Full Text of HB3136 102nd General Assembly
HB3136enr 102ND GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Horse Racing Act of 1975 is | 5 | | amended by changing Sections 19.5, 21, and 31 as follows: | 6 | | (230 ILCS 5/19.5) | 7 | | Sec. 19.5. Standardbred racetrack in Cook County. | 8 | | Notwithstanding anything in this Act to the contrary, in | 9 | | addition to organization licenses issued by the Board on the | 10 | | effective date of this amendatory Act of the 101st General | 11 | | Assembly, the Board shall issue an organization license | 12 | | limited to standardbred racing to a racetrack located in one | 13 | | of the following townships of Cook County: Bloom, Bremen, | 14 | | Calumet, Orland, Rich, Thornton, or Worth. This additional | 15 | | organization license shall not be issued within a 35-mile | 16 | | radius of another organization license issued by the Board on | 17 | | the effective date of this amendatory Act of the 101st General | 18 | | Assembly, unless the person having operating control of such | 19 | | racetrack has given written consent to the organization | 20 | | licensee applicant, which consent must be filed with the Board | 21 | | at or prior to the time application is made. The organization | 22 | | license application shall be submitted to the Board and the | 23 | | Board may grant the organization license at any meeting of the |
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| 1 | | Board. The Board shall examine the application within 21 days | 2 | | after receipt of the application with respect to its | 3 | | conformity with this Act and the rules adopted by the Board. If | 4 | | the application does not comply with this Act or the rules | 5 | | adopted by the Board, the application may be rejected and an | 6 | | organization license refused to the applicant, or the Board | 7 | | may, within 21 days after receipt of the application, advise | 8 | | the applicant of the deficiencies of the application under the | 9 | | Act or the rules of the Board and require the submittal of an | 10 | | amended application within a reasonable time determined by the | 11 | | Board; upon submittal of the amended application by the | 12 | | applicant, the Board may consider the application consistent | 13 | | with the process described in subsection (e-5) of Section 20. | 14 | | If the application is found to be in compliance with this Act | 15 | | and the rules of the Board, the Board shall then issue an | 16 | | organization license to the applicant. Once the organization | 17 | | license is granted, shall be granted upon application, and the | 18 | | licensee shall have all of the current and future rights of | 19 | | existing Illinois racetracks, including, but not limited to, | 20 | | the ability to obtain an inter-track wagering license, the | 21 | | ability to obtain inter-track wagering location licenses, the | 22 | | ability to obtain an organization gaming license pursuant to | 23 | | the Illinois Gambling Act with 1,200 gaming positions, and the | 24 | | ability to offer Internet wagering on horse racing.
| 25 | | (Source: P.A. 101-31, eff. 6-28-19.)
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| 1 | | (230 ILCS 5/21) (from Ch. 8, par. 37-21)
| 2 | | Sec. 21.
(a) Applications for organization licenses must | 3 | | be filed with
the Board at a time and place prescribed by the | 4 | | rules and regulations of
the Board. The Board shall examine | 5 | | the applications within 21 days
after
the date allowed for | 6 | | filing with respect to their conformity with this Act
and such | 7 | | rules and regulations as may be prescribed by the Board. If any
| 8 | | application does not comply with this Act or the rules and | 9 | | regulations
prescribed by the Board, such application may be | 10 | | rejected and an
organization license refused to the applicant, | 11 | | or the Board may, within 21
days of the receipt of such | 12 | | application, advise the applicant of the
deficiencies of the | 13 | | application under the Act or the rules and regulations of
the | 14 | | Board,
and require the submittal of an amended application | 15 | | within a reasonable time
determined by the Board; and upon | 16 | | submittal of the amended application by the
applicant, the | 17 | | Board may consider the
application consistent with the process | 18 | | described in subsection (e-5) of
Section 20 of this Act. If it
| 19 | | is found to be in compliance with this Act and the rules and | 20 | | regulations of
the Board, the Board may then issue an | 21 | | organization license to such applicant.
| 22 | | (b) The Board may exercise discretion in granting racing
| 23 | | dates to qualified applicants different from those requested | 24 | | by the
applicants in their
applications. However, if all | 25 | | eligible applicants for organization
licenses whose tracks are | 26 | | located within 100 miles of each other execute
and submit to |
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| 1 | | the Board a written agreement among such applicants as to
the | 2 | | award of racing dates, including where applicable racing
| 3 | | programs, for
up to 3 consecutive years, then subject to | 4 | | annual review of each
applicant's compliance with Board rules | 5 | | and regulations, provisions of this
Act and conditions | 6 | | contained in annual dates orders issued by the Board,
the | 7 | | Board may grant such dates and programs
to such applicants
as | 8 | | so agreed by them if the Board determines that the grant of | 9 | | these racing
dates is in the best
interests of racing. The | 10 | | Board shall treat any such agreement as the
agreement | 11 | | signatories' joint and several application for racing dates
| 12 | | during the term of the agreement.
| 13 | | (c) Where 2 or more applicants propose to conduct horse
| 14 | | race meetings within 35 miles of each other, as certified to | 15 | | the Board
under Section 19 (a) (1) of this Act, on conflicting | 16 | | dates, the Board may
determine and grant the number of racing | 17 | | days to be awarded to
the several
applicants in accordance | 18 | | with the provisions of subsection (e-5) of Section
20 of this
| 19 | | Act.
| 20 | | (d) (Blank).
| 21 | | (e) Prior to the issuance of an organization license, the | 22 | | applicant
shall file with the Board the bond required in | 23 | | subsection (d) of Section 27 a bond payable to the State of | 24 | | Illinois in the
sum of $200,000 , executed by the applicant and | 25 | | a surety company or
companies authorized to do business in | 26 | | this State, and conditioned upon the
payment by the |
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| 1 | | organization licensee of all taxes due under Section 27,
other | 2 | | monies due and payable under this Act, all purses due and | 3 | | payable,
and that the organization licensee will upon | 4 | | presentation of the winning
ticket or
tickets distribute all | 5 | | sums due to the patrons of pari-mutuel pools. Beginning on the | 6 | | date when any organization licensee begins conducting gaming | 7 | | pursuant to an organization gaming license issued under the | 8 | | Illinois Gambling Act, the amount of the bond required under | 9 | | this subsection (e) shall be $500,000.
| 10 | | (f) Each organization license shall specify the person to | 11 | | whom it is
issued, the dates upon which horse racing is | 12 | | permitted, and the location,
place, track, or enclosure where | 13 | | the horse race meeting is to be held.
| 14 | | (g) Any person who owns one or more race tracks
within the | 15 | | State
may seek, in its own name, a separate organization | 16 | | license
for each race track.
| 17 | | (h) All racing conducted under such organization license | 18 | | is subject to
this Act and to the rules and regulations from | 19 | | time to time prescribed by
the Board, and every such | 20 | | organization license issued by the Board shall
contain a | 21 | | recital to that effect.
| 22 | | (i) Each such organization licensee may provide
that at | 23 | | least one race per day may be devoted to
the racing of quarter | 24 | | horses, appaloosas, arabians, or paints.
| 25 | | (j) In acting on applications for organization licenses, | 26 | | the Board shall
give weight to an organization license which |
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| 1 | | has
implemented a good faith affirmative
action effort to | 2 | | recruit, train and upgrade minorities in all classifications
| 3 | | within the organization license.
| 4 | | (Source: P.A. 101-31, eff. 6-28-19.)
| 5 | | (230 ILCS 5/31) (from Ch. 8, par. 37-31)
| 6 | | Sec. 31.
(a) The General Assembly declares that it is the | 7 | | policy of
this State to encourage the breeding of standardbred | 8 | | horses in this
State and the ownership of such horses by | 9 | | residents of this State in
order to provide for: sufficient | 10 | | numbers of high quality standardbred
horses to participate in | 11 | | harness racing meetings in this State, and to
establish and | 12 | | preserve the agricultural and commercial benefits of such
| 13 | | breeding and racing industries to the State of Illinois. It is | 14 | | the
intent of the General Assembly to further this policy by | 15 | | the provisions
of this Section of this Act.
| 16 | | (b) Each organization licensee conducting a harness
racing | 17 | | meeting pursuant to this Act shall provide for at least two | 18 | | races each
race program limited to
Illinois conceived and | 19 | | foaled horses. A minimum of 6 races shall be
conducted each | 20 | | week limited to Illinois conceived and foaled horses. No
| 21 | | horses shall be permitted to start in such races unless duly | 22 | | registered
under the rules of the Department of Agriculture.
| 23 | | (b-5) Organization licensees, not including the Illinois | 24 | | State Fair or the DuQuoin State Fair, shall provide stake | 25 | | races and early closer races for Illinois conceived and foaled |
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| 1 | | horses so that purses distributed for such races shall be no | 2 | | less than 17% of total purses distributed for harness racing | 3 | | in that calendar year in addition to any stakes payments and | 4 | | starting fees contributed by horse owners. | 5 | | (b-10) Each organization licensee conducting a harness | 6 | | racing meeting
pursuant to this Act shall provide an owner | 7 | | award to be paid from the purse
account equal to 12% of the | 8 | | amount earned by Illinois conceived and foaled
horses | 9 | | finishing in the first 3 positions in races that are not | 10 | | restricted to Illinois conceived and foaled
horses. The owner | 11 | | awards shall not be paid on races below the $10,000 claiming | 12 | | class. | 13 | | (c) Conditions of races under subsection (b) shall be | 14 | | commensurate
with past performance, quality and class of | 15 | | Illinois conceived and
foaled horses available. If, however, | 16 | | sufficient competition cannot be
had among horses of that | 17 | | class on any day, the races may, with consent
of the Board, be | 18 | | eliminated for that day and substitute races provided.
| 19 | | (d) There is hereby created a special fund of the State | 20 | | Treasury to
be known as the Illinois Standardbred Breeders | 21 | | Fund. Beginning on June 28, 2019 (the effective date of Public | 22 | | Act 101-31), the Illinois Standardbred Breeders Fund shall | 23 | | become a non-appropriated trust fund held separate and apart | 24 | | from State moneys. Expenditures from this Fund shall no longer | 25 | | be subject to appropriation.
| 26 | | During the calendar year 1981, and each year thereafter, |
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| 1 | | except as provided
in subsection (g) of Section 27 of this Act, | 2 | | eight and one-half
per cent of all the monies received by the | 3 | | State as privilege taxes on
harness racing meetings shall be | 4 | | paid into the Illinois Standardbred
Breeders Fund.
| 5 | | (e) Notwithstanding any provision of law to the contrary, | 6 | | amounts deposited into the Illinois Standardbred Breeders Fund | 7 | | from revenues generated by gaming pursuant to an organization | 8 | | gaming license issued under the Illinois Gambling Act after | 9 | | June 28, 2019 (the effective date of Public Act 101-31) shall | 10 | | be in addition to tax and fee amounts paid under this Section | 11 | | for calendar year 2019 and thereafter. The Illinois | 12 | | Standardbred Breeders Fund shall be administered by
the | 13 | | Department of Agriculture with the assistance and advice of | 14 | | the
Advisory Board created in subsection (f) of this Section.
| 15 | | (f) The Illinois Standardbred Breeders Fund Advisory Board | 16 | | is hereby
created. The Advisory Board shall consist of the | 17 | | Director of the
Department of Agriculture, who shall serve as | 18 | | Chairman; the
Superintendent of the Illinois State Fair; a | 19 | | member of the Illinois
Racing Board, designated by it; a | 20 | | representative of the largest association of Illinois | 21 | | standardbred owners and breeders, recommended by it; a
| 22 | | representative of a statewide association representing | 23 | | agricultural fairs in Illinois,
recommended by it, such | 24 | | representative to be from a fair at which
Illinois conceived | 25 | | and foaled racing is conducted; a representative of
the | 26 | | organization licensees conducting harness racing
meetings, |
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| 1 | | recommended by them; a representative of the Breeder's | 2 | | Committee of the association representing the largest number | 3 | | of standardbred owners, breeders, trainers, caretakers, and | 4 | | drivers, recommended by it;
and a representative of the | 5 | | association representing the largest number of standardbred | 6 | | owners, breeders, trainers, caretakers, and drivers,
| 7 | | recommended by it. Advisory Board members shall serve for 2 | 8 | | years
commencing January 1 of each odd numbered year. If | 9 | | representatives of
the largest association of Illinois | 10 | | standardbred owners and breeders, a statewide association of | 11 | | agricultural fairs in Illinois, the association representing | 12 | | the largest number of standardbred owners, breeders, trainers, | 13 | | caretakers, and drivers, a member of the Breeder's Committee | 14 | | of the association representing the largest number of | 15 | | standardbred owners, breeders, trainers, caretakers, and | 16 | | drivers, and the organization licensees conducting
harness | 17 | | racing meetings
have not been recommended by January 1 of each | 18 | | odd numbered year, the
Director of the Department of | 19 | | Agriculture shall make an appointment for
the organization | 20 | | failing to so recommend a member of the Advisory Board.
| 21 | | Advisory Board members shall receive no compensation for their | 22 | | services
as members but shall be reimbursed for all actual and | 23 | | necessary expenses
and disbursements incurred in the execution | 24 | | of their official duties.
| 25 | | (g) Monies expended
from the Illinois Standardbred | 26 | | Breeders Fund shall be
expended by the Department of |
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| 1 | | Agriculture, with the assistance and
advice of the Illinois | 2 | | Standardbred Breeders Fund Advisory Board for the
following | 3 | | purposes only:
| 4 | | 1. To provide purses for races limited to Illinois | 5 | | conceived and
foaled horses at the State Fair and the | 6 | | DuQuoin State Fair.
| 7 | | 2. To provide purses for races limited to Illinois | 8 | | conceived and
foaled horses at county fairs.
| 9 | | 3. To provide purse supplements for races limited to | 10 | | Illinois
conceived and foaled horses conducted by | 11 | | associations conducting harness
racing meetings.
| 12 | | 4. No less than 75% of all monies in the Illinois | 13 | | Standardbred
Breeders Fund shall be expended for purses in | 14 | | 1, 2, and 3 as shown above.
| 15 | | 5. In the discretion of the Department of Agriculture | 16 | | to provide
awards to harness breeders of Illinois | 17 | | conceived and foaled horses which
win races conducted by | 18 | | organization licensees
conducting harness racing meetings.
| 19 | | A breeder is the owner of a mare at the time of conception. | 20 | | No more
than 10% of all monies appropriated from the | 21 | | Illinois
Standardbred Breeders Fund shall
be expended for | 22 | | such harness breeders awards. No more than 25% of the
| 23 | | amount expended for harness breeders awards shall be | 24 | | expended for
expenses incurred in the administration of | 25 | | such harness breeders awards.
| 26 | | 6. To pay for the improvement of racing facilities |
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| 1 | | located at the
State Fair and County fairs.
| 2 | | 7. To pay the expenses incurred in the administration | 3 | | of the
Illinois Standardbred Breeders Fund.
| 4 | | 8. To promote the sport of harness racing, including | 5 | | grants up to a
maximum of $7,500 per fair per year for | 6 | | conducting pari-mutuel wagering during the advertised | 7 | | dates of a
county fair.
| 8 | | 9. To pay up to $50,000 annually for the Department of | 9 | | Agriculture to conduct drug testing at county fairs racing | 10 | | standardbred horses. | 11 | | (h) The Illinois Standardbred Breeders Fund is not subject | 12 | | to administrative charges or chargebacks, including, but not | 13 | | limited to, those authorized under Section 8h of the State | 14 | | Finance Act.
| 15 | | (i) A sum equal to 13% of the first prize money of the | 16 | | gross purse
won by an Illinois conceived and foaled horse | 17 | | shall be paid 50% by the
organization licensee conducting the | 18 | | horse race meeting to the breeder
of such winning horse from | 19 | | the organization licensee's account and 50% from the purse | 20 | | account of the licensee.
Such payment
shall not reduce any | 21 | | award to the owner of
the horse or reduce the taxes payable | 22 | | under this Act. Such payment
shall be delivered by the | 23 | | organization licensee at the end of each quarter.
| 24 | | (j) The Department of Agriculture shall, by rule, with the
| 25 | | assistance and advice of the Illinois Standardbred Breeders | 26 | | Fund
Advisory Board:
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| 1 | | 1. Qualify stallions for Illinois Standardbred | 2 | | Breeders Fund breeding ; such stallion
shall be owned by a | 3 | | resident of the State of Illinois or by an Illinois
| 4 | | corporation all of whose shareholders, directors, officers | 5 | | and
incorporators are residents of the State of Illinois . | 6 | | Such stallion shall
stand for
service at and within the | 7 | | State of Illinois at the time of a foal's
conception, and | 8 | | such stallion must not stand for service at any place , nor
| 9 | | may semen from such stallion be transported,
outside the | 10 | | State of Illinois during that calendar year in which the
| 11 | | foal is conceived and that the owner of the stallion was | 12 | | for the
12
months prior, a resident of Illinois . However, | 13 | | on and after from January 1, 2018 , until January 1, 2022, | 14 | | semen from an Illinois stallion may be transported outside | 15 | | the State of Illinois.
The articles of agreement of any | 16 | | partnership, joint venture, limited
partnership, | 17 | | syndicate, association or corporation and any bylaws and | 18 | | stock
certificates must contain a restriction that | 19 | | provides that the ownership or
transfer of interest by any | 20 | | one of the persons a party to the agreement can
only be | 21 | | made to a person who qualifies as an Illinois resident.
| 22 | | 2. Provide for the registration of Illinois conceived | 23 | | and foaled
horses and no such horse shall compete in the | 24 | | races limited to Illinois
conceived and foaled horses | 25 | | unless registered with the Department of
Agriculture. The | 26 | | Department of Agriculture may prescribe such forms as
may |
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| 1 | | be necessary to determine the eligibility of such horses. | 2 | | No person
shall knowingly prepare or cause preparation of | 3 | | an application for
registration of such foals containing | 4 | | false information.
A mare (dam) must be in the State at | 5 | | least 30 days prior to foaling or
remain in the State at | 6 | | least 30 days at the time of foaling. However, the | 7 | | requirement that a mare (dam) must be in the State at least | 8 | | 30 days before foaling or remain in the State at least 30 | 9 | | days at the time of foaling shall not be in effect from | 10 | | January 1, 2018 until January 1, 2022.
