Pennsylvania Code
Title 58 - RECREATION
Part VII - GAMING CONTROL BOARD
Subpart E - Slot Machine, Table Game and Associated Equipment Testing and Control; Accounting and Internal Controls
Chapter 465a - ACCOUNTING AND INTERNAL CONTROLS
Section 465a.26 - Jackpot and credit meter payouts
Universal Citation: 58 PA Code ยง 465a.26
Current through Register Vol. 54, No. 44, November 2, 2024
(a) Prior to commencing gaming operations, a slot machine licensee shall establish a comprehensive system of internal controls addressing jackpot and credit meter payouts that are not paid directly from a slot machine, electronic wagering terminal or fully automated electronic gaming table. The internal controls shall be submitted to and approved by the Board under § 465a.2 (relating to internal control systems and audit protocols).
(b) The internal control procedures must, at a minimum, include:
(1) The use of a two-part
electronically generated jackpot/credit meter payout slip created by a slot
attendant or slot supervisor or higher slot operations department employee,
verifying the winning wager or winning combination of characters or a code
corresponding to the winning combination of characters on the slot machine,
electronic wagering terminal or fully automated electronic gaming table and the
amount of the jackpot or credit meter payout based on the observed winning
wager or winning combinations.
(2)
A requirement that if the jackpot or credit meter payout on a slot machine is
equal to or between $1,200 and $9,999.99, a security department member or a
slot operations department member other than the preparer shall sign the
jackpot/credit meter payout slip verifying the winning combination of
characters or a code corresponding to the winning combination of characters on
the slot machine, the amount of the jackpot or credit meter payout and the
payment of the jackpot or credit meter payout to the patron. Notwithstanding
the forgoing, if the licensee's slot or casino management system can
independently verify a jackpot or credit meter payout, only the preparer is
required to sign the jackpot/credit meter payout slip for payouts less than or
equal to $4,999.99 provided that the slot machine licensee's internal control
reflect the following:
(i) If the slot machine
licensee's slot or casino management system or the central control computer
system are not fully operational, or when overrides or adjustments are
required, two individuals shall verify a jackpot or credit meter payout that is
equal to or between $1,200 and $9,999.99 as specified in this
paragraph.
(ii) Jackpot payouts
that are equal to or greater than $1,200 shall be accompanied by the issuance
of a W-2G Form.
(3) A
requirement that if the jackpot or credit meter payout is equal to or between
$10,000 and $24,999.99 on a slot machine, or between $5,000 and $24,999.99 on a
fully automated electronic gaming table or electronic wagering terminal, a
security department member, a slot supervisor or other employee holding the
same or greater level of authority than a slot supervisor shall sign the
jackpot/credit meter payout slip verifying the winning wager or winning
combination of characters or a code corresponding to the winning combination of
characters on the slot machine, electronic wagering terminal or fully automated
electronic gaming table, the amount of the jackpot or credit meter payout, and
the payment of the jackpot or credit meter payout to the patron. If the
two-part electronically generated jackpot/credit meter payout slip required
under paragraph (1) is created by a slot supervisor or higher slot operations
department employee, the verification required by this paragraph may be
completed by a slot attendant, security department member, a slot supervisor or
other employee holding the same or greater level of authority as a slot
supervisor.
(4) A requirement that
if the jackpot or credit meter payout on a slot machine, electronic wagering
terminal or fully automated electronic gaming table is $25,000 or more, a slot
supervisor or other employee holding the same or greater level of authority as
a slot supervisor shall sign the jackpot/credit meter payout slip verifying the
winning wager or winning combination of characters or a code corresponding to
the winning combination of characters on the slot machine, electronic wagering
terminal or fully automated electronic gaming table, the amount of the jackpot
or credit meter payout, and the payment of the jackpot or credit meter payout
to the patron. If the two-part electronically generated jackpot/credit meter
payout slip required under paragraph (1) is created by a slot supervisor or
higher slot operations department employee, the verification required by this
paragraph may be completed by a slot attendant, security department member, a
slot supervisor or other employee holding the same or greater level of
authority as a slot supervisor.
(5)
A requirement that the following information be on all two-part electronically
generated jackpot/credit meter payout slips:
(i) The date and time of the jackpot or
credit meter payout.
(ii) The asset
number of the slot machine, electronic wagering terminal or fully automated
electronic gaming table on which the jackpot or credit meter payout was
registered.
(iii) The winning wager
or winning combination of characters constituting the jackpot or a code
corresponding to the winning combination of characters constituting the
jackpot.
(iv) The type of win (that
is, progressive, jackpot or credit meter payout).
