(1) "Electronic gaming machine" means an electrically or electronically operated machine or device that is used by a sweepstakes entrant and that displays the results of a game entry or game outcome to a participant on a screen or other mechanism at a business location, including a private club, that is owned, leased, or otherwise possessed, in whole or in part, by a person conducting the sweepstakes or by that person's partners, affiliates, subsidiaries, agents, or contractors. The term includes a machine or device that:

(a) Uses a simulated game terminal as a representation of the prizes associated with the results of the sweepstakes entries;

(b) Uses software that simulates a game that influences or determines the winning or value of the prize, or appears to influence or determine the winning or value of the prize;

(c) Selects prizes from a predetermined, finite pool of entries;

(d) Uses a mechanism that reveals the content of a predetermined sweepstakes entry;

(e) Predetermines the prize results and stores those results for delivery when the sweepstakes entry is revealed;

(f) Uses software to create a game result;

(g) Requires a deposit of any currency or token or the use of any credit card, debit card, prepaid card, or other method of payment to activate the machine or device;

(h) Requires direct payment into the machine or device or remote activation of the machine or device upon payment to the person offering the sweepstakes game;

(i) Requires the purchase of a related product at additional cost in order to participate in the sweepstakes game or makes a related product available for no cost but under restrictive conditions;

(j) Reveals a sweepstakes prize incrementally even though the progress of the images on the screen does not influence whether a prize is awarded or the value of any prize awarded; or

(k) Determines and associates the prize with an entry or entries at the time the sweepstakes is entered.

(2) "Enter" or "entry" means the act or process by which a person becomes eligible to receive a prize offered in a sweepstakes.

(3) "Entrant" means a person who is or seeks to become eligible to receive a prize offered in a sweepstakes.

(3.5) "Gambling", whether used alone or as part of the phrase "simulated gambling" or "simulated gambling device", has the meaning set forth in section 18-10-102 (2); except that, for purposes of this article 10.5, the exception set forth in section 18-10-102 (2)(a) does not apply.

(4) "Local jurisdiction" means a town, city, city and county, or the unincorporated area of a county.

(5) (a) "Prize" means a gift, award, gratuity, good, service, credit, or anything of value, including a thing of value for a "gain" as defined in section 18-10-102 (1), that may be transferred to an entrant, whether or not possession of the prize is actually transferred or placed on an account or other record as evidence of the intent to transfer the prize.

(b) "Prize" does not include:

(I) Free or additional play;

(II) Any intangible or virtual award that cannot be converted into money, goods, or services; or

(III) A paper or electronic coupon, whether issued to a player as a single ticket or token or as multiple tickets or tokens, that is won in return for a single play of a device; has a value that does not exceed the equivalent of twenty-five dollars; cannot be exchanged or returned for money, monetary credits, or any financial consideration; and cannot be used to acquire or exchanged for any product that is, contains, or can be used as a constituent part of or accessory for:

(A) Alcohol beverages;

(B) Tobacco, tobacco products, marijuana, or smoking; or

(C) Firearms or ammunition.

(6) (a) "Simulated gambling device" means a mechanically or electronically operated machine, network, system, program, or device that is used by an entrant and that displays simulated gambling displays on a screen or other mechanism at a business location, including a private club, that is owned, leased, or otherwise possessed, in whole or in part, by a person conducting the game or by that person's partners, affiliates, subsidiaries, agents, or contractors; except that the term does not include bona fide amusement devices, as authorized in section 12-47-103 (30), that pay nothing of value, cannot be adjusted to pay anything of value, and are not used for gambling. "Simulated gambling device" includes:

(I) A video poker game or any other kind of video card game;

(II) A video bingo game;

(III) A video craps game;

(IV) A video keno game;

(V) A video lotto game;

(VI) A video roulette game;

(VII) A pot-of-gold;

(VIII) An eight-liner;

(IX) A video game based on or involving the random or chance matching of different pictures, words, numbers, or symbols;

(X) An electronic gaming machine, including a personal computer of any size or configuration that performs any of the functions of an electronic gaming machine;

(XI) A slot machine, where results are determined by reason of the skill of the player or the application of the element of chance, or both, as provided by section 9 (4)(c) of article XVIII of the Colorado constitution; and

(XII) A device that functions as, or simulates the play of, a slot machine, where results are determined by reason of the skill of the player or the application of the element of chance, or both, as provided by section 9 (4)(c) of article XVIII of the Colorado constitution.

(b) "Simulated gambling device" does not include any pari-mutuel totalisator equipment that is used for pari-mutuel wagering on live or simulcast racing events and that has been approved by the director of the division of racing events for entities authorized and licensed under article 60 of title 12.

(7) "Sweepstakes" means any game, advertising scheme or plan, or other promotion that, with or without payment of any consideration, allows a person to enter to win or become eligible to receive a prize.