SB3384 93RD GENERAL ASSEMBLY

LRB093 22487 LRD 51971 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
SB3384

Introduced 5/31/2004, by Sen. John J. Cullerton

SYNOPSIS AS INTRODUCED:

30 ILCS 105/8.25e	from Ch. 127, par. 144.25e
230 ILCS 5/3.04	from Ch. 8, par. 37-3.04
230 ILCS 5/9	from Ch. 8, par. 37-9
230 ILCS 5/14	from Ch. 8, par. 37-14
230 ILCS 5/15	from Ch. 8, par. 37-15
230 ILCS 5/18	from Ch. 8, par. 37-18
230 ILCS 5/19	from Ch. 8, par. 37-19
230 ILCS 5/20	from Ch. 8, par. 37-20
230 ILCS 5/20.1
230 ILCS 5/26	from Ch. 8, par. 37-26
230 ILCS 5/26.1	from Ch. 8, par. 37-26.1
230 ILCS 5/26.7 new
230 ILCS 5/27	from Ch. 8, par. 37-27
230 ILCS 5/27.2 new
230 ILCS 5/28	from Ch. 8, par. 37-28
230 ILCS 5/29	from Ch. 8, par. 37-29
230 ILCS 5/32.2 new
230 ILCS 10/13	from Ch. 120, par. 2413
30 ILCS 105/5.625 new
30 ILCS 105/5.626 new
230 ILCS 5/28.1 rep.
230 ILCS 5/32 rep.
230 ILCS 5/32.1 rep.
230 ILCS 5/54 rep.

Amends the Illinois Horse Racing Act of 1975. Deletes the pari-mutuel tax and reimposes the privilege tax in substantially the same form as it existed before the enactment of Public Act 91-40. Deletes provisions creating the pari-mutuel tax credit that were enacted pursuant to Public Act 91-40. Restores provisions paying moneys from uncashed tickets to the Veterans' Rehabilitation Fund that were deleted by Public Act 91-40. Deletes provisions enacted by Public Act 91-40 that authorize organization licensees to retain breakage moneys. Amends the State Finance Act to make corresponding changes. Increases certain fees. Authorizes the sale of lottery tickets, subject to the Illinois Lottery Law at an organization licensee's race track and inter-track wagering locations. Authorizes the conduct of raffles, subject to the Raffles Act and the conduct of charitable games, subject to the Charitable Games Act at an organization licensee's race track and inter-track wagering locations. Repeals Sections concerning the pari-mutuel tax credit and the Horse Racing Equity Fund. Makes other changes. Effective July 1, 2004.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning gambling.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

4		Section 5. The State Finance Act is amended by changing
5		Section 8.25e as follows:
6		(30 ILCS 105/8.25e) (from Ch. 127, par. 144.25e)
7		Sec. 8.25e. (a) The State Comptroller and the State
8		Treasurer shall automatically transfer on the first day of each
9		month, beginning on February 1, 1988 and ending on June 30,
10		2004, from the General Revenue Fund to each of the funds then
11		supplemented by the pari-mutuel tax pursuant to Section 28 of
12		the Illinois Horse Racing Act of 1975, an amount equal to (i)
13		the amount of pari-mutuel tax deposited into such fund during
14		the month in fiscal year 1986 which corresponds to the month
15		preceding such transfer, minus (ii) the amount of pari-mutuel
16		tax (or the replacement transfer authorized by Section 8g(d) of
17		this Act and Section 28.1(d) of the Horse Racing Act of 1975)
18		deposited into such fund during the month preceding such
19		transfer; provided, however, that no transfer shall be made to
20		a fund if such amount for that fund is equal to or less than
21		zero and provided that no transfer shall be made to a fund in
22		any fiscal year after the amount deposited into such fund
23		exceeds the amount of pari-mutuel tax deposited into such fund
24		during fiscal year 1986.
25		(b) The State Comptroller and the State Treasurer shall
26		automatically transfer on the last day of each month, beginning
27		on October 1, 1989, from the General Revenue Fund to the
28		Metropolitan Exposition Auditorium and Office Building Fund,
29		the amount of $2,750,000 plus any cumulative deficiencies in
30		such transfers for prior months, until the sum of $16,500,000
31		has been transferred for the fiscal year beginning July 1, 1989
32		and until the sum of $22,000,000 has been transferred for each

1		fiscal year thereafter.
2		(c) After the transfer of funds from the Metropolitan
3		Exposition Auditorium and Office Building Fund to the Bond
4		Retirement Fund pursuant to Section 15(b) of the Metropolitan
5		Civic Center Support Act, the State Comptroller and the State
6		Treasurer shall automatically transfer on the last day of each
7		month, beginning on October 1, 1989, from the Metropolitan
8		Exposition Auditorium and Office Building Fund to the Park and
9		Conservation Fund the amount of $1,250,000 plus any cumulative
10		deficiencies in such transfers for prior months, until the sum
11		of $7,500,000 has been transferred for the fiscal year
12		beginning July 1, 1989 and until the sum of $10,000,000 has
13		been transferred for each fiscal year thereafter.
14		(Source: P.A. 91-25, eff. 6-9-99.)

15		Section 10. The Illinois Horse Racing Act of 1975 is
16		amended by changing Sections 3.04, 9, 14, 15, 18, 19, 20, 20.1,
17		26, 26.1, 27, 28, and 29 and adding Sections 26.7, 27.2, and
18		32.2 as follows:
19		(230 ILCS 5/3.04) (from Ch. 8, par. 37-3.04)
20		Sec. 3.04. "Director of mutuels" means the individual
21		representing the Board in the supervision and verification of
22		the pari-mutuel wagering pool totals for each racing day, which
23		verification shall be the basis for computing State privilege
24		or pari-mutuel taxes, licensee commissions and purses.
25		(Source: P.A. 91-40, eff. 6-25-99.)
26		(230 ILCS 5/9) (from Ch. 8, par. 37-9)
27		Sec. 9. The Board shall have all powers necessary and
28		proper to fully and effectively execute the provisions of this
29		Act, including, but not limited to, the following:
30		(a) The Board is vested with jurisdiction and supervision
31		over all race meetings in this State, over all licensees doing
32		business in this State, over all occupation licensees, and over
33		all persons on the facilities of any licensee. Such

1		jurisdiction shall include the power to issue licenses to the
2		Illinois Department of Agriculture authorizing the pari-mutuel
3		system of wagering on harness and Quarter Horse races held (1)
4		at the Illinois State Fair in Sangamon County, and (2) at the
5		DuQuoin State Fair in Perry County. The jurisdiction of the
6		Board shall also include the power to issue licenses to county
7		fairs which are eligible to receive funds pursuant to the
8		Agricultural Fair Act, as now or hereafter amended, or their
9		agents, authorizing the pari-mutuel system of wagering on horse
10		races conducted at the county fairs receiving such licenses.
11		Such licenses shall be governed by subsection (n) of this
12		Section.
13		Upon application, the Board shall issue a license to the
14		Illinois Department of Agriculture to conduct harness and
15		Quarter Horse races at the Illinois State Fair and at the
16		DuQuoin State Fairgrounds during the scheduled dates of each
17		fair. The Board shall not require and the Department of
18		Agriculture shall be exempt from the requirements of Sections
19		15.3, 18 and 19, paragraphs (a)(2), (b), (c), (d), (e), (e-5),
20		(e-10), (f), (g), and (h) of Section 20, and Sections 21, 24
21		and 25. The Board and the Department of Agriculture may extend
22		any or all of these exemptions to any contractor or agent
23		engaged by the Department of Agriculture to conduct its race
24		meetings when the Board determines that this would best serve
25		the public interest and the interest of horse racing.
26		Notwithstanding any provision of law to the contrary, it
27		shall be lawful for any licensee to operate pari-mutuel
28		wagering or contract with the Department of Agriculture to
29		operate pari-mutuel wagering at the DuQuoin State Fairgrounds
30		or for the Department to enter into contracts with a licensee,
31		employ its owners, employees or agents and employ such other
32		occupation licensees as the Department deems necessary in
33		connection with race meetings and wagerings.
34		(b) The Board is vested with the full power to promulgate
35		reasonable rules and regulations for the purpose of
36		administering the provisions of this Act and to prescribe

1		reasonable rules, regulations and conditions under which all
2		horse race meetings or wagering in the State shall be
3		conducted. Such reasonable rules and regulations are to provide
4		for the prevention of practices detrimental to the public
5		interest and to promote the best interests of horse racing and
6		to impose penalties for violations thereof.
7		(c) The Board, and any person or persons to whom it
8		delegates this power, is vested with the power to enter the
9		facilities and other places of business of any licensee to
10		determine whether there has been compliance with the provisions
11		of this Act and its rules and regulations.
12		(d) The Board, and any person or persons to whom it
13		delegates this power, is vested with the authority to
14		investigate alleged violations of the provisions of this Act,
15		its reasonable rules and regulations, orders and final
16		decisions; the Board shall take appropriate disciplinary
17		action against any licensee or occupation licensee for
18		violation thereof or institute appropriate legal action for the
19		enforcement thereof.
20		(e) The Board, and any person or persons to whom it
21		delegates this power, may eject or exclude from any race
22		meeting or the facilities of any licensee, or any part thereof,
23		any occupation licensee or any other individual whose conduct
24		or reputation is such that his presence on those facilities
25		may, in the opinion of the Board, call into question the
26		honesty and integrity of horse racing or wagering or interfere
27		with the orderly conduct of horse racing or wagering; provided,
28		however, that no person shall be excluded or ejected from the
29		facilities of any licensee solely on the grounds of race,
30		color, creed, national origin, ancestry, or sex. The power to
31		eject or exclude an occupation licensee or other individual may
32		be exercised for just cause by the licensee or the Board,
33		subject to subsequent hearing by the Board as to the propriety
34		of said exclusion.
35		(f) The Board is vested with the power to acquire,
36		establish, maintain and operate (or provide by contract to

1		maintain and operate) testing laboratories and related
2		facilities, for the purpose of conducting saliva, blood, urine
3		and other tests on the horses run or to be run in any horse race
4		meeting and to purchase all equipment and supplies deemed
5		necessary or desirable in connection with any such testing
6		laboratories and related facilities and all such tests.
7		(g) The Board may require that the records, including
8		financial or other statements of any licensee or any person
9		affiliated with the licensee who is involved directly or
10		indirectly in the activities of any licensee as regulated under
11		this Act to the extent that those financial or other statements
12		relate to such activities be kept in such manner as prescribed
13		by the Board, and that Board employees shall have access to
14		those records during reasonable business hours. Within 120 days
15		of the end of its fiscal year, each licensee shall transmit to
16		the Board an audit of the financial transactions and condition
17		of the licensee's total operations. All audits shall be
18		conducted by certified public accountants. Each certified
19		public accountant must be registered in the State of Illinois
20		under the Illinois Public Accounting Act. The compensation for
21		each certified public accountant shall be paid directly by the
22		licensee to the certified public accountant. A licensee shall
23		also submit any other financial or related information the
24		Board deems necessary to effectively administer this Act and
25		all rules, regulations, and final decisions promulgated under
26		this Act.
27		(h) The Board shall name and appoint in the manner provided
28		by the rules and regulations of the Board: an Executive
29		Director; a State director of mutuels; State veterinarians and
30		representatives to take saliva, blood, urine and other tests on
31		horses; licensing personnel; revenue inspectors; and State
32		seasonal employees (excluding admission ticket sellers and
33		mutuel clerks). All of those named and appointed as provided in
34		this subsection shall serve during the pleasure of the Board;
35		their compensation shall be determined by the Board and be paid
36		in the same manner as other employees of the Board under this

1		Act.
2		(i) The Board shall require that there shall be 3 stewards
3		at each horse race meeting, at least 2 of whom shall be named
4		and appointed by the Board. Stewards appointed or approved by
5		the Board, while performing duties required by this Act or by
6		the Board, shall be entitled to the same rights and immunities
7		as granted to Board members and Board employees in Section 10
8		of this Act.
9		(j) The Board may discharge any Board employee who fails or
10		refuses for any reason to comply with the rules and regulations
11		of the Board, or who, in the opinion of the Board, is guilty of
12		fraud, dishonesty or who is proven to be incompetent. The Board
13		shall have no right or power to determine who shall be
14		officers, directors or employees of any licensee, or their
15		salaries except the Board may, by rule, require that all or any
16		officials or employees in charge of or whose duties relate to
17		the actual running of races be approved by the Board.
18		(k) The Board is vested with the power to appoint delegates
19		to execute any of the powers granted to it under this Section
20		for the purpose of administering this Act and any rules or
21		regulations promulgated in accordance with this Act.
22		(l) The Board is vested with the power to impose civil
23		penalties of up to $10,000 $5,000 against an individual and up
24		to $50,000 $10,000 against a licensee for each violation of any
25		provision of this Act, any rules adopted by the Board, any
26		order of the Board or any other action which, in the Board's
27		discretion, is a detriment or impediment to horse racing or
28		wagering.
29		(m) The Board is vested with the power to prescribe a form
30		to be used by licensees as an application for employment for
31		employees of each licensee.
32		(n) The Board shall have the power to issue a license to
33		any county fair, or its agent, authorizing the conduct of the
34		pari-mutuel system of wagering. The Board is vested with the
35		full power to promulgate reasonable rules, regulations and
36		conditions under which all horse race meetings licensed

1		pursuant to this subsection shall be held and conducted,
2		including rules, regulations and conditions for the conduct of
3		the pari-mutuel system of wagering. The rules, regulations and
4		conditions shall provide for the prevention of practices
5		detrimental to the public interest and for the best interests
6		of horse racing, and shall prescribe penalties for violations
7		thereof. Any authority granted the Board under this Act shall
8		extend to its jurisdiction and supervision over county fairs,
9		or their agents, licensed pursuant to this subsection. However,
10		the Board may waive any provision of this Act or its rules or
11		regulations which would otherwise apply to such county fairs or
12		their agents.
13		(o) Whenever the Board is authorized or required by law to
14		consider some aspect of criminal history record information for
15		the purpose of carrying out its statutory powers and
16		responsibilities, then, upon request and payment of fees in
17		conformance with the requirements of Section 2605-400 of the
18		Department of State Police Law (20 ILCS 2605/2605-400), the
19		Department of State Police is authorized to furnish, pursuant
20		to positive identification, such information contained in
21		State files as is necessary to fulfill the request.
22		(p) To insure the convenience, comfort, and wagering
23		accessibility of race track patrons, to provide for the
24		maximization of State revenue, and to generate increases in
25		purse allotments to the horsemen, the Board shall require any
26		licensee to staff the pari-mutuel department with adequate
27		personnel.
28		(Source: P.A. 91-239, eff. 1-1-00.)
29		(230 ILCS 5/14) (from Ch. 8, par. 37-14)
30		Sec. 14. (a) The Board shall hold regular and special
31		meetings at such times and places as may be necessary to
32		perform properly and effectively all duties required under this
33		Act. A majority of the members of the Board shall constitute a
34		quorum for the transaction of any business, for the performance
35		of any duty, or for the exercise of any power which this Act

