Sec. 36.03.10.36. Promotional Play

A. A facility operator may:

(1) Issue promotional play if it is not awarded as cashable credit; and

(2) Utilize a promotional play system meeting the requirements of this subtitle.

B. A facility operator may not issue to a player promotional play equaling or exceeding $5,000 per gaming day without approval from the chief executive or the chief executive’s designee.

C. A facility operator shall immediately report to the Commission evidence that a promotional play instrument has been counterfeited, tampered with, or altered in any way which would affect the integrity, fairness, or reliability of the promotional play instrument.

D. A facility operator shall submit to the Commission in a form and in accordance with a time frame specified by the Commission a quarterly report summarizing:

(1) Promotional play awarded for the period including:

(a) Total amount in promotional play awarded in noncashable credits; and

(b) Other forms of promotional play; and

(2) Promotional play redeemed by players for the period including:

(a) Total amount in promotional play redeemed in noncashable credits; and

(b) Other forms of promotional play redeemed.

E. A facility operator shall develop and include in the internal controls submitted to and approved by the Commission under Regulation .05 of this chapter procedures addressing:

(1) Methods utilized to:

(a) Issue promotional play; and

(b) Redeem promotional play; and

(2) A promotion play instrument including a requirement that it document:

(a) Name or trade name of the facility operator;

(b) Amount in noncashable credits;

(c) Unique series number automatically generated by the promotional play system;

(d) Locations where a promotional instrument may be redeemed and any restrictions applicable to redemption;

(e) A bar code or magnetic strip which enables the promotional play system to identify the numeric information required by this section; and

(f) Notice to the player of the terms of expiration.

F. Limitation on Free Promotional Play.

(1) Through the first full fiscal year of a facility’s operations, the proceeds of a facility excludes money given away by a licensee as free promotional play and used by players to bet in a video lottery terminal or at a table game.

(2) After the first full fiscal year of a facility’s operations, the amount of money given away as free promotional play in a fiscal year may not exceed a percentage of the facility’s proceeds received in the prior fiscal year under State Government Article, §9-1A-27(a)(2), (c)(1)(ii), and (d)(1), Annotated Code of Maryland, that equates to 20 percent of total video lottery terminal and table game proceeds the facility generated in the prior fiscal year.

(3) An amount of money given away as free promotional play in a fiscal year exceeding the percentage defined in §F(2) of this regulation of the facility’s proceeds of the prior fiscal year shall be allocated as proceeds under State Government Article, §9-1A-27, Annotated Code of Maryland.

G. No later than 90 days after the end of the fiscal year, a facility operator shall submit to the Commission a written:

(1) Report of its use of free promotional play during the prior fiscal year; and

(2) Recommendation for any adjustment to the limitation on free promotional play established under §F(2) of this regulation.

H. For purposes of §§F and G of this regulation, “fiscal year” means the fiscal year of the facility operator.