 Thank you Good morning, this is a convening of the Massachusetts gaming Commission public meeting and because we're holding this virtually I'll take a roll call. Good morning, Commissioner Bryan Good morning. I'm here. Good morning. Good morning, Commissioner Hill. Good morning. I'm here Morning Commissioner Skinner. Good morning. Thank you morning, Commissioner Maynard. Good morning. I'm here Excellent before we get started on our agenda I do want to just note that I have filed a 23b3 disclosure, which is a disclosure of parents conflict interest with my appointing official Just indicating that I have learned that former chairwoman of Nevada gaming control board is now a Non-executive director of Board of Directors at the point that I Was lucky enough to have her good guidance and counsel when we were both regulators And then she shifted to the University of Nevada Las Vegas Where she is a fellow and have also had the benefit of her guidance over the last few years So I wanted to point out that relationship and then also to reset Diori I understand is now a manager of responsible gaming and corporate social responsibility at points that and she of course is a former member of our of ours Mgc's research and responsible gaming Division here and we were lucky to have the benefit of Teresa's service for several years She was here in advance of my arrival in 2019. She happens to also have been High school friend of my second now very much adult son So that disclosure has been filed as I said that the appointing officials and has been circulated to you commissioners and accordance with our own internal Code of ethics any questions on that commissioners Not as to yours madam chair, but I didn't find out that Teresa fury was employed by Prince bed until Late yesterday, so I haven't filed anything with my appointing authority. I had no direct contact with Miss fury While she was here in terms of supervision or anything like that But I haven't filed anything because I was not made aware of it until yesterday. So I believe I can be fair and impartial, but I don't I have not filed the 23 b3 Thank you All right. I happened because of I think LinkedIn. I knew that Michelle Bryan. That's all Yeah, all right. So Thank you everybody and good morning to our applicant today we are meeting with our final of six applicants for Untethered category three on lines sports wagering license There are I suppose benefits to being Applicant or we just must thank you for your ongoing patience and we are we Look forward to hearing from Massachusetts LLC after today we will begin of our our overall determination of the of the applicants as a whole and That will begin starting late tomorrow afternoon into the next day ending on likely ending on Friday So, thank you. And so now I'm going to turn to item for a Presentation and of the application and the demonstration of the technology. Good morning to points back Thank you and good morning madam chairwoman commissioner Skinner commissioner Hill commissioner O'Brien and commissioner Maynard My name is Andrew Moreno. I am the senior director of regulatory operations here at points bet It's an honor and a pleasure to be here with you in connection with points beds application for a category three sports Wagering operator license. We're very excited to have this opportunity to speak with the commission and the prospect of bringing our product to the Commonwealth Now there are some portions of our application that we believe we believe are commercially sensitive or proprietary as provided by chapter 23 so while we won't be addressing them in our prepared remarks here If there are any questions that touch upon these areas, we will then ask that they be discussed in an executive session We have six people with us on the line today who will be presenting first and foremost our US CEO Johnny Akin our head of US legal and compliance Rachel Casper our executive vice president of media and strategy Rick Martira Our senior director of diversity culture and employee experience Laura Leffler our manager of trading compliance Andrew Menino and Lastly Lauren Crow our director of engineering operations that will perform a walkthrough of our platform We will begin by introducing our chief executive officer Johnny Akin who will now provide opening remarks for our presentation and demonstration With that I turn it over to you Johnny Thanks Andrew and and thanks again for the opportunity to present today You know the points about business I'll start by kicking off with the experience that's held within the company if we could kind of go to the next slide Points bed is a global platform that is successfully operating In only highly sort of regulated markets across Australia Canada in Ontario and now 14 card jurisdictions in the United States Our managing director and group CEO is a gentleman called Sam Swinnell Sam has considerable experience across many decades now in online sports betting firstly with tote That Tasmania in Australia before he Was appointed to run tomwaterhouse.com one of the most successful online Dot com sports betting businesses in Australia through the 2010s That business was acquired by William Hill in in the middle of the 2010s and then Sam Um worked with the founders of points, but to create points bed in in Australia Sam has both an amazing understanding of running sort of sort of digital businesses paired with strong corporate governance Myself as as Andrew kindly sort of introduced me. I'm Johnny Akin the USC I've been based here in the US since the middle of 2018 with my family Originally based in New Jersey Which was the first market we went live in in in January of 2019 I'm now based with the team here in Denver, Colorado, which is our corporate headquarters in the US and houses around 200 full-time employees My experience is a little bit the same as Sam's. I've I've grown up in the industry. It's all I've ever wanted to do I've worked on the sort of regulator side with Greyhound Racing Australia through the early 2000s I then worked at tomwaterhouse.com helping Sam and Tom to to grow and run that company I then worked as the trading and operations director of William Hill Australia reporting into the CEO and managing over 200 people in different trading operations and content functions and joined points bet at the start of 2018 firstly is the company's group coo and then as its CEO of the USA Upon completion of our first market access deal in New Jersey with the gametalins Um, and last but not least, uh, I just wanted to acknowledge Brett Patton who's our non executive chairman Brett has considerable experience in the equities markets in Australia In his time with both sort of UBS and city group He also served as a non executive director at Tadcorp and also as chair and Of ordered and risk for the demurged entity called echo entertainment. Brett has significant experience at a financial and gaming level And again is a well sort of regarded chairman And sort of member of our board. Um, if we could kind of go to the next slide, that'd be great Although the company I guess still is sort of sort of relatively new stage having, um, you know Taking its first bet in Australia in the year of 2017 and then launched in the US at the start of january 2019 It's certainly a business that is run by Very experienced people that have walked the journey not only in the australian Sort of regulated online sports betting market, but also the european online sports betting market You know, we've been live now in the us for four years. We took our first bed in january of 2019 in new jersey And we've now been able to scale the business and launch successfully in 13 other God jurisdictions of the us along with ontario in canada. So are operating 15 god jurisdictions In north america combined You know, we've done that through really leaning on excellence in sports betting. That's that's the dna of the company That's why the business was created to really Offer an unparalleled sports betting Experience be it for the five dollar better the 50 dollar better or the the thousand dollar better Give them an experience across pregame and live betting That they can't get anywhere else and and by owning our own technology We really have the I guess the keys our sort of destiny in our hand to really deliver upon that excellent sports betting experience and You know, we've been acknowledged by third parties such as aulas and cry chick is having a top three app And we'll continue to invest in that app to make it known that, you know Points but has sports betting excellence which for us drives Awareness sign ups and people to stay loyal and and play with points bet Um One of the pillars of of starting the business and our success was was controlling our our technology. That is a learning from Myself sam and and the founders experience with other companies where they weren't controlling their their technology From day one of the company starting in australia, you know, we owned owned our source code It's modern source code that we can Develop sort of rapidly and nimbly to solve problems for customers create value for customers And also to scale the business across the us it sort of sort of every gut jurisdictions built different Every jurisdiction has its sort of nuances When it comes to rules and regulations and we've been able to adapt very quickly And in line with those sort of regulations because we're controlling the the our technology And then last but not least, you know, the team that runs points bet as I said, we have deep experience From our journey in australia, which is a heavily sort of regulated market We've also combined that with extreme experience from the european market to our gentlemen that are not on the call today that Are executives of the business in us the first mark uses our chief chief product officer Forming the founder and ceo of anic technology and forming the head of quantitative analytics for the flutter group in in europe And angus mulverhill is our chief revenue officer here in the usa Was formerly the head of international strategy for bet fare are within the flutter group so And then we pair that with the great experience we have on the phone today with You know the american group that are excellent at what they're doing compliance legal marketing Trading compliance as such so we really feel we pair our ambition with an amazing platform that's pointed at sports betting excellence And an amazing team that conflicts, you know, the opportunity through that technology And with that i'm going to pass it on to the next presenter rick material Executive boss boss president of media and strategy Excellent. Thank you, johnny appreciate the intro and thank you madame chairwoman and commissioners for the opportunity to discuss points bet today As mentioned, my name is rick martyra. I am the executive vice president of media and strategy here at points bet And i'll be saying a few words on our marketing overview From my office here In between my seltics memorabilia as a fellow new englander from the area here So our marketing approach here Building on what johnny just mentioned The premium product we believe in a product led strategy first and foremost We want to bring that innovative product to the sports bettors of massachusetts with a focus on Features and functionality that they can't get anywhere else We feel like if we leave with that product everything else kind of falls into line And the way that we want to deliver that premium product messaging is through a very localized media approach We don't really believe in a one-size-fits-all national advertising or national media approach We tailor each campaign specific to the jurisdiction that we're going into which we'll touch on a little bit later as well At the wider range would be that localized media plan, but then even that much more Focused would be a dedicated vip team specific to that jurisdiction on the ground Helping to cater to those high staking prospects and customers And then all of that is underpinned by targeted promotions That are kind of Using the foundation of our customer segmentation and crm panels to make sure that everyone's having a positive customer journey here throughout their marketing life cycle Next slide The way that we look at new states is kind of a three-phased approach. There's pre launch launch and post launch So the first of those phases would be pre launch Or looking for primarily to get some lead generation for people to raise their hand so that they can Learn about points bet learn about when we're launching in the state And also get to know our brand a little bit Maybe for the first time because we do have such a localized approach in other markets They might not have seen our brand as much that comes in the form of some Tactics you might hear see on the right hand side here Very targeted social video or lead generation ads or dedicated emails specific to that state And engaging content That's produced by our internal very much growing content studio and team We're putting out Multimedia content pieces in the forms of newsletter shows social videos All helping to inform betters and give them both fun and informative information Next slide Then at launch we'd certainly be dialing up our brand a little bit more So we might see tactics like you see in the gray boxes here first and foremost Some digital assets that allow us to really get in on the targeting specific to the massachusetts sports betters, but that second box is a real Great opportunity for us Through our partnership with nbc sports where we are an official sports betting partner of nbc It's real one. We're really excited about because they have such a deep portfolio in the state of massachusetts That comes in the form of nbc sports boston nbc 10 even the local telomundo station are all opportunities for us Through that partnership to both advertise and integrate into uh at a localized fashion We complement a lot of that broadcast with Extended video targeted reach through ott and ctv channels And then you'll also see some media as part of our league partnerships being an official partner with the nba NHL and pga tour you'll see points that media on those owned and operated properties as well all targeted to the specific state Next slide Those would be a tactics. Here's an example of what you might see from our brand This collage to the right Showcases some of our imagery some of our messaging. I think what you'll notice is a theme here Is that product coming through we like to show the product we like to showcase those unique features things like Lightning bets for our live streaming capabilities or partial cash out And in the bottom right you can see an example of one of our latest shows from our content studio stoppage time all around soccer betting next slide And then post launch the focus would shift as you can imagine. So while we're continuously doing customer acquisition Post launch a lot of our focus also goes to retention and loyalty And that's bringing customers messaging offers making sure that they're aware of all of the opportunities that points better is providing to them Be it our parlay boost functionality where you can build a parlay and boost the parlay of your choosing Each day or our power hour offer each day We are releasing a new promotion all around the sporting calendar specifically designed for that local market Next slide And lastly regardless of if we're talking about pre-launch launch Our post launch everything is done through the lens of our responsible gaming policies I know rachel is actually going to dive deeper into this actually in our next section But from a marketing perspective those same three pillars of our responsibility and policies Permit into everything that we do we work extremely closely with our compliance legal and responsible gaming manager on everything out the door We provide patrons with vast opportunities to either lock our promotional message unsubscribe for us Or self exclude and we're always evaluating these policies including in q3 of 2022 We actually remove the term risk-free from all of our advertising and promotions as one recent example here So appreciate that hopefully informative and with that I will turn it over to rachel here Thank you very much rick. Good morning. Madam chairwoman commissioners It's my pleasure to present to you today on behalf of points, but My name is rachel casper and the vice president of legal compliance and licensing here in the us If you can advance the next slide as is with most operators one of these Strategic foundations here at points, but is making sure that responsible gaming Is at the forefront that helps us be good corporate citizens It allows us to demonstrate awareness of the harms that are out there And as such an intern it allows us to focus on prevention and mitigation resources As mentioned, we have a dedicated responsible gaming team which we're really proud of Our manager who leads that team as well well respected among her peers and stakeholders and is well first In the regulatory landscape inclusive of the commonwealth Our responsible gaming team does work very closely With all of our departments and the purpose there really is to ensure that each unique business Function is optimized to support responsible gaming in their everyday efforts We also recognize at points, but that there's a continuum of users Not just on our platform, but all platforms in general from those that truly utilize it for recreation purposes And then those who may exhibit Signs of addiction or problem gambling And with that I'd like to dive into sort of the three guideposts that we have here at points, but for our responsible gaming strategy That really support and promote positive play The first is that we want to ensure that every customer is utilizing the the app or website here at points, but for entertainment purposes only Sort of to support that it's really Important that the messaging and the touch points that we put out to the customer through that user journey Are ones in which they aim to prevent those relate gambling related harms and then normalize that that healthy play on the day to day um And then that sort of final step or guidepost that we have here is the identification and intervention of a player who Maybe demonstrating a lack of control and then making sure that they have their correct tools and sort of support resources To them. Um, so they can find that help as necessary Next slide We thought the sort of best way to maybe Emphasize the different guideposts that we have within this responsible gaming strategy would be to put You in the shoes of a user and how they would walk through this process from the time of sign up All the way through acquisition and then utilization of the app. And so that's what we've done here today What you're seeing on this first screen is sort of what we would call the know your customer and the requirements that Every regulator