<?xml version='1.0' encoding='utf-8'?>
<regulation prefix="Regulation" num=".17" citation="COMAR 36.03.02.17" title_num="36" subtitle_num="03" chapter_num="02" heading="Vendor Registration.">
  <paragraph num="A.">
    <text>Definitions. In this regulation, the following terms have the meaning indicated.</text>
  </paragraph>
  <paragraph num="B.">
    <text>Terms Defined.</text>
    <paragraph num="(1)">
      <text>“Commission” means Agency staff in this regulation.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Vendor.</text>
      <paragraph num="(a)">
        <text>“Vendor” means a person that:</text>
        <paragraph num="(i)">
          <text>Provides goods or services at a value of $50,000 or more to a video lottery operation applicant or licensee; and</text>
        </paragraph>
        <paragraph num="(ii)">
          <text>Is not required to be licensed as a manufacturer or contractor under State Government Article, Title 9, Subtitle 1A, Annotated Code of Maryland, or this chapter.</text>
        </paragraph>
      </paragraph>
      <paragraph num="(b)">
        <text>“Vendor” does not include:</text>
        <paragraph num="(i)">
          <text>Public utilities that provide water, sewerage, electricity; or natural gas;</text>
        </paragraph>
        <paragraph num="(ii)">
          <text>Insurance companies that provide insurance to a video lottery applicant or licensee or its employees;</text>
        </paragraph>
        <paragraph num="(iii)">
          <text>Employee benefit and retirement plans, including 401(k) plans and employee stock purchase programs;</text>
        </paragraph>
        <paragraph num="(iv)">
          <text>Professional associations that receive funds from the video lottery applicant or licensee for the cost of enrollment, activities, and membership;</text>
        </paragraph>
        <paragraph num="(v)">
          <text>Units of federal, State, county, or municipal government;</text>
        </paragraph>
        <paragraph num="(vi)">
          <text>Manufacturers of alcoholic beverages;</text>
        </paragraph>
        <paragraph num="(vii)">
          <text>State-chartered or federally chartered banks or savings and loan associations;</text>
        </paragraph>
        <paragraph num="(viii)">
          <text>Providers of professional services, including accountants, attorneys, engineers or architects, and others identified by Agency staff to be providers of professional services;</text>
        </paragraph>
        <paragraph num="(ix)">
          <text>Telecommunication, satellite, or internet services;</text>
        </paragraph>
        <paragraph num="(x)">
          <text>Parcel shipping and delivery services;</text>
        </paragraph>
        <paragraph num="(xi)">
          <text>Persons that engage in efforts to influence legislative or administrative action on behalf of a video lottery operation applicant or licensee for economic consideration;</text>
        </paragraph>
        <paragraph num="(xii)">
          <text>Educational or training opportunities for facility employees;</text>
        </paragraph>
        <paragraph num="(xiii)">
          <text>Professional or amateur entertainers, sports figures, social media personalities, or other celebrities engaged by a video lottery operation licensee to appear at a licensee-sponsored entertainment or promotional event;</text>
        </paragraph>
        <paragraph num="(xiv)">
          <text>Representatives of a media outlet or provider of a simulcast service;</text>
        </paragraph>
        <paragraph num="(xv)">
          <text>A vendor that provides, or anticipates providing, within a calendar year a combined total value of nongaming related goods and services to State video lottery operation applicants or licensees of less than $50,000; or</text>
        </paragraph>
        <paragraph num="(xvi)">
          <text>A vendor for whom the Commission determines is not necessary in order to protect the public interest.</text>
        </paragraph>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="C.">
    <text>Except as provided in §§D and G of this regulation, a vendor that conducts business with a video lottery operation applicant or licensee shall be registered with the Commission.</text>
  </paragraph>
  <paragraph num="D.">
    <text>Certain Vendors Exempt from Registration Requirements.</text>
    <paragraph num="(1)">
      <text>A vendor is exempt from registration requirements if it provides, or anticipates providing, goods or services that a video lottery operator purchases solely to be given to a player.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>A vendor exempted under this section may only provide the following goods and services to a video lottery facility operator:</text>
      <paragraph num="(a)">
        <text>Leisure or recreational travel;</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Lodging;</text>
      </paragraph>
      <paragraph num="(c)">
        <text>Vehicles;</text>
      </paragraph>
      <paragraph num="(d)">
        <text>Entertainment;</text>
      </paragraph>
      <paragraph num="(e)">
        <text>Dining;</text>
      </paragraph>
      <paragraph num="(f)">
        <text>Clothing;</text>
      </paragraph>
      <paragraph num="(g)">
        <text>Jewelry;</text>
      </paragraph>
      <paragraph num="(h)">
        <text>Gift cards; or</text>
      </paragraph>
      <paragraph num="(i)">
        <text>Other gift items.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>A video lottery operator that purchases goods or services from a vendor exempted under this section:</text>
      <paragraph num="(a)">
        <text>Is subject to the requirements of COMAR 36.03.10.09; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Shall identify in a report submitted under COMAR 36.03.10.09 each exempted vendor from which it purchased goods or services during the reporting period.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="E.">
