-tokens. 31
446-(47)(54) "VLT Agreement" means that certain Video Lottery Terminal Technology 32
447-Provider License Agreement dated as of September 28, 2000, by and between IGT and the Division, 33
448-as amended, extended, assigned, and assumed from time to time. 34
340+LC002864 - Page 10 of 21
341+at the intersection of William S. Canning Boulevard and Stafford Road in the town of Tiverton, 1
342+Rhode Island (sometimes referred to as “Twin River-Tiverton”). 2
343+(39)(48) “Twin River” (sometimes referred to as “UTGR”) means UTGR, Inc., a Delaware 3
344+corporation, and each permitted successor to and assignee of UTGR, Inc.; provided, however, 4
345+where the context indicates that the term is referring to a physical facility, then “Twin River” shall 5
346+mean the Lincoln gaming facility. 6
347+(40)(49) “Twin River-Tiverton” means Twin River-Tiverton, LLC and/or and its successor 7
348+in interest by reason of the acquisition of the stock, membership interests, or substantially all of the 8
349+assets of such entity; provided, however, where the context indicates that the term is referring to a 9
350+physical facility, then “Twin River-Tiverton” shall mean the Tiverton gaming facility. 10
351+(41)(50) “Twin River-Tiverton Marketing Year” has the same meaning as Marketing Year 11
352+(as defined in subsection (14) of this section). 12
353+(42)(51) “Twin River-Tiverton Master Contract” has the same meaning as Newport Grand 13
354+Master Contract (as defined in subsection (19) of this section). 14
355+(43)(52) “UTGR Master Contract” means that certain master video lottery terminal 15
356+contract made as of July 1, 2005, by and between the division of lotteries of the Rhode Island 16
357+department of administration (now the division of lotteries of the Rhode Island department of 17
358+revenue) and Twin River, as amended and extended from time to time as authorized therein and/or 18
359+and as such UTGR Master Contract may be assigned as permitted therein. 19
360+(44)(53) “Video Lottery Agreement” means that certain Video Lottery Central Computer 20
361+System Agreement dated as of December 20, 2001, by and between IGT and the Division, as 21
362+amended, extended, assigned, and assumed from time to time. 22
363+(45)(54) “Video lottery games” means lottery games played on Video Lottery Terminals 23
364+controlled by the Division. 24
365+(46)(55) “Video lottery terminal” means any electronic computerized video game machine 25
366+that, upon the insertion of cash or any other representation of value that has been approved by the 26
367+Division, is available to play a video game authorized by the Division, and that uses a video display 27
368+and microprocessors in which, by chance, the player may receive free games or credits that can be 28
369+redeemed for cash. The term does not include a machine that directly dispenses coins, cash, or 29
370+tokens or any device that uses the Internet, including, but not limited to, computers and mobile 30
371+devices, unless the video lottery terminal player must be physically present at the device at the 31
372+hosting facility to place wagers on the device. 32
373+(47)(56) “VLT Agreement” means that certain Video Lottery Terminal Technology 33
374+Provider License Agreement dated as of September 28, 2000, by and between IGT and the Division, 34
449375
450376
451-LC002864/SUB A/2 - Page 13 of 20
452-42-61.2-4. Additional powers and duties of director and lottery division. 1
453-In addition to the powers and duties set forth in §§ 42-61-4 and 42-61.2-3, the director shall 2
454-have the power to: 3
455-(1) Supervise and administer the operation of video lottery games and, sports wagering, 4
456-and iGaming in accordance with this chapter and with the rules and regulations of the division; 5
457-(2) Suspend or revoke upon a hearing any license issued pursuant to this chapter or the 6
458-rules and regulations promulgated under this chapter; 7
459-(3) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 8
460-operation of a central communications system and technology providers, or any part thereof; 9
461-(4) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 10
462-provision of sports-wagering systems, facilities, and related technology necessary and/or desirable 11
463-for the state-operated sports wagering to be hosted at Twin River and the Tiverton gaming facilities, 12
464-including technology related to the operation of on-premises remote sports wagering, or any part 13
465-thereof; 14
466-(5) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 15
467-provision of server-based gaming systems, facilities, and related technology necessary and/or or 16
468-desirable for the state-operated online sports wagering; and 17
469-(6) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 18
470-provision of services and technology necessary or desirable for state-operated iGaming; 19
471-(6)(7) Certify monthly to the budget officer, the auditor general, the permanent joint 20
472-committee on state lottery, and to the governor a full and complete statement of lottery revenues, 21
473-prize disbursements, and other expenses for the preceding month; ensure that monthly financial 22
474-reports are prepared providing gross monthly revenues, prize disbursements, other expenses, and 23
475-net income for keno and for all other lottery operations; submit this report to the state budget officer, 24
476-the auditor general, the permanent joint committee on state lottery, the legislative fiscal advisors, 25
477-and the governor no later than the twentieth business day following the close of the month; at the 26
478-end of each fiscal year the director shall submit an annual report based upon an accrual system of 27
479-accounting that shall include a full and complete statement of lottery revenues, prize disbursements, 28
480-and expenses, to the governor and the general assembly, which report shall be a public document 29
481-and shall be filed with the secretary of state. The monthly report shall be prepared in a manner 30
482-prescribed by the members of the revenue estimating conference. 31