Beginning with the | 11 | | 1996 breeding season and for foals of 1997 and thereafter,
| 12 | | a foal conceived by transported semen may be eligible for | 13 | | Illinois
conceived and foaled registration provided all | 14 | | breeding and foaling
requirements are met. The stallion | 15 | | must be qualified for Illinois Standardbred
Breeders Fund | 16 | | breeding at the time of conception and the mare must be
| 17 | | inseminated within the State of Illinois . The foal must be | 18 | | dropped in Illinois
and properly registered with the | 19 | | Department of Agriculture in accordance with
this Act. | 20 | | However, from January 1, 2018 until January 1, 2022, the | 21 | | requirement for a mare to be inseminated within the State | 22 | | of Illinois and the requirement for a foal to be dropped in | 23 | | Illinois are inapplicable.
| 24 | | 3. Provide that at least a 5-day racing program shall | 25 | | be conducted
at the State Fair each year, unless an | 26 | | alternate racing program is requested by the Illinois |
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| 1 | | Standardbred Breeders Fund Advisory Board, which program | 2 | | shall include at least the
following races limited to | 3 | | Illinois conceived and foaled horses: (a) a 2-year-old
| 4 | | Trot and Pace, and Filly Division of each; (b) a | 5 | | 3-year-old Trot and Pace, and Filly Division of each; (c) | 6 | | an aged Trot and Pace,
and Mare Division of each.
| 7 | | 4. Provide for the payment of nominating, sustaining | 8 | | and starting
fees for races promoting the sport of harness | 9 | | racing and for the races
to be conducted at the State Fair | 10 | | as provided in
subsection (j) 3 of this Section provided | 11 | | that the nominating,
sustaining and starting payment | 12 | | required from an entrant shall not
exceed 2% of the purse | 13 | | of such race. All nominating, sustaining and
starting | 14 | | payments shall be held for the benefit of entrants and | 15 | | shall be
paid out as part of the respective purses for such | 16 | | races.
Nominating, sustaining and starting fees shall be | 17 | | held in trust accounts
for the purposes as set forth in | 18 | | this Act and in accordance with Section
205-15 of the | 19 | | Department of Agriculture Law.
| 20 | | 5. Provide for the registration with the Department of | 21 | | Agriculture
of Colt Associations or county fairs desiring | 22 | | to sponsor races at county
fairs.
| 23 | | 6. Provide for the promotion of producing standardbred | 24 | | racehorses by providing a bonus award program for owners | 25 | | of 2-year-old horses that win multiple major stakes races | 26 | | that are limited to Illinois conceived and foaled horses. |
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| 1 | | (k) The Department of Agriculture, with the advice and | 2 | | assistance of the
Illinois
Standardbred Breeders Fund Advisory | 3 | | Board, may allocate monies for purse
supplements for such | 4 | | races. In determining whether to allocate money and
the | 5 | | amount, the Department
of Agriculture shall consider factors, | 6 | | including, but not limited to, the
amount of money | 7 | | appropriated for the Illinois Standardbred Breeders Fund
| 8 | | program, the number of races that may occur, and an | 9 | | organization
licensee's purse structure. The organization | 10 | | licensee shall notify the
Department of Agriculture of the | 11 | | conditions and minimum purses for races
limited to Illinois | 12 | | conceived and foaled horses to be conducted by each | 13 | | organization
licensee conducting a harness racing meeting for | 14 | | which purse
supplements have been negotiated.
| 15 | | (l) All races held at county fairs and the State Fair which | 16 | | receive funds
from the Illinois Standardbred Breeders Fund | 17 | | shall be conducted in
accordance with the rules of the United | 18 | | States Trotting Association unless
otherwise modified by the | 19 | | Department of Agriculture.
| 20 | | (m) At all standardbred race meetings held or conducted | 21 | | under authority of a
license granted by the Board, and at all | 22 | | standardbred races held at county
fairs which are approved by | 23 | | the Department of Agriculture or at the
Illinois or DuQuoin | 24 | | State Fairs, no one shall jog, train, warm up or drive
a | 25 | | standardbred horse unless he or she is wearing a protective | 26 | | safety helmet,
with the
chin strap fastened and in place, |
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| 1 | | which meets the standards and
requirements as set forth in the | 2 | | 1984 Standard for Protective Headgear for
Use in Harness | 3 | | Racing and Other Equestrian Sports published by the Snell
| 4 | | Memorial Foundation, or any standards and requirements for | 5 | | headgear the
Illinois Racing Board may approve. Any other | 6 | | standards and requirements so
approved by the Board shall | 7 | | equal or exceed those published by the Snell
Memorial | 8 | | Foundation. Any equestrian helmet bearing the Snell label | 9 | | shall
be deemed to have met those standards and requirements.
| 10 | | (Source: P.A. 101-31, eff. 6-28-19; 101-157, eff. 7-26-19; | 11 | | 102-558, eff. 8-20-21.)
| 12 | | Section 15. The Illinois Gambling Act is amended by | 13 | | changing Sections 8 and 13 and by adding Section 8.1 as | 14 | | follows:
| 15 | | (230 ILCS 10/8) (from Ch. 120, par. 2408)
| 16 | | Sec. 8. Suppliers licenses.
| 17 | | (a) The Board may issue a suppliers license to such | 18 | | persons, firms or
corporations which apply therefor upon the | 19 | | payment of a non-refundable
application fee set by the Board, | 20 | | upon a determination by the Board that
the applicant is | 21 | | eligible for a suppliers license and upon payment of a
$5,000 | 22 | | annual license
fee. At the time of application for a supplier | 23 | | license under this Act, a person that holds a license as a | 24 | | manufacturer, distributor, or supplier under the Video Gaming |
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| 1 | | Act or a supplier license under the Sports Wagering Act shall | 2 | | be entitled to licensure under this Act as a supplier without | 3 | | additional Board investigation or approval, except by vote of | 4 | | the Board; however, the applicant shall pay all fees required | 5 | | for a suppliers license under this Act.
| 6 | | (a-5) Except as provided by Section 8.1, the initial | 7 | | suppliers license shall be issued for 4 years. Thereafter, the | 8 | | license may be renewed for additional 4-year periods unless | 9 | | sooner canceled or terminated. | 10 | | (b) The holder of a suppliers license is authorized to | 11 | | sell or lease,
and to contract to sell or lease, gambling | 12 | | equipment and supplies to any
licensee involved in the | 13 | | ownership or management of gambling operations.
| 14 | | (c) Gambling supplies and equipment may not be distributed
| 15 | | unless supplies and equipment conform to standards adopted by
| 16 | | rules of the Board.
| 17 | | (d) A person, firm or corporation is ineligible to receive | 18 | | a suppliers
license if:
| 19 | | (1) the person has been convicted of a felony under | 20 | | the laws of this
State, any other state, or the United | 21 | | States;
| 22 | | (2) the person has been convicted of any violation of | 23 | | Article 28 of the
Criminal Code of 1961 or the Criminal | 24 | | Code of 2012, or substantially similar laws of any other | 25 | | jurisdiction;
| 26 | | (3) the person has submitted an application for a |
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| 1 | | license under this
Act which contains false information;
| 2 | | (4) the person is a member of the Board;
| 3 | | (5) the entity is one in which a person defined in (1),
| 4 | | (2), (3) or (4), is an officer, director or managerial | 5 | | employee;
| 6 | | (6) the firm or corporation employs a person who | 7 | | participates in the
management or operation of gambling | 8 | | authorized under this Act;
| 9 | | (7) the license of the person, firm or corporation | 10 | | issued under
this Act, or a license to own or operate | 11 | | gambling facilities
in any other jurisdiction, has been | 12 | | revoked.
| 13 | | (e) Any person that supplies any equipment, devices, or | 14 | | supplies to a
licensed gambling operation must first obtain a | 15 | | suppliers
license. A supplier shall furnish to the Board a | 16 | | list of all equipment,
devices and supplies offered for sale | 17 | | or lease in connection with gambling
games authorized under | 18 | | this Act. A supplier shall keep books and records
for the | 19 | | furnishing of equipment, devices and supplies to gambling
| 20 | | operations separate and distinct from any other business that | 21 | | the supplier
might operate. A supplier shall file a quarterly | 22 | | return with the Board
listing all sales and leases. A supplier | 23 | | shall permanently affix its name or a distinctive logo or | 24 | | other mark or design element identifying the manufacturer or | 25 | | supplier
to all its equipment, devices, and supplies, except | 26 | | gaming chips without a value impressed, engraved, or imprinted |
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| 1 | | on it, for gambling operations.
The Board may waive this | 2 | | requirement for any specific product or products if it | 3 | | determines that the requirement is not necessary to protect | 4 | | the integrity of the game. Items purchased from a licensed | 5 | | supplier may continue to be used even though the supplier | 6 | | subsequently changes its name, distinctive logo, or other mark | 7 | | or design element; undergoes a change in ownership; or ceases | 8 | | to be licensed as a supplier for any reason. Any supplier's | 9 | | equipment, devices or supplies which are used by any person
in | 10 | | an unauthorized gambling operation shall be forfeited to the | 11 | | State. A holder of an owners license or an organization gaming | 12 | | license may own its own equipment, devices and supplies. Each
| 13 | | holder of an owners license or an organization gaming license | 14 | | under the Act shall file an annual report
listing its | 15 | | inventories of gambling equipment, devices and 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 the casino, or at the organization gaming | 21 | | facility or removed from
the riverboat, casino, or | 22 | | organization gaming facility to a facility owned by the holder | 23 | | of an owners
license, organization gaming license, or | 24 | | suppliers license for repair.
| 25 | | (Source: P.A. 101-31, eff. 6-28-19.)
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| 1 | | (230 ILCS 10/8.1 new) | 2 | | Sec. 8.1. Harmonization of supplier category licenses. | 3 | | (a) As used in this Section, "supplier category license" | 4 | | means a suppliers license issued under this Act, a supplier | 5 | | license issued under the Sports Wagering Act, or a | 6 | | manufacturer, distributor, or supplier license issued under | 7 | | the Video Gaming Act. | 8 | | (b) If a holder of any supplier category license is | 9 | | granted an additional supplier category license, the initial | 10 | | period of the new supplier category license shall expire at | 11 | | the earliest expiration date of any other supplier category | 12 | | license held by the licensee. If a licensee holds multiple | 13 | | supplier category licenses on the effective date of this | 14 | | amendatory Act of the 102nd General Assembly, all supplier | 15 | | category licenses shall expire at the earliest expiration date | 16 | | of any of the supplier category licenses held by the licensee.
| 17 | | (230 ILCS 10/13) (from Ch. 120, par. 2413)
| 18 | | Sec. 13. Wagering tax; rate; distribution.
| 19 | | (a) Until January 1, 1998, a tax is imposed on the adjusted | 20 | | gross
receipts received from gambling games authorized under | 21 | | this Act at the rate of
20%.
| 22 | | (a-1) From January 1, 1998 until July 1, 2002, a privilege | 23 | | tax is
imposed on persons engaged in the business of | 24 | | conducting riverboat gambling
operations, based on the | 25 | | adjusted gross receipts received by a licensed owner
from |
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| 1 | | gambling games authorized under this Act at the following | 2 | | rates:
| 3 | | 15% of annual adjusted gross receipts up to and | 4 | | including $25,000,000;
| 5 | | 20% of annual adjusted gross receipts in excess of | 6 | | $25,000,000 but not
exceeding $50,000,000;
| 7 | | 25% of annual adjusted gross receipts in excess of | 8 | | $50,000,000 but not
exceeding $75,000,000;
| 9 | | 30% of annual adjusted gross receipts in excess of | 10 | | $75,000,000 but not
exceeding $100,000,000;
| 11 | | 35% of annual adjusted gross receipts in excess of | 12 | | $100,000,000.
| 13 | | (a-2) From July 1, 2002 until July 1, 2003, a privilege tax | 14 | | is imposed on
persons engaged in the business of conducting | 15 | | riverboat gambling operations,
other than licensed managers | 16 | | conducting riverboat gambling operations on behalf
of the | 17 | | State, based on the adjusted gross receipts received by a | 18 | | licensed
owner from gambling games authorized under this Act | 19 | | at the following rates:
| 20 | | 15% of annual adjusted gross receipts up to and | 21 | | including $25,000,000;
| 22 | | 22.5% of annual adjusted gross receipts in excess of | 23 | | $25,000,000 but not
exceeding $50,000,000;
| 24 | | 27.5% of annual adjusted gross receipts in excess of | 25 | | $50,000,000 but not
exceeding $75,000,000;
| 26 | | 32.5% of annual adjusted gross receipts in excess of |
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| 1 | | $75,000,000 but not
exceeding $100,000,000;
| 2 | | 37.5% of annual adjusted gross receipts in excess of | 3 | | $100,000,000 but not
exceeding $150,000,000;
| 4 | | 45% of annual adjusted gross receipts in excess of | 5 | | $150,000,000 but not
exceeding $200,000,000;
| 6 | | 50% of annual adjusted gross receipts in excess of | 7 | | $200,000,000.
| 8 | | (a-3) Beginning July 1, 2003, a privilege tax is imposed | 9 | | on persons engaged
in the business of conducting riverboat | 10 | | gambling operations, other than
licensed managers conducting | 11 | | riverboat gambling operations on behalf of the
State, based on | 12 | | the adjusted gross receipts received by a licensed owner from
| 13 | | gambling games authorized under this Act at the following | 14 | | rates:
| 15 | | 15% of annual adjusted gross receipts up to and | 16 | | including $25,000,000;
| 17 | | 27.5% of annual adjusted gross receipts in excess of | 18 | | $25,000,000 but not
exceeding $37,500,000;
| 19 | | 32.5% of annual adjusted gross receipts in excess of | 20 | | $37,500,000 but not
exceeding $50,000,000;
| 21 | | 37.5% of annual adjusted gross receipts in excess of | 22 | | $50,000,000 but not
exceeding $75,000,000;
| 23 | | 45% of annual adjusted gross receipts in excess of | 24 | | $75,000,000 but not
exceeding $100,000,000;
| 25 | | 50% of annual adjusted gross receipts in excess of | 26 | | $100,000,000 but not
exceeding $250,000,000;
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| 1 | | 70% of annual adjusted gross receipts in excess of | 2 | | $250,000,000.
| 3 | | An amount equal to the amount of wagering taxes collected | 4 | | under this
subsection (a-3) that are in addition to the amount | 5 | | of wagering taxes that
would have been collected if the | 6 | | wagering tax rates under subsection (a-2)
were in effect shall | 7 | | be paid into the Common School Fund.
| 8 | | The privilege tax imposed under this subsection (a-3) | 9 | | shall no longer be
imposed beginning on the earlier of (i) July | 10 | | 1, 2005; (ii) the first date
after June 20, 2003 that riverboat | 11 | | gambling operations are conducted
pursuant to a dormant | 12 | | license; or (iii) the first day that riverboat gambling
| 13 | | operations are conducted under the authority of an owners | 14 | | license that is in
addition to the 10 owners licenses | 15 | | initially authorized under this Act.
For the purposes of this | 16 | | subsection (a-3), the term "dormant license"
means an owners | 17 | | license that is authorized by this Act under which no
| 18 | | riverboat gambling operations are being conducted on June 20, | 19 | | 2003.
| 20 | | (a-4) Beginning on the first day on which the tax imposed | 21 | | under
subsection (a-3) is no longer imposed and ending upon | 22 | | the imposition of the privilege tax under subsection (a-5) of | 23 | | this Section, a privilege tax is imposed on persons
engaged in | 24 | | the business of conducting gambling operations, other
than | 25 | | licensed managers conducting riverboat gambling operations on | 26 | | behalf of
the State, based on the adjusted gross receipts |
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| 1 | | received by a licensed owner
from gambling games authorized | 2 | | under this Act at the following rates:
| 3 | | 15% of annual adjusted gross receipts up to and | 4 | | including $25,000,000;
| 5 | | 22.5% of annual adjusted gross receipts in excess of | 6 | | $25,000,000 but not
exceeding $50,000,000;
| 7 | | 27.5% of annual adjusted gross receipts in excess of | 8 | | $50,000,000 but not
exceeding $75,000,000;
| 9 | | 32.5% of annual adjusted gross receipts in excess of | 10 | | $75,000,000 but not
exceeding $100,000,000;
| 11 | | 37.5% of annual adjusted gross receipts in excess of | 12 | | $100,000,000 but not
exceeding $150,000,000;
| 13 | | 45% of annual adjusted gross receipts in excess of | 14 | | $150,000,000 but not
exceeding $200,000,000;
| 15 | | 50% of annual adjusted gross receipts in excess of | 16 | | $200,000,000.
| 17 | | For the imposition of the privilege tax in this subsection | 18 | | (a-4), amounts paid pursuant to item (1) of subsection (b) of | 19 | | Section 56 of the Illinois Horse Racing Act of 1975 shall not | 20 | | be included in the determination of adjusted gross receipts. | 21 | | (a-5)(1) Beginning on July 1, 2020, a privilege tax is | 22 | | imposed on persons engaged in the business of conducting | 23 | | gambling operations, other than the owners licensee under | 24 | | paragraph (1) of subsection (e-5) of Section 7 and licensed | 25 | | managers conducting riverboat gambling operations on behalf of | 26 | | the State, based on the adjusted gross receipts received by |
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| 1 | | such licensee from the gambling games authorized under this | 2 | | Act. The privilege tax for all gambling games other than table | 3 | | games, including, but not limited to, slot machines, video | 4 | | game of chance gambling, and electronic gambling games shall | 5 | | be at the following rates: | 6 | | 15% of annual adjusted gross receipts up to and | 7 | | including $25,000,000; | 8 | | 22.5% of annual adjusted gross receipts in excess of | 9 | | $25,000,000 but not exceeding $50,000,000; | 10 | | 27.5% of annual adjusted gross receipts in excess of | 11 | | $50,000,000 but not exceeding $75,000,000; | 12 | | 32.5% of annual adjusted gross receipts in excess of | 13 | | $75,000,000 but not exceeding $100,000,000; | 14 | | 37.5% of annual adjusted gross receipts in excess of | 15 | | $100,000,000 but not exceeding $150,000,000; | 16 | | 45% of annual adjusted gross receipts in excess of | 17 | | $150,000,000 but not exceeding $200,000,000; | 18 | | 50% of annual adjusted gross receipts in excess of | 19 | | $200,000,000. | 20 | | The privilege tax for table games shall be at the | 21 | | following rates: | 22 | | 15% of annual adjusted gross receipts up to and | 23 | | including $25,000,000; | 24 | | 20% of annual adjusted gross receipts in excess of | 25 | | $25,000,000. | 26 | | For the imposition of the privilege tax in this subsection |
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| 1 | | (a-5), amounts paid pursuant to item (1) of subsection (b) of | 2 | | Section 56 of the Illinois Horse Racing Act of 1975 shall not | 3 | | be included in the determination of adjusted gross receipts. | 4 | | (2) Beginning on the first day that an owners licensee | 5 | | under paragraph (1) of subsection (e-5) of Section 7 conducts | 6 | | gambling operations, either in a temporary facility or a | 7 | | permanent facility, a privilege tax is imposed on persons | 8 | | engaged in the business of conducting gambling operations | 9 | | under paragraph (1) of subsection (e-5) of Section 7, other | 10 | | than licensed managers conducting riverboat gambling | 11 | | operations on behalf of the State, based on the adjusted gross | 12 | | receipts received by such licensee from the gambling games | 13 | | authorized under this Act. The privilege tax for all gambling | 14 | | games other than table games, including, but not limited to, | 15 | | slot machines, video game of chance gambling, and electronic | 16 | | gambling games shall be at the following rates: | 17 | | 12% of annual adjusted gross receipts up to and
| 18 | | including $25,000,000 to the State and 10.5% of annual | 19 | | adjusted gross receipts up to and including $25,000,000 to | 20 | | the City of Chicago; | 21 | | 16% of annual adjusted gross receipts in excess of
| 22 | | $25,000,000 but not exceeding $50,000,000 to the State and | 23 | | 14% of annual adjusted gross receipts in excess of | 24 | | $25,000,000 but not exceeding $50,000,000 to the City of | 25 | | Chicago; | 26 | | 20.1% of annual adjusted gross receipts in excess of
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| 1 | | $50,000,000 but not exceeding $75,000,000 to the State and | 2 | | 17.4% of annual adjusted gross receipts in excess of | 3 | | $50,000,000 but not exceeding $75,000,000 to the City of | 4 | | Chicago; | 5 | | 21.4% of annual adjusted gross receipts in excess of
| 6 | | $75,000,000 but not exceeding $100,000,000 to the State | 7 | | and 18.6% of annual adjusted gross receipts in excess of | 8 | | $75,000,000 but not exceeding $100,000,000 to the City of | 9 | | Chicago; | 10 | | 22.7% of annual adjusted gross receipts in excess of
| 11 | | $100,000,000 but not exceeding $150,000,000 to the State | 12 | | and 19.8% of annual adjusted gross receipts in excess of | 13 | | $100,000,000 but not exceeding $150,000,000 to the City of | 14 | | Chicago; | 15 | | 24.1% of annual adjusted gross receipts in excess of
| 16 | | $150,000,000 but not exceeding $225,000,000 to the State | 17 | | and 20.9% of annual adjusted gross receipts in excess of | 18 | | $150,000,000 but not exceeding $225,000,000 to the City of | 19 | | Chicago; | 20 | | 26.8% of annual adjusted gross receipts in excess of
| 21 | | $225,000,000 but not exceeding $1,000,000,000 to the State | 22 | | and 23.2% of annual adjusted gross receipts in excess of | 23 | | $225,000,000 but not exceeding $1,000,000,000 to the City | 24 | | of Chicago; | 25 | | 40% of annual adjusted gross receipts in excess of | 26 | | $1,000,000,000 to the State and 34.7% of annual gross |
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| 1 | | receipts in excess of $1,000,000,000 to the City of | 2 | | Chicago. | 3 | | The privilege tax for table games shall be at the | 4 | | following rates: | 5 | | 8.1% of annual adjusted gross receipts up to and | 6 | | including $25,000,000 to the State and 6.9% of annual | 7 | | adjusted gross receipts up to and including $25,000,000 to | 8 | | the City of Chicago; | 9 | | 10.7% of annual adjusted gross receipts in excess of | 10 | | $25,000,000 but not exceeding $75,000,000 to the State and | 11 | | 9.3% of annual adjusted gross receipts in excess of | 12 | | $25,000,000 but not exceeding $75,000,000 to the City of | 13 | | Chicago; | 14 | | 11.2% of annual adjusted gross receipts in excess of | 15 | | $75,000,000 but not exceeding $175,000,000 to the State | 16 | | and 9.8% of annual adjusted gross receipts in excess of | 17 | | $75,000,000 but not exceeding $175,000,000 to the City of | 18 | | Chicago; | 19 | | 13.5% of annual adjusted gross receipts in excess of | 20 | | $175,000,000 but not exceeding $225,000,000 to the State | 21 | | and 11.5% of annual adjusted gross receipts in excess of | 22 | | $175,000,000 but not exceeding $225,000,000 to the City of | 23 | | Chicago; | 24 | | 15.1% of annual adjusted gross receipts in excess of | 25 | | $225,000,000 but not exceeding $275,000,000 to the State | 26 | | and 12.9% of annual adjusted gross receipts in excess of |
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| 1 | | $225,000,000 but not exceeding $275,000,000 to the City of | 2 | | Chicago; | 3 | | 16.2% of annual adjusted gross receipts in excess of | 4 | | $275,000,000 but not exceeding $375,000,000 to the State | 5 | | and 13.8% of annual adjusted gross receipts in excess of | 6 | | $275,000,000 but not exceeding $375,000,000 to the City of | 7 | | Chicago; | 8 | | 18.9% of annual adjusted gross receipts in excess of | 9 | | $375,000,000 to the State and 16.1% of annual gross | 10 | | receipts in excess of $375,000,000 to the City of Chicago. | 11 | | For the imposition of the privilege tax in this subsection | 12 | | (a-5), amounts paid pursuant to item (1) of subsection (b) of | 13 | | Section 56 of the Illinois Horse Racing Act of 1975 shall not | 14 | | be included in the determination of adjusted gross receipts. | 15 | | Notwithstanding the provisions of this subsection (a-5), | 16 | | for the first 10 years that the privilege tax is imposed under | 17 | | this subsection (a-5), the privilege tax shall be imposed on | 18 | | the modified annual adjusted gross receipts of a riverboat or | 19 | | casino conducting gambling operations in the City of East St. | 20 | | Louis, unless: | 21 | | (1) the riverboat or casino fails to employ at least | 22 | | 450 people , except no minimum employment shall be required | 23 | | during 2020 and 2021 or during periods that the riverboat | 24 | | or casino is closed on orders of State officials for | 25 | | public health emergencies or other emergencies not caused | 26 | | by the riverboat or casino ; |
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| 1 | | (2) the riverboat or casino fails to maintain | 2 | | operations in a manner consistent with this Act or is not a | 3 | | viable riverboat or casino subject to the approval of the | 4 | | Board; or | 5 | | (3) the owners licensee is not an entity in which | 6 | | employees participate in an employee stock ownership plan | 7 | | or in which the owners licensee sponsors a 401(k) | 8 | | retirement plan and makes a matching employer contribution | 9 | | equal to at least one-quarter of the first 12% or one-half | 10 | | of the first 6% of each participating employee's | 11 | | contribution, not to exceed any limitations under federal | 12 | | laws and regulations . | 13 | | As used in this subsection (a-5), "modified annual | 14 | | adjusted gross receipts" means: | 15 | | (A) for calendar year 2020, the annual adjusted gross | 16 | | receipts for the current year minus the difference between | 17 | | an amount equal to the average annual adjusted gross | 18 | | receipts from a riverboat or casino conducting gambling | 19 | | operations in the City of East St. Louis for 2014, 2015, | 20 | | 2016, 2017, and 2018 and the annual adjusted gross | 21 | | receipts for 2018; | 22 | | (B) for calendar year 2021, the annual adjusted gross | 23 | | receipts for the current year minus the difference between | 24 | | an amount equal to the average annual adjusted gross | 25 | | receipts from a riverboat or casino conducting gambling | 26 | | operations in the City of East St. Louis for 2014, 2015, |
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| 1 | | 2016, 2017, and 2018 and the annual adjusted gross | 2 | | receipts for 2019; and | 3 | | (C) for calendar years 2022 through 2029, the annual | 4 | | adjusted gross receipts for the current year minus the | 5 | | difference between an amount equal to the average annual | 6 | | adjusted gross receipts from a riverboat or casino | 7 | | conducting gambling operations in the City of East St. | 8 | | Louis for 3 years preceding the current year and the | 9 | | annual adjusted gross receipts for the immediately | 10 | | preceding year. | 11 | | (a-6) From June 28, 2019 (the effective date of Public Act | 12 | | 101-31) until June 30, 2023, an owners licensee that conducted | 13 | | gambling operations prior to January 1, 2011 shall receive a | 14 | | dollar-for-dollar credit against the tax imposed under this | 15 | | Section for any renovation or construction costs paid by the | 16 | | owners licensee, but in no event shall the credit exceed | 17 | | $2,000,000. | 18 | | Additionally, from June 28, 2019 (the effective date of | 19 | | Public Act 101-31) until December 31, 2022, an owners licensee | 20 | | that (i) is located within 15 miles of the Missouri border, and | 21 | | (ii) has at least 3 riverboats, casinos, or their equivalent | 22 | | within a 45-mile radius, may be authorized to relocate to a new | 23 | | location with the approval of both the unit of local | 24 | | government designated as the home dock and the Board, so long | 25 | | as the new location is within the same unit of local government | 26 | | and no more than 3 miles away from its original location. Such |
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| 1 | | owners licensee shall receive a credit against the tax imposed | 2 | | under this Section equal to 8% of the total project costs, as | 3 | | approved by the Board, for any renovation or construction | 4 | | costs paid by the owners licensee for the construction of the | 5 | | new facility, provided that the new facility is operational by | 6 | | July 1, 2022. In determining whether or not to approve a | 7 | | relocation, the Board must consider the extent to which the | 8 | | relocation will diminish the gaming revenues received by other | 9 | | Illinois gaming facilities. | 10 | | (a-7) Beginning in the initial adjustment year and through | 11 | | the final adjustment year, if the total obligation imposed | 12 | | pursuant to either subsection (a-5) or (a-6) will result in an | 13 | | owners licensee receiving less after-tax adjusted gross | 14 | | receipts than it received in calendar year 2018, then the | 15 | | total amount of privilege taxes that the owners licensee is | 16 | | required to pay for that calendar year shall be reduced to the | 17 | | extent necessary so that the after-tax adjusted gross receipts | 18 | | in that calendar year equals the after-tax adjusted gross | 19 | | receipts in calendar year 2018, but the privilege tax | 20 | | reduction shall not exceed the annual adjustment cap. If | 21 | | pursuant to this subsection (a-7), the total obligation | 22 | | imposed pursuant to either subsection (a-5) or (a-6) shall be | 23 | | reduced, then the owners licensee shall not receive a refund | 24 | | from the State at the end of the subject calendar year but | 25 | | instead shall be able to apply that amount as a credit against | 26 | | any payments it owes to the State in the following calendar |
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| 1 | | year to satisfy its total obligation under either subsection | 2 | | (a-5) or (a-6). The credit for the final adjustment year shall | 3 | | occur in the calendar year following the final adjustment | 4 | | year. | 5 | | If an owners licensee that conducted gambling operations | 6 | | prior to January 1, 2019 expands its riverboat or casino, | 7 | | including, but not limited to, with respect to its gaming | 8 | | floor, additional non-gaming amenities such as restaurants, | 9 | | bars, and hotels and other additional facilities, and incurs | 10 | | construction and other costs related to such expansion from | 11 | | June 28, 2019 (the effective date of Public Act 101-31) until | 12 | | June 28, 2024 (the 5th anniversary of the effective date of | 13 | | Public Act 101-31), then for each $15,000,000 spent for any | 14 | | such construction or other costs related to expansion paid by | 15 | | the owners licensee, the final adjustment year shall be | 16 | | extended by one year and the annual adjustment cap shall | 17 | | increase by 0.2% of adjusted gross receipts during each | 18 | | calendar year until and including the final adjustment year. | 19 | | No further modifications to the final adjustment year or | 20 | | annual adjustment cap shall be made after $75,000,000 is | 21 | | incurred in construction or other costs related to expansion | 22 | | so that the final adjustment year shall not extend beyond the | 23 | | 9th calendar year after the initial adjustment year, not | 24 | | including the initial adjustment year, and the annual | 25 | | adjustment cap shall not exceed 4% of adjusted gross receipts | 26 | | in a particular calendar year. Construction and other costs |
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| 1 | | related to expansion shall include all project related costs, | 2 | | including, but not limited to, all hard and soft costs, | 3 | | financing costs, on or off-site ground, road or utility work, | 4 | | cost of gaming equipment and all other personal property, | 5 | | initial fees assessed for each incremental gaming position, | 6 | | and the cost of incremental land acquired for such expansion. | 7 | | Soft costs shall include, but not be limited to, legal fees, | 8 | | architect, engineering and design costs, other consultant | 9 | | costs, insurance cost, permitting costs, and pre-opening costs | 10 | | related to the expansion, including, but not limited to, any | 11 | | of the following: marketing, real estate taxes, personnel, | 12 | | training, travel and out-of-pocket expenses, supply, | 13 | | inventory, and other costs, and any other project related soft | 14 | | costs. | 15 | | To be eligible for the tax credits in subsection (a-6), | 16 | | all construction contracts shall include a requirement that | 17 | | the contractor enter into a project labor agreement with the | 18 | | building and construction trades council with geographic | 19 | | jurisdiction of the location of the proposed gaming facility. | 20 | | Notwithstanding any other provision of this subsection | 21 | | (a-7), this subsection (a-7) does not apply to an owners | 22 | | licensee unless such owners licensee spends at least | 23 | | $15,000,000 on construction and other costs related to its | 24 | | expansion, excluding the initial fees assessed for each | 25 | | incremental gaming position. | 26 | | This subsection (a-7) does not apply to owners licensees
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| 1 | | authorized pursuant to subsection (e-5) of Section 7 of this
| 2 | | Act. | 3 | | For purposes of this subsection (a-7): | 4 | | "Building and construction trades council" means any | 5 | | organization representing multiple construction entities that | 6 | | are monitoring or attentive to compliance with public or | 7 | | workers' safety laws, wage and hour requirements, or other | 8 | | statutory requirements or that are making or maintaining | 9 | | collective bargaining agreements. | 10 | | "Initial adjustment year" means the year commencing on | 11 | | January 1 of the calendar year immediately following the | 12 | | earlier of the following: | 13 | | (1) the commencement of gambling operations, either in | 14 | | a temporary or permanent facility, with respect to the | 15 | | owners license authorized under paragraph (1) of | 16 | | subsection (e-5) of Section 7 of this Act; or | 17 | | (2) June 28, 2021 (24 months after the effective date | 18 | | of Public Act 101-31); | 19 | | provided the initial adjustment year shall not commence | 20 | | earlier than June 28, 2020 (12 months after the effective date | 21 | | of Public Act 101-31). | 22 | | "Final adjustment year" means the 2nd calendar year after | 23 | | the initial adjustment year, not including the initial | 24 | | adjustment year, and as may be extended further as described | 25 | | in this subsection (a-7). | 26 | | "Annual adjustment cap" means 3% of adjusted gross |
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| 1 | | receipts in a particular calendar year, and as may be | 2 | | increased further as otherwise described in this subsection | 3 | | (a-7). | 4 | | (a-8) Riverboat gambling operations conducted by a | 5 | | licensed manager on
behalf of the State are not subject to the | 6 | | tax imposed under this Section.
| 7 | | (a-9) Beginning on January 1, 2020, the calculation of | 8 | | gross receipts or adjusted gross receipts, for the purposes of | 9 | | this Section, for a riverboat, a casino, or an organization | 10 | | gaming facility shall not include the dollar amount of | 11 | | non-cashable vouchers, coupons, and electronic promotions | 12 | | redeemed by wagerers upon the riverboat, in the casino, or in | 13 | | the organization gaming facility up to and including an amount | 14 | | not to exceed 20% of a riverboat's, a casino's, or an | 15 | | organization gaming facility's adjusted gross receipts. | 16 | | The Illinois Gaming Board shall submit to the General | 17 | | Assembly a comprehensive report no later than March 31, 2023 | 18 | | detailing, at a minimum, the effect of removing non-cashable | 19 | | vouchers, coupons, and electronic promotions from this | 20 | | calculation on net gaming revenues to the State in calendar | 21 | | years 2020 through 2022, the increase or reduction in wagerers | 22 | | as a result of removing non-cashable vouchers, coupons, and | 23 | | electronic promotions from this calculation, the effect of the | 24 | | tax rates in subsection (a-5) on net gaming revenues to this | 25 | | State, and proposed modifications to the calculation. | 26 | | (a-10) The taxes imposed by this Section shall be paid by |
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| 1 | | the licensed
owner or the organization gaming licensee to the | 2 | | Board not later than 5:00 o'clock p.m. of the day after the day
| 3 | | when the wagers were made.
| 4 | | (a-15) If the privilege tax imposed under subsection (a-3) | 5 | | is no longer imposed pursuant to item (i) of the last paragraph | 6 | | of subsection (a-3), then by June 15 of each year, each owners | 7 | | licensee, other than an owners licensee that admitted | 8 | | 1,000,000 persons or
fewer in calendar year 2004, must, in | 9 | | addition to the payment of all amounts otherwise due under | 10 | | this Section, pay to the Board a reconciliation payment in the | 11 | | amount, if any, by which the licensed owner's base amount | 12 | | exceeds the amount of net privilege tax paid by the licensed | 13 | | owner to the Board in the then current State fiscal year. A | 14 | | licensed owner's net privilege tax obligation due for the | 15 | | balance of the State fiscal year shall be reduced up to the | 16 | | total of the amount paid by the licensed owner in its June 15 | 17 | | reconciliation payment. The obligation imposed by this | 18 | | subsection (a-15) is binding on any person, firm, corporation, | 19 | | or other entity that acquires an ownership interest in any | 20 | | such owners license. The obligation imposed under this | 21 | | subsection (a-15) terminates on the earliest of: (i) July 1, | 22 | | 2007, (ii) the first day after August 23, 2005 ( the effective | 23 | | date of Public Act 94-673) this amendatory Act of the 94th | 24 | | General Assembly that riverboat gambling operations are | 25 | | conducted pursuant to a dormant license, (iii) the first day | 26 | | that riverboat gambling operations are conducted under the |
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| 1 | | authority of an owners license that is in addition to the 10 | 2 | | owners licenses initially authorized under this Act, or (iv) | 3 | | the first day that a licensee under the Illinois Horse Racing | 4 | | Act of 1975 conducts gaming operations with slot machines or | 5 | | other electronic gaming devices. The Board must reduce the | 6 | | obligation imposed under this subsection (a-15) by an amount | 7 | | the Board deems reasonable for any of the following reasons: | 8 | | (A) an act or acts of God, (B) an act of bioterrorism or | 9 | | terrorism or a bioterrorism or terrorism threat that was | 10 | | investigated by a law enforcement agency, or (C) a condition | 11 | | beyond the control of the owners licensee that does not result | 12 | | from any act or omission by the owners licensee or any of its | 13 | | agents and that poses a hazardous threat to the health and | 14 | | safety of patrons. If an owners licensee pays an amount in | 15 | | excess of its liability under this Section, the Board shall | 16 | | apply the overpayment to future payments required under this | 17 | | Section. | 18 | | For purposes of this subsection (a-15): | 19 | | "Act of God" means an incident caused by the operation of | 20 | | an extraordinary force that cannot be foreseen, that cannot be | 21 | | avoided by the exercise of due care, and for which no person | 22 | | can be held liable.
| 23 | | "Base amount" means the following: | 24 | | For a riverboat in Alton, $31,000,000.
| 25 | | For a riverboat in East Peoria, $43,000,000.
| 26 | | For the Empress riverboat in Joliet, $86,000,000.
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| 1 | | For a riverboat in Metropolis, $45,000,000.
| 2 | | For the Harrah's riverboat in Joliet, $114,000,000.
| 3 | | For a riverboat in Aurora, $86,000,000.
| 4 | | For a riverboat in East St. Louis, $48,500,000.
| 5 | | For a riverboat in Elgin, $198,000,000.
| 6 | | "Dormant license" has the meaning ascribed to it in | 7 | | subsection (a-3).
| 8 | | "Net privilege tax" means all privilege taxes paid by a | 9 | | licensed owner to the Board under this Section, less all | 10 | | payments made from the State Gaming Fund pursuant to | 11 | | subsection (b) of this Section. | 12 | | The changes made to this subsection (a-15) by Public Act | 13 | | 94-839 are intended to restate and clarify the intent of | 14 | | Public Act 94-673 with respect to the amount of the payments | 15 | | required to be made under this subsection by an owners | 16 | | licensee to the Board.
| 17 | | (b) From the tax revenue from riverboat or casino gambling
| 18 | | deposited in the State Gaming Fund under this Section, an | 19 | | amount equal to 5% of
adjusted gross receipts generated by a | 20 | | riverboat or a casino, other than a riverboat or casino | 21 | | designated in paragraph (1), (3), or (4) of subsection (e-5) | 22 | | of Section 7, shall be paid monthly, subject
to appropriation | 23 | | by the General Assembly, to the unit of local government in | 24 | | which the casino is located or that
is designated as the home | 25 | | dock of the riverboat. Notwithstanding anything to the | 26 | | contrary, beginning on the first day that an owners licensee |
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| 1 | | under paragraph (1), (2), (3), (4), (5), or (6) of subsection | 2 | | (e-5) of Section 7 conducts gambling operations, either in a | 3 | | temporary facility or a permanent facility, and for 2 years | 4 | | thereafter, a unit of local government designated as the home | 5 | | dock of a riverboat whose license was issued before January 1, | 6 | | 2019, other than a riverboat conducting gambling operations in | 7 | | the City of East St. Louis, shall not receive less under this | 8 | | subsection (b) than the amount the unit of local government | 9 | | received under this subsection (b) in calendar year 2018. | 10 | | Notwithstanding anything to the contrary and because the City | 11 | | of East St. Louis is a financially distressed city, beginning | 12 | | on the first day that an owners licensee under paragraph (1), | 13 | | (2), (3), (4), (5), or (6) of subsection (e-5) of Section 7 | 14 | | conducts gambling operations, either in a temporary facility | 15 | | or a permanent facility, and for 10 years thereafter, a unit of | 16 | | local government designated as the home dock of a riverboat | 17 | | conducting gambling operations in the City of East St. Louis | 18 | | shall not receive less under this subsection (b) than the | 19 | | amount the unit of local government received under this | 20 | | subsection (b) in calendar year 2018. | 21 | | From the tax revenue
deposited in the State Gaming Fund | 22 | | pursuant to riverboat or casino gambling operations
conducted | 23 | | by a licensed manager on behalf of the State, an amount equal | 24 | | to 5%
of adjusted gross receipts generated pursuant to those | 25 | | riverboat or casino gambling
operations shall be paid monthly,
| 26 | | subject to appropriation by the General Assembly, to the unit |
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| 1 | | of local
government that is designated as the home dock of the | 2 | | riverboat upon which
those riverboat gambling operations are | 3 | | conducted or in which the casino is located. | 4 | | From the tax revenue from riverboat or casino gambling | 5 | | deposited in the State Gaming Fund under this Section, an | 6 | | amount equal to 5% of the adjusted gross receipts generated by | 7 | | a riverboat designated in paragraph (3) of subsection (e-5) of | 8 | | Section 7 shall be divided and remitted monthly, subject to | 9 | | appropriation, as follows: 70% to Waukegan, 10% to Park City, | 10 | | 15% to North Chicago, and 5% to Lake County. | 11 | | From the tax revenue from riverboat or casino gambling | 12 | | deposited in the State Gaming Fund under this Section, an | 13 | | amount equal to 5% of the adjusted gross receipts generated by | 14 | | a riverboat designated in paragraph (4) of subsection (e-5) of | 15 | | Section 7 shall be remitted monthly, subject to appropriation, | 16 | | as follows: 70% to the City of Rockford, 5% to the City of | 17 | | Loves Park, 5% to the Village of Machesney, and 20% to | 18 | | Winnebago County. | 19 | | From the tax revenue from riverboat or casino gambling | 20 | | deposited in the State Gaming Fund under this Section, an | 21 | | amount equal to 5% of the adjusted gross receipts generated by | 22 | | a riverboat designated in paragraph (5) of subsection (e-5) of | 23 | | Section 7 shall be remitted monthly, subject to appropriation, | 24 | | as follows: 2% to the unit of local government in which the | 25 | | riverboat or casino is located, and 3% shall be distributed: | 26 | | (A) in accordance with a regional capital development plan |
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| 1 | | entered into by the following communities: Village of Beecher, | 2 | | City of Blue Island, Village of Burnham, City of Calumet City, | 3 | | Village of Calumet Park, City of Chicago Heights, City of | 4 | | Country Club Hills, Village of Crestwood, Village of Crete, | 5 | | Village of Dixmoor, Village of Dolton, Village of East Hazel | 6 | | Crest, Village of Flossmoor, Village of Ford Heights, Village | 7 | | of Glenwood, City of Harvey, Village of Hazel Crest, Village | 8 | | of Homewood, Village of Lansing, Village of Lynwood, City of | 9 | | Markham, Village of Matteson, Village of Midlothian, Village | 10 | | of Monee, City of Oak Forest, Village of Olympia Fields, | 11 | | Village of Orland Hills, Village of Orland Park, City of Palos | 12 | | Heights, Village of Park Forest, Village of Phoenix, Village | 13 | | of Posen, Village of Richton Park, Village of Riverdale, | 14 | | Village of Robbins, Village of Sauk Village, Village of South | 15 | | Chicago Heights, Village of South Holland, Village of Steger, | 16 | | Village of Thornton, Village of Tinley Park, Village of | 17 | | University Park , and Village of Worth; or (B) if no regional | 18 | | capital development plan exists, equally among the communities | 19 | | listed in item (A) to be used for capital expenditures or | 20 | | public pension payments, or both. | 21 | | Units of local government may refund any portion of the | 22 | | payment that they receive pursuant to this subsection (b) to | 23 | | the riverboat or casino.
| 24 | | (b-4) Beginning on the first day the licensee under | 25 | | paragraph (5) of subsection (e-5) of Section 7 conducts | 26 | | gambling operations, either in a temporary facility or a |
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| 1 | | permanent facility, and ending on July 31, 2042, from the tax | 2 | | revenue deposited in the State Gaming Fund under this Section, | 3 | | $5,000,000 shall be paid annually, subject
to appropriation, | 4 | | to the host municipality of that owners licensee of a license | 5 | | issued or re-issued pursuant to Section
7.1 of this Act before | 6 | | January 1, 2012. Payments received by the host municipality | 7 | | pursuant to this subsection (b-4) may not be shared with any | 8 | | other unit of local government. | 9 | | (b-5) Beginning on June 28, 2019 (the effective date of | 10 | | Public Act 101-31), from the tax revenue
deposited in the | 11 | | State Gaming Fund under this Section, an amount equal to 3% of
| 12 | | adjusted gross receipts generated by each organization gaming | 13 | | facility located outside Madison County shall be paid monthly, | 14 | | subject
to appropriation by the General Assembly, to a | 15 | | municipality other than the Village of Stickney in which each | 16 | | organization gaming facility is located or, if the | 17 | | organization gaming facility is not located within a | 18 | | municipality, to the county in which the organization gaming | 19 | | facility is located, except as otherwise provided in this | 20 | | Section. From the tax revenue deposited in the State Gaming | 21 | | Fund under this Section, an amount equal to 3% of adjusted | 22 | | gross receipts generated by an organization gaming facility | 23 | | located in the Village of Stickney shall be paid monthly, | 24 | | subject to appropriation by the General Assembly, as follows: | 25 | | 25% to the Village of Stickney, 5% to the City of Berwyn, 50% | 26 | | to the Town of Cicero, and 20% to the Stickney Public Health |
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| 1 | | District. | 2 | | From the tax revenue deposited in the State Gaming Fund | 3 | | under this Section, an amount equal to 5% of adjusted gross | 4 | | receipts generated by an organization gaming facility located | 5 | | in the City of Collinsville shall be paid monthly, subject to | 6 | | appropriation by the General Assembly, as follows: 30% to the | 7 | | City of Alton, 30% to the City of East St. Louis, and 40% to | 8 | | the City of Collinsville. | 9 | | Municipalities and counties may refund any portion of the | 10 | | payment that they receive pursuant to this subsection (b-5) to | 11 | | the organization gaming facility. | 12 | | (b-6) Beginning on June 28, 2019 (the effective date of | 13 | | Public Act 101-31), from the tax revenue deposited in the | 14 | | State Gaming Fund under this Section, an amount equal to 2% of | 15 | | adjusted gross receipts generated by an organization gaming | 16 | | facility located outside Madison County shall be paid monthly, | 17 | | subject to appropriation by the General Assembly, to the | 18 | | county in which the organization gaming facility is located | 19 | | for the purposes of its criminal justice system or health care | 20 | | system. | 21 | | Counties may refund any portion of the payment that they | 22 | | receive pursuant to this subsection (b-6) to the organization | 23 | | gaming facility. | 24 | | (b-7) From the tax revenue from the organization gaming | 25 | | licensee located in one of the following townships of Cook | 26 | | County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or |
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| 1 | | Worth, an amount equal to 5% of the adjusted gross receipts | 2 | | generated by that organization gaming licensee shall be | 3 | | remitted monthly, subject to appropriation, as follows: 2% to | 4 | | the unit of local government in which the organization gaming | 5 | | licensee is located, and 3% shall be distributed: (A) in | 6 | | accordance with a regional capital development plan entered | 7 | | into by the following communities: Village of Beecher, City of | 8 | | Blue Island, Village of Burnham, City of Calumet City, Village | 9 | | of Calumet Park, City of Chicago Heights, City of Country Club | 10 | | Hills, Village of Crestwood, Village of Crete, Village of | 11 | | Dixmoor, Village of Dolton, Village of East Hazel Crest, | 12 | | Village of Flossmoor, Village of Ford Heights, Village of | 13 | | Glenwood, City of Harvey, Village of Hazel Crest, Village of | 14 | | Homewood, Village of Lansing, Village of Lynwood, City of | 15 | | Markham, Village of Matteson, Village of Midlothian, Village | 16 | | of Monee, City of Oak Forest, Village of Olympia Fields, | 17 | | Village of Orland Hills, Village of Orland Park, City of Palos | 18 | | Heights, Village of Park Forest, Village of Phoenix, Village | 19 | | of Posen, Village of Richton Park, Village of Riverdale, | 20 | | Village of Robbins, Village of Sauk Village, Village of South | 21 | | Chicago Heights, Village of South Holland, Village of Steger, | 22 | | Village of Thornton, Village of Tinley Park, Village of | 23 | | University Park, and Village of Worth; or (B) if no regional | 24 | | capital development plan exists, equally among the communities | 25 | | listed in item (A) to be used for capital expenditures or | 26 | | public pension payments, or both. |
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| 1 | | (b-8) In lieu of the payments under subsection (b) of this | 2 | | Section, from the tax revenue deposited in the State Gaming
| 3 | | Fund pursuant to riverboat or casino gambling operations | 4 | | conducted by an owners licensee
under paragraph (1) of | 5 | | subsection (e-5) of Section 7, an amount equal to the tax | 6 | | revenue
generated from the privilege tax imposed by paragraph | 7 | | (2) of subsection (a-5) that is to be
paid to the City of | 8 | | Chicago shall be paid monthly, subject
to appropriation by the | 9 | | General Assembly, as follows: (1) an amount equal to 0.5% of | 10 | | the annual adjusted gross receipts
generated by the owners | 11 | | licensee under paragraph (1) of subsection (e-5) of Section 7 | 12 | | to the home rule county in which the owners licensee is located | 13 | | for the purpose of enhancing
the county's criminal justice | 14 | | system; and (2) the balance to the City of Chicago and shall be | 15 | | expended or obligated by the City of Chicago for pension | 16 | | payments in accordance with Public Act 99-506. | 17 | | (c) Appropriations, as approved by the General Assembly, | 18 | | may be made
from the State Gaming Fund to the Board (i) for the | 19 | | administration and enforcement of this Act and the Video | 20 | | Gaming Act, (ii) for distribution to the Illinois State Police | 21 | | and to the Department of Revenue for the enforcement of this | 22 | | Act and the Video Gaming Act, and (iii) to the
Department of | 23 | | Human Services for the administration of programs to treat
| 24 | | problem gambling, including problem gambling from sports | 25 | | wagering. The Board's annual appropriations request must | 26 | | separately state its funding needs for the regulation of |
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| 1 | | gaming authorized under Section 7.7, riverboat gaming, casino | 2 | | gaming, video gaming, and sports wagering.
| 3 | | (c-2) An amount equal to 2% of the adjusted gross receipts | 4 | | generated by an organization gaming facility located within a | 5 | | home rule county with a population of over 3,000,000 | 6 | | inhabitants shall be paid, subject to appropriation
from the | 7 | | General Assembly, from the State Gaming Fund to the home rule
| 8 | | county in which the organization gaming licensee is located | 9 | | for the purpose of
enhancing the county's criminal justice | 10 | | system. | 11 | | (c-3) Appropriations, as approved by the General Assembly, | 12 | | may be made from the tax revenue deposited into the State | 13 | | Gaming Fund from organization gaming licensees pursuant to | 14 | | this Section for the administration and enforcement of this | 15 | | Act.
| 16 | | (c-4) After payments required under subsections (b), | 17 | | (b-5), (b-6), (b-7), (c), (c-2), and (c-3) have been made from | 18 | | the tax revenue from organization gaming licensees deposited | 19 | | into the State Gaming Fund under this Section, all remaining | 20 | | amounts from organization gaming licensees shall be | 21 | | transferred into the Capital Projects Fund. | 22 | | (c-5) (Blank).
| 23 | | (c-10) 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 into the Horse Racing Equity | 26 | | Fund pursuant to subsection (c-5) in the
prior calendar year.
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| 1 | | (c-15) After the payments required under subsections (b), | 2 | | (c), and (c-5)
have been made, an amount equal to 2% of the | 3 | | adjusted gross receipts of (1)
an owners licensee that | 4 | | relocates pursuant to Section 11.2, (2) an owners
licensee | 5 | | conducting riverboat gambling operations pursuant to
an
owners | 6 | | license that is initially issued after June 25, 1999,
or (3) | 7 | | the first
riverboat gambling operations conducted by a | 8 | | licensed manager on behalf of the
State under Section 7.3,
| 9 | | whichever comes first, shall be paid, subject to appropriation
| 10 | | from the General Assembly, from the State Gaming Fund to each | 11 | | home rule
county with a population of over 3,000,000 | 12 | | inhabitants for the purpose of
enhancing the county's criminal | 13 | | justice system.
| 14 | | (c-20) Each year the General Assembly shall appropriate | 15 | | from the General
Revenue Fund to the Education Assistance Fund | 16 | | an amount equal to the amount
paid to each home rule county | 17 | | with a population of over 3,000,000 inhabitants
pursuant to | 18 | | subsection (c-15) in the prior calendar year.
| 19 | | (c-21) After the payments required under subsections (b), | 20 | | (b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have | 21 | | been made, an amount equal to 0.5% of the adjusted gross | 22 | | receipts generated by the owners licensee under paragraph (1) | 23 | | of subsection (e-5) of Section 7 shall be paid monthly, | 24 | | subject to appropriation
from the General Assembly, from the | 25 | | State Gaming Fund to the home rule
county in which the owners | 26 | | licensee is located for the purpose of
enhancing the county's |
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| 1 | | criminal justice system. | 2 | | (c-22) After the payments required under subsections (b), | 3 | | (b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and | 4 | | (c-21) have been made, an amount equal to 2% of the adjusted | 5 | | gross receipts generated by the owners licensee under | 6 | | paragraph (5) of subsection (e-5) of Section 7 shall be paid, | 7 | | subject to appropriation
from the General Assembly, from the | 8 | | State Gaming Fund to the home rule
county in which the owners | 9 | | licensee is located for the purpose of
enhancing the county's | 10 | | criminal justice system. | 11 | | (c-25) From July 1, 2013 and each July 1 thereafter | 12 | | through July 1, 2019, $1,600,000 shall be transferred from the | 13 | | State Gaming Fund to the Chicago State University Education | 14 | | Improvement Fund.
| 15 | | On July 1, 2020 and each July 1 thereafter, $3,000,000 | 16 | | shall be transferred from the State Gaming Fund to the Chicago | 17 | | State University Education Improvement Fund. | 18 | | (c-30) On July 1, 2013 or as soon as possible thereafter, | 19 | | $92,000,000 shall be transferred from the State Gaming Fund to | 20 | | the School Infrastructure Fund and $23,000,000 shall be | 21 | | transferred from the State Gaming Fund to the Horse Racing | 22 | | Equity Fund. | 23 | | (c-35) Beginning on July 1, 2013, in addition to any | 24 | | amount transferred under subsection (c-30) of this Section, | 25 | | $5,530,000 shall be transferred monthly from the State Gaming | 26 | | Fund to the School Infrastructure Fund. |
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| 1 | | (d) From time to time, through June 30, 2021, the
Board | 2 | | shall transfer the remainder of the funds
generated by this | 3 | | Act into the Education
Assistance Fund.
| 4 | | (d-5) Beginning on July 1, 2021, on the last day of each | 5 | | month, or as soon thereafter as possible, after all the | 6 | | required expenditures, distributions , and transfers have been | 7 | | made from the State Gaming Fund for the month pursuant to | 8 | | subsections (b) through (c-35), at the direction of the Board , | 9 | | the Comptroller shall direct and the Treasurer shall transfer | 10 | | $22,500,000, along with any deficiencies in such amounts from | 11 | | prior months in the same fiscal year , from the State Gaming | 12 | | Fund to the Education Assistance Fund; then , at the direction | 13 | | of the Board , the Comptroller shall direct and the Treasurer | 14 | | shall transfer the remainder of the funds generated by this | 15 | | Act, if any, from the State Gaming Fund to the Capital Projects | 16 | | Fund. | 17 | | (e) Nothing in this Act shall prohibit the unit of local | 18 | | government
designated as the home dock of the riverboat from | 19 | | entering into agreements
with other units of local government | 20 | | in this State or in other states to
share its portion of the | 21 | | tax revenue.
| 22 | | (f) To the extent practicable, the Board shall administer | 23 | | and collect the
wagering taxes imposed by this Section in a | 24 | | manner consistent with the
provisions of Sections 4, 5, 5a, | 25 | | 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b,
6c, 8, 9, and 10 of | 26 | | the Retailers' Occupation Tax Act and Section 3-7 of the
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| 1 | | Uniform Penalty and Interest Act.
| 2 | | (Source: P.A. 101-31, Article 25, Section 25-910, eff. | 3 | | 6-28-19; 101-31, Article 35, Section 35-55, eff. 6-28-19; | 4 | | 101-648, eff. 6-30-20; 102-16, eff. 6-17-21; 102-538, eff. | 5 | | 8-20-21; revised 10-14-21.)
| 6 | | Section 20. The Raffles and Poker Runs Act is amended by | 7 | | changing Sections 1 and 2 as follows:
| 8 | | (230 ILCS 15/1) (from Ch. 85, par. 2301)
| 9 | | Sec. 1. Definitions. For the purposes of this Act the | 10 | | terms defined
in this Section have the meanings given them.
| 11 | | "Fire protection agency" means: (1) an agency of this | 12 | | State, unit of local government, or intergovernmental mutual | 13 | | aid entity that is vested by law or intergovernmental | 14 | | agreement with the duty and authority to provide public fire | 15 | | suppression, rescue, or emergency medical services; or (2) an | 16 | | organization that provides support or assistance to an agency | 17 | | of this State, unit of local government, or intergovernmental | 18 | | mutual aid entity that is vested by law or intergovernmental | 19 | | agreement with the duty and authority to provide public fire | 20 | | suppression, rescue, or emergency medical services. | 21 | | "Key location" means: | 22 | | (1) For a poker run, the location where the poker run | 23 | | concludes and the prizes are awarded. | 24 | | (2) For a raffle, the location where the winning |
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| 1 | | chances in the raffle are determined. | 2 | | "Law enforcement agency" means an agency of this State or | 3 | | a unit of local government in this State that is vested by law | 4 | | or ordinance with the duty to maintain public order and to | 5 | | enforce criminal laws or ordinances. | 6 | | "Net proceeds" means the gross receipts from the conduct | 7 | | of raffles, less
reasonable sums expended for prizes, local | 8 | | license fees and other
operating expenses incurred as a result | 9 | | of operating a raffle or poker run.
| 10 | | "Poker run" means a prize-awarding event organized by an | 11 | | organization licensed under this Act in which participants | 12 | | travel to multiple predetermined locations, including a key | 13 | | location, to play a randomized game based on an element of | 14 | | chance. "Poker run" includes dice runs, marble runs, or other | 15 | | events where the objective is to build the best hand or highest | 16 | | score by obtaining an item or playing a randomized game at each | 17 | | location. | 18 | | "Raffle" means a form of lottery, as defined in subsection | 19 | | (b) of Section 28-2 of the
Criminal Code of 2012, conducted by | 20 | | an organization licensed under this Act, in which:
| 21 | | (1) the player pays or agrees to pay something of | 22 | | value for a chance,
represented and differentiated by a | 23 | | number or by a combination of numbers
or by some other | 24 | | medium, one or more of which chances is to be designated
| 25 | | the winning chance; and
| 26 | | (2) the winning chance is to be determined through a |
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| 1 | | drawing or by some
other method based on an element of | 2 | | chance by an act or set of acts on the
part of persons | 3 | | conducting or connected with the lottery, except that the
| 4 | | winning chance shall not be determined by the outcome of a | 5 | | publicly exhibited
sporting contest.
| 6 | | "Raffle" does not include any game designed to simulate: | 7 | | (1) gambling games as defined in the Illinois Gambling Act, | 8 | | (2) any casino game approved for play by the Illinois Gaming | 9 | | Board, (3) any games provided by a video gaming terminal, as | 10 | | defined in the Video Gaming Act, or (4) a savings promotion | 11 | | raffle authorized under Section 5g of the Illinois Banking | 12 | | Act, Section 7008 of the Savings Bank Act, Section 42.7 of the | 13 | | Illinois Credit Union Act, Section 5136B of the National Bank | 14 | | Act, or Section 4 of the Home Owners' Loan Act. | 15 | | (Source: P.A. 101-109, eff. 7-19-19; 102-558, eff. 8-20-21.)
| 16 | | (230 ILCS 15/2) (from Ch. 85, par. 2302)
| 17 | | Sec. 2. Licensing. | 18 | | (a) The governing body of any county or municipality
| 19 | | within this State may establish a system for the licensing of | 20 | | organizations
to operate raffles. The governing bodies of a | 21 | | county and one or more
municipalities may, pursuant to a | 22 | | written contract, jointly establish a
system for the licensing | 23 | | of organizations to operate raffles within any
area of | 24 | | contiguous territory not contained within the corporate limits | 25 | | of a
municipality which is not a party to such contract. The |
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| 1 | | governing bodies
of two or more adjacent counties or two or | 2 | | more adjacent municipalities
located within a county may, | 3 | | pursuant to a written contract, jointly
establish a system for | 4 | | the licensing of organizations to operate raffles
within the | 5 | | corporate limits of such counties or municipalities. The
| 6 | | licensing authority may establish special categories of | 7 | | licenses and
promulgate rules relating to the various | 8 | | categories. The licensing system
shall provide for limitations | 9 | | upon (1) the aggregate retail value of all
prizes or | 10 | | merchandise awarded by a licensee in a single raffle, if any, | 11 | | (2) the
maximum retail value of each prize awarded by a | 12 | | licensee in a single raffle, if any,
(3) the maximum price | 13 | | which may be charged for each raffle chance issued
or sold, if | 14 | | any, and (4) the maximum number of days during which chances | 15 | | may be issued
or sold, if any. The licensing system may include | 16 | | a fee for each license in an
amount to be determined by the | 17 | | local governing body. Licenses issued pursuant
to this Act | 18 | | shall be valid for one raffle or for a specified number of
| 19 | | raffles to be conducted during a specified period not to | 20 | | exceed one year
and may be suspended or revoked
for any | 21 | | violation of this Act. A local governing body shall act on a | 22 | | license
application within 30 days from the date of | 23 | | application. A county or municipality may adopt
rules or | 24 | | ordinances for the operation of raffles that are consistent | 25 | | with this Act. Raffles shall be licensed by the governing body | 26 | | of the municipality with jurisdiction over the key location |
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| 1 | | or, if no municipality has jurisdiction over the key location, | 2 | | then by the governing body of the county with jurisdiction | 3 | | over the key location. A license shall authorize the holder of | 4 | | such license to sell raffle chances throughout the State, | 5 | | including beyond the borders of the licensing municipality or | 6 | | county.
| 7 | | (a-5) The governing body of Cook County may and any other | 8 | | county within this State shall establish a system for the | 9 | | licensing of organizations to operate poker runs. The | 10 | | governing bodies of 2 or more adjacent counties may, pursuant | 11 | | to a written contract, jointly establish a system for the | 12 | | licensing of organizations to operate poker runs within the | 13 | | corporate limits of such counties. The licensing authority may | 14 | | establish special categories of licenses and adopt rules | 15 | | relating to the various categories. The licensing system may | 16 | | include a fee not to exceed $25 for each license. Licenses | 17 | | issued pursuant to this Act shall be valid for one poker run or | 18 | | for a specified number of poker runs to be conducted during a | 19 | | specified period not to exceed one year and may be suspended or | 20 | | revoked for any violation of this Act. A local governing body | 21 | | shall act on a license application within 30 days after the | 22 | | date of application. | 23 | | (b) Raffle licenses shall be issued only : (1) to bona fide | 24 | | religious, charitable,
labor, business, fraternal, | 25 | | educational, veterans', or other bona fide not-for-profit | 26 | | organizations that
operate without profit to their members and |
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| 1 | | which have been in existence
continuously for a period of 5 | 2 | | years immediately before making application
for a raffle | 3 | | license and which have during that entire 5-year period been | 4 | | engaged in carrying out their objects, (2) or to a non-profit
| 5 | | fundraising organization that the licensing authority | 6 | | determines is
organized for the sole purpose of providing | 7 | | financial assistance to an
identified individual or group of | 8 | | individuals suffering extreme financial
hardship as the result | 9 | | of an illness, disability, accident, or disaster, (3) or to | 10 | | any law enforcement agencies and associations that represent | 11 | | law enforcement officials , or (4) to any fire protection | 12 | | agencies and associations that represent fire protection | 13 | | officials . Poker run licenses shall be issued only to bona | 14 | | fide religious, charitable, labor, business, fraternal, | 15 | | educational, veterans', or other bona fide not-for-profit | 16 | | organizations that operate without profit to their members and | 17 | | which have been in existence continuously for a period of 5 | 18 | | years immediately before making application for a poker run | 19 | | license and which have during that entire 5-year period been | 20 | | engaged in carrying out their objects. Licenses for poker runs | 21 | | shall be issued for the following purposes: (i) providing | 22 | | financial assistance to an identified individual or group of | 23 | | individuals suffering extreme financial hardship as the result | 24 | | of an illness, disability, accident, or disaster or (ii) to | 25 | | maintain the financial stability of the organization. A | 26 | | licensing authority may waive the 5-year requirement under |
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| 1 | | this subsection (b) for a bona fide religious, charitable, | 2 | | labor, business, fraternal, educational, or veterans' | 3 | | organization that applies for a license to conduct a raffle or | 4 | | a poker run if the organization is a local organization that is | 5 | | affiliated with and chartered by a national or State | 6 | | organization that meets the 5-year requirement.
| 7 | | For purposes of this Act, the following definitions apply. | 8 | | Non-profit:
An organization or institution organized and | 9 | | conducted on a not-for-profit
basis with no personal profit | 10 | | inuring to any one as a result of the operation.
Charitable: An | 11 | | organization or institution organized and operated to benefit
| 12 | | an indefinite number of the public. The service rendered to | 13 | | those eligible
for benefits must also confer some benefit on | 14 | | the public. Educational:
An organization or institution | 15 | | organized and operated to provide systematic
instruction in | 16 | | useful branches of learning by methods common to schools
and | 17 | | institutions of learning which compare favorably in their | 18 | | scope and
intensity with the course of study presented in | 19 | | tax-supported schools.
Religious: Any church, congregation, | 20 | | society, or organization founded for
the purpose of religious | 21 | | worship. Fraternal: An organization of persons
having a common | 22 | | interest, the primary interest of which is to both promote
the | 23 | | welfare of its members and to provide assistance to the | 24 | | general public
in such a way as to lessen the burdens of | 25 | | government by caring for those
that otherwise would be cared | 26 | | for by the government. Veterans: An organization
or |
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| 1 | | association comprised of members of which substantially all | 2 | | are individuals
who are veterans or spouses, widows, or | 3 | | widowers of veterans, the primary
purpose of which is to | 4 | | promote the welfare of its members and to provide
assistance | 5 | | to the general public in such a way as to confer a public | 6 | | benefit.
Labor: An organization composed of workers organized | 7 | | with the objective
of betterment of the conditions of those | 8 | | engaged in such pursuit and the
development of a higher degree | 9 | | of efficiency in their respective occupations.
Business: A | 10 | | voluntary organization composed of individuals and businesses
| 11 | | who have joined together to advance the commercial, financial, | 12 | | industrial
and civic interests of a community.
| 13 | | (Source: P.A. 101-109, eff. 7-19-19; 101-360, eff. 1-1-20; | 14 | | 102-558, eff. 8-20-21.)
| 15 | | Section 30. The Video Gaming
Act is amended by changing | 16 | | Sections 5, 25, 27, 30, 45, 50, and 65 and by adding Section 90 | 17 | | as follows:
| 18 | | (230 ILCS 40/5)
| 19 | | Sec. 5. Definitions. As used in this Act:
| 20 | | "Board" means the Illinois Gaming Board.
| 21 | | "Credit" means one, 5, 10, or 25 cents either won or | 22 | | purchased by a player.
| 23 | | "Distributor" means an individual, partnership, | 24 | | corporation, or limited liability company licensed under
this |
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| 1 | | Act to buy, sell, lease, or distribute video gaming terminals | 2 | | or major
components or parts of video gaming terminals to or | 3 | | from terminal
operators.
| 4 | | "Electronic card" means a card purchased from a licensed | 5 | | establishment, licensed fraternal establishment, licensed | 6 | | veterans establishment, licensed truck stop establishment, or | 7 | | licensed large truck stop establishment for use in that | 8 | | establishment as a substitute for cash in the conduct of | 9 | | gaming on a video gaming terminal. | 10 | | "Electronic voucher" means a voucher printed by an | 11 | | electronic video game machine that is redeemable in the | 12 | | licensed establishment for which it was issued. | 13 | | "In-location bonus jackpot" means one or more video gaming | 14 | | terminals at a single licensed establishment that allows for | 15 | | wagers placed on such video gaming terminals to contribute to | 16 | | a cumulative maximum jackpot of up to $10,000. | 17 | | "Terminal operator" means an individual, partnership, | 18 | | corporation, or limited liability company that is
licensed | 19 | | under this Act and that owns, services, and maintains video
| 20 | | gaming terminals for placement in licensed establishments, | 21 | | licensed truck stop establishments, licensed large truck stop | 22 | | establishments, licensed fraternal
establishments, or licensed | 23 | | veterans establishments.
| 24 | | "Licensed technician" means an individual
who
is licensed | 25 | | under this Act to repair,
service, and maintain
video gaming | 26 | | terminals.
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| 1 | | "Licensed terminal handler" means a person, including but | 2 | | not limited to an employee or independent contractor working | 3 | | for a manufacturer, distributor, supplier, technician, or | 4 | | terminal operator, who is licensed under this Act to possess | 5 | | or control a video gaming terminal or to have access to the | 6 | | inner workings of a video gaming terminal. A licensed terminal | 7 | | handler does not include an individual, partnership, | 8 | | corporation, or limited liability company defined as a | 9 | | manufacturer, distributor, supplier, technician, or terminal | 10 | | operator under this Act. | 11 | | "Manufacturer" means an individual, partnership, | 12 | | corporation, or limited liability company that is
licensed | 13 | | under this Act and that manufactures or assembles video gaming
| 14 | | terminals.
| 15 | | "Supplier" means an individual, partnership, corporation, | 16 | | or limited liability company that is
licensed under this Act | 17 | | to supply major components or parts to video gaming
terminals | 18 | | to licensed
terminal operators.
| 19 | | "Net terminal income" means money put into a video gaming | 20 | | terminal minus
credits paid out to players.
| 21 | | "Video gaming terminal" means any electronic video game | 22 | | machine
that, upon insertion of cash, electronic cards or | 23 | | vouchers, or any combination thereof, is available to play or | 24 | | simulate the play of
a video game, including but not limited to | 25 | | video poker, line up, and blackjack, as
authorized by the | 26 | | Board utilizing a video display and microprocessors in
which |
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| 1 | | the player may receive free games or credits that can be
| 2 | | redeemed for cash. The term does not include a machine that | 3 | | directly
dispenses coins, cash, or tokens or is for amusement | 4 | | purposes only.
| 5 | | "Licensed establishment" means any licensed retail | 6 | | establishment where
alcoholic liquor is drawn, poured, mixed, | 7 | | or otherwise served for consumption
on the premises, whether | 8 | | the establishment operates on a nonprofit or for-profit basis. | 9 | | "Licensed establishment" includes any such establishment that | 10 | | has a contractual relationship with an inter-track wagering | 11 | | location licensee licensed under the Illinois Horse Racing Act | 12 | | of 1975, provided any contractual relationship shall not | 13 | | include any transfer or offer of revenue from the operation of | 14 | | video gaming under this Act to any licensee licensed under the | 15 | | Illinois Horse Racing Act of 1975. Provided, however, that the | 16 | | licensed establishment that has such a contractual | 17 | | relationship with an inter-track wagering location licensee | 18 | | may not, itself, be (i) an inter-track wagering location | 19 | | licensee, (ii) the corporate parent or subsidiary of any | 20 | | licensee licensed under the Illinois Horse Racing Act of 1975, | 21 | | or (iii) the corporate subsidiary of a corporation that is | 22 | | also the corporate parent or subsidiary of any licensee | 23 | | licensed under the Illinois Horse Racing Act of 1975. | 24 | | "Licensed establishment" does not include a facility operated | 25 | | by an organization licensee, an inter-track wagering licensee, | 26 | | or an inter-track wagering location licensee licensed under |
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| 1 | | the Illinois Horse Racing Act of 1975 or a riverboat licensed | 2 | | under the Illinois Gambling Act, except as provided in this | 3 | | paragraph. The changes made to this definition by Public Act | 4 | | 98-587 are declarative of existing law.
| 5 | | "Licensed fraternal establishment" means the location | 6 | | where a qualified
fraternal organization that derives its | 7 | | charter from a national fraternal
organization regularly | 8 | | meets.
| 9 | | "Licensed veterans establishment" means the location where | 10 | | a qualified
veterans organization that derives its charter | 11 | | from a national veterans
organization regularly meets.
| 12 | | "Licensed truck stop establishment" means a facility (i) | 13 | | that is at least a
3-acre facility with a convenience store, | 14 | | (ii) with separate diesel
islands for fueling commercial motor | 15 | | vehicles, (iii) that sells at retail more than 10,000 gallons | 16 | | of diesel or biodiesel fuel per month, and (iv) with parking | 17 | | spaces for commercial
motor vehicles. "Commercial motor | 18 | | vehicles" has the same meaning as defined in Section 18b-101 | 19 | | of the Illinois Vehicle Code. The requirement of item (iii) of | 20 | | this paragraph may be met by showing that estimated future | 21 | | sales or past sales average at least 10,000 gallons per month.
| 22 | | "Licensed large truck stop establishment" means a facility | 23 | | located within 3 road miles from a freeway interchange, as | 24 | | measured in accordance with the Department of Transportation's | 25 | | rules regarding the criteria for the installation of business | 26 | | signs: (i) that is at least a
3-acre facility with a |
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| 1 | | convenience store, (ii) with separate diesel
islands for | 2 | | fueling commercial motor vehicles, (iii) that sells at retail | 3 | | more than 50,000 gallons of diesel or biodiesel fuel per | 4 | | month, and (iv) with parking spaces for commercial
motor | 5 | | vehicles. "Commercial motor vehicles" has the same meaning as | 6 | | defined in Section 18b-101 of the Illinois Vehicle Code. The | 7 | | requirement of item (iii) of this paragraph may be met by | 8 | | showing that estimated future sales or past sales average at | 9 | | least 50,000 gallons per month. | 10 | | "Sales agent and broker" means an individual, partnership, | 11 | | corporation, limited liability company, or other business | 12 | | entity engaged in the solicitation or receipt of business from | 13 | | current or potential licensed establishments, licensed | 14 | | fraternal establishments, licensed veterans establishments, | 15 | | licensed truck stop establishments, or licensed large truck | 16 | | stop establishments either on an employment or contractual | 17 | | basis. | 18 | | (Source: P.A. 101-31, eff. 6-28-19.)
| 19 | | (230 ILCS 40/25)
| 20 | | Sec. 25. Restriction of licensees.
| 21 | | (a) Manufacturer. A person may not be licensed as a | 22 | | manufacturer of a
video gaming terminal in Illinois unless the | 23 | | person has a valid
manufacturer's license issued
under this | 24 | | Act. A manufacturer may only sell video gaming terminals for | 25 | | use
in Illinois to
persons having a valid distributor's |
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| 1 | | license.
| 2 | | (b) Distributor. A person may not sell, distribute, or | 3 | | lease
or market a video gaming terminal in Illinois unless the | 4 | | person has a valid
distributor's
license issued under this | 5 | | Act. A distributor may only sell video gaming
terminals for | 6 | | use in
Illinois to persons having a valid distributor's or | 7 | | terminal operator's
license.
| 8 | | (c) Terminal operator. A person may not own, maintain, or | 9 | | place a video gaming terminal unless he has a valid terminal | 10 | | operator's
license issued
under this Act. A terminal operator | 11 | | may only place video gaming terminals for
use in
Illinois in | 12 | | licensed establishments, licensed truck stop establishments, | 13 | | licensed large truck stop establishments, licensed fraternal | 14 | | establishments,
and
licensed veterans establishments.
No | 15 | | terminal operator may give anything of value, including but | 16 | | not limited to
a loan or financing arrangement, to a licensed | 17 | | establishment, licensed truck stop establishment, licensed | 18 | | large truck stop establishment,
licensed fraternal | 19 | | establishment, or licensed veterans establishment as
any | 20 | | incentive or inducement to locate video terminals in that | 21 | | establishment.
Of the after-tax profits
from a video gaming | 22 | | terminal, 50% shall be paid to the terminal
operator and 50% | 23 | | shall be paid to the licensed establishment, licensed truck | 24 | | stop establishment, licensed large truck stop establishment,
| 25 | | licensed fraternal establishment, or
licensed veterans | 26 | | establishment, notwithstanding any agreement to the contrary.
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| 1 | | A video terminal operator that violates one or more | 2 | | requirements of this subsection is guilty of a Class 4 felony | 3 | | and is subject to termination of his or her license by the | 4 | | Board.
| 5 | | (d) Licensed technician. A person may not service, | 6 | | maintain, or repair a
video gaming terminal
in this State | 7 | | unless he or she (1) has a valid technician's license issued
| 8 | | under this Act, (2) is a terminal operator, or (3) is employed | 9 | | by a terminal
operator, distributor, or manufacturer.
| 10 | | (d-5) Licensed terminal handler. No person, including, but | 11 | | not limited to, an employee or independent contractor working | 12 | | for a manufacturer, distributor, supplier, technician, or | 13 | | terminal operator licensed pursuant to this Act, shall have | 14 | | possession or control of a video gaming terminal, or access to | 15 | | the inner workings of a video gaming terminal, unless that | 16 | | person possesses a valid terminal handler's license issued | 17 | | under this Act. | 18 | | (d-10) Solicitation of use agreements. A person may not | 19 | | solicit the signing of a use agreement on behalf of a terminal | 20 | | operator or enter into a use agreement as agent of a terminal | 21 | | operator unless that person either has a valid sales agent and | 22 | | broker license issued under this Act or owns, manages, or | 23 | | significantly influences or controls the terminal operator. | 24 | | (e) Licensed establishment. No video gaming terminal may | 25 | | be placed in any licensed establishment, licensed veterans | 26 | | establishment, licensed truck stop establishment, licensed |
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| 1 | | large truck stop establishment,
or licensed fraternal | 2 | | establishment
unless the owner
or agent of the owner of the | 3 | | licensed establishment, licensed veterans establishment, | 4 | | licensed truck stop establishment, licensed large truck stop | 5 | | establishment, or licensed
fraternal establishment has entered | 6 | | into a
written use agreement with the terminal operator for | 7 | | placement of the
terminals. A copy of the use agreement shall | 8 | | be on file in the terminal
operator's place of business and | 9 | | available for inspection by individuals
authorized by the | 10 | | Board. A licensed establishment, licensed truck stop | 11 | | establishment, licensed veterans establishment,
or
licensed
| 12 | | fraternal
establishment may operate up to 6 video gaming | 13 | | terminals on its premises at any
time. A licensed large truck | 14 | | stop establishment may operate up to 10 video gaming terminals | 15 | | on its premises at any time.
| 16 | | (f) (Blank).
| 17 | | (g) Financial interest restrictions.
As used in this Act, | 18 | | "substantial interest" in a partnership, a corporation, an
| 19 | | organization, an association, a business, or a limited | 20 | | liability company means:
| 21 | | (A) When, with respect to a sole proprietorship, an | 22 | | individual or
his or her spouse owns, operates, manages, | 23 | | or conducts, directly
or indirectly, the organization, | 24 | | association, or business, or any part thereof;
or
| 25 | | (B) When, with respect to a partnership, the | 26 | | individual or his or
her spouse shares in any of the |
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| 1 | | profits, or potential profits,
of the partnership | 2 | | activities; or
| 3 | | (C) When, with respect to a corporation, an individual | 4 | | or his or her
spouse is an officer or director, or the | 5 | | individual or his or her spouse is a holder, directly or | 6 | | beneficially, of 5% or more of any class
of stock of the | 7 | | corporation; or
| 8 | | (D) When, with respect to an organization not covered | 9 | | in (A), (B) or
(C) above, an individual or his or her | 10 | | spouse is an officer or manages the
business affairs, or | 11 | | the individual or his or her spouse is the
owner of or | 12 | | otherwise controls 10% or more of the assets of the | 13 | | organization;
or
| 14 | | (E) When an individual or his or her spouse furnishes
| 15 | | 5% or more of the capital, whether in cash, goods, or | 16 | | services, for the
operation of any business, association, | 17 | | or organization during any calendar
year; or | 18 | | (F) When, with respect to a limited liability company, | 19 | | an individual or his or her
spouse is a member, or the | 20 | | individual or his or her spouse is a holder, directly or | 21 | | beneficially, of 5% or more of the membership interest of | 22 | | the limited liability company.
| 23 | | For purposes of this subsection (g), "individual" includes | 24 | | all individuals or their spouses whose combined interest would | 25 | | qualify as a substantial interest under this subsection (g) | 26 | | and whose activities with respect to an organization, |
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| 1 | | association, or business are so closely aligned or coordinated | 2 | | as to constitute the activities of a single entity. | 3 | | (h) Location restriction. A licensed establishment, | 4 | | licensed truck stop establishment, licensed large truck stop | 5 | | establishment, licensed
fraternal
establishment, or licensed | 6 | | veterans establishment that is (i) located within 1,000
feet | 7 | | of a facility operated by an organization licensee licensed | 8 | | under the Illinois Horse Racing Act of 1975 or the home dock of | 9 | | a riverboat licensed under the Illinois
Gambling Act or (ii) | 10 | | located within 100 feet of a school or a place of worship under | 11 | | the Religious Corporation Act, is ineligible to operate a | 12 | | video gaming terminal. The location restrictions in this | 13 | | subsection (h) do not apply if (A) a facility operated by an | 14 | | organization licensee, a school, or a place of worship moves | 15 | | to or is established within the restricted area after a | 16 | | licensed establishment, licensed truck stop establishment, | 17 | | licensed large truck stop establishment, licensed fraternal | 18 | | establishment, or licensed veterans establishment becomes | 19 | | licensed under this Act or (B) a school or place of worship | 20 | | moves to or is established within the restricted area after a | 21 | | licensed establishment, licensed truck stop establishment, | 22 | | licensed large truck stop establishment, licensed fraternal | 23 | | establishment, or licensed veterans establishment obtains its | 24 | | original liquor license. For the purpose of this subsection, | 25 | | "school" means an elementary or secondary public school, or an | 26 | | elementary or secondary private school registered with or |
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| 1 | | recognized by the State Board of Education. | 2 | | Notwithstanding the provisions of this subsection (h), the | 3 | | Board may waive the requirement that a licensed establishment, | 4 | | licensed truck stop establishment, licensed large truck stop | 5 | | establishment, licensed fraternal establishment, or licensed | 6 | | veterans establishment not be located within 1,000 feet from a | 7 | | facility operated by an organization licensee licensed under | 8 | | the Illinois Horse Racing Act of 1975 or the home dock of a | 9 | | riverboat licensed under the Illinois Gambling Act. The Board | 10 | | shall not grant such waiver if there is any common ownership or | 11 | | control, shared business activity, or contractual arrangement | 12 | | of any type between the establishment and the organization | 13 | | licensee or owners licensee of a riverboat. The Board shall | 14 | | adopt rules to implement the provisions of this paragraph. | 15 | | (h-5) Restrictions on licenses in malls. The Board shall | 16 | | not grant an application to become a licensed video gaming | 17 | | location if the Board determines that granting the application | 18 | | would more likely than not cause a terminal operator, | 19 | | individually or in combination with other terminal operators, | 20 | | licensed video gaming location, or other person or entity, to | 21 | | operate the video gaming terminals in 2 or more licensed video | 22 | | gaming locations as a single video gaming operation. | 23 | | (1) In making determinations under this subsection | 24 | | (h-5), factors to be considered by the Board shall | 25 | | include, but not be limited to, the following: | 26 | | (A) the physical aspects of the location; |
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| 1 | | (B) the ownership, control, or management of the | 2 | | location; | 3 | | (C) any arrangements, understandings, or | 4 | | agreements, written or otherwise, among or involving | 5 | | any persons or entities that involve the conducting of | 6 | | any video gaming business or the sharing of costs or | 7 | | revenues; and | 8 | | (D) the manner in which any terminal operator or | 9 | | other related entity markets, advertises, or otherwise | 10 | | describes any location or locations to any other | 11 | | person or entity or to the public. | 12 | | (2) The Board shall presume, subject to rebuttal, that | 13 | | the granting of an application to become a licensed video | 14 | | gaming location within a mall will cause a terminal | 15 | | operator, individually or in combination with other | 16 | | persons or entities, to operate the video gaming terminals | 17 | | in 2 or more licensed video gaming locations as a single | 18 | | video gaming operation if the Board determines that | 19 | | granting the license would create a local concentration of | 20 | | licensed video gaming locations. | 21 | | For the purposes of this subsection (h-5): | 22 | | "Mall" means a building, or adjoining or connected | 23 | | buildings, containing 4 or more separate locations. | 24 | | "Video gaming operation" means the conducting of video | 25 | | gaming and all related activities. | 26 | | "Location" means a space within a mall containing a |
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| 1 | | separate business, a place for a separate business, or a place | 2 | | subject to a separate leasing arrangement by the mall owner. | 3 | | "Licensed video gaming location" means a licensed | 4 | | establishment, licensed fraternal establishment, licensed | 5 | | veterans establishment, licensed truck stop establishment, or | 6 | | licensed large truck stop. | 7 | | "Local concentration of licensed video gaming locations" | 8 | | means that the combined number of licensed video gaming | 9 | | locations within a mall exceed half of the separate locations | 10 | | within the mall. | 11 | | (i) Undue economic concentration. In addition to | 12 | | considering all other requirements under this Act, in deciding | 13 | | whether to approve the operation of video gaming terminals by | 14 | | a terminal operator in a location, the Board shall consider | 15 | | the impact of any economic concentration of such operation of | 16 | | video gaming terminals. The Board shall not allow a terminal | 17 | | operator to operate video gaming terminals if the Board | 18 | | determines such operation will result in undue economic | 19 | | concentration. For purposes of this Section, "undue economic | 20 | | concentration" means that a terminal operator would have such | 21 | | actual or potential influence over video gaming terminals in | 22 | | Illinois as to: | 23 | | (1) substantially impede or suppress competition among | 24 | | terminal operators; | 25 | | (2) adversely impact the economic stability of the | 26 | | video gaming industry in Illinois; or |
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| 1 | | (3) negatively impact the purposes of the Video Gaming | 2 | | Act. | 3 | | The Board shall adopt rules concerning undue economic | 4 | | concentration with respect to the operation of video gaming | 5 | | terminals in Illinois. The rules shall include, but not be | 6 | | limited to, (i) limitations on the number of video gaming | 7 | | terminals operated by any terminal operator within a defined | 8 | | geographic radius and (ii) guidelines on the discontinuation | 9 | | of operation of any such video gaming terminals the Board | 10 | | determines will cause undue economic concentration.
| 11 | | (j) The provisions of the Illinois Antitrust Act are fully | 12 | | and equally applicable to the activities of any licensee under | 13 | | this Act.
| 14 | | (Source: P.A. 101-31, eff. 6-28-19.)
| 15 | | (230 ILCS 40/27)
| 16 | | Sec. 27. Prohibition of video gaming by political | 17 | | subdivision. | 18 | | (a) A
municipality may
pass an ordinance prohibiting video | 19 | | gaming within the corporate limits of the
municipality.
A | 20 | | county board may, for the unincorporated area of the county, | 21 | | pass an
ordinance prohibiting video gaming within the | 22 | | unincorporated area of the
county. | 23 | | (b) On and after July 1, 2022, a qualified fraternal | 24 | | organization that derives its charter from a national | 25 | | fraternal organization and a qualified veterans organization |
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| 1 | | that derives its charter from a national veterans organization | 2 | | shall be eligible to apply to the Board for a license allowing | 3 | | video gaming as a licensed fraternal establishment or a | 4 | | licensed veterans establishment if the proposed fraternal | 5 | | establishment or veterans establishment is located in: | 6 | | (1) a municipality having a population of not more | 7 | | than 1,000,000 that has enacted an ordinance prohibiting | 8 | | video gaming within the corporate limits; or | 9 | | (2) a county having a population of not more than | 10 | | 1,000,000 that has enacted an ordinance prohibiting video | 11 | | gaming within the unincorporated area of the county. | 12 | | If the license is granted by the Board, then the licensed | 13 | | fraternal establishment or licensed veterans establishment may | 14 | | operate video gaming terminals pursuant to this Act. | 15 | | (Source: P.A. 96-34, eff. 7-13-09.) | 16 | | (230 ILCS 40/30)
| 17 | | Sec. 30. Multiple types of licenses prohibited. A video | 18 | | gaming
terminal
manufacturer may not be licensed as a video | 19 | | gaming terminal
operator or own, manage, or control a licensed
| 20 | | establishment, licensed truck stop establishment, licensed | 21 | | large truck stop establishment, licensed fraternal | 22 | | establishment, or licensed veterans
establishment, and shall | 23 | | be licensed to sell only to persons having a valid | 24 | | distributor's license or, if the manufacturer also holds a | 25 | | valid distributor's license, to sell, distribute, lease, or |
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| 1 | | market to persons having a valid terminal operator's license. | 2 | | A video
gaming terminal distributor may not be licensed as a
| 3 | | video gaming terminal operator or own, manage, or
control a
| 4 | | licensed establishment, licensed truck stop establishment, | 5 | | licensed large truck stop establishment, licensed fraternal | 6 | | establishment, or licensed
veterans
establishment, and shall | 7 | | only contract with a licensed terminal
operator. A video | 8 | | gaming terminal operator may not be licensed as
a video
gaming | 9 | | terminal manufacturer or distributor or own, manage, or | 10 | | control a
licensed establishment, licensed truck stop | 11 | | establishment, licensed large truck stop establishment, | 12 | | licensed fraternal establishment, or licensed
veterans
| 13 | | establishment, and shall be licensed only to contract with | 14 | | licensed
distributors and licensed establishments, licensed | 15 | | truck stop establishments, licensed large truck stop | 16 | | establishments,
licensed fraternal
establishments,
and | 17 | | licensed veterans establishments. An owner or manager of a
| 18 | | licensed establishment, licensed truck stop establishment, | 19 | | licensed large truck stop establishment, licensed fraternal
| 20 | | establishment, or licensed
veterans
establishment may not be | 21 | | licensed as a video gaming terminal
manufacturer, distributor, | 22 | | or operator, and shall only contract with a
licensed operator | 23 | | to place and service this equipment. A sales agent and broker | 24 | | may not be licensed as a manufacturer, distributor, supplier, | 25 | | licensed establishment, licensed fraternal establishment, | 26 | | licensed veterans establishment, licensed truck stop |
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| 1 | | establishment, or licensed large truck stop establishment.
| 2 | | (Source: P.A. 101-31, eff. 6-28-19.)
| 3 | | (230 ILCS 40/45)
| 4 | | Sec. 45. Issuance of license.
| 5 | | (a) The burden is upon each applicant to
demonstrate his | 6 | | suitability for licensure. Each video gaming terminal
| 7 | | manufacturer, distributor, supplier, operator, handler, | 8 | | licensed establishment, licensed truck stop establishment, | 9 | | licensed large truck stop establishment, licensed
fraternal
| 10 | | establishment, and licensed veterans establishment shall be
| 11 | | licensed by the Board.
