Issue 10 - Montana Secretary of State

-1214-accounting and reporting system. The department is provided authority to approveautomated accounting and reporting systems to perform the duties of thedepartment by 23-5-637, MCA. The department is provided specific authority toadopt rules describing specifications of an approved automated accounting andreporting system by 23-5-621, MCA. The rule is required at this time because thedepartment is developing a new database and the time is approaching to test andlicense the accounting systems that will be purchased by gambling operators as partof the system. This rule will directly affect an estimated five accounting systemvendors and indirectly affect approximately 1,600 gambling operators. This ruleshould have no direct fiscal impact.New Rule VI describes the process for a gambling machine owner to apply tothe department to utilize an approved automated accounting and reporting system.The department is provided authority to approve automated accounting andreporting systems to perform the duties of the department by 23-5-637, MCA. Thedepartment is provided specific authority to allow licensed operators to utilize anapproved automated accounting and reporting system by 23-5-621, MCA. The ruleis required at this time because the department is developing a new database andthe time is approaching to begin to test and license the accounting systems that willbe purchased by gambling operators as part of the system. This rule will directlyaffect approximately 1,600 gambling operators. This rule should have no directfiscal impact.New Rule VII provides for the continuation of an approved automatedaccounting and reporting system if the system vendor loses or fails to renew thevendor's license. The department is provided authority to approve automatedaccounting and reporting systems to perform the duties of the department by23-5-637, MCA. The department is provided specific authority to adopt rulesdescribing specifications of an approved automated accounting and reportingsystem by 23-5-621, MCA. The rule is required at this time because the departmentis developing a new database and the time is approaching to test and license theaccounting systems that will be purchased by gambling operators as part of thesystem. The rule will indirectly affect 1,600 gambling operators and should have nofiscal impact.Changes to ARM 23.16.101 provide a definition of an "accounting systemvendor." The need for the rule arises from the public policy statement in 23-5-110(1)(b), MCA, that directs the department to protect the gambling public fromunscrupulous vendors. The rule is required at this time because the department isdeveloping a new database and the time is approaching to test and license theaccounting systems that will be purchased by gambling operators as part of thesystem. The department is given authority to draft rules related to the process forapproving automated accounting and reporting systems by 23-5-621, MCA. Thisrule will directly affect an estimated five accounting system vendors. This newdefinition standing alone has no fiscal impact.Changes to ARM 23.16.102 add an "accounting system vendor" to the10-5/18/06 MAR Notice No. 23-16-177