Sen. Terry Link

Filed: 5/20/2009

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 744

2     AMENDMENT NO. ______. Amend Senate Bill 744 by replacing
3 everything after the enacting clause with the following:
 
4
"ARTICLE 1.

 
5     Section 1-1. Short title. This Article may be cited as the
6 Chicago Casino Development Authority Act.
 
7     Section 1-5. Definitions. As used in this Act:
8     "Authority" means the Chicago Casino Development Authority
9 created by this Act.
10     "Board" means the board appointed pursuant to this Act to
11 govern and control the Authority.
12     "Casino" means one temporary land-based facility and a
13 permanent land-based facility, at each of which lawful gambling
14 is authorized and licensed as provided in the Illinois Gambling
15 Act.

 

 

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1     "City" means the City of Chicago.
2     "Casino operator licensee" means any person or entity
3 selected by the Authority and approved and licensed by the
4 Gaming Board to manage and operate a casino within the City of
5 Chicago pursuant to a casino management contract.
6     "Casino management contract" means a legally binding
7 agreement between the Authority and a casino operator licensee
8 to operate or manage a casino.
9     "Executive director" means the person appointed by the
10 Board to oversee the daily operations of the Authority.
11     "Gaming Board" means the Illinois Gaming Board created by
12 the Illinois Gambling Act.
13     "Mayor" means the Mayor of the City.
 
14     Section 1-12. Creation of the Authority. After the 5
15 members of the Illinois Gaming Board are appointed and
16 qualified pursuant to this amendatory Act of the 96th General
17 Assembly, there is hereby created a political subdivision, unit
18 of local government with only the powers authorized by law,
19 body politic, and municipal corporation, by the name and style
20 of the Chicago Casino Development Authority.
 
21     Section 1-13. Duties of the Authority. It shall be the duty
22 of the Authority, as a casino licensee under the Illinois
23 Gambling Act, to promote, operate, and maintain a casino in the
24 City. The Authority shall construct, equip, and maintain

 

 

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1 grounds, buildings, and facilities for that purpose. The
2 Authority has the right to contract with a casino operator
3 licensee and other third parties in order to fulfill its
4 purpose. If the Authority does not contract with a casino
5 operator licensee, then the Authority is responsible for the
6 payment of any fees required of a casino operator under
7 subsection (a) of Section 7.8 of the Illinois Gambling Act. The
8 Authority is granted all rights and powers necessary to perform
9 such duties.
 
10     Section 1-15. Board.
11     (a) The governing and administrative powers of the
12 Authority shall be vested in a body known as the Chicago Casino
13 Development Board. The Board shall consist of 3 members
14 appointed by the Mayor. All appointees shall be subject to
15 background investigation and approval by the Gaming Board. One
16 of these members shall be designated by the Mayor to serve as
17 chairperson. All of the members appointed by the Mayor shall be
18 residents of the City.
19     (b) Board members shall receive $300 for each day the
20 Authority meets and shall be entitled to reimbursement of
21 reasonable expenses incurred in the performance of their
22 official duties. A Board member who serves in the office of
23 secretary-treasurer may also receive compensation for services
24 provided as that officer.
 

 

 

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1     Section 1-20. Terms of appointments; resignation and
2 removal.
3     (a) The Mayor shall appoint one member of the Board for an
4 initial term expiring July 1 of the year following approval by
5 the Gaming Board, one member for an initial term expiring July
6 1 three years following approval by the Gaming Board, and one
7 member for an initial term expiring July 1 five years following
8 approval by the Gaming Board.
9     (b) All successors shall hold office for a term of 5 years
10 from the first day of July of the year in which they are
11 appointed, except in the case of an appointment to fill a
12 vacancy. Each member, including the chairperson, shall hold
13 office until the expiration of his or her term and until his or
14 her successor is appointed and qualified. Nothing shall
15 preclude a member from serving consecutive terms. Any member
16 may resign from office, to take effect when a successor has
17 been appointed and qualified. A vacancy in office shall occur
18 in the case of a member's death or indictment, conviction, or
19 plea of guilty to a felony. A vacancy shall be filled for the
20 unexpired term by the Mayor with the approval of the Gaming
21 Board.
22     (c) The Mayor or the Gaming Board may remove any member of
23 the Board upon a finding of incompetence, neglect of duty, or
24 misfeasance or malfeasance in office or for a violation of this
25 Act. The Gaming Board may remove any member of the Board for
26 any violation of the Illinois Gambling Act or the rules and

 

 

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1 regulations of the Gaming Board.
 
2     Section 1-25. Organization of Board; meetings. After
3 appointment by the Mayor and approval of the Gaming Board, the
4 Board shall organize for the transaction of business. The Board
5 shall prescribe the time and place for meetings, the manner in
6 which special meetings may be called, and the notice that must
7 be given to members. All actions and meetings of the Board
8 shall be subject to the provisions of the Open Meetings Act.
9 Two members of the Board shall constitute a quorum. All
10 substantive action of the Board shall be by resolution with an
11 affirmative vote of a majority of the members.
 
12     Section 1-30. Executive director; officers.
13     (a) The Board shall appoint an executive director, subject
14 to completion of a background investigation and approval by the
15 Gaming Board, who shall be the chief executive officer of the
16 Authority. The Board shall fix the compensation of the
17 executive director. Subject to the general control of the
18 Board, the executive director shall be responsible for the
19 management of the business, properties, and employees of the
20 Authority. The executive director shall direct the enforcement
21 of all resolutions, rules, and regulations of the Board, and
22 shall perform such other duties as may be prescribed from time
23 to time by the Board. All employees and independent
24 contractors, consultants, engineers, architects, accountants,

 

 

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1 attorneys, financial experts, construction experts and
2 personnel, superintendents, managers, and other personnel
3 appointed or employed pursuant to this Act shall report to the
4 executive director. In addition to any other duties set forth
5 in this Act, the executive director shall do all of the
6 following:
7         (1) Direct and supervise the administrative affairs
8     and activities of the Authority in accordance with its
9     rules, regulations, and policies.
10         (2) Attend meetings of the Board.
11         (3) Keep minutes of all proceedings of the Board.
12         (4) Approve all accounts for salaries, per diem
13     payments, and allowable expenses of the Board and its
14     employees and consultants.
15         (5) Report and make recommendations to the Board
16     concerning the terms and conditions of any casino
17     management contract.
18         (6) Perform any other duty that the Board requires for
19     carrying out the provisions of this Act.
20         (7) Devote his or her full time to the duties of the
21     office and not hold any other office or employment.
22     (b) The Board may select a secretary-treasurer to hold
23 office at the pleasure of the Board. The Board shall fix the
24 duties of such officer.
 
25     Section 1-31. General rights and powers of the Authority.

 

 

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1 In addition to the duties and powers set forth in this Act, the
2 Authority shall have the following rights and powers:
3         (1) Adopt and alter an official seal.
4         (2) Establish and change its fiscal year.
5         (3) Sue and be sued, plead and be impleaded, all in its
6     own name, and agree to binding arbitration of any dispute
7     to which it is a party.
8         (4) Adopt, amend, and repeal by-laws, rules, and
9     regulations consistent with the furtherance of the powers
10     and duties provided for.
11         (5) Maintain its principal office within the City and
12     such other offices as the Board may designate.
13         (6) Select locations in the City for a temporary and a
14     permanent casino, subject to final approval by the Gaming
15     Board.
16         (7) Conduct background investigations of potential
17     casino operator licensees, including its principals or
18     shareholders, and Authority staff.
19         (8) Employ, either as regular employees or independent
20     contractors, consultants, engineers, architects,
21     accountants, attorneys, financial experts, construction
22     experts and personnel, superintendents, managers and other
23     professional personnel, and such other personnel as may be
24     necessary in the judgment of the Board, and fix their
25     compensation.
26         (9) Own, acquire, construct, equip, lease, operate,

 

 

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1     and maintain grounds, buildings, and facilities to carry
2     out its corporate purposes and duties.
3         (10) Enter into, revoke, and modify contracts in
4     accordance with the rules of the Gaming Board.
5         (11) Enter into a casino management contract subject to
6     the final approval of the Gaming Board.
7         (12) Develop, or cause to be developed by a third
8     party, a master plan for the design, planning, and
9     development of a casino.
10         (13) Negotiate and enter into intergovernmental
11     agreements with the State and its agencies, the City, and
12     other units of local government, in furtherance of the
13     powers and duties of the Board. However, the Authority may
14     not enter into an agreement with the State Police.
15         (14) Receive and disburse funds for its own corporate
16     purposes or as otherwise specified in this Act.
17         (15) Borrow money from any source, public or private,
18     for any corporate purpose, including, without limitation,
19     working capital for its operations, reserve funds, or
20     payment of interest, and to mortgage, pledge, or otherwise
21     encumber the property or funds of the Authority and to
22     contract with or engage the services of any person in
23     connection with any financing, including financial
24     institutions, issuers of letters of credit, or insurers and
25     enter into reimbursement agreements with this person or
26     entity which may be secured as if money were borrowed from

 

 

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1     the person or entity.
2         (16) Issue bonds as provided for under this Act.
3         (17) Receive and accept from any source, private or
4     public, contributions, gifts, or grants of money or
5     property to the Authority.
6         (18) Provide for the insurance of any property,
7     operations, officers, members, agents, or employees of the
8     Authority against any risk or hazard, to self-insure or
9     participate in joint self-insurance pools or entities to
10     insure against such risk or hazard, and to provide for the
11     indemnification of its officers, members, employees,
12     contractors, or agents against any and all risks.
13         (19) Exercise all the corporate powers granted
14     Illinois corporations under the Business Corporation Act
15     of 1983, except to the extent that powers are inconsistent
16     with those of a body politic and corporate of the State.
17         (20) Do all things necessary or convenient to carry out
18     the powers granted by this Act.
 
19     Section 1-32. Ethical Conduct.
20     (a) Board members and employees of the Authority must carry
21 out their duties and responsibilities in such a manner as to
22 promote and preserve public trust and confidence in the
23 integrity and conduct of gaming.
24     (b) Except as may be required in the conduct of official
25 duties, Board members and employees of the Authority shall not

 

 

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1 engage in gambling on any riverboat, in any casino, or in an
2 electronic gaming facility licensed by the Illinois Gaming
3 Board or engage in legalized gambling in any establishment
4 identified by Board action that, in the judgment of the Board,
5 could represent a potential for a conflict of interest.
6     (c) A Board member or employee of the Authority shall not
7 use or attempt to use his or her official position to secure or
8 attempt to secure any privilege, advantage, favor, or influence
9 for himself or herself or others.
10     (d) Board members and employees of the Authority shall not
11 hold or pursue employment, office, position, business, or
12 occupation that may conflict with his or her official duties.
13 Employees may engage in other gainful employment so long as
14 that employment does not interfere or conflict with their
15 duties. Such employment must be disclosed to the Executive
16 Director and approved by the Board.
17     (e) Board members and employees of the Authority may not
18 engage in employment, communications, or any activity that may
19 be deemed a conflict of interest. This prohibition shall extend
20 to any act identified by Board action or Gaming Board action
21 that, in the judgment of either entity, could represent the
22 potential for or the appearance of a conflict of interest.
23     (f) Board members and employees of the Authority may not
24 have a financial interest, directly or indirectly, in his or
25 her own name or in the name of any other person, partnership,
26 association, trust, corporation, or other entity in any

 

 

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1 contract or subcontract for the performance of any work for the
2 Authority. This prohibition shall extend to the holding or
3 acquisition of an interest in any entity identified by Board
4 action or Gaming Board action that, in the judgment of either
5 entity, could represent the potential for or the appearance of
6 a financial interest. The holding or acquisition of an interest
7 in such entities through an indirect means, such as through a
8 mutual fund, shall not be prohibited, expect that the Gaming
9 Board may identify specific investments or funds that, in its
10 judgment, are so influenced by gaming holdings as to represent
11 the potential for or the appearance of a conflict of interest.
12     (g) Board members and employees of the Authority may not
13 accept any gift, gratuity, service, compensation, travel,
14 lodging, or thing of value, with the exception of unsolicited
15 items of an incidental nature, from any person, corporation, or
16 entity doing business with the Authority.
17     (h) No Board member or employee of the Authority may,
18 within a period of 2 years immediately after termination of
19 employment, knowingly accept employment or receive
20 compensation or fees for services from a person or entity, or
21 its parent or affiliate, that has engaged in business with the
22 Authority that resulted in contracts with an aggregate value of
23 at least $25,000 or if that Board member or employee has made a
24 decision that directly applied to the person or entity, or its
25 parent or affiliate.
26     (i) A spouse, child, or parent of a Board member or

 

 

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1 employee of the Authority may not have a financial interest,
2 directly or indirectly, in his or her own name or in the name
3 of any other person, partnership, association, trust,
4 corporation, or other entity in any contract or subcontract for
5 the performance of any work for the Authority. This prohibition
6 shall extend to the holding or acquisition of an interest in
7 any entity identified by Board action or Gaming Board action
8 that, in the judgment of either entity, could represent the
9 potential for or the appearance of a conflict of interest. The
10 holding or acquisition of an interest in such entities through
11 an indirect means, such as through a mutual fund, shall not be
12 prohibited, expect that the Gaming Board may identify specific
13 investments or funds that, in its judgment, are so influenced
14 by gaming holdings as to represent the potential for or the
15 appearance of a conflict of interest.
16     (j) A spouse, child, or parent of a Board member or
17 employee of the Authority may not accept any gift, gratuity,
18 service, compensation, travel, lodging, or thing of value, with
19 the exception of unsolicited items of an incidental nature,
20 from any person, corporation, or entity doing business with the
21 Authority.
22     (k) A spouse, child, or parent of a Board member or
23 employee of the Authority may not, within a period of 2 years
24 immediately after termination of employment, knowingly accept
25 employment or receive compensation or fees for services from a
26 person or entity, or its parent or affiliate, that has engaged

 

 

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1 in business with the Authority that resulted in contracts with
2 an aggregate value of at least $25,000 or if that Board member
3 or employee has made a decision that directly applied to the
4 person or entity, or its parent or affiliate.
5     (l) No Board member or employee of the Authority may
6 attempt, in any way, to influence any person or corporation
7 doing business with the Authority or any officer, agent, or
8 employee thereof to hire or contract with any person or
9 corporation for any compensated work.
10     (m) Any communication between an elected official of the
11 City and any applicant for or party to a casino management
12 contract with the Authority, or an officer, director, or
13 employee thereof, concerning any manner relating in any way to
14 gaming or the Authority shall be disclosed to the Board and the
15 Gaming Board. Such disclosure shall be in writing by the
16 official within 30 days of the communication and shall be filed
17 with the Board. Disclosure must consist of the date of the
18 communication, the identity and job title of the person with
19 whom the communication was made, a brief summary of the
20 communication, the action requested or recommended, all
21 responses made, the identity and job title of the person making
22 the response, and any other pertinent information.
23     The written disclosure provided to the Board and Gaming
24 Board shall be privileged and maintained strictly confidential
25 and shall be exempt from public disclosure under the Freedom of
26 Information Act.

 

 

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1     Public disclosure of the written summary provided to the
2 Board and the Gaming Board shall be subject to the exemptions
3 provided under Section 7 of the Freedom of Information Act.
4     (n) Any Board member or employee of the Authority who
5 violates any provision of this Section is guilty of a Class 4
6 felony.
 
7     Section 1-45. Casino management contracts.
8     (a) The Board shall develop and administer a competitive
9 sealed bidding process for the selection of a potential casino
10 operator licensee to develop or operate a casino within the
11 City. The Board shall issue one or more requests for proposals.
12 The Board may establish minimum financial and investment
13 requirements to determine the eligibility of persons to respond
14 to the Board's requests for proposal, and may establish and
15 consider such other criteria as it deems appropriate. The Board
16 may impose a fee upon persons who respond to requests for
17 proposal, in order to reimburse the Board for its costs in
18 preparing and issuing the requests and reviewing the proposals.
19     (b) Within 5 days after the time limit for submitting bids
20 and proposals has passed, the Board shall make all bids and
21 proposals public, provided, however, the Board shall not be
22 required to disclose any information which would be exempt from
23 disclosure under Section 7 of the Freedom of Information Act.
24 Thereafter, the Board shall evaluate the responses to its
25 requests for proposal and the ability of all persons or

 

 

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1 entities responding to its request for proposal to meet the
2 requirements of this Act and to undertake and perform the
3 obligations set forth in its requests for proposal.
4     (c) After reviewing proposals and subject to Gaming Board
5 approval, the Board shall enter into a casino management
6 contract authorizing the development, construction, or
7 operation of a casino. Validity of the casino management
8 contract is contingent upon the issuance of a casino operator
9 license to the successful bidder. If the Gaming Board approves
10 the contract and grants a casino operator license, the Board
11 shall transmit a copy of the executed casino management
12 contract to the Gaming Board.
13     (d) After the Authority has been issued a casino license,
14 the Gaming Board has issued a casino operator license, and the
15 Gaming Board has approved the location of a temporary facility,
16 the Authority may conduct gaming operations at a temporary
17 facility for no longer than 24 months after gaming operations
18 begin. The Gaming Board may, after holding a public hearing,
19 grant an extension so long as a permanent facility is not
20 operational and the Authority is working in good faith to
21 complete the permanent facility. The Gaming Board may grant
22 additional extensions following a public hearing. Each
23 extension may be for a period of no longer than 6 months.
 
24     Section 1-50. Transfer of funds. The revenues received by
25 the Authority (other than amounts required to be paid pursuant

 

 

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1 to the Illinois Gambling Act and amounts required to pay the
2 operating expenses of the Authority, to pay amounts due the
3 casino operator licensee pursuant to a casino management
4 contract, to repay any borrowing of the Authority made pursuant
5 to Section 1-31, to pay debt service on any bonds issued under
6 Section 1-75, and to pay any expenses in connection with the
7 issuance of such bonds pursuant to Section 1-75 or derivative
8 products pursuant to Section 1-85) shall be transferred to the
9 City by the Authority.
 
10     Section 1-55. Municipal distributions of proceeds from a
11 casino; gaming endowment funds. At least 70% of the moneys that
12 a municipality in which a casino is located receives pursuant
13 to Section 1-50 of this Act shall be described as "gaming
14 endowment funds" and be expended or obligated by the
15 municipality for the following purposes and in the following
16 amounts:
17         (1) 40% of such gaming endowment funds shall be used
18     for or pledged for the construction and maintenance of
19     infrastructure within the municipality, including but not
20     limited to roads, bridges, transit infrastructure, and
21     municipal facilities.
22         (2) 60% of such gaming endowment funds shall be used
23     for or pledged for the construction and maintenance of
24     schools, parks and cultural institution facilities, and
25     museums within the municipality.
 

 

 

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1     Section 1-60. Auditor General.
2     (a) Prior to the issuance of bonds under this Act, the
3 Authority shall submit to the Auditor General a certification
4 that:
5         (1) it is legally authorized to issue bonds;
6         (2) scheduled annual payments of principal and
7     interest on the bonds to be issued meet the requirements of
8     Section 1-75 of this Act;
9         (3) no bond shall mature later than 30 years; and
10         (4) after payment of costs of issuance and necessary
11     deposits to funds and accounts established with respect to
12     debt service on the bonds, the net bond proceeds (exclusive
13     of any proceeds to be used to refund outstanding bonds)
14     will be used only for the purposes set forth in this Act.
15     The Auditor General has the authority and is required to,
16 every 2 years, (1) review the financial audit of the Authority
17 performed by the Authority's certified public accountants and
18 (2) perform a management audit of the Authority. The Auditor
19 General shall submit a bill to the Authority for costs
20 associated with the review and audit required under this
21 Section, which costs shall not exceed $100,000. The Authority
22 shall reimburse the Auditor General for such costs in a timely
23 manner. The Auditor General shall post its audits on his or her
24 website.
 

 

 

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1     Section 1-62. Advisory committee. An Advisory Committee is
2 established to monitor, review, and report on (1) the
3 Authority's utilization of minority-owned business enterprises
4 and female-owned business enterprises, (2) employment of
5 females, and (3) employment of minorities with regard to the
6 development and construction of the casino as authorized under
7 Section 7 of the Illinois Gambling Act. The Authority shall
8 work with the Advisory Committee in accumulating necessary
9 information for the Committee to submit reports, as necessary,
10 to the General Assembly and to the City of Chicago.
11     The Committee shall consist of 15 members as provided in
12 this Section. Seven members shall be selected by the Mayor of
13 the City of Chicago; 2 members shall be selected by the
14 President of the Illinois Senate; 2 members shall be selected
15 by the Speaker of the House of Representatives; 2 members shall
16 be selected by the Minority Leader of the Senate; and 2 members
17 shall be selected by the Minority Leader of the House of
18 Representatives. The Advisory Committee shall meet
19 periodically and shall report the information to the Mayor of
20 the City and to the General Assembly by December 31st of every
21 year.
22     The Advisory Committee shall be dissolved on the date that
23 casino gambling operations are first conducted under the
24 license authorized under Section 7 of the Illinois Gambling
25 Act, other than at a temporary facility.
26     For the purposes of this Section, the terms "female" and

 

 

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1 "minority person" have the meanings provided in Section 2 of
2 the Business Enterprise for Minorities, Females, and Persons
3 with Disabilities Act.
 
4     Section 1-65. Acquisition of property; eminent domain
5 proceedings. For the lawful purposes of this Act, the City may
6 acquire by eminent domain or by condemnation proceedings in the
7 manner provided by the Eminent Domain Act, real or personal
8 property or interests in real or personal property located in
9 the City, and the City may convey to the Authority property so
10 acquired. The acquisition of property under this Section is
11 declared to be for a public use.
 
12     Section 1-70. Local regulation. The casino facilities and
13 operations therein shall be subject to all ordinances and
14 regulations of the City. The construction, development, and
15 operation of the casino shall comply with all ordinances,
16 regulations, rules, and controls of the City, including but not
17 limited to those relating to zoning and planned development,
18 building, fire prevention, and land use. However, the
19 regulation of gaming operations is subject to the exclusive
20 jurisdiction of the Gaming Board.
 
21     Section 1-75. Borrowing.
22     (a) The Authority may borrow money and issue bonds as
23 provided in this Section. Bonds of the Authority may be issued

 

 

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1 to provide funds for land acquisition, site assembly and
2 preparation, and the design and construction of the casino, as
3 defined in the Illinois Gambling Act, all ancillary and related
4 facilities comprising the casino complex, and all on-site and
5 off-site infrastructure improvements required in connection
6 with the development of the casino; to refund (at the time or
7 in advance of any maturity or redemption) or redeem any bonds
8 of the Authority; to provide or increase a debt service reserve
9 fund or other reserves with respect to any or all of its bonds;
10 or to pay the legal, financial, administrative, bond insurance,
11 credit enhancement, and other legal expenses of the
12 authorization, issuance, or delivery of bonds. In this Act, the
13 term "bonds" also includes notes of any kind, interim
14 certificates, refunding bonds, or any other evidence of
15 obligation for borrowed money issued under this Section. Bonds
16 may be issued in one or more series and may be payable and
17 secured either on a parity with or separately from other bonds.
18     (b) The bonds of the Authority shall be payable from one or
19 more of the following sources: (i) the property or revenues of
20 the Authority; (ii) revenues derived from the casino; (iii)
21 revenues derived from any casino operator licensee; (iv) fees,
22 bid proceeds, charges, lease payments, payments required
23 pursuant to any casino management contract or other revenues
24 payable to the Authority, or any receipts of the Authority; (v)
25 payments by financial institutions, insurance companies, or
26 others pursuant to letters or lines of credit, policies of

 

 

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1 insurance, or purchase agreements; (vi) investment earnings
2 from funds or accounts maintained pursuant to a bond resolution
3 or trust indenture; (vii) proceeds of refunding bonds; (viii)
4 any other revenues derived from or payments by the City; and
5 (ix) any payments by any casino operator licensee or others
6 pursuant to any guaranty agreement.
7     (c) Bonds shall be authorized by a resolution of the
8 Authority and may be secured by a trust indenture by and
9 between the Authority and a corporate trustee or trustees,
10 which may be any trust company or bank having the powers of a
11 trust company within or without the State. Bonds shall meet the
12 following requirements:
13         (1) Bonds shall bear interest at a rate not to exceed
14     the maximum rate authorized by the Bond Authorization Act.
15         (2) Bonds issued pursuant to this Section may be
16     payable on such dates and times as may be provided for by
17     the resolution or indenture authorizing the issuance of
18     such bonds; provided, however, that such bonds shall mature
19     no later than 30 years from the date of issuance.
20         (3) At least 25%, based on total principal amount, of
21     all bonds issued pursuant to this Section shall be sold
22     pursuant to notice of sale and public bid. No more than
23     75%, based on total principal amount, of all bonds issued
24     pursuant to this Section shall be sold by negotiated sale.
25         (4) Bonds shall be payable at a time or times, in the
26     denominations and form, including book entry form, either

 

 

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1     coupon, registered, or both, and carry the registration and
2     privileges as to exchange, transfer or conversion, and
3     replacement of mutilated, lost, or destroyed bonds as the
4     resolution or trust indenture may provide.
5         (5) Bonds shall be payable in lawful money of the
6     United States at a designated place.
7         (6) Bonds shall be subject to the terms of purchase,
8     payment, redemption, refunding, or refinancing that the
9     resolution or trust indenture provides.
10         (7) Bonds shall be executed by the manual or facsimile
11     signatures of the officers of the Authority designated by
12     the Board, which signatures shall be valid at delivery even
13     for one who has ceased to hold office.
14         (8) Bonds shall be sold at public or private sale in
15     the manner and upon the terms determined by the Authority.
16         (9) Bonds shall be issued in accordance with the
17     provisions of the Local Government Debt Reform Act.
18     (d) The Authority shall adopt a procurement program with
19 respect to contracts relating to underwriters, bond counsel,
20 financial advisors, and accountants. The program shall include
21 goals for the payment of not less than 30% of the total dollar
22 value of the fees from these contracts to minority owned
23 businesses and female owned businesses as defined in the
24 Business Enterprise for Minorities, Females, and Persons with
25 Disabilities Act. The Authority shall conduct outreach to
26 minority owned businesses and female owned businesses.

 

 

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1 Outreach shall include, but is not limited to, advertisements
2 in periodicals and newspapers, mailings, and other appropriate
3 media. The Authority shall submit to the General Assembly a
4 comprehensive report that shall include, at a minimum, the
5 details of the procurement plan, outreach efforts, and the
6 results of the efforts to achieve goals for the payment of
7 fees.
8     (e) Subject to the Illinois Gambling Act and rules of the
9 Gaming Board regarding pledging of interests in holders of
10 owners licenses, any resolution or trust indenture may contain
11 provisions that may be a part of the contract with the holders
12 of the bonds as to the following:
13         (1) Pledging, assigning, or directing the use,
14     investment, or disposition of revenues of the Authority or
15     proceeds or benefits of any contract, including without
16     limitation, any rights in any casino management contract.
17         (2) The setting aside of loan funding deposits, debt
18     service reserves, replacement or operating reserves, cost
19     of issuance accounts and sinking funds, and the regulation,
20     investment, and disposition thereof.
21         (3) Limitations on the purposes to which or the
22     investments in which the proceeds of sale of any issue of
23     bonds or the Authority's revenues and receipts may be
24     applied or made.
25         (4) Limitations on the issue of additional bonds, the
26     terms upon which additional bonds may be issued and

 

 

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1     secured, the terms upon which additional bonds may rank on
2     a parity with, or be subordinate or superior to, other
3     bonds.
4         (5) The refunding, advance refunding, or refinancing
5     of outstanding bonds.
6         (6) The procedure, if any, by which the terms of any
7     contract with bondholders may be altered or amended and the
8     amount of bonds and holders of which must consent thereto
9     and the manner in which consent shall be given.
10         (7) Defining the acts or omissions which shall
11     constitute a default in the duties of the Authority to
12     holders of bonds and providing the rights or remedies of
13     such holders in the event of a default, which may include
14     provisions restricting individual rights of action by
15     bondholders.
16         (8) Providing for guarantees, pledges of property,
17     letters of credit, or other security, or insurance for the
18     benefit of bondholders.
19     (f) No member of the Board, nor any person executing the
20 bonds, shall be liable personally on the bonds or subject to
21 any personal liability by reason of the issuance of the bonds.
22     (g) The Authority may issue and secure bonds in accordance
23 with the provisions of the Local Government Credit Enhancement
24 Act.
25     (h) A pledge by the Authority of revenues and receipts as
26 security for an issue of bonds or for the performance of its

 

 

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1 obligations under any casino management contract shall be valid
2 and binding from the time when the pledge is made. The revenues
3 and receipts pledged shall immediately be subject to the lien
4 of the pledge without any physical delivery or further act, and
5 the lien of any pledge shall be valid and binding against any
6 person having any claim of any kind in tort, contract, or
7 otherwise against the Authority, irrespective of whether the
8 person has notice. No resolution, trust indenture, management
9 agreement or financing statement, continuation statement, or
10 other instrument adopted or entered into by the Authority need
11 be filed or recorded in any public record other than the
12 records of the Authority in order to perfect the lien against
13 third persons, regardless of any contrary provision of law.
14     (i) Bonds that are being paid or retired by issuance, sale,
15 or delivery of bonds, and bonds for which sufficient funds have
16 been deposited with the paying agent or trustee to provide for
17 payment of principal and interest thereon, and any redemption
18 premium, as provided in the authorizing resolution, shall not
19 be considered outstanding for the purposes of this subsection.
20     (j) The bonds of the Authority shall not be indebtedness of
21 the State. The bonds of the Authority are not general
22 obligations of the State and are not secured by a pledge of the
23 full faith and credit of the State and the holders of bonds of
24 the Authority may not require, except as provided in this Act,
25 the application of State revenues or funds to the payment of
26 bonds of the Authority.

 

 

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1     (k) The State of Illinois pledges and agrees with the
2 owners of the bonds that it will not limit or alter the rights
3 and powers vested in the Authority by this Act so as to impair
4 the terms of any contract made by the Authority with the owners
5 or in any way impair the rights and remedies of the owners
6 until the bonds, together with interest on them, and all costs
7 and expenses in connection with any action or proceedings by or
8 on behalf of the owners, are fully met and discharged. The
9 Authority is authorized to include this pledge and agreement in
10 any contract with the owners of bonds issued under this
11 Section.
12     (l) No person holding an elective office in this State,
13 holding a seat in the General Assembly, or serving as a board
14 member, trustee, officer, or employee of the Authority,
15 including the spouse of that person, may receive a legal,
16 banking, consulting, or other fee related to the issuance of
17 bonds.
 
18     Section 1-85. Derivative products. With respect to all or
19 part of any issue of its bonds, the Authority may enter into
20 agreements or contracts with any necessary or appropriate
21 person, which will have the benefit of providing to the
22 Authority an interest rate basis, cash flow basis, or other
23 basis different from that provided in the bonds for the payment
24 of interest. Such agreements or contracts may include, without
25 limitation, agreements or contracts commonly known as

 

 

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1 "interest rate swap agreements", "forward payment conversion
2 agreements", "futures", "options", "puts", or "calls" and
3 agreements or contracts providing for payments based on levels
4 of or changes in interest rates, agreements or contracts to
5 exchange cash flows or a series of payments, or to hedge
6 payment, rate spread, or similar exposure.
 
