The bill amends Section 42-61.2-3.2 of the General Laws to allow licensed video lottery retailers to offer interest-free, unsecured credit to players for wagering at table games, video lottery terminals, and sports betting. The amendment specifies the authority of the state lottery director and the division to permit credit extension, the conditions under which credit may be extended, and the regulations that retailers must follow, including financial fitness requirements for credit applicants. It outlines the credit application process, recordkeeping for transactions, confidentiality of financial information, and the process for credit reduction, suspension, and player liability. The bill also clarifies that credit losses do not affect net gaming revenues and provides immunity from liability in certain circumstances related to credit management.

The bill also proposes to increase the maximum amount of outstanding credit per player from $50,000 to $100,000, marked by the deletion of the old limit and the insertion of the new limit. It authorizes amendments to the agreement with Bally's Corporation, including an increase in the "Maximum Leverage Ratio" to 5.5:1 and changes to the "Leverage Ratio" calculation, now using net leverage and including EBITDA adjustments for development projects. The definition of "Consolidated EBITDA" will now include income from a Joint Venture, and the "VLT Addback" will be adjusted for Bally's ownership share of the Joint Venture. "Indebtedness" will exclude certain "Capital Lease Obligations." The act is intended to enhance Rhode Island's gaming industry competitiveness and will take effect upon passage.

Statutes affected:
3040  SUB A as amended: 42-61.2-3.2
3040  SUB A: 42-61.2-3.2
3040: 42-61.2-3.2