(b) The commission, after whatever investigation or review the commission deems necessary, may approve the following agreements:

1. (1) Any agreement, or amendment to an agreement, involving the sharing of pari-mutuel revenue if the commission has previously approved the person sharing in the revenue; or
2. (2) Any agreement, or amendment to an agreement, not involving the sharing of pari-mutuel revenue, whether or not the commission has previously approved such an agreement.

(d) An agreement between the pari-mutuel books and a track shall not be approved unless the commission is satisfied that:

1. (1) The agreement specifies the amount of the commission on wagers and track fees, including source market fees if applicable;
2. (2) The agreement specifies the manner in which breakage is to be allocated;
3. (3) The agreement specifies the manner in which the parties will handle a system or communication failure and specifically requires the track to accept wagering information from the systems operator through a manual merge for a reasonable amount of time, or the agreement specifies that if the track is unable to accept wagering information through a manual merge, or the applicable regulatory agency having jurisdiction over the track or the laws of the jurisdiction in which the betting system is located does not permit manual merge as a means of transmitting wagering information, the requirement for manual merge set forth in this part may be administratively waived by the commission;
4. (4) The track has complied with all federal, state, and local interstate pari-mutuel wagering laws, rules, and regulations that are applicable to the jurisdiction where the track operates;
5. (5) The track holds all necessary licenses in its home state or country to participate in the off-track pari-mutuel system and to provide the live audio-visual signal;

6. (6) There are means for the and the commission to:

   1. (A) Obtain adequate access to information pertaining to the operation of the off-track pari-mutuel system, and the transmission of the live audio-visual signal; and
   2. (B) Investigate any associate of the track in such operation and transmission;
7. (7) There is assurance that the track has engaged the services of a disseminator, as required by this part, and that the related live broadcast proposal has been approved by the commission pursuant to this part;
8. (8) There is assurance that the operation of the off-track pari-mutuel system and the transmission of the live audio-visual signal will be lawfully conducted after approval by the commission or Director of the Arkansas Racing Commission, as applicable, and will not pose a threat to gaming control in Arkansas;
9. (9) There is assurance that the track and its associates in the off-track pari-mutuel wagering system and live audio-visual signal transmission will abide by the conditions and restrictions imposed upon approval;
10. (10) There is assurance that the right of Arkansas to collect license fees from the pari-mutuel books will be adequately protected through an effective accounting system designed to prevent the undetected employment of techniques to avoid payment; and
11. (11) There is assurance that the relationship of the track with any associate will not pose a threat to the interest of Arkansas in regulating the gaming industry within the state.

(e)

1. (1) An executed agreement between the pari-mutuel books and a track shall be submitted to the commission for approval no later than ten (10) days before the racing meet begins.
2. (2) Additionally, for a foreign track, a draft agreement between the pari-mutuel books and the track and an executed letter of contractual intent between the pari-mutuel books and the track must be submitted to the commission no later than ninety (90) days before the racing meet begins.

(f) An agreement between the pari-mutuel books and a systems operator relating to an interstate or an intrastate common pari-mutuel pool shall not be approved unless the commission or commission, as applicable, is satisfied that:

1. (1) The agreement specifies the amount of the common pari-mutuel pool commission on wagers;
2. (2) The agreement specifies the manner in which the common pari-mutuel pool breakage is to be allocated;
3. (3) The agreement specifies the manner in which the parties will handle a system or communication failure;
4. (4) There are means for the commission to obtain adequate access to information pertaining to the operation of the off-track pari-mutuel system; and
5. (5) There is assurance that the right of Arkansas to collect license fees from the pari-mutuel books will be adequately protected through an effective accounting system designed to prevent the undetected employment of techniques to avoid payment.