Section 296-13.006 - RESERVE REQUIREMENT - SPORT BETTING13.006.01 Each Authorized Gaming Operator must submit a plan to maintain a reserve in the amount necessary to ensure the security of funds held in patron accounts to protect patrons against defaults in payment of winnings owed by the holder of an Authorized Gaming Operator License. All plans and any changes thereto will require Commission approval.13.006.02 The reserve must be in the form of: 13.006.02A Cash or cash equivalents maintained in a Nebraska bank account segregated from the Authorized Gaming Operator's operational funds. Cash equivalents are defined as all highly liquid investments with an original maturity of 3 months or less;13.006.02B An irrevocable letter of credit from a bank located either in the State of Nebraska or at a minimum charted in the State of Nebraska;13.006.02D Payment processor reserves and receivables;13.006.02E Any other form acceptable to the Commission; or13.006.02F Any combination of the allowable forms described in paragraphs (i) to (v).13.006.03 The reserve must be not less than the greater of twenty-five thousand dollars ($25,000.00) or the sum of the following amounts:13.006.03A The daily ending cashable balance of all patron accounts;13.006.03B Pending withdrawals from patron accounts;13.006.03C Amounts accepted by the Authorized Gaming Operator on sports wagers whose outcomes have not been determined; and13.006.03D Amounts owed but unpaid on vouchers and winning sports wagers through the period established by the Authorized Gaming Operator for honoring vouchers and winning sports wagers.13.006.04 Funds held in patron accounts must not be automatically transferred by an Authorized Gaming Operator. An Authorized Gaming Operator must not require a patron to transfer funds from his or her patron account, in order to circumvent this rule.13.006.05 Amounts available to patrons for play that are not redeemable for cash may be excluded from the reserve computation.13.006.06 An Authorized Gaming Operator must have access to all patron account and transaction data to ensure the amount of its reserve is sufficient. Unless otherwise directed by the Commission, an Authorized Gaming Operator must file a monthly attestation with the Commission, in the form and manner prescribed by the Commission, that funds have been safeguarded under this rule.13.006.07 The Commission may audit an Authorized Gaming Operator's reserve at any time and may direct an Authorized Gaming Operator to take any action necessary to ensure the purposes of this rule are achieved, including but not limited to requiring the Authorized Gaming Operator to modify the form of its reserve or increase the amount of its reserve.296 Neb. Admin. Code, ch. 13, § 296-13.006
Adopted effective 5/16/2022Amended effective 2/1/2023