10 Del. Admin. Code § 203-28.0

Current through Reigster Vol. 28, No. 6, December 1, 2024

Section 203-28.0 - Complimentary Services and Coupon Redemption Programs

28.1 Each agent shall establish and comply with procedures for the authorization, issuance, recording and monitoring of complimentary services or items, including cash and non-cash gifts. Such procedures must be approved by the agency and shall include, but shall not be limited to, the procedures by which the agent delegates to its employees the authority to approve the issuance of complimentary services and items and the procedures by which conditions or limits to such authority are established and modified.

28.2 On a daily basis, the agent shall record the name of each person provided with complimentary services or items, the category of service or item provided, the value of the services or items provided to such person, and the person authorizing the issuance of such services or items. Excepted from this requirement are the individual names of persons authorizing or receiving:

28.2.1 Each non-cash complimentary service or item that has a value of $150 or less; and

28.2.2 Each complimentary cash gift of $100 or less.

28.3 All complimentary services or items shall be valued and recorded as follows:

28.3.1 At full retail price normally charged by the agent if the complimentary service or item is provided directly to patrons in the normal course of the agent's business (such as rooms, food or beverages);

28.3.2 At an amount based upon the actual cost to the agent providing such service or item, if the complimentary service or item is not offered for sale to patrons in the normal course of an agent's business;

28.3.3 At an amount based upon the actual cost to the agent of having a third party, not affiliated with the agent, provide a service or an item directly or indirectly to patrons by the third party; and

28.3.4 A complimentary service or item provided directly or indirectly to a patron on behalf of an agent by a third party who is affiliated with the agent shall be recorded as if the affiliated third party were the agent.

28.4 Complimentary cash gifts shall include, without limitation:

28.4.1 Public relations payments made for the purpose of resolving complaints by or disputes with video lottery facility patrons;

28.4.2 Travel or walk money payments made for the purpose of enabling a patron to return home; and

28.4.3 Cash complimentaries issued to patrons as a result of actual gaming activity.

28.5 The agent shall accumulate on a quarterly basis both the dollar amount of and number of persons provided with each category of complimentary services or items. The complimentary services or items shall, at a minimum, be separated into categories for rooms, food, beverage, travel, cash gift, non-cash gift, and other services or items.

28.6 Where complimentary cash gifts have a value of $1,000 or more, or non-cash gifts have of value of $2,500 or more, the agent shall also:

28.6.1 Record the address of the recipient;

28.6.2 Verify the identity of the recipient; and

28.6.3 Record the method of verification.

28.7 No agent shall permit any employee to authorize the issuance of complimentary cash or non-cash gifts with a value of $10,000 or more unless the employee is licensed and functioning as a key employee and the authorization is cosigned by a second employee licensed and functioning as a key employee.

28.8 Each agent shall submit to the Director a report listing the name of each person who has received $10,000 or more in complimentary cash and non-cash gifts within any five- (5) day period during the preceding month end. Such report shall be filed by the last business day of the following month and shall include the total amount of complimentary cash or non-cash gifts provided to each person.

28.9 Upon request, the agent shall submit to the Director a copy of daily, quarterly and any other reports and/or records related to complimentary services.

28.10 All coupons entitling patrons to complimentary cash, items or services shall be issued in accordance with procedures approved by the agency and shall include at a minimum the following:

28.10.1 Any coupons received from a manufacturer or distributor shall be opened and examined by at least one (1) member of the accounting department. Any deviations between the invoice or control listing accompanying the coupons, the purchase or requisition order, and the actual coupons received shall be reported promptly to the supervisor of the video lottery facility accounting department or to a higher authority in a direct reporting line and the Internal Audit Department;

28.10.2 All coupons shall be printed with a description of what is being offered, the location where it may be redeemed, and either a statement specifying the date on which the coupon becomes invalid or some other means to indicate the date when a coupon becomes invalid; and

28.10.3 Coupons shall be maintained in a secure area, and records shall be maintained to document all coupons received by the manufacturer or printed by the agent, all coupons issued to departments, their issuance to patrons, their return to storage, and perpetual inventory of such.

10 Del. Admin. Code § 203-28.0

22 DE Reg. 500 (12/1/2018) (Final)