CLEVELAND, Ohio - Games of skill, from claw machines that nab prizes to arcade games that issue tokens or tickets, will now be licensed and regulated by the Ohio Casino Control Commission.

The commission, which was given oversight of the games by state law in 2015, has developed rules and license fees, which are expected to go into effect by the end of April.

The staff spent most of a year learning about the industry, commission spokeswoman Jessica Franks said.

"We tried to work with the industry and various stakeholders," she said. "Our goal is to make it easy to identify the people doing this legitimately and make it easy to weed out and shut down the illegal slot machines."

The commission has many ongoing investigations into illegal casinos, she said.

"We had to craft these rules so we weed out all the illegal activity," she said.

Unlike other states, Ohio's law requires that the opportunity to win a prize in amusement games must be based on the skill of the player rather than a chance event, Franks said.

Prizes can be awarded, but the prizes cannot be cash, gift cards, plays on games of chance (such as slot machines), lottery tickets, bingo, firearms, tobacco or alcoholic beverages.

The wholesale value of merchandise awarded as a result of a single play cannot exceed $10, but it is permissible to combine tickets or tokens to collect a prize worth more than $10.

The state has targeted illegal slot machines and other gambling machines for more than a decade. The Attorney General's office estimated in 2007 that as many as 50,000 of the machines were in use.

The commission has drafted 28 rules related to regulating the industry, including licensing, compliance and enforcement.

There are three skill-game categories:

A - Games that do not enable a payer to receive a prize as a reward with the exception of free replays (pinball and arcade-style games)

B - Games where a player uses skill to obtain a price wholly contained within the machine (crane and claw machines)

C- Games where a player would redeem tickets, tokens or vouchers awarded from the machine to obtain a prize (Dave and Busters, Chuck E Cheese).

Licenses and fees will based on the type of skill game, and who owns and oversees the machines, Franks said.

Licenses & Fees

Type of License Application Fee License Fee License Period Vendors $3,000 $3,000 3 years Type-B Operators $1,500 $1,500 3 years Type-C Operators $3,000 $3,000 3 years Type-C Locations $250 $250 5 years Key Employees $250 $250 5 years

Requests for game and technology approval must be submitted to the commission, which will publish a public database of all approved games.

"Every location may not need to have a license if a vendor or distributor provides the games," she said.

Franks said the commission is aware of the manufacturers and distributors of skill games, but does not know how many establishments have the games. She said the number could range from 1,500 to 10,000.

In addition, the commission will have to determine how established arcades, such as those at amusement parks and entertainment venues, are operated.

The staff has estimated the fees could generate about $500,000 a year.

A lot of questions won't be answered until registration and license applications are submitted beginning April 23, she said.

The commission will hold seminars across the state before the registration period begins, she said.