Iowa Admin. Code r. 491-11.5 - Gambling games authorized

(1) Craps, roulette, twenty-one (blackjack), baccarat, big six and poker are authorized as table games. The administrator is authorized to approve multiplayer electronic devices simulating these games, subject to the requirements of rule 491-11.4 (99F) and subrule 11.5(3).
(2) Slot machines, video poker, and other video games of chance, both progressive and nonprogressive, shall be allowed as slot machine games, subject to the administrator's approval of individual slot machine prototypes and game variations. For racetrack enclosures without a table games license, video machines which simulate table games of chance shall not be allowed.
(3) The administrator is authorized to approve variations of approved gambling games and bonus features or progressive wagers associated with approved gambling games, subject to the requirements of rule 491-11.4 (99F). Features utilizing a controller or a system linked to gambling games that do not require direct monetary consideration and are not otherwise integrated within a slot machine game theme may be allowed as bonus features. Payouts from these bonus features may be included in winnings for the calculation of wagering tax adjusted gross receipts when the following conditions are met:
a. The only allowable nonmonetary consideration to be expended by a participant shall be active participation in a gambling game with a bonus feature or use of a player's club card, or both.
b. The actual bonus payout deductible in any month from all qualified system bonuses requiring no additional direct monetary consideration shall be:
(1) No more than 2 percent of the coin-in for all slot machines linked to any system bonuses for that month if slot machines linked to system bonuses exceed 20 percent of the total number of slot machines; or
(2) No more than 3 percent of the coin-in for all slot machines linked to any system bonuses for that month if slot machines linked to system bonuses are less than or equal to 20 percent of the total number of slot machines; or
(3) No more than 3 percent of the amount wagered on the qualifying bets for all table games linked to any system bonus for that month.
c. The probability of winning a system bonus award shall be the same for all persons participating in the bonus feature.
(4) Gambling games of chance involving prizes awarded to participants through promotional activities at a facility may be conducted by the licensee providing the following:
a. Rules shall be made available to participants for review prior to registering. Rules shall include, at a minimum, all conditions registered players must meet to qualify to enter or participate in the event, available prizes or awards, and distribution of prizes or awards based on specific outcomes.
b. All gambling games are conducted in a fair and honest manner, and all rules are followed. Changes to rules shall not be made after participants have registered.
c. Results shall be made available for the registered players to review at the same location at which or in the same manner in which players registered. Results shall include, at a minimum, name of the event, date of the event, total number of entries, total prize pool, and amount paid for each winning category.
d. No entry fees shall be permitted.
e. All employees of the facility shall be prohibited from participation.
f. Such games shall be limited to participants 21 years of age or older.
g. There is compliance with all other federal, state and local laws and rules outside of the commission's jurisdiction.
h. Outcomes for gambling games shall be determined on the designated gaming floor, approved pursuant to 491-subrule 5.4(17), and outcomes shall be immediately or simultaneously displayed by a device or devices on the designated gaming floor.
i. In determining adjusted gross receipts pursuant to Iowa Code section 99F.11, the facility may consider all nonmonetary consideration expended by a participant and the nonmonetary consideration shall at least equal the value of prizes awarded.
(5) Mechanical devices employing kickers or plates to direct coins, tokens or chips to fall over an edge into a payout hopper may be authorized as gambling games, subject to the following conditions:
a. All devices are subject to the requirements of rule 491-11.4 (99F).
b. Devices shall accept no more than one coin, token or chip per play, unless otherwise authorized by the administrator.
c. Tokens or chips used in devices shall have a value defined by the facility. Each assigned value must be displayed on the device. Values are subject to approval by the administrator.
d. Merchandise, coins, tokens, chips or other legal tender may be added to the device at the discretion of the facility:
(1) Anything of value added to a device must be in accordance with the approval of the device under the requirements of rule 491-11.4 (99F); and
(2) Anything of value added to a device shall be documented, and documentation shall be retained in accordance with the retention requirements of 491-subrule 5.4(14).
e. Any coins, tokens or chips collected by the facility or not returned to individuals wagering on a device shall be included as gross receipts for the calculation of wagering tax on adjusted gross receipts:
(1) When a device is removed from play, coins, tokens, chips or other legal tender that were added to the device may be used to offset gross receipts for the calculation of wagering tax on adjusted gross receipts; and
(2) Merchandise or other items of value added to a device shall not be considered in the calculation of wagering tax on adjusted gross receipts.
f. Merchandise, coins, tokens, chips or other legal tender shall not be removed from a device while it remains in operation, except as winnings to an individual from a wager, or as the result of internal mechanisms of the device for collecting revenue, approved in accordance with rule 491-11.4 (99F).
g. Anything of value in the machine shall not be tampered with or adjusted while a device remains in operation, except as required to return a malfunctioning device to operation.

Notes

Iowa Admin. Code r. 491-11.5
ARC 8029B, IAB 8/12/09, effective 9/16/09; ARC 9018B, IAB 8/25/10, effective 9/29/10; ARC 9987B, IAB 2/8/12, effective 3/14/12; ARC 0734C, IAB 5/15/2013, effective 6/19/2013 Amended by IAB March 27, 2019/Volume XLI, Number 20, effective 5/1/2019 Amended by IAB February 26, 2020/Volume XLII, Number 18, effective 4/1/2020 Amended by IAB February 10, 2021/Volume XLIII, Number 17, effective 3/17/2021 Amended by IAB February 9, 2022/Volume XLIV, Number 16, effective 3/16/2022

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