The license specifies the number of terminals allowed on the premises, and the maximum number of terminals allowed is 5 per licensee. Terminals must be licensed by the Chief of the State Police and must be connected to a computer system operated by the Director of the Bureau of Alcoholic Beverages and Lottery Operations. This computer system must provide continuous on-line monitoring of video gaming terminal activity. Persons under 21 years of age are not allowed to use the machines. Only members of the organization and their guests are allowed to play, except that the organization may obtain a license to offer the machines for public use once every 6 months for a period of 3 consecutive days. The maximum dollar amount for each play is $2 and the maximum payout is $1,000. Each game on each machine must return at least 90% of wagers to players, calculated on an annual basis.

A single distributor may not own more than 300 machines or 15% of the total number of machines in the State, whichever is less. A person may not hold more than one type of license; for example, a distributor may not also be a licensee or a manufacturer.

Net terminal income, which is income after payback to players, is divided as follows: 33 1/3% to the State for payment into the Video Gaming Fund for administrative expenses, municipal revenue sharing and General Fund revenue; 33 1/3% to the distributor; and 33 1/3% to the licensee.

Licenses are issued for one year. Applicants for an initial license must pay the actual costs of processing the application and performing the background investigation.