7     Section 1-90. Legality for investment. The State of
8 Illinois, all governmental entities, all public officers,
9 banks, bankers, trust companies, savings banks and
10 institutions, building and loan associations, savings and loan
11 associations, investment companies, and other persons carrying
12 on a banking business, insurance companies, insurance
13 associations, and other persons carrying on an insurance
14 business, and all executors, administrators, guardians,
15 trustees, and other fiduciaries may legally invest any sinking
16 funds, moneys, or other funds belonging to them or within their
17 control in any bonds issued under this Act. However, nothing in
18 this Section shall be construed as relieving any person, firm,
19 or corporation from any duty of exercising reasonable care in
20 selecting securities for purchase or investment.
 
21     Section 1-95. Tax exemption. The Authority and all of its
22 operations and property used for public purposes shall be
23 exempt from all taxation of any kind imposed by the State of
24 Illinois or any political subdivision, school district,

 

 

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1 municipal corporation, or unit of local government of the State
2 of Illinois. However, nothing in this Act prohibits the
3 imposition of any other taxes where such imposition is not
4 prohibited by Section 21 of the Illinois Gambling Act.
 
5     Section 1-105. Budgets and reporting.
6     (a) The Board shall annually adopt a budget for each fiscal
7 year. The budget may be modified from time to time in the same
8 manner and upon the same vote as it may be adopted. The budget
9 shall include the Authority's available funds and estimated
10 revenues and shall provide for payment of its obligations and
11 estimated expenditures for the fiscal year, including, without
12 limitation, expenditures for administration, operation,
13 maintenance and repairs, debt service, and deposits into
14 reserve and other funds and capital projects.
15     (b) The Board shall annually cause the finances of the
16 Authority to be audited by a firm of certified public
17 accountants selected by the Board in accordance with the rules
18 of the Gaming Board and post the firm's audits of the Authority
19 on the Authority's Internet website.
20     (c) The Board shall, for each fiscal year, prepare an
21 annual report setting forth information concerning its
22 activities in the fiscal year and the status of the development
23 of the casino. The annual report shall include the audited
24 financial statements of the Authority for the fiscal year, the
25 budget for the succeeding fiscal year, and the current capital

 

 

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1 plan as of the date of the report. Copies of the annual report
2 shall be made available to persons who request them and shall
3 be submitted not later than 120 days after the end of the
4 Authority's fiscal year or, if the audit of the Authority's
5 financial statements is not completed within 120 days after the
6 end of the Authority's fiscal year, as soon as practical after
7 completion of the audit, to the Governor, the Mayor, the
8 General Assembly, and the Commission on Government Forecasting
9 and Accountability.
 
10     Section 1-110. Deposit and withdrawal of funds.
11     (a) All funds deposited by the Authority in any bank or
12 savings and loan association shall be placed in the name of the
13 Authority and shall be withdrawn or paid out only by check or
14 draft upon the bank or savings and loan association, signed by
15 2 officers or employees designated by the Board.
16 Notwithstanding any other provision of this Section, the Board
17 may designate any of its members or any officer or employee of
18 the Authority to authorize the wire transfer of funds deposited
19 by the secretary-treasurer of funds in a bank or savings and
20 loan association for the payment of payroll and employee
21 benefits-related expenses.
22     No bank or savings and loan association shall receive
23 public funds as permitted by this Section unless it has
24 complied with the requirements established pursuant to Section
25 6 of the Public Funds Investment Act.

 

 

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1     (b) If any officer or employee whose signature appears upon
2 any check or draft issued pursuant to this Act ceases (after
3 attaching his signature) to hold his or her office before the
4 delivery of such a check or draft to the payee, his or her
5 signature shall nevertheless be valid and sufficient for all
6 purposes with the same effect as if he or she had remained in
7 office until delivery thereof.
 
8     Section 1-112. Contracts with the Authority or casino
9 operator licensee; disclosure requirements.
10     (a) A bidder, respondent, offeror, or contractor for
11 contracts with the Authority or casino operator licensee shall
12 disclose the identity of all officers and directors and every
13 owner, beneficiary, or person with beneficial interest of more
14 than 1% or shareholder entitled to receive more than 1% of the
15 total distributable income of any corporation having any
16 interest in the contract or in the bidder, respondent, offeror,
17 or contractor. The disclosure shall be in writing and attested
18 to by an owner, trustee, corporate official, or agent. If stock
19 in a corporation is publicly traded and there is no readily
20 known individual having greater than a 1% interest, then a
21 statement to that effect attested to by an officer or agent of
22 the corporation shall fulfill the disclosure statement
23 requirement of this Section. A bidder, respondent, offeror, or
24 contractor shall notify the Authority of any changes in
25 officers, directors, ownership, or individuals having a

 

 

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1 beneficial interest of more than 1%.
2     (b) A bidder, respondent, offeror, or contractor for
3 contracts with an annual value of $10,000 or for a period to
4 exceed one year shall disclose all political contributions of
5 the bidder, respondent, offeror, or contractor and any
6 affiliated person or entity. Disclosure shall include at least
7 the names and addresses of the contributors and the dollar
8 amounts of any contributions to any political committee made
9 within the previous 2 years. The disclosure must be submitted
10 to the Gaming Board with a copy of the contract.
11     (c) As used in this Section:
12     "Contribution" means contribution as defined in Section
13 9-1.4 of the Election Code.
14     "Affiliated person" means (i) any person with any ownership
15 interest or distributive share of the bidding, responding, or
16 contracting entity in excess of 1%, (ii) executive employees of
17 the bidding, responding, or contracting entity, and (iii) the
18 spouse and minor children of any such persons.
19     "Affiliated entity" means (i) any parent or subsidiary of
20 the bidding or contracting entity, (ii) any member of the same
21 unitary business group, or (iii) any political committee for
22 which the bidding, responding, or contracting entity is the
23 sponsoring entity.
24     (d) The Gaming Board may direct the Authority or a casino
25 operator licensee to void a contract if a violation of this
26 Section occurs. The Authority may direct a casino operator

 

 

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1 licensee to void a contract if a violation of this Section
2 occurs.
 
3     Section 1-115. Purchasing.
4     (a) All construction contracts and contracts for supplies,
5 materials, equipment, and services, when the cost thereof to
6 the Authority exceeds $25,000, shall be let by a competitive
7 selection process to the lowest responsible proposer, after
8 advertising for proposals, except for the following:
9         (1) When repair parts, accessories, equipment, or
10     services are required for equipment or services previously
11     furnished or contracted for;
12         (2) Professional services;
13         (3) When services such as water, light, heat, power,
14     telephone (other than long-distance service), or telegraph
15     are required;
16         (4) When contracts for the use, purchase, delivery,
17     movement, or installation of data processing equipment,
18     software, or services and telecommunications equipment,
19     software, and services are required;
20         (5) Casino management contracts, which shall be
21     awarded as set forth in Section 1-45 of this Act;
22         (6) Contracts where there is only one economically
23     feasible source; and
24         (7) When a purchase is needed on an immediate,
25     emergency basis because there exists a threat to public

 

 

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1     health or public safety, or when immediate expenditure is
2     necessary for repairs to Authority property in order to
3     protect against further loss of or damage to Authority
4     property, to prevent or minimize serious disruption in
5     Authority services or to ensure the integrity of Authority
6     records.
7     (b) All contracts involving less than $25,000 shall be let
8 by competitive selection process whenever possible, and in any
9 event in a manner calculated to ensure the best interests of
10 the public.
11     (c) In determining the responsibility of any proposer, the
12 Authority may take into account the proposer's (or an
13 individual having a beneficial interest, directly or
14 indirectly, of more than 1% in such proposing entity) past
15 record of dealings with the Authority, the proposer's
16 experience, adequacy of equipment, and ability to complete
17 performance within the time set, and other factors besides
18 financial responsibility. No such contract shall be awarded to
19 any proposer other than the lowest proposer (in case of
20 purchase or expenditure) unless authorized or approved by a
21 vote of at least 2 members of the Board and such action is
22 accompanied by a written statement setting forth the reasons
23 for not awarding the contract to the highest or lowest
24 proposer, as the case may be. The statement shall be kept on
25 file in the principal office of the Authority and open to
26 public inspection.

 

 

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1     (d) The Authority shall have the right to reject all
2 proposals and to re-advertise for proposals. If after any such
3 re-advertisement, no responsible and satisfactory proposals,
4 within the terms of the re-advertisement, is received, the
5 Authority may award such contract without competitive
6 selection, provided that the Gaming Board must approve the
7 contract prior to its execution. The contract must not be less
8 advantageous to the Authority than any valid proposal received
9 pursuant to advertisement.
10     (e) Advertisements for proposals and re-proposals shall be
11 published at least once in a daily newspaper of general
12 circulation published in the City at least 10 calendar days
13 before the time for receiving proposals, and such
14 advertisements shall also be posted on readily accessible
15 bulletin boards in the principal office of the Authority. Such
16 advertisements shall state the time and place for receiving and
17 opening of proposals and, by reference to plans and
18 specifications on file at the time of the first publication or
19 in the advertisement itself, shall describe the character of
20 the proposed contract in sufficient detail to fully advise
21 prospective proposers of their obligations and to ensure free
22 and open competitive selection.
23     (f) All proposals in response to advertisements shall be
24 sealed and shall be publicly opened by the Authority. All
25 proposers shall be entitled to be present in person or by
26 representatives. Cash or a certified or satisfactory cashier's

 

 

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1 check, as a deposit of good faith, in a reasonable amount to be
2 fixed by the Authority before advertising for proposals, shall
3 be required with the proposal. A bond for faithful performance
4 of the contract with surety or sureties satisfactory to the
5 Authority and adequate insurance may be required in reasonable
6 amounts to be fixed by the Authority before advertising for
7 proposals.
8     (g) The contract shall be awarded as promptly as possible
9 after the opening of proposals. The proposal of the successful
10 proposer, as well as the bids of the unsuccessful proposers,
11 shall be placed on file and be open to public inspection
12 subject to the exemptions from disclosure provided under
13 Section 7 of the Freedom of Information Act. All proposals
14 shall be void if any disclosure of the terms of any proposals
15 in response to an advertisement is made or permitted to be made
16 by the Authority before the time fixed for opening proposals.
17     (h) Notice of each and every contract that is offered,
18 including renegotiated contracts and change orders, shall be
19 published in an online bulletin. The online bulletin must
20 include at least the date first offered, the date submission of
21 offers is due, the location that offers are to be submitted to,
22 a brief purchase description, the method of source selection,
23 information of how to obtain a comprehensive purchase
24 description and any disclosure and contract forms, and
25 encouragement to prospective vendors to hire qualified
26 veterans, as defined by Section 45-67 of the Illinois

 

 

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1 Procurement Code, and Illinois residents discharged from any
2 Illinois adult correctional center subject to Gaming Board
3 licensing and eligibility rules. Notice of each and every
4 contract that is let or awarded, including renegotiated
5 contracts and change orders, shall be published in the online
6 bulletin and must include at least all of the information
7 specified in this item (h), as well as the name of the
8 successful responsible proposer or offeror, the contract
9 price, and the number of unsuccessful responsive proposers and
10 any other disclosure specified in this Section. This notice
11 must be posted in the online electronic bulletin prior to
12 execution of the contract.
 
13     Section 1-130. Affirmative action and equal opportunity
14 obligations of Authority.
15     (a) The Authority is subject to the requirements of Article
16 V of Chapter 2-92 (Sections 2-92-650 through 2-92-720
17 inclusive) of the Chicago Municipal Code, as now or hereafter
18 amended, renumbered, or succeeded, concerning a Minority-Owned
19 and Women-Owned Business Enterprise Procurement Program for
20 construction contracts, and Chapter 2-92-420 et. seq. of the
21 Chicago Municipal Code, as now or hereafter amended,
22 renumbered, or succeeded, concerning a Minority-Owned and
23 Women-Owned Business Enterprise Procurement Program to
24 determine the status of a firm as a Minority Business
25 Enterprise for city procurement purposes.

 

 

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1     (b) The Authority is authorized to enter into agreements
2 with contractors' associations, labor unions, and the
3 contractors working on the development of the casino to
4 establish an apprenticeship preparedness training program to
5 provide for an increase in the number of minority and female
6 journeymen and apprentices in the building trades and to enter
7 into agreements with community college districts or other
8 public or private institutions to provide readiness training.
9 The Authority is further authorized to enter into contracts
10 with public and private educational institutions and persons in
11 the gaming, entertainment, hospitality, and tourism industries
12 to provide training for employment in those industries.
 
13
ARTICLE 90.

 
14     Section 90-5. The Alcoholism and Other Drug Abuse and
15 Dependency Act is amended by changing Section 5-20 as follows:
 
16     (20 ILCS 301/5-20)
17     Sec. 5-20. Compulsive gambling program.
18     (a) Subject to appropriation, the Department shall
19 establish a program for public education, research, and
20 training regarding problem and compulsive gambling and the
21 treatment and prevention of problem and compulsive gambling.
22 Subject to specific appropriation for these stated purposes,
23 the program must include all of the following:

 

 

09600SB0744sam005 - 38 - LRB096 06812 AMC 27033 a

1         (1) Establishment and maintenance of a toll-free "800"
2     telephone number to provide crisis counseling and referral
3     services to families experiencing difficulty as a result of
4     problem or compulsive gambling.
5         (2) Promotion of public awareness regarding the
6     recognition and prevention of problem and compulsive
7     gambling.
8         (3) Facilitation, through in-service training and
9     other means, of the availability of effective assistance
10     programs for problem and compulsive gamblers.
11         (4) Conducting studies to identify adults and
12     juveniles in this State who are, or who are at risk of
13     becoming, problem or compulsive gamblers.
14     (b) Subject to appropriation, the Department shall either
15 establish and maintain the program or contract with a private
16 or public entity for the establishment and maintenance of the
17 program. Subject to appropriation, either the Department or the
18 private or public entity shall implement the toll-free
19 telephone number, promote public awareness, and conduct
20 in-service training concerning problem and compulsive
21 gambling.
22     (c) Subject to appropriation, the Department shall produce
23 and supply the signs specified in Section 10.7 of the Illinois
24 Lottery Law, Section 34.1 of the Illinois Horse Racing Act of
25 1975, Section 4.3 of the Bingo License and Tax Act, Section 8.1
26 of the Charitable Games Act, and Section 13.1 of the Illinois

 

 

09600SB0744sam005 - 39 - LRB096 06812 AMC 27033 a

1 Riverboat Gambling Act.
2 (Source: P.A. 89-374, eff. 1-1-96; 89-626, eff. 8-9-96.)
 
3     Section 90-10. The Department of Revenue Law of the Civil
4 Administrative Code of Illinois is amended by changing Section
5 2505-305 as follows:
 
6     (20 ILCS 2505/2505-305)  (was 20 ILCS 2505/39b15.1)
7     Sec. 2505-305. Investigators.
8     (a) The Department has the power to appoint investigators
9 to conduct all investigations, searches, seizures, arrests,
10 and other duties imposed under the provisions of any law
11 administered by the Department or the Illinois Gaming Board.
12 Except as provided in subsection (c), these investigators have
13 and may exercise all the powers of peace officers solely for
14 the purpose of enforcing taxing measures administered by the
15 Department or the Illinois Gaming Board.
16     (b) The Director must authorize to each investigator
17 employed under this Section and to any other employee of the
18 Department exercising the powers of a peace officer a distinct
19 badge that, on its face, (i) clearly states that the badge is
20 authorized by the Department and (ii) contains a unique
21 identifying number. No other badge shall be authorized by the
22 Department.
23     (c) Investigators appointed under this Section who are
24 assigned to the Illinois Gaming Board have and may exercise all

 

 

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1 the rights and powers of peace officers, provided that these
2 powers shall be limited to offenses or violations occurring or
3 committed on a riverboat or dock or in a casino, as defined in
4 subsections (d) and (f) of Section 4 of the Illinois Riverboat
5 Gambling Act.
6 (Source: P.A. 91-239, eff. 1-1-00; 91-883, eff. 1-1-01; 92-493,
7 eff. 1-1-02.)
 
8     Section 90-15. The Joliet Regional Port District Act is
9 amended by changing Section 5.1 as follows:
 
10     (70 ILCS 1825/5.1)  (from Ch. 19, par. 255.1)
11     Sec. 5.1. Riverboat and casino gambling. Notwithstanding
12 any other provision of this Act, the District may not regulate
13 the operation, conduct, or navigation of any riverboat gambling
14 casino licensed under the Illinois Riverboat Gambling Act, and
15 the District may not license, tax, or otherwise levy any
16 assessment of any kind on any riverboat gambling casino
17 licensed under the Illinois Riverboat Gambling Act. The General
18 Assembly declares that the powers to regulate the operation,
19 conduct, and navigation of riverboat gambling casinos and to
20 license, tax, and levy assessments upon riverboat gambling
21 casinos are exclusive powers of the State of Illinois and the
22 Illinois Gaming Board as provided in the Illinois Riverboat
23 Gambling Act.
24 (Source: P.A. 87-1175.)
 

 

 

09600SB0744sam005 - 41 - LRB096 06812 AMC 27033 a

1     Section 90-20. The Consumer Installment Loan Act is amended
2 by changing Section 12.5 as follows:
 
3     (205 ILCS 670/12.5)
4     Sec. 12.5. Limited purpose branch.
5     (a) Upon the written approval of the Director, a licensee
6 may maintain a limited purpose branch for the sole purpose of
7 making loans as permitted by this Act. A limited purpose branch
8 may include an automatic loan machine. No other activity shall
9 be conducted at the site, including but not limited to,
10 accepting payments, servicing the accounts, or collections.
11     (b) The licensee must submit an application for a limited
12 purpose branch to the Director on forms prescribed by the
13 Director with an application fee of $300. The approval for the
14 limited purpose branch must be renewed concurrently with the
15 renewal of the licensee's license along with a renewal fee of
16 $300 for the limited purpose branch.
17     (c) The books, accounts, records, and files of the limited
18 purpose branch's transactions shall be maintained at the
19 licensee's licensed location. The licensee shall notify the
20 Director of the licensed location at which the books, accounts,
21 records, and files shall be maintained.
22     (d) The licensee shall prominently display at the limited
23 purpose branch the address and telephone number of the
24 licensee's licensed location.

 

 

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1     (e) No other business shall be conducted at the site of the
2 limited purpose branch unless authorized by the Director.
3     (f) The Director shall make and enforce reasonable rules
4 for the conduct of a limited purpose branch.
5     (g) A limited purpose branch may not be located within
6 1,000 feet of a facility operated by an inter-track wagering
7 licensee or an organization licensee subject to the Illinois
8 Horse Racing Act of 1975, on a riverboat or in a casino subject
9 to the Illinois Riverboat Gambling Act, or within 1,000 feet of
10 the location at which the riverboat docks or within 1,000 feet
11 of a casino.
12 (Source: P.A. 90-437, eff. 1-1-98.)
 
13     Section 90-25. The Illinois Horse Racing Act of 1975 is
14 amended by changing Sections 1.2, 1.3, 4, 5, 6, 9, 26, 28.1,
15 and 31 and by adding Sections 3.24, 3.25, 3.26, and 3.27 as
16 follows:
 
17     (230 ILCS 5/1.2)
18     Sec. 1.2. Legislative intent. This Act is intended to
19 benefit the people of the State of Illinois by encouraging the
20 breeding and production of race horses, assisting economic
21 development, and promoting Illinois tourism. The General
22 Assembly finds and declares it to be the public policy of the
23 State of Illinois to:
24     (a) support and enhance Illinois' horse racing industry,

 

 

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1 which is a significant component within the agribusiness
2 industry;
3     (b) ensure that Illinois' horse racing industry remains
4 competitive with neighboring states;
5     (c) stimulate growth within Illinois' horse racing
6 industry, thereby encouraging new investment and development
7 to produce additional tax revenues and to create additional
8 jobs;
9     (d) promote the further growth of tourism;
10     (e) encourage the breeding of thoroughbred and
11 standardbred horses in this State; and
12     (f) ensure that public confidence and trust in the
13 credibility and integrity of racing operations and the
14 regulatory process is maintained.
15 (Source: P.A. 91-40, eff. 6-25-99.)
 
16     (230 ILCS 5/1.3)
17     Sec. 1.3. Legislative findings.
18     (a) The General Assembly finds that the Illinois gaming
19 industry is a single industry consisting of horse racing, and
20 riverboat and casino gambling, and electronic gaming. Reports
21 issued by the Economic and Fiscal Commission (now Commission on
22 Government Forecasting and Accountability) in 1992, 1994, and
23 1998 have found that horse racing and riverboat gambling:
24         (1) "share many of the same characteristics" and are
25     "more alike than different";

 

 

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1         (2) are planned events;
2         (3) have similar odds of winning;
3         (4) occur in similar settings; and
4         (5) compete with each other for limited gaming dollars.
5     (b) The General Assembly declares it to be the public
6 policy of this State to ensure the viability of all both horse
7 racing and riverboat aspects of the Illinois gaming industry.
8 (Source: P.A. 95-331, eff. 8-21-07.)
 
9     (230 ILCS 5/3.24 new)
10     Sec. 3.24. Adjusted gross receipts. "Adjusted gross
11 receipts" means the gross receipts from electronic gaming less
12 winnings paid to wagerers.
 
13     (230 ILCS 5/3.25 new)
14     Sec. 3.25. Electronic gaming. "Electronic gaming" means
15 slot machine gambling conducted at a race track pursuant to an
16 electronic gaming license.
 
17     (230 ILCS 5/3.26 new)
18     Sec. 3.26. Electronic gaming license. "Electronic gaming
19 license" means a license to conduct electronic gaming issued
20 under Section 56.
 
21     (230 ILCS 5/3.27 new)
22     Sec. 3.27. Electronic gaming facility. "Electronic gaming

 

 

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1 facility" means that portion of an organization licensee's race
2 track facility at which electronic gaming is conducted.
 
3     (230 ILCS 5/4)  (from Ch. 8, par. 37-4)
4     Sec. 4. Until the effective date of this amendatory Act of
5 the 96th General Assembly, the The Board shall consist of 11
6 members to be appointed by the Governor with the advice and
7 consent of the Senate, not more than 6 of whom shall be of the
8 same political party, and one of whom shall be designated by
9 the Governor to be chairman.
10     Notwithstanding any provision of this Section to the
11 contrary, the term of office of each member of the Board
12 sitting on the effective date of this amendatory Act of the
13 96th General Assembly ends on that date and those members shall
14 hold office only until their successors are appointed and
15 qualified pursuant to this amendatory Act.
16     Each member shall have a reasonable knowledge of harness or
17 thoroughbred racing practices and procedure and of the
18 principles of harness or thoroughbred racing and breeding.
19 Additionally, at least 6 members must have personal experience
20 working in the horse racing industry whether it be in the State
21 of Illinois or elsewhere. At and, at the time of his or her
22 appointment, the member shall be a resident of the State of
23 Illinois and shall have resided therein for a period of at
24 least 5 years next preceding his appointment and qualification
25 and he shall be a qualified voter therein and not less than 25

 

 

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1 years of age. The Board should reflect the ethnic, cultural,
2 and geographic diversity of the State.
3 (Source: P.A. 91-798, eff. 7-9-00.)
 
4     (230 ILCS 5/5)  (from Ch. 8, par. 37-5)
5     Sec. 5. As soon as practicable following the effective date
6 of this amendatory Act of 1995, the Governor shall appoint,
7 with the advice and consent of the Senate, members to the Board
8 as follows: 3 members for terms expiring July 1, 1996; 3
9 members for terms expiring July 1, 1998; and 3 members for
10 terms expiring July 1, 2000. Of the 2 additional members
11 appointed pursuant to this amendatory Act of the 91st General
12 Assembly, the initial term of one member shall expire on July
13 1, 2002 and the initial term of the other member shall expire
14 on July 1, 2004. Thereafter, the terms of office of the Board
15 members shall be 6 years. Incumbent members on the effective
16 date of this amendatory Act of 1995 shall continue to serve
17 only until their successors are appointed and have qualified.
18     The terms of office of the initial Board members appointed
19 pursuant to this amendatory Act of the 96th General Assembly
20 will commence from the effective date of this amendatory Act
21 and run as follows, to be determined by lot: one for a term
22 expiring July 1 of the year following confirmation, 2 for a
23 term expiring July 1 two years following confirmation, 2 for a
24 term expiring July 1 three years following confirmation, and 2
25 for a term expiring July 1 four years following confirmation.

 

 

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1 Upon the expiration of the foregoing terms, the successors of
2 such members shall serve a term of 4 years and until their
3 successors are appointed and qualified for like terms.
4     Each member of the Board shall receive $300 per day for
5 each day the Board meets and for each day the member conducts a
6 hearing pursuant to Section 16 of this Act, provided that no
7 Board member shall receive more than $5,000 in such fees during
8 any calendar year, or an amount set by the Compensation Review
9 Board, whichever is greater. Members of the Board shall also be
10 reimbursed for all actual and necessary expenses and
11 disbursements incurred in the execution of their official
12 duties.
13 (Source: P.A. 91-357, eff. 7-29-99; 91-798, eff. 7-9-00.)
 
14     (230 ILCS 5/6)  (from Ch. 8, par. 37-6)
15     Sec. 6. Restrictions on Board members.
16     (a) No person shall be appointed a member of the Board or
17 continue to be a member of the Board if the person or any
18 member of their immediate family is a member of the Board of
19 Directors, employee, or financially interested in any of the
20 following: (i) any licensee or other person who has applied for
21 racing dates to the Board, or the operations thereof including,
22 but not limited to, concessions, data processing, track
23 maintenance, track security, and pari-mutuel operations,
24 located, scheduled or doing business within the State of
25 Illinois, (ii) any licensee or other person in any race horse

 

 

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1 competing at a meeting under the Board's jurisdiction, or (iii)
2 any licensee under the Illinois Gambling Act. No person shall
3 be appointed a member of the Board or continue to be a member
4 of the Board who is (or any member of whose family is) a member
5 of the Board of Directors of, or who is a person financially
6 interested in, any licensee or other person who has applied for
7 racing dates to the Board, or the operations thereof including,
8 but not limited to, concessions, data processing, track
9 maintenance, track security and pari-mutuel operations,
10 located, scheduled or doing business within the State of
11 Illinois, or in any race horse competing at a meeting under the
12 Board's jurisdiction. No Board member shall hold any other
13 public office for which he shall receive compensation other
14 than necessary travel or other incidental expenses.
15     (b) No person shall be a member of the Board who is not of
16 good moral character or who has been convicted of, or is under
17 indictment for, a felony under the laws of Illinois or any
18 other state, or the United States.
19     (c) No member of the Board or employee shall engage in any
20 political activity. For the purposes of this Section,
21 "political" means any activity in support of or in connection
22 with any campaign for State or local elective office or any
23 political organization, but does not include activities (i)
24 relating to the support or opposition of any executive,
25 legislative, or administrative action (as those terms are
26 defined in Section 2 of the Lobbyist Registration Act), (ii)

 

 

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1 relating to collective bargaining, or (iii) that are otherwise
2 in furtherance of the person's official State duties or
3 governmental and public service functions.
4     (d) Board members and employees may not engage in
5 communications or any activity that may cause or have the
6 appearance of causing a conflict of interest. A conflict of
7 interest exists if a situation influences or creates the
8 appearance that it may influence judgment or performance of
9 regulatory duties and responsibilities. This prohibition shall
10 extend to any act identified by Board action that, in the
11 judgment of the Board, could represent the potential for or the
12 appearance of a conflict of interest.
13     (e) Board members and employees may not accept any gift,
14 gratuity, service, compensation, travel, lodging, or thing of
15 value, with the exception of unsolicited items of an incidental
16 nature, from any person, corporation, or entity doing business
17 with the Board.
18     (f) A Board member or employee shall not use or attempt to
19 use his or her official position to secure, or attempt to
20 secure, any privilege, advantage, favor, or influence for
21 himself or herself or others. No Board member or employee,
22 within a period of one year immediately preceding nomination by
23 the Governor or employment, shall have been employed or
24 received compensation or fees for services from a person or
25 entity, or its parent or affiliate, that has engaged in
26 business with the Board, a licensee or a licensee under the

 

 

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1 Illinois Gambling Act. In addition, no Board member or employee
2 shall for one year after the expiration of his or her term or
3 separation from the Board be employed or receive compensation
4 or fees from the before-mentioned persons or entities.
5 (Source: P.A. 89-16, eff. 5-30-95.)
 
6     (230 ILCS 5/9)   (from Ch. 8, par. 37-9)
7     Sec. 9. The Board shall have all powers necessary and
8 proper to fully and effectively execute the provisions of this
9 Act, including, but not limited to, the following:
10     (a) The Board is vested with jurisdiction and supervision
11 over all race meetings in this State, over all licensees doing
12 business in this State, over all occupation licensees, and over
13 all persons on the facilities of any licensee. Such
14 jurisdiction shall include the power to issue licenses to the
15 Illinois Department of Agriculture authorizing the pari-mutuel
16 system of wagering on harness and Quarter Horse races held (1)
17 at the Illinois State Fair in Sangamon County, and (2) at the
18 DuQuoin State Fair in Perry County. The jurisdiction of the
19 Board shall also include the power to issue licenses to county
20 fairs which are eligible to receive funds pursuant to the
21 Agricultural Fair Act, as now or hereafter amended, or their
22 agents, authorizing the pari-mutuel system of wagering on horse
23 races conducted at the county fairs receiving such licenses.
24 Such licenses shall be governed by subsection (n) of this
25 Section.

