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Public Act 093-0028


 

Public Act 93-0028 of the 93rd General Assembly


Public Act 93-0028

SB1607 Enrolled                      LRB093 02991 LRD 03007 b

    AN ACT in relation to gaming.

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

    Section  10.  The  Riverboat  Gambling  Act is amended by
changing Sections 2, 4, 6, 7, 10, 11, 11.1, 12, 13,  15,  and
23 and adding Sections 7.1, 7.2, and 7.3 as follows:

    (230 ILCS 10/2) (from Ch. 120, par. 2402)
    Sec. 2.  Legislative Intent.  (a) This Act is intended to
benefit  the  people  of  the  State of Illinois by assisting
economic development and promoting Illinois  tourism  and  by
increasing  the  amount of revenues available to the State to
assist and support education.
    (b)  While  authorization  of  riverboat  gambling   will
enhance  investment,  development and tourism in Illinois, it
is recognized that it will do so successfully only if  public
confidence  and trust in the credibility and integrity of the
gambling operations and the regulatory process is maintained.
Therefore, regulatory provisions of this Act are designed  to
strictly  regulate  the facilities, persons, associations and
practices related to  gambling  operations  pursuant  to  the
police  powers  of  the  State,  including  comprehensive law
enforcement supervision.
    (c)  The Illinois Gaming Board established under this Act
should, as soon as possible, inform  each  applicant  for  an
owners  license  of  the  Board's  intent  to grant or deny a
license.
(Source: P.A. 86-1029.)

    (230 ILCS 10/4) (from Ch. 120, par. 2404)
    Sec. 4.  Definitions. As used in this Act:
    (a)  "Board" means the Illinois Gaming Board.
    (b)  "Occupational license" means a license issued by the
Board to a person or entity to perform  an  occupation  which
the  Board has identified as requiring a license to engage in
riverboat gambling in Illinois.
    (c)  "Gambling game" includes, but  is  not  limited  to,
baccarat,  twenty-one, poker, craps, slot machine, video game
of chance, roulette wheel, klondike table,  punchboard,  faro
layout,  keno  layout, numbers ticket, push card, jar ticket,
or pull tab which is authorized by the Board  as  a  wagering
device under this Act.
    (d)  "Riverboat" means a self-propelled excursion boat, a
permanently  moored  barge, or permanently moored barges that
are permanently fixed together to operate as one  vessel,  on
which  lawful gambling is authorized and licensed as provided
in this Act.
    (e)  "Managers license" means a  license  issued  by  the
Board  to  a  person  or entity to manage gambling operations
conducted by the State pursuant to Section 7.2 (Blank).
    (f)  "Dock" means the location where  a  riverboat  moors
for  the purpose of embarking passengers for and disembarking
passengers from the riverboat.
    (g)  "Gross receipts" means the  total  amount  of  money
exchanged  for  the  purchase  of chips, tokens or electronic
cards by riverboat patrons.
    (h)  "Adjusted gross receipts" means the  gross  receipts
less winnings paid to wagerers.
    (i)  "Cheat"  means  to  alter  the selection of criteria
which determine the result of a gambling game or  the  amount
or frequency of payment in a gambling game.
    (j)  "Department" means the Department of Revenue.
    (k)  "Gambling operation" means the conduct of authorized
gambling games upon a riverboat.
    (l)  "License  bid"  means  the  lump sum amount of money
that an applicant bids and agrees to pay the State in  return
for  an  owners license that is re-issued on or after July 1,
2003.
    (m)  The terms "minority person" and "female" shall  have
the  same  meaning  as  defined  in Section 2 of the Business
Enterprise  for  Minorities,  Females,   and   Persons   with
Disabilities Act.
(Source: P.A. 91-40, eff. 6-25-99; 92-600, eff. 6-28-02.)

