Illinois General Assembly - Full Text of HB3136
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of HB3136  102nd General Assembly

HB3136sam002 102ND GENERAL ASSEMBLY

Sen. Bill Cunningham

Filed: 10/27/2021

 

 


 

 


 
10200HB3136sam002LRB102 14595 AMC 30243 a

1
AMENDMENT TO HOUSE BILL 3136

2    AMENDMENT NO. ______. Amend House Bill 3136, AS AMENDED,
3by replacing everything after the enacting clause with the
4following:
 
5    "Section 5. The Illinois Horse Racing Act of 1975 is
6amended by changing Sections 19.5, 21, and 31 as follows:
 
7    (230 ILCS 5/19.5)
8    Sec. 19.5. Standardbred racetrack in Cook County.
9Notwithstanding anything in this Act to the contrary, in
10addition to organization licenses issued by the Board on the
11effective date of this amendatory Act of the 101st General
12Assembly, the Board shall issue an organization license
13limited to standardbred racing to a racetrack located in one
14of the following townships of Cook County: Bloom, Bremen,
15Calumet, Orland, Rich, Thornton, or Worth. This additional
16organization license shall not be issued within a 35-mile

 

 

10200HB3136sam002- 2 -LRB102 14595 AMC 30243 a

1radius of another organization license issued by the Board on
2the effective date of this amendatory Act of the 101st General
3Assembly, unless the person having operating control of such
4racetrack has given written consent to the organization
5licensee applicant, which consent must be filed with the Board
6at or prior to the time application is made. The organization
7license application shall be submitted to the Board and the
8Board may grant the organization license at any meeting of the
9Board. The Board shall examine the application within 21 days
10after receipt of the application with respect to its
11conformity with this Act and the rules adopted by the Board. If
12the application does not comply with this Act or the rules
13adopted by the Board, the application may be rejected and an
14organization license refused to the applicant, or the Board
15may, within 21 days after receipt of the application, advise
16the applicant of the deficiencies of the application under the
17Act or the rules of the Board and require the submittal of an
18amended application within a reasonable time determined by the
19Board; upon submittal of the amended application by the
20applicant, the Board may consider the application consistent
21with the process described in subsection (e-5) of Section 20.
22If the application is found to be in compliance with this Act
23and the rules of the Board, the Board shall then issue an
24organization license to the applicant. Once the organization
25license is granted, shall be granted upon application, and the
26licensee shall have all of the current and future rights of

 

 

10200HB3136sam002- 3 -LRB102 14595 AMC 30243 a

1existing Illinois racetracks, including, but not limited to,
2the ability to obtain an inter-track wagering license, the
3ability to obtain inter-track wagering location licenses, the
4ability to obtain an organization gaming license pursuant to
5the Illinois Gambling Act with 1,200 gaming positions, and the
6ability to offer Internet wagering on horse racing.
7(Source: P.A. 101-31, eff. 6-28-19.)
 
8    (230 ILCS 5/21)  (from Ch. 8, par. 37-21)
9    Sec. 21. (a) Applications for organization licenses must
10be filed with the Board at a time and place prescribed by the
11rules and regulations of the Board. The Board shall examine
12the applications within 21 days after the date allowed for
13filing with respect to their conformity with this Act and such
14rules and regulations as may be prescribed by the Board. If any
15application does not comply with this Act or the rules and
16regulations prescribed by the Board, such application may be
17rejected and an organization license refused to the applicant,
18or the Board may, within 21 days of the receipt of such
19application, advise the applicant of the deficiencies of the
20application under the Act or the rules and regulations of the
21Board, and require the submittal of an amended application
22within a reasonable time determined by the Board; and upon
23submittal of the amended application by the applicant, the
24Board may consider the application consistent with the process
25described in subsection (e-5) of Section 20 of this Act. If it

 

 

10200HB3136sam002- 4 -LRB102 14595 AMC 30243 a

1is found to be in compliance with this Act and the rules and
2regulations of the Board, the Board may then issue an
3organization license to such applicant.
4    (b) The Board may exercise discretion in granting racing
5dates to qualified applicants different from those requested
6by the applicants in their applications. However, if all
7eligible applicants for organization licenses whose tracks are
8located within 100 miles of each other execute and submit to
9the Board a written agreement among such applicants as to the
10award of racing dates, including where applicable racing
11programs, for up to 3 consecutive years, then subject to
12annual review of each applicant's compliance with Board rules
13and regulations, provisions of this Act and conditions
14contained in annual dates orders issued by the Board, the
15Board may grant such dates and programs to such applicants as
16so agreed by them if the Board determines that the grant of
17these racing dates is in the best interests of racing. The
18Board shall treat any such agreement as the agreement
19signatories' joint and several application for racing dates
20during the term of the agreement.
21    (c) Where 2 or more applicants propose to conduct horse
22race meetings within 35 miles of each other, as certified to
23the Board under Section 19 (a) (1) of this Act, on conflicting
24dates, the Board may determine and grant the number of racing
25days to be awarded to the several applicants in accordance
26with the provisions of subsection (e-5) of Section 20 of this

 

 

10200HB3136sam002- 5 -LRB102 14595 AMC 30243 a

1Act.
2    (d) (Blank).
3    (e) Prior to the issuance of an organization license, the
4applicant shall file with the Board the bond required in
5subsection (d) of Section 27 a bond payable to the State of
6Illinois in the sum of $200,000, executed by the applicant and
7a surety company or companies authorized to do business in
8this State, and conditioned upon the payment by the
9organization licensee of all taxes due under Section 27, other
10monies due and payable under this Act, all purses due and
11payable, and that the organization licensee will upon
12presentation of the winning ticket or tickets distribute all
13sums due to the patrons of pari-mutuel pools. Beginning on the
14date when any organization licensee begins conducting gaming
15pursuant to an organization gaming license issued under the
16Illinois Gambling Act, the amount of the bond required under
17this subsection (e) shall be $500,000.
18    (f) Each organization license shall specify the person to
19whom it is issued, the dates upon which horse racing is
20permitted, and the location, place, track, or enclosure where
21the horse race meeting is to be held.
22    (g) Any person who owns one or more race tracks within the
23State may seek, in its own name, a separate organization
24license for each race track.
25    (h) All racing conducted under such organization license
26is subject to this Act and to the rules and regulations from

 

 

10200HB3136sam002- 6 -LRB102 14595 AMC 30243 a

1time to time prescribed by the Board, and every such
2organization license issued by the Board shall contain a
3recital to that effect.
4    (i) Each such organization licensee may provide that at
5least one race per day may be devoted to the racing of quarter
6horses, appaloosas, arabians, or paints.
7    (j) In acting on applications for organization licenses,
8the Board shall give weight to an organization license which
9has implemented a good faith affirmative action effort to
10recruit, train and upgrade minorities in all classifications
11within the organization license.
12(Source: P.A. 101-31, eff. 6-28-19.)
 
13    (230 ILCS 5/31)  (from Ch. 8, par. 37-31)
14    Sec. 31. (a) The General Assembly declares that it is the
15policy of this State to encourage the breeding of standardbred
16horses in this State and the ownership of such horses by
17residents of this State in order to provide for: sufficient
18numbers of high quality standardbred horses to participate in
19harness racing meetings in this State, and to establish and
20preserve the agricultural and commercial benefits of such
21breeding and racing industries to the State of Illinois. It is
22the intent of the General Assembly to further this policy by
23the provisions of this Section of this Act.
24    (b) Each organization licensee conducting a harness racing
25meeting pursuant to this Act shall provide for at least two

 

 

10200HB3136sam002- 7 -LRB102 14595 AMC 30243 a

1races each race program limited to Illinois conceived and
2foaled horses. A minimum of 6 races shall be conducted each
3week limited to Illinois conceived and foaled horses. No
4horses shall be permitted to start in such races unless duly
5registered under the rules of the Department of Agriculture.
6    (b-5) Organization licensees, not including the Illinois
7State Fair or the DuQuoin State Fair, shall provide stake
8races and early closer races for Illinois conceived and foaled
9horses so that purses distributed for such races shall be no
10less than 17% of total purses distributed for harness racing
11in that calendar year in addition to any stakes payments and
12starting fees contributed by horse owners.
13    (b-10) Each organization licensee conducting a harness
14racing meeting pursuant to this Act shall provide an owner
15award to be paid from the purse account equal to 12% of the
16amount earned by Illinois conceived and foaled horses
17finishing in the first 3 positions in races that are not
18restricted to Illinois conceived and foaled horses. The owner
19awards shall not be paid on races below the $10,000 claiming
20class.
21    (c) Conditions of races under subsection (b) shall be
22commensurate with past performance, quality and class of
23Illinois conceived and foaled horses available. If, however,
24sufficient competition cannot be had among horses of that
25class on any day, the races may, with consent of the Board, be
26eliminated for that day and substitute races provided.

 

 

10200HB3136sam002- 8 -LRB102 14595 AMC 30243 a

1    (d) There is hereby created a special fund of the State
2Treasury to be known as the Illinois Standardbred Breeders
3Fund. Beginning on June 28, 2019 (the effective date of Public
4Act 101-31), the Illinois Standardbred Breeders Fund shall
5become a non-appropriated trust fund held separate and apart
6from State moneys. Expenditures from this Fund shall no longer
7be subject to appropriation.
8    During the calendar year 1981, and each year thereafter,
9except as provided in subsection (g) of Section 27 of this Act,
10eight and one-half per cent of all the monies received by the
11State as privilege taxes on harness racing meetings shall be
12paid into the Illinois Standardbred Breeders Fund.
13    (e) Notwithstanding any provision of law to the contrary,
14amounts deposited into the Illinois Standardbred Breeders Fund
15from revenues generated by gaming pursuant to an organization
16gaming license issued under the Illinois Gambling Act after
17June 28, 2019 (the effective date of Public Act 101-31) shall
18be in addition to tax and fee amounts paid under this Section
19for calendar year 2019 and thereafter. The Illinois
20Standardbred Breeders Fund shall be administered by the
21Department of Agriculture with the assistance and advice of
22the Advisory Board created in subsection (f) of this Section.
23    (f) The Illinois Standardbred Breeders Fund Advisory Board
24is hereby created. The Advisory Board shall consist of the
25Director of the Department of Agriculture, who shall serve as
26Chairman; the Superintendent of the Illinois State Fair; a

 

 

10200HB3136sam002- 9 -LRB102 14595 AMC 30243 a

1member of the Illinois Racing Board, designated by it; a
2representative of the largest association of Illinois
3standardbred owners and breeders, recommended by it; a
4representative of a statewide association representing
5agricultural fairs in Illinois, recommended by it, such
6representative to be from a fair at which Illinois conceived
7and foaled racing is conducted; a representative of the
8organization licensees conducting harness racing meetings,
9recommended by them; a representative of the Breeder's
10Committee of the association representing the largest number
11of standardbred owners, breeders, trainers, caretakers, and
12drivers, recommended by it; and a representative of the
13association representing the largest number of standardbred
14owners, breeders, trainers, caretakers, and drivers,
15recommended by it. Advisory Board members shall serve for 2
16years commencing January 1 of each odd numbered year. If
17representatives of the largest association of Illinois
18standardbred owners and breeders, a statewide association of
19agricultural fairs in Illinois, the association representing
20the largest number of standardbred owners, breeders, trainers,
21caretakers, and drivers, a member of the Breeder's Committee
22of the association representing the largest number of
23standardbred owners, breeders, trainers, caretakers, and
24drivers, and the organization licensees conducting harness
25racing meetings have not been recommended by January 1 of each
26odd numbered year, the Director of the Department of

 

 

10200HB3136sam002- 10 -LRB102 14595 AMC 30243 a

1Agriculture shall make an appointment for the organization
2failing to so recommend a member of the Advisory Board.
3Advisory Board members shall receive no compensation for their
4services as members but shall be reimbursed for all actual and
5necessary expenses and disbursements incurred in the execution
6of their official duties.
7    (g) Monies expended from the Illinois Standardbred
8Breeders Fund shall be expended by the Department of
9Agriculture, with the assistance and advice of the Illinois
10Standardbred Breeders Fund Advisory Board for the following
11purposes only:
12        1. To provide purses for races limited to Illinois
13    conceived and foaled horses at the State Fair and the
14    DuQuoin State Fair.
15        2. To provide purses for races limited to Illinois
16    conceived and foaled horses at county fairs.
17        3. To provide purse supplements for races limited to
18    Illinois conceived and foaled horses conducted by
19    associations conducting harness racing meetings.
20        4. No less than 75% of all monies in the Illinois
21    Standardbred Breeders Fund shall be expended for purses in
22    1, 2, and 3 as shown above.
23        5. In the discretion of the Department of Agriculture
24    to provide awards to harness breeders of Illinois
25    conceived and foaled horses which win races conducted by
26    organization licensees conducting harness racing meetings.