 

 

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1     Upon application, the Board shall issue a license to the
2 Illinois Department of Agriculture to conduct harness and
3 Quarter Horse races at the Illinois State Fair and at the
4 DuQuoin State Fairgrounds during the scheduled dates of each
5 fair. The Board shall not require and the Department of
6 Agriculture shall be exempt from the requirements of Sections
7 15.3, 18 and 19, paragraphs (a)(2), (b), (c), (d), (e), (e-5),
8 (e-10), (f), (g), and (h) of Section 20, and Sections 21, 24
9 and 25. The Board and the Department of Agriculture may extend
10 any or all of these exemptions to any contractor or agent
11 engaged by the Department of Agriculture to conduct its race
12 meetings when the Board determines that this would best serve
13 the public interest and the interest of horse racing.
14     Notwithstanding any provision of law to the contrary, it
15 shall be lawful for any licensee to operate pari-mutuel
16 wagering or contract with the Department of Agriculture to
17 operate pari-mutuel wagering at the DuQuoin State Fairgrounds
18 or for the Department to enter into contracts with a licensee,
19 employ its owners, employees or agents and employ such other
20 occupation licensees as the Department deems necessary in
21 connection with race meetings and wagerings.
22     (b) The Board is vested with the full power to promulgate
23 reasonable rules and regulations for the purpose of
24 administering the provisions of this Act and to prescribe
25 reasonable rules, regulations and conditions under which all
26 horse race meetings or wagering in the State shall be

 

 

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1 conducted. Such reasonable rules and regulations are to provide
2 for the prevention of practices detrimental to the public
3 interest and to promote the best interests of horse racing and
4 to impose penalties for violations thereof.
5     (c) The Board, and any person or persons to whom it
6 delegates this power, is vested with the power to enter the
7 facilities and other places of business of any licensee to
8 determine whether there has been compliance with the provisions
9 of this Act and its rules and regulations.
10     (d) The Board, and any person or persons to whom it
11 delegates this power, is vested with the authority to
12 investigate alleged violations of the provisions of this Act,
13 its reasonable rules and regulations, orders and final
14 decisions; the Board shall take appropriate disciplinary
15 action against any licensee or occupation licensee for
16 violation thereof or institute appropriate legal action for the
17 enforcement thereof.
18     (e) The Board, and any person or persons to whom it
19 delegates this power, may eject or exclude from any race
20 meeting or the facilities of any licensee, or any part thereof,
21 any occupation licensee or any other individual whose conduct
22 or reputation is such that his presence on those facilities
23 may, in the opinion of the Board, call into question the
24 honesty and integrity of horse racing or wagering or interfere
25 with the orderly conduct of horse racing or wagering; provided,
26 however, that no person shall be excluded or ejected from the

 

 

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1 facilities of any licensee solely on the grounds of race,
2 color, creed, national origin, ancestry, or sex. The power to
3 eject or exclude an occupation licensee or other individual may
4 be exercised for just cause by the licensee or the Board,
5 subject to subsequent hearing by the Board as to the propriety
6 of said exclusion.
7     (f) The Board is vested with the power to acquire,
8 establish, maintain and operate (or provide by contract to
9 maintain and operate) testing laboratories and related
10 facilities, for the purpose of conducting saliva, blood, urine
11 and other tests on the horses run or to be run in any horse race
12 meeting, including races run at county fairs, and to purchase
13 all equipment and supplies deemed necessary or desirable in
14 connection with any such testing laboratories and related
15 facilities and all such tests.
16     (g) The Board may require that the records, including
17 financial or other statements of any licensee or any person
18 affiliated with the licensee who is involved directly or
19 indirectly in the activities of any licensee as regulated under
20 this Act to the extent that those financial or other statements
21 relate to such activities be kept in such manner as prescribed
22 by the Board, and that Board employees shall have access to
23 those records during reasonable business hours. Within 120 days
24 of the end of its fiscal year, each licensee shall transmit to
25 the Board an audit of the financial transactions and condition
26 of the licensee's total operations. All audits shall be

 

 

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1 conducted by certified public accountants. Each certified
2 public accountant must be registered in the State of Illinois
3 under the Illinois Public Accounting Act. The compensation for
4 each certified public accountant shall be paid directly by the
5 licensee to the certified public accountant. A licensee shall
6 also submit any other financial or related information the
7 Board deems necessary to effectively administer this Act and
8 all rules, regulations, and final decisions promulgated under
9 this Act.
10     (h) The Board shall name and appoint in the manner provided
11 by the rules and regulations of the Board: an Executive
12 Director; a State director of mutuels; State veterinarians and
13 representatives to take saliva, blood, urine and other tests on
14 horses; licensing personnel; revenue inspectors; and State
15 seasonal employees (excluding admission ticket sellers and
16 mutuel clerks). All of those named and appointed as provided in
17 this subsection shall serve during the pleasure of the Board;
18 their compensation shall be determined by the Board and be paid
19 in the same manner as other employees of the Board under this
20 Act.
21     (i) The Board shall require that there shall be 3 stewards
22 at each horse race meeting, at least 2 of whom shall be named
23 and appointed by the Board. Stewards appointed or approved by
24 the Board, while performing duties required by this Act or by
25 the Board, shall be entitled to the same rights and immunities
26 as granted to Board members and Board employees in Section 10

 

 

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

 

 

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1 full power to promulgate reasonable rules, regulations and
2 conditions under which all horse race meetings licensed
3 pursuant to this subsection shall be held and conducted,
4 including rules, regulations and conditions for the conduct of
5 the pari-mutuel system of wagering. The rules, regulations and
6 conditions shall provide for the prevention of practices
7 detrimental to the public interest and for the best interests
8 of horse racing, and shall prescribe penalties for violations
9 thereof. Any authority granted the Board under this Act shall
10 extend to its jurisdiction and supervision over county fairs,
11 or their agents, licensed pursuant to this subsection. However,
12 the Board may waive any provision of this Act or its rules or
13 regulations which would otherwise apply to such county fairs or
14 their agents.
15     (o) Whenever the Board is authorized or required by law to
16 consider some aspect of criminal history record information for
17 the purpose of carrying out its statutory powers and
18 responsibilities, then, upon request and payment of fees in
19 conformance with the requirements of Section 2605-400 of the
20 Department of State Police Law (20 ILCS 2605/2605-400), the
21 Department of State Police is authorized to furnish, pursuant
22 to positive identification, such information contained in
23 State files as is necessary to fulfill the request.
24     (p) To insure the convenience, comfort, and wagering
25 accessibility of race track patrons, to provide for the
26 maximization of State revenue, and to generate increases in

 

 

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1 purse allotments to the horsemen, the Board shall require any
2 licensee to staff the pari-mutuel department with adequate
3 personnel.
4 (Source: P.A. 91-239, eff. 1-1-00.)
 
5     (230 ILCS 5/26)  (from Ch. 8, par. 37-26)
6     Sec. 26. Wagering.
7     (a) Any licensee may conduct and supervise the pari-mutuel
8 system of wagering, as defined in Section 3.12 of this Act, on
9 horse races conducted by an Illinois organization licensee or
10 conducted at a racetrack located in another state or country
11 and televised in Illinois in accordance with subsection (g) of
12 Section 26 of this Act. Subject to the prior consent of the
13 Board, licensees may supplement any pari-mutuel pool in order
14 to guarantee a minimum distribution. Such pari-mutuel method of
15 wagering shall not, under any circumstances if conducted under
16 the provisions of this Act, be held or construed to be
17 unlawful, other statutes of this State to the contrary
18 notwithstanding. Subject to rules for advance wagering
19 promulgated by the Board, any licensee may accept wagers in
20 advance of the day of the race wagered upon occurs.
21     (b) No other method of betting, pool making, wagering or
22 gambling shall be used or permitted by the licensee. Each
23 licensee may retain, subject to the payment of all applicable
24 taxes and purses, an amount not to exceed 17% of all money
25 wagered under subsection (a) of this Section, except as may

 

 

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1 otherwise be permitted under this Act.
2     (b-5) An individual may place a wager under the pari-mutuel
3 system from any licensed location authorized under this Act
4 provided that wager is electronically recorded in the manner
5 described in Section 3.12 of this Act. Any wager made
6 electronically by an individual while physically on the
7 premises of a licensee shall be deemed to have been made at the
8 premises of that licensee.
9     (c) Until January 1, 2000, the sum held by any licensee for
10 payment of outstanding pari-mutuel tickets, if unclaimed prior
11 to December 31 of the next year, shall be retained by the
12 licensee for payment of such tickets until that date. Within 10
13 days thereafter, the balance of such sum remaining unclaimed,
14 less any uncashed supplements contributed by such licensee for
15 the purpose of guaranteeing minimum distributions of any
16 pari-mutuel pool, shall be paid to the Illinois Veterans'
17 Rehabilitation Fund of the State treasury, except as provided
18 in subsection (g) of Section 27 of this Act.
19     (c-5) Beginning January 1, 2000, the sum held by any
20 licensee for payment of outstanding pari-mutuel tickets, if
21 unclaimed prior to December 31 of the next year, shall be
22 retained by the licensee for payment of such tickets until that
23 date. Within 10 days thereafter, the balance of such sum
24 remaining unclaimed, less any uncashed supplements contributed
25 by such licensee for the purpose of guaranteeing minimum
26 distributions of any pari-mutuel pool, shall be evenly

 

 

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1 distributed to the purse account of the organization licensee
2 and the organization licensee.
3     (d) A pari-mutuel ticket shall be honored until December 31
4 of the next calendar year, and the licensee shall pay the same
5 and may charge the amount thereof against unpaid money
6 similarly accumulated on account of pari-mutuel tickets not
7 presented for payment.
8     (e) No licensee shall knowingly permit any minor, other
9 than an employee of such licensee or an owner, trainer, jockey,
10 driver, or employee thereof, to be admitted during a racing
11 program unless accompanied by a parent or guardian, or any
12 minor to be a patron of the pari-mutuel system of wagering
13 conducted or supervised by it. The admission of any
14 unaccompanied minor, other than an employee of the licensee or
15 an owner, trainer, jockey, driver, or employee thereof at a
16 race track is a Class C misdemeanor.
17     (f) Notwithstanding the other provisions of this Act, an
18 organization licensee may contract with an entity in another
19 state or country to permit any legal wagering entity in another
20 state or country to accept wagers solely within such other
21 state or country on races conducted by the organization
22 licensee in this State. Beginning January 1, 2000, these wagers
23 shall not be subject to State taxation. Until January 1, 2000,
24 when the out-of-State entity conducts a pari-mutuel pool
25 separate from the organization licensee, a privilege tax equal
26 to 7 1/2% of all monies received by the organization licensee

 

 

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1 from entities in other states or countries pursuant to such
2 contracts is imposed on the organization licensee, and such
3 privilege tax shall be remitted to the Department of Revenue
4 within 48 hours of receipt of the moneys from the simulcast.
5 When the out-of-State entity conducts a combined pari-mutuel
6 pool with the organization licensee, the tax shall be 10% of
7 all monies received by the organization licensee with 25% of
8 the receipts from this 10% tax to be distributed to the county
9 in which the race was conducted.
10     An organization licensee may permit one or more of its
11 races to be utilized for pari-mutuel wagering at one or more
12 locations in other states and may transmit audio and visual
13 signals of races the organization licensee conducts to one or
14 more locations outside the State or country and may also permit
15 pari-mutuel pools in other states or countries to be combined
16 with its gross or net wagering pools or with wagering pools
17 established by other states.
18     (g) A host track may accept interstate simulcast wagers on
19 horse races conducted in other states or countries and shall
20 control the number of signals and types of breeds of racing in
21 its simulcast program, subject to the disapproval of the Board.
22 The Board may prohibit a simulcast program only if it finds
23 that the simulcast program is clearly adverse to the integrity
24 of racing. The host track simulcast program shall include the
25 signal of live racing of all organization licensees. All
26 non-host licensees shall carry the host track simulcast program

 

 

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1 and accept wagers on all races included as part of the
2 simulcast program upon which wagering is permitted. The costs
3 and expenses of the host track and non-host licensees
4 associated with interstate simulcast wagering, other than the
5 interstate commission fee, shall be borne by the host track and
6 all non-host licensees incurring these costs. The interstate
7 commission fee shall not exceed 5% of Illinois handle on the
8 interstate simulcast race or races without prior approval of
9 the Board. The Board shall promulgate rules under which it may
10 permit interstate commission fees in excess of 5%. The
11 interstate commission fee and other fees charged by the sending
12 racetrack, including, but not limited to, satellite decoder
13 fees, shall be uniformly applied to the host track and all
14 non-host 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 may
17     supplement the host track simulcast program with
18     additional simulcast races or race programs, provided that
19     between January 1 and the third Friday in February of any
20     year, inclusive, if no live thoroughbred racing is
21     occurring in Illinois during this period, only
22     thoroughbred races may be used for supplemental interstate
23     simulcast purposes. The Board shall withhold approval for a
24     supplemental interstate simulcast only if it finds that the
25     simulcast is clearly adverse to the integrity of racing. A
26     supplemental interstate simulcast may be transmitted from

 

 

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1     an intertrack wagering licensee to its affiliated non-host
2     licensees. The interstate commission fee for a
3     supplemental interstate simulcast shall be paid by the
4     non-host licensee and its affiliated non-host licensees
5     receiving the simulcast.
6         (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
7     intertrack wagering licensee other than the host track may
8     receive supplemental interstate simulcasts only with the
9     consent of the host track, except when the Board finds that
10     the simulcast is clearly adverse to the integrity of
11     racing. Consent granted under this paragraph (2) to any
12     intertrack wagering licensee shall be deemed consent to all
13     non-host licensees. The interstate commission fee for the
14     supplemental interstate simulcast shall be paid by all
15     participating non-host licensees.
16         (3) Each licensee conducting interstate simulcast
17     wagering may retain, subject to the payment of all
18     applicable taxes and the purses, an amount not to exceed
19     17% of all money wagered. If any licensee conducts the
20     pari-mutuel system wagering on races conducted at
21     racetracks in another state or country, each such race or
22     race program shall be considered a separate racing day for
23     the purpose of determining the daily handle and computing
24     the privilege tax of that daily handle as provided in
25     subsection (a) of Section 27. Until January 1, 2000, from
26     the sums permitted to be retained pursuant to this

 

 

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1     subsection, each intertrack wagering location licensee
2     shall pay 1% of the pari-mutuel handle wagered on simulcast
3     wagering to the Horse Racing Tax Allocation Fund, subject
4     to the provisions of subparagraph (B) of paragraph (11) of
5     subsection (h) of Section 26 of this Act.
6         (4) A licensee who receives an interstate simulcast may
7     combine its gross or net pools with pools at the sending
8     racetracks pursuant to rules established by the Board. All
9     licensees combining their gross pools at a sending
10     racetrack shall adopt the take-out percentages of the
11     sending racetrack. A licensee may also establish a separate
12     pool and takeout structure for wagering purposes on races
13     conducted at race tracks outside of the State of Illinois.
14     The licensee may permit pari-mutuel wagers placed in other
15     states or countries to be combined with its gross or net
16     wagering pools or other wagering pools.
17         (5) After the payment of the interstate commission fee
18     (except for the interstate commission fee on a supplemental
19     interstate simulcast, which shall be paid by the host track
20     and by each non-host licensee through the host-track) and
21     all applicable State and local taxes, except as provided in
22     subsection (g) of Section 27 of this Act, the remainder of
23     moneys retained from simulcast wagering pursuant to this
24     subsection (g), and Section 26.2 shall be divided as
25     follows:
26             (A) For interstate simulcast wagers made at a host

 

 

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1         track, 50% to the host track and 50% to purses at the
2         host track.
3             (B) For wagers placed on interstate simulcast
4         races, supplemental simulcasts as defined in
5         subparagraphs (1) and (2), and separately pooled races
6         conducted outside of the State of Illinois made at a
7         non-host licensee, 25% to the host track, 25% to the
8         non-host licensee, and 50% to the purses at the host
9         track.
10         (6) Notwithstanding any provision in this Act to the
11     contrary, non-host licensees who derive their licenses
12     from a track located in a county with a population in
13     excess of 230,000 and that borders the Mississippi River
14     may receive supplemental interstate simulcast races at all
15     times subject to Board approval, which shall be withheld
16     only upon a finding that a supplemental interstate
17     simulcast is clearly adverse to the integrity of racing.
18         (7) Notwithstanding any provision of this Act to the
19     contrary, after payment of all applicable State and local
20     taxes and interstate commission fees, non-host licensees
21     who derive their licenses from a track located in a county
22     with a population in excess of 230,000 and that borders the
23     Mississippi River shall retain 50% of the retention from
24     interstate simulcast wagers and shall pay 50% to purses at
25     the track from which the non-host licensee derives its
26     license as follows:

 

 

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1             (A) Between January 1 and the third Friday in
2         February, inclusive, if no live thoroughbred racing is
3         occurring in Illinois during this period, when the
4         interstate simulcast is a standardbred race, the purse
5         share to its standardbred purse account;
6             (B) Between January 1 and the third Friday in
7         February, inclusive, if no live thoroughbred racing is
8         occurring in Illinois during this period, and the
9         interstate simulcast is a thoroughbred race, the purse
10         share to its interstate simulcast purse pool to be
11         distributed under paragraph (10) of this subsection
12         (g);
13             (C) Between January 1 and the third Friday in
14         February, inclusive, if live thoroughbred racing is
15         occurring in Illinois, between 6:30 a.m. and 6:30 p.m.
16         the purse share from wagers made during this time
17         period to its thoroughbred purse account and between
18         6:30 p.m. and 6:30 a.m. the purse share from wagers
19         made during this time period to its standardbred purse
20         accounts;
21             (D) Between the third Saturday in February and
22         December 31, when the interstate simulcast occurs
23         between the hours of 6:30 a.m. and 6:30 p.m., the purse
24         share to its thoroughbred purse account;
25             (E) Between the third Saturday in February and
26         December 31, when the interstate simulcast occurs

 

 

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1         between the hours of 6:30 p.m. and 6:30 a.m., the purse
2         share to its standardbred purse account.
3         (7.1) Notwithstanding any other provision of this Act
4     to the contrary, if no standardbred racing is conducted at
5     a racetrack located in Madison County during any calendar
6     year beginning on or after January 1, 2002, all moneys
7     derived by that racetrack from simulcast wagering and
8     inter-track wagering that (1) are to be used for purses and
9     (2) are generated between the hours of 6:30 p.m. and 6:30
10     a.m. during that calendar year shall be paid as follows:
11             (A) If the licensee that conducts horse racing at
12         that racetrack requests from the Board at least as many
13         racing dates as were conducted in calendar year 2000,
14         80% shall be paid to its thoroughbred purse account;
15         and
16             (B) Twenty percent shall be deposited into the
17         Illinois Colt Stakes Purse Distribution Fund and shall
18         be paid to purses for standardbred races for Illinois
19         conceived and foaled horses conducted at any county
20         fairgrounds. The moneys deposited into the Fund
21         pursuant to this subparagraph (B) shall be deposited
22         within 2 weeks after the day they were generated, shall
23         be in addition to and not in lieu of any other moneys
24         paid to standardbred purses under this Act, and shall
25         not be commingled with other moneys paid into that
26         Fund. The moneys deposited pursuant to this

 

 

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1         subparagraph (B) shall be allocated as provided by the
2         Department of Agriculture, with the advice and
3         assistance of the Illinois Standardbred Breeders Fund
4         Advisory Board.
5         (7.2) Notwithstanding any other provision of this Act
6     to the contrary, if no thoroughbred racing is conducted at
7     a racetrack located in Madison County during any calendar
8     year beginning on or after January 1, 2002, all moneys
9     derived by that racetrack from simulcast wagering and
10     inter-track wagering that (1) are to be used for purses and
11     (2) are generated between the hours of 6:30 a.m. and 6:30
12     p.m. during that calendar year shall be deposited as
13     follows:
14             (A) If the licensee that conducts horse racing at
15         that racetrack requests from the Board at least as many
16         racing dates as were conducted in calendar year 2000,
17         80% shall be deposited into its standardbred purse
18         account; and
19             (B) Twenty percent shall be deposited into the
20         Illinois Colt Stakes Purse Distribution Fund. Moneys
21         deposited into the Illinois Colt Stakes Purse
22         Distribution Fund pursuant to this subparagraph (B)
23         shall be paid to Illinois conceived and foaled
24         thoroughbred breeders' programs and to thoroughbred
25         purses for races conducted at any county fairgrounds
26         for Illinois conceived and foaled horses at the

 

 

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

 

 

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1     wagering location license.
2         Moneys paid into the Illinois Colt Stakes Purse
3     Distribution Fund pursuant to this paragraph (7.3) shall be
4     paid to purses for standardbred races for Illinois
5     conceived and foaled horses conducted at any county
6     fairgrounds. Moneys paid into the Illinois Colt Stakes
7     Purse Distribution Fund pursuant to this paragraph (7.3)
8     shall be used as determined by the Department of
9     Agriculture, with the advice and assistance of the Illinois
10     Standardbred Breeders Fund Advisory Board, shall be in
11     addition to and not in lieu of any other moneys paid to
12     standardbred purses under this Act, and shall not be
13     commingled with any other moneys paid into that Fund.
14         (7.4) If live standardbred racing is conducted at a
15     racetrack located in Madison County at any time in calendar
16     year 2001 before the payment required under paragraph (7.3)
17     has been made, the organization licensee who is licensed to
18     conduct racing at that racetrack shall pay all moneys
19     derived by that racetrack from simulcast wagering and
20     inter-track wagering during calendar years 2000 and 2001
21     that (1) are to be used for purses and (2) are generated
22     between the hours of 6:30 p.m. and 6:30 a.m. during 2000 or
23     2001 to the standardbred purse account at that racetrack to
24     be used for standardbred purses.
25         (8) Notwithstanding any provision in this Act to the
26     contrary, an organization licensee from a track located in

 

 

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1     a county with a population in excess of 230,000 and that
2     borders the Mississippi River and its affiliated non-host
3     licensees shall not be entitled to share in any retention
4     generated on racing, inter-track wagering, or simulcast
5     wagering at any other Illinois wagering facility.
6         (8.1) Notwithstanding any provisions in this Act to the
7     contrary, if 2 organization licensees are conducting
8     standardbred race meetings concurrently between the hours
9     of 6:30 p.m. and 6:30 a.m., after payment of all applicable
10     State and local taxes and interstate commission fees, the
11     remainder of the amount retained from simulcast wagering
12     otherwise attributable to the host track and to host track
13     purses shall be split daily between the 2 organization
14     licensees and the purses at the tracks of the 2
15     organization licensees, respectively, based on each
16     organization licensee's share of the total live handle for
17     that day, provided that this provision shall not apply to
18     any non-host licensee that derives its license from a track
19     located in a county with a population in excess of 230,000
20     and that borders the Mississippi River.
21         (9) (Blank).
22         (10) (Blank).
23         (11) (Blank).
24         (12) The Board shall have authority to compel all host
25     tracks to receive the simulcast of any or all races
26     conducted at the Springfield or DuQuoin State fairgrounds

 

 

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1     and include all such races as part of their simulcast
2     programs.
3         (13) Notwithstanding any other provision of this Act,
4     in the event that the total Illinois pari-mutuel handle on
5     Illinois horse races at all wagering facilities in any
6     calendar year is less than 75% of the total Illinois
7     pari-mutuel handle on Illinois horse races at all such
8     wagering facilities for calendar year 1994, then each
9     wagering facility that has an annual total Illinois
10     pari-mutuel handle on Illinois horse races that is less
11     than 75% of the total Illinois pari-mutuel handle on
12     Illinois horse races at such wagering facility for calendar
13     year 1994, shall be permitted to receive, from any amount
14     otherwise payable to the purse account at the race track
15     with which the wagering facility is affiliated in the
16     succeeding calendar year, an amount equal to 2% of the
17     differential in total Illinois pari-mutuel handle on
18     Illinois horse races at the wagering facility between that
19     calendar year in question and 1994 provided, however, that
20     a wagering facility shall not be entitled to any such
21     payment until the Board certifies in writing to the
22     wagering facility the amount to which the wagering facility
23     is entitled and a schedule for payment of the amount to the
24     wagering facility, based on: (i) the racing dates awarded
25     to the race track affiliated with the wagering facility
26     during the succeeding year; (ii) the sums available or

 

 

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1     anticipated to be available in the purse account of the
2     race track affiliated with the wagering facility for purses
3     during the succeeding year; and (iii) the need to ensure
4     reasonable purse levels during the payment period. The
5     Board's certification shall be provided no later than
6     January 31 of the succeeding year. In the event a wagering
7     facility entitled to a payment under this paragraph (13) is
8     affiliated with a race track that maintains purse accounts
9     for both standardbred and thoroughbred racing, the amount
10     to be paid to the wagering facility shall be divided
11     between each purse account pro rata, based on the amount of
12     Illinois handle on Illinois standardbred and thoroughbred
13     racing respectively at the wagering facility during the
14     previous calendar year. Annually, the General Assembly
15     shall appropriate sufficient funds from the General
16     Revenue Fund to the Department of Agriculture for payment
17     into the thoroughbred and standardbred horse racing purse
18     accounts at Illinois pari-mutuel tracks. The amount paid to
19     each purse account shall be the amount certified by the
20     Illinois Racing Board in January to be transferred from
21     each account to each eligible racing facility in accordance
22     with the provisions of this Section. For the calendar year
23     in which an organization licensee that is eligible to
24     receive a payment under this paragraph (13) begins to
25     receive funds from electronic gaming, the amount of that
26     payment under this paragraph (13) shall be reduced by a

 

 

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1     percentage equal to the percentage of the year remaining
2     after the organization licensee begins conducting
3     electronic gaming pursuant to its electronic gaming
4     license. An organization licensee shall no longer be able
5     to receive payments under this paragraph (13) beginning on
6     the January 1 first occurring after the licensee begins
7     receiving funds from electronic gaming pursuant to Section
8     7.10 of the Illinois Gambling Act.
9     (h) The Board may approve and license the conduct of
10 inter-track wagering and simulcast wagering by inter-track
11 wagering licensees and inter-track wagering location licensees
12 subject to the following terms and conditions:
13         (1) Any person licensed to conduct a race meeting (i)
14     at a track where 60 or more days of racing were conducted
15     during the immediately preceding calendar year or where
16     over the 5 immediately preceding calendar years an average
17     of 30 or more days of racing were conducted annually may be
18     issued an inter-track wagering license; (ii) at a track
19     located in a county that is bounded by the Mississippi
20     River, which has a population of less than 150,000
21     according to the 1990 decennial census, and an average of
22     at least 60 days of racing per year between 1985 and 1993
23     may be issued an inter-track wagering license; or (iii) at
24     a track located in Madison County that conducted at least
25     100 days of live racing during the immediately preceding
26     calendar year may be issued an inter-track wagering

 

 

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

 

 

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1         (2) The Board shall examine the applications with
2     respect to their conformity with this Act and the rules and
3     regulations imposed by the Board. If found to be in
4     compliance with the Act and rules and regulations of the
5     Board, the Board may then issue a license to conduct
6     inter-track wagering and simulcast wagering to such
7     applicant. All such applications shall be acted upon by the
8     Board at a meeting to be held on such date as may be fixed
9     by the Board.
10         (3) In granting licenses to conduct inter-track
11     wagering and simulcast wagering, the Board shall give due
12     consideration to the best interests of the public, of horse
13     racing, and of maximizing revenue to the State.
14         (4) Prior to the issuance of a license to conduct
15     inter-track wagering and simulcast wagering, the applicant
16     shall file with the Board a bond payable to the State of
17     Illinois in the sum of $50,000, executed by the applicant
18     and a surety company or companies authorized to do business
19     in this State, and conditioned upon (i) the payment by the
20     licensee of all taxes due under Section 27 or 27.1 and any
21     other monies due and payable under this Act, and (ii)
22     distribution by the licensee, upon presentation of the
23     winning ticket or tickets, of all sums payable to the
24     patrons of pari-mutuel pools.
25         (5) Each license to conduct inter-track wagering and
26     simulcast wagering shall specify the person to whom it is

 

 

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1     issued, the dates on which such wagering is permitted, and
2     the track or location where the wagering is to be
3     conducted.
4         (6) All wagering under such license is subject to this
5     Act and to the rules and regulations from time to time
6     prescribed by the Board, and every such license issued by
7     the Board shall contain a recital to that effect.
8         (7) An inter-track wagering licensee or inter-track
9     wagering location licensee may accept wagers at the track
10     or location where it is licensed, or as otherwise provided
11     under this Act.
12         (8) Inter-track wagering or simulcast wagering shall
13     not be conducted at any track less than 5 miles from a
14     track at which a racing meeting is in progress.
15         (8.1) Inter-track wagering location licensees who
16     derive their licenses from a particular organization
17     licensee shall conduct inter-track wagering and simulcast
18     wagering only at locations which are either within 90 miles
19     of that race track where the particular organization
20     licensee is licensed to conduct racing, or within 135 miles
21     of that race track where the particular organization
22     licensee is licensed to conduct racing in the case of race
23     tracks in counties of less than 400,000 that were operating
24     on or before June 1, 1986. However, inter-track wagering
25     and simulcast wagering shall not be conducted by those
26     licensees at any location within 5 miles of any race track

 

 

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1     at which a horse race meeting has been licensed in the
2     current year, unless the person having operating control of
3     such race track has given its written consent to such
4     inter-track wagering location licensees, which consent
5     must be filed with the Board at or prior to the time
6     application is made.
7         (8.2) Inter-track wagering or simulcast wagering shall
8     not be conducted by an inter-track wagering location
9     licensee at any location within 500 feet of an existing
10     church or existing school, nor within 500 feet of the
11     residences of more than 50 registered voters without
12     receiving written permission from a majority of the
13     registered voters at such residences. Such written
14     permission statements shall be filed with the Board. The
15     distance of 500 feet shall be measured to the nearest part
16     of any building used for worship services, education
17     programs, residential purposes, or conducting inter-track
18     wagering by an inter-track wagering location licensee, and
19     not to property boundaries. However, inter-track wagering
20     or simulcast wagering may be conducted at a site within 500
21     feet of a church, school or residences of 50 or more
22     registered voters if such church, school or residences have
23     been erected or established, or such voters have been
24     registered, after the Board issues the original
25     inter-track wagering location license at the site in
26     question. Inter-track wagering location licensees may

 

 

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1     conduct inter-track wagering and simulcast wagering only
2     in areas that are zoned for commercial or manufacturing
3     purposes or in areas for which a special use has been
4     approved by the local zoning authority. However, no license
5     to conduct inter-track wagering and simulcast wagering
6     shall be granted by the Board with respect to any
7     inter-track wagering location within the jurisdiction of
8     any local zoning authority which has, by ordinance or by
9     resolution, prohibited the establishment of an inter-track
10     wagering location within its jurisdiction. However,
11     inter-track wagering and simulcast wagering may be
12     conducted at a site if such ordinance or resolution is
13     enacted after the Board licenses the original inter-track
14     wagering location licensee for the site in question.
15         (9) (Blank).
16         (10) An inter-track wagering licensee or an
17     inter-track wagering location licensee may retain, subject
18     to the payment of the privilege taxes and the purses, an
19     amount not to exceed 17% of all money wagered. Each program
20     of racing conducted by each inter-track wagering licensee
21     or inter-track wagering location licensee shall be
22     considered a separate racing day for the purpose of
23     determining the daily handle and computing the privilege
24     tax or pari-mutuel tax on such daily handle as provided in
25     Section 27.
26         (10.1) Except as provided in subsection (g) of Section

 

 

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1     27 of this Act, inter-track wagering location licensees
2     shall pay 1% of the pari-mutuel handle at each location to
3     the municipality in which such location is situated and 1%
4     of the pari-mutuel handle at each location to the county in
5     which such location is situated. In the event that an
6     inter-track wagering location licensee is situated in an
7     unincorporated area of a county, such licensee shall pay 2%
8     of the pari-mutuel handle from such location to such
9     county.
10         (10.2) Notwithstanding any other provision of this
11     Act, with respect to intertrack wagering at a race track
12     located in a county that has a population of more than
13     230,000 and that is bounded by the Mississippi River ("the
14     first race track"), or at a facility operated by an
15     inter-track wagering licensee or inter-track wagering
16     location licensee that derives its license from the
17     organization licensee that operates the first race track,
18     on races conducted at the first race track or on races
19     conducted at another Illinois race track and
20     simultaneously televised to the first race track or to a
21     facility operated by an inter-track wagering licensee or
22     inter-track wagering location licensee that derives its
23     license from the organization licensee that operates the
24     first race track, those moneys shall be allocated as
25     follows:
26             (A) That portion of all moneys wagered on

 

 

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

 

 

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

 

 

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1     redistributed (I) to all inter-track wagering location
2     licensees, based on each licensee's pro-rata share of the
3     total handle from inter-track wagering and simulcast
4     wagering for all inter-track wagering location licensees
5     during the calendar year in which this provision is
6     applicable; then (II) the amounts redistributed to each
7     inter-track wagering location licensee as described in
8     subpart (I) shall be further redistributed as provided in
9     subparagraph (B) of paragraph (5) of subsection (g) of this
10     Section 26 provided first, that the shares of those
11     amounts, which are to be redistributed to the host track or
12     to purses at the host track under subparagraph (B) of
13     paragraph (5) of subsection (g) of this Section 26 shall be
14     redistributed based on each host track's pro rata share of
15     the total inter-track wagering and simulcast wagering
16     handle at all host tracks during the calendar year in
17     question, and second, that any amounts redistributed as
18     described in part (I) to an inter-track wagering location
19     licensee that accepts wagers on races conducted by an
20     organization licensee that conducts a race meet in a county
21     with a population in excess of 230,000 and that borders the
22     Mississippi River shall be further redistributed as
23     provided in subparagraphs (D) and (E) of paragraph (7) of
24     subsection (g) of this Section 26, with the portion of that
25     further redistribution allocated to purses at that
26     organization licensee to be divided between standardbred

