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Games must be placed in an active alcohol licensed establishment or truck stop by June 30, 2020. Games must be registered with VA ABC Authority by July 7, 2020.

We can assist with the following:
• Registering Games by July 7, 2020.
• Monthly reporting of game operations to VA ABC Authority.
• Surety Bond assistance.
• Game performance analysis.
• Relocation request of games that need to be moved during the year.







Registered skill games may be relocated to another qualified location but only after permission is granted from the VA ABC Authority. All registered skill game machines should have been registered to a truck stop or an alcohol licensed location. Distributors are allowed to relocate up to 20% of their registered games within the first 60 days of July 1, 2020. Distributors may relocate another 20% of games between the months of September and June 2021.

Registered skill games may be placed in an "Out of Service" status due to malfunction or for service maintenance. The distributor should obliterate the labels on any machines being taken out of service. Skill Game machines taken out of service will not be subject to the monthly taxes that are required to be collected only if they have not been in service for at least one day during the month.

If you need assistance relocating skill game machines in Virginia, we can assist you. Visit www.VAGamingCompliance.com for more details or email James@VAabc.com.

Games that are in service for play for even 1 day during a month is subject to the $1,200.00 tax. This tax is due by the 20th of the following month. All games that were registered by the July 7, 2020 deadline is subject to the tax due August 20, 2020. We can assist you with filing your monthly skill game report. Games that are "Out of Service" will not be counted toward the 20% relocation UNTIL they are ready to be placed into a qualified location.



Every Skill Game Distributor shall provide a monthly report detailing the total wagered and total awarded. This monthly report must be submitted for every skill game registered in Virginia.

Starting in the month of August 2020 and each month thereafter, these categories along with all the other categories in the monthly report shall be filled out and submitted by the 20th of each month.

If you would like assistance filing your monthly skill game report contact us at www.vagamingcompliance.com or submit your online form here.

8 is the maximum number of games that may be registered and placed in an alcohol licensed establishment, with an exception of 24 in truck stops.

Skill games may be placed in any business that has an active VA alcohol license.

Alcohol licensing in Virginia is a process that requires a 30 day objection period also known as the Posting & Publishing.  Publishing is the legal publication that a license has been applied for and the Posting is a public NOTICE posting on the business property.  The 30 day objection period begins when the first of two legal publications run in the local newspaper. Any objectors must submit their objection in writing to the VA ABC Authority within 30 days of the first legal publication.When ABC Consulting processes your alcohol license we can in most cases have a license approved in 35-40 days from the legal publication date.

We work diligently to ensure all necessary supporting documents needed for alcohol license approval is reviewed for errors and corrected prior to document submission. We are a team of Former Special Agents from the VA ABC Authority Enforcement Division. We are experts in our field. We handle the attention to details, while you execute your vast vision of business success.

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Applying for a Virginia alcohol license can be a daunting tedious task. First you should determine what license type you will qualify for. In VA, there are many different alcohol license types. Once you determine the best license type for your business find a location to conduct your business. Upon finding a location then form a company/entity with the VA State Corporation Commission (VA SCC), (Insert a link to the VC SCC online form) after forming/registering your legal entity then apply for your Federal Employer Identification Number (FEIN) (make this a link as well) with the IRS. Upon finding a location, registering your entity and obtaining your FEIN you may then begin the application process for a VA ABC License.

All VA ABC Applications are initially processed at the VA ABC Authority headquarters in Richmond, VA. Once they pass review in Richmond, the application is then passed to 1 of 9 regional ABC offices in the state for agent review. Upon site inspection and completion of agent investigation the license is approved. Our experts ensure your license application is completed accurately and that you are prepared for your on-site inspection resulting in a quick license approval.

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Games of skill require a physical or mental ability and a learned capacity to carry out a result. These games commonly include the use of strategy, tactic, physical coordination, strength, technical expertise, or knowledge.

Games of chance are games with an outcome strongly influenced by random chance or uncertainty. Common randomization devices include dice, playing cards, or numbered balls drawn from a container.

Games of chance may have some skill, and games of skill may have some chance, however, most U.S. courts use either the predominance test or the material element test to look at the role that skill and chance each take in determining the outcome of the game.