1		requires the Board members to transact, perform or exercise en
2		banc, except that upon order of the Board one of the Board
3		members may conduct the hearing provided in Section 16. The
4		Board member conducting such hearing shall have all powers and
5		rights granted to the Board in this Act. The record made at the
6		hearing shall be reviewed by the Board, or a majority thereof,
7		and the findings and decision of the majority of the Board
8		shall constitute the order of the Board in such case.
9		(b) The Board shall obtain a court reporter who will be
10		present at each regular and special meeting and proceeding and
11		who shall make accurate transcriptions thereof except that when
12		in the judgment of the Board an emergency situation requires a
13		meeting by teleconference, the executive director shall
14		prepare minutes of the meeting indicating the date and time of
15		the meeting and which members of the Board were present or
16		absent, summarizing all matters proposed, deliberated, or
17		decided at the meeting, and indicating the results of all votes
18		taken. The public shall be allowed to listen to the proceedings
19		of that meeting at all Board branch offices.
20		(c) The Board shall provide records which are separate and
21		distinct from the records of any other State board or
22		commission. Such records shall be available for public
23		inspection and shall accurately reflect all Board proceedings.
24		(d) The Board shall file a written annual report with the
25		Governor on or before May March 1 each year and such additional
26		reports as the Governor may request. The annual report shall
27		include a statement of receipts and disbursements by the Board,
28		actions taken by the Board, a report on the industry's progress
29		toward the policy objectives established in Section 1.2 of this
30		Act, and any additional information and recommendations which
31		the Board may deem valuable or which the Governor may request.
32		(e) The Board shall maintain a branch office on the ground
33		of every organization licensee during the organization
34		licensee's race meeting, which office shall be kept open
35		throughout the time the race meeting is held. The Board shall
36		designate one of its members, or an authorized agent of the

1		Board who shall have the authority to act for the Board, to be
2		in charge of the branch office during the time it is required
3		to be kept open.
4		(Source: P.A. 91-40, eff. 6-25-99.)
5		(230 ILCS 5/15) (from Ch. 8, par. 37-15)
6		Sec. 15. (a) The Board shall, in its discretion, issue
7		occupation licenses to horse owners, trainers, harness
8		drivers, jockeys, agents, apprentices, grooms, stable foremen,
9		exercise persons, veterinarians, valets, blacksmiths,
10		concessionaires and others designated by the Board whose work,
11		in whole or in part, is conducted upon facilities within the
12		State. Such occupation licenses will be obtained prior to the
13		persons engaging in their vocation upon such facilities. The
14		Board shall not license pari-mutuel clerks, parking
15		attendants, security guards and employees of concessionaires.
16		No occupation license shall be required of any person who works
17		at facilities within this State as a pari-mutuel clerk, parking
18		attendant, security guard or as an employee of a
19		concessionaire. Concessionaires of the Illinois State Fair and
20		DuQuoin State Fair and employees of the Illinois Department of
21		Agriculture shall not be required to obtain an occupation
22		license by the Board.
23		(b) Each application for an occupation license shall be on
24		forms prescribed by the Board. Such license, when issued, shall
25		be for the period ending December 31 of each year, except that
26		the Board in its discretion may grant 3-year licenses. The
27		application shall be accompanied by a fee of not more than $75
28		$25 per year or, in the case of 3-year occupation license
29		applications, a fee of not more than $200 $60. Each applicant
30		shall set forth in the application his full name and address,
31		and if he had been issued prior occupation licenses or has been
32		licensed in any other state under any other name, such name,
33		his age, whether or not a permit or license issued to him in
34		any other state has been suspended or revoked and if so whether
35		such suspension or revocation is in effect at the time of the

1		application, and such other information as the Board may
2		require. Fees for registration of stable names shall not exceed
3		$150 $50.00.
4		(c) The Board may in its discretion refuse an occupation
5		license to any person:
6		(1) who has been convicted of a crime;
7		(2) who is unqualified to perform the duties required
8		of such applicant;
9		(3) who fails to disclose or states falsely any
10		information called for in the application;
11		(4) who has been found guilty of a violation of this
12		Act or of the rules and regulations of the Board; or
13		(5) whose license or permit has been suspended, revoked
14		or denied for just cause in any other state.
15		(d) The Board may suspend or revoke any occupation license:
16		(1) for violation of any of the provisions of this Act;
17		or
18		(2) for violation of any of the rules or regulations of
19		the Board; or
20		(3) for any cause which, if known to the Board, would
21		have justified the Board in refusing to issue such
22		occupation license; or
23		(4) for any other just cause.
24		(e) Each applicant shall submit his or her fingerprints
25		to the Department of State Police in the form and manner
26		prescribed by the Department of State Police. These
27		fingerprints shall be checked against the fingerprint records
28		now and hereafter filed in the Department of State Police and
29		Federal Bureau of Investigation criminal history records
30		databases. The Department of State Police shall charge a fee
31		for conducting the criminal history records check, which shall
32		be deposited in the State Police Services Fund and shall not
33		exceed the actual cost of the records check. The Department of
34		State Police shall furnish, pursuant to positive
35		identification, records of conviction to the Board. Each
36		applicant for licensure shall submit with his occupation

1		license application, on forms provided by the Board, 2 sets of
2		his fingerprints. All such applicants shall appear in person at
3		the location designated by the Board for the purpose of
4		submitting such sets of fingerprints; however, with the prior
5		approval of a State steward, an applicant may have such sets of
6		fingerprints taken by an official law enforcement agency and
7		submitted to the Board.
8		(f) The Board may, in its discretion, issue an occupation
9		license without submission of fingerprints if an applicant has
10		been duly licensed in another recognized racing jurisdiction
11		after submitting fingerprints that were subjected to a Federal
12		Bureau of Investigation criminal history background check in
13		that jurisdiction.
14		(Source: P.A. 93-418, eff. 1-1-04.)
15		(230 ILCS 5/18) (from Ch. 8, par. 37-18)
16		Sec. 18. (a) Together with its application, each applicant
17		for racing dates shall deliver to the Board a certified check
18		or bank draft payable to the order of the Board for $10,000
19		$1,000. In the event the applicant applies for racing dates in
20		2 or 3 successive calendar years as provided in subsection (b)
21		of Section 21, the fee shall be $20,000 $2,000. Filing fees
22		shall not be refunded in the event the application is denied.
23		(b) In addition to the filing fee of $10,000 $1000 and the
24		fees provided in subsection (j) of Section 20, each
25		organization licensee shall pay a license fee of $200 $100 for
26		each racing program on which its daily pari-mutuel handle is
27		$100,000 $400,000 or more but less than $400,000 $700,000, and
28		a license fee of $400 $200 for each racing program on which its
29		daily pari-mutuel handle is $400,000 $700,000 or more. The
30		additional fees required to be paid under this Section by this
31		amendatory Act of 1982 shall be remitted by the organization
32		licensee to the Illinois Racing Board with each day's graduated
33		privilege tax or pari-mutuel tax and breakage as provided under
34		Section 27.
35		(c) Sections 11-42-1, 11-42-5, and 11-54-1 of the "Illinois

1		Municipal Code," approved May 29, 1961, as now or hereafter
2		amended, shall not apply to any license under this Act.
3		(Source: P.A. 91-40, eff. 6-25-99.)
4		(230 ILCS 5/19) (from Ch. 8, par. 37-19)
5		Sec. 19. (a) No organization license may be granted to
6		conduct a horse race meeting:
7		(1) except as provided in subsection (c) of Section 21
8		of this Act, to any person at any place within 35 miles of
9		any other place licensed by the Board to hold a race
10		meeting on the same date during the same hours, the mileage
11		measurement used in this subsection (a) shall be certified
12		to the Board by the Bureau of Systems and Services in the
13		Illinois Department of Transportation as the most commonly
14		used public way of vehicular travel;
15		(2) to any person in default in the payment of any
16		obligation or debt due the State under this Act, provided
17		no applicant shall be deemed in default in the payment of
18		any obligation or debt due to the State under this Act as
19		long as there is pending a hearing of any kind relevant to
20		such matter;
21		(3) to any person who has been convicted of the
22		violation of any law of the United States or any State law
23		which provided as all or part of its penalty imprisonment
24		in any penal institution; to any person against whom there
25		is pending a Federal or State criminal charge; to any
26		person who is or has been connected with or engaged in the
27		operation of any illegal business; to any person who does
28		not enjoy a general reputation in his community of being an
29		honest, upright, law-abiding person; provided that none of
30		the matters set forth in this subparagraph (3) shall make
31		any person ineligible to be granted an organization license
32		if the Board determines, based on circumstances of any such
33		case, that the granting of a license would not be
34		detrimental to the interests of horse racing and of the
35		public;

1		(4) to any person who does not at the time of
2		application for the organization license own or have a
3		contract or lease for the possession of a finished race
4		track suitable for the type of racing intended to be held
5		by the applicant and for the accommodation of the public.
6		(b) (Blank). Horse racing on Sunday shall be prohibited
7		unless authorized by ordinance or referendum of the
8		municipality in which a race track or any of its appurtenances
9		or facilities are located, or utilized.
10		(c) If any person is ineligible to receive an organization
11		license because of any of the matters set forth in subsection
12		(a) (2) or subsection (a) (3) of this Section, any other or
13		separate person that either (i) controls, directly or
14		indirectly, such ineligible person or (ii) is controlled,
15		directly or indirectly, by such ineligible person or by a
16		person which controls, directly or indirectly, such ineligible
17		person shall also be ineligible.
18		(Source: P.A. 88-495; 89-16, eff. 5-30-95.)
19		(230 ILCS 5/20) (from Ch. 8, par. 37-20)
20		Sec. 20. (a) Any person desiring to conduct a horse race
21		meeting may apply to the Board for an organization license. The
22		application shall be made on a form prescribed and furnished by
23		the Board. The application shall specify:
24		(1) the dates on which it intends to conduct the horse
25		race meeting, which dates shall be provided under Section
26		21;
27		(2) the hours of each racing day between which it
28		intends to hold or conduct horse racing at such meeting;
29		(3) the location where it proposes to conduct the
30		meeting; and
31		(4) any other information the Board may reasonably
32		require.
33		(b) A separate application for an organization license
34		shall be filed for each horse race meeting which such person
35		proposes to hold. Any such application, if made by an

1		individual, or by any individual as trustee, shall be signed
2		and verified under oath by such individual. If made by
3		individuals or a partnership, it shall be signed and verified
4		under oath by at least 2 of such individuals or members of such
5		partnership as the case may be. If made by an association,
6		corporation, corporate trustee or any other entity, it shall be
7		signed by the president and attested by the secretary or
8		assistant secretary under the seal of such association, trust
9		or corporation if it has a seal, and shall also be verified
10		under oath by one of the signing officers.
11		(c) The application shall specify the name of the persons,
12		association, trust, or corporation making such application and
13		the post office address of the applicant; if the applicant is a
14		trustee, the names and addresses of the beneficiaries; if a
15		corporation, the names and post office addresses of all
16		officers, stockholders and directors; or if such stockholders
17		hold stock as a nominee or fiduciary, the names and post office
18		addresses of these persons, partnerships, corporations, or
19		trusts who are the beneficial owners thereof or who are
20		beneficially interested therein; and if a partnership, the
21		names and post office addresses of all partners, general or
22		limited; if the applicant is a corporation, the name of the
23		state of its incorporation shall be specified.
24		(d) The applicant shall execute and file with the Board a
25		good faith affirmative action plan to recruit, train, and
26		upgrade minorities in all classifications within the
27		association.
28		(e) With such application there shall be delivered to the
29		Board a certified check or bank draft payable to the order of
30		the Board for an amount equal to $10,000 $1,000. All
31		applications for the issuance of an organization license shall
32		be filed with the Board before August 1 of the year prior to
33		the year for which application is made and shall be acted upon
34		by the Board at a meeting to be held on such date as shall be
35		fixed by the Board during the last 15 days of September of such
36		prior year. At such meeting, the Board shall announce the award

1		of the racing meets, live racing schedule, and designation of
2		host track to the applicants and its approval or disapproval of
3		each application. No announcement shall be considered binding
4		until a formal order is executed by the Board, which shall be
5		executed no later than October 15 of that prior year. Absent
6		the agreement of the affected organization licensees, the Board
7		shall not grant overlapping race meetings to 2 or more tracks
8		that are within 100 miles of each other to conduct the
9		thoroughbred racing.
10		(e-5) In reviewing an application for the purpose of
11		granting an organization license consistent with the best
12		interests of the public and the sport of horse racing, the
13		Board shall consider:
14		(1) the character, reputation, experience, and
15		financial integrity of the applicant and of any other
16		separate person that either:
17		(i) controls the applicant, directly or
18		indirectly, or
19		(ii) is controlled, directly or indirectly, by
20		that applicant or by a person who controls, directly or
21		indirectly, that applicant;
22		(2) the applicant's facilities or proposed facilities
23		for conducting horse racing;
24		(3) the total revenue without regard to Section 32.1 to
25		be derived by the State and horsemen from the applicant's
26		conducting a race meeting;
27		(4) the applicant's good faith affirmative action plan
28		to recruit, train, and upgrade minorities in all employment
29		classifications;
30		(5) the applicant's financial ability to purchase and
31		maintain adequate liability and casualty insurance;
32		(6) the applicant's proposed and prior year's
33		promotional and marketing activities and expenditures of
34		the applicant associated with those activities;
35		(7) an agreement, if any, among organization licensees
36		as provided in subsection (b) of Section 21 of this Act;

1		and
2		(8) the extent to which the applicant exceeds or meets
3		other standards for the issuance of an organization license
4		that the Board shall adopt by rule; and
5		(9) the applicant's support of live racing and the
6		growth of the Illinois horse racing industry as measured by
7		the following factors:
8		(i) an increase in handle on Illinois races;
9		(ii) an increase in purses;
10		(iii) the marketing and promotion of horse racing;
11		and
12		(iv) capital improvement to its racing facility
13		(not including its electronic gaming facility).
14		In granting organization licenses and allocating dates for
15		horse race meetings, the Board shall have discretion to
16		determine an overall schedule, including required simulcasts
17		of Illinois races by host tracks that will, in its judgment, be
18		conducive to the best interests of the public and the sport of
19		horse racing.
20		(e-10) The Illinois Administrative Procedure Act shall
21		apply to administrative procedures of the Board under this Act
22		for the granting of an organization license, except that (1)
23		notwithstanding the provisions of subsection (b) of Section
24		10-40 of the Illinois Administrative Procedure Act regarding
25		cross-examination, the Board may prescribe rules limiting the
26		right of an applicant or participant in any proceeding to award
27		an organization license to conduct cross-examination of
28		witnesses at that proceeding where that cross-examination
29		would unduly obstruct the timely award of an organization
30		license under subsection (e) of Section 20 of this Act; (2) the
31		provisions of Section 10-45 of the Illinois Administrative
32		Procedure Act regarding proposals for decision are excluded
33		under this Act; (3) notwithstanding the provisions of
34		subsection (a) of Section 10-60 of the Illinois Administrative
35		Procedure Act regarding ex parte communications, the Board may
36		prescribe rules allowing ex parte communications with

