093_HB0146ham001











                                     LRB093 02207 LRD 16688 a

 1                     AMENDMENT TO HOUSE BILL 146

 2        AMENDMENT NO.     .  Amend House Bill  146  by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  1.  Short  title.  This Act may be cited as the
 5    Intercity Development Act.

 6        Section 5.  Findings and purpose.
 7        (a)  The General Assembly finds that:
 8             (1)  There   is   a   great   need   for    economic
 9        revitalization in many communities throughout this State.
10             (2)  Each  community  has  valuable resources at its
11        fingertips that  can  be  tapped  in  the  revitalization
12        process.
13             (3)  With  adequate  support and assistance from the
14        State and other resources, each community can participate
15        in and shepherd its own economic renewal.
16             (4)  Successful redevelopment  plans  are  based  on
17        policy that is responsive to the existing composition and
18        character  of  the  economically distressed community and
19        that allows and compels the community to  participate  in
20        the redevelopment planning process.
21             (5)  A  successful  redevelopment initiative creates
22        and maintains a  capable  and  adaptable  workforce,  has
 
                            -2-      LRB093 02207 LRD 16688 a
 1        access  to capital, has a sound fiscal base, has adequate
 2        infrastructure, has well-managed natural  resources,  and
 3        has an attractive quality of life.
 4        (b)  It  is  the purpose of this legislation to provide a
 5    mechanism for an economically distressed community to use  in
 6    its efforts to revitalize the community.

 7        Section 10.  Definitions. As used in this Section:
 8        "Community"  means  a municipality, a county with respect
 9    to the unincorporated areas of a county, and any  combination
10    of municipalities and counties acting jointly.
11        "Department"   means   the  Department  of  Commerce  and
12    Community Affairs.
13        "Economically distressed community" means  any  community
14    that  is  certified by the Department as being in the highest
15    3%  of  all  communities  in  the  State  in  its   rate   of
16    unemployment,  its  poverty  rate, and the rate of bankruptcy
17    petitions filed.

18        Section 15.  Certification; Board of Economic Advisors.
19        (a)  In order to receive the assistance  as  provided  in
20    this Act, a community shall first, by ordinance passed by its
21    corporate  authorities,  request  that the Department certify
22    that  it  is  an  economically  distressed   community.   The
23    community  must  submit  a certified copy of the ordinance to
24    the  Department.  After  review  of  the  ordinance,  if  the
25    Department  determines   that   the   community   meets   the
26    requirements  for certification, the Department shall certify
27    the community as an economically distressed community.
28        (b)  A community that is certified by the  Department  as
29    an  economically  distressed community may appoint a Board of
30    Economic Advisors to create and  implement  a  revitalization
31    plan for the community. The Board shall consist of 12 members
32    of  the  community,  appointed  by the mayor or the presiding
 
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 1    officer of the county or jointly by the presiding officers of
 2    each municipality and county  that  have  joined  to  form  a
 3    community  for  the  purposes  of this Act. The Board members
 4    shall be appointed from the 12  sectors  vital  to  community
 5    redevelopment as follows:
 6             (1)  A member representing households and families.
 7             (2)  A member representing religious organizations.
 8             (3)  A member representing educational institutions.
 9             (4)  A  member  representing  daycare  centers, care
10        centers for the handicapped, and  care  centers  for  the
11        disadvantaged.
12             (5)  A    member    representing   community   based
13        organizations   such    as    neighborhood    improvement
14        associations.
15             (6)  A   member   representing   federal  and  State
16        employment service systems, skill training  centers,  and
17        placement referrals.
18             (7)  A  member  representing  Masonic organizations,
19        fraternities, sororities, and social clubs.
20             (8)  A member representing hospitals, nursing homes,
21        senior citizens,  public  health  agencies,  and  funeral
22        homes.
23             (9)  A  member representing organized sports, parks,
24        parties, and games of chance.
25             (10)  A  member  representing   political   parties,
26        clubs,  and  affiliations,  and  election related matters
27        concerning voter education and participation.
28             (11)  A member representing the cultural aspects  of
29        the  community,  including  cultural  events, lifestyles,
30        languages,  music,  visual  and  performing   arts,   and
31        literature.
32             (12)  A   member   representing   police   and  fire
33        protection agencies, prisons, weapons  systems,  and  the
34        military industrial complex.
 
                            -4-      LRB093 02207 LRD 16688 a
 1        The  Board  shall  meet  initially  within 30 days of its
 2    appointment, shall select one member as  chairperson  at  its
 3    initial meeting, and shall thereafter meet at the call of the
 4    chairperson.   Members  of  the  Board  shall  serve  without
 5    compensation but shall be reimbursed for their reasonable and
 6    necessary expenses from funds available for that purpose.
 7        (b)  The  Board  shall  create   a   3-year   to   5-year
 8    revitalization plan for the community. The plan shall contain
 9    distinct,   measurable  objectives  for  revitalization.  The
10    objectives shall be used to guide ongoing  implementation  of
11    the  plan and to measure progress during the 3-year to 5-year
12    period. The Board shall work in  a  dynamic  manner  defining
13    goals for the community based on the strengths and weaknesses
14    of  the  individual  sectors of the community as presented by
15    each member of the Board. The Board shall  meet  periodically
16    and revise the plan in light of the input from each member of
17    the   Board  concerning  his  or  her  respective  sector  of
18    expertise.  The  process  shall   be   a   community   driven
19    revitalization    process,   with   community-specific   data
20    determining the direction and scope of the revitalization.

21        Section 20.  Action by the Board.
22        (a)  Organize. The Board shall first assess the needs and
23    the resources of  the  community  operating  from  the  basic
24    premise that the family unit is the primary unit of community
25    and  that  the  demand  for  goods  and  services  from  this
26    residential  sector is the main source of recovery and growth
27    for  the  redevelopment  of  a  community.  The  Board  shall
28    inventory community assets, including the  condition  of  the
29    family  with  respect  to  the role of the family as workers,
30    consumers, and investors. The Board shall inventory the  type
31    and  viability  of businesses and industries currently in the
32    community. In compiling the inventory, the Board  shall  rely
33    on  the input of each Board member with respect to his or her
 
                            -5-      LRB093 02207 LRD 16688 a
 1    expertise in a given sector of the revitalization plan.
 2        (b)  Revitalize. In implementing the revitalization plan,
 3    the Board shall focus on and build from existing resources in
 4    the community, growing existing businesses rather than luring
 5    business into the community from the outside. The Board shall
 6    also focus on the residents themselves rather than jobs.  The
 7    Board shall promote investment in training residents in areas
 8    that  will  lead to employment and in turn will bring revenue
 9    into the community.
10        (c)  Mobilize. The Board  shall  engage  in  the  dynamic
11    process of community self-revitalization through a continuous
12    reassessment   of   the   needs   of  the  community  in  the
13    revitalization process. As each goal of the 3-year to  5-year
14    plan  is achieved, the Board shall draw from the resources of
15    its  members  to  establish  new  goals  and  implement   new
16    strategies  employing  the  lessons  learned  in  the earlier
17    stages of revitalization.
18        (d)  Advise. The Board shall Act as the  liaison  between
19    the  community  and  the local, county, and State Government.
20    The  Board  shall  make  use  of  the  resources   of   these
21    governmental  entities  and  shall provide counsel to each of
22    these bodies with respect to economic development.
23        The Board shall also act as  a  liaison  between  private
24    business  entities located in the community and the community
25    itself. The Board shall offer advice and assistance to  these
26    entities  when  requested and provide incentives and support,
27    both economic and  otherwise,  to  facilitate  expansion  and
28    further investment in the community by the businesses.
29        The  Board  shall annually submit a report to the General
30    Assembly and the Governor summarizing the accomplishments  of
31    the  community concerning revitalization and the goals of the
32    community for future revitalization.

33        Section 25.  Funding sources.
 
                            -6-      LRB093 02207 LRD 16688 a
 1        (a)  The   moneys   appropriated   into   the   Intercity
 2    Development Fund, which is hereby created as a  special  fund
 3    in the State Treasury, shall be allocated as follows:
 4        (1)  50%  shall  be  paid to the Department to be used to
 5    make grants as follows:
 6             (A)  25% shall be allocated for use within the  City
 7        of Chicago;
 8             (B)  25%  shall  be  allocated  for  use within Cook
 9        County, but outside of the City of Chicago; and
10             (C)  50% shall be allocated to communities that  are
11        located  outside  of  Cook  County  and  are certified as
12        economically distressed communities and that have created
13        Boards of  Economic  Advisors  under  this  Act  for  the
14        operational expenses of the Boards.
15        The   procedures   for   grant   applications   shall  be
16    established by the Department by rule.
17        (2)  The remaining 50% of the moneys shall  be  allocated
18    as follows:
19             (A)  25% shall be paid, subject to appropriation, to
20        the general fund of the City of Chicago;
21             (B)  25% shall be paid, subject to appropriation, to
22        the general fund of Cook County; and
23             (C)  50% shall be paid, subject to appropriation, to
24        the general funds of communities that are located outside
25        of   Cook   County  and  are  certified  as  economically
26        distressed communities and that have  created  Boards  of
27        Economic  Advisors  under  this  Act  for the operational
28        expenses of the Boards.
29        (b)  The Board, as a vital part of  its  function,  shall
30    seek  funding  sources  to  enhance economic development. The
31    Board shall seek funding from the local, State,  and  federal
32    government  as  well as from private funding sources, whether
33    in the form of grants, loans, or  otherwise.  The  Department
34    shall  advise  the  Boards of Economic Advisors created under
 
                            -7-      LRB093 02207 LRD 16688 a
 1    this Act of all available sources  of  funding  for  economic
 2    development  that  it is aware of and shall assist the Boards
 3    in securing this funding.
 4        (c)  To the extent that there is a  gap  in  funding  for
 5    economic  development,  the  Board  shall  recommend possible
 6    solutions to be undertaken by the State  in  addressing  this
 7    issue to fill the funding gap.

 8        Section  70.  The  Department of Revenue Law of the Civil
 9    Administrative  Code  of  Illinois  is  amended  by  changing
10    Section 2505-305 as follows:

11        (20 ILCS 2505/2505-305) (was 20 ILCS 2505/39b15.1)
12        Sec. 2505-305.  Investigators.
13        (a)  The   Department   has   the   power   to    appoint
14    investigators   to   conduct  all  investigations,  searches,
15    seizures,  arrests,  and  other  duties  imposed  under   the
16    provisions  of  any law administered by the Department or the
17    Illinois Gaming Board. Except as provided in subsection  (c),
18    these  investigators  have and may exercise all the powers of
19    peace officers solely for the  purpose  of  enforcing  taxing
20    measures  administered  by  the  Department  or  the Illinois
21    Gaming Board.
22        (b)  The Director must  authorize  to  each  investigator
23    employed  under this Section and to any other employee of the
24    Department  exercising  the  powers  of  a  peace  officer  a
25    distinct badge that, on its face, (i) clearly states that the
26    badge is authorized by the Department  and  (ii)  contains  a
27    unique identifying number. No other badge shall be authorized
28    by the Department.
29        (c)  Investigators  appointed  under this Section who are
30    assigned to the Illinois Gaming Board have and  may  exercise
31    all  the rights and powers of peace officers. , provided that
32    these powers shall  be  limited  to  offenses  or  violations
 
                            -8-      LRB093 02207 LRD 16688 a
 1    occurring  or committed on a riverboat or dock, as defined in
 2    subsections (d)  and  (f)  of  Section  4  of  the  Riverboat
 3    Gambling Act.
 4    (Source:  P.A.  91-239,  eff.  1-1-00;  91-883,  eff. 1-1-01;
 5    92-493, eff. 1-1-02.)

 6        Section 75.  The Illinois Horse Racing  Act  of  1975  is
 7    amended  by  changing  Sections 1.2, 3.11, 9, 20, 25, 26, 27,
 8    28.1, 30, 31, 32.1, 36, and  42  and  adding  Sections  3.24,
 9    3.25, 3.26, 3.27, 34.2, 56, and 57 as follows:

10        (230 ILCS 5/1.2)
11        Sec.  1.2.   Legislative  intent. This Act is intended to
12    benefit the people of the State of  Illinois  by  encouraging
13    the   breeding  and  production  of  race  horses,  assisting
14    economic development, and  promoting  Illinois  tourism.  The
15    General  Assembly  finds  and  declares  it  to be the public
16    policy of the State of Illinois to:
17        (a)  support and enhance Illinois' horse racing industry,
18    which is a  significant  component  within  the  agribusiness
19    industry;
20        (b)  ensure  that Illinois' horse racing industry remains
21    competitive with neighboring states;
22        (c)  stimulate  growth  within  Illinois'  horse   racing
23    industry,  thereby encouraging new investment and development
24    to produce additional tax revenues and to  create  additional
25    jobs;
26        (d)  promote the further growth of tourism;
27        (e)  encourage   the   breeding   of   thoroughbred   and
28    standardbred horses in this State; and
29        (f)  ensure  that  public  confidence  and  trust  in the
30    credibility  and  integrity  of  racing  operations  and  the
31    regulatory process is maintained.
32    (Source: P.A. 91-40, eff. 6-25-99.)
 
                            -9-      LRB093 02207 LRD 16688 a
 1        (230 ILCS 5/3.11) (from Ch. 8, par. 37-3.11)
 2        Sec. 3.11.  "Organization  licensee"  means  any  person,
 3    not-for-profit  corporation, municipality, or legal authority
 4    with bonding power created to promote tourism,  receiving  an
 5    organization license from the Board to conduct a race meeting
 6    or meetings.
 7    (Source: P.A. 79-1185.)

 8        (230 ILCS 5/3.24 new)
 9        Sec. 3.24. "Adjusted gross receipts" has the same meaning
10    as in Section 4 of the Riverboat Gambling Act.

11        (230 ILCS 5/3.25 new)
12        Sec. 3.25. "Electronic gaming" has the same meaning as in
13    Section 4 of the Riverboat Gambling Act.

14        (230 ILCS 5/3.26 new)
15        Sec.  3.26.  "Electronic  gaming  license"  has  the same
16    meaning as in Section 4 of the Riverboat Gambling Act.

17        (230 ILCS 5/3.27 new)
18        Sec.  3.27.  "Electronic  gaming  facility"  means   that
19    portion  of an organization licensee's race track facility at
20    which electronic gaming is conducted.

21        (230 ILCS 5/9) (from Ch. 8, par. 37-9)
22        Sec. 9.  The Board shall have all  powers  necessary  and
23    proper  to  fully  and  effectively execute the provisions of
24    this Act, including, but not limited to, the following:
25        (a)  The  Board   is   vested   with   jurisdiction   and
26    supervision  over  all  race meetings in this State, over all
27    licensees doing business in this State, over  all  occupation
28    licensees,  and  over  all  persons  on the facilities of any
29    licensee. Such jurisdiction shall include the power to  issue
 
                            -10-     LRB093 02207 LRD 16688 a
 1    licenses   to   the   Illinois   Department   of  Agriculture
 2    authorizing the pari-mutuel system of wagering on harness and
 3    Quarter Horse races held (1)  at the Illinois State  Fair  in
 4    Sangamon  County,  and (2) at the DuQuoin State Fair in Perry
 5    County. The jurisdiction of the Board shall also include  the
 6    power to issue licenses to county fairs which are eligible to
 7    receive  funds  pursuant to the Agricultural Fair Act, as now
 8    or  hereafter  amended,  or  their  agents,  authorizing  the
 9    pari-mutuel system of wagering on horse  races  conducted  at
10    the  county  fairs  receiving  such  licenses.  Such licenses
11    shall be governed by subsection (n) of this Section.
12        Upon application, the Board shall issue a license to  the
13    Illinois  Department  of  Agriculture  to conduct harness and
14    Quarter Horse races at the Illinois State  Fair  and  at  the
15    DuQuoin  State Fairgrounds during the scheduled dates of each
16    fair.  The Board shall not  require  and  the  Department  of
17    Agriculture shall be exempt from the requirements of Sections
18    15.3,  18  and  19,  paragraphs  (a)(2),  (b), (c), (d), (e),
19    (e-5), (e-10), (f), (g), and (h) of Section 20, and  Sections
20    21,  24  and  25. The Board and the Department of Agriculture
21    may extend any or all of these exemptions to  any  contractor
22    or  agent engaged by the Department of Agriculture to conduct
23    its race meetings when the Board determines that  this  would
24    best  serve  the  public  interest  and the interest of horse
25    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
31    licensee,  employ  its owners, employees or agents and employ
32    such other  occupation  licensees  as  the  Department  deems
33    necessary in connection with race meetings and wagerings.
34        (b)  The   Board   is  vested  with  the  full  power  to
 
                            -11-     LRB093 02207 LRD 16688 a
 1    promulgate reasonable rules and regulations for  the  purpose
 2    of  administering the provisions of this Act and to prescribe
 3    reasonable rules, regulations and conditions under which  all
 4    horse  race  meetings  or  wagering  in  the  State  shall be
 5    conducted.  Such reasonable rules   and  regulations  are  to
 6    provide  for  the  prevention of practices detrimental to the
 7    public interest and to promote the best  interests  of  horse
 8    racing and to impose penalties for violations thereof.
 9        (c)  The  Board,  and  any  person  or persons to whom it
10    delegates this power, is vested with the power to  enter  the
11    facilities  and  other  places of business of any licensee to
12    determine  whether  there  has  been  compliance   with   the
13    provisions of this Act and its rules and regulations.
14        (d)  The  Board,  and  any  person  or persons to whom it
15    delegates  this  power,  is  vested  with  the  authority  to
16    investigate alleged violations of the provisions of this Act,
17    its  reasonable  rules  and  regulations,  orders  and  final
18    decisions; the  Board  shall  take  appropriate  disciplinary
19    action  against  any  licensee  or  occupation  licensee  for
20    violation  thereof  or institute appropriate legal action for
21    the enforcement thereof.
22        (e)  The Board, and any person  or  persons  to  whom  it
23    delegates  this  power,  may  eject  or exclude from any race
24    meeting or the  facilities  of  any  licensee,  or  any  part
25    thereof,  any  occupation  licensee  or  any other individual
26    whose conduct or reputation is  such  that  his  presence  on
27    those  facilities may, in the opinion of the Board, call into
28    question  the  honesty  and  integrity  of  horse  racing  or
29    wagering or interfere  with  the  orderly  conduct  of  horse
30    racing  or  wagering; provided, however, that no person shall
31    be excluded or ejected from the facilities  of  any  licensee
32    solely on the grounds of race, color, creed, national origin,
33    ancestry,   or  sex.   The  power  to  eject  or  exclude  an
34    occupation licensee or other individual may be exercised  for
 
                            -12-     LRB093 02207 LRD 16688 a
 1    just   cause  by  the  licensee  or  the  Board,  subject  to
 2    subsequent hearing by the Board as to the propriety  of  said
 3    exclusion.
 4        (f)  The  Board  is  vested  with  the  power to acquire,
 5    establish, maintain and operate (or provide  by  contract  to
 6    maintain   and  operate)  testing  laboratories  and  related
 7    facilities, for the  purpose  of  conducting  saliva,  blood,
 8    urine  and  other tests on the horses run or to be run in any
 9    horse race meeting, including races run at county fairs,  and
10    to  purchase  all  equipment and supplies deemed necessary or
11    desirable in connection with any  such  testing  laboratories
12    and related facilities and all such tests.
13        (g)  The  Board  may  require that the records, including
14    financial or other statements of any licensee or  any  person
15    affiliated  with  the  licensee  who  is involved directly or
16    indirectly in the activities of  any  licensee  as  regulated
17    under  this  Act  to the extent that those financial or other
18    statements relate to such activities be kept in  such  manner
19    as  prescribed  by  the Board, and that Board employees shall
20    have access  to  those  records  during  reasonable  business
21    hours.   Within  120 days of the end of its fiscal year, each
22    licensee  shall  transmit  to  the  Board  an  audit  of  the
23    financial transactions and condition of the licensee's  total
24    operations.   All  audits  shall  be  conducted  by certified
25    public accountants.  Each certified public accountant must be
26    registered in the State of Illinois under the Illinois Public
27    Accounting Act.  The compensation for each  certified  public
28    accountant  shall  be  paid  directly  by the licensee to the
29    certified public accountant.  A licensee  shall  also  submit
30    any  other  financial  or related information the Board deems
31    necessary to effectively administer this Act and  all  rules,
32    regulations, and final decisions promulgated under this Act.
33        (h)  The  Board  shall  name  and  appoint  in the manner
34    provided by the rules  and  regulations  of  the  Board:   an
 
                            -13-     LRB093 02207 LRD 16688 a
 1    Executive  Director;  a  State  director  of  mutuels;  State
 2    veterinarians  and  representatives  to  take  saliva, blood,
 3    urine and other tests on horses; licensing personnel; revenue
 4    inspectors; and State seasonal employees (excluding admission
 5    ticket sellers and mutuel clerks).  All of  those  named  and
 6    appointed  as  provided in this subsection shall serve during
 7    the pleasure of  the  Board;  their  compensation   shall  be
 8    determined  by  the  Board  and be paid in the same manner as
 9    other employees of the Board under this Act.
10        (i)  The Board  shall  require  that  there  shall  be  3
11    stewards at each horse race meeting, at least 2 of whom shall
12    be  named  and appointed by the Board.  Stewards appointed or
13    approved by the Board, while performing  duties  required  by
14    this  Act  or  by  the  Board,  shall be entitled to the same
15    rights and immunities as granted to Board members  and  Board
16    employees in Section 10 of this Act.
17        (j)  The Board may discharge any Board employee who fails
18    or  refuses  for  any  reason  to  comply  with the rules and
19    regulations of the Board, or  who,  in  the  opinion  of  the
20    Board,  is guilty of fraud, dishonesty or who is proven to be
21    incompetent. The Board  shall  have  no  right  or  power  to
22    determine  who  shall  be officers, directors or employees of
23    any licensee, or their salaries  except  the  Board  may,  by
24    rule,  require  that  all  or  any  officials or employees in
25    charge of or whose duties relate to  the  actual  running  of
26    races be  approved by the Board.
27        (k)  The  Board  is  vested  with  the  power  to appoint
28    delegates to execute any of the powers granted  to  it  under
29    this  Section  for  the purpose of administering this Act and
30    any rules or regulations promulgated in accordance with  this
31    Act.
32        (l)  The  Board  is vested with the power to impose civil
33    penalties of up to $5,000 against an  individual  and  up  to
34    $10,000   against  a  licensee  for  each  violation  of  any
 
                            -14-     LRB093 02207 LRD 16688 a
 1    provision of this Act, any rules adopted by  the  Board,  any
 2    order  of the Board or any other action which, in the Board's
 3    discretion, is a detriment or impediment to horse  racing  or
 4    wagering.
 5        (m)  The  Board  is  vested with the power to prescribe a
 6    form to be used by licensees as an application for employment
 7    for employees of each licensee.
 8        (n)  The Board shall have the power to issue a license to
 9    any county fair, or its agent, authorizing the conduct of the
10    pari-mutuel system of wagering.  The Board is vested with the
11    full power to promulgate reasonable  rules,  regulations  and
12    conditions  under  which  all  horse  race  meetings licensed
13    pursuant to this subsection  shall  be  held  and  conducted,
14    including  rules,  regulations and conditions for the conduct
15    of  the  pari-mutuel  system   of   wagering.    The   rules,
16    regulations  and  conditions shall provide for the prevention
17    of practices detrimental to the public interest and  for  the
18    best interests of horse racing, and shall prescribe penalties
19    for  violations  thereof.   Any  authority  granted the Board
20    under  this  Act  shall  extend  to  its   jurisdiction   and
21    supervision  over  county  fairs,  or  their agents, licensed
22    pursuant to this subsection.  However, the  Board  may  waive
23    any  provision  of this Act or its rules or regulations which
24    would otherwise apply to such county fairs or their agents.
25        (o)  Whenever the Board is authorized or required by  law
26    to   consider   some   aspect   of  criminal  history  record
27    information for the purpose of  carrying  out  its  statutory
28    powers  and  responsibilities, then, upon request and payment
29    of fees in  conformance  with  the  requirements  of  Section
30    2605-400  of  the  Department  of  State  Police Law (20 ILCS
31    2605/2605-400), the Department of State Police is  authorized
32    to   furnish,   pursuant  to  positive  identification,  such
33    information contained in  State  files  as  is  necessary  to
34    fulfill the request.
 
                            -15-     LRB093 02207 LRD 16688 a
 1        (p)  To  insure  the  convenience,  comfort, and wagering
 2    accessibility of race  track  patrons,  to  provide  for  the
 3    maximization  of  State revenue, and to generate increases in
 4    purse allotments to the horsemen, the Board shall require any
 5    licensee to staff the pari-mutuel  department  with  adequate
 6    personnel.
 7    (Source: P.A. 91-239, eff. 1-1-00.)

 8        (230 ILCS 5/20) (from Ch. 8, par. 37-20)
 9        Sec.  20. (a) Any person desiring to conduct a horse race
10    meeting may apply to the Board for an  organization  license.
11    The  application  shall  be  made  on  a  form prescribed and
12    furnished by the Board.  The application shall specify:
13             (1)  the dates on which it intends  to  conduct  the
14        horse  race  meeting, which dates shall be provided under
15        Section 21;
16             (2)  the hours of each racing day between  which  it
17        intends to hold or conduct horse racing at such meeting;
18             (3)  the  location  where it proposes to conduct the
19        meeting; and
20             (4)  any other information the Board may  reasonably
21        require.
22        (b)  A  separate  application for an organization license
23    shall be filed for each horse race meeting which such  person
24    proposes  to  hold.  Any  such  application,  if  made  by an
25    individual, or by any individual as trustee, shall be  signed
26    and  verified  under  oath  by  such  individual.  If made by
27    individuals or a partnership, it shall be signed and verified
28    under oath by at least 2 of such individuals  or  members  of
29    such    partnership  as  the  case  may  be.  If  made  by an
30    association, corporation, corporate  trustee  or   any  other
31    entity,  it  shall be signed by the president and attested by
32    the secretary or assistant secretary under the seal  of  such
33    association, trust or corporation if it has a seal, and shall
 
                            -16-     LRB093 02207 LRD 16688 a
 1    also be verified under oath by one of the signing officers.
 2        (c)  The  application  shall  specify  the  name  of  the
 3    persons,  association,  trust,  or  corporation  making  such
 4    application  and the post office address of the applicant; if
 5    the applicant is a trustee, the names and  addresses  of  the
 6    beneficiaries;  if  a  corporation, the names and post office
 7    addresses of all officers, stockholders and directors; or  if
 8    such  stockholders hold stock as a  nominee or fiduciary, the
 9    names  and  post   office   addresses   of   these   persons,
10    partnerships,  corporations, or trusts who are the beneficial
11    owners thereof or who are  beneficially  interested  therein;
12    and  if a partnership, the names and post office addresses of
13    all partners, general or  limited;  if  the  applicant  is  a
14    corporation, the name of the state of its incorporation shall
15    be specified.
16        (d)  The  applicant shall execute and file with the Board
17    a good faith affirmative action plan to recruit,  train,  and
18    upgrade   minorities   in   all  classifications  within  the
19    association.
20        (e)  With such application there shall  be  delivered  to
21    the  Board  a  certified  check  or bank draft payable to the
22    order of the  Board  for  an  amount  equal  to  $1,000.  All
23    applications  for  the  issuance  of  an organization license
24    shall be filed with the Board before August  1  of  the  year
25    prior  to the year for which application is made and shall be
26    acted upon by the Board at a meeting to be held on such  date
27    as  shall  be  fixed  by the Board during the last 15 days of
28    September of such prior year.  At  such  meeting,  the  Board
29    shall  announce  the  award  of the racing meets, live racing
30    schedule, and designation of host track to the applicants and
31    its  approval  or  disapproval  of   each   application.   No
32    announcement shall be considered binding until a formal order
33    is  executed  by  the Board, which shall be executed no later
34    than October 15 of that prior year. Absent the  agreement  of
 
                            -17-     LRB093 02207 LRD 16688 a
 1    the  affected  organization  licensees,  the  Board shall not
 2    grant overlapping race meetings to 2 or more tracks that  are
 3    within  100  miles  of each other to conduct the thoroughbred
 4    racing.
 5        (e-2)  In awarding racing dates for  calendar  year  2004
 6    and  thereafter,  the Board shall award the same total number
 7    of racing days as it awarded in calendar year  2003  plus  an
 8    amount  as  provided in subsection (e-3).  In awarding racing
 9    dates under this subsection (e-2), the Board shall  have  the
10    discretion  to allocate those racing dates among organization
11    licensees.
12        (e-3)  Upon request, the Board shall award  at  least  50
13    standardbred  racing  dates to the organization licensee that
14    conducts racing at Fairmount Race Track.   Any  racing  dates
15    awarded  under  this  subsection  (e-3)  to  an  organization
16    licensee  that  conducts  racing at Fairmount Race Track that
17    are in excess of the  number  awarded  to  that  organization
18    licensee  in  2003 shall be in addition to those racing dates
19    awarded under subsection (e-2).
20        (e-5)  In reviewing an application  for  the  purpose  of
21    granting  an  organization  license  consistent with the best
22    interests of the public and the sport of  horse  racing,  the
23    Board shall consider:
24             (1)  the   character,  reputation,  experience,  and
25        financial integrity of the applicant  and  of  any  other
26        separate person that either:
27                  (i)  controls   the   applicant,   directly  or
28             indirectly, or
29                  (ii)  is controlled, directly or indirectly, by
30             that applicant or by a person who controls, directly
31             or indirectly, that applicant;
32             (2)  the   applicant's   facilities   or    proposed
33        facilities for conducting horse racing;
34             (3)  the  total  revenue  without  regard to Section
 
                            -18-     LRB093 02207 LRD 16688 a
 1        32.1 to be derived by the State  and  horsemen  from  the
 2        applicant's conducting a race meeting;
 3             (4)  the  applicant's  good faith affirmative action
 4        plan to recruit, train, and  upgrade  minorities  in  all
 5        employment classifications;
 6             (5)  the  applicant's  financial ability to purchase
 7        and maintain adequate liability and casualty insurance;
 8             (6)  the  applicant's  proposed  and  prior   year's
 9        promotional  and marketing activities and expenditures of
10        the applicant associated with those activities;
11             (7)  an  agreement,  if  any,   among   organization
12        licensees  as provided in subsection (b) of Section 21 of
13        this Act; and
14             (8)  the extent to which the  applicant  exceeds  or
15        meets other standards for the issuance of an organization
16        license that the Board shall adopt by rule.
17        In  granting  organization  licenses and allocating dates
18    for horse race meetings, the Board shall have  discretion  to
19    determine  an overall schedule, including required simulcasts
20    of Illinois races by host tracks that will, in its  judgment,
21    be  conducive  to  the  best  interests of the public and the
22    sport of horse racing.
23        (e-10)  The Illinois Administrative Procedure  Act  shall
24    apply  to  administrative  procedures of the Board under this
25    Act for the granting of an organization license, except  that
26    (1)  notwithstanding  the  provisions  of  subsection  (b) of
27    Section 10-40 of the Illinois  Administrative  Procedure  Act
28    regarding  cross-examination,  the  Board may prescribe rules
29    limiting the right of an  applicant  or  participant  in  any
30    proceeding  to  award  an  organization  license  to  conduct
31    cross-examination  of witnesses at that proceeding where that
32    cross-examination would unduly obstruct the timely  award  of
33    an organization license under subsection (e) of Section 20 of
34    this Act; (2) the provisions of Section 10-45 of the Illinois
 
                            -19-     LRB093 02207 LRD 16688 a
 1    Administrative Procedure Act regarding proposals for decision
 2    are   excluded   under  this  Act;  (3)  notwithstanding  the
 3    provisions of subsection (a) of Section 10-60 of the Illinois
 4    Administrative   Procedure    Act    regarding    ex    parte
 5    communications,  the  Board  may  prescribe rules allowing ex
 6    parte communications with applicants  or  participants  in  a
 7    proceeding  to award an organization license where conducting
 8    those communications would be in the best interest of racing,
 9    provided all those communications are made part of the record
10    of that proceeding pursuant  to  subsection  (c)  of  Section
11    10-60  of  the Illinois Administrative Procedure Act; (4) the
12    provisions of Section 14a of this Act and the  rules  of  the
13    Board  promulgated  under that Section shall apply instead of
14    the provisions of Article 10 of the  Illinois  Administrative
15    Procedure  Act  regarding  administrative law judges; and (5)
16    the provisions of subsection (d)  of  Section  10-65  of  the
17    Illinois  Administrative  Procedure  Act that prevent summary
18    suspension of a license pending revocation  or  other  action
19    shall not apply.
20        (f)  The  Board may allot racing dates to an organization
21    licensee for more than one calendar year but for no more than
22    3 successive calendar years in  advance,  provided  that  the
23    Board  shall review such allotment for more than one calendar
24    year prior to each year for which  such  allotment  has  been
25    made.   The  granting  of an organization license to a person
26    constitutes a privilege to conduct a horse race meeting under
27    the  provisions  of  this  Act,  and  no  person  granted  an
28    organization  license  shall  be  deemed  to  have  a  vested
29    interest, property right, or future expectation to receive an
30    organization license in any subsequent year as  a  result  of
31    the   granting   of  an  organization  license.  Organization
32    licenses shall be subject to revocation if  the  organization
33    licensee  has violated any provision of this Act or the rules
34    and regulations  promulgated  under  this  Act  or  has  been
 
                            -20-     LRB093 02207 LRD 16688 a
 1    convicted  of a crime or has failed to disclose or has stated
 2    falsely any information called for in the application for  an
 3    organization  license.   Any  organization license revocation
 4    proceeding shall be in accordance with Section  16  regarding
 5    suspension and revocation of occupation licenses.
 6        (f-5)  If,  (i)  an applicant does not file an acceptance
 7    of the racing dates awarded by the Board  as  required  under
 8    part  (1)  of  subsection  (h) of this Section 20, or (ii) an
 9    organization licensee has its license  suspended  or  revoked
10    under  this  Act,  the  Board,  upon  conducting an emergency
11    hearing as provided for  in  this  Act,  may  reaward  on  an
12    emergency  basis  pursuant to rules established by the Board,
13    racing dates not accepted or the racing dates associated with
14    any  suspension  or  revocation  period  to   one   or   more
15    organization  licensees,  new  applicants, or any combination
16    thereof, upon terms and conditions that the Board  determines
17    are   in   the   best   interest  of  racing,  provided,  the
18    organization  licensees  or  new  applicants  receiving   the
19    awarded  racing  dates  file an acceptance of those reawarded
20    racing dates as required under paragraph  (1)  of  subsection
21    (h)  of  this Section 20 and comply with the other provisions
22    of this Act.   The  Illinois  Administrative  Procedures  Act
23    shall not apply to the administrative procedures of the Board
24    in  conducting  the emergency hearing and the reallocation of
25    racing dates on an emergency basis.
26        (g)  (Blank).
27        (h)  The Board shall send the applicant  a  copy  of  its
28    formally  executed  order  by certified mail addressed to the
29    applicant at the address stated  in  his  application,  which
30    notice  shall  be mailed within 5 days of the date the formal
31    order is executed.
32        Each applicant  notified  shall,  within  10  days  after
33    receipt  of  the  final  executed order of the Board awarding
34    racing dates:
 
                            -21-     LRB093 02207 LRD 16688 a
 1             (1)  file with the Board an acceptance of such award
 2        in the form prescribed by the Board;
 3             (2)  pay to the Board an additional amount equal  to
 4        $110 for each racing date awarded; and
 5             (3)  file  with  the  Board  the  bonds  required in
 6        Sections 21 and 25 at least 20 days prior  to  the  first
 7        day of each race meeting.
 8    Upon  compliance  with the provisions of paragraphs (1), (2),
 9    and (3) of this subsection (h), the applicant shall be issued
10    an organization license.
11        If any applicant fails to comply  with  this  Section  or
12    fails  to  pay the organization license fees herein provided,
13    no organization license shall be issued to such applicant.
14    (Source: P.A. 91-40, eff. 6-25-99.)