§ 18.2-325. Definitions.

"Illegal gambling" means the making, placing, or receipt of any bet or wager in the Commonwealth of money or other consideration or thing of value, made in exchange for a chance to win a prize, stake, or other consideration or thing of value, dependent upon the result of any game, contest, or any other event the outcome of which is uncertain or a matter of chance, whether such game, contest, or event occurs or is to occur inside or outside the limits of the Commonwealth.

• Elements of Gambling
• You must place a bet
• Have the Opportunity to win a prize
• Outcome is a matter of Chance.

Skilled games require the player to do something to play the game other than spin the wheel.

The predominance test is the most commonly used indicator of whether a game is skill- or chance-based. Under this test, one must envision a continuum with pure skill on one end and pure chance on the other. On the continuum, games such as chess would be almost at the pure skill end, while traditional slot machines would be at the pure chance end. Between these ends of the spectrum lie many activities containing both elements of skill and chance. A game is classified as a game of skill if the game falls predominantly closer to the skill end of the continuum.

The material element test is the second most commonly used test in the U.S. and is relied upon by 8 states to evaluate whether a game is skill or chance based. The test asks the question of whether chance plays a material role in determining a game’s outcome. As an example, in games like Minesweeper, a great deal of skill is generally exercised by players, but there are moments when players are forced to guess at random, with the results of that guess determining the winner and loser of the game. Skill predominates but chance plays the material role in determining the game’s outcome.

The Dominant Factor Test (also known by several variants such as the Dominant Principle Test or Dominant Element Theory) is the principle that most U.S. jurisdictions (states or territories) use in determining, legally, what is and is not gambling.[1] The California Supreme Court said:

The term 'game of chance' has an accepted meaning established by numerous adjudications. Although different language is used in some of the cases in defining the term, the definitions are substantially the same. It is the character of the game rather than a particular player's skill or lack of it that determines whether the game is one of chance or skill. The test is not whether the game contains an element of chance or an element of skill but which of them is the dominating factor in determining the result of the game.[2]

The principle is currently the basis for numerous litigation cases around the United States as it relates to poker. Poker is acknowledged to possess two of the three criteria often associated with gambling. Namely, that the player risks something (consideration) in order to potentially gain something (reward). Generally, it is the third element, chance, that is disputed. As there is no doubt that an element of chance exists in all endeavors, most states have used the Dominant Factor Test when determining if a game is primarily a game of skill or a game of chance.

https://www.gambling-law-us.com/state-gambling-laws/

Virginia does use the Dominant Factor Test to determine Gambling.

 


 

What is a “skill game”?
HB 881 defines a skill game as an electronic, computerized, or mechanical contrivance, terminal, machine, or other device that requires the insertion of a coin, currency, ticket, token, or similar object to operate, activate, or play a game, the outcome of which is determined by any element of skill of the player and that may deliver or entitle the person playing or operating the device to receive cash; cash equivalents, gift cards, vouchers, billets, tickets, tokens, or electronic credits to be exchanged for cash; merchandise; or anything of value whether the payoff is made automatically from the device or manually. The bill exempts family entertainment centers from the prohibition against the playing or offering of any skill game, provided the prize won or distributed to a player by the skill games offered by such centers is a noncash, merchandise prize or a voucher, billet, ticket, token, or electronic credit redeemable only for a noncash, merchandise prize that also meets certain other requirements.

Are “skill games” considered illegal gambling?
No, illegal gambling means the making, placing, or receipt of any bet or wager in the Commonwealth of money or other consideration or thing of value, made in exchange for a chance to win a prize, stake, or other consideration or thing of value, dependent upon the result of any game, contest, or any other event the outcome of which is uncertain or a matter of chance, whether such game, contest, or event occurs or is to occur inside or outside the limits of the Commonwealth.

