On May 14, 2015, the Nevada Assembly approved Senate Bill 9 (SB9), which was previously approved by the Nevada Senate. SB9 now moves to the governor’s office for signature.

SB9 amends the Nevada Gaming Control Act to allow for the outcome of gaming devices (e.g., slot machines) to be affected by the player’s skill or other nondiscriminatory factors. Currently, the outcome of any gaming device must be entirely random and the outcome cannot be influenced by any external source.

In regard to SB9, the Nevada Legislature declared that “…the State of Nevada depends on the fostering of a business and regulatory environment that promotes continued advances in the use of technology in gaming, which improves the entertainment experience, encourages innovation and supports expansion of the domestic technology sector of the economy of this State.”

SB9 directs the Nevada Gaming Commission (the Commission), with the advice and assistance of the State Gaming Control Board (the Board), to adopt regulations and technical standards that encourage gaming device manufacturers “to develop and deploy gaming devices, associated equipment and various gaming support systems that incorporate innovative, alternative and advance technology.” Such regulations shall: (a) establish requirements for games of skill (e.g., where skill predominates over chance in determining the outcome), games of chance (e.g., where chance determines the outcome), and hybrid games (e.g., where a combination of skill and chance determines the game outcome); (b) allow for variable payout percentages based on various identifiers (e.g., player skill, length of play); (c) allow for game integration with social networks; (d) facilitate interactive and concurrent play between players; (e) allow for account wagering; and (f) require appropriate disclosures to the player regarding what may affect the game’s outcome.

Assuming SB9 is signed by the Nevada governor, the Board will commence public workshops regarding proposed regulations which will eventually be considered by the Commission for adoption at a public hearing.