has around different messaging and acknowledgments You know customer protection and then responsible gaming messaging that needs to be at the forefront When an individual chooses to sign up so you will see through these different slides or pictures All of that required information would be present Again, these are sort of screenshots of already live Environments, so obviously you're seeing Ohio there. This would be something that would be completely tailored to Any jurisdiction we go into including the commonwealth? And to highlight sort of and reiterate what our CEO mr. Eakin said We have that ability to quickly pivot and make those changes as we own our own technology So you'll see some of those requirements here the validation of the player whether it's id age or location Specifically the responsible gaming helpline or any messaging that may be required by a particular jurisdiction So next slide so here is sort of a timeline of events from the point that they are sort of Are interfacing with that kyc And sort of how we as a team are monitoring the the accounts the individuals the communications to ensure that healthy play Is is at the forefront? So we obviously walked through the acquisition portion there and I think it's important to note that Any physical or digital advertising as rick had mentioned will have all of the necessary support messaging from a responsible gaming perspective That's in alignment with every jurisdiction Every jurisdictional requirement. So that's sort of what they'll see as they first interface with the app or the website Within one hour of actually creating that account They will receive an email that highlights the different tools that we have on Platform where they can set different limits in order to theme in a healthy and responsible way As well as additional support resources that may be available to them We recognize that it's not enough to just put that information in front of them upon account creation But in order to have a healthy play as the customers retain throughout their life cycle or journey It's important that we continue to communicate those resources And so customers will receive a monthly rg email and then the team has also initiated a daily post a responsible gaming post on social media so that Again, if they're engaging with us on sort of different platforms, they're seeing that that's at the forefront for us as well as a company I think it's worth noting that individuals who may have a higher spend Um, we're a be require and do require a different sort of tailored responsible gaming message And so that's what we've done with our both platinum and diamond status clients. They're getting more of a customized onboarding message Um, whether it's through a specific text message email or directly from an account manager that they may be working with To ensure that the play that their exhibiting is healthy and normal for them I would be remiss if I didn't point out sort of uh, the fact that all of this is on a, you know Sort of timeline here of how we go through things But we recognize that individuals have different experiences themselves And so a key for us is to monitor the behavior of different customers and we'll We'll touch on that in a few slides and how we do that Um, but it's important to highlight throughout each one of these stages that that's something that we monitor as a team And we when we do see those sort of behavioral patterns that we can identify the individual and customize Any type of support and communication to them Next slide So again as rick gave you sort of some examples of different marketing materials that we have and advertising We thought it would also be helpful Um for the commission to see different responsible gaming messaging that we have In different areas. So if we start at the top there That's an example of what an individual may see on a daily social media post Really highlighting those different limit setting tools so that they can control That behavior and and really function within what's normal for them There's also integrations Um across nbc bepcast. So you'll see at the bottom there how it says that responsibly and gives the appropriate responsible gaming messaging So it's constantly at the forefront if they're engaging with us in sort of different areas of the app In the middle, this is an in-app message that's automatically sent to an individual and it's sort of a calculation that we do Based on sort of the amount of spend and the age of the individual this Information will be customized to them so that it's Effective and meaningful for them and then finally we have an externally facing responsible gambling page Where anybody account holders or not can go and receive that information We know unfortunately that gambling addiction doesn't just impact the individual but families friends and society as a whole So this is a responsible gambling page that is available for anyone Next slide again as rick sort of touched on one of the things that we have highlighted as extremely important moving forward in our responsible gaming strategy here at points, but is giving The consumer or the user the opportunity to control how much interaction they're receiving in the way of marketing and advertising And as rick mentioned, they can unsubscribe to those marketing and advertising emails And I think it's worth pausing here for a moment to say that when they unsubscribe They are not unsubscribing from responsible gaming support messages. They will still receive those They will not receive the promotional information that would come through those normal channels We we also, you know as we've gone through Responsible gaming and its growth through the industry We've noticed that one of the areas that it's important to provide information to patrons around is how they can control ads they may see on social media And so we have really provided extensive resources on our websites and pointed them to The correct resources in the social and digital space where they can get step by step instructions on how to actually block Those types of gaming ads on those platforms so that they're reducing the amount of interaction that they're receiving there next slide So we've talked about You know the sort of KY KYC process the acquisition process You know how they can control the different marketing or advertising But I think it's also really important to highlight that on every main page throughout the user journey On the website or the app they constantly have access to a variety of information Here you'll see at the bottom left. They have responsible gaming and player protection pages that they can visit They have also the responsible gaming helpline state specific resources that are dictated by regulators and that we provide as such And additionally account history there to the right and the reason account history is really critical For individuals is that they can actually go back and sort of see What they're actually spending but it also categorizes and Delinates when they actually set certain limits so they can go back and see the point in time when they decided to Put limits on themselves Next slide So in that vein of helping individuals make those informed choices and to really heighten You know sports wagering literacy We thought it was important to provide a variety of different Limits that an individual can Place on their account and we have them there over to the one side of the screen So you can see a deposit limit a wager limit a time on site limit A spend limit and then a cool off or self exclusion specific to two points, but I think that you know, this is important So that people can choose a variety of these everyone's different And they can choose, you know, maybe three or seven days or if they're in a situation where they need 30 days off platform they can do that And the the time limits cannot be removed after 24 hours after setting them which I think is important You know, you don't want that person to Make the decision to set that time limit and then all of a sudden maybe be encouraged to bet again We we do not allow them to change that for 24 hours. We think that's a best practice um, and again, these will be based on the jurisdiction the users in um And of course does not apply to other operators, but is specific two points, but and easily configurable I think, you know, which is really important too for any regulator that the time limits can be adjusted Based on any guidance or directive received from a regulator next slide So this is just an example. Um, this is not exactly what it would be, but we thought it might be important to provide Some visual here to to the commission of what a potential Message would be from our responsible gaming team to an individual who chose to Cool off and so you'll see that this is obviously the confirmation It very clearly tells them what state and website they are Choosing to cool off from the number of days that they have selected And that they will not be able to access their account During this time. However, it's very important that they obviously have the ability to access and withdraw any funds on that account And so our customer service team is there to assist them In that situation and they are directed to them It's also really important to point out that our customer service team not only receives the Responsible gaming training that every employee receives, but also a heightened level of instruction On how to handle individuals who may be experiencing Some of those signs Additionally, you'll see the different resources that we have provided here And obviously some state specific resources and again this cool off is tailored for each jurisdiction And so here we put in the massachusetts problem gambling helpline in game sense, but again, we can be tailored With any guidance that we may receive from from the regulator Next slide So the account history we touched on this briefly on the other side of the different resources that individuals have In order to make those informed choices and you know affect their positive play This is more of a granular example of if an individual were to click into their account history That sort of line item of when they may set that limit and it tells them how long the limit is for so we here Can see here that it is for One week with an amount of 50 dollars They can actually get their statements online going back 24 months Um But if they need any history above and beyond that they can contact customer service Um to retrieve any history above and beyond 24 months But we think this is a great way for individuals again to actually Export that data and take a look at what they've actually spent on platform the different limits They've set and how maybe their play has been positively positively impacted By setting those limits next slide So that third cornerstone that we talked about in the responsible gaming strategy for points, but Was all about identification and intervention And there are sort of a few different ways that we approach that here at points But you'll see that the sort of outer Squares that we have on this slide are both pointing in towards our responsible gaming team The the left hand side we have the customer communication or or ad hoc And this is really the monitoring of different chat email text social media of a user Seeing if there's something in their communication pattern that raises a red flag and requires that it be escalated to the Responsible gaming team and this isn't just our cs team. There's a variety of teams that will sort of monitor these things and escalate To the rg team to determine the appropriate sort of mode of communication But we don't feel that that's enough So another thing that we do is we implement a sort of behavioral surveillance And this is not just looking at the communications from the individual or social media posts But then also looking at the account for red flags and we've itemized a few things here Such as lifetime losses session length deposit size and then somebody who appears to have potentially be chasing losses Um and and so we will monitor that and that will be fed back into the responsible gaming team again to reach out to that individual I think it's really important to note that one of the things that is on the roadmap for us as a company Is the development and deployment of an AI predictive model And so the idea here is actually to create the technology and implement it so that it would automatically Sort of evaluate these different factors and elevate in real time to the responsible gaming team Who can then put a human eye towards it and say is there something That needs to be addressed and so we're really very excited about that that development and opportunity We've worked our way through this strategy and sort of those three guideposts that we have that really Direct us as a company in our responsible gambling efforts But I think one of the other things that's very important to our leadership is the engagement that we have with Stakeholders across the industry. We recognize that information is always changing research is always changing And I think to be on the forefront of that those partnerships are really critical And so in 2022 we partnered with ncpg and m a cgh in order to issue a survey um to individuals to try and inform us as far as Responsible gaming initiatives and things we should be providing generally Two individuals. I think some key takeaways here was one. We had a variety of people who responded to the survey Whether they were treatment professionals or individuals who had previously experienced addiction And they all had very similar responses Which we thought was very interesting and informative and one of the sort of top recommendations That was endorsed by the group was that sharing of support resources, you know statewide self exclusion limit setting tools so Again, that's why that's become so critical To that messaging that an individual will receive here at points, but throughout their user journey And then finally obviously the individuals demonstrated interest and affordability checks, which really are You know determining that the individual has the finances in order to be Having the type of play that they are And and of course that Dovetails nicely into the fact that they also felt the most important impact was obviously on an individual personal life And and finances so these key takeaways have been something that we've held closely to the best here at points But and help guide us as we continue to develop our responsible gaming strategy and as it evolves Next slide Finally, I'd like to just point out that in 2022 points about us and points about canada both receive The responsible gaming check accreditation from responsible gambling Council and I think this really obviously highlights the Commitment that we have to to healthy play It also ensures that the messaging that we're sending out to patron is an alignment with the highest standards in the industry And it also helps us to continue to develop intervention methods that put that user front and center While directing them to the rest the best resources available Thank you very much madame chairwoman and commissioners at this time. I'm gonna turn over the presentation to my colleague Laura leftler Thank you rachel and thank you madame chairwoman and commissioners for the opportunity to discuss points But today my name is Laura leftler and I am the senior director of diversity culture and employees experience here at points bet Next slide. Yep I'd like to take a minute to focus on points bets for pillars of diversity equity and inclusion These pillars were created to improve points bet overall de and i strategies But also to improve points bet employee value proposition Where we recognize that our people are our most important asset and we are committed to achieving diversity and inclusion in our workplace We will dig deeper into each of these slides or each of these pillars on the next couple of slides But I will draw your attention to them right now and our first one is Our workforce attracting and retaining our people to build a high performance team that is reflective of the diverse company Our workplace investing in our people through professional opportunities learning and development and supporting their career goals Supplier diversity where we have intentional partnerships with underrepresented groups Where we promote the growth of our communities that we work and serve And our last pillar the marketplace where our external stakeholder Connections to our customers and business partners embrace the differences of our audience groups Points bet is committed to a diverse equitable and inclusive workplace for all to succeed We do recognize that when we perform better as a whole We perform better as a whole when our workplace is diverse We want all of our employees to feel seen heard and a chance at success With that being said our workforce is made up of 23 percent women 39 percent of our workforce is diverse and when we look deeper We will find that 26 percent of women are in leadership and 14 percent make up our diverse leaders As we grow in this space our talent acquisition team uses various sourcing methods To recruit diverse candidates for all open roles LinkedIn where we can spread the word about our opportunities across diverse pools of talent built in a top tech source for diverse candidates And women in sports technology with a focus of driving growth opportunities for women And this is inclusive of points bet hosting a fellow this past year Additionally points bet has established an external and internal de and i committee Our external committee consists of three members who are respected individuals in the sports world Along with being notable diversity advocates of their communities Our intentions are to utilize our external members as strategic council councilmen Our internal committee is a group of 10 employees across all teams charged with serving as internal planning An ambassador for the group's de and i efforts Having this committee helps us have a roll time pulse on our employees needs and wants as we grow in this space Finally, I do want to draw your attention to the fact that points that was just recently awarded colorado's best places to work Colorado's best midsize places to work in new york city's best places to work This is an achievement that we are honored to have been given These awards recognize companies who offer the best total rewards programs compensation packages de and i efforts And the people first cultural offering amongst their peers In 2022 points bet had a strong focus to invest in underrepresented groups within the sports industry I can say that we are proud to have given over 725,000 in financial contributions towards these groups Our most notable contributions for 500,000 in hampton and norfolk in support of scholarship funds 150,000 to four atx foundation for the creation