 

 

10200HB3136sam002- 11 -LRB102 14595 AMC 30243 a

1    A breeder is the owner of a mare at the time of conception.
2    No more than 10% of all monies appropriated from the
3    Illinois Standardbred Breeders Fund shall be expended for
4    such harness breeders awards. No more than 25% of the
5    amount expended for harness breeders awards shall be
6    expended for expenses incurred in the administration of
7    such harness breeders awards.
8        6. To pay for the improvement of racing facilities
9    located at the State Fair and County fairs.
10        7. To pay the expenses incurred in the administration
11    of the Illinois Standardbred Breeders Fund.
12        8. To promote the sport of harness racing, including
13    grants up to a maximum of $7,500 per fair per year for
14    conducting pari-mutuel wagering during the advertised
15    dates of a county fair.
16        9. To pay up to $50,000 annually for the Department of
17    Agriculture to conduct drug testing at county fairs racing
18    standardbred horses.
19    (h) The Illinois Standardbred Breeders Fund is not subject
20to administrative charges or chargebacks, including, but not
21limited to, those authorized under Section 8h of the State
22Finance Act.
23    (i) A sum equal to 13% of the first prize money of the
24gross purse won by an Illinois conceived and foaled horse
25shall be paid 50% by the organization licensee conducting the
26horse race meeting to the breeder of such winning horse from

 

 

10200HB3136sam002- 12 -LRB102 14595 AMC 30243 a

1the organization licensee's account and 50% from the purse
2account of the licensee. Such payment shall not reduce any
3award to the owner of the horse or reduce the taxes payable
4under this Act. Such payment shall be delivered by the
5organization licensee at the end of each quarter.
6    (j) The Department of Agriculture shall, by rule, with the
7assistance and advice of the Illinois Standardbred Breeders
8Fund Advisory Board:
9        1. Qualify stallions for Illinois Standardbred
10    Breeders Fund breeding; such stallion shall be owned by a
11    resident of the State of Illinois or by an Illinois
12    corporation all of whose shareholders, directors, officers
13    and incorporators are residents of the State of Illinois.
14    Such stallion shall stand for service at and within the
15    State of Illinois at the time of a foal's conception, and
16    such stallion must not stand for service at any place, nor
17    may semen from such stallion be transported, outside the
18    State of Illinois during that calendar year in which the
19    foal is conceived and that the owner of the stallion was
20    for the 12 months prior, a resident of Illinois. However,
21    on and after from January 1, 2018, until January 1, 2022,
22    semen from an Illinois stallion may be transported outside
23    the State of Illinois. The articles of agreement of any
24    partnership, joint venture, limited partnership,
25    syndicate, association or corporation and any bylaws and
26    stock certificates must contain a restriction that

 

 

10200HB3136sam002- 13 -LRB102 14595 AMC 30243 a

1    provides that the ownership or transfer of interest by any
2    one of the persons a party to the agreement can only be
3    made to a person who qualifies as an Illinois resident.
4        2. Provide for the registration of Illinois conceived
5    and foaled horses and no such horse shall compete in the
6    races limited to Illinois conceived and foaled horses
7    unless registered with the Department of Agriculture. The
8    Department of Agriculture may prescribe such forms as may
9    be necessary to determine the eligibility of such horses.
10    No person shall knowingly prepare or cause preparation of
11    an application for registration of such foals containing
12    false information. A mare (dam) must be in the State at
13    least 30 days prior to foaling or remain in the State at
14    least 30 days at the time of foaling. However, the
15    requirement that a mare (dam) must be in the State at least
16    30 days before foaling or remain in the State at least 30
17    days at the time of foaling shall not be in effect from
18    January 1, 2018 until January 1, 2022. Beginning with the
19    1996 breeding season and for foals of 1997 and thereafter,
20    a foal conceived by transported semen may be eligible for
21    Illinois conceived and foaled registration provided all
22    breeding and foaling requirements are met. The stallion
23    must be qualified for Illinois Standardbred Breeders Fund
24    breeding at the time of conception and the mare must be
25    inseminated within the State of Illinois. The foal must be
26    dropped in Illinois and properly registered with the

 

 

10200HB3136sam002- 14 -LRB102 14595 AMC 30243 a

1    Department of Agriculture in accordance with this Act.
2    However, from January 1, 2018 until January 1, 2022, the
3    requirement for a mare to be inseminated within the State
4    of Illinois and the requirement for a foal to be dropped in
5    Illinois are inapplicable.
6        3. Provide that at least a 5-day racing program shall
7    be conducted at the State Fair each year, unless an
8    alternate racing program is requested by the Illinois
9    Standardbred Breeders Fund Advisory Board, which program
10    shall include at least the following races limited to
11    Illinois conceived and foaled horses: (a) a 2-year-old
12    Trot and Pace, and Filly Division of each; (b) a
13    3-year-old Trot and Pace, and Filly Division of each; (c)
14    an aged Trot and Pace, and Mare Division of each.
15        4. Provide for the payment of nominating, sustaining
16    and starting fees for races promoting the sport of harness
17    racing and for the races to be conducted at the State Fair
18    as provided in subsection (j) 3 of this Section provided
19    that the nominating, sustaining and starting payment
20    required from an entrant shall not exceed 2% of the purse
21    of such race. All nominating, sustaining and starting
22    payments shall be held for the benefit of entrants and
23    shall be paid out as part of the respective purses for such
24    races. Nominating, sustaining and starting fees shall be
25    held in trust accounts for the purposes as set forth in
26    this Act and in accordance with Section 205-15 of the

 

 

10200HB3136sam002- 15 -LRB102 14595 AMC 30243 a

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

 

 

10200HB3136sam002- 16 -LRB102 14595 AMC 30243 a

1Department of Agriculture.
2    (m) At all standardbred race meetings held or conducted
3under authority of a license granted by the Board, and at all
4standardbred races held at county fairs which are approved by
5the Department of Agriculture or at the Illinois or DuQuoin
6State Fairs, no one shall jog, train, warm up or drive a
7standardbred horse unless he or she is wearing a protective
8safety helmet, with the chin strap fastened and in place,
9which meets the standards and requirements as set forth in the
101984 Standard for Protective Headgear for Use in Harness
11Racing and Other Equestrian Sports published by the Snell
12Memorial Foundation, or any standards and requirements for
13headgear the Illinois Racing Board may approve. Any other
14standards and requirements so approved by the Board shall
15equal or exceed those published by the Snell Memorial
16Foundation. Any equestrian helmet bearing the Snell label
17shall be deemed to have met those standards and requirements.
18(Source: P.A. 101-31, eff. 6-28-19; 101-157, eff. 7-26-19;
19102-558, eff. 8-20-21.)
 
20    Section 15. The Illinois Gambling Act is amended by
21changing Sections 8 and 13 and by adding Section 8.1 as
22follows:
 
23    (230 ILCS 10/8)  (from Ch. 120, par. 2408)
24    Sec. 8. Suppliers licenses.

 

 

10200HB3136sam002- 17 -LRB102 14595 AMC 30243 a

1    (a) The Board may issue a suppliers license to such
2persons, firms or corporations which apply therefor upon the
3payment of a non-refundable application fee set by the Board,
4upon a determination by the Board that the applicant is
5eligible for a suppliers license and upon payment of a $5,000
6annual license fee. At the time of application for a supplier
7license under this Act, a person that holds a license as a
8manufacturer, distributor, or supplier under the Video Gaming
9Act or a supplier license under the Sports Wagering Act shall
10be entitled to licensure under this Act as a supplier without
11additional Board investigation or approval, except by vote of
12the Board; however, the applicant shall pay all fees required
13for a suppliers license under this Act.
14    (a-5) Except as provided by Section 8.1, the initial
15suppliers license shall be issued for 4 years. Thereafter, the
16license may be renewed for additional 4-year periods unless
17sooner canceled or terminated.
18    (b) The holder of a suppliers license is authorized to
19sell or lease, and to contract to sell or lease, gambling
20equipment and supplies to any licensee involved in the
21ownership or management of gambling operations.
22    (c) Gambling supplies and equipment may not be distributed
23unless supplies and equipment conform to standards adopted by
24rules of the Board.
25    (d) A person, firm or corporation is ineligible to receive
26a suppliers license if:

 

 

10200HB3136sam002- 18 -LRB102 14595 AMC 30243 a

1        (1) the person has been convicted of a felony under
2    the laws of this State, any other state, or the United
3    States;
4        (2) the person has been convicted of any violation of
5    Article 28 of the Criminal Code of 1961 or the Criminal
6    Code of 2012, or substantially similar laws of any other
7    jurisdiction;
8        (3) the person has submitted an application for a
9    license under this Act which contains false information;
10        (4) the person is a member of the Board;
11        (5) the entity is one in which a person defined in (1),
12    (2), (3) or (4), is an officer, director or managerial
13    employee;
14        (6) the firm or corporation employs a person who
15    participates in the management or operation of gambling
16    authorized under this Act;
17        (7) the license of the person, firm or corporation
18    issued under this Act, or a license to own or operate
19    gambling facilities in any other jurisdiction, has been
20    revoked.
21    (e) Any person that supplies any equipment, devices, or
22supplies to a licensed gambling operation must first obtain a
23suppliers license. A supplier shall furnish to the Board a
24list of all equipment, devices and supplies offered for sale
25or lease in connection with gambling games authorized under
26this Act. A supplier shall keep books and records for the

 

 

10200HB3136sam002- 19 -LRB102 14595 AMC 30243 a

1furnishing of equipment, devices and supplies to gambling
2operations separate and distinct from any other business that
3the supplier might operate. A supplier shall file a quarterly
4return with the Board listing all sales and leases. A supplier
5shall permanently affix its name or a distinctive logo or
6other mark or design element identifying the manufacturer or
7supplier to all its equipment, devices, and supplies, except
8gaming chips without a value impressed, engraved, or imprinted
9on it, for gambling operations. The Board may waive this
10requirement for any specific product or products if it
11determines that the requirement is not necessary to protect
12the integrity of the game. Items purchased from a licensed
13supplier may continue to be used even though the supplier
14subsequently changes its name, distinctive logo, or other mark
15or design element; undergoes a change in ownership; or ceases
16to be licensed as a supplier for any reason. Any supplier's
17equipment, devices or supplies which are used by any person in
18an unauthorized gambling operation shall be forfeited to the
19State. A holder of an owners license or an organization gaming
20license may own its own equipment, devices and supplies. Each
21holder of an owners license or an organization gaming license
22under the Act shall file an annual report listing its
23inventories of gambling equipment, devices and supplies.
24    (f) Any person who knowingly makes a false statement on an
25application is guilty of a Class A misdemeanor.
26    (g) Any gambling equipment, devices and supplies provided

 

 

10200HB3136sam002- 20 -LRB102 14595 AMC 30243 a

1by any licensed supplier may either be repaired on the
2riverboat, in the casino, or at the organization gaming
3facility or removed from the riverboat, casino, or
4organization gaming facility to a facility owned by the holder
5of an owners license, organization gaming license, or
6suppliers license for repair.
7(Source: P.A. 101-31, eff. 6-28-19.)
 
8    (230 ILCS 10/8.1 new)
9    Sec. 8.1. Harmonization of supplier category licenses.
10    (a) As used in this Section, "supplier category license"
11means a suppliers license issued under this Act, a supplier
12license issued under the Sports Wagering Act, or a
13manufacturer, distributor, or supplier license issued under
14the Video Gaming Act.
15    (b) If a holder of any supplier category license is
16granted an additional supplier category license, the initial
17period of the new supplier category license shall expire at
18the earliest expiration date of any other supplier category
19license held by the licensee. If a licensee holds multiple
20supplier category licenses on the effective date of this
21amendatory Act of the 102nd General Assembly, all supplier
22category licenses shall expire at the earliest expiration date
23of any of the supplier category licenses held by the licensee.
 
24    (230 ILCS 10/13)  (from Ch. 120, par. 2413)

 

 

10200HB3136sam002- 21 -LRB102 14595 AMC 30243 a

1    Sec. 13. Wagering tax; rate; distribution.
2    (a) Until January 1, 1998, a tax is imposed on the adjusted
3gross receipts received from gambling games authorized under
4this Act at the rate of 20%.
5    (a-1) From January 1, 1998 until July 1, 2002, a privilege
6tax is imposed on persons engaged in the business of
7conducting riverboat gambling operations, based on the
8adjusted gross receipts received by a licensed owner from
9gambling games authorized under this Act at the following
10rates:
11        15% of annual adjusted gross receipts up to and
12    including $25,000,000;
13        20% of annual adjusted gross receipts in excess of
14    $25,000,000 but not exceeding $50,000,000;
15        25% of annual adjusted gross receipts in excess of
16    $50,000,000 but not exceeding $75,000,000;
17        30% of annual adjusted gross receipts in excess of
18    $75,000,000 but not exceeding $100,000,000;
19        35% of annual adjusted gross receipts in excess of
20    $100,000,000.
21    (a-2) From July 1, 2002 until July 1, 2003, a privilege tax
22is imposed on persons engaged in the business of conducting
23riverboat gambling operations, other than licensed managers
24conducting riverboat gambling operations on behalf of the
25State, based on the adjusted gross receipts received by a
26licensed owner from gambling games authorized under this Act

 

 

10200HB3136sam002- 22 -LRB102 14595 AMC 30243 a

1at the following rates:
2        15% of annual adjusted gross receipts up to and
3    including $25,000,000;
4        22.5% of annual adjusted gross receipts in excess of
5    $25,000,000 but not exceeding $50,000,000;
6        27.5% of annual adjusted gross receipts in excess of
7    $50,000,000 but not exceeding $75,000,000;
8        32.5% of annual adjusted gross receipts in excess of
9    $75,000,000 but not exceeding $100,000,000;
10        37.5% of annual adjusted gross receipts in excess of
11    $100,000,000 but not exceeding $150,000,000;
12        45% of annual adjusted gross receipts in excess of
13    $150,000,000 but not exceeding $200,000,000;
14        50% of annual adjusted gross receipts in excess of
15    $200,000,000.
16    (a-3) Beginning July 1, 2003, a privilege tax is imposed
17on persons engaged in the business of conducting riverboat
18gambling operations, other than licensed managers conducting
19riverboat gambling operations on behalf of the State, based on
20the adjusted gross receipts received by a licensed owner from
21gambling games authorized under this Act at the following
22rates:
23        15% of annual adjusted gross receipts up to and
24    including $25,000,000;
25        27.5% of annual adjusted gross receipts in excess of
26    $25,000,000 but not exceeding $37,500,000;

 

 

10200HB3136sam002- 23 -LRB102 14595 AMC 30243 a

1        32.5% of annual adjusted gross receipts in excess of
2    $37,500,000 but not exceeding $50,000,000;
3        37.5% of annual adjusted gross receipts in excess of
4    $50,000,000 but not exceeding $75,000,000;
5        45% of annual adjusted gross receipts in excess of
6    $75,000,000 but not exceeding $100,000,000;
7        50% of annual adjusted gross receipts in excess of
8    $100,000,000 but not exceeding $250,000,000;
9        70% of annual adjusted gross receipts in excess of
10    $250,000,000.
11    An amount equal to the amount of wagering taxes collected
12under this subsection (a-3) that are in addition to the amount
13of wagering taxes that would have been collected if the
14wagering tax rates under subsection (a-2) were in effect shall
15be paid into the Common School Fund.
16    The privilege tax imposed under this subsection (a-3)
17shall no longer be imposed beginning on the earlier of (i) July
181, 2005; (ii) the first date after June 20, 2003 that riverboat
19gambling operations are conducted pursuant to a dormant
20license; or (iii) the first day that riverboat gambling
21operations are conducted under the authority of an owners
22license that is in addition to the 10 owners licenses
23initially authorized under this Act. For the purposes of this
24subsection (a-3), the term "dormant license" means an owners
25license that is authorized by this Act under which no
26riverboat gambling operations are being conducted on June 20,

 

 