(v) The amount that is to be paid to the
winning patron. This amount may, at the slot machine licensee's discretion, be
rounded up to the nearest whole dollar.
(vi) A unique number generated by the slot
monitoring system.
(vii) The
signature or, if the slot accounting system has approved controls for access to
the system, the electronic authorization of the preparer.
(viii) The signature or, if the slot
accounting system has appropriate controls for access, the electronic
authorization of the witness when the amount is equal to or greater than
$1,200, except as provided in paragraph (2).
(ix) The signature or identification code of
the cashier providing the funds to the preparer, if applicable.
(6) A requirement that the
two-part electronically generated jackpot/credit meter payout slip not be
susceptible to any changes or deletion from the slot monitoring system by any
personnel after preparation.
(7) A
requirement that whenever a winning patron is paid directly by a slot
attendant's imprest fund, a two-part manual jackpot/credit meter payout slip is
completed that contains the following information:
(i) The date and time of the jackpot or
credit meter payout.
(ii) The asset
number of the slot machine, electronic wagering terminal or fully automated
electronic gaming table on which the jackpot or credit meter payout was
registered.
(iii) The winning wager
or winning combination of characters constituting the jackpot or a code
corresponding to the winning combination of characters constituting the
jackpot.
(iv) The type of win (that
is, progressive, jackpot or credit meter payout).
(v) The amount paid to the winning patron.
This amount may, at the slot machine licensee's discretion, be rounded up to
the nearest whole dollar.
(vi) The
signature and Board-issued credential number of the preparer.
(vii) The signature and Board-issued
credential number of the witness when the amount is equal to or greater than
$1,200, except as provided in paragraph (2).
(8) When jackpot or credit meter payouts are
made from slot attendants' imprest funds, procedures for the replenishment of
the imprest funds and the reconciliation process to be used by the slot
attendants.
(9) A requirement that
the slot machine licensee's accounting department perform, at the conclusion of
each gaming day, effective audit procedures over the issuance of jackpot and
credit meter payouts including adequate comparisons to the slot monitoring
system.
(10) Detailed procedures on
the processing of all system overrides or adjustments to jackpot or credit
meter payouts. All jackpot or credit meter payouts that do not match the payout
amount electronically sent from the slot machine, electronic wagering terminal
or fully automated electronic gaming table to the slot monitoring system
require an override.
(11) Detailed
procedures for the processing of all voided jackpot/credit meter payout
slips.
(12) Detailed procedures for
the processing of unclaimed taxable jackpot payouts. The procedures must
include notice to the casino compliance representatives at the licensed
facility when an unclaimed taxable jackpot payout or credit meter payout
occurs.
(13) Back-up procedures
that will be used when the slot monitoring system is offline or an electronic
jackpot payout slip cannot be created, including the use of a three-part manual
jackpot or credit meter payout book or equivalent. The three-part manual
jackpot payout book or equivalent must contain preprinted, serial numbered
three-part manual jackpot/credit meter payout slips that include the following
information:
(i) Preprinted serial
numbers.
(ii) The date and time of
the jackpot or credit meter payout.
(iii) The asset number of the slot machine,
electronic wagering terminal or fully automated electronic gaming table on
which the jackpot or credit meter payout was registered.
(iv) The amount of the jackpot or credit
meter payout.
(v) The method of
payment requested by the patron.
(vi) The signature and Board-issued
credential number of the preparer.
(vii) The signature and Board-issued
credential number of the witness when the amount is equal to or greater than
$1,200.
(14) A
requirement that the unused manual jackpot payout books or equivalent be
maintained in a secured locked cabinet, that the key to the cabinet be
controlled by the security department or the finance department and that the
manual jackpot payout books or equivalent can only be signed out by a slot
supervisor or other employee holding a greater level of authority when the slot
monitoring system is offline.
(15)
A requirement that the surveillance department be verbally notified of all
jackpot or credit meter payouts when the amount of the jackpot or credit meter
payout is $5,000 or more. The surveillance department shall log all calls
regarding jackpot or credit meter payouts in the surveillance log.
The provisions of this § 465a.26 amended under 4 Pa.C.S. §§ 1202(b)(15) and (30), 1207, 1212, 13A 02(1)-(6), 13A25, 13A26(c), 13A62(a), 1322, 1509, 1516, 1518(a)(13) and 1602.
This section cited in 58 Pa. Code § 465a.16 (relating to accounting controls for the cage); 58 Pa. Code § 465a.27 (relating to annuity jackpots); and 58 Pa. Code § 465a.28 (relating to merchandise jackpots).
Disclaimer: These regulations may not be the most recent version. Pennsylvania may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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