Acts and Regulations

2008-112 - Video Lottery Scheme

Full text
Current to 1 January 2024
NEW BRUNSWICK
REGULATION 2008-112
under the
Gaming Control Act
(O.C. 2008-396)
Filed September 22, 2008
Under section 26 of the Gaming Control Act, the Lieutenant-Governor in Council makes the following Regulation:
Citation
1This Regulation may be cited as the Video Lottery Scheme Regulation - Gaming Control Act.
Definitions
2The following definitions apply in this Regulation.
“Act” means the Gaming Control Act.(Loi)
“ALC” Repealed:  2019, c.31, s.4
“approved premises” means premises licensed for the sale of liquor and that are occupied by a registered video lottery siteholder under the Video Lottery Siteholder Regulation - Gaming Control Act. (locaux approuvés)
“casino” means a casino operated by a person under an agreement with the Corporation.(casino)
“casino market area” means the area within an 80 kilometre radius within New Brunswick of a casino located in the Province.(zone de marché d’un casino)
“Corporation” Repealed: 2022-34
“manufacturer” includes(fabricant)
(a) the manufacturer of a component of a video gaming device that is essential to the gaming qualities of the device, and
(b) a person who assembles a video gaming device, unless doing so as the employee of another person.
“net income” means the money accepted by a video gaming device less the value of the unused or accumulated credits withdrawn from it. (revenu net)
“siteholder” means an occupier of approved premises. (maître des lieux)
“video lottery scheme” means any lottery scheme authorized under the Criminal Code (Canada) that utilizes video gaming devices. (système de loterie vidéo)
2009-16; 2019, c.31, s.4; 2022-34
ALC to conduct and manage video lottery scheme
3ALC may conduct and manage a video lottery scheme in accordance with an agreement under paragraph 7(d) of the Act.
Approval of Corporation
4All games played in a video lottery scheme shall be of a type approved by the Corporation.
Advertising and promotion
5All advertising and promotion of the following requires the approval of the Corporation:
(a) a video lottery scheme; or
(b) the availability in any place of a video gaming device.
Characteristics of video gaming device
6ALC shall ensure that a video gaming device used in a video lottery scheme has the following characteristics:
(a) it divides all money it accepts into credits denominated in 25 cent, 10 cent or 5 cent values;
(b) it accepts a wager of one credit;
(c) it does not expose a player to the risk of losing at any one time credits of a total value exceeding $2.50;
(d) it permits a player at any time to withdraw for payment or reimbursement any accumulated or unused credits;
(e) it dispenses to a player who withdraws credits a ticket showing the state of the account as between the player and ALC;
(f) it does not award a prize exceeding $2,500 in value for any one game;
(g) it does not pay prizes in cash; and
(h) it is programmed to award as prizes not less than 80% and not more than 96% of the credits wagered.
2022-34
Approval of video gaming device
7(1)ALC may approve a video gaming device offered to it for use in a video lottery scheme if it is satisfied that the video gaming device
(a) only plays games of a type approved by the Corporation,
(b) has the characteristics described in section 6,
(c) has come to ALC from a manufacturer, and through distributors, if any, who
(i) are on an approved list established by ALC, or
(ii) ALC is otherwise satisfied are reputable,
(d) is capable of integration with the system used by ALC to operate a video lottery scheme, and
(e) is otherwise suitable for use by ALC in a video lottery scheme.
7(2)ALC shall not include on an approved list established for the purposes of paragraph (1)(c) any manufacturer or distributor that does not grant ALC sufficient access to its books and records to enable ALC to satisfy itself that the manufacturer or distributor is reputable.
7(3)ALC shall affix a decal to an approved video gaming device before the device is placed on a siteholder’s premises.
Acquisition and placement of video gaming device
2022-34
8(1)ALC may acquire video gaming devices and may provide them, in such manner as the Corporation considers appropriate, to siteholders.
8(2)ALC may, in accordance with the strategies and policies established by the ALC and approved by the Corporation, place video gaming devices in approved premises.