1		applicants or participants in a proceeding to award an
2		organization license where conducting those communications
3		would be in the best interest of racing, provided all those
4		communications are made part of the record of that proceeding
5		pursuant to subsection (c) of Section 10-60 of the Illinois
6		Administrative Procedure Act; (4) the provisions of Section 14a
7		of this Act and the rules of the Board promulgated under that
8		Section shall apply instead of the provisions of Article 10 of
9		the Illinois Administrative Procedure Act regarding
10		administrative law judges; and (5) the provisions of subsection
11		(d) of Section 10-65 of the Illinois Administrative Procedure
12		Act that prevent summary suspension of a license pending
13		revocation or other action shall not apply.
14		(f) The Board may allot racing dates to an organization
15		licensee for more than one calendar year but for no more than 3
16		successive calendar years in advance, provided that the Board
17		shall review such allotment for more than one calendar year
18		prior to each year for which such allotment has been made. The
19		granting of an organization license to a person constitutes a
20		privilege to conduct a horse race meeting under the provisions
21		of this Act, and no person granted an organization license
22		shall be deemed to have a vested interest, property right, or
23		future expectation to receive an organization license in any
24		subsequent year as a result of the granting of an organization
25		license. Organization licenses shall be subject to revocation
26		if the organization licensee has violated any provision of this
27		Act or the rules and regulations promulgated under this Act or
28		has been convicted of a crime or has failed to disclose or has
29		stated falsely any information called for in the application
30		for an organization license. Any organization license
31		revocation proceeding shall be in accordance with Section 16
32		regarding suspension and revocation of occupation licenses.
33		(f-5) If, (i) an applicant does not file an acceptance of
34		the racing dates awarded by the Board as required under part
35		(1) of subsection (h) of this Section 20, or (ii) an
36		organization licensee has its license suspended or revoked

1		under this Act, the Board, upon conducting an emergency hearing
2		as provided for in this Act, may reaward on an emergency basis
3		pursuant to rules established by the Board, racing dates not
4		accepted or the racing dates associated with any suspension or
5		revocation period to one or more organization licensees, new
6		applicants, or any combination thereof, upon terms and
7		conditions that the Board determines are in the best interest
8		of racing, provided, the organization licensees or new
9		applicants receiving the awarded racing dates file an
10		acceptance of those reawarded racing dates as required under
11		paragraph (1) of subsection (h) of this Section 20 and comply
12		with the other provisions of this Act. The Illinois
13		Administrative Procedures Act shall not apply to the
14		administrative procedures of the Board in conducting the
15		emergency hearing and the reallocation of racing dates on an
16		emergency basis.
17		(g) (Blank).
18		(h) The Board shall send the applicant a copy of its
19		formally executed order by certified mail addressed to the
20		applicant at the address stated in his application, which
21		notice shall be mailed within 5 days of the date the formal
22		order is executed.
23		Each applicant notified shall, within 10 days after receipt
24		of the final executed order of the Board awarding racing dates:
25		(1) file with the Board an acceptance of such award in
26		the form prescribed by the Board;
27		(2) pay to the Board an additional amount equal to $200
28		$110 for each racing date awarded; and
29		(3) file with the Board the bonds required in Sections
30		21 and 25 at least 20 days prior to the first day of each
31		race meeting.
32		Upon compliance with the provisions of paragraphs (1), (2), and
33		(3) of this subsection (h), the applicant shall be issued an
34		organization license.
35		If any applicant fails to comply with this Section or fails
36		to pay the organization license fees herein provided, no

1		organization license shall be issued to such applicant.
2		(Source: P.A. 91-40, eff. 6-25-99.)
3		(230 ILCS 5/20.1)
4		Sec. 20.1. Authority of licensees.
5
6		(a) Notwithstanding anything in this Act to the contrary,
7		an organization licensee shall have authority to:
8		(1) determine prices charged for food and beverages
9		goods and services;
10		(2) (blank); determine prices charged for wagering
11		products, subject to Sections 26 and 26.2 of this Act;
12		(3) determine its hours of operation, subject to at
13		least 90 30 days prior notice to the Board if such hours
14		are different than provided such licensee's racing dates
15		application; and
16		(4) otherwise manage its business operations.
17		(b) The Board may disapprove of any business practices by
18		organization licensees identified in subsection (a) of this
19		Section if the Board finds that such practices are detrimental
20		to the public interest.
21		(Source: P.A. 91-40, eff. 6-25-99.)
22		(230 ILCS 5/26) (from Ch. 8, par. 37-26)
23		Sec. 26. Wagering.
24		(a) Any licensee may conduct and supervise the pari-mutuel
25		system of wagering, as defined in Section 3.12 of this Act, on
26		horse races conducted by an Illinois organization licensee or
27		conducted at a racetrack located in another state or country
28		and televised in Illinois in accordance with subsection (g) of
29		Section 26 of this Act. Subject to the prior consent of the
30		Board, licensees may supplement any pari-mutuel pool in order
31		to guarantee a minimum distribution. Such pari-mutuel method of
32		wagering shall not, under any circumstances if conducted under
33		the provisions of this Act, be held or construed to be
34		unlawful, other statutes of this State to the contrary

1		notwithstanding. Subject to rules for advance wagering
2		promulgated by the Board, any licensee may accept wagers in
3		advance of the day of the race wagered upon occurs.
4		(b) Except as otherwise provided in Section 26.7, no No
5		other method of betting, pool making, wagering or gambling
6		shall be used or permitted by the licensee. Each licensee may
7		retain, subject to the payment of all applicable taxes and
8		purses, an amount not to exceed 17% of all money wagered under
9		subsection (a) of this Section, except as may otherwise be
10		permitted under this Act.
11		(b-5) An individual may place a wager under the pari-mutuel
12		system from any licensed location authorized under this Act
13		provided that wager is electronically recorded in the manner
14		described in Section 3.12 of this Act. Any wager made
15		electronically by an individual while physically on the
16		premises of a licensee shall be deemed to have been made at the
17		premises of that licensee.
18		(c) Until January 1, 2000, the sum held by any licensee for
19		payment of outstanding pari-mutuel tickets, if unclaimed prior
20		to December 31 of the next year, shall be retained by the
21		licensee for payment of such tickets until that date. Within 10
22		days thereafter, the balance of such sum remaining unclaimed,
23		less any uncashed supplements contributed by such licensee for
24		the purpose of guaranteeing minimum distributions of any
25		pari-mutuel pool, shall be paid to the Illinois Veterans'
26		Rehabilitation Fund of the State treasury, except as provided
27		in subsection (g) of Section 27 of this Act.
28		(c-5) From Beginning January 1, 2000 until July 1, 2004,
29		the sum held by any licensee for payment of outstanding
30		pari-mutuel tickets, if unclaimed prior to December 31 of the
31		next year, shall be retained by the licensee for payment of
32		such tickets until that date. Within 10 days thereafter, the
33		balance of such sum remaining unclaimed, less any uncashed
34		supplements contributed by such licensee for the purpose of
35		guaranteeing minimum distributions of any pari-mutuel pool,
36		shall be evenly distributed to the purse account of the

1		organization licensee and the organization licensee.
2		(c-10) Beginning July 1, 2004, the sum held by any licensee
3		for payment of outstanding pari-mutuel tickets, if unclaimed
4		prior to December 31 of the next year, shall be retained by the
5		licensee for payment of those tickets until that date. Within
6		10 days thereafter, the balance of the sum remaining unclaimed,
7		less any uncashed supplements contributed by the licensee for
8		the purpose of guaranteeing minimum distributions of any
9		pari-mutuel pool, shall be paid to the Illinois Veterans'
10		Rehabilitation Fund of the State treasury.
11		(d) A pari-mutuel ticket shall be honored until December 31
12		of the next calendar year, and the licensee shall pay the same
13		and may charge the amount thereof against unpaid money
14		similarly accumulated on account of pari-mutuel tickets not
15		presented for payment.
16		(e) No licensee shall knowingly permit any minor, other
17		than an employee of such licensee or an owner, trainer, jockey,
18		driver, or employee thereof, to be admitted during a racing
19		program unless accompanied by a parent or guardian, or any
20		minor to be a patron of the pari-mutuel system of wagering
21		conducted or supervised by it. The admission of any
22		unaccompanied minor, other than an employee of the licensee or
23		an owner, trainer, jockey, driver, or employee thereof at a
24		race track is a Class C misdemeanor.
25		(f) Notwithstanding the other provisions of this Act, an
26		organization licensee may, with the approval of the Board,
27		contract with an entity in another state or country to permit
28		any legal wagering entity in another state or country to accept
29		wagers solely within such other state or country on races
30		conducted by the organization licensee in this State. From
31		Beginning January 1, 2000 until July 1, 2004, these wagers
32		shall not be subject to State taxation. Except during the
33		period beginning Until January 1, 2000 and ending June 30,
34		2004, when the out-of-State entity conducts a pari-mutuel pool
35		separate from the organization licensee, a privilege tax equal
36		to 10% 7 1/2% of all monies received by the organization

1		licensee from entities in other states or countries pursuant to
2		such contracts is imposed on the organization licensee, and
3		such privilege tax shall be remitted to the Department of
4		Revenue within 48 hours of receipt of the moneys from the
5		simulcast. When the out-of-State entity conducts a combined
6		pari-mutuel pool with the organization licensee, the tax shall
7		be 10% of all monies received by the organization licensee with
8		25% of the receipts from this 10% tax to be distributed to the
9		county in which the race was conducted.
10		An organization licensee may permit one or more of its
11		races to be utilized for pari-mutuel wagering at one or more
12		locations in other states and may transmit audio and visual
13		signals of races the organization licensee conducts to one or
14		more locations outside the State or country and may also permit
15		pari-mutuel pools in other states or countries to be combined
16		with its gross or net wagering pools or with wagering pools
17		established by other states.
18		(g) A host track may accept interstate simulcast wagers on
19		horse races conducted in other states or countries and shall
20		control the number of signals and types of breeds of racing in
21		its simulcast program, subject to the disapproval of the Board.
22		The Board may prohibit a simulcast program only if it finds
23		that the simulcast program is clearly adverse to the integrity
24		of racing. The host track simulcast program shall include the
25		signal of live racing of all organization licensees. All
26		non-host licensees shall carry the host track simulcast program
27		and accept wagers on all races included as part of the
28		simulcast program upon which wagering is permitted. The costs
29		and expenses of the host track and non-host licensees
30		associated with interstate simulcast wagering, other than the
31		interstate commission fee, shall be borne by the host track and
32		all non-host licensees incurring these costs. The interstate
33		commission fee shall not exceed 5% of Illinois handle on the
34		interstate simulcast race or races without prior approval of
35		the Board. The Board shall promulgate rules under which it may
36		permit interstate commission fees in excess of 5%. The

1		interstate commission fee and other fees charged by the sending
2		racetrack, including, but not limited to, satellite decoder
3		fees, shall be uniformly applied to the host track and all
4		non-host licensees.
5		(1) Between the hours of 6:30 a.m. and 6:30 p.m. an
6		intertrack wagering licensee other than the host track may
7		supplement the host track simulcast program with
8		additional simulcast races or race programs, provided that
9		between January 1 and the third Friday in February of any
10		year, inclusive, if no live thoroughbred racing is
11		occurring in Illinois during this period, only
12		thoroughbred races may be used for supplemental interstate
13		simulcast purposes. The Board shall withhold approval for a
14		supplemental interstate simulcast only if it finds that the
15		simulcast is clearly adverse to the integrity of racing. A
16		supplemental interstate simulcast may be transmitted from
17		an intertrack wagering licensee to its affiliated non-host
18		licensees. The interstate commission fee for a
19		supplemental interstate simulcast shall be paid by the
20		non-host licensee and its affiliated non-host licensees
21		receiving the simulcast.
22		(2) Between the hours of 6:30 p.m. and 6:30 a.m. an
23		intertrack wagering licensee other than the host track may
24		receive supplemental interstate simulcasts only with the
25		consent of the host track, except when the Board finds that
26		the simulcast is clearly adverse to the integrity of
27		racing. Consent granted under this paragraph (2) to any
28		intertrack wagering licensee shall be deemed consent to all
29		non-host licensees. The interstate commission fee for the
30		supplemental interstate simulcast shall be paid by all
31		participating non-host licensees.
32		(3) Each licensee conducting interstate simulcast
33		wagering may retain, subject to the payment of all
34		applicable taxes and the purses, an amount not to exceed
35		17% of all money wagered. If any licensee conducts the
36		pari-mutuel system wagering on races conducted at

1		racetracks in another state or country, each such race or
2		race program shall be considered a separate racing day for
3		the purpose of determining the daily handle and computing
4		the privilege tax of that daily handle as provided in
5		subsection (a) of Section 27. Until January 1, 2000, from
6		the sums permitted to be retained pursuant to this
7		subsection, each intertrack wagering location licensee
8		shall pay 1% of the pari-mutuel handle wagered on simulcast
9		wagering to the Horse Racing Tax Allocation Fund, subject
10		to the provisions of subparagraph (B) of paragraph (11) of
11		subsection (h) of this Section 26 of this Act.
12		Beginning July 1, 2004, from the sums permitted to be
13		retained pursuant to this subsection, each intertrack
14		wagering location licensee shall pay 1% of the pari-mutuel
15		handle wagered on simulcast wagering to the Horse Racing
16		Tax Allocation Fund, subject to the provisions of
17		subparagraph (B) of paragraph (11) of subsection (h) of
18		this Section.
19		(4) A licensee who receives an interstate simulcast may
20		combine its gross or net pools with pools at the sending
21		racetracks pursuant to rules established by the Board. All
22		licensees combining their gross pools at a sending
23		racetrack shall adopt the take-out percentages of the
24		sending racetrack. A licensee may also establish a separate
25		pool and takeout structure for wagering purposes on races
26		conducted at race tracks outside of the State of Illinois.
27		The licensee may permit pari-mutuel wagers placed in other
28		states or countries to be combined with its gross or net
29		wagering pools or other wagering pools.
30		(5) After the payment of the interstate commission fee
31		(except for the interstate commission fee on a supplemental
32		interstate simulcast, which shall be paid by the host track
33		and by each non-host licensee through the host-track) and
34		all applicable State and local taxes, except as provided in
35		subsection (g) of Section 27 of this Act, the remainder of
36		moneys retained from simulcast wagering pursuant to this