    (230 ILCS 10/6) (from Ch. 120, par. 2406)
    Sec. 6.  Application for Owners License.
    (a)  A  qualified  person  may  apply to the Board for an
owners license to conduct a riverboat gambling  operation  as
provided in this Act.  The application shall be made on forms
provided  by  the Board and shall contain such information as
the Board  prescribes,  including  but  not  limited  to  the
identity of the riverboat on which such gambling operation is
to  be  conducted and the exact location where such riverboat
will be docked, a certification that the  riverboat  will  be
registered  under this Act at all times during which gambling
operations  are  conducted  on  board,  detailed  information
regarding the ownership and management of the applicant,  and
detailed  personal  information  regarding the applicant. Any
application for an owners license to be re-issued on or after
June 1, 2003 shall also include the applicant's  license  bid
in  a  form  prescribed by the Board. Information provided on
the application shall be used  as  a  basis  for  a  thorough
background  investigation  which the Board shall conduct with
respect to each applicant.  An incomplete  application  shall
be cause for denial of a license by the Board.
    (b)  Applicants  shall  submit with their application all
documents, resolutions,  and  letters  of  support  from  the
governing  body  that  represents  the municipality or county
wherein the licensee will dock.
    (c)  Each applicant shall disclose the identity of  every
person,  association,  trust  or corporation having a greater
than  1%  direct  or  indirect  pecuniary  interest  in   the
riverboat  gambling  operation  with  respect  to  which  the
license  is  sought.  If the disclosed entity is a trust, the
application shall disclose the names  and  addresses  of  the
beneficiaries;  if  a corporation, the names and addresses of
all stockholders and directors; if a partnership,  the  names
and addresses of all partners, both general and limited.
    (d)  An  application  shall  be  filed  with the Board by
January 1 of the year preceding any calendar year  for  which
an  applicant  seeks an owners license; however, applications
for an owners license permitting  operations  on  January  1,
1991  shall  be filed by July 1, 1990.  An application fee of
$50,000 shall be paid at the time of  filing  to  defray  the
costs  associated with the background investigation conducted
by the Board.  If  the  costs  of  the  investigation  exceed
$50,000, the applicant shall pay the additional amount to the
Board.   If  the  costs  of  the  investigation are less than
$50,000,  the  applicant  shall  receive  a  refund  of   the
remaining  amount.   All  information,  records,  interviews,
reports,  statements,  memoranda or other data supplied to or
used  by  the  Board  in  the  course  of   its   review   or
investigation  of an application for a license under this Act
shall be privileged, strictly confidential and shall be  used
only  for  the  purpose  of  evaluating  an  applicant.  Such
information,  records,   interviews,   reports,   statements,
memoranda  or other data shall not be admissible as evidence,
nor discoverable in any action of any kind in  any  court  or
before  any tribunal, board, agency or person, except for any
action deemed necessary by the Board.
    (e)  The Board shall charge each applicant a fee  set  by
the Department of State Police to defray the costs associated
with  the  search and classification of fingerprints obtained
by the Board with respect  to  the  applicant's  application.
These fees shall be paid into the State Police Services Fund.
    (f)  The  licensed  owner  shall  be the person primarily
responsible for the boat itself.  Only one riverboat gambling
operation may be authorized by the Board  on  any  riverboat.
The  applicant must identify each riverboat it intends to use
and certify  that  the  riverboat:  (1)  has  the  authorized
capacity  required in this Act; (2) is accessible to disabled
persons;  and  (3)  is  fully  registered  and  licensed   in
accordance with any applicable laws.
    (g)  A person who knowingly makes a false statement on an
application is guilty of a Class A misdemeanor.
(Source: P.A. 91-40, eff. 6-25-99.)

