N.Y. Comp. Codes R. & Regs. tit. 9, § 4300.6 – License to provide totalisator services.

(a) A totalisator company must be licensed annually by the commission as a vendor to provide totalisator services to an authorized pari-mutuel wagering entity in New York. Each application must be accompanied by a nonrefundable application fee in the amount of $500. In addition, the totalisator company shall pay the costs of the background investigation performed by the commission or the commission’s designee. The commission may estimate these costs and require a deposit to be paid by the applicant in advance as a condition precedent to beginning or continuing an investigation. The license application shall be made on a form prescribed by the commission and must include at a minimum:
1. (1) a copy of a written contract to provide a totalisator system to authorized pari-mutuel wagering entities;
2. (2) lists of all officers, directors and shareholders/owners.
3. (3) a list of all totalisator personnel assigned to work in New York, or on behalf of an authorized pari-mutuel wagering entity operating in New York, as described in section 4300.27 of this Part (relating to personnel requirements);
4. (4) an affidavit stating that the totalisator company and its employees will comply with the rules regarding totalisator operations;
5. (5) information of sufficient detail for the commission to determine that the totalisator company is in compliance with sections 4300.22 through 4300.37 of this Part; and
6. (6) policies and procedures to ensure their employees, officers and directors are licensed in accordance with commission rules.
(b) No contract between the totalisator company and an authorized pari-mutuel wagering entity can be implemented without commission approval.
(c) The totalisator company shall submit yearly a type II, SAS 70 report, or other report approved by the commission, that demonstrates the totalisator company's compliance with the tote standards.
(d) The application may be denied if the applicant has failed or refuses to pay all application and investigative fees and costs.
(e) In considering an application for a license, the application shall be reviewed and licenses shall be issued in accordance with the standards set forth in Racing, Pari-Mutuel Wagering and Breeding Law, section 307(5)(a) and (b), which standards shall be applicable to the applicant entity as well as to the enumerated categories of individuals and entities set forth. Pending final determination of any question, the commission may issue a temporary license upon such terms and conditions as it may deem necessary, desirable or proper to effectuate the provisions of the Racing, Pari-Mutuel Wagering and Breeding Law and these rules. The refusal to issue a license shall be subject to appeal in accordance with the provisions of section 321 of the Racing, Pari-Mutuel Wagering and Breeding Law.