<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><title></title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s7388eba7-7c4c-4fe8-b981-87533c399e4eP0 { margin-top: 0; margin-bottom: 0; margin-left: 0; margin-right: 0; text-indent: 0.00in; text-align: justify; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; } span.s7388eba7-7c4c-4fe8-b981-87533c399e4eC0 { color: black; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000000 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001 { color: black; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s7388eba7-7c4c-4fe8-b981-87533c399e4e000002 { color: black; background: white; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000003 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><a href="https://sdlegislature.gov/Rules?Rule=20:18:36:02"><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000000">20:18:36:02</span></a><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">.  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">Authorization to conduct advance deposit wagering</span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">.</span><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0"> </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">An advance deposit wagering licensee shall receive specific authorization from the commission to conduct advance deposit wagering prior to conducting advance deposit wagering. Any entity authorized to conduct advance deposit wagering shall comply with all applicable federal, state, local, and commission requirements to be eligible for authorization.</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4e000002"> </span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">The licensee shall submit internal controls, approved by the executive secretary, that include:</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4e000002"> </span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    (1)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Specific procedures and technology partners to fulfill the requirements set forth in this chapter;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (2)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Commercially available and demonstrable standards to confirm that an individual attempting to create a wagering account is not a prohibited person;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (3)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">A process to close out inactive accounts;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (4)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">A method for verifying location detection procedures to establish account holders geographic locations;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (5)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Detailed procedures for making adjustments to a wagering account;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (6)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Providing a method for an account holder to close out an account;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (7)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Detailed description how an account holder will be refunded after the closure of an account;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (8)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Detailed procedures for maintaining the security of personal identifying information of account holders;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (9)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Method for securely issuing, modifying, and resetting an account holder s authentication credential;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (10)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Methods of account holder notification when changes are made to any account used for financial transactions or to registration information or when financial transactions are made unless other notification preferences are established by the account holder;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (11) </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Methods of account holder notification including any authentication credential modification via electronic or regular mail, text message, or other manner approved by the executive secretary. Such methods must include:</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">            (i)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Proof of identity, if in person;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">            (ii)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">The correct response to two or more challenge questions;</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">            (iii)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Strong authentication; or</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">            (iv)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Multi-factor authentication; and</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">        (12)  </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">Processes to ensure funds in a licensee s account are held in trust for the player in a special purpose segregated account, and that make clear the funds do not belong to the licensee and are not available to creditors other than the account holder whose funds are being held.</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4e000002"> </span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">Source:</span><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0"> </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">48 SDR 14, effective August 22, 2021</span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">.</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">General Authority:</span><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=42-7B-7"><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000003">42-7B-7</span></a><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">, </span><a href="https://sdlegislature.gov/Statutes?Statute=42-7B-11"><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000003">42-7B-11</span></a><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">(13).</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">    </span><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000001">Law Implemented:</span><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=42-7B-2.1"><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000003">42-7B-2.1</span></a><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">(1), </span><a href="https://sdlegislature.gov/Statutes?Statute=42-7B-43"><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0-000003">42-7B-43</span></a><span class="s7388eba7-7c4c-4fe8-b981-87533c399e4eC0">.</span></p><p dir="ltr" class="s7388eba7-7c4c-4fe8-b981-87533c399e4eP0"><span xml:space="preserve" class="s7388eba7-7c4c-4fe8-b981-87533c399e4e000002"> </span></p></div></body></html>