15        (230 ILCS 5/25) (from Ch. 8, par. 37-25)
16        Sec.  25.  Admissions  tax;  records  and  books;   bond;
17    penalty.
18        (a)  There  shall  be  paid  to the Board at such time or
19    times as it shall prescribe, the sum of fifteen  cents  (15¢)
20    for  each  person  entering  the grounds or enclosure of each
21    organization licensee and inter-track wagering licensee  upon
22    a ticket of admission except as provided in subsection (g) of
23    Section  27 of this Act.  If tickets are issued for more than
24    one day then the sum of fifteen cents (15¢) shall be paid for
25    each person using such ticket on each day that the same shall
26    be used.  Provided, however, that no charge shall be made  on
27    tickets  of admission issued to and in the name of directors,
28    officers, agents or employees of the  organization  licensee,
29    or  inter-track  wagering  licensee,  or to owners, trainers,
30    jockeys, drivers and their employees  or  to  any  person  or
31    persons entering the grounds or enclosure for the transaction
32    of  business  in  connection  with  such  race  meeting.  The
33    organization licensee or inter-track wagering  licensee  may,
 
                            -22-     LRB093 02207 LRD 16688 a
 1    if it desires, collect such amount from each ticket holder in
 2    addition  to the amount or amounts charged for such ticket of
 3    admission.
 4        (b) Accurate records and books shall at all times be kept
 5    and maintained by the organization licensees and  inter-track
 6    wagering  licensees  showing the admission tickets issued and
 7    used on each racing day and the attendance  thereat  of  each
 8    horse  racing  meeting.   The  Board  or  its duly authorized
 9    representative or representatives  shall  at  all  reasonable
10    times   have   access   to   the  admission  records  of  any
11    organization licensee and inter-track wagering  licensee  for
12    the   purpose   of   examining  and  checking  the  same  and
13    ascertaining whether or not the proper amount has been or  is
14    being  paid  the  State  of  Illinois as herein provided. The
15    Board shall also require, before issuing  any  license,  that
16    the  licensee shall execute and deliver to it a bond, payable
17    to the State of Illinois, in such sum as it shall  determine,
18    not,  however, in excess of fifty thousand dollars ($50,000),
19    with a surety or sureties to be approved by  it,  conditioned
20    for  the  payment of all sums due and payable or collected by
21    it under this Section upon admission fees  received  for  any
22    particular  racing meetings.  The Board may also from time to
23    time require sworn statements of the  number  or  numbers  of
24    such  admissions  and  may  prescribe  blanks upon which such
25    reports  shall  be  made.   Any  organization   licensee   or
26    inter-track wagering licensee failing or  refusing to pay the
27    amount  found  to  be due as herein provided, shall be deemed
28    guilty of a business offense and  upon  conviction  shall  be
29    punished  by  a  fine  of not more than five thousand dollars
30    ($5,000) in addition to the amount due from such organization
31    licensee or inter-track wagering licensee as herein provided.
32    All fines paid into court  by  an  organization  licensee  or
33    inter-track  wagering licensee found guilty of violating this
34    Section shall be transmitted and paid over by  the  clerk  of
 
                            -23-     LRB093 02207 LRD 16688 a
 1    the court to the Board.
 2        (c)  In  addition  to  the  admission  tax  imposed under
 3    subsection (a), a tax of $1 is hereby imposed for each person
 4    who enters the grounds  or  enclosure  of  each  organization
 5    licensee. The tax is imposed upon the organization licensee.
 6             (1)  The  admission  tax  shall  be  paid  for  each
 7        admission.
 8             (2)  An  organization  licensee  may  issue tax-free
 9        passes to actual and necessary officials and employees of
10        the licensee  and  other  persons  associated  with  race
11        meeting operations.
12             (3)  The  number  and issuance of tax-free passes is
13        subject to the rules of the Board,  and  a  list  of  all
14        persons  to  whom the tax-free passes are issued shall be
15        filed with the Board.
16             (4)  The organization licensee shall pay the  entire
17        admission  tax  to the Board. Such payments shall be made
18        daily. Accompanying each payment shall  be  a  return  on
19        forms  provided  by  the  Board which shall include other
20        information regarding admission as the Board may require.
21        Failure to submit either the payment or the return within
22        the specified time may result in suspension or revocation
23        of the organization licensee's license.
24             (5)  The Board  shall  administer  and  collect  the
25        admission  tax  imposed by this subsection, to the extent
26        practicable, in a manner consistent with  the  provisions
27        of  Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 6, 6a, 6b,
28        6c, 8, 9, and 10 of the Retailers' Occupation Tax Act and
29        Section 3-7 of the Uniform Penalty and Interest Act.  All
30        moneys collected by the Board shall be deposited into the
31        State Gaming Fund.
32    (Source: P.A. 88-495; 89-16, eff. 5-30-95.)

33        (230 ILCS 5/26) (from Ch. 8, par. 37-26)
 
                            -24-     LRB093 02207 LRD 16688 a
 1        Sec. 26. Wagering.
 2        (a)  Any   licensee   may   conduct   and  supervise  the
 3    pari-mutuel system of wagering, as defined in Section 3.12 of
 4    this  Act,  on  horse  races   conducted   by   an   Illinois
 5    organization  licensee or conducted at a racetrack located in
 6    another  state  or  country  and  televised  in  Illinois  in
 7    accordance with subsection (g) of Section  26  of  this  Act.
 8    Subject  to  the  prior  consent  of the Board, licensees may
 9    supplement any pari-mutuel  pool  in  order  to  guarantee  a
10    minimum  distribution.   Such  pari-mutuel method of wagering
11    shall not, under any circumstances  if  conducted  under  the
12    provisions  of this Act, be held or construed to be unlawful,
13    other statutes of this State to the contrary notwithstanding.
14    Subject to rules for  advance  wagering  promulgated  by  the
15    Board,  any  licensee may accept wagers in advance of the day
16    of the race wagered upon occurs.
17        (b)  Except as otherwise provided in Section 56, no other
18    method of betting, pool making, wagering or gambling shall be
19    used or permitted by the licensee.  Each licensee may retain,
20    subject to the payment of all applicable taxes and purses, an
21    amount  not  to  exceed  17%  of  all  money  wagered   under
22    subsection  (a)  of  this Section, except as may otherwise be
23    permitted under this Act.
24        (b-5)  An  individual  may  place  a  wager   under   the
25    pari-mutuel  system  from  any  licensed  location authorized
26    under this Act provided that wager is electronically recorded
27    in the manner described in Section  3.12  of  this  Act.  Any
28    wager  made  electronically by an individual while physically
29    on the premises of a licensee shall be deemed  to  have  been
30    made at the premises of that licensee.
31        (c)  Until  January 1, 2000, the sum held by any licensee
32    for payment of outstanding pari-mutuel tickets, if  unclaimed
33    prior  to  December 31 of the next year, shall be retained by
34    the licensee for payment of such  tickets  until  that  date.
 
                            -25-     LRB093 02207 LRD 16688 a
 1    Within  10 days thereafter, the balance of such sum remaining
 2    unclaimed, less any uncashed supplements contributed by  such
 3    licensee    for   the   purpose   of   guaranteeing   minimum
 4    distributions of any pari-mutuel pool, shall be paid  to  the
 5    Illinois Veterans' Rehabilitation Fund of the State treasury,
 6    except  as  provided  in subsection (g) of Section 27 of this
 7    Act.
 8        (c-5)  Beginning January 1, 2000, the  sum  held  by  any
 9    licensee  for  payment of outstanding pari-mutuel tickets, if
10    unclaimed prior to December 31 of the  next  year,  shall  be
11    retained  by  the  licensee for payment of such tickets until
12    that date.  Within 10 days thereafter, the  balance  of  such
13    sum   remaining  unclaimed,  less  any  uncashed  supplements
14    contributed by such licensee for the purpose of  guaranteeing
15    minimum  distributions  of  any  pari-mutuel  pool,  shall be
16    evenly distributed to the purse account of  the  organization
17    licensee and the organization licensee.
18        (d)  A pari-mutuel ticket shall be honored until December
19    31  of the next calendar year, and the licensee shall pay the
20    same and may charge the amount thereof against  unpaid  money
21    similarly  accumulated  on account of pari-mutuel tickets not
22    presented for payment.
23        (e)  No licensee shall knowingly permit any minor,  other
24    than  an  employee  of  such  licensee  or an owner, trainer,
25    jockey, driver, or employee thereof, to be admitted during  a
26    racing program unless accompanied by a parent or guardian, or
27    any  minor  to  be  a  patron  of  the  pari-mutuel system of
28    wagering conducted or supervised by it.  The admission of any
29    unaccompanied minor, other than an employee of  the  licensee
30    or  an owner, trainer, jockey, driver, or employee thereof at
31    a race track is a Class C misdemeanor.
32        (f)  Notwithstanding the other provisions of this Act, an
33    organization licensee may contract with an entity in  another
34    state  or  country  to  permit  any  legal wagering entity in
 
                            -26-     LRB093 02207 LRD 16688 a
 1    another state or country to accept wagers solely within  such
 2    other state or country on races conducted by the organization
 3    licensee  in  this  State.  Beginning  January 1, 2000, these
 4    wagers shall not be subject to State taxation.  Until January
 5    1, 2000, when the out-of-State entity conducts a  pari-mutuel
 6    pool separate from the organization licensee, a privilege tax
 7    equal  to  7  1/2% of all monies received by the organization
 8    licensee from entities in other states or countries  pursuant
 9    to  such  contracts  is imposed on the organization licensee,
10    and such privilege tax shall be remitted to the Department of
11    Revenue within 48 hours of receipt of  the  moneys  from  the
12    simulcast.   When the out-of-State entity conducts a combined
13    pari-mutuel pool with  the  organization  licensee,  the  tax
14    shall  be  10%  of  all  monies  received by the organization
15    licensee with 25% of the receipts from this  10%  tax  to  be
16    distributed to the county in which the race was conducted.
17        An  organization  licensee  may permit one or more of its
18    races to be utilized for pari-mutuel wagering at one or  more
19    locations  in  other states and may transmit audio and visual
20    signals of races the organization licensee conducts to one or
21    more locations outside the State  or  country  and  may  also
22    permit  pari-mutuel  pools in other states or countries to be
23    combined with  its  gross  or  net  wagering  pools  or  with
24    wagering pools established by other states.
25        (g)  A  host track may accept interstate simulcast wagers
26    on horse races conducted in other  states  or  countries  and
27    shall  control  the  number of signals and types of breeds of
28    racing in its simulcast program, subject to  the  disapproval
29    of  the  Board.   The  Board may prohibit a simulcast program
30    only if it  finds  that  the  simulcast  program  is  clearly
31    adverse to the integrity of racing.  The host track simulcast
32    program  shall  include  the  signal  of  live  racing of all
33    organization licensees. All non-host  licensees  shall  carry
34    the  host  track  simulcast  program and accept wagers on all
 
                            -27-     LRB093 02207 LRD 16688 a
 1    races included as part of the simulcast  program  upon  which
 2    wagering  is  permitted.  The  costs and expenses of the host
 3    track  and  non-host  licensees  associated  with  interstate
 4    simulcast wagering, other than the interstate commission fee,
 5    shall be borne by the host track and all  non-host  licensees
 6    incurring  these  costs.  The interstate commission fee shall
 7    not exceed 5% of Illinois handle on the interstate  simulcast
 8    race or races without prior approval of the Board.  The Board
 9    shall  promulgate  rules under which it may permit interstate
10    commission fees in excess of 5%.  The  interstate  commission
11    fee   and  other  fees  charged  by  the  sending  racetrack,
12    including, but not limited to, satellite decoder fees,  shall
13    be  uniformly  applied  to  the  host  track and all non-host
14    licensees.
15             (1)  Between the hours of 6:30 a.m. and 6:30 p.m. an
16        intertrack wagering licensee other than  the  host  track
17        may  supplement  the  host  track  simulcast program with
18        additional simulcast races  or  race  programs,  provided
19        that  between  January 1 and the third Friday in February
20        of any year, inclusive, if no live thoroughbred racing is
21        occurring  in   Illinois   during   this   period,   only
22        thoroughbred   races   may   be   used  for  supplemental
23        interstate simulcast purposes.  The Board shall  withhold
24        approval  for a supplemental interstate simulcast only if
25        it finds that the simulcast is  clearly  adverse  to  the
26        integrity of racing.  A supplemental interstate simulcast
27        may  be  transmitted from an intertrack wagering licensee
28        to its affiliated  non-host  licensees.   The  interstate
29        commission  fee  for  a supplemental interstate simulcast
30        shall be paid by the non-host licensee and its affiliated
31        non-host licensees receiving the simulcast.
32             (2)  Between the hours of 6:30 p.m. and 6:30 a.m. an
33        intertrack wagering licensee other than  the  host  track
34        may  receive supplemental interstate simulcasts only with
 
                            -28-     LRB093 02207 LRD 16688 a
 1        the consent of the host track,  except  when   the  Board
 2        finds  that  the  simulcast  is  clearly  adverse  to the
 3        integrity  of  racing.   Consent   granted   under   this
 4        paragraph  (2)  to any intertrack wagering licensee shall
 5        be  deemed  consent  to  all  non-host  licensees.    The
 6        interstate commission fee for the supplemental interstate
 7        simulcast  shall  be  paid  by all participating non-host
 8        licensees.
 9             (3)  Each licensee conducting  interstate  simulcast
10        wagering  may  retain,  subject  to  the  payment  of all
11        applicable taxes and the purses, an amount not to  exceed
12        17%  of all money wagered.  If any licensee conducts  the
13        pari-mutuel  system  wagering  on  races   conducted   at
14        racetracks in another state or country, each such race or
15        race  program  shall  be considered a separate racing day
16        for the purpose  of  determining  the  daily  handle  and
17        computing  the  privilege  tax  of  that  daily handle as
18        provided in subsection (a) of Section 27.  Until  January
19        1,  2000, from the sums permitted to be retained pursuant
20        to this subsection,  each  intertrack  wagering  location
21        licensee  shall  pay 1% of the pari-mutuel handle wagered
22        on simulcast wagering to the Horse Racing Tax  Allocation
23        Fund,  subject  to  the provisions of subparagraph (B) of
24        paragraph (11) of subsection (h) of Section  26  of  this
25        Act.
26             (4)  A licensee who receives an interstate simulcast
27        may  combine  its  gross  or  net pools with pools at the
28        sending racetracks pursuant to rules established  by  the
29        Board.   All  licensees  combining their gross pools at a
30        sending racetrack shall adopt the take-out percentages of
31        the sending racetrack. A licensee may  also  establish  a
32        separate pool and takeout structure for wagering purposes
33        on races conducted at race tracks outside of the State of
34        Illinois.   The  licensee  may  permit pari-mutuel wagers
 
                            -29-     LRB093 02207 LRD 16688 a
 1        placed in other states or countries to be  combined  with
 2        its gross or net wagering pools or other wagering pools.
 3             (5)  After  the payment of the interstate commission
 4        fee (except  for  the  interstate  commission  fee  on  a
 5        supplemental interstate simulcast, which shall be paid by
 6        the  host track and by each non-host licensee through the
 7        host-track) and all applicable  State  and  local  taxes,
 8        except  as  provided  in  subsection (g) of Section 27 of
 9        this Act, the remainder of moneys retained from simulcast
10        wagering pursuant to this  subsection  (g),  and  Section
11        26.2 shall be divided as follows:
12                  (A)  For  interstate simulcast wagers made at a
13             host track, 50% to the host track and 50% to  purses
14             at the host track.
15                  (B)  For  wagers placed on interstate simulcast
16             races,  supplemental  simulcasts   as   defined   in
17             subparagraphs  (1)  and  (2),  and separately pooled
18             races conducted outside of  the  State  of  Illinois
19             made  at a non-host licensee, 25% to the host track,
20             25% to the non-host licensee, and 50% to the  purses
21             at the host track.
22             (6)  Notwithstanding  any  provision  in this Act to
23        the  contrary,  non-host  licensees  who   derive   their
24        licenses  from  a  track  located  in  a  county  with  a
25        population  in  excess  of  230,000  and that borders the
26        Mississippi River  may  receive  supplemental  interstate
27        simulcast  races  at all times subject to Board approval,
28        which shall be  withheld  only  upon  a  finding  that  a
29        supplemental  interstate  simulcast is clearly adverse to
30        the integrity of racing.
31             (7)  Notwithstanding any provision of  this  Act  to
32        the  contrary,  after payment of all applicable State and
33        local taxes  and  interstate  commission  fees,  non-host
34        licensees  who derive their licenses from a track located
 
                            -30-     LRB093 02207 LRD 16688 a
 1        in a county with a population in excess  of  230,000  and
 2        that  borders  the  Mississippi River shall retain 50% of
 3        the retention from interstate simulcast wagers and  shall
 4        pay  50%  to  purses at the track from which the non-host
 5        licensee derives its license as follows:
 6                  (A)  Between January 1 and the third Friday  in
 7             February,  inclusive, if no live thoroughbred racing
 8             is occurring in Illinois during  this  period,  when
 9             the interstate simulcast is a standardbred race, the
10             purse share to its standardbred purse account;
11                  (B)  Between  January 1 and the third Friday in
12             February, inclusive, if no live thoroughbred  racing
13             is occurring in Illinois during this period, and the
14             interstate  simulcast  is  a  thoroughbred race, the
15             purse share to its interstate simulcast  purse  pool
16             to  be  distributed  under  paragraph  (10)  of this
17             subsection (g);
18                  (C)  Between January 1 and the third Friday  in
19             February,  inclusive, if live thoroughbred racing is
20             occurring in Illinois, between 6:30  a.m.  and  6:30
21             p.m.  the  purse  share from wagers made during this
22             time period to its thoroughbred  purse  account  and
23             between 6:30 p.m. and 6:30 a.m. the purse share from
24             wagers   made   during   this  time  period  to  its
25             standardbred purse accounts;
26                  (D)  Between the third Saturday in February and
27             December 31, when the  interstate  simulcast  occurs
28             between  the  hours  of 6:30 a.m. and 6:30 p.m., the
29             purse share to its thoroughbred purse account;
30                  (E)  Between the third Saturday in February and
31             December 31, when the  interstate  simulcast  occurs
32             between  the  hours  of 6:30 p.m. and 6:30 a.m., the
33             purse share to its standardbred purse account.
34             (7.1)  Notwithstanding any other provision  of  this
 
                            -31-     LRB093 02207 LRD 16688 a
 1        Act  to  the  contrary,  if  no  standardbred  racing  is
 2        conducted at a racetrack located in Madison County during
 3        any  calendar year beginning on or after January 1, 2002,
 4        all moneys  derived  by  that  racetrack  from  simulcast
 5        wagering and inter-track wagering that (1) are to be used
 6        for  purses  and  (2)  are generated between the hours of
 7        6:30 p.m. and 6:30 a.m. during that calendar  year  shall
 8        be paid as follows:
 9                  (A)  If the licensee that conducts horse racing
10             at  that  racetrack requests from the Board at least
11             as many racing dates as were conducted  in  calendar
12             year  2000,  80%  shall  be paid to its thoroughbred
13             purse account; and
14                  (B)  Twenty percent shall be deposited into the
15             Illinois Colt Stakes  Purse  Distribution  Fund  and
16             shall  be  paid to purses for standardbred races for
17             Illinois conceived and foaled  horses  conducted  at
18             any  county  fairgrounds.  The moneys deposited into
19             the Fund pursuant to this subparagraph (B) shall  be
20             deposited  within  2  weeks  after the day they were
21             generated, shall be in addition to and not  in  lieu
22             of  any  other  moneys  paid  to standardbred purses
23             under this Act, and shall  not  be  commingled  with
24             other  moneys  paid  into  that  Fund.   The  moneys
25             deposited pursuant to this subparagraph (B) shall be
26             allocated   as   provided   by   the  Department  of
27             Agriculture, with the advice and assistance  of  the
28             Illinois Standardbred Breeders Fund Advisory Board.
29             (7.2)  Notwithstanding  any  other provision of this
30        Act  to  the  contrary,  if  no  thoroughbred  racing  is
31        conducted at a racetrack located in Madison County during
32        any calendar year beginning on or after January 1,  2002,
33        all  moneys  derived  by  that  racetrack  from simulcast
34        wagering and inter-track wagering that (1) are to be used
 
                            -32-     LRB093 02207 LRD 16688 a
 1        for purses and (2) are generated  between  the  hours  of
 2        6:30  a.m.  and 6:30 p.m. during that calendar year shall
 3        be deposited as follows:
 4                  (A)  If the licensee that conducts horse racing
 5             at that racetrack requests from the Board  at  least
 6             as  many  racing dates as were conducted in calendar
 7             year  2000,  80%  shall  be   deposited   into   its
 8             standardbred purse account; and
 9                  (B)  Twenty percent shall be deposited into the
10             Illinois   Colt   Stakes  Purse  Distribution  Fund.
11             Moneys deposited into the Illinois Colt Stakes Purse
12             Distribution Fund pursuant to this subparagraph  (B)
13             shall  be  paid  to  Illinois  conceived  and foaled
14             thoroughbred breeders' programs and to  thoroughbred
15             purses for races conducted at any county fairgrounds
16             for  Illinois  conceived  and  foaled  horses at the
17             discretion of the Department  of  Agriculture,  with
18             the   advice   and   assistance   of   the  Illinois
19             Thoroughbred  Breeders  Fund  Advisory  Board.   The
20             moneys deposited into the Illinois Colt Stakes Purse
21             Distribution Fund pursuant to this subparagraph  (B)
22             shall be deposited within 2 weeks after the day they
23             were  generated,  shall be in addition to and not in
24             lieu of any other moneys paid to thoroughbred purses
25             under this Act, and shall  not  be  commingled  with
26             other moneys deposited into that Fund.
27             (7.3)  If  no  live standardbred racing is conducted
28        at a racetrack located in Madison County in calendar year
29        2000 or 2001, an organization licensee who is licensed to
30        conduct horse racing  at  that  racetrack  shall,  before
31        January  1,  2002,  pay all moneys derived from simulcast
32        wagering and inter-track wagering in calendar years  2000
33        and  2001 and paid into the licensee's standardbred purse
34        account as follows:
 
                            -33-     LRB093 02207 LRD 16688 a
 1                  (A)  Eighty   percent   to   that    licensee's
 2             thoroughbred   purse   account   to   be   used  for
 3             thoroughbred purses; and
 4                  (B)  Twenty percent to the Illinois Colt Stakes
 5             Purse Distribution Fund.
 6             Failure to make the payment  to  the  Illinois  Colt
 7        Stakes  Purse  Distribution  Fund  before January 1, 2002
 8        shall  result  in  the  immediate   revocation   of   the
 9        licensee's  organization  license,  inter-track  wagering
10        license, and inter-track wagering location license.
11             Moneys  paid  into  the  Illinois  Colt Stakes Purse
12        Distribution Fund pursuant to this paragraph (7.3)  shall
13        be  paid  to  purses  for standardbred races for Illinois
14        conceived and  foaled  horses  conducted  at  any  county
15        fairgrounds.  Moneys  paid  into the Illinois Colt Stakes
16        Purse Distribution Fund pursuant to this paragraph  (7.3)
17        shall   be  used  as  determined  by  the  Department  of
18        Agriculture,  with  the  advice  and  assistance  of  the
19        Illinois Standardbred Breeders Fund Advisory Board, shall
20        be in addition to and not in lieu  of  any  other  moneys
21        paid to standardbred purses under this Act, and shall not
22        be commingled with any other moneys paid into that Fund.
23             (7.4)  If live standardbred racing is conducted at a
24        racetrack  located  in  Madison  County  at  any  time in
25        calendar year 2001  before  the  payment  required  under
26        paragraph  (7.3) has been made, the organization licensee
27        who is licensed to conduct racing at that racetrack shall
28        pay all moneys derived by that racetrack  from  simulcast
29        wagering  and  inter-track wagering during calendar years
30        2000 and 2001 that (1) are to be used for purses and  (2)
31        are  generated  between  the  hours of 6:30 p.m. and 6:30
32        a.m. during  2000  or  2001  to  the  standardbred  purse
33        account  at  that  racetrack  to be used for standardbred
34        purses.
 
                            -34-     LRB093 02207 LRD 16688 a
 1             (8)  Notwithstanding any provision in  this  Act  to
 2        the  contrary,  an  organization  licensee  from  a track
 3        located in a  county  with  a  population  in  excess  of
 4        230,000  and  that  borders the Mississippi River and its
 5        affiliated non-host licensees shall not  be  entitled  to
 6        share  in  any retention generated on racing, inter-track
 7        wagering, or simulcast wagering  at  any  other  Illinois
 8        wagering facility.
 9             (8.1)  Notwithstanding any provisions in this Act to
10        the  contrary, if 2 organization licensees are conducting
11        standardbred race meetings concurrently between the hours
12        of  6:30  p.m.  and  6:30  a.m.,  after  payment  of  all
13        applicable  State  and   local   taxes   and   interstate
14        commission  fees,  the  remainder  of the amount retained
15        from simulcast wagering  otherwise  attributable  to  the
16        host  track and to host track purses shall be split daily
17        between the 2 organization licensees and  the  purses  at
18        the tracks of the 2 organization licensees, respectively,
19        based  on each organization licensee's share of the total
20        live handle for that day, provided  that  this  provision
21        shall not apply to any non-host licensee that derives its
22        license   from  a  track  located  in  a  county  with  a
23        population in excess of  230,000  and  that  borders  the
24        Mississippi River.
25             (9)  (Blank).
26             (10)  (Blank).
27             (11)  (Blank).
28             (12)  The  Board  shall have authority to compel all
29        host tracks to receive the simulcast of any or all  races
30        conducted at the Springfield or DuQuoin State fairgrounds
31        and  include  all  such  races as part of their simulcast
32        programs.
33             (13)  Notwithstanding any other  provision  of  this
34        Act,  in  the  event  that the total Illinois pari-mutuel
 
                            -35-     LRB093 02207 LRD 16688 a
 1        handle on Illinois horse races at all wagering facilities
 2        in any calendar year  is  less  than  75%  of  the  total
 3        Illinois  pari-mutuel  handle  on Illinois horse races at
 4        all such wagering facilities for calendar year 1994, then
 5        each wagering facility that has an annual total  Illinois
 6        pari-mutuel  handle  on Illinois horse races that is less
 7        than 75% of the  total  Illinois  pari-mutuel  handle  on
 8        Illinois  horse  races  at  such  wagering  facility  for
 9        calendar  year  1994, shall be permitted to receive, from
10        any amount otherwise payable to the purse account at  the
11        race track with which the wagering facility is affiliated
12        in the succeeding calendar year, an amount equal to 2% of
13        the  differential in total Illinois pari-mutuel handle on
14        Illinois horse races at  the  wagering  facility  between
15        that   calendar  year  in  question  and  1994  provided,
16        however, that a wagering facility shall not  be  entitled
17        to  any such payment until the Board certifies in writing
18        to the wagering facility the amount to which the wagering
19        facility is entitled and a schedule for  payment  of  the
20        amount to the wagering facility, based on: (i) the racing
21        dates  awarded  to  the  race  track  affiliated with the
22        wagering facility during the succeeding  year;  (ii)  the
23        sums  available  or  anticipated  to  be available in the
24        purse account of  the  race  track  affiliated  with  the
25        wagering  facility for purses during the succeeding year;
26        and (iii) the need  to  ensure  reasonable  purse  levels
27        during  the  payment  period.  The  Board's certification
28        shall be  provided  no  later  than  January  31  of  the
29        succeeding   year.  In  the  event  a  wagering  facility
30        entitled to  a  payment  under  this  paragraph  (13)  is
31        affiliated   with  a  race  track  that  maintains  purse
32        accounts for both standardbred and  thoroughbred  racing,
33        the  amount  to be paid to the wagering facility shall be
34        divided between each purse account pro rata, based on the
 
                            -36-     LRB093 02207 LRD 16688 a
 1        amount of Illinois handle on  Illinois  standardbred  and
 2        thoroughbred racing respectively at the wagering facility
 3        during  the previous calendar year. Annually, the General
 4        Assembly shall  appropriate  sufficient  funds  from  the
 5        General Revenue Fund to the Department of Agriculture for
 6        payment  into  the  thoroughbred  and  standardbred horse
 7        racing purse accounts  at  Illinois  pari-mutuel  tracks.
 8        The amount paid to each purse account shall be the amount
 9        certified  by the Illinois Racing Board in  January to be
10        transferred from each account  to  each  eligible  racing
11        facility  in  accordance  with  the  provisions  of  this
12        Section. An organization licensee shall no longer be able
13        to  receive  payments under this paragraph (13) beginning
14        on the January  1  first  occurring  after  the  licensee
15        begins   conducting  electronic  gaming  pursuant  to  an
16        electronic gaming license issued under Section 7.4 of the
17        Riverboat Gambling Act. For the calendar year in which an
18        organization licensee  that  is  eligible  to  receive  a
19        payment  under  this  paragraph  (13)  begins  conducting
20        electronic   gaming  pursuant  to  an  electronic  gaming
21        license, the amount of that payment shall be reduced by a
22        percentage equal to the percentage of the year  remaining
23        after   the   organization   licensee  begins  conducting
24        electronic  gaming  pursuant  to  its  electronic  gaming
25        license. Beginning on January 1, 2005, the provisions  of
26        this paragraph (13) shall be of no force and effect.
27        (h)  The  Board  may  approve  and license the conduct of
28    inter-track wagering and simulcast  wagering  by  inter-track
29    wagering   licensees   and   inter-track   wagering  location
30    licensees subject to the following terms and conditions:
31             (1)  Any person licensed to conduct a  race  meeting
32        (i)  at  a  track  where  60  or more days of racing were
33        conducted during the immediately preceding calendar  year
34        or  where over the 5 immediately preceding calendar years
 