of safe spaces for families to connect and be active in their communities 10,000 to the note of the gay foundation in support of advancing cultures of american native american community health And lastly 50,000 to women in sports technology in support of women career advancement We do recognize that our contributions can help break down barriers and foster inclusion within their communities We know that when everyone feels welcomed and supported everyone can benefit When these groups are supported they can reach their full potential And they're and they contribute their unique talents and perspectives at points that we do look forward to continuing to support underrepresented groups Just as it is important for us to support underrepresented groups It's equally as important to us that we commit to increase diverse vendors spend on annual basis We've spent nearly 1.9 million on minority owned women owned and veteran owned business enterprises in 2022 In order to commit to diverse vendor spend We will award diverse vendor contracts where feasible Select diverse vendors, even if they are not the lowest bidder Where possible we will replace expiring contracts with diverse vendors And lastly we will partner with supplier diversity programs By supporting diverse vendors, we can aid in the economic recovery and sustainability of their communities diversification is about engaging additional supply partners such as A local call center that is there in massachusetts Where we've had preliminary talks of a partnership This call center is a women owned business in which we would be honored to partner with should the opportunity present itself In closing out today's session of de and i At points, but we recognize the importance of this role And the work that's cut out for it in addition to the promotion of a diverse and inclusive workplace We are focused on attracting entertaining diverse talent increasing our diversity percentage year over year creating employee resource groups Introducing learning and development to our workforce and partnerships with diverse vendors Such as the call center that I mentioned Thank you for your time today madam chairwoman and commissioners I welcome answering any questions you may have in the q&a section I will pass our presentation on over to andrew Thank you lura and thank you madam chairwoman and commissioners for the opportunity to speak to you today My name is andrew menino. I am trading compliance manager here at points bet And i'll be saying a few words about sports analytics So first of all our in-house technology and trading system Uh, we use odds factory, which is our own in-house system That aggregates and displays odds on site both pre-match and in play And because we own all our own technology that means we can quickly respond To client or trading team requests And adjust odds or market offering on the fly Uh, we do have a global trading team Which means we have direct coverage uh from our people of what's on site at all times 24 hours a day and 365 days a year We have trading offices based in new york Denver melbourne and dublin Which means there's always someone operating on local time who is monitoring the system Our trading compliance team is a dedicated team working to ensure Regulatory compliance in each jurisdiction Where we're offering wagers. We have people Located new york in denver and we're working seven days a week during key parts of the Sporting calendar to make sure we're always on top of all the markets being offered in each jurisdiction We use a combination of technology and manual monitoring To make sure that only approved wagers are taken and we're always working with our technology team To improve that that system and make sure We're getting better at improving We work with our trading team to handle requests for new markets and leagues And ensure everything we're offering is in line with jurisdictional approvals And we work directly with our compliance and legal teams to request new markets in each jurisdiction With the various regulators there Next slide, please So just want to take a minute here to cover points betting, which is a unique market offering In the united states by points bet And what point spending does is it multiplies your stake amount by the amount of your win So for example, if you wager $1 per run on over 10 total runs in a baseball game And the result was 12 total runs in the game. You'd win two times your wager For a $2 win. Likewise, if the total runs were eight, you'd lose two times your wager For a $2 loss As you can see in the display here clients are able to use the stop loss adjuster to adjust their Risk tolerance to what they're most comfortable with and ensure that clients are only betting what they are Comfortable wagering Thank you for your time madam chairman and commissioners and i'll turn it over to lauren crow I don't know if that's me, but i'm getting a lot of feedback How Yeah, lauren we're getting a lot of uh other noise there We can hear your conversation i want to alert you to that So you'll need to mute because this is a public meeting. I want to private conversations Okay, yeah, we'll move into a quieter location. Thank you Yeah, I we couldn't tell who was speaking and it could be Talks from not your team. So it's all good. Um Mr. Moreno, thank you very much Thank you. Yeah, just give us one moment and i'll make sure lauren can begin the the demonstration very quickly Commissioners you're all set right now. Thank you I'm gonna show brian you and I both had that look like is it us? Apologies there it seems that Yeah, so it might be mr. Crow that you're getting feedback. Um Let's see try again, but mr. Crow who's speaking Lauren all right, thanks for that. Um, again, thank you Hello, am I audible You are audible there seems to be a little bit of background noise, but it doesn't look like it's coming from you Um, I don't know if anybody's seeing a yellow screen pop up Actually actually he's going in and out madam chair He is a bit isn't he and then but there's also a buzz behind him I think that I think that's also coming from mr. Crow's end From mr. Whom Mr. Colleges there am I audible now? Very good Thank you. Thanks commissioner Good morning Apologies again, it wouldn't be a live demo without a little bit of um interest from the technology Um Thank you, madam chairwoman and commissioners for the opportunity to discuss points about with you My name is lauren crow. I'm the director of engineering operations here points back I'm gonna be walking you through a platform demonstration just in case some of our responsible gaming and during teachers that were previously Um mentioned by my colleagues here. So let me Share my screen and we will Go from there All right So first I want to walk you through a demonstration of of a recorded demo Well, we've lost him again Destration of our sign-up process PII is shared data, but it shows you all of the required steps to sign up on our platform Mr. Moreno, I think you'll see here Okay, mr. Crow. If you can just I think if you sit closer, we hear you better But you are going in and out a bit Thanks Madam chairwoman. Just give me a moment. I'll And we have no problem with it whatsoever. Thank you apologies apologies again for that commissioners and madam chairwoman we uh Unfortunately had some some latency there. So lauren's presentation was uh not not coming through clearly He's relocating to a room with a bit of a better connection So hopefully we can give this in our try in the next few seconds if that's okay with you No problem Okay Apologies for the interruption there andrew i'm back Thanks lauren. Do you want to start sharing your screen now? Absolutely Apologies for the interruption there. Thanks again. Madam chairwoman and commissioners My name is lauren crow. I'm the director of engineering operations here at points, but I'm going to walk you through a demonstration of the platform and some of the rg Responsible gaming and wagering features that my colleagues have spoke about previously Sorry sharing my screen now So in an effort to keep pii Private we're doing the sign-up demonstration out of one of our uat environments with test data But this will walk you through the standard sign-up process all the required fields we gather And what it looks like to a new user signing up So as you can see we're gathering all the necessary information to Pass this new user through our kyc process Requiring that the user select all of the checkboxes for the attestations Required by the local jurisdiction clicking join points pet This is simulating the call to our kyc provider And upon successfully passing kyc The user will be logged in And in this jurisdiction given the opportunity to set limits immediately upon signing into the site I'll move on to a demonstration of The platform itself so I will log in with my personal test account In production as you can see this is the mfa additional the multi-factor authentication That we mentioned earlier. So I'm getting a text message to my cell phone entering my mfa code Verifying that it's my me and logging in So as mentioned by rachel earlier if you scroll to the bottom of our page You'll see that responsible gambling is a clear link here You'll be able to see the various limits that we offer And this is configurable on our platform as mentioned previously We own our own technology. So we have the flexibility to add and adjust limits as necessary So we spent if I want to set a spin limit for myself for over seven days I don't want to spend more than 100 I can enter that here I can set a spin limit And then I can confirm my spin limit here And then it's reflected there One point of note on our limits We do not let you make the limits less restrictive during the period of time that they're enforced So you can make them more restrictive if you would like to but if you would like to And adjust these in a less restrictive manner. So letting yourself spend more You would have to wait until the expiration of the time period mentioned here As previously discussed if you go to account history, you can also see your wager limits and when you set them So I just set that spin limit for one week at $100 Let me Give you a demonstration of placing a wager on the platform So if I want to select Columbus blue jackets money line, I would click on that I can select how much I would like to wager place now And confirm and again wagering activity is reflected on the account on the account history table so We can look at my bet placement here that I just wagered for $10 and the bet slip is is there As you can see, I already have a settled bet in here as well settled as a win for the I place a wager on Dallas stars money line Yesterday and it was settled as a win and you can see the credit here And lastly, I'll demonstrate the points betting option that and germany now walked us through earlier So if I go into this points betting and I want to say that the total will be over 131 for the game I can place a dollar wager And the stop loss at the moment is set the max win and max loss level is set at $50, but as andrew explained earlier I'm able to adjust this To my comfortable level of max win and max loss and then I can place my wager Okay, that's the demonstration of the platform. Thank you for your time, madam chairwoman and commissioners Before you take it down I ask the question, please and I may have missed it, but I don't think I did I read in the application that You have an eye Icon where you can get information on each bet where each um Do you know what i'm talking about? Have more information on what I told us, you know the little icon for eye for information describing how the bet works, do you Know what I mean? so There are points fighting in particular um, if you go back to the game page there, uh, I believe what the Chairwoman is referring to is the information tab Next to each wager type So go ahead and expand main wagers and then right next to money line three way There you are Yeah, perhaps others had that but they didn't mention it and so I don't think I've seen it but commissioners can correct me But that's really helpful Really helpful. Thank you. And then could you just go back to your home page if I were to open up the very first time to points bet What would I see Is it what I would see Yes, this is the this is our home page. So I'm just looking for responsible gaming. I'm sure it's there somewhere Is that the bottom? Yeah, the rg icon there. Yeah, so that's right on your home your home page Excellent. That's correct. Thank you. Any questions commissioners for the other technology We tend to hold our questions except for this piece. So thank you, mr. Crow commissioners All set All right Thanks, really helpful Thank you for your time again and apologies about the technical difficulties. Um, Andrew, I'll turn it back to you No apologies needed Good And thank you very much, uh, madame chairwoman and commission for your your understanding in our time of technical need If there are no further questions at this moment, uh, that that is the end of our prepare remarks demonstration and presentation We once again thank madame chairwoman and the commissioners for their time Not just this morning, but throughout the process It's been a real pleasure to to work with all of you and and watch you work as well Uh, we respectfully ask that the commission grant points bet massachusetts a category three Mobile sports wagering license and issue a temporary finding of suitability and we're more than happy to answer any more questions at this time Great. Thank you So that commissioners it's just 1110. It makes sense for us to go to our in-house experts Yeah, it's so nodding. Good. Um, thank you again points backwards Presentation of the application and demonstration of technology will turn to 4b in the agenda The presentations and analysis from our in-house experts turn first to gli on the technical components And who do we have this morning there? I see joe. Good morning You do see me because I don't see me I actually don't see you. That was a little bit of a lie. I don't know what to say There you go. That was weird I'm like, wow I just let me introduce gli First to write and set gaming technical standards, which are now considered to be the industry benchmark worldwide gli has continued to be responded to the industry by innovating new standards and testing allowing regulators to feel confident that they are providing a safe responsible method of revenue generation for their stakeholders in preservation of integrity And gli has been consulting with us all along. Thank you, joe. And this is For right now joe the the last of our applications so Thank you for This morning's presentation Thanks for having us madam chair members of the commission. My name is joe's apartment director client solutions for gli I'll give a overview of the seminal verification and verification process regarding mobile applications and other digital platforms approved by the To be approved by the commission The seminal process includes the following If it's a platform we're familiar with which in this case points that we are A modification list from the last mission to one or more of the us jurisdiction's requested and reviewed to set the project plan for Massachusetts considering any changes to the platform in all specific Massachusetts rules and regulations During that process we review the technology architecture documentation, which is a complete comprehensive and technically accurate description explanation of the sports weighting systems This includes a description of all the hardware devices and virtual servers Description of all server and client hardware hardware Software modules including all software versions the layout of all the network communication Between the various software and hardware modules an explanation of all third party integrated systems Post the technical documentation review critical for files regarding compliance will be identified and documented Then a complete project plan is put in place including Uh, sorry taking into account the unique architecture and design of the platform And the specific Massachusetts gaming commission rules and regulations The lab will run a supervised compilation of those source files the signature of those files and Compilation steps and the signatures of the compiled code Once complete the source code can be submitted for testing in the lockdown environment Gli review the player account management platform known as PAM for registration age Identification verification account controls payments reporting Responsible gaming controls required disclosures and geolocation Geolocation testing commits two parts a field test to verify borders through sampling along the entire border while completing edge case Technical tests the field tests Will also cover any other restricted areas defined by the mgc A submersive workaround Detection will commence in the lab including but not limited to vpn and proxy uses usage gps spoofing code manipulation And man in the middle of tax Gli will verify the sportsbook in total from markets point spreads bed acceptance And their corresponding time stamps and logging Verify the enforcement of bedding limits in all edge cases The pre event and live data feeds post event bed settling the corresponding time stamps and all logging and reporting We will review the change management process and procedures After the technical checkoffs meant gli certifications can be issued when gli verifies the changes made for the massages specific deployments Including source code differential and change testing to the last review version and excuse me Gli has evaluated that the product has met all mass that choose its specific requirements After certifications are issued and the mgc accepts them Field verification will be conducted in the construction of the mgc procedure will be finalized In the upcoming weeks. In fact the cat one Cat ones are kicked off today Um during that time the following will commence or we'll be kicking off Actually kickoff tomorrow. Gabe is actually traveling today. Excuse me Verification at the production server including verification of all critical file signatures reviews of the internal controls and procedures to operate the book Check technology for configuration such as proper setup of roles and user rate assignment potentially interview key employees key key personnel to ensure that They know and will follow procedures from the internal controls at this point They've met the technical requirements for operations of sports work in the commonwealth This concludes our presentation for the submittal verification verification process Thank you questions for joe commissioners Well set Okay, all right. Thanks. Thank you. Thank you. We'll see you later Okay, now we're going to turn to IEB and Report on suitability and I see that we have director lios this morning. Good morning, marita Good morning chair and