1		subsection (g), and Section 26.2 shall be divided as
2		follows:
3		(A) For interstate simulcast wagers made at a host
4		track, 50% to the host track and 50% to purses at the
5		host track.
6		(B) For wagers placed on interstate simulcast
7		races, supplemental simulcasts as defined in
8		subparagraphs (1) and (2), and separately pooled races
9		conducted outside of the State of Illinois made at a
10		non-host licensee, 25% to the host track, 25% to the
11		non-host licensee, and 50% to the purses at the host
12		track.
13		(6) Notwithstanding any provision in this Act to the
14		contrary, non-host licensees who derive their licenses
15		from a track located in a county with a population in
16		excess of 230,000 and that borders the Mississippi River
17		may receive supplemental interstate simulcast races at all
18		times subject to Board approval, which shall be withheld
19		only upon a finding that a supplemental interstate
20		simulcast is clearly adverse to the integrity of racing.
21		(7) Notwithstanding any provision of this Act to the
22		contrary, after payment of all applicable State and local
23		taxes and interstate commission fees, non-host licensees
24		who derive their licenses from a track located in a county
25		with a population in excess of 230,000 and that borders the
26		Mississippi River shall retain 50% of the retention from
27		interstate simulcast wagers and shall pay 50% to purses at
28		the track from which the non-host licensee derives its
29		license as follows:
30		(A) Between January 1 and the third Friday in
31		February, inclusive, if no live thoroughbred racing is
32		occurring in Illinois during this period, when the
33		interstate simulcast is a standardbred race, the purse
34		share to its standardbred purse account;
35		(B) Between January 1 and the third Friday in
36		February, inclusive, if no live thoroughbred racing is

1		occurring in Illinois during this period, and the
2		interstate simulcast is a thoroughbred race, the purse
3		share to its interstate simulcast purse pool to be
4		distributed under paragraph (10) of this subsection
5		(g);
6		(C) Between January 1 and the third Friday in
7		February, inclusive, if live thoroughbred racing is
8		occurring in Illinois, between 6:30 a.m. and 6:30 p.m.
9		the purse share from wagers made during this time
10		period to its thoroughbred purse account and between
11		6:30 p.m. and 6:30 a.m. the purse share from wagers
12		made during this time period to its standardbred purse
13		accounts;
14		(D) Between the third Saturday in February and
15		December 31, when the interstate simulcast occurs
16		between the hours of 6:30 a.m. and 6:30 p.m., the purse
17		share to its thoroughbred purse account;
18		(E) Between the third Saturday in February and
19		December 31, when the interstate simulcast occurs
20		between the hours of 6:30 p.m. and 6:30 a.m., the purse
21		share to its standardbred purse account.
22		(7.1) Notwithstanding any other provision of this Act
23		to the contrary, if no standardbred racing is conducted at
24		a racetrack located in Madison County during any calendar
25		year beginning on or after January 1, 2002, all moneys
26		derived by that racetrack from simulcast wagering and
27		inter-track wagering that (1) are to be used for purses and
28		(2) are generated between the hours of 6:30 p.m. and 6:30
29		a.m. during that calendar year shall be paid as follows:
30		(A) If the licensee that conducts horse racing at
31		that racetrack requests from the Board at least as many
32		racing dates as were conducted in calendar year 2000,
33		80% shall be paid to its thoroughbred purse account;
34		and
35		(B) Twenty percent shall be deposited into the
36		Illinois Colt Stakes Purse Distribution Fund and shall

1		be paid to purses for standardbred races for Illinois
2		conceived and foaled horses conducted at any county
3		fairgrounds. The moneys deposited into the Fund
4		pursuant to this subparagraph (B) shall be deposited
5		within 2 weeks after the day they were generated, shall
6		be in addition to and not in lieu of any other moneys
7		paid to standardbred purses under this Act, and shall
8		not be commingled with other moneys paid into that
9		Fund. The moneys deposited pursuant to this
10		subparagraph (B) shall be allocated as provided by the
11		Department of Agriculture, with the advice and
12		assistance of the Illinois Standardbred Breeders Fund
13		Advisory Board.
14		(7.2) Notwithstanding any other provision of this Act
15		to the contrary, if no thoroughbred racing is conducted at
16		a racetrack located in Madison County during any calendar
17		year beginning on or after January 1, 2002, all moneys
18		derived by that racetrack from simulcast wagering and
19		inter-track wagering that (1) are to be used for purses and
20		(2) are generated between the hours of 6:30 a.m. and 6:30
21		p.m. during that calendar year shall be deposited as
22		follows:
23		(A) If the licensee that conducts horse racing at
24		that racetrack requests from the Board at least as many
25		racing dates as were conducted in calendar year 2000,
26		80% shall be deposited into its standardbred purse
27		account; and
28		(B) Twenty percent shall be deposited into the
29		Illinois Colt Stakes Purse Distribution Fund. Moneys
30		deposited into the Illinois Colt Stakes Purse
31		Distribution Fund pursuant to this subparagraph (B)
32		shall be paid to Illinois conceived and foaled
33		thoroughbred breeders' programs and to thoroughbred
34		purses for races conducted at any county fairgrounds
35		for Illinois conceived and foaled horses at the
36		discretion of the Department of Agriculture, with the

1		advice and assistance of the Illinois Thoroughbred
2		Breeders Fund Advisory Board. The moneys deposited
3		into the Illinois Colt Stakes Purse Distribution Fund
4		pursuant to this subparagraph (B) shall be deposited
5		within 2 weeks after the day they were generated, shall
6		be in addition to and not in lieu of any other moneys
7		paid to thoroughbred purses under this Act, and shall
8		not be commingled with other moneys deposited into that
9		Fund.
10		(7.3) If no live standardbred racing is conducted at a
11		racetrack located in Madison County in calendar year 2000
12		or 2001, an organization licensee who is licensed to
13		conduct horse racing at that racetrack shall, before
14		January 1, 2002, pay all moneys derived from simulcast
15		wagering and inter-track wagering in calendar years 2000
16		and 2001 and paid into the licensee's standardbred purse
17		account as follows:
18		(A) Eighty percent to that licensee's thoroughbred
19		purse account to be used for thoroughbred purses; and
20		(B) Twenty percent to the Illinois Colt Stakes
21		Purse Distribution Fund.
22		Failure to make the payment to the Illinois Colt Stakes
23		Purse Distribution Fund before January 1, 2002 shall result
24		in the immediate revocation of the licensee's organization
25		license, inter-track wagering license, and inter-track
26		wagering location license.
27		Moneys paid into the Illinois Colt Stakes Purse
28		Distribution Fund pursuant to this paragraph (7.3) shall be
29		paid to purses for standardbred races for Illinois
30		conceived and foaled horses conducted at any county
31		fairgrounds. Moneys paid into the Illinois Colt Stakes
32		Purse Distribution Fund pursuant to this paragraph (7.3)
33		shall be used as determined by the Department of
34		Agriculture, with the advice and assistance of the Illinois
35		Standardbred Breeders Fund Advisory Board, shall be in
36		addition to and not in lieu of any other moneys paid to

1		standardbred purses under this Act, and shall not be
2		commingled with any other moneys paid into that Fund.
3		(7.4) If live standardbred racing is conducted at a
4		racetrack located in Madison County at any time in calendar
5		year 2001 before the payment required under paragraph (7.3)
6		has been made, the organization licensee who is licensed to
7		conduct racing at that racetrack shall pay all moneys
8		derived by that racetrack from simulcast wagering and
9		inter-track wagering during calendar years 2000 and 2001
10		that (1) are to be used for purses and (2) are generated
11		between the hours of 6:30 p.m. and 6:30 a.m. during 2000 or
12		2001 to the standardbred purse account at that racetrack to
13		be used for standardbred purses.
14		(8) Notwithstanding any provision in this Act to the
15		contrary, an organization licensee from a track located in
16		a county with a population in excess of 230,000 and that
17		borders the Mississippi River and its affiliated non-host
18		licensees shall not be entitled to share in any retention
19		generated on racing, inter-track wagering, or simulcast
20		wagering at any other Illinois wagering facility.
21		(8.1) Notwithstanding any provisions in this Act to the
22		contrary, if 2 organization licensees are conducting
23		standardbred race meetings concurrently between the hours
24		of 6:30 p.m. and 6:30 a.m., after payment of all applicable
25		State and local taxes and interstate commission fees, the
26		remainder of the amount retained from simulcast wagering
27		otherwise attributable to the host track and to host track
28		purses shall be split daily between the 2 organization
29		licensees and the purses at the tracks of the 2
30		organization licensees, respectively, based on each
31		organization licensee's share of the total live handle for
32		that day, provided that this provision shall not apply to
33		any non-host licensee that derives its license from a track
34		located in a county with a population in excess of 230,000
35		and that borders the Mississippi River.
36		(9) (Blank).

1		(10) (Blank).
2		(11) (Blank).
3		(12) The Board shall have authority to compel all host
4		tracks to receive the simulcast of any or all races
5		conducted at the Springfield or DuQuoin State fairgrounds
6		and include all such races as part of their simulcast
7		programs.
8		(13) Notwithstanding any other provision of this Act,
9		in the event that the total Illinois pari-mutuel handle on
10		Illinois horse races at all wagering facilities in any
11		calendar year is less than 75% of the total Illinois
12		pari-mutuel handle on Illinois horse races at all such
13		wagering facilities for calendar year 1994, then each
14		wagering facility that has an annual total Illinois
15		pari-mutuel handle on Illinois horse races that is less
16		than 75% of the total Illinois pari-mutuel handle on
17		Illinois horse races at such wagering facility for calendar
18		year 1994, shall be permitted to receive, from any amount
19		otherwise payable to the purse account at the race track
20		with which the wagering facility is affiliated in the
21		succeeding calendar year, an amount equal to 2% of the
22		differential in total Illinois pari-mutuel handle on
23		Illinois horse races at the wagering facility between that
24		calendar year in question and 1994 provided, however, that
25		a wagering facility shall not be entitled to any such
26		payment until the Board certifies in writing to the
27		wagering facility the amount to which the wagering facility
28		is entitled and a schedule for payment of the amount to the
29		wagering facility, based on: (i) the racing dates awarded
30		to the race track affiliated with the wagering facility
31		during the succeeding year; (ii) the sums available or
32		anticipated to be available in the purse account of the
33		race track affiliated with the wagering facility for purses
34		during the succeeding year; and (iii) the need to ensure
35		reasonable purse levels during the payment period. The
36		Board's certification shall be provided no later than

1		January 31 of the succeeding year. In the event a wagering
2		facility entitled to a payment under this paragraph (13) is
3		affiliated with a race track that maintains purse accounts
4		for both standardbred and thoroughbred racing, the amount
5		to be paid to the wagering facility shall be divided
6		between each purse account pro rata, based on the amount of
7		Illinois handle on Illinois standardbred and thoroughbred
8		racing respectively at the wagering facility during the
9		previous calendar year. Annually, the General Assembly
10		shall appropriate sufficient funds from the General
11		Revenue Fund to the Department of Agriculture for payment
12		into the thoroughbred and standardbred horse racing purse
13		accounts at Illinois pari-mutuel tracks. The amount paid to
14		each purse account shall be the amount certified by the
15		Illinois Racing Board in January to be transferred from
16		each account to each eligible racing facility in accordance
17		with the provisions of this Section.
18		(h) The Board may approve and license the conduct of
19		inter-track wagering and simulcast wagering by inter-track
20		wagering licensees and inter-track wagering location licensees
21		subject to the following terms and conditions:
22		(1) Any person licensed to conduct a race meeting (i)
23		at a track where 60 or more days of racing were conducted
24		during the immediately preceding calendar year or where
25		over the 5 immediately preceding calendar years an average
26		of 30 or more days of racing were conducted annually may be
27		issued an inter-track wagering license; (ii) at a track
28		located in a county that is bounded by the Mississippi
29		River, which has a population of less than 150,000
30		according to the 1990 decennial census, and an average of
31		at least 60 days of racing per year between 1985 and 1993
32		may be issued an inter-track wagering license; or (iii) at
33		a track located in Madison County that conducted at least
34		100 days of live racing during the immediately preceding
35		calendar year may be issued an inter-track wagering
36		license, unless a lesser schedule of live racing is the

1		result of (A) weather, unsafe track conditions, or other
2		acts of God; (B) an agreement between the organization
3		licensee and the associations representing the largest
4		number of owners, trainers, jockeys, or standardbred
5		drivers who race horses at that organization licensee's
6		racing meeting; or (C) a finding by the Board of
7		extraordinary circumstances and that it was in the best
8		interest of the public and the sport to conduct fewer than
9		100 days of live racing. Any such person having operating
10		control of the racing facility may also receive up to 6
11		inter-track wagering location licenses. In no event shall
12		more than 6 inter-track wagering locations be established
13		for each eligible race track, except that an eligible race
14		track located in a county that has a population of more
15		than 230,000 and that is bounded by the Mississippi River
16		may establish up to 7 inter-track wagering locations. An
17		application for said license shall be filed with the Board
18		prior to such dates as may be fixed by the Board. With an
19		application for an inter-track wagering location license
20		there shall be delivered to the Board a certified check or
21		bank draft payable to the order of the Board for an amount
22		equal to $2,500 $500. The application shall be on forms
23		prescribed and furnished by the Board. The application
24		shall comply with all other rules, regulations and
25		conditions imposed by the Board in connection therewith.
26		(2) The Board shall examine the applications with
27		respect to their conformity with this Act and the rules and
28		regulations imposed by the Board. If found to be in
29		compliance with the Act and rules and regulations of the
30		Board, the Board may then issue a license to conduct
31		inter-track wagering and simulcast wagering to such
32		applicant. All such applications shall be acted upon by the
33		Board at a meeting to be held on such date as may be fixed
34		by the Board.
35		(3) In granting licenses to conduct inter-track
36		wagering and simulcast wagering, the Board shall give due

1		consideration to the best interests of the public, of horse
2		racing, and of maximizing revenue to the State.
3		(4) Prior to the issuance of a license to conduct
4		inter-track wagering and simulcast wagering, the applicant
5		shall file with the Board a bond payable to the State of
6		Illinois in the sum of $100,000 $50,000, executed by the
7		applicant and a surety company or companies authorized to
8		do business in this State, and conditioned upon (i) the
9		payment by the licensee of all taxes due under Section 27
10		or 27.2 27.1 and any other monies due and payable under
11		this Act, and (ii) distribution by the licensee, upon
12		presentation of the winning ticket or tickets, of all sums
13		payable to the patrons of pari-mutuel pools.
14		(5) Each license to conduct inter-track wagering and
15		simulcast wagering shall specify the person to whom it is
16		issued, the dates on which such wagering is permitted, and
17		the track or location where the wagering is to be
18		conducted.
19		(6) All wagering under such license is subject to this
20		Act and to the rules and regulations from time to time
21		prescribed by the Board, and every such license issued by
22		the Board shall contain a recital to that effect.
23		(7) An inter-track wagering licensee or inter-track
24		wagering location licensee may accept wagers at the track
25		or location where it is licensed, or as otherwise provided
26		under this Act.
27		(8) Inter-track wagering or simulcast wagering shall
28		not be conducted at any track less than 5 miles from a
29		track at which a racing meeting is in progress.
30		(8.1) Inter-track wagering location licensees who
31		derive their licenses from a particular organization
32		licensee shall conduct inter-track wagering and simulcast
33		wagering only at locations which are either within 90 miles
34		of that race track where the particular organization
35		licensee is licensed to conduct racing, or within 135 miles
36		of that race track where the particular organization