                            -37-     LRB093 02207 LRD 16688 a
 1        an average of 30 or more days of  racing  were  conducted
 2        annually  may  be issued an inter-track wagering license;
 3        (ii) at a track located in a county that  is  bounded  by
 4        the  Mississippi  River,  which  has a population of less
 5        than 150,000 according to the 1990 decennial census,  and
 6        an average of at least 60 days of racing per year between
 7        1985  and  1993  may  be  issued  an inter-track wagering
 8        license; or (iii) at a track located  in  Madison  County
 9        that  conducted  at  least 100 days of live racing during
10        the immediately preceding calendar year may be issued  an
11        inter-track wagering license, unless a lesser schedule of
12        live  racing  is  the result of (A) weather, unsafe track
13        conditions, or  other  acts  of  God;  (B)  an  agreement
14        between  the  organization  licensee and the associations
15        representing the  largest  number  of  owners,  trainers,
16        jockeys,  or standardbred drivers who race horses at that
17        organization licensee's racing meeting; or (C) a  finding
18        by  the  Board of extraordinary circumstances and that it
19        was in the best interest of the public and the  sport  to
20        conduct  fewer  than  100  days  of live racing. Any such
21        person having operating control of  the  racing  facility
22        may  also  receive  up to 6 inter-track wagering location
23        licenses. In no  event  shall  more  than  6  inter-track
24        wagering  locations be established for each eligible race
25        track, except that an eligible race track  located  in  a
26        county  that  has  a  population of more than 230,000 and
27        that is bounded by the Mississippi River may establish up
28        to 7 inter-track wagering locations. An  application  for
29        said  license shall be filed with the Board prior to such
30        dates as may be fixed by the Board.  With an  application
31        for  an inter-track wagering location license there shall
32        be delivered to the Board a certified check or bank draft
33        payable to the order of the Board for an amount equal  to
34        $500.  The  application  shall be on forms prescribed and
 
                            -38-     LRB093 02207 LRD 16688 a
 1        furnished by the Board.   The  application  shall  comply
 2        with  all other rules, regulations and conditions imposed
 3        by the Board in connection therewith.
 4             (2)  The Board shall examine the  applications  with
 5        respect  to  their conformity with this Act and the rules
 6        and regulations imposed by the Board.  If found to be  in
 7        compliance  with the Act and rules and regulations of the
 8        Board, the Board may then  issue  a  license  to  conduct
 9        inter-track  wagering  and  simulcast  wagering  to  such
10        applicant.   All such applications shall be acted upon by
11        the Board at a meeting to be held on such date as may  be
12        fixed by the Board.
13             (3)  In  granting  licenses  to  conduct inter-track
14        wagering and simulcast wagering, the Board shall give due
15        consideration to the best interests  of  the  public,  of
16        horse racing, and of maximizing revenue to the State.
17             (4)  Prior  to  the issuance of a license to conduct
18        inter-track  wagering   and   simulcast   wagering,   the
19        applicant shall file with the Board a bond payable to the
20        State  of Illinois in the sum of $50,000, executed by the
21        applicant and a surety company or companies authorized to
22        do business in this State, and conditioned upon  (i)  the
23        payment by the licensee of all taxes due under Section 27
24        or  27.1  and any other monies due and payable under this
25        Act,  and  (ii)  distribution  by  the   licensee,   upon
26        presentation  of  the  winning  ticket or tickets, of all
27        sums payable to the patrons of pari-mutuel pools.
28             (5)  Each license to  conduct  inter-track  wagering
29        and  simulcast  wagering shall specify the person to whom
30        it is  issued,  the  dates  on  which  such  wagering  is
31        permitted,  and  the track or location where the wagering
32        is to be conducted.
33             (6)  All wagering under such license is  subject  to
34        this  Act  and  to the rules and regulations from time to
 
                            -39-     LRB093 02207 LRD 16688 a
 1        time prescribed by the  Board,  and  every  such  license
 2        issued  by  the  Board  shall  contain  a recital to that
 3        effect.
 4             (7)  An inter-track wagering licensee or inter-track
 5        wagering location licensee may accept wagers at the track
 6        or  location  where  it  is  licensed,  or  as  otherwise
 7        provided under this Act.
 8             (8)  Inter-track  wagering  or  simulcast   wagering
 9        shall  not  be  conducted  at any track less than 5 miles
10        from a track at which a racing meeting is in progress.
11             (8.1)  Inter-track wagering location  licensees  who
12        derive  their  licenses  from  a  particular organization
13        licensee shall conduct inter-track wagering and simulcast
14        wagering only at locations which  are  either  within  90
15        miles   of   that   race   track   where  the  particular
16        organization licensee is licensed to conduct  racing,  or
17        within  135 miles of that race track where the particular
18        organization licensee is licensed to  conduct  racing  in
19        the  case of race tracks in counties of less than 400,000
20        that were operating on or before June 1, 1986.   However,
21        inter-track  wagering and simulcast wagering shall not be
22        conducted by those licensees at  any  location  within  5
23        miles of any race track at which a horse race meeting has
24        been  licensed  in  the  current  year, unless the person
25        having operating control of such race track has given its
26        written consent to  such  inter-track  wagering  location
27        licensees,  which consent must be filed with the Board at
28        or prior to the time application is made.
29             (8.2)  Inter-track wagering  or  simulcast  wagering
30        shall   not  be  conducted  by  an  inter-track  wagering
31        location licensee at any location within 500 feet  of  an
32        existing  church  or existing school, nor within 500 feet
33        of the residences  of  more  than  50  registered  voters
34        without  receiving  written permission from a majority of
 
                            -40-     LRB093 02207 LRD 16688 a
 1        the registered voters at such  residences.  Such  written
 2        permission statements shall be filed with the Board.  The
 3        distance  of  500  feet  shall be measured to the nearest
 4        part of any building used for worship services, education
 5        programs, residential purposes, or conducting inter-track
 6        wagering by an inter-track  wagering  location  licensee,
 7        and  not  to  property  boundaries.  However, inter-track
 8        wagering or simulcast wagering may be conducted at a site
 9        within 500 feet of a church, school or residences  of  50
10        or  more  registered  voters  if  such  church, school or
11        residences have been  erected  or  established,  or  such
12        voters  have  been registered, after the Board issues the
13        original inter-track wagering  location  license  at  the
14        site in question. Inter-track wagering location licensees
15        may  conduct  inter-track wagering and simulcast wagering
16        only  in  areas  that  are  zoned   for   commercial   or
17        manufacturing  purposes  or  in areas for which a special
18        use has been approved  by  the  local  zoning  authority.
19        However,  no  license to conduct inter-track wagering and
20        simulcast wagering shall be granted  by  the  Board  with
21        respect  to  any inter-track wagering location within the
22        jurisdiction of any local zoning authority which has,  by
23        ordinance  or by resolution, prohibited the establishment
24        of  an   inter-track   wagering   location   within   its
25        jurisdiction.     However,   inter-track   wagering   and
26        simulcast wagering may be conducted at  a  site  if  such
27        ordinance  or  resolution  is  enacted  after  the  Board
28        licenses   the  original  inter-track  wagering  location
29        licensee for the site in question.
30             (9)  (Blank).
31             (10)  An  inter-track  wagering   licensee   or   an
32        inter-track   wagering   location  licensee  may  retain,
33        subject to the payment of the  privilege  taxes  and  the
34        purses, an amount not to exceed 17% of all money wagered.
 
                            -41-     LRB093 02207 LRD 16688 a
 1        Each  program  of  racing  conducted  by each inter-track
 2        wagering  licensee  or  inter-track   wagering   location
 3        licensee  shall  be  considered a separate racing day for
 4        the purpose of determining the daily handle and computing
 5        the privilege tax or pari-mutuel tax on such daily handle
 6        as provided in Section 27.
 7             (10.1)  Except as  provided  in  subsection  (g)  of
 8        Section  27  of  this  Act, inter-track wagering location
 9        licensees shall pay 1% of the pari-mutuel handle at  each
10        location  to  the  municipality in which such location is
11        situated  and  1%  of  the  pari-mutuel  handle  at  each
12        location  to  the  county  in  which  such  location   is
13        situated.   In  the  event  that  an inter-track wagering
14        location licensee is situated in an  unincorporated  area
15        of   a   county,  such  licensee  shall  pay  2%  of  the
16        pari-mutuel handle from such location to such county.
17             (10.2)  Notwithstanding any other provision of  this
18        Act,  with respect to intertrack wagering at a race track
19        located in a county that has a population  of  more  than
20        230,000  and  that  is  bounded  by the Mississippi River
21        ("the first race track"), or at a facility operated by an
22        inter-track wagering  licensee  or  inter-track  wagering
23        location  licensee  that  derives  its  license  from the
24        organization licensee that operates the first race track,
25        on races conducted at the first race track  or  on  races
26        conducted    at   another   Illinois   race   track   and
27        simultaneously televised to the first race track or to  a
28        facility  operated by an inter-track wagering licensee or
29        inter-track wagering location licensee that  derives  its
30        license  from the organization licensee that operates the
31        first race track, those  moneys  shall  be  allocated  as
32        follows:
33                  (A)  That  portion  of  all  moneys  wagered on
34             standardbred racing that is required under this  Act
 
                            -42-     LRB093 02207 LRD 16688 a
 1             to  be  paid  to  purses shall be paid to purses for
 2             standardbred races.
 3                  (B)  That portion  of  all  moneys  wagered  on
 4             thoroughbred  racing that is required under this Act
 5             to be paid to purses shall be  paid  to  purses  for
 6             thoroughbred races.
 7             (11) (A)  After   payment   of   the   privilege  or
 8        pari-mutuel tax, any  other  applicable  taxes,  and  the
 9        costs  and  expenses  in  connection  with the gathering,
10        transmission, and dissemination of all data necessary  to
11        the conduct of inter-track wagering, the remainder of the
12        monies  retained  under either Section 26 or Section 26.2
13        of this Act  by  the  inter-track  wagering  licensee  on
14        inter-track  wagering  shall  be allocated with 50% to be
15        split between the 2 participating licensees  and  50%  to
16        purses,  except that an intertrack wagering licensee that
17        derives its license from a track located in a county with
18        a population in excess of 230,000 and  that  borders  the
19        Mississippi   River   shall   not  divide  any  remaining
20        retention with the Illinois  organization  licensee  that
21        provides  the  race  or races, and an intertrack wagering
22        licensee that accepts wagers on  races  conducted  by  an
23        organization  licensee  that  conducts  a  race meet in a
24        county with a population in excess of  230,000  and  that
25        borders  the  Mississippi  River  shall  not  divide  any
26        remaining retention with that organization licensee.
27             (B)  From the sums permitted to be retained pursuant
28        to  this  Act each inter-track wagering location licensee
29        shall pay (i) the privilege or  pari-mutuel  tax  to  the
30        State; (ii) 4.75% of the pari-mutuel handle on intertrack
31        wagering at such location on races as purses, except that
32        an intertrack wagering location licensee that derives its
33        license   from  a  track  located  in  a  county  with  a
34        population in excess of  230,000  and  that  borders  the
 
                            -43-     LRB093 02207 LRD 16688 a
 1        Mississippi  River  shall retain all purse moneys for its
 2        own purse account consistent with distribution set  forth
 3        in  this subsection (h), and intertrack wagering location
 4        licensees that accept wagers on  races  conducted  by  an
 5        organization   licensee   located  in  a  county  with  a
 6        population in excess of  230,000  and  that  borders  the
 7        Mississippi  River  shall  distribute all purse moneys to
 8        purses at the operating host track; (iii)  until  January
 9        1,  2000, except as provided in subsection (g) of Section
10        27 of this Act, 1% of the pari-mutuel handle  wagered  on
11        inter-track  wagering  and  simulcast  wagering  at  each
12        inter-track  wagering  location  licensee facility to the
13        Horse Racing Tax Allocation Fund, provided that,  to  the
14        extent  the total amount collected and distributed to the
15        Horse Racing Tax Allocation Fund  under  this  subsection
16        (h) during any calendar year exceeds the amount collected
17        and  distributed  to the Horse Racing Tax Allocation Fund
18        during calendar year 1994, that excess  amount  shall  be
19        redistributed  (I)  to  all inter-track wagering location
20        licensees, based on each licensee's pro-rata share of the
21        total handle  from  inter-track  wagering  and  simulcast
22        wagering  for all inter-track wagering location licensees
23        during the calendar  year  in  which  this  provision  is
24        applicable;  then  (II) the amounts redistributed to each
25        inter-track wagering location licensee  as  described  in
26        subpart (I) shall be further redistributed as provided in
27        subparagraph  (B)  of  paragraph (5) of subsection (g) of
28        this Section 26 provided first, that the shares of  those
29        amounts,  which are to be redistributed to the host track
30        or to purses at the host track under subparagraph (B)  of
31        paragraph  (5) of subsection (g) of this Section 26 shall
32        be redistributed based on  each  host  track's  pro  rata
33        share  of  the  total  inter-track wagering and simulcast
34        wagering handle at all host tracks  during  the  calendar
 
                            -44-     LRB093 02207 LRD 16688 a
 1        year   in   question,   and   second,  that  any  amounts
 2        redistributed as described in part (I) to an  inter-track
 3        wagering  location  licensee that accepts wagers on races
 4        conducted by an organization  licensee  that  conducts  a
 5        race  meet  in  a  county  with a population in excess of
 6        230,000 and that borders the Mississippi River  shall  be
 7        further  redistributed  as  provided in subparagraphs (D)
 8        and (E) of  paragraph  (7)  of  subsection  (g)  of  this
 9        Section   26,   with   the   portion   of   that  further
10        redistribution allocated to purses at  that  organization
11        licensee  to  be  divided between standardbred purses and
12        thoroughbred  purses  based  on  the  amounts   otherwise
13        allocated  to purses at that organization licensee during
14        the calendar year  in  question;   and  (iv)  8%  of  the
15        pari-mutuel  handle  on  inter-track  wagering wagered at
16        such location  to  satisfy  all  costs  and  expenses  of
17        conducting  its  wagering.  The  remainder  of the monies
18        retained by the inter-track  wagering  location  licensee
19        shall  be  allocated 40% to the location licensee and 60%
20        to the organization licensee which provides the  Illinois
21        races to the location, except that an intertrack wagering
22        location  licensee  that derives its license from a track
23        located in a  county  with  a  population  in  excess  of
24        230,000  and that borders the Mississippi River shall not
25        divide any  remaining  retention  with  the  organization
26        licensee   that   provides  the  race  or  races  and  an
27        intertrack wagering location licensee that accepts wagers
28        on races  conducted  by  an  organization  licensee  that
29        conducts  a  race  meet  in a county with a population in
30        excess of 230,000 and that borders the Mississippi  River
31        shall   not  divide  any  remaining  retention  with  the
32        organization licensee. Notwithstanding the provisions  of
33        clauses  (ii)  and (iv) of this paragraph, in the case of
34        the additional  inter-track  wagering  location  licenses
 
                            -45-     LRB093 02207 LRD 16688 a
 1        authorized  under paragraph (1) of this subsection (h) by
 2        this amendatory Act of 1991, those  licensees  shall  pay
 3        the  following  amounts  as  purses:  during the first 12
 4        months  the  licensee  is  in  operation,  5.25%  of  the
 5        pari-mutuel handle wagered  at  the  location  on  races;
 6        during  the  second 12 months, 5.25%; during the third 12
 7        months, 5.75%; during the fourth 12  months,  6.25%;  and
 8        during  the  fifth  12  months and thereafter, 6.75%. The
 9        following amounts shall be retained by  the  licensee  to
10        satisfy   all   costs  and  expenses  of  conducting  its
11        wagering: during the first 12 months the licensee  is  in
12        operation, 8.25% of the pari-mutuel handle wagered at the
13        location;  during the second 12 months, 8.25%; during the
14        third 12 months, 7.75%;  during  the  fourth  12  months,
15        7.25%;  and  during  the  fifth 12 months and thereafter,
16        6.75%.  For  additional  intertrack   wagering   location
17        licensees  authorized  under this amendatory Act of 1995,
18        purses for  the  first  12  months  the  licensee  is  in
19        operation  shall  be  5.75% of the pari-mutuel wagered at
20        the  location,  purses  for  the  second  12  months  the
21        licensee is in  operation  shall  be  6.25%,  and  purses
22        thereafter  shall  be  6.75%.   For additional intertrack
23        location licensees authorized under this  amendatory  Act
24        of  1995,  the  licensee  shall  be  allowed to retain to
25        satisfy all costs and expenses: 7.75% of the  pari-mutuel
26        handle wagered at the location during its first 12 months
27        of  operation,  7.25%  during  its  second  12  months of
28        operation, and 6.75% thereafter.
29             (C)  There is hereby created the  Horse  Racing  Tax
30        Allocation  Fund  which  shall  remain in existence until
31        December 31, 1999.  Moneys remaining in  the  Fund  after
32        December  31, 1999 shall be paid into the General Revenue
33        Fund.  Until January 1, 2000, all monies  paid  into  the
34        Horse   Racing  Tax  Allocation  Fund  pursuant  to  this
 
                            -46-     LRB093 02207 LRD 16688 a
 1        paragraph (11) by inter-track wagering location licensees
 2        located in park districts of 500,000 population or  less,
 3        or in a municipality that is not included within any park
 4        district  but  is included within a conservation district
 5        and is the county seat of a county that (i) is contiguous
 6        to the state of Indiana and (ii) has a 1990 population of
 7        88,257 according to  the  United  States  Bureau  of  the
 8        Census,  and  operating on May 1, 1994 shall be allocated
 9        by appropriation as follows:
10                  Two-sevenths to the Department of  Agriculture.
11             Fifty  percent of this two-sevenths shall be used to
12             promote  the  Illinois  horse  racing  and  breeding
13             industry, and shall be distributed by the Department
14             of  Agriculture  upon  the  advice  of  a   9-member
15             committee  appointed  by  the Governor consisting of
16             the following members: the Director of  Agriculture,
17             who  shall  serve  as chairman; 2 representatives of
18             organization licensees conducting thoroughbred  race
19             meetings   in   this  State,  recommended  by  those
20             licensees;   2   representatives   of   organization
21             licensees conducting standardbred race  meetings  in
22             this   State,  recommended  by  those  licensees;  a
23             representative of the Illinois Thoroughbred Breeders
24             and   Owners   Foundation,   recommended   by   that
25             Foundation;  a  representative   of   the   Illinois
26             Standardbred   Owners   and   Breeders  Association,
27             recommended by that Association; a representative of
28             the Horsemen's Benevolent and Protective Association
29             or any successor organization thereto established in
30             Illinois comprised of the largest number  of  owners
31             and  trainers,  recommended  by  that Association or
32             that successor organization; and a representative of
33             the   Illinois   Harness   Horsemen's   Association,
34             recommended by that Association.  Committee  members
 
                            -47-     LRB093 02207 LRD 16688 a
 1             shall serve for terms of 2 years, commencing January
 2             1  of  each even-numbered year.  If a representative
 3             of any of the  above-named  entities  has  not  been
 4             recommended  by January 1 of any even-numbered year,
 5             the Governor shall appoint  a  committee  member  to
 6             fill that position.  Committee members shall receive
 7             no  compensation  for  their services as members but
 8             shall be reimbursed for  all  actual  and  necessary
 9             expenses   and   disbursements   incurred   in   the
10             performance of their official duties.  The remaining
11             50%  of  this  two-sevenths  shall be distributed to
12             county fairs for premiums and rehabilitation as  set
13             forth in the Agricultural Fair Act;
14                  Four-sevenths     to    park    districts    or
15             municipalities that do not have a park  district  of
16             500,000  population  or less for museum purposes (if
17             an inter-track wagering location licensee is located
18             in  such  a  park  district)  or   to   conservation
19             districts  for  museum  purposes  (if an inter-track
20             wagering  location  licensee   is   located   in   a
21             municipality  that  is  not included within any park
22             district  but  is  included  within  a  conservation
23             district and is the county seat of a county that (i)
24             is contiguous to the state of Indiana and (ii) has a
25             1990 population of 88,257 according  to  the  United
26             States  Bureau  of  the  Census,  except that if the
27             conservation district does not  maintain  a  museum,
28             the  monies  shall  be allocated equally between the
29             county and the municipality in which the inter-track
30             wagering location licensee is  located  for  general
31             purposes)  or  to  a  municipal recreation board for
32             park purposes (if an inter-track  wagering  location
33             licensee  is  located  in a municipality that is not
34             included  within  any   park   district   and   park
 
                            -48-     LRB093 02207 LRD 16688 a
 1             maintenance   is   the  function  of  the  municipal
 2             recreation board and the  municipality  has  a  1990
 3             population  of  9,302 according to the United States
 4             Bureau of the Census); provided that the monies  are
 5             distributed  to  each  park district or conservation
 6             district or municipality that does not have  a  park
 7             district  in an amount equal to four-sevenths of the
 8             amount  collected  by  each   inter-track   wagering
 9             location   licensee  within  the  park  district  or
10             conservation district or municipality for the  Fund.
11             Monies  that  were  paid  into  the Horse Racing Tax
12             Allocation Fund before the effective  date  of  this
13             amendatory  Act  of  1991 by an inter-track wagering
14             location licensee located in a municipality that  is
15             not   included  within  any  park  district  but  is
16             included within a conservation district as  provided
17             in  this  paragraph  shall,  as  soon as practicable
18             after the effective date of this amendatory  Act  of
19             1991,  be  allocated  and  paid to that conservation
20             district as provided in  this  paragraph.  Any  park
21             district  or  municipality  not maintaining a museum
22             may deposit the monies in the corporate fund of  the
23             park  district or municipality where the inter-track
24             wagering location is located, to be used for general
25             purposes; and
26                  One-seventh to the Agricultural Premium Fund to
27             be  used  for  distribution  to  agricultural   home
28             economics  extension councils in accordance with "An
29             Act in relation to additional support  and  finances
30             for  the  Agricultural  and  Home Economic Extension
31             Councils in the several counties of this  State  and
32             making an appropriation therefor", approved July 24,
33             1967.
34             Until  January  1,  2000, all other monies paid into
 
                            -49-     LRB093 02207 LRD 16688 a
 1        the Horse Racing Tax Allocation  Fund  pursuant  to  this
 2        paragraph  (11)  shall  be  allocated by appropriation as
 3        follows:
 4                  Two-sevenths to the Department of  Agriculture.
 5             Fifty  percent of this two-sevenths shall be used to
 6             promote  the  Illinois  horse  racing  and  breeding
 7             industry, and shall be distributed by the Department
 8             of  Agriculture  upon  the  advice  of  a   9-member
 9             committee  appointed  by  the Governor consisting of
10             the following members: the Director of  Agriculture,
11             who  shall  serve  as chairman; 2 representatives of
12             organization licensees conducting thoroughbred  race
13             meetings   in   this  State,  recommended  by  those
14             licensees;   2   representatives   of   organization
15             licensees conducting standardbred race  meetings  in
16             this   State,  recommended  by  those  licensees;  a
17             representative of the Illinois Thoroughbred Breeders
18             and   Owners   Foundation,   recommended   by   that
19             Foundation;  a  representative   of   the   Illinois
20             Standardbred   Owners   and   Breeders  Association,
21             recommended by that Association; a representative of
22             the Horsemen's Benevolent and Protective Association
23             or any successor organization thereto established in
24             Illinois comprised of the largest number  of  owners
25             and  trainers,  recommended  by  that Association or
26             that successor organization; and a representative of
27             the   Illinois   Harness   Horsemen's   Association,
28             recommended by that Association.  Committee  members
29             shall serve for terms of 2 years, commencing January
30             1  of  each even-numbered year.  If a representative
31             of any of the  above-named  entities  has  not  been
32             recommended  by January 1 of any even-numbered year,
33             the Governor shall appoint  a  committee  member  to
34             fill that position.  Committee members shall receive
 
                            -50-     LRB093 02207 LRD 16688 a
 1             no  compensation  for  their services as members but
 2             shall be reimbursed for  all  actual  and  necessary
 3             expenses   and   disbursements   incurred   in   the
 4             performance of their official duties.  The remaining
 5             50%  of  this  two-sevenths  shall be distributed to
 6             county fairs for premiums and rehabilitation as  set
 7             forth in the Agricultural Fair Act;
 8                  Four-sevenths  to museums and aquariums located
 9             in  park  districts  of  over  500,000   population;
10             provided   that   the   monies  are  distributed  in
11             accordance with the previous year's distribution  of
12             the  maintenance  tax for such museums and aquariums
13             as provided  in  Section  2  of  the  Park  District
14             Aquarium and Museum Act; and
15                  One-seventh to the Agricultural Premium Fund to
16             be   used  for  distribution  to  agricultural  home
17             economics extension councils in accordance with  "An
18             Act  in  relation to additional support and finances
19             for the Agricultural  and  Home  Economic  Extension
20             Councils  in  the several counties of this State and
21             making an appropriation therefor", approved July 24,
22             1967. This subparagraph (C) shall be inoperative and
23             of no force and effect on and after January 1, 2000.
24                  (D)  Except as provided in  paragraph  (11)  of
25             this   subsection   (h),   with   respect  to  purse
26             allocation from intertrack wagering, the  monies  so
27             retained shall be divided as follows:
28                       (i)  If the inter-track wagering licensee,
29                  except  an  intertrack  wagering  licensee that
30                  derives  its  license  from   an   organization
31                  licensee  located in a county with a population
32                  in  excess  of  230,000  and  bounded  by   the
33                  Mississippi  River,  is  not conducting its own
34                  race meeting during the same  dates,  then  the
 
                            -51-     LRB093 02207 LRD 16688 a
 1                  entire  purse  allocation shall be to purses at
 2                  the track where the races wagered on are  being
 3                  conducted.
 4                       (ii)  If    the    inter-track    wagering
 5                  licensee,   except   an   intertrack   wagering
 6                  licensee  that  derives  its  license  from  an
 7                  organization  licensee located in a county with
 8                  a population in excess of 230,000  and  bounded
 9                  by  the  Mississippi  River, is also conducting
10                  its own race meeting  during  the  same  dates,
11                  then  the purse allocation shall be as follows:
12                  50% to purses at  the  track  where  the  races
13                  wagered  on  are being conducted; 50% to purses
14                  at the track  where  the  inter-track  wagering
15                  licensee is accepting such wagers.
16                       (iii)  If   the  inter-track  wagering  is
17                  being  conducted  by  an  inter-track  wagering
18                  location   licensee,   except   an   intertrack
19                  wagering location  licensee  that  derives  its
20                  license  from  an organization licensee located
21                  in a county with  a  population  in  excess  of
22                  230,000  and  bounded by the Mississippi River,
23                  the entire purse allocation for Illinois  races
24                  shall  be to purses at the track where the race
25                  meeting being wagered on is being held.
26             (12)  The Board shall have all powers necessary  and
27        proper  to  fully  supervise  and  control the conduct of
28        inter-track   wagering   and   simulcast   wagering    by
29        inter-track  wagering  licensees and inter-track wagering
30        location licensees, including, but  not  limited  to  the
31        following:
32                  (A)  The   Board   is   vested  with  power  to
33             promulgate reasonable rules and regulations for  the
34             purpose   of   administering  the  conduct  of  this
 
                            -52-     LRB093 02207 LRD 16688 a
 1             wagering  and   to   prescribe   reasonable   rules,
 2             regulations and conditions under which such wagering
 3             shall   be  held  and  conducted.   Such  rules  and
 4             regulations are to provide  for  the  prevention  of
 5             practices detrimental to the public interest and for
 6             the  best  interests  of said wagering and to impose
 7             penalties for violations thereof.
 8                  (B)  The Board, and any person  or  persons  to
 9             whom  it  delegates  this  power, is vested with the
10             power to enter the facilities  of  any  licensee  to
11             determine whether there has been compliance with the
12             provisions of this Act and the rules and regulations
13             relating to the conduct of such wagering.
14                  (C)  The  Board,  and  any person or persons to
15             whom it delegates this power, may eject  or  exclude
16             from  any  licensee's  facilities,  any person whose
17             conduct or reputation is such that his  presence  on
18             such premises may, in the opinion of the Board, call
19             into  the  question the honesty and integrity of, or
20             interfere with the orderly conduct of such wagering;
21             provided, however, that no person shall be  excluded
22             or  ejected from such premises solely on the grounds
23             of race, color, creed, national origin, ancestry, or
24             sex.
25                  (D)  (Blank).
26                  (E)  The Board is  vested  with  the  power  to
27             appoint  delegates  to  execute  any  of  the powers
28             granted to it under this Section for the purpose  of
29             administering   this  wagering  and  any  rules  and
30             regulations promulgated in accordance with this Act.
31                  (F)  The Board shall name and appoint  a  State
32             director   of   this   wagering   who   shall  be  a
33             representative of the Board and whose duty it  shall
34             be  to supervise the conduct of inter-track wagering
 
                            -53-     LRB093 02207 LRD 16688 a
 1             as may be provided for by the rules and  regulations
 2             of  the  Board;  such  rules  and  regulation  shall
 3             specify the method of appointment and the Director's
 4             powers, authority and duties.
 5                  (G)  The  Board  is  vested  with  the power to
 6             impose civil  penalties  of  up  to  $5,000  against
 7             individuals  and up to $10,000 against licensees for
 8             each violation of any provision of this Act relating
 9             to the conduct of this wagering, any  rules  adopted
10             by  the  Board,  any order of the Board or any other
11             action  which  in  the  Board's  discretion,  is   a
12             detriment or impediment to such wagering.
13             (13)  The  Department  of Agriculture may enter into
14        agreements with licensees authorizing such  licensees  to
15        conduct  inter-track  wagering on races to be held at the
16        licensed race meetings conducted  by  the  Department  of
17        Agriculture.    Such agreement shall specify the races of
18        the Department of  Agriculture's  licensed  race  meeting
19        upon  which the licensees will conduct wagering.   In the
20        event that a licensee  conducts  inter-track  pari-mutuel
21        wagering on races from the Illinois State Fair or DuQuoin
22        State  Fair  which  are  in  addition  to  the licensee's
23        previously approved racing program, those races shall  be
24        considered  a  separate  racing  day  for  the purpose of
25        determining the daily handle and computing the  privilege
26        or  pari-mutuel  tax  on that daily handle as provided in
27        Sections 27 and 27.1.  Such agreements shall be  approved
28        by  the  Board before such wagering may be conducted.  In
29        determining whether to grant approval,  the  Board  shall
30        give  due  consideration  to  the  best  interests of the
31        public and of horse racing. The provisions of  paragraphs
32        (1),  (8),  (8.1),  and  (8.2)  of subsection (h) of this
33        Section which are not specified in  this  paragraph  (13)
34        shall  not  apply  to licensed race meetings conducted by
 
                            -54-     LRB093 02207 LRD 16688 a
 1        the Department of Agriculture at the Illinois State  Fair
 2        in  Sangamon  County  or  the DuQuoin State Fair in Perry
 3        County, or  to  any  wagering  conducted  on  those  race
 4        meetings.
 5        (i)  Notwithstanding  the  other  provisions of this Act,
 6    the conduct of wagering at wagering facilities is  authorized
 7    on  all  days, except as limited by subsection (b) of Section
 8    19 of this Act.
 9    (Source: P.A. 91-40, eff. 6-25-99; 92-211, eff. 8-2-01.)