10200HB3136sam002- 24 -LRB102 14595 AMC 30243 a

12003.
2    (a-4) Beginning on the first day on which the tax imposed
3under subsection (a-3) is no longer imposed and ending upon
4the imposition of the privilege tax under subsection (a-5) of
5this Section, a privilege tax is imposed on persons engaged in
6the business of conducting gambling operations, other than
7licensed managers conducting riverboat gambling operations on
8behalf of the State, based on the adjusted gross receipts
9received by a licensed owner from gambling games authorized
10under this Act at the following rates:
11        15% of annual adjusted gross receipts up to and
12    including $25,000,000;
13        22.5% of annual adjusted gross receipts in excess of
14    $25,000,000 but not exceeding $50,000,000;
15        27.5% of annual adjusted gross receipts in excess of
16    $50,000,000 but not exceeding $75,000,000;
17        32.5% of annual adjusted gross receipts in excess of
18    $75,000,000 but not exceeding $100,000,000;
19        37.5% of annual adjusted gross receipts in excess of
20    $100,000,000 but not exceeding $150,000,000;
21        45% of annual adjusted gross receipts in excess of
22    $150,000,000 but not exceeding $200,000,000;
23        50% of annual adjusted gross receipts in excess of
24    $200,000,000.
25    For the imposition of the privilege tax in this subsection
26(a-4), amounts paid pursuant to item (1) of subsection (b) of

 

 

10200HB3136sam002- 25 -LRB102 14595 AMC 30243 a

1Section 56 of the Illinois Horse Racing Act of 1975 shall not
2be included in the determination of adjusted gross receipts.
3    (a-5)(1) Beginning on July 1, 2020, a privilege tax is
4imposed on persons engaged in the business of conducting
5gambling operations, other than the owners licensee under
6paragraph (1) of subsection (e-5) of Section 7 and licensed
7managers conducting riverboat gambling operations on behalf of
8the State, based on the adjusted gross receipts received by
9such licensee from the gambling games authorized under this
10Act. The privilege tax for all gambling games other than table
11games, including, but not limited to, slot machines, video
12game of chance gambling, and electronic gambling games shall
13be at the following rates:
14        15% of annual adjusted gross receipts up to and
15    including $25,000,000;
16        22.5% of annual adjusted gross receipts in excess of
17    $25,000,000 but not exceeding $50,000,000;
18        27.5% of annual adjusted gross receipts in excess of
19    $50,000,000 but not exceeding $75,000,000;
20        32.5% of annual adjusted gross receipts in excess of
21    $75,000,000 but not exceeding $100,000,000;
22        37.5% of annual adjusted gross receipts in excess of
23    $100,000,000 but not exceeding $150,000,000;
24        45% of annual adjusted gross receipts in excess of
25    $150,000,000 but not exceeding $200,000,000;
26        50% of annual adjusted gross receipts in excess of

 

 

10200HB3136sam002- 26 -LRB102 14595 AMC 30243 a

1    $200,000,000.
2    The privilege tax for table games shall be at the
3following rates:
4        15% of annual adjusted gross receipts up to and
5    including $25,000,000;
6        20% of annual adjusted gross receipts in excess of
7    $25,000,000.
8    For the imposition of the privilege tax in this subsection
9(a-5), amounts paid pursuant to item (1) of subsection (b) of
10Section 56 of the Illinois Horse Racing Act of 1975 shall not
11be included in the determination of adjusted gross receipts.
12    (2) Beginning on the first day that an owners licensee
13under paragraph (1) of subsection (e-5) of Section 7 conducts
14gambling operations, either in a temporary facility or a
15permanent facility, a privilege tax is imposed on persons
16engaged in the business of conducting gambling operations
17under paragraph (1) of subsection (e-5) of Section 7, other
18than licensed managers conducting riverboat gambling
19operations on behalf of the State, based on the adjusted gross
20receipts received by such licensee from the gambling games
21authorized under this Act. The privilege tax for all gambling
22games other than table games, including, but not limited to,
23slot machines, video game of chance gambling, and electronic
24gambling games shall be at the following rates:
25        12% of annual adjusted gross receipts up to and
26    including $25,000,000 to the State and 10.5% of annual

 

 

10200HB3136sam002- 27 -LRB102 14595 AMC 30243 a

1    adjusted gross receipts up to and including $25,000,000 to
2    the City of Chicago;
3        16% of annual adjusted gross receipts in excess of
4    $25,000,000 but not exceeding $50,000,000 to the State and
5    14% of annual adjusted gross receipts in excess of
6    $25,000,000 but not exceeding $50,000,000 to the City of
7    Chicago;
8        20.1% of annual adjusted gross receipts in excess of
9    $50,000,000 but not exceeding $75,000,000 to the State and
10    17.4% of annual adjusted gross receipts in excess of
11    $50,000,000 but not exceeding $75,000,000 to the City of
12    Chicago;
13        21.4% of annual adjusted gross receipts in excess of
14    $75,000,000 but not exceeding $100,000,000 to the State
15    and 18.6% of annual adjusted gross receipts in excess of
16    $75,000,000 but not exceeding $100,000,000 to the City of
17    Chicago;
18        22.7% of annual adjusted gross receipts in excess of
19    $100,000,000 but not exceeding $150,000,000 to the State
20    and 19.8% of annual adjusted gross receipts in excess of
21    $100,000,000 but not exceeding $150,000,000 to the City of
22    Chicago;
23        24.1% of annual adjusted gross receipts in excess of
24    $150,000,000 but not exceeding $225,000,000 to the State
25    and 20.9% of annual adjusted gross receipts in excess of
26    $150,000,000 but not exceeding $225,000,000 to the City of

 

 

10200HB3136sam002- 28 -LRB102 14595 AMC 30243 a

1    Chicago;
2        26.8% of annual adjusted gross receipts in excess of
3    $225,000,000 but not exceeding $1,000,000,000 to the State
4    and 23.2% of annual adjusted gross receipts in excess of
5    $225,000,000 but not exceeding $1,000,000,000 to the City
6    of Chicago;
7        40% of annual adjusted gross receipts in excess of
8    $1,000,000,000 to the State and 34.7% of annual gross
9    receipts in excess of $1,000,000,000 to the City of
10    Chicago.
11    The privilege tax for table games shall be at the
12following rates:
13        8.1% of annual adjusted gross receipts up to and
14    including $25,000,000 to the State and 6.9% of annual
15    adjusted gross receipts up to and including $25,000,000 to
16    the City of Chicago;
17        10.7% of annual adjusted gross receipts in excess of
18    $25,000,000 but not exceeding $75,000,000 to the State and
19    9.3% of annual adjusted gross receipts in excess of
20    $25,000,000 but not exceeding $75,000,000 to the City of
21    Chicago;
22        11.2% of annual adjusted gross receipts in excess of
23    $75,000,000 but not exceeding $175,000,000 to the State
24    and 9.8% of annual adjusted gross receipts in excess of
25    $75,000,000 but not exceeding $175,000,000 to the City of
26    Chicago;

 

 

10200HB3136sam002- 29 -LRB102 14595 AMC 30243 a

1        13.5% of annual adjusted gross receipts in excess of
2    $175,000,000 but not exceeding $225,000,000 to the State
3    and 11.5% of annual adjusted gross receipts in excess of
4    $175,000,000 but not exceeding $225,000,000 to the City of
5    Chicago;
6        15.1% of annual adjusted gross receipts in excess of
7    $225,000,000 but not exceeding $275,000,000 to the State
8    and 12.9% of annual adjusted gross receipts in excess of
9    $225,000,000 but not exceeding $275,000,000 to the City of
10    Chicago;
11        16.2% of annual adjusted gross receipts in excess of
12    $275,000,000 but not exceeding $375,000,000 to the State
13    and 13.8% of annual adjusted gross receipts in excess of
14    $275,000,000 but not exceeding $375,000,000 to the City of
15    Chicago;
16        18.9% of annual adjusted gross receipts in excess of
17    $375,000,000 to the State and 16.1% of annual gross
18    receipts in excess of $375,000,000 to the City of Chicago.
19    For the imposition of the privilege tax in this subsection
20(a-5), amounts paid pursuant to item (1) of subsection (b) of
21Section 56 of the Illinois Horse Racing Act of 1975 shall not
22be included in the determination of adjusted gross receipts.
23    Notwithstanding the provisions of this subsection (a-5),
24for the first 10 years that the privilege tax is imposed under
25this subsection (a-5), the privilege tax shall be imposed on
26the modified annual adjusted gross receipts of a riverboat or

 

 

10200HB3136sam002- 30 -LRB102 14595 AMC 30243 a

1casino conducting gambling operations in the City of East St.
2Louis, unless:
3        (1) the riverboat or casino fails to employ at least
4    450 people, except no minimum employment shall be required
5    during 2020 and 2021 or during periods that the riverboat
6    or casino is closed on orders of State officials for
7    public health emergencies or other emergencies not caused
8    by the riverboat or casino;
9        (2) the riverboat or casino fails to maintain
10    operations in a manner consistent with this Act or is not a
11    viable riverboat or casino subject to the approval of the
12    Board; or
13        (3) the owners licensee is not an entity in which
14    employees participate in an employee stock ownership plan
15    or in which the owners licensee sponsors a 401(k)
16    retirement plan and makes a matching employer contribution
17    equal to at least one-quarter of the first 12% or one-half
18    of the first 6% of each participating employee's
19    contribution, not to exceed any limitations under federal
20    laws and regulations.
21    As used in this subsection (a-5), "modified annual
22adjusted gross receipts" means:
23        (A) for calendar year 2020, the annual adjusted gross
24    receipts for the current year minus the difference between
25    an amount equal to the average annual adjusted gross
26    receipts from a riverboat or casino conducting gambling

 

 

10200HB3136sam002- 31 -LRB102 14595 AMC 30243 a

1    operations in the City of East St. Louis for 2014, 2015,
2    2016, 2017, and 2018 and the annual adjusted gross
3    receipts for 2018;
4        (B) for calendar year 2021, the annual adjusted gross
5    receipts for the current year minus the difference between
6    an amount equal to the average annual adjusted gross
7    receipts from a riverboat or casino conducting gambling
8    operations in the City of East St. Louis for 2014, 2015,
9    2016, 2017, and 2018 and the annual adjusted gross
10    receipts for 2019; and
11        (C) for calendar years 2022 through 2029, the annual
12    adjusted gross receipts for the current year minus the
13    difference between an amount equal to the average annual
14    adjusted gross receipts from a riverboat or casino
15    conducting gambling operations in the City of East St.
16    Louis for 3 years preceding the current year and the
17    annual adjusted gross receipts for the immediately
18    preceding year.
19    (a-6) From June 28, 2019 (the effective date of Public Act
20101-31) until June 30, 2023, an owners licensee that conducted
21gambling operations prior to January 1, 2011 shall receive a
22dollar-for-dollar credit against the tax imposed under this
23Section for any renovation or construction costs paid by the
24owners licensee, but in no event shall the credit exceed
25$2,000,000.
26    Additionally, from June 28, 2019 (the effective date of

 

 

10200HB3136sam002- 32 -LRB102 14595 AMC 30243 a

1Public Act 101-31) until December 31, 2022, an owners licensee
2that (i) is located within 15 miles of the Missouri border, and
3(ii) has at least 3 riverboats, casinos, or their equivalent
4within a 45-mile radius, may be authorized to relocate to a new
5location with the approval of both the unit of local
6government designated as the home dock and the Board, so long
7as the new location is within the same unit of local government
8and no more than 3 miles away from its original location. Such
9owners licensee shall receive a credit against the tax imposed
10under this Section equal to 8% of the total project costs, as
11approved by the Board, for any renovation or construction
12costs paid by the owners licensee for the construction of the
13new facility, provided that the new facility is operational by
14July 1, 2022. In determining whether or not to approve a
15relocation, the Board must consider the extent to which the
16relocation will diminish the gaming revenues received by other
17Illinois gaming facilities.
18    (a-7) Beginning in the initial adjustment year and through
19the final adjustment year, if the total obligation imposed
20pursuant to either subsection (a-5) or (a-6) will result in an
21owners licensee receiving less after-tax adjusted gross
22receipts than it received in calendar year 2018, then the
23total amount of privilege taxes that the owners licensee is
24required to pay for that calendar year shall be reduced to the
25extent necessary so that the after-tax adjusted gross receipts
26in that calendar year equals the after-tax adjusted gross

 

 

10200HB3136sam002- 33 -LRB102 14595 AMC 30243 a

1receipts in calendar year 2018, but the privilege tax
2reduction shall not exceed the annual adjustment cap. If
3pursuant to this subsection (a-7), the total obligation
4imposed pursuant to either subsection (a-5) or (a-6) shall be
5reduced, then the owners licensee shall not receive a refund
6from the State at the end of the subject calendar year but
7instead shall be able to apply that amount as a credit against
8any payments it owes to the State in the following calendar
9year to satisfy its total obligation under either subsection
10(a-5) or (a-6). The credit for the final adjustment year shall
11occur in the calendar year following the final adjustment
12year.
13    If an owners licensee that conducted gambling operations
14prior to January 1, 2019 expands its riverboat or casino,
15including, but not limited to, with respect to its gaming
16floor, additional non-gaming amenities such as restaurants,
17bars, and hotels and other additional facilities, and incurs
18construction and other costs related to such expansion from
19June 28, 2019 (the effective date of Public Act 101-31) until
20June 28, 2024 (the 5th anniversary of the effective date of
21Public Act 101-31), then for each $15,000,000 spent for any
22such construction or other costs related to expansion paid by
23the owners licensee, the final adjustment year shall be
24extended by one year and the annual adjustment cap shall
25increase by 0.2% of adjusted gross receipts during each
26calendar year until and including the final adjustment year.