good morning commissioners The IEB submitted a report on preliminary suitability of points bet Massachusetts LLC As you know, this applicant seeking the category three Untethered sports wagering license The IEB performed this review for preliminary suitability in accordance with the standards and criteria set fourth and 205 cmr 215.01 subsection 2 A full investigation for durable suitability has not been performed at this time Prior to the review the licensing division in conjunction with the IEB performed a scoping review of the applicant under chapter 23 n section 5 b And identified three entities and four individuals to submit to qualification and connection with this application And those qualifiers are listed on pages one and two of the IEB's report Uh, the licensing division has reviewed the application for deficiencies. There are no substantial deficiencies outstanding The applicant has been extremely responsive In that communication with the licensing division Uh, as I mentioned the IEB performed the review in accordance with the governing regulation Which is set forth on page three of the report And we utilized a team that included contract investigators including former members of the state police gaming enforcement unit And in this instance, we used a team from the contract firm of Litman gerson associates llp or lga Also a cpa and business advisor firm We made this arrangement to utilize lga We made the arrangement with rsm in instances Where rsm provides? services to the applicant In all instances the work of the contract team Was conducted in collaboration with members of the IEB and under the oversight and supervision of the IEB Our review for preliminary suitability includes a summary of points bets licensing status as disclosed in this application A summary of its self-reported compliance history and other jurisdictions Uh, not surprisingly points bet massachusetts has no discipline history as it is to date a non operational company But the applicant did disclose discipline history regarding the activities of its related companies in indiana iowa and australia Our review in the report also includes a report of the self-disclosed pending litigation valued over a hundred thousand dollars and two matters pending in federal district court in colorado and in new jersey were reported by the applicant Our review also included an open source review of the applicant and individual the individual qualifiers But not the other entity qualifiers and links to various media articles that are representative Of what was identified appear in the report The team from lgs also prepared a report on preliminary suitability in accordance with the criteria of the governing regulation Their report appears as the exhibit one They review disclosed financial information of the applicant In this case supplemented by financial filings of the publicly traded ultimate parent company that's traded on the australian securities exchange And that is consistent with with what we did with other publicly traded companies in the u.s. Utilizing Um a counterpart Data uh data collection uh Lga also presented financial ratios in its report Reviewed the forecasting submission submitted by the applicants in its general application And mr. Russ bogel from uh from the company is here to discuss its report today Uh, we also have members of the Contract team of attorney banks available today if you have any questions So that's my summary commissioners we have questions for director ellis No, just I figured when we get when we circle back to the section by section. There's a couple of Um, I think there were a couple of things in the suitability report. I've probably in executive session, but I figured I'd wait until we circle back to it. Okay, we'll do that and director lily else. You remember your team will be available Yes, of course Excellent commissioners anything else Okay Okay So at this time as um, director lily else alluded we would um, normally be Turning to rsm because of their internal conflict. Um, they We will be hearing from that men person referred to as My apology lga And this is a member of the arisen alliance and an independently owned member firm that have been engaged For the mgc and we have ross yoga. Good morning. Mr. Yogle. Thank you Thank you, madam chair and members of the commission. I'm going to share my screen now Thank you Right announcing your last name correctly Yogle is correct. Yes. Thank you. All right so, um Good morning, madam chair members of the commission. Thank you My name is ross yogle and I am a partner at lga I lead our business valuation and financial forensics team within the business advisory group I have 11 years of experience in financial analysis business valuation Due diligence in conducting financial forensic investigations I Just wanted to say that lga appreciate the opportunity to present the massachusetts gaming commission We understand the importance of the licensing process and the importance of these medians Please note this presentation is based on documentation received as of november 21st 2022 The discussion prepared by the lga team is based on our Preliminary research to date and is subject to change if new information becomes available Questions posed to our team may require further research if we're unable To respond to a question before the end of this meeting We will circulate a response to the commission as soon as practical. So as the madam chair indicated Lga has been asked To join the meeting and make a presentation on certain aspects of points bet massachusetts llc's application Please note that lga is not presenting on all aspects of the application Specifically lga has been asked to provide insights based on our experience in research Into the following specific sections Uh b2d the description of the applicant sports wagering operation within massachusetts specifically C2 the applicants project in massachusetts revenue G3 the applicants financial stability and integrity to operate within the state of massachusetts And we will also provide general observations That may benefit the commission in their review of the applicant of the three areas that lga will speak to today include an overview of the sports betting market within massachusetts and across the united states And how lga utilized certain market data To test financial projections Including the applicants projected ggr or gross gaming revenue Their market share and hold percentages We will also discuss the applicant's current capital structure and their liquidity position So portions of section two and three will be reserved for the executive session Due to information being proprietary or competitively sensitive So similar to other presentations that have been delivered I'll begin by providing some insight into how third party Equity analysts are estimating the current market Um And the hold percentages within massachusetts lga utilized market research To test the reason wellness of the applicant's financial projections submitted for category three Untether licensing so as illustrated on the slide slide four The two resources that were used for primary databases were deutsche bank equity research report within the gaming industry and the truest securities equity research report Also within the gaming industry and both were published in october of 2022 Other reports show some different views on the massachusetts addressable market, so this includes t am which is the total addressable market Um and different growth rates as well expected into the future So i'll just mention that no one has a crystal ball in estimating the total opportunity For the sports betting market and the figures within these reports may be surpassed or less than what is actually achieved Given the evolving nature of online sports wagering and the varying Um number of platforms within different jurisdictions It is difficult to predict the ultimate composition of the marketplace Even after conducting extensive market research perfecting is an imperfect science But we can say that the massachusetts market Is being viewed as a lucrative long-term growth market by operators and industry analysts So because we are evaluating a category three apple pin We imputed a high and low range of the anticipated market size within the commonwealth for specifically online sports betting And we use the total addressable market from the prior slide slide four, which shows the total addressable market So a high and low range was imputed based on the percentage of online sports betting within jurisdictions that have legalized both online and retail sports betting And so this calculation enables us to make comparisons to the applicant's projections prepared And i'll note that the truest equity research report indicates a ramp up period within massachusetts In the 2023 to the 2024 period So this means that the truest equity report May consider less than 12 months of realized Market activity in 2023 Moving on to slide six We've provided some insight into the total online market within the united states The figures presented in this graph include both online sports betting and also internet gaming And it's over a trailing 12 month period from june 2022 I'll note that the percentages between sports online sports betting and internet gaming Are approximately 47 percent in 53 percent So online sports betting would be 47 percent represented within here in 53 percent towards internet gaming Also to note that barcelon 10 are referenced twice Which is likely due to the acquisition of two sports books on slide seven We're essentially taking the information from that prior graph and showing it as of a point in time as of june of 2022 So the current u.s online market is dominated by three major players Fan duel has a 33 percent market share followed by bet mgm at 21 percent market And draft kings at 19 percent They are the the three top players within the online market of gaming Um, I just wanted to note that the other category within this pie graph Includes several sports books that have less than 1 percent of the total market share And they would include but are not limited to scoreboard win bet sportsbook road island stn sports and parks just to name A few of those companies within the other or sports books within the other category. So this line graph represents the whole percentage over time lga utilized information from other states and third party research To develop a benchmark for a whole percentage put simply Old percentage is the revenue held by the sportsbook after winning bets have been put paid out Old percentage has been fluctuating over time as the industry matures in new jurisdictions launch This shows all the jurisdictions over the last 18 months presented in a rolling average to smooth out the hold rates And you can see it's over a three trailing three months time period in a six months trailing time period Moving on to slide nine. This is the median hold percentage for all united states jurisdiction sportsbooks over the last 18 months So this scatter plot shows the median hold percentage by operation based on the number of sportsbooks in each jurisdiction We've considered a range of seven to 12 percent old rate Is the most likely range within competitive states, which is within the middle of this chart And the commonwealth would be considered a competitive state based on the number of applications that have been submitted I'll now provide just a high level overview of our observation Regarding the applicants financial projections in the company from the parent company So the applicant points that massachusetts llc Will be the local online gaming arm of the parent company points that hold being limited Which is as discussed a publicly traded company listed on the australian stock exchange As seen in section 4.1 of exhibit one of the iub report We've reviewed publicly available financial statements for points that holding limited To understand its liquidity profile, which we felt necessary to provide a holistic view for the commission So moving on to the applicant submitted projections Um the applicant submitted projections for five years indicated as year one through year five And this was based on a proprietary methodology And within their their experience within other jurisdictions We reviewed the applicant's revenue projection information and compared it to market research Provided by the deutsche bank equity research report and truest securities equity research report Which i had previously discussed and gone over For the revenue projection section An executive session may be warranted as lga's plan discussion Contains competitively sensitive information specific to points that massachusetts is Proprietary projections and their estimated market share within the common loan So given the the sensitive nature of the information I'll just provide a broad overview of the applicant's projections and i'll reserve further sensitive information for the executive So the applicant in accordance with section c point two has submitted a financial forecast For operations within the commonwealth of massachusetts The submitted forecast contains three scenarios a base case scenario A bull case scenario and a bear case scenario In each of the submitted scenarios the applicant provided a five-year financial projection Of the sports wagering activity within the commonwealth and it covers the estimated handle the gross win the net gaming revenue and the um the ebida earnings before interest taxes appreciation and amortization The applicant did not self report and anticipated market share capture rate So we use the computed Estimated range of the market based on our previous discussion and those two equity research reports At a high level the gross gaming revenue projections and resulting market share are within The range of the market share capture rate That the applicant has achieved within other united states jurisdictions As the commission is aware revenue is closely tied to a hold percentage points bet massachusetts Hold because that hold percentage assumption is conservative And it's in line with what one would expect in a competitive online sports betting operation Again due to the confidential nature Of the applicant's projections. I'll reserve further commentary for an executive session And my last point during our review is that during the latest public fiscal year filing for the parent company as of june 2022 for points bet holding limited um the company held 357 million united states dollars in cash and cash equivalents And 12 dollar 12 million dollars in uh capital lease obligations for their liquidity profile So this concludes lga's public portion of our presentation I'll stay on for the commission and and if points bets has any questions as well If you could bring take down your slides Thank you very much. Mr. Yodel any questions for him at this point commissioners Okay so Again, mr. Yodel. Thank you for recognizing that We may need you for an executive session. Am I correct commissioners that will want that so that we can put that on Mr Grossman's list. I see mr. Maynard. Yes commission Maynard Anyone else So I um We would like that executive session it if it's appropriate council grossman Okay It is now 20 of 12 Does it make sense to take a brief break and then we'll come back to do our section by section analysis before a lunch break As we've done in the past Yeah, that would be that would be good for us. Thank you madam chair Thank you. No, mr. Moreno and commissioners. I'll set with that plan. So Um, we'll reconvene around 10 of 12 1150 Thank you so much Thank you Dave Excellent. We can get started. This is a reconvening of Massachusetts Commissions meeting Number 424 Holding this meeting Virtually solid to a vocal Good morning again commissioner bryan Good morning Good morning again commissioner hill. Good morning Morning again commissioner skinner morning And good morning again commissioner mayner Good morning madam chair All right. Thank you so much and again as I indicated After I reminded everybody this morning that it's january 17th already And we convened earlier at 10 a.m We have made our way through our agenda to item 4c, which is the review. Oops, excuse me Must have hit something um review and evaluation of each application for category 3 on tether sports wagering operative license That has been submitted by our applicant today points bat massachusetts LLC um commissioners um We'll now begin our overall evaluation Um, as we've done in the past we should consider whether the applicant's response and proposal meets expectations Seeds expectations or fails to meet expectations in this context though Since we have to consider the applicant's holistically at the conclusion of this individual review this initial assessment As to whether the sections of the application Um, have met expectations will be preliminary in nature just to see whether we have a general consensus and Our um assessment is subject to modification once we've had a chance to move through our evaluations of each application in the Have the broader landscape in greater focus A reminder commissioners one or more commissioners may seek supplemental information from the applicant to any component of this application It's part of the process again as we've done prior we've considered any conditions We might like to see in the event that a license is awarded to this applicant And a reminder to this applicant our process Is expected to begin tomorrow afternoon And then proceed through the 19th and we expect perhaps to Finish up on the 20th And this is where we would identify any variation between the applicant's proposal and this category as it relates to the others so Turning to the application itself commissioners And we'll look at first section b. Do you have the documents in front of you? Section b begins on page 24 of the 170 page document We'll get started questions With respect to section b We'll start off In your section b you do indicate that there are multiple redundancies that you use to prevent prohibited sports events and other content from reaching the site um, if you could just go into Those redundancies and and including at the feed and website about all these Thank you I'll commend you to uh, andrew manino our trading our manager of trading compliance who can go into those redundancies further Yeah, thank you. Thank you chairman for the question there. I think um, you know, we have a series of of blockers that we use at both the feed and the website level to prevent Uh prohibitive markets from reaching the website We work with our data provider and partners to block on their end We're able to block on our end to prevent creation of prohibitive markets And and we work to uh Monitor our site regularly both using technology and manually to ensure that only approved Wager types are available on site Okay, any questions follow-ups on that commissioners I I have a different question madam chair