10        (230 ILCS 5/27) (from Ch. 8, par. 37-27)
11        Sec. 27.  (a) In addition to the organization license fee
12    provided by this Act, until  January  1,  2000,  a  graduated
13    privilege   tax   is   hereby   imposed  for  conducting  the
14    pari-mutuel system of  wagering  permitted  under  this  Act.
15    Until  January  1, 2000, except as provided in subsection (g)
16    of Section 27 of this Act, all of the breakage of each racing
17    day held by any licensee in the State shall be  paid  to  the
18    State.  Until January 1, 2000, such daily graduated privilege
19    tax shall be paid by the licensee from the  amount  permitted
20    to  be  retained  under this Act. Until January 1, 2000, each
21    day's graduated privilege tax, breakage, and Horse Racing Tax
22    Allocation funds shall  be  remitted  to  the  Department  of
23    Revenue  within  48  hours  after the close of the racing day
24    upon which it is assessed or within such other  time  as  the
25    Board  prescribes.   The  privilege tax hereby imposed, until
26    January 1, 2000, shall be a flat tax at the rate of 2% of the
27    daily pari-mutuel handle except as provided in Section 27.1.
28        In  addition,  every  organization  licensee,  except  as
29    provided in Section 27.1 of this Act, which conducts multiple
30    wagering shall pay, until January 1, 2000, as a privilege tax
31    on multiple wagers an amount equal to  1.25%  of  all  moneys
32    wagered  each day on such multiple wagers, plus an additional
33    amount equal to 3.5% of the amount wagered each  day  on  any
 
                            -55-     LRB093 02207 LRD 16688 a
 1    other multiple wager which involves a single betting interest
 2    on  3  or more horses. The licensee shall remit the amount of
 3    such taxes to the Department of Revenue within 48 hours after
 4    the close of the racing day on which it is assessed or within
 5    such other time as the Board prescribes.
 6        This subsection (a) shall be inoperative and of no  force
 7    and effect on and after January 1, 2000.
 8        (a-5)  Beginning  on  January 1, 2000, a flat pari-mutuel
 9    tax at the rate of 1.5% of the daily  pari-mutuel  handle  is
10    imposed  at  all pari-mutuel wagering facilities, which shall
11    be remitted to the Department  of  Revenue  within  48  hours
12    after  the  close of the racing day upon which it is assessed
13    or within such other time as the Board prescribes.
14        (b)  On or before December 31, 1999, in  the  event  that
15    any  organization  licensee  conducts  2 separate programs of
16    races on any day, each such program  shall  be  considered  a
17    separate  racing  day  for  purposes of determining the daily
18    handle and computing the privilege tax on such  daily  handle
19    as provided in subsection (a) of this Section.
20        (c)  Licensees shall at all times keep accurate books and
21    records  of  all monies wagered on each day of a race meeting
22    and of the taxes paid to the Department of Revenue under  the
23    provisions of this Section.  The Board or its duly authorized
24    representative  or  representatives  shall  at all reasonable
25    times  have  access  to  such  records  for  the  purpose  of
26    examining and checking the same and ascertaining whether  the
27    proper  amount of taxes is being paid as provided.  The Board
28    shall require verified reports and a statement of  the  total
29    of  all  monies  wagered daily at each wagering facility upon
30    which the taxes are assessed and  may  prescribe  forms  upon
31    which such reports and statement shall be made.
32        (d)  Any  licensee  failing or refusing to pay the amount
33    of any tax due under  this  Section  shall  be  guilty  of  a
34    business  offense and upon conviction shall be fined not more
 
                            -56-     LRB093 02207 LRD 16688 a
 1    than $5,000 in addition to the amount found due as tax  under
 2    this  Section.   Each  day's  violation  shall  constitute  a
 3    separate  offense.   All  fines paid into Court by a licensee
 4    hereunder shall be transmitted and paid over by the Clerk  of
 5    the Court to the Board.
 6        (e)  No  other license fee, privilege tax, excise tax, or
 7    racing fee, except as provided in this Act, shall be assessed
 8    or collected from any such licensee by the State.
 9        (f)  No other license fee, privilege tax, excise  tax  or
10    racing  fee  shall  be  assessed  or  collected from any such
11    licensee  by units of local government except as provided  in
12    paragraph  10.1  of  subsection  (h)  and  subsection  (f) of
13    Section 26 of this Act.  However, any municipality that has a
14    Board licensed horse race meeting  at  a  race  track  wholly
15    within  its  corporate  boundaries  or  a township that has a
16    Board licensed horse race meeting  at  a  race  track  wholly
17    within  the  unincorporated area of the township may charge a
18    local amusement tax not to exceed 10¢ per admission  to  such
19    horse   race  meeting  by  the  enactment  of  an  ordinance.
20    However, any municipality or county that has a Board licensed
21    inter-track wagering  location  facility  wholly  within  its
22    corporate  boundaries may each impose an admission fee not to
23    exceed $1.00  per  admission  to  such  inter-track  wagering
24    location facility, so that a total of not more than $2.00 per
25    admission may be imposed.  Except as provided in subparagraph
26    (g)  of  Section  27  of  this  Act, the inter-track wagering
27    location licensee shall collect any and  all  such  fees  and
28    within  48  hours  remit  the fees to the Board, which shall,
29    pursuant to rule, cause the fees to  be  distributed  to  the
30    county or municipality.
31        (g)  Notwithstanding  any  provision  in  this Act to the
32    contrary, if in any calendar year the total  taxes  and  fees
33    from  wagering  on  live racing and from inter-track wagering
34    required to be collected from licensees and distributed under
 
                            -57-     LRB093 02207 LRD 16688 a
 1    this Act to all  State  and  local  governmental  authorities
 2    exceeds the amount of such taxes and fees distributed to each
 3    State  and  local  governmental authority to which each State
 4    and local governmental authority was entitled under this  Act
 5    for  calendar  year  1994, then the first $11 million of that
 6    excess amount shall be allocated  at  the  earliest  possible
 7    date  for  distribution  as  purse  money  for the succeeding
 8    calendar year. Upon reaching the 1994 level,  and  until  the
 9    excess  amount  of  taxes  and  fees exceeds $11 million, the
10    Board shall direct all licensees to cease paying the  subject
11    taxes  and  fees  and the Board shall direct all licensees to
12    allocate any such excess amount for purses as follows:
13             (i)  the excess amount shall  be  initially  divided
14        between thoroughbred and standardbred purses based on the
15        thoroughbred's  and standardbred's respective percentages
16        of total Illinois live wagering in calendar year 1994;
17             (ii)  each     thoroughbred     and     standardbred
18        organization licensee issued an organization licensee  in
19        that  succeeding  allocation  year  shall be allocated an
20        amount equal to the product of its  percentage  of  total
21        Illinois  live  thoroughbred  or standardbred wagering in
22        calendar year 1994 (the total to be determined  based  on
23        the  sum  of  1994 on-track wagering for all organization
24        licensees  issued   organization  licenses  in  both  the
25        allocation year and the preceding year) multiplied by the
26        total amount allocated for standardbred  or  thoroughbred
27        purses,  provided that the first $1,500,000 of the amount
28        allocated to standardbred purses under item (i) shall  be
29        allocated to the Department of Agriculture to be expended
30        with   the   assistance   and   advice  of  the  Illinois
31        Standardbred  Breeders  Funds  Advisory  Board  for   the
32        purposes  listed  in subsection (g) of Section 31 of this
33        Act, before the amount allocated to  standardbred  purses
34        under  item (i) is allocated to standardbred organization
 
                            -58-     LRB093 02207 LRD 16688 a
 1        licensees in the succeeding allocation year.
 2        To the extent the excess amount of taxes and fees  to  be
 3    collected  and  distributed  to  State and local governmental
 4    authorities exceeds $11 million, that excess amount shall  be
 5    collected  and  distributed to State and local authorities as
 6    provided for under this Act.
 7    (Source: P.A. 91-40, eff. 6-25-99.)

 8        (230 ILCS 5/28.1)
 9        Sec. 28.1.  Payments.
10        (a)  Beginning on January 1, 2000,  moneys  collected  by
11    the  Department  of  Revenue and the Racing Board pursuant to
12    Section 26 or Section 27 of this Act shall be deposited  into
13    the  Horse  Racing Fund, which is hereby created as a special
14    fund in the State Treasury.
15        (b)  Appropriations, as approved by the General Assembly,
16    may be made from the Horse Racing Fund to the  Board  to  pay
17    the  salaries  of  the  Board  members,  secretary, stewards,
18    directors   of   mutuels,   veterinarians,   representatives,
19    accountants,  clerks,  stenographers,  inspectors  and  other
20    employees of  the  Board,  and  all  expenses  of  the  Board
21    incident  to  the  administration of this Act, including, but
22    not limited to, all expenses and  salaries  incident  to  the
23    taking  of  saliva  and  urine samples in accordance with the
24    rules and regulations of the Board.
25        (c)  Appropriations, as approved by the General Assembly,
26    shall be made from the Horse Racing Fund to the Department of
27    Agriculture for the purposes identified  in  paragraphs  (2),
28    (2.5),  (4),  (4.1), (6), (7), (8), and (9) of subsection (g)
29    of Section 30, subsection (e)  of  Section  30.5,  paragraphs
30    (1),  (2), (3), (5), and (8) of subsection (g) of Section 31,
31    and for standardbred bonus programs for owners of horses that
32    win multiple  stakes  races  that  are  limited  to  Illinois
33    conceived  and  foaled  horses.  From Beginning on January 1,
 
                            -59-     LRB093 02207 LRD 16688 a
 1    2000 until the effective date of this amendatory Act  of  the
 2    93rd General Assembly, the Board shall transfer the remainder
 3    of  the  funds  generated pursuant to Sections 26 and 27 from
 4    the Horse Racing Fund into the General Revenue Fund.
 5        (d)  Beginning January 1, 2000, payments to all  programs
 6    in  existence on the effective date of this amendatory Act of
 7    1999  that  are  identified   in   Sections   26(c),   26(f),
 8    26(h)(11)(C),  and  28,  subsections (a), (b), (c), (d), (e),
 9    (f), (g), and (h) of Section 30, and  subsections  (a),  (b),
10    (c),  (d), (e), (f), (g), and (h) of Section 31 shall be made
11    from  the  General  Revenue  Fund  at  the   funding   levels
12    determined  by  amounts  paid under this Act in calendar year
13    1998.
14        (e)  Notwithstanding any other provision of this  Act  to
15    the  contrary,  appropriations,  as  approved  by the General
16    Assembly, may be made from the Fair and  Exposition  Fund  to
17    the  Department  of  Agriculture for distribution to Illinois
18    county  fairs  to  supplement  premiums  offered  in   junior
19    classes.
20    (Source: P.A. 91-40, eff. 6-25-99.)

21        (230 ILCS 5/30) (from Ch. 8, par. 37-30)
22        Sec.  30.   (a)  The General Assembly declares that it is
23    the policy  of  this  State  to  encourage  the  breeding  of
24    thoroughbred  horses  in this State and the ownership of such
25    horses by residents of this State in order  to  provide  for:
26    sufficient  numbers  of  high quality thoroughbred horses  to
27    participate in thoroughbred racing meetings  in  this  State,
28    and to establish and preserve the agricultural and commercial
29    benefits  of such breeding and racing industries to the State
30    of Illinois.  It is the intent of  the  General  Assembly  to
31    further this policy by the provisions of this Act.
32        (b)  Each organization licensee conducting a thoroughbred
33    racing  meeting  pursuant  to this Act shall provide at least
 
                            -60-     LRB093 02207 LRD 16688 a
 1    two races each day limited to Illinois conceived  and  foaled
 2    horses  or  Illinois  foaled  horses or both.  A minimum of 6
 3    races shall  be  conducted  each  week  limited  to  Illinois
 4    conceived  and  foaled  or  Illinois  foaled  horses or both.
 5    Subject to the daily availability of horses,  one  of  the  6
 6    races  scheduled  per  week  that  are  limited  to  Illinois
 7    conceived  and foaled or Illinois foaled horses or both shall
 8    be limited to  Illinois  conceived  and  foaled  or  Illinois
 9    foaled maidens. No horses shall be permitted to start in such
10    races   unless   duly  registered  under  the  rules  of  the
11    Department of Agriculture.
12        (c)  Conditions of races under subsection  (b)  shall  be
13    commensurate  with  past  performance,  quality, and class of
14    Illinois conceived and  foaled  and  Illinois  foaled  horses
15    available.  If, however, sufficient competition cannot be had
16    among  horses  of  that class on any day, the races may, with
17    consent  of  the  Board,  be  eliminated  for  that  day  and
18    substitute races provided.
19        (d)  There is hereby created a special fund of the  State
20    Treasury  to  be  known as the Illinois Thoroughbred Breeders
21    Fund.
22        Except as provided in subsection (g)  of  Section  27  of
23    this  Act,  8.5%  of  all the monies received by the State as
24    privilege taxes on Thoroughbred racing meetings shall be paid
25    into the Illinois Thoroughbred Breeders Fund.
26        (e)  The Illinois Thoroughbred  Breeders  Fund  shall  be
27    administered by the Department of Agriculture with the advice
28    and  assistance  of  the Advisory Board created in subsection
29    (f) of this Section.
30        (f)  The Illinois  Thoroughbred  Breeders  Fund  Advisory
31    Board  shall  consist  of  the  Director of the Department of
32    Agriculture, who shall serve as Chairman;  a  member  of  the
33    Illinois Racing Board, designated by it; 2 representatives of
34    the  organization  licensees  conducting  thoroughbred racing
 
                            -61-     LRB093 02207 LRD 16688 a
 1    meetings, recommended  by  them;  2  representatives  of  the
 2    Illinois   Thoroughbred   Breeders   and  Owners  Foundation,
 3    recommended by it; and 2 representatives  of  the  Horsemen's
 4    Benevolent    Protective   Association   or   any   successor
 5    organization established in Illinois comprised of the largest
 6    number of owners and trainers, recommended by  it,  with  one
 7    representative  of  the  Horsemen's Benevolent and Protective
 8    Association to come from its Illinois Division, and one  from
 9    its  Chicago Division. Advisory Board members shall serve for
10    2 years commencing January 1 of each odd numbered  year.   If
11    representatives  of  the  organization  licensees  conducting
12    thoroughbred   racing  meetings,  the  Illinois  Thoroughbred
13    Breeders and Owners Foundation, and the Horsemen's Benevolent
14    Protection Association have not been recommended  by  January
15    1,  of each odd numbered year, the Director of the Department
16    of Agriculture shall make an appointment for the organization
17    failing to so recommend  a  member  of  the  Advisory  Board.
18    Advisory  Board  members  shall  receive  no compensation for
19    their services as members but shall  be  reimbursed  for  all
20    actual  and  necessary expenses and disbursements incurred in
21    the execution of their official duties.
22        (g)  Moneys No monies shall be expended from the Illinois
23    Thoroughbred Breeders Fund  except  as  appropriated  by  the
24    General Assembly pursuant to this Act, the Riverboat Gambling
25    Act,   or   both.   Monies  appropriated  from  the  Illinois
26    Thoroughbred  Breeders  Fund  shall  be   expended   by   the
27    Department  of Agriculture, with the advice and assistance of
28    the Illinois Thoroughbred Breeders Fund Advisory  Board,  for
29    the following purposes only:
30             (1)  To  provide  purse  supplements  to  owners  of
31        horses   participating   in  races  limited  to  Illinois
32        conceived and foaled  and Illinois  foaled  horses.   Any
33        such purse supplements shall not be included in and shall
34        be  paid  in addition to any purses, stakes, or breeders'
 
                            -62-     LRB093 02207 LRD 16688 a
 1        awards  offered  by   each   organization   licensee   as
 2        determined   by   agreement   between  such  organization
 3        licensee and an organization representing  the  horsemen.
 4        No  monies  from  the Illinois Thoroughbred Breeders Fund
 5        shall be used to provide purse supplements  for  claiming
 6        races  in  which  the minimum claiming price is less than
 7        $7,500.
 8             (2)  To provide stakes and awards to be paid to  the
 9        owners  of the winning horses in certain races limited to
10        Illinois conceived and foaled and Illinois foaled  horses
11        designated as stakes races.
12             (2.5)  To provide an award to the owner or owners of
13        an Illinois conceived and foaled or Illinois foaled horse
14        that   wins   a  maiden  special  weight,  an  allowance,
15        overnight handicap race, or claiming race  with  claiming
16        price  of  $10,000  or  more  providing  the  race is not
17        restricted to Illinois conceived and foaled  or  Illinois
18        foaled  horses.    Awards  shall  also be provided to the
19        owner or owners of  Illinois  conceived  and  foaled  and
20        Illinois  foaled  horses  that  place  second or third in
21        those races.  To the extent that  additional  moneys  are
22        required  to  pay the minimum additional awards of 40% of
23        the purse the horse earns for placing  first,  second  or
24        third  in  those  races for Illinois foaled horses and of
25        60% of the purse  the  horse  earns  for  placing  first,
26        second or third in those races for Illinois conceived and
27        foaled  horses,  those  moneys shall be provided from the
28        purse account at the track where earned.
29             (3)  To provide stallion  awards  to  the  owner  or
30        owners  of  any stallion that is duly registered with the
31        Illinois Thoroughbred Breeders Fund Program prior to  the
32        effective  date of this amendatory Act of 1995 whose duly
33        registered Illinois conceived and foaled offspring wins a
34        race conducted at an Illinois thoroughbred racing meeting
 
                            -63-     LRB093 02207 LRD 16688 a
 1        other than a claiming race. Such award shall not be  paid
 2        to  the  owner  or  owners  of  an Illinois stallion that
 3        served outside this State at any time during the calendar
 4        year in which such race was conducted.
 5             (4)  To provide $75,000 annually for  purses  to  be
 6        distributed  to county fairs that provide for the running
 7        of races during each  county  fair  exclusively  for  the
 8        thoroughbreds  conceived  and  foaled  in  Illinois.  The
 9        conditions of the races shall be developed by the  county
10        fair  association and reviewed by the Department with the
11        advice  and  assistance  of  the  Illinois   Thoroughbred
12        Breeders  Fund Advisory Board. There shall be no wagering
13        of any kind on the  running  of  Illinois  conceived  and
14        foaled races at county fairs.
15             (4.1)  (Blank).   To  provide  purse  money  for  an
16        Illinois stallion stakes program.
17             (5)  No less than 80% of all monies appropriated  to
18        from  the  Illinois  Thoroughbred  Breeders Fund shall be
19        expended for the purposes in (1), (2), (2.5),  (3),  (4),
20        (4.1), and (5) as shown above.
21             (6)  To  provide  for educational programs regarding
22        the thoroughbred breeding industry.
23             (7)  To provide for research programs concerning the
24        health, development and care of the thoroughbred horse.
25             (8)  To  provide  for  a  scholarship  and  training
26        program for students of equine veterinary medicine.
27             (9)  To  provide   for   dissemination   of   public
28        information   designed   to   promote   the  breeding  of
29        thoroughbred horses in Illinois.
30             (10)  To provide for all expenses  incurred  in  the
31        administration  of  the  Illinois  Thoroughbred  Breeders
32        Fund.
33        (h)  (Blank). Whenever the Governor finds that the amount
34    in  the  Illinois Thoroughbred Breeders Fund is more than the
 
                            -64-     LRB093 02207 LRD 16688 a
 1    total of the outstanding appropriations from such  fund,  the
 2    Governor  shall  notify  the  State Comptroller and the State
 3    Treasurer of  such  fact.   The  Comptroller  and  the  State
 4    Treasurer,  upon receipt of such notification, shall transfer
 5    such excess amount from the  Illinois  Thoroughbred  Breeders
 6    Fund to the General Revenue Fund.
 7        (i)  A  sum  equal to 12 1/2% of the first prize money of
 8    every  purse  won  by  an  Illinois  foaled  or  an  Illinois
 9    conceived and foaled horse in races not limited  to  Illinois
10    foaled  horses  or  Illinois  conceived and foaled horses, or
11    both, shall be paid by the organization  licensee  conducting
12    the  horse  race  meeting.  Such  sum  shall be paid from the
13    organization  licensee's  share  of  the  money  wagered   as
14    follows:   11 1/2% to the breeder of the winning horse and 1%
15    to the organization representing  thoroughbred  breeders  and
16    owners   whose   representative   serves   on   the  Illinois
17    Thoroughbred Breeders Fund Advisory Board for  verifying  the
18    amounts   of   breeders'   awards   earned,   assuring  their
19    distribution in accordance with this Act, and  servicing  and
20    promoting  the  Illinois  thoroughbred horse racing industry.
21    The  organization  representing  thoroughbred  breeders   and
22    owners  shall cause all expenditures of monies received under
23    this subsection (i) to be audited  at  least  annually  by  a
24    registered  public  accountant.   The organization shall file
25    copies of each annual audit with the Racing Board, the  Clerk
26    of  the  House  of  Representatives  and the Secretary of the
27    Senate, and shall make copies of each annual audit  available
28    to the public upon request and upon payment of the reasonable
29    cost  of  photocopying  the  requested number of copies. Such
30    payments shall not reduce any award to the owner of the horse
31    or reduce the taxes payable under this Act.  Upon  completion
32    of  its racing meet, each organization licensee shall deliver
33    to the organization representing  thoroughbred  breeders  and
34    owners   whose   representative   serves   on   the  Illinois
 
                            -65-     LRB093 02207 LRD 16688 a
 1    Thoroughbred Breeders Fund Advisory Board a  listing  of  all
 2    the  Illinois  foaled  and  the Illinois conceived and foaled
 3    horses which won breeders' awards  and  the  amount  of  such
 4    breeders'  awards under this subsection to verify accuracy of
 5    payments and assure proper distribution of  breeders'  awards
 6    in accordance with the provisions of this Act.  Such payments
 7    shall  be  delivered  by  the organization licensee within 30
 8    days of the end of each race meeting.
 9        (j)  A sum equal to 12 1/2% of the first prize money  won
10    in  each  race  limited to Illinois foaled horses or Illinois
11    conceived and foaled horses, or both, shall be  paid  in  the
12    following  manner by the organization licensee conducting the
13    horse race meeting, from the organization licensee's share of
14    the money wagered: 11 1/2% to the breeders of the  horses  in
15    each  such  race  which are the official first, second, third
16    and fourth finishers and 1% to the organization  representing
17    thoroughbred  breeders and owners whose representative serves
18    on the Illinois Thoroughbred Breeders Fund Advisory Board for
19    verifying the amounts of breeders'  awards  earned,  assuring
20    their  proper  distribution  in accordance with this Act, and
21    servicing  and  promoting  the  Illinois  thoroughbred  horse
22    racing industry. The organization  representing  thoroughbred
23    breeders  and  owners  shall cause all expenditures of monies
24    received under this subsection (j) to  be  audited  at  least
25    annually by a registered public accountant.  The organization
26    shall file copies of each annual audit with the Racing Board,
27    the  Clerk  of the House of Representatives and the Secretary
28    of the Senate, and shall make copies  of  each  annual  audit
29    available  to the public upon request and upon payment of the
30    reasonable cost  of  photocopying  the  requested  number  of
31    copies.
32        The  11 1/2% paid to the breeders in accordance with this
33    subsection shall be distributed as follows:
34             (1)  60% of such sum shall be paid to the breeder of
 
                            -66-     LRB093 02207 LRD 16688 a
 1        the horse which finishes in the official first position;
 2             (2)  20% of such sum shall be paid to the breeder of
 3        the horse which finishes in the official second position;
 4             (3)  15% of such sum shall be paid to the breeder of
 5        the horse which finishes in the official third  position;
 6        and
 7             (4)  5%  of such sum shall be paid to the breeder of
 8        the horse which finishes in the official fourth position.
 9        Such payments shall not reduce any award to the owners of
10    a horse or reduce the taxes  payable  under  this  Act.  Upon
11    completion  of  its  racing  meet, each organization licensee
12    shall deliver to the organization  representing  thoroughbred
13    breeders  and  owners  whose  representative  serves  on  the
14    Illinois  Thoroughbred Breeders Fund Advisory Board a listing
15    of all the Illinois foaled and  the  Illinois  conceived  and
16    foaled  horses  which  won breeders' awards and the amount of
17    such breeders' awards in accordance with  the  provisions  of
18    this   Act.   Such   payments   shall  be  delivered  by  the
19    organization licensee within 30 days of the end of each  race
20    meeting.
21        (k)  The  term "breeder", as used herein, means the owner
22    of the mare at the time the foal is  dropped.   An  "Illinois
23    foaled  horse"  is a foal dropped by a mare which enters this
24    State on or before December 1, in the year in which the horse
25    is bred, provided the mare remains continuously in this State
26    until its foal is born. An "Illinois foaled horse" also means
27    a foal born of a mare in the same year  as  the  mare  enters
28    this State on or before March 1, and remains in this State at
29    least  30  days after foaling, is bred back during the season
30    of the foaling to an Illinois Registered Stallion  (unless  a
31    veterinarian  certifies  that the mare should not be bred for
32    health reasons), and is not bred to a  stallion  standing  in
33    any  other  state during the season of foaling.  An "Illinois
34    foaled horse" also means a foal born in Illinois  of  a  mare
 
                            -67-     LRB093 02207 LRD 16688 a
 1    purchased  at  public auction subsequent to the mare entering
 2    this State prior to March 1 February 1 of  the  foaling  year
 3    providing  the  mare  is owned solely by one or more Illinois
 4    residents or an Illinois entity that is entirely owned by one
 5    or more Illinois residents.
 6        (l)  The Department of Agriculture shall, by  rule,  with
 7    the  advice  and  assistance  of  the  Illinois  Thoroughbred
 8    Breeders Fund Advisory Board:
 9             (1)  Qualify  stallions  for Illinois breeding; such
10        stallions to  stand  for  service  within  the  State  of
11        Illinois  at  the  time  of  a  foal's  conception.  Such
12        stallion  must not stand for service at any place outside
13        the State of Illinois during the calendar year  in  which
14        the  foal is conceived. The Department of Agriculture may
15        assess and collect an application fee of  $500  fees  for
16        the   registration  of  each  Illinois-eligible  stallion
17        stallions.  All fees collected are to be  paid  into  the
18        Illinois  Thoroughbred  Breeders  Fund  and  used  by the
19        Illinois Thoroughbred Breeders Fund  Advisory  Board  for
20        stallion awards.
21             (2)  Provide   for   the  registration  of  Illinois
22        conceived and foaled horses and Illinois  foaled  horses.
23        No  such  horse  shall  compete  in  the races limited to
24        Illinois conceived and foaled horses or  Illinois  foaled
25        horses  or  both unless registered with the Department of
26        Agriculture. The Department of Agriculture may  prescribe
27        such  forms as are necessary to determine the eligibility
28        of such horses. The Department of Agriculture may  assess
29        and  collect  application  fees  for  the registration of
30        Illinois-eligible foals.  All fees collected  are  to  be
31        paid  into  the  Illinois  Thoroughbred Breeders Fund. No
32        person shall knowingly prepare or cause preparation of an
33        application for registration  of  such  foals  containing
34        false information.
 
                            -68-     LRB093 02207 LRD 16688 a
 1        (m)  The  Department  of Agriculture, with the advice and
 2    assistance  of  the  Illinois  Thoroughbred   Breeders   Fund
 3    Advisory  Board,  shall provide that certain races limited to
 4    Illinois conceived and foaled and Illinois foaled  horses  be
 5    stakes  races  and  determine  the total amount of stakes and
 6    awards to be paid to the owners of the winning horses in such
 7    races.
 8        In determining the stakes races and the amount of  awards
 9    for  such races, the Department of Agriculture shall consider
10    factors, including but not limited to, the  amount  of  money
11    appropriated  for  the  Illinois  Thoroughbred  Breeders Fund
12    program, organization licensees' contributions,  availability
13    of   stakes   caliber   horses   as   demonstrated   by  past
14    performances, whether the race can be  coordinated  into  the
15    proposed  racing  dates within organization licensees' racing
16    dates, opportunity for colts  and  fillies  and  various  age
17    groups  to  race,  public  wagering  on  such  races, and the
18    previous racing schedule.
19        (n)  The Board  and  the  organizational  licensee  shall
20    notify  the  Department  of the conditions and minimum purses
21    for races  limited  to  Illinois  conceived  and  foaled  and
22    Illinois  foaled  horses  conducted  for  each organizational
23    licensee  conducting  a  thoroughbred  racing  meeting.   The
24    Department of Agriculture with the advice and  assistance  of
25    the  Illinois  Thoroughbred  Breeders Fund Advisory Board may
26    allocate monies for purse supplements  for  such  races.   In
27    determining  whether  to  allocate  money and the amount, the
28    Department of Agriculture shall consider  factors,  including
29    but  not limited to, the amount of money appropriated for the
30    Illinois Thoroughbred Breeders Fund program,  the  number  of
31    races that may occur, and the organizational licensee's purse
32    structure.
33        (o)  (Blank). In order to improve the breeding quality of
34    thoroughbred  horses  in  the  State,  the  General  Assembly
 
                            -69-     LRB093 02207 LRD 16688 a
 1    recognizes  that  existing  provisions  of  this  Section  to
 2    encourage  such  quality  breeding  need  to  be  revised and
 3    strengthened.  As such, a Thoroughbred Breeder's Program Task
 4    Force is to be appointed by the Governor by September 1, 1999
 5    to make recommendations to the General Assembly by  no  later
 6    than  March  1, 2000.  This task force is to be composed of 2
 7    representatives from the Illinois Thoroughbred  Breeders  and
 8    Owners   Foundation,   2   from   the  Illinois  Thoroughbred
 9    Horsemen's Association, 3 from Illinois race tracks operating
10    thoroughbred race meets for an average of at least 30 days in
11    the past 3 years, the Director of Agriculture, the  Executive
12    Director of the Racing Board, who shall serve as Chairman.
13    (Source: P.A. 91-40, eff. 6-25-99.)

14        (230 ILCS 5/31) (from Ch. 8, par. 37-31)
15        Sec.  31.   (a)  The General Assembly declares that it is
16    the policy  of  this  State  to  encourage  the  breeding  of
17    standardbred  horses  in this State and the ownership of such
18    horses by residents of this State in order  to  provide  for:
19    sufficient  numbers  of  high  quality standardbred horses to
20    participate in harness racing meetings in this State, and  to
21    establish   and  preserve  the  agricultural  and  commercial
22    benefits of such breeding and racing industries to the  State
23    of  Illinois.   It  is  the intent of the General Assembly to
24    further this policy by the provisions of this Section of this
25    Act.
26        (b)  Each  organization  licensee  conducting  a  harness
27    racing meeting pursuant to this  Act  shall  provide  for  at
28    least  two  races  each  race  program  limited  to  Illinois
29    conceived  and  foaled horses.  A minimum of 6 races shall be
30    conducted each week limited to Illinois conceived and  foaled
31    horses.   No horses shall be permitted to start in such races
32    unless duly registered under the rules of the  Department  of
33    Agriculture.
 
                            -70-     LRB093 02207 LRD 16688 a
 1        (b-5)  Each  organization  licensee  conducting a harness
 2    racing meeting pursuant to  this  Act  shall  provide  stakes
 3    races  and  early  closer  races  for  Illinois conceived and
 4    foaled horses so the total purses distributed for such  races
 5    shall  be no less than 17% of the total purses distributed at
 6    the meeting.
 7        (b-10)  Each organization licensee conducting  a  harness
 8    racing  meeting  pursuant  to this Act shall provide an owner
 9    award to be paid from the purse account equal to 25%  of  the
10    amount  earned  by  Illinois  conceived  and foaled horses in
11    races that are  not  restricted  to  Illinois  conceived  and
12    foaled horses.
13        (c)  Conditions  of  races  under subsection (b) shall be
14    commensurate with past  performance,  quality  and  class  of
15    Illinois conceived and foaled horses available.  If, however,
16    sufficient  competition  cannot  be  had among horses of that
17    class on any day, the races may, with consent of  the  Board,
18    be eliminated for that day and substitute races provided.
19        (d)  There  is hereby created a special fund of the State
20    Treasury to be known as the  Illinois  Standardbred  Breeders
21    Fund.
22        During  the calendar year 1981, and each year thereafter,
23    except as provided in subsection (g) of Section  27  of  this
24    Act,  eight  and one-half per cent of all the monies received
25    by the State as privilege taxes on  harness  racing  meetings
26    shall be paid into the Illinois Standardbred Breeders Fund.
27        (e)  The  Illinois  Standardbred  Breeders  Fund shall be
28    administered  by  the  Department  of  Agriculture  with  the
29    assistance and  advice  of  the  Advisory  Board  created  in
30    subsection (f) of this Section.
31        (f)  The  Illinois  Standardbred  Breeders  Fund Advisory
32    Board is hereby created.  The Advisory Board shall consist of
33    the Director of the  Department  of  Agriculture,  who  shall
34    serve  as  Chairman; the Superintendent of the Illinois State
 
                            -71-     LRB093 02207 LRD 16688 a
 1    Fair; a member of the Illinois Racing  Board,  designated  by
 2    it;  a representative of the Illinois Standardbred Owners and
 3    Breeders Association, recommended by it; a representative  of
 4    the  Illinois  Association of Agricultural Fairs, recommended
 5    by it, such  representative  to  be  from  a  fair  at  which
 6    Illinois   conceived   and  foaled  racing  is  conducted;  a
 7    representative  of  the  organization  licensees   conducting
 8    harness   racing   meetings,   recommended   by  them  and  a
 9    representative   of   the   Illinois    Harness    Horsemen's
10    Association, recommended by it.  Advisory Board members shall
11    serve  for 2 years commencing January 1, of each odd numbered
12    year.  If representatives of the Illinois Standardbred Owners
13    and  Breeders  Associations,  the  Illinois  Association   of
14    Agricultural   Fairs,   the   Illinois   Harness   Horsemen's
15    Association,   and   the  organization  licensees  conducting
16    harness racing meetings have not been recommended by  January
17    1,  of each odd numbered year, the Director of the Department
18    of Agriculture shall make an appointment for the organization
19    failing to so recommend  a  member  of  the  Advisory  Board.
20    Advisory  Board  members  shall  receive  no compensation for
21    their services as members but shall  be  reimbursed  for  all
22    actual  and  necessary expenses and disbursements incurred in
23    the execution of their official duties.
24        (g)  No  monies  shall  be  expended  from  the  Illinois
25    Standardbred Breeders Fund  except  as  appropriated  by  the
26    General  Assembly.   Monies  appropriated  from  the Illinois
27    Standardbred  Breeders  Fund  shall  be   expended   by   the
28    Department  of Agriculture, with the assistance and advice of
29    the Illinois Standardbred Breeders Fund  Advisory  Board  for
30    the following purposes only:
31             1.  To  provide purses for races limited to Illinois
32        conceived and foaled horses at the  State  Fair  and  the
33        DuQuoin State Fair.
34             2.  To  provide purses for races limited to Illinois
 
                            -72-     LRB093 02207 LRD 16688 a
 1        conceived and foaled horses at county fairs.
 2             3.  To provide purse supplements for  races  limited
 3        to  Illinois  conceived  and  foaled  horses conducted by
 4        associations conducting harness racing meetings.
 5             4.  No less than 75% of all monies in  the  Illinois
 6        Standardbred  Breeders  Fund shall be expended for purses
 7        in 1, 2 and 3 as shown above.
 8             5.  In  the  discretion   of   the   Department   of
 9        Agriculture  to  provide  awards  to  harness breeders of
10        Illinois conceived and  foaled  horses  which  win  races
11        conducted  by  organization  licensees conducting harness
12        racing meetings. A breeder is the owner of a mare at  the
13        time  of  conception.   No  more  than  10% of all monies
14        appropriated from the Illinois Standardbred Breeders Fund
15        shall be expended for such harness breeders  awards.   No
16        more than 25% of the amount expended for harness breeders
17        awards  shall  be  expended  for expenses incurred in the
18        administration of such harness breeders awards.
19             6.  To pay for the improvement of racing  facilities
20        located at the State Fair and County fairs.
21             7.  To    pay   the   expenses   incurred   in   the
22        administration  of  the  Illinois  Standardbred  Breeders
23        Fund.
24             8.  To  promote  the  sport   of   harness   racing,
25        including  grants  up to a maximum of $7,500 per fair per
26        year for the cost of a totalizer system to  be  used  for
27        conducting  pari-mutuel  wagering  during  the advertised
28        dates of a county fair.
29        (h)  Whenever the Governor finds that the amount  in  the
30    Illinois Standardbred Breeders Fund is more than the total of
31    the  outstanding  appropriations from such fund, the Governor
32    shall notify the State Comptroller and the State Treasurer of
33    such fact. The Comptroller and  the   State  Treasurer,  upon
34    receipt  of  such  notification,  shall  transfer such excess
 
                            -73-     LRB093 02207 LRD 16688 a
 1    amount from the Illinois Standardbred Breeders  Fund  to  the
 2    General Revenue Fund.
 3        (i)  A  sum  equal to 12 1/2% of the first prize money of
 4    every purse won by an Illinois  conceived  and  foaled  horse
 5    shall  be  paid  by  the organization licensee conducting the
 6    horse race meeting to the breeder of such winning horse  from
 7    the  organization  licensee's  account  share  of  the  money
 8    wagered. Such payment shall not reduce any award to the owner
 9    of  the  horse  or  reduce  the taxes payable under this Act.
10    Such payment shall be delivered by the organization  licensee
11    at the end of each month race meeting.
12        (j)  The  Department  of Agriculture shall, by rule, with
13    the  assistance  and  advice  of  the  Illinois  Standardbred
14    Breeders Fund Advisory Board:
15        1.  Qualify stallions for Illinois Standardbred  Breeders
16    Fund  breeding; such stallion shall be owned by a resident of
17    the State of Illinois or by an Illinois  corporation  all  of
18    whose shareholders, directors, officers and incorporators are
19    residents  of  the  State  of  Illinois.  Such stallion shall
20    stand for service at and within the State of Illinois at  the
21    time of a foal's conception, and such stallion must not stand
22    for service at any place, nor may semen from such stallion be
23    transported,  outside  the  State  of  Illinois  during  that
24    calendar  year  in  which  the foal is conceived and that the
25    owner of the stallion was for the 12 months prior, a resident
26    of Illinois. The articles of agreement  of  any  partnership,
27    joint venture, limited partnership, syndicate, association or
28    corporation  and  any  bylaws  and  stock  certificates  must
29    contain  a  restriction  that  provides that the ownership or
30    transfer of interest by any one of the persons a party to the
31    agreement can only be made to a person who  qualifies  as  an
32    Illinois  resident.  Foals  conceived  outside  the  State of
33    Illinois from shipped semen from  a  stallion  qualified  for
34    breeders'  awards  under  this  Section  are  not eligible to
 
                            -74-     LRB093 02207 LRD 16688 a
 1    participate in the Illinois conceived and foaled program.
 2        2.  Provide for the registration  of  Illinois  conceived
 3    and  foaled  horses  and  no  such horse shall compete in the
 4    races limited to Illinois conceived and foaled horses  unless
 5    registered   with   the   Department   of  Agriculture.   The
 6    Department of Agriculture may prescribe such forms as may  be
 7    necessary  to  determine  the  eligibility of such horses. No
 8    person shall knowingly prepare or  cause  preparation  of  an
 9    application  for  registration of such foals containing false
10    information. A mare (dam) must be in the state  at  least  30
11    days prior to foaling or remain in the State at least 30 days
12    at  the  time  of  foaling.  Beginning with the 1996 breeding
13    season and for foals of 1997 and thereafter, a foal conceived
14    in the State of Illinois by transported fresh  semen  may  be
15    eligible  for  Illinois  conceived  and  foaled  registration
16    provided  all breeding and foaling requirements are met.  The
17    stallion must be qualified for Illinois Standardbred Breeders
18    Fund breeding at the time of conception and the mare must  be
19    inseminated  within  the State of Illinois.  The foal must be
20    dropped  in  Illinois  and  properly  registered   with   the
21    Department of Agriculture in accordance with this Act.
22        3.  Provide that at least a 5 day racing program shall be
23    conducted  at  the  State Fair each year, which program shall
24    include at least the  following  races  limited  to  Illinois
25    conceived  and  foaled  horses:   (a) a two year old Trot and
26    Pace, and Filly Division of each;  (b) a three year old  Trot
27    and  Pace,  and Filly Division of each;  (c) an aged Trot and
28    Pace, and Mare Division of each.
29        4.  Provide for the payment of nominating, sustaining and
30    starting fees for races promoting the sport of harness racing
31    and for the races to  be  conducted  at  the  State  Fair  as
32    provided  in  subsection  (j) 3 of this Section provided that
33    the nominating, sustaining and starting payment required from
34    an entrant shall not exceed 2% of the  purse  of  such  race.
 