The Board may issue or deny a license | 12 | | under this Act to any person pursuant to the same criteria set | 13 | | forth in Section 9 of the Illinois Gambling Act.
| 14 | | (a-5) The Board shall not grant a license to a person who | 15 | | has facilitated, enabled, or participated in the use of | 16 | | coin-operated devices for gambling purposes or who is under | 17 | | the significant influence or control of such a person. For the | 18 | | purposes of this Act, "facilitated, enabled, or participated | 19 | | in the use of coin-operated amusement devices for gambling | 20 | | purposes" means that the person has been convicted of any | 21 | | violation of Article 28 of the Criminal Code of 1961 or the | 22 | | Criminal Code of 2012. If there is pending legal action | 23 | | against a person for any such violation, then the Board shall | 24 | | delay the licensure of that person until the legal action is | 25 | | resolved. |
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| 1 | | (b) Each person seeking and possessing a license as a | 2 | | video gaming terminal manufacturer, distributor, supplier, | 3 | | operator, handler, licensed establishment, licensed truck stop | 4 | | establishment, licensed large truck stop establishment, | 5 | | licensed fraternal establishment, or licensed veterans | 6 | | establishment shall submit to a background investigation | 7 | | conducted by the Board with the assistance of the Illinois | 8 | | State Police or other law enforcement. To the extent that the | 9 | | corporate structure of the applicant allows, the background | 10 | | investigation shall include any or all of the following as the | 11 | | Board deems appropriate or as provided by rule for each | 12 | | category of licensure: (i) each beneficiary of a trust, (ii) | 13 | | each partner of a partnership, (iii) each member of a limited | 14 | | liability company, (iv) each director and officer of a | 15 | | publicly or non-publicly held corporation, (v) each | 16 | | stockholder of a non-publicly held corporation, (vi) each | 17 | | stockholder of 5% or more of a publicly held corporation, or | 18 | | (vii) each stockholder of 5% or more in a parent or subsidiary | 19 | | corporation. | 20 | | (c) Each person seeking and possessing a license as a | 21 | | video gaming terminal manufacturer, distributor, supplier, | 22 | | operator, handler, licensed establishment, licensed truck stop | 23 | | establishment, licensed large truck stop establishment, | 24 | | licensed fraternal establishment, or licensed veterans | 25 | | establishment shall disclose the identity of every person, | 26 | | association, trust, corporation, or limited liability company |
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| 1 | | having a greater than 1% direct or indirect pecuniary interest | 2 | | in the video gaming terminal operation for which the license | 3 | | is sought. If the disclosed entity is a trust, the application | 4 | | shall disclose the names and addresses of the beneficiaries; | 5 | | if a corporation, the names and addresses of all stockholders | 6 | | and directors; if a limited liability company, the names and | 7 | | addresses of all members; or if a partnership, the names and | 8 | | addresses of all partners, both general and limited. | 9 | | (d) No person may be licensed as a video gaming terminal | 10 | | manufacturer, distributor, supplier, operator, handler, | 11 | | licensed establishment, licensed truck stop establishment, | 12 | | licensed large truck stop establishment, licensed fraternal | 13 | | establishment, or licensed veterans establishment if that | 14 | | person has been found by the Board to: | 15 | | (1) have a background, including a criminal record, | 16 | | reputation, habits, social or business associations, or | 17 | | prior activities that pose a threat to the public | 18 | | interests of the State or to the security and integrity of | 19 | | video gaming; | 20 | | (2) create or enhance the dangers of unsuitable, | 21 | | unfair, or illegal practices, methods, and activities in | 22 | | the conduct of video gaming; or | 23 | | (3) present questionable business practices and | 24 | | financial arrangements incidental to the conduct of video | 25 | | gaming activities. | 26 | | (e) Any applicant for any license under this Act has the |
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| 1 | | burden of proving his or her qualifications to the | 2 | | satisfaction of the Board. The Board may adopt rules to | 3 | | establish additional qualifications and requirements to | 4 | | preserve the integrity and security of video gaming in this | 5 | | State. | 6 | | (f) A non-refundable application fee shall be paid at the | 7 | | time an
application for a license is filed with the Board in | 8 | | the following amounts:
| 9 | | (1) Manufacturer ..........................$5,000
| 10 | | (2) Distributor ...........................$5,000
| 11 | | (3) Terminal operator .....................$5,000
| 12 | | (4) Supplier ..............................$2,500
| 13 | | (5) Technician ..............................$100
| 14 | | (6) Terminal Handler ........................$100
| 15 | | (7) Licensed establishment, licensed truck stop
| 16 | | establishment, licensed large truck stop establishment,
| 17 | | licensed fraternal establishment, or licensed
| 18 | | veterans establishment ...............................$100 | 19 | | (8) Sales agent and broker .......................$100 | 20 | | (g) The Board shall establish an
annual fee for each | 21 | | license not to exceed the following: | 22 | | (1) Manufacturer .........................$10,000
| 23 | | (2) Distributor ..........................$10,000
| 24 | | (3) Terminal operator .....................$5,000
| 25 | | (4) Supplier ..............................$2,000
| 26 | | (5) Technician ..............................$100
|
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| 1 | | (6) Licensed establishment, licensed truck stop
| 2 | | establishment, licensed large truck stop establishment,
| 3 | | licensed fraternal establishment, or licensed
| 4 | | veterans establishment ..........................$100
| 5 | | (7) Video gaming terminal ...................$100
| 6 | | (8) Terminal Handler ............................$100
| 7 | | (9) Sales agent and broker .......................$100 | 8 | | (h) A terminal operator and a licensed establishment, | 9 | | licensed truck stop establishment, licensed large truck stop | 10 | | establishment, licensed fraternal establishment,
or licensed | 11 | | veterans establishment shall equally split the fees specified | 12 | | in item (7) of subsection (g). | 13 | | (Source: P.A. 101-31, eff. 6-28-19; 102-538, eff. 8-20-21.)
| 14 | | (230 ILCS 40/50)
| 15 | | Sec. 50. Distribution of license fees.
| 16 | | (a) All fees collected under Section 45 shall be deposited | 17 | | into the State Gaming
Fund.
| 18 | | (b) Fees collected under Section 45 shall be used as | 19 | | follows:
| 20 | | (1) Twenty-five percent shall be paid, subject to | 21 | | appropriation by the General Assembly, to the Department | 22 | | of Human Services for administration of programs for the | 23 | | treatment of
compulsive gambling.
| 24 | | (2) Seventy-five percent shall be used for the | 25 | | administration of this
Act.
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| 1 | | (c) All initial terminal handler, technician, sales agent | 2 | | and broker, licensed establishment, licensed truck stop | 3 | | establishment, licensed large truck establishment, licensed | 4 | | fraternal establishment, and licensed fraternal establishment | 5 | | licenses issued by the Board under this Act shall be issued for | 6 | | 2 years and are renewable for additional 2-year periods | 7 | | annually
unless sooner cancelled or terminated. Except as | 8 | | provided by Section 8.1 of the Illinois Gambling Act, all | 9 | | initial manufacturer, distributor, supplier, and terminal | 10 | | operator licenses issued by the Board under this Act shall be | 11 | | issued for 4 years and are renewable for additional 4-year | 12 | | periods unless sooner cancelled or terminated. No license | 13 | | issued under this Act is
transferable or assignable.
| 14 | | (Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09.) | 15 | | (230 ILCS 40/65) | 16 | | Sec. 65. Fees. A Except as provided in this Section, a | 17 | | non-home rule unit of government may not impose any
fee
for the | 18 | | operation of a video gaming terminal in excess of $250 $25 per | 19 | | year. The City of Rockford may not impose any fee for the | 20 | | operation of a video gaming terminal in excess of $250 per | 21 | | year. | 22 | | The cost of any fee imposed under this Act by any home rule | 23 | | unit of government or non-home rule unit of government shall | 24 | | be shared equally between the terminal operator and the | 25 | | applicable licensed establishment, licensed veterans |
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| 1 | | establishment, licensed truck stop establishment, licensed | 2 | | large truck stop establishment, or licensed fraternal | 3 | | establishment under this Act.
| 4 | | (Source: P.A. 101-337, eff. 1-1-20 .) | 5 | | (230 ILCS 40/90 new) | 6 | | Sec. 90. Regulation by State. | 7 | | (a) The licensure, registration, and regulation of | 8 | | manufacturers, distributors, terminal operators, licensed | 9 | | technicians, licensed terminal handlers, licensed | 10 | | establishments, licensed veterans establishments, licensed | 11 | | truck stop establishments, licensed large truck stop | 12 | | establishments, and licensed fraternal establishments under | 13 | | this Act, and the imposition of fees and other charges under | 14 | | this Act in connection with such licensure, registration, and | 15 | | regulation, are powers and functions of the State. No non-home | 16 | | rule unit may license, register, or otherwise regulate, or | 17 | | impose any type of fee or any other charge upon, a | 18 | | manufacturer, distributor, terminal operator, licensed | 19 | | technician, licensed terminal handler, licensed establishment, | 20 | | licensed veterans establishment, licensed truck stop | 21 | | establishment, licensed large truck stop establishment, or | 22 | | licensed fraternal establishment. | 23 | | (b) The licensure, registration, and regulation of video | 24 | | gaming terminals under this Act are powers and functions of | 25 | | the State. No non-home rule unit may license, register, or |
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| 1 | | otherwise regulate video gaming terminals. | 2 | | (c) No home rule municipality or non-home rule unit may | 3 | | impose any type of tax upon a: (i) manufacturer, distributor, | 4 | | terminal operator, licensed technician, licensed terminal | 5 | | handler, licensed establishment, licensed veterans | 6 | | establishment, licensed truck stop establishment, licensed | 7 | | large truck stop establishment, or licensed fraternal | 8 | | establishment or their respective authorized activities under | 9 | | this Act; (ii) video gaming terminal; (iii) user or player of | 10 | | any video gaming terminals; or (iv) other use, play, or | 11 | | operation of video gaming terminals authorized under this Act | 12 | | by any person or entity. This subsection (c) is a denial and | 13 | | limitation of home rule powers and functions under subsection | 14 | | (g) of Section 6 of Article VII of the Illinois Constitution. | 15 | | (d) Any home rule municipality that has adopted an | 16 | | ordinance imposing an amusement tax on persons who participate | 17 | | in the playing of video gaming terminals before November 1, | 18 | | 2021 may continue to impose such amusement tax pursuant to | 19 | | such ordinance but shall not increase, expand, or extend the | 20 | | tax or tax rate on such persons participating in playing video | 21 | | gaming terminals in excess of that tax or rate set forth in | 22 | | such ordinance and shall not otherwise impose any other tax | 23 | | upon any entity or person identified in subsection (c). This | 24 | | subsection (d) is a denial and limitation of home rule powers | 25 | | and functions under subsection (g) of Section 6 of Article VII | 26 | | of the Illinois Constitution. |
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| 1 | | Section 35. The Sports Wagering Act is amended by changing | 2 | | Sections 25-10, 25-15, 25-25, 25-30, 25-35, 25-40, and 25-50 | 3 | | as follows: | 4 | | (230 ILCS 45/25-10)
| 5 | | Sec. 25-10. Definitions. As used in this Act: | 6 | | "Adjusted gross sports wagering receipts" means a master | 7 | | sports wagering licensee's gross sports wagering receipts, | 8 | | less winnings paid to wagerers in such games. | 9 | | "Athlete" means any current or former professional athlete | 10 | | or collegiate athlete. | 11 | | "Board" means the Illinois Gaming Board. | 12 | | "Covered persons" includes athletes; umpires, referees, | 13 | | and officials; personnel associated with clubs, teams, | 14 | | leagues, and athletic associations; medical professionals | 15 | | (including athletic trainers) who provide services to athletes | 16 | | and players; and the family members and associates of these | 17 | | persons where required to serve the purposes of this Act. | 18 | | "Department" means the Department of the Lottery. | 19 | | "Gaming facility" means a facility at which gambling | 20 | | operations are conducted under the Illinois Gambling Act, | 21 | | pari-mutuel wagering is conducted under the Illinois Horse | 22 | | Racing Act of 1975, or sports wagering is conducted under this | 23 | | Act. | 24 | | "Official league data" means statistics, results, |
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| 1 | | outcomes, and other data related to a sports event obtained | 2 | | pursuant to an agreement with the relevant sports governing | 3 | | body, or an entity expressly authorized by the sports | 4 | | governing body to provide such information to licensees, that | 5 | | authorizes the use of such data for determining the outcome of | 6 | | tier 2 sports wagers on such sports events. | 7 | | "Organization licensee" has the meaning given to that term | 8 | | in the Illinois Horse Racing Act of 1975. | 9 | | "Owners licensee" means the holder of an owners license | 10 | | under the Illinois Gambling Act. | 11 | | "Person" means an individual, partnership, committee, | 12 | | association, corporation, or any other organization or group | 13 | | of persons. | 14 | | "Personal biometric data" means an athlete's information | 15 | | derived from DNA, heart rate, blood pressure, perspiration | 16 | | rate, internal or external body temperature, hormone levels, | 17 | | glucose levels, hydration levels, vitamin levels, bone | 18 | | density, muscle density, and sleep patterns. | 19 | | "Prohibited conduct" includes any statement, action, and | 20 | | other communication intended to influence, manipulate, or | 21 | | control a betting outcome of a sporting contest or of any | 22 | | individual occurrence or performance in a sporting contest in | 23 | | exchange for financial gain or to avoid financial or physical | 24 | | harm. "Prohibited conduct" includes statements, actions, and | 25 | | communications made to a covered person by a third party, such | 26 | | as a family member or through social media. "Prohibited |
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| 1 | | conduct" does not include statements, actions, or | 2 | | communications made or sanctioned by a team or sports | 3 | | governing body. | 4 | | "Qualified applicant" means an applicant for a license | 5 | | under this Act whose application meets the mandatory minimum | 6 | | qualification criteria as required by the Board. | 7 | | "Sporting contest" means a sports event or game on which | 8 | | the State allows sports wagering to occur under this Act. | 9 | | "Sports event" means a professional sport or athletic | 10 | | event, a collegiate sport or athletic event, a motor race | 11 | | event, or any other event or competition of relative skill | 12 | | authorized by the Board under this Act. | 13 | | "Sports facility" means a facility that hosts sports | 14 | | events and holds a seating capacity greater than 17,000 | 15 | | persons , except in a municipality with a population of more | 16 | | than 1,000,000, a seating capacity greater than 10,000 | 17 | | persons . | 18 | | "Sports governing body" means the organization that | 19 | | prescribes final rules and enforces codes of conduct with | 20 | | respect to a sports event and participants therein. | 21 | | "Sports wagering" means accepting wagers on sports events | 22 | | or portions of sports events, or on the individual performance | 23 | | statistics of athletes in a sports event or combination of | 24 | | sports events, by any system or method of wagering, including, | 25 | | but not limited to, in person or over the Internet through | 26 | | websites and on mobile devices. "Sports wagering" includes, |
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| 1 | | but is not limited to, single-game bets, teaser bets, parlays, | 2 | | over-under, moneyline, pools, exchange wagering, in-game | 3 | | wagering, in-play bets, proposition bets, and straight bets. | 4 | | "Sports wagering account" means a financial record | 5 | | established by a master sports wagering licensee for an | 6 | | individual patron in which the patron may deposit and withdraw | 7 | | funds for sports wagering and other authorized purchases and | 8 | | to which the master sports wagering licensee may credit | 9 | | winnings or other amounts due to that patron or authorized by | 10 | | that patron. | 11 | | "Tier 1 sports wager" means a sports wager that is | 12 | | determined solely by the final score or final outcome of the | 13 | | sports event and is placed before the sports event has begun. | 14 | | "Tier 2 sports wager" means a sports wager that is not a | 15 | | tier 1 sports wager. | 16 | | "Wager" means a sum of money or thing of value risked on an | 17 | | uncertain occurrence. | 18 | | "Winning bidder" means a qualified applicant for a master | 19 | | sports wagering license chosen through the competitive | 20 | | selection process under Section 25-45.