 

 

10200HB3136sam002- 34 -LRB102 14595 AMC 30243 a

1No further modifications to the final adjustment year or
2annual adjustment cap shall be made after $75,000,000 is
3incurred in construction or other costs related to expansion
4so that the final adjustment year shall not extend beyond the
59th calendar year after the initial adjustment year, not
6including the initial adjustment year, and the annual
7adjustment cap shall not exceed 4% of adjusted gross receipts
8in a particular calendar year. Construction and other costs
9related to expansion shall include all project related costs,
10including, but not limited to, all hard and soft costs,
11financing costs, on or off-site ground, road or utility work,
12cost of gaming equipment and all other personal property,
13initial fees assessed for each incremental gaming position,
14and the cost of incremental land acquired for such expansion.
15Soft costs shall include, but not be limited to, legal fees,
16architect, engineering and design costs, other consultant
17costs, insurance cost, permitting costs, and pre-opening costs
18related to the expansion, including, but not limited to, any
19of the following: marketing, real estate taxes, personnel,
20training, travel and out-of-pocket expenses, supply,
21inventory, and other costs, and any other project related soft
22costs.
23    To be eligible for the tax credits in subsection (a-6),
24all construction contracts shall include a requirement that
25the contractor enter into a project labor agreement with the
26building and construction trades council with geographic

 

 

10200HB3136sam002- 35 -LRB102 14595 AMC 30243 a

1jurisdiction of the location of the proposed gaming facility.
2    Notwithstanding any other provision of this subsection
3(a-7), this subsection (a-7) does not apply to an owners
4licensee unless such owners licensee spends at least
5$15,000,000 on construction and other costs related to its
6expansion, excluding the initial fees assessed for each
7incremental gaming position.
8    This subsection (a-7) does not apply to owners licensees
9authorized pursuant to subsection (e-5) of Section 7 of this
10Act.
11    For purposes of this subsection (a-7):
12    "Building and construction trades council" means any
13organization representing multiple construction entities that
14are monitoring or attentive to compliance with public or
15workers' safety laws, wage and hour requirements, or other
16statutory requirements or that are making or maintaining
17collective bargaining agreements.
18    "Initial adjustment year" means the year commencing on
19January 1 of the calendar year immediately following the
20earlier of the following:
21        (1) the commencement of gambling operations, either in
22    a temporary or permanent facility, with respect to the
23    owners license authorized under paragraph (1) of
24    subsection (e-5) of Section 7 of this Act; or
25        (2) June 28, 2021 (24 months after the effective date
26    of Public Act 101-31);

 

 

10200HB3136sam002- 36 -LRB102 14595 AMC 30243 a

1provided the initial adjustment year shall not commence
2earlier than June 28, 2020 (12 months after the effective date
3of Public Act 101-31).
4    "Final adjustment year" means the 2nd calendar year after
5the initial adjustment year, not including the initial
6adjustment year, and as may be extended further as described
7in this subsection (a-7).
8    "Annual adjustment cap" means 3% of adjusted gross
9receipts in a particular calendar year, and as may be
10increased further as otherwise described in this subsection
11(a-7).
12    (a-8) Riverboat gambling operations conducted by a
13licensed manager on behalf of the State are not subject to the
14tax imposed under this Section.
15    (a-9) Beginning on January 1, 2020, the calculation of
16gross receipts or adjusted gross receipts, for the purposes of
17this Section, for a riverboat, a casino, or an organization
18gaming facility shall not include the dollar amount of
19non-cashable vouchers, coupons, and electronic promotions
20redeemed by wagerers upon the riverboat, in the casino, or in
21the organization gaming facility up to and including an amount
22not to exceed 20% of a riverboat's, a casino's, or an
23organization gaming facility's adjusted gross receipts.
24    The Illinois Gaming Board shall submit to the General
25Assembly a comprehensive report no later than March 31, 2023
26detailing, at a minimum, the effect of removing non-cashable

 

 

10200HB3136sam002- 37 -LRB102 14595 AMC 30243 a

1vouchers, coupons, and electronic promotions from this
2calculation on net gaming revenues to the State in calendar
3years 2020 through 2022, the increase or reduction in wagerers
4as a result of removing non-cashable vouchers, coupons, and
5electronic promotions from this calculation, the effect of the
6tax rates in subsection (a-5) on net gaming revenues to this
7State, and proposed modifications to the calculation.
8    (a-10) The taxes imposed by this Section shall be paid by
9the licensed owner or the organization gaming licensee to the
10Board not later than 5:00 o'clock p.m. of the day after the day
11when the wagers were made.
12    (a-15) If the privilege tax imposed under subsection (a-3)
13is no longer imposed pursuant to item (i) of the last paragraph
14of subsection (a-3), then by June 15 of each year, each owners
15licensee, other than an owners licensee that admitted
161,000,000 persons or fewer in calendar year 2004, must, in
17addition to the payment of all amounts otherwise due under
18this Section, pay to the Board a reconciliation payment in the
19amount, if any, by which the licensed owner's base amount
20exceeds the amount of net privilege tax paid by the licensed
21owner to the Board in the then current State fiscal year. A
22licensed owner's net privilege tax obligation due for the
23balance of the State fiscal year shall be reduced up to the
24total of the amount paid by the licensed owner in its June 15
25reconciliation payment. The obligation imposed by this
26subsection (a-15) is binding on any person, firm, corporation,

 

 

10200HB3136sam002- 38 -LRB102 14595 AMC 30243 a

1or other entity that acquires an ownership interest in any
2such owners license. The obligation imposed under this
3subsection (a-15) terminates on the earliest of: (i) July 1,
42007, (ii) the first day after the effective date of this
5amendatory Act of the 94th General Assembly that riverboat
6gambling operations are conducted pursuant to a dormant
7license, (iii) the first day that riverboat gambling
8operations are conducted under the authority of an owners
9license that is in addition to the 10 owners licenses
10initially authorized under this Act, or (iv) the first day
11that a licensee under the Illinois Horse Racing Act of 1975
12conducts gaming operations with slot machines or other
13electronic gaming devices. The Board must reduce the
14obligation imposed under this subsection (a-15) by an amount
15the Board deems reasonable for any of the following reasons:
16(A) an act or acts of God, (B) an act of bioterrorism or
17terrorism or a bioterrorism or terrorism threat that was
18investigated by a law enforcement agency, or (C) a condition
19beyond the control of the owners licensee that does not result
20from any act or omission by the owners licensee or any of its
21agents and that poses a hazardous threat to the health and
22safety of patrons. If an owners licensee pays an amount in
23excess of its liability under this Section, the Board shall
24apply the overpayment to future payments required under this
25Section.
26    For purposes of this subsection (a-15):

 

 

10200HB3136sam002- 39 -LRB102 14595 AMC 30243 a

1    "Act of God" means an incident caused by the operation of
2an extraordinary force that cannot be foreseen, that cannot be
3avoided by the exercise of due care, and for which no person
4can be held liable.
5    "Base amount" means the following:
6        For a riverboat in Alton, $31,000,000.
7        For a riverboat in East Peoria, $43,000,000.
8        For the Empress riverboat in Joliet, $86,000,000.
9        For a riverboat in Metropolis, $45,000,000.
10        For the Harrah's riverboat in Joliet, $114,000,000.
11        For a riverboat in Aurora, $86,000,000.
12        For a riverboat in East St. Louis, $48,500,000.
13        For a riverboat in Elgin, $198,000,000.
14    "Dormant license" has the meaning ascribed to it in
15subsection (a-3).
16    "Net privilege tax" means all privilege taxes paid by a
17licensed owner to the Board under this Section, less all
18payments made from the State Gaming Fund pursuant to
19subsection (b) of this Section.
20    The changes made to this subsection (a-15) by Public Act
2194-839 are intended to restate and clarify the intent of
22Public Act 94-673 with respect to the amount of the payments
23required to be made under this subsection by an owners
24licensee to the Board.
25    (b) From the tax revenue from riverboat or casino gambling
26deposited in the State Gaming Fund under this Section, an

 

 

10200HB3136sam002- 40 -LRB102 14595 AMC 30243 a

1amount equal to 5% of adjusted gross receipts generated by a
2riverboat or a casino, other than a riverboat or casino
3designated in paragraph (1), (3), or (4) of subsection (e-5)
4of Section 7, shall be paid monthly, subject to appropriation
5by the General Assembly, to the unit of local government in
6which the casino is located or that is designated as the home
7dock of the riverboat. Notwithstanding anything to the
8contrary, beginning on the first day that an owners licensee
9under paragraph (1), (2), (3), (4), (5), or (6) of subsection
10(e-5) of Section 7 conducts gambling operations, either in a
11temporary facility or a permanent facility, and for 2 years
12thereafter, a unit of local government designated as the home
13dock of a riverboat whose license was issued before January 1,
142019, other than a riverboat conducting gambling operations in
15the City of East St. Louis, shall not receive less under this
16subsection (b) than the amount the unit of local government
17received under this subsection (b) in calendar year 2018.
18Notwithstanding anything to the contrary and because the City
19of East St. Louis is a financially distressed city, beginning
20on the first day that an owners licensee under paragraph (1),
21(2), (3), (4), (5), or (6) of subsection (e-5) of Section 7
22conducts gambling operations, either in a temporary facility
23or a permanent facility, and for 10 years thereafter, a unit of
24local government designated as the home dock of a riverboat
25conducting gambling operations in the City of East St. Louis
26shall not receive less under this subsection (b) than the

 

 

10200HB3136sam002- 41 -LRB102 14595 AMC 30243 a

1amount the unit of local government received under this
2subsection (b) in calendar year 2018.
3    From the tax revenue deposited in the State Gaming Fund
4pursuant to riverboat or casino gambling operations conducted
5by a licensed manager on behalf of the State, an amount equal
6to 5% of adjusted gross receipts generated pursuant to those
7riverboat or casino gambling operations shall be paid monthly,
8subject to appropriation by the General Assembly, to the unit
9of local government that is designated as the home dock of the
10riverboat upon which those riverboat gambling operations are
11conducted or in which the casino is located.
12    From the tax revenue from riverboat or casino gambling
13deposited in the State Gaming Fund under this Section, an
14amount equal to 5% of the adjusted gross receipts generated by
15a riverboat designated in paragraph (3) of subsection (e-5) of
16Section 7 shall be divided and remitted monthly, subject to
17appropriation, as follows: 70% to Waukegan, 10% to Park City,
1815% to North Chicago, and 5% to Lake County.
19    From the tax revenue from riverboat or casino gambling
20deposited in the State Gaming Fund under this Section, an
21amount equal to 5% of the adjusted gross receipts generated by
22a riverboat designated in paragraph (4) of subsection (e-5) of
23Section 7 shall be remitted monthly, subject to appropriation,
24as follows: 70% to the City of Rockford, 5% to the City of
25Loves Park, 5% to the Village of Machesney, and 20% to
26Winnebago County.

 

 

10200HB3136sam002- 42 -LRB102 14595 AMC 30243 a

1    From the tax revenue from riverboat or casino gambling
2deposited in the State Gaming Fund under this Section, an
3amount equal to 5% of the adjusted gross receipts generated by
4a riverboat designated in paragraph (5) of subsection (e-5) of
5Section 7 shall be remitted monthly, subject to appropriation,
6as follows: 2% to the unit of local government in which the
7riverboat or casino is located, and 3% shall be distributed:
8(A) in accordance with a regional capital development plan
9entered into by the following communities: Village of Beecher,
10City of Blue Island, Village of Burnham, City of Calumet City,
11Village of Calumet Park, City of Chicago Heights, City of
12Country Club Hills, Village of Crestwood, Village of Crete,
13Village of Dixmoor, Village of Dolton, Village of East Hazel
14Crest, Village of Flossmoor, Village of Ford Heights, Village
15of Glenwood, City of Harvey, Village of Hazel Crest, Village
16of Homewood, Village of Lansing, Village of Lynwood, City of
17Markham, Village of Matteson, Village of Midlothian, Village
18of Monee, City of Oak Forest, Village of Olympia Fields,
19Village of Orland Hills, Village of Orland Park, City of Palos
20Heights, Village of Park Forest, Village of Phoenix, Village
21of Posen, Village of Richton Park, Village of Riverdale,
22Village of Robbins, Village of Sauk Village, Village of South
23Chicago Heights, Village of South Holland, Village of Steger,
24Village of Thornton, Village of Tinley Park, Village of
25University Park and Village of Worth; or (B) if no regional
26capital development plan exists, equally among the communities

 

 

10200HB3136sam002- 43 -LRB102 14595 AMC 30243 a

1listed in item (A) to be used for capital expenditures or
2public pension payments, or both.
3    Units of local government may refund any portion of the
4payment that they receive pursuant to this subsection (b) to
5the riverboat or casino.
6    (b-4) Beginning on the first day the licensee under
7paragraph (5) of subsection (e-5) of Section 7 conducts
8gambling operations, either in a temporary facility or a
9permanent facility, and ending on July 31, 2042, from the tax
10revenue deposited in the State Gaming Fund under this Section,
11$5,000,000 shall be paid annually, subject to appropriation,
12to the host municipality of that owners licensee of a license
13issued or re-issued pursuant to Section 7.1 of this Act before
14January 1, 2012. Payments received by the host municipality
15pursuant to this subsection (b-4) may not be shared with any
16other unit of local government.
17    (b-5) Beginning on June 28, 2019 (the effective date of
18Public Act 101-31), from the tax revenue deposited in the
19State Gaming Fund under this Section, an amount equal to 3% of
20adjusted gross receipts generated by each organization gaming
21facility located outside Madison County shall be paid monthly,
22subject to appropriation by the General Assembly, to a
23municipality other than the Village of Stickney in which each
24organization gaming facility is located or, if the
25organization gaming facility is not located within a
26municipality, to the county in which the organization gaming

 

 

10200HB3136sam002- 44 -LRB102 14595 AMC 30243 a

1facility is located, except as otherwise provided in this
2Section. From the tax revenue deposited in the State Gaming
3Fund under this Section, an amount equal to 3% of adjusted
4gross receipts generated by an organization gaming facility
5located in the Village of Stickney shall be paid monthly,
6subject to appropriation by the General Assembly, as follows:
725% to the Village of Stickney, 5% to the City of Berwyn, 50%
8to the Town of Cicero, and 20% to the Stickney Public Health
9District.
10    From the tax revenue deposited in the State Gaming Fund
11under this Section, an amount equal to 5% of adjusted gross
12receipts generated by an organization gaming facility located
13in the City of Collinsville shall be paid monthly, subject to
14appropriation by the General Assembly, as follows: 30% to the
15City of Alton, 30% to the City of East St. Louis, and 40% to
16the City of Collinsville.
17    Municipalities and counties may refund any portion of the
18payment that they receive pursuant to this subsection (b-5) to
19the organization gaming facility.
20    (b-6) Beginning on June 28, 2019 (the effective date of
21Public Act 101-31), from the tax revenue deposited in the
22State Gaming Fund under this Section, an amount equal to 2% of
23adjusted gross receipts generated by an organization gaming
24facility located outside Madison County shall be paid monthly,
25subject to appropriation by the General Assembly, to the
26county in which the organization gaming facility is located

 

 

10200HB3136sam002- 45 -LRB102 14595 AMC 30243 a

1for the purposes of its criminal justice system or health care
2system.
3    Counties may refund any portion of the payment that they
4receive pursuant to this subsection (b-6) to the organization
5gaming facility.
6    (b-7) From the tax revenue from the organization gaming
7licensee located in one of the following townships of Cook
8County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or
9Worth, an amount equal to 5% of the adjusted gross receipts
10generated by that organization gaming licensee shall be
11remitted monthly, subject to appropriation, as follows: 2% to
12the unit of local government in which the organization gaming
13licensee is located, and 3% shall be distributed: (A) in
14accordance with a regional capital development plan entered
15into by the following communities: Village of Beecher, City of
16Blue Island, Village of Burnham, City of Calumet City, Village
17of Calumet Park, City of Chicago Heights, City of Country Club
18Hills, Village of Crestwood, Village of Crete, Village of
19Dixmoor, Village of Dolton, Village of East Hazel Crest,
20Village of Flossmoor, Village of Ford Heights, Village of
21Glenwood, City of Harvey, Village of Hazel Crest, Village of
22Homewood, Village of Lansing, Village of Lynwood, City of
23Markham, Village of Matteson, Village of Midlothian, Village
24of Monee, City of Oak Forest, Village of Olympia Fields,
25Village of Orland Hills, Village of Orland Park, City of Palos
26Heights, Village of Park Forest, Village of Phoenix, Village