    (230 ILCS 10/7) (from Ch. 120, par. 2407)
    Sec. 7.  Owners Licenses.
    (a)  The  Board  shall  issue owners licenses to persons,
firms or corporations which  apply  for  such  licenses  upon
payment to the Board of the non-refundable license fee set by
the  Board,  upon  payment  of  a $25,000 license fee for the
first year of operation and a $5,000  license  fee  for  each
succeeding  year  and  upon a determination by the Board that
the applicant is eligible for an owners  license pursuant  to
this  Act  and  the  rules  of  the Board.  A person, firm or
corporation is ineligible to receive an owners license if:
         (1)  the person has been convicted of a felony under
    the laws of this State, any other state,  or  the  United
    States;
         (2)  the  person has been convicted of any violation
    of  Article  28  of  the  Criminal  Code  of   1961,   or
    substantially similar laws of any other jurisdiction;
         (3)  the  person  has submitted an application for a
    license under this Act which contains false information;
         (4)  the person is a member of the Board;
         (5)  a person defined in (1), (2), (3) or (4) is  an
    officer,  director  or managerial employee of the firm or
    corporation;
         (6)  the  firm  or  corporation  employs  a   person
    defined  in  (1), (2), (3) or (4) who participates in the
    management or operation of gambling operations authorized
    under this Act;
         (7)  (blank); or
         (8)  a license of the person,  firm  or  corporation
    issued  under  this  Act,  or a license to own or operate
    gambling facilities in any other jurisdiction,  has  been
    revoked.
    (b)  In determining whether to grant an owners license to
an applicant, the Board shall consider:
         (1)  the   character,  reputation,  experience   and
    financial integrity of the applicants and of any other or
    separate person that either:
              (A)  controls,  directly  or  indirectly,  such
         applicant, or
              (B)  is controlled, directly or indirectly,  by
         such  applicant  or  by  a  person  which  controls,
         directly or indirectly, such applicant;
         (2)  the  facilities  or proposed facilities for the
    conduct of riverboat gambling;
         (3)  the highest prospective  total  revenue  to  be
    derived  by  the  State  from  the  conduct  of riverboat
    gambling;
         (4)  the  extent  to  which  the  ownership  of  the
    applicant  reflects  the  diversity  of  the   State   by
    including minority persons and females and the good faith
    affirmative  action  plan  of  each applicant to recruit,
    train and upgrade minority persons and females minorities
    in all employment classifications;
         (5)  the  financial  ability  of  the  applicant  to
    purchase and maintain  adequate  liability  and  casualty
    insurance;
         (6)  whether     the    applicant    has    adequate
    capitalization to provide and maintain, for the  duration
    of a license, a riverboat; and
         (7)  the  extent  to  which the applicant exceeds or
    meets other standards  for  the  issuance  of  an  owners
    license which the Board may adopt by rule; and
         (8)  The amount of the applicant's license bid.
    (c)  Each  owners  license  shall specify the place where
riverboats shall operate and dock.
    (d)  Each applicant shall submit with his application, on
forms provided by the Board, 2 sets of his fingerprints.
    (e)  The Board may issue up to  10  licenses  authorizing
the  holders  of  such  licenses  to  own  riverboats. In the
application for an owners license, the applicant shall  state
the  dock  at  which  the riverboat is based and the water on
which the riverboat will be located.  The Board shall issue 5
licenses to become effective  not  earlier  than  January  1,
1991.   Three  of  such  licenses  shall  authorize riverboat
gambling on the Mississippi River, or in a municipality  that
(1)  borders on the Mississippi River or is within 5 miles of
the city  limits  of  a  municipality  that  borders  on  the
Mississippi  River  and  (2),  on  the effective date of this
amendatory Act of the 93rd General Assembly, has a  riverboat
conducting   riverboat  gambling  operations  pursuant  to  a
license issued under this Act,  one of which shall  authorize
riverboat  gambling  from a home dock in the city of East St.
Louis, and one of which shall authorize riverboat gambling on
the Mississippi River or in a municipality that  (1)  borders
on  the  Mississippi  River  or is within 5 miles of the city
limits of a municipality  that  borders  on  the  Mississippi
River and (2) on the effective date of this amendatory Act of
the   92nd   General  Assembly  has  a  riverboat  conducting
riverboat gambling operations pursuant to  a  license  issued
under  this  Act. One other license shall authorize riverboat
gambling on the Illinois River south of Marshall County.  The
Board shall issue one additional license to become  effective
not  earlier  than  March  1,  1992,  which  shall  authorize
riverboat  gambling  on the Des Plaines River in Will County.
The Board may issue 4 additional licenses to become effective
not earlier than March 1, 1992.   In  determining  the  water
upon  which riverboats will operate, the Board shall consider
the economic benefit which riverboat gambling confers on  the
State, and shall seek to assure that all regions of the State
share in the economic benefits of riverboat gambling.
    In  granting  all  licenses, the Board may give favorable
consideration to economically depressed areas of  the  State,
to  applicants presenting plans which provide for significant
economic development over a large  geographic  area,  and  to
applicants  who  currently operate non-gambling riverboats in
Illinois. The Board shall review all applications for  owners
licenses,  and  shall  inform  each  applicant of the Board's
decision. The  Board  may  grant  an  owners  license  to  an
applicant that has not submitted the highest license bid, but
if  it  does  not  select the highest bidder, the Board shall
issue a written decision explaining why another applicant was
selected and  identifying  the  factors  set  forth  in  this
Section that favored the winning bidder.
    In addition to any other revocation powers granted to the
Board under this Act, the Board may revoke the owners license
of a licensee which fails to begin conducting gambling within
15   months  of  receipt  of  the  Board's  approval  of  the
application if the Board determines that  license  revocation
is in the best interests of the State.
    (f)  The  first  10 owners licenses issued under this Act
shall permit the  holder  to  own  up  to  2  riverboats  and
equipment thereon for a period of 3 years after the effective
date  of the license. Holders of the first 10 owners licenses
must pay the annual license fee  for  each  of  the  3  years
during which they are authorized to own riverboats.
    (g)  Upon  the  termination, expiration, or revocation of
each of the first 10 licenses, which shall be issued for a  3
year period, all licenses are renewable annually upon payment
of the fee and a determination by the Board that the licensee
continues to meet all of the requirements of this Act and the
Board's rules.  However, for licenses renewed on or after May
1, 1998, renewal shall be for a period of 4 years, unless the
Board sets a shorter period.
    (h)  An  owners license shall entitle the licensee to own
up to 2 riverboats.  A licensee shall  limit  the  number  of
gambling participants to 1,200 for any such owners license. A
licensee  may  operate  both  of its riverboats concurrently,
provided that the total number of  gambling  participants  on
both riverboats does not exceed 1,200. Riverboats licensed to
operate on the Mississippi River and the Illinois River south
of  Marshall  County  shall have an authorized capacity of at
least 500 persons.  Any other riverboat licensed  under  this
Act  shall  have  an  authorized  capacity  of  at  least 400
persons.
    (i)  A licensed owner is authorized to apply to the Board
for and, if approved therefor, to receive all  licenses  from
the  Board  necessary  for  the  operation  of  a  riverboat,
including  a  liquor  license, a license to prepare and serve
food for human consumption,  and  other  necessary  licenses.
All  use, occupation and excise taxes which apply to the sale
of food and beverages in this State and all taxes imposed  on
the  sale  or use of tangible personal property apply to such
sales aboard the riverboat.
    (j)  The  Board  may  issue   or   re-issue   a   license
authorizing  a riverboat to dock in a municipality or approve
a relocation  under  Section  11.2  only  if,  prior  to  the
issuance  or  re-issuance  of  the  license  or approval, the
governing body of the municipality  in  which  the  riverboat
will  dock  has  by  a  majority vote approved the docking of
riverboats in the  municipality.   The  Board  may  issue  or
re-issue  a  license authorizing a riverboat to dock in areas
of a county outside any municipality or approve a  relocation
under  Section  11.2  only  if,  prior  to  the  issuance  or
re-issuance of the license or approval, the governing body of
the  county has by a majority vote approved of the docking of
riverboats within such areas.
(Source: P.A. 91-40, eff. 6-25-99; 92-600, eff. 6-28-02.)

