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2000.BY THE NUMBERS . . .CONT. FROM PAGE 3On May 10th, afterhaving been inactive since 1994, theBoard of Governors revived theGaming Law Section by appointing thefollowing members serve on the tenmember Executive Committee: JeffreyR. Rodefer, Chairman; Mark A. Clayton,Vice Chairman; Michael G. Alonso; A.G.Burnett; Anthony N. Cabot; Lou Dorn;Michael F. Dreitzer; Keith E. Kizer; LisaS. Miller-Roche; and Kimberly MaxsonRushton. The Board of Governors alsoauthorized a “welcome back” one-hourCLE lunch that would be free to all whowere members of the Gaming LawSection in 1999 and 2000. On August4th, then United States SenatorRichard Bryan gave a “Capitol HillUpdate” for the keynote address thatdrew an overflow crowd to the Paris LasVegas Hotel Casino. The annualsection dues of 25.00 per memberremained (and have not changed inthe intervening 15 years).2,452. As of June 30, 2015, thetotal number of gaming licensesissued in Nevada (a 0.2% decreaseover the same period in 2014),including 458 nonrestricted (up 1.6%over 2014) and 1,994 restricted (down0.6% from 2014).6,689. As of June 30, 2015, thetotal number of games in Nevada(increase of 1.67% from 2014),including, 869 poker tables and twointeractive games.4NEVADA GAMING LAWYER SEPTEMBER 2015legal, regulated gamingindustry. Geoff, as all of youknow, is now leading theAmerican Gaming Associationas it attempts to educate ourfederal representatives onCapitol Hill about gamingaround the country. One ofMr. Freeman’s biggestchallenges, I am sure, involveseducational efforts that showthat the gaming industry is notthe hotbed of potential moneylaundering activity that somemay think it is. In fact, Mr. Freeman is pushing the notion thatgaming in the United States is one of, if not the most, heavilyregulated industries in the country.That goes directly to a topic that will beaddressed by Jeff Setness, that of AntiMoney Laundering Compliance, or“AML,” and where the federalauthorities are focusing their currentenforcement efforts. This topic has cometo the forefront in the last several years.FinCEN has recently issued guidanceregarding AML procedures, and gamingcompanies have been extremely active inunderstanding and abiding bythat guidance.Sean Higgins delves into the ongoing discussion about restrictedgaming and, in particular, provides an update on tavern gaming.Restricted gaming licensing requirements for taverns has undergonechanges in the last several years, and Mr. Higgins will let you knowwhat has occurred recently, not just at the state level but at the locallevels as well.The Boyd School of Lawhas created an LL.Mprogram that could be aneducational game changer inthe world of gaming law.The first ever Masters ofGaming Law will bedescribed in this issue, andwe will see how Boyd Schoolof Law intends to makeUNLV the intellectualworld capital of gaming law.

You have in your hands a magazine that contains a plethora ofinformation not just for the gaming law practitioner, but for yourclients. Those who have contributed their talents to this month’s issuehave given you something you can hold on to and consult as time goeson. I am appreciative of everyone who has written for this month’smagazine and I look forward to reading about their thoughts andexperience. The Gaming Law Section continues to be an invaluableresource and I look forward to many issues of the Nevada GamingLawyer magazine to come.44,225. Per the 2014 GamingAbstract, the total number of casinodepartment employees in the state (a4.4% increase over 2013).174,548. As of June 30, 2015,the total number of slot machines inNevada (down 0.87%), including155,681 in nonrestricted locations(down 0.97%) and 18,867 in restrictedgaming establishments (down 0.04%).427,873. Per the Reno SparksConvention and Visitor Authority, thetotal visitor volume for Reno, Sparksand Lake Tahoe areas year to date forMay 2015 (a 3.4% decrease over thesame period in 2014).17,456,127. Per the LasVegas Convention and Visitor Authority,the total visitor volume in Las Vegas yearto date for May 2015 (a 1.2% increaseover the same period in 2014). 