 

 

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1     purses and thoroughbred purses based on the amounts
2     otherwise allocated to purses at that organization
3     licensee during the calendar year in question; and (iv) 8%
4     of the pari-mutuel handle on inter-track wagering wagered
5     at such location to satisfy all costs and expenses of
6     conducting its wagering. The remainder of the monies
7     retained by the inter-track wagering location licensee
8     shall be allocated 40% to the location licensee and 60% to
9     the organization licensee which provides the Illinois
10     races to the location, except that an intertrack wagering
11     location licensee that derives its license from a track
12     located in a county with a population in excess of 230,000
13     and that borders the Mississippi River shall not divide any
14     remaining retention with the organization licensee that
15     provides the race or races and an intertrack wagering
16     location licensee that accepts wagers on races conducted by
17     an organization licensee that conducts a race meet in a
18     county with a population in excess of 230,000 and that
19     borders the Mississippi River shall not divide any
20     remaining retention with the organization licensee.
21     Notwithstanding the provisions of clauses (ii) and (iv) of
22     this paragraph, in the case of the additional inter-track
23     wagering location licenses authorized under paragraph (1)
24     of this subsection (h) by this amendatory Act of 1991,
25     those licensees shall pay the following amounts as purses:
26     during the first 12 months the licensee is in operation,

 

 

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1     5.25% of the pari-mutuel handle wagered at the location on
2     races; during the second 12 months, 5.25%; during the third
3     12 months, 5.75%; during the fourth 12 months, 6.25%; and
4     during the fifth 12 months and thereafter, 6.75%. The
5     following amounts shall be retained by the licensee to
6     satisfy all costs and expenses of conducting its wagering:
7     during the first 12 months the licensee is in operation,
8     8.25% of the pari-mutuel handle wagered at the location;
9     during the second 12 months, 8.25%; during the third 12
10     months, 7.75%; during the fourth 12 months, 7.25%; and
11     during the fifth 12 months and thereafter, 6.75%. For
12     additional intertrack wagering location licensees
13     authorized under this amendatory Act of 1995, purses for
14     the first 12 months the licensee is in operation shall be
15     5.75% of the pari-mutuel wagered at the location, purses
16     for the second 12 months the licensee is in operation shall
17     be 6.25%, and purses thereafter shall be 6.75%. For
18     additional intertrack location licensees authorized under
19     this amendatory Act of 1995, the licensee shall be allowed
20     to retain to satisfy all costs and expenses: 7.75% of the
21     pari-mutuel handle wagered at the location during its first
22     12 months of operation, 7.25% during its second 12 months
23     of operation, and 6.75% thereafter.
24         (C) There is hereby created the Horse Racing Tax
25     Allocation Fund which shall remain in existence until
26     December 31, 1999. Moneys remaining in the Fund after

 

 

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1     December 31, 1999 shall be paid into the General Revenue
2     Fund. Until January 1, 2000, all monies paid into the Horse
3     Racing Tax Allocation Fund pursuant to this paragraph (11)
4     by inter-track wagering location licensees located in park
5     districts of 500,000 population or less, or in a
6     municipality that is not included within any park district
7     but is included within a conservation district and is the
8     county seat of a county that (i) is contiguous to the state
9     of Indiana and (ii) has a 1990 population of 88,257
10     according to the United States Bureau of the Census, and
11     operating on May 1, 1994 shall be allocated by
12     appropriation as follows:
13             Two-sevenths to the Department of Agriculture.
14         Fifty percent of this two-sevenths shall be used to
15         promote the Illinois horse racing and breeding
16         industry, and shall be distributed by the Department of
17         Agriculture upon the advice of a 9-member committee
18         appointed by the Governor consisting of the following
19         members: the Director of Agriculture, who shall serve
20         as chairman; 2 representatives of organization
21         licensees conducting thoroughbred race meetings in
22         this State, recommended by those licensees; 2
23         representatives of organization licensees conducting
24         standardbred race meetings in this State, recommended
25         by those licensees; a representative of the Illinois
26         Thoroughbred Breeders and Owners Foundation,

 

 

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1         recommended by that Foundation; a representative of
2         the Illinois Standardbred Owners and Breeders
3         Association, recommended by that Association; a
4         representative of the Horsemen's Benevolent and
5         Protective Association or any successor organization
6         thereto established in Illinois comprised of the
7         largest number of owners and trainers, recommended by
8         that Association or that successor organization; and a
9         representative of the Illinois Harness Horsemen's
10         Association, recommended by that Association.
11         Committee members shall serve for terms of 2 years,
12         commencing January 1 of each even-numbered year. If a
13         representative of any of the above-named entities has
14         not been recommended by January 1 of any even-numbered
15         year, the Governor shall appoint a committee member to
16         fill that position. Committee members shall receive no
17         compensation for their services as members but shall be
18         reimbursed for all actual and necessary expenses and
19         disbursements incurred in the performance of their
20         official duties. The remaining 50% of this
21         two-sevenths shall be distributed to county fairs for
22         premiums and rehabilitation as set forth in the
23         Agricultural Fair Act;
24             Four-sevenths to park districts or municipalities
25         that do not have a park district of 500,000 population
26         or less for museum purposes (if an inter-track wagering

 

 

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1         location licensee is located in such a park district)
2         or to conservation districts for museum purposes (if an
3         inter-track wagering location licensee is located in a
4         municipality that is not included within any park
5         district but is included within a conservation
6         district and is the county seat of a county that (i) is
7         contiguous to the state of Indiana and (ii) has a 1990
8         population of 88,257 according to the United States
9         Bureau of the Census, except that if the conservation
10         district does not maintain a museum, the monies shall
11         be allocated equally between the county and the
12         municipality in which the inter-track wagering
13         location licensee is located for general purposes) or
14         to a municipal recreation board for park purposes (if
15         an inter-track wagering location licensee is located
16         in a municipality that is not included within any park
17         district and park maintenance is the function of the
18         municipal recreation board and the municipality has a
19         1990 population of 9,302 according to the United States
20         Bureau of the Census); provided that the monies are
21         distributed to each park district or conservation
22         district or municipality that does not have a park
23         district in an amount equal to four-sevenths of the
24         amount collected by each inter-track wagering location
25         licensee within the park district or conservation
26         district or municipality for the Fund. Monies that were

 

 

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1         paid into the Horse Racing Tax Allocation Fund before
2         the effective date of this amendatory Act of 1991 by an
3         inter-track wagering location licensee located in a
4         municipality that is not included within any park
5         district but is included within a conservation
6         district as provided in this paragraph shall, as soon
7         as practicable after the effective date of this
8         amendatory Act of 1991, be allocated and paid to that
9         conservation district as provided in this paragraph.
10         Any park district or municipality not maintaining a
11         museum may deposit the monies in the corporate fund of
12         the park district or municipality where the
13         inter-track wagering location is located, to be used
14         for general purposes; and
15             One-seventh to the Agricultural Premium Fund to be
16         used for distribution to agricultural home economics
17         extension councils in accordance with "An Act in
18         relation to additional support and finances for the
19         Agricultural and Home Economic Extension Councils in
20         the several counties of this State and making an
21         appropriation therefor", approved July 24, 1967.
22         Until January 1, 2000, all other monies paid into the
23     Horse Racing Tax Allocation Fund pursuant to this paragraph
24     (11) shall be allocated by appropriation as follows:
25             Two-sevenths to the Department of Agriculture.
26         Fifty percent of this two-sevenths shall be used to

 

 

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1         promote the Illinois horse racing and breeding
2         industry, and shall be distributed by the Department of
3         Agriculture upon the advice of a 9-member committee
4         appointed by the Governor consisting of the following
5         members: the Director of Agriculture, who shall serve
6         as chairman; 2 representatives of organization
7         licensees conducting thoroughbred race meetings in
8         this State, recommended by those licensees; 2
9         representatives of organization licensees conducting
10         standardbred race meetings in this State, recommended
11         by those licensees; a representative of the Illinois
12         Thoroughbred Breeders and Owners Foundation,
13         recommended by that Foundation; a representative of
14         the Illinois Standardbred Owners and Breeders
15         Association, recommended by that Association; a
16         representative of the Horsemen's Benevolent and
17         Protective Association or any successor organization
18         thereto established in Illinois comprised of the
19         largest number of owners and trainers, recommended by
20         that Association or that successor organization; and a
21         representative of the Illinois Harness Horsemen's
22         Association, recommended by that Association.
23         Committee members shall serve for terms of 2 years,
24         commencing January 1 of each even-numbered year. If a
25         representative of any of the above-named entities has
26         not been recommended by January 1 of any even-numbered

 

 

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1         year, the Governor shall appoint a committee member to
2         fill that position. Committee members shall receive no
3         compensation for their services as members but shall be
4         reimbursed for all actual and necessary expenses and
5         disbursements incurred in the performance of their
6         official duties. The remaining 50% of this
7         two-sevenths shall be distributed to county fairs for
8         premiums and rehabilitation as set forth in the
9         Agricultural Fair Act;
10             Four-sevenths to museums and aquariums located in
11         park districts of over 500,000 population; provided
12         that the monies are distributed in accordance with the
13         previous year's distribution of the maintenance tax
14         for such museums and aquariums as provided in Section 2
15         of the Park District Aquarium and Museum Act; and
16             One-seventh to the Agricultural Premium Fund to be
17         used for distribution to agricultural home economics
18         extension councils in accordance with "An Act in
19         relation to additional support and finances for the
20         Agricultural and Home Economic Extension Councils in
21         the several counties of this State and making an
22         appropriation therefor", approved July 24, 1967. This
23         subparagraph (C) shall be inoperative and of no force
24         and effect on and after January 1, 2000.
25             (D) Except as provided in paragraph (11) of this
26         subsection (h), with respect to purse allocation from

 

 

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1         intertrack wagering, the monies so retained shall be
2         divided as follows:
3                 (i) If the inter-track wagering licensee,
4             except an intertrack wagering licensee that
5             derives its license from an organization licensee
6             located in a county with a population in excess of
7             230,000 and bounded by the Mississippi River, is
8             not conducting its own race meeting during the same
9             dates, then the entire purse allocation shall be to
10             purses at the track where the races wagered on are
11             being conducted.
12                 (ii) If the inter-track wagering licensee,
13             except an intertrack wagering licensee that
14             derives its license from an organization licensee
15             located in a county with a population in excess of
16             230,000 and bounded by the Mississippi River, is
17             also conducting its own race meeting during the
18             same dates, then the purse allocation shall be as
19             follows: 50% to purses at the track where the races
20             wagered on are being conducted; 50% to purses at
21             the track where the inter-track wagering licensee
22             is accepting such wagers.
23                 (iii) If the inter-track wagering is being
24             conducted by an inter-track wagering location
25             licensee, except an intertrack wagering location
26             licensee that derives its license from an

 

 

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1             organization licensee located in a county with a
2             population in excess of 230,000 and bounded by the
3             Mississippi River, the entire purse allocation for
4             Illinois races shall be to purses at the track
5             where the race meeting being wagered on is being
6             held.
7         (12) The Board shall have all powers necessary and
8     proper to fully supervise and control the conduct of
9     inter-track wagering and simulcast wagering by inter-track
10     wagering licensees and inter-track wagering location
11     licensees, including, but not limited to the following:
12             (A) The Board is vested with power to promulgate
13         reasonable rules and regulations for the purpose of
14         administering the conduct of this wagering and to
15         prescribe reasonable rules, regulations and conditions
16         under which such wagering shall be held and conducted.
17         Such rules and regulations are to provide for the
18         prevention of practices detrimental to the public
19         interest and for the best interests of said wagering
20         and to impose penalties for violations thereof.
21             (B) The Board, and any person or persons to whom it
22         delegates this power, is vested with the power to enter
23         the facilities of any licensee to determine whether
24         there has been compliance with the provisions of this
25         Act and the rules and regulations relating to the
26         conduct of such wagering.

 

 

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1             (C) The Board, and any person or persons to whom it
2         delegates this power, may eject or exclude from any
3         licensee's facilities, any person whose conduct or
4         reputation is such that his presence on such premises
5         may, in the opinion of the Board, call into the
6         question the honesty and integrity of, or interfere
7         with the orderly conduct of such wagering; provided,
8         however, that no person shall be excluded or ejected
9         from such premises solely on the grounds of race,
10         color, creed, national origin, ancestry, or sex.
11             (D) (Blank).
12             (E) The Board is vested with the power to appoint
13         delegates to execute any of the powers granted to it
14         under this Section for the purpose of administering
15         this wagering and any rules and regulations
16         promulgated in accordance with this Act.
17             (F) The Board shall name and appoint a State
18         director of this wagering who shall be a representative
19         of the Board and whose duty it shall be to supervise
20         the conduct of inter-track wagering as may be provided
21         for by the rules and regulations of the Board; such
22         rules and regulation shall specify the method of
23         appointment and the Director's powers, authority and
24         duties.
25             (G) The Board is vested with the power to impose
26         civil penalties of up to $5,000 against individuals and

 

 

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1         up to $10,000 against licensees for each violation of
2         any provision of this Act relating to the conduct of
3         this wagering, any rules adopted by the Board, any
4         order of the Board or any other action which in the
5         Board's discretion, is a detriment or impediment to
6         such wagering.
7         (13) The Department of Agriculture may enter into
8     agreements with licensees authorizing such licensees to
9     conduct inter-track wagering on races to be held at the
10     licensed race meetings conducted by the Department of
11     Agriculture. Such agreement shall specify the races of the
12     Department of Agriculture's licensed race meeting upon
13     which the licensees will conduct wagering. In the event
14     that a licensee conducts inter-track pari-mutuel wagering
15     on races from the Illinois State Fair or DuQuoin State Fair
16     which are in addition to the licensee's previously approved
17     racing program, those races shall be considered a separate
18     racing day for the purpose of determining the daily handle
19     and computing the privilege or pari-mutuel tax on that
20     daily handle as provided in Sections 27 and 27.1. Such
21     agreements shall be approved by the Board before such
22     wagering may be conducted. In determining whether to grant
23     approval, the Board shall give due consideration to the
24     best interests of the public and of horse racing. The
25     provisions of paragraphs (1), (8), (8.1), and (8.2) of
26     subsection (h) of this Section which are not specified in

 

 

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1     this paragraph (13) shall not apply to licensed race
2     meetings conducted by the Department of Agriculture at the
3     Illinois State Fair in Sangamon County or the DuQuoin State
4     Fair in Perry County, or to any wagering conducted on those
5     race meetings.
6     (i) Notwithstanding the other provisions of this Act, the
7 conduct of wagering at wagering facilities is authorized on all
8 days, except as limited by subsection (b) of Section 19 of this
9 Act.
10 (Source: P.A. 91-40, eff. 6-25-99; 92-211, eff. 8-2-01.)
 
11     (230 ILCS 5/28.1)
12     Sec. 28.1. Payments.
13     (a) Beginning on January 1, 2000, moneys collected by the
14 Department of Revenue and the Racing Board pursuant to Section
15 26 or Section 27 of this Act shall be deposited into the Horse
16 Racing Fund, which is hereby created as a special fund in the
17 State Treasury.
18     (b) Appropriations, as approved by the General Assembly,
19 may be made from the Horse Racing Fund to the Board to pay the
20 salaries of the Board members, secretary, stewards, directors
21 of mutuels, veterinarians, representatives, accountants,
22 clerks, stenographers, inspectors and other employees of the
23 Board, and all expenses of the Board incident to the
24 administration of this Act, including, but not limited to, all
25 expenses and salaries incident to the taking of saliva and

 

 

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1 urine samples in accordance with the rules and regulations of
2 the Board.
3     (c) Beginning on January 1, 2000, the Board shall transfer
4 the remainder of the funds generated pursuant to Sections 26
5 and 27 from the Horse Racing Fund into the General Revenue
6 Fund.
7     (d) Beginning January 1, 2000, payments to all programs in
8 existence on the effective date of this amendatory Act of 1999
9 that are identified in Sections 26(c), 26(f), 26(h)(11)(C), and
10 28, subsections (a), (b), (c), (d), (e), (f), (g), and (h) of
11 Section 30, and subsections (a), (b), (c), (d), (e), (f), (g),
12 and (h) of Section 31 shall be made from the General Revenue
13 Fund at the funding levels determined by amounts paid under
14 this Act in calendar year 1998. Beginning on the effective date
15 of this amendatory Act of the 93rd General Assembly, payments
16 to the Peoria Park District shall be made from the General
17 Revenue Fund at the funding level determined by amounts paid to
18 that park district for museum purposes under this Act in
19 calendar year 1994. Beginning on the effective date of this
20 amendatory Act of the 94th General Assembly, in lieu of
21 payments to the Champaign Park District for museum purposes,
22 payments to the Urbana Park District shall be made from the
23 General Revenue Fund at the funding level determined by amounts
24 paid to the Champaign Park District for museum purposes under
25 this Act in calendar year 2005.
26     (e) Beginning July 1, 2006, the payment authorized under

 

 

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1 subsection (d) to museums and aquariums located in park
2 districts of over 500,000 population shall be paid to museums,
3 aquariums, and zoos in amounts determined by Museums in the
4 Park, an association of museums, aquariums, and zoos located on
5 Chicago Park District property.
6     (f) Beginning July 1, 2007, the Children's Discovery Museum
7 in Normal, Illinois shall receive payments from the General
8 Revenue Fund at the funding level determined by the amounts
9 paid to the Miller Park Zoo in Bloomington, Illinois under this
10 Section in calendar year 2006.
11     (g) Notwithstanding any other provision of this Act to the
12 contrary, appropriations, as approved by the General Assembly,
13 may be made from the Fair and Exposition Fund to the Department
14 of Agriculture for distribution to Illinois county fairs to
15 supplement premiums offered in junior classes.
16 (Source: P.A. 94-813, eff. 5-26-06; 95-222, eff. 8-16-07.)
 
17     (230 ILCS 5/31)   (from Ch. 8, par. 37-31)
18     Sec. 31. (a) The General Assembly declares that it is the
19 policy of this State to encourage the breeding of standardbred
20 horses in this State and the ownership of such horses by
21 residents of this State in order to provide for: sufficient
22 numbers of high quality standardbred horses to participate in
23 harness racing meetings in this State, and to establish and
24 preserve the agricultural and commercial benefits of such
25 breeding and racing industries to the State of Illinois. It is

 

 

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1 the intent of the General Assembly to further this policy by
2 the provisions of this Section of this Act.
3     (b) Each organization licensee conducting a harness racing
4 meeting pursuant to this Act shall provide for at least two
5 races each race program limited to Illinois conceived and
6 foaled horses. A minimum of 6 races shall be conducted each
7 week limited to Illinois conceived and foaled horses. No horses
8 shall be permitted to start in such races unless duly
9 registered under the rules of the Department of Agriculture.
10     (b-5) Each organization licensee conducting a harness
11 racing meeting pursuant to this Act shall provide stakes races
12 and early closer races for Illinois conceived and foaled horses
13 so the total purses distributed for such races shall be no less
14 than 17% of the total purses distributed at the meeting.
15     (b-10) Each organization licensee conducting a harness
16 racing meeting pursuant to this Act shall provide an owner
17 award to be paid from the purse account equal to 25% of the
18 amount earned by Illinois conceived and foaled horses in races
19 that are not restricted to Illinois conceived and foaled
20 horses.
21     (c) Conditions of races under subsection (b) shall be
22 commensurate with past performance, quality and class of
23 Illinois conceived and foaled horses available. If, however,
24 sufficient competition cannot be had among horses of that class
25 on any day, the races may, with consent of the Board, be
26 eliminated for that day and substitute races provided.

 

 

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1     (d) There is hereby created a special fund of the State
2 Treasury to be known as the Illinois Standardbred Breeders
3 Fund.
4     During the calendar year 1981, and each year thereafter,
5 except as provided in subsection (g) of Section 27 of this Act,
6 eight and one-half per cent of all the monies received by the
7 State as privilege taxes on harness racing meetings shall be
8 paid into the Illinois Standardbred Breeders Fund.
9     (e) The Illinois Standardbred Breeders Fund shall be
10 administered by the Department of Agriculture with the
11 assistance and advice of the Advisory Board created in
12 subsection (f) of this Section.
13     (f) The Illinois Standardbred Breeders Fund Advisory Board
14 is hereby created. The Advisory Board shall consist of the
15 Director of the Department of Agriculture, who shall serve as
16 Chairman; the Superintendent of the Illinois State Fair; a
17 member of the Illinois Racing Board, designated by it; a
18 representative of the Illinois Standardbred Owners and
19 Breeders Association, recommended by it; a representative of
20 the Illinois Association of Agricultural Fairs, recommended by
21 it, such representative to be from a fair at which Illinois
22 conceived and foaled racing is conducted; a representative of
23 the organization licensees conducting harness racing meetings,
24 recommended by them and a representative of the Illinois
25 Harness Horsemen's Association, recommended by it. Advisory
26 Board members shall serve for 2 years commencing January 1, of

 

 

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1 each odd numbered year. If representatives of the Illinois
2 Standardbred Owners and Breeders Associations, the Illinois
3 Association of Agricultural Fairs, the Illinois Harness
4 Horsemen's Association, and the organization licensees
5 conducting harness racing meetings have not been recommended by
6 January 1, of each odd numbered year, the Director of the
7 Department of Agriculture shall make an appointment for the
8 organization failing to so recommend a member of the Advisory
9 Board. Advisory Board members shall receive no compensation for
10 their services as members but shall be reimbursed for all
11 actual and necessary expenses and disbursements incurred in the
12 execution of their official duties.
13     (g) No monies shall be expended from the Illinois
14 Standardbred Breeders Fund except as appropriated by the
15 General Assembly. Monies appropriated from the Illinois
16 Standardbred Breeders Fund shall be expended by the Department
17 of Agriculture, with the assistance and advice of the Illinois
18 Standardbred Breeders Fund Advisory Board for the following
19 purposes only:
20         1. To provide purses for races limited to Illinois
21     conceived and foaled horses at the State Fair and the
22     DuQuoin State Fair.
23         2. To provide purses for races limited to Illinois
24     conceived and foaled horses at county fairs.
25         3. To provide purse supplements for races limited to
26     Illinois conceived and foaled horses conducted by

 

 

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1     associations conducting harness racing meetings.
2         4. No less than 75% of all monies in the Illinois
3     Standardbred Breeders Fund shall be expended for purses in
4     1, 2 and 3 as shown above.
5         5. In the discretion of the Department of Agriculture
6     to provide awards to harness breeders of Illinois conceived
7     and foaled horses which win races conducted by organization
8     licensees conducting harness racing meetings. A breeder is
9     the owner of a mare at the time of conception. No more than
10     10% of all monies appropriated from the Illinois
11     Standardbred Breeders Fund shall be expended for such
12     harness breeders awards. No more than 25% of the amount
13     expended for harness breeders awards shall be expended for
14     expenses incurred in the administration of such harness
15     breeders awards.
16         6. To pay for the improvement of racing facilities
17     located at the State Fair and County fairs.
18         7. To pay the expenses incurred in the administration
19     of the Illinois Standardbred Breeders Fund.
20         8. To promote the sport of harness racing, including
21     grants up to a maximum of $7,500 per fair per year for the
22     cost of a totalizer system to be used for conducting
23     pari-mutuel wagering during the advertised dates of a
24     county fair.
25     (h) Whenever the Governor finds that the amount in the
26 Illinois Standardbred Breeders Fund is more than the total of

 

 

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1 the outstanding appropriations from such fund, the Governor
2 shall notify the State Comptroller and the State Treasurer of
3 such fact. The Comptroller and the State Treasurer, upon
4 receipt of such notification, shall transfer such excess amount
5 from the Illinois Standardbred Breeders Fund to the General
6 Revenue Fund.
7     (i) A sum equal to 12 1/2% of the first prize money of the
8 gross every purse won by an Illinois conceived and foaled horse
9 shall be paid by the organization licensee conducting the horse
10 race meeting to the breeder of such winning horse from the
11 organization licensee's account share of the money wagered.
12 Such payment shall not reduce any award to the owner of the
13 horse or reduce the taxes payable under this Act. Such payment
14 shall be delivered by the organization licensee at the end of
15 each month race meeting.
16     (j) The Department of Agriculture shall, by rule, with the
17 assistance and advice of the Illinois Standardbred Breeders
18 Fund Advisory Board:
19     1. Qualify stallions for Illinois Standardbred Breeders
20 Fund breeding; such stallion shall be owned by a resident of
21 the State of Illinois or by an Illinois corporation all of
22 whose shareholders, directors, officers and incorporators are
23 residents of the State of Illinois. Such stallion shall stand
24 for service at and within the State of Illinois at the time of
25 a foal's conception, and such stallion must not stand for
26 service at any place, nor may semen from such stallion be

 

 

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1 transported, outside the State of Illinois during that calendar
2 year in which the foal is conceived and that the owner of the
3 stallion was for the 12 months prior, a resident of Illinois.
4 The articles of agreement of any partnership, joint venture,
5 limited partnership, syndicate, association or corporation and
6 any bylaws and stock certificates must contain a restriction
7 that provides that the ownership or transfer of interest by any
8 one of the persons a party to the agreement can only be made to
9 a person who qualifies as an Illinois resident. Foals conceived
10 outside the State of Illinois from shipped semen from a
11 stallion qualified for breeders' awards under this Section are
12 not eligible to participate in the Illinois conceived and
13 foaled program.
14     2. Provide for the registration of Illinois conceived and
15 foaled horses and no such horse shall compete in the races
16 limited to Illinois conceived and foaled horses unless
17 registered with the Department of Agriculture. The Department
18 of Agriculture may prescribe such forms as may be necessary to
19 determine the eligibility of such horses. No person shall
20 knowingly prepare or cause preparation of an application for
21 registration of such foals containing false information. A mare
22 (dam) must be in the state at least 30 days prior to foaling or
23 remain in the State at least 30 days at the time of foaling.
24 Beginning with the 1996 breeding season and for foals of 1997
25 and thereafter, a foal conceived in the State of Illinois by
26 transported fresh semen may be eligible for Illinois conceived

 

 

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1 and foaled registration provided all breeding and foaling
2 requirements are met. The stallion must be qualified for
3 Illinois Standardbred Breeders Fund breeding at the time of
4 conception and the mare must be inseminated within the State of
5 Illinois. The foal must be dropped in Illinois and properly
6 registered with the Department of Agriculture in accordance
7 with this Act.
8     3. Provide that at least a 5 day racing program shall be
9 conducted at the State Fair each year, which program shall
10 include at least the following races limited to Illinois
11 conceived and foaled horses: (a) a two year old Trot and Pace,
12 and Filly Division of each; (b) a three year old Trot and Pace,
13 and Filly Division of each; (c) an aged Trot and Pace, and Mare
14 Division of each.
15     4. Provide for the payment of nominating, sustaining and
16 starting fees for races promoting the sport of harness racing
17 and for the races to be conducted at the State Fair as provided
18 in subsection (j) 3 of this Section provided that the
19 nominating, sustaining and starting payment required from an
20 entrant shall not exceed 2% of the purse of such race. All
21 nominating, sustaining and starting payments shall be held for
22 the benefit of entrants and shall be paid out as part of the
23 respective purses for such races. Nominating, sustaining and
24 starting fees shall be held in trust accounts for the purposes
25 as set forth in this Act and in accordance with Section 205-15
26 of the Department of Agriculture Law (20 ILCS 205/205-15).

 

 

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1     5. Provide for the registration with the Department of
2 Agriculture of Colt Associations or county fairs desiring to
3 sponsor races at county fairs.
4     (k) The Department of Agriculture, with the advice and
5 assistance of the Illinois Standardbred Breeders Fund Advisory
6 Board, may allocate monies for purse supplements for such
7 races. In determining whether to allocate money and the amount,
8 the Department of Agriculture shall consider factors,
9 including but not limited to, the amount of money appropriated
10 for the Illinois Standardbred Breeders Fund program, the number
11 of races that may occur, and an organizational licensee's purse
12 structure. The organizational licensee shall notify the
13 Department of Agriculture of the conditions and minimum purses
14 for races limited to Illinois conceived and foaled horses to be
15 conducted by each organizational licensee conducting a harness
16 racing meeting for which purse supplements have been
17 negotiated.
18     (l) All races held at county fairs and the State Fair which
19 receive funds from the Illinois Standardbred Breeders Fund
20 shall be conducted in accordance with the rules of the United
21 States Trotting Association unless otherwise modified by the
22 Department of Agriculture.
23     (m) At all standardbred race meetings held or conducted
24 under authority of a license granted by the Board, and at all
25 standardbred races held at county fairs which are approved by
26 the Department of Agriculture or at the Illinois or DuQuoin

 

 

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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, which
4 meets the standards and requirements as set forth in the 1984
5 Standard for Protective Headgear for Use in Harness Racing and
6 Other Equestrian Sports published by the Snell Memorial
7 Foundation, or any standards and requirements for headgear the
8 Illinois Racing Board may approve. Any other standards and
9 requirements so approved by the Board shall equal or exceed
10 those published by the Snell Memorial Foundation. Any
11 equestrian helmet bearing the Snell label shall be deemed to
12 have met those standards and requirements.
13 (Source: P.A. 91-239, eff. 1-1-00.)
 
14     Section 90-30. The Riverboat Gambling Act is amended by
15 changing Sections 1, 2, 3, 4, 5, 5.1, 6, 7, 7.1, 7.3, 8, 9, 11,
16 11.1, 12, 13, 14, 18, 19, and 20 and by adding Sections 7.6,
17 7.7, 7.8, 7.10, and 7.14 as follows:
 
18     (230 ILCS 10/1)  (from Ch. 120, par. 2401)
19     Sec. 1. Short title. This Act shall be known and may be
20 cited as the Illinois Riverboat Gambling Act.
21 (Source: P.A. 86-1029.)
 
22     (230 ILCS 10/2)  (from Ch. 120, par. 2402)
23     Sec. 2. Legislative Intent.

 

 

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1     (a) This Act is intended to benefit the people of the State
2 of Illinois by assisting economic development and promoting
3 Illinois tourism and by increasing the amount of revenues
4 available to the State to assist and support education.
5     (b) While authorization of riverboat and casino gambling
6 will enhance investment, development and tourism in Illinois,
7 it is recognized that it will do so successfully only if public
8 confidence and trust in the credibility and integrity of the
9 gambling operations and the regulatory process is maintained.
10 Therefore, regulatory provisions of this Act are designed to
11 strictly regulate the facilities, persons, associations and
12 practices related to gambling operations pursuant to the police
13 powers of the State, including comprehensive law enforcement
14 supervision.
15     (c) The Illinois Gaming Board established under this Act
16 should, as soon as possible, inform each applicant for an
17 owners license of the Board's intent to grant or deny a
18 license.
19 (Source: P.A. 93-28, eff. 6-20-03.)
 