    <text>Vendor Registration.</text>
    <paragraph num="(1)">
      <text>A vendor that provides, or anticipates providing, nongaming related goods and services to a single video lottery operation applicant or licensee shall be registered with the Commission.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>The video lottery operation applicant or licensee to which a vendor provides, or anticipates providing, the nongaming related goods and services shall submit to the Commission a completed registration form in a format designated by the Commission that includes:</text>
      <paragraph num="(a)">
        <text>Vendor name;</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Vendor business address;</text>
      </paragraph>
      <paragraph num="(c)">
        <text>Type of goods or services provided;</text>
      </paragraph>
      <paragraph num="(d)">
        <text>Total value of goods or services provided to video lottery applicants or licensees in the State within a calendar year;</text>
      </paragraph>
      <paragraph num="(e)">
        <text>Documentation that:</text>
        <paragraph num="(i)">
          <text>The vendor’s business is in good standing or active with the Maryland State Department of Assessment and Taxation; or</text>
        </paragraph>
        <paragraph num="(ii)">
          <text>The vendor is not a legal entity that is required to register with the Maryland State Department of Assessments and Taxation;</text>
        </paragraph>
      </paragraph>
      <paragraph num="(f)">
        <text>Registration fee of $100; and</text>
      </paragraph>
      <paragraph num="(g)">
        <text>Any other information the Commission requires.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>Upon receipt of the registration fee and completed registration form, the Commission shall provide the applicant or licensee with written notification of whether it has registered the vendor.</text>
    </paragraph>
  </paragraph>
  <paragraph num="F.">
    <text>Except as provided in §G of this regulation, a vendor may not provide goods or services related to a video lottery operation applicant or licensee until it is registered with the Commission.</text>
  </paragraph>
  <paragraph num="G.">
    <text>Emergency Notification. An applicant or licensee may accept goods or services from a vendor that is not registered by the Commission if:</text>
    <paragraph num="(1)">
      <text>The applicant or licensee encounters an emergent threat to public health, safety, or welfare that is outside its control and requires immediate provision of goods or services by a vendor; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Except as provided in §C of this regulation:</text>
      <paragraph num="(a)">
        <text>No later than the next State business day after the vendor’s emergency provision of goods or services, the applicant or licensee shall submit to the Commission a vendor emergency notification form that includes an explanation of the need for its emergency use of a vendor that is not registered with the Commission; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Within 20 business days of submitting the vendor emergency notification form, the applicant or licensee shall submit to the Commission a vendor registration form.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="H.">
    <text>A vendor’s registration:</text>
    <paragraph num="(1)">
      <text>Remains in effect for 5 years from the date the Commission approves the registration;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>May be renewed by the Commission if the vendor submits the required form, and renewal fee required in §I of this regulation, as required under §D</text>
    </paragraph>
    <paragraph num="(3)">
      <text>Shall automatically expire if a vendor does not comply with renewal requirements under this regulation; and</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Is subject to cancellation by the Commission if the Commission determines that the vendor's continued conduct of business with a video lottery operation applicant or licensee is contrary to the public interest of the State or the policies in State Government Article, Title 9, Subtitle 1A, Annotated Code of Maryland, or this subtitle.</text>
    </paragraph>
  </paragraph>
  <paragraph num="I.">
    <text>Renewal Fee.  The renewal fee for a vendor is $100.</text>
  </paragraph>
  <paragraph num="J.">
    <text>The Commission’s decision to deny or cancel a vendor registration, or to deny the renewal of a vendor registration, does not give rise to an appeal right under the contested case provisions of the Maryland Administrative Procedure Act.</text>
  </paragraph>
  <paragraph num="K.">
    <text>The Commission may maintain and make publicly available a list of:</text>
    <paragraph num="(1)">
      <text>Registered vendors; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Vendors that are prohibited from doing business with a video lottery operation applicant or licensee because the Commission has denied or cancelled their application or registration.</text>
    </paragraph>
  </paragraph>
  <paragraph num="L.">
    <text>A video lottery operation applicant or licensee shall:</text>
    <paragraph num="(1)">
      <text>Submit to the Commission a monthly vendor payments report in a format prescribed by the Commission; and</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Ensure that a vendor appearing on its monthly vendor payments report is:</text>
      <paragraph num="(a)">
        <text>Registered;</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Exempt.</text>
      </paragraph>
    </paragraph>
  </paragraph>
</regulation>