Why is Virginia allowing “skill games”?  
In the state treasury a special non-reverting fund to be known as the COVID-19 Relief Fund, referred to in this section as "the Fund." The Fund shall be established on the books of the Comptroller. All funds appropriated to the Fund and any gifts, donations, grants, bequests, and other funds received on its behalf shall be paid into the state treasury and credited to the Fund. Interest earned on moneys in the Fund shall remain in the Fund and be credited to it. Any moneys remaining in the Fund, including interest thereon, at the end of each fiscal year shall not revert to the general fund but shall remain in the Fund. Moneys in the Fund shall be used by the Governor solely for the purposes of responding to the Commonwealth's needs related to the Coronavirus Disease of 2019 (COVID-19) pandemic. Expenditures and disbursements from the Fund shall be made by the State Treasurer on warrants issued by the Comptroller upon written request signed by the Governor or his designee.

What is the difference in coin-operated amusement games and skill games?
Coin-operated amusement games" means games that do not deliver or entitle the person playing or operating the game to receive cash; cash equivalents, gift cards, vouchers, billets, tickets, tokens, or electronic credits to be exchanged for cash; or merchandise or anything of value. Skill games on the other hand do have a payoff of something in value.

What businesses are authorized to have skill games?
3 VAC 5-80-40. The provisions of this Chapter shall only apply to ABC retail licensees in good standing that possess a valid Authority retail license issued by the Board pursuant to Title 4.1 of the Code of Virginia and the regulations applicable to any such retail license and truck stops meeting the definition in 3VAC 5-80-20.

How many skill games can I have at my business? 
No distributor or operator shall locate more than eight (8) skill game machines at any ABC retail licensed establishment or more than twenty-four (24) skill game machines at any truck stop.

How do I register my skill games in Virginia?
By July 7, 2020, to officially register the devices, a Registration Statement Form must be filed listing all the locations and number of machines distributed throughout the Commonwealth. This must indicate the number of machines in all Active ABC Licensed establishments or truck stops as of June 30, 2020. Finally, proof of the posted bond is required before issuing required skill game labels.  

What if my device allows for multiple players?
Is that considered one game? No, each terminal of a skill game machine where a player may play a game shall constitute a game made available for play, regardless of whether it is a standalone terminal or a terminal that is part of a skill game machine that has multiple terminals. If your device allows for 6 terminals or players then that would count as 6 skill games and taxed accordingly. 

How much will I be taxed to have skilled games?
All skill games initially registered by a distributor pursuant to 3VAC 5-80-50 shall be subject to the taxation requirements of the second enactment of Chapter 1217 and 1277 of the 2020 Virginia Acts of Assembly, i.e. $1,200 for each skill game located in the Commonwealth during the previous month by a distributor, which tax shall be remitted to the Department of Taxation no later than August 20, 2020.

Note: All initial games registered by July 07, 2020 will have due a tax of $1,200 per machine on August 20, 2020.

Is it possible to move gaming devices from one location to another?
3VAC 5-80-80. Skill game machines may be relocated from one qualified location to another qualified location or warehoused and subsequently placed in a qualified location, provided however, from July 1, 2020 through September 1, 2020, a distributor may not relocate skill game machines in excess of 20% of the total number of skill games initially registered and available for play on June 30, 2020. Additionally, from September 2, 2020 through July 1, 2021 a distributor may not relocate skill game machines in excess of 20% of the total number of skill games initially registered and available for play on June 30, 2020 by any distributor.

Can a store owner or location owner register as a distributor?
Yes, if you have purchased the skill game from a manufacture and are responsible for onsite data collection and accounting you can register as a distributor.

Will I still be able to use skill games that are not registered after July 7, 2020?
No, 3VAC 5-80-50, each operator or distributor shall file a registration statement with the Authority, Bureau of Law Enforcement.  After this date any device not registered shall be considered an illegal gambling device 

When do I have to pay the tax on each skill game?
All skill games initially registered by a distributor pursuant to 3VAC 5-80-50 shall be subject to the taxation requirements of the second enactment of Chapter 1217 and 1277 of the 2020 Virginia Acts of Assembly, i.e., $1,200 for each skill game located in the Commonwealth during the previous month by a distributor, which tax shall be remitted to the Department of Taxation no later than August 20, 2020. Note: All initial games registered by July 07, 2020 will have due a tax of $1,200 per machine on August 20, 2020.