    (230 ILCS 10/7.1 new)
    Sec. 7.1.  Re-issuance of revoked or  non-renewed  owners
licenses.
    (a)  If  an  owners license terminates or expires without
renewal or the Board revokes or determines not  to  renew  an
owners  license  (including,  without  limitation,  an owners
license for a licensee  that  was  not  conducting  riverboat
gambling  operations  on January 1, 1998) and that revocation
or determination  is  final,  the  Board  may  re-issue  such
license  to  a  qualified  applicant  pursuant to an open and
competitive bidding process, as set forth in Section 7.5, and
subject to the maximum  number  of  authorized  licenses  set
forth in Section 7(e).
    (b)  To  be  a  qualified  applicant,  a person, firm, or
corporation cannot be ineligible to receive an owners license
under Section 7(a) and must  submit  an  application  for  an
owners  license  that  complies  with  Section  6.  Each such
applicant  must  also  submit  evidence  to  the  Board  that
minority persons and females hold ownership interests in  the
applicant of at least 16% and 4% respectively.
    (c)  Notwithstanding  anything to the contrary in Section
7(e), an applicant may apply to the  Board  for  approval  of
relocation of a re-issued license to a new home dock location
authorized  under  Section  3(c) upon receipt of the approval
from the municipality or county, as the case may be, pursuant
to Section 7(j).
    (d) In determining whether to grant  a  re-issued  owners
license  to an applicant, the Board shall consider all of the
factors set forth in Sections 7(b) and (e)  as  well  as  the
amount  of  the  applicant's license bid. The Board may grant
the re-issued owners license to an  applicant  that  has  not
submitted  the highest license bid, but if it does not select
the highest bidder, the Board shall issue a written  decision
explaining why another applicant was selected and identifying
the  factors  set forth in Sections 7(b) and (e) that favored
the winning bidder.
    (e) Re-issued owners licenses shall be subject to  annual
license  fees  as  provided  for in Section 7(a) and shall be
governed by the provisions of Sections 7(f),  (g),  (h),  and
(i).

    (230 ILCS 10/7.2 new)
    Sec.   7.2.  Temporary   operating  permits.  Any  person
operating under a temporary operating permit issued  pursuant
to  86  Ill.  Admin.  Code  3000.230  shall  be  deemed to be
operating under the  authority  of  an  owner's  license  for
purposes  of  Section  13 of this Act. This Section shall not
affect in any way the licensure requirements of this Act.

    (230 ILCS 10/7.3 new)
    Sec. 7.3.  State conduct of gambling operations.
    (a)  If, after reviewing each application for a re-issued
license, the Board determines that  the  highest  prospective
total  revenue  to  the  State  would  be  derived from State
conduct of the gambling operation in lieu of  re-issuing  the
license,  the  Board  shall  inform  each  applicant  of  its
decision.   The  Board  shall  thereafter have the authority,
without obtaining an owners  license,  to  conduct  riverboat
gambling   operations   as   previously   authorized  by  the
terminated, expired, revoked, or nonrenewed license through a
licensed manager selected pursuant to an open and competitive
bidding process as set forth in Section 7.5 and  as  provided
in Section 7.4.
    (b)  The  Board  may  locate  any  riverboat  on  which a
gambling operation is conducted by the State in any home dock
location authorized by Section 3(c) upon receipt of  approval
from   a   majority   vote  of  the  governing  body  of  the
municipality or county, as the case  may  be,  in  which  the
riverboat will dock.
    (c)  The  Board  shall  have  jurisdiction over and shall
supervise all gambling  operations  conducted  by  the  State
provided  for in this Act and shall have all powers necessary
and proper to fully and effectively execute the provisions of
this Act relating to gambling  operations  conducted  by  the
State.
    (d)  The  maximum  number  of  owners licenses authorized
under Section 7(e) shall be reduced by one for each  instance
in  which  the  Board  authorizes  the  State  to  conduct  a
riverboat  gambling operation under subsection (a) in lieu of
re-issuing a license to an applicant under Section 7.1.

    (230 ILCS 10/7.4 new)
    Sec. 7.4.  Managers licenses.
    (a) A qualified person may  apply  to  the  Board  for  a
managers license to operate and manage any gambling operation
conducted  by  the  State.  The  application shall be made on
forms  provided  by  the  Board  and   shall   contain   such
information  as  the  Board  prescribes,  including  but  not
limited  to  information  required in Sections 6(a), (b), and
(c) and information  relating  to  the  applicant's  proposed
price  to manage State gambling operations and to provide the
riverboat, gambling  equipment,  and  supplies  necessary  to
conduct State gambling operations.
    (b)  Each  applicant  must  submit  evidence to the Board
that minority persons and females hold ownership interests in
the applicant of at least 16% and 4%, respectively.
    (c) A person,  firm,  or  corporation  is  ineligible  to
receive a managers license if:
         (1)  the person has been convicted of a felony under
    the laws of this State, any other state,  or  the  United
    States;
         (2)  the  person has been convicted of any violation
    of  Article  28  of  the  Criminal  Code  of   1961,   or
    substantially similar laws of any other jurisdiction;
         (3)  the  person  has submitted an application for a
    license under this Act which contains false information;
         (4) the person is a member of the Board;
         (5) a person defined in (1), (2), (3), or (4) is  an
    officer,  director, or managerial employee of the firm or
    corporation;
         (6) the firm or corporation employs a person defined
    in  (1),  (2),  (3),  or  (4)  who  participates  in  the
    management or operation of gambling operations authorized
    under this Act; or
         (7) a license of the person,  firm,  or  corporation
    issued  under  this  Act,  or a license to own or operate
    gambling facilities in any other jurisdiction,  has  been
    revoked.
    (d)   Each   applicant  shall  submit  with  his  or  her
application, on forms prescribed by the Board, 2 sets of  his
or her fingerprints.
    (e)  The  Board shall charge each applicant a fee, set by
the Board, to defray the costs associated with the background
investigation conducted by the Board.
    (f) A person who knowingly makes a false statement on  an
application is guilty of a Class A misdemeanor.
    (g)  The  managers  license  shall  be  for a term not to
exceed 10 years, shall be renewable at  the  Board's  option,
and  shall  contain  such  terms  and provisions as the Board
deems necessary to protect or  enhance  the  credibility  and
integrity  of  State gambling operations, achieve the highest
prospective total revenue to the State, and  otherwise  serve
the interests of the citizens of Illinois.
    (h) Issuance of a managers license shall be subject to an
open and competitive bidding process. The Board may select an
applicant  other  than the lowest bidder by price. If it does
not select the lowest bidder, the Board shall issue a  notice
of who the lowest bidder was and a written decision as to why
another bidder was selected.

