Ariz. Admin. Code § R19-2-405 - Contracts and Agreements

A. A permittee who holds a permit for teletrack wagering shall submit an Application for Approval and a Plan of Operation for each additional teletrack wagering facility to the Racing Commission. The length of the permit for an additional wagering facility shall not exceed three years. The Plan of Operation shall include but not be limited to the following:

1. Feasibility and accounts. A feasibility study denoting the estimated gross revenue from the teletrack facility and the estimated costs to operate the facility. The feasibility study shall include:

a. The number of races to be displayed,

b. The types of wagering to be offered and the hours during which pari-mutuel windows will be in operation,

c. The estimated attendance at the teletrack facility,

d. The level of anticipated wagering activity,

e. The source and amount of estimated revenues from sources other than pari-mutuel wagering,

f. The cost of operating the facility,

g. The amount and source of revenues needed for financing the teletrack wagering operation,

h. Proof of financial stability and assets sufficient to cover projected costs,

i. An estimate of the total amount of anticipated revenues to be paid to the state of Arizona resulting from teletrack wagering.

2. Contracts and agreements. The following information must be submitted in relation to any groups, concessions, or contracts, whether within or outside of Arizona, which are connected with the operation of a teletrack facility, unless such information is already on record.

a. Listing and background of the management groups responsible for the operation of the facility;

b. The names of all individuals who own 10% or more of the facility;

c. Other information which, in the Director's judgment, is or may be material, such as information pertaining to financial background and persons associated with the parties to the contract.

3. Security. The measures to be employed to protect the facility, the employees, the public, and the wagering dollars.

4. Location of the teletrack wagering facility.

5. Proof that approval for use of the facility to handle pari-mutuel wagering has been given by the governing body of the city or town or by the board of supervisors, if the facility is located in an unincorporated area.

6. Building plans and specifications. Adequate provision shall be made for areas appropriate for patrons to handicap the races and the facilities shall allow reasonable access by handicapped persons.

B. Approval and amendments shall be the same as provided in R19-2-404(B) .

C. Renewal. A permittee shall apply to the Department for renewal of its additional wagering facility permits at the time it makes application to renew its Teletrack Wagering Permit. Upon receipt of a completed application, the Director may approve the:

1. Renewal of a teletrack wagering facility,

2. A permittee's application to begin operation at a teletrack wagering facility previously approved by the Racing Commission and currently used by another permittee.

D. After receiving approval from the Racing Commission, a new facility may not open for business for a period of five working days or until all licensing requirements are satisfied. Should the necessary licensing requirements be completed in less than five working days, the remaining days may be waived by the Director.

An ADWP shall submit the following information regarding any group, concession, or contract related to the ADW operation whether within or outside of Arizona:

1. Copy of all contracts to provide services, including totalisator vendor services, within or on behalf of Arizona racetrack permittees or residents;

2. Name and background of the individuals responsible for operating the ADW accounts system;

3. Other information that, in the Director's judgment, is or may be material, such as information pertaining to financial background and persons associated with the parties to the contract;

4. Security measures to be employed to protect the ADWP account maintenance and wagering facilities;

5. Security measures to be employed to protect transmission of sales transaction and pari-mutuel output data;

6. Type of data processing, communication, and transmission equipment to be used;

7. Description of all computer services and all other methods used to transmit any data or signal; and

8. Description of any alternate or backup system in case of principal system failure of communications or data-processing equipment used for forwarding wagers.

Notes

Ariz. Admin. Code § R19-2-405

Adopted effective April 3, 1984 (Supp. 84-2). Amended effective August 21, 1985 (Supp. 85-4). Repealed effective December 14, 1994 (Supp. 94-4). R19-2-405 recodified from R4-27-405 (Supp. 95-1). New Section adopted effective February 26, 1996, pursuant to an exemption from the rulemaking process (Supp. 96-1). New Section made by exempt rulemaking at 20 A.A.R. 2874, effective 10/10/2014.

Section R19-2-405 was adopted under an exemption from the provisions of the Arizona Administrative Procedure Act pursuant to A.R.S. § 41-105(A)(18). Exemption from the rulemaking process means that the agency did not submit these rules to the Secretary of State's Office for publication in the Register as proposed rules, the agency was not required to accept public comment, and the rules were not approved by either the Governor's Regulatory Review Council or the Attorney General.