When do distributors turn in the skill game monthly reports?
3VAC 5-80-50. Each distributor shall, no later than the 20th of the succeeding month file with the Authority, Bureau of Law Enforcement on such form prescribed by the Authority the following requisite information.

Do all skill games need to have a label or sticker?
Yes, 3VAC 5-80-60. No later than July 20, 2020 the distributor of each skill game placed in an ABC retail licensed establishment or truck stop which they have registered pursuant to 3VAC 5-80-50 shall cause to be adhered to each skill game a label as prescribed by the Authority, Bureau of Law Enforcement. The Authority shall provide the required labels.  All labels shall be adhered on the side of all skill games in a conspicuous and visible location to the Authority, its law enforcement agents, and players of the game. Any skill game without the requisite label adhered to the skill game machine by July 20, 2020, shall be in violation of this chapter. Each distributor shall provide a monthly report on July 20, 2020 certifying the location of each label and machine.

If I have a multi-player game and dismantle the ability for it to function in this way or lower the number of players.  For example removing the money dispenser.  How will I be taxed?
The $1,200-dollar tax will be required for each terminal that provides a game for play.  If that terminal is dismantled then payment should only be for the number of terminals that allow for playing the game. For example, you have a 6 person table top game. You remove or dismantle the ability of two of the terminals or payment ability. This leaves 4 remaining functioning terminals, so the tax will be 4x$1,200 that is owed each month.  

Do all skill games that are registered by July 07, 2020 have to have been available for play in an active Virginia ABC Retail licensed establishment or truck stop on June 30, 2020?
Yes, all skill games that are registered have to have been available for play in an active Virginia ABC Retail Licensed establishment or truck stop on June 30, 2020.

How old must a person be to play skill games?
No person under the age of eighteen (18) shall be eligible to play any skill game. 

If a skill game is only in operation for part of a month, will I still be required to pay the monthly tax of $1,200?
Yes, if the game is in operation for any part of any day within a month you will be required to pay the $1,200 tax.

SOURCE: VA Alcoholic Beverage Control Authority




Learn more regarding skill gaming in VA by reading below:

CHAPTER 80
GAMES OF SKILL


3VAC5-80-10. Scope.

In conformance with Chapters 1217 and 1277 of the 2020 Acts of Assembly, this chapter adopts regulations relating to "games of skill." This chapter expires on July 1, 2021, subject to the provisions of 3VAC5-80-170.


3VAC5-80-20. Definitions.
The following words and terms when used in this chapter shall have the following meanings unless context clearly indicates otherwise:

"Authority" means the Virginia Alcohol Beverage Control Authority as established in § 4.1-101 of the Code of Virginia.

"Board" means the Board of Directors of the Virginia Alcoholic Beverage Control Authority.

"Coin operated amusement games" means games that do not deliver or entitle the person playing or operating the game to receive cash; cash equivalents, gift cards, vouchers, billets, tickets, tokens, or electronic credits to be exchanged for cash; or merchandise or anything of value.

"COVID-19 relief fund" means the fund established in § 2.2-115.1 of the Code of Virginia.

"Distributor" shall mean any person that (i) manufactures and sells skill games, including software and hardware, and distributes such devices to an ABC retail licensee or truck stop or (ii) purchases or leases skill games from a manufacturer and provides such devices to an ABC retail licensee or a truck stop, or that otherwise maintains such games and is otherwise responsible for onsite data collection and accounting.

"Family entertainment center" means an establishment that (i) is located in a building that is owned, leased, or occupied by the establishment for the primary purpose of providing amusement and entertainment to the public; (ii) offers coin operated amusement games and skill games pursuant to the exclusion created by this regulation; and (iii) markets its business to families with children.

"Gambling device" means:

a. Any device, machine, paraphernalia, equipment, or other thing, including books, records, and other papers, that are actually used in an illegal gambling operation or activity;

b. Any machine, apparatus, implement, instrument, contrivance, board or other thing, or electronic or video versions thereof, including those dependent upon the insertion of a coin or other object for their operation, that operates, either completely automatically or with the aid of some physical act by the player or operator, in such a manner that, depending upon the elements of chance, it may eject something of value or determine the prize or thing of value to which the player is entitled; provided, however, that the return to the user of nothing more than additional chances or the right to use such machine is not deemed something of value within the meaning of this section and provided further that machines that only sell or entitle the user to items of merchandise of equivalent value that may differ from each other in composition, size, shape, or color shall not be deemed gambling devices within the meaning of this section.