                            -75-     LRB093 02207 LRD 16688 a
 1    All  nominating,  sustaining  and  starting payments shall be
 2    held for the benefit of entrants and shall  be  paid  out  as
 3    part  of  the  respective  purses for such races. Nominating,
 4    sustaining and starting fees shall be held in trust  accounts
 5    for  the  purposes as set forth in this Act and in accordance
 6    with Section 205-15 of the Department of Agriculture Law  (20
 7    ILCS 205/205-15).
 8        5.  Provide  for  the registration with the Department of
 9    Agriculture of Colt Associations or county fairs desiring  to
10    sponsor races at county fairs.
11        (k)  The  Department  of Agriculture, with the advice and
12    assistance  of  the  Illinois  Standardbred   Breeders   Fund
13    Advisory Board, may allocate monies for purse supplements for
14    such races.  In determining whether to allocate money and the
15    amount, the Department of Agriculture shall consider factors,
16    including   but   not   limited   to,  the  amount  of  money
17    appropriated for  the  Illinois  Standardbred  Breeders  Fund
18    program,   the  number  of  races  that  may  occur,  and  an
19    organizational    licensee's    purse     structure.      The
20    organizational   licensee  shall  notify  the  Department  of
21    Agriculture of the conditions and minimum  purses  for  races
22    limited  to  Illinois  conceived  and  foaled  horses  to  be
23    conducted   by  each  organizational  licensee  conducting  a
24    harness racing meeting for which purse supplements have  been
25    negotiated.
26        (l)  All  races  held  at county fairs and the State Fair
27    which receive funds from the Illinois  Standardbred  Breeders
28    Fund  shall  be conducted in accordance with the rules of the
29    United States Trotting Association unless otherwise  modified
30    by the Department of Agriculture.
31        (m)  At  all standardbred race meetings held or conducted
32    under authority of a license granted by the Board, and at all
33    standardbred races held at county fairs which are approved by
34    the Department of Agriculture or at the Illinois  or  DuQuoin
 
                            -76-     LRB093 02207 LRD 16688 a
 1    State  Fairs,  no  one  shall  jog, train, warm up or drive a
 2    standardbred horse unless he or she is wearing  a  protective
 3    safety  helmet,  with  the  chin strap fastened and in place,
 4    which meets the standards and requirements as  set  forth  in
 5    the  1984 Standard for Protective Headgear for Use in Harness
 6    Racing and Other Equestrian Sports  published  by  the  Snell
 7    Memorial  Foundation,  or  any standards and requirements for
 8    headgear the Illinois Racing Board may  approve.   Any  other
 9    standards  and  requirements  so  approved by the Board shall
10    equal  or  exceed  those  published  by  the  Snell  Memorial
11    Foundation.  Any equestrian helmet bearing  the  Snell  label
12    shall be deemed to have met those standards and requirements.
13    (Source: P.A. 91-239, eff. 1-1-00.)

14        (230 ILCS 5/32.1)
15        Sec.  32.1.   Pari-mutuel tax credit; statewide racetrack
16    real  estate  equalization.  In  order   to   encourage   new
17    investment  in  Illinois  racetrack  facilities  and mitigate
18    differing real estate tax burdens among all  racetracks,  the
19    licensees  affiliated  or associated with each racetrack that
20    has been awarded live racing dates in the current year  shall
21    receive  an  immediate  pari-mutuel  tax  credit in an amount
22    equal to the greater of (i) 50% of the  amount  of  the  real
23    estate  taxes  paid  in  the  prior year attributable to that
24    racetrack, or (ii) the amount by which the real estate  taxes
25    paid in the prior year attributable to that racetrack exceeds
26    60%  of  the average real estate taxes paid in the prior year
27    for all racetracks awarded live horse  racing  meets  in  the
28    current year.
29        Each   year,   regardless  of  whether  the  organization
30    licensee conducted live racing in the year of  certification,
31    the Board shall certify in writing, prior to December 31, the
32    real  estate  taxes  paid in that year for each racetrack and
33    the  amount  of  the  pari-mutuel  tax   credit   that   each
 
                            -77-     LRB093 02207 LRD 16688 a
 1    organization  licensee,  intertrack  wagering  licensee,  and
 2    intertrack   wagering  location  licensee  that  derives  its
 3    license from such racetrack is  entitled  in  the  succeeding
 4    calendar  year.   The real estate taxes considered under this
 5    Section for any racetrack shall be those taxes  on  the  real
 6    estate parcels and related facilities used to conduct a horse
 7    race meeting and inter-track wagering at such racetrack under
 8    this  Act.  In  no  event  shall the amount of the tax credit
 9    under this Section exceed the  amount  of  pari-mutuel  taxes
10    otherwise  calculated  under  this Act. The amount of the tax
11    credit under this Section shall be retained by each  licensee
12    and  shall  not  be  subject  to  any reallocation or further
13    distribution  under  this  Act.   The  Board  may  promulgate
14    emergency rules to implement this Section.
15        An organization licensee shall no longer be  eligible  to
16    receive a pari-mutuel tax credit under this Section beginning
17    on  the  January  1  first  occurring  after the organization
18    licensee begins conducting electronic gaming pursuant  to  an
19    electronic  gaming  license  issued  under Section 7.4 of the
20    Riverboat Gambling Act or on January 1, 2005, whichever comes
21    first.  For  the  calendar  year  in  which  an  organization
22    licensee that is eligible to receive a pari-mutuel tax credit
23    under  this  Section  begins  conducting  electronic   gaming
24    pursuant  to  an electronic gaming license, the amount of the
25    pari-mutuel tax credit shall be reduced by a percentage equal
26    to  the  percentage  of  the   year   remaining   after   the
27    organization  licensee  begins  conducting  electronic gaming
28    pursuant to  its  electronic  gaming  license.  Beginning  on
29    January  1,  2005, the provisions of this Section shall be of
30    no force and effect.
31    (Source: P.A. 91-40, eff. 6-25-99.)

32        (230 ILCS 5/34.2 new)
33        Sec. 34.2.  Racetrack consolidation.
 
                            -78-     LRB093 02207 LRD 16688 a
 1        (a)  Findings.    The   General   Assembly   finds   that
 2    encouraging organization licensees  to  consolidate  will  be
 3    beneficial   to  the  horse  racing  industry.   The  General
 4    Assembly declares it to be the public policy of this State to
 5    enhance  the  viability  of  the  horse  racing  industry  by
 6    encouraging organization licensees to consolidate and not  be
 7    penalized  or  lose any rights, benefits, or powers by reason
 8    of such consolidation.
 9        (b)  Consolidation.   Notwithstanding  any  provision  of
10    this Act to the contrary, if 2 or more existing  organization
11    licensees  consolidate into a single organization licensee or
12    otherwise  form  a  joint   venture,   corporation,   limited
13    liability   company,   or   similar  consolidated  enterprise
14    (consolidated organization licensee) whereby the consolidated
15    organization licensee makes application or joint application,
16    as the case may be, as a  single  organization  licensee,  or
17    such  existing  licensees, after consolidation, make separate
18    applications in the names of such pre-existing licensees, the
19    newly  consolidated  organization  licensee  or   each   such
20    separate pre-existing licensee shall thereafter retain and be
21    entitled  to  all  of  the rights, benefits, and powers under
22    this Act that would  have  otherwise  accrued  to  each  such
23    individual  pre-consolidation  organization  licensee but for
24    such consolidation, regardless of whether all or a portion of
25    the facilities of  a  pre-consolidation  licensee  are  sold,
26    transferred,  or  otherwise cease to be utilized by the newly
27    consolidated  organization  licensee   or   either   of   the
28    pre-existing  licensees.  Such multiple rights, benefits, and
29    powers shall include, but not be limited to:
30             (1)  the  authority  to  make  application  for  and
31        receive, within  the  discretion  of  the  Board,  racing
32        dates,  including  host track days, in the same manner as
33        the individual pre-consolidation  organization  licensees
34        and  the racetracks from which the organization licensees
 
                            -79-     LRB093 02207 LRD 16688 a
 1        derive their licenses;
 2             (2)  the right to retain  the  existing  inter-track
 3        wagering   licenses  and  inter-track  wagering  location
 4        licenses of the individual pre-consolidation organization
 5        licensees and the racetracks from which the  organization
 6        licensees  derive  their  licenses,  and the authority to
 7        make application for future inter-track wagering licenses
 8        and inter-track wagering location licenses  in  the  same
 9        manner  as each individual pre-consolidation organization
10        licensee   and   the   racetracks   from    which    each
11        pre-consolidation   organization   licensee  derives  its
12        license, had or has in its own right; and
13             (3)  all existing and future rights,  benefits,  and
14        powers that the individual pre-consolidation organization
15        licensees  and the racetracks from which the organization
16        licensees  derive  their  licenses  would  have  had   or
17        received but for the consolidation.
18        The  newly  consolidated  organization  licensee shall be
19    subject to such taxation and fees as other similarly situated
20    organization licensees.

21        (230 ILCS 5/36) (from Ch. 8, par. 37-36)
22        Sec.  36.   (a)   Whoever  administers  or  conspires  to
23    administer to  any horse  a  hypnotic,  narcotic,  stimulant,
24    depressant  or  any  chemical  substance which may affect the
25    speed of a horse at any time in any race where the  purse  or
26    any  part  of  the  purse  is made of money authorized by any
27    Section  of  this  Act,  except  those  chemical   substances
28    permitted  by  ruling of the Board, internally, externally or
29    by hypodermic method in a race or prior thereto,  or  whoever
30    knowingly  enters  a  horse in any race within a period of 24
31    hours after any hypnotic, narcotic, stimulant, depressant  or
32    any  other chemical substance which may affect the speed of a
33    horse at any time, except those chemical substances permitted
 
                            -80-     LRB093 02207 LRD 16688 a
 1    by ruling of the Board, has been administered to  such  horse
 2    either  internally  or externally or by hypodermic method for
 3    the purpose of increasing or  retarding  the  speed  of  such
 4    horse  shall  be guilty of a Class 4 felony.  The Board shall
 5    suspend or revoke such violator's license.
 6        (b)  The term "hypnotic" as used in this Section includes
 7    all barbituric acid preparations and derivatives.
 8        (c)  The term "narcotic" as used in this Section includes
 9    opium  and  all  its  alkaloids,  salts,   preparations   and
10    derivatives,  cocaine  and  all  its  salts, preparations and
11    derivatives and substitutes.
12        (d)  The provisions of this Section 36 and the  treatment
13    authorized herein apply to horses entered in and competing in
14    race  meetings  as defined in Section 3.47 of this Act and to
15    horses entered in and competing at any county fair.
16    (Source: P.A. 79-1185.)

17        (230 ILCS 5/42) (from Ch. 8, par. 37-42)
18        Sec. 42.  (a)  Except as to the  distribution  of  monies
19    provided  for by Sections 28, 29, 30, and 31 and the treating
20    of horses as provided in Section 36,  nothing  whatsoever  in
21    this  Act shall be held or taken to apply to county fairs and
22    State Fairs or  to  agricultural  and  livestock  exhibitions
23    where  the  pari-mutuel system of wagering upon the result of
24    horses is not permitted or conducted.
25        (b)  Nothing herein shall  be  construed  to  permit  the
26    pari-mutuel  method  of  wagering  upon any race track unless
27    such race track is licensed under this  Act.   It  is  hereby
28    declared  to be unlawful for any person to permit, conduct or
29    supervise upon any race track ground the  pari-mutuel  method
30    of  wagering except in accordance with the provisions of this
31    Act.
32        (c)  Whoever violates subsection (b) of this  Section  is
33    guilty of a Class 4 felony.
 
                            -81-     LRB093 02207 LRD 16688 a
 1    (Source: P.A. 89-16, eff. 5-30-95.)

 2        (230 ILCS 5/56 new)
 3        Sec. 56. Electronic gaming.
 4        (a)  An  organization  licensee  may  apply to the Gaming
 5    Board for an electronic gaming license.  An electronic gaming
 6    license shall authorize  its  holder  to  conduct  electronic
 7    gaming  on  the  grounds  of the licensee's race track.  Each
 8    license shall specify the number of gaming positions that its
 9    holder may operate.  An electronic gaming  licensee  may  not
10    permit  persons  under  21  years of age to be present in its
11    electronic gaming  facility,  but  the  licensee  may  accept
12    pari-mutuel wagers at its electronic gaming facility that are
13    placed by persons who are at least 21 years of age.
14        If   employees   of   an   organization  licensee  accept
15    pari-mutuel  wagers  at  a  portion   of   the   organization
16    licensee's  race track that is not separate and distinct from
17    its electronic  gaming  facility,  those  employees  must  be
18    licensed  in  the  same  manner as employees of an electronic
19    gaming  facility  and  must  undergo  the   same   background
20    investigation  under  the Riverboat Gambling Act as employees
21    of an electronic gaming facility.
22        (b)  Prior to the payment of any taxes under  Section  13
23    of the Riverboat Gambling Act, of the adjusted gross receipts
24    received  by  an  electronic  gaming licensee from electronic
25    gaming, 14% of those adjusted gross receipts received  during
26    the  first  5  years  that  the  licensee conducts electronic
27    gaming and 15% of  those  adjusted  gross  receipts  received
28    during  the  sixth and all subsequent years that the licensee
29    conducts electronic gaming shall  be  paid  to  purse  equity
30    accounts  as provided by current law or as provided by Racing
31    Board rule. Of the moneys paid  into  purse  equity  accounts
32    under  this subsection (b), 58% shall be paid to thoroughbred
33    purse equity accounts and 48% shall be paid  to  standardbred
 
                            -82-     LRB093 02207 LRD 16688 a
 1    purse equity accounts.
 2        (c)  Prior  to  the payment of any taxes under Section 13
 3    of the Riverboat Gambling Act, the following amounts shall be
 4    paid each month by all electronic gaming licensees  from  the
 5    adjusted  gross  receipts received by those electronic gaming
 6    licensees:
 7             (1)  1/12  of  $5,000,000  shall  be  paid  to   the
 8        Department   of   Agriculture   and  distributed  by  the
 9        Department  as  determined  by  rule  into  the  Illinois
10        Thoroughbred Breeders Fund and the Illinois  Standardbred
11        Breeders Fund;
12             (2)  1/12  of $1,250,000 shall be paid to the Racing
13        Industry Charitable Foundation;
14             (3)  1/12  of  $500,000  shall  be   paid   to   the
15        Department   of   Agriculture   and  distributed  by  the
16        Department as determined by rule  to  State  universities
17        for equine research; and
18             (4)  1/12   of  $500,000  shall  be  paid  into  the
19        Illinois Quarterhorse Breeders Fund.
20        The payments required under this subsection (c) shall  be
21    paid  by  electronic gaming licensees, pro rata, based on the
22    total amount wagered  at  each  of  those  electronic  gaming
23    licensees'  electronic  gaming  facilities  in  the  previous
24    month.
25        (d)  The  amounts  remaining  after all payments required
26    under this Section and under  Section  13  of  the  Riverboat
27    Gambling  Act  shall  be  retained  by  the electronic gaming
28    licensee.

29        (230 ILCS 5/57 new)
30        Sec. 57.  Marketing and Promotion.
31        (a)  Beginning January 30,  2004  and  every  January  30
32    thereafter,  each  organization  licensee  shall  certify the
33    amounts it spent on marketing and promoting  horseracing  and
 
                            -83-     LRB093 02207 LRD 16688 a
 1    electronic gaming in the immediately previous calendar year.
 2        (b)  Beginning  with  calendar  year 2004, and every year
 3    thereafter, each organization licensees that was  awarded  an
 4    electronic  gaming license by the Gaming Board shall spend on
 5    the marketing of horseracing in each calendar  year  no  less
 6    than  the  organization  licensee  spent  on the marketing of
 7    horseracing in calendar year 2003.
 8        (c)  Beginning with calendar year 2004,  an  organization
 9    licensee that was awarded an electronic gaming license by the
10    Gaming  Board  shall be required to spend on the marketing of
11    electronic gaming in each calendar  year  no  less  than  the
12    amount  that the organization licensee spent on the marketing
13    of horseracing in calendar year 2003. At  least  50%  of  any
14    advertising  spent  to  promote  electronic gaming shall also
15    promote horseracing. Advertising includes direct spending for
16    print and electronic media.
17        (d)  If the average total daily handle on live race meets
18    of an organization licensee that was  awarded  an  electronic
19    gaming  license  by the Gaming Board decreases by 15% or more
20    compared to the average daily handle for live race  meets  of
21    that licensee in the immediately previous calendar year, that
22    organization licensee shall increase advertising expenditures
23    promoting  horseracing  by  50%  in the immediately following
24    calendar year,  unless  the  organization  licensee  and  its
25    representative  horsemen's  association  agree  otherwise  in
26    writing.  An  organization  licensee  that experiences such a
27    decrease in average daily handle for live  race  meets  shall
28    notify  the  Racing  Board  of  the amount that it intends to
29    spend on advertising horseracing in the immediately following
30    calendar year.
31        (e)  Before November 30 of  each  year,  an  organization
32    licensee  that has been awarded race dates for the subsequent
33    year  shall  convene  a  meeting  with   representatives   of
34    horsemen's associations to discuss, review, and solicit input
 
                            -84-     LRB093 02207 LRD 16688 a
 1    regarding  the  horseracing  marketing  plans for horseracing
 2    promotional  programs  conducted  in  the  current  year  and
 3    planned for the subsequent year.

 4        Section 80.  The Riverboat Gambling  Act  is  amended  by
 5    changing Sections 3, 4, 5, 7, 8, 9, 11, 11.1, 12, 13, 14, 18,
 6    19,  and  20  and adding Sections 7.4, 7.5, 13.2, and 13.3 as
 7    follows:

 8        (230 ILCS 10/3) (from Ch. 120, par. 2403)
 9        Sec. 3.  Riverboat Gambling Authorized.
10        (a)  Riverboat gambling operations and electronic  gaming
11    operations  and  the system of wagering incorporated therein,
12    as defined in this Act, are hereby authorized to  the  extent
13    that  they  are carried out in accordance with the provisions
14    of this Act.
15        (b)  This Act does not apply to the pari-mutuel system of
16    wagering used or intended to be used in connection  with  the
17    horse-race  meetings  as  authorized under the Illinois Horse
18    Racing Act  of  1975,  lottery  games  authorized  under  the
19    Illinois  Lottery  Law,  bingo  authorized  under  the  Bingo
20    License  and  Tax  Act, charitable games authorized under the
21    Charitable Games Act or pull tabs  and  jar  games  conducted
22    under the Illinois Pull Tabs and Jar Games Act. This Act does
23    apply  to  electronic  gaming  authorized  under the Illinois
24    Horse Racing Act of 1975 to the extent provided in  that  Act
25    and in this Act.
26        (c)  Riverboat  gambling  conducted  pursuant to this Act
27    may be authorized upon any water within the State of Illinois
28    or any water other than Lake  Michigan  which  constitutes  a
29    boundary  of  the  State  of Illinois. A licensee may conduct
30    riverboat gambling authorized under this  Act  regardless  of
31    whether it conducts excursion cruises.  A licensee may permit
32    the  continuous  ingress  and  egress  of  passengers for the
 
                            -85-     LRB093 02207 LRD 16688 a
 1    purpose of gambling.
 2        (d)  Electronic gaming may  be  conducted  at  electronic
 3    gaming facilities as authorized under this Act.
 4    (Source: P.A. 91-40, eff. 6-25-99.)

 5        (230 ILCS 10/4) (from Ch. 120, par. 2404)
 6        Sec. 4.  Definitions. As used in this Act:
 7        (a)  "Board" means the Illinois Gaming Board.
 8        (b)  "Occupational license" means a license issued by the
 9    Board  to  a  person or entity to perform an occupation which
10    the Board has identified as requiring a license to engage  in
11    riverboat gambling in Illinois.
12        (c)  "Gambling  game"  includes,  but  is not limited to,
13    baccarat, twenty-one, poker, craps, slot machine, video  game
14    of  chance,  roulette wheel, klondike table, punchboard, faro
15    layout, keno layout, numbers ticket, push card,  jar  ticket,
16    or  pull  tab  which is authorized by the Board as a wagering
17    device under this Act.
18        (d)  "Riverboat" means a self-propelled excursion boat, a
19    permanently moored barge, or permanently moored  barges  that
20    are  permanently  fixed together to operate as one vessel, on
21    which lawful gambling is authorized and licensed as  provided
22    in this Act.
23        (e)  (Blank).
24        (f)  "Dock"  means  the  location where a riverboat moors
25    for the purpose of embarking passengers for and  disembarking
26    passengers from the riverboat.
27        (g)  "Gross  receipts"  means  the  total amount of money
28    exchanged for the purchase of  chips,  tokens  or  electronic
29    cards  by  riverboat  patrons  or electronic gaming operation
30    patrons.
31        (h)  "Adjusted gross receipts" means the  gross  receipts
32    less winnings paid to wagerers.
33        (i)  "Cheat"  means  to  alter  the selection of criteria
 
                            -86-     LRB093 02207 LRD 16688 a
 1    which determine the result of a gambling game or  the  amount
 2    or frequency of payment in a gambling game.
 3        (j)  "Department" means the Department of Revenue.
 4        (k)  "Gambling operation" means the conduct of authorized
 5    gambling  games authorized under this Act on upon a riverboat
 6    or authorized under this Act and the  Illinois  Horse  Racing
 7    Act of 1975 at an electronic gaming facility.
 8        "Owners  license"  means  a  license to conduct riverboat
 9    gambling operations,  but  does  not  include  an  electronic
10    gaming license.
11        "Licensed  owner"  means  a  person  who  holds an owners
12    license.
13        "Electronic gaming license" means a license issued by the
14    Board under Section 7.4 of this  Act  authorizing  electronic
15    gaming at an electronic gaming facility.
16        "Electronic  gaming"  means the conduct of gambling using
17    slot machines, video games of chance,  or  both,  at  a  race
18    track  licensed  under  the Illinois Horse Racing Act of 1975
19    pursuant to the Illinois Horse Racing Act of  1975  and  this
20    Act.
21        "Electronic  gaming  facility"  means  the area where the
22    Board has authorized electronic gaming at a race track of  an
23    organization  licensee under the Illinois Horse Racing Act of
24    1975 that holds an electronic gaming license.
25        "Organization licensee" means an entity authorized by the
26    Illinois Racing Board  to  conduct  pari-mutuel  wagering  in
27    accordance with the Illinois Horse Racing Act of 1975.
28        "Gambling  participant"  and  "gaming position" both have
29    the same meaning as the term "gaming position" as defined  by
30    the Board by rule.
31    (Source: P.A. 91-40, eff. 6-25-99; 92-600, eff. 6-28-02.)

32        (230 ILCS 10/5) (from Ch. 120, par. 2405)
33        Sec. 5.  Gaming Board.
 
                            -87-     LRB093 02207 LRD 16688 a
 1        (a) (1)  There   is   hereby   established   within   the
 2    Department  of  Revenue  an Illinois Gaming Board which shall
 3    have the powers and duties specified in  this  Act,  and  all
 4    other  powers  necessary  and proper to fully and effectively
 5    execute  this  Act  for   the   purpose   of   administering,
 6    regulating,  and  enforcing  the system of riverboat gambling
 7    established by this Act. Its jurisdiction shall extend  under
 8    this   Act   to   every   person,  association,  corporation,
 9    partnership  and  trust  involved   in   riverboat   gambling
10    operations in the State of Illinois.
11        (2)  The Board shall consist of 5 members to be appointed
12    by  the  Governor  with the advice and consent of the Senate,
13    one of whom  shall  be  designated  by  the  Governor  to  be
14    chairman.   Each  member shall have a reasonable knowledge of
15    the  practice,   procedure   and   principles   of   gambling
16    operations.  Each  member  shall  either  be  a  resident  of
17    Illinois  or  shall certify that he will become a resident of
18    Illinois before taking office. At least one member  shall  be
19    experienced in law enforcement and criminal investigation, at
20    least  one  member  shall  be  a  certified public accountant
21    experienced in accounting and  auditing,  and  at  least  one
22    member  shall  be  a  lawyer  licensed  to  practice  law  in
23    Illinois.
24        (3)  The  terms of office of the Board members shall be 3
25    years, except that the terms of office of the  initial  Board
26    members appointed pursuant to this Act will commence from the
27    effective  date  of  this  Act and run as follows:  one for a
28    term ending July 1, 1991, 2 for a term ending July  1,  1992,
29    and 2 for a term ending July 1, 1993.  Upon the expiration of
30    the  foregoing  terms,  the  successors of such members shall
31    serve a term for 3  years  and  until  their  successors  are
32    appointed  and  qualified  for  like  terms. Vacancies in the
33    Board shall be filled for the unexpired term in  like  manner
34    as  original appointments.  Each member of the Board shall be
 
                            -88-     LRB093 02207 LRD 16688 a
 1    eligible for reappointment at the discretion of the  Governor
 2    with the advice and consent of the Senate.
 3        (4)  Each member of the Board shall receive $300 for each
 4    day  the Board meets and for each day the member conducts any
 5    hearing pursuant to this Act.  Each member of the Board shall
 6    also be reimbursed for all actual and necessary expenses  and
 7    disbursements incurred in the execution of official duties.
 8        (5)  No  person  shall be appointed a member of the Board
 9    or continue to be a member of the  Board  who  is,  or  whose
10    spouse,  child  or  parent  is,  a  member  of  the  board of
11    directors of, or a  person  financially  interested  in,  any
12    gambling operation subject to the jurisdiction of this Board,
13    or  any  race  track, race meeting, racing association or the
14    operations  thereof  subject  to  the  jurisdiction  of   the
15    Illinois  Racing Board.  No Board member shall hold any other
16    public office for which he shall receive  compensation  other
17    than  necessary  travel  or  other  incidental  expenses.  No
18    person shall be a member of the Board  who  is  not  of  good
19    moral  character  or  who  has been convicted of, or is under
20    indictment for, a felony under the laws of  Illinois  or  any
21    other state, or the United States.
22        (6)  Any  member  of  the  Board  may  be  removed by the
23    Governor for neglect of duty,  misfeasance,  malfeasance,  or
24    nonfeasance in office.
25        (7)  Before  entering upon the discharge of the duties of
26    his office, each member of the Board shall take an oath  that
27    he will faithfully execute the duties of his office according
28    to  the  laws  of  the  State  and  the rules and regulations
29    adopted therewith  and  shall  give  bond  to  the  State  of
30    Illinois,  approved  by  the Governor, in the sum of $25,000.
31    Every such bond, when duly executed and  approved,  shall  be
32    recorded  in  the office of the Secretary of State.  Whenever
33    the Governor determines that the bond of any  member  of  the
34    Board   has   become  or  is  likely  to  become  invalid  or
 
                            -89-     LRB093 02207 LRD 16688 a
 1    insufficient, he shall require such member forthwith to renew
 2    his bond, which is to  be  approved  by  the  Governor.   Any
 3    member  of  the  Board  who  fails to take oath and give bond
 4    within 30 days from the date of his appointment, or who fails
 5    to renew his bond within 30 days after it is demanded by  the
 6    Governor,  shall  be  guilty  of  neglect  of duty and may be
 7    removed by the Governor.  The cost of any bond given  by  any
 8    member of the Board under this Section shall be taken to be a
 9    part of the necessary expenses of the Board.
10        (8)  Upon  the request of the Board, the Department shall
11    employ such personnel as may be necessary to  carry  out  the
12    functions of the Board.  No person shall be employed to serve
13    the  Board  who  is,  or whose spouse, parent or child is, an
14    official of, or has a  financial  interest  in  or  financial
15    relation  with,  any  operator engaged in gambling operations
16    within this State or any organization engaged  in  conducting
17    horse racing within this State.  Any employee violating these
18    prohibitions shall be subject to termination of employment.
19        (9)  An  Administrator  shall  perform any and all duties
20    that  the  Board  shall  assign  him.   The  salary  of   the
21    Administrator  shall  be determined by the Board and approved
22    by the Director of the Department and, in addition, he  shall
23    be  reimbursed for all actual and necessary expenses incurred
24    by  him  in  discharge   of   his   official   duties.    The
25    Administrator  shall  keep  records of all proceedings of the
26    Board and shall preserve all records,  books,  documents  and
27    other papers belonging to the Board or entrusted to its care.
28    The Administrator shall devote his full time to the duties of
29    the office and shall not hold any other office or employment.
30        (b)  The  Board shall have general responsibility for the
31    implementation of this  Act.   Its  duties  include,  without
32    limitation, the following:
33             (1)  To  decide promptly and in reasonable order all
34        license applications. Any party aggrieved by an action of
 
