ICIS to SAS Protocol Transfer
January 1, 2016
The ICIS to SAS transfer was completed on December 31, 2015. The total number of ICIS machines that were turn off was 230 machines.
The State Police will soon start the RFP (request for proposal) for a new Central System.
September 2015 Update
As of September 11, 2015 there are still 3,443 machines that are still operating on the ICIS protocol. The dealine for tranfer to SAS is December 2015.
Mr. Norbert Courville informed those attending the LAMOA membership meeting that the number of machines requiring replacement has decreased to 4,854 machines which make up 35.96% of the market. He also stated that the ICIS to SAS transfer was in alpha testing stage. The attendees were provided with a chart of video poker machines by model.
The chart can be found on the Documents and Forms page of this website.
LAMOA has estimated that when ICIS is converted to SAS the cost to the industry to either convert or purchase replacement machines will be in the amount of $ 115,009,610.00. This figure does not include sales taxes, financing expenses, or payroll.
Based on a survey of operators, of the 7,108 machines needing replacement at least 26.45% will not be replaced. If you further break down that 26.45% you will find there is a greater effect on restaurants when compared to bars. The threshold for locations used in the survey was:
- Locations with annual earnings of $ 6,000.00 or less.
- Locations using a 60/40 split: 60% to the location and 40% to the operator.
Minimum cost to the industry per three machine location is $ 39,000.00 just for machine replacement.
One of the main concerns with regard to the conversion from ICIS to SAS is cost to the industry by the year 2015. Another concern is that once the immediate transfer is completed that a new system is bid will be initiated within a few years, potentially creating another situation whereby operators will be faced with substantial costs to upgrade machines once again.
The Louisiana Amusement and Music Operators association has met with State Police and previous Gaming Control Board Chairmen on this issue. We understand the need to transfer from ICIS to SAS and even though we understand it, this transfer will have an large impact on the industry.
LAMOA knows that it is very important that the industry receive updated information regarding the transfer so that companies can make appropriate decisions regarding their businesses. Recognizing that the ICIS to SAS transfer will have a large financial impact on the industry, LAMOA will continue to monitor the situation and will work with State Police to insure as smooth a transfer as possible.