"Skill" means the knowledge, dexterity, or any other ability or expertise of a natural person.

"Skill games" means an electronic, computerized, or mechanical contrivance, terminal, machine, or other device that requires the insertion, of a coin, currency, ticket, token, or similar object to operate, activate, or play a game, the outcome of which is determined by any element of skill of the player and that may deliver or entitle the person playing or operating the device to receive cash, cash equivalents, gift cards, vouchers, billets, tickets, tokens, or electronic credits to be exchanged for cash, merchandise, or anything of value whether the payoff is made automatically from the device or manually.

Each terminal of a skill game machine where a player may play a game shall constitute a game made available for play, regardless of whether it is a standalone terminal or a terminal that is part of a skill game machine that has multiple terminals.

"Truck stop" means an establishment (i) that is equipped with diesel islands used for fueling commercial motor vehicles; (ii) has sold, on average, at least 50,000 gallons of diesel or biodiesel fuel each month for the previous 12 months, or is projected to sell an average of at least 50,000 gallons of diesel or biodiesel fuel each month for the next 12 months; (iii) has parking spaces dedicated to commercial motor vehicles; (iv) has a convenience store; and (v) is situated on not less than three acres of land that the establishment owns or leases.


3VAC5-80-30. Exclusions from chapter, certain skill games offered at family  [ enterainment entertainment ] centers.
The provisions of this chapter shall not apply to coin operated amusement games located on family entertainment centers operated in accordance with § 18.2-334.5 of the Code of Virginia, nor shall such coin operated amusement games be considered a gambling device or otherwise unlawful pursuant to § 18.2-325 of the Code of Virginia.


3VAC5-80-40. Applicability of chapter.
The provisions of this chapter shall only apply to ABC retail licensees in good standing that possess a valid authority retail license issued by the board pursuant to Title 4.1 of the Code of Virginia and the regulations applicable to any such retail license or truck stops meeting the definition in 3VAC5-80-20.  [ For purposes of this section, a retail licensee is not in good standing if the license has been suspended or is inactive for any reason. ]


3VAC5-80-50. Initial registration and monthly reporting.
a. No later than July 7, 2020, each distributor shall file a registration statement with the authority, Bureau of Law Enforcement on such form that may be prescribed by the authority. The registration statement shall include all skill games that are available for play by the distributor filing the registration statement as of June 30, 2020. The registration statement shall include such information as may be prescribed by the authority. The registration statement shall include (i) the total number of skill games provided for play in Virginia by the distributor, (ii) the address of each location where skill games are provided for play in Virginia by the distributor, (iii) the total number of skill games provided for play by the distributor at each respective location, (iv) the total amount wagered during the previous month on each skill game provided for play in Virginia by the distributor at each respective location where the skill game was provided, (v) the total amount of prizes or winnings awarded during the previous month on each skill game provided for play in Virginia by the distributor at each respective location where the skill game was provided, and (vi) the name, address, and contact information of the individual person responsible for full and total compliance with this chapter and law and a statement that such individual shall be responsible for any penalty assessed for violations of this chapter or law applicable to the distributor of any skill game. Such individual shall certify that the initial registration is a true and accurate accounting of the information provided in the initial registration statement.
Failure to file the registration statement by July 7, 2020, shall result in the barring of any such games not registered. Any such game not included in the registration statement shall be considered an illegal gambling device.

b. Each distributor shall, no later than the 20th of the succeeding month file with the Authority Bureau of Law Enforcement on such form prescribed by the authority the following requisite information.
The monthly report shall include (i) the total number of skill games provided for play in Virginia by the distributor, (ii) the address of each location where skill games are provided for play in Virginia by the distributor, (iii) the total number of skill games provided for play by the distributor at each respective location, (iv) the total amount wagered during the previous month on each skill game provided for play in Virginia by the distributor at each respective location where the skill game was provided, (v) the total amount of prizes or winnings awarded during the previous month on each skill game provided for play in Virginia by the distributor at each respective location where the skill game was provided, and (vi) the name, address, and contact information of the individual person responsible for full and total compliance with this chapter and law and a statement that such individual shall be responsible for any penalty assessed for violations of this chapter or law applicable to the distributor of any skill game. Such individual shall certify that the monthly report is a true and accurate accounting of the information provided in the monthly report.

