SECTION 309.129. Automatic Banking Machines

(a) An association may permit the placement of an automatic banking machine on association grounds only in accordance with this section. For purposes of this section, "automatic banking machine" means an electronic terminal, as that term is defined by Regulation E, Electronic Fund Transfers, 12 CFR 205.

(b) Vendor.

(1) If an association contracts with a vendor to provide an automatic banking machine, the contract is subject to inspection by the executive secretary. The contract may not contain any provision that violates or is inconsistent with the Act or Rules. The association shall make the contract available to the executive secretary on request.

(2) A vendor of automatic banking machines for pari-mutuel racetracks must be licensed by the Commission. If the vendor is not an individual, a designated representative of the vendor selected by the executive secretary must be licensed.

(c) Configuration. An automatic banking machine placed on association grounds must be configured with the following restrictions:

(1) A customer using the machine may withdraw funds only from his or her checking account at a bank or other financial institution. A customer may not use the machine to withdraw funds from a savings account.

(2) For each transaction at a machine, a statutory fee of $1.00 must be withdrawn from the customer's account in addition to the amount delivered to the customer and any other fees authorized and imposed by the bank or other financial institution, by the association, or by the vendor.

(3) Before the customer authorizes the transaction, the machine must display a screen that notifies the customer of the statutory fee and permits the customer to cancel the transaction. The notice must state the following or its equivalent: UNDER TEXAS RACING ACT §2027.004, A $1 FEE MUST BE COLLECTED ON EACH TRANSACTION AT THIS MACHINE FOR DEPOSIT INTO THE TEXAS STATE TREASURY.

(d) Collection and Payment of Fee.

(1) The association or vendor, if applicable, shall collect the statutory fee periodically and pay the total amount of the statutory fees collected during the preceding month to the Commission not later than a date set by the executive secretary. Payment of the statutory fee must be made in accordance with procedures established by the executive secretary.

(2) Failure to collect and pay the proper amounts for the statutory fee may result in disciplinary action against the association or vendor.

(e) Records and Audit.

(1) The association or vendor, if applicable, shall maintain complete records regarding all transactions conducted at each machine placed by the association or vendor on association grounds. The records must be maintained for at least three years after the date of the transaction.

(2) The Commission may audit the records at any time to ensure the proper collection and payment of the statutory fees.

(f) Compliance with Other Laws. A machine placed on association grounds under this section must comply with all other applicable state and federal statutes and regulations. This section may not be construed to supersede any other state or federal statutes or regulations applicable to automatic banking machines.

Source Note: The provisions of this §309.129 adopted to be effective October 21, 1999, 24 TexReg 8968; amended to be effective January 8, 2004, 29 TexReg 369; amended to be effective December 8, 2011, 36 TexReg 8371; amended to be effective July 1, 2019, 44 TexReg 3262