 

 

10200HB3136sam002- 46 -LRB102 14595 AMC 30243 a

1of Posen, Village of Richton Park, Village of Riverdale,
2Village of Robbins, Village of Sauk Village, Village of South
3Chicago Heights, Village of South Holland, Village of Steger,
4Village of Thornton, Village of Tinley Park, Village of
5University Park, and Village of Worth; or (B) if no regional
6capital development plan exists, equally among the communities
7listed in item (A) to be used for capital expenditures or
8public pension payments, or both.
9    (b-8) In lieu of the payments under subsection (b) of this
10Section, from the tax revenue deposited in the State Gaming
11Fund pursuant to riverboat or casino gambling operations
12conducted by an owners licensee under paragraph (1) of
13subsection (e-5) of Section 7, an amount equal to the tax
14revenue generated from the privilege tax imposed by paragraph
15(2) of subsection (a-5) that is to be paid to the City of
16Chicago shall be paid monthly, subject to appropriation by the
17General Assembly, as follows: (1) an amount equal to 0.5% of
18the annual adjusted gross receipts generated by the owners
19licensee under paragraph (1) of subsection (e-5) of Section 7
20to the home rule county in which the owners licensee is located
21for the purpose of enhancing the county's criminal justice
22system; and (2) the balance to the City of Chicago and shall be
23expended or obligated by the City of Chicago for pension
24payments in accordance with Public Act 99-506.
25    (c) Appropriations, as approved by the General Assembly,
26may be made from the State Gaming Fund to the Board (i) for the

 

 

10200HB3136sam002- 47 -LRB102 14595 AMC 30243 a

1administration and enforcement of this Act and the Video
2Gaming Act, (ii) for distribution to the Department of State
3Police and to the Department of Revenue for the enforcement of
4this Act and the Video Gaming Act, and (iii) to the Department
5of Human Services for the administration of programs to treat
6problem gambling, including problem gambling from sports
7wagering. The Board's annual appropriations request must
8separately state its funding needs for the regulation of
9gaming authorized under Section 7.7, riverboat gaming, casino
10gaming, video gaming, and sports wagering.
11    (c-2) An amount equal to 2% of the adjusted gross receipts
12generated by an organization gaming facility located within a
13home rule county with a population of over 3,000,000
14inhabitants shall be paid, subject to appropriation from the
15General Assembly, from the State Gaming Fund to the home rule
16county in which the organization gaming licensee is located
17for the purpose of enhancing the county's criminal justice
18system.
19    (c-3) Appropriations, as approved by the General Assembly,
20may be made from the tax revenue deposited into the State
21Gaming Fund from organization gaming licensees pursuant to
22this Section for the administration and enforcement of this
23Act.
24    (c-4) After payments required under subsections (b),
25(b-5), (b-6), (b-7), (c), (c-2), and (c-3) have been made from
26the tax revenue from organization gaming licensees deposited

 

 

10200HB3136sam002- 48 -LRB102 14595 AMC 30243 a

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

 

 

10200HB3136sam002- 49 -LRB102 14595 AMC 30243 a

1    (c-21) After the payments required under subsections (b),
2(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have
3been made, an amount equal to 0.5% of the adjusted gross
4receipts generated by the owners licensee under paragraph (1)
5of subsection (e-5) of Section 7 shall be paid monthly,
6subject to appropriation from the General Assembly, from the
7State Gaming Fund to the home rule county in which the owners
8licensee is located for the purpose of enhancing the county's
9criminal justice system.
10    (c-22) After the payments required under subsections (b),
11(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and
12(c-21) have been made, an amount equal to 2% of the adjusted
13gross receipts generated by the owners licensee under
14paragraph (5) of subsection (e-5) of Section 7 shall be paid,
15subject to appropriation from the General Assembly, from the
16State Gaming Fund to the home rule county in which the owners
17licensee is located for the purpose of enhancing the county's
18criminal justice system.
19    (c-25) From July 1, 2013 and each July 1 thereafter
20through July 1, 2019, $1,600,000 shall be transferred from the
21State Gaming Fund to the Chicago State University Education
22Improvement Fund.
23    On July 1, 2020 and each July 1 thereafter, $3,000,000
24shall be transferred from the State Gaming Fund to the Chicago
25State University Education Improvement Fund.
26    (c-30) On July 1, 2013 or as soon as possible thereafter,

 

 

10200HB3136sam002- 50 -LRB102 14595 AMC 30243 a

1$92,000,000 shall be transferred from the State Gaming Fund to
2the School Infrastructure Fund and $23,000,000 shall be
3transferred from the State Gaming Fund to the Horse Racing
4Equity Fund.
5    (c-35) Beginning on July 1, 2013, in addition to any
6amount transferred under subsection (c-30) of this Section,
7$5,530,000 shall be transferred monthly from the State Gaming
8Fund to the School Infrastructure Fund.
9    (d) From time to time, through June 30, 2022, the Board
10shall transfer the remainder of the funds generated by this
11Act into the Education Assistance Fund, created by Public Act
1286-0018, of the State of Illinois.
13    (d-5) Beginning on July 1, 2022, on the last day of each
14month, or as soon thereafter as possible, after all the
15required expenditures, distributions and transfers have been
16made from the State Gaming Fund for the month pursuant to
17subsections (b) through (c-35), the Board shall transfer
18$22,500,000, along with any deficiencies in such amounts from
19prior months, from the State Gaming Fund to the Education
20Assistance Fund; then the Board shall transfer the remainder
21of the funds generated by this Act, if any, from the State
22Gaming Fund to the Capital Projects Fund.
23    (e) Nothing in this Act shall prohibit the unit of local
24government designated as the home dock of the riverboat from
25entering into agreements with other units of local government
26in this State or in other states to share its portion of the

 

 

10200HB3136sam002- 51 -LRB102 14595 AMC 30243 a

1tax revenue.
2    (f) To the extent practicable, the Board shall administer
3and collect the wagering taxes imposed by this Section in a
4manner consistent with the provisions of Sections 4, 5, 5a,
55b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of
6the Retailers' Occupation Tax Act and Section 3-7 of the
7Uniform Penalty and Interest Act.
8(Source: P.A. 101-31, Article 25, Section 25-910, eff.
96-28-19; 101-31, Article 35, Section 35-55, eff. 6-28-19;
10101-648, eff. 6-30-20.)
 
11    Section 20. The Raffles and Poker Runs Act is amended by
12changing Sections 1 and 2 as follows:
 
13    (230 ILCS 15/1)  (from Ch. 85, par. 2301)
14    Sec. 1. Definitions. For the purposes of this Act the
15terms defined in this Section have the meanings given them.
16    "Fire protection agency" means: (1) an agency of this
17State, unit of local government, or intergovernmental mutual
18aid entity that is vested by law or intergovernmental
19agreement with the duty and authority to provide public fire
20suppression, rescue, or emergency medical services; or (2) an
21organization that provides support or assistance to an agency
22of this State, unit of local government, or intergovernmental
23mutual aid entity that is vested by law or intergovernmental
24agreement with the duty and authority to provide public fire

 

 

10200HB3136sam002- 52 -LRB102 14595 AMC 30243 a

1suppression, rescue, or emergency medical services.
2    "Key location" means:
3        (1) For a poker run, the location where the poker run
4    concludes and the prizes are awarded.
5        (2) For a raffle, the location where the winning
6    chances in the raffle are determined.
7    "Law enforcement agency" means an agency of this State or
8a unit of local government in this State that is vested by law
9or ordinance with the duty to maintain public order and to
10enforce criminal laws or ordinances.
11    "Net proceeds" means the gross receipts from the conduct
12of raffles, less reasonable sums expended for prizes, local
13license fees and other operating expenses incurred as a result
14of operating a raffle or poker run.
15    "Poker run" means a prize-awarding event organized by an
16organization licensed under this Act in which participants
17travel to multiple predetermined locations, including a key
18location, to play a randomized game based on an element of
19chance. "Poker run" includes dice runs, marble runs, or other
20events where the objective is to build the best hand or highest
21score by obtaining an item or playing a randomized game at each
22location.
23    "Raffle" means a form of lottery, as defined in subsection
24(b) of Section 28-2 of the Criminal Code of 2012, conducted by
25an organization licensed under this Act, in which:
26        (1) the player pays or agrees to pay something of

 

 

10200HB3136sam002- 53 -LRB102 14595 AMC 30243 a

1    value for a chance, represented and differentiated by a
2    number or by a combination of numbers or by some other
3    medium, one or more of which chances is to be designated
4    the winning chance; and
5        (2) the winning chance is to be determined through a
6    drawing or by some other method based on an element of
7    chance by an act or set of acts on the part of persons
8    conducting or connected with the lottery, except that the
9    winning chance shall not be determined by the outcome of a
10    publicly exhibited sporting contest.
11    "Raffle" does not include any game designed to simulate:
12(1) gambling games as defined in the Illinois Gambling Act,
13(2) any casino game approved for play by the Illinois Gaming
14Board, (3) any games provided by a video gaming terminal, as
15defined in the Video Gaming Act, or (4) a savings promotion
16raffle authorized under Section 5g of the Illinois Banking
17Act, Section 7008 of the Savings Bank Act, Section 42.7 of the
18Illinois Credit Union Act, Section 5136B of the National Bank
19Act, or Section 4 of the Home Owners' Loan Act.
20(Source: P.A. 101-109, eff. 7-19-19; 102-558, eff. 8-20-21.)
 
21    (230 ILCS 15/2)  (from Ch. 85, par. 2302)
22    Sec. 2. Licensing.
23    (a) The governing body of any county or municipality
24within this State may establish a system for the licensing of
25organizations to operate raffles. The governing bodies of a

 

 

10200HB3136sam002- 54 -LRB102 14595 AMC 30243 a

1county and one or more municipalities may, pursuant to a
2written contract, jointly establish a system for the licensing
3of organizations to operate raffles within any area of
4contiguous territory not contained within the corporate limits
5of a municipality which is not a party to such contract. The
6governing bodies of two or more adjacent counties or two or
7more adjacent municipalities located within a county may,
8pursuant to a written contract, jointly establish a system for
9the licensing of organizations to operate raffles within the
10corporate limits of such counties or municipalities. The
11licensing authority may establish special categories of
12licenses and promulgate rules relating to the various
13categories. The licensing system shall provide for limitations
14upon (1) the aggregate retail value of all prizes or
15merchandise awarded by a licensee in a single raffle, if any,
16(2) the maximum retail value of each prize awarded by a
17licensee in a single raffle, if any, (3) the maximum price
18which may be charged for each raffle chance issued or sold, if
19any, and (4) the maximum number of days during which chances
20may be issued or sold, if any. The licensing system may include
21a fee for each license in an amount to be determined by the
22local governing body. Licenses issued pursuant to this Act
23shall be valid for one raffle or for a specified number of
24raffles to be conducted during a specified period not to
25exceed one year and may be suspended or revoked for any
26violation of this Act. A local governing body shall act on a

 

 

10200HB3136sam002- 55 -LRB102 14595 AMC 30243 a

1license application within 30 days from the date of
2application. A county or municipality may adopt rules or
3ordinances for the operation of raffles that are consistent
4with this Act. Raffles shall be licensed by the governing body
5of the municipality with jurisdiction over the key location
6or, if no municipality has jurisdiction over the key location,
7then by the governing body of the county with jurisdiction
8over the key location. A license shall authorize the holder of
9such license to sell raffle chances throughout the State,
10including beyond the borders of the licensing municipality or
11county.
12    (a-5) The governing body of Cook County may and any other
13county within this State shall establish a system for the
14licensing of organizations to operate poker runs. The
15governing bodies of 2 or more adjacent counties may, pursuant
16to a written contract, jointly establish a system for the
17licensing of organizations to operate poker runs within the
18corporate limits of such counties. The licensing authority may
19establish special categories of licenses and adopt rules
20relating to the various categories. The licensing system may
21include a fee not to exceed $25 for each license. Licenses
22issued pursuant to this Act shall be valid for one poker run or
23for a specified number of poker runs to be conducted during a
24specified period not to exceed one year and may be suspended or
25revoked for any violation of this Act. A local governing body
26shall act on a license application within 30 days after the

 

 

10200HB3136sam002- 56 -LRB102 14595 AMC 30243 a

1date of application.
2    (b) Raffle licenses shall be issued only: (1) to bona fide
3religious, charitable, labor, business, fraternal,
4educational, veterans', or other bona fide not-for-profit
5organizations that operate without profit to their members and
6which have been in existence continuously for a period of 5
7years immediately before making application for a raffle
8license and which have during that entire 5-year period been
9engaged in carrying out their objects, (2) or to a non-profit
10fundraising organization that the licensing authority
11determines is organized for the sole purpose of providing
12financial assistance to an identified individual or group of
13individuals suffering extreme financial hardship as the result
14of an illness, disability, accident, or disaster, (3) or to
15any law enforcement agencies and associations that represent
16law enforcement officials, or (4) to any fire protection
17agencies and associations that represent fire protection
18officials. Poker run licenses shall be issued only to bona
19fide religious, charitable, labor, business, fraternal,
20educational, veterans', or other bona fide not-for-profit
21organizations that operate without profit to their members and
22which have been in existence continuously for a period of 5
23years immediately before making application for a poker run
24license and which have during that entire 5-year period been
25engaged in carrying out their objects. Licenses for poker runs
26shall be issued for the following purposes: (i) providing

 

 

10200HB3136sam002- 57 -LRB102 14595 AMC 30243 a

1financial assistance to an identified individual or group of
2individuals suffering extreme financial hardship as the result
3of an illness, disability, accident, or disaster or (ii) to
4maintain the financial stability of the organization. A
5licensing authority may waive the 5-year requirement under
6this subsection (b) for a bona fide religious, charitable,
7labor, business, fraternal, educational, or veterans'
8organization that applies for a license to conduct a raffle or
9a poker run if the organization is a local organization that is
10affiliated with and chartered by a national or State
11organization that meets the 5-year requirement.
12    For purposes of this Act, the following definitions apply.
13Non-profit: An organization or institution organized and
14conducted on a not-for-profit basis with no personal profit
15inuring to any one as a result of the operation. Charitable: An
16organization or institution organized and operated to benefit
17an indefinite number of the public. The service rendered to
18those eligible for benefits must also confer some benefit on
19the public. Educational: An organization or institution
20organized and operated to provide systematic instruction in
21useful branches of learning by methods common to schools and
22institutions of learning which compare favorably in their
23scope and intensity with the course of study presented in
24tax-supported schools. Religious: Any church, congregation,
25society, or organization founded for the purpose of religious
26worship. Fraternal: An organization of persons having a common

 

 

10200HB3136sam002- 58 -LRB102 14595 AMC 30243 a

1interest, the primary interest of which is to both promote the
2welfare of its members and to provide assistance to the
3general public in such a way as to lessen the burdens of
4government by caring for those that otherwise would be cared
5for by the government. Veterans: An organization or
6association comprised of members of which substantially all
7are individuals who are veterans or spouses, widows, or
8widowers of veterans, the primary purpose of which is to
9promote the welfare of its members and to provide assistance
10to the general public in such a way as to confer a public
11benefit. Labor: An organization composed of workers organized
12with the objective of betterment of the conditions of those
13engaged in such pursuit and the development of a higher degree
14of efficiency in their respective occupations. Business: A
15voluntary organization composed of individuals and businesses
16who have joined together to advance the commercial, financial,
17industrial and civic interests of a community.
18(Source: P.A. 101-109, eff. 7-19-19; 101-360, eff. 1-1-20;
19102-558, eff. 8-20-21.)
 
