(a) Consistent with Racing, Pari-Mutuel Wagering and Breeding Law section 1334, a gaming facility licensee shall submit to the commission a written description of its initial system of administrative and accounting procedures, including its internal control systems and audit protocols, at least 60 days prior to the projected date of issuance of an operation certificate unless otherwise approved in writing by the commission. A written system of internal controls shall include, without limitation:

1. (1) organization charts depicting segregation of functions and responsibilities;
2. (2) a description of the duties and responsibilities of each position shown on the organization charts and the respective lines of authority for each;
3. (3) a detailed narrative description of the administrative and accounting procedures designed to satisfy the requirements of this Part;
4. (4) a record retention policy relating to retention, storage and destruction of books, records and documents, as required by section 5313.10 of this Part;
5. (5) procedures to ensure that assets are safeguarded and counted in conformance with count procedures as set forth in this Title;
6. (6) procedures governing the conduct of all gaming-related promotions to be offered;
7. (7) procedures to ensure that the gaming facility licensee's employees comply with licensing or registration requirements;
8. (8) other items the commission may request in writing to be included in such gaming facility’s internal controls;
9. (9) administrative controls that include the procedures and records that relate to the decision-making processes leading to management's authorization of transactions;

10. (10) accounting controls that safeguard assets and revenues and ensure the reliability of financial records. Such accounting controls must be designed to provide reasonable assurance that:

    1. (i) transactions or financial events that occur in the operation of a slot machine or table game are executed in accordance with management's general and specific authorization;
    2. (ii) transactions or financial events that occur in the operation of a slot machine or table game are recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles in the United States, article 13 of the Racing, Pari-Mutuel Wagering and Breeding Law and this Title;
    3. (iii) transactions or financial events that occur in the operation of gaming are recorded in a manner that provides reliable records, accounts and reports, including the recording of cash and evidences of indebtedness, for use in the preparation of reports to the commission;
    4. (iv) transactions or financial events that occur in the operation of gaming are recorded to ensure accountability for assets and to permit the proper and timely reporting of gaming revenue, fees and taxes;
    5. (v) access to assets is permitted only in accordance with management's general and specific authorization; and
    6. (vi) the recorded accountability for assets is compared with existing physical assets at reasonable intervals and that appropriate action is taken with respect to any discrepancies;
11. (11) procedures and controls for ensuring that each slot machine and electronic table game directly provides and communicates all required activities and financial details to the online monitoring and accounting system;
12. (12) procedures and controls for ensuring that all functions, duties and responsibilities are segregated and performed in accordance with sound financial practices by qualified personnel; and
13. (13) procedures and controls for ensuring, through the use of surveillance and security departments, that the gaming facility is secure during normal operations and during any emergencies due to malfunctioning equipment, loss of power, natural disaster or any other cause.

(b) An internal control systems submission shall be accompanied by an attestation by the gaming facility’s chief executive officer or other delegated person with a direct reporting relationship to the chief executive officer attesting that the signatory believes, in good faith, that the submitted internal controls:

1. (1) conform to the requirements of article 13 of the Racing, Pari-Mutuel Wagering and Breeding Law and this Title; and
2. (2) are designed to provide reasonable assurance that the financial reporting conforms to generally accepted accounting principles in the United States and complies with applicable laws and regulations, including article 13 of the Racing, Pari-Mutuel Wagering and Breeding Law and this Title.

(f) If, during a 30-day review period set forth in subdivision (e) or (g) of this section, the commission preliminarily determines that a procedure or omission in a submission is likely to affect negatively the integrity of gaming operations or the control of revenue, the commission shall, by written notice to the gaming facility licensee:

1. (1) specify the nature of the commission’s objection and, when possible, suggest an acceptable alternative procedure; and
2. (2) direct that the 30-calendar-day review period set forth in subdivision (e) of this section be tolled and that any proposed internal control amendments not be implemented until approved pursuant to subdivision (g) of this section.

(h) Each gaming facility licensee shall maintain a current version of such gaming facility licensee’s internal controls in electronic form available through secure computer access to the accounting and surveillance departments of such gaming facility licensee and to commission staff at such gaming facility. Each page of such internal controls document shall indicate the date on which the commission approved such page. Each gaming facility licensee also shall maintain, for a minimum of five years, a copy, either in paper or electronic form, of:

1. (1) any superseded internal control procedures; and
2. (2) the original, signed attestation required by subdivision (b) of this section.