                            -90-     LRB093 02207 LRD 16688 a
 1        the Board denying, suspending, revoking,  restricting  or
 2        refusing  to renew a license may request a hearing before
 3        the Board.  A request for a hearing must be made  to  the
 4        Board in writing within 5 days after service of notice of
 5        the  action  of  the  Board.  Notice of the action of the
 6        Board shall be served either by personal delivery  or  by
 7        certified mail, postage prepaid, to the aggrieved party.
 8        Notice  served by certified mail shall be deemed complete
 9        on the business day following the date of  such  mailing.
10        The  Board  shall conduct all requested hearings promptly
11        and in reasonable order;
12             (2)  To conduct all  hearings  pertaining  to  civil
13        violations   of   this   Act  or  rules  and  regulations
14        promulgated hereunder;
15             (3)  To promulgate such rules and regulations as  in
16        its  judgment  may be necessary to protect or enhance the
17        credibility  and   integrity   of   gambling   operations
18        authorized   by  this  Act  and  the  regulatory  process
19        hereunder;
20             (4)  To provide for the establishment and collection
21        of all license and registration fees and taxes imposed by
22        this Act and the rules and  regulations  issued  pursuant
23        hereto.   All such fees and taxes shall be deposited into
24        the State Gaming Fund;
25             (5)  To provide  for  the  levy  and  collection  of
26        penalties  and  fines  for the violation of provisions of
27        this  Act  and  the  rules  and  regulations  promulgated
28        hereunder.   All  such  fines  and  penalties  shall   be
29        deposited  into the Education Assistance Fund, created by
30        Public Act 86-0018, of the State of Illinois;
31             (6)  To be present through its inspectors and agents
32        any  time  gambling  operations  are  conducted  on   any
33        riverboat  or  at  any electronic gaming facility for the
34        purpose of  certifying  the  revenue  thereof,  receiving
 
                            -91-     LRB093 02207 LRD 16688 a
 1        complaints  from  the  public,  and conducting such other
 2        investigations into the conduct of the gambling games and
 3        the maintenance of the equipment as from time to time the
 4        Board may deem necessary and proper;
 5             (7)  To review and rule  upon  any  complaint  by  a
 6        licensee  regarding  any  investigative procedures of the
 7        State which  are  unnecessarily  disruptive  of  gambling
 8        operations.  The need to inspect and investigate shall be
 9        presumed  at  all  times.  The disruption of a licensee's
10        operations  shall  be  proved  by  clear  and  convincing
11        evidence, and establish that:  (A) the procedures had  no
12        reasonable   law   enforcement   purposes,  and  (B)  the
13        procedures were so disruptive as to unreasonably  inhibit
14        gambling operations;
15             (8)  To  hold  at  least one meeting each quarter of
16        the fiscal year.  In addition, special  meetings  may  be
17        called  by  the  Chairman  or any 2 Board members upon 72
18        hours written notice to each member.  All Board  meetings
19        shall  be subject to the Open Meetings Act. Three members
20        of the Board shall constitute a quorum, and 3 votes shall
21        be required for any final  determination  by  the  Board.
22        The  Board  shall  keep a complete and accurate record of
23        all its meetings. A majority of the members of the  Board
24        shall  constitute  a  quorum  for  the transaction of any
25        business, for the performance of any  duty,  or  for  the
26        exercise  of  any power which this Act requires the Board
27        members to transact, perform or exercise en banc,  except
28        that,  upon  order of the Board, one of the Board members
29        or an administrative law judge designated  by  the  Board
30        may conduct any hearing provided for under this Act or by
31        Board  rule  and  may recommend findings and decisions to
32        the Board.  The Board member or administrative law  judge
33        conducting  such hearing shall have all powers and rights
34        granted to the Board in this Act. The record made at  the
 
                            -92-     LRB093 02207 LRD 16688 a
 1        time  of the hearing shall be reviewed by the Board, or a
 2        majority thereof, and the findings and  decision  of  the
 3        majority  of  the Board shall constitute the order of the
 4        Board in such case;
 5             (9)  To maintain  records  which  are  separate  and
 6        distinct  from  the  records  of any other State board or
 7        commission.  Such records shall be available  for  public
 8        inspection   and   shall  accurately  reflect  all  Board
 9        proceedings;
10             (10)  To file  a  written  annual  report  with  the
11        Governor  on  or  before  March  1  each  year  and  such
12        additional  reports  as  the  Governor  may  request. The
13        annual report shall include a statement of  receipts  and
14        disbursements  by  the Board, actions taken by the Board,
15        and any additional information and recommendations  which
16        the  Board  may  deem  valuable or which the Governor may
17        request;
18             (11)  (Blank); and
19             (12)  To    assume    responsibility     for     the
20        administration  and  enforcement of the Bingo License and
21        Tax Act, the Charitable Games Act, and the Pull Tabs  and
22        Jar  Games  Act if such responsibility is delegated to it
23        by the Director of Revenue; and.
24             (13)  To    assume    responsibility     for     the
25        administration   and   enforcement   of   operations   at
26        electronic gaming facilities pursuant to this Act and the
27        Illinois Horse Racing Act of 1975.
28        (c)  The  Board  shall  have  jurisdiction over and shall
29    supervise all gambling operations governed by this Act.   The
30    Board shall have all powers necessary and proper to fully and
31    effectively  execute  the  provisions of this Act, including,
32    but not limited to, the following:
33             (1)  To investigate  applicants  and  determine  the
34        eligibility  of  applicants  for  licenses  and to select
 
                            -93-     LRB093 02207 LRD 16688 a
 1        among competing  applicants  the  applicants  which  best
 2        serve the interests of the citizens of Illinois.
 3             (2)  To  have  jurisdiction and supervision over all
 4        riverboat gambling operations authorized under  this  Act
 5        in  this  State  and  all persons in places on riverboats
 6        where gambling operations are conducted.
 7             (3)  To promulgate rules  and  regulations  for  the
 8        purpose  of  administering the provisions of this Act and
 9        to prescribe  rules,  regulations  and  conditions  under
10        which  all  riverboat gambling operations subject to this
11        Act in the State shall  be  conducted.   Such  rules  and
12        regulations   are   to  provide  for  the  prevention  of
13        practices detrimental to the public interest and for  the
14        best interests of riverboat gambling, including rules and
15        regulations regarding the inspection of electronic gaming
16        facilities  and  such  riverboats  and  the review of any
17        permits or licenses  necessary  to  operate  a  riverboat
18        under  any  laws or regulations applicable to riverboats,
19        and to impose penalties for violations thereof.
20             (4)  To enter  the  office,  riverboats,  electronic
21        gaming  facilities, and other facilities, or other places
22        of  business  of  a  licensee,  where  evidence  of   the
23        compliance  or  noncompliance with the provisions of this
24        Act is likely to be found.
25             (5)  To investigate alleged violations of  this  Act
26        or  the  rules  of  the  Board  and  to  take appropriate
27        disciplinary action against a licensee or a holder of  an
28        occupational   license  for  a  violation,  or  institute
29        appropriate legal action for enforcement, or both.
30             (6)  To adopt standards for  the  licensing  of  all
31        persons  under  this  Act,  as  well as for electronic or
32        mechanical gambling games, and to establish fees for such
33        licenses.
34             (7)  To  adopt   appropriate   standards   for   all
 
                            -94-     LRB093 02207 LRD 16688 a
 1        electronic   gaming  facilities,  riverboats,  and  other
 2        facilities authorized under this Act.
 3             (8)  To  require   that   the   records,   including
 4        financial  or other statements of any licensee under this
 5        Act, shall be kept in such manner as  prescribed  by  the
 6        Board   and  that  any  such  licensee  involved  in  the
 7        ownership or management of gambling operations submit  to
 8        the  Board  an  annual  balance sheet and profit and loss
 9        statement, list of  the  stockholders  or  other  persons
10        having  a  1%  or  greater  beneficial  interest  in  the
11        gambling  activities  of  each  licensee,   and any other
12        information  the  Board  deems  necessary  in  order   to
13        effectively   administer   this   Act   and   all  rules,
14        regulations, orders and final decisions promulgated under
15        this Act.
16             (9)  To conduct hearings, issue  subpoenas  for  the
17        attendance of witnesses and subpoenas duces tecum for the
18        production   of   books,   records  and  other  pertinent
19        documents in accordance with the Illinois  Administrative
20        Procedure  Act,  and to administer oaths and affirmations
21        to the witnesses, when, in the judgment of the Board,  it
22        is  necessary  to  administer  or enforce this Act or the
23        Board rules.
24             (10)  To prescribe a form to be used by any licensee
25        involved in  the  ownership  or  management  of  gambling
26        operations  as  an  application  for employment for their
27        employees.
28             (11)  To revoke or suspend licenses,  as  the  Board
29        may see fit and in compliance with applicable laws of the
30        State  regarding administrative procedures, and to review
31        applications for the renewal of licenses.  The Board  may
32        suspend  an  owners license or electronic gaming license,
33        without notice or hearing, upon a determination that  the
34        safety  or  health of patrons or employees is jeopardized
 
                            -95-     LRB093 02207 LRD 16688 a
 1        by continuing a gambling operation conducted  under  that
 2        license  a  riverboat's  operation.   The  suspension may
 3        remain in effect until  the  Board  determines  that  the
 4        cause  for  suspension  has  been  abated.  The Board may
 5        revoke the owners license or  electronic  gaming  license
 6        upon a determination that the licensee owner has not made
 7        satisfactory progress toward abating the hazard.
 8             (12)  To  eject or exclude or authorize the ejection
 9        or exclusion  of,  any  person  from  riverboat  gambling
10        facilities where that such person is in violation of this
11        Act, rules and regulations thereunder, or final orders of
12        the  Board,  or where such person's conduct or reputation
13        is such that his or her  presence  within  the  riverboat
14        gambling  facilities  may,  in  the opinion of the Board,
15        call into question  the  honesty  and  integrity  of  the
16        gambling operations or interfere with the orderly conduct
17        thereof;  provided that the propriety of such ejection or
18        exclusion is subject to subsequent hearing by the Board.
19             (13)  To   require   all   licensees   of   gambling
20        operations to utilize a cashless wagering system  whereby
21        all  players'  money  is  converted to tokens, electronic
22        cards, or chips which shall be used only for wagering  in
23        the gambling establishment.
24             (14)  (Blank).
25             (15)  To  suspend,  revoke  or restrict licenses, to
26        require the removal of a licensee or  an  employee  of  a
27        licensee  for  a violation of this Act or a Board rule or
28        for engaging in a  fraudulent  practice,  and  to  impose
29        civil  penalties  of up to $5,000 against individuals and
30        up to $10,000 or an  amount  equal  to  the  daily  gross
31        receipts, whichever is larger, against licensees for each
32        violation  of any provision of the Act, any rules adopted
33        by the Board, any order of the Board or any other  action
34        which,  in  the  Board's  discretion,  is  a detriment or
 
                            -96-     LRB093 02207 LRD 16688 a
 1        impediment to riverboat gambling operations.
 2             (16)  To  hire  employees  to  gather   information,
 3        conduct  investigations  and  carry  out  any other tasks
 4        contemplated under this Act.
 5             (17)  To establish minimum levels of insurance to be
 6        maintained by licensees.
 7             (18)  To authorize  a  licensee  to  sell  or  serve
 8        alcoholic  liquors, wine or beer as defined in the Liquor
 9        Control Act of 1934 on board  a  riverboat  and  to  have
10        exclusive  authority  to establish the hours for sale and
11        consumption of alcoholic liquor  on  board  a  riverboat,
12        notwithstanding  any  provision of the Liquor Control Act
13        of 1934 or any local ordinance, and regardless of whether
14        the riverboat makes excursions.  The establishment of the
15        hours for sale and consumption  of  alcoholic  liquor  on
16        board  a  riverboat is an exclusive power and function of
17        the State.  A home rule unit may not establish the  hours
18        for  sale  and consumption of alcoholic liquor on board a
19        riverboat.  This subdivision (18) amendatory Act of  1991
20        is  a  denial  and  limitation  of  home  rule powers and
21        functions under subsection (h) of Section  6  of  Article
22        VII of the Illinois Constitution.
23             (19)  After consultation with the U.S. Army Corps of
24        Engineers, to establish binding emergency orders upon the
25        concurrence  of  a  majority  of the members of the Board
26        regarding  the  navigability  of   water,   relative   to
27        excursions,  in  the event of extreme weather conditions,
28        acts of God or other extreme circumstances.
29             (20)  To delegate the execution of any of its powers
30        under this Act  for  the  purpose  of  administering  and
31        enforcing   this   Act  and  its  rules  and  regulations
32        hereunder.
33             (21)  To  make  rules  concerning  the  conduct   of
34        electronic gaming.
 
                            -97-     LRB093 02207 LRD 16688 a
 1             (22)  (21)  To  take  any  other  action  as  may be
 2        reasonable or appropriate to enforce this Act  and  rules
 3        and regulations hereunder.
 4        (d)  The Board may seek and shall receive the cooperation
 5    of  the  Department  of State Police in conducting background
 6    investigations  of   applicants   and   in   fulfilling   its
 7    responsibilities  under  this Section.  Costs incurred by the
 8    Department of State Police as a result  of  such  cooperation
 9    shall   be   paid  by  the  Board  in  conformance  with  the
10    requirements of Section 2605-400 of the Department  of  State
11    Police Law (20 ILCS 2605/2605-400).
12        (e)  The Board must authorize to each investigator and to
13    any  other  employee  of the Board exercising the powers of a
14    peace officer a distinct badge that, on its face, (i) clearly
15    states that the badge is authorized by  the  Board  and  (ii)
16    contains  a  unique identifying number.  No other badge shall
17    be authorized by the Board.
18    (Source:  P.A.  91-40,  eff.  1-1-00;  91-239,  eff.  1-1-00;
19    91-883, eff. 1-1-01.)

20        (230 ILCS 10/7) (from Ch. 120, par. 2407)
21        Sec. 7.  Owners Licenses.
22        (a)  The Board shall issue owners  licenses  to  persons,
23    firms  or  corporations  which  apply  for such licenses upon
24    payment to the Board of the non-refundable license fee set by
25    the Board, upon payment of a  $25,000  license  fee  for  the
26    first  year  of  operation  and a $5,000 license fee for each
27    succeeding year and upon a determination by  the  Board  that
28    the  applicant is eligible for an owners  license pursuant to
29    this Act and the rules of  the  Board.   A  person,  firm  or
30    corporation is ineligible to receive an owners license if:
31             (1)  the person has been convicted of a felony under
32        the  laws  of  this State, any other state, or the United
33        States;
 
                            -98-     LRB093 02207 LRD 16688 a
 1             (2)  the person has been convicted of any  violation
 2        of   Article   28  of  the  Criminal  Code  of  1961,  or
 3        substantially similar laws of any other jurisdiction;
 4             (3)  the person has submitted an application  for  a
 5        license under this Act which contains false information;
 6             (4)  the person is a member of the Board;
 7             (5)  a  person defined in (1), (2), (3) or (4) is an
 8        officer, director or managerial employee of the  firm  or
 9        corporation;
10             (6)  the   firm  or  corporation  employs  a  person
11        defined in (1), (2), (3) or (4) who participates  in  the
12        management or operation of gambling operations authorized
13        under this Act;
14             (7)  (blank); or
15             (8)  a  license  of  the person, firm or corporation
16        issued under this Act, or a license  to  own  or  operate
17        gambling  facilities  in any other jurisdiction, has been
18        revoked.
19        (b)  In determining whether to grant an owners license to
20    an applicant, the Board shall consider:
21             (1)  the  character,  reputation,  experience    and
22        financial integrity of the applicants and of any other or
23        separate person that either:
24                  (A)  controls,  directly  or  indirectly,  such
25             applicant, or
26                  (B)  is  controlled, directly or indirectly, by
27             such  applicant  or  by  a  person  which  controls,
28             directly or indirectly, such applicant;
29             (2)  the facilities or proposed facilities  for  the
30        conduct of riverboat gambling;
31             (3)  the  highest  prospective  total  revenue to be
32        derived by  the  State  from  the  conduct  of  riverboat
33        gambling;
34             (4)  the  good faith affirmative action plan of each
 
                            -99-     LRB093 02207 LRD 16688 a
 1        applicant to recruit, train and upgrade minorities in all
 2        employment classifications;
 3             (5)  the  financial  ability  of  the  applicant  to
 4        purchase and maintain  adequate  liability  and  casualty
 5        insurance;
 6             (6)  whether     the    applicant    has    adequate
 7        capitalization to provide and maintain, for the  duration
 8        of a license, a riverboat; and
 9             (7)  the  extent  to  which the applicant exceeds or
10        meets other standards  for  the  issuance  of  an  owners
11        license which the Board may adopt by rule.
12        (c)  Each  owners  license  shall specify the place where
13    riverboats shall operate and dock.
14        (d)  Each applicant shall submit with his application, on
15    forms provided by the Board, 2 sets of his fingerprints.
16        (e)  The Board may issue up to  10  licenses  authorizing
17    the  holders  of  such  licenses  to  own riverboats.  In the
18    application for an owners license, the applicant shall  state
19    the  dock  at  which  the riverboat is based and the water on
20    which the riverboat will be located.  The Board shall issue 5
21    licenses to become effective  not  earlier  than  January  1,
22    1991.   Three  of  such  licenses  shall  authorize riverboat
23    gambling on the Mississippi River or in a  municipality  that
24    (1)  borders on the Mississippi River or is within 5 miles of
25    the city  limits  of  a  municipality  that  borders  on  the
26    Mississippi  River  and  (2),  on  the effective date of this
27    amendatory Act of the 93rd General Assembly, has a  riverboat
28    conducting   riverboat  gambling  operations  pursuant  to  a
29    license issued under this Act, one of which  shall  authorize
30    riverboat  gambling  from a home dock in the city of East St.
31    Louis, and one of which shall authorize riverboat gambling on
32    the Mississippi River or in a municipality that  (1)  borders
33    on  the  Mississippi  River  or is within 5 miles of the city
34    limits of a municipality  that  borders  on  the  Mississippi
 
                            -100-    LRB093 02207 LRD 16688 a
 1    River and (2) on the effective date of this amendatory Act of
 2    the   92nd   General  Assembly  has  a  riverboat  conducting
 3    riverboat gambling operations pursuant to  a  license  issued
 4    under  this  Act. One other license shall authorize riverboat
 5    gambling on the Illinois River south of Marshall County.  The
 6    Board shall issue one additional license to become  effective
 7    not  earlier  than  March  1,  1992,  which  shall  authorize
 8    riverboat  gambling  on the Des Plaines River in Will County.
 9    The Board may issue 4 additional licenses to become effective
10    not earlier than March 1, 1992.   In  determining  the  water
11    upon  which riverboats will operate, the Board shall consider
12    the economic benefit which riverboat gambling confers on  the
13    State, and shall seek to assure that all regions of the State
14    share in the economic benefits of riverboat gambling.
15        In  granting  all  licenses, the Board may give favorable
16    consideration to economically depressed areas of  the  State,
17    to  applicants presenting plans which provide for significant
18    economic development over a large  geographic  area,  and  to
19    applicants  who  currently operate non-gambling riverboats in
20    Illinois.  The Board shall review all applications for owners
21    licenses, and shall inform  each  applicant  of  the  Board's
22    decision.
23        The  Board  may  revoke  the owners license of a licensee
24    which fails to begin conducting gambling within 15 months  of
25    receipt  of  the  Board's  approval of the application if the
26    Board determines that  license  revocation  is  in  the  best
27    interests of the State.
28        (f)  The  first  10 owners licenses issued under this Act
29    shall permit the  holder  to  own  up  to  2  riverboats  and
30    equipment thereon for a period of 3 years after the effective
31    date  of the license. Holders of the first 10 owners licenses
32    must pay the annual license fee  for  each  of  the  3  years
33    during which they are authorized to own riverboats.
34        (g)  Upon  the  termination, expiration, or revocation of
 
                            -101-    LRB093 02207 LRD 16688 a
 1    each of the first 10 licenses, which shall be issued for a  3
 2    year period, all licenses are renewable annually upon payment
 3    of the fee and a determination by the Board that the licensee
 4    continues to meet all of the requirements of this Act and the
 5    Board's rules.  However, for licenses renewed on or after May
 6    1, 1998, renewal shall be for a period of 4 years, unless the
 7    Board sets a shorter period.
 8        (h)  An  owners license shall entitle the licensee to own
 9    up to 2 riverboats and operate up to 2,000 gaming  positions.
10    In  addition  to  the  2,000 gaming positions authorized by a
11    licensee's owners license,  a  licensee  may  operate  gaming
12    positions  that  it  acquires  pursuant  to  the  competitive
13    bidding  process  established  under  this subsection (h).  A
14    licensee may operate both  of  its  riverboats  concurrently,
15    provided  that  the  total number of gaming positions on both
16    riverboats does not exceed 2,000 plus the  number  of  gaming
17    positions  it receives under the competitive bidding process.
18    For each 4-year license period, a licensee shall  certify  to
19    the  Board  the  total number of gaming positions it will use
20    during the license period.  If a licensee certifies  that  it
21    will  use  a  given  number  of  gaming  positions during its
22    license period and, in the Board's  determination,  fails  to
23    use  some  or  all of those gaming positions, then the unused
24    gaming positions shall become the property of the Board.   If
25    a licensee certifies that it will use fewer than 2,000 gaming
26    positions,  then  the  authorized but unused gaming positions
27    shall become the property of  the  Board.   The  Board  shall
28    establish,  by  rule, a method for licensees to competitively
29    bid for the right to use gaming  positions  that  become  the
30    property  of the Board under this subsection (h).  A licensee
31    may not  bid  for  additional  gaming  positions  under  this
32    subsection  (h)  unless (1) it certifies that it is currently
33    using all 2,000 gaming positions authorized by its license or
34    (2) it certifies that it is remodeling or has  remodeled  its
 
                            -102-    LRB093 02207 LRD 16688 a
 1    riverboat  gambling  facilities  and,  upon completion of the
 2    remodeling, will be able to operate  at  least  2,000  gaming
 3    positions.
 4        An  owners licensee that is authorized to admit in excess
 5    of 1,200 participants under this subsection (h)  may  conduct
 6    riverboat  gambling  operations  from  a  temporary  facility
 7    pending  the  construction  of  a  permanent  facility or the
 8    remodeling of  an  existing  facility  to  accommodate  those
 9    additional  participants  for up to 12 months after receiving
10    the authority to admit additional participants. Upon  request
11    by an owners licensee and upon a showing of good cause by the
12    owners  licensee,  the  Board  shall extend the period during
13    which the licensee may conduct riverboat gambling  operations
14    from  a temporary facility by up to 12 months.  The number of
15    participants who may be present at such a temporary  facility
16    at  one  time  may  not exceed the number of participants the
17    licensee is authorized to admit  in  excess  of  1,200.   The
18    Board  shall  make  rules  concerning the conduct of gambling
19    from temporary facilities.  A licensee shall limit the number
20    of  gambling  participants  to  1,200  for  any  such  owners
21    license. A  licensee  may  operate  both  of  its  riverboats
22    concurrently,  provided  that  the  total  number of gambling
23    participants  on  both  riverboats  does  not  exceed  1,200.
24    Riverboats licensed to operate on the Mississippi  River  and
25    the  Illinois  River  south  of Marshall County shall have an
26    authorized capacity of  at  least  500  persons.   Any  other
27    riverboat  licensed  under  this Act shall have an authorized
28    capacity of at least 400 persons.
29        (i)  A licensed owner is authorized to apply to the Board
30    for and, if approved therefor, to receive all  licenses  from
31    the  Board  necessary  for  the  operation  of  a  riverboat,
32    including  a  liquor  license, a license to prepare and serve
33    food for human consumption,  and  other  necessary  licenses.
34    All  use, occupation and excise taxes which apply to the sale
 
                            -103-    LRB093 02207 LRD 16688 a
 1    of food and beverages in this State and all taxes imposed  on
 2    the  sale  or use of tangible personal property apply to such
 3    sales aboard the riverboat.
 4        (j)  The  Board  may  issue  a  license   authorizing   a
 5    riverboat  to  dock in a municipality or approve a relocation
 6    under Section 11.2 only if, prior  to  the  issuance  of  the
 7    license  or  approval, the governing body of the municipality
 8    in which the riverboat will  dock  has  by  a  majority  vote
 9    approved  the docking of riverboats in the municipality.  The
10    Board may issue a license authorizing a riverboat to dock  in
11    areas  of  a  county  outside  any  municipality or approve a
12    relocation under Section 11.2 only if, prior to the  issuance
13    of  the license or approval, the governing body of the county
14    has by a majority vote approved of the docking of  riverboats
15    within such areas.
16    (Source: P.A. 91-40, eff. 6-25-99; 92-600, eff. 6-28-02.)

17        (230 ILCS 10/7.4 new)
18        Sec. 7.4.  Electronic gaming.
19        (a)  The General Assembly finds that the horse racing and
20    riverboat  gambling  industries  share  many similarities and
21    collectively  comprise  the  bulk  of  the   State's   gaming
22    industry.  One  feature  in common to both industries is that
23    each is highly regulated by the State of Illinois.
24        The General Assembly further finds, however, that despite
25    their shared features each  industry  is  distinct  from  the
26    other  in that horse racing is and continues to be intimately
27    tied to Illinois' agricultural economy and is, at its core, a
28    spectator  sport.  This  distinction  requires  the   General
29    Assembly to utilize different methods to regulate and promote
30    the horse racing industry throughout the State.
31        The  General Assembly finds that in order to promote live
32    horse racing  as  a  spectator  sport  in  Illinois  and  the
33    agricultural  economy of this State, it is necessary to allow
 
                            -104-    LRB093 02207 LRD 16688 a
 1    electronic gaming at Illinois race tracks as an ancillary use
 2    given the success of other states in increasing  live  racing
 3    purse   accounts   and   improving   the  quality  of  horses
 4    participating in horse race meetings.
 5        The General Assembly finds, however, that even though the
 6    authority to conduct electronic gaming is a uniform means  to
 7    improve  live  horse  racing in this State, electronic gaming
 8    must be regulated and  implemented  differently  in  southern
 9    Illinois  versus the Chicago area. The General Assembly finds
10    that Fairmount Park is the only race  track  operating  on  a
11    year round basis in southern Illinois that offers live racing
12    and  for  that matter only conducts live thoroughbred racing.
13    The General Assembly finds that the current state of  affairs
14    deprives  spectators  and  standardbred  horsemen residing in
15    southern Illinois of the opportunity to participate  in  live
16    standardbred  racing  in  a  manner  similar  to  spectators,
17    thoroughbred  horsemen, and standardbred horsemen residing in
18    the Chicago area. The General Assembly declares that southern
19    Illinois spectators and standardbred horsemen are entitled to
20    have  a  similar   opportunity   to   participate   in   live
21    standardbred  racing  as  spectators in the Chicago area. The
22    General  Assembly  declares  that  in  order  to  remove  the
23    disparity between southern Illinois and the Chicago area,  it
24    is  necessary  for  the  State  to  regulate  Fairmount  Park
25    differently  from horse race tracks found in the Chicago area
26    and tie Fairmount Park's authorization to conduct  electronic
27    gaming  to  a  commitment  to  conduct  at  least 100 days of
28    standardbred racing as set forth in subsection  (d)  of  this
29    Section.
30        (b)  The Illinois Gaming Board shall award one electronic
31    gaming  license  to become effective on or after July 1, 2003
32    to each organization licensee under the Illinois Horse Racing
33    Act  of  1975,  subject  to   application   and   eligibility
34    requirements  of  this  Section. An electronic gaming license
 
                            -105-    LRB093 02207 LRD 16688 a
 1    shall authorize its holder to conduct  electronic  gaming  at
 2    its  race  track  beginning at 9:00 AM on any day in which it
 3    conducts live racing at its race track or simulcast  wagering
 4    on  races  run  in  the  United  States  until 3:00 AM on the
 5    following day. A license to conduct electronic gaming and any
 6    renewal of  an  electronic  gaming  license  shall  authorize
 7    limited gaming for a period of 4 years.
 8        (c)  To  be  eligible  to  conduct  electronic gaming, an
 9    organization licensee must (i) obtain  an  electronic  gaming
10    license, (ii) hold an organization license under the Illinois
11    Horse  Racing Act of 1975, (iii) hold an inter-track wagering
12    license, (iv) pay a fee of $25,000 ($12,500 in  the  case  of
13    Fairmount Race Track and Balmoral Race Track) for each gaming
14    position  it  is authorized to use when it receives a finding
15    of preliminary suitability from the Board and  an  additional
16    fee  of  $25,000 ($12,500 in the case of Fairmount Race Track
17    and Balmoral Race Track)  for  each  gaming  position  it  is
18    authorized  to  use no later than 12 months after the date it
19    first conducts electronic gaming, (v) apply for at least  the
20    same  number  of  days of thoroughbred racing or standardbred
21    racing or both, as the case may be,  as  it  was  awarded  in
22    calendar  year  2003,  (vi)  meet the marketing and promotion
23    requirements as provided in Section 57 of the Illinois  Horse
24    Racing  Act of 1975, and (vii) meet all other requirements of
25    this Act that apply to owners licensees.
26        With respect to the live racing requirement described  in
27    this  subsection,  an  organization licensee must conduct the
28    same number of days of thoroughbred or standardbred racing or
29    both, as the case may be, as it was  awarded  by  the  Racing
30    Board in calendar year 2003, unless a lesser schedule of live
31    racing   is  the  result  of  (A)  weather  or  unsafe  track
32    conditions due to acts of  God,  (B)  a  strike  between  the
33    organization  licensee  and the associations representing the
34    largest number of owners, trainers, jockeys, or  standardbred
 
                            -106-    LRB093 02207 LRD 16688 a
 1    drivers who race horse at that organization licensee's racing
 2    meeting,   or  (C)  an  agreement  between  the  organization
 3    licensee and the associations representing the largest number
 4    of owners, trainers, jockeys,  or  standardbred  drivers  who
 5    race  horses  at that organization licensee's race meeting to
 6    conduct a lesser number of race meets.
 7        (d)  In addition to the other eligibility requirements of
 8    subsection  (c),  an  organization  licensee  that  holds  an
 9    electronic  gaming  license   authorizing   it   to   conduct
10    electronic  gaming  at  Fairmount  Park  must  apply  for and
11    conduct at least 50 days of standardbred racing  in  calendar
12    year  2004  and  thereafter, unless a lesser schedule of live
13    racing  is  the  result  of  (A)  weather  or  unsafe   track
14    conditions  due  to  acts  of God or (B) a strike between the
15    organization licensee and the associations  representing  the
16    largest  number of owners, trainers, jockeys, or standardbred
17    drivers who  race  horses  at  that  organization  licensee's
18    racing meeting.
19        (e)  The  Board  may  approve  electronic gaming licenses
20    authorizing the conduct  of  electronic  gaming  by  eligible
21    organization licensees.
22        (f)  In  calendar  year 2003, the Board may approve up to
23    3,750 aggregate gambling participants statewide  as  provided
24    in  this  Section.  The authority to admit participants under
25    this Section in calendar year  2003  shall  be  allocated  as
26    follows:
27             (1)  The    organization   licensee   operating   at
28        Arlington Park Race Course may admit up to  1,150  gaming
29        participants at a time;
30             (2)  The   organization   licensees   operating   at
31        Hawthorne   Race   Course,   including  the  organization
32        licensee formerly  operating  at  Sportsman's  Park,  may
33        collectively  admit  up to 1,000 gaming participants at a
34        time;
 
                            -107-    LRB093 02207 LRD 16688 a
 1             (3)  The organization licensee operating at Balmoral
 2        Park may admit up to 300 gaming participants at a time;
 3             (4)  The organization licensee operating at  Maywood
 4        Park  may  admit up to 850 gaming participants at a time;
 5        and
 6             (5)  The   organization   licensee   operating    at
 7        Fairmount Park may admit up to 450 gaming participants at
 8        a time.
 9        (g)  For  each  calendar  year  after  2003  in  which an
10    electronic gaming licensee requests a number of  racing  days
11    under  its  organization license that is less than 90% of the
12    number of days of live racing it was  awarded  in  2003,  the
13    electronic gaming licensee may not conduct electronic gaming.
14        (h)  On the second anniversary of the issuance or renewal
15    of  an  electronic  gaming  license  and  upon  renewal of an
16    electronic gaming license, the Gaming Board shall review  the
17    average  daily  live  on-track handle at the race track where
18    the electronic gaming licensee's electronic  gaming  facility
19    is located. If the average daily live on-track handle at that
20    race  track  is  lower  than  the average daily live on-track
21    handle at that race track in calendar year 2003 by  at  least
22    10%,  the Board shall withdraw 10% of the gaming positions at
23    that electronic gaming facility.
24        (i)    An  electronic   gaming   licensee   may   conduct
25    electronic   gaming  at  a  temporary  facility  pending  the
26    construction  of a permanent facility or the remodeling of an
27    existing   facility   to   accommodate   electronic    gaming
28    participants   for   up  to  12  months  after  receiving  an
29    electronic gaming license.  Upon  request  by  an  electronic
30    gaming  licensee  and  upon  a  showing  of good cause by the
31    electronic gaming licensee, the Board shall extend the period
32    during which the licensee may conduct electronic gaming at  a
33    temporary  facility by up to 12 months.  The Board shall make
34    rules  concerning  the  conduct  of  electronic  gaming  from
 
                            -108-    LRB093 02207 LRD 16688 a
 1    temporary facilities.
 2        (j)  The specific designations made in  this  Section  to
 3    the  organization  licensees  located  at Arlington Park Race
 4    Course, Hawthorne Race  Course,  Sportsman's  Park,  Balmoral
 5    Park,  Maywood  Park,  and Fairmount Park shall have the same
 6    legal effect as the designations in the Horse Racing  Act  of
 7    1975 that apply to those organization licensees.