At the time the application was submitted You were expecting to go live in Ohio Uh, and maryland have you went live in either those jurisdictions? Yes, we have gone live in both Okay, thank you Thank you so Mr. Brian, I have a couple questions and if you said this during the demo my apologies, um But when I was looking through what um You said that you offered in terms of what sets you apart you talked about a couple things like points betting Parlay booster tokens Um the name bet Um, can you just describe those in a little more detail for me? And again if you did it already, I apologize. Um I just had some questions particularly the parlay booster token with it getting the two days at The two tokens a day to the customers. I just Wondered if you could talk about that in relation to responsible gaming too Thanks for your question commissioner. Um, I'll direct you to her direct to discuss the contents of specific promotional items and going forward and I just also want to stress though that You know, all of our promotions are compliant with local register local regulations So, um, obviously it's not a one size fits all across all jurisdictions. Um, what what we saw what we showed you in the Uh presentation and demonstration were just examples from other jurisdictions like Ohio for example, but uh to get into more detail I'll uh, I'll shoot over to rick Yeah, happy to provide some detail here. Um, I believe the three uh callouts or I guess pieces to explore further were Name a bet parlay boost and points betting. Those are three unique features in our product So name a bet is an opportunity for customers to request a compliant market that might not be on site and see if we can Price it up and put it there for everyone. So if someone wanted to do a Crazy points plus rebounds minus assists plus turnovers for whatever reason that they want it to do that They could request it and it helps them feel kind of engaged in the product and customers who actually get a name of that Up on site. Certainly love that and kind of roast about it. It's a little badge of honor On the parlay boost side. Um, that was a token given out So for anyone who creates a parlay that day, they don't have to use it They have the functionality and the option to give it a little bit of a boost So they might build two parlays in a day They really feel good about one of those and they want to increase those odds slightly it gives them that opportunity That's all configured. Uh configured on the back end as well. So based on customer profiling You know, we might start at a default with one or two per person But based on their betting habits, uh, we can either restrict those or we can increase them or we can kind of keep the default ads is And did you want me to dive into point spending as well? Just being conscious of time Uh, yeah, just so before you move on to that so the The name of that how do you do that to make sure that you're compliant with what the book That the mgc has approved. That's what I was trying to figure out is they're asking for something But it's got to be within the book So where do you make that call as opposed to at what point do you have to come back and say to us? Is this okay I would say it's all Manually done. So when the requests come in they're kind of filtered and reach our trading game And so they obviously are very familiar with what is allowed and the state. There are any questions They can raise on with our team and ask usually it's uh, and Just a small variation of an existing market that's already been approved Yeah, uh up, sorry sorry Build on what rick's saying there, you know, we see that as the trading team Those messages come directly to us whenever clients request a market Including their jurisdiction and the sport and the wager that they're looking for And then we can compare that to the existing regulations to ensure that we're not offering things that aren't approved But as rick alluded to the majority of times its variations on already approved Markets such as a player's rebounds over under who's not already been listed outside And then in terms of the the tokens um At page 57 when you sort of described them it almost looked like an automatic two tokens get You know pushed out to everybody every day. It sounds like you Maybe tweak that And that's not automatically going out to everybody Yep, just to reiterate what I said the um, you could think of almost that as the default for new customers And then it's completely configurable. So based on The betting habits of someone if we feel they're not into it or for whatever restricted purposes We want to restrict that we can take it all the way down to zero if we want to and do it some cases um, if it's uh, you know, certain uh higher statement client or VIP customer we might give them three in a specific day Whatever that might be, but it's the point is I guess it's completely configurable on the back end In commissioner o' brian just to add to what my colleagues have Spoken to here today. I think it's important to note that what's most important two points But is making sure anything we put out there in the way of a promotion is an alignment with whatever the regulating Regulating body is in that jurisdiction. So we've obviously adapted that in all 14 states that we've gone into Again, this was just sort of an example and again could be completely configured based on guidance that The commonwealth could provide Try to follow up. Um on the name of that Is it just that one time or does it go into your Stay in your operas It's very specific to that moment in time. Usually it's about a specific player in a specific matchup Um, so after it expires, it's removed from site. So it's specific as opposed to time. Okay, great. Thank you Yes, commissioner guys, sorry. I have one more. Sorry if you go back to page 37 um You were talking about some of the procedures. Um, and you talk about a hardship request Saying if it's going to take longer than 90 days to resolve you would communicate to the commission and ask you And this may have come up and I missed it in other applicants. Is that and maybe gli can answer this too. Is that a standard practice in the industry in terms of if it's a Complicated fix they come back and just ask for delay and implementation Yeah, thank you for thinking think for the question commissioner We we actively work with you know regulatory partners So, you know, we don't necessarily view it as even making a request as so much It is is it is keeping them a prize of our progress now there will be times when it's it can be too difficult Uh to to hit a specific deadline, but we would always come with You know a sign of progress and just kind of where we are in the process of making that fix So, um, it is relatively standard from jurisdiction to jurisdiction But again, we don't you know like to take too much advantage of it We kind of just treat it as a way of Again treating our relationship with a regulator as a partnership As I don't know if anybody from gli is on the call who can If not, I can table it until we get back there That was all I had Madam chair Okay, um, joe is on but he may be just right now busy so we can you can go back to him All right, commissioners are the questions are this job? You want to be sorry Hi, yeah, joe the on page 37 they just talk about hardship requests If they're going to have to have something a feature an issue that takes Longer than 90 days to resolve. I'm assuming that's a pretty standard Practice in the industry, but we haven't really talked about it I'd have to defer to a client, but I'll get the answer and come back. I'm sorry to one of my colleagues and look Back Okay, okay. Thanks Okay Other questions commissioners I'll ask a question. Um, are you looking at your notes? Um question that's come up You see that I think it was in b3a and you have a listing of um Enumerated items that rewards points can be earned on every single bet and redeemed for free bets To be used immediately. I hear that you no longer use terminology risk-free What what exactly does a free bet mean? I know that we're all working You're working as an industry. We're working as regulators to address that terminology Madam chairwoman. This is rachel casper vp illegal The the change was obviously I think driven by the fact that points But is again very in touch with the industry and trying to make changes in alignment with What customers desire? I think there was some confusion in the market And so what we've sort of moved towards was a free bet itself Right is that there is nothing that the customer has to do in order to obtain that and I think, you know historically the combination of risk and free together Sent a message to patrons Across the industry that was not well understood and I think through terms and conditions and everything else in the use of free Bet that's been more clear. However, again, we've moved away from that as well in jurisdictions where the regulator has said That is not clear enough for our citizens So where you have where you do use it the theory is it's truly free Madam chairwoman that is correct. Yes, okay, and you eliminated the language risk-free altogether So thank you You're welcome, but you do have jurisdictions. I know that you're operating in where free bets can't be used at all Can you tell me what you use instead? Yes, commissioner chairwoman It's uh, not so much that certain promotional activity is prohibited. I think it's more that certain regulators Are restricting the way that it's actually communicated to patrons. So I think the best example is the ohio casino control commission where we recently Launched in and their diligence around that communication to to the citizens of the state They wanted it to be abundantly clear and they kept using the word conspicuous, right that the responsible gaming message was there and that Whatever we were putting out into the ether was absolutely true on its face That that messaging wasn't hidden. Um, and again the terms and conditions always support everything that we put out into the space But the ohio casino control commission rightfully So took a different stance and gave that direction and as such operators have followed suit and I think it's just showing The variation in the regulatory landscape and and again operators and just like us as points, but Adopt to that based on where we operate This counts for gene line if I just ask those so because I haven't had a chance to do my homework with respect to ohio Uh, if we were to be in ohio and to look at a points bet app Rare today we saw a glimpse of free bets and we saw in the application in points bet Are you using the terminology? Rebats in ohio or are you using some other terminology for those promotions? Madam chairwoman, I will have to defer to my colleague rip just to make sure I don't speak out of turn But my um understanding is that we've moved to That credit but rick. I will turn it over to you to give confirmation there Confirm yes, that is correct. We use the terminology bet credit in ohio in replacement of that free bet terminology Thank you Okay other questions commissioners Well, I'll give you a shout out. I like that you acknowledge the awards that you've received including Being sports will plagiarism operator to watch That sounds like a good position to be in So congratulations to you on on on the progress that you've made with respect to innovations Anything else with respect to section b commissioners Richard hill madam chair I'd like to think that i've been educating myself on all types of bets through this process that we've been going for over the last six months But I have to be honest. I'm still not totally understanding Point betting and how it works. Can someone like give me an example from point a to point b how this works both positive and negative Please Yes, I'd be happy to walk you through that commissioner understand that uh Point spending is a little different than what you see in in other wager types. It is proprietary and so It's not something you've seen out there before So I'd be happy to walk you through some of the bet types we offer there Is it something you'd rather do an executive session? No, I think it's fine. Okay. Thank you yeah, so The way point spending works is that you're wagering on How right you'll be so for instance if you wagered on the total number of points in an nba game You might wager over 200 The more right you are the more you're going to be reported there. In other words, you weren't betting per point over So for instance, you might bet one dollar per point on over 200 And then if the game goes to 210 You win 10 times your stake if the game goes to 220 you win 20 times your stake Or if the game goes to 250 you'll win 50 times your stake there Uh and likewise loss if the game's at 190 you lose 10 times your stake if the game ends at 150 You could lose 50 times your stake And so that's where that stop loss comes in where clients may who may not be comfortable taking that larger risk can reduce it and uh Keep their their their total risk within set boundaries that they're comfortable with I understand it a little better now Thank you Anytime thank you commissioners other questions on section b I think joe is back with a with an answer madam chair Thank you There you go, joe I do have an answer to commissioner o'brien's question And while hardship requests aren't generally to be taken lightly by any sense, but the uh, uh, they are uh available for the operator to of Basically fix something that isn't compliant and 90 days is more than normal for Uh that type of return window Joe you just your voice lowered right around the 90 days Yeah, 90 days is totally normal for that type of return window. Thank you You're welcome. Okay. All right, so can I um Learn from you commissioners whether you this Of applicant has met expectations with respect to section b Madam chair, I believe the applicant has met expectations for section b I agree I agree Commissioner skinner I responded that I agree Well, I couldn't quite hear you and I'm so sorry. Thank you. And I thought it was very very strong Section, so I agree as well. It was Really quite a pleasure to meet. Thank you Okay leading to section c Questions commissioner I can start Madam chair I'm always interested in community engagement And as I was reading your application Uh, I was hoping maybe that I would have seen a little bit more a community engagement in other jurisdictions So I was wondering if you could maybe elaborate where you have been more engaged with the community I noticed as one of the um comments that was made and this is a theme that we've heard throughout The application process that is and I'm tethered A mobile operator, you know, you're limited because you're not here in boston not physically here and I understand that But what we've seen from other applicants where they have actually reached out in other jurisdictions They partnered with food banks. They've partnered Um, I'll use boston, you know, jimmy fund the red cross PMC things like that where they partner with them and and work with them. So can you just Enlighten me what you have done in terms of community engagement and not necessarily Cross I don't know the word I want to use but Not necessarily just helping your brand but actually helping the community for what you will be doing this and said I very much appreciate the question commissioner. Um, you know, I I do want to stress that, you know, we view Uh our responsibility to the communities that we operate in as quite serious and that ranges from You know, our obligation with responsible gambling to just our general obligations to to respect and invest in our community around us Um, you know, that being said, I think we're most interested in very long-term Partnerships and commitments. I know amanda anderson is our chief of hr She'll be able to speak more to specific instances. But just some instances that we've we've been investigating within the commonwealth You know, we we've we've uh employed issues management group to begin conversations with with food banks We we've we've begun conversations with, you know, female-owned businesses We're operating within the commonwealth for parts of our operation that could potentially be something along the lines of You know, outbound communications to keep to customers and things of that nature Uh, but again, i'm just gonna throw it over to amanda to to to flesh it out another detail of what we've done in the past Yes, thanks andrew. So as laura mentioned in her presentation earlier We are certainly exploring partnerships with women-owned businesses locally. They're specifically a call center operator Um, but would want to be actively involved in the community as well So some examples of things that we've done locally in denver would be a partnership with project angel heart Which provides meals for medically disabled persons We also participated even yesterday in the martin luther king day parade here locally in denver We've gathered food for local food banks We've done toy drives in our denver office as well as our new york office And like i said would certainly look to extend that in any area that we are operating What i what i found interesting madam chair and to my fellow commissioners is What you lacked in section c At least in the application. Thank you for elaborating what you've done When you go to section d I look at all the partnerships that you've created and all the dollars that you have given back um in the diversity equity and inclusion section so it's just kind of Interesting where we were seeing those partnerships, but under the community engagement I was hoping for a little bit more But at the same time I do want to give you kudos For promoting your local businesses, which I did see you partnered with a lot of them during certain events the nc double a's Things of that sort and something that I mentioned the other day, which is big for me is working with our tourism industry to ensure that this new Industry prevails so well here in massachusetts That would be my comments madam chair and thank you as always Yeah, and commissioner hill just to build on that i'm so i'm glad that you saw that um The points in the dei, which will get to they also noted What mr. Moreno's? mentioned on page 70 It may be that it just you know our framing of the Application they did mention exactly when miss anderson's marino just mentioned about Their hope to be able to work on a community level with food banks, etc Here in massachusetts, so the page 70 kind of supplements to Their answer and then As you mentioned the other items in section c Which really did also as you said give you gave kudos to them for that so It's supplemented orally today, so thank you commissioner hill We love that that's your that you value that so much because we see this is great opportunity for the coming up Agree very much Yes um, so i did see on page 62 um A relationship with