20     (230 ILCS 10/3)   (from Ch. 120, par. 2403)
21     Sec. 3. Riverboat Gambling Authorized.
22     (a) Riverboat and casino gambling operations and
23 electronic gaming operations and the system of wagering
24 incorporated therein, as defined in this Act, are hereby
25 authorized to the extent that they are carried out in

 

 

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1 accordance with the provisions of this Act.
2     (b) This Act does not apply to the pari-mutuel system of
3 wagering used or intended to be used in connection with the
4 horse-race meetings as authorized under the Illinois Horse
5 Racing Act of 1975, lottery games authorized under the Illinois
6 Lottery Law, bingo authorized under the Bingo License and Tax
7 Act, charitable games authorized under the Charitable Games Act
8 or pull tabs and jar games conducted under the Illinois Pull
9 Tabs and Jar Games Act. This Act does apply to electronic
10 gaming authorized under the Illinois Horse Racing Act of 1975
11 to the extent provided in that Act and in this Act.
12     (c) Riverboat gambling conducted pursuant to this Act may
13 be authorized upon any water within the State of Illinois or
14 any water other than Lake Michigan which constitutes a boundary
15 of the State of Illinois. Notwithstanding any provision in this
16 subsection (c) to the contrary, a licensee that receives its
17 license pursuant to subsection (e-5) of Section 7 may conduct
18 riverboat gambling on Lake Michigan from a home dock located on
19 Lake Michigan subject to any limitations contained in Section
20 7. Notwithstanding any provision in this subsection (c) to the
21 contrary, a licensee may conduct gambling at its home dock
22 facility as provided in Sections 7 and 11. A licensee may
23 conduct riverboat gambling authorized under this Act
24 regardless of whether it conducts excursion cruises. A licensee
25 may permit the continuous ingress and egress of passengers for
26 the purpose of gambling.

 

 

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1     (d) Gambling that is conducted in accordance with this Act
2 using slot machines shall be authorized at the race track of an
3 organization licensee under the Illinois Horse Racing Act of
4 1975 as provided in this Act.
5 (Source: P.A. 91-40, eff. 6-25-99.)
 
6     (230 ILCS 10/4)  (from Ch. 120, par. 2404)
7     Sec. 4. Definitions. As used in this Act:
8     (a) "Board" means the Illinois Gaming Board.
9     (b) "Occupational license" means a license issued by the
10 Board to a person or entity to perform an occupation which the
11 Board has identified as requiring a license to engage in
12 riverboat or casino gambling in Illinois.
13     (c) "Gambling game" includes, but is not limited to,
14 baccarat, twenty-one, poker, craps, slot machine, video game of
15 chance, roulette wheel, klondike table, punchboard, faro
16 layout, keno layout, numbers ticket, push card, jar ticket, or
17 pull tab which is authorized by the Board as a wagering device
18 under this Act.
19     (d) "Riverboat" means a self-propelled excursion boat, a
20 permanently moored barge, or permanently moored barges that are
21 permanently fixed together to operate as one vessel, on which
22 lawful gambling is authorized and licensed as provided in this
23 Act.
24     (e) "Managers license" means a license issued by the Board
25 to a person or entity to manage gambling operations conducted

 

 

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1 by the State pursuant to Section 7.3.
2     (f) "Dock" means the location where a riverboat moors for
3 the purpose of embarking passengers for and disembarking
4 passengers from the riverboat.
5     (g) "Gross receipts" means the total amount of money
6 exchanged for the purchase of chips, tokens or electronic cards
7 by riverboat or casino patrons or electronic gaming operation
8 patrons.
9     (h) "Adjusted gross receipts" means the gross receipts less
10 winnings paid to wagerers.
11     (i) "Cheat" means to alter the selection of criteria which
12 determine the result of a gambling game or the amount or
13 frequency of payment in a gambling game.
14     (j) "Department" means the Department of Revenue.
15     (k) "Gambling operation" means the conduct of authorized
16 gambling games authorized under this Act on upon a riverboat or
17 in a casino or authorized under this Act and the Illinois Horse
18 Racing Act of 1975 at an electronic gaming facility.
19     (l) "License bid" means the lump sum amount of money that
20 an applicant bids and agrees to pay the State in return for an
21 owners license that is re-issued on or after July 1, 2003.
22     (m) The terms "minority person" and "female" shall have the
23 same meaning as defined in Section 2 of the Business Enterprise
24 for Minorities, Females, and Persons with Disabilities Act.
25     "Casino" means a land-based facility at which lawful
26 gambling is authorized as provided in this Act.

 

 

09600SB0744sam005 - 111 - LRB096 06812 AMC 27033 a

1     "Owners license" means a license to conduct riverboat or
2 casino gambling operations, but does not include an electronic
3 gaming license.
4     "Licensed owner" means a person who holds an owners
5 license.
6     "Electronic gaming license" means a license issued by the
7 Board under Section 7.6 of this Act authorizing electronic
8 gaming at an electronic gaming facility.
9     "Electronic gaming" means slot machine gambling, video
10 games of chance, and electronic gambling games that are
11 conducted at a race track licensed under the Illinois Horse
12 Racing Act of 1975 pursuant to an electronic gaming license.
13     "Electronic gaming facility" means the area where the Board
14 has authorized limited electronic gaming by an electronic
15 gaming license at a race track of an organization licensee
16 under the Illinois Horse Racing Act of 1975.
17     "Organization licensee" means an entity authorized by the
18 Illinois Racing Board to conduct pari-mutuel wagering in
19 accordance with the Illinois Horse Racing Act of 1975.
20     "Casino operator license" means the license held by the
21 person or entity selected by the Chicago Casino Development
22 Authority to manage and operate a riverboat or casino within
23 the geographic area of the authorized municipality pursuant to
24 this Act and the Chicago Casino Development Authority Act.
25 (Source: P.A. 95-331, eff. 8-21-07.)
 

 

 

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1     (230 ILCS 10/5)   (from Ch. 120, par. 2405)
2     Sec. 5. Gaming Board.
3     (a) (1) There is hereby established within the Department
4 of Revenue an Illinois Gaming Board which shall have the powers
5 and duties specified in this Act, and all other powers
6 necessary and proper to fully and effectively execute this Act
7 for the purpose of administering, regulating, and enforcing the
8 system of riverboat and casino gambling and electronic gaming
9 established by this Act. Its jurisdiction shall extend under
10 this Act to every person, association, corporation,
11 partnership and trust involved in riverboat and casino gambling
12 operations and electronic gaming in the State of Illinois.
13     (2) The Board shall consist of 5 members to be appointed by
14 the Governor with the advice and consent of the Senate, one of
15 whom shall be designated by the Governor to be chairperson
16 chairman. Each member shall have a reasonable knowledge of the
17 practice, procedure and principles of gambling operations. At
18 least 3 members must have personal experience working in the
19 gaming industry whether it be in the State of Illinois or
20 elsewhere. Each member shall either be a resident of Illinois
21 or shall certify that he or she will become a resident of
22 Illinois before taking office. Notwithstanding any provision
23 of this Section to the contrary, the term of office of each
24 member of the Board ends on the effective date of this
25 amendatory Act of the 96th General Assembly and those members
26 shall hold office only until their successors are appointed and

 

 

09600SB0744sam005 - 113 - LRB096 06812 AMC 27033 a

1 qualified pursuant to this amendatory Act.
2     No more than 3 members of the Board may be from the same
3 political party. No more than 3 members may reside within Cook,
4 Will, Lake, DuPage, or Kane County. The Board should reflect
5 the ethnic, cultural, and geographic diversity of the State. No
6 Board member, within a period of one year immediately preceding
7 nomination by the Governor or the expectation of his or her
8 term or separation from the Board, shall have been employed or
9 received compensation or fees for services from a person or
10 entity, or its parent or affiliate, that has engaged in
11 business with the Board, a licensee, or a licensee under the
12 Horse Racing Act of 1975. This prohibition shall apply
13 additionally for one year immediately after the expiration of
14 his or her term or separation from the Board. At least one
15 member shall be experienced in law enforcement and criminal
16 investigation, at least one member shall be a certified public
17 accountant experienced in accounting and auditing, and at least
18 one member shall be a lawyer licensed to practice law in
19 Illinois.
20     (3) The terms of office of the Board members shall be 3
21 years, except that the terms of office of the initial Board
22 members appointed pursuant to this amendatory Act of the 96th
23 General Assembly Act will commence from the effective date of
24 this amendatory Act and run as follows, to be determined by
25 lot: one for a term ending July 1 of the year following
26 confirmation , 1991, one 2 for a term ending July 1 two years

 

 

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1 following confirmation , 1992, one and 2 for a term ending July
2 1 three years following confirmation, and 2 for a term ending
3 July 1 four years following confirmation 1993. Upon the
4 expiration of the foregoing terms, the successors of such
5 members shall serve a term for 3 years and until their
6 successors are appointed and qualified for like terms.
7 Vacancies in the Board shall be filled for the unexpired term
8 in like manner as original appointments. Each member of the
9 Board shall be eligible for reappointment at the discretion of
10 the Governor with the advice and consent of the Senate.
11     Until all 5 members of the Board are appointed and
12 qualified pursuant to this amendatory Act of the 96th General
13 Assembly, the Illinois Gaming Board may not act with regard to
14 any license that has not been granted by January 1, 2010;
15 however, the Board may issue electronic gaming licenses
16 pursuant to this amendatory Act.
17     (4) Each member of the Board shall receive $300 for each
18 day the Board meets and for each day the member conducts any
19 hearing pursuant to this Act. Each member of the Board shall
20 also be reimbursed for all actual and necessary expenses and
21 disbursements incurred in the execution of official duties.
22     (5) No person shall be appointed a member of the Board or
23 continue to be a member of the Board who is, or whose spouse,
24 child or parent is, a member of the board of directors of, or a
25 person financially interested in, any gambling operation
26 subject to the jurisdiction of this Board, or any race track,

 

 

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1 race meeting, racing association or the operations thereof
2 subject to the jurisdiction of the Illinois Racing Board. No
3 Board member shall hold any other public office for which he
4 shall receive compensation other than necessary travel or other
5 incidental expenses. No person shall be a member of the Board
6 who is not of good moral character or who has been convicted
7 of, or is under indictment for, a felony under the laws of
8 Illinois or any other state, or the United States.
9     (6) Any member of the Board may be removed by the Governor
10 for neglect of duty, misfeasance, malfeasance, or nonfeasance
11 in office or for engaging in any political activity.
12     (7) Before entering upon the discharge of the duties of his
13 office, each member of the Board shall take an oath that he
14 will faithfully execute the duties of his office according to
15 the laws of the State and the rules and regulations adopted
16 therewith and shall give bond to the State of Illinois,
17 approved by the Governor, in the sum of $25,000. Every such
18 bond, when duly executed and approved, shall be recorded in the
19 office of the Secretary of State. Whenever the Governor
20 determines that the bond of any member of the Board has become
21 or is likely to become invalid or insufficient, he shall
22 require such member forthwith to renew his bond, which is to be
23 approved by the Governor. Any member of the Board who fails to
24 take oath and give bond within 30 days from the date of his
25 appointment, or who fails to renew his bond within 30 days
26 after it is demanded by the Governor, shall be guilty of

 

 

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1 neglect of duty and may be removed by the Governor. The cost of
2 any bond given by any member of the Board under this Section
3 shall be taken to be a part of the necessary expenses of the
4 Board.
5     (8) The Upon the request of the Board, the Department shall
6 employ such personnel as may be necessary to carry out its the
7 functions and shall determine the salaries of all personnel,
8 except those personnel whose salaries are determined under the
9 terms of a collective bargaining agreement of the Board. No
10 person shall be employed to serve the Board who is, or whose
11 spouse, parent or child is, an official of, or has a financial
12 interest in or financial relation with, any operator engaged in
13 gambling operations within this State or any organization
14 engaged in conducting horse racing within this State. For the
15 one year immediately preceding employment, an employee shall
16 not have been employed or received compensation or fees for
17 services from a person or entity, or its parent or affiliate,
18 that has engaged in business with the Board, a licensee, or a
19 licensee under the Horse Racing Act of 1975. Any employee
20 violating these prohibitions shall be subject to termination of
21 employment. In addition, no employee shall for one year after
22 separation from the Board be employed or receive compensation
23 or fees from the before-mentioned persons or entities.
24     (9) An Administrator shall be appointed by the Governor
25 with the advice and consent of the Senate. An Administrator
26 shall perform any and all duties that the Board shall assign

 

 

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1 him. The salary of the Administrator shall be determined by the
2 Board and approved by the Director of the Department and, in
3 addition, he shall be reimbursed for all actual and necessary
4 expenses incurred by him in discharge of his official duties.
5 The Administrator shall keep records of all proceedings of the
6 Board and shall preserve all records, books, documents and
7 other papers belonging to the Board or entrusted to its care.
8 The Administrator shall devote his full time to the duties of
9 the office and shall not hold any other office or employment.
10 In addition to other prescribed duties, the Administrator shall
11 establish a system by which personnel assisting the Board
12 regarding the issuance of owner's licenses, whether it be
13 relocation, re-issuance, or the initial issuance, shall be
14 assigned specific duties in each instance, thereby preventing a
15 conflict of interest in regards to the decision-making process.
16 A conflict of interest exists if a situation influences or
17 creates the appearance that it may influence judgment or
18 performance of duties or responsibilities.
19     (b) The Board shall have general responsibility for the
20 implementation of this Act. Its duties include, without
21 limitation, the following:
22         (1) To decide promptly and in reasonable order all
23     license applications. Any party aggrieved by an action of
24     the Board denying, suspending, revoking, restricting or
25     refusing to renew a license may request a hearing before
26     the Board. A request for a hearing must be made to the

 

 

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1     Board in writing within 5 days after service of notice of
2     the action of the Board. Notice of the action of the Board
3     shall be served either by personal delivery or by certified
4     mail, postage prepaid, to the aggrieved party. Notice
5     served by certified mail shall be deemed complete on the
6     business day following the date of such mailing. The Board
7     shall conduct all requested hearings promptly and in
8     reasonable order;
9         (2) To conduct all hearings pertaining to civil
10     violations of this Act or rules and regulations promulgated
11     hereunder;
12         (3) To promulgate such rules and regulations as in its
13     judgment may be necessary to protect or enhance the
14     credibility and integrity of gambling operations
15     authorized by this Act and the regulatory process
16     hereunder;
17         (4) To provide for the establishment and collection of
18     all license and registration fees and taxes imposed by this
19     Act and the rules and regulations issued pursuant hereto.
20     All such fees and taxes shall be deposited into the State
21     Gaming Fund;
22         (5) To provide for the levy and collection of penalties
23     and fines for the violation of provisions of this Act and
24     the rules and regulations promulgated hereunder. All such
25     fines and penalties shall be deposited into the Education
26     Assistance Fund, created by Public Act 86-0018, of the

 

 

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1     State of Illinois;
2         (6) To be present through its inspectors and agents any
3     time gambling operations are conducted on any riverboat, in
4     any casino, or at any electronic gaming facility for the
5     purpose of certifying the revenue thereof, receiving
6     complaints from the public, and conducting such other
7     investigations into the conduct of the gambling games and
8     the maintenance of the equipment as from time to time the
9     Board may deem necessary and proper;
10         (7) To review and rule upon any complaint by a licensee
11     regarding any investigative procedures of the State which
12     are unnecessarily disruptive of gambling operations. The
13     need to inspect and investigate shall be presumed at all
14     times. The disruption of a licensee's operations shall be
15     proved by clear and convincing evidence, and establish
16     that: (A) the procedures had no reasonable law enforcement
17     purposes, and (B) the procedures were so disruptive as to
18     unreasonably inhibit gambling operations;
19         (8) To hold at least one meeting each quarter of the
20     fiscal year. In addition, special meetings may be called by
21     the Chairman or any 2 Board members upon 72 hours written
22     notice to each member. All Board meetings shall be subject
23     to the Open Meetings Act. Three members of the Board shall
24     constitute a quorum, and 3 votes shall be required for any
25     final determination by the Board. The Board shall keep a
26     complete and accurate record of all its meetings. A

 

 

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1     majority of the members of the Board shall constitute a
2     quorum for the transaction of any business, for the
3     performance of any duty, or for the exercise of any power
4     which this Act requires the Board members to transact,
5     perform or exercise en banc, except that, upon order of the
6     Board, one of the Board members or an administrative law
7     judge designated by the Board may conduct any hearing
8     provided for under this Act or by Board rule and may
9     recommend findings and decisions to the Board. The Board
10     member or administrative law judge conducting such hearing
11     shall have all powers and rights granted to the Board in
12     this Act. The record made at the time of the hearing shall
13     be reviewed by the Board, or a majority thereof, and the
14     findings and decision of the majority of the Board shall
15     constitute the order of the Board in such case;
16         (9) To maintain records which are separate and distinct
17     from the records of any other State board or commission.
18     Such records shall be available for public inspection and
19     shall accurately reflect all Board proceedings;
20         (10) To file a written annual report with the Governor
21     on or before March 1 each year and such additional reports
22     as the Governor may request. The annual report shall
23     include a statement of receipts and disbursements by the
24     Board, actions taken by the Board, and any additional
25     information and recommendations which the Board may deem
26     valuable or which the Governor may request;

 

 

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1         (11) (Blank); and
2         (12) To assume responsibility for the administration
3     and enforcement of the Bingo License and Tax Act, the
4     Charitable Games Act, and the Pull Tabs and Jar Games Act
5     if such responsibility is delegated to it by the Director
6     of Revenue; and .
7         (13) To assume responsibility for the administration
8     and enforcement of operations at electronic gaming
9     facilities pursuant to this Act and the Illinois Horse
10     Racing Act of 1975.
11     (c) The Board shall have jurisdiction over and shall
12 supervise all gambling operations governed by this Act. The
13 Board shall have all powers necessary and proper to fully and
14 effectively execute the provisions of this Act, including, but
15 not limited to, the following:
16         (1) To investigate applicants and determine the
17     eligibility of applicants for licenses and to select among
18     competing applicants the applicants which best serve the
19     interests of the citizens of Illinois.
20         (2) To have jurisdiction and supervision over all
21     riverboat gambling operations authorized under this Act in
22     this State and all persons in places on riverboats where
23     gambling operations are conducted.
24         (3) To promulgate rules and regulations for the purpose
25     of administering the provisions of this Act and to
26     prescribe rules, regulations and conditions under which

 

 

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1     all riverboat gambling operations subject to this Act in
2     the State shall be conducted. Such rules and regulations
3     are to provide for the prevention of practices detrimental
4     to the public interest and for the best interests of
5     riverboat gambling, including rules and regulations
6     regarding the inspection of electronic gaming facilities,
7     casinos, and such riverboats and the review of any permits
8     or licenses necessary to operate a riverboat, casino, or
9     electronic gaming facilities under any laws or regulations
10     applicable to riverboats, casinos, or electronic gaming
11     facilities and to impose penalties for violations thereof.
12         (4) To enter the office, riverboats, casinos,
13     electronic gaming facilities, and other facilities, or
14     other places of business of a licensee, where evidence of
15     the compliance or noncompliance with the provisions of this
16     Act is likely to be found.
17         (5) To investigate alleged violations of this Act or
18     the rules of the Board and to take appropriate disciplinary
19     action against a licensee or a holder of an occupational
20     license for a violation, or institute appropriate legal
21     action for enforcement, or both.
22         (6) To adopt standards for the licensing of all persons
23     under this Act, as well as for electronic or mechanical
24     gambling games, and to establish fees for such licenses.
25         (7) To adopt appropriate standards for all electronic
26     gaming facilities, riverboats, casinos, and other

 

 

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1     facilities authorized under this Act.
2         (8) To require that the records, including financial or
3     other statements of any licensee under this Act, shall be
4     kept in such manner as prescribed by the Board and that any
5     such licensee involved in the ownership or management of
6     gambling operations submit to the Board an annual balance
7     sheet and profit and loss statement, list of the
8     stockholders or other persons having a 1% or greater
9     beneficial interest in the gambling activities of each
10     licensee, and any other information the Board deems
11     necessary in order to effectively administer this Act and
12     all rules, regulations, orders and final decisions
13     promulgated under this Act.
14         (9) To conduct hearings, issue subpoenas for the
15     attendance of witnesses and subpoenas duces tecum for the
16     production of books, records and other pertinent documents
17     in accordance with the Illinois Administrative Procedure
18     Act, and to administer oaths and affirmations to the
19     witnesses, when, in the judgment of the Board, it is
20     necessary to administer or enforce this Act or the Board
21     rules.
22         (10) To prescribe a form to be used by any licensee
23     involved in the ownership or management of gambling
24     operations as an application for employment for their
25     employees.
26         (11) To revoke or suspend licenses, as the Board may

 

 

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1     see fit and in compliance with applicable laws of the State
2     regarding administrative procedures, and to review
3     applications for the renewal of licenses. The Board may
4     suspend an owners license, electronic gaming license, or
5     electronic gaming facility license, without notice or
6     hearing, upon a determination that the safety or health of
7     patrons or employees is jeopardized by continuing a
8     gambling operation conducted under that license a
9     riverboat's operation. The suspension may remain in effect
10     until the Board determines that the cause for suspension
11     has been abated. The Board may revoke the owners license,
12     electronic gaming license, or electric gaming facility
13     license upon a determination that the licensee owner has
14     not made satisfactory progress toward abating the hazard.
15         (12) To eject or exclude or authorize the ejection or
16     exclusion of, any person from riverboat gambling
17     facilities where that such person is in violation of this
18     Act, rules and regulations thereunder, or final orders of
19     the Board, or where such person's conduct or reputation is
20     such that his or her presence within the riverboat gambling
21     facilities may, in the opinion of the Board, call into
22     question the honesty and integrity of the gambling
23     operations or interfere with the orderly conduct thereof;
24     provided that the propriety of such ejection or exclusion
25     is subject to subsequent hearing by the Board.
26         (13) To require all licensees of gambling operations to

 

 

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1     utilize a cashless wagering system whereby all players'
2     money is converted to tokens, electronic cards, or chips
3     which shall be used only for wagering in the gambling
4     establishment.
5         (14) (Blank).
6         (15) To suspend, revoke or restrict licenses, to
7     require the removal of a licensee or an employee of a
8     licensee for a violation of this Act or a Board rule or for
9     engaging in a fraudulent practice, and to impose civil
10     penalties of up to $5,000 against individuals and up to
11     $10,000 or an amount equal to the daily gross receipts,
12     whichever is larger, against licensees for each violation
13     of any provision of the Act, any rules adopted by the
14     Board, any order of the Board or any other action which, in
15     the Board's discretion, is a detriment or impediment to
16     riverboat gambling operations.
17         (16) To hire employees to gather information, conduct
18     investigations and carry out any other tasks contemplated
19     under this Act.
20         (17) To establish minimum levels of insurance to be
21     maintained by licensees.
22         (18) To authorize a licensee to sell or serve alcoholic
23     liquors, wine or beer as defined in the Liquor Control Act
24     of 1934 on board a riverboat or in a casino and to have
25     exclusive authority to establish the hours for sale and
26     consumption of alcoholic liquor on board a riverboat or in

 

 

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1     a casino, notwithstanding any provision of the Liquor
2     Control Act of 1934 or any local ordinance, and regardless
3     of whether the riverboat makes excursions. The
4     establishment of the hours for sale and consumption of
5     alcoholic liquor on board a riverboat or in a casino is an
6     exclusive power and function of the State. A home rule unit
7     may not establish the hours for sale and consumption of
8     alcoholic liquor on board a riverboat or in a casino. This
9     subdivision (18) amendatory Act of 1991 is a denial and
10     limitation of home rule powers and functions under
11     subsection (h) of Section 6 of Article VII of the Illinois
12     Constitution.
13         (19) After consultation with the U.S. Army Corps of
14     Engineers, to establish binding emergency orders upon the
15     concurrence of a majority of the members of the Board
16     regarding the navigability of water, relative to
17     excursions, in the event of extreme weather conditions,
18     acts of God or other extreme circumstances.
19         (20) To delegate the execution of any of its powers
20     under this Act for the purpose of administering and
21     enforcing this Act and its rules and regulations hereunder.
22         (21) To make rules concerning the conduct of electronic
23     gaming.
24         (22) (21) To take any other action as may be reasonable
25     or appropriate to enforce this Act and rules and
26     regulations hereunder.

 

 

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1     (d) The Board may seek and shall receive the cooperation of
2 the Department of State Police in conducting background
3 investigations of applicants and in fulfilling its
4 responsibilities under this Section. Costs incurred by the
5 Department of State Police as a result of such cooperation
6 shall be paid by the Board in conformance with the requirements
7 of Section 2605-400 of the Department of State Police Law (20
8 ILCS 2605/2605-400).
9     (e) The Board must authorize to each investigator and to
10 any other employee of the Board exercising the powers of a
11 peace officer a distinct badge that, on its face, (i) clearly
12 states that the badge is authorized by the Board and (ii)
13 contains a unique identifying number. No other badge shall be
14 authorized by the Board.
15 (Source: P.A. 91-40, eff. 1-1-00; 91-239, eff. 1-1-00; 91-883,
16 eff. 1-1-01.)
 
17     (230 ILCS 10/5.1)  (from Ch. 120, par. 2405.1)
18     Sec. 5.1. Disclosure of records.
19     (a) Notwithstanding any applicable statutory provision to
20 the contrary, the Board shall, on written request from any
21 person, provide information furnished by an applicant or
22 licensee concerning the applicant or licensee, his products,
23 services or gambling enterprises and his business holdings, as
24 follows:
25         (1) The name, business address and business telephone

 

 

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1     number of any applicant or licensee.
2         (2) An identification of any applicant or licensee
3     including, if an applicant or licensee is not an
4     individual, the state of incorporation or registration,
5     the corporate officers, and the identity of all
6     shareholders or participants. If an applicant or licensee
7     has a pending registration statement filed with the
8     Securities and Exchange Commission, only the names of those
9     persons or entities holding interest of 5% or more must be
10     provided.
11         (3) An identification of any business, including, if
12     applicable, the state of incorporation or registration, in
13     which an applicant or licensee or an applicant's or
14     licensee's spouse or children has an equity interest of
15     more than 5%. If an applicant or licensee is a corporation,
16     partnership or other business entity, the applicant or
17     licensee shall identify any other corporation, partnership
18     or business entity in which it has an equity interest of 5%
19     or more, including, if applicable, the state of
20     incorporation or registration. This information need not
21     be provided by a corporation, partnership or other business
22     entity that has a pending registration statement filed with
23     the Securities and Exchange Commission.
24         (4) Whether an applicant or licensee has been indicted,
25     convicted, pleaded guilty or nolo contendere, or forfeited
26     bail concerning any criminal offense under the laws of any

 

 

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1     jurisdiction, either felony or misdemeanor (except for
2     traffic violations), including the date, the name and
3     location of the court, arresting agency and prosecuting
4     agency, the case number, the offense, the disposition and
5     the location and length of incarceration.
6         (5) Whether an applicant or licensee has had any
7     license or certificate issued by a licensing authority in
8     Illinois or any other jurisdiction denied, restricted,
9     suspended, revoked or not renewed and a statement
10     describing the facts and circumstances concerning the
11     denial, restriction, suspension, revocation or
12     non-renewal, including the licensing authority, the date
13     each such action was taken, and the reason for each such
14     action.
15         (6) Whether an applicant or licensee has ever filed or
16     had filed against it a proceeding in bankruptcy or has ever
17     been involved in any formal process to adjust, defer,
18     suspend or otherwise work out the payment of any debt
19     including the date of filing, the name and location of the
20     court, the case and number of the disposition.
21         (7) Whether an applicant or licensee has filed, or been
22     served with a complaint or other notice filed with any
23     public body, regarding the delinquency in the payment of,
24     or a dispute over the filings concerning the payment of,
25     any tax required under federal, State or local law,
26     including the amount, type of tax, the taxing agency and

 

 

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1     time periods involved.
2         (8) A statement listing the names and titles of all
3     public officials or officers of any unit of government, and
4     relatives of said public officials or officers who,
5     directly or indirectly, own any financial interest in, have
6     any beneficial interest in, are the creditors of or hold
7     any debt instrument issued by, or hold or have any interest
8     in any contractual or service relationship with, an
9     applicant or licensee.
10         (9) Whether an applicant or licensee has made, directly
11     or indirectly, any political contribution, or any loans,
12     donations or other payments, to any candidate or office
13     holder, within 5 years from the date of filing the
14     application, including the amount and the method of
15     payment.
16         (10) The name and business telephone number of the
17     counsel representing an applicant or licensee in matters
18     before the Board.
19         (11) A description of any proposed or approved
20     riverboat or casino gaming or electronic gaming operation,
21     including the type of boat, home dock or casino or
22     electronic gaming location, expected economic benefit to
23     the community, anticipated or actual number of employees,
24     any statement from an applicant or licensee regarding
25     compliance with federal and State affirmative action
26     guidelines, projected or actual admissions and projected

 

 

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1     or actual adjusted gross gaming receipts.
2         (12) A description of the product or service to be
3     supplied by an applicant for a supplier's license.
4     (b) Notwithstanding any applicable statutory provision to
5 the contrary, the Board shall, on written request from any
6 person, also provide the following information:
7         (1) The amount of the wagering tax and admission tax
8     paid daily to the State of Illinois by the holder of an
9     owner's license.
10         (2) Whenever the Board finds an applicant for an
11     owner's license unsuitable for licensing, a copy of the
12     written letter outlining the reasons for the denial.
13         (3) Whenever the Board has refused to grant leave for
14     an applicant to withdraw his application, a copy of the
15     letter outlining the reasons for the refusal.
16     (c) Subject to the above provisions, the Board shall not
17 disclose any information which would be barred by:
18         (1) Section 7 of the Freedom of Information Act; or
19         (2) The statutes, rules, regulations or
20     intergovernmental agreements of any jurisdiction.
21     (d) The Board may assess fees for the copying of
22 information in accordance with Section 6 of the Freedom of
23 Information Act.
24 (Source: P.A. 87-826.)
 
