N.Y. Comp. Codes R. & Regs. tit. 9 § 5122.1

Current through Register Vol. 46, No. 45, November 2, 2024

Section 5122.1 - Capital investments accounts

(a) Requirements. In accordance with the act, each video lottery gaming agent shall maintain a segregated capital investments account. The funds from such account shall be used exclusively for capital project investments to improve the facilities of the video lottery gaming agent that promote or encourage increased attendance at the video lottery gaming facility, including, without limitation, hotels, other lodging facilities, entertainment facilities, retail facilities, dining facilities, events arenas, parking garages and other improvements that enhance the facility amenities; provided that such capital investments shall be subject to approval by the commission and that such video lottery gaming agent demonstrates that such capital expenditures will increase patronage at such agent's facilities and increase the amount of revenue generated to support State education programs.

(b) Divestment. Any agent that has received a vendor's capital award or has withdrawn funds from its capital investments account that divests the capital improvement toward which the award or withdrawn funds was applied, prior to the full depreciation of the capital improvement, in accordance with generally accepted accounting principles, or ceases to use such asset for gaming purposes or transfers such asset to a related party, shall deposit into the capital investments account amounts equal to the total of any such awards or withdrawals from the capital investments account or the fair market value of such asset, as Tax Law section 1612(b)(1-a)(iii) may require.

(c) Commission supervision. All such capital improvement and expenditures shall be subject to the overall supervision of the commission.

N.Y. Comp. Codes R. & Regs. Tit. 9 § 5122.1

Amended New York State Register November 24, 2021/Volume XLIII, Issue 47, eff. 11/24/2021