    (230 ILCS 10/7.5 new)
    Sec. 7.5.  Competitive Bidding. When the Board determines
that  it  will re-issue an owners license pursuant to an open
and competitive bidding process, as set forth in Section 7.1,
or that it will issue a managers license pursuant to an  open
and competitive bidding process, as set forth in Section 7.4,
the  open and competitive bidding process shall adhere to the
following procedures:
    (1)  The Board shall make  applications  for  owners  and
managers  licenses  available  to  the  public  and  allow  a
reasonable  time for applicants to submit applications to the
Board.
    (2)  During the filing  period  for  owners  or  managers
license applications, the Board may retain the services of an
investment banking firm to assist the Board in conducting the
open and competitive bidding process.
    (3)  After  receiving all of the bid proposals, the Board
shall open all  of  the  proposals  in  a  public  forum  and
disclose  the  prospective  owners or managers names, venture
partners, if any, and, in the case of applicants  for  owners
licenses, the locations of the proposed development sites.
    (4)  The Board shall summarize the terms of the proposals
and may make this summary available to the public.
    (5)  The  Board  shall  evaluate  the  proposals within a
reasonable time and select no more than 3 final applicants to
make presentations of their proposals to the Board.
    (6)  The final applicants shall make their  presentations
to  the  Board  on the same day during an open session of the
Board.
    (7)  As   soon   as   practicable   after   the    public
presentations  by  the  final  applicants,  the Board, in its
discretion, may conduct  further  negotiations  among  the  3
final   applicants.  During  such  negotiations,  each  final
applicant may increase its license bid or  otherwise  enhance
its bid proposal. At the conclusion of such negotiations, the
Board  shall  select  the  winning  proposal.  In the case of
negotiations for an owners license, the  Board  may,  at  the
conclusion  of  such  negotiations,  make  the  determination
allowed under Section 7.3(a).
    (8)  Upon  selection  of  a  winning bid, the Board shall
evaluate the winning bid within a reasonable period  of  time
for  licensee  suitability  in accordance with all applicable
statutory and regulatory criteria.
    (9)  If the winning bidder is unable or  otherwise  fails
to  consummate  the  transaction,  (including  if  the  Board
determines  that  the  winning  bidder  does  not satisfy the
suitability  requirements),  the  Board  may,  on  the   same
criteria,  select  from  the  remaining  bidders  or make the
determination allowed under Section 7.3(a).

    (230 ILCS 10/10) (from Ch. 120, par. 2410)
    Sec. 10.  Bond of licensee.  Before an owners license  is
issued  or  re-issued  or  a  managers license is issued, the
licensee shall post a bond in the  sum  of  $200,000  to  the
State  of  Illinois. The bond shall be used to guarantee that
the licensee faithfully makes the payments, keeps  his  books
and  records  and  makes  reports,  and conducts his games of
chance in conformity with this Act and the rules  adopted  by
the  Board.   The  bond  shall not be canceled by a surety on
less than 30 days notice in writing to the Board. If  a  bond
is  canceled  and  the licensee fails to file a new bond with
the Board in the required amount on or before  the  effective
date   of  cancellation,  the  licensee's  license  shall  be
revoked.  The total and aggregate liability of the surety  on
the bond is limited to the amount specified in the bond.
(Source: P.A. 86-1029.)

