Section 12554 - Formal Hearing Process(a) Upon the filing with the Commission of an accusation by the Bureau recommending revocation, suspension, or other discipline of a holder of a license, registration, permit, finding of suitability, or approval, the Commission will proceed under Chapter 5 (commencing with section 11500) of Part 1 of Division 3 of Title 2 of the Government Code.(b) In the event that the Bureau cannot present the accusation, the Commission may request outside counsel or representation by another state agency or may adequately segregate one or more Commission staff members from the Commissioners and Commission legal unit to present the accusation.(c) The Administrative Law Judge and Commission will base their decisions on written findings of fact, including findings concerning any relevant aggravating or mitigating factors. Findings of fact will be based upon a preponderance of the evidence standard. The "preponderance of the evidence standard" is such evidence as when considered and compared with that opposed to it, has more convincing force, and produces a belief in the mind of the fact-finder that what is sought to be proved is more likely true than not true.(d) Upon a finding of a violation of the Act, any regulations adopted pursuant thereto, any law related to gambling or gambling establishments, violation of a previously imposed disciplinary or license condition, or laws whose violation is materially related to suitability for a license, registration, permit, or approval, the Commission may do any one or more of the following: (1) Revoke the license, registration, permit, finding of suitability, or approval;(2) Suspend the license, registration, or permit;(3) Order the licensing authority of a city, county, or city and county, to revoke a local work permit, pursuant to Business and Professions Code section 19914, subdivision (a),(4) Impose any condition, limitation, order, or directive (including but not limited to a directive to divest an interest in a business entity pursuant to Business and Professions Code, section 19879);(5) Impose any fine or monetary penalty consistent with Business and Professions Code sections 19930, subdivision (c), and 19943, subdivision (b);(6) Stay, in whole or in part, the imposition of a revocation or suspension against the holder of a license, registration, work permit, finding of suitability, or approval, or(7) Order the holder to pay a monetary penalty in lieu of all or a portion of a suspension. Within the guidelines of Business and Professions Code sections 19930, subdivision (c), and 19943, subdivision (b): (A) If the respondent is a cardroom business licensee, the monetary penalty will be equivalent of fifty percent of the average daily gross gaming revenue, but not less than $300, for the number of days for which the suspension is stayed.(B) If the respondent is an owner of a third-party provider of proposition player services and the violation did not involve a fraudulent, expired, borrowed, or stolen badge, and did not involve a non-registered or non-licensed employee of the owner, the monetary penalty shall be the sum of $500 plus the total of $100 multiplied by the maximum number of tables for which proposition player services have been contracted at the gambling establishment where the violation was charged, which sum shall be multiplied by the number of days for which the suspension is stayed.(C) If the respondent is a TPPPS owner type licensee and the violation involved a fraudulent, expired, borrowed, or stolen badge, or involved a non-registered or non-licensed employee of the TPPPS owner type licensee, the monetary penalty will be the sum of $500 plus the total of $300 multiplied by the maximum number of tables for which proposition player services have been contracted at the gambling establishment where the violation was charged, which sum will be multiplied by the number of calendar-days for which the suspension is stayed.(D) If the respondent is a key employee licensee or TPPPS supervisor licensee, the monetary penalty will be $100 per day for the number of calendar-days for which the suspension is stayed.(E) If the respondent is a holder of a work permit or TPPPS worker license, or a person not otherwise described above, the monetary penalty will be $50 per day for the number of calendar-days for which the suspension is stayed.(e) If a person's cardroom business license is revoked by the Commission pursuant to this chapter, the Commission may stay such revocation for a reasonable period of time to allow such person to sell or divest himself or herself of such person's ownership interest in the gambling establishment, provided that after the date on which the revocation is stayed by the Commission, such person will not be entitled to, realize, or receive any profits, distributions, or payments that might directly or indirectly be due to such person or which arise out of, are attributable to, or are derived from controlled gambling.(f) If a TPPPS owner type licensee has his or her TPPPS owner type license revoked by the Commission pursuant to this chapter, the Commission may stay such revocation for a reasonable period of time to allow such person to sell or divest himself or herself of such person's ownership interest in the TPPPS business license, provided that after the date on which the revocation is stayed by the Commission, such person will not be entitled to realize or receive any profits, distributions, or payments that might directly or indirectly be due to such person or which arise out of, are attributable to, or are derived from the provision of proposition player services.(g) For decisions concerning a cardroom business licensee, findings must be made regarding the number of tables in operation at the establishment and the annual gross gaming revenue of the establishment(h) For decisions concerning TPPPS owner type licensee, findings must be made regarding the maximum number of tables for which proposition player services have been contracted at the gambling establishment where the violation was charged.(i) Any order to pay the costs of investigation or prosecution of the case shall be fixed pursuant to Business and Professions Code section 19930, subdivision (d).(j) For multiple violations, or for suspensions imposed by other jurisdictions based on the same violations, the decision must state whether any Commission-imposed suspensions must run consecutively or concurrently.(k) Where a violation arises from a practice that is repeated many times an hour or day in the conduct of controlled games, each instance of the practice will not be charged as a separate violation; however, the frequency and duration of the practice will be treated as aggravating or mitigating factors.Cal. Code Regs. Tit. 4, § 12554
1. New section filed 2-8-2007; operative 3-10-2007 (Register 2007, No. 6).
2. Change without regulatory effect amending subsections (a)-(b) and (d) filed 8-8-2008 pursuant to section 100, title 1, California Code of Regulations (Register 2008, No. 32).
3. Amendment filed 12-12-2020; operative 1-1-2021 pursuant to Government Code section 11343.4(b) (Register 2020, No. 51). Filing deadline specified in Government Code section 11349.3(a) extended 60 calendar days pursuant to Executive Order N-40-20. Note: Authority cited: Sections 19824, 19825, 19840, 19841 and 19930, Business and Professions Code. Reference: Sections 19879, 19930 and 19984, Business and Professions Code; Section 11045, Government Code; and Section 10335, Public Contract Code.
1. New section filed 2-8-2007; operative 3-10-2007 (Register 2007, No. 6).
2. Change without regulatory effect amending subsections (a)-(b) and (d) filed 8-8-2008 pursuant to section 100, title 1, California Code of Regulations (Register 2008, No. 32).
3. Amendment filed 12-12-2020; operative 1/1/2021 pursuant to Government Code section 11343.4(b) (Register 2020, No. 51). Filing deadline specified in Government Code section 11349.3(a) extended 60 calendar days pursuant to Executive Order N-40-20.