130,846,679.A.G. Burnett is the Chairman of the Nevada Gaming Control Board. He was appointed to this role byGovernor Brian Sandoval in October 2012, and then reappointed to serve another term in January2015. Prior to serving as Chairman, he was a Member of the GCB, appointed by Governor Sandoval inJanuary 2011. Before being appointed to the Board, Chairman Burnett served as Deputy Chief of theCorporate Securities Division for the GCB. In that position, he handled legal matters that came beforethe Division and oversaw regulatory and investigative activities. He worked extensively with emerginggaming jurisdictions in their efforts to regulate gaming, and oversaw the compliance activities ofpublicly-traded Nevada licensees. Prior to his time at the Board, Chairman Burnett was a SeniorDeputy Attorney General in the Gaming Division of the Nevada Attorney General’s Office, representingthe Nevada Gaming Control Board, the Nevada Gaming Commission, and the Nevada Commission onSports. From 2012 to 2015, he served as a Trustee and the Treasurer for the International Associationof Gaming Regulators. He also sits on the William S. Boyd School of Law Gaming Law Advisory Board.Chairman Burnett also served on the Executive Committee of the State Bar of Nevada’s Gaming LawSection from 2000-2006, and served on the Bar’s Functional Equivalency Committee from 2001-2005.He has spoken and testified extensively on the issues of gaming regulation and regulatory compliancein numerous seminars and continuing legal education classes, including guest lectures at UNLV andUNLV’s Boyd School of Law.For Fiscal Year 2015, total liveentertainment tax revenues generatedfrom gaming facilities (up 2.0% overthe same period in 2014). 698,698,798.For Fiscal Year 2015, the total amountpaid in gross gaming revenue fees(down 5.97% from 2014).Statistical information for gaming licenses,games and slot machines compiled by MichaelLawton, Senior Research Analyst for the NevadaGaming Control Board.NEVADA GAMING LAWYER SEPTEMBER 20155

NEVADAAvailablD e for Pu(Pre ecemrcha-ordbsers c er 2015 eomingsoon)GAMING LAWPractice and Procedure ManualPresented by the State Bar of Nevada - Gaming Law SectionTable of ContentsChapter 1 - Organization and General ProceduresChapter 2 - Licensing: Nonrestricted, Restricted, and Slot Route OperatorsChapter 3 - Licensing of Business EntitiesChapter 4 - Publicly Traded Corporations, Private Equity Companies, and Institutional InvestorsChapter 5 - Transfers of InterestChapter 6 - Financings, Bankruptcies, and RestructuringsChapter 8 - Race Books and Sports PoolsChapter 9 - Gaming Devices, Mobile Gaming Systems, Inter-Casino Linked Systems, Server-Based Gaming,Cashless Wagering Systems, and Associated EquipmentChapter 10 - Compliance Reporting Requirements and Foreign GamingChapter 11 - Credit and CollectionChapter 13 - Disciplinary ActionsChapter 14 - List of Excluded PersonsChapter 15 - Accounting and AuditsChapter 16 - Gaming Taxes and FeesChapter 17 - Lotteries, Promotions, Contests, TournamentsChapter 18 - Interactive GamingAuthorsMichael J. Bonner, Anthony N. Cabot, Mark A. Clayton, Louis Csoka, Lou Dorn, P. Gregory Giordano, TerryJohnson, Chad Lengsavath, Glenn J. Light, Kade D. Miller, Dennis Neilander, Vernon Nelson, Bob L. Olson, Lars

The Year in Review:GLS UPDATEBy Jeff Rodefer, Chairman, Gaming Law SectionWelcome to the 2015 edition of the Nevada Gaming Lawyer. TheGaming Law Section’s Executive Committee said goodbye two ofits longtime members this year. In May, Dennis Gallagher andLars Perry stepped down. Dennis has served since 2006 and Larssince 2009. Both contributed significantly to the GLS through thegolf tournament, the Gaming Law Conference, and this annualpublication, as well as being speakers, authors, and event sponsors.They leave big shoes to be filled by A.C. Ansani, Senior Directorand Assistant General Counsel with Scientific Games Corporation,and Michael R. Brunet, Vice President and General Counsel forthe Palms Casino Resort. A.C. and Michael were appointed by theBoard of Governors in July to serve three-year terms.On June 18th, the GLS held the “2015 BSA Conference” atParis Las Vegas Hotel Casino with