N.J. Admin. Code § 13:69O-1.9

Current through Register Vol. 56, No. 21, November 4, 2024

Section 13:69O-1.9 - Required reports; reconciliation; test accounts

(a) The online gaming system shall be designed to generate the reports required by this section in a format approved by the Division's Revenue Certification Unit.

(b) All required reports shall be generated by the system, even if the period specified contains no data to be presented. The report generated shall indicate all required information and contain an indication of "No Activity" or similar message if no data appears for the period specified.

(c) Gaming systems shall provide a mechanism to export the data generated for any report to a format approved by the Division.

(d) An Internet gaming system and a mobile gaming system shall generate the following daily reports, at a minimum, for each gaming day in order to calculate the taxable revenue or to ensure the integrity of operations:

1. A Patron Account Summary Report, which shall include transaction information for each patron account, as follows:

i. Beginning balance;

ii. Total amount of deposits;

iii. Total amount of non-cashable bonuses deposited;

iv. Total amount of non-cashable bonuses wagered;

v. Total amount of non-cashable bonuses expired;

vi. Total amount of transfers to games;

vii. Total amount of transfers from games;

viii. Total amount of sports pool wagers;

ix. Total amount of sports pool winnings;

x. Total amount of canceled sports pool wagers;

xi. Total amount of voided sports pool wagers;

xii. Total amount of resettled sports pool wagers;

xiii. Total amount of withdrawals;

xiv. Total amount of funds on game at the beginning of the gaming day (the amount of pending wagers at the end of the prior gaming day);

xv. Total amount of funds on game at the end of the gaming day (the amount of pending wagers plus funds transferred to a game but not yet wagered);

xvi. Patron win or loss, calculated as the amount of transfers from games less the amount of transfers to games;

xvii. Sports pool win or loss calculated as the amount of wagers less winnings;

xviii. Ending balance; and

xix. Total amount of adjustments;

2. A Wagering Summary Report, which shall include the following by authorized game and poker variation, as applicable:

i. Total amounts wagered;

ii. Total amounts won;

iii. Total amount of sports pool wagers;

iv. Total amount of sports pool winnings;

v. Total amount of canceled sports pool wagers;

vi. Total amount of voided sports pool wagers;

vii. Total amount of resettled sports pool wagers;

viii. Total tournament entry or participation fees;

ix. Rake or vigorish;

x. Total amounts of guaranteed funds paid to players;

xi. Total amounts due to or from an Internet gaming network;

xii. Win or loss calculated as the amount wagered less the amount won plus tournament entry fees, rake, or vigorish, guaranteed funds, and amounts due to or from an Internet gaming network; and

xiii. Sports pool win or loss calculated as the amount of wagers less winnings;

3. A Non-cashable Promotional Account Balance Report, which shall include the ending non-cashable promotional balance in each patron account; and

4. A Forfeited Bonus Winnings Report, which shall include, by patron, the amount of winnings removed from a patron's account upon the expiration, cancellation, or forfeiture of a bonus.

(e) An Internet gaming network shall generate the following daily reports for each participating casino operator, at a minimum, for each gaming day in order to reconcile the daily Internet gross gaming revenue:

1. A Network Patron Account Summary Report, which shall include the following transaction information for each patron account:

i. Patron identification number;

ii. Total amount of transfers to games;

iii. Total amount of transfers from games;

iv. Win or loss statistics;

v. Total amount of rake; and

vi. Total amount of entry fees; and

2. A Network Wagering Summary Report, which shall include the following game activity by authorized game or poker variation:

i. Total amounts wagered;

ii. Total amounts won;

iii. Total tournament entry or participation fees;

iv. Rake or vigorish;

v. Total amounts of guaranteed funds paid to players; and

vi. Win or loss statistics, calculated as the net of the total amounts wagered and total amounts won plus tournament entry fees, rake, or vigorish, and guaranteed funds.

(f) A casino licensee and racetrack online sports wagering permit holder shall utilize the Wagering Summary Report to calculate mobile gaming gross revenue and Internet gaming gross revenue on a daily basis for reporting purposes. In addition, the casino licensee and racetrack online sports wagering permit holder shall:

1. Prepare a Variance Report documenting the win/loss amounts from the Patron Account and Wagering Summary Reports;

2. Calculate the variance between the two amounts;

3. Document the reason for the variance; and

4. Report a manual adjustment to increase revenue by the amount of the variance whenever the total of the Patron Account Summary Report is greater than the total of the Wagering Summary Report, unless the reason for the variance as documented in (f)3 above is sufficient to support a determination that revenue was properly reported.

