23 CAR § 358-407 – Compliance review and reporting system

(a) Whenever the Arkansas Racing Commission is acting upon any application of a licensee, and if the commission determines that special circumstances exist which require additional management review by a licensee, the commission may impose a condition upon any license or order of registration to require implementation of a compliance review and reporting system by the licensee.
(b) The terms of the condition may include, but shall not be limited to:
1. (1) That the condition shall expire on a certain date or after a designated period of time without commission action;
2. (2) That the condition may be administratively removed by the commission should a specified activity cease or a specified event occur; or
3. (3) That a periodic review shall be conducted by the commission and upon such review, the commission may remove or continue to require the condition.
(c) The compliance review and reporting system shall be created for the purpose of monitoring activities relating to the licensee’s continuing qualifications under the provisions of The Arkansas Casino Gaming Amendment of 2018, Arkansas Constitution, Amendment 100, and rules of the commission in accordance with a written plan to be approved by the commission administratively or as otherwise ordered by the commission.
(d)
1. (1) The written plan must provide for the operation of the compliance review and reporting system and must designate who shall be responsible for said system.
2. (2) The plan must provide for involvement of at least one (1) person knowledgeable of the provisions of Amendment 100 and the rules of the commission.
3. (3) The plan must require periodic reports to senior management of the licensee.
4. (4) Such reports shall be advisory and the licensee shall maintain responsibility for compliance with Amendment 100 and rules of the commission.
5. (5) Copies of the reports must be provided to the commission.
(e)
1. (1) The activities to be monitored must be set forth in the written plan and must be determined by the circumstances applicable to the licensee.
2. (2) Without limitation, the activities that may be required to be monitored pursuant to the compliance review and reporting system include the following:
  1. (A) Associations with persons denied licensing or other related approvals by the commission or who may be deemed to be unsuitable to be associated with a licensee;
  2. (B) Business practices or procedures that may constitute grounds for denial of a casino license or registration;
  3. (C) Compliance with other special conditions that may be imposed by the commission upon the licensee;
  4. (D) Review of reports submitted pursuant to Amendment 100 and rules of the commission;
  5. (E) Compliance with the laws, regulations, or orders of duly constituted governmental agencies or entities having jurisdiction over the gaming affairs, or such other business activities which the commission may deem necessary or proper, of the licensee, registrant, or its affiliates; and
  6. (F) Review of such other activities determined by the commission as being relevant to the licensee’s continuing qualifications under the provisions of Amendment 100 and the rules of the commission.