483-42-61.2-6. When games may be played. 32
484-(a) Video lottery games authorized by this chapter may be played at the licensed video 33
485-lottery retailer's facilities with the approval of the division, even if that facility is not conducting a 34
377+LC002864 - Page 11 of 21
378+as amended, extended, assigned, and assumed from time to time. 1
379+(57) "VLT Joint Venture" means Rhode Island VLT Company LLC, a Delaware limited 2
380+liability company, the current members of which are IGT, Twin River and Twin River-Tiverton. 3
381+42-61.2-3.1. Table-game regulation Table-game regulation and regulation of 4
382+iGaming. 5
383+(a) In addition to the powers and duties of the Division director under §§ 42-61-4, 42-61.2-6
384+3 and 42-61.2-4, and pursuant to § 42-61.2-2.1 and § 42-61.2-2.2, the Division director shall 7
385+promulgate reasonable rules and regulations relating to state-operated table gaming and state-8
386+operated iGaming and set policy for these table games. These rules and regulations shall include, 9
387+but not be limited to: 10
388+(1) Establishing standards and procedures for table gaming and associated equipment. 11
389+(2) Establishing standards, rules and regulations to govern the conduct of table games and 12
390+the system of wagering associated with table games, including without limitation: 13
391+(i) The object of the table game and method of play, including what constitutes win, loss 14
392+or tie bets; 15
393+(ii) Physical characteristics of the table games and table-game equipment; 16
394+(iii) Wager and payout odds for each type of available wager; 17
395+(iv) The applicable inspection procedures for any of the following, as required by a table 18
396+game: 19
397+(A) Cards; 20
398+(B) Dice; 21
399+(C) Wheels and balls; and 22
400+(D) Other devices, equipment and accessories related to table games. 23
401+(v) Procedures for the collection of bets and payouts, including requirements for internal 24
402+revenue service purposes; 25
403+(vi) Procedures for handling suspected cheating or table-gaming irregularities; and 26
404+(vii) Procedures for handling any defective or malfunctioning table-game equipment. 27
405+(3) Establishing the method for calculating net table-game revenue and standards for the 28
406+daily counting and recording of cash received in the conduct of table games, and ensuring that 29
407+internal controls are followed, including the maintenance of financial books and records and the 30
408+conduct of annual audits at the expense of the table game retailer. 31
409+(4) Establishing the number and type of table games authorized at a table-game retailer’s 32
410+facility, and all rules related thereto. 33
411+(5) Establishing any table-game rule changes, table-game minimum and maximum wager 34
486412
487413
488-LC002864/SUB A/2 - Page 14 of 20
489-pari-mutuel event. 1
490-(b) Sports wagering authorized by this chapter, including accepting sports wagers and 2
491-administering payoffs of winning sports wagers, may be conducted at the Twin River and the 3
492-Tiverton gaming facilities, with the approval of the division, even if that facility is not conducting 4
493-a pari-mutuel event. 5
494-(c) Casino gaming (including iGaming) authorized by this chapter and including accepting 6
495-wagers and administering payoffs of winning wagers on casino gaming, online slot games and 7
496-online table games, may be conducted at the Twin River and the Tiverton gaming facilities, with 8
497-the approval of the Division, even if that facility is not conducting a pari-mutuel event. 9
498-42-61.2-9. Unclaimed prize money, including unclaimed sports-wagering payoffs. 10
499-Unclaimed prize money for prizes in connection with the play of a video lottery game, 11
500-iGaming game, and an unclaimed payoff in connection with a sports wager shall be retained by the 12
501-director for the person entitled thereto for one year after, respectively, the completion of the 13
502-applicable video lottery game, iGaming game, or the determination of the result of the sporting 14
503-event that was the subject of the applicable sports wager. If no claim is made for the prize money 15
504-or payoff within that year, the prize money or payoff shall automatically revert to the lottery fund 16
505-and the winner shall have no claim thereto. 17
506-42-61.2-11. Effect of other laws and local ordinances. 18
507-(a) No other law providing any penalty or disability for operating, hosting, maintaining, 19
508-supporting, or playing video lottery games, or any acts done in connection with video lottery games, 20
509-shall apply to operating, hosting, maintaining, supporting, or playing video lottery games pursuant 21
510-to this chapter. 22
511-(b) No other law providing any penalty or disability for conducting, hosting, maintaining, 23
512-supporting, or participating in sports wagering, or any acts done in connection with sports wagering, 24
513-shall apply to conducting, hosting, maintaining, supporting, or participating in sports wagering 25
514-pursuant to this chapter. 26
515-(c) No other law providing any penalty or disability for conducting, hosting, maintaining, 27
516-supporting, or participating in casino gaming, including iGaming, or any acts done in connection 28
517-with casino gaming, including iGaming, shall apply to conducting, hosting, maintaining, 29
518-supporting, or participating in casino gaming, including iGaming pursuant to this chapter. 30
519-(c)(d) The provisions of §§ 41-9-4 and 41-9-6 shall not apply to this chapter, and the 31
520-provisions of this chapter shall take precedence over any local ordinances to the contrary. It is 32
521-specifically acknowledged that the installation, operation, and use of video lottery terminals by a 33
522-pari-mutuel licensee, as authorized in this chapter, shall for all purposes be deemed a permitted use 34
414+LC002864 - Page 12 of 21
415+changes, and changes to the type of table game being offered at a particular gaming table, including 1
416+any notice by the table-game retailer to the public. 2
417+(6) Requiring the table-game retailer to: 3