(g) In lieu of (f) above, a licensee may accumulate the daily Variance Report information on a monthly Variance Report in a manner described in the licensees internal controls.

(h) A gaming system shall generate the following reports related to dormant accounts on a daily basis:

1. Commencing one year after the creation of the first Internet or mobile gaming account, a Dormant Account Report, which shall list all patron accounts including the Pending Wager Account that have had no activity for a period of one year. The report shall include, at a minimum:

i. The patron name and account number;

ii. The date of the last successful patron log in;

iii. The account balance; and

iv. The gaming date; and

2. A Dormant Funds Forfeiture Report, to be filed monthly, which shall include:

i. The patron name and account number;

ii. The date patron funds are removed;

iii. The account balance forfeited; and

iv. The date the patron notification was sent.

(i) A gaming system shall generate a Performance Report, which compares the theoretical Return to Patron (RTP) as defined in 13:69D-1.1 to the actual RTP of each game offered by a gaming system. The report shall also provide the total number of rounds of play for each game and shall be generated and reviewed weekly by the licensee to evaluate the performance of all games offered to the public.

(j) A gaming system shall generate a Performance Report, which compares the theoretical Return to Patron (RTP) as defined in 13:69D-1.1 to the actual RTP of each game offered by a gaming system. The report shall also provide the total number of rounds of play for each game and shall be generated and reviewed monthly by the licensee to evaluate the performance of all games offered to the public. The Performance Report shall include the data required by this subsection from the first day Internet gaming was offered to the date of the report.

(k) A gaming system shall generate a Patron Account Adjustments Report, which shall be reviewed on a daily basis by either the permit holder or Internet gaming intermediary to evaluate the legitimacy of patron account adjustments. If the daily review is performed by the Internet gaming intermediary, the permit holder shall conduct a weekly review of the Patron Account Adjustment Reports. Unless otherwise authorized by the Division, the report shall at a minimum include:

1. The patron's name;

2. An account number;

3. The date and time of the adjustment;

4. The person who performed the adjustment;

5. The reason for the adjustment; and

6. The amount of the adjustment.

(l) An Internet gaming system shall generate a report on a weekly basis identifying potential problem gamblers, including those patrons who self-report. The casino licensee and racetrack online sports wagering permit holder shall review the report and document any action taken.

(m) An Internet gaming system shall be capable of generating a Pending Transaction Reports, which shall include and separately itemize:

1. Funds on game transactions; and

2. Deposits and withdrawals not yet cleared.

(n) On a monthly basis, a casino licensee and racetrack online sports wagering permit holder shall submit to the Division a copy of the bank statement that reflects the balance of the restricted account maintained to protect patron funds required pursuant to N.J.A.C. 13:69O-1.3(k).

(o) Internet gaming operators may establish test accounts to be used to test the various components and operation of an Internet gaming system in accordance with internal controls, which, at a minimum, address the following:

1. The procedures for the issuance of funds used for testing, including the identification of who is authorized to issue the funds and the maximum amount of funds that may be issued;

2. The procedures for assigning each test account for use by only one person;

3. The maintenance of a record for all test accounts, to include when they are active, to whom they are issued, and the employer of the person to whom they are issued;

4. The procedures for the auditing of testing activity by the Internet gaming permit holder to ensure the accountability of funds used for testing and proper adjustments to Internet gross revenue; and

5. The procedures for authorizing and auditing out-of-State test activity.

(p) Peer-to-peer games may be tested by a user with multiple test accounts provided that no patrons are involved in game play.

N.J. Admin. Code § 13:69O-1.9

Amended by 46 N.J.R. 1817(c), effective 8/18/2014.

Amended by 50 N.J.R. 617(a), effective 1/16/2018

Amended by 50 N.J.R. 1652(a), effective 7/16/2018

Amended by 51 N.J.R. 1514(b), effective 10/7/2019

Amended by 56 N.J.R. 1182(b), effective 7/1/2024