Current through Register Vol. XLI, No. 50, December 13, 2024
Section 178-5-7 - Interstate Common Pool Wagering7.1. General. 7.1.a. The Racing Commission shall approve all contracts pertaining to participation when pools are commingled intrastate and interstate.7.1.b. Individual wagering transactions are made at the point of sale in the state where placed. Pari-mutuel pools are combined for computing odds and calculating payouts and breakage, but shall be held separate for auditing and all other purposes.7.1.c. Any surcharges or withholdings in addition to the takeout shall only be applied in the jurisdiction otherwise imposing the surcharges or withholdings.7.1.d. In determining whether to approve an interstate common pool which does not include the host track or which includes contests from more than one association, the Racing Commission shall consider and may approve use of a bet type which is not utilized at the host track, application of a takeout rate not in effect at the host track, or other factors which are presented to the Racing Commission.7.1.e. The content and format of the visual display of racing and wagering information at facilities in other jurisdictions where wagering is permitted in the interstate common pool need not be identical to the similar information permitted or required to be displayed under this rule.7.2. Guest State Participation in Interstate Common Pools. 7.2.a. With the prior approval of the Racing Commission, pari-mutuel wagering pools may be combined with corresponding wagering pools in the host state, or with corresponding pools established by one or more other jurisdictions.7.2.b. The Racing Commission may permit adjustment of the takeout from the pari-mutuel pool so that the takeout rate in this jurisdiction is identical to that at the host track, or identical to that of other jurisdictions participating in a merged pool.7.2.c. Where takeout rates in the merged pool are not identical, the net price calculation shall be the method by which the differing takeout rates are applied.7.2.d. Rules established in the state of the host association designated for a pari-mutuel pool apply.7.2.e. The Racing Commission shall approve agreements made between the association and other participants in interstate common pools governing the distribution of breakage between the jurisdictions.7.2.f. If, for any reason, it becomes impossible to successfully merge the bets placed into the interstate common pool, the association shall make payouts in accordance with payout prices that would have been in effect if prices for the pool of bets were calculated without regard to wagers placed elsewhere. However, with permission of the Racing Commission, the association may alternatively determine to either pay winning tickets at the payout prices at the host track, or declare the accepted bets void and make refunds in accordance with the applicable rules.7.3. Host State Participation in Merged Pools. 7.3.a. With the prior approval of the Racing Commission, an association licensed to conduct pari-mutuel wagering may determine that one or more of its contests may be utilized for pari-mutuel wagering at guest facilities in other states, and may also determine that pari-mutuel pools in guest states be combined with corresponding wagering pools established by it as the host track or comparable wagering pools established by two or more states.7.3.b. Where takeout rates in the merged pool are not identical, the net price calculation shall be the method by which the differing takeout rates are applied.7.3.c. Unless the Racing Commission has specifically determined that the rules of racing established for races held in this state also apply to interstate common pools.7.3.d. The Racing Commission shall approve agreements made between the association and other participants in interstate common pools governing the distribution of breakage between the jurisdictions.7.3.e. Any contract for interstate common pools entered into by the association shall contain a provision to the effect that if, for any reason, it becomes impossible to successfully merge the bets placed in another state into the interstate common pool formed by the association, or if, for any reason, the Racing Commission's or the association's representative determines that attempting to effect transfer of pool data from the guest state may endanger the association's wagering pool, the association has no liability for any measures taken which may result in the guest's wagers not being accepted into the pool.7.4. Takeout Rates in Interstate Common Pools.7.4.a. With the prior approval of the Racing Commission, an association wishing to participate in an interstate common pool may change its takeout rate (within the limits permitted by state law) so as to achieve a common takeout rate with all other participants in the interstate common pool.7.4.b. An association wishing to participate in an interstate common pool may request that the Racing Commission approve a methodology whereby host and guest states with different takeout rates for corresponding pari-mutuel pools may effectively and equitably combine wagers from the different states into an interstate common pool.