 8        (230 ILCS 10/7.5 new)
 9        Sec  7.5.  Home  Rule.   The  regulation and licensing of
10    electronic  gaming  and  electronic  gaming   licensees   are
11    exclusive  powers  and  functions  of the State.  A home rule
12    unit  may  not  regulate  or  license  electronic  gaming  or
13    electronic gaming licensees.  This Section is  a  denial  and
14    limitation of home rule powers and functions under subsection
15    (h) of Section 6 of Article VII of the Illinois Constitution.

16        (230 ILCS 10/8) (from Ch. 120, par. 2408)
17        Sec. 8.  Suppliers licenses.
18        (a)  The  Board  may  issue  a  suppliers license to such
19    persons, firms or corporations which apply therefor upon  the
20    payment of a non-refundable application fee set by the Board,
21    upon  a  determination  by  the  Board  that the applicant is
22    eligible for a suppliers license and upon payment of a $5,000
23    annual license fee.
24        (b)  The holder of a suppliers license is  authorized  to
25    sell  or  lease,  and  to contract to sell or lease, gambling
26    equipment and supplies to any owners licensee involved in the
27    ownership or management of riverboat gambling operations  and
28    to  any  electronic gaming licensee involved in the ownership
29    or management of an electronic gaming facility.
30        (c)  Riverboat gambling and  electronic  gaming  supplies
31    and  equipment  may  not  be  distributed unless supplies and
32    equipment conform to standards adopted by rules of the Board.
 
                            -109-    LRB093 02207 LRD 16688 a
 1        (d)  A person,  firm  or  corporation  is  ineligible  to
 2    receive a suppliers license if:
 3             (1)  the person has been convicted of a felony under
 4        the  laws  of  this State, any other state, or the United
 5        States;
 6             (2)  the person has been convicted of any  violation
 7        of   Article   28  of  the  Criminal  Code  of  1961,  or
 8        substantially similar laws of any other jurisdiction;
 9             (3)  the person has submitted an application  for  a
10        license under this Act which contains false information;
11             (4)  the person is a member of the Board;
12             (5)  the  firm  or  corporation  is  one  in which a
13        person defined in (1), (2), (3) or (4),  is  an  officer,
14        director or managerial employee;
15             (6)  the  firm  or corporation  employs a person who
16        participates in the management or operation of  riverboat
17        gambling  or in the management or operation of electronic
18        gaming authorized under this Act;
19             (7)  the license of the person, firm or  corporation
20        issued  under  this  Act,  or a license to own or operate
21        gambling facilities in any other jurisdiction,  has  been
22        revoked.
23        (e)  Any  person that supplies any equipment, devices, or
24    supplies  to  a  licensed  riverboat  gambling  operation  or
25    electronic gaming operation must  first  obtain  a  suppliers
26    license.  A supplier shall furnish to the Board a list of all
27    equipment,  devices and supplies offered for sale or lease in
28    connection with gambling games authorized under this  Act.  A
29    supplier  shall  keep books and records for the furnishing of
30    equipment, devices and supplies  to  riverboat  gambling  and
31    electronic  gaming  operations separate and distinct from any
32    other business that the supplier might operate.   A  supplier
33    shall  file  a  quarterly  return  with the Board listing all
34    sales and leases. A supplier shall permanently affix its name
 
                            -110-    LRB093 02207 LRD 16688 a
 1    to all its equipment, devices,  and  supplies  for  riverboat
 2    gambling  and  electronic  gaming  operations. Any supplier's
 3    equipment, devices or supplies which are used by  any  person
 4    in  an  unauthorized  riverboat gambling or electronic gaming
 5    operation shall be forfeited to the State.  A  holder  of  an
 6    owners license or an electronic gaming license licensed owner
 7    may own its own equipment, devices and supplies.  Each holder
 8    of  an  owners  license or an electronic gaming license under
 9    the Act shall file an annual report listing  its  inventories
10    of gambling equipment, devices and supplies.
11        (f)  Any  person who knowingly makes a false statement on
12    an application is guilty of a Class A misdemeanor.
13        (g)  Any  gambling  equipment,   devices   and   supplies
14    provided  by  any licensed supplier may either be repaired on
15    the riverboat or electronic gaming facility or  removed  from
16    the  riverboat or electronic gaming facility to a an on-shore
17    facility  owned  by  the  holder  of  an  owners  license  or
18    electronic gaming license for repair.
19    (Source: P.A. 86-1029; 87-826.)

20        (230 ILCS 10/9) (from Ch. 120, par. 2409)
21        Sec. 9.  Occupational licenses.
22        (a)  The Board may issue an occupational  license  to  an
23    applicant upon the payment of a non-refundable fee set by the
24    Board,  upon  a determination by the Board that the applicant
25    is eligible for an occupational license and upon  payment  of
26    an  annual license fee in an amount to be established.  To be
27    eligible for an occupational license, an applicant must:
28             (1)  be at least 21 years of age  if  the  applicant
29        will  perform any function involved in gaming by patrons.
30        Any applicant  seeking  an  occupational  license  for  a
31        non-gaming function shall be at least 18 years of age;
32             (2)  not  have been convicted of a felony offense, a
33        violation of Article 28 of the Criminal Code of 1961,  or
 
                            -111-    LRB093 02207 LRD 16688 a
 1        a  similar  statute of any other jurisdiction, or a crime
 2        involving dishonesty or moral turpitude;
 3             (3)  have demonstrated a level of skill or knowledge
 4        which the Board determines to be necessary  in  order  to
 5        operate  gambling  aboard a riverboat or at an electronic
 6        gaming facility; and
 7             (4)  have  met  standards  for  the  holding  of  an
 8        occupational license as adopted by rules  of  the  Board.
 9        Such  rules  shall  provide  that  any  person  or entity
10        seeking  an  occupational  license  to  manage   gambling
11        operations  hereunder  shall  be  subject  to  background
12        inquiries  and  further  requirements  similar  to  those
13        required   of   applicants   for   an   owners   license.
14        Furthermore,  such  rules  shall  provide  that each such
15        entity shall be permitted to manage  gambling  operations
16        for   only   one  licensed  owner  or  electronic  gaming
17        licensee.
18        (b)  Each application for an occupational  license  shall
19    be  on  forms  prescribed  by the Board and shall contain all
20    information required by the Board.  The applicant  shall  set
21    forth  in  the application:  whether he has been issued prior
22    gambling related licenses; whether he has  been  licensed  in
23    any  other  state under any other name, and, if so, such name
24    and his age; and whether or not a permit or license issued to
25    him in any other state  has  been  suspended,  restricted  or
26    revoked, and, if so, for what period of time.
27        (c)  Each applicant shall submit with his application, on
28    forms  provided by the Board, 2 sets of his fingerprints. The
29    Board shall charge each applicant a fee set by the Department
30    of State Police to  defray  the  costs  associated  with  the
31    search  and  classification  of  fingerprints obtained by the
32    Board with respect to  the  applicant's  application.   These
33    fees shall be paid into the State Police Services Fund.
34        (d)  The   Board   may   in   its  discretion  refuse  an
 
                            -112-    LRB093 02207 LRD 16688 a
 1    occupational license to any person: (1) who is unqualified to
 2    perform the duties required of such applicant; (2) who  fails
 3    to  disclose  or states falsely any information called for in
 4    the application; (3) who has been found guilty of a violation
 5    of this Act  or  whose  prior  gambling  related  license  or
 6    application  therefor has been suspended, restricted, revoked
 7    or denied for just cause in any other state; or (4)  for  any
 8    other just cause.
 9        (e)  The  Board  may  suspend,  revoke  or  restrict  any
10    occupational  licensee: (1) for violation of any provision of
11    this  Act;  (2)  for  violation  of  any  of  the  rules  and
12    regulations of the Board; (3) for any cause which,  if  known
13    to  the  Board,  would  have  disqualified the applicant from
14    receiving such license; or (4) for default in the payment  of
15    any  obligation  or debt due to the State of Illinois; or (5)
16    for any other just cause.
17        (f)  A person who knowingly makes a false statement on an
18    application is guilty of a Class A misdemeanor.
19        (g)  Any license issued pursuant to this Section shall be
20    valid for a period of one year from the date of issuance.
21        (h)  Nothing in this Act shall be interpreted to prohibit
22    a licensed owner or electronic gaming licensee from  entering
23    into  an  agreement  with a school approved under the Private
24    Business and Vocational Schools Act for the training  of  any
25    occupational licensee.  Any training offered by such a school
26    shall  be  in accordance with a written agreement between the
27    licensed owner or electronic gaming licensee and the school.
28        (i)  Any training provided for occupational licensees may
29    be conducted either at the site of the gambling  facility  on
30    the  riverboat  or at a school with which a licensed owner or
31    electronic gaming licensee  has  entered  into  an  agreement
32    pursuant to subsection (h).
33    (Source: P.A. 86-1029; 87-826.)
 
                            -113-    LRB093 02207 LRD 16688 a
 1        (230 ILCS 10/11) (from Ch. 120, par. 2411)
 2        Sec.  11.  Conduct of gambling. Gambling may be conducted
 3    by licensed owners  aboard  riverboats.  Notwithstanding  any
 4    provision  in subsection (c) of Section 3 to the contrary, if
 5    authorized by the Board by rule, an owners licensee may  move
 6    up  to  15%  of  its slot machines from its riverboats to its
 7    home dock facility and use those  slot  machines  to  conduct
 8    gambling,  provided  that the slot machines are located in an
 9    area that is accessible only to persons who are at  least  21
10    years  of  age  and  provided  that the admission tax imposed
11    under Section 12 has been paid for all persons who use  those
12    slot  machines.   Gambling  may  be  conducted  by electronic
13    gaming  licensees  at  limited  gaming  facilities.  Gambling
14    authorized under  this  Section  shall  be,  subject  to  the
15    following standards:
16             (1)  A   licensee  may  conduct  riverboat  gambling
17        authorized  under  this  Act  regardless  of  whether  it
18        conducts excursion cruises.  A licensee  may  permit  the
19        continuous  ingress  and  egress  of  passengers  for the
20        purpose of gambling.
21             (2)  (Blank).
22             (3)  Minimum and maximum wagers on  games  shall  be
23        set by the licensee.
24             (4)  Agents of the Board and the Department of State
25        Police  may  board and inspect any riverboat or enter and
26        inspect any portion  of  an  electronic  gaming  facility
27        where  electronic gaming is conducted at any time for the
28        purpose of determining whether this Act is being complied
29        with.  Every riverboat, if under way and being hailed  by
30        a  law  enforcement  officer  or agent of the Board, must
31        stop immediately and lay to.
32             (5)  Employees of the Board shall have the right  to
33        be  present  on  the  riverboat or on adjacent facilities
34        under the control of the licensee and at  the  electronic
 
                            -114-    LRB093 02207 LRD 16688 a
 1        gaming  facility  under  the  control  of  the electronic
 2        gaming licensee.
 3             (6)  Gambling  equipment  and  supplies  customarily
 4        used  in  conducting  riverboat  gambling  or  electronic
 5        gaming must be purchased or leased  only  from  suppliers
 6        licensed for such purpose under this Act.
 7             (7)  Persons licensed under this Act shall permit no
 8        form of wagering on gambling games except as permitted by
 9        this Act.
10             (8)  Wagers  may  be  received  only  from  a person
11        present on a  licensed  riverboat  or  at  an  electronic
12        gaming   facility.   No  person  present  on  a  licensed
13        riverboat or at an electronic gaming facility shall place
14        or attempt to place a wager on behalf of  another  person
15        who  is not present on the riverboat or at the electronic
16        gaming facility.
17             (9)  Wagering, including  electronic  gaming,  shall
18        not be conducted with money or other negotiable currency.
19             (10)  A  person  under age 21 shall not be permitted
20        on an  area  of  a  riverboat  where  gambling  is  being
21        conducted  or  at  an  electronic  gaming  facility where
22        gambling is being conducted, except for a person at least
23        18 years of age who  is  an  employee  of  the  riverboat
24        gambling  operation  or  electronic gaming operation.  No
25        employee under age 21 shall perform any function involved
26        in gambling by the patrons. No person under age 21  shall
27        be permitted to make a wager under this Act.
28             (11)  Gambling  excursion cruises are permitted only
29        when the waterway for which the riverboat is licensed  is
30        navigable,  as  determined  by  the Board in consultation
31        with the U.S. Army Corps  of  Engineers.  This  paragraph
32        (11)  does not limit the ability of a licensee to conduct
33        gambling  authorized  under  this   Act   when   gambling
34        excursion cruises are not permitted.
 
                            -115-    LRB093 02207 LRD 16688 a
 1             (12)  All  tokens, chips or electronic cards used to
 2        make wagers must be purchased (i) from a licensed  owner,
 3        in the case of a riverboat, either aboard the a riverboat
 4        or  at an onshore facility which has been approved by the
 5        Board and which is located where the riverboat  docks  or
 6        (ii) from an electronic gaming licensee at the electronic
 7        gaming  facility.  The  tokens, chips or electronic cards
 8        may be purchased by means of an agreement under which the
 9        owner extends credit to the patron.  Such  tokens,  chips
10        or   electronic  cards  may  be  used  while  aboard  the
11        riverboat or at the electronic gaming facility  only  for
12        the purpose of making wagers on gambling games.
13             (13)  Notwithstanding any other Section of this Act,
14        in  addition  to the other licenses authorized under this
15        Act, the Board may issue special event licenses  allowing
16        persons   who  are  not  otherwise  licensed  to  conduct
17        riverboat  gambling  to  conduct  such  gambling   on   a
18        specified  date  or  series of dates.  Riverboat gambling
19        under such a license may take place on  a  riverboat  not
20        normally  used  for  riverboat gambling.  The Board shall
21        establish standards, fees and fines for, and  limitations
22        upon, such licenses, which may differ from the standards,
23        fees,  fines  and  limitations otherwise applicable under
24        this Act.  All such fees  shall  be  deposited  into  the
25        State  Gaming  Fund.   All  such fines shall be deposited
26        into the Education Assistance Fund, created by Public Act
27        86-0018, of the State of Illinois.
28             (14)  In addition to the  above,  gambling  must  be
29        conducted  in  accordance  with  all rules adopted by the
30        Board.
31    (Source: P.A. 91-40, eff. 6-25-99.)

32        (230 ILCS 10/11.1) (from Ch. 120, par. 2411.1)
33        Sec. 11.1.  Collection  of  amounts  owing  under  credit
 
                            -116-    LRB093 02207 LRD 16688 a
 1    agreements.      Notwithstanding   any  applicable  statutory
 2    provision to the contrary, a  licensed  owner  or  electronic
 3    gaming  licensee  who  extends credit to a riverboat gambling
 4    patron pursuant to  Section  11  (a)  (12)  of  this  Act  is
 5    expressly  authorized  to  institute  a  cause  of  action to
 6    collect any amounts due and  owing  under  the  extension  of
 7    credit, as well as the owner's costs, expenses and reasonable
 8    attorney's fees incurred in collection.
 9    (Source: P.A. 86-1029; 86-1389; 87-826.)

10        (230 ILCS 10/12) (from Ch. 120, par. 2412)
11        Sec. 12. Admission tax; fees.
12        (a)  A tax is hereby imposed upon admissions to riverboat
13    gambling  facilities  authorized pursuant to this Act.  Until
14    July 1, 2002, the rate  is  $2  per  person  admitted.   From
15    Beginning  July  1,  2002  until  the  effective date of this
16    amendatory Act of the 93rd General Assembly, the rate  is  $3
17    per person admitted.  Beginning on the effective date of this
18    amendatory  Act,  the  rate  is  $2  per person for the first
19    1,500,000 persons admitted by a licensee per year and $3  per
20    person for all persons admitted by that licensee in excess of
21    1,500,000  per  year.  This admission tax is imposed upon the
22    licensed owner conducting gambling.
23             (1)  The  admission  tax  shall  be  paid  for  each
24        admission.
25             (2)  (Blank).
26             (3)  The  riverboat  licensee  may  issue   tax-free
27        passes to actual and necessary officials and employees of
28        the  licensee  or  other  persons actually working on the
29        riverboat.
30             (4)  The number and issuance of tax-free  passes  is
31        subject  to  the  rules  of  the Board, and a list of all
32        persons to whom the tax-free passes are issued  shall  be
33        filed with the Board.
 
                            -117-    LRB093 02207 LRD 16688 a
 1        (b)  From   the  tax  imposed  under  subsection  (a),  a
 2    municipality shall receive from the State $1 for each  person
 3    embarking  on a riverboat docked within the municipality, and
 4    a county shall receive $1 for  each  person  embarking  on  a
 5    riverboat docked within the county but outside the boundaries
 6    of  any  municipality.   The municipality's or county's share
 7    shall be collected by the Board on behalf of  the  State  and
 8    remitted quarterly by the State, subject to appropriation, to
 9    the  treasurer of the unit of local government for deposit in
10    the general fund.
11        (c)  The licensed owner shall pay  the  entire  admission
12    tax  to  the  Board.  Such  payments  shall  be  made  daily.
13    Accompanying each payment shall be a return on forms provided
14    by  the Board which shall include other information regarding
15    admissions as the  Board  may  require.   Failure  to  submit
16    either  the  payment  or the return within the specified time
17    may result in suspension or revocation of the owners license.
18        (d)  The Board shall administer and collect the admission
19    tax imposed by this Section, to the extent practicable, in  a
20    manner  consistent  with the provisions of Sections 4, 5, 5a,
21    5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of
22    the Retailers' Occupation Tax Act  and  Section  3-7  of  the
23    Uniform Penalty and Interest Act.
24    (Source: P.A. 91-40, eff. 6-25-99; 92-595, eff. 6-28-02.)

25        (230 ILCS 10/13) (from Ch. 120, par. 2413)
26        Sec. 13.  Wagering tax; rate; distribution.
27        (a)  Until  January  1,  1998,  a  tax  is imposed on the
28    adjusted  gross  receipts  received   from   gambling   games
29    authorized under this Act at the rate of 20%.
30        From  January 1, 1998 until July 1, 2002, a privilege tax
31    is imposed on persons engaged in the business  of  conducting
32    riverboat  gambling  operations,  based on the adjusted gross
33    receipts received by a licensed  owner  from  gambling  games
 
                            -118-    LRB093 02207 LRD 16688 a
 1    authorized under this Act at the following rates:
 2             15%  of  annual  adjusted  gross  receipts up to and
 3        including $25,000,000;
 4             20% of annual adjusted gross receipts in  excess  of
 5        $25,000,000 but not exceeding $50,000,000;
 6             25%  of  annual adjusted gross receipts in excess of
 7        $50,000,000 but not exceeding $75,000,000;
 8             30% of annual adjusted gross receipts in  excess  of
 9        $75,000,000 but not exceeding $100,000,000;
10             35%  of  annual adjusted gross receipts in excess of
11        $100,000,000.
12        From Beginning July 1, 2002 until the effective  date  of
13    this amendatory Act of the 93rd General Assembly, a privilege
14    tax  is  imposed  on  persons  engaged  in  the  business  of
15    conducting   riverboat  gambling  operations,  based  on  the
16    adjusted gross receipts received by  a  licensed  owner  from
17    gambling  games  authorized  under  this Act at the following
18    rates:
19             15% of annual adjusted  gross  receipts  up  to  and
20        including $25,000,000;
21             22.5% of annual adjusted gross receipts in excess of
22        $25,000,000 but not exceeding $50,000,000;
23             27.5% of annual adjusted gross receipts in excess of
24        $50,000,000 but not exceeding $75,000,000;
25             32.5% of annual adjusted gross receipts in excess of
26        $75,000,000 but not exceeding $100,000,000;
27             37.5% of annual adjusted gross receipts in excess of
28        $100,000,000 but not exceeding $150,000,000;
29             45%  of  annual adjusted gross receipts in excess of
30        $150,000,000 but not exceeding $200,000,000;
31             50% of annual adjusted gross receipts in  excess  of
32        $200,000,000.
33        Beginning on the effective date of this amendatory Act of
34    the  93rd  General  Assembly,  a  privilege tax is imposed on
 
                            -119-    LRB093 02207 LRD 16688 a
 1    persons engaged  in  the  business  of  conducting  riverboat
 2    gambling  operations,  based  on  the adjusted gross receipts
 3    received by a licensed owner from gambling  games  authorized
 4    under  this Act, and on persons conducting electronic gaming,
 5    based  on  the  adjusted  gross  receipts  received   by   an
 6    electronic  gaming  licensee from electronic gambling, at the
 7    following rates:
 8             15% of annual adjusted  gross  receipts  up  to  and
 9        including $25,000,000;
10             20%  of  annual adjusted gross receipts in excess of
11        $25,000,000 but not exceeding $50,000,000;
12             25% of annual adjusted gross receipts in  excess  of
13        $50,000,000 but not exceeding $75,000,000;
14             30%  of  annual adjusted gross receipts in excess of
15        $75,000,000 but not exceeding $100,000,000;
16             35% of annual adjusted gross receipts in  excess  of
17        $100,000,000 but not exceeding $400,000,000;
18             40%  of  annual adjusted gross receipts in excess of
19        $400,000,000 but not exceeding $450,000,000;
20             45% of annual adjusted gross receipts in  excess  of
21        $450,000,000 but not exceeding $500,000,000;
22             50%  of  annual adjusted gross receipts in excess of
23        $500,000,000.
24        For the purpose of calculating the  privilege  tax  under
25    this subsection (a), the annual adjusted gross receipts of an
26    owners  licensee  for  any year shall be reduced by an amount
27    equal to the  amount  of  any  payment  made  by  the  owners
28    licensee  in  that  year  to  (i)  an Illinois not-for-profit
29    organization, pursuant  to an agreement, funded solely  by  a
30    licensed  owner  for  the  primary    benefit of educational,
31    economic development, or environmental  programs within  this
32    State  or (ii) a county government, pursuant to an  agreement
33    between a licensed owner and  a  county  government.   In  no
34    event  shall  a  reduction  in the wagering tax imposed under
 
                            -120-    LRB093 02207 LRD 16688 a
 1    this Section reduce the taxes owed by a licensee  under  this
 2    Section to less than zero.
 3        The  taxes  imposed  by this Section shall be paid by the
 4    licensed owner or electronic gaming licensee to the Board not
 5    later than 3:00 o'clock p.m. of the day after  the  day  when
 6    the wagers were made.
 7        (b)  Until  January  1,  1998,  25%  of  the  tax revenue
 8    deposited in the State Gaming Fund under this  Section  shall
 9    be paid, subject to appropriation by the General Assembly, to
10    the  unit of local government which is designated as the home
11    dock of the riverboat.  Except as otherwise provided in  this
12    subsection  (b),  beginning  January  1,  1998,  from the tax
13    revenue from riverboat gambling deposited in the State Gaming
14    Fund under this Section, an amount equal to  5%  of  adjusted
15    gross  receipts  generated  by  a  riverboat  shall  be  paid
16    monthly, subject to appropriation by the General Assembly, to
17    the  unit  of local government that is designated as the home
18    dock of the riverboat.
19        For calendar year 2003 and each year thereafter,  if  the
20    adjusted   gross  receipts  of  a  riverboat  from  riverboat
21    gambling are greater than they were in  calendar  year  2002,
22    the  amount  paid  to the unit of local government under this
23    subsection (b) shall not exceed that amount paid in  calendar
24    year  2002.  For calendar year 2003 and each year thereafter,
25    if the adjusted gross receipts of a riverboat from  riverboat
26    gambling  are  greater  than they were in calendar year 2002,
27    then the  difference  between  5%  of  those  adjusted  gross
28    receipts and the amount paid under this subsection (b) to the
29    unit  of local government that is designated as the home dock
30    of the riverboat in calendar  year  2002  shall  be  paid  as
31    follows:
32             25%  shall  be paid, subject to appropriation by the
33        General Assembly, to the county in which  the  licensee's
34        home dock is located; and
 
                            -121-    LRB093 02207 LRD 16688 a
 1             75%  shall  be paid, subject to appropriation by the
 2        General Assembly, into  the  Local  Government  Riverboat
 3        Gaming Distributive Fund pursuant to Section 13.3.
 4        (b-5)  Beginning on the effective date of this amendatory
 5    Act of the 93rd General Assembly, after the payments required
 6    under  subsection  (b)  have  been made, from the tax revenue
 7    from electronic gaming deposited into the State  Gaming  Fund
 8    under  this  Section,  an  amount equal to 1% of the adjusted
 9    gross receipts generated by each electronic  gaming  licensee
10    shall  be  paid  monthly,  subject  to  appropriation, to the
11    municipality in  which  the  electronic  gaming  facility  is
12    located.   If  an  electronic  gaming facility is not located
13    within a municipality, then an amount  equal  to  1%  of  the
14    adjusted  gross  receipts  generated by the electronic gaming
15    licensee shall be paid monthly, subject to appropriation,  to
16    the  county  in  which  the  electronic  gaming  facility  is
17    located.
18        (b-10)  Beginning   on   the   effective   date  of  this
19    amendatory Act  of  the  93rd  General  Assembly,  after  the
20    payments  required  under subsections (b) and (b-5) have been
21    made, from the tax revenue deposited into  the  State  Gaming
22    Fund under this Section, $25,000,000 shall be paid each year,
23    in equal monthly installments, subject to appropriation, into
24    the Intercity Development Fund.
25        (b-15)  Beginning   on   the   effective   date  of  this
26    amendatory Act  of  the  93rd  General  Assembly,  after  the
27    payments  required  under  subsections (b), (b-5), and (b-10)
28    have been made, the first $5,000,000 of tax  revenue  derived
29    from  electronic  gaming  shall  be  paid  to  the  Board and
30    distributed by the Board to the Department of Human  Services
31    to be used for compulsive gambling programs.
32        (c)  Appropriations, as approved by the General Assembly,
33    may  be  made from the State Gaming Fund to the Department of
34    Revenue  and  the  Department  of  State   Police   for   the
 
                            -122-    LRB093 02207 LRD 16688 a
 1    administration and enforcement of this Act.
 2        (c-5)  (Blank).   After   the   payments  required  under
 3    subsections (b) and (c) have been made, an  amount  equal  to
 4    15%  of  the  adjusted gross receipts of a riverboat (1) that
 5    relocates pursuant to Section  11.2,  or  (2)  for  which  an
 6    owners  license  is initially issued after the effective date
 7    of this amendatory Act of 1999, whichever comes first,  shall
 8    be  paid  from  the  State  Gaming Fund into the Horse Racing
 9    Equity Fund.
10        (c-10)  (Blank). Each year  the  General  Assembly  shall
11    appropriate  from  the  General Revenue Fund to the Education
12    Assistance Fund an amount equal to the amount paid  into  the
13    Horse  Racing Equity Fund pursuant to subsection (c-5) in the
14    prior calendar year.
15        (c-15)  After the  payments  required  under  subsections
16    (b),  (b-5),  (b-10),  (b-15),  and, (c), and (c-5) have been
17    made, an amount equal to 2% of the adjusted gross receipts of
18    a riverboat (1) that relocates pursuant to Section  11.2,  or
19    (2) for which an owners license is initially issued after the
20    effective  date  of  this  amendatory  Act of 1999, whichever
21    comes first, shall be paid, subject to appropriation from the
22    General Assembly, from the State Gaming  Fund  to  each  home
23    rule  county  with a population of over 3,000,000 inhabitants
24    for the purpose of enhancing the  county's  criminal  justice
25    system.
26        (c-20)  Each  year the General Assembly shall appropriate
27    from the General Revenue Fund  to  the  Education  Assistance
28    Fund  an  amount  equal  to the amount paid to each home rule
29    county  with  a  population  of  over  3,000,000  inhabitants
30    pursuant to subsection (c-15) in the prior calendar year.
31        (c-25)  After the  payments  required  under  subsections
32    (b),  (b-5),  (b-10), (b-15), (c), (c-5) and (c-15) have been
33    made, an amount equal to 2% of the adjusted gross receipts of
34    a riverboat (1) that relocates pursuant to Section  11.2,  or
 
                            -123-    LRB093 02207 LRD 16688 a
 1    (2) for which an owners license is initially issued after the
 2    effective  date  of  this  amendatory  Act of 1999, whichever
 3    comes first, shall be paid from the State  Gaming  Fund  into
 4    the State Universities Athletic Capital Improvement Fund.
 5        (d)  From  time  to  time,  the  Board shall transfer the
 6    remainder of  the  funds  generated  by  this  Act  into  the
 7    Education  Assistance Fund, created by Public Act 86-0018, of
 8    the State of Illinois.
 9        (e)  Nothing in this Act shall prohibit the unit of local
10    government designated as the home dock of the riverboat  from
11    entering into agreements with other units of local government
12    in  this State or in other states to share its portion of the
13    tax revenue.
14        (f)  To  the  extent   practicable,   the   Board   shall
15    administer  and  collect  the  wagering taxes imposed by this
16    Section  in  a  manner  consistent  with  the  provisions  of
17    Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b,
18    6c, 8, 9, and 10 of the Retailers'  Occupation  Tax  Act  and
19    Section 3-7 of the Uniform Penalty and Interest Act.
20    (Source: P.A. 91-40, eff. 6-25-99; 92-595, eff. 6-28-02.)

21        (230 ILCS 10/13.2 new)
22        Sec.  13.2.  Licensee  assessment.  All  owners licensees
23    licensed to conduct  riverboat  gambling  operations  on  the
24    effective  date  of  this  amendatory Act of the 93rd General
25    Assembly shall be required to  pay  an  aggregate  amount  of
26    $130,000,000  to the Gaming Board by July 1, 2003.  The Board
27    shall deposit all moneys received under this Section into the
28    State Gaming Fund.  Each owners licensee shall pay a pro rata
29    share based on its adjusted gross receipts from calendar year
30    2002 as determined by the Board.

31        (230 ILCS 10/13.3 new)
32        Sec. 13.3.  Revenue sharing; Local  Government  Riverboat
 
                            -124-    LRB093 02207 LRD 16688 a
 1    Gaming Distributive Fund.
 2        (a)  Beginning  July 1, 2003, as soon as may be after the
 3    first day of each month,  the  Board  shall  certify  to  the
 4    Treasurer  the  amount  deposited  during the preceding month
 5    into the Local Government Riverboat Gaming Distributive Fund,
 6    which is hereby created  as  a  special  fund  in  the  State
 7    Treasury.   The  Department  of  Revenue shall administer the
 8    Fund and allocate moneys from the Fund  to  the  counties  of
 9    this State as provided in this Section.
10        (b)  As soon as may be after the first day of each month,
11    the  Department  of Revenue shall allocate among the counties
12    of this State the moneys contained in  the  Local  Government
13    Riverboat  Gaming  Distributive  Fund.   The Department shall
14    certify the allocations to the State Comptroller,  who  shall
15    pay  over  to each county the respective amounts allocated to
16    them.  The amount of such  funds  allocable  to  each  county
17    shall  be in proportion to the number of individual residents
18    of the county to the total  population  of  all  counties  as
19    determined by the latest federal census of the county.
20        (c)  The  amounts allocated and paid to a county pursuant
21    to the provisions of this Section may be used for any general
22    corporate purpose authorized for that county.

23        (230 ILCS 10/14) (from Ch. 120, par. 2414)
24        Sec. 14.  Licensees - Records - Reports - Supervision.
25        (a)  A Licensed owners and  electronic  gaming  licensees
26    owner shall keep their his books and records so as to clearly
27    show the following:
28        (1)  The amount received daily from admission fees.
29        (2)  The total amount of gross receipts.
30        (3)  The total amount of the adjusted gross receipts.
31        (b)  The  Licensed owners and electronic gaming licensees
32    owner shall furnish to the Board reports and  information  as
33    the Board may require with respect to its activities on forms
 
                            -125-    LRB093 02207 LRD 16688 a
 1    designed and supplied for such purpose by the Board.
 2        (c)  The  books  and  records kept by a licensed owner or
 3    electronic gaming licensee as provided by  this  Section  are
 4    public   records   and   the  examination,  publication,  and
 5    dissemination of the books and records are  governed  by  the
 6    provisions of The Freedom of Information Act.
 7    (Source: P.A. 86-1029.)