20    Section 30. The Video Gaming Act is amended by changing
21Sections 5, 25, 27, 30, 45, 50, and 65 and by adding Section 90
22as follows:
 
23    (230 ILCS 40/5)
24    Sec. 5. Definitions. As used in this Act:

 

 

10200HB3136sam002- 59 -LRB102 14595 AMC 30243 a

1    "Board" means the Illinois Gaming Board.
2    "Credit" means one, 5, 10, or 25 cents either won or
3purchased by a player.
4    "Distributor" means an individual, partnership,
5corporation, or limited liability company licensed under this
6Act to buy, sell, lease, or distribute video gaming terminals
7or major components or parts of video gaming terminals to or
8from terminal operators.
9    "Electronic card" means a card purchased from a licensed
10establishment, licensed fraternal establishment, licensed
11veterans establishment, licensed truck stop establishment, or
12licensed large truck stop establishment for use in that
13establishment as a substitute for cash in the conduct of
14gaming on a video gaming terminal.
15    "Electronic voucher" means a voucher printed by an
16electronic video game machine that is redeemable in the
17licensed establishment for which it was issued.
18    "In-location bonus jackpot" means one or more video gaming
19terminals at a single licensed establishment that allows for
20wagers placed on such video gaming terminals to contribute to
21a cumulative maximum jackpot of up to $10,000.
22    "Terminal operator" means an individual, partnership,
23corporation, or limited liability company that is licensed
24under this Act and that owns, services, and maintains video
25gaming terminals for placement in licensed establishments,
26licensed truck stop establishments, licensed large truck stop

 

 

10200HB3136sam002- 60 -LRB102 14595 AMC 30243 a

1establishments, licensed fraternal establishments, or licensed
2veterans establishments.
3    "Licensed technician" means an individual who is licensed
4under this Act to repair, service, and maintain video gaming
5terminals.
6    "Licensed terminal handler" means a person, including but
7not limited to an employee or independent contractor working
8for a manufacturer, distributor, supplier, technician, or
9terminal operator, who is licensed under this Act to possess
10or control a video gaming terminal or to have access to the
11inner workings of a video gaming terminal. A licensed terminal
12handler does not include an individual, partnership,
13corporation, or limited liability company defined as a
14manufacturer, distributor, supplier, technician, or terminal
15operator under this Act.
16    "Manufacturer" means an individual, partnership,
17corporation, or limited liability company that is licensed
18under this Act and that manufactures or assembles video gaming
19terminals.
20    "Supplier" means an individual, partnership, corporation,
21or limited liability company that is licensed under this Act
22to supply major components or parts to video gaming terminals
23to licensed terminal operators.
24    "Net terminal income" means money put into a video gaming
25terminal minus credits paid out to players.
26    "Video gaming terminal" means any electronic video game

 

 

10200HB3136sam002- 61 -LRB102 14595 AMC 30243 a

1machine that, upon insertion of cash, electronic cards or
2vouchers, or any combination thereof, is available to play or
3simulate the play of a video game, including but not limited to
4video poker, line up, and blackjack, as authorized by the
5Board utilizing a video display and microprocessors in which
6the player may receive free games or credits that can be
7redeemed for cash. The term does not include a machine that
8directly dispenses coins, cash, or tokens or is for amusement
9purposes only.
10    "Licensed establishment" means any licensed retail
11establishment where alcoholic liquor is drawn, poured, mixed,
12or otherwise served for consumption on the premises, whether
13the establishment operates on a nonprofit or for-profit basis.
14"Licensed establishment" includes any such establishment that
15has a contractual relationship with an inter-track wagering
16location licensee licensed under the Illinois Horse Racing Act
17of 1975, provided any contractual relationship shall not
18include any transfer or offer of revenue from the operation of
19video gaming under this Act to any licensee licensed under the
20Illinois Horse Racing Act of 1975. Provided, however, that the
21licensed establishment that has such a contractual
22relationship with an inter-track wagering location licensee
23may not, itself, be (i) an inter-track wagering location
24licensee, (ii) the corporate parent or subsidiary of any
25licensee licensed under the Illinois Horse Racing Act of 1975,
26or (iii) the corporate subsidiary of a corporation that is

 

 

10200HB3136sam002- 62 -LRB102 14595 AMC 30243 a

1also the corporate parent or subsidiary of any licensee
2licensed under the Illinois Horse Racing Act of 1975.
3"Licensed establishment" does not include a facility operated
4by an organization licensee, an inter-track wagering licensee,
5or an inter-track wagering location licensee licensed under
6the Illinois Horse Racing Act of 1975 or a riverboat licensed
7under the Illinois Gambling Act, except as provided in this
8paragraph. The changes made to this definition by Public Act
998-587 are declarative of existing law.
10    "Licensed fraternal establishment" means the location
11where a qualified fraternal organization that derives its
12charter from a national fraternal organization regularly
13meets.
14    "Licensed veterans establishment" means the location where
15a qualified veterans organization that derives its charter
16from a national veterans organization regularly meets.
17    "Licensed truck stop establishment" means a facility (i)
18that is at least a 3-acre facility with a convenience store,
19(ii) with separate diesel islands for fueling commercial motor
20vehicles, (iii) that sells at retail more than 10,000 gallons
21of diesel or biodiesel fuel per month, and (iv) with parking
22spaces for commercial motor vehicles. "Commercial motor
23vehicles" has the same meaning as defined in Section 18b-101
24of the Illinois Vehicle Code. The requirement of item (iii) of
25this paragraph may be met by showing that estimated future
26sales or past sales average at least 10,000 gallons per month.

 

 

10200HB3136sam002- 63 -LRB102 14595 AMC 30243 a

1    "Licensed large truck stop establishment" means a facility
2located within 3 road miles from a freeway interchange, as
3measured in accordance with the Department of Transportation's
4rules regarding the criteria for the installation of business
5signs: (i) that is at least a 3-acre facility with a
6convenience store, (ii) with separate diesel islands for
7fueling commercial motor vehicles, (iii) that sells at retail
8more than 50,000 gallons of diesel or biodiesel fuel per
9month, and (iv) with parking spaces for commercial motor
10vehicles. "Commercial motor vehicles" has the same meaning as
11defined in Section 18b-101 of the Illinois Vehicle Code. The
12requirement of item (iii) of this paragraph may be met by
13showing that estimated future sales or past sales average at
14least 50,000 gallons per month.
15    "Sales agent and broker" means an individual, partnership,
16corporation, limited liability company, or other business
17entity engaged in the solicitation or receipt of business from
18current or potential licensed establishments, licensed
19fraternal establishments, licensed veterans establishments,
20licensed truck stop establishments, or licensed large truck
21stop establishments either on an employment or contractual
22basis.
23(Source: P.A. 101-31, eff. 6-28-19.)
 
24    (230 ILCS 40/25)
25    Sec. 25. Restriction of licensees.

 

 

10200HB3136sam002- 64 -LRB102 14595 AMC 30243 a

1    (a) Manufacturer. A person may not be licensed as a
2manufacturer of a video gaming terminal in Illinois unless the
3person has a valid manufacturer's license issued under this
4Act. A manufacturer may only sell video gaming terminals for
5use in Illinois to persons having a valid distributor's
6license.
7    (b) Distributor. A person may not sell, distribute, or
8lease or market a video gaming terminal in Illinois unless the
9person has a valid distributor's license issued under this
10Act. A distributor may only sell video gaming terminals for
11use in Illinois to persons having a valid distributor's or
12terminal operator's license.
13    (c) Terminal operator. A person may not own, maintain, or
14place a video gaming terminal unless he has a valid terminal
15operator's license issued under this Act. A terminal operator
16may only place video gaming terminals for use in Illinois in
17licensed establishments, licensed truck stop establishments,
18licensed large truck stop establishments, licensed fraternal
19establishments, and licensed veterans establishments. No
20terminal operator may give anything of value, including but
21not limited to a loan or financing arrangement, to a licensed
22establishment, licensed truck stop establishment, licensed
23large truck stop establishment, licensed fraternal
24establishment, or licensed veterans establishment as any
25incentive or inducement to locate video terminals in that
26establishment. Of the after-tax profits from a video gaming

 

 

10200HB3136sam002- 65 -LRB102 14595 AMC 30243 a

1terminal, 50% shall be paid to the terminal operator and 50%
2shall be paid to the licensed establishment, licensed truck
3stop establishment, licensed large truck stop establishment,
4licensed fraternal establishment, or licensed veterans
5establishment, notwithstanding any agreement to the contrary.
6A video terminal operator that violates one or more
7requirements of this subsection is guilty of a Class 4 felony
8and is subject to termination of his or her license by the
9Board.
10    (d) Licensed technician. A person may not service,
11maintain, or repair a video gaming terminal in this State
12unless he or she (1) has a valid technician's license issued
13under this Act, (2) is a terminal operator, or (3) is employed
14by a terminal operator, distributor, or manufacturer.
15    (d-5) Licensed terminal handler. No person, including, but
16not limited to, an employee or independent contractor working
17for a manufacturer, distributor, supplier, technician, or
18terminal operator licensed pursuant to this Act, shall have
19possession or control of a video gaming terminal, or access to
20the inner workings of a video gaming terminal, unless that
21person possesses a valid terminal handler's license issued
22under this Act.
23    (d-10) Solicitation of use agreements. A person may not
24solicit the signing of a use agreement on behalf of a terminal
25operator or enter into a use agreement as agent of a terminal
26operator unless that person either has a valid sales agent and

 

 

10200HB3136sam002- 66 -LRB102 14595 AMC 30243 a

1broker license issued under this Act or owns, manages, or
2significantly influences or controls the terminal operator.
3    (e) Licensed establishment. No video gaming terminal may
4be placed in any licensed establishment, licensed veterans
5establishment, licensed truck stop establishment, licensed
6large truck stop establishment, or licensed fraternal
7establishment unless the owner or agent of the owner of the
8licensed establishment, licensed veterans establishment,
9licensed truck stop establishment, licensed large truck stop
10establishment, or licensed fraternal establishment has entered
11into a written use agreement with the terminal operator for
12placement of the terminals. A copy of the use agreement shall
13be on file in the terminal operator's place of business and
14available for inspection by individuals authorized by the
15Board. A licensed establishment, licensed truck stop
16establishment, licensed veterans establishment, or licensed
17fraternal establishment may operate up to 6 video gaming
18terminals on its premises at any time. A licensed large truck
19stop establishment may operate up to 10 video gaming terminals
20on its premises at any time.
21    (f) (Blank).
22    (g) Financial interest restrictions. As used in this Act,
23"substantial interest" in a partnership, a corporation, an
24organization, an association, a business, or a limited
25liability company means:
26        (A) When, with respect to a sole proprietorship, an

 

 

10200HB3136sam002- 67 -LRB102 14595 AMC 30243 a

1    individual or his or her spouse owns, operates, manages,
2    or conducts, directly or indirectly, the organization,
3    association, or business, or any part thereof; or
4        (B) When, with respect to a partnership, the
5    individual or his or her spouse shares in any of the
6    profits, or potential profits, of the partnership
7    activities; or
8        (C) When, with respect to a corporation, an individual
9    or his or her spouse is an officer or director, or the
10    individual or his or her spouse is a holder, directly or
11    beneficially, of 5% or more of any class of stock of the
12    corporation; or
13        (D) When, with respect to an organization not covered
14    in (A), (B) or (C) above, an individual or his or her
15    spouse is an officer or manages the business affairs, or
16    the individual or his or her spouse is the owner of or
17    otherwise controls 10% or more of the assets of the
18    organization; or
19        (E) When an individual or his or her spouse furnishes
20    5% or more of the capital, whether in cash, goods, or
21    services, for the operation of any business, association,
22    or organization during any calendar year; or
23        (F) When, with respect to a limited liability company,
24    an individual or his or her spouse is a member, or the
25    individual or his or her spouse is a holder, directly or
26    beneficially, of 5% or more of the membership interest of

 

 

10200HB3136sam002- 68 -LRB102 14595 AMC 30243 a

1    the limited liability company.
2    For purposes of this subsection (g), "individual" includes
3all individuals or their spouses whose combined interest would
4qualify as a substantial interest under this subsection (g)
5and whose activities with respect to an organization,
6association, or business are so closely aligned or coordinated
7as to constitute the activities of a single entity.
8    (h) Location restriction. A licensed establishment,
9licensed truck stop establishment, licensed large truck stop
10establishment, licensed fraternal establishment, or licensed
11veterans establishment that is (i) located within 1,000 feet
12of a facility operated by an organization licensee licensed
13under the Illinois Horse Racing Act of 1975 or the home dock of
14a riverboat licensed under the Illinois Gambling Act or (ii)
15located within 100 feet of a school or a place of worship under
16the Religious Corporation Act, is ineligible to operate a
17video gaming terminal. The location restrictions in this
18subsection (h) do not apply if (A) a facility operated by an
19organization licensee, a school, or a place of worship moves
20to or is established within the restricted area after a
21licensed establishment, licensed truck stop establishment,
22licensed large truck stop establishment, licensed fraternal
23establishment, or licensed veterans establishment becomes
24licensed under this Act or (B) a school or place of worship
25moves to or is established within the restricted area after a
26licensed establishment, licensed truck stop establishment,

 

 