1		licensee is licensed to conduct racing in the case of race
2		tracks in counties of less than 400,000 that were operating
3		on or before June 1, 1986. However, inter-track wagering
4		and simulcast wagering shall not be conducted by those
5		licensees at any location within 5 miles of any race track
6		at which a horse race meeting has been licensed in the
7		current year, unless the person having operating control of
8		such race track has given its written consent to such
9		inter-track wagering location licensees, which consent
10		must be filed with the Board at or prior to the time
11		application is made.
12		(8.2) Inter-track wagering or simulcast wagering shall
13		not be conducted by an inter-track wagering location
14		licensee at any location within 500 feet of an existing
15		church or existing school, nor within 500 feet of the
16		residences of more than 50 registered voters without
17		receiving written permission from a majority of the
18		registered voters at such residences. Such written
19		permission statements shall be filed with the Board. The
20		distance of 500 feet shall be measured to the nearest part
21		of any building used for worship services, education
22		programs, residential purposes, or conducting inter-track
23		wagering by an inter-track wagering location licensee, and
24		not to property boundaries. However, inter-track wagering
25		or simulcast wagering may be conducted at a site within 500
26		feet of a church, school or residences of 50 or more
27		registered voters if such church, school or residences have
28		been erected or established, or such voters have been
29		registered, after the Board issues the original
30		inter-track wagering location license at the site in
31		question. Inter-track wagering location licensees may
32		conduct inter-track wagering and simulcast wagering only
33		in areas that are zoned for commercial or manufacturing
34		purposes or in areas for which a special use has been
35		approved by the local zoning authority. However, no license
36		to conduct inter-track wagering and simulcast wagering

1		shall be granted by the Board with respect to any
2		inter-track wagering location within the jurisdiction of
3		any local zoning authority which has, by ordinance or by
4		resolution, prohibited the establishment of an inter-track
5		wagering location within its jurisdiction. However,
6		inter-track wagering and simulcast wagering may be
7		conducted at a site if such ordinance or resolution is
8		enacted after the Board licenses the original inter-track
9		wagering location licensee for the site in question.
10		(9) (Blank).
11		(10) An inter-track wagering licensee or an
12		inter-track wagering location licensee may retain, subject
13		to the payment of the privilege taxes and the purses, an
14		amount not to exceed 17% of all money wagered. Each program
15		of racing conducted by each inter-track wagering licensee
16		or inter-track wagering location licensee shall be
17		considered a separate racing day for the purpose of
18		determining the daily handle and computing the privilege
19		tax or pari-mutuel tax on such daily handle as provided in
20		Section 27.2 27.
21		(10.1) Except as provided in subsection (g) of Section
22		27 of this Act, inter-track wagering location licensees
23		shall pay 1% of the pari-mutuel handle at each location to
24		the municipality in which such location is situated and 1%
25		of the pari-mutuel handle at each location to the county in
26		which such location is situated. In the event that an
27		inter-track wagering location licensee is situated in an
28		unincorporated area of a county, such licensee shall pay 2%
29		of the pari-mutuel handle from such location to such
30		county.
31		(10.2) Notwithstanding any other provision of this
32		Act, with respect to intertrack wagering at a race track
33		located in a county that has a population of more than
34		230,000 and that is bounded by the Mississippi River ("the
35		first race track"), or at a facility operated by an
36		inter-track wagering licensee or inter-track wagering

1		location licensee that derives its license from the
2		organization licensee that operates the first race track,
3		on races conducted at the first race track or on races
4		conducted at another Illinois race track and
5		simultaneously televised to the first race track or to a
6		facility operated by an inter-track wagering licensee or
7		inter-track wagering location licensee that derives its
8		license from the organization licensee that operates the
9		first race track, those moneys shall be allocated as
10		follows:
11		(A) That portion of all moneys wagered on
12		standardbred racing that is required under this Act to
13		be paid to purses shall be paid to purses for
14		standardbred races.
15		(B) That portion of all moneys wagered on
16		thoroughbred racing that is required under this Act to
17		be paid to purses shall be paid to purses for
18		thoroughbred races.
19		(11) (A) After payment of the privilege or pari-mutuel
20		tax, any other applicable taxes, and the costs and expenses
21		in connection with the gathering, transmission, and
22		dissemination of all data necessary to the conduct of
23		inter-track wagering, the remainder of the monies retained
24		under either Section 26 or Section 26.2 of this Act by the
25		inter-track wagering licensee on inter-track wagering
26		shall be allocated with 50% to be split between the 2
27		participating licensees and 50% to purses, except that an
28		intertrack wagering licensee that derives its license from
29		a track located in a county with a population in excess of
30		230,000 and that borders the Mississippi River shall not
31		divide any remaining retention with the Illinois
32		organization licensee that provides the race or races, and
33		an intertrack wagering licensee that accepts wagers on
34		races conducted by an organization licensee that conducts a
35		race meet in a county with a population in excess of
36		230,000 and that borders the Mississippi River shall not

1		divide any remaining retention with that organization
2		licensee.
3		(B) From the sums permitted to be retained pursuant to
4		this Act, each inter-track wagering location licensee
5		shall pay (i) the privilege or pari-mutuel tax to the
6		State; (ii) 4.75% of the pari-mutuel handle on intertrack
7		wagering at such location on races as purses, except that
8		an intertrack wagering location licensee that derives its
9		license from a track located in a county with a population
10		in excess of 230,000 and that borders the Mississippi River
11		shall retain all purse moneys for its own purse account
12		consistent with distribution set forth in this subsection
13		(h), and intertrack wagering location licensees that
14		accept wagers on races conducted by an organization
15		licensee located in a county with a population in excess of
16		230,000 and that borders the Mississippi River shall
17		distribute all purse moneys to purses at the operating host
18		track; (iii) until January 1, 2000, except as provided in
19		subsection (g) of Section 27 of this Act, 1% of the
20		pari-mutuel handle wagered on inter-track wagering and
21		simulcast wagering at each inter-track wagering location
22		licensee facility to the Horse Racing Tax Allocation Fund,
23		provided that, to the extent the total amount collected and
24		distributed to the Horse Racing Tax Allocation Fund under
25		this subsection (h) during any calendar year exceeds the
26		amount collected and distributed to the Horse Racing Tax
27		Allocation Fund during calendar year 1994, that excess
28		amount shall be redistributed (I) to all inter-track
29		wagering location licensees, based on each licensee's
30		pro-rata share of the total handle from inter-track
31		wagering and simulcast wagering for all inter-track
32		wagering location licensees during the calendar year in
33		which this provision is applicable; then (II) the amounts
34		redistributed to each inter-track wagering location
35		licensee as described in subpart (I) shall be further
36		redistributed as provided in subparagraph (B) of paragraph

1		(5) of subsection (g) of this Section 26 provided first,
2		that the shares of those amounts, which are to be
3		redistributed to the host track or to purses at the host
4		track under subparagraph (B) of paragraph (5) of subsection
5		(g) of this Section 26 shall be redistributed based on each
6		host track's pro rata share of the total inter-track
7		wagering and simulcast wagering handle at all host tracks
8		during the calendar year in question, and second, that any
9		amounts redistributed as described in part (I) to an
10		inter-track wagering location licensee that accepts wagers
11		on races conducted by an organization licensee that
12		conducts a race meet in a county with a population in
13		excess of 230,000 and that borders the Mississippi River
14		shall be further redistributed as provided in
15		subparagraphs (D) and (E) of paragraph (7) of subsection
16		(g) of this Section 26, with the portion of that further
17		redistribution allocated to purses at that organization
18		licensee to be divided between standardbred purses and
19		thoroughbred purses based on the amounts otherwise
20		allocated to purses at that organization licensee during
21		the calendar year in question; and (iv) 8% of the
22		pari-mutuel handle on inter-track wagering wagered at such
23		location to satisfy all costs and expenses of conducting
24		its wagering. The remainder of the monies retained by the
25		inter-track wagering location licensee shall be allocated
26		40% to the location licensee and 60% to the organization
27		licensee which provides the Illinois races to the location,
28		except that an intertrack wagering location licensee that
29		derives its license from a track located in a county with a
30		population in excess of 230,000 and that borders the
31		Mississippi River shall not divide any remaining retention
32		with the organization licensee that provides the race or
33		races and an intertrack wagering location licensee that
34		accepts wagers on races conducted by an organization
35		licensee that conducts a race meet in a county with a
36		population in excess of 230,000 and that borders the

1		Mississippi River shall not divide any remaining retention
2		with the organization licensee. Notwithstanding the
3		provisions of clauses (ii) and (iv) of this paragraph, in
4		the case of the additional inter-track wagering location
5		licenses authorized under paragraph (1) of this subsection
6		(h) by this amendatory Act of 1991, those licensees shall
7		pay the following amounts as purses: during the first 12
8		months the licensee is in operation, 5.25% of the
9		pari-mutuel handle wagered at the location on races; during
10		the second 12 months, 5.25%; during the third 12 months,
11		5.75%; during the fourth 12 months, 6.25%; and during the
12		fifth 12 months and thereafter, 6.75%. The following
13		amounts shall be retained by the licensee to satisfy all
14		costs and expenses of conducting its wagering: during the
15		first 12 months the licensee is in operation, 8.25% of the
16		pari-mutuel handle wagered at the location; during the
17		second 12 months, 8.25%; during the third 12 months, 7.75%;
18		during the fourth 12 months, 7.25%; and during the fifth 12
19		months and thereafter, 6.75%. For additional intertrack
20		wagering location licensees authorized under this
21		amendatory Act of 1995, purses for the first 12 months the
22		licensee is in operation shall be 5.75% of the pari-mutuel
23		wagered at the location, purses for the second 12 months
24		the licensee is in operation shall be 6.25%, and purses
25		thereafter shall be 6.75%. For additional intertrack
26		location licensees authorized under this amendatory Act of
27		1995, the licensee shall be allowed to retain to satisfy
28		all costs and expenses: 7.75% of the pari-mutuel handle
29		wagered at the location during its first 12 months of
30		operation, 7.25% during its second 12 months of operation,
31		and 6.75% thereafter.
32		(C) There is hereby created the Horse Racing Tax
33		Allocation Fund which shall remain in existence until
34		December 31, 1999. Moneys remaining in the Fund after
35		December 31, 1999 shall be paid into the General Revenue
36		Fund. Until January 1, 2000, all monies paid into the Horse

1		Racing Tax Allocation Fund pursuant to this paragraph (11)
2		by inter-track wagering location licensees located in park
3		districts of 500,000 population or less, or in a
4		municipality that is not included within any park district
5		but is included within a conservation district and is the
6		county seat of a county that (i) is contiguous to the state
7		of Indiana and (ii) has a 1990 population of 88,257
8		according to the United States Bureau of the Census, and
9		operating on May 1, 1994 shall be allocated by
10		appropriation as follows:
11		Two-sevenths to the Department of Agriculture.
12		Fifty percent of this two-sevenths shall be used to
13		promote the Illinois horse racing and breeding
14		industry, and shall be distributed by the Department of
15		Agriculture upon the advice of a 9-member committee
16		appointed by the Governor consisting of the following
17		members: the Director of Agriculture, who shall serve
18		as chairman; 2 representatives of organization
19		licensees conducting thoroughbred race meetings in
20		this State, recommended by those licensees; 2
21		representatives of organization licensees conducting
22		standardbred race meetings in this State, recommended
23		by those licensees; a representative of the Illinois
24		Thoroughbred Breeders and Owners Foundation,
25		recommended by that Foundation; a representative of
26		the Illinois Standardbred Owners and Breeders
27		Association, recommended by that Association; a
28		representative of the Horsemen's Benevolent and
29		Protective Association or any successor organization
30		thereto established in Illinois comprised of the
31		largest number of owners and trainers, recommended by
32		that Association or that successor organization; and a
33		representative of the Illinois Harness Horsemen's
34		Association, recommended by that Association.
35		Committee members shall serve for terms of 2 years,
36		commencing January 1 of each even-numbered year. If a

1		representative of any of the above-named entities has
2		not been recommended by January 1 of any even-numbered
3		year, the Governor shall appoint a committee member to
4		fill that position. Committee members shall receive no
5		compensation for their services as members but shall be
6		reimbursed for all actual and necessary expenses and
7		disbursements incurred in the performance of their
8		official duties. The remaining 50% of this
9		two-sevenths shall be distributed to county fairs for
10		premiums and rehabilitation as set forth in the
11		Agricultural Fair Act;
12		Four-sevenths to park districts or municipalities
13		that do not have a park district of 500,000 population
14		or less for museum purposes (if an inter-track wagering
15		location licensee is located in such a park district)
16		or to conservation districts for museum purposes (if an
17		inter-track wagering location licensee is located in a
18		municipality that is not included within any park
19		district but is included within a conservation
20		district and is the county seat of a county that (i) is
21		contiguous to the state of Indiana and (ii) has a 1990
22		population of 88,257 according to the United States
23		Bureau of the Census, except that if the conservation
24		district does not maintain a museum, the monies shall
25		be allocated equally between the county and the
26		municipality in which the inter-track wagering
27		location licensee is located for general purposes) or
28		to a municipal recreation board for park purposes (if
29		an inter-track wagering location licensee is located
30		in a municipality that is not included within any park
31		district and park maintenance is the function of the
32		municipal recreation board and the municipality has a
33		1990 population of 9,302 according to the United States
34		Bureau of the Census); provided that the monies are
35		distributed to each park district or conservation
36		district or municipality that does not have a park

1		district in an amount equal to four-sevenths of the
2		amount collected by each inter-track wagering location
3		licensee within the park district or conservation
4		district or municipality for the Fund. Monies that were
5		paid into the Horse Racing Tax Allocation Fund before
6		the effective date of this amendatory Act of 1991 by an
7		inter-track wagering location licensee located in a
8		municipality that is not included within any park
9		district but is included within a conservation
10		district as provided in this paragraph shall, as soon
11		as practicable after the effective date of this
12		amendatory Act of 1991, be allocated and paid to that
13		conservation district as provided in this paragraph.
14		Any park district or municipality not maintaining a
15		museum may deposit the monies in the corporate fund of
16		the park district or municipality where the
17		inter-track wagering location is located, to be used
18		for general purposes; and
19		One-seventh to the Agricultural Premium Fund to be
20		used for distribution to agricultural home economics
21		extension councils in accordance with "An Act in
22		relation to additional support and finances for the
23		Agricultural and Home Economic Extension Councils in
24		the several counties of this State and making an
25		appropriation therefor", approved July 24, 1967.
26		Until January 1, 2000, all other monies paid into the
27		Horse Racing Tax Allocation Fund pursuant to this paragraph
28		(11) shall be allocated by appropriation as follows:
29		Two-sevenths to the Department of Agriculture.
30		Fifty percent of this two-sevenths shall be used to
31		promote the Illinois horse racing and breeding
32		industry, and shall be distributed by the Department of
33		Agriculture upon the advice of a 9-member committee
34		appointed by the Governor consisting of the following
35		members: the Director of Agriculture, who shall serve
36		as chairman; 2 representatives of organization

