Oregon Administrative Rules|Section 177-040-0001 - General Application Requirements

                                                
Current through Register Vol. 60, No. 12, December 1, 2021 
(1) General: Any person may request an application from the Lottery.
 
(2) Disclosure Required: The Director may require any degree or type of disclosure necessary of the applicant or any other person in order to ensure the fairness, integrity, security, and honesty of the Lottery. An applicant must disclose to the Lottery all information required by the Director.
 
(3) Application Required: An applicant must file a complete application with the Oregon Lottery. The applicant must provide a complete personal disclosure, including documents and other information requested by the Lottery relating to the applicant's personal, financial, and criminal background and an applicant's associations with other persons. The application shall also include, but not be limited to: 
(a) Authorization: An authorization, signed by the applicant, to investigate the applicant.
 
(b) Consent: Written consent to allow the examination of all accounts and records to be considered by the Director to be material to the application.
 
(c) Disclosure: Disclosure of the source of funds, financing, and business income used for the purchase and operation of the applicant's business.
 
(d) Premises Ownership: If the premises are not wholly owned by the applicant, the applicant shall furnish to the Lottery: 
(A) Any document requested by the Lottery showing the applicant is entitled to possession of the premises; and
 
(B) Such other information as the Lottery may require.
 
 
 
(4) Alternative Disclosure Process: Notwithstanding section (3) of this rule: 
(a) Large Public Companies or Multi-State Retail Chains: If an applicant for a traditional lottery game retailer contract is a public company or a multi-state chain retailer that meets the following additional criteria of: 
(A) 30 or more individual retail locations; and
 
(B) Gross annual revenues of $10 million or more; and
 
(C) 300 or more employees; then the Lottery may use an alternative disclosure process that has been approved by the Lottery Commission as authorized under ORS 461.300(2)(b). This alternative disclosure process will focus its disclosure requirements on the public company or the multi-state chain itself. Using supplied disclosure information, the Lottery will conduct an investigation. The Director may determine at any time that additional disclosure is necessary to ensure the fairness, integrity, security, and honesty of the Lottery. 
 
 
(b) Commission Approval: After the Lottery's Security Section has completed its investigation of an applicant under the alternative disclosure process, the Director may request that the Commission waive the personal disclosure requirements for an applicant that successfully passes the alternative disclosure process. 
(A) Approval: If the Commission approves the waiver, the Director may then enter into a contract with the applicant.
 
(B) Denial: If the Commission does not approve the waiver, the applicant must provide the personal disclosure otherwise required under the Lottery's governing statutes and rules, and if the Director concludes based on that disclosure that the applicant is not a potential threat to the fairness, integrity, security, and honesty of the Lottery, the Director may then enter into a contract with the applicant.
 
 
 
(5) Waiver of Personal Disclosure for Certain Managers: If the applicant for a traditional lottery game retailer contract is a public company or a multi-state retail chain, the Lottery may waive the personal disclosure requirements for the manager of each retailer location unless the Director determines such disclosure is necessary to ensure the fairness, integrity, security, and honesty of the Lottery.
 
(6) Compliance Required: An applicant's failure to comply with any application or disclosure requirement may be grounds for denial or rejection of the application.
 
(7) Material Change: An applicant must immediately report to the Lottery, in writing, any material changes to the application during the application process. A "material change" means any change that may affect the Lottery's evaluation of the application based on the requirements contained in Division 40 of these rules.
 
(8) Waiver: In submitting an application, the applicant expressly waives any claim against the State of Oregon, its agents, officers, employees, and representatives, and the Oregon State Lottery, its Director, agents, officers, employees, and representatives for damages that may result. Each applicant also accepts any risk of adverse public notice, embarrassment, criticism, damages, or claims which may result from any disclosure or publication by a third party of any public information on file with the Lottery.
 
Or. Admin. R. 177-040-0001
LOTT 6-2000, f. 7-26-00, cert. ef. 8-1-00; LOTT 11-2002(Temp), f. 9-6-02, cert. ef. 9-9-02 thru 3-6-03; LOTT 22-2002, f. & cert.. ef. 11-25-02; LOTT 12-2008, f. 12-23-08, cert. ef. 1-1-09; LOTT 13-2010, f. 12-20-10, cert. ef. 1-1-11; LOTT 7-2016, f. 9-30-16, cert. ef. 10-4-16; LOTT 4-2017, f. 8-25-17, cert. ef. 9-1-17
Stat. Auth.: OR Const. Art. XV, Sec. 4(4)
 
Stats. Implemented: ORS 461
This section was updated on 11/9/2017 by overlay.