Nevada Gaming Regulators Look to Ban Excluded Players from Receiving Winnings

Only jackpots above the federal tax threshold ($1,200) require the casino to issue a tax form, which is when the operator would theoretically detect the excluded player.  

Mia Doyle - News Editor at Covers.com
Mia Doyle • News Editor
Sep 25, 2024 • 14:28 ET • 4 min read
Photo By - USA TODAY Sports

The Nevada Gaming Control Board (NGCB) held a workshop Tuesday to discuss new regulations aimed at denying excluded players and patrons who have been ejected from a property the right to receive jackpot winnings.  

During the workshop, the Board reviewed a new four-page draft of Regulation 5.095, a set of provisions that, if passed, would amend the current Nevada law that requires operators to pay jackpot winnings to excluded or trespassing players. The NGCB first began developing the new regulations in October 2023, after a Mesquite casino was ordered to pay out a $2,000 jackpot to an excluded player, as reported by the Las Vegas Review-Journal

Alongside revoking excluded players’ rights to jackpot payouts, Regulation 5.095 would also revise the definition of “patron.”

Contents of the meeting 

In the meeting, Mike Somps, a senior deputy attorney general in the NGCB, detailed the specific requirements that casinos must implement to adhere to the new regulations, such as the need to post messaging on the issue at entrances, remove excluded persons from marketing lists, notify trespassers that they would not be paid future winnings, return winning wagers placed by the excluded persons, and report all such matters to the NGCB. 

Though the NGCB took no affirmative action on the proposal, several board members expressed their agreement that it is needed in Nevada and that it should be included on the regular meeting agenda.  

Objections from the NGCB 

Other board members acknowledged that there are still a few flaws to address. NGCB member Brittnie Watkins highlighted her concern about how the revisions would impact future disputes and exactly which bets licensees would be required to return to the excluded player. Only jackpots above the federal tax threshold ($1,200) require the casino to issue a tax form, which is when the operator would theoretically detect the excluded player.  

In response, Somps described how prohibited players would still be allowed to dispute the decision with the board but that the civil court system would now handle any monetary decisions rather than the board’s patron dispute protocol. Somps also explained that losses would not be refunded, only the wager placed on the winning bet.  

Kirk Hendrick, board chair, refuted the requirement to signpost the new regulations at property entrances, describing it as burdensome and unnecessary. He also emphasized the need to ensure a level playing field between operators and players.

“We need to be sure Nevada is looked at as fair to both sides – fair to the licensee, fair to the patron,” he said. “Even in the situation that they’re a trespasser, we can’t tip the scale to say ‘we’ll let you be a loser but we won’t let you be a winner.’” 

The NGCB, along with the Nevada Gaming Commission, regulates the state’s gambling industry, including online and land-based casinos and Nevada sports betting

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Mia Doyle - Covers
News Editor

Mia started her journalism career straight out of the University of Leeds in England, where she got her business degree. Her time in Leeds taught her two things: Firstly, the English Premier League has the best soccer in the world. Secondly, when it comes to journalism, you always have to be ahead of the curve and look for the next breaking story and fresh perspective. Being a gambling reporter for Covers, Mia is always on the hunt for the next big story about the industry’s partnerships, innovation, revenues, legislative changes, and any other news that readers will find interesting.

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