trune and your willingness to engage with at least three golf courses and commonwealth um So kind of took commissioner hill's point in the chairs Um, can you tell me a little bit about how this relationship works or will work in your mind? Yeah, absolutely. I think you know And thank you for the question commissioner I want to throw it to rick because I think you know our partnership with with trune really feeds into our overall marketing strategy And he has a very good idea on how we would be deploying it And how we have in the past so without further ado i'll let rick take it away Yeah, happy to shed some light on that. Thank you for the question commissioner So our partnership with trune is a really unique one one that we're really proud of It allows us to obviously tap into what is a premium partner in the world of golf But also again through that localized marketing presence. So it's not a one-size-fits-all approach The trune network Uh kind of expands to a lot of courses throughout the country The three you mentioned in the state of massachusetts So we can tap into uh vip watch parties or programs or tournaments that we do there We can certainly uh piggyback on any media that they're doing in that Environment, but the idea here is you know to reach a higher affluent customer someone who's interested in sports Which translates also well to our product where we feel we have one of the strongest golf betting product availabilities for uh betters there as well including our most recent Update and visualizations powered by iomg data Thank you Mr. Maynard are you going to mention that you're a health fan? So I would say to rick, you know, I grew up Playing at municipal courses and so I can tell you that even non affluent people Love golf and love to interact on a golf course. So I think you'll reach that that market But I think you're going to reach a Our broader market at least in the commonwealth A lot of golfers No doubt about it. Thank you for the follow-up Okay, well questions on or new questions on section c commissioner brane I'll um commissioner like that both of you Thank you Questioner, um, I had a question. Can we talk about the Proposed call center and maybe that's not the right term proposed Potential call center. Um, I didn't see a whole lot of detail in the application or in the presentation And that may be because you don't have any you're in the beginning stages But can you tell us if that's the case what steps you've taken thus far? Um to develop those plans Yes, thank you very much for the question commissioner Again, we are very much in the nascent stages of the discussion with with this potential partner We're we're now scoping what the work would look like and kind of continuing to have ongoing conversations with them about their capabilities And their availabilities So it's it's very early in the process right now and you know for for more details You know, I'd be happy to go into it in the executive session But I think from our point of view again We're interested in really sustained long-term partnerships and within within within states that we work in And so, you know, we don't want to rush anything. We want to do our due diligence But the things the talks have been very promising so far And you do envision a brick-and-mortar location and not You know, sort of a remote establishment based out of massachusetts or Rather utilizing massachusetts residents Who work remotely So in terms of our partnership with the call center for example, is that what you're referring to? Yes So our belief in our conversation so far is that they do have brick-and-mortar locations Uh, and they don't make use of remote work residencies or anything like that. So Again, we're still kind of going through the process of vetting all their capabilities But for now, uh, it appears that that would be the case Okay, so it's beyond it's beyond just staffing. It's actually kind of formal partnership with the wbe Operating here currently and that's correct. That is the potential. Yeah Thank you Commissioner Skinner, would you like to explore that more if it's needed in executive session or are you satisfied? I would actually if that's appropriate Ms. Moreno, I assume Chancellor Grossman would ask you if you were to elaborate that that would put Points back at a competitive disadvantage Yes, sure Madam chairwoman. Yes, we would request that it be discussed in executive session if approved by the commission Councillor Grossman any questions At this time, we're going to hold I think I understand. Thank you. Thank you. Okay Further questions on section c I had a couple of them, uh, madam chair In several areas in section c you say that you're taking steps to engage You know PR our local PR firm are taking steps to Exploratory discussions with certain communities And I'm wondering if you can be a little more specific than that And if you can't be in the public forum, whether you could be more specific in connection with that In an executive session Thanks for your question commissioner. Um, you know, we can be slightly more specific. I think Within the executive session, I think that the the one thing I want to stress though is that because these are such Uh, you know early start of the conversations with a lot of these organizations. We can't really come comment as to Specific, you know and goals and dates like that yet I can tell you that we're very excited and anxious to do so and I think, you know This is just one step of the process when we, you know, have a reasonable idea that I mean, perhaps we'll be operating and we can more Do a lot of these partnerships, but uh, yeah, we would probably want to save that for an executive session discussion Okay um, and then one of the things that I have to give you points for is um Your you've said you already have English and Spanish ready to go on your platforms. I think you're the only One who's come in with Spanish anything other than English ready to go. So I did want to Um say that I was pleased to see that Well, I appreciate you saying that as a Spanish speaker myself It would be uh, it would be shocking for me to not have enough option to uh To use the app but with the right localization, right? Thank you Madam chair, can we I apologize I was taking notes on the last executive session one I missed the exact subject commissioner brian you were asking mr. marina about So there um, I asked him about I believe there's a reference on page 62 Where they talk about um taking steps to engage pr a local pr firm and then I believe further down that same page it's um having exploratory discussions How about any direct relationships for local or regional community work? Um, and they indicated that because of the nature and the posture of those talks that they would feel more comfortable Alliterating an executive session Okay, thank you Yep, other questions on section c I think I'll just mention uh commissioners as a prompt one of you want to mention the lottery's been addressed um, I think you're imagining cross marketing Um Opportunities there and any knowledge points back that you don't see the products competing if you want to just expand on that We've welcomed that please. Thanks Yes, thank you madam chair We I'll defer to rick in a moment just just generally though We don't believe that our product offering and our platform Are in any kind of direct competition with with lottery users I think rick you can speak a lot more to Kind of our our target demographic and how that individual would probably supplement lottery play with their use of our product or not at all Yeah, I think that's exactly it. I think they they complement each other very well So we're certainly more than happy to explore any potential partnerships the lottery feel like our product Lines up well as an adjacency to a lot of users That could help kind of both parties. So more than happy and open minded on that front well, I'm a lot commissioners excellent Any other questions on section c Can I take commissioners temperature on this section? I see you're still looking at your notes. So no hurry Madam chair. I'm satisfied that the applicant has met expectations for section c but I believe there was a question about a Executive session question. So I don't know if we want to wait until after that before we would also rsm's report Oh our report for section c. That's right. So yeah, I think I agree. I think we should Well, I don't know if this was your sentiment commissioner hill, but I think we should Walk on taking the temperature on this section until after a second session Agreed Everyone's fine with that A couple of other issues. Great. Thank you All right and moving on to dei section d Madam chair. Yes always interested in hoping that One of your consumers can get to your 24 7 which I read on page 74 They can but can you explain to me? Is that through chat? Is that through email? Can I get hold of a real person 24 7? So just kind of elaborate on that issue for me and I appreciate it Yeah, thank you very much commissioner I'm going to refer to bill fox who is our director of customer service to kind of go over We have a number of different options. So I just want to let him address that right now Yeah, thank you. Thank you for the question. We do offer 24 7 customer service We offer live chat Email and phone all live person so you can get to a live person 24 7 I think a great example is when we launch in Ohio recently We launched at midnight on New Year's Eve. So You know, we had Lots of questions right at launch and we were able to service all our clients Throughout is without interruption Okay, that satisfies that question madam chair. Thank you Okay Mr. Skinner Thank you. I'll speak to the diversity spend Please that you've provided a number It's a big one but Truthfully means nothing without sort of a contextual number to to Match that up against and so if you could provide that at some point, hopefully you'll be willing But then also I didn't see any goals mentioned in either the application or the presentation So could you also speak to what those might be? Yes, thank you commissioner Skinner I'll throw it now to Amanda and Laura to speak on that specific item Thank you, Andrew As I did mention in our presentation points that is committed to creating a diverse and inclusive workplace I am confident in saying stepping into this first quarter of the year We are focused on attracting and retaining diverse talent Increasing our diversity percentages year out over a year As well as setting up the creation of employee resource groups Introducing learning and development such as unconscious bias into our workplace And then to continue those partnerships throughout the states that we operate and serve Madam chair No, I was probably I bet commissioner Skinner was going to ask does that mean you have a goal? And can we see the goal? Are you referring to a specific percentage number goal? I think a lot of our goals currently are programmatic and about building those programs that Laura was just referring to You know, we're happy to kind of as she said continue our investment and try to beat year over year Our numbers every year regarding diversity spend diversity hiring and so on and so forth I don't know that we can speak to a specific goal right now overall number But if that's something that you want us to to work on and get back to you. We're happy to submit something today I I mean if possible, I'd like to see a goal and if not possible I'm going to weigh it against the the application. So and I retweet everything that commissioner Skinner said earlier Appreciate that commissioner And yeah, we'll work on getting that goal number over to you immediately I think that to commissioner Maynard's point It's in the application the request for a goal on supplier diversity Perhaps there's some reverse engineering you can do To supplement the application correct commissioner Maynard Given that you did provide as commissioner Skinner points out your spend and We haven't seen without applicants so now And we hadn't seen the many applicants the The goal that we have been asking for I would correct one thing is the dollar amount of spin not the total spend with the dollar amount of spin understood And those spend goals That that is a question in the application that that just wasn't answered thoroughly and so If you could provide that information I'd like that Commissioner Skinner, do you mind repeating it? I just couldn't quite hear you. I'm sorry. I was just pointing out that the diversity spend goal Goals, excuse me is That's asked in the application in section d2 Happy to sell Thank you commissioner Skinner. I'm going to Allow you to opportunity you often concentrate a bit on the workforce numbers Um, we have some real numbers in terms of leadership roles, but we don't necessarily have the percentages Did you want to take the lead on that commissioner Skinner? I did do the percentages madam chair. This is I don't trust my math, but yes commissioner brian. I'll think I'll take your lead Yeah, so I did I looked at them yesterday and and I wanted to ask about that because the They're not great numbers compared to some of the others numbers that we've seen so and correct me if I'm wrong in the percentage calculations, but It would seem like You've only got 18.75 percent women In the stats that was responsive to d1 c1 and then in terms of the The racial and ethnic diversity. It's about 73 percent white. Is that correct? Correct. I'll again have to refer to to amanda and laura to to flesh and eat us out But in terms of what's on our application. Yes, correct Yeah, so I'm wondering if you can speak to your efforts in both of those areas to get those numbers up Or so we we do have an ongoing partnership with women in sports tech to actively recruit Um and women uh into our workplace. We do recognize that we have room to grow in this space Um, I am actually new to points, but it just started two weeks ago And so this is top of my radar to to have a strong focus in this area to attract and retain Women and diverse individuals into our workspace In terms of percentages, um I will say the numbers that I was working off of come out to about 23 percent women in our workforce 39 percent Make up our diverse workforce And then if we dig deeper it's about 26 percent women in leadership And 14 percent uh diverse leaders Okay, so I'm wondering if you can give me the raw numbers because the numbers I was working off of don't Those numbers are better than what I had. Um I'm getting just some feedback commissioners feedback and yeah Sorry, I don't know what that's about better Yes, it is Okay, I was just I was just pointing out to commissioner bryan's point The numbers we saw our percentages we saw in the presentation earlier today are different and what's reflected by the numbers in the application So I I don't know how how this law left lords gives me Can explain that Can I sure skin this is for VP of legal my guess is there may have been Um differences as far as hiring from the time of application But I think if amanda's on maybe she can speak to that more clearly Yes, thank you rachel. Um, I was just going to chime in there and say yes The numbers that we were looking at in preparation for this presentation were our current number So that's maybe where the differences are coming from from the application to today's presentation But I just want to reiterate that it certainly is de and I in hiring and retaining Diverse talent is certainly a focus of ours and as evidenced by the recent hiring of laura into this role specifically Focusing in this space. We will continue to explore partnerships locally here Excuse me in denver as well as new york and in Wales that we have physical brick and mortar locations and we look to employ folks to be As diverse as possible And then of course like we will continue to look at our Supplier diversity and our suppliers spend as well to continue to Um award those contracts to diverse businesses as well And I noticed and when you stated your intentions to join various things you've got Obviously references to sydney the women in sports tech And then some colorado specific, you know chambers of commerce that sort of thing So are you expanding that to new york and then would you anticipate doing that in massachusetts if you get Even the call center or something like that up and running in massachusetts Yes, thank you for the question commissioner. We would certainly evaluate our opportunities to join those chambers They are locally as well if we were to partner with a local own Well center or any other brick and mortar facility as we would want to be actively involved in that community Thank you Other questions on section d. I would point out that I did note Um That with respect to to your commitment in colorado You are reaching out to the native american population And health issues there and and I think that can I see commissioner may or not in your head. We we appreciate that outreach Um to commissioner skinner's earlier point. I think we're going to explore it more in the second session We welcome the opportunity to have a brick and mortar here and to have you Come and have an active presence here and so In turn we extend You know our priorities and values and that is around diversity in your workforce and workplace We also know that your numbers may be a little bit lower I saw I was looking at leadership and I kind of have the same Uh percentages that you had miss anderson the pose the overall number which I didn't calculate How this well as commissioner brian? You're not the first applicant to to indicate that there's some challenge here but what I do like Is that we've got plenty of women on this screen to really work on recruiting more and more women in technology and in the sports world So that that diversity will be well represented so Just worrying of the fact that you said you're spanish speaking Your presence alone, right? Got that change faster than any other applicant in terms of having two languages. So That right there shows the value of making sure that we are Diverse that representation. So thank you for Thank you for the Where you have indicated in your application your commitment to diversity in your other jurisdictions Right Other Questions on section d. I think I'm on set commissioners Do you use is anyone seeking supplemental information on this or any need for executive session? I mean, I've noted it Are we on set No need for an executive session, but I do think we have some I'm sorry. We're still on d, right? so the goal the goal of supplier diversity And you also asked for the overall spend. Yes. I don't know if I'll have that Available in executive session should set something that would be readily available Madam chairwoman We can work to get those numbers for you as soon as possible. Um, and we can let you know if executive session is Feasible or not. If not, we will follow up with written