418+(i) Provide written information at each table game about game rules, payoffs or winning 4
419+wagers and other information as the Division may require. 5
420+(ii) Provide specifications approved by the Division to integrate and update the table-game 6
421+retailer’s surveillance system to cover all areas where table games are conducted and other areas as 7
422+required by the lottery division. The specifications shall include provisions providing the Division 8
423+and other persons authorized by the Division with onsite access to the system. 9
424+(iii) Designate one or more locations within the table-game retailer’s facility to conduct 10
425+table games. 11
426+(iv) Ensure that visibility in a table-game retailer’s facility is not obstructed in any way that 12
427+could interfere with the ability of the Division, the table-game retailer or other persons authorized 13
428+under this section or by the Division to oversee the surveillance of the conduct of table games. 14
429+(v) Ensure that the count room for table gaming has appropriate security for the counting 15
430+and storage of cash. 16
431+(vi) Furnish each table game with a sign acceptable to the division indicating the 17
432+permissible minimum and maximum wagers at the table game. 18
433+(vii) Adopt policies or procedures to prohibit any table-game equipment from being 19
434+possessed, maintained or exhibited by any person on the premises of a table-game retailer’s facility 20
435+except in the areas of such facility where the conduct of table games is authorized or in a restricted 21
436+area designated to be used for the inspection, service, repair or storage of table-game equipment by 22
437+the table-game retailer or in an area used for employee training and instruction by the table-game 23
438+retailer. 24
439+(viii) Ensure that drop boxes are brought into or removed from an area where table games 25
440+are conducted or locked or unlocked in accordance with procedures established by the Division. 26
441+(ix) Designate secure locations for the inspection, service, repair or storage of table-game 27
442+equipment and for employee training and instruction to be approved by the Division. 28
443+(7) Establishing the size and uniform color by denomination of table-game chips used in 29
444+the conduct of table games, including tournaments, and a policy for the use of promotional or 30
445+commemorative chips used in the conduct of certain table games. All types of table-game chips 31
446+shall be approved by the Division prior to being used for play at a table game. 32
447+(8) Establishing the procedure to be used by a table-game retailer to determine and extract 33
448+a rake for the purposes of generating net, table-game revenue from nonbanking games. 34
523449
524450
525-LC002864/SUB A/2 - Page 15 of 20
526-as defined in § 45-24-31. No city or town where video lottery terminals are authorized may seek to 1
527-prevent the installation and use of said video lottery terminals by defining such as a prohibited use. 2
528-42-61.2-14. Compulsive and problem gambling programs. 3
529-The Division and the state acknowledge that the vast majority of gaming patrons can enjoy 4
530-gambling games responsibly, but that there are certain societal costs associated with gaming by 5
531-some individuals who have problems handling the product or services provided. The Division and 6
532-the State further understand that it is their duty to act responsibly toward those who cannot 7
533-participate conscientiously in gaming. Pursuant to the foregoing, Twin River and Twin River-8
534-Tiverton, in cooperation with the State, shall offer compulsive and problem gambling programs 9
535-that include, but are not limited to (a) Problem gambling awareness programs for employees; (b) 10
536-Player self-exclusion program; and (c) Promotion of a problem gambling hotline; and (d) Education 11
537-on responsible gambling and prevention of problem gambling. Twin River and Twin River-12
538-Tiverton shall modify their existing compulsive and problem gambling programs to include table 13
539-games, and sports wagering and iGaming to the extent such games are authorized at such facilities 14
540-or through the Internet or a mobile application. Twin River and Twin River-Tiverton shall 15
541-reimburse and pay to the Division no less than two hundred thousand dollars ($200,000) in 16
542-aggregate annually for compulsive and problem gambling programs established by the Division 17
543-and no less than fifty thousand dollars ($50,000) in the aggregate annually for education and 18
544-prevention programs. The contribution from each facility shall be determined by the Division. A 19
545-person who is prohibited from gaming in a gaming establishment due to the player self-exclusion 20
546-program shall not collect any winnings or recover losses arising as a result of prohibited gaming 21
547-activity by said person. Winnings from a self-excluded person, after the deduction of taxes and 22
548-other applicable withholdings, shall be forfeited to the division. The division shall forward such 23
549-forfeited winnings, up to one hundred fifty thousand dollars ($150,000) per year, to the Rhode 24
550-Island Council on Problem Gambling for its use for research, education, and prevention of teenage 25
551-gambling addiction, with the balance to be transferred by the division to the general fund. 26
552-42-61.2-15. Table game and sports-wagering hours of operation Table game, sports-27
553-wagering, and iGaming hours of operation. 28
554-(a) To the extent table games are authorized at the premises of a table-game retailer, such 29
555-table games may be offered at the premises of a table-game retailer for all or a portion of the days 30
556-and times that video lottery games are offered. 31
557-(b) To the extent sports wagering is authorized at the premises of a table-game retailer, 32
558-such sports wagering may be offered at the premises of such table-game retailer for all or a portion 33
559-of the days and times that video lottery games are offered. 34
451+LC002864 - Page 13 of 21