2022-34
Agreements with siteholders
9(1)Subject to this Regulation, ALC may, subject to any terms and conditions established by it, enter into an agreement with a siteholder for the placement of a video gaming device in the approved premises occupied by the siteholder.
9(2)ALC shall not place a video gaming device in a siteholder’s premises unless it enters into an agreement with that siteholder under subsection (1) before such placement.
9(3)ALC shall not enter an agreement under subsection (1) unless the premises in which video gaming devices are placed are approved premises and the number of video gaming devices does not exceed 75.
9(4)ALC shall not enter into or continue an agreement under subsection (1) with a siteholder who
(a) manufactures, sells or owns video gaming devices, or
(b) has family or commercial connections that would be harmful, in ALC’s opinion, to the operation, integrity or reputation of a video lottery scheme.
9(5)Where a siteholder is a partnership or corporation, ALC may enter into an agreement under subsection (1) if, in ALC’s opinion, the requirements for a siteholder under subsection (3) are met by the individuals who have substantial control of the operation of the partnership or corporation.
9(6)ALC shall ensure that an agreement under subsection (1) provides for the following:
(a) the siteholder shall, on presentation of any ticket dispensed by the video gaming device to which the agreement relates, pay or reimburse the value of the accumulated or unused credits stated on the ticket; and
(b) the siteholder is entitled to receive the percentage of the net income of that device as approved by the Corporation.
9(7)ALC shall ensure that it may terminate the agreement if, during the course of an agreement,
(a) the premises cease to be approved premises, or
(b) the siteholder ceases to meet the requirements of subsection (4).
9(8)ALC shall ensure that it may suspend or terminate an agreement under this section where, during the course of the agreement,
(a) the siteholder makes available for use on the siteholder’s premises a video gaming device that is not approved by ALC,
(b) the siteholder makes available for use on the siteholder’s premises a video gaming device that ceases to meet the requirements in paragraphs 7(1)(a) to (e), or
(c) the siteholder makes available for use on the siteholder’s premises a video gaming device to which a decal has not been affixed by the Corporation under subsection 7(3).
2009-16; 2022-34
Number of video gaming devices in approved premises
10(1)ALC shall ensure that no video gaming devices are placed in premises in respect of which only a dining room licence under the Liquor Control Act has been issued.
10(2)ALC may place up to a maximum of 75 video gaming devices in an approved premises.
2009-16; 2019-42; 2022-34
Commissions to siteholders
11(1)The amount of commission that is payable by ALC to a siteholder is an amount equal to the percentage of the net income of each video gaming device located in the siteholder’s premises that is approved by the Corporation.
11(2)The amount of a commission referred to in subsection (1) includes the tax payable under subsection 165(1) of the Excise Tax Act (Canada).
2009-16; 2019-42; 2022-34
General restrictions
2009-16
11.1ALC shall ensure that
(a) not more than 275 approved premises have video gaming devices;
(b) not more than 2000 video gaming devices are placed in approved premises;
(c) not more than 20 approved premises have a minimum of 25 to a maximum of 75 video gaming devices;
(d) Repealed: 2022-34
(e) within a casino market area, not more than 400 video gaming devices are placed in approved premises.
2009-16; 2019-42; 2022-34
Termination of agreement
12(1)ALC shall ensure that it may terminate an agreement with a siteholder for any breach of this Regulation or the Video Lottery Siteholders Regulation - Gaming Control Act or for any breach of the agreement.
12(2)ALC shall ensure that it may suspend an agreement with a siteholder if, in ALC’s opinion, continuation of the agreement would be contrary to the public interest or harmful to the integrity or reputation of a video lottery scheme.
Production of records
13ALC shall, when requested to do so by the Auditor General, produce such books, documents or financial statements as are necessary for the Auditor General to be satisfied that ALC is complying with the provisions of this Regulation
Commencement
14This Regulation comes into force on October 1, 2008.
N.B. This Regulation is consolidated to June 22, 2022.