(a)

1. (1) If the Director of the Office of the Arkansas Lottery receives an automatic request for a decision pursuant to Subpart 2 of this part, the director shall issue a written decision within ten (10) business days.
2. (2) The decision shall state the reasons for the action taken.
3. (3) A copy of the decision shall be mailed by overnight mail or otherwise furnished immediately to the aggrieved party.

(b)

1. (1) A claimant aggrieved by a decision of the director may request a hearing before the commissioners within fifteen (15) days after the written decision is issued by the director.
2. (2) The claimant must be granted a hearing before the commissioners or their designee as soon as practicable, but not later than sixty (60) days after the decision of the director.

(c)

1. (1) The commissioners, pursuant to the power granted to them in Arkansas Code § 23-115-205, may authorize its legal committee to hear and dispose of administrative appeals from the director as the committee deems appropriate, including, but not limited to, designating one (1) of its members to consider an act on an appeal on behalf of the commissioners.
2. (2) Therefore, references herein to "commissioners" shall be read to take this delegation of authority into account.

(e)

1. (1) The hearing need not be conducted or controlled by either the:

   1. (A) Arkansas Rules of Evidence; or
   2. (B) Arkansas Rules of Civil Procedure.
2. (2) The hearing will be conducted to the extent and fashion deemed appropriate by the commissioners.

(f)

1. (1) All hearings will be recorded by a certified court reporter.
2. (2) If a claimant desires the testimony be transcribed into a transcript or files an appeal, the claimant shall order directly from the reporter an original and one (1) copy, both of which are the financial responsibility of the complainant ordering the transcript.
3. (3) The original transcript shall be filed by the reporter directly with the Office of the Arkansas Lottery.

(g) Based upon the evidence presented at the dispute hearing, the commissioners may reverse a decision of the director if the appellant proves the decision to be:

1. (1) In violation of constitutional or statutory provisions;
2. (2) In excess of the statutory authority of the director;
3. (3) In excess of the authority granted to the director by the commissioners;
4. (4) Made upon unlawful procedure;
5. (5) Affected by other error of law;
6. (6) Clearly erroneous in view of the reliable, probative, and substantial evidence of the whole record; or
7. (7) Arbitrary or capricious or characterized by abuse of discretion or clearly unwarranted exercise of discretion.

(h)

1. (1) The commissioners may remand an appeal to the director for further consideration or investigation.

2. (2) This decision of the director shall be:

   1. (A) Considered final; and
   2. (B) Appealable only to the Arkansas State Claims Commission.

(i) The commissioners’ determination must be in writing and must:

1. (1) Be sent by United States Postal Service certified mail, a commercial overnight delivery service, or hand delivered to the appellant; and
2. (2) Explain the basis for the commissioners’ determination.