1. A. Establishment.

   1. (1) The Director may establish an Expanded Cashing Authority Program.
   2. (2) Retailers selected by the Director may pay cash prizes up to $5,000.

2. B. Participation. Before authorizing a retailer to participate in the Expanded Cashing Authority Program, the Director may consider:

   1. (1) The length of time the retailer has been licensed;
   2. (2) The financial record and responsibility of the retailer;
   3. (3) The retailer’s compliance with the requirements of this subtitle;
   4. (4) The need for expanded cashing authority within a specific geographical location;
   5. (5) The number of existing retailers with expanded cashing authority;
   6. (6) The overall performance of the retailer since the license was issued; and
   7. (7) Any other factor deemed relevant by the Director.

3. C. Retailer Requirements. A retailer in the Expanded Cashing Authority Program shall:

   1. (1) Maintain a separate bank account solely for lottery monies to the credit of the State Lottery Fund;
   2. (2) Ensure the confidential handling of personal information from players and winners by not disclosing any personal information to anyone other than the Agency or as required by law;
   3. (3) Collect income tax information relating to a holder of a winning ticket to the Agency as required by the Internal Revenue Service or the Agency;

   4. (4) For prizes over $600, utilize the terminal to determine, whether a holder of a winning ticket:

      1. (a) Owes a State obligation; or
      2. (b) Is on the Commission’s Voluntary Exclusion List described in COMAR 36.01.03; and
   5. (5) If the Agency has notified the retailer that the holder may not be paid, the retailer shall deny payment of a prize to the holder of a winning lottery ticket if the Agency has notified the retailer that the holder may not be paid.
4. D. Recertification for the Program. The Director may establish a periodic recertification process for retailers in the Expanded Cashing Authority Program.

5. E. Removal from the Program.

   1. (1) A retailer participating in the Expanded Cashing Authority Program may be removed from the Program at any time by the Director.
   2. (2) Removal from the program does not automatically otherwise terminate a retailer’s license.
   3. (3) The Director's decision to remove a retailer from the program is final and not subject to appeal.

Authority: Criminal Law Article, §12-301.1; State Government Article, §§9-103, 9-104, 9-109—9-113, 9-115, 9-117, 9-118, 9-119, 9-122, 9-124, and 9-125, Annotated Code of Maryland; Ch. 603, §6, Acts of 2012

Effective date: May 13, 2013 (40:9 Md. R. 790)

Regulation .02C amended effective January 7, 2016 (42:26 Md. R. 1597)

Chapter revised effective January 14, 2019 (46:1 Md. R. 13)

Chapter revised effective December 2, 2019 (46:24 Md. R. 1104)

Regulation .02 amended effective September 21, 2020 (47:19 Md. R. 850)

Regulation .12 amended effective March 9, 2020 (47:5 Md. R. 313)

Chapter revised effective May 26, 2025 (52:10 Md. R. 439)