452+(9) Establishing minimum standards relating to the acceptance of tips or gratuities by 1
453+dealers at a table game, which shall include: 2
454+(i) The requirement that tips or gratuities accepted by dealers at banking table games be 3
455+placed in a common pool for complete distribution pro rata among all dealers based on the daily 4
456+collection of such tips or gratuities; provided however, the Division may establish an alternative 5
457+distribution method for tips or gratuities at a banking table game upon submission by the table-6
458+game retailer of a proposal acceptable to the division to modify the existing distribution method for 7
459+tips or gratuities. 8
460+(ii) The requirement that tips or gratuities accepted by dealers at nonbanking table games 9
461+are not required to be pooled and may be retained by the dealers; provided however, the Division 10
462+may establish an alternative distribution method for tips or gratuities at a nonbanking table game 11
463+upon submission by the table-game retailer of a proposal acceptable to the division to modify the 12
464+existing distribution method for tips or gratuities. 13
465+(10) Establishing the minimal proficiency requirements for table-game personnel, 14
466+including without limitation table-game dealers. The foregoing requirements of this subsection (10) 15
467+shall not affect any rules or regulations of the Rhode Island Department of Business Regulation 16
468+requiring licensing of personnel of state-operated gaming facilities. 17
469+(11) Establishing the practices and procedures governing the conduct of table-game 18
470+tournaments. 19
471+(12) Establishing appropriate eligibility requirements and standards for traditional table-20
472+game equipment suppliers. 21
473+(13) Any other matters necessary for conducting table games. 22
474+(b) The Division shall promulgate the table-game regulations authorized by this section on 23
475+or before March 31, 2013. 24
476+(c) A table-game retailer shall reimburse and pay to the Division (or to such other entities 25
477+as the Division may identify) all reasonable costs and expenses associated with the Division’s 26
478+review of the business or operations of the table-game retailer, including, but not limited to, such 27
479+items as ongoing auditing, legal, investigation services, compulsive and problem gambling 28
480+programs, and other related matters. 29
481+(d) The table-game retailer shall provide secure, segregated facilities as required by the 30
482+Division on the premises for the exclusive use of the Lottery staff and the State Police. Such space 31
483+shall be located proximate to the gaming floor and shall include surveillance equipment, monitors 32
484+with full camera control capability, as well as other office equipment that may be deemed necessary 33
485+by the Division. The location and size of the space shall be subject to the approval of the Division. 34
560486
561487
562-LC002864/SUB A/2 - Page 16 of 20
563-(c) To the extent online sports wagering is authorized at a hosting facility, such online 1
564-sports wagering may be offered without any restriction on hours of operation and shall not be 2
565-limited by the days and times that video lottery games and/or or table games are offered. 3
566-(d) To the extent iGaming is authorized at a hosting facility, such iGaming may be offered 4
567-without any restriction on hours of operation and shall not be limited by the days and times that 5
568-video lottery games or table games are offered. 6
569-SECTION 5. Chapter 42-61.2 of the General Laws entitled "Video Lottery Games, Table 7
570-Games and Sports Wagering" is hereby amended by adding thereto the following sections: 8
571-42-61.2-3.4. iGaming Regulation. 9
572-In addition to the powers and duties of the Division director under §§ 42-61-4, 42-61.2-3, 10
573-42-61.2-3.1, 42-61.2-3.2, 42-61.2-3.3, and 42-61.2-4 and pursuant to §§ 42-61.2-2.1 and 42-61.2-11
574-2.3, the Division director shall promulgate rules and regulations relating to state-operated iGaming 12
575-and set policy for such gaming. Such rules and regulations shall include, but not be limited to: 13
576-(1) Standards, rules, and regulations to govern the conduct of iGaming, including, without 14
577-limitation: 15
578-(i) Procedures for investigation of patron complaints related to iGaming; 16
579-(ii) Terms and conditions for iGaming; 17
580-(iii) Internal controls for all aspects of iGaming, including procedures for system integrity, 18
581-system security, operations, accounting, and reporting of problem gamblers; 19
582-(iv) Operational controls for server-based gaming systems, software, and hardware utilized 20
583-for iGaming, including, but not limited to, appearance, functionality, contents, collection, storage, 21
584-and retention of data and security; 22
585-(v) Operational controls for online gaming accounts, including, but not limited to, 23
586-procedures for the establishment and closure of an online gaming account, funding of withdrawal 24
587-of funds from an online gaming account, and generation of an account statement for a patron's 25
588-online gaming account; and 26
589-(vi) Age restrictions for online iGaming patrons, which shall prohibited for players who 27
590-not reached twenty-one (21) years of age. 28
591-(2) Establishing the method for calculating online slot gaming revenue and online table 29
592-gaming revenue and standards for the daily counting and recording of cash and cash equivalents 30
593-received in the conduct of online slot games and online table games, and ensuring that internal 31
594-controls are followed and financial books and records are maintained and audits are conducted; 32
595-(3) Requiring the iGaming platform vendor to provide written information prominently 33
596-displayed on any electronic platform available to the patron through a server-based gaming system, 34
488+LC002864 - Page 14 of 21
489+(e) In addition to the powers and duties of the Division director in this section and those 1
490+under §§ 42-61-4, 42-61.2-3 and 42-61.2-4, and pursuant to §§ 42-61.2-2.1 and 42-61.2- 2.2, the 2
