68 IAC 2-1-7 Bond

Sec. 7. (a) A casino licensee must follow IC 4-33-6-9(b) or IC 4-35-5-2.6(b) regarding bonds. (b) The bond shall meet the following requirements: (1) If the casino licensee furnishes a bond in an irrevocable letter of credit, the bond must be issued, held, and negotiated under the "Uniform Custom and Practice for Documentary Credits", 2007 Revision, International Chamber of Commerce Publication No. 600. (2) If the casino licensee plans to post a surety bond, negotiable securities, or irrevocable letter of credit, the licensee must submit the bond proposal at least thirty (30) days prior to the time the bond will be posted to allow the commission sufficient time to investigate the surety company, guarantor, or banking institution. (3) The bond must be in an amount that the commission determines adequately reflects the amount that a local community will expend for infrastructure and any other facilities associated with casino gambling. The commission may request input from the appropriate local community regarding the amount the local community will expend. (4) The bond shall state that it: (A) may be exercised by the commission if the casino licensee fails to comply with its obligation under IC 4-33, IC 4-35, or this title; and (B) shall run continuously and remain in full force and effect during the period for which the casino owner's license was awarded under IC 4-33-6-9 or IC 4-35-5-2.6. (c) The commission may require or allow a new bond under the conditions listed in IC 4-33-6-9 and IC 4-35-5-2.6, or if the commission allows the casino licensee, at the request of the casino licensee, to post a new bond that complies with this section.