sponsorship from ThomsonReuters, UNLV’s International Gaming Institute, the AmericanGaming Association (AGA) in Washington D.C., as well asFinScan, Casino Essentials, Ernst & Young, ACAMS(Association of Certified Anti-Money Laundering Specialists), andSematic Research. The conference drew 413 registrations .thesecond most attended CLE in the State Bar’s history (the “2014Bank Secrecy Act Conference” drew 440). The attendees hailedfrom 25 states and tribal jurisdictions, including one foreigncountry. Stephanie Brooker, Director of the Enforcement Divisionfor the U.S Department of Treasury’s Financial CrimesDID YOU KNOW ?Did you know that thesecelebrities have been licensed,found suitable, or at leaststarted the Nevada gaminginvestigation process?Andre AgassiJimmy BuffettWayne NewtonDonald Trump(for the Riviera, not thenon-gaming Trump Hotel)Frank SinatraGrace Hayesson Peter Lind Hayes, anddaughter-in-law Mary Healy(all film actors)Debbie ReynoldsRupert Everett(of the TV show Survivorfor a game approval)Max Baer, Jr., sought toopen a casino in Carson City.Johnny Carson almostmade it, but lost in a bidagainst Wayne Newtonand his partner.If you know of others who arenot on the list, please contactJennifer Roberts atjroberts@duanemorris.com forinclusion the next year’sNevada Gaming Lawyer.”- Jonathan Solomon, Senior VP & Global Chief Compliance Officer, Las Vegas Corporation- Gregory Lisa, Chief - Money Services Businesses & Casinos Section, Enforcement Division, FinCEN- Paul Camacho, CPA, VP of AML Compliance, Station Casinos, LLCSpecial thank you to thefollowing contributors:Marie Bell, ExecutiveSecretary, Nevada GamingControl Board and NevadaGaming Commission;Eric Nelson, SunshineLitigation Services; andJeffrey A. Silver, Of Counsel,Dickinson Wright, PLLC.NEVADA GAMING LAWYER SEPTEMBER 20157

EnforcementNetwork(FinCEN) inWashington,D.C., gavethe keynoteopeningaddress. M.Kendall Day,FinScan Networking BreakChief of theAsset Forfeiture & Money Laundering Section of theU.S. Department of Justice in Washington, D.C., wasthe keynote lunch speaker. The panels includeddiscussions regarding “Wish List of BSA Changes toBenefit the Gaming Industry and Government,”“Gaming Industry Best Practices,” “Know YourCustomer Expectations and Vetting High Rollers,”“What to Expect in aBSA Audit: How toPrepare?” and “HotTopics in IRSExaminations.” Theconference also providedattendees with the optionof also attending the“BSA 101 Breakfast”Jason Carmen, IRS,where Kevin Rosenberg, BSA Casino Group ManagerGeneral Counsel withGoldberg, Lowenstein & Weatherwax, LLP in LosAngeles (former U.S. Attorney that prosecuted the LasVegas Sands case) and Jeff Setness, Shareholder withFabian & Clendenin, P.C. in Las Vegas (also a formerU.S. Attorney) gave a 90-minute introduction to theBank Secrecy Act. The success of the event is due inlarge part to Jim Dowling of the Dowling AdvisoryGroup in Pasadena, California; Kevin Rosenberg;Stephanie Hirsch of the State Bar of Nevada’s CLEDepartment; Elizabeth Cronan with the AGA; andDr. Bo Bernhard and Nakia Jackson-Hale of UNLV’sInternational Gaming Institute. The “2016 BSAConference” is already in the planning stages.The pro bono program started by ExecutiveCommittee member Scott Scherer to assist applicantsappealing objections to their gaming employeeregistrations continues to grow. Nevada GamingControl Board Member Shawn Reid has ensured thatthe Board’s objection letters provide applicants withinformation about the GLS pro bono service. Forinformation about the program, please see ScottScherer’s update in this issue.8NEVADA GAMING LAWYER SEPTEMBER 2015With editing and formatting assistance from MarkLerner, the GLS was able to submit the longawaited draft of the “Nevada Gaming Law Practice& Procedure Manual” to the State Bar in March tobegin the publishing process. This first of its kindreference book, being coordinated by Vice ChairmanGreg Giordano, covers 18 chapters written byvarious gaming lawyers and regulators. The Manualwill include an overview and “how to” information inthe areas of licensing, corporations and otherbusiness entities, financings and restructurings,transfers