491+Division director shall promulgate reasonable rules and regulations relating to state-operated 3
492+iGaming and set policy for such gaming. Such rules and regulations shall include, but not be limited 4
493+to: 5
494+(1) Standards, rules, and regulations to govern the conduct of iGaming, including, without 6
495+limitation: 7
496+(i) Procedures for investigation of patron complaints related to iGaming; 8
497+(ii) Terms and conditions for iGaming; 9
498+(iii) Internal controls for all aspects of iGaming, including procedures for system integrity, 10
499+system security, operations, accounting, and reporting of problem gamblers; 11
500+(iv) Operational controls for server-based gaming systems, software, and hardware utilized 12
501+for iGaming, including, but not limited to, appearance, functionality, contents, collection, storage, 13
502+and retention of data and security; and 14
503+(v) Operational controls for online gaming accounts, including, but not limited to, 15
504+procedures for the establishment and closure of an online gaming account, funding of withdrawal 16
505+of funds from an online gaming account, and generation of an account statement for a patron's 17
506+online gaming account; 18
507+(2) Establishing the method for calculating online slot gaming revenue and online table 19
508+gaming revenue and standards for the daily counting and recording of cash and cash equivalents 20
509+received in the conduct of online slot games and online table games, and ensuring that internal 21
510+controls are followed and financial books and records are maintained and audits are conducted; and 22
511+(3) Requiring the iGaming platform vendor to provide written information prominently 23
512+displayed on any electronic platform available to the patron through a server-based gaming system, 24
513+regarding wagering rules, payoffs on winning wagers, deposits, withdrawals, and other information 25
514+as the Division may require. 26
515+42-61.2-4. Additional powers and duties of director and lottery division. 27
516+In addition to the powers and duties set forth in §§ 42-61-4 and 42-61.2-3, the director shall 28
517+have the power to: 29
518+(1) Supervise and administer the operation of video lottery games and, sports wagering, 30
519+and casino gaming (including iGaming) in accordance with this chapter and with the rules and 31
520+regulations of the division; 32
521+(2) Suspend or revoke upon a hearing any license issued pursuant to this chapter or the 33
522+rules and regulations promulgated under this chapter; 34
597523
598524
599-LC002864/SUB A/2 - Page 17 of 20
600-regarding wagering rules, payoffs on winning wagers, deposits, withdrawals, and other information 1
601-as the Division may require; and 2
602-(4) Any other matters necessary for conducting iGaming. 3
603-42-61.2-5.1. Allocation of online slot gaming revenue. 4
604-(a) Notwithstanding the provisions of § 42-61-15, the division of lottery is authorized to 5
605-enter into an agreement to allocate online slot gaming revenue among the state, the state's 6
606-authorized iGaming platform vendor, and the state's authorized iGaming game vendor. 7
607-(b) The allocation of online slot gaming revenue shall be as follows: 8
608-(1) To the state, sixty-one percent (61%) of online slot gaming revenue; 9
609-(2) To the state's authorized iGaming platform vendor twenty-two and fifty-five percent 10
610-(22.55%)of online slot gaming revenue; and 11
611-(3) To the state's authorized iGaming game vendor fifteen percent (15%) of online slot 12
612-gaming revenue; 13
613-(4) To the Town of Lincoln and the Town of Tiverton collectively, one and forty-five 14
614-hundredth percent (1.45%) of online slot gaming revenue, divided whereby the Town of Lincoln 15
615-receives seventy-seven (77%) of such allocation and the Town of Tiverton receives twenty-three 16
616-percent (23%) of such allocation; provided that the amounts received under this subsection shall be 17
617-credited towards the Lincoln Minimum and Tiverton Minimum, respectively, pursuant to § 42-18
618-61.2-7. 19
525+LC002864 - Page 15 of 21
526+(3) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 1
527+operation of a central communications system and technology providers, or any part thereof; 2
528+(4) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 3
529+provision of sports-wagering systems, facilities, and related technology necessary and/or or 4
530+desirable for the state-operated sports wagering and state-operated iGaming to be hosted at Twin 5
531+River and the Tiverton gaming facilities, including technology related to the operation of on-6
532+premises remote sports wagering, or any part thereof; 7
533+(5) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 8
534+provision of server-based gaming systems, facilities, and related technology necessary and/or or 9
535+desirable for the state-operated online sports wagering; and 10
536+(6) In compliance with the provisions of chapter 2 of title 37, enter into contracts for the 11
537+provision of server-based gaming systems, facilities, and related technology necessary or desirable 12
538+for state-operated iGaming; 13
539+(7) Notwithstanding any provisions of the general laws or regulations adopted thereunder 14
540+to the contrary, including, without limitation, the provisions of chapter 2 of title 37, chapter 61 of 15
541+title 42, and chapter 64 of title 42, enter into a contract with the iGaming game vendor pursuant to 16
542+which the iGaming game vendor will be the exclusive provider of online slot games and online 17
543+table games to the Division, such online slot games and online table games being games owned or 18
544+licensed by an owner of the iGaming game vendor (or by an entity controlling, controlled by or 19
545+under common control with such owner) or games owned or licensed by a third party, that (in either 20
546+case) are licensed to the iGaming game vendor for sublicense to the Division; and 21
547+(6)(8) Certify monthly to the budget officer, the auditor general, the permanent joint 22
548+committee on state lottery, and to the governor a full and complete statement of lottery revenues, 23