1		licensees conducting thoroughbred race meetings in
2		this State, recommended by those licensees; 2
3		representatives of organization licensees conducting
4		standardbred race meetings in this State, recommended
5		by those licensees; a representative of the Illinois
6		Thoroughbred Breeders and Owners Foundation,
7		recommended by that Foundation; a representative of
8		the Illinois Standardbred Owners and Breeders
9		Association, recommended by that Association; a
10		representative of the Horsemen's Benevolent and
11		Protective Association or any successor organization
12		thereto established in Illinois comprised of the
13		largest number of owners and trainers, recommended by
14		that Association or that successor organization; and a
15		representative of the Illinois Harness Horsemen's
16		Association, recommended by that Association.
17		Committee members shall serve for terms of 2 years,
18		commencing January 1 of each even-numbered year. If a
19		representative of any of the above-named entities has
20		not been recommended by January 1 of any even-numbered
21		year, the Governor shall appoint a committee member to
22		fill that position. Committee members shall receive no
23		compensation for their services as members but shall be
24		reimbursed for all actual and necessary expenses and
25		disbursements incurred in the performance of their
26		official duties. The remaining 50% of this
27		two-sevenths shall be distributed to county fairs for
28		premiums and rehabilitation as set forth in the
29		Agricultural Fair Act;
30		Four-sevenths to museums and aquariums located in
31		park districts of over 500,000 population; provided
32		that the monies are distributed in accordance with the
33		previous year's distribution of the maintenance tax
34		for such museums and aquariums as provided in Section 2
35		of the Park District Aquarium and Museum Act; and
36		One-seventh to the Agricultural Premium Fund to be

1		used for distribution to agricultural home economics
2		extension councils in accordance with "An Act in
3		relation to additional support and finances for the
4		Agricultural and Home Economic Extension Councils in
5		the several counties of this State and making an
6		appropriation therefor", approved July 24, 1967. This
7		subparagraph (C) shall be inoperative and of no force
8		and effect on and after January 1, 2000.
9		(C-5) There is hereby created the Horse Racing Tax
10		Allocation Fund. All moneys paid into the Horse Racing Tax
11		Allocation Fund pursuant to this paragraph (11) by
12		inter-track wagering location licensees located in park
13		districts of 500,000 population or less, or in a
14		municipality that is not included within any park district
15		but is included within a conservation district and is the
16		county seat of a county that (i) is contiguous to the state
17		of Indiana and (ii) has a 1990 population of 88,257
18		according to the United States Bureau of the Census, and
19		operating on July 1, 2004 shall be allocated by
20		appropriation as follows:
21		Two-sevenths to the Department of Agriculture.
22		Fifty percent of this two-sevenths shall be used to
23		promote the Illinois horse racing and breeding
24		industry, and shall be distributed by the Department of
25		Agriculture upon the advice of a 9-member committee
26		appointed by the Governor consisting of the following
27		members: the Director of Agriculture, who shall serve
28		as chairman; 2 representatives of organization
29		licensees conducting thoroughbred race meetings in
30		this State, recommended by those licensees; 2
31		representatives of organization licensees conducting
32		standardbred race meetings in this State, recommended
33		by those licensees; a representative of the Illinois
34		Thoroughbred Breeders and Owners Foundation,
35		recommended by that Foundation; a representative of
36		the Illinois Standardbred Owners and Breeders

1		Association, recommended by that Association; a
2		representative of the Horsemen's Benevolent and
3		Protective Association or any successor organization
4		thereto established in Illinois comprised of the
5		largest number of owners and trainers, recommended by
6		that Association or that successor organization; and a
7		representative of the Illinois Harness Horsemen's
8		Association, recommended by that Association.
9		Committee members shall serve for terms of 2 years,
10		commencing January 1 of each even-numbered year. If a
11		representative of any of the above-named entities has
12		not been recommended by January 1 of any even-numbered
13		year, the Governor shall appoint a committee member to
14		fill that position. Committee members shall receive no
15		compensation for their services as members but shall be
16		reimbursed for all actual and necessary expenses and
17		disbursements incurred in the performance of their
18		official duties. The remaining 50% of this
19		two-sevenths shall be distributed to county fairs for
20		premiums and rehabilitation as set forth in the
21		Agricultural Fair Act;
22		Four-sevenths to park districts or municipalities
23		that do not have a park district of 500,000 population
24		or less for museum purposes (if an inter-track wagering
25		location licensee is located in such a park district)
26		or to conservation districts for museum purposes (if an
27		inter-track wagering location licensee is located in a
28		municipality that is not included within any park
29		district but is included within a conservation
30		district and is the county seat of a county that (i) is
31		contiguous to the state of Indiana and (ii) has a 1990
32		population of 88,257 according to the United States
33		Bureau of the Census, except that if the conservation
34		district does not maintain a museum, the monies shall
35		be allocated equally between the county and the
36		municipality in which the inter-track wagering

1		location licensee is located for general purposes) or
2		to a municipal recreation board for park purposes (if
3		an inter-track wagering location licensee is located
4		in a municipality that is not included within any park
5		district and park maintenance is the function of the
6		municipal recreation board and the municipality has a
7		1990 population of 9,302 according to the United States
8		Bureau of the Census); provided that the moneys are
9		distributed to each park district or conservation
10		district or municipality that does not have a park
11		district in an amount equal to four-sevenths of the
12		amount collected by each inter-track wagering location
13		licensee within the park district or conservation
14		district or municipality for the Fund. Any park
15		district or municipality not maintaining a museum may
16		deposit the monies in the corporate fund of the park
17		district or municipality where the inter-track
18		wagering location is located, to be used for general
19		purposes; and
20		One-seventh to the Agricultural Premium Fund to be
21		used for distribution to agricultural home economics
22		extension councils in accordance with "An Act in
23		relation to additional support and finances for the
24		Agricultural and Home Economic Extension Councils in
25		the several counties of this State and making an
26		appropriation therefor", approved July 24, 1967.
27		All other moneys paid into the Horse Racing Tax
28		Allocation Fund pursuant to this paragraph (11) shall be
29		allocated by appropriation as follows:
30		Two-sevenths to the Department of Agriculture.
31		Fifty percent of this two-sevenths shall be used to
32		promote the Illinois horse racing and breeding
33		industry, and shall be distributed by the Department of
34		Agriculture upon the advice of a 9-member committee
35		appointed by the Governor consisting of the following
36		members: the Director of Agriculture, who shall serve

1		as chairman; 2 representatives of organization
2		licensees conducting thoroughbred race meetings in
3		this State, recommended by those licensees; 2
4		representatives of organization licensees conducting
5		standardbred race meetings in this State, recommended
6		by those licensees; a representative of the Illinois
7		Thoroughbred Breeders and Owners Foundation,
8		recommended by that Foundation; a representative of
9		the Illinois Standardbred Owners and Breeders
10		Association, recommended by that Association; a
11		representative of the Horsemen's Benevolent and
12		Protective Association or any successor organization
13		thereto established in Illinois comprised of the
14		largest number of owners and trainers, recommended by
15		that Association or that successor organization; and a
16		representative of the Illinois Harness Horsemen's
17		Association, recommended by that Association.
18		Committee members shall serve for terms of 2 years,
19		commencing January 1 of each even-numbered year. If a
20		representative of any of the above-named entities has
21		not been recommended by January 1 of any even-numbered
22		year, the Governor shall appoint a committee member to
23		fill that position. Committee members shall receive no
24		compensation for their services as members but shall be
25		reimbursed for all actual and necessary expenses and
26		disbursements incurred in the performance of their
27		official duties. The remaining 50% of this
28		two-sevenths shall be distributed to county fairs for
29		premiums and rehabilitation as set forth in the
30		Agricultural Fair Act;
31		Four-sevenths to museums and aquariums located in
32		park districts of over 500,000 population; provided
33		that the monies are distributed in accordance with the
34		previous year's distribution of the maintenance tax
35		for such museums and aquariums as provided in Section 2
36		of the Park District Aquarium and Museum Act; and

1		One-seventh to the Agricultural Premium Fund to be
2		used for distribution to agricultural home economics
3		extension councils in accordance with "An Act in
4		relation to additional support and finances for the
5		Agricultural and Home Economic Extension Councils in
6		the several counties of this State and making an
7		appropriation therefor", approved July 24, 1967.
8		(D) Except as provided in paragraph (11) of this
9		subsection (h), with respect to purse allocation from
10		intertrack wagering, the monies so retained shall be
11		divided as follows:
12		(i) If the inter-track wagering licensee,
13		except an intertrack wagering licensee that
14		derives its license from an organization licensee
15		located in a county with a population in excess of
16		230,000 and bounded by the Mississippi River, is
17		not conducting its own race meeting during the same
18		dates, then the entire purse allocation shall be to
19		purses at the track where the races wagered on are
20		being conducted.
21		(ii) If the inter-track wagering licensee,
22		except an intertrack wagering licensee that
23		derives its license from an organization licensee
24		located in a county with a population in excess of
25		230,000 and bounded by the Mississippi River, is
26		also conducting its own race meeting during the
27		same dates, then the purse allocation shall be as
28		follows: 50% to purses at the track where the races
29		wagered on are being conducted; 50% to purses at
30		the track where the inter-track wagering licensee
31		is accepting such wagers.
32		(iii) If the inter-track wagering is being
33		conducted by an inter-track wagering location
34		licensee, except an intertrack wagering location
35		licensee that derives its license from an
36		organization licensee located in a county with a

1		population in excess of 230,000 and bounded by the
2		Mississippi River, the entire purse allocation for
3		Illinois races shall be to purses at the track
4		where the race meeting being wagered on is being
5		held.
6		(12) The Board shall have all powers necessary and
7		proper to fully supervise and control the conduct of
8		inter-track wagering and simulcast wagering by inter-track
9		wagering licensees and inter-track wagering location
10		licensees, including, but not limited to the following:
11		(A) The Board is vested with power to promulgate
12		reasonable rules and regulations for the purpose of
13		administering the conduct of this wagering and to
14		prescribe reasonable rules, regulations and conditions
15		under which such wagering shall be held and conducted.
16		Such rules and regulations are to provide for the
17		prevention of practices detrimental to the public
18		interest and for the best interests of said wagering
19		and to impose penalties for violations thereof.
20		(B) The Board, and any person or persons to whom it
21		delegates this power, is vested with the power to enter
22		the facilities of any licensee to determine whether
23		there has been compliance with the provisions of this
24		Act and the rules and regulations relating to the
25		conduct of such wagering.
26		(C) The Board, and any person or persons to whom it
27		delegates this power, may eject or exclude from any
28		licensee's facilities, any person whose conduct or
29		reputation is such that his presence on such premises
30		may, in the opinion of the Board, call into the
31		question the honesty and integrity of, or interfere
32		with the orderly conduct of such wagering; provided,
33		however, that no person shall be excluded or ejected
34		from such premises solely on the grounds of race,
35		color, creed, national origin, ancestry, or sex.
36		(D) (Blank).

1		(E) The Board is vested with the power to appoint
2		delegates to execute any of the powers granted to it
3		under this Section for the purpose of administering
4		this wagering and any rules and regulations
5		promulgated in accordance with this Act.
6		(F) The Board shall name and appoint a State
7		director of this wagering who shall be a representative
8		of the Board and whose duty it shall be to supervise
9		the conduct of inter-track wagering as may be provided
10		for by the rules and regulations of the Board; such
11		rules and regulation shall specify the method of
12		appointment and the Director's powers, authority and
13		duties.
14		(G) The Board is vested with the power to impose
15		civil penalties of up to $10,000 $5,000 against
16		individuals and up to $50,000 $10,000 against
17		licensees for each violation of any provision of this
18		Act relating to the conduct of this wagering, any rules
19		adopted by the Board, any order of the Board or any
20		other action which in the Board's discretion, is a
21		detriment or impediment to such wagering.
22		(13) The Department of Agriculture may enter into
23		agreements with licensees authorizing such licensees to
24		conduct inter-track wagering on races to be held at the
25		licensed race meetings conducted by the Department of
26		Agriculture. Such agreement shall specify the races of the
27		Department of Agriculture's licensed race meeting upon
28		which the licensees will conduct wagering. In the event
29		that a licensee conducts inter-track pari-mutuel wagering
30		on races from the Illinois State Fair or DuQuoin State Fair
31		which are in addition to the licensee's previously approved
32		racing program, those races shall be considered a separate
33		racing day for the purpose of determining the daily handle
34		and computing the privilege or pari-mutuel tax on that
35		daily handle as provided in Section Sections 27 and 27.2
36		27.1. Such agreements shall be approved by the Board before

1		such wagering may be conducted. In determining whether to
2		grant approval, the Board shall give due consideration to
3		the best interests of the public and of horse racing. The
4		provisions of paragraphs (1), (8), (8.1), and (8.2) of
5		subsection (h) of this Section which are not specified in
6		this paragraph (13) shall not apply to licensed race
7		meetings conducted by the Department of Agriculture at the
8		Illinois State Fair in Sangamon County or the DuQuoin State
9		Fair in Perry County, or to any wagering conducted on those
10		race meetings.
11		(i) Notwithstanding the other provisions of this Act, the
12		conduct of wagering at wagering facilities is authorized on all
13		days, except as limited by subsection (b) of Section 19 of this
14		Act.
15		(Source: P.A. 91-40, eff. 6-25-99; 92-211, eff. 8-2-01.)
16		(230 ILCS 5/26.1) (from Ch. 8, par. 37-26.1)
17		Sec. 26.1. For all pari-mutuel wagering conducted pursuant
18		to this Act, breakage shall be at all times computed on the
19		basis of not to exceed 10˘ on the dollar. If there is a minus
20		pool, the breakage shall be computed on the basis of not to
21		exceed 5˘ on the dollar. Breakage shall be calculated only
22		after the amounts retained by licensees pursuant to Sections 26
23		and 26.2 of this Act, and all applicable surcharges, are taken
24		out of winning wagers and winnings from wagers. Beginning
25		January 1, 2000, all breakage shall be retained by licensees,
26		with 50% of breakage to be used by licensees for racetrack
27		improvements at the racetrack from which the wagering facility
28		derives its license. The remaining 50% is to be allocated 50%
29		to the purse account for the licensee from which the wagering
30		facility derives its license and 50% to the licensee.
31		(Source: P.A. 91-40, eff. 6-25-99.)
32		(230 ILCS 5/26.7 new)
33		Sec. 26.7. Lottery games; raffles; charitable games. An
34		organization licensee may sell lottery tickets under the