c. No distributor  [ or combination of distributors  ]  shall locate more than  [  six eight ]  skill game machines at any ABC retail licensed establishment or more than  [ 12 twenty-four ]  skill game machines at any truck stop.  [ No ABC retail licensee or truck stop shall exceed this maximum number of games. ]

d. Failure to file such form by the 20th of the month shall result in a civil penalty of at least $25,000 per incident. Each incident of noncompliance shall constitute a separate offense.


3VAC5-80-60. Labeling of skill game machines.
No later than July 20, 2020, the distributor of each skill game placed in an ABC retail licensed establishment or truck stop that they have registered pursuant to 3VAC5-80-50 shall cause to be adhered to each skill game a label as prescribed by the Authority Bureau of Law Enforcement. The authority shall provide the required labels. All labels shall be adhered on the side of all skill games in a conspicuous and visible location to the authority, its law enforcement agents, and players of the game. Any skill game without the requisite label adhered to the skill game machine by July 20, 2020, shall be in violation of this chapter.


3VAC5-80-70. Total number of skill games by any single distributor.
a. The total number of skill games provided for play in ABC retail establishments and truck stops shall not exceed the total number of such machines reported by a distributor to the authority as games provided for play as of June 30, 2020. Only those skill games that were provided by a distributor and available for play in ABC retail licensed establishments or truck stops as of June 30, 2020, and registered by the distributor by July 7, 2020, may continue to operate on or after July 1, 2020.

b. Any exceedance of the number of skill games machine determined by the authority shall result in a civil penalty of at least $25,000 per machine exceeding the total number of registered machines. Each day the violation continues shall constitute a separate offense. In addition, any such skill game machine exceeding the registered number or not baring the required label shall be deemed an illegal gambling device and may result in the loss of the authority issued retail license to sell or offer to sell alcoholic beverages.


3VAC5-80-80. Relocation of skill game machine from one establishment to another.
a. Skill game machines may be relocated from one qualified location to another qualified location or warehoused and subsequently placed [a in any] qualified location, provided however, [from July 1, 2020 through September 1, 2020,] a distributor may not relocate skill game machines in excess of [10% 20%] of the total number of skill games initially registered and available for play on June 30, 2020 [ ,. Additionally, from September 2, 2020 through July 1, 2021 a distributor may not relocate skill game machines in excess of 20% of the total number of skill games initially registered and available for play on June 30, 2020 ] by any distributor [(e.g., distributor registers 5,000 machines = 500 relocations prior to July 1, 2021)] .

b. Prior to being relocated pursuant to subsection A of this section, the distributor shall provide notice, including an image (photograph with a clearly visible numeric identifier) of the obliterated label of the malfunctioning machine to the Authority Bureau of Law Enforcement. Such notice shall be provided at least 10 days prior to the relocation date. No skill game shall be relocated prior to approval by the Authority Bureau of Law Enforcement. Upon receipt of such notice and evidence and approval, the Authority Bureau of Law Enforcement may issue a new label to the distributor for the replacement machine. The new label shall be adhered to the replacement machine in accordance with 3VAC5-80-60 prior to the replacement game being enabled for play.

[ c.  Notwithstanding the foregoing, a distributor may provide routine maintenance on any skill game machine located in a qualified location. ]


3VAC5-80-90. Taxation generally.
a. All skill games initially registered by a distributor pursuant to 3VAC5-80-50 shall be subject to the taxation requirements of the second enactment of Chapters 1217 and 1277 of the 2020 Virginia Acts of Assembly, that is, $1,200 for each skill game located  [ and initially registered  ] in the Commonwealth during the previous month by a distributor. Returns and payment vouchers shall be remitted to the Department of Taxation no later than August 20, 2020.