 8        (230 ILCS 10/18) (from Ch. 120, par. 2418)
 9        Sec. 18.  Prohibited Activities - Penalty.
10        (a)  A  person  is  guilty  of  a Class A misdemeanor for
11    doing any of the following:
12             (1)  Conducting gambling where wagering is  used  or
13        to be used without a license issued by the Board.
14             (2)  Conducting gambling where wagering is permitted
15        other than in the manner specified by Section 11.
16        (b)  A  person  is  guilty  of  a Class B misdemeanor for
17    doing any of the following:
18             (1)  permitting a person under 21 years  to  make  a
19        wager; or
20             (2)  violating  paragraph  (12) of subsection (a) of
21        Section 11 of this Act.
22        (c)  A person  wagering  or  accepting  a  wager  at  any
23    location  outside the riverboat or electronic gaming facility
24    in violation of paragraph is  subject  to  the  penalties  in
25    paragraphs  (1)  or  (2) of subsection (a) of Section 28-1 of
26    the Criminal  Code  of  1961  is  subject  to  the  penalties
27    provided in that Section.
28        (d)  A  person commits a Class 4 felony and, in addition,
29    shall be barred for life from gambling operations  riverboats
30    under  the  jurisdiction of the Board, if the person does any
31    of the following:
32             (1)  Offers, promises, or gives anything of value or
33        benefit to a person who is  connected  with  a  riverboat
 
                            -126-    LRB093 02207 LRD 16688 a
 1        owner  or  electronic  gaming licensee including, but not
 2        limited to, an officer or employee of a licensed owner or
 3        electronic gaming licensee or holder of  an  occupational
 4        license  pursuant  to an agreement or arrangement or with
 5        the intent that the promise or thing of value or  benefit
 6        will  influence  the  actions  of  the person to whom the
 7        offer, promise, or gift was made in order  to  affect  or
 8        attempt  to  affect the outcome of a gambling game, or to
 9        influence official action of a member of the Board.
10             (2)  Solicits or knowingly  accepts  or  receives  a
11        promise  of anything of value or benefit while the person
12        is  connected  with  a  riverboat  or  electronic  gaming
13        facility, including, but not limited to,  an  officer  or
14        employee   of  a  licensed  owner  or  electronic  gaming
15        licensee, or  the  holder  of  an  occupational  license,
16        pursuant  to  an understanding or arrangement or with the
17        intent that the promise or thing of value or benefit will
18        influence the actions of the person to affect or  attempt
19        to affect the outcome of a gambling game, or to influence
20        official action of a member of the Board.
21             (3)  Uses  or  possesses  with  the  intent to use a
22        device to assist:
23                  (i)  In projecting the outcome of the game.
24                  (ii)  In keeping track of the cards played.
25                  (iii)  In  analyzing  the  probability  of  the
26             occurrence of an  event  relating  to  the  gambling
27             game.
28                  (iv)  In  analyzing the strategy for playing or
29             betting to be used in the game except  as  permitted
30             by the Board.
31             (4)  Cheats at a gambling game.
32             (5)  Manufactures,  sells, or distributes any cards,
33        chips, dice, game or device which is intended to be  used
34        to violate any provision of this Act.
 
                            -127-    LRB093 02207 LRD 16688 a
 1             (6)  Alters   or  misrepresents  the  outcome  of  a
 2        gambling game on which wagers have been  made  after  the
 3        outcome  is  made  sure  but before it is revealed to the
 4        players.
 5             (7)  Places a bet  after  acquiring  knowledge,  not
 6        available  to all players, of the outcome of the gambling
 7        game which is subject of the bet or to aid  a  person  in
 8        acquiring  the knowledge for the purpose of placing a bet
 9        contingent on that outcome.
10             (8)  Claims, collects,  or  takes,  or  attempts  to
11        claim, collect, or take, money or anything of value in or
12        from  the gambling games, with intent to defraud, without
13        having made a wager  contingent  on  winning  a  gambling
14        game, or claims, collects, or takes an amount of money or
15        thing of value of greater value than the amount won.
16             (9)  Uses  counterfeit chips or tokens in a gambling
17        game.
18             (10)  Possesses any key or device designed  for  the
19        purpose  of opening, entering, or affecting the operation
20        of a  gambling  game,  drop  box,  or  an  electronic  or
21        mechanical device connected with the gambling game or for
22        removing  coins,  tokens,   chips  or other contents of a
23        gambling game.  This paragraph (10) does not apply  to  a
24        gambling  licensee  or  employee  of  a gambling licensee
25        acting in furtherance of the employee's employment.
26        (e)  The possession of  more  than  one  of  the  devices
27    described  in  subsection  (d),  paragraphs  (3), (5) or (10)
28    permits a rebuttable presumption that the possessor  intended
29    to use the devices for cheating.
30        An action to prosecute any crime occurring on a riverboat
31    shall  be  tried  in  the  county  of  the  dock at which the
32    riverboat is based.
33    (Source: P.A. 91-40, eff. 6-25-99.)
 
                            -128-    LRB093 02207 LRD 16688 a
 1        (230 ILCS 10/19) (from Ch. 120, par. 2419)
 2        Sec. 19.  Forfeiture of property.
 3        (a)  Except as provided in subsection (b), any  riverboat
 4    or  electronic  gaming  facility  used  for  the  conduct  of
 5    gambling games in violation of this Act shall be considered a
 6    gambling  place  in violation of Section 28-3 of the Criminal
 7    Code of 1961, as now or hereafter amended.    Every  gambling
 8    device  found  on  a  riverboat  or  at  an electronic gaming
 9    facility operating gambling games in violation  of  this  Act
10    and every slot machine found at an electronic gaming facility
11    operating  gambling  games  in violation of this Act shall be
12    subject to seizure, confiscation and destruction as  provided
13    in  Section  28-5  of  the  Criminal  Code of 1961, as now or
14    hereafter amended.
15        (b)  It is not a violation of this Act for a riverboat or
16    other watercraft which is licensed for gaming by a contiguous
17    state to dock on the shores of this State if the municipality
18    having jurisdiction of the shores, or the county in the  case
19    of  unincorporated  areas, has granted permission for docking
20    and  no  gaming  is  conducted  on  the  riverboat  or  other
21    watercraft while it is docked on the shores of this State. No
22    gambling device shall be subject to seizure, confiscation  or
23    destruction  if the gambling device is located on a riverboat
24    or other  watercraft  which  is  licensed  for  gaming  by  a
25    contiguous  state  and  which is docked on the shores of this
26    State if the municipality having jurisdiction of the  shores,
27    or  the  county  in  the  case  of  unincorporated areas, has
28    granted permission for docking and no gaming is conducted  on
29    the  riverboat  or other watercraft while it is docked on the
30    shores of this State.
31    (Source: P.A. 86-1029.)

32        (230 ILCS 10/20) (from Ch. 120, par. 2420)
33        Sec. 20.  Prohibited activities - civil  penalties.   Any
 
                            -129-    LRB093 02207 LRD 16688 a
 1    person  who  conducts  a  gambling  operation  without  first
 2    obtaining  a  license  to  do so, or who continues to conduct
 3    such games after revocation of his license, or  any  licensee
 4    who  conducts  or  allows  to  be  conducted any unauthorized
 5    gambling games on a riverboat  or  at  an  electronic  gaming
 6    facility  where  it  is  authorized  to conduct its riverboat
 7    gambling operation, in addition to other penalties  provided,
 8    shall  be  subject  to a civil penalty equal to the amount of
 9    gross receipts derived from wagering on the  gambling  games,
10    whether  unauthorized or authorized, conducted on that day as
11    well as confiscation and  forfeiture  of  all  gambling  game
12    equipment used in the conduct of unauthorized gambling games.
13    (Source: P.A. 86-1029.)

14        Section  85.  The Illinois Pull Tabs and Jar Games Act is
15    amended by changing Sections 1.1, 4, and 5 as follows:

16        (230 ILCS 20/1.1) (from Ch. 120, par. 1051.1)
17        Sec. 1.1.  Definitions.  As used in this Act:
18        "Pull  tabs"  and  "jar  games"  means   a   game   using
19    single-folded  or banded tickets or a card, the face of which
20    is initially covered or otherwise hidden from view  in  order
21    to  conceal a number, symbol or set of symbols, some of which
22    are winners.  Players with winning tickets  receive  a  prize
23    stated  on  a promotional display or "flare".  Pull tabs also
24    means a game in which prizes are won by pulling a tab from  a
25    board  thereby  revealing  a  number which corresponds to the
26    number for a given prize.
27        Except in the case of bingo  event  games,  each  winning
28    pull  tab  or  slip  shall  be  predetermined.   The right to
29    participate in such  games  shall  not  cost  more  than  $2.
30    Except  for  prizes awarded as part of a progressive game, no
31    single prize shall exceed $500.  There shall be no more  than
32    6,000 tickets in a game.
 
                            -130-    LRB093 02207 LRD 16688 a
 1        "Pull  tabs and jar games", as used in this Act, does not
 2    include the following: numbers,  policy,  bolita  or  similar
 3    games,  dice,  slot  machines,  bookmaking and wagering pools
 4    with respect to a sporting event, or that game commonly known
 5    as punch boards, or any other game or activity not  expressly
 6    defined in this Section.
 7        "Organization"  means a corporation, agency, partnership,
 8    association, firm or other entity consisting  of  2  or  more
 9    persons joined by a common interest or purpose.
10        "Non-profit   organization"   means  an  organization  or
11    institution organized and conducted on a not-for-profit basis
12    with no personal profit inuring to anyone as a result of  the
13    operation.
14        "Charitable   organization"   means  an  organization  or
15    institution organized and operated to benefit  an  indefinite
16    number of the public.
17        "Educational   organization"  means  an  organization  or
18    institution organized  and  operated  to  provide  systematic
19    instruction  in useful branches of learning by methods common
20    to  schools  and  institutions  of  learning  which   compare
21    favorably  in  their  scope  and intensity with the course of
22    study presented in tax-supported schools.
23        "Religious organization" means any church,  congregation,
24    society, or organization founded for the purpose of religious
25    worship.
26        "Fraternal   organization"   means   an  organization  of
27    persons, including but not limited to  ethnic  organizations,
28    having  a common interest, organized and operated exclusively
29    to promote the welfare of its  members  and  to  benefit  the
30    general public on a continuing and consistent basis.
31        "Veterans'  organization" means an organization comprised
32    of members of which substantially all are individuals who are
33    veterans or spouses, widows, or  widowers  of  veterans,  the
34    primary  purpose  of  which  is to promote the welfare of its
 
                            -131-    LRB093 02207 LRD 16688 a
 1    members and to provide assistance to the  general  public  in
 2    such a way as to confer a public benefit.
 3        "Labor  organization"  means  an organization composed of
 4    labor unions or  workers  organized  with  the  objective  of
 5    betterment of the conditions of those engaged in such pursuit
 6    and the development of a higher degree of efficiency in their
 7    respective occupations.
 8        "Youth   athletic  organization"  means  an  organization
 9    having as its exclusive purpose the promotion  and  provision
10    of athletic activities for youth aged 18 and under.
11        "Senior  citizens  organization" means an organization or
12    association comprised of members of which  substantially  all
13    are  individuals  who  are senior citizens, as defined in the
14    Illinois Act on the Aging, the primary purpose of which is to
15    promote the welfare of its members.
16        "Progressive game" means a  pull  tab  game  that  has  a
17    portion  of  its  predetermined  prize payout designated to a
18    progressive jackpot that, if not won, is carried forward  and
19    added to the jackpot of subsequent games until won.
20        "Bingo event game" means a pull tab game played with pull
21    tab  tickets  where  the  winner  has  not been designated in
22    advance by the manufacturer, but is determined by chance.
23    (Source: P.A. 90-536, eff. 1-1-98.)

24        (230 ILCS 20/4) (from Ch. 120, par. 1054)
25        Sec. 4.  The conducting of pull tabs  and  jar  games  is
26    subject to the following restrictions:
27        (1)  The  entire  net  proceeds  of  any pull tabs or jar
28    games, except as otherwise approved  in  this  Act,  must  be
29    exclusively   devoted   to   the   lawful   purposes  of  the
30    organization permitted to conduct such drawings.
31        (2)  No person except a bona fide member or  employee  of
32    the sponsoring organization may participate in the management
33    or operation of such pull tabs or jar games; however, nothing
 
                            -132-    LRB093 02207 LRD 16688 a
 1    herein  shall conflict with pull tabs and jar games conducted
 2    under the provisions of the Charitable Games Act.
 3        (3)  No person may receive any remuneration or profit for
 4    participating in the management or  operation  of  such  pull
 5    tabs  or  jar  games;  however, nothing herein shall conflict
 6    with pull tabs and jar games conducted under  the  provisions
 7    of the Charitable Games Act.
 8        (4)  The  price  paid  for  a  single  chance or right to
 9    participate in a game  licensed  under  this  Act  shall  not
10    exceed  $2.  The aggregate value of all prizes or merchandise
11    awarded in any single day of pull tabs and  jar  games  shall
12    not  exceed  $5,000, except that in adjoining counties having
13    200,000 to 275,000 inhabitants each, and  in  counties  which
14    are  adjacent  to  either  of such adjoining counties and are
15    adjacent to total of not more than 2 counties in this  State,
16    the value of all prizes or merchandise awarded may not exceed
17    $5,000 in a single day.
18        (5)  No  person  under  the age of 18 years shall play or
19    participate in games under this Act.  A person under the  age
20    of  18  years  may be within the area where pull tabs and jar
21    games are being conducted only when accompanied by his parent
22    or guardian.
23        (6)  Pull tabs and jar games shall be conducted  only  on
24    premises owned or occupied by licensed organizations and used
25    by  its  members for general activities, or on premises owned
26    or rented for conducting the game of bingo, or  as  permitted
27    in subsection (4) of Section 3.
28    (Source: P.A. 90-536, eff. 1-1-98; 90-808, eff. 12-1-98.)

29        (230 ILCS 20/5) (from Ch. 120, par. 1055)
30        Sec.  5. There shall be paid to the Department of Revenue
31    5% of the gross proceeds of  any  pull  tabs  and  jar  games
32    conducted  under  this  Act.   Such  payments shall be made 4
33    times per year, between the first and the 20th day of  April,
 
                            -133-    LRB093 02207 LRD 16688 a
 1    July,  October  and  January.   Payment must be made by money
 2    order or certified check.  Accompanying each payment shall be
 3    a report, on forms provided by  the  Department  of  Revenue,
 4    listing  the  number  of drawings conducted, the gross income
 5    derived  therefrom  and  such  other   information   as   the
 6    Department  of Revenue may require.  Failure to submit either
 7    the payment or the report within  the  specified  time  shall
 8    result  in automatic revocation of the license.  All payments
 9    made to the Department of Revenue under  this  Act  shall  be
10    deposited as follows:
11        (a)  50%  shall  be  deposited in the Common School Fund;
12    and
13        (b)  50% shall be deposited in the  Illinois  Gaming  Law
14    Enforcement  Fund.    Of the monies deposited in the Illinois
15    Gaming Law Enforcement Fund under this Section,  the  General
16    Assembly  shall  appropriate  two-thirds to the Department of
17    Revenue, Department of State Police and  the  Office  of  the
18    Attorney  General  for  State  law  enforcement purposes, and
19    one-third shall be appropriated to the Department of  Revenue
20    for  the  purpose  of  distribution  in the form of grants to
21    counties or municipalities for law enforcement purposes.  The
22    amounts of grants to counties or  municipalities  shall  bear
23    the  same  ratio as the number of licenses issued in counties
24    or municipalities bears  to  the  total  number  of  licenses
25    issued  in  the  State.  In  computing the number of licenses
26    issued in a county, licenses issued for  locations  within  a
27    municipality's boundaries shall be excluded.
28        The  Department  of  Revenue  shall license suppliers and
29    manufacturers of pull tabs and jar games at an annual fee  of
30    $5,000.   Suppliers   and   manufacturers   shall   meet  the
31    requirements and qualifications established by  rule  by  the
32    Department.   Licensed manufacturers shall sell pull tabs and
33    jar games only to  licensed  suppliers.   Licensed  suppliers
34    shall  buy  pull  tabs  and  jar  games  only  from  licensed
 
                            -134-    LRB093 02207 LRD 16688 a
 1    manufacturers  and shall sell pull tabs and jar games only to
 2    licensed organizations. Licensed organizations shall buy pull
 3    tabs and jar games only from licensed suppliers.
 4        The Department of Revenue shall  adopt  by  rule  minimum
 5    quality production standards for pull tabs and jar games.  In
 6    determining such standards, the Department shall consider the
 7    standards  adopted  by  the  National Association of Gambling
 8    Regulatory  Agencies  and   the   National   Association   of
 9    Fundraising   Ticket   Manufacturers.  Such  standards  shall
10    include the name of the supplier which shall appear in  plain
11    view to the casual observer on the face side of each pull tab
12    ticket  and  on  each  jar  game ticket.  The pull tab ticket
13    shall contain the name of the game, the selling price of  the
14    ticket,  the amount of the prize and the serial number of the
15    ticket.  The back side of a pull tab ticket shall  contain  a
16    series  of  perforated  tabs marked "open here".  The logo of
17    the manufacturer shall be clearly visible on  each  jar  game
18    ticket.
19        The  Department of Revenue shall adopt rules necessary to
20    provide for the proper accounting and control  of  activities
21    under  this  Act,  to  ensure that the proper taxes are paid,
22    that the proceeds from the activities under this Act are used
23    lawfully, and to prevent illegal activity associated with the
24    use of pull tabs and jar games.
25        The provisions of Section 2a of the Retailers' Occupation
26    Tax Act pertaining to the  furnishing  of  a  bond  or  other
27    security  are incorporated by reference into this Act and are
28    applicable to licensees under this Act as a  precondition  of
29    obtaining  a  license  under  this  Act.   The  provisions of
30    Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 6, 6a,
31    6b, 6c, 8, 9, 10, 11 and 12 of the Retailers' Occupation  Tax
32    Act, and Section 3-7 of the Uniform Penalty and Interest Act,
33    which  are not inconsistent with this Act shall apply, as far
34    as practicable, to the subject matter of this Act to the same
 
                            -135-    LRB093 02207 LRD 16688 a
 1    extent as if such provisions were included in this Act.   For
 2    the  purposes  of  this  Act, references in such incorporated
 3    Sections of the Retailers' Occupation Tax Act  to  retailers,
 4    sellers  or  persons  engaged  in  the  business  of  selling
 5    tangible   personal   property   means   persons  engaged  in
 6    conducting pull tabs and jar games  and  references  in  such
 7    incorporated Sections of the Retailers' Occupation Tax Act to
 8    sales  of  tangible  personal property mean the conducting of
 9    pull tabs and  jar  games  and  the  making  of  charges  for
10    participating in such drawings.
11    (Source: P.A. 87-205; 87-895.)

12        Section  90.   The  Criminal  Code  of 1961 is amended by
13    changing Sections 28-1, 28-5 and 28-7 as follows:

14        (720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
15        Sec. 28-1.  Gambling.
16        (a)  A person commits gambling when he:
17             (1)  Plays a game of chance or skill  for  money  or
18        other  thing  of value, unless excepted in subsection (b)
19        of this Section; or
20             (2)  Makes a wager upon  the  result  of  any  game,
21        contest,  or  any  political  nomination,  appointment or
22        election; or
23             (3)  Operates,   keeps,   owns,   uses,   purchases,
24        exhibits, rents, sells, bargains for the  sale  or  lease
25        of, manufactures or distributes any gambling device; or
26             (4)  Contracts  to  have  or give himself or another
27        the option to buy or sell, or contracts to buy  or  sell,
28        at   a   future   time,  any  grain  or  other  commodity
29        whatsoever, or any stock  or  security  of  any  company,
30        where  it is at the time of making such contract intended
31        by both parties thereto that the contract to buy or sell,
32        or  the  option,  whenever  exercised,  or  the  contract
 
                            -136-    LRB093 02207 LRD 16688 a
 1        resulting therefrom, shall be settled, not by the receipt
 2        or delivery of such property, but by the payment only  of
 3        differences  in  prices  thereof;  however, the issuance,
 4        purchase, sale, exercise, endorsement or guarantee, by or
 5        through a person registered with the Secretary  of  State
 6        pursuant  to  Section 8 of the Illinois Securities Law of
 7        1953,  or  by  or  through  a  person  exempt  from  such
 8        registration under said Section 8, of  a  put,  call,  or
 9        other  option  to  buy or sell securities which have been
10        registered with the  Secretary  of  State  or  which  are
11        exempt  from  such  registration  under  Section 3 of the
12        Illinois Securities Law of 1953 is  not  gambling  within
13        the meaning of this paragraph (4); or
14             (5)  Knowingly   owns   or   possesses   any   book,
15        instrument  or apparatus by means of which bets or wagers
16        have been, or are, recorded or registered,  or  knowingly
17        possesses  any  money which he has received in the course
18        of a bet or wager; or
19             (6)  Sells pools upon the  result  of  any  game  or
20        contest   of   skill  or  chance,  political  nomination,
21        appointment or election; or
22             (7)  Sets up  or  promotes  any  lottery  or  sells,
23        offers  to  sell or transfers any ticket or share for any
24        lottery; or
25             (8)  Sets up or promotes any policy game  or  sells,
26        offers  to  sell  or knowingly possesses or transfers any
27        policy ticket, slip, record, document  or  other  similar
28        device; or
29             (9)  Knowingly   drafts,  prints  or  publishes  any
30        lottery ticket or share,  or  any  policy  ticket,  slip,
31        record,  document  or  similar  device,  except  for such
32        activity related to lotteries, bingo  games  and  raffles
33        authorized  by  and conducted in accordance with the laws
34        of Illinois or any other state or foreign government; or
 
                            -137-    LRB093 02207 LRD 16688 a
 1             (10)  Knowingly advertises  any  lottery  or  policy
 2        game,  except  for  such  activity  related to lotteries,
 3        bingo games and raffles authorized by  and  conducted  in
 4        accordance  with the laws of Illinois or any other state;
 5        or
 6             (11)  Knowingly transmits information as to  wagers,
 7        betting  odds,  or  changes in betting odds by telephone,
 8        telegraph,  radio,  semaphore  or   similar   means;   or
 9        knowingly   installs   or  maintains  equipment  for  the
10        transmission or receipt of such information; except  that
11        nothing  in  this subdivision (11) prohibits transmission
12        or receipt of such information for use in news  reporting
13        of sporting events or contests; or
14             (12)  Knowingly  establishes, maintains, or operates
15        an Internet site that permits a person to play a game  of
16        chance  or  skill  for  money  or other thing of value by
17        means of the Internet or to make a wager upon the  result
18        of  any game, contest, political nomination, appointment,
19        or election by means of the Internet.
20        (b)  Participants in  any  of  the  following  activities
21    shall not be convicted of gambling therefor:
22             (1)  Agreements to compensate for loss caused by the
23        happening   of   chance   including   without  limitation
24        contracts of indemnity or guaranty and life or health  or
25        accident insurance;
26             (2)  Offers  of prizes, award or compensation to the
27        actual contestants in  any  bona  fide  contest  for  the
28        determination  of  skill, speed, strength or endurance or
29        to the owners of animals  or  vehicles  entered  in  such
30        contest;
31             (3)  Pari-mutuel betting as authorized by the law of
32        this State;
33             (4)  Manufacture  of gambling devices, including the
34        acquisition of essential parts therefor and the  assembly
 
                            -138-    LRB093 02207 LRD 16688 a
 1        thereof,  for  transportation  in  interstate  or foreign
 2        commerce to  any  place  outside  this  State  when  such
 3        transportation   is  not  prohibited  by  any  applicable
 4        Federal law;
 5             (5)  The  game  commonly  known  as  "bingo",   when
 6        conducted  in  accordance  with the Bingo License and Tax
 7        Act;
 8             (6)  Lotteries  when  conducted  by  the  State   of
 9        Illinois in accordance with the Illinois Lottery Law;
10             (7)  Possession  of  an antique slot machine that is
11        neither used nor intended to be used in the operation  or
12        promotion   of   any   unlawful   gambling   activity  or
13        enterprise.  For the purpose of this subparagraph (b)(7),
14        an antique slot machine is one manufactured 25 years  ago
15        or earlier;
16             (8)  Raffles  when  conducted in accordance with the
17        Raffles Act;
18             (9)  Charitable games when conducted  in  accordance
19        with the Charitable Games Act;
20             (10)  Pull  tabs  and jar games when conducted under
21        the Illinois Pull Tabs and Jar Games Act; or
22             (11)  Gambling games conducted  on  riverboats  when
23        authorized by the Riverboat Gambling Act.
24        (c)  Sentence.
25        Gambling  under  subsection  (a)(1)  or  (a)(2)  of  this
26    Section  is  a  Class  A  misdemeanor.  Gambling under any of
27    subsections (a)(3) through (a)(11) of this Section is a Class
28    A misdemeanor.  A second or subsequent conviction  under  any
29    of  subsections  (a)(3) through (a)(11), is a Class 4 felony.
30    Gambling under subsection (a)(12) of this Section is a  Class
31    A  misdemeanor.   A  second  or  subsequent  conviction under
32    subsection (a)(12) is a Class 4 felony.
33        (d)  Circumstantial evidence.
34        In prosecutions under subsection (a)(1)  through  (a)(12)
 
                            -139-    LRB093 02207 LRD 16688 a
 1    of  this  Section circumstantial evidence shall have the same
 2    validity and weight as in any criminal prosecution.
 3    (Source: P.A. 91-257, eff. 1-1-00.)

 4        (720 ILCS 5/28-5) (from Ch. 38, par. 28-5)
 5        Sec. 28-5.  Seizure  of  gambling  devices  and  gambling
 6    funds.
 7        (a)  Every   device   designed   for  gambling  which  is
 8    incapable of lawful use or every device used  unlawfully  for
 9    gambling  shall  be considered a "gambling device", and shall
10    be subject to seizure, confiscation and  destruction  by  the
11    Department  of  State  Police  or  by any municipal, or other
12    local authority, within whose jurisdiction the  same  may  be
13    found.  As used in this Section, a "gambling device" includes
14    any   slot  machine,  and  includes  any  machine  or  device
15    constructed for the reception of  money  or  other  thing  of
16    value and so constructed as to return, or to cause someone to
17    return,  on chance to the player thereof money, property or a
18    right to receive money or property.  With  the  exception  of
19    any device designed for gambling which is incapable of lawful
20    use,  no  gambling  device  shall  be  forfeited or destroyed
21    unless an individual with a property interest in said  device
22    knows of the unlawful use of the device.
23        (b)  Every  gambling device shall be seized and forfeited
24    to the county wherein such  seizure  occurs.   Any  money  or
25    other  thing  of value integrally related to acts of gambling
26    shall be seized and forfeited  to  the  county  wherein  such
27    seizure occurs.
28        (c)  If,  within  60  days  after any seizure pursuant to
29    subparagraph  (b)  of  this  Section,  a  person  having  any
30    property interest in the seized property is charged  with  an
31    offense,  the  court  which renders judgment upon such charge
32    shall,  within  30  days  after  such  judgment,  conduct   a
33    forfeiture  hearing  to determine whether such property was a
 
                            -140-    LRB093 02207 LRD 16688 a
 1    gambling device at the time of seizure.  Such  hearing  shall
 2    be  commenced  by  a written petition by the State, including
 3    material allegations of fact, the name and address  of  every
 4    person  determined by the State to have any property interest
 5    in the seized property, a representation that written  notice
 6    of  the  date, time and place of such hearing has been mailed
 7    to every such person by  certified  mail  at  least  10  days
 8    before  such  date, and a request for forfeiture.  Every such
 9    person may appear as a party and  present  evidence  at  such
10    hearing.    The   quantum   of  proof  required  shall  be  a
11    preponderance of the evidence, and the burden of proof  shall
12    be  on  the  State.   If the court determines that the seized
13    property was a gambling device at the  time  of  seizure,  an
14    order  of  forfeiture  and disposition of the seized property
15    shall be entered: a gambling device shall be received by  the
16    State's  Attorney,  who  shall effect its destruction, except
17    that  valuable  parts  thereof  may  be  liquidated  and  the
18    resultant money shall be deposited in the general fund of the
19    county wherein such seizure occurred; money and other  things
20    of  value shall be received by the State's Attorney and, upon
21    liquidation, shall be deposited in the general  fund  of  the
22    county  wherein such seizure occurred.  However, in the event
23    that a defendant raises the  defense  that  the  seized  slot
24    machine  is an antique slot machine described in subparagraph
25    (b) (7) of Section 28-1 of this Code  and  therefore   he  is
26    exempt  from  the  charge of a gambling activity participant,
27    the seized antique slot machine shall  not  be  destroyed  or
28    otherwise  altered until a final determination is made by the
29    Court as to whether it is such an antique slot machine.  Upon
30    a final determination by the Court of this question in  favor
31    of  the  defendant,  such  slot  machine shall be immediately
32    returned to the defendant.   Such  order  of  forfeiture  and
33    disposition  shall,  for  the  purposes of appeal, be a final
34    order and judgment in a civil proceeding.
 
                            -141-    LRB093 02207 LRD 16688 a
 1        (d)  If a seizure pursuant to subparagraph  (b)  of  this
 2    Section  is not followed by a charge pursuant to subparagraph
 3    (c) of this Section, or if the prosecution of such charge  is
 4    permanently  terminated  or indefinitely discontinued without
 5    any judgment of  conviction  or  acquittal  (1)  the  State's
 6    Attorney   shall  commence  an  in  rem  proceeding  for  the
 7    forfeiture and destruction of a gambling device, or  for  the
 8    forfeiture  and  deposit in the general fund of the county of
 9    any seized money or other things of value, or  both,  in  the
10    circuit court and (2) any person having any property interest
11    in such seized gambling device, money or other thing of value
12    may   commence  separate  civil  proceedings  in  the  manner
13    provided by law.
14        (e)  Any  gambling  device  displayed  for  sale   to   a
15    riverboat  gambling  operation  or used to train occupational
16    licensees of a riverboat  gambling  operation  as  authorized
17    under the Riverboat Gambling Act is exempt from seizure under
18    this Section.
19        (f)  Any   gambling   equipment,   devices  and  supplies
20    provided by  a  licensed  supplier  in  accordance  with  the
21    Riverboat Gambling Act which are removed from a the riverboat
22    or  electronic  gaming  facility  for  repair are exempt from
23    seizure under this Section.
24    (Source: P.A. 87-826.)

25        (720 ILCS 5/28-7) (from Ch. 38, par. 28-7)
26        Sec. 28-7. Gambling contracts void.
27        (a)  All  promises,  notes,  bills,   bonds,   covenants,
28    contracts,   agreements,   judgments,   mortgages,  or  other
29    securities or conveyances made,  given,  granted,  drawn,  or
30    entered into, or executed by any person whatsoever, where the
31    whole  or  any  part  of the consideration thereof is for any
32    money or thing of value, won or obtained in violation of  any
33    Section of this Article are null and void.
 
                            -142-    LRB093 02207 LRD 16688 a
 1        (b)  Any  obligation  void  under this Section may be set
 2    aside and vacated by any  court  of  competent  jurisdiction,
 3    upon  a  complaint  filed  for that purpose, by the person so
 4    granting, giving, entering into, or executing the same, or by
 5    his executors or administrators, or by  any  creditor,  heir,
 6    legatee,  purchaser or other person interested therein; or if
 7    a judgment, the same may be set aside on motion of any person
 8    stated above, on due notice thereof given.
 9        (c)  No assignment of  any  obligation  void  under  this
10    Section  may  in  any manner affect the defense of the person
11    giving, granting, drawing, entering into  or  executing  such
12    obligation, or the remedies of any person interested therein.
13        (d)  This Section shall not prevent a licensed owner of a
14    riverboat gambling operation or an electronic gaming licensee
15    under  the  Riverboat  Gambling  Act  and  the Illinois Horse
16    Racing Act of 1975 from instituting  a  cause  of  action  to
17    collect any amount due and owing under an extension of credit
18    to  a  riverboat  gambling patron as authorized under Section
19    11.1 of the Riverboat Gambling Act.
20    (Source: P.A. 87-826.)

21        (230 ILCS 5/54 rep.)
22        Section 95. The Illinois Horse Racing Act is  amended  by
23    repealing Section 54.

24        Section  100.  "An  Act in relation to gambling, amending
25    named Acts", approved June 25, 1999,  Public  Act  91-40,  is
26    amended by changing Section 30 as follows:

27        (P.A. 91-40, Sec. 30)
28        Sec.  30.  Severability.   If  any  provision of this Act
29    (Public Act 91-40) or the application thereof to  any  person
30    or  circumstance  is  held  invalid, that invalidity does not
31    affect the other provisions or applications of the Act  which
 
                            -143-    LRB093 02207 LRD 16688 a
 1    can  be  given  effect  without  the  invalid  application or
 2    provision, and to this end the provisions  of  this  Act  are
 3    severable.   This  severability  applies  without  regard  to
 4    whether  the  action  challenging  the  validity  was brought
 5    before the effective date of this amendatory Act of the  93rd
 6    General Assembly.
 7        Inseverability.   The provisions of this Act are mutually
 8    dependent and inseverable.  If any provision is held  invalid
 9    other than as applied to a particular person or circumstance,
10    then this entire Act is invalid.
11    (Source: P.A. 91-40, eff. 6-25-99.)

12        Section  105.  The State Finance Act is amended by adding
13    Sections 5.595 and 5.596 as follows:

14        (30 ILCS 105/5.595 new)
15        Sec. 5.595.  The Intercity Development Fund.

16        (30 ILCS 105/5.596 new)
17        Sec.  5.596.  The  Local  Government   Riverboat   Gaming
18    Distributive Fund.

19        Section 999.  Effective date.  This Act takes effect upon
20    becoming law.".