communication as as soon as the Executive session is concluded Okay Madam chair, I wasn't expecting that information in executive session if that helps Well, I wasn't sure if it would be protected or not, but if they actually can provide it They even better. Right. Mr. Skinner Okay, thank you. All right other questions Are we comfortable? Speaking on the the quality of this section commissioners How's it met expectations? So subject to getting additional information I do believe it has met expectation. Thank you I agree. I agree. I agreed Okay Great. Thank you very much Then we'll move on to the responsible gaming And There's a compliance piece as well commissions I I have to say I very much like the presentation today on responsible gaming. Thank you The application was very very good too, but I thought the presentation was very thorough. So thank you commissioners I just second that madam chair. I think it was a very strong section Any questions of commissioners there? Commissioner, right um, I agree with that. I just I have a question on You talk about sort of ad hoc putting icons out for information. I think it was page 72 of the application Can you I was wondering if you could give an example ad hoc Identification receive information about rg if they exhibit a red flag, you know that sort of thing So I'm just wondering just a couple of examples that might trigger a red flag for that Yeah, thank you I'll refer to rachel casper. Just a moment. I just do want to say that part of the ad hoc research and And sweeps that go on that the rg does are cross-disciplinary. So our Frequently deals with every other team. So they talk with trading. They talk with vip managers. They talk with account managers They, you know, they screen for for chats and things like that But it truly is a very holistic approach Just for more detail, I'll turn it over to rachel Thank you, Andrew. That's exactly correct and Commissioner o'brien. I actually am joined here with our director of customer service and I would just echo what Andrew said Which is it is cross-disciplinary and it's important that every single business unit within points But is aware of our responsible gaming strategy and anyone who touches patrons in the way of communication that they understand next step So that ad hoc initiative is really looking at sort of different triggers within the communication And then escalating through that comms plan that we have to our rg team Um, I may turn it over to our director of customer service here to give some very generic examples of Maybe something or a communication style that would trigger something from a customer service side to escalate through rg Yeah, thank you for the question It's it's really just being cognizant of of what the client or the customers are saying Looking for red flags a situation where A customer might say i'm not going to be able to pay rent if you don't cancel my bet Or you know, you can go as far as even more alarming flags But those are immediate reviews that we flag to the rsg team to take a look at the account because it's the It's at the foremost importance for us Yeah, and just to follow up on that I think so obviously we pointed out one of the flags being overt communication of Concern around finances and that one's obviously easy to identify But as andrew said we do have other business units who kind of look at a compilation of factors, right? so the number of deposits versus you know The alignment of the profession that they have right and sort of what they are sort of in their community So there are some pretty robust behavioral Explorations that we do on each patron based on different signs that we're seeing But some of those red flags again spend direct communication We've talked about chasing losses, right? So if they've placed a wager and they've lost it and they keep placing another one, right? That's obviously not good behavior. And so these are things that would be those red flags That would then escalate to our responsibility in team Okay Thank you Michelle Brown, I'm going to follow up on something that raised with respect to an earlier applicant As I mentioned, I thought that the application and the presentation was really strong on the responsible game gaming policy and approach I couldn't tell from your application whether this is a plan that's been adopted by You know your your board or our governance committee, whatever Procedures are in place then if so There's a way for you to to communicate that to us Thank you, madam Before I give you an affirmative in public session. I will confirm that internally And communicate in writing whether or not has been approved at the board level Unless Andrew, you know differently Well, no, I was just going to add on to that Rachel Madam chair that Regardless of whether or not there's board approval We can say that our internal controls go through approvals for each jurisdiction that we go into And we have formal adopted rsg policies in each state's internal controls that conform to the requirements and in many cases exceed them So that's that's what I would say is actually probably more of a gold-plated Sign of approval is that in each of the jurisdictions we go into we get formal approval from those regulators Thank you Madam chair Yes, mr. Sure So I don't know if we want to get into this discussion now or a little later, but starting on page 81 Some of the issues that rose time let me just bring up the page Are you looking at the e3 the compliance issue? Yep, okay Before we turn to that. Can I just mention again, um, when I asked about the The icon with the little eye I thought I think we should think about that commissioners because He notes that in 2020 Massachusetts players scored low to medium On gambling literacy and I'm sure that director van der leiden is what we are about so I like I like that. There's an electronic You know Have where they're pointing out what that means And continues to educate on gambling literacy So I just wanted to get kudos to you on that and then just put it in our parking Place for us to consider Again, remind me commissioner hill on the page where it starts page 81. Yep. Got it Anything else before we turn to this commissioners? Unresponsible gaining okay, so uh commissioner hill some of this might be protected and Should we ask Councilor grossman to help us navigate this or did you have a specific question? How do you want to approach it? So I think I would first ask uh, what can they tell us in public? and what they're comfortable with and You know, I'm always hesitant to bring up what I'm concerned about in case it's a an executive session issue but I do see where There has been, you know, a final disposition on a couple of these So I'll put it out there and tell me taught if I'm not allowed to say it or not But I see a lot a theme of unauthorized events and prohibitive Prohibited events caused some angst for you And I was wondering if you could talk about those issues publicly Thank you commissioner hill for the question I think I can answer it very broadly in the public portion and then based on sort of just competitive sensitivity would request that we address specifics In executive session, but generally just like any other operator in this space We obviously integrate with different data feed providers and as our sort of manager of trading compliance was highlighting earlier We put those blockers in place I think I can't understate the level and complexity of data coming in and out of different systems And so sometimes even at the best with every blocker in place There are certain things the way that they're coded into the system or the data is flowing through or there's a lag So there's the amount of data coming in that if there's a sort of millisecond lag, right? That something doesn't get captured in time and goes on site for 10 minutes, right? That that may occur And again, that's not unique to points, but that's something that every single operator would experience in every jurisdiction I think the key and what is important to take away here Is the level of manual oversight that our trading teams have globally over the authorized trading markets and the different processes and procedures that we have in place to capture it As soon as possible and and to remove it I would also bolster it with saying that whenever this occurs the first and foremost thing of importance is communication trans transparency With any regulator to make sure that if there is an impacted patron that it's handled pursuant to the regulations and Our house rules in terms and conditions, but I think broadly that's that's what I would say about potentially a prohibited market going on site And I will pause and pass it back over either to Andrew Moreno or Andrew Manino to see if they have any additional comments Thanks, Rachel. Nothing for me Mr. Hill, do you want to learn more in executive session on that? I think I would madam chair because Didn't it There was a frequency to this particular issue that I'm concerned with so I think if we can talk about an executive session Although I'm looking at the cases and they look like again, they've been disposed of so again I don't know if those are public or not Yeah, I think madam chair commissioners if I can jump in it might be helpful and thank you miss casper for that overview but to the extent That commissioner hill you or any of the other commissioners are interested in understanding the particulars of any of these instances We should go through those specific Situations, it's my general understanding and now that we've been through this a number of times We've confirmed that that most of these look like Matters of public record certainly any defenses raised or specifics as to adjustments Or remedial action that was taken by the company based upon these would not necessarily be public but The facts of these matters and the resolution Are likely public information So if there are specific Instances here that you'd like to talk more about we should ask that they describe those For you see if that answers your questions And if not we could go into executive session to talk about some of the real particulars And they're listed. I think it's fair to identify them by state They're all they begin on as you noted commissioner hill On page 81 of the application. I believe they're the same Events that are described in the IEB's report as well So if you want to go through them, you know Just identifying them by state and then the page they're on I think we could ask Ms. Casper and her team to try to identify them in as much detail as possible So if I could just say the first three in the end and starting on page 81 Thank you. I'm satisfied with that You would like us to provide just more context around what occurred there is that Yes, please Yeah I'm gonna pass this over to andra menino So the the first one out of indiana looks like it was uh in august fourth Um for the english league football one third tier league That went on site andra. Can you speak to sort of uh some specifics around how that happened? Yep So, uh, this is an example, you know With these incidents, uh, we've seen a variety of of causes here and this one in particular is a manual error Where a trader was working to Get this market up in one jurisdiction and inadvertently Loaded it to other jurisdictions And what we've done this year is work to expand our notification system for our trading team So we've built a a blacklist that contains every league which is unapproved in each jurisdiction and is sweeping our own websites every one minute To respond and notify traders So there's no longer any any amount of time longer than one minute that uh markets can stay on site like that Without being notified to traders and so, uh, for instance in this case if we go up with um English league one today in indiana the the blacklist would immediately Catch that and notify traders and so what we've tried to do as we've seen these various incidents come from a combination of manual and feed Issues is try to create a system whereby We can catch as many of these errors as quickly as possible when they do occur We work as hard as we can to stop them from going on site And in those cases where they do go on site We want to make sure that we're able to detect them and respond to them as quickly as possible Thank you. Andrew. I think the second one commissioner hill for indiana was a data feed issue specifically around a collegiate bowl and east flush shrine bowl I'd like to point out here This challenge again is not unique to points But in the sense that when there are approved leagues or markets, there are often offshoots Full games, etc. That may not be sanctioned by a league and sometimes it's not Um, completely evident to operators or data feed providers And I think that is what occurred here. But again, we'll let Andrew provide support context Yep, so this is an example where the feed uh created an automated challenge for us. So in Our feed system. We have particular blockers on college sports, which prevent prohibited teams from appearing on site in this case the feed provider included a collegiate all-star games Including the collegiate bowl and the east west shrine bowl under the umbrella of their nc double a And so these games automatically appeared on site this happened during the overnight in the us time and Was immediately noticed in the morning and taken down by us traders This is another good example of the sort of thing where we work to improve And our blacklist now would catch this much faster rather than the number of hours that these were on site when this Incident occurred around this time last year We've also worked closer with our feed providers To look for these unusual markets and speak to them constantly being regular communication For anything out of the normal or outside of regular season events Thank you, Andrew um in commissioner hill on the the third one in that particular list also out of uh indiana had to do with uh listing of an olympic event on site where wages were taken What I would say here too again, and I think as this industry evolves, you know We're all getting better and better as the days go on. I think um Obviously the approved events being marked both and blocked on the the feed provider side as well as the operator side But also the unique thing about sports and sports wagering is the different offerings every time of year, right and something like the olympics every four years, right? Versus the nfl season that occurs periodically every fall And so I would say here, you know, andra will expound upon how this this occurred But we continue to work and strengthen those partnerships And you know expedite the process within our own tech to catch these things At the speed of light Yeah, so this is another example of a manual error where market was uploaded to one jurisdiction and incorrectly uploaded to others This is the sort of thing where with the olympics what we found was A significant difference in regulations across various states and what was approved So what we ended up doing and we learned from this this happened on the first day of The olympics in 2021 and what we did was what we were able to learn from this was how to prepare for Future olympic events we used This experience from the summer olympics and apply it to the winter olympics And what we're able to do is get a full list of all competitors Who are under 18 at the time of the olympics and include that in our swedby services For those future olympics So again a good example of Not the initial outcome we were looking for but an opportunity for us to learn Tighten up our programs and policies and work towards ensuring Less unapproved competitors in the future especially in things like the olympics where we see underage athletes I want to thank you for that that explanation and for those last Three issues. Madam chair. I'm satisfied with what I've heard and I don't need to go into an executive session to hear anything further In this regard. So, thank you Thank you commissioners Other questions on this table or any follow-up to especially just for Just to get you on It's also in indiana Second one down from the last and tonight you just discussed He's on page Commissioner skinner. I'm just having a little trouble hearing you. I'm so sorry, but 80 page 83 Okay. Yep. I'm there and The first one on the list The first full entry Indiana Okay Thank you Or is this for the august 4th, uh, then I don't have the benefit of ph numbers. I apologize september 30 Got it march 23 March 23rd September 30 of 2020. Can you guys hear me? Yes. Thank you so much. Uh, commissioner skinner uh, so this was Yes, oh, so just to give a little bit of context here and Um, again, if executive session is is needed further. Well, you know, obviously every jurisdiction has Um, a list of individuals that they prohibit as sports wagering participants Often coaches athletes, etc And so that was the situation here and through uh, due diligence and sort of monitoring an individual We believed them to actually be a prohibited participant Of a team and we took immediate action to reach out to the regulator Again, each participant when they sign up says that they are not a prohibited person And unless we're provided with the names of those individuals by a league or association We have no proactive way of blocking them But we have a team that manually searches through monitors behavior names, etc And so when they find them we report that To to the regulated authority As as we did here and I will pause for a minute and let Andrew Minino add anything additional Nothing hit on my end on this No, thank you. I'm satisfied with that. We'll need to go into executive session Um, you know while I think it is a serious issue. I'm happy to learn That is it is Perhaps not as serious as I suspected because I thought it involved an individual on the Self-exclusion list So, um, thank you helpful clarification Thank you Okay, further questions on this section Cross-referenced in the IEP report, of course Commissioner Skinner, I would just like to follow up. I'm going to confirm for you That was not the case after you sort of highlighted that I will actually confirm that it was not a self-excluded person Through prohibition They're just want to make sure I'm not mixing up my facts. And so I will follow up and writing on that And only one of the four actually placed wages but placed a number of them But it looks as though this was all reported by points that to the regular Correct, okay You have the chance to scroll through commissioners any any further questions on These items They conclude on page 85 How's that commissioners? Commissioner Browning, are you all set? Okay, excellent Well, and I um, I think commissioners are going through that I led with a question about what you indicated where redundancies to mitigate Those Offerings of prohibited events. So I think commissioner help me your follow-up