10200HB3136sam002- 69 -LRB102 14595 AMC 30243 a

1licensed large truck stop establishment, licensed fraternal
2establishment, or licensed veterans establishment obtains its
3original liquor license. For the purpose of this subsection,
4"school" means an elementary or secondary public school, or an
5elementary or secondary private school registered with or
6recognized by the State Board of Education.
7    Notwithstanding the provisions of this subsection (h), the
8Board may waive the requirement that a licensed establishment,
9licensed truck stop establishment, licensed large truck stop
10establishment, licensed fraternal establishment, or licensed
11veterans establishment not be located within 1,000 feet from a
12facility operated by an organization licensee licensed under
13the Illinois Horse Racing Act of 1975 or the home dock of a
14riverboat licensed under the Illinois Gambling Act. The Board
15shall not grant such waiver if there is any common ownership or
16control, shared business activity, or contractual arrangement
17of any type between the establishment and the organization
18licensee or owners licensee of a riverboat. The Board shall
19adopt rules to implement the provisions of this paragraph.
20    (h-5) Restrictions on licenses in malls. The Board shall
21not grant an application to become a licensed video gaming
22location if the Board determines that granting the application
23would more likely than not cause a terminal operator,
24individually or in combination with other terminal operators,
25licensed video gaming location, or other person or entity, to
26operate the video gaming terminals in 2 or more licensed video

 

 

10200HB3136sam002- 70 -LRB102 14595 AMC 30243 a

1gaming locations as a single video gaming operation.
2        (1) In making determinations under this subsection
3    (h-5), factors to be considered by the Board shall
4    include, but not be limited to, the following:
5            (A) the physical aspects of the location;
6            (B) the ownership, control, or management of the
7        location;
8            (C) any arrangements, understandings, or
9        agreements, written or otherwise, among or involving
10        any persons or entities that involve the conducting of
11        any video gaming business or the sharing of costs or
12        revenues; and
13            (D) the manner in which any terminal operator or
14        other related entity markets, advertises, or otherwise
15        describes any location or locations to any other
16        person or entity or to the public.
17        (2) The Board shall presume, subject to rebuttal, that
18    the granting of an application to become a licensed video
19    gaming location within a mall will cause a terminal
20    operator, individually or in combination with other
21    persons or entities, to operate the video gaming terminals
22    in 2 or more licensed video gaming locations as a single
23    video gaming operation if the Board determines that
24    granting the license would create a local concentration of
25    licensed video gaming locations.
26    For the purposes of this subsection (h-5):

 

 

10200HB3136sam002- 71 -LRB102 14595 AMC 30243 a

1    "Mall" means a building, or adjoining or connected
2buildings, containing 4 or more separate locations.
3    "Video gaming operation" means the conducting of video
4gaming and all related activities.
5    "Location" means a space within a mall containing a
6separate business, a place for a separate business, or a place
7subject to a separate leasing arrangement by the mall owner.
8    "Licensed video gaming location" means a licensed
9establishment, licensed fraternal establishment, licensed
10veterans establishment, licensed truck stop establishment, or
11licensed large truck stop.
12    "Local concentration of licensed video gaming locations"
13means that the combined number of licensed video gaming
14locations within a mall exceed half of the separate locations
15within the mall.
16    (i) Undue economic concentration. In addition to
17considering all other requirements under this Act, in deciding
18whether to approve the operation of video gaming terminals by
19a terminal operator in a location, the Board shall consider
20the impact of any economic concentration of such operation of
21video gaming terminals. The Board shall not allow a terminal
22operator to operate video gaming terminals if the Board
23determines such operation will result in undue economic
24concentration. For purposes of this Section, "undue economic
25concentration" means that a terminal operator would have such
26actual or potential influence over video gaming terminals in

 

 

10200HB3136sam002- 72 -LRB102 14595 AMC 30243 a

1Illinois as to:
2        (1) substantially impede or suppress competition among
3    terminal operators;
4        (2) adversely impact the economic stability of the
5    video gaming industry in Illinois; or
6        (3) negatively impact the purposes of the Video Gaming
7    Act.
8    The Board shall adopt rules concerning undue economic
9concentration with respect to the operation of video gaming
10terminals in Illinois. The rules shall include, but not be
11limited to, (i) limitations on the number of video gaming
12terminals operated by any terminal operator within a defined
13geographic radius and (ii) guidelines on the discontinuation
14of operation of any such video gaming terminals the Board
15determines will cause undue economic concentration.
16    (j) The provisions of the Illinois Antitrust Act are fully
17and equally applicable to the activities of any licensee under
18this Act.
19(Source: P.A. 101-31, eff. 6-28-19.)
 
20    (230 ILCS 40/27)
21    Sec. 27. Prohibition of video gaming by political
22subdivision.
23    (a) A municipality may pass an ordinance prohibiting video
24gaming within the corporate limits of the municipality. A
25county board may, for the unincorporated area of the county,

 

 

10200HB3136sam002- 73 -LRB102 14595 AMC 30243 a

1pass an ordinance prohibiting video gaming within the
2unincorporated area of the county.
3    (b) On and after July 1, 2022, a qualified fraternal
4organization that derives its charter from a national
5fraternal organization and a qualified veterans organization
6that derives its charter from a national veterans organization
7shall be eligible to apply to the Board for a license allowing
8video gaming as a licensed fraternal establishment or a
9licensed veterans establishment if the proposed fraternal
10establishment or veterans establishment is located in:
11        (1) a municipality having a population of not more
12    than 1,000,000 that has enacted an ordinance prohibiting
13    video gaming within the corporate limits; or
14        (2) a county having a population of not more than
15    1,000,000 that has enacted an ordinance prohibiting video
16    gaming within the unincorporated area of the county.
17    If the license is granted by the Board, then the licensed
18fraternal establishment or licensed veterans establishment may
19operate video gaming terminals pursuant to this Act.
20(Source: P.A. 96-34, eff. 7-13-09.)
 
21    (230 ILCS 40/30)
22    Sec. 30. Multiple types of licenses prohibited. A video
23gaming terminal manufacturer may not be licensed as a video
24gaming terminal operator or own, manage, or control a licensed
25establishment, licensed truck stop establishment, licensed

 

 

10200HB3136sam002- 74 -LRB102 14595 AMC 30243 a

1large truck stop establishment, licensed fraternal
2establishment, or licensed veterans establishment, and shall
3be licensed to sell only to persons having a valid
4distributor's license or, if the manufacturer also holds a
5valid distributor's license, to sell, distribute, lease, or
6market to persons having a valid terminal operator's license.
7A video gaming terminal distributor may not be licensed as a
8video gaming terminal operator or own, manage, or control a
9licensed establishment, licensed truck stop establishment,
10licensed large truck stop establishment, licensed fraternal
11establishment, or licensed veterans establishment, and shall
12only contract with a licensed terminal operator. A video
13gaming terminal operator may not be licensed as a video gaming
14terminal manufacturer or distributor or own, manage, or
15control a licensed establishment, licensed truck stop
16establishment, licensed large truck stop establishment,
17licensed fraternal establishment, or licensed veterans
18establishment, and shall be licensed only to contract with
19licensed distributors and licensed establishments, licensed
20truck stop establishments, licensed large truck stop
21establishments, licensed fraternal establishments, and
22licensed veterans establishments. An owner or manager of a
23licensed establishment, licensed truck stop establishment,
24licensed large truck stop establishment, licensed fraternal
25establishment, or licensed veterans establishment may not be
26licensed as a video gaming terminal manufacturer, distributor,

 

 

10200HB3136sam002- 75 -LRB102 14595 AMC 30243 a

1or operator, and shall only contract with a licensed operator
2to place and service this equipment. A sales agent and broker
3may not be licensed as a manufacturer, distributor, supplier,
4licensed establishment, licensed fraternal establishment,
5licensed veterans establishment, licensed truck stop
6establishment, or licensed large truck stop establishment.
7(Source: P.A. 101-31, eff. 6-28-19.)
 
8    (230 ILCS 40/45)
9    Sec. 45. Issuance of license.
10    (a) The burden is upon each applicant to demonstrate his
11suitability for licensure. Each video gaming terminal
12manufacturer, distributor, supplier, operator, handler,
13licensed establishment, licensed truck stop establishment,
14licensed large truck stop establishment, licensed fraternal
15establishment, and licensed veterans establishment shall be
16licensed by the Board. The Board may issue or deny a license
17under this Act to any person pursuant to the same criteria set
18forth in Section 9 of the Illinois Gambling Act.
19    (a-5) The Board shall not grant a license to a person who
20has facilitated, enabled, or participated in the use of
21coin-operated devices for gambling purposes or who is under
22the significant influence or control of such a person. For the
23purposes of this Act, "facilitated, enabled, or participated
24in the use of coin-operated amusement devices for gambling
25purposes" means that the person has been convicted of any

 

 

10200HB3136sam002- 76 -LRB102 14595 AMC 30243 a

1violation of Article 28 of the Criminal Code of 1961 or the
2Criminal Code of 2012. If there is pending legal action
3against a person for any such violation, then the Board shall
4delay the licensure of that person until the legal action is
5resolved.
6    (b) Each person seeking and possessing a license as a
7video gaming terminal manufacturer, distributor, supplier,
8operator, handler, licensed establishment, licensed truck stop
9establishment, licensed large truck stop establishment,
10licensed fraternal establishment, or licensed veterans
11establishment shall submit to a background investigation
12conducted by the Board with the assistance of the Illinois
13State Police or other law enforcement. To the extent that the
14corporate structure of the applicant allows, the background
15investigation shall include any or all of the following as the
16Board deems appropriate or as provided by rule for each
17category of licensure: (i) each beneficiary of a trust, (ii)
18each partner of a partnership, (iii) each member of a limited
19liability company, (iv) each director and officer of a
20publicly or non-publicly held corporation, (v) each
21stockholder of a non-publicly held corporation, (vi) each
22stockholder of 5% or more of a publicly held corporation, or
23(vii) each stockholder of 5% or more in a parent or subsidiary
24corporation.
25    (c) Each person seeking and possessing a license as a
26video gaming terminal manufacturer, distributor, supplier,

 

 

10200HB3136sam002- 77 -LRB102 14595 AMC 30243 a

1operator, handler, licensed establishment, licensed truck stop
2establishment, licensed large truck stop establishment,
3licensed fraternal establishment, or licensed veterans
4establishment shall disclose the identity of every person,
5association, trust, corporation, or limited liability company
6having a greater than 1% direct or indirect pecuniary interest
7in the video gaming terminal operation for which the license
8is sought. If the disclosed entity is a trust, the application
9shall disclose the names and addresses of the beneficiaries;
10if a corporation, the names and addresses of all stockholders
11and directors; if a limited liability company, the names and
12addresses of all members; or if a partnership, the names and
13addresses of all partners, both general and limited.
14    (d) No person may be licensed as a video gaming terminal
15manufacturer, distributor, supplier, operator, handler,
16licensed establishment, licensed truck stop establishment,
17licensed large truck stop establishment, licensed fraternal
18establishment, or licensed veterans establishment if that
19person has been found by the Board to:
20        (1) have a background, including a criminal record,
21    reputation, habits, social or business associations, or
22    prior activities that pose a threat to the public
23    interests of the State or to the security and integrity of
24    video gaming;
25        (2) create or enhance the dangers of unsuitable,
26    unfair, or illegal practices, methods, and activities in

 

 

10200HB3136sam002- 78 -LRB102 14595 AMC 30243 a

1    the conduct of video gaming; or
2        (3) present questionable business practices and
3    financial arrangements incidental to the conduct of video
4    gaming activities.
5    (e) Any applicant for any license under this Act has the
6burden of proving his or her qualifications to the
7satisfaction of the Board. The Board may adopt rules to
8establish additional qualifications and requirements to
9preserve the integrity and security of video gaming in this
10State.
11    (f) A non-refundable application fee shall be paid at the
12time an application for a license is filed with the Board in
13the following amounts:
14        (1) Manufacturer..........................$5,000
15        (2) Distributor...........................$5,000
16        (3) Terminal operator.....................$5,000
17        (4) Supplier..............................$2,500
18        (5) Technician..............................$100
19        (6) Terminal Handler........................$100
20        (7) Licensed establishment, licensed truck stop
21    establishment, licensed large truck stop establishment,
22    licensed fraternal establishment, or licensed
23    veterans establishment...............................$100
24        (8) Sales agent and broker.......................$100
25    (g) The Board shall establish an annual fee for each
26license not to exceed the following:

 

 

10200HB3136sam002- 79 -LRB102 14595 AMC 30243 a

1        (1) Manufacturer.........................$10,000
2        (2) Distributor..........................$10,000
3        (3) Terminal operator.....................$5,000
4        (4) Supplier..............................$2,000
5        (5) Technician..............................$100
6        (6) Licensed establishment, licensed truck stop
7    establishment, licensed large truck stop establishment,
8    licensed fraternal establishment, or licensed
9    veterans establishment..........................$100
10        (7) Video gaming terminal...................$100
11        (8) Terminal Handler............................$100 
12        (9) Sales agent and broker.......................$100
13    (h) A terminal operator and a licensed establishment,
14licensed truck stop establishment, licensed large truck stop
15establishment, licensed fraternal establishment, or licensed
16veterans establishment shall equally split the fees specified
17in item (7) of subsection (g).
18(Source: P.A. 101-31, eff. 6-28-19; 102-538, eff. 8-20-21.)
 
19    (230 ILCS 40/50)
20    Sec. 50. Distribution of license fees.
21    (a) All fees collected under Section 45 shall be deposited
22into the State Gaming Fund.
23    (b) Fees collected under Section 45 shall be used as
24follows:
25        (1) Twenty-five percent shall be paid, subject to

 

 

10200HB3136sam002- 80 -LRB102 14595 AMC 30243 a

1    appropriation by the General Assembly, to the Department
2    of Human Services for administration of programs for the
3    treatment of compulsive gambling.
4        (2) Seventy-five percent shall be used for the
5    administration of this Act.
6    (c) All initial terminal handler, technician, sales agent
7and broker, licensed establishment, licensed truck stop
8establishment, licensed large truck establishment, licensed
9fraternal establishment, and licensed fraternal establishment
10licenses issued by the Board under this Act shall be issued for
112 years and are renewable for additional 2-year periods
12annually unless sooner cancelled or terminated. Except as
13provided by Section 8.1 of the Illinois Gambling Act, all
14initial manufacturer, distributor, supplier, and terminal
15operator licenses issued by the Board under this Act shall be
16issued for 4 years and are renewable for additional 4-year
17periods unless sooner cancelled or terminated. No license
18issued under this Act is transferable or assignable.
19(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09.)
 
