97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB5887

 

Introduced 2/16/2012, by Rep. Renée Kosel

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 20/3.1
230 ILCS 20/3.2
230 ILCS 20/5  from Ch. 120, par. 1055

    Amends the Illinois Pull Tabs and Jar Games Act. Specifies that a jar game ticket shall contain the name of the game, the selling price of the ticket, the amount of the prize and the serial number of the ticket. Provides that, for pull tab or jar game tickets manufactured after January 1, 2013, the 5% tax required under the Act must be remitted by the manufacturer of the pull tab or jar game ticket based on the selling price of the ticket. Provides that the Department of Revenue shall adopt any rules necessary for the enforcement of the provisions. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5887LRB097 18886 AMC 66030 b

1    AN ACT concerning gaming.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pull Tabs and Jar Games Act is
5amended by changing Sections 3.1, 3.2, and 5 as follows:
 
6    (230 ILCS 20/3.1)
7    Sec. 3.1. Suppliers' license. The Department shall issue a
8suppliers' license permitting a person, firm or corporation to
9sell or distribute to any organization licensed to conduct pull
10tabs and jar games supplies, devices or other equipment
11designed for use in the playing of pull tabs and jar games. No
12person, firm or corporation shall sell or distribute pull tabs
13and jar games supplies without having first obtained a license.
14Licensed suppliers shall buy pull tabs and jar games only from
15licensed manufacturers and shall sell pull tabs and jar games
16only to licensed organizations. Licensed organizations shall
17buy pull tabs and jar games only from licensed suppliers.
18Applications for suppliers' licenses shall be made in writing
19in accordance with Department rules. The Department shall
20license suppliers of pull tabs and jar games subject to a
21nonrefundable annual fee of $5,000, or a nonrefundable
22triennial supplier's fee of $15,000. Each suppliers' license is
23valid for one year from date of issuance, or 3 years from date

 

 

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1of issuance for a triennial license, unless extended,
2suspended, or revoked by Department action before that date.
3Any extension of a suppliers' license shall not exceed one
4year. No licensed supplier under this Act shall sell,
5distribute or allow the use of any supplies, devices or
6equipment designed for use in the play of pull tabs and jar
7games for the conducting of anything other than pull tabs and
8jar games or to any person or organization not otherwise
9licensed under this Act.
10    The Department shall adopt by rule minimum quality
11production standards for pull tabs and jar games. In
12determining those standards, the Department shall consider the
13standards adopted by the National Association of Gambling
14Regulatory Agencies and the National Association of
15Fundraising Ticket Manufacturers. The standards shall include
16the name of the supplier which shall appear in plain view to
17the casual observer on the face side of each pull tab ticket
18and on each jar game ticket. The pull tab or jar game ticket
19shall contain the name of the game, the selling price of the
20ticket, the amount of the prize and the serial number of the
21ticket. The back side of a pull tab ticket shall contain a
22series of perforated tabs marked "open here". The logo of the
23manufacturer shall be clearly visible on each jar game ticket.
24(Source: P.A. 95-228, eff. 8-16-07.)
 
25    (230 ILCS 20/3.2)

 

 

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1    Sec. 3.2. Manufacturers' license. The Department shall
2issue a manufacturers' license permitting a person, firm or
3corporation that produces, creates, constructs, assembles or
4otherwise manufactures pull tab and jar games to sell or
5distribute to any organization licensed to supply pull tabs and
6jar games. No person, firm or corporation shall produce,
7create, construct, assemble or otherwise manufacture pull tab
8and jar games without having first obtained a license. Licensed
9manufacturers may sell pull tabs and jar games only to licensed
10suppliers. Applications for manufacturers' licenses shall be
11made in writing in accordance with Department rules. The
12Department of Revenue shall license manufacturers of pull tabs
13and jar games subject to a nonrefundable annual fee of $5,000,
14or a triennial supplier's license fee of $15,000. Each
15manufacturers' license is valid for one year from date of
16issuance, or 3 years from date of issuance for a triennial
17license, unless extended, suspended, or revoked by Department
18action before that date. Any extension of a manufacturers'
19license shall not exceed one year.
20    The Department shall adopt by rule minimum quality
21production standards for pull tabs and jar games. In
22determining those standards, the Department shall consider the
23standards adopted by the National Association of Gambling
24Regulatory Agencies and the National Association of
25Fundraising Ticket Manufacturers. The standards shall include
26the name of the supplier which shall appear in plain view to

 

 

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1the casual observer on the face side of each pull tab ticket
2and on each jar game ticket. The pull tab or jar game ticket
3shall contain the name of the game, the selling price of the
4ticket, the amount of the prize and the serial number of the
5ticket. The back side of a pull tab ticket shall contain a
6series of perforated tabs marked "open here". The logo of the
7manufacturer shall be clearly visible on each jar game ticket.
8(Source: P.A. 95-228, eff. 8-16-07.)
 
9    (230 ILCS 20/5)  (from Ch. 120, par. 1055)
10    Sec. 5. There shall be paid to the Department of Revenue 5%
11of the gross proceeds of any pull tabs and jar games conducted
12under this Act. For pull tab or jar game tickets manufactured
13after January 1, 2013, the 5% tax required under this Section
14must be remitted by the manufacturer of the pull tab or jar
15game ticket based on the selling price of the ticket. Such
16payments shall be made 4 times per year, between the first and
17the 20th day of April, July, October and January. Accompanying
18each payment shall be a return, on forms prescribed by the
19Department of Revenue. Failure to submit either the payment or
20the return within the specified time shall result in suspension
21or revocation of the license. Tax returns filed pursuant to
22this Act shall not be confidential and shall be available for
23public inspection. All payments made to the Department of
24Revenue under this Act shall be deposited as follows:
25        (a) 50% shall be deposited in the Common School Fund;

 

 

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1    and
2        (b) 50% shall be deposited in the Illinois Gaming Law
3    Enforcement Fund. Of the monies deposited in the Illinois
4    Gaming Law Enforcement Fund under this Section, the General
5    Assembly shall appropriate two-thirds to the Department of
6    Revenue, Department of State Police and the Office of the
7    Attorney General for State law enforcement purposes, and
8    one-third shall be appropriated to the Department of
9    Revenue for the purpose of distribution in the form of
10    grants to counties or municipalities for law enforcement
11    purposes. The amounts of grants to counties or
12    municipalities shall bear the same ratio as the number of
13    licenses issued in counties or municipalities bears to the
14    total number of licenses issued in the State. In computing
15    the number of licenses issued in a county, licenses issued
16    for locations within a municipality's boundaries shall be
17    excluded.
18    The provisions of Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f,
195g, 5h, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, 10, 11 and 12 of the
20Retailers' Occupation Tax Act, and Section 3-7 of the Uniform
21Penalty and Interest Act, which are not inconsistent with this
22Act shall apply, as far as practicable, to the subject matter
23of this Act to the same extent as if such provisions were
24included in this Act. For the purposes of this Act, references
25in such incorporated Sections of the Retailers' Occupation Tax
26Act to retailers, sellers or persons engaged in the business of

 

 

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1selling tangible personal property means persons engaged in
2conducting pull tabs and jar games and references in such
3incorporated Sections of the Retailers' Occupation Tax Act to
4sales of tangible personal property mean the conducting of pull
5tabs and jar games and the making of charges for participating
6in such drawings.
7    The Department of Revenue shall adopt any rules necessary
8for the enforcement of the changes made to this Section by this
9amendatory Act of the 97th General Assembly.
10(Source: P.A. 95-228, eff. 8-16-07.)
 
11    Section 99. Effective date. This Act takes effect upon
12becoming law.