491—11.5 (99F) Gambling games authorized.
	 11.5(1) Craps, roulette, twenty-one (blackjack), baccarat, and poker are authorized as table games. The administrator is authorized to approve multiplayer electronic devices simulating these games, subject to the requirements of rule 491—11.4(99F) and subrule 11.5(3).
	 11.5(2) Slot machines, video poker, and other video games of chance, both progressive and nonprogressive, shall be allowed as slot machine games, subject to the administrator’s approval of individual slot machine prototypes and game variations. For racetrack enclosures without a table games license, video machines which simulate table games of chance shall not be allowed.
	 11.5(3) The administrator is authorized to approve variations of approved gambling games and bonus features or progressive wagers associated with approved gambling games, subject to the requirements of rule 491—11.4(99F).
	  a.   	 Features utilizing a controller or a system linked to gambling games that do not require direct monetary consideration and are not otherwise integrated within a slot machine game theme may be allowed as bonus features. Payouts from these bonus features may be included in winnings for the calculation of wagering tax adjusted gross receipts when the following conditions are met:
	 (1) 	 The only allowable nonmonetary consideration to be expended by a participant shall be active participation in a gambling game with a bonus feature or use of a player’s club card, or both.
	 (2) 	 The actual bonus payout deductible in any month from all qualified system bonuses requiring no additional direct monetary consideration shall be:
	  1. 	 No more than 2 percent of the coin-in for all slot machines linked to any system bonuses for that month, if slot machines linked to system bonuses exceed 20 percent of the total number of slot machines; or
	  2. 	 No more than 3 percent of the coin-in for all slot machines linked to any system bonuses for that month, if slot machines linked to system bonuses are less than or equal to 20 percent of the total number of slot machines; or
	  3. 	 No more than 3 percent of the amount wagered on the qualifying bets for all table games linked to any system bonus for that month.
	 (3) 	 The probability of winning a system bonus award shall be the same for all persons participating in the bonus feature.
	  b.   	 Noncashable credit payouts may be allowed as bonus feature payouts subject to the administrator’s approval of individual accounting, expiration and redemption practices.
	 11.5(4) Gambling games of chance involving prizes awarded to participants through promotional activities at a facility.
	  a.   	 Proposals. Gambling games of chance involving prizes awarded to participants through promotional activities occurring at a facility shall be authorized and approved by the commission. Before a facility may conduct such gambling games, all proposals for terms, game rules, prizes, dates of operation and procedures for any gambling games of chance involving prizes awarded through promotional activities occurring at a facility shall be submitted in writing to a commission representative for approval. The written submission shall be submitted to the commission representative at least 14 days in advance of the planned activity. Any changes to an approved gambling game of chance involving prizes awarded to participants through promotional activities shall also require the approval of the commission representative. Gambling games of chance involving prizes awarded to participants through promotional activities occurring at a facility shall meet the following requirements:
	 (1) 	 All rules of play shall be in writing and posted for public inspection;
	 (2) 	 Such games shall be limited to participants 21 years of age or older;
	 (3) 	 All games shall be conducted in a fair and honest manner, and all prizes advertised shall be awarded in accordance with the posted rules of play;
	 (4) 	 All such games shall be conducted within the regulated area of the facility and shall be conducted in accordance with the submission approved by the commission representative;
	 (5) 	 No entry fees shall be permitted; and
	 (6) 	 All employees of the facility shall be prohibited from participation.
	  b.   	 Limits. Gambling games of chance involving prizes awarded to participants through promotional activities conducted at a facility shall be subject to the wagering tax pursuant to Iowa Code section 99F.11. However, in determining the adjusted gross receipts, the facility may consider all nonmonetary consideration expended by a participant and shall certify to the commission that the nonmonetary consideration is at least equal to the value of the prizes awarded.
[ARC 8029B, IAB 8/12/09, effective 9/16/09; ARC 9018B, IAB 8/25/10, effective 9/29/10; ARC 9987B, IAB 2/8/12, effective 3/14/12]