| 21 | | (Source: P.A. 101-31, eff. 6-28-19.) | 22 | | (230 ILCS 45/25-15)
| 23 | | Sec. 25-15. Board duties and powers. | 24 | | (a) Except for sports wagering conducted under Section | 25 | | 25-70, the Board shall have the authority to regulate the |
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| 1 | | conduct of sports wagering under this Act. | 2 | | (b) The Board may adopt any rules the Board considers | 3 | | necessary for the successful implementation, administration, | 4 | | and enforcement of this Act, except for Section 25-70. Rules | 5 | | proposed by the Board may be adopted as emergency rules | 6 | | pursuant to Section 5-45 of the Illinois Administrative | 7 | | Procedure Act. | 8 | | (c) The Board shall levy and collect all fees, surcharges, | 9 | | civil penalties, and monthly taxes on adjusted gross sports | 10 | | wagering receipts imposed by this Act and deposit all moneys | 11 | | into the Sports Wagering Fund, except as otherwise provided | 12 | | under this Act. | 13 | | (d) The Board may exercise any other powers necessary to | 14 | | enforce the provisions of this Act that it regulates and the | 15 | | rules of the Board. | 16 | | (e) The Board shall adopt rules for a license to be | 17 | | employed by a master sports wagering licensee when the | 18 | | employee works in a designated gaming area that has sports | 19 | | wagering or performs duties in furtherance of or associated | 20 | | with the operation of sports wagering by the master sports | 21 | | wagering licensee (occupational license), which shall require | 22 | | an annual license fee of $250. However,
occupational licenses | 23 | | issued under the Illinois Gambling Act for employees of an | 24 | | owners license or organization gaming licensee, once
granted, | 25 | | are considered equivalent licenses to work in sports wagering | 26 | | positions located at the same
gaming facility. License fees |
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| 1 | | shall be deposited into the State Gaming Fund and used for the | 2 | | administration of this Act. | 3 | | (f) The Board may require that licensees share, in real | 4 | | time and at the sports wagering account level, information | 5 | | regarding a wagerer, amount and type of wager, the time the | 6 | | wager was placed, the location of the wager, including the | 7 | | Internet protocol address, if applicable, the outcome of the | 8 | | wager, and records of abnormal wagering activity. Information | 9 | | shared under this subsection (f) must be submitted in the form | 10 | | and manner as required by rule. If a sports governing body has | 11 | | notified the Board that real-time information sharing for | 12 | | wagers placed on its sports events is necessary and desirable, | 13 | | licensees may share the same information in the form and | 14 | | manner required by the Board by rule with the sports governing | 15 | | body or its designee with respect to wagers on its sports | 16 | | events subject to applicable federal, State, or local laws or | 17 | | regulations, including, without limitation, privacy laws and | 18 | | regulations. Such information may be provided in anonymized | 19 | | form and may be used by a sports governing body solely for | 20 | | integrity purposes. For purposes of this subsection (f), | 21 | | "real-time" means a commercially reasonable periodic interval. | 22 | | (g) A master sports wagering licensee, professional sports | 23 | | team, league, or association, sports governing body, or | 24 | | institution of higher education may submit to the Board in | 25 | | writing a request to prohibit a type or form of wagering if the | 26 | | master sports wagering licensee, professional sports team, |
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| 1 | | league, or association, sports governing body, or institution | 2 | | of higher education believes that such wagering by type or | 3 | | form is contrary to public policy, unfair to consumers, or | 4 | | affects the integrity of a particular sport or the sports | 5 | | betting industry. The Board shall grant the request upon a | 6 | | demonstration of good cause from the requester and | 7 | | consultation with licensees. The Board shall respond to a | 8 | | request pursuant to this subsection (g) concerning a | 9 | | particular event before the start of the event or, if it is not | 10 | | feasible to respond before the start of the event, as soon as | 11 | | practicable. | 12 | | (h) The Board and master sports wagering licensees may | 13 | | cooperate with investigations conducted by sports governing | 14 | | bodies or law enforcement agencies, including, but not limited | 15 | | to, providing and facilitating the provision of account-level | 16 | | betting information and audio or video files relating to | 17 | | persons placing wagers. | 18 | | (i) A master sports wagering licensee shall make | 19 | | commercially reasonable efforts to promptly notify the Board | 20 | | any information relating to: | 21 | | (1) criminal or disciplinary proceedings commenced | 22 | | against the master sports wagering licensee in connection | 23 | | with its operations; | 24 | | (2) abnormal wagering activity or patterns that may | 25 | | indicate a concern with the integrity of a sports event or | 26 | | sports events; |
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| 1 | | (3) any potential breach of the relevant sports | 2 | | governing body's internal rules and codes of conduct | 3 | | pertaining to sports wagering that a licensee has | 4 | | knowledge of; | 5 | | (4) any other conduct that corrupts a wagering outcome | 6 | | of a sports event or sports events for purposes of | 7 | | financial gain, including match fixing; and | 8 | | (5) suspicious or illegal wagering activities, | 9 | | including use of funds derived from illegal activity, | 10 | | wagers to conceal or launder funds derived from illegal | 11 | | activity, using agents to place wagers, and using false | 12 | | identification. | 13 | | A master sports wagering licensee shall also make | 14 | | commercially reasonable efforts to promptly report information | 15 | | relating to conduct described in paragraphs (2), (3), and (4) | 16 | | of this subsection (i) to the relevant sports governing body.
| 17 | | (Source: P.A. 101-31, eff. 6-28-19.) | 18 | | (230 ILCS 45/25-25)
| 19 | | Sec. 25-25. Sports wagering authorized. | 20 | | (a) Notwithstanding any provision of law to the contrary, | 21 | | the operation of sports wagering is only lawful when conducted | 22 | | in accordance with the provisions of this Act and the rules of | 23 | | the Illinois Gaming Board and the Department of the Lottery. | 24 | | (b) A person placing a wager under this Act shall be at | 25 | | least 21 years of age. |
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| 1 | | (c) A licensee under this Act may not accept a wager on a | 2 | | minor league sports event. | 3 | | (d) Except as otherwise provided in this Section, a A | 4 | | licensee under this Act may not accept a wager for a sports | 5 | | event involving an Illinois collegiate team. | 6 | | (d-5) Beginning on the effective date of this amendatory | 7 | | Act of the 102nd General Assembly until July 1, 2023, a | 8 | | licensee under this Act may accept a wager for a sports event | 9 | | involving an Illinois collegiate team if: | 10 | | (1) the wager is a tier 1 wager; | 11 | | (2) the wager is not related to an individual | 12 | | athlete's performance; and | 13 | | (3) the wager is made in person instead of over the | 14 | | Internet or through a mobile application. | 15 | | (e) A licensee under this Act may only accept a wager from | 16 | | a person physically located in the State. | 17 | | (f) Master sports wagering licensees may use any data | 18 | | source for determining the results of all tier 1 sports | 19 | | wagers. | 20 | | (g) A sports governing body headquartered in the United | 21 | | States may notify the Board that it desires to supply official | 22 | | league data to master sports wagering licensees for | 23 | | determining the results of tier 2 sports wagers. Such | 24 | | notification shall be made in the form and manner as the Board | 25 | | may require. If a sports governing body does not notify the | 26 | | Board of its desire to supply official league data, a master |
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| 1 | | sports wagering licensee may use any data source for | 2 | | determining the results of any and all tier 2 sports wagers on | 3 | | sports contests for that sports governing body. | 4 | | Within 30 days of a sports governing body notifying the | 5 | | Board, master sports wagering licensees shall use only | 6 | | official league data to determine the results of tier 2 sports | 7 | | wagers on sports events sanctioned by that sports governing | 8 | | body, unless: (1) the sports governing body or designee cannot | 9 | | provide a feed of official league data to determine the | 10 | | results of a particular type of tier 2 sports wager, in which | 11 | | case master sports wagering licensees may use any data source | 12 | | for determining the results of the applicable tier 2 sports | 13 | | wager until such time as such data feed becomes available on | 14 | | commercially reasonable terms; or (2) a master sports wagering | 15 | | licensee can demonstrate to the Board that the sports | 16 | | governing body or its designee cannot provide a feed of | 17 | | official league data to the master sports wagering licensee on | 18 | | commercially reasonable terms. During the pendency of the | 19 | | Board's determination, such master sports wagering licensee | 20 | | may use any data source for determining the results of any and | 21 | | all tier 2 sports wagers. | 22 | | (h) A licensee under this Act may not accept wagers on a | 23 | | kindergarten through 12th grade sports event.
| 24 | | (Source: P.A. 101-31, eff. 6-28-19.) | 25 | | (230 ILCS 45/25-30)
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| 1 | | Sec. 25-30. Master sports wagering license issued to an | 2 | | organization licensee. | 3 | | (a) An organization licensee may apply to the Board for a | 4 | | master sports wagering license. To the extent permitted by | 5 | | federal and State law, the Board shall actively seek to | 6 | | achieve racial, ethnic, and geographic diversity when issuing | 7 | | master sports wagering licenses to organization licensees and | 8 | | encourage minority-owned businesses, women-owned businesses, | 9 | | veteran-owned businesses, and businesses owned by persons with | 10 | | disabilities to apply for licensure. Additionally, the report | 11 | | published under subsection (m) of Section 25-45 shall impact | 12 | | the issuance of the master sports wagering license to the | 13 | | extent permitted by federal and State law. | 14 | | For the purposes of this subsection (a), "minority-owned | 15 | | business", "women-owned business", and "business owned by | 16 | | persons with disabilities" have the meanings given to those | 17 | | terms in Section 2 of the Business Enterprise for Minorities, | 18 | | Women, and Persons with Disabilities Act. | 19 | | (b) Except as otherwise provided in this subsection (b), | 20 | | the initial license fee for a master sports wagering license | 21 | | for an organization licensee is 5% of its handle from the | 22 | | preceding calendar year or the lowest amount that is required | 23 | | to be paid as an initial license fee by an owners licensee | 24 | | under subsection (b) of Section 25-35, whichever is greater. | 25 | | No initial license fee shall exceed $10,000,000. An | 26 | | organization licensee licensed on the effective date of this |
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| 1 | | Act shall pay the initial master sports wagering license fee | 2 | | by July 1, 2021. For an organization licensee licensed after | 3 | | the effective date of this Act, the master sports wagering | 4 | | license fee shall be $5,000,000, but the amount shall be | 5 | | adjusted 12 months after the organization licensee begins | 6 | | racing operations based on 5% of its handle from the first 12 | 7 | | months of racing operations. The master sports wagering | 8 | | license is valid for 4 years. | 9 | | (c) The organization licensee may renew the master sports | 10 | | wagering license for a period of 4 years by paying a $1,000,000 | 11 | | renewal fee to the Board. | 12 | | (d) An organization licensee issued a master sports | 13 | | wagering license may conduct sports wagering: | 14 | | (1) at its facility at which inter-track wagering is | 15 | | conducted pursuant to an inter-track wagering license | 16 | | under the Illinois Horse Racing Act of 1975; | 17 | | (2) at 3 inter-track wagering locations if the | 18 | | inter-track wagering location licensee from which it | 19 | | derives its license is an organization licensee that is | 20 | | issued a master sports
wagering license; and | 21 | | (3) over the Internet or through a mobile application. | 22 | | (e) The sports wagering offered over the Internet or | 23 | | through a mobile application shall only be offered under | 24 | | either the same brand as the organization licensee is | 25 | | operating under or a brand owned by a direct or indirect | 26 | | holding company that owns at least an 80% interest in that |
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| 1 | | organization licensee on the effective date of this Act. | 2 | | (f) Until issuance of the first license under Section | 3 | | 25-45 or March 5, 2022, whichever occurs first , an individual | 4 | | must create a sports wagering account in person at a facility | 5 | | under paragraph (1) or (2) of subsection (d) to participate in | 6 | | sports wagering offered over the Internet or through a mobile | 7 | | application.
| 8 | | (Source: P.A. 101-31, eff. 6-28-19; 101-648, eff. 6-30-20.) | 9 | | (230 ILCS 45/25-35)
| 10 | | Sec. 25-35. Master sports wagering license issued to an | 11 | | owners licensee. | 12 | | (a) An owners licensee may apply to the Board for a master | 13 | | sports wagering license. To the extent permitted by federal | 14 | | and State law, the Board shall actively seek to achieve | 15 | | racial, ethnic, and geographic diversity when issuing master | 16 | | sports wagering licenses to owners licensees and encourage | 17 | | minority-owned businesses, women-owned businesses, | 18 | | veteran-owned businesses, and businesses owned by persons with | 19 | | disabilities to apply for licensure. Additionally, the report | 20 | | published under subsection (m) of Section 25-45 shall impact | 21 | | the issuance of the master sports wagering license to the | 22 | | extent permitted by federal and State law. | 23 | | For the purposes of this subsection (a), "minority-owned | 24 | | business", "women-owned business", and "business owned by | 25 | | persons with disabilities" have the meanings given to those |
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| 1 | | terms in Section 2 of the Business Enterprise for Minorities, | 2 | | Women, and Persons with Disabilities Act. | 3 | | (b) Except as otherwise provided in subsection (b-5), the | 4 | | initial license fee for a master sports wagering license for | 5 | | an owners licensee is 5% of its adjusted gross receipts from | 6 | | the preceding calendar year. No initial license fee shall | 7 | | exceed $10,000,000. An owners licensee licensed on the | 8 | | effective date of this Act shall pay the initial master sports | 9 | | wagering license fee by July 1, 2021. The master sports | 10 | | wagering license is valid for 4 years. | 11 | | (b-5) For an owners licensee licensed after the effective | 12 | | date of this Act, the master sports wagering license fee shall | 13 | | be $5,000,000, but the amount shall be adjusted 12 months | 14 | | after the owners licensee begins gambling operations under the | 15 | | Illinois Gambling Act based on 5% of its adjusted gross | 16 | | receipts from the first 12 months of gambling operations. The | 17 | | master sports wagering license is valid for 4 years. | 18 | | (c) The owners licensee may renew the master sports | 19 | | wagering license for a period of 4 years by paying a $1,000,000 | 20 | | renewal fee to the Board. | 21 | | (d) An owners licensee issued a master sports wagering | 22 | | license may conduct sports wagering: | 23 | | (1) at its facility in this State that is authorized | 24 | | to conduct gambling operations under the Illinois Gambling | 25 | | Act; and | 26 | | (2) over the Internet or through a mobile application. |
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| 1 | | (e) The sports wagering offered over the Internet or | 2 | | through a mobile application shall only be offered under | 3 | | either the same brand as the owners licensee is operating | 4 | | under or a brand owned by a direct or indirect holding company | 5 | | that owns at least an 80% interest in that owners licensee on | 6 | | the effective date of this Act. | 7 | | (f) Until issuance of the first license under Section | 8 | | 25-45 or March 5, 2022, whichever occurs first , an individual | 9 | | must create a sports wagering account in person at a facility | 10 | | under paragraph (1) of subsection (d) to participate in sports | 11 | | wagering offered over the Internet or through a mobile | 12 | | application.
| 13 | | (Source: P.A. 101-31, eff. 6-28-19; 101-648, eff. 6-30-20.) | 14 | | (230 ILCS 45/25-40)
| 15 | | Sec. 25-40. Master sports wagering license issued to a | 16 | | sports facility. | 17 | | (a) As used in this Section, "designee" means a master | 18 | | sports wagering licensee under Section 25-30, 25-35, or 25-45 | 19 | | or a management services provider licensee. | 20 | | (b) A sports facility or a designee contracted to operate | 21 | | sports wagering at or within a 5-block radius of the sports | 22 | | facility may apply to the Board for a master sports wagering | 23 | | license. To the extent permitted by federal and State law, the | 24 | | Board shall actively seek to achieve racial, ethnic, and | 25 | | geographic diversity when issuing master sports wagering |
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| 1 | | licenses to sports facilities or their designees and encourage | 2 | | minority-owned businesses, women-owned businesses, | 3 | | veteran-owned businesses, and businesses owned by persons with | 4 | | disabilities to apply for licensure. Additionally, the report | 5 | | published under subsection (m) of Section 25-45 shall impact | 6 | | the issuance of the master sports wagering license to the | 7 | | extent permitted by federal and State law. | 8 | | For the purposes of this subsection (b), "minority-owned | 9 | | business", "women-owned business", and "business owned by | 10 | | persons with disabilities" have the meanings given to those | 11 | | terms in Section 2 of the Business Enterprise for Minorities, | 12 | | Women, and Persons with Disabilities Act. | 13 | | (c) The Board may issue up to 7 master sports wagering | 14 | | licenses to sports facilities or their designees that meet the | 15 | | requirements for licensure as determined by rule by the Board. | 16 | | If more than 7 qualified applicants apply for a master sports | 17 | | wagering license under this Section, the licenses shall be | 18 | | granted in the order in which the applications were received. | 19 | | If a license is denied, revoked, or not renewed, the Board may | 20 | | begin a new application process and issue a license under this | 21 | | Section in the order in which the application was received. | 22 | | (d) The initial license fee for a master sports wagering | 23 | | license for a sports facility is $10,000,000. The master | 24 | | sports wagering license is valid for 4 years. | 25 | | (e) The sports facility or its designee may renew the | 26 | | master sports wagering license for a period of 4 years by |
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| 1 | | paying a $1,000,000 renewal fee to the Board. | 2 | | (f) A sports facility or its designee issued a master | 3 | | sports wagering license may conduct sports wagering at or | 4 | | within a 5-block radius of the sports facility. | 5 | | (g) A sports facility or its designee issued a master | 6 | | sports wagering license may conduct sports wagering over the | 7 | | Internet within the sports facility or within a 5-block radius | 8 | | of the sports facility. | 9 | | (h) The sports wagering offered by a sports facility or | 10 | | its designee over the Internet or through a mobile application | 11 | | shall be offered under the same brand as the sports facility is | 12 | | operating under, the brand the designee is operating under, or | 13 | | a combination thereof. | 14 | | (i) Until issuance of the first license under Section | 15 | | 25-45 or March 5, 2022, whichever occurs first , an individual | 16 | | must register in person at a sports facility or the designee's | 17 | | facility to participate in sports wagering offered over the | 18 | | Internet or through a mobile application.
| 19 | | (Source: P.A. 101-31, eff. 6-28-19.) | 20 | | (230 ILCS 45/25-50)
| 21 | | Sec. 25-50. Supplier license. | 22 | | (a) The Board may issue a supplier license to a person to | 23 | | sell or lease sports wagering equipment, systems, or other | 24 | | gaming items to conduct sports wagering and offer services | 25 | | related to the equipment or other gaming items and data to a |
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| 1 | | master sports wagering licensee while the license is active. | 2 | | (b) The Board may adopt rules establishing additional | 3 | | requirements for a supplier and any system or other equipment | 4 | | utilized for sports wagering. The Board may accept licensing | 5 | | by another jurisdiction that it specifically determines to | 6 | | have similar licensing requirements as evidence the applicant | 7 | | meets supplier licensing requirements. | 8 | | (c) An applicant for a supplier license shall demonstrate | 9 | | that the equipment, system, or services that the applicant | 10 | | plans to offer to the master sports wagering licensee conforms | 11 | | to standards established by the Board and applicable State | 12 | | law. The Board may accept approval by another jurisdiction | 13 | | that it specifically determines have similar equipment | 14 | | standards as evidence the applicant meets the standards | 15 | | established by the Board and applicable State law. | 16 | | (d) Applicants shall pay to the Board a nonrefundable | 17 | | license and application fee in the amount of $150,000. Except | 18 | | as provided by Section 8.1 of the Illinois Gambling Act, the | 19 | | initial supplier license shall be issued for 4 years unless | 20 | | sooner canceled or terminated. After the initial period 4-year | 21 | | term , the Board shall renew supplier licenses for additional | 22 | | 4-year periods unless sooner canceled or terminated annually | 23 | | thereafter . Renewal of a supplier license shall be granted to | 24 | | a renewal applicant who has continued to comply with all | 25 | | applicable statutory and regulatory requirements , upon | 26 | | submission of the Board-issued renewal form and payment of a |
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| 1 | | $150,000 renewal fee . Beginning 4 years after issuance of the | 2 | | initial supplier license, a holder of a supplier license shall | 3 | | pay a $150,000 annual license fee. | 4 | | (e) A supplier shall submit to the Board a list of all | 5 | | sports wagering equipment and services sold, delivered, or | 6 | | offered to a master sports wagering licensee in this State, as | 7 | | required by the Board, all of which must be tested and approved | 8 | | by an independent testing laboratory approved by the Board. A | 9 | | master sports wagering licensee may continue to use supplies | 10 | | acquired from a licensed supplier, even if a supplier's | 11 | | license expires or is otherwise canceled, unless the Board | 12 | | finds a defect in the supplies.
| 13 | | (Source: P.A. 101-31, eff. 6-28-19.) | 14 | | Section 97. Severability. The provisions of this Act are | 15 | | severable under Section 1.31 of the Statute on Statutes.
| 16 | | Section 99. Effective date. This Act takes effect upon | 17 | | becoming law.
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