25     (230 ILCS 10/6)  (from Ch. 120, par. 2406)

 

 

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1     Sec. 6. Application for Owners License.
2     (a) A qualified person may apply to the Board for an owners
3 license to conduct a riverboat gambling operation as provided
4 in this Act. The application shall be made on forms provided by
5 the Board and shall contain such information as the Board
6 prescribes, including but not limited to the identity of the
7 riverboat on which such gambling operation is to be conducted,
8 if applicable, and the exact location where such riverboat or
9 casino or electronic gaming operation will be located docked, a
10 certification that the riverboat will be registered under this
11 Act at all times during which gambling operations are conducted
12 on board, detailed information regarding the ownership and
13 management of the applicant, and detailed personal information
14 regarding the applicant. Any application for an owners license
15 to be re-issued on or after June 1, 2003 shall also include the
16 applicant's license bid in a form prescribed by the Board.
17 Information provided on the application shall be used as a
18 basis for a thorough background investigation which the Board
19 shall conduct with respect to each applicant. An incomplete
20 application shall be cause for denial of a license by the
21 Board.
22     (b) Applicants shall submit with their application all
23 documents, resolutions, and letters of support from the
24 governing body that represents the municipality or county
25 wherein the licensee will be located dock.
26     (c) Each applicant shall disclose the identity of every

 

 

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1 person, association, trust or corporation having a greater than
2 1% direct or indirect pecuniary interest in the riverboat
3 gambling operation with respect to which the license is sought.
4 If the disclosed entity is a trust, the application shall
5 disclose the names and addresses of the beneficiaries; if a
6 corporation, the names and addresses of all stockholders and
7 directors; if a partnership, the names and addresses of all
8 partners, both general and limited.
9     (d) An application shall be filed with the Board by January
10 1 of the year preceding any calendar year for which an
11 applicant seeks an owners license; however, applications for an
12 owners license permitting operations on January 1, 1991 shall
13 be filed by July 1, 1990. An application fee of $50,000 shall
14 be paid at the time of filing to defray the costs associated
15 with the background investigation conducted by the Board. If
16 the costs of the investigation exceed $50,000, the applicant
17 shall pay the additional amount to the Board. If the costs of
18 the investigation are less than $50,000, the applicant shall
19 receive a refund of the remaining amount. All information,
20 records, interviews, reports, statements, memoranda or other
21 data supplied to or used by the Board in the course of its
22 review or investigation of an application for a license under
23 this Act shall be privileged, strictly confidential and shall
24 be used only for the purpose of evaluating an applicant. Such
25 information, records, interviews, reports, statements,
26 memoranda or other data shall not be admissible as evidence,

 

 

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1 nor discoverable in any action of any kind in any court or
2 before any tribunal, board, agency or person, except for any
3 action deemed necessary by the Board.
4     (e) The Board shall charge each applicant a fee set by the
5 Department of State Police to defray the costs associated with
6 the search and classification of fingerprints obtained by the
7 Board with respect to the applicant's application. These fees
8 shall be paid into the State Police Services Fund.
9     (f) The licensed owner shall be the person primarily
10 responsible for the boat or casino or electronic gaming
11 operation itself. Only one riverboat gambling operation may be
12 authorized by the Board on any riverboat or in any casino or
13 electronic gaming operation. The applicant must identify the
14 each riverboat or premises it intends to use and certify that
15 the riverboat or premises: (1) has the authorized capacity
16 required in this Act; (2) is accessible to disabled persons;
17 and (3) is fully registered and licensed in accordance with any
18 applicable laws.
19     (g) A person who knowingly makes a false statement on an
20 application is guilty of a Class A misdemeanor.
21 (Source: P.A. 93-28, eff. 6-20-03.)
 
22     (230 ILCS 10/7)  (from Ch. 120, par. 2407)
23     Sec. 7. Owners Licenses.
24     (a) The Board shall issue owners licenses to persons, firms
25 or corporations which apply for such licenses upon payment to

 

 

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1 the Board of the non-refundable license fee set by the Board,
2 upon payment of a $25,000 license fee for the first year of
3 operation and a $5,000 license fee for each succeeding year and
4 upon a determination by the Board that the applicant is
5 eligible for an owners license pursuant to this Act and the
6 rules of the Board. From the effective date of this amendatory
7 Act of the 95th General Assembly until (i) 3 years after the
8 effective date of this amendatory Act of the 95th General
9 Assembly, (ii) the date any organization licensee begins to
10 operate a slot machine or video game of chance under the
11 Illinois Horse Racing Act of 1975 or this Act, (iii) the date
12 that payments begin under subsection (c-5) of Section 13 of the
13 Act, or (iv) the wagering tax imposed under Section 13 of this
14 Act is increased by law to reflect a tax rate that is at least
15 as stringent or more stringent than the tax rate contained in
16 subsection (a-3) of Section 13, or (v) when the first
17 electronic gaming licensee begins conducting electronic gaming
18 operations, whichever occurs first, as a condition of licensure
19 and as an alternative source of payment for those funds payable
20 under subsection (c-5) of Section 13 of this the Riverboat
21 Gambling Act, any owners licensee that holds or receives its
22 owners license on or after the effective date of this
23 amendatory Act of the 94th General Assembly, other than an
24 owners licensee operating a riverboat with adjusted gross
25 receipts in calendar year 2004 of less than $200,000,000, must
26 pay into the Horse Racing Equity Trust Fund, in addition to any

 

 

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1 other payments required under this Act, an amount equal to 3%
2 of the adjusted gross receipts received by the owners licensee.
3 The payments required under this Section shall be made by the
4 owners licensee to the State Treasurer no later than 3:00
5 o'clock p.m. of the day after the day when the adjusted gross
6 receipts were received by the owners licensee. A person, firm
7 or corporation is ineligible to receive an owners license if:
8         (1) the person has been convicted of a felony under the
9     laws of this State, any other state, or the United States;
10         (2) the person has been convicted of any violation of
11     Article 28 of the Criminal Code of 1961, or substantially
12     similar laws of any other jurisdiction;
13         (3) the person has submitted an application for a
14     license under this Act which contains false information;
15         (4) the person is a member of the Board;
16         (5) a person defined in (1), (2), (3) or (4) is an
17     officer, director or managerial employee of the firm or
18     corporation;
19         (6) the firm or corporation employs a person defined in
20     (1), (2), (3) or (4) who participates in the management or
21     operation of gambling operations authorized under this
22     Act;
23         (7) (blank); or
24         (8) a license of the person, firm or corporation issued
25     under this Act, or a license to own or operate gambling
26     facilities in any other jurisdiction, has been revoked.

 

 

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1     The Board is expressly prohibited from making changes to
2 the requirement that licensees make payment into the Horse
3 Racing Equity Trust Fund without the express authority of the
4 Illinois General Assembly and making any other rule to
5 implement or interpret this amendatory Act of the 95th General
6 Assembly. For the purposes of this paragraph, "rules" is given
7 the meaning given to that term in Section 1-70 of the Illinois
8 Administrative Procedure Act.
9     (b) In determining whether to grant an owners license to an
10 applicant, the Board shall consider:
11         (1) the character, reputation, experience and
12     financial integrity of the applicants and of any other or
13     separate person that either:
14             (A) controls, directly or indirectly, such
15         applicant, or
16             (B) is controlled, directly or indirectly, by such
17         applicant or by a person which controls, directly or
18         indirectly, such applicant;
19         (2) the facilities or proposed facilities for the
20     conduct of riverboat gambling;
21         (3) the highest prospective total revenue to be derived
22     by the State from the conduct of riverboat gambling;
23         (4) the extent to which the ownership of the applicant
24     reflects the diversity of the State by including minority
25     persons and females and the good faith affirmative action
26     plan of each applicant to recruit, train and upgrade

 

 

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1     minority persons and females in all employment
2     classifications;
3         (5) the financial ability of the applicant to purchase
4     and maintain adequate liability and casualty insurance;
5         (6) whether the applicant has adequate capitalization
6     to provide and maintain, for the duration of a license, a
7     riverboat or casino;
8         (7) the extent to which the applicant exceeds or meets
9     other standards for the issuance of an owners license which
10     the Board may adopt by rule; and
11         (8) The amount of the applicant's license bid.
12     (c) Each owners license shall specify the place where the
13 casino shall operate or the riverboat riverboats shall operate
14 and dock or the electronic gaming facility will operate.
15     (d) Each applicant shall submit with his application, on
16 forms provided by the Board, 2 sets of his fingerprints.
17     (e) In addition to any licenses authorized under
18 subsections (e-5) and (e-10), the The Board may issue up to 10
19 licenses authorizing the holders of such licenses to own
20 riverboats. In the application for an owners license, the
21 applicant shall state the dock at which the riverboat is based
22 and the water on which the riverboat will be located. The Board
23 shall issue 5 licenses to become effective not earlier than
24 January 1, 1991. Three of such licenses shall authorize
25 riverboat gambling on the Mississippi River, or, with approval
26 by the municipality in which the riverboat was docked on August

 

 

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1 7, 2003 and with Board approval, be authorized to relocate to a
2 new location, in a municipality that (1) borders on the
3 Mississippi River or is within 5 miles of the city limits of a
4 municipality that borders on the Mississippi River and (2), on
5 August 7, 2003, had a riverboat conducting riverboat gambling
6 operations pursuant to a license issued under this Act; one of
7 which shall authorize riverboat gambling from a home dock in
8 the city of East St. Louis. One other license shall authorize
9 riverboat gambling on the Illinois River south of Marshall
10 County. The Board shall issue one additional license to become
11 effective not earlier than March 1, 1992, which shall authorize
12 riverboat gambling on the Des Plaines River in Will County. The
13 Board may issue 4 additional licenses to become effective not
14 earlier than March 1, 1992. In determining the water upon which
15 riverboats will operate, the Board shall consider the economic
16 benefit which riverboat gambling confers on the State, and
17 shall seek to assure that all regions of the State share in the
18 economic benefits of riverboat gambling.
19     In granting all licenses, the Board may give favorable
20 consideration to economically depressed areas of the State, to
21 applicants presenting plans which provide for significant
22 economic development over a large geographic area, and to
23 applicants who currently operate non-gambling riverboats in
24 Illinois. The Board shall review all applications for owners
25 licenses, and shall inform each applicant of the Board's
26 decision. The Board may grant an owners license to an applicant

 

 

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1 that has not submitted the highest license bid, but if it does
2 not select the highest bidder, the Board shall issue a written
3 decision explaining why another applicant was selected and
4 identifying the factors set forth in this Section that favored
5 the winning bidder.
6     (e-5) In addition to licenses authorized under subsections
7 (e) and (e-10), the Board may issue one owners license
8 authorizing either the conduct of riverboat gambling
9 operations from a home dock located in the City of Chicago or
10 the conduct of gambling operations in a casino located in the
11 City of Chicago.
12     The license authorized under this subsection (e-5) shall be
13 awarded to the Chicago Casino Development Authority.
14     The license authorized under this subsection (e-5) may
15 authorize the conduct of riverboat gambling on Lake Michigan or
16 at a land-based facility.
17     Additionally, the license authorized under this subsection
18 (e-5) shall be issued within 6 months after the effective date
19 of this amendatory Act of the 96th General Assembly.
20     (e-10) In addition to licenses authorized under
21 subsections (e) and (e-5), the Board may issue the following
22 owners licenses:
23         (1) One owners license authorizing the conduct of
24     riverboat gambling from a home dock located in the City of
25     Park City.
26         (2) One license authorizing the conduct of riverboat

 

 

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1     gambling in the City of Rockford.
2     The city council of the municipality in which the home dock
3 of the riverboat is located may make recommendations regarding
4 the location, proposal for ownership, licensee, and any other
5 decisions made in connection with the license issued under this
6 subsection (e-10).
7     The licenses authorized under this subsection (e-10) shall
8 be issued within 6 months after the effective date of this
9 amendatory Act of the 96th General Assembly. The license fee to
10 be paid by each licensee under this subsection (e-10) shall not
11 be less than $150,000,000.
12     (e-15) In addition to any other revocation powers granted
13 to the Board under this Act, the Board may revoke the owners
14 license of a licensee which fails to begin conducting gambling
15 within 15 months of receipt of the Board's approval of the
16 application if the Board determines that license revocation is
17 in the best interests of the State.
18     (f) The first 10 owners licenses issued under this Act
19 shall permit the holder to own up to 2 riverboats and equipment
20 thereon for a period of 3 years after the effective date of the
21 license. Holders of the first 10 owners licenses must pay the
22 annual license fee for each of the 3 years during which they
23 are authorized to own riverboats.
24     (g) Upon the termination, expiration, or revocation of each
25 owners license of the first 10 licenses, which shall be issued
26 for a 3 year period, all licenses are renewable annually upon

 

 

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1 payment of the fee and a determination by the Board that the
2 licensee continues to meet all of the requirements of this Act
3 and the Board's rules. However, for licenses renewed on or
4 after May 1, 1998, renewal shall be for a period of 4 years,
5 unless the Board sets a shorter period.
6     (h) An owners license, except for the owners license issued
7 under subsections (e-5) and (e-10), shall entitle the licensee
8 to own up to 2 riverboats.
9     A licensee, except for the owners licensee issued under
10 subsection (e-5), shall limit the number of gambling
11 participants to 2,000 1,200 for any such owners license. A
12 licensee may operate both of its riverboats concurrently,
13 provided that the total number of gambling participants on both
14 riverboats does not exceed 2,000 1,200. Riverboats licensed to
15 operate on the Mississippi River and the Illinois River south
16 of Marshall County shall have an authorized capacity of at
17 least 500 persons. Any other riverboat licensed under this Act
18 shall have an authorized capacity of at least 400 persons. An
19 owners licensee that acquired its license under subsection
20 (e-5) shall limit the number of gambling participants to 4,000
21 for such owners license.
22     (i) A licensed owner is authorized to apply to the Board
23 for and, if approved therefor, to receive all licenses from the
24 Board necessary for the operation of a riverboat or a casino,
25 including a liquor license, a license to prepare and serve food
26 for human consumption, and other necessary licenses. All use,

 

 

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1 occupation and excise taxes which apply to the sale of food and
2 beverages in this State and all taxes imposed on the sale or
3 use of tangible personal property apply to such sales aboard
4 the riverboat or in a casino.
5     (j) The Board may issue or re-issue a license authorizing a
6 riverboat to dock in a municipality or approve a relocation
7 under Section 11.2 only if, prior to the issuance or
8 re-issuance of the license or approval, the governing body of
9 the municipality in which the riverboat will dock has by a
10 majority vote approved the docking of riverboats in the
11 municipality. The Board may issue or re-issue a license
12 authorizing a riverboat to dock in areas of a county outside
13 any municipality or approve a relocation under Section 11.2
14 only if, prior to the issuance or re-issuance of the license or
15 approval, the governing body of the county has by a majority
16 vote approved of the docking of riverboats within such areas.
17     (k) If an owners licensee elects to operate a land-based
18 gaming facility in accordance with subsection (f) of Section
19 7.1, then the owners licensee shall pay a one-time fee of
20 $5,000,000 immediately upon approval by the Board. All other
21 owners licensees may elect to operate a land-based gaming
22 facility upon approval of the Board and shall not be required
23 to pay a fee.
24     (l) An owners licensee may apply to the Board for
25 authorization to operate up to 100 electronic poker positions
26 at its licensed facility. The authorization that the Board

 

 

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1 issues to the owners licensee shall specify the number of
2 electronic poker positions the owners licensee may operate,
3 which shall not be counted against the limit on the number of
4 gaming positions under this Act.
5     The Board must adopt rules for the authorization and
6 administration of the conduct of electronic poker.
7     For the purposes of this subsection (l), "electronic poker"
8 means a form of gambling operation by which players can play
9 poker electronically via a network of machines at the same or
10 any other location.
11 (Source: P.A. 94-667, eff. 8-23-05; 94-804, eff. 5-26-06;
12 95-1008, eff. 12-15-08.)
 
13     (230 ILCS 10/7.1)
14     Sec. 7.1. Re-issuance of revoked or non-renewed owners
15 licenses.
16     (a) If an owners license terminates or expires without
17 renewal or the Board revokes or determines not to renew an
18 owners license (including, without limitation, an owners
19 license for a licensee that was not conducting riverboat
20 gambling operations on January 1, 1998) and that revocation or
21 determination is final, the Board may re-issue such license to
22 a qualified applicant pursuant to an open and competitive
23 bidding process, as set forth in Section 7.5, and subject to
24 the maximum number of authorized licenses set forth in
25 subsections (e), (e-5), and (e-10) of Section 7 Section 7(e).

 

 

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1     (b) To be a qualified applicant, a person, firm, or
2 corporation cannot be ineligible to receive an owners license
3 under Section 7(a) and must submit an application for an owners
4 license that complies with Section 6. Each such applicant must
5 also submit evidence to the Board that minority persons and
6 females hold ownership interests in the applicant of at least
7 16% and 4% respectively.
8     (c) Notwithstanding anything to the contrary in Section
9 7(e), an applicant may apply to the Board for approval of
10 relocation of a re-issued license to a new home dock location
11 authorized under Section 3(c) upon receipt of the approval from
12 the municipality or county, as the case may be, pursuant to
13 Section 7(j).
14     (d) In determining whether to grant a re-issued owners
15 license to an applicant, the Board shall consider all of the
16 factors set forth in Section Sections 7(b) and in Section 7(e),
17 (e-5), or (e-10), whichever is applicable, (e) as well as the
18 amount of the applicant's license bid. The Board may grant the
19 re-issued owners license to an applicant that has not submitted
20 the highest license bid, but if it does not select the highest
21 bidder, the Board shall issue a written decision explaining why
22 another applicant was selected and identifying the factors set
23 forth in Section Sections 7(b) and in Section 7(e), (e-5), or
24 (e-10), whichever is applicable, (e) that favored the winning
25 bidder.
26     (e) Re-issued owners licenses shall be subject to annual

 

 

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1 license fees as provided for in Section 7(a) and shall be
2 governed by the provisions of Sections 7(f), (g), (h), and (i).
3     (f) An owners license that was re-issued before January 1,
4 2010 shall authorize the conduct of gambling operations in a
5 land-based facility if the owners licensee has complied with
6 subsection (k) of Section 7 of this Act.
7 (Source: P.A. 93-28, eff. 6-20-03.)
 
8     (230 ILCS 10/7.3)
9     Sec. 7.3. State conduct of gambling operations.
10     (a) If, after reviewing each application for a re-issued
11 license, the Board determines that the highest prospective
12 total revenue to the State would be derived from State conduct
13 of the gambling operation in lieu of re-issuing the license,
14 the Board shall inform each applicant of its decision. The
15 Board shall thereafter have the authority, without obtaining an
16 owners license, to conduct riverboat gambling operations as
17 previously authorized by the terminated, expired, revoked, or
18 nonrenewed license through a licensed manager selected
19 pursuant to an open and competitive bidding process as set
20 forth in Section 7.5 and as provided in Section 7.4.
21     (b) The Board may locate any riverboat on which a gambling
22 operation is conducted by the State in any home dock location
23 authorized by Section 3(c) upon receipt of approval from a
24 majority vote of the governing body of the municipality or
25 county, as the case may be, in which the riverboat will dock.

 

 

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1     (c) The Board shall have jurisdiction over and shall
2 supervise all gambling operations conducted by the State
3 provided for in this Act and shall have all powers necessary
4 and proper to fully and effectively execute the provisions of
5 this Act relating to gambling operations conducted by the
6 State.
7     (d) The maximum number of owners licenses authorized under
8 Section 7 7(e) shall be reduced by one for each instance in
9 which the Board authorizes the State to conduct a riverboat
10 gambling operation under subsection (a) in lieu of re-issuing a
11 license to an applicant under Section 7.1.
12 (Source: P.A. 93-28, eff. 6-20-03.)
 
13     (230 ILCS 10/7.6 new)
14     Sec. 7.6. Electronic gaming.
15     (a) The General Assembly finds that the horse racing and
16 riverboat gambling industries share many similarities and
17 collectively comprise the bulk of the State's gaming industry.
18 One feature in common to both industries is that each is highly
19 regulated by the State of Illinois.
20     The General Assembly further finds, however, that despite
21 their shared features each industry is distinct from the other
22 in that horse racing is and continues to be intimately tied to
23 Illinois' agricultural economy and is, at its core, a spectator
24 sport. This distinction requires the General Assembly to
25 utilize different methods to regulate and promote the horse

 

 

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1 racing industry throughout the State.
2     The General Assembly finds that in order to promote live
3 horse racing as a spectator sport in Illinois and the
4 agricultural economy of this State, it is necessary to allow
5 electronic gaming at Illinois race tracks given the success of
6 other states in increasing live racing purse accounts and
7 improving the quality of horses participating in horse race
8 meetings.
9     Except as provided in subsection (a-5), only owners
10 licensees shall be eligible for an electronic gaming license.
11 Each electronic gaming license shall authorize the management
12 and operation of authorized gaming at an electronic gaming
13 facility. This amendatory act of the 96th General Assembly
14 authorizes the Board to distribute up to 5,000 aggregate
15 electronic gaming positions to electronic gaming facilities
16 statewide. The Board shall distribute 1,000 positions to each
17 electronic gaming facility, the organization licensee
18 controlling the facility may chose to accept fewer than a 1,000
19 positions, but in no case may they accept fewer than 500
20 positions. The organization licensee controlling the facility
21 may refuse to accept any positions; in such instance, the
22 organization licensee shall not receive any proceeds generated
23 by electronic gaming under this Section, unless the facility is
24 prohibited from installing the positions on the facility
25 premises by law. An owners licensee that wishes to conduct
26 electronic gaming at an electronic gaming facility must obtain

 

 

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1 an electronic gaming license from the Board. Any owners
2 licensee that wishes to obtain an electronic gaming license
3 must have a lease with and prior approval of the organization
4 licensee that controls the electronic gaming facility prior to
5 submitting a bid to obtain an electronic gaming license for an
6 electronic gaming facility. The organization licensee and the
7 owners licensee must bargain in good faith, and if the
8 organization licensee acts in bad faith, the organization
9 licensee shall lose the right to have electronic gaming on the
10 licensee's property and shall not receive any proceeds
11 generated by electronic gaming under this Section. Any owners
12 licensee that wishes to receive an electronic gaming license
13 shall submit evidence to the Board that minority persons and
14 females hold ownership interests in the applicant of at least
15 16% and 4% respectively; it is encouraged that these ownership
16 interests be comprised of local and Illinois residents and
17 persons who annually earn $150,000 or less. The electronic
18 gaming licenses authorized under this Section shall be subject
19 to a competitive bidding process established by rule by the
20 Board. The Board shall consider the following factors when
21 reviewing applications for an electronic gaming license:
22         (1) the applicant's past and current operation of their
23     riverboat or other gaming operation;
24         (2) the highest prospective total revenue to be derived
25     by the State from the conduct of gambling;
26         (3) any agreements entered into by the applicant and

 

 

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1     the organization licensee regarding placement and
2     operation of electronic gaming positions, including, but
3     not limited to, a lease; and
4         (4) any other factors contained in this Act or the
5     Illinois Horse Racing Act of 1975 determined by the Board
6     to be relevant.
7     Within 6 months after the effective date of this Amendatory
8 Act of the 96th General Assembly, the Board shall award
9 electronic gaming licenses as provided under this subsection.
10     (a-5) If any electronic gaming license is not awarded to an
11 owners licensee applicant under subsection (a), within 6 months
12 after the effective date of this Amendatory Act of the 96th
13 General Assembly, the Board shall again conduct a competitive
14 bidding process in order to award the remaining licenses in a
15 method consistent with subsection (a). At the second round of
16 bidding, an owners licensee as defined in this Act or
17 organization licensee as defined in the Horse Racing Act of
18 1975 shall not be permitted to make bids for the remaining
19 licenses. At the second round of bidding, the Board shall allow
20 an entity who is not yet licensed under this Act to bid for the
21 remaining positions, so long as the entity has operated gaming
22 operations in another state. If an applicant is awarded the
23 license, the applicant must apply for and be issued an
24 electronic gaming license and meet the criteria for an owners
25 license under Sections 6 and 7 of this Act before the applicant
26 can operate electronic gaming positions, and those electronic

 

 

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1 gaming licensees shall be considered owners licensees for the
2 purposes of Section 12 and 13 of this Act.
3     (a-10) An applicant that has been awarded an electronic
4 gaming license shall not be required to pay a licensing fee or
5 similar fee for each electronic gaming position initially
6 awarded. Nothing in this subsection (a-10) precludes an
7 electronic licensee from payment of any required taxes.
8     (b) An electronic gaming license shall authorize its holder
9 to conduct electronic gaming at its race track as determined by
10 the Board.
11     (c) The Board may approve electronic gaming licenses
12 authorizing the conduct of electronic gaming by eligible owners
13 licensees. The Board shall adopt rules establishing reasonable
14 leases under which an electronic gaming licensee shall pay an
15 organizational licensee for use of the electronic gaming
16 facility.
17     (d) For each calendar year after 2009 in which an
18 organization licensee requests a number of racing days under
19 its organization license that is less than 90% of the number of
20 days of live racing it was awarded in 2005, the organization
21 licensee shall not receive any proceeds from electronic gaming.
22     (e) An electronic gaming licensee may conduct electronic
23 gaming at a temporary facility pending the construction of a
24 permanent facility or the remodeling of an existing facility to
25 accommodate electronic gaming participants for up to 12 months
26 after receiving an electronic gaming license. The Board shall

 

 

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1 make rules concerning the conduct of electronic gaming from
2 temporary facilities.
3     Any electronic gaming positions awarded to an owners
4 licensee under this Section shall not be counted toward any
5 position operated by a owner licensee on that licensee's
6 riverboat or casino.
7     (f) An electronic gaming licensee may only conduct
8 electronic gaming at a facility located in a municipality in
9 which the governing body has, by a majority vote, approved the
10 location of the electronic gaming facility in the municipality.
 
11     (230 ILCS 10/7.7 new)
12     Sec. 7.7. Home rule. The regulation and licensing of
13 electronic gaming, electronic gaming facilities, and
14 electronic gaming licensees are exclusive powers and functions
15 of the State. A home rule unit may not regulate or license
16 electronic gaming or electronic gaming licensees. This Section
17 is a denial and limitation of home rule powers and functions
18 under subsection (h) of Section 6 of Article VII of the
19 Illinois Constitution.
 
20     (230 ILCS 10/7.8 new)
21     Sec. 7.8. Casino operator license.
22     (a) A qualified person may apply to the Board for a casino
23 operator license to operate and manage any gambling operation
24 conducted by an Authority. The application shall be made on

 

 

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1 forms provided by the Board and shall contain such information
2 as the Board prescribes, including but not limited to
3 information required in Sections 6(a), (b), and (c) and
4 information relating to the applicant's proposed price to
5 manage the Authority's gambling operations and to provide the
6 casino, gambling equipment, and supplies necessary to conduct
7 Authority gambling operations. The total license fee for a
8 license authorized under subsection (e-5) of Section 7 of this
9 Act shall be $225,000,000. The license fee shall be paid by the
10 casino operator license to the State in the following manner
11 upon each of the following occurrences:
12         (1) when the annual adjusted gross receipts of a
13     license authorized under subsection (e-5) of Section 7 of
14     this Act exceeds $300,000,000, the casino operator
15     licensee shall pay the State, within a reasonable time, a
16     license fee of $50,000,000;
17         (2) when the annual adjusted gross receipts of a
18     license authorized under subsection (e-5) of Section 7 of
19     this Act exceeds $500,000,000, the casino operator
20     licensee shall pay the State, within a reasonable time, a
21     license fee of $75,000,000; and
22         (3) when the annual adjusted gross receipts of a
23     license authorized under subsection (e-5) of Section 7 of
24     this Act exceeds $700,000,000, the casino operator
25     licensee shall pay the State, within a reasonable time, a
26     license fee of $100,000,000.

 

 

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1     Each of the license fees shall be paid to the State. If the
2 adjusted gross receipts of a license authorized under
3 subsection (e-5) of Section 7 of this Act exceeds one of the
4 above listed occurrences before the license fee has been paid
5 for that occurrence, then the casino operator licensee shall
6 pay to the State the lowest license fee that has not yet been
7 paid. No more than one payment shall be made to the State
8 within a calendar year.
9     After the Board has awarded a casino operator license,
10 one-half of the accepted bid amount shall be paid into the
11 State Gaming Fund. After the Board has awarded the licenses
12 authorized under Subsection (e-10) of Section 7, one-half of
13 the accepted bid amount shall be paid into the State Gaming
14 Fund. Once gaming operations have commenced, the second half of
15 the bid amount shall be paid into the State Gaming Fund.
16     (b) A person, firm, or corporation is ineligible to receive
17 a casino operator license if:
18         (1) the person has been convicted of a felony under the
19     laws of this State, any other state, or the United States;
20         (2) the person has been convicted of any violation of
21     Article 28 of the Criminal Code of 1961, or substantially
22     similar laws of any other jurisdiction;
23         (3) the person has submitted an application for a
24     license under this Act which contains false information;
25         (4) the person is a member of the Board;
26         (5) a person defined in (1), (2), (3), or (4) is an

 

 

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1     officer, director, or managerial employee of the firm or
2     corporation;
3         (6) the firm or corporation employs a person defined in
4     (1), (2), (3), or (4) who participates in the management or
5     operation of gambling operations authorized under this
6     Act; or
7         (7) a license of the person, firm, or corporation
8     issued under this Act, or a license to own or operate
9     gambling facilities in any other jurisdiction, has been
10     revoked.
11     (c) In determining whether to grant a casino operator
12 license, the Board shall consider:
13         (1) the character, reputation, experience and
14     financial integrity of the applicants and of any other or
15     separate person that either:
16             (A) controls, directly or indirectly, such
17         applicant, or
18             (B) is controlled, directly or indirectly, by such
19         applicant or by a person which controls, directly or
20         indirectly, such applicant;
21         (2) the facilities or proposed facilities for the
22     conduct of gambling;
23         (3) the preference of the municipality in which the
24     licensee will operate;
25         (4) the extent to which the ownership of the applicant
26     reflects the diversity of the State by including minority

 

 

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1     persons and females and the good faith affirmative action
2     plan of each applicant to recruit, train, and upgrade
3     minority persons and females in all employment
4     classifications;
5         (5) the financial ability of the applicant to purchase
6     and maintain adequate liability and casualty insurance;
7         (6) whether the applicant has adequate capitalization
8     to provide and maintain, for the duration of a license, a
9     casino; and
10         (7) the extent to which the applicant exceeds or meets
11     other standards for the issuance of a managers license that
12     the Board may adopt by rule.
13     (d) Each applicant shall submit with his or her
14 application, on forms prescribed by the Board, 2 sets of his or
15 her fingerprints.
16     (e) The Board shall charge each applicant a fee, set by the
17 Board, to defray the costs associated with the background
18 investigation conducted by the Board.
19     (f) A person who knowingly makes a false statement on an
20 application is guilty of a Class A misdemeanor.
21     (g) The casino operator license shall be issued only upon
22 proof that it has entered into a labor peace agreement with
23 each labor organization that is actively engaged in
24 representing and attempting to represent casino and
25 hospitality industry workers in this State. The labor peace
26 agreement must be a valid and enforceable agreement under 29

 

 

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1 U.S.C. 185 that protects the city's and State's revenues from
2 the operation of the casino facility by prohibiting the labor
3 organization and its members from engaging in any picketing,
4 work stoppages, boycotts, or any other economic interference
5 with the casino facility for at least the first 5 years of the
6 casino license and must cover all operations at the casino
7 facility that are conducted by lessees or tenants or under
8 management agreements.
9     (h) The casino operator license shall be for a term of 20
10 years, shall be renewable at the Board's option, and shall
11 contain such terms and provisions as the Board deems necessary
12 to protect or enhance the credibility and integrity of State
13 gambling operations, achieve the highest prospective total
14 revenue to the State, and otherwise serve the interests of the
15 citizens of Illinois. The Board may revoke the license:
16         (1) for violation of any provision of this Act;
17         (2) for violation of any rules of the Board;
18         (3) for any cause which, if known to the Board, would
19     have disqualified the applicant from receiving the
20     license; or
21         (4) for any other just cause.
 
22     (230 ILCS 10/7.10 new)
23     Sec. 7.10. Electronic gaming; deposits into Horse Racing
24 Equity Fund. The adjusted gross receipts received by an
25 electronic gaming licensee from electronic gaming remaining

 

 

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1 after the payment of taxes under Section 13 of this Act and
2 operational costs incurred by the electronic gaming licensee in
3 electronic gaming operations shall be retained by the
4 electronic gaming licensee, except that an amount equal to 30%
5 of each licensee's remaining balance after payment of taxes
6 under Section 13 of this Act and operational costs incurred by
7 the electronic gaming licensee or $50,000,000 annually, paid by
8 the electronic gaming licensees pro rata based on adjusted
9 gross receipts, whichever is greater, shall be deposited into
10 the Horse Racing Equity Trust Fund; except that, if the
11 precentage of adjusted gross receipts to be deposited into the
12 Horse Racing Equity Trust Fund under subsection (c-5) of
13 Section 13 is reduced by law, then 40% of the electronic gaming
14 licensee's remaining balance after payment of taxes and
15 operational costs or $50,000,000 annually, paid by the
16 electronic gaming licensees pro rata based on adjusted gross
17 receipts, whichever is greater, shall be deposited into the
18 Horse Racing Equity Trust Fund.
 
19     (230 ILCS 10/7.14 new)
20     Sec. 7.14. Obligations of licensure; licensure is a
21 privilege.
22     (a) All licensees under this Act have a continuing duty to
23 maintain suitability for licensure. A license does not create a
24 property right, but is a revocable privilege granted by the
25 State contingent upon continuing suitability for licensure.

 

 

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1     (b) Licensees under this Act shall have a continuing,
2 affirmative duty to investigate the backgrounds of its
3 principal shareholders and officers.
4     (c) An applicant for licensure under this Act is seeking a
5 privilege and assumes and accepts any and all risk of adverse
6 publicity, notoriety, embarrassment, criticism, or other
7 action or financial loss which may occur in connection with the
8 application process. Any misrepresentation or omission made
9 with respect to an application may be grounds for denial of the
10 application.
 
11     (230 ILCS 10/8)   (from Ch. 120, par. 2408)
12     Sec. 8. Suppliers licenses.
13     (a) The Board may issue a suppliers license to such
14 persons, firms or corporations which apply therefor upon the
15 payment of a non-refundable application fee set by the Board,
16 upon a determination by the Board that the applicant is
17 eligible for a suppliers license and upon payment of a $5,000
18 annual license fee.
19     (b) The holder of a suppliers license is authorized to sell
20 or lease, and to contract to sell or lease, gambling equipment
21 and supplies to any licensee involved in the ownership or
22 management of gambling operations.
23     (c) Gambling supplies and equipment may not be distributed
24 unless supplies and equipment conform to standards adopted by
25 rules of the Board.

 

 

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1     (d) A person, firm or corporation is ineligible to receive
2 a suppliers license if:
3         (1) the person has been convicted of a felony under the
4     laws of this State, any other state, or the United States;
5         (2) the person has been convicted of any violation of
6     Article 28 of the Criminal Code of 1961, or substantially
7     similar laws of any other jurisdiction;
8         (3) the person has submitted an application for a
9     license under this Act which contains false information;
10         (4) the person is a member of the Board;
11         (5) the firm or corporation is one in which a person
12     defined in (1), (2), (3) or (4), is an officer, director or
13     managerial employee;
14         (6) the firm or corporation employs a person who
15     participates in the management or operation of riverboat
16     gambling authorized under this Act;
17         (7) the license of the person, firm or corporation
18     issued under this Act, or a license to own or operate
19     gambling facilities in any other jurisdiction, has been
20     revoked.
21     (e) Any person that supplies any equipment, devices, or
22 supplies to a licensed riverboat or casino gambling operation
23 or electronic gaming operation must first obtain a suppliers
24 license. A supplier shall furnish to the Board a list of all
25 equipment, devices and supplies offered for sale or lease in
26 connection with gambling games authorized under this Act. A

 

 

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1 supplier shall keep books and records for the furnishing of
2 equipment, devices and supplies to gambling operations
3 separate and distinct from any other business that the supplier
4 might operate. A supplier shall file a quarterly return with
5 the Board listing all sales and leases. A supplier shall
6 permanently affix its name to all its equipment, devices, and
7 supplies for gambling operations. Any supplier's equipment,
8 devices or supplies which are used by any person in an
9 unauthorized gambling operation shall be forfeited to the
10 State. A holder of an owners license or an electronic gaming
11 license licensed owner may own its own equipment, devices and
12 supplies. Each holder of an owners license or an electronic
13 gaming license under the Act shall file an annual report
14 listing its inventories of gambling equipment, devices and
15 supplies.
16     (f) Any person who knowingly makes a false statement on an
17 application is guilty of a Class A misdemeanor.
18     (g) Any gambling equipment, devices and supplies provided
19 by any licensed supplier may either be repaired on the
20 riverboat, in a casino, or in an electronic gaming facility or
21 removed from the riverboat, casino, or electronic gaming
22 facility to a an on-shore facility owned by the holder of an
23 owners license or electronic gaming facility license for
24 repair.
25 (Source: P.A. 86-1029; 87-826.)
 

 

 

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1     (230 ILCS 10/9)   (from Ch. 120, par. 2409)
2     Sec. 9. Occupational licenses.
3     (a) The Board may issue an occupational license to an
4 applicant upon the payment of a non-refundable fee set by the
5 Board, upon a determination by the Board that the applicant is
6 eligible for an occupational license and upon payment of an
7 annual license fee in an amount to be established. To be
8 eligible for an occupational license, an applicant must:
9         (1) be at least 21 years of age if the applicant will
10     perform any function involved in gaming by patrons. Any
11     applicant seeking an occupational license for a non-gaming
12     function shall be at least 18 years of age;
13         (2) not have been convicted of a felony offense, a
14     violation of Article 28 of the Criminal Code of 1961, or a
15     similar statute of any other jurisdiction, or a crime
16     involving dishonesty or moral turpitude;
17         (3) have demonstrated a level of skill or knowledge
18     which the Board determines to be necessary in order to
19     operate gambling aboard a riverboat, in a casino, or at an
20     electronic gaming facility; and
21         (4) have met standards for the holding of an
22     occupational license as adopted by rules of the Board. Such
23     rules shall provide that any person or entity seeking an
24     occupational license to manage gambling operations
25     hereunder shall be subject to background inquiries and
26     further requirements similar to those required of

 

 

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1     applicants for an owners license. Furthermore, such rules
2     shall provide that each such entity shall be permitted to
3     manage gambling operations for only one licensed owner.
4     (b) Each application for an occupational license shall be
5 on forms prescribed by the Board and shall contain all
6 information required by the Board. The applicant shall set
7 forth in the application: whether he has been issued prior
8 gambling related licenses; whether he has been licensed in any
9 other state under any other name, and, if so, such name and his
10 age; and whether or not a permit or license issued to him in
11 any other state has been suspended, restricted or revoked, and,
12 if so, for what period of time.
13     (c) Each applicant shall submit with his application, on
14 forms provided by the Board, 2 sets of his fingerprints. The
15 Board shall charge each applicant a fee set by the Department
16 of State Police to defray the costs associated with the search
17 and classification of fingerprints obtained by the Board with
18 respect to the applicant's application. These fees shall be
19 paid into the State Police Services Fund.
20     (d) The Board may in its discretion refuse an occupational
21 license to any person: (1) who is unqualified to perform the
22 duties required of such applicant; (2) who fails to disclose or
23 states falsely any information called for in the application;
24 (3) who has been found guilty of a violation of this Act or
25 whose prior gambling related license or application therefor
26 has been suspended, restricted, revoked or denied for just

 

 

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1 cause in any other state; or (4) for any other just cause.
2     (e) The Board may suspend, revoke or restrict any
3 occupational licensee: (1) for violation of any provision of
4 this Act; (2) for violation of any of the rules and regulations
5 of the Board; (3) for any cause which, if known to the Board,
6 would have disqualified the applicant from receiving such
7 license; or (4) for default in the payment of any obligation or
8 debt due to the State of Illinois; or (5) for any other just
9 cause.
10     (f) A person who knowingly makes a false statement on an
11 application is guilty of a Class A misdemeanor.
12     (g) Any license issued pursuant to this Section shall be
13 valid for a period of one year from the date of issuance.
14     (h) Nothing in this Act shall be interpreted to prohibit a
15 licensed owner or electronic gaming licensee from entering into
16 an agreement with a school approved under the Private Business
17 and Vocational Schools Act for the training of any occupational
18 licensee. Any training offered by such a school shall be in
19 accordance with a written agreement between the licensed owner
20 or electronic gaming licensee and the school.
21     (i) Any training provided for occupational licensees may be
22 conducted either at the site of the gambling facility on the
23 riverboat or at a school with which a licensed owner or
24 electronic gaming licensee has entered into an agreement
25 pursuant to subsection (h).
26 (Source: P.A. 86-1029; 87-826.)
 

 

 

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1     (230 ILCS 10/11)  (from Ch. 120, par. 2411)
2     Sec. 11. Conduct of gambling. Gambling may be conducted by
3 licensed owners or licensed managers on behalf of the State
4 aboard riverboats, subject to the following standards:
5         (1) A licensee may conduct riverboat gambling
6     authorized under this Act regardless of whether it conducts
7     excursion cruises. A licensee may permit the continuous
8     ingress and egress of passengers for the purpose of
9     gambling.
10         (2) (Blank).
11         (3) Minimum and maximum wagers on games shall be set by
12     the licensee.
13         (4) Agents of the Board and the Department of State
14     Police may board and inspect any riverboat, enter and
15     inspect any portion of a casino, or enter and inspect any
16     portion of an electronic gaming facility where electronic
17     gaming is conducted at any time for the purpose of
18     determining whether this Act is being complied with. Every
19     riverboat, if under way and being hailed by a law
20     enforcement officer or agent of the Board, must stop
21     immediately and lay to.
22         (5) Employees of the Board shall have the right to be
23     present on the riverboat or in the casino or on adjacent
24     facilities under the control of the licensee and at the
25     electronic gaming facility under the control of the

 

 

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1     electronic gaming licensee.
2         (6) Gambling equipment and supplies customarily used
3     in conducting riverboat or casino gambling or electronic
4     gaming must be purchased or leased only from suppliers
5     licensed for such purpose under this Act.
6         (7) Persons licensed under this Act shall permit no
7     form of wagering on gambling games except as permitted by
8     this Act.
9         (8) Wagers may be received only from a person present
10     on a licensed riverboat, in a casino, or at an electronic
11     gaming facility. No person present on a licensed riverboat,
12     in a casino, or at an electronic gaming facility shall
13     place or attempt to place a wager on behalf of another
14     person who is not present on the riverboat, in the casino,
15     or at the electronic gaming facility.
16         (9) Wagering, including electronic gaming, shall not
17     be conducted with money or other negotiable currency.
18         (10) A person under age 21 shall not be permitted on an
19     area of a riverboat or casino where gambling is being
20     conducted or at an electronic gaming facility where
21     gambling is conducted, except for a person at least 18
22     years of age who is an employee of the riverboat or casino
23     gambling operation or electronic gaming operation. No
24     employee under age 21 shall perform any function involved
25     in gambling by the patrons. No person under age 21 shall be
26     permitted to make a wager under this Act.

 

 

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1         (11) Gambling excursion cruises are permitted only
2     when the waterway for which the riverboat is licensed is
3     navigable, as determined by the Board in consultation with
4     the U.S. Army Corps of Engineers. This paragraph (11) does
5     not limit the ability of a licensee to conduct gambling
6     authorized under this Act when gambling excursion cruises
7     are not permitted.
8         (12) All tokens, chips, or electronic cards used to
9     make wagers must be purchased (i) from a licensed owner or
10     manager, in the case of a riverboat, either aboard the a
11     riverboat or at an onshore facility which has been approved
12     by the Board and which is located where the riverboat
13     docks, (ii) in the case of a casino, from a licensed owner
14     at the casino, or (iii) from an electronic gaming licensee
15     at the electronic gaming facility. The tokens, chips or
16     electronic cards may be purchased by means of an agreement
17     under which the owner or manager extends credit to the
18     patron. Such tokens, chips or electronic cards may be used
19     while aboard the riverboat, in the casino, or at the
20     electronic gaming facility only for the purpose of making
21     wagers on gambling games.
22         (13) Notwithstanding any other Section of this Act, in
23     addition to the other licenses authorized under this Act,
24     the Board may issue special event licenses allowing persons
25     who are not otherwise licensed to conduct riverboat
26     gambling to conduct such gambling on a specified date or

 

 

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1     series of dates. Riverboat gambling under such a license
2     may take place on a riverboat not normally used for
3     riverboat gambling. The Board shall establish standards,
4     fees and fines for, and limitations upon, such licenses,
5     which may differ from the standards, fees, fines and
6     limitations otherwise applicable under this Act. All such
7     fees shall be deposited into the State Gaming Fund. All
8     such fines shall be deposited into the Education Assistance
9     Fund, created by Public Act 86-0018, of the State of
10     Illinois.
11         (14) In addition to the above, gambling must be
12     conducted in accordance with all rules adopted by the
13     Board.
14 (Source: P.A. 93-28, eff. 6-20-03.)
 
15     (230 ILCS 10/11.1)  (from Ch. 120, par. 2411.1)
16     Sec. 11.1. Collection of amounts owing under credit
17 agreements. Notwithstanding any applicable statutory provision
18 to the contrary, a licensed owner or manager or electronic
19 gaming licensee who extends credit to a riverboat gambling
20 patron pursuant to Section 11 (a) (12) of this Act is expressly
21 authorized to institute a cause of action to collect any
22 amounts due and owing under the extension of credit, as well as
23 the owner's or manager's costs, expenses and reasonable
24 attorney's fees incurred in collection.
25 (Source: P.A. 93-28, eff. 6-20-03.)
 

 

 

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1     (230 ILCS 10/12)  (from Ch. 120, par. 2412)
2     Sec. 12. Admission tax; fees.
3     (a) A tax is hereby imposed upon admissions to riverboat
4 and casino gambling facilities riverboats operated by licensed
5 owners authorized pursuant to this Act.
6      Until July 1, 2002, the rate is $2 per person admitted.
7 From July 1, 2002 until July 1, 2003, the rate is $3 per person
8 admitted. From July 1, 2003 until the effective date of this
9 amendatory Act of the 94th General Assembly, for a licensee
10 that admitted 1,000,000 persons or fewer in the previous
11 calendar year, the rate is $3 per person admitted; for a
12 licensee that admitted more than 1,000,000 but no more than
13 2,300,000 persons in the previous calendar year, the rate is $4
14 per person admitted; and for a licensee that admitted more than
15 2,300,000 persons in the previous calendar year, the rate is $5
16 per person admitted. Beginning on the effective date of this
17 amendatory Act of the 94th General Assembly, for a licensee
18 that admitted 1,000,000 persons or fewer in calendar year 2004,
19 the rate is $2 per person admitted, and for all other licensees
20 the rate is $3 per person admitted. This admission tax is
21 imposed upon the licensed owner conducting gambling.
22         (1) The admission tax shall be paid for each admission,
23     except that a person who exits a riverboat gambling
24     facility and reenters that riverboat gambling facility
25     within the same gaming day shall be subject only to the

 

 

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1     initial admission tax.
2         (2) (Blank).
3         (3) The riverboat licensee may issue tax-free passes to
4     actual and necessary officials and employees of the
5     licensee or other persons actually working on the
6     riverboat.
7         (4) The number and issuance of tax-free passes is
8     subject to the rules of the Board, and a list of all
9     persons to whom the tax-free passes are issued shall be
10     filed with the Board.
11     At the request of an owners licensee, the tax may be paid
12 in equal monthly rates based on admissions numbers from the
13 preceding calendar year for each riverboat or casino. For the
14 first year in which a riverboat or casino is operating, the
15 Board shall base the monthly rate on estimated attendance at
16 that particular riverboat or casino based on the admissions
17 information provided by the other riverboats or casino. Each
18 riverboat or casino shall keep detailed admission records and
19 provide them to the Board on a quarterly basis. Such admission
20 records must differentiate between actual and necessary
21 officials and employees of the licensee or other person
22 actually working on the riverboat or casino and other admitted
23 persons. The tax shall only be based on those persons admitted
24 to the riverboat or casino for the purpose of playing a
25 gambling game. The Board shall set the tax annually based on
26 those records provided and in a manner consistent with this

 

 

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1 Section. If the Board finds that the admissions for the
2 previous year exceeded the estimate used in calculating the
3 prior year's payments, the Board shall require the riverboat or
4 casino to pay the difference in an additional payment. If the
5 Board finds that the admissions for the previous year were
6 lower than the estimate used in calculating the prior year's
7 payments, the Board shall reduce the monthly payments paid by
8 the riverboat or casino to return the difference.
9     (a-5) A fee is hereby imposed upon admissions operated by
10 licensed managers on behalf of the State pursuant to Section
11 7.3 at the rates provided in this subsection (a-5).
12      For a licensee that admitted 1,000,000 persons or fewer in
13 the previous calendar year, the rate is $3 per person admitted;
14 for a licensee that admitted more than 1,000,000 but no more
15 than 2,300,000 persons in the previous calendar year, the rate
16 is $4 per person admitted; and for a licensee that admitted
17 more than 2,300,000 persons in the previous calendar year, the
18 rate is $5 per person admitted.
19         (1) The admission fee shall be paid for each admission.
20         (2) (Blank).
21         (3) The licensed manager may issue fee-free passes to
22     actual and necessary officials and employees of the manager
23     or other persons actually working on the riverboat.
24         (4) The number and issuance of fee-free passes is
25     subject to the rules of the Board, and a list of all
26     persons to whom the fee-free passes are issued shall be

 

 

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1     filed with the Board.
2     At the request of a licensed manager, the tax may be paid
3 in equal monthly rates based on admissions numbers from the
4 preceding calendar year for each riverboat or casino. For the
5 first year in which a riverboat or casino is operating, the
6 Board shall base the monthly rate on estimated attendance at
7 that particular riverboat or casino based on the admissions
8 information provided by the other riverboats or casino. Each
9 riverboat or casino shall keep detailed admission records and
10 provide them to the Board on a quarterly basis. Such admission
11 records must differentiate between actual and necessary
12 officials and employees of the licensee or other person
13 actually working on the riverboat or casino and other admitted
14 persons. The tax shall only be based on those persons admitted
15 to the riverboat or casino for the purpose of playing a
16 gambling game. The Board shall set the tax annually based on
17 those records provided and in a manner consistent with this
18 section. If the Board finds that the admissions for the
19 previous year exceeded the estimate used in calculating the
20 prior year's payments, the Board shall require the riverboat or
21 casino to pay the difference in an additional payment. If the
22 Board finds that the admissions for the previous year were
23 lower than the estimate used in calculating the prior year's
24 payments, the Board shall reduce the monthly payments paid by
25 the riverboat or casino to return the difference.
26     If the licensed owner of a riverboat in operation on

 

 

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1 January 1, 2009 has capital projects of at least $45,000,000
2 that are approved by the Board in calendar year 2006 and
3 thereafter or, starting in 2006 and going forward, for which at
4 least $45,000,000 in capital expenditures have been made during
5 a period of 3 calendar years, then no admissions tax is imposed
6 on admissions to that riverboat for a 3-year period beginning
7 on (i) the January 1 after the approval or the expenditures
8 have been made or (ii) in the case of projects approved or
9 expenditures made before the effective date of this amendatory
10 Act of the 96th General Assembly, January 1, 2010.
11     (b) From the tax imposed under subsection (a) and the fee
12 imposed under subsection (a-5), a municipality shall receive
13 from the State $1 for each person embarking or estimated to be
14 embarking on a riverboat docked within the municipality or
15 entering or estimated to be entering a casino located within
16 the municipality, and a county shall receive $1 for each person
17 entering or estimated to be entering a casino or embarking or
18 estimated to be embarking on a riverboat docked within the
19 county but outside the boundaries of any municipality. The
20 municipality's or county's share shall be collected by the
21 Board on behalf of the State and remitted quarterly by the
22 State, subject to appropriation, to the treasurer of the unit
23 of local government for deposit in the general fund.
24     (c) The licensed owner, shall pay the entire admission tax
25 to the Board and the licensed manager, or the casino operator
26 licensee shall pay the entire admission fee to the Board. Such

 

 

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1 payments shall be made daily or monthly if the riverboat or
2 casino is paying monthly payments. Accompanying each payment
3 shall be a return on forms provided by the Board which shall
4 include other information regarding admissions as the Board may
5 require. Failure to submit either the payment or the return
6 within the specified time may result in suspension or
7 revocation of the owners or managers license.
8     (d) The Board shall administer and collect the admission
9 tax imposed by this Section, to the extent practicable, in a
10 manner consistent with the provisions of Sections 4, 5, 5a, 5b,
11 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of the
12 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
13 Penalty and Interest Act.
14 (Source: P.A. 94-673, eff. 8-23-05; 95-663, eff. 10-11-07.)
 
15     (230 ILCS 10/13)  (from Ch. 120, par. 2413)
16     Sec. 13. Wagering tax; rate; distribution.
17     (a) Until January 1, 1998, a tax is imposed on the adjusted
18 gross receipts received from gambling games authorized under
19 this Act at the rate of 20%.
20     (a-1) From January 1, 1998 until July 1, 2002, a privilege
21 tax is imposed on persons engaged in the business of conducting
22 riverboat gambling operations, based on the adjusted gross
23 receipts received by a licensed owner from gambling games
24 authorized under this Act at the following rates:
25         15% of annual adjusted gross receipts up to and

 

 

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

 

 

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1         45% of annual adjusted gross receipts in excess of
2     $150,000,000 but not exceeding $200,000,000;
3         50% of annual adjusted gross receipts in excess of
4     $200,000,000.
5     (a-3) Beginning July 1, 2003, a privilege tax is imposed on
6 persons engaged in the business of conducting riverboat
7 gambling operations, other than licensed managers conducting
8 riverboat gambling operations on behalf of the State, based on
9 the adjusted gross receipts received by a licensed owner from
10 gambling games authorized under this Act at the following
11 rates:
12         15% of annual adjusted gross receipts up to and
13     including $25,000,000;
14         27.5% of annual adjusted gross receipts in excess of
15     $25,000,000 but not exceeding $37,500,000;
16         32.5% of annual adjusted gross receipts in excess of
17     $37,500,000 but not exceeding $50,000,000;
18         37.5% of annual adjusted gross receipts in excess of
19     $50,000,000 but not exceeding $75,000,000;
20         45% of annual adjusted gross receipts in excess of
21     $75,000,000 but not exceeding $100,000,000;
22         50% of annual adjusted gross receipts in excess of
23     $100,000,000 but not exceeding $250,000,000;
24         70% of annual adjusted gross receipts in excess of
25     $250,000,000.
26     An amount equal to the amount of wagering taxes collected

 

 

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1 under this subsection (a-3) that are in addition to the amount
2 of wagering taxes that would have been collected if the
3 wagering tax rates under subsection (a-2) were in effect shall
4 be paid into the Common School Fund.
5     The privilege tax imposed under this subsection (a-3) shall
6 no longer be imposed beginning on the earlier of (i) July 1,
7 2005; (ii) the first date after June 20, 2003 that riverboat
8 gambling operations are conducted pursuant to a dormant
9 license; or (iii) the first day that riverboat gambling
10 operations are conducted under the authority of an owners
11 license that is in addition to the 10 owners licenses initially
12 authorized under this Act. For the purposes of this subsection
13 (a-3), the term "dormant license" means an owners license that
14 is authorized by this Act under which no riverboat gambling
15 operations are being conducted on June 20, 2003.
16     (a-4) Beginning on the first day on which the tax imposed
17 under subsection (a-3) is no longer imposed, a privilege tax is
18 imposed on persons engaged in the business of conducting
19 riverboat or casino gambling or electronic gaming operations,
20 other than licensed managers conducting riverboat gambling
21 operations on behalf of the State, based on the adjusted gross
22 receipts received by a licensed owner from gambling games
23 authorized under this Act at the following rates:
24         15% of annual adjusted gross receipts up to and
25     including $25,000,000;
26         22.5% of annual adjusted gross receipts in excess of

 

 

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1     $25,000,000 but not exceeding $50,000,000;
2         27.5% of annual adjusted gross receipts in excess of
3     $50,000,000 but not exceeding $75,000,000;
4         32.5% of annual adjusted gross receipts in excess of
5     $75,000,000 but not exceeding $100,000,000;
6         37.5% of annual adjusted gross receipts in excess of
7     $100,000,000 but not exceeding $150,000,000;
8         45% of annual adjusted gross receipts in excess of
9     $150,000,000 but not exceeding $200,000,000;
10         50% of annual adjusted gross receipts in excess of
11     $200,000,000.
12     (a-5) Beginning on the effective date of this amendatory
13 Act of the 96th General Assembly, each of the privilege tax
14 rates on annual adjusted gross receipts not exceeding
15 $150,000,000 shall be reduced by one percentage point and each
16 of the privilege tax rates on annual adjusted gross receipts in
17 excess of $150,000,000 shall be reduced by 2 percentage points
18 for each of the following occurrences beginning on January 1 of
19 the next calendar year:
20         (1) The first electronic gaming licensee begins
21     conducting electronic gaming operations.
22         (2) The Board awards the license authorized under
23     subsection (e-5) of Section 7 of this Act.
24         (3) The licensee under subsection (e-5) of Section 7
25     begins conducting gambling operations.
26         (4) The licensee under paragraph (1) of subsection

 

 

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1     (e-10) of Section 7 begins conducting gambling operations.
2         (5) The licensee under paragraph (2) of subsection
3     (e-10) of Section 7 begins conducting gambling operations.
4     (a-7) If no admissions tax is imposed on admissions to a
5 riverboat under Section 12, then in addition to any other tax
6 imposed under this Section, a privilege tax of 1% of adjusted
7 gross receipts is imposed on that riverboat, the proceeds of
8 which shall be paid monthly, subject to appropriation by the
9 General Assembly, to the unit of local government that is
10 designated as the home dock of the riverboat upon which those
11 riverboat gambling operations are conducted.
12     (a-8) Riverboat gambling operations conducted by a
13 licensed manager on behalf of the State are not subject to the
14 tax imposed under this Section.
15     (a-10) The taxes imposed by this Section shall be paid by
16 the licensed owner or electronic gaming licensee to the Board
17 not later than 5:00 3:00 o'clock p.m. of the day after the day
18 when the wagers were made.
19     (a-15) If the privilege tax imposed under subsection (a-3)
20 is no longer imposed pursuant to item (i) of the last paragraph
21 of subsection (a-3), then by June 15 of each year, each owners
22 licensee, other than an owners licensee that admitted 1,000,000
23 persons or fewer in calendar year 2004, must, in addition to
24 the payment of all amounts otherwise due under this Section,
25 pay to the Board a reconciliation payment in the amount, if
26 any, by which the licensed owner's base amount exceeds the

 

 

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1 amount of net privilege tax paid by the licensed owner to the
2 Board in the then current State fiscal year. A licensed owner's
3 net privilege tax obligation due for the balance of the State
4 fiscal year shall be reduced up to the total of the amount paid
5 by the licensed owner in its June 15 reconciliation payment.
6 The obligation imposed by this subsection (a-15) is binding on
7 any person, firm, corporation, or other entity that acquires an
8 ownership interest in any such owners license. The obligation
9 imposed under this subsection (a-15) terminates on the earliest
10 of: (i) July 1, 2007, (ii) the first day after the effective
11 date of this amendatory Act of the 94th General Assembly that
12 riverboat gambling operations are conducted pursuant to a
13 dormant license, (iii) the first day that riverboat gambling
14 operations are conducted under the authority of an owners
15 license that is in addition to the 10 owners licenses initially
16 authorized under this Act, or (iv) the first day that a
17 licensee under the Illinois Horse Racing Act of 1975 conducts
18 gaming operations with slot machines or other electronic gaming
19 devices. The Board must reduce the obligation imposed under
20 this subsection (a-15) by an amount the Board deems reasonable
21 for any of the following reasons: (A) an act or acts of God,
22 (B) an act of bioterrorism or terrorism or a bioterrorism or
23 terrorism threat that was investigated by a law enforcement
24 agency, or (C) a condition beyond the control of the owners
25 licensee that does not result from any act or omission by the
26 owners licensee or any of its agents and that poses a hazardous

 

 

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1 threat to the health and safety of patrons. If an owners
2 licensee pays an amount in excess of its liability under this
3 Section, the Board shall apply the overpayment to future
4 payments required under this Section.
5     For purposes of this subsection (a-15):
6     "Act of God" means an incident caused by the operation of
7 an extraordinary force that cannot be foreseen, that cannot be
8 avoided by the exercise of due care, and for which no person
9 can be held liable.
10     "Base amount" means the following:
11         For a riverboat in Alton, $31,000,000.
12         For a riverboat in East Peoria, $43,000,000.
13         For the Empress riverboat in Joliet, $86,000,000.
14         For a riverboat in Metropolis, $45,000,000.
15         For the Harrah's riverboat in Joliet, $114,000,000.
16         For a riverboat in Aurora, $86,000,000.
17         For a riverboat in East St. Louis, $48,500,000.
18         For a riverboat in Elgin, $198,000,000.
19     "Dormant license" has the meaning ascribed to it in
20 subsection (a-3).
21     "Net privilege tax" means all privilege taxes paid by a
22 licensed owner to the Board under this Section, less all
23 payments made from the State Gaming Fund pursuant to subsection
24 (b) of this Section.
25     The changes made to this subsection (a-15) by Public Act
26 94-839 are intended to restate and clarify the intent of Public

 

 

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1 Act 94-673 with respect to the amount of the payments required
2 to be made under this subsection by an owners licensee to the
3 Board.
4     (b) Until January 1, 1998, 25% of the tax revenue deposited
5 in the State Gaming Fund under this Section shall be paid,
6 subject to appropriation by the General Assembly, to the unit
7 of local government which is designated as the home dock of the
8 riverboat. Except as otherwise provided in this subsection (b),
9 beginning Beginning January 1, 1998, from the tax revenue from
10 riverboat or casino gambling deposited in the State Gaming Fund
11 under this Section, an amount equal to 5% of adjusted gross
12 receipts generated by a casino or a riverboat shall be paid
13 monthly, subject to appropriation by the General Assembly, to
14 the unit of local government that is designated as the home
15 dock of the riverboat or in which the casino is located.
16     (b-5) Beginning on the effective date of this amendatory
17 Act of the 96th General Assembly, from the tax revenue from
18 electronic gaming deposited into the State Gaming Fund under
19 this Section, an amount equal to 1% of the adjusted gross
20 receipts generated by an electronic gaming licensee shall be
21 paid monthly, subject to appropriation, to the municipality in
22 which the electronic gaming facility is located. If an
23 electronic gaming facility is not located within a
24 municipality, then an amount equal to 1% of the adjusted gross
25 receipts generated by the electronic gaming licensee shall be
26 paid monthly, subject to appropriation, to the county in which

 

 

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1 the electronic gaming facility is located.
2     (b-10) From the tax revenue deposited in the State Gaming
3 Fund pursuant to riverboat gambling operations conducted by a
4 licensed manager on behalf of the State, an amount equal to 5%
5 of adjusted gross receipts generated pursuant to those
6 riverboat gambling operations shall be paid monthly, subject to
7 appropriation by the General Assembly, to the unit of local
8 government in which the casino is located or that is designated
9 as the home dock of the riverboat upon which those riverboat
10 gambling operations are conducted.
11     (c) Appropriations, as approved by the General Assembly,
12 may be made from the State Gaming Fund to the Department of
13 Revenue and the Department of State Police for the
14 administration and enforcement of this Act, or to the
15 Department of Human Services for the administration of programs
16 to treat problem gambling.
17     (c-5) Before May 26, 2006 (the effective date of Public Act
18 94-804) and beginning on the effective date of this amendatory
19 Act of the 95th General Assembly, unless any organization
20 licensee under the Illinois Horse Racing Act of 1975 begins to
21 operate a slot machine or video game of chance under the
22 Illinois Horse Racing Act of 1975 or this Act, after the
23 payments required under subsections (b) and (c) have been made,
24 an amount equal to 15% of the adjusted gross receipts of (1) an
25 owners licensee that relocates pursuant to Section 11.2, (2) an
26 owners licensee conducting riverboat gambling operations

 

 

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1 pursuant to an owners license that is initially issued after
2 June 25, 1999, or (3) the first riverboat gambling operations
3 conducted by a licensed manager on behalf of the State under
4 Section 7.3, whichever comes first, shall be paid from the
5 State Gaming Fund into the Horse Racing Equity Trust Fund.
6     (c-10) Each year the General Assembly shall appropriate
7 from the General Revenue Fund to the Education Assistance Fund
8 an amount equal to the amount paid into the Horse Racing Equity
9 Trust Fund pursuant to subsection (c-5) in the prior calendar
10 year.
11     (c-15) After the payments required under subsections (b),
12 (c), and (c-5) have been made, an amount equal to 2% of the
13 adjusted gross receipts of (1) an owners licensee that
14 relocates pursuant to Section 11.2, (2) an owners licensee
15 conducting riverboat gambling operations pursuant to an owners
16 license that is initially issued after June 25, 1999, or (3)
17 the first riverboat gambling operations conducted by a licensed
18 manager on behalf of the State under Section 7.3, whichever
19 comes first, shall be paid, subject to appropriation from the
20 General Assembly, from the State Gaming Fund to each home rule
21 county with a population of over 3,000,000 inhabitants for the
22 purpose of enhancing the county's criminal justice system.
23     (c-20) Each year the General Assembly shall appropriate
24 from the General Revenue Fund to the Education Assistance Fund
25 an amount equal to the amount paid to each home rule county
26 with a population of over 3,000,000 inhabitants pursuant to

 

 

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

 

 

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1 (Source: P.A. 94-673, eff. 8-23-05; 94-804, eff. 5-26-06;
2 94-839, eff. 6-6-06; 95-331, eff. 8-21-07; 95-1008, eff.
3 12-15-08.)
 
4     (230 ILCS 10/14)   (from Ch. 120, par. 2414)
5     Sec. 14. Licensees - Records - Reports - Supervision.
6     (a) A Licensed owners and electronic gaming licensees owner
7 shall keep their his books and records so as to clearly show
8 the following:
9     (1) The amount received daily from admission fees.
10     (2) The total amount of gross receipts.
11     (3) The total amount of the adjusted gross receipts.
12     (b) The Licensed owners and electronic gaming licensees
13 owner shall furnish to the Board reports and information as the
14 Board may require with respect to its activities on forms
15 designed and supplied for such purpose by the Board.
16     (c) The books and records kept by a licensed owner or
17 electronic gaming licensee as provided by this Section are
18 public records and the examination, publication, and
19 dissemination of the books and records are governed by the
20 provisions of The Freedom of Information Act.
21 (Source: P.A. 86-1029.)
 
22     (230 ILCS 10/18)   (from Ch. 120, par. 2418)
23     Sec. 18. Prohibited Activities - Penalty.
24     (a) A person is guilty of a Class A misdemeanor for doing

 

 

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1 any of the following:
2         (1) Conducting gambling where wagering is used or to be
3     used without a license issued by the Board.
4         (2) Conducting gambling where wagering is permitted
5     other than in the manner specified by Section 11.
6     (b) A person is guilty of a Class B misdemeanor for doing
7 any of the following:
8         (1) permitting a person under 21 years to make a wager;
9     or
10         (2) violating paragraph (12) of subsection (a) of
11     Section 11 of this Act.
12     (c) A person wagering or accepting a wager at any location
13 outside the riverboat, casino, or electronic gaming facility in
14 violation of paragraph is subject to the penalties in
15 paragraphs (1) or (2) of subsection (a) of Section 28-1 of the
16 Criminal Code of 1961 is subject to the penalties provided in
17 that Section.
18     (d) A person commits a Class 4 felony and, in addition,
19 shall be barred for life from gambling operations riverboats
20 under the jurisdiction of the Board, if the person does any of
21 the following:
22         (1) Offers, promises, or gives anything of value or
23     benefit to a person who is connected with a riverboat or
24     casino owner or electronic gaming licensee including, but
25     not limited to, an officer or employee of a licensed owner
26     or electronic gaming licensee or holder of an occupational

 

 

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1     license pursuant to an agreement or arrangement or with the
2     intent that the promise or thing of value or benefit will
3     influence the actions of the person to whom the offer,
4     promise, or gift was made in order to affect or attempt to
5     affect the outcome of a gambling game, or to influence
6     official action of a member of the Board.
7         (2) Solicits or knowingly accepts or receives a promise
8     of anything of value or benefit while the person is
9     connected with a riverboat, casino, or electronic gaming
10     facility, including, but not limited to, an officer or
11     employee of a licensed owner or electronic gaming licensee,
12     or the holder of an occupational license, pursuant to an
13     understanding or arrangement or with the intent that the
14     promise or thing of value or benefit will influence the
15     actions of the person to affect or attempt to affect the
16     outcome of a gambling game, or to influence official action
17     of a member of the Board.
18         (3) Uses or possesses with the intent to use a device
19     to assist:
20             (i) In projecting the outcome of the game.
21             (ii) In keeping track of the cards played.
22             (iii) In analyzing the probability of the
23         occurrence of an event relating to the gambling game.
24             (iv) In analyzing the strategy for playing or
25         betting to be used in the game except as permitted by
26         the Board.

 

 

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1         (4) Cheats at a gambling game.
2         (5) Manufactures, sells, or distributes any cards,
3     chips, dice, game or device which is intended to be used to
4     violate any provision of this Act.
5         (6) Alters or misrepresents the outcome of a gambling
6     game on which wagers have been made after the outcome is
7     made sure but before it is revealed to the players.
8         (7) Places a bet after acquiring knowledge, not
9     available to all players, of the outcome of the gambling
10     game which is subject of the bet or to aid a person in
11     acquiring the knowledge for the purpose of placing a bet
12     contingent on that outcome.
13         (8) Claims, collects, or takes, or attempts to claim,
14     collect, or take, money or anything of value in or from the
15     gambling games, with intent to defraud, without having made
16     a wager contingent on winning a gambling game, or claims,
17     collects, or takes an amount of money or thing of value of
18     greater value than the amount won.
19         (9) Uses counterfeit chips or tokens in a gambling
20     game.
21         (10) Possesses any key or device designed for the
22     purpose of opening, entering, or affecting the operation of
23     a gambling game, drop box, or an electronic or mechanical
24     device connected with the gambling game or for removing
25     coins, tokens, chips or other contents of a gambling game.
26     This paragraph (10) does not apply to a gambling licensee

 

 

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1     or employee of a gambling licensee acting in furtherance of
2     the employee's employment.
3     (e) The possession of more than one of the devices
4 described in subsection (d), paragraphs (3), (5) or (10)
5 permits a rebuttable presumption that the possessor intended to
6 use the devices for cheating.
7     An action to prosecute any crime occurring on a riverboat
8 shall be tried in the county of the dock at which the riverboat
9 is based. An action to prosecute any crime occurring in a
10 casino shall be tried in the county in which the casino is
11 located.
12 (Source: P.A. 91-40, eff. 6-25-99.)
 
13     (230 ILCS 10/19)   (from Ch. 120, par. 2419)
14     Sec. 19. Forfeiture of property.
15     (a) Except as provided in subsection (b), any riverboat,
16 casino, or electronic gaming facility used for the conduct of
17 gambling games in violation of this Act shall be considered a
18 gambling place in violation of Section 28-3 of the Criminal
19 Code of 1961, as now or hereafter amended. Every gambling
20 device found on a riverboat, in a casino, or at an electronic
21 gaming facility operating gambling games in violation of this
22 Act and every slot machine found at an electronic gaming
23 facility operating gambling games in violation of this Act
24 shall be subject to seizure, confiscation and destruction as
25 provided in Section 28-5 of the Criminal Code of 1961, as now

 

 

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1 or hereafter amended.
2     (b) It is not a violation of this Act for a riverboat or
3 other watercraft which is licensed for gaming by a contiguous
4 state to dock on the shores of this State if the municipality
5 having jurisdiction of the shores, or the county in the case of
6 unincorporated areas, has granted permission for docking and no
7 gaming is conducted on the riverboat or other watercraft while
8 it is docked on the shores of this State. No gambling device
9 shall be subject to seizure, confiscation or destruction if the
10 gambling device is located on a riverboat or other watercraft
11 which is licensed for gaming by a contiguous state and which is
12 docked on the shores of this State if the municipality having
13 jurisdiction of the shores, or the county in the case of
14 unincorporated areas, has granted permission for docking and no
15 gaming is conducted on the riverboat or other watercraft while
16 it is docked on the shores of this State.
17 (Source: P.A. 86-1029.)
 
18     (230 ILCS 10/20)   (from Ch. 120, par. 2420)
19     Sec. 20. Prohibited activities - civil penalties. Any
20 person who conducts a gambling operation without first
21 obtaining a license to do so, or who continues to conduct such
22 games after revocation of his license, or any licensee who
23 conducts or allows to be conducted any unauthorized gambling
24 games on a riverboat, in a casino, or at an electronic gaming
25 facility where it is authorized to conduct its riverboat

 

 

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1 gambling operation, in addition to other penalties provided,
2 shall be subject to a civil penalty equal to the amount of
3 gross receipts derived from wagering on the gambling games,
4 whether unauthorized or authorized, conducted on that day as
5 well as confiscation and forfeiture of all gambling game
6 equipment used in the conduct of unauthorized gambling games.
7 (Source: P.A. 86-1029.)
 
8     Section 90-35. The Liquor Control Act of 1934 is amended by
9 changing Sections 5-1 and 6-30 as follows:
 
10     (235 ILCS 5/5-1)  (from Ch. 43, par. 115)
11     Sec. 5-1. Licenses issued by the Illinois Liquor Control
12 Commission shall be of the following classes:
13     (a) Manufacturer's license - Class 1. Distiller, Class 2.
14 Rectifier, Class 3. Brewer, Class 4. First Class Wine
15 Manufacturer, Class 5. Second Class Wine Manufacturer, Class 6.
16 First Class Winemaker, Class 7. Second Class Winemaker, Class
17 8. Limited Wine Manufacturer,
18     (b) Distributor's license,
19     (c) Importing Distributor's license,
20     (d) Retailer's license,
21     (e) Special Event Retailer's license (not-for-profit),
22     (f) Railroad license,
23     (g) Boat license,
24     (h) Non-Beverage User's license,

 

 

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1     (i) Wine-maker's premises license,
2     (j) Airplane license,
3     (k) Foreign importer's license,
4     (l) Broker's license,
5     (m) Non-resident dealer's license,
6     (n) Brew Pub license,
7     (o) Auction liquor license,
8     (p) Caterer retailer license,
9     (q) Special use permit license,
10     (r) Winery shipper's license.
11     No person, firm, partnership, corporation, or other legal
12 business entity that is engaged in the manufacturing of wine
13 may concurrently obtain and hold a wine-maker's license and a
14 wine manufacturer's license.
15     (a) A manufacturer's license shall allow the manufacture,
16 importation in bulk, storage, distribution and sale of
17 alcoholic liquor to persons without the State, as may be
18 permitted by law and to licensees in this State as follows:
19     Class 1. A Distiller may make sales and deliveries of
20 alcoholic liquor to distillers, rectifiers, importing
21 distributors, distributors and non-beverage users and to no
22 other licensees.
23     Class 2. A Rectifier, who is not a distiller, as defined
24 herein, may make sales and deliveries of alcoholic liquor to
25 rectifiers, importing distributors, distributors, retailers
26 and non-beverage users and to no other licensees.

 

 

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1     Class 3. A Brewer may make sales and deliveries of beer to
2 importing distributors, distributors, and to non-licensees,
3 and to retailers provided the brewer obtains an importing
4 distributor's license or distributor's license in accordance
5 with the provisions of this Act.
6     Class 4. A first class wine-manufacturer may make sales and
7 deliveries of up to 50,000 gallons of wine to manufacturers,
8 importing distributors and distributors, and to no other
9 licensees.
10     Class 5. A second class Wine manufacturer may make sales
11 and deliveries of more than 50,000 gallons of wine to
12 manufacturers, importing distributors and distributors and to
13 no other licensees.
14     Class 6. A first-class wine-maker's license shall allow the
15 manufacture of up to 50,000 gallons of wine per year, and the
16 storage and sale of such wine to distributors in the State and
17 to persons without the State, as may be permitted by law. A
18 person who, prior to the effective date of this amendatory Act
19 of the 95th General Assembly, is a holder of a first-class
20 wine-maker's license and annually produces more than 25,000
21 gallons of its own wine and who distributes its wine to
22 licensed retailers shall cease this practice on or before July
23 1, 2008 in compliance with this amendatory Act of the 95th
24 General Assembly.
25     Class 7. A second-class wine-maker's license shall allow
26 the manufacture of between 50,000 and 150,000 gallons of wine

 

 

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1 per year, and the storage and sale of such wine to distributors
2 in this State and to persons without the State, as may be
3 permitted by law. A person who, prior to the effective date of
4 this amendatory Act of the 95th General Assembly, is a holder
5 of a second-class wine-maker's license and annually produces
6 more than 25,000 gallons of its own wine and who distributes
7 its wine to licensed retailers shall cease this practice on or
8 before July 1, 2008 in compliance with this amendatory Act of
9 the 95th General Assembly.
10     Class 8. A limited wine-manufacturer may make sales and
11 deliveries not to exceed 40,000 gallons of wine per year to
12 distributors, and to non-licensees in accordance with the
13 provisions of this Act.
14     (a-1) A manufacturer which is licensed in this State to
15 make sales or deliveries of alcoholic liquor and which enlists
16 agents, representatives, or individuals acting on its behalf
17 who contact licensed retailers on a regular and continual basis
18 in this State must register those agents, representatives, or
19 persons acting on its behalf with the State Commission.
20     Registration of agents, representatives, or persons acting
21 on behalf of a manufacturer is fulfilled by submitting a form
22 to the Commission. The form shall be developed by the
23 Commission and shall include the name and address of the
24 applicant, the name and address of the manufacturer he or she
25 represents, the territory or areas assigned to sell to or
26 discuss pricing terms of alcoholic liquor, and any other

 

 

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1 questions deemed appropriate and necessary. All statements in
2 the forms required to be made by law or by rule shall be deemed
3 material, and any person who knowingly misstates any material
4 fact under oath in an application is guilty of a Class B
5 misdemeanor. Fraud, misrepresentation, false statements,
6 misleading statements, evasions, or suppression of material
7 facts in the securing of a registration are grounds for
8 suspension or revocation of the registration.
9     (b) A distributor's license shall allow the wholesale
10 purchase and storage of alcoholic liquors and sale of alcoholic
11 liquors to licensees in this State and to persons without the
12 State, as may be permitted by law.
13     (c) An importing distributor's license may be issued to and
14 held by those only who are duly licensed distributors, upon the
15 filing of an application by a duly licensed distributor, with
16 the Commission and the Commission shall, without the payment of
17 any fee, immediately issue such importing distributor's
18 license to the applicant, which shall allow the importation of
19 alcoholic liquor by the licensee into this State from any point
20 in the United States outside this State, and the purchase of
21 alcoholic liquor in barrels, casks or other bulk containers and
22 the bottling of such alcoholic liquors before resale thereof,
23 but all bottles or containers so filled shall be sealed,
24 labeled, stamped and otherwise made to comply with all
25 provisions, rules and regulations governing manufacturers in
26 the preparation and bottling of alcoholic liquors. The

 

 

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1 importing distributor's license shall permit such licensee to
2 purchase alcoholic liquor from Illinois licensed non-resident
3 dealers and foreign importers only.
4     (d) A retailer's license shall allow the licensee to sell
5 and offer for sale at retail, only in the premises specified in
6 the license, alcoholic liquor for use or consumption, but not
7 for resale in any form. Nothing in this amendatory Act of the
8 95th General Assembly shall deny, limit, remove, or restrict
9 the ability of a holder of a retailer's license to transfer,
10 deliver, or ship alcoholic liquor to the purchaser for use or
11 consumption subject to any applicable local law or ordinance.
12 Any retail license issued to a manufacturer shall only permit
13 the manufacturer to sell beer at retail on the premises
14 actually occupied by the manufacturer. For the purpose of
15 further describing the type of business conducted at a retail
16 licensed premises, a retailer's licensee may be designated by
17 the State Commission as (i) an on premise consumption retailer,
18 (ii) an off premise sale retailer, or (iii) a combined on
19 premise consumption and off premise sale retailer.
20     Notwithstanding any other provision of this subsection
21 (d), a retail licensee may sell alcoholic liquors to a special
22 event retailer licensee for resale to the extent permitted
23 under subsection (e).
24     (e) A special event retailer's license (not-for-profit)
25 shall permit the licensee to purchase alcoholic liquors from an
26 Illinois licensed distributor (unless the licensee purchases

 

 

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1 less than $500 of alcoholic liquors for the special event, in
2 which case the licensee may purchase the alcoholic liquors from
3 a licensed retailer) and shall allow the licensee to sell and
4 offer for sale, at retail, alcoholic liquors for use or
5 consumption, but not for resale in any form and only at the
6 location and on the specific dates designated for the special
7 event in the license. An applicant for a special event retailer
8 license must (i) furnish with the application: (A) a resale
9 number issued under Section 2c of the Retailers' Occupation Tax
10 Act or evidence that the applicant is registered under Section
11 2a of the Retailers' Occupation Tax Act, (B) a current, valid
12 exemption identification number issued under Section 1g of the
13 Retailers' Occupation Tax Act, and a certification to the
14 Commission that the purchase of alcoholic liquors will be a
15 tax-exempt purchase, or (C) a statement that the applicant is
16 not registered under Section 2a of the Retailers' Occupation
17 Tax Act, does not hold a resale number under Section 2c of the
18 Retailers' Occupation Tax Act, and does not hold an exemption
19 number under Section 1g of the Retailers' Occupation Tax Act,
20 in which event the Commission shall set forth on the special
21 event retailer's license a statement to that effect; (ii)
22 submit with the application proof satisfactory to the State
23 Commission that the applicant will provide dram shop liability
24 insurance in the maximum limits; and (iii) show proof
25 satisfactory to the State Commission that the applicant has
26 obtained local authority approval.

 

 

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1     (f) A railroad license shall permit the licensee to import
2 alcoholic liquors into this State from any point in the United
3 States outside this State and to store such alcoholic liquors
4 in this State; to make wholesale purchases of alcoholic liquors
5 directly from manufacturers, foreign importers, distributors
6 and importing distributors from within or outside this State;
7 and to store such alcoholic liquors in this State; provided
8 that the above powers may be exercised only in connection with
9 the importation, purchase or storage of alcoholic liquors to be
10 sold or dispensed on a club, buffet, lounge or dining car
11 operated on an electric, gas or steam railway in this State;
12 and provided further, that railroad licensees exercising the
13 above powers shall be subject to all provisions of Article VIII
14 of this Act as applied to importing distributors. A railroad
15 license shall also permit the licensee to sell or dispense
16 alcoholic liquors on any club, buffet, lounge or dining car
17 operated on an electric, gas or steam railway regularly
18 operated by a common carrier in this State, but shall not
19 permit the sale for resale of any alcoholic liquors to any
20 licensee within this State. A license shall be obtained for
21 each car in which such sales are made.
22     (g) A boat license shall allow the sale of alcoholic liquor
23 in individual drinks, on any passenger boat regularly operated
24 as a common carrier on navigable waters in this State or on any
25 riverboat operated under the Illinois Riverboat Gambling Act,
26 which boat or riverboat maintains a public dining room or

 

 

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1 restaurant thereon.
2     (h) A non-beverage user's license shall allow the licensee
3 to purchase alcoholic liquor from a licensed manufacturer or
4 importing distributor, without the imposition of any tax upon
5 the business of such licensed manufacturer or importing
6 distributor as to such alcoholic liquor to be used by such
7 licensee solely for the non-beverage purposes set forth in
8 subsection (a) of Section 8-1 of this Act, and such licenses
9 shall be divided and classified and shall permit the purchase,
10 possession and use of limited and stated quantities of
11 alcoholic liquor as follows:
12 Class 1, not to exceed ......................... 500 gallons
13 Class 2, not to exceed ....................... 1,000 gallons
14 Class 3, not to exceed ....................... 5,000 gallons
15 Class 4, not to exceed ...................... 10,000 gallons
16 Class 5, not to exceed ....................... 50,000 gallons
17     (i) A wine-maker's premises license shall allow a licensee
18 that concurrently holds a first-class wine-maker's license to
19 sell and offer for sale at retail in the premises specified in
20 such license not more than 50,000 gallons of the first-class
21 wine-maker's wine that is made at the first-class wine-maker's
22 licensed premises per year for use or consumption, but not for
23 resale in any form. A wine-maker's premises license shall allow
24 a licensee who concurrently holds a second-class wine-maker's
25 license to sell and offer for sale at retail in the premises
26 specified in such license up to 100,000 gallons of the

 

 

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1 second-class wine-maker's wine that is made at the second-class
2 wine-maker's licensed premises per year for use or consumption
3 but not for resale in any form. A wine-maker's premises license
4 shall allow a licensee that concurrently holds a first-class
5 wine-maker's license or a second-class wine-maker's license to
6 sell and offer for sale at retail at the premises specified in
7 the wine-maker's premises license, for use or consumption but
8 not for resale in any form, any beer, wine, and spirits
9 purchased from a licensed distributor. Upon approval from the
10 State Commission, a wine-maker's premises license shall allow
11 the licensee to sell and offer for sale at (i) the wine-maker's
12 licensed premises and (ii) at up to 2 additional locations for
13 use and consumption and not for resale. Each location shall
14 require additional licensing per location as specified in
15 Section 5-3 of this Act. A wine-maker's premises licensee shall
16 secure liquor liability insurance coverage in an amount at
17 least equal to the maximum liability amounts set forth in
18 subsection (a) of Section 6-21 of this Act.
19     (j) An airplane license shall permit the licensee to import
20 alcoholic liquors into this State from any point in the United
21 States outside this State and to store such alcoholic liquors
22 in this State; to make wholesale purchases of alcoholic liquors
23 directly from manufacturers, foreign importers, distributors
24 and importing distributors from within or outside this State;
25 and to store such alcoholic liquors in this State; provided
26 that the above powers may be exercised only in connection with

 

 

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1 the importation, purchase or storage of alcoholic liquors to be
2 sold or dispensed on an airplane; and provided further, that
3 airplane licensees exercising the above powers shall be subject
4 to all provisions of Article VIII of this Act as applied to
5 importing distributors. An airplane licensee shall also permit
6 the sale or dispensing of alcoholic liquors on any passenger
7 airplane regularly operated by a common carrier in this State,
8 but shall not permit the sale for resale of any alcoholic
9 liquors to any licensee within this State. A single airplane
10 license shall be required of an airline company if liquor
11 service is provided on board aircraft in this State. The annual
12 fee for such license shall be as determined in Section 5-3.
13     (k) A foreign importer's license shall permit such licensee
14 to purchase alcoholic liquor from Illinois licensed
15 non-resident dealers only, and to import alcoholic liquor other
16 than in bulk from any point outside the United States and to
17 sell such alcoholic liquor to Illinois licensed importing
18 distributors and to no one else in Illinois; provided that (i)
19 the foreign importer registers with the State Commission every
20 brand of alcoholic liquor that it proposes to sell to Illinois
21 licensees during the license period, (ii) the foreign importer
22 complies with all of the provisions of Section 6-9 of this Act
23 with respect to registration of such Illinois licensees as may
24 be granted the right to sell such brands at wholesale, and
25 (iii) the foreign importer complies with the provisions of
26 Sections 6-5 and 6-6 of this Act to the same extent that these

 

 

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1 provisions apply to manufacturers.
2     (l) (i) A broker's license shall be required of all persons
3 who solicit orders for, offer to sell or offer to supply
4 alcoholic liquor to retailers in the State of Illinois, or who
5 offer to retailers to ship or cause to be shipped or to make
6 contact with distillers, rectifiers, brewers or manufacturers
7 or any other party within or without the State of Illinois in
8 order that alcoholic liquors be shipped to a distributor,
9 importing distributor or foreign importer, whether such
10 solicitation or offer is consummated within or without the
11 State of Illinois.
12     No holder of a retailer's license issued by the Illinois
13 Liquor Control Commission shall purchase or receive any
14 alcoholic liquor, the order for which was solicited or offered
15 for sale to such retailer by a broker unless the broker is the
16 holder of a valid broker's license.
17     The broker shall, upon the acceptance by a retailer of the
18 broker's solicitation of an order or offer to sell or supply or
19 deliver or have delivered alcoholic liquors, promptly forward
20 to the Illinois Liquor Control Commission a notification of
21 said transaction in such form as the Commission may by
22 regulations prescribe.
23     (ii) A broker's license shall be required of a person
24 within this State, other than a retail licensee, who, for a fee
25 or commission, promotes, solicits, or accepts orders for
26 alcoholic liquor, for use or consumption and not for resale, to

 

 

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1 be shipped from this State and delivered to residents outside
2 of this State by an express company, common carrier, or
3 contract carrier. This Section does not apply to any person who
4 promotes, solicits, or accepts orders for wine as specifically
5 authorized in Section 6-29 of this Act.
6     A broker's license under this subsection (l) shall not
7 entitle the holder to buy or sell any alcoholic liquors for his
8 own account or to take or deliver title to such alcoholic
9 liquors.
10     This subsection (l) shall not apply to distributors,
11 employees of distributors, or employees of a manufacturer who
12 has registered the trademark, brand or name of the alcoholic
13 liquor pursuant to Section 6-9 of this Act, and who regularly
14 sells such alcoholic liquor in the State of Illinois only to
15 its registrants thereunder.
16     Any agent, representative, or person subject to
17 registration pursuant to subsection (a-1) of this Section shall
18 not be eligible to receive a broker's license.
19     (m) A non-resident dealer's license shall permit such
20 licensee to ship into and warehouse alcoholic liquor into this
21 State from any point outside of this State, and to sell such
22 alcoholic liquor to Illinois licensed foreign importers and
23 importing distributors and to no one else in this State;
24 provided that (i) said non-resident dealer shall register with
25 the Illinois Liquor Control Commission each and every brand of
26 alcoholic liquor which it proposes to sell to Illinois

 

 

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1 licensees during the license period, (ii) it shall comply with
2 all of the provisions of Section 6-9 hereof with respect to
3 registration of such Illinois licensees as may be granted the
4 right to sell such brands at wholesale, and (iii) the
5 non-resident dealer shall comply with the provisions of
6 Sections 6-5 and 6-6 of this Act to the same extent that these
7 provisions apply to manufacturers.
8     (n) A brew pub license shall allow the licensee to
9 manufacture beer only on the premises specified in the license,
10 to make sales of the beer manufactured on the premises to
11 importing distributors, distributors, and to non-licensees for
12 use and consumption, to store the beer upon the premises, and
13 to sell and offer for sale at retail from the licensed
14 premises, provided that a brew pub licensee shall not sell for
15 off-premises consumption more than 50,000 gallons per year.
16     (o) A caterer retailer license shall allow the holder to
17 serve alcoholic liquors as an incidental part of a food service
18 that serves prepared meals which excludes the serving of snacks
19 as the primary meal, either on or off-site whether licensed or
20 unlicensed.
21     (p) An auction liquor license shall allow the licensee to
22 sell and offer for sale at auction wine and spirits for use or
23 consumption, or for resale by an Illinois liquor licensee in
24 accordance with provisions of this Act. An auction liquor
25 license will be issued to a person and it will permit the
26 auction liquor licensee to hold the auction anywhere in the

 

 

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1 State. An auction liquor license must be obtained for each
2 auction at least 14 days in advance of the auction date.
3     (q) A special use permit license shall allow an Illinois
4 licensed retailer to transfer a portion of its alcoholic liquor
5 inventory from its retail licensed premises to the premises
6 specified in the license hereby created, and to sell or offer
7 for sale at retail, only in the premises specified in the
8 license hereby created, the transferred alcoholic liquor for
9 use or consumption, but not for resale in any form. A special
10 use permit license may be granted for the following time
11 periods: one day or less; 2 or more days to a maximum of 15 days
12 per location in any 12 month period. An applicant for the
13 special use permit license must also submit with the
14 application proof satisfactory to the State Commission that the
15 applicant will provide dram shop liability insurance to the
16 maximum limits and have local authority approval.
17     (r) A winery shipper's license shall allow a person with a
18 first-class or second-class wine manufacturer's license, a
19 first-class or second-class wine-maker's license, or a limited
20 wine manufacturer's license or who is licensed to make wine
21 under the laws of another state to ship wine made by that
22 licensee directly to a resident of this State who is 21 years
23 of age or older for that resident's personal use and not for
24 resale. Prior to receiving a winery shipper's license, an
25 applicant for the license must provide the Commission with a
26 true copy of its current license in any state in which it is

 

 

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1 licensed as a manufacturer of wine. An applicant for a winery
2 shipper's license must also complete an application form that
3 provides any other information the Commission deems necessary.
4 The application form shall include an acknowledgement
5 consenting to the jurisdiction of the Commission, the Illinois
6 Department of Revenue, and the courts of this State concerning
7 the enforcement of this Act and any related laws, rules, and
8 regulations, including authorizing the Department of Revenue
9 and the Commission to conduct audits for the purpose of
10 ensuring compliance with this amendatory Act.
11     A winery shipper licensee must pay to the Department of
12 Revenue the State liquor gallonage tax under Section 8-1 for
13 all wine that is sold by the licensee and shipped to a person
14 in this State. For the purposes of Section 8-1, a winery
15 shipper licensee shall be taxed in the same manner as a
16 manufacturer of wine. A licensee who is not otherwise required
17 to register under the Retailers' Occupation Tax Act must
18 register under the Use Tax Act to collect and remit use tax to
19 the Department of Revenue for all gallons of wine that are sold
20 by the licensee and shipped to persons in this State. If a
21 licensee fails to remit the tax imposed under this Act in
22 accordance with the provisions of Article VIII of this Act, the
23 winery shipper's license shall be revoked in accordance with
24 the provisions of Article VII of this Act. If a licensee fails
25 to properly register and remit tax under the Use Tax Act or the
26 Retailers' Occupation Tax Act for all wine that is sold by the

 

 

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1 winery shipper and shipped to persons in this State, the winery
2 shipper's license shall be revoked in accordance with the
3 provisions of Article VII of this Act.
4     A winery shipper licensee must collect, maintain, and
5 submit to the Commission on a semi-annual basis the total
6 number of cases per resident of wine shipped to residents of
7 this State. A winery shipper licensed under this subsection (r)
8 must comply with the requirements of Section 6-29 of this
9 amendatory Act.
10 (Source: P.A. 95-331, eff. 8-21-07; 95-634, eff. 6-1-08;
11 95-769, eff. 7-29-08.)
 
12     (235 ILCS 5/6-30)  (from Ch. 43, par. 144f)
13     Sec. 6-30. Notwithstanding any other provision of this Act,
14 the Illinois Gaming Board shall have exclusive authority to
15 establish the hours for sale and consumption of alcoholic
16 liquor on board a riverboat during riverboat gambling
17 excursions and in a casino conducted in accordance with the
18 Illinois Riverboat Gambling Act.
19 (Source: P.A. 87-826.)
 
20     Section 90-40.