of interest, race books and sports pools,compliance reporting, gaming debt collection andpatron disputes, regulation of third parties,disciplinary actions, accounting and audits, gamingtaxes and fees, lotteries and promotions, internet andinteractive gaming systems, publicly tradedcompanies and private equity, gaming employees,gaming devices and related systems, cashlesswagering and associated equipment, and the List ofExcluded Persons and doing business with deniedapplicants. It is expected that the State Bar will startaccepting pre-orders shortly. The Manual will bepublished in the fourth quarter of 2015 in bothhardcopy and electronic format.On November7, 2014,the “2014Gaming LawConference”was held atRed RockCasino ResortSpa withElanie Wynn, President, Nevada State Boardof Education and Punam MathurLexisNexissponsoring the lunch with keynote speaker, ElaineWynn, President of the Nevada State Board ofEducation and then director of Wynn Resorts. TheChristina M. Mills, Senior Counsel, Aruze Gaming America, Inc.; Katie Fellows,VP & General Counsel, Hard Rock Hotel & Casino; Katie Lever, General Counsel,Senior VP of Legal and Compliance, Bally Technologies; Lora K. Picini, AssociateChief Counsel-Regional Operations, Caesars Entertainment, Inc.; andPhyllis Gilland, General Counsel, American Casino & Entertainment Properties

Company. The seminar will again feature StuartTiecher, Esq., presenting two hours of ethics on“The Fear Factor: How Good Lawyers Get IntoBad Trouble.” Online registrations are availablefor this event at http://nvbar.org/cle/liveseminars.For more information about this year’s conference,please see the full-page ad inside the back cover ofthis publication.Left to Right:– Tick Segerblom, Nevada State Senator (D-District 13)– Greg Brower, Nevada State Senator (R-District 15)– William C. Horne, Nevada State Assembly (D-District 34)– Mark A. Lipparelli, Nevada State Senator (R-District 6)– Peter C. Bernhard, Of Counsel, Kaempfer CrowellLeft to Right: A.G. Burnett, Chairman, Nevada Gaming Control BoardDr. Tony Alamo, Chairman, Nevada Gaming Commissionconference drew 153 attendees and featured panelsconcerning “Women’s General Counsel Roundtable,”Problems Gambling and the Law: Implications forClients, Companies and Others,” “AB360 InterimLegislative Committee,” “Regulators Roundtable,”and two-hours of ethics with Stuart Tiecher, Esq.,the “CLE Performer,” presenting “Technethics:The Ethics of Social Media.”The “2015 Gaming Law Conference” will be heldon Friday, November 6th at Red Rock CasinoResort. In its 14th year, the conference promises toagain bring together leading experts to discuss manyof the topical issues facing the industry and thepractice of gaming law. The panels will include thepopular “Regulators Roundtable” with Dr. TonyAlamo, Chairman of the Nevada GamingCommission, and A.G. Burnett, Chairman of theNevada Gaming Control Board; an update on the2015 Legislative Session with State Senators GregBrower (R-15, Washoe County) and MarkLipparelli (R-6, Clark County); as well as GamingEnforcement Issues with Board Member ShawnReid and Karl Bennison, Chief of the Board’sEnforcement Division; and Information RiskManagement: Providing Effective Counsel to YourThis past year, the GLS proudly co-sponsored twoimportant events. On September 28, 2014, theInternational Association of Gaming Advisors(IAGA)/G2E held an opening night reception atThe Palazzo in the Lavo restaurant to honorlongtime gaming lawyers (and members of theGLS) Patricia Becker and the late Robert D. Faissfor the induction into the Gaming Hall of Fame. InJune 2015, the GLS helped sponsor the Power ofLove Gala that honored former Nevada GamingCommission Chairman, Peter C. Bernhard, withthe “Keep Memory Alive Special CommunityLeader Award.”Also, in June, the GLSExecutive Committeeawarded the first“Gaming Law SectionScholarship” to JordanScot Flynn Hollander.Jordan is a member of theinaugural class of the LL.M. programin Gaming Law and Regulation at the William S.Boyd School of Law at UNLV. The 5,000scholarship will become, as funds permit, an annualscholarship awarded by the Executive Committee toa student it selects from the new LL.M. program.On behalf of the Executive Committee,we hope that you enjoy this year’s issueof the Nevada Gaming Lawyer.Jeff Rodefer is the General Counsel and Chief Compliance Officer for GoldenEntertainment, Inc. (NASDAQ: GDEN). He has been the Chairman of theGaming Law Section since 2000. For more information about the Gaming LawSection, please visit VADA GAMING LAWYER SEPTEMBER 20159