1		Illinois Lottery Law at its race track and at its inter-track
2		wagering locations if it obtains a license under Section 10 of
3		the Illinois Lottery Law authorizing it to do so.
4		An organization licensee may conduct raffles under the
5		Raffles Act at its race track and at its inter-track wagering
6		locations if it obtains a license under Section 3 of the
7		Raffles Act authorizing it to do so.
8		An organization licensee may provide its race track and at
9		its inter-track wagering locations for charitable games under
10		the Charitable Games Act if it obtains a license under Section
11		5 of the Charitable Games Act authorizing it to do so.
12		(230 ILCS 5/27) (from Ch. 8, par. 37-27)
13		Sec. 27. (a) In addition to the organization license fee
14		provided by this Act, except during the period until January 1,
15		2000 through June 30, 2004, a graduated privilege tax is hereby
16		imposed for conducting the pari-mutuel system of wagering
17		permitted under this Act. Except during the period Until
18		January 1, 2000 through June 30, 2004, except as provided in
19		subsection (g) of Section 27 of this Act, all of the breakage
20		of each racing day held by any licensee in the State shall be
21		paid to the State. Except during the period Until January 1,
22		2000 through June 30, 2004, such daily graduated privilege tax
23		shall be paid by the licensee from the amount permitted to be
24		retained under this Act. Until January 1, 2000, each day's
25		graduated privilege tax, breakage, and Horse Racing Tax
26		Allocation funds shall be remitted to the Department of Revenue
27		within 48 hours after the close of the racing day upon which it
28		is assessed or within such other time as the Board prescribes.
29		Beginning July 1, 2004, each day's privilege tax, breakage, and
30		Illinois Horse Racing Tax Allocation funds shall be remitted to
31		the Department of Revenue within 48 hours of the close of the
32		racing day upon which it is collected or within such other time
33		as the Board may prescribe. The privilege tax hereby imposed,
34		until January 1, 2000, shall be a flat tax at the rate of 2% of
35		the daily pari-mutuel handle except as provided in Section 27.2

1		27.1.
2		In addition, every organization licensee, except as
3		provided in Section 27.2 27.1 of this Act, which conducts
4		multiple wagering shall pay, except during the period until
5		January 1, 2000 through June 30, 2004, as a privilege tax on
6		multiple wagers an amount equal to 1.25% of all moneys wagered
7		each day on such multiple wagers, plus an additional amount
8		equal to 3.5% of the amount wagered each day on any other
9		multiple wager which involves a single betting interest on 3 or
10		more horses. The licensee shall remit the amount of such taxes
11		to the Department of Revenue within 48 hours after the close of
12		the racing day on which it is assessed or within such other
13		time as the Board prescribes.
14		This subsection (a) shall be inoperative and of no force
15		and effect on and after January 1, 2000.
16		(a-5) From Beginning on January 1, 2000 until July 1, 2004,
17		a flat pari-mutuel tax at the rate of 1.5% of the daily
18		pari-mutuel handle is imposed at all pari-mutuel wagering
19		facilities, which shall be remitted to the Department of
20		Revenue within 48 hours after the close of the racing day upon
21		which it is assessed or within such other time as the Board
22		prescribes.
23		(b) On or before December 31, 1999 and on or after July 1,
24		2004, if in the event that any organization licensee conducts 2
25		separate programs of races on any day, each such program shall
26		be considered a separate racing day for purposes of determining
27		the daily handle and computing the privilege tax on such daily
28		handle as provided in subsection (a) of this Section.
29		(c) Licensees shall at all times keep accurate books and
30		records of all monies wagered on each day of a race meeting and
31		of the taxes paid to the Department of Revenue under the
32		provisions of this Section. The Board or its duly authorized
33		representative or representatives shall at all reasonable
34		times have access to such records for the purpose of examining
35		and checking the same and ascertaining whether the proper
36		amount of taxes is being paid as provided. The Board shall

1		require verified reports and a statement of the total of all
2		monies wagered daily at each wagering facility upon which the
3		taxes are assessed and may prescribe forms upon which such
4		reports and statement shall be made.
5		(d) Any licensee failing or refusing to pay the amount of
6		any tax due under this Section shall be guilty of a business
7		offense and upon conviction shall be fined not more than $5,000
8		in addition to the amount found due as tax under this Section.
9		Each day's violation shall constitute a separate offense. All
10		fines paid into Court by a licensee hereunder shall be
11		transmitted and paid over by the Clerk of the Court to the
12		Board.
13		(e) No other license fee, privilege tax, excise tax, or
14		racing fee, except as provided in this Act, shall be assessed
15		or collected from any such licensee by the State.
16		(f) No other license fee, privilege tax, excise tax or
17		racing fee shall be assessed or collected from any such
18		licensee by units of local government except as provided in
19		paragraph 10.1 of subsection (h) and subsection (f) of Section
20		26 of this Act. However, any municipality that has a Board
21		licensed horse race meeting at a race track wholly within its
22		corporate boundaries or a township that has a Board licensed
23		horse race meeting at a race track wholly within the
24		unincorporated area of the township may charge a local
25		amusement tax not to exceed 10˘ per admission to such horse
26		race meeting by the enactment of an ordinance. However, any
27		municipality or county that has a Board licensed inter-track
28		wagering location facility wholly within its corporate
29		boundaries may each impose an admission fee not to exceed $1.00
30		per admission to such inter-track wagering location facility,
31		so that a total of not more than $2.00 per admission may be
32		imposed. Except as provided in subparagraph (g) of Section 27
33		of this Act, the inter-track wagering location licensee shall
34		collect any and all such fees and within 48 hours remit the
35		fees to the Board, which shall, pursuant to rule, cause the
36		fees to be distributed to the county or municipality.

1		(g) Notwithstanding any provision in this Act to the
2		contrary, if in any calendar year the total taxes and fees
3		required to be collected from licensees and distributed under
4		this Act to all State and local governmental authorities
5		exceeds the amount of such taxes and fees distributed to each
6		State and local governmental authority to which each State and
7		local governmental authority was entitled under this Act for
8		calendar year 1994, then the first $11 million of that excess
9		amount shall be allocated at the earliest possible date for
10		distribution as purse money for the succeeding calendar year.
11		Upon reaching the 1994 level, and until the excess amount of
12		taxes and fees exceeds $11 million, the Board shall direct all
13		licensees to cease paying the subject taxes and fees and the
14		Board shall direct all licensees to allocate any such excess
15		amount for purses as follows:
16		(i) the excess amount shall be initially divided
17		between thoroughbred and standardbred purses based on the
18		thoroughbred's and standardbred's respective percentages
19		of total Illinois live wagering in calendar year 1994;
20		(ii) each thoroughbred and standardbred organization
21		licensee issued an organization licensee in that
22		succeeding allocation year shall be allocated an amount
23		equal to the product of its percentage of total Illinois
24		live thoroughbred or standardbred wagering in calendar
25		year 1994 (the total to be determined based on the sum of
26		1994 on-track wagering for all organization licensees
27		issued organization licenses in both the allocation year
28		and the preceding year) multiplied by the total amount
29		allocated for standardbred or thoroughbred purses,
30		provided that the first $1,500,000 of the amount allocated
31		to standardbred purses under item (i) shall be allocated to
32		the Department of Agriculture to be expended with the
33		assistance and advice of the Illinois Standardbred
34		Breeders Funds Advisory Board for the purposes listed in
35		subsection (g) of Section 31 of this Act, before the amount
36		allocated to standardbred purses under item (i) is

1		allocated to standardbred organization licensees in the
2		succeeding allocation year.
3		To the extent the excess amount of taxes and fees to be
4		collected and distributed to State and local governmental
5		authorities exceeds $11 million, that excess amount shall be
6		collected and distributed to State and local authorities as
7		provided for under this Act.
8		(Source: P.A. 91-40, eff. 6-25-99.)
9		(230 ILCS 5/27.2 new)
10		Sec. 27.2. Daily graduated tax. An organization licensee
11		whose track facilities operated in a county with fewer than
12		400,000 inhabitants on or before June 1, 1986, shall be subject
13		to a daily graduated tax of 1% of the first $400,000 of daily
14		pari-mutuel handle and 2% of such handle in excess of $400,000.
15		Every inter-track wagering licensee and inter-track
16		wagering location licensee shall be subject to a daily
17		graduated tax of 1% of the first $400,000 of its daily
18		pari-mutuel handle and 2% of such handle in excess of $400,000.
19		An organization licensee whose track facilities operated
20		in a county with fewer than 400,000 inhabitants on or before
21		June 1, 1986, every inter-track wagering licensee, and every
22		inter-track wagering location licensee shall pay as a privilege
23		tax on multiple wagers an amount equal to 0.75% of all moneys
24		wagered each day on such multiple wagers, plus an additional
25		amount equal to 2.5% of the amount wagered each day on any
26		other multiple wager which involves a single betting interest
27		on 3 or more horses.
28		(230 ILCS 5/28) (from Ch. 8, par. 37-28)
29		Sec. 28. Except as provided in subsection (g) of Section 27
30		of this Act, moneys collected shall be distributed according to
31		the provisions of this Section 28.
32		(a) Thirty per cent of the total of all monies received by
33		the State as privilege taxes shall be paid into the
34		Metropolitan Fair and Exposition Authority Reconstruction Fund

1		in the State treasury until such Fund contains sufficient money
2		to pay in full, both principal and interest, all of the
3		outstanding bonds issued pursuant to the Fair and Exposition
4		Authority Reconstruction Act, approved July 31, 1967, as
5		amended, and thereafter shall be paid into the Metropolitan
6		Exposition Auditorium and Office Building Fund in the State
7		Treasury.
8		(b) Four and one-half per cent of the total of all monies
9		received by the State as privilege taxes shall be paid into the
10		State treasury into a special Fund to be known as the
11		Metropolitan Exposition, Auditorium, and Office Building Fund.
12		(c) Fifty per cent of the total of all monies received by
13		the State as privilege taxes under the provisions of this Act
14		shall be paid into the Agricultural Premium Fund.
15		(d) Seven per cent of the total of all monies received by
16		the State as privilege taxes shall be paid into the Fair and
17		Exposition Fund in the State treasury; provided, however, that
18		when all bonds issued prior to July 1, 1984 by the Metropolitan
19		Fair and Exposition Authority shall have been paid or payment
20		shall have been provided for upon a refunding of those bonds,
21		thereafter 1/12 of $1,665,662 of such monies shall be paid each
22		month into the Build Illinois Fund, and the remainder into the
23		Fair and Exposition Fund. All excess monies shall be allocated
24		to the Department of Agriculture for distribution to county
25		fairs for premiums and rehabilitation as set forth in the
26		Agricultural Fair Act.
27		(e) The monies provided for in Section 30 shall be paid
28		into the Illinois Thoroughbred Breeders Fund.
29		(f) The monies provided for in Section 31 shall be paid
30		into the Illinois Standardbred Breeders Fund.
31		(g) Until January 1, 2000, that part representing 1/2 of
32		the total breakage in Thoroughbred, Harness, Appaloosa,
33		Arabian, and Quarter Horse racing in the State shall be paid
34		into the Illinois Race Track Improvement Fund as established in
35		Section 32.
36		(g-5) Beginning July 1, 2004, that part representing 50% of

1		the total breakage in Thoroughbred, Harness, Appaloosa,
2		Arabian, and Quarter Horse racing in the State shall be paid
3		into the Illinois Race Track Improvement Fund as established in
4		Section 32.2.
5		(h) All other monies received by the Board under this Act
6		shall be paid into the General Revenue Fund of the State.
7		(i) The salaries of the Board members, secretary, stewards,
8		directors of mutuels, veterinarians, representatives,
9		accountants, clerks, stenographers, inspectors and other
10		employees of the Board, and all expenses of the Board incident
11		to the administration of this Act, including, but not limited
12		to, all expenses and salaries incident to the taking of saliva
13		and urine samples in accordance with the rules and regulations
14		of the Board shall be paid out of the Agricultural Premium
15		Fund.
16		(j) The Agricultural Premium Fund shall also be used:
17		(1) for the expenses of operating the Illinois State
18		Fair and the DuQuoin State Fair, including the payment of
19		prize money or premiums;
20		(2) for the distribution to county fairs, vocational
21		agriculture section fairs, agricultural societies, and
22		agricultural extension clubs in accordance with the
23		Agricultural Fair Act, as amended;
24		(3) for payment of prize monies and premiums awarded
25		and for expenses incurred in connection with the
26		International Livestock Exposition and the Mid-Continent
27		Livestock Exposition held in Illinois, which premiums, and
28		awards must be approved, and paid by the Illinois
29		Department of Agriculture;
30		(4) for personal service of county agricultural
31		advisors and county home advisors;
32		(5) for distribution to agricultural home economic
33		extension councils in accordance with "An Act in relation
34		to additional support and finance for the Agricultural and
35		Home Economic Extension Councils in the several counties in
36		this State and making an appropriation therefor", approved

1		July 24, 1967, as amended;
2		(6) for research on equine disease, including a
3		development center therefor;
4		(7) for training scholarships for study on equine
5		diseases to students at the University of Illinois College
6		of Veterinary Medicine;
7		(8) for the rehabilitation, repair and maintenance of
8		the Illinois and DuQuoin State Fair Grounds and the
9		structures and facilities thereon and the construction of
10		permanent improvements on such Fair Grounds, including
11		such structures, facilities and property located on such
12		State Fair Grounds which are under the custody and control
13		of the Department of Agriculture;
14		(9) for the expenses of the Department of Agriculture
15		under Section 5-530 of the Departments of State Government
16		Law (20 ILCS 5/5-530);
17		(10) for the expenses of the Department of Commerce and
18		Economic Opportunity Community Affairs under Sections
19		605-620, 605-625, and 605-630 of the Department of Commerce
20		and Economic Opportunity Community Affairs Law (20 ILCS
21		605/605-620, 605/605-625, and 605/605-630);
22		(11) for remodeling, expanding, and reconstructing
23		facilities destroyed by fire of any Fair and Exposition
24		Authority in counties with a population of 1,000,000 or
25		more inhabitants;
26		(12) for the purpose of assisting in the care and
27		general rehabilitation of disabled veterans of any war and
28		their surviving spouses and orphans;
29		(13) for expenses of the Department of State Police for
30		duties performed under this Act;
31		(14) for the Department of Agriculture for soil surveys
32		and soil and water conservation purposes;
33		(15) for the Department of Agriculture for grants to
34		the City of Chicago for conducting the Chicagofest.
35		(k) To the extent that monies paid by the Board to the
36		Agricultural Premium Fund are in the opinion of the Governor in

1		excess of the amount necessary for the purposes herein stated,
2		the Governor shall notify the Comptroller and the State
3		Treasurer of such fact, who, upon receipt of such notification,
4		shall transfer such excess monies from the Agricultural Premium
5		Fund to the General Revenue Fund.
6		(Source: P.A. 91-40, eff. 1-1-00; 91-239, eff. 1-1-00; 92-16,
7		eff. 6-28-01; revised 12-6-03.)
8		(230 ILCS 5/29) (from Ch. 8, par. 37-29)
9		Sec. 29. (a) After the privilege or pari-mutuel tax
10		established in Sections 26(f), 27, and 27.2 27.1 is paid to the
11		State from the monies retained by the organization licensee
12		pursuant to Sections 26, 26.2, and 26.3, the remainder of those
13		monies retained pursuant to Sections 26 and 26.2, except as
14		provided in subsection (g) of Section 27 of this Act, shall be
15		allocated evenly to the organization licensee and as purses.
16		(b) (Blank).
17		(c) (Blank).
18		(d) Each organization licensee and inter-track wagering
19		licensee from the money retained for purses as set forth in
20		subsection (a) of this Section, shall pay to an organization
21		representing the largest number of horse owners and trainers
22		which has negotiated a contract with the organization licensee
23		for such purpose an amount equal to at least 1% of the
24		organization licensee's and inter-track wagering licensee's
25		retention of the pari-mutuel handle for the racing season. Each
26		inter-track wagering location licensee, from the 4% of its
27		handle required to be paid as purses under paragraph (11) of
28		subsection (h) of Section 26 of this Act, shall pay to the
29		contractually established representative organization 2% of
30		that 4%, provided that the payments so made to the organization
31		shall not exceed a total of $125,000 in any calendar year. Such
32		contract shall be negotiated and signed prior to the beginning
33		of the racing season.
34		(Source: P.A. 91-40, eff. 6-25-99.)