    (230 ILCS 10/11) (from Ch. 120, par. 2411)
    Sec.  11.  Conduct of gambling. Gambling may be conducted
by licensed owners or licensed  managers  on  behalf  of  the
State aboard riverboats, subject to the following standards:
         (1)  A   licensee  may  conduct  riverboat  gambling
    authorized  under  this  Act  regardless  of  whether  it
    conducts excursion cruises.  A licensee  may  permit  the
    continuous  ingress  and  egress  of  passengers  for the
    purpose of gambling.
         (2)  (Blank).
         (3)  Minimum and maximum wagers on  games  shall  be
    set by the licensee.
         (4)  Agents of the Board and the Department of State
    Police  may  board  and inspect any riverboat at any time
    for the purpose of determining whether this Act is  being
    complied  with.   Every riverboat, if under way and being
    hailed by a law  enforcement  officer  or  agent  of  the
    Board, must stop immediately and lay to.
         (5)  Employees  of the Board shall have the right to
    be present on the riverboat  or  on  adjacent  facilities
    under the control of the licensee.
         (6)  Gambling  equipment  and  supplies  customarily
    used  in  conducting riverboat gambling must be purchased
    or leased only from suppliers licensed for  such  purpose
    under this Act.
         (7)  Persons licensed under this Act shall permit no
    form of wagering on gambling games except as permitted by
    this Act.
         (8)  Wagers  may  be  received  only  from  a person
    present on a licensed riverboat.  No person present on  a
    licensed  riverboat  shall  place  or  attempt to place a
    wager on behalf of another person who is not  present  on
    the riverboat.
         (9)  Wagering  shall  not be conducted with money or
    other negotiable currency.
         (10)  A person under age 21 shall not  be  permitted
    on  an  area  of  a  riverboat  where  gambling  is being
    conducted, except for a person at least 18 years  of  age
    who  is  an employee of the riverboat gambling operation.
    No employee under  age  21  shall  perform  any  function
    involved  in gambling by the patrons. No person under age
    21 shall be permitted to make a wager under this Act.
         (11)  Gambling excursion cruises are permitted  only
    when  the waterway for which the riverboat is licensed is
    navigable, as determined by  the  Board  in  consultation
    with  the  U.S.  Army  Corps of Engineers. This paragraph
    (11) does not limit the ability of a licensee to  conduct
    gambling   authorized   under   this  Act  when  gambling
    excursion cruises are not permitted.
         (12)  All tokens, chips or electronic cards used  to
    make  wagers  must  be purchased from a licensed owner or
    manager either  aboard  a  riverboat  or  at  an  onshore
    facility  which  has been approved by the Board and which
    is located where the riverboat docks. The  tokens,  chips
    or  electronic  cards  may  be  purchased  by means of an
    agreement under which the owner or manager extends credit
    to the patron.  Such tokens, chips  or  electronic  cards
    may  be  used  while  aboard  the  riverboat only for the
    purpose of making wagers on gambling games.
         (13)  Notwithstanding any other Section of this Act,
    in addition to the other licenses authorized  under  this
    Act,  the Board may issue special event licenses allowing
    persons  who  are  not  otherwise  licensed  to   conduct
    riverboat   gambling   to  conduct  such  gambling  on  a
    specified date or series of  dates.   Riverboat  gambling
    under  such  a  license may take place on a riverboat not
    normally used for riverboat gambling.   The  Board  shall
    establish  standards, fees and fines for, and limitations
    upon, such licenses, which may differ from the standards,
    fees, fines and limitations  otherwise  applicable  under
    this  Act.   All  such  fees  shall be deposited into the
    State Gaming Fund.  All such  fines  shall  be  deposited
    into the Education Assistance Fund, created by Public Act
    86-0018, of the State of Illinois.
         (14)  In  addition  to  the  above, gambling must be
    conducted in accordance with all  rules  adopted  by  the
    Board.
(Source: P.A. 91-40, eff. 6-25-99.)

    (230 ILCS 10/11.1) (from Ch. 120, par. 2411.1)
    Sec.  11.1.   Collection  of  amounts  owing under credit
agreements.    Notwithstanding   any   applicable   statutory
provision  to  the  contrary, a licensed owner or manager who
extends credit to a riverboat  gambling  patron  pursuant  to
Section  11  (a)  (12) of this Act is expressly authorized to
institute a cause of action to collect any  amounts  due  and
owing  under  the extension of credit, as well as the owner's
or manager's costs, expenses and reasonable  attorney's  fees
incurred in collection.
(Source: P.A. 86-1029; 86-1389; 87-826.)

    (230 ILCS 10/12) (from Ch. 120, par. 2412)
    Sec. 12. Admission tax; fees.
    (a)  A   tax   is   hereby  imposed  upon  admissions  to
riverboats operated by licensed owners authorized pursuant to
this Act.  Until July 1, 2002, the  rate  is  $2  per  person
admitted.   From  Beginning  July 1, 2002 until July 1, 2003,
the rate is $3 per person admitted. Beginning July  1,  2003,
for  a  licensee  that admitted 1,000,000 persons or fewer in
the previous  calendar  year,  the  rate  is  $3  per  person
admitted;  for  a  licensee that admitted more than 1,000,000
but no more than 2,300,000 persons in the  previous  calendar
year,  the rate is $4 per person admitted; and for a licensee
that admitted more than 2,300,000  persons  in  the  previous
calendar  year,  the  rate  is  $5  per person admitted. This
admission tax is imposed upon the licensed  owner  conducting
gambling.
         (1)  The  admission  tax  shall  be  paid  for  each
    admission.
         (2)  (Blank).
         (3)  The   riverboat  licensee  may  issue  tax-free
    passes to actual and necessary officials and employees of
    the licensee or other persons  actually  working  on  the
    riverboat.
         (4)  The  number  and issuance of tax-free passes is
    subject to the rules of the Board,  and  a  list  of  all
    persons  to  whom the tax-free passes are issued shall be
    filed with the Board.
    (a-5)  A fee is hereby imposed upon  admissions  operated
by  licensed  managers  on  behalf  of  the State pursuant to
Section 7.3 at the rates provided in this  subsection  (a-5).
For  a  licensee  that admitted 1,000,000 persons or fewer in
the previous  calendar  year,  the  rate  is  $3  per  person
admitted;  for  a  licensee that admitted more than 1,000,000
but no more than 2,300,000 persons in the  previous  calendar
year,  the rate is $4 per person admitted; and for a licensee
that admitted more than 2,300,000  persons  in  the  previous
calendar year, the rate is $5 per person admitted.
         (1)  The  admission  fee  shall  be  paid  for  each
    admission.
         (2)  (Blank).
         (3)  The  licensed manager may issue fee-free passes
    to actual and necessary officials and  employees  of  the
    manager   or   other  persons  actually  working  on  the
    riverboat.
         (4)  The number and issuance of fee-free  passes  is
    subject  to  the  rules  of  the Board, and a list of all
    persons to whom the fee-free passes are issued  shall  be
    filed with the Board.
    (b)  From  the  tax  imposed under subsection (a) and the
fee imposed under  subsection  (a-5),  a  municipality  shall
receive  from  the  State  $1  for each person embarking on a
riverboat docked within the municipality, and a county  shall
receive  $1  for  each person embarking on a riverboat docked
within  the  county  but  outside  the  boundaries   of   any
municipality.   The municipality's or county's share shall be
collected by the Board on behalf of the  State  and  remitted
quarterly  by  the  State,  subject  to appropriation, to the
treasurer of the unit of local government for deposit in  the
general fund.
    (c)  The  licensed  owner  shall pay the entire admission
tax to the Board and  the  licensed  manager  shall  pay  the
entire  admission  fee  to  the Board. Such payments shall be
made daily. Accompanying each payment shall be  a  return  on
forms  provided  by  the  Board  which  shall  include  other
information  regarding  admissions  as the Board may require.
Failure to submit either the payment or the return within the
specified time may result in suspension or revocation of  the
owners or managers license.
    (d)  The Board shall administer and collect the admission
tax  imposed by this Section, to the extent practicable, in a
manner consistent with the provisions of Sections 4,  5,  5a,
5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of
the  Retailers'  Occupation  Tax  Act  and Section 3-7 of the
Uniform Penalty and Interest Act.
(Source: P.A. 91-40, eff. 6-25-99; 92-595, eff. 6-28-02.)