549+prize disbursements, and other expenses for the preceding month; ensure that monthly financial 24
550+reports are prepared providing gross monthly revenues, prize disbursements, other expenses, and 25
551+net income for keno and for all other lottery operations; submit this report to the state budget officer, 26
552+the auditor general, the permanent joint committee on state lottery, the legislative fiscal advisors, 27
553+and the governor no later than the twentieth business day following the close of the month; at the 28
554+end of each fiscal year the director shall submit an annual report based upon an accrual system of 29
555+accounting that shall include a full and complete statement of lottery revenues, prize disbursements, 30
556+and expenses, to the governor and the general assembly, which report shall be a public document 31
557+and shall be filed with the secretary of state. The monthly report shall be prepared in a manner 32
558+prescribed by the members of the revenue estimating conference. 33
559+42-61.2-6. When games may be played. 34
560+
561+
562+LC002864 - Page 16 of 21
563+(a) Video lottery games authorized by this chapter may be played at the licensed video 1
564+lottery retailer’s facilities with the approval of the division, even if that facility is not conducting a 2
565+pari-mutuel event. 3
566+(b) Sports wagering authorized by this chapter, including accepting sports wagers and 4
567+administering payoffs of winning sports wagers, may be conducted at the Twin River and the 5
568+Tiverton gaming facilities, with the approval of the division, even if that facility is not conducting 6
569+a pari-mutuel event. 7
570+(c) Casino gaming (including iGaming) authorized by this chapter and including accepting 8
571+wagers and administering payoffs of winning wagers on casino gaming, online slot games and 9
572+online table games, may be conducted at the Twin River and the Tiverton gaming facilities, with 10
573+the approval of the Division, even if that facility is not conducting a pari-mutuel event. 11
574+42-61.2-9. Unclaimed prize money, including unclaimed sports-wagering payoffs. 12
575+Unclaimed prize money for prizes in connection with the play of a video lottery game, 13
576+casino game, online slot game or online table game, and an unclaimed payoff in connection with a 14
577+sports wager shall be retained by the director for the person entitled thereto for one year after, 15
578+respectively, the completion of the applicable video lottery game, casino game, online slot game or 16
579+online table game, or the determination of the result of the sporting event that was the subject of 17
580+the applicable sports wager. If no claim is made for the prize money or payoff within that year, the 18
581+prize money or payoff shall automatically revert to the lottery fund and the winner shall have no 19
582+claim thereto. 20
583+42-61.2-11. Effect of other laws and local ordinances. 21
584+(a) No other law providing any penalty or disability for operating, hosting, maintaining, 22
585+supporting, or playing video lottery games, or any acts done in connection with video lottery games, 23
586+shall apply to operating, hosting, maintaining, supporting, or playing video lottery games pursuant 24
587+to this chapter. 25
588+(b) No other law providing any penalty or disability for conducting, hosting, maintaining, 26
589+supporting, or participating in sports wagering, or any acts done in connection with sports wagering, 27
590+shall apply to conducting, hosting, maintaining, supporting, or participating in sports wagering 28
591+pursuant to this chapter. 29
592+(c) No other law providing any penalty or disability for conducting, hosting, maintaining, 30
593+supporting, or participating in casino gaming, including iGaming, or any acts done in connection 31
594+with casino gaming, including iGaming, shall apply to conducting, hosting, maintaining, 32
595+supporting, or participating in casino gaming, including iGaming pursuant to this chapter. 33
596+(c)(d) The provisions of §§ 41-9-4 and 41-9-6 shall not apply to this chapter, and the 34
597+
598+
599+LC002864 - Page 17 of 21
600+provisions of this chapter shall take precedence over any local ordinances to the contrary. It is 1
601+specifically acknowledged that the installation, operation, and use of video lottery terminals by a 2
602+pari-mutuel licensee, as authorized in this chapter, shall for all purposes be deemed a permitted use 3
603+as defined in § 45-24-31. No city or town where video lottery terminals are authorized may seek to 4
604+prevent the installation and use of said video lottery terminals by defining such as a prohibited use. 5
605+42-61.2-14. Compulsive and problem gambling programs. 6
606+The Division and the state acknowledge that the vast majority of gaming patrons can enjoy 7
607+gambling games responsibly, but that there are certain societal costs associated with gaming by 8
608+some individuals who have problems handling the product or services provided. The Division and 9
609+the State further understand that it is their duty to act responsibly toward those who cannot 10
610+participate conscientiously in gaming. Pursuant to the foregoing, Twin River and Twin River-11
611+Tiverton, in cooperation with the State, shall offer compulsive and problem gambling programs 12
612+that include, but are not limited to (a) Problem gambling awareness programs for employees; (b) 13
613+Player self-exclusion program; and (c) Promotion of a problem gambling hotline. Twin River and 14
614+Twin River-Tiverton shall modify their existing compulsive and problem gambling programs to 15
615+include table games, and sports wagering and iGaming to the extent such games are authorized at 16
616+such facilities or through the Internet or a mobile application. Twin River and Twin River-Tiverton 17
617+shall reimburse and pay to the Division no less than two hundred thousand dollars ($200,000) in 18
618+aggregate annually for compulsive and problem gambling programs established by the Division. 19