It's an important very important issue And thank you for the redundancies that you've put in place so Then we would move on Well, let's see commissioners. How do we feel about section e? I believe the applicant has met expectations madam chair as do I same I'm good Okay, excellent And just if we would hear about any kind of a formal adoption of the plan But I am hearing you said it's been part of the submissions of the internal controls. So thank you Um, I'm all set Let's see then turning to F I guess I would point out that you You have highlighted how independent you are in terms of um, having your proprietary stack I appreciate that with respect to both KYC and geolocation you're using And monitoring you're using well known third party vendors geocomply It's I I mean Yeah, ideology to be safe only ideology and then us integrity Thank you for that Observations or questions regarding section any questions commissioners Also, I'm actually ready to say that the applicant has met expectations for section f We've gotten pretty good at this We have this section. We're very familiar now that The process so thank you and your I think the application was extremely clear and thorough So, um, it's not a lack of interest that they're not asking questions. That's for sure Commissioner Maynard. Were you leaning in? I agree commissioner hill and I also agree with you that you know, this has been a robust answer set We've seen more and more of them and it's not a lack of interest. It's uh, it's a familiarization Of what you're putting in your application. Excellent. Thank you commissioner Maynard Mr. Skinner The section meets expectation Excellent. Thank you. Commissioner o'Brien Same Okay, we're all set then to move on to g Well, I know that we are waiting for the rsm presentation and the executive session that will Adjust the financial security piece. We just went through a lot of the suitability issues and that were raised in terms of compliance other other questions Mistress Is this we've moved on to g. Yeah Yeah, yeah So the mine is more a question of um There was a list of all the other jurisdictions and one of them Uh expired in december And it's probably just a creature of how those are being distributed. But um, I think the new jersey Can someone address sort of how that works the december in a jersey expiration? Yes, thank you For gaming license correct? Yeah Yeah, rachel, I'm sure you can handle that easily Thank you, Andrew. Yes commissioner o'Brien. So um, Obviously each state is different. Most of the states have a sort of renewal application regulation So you have to submit your renewal within, you know, 120 90 days, whatever it may be 180 And they normally have a provision within the regulation that says the expired license will basically remain active until the commission has Rendered a final decision on the application New jersey is slightly different. Um, so we are still actually Penning for a csie license there what new jersey does is they actually approve what's called a transactional waiver through the attorney general's office And we normally submit that in combination with our market access partners um and the um New jersey division of gaming enforcement authorized that transactional waiver Um at the end of this year and is effective and I'm we're more than happy to pass that along as proof of ongoing licensure in that state I should say authorization to operate in that licensure Yeah, right. Yeah, yeah, if you could for that just so that they're there because it it You said no, but then it looked like it laughed. So that explains it. Thank you more than happy Questions on section g Mr. Skinner Yes, thank you, madam chair. Can you hear me? Okay? I can I saw a reference to a withdrawal of an application out of ohio Can you speak to that? Yeah, thanks very good. Thank you for your question commissioner Skinner We had been pursuing a possible partnership with a retail location during the licensing process process there However, given the um just availability of licenses and where the process was going towards On that on that track and where we were with our mobile sports wagering license We wanted to focus on the mobile sports wagering license We didn't feel that there was a real realistic possibility that the partner We had been speaking to and having these exploratory discussions with Was going to be able to get their license from the o triple c Just as a may just as a matter of the fact that they were a limited number of licenses They wouldn't have been, you know, one of the preferred candidates And so we just felt a more prudent withdrawal from the process rather than drag it out and waste the o triple c's time The questions on g In this confirmation that you have received your licenses in maryland and ohio How's it going? Going very well. Thank you for asking madam chair In both states, right? Yes, absolutely. Well, we've been all kind of working at the same time so Congratulations to you for Entry there. Thank you very much All right, everyone's Exalting their notes Oops. All right commissioners I know that we have to go into executive session on the financial piece firing that is there any other supplemental information. Oh, you just asked for clarification on on New Jersey commission of ryan so look at that clarified, but otherwise no other supplemental information that you need at this time I'm hoping on this casper that these items are Are not so complex. I know you're at the end of our Our review If something takes longer, we will absolutely figure out a way to accommodate you But to the extent that you can be responsive sooner than later on these matters that will be really helpful to us putting a little Yes, we're more than happy to and I've I've already forwarded along our transactional waiver. So it should be forthcoming here shortly Appreciate that very much Anything else then on G I think we satisfied everything um all the items raised in this The um suitability report with commissioner hills questions. You didn't have a need for an executive session Okay So commissioners if there are no additional questions with respect to g Do you think it needs expectations subject to the rsm report commissioner brian? Yeah, I think it's lga though this time around. Oh, I'm so sorry my apologies. Yes. Thank you And then I agreed. Thank you Mr. Skinner agreed. Okay. Thank you commissioner maynard Well, you have my last notes. I agree Thank I'll set that. Okay. Thank you um And I agree as well. So I will just turn now to How to gross them. So what do we have for executive session accounts? We need to address We have three items that I have on my list here for potential executive session discussion the first is a request that the applicant and lga Provide specific information relative to financial projections trends and associated methodologies Including those related to revenue projections To market share projections and percentages To handle and hold percentages And to any other information associated with any of those issues and that are otherwise related to the applicant's financial stability That's the first issue Secondly, um, there was a question based on section c 5 a whereby the applicant will be asked to detail uh, its perspective steps to engage with local a local public relations firm And any other local or regional community engagement work opportunities Um, so that is the second issue The third one and commissioner skinner. This is one you'd asked about. I thought I had it, but I just want to make sure I got it right There was a question whereby the applicant was going to be asked to provide further details as to perspective partnership Or arrangement with the local Women's business enterprise and I thought it was related to their call center partnership, but I'm not sure I had that. Is that right? Okay So that was that was the third issue And I didn't have anything else on the list. I do have some areas of supplement, but those are separate Do you want to go just through that too? Please if you want to hold on that We'll hold on that Missures are we all set with respect to that list on executive session? Okay, so To the extent that we decide To move in this direction. I do need to read this into the record as you know This is all with respect to competitive disadvantage correct counsel Grossman Yes, and thank you madam chair before you go It's it's sometimes helpful if I just note that based upon My review of all these matters as you just indicated They do all implicate competitively sensitive information Which has been provided in the course of this application and the disclosure of which Would place the applicant at a competitive disadvantage, which would make use of Section six i as you were just inquiring about appropriate in this these circuits Okay, excellent so with that The commission anticipates that it may meet an executive session in conjunction with its review of points about massachusetts LLC's application in accordance with gl chapter 30a section 21a subsection seven and gl chapter 23 and section six subsection i To consider information submitted by the applicant in the course of its application for an operating license That is a trade secret competitively sensitive or proprietary In which have disclosed probably would place the applicant at a competitive disadvantage I have a motion madam chair, I move that we go into executive session for the to talk about the reasons To talk about the matters delineated by general counsel grossman and for the reasons enunciated by the chair second Thank you, mr. Hill. Thank you commissioner o'brien. Any questions or edits? Okay, mr. O'brien. Hi, mr. Hill. Hi, mr. Skinner I Mr. Maynard. Hi And I vote yes and This would allow us to go into executive session. We do anticipate returning to our public Meeting at the conclusion of the executive sessions. I think we all recognize that probably lunch is a good idea It's 11 30 130 130 and So just we come back it at two and then we would move into executive session That how we should do it Or should we move into our executive session room now crystal? Which way have we been doing? You have been moving into the room and then Um, okay. So for the public we're going to we're going to have a lunch of half an hour And then we're going to have our executive session and then we'll be convening the public But at this point to all of our guests the applicant crystal will Will ask you to join The executive session room. Thank you Okay, Dave. I think we're all set commissioners For reconvening today's meeting of the Massachusetts gaming commission number 424 and because we're holding this meeting virtually I'll take a little call commissioner o'brien. I am here Commissioner hill i'm here Uh commissioner skinner I'm here a commissioner mayer I'm here right and uh for the public we just Have a a brief lunch and then had our executive session. So we're returning to Uh the completion of item number four in our agenda There as we were going through the section by section analysis we defer Our assessment on section c so commissioners We were had the benefit of the financial analysis that needed to be done in the executive session and We had a couple of other questions answered Are we We feel that The applicant has met expectations now with respect to sections commissioner skinner Madam chair, I feel the section has met expectations. Excellent. Thank you Agreed Thank you commissioner hill Name Great. Thank you, and I'm all set as well. So that takes care of our review of the um the um application uh I don't know if um this makes it makes sense councilor grossman for you to just go through the items that I know that we've already received at least one response So I'll have you go through that list just to make sure that the commissioners are all set. This is um the last of the six applicants and and um We'll get to our thank you, but we express our gratitude to you for a fine application Uh and um very very nice presentation today commissioner council grossman Thank you. So the the first item on my list was that the applicant was asked to establish workforce and uh supplier diversity goals. Um, and as it applies to the supplier side that then include the overall spend Plans, so that's the the first issue The second was that miss casper was going to confirm uh that the indiana matter from september of 2020 did not involve any excluded individuals Yes, and councilor grossman. I can actually confirm that that was inaccurate. I did send a follow-up email We did look at the settlement and order and it was uh self-excluded individuals and my apologies to the commission For that miss steven. No intent to mislead Thank you miss casper Do you have any follow-up questions like commissioner skin around that now that there's been some clarification? I do i'm just hoping you could walk us through how that was First off my specific question is, you know, was this a single day or um, did it happen over multiple days? um, I I think the uh number of times the individual At least the one individual was committed to wager Is astounding so hoping you could shed some light on what happened there and the steps you've taken to Remediate Any yes Thank you commissioner skinner for that. I appreciate it Um, I think it's worth highlighting for the the commission the different processes around self-exclusion state by state A lot of it is also dependent on one the regulations that each board agency or commission issues As well as their ability to automate from their side. So um The ingestion of self-excluded data sometimes is manual and sometimes it's automated As you can imagine any type of manual transmission and upload there are opportunities for error What you'll likely see in events like this. Um, I was not present here at points But when this occurred so per commissioner skinner, I would have to actually go back and sort of look through details To give you an exact of how that how this happened um But what I can say is that the length of time that somebody would be allowed to be on platform Is likely a result of a non-match, right? And so what what that means is that there was an Potentially an entry in the last name or a miss entry in the dov where it wasn't caught Something along those lines. Um in the back end of the system Again, it's never intentional and it and we sweep, uh, and we have obviously implemented different processes over the lifecycle of points, but to ensure that we're actually Monitoring the lists that we receive from regulators that they're ingested timely That there are no errors. So we've come a long way and we have a cross-functional team between our data engineers um and our sort of uh, you know folks that deal with all of the AI and reporting functionality as well as the uh compliance teams And i'm more than happy to give a full brief in writing on the sort of events of that situation Commissioner Skinner, but i'm not personally knowledgeable about what what happened on that particular day And this i'm sorry. This occurred and i'm just trying to get back to that page. Um the the incident was september 2020, I believe right That is correct. It's not currently a pending item. There was a Disposition of it by indiana, correct? That is correct. There was a final order Issued by the commission and I believe it was on march 23rd 2021 Okay, I'd love to get the full written Uh summary of what occurred and um The steps are you prepared to discuss the steps? You've taken to remediate it with I don't think so right because you don't you don't have a full summary yet Yeah, I don't know exactly what happened. Commissioner Skinner. So I'll have to look into that what I can tell you is we've obviously come a long way from March 2021 to where we are today in 2023 And again each each state is different as far as their self exclusion process So we'll have to dig into the details there. Um, but we're more than happy to to share that with you all Thank you Just to add to what rachel said there commissioner skinner I can't speak to the the specific steps, but I can speak to the investment in in compliance that has gone on Over time here at points bet and it's been significant And just to see the kind of process is being put into place and the kind of attention to detail and just the staffing from the staffing level Everything's gotten, you know, leveled up to a certain degree And so I'd say generally speaking we can at least point to that and say You know these kinds of problems are a lot harder for them to happen now Just given the number of eyes that are on every issue I may clarify, uh, miss casper. It also may be helpful just to Send over a copy of the settlement agreement, which may or may not detail Some yep more than happy to send that as well as the final order from the commission Thank you Am I correct that there is no benefit to an executive session on this matter miss casper? You wouldn't be able to offer any additional information in any case, correct? No, and the public facing documents from the IGC will not Delineate any personal information of the individuals. It's pretty high level Nothing more than what we've discussed here today Oh madam chair before we move on. I'm sorry I was going back through my notes and one of the areas I did want to talk about and I forgot to Was whether I believe points that may have had some associations with colleges or universities in terms of advertising and marketing um, it was not in the four corners of what was given to us, but Can somebody from points bet tell me whether I'm confusing you with someone else or whether you do in fact have those relationships Yes, commissioner over and we do have relationships with with two colleges and You know, I'd like rick to talk probably a little bit more about kind of the substance of those partnerships I will say though that you know, we take our responsibilities and obligations and these agreements and partnerships incredibly seriously You know, there's a heavy rsg component in both and in all and all the things that we do So I just want to you know, make make that point known and then turn it over to rick to kind of discuss a little bit more What what those partnerships look like and the purposes of them? Yep, absolutely can aptly join in here. Um, so that would be with the university of colorado and university of maryland uh, colorado being the much more substantive one being our home bases in colorado and predominantly a lot of the components of that are around actually um recruitment and helping the university expand their actual programs around sports sports technology That includes speaking on campus donations to the business school And uh, you'll see in stadium a lot of the signage that would promote points that wouldn't have a typical Call gen or download now, but it would be much more about celebrating bringing technology jobs to the state of colorado And so beyond that we're very conscious that any kind of marketing materials through university