    (230 ILCS 10/13) (from Ch. 120, par. 2413)
    Sec. 13.  Wagering tax; rate; distribution.
    (a)  Until January 1, 1998,  a  tax  is  imposed  on  the
adjusted   gross   receipts   received  from  gambling  games
authorized under this Act at the rate of 20%.
    From January 1, 1998 until July 1, 2002, a privilege  tax
is  imposed  on persons engaged in the business of conducting
riverboat gambling operations, based on  the  adjusted  gross
receipts  received  by  a  licensed owner from gambling games
authorized under this Act at the following rates:
         15% of annual adjusted  gross  receipts  up  to  and
    including $25,000,000;
         20%  of  annual adjusted gross receipts in excess of
    $25,000,000 but not exceeding $50,000,000;
         25% of annual adjusted gross receipts in  excess  of
    $50,000,000 but not exceeding $75,000,000;
         30%  of  annual adjusted gross receipts in excess of
    $75,000,000 but not exceeding $100,000,000;
         35% of annual adjusted gross receipts in  excess  of
    $100,000,000.
    Beginning  July  1,  2002,  a privilege tax is imposed on
persons engaged  in  the  business  of  conducting  riverboat
gambling  operations, other than licensed managers conducting
riverboat gambling operations on behalf of the State,   based
on  the  adjusted gross receipts received by a licensed owner
from  gambling  games  authorized  under  this  Act  at   the
following rates:
         15%  of  annual  adjusted  gross  receipts up to and
    including $25,000,000;
         22.5% of annual adjusted gross receipts in excess of
    $25,000,000 but not exceeding $50,000,000;
         27.5% of annual adjusted gross receipts in excess of
    $50,000,000 but not exceeding $75,000,000;
         32.5% of annual adjusted gross receipts in excess of
    $75,000,000 but not exceeding $100,000,000;
         37.5% of annual adjusted gross receipts in excess of
    $100,000,000 but not exceeding $150,000,000;
         45% of annual adjusted gross receipts in  excess  of
    $150,000,000 but not exceeding $200,000,000;
         50%  of  annual adjusted gross receipts in excess of
    $200,000,000.
Riverboat gambling operations conducted by a licensed manager
on behalf of the State are not subject  to  the  tax  imposed
under this Section.
    The  taxes  imposed  by this Section shall be paid by the
licensed owner to the Board not later than 3:00 o'clock  p.m.
of the day after the day when the wagers were made.
    (b)  Until  January  1,  1998,  25%  of  the  tax revenue
deposited in the State Gaming Fund under this  Section  shall
be paid, subject to appropriation by the General Assembly, to
the  unit of local government which is designated as the home
dock of the riverboat. Beginning January 1,  1998,  from  the
tax  revenue  deposited  in  the State Gaming Fund under this
Section, an amount equal to 5%  of  adjusted  gross  receipts
generated  by  a  riverboat shall be paid monthly, subject to
appropriation by the General Assembly, to the unit  of  local
government  that  is  designated  as  the  home  dock  of the
riverboat. From the tax revenue deposited in the State Gaming
Fund pursuant to riverboat gambling operations conducted by a
licensed manager on behalf of the State, an amount  equal  to
5%  of  adjusted  gross  receipts generated pursuant to those
riverboat gambling operations shall be paid monthly,  subject
to  appropriation  by  the  General  Assembly, to the unit of
local government that is designated as the home dock  of  the
riverboat  upon which those riverboat gambling operations are
conducted.
    (c)  Appropriations, as approved by the General Assembly,
may be made from the State Gaming Fund to the  Department  of
Revenue   and   the   Department  of  State  Police  for  the
administration and enforcement of this Act.
    (c-5)  After the payments required under subsections  (b)
and  (c)  have  been  made,  an  amount  equal  to 15% of the
adjusted gross receipts of (1) an owners licensee a riverboat
(1) that relocates pursuant to Section 11.2, or (2) an owners
license conducting riverboat gambling operations pursuant  to
for  which  an  owners license that is initially issued after
June 25, the effective date of this amendatory Act  of  1999,
or (3) the first riverboat gambling operations conducted by a
licensed  manager  on  behalf of the State under Section 7.2,
whichever comes first, shall be paid from  the  State  Gaming
Fund into the Horse Racing Equity Fund.
    (c-10)  Each  year the General Assembly shall appropriate
from the General Revenue Fund  to  the  Education  Assistance
Fund an amount equal to the amount paid into the Horse Racing
Equity  Fund  pursuant  to  subsection  (c-5)  in  the  prior
calendar year.
    (c-15)  After  the  payments  required  under subsections
(b), (c), and (c-5) have been made, an amount equal to 2%  of
the  adjusted  gross  receipts  of  (1)  an owners licensee a
riverboat (1) that relocates pursuant to Section 11.2, or (2)
an owners licensee conducting riverboat  gambling  operations
pursuant  to  for  which  an owners license that is initially
issued after June 25, the effective date of  this  amendatory
Act  of  1999, or (3) the first riverboat gambling operations
conducted by a licensed manager on behalf of the State  under
Section 7.2, whichever comes first, shall be paid, subject to
appropriation  from  the  General  Assembly,  from  the State
Gaming Fund to each home rule county  with  a  population  of
over  3,000,000  inhabitants for the purpose of enhancing the
county's criminal justice system.
    (c-20)  Each year the General Assembly shall  appropriate
from  the  General  Revenue  Fund to the Education Assistance
Fund an amount equal to the amount paid  to  each  home  rule
county  with  a  population  of  over  3,000,000  inhabitants
pursuant to subsection (c-15) in the prior calendar year.
    (c-25)  After  the  payments  required  under subsections
(b), (c), (c-5) and (c-15) have been made, an amount equal to
2% of the adjusted gross receipts of (1) an owners license  a
riverboat (1) that relocates pursuant to Section 11.2, or (2)
an  owners  license  conducting riverboat gambling operations
pursuant to for which an owners  license  that  is  initially
issued  after  June 25, the effective date of this amendatory
Act of 1999, or (3) the first riverboat  gambling  operations
conducted  by a licensed manager on behalf of the State under
Section 7.2, whichever comes first, shall be  paid  from  the
State  Gaming Fund to Chicago State University into the State
Universities Athletic Capital Improvement Fund.
    (d)  From time to time,  the  Board  shall  transfer  the
remainder  of  the  funds  generated  by  this  Act  into the
Education Assistance Fund, created by Public Act 86-0018,  of
the State of Illinois.
    (e)  Nothing in this Act shall prohibit the unit of local
government  designated as the home dock of the riverboat from
entering into agreements with other units of local government
in this State or in other states to share its portion of  the
tax revenue.
    (f)  To   the   extent   practicable,   the  Board  shall
administer and collect the wagering  taxes  imposed  by  this
Section  in  a  manner  consistent  with  the  provisions  of
Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b,
6c,  8,  9,  and  10 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act.
(Source: P.A. 91-40, eff. 6-25-99; 92-595, eff. 6-28-02.)