1		(230 ILCS 5/32.2 new)
2		Sec. 32.2. Illinois Race Track Improvement Fund.
3		(a) There is hereby created in the State Treasury a fund to
4		be known as the Illinois Race Track Improvement Fund, referred
5		to in this Section as the Fund, to consist of monies paid into
6		it pursuant to Section 28. Moneys credited to the Fund shall be
7		distributed by the Treasurer on order of the Board.
8		(b) Fifty percent of the breakage of each meeting shall be
9		collected by the Department of Revenue and deposited with the
10		State Treasurer in an account established for each organization
11		licensee who held such meeting at any track in a given racing
12		year.
13		(c) The Racing Board shall use this Fund to aid tracks in
14		improving their facilities. Expenditures from the Fund shall be
15		equitably distributed between frontside and backside
16		improvements for each organization licensee, taking into
17		account the amount an organization licensee may spend or has
18		spent on frontside and backside improvements over the course of
19		a multi-year capital improvement plan, which plan shall be
20		updated each year and subject to the review and approval of the
21		Board. The Board shall have discretion to deny a request for
22		reimbursement from the Fund if it determines that the proposed
23		expenditures are not consistent with the approved capital
24		improvement plan. An organization licensee shall be required to
25		file an updated plan each year with any application to conduct
26		racing.
27		(d) Monies shall be distributed from the Fund to tracks for
28		the cost of erection, improving or acquisition of seating
29		stands, buildings or other structures, ground or track, for the
30		necessary purchase or required restoration of depreciable
31		property and equipment used in the operation of a race track,
32		or for the payment of the cost of amortization of debt
33		contracted with the approval of the Board for any or all such
34		purposes. The fund shall also be used to reimburse race tracks
35		for the added expenses incurred when it is necessary to
36		establish training facilities for horses eligible to compete at

1		operating race tracks due to the existence of an overflow of
2		eligible horses using the training facilities at the operating
3		tracks, or if it is determined by the Board to be in the best
4		interests of racing.
5		(e) The Board shall adopt procedural rules governing
6		information required, deadlines for filing, and types of
7		application forms to be observed by the tracks seeking moneys
8		from the Fund.
9		(f) The Board shall keep accurate records of moneys
10		deposited in each account for each licensee. If in any given
11		year a track does not tender any application for moneys from
12		the Fund or tenders an application which is not in accordance
13		with the provisions of this Section the Department of Revenue
14		shall allow such unexpended moneys to remain in the account for
15		utilization at a later date in accordance with subsections (c)
16		through (e).

17		Section 15. The Riverboat Gambling Act is amended by
18		changing Section 13 as follows:
19		(230 ILCS 10/13) (from Ch. 120, par. 2413)
20		Sec. 13. Wagering tax; rate; distribution.
21		(a) Until January 1, 1998, a tax is imposed on the adjusted
22		gross receipts received from gambling games authorized under
23		this Act at the rate of 20%.
24		(a-1) From January 1, 1998 until July 1, 2002, a privilege
25		tax is imposed on persons engaged in the business of conducting
26		riverboat gambling operations, based on the adjusted gross
27		receipts received by a licensed owner from gambling games
28		authorized under this Act at the following rates:
29		15% of annual adjusted gross receipts up to and
30		including $25,000,000;
31		20% of annual adjusted gross receipts in excess of
32		$25,000,000 but not exceeding $50,000,000;
33		25% of annual adjusted gross receipts in excess of
34		$50,000,000 but not exceeding $75,000,000;

1		30% of annual adjusted gross receipts in excess of
2		$75,000,000 but not exceeding $100,000,000;
3		35% of annual adjusted gross receipts in excess of
4		$100,000,000.
5		(a-2) From July 1, 2002 until July 1, 2003, a privilege tax
6		is imposed on persons engaged in the business of conducting
7		riverboat gambling operations, other than licensed managers
8		conducting riverboat gambling operations on behalf of the
9		State, based on the adjusted gross receipts received by a
10		licensed owner from gambling games authorized under this Act at
11		the following rates:
12		15% of annual adjusted gross receipts up to and
13		including $25,000,000;
14		22.5% of annual adjusted gross receipts in excess of
15		$25,000,000 but not exceeding $50,000,000;
16		27.5% of annual adjusted gross receipts in excess of
17		$50,000,000 but not exceeding $75,000,000;
18		32.5% of annual adjusted gross receipts in excess of
19		$75,000,000 but not exceeding $100,000,000;
20		37.5% of annual adjusted gross receipts in excess of
21		$100,000,000 but not exceeding $150,000,000;
22		45% of annual adjusted gross receipts in excess of
23		$150,000,000 but not exceeding $200,000,000;
24		50% of annual adjusted gross receipts in excess of
25		$200,000,000.
26		(a-3) Beginning July 1, 2003, a privilege tax is imposed on
27		persons engaged in the business of conducting riverboat
28		gambling operations, other than licensed managers conducting
29		riverboat gambling operations on behalf of the State, based on
30		the adjusted gross receipts received by a licensed owner from
31		gambling games authorized under this Act at the following
32		rates:
33		15% of annual adjusted gross receipts up to and
34		including $25,000,000;
35		27.5% of annual adjusted gross receipts in excess of
36		$25,000,000 but not exceeding $37,500,000;

1		32.5% of annual adjusted gross receipts in excess of
2		$37,500,000 but not exceeding $50,000,000;
3		37.5% of annual adjusted gross receipts in excess of
4		$50,000,000 but not exceeding $75,000,000;
5		45% of annual adjusted gross receipts in excess of
6		$75,000,000 but not exceeding $100,000,000;
7		50% of annual adjusted gross receipts in excess of
8		$100,000,000 but not exceeding $250,000,000;
9		70% of annual adjusted gross receipts in excess of
10		$250,000,000.
11		An amount equal to the amount of wagering taxes collected
12		under this subsection (a-3) that are in addition to the amount
13		of wagering taxes that would have been collected if the
14		wagering tax rates under subsection (a-2) were in effect shall
15		be paid into the Common School Fund.
16		The privilege tax imposed under this subsection (a-3) shall
17		no longer be imposed beginning on the earlier of (i) July 1,
18		2005; (ii) the first date after June 20, 2003 the effective
19		date of this amendatory Act of the 93rd General Assembly that
20		riverboat gambling operations are conducted pursuant to a
21		dormant license; or (iii) the first day that riverboat gambling
22		operations are conducted under the authority of an owners
23		license that is in addition to the 10 owners licenses initially
24		authorized under this Act. For the purposes of this subsection
25		(a-3), the term "dormant license" means an owners license that
26		is authorized by this Act under which no riverboat gambling
27		operations are being conducted on June 20, 2003 the effective
28		date of this amendatory Act of the 93rd General Assembly.
29		(a-4) Beginning on the first day on which the tax imposed
30		under subsection (a-3) is no longer imposed, a privilege tax is
31		imposed on persons engaged in the business of conducting
32		riverboat gambling operations, other than licensed managers
33		conducting riverboat gambling operations on behalf of the
34		State, based on the adjusted gross receipts received by a
35		licensed owner from gambling games authorized under this Act at
36		the following rates:

1		15% of annual adjusted gross receipts up to and
2		including $25,000,000;
3		22.5% of annual adjusted gross receipts in excess of
4		$25,000,000 but not exceeding $50,000,000;
5		27.5% of annual adjusted gross receipts in excess of
6		$50,000,000 but not exceeding $75,000,000;
7		32.5% of annual adjusted gross receipts in excess of
8		$75,000,000 but not exceeding $100,000,000;
9		37.5% of annual adjusted gross receipts in excess of
10		$100,000,000 but not exceeding $150,000,000;
11		45% of annual adjusted gross receipts in excess of
12		$150,000,000 but not exceeding $200,000,000;
13		50% of annual adjusted gross receipts in excess of
14		$200,000,000.
15		(a-8) Riverboat gambling operations conducted by a
16		licensed manager on behalf of the State are not subject to the
17		tax imposed under this Section.
18		(a-10) The taxes imposed by this Section shall be paid by
19		the licensed owner to the Board not later than 3:00 o'clock
20		p.m. of the day after the day when the wagers were made.
21		(b) Until January 1, 1998, 25% of the tax revenue deposited
22		in the State Gaming Fund under this Section shall be paid,
23		subject to appropriation by the General Assembly, to the unit
24		of local government which is designated as the home dock of the
25		riverboat. Beginning January 1, 1998, from the tax revenue
26		deposited in the State Gaming Fund under this Section, an
27		amount equal to 5% of adjusted gross receipts generated by a
28		riverboat shall be paid monthly, subject to appropriation by
29		the General Assembly, to the unit of local government that is
30		designated as the home dock of the riverboat. From the tax
31		revenue deposited in the State Gaming Fund pursuant to
32		riverboat gambling operations conducted by a licensed manager
33		on behalf of the State, an amount equal to 5% of adjusted gross
34		receipts generated pursuant to those riverboat gambling
35		operations shall be paid monthly, subject to appropriation by
36		the General Assembly, to the unit of local government that is

1		designated as the home dock of the riverboat upon which those
2		riverboat gambling operations are conducted.
3		(c) Appropriations, as approved by the General Assembly,
4		may be made from the State Gaming Fund to the Department of
5		Revenue and the Department of State Police for the
6		administration and enforcement of this Act, or to the
7		Department of Human Services for the administration of programs
8		to treat problem gambling.
9		(c-5) (Blank). After the payments required under
10		subsections (b) and (c) have been made, an amount equal to 15%
11		of the adjusted gross receipts of (1) an owners licensee that
12		relocates pursuant to Section 11.2, (2) an owners licensee
13		license conducting riverboat gambling operations pursuant to
14		an owners license that is initially issued after June 25, 1999,
15		or (3) the first riverboat gambling operations conducted by a
16		licensed manager on behalf of the State under Section 7.3 7.2,
17		whichever comes first, shall be paid from the State Gaming Fund
18		into the Horse Racing Equity Fund.
19		(c-10) (Blank). Each year the General Assembly shall
20		appropriate from the General Revenue Fund to the Education
21		Assistance Fund an amount equal to the amount paid into the
22		Horse Racing Equity Fund pursuant to subsection (c-5) in the
23		prior calendar year.
24		(c-15) After the payments required under subsections (b)
25		and , (c), and (c-5) have been made, an amount equal to 2% of
26		the adjusted gross receipts of (1) an owners licensee that
27		relocates pursuant to Section 11.2, (2) an owners licensee
28		conducting riverboat gambling operations pursuant to an owners
29		license that is initially issued after June 25, 1999, or (3)
30		the first riverboat gambling operations conducted by a licensed
31		manager on behalf of the State under Section 7.3 7.2, whichever
32		comes first, shall be paid, subject to appropriation from the
33		General Assembly, from the State Gaming Fund to each home rule
34		county with a population of over 3,000,000 inhabitants for the
35		purpose of enhancing the county's criminal justice system.
36		(c-20) Each year the General Assembly shall appropriate

1		from the General Revenue Fund to the Education Assistance Fund
2		an amount equal to the amount paid to each home rule county
3		with a population of over 3,000,000 inhabitants pursuant to
4		subsection (c-15) in the prior calendar year.
5		(c-25) After the payments required under subsections (b),
6		(c), (c-5) and (c-15) have been made, an amount equal to 2% of
7		the adjusted gross receipts of (1) an owners licensee license
8		that relocates pursuant to Section 11.2, (2) an owners licensee
9		license conducting riverboat gambling operations pursuant to
10		an owners license that is initially issued after June 25, 1999,
11		or (3) the first riverboat gambling operations conducted by a
12		licensed manager on behalf of the State under Section 7.3 7.2,
13		whichever comes first, shall be paid from the State Gaming Fund
14		to Chicago State University.
15		(d) From time to time, the Board shall transfer the
16		remainder of the funds generated by this Act into the Education
17		Assistance Fund, created by Public Act 86-0018, of the State of
18		Illinois.
19		(e) Nothing in this Act shall prohibit the unit of local
20		government designated as the home dock of the riverboat from
21		entering into agreements with other units of local government
22		in this State or in other states to share its portion of the
23		tax revenue.
24		(f) To the extent practicable, the Board shall administer
25		and collect the wagering taxes imposed by this Section in a
26		manner consistent with the provisions of Sections 4, 5, 5a, 5b,
27		5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the
28		Retailers' Occupation Tax Act and Section 3-7 of the Uniform
29		Penalty and Interest Act.
30		(Source: P.A. 92-595, eff. 6-28-02; 93-27, eff. 6-20-03; 93-28,
31		eff. 6-20-03; revised 1-28-04.)

32		Section 20. The State Finance Act is amended by adding
33		Sections 5.625 and 5.626 as follows:
34		(30 ILCS 105/5.625 new)

1		Sec. 5.625. The Illinois Race Track Improvement Fund.
2		(30 ILCS 105/5.626 new)
3		Sec. 5.626. The Horse Racing Tax Allocation Fund.
4		(230 ILCS 5/28.1 rep.)
5		(230 ILCS 5/32 rep.)
6		(230 ILCS 5/32.1 rep.)
7		(230 ILCS 5/54 rep.)
8		Section 25. The Illinois Horse Racing Act of 1975 is
9		amended by repealing Sections 28.1, 32, 32.1, and 54.

Section 99. Effective date. This Act takes effect July 1, 2004.