619+The contribution from each facility shall be determined by the Division. A person who is prohibited 20
620+from gaming in a gaming establishment due to the player self-exclusion program shall not collect 21
621+any winnings or recover losses arising as a result of prohibited gaming activity by said person. 22
622+Winnings from a self-excluded person, after the deduction of taxes and other applicable 23
623+withholdings, shall be forfeited to the division. The division shall forward such forfeited winnings, 24
624+up to one hundred fifty thousand dollars ($150,000) per year, to the Rhode Island Council on 25
625+Problem Gambling for its use for research, education, and prevention of teenage gambling 26
626+addiction, with the balance to be transferred by the division to the general fund. 27
627+42-61.2-15. Table game and sports-wagering hours of operation Table game, sports-28
628+wagering, and iGaming hours of operation. 29
629+(a) To the extent table games are authorized at the premises of a table-game retailer, such 30
630+table games may be offered at the premises of a table-game retailer for all or a portion of the days 31
631+and times that video lottery games are offered. 32
632+(b) To the extent sports wagering is authorized at the premises of a table-game retailer, 33
633+such sports wagering may be offered at the premises of such table-game retailer for all or a portion 34
634+
635+
636+LC002864 - Page 18 of 21
637+of the days and times that video lottery games are offered. 1
638+(c) To the extent online sports wagering is authorized at a hosting facility, such online 2
639+sports wagering may be offered without any restriction on hours of operation and shall not be 3
640+limited by the days and times that video lottery games and/or or table games are offered. 4
641+(d) To the extent iGaming is authorized at a hosting facility, such iGaming may be offered 5
642+without any restriction on hours of operation and shall not be limited by the days and times that 6
643+video lottery games or table games are offered. 7
644+SECTION 2. Chapter 42-61.2 of the General Laws entitled "Video Lottery Games, Table 8
645+Games and Sports Wagering" is hereby amended by adding thereto the following sections: 9
646+42-61.2-5.1. Allocation of online slot gaming revenue. 10
647+(a) Notwithstanding the provisions of § 42-61-15, the division of lottery is authorized to 11
648+enter into an agreement to allocate online slot gaming revenue among the state, the state's 12
649+authorized iGaming platform vendor, and the state's authorized iGaming game vendor. 13
650+(b) The allocation of online slot gaming revenue shall be as follows: 14
651+(1) To the state, fifty percent (50%) of online slot gaming revenue; 15
652+(2) To the state's authorized iGaming platform vendor, thirty-five percent (35%) of online 16
653+slot gaming revenue; and 17
654+(3) To the state's authorized iGaming game vendor fifteen percent (15%) of online slot 18
655+gaming revenue. 19
619656 (c) Online slot gaming revenue allocated to the state shall be deposited into the state lottery 20
620657 fund for administrative purposes and then the balance remaining into the general fund. 21
621658 42-61.2-5.2. Allocation of online table gaming revenue. 22
622659 (a) Notwithstanding the provisions of § 42-61-15, the division of lottery is authorized to 23
623660 enter into an agreement to allocate online table gaming revenue among the state, the state's 24
624661 authorized iGaming platform vendor, and the state's authorized iGaming game vendor. 25
625662 (b) The allocation of online table gaming revenue shall be: 26
626-(1) To the state, fifteen and one-half percent (15.5%) of online table gaming revenue; 27
663+(1) To the state, eighteen percent (18%) of online table gaming revenue; 27
627664 (2) To the state's authorized iGaming platform vendor, thirty-five percent (35%) of online 28
628-table gaming revenue; 29
629-(3) To the state's authorized iGaming game vendor, forty-eight and one-half percent 30
630-(48.5%) of online table gaming revenue; and 31
631-(4) To the Town of Lincoln and the Town of Tiverton collectively, one percent (1%) of 32
632-online table game revenue, divided whereby the Town of Lincoln receives eighty percent (80%) of 33
633-such allocation and the Town of Tiverton receives twenty percent (20%) of such allocation; 34
665+table gaming revenue; and 29
666+(3) To the state's authorized iGaming game vendor, forty-seven percent (47%) of online 30
667+table gaming revenue. 31
668+(c) Online table gaming revenue allocated to the state shall be deposited into the state 32
669+lottery fund for administrative purposes and then the balance remaining into the general fund. 33
670+42-61.2-17. General requirements for iGaming. 34
634671
635672
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637-provided that the amounts received under this subsection shall be credited towards the Lincoln 1
638-Minimum and Tiverton Minimum, respectively, pursuant to § 42-61.2-7. 2
639-(c) Online table gaming revenue allocated to the state shall be deposited into the state 3
640-lottery fund for administrative purposes and then the balance remaining into the general fund. 4
641-42-61.2-17. General requirements for iGaming. 5
642-(a) Wagers in connection with iGaming shall only be initiated, received or otherwise made 6
643-within the State of Rhode Island. The iGaming platform vendor shall only accept wagers in 7
644-connection with iGaming from players who have been affirmatively located as being physically 8
645-present in the State of Rhode Island at the time of their wager. 9
646-(b) The server-based gaming system shall employ a mechanism to detect the physical 10
647-location of a player at the time the player is wagering, and as frequently as specified in any 11
648-regulations promulgated by the state, through the Division. If the system detects that the physical 12
649-location of the patron at the time the player is wagering is in an area outside the State of Rhode 13
650-Island, or if it cannot detect the physical location of the patron, the system shall not accept that 14