    (230 ILCS 10/15) (from Ch. 120, par. 2415)
    Sec. 15.  Audit of Licensee Operations.  Within  90  days
after  the  end  of  each  quarter  of  each fiscal year, the
licensed owner or manager shall  transmit  to  the  Board  an
audit  of  the  financial  transactions  and condition of the
licensee's total operations.  All audits shall  be  conducted
by  certified public accountants selected by the Board.  Each
certified public accountant must be registered in  the  State
of  Illinois  under  the  Illinois Public Accounting Act. The
compensation for each certified public  accountant  shall  be
paid  directly  by  the  licensed  owner  or  manager  to the
certified public accountant.
(Source: P.A. 86-1029; 86-1389.)

    (230 ILCS 10/23) (from Ch. 120, par. 2423)
    Sec. 23.   The  State  Gaming  Fund.   On  or  after  the
effective  date  of  this  Act,  all  of  the  fees and taxes
collected pursuant  to  subsections  of  this  Act  shall  be
deposited  into  the State Gaming Fund, a special fund in the
State Treasury, which is hereby created. The  adjusted  gross
receipts  of any riverboat gambling operations conducted by a
licensed manager on behalf of the State remaining  after  the
payment  of  the  fees  and  expenses of the licensed manager
shall be deposited into the State  Gaming  Fund.   Fines  and
penalties  collected  pursuant to this Act shall be deposited
into the Education Assistance Fund,  created  by  Public  Act
86-0018, of the State of Illinois.
(Source: P.A. 86-1029.)

    Section  15.  "An  Act  in relation to gambling, amending
named Acts", approved June 25, 1999,  Public  Act  91-40,  is
amended by changing Section 30 as follows:

    (P.A. 91-40, Sec. 30)
    Sec.  30.  Severability.   If  any  provision of this Act
(Public Act 91-40) or the application thereof to  any  person
or  circumstance  is  held  invalid, that invalidity does not
affect the other provisions or applications of the Act  which
can  be  given  effect  without  the  invalid  application or
provision, and to this end the provisions  of  this  Act  are
severable.   This  severability  applies  without  regard  to
whether  the  action  challenging  the  validity  was brought
before the effective date of this amendatory Act of the  93rd
General Assembly.
    Inseverability.   The provisions of this Act are mutually
dependent and inseverable.  If any provision is held  invalid
other than as applied to a particular person or circumstance,
then this entire Act is invalid.
(Source: P.A. 91-40, eff. 6-25-99.)

    Section  97.   Severability.   In accordance with Section
1.31 of the Statute on Statutes, the provisions of  this  Act
are  severable.   If any provision of this amendatory Act, or
the application of any provision of this  amendatory  Act  to
any  person or circumstance, is held invalid, such invalidity
shall not affect other provisions  or  applications  of  this
amendatory  Act which can be given effect without the invalid
provision  or  application,  and  the  application  of   this
amendatory  Act  to persons or circumstances other than those
as to which it is held invalid shall not be affected thereby.

    Section 99.  Effective date.  This Act takes effect  upon
becoming law.

Effective Date: 6/20/2003