THE 2015 SESSION OFTHE NEVADA LEGISLATURE:A Step Forwardfor GamingBy Greg BrowerIntroductionThe 2015 regular session of the Nevada State Legislature wasremarkable for many reasons, including the sheer volume oflegislation considered and passed, as well as the relatively fastpace with which these bills were processed. The session was alsonotable for the groundbreaking education policy reforms thatwere passed and, not without some controversy, the new taxrevenue that was approved to fund necessary governmentfunctions including public education. When it came to gaminglegislation, however, controversy was virtually non-existent ascompared to past sessions that saw battles pitting one segment ofthe gaming industry against another. This article will provide abrief overview of several bills that will have an impact on thegaming industry in our state.1GAMING BILLS THATBECAME LAWSB 9 - The New FrontierAt the urging of the Association ofGaming Equipment Manufacturers(“AGEM”) and with the blessingof the Nevada gaming regulators,SB 9 was introduced to addresswhat appears to be an increasingdemand for skill-based casinogames. The bill essentially requiresthe Nevada Gaming Commission(“NGC” or “Commission”), withthe advice and assistance of theNevada Gaming Control Board(“GCB” or “Board”), to adoptregulations that encouragemanufacturers to develop anddeploy gaming devices, associated10equipment, and various gamingsupport systems that incorporate anelement of player skill.The idea of skill-based gaming wasthe impetus behind a legislativelysponsored committee that wastasked with conducting an interimstudy concerning the impact oftechnology upon gaming. Thatcommittee met throughout 2014and ultimately recommended theconcept that became SB 9. It isgenerally thought that this newconcept will present an importantopportunity for the gaming industryto make slots more closely resemblethe video games that millennialshave grown up playing. This newidea is also likely to include theconcept of variable paybackNEVADA GAMING LAWYER SEPTEMBER 2015percentages that could allow skilledplayers to increase a game’spayback if the player is especiallyskilled. The Board has alreadycommenced the rule-makingprocess and games that incorporatethis new technology are likely tomake it to the casino floor by thebeginning of 2016.SB 443 and SB 445 Increasing the Handle andManaging the RiskTogether, these bills changedNevada gaming law in a way thatpresents significant newopportunities for race and sportsbooks in our state. SB 443 willallow Nevada business entities to

be formed for the purpose ofbetting at legal sports books. Thenew law will essentially allow forlegal sports betting investmentfunds that are registered andmanaged in Nevada. Theregistration will be with the NevadaSecretary of State’s office and thebusiness entity will be required tomaintain an account with a bank orother financial institution inNevada. Anyone entitled to profitsfrom the entity’s wagers must be atleast 21 years of age and mustprovide certain information toensure accurate identity and ageverification. Of course, sports bookswill not be required to accept suchbets and each will have to evaluateits own appetite for this new type ofrisk. SB 445 requires theCommission to adopt regulationsrelating to global risk managementof sports wagering among variousjurisdictions where sports betting islegal. The new law essentiallyclari

27 GLS Pro Bono Gaming Employee Registration Program 29 M a n uf c tre sC ol i d: E h G m g I y 33 Submit, Test, Approve: Rethinking the Regulation of Gaming Devices 38 The "Primary Business" Conundrum: State of Restricted Gaming Laws in Nevada 40 Time to Shut Down Illegal Gambling, Highlight Benefits of Legal, Regulated Gaming Industry