651-patron's wagers until such time as the patron is determined to be physically located in the State of 15
652-Rhode Island. 16
653-(c) The server-based gaming system used to process wagers in connection with iGaming, 17
654-and all other hardware, software, and technology or equipment located on a hosting facility's 18
655-premises and used in connection with iGaming, shall be located in a restricted area on the hosting 19
656-facility's premises. This restriction shall not apply to online table games, which may be conducted 20
657-on the hosting facility's premises in a place and manner approved by the Division. 21
658-(d) Other than the server-based gaming system used for iGaming, the hardware, software 22
659-and other technology and equipment used by the iGaming game vendor and its suppliers do not 23
660-need to be located in the State of Rhode Island. 24
661-(e) iGaming shall only be engaged in by patrons who have established an online gaming 25
662-account pursuant to the rules and regulations promulgated by the Division. 26
663-42-61.2-18. Acceptance of out-of-state iGaming. 27
664-(a) Notwithstanding any other provision of law to the contrary, wagers may be accepted 28
665-under this chapter from persons who are not physically present in Rhode Island if the Division has 29
666-determined that: 30
667-(1) Accepting the wagers is not inconsistent with federal or Rhode Island constitutional 31
668-and statutory law and not inconsistent with the law of the jurisdiction in which the person placing 32
669-the wagers is located; or 33
670-(2) The wagering is conducted pursuant to a reciprocal agreement to which Rhode Island 34
673+LC002864 - Page 19 of 21
674+(a) Wagers in connection with iGaming shall only be initiated, received or otherwise made 1
675+within the State of Rhode Island. The iGaming platform vendor shall only accept wagers in 2
676+connection with iGaming from players who have been affirmatively located as being physically 3
677+present in the State of Rhode Island at the time of their wager. 4
678+(b) Geolocation technology shall be used in connection with iGaming to detect the physical 5
679+location of a player at the time the player is wagering, and as frequently as specified in any 6
680+regulations promulgated by the state, through the Division. If the geolocation technology detects 7
681+that the physical location of the patron at the time the player is wagering is in an area outside the 8
682+State of Rhode Island, or if it cannot detect the physical location of the patron, the system shall not 9
683+accept that patron's wagers until such time as the patron is determined to be physically located in 10
684+the State of Rhode Island. 11
685+(c) The server-based gaming system used to process wagers in connection with iGaming, 12
686+and any other hardware, software, and other technology or equipment located on a hosting facility's 13
687+premises and used in connection with iGaming, shall be located in a restricted area on the hosting 14
688+facility's premises. 15
689+(d) The hardware, software and other technology and equipment used by the iGaming game 16
690+vendor and its suppliers do not need to be located in the State of Rhode Island. 17
691+(e) iGaming shall only be engaged in by patrons who have established an online gaming 18
692+account pursuant to the rules and regulations promulgated by the Division. 19
693+42-61.2-18. Acceptance of out-of-state iGaming. 20
694+(a) Notwithstanding any other provision of law to the contrary, wagers may be accepted 21
695+under this chapter from persons who are not physically present in Rhode Island if the Division has 22
696+determined that: 23
697+(1) Accepting the wagers is not inconsistent with federal law and not inconsistent with the 24
698+law of the jurisdiction in which the person placing the wagers is located; or 25
699+(2) The wagering is conducted pursuant to a reciprocal agreement to which Rhode Island 26
700+is a party that is not inconsistent with federal law. 27
701+(b) The Division may enter into an interactive gaming reciprocal agreement with a 28
702+regulatory agency of one or more other states or jurisdictions in which interactive gaming is 29
703+authorized to allow an interactive gaming operator to accept wagers from persons not physically 30
704+present in Rhode Island, and to allow persons physically present in Rhode Island to place wagers 31
705+with parties to the interactive gaming reciprocal agreement, if the reciprocal agreement is not 32
706+inconsistent with federal law and is approved by the governor. 33
707+SECTION 3. This act shall take effect on January 1, 2024. 34
671708
672709
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674-is a party that is not inconsistent with federal or state law, including Rhode Island constitutional 1
675-and statutory law. 2
676-(b) The Division may enter into an interactive gaming reciprocal agreement with a 3
677-regulatory agency of one or more other states or jurisdictions in which interactive gaming is 4
678-authorized to allow an interactive gaming operator to accept wagers from persons not physically 5
679-present in Rhode Island, and to allow persons physically present in Rhode Island to place wagers 6
680-with parties to the interactive gaming reciprocal agreement, if the Division has determined that the 7
681-reciprocal agreement is not inconsistent with federal and state law, including Rhode Island 8
682-constitutional and statutory law. 9
683-SECTION 6. This act shall take effect on March 1, 2024. 10
710+LC002864 - Page 20 of 21
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687714
688715
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690717 EXPLANATION
691718 BY THE LEGISLATIVE COUNCIL
692719 OF
693720 A N A C T
694721 RELATING TO STATE AFFAIRS AND GOVERNMENT -- VIDEO LOTTERY GAMES,
695722 TABLE GAMES AND SPORTS WAG ERING
696723 ***
697724 This act would legalize iGaming by patrons located in the State of Rhode Island. 1
698-This act would take effect on March 1, 2024. 2
725+This act would take effect on January 1, 2024. 2
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