b. Returns and payment vouchers shall be due on September 20, 2020, and each month following through July 20, 2021,  [ and ]  shall be remitted to the Department of Taxation based on the number of skill game machines provided for play at ABC retail licensees or truck stops determined by the calculation determined in 3VAC5-80-80. Skill games placed in a warehouse for subsequent placement at a qualified location shall not be subject to such tax until such time as the skill game is relocated to a qualified location. Skill games placed in a warehouse for subsequent placement at qualified location shall be subject to taxation for all calendar months during which such games were in play for any portion of any day during the month.

c. Any single day of any calendar month during which a skill game machine is provided for play by a distributor at a qualified location shall remit the total $1,200 tax on such machine. No proration of the monthly tax shall be allowed.


3VAC5-80-100. Bond required.
Each distributor of a skilled game machine shall post a surety bond naming the authority as beneficiary. The authority may call the bond for any violation of this chapter or law regulating skill game machines. The bond shall be in the following amounts and shall remain in effect for 14 months following issuance:

 

3VAC5-80-110. Records to be kept by distributors generally.
a. All distributors shall keep complete, accurate and separate records for a period of one year. The records shall be available for inspection and copying by any member of the board or its special agents during reasonable hours. The board and its special agents shall be allowed free access during reasonable hours to every place in the Commonwealth where skill games are manufactured, sold, stored, offered for play, or played for the purpose of examining and inspecting all records, invoices, and accounts therein.

b. At a minimum, each distributor shall retain and maintain the following records: (i) the manufacturer, game name, model, and serial number of each skill game sold or otherwise provided for use and (ii) the name, address, and phone number of each entity to which the skill game was sold or otherwise provided.

c. Records may be retained at a skill game distributor's principal place of business, provided that records maintained at a location outside this Commonwealth are preserved in such a manner as to allow for the electronic transmission of records to the board or its special agents within a reasonable time.

d. "Reasonable hours" shall be deemed to include all business hours of operation and any other time at which there exists any indication of activity upon the premises.

e. All such records shall be maintained for a period of at least the 12 months next following July 1, 2021.


3VAC5-80-120. Minimum age of skill game player; consumer protection.
No person younger than 18 years of age shall be eligible to play any skill game.  Any person playing a skill game may have consumer protection rights. It shall be the responsibility of the distributor to provide notice of such age eligibility to the proprietor of the establishment prior to the placement of any skill game machine in any ABC retail licensed establishment or truck stop. The distributor shall adhere to the front of any skill game machine a notice in font – Times New Roman Bold – 16 point as follows:  "It is unlawful for any person under the age of eighteen (18) to play this game. The outcome of this game is not regulated by the state."


3VAC5-80-130. Referral to commonwealth attorney.
In the event that the authority determines that an illegal gambling device is located in a retail licensed establishment or truck stop, such skill game may constitute illegal gambling activity pursuant to § 18.2-331 of the Code of Virginia, and the authority may refer such allegation to the Commonwealth's Attorney for the jurisdiction in which the skill game is located.


3VAC5-80-140. Penalty.
Any distributor found by the authority to be in violation of this chapter shall be subject to a civil penalty of not less than $25,000 and not more than $50,000 per incident. All civil penalties shall be paid to the authority and remitted by the authority to the COVID-19 Relief Fund.


3VAC5-80-150. Compliance with COVID-19 related executive orders.
Distributors and qualified locations shall comply with provisions of any effective Executive Order related to social distancing and other applicable provisions in the placement of any skill game machines within a qualified location.


3VAC5-80-160. Public records.
Any information received as the result of required monthly reports shall be determined public information and subject to the provisions Virginia Freedom of Information Act (§ 2.2-3700 of the Code of Virginia) without exclusions.


3VAC5-80-170. Effect of expiration.
a. The expiration of this chapter on July 1, 2021, does not relieve a distributor from filing the required month report for June 2021. The required report shall be filed not later than July 20, 2021. Distributors shall maintain such records in accordance with 3VAC5-80-110B.

b. Any alleged violation of this chapter, ongoing on July 1, 2021, or commenced prior to July 1, 2022, shall continue until such time as an agreed resolution is achieved or a final non-appealable Order has been issued by a court of competent jurisdiction.