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HB4128 Engrossed |
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| AN ACT concerning State government.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Lottery Law is amended by adding |
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| Sections 7.12, 7.13, 7.14, and 27.5 as follows: |
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| (20 ILCS 1605/7.12 new) |
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| Sec. 7.12. Internet Lottery game program. |
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| (a) The Department shall establish and maintain an Internet |
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| lottery game program that allows an eligible person to purchase |
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| lottery tickets through the Internet through the services of a |
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| private Internet agent. The Department must propose rules to |
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| the General Assembly necessary for the administration of this |
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| program. The provisions of this Section and the proposed rules |
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| adopted
under this Section apply to the sale of lottery tickets |
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| under this program. |
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| (b) The Department shall select a private Internet agent |
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| under the standards and qualifications described in Section |
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| 7.13 to operate the real-time and secure payment option system |
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| that may be used for the purposes of this program. |
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| (c) All non-scratch-ticket Lottery games offered by the |
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| Department shall be offered to Internet players, and additional |
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| lottery games may be offered through the electronic |
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| distribution. |
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| (d) A person who purchases a ticket through the program |
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| shall be notified electronically of their prize winnings. A |
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| prize in an amount less than $600 must be deposited directly |
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| into the winner's bank account. The payment of a prize in an |
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| amount of $600 or more may be made only by the Director. |
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| (e) The Department's proposed rules must include a |
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| determination of which games may be played online and shall |
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| limit the persons authorized to purchase tickets online to only |
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| eligible residents of this State in compliance with the federal |
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| Unlawful Internet Gambling Enforcement Act of 2006. |
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| (f) The Department shall, in compliance with the federal |
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| Unlawful Internet Gambling Enforcement Act of 2006, establish a |
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| procedure to verify that a person is 18 years of age or older |
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| before he or she may establish an online lottery account and |
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| purchase lottery tickets through the Internet program. The |
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| Department's proposed rules must adopt standards to prevent the |
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| unauthorized use of online lottery accounts. |
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| (g) The Department's proposed rules may establish a |
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| limitation on monthly purchases that may be made through any |
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| individual lottery account. |
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| (20 ILCS 1605/7.13 new) |
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| Sec. 7.13. Operation of the Internet game program. |
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| (a) The Department shall enter into a contract with a |
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| private Internet agent to sell lottery tickets through the |
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| Internet through the services of a private Internet agent. In |
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| addition to any other reasonable qualifications required by the |
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| Department, the private Internet agent must: |
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| (1) demonstrate extensive experience in handling |
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| secure Internet financial transactions on a real time |
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| basis; |
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| (2) possess the ability to maintain an Internet site in |
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| compliance with the best industry standards with respect to |
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| security and the protection of personal information; |
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| (3) possess a demonstrable ability to create and |
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| maintain an Internet site and subsites with a high volume |
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| of use and meet or exceed electronic security standards |
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| within the electronic payment or transfer industry such as |
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| a SAS 70 Type II review; and |
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| (4) submit to the Department a history of financial |
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| accountability and comply with generally accepted |
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| accounting principles. |
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| (b) The private Internet agent, with the cooperation and |
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| approval of the Department, must establish procedures to |
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| establish accounts and unique identification numbers for each |
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| player using the Internet and to verify the age, address, and |
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| payment method of each of those players. |
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| (c) The private Internet agent is entitled to earn and |
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| collect a reasonable transaction fee that is paid by the player
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| who establishes and plays through an online account, and the |
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| private Internet agent is also entitled to the winning bonus |
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| for selling a winning ticket as approved and set under the Act. |
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| (d) The private Internet agent must deliver to the |
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| Department all moneys collected through the Internet |
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| transactions within 48 hours after their receipt. The private |
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| Internet agent must deliver to the Department records of all |
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| sales transactions from which those moneys were collected on a |
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| real time basis or as required by the Department. The private |
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| Internet agent may deduct its fees before delivering the funds |
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| to the Department. |
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| (20 ILCS 1605/7.14 new) |
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| Sec. 7.14. Creation of Internet Lottery accounts. |
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| (a) Any person who is eligible to participate in the |
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| Internet Lottery game program may create a secure individual |
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| lottery account that is accessible through the Internet or by |
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| other secure electronic means. In order to establish an |
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| individual lottery account, a person must apply to the |
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| Department. |
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| An applicant that applies in person must present a valid |
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| Illinois driver's license with current address or an official |
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| State-issued identification card. The Department shall verify |
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| that the person is 18 years of age or older. The person must be |
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| issued an application form in person, to be approved by the |
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| Department or its approved private Internet agent, containing |
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| the applicant's name, address, age, driver's license number, or |
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| the number of an official state approved identification card; |
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| an email address and the applicant's last 4 digits of his or |
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| her social security number as well as other information that |
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| may be required by the Department or the private Internet |
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| agent. |
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| An applicant may also establish an individual lottery |
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| account by registering online through an approved Illinois |
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| Lottery website and filling out the electronic application
form |
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| via the Internet. The application shall be approved by the |
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| Department or its approved private Internet agent, containing |
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| the applicant's name, address, age, driver's license number, or |
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| the number of an official state-approved identification card, |
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| an e-mail address, and the applicant's last 4 digits of his or |
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| her social security number. The private Internet agent shall |
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| verify the person's name, age, address, and driver's license or |
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| identification card number pursuant to the procedures set forth |
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| in the rules adopted by the Department, subject to Section |
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| 27.5. Any such procedures that involve the use of information |
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| maintained by the Secretary of State must be approved by the |
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| Secretary of State. |
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| (b) The individual lottery account may not be activated |
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| until the person goes online and follows the activation and |
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| funding procedure to be established by the Department. Each new |
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| account holder must be issued electronically a unique |
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| individual lottery access number that will prevent others from |
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| accessing his or her individual lottery account. |
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| (c) The Department is authorized and directed to devise a |
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| method pursuant to which a person who has activated and funded |
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| an individual lottery account is allowed to purchase lottery |
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| tickets or shares by using public or private computer terminals |
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| or other electronic devices or means. |
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| (20 ILCS 1605/27.5 new) |
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| Sec. 27.5. No rulemaking authority. Notwithstanding any |
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| other provision of this Act or any other rulemaking authority |
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| that may exist, on and after the effective date of this |
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| amendatory Act of the 95th General Assembly, neither the |
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| Governor nor any agency or agency head under the jurisdiction |
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| of the Governor has any authority to make or promulgate rules |
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| to implement or enforce the provisions of this Act. If, |
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| however, the Department believes that rules are necessary to |
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| implement or enforce the provisions of this Act, the Department |
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| may suggest rules to the General Assembly by filing them with |
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| the Clerk of the House and Secretary of the Senate and by |
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| requesting that the General Assembly authorize such rulemaking |
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| by law, enact those suggested rules into law, or take any other |
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| appropriate action in the General Assembly's discretion. |
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| Nothing contained in this Act shall be interpreted to grant |
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| rulemaking authority under any other Illinois statute where |
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| such authority is not otherwise explicitly given. For the |
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| purposes of this Act, "rules" is given the meaning contained in |
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| Section 1-70 of the Illinois Administrative Procedure Act, and |
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| "agency" and "agency head" are given the meanings contained in |
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| Sections 1-20 and 1-25 of the Illinois Administrative Procedure |