Current through Register Vol. 50, No. 9, March 1, 2024
RELATES TO: KRS Chapter 230
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
230.260 requires the commission to
"promulgate administrative regulations to establish standards for the conduct
of sports wagering."KRS 230.361 states the "racing
commission shall promulgate administrative regulations to establish a fully
functioning sports wagering system...." This administrative regulation
establishes procedures and articulate grounds for disciplinary actions,
imposing sanctions, investigating suspected violations, providing notice of
disciplinary actions, and requesting and conducting an administrative
hearing.
Section 1. Grounds for
Disciplinary Actions.
(1) The racing
commission may take disciplinary action against any person holding a license
for a violation of any of the provisions of KRS Chapter 230, or any of the
regulations promulgated thereunder, by the Licensee or its employees or
agents.
(2) Acceptance or renewal
of a license by a Licensee constitutes an agreement on the part of the
license-holder to be bound by all the racing commission statutes and
regulations.
Section 2.
Violations.
(1) It shall be a violation of
this administrative regulation if an applicant or licensee:
(a) Provides the racing commission, any
advisory committee, or any racing commission employee with incorrect, false, or
misleading information;
(b) Fails
to furnish information requested by the racing commission, any advisory
committee, or any racing commission employee;
(c) Is charged or convicted of a crime
involving moral turpitude, a felony, sports wagering, cruelty, mistreatment,
abuse, or neglect of a horse, or if the crime discredits or tends to discredit
the Commonwealth of Kentucky, sports wagering, or the gaming
industry;
(d) Engages in conduct
that is against the best interests of horse racing, pari-mutuel wagering, or
sports wagering; or
(e) Violates
any provision of KRS Chapter 230, KAR Title 810, or KAR Title 809.
(2) For any violation established
in subsection (1) of this section, the racing commission may:
(a) Deny a license application;
(b) Suspend or revoke a license;
(c) Issue a fine or monetary
penalty;
(d) Issue licensure
conditions, such as restitution of money, restitution of property, or making
periodic reports to the racing commission or designee as required; or
(e) Issue a written reprimand or
admonishment.
Section
3. Disciplinary Process Investigations.
(1) The racing commission shall investigate
suspected violations of KRS Chapter 230 and KAR Titles 809 and 810 of the
Kentucky Administrative Regulations.
(2) Upon the completion of the investigation,
the person or persons completing the investigation shall submit a written
report to the commission containing a statement of facts revealed by the
investigation.
(3) Based on
consideration of the investigative report, the commission shall determine
whether there is probable cause to believe that a violation has been
committed.
Section 4.
Notice of Disciplinary Action and Appeals.
(1)
Upon determination that probable cause exists, the commission shall issue
written notice of disciplinary action. The notice shall establish:
(a) The statutory or regulatory
violation;
(b) The factual basis on
which the disciplinary action is based;
(c) The penalty imposed; and
(d) A statement that the notice may be
appealed in accordance with KRS Chapter 13B by written notice sent to the
racing commission within twenty (20) calendar days.
(2) Notice of a disciplinary action under
this section may be appealed to an administrative hearing.
(3) A written request for an administrative
hearing shall be filed with the racing commission within twenty (20) calendar
days of the date of the notice. The request shall identify the specific issues
in dispute and the legal basis on which the racing commission's or designee's
decision on each issue is believed to be erroneous.
(4) An administrative hearing under this
section shall be conducted in accordance with KRS Chapter 13B.
(5) If the request for an administrative
hearing is not timely filed, the penalty laid out in the notice of disciplinary
action shall be effective upon the expiration of the time to request an
administrative hearing.
(6) Denial
of an application for licensure may also be appealed in accordance with KRS
Chapter 13B, by submitting a written request for an administrative hearing to
the racing commission within twenty (20) calendar days of the date of the
notice of denial.
STATUTORY AUTHORITY:
KRS
230.260(16),
230.361, Chapter
13B