20    (230 ILCS 40/65)
21    Sec. 65. Fees. A Except as provided in this Section, a
22non-home rule unit of government may not impose any fee for the
23operation of a video gaming terminal in excess of $250 $25 per
24year. The City of Rockford may not impose any fee for the
25operation of a video gaming terminal in excess of $250 per

 

 

10200HB3136sam002- 81 -LRB102 14595 AMC 30243 a

1year.
2    The cost of any fee imposed under this Section by any home
3rule unit of government or non-home rule unit of government
4shall be shared equally between the terminal operator and the
5applicable licensed establishment, licensed veterans
6establishment, licensed truck stop establishment, licensed
7large truck stop establishment, or licensed fraternal
8establishment under this Act.
9(Source: P.A. 101-337, eff. 1-1-20.)
 
10    (230 ILCS 40/90 new)
11    Sec. 90. Regulation by State.
12    (a) The licensure, registration, and regulation of
13manufacturers, distributors, terminal operators, licensed
14technicians, licensed terminal handlers, licensed
15establishments, licensed veterans establishments, licensed
16truck stop establishments, licensed large truck stop
17establishments, and licensed fraternal establishments under
18this Act, and the imposition of fees and other charges under
19this Act in connection with such licensure, registration, and
20regulation, are powers and functions of the State. No non-home
21rule unit may license, register, or otherwise regulate, or
22impose any type of fee or any other charge upon, a
23manufacturer, distributor, terminal operator, licensed
24technician, licensed terminal handler, licensed establishment,
25licensed veterans establishment, licensed truck stop

 

 

10200HB3136sam002- 82 -LRB102 14595 AMC 30243 a

1establishment, licensed large truck stop establishment, or
2licensed fraternal establishment.
3    (b) The licensure, registration, and regulation of video
4gaming terminals under this Act are powers and functions of
5the State. No non-home rule unit may license, register, or
6otherwise regulate video gaming terminals.
7    (c) No home rule municipality or non-home rule unit may
8impose any type of tax upon a: (i) manufacturer, distributor,
9terminal operator, licensed technician, licensed terminal
10handler, licensed establishment, licensed veterans
11establishment, licensed truck stop establishment, licensed
12large truck stop establishment, or licensed fraternal
13establishment or their respective authorized activities under
14this Act; (ii) video gaming terminal; (iii) user or player of
15any video gaming terminals; or (iv) other use, play, or
16operation of video gaming terminals authorized under this Act
17by any person or entity. This subsection (c) is a denial and
18limitation of home rule powers and functions under subsection
19(g) of Section 6 of Article VII of the Illinois Constitution.
20    (d) Any home rule municipality that has adopted an
21ordinance imposing an amusement tax on persons who participate
22in the playing of video gaming terminals on or before November
231, 2021 may continue to impose such amusement tax pursuant to
24such ordinance but shall not increase, expand, or extend the
25tax or tax rate on such persons participating in playing video
26gaming terminals in excess of that tax or rate set forth in

 

 

10200HB3136sam002- 83 -LRB102 14595 AMC 30243 a

1such ordinance and shall not otherwise impose any other tax
2upon any entity or person identified in subsection (c). This
3subsection (d) is a denial and limitation of home rule powers
4and functions under subsection (g) of Section 6 of Article VII
5of the Illinois Constitution.
 
6    Section 35. The Sports Wagering Act is amended by changing
7Sections 25-10, 25-15, 25-25, 25-30, 25-35, 25-40, and 25-50
8as follows:
 
9    (230 ILCS 45/25-10)
10    Sec. 25-10. Definitions. As used in this Act:
11    "Adjusted gross sports wagering receipts" means a master
12sports wagering licensee's gross sports wagering receipts,
13less winnings paid to wagerers in such games.
14    "Athlete" means any current or former professional athlete
15or collegiate athlete.
16    "Board" means the Illinois Gaming Board.
17    "Covered persons" includes athletes; umpires, referees,
18and officials; personnel associated with clubs, teams,
19leagues, and athletic associations; medical professionals
20(including athletic trainers) who provide services to athletes
21and players; and the family members and associates of these
22persons where required to serve the purposes of this Act.
23    "Department" means the Department of the Lottery.
24    "Gaming facility" means a facility at which gambling

 

 

10200HB3136sam002- 84 -LRB102 14595 AMC 30243 a

1operations are conducted under the Illinois Gambling Act,
2pari-mutuel wagering is conducted under the Illinois Horse
3Racing Act of 1975, or sports wagering is conducted under this
4Act.
5    "Official league data" means statistics, results,
6outcomes, and other data related to a sports event obtained
7pursuant to an agreement with the relevant sports governing
8body, or an entity expressly authorized by the sports
9governing body to provide such information to licensees, that
10authorizes the use of such data for determining the outcome of
11tier 2 sports wagers on such sports events.
12    "Organization licensee" has the meaning given to that term
13in the Illinois Horse Racing Act of 1975.
14    "Owners licensee" means the holder of an owners license
15under the Illinois Gambling Act.
16    "Person" means an individual, partnership, committee,
17association, corporation, or any other organization or group
18of persons.
19    "Personal biometric data" means an athlete's information
20derived from DNA, heart rate, blood pressure, perspiration
21rate, internal or external body temperature, hormone levels,
22glucose levels, hydration levels, vitamin levels, bone
23density, muscle density, and sleep patterns.
24    "Prohibited conduct" includes any statement, action, and
25other communication intended to influence, manipulate, or
26control a betting outcome of a sporting contest or of any

 

 

10200HB3136sam002- 85 -LRB102 14595 AMC 30243 a

1individual occurrence or performance in a sporting contest in
2exchange for financial gain or to avoid financial or physical
3harm. "Prohibited conduct" includes statements, actions, and
4communications made to a covered person by a third party, such
5as a family member or through social media. "Prohibited
6conduct" does not include statements, actions, or
7communications made or sanctioned by a team or sports
8governing body.
9    "Qualified applicant" means an applicant for a license
10under this Act whose application meets the mandatory minimum
11qualification criteria as required by the Board.
12    "Sporting contest" means a sports event or game on which
13the State allows sports wagering to occur under this Act.
14    "Sports event" means a professional sport or athletic
15event, a collegiate sport or athletic event, a motor race
16event, or any other event or competition of relative skill
17authorized by the Board under this Act.
18    "Sports facility" means a facility that hosts sports
19events and holds a seating capacity greater than 17,000
20persons, except in a county with a population of more than
211,000,000, a seating capacity greater than 10,000 persons.
22    "Sports governing body" means the organization that
23prescribes final rules and enforces codes of conduct with
24respect to a sports event and participants therein.
25    "Sports wagering" means accepting wagers on sports events
26or portions of sports events, or on the individual performance

 

 

10200HB3136sam002- 86 -LRB102 14595 AMC 30243 a

1statistics of athletes in a sports event or combination of
2sports events, by any system or method of wagering, including,
3but not limited to, in person or over the Internet through
4websites and on mobile devices. "Sports wagering" includes,
5but is not limited to, single-game bets, teaser bets, parlays,
6over-under, moneyline, pools, exchange wagering, in-game
7wagering, in-play bets, proposition bets, and straight bets.
8    "Sports wagering account" means a financial record
9established by a master sports wagering licensee for an
10individual patron in which the patron may deposit and withdraw
11funds for sports wagering and other authorized purchases and
12to which the master sports wagering licensee may credit
13winnings or other amounts due to that patron or authorized by
14that patron.
15    "Tier 1 sports wager" means a sports wager that is
16determined solely by the final score or final outcome of the
17sports event and is placed before the sports event has begun.
18    "Tier 2 sports wager" means a sports wager that is not a
19tier 1 sports wager.
20    "Wager" means a sum of money or thing of value risked on an
21uncertain occurrence.
22    "Winning bidder" means a qualified applicant for a master
23sports wagering license chosen through the competitive
24selection process under Section 25-45.
25(Source: P.A. 101-31, eff. 6-28-19.)
 

 

 

10200HB3136sam002- 87 -LRB102 14595 AMC 30243 a

1    (230 ILCS 45/25-15)
2    Sec. 25-15. Board duties and powers.
3    (a) Except for sports wagering conducted under Section
425-70, the Board shall have the authority to regulate the
5conduct of sports wagering under this Act.
6    (b) The Board may adopt any rules the Board considers
7necessary for the successful implementation, administration,
8and enforcement of this Act, except for Section 25-70. Rules
9proposed by the Board may be adopted as emergency rules
10pursuant to Section 5-45 of the Illinois Administrative
11Procedure Act.
12    (c) The Board shall levy and collect all fees, surcharges,
13civil penalties, and monthly taxes on adjusted gross sports
14wagering receipts imposed by this Act and deposit all moneys
15into the Sports Wagering Fund, except as otherwise provided
16under this Act.
17    (d) The Board may exercise any other powers necessary to
18enforce the provisions of this Act that it regulates and the
19rules of the Board.
20    (e) The Board shall adopt rules for a license to be
21employed by a master sports wagering licensee when the
22employee works in a designated gaming area that has sports
23wagering or performs duties in furtherance of or associated
24with the operation of sports wagering by the master sports
25wagering licensee (occupational license), which shall require
26an annual license fee of $250. However, occupational licenses

 

 

10200HB3136sam002- 88 -LRB102 14595 AMC 30243 a

1issued under the Illinois Gambling Act for employees of an
2owners license or organization gaming licensee, once granted,
3are considered equivalent licenses to work in sports wagering
4positions located at the same gaming facility. License fees
5shall be deposited into the State Gaming Fund and used for the
6administration of this Act.
7    (f) The Board may require that licensees share, in real
8time and at the sports wagering account level, information
9regarding a wagerer, amount and type of wager, the time the
10wager was placed, the location of the wager, including the
11Internet protocol address, if applicable, the outcome of the
12wager, and records of abnormal wagering activity. Information
13shared under this subsection (f) must be submitted in the form
14and manner as required by rule. If a sports governing body has
15notified the Board that real-time information sharing for
16wagers placed on its sports events is necessary and desirable,
17licensees may share the same information in the form and
18manner required by the Board by rule with the sports governing
19body or its designee with respect to wagers on its sports
20events subject to applicable federal, State, or local laws or
21regulations, including, without limitation, privacy laws and
22regulations. Such information may be provided in anonymized
23form and may be used by a sports governing body solely for
24integrity purposes. For purposes of this subsection (f),
25"real-time" means a commercially reasonable periodic interval.
26    (g) A master sports wagering licensee, professional sports

 

 

10200HB3136sam002- 89 -LRB102 14595 AMC 30243 a

1team, league, or association, sports governing body, or
2institution of higher education may submit to the Board in
3writing a request to prohibit a type or form of wagering if the
4master sports wagering licensee, professional sports team,
5league, or association, sports governing body, or institution
6of higher education believes that such wagering by type or
7form is contrary to public policy, unfair to consumers, or
8affects the integrity of a particular sport or the sports
9betting industry. The Board shall grant the request upon a
10demonstration of good cause from the requester and
11consultation with licensees. The Board shall respond to a
12request pursuant to this subsection (g) concerning a
13particular event before the start of the event or, if it is not
14feasible to respond before the start of the event, as soon as
15practicable.
16    (h) The Board and master sports wagering licensees may
17cooperate with investigations conducted by sports governing
18bodies or law enforcement agencies, including, but not limited
19to, providing and facilitating the provision of account-level
20betting information and audio or video files relating to
21persons placing wagers.
22    (i) A master sports wagering licensee shall make
23commercially reasonable efforts to promptly notify the Board
24any information relating to:
25        (1) criminal or disciplinary proceedings commenced
26    against the master sports wagering licensee in connection

 

 

10200HB3136sam002- 90 -LRB102 14595 AMC 30243 a

1    with its operations;
2        (2) abnormal wagering activity or patterns that may
3    indicate a concern with the integrity of a sports event or
4    sports events;
5        (3) any potential breach of the relevant sports
6    governing body's internal rules and codes of conduct
7    pertaining to sports wagering that a licensee has
8    knowledge of;
9        (4) any other conduct that corrupts a wagering outcome
10    of a sports event or sports events for purposes of
11    financial gain, including match fixing; and
12        (5) suspicious or illegal wagering activities,
13    including use of funds derived from illegal activity,
14    wagers to conceal or launder funds derived from illegal
15    activity, using agents to place wagers, and using false
16    identification.
17    A master sports wagering licensee shall also make
18commercially reasonable efforts to promptly report information
19relating to conduct described in paragraphs (2), (3), and (4)
20of this subsection (i) to the relevant sports governing body.
21(Source: P.A. 101-31, eff. 6-28-19.)
 
22    (230 ILCS 45/25-25)
23    Sec. 25-25. Sports wagering authorized.
24    (a) Notwithstanding any provision of law to the contrary,
25the operation of sports wagering is only lawful when conducted

 

 

10200HB3136sam002- 91 -LRB102 14595 AMC 30243 a

1in accordance with the provisions of this Act and the rules of
2the Illinois Gaming Board and the Department of the Lottery.
3    (b) A person placing a wager under this Act shall be at
4least 21 years of age.
5    (c) A licensee under this Act may not accept a wager on a
6minor league sports event.
7    (d) Except as otherwise provided in this Section, a A
8licensee under this Act may not accept a wager for a sports
9event involving an Illinois collegiate team.
10    (d-5) Beginning on the effective date of this amendatory
11Act of the 102nd General Assembly until July 1, 2023, a
12licensee under this Act may accept a wager for a sports event
13involving an Illinois collegiate team if:
14        (1) the wager is a tier 1 wager;
15        (2) the wager is not related to an individual
16    athlete's performance; and
17        (3) the wager is made in person instead of over the
18    Internet or through a mobile application.
19    (e) A licensee under this Act may only accept a wager from
20a person physically located in the State.
21    (f) Master sports wagering licensees may use any data
22source for determining the results of all tier 1 sports
23wagers.
24    (g) A sports governing body headquartered in the United
25States may notify the Board that it desires to supply official
26league data to master sports wagering licensees for

 

 

10200HB3136sam002- 92 -LRB102 14595 AMC 30243 a

1determining the results of tier 2 sports wagers. Such
2notification shall be made in the form and manner as the Board
3may require. If a sports governing body does not notify the
4Board of its desire to supply official league data, a master
5sports wagering licensee may use any data source for
6determining the results of any and all tier 2 sports wagers on
7sports contests for that sports governing body.
8    Within 30 days of a sports governing body notifying the
9Board, master sports wagering licensees shall use only
10official league data to determine the results of tier 2 sports
11wagers on sports events sanctioned by that sports governing
12body, unless: (1) the sports governing body or designee cannot
13provide a feed of official league data to determine the
14results of a particular type of tier 2 sports wager, in which
15case master sports wagering licensees may use any data source
16for determining the results of the applicable tier 2 sports
17wager until such time as such data feed becomes available on
18commercially reasonable terms; or (2) a master sports wagering
19licensee can demonstrate to the Board that the sports
20governing body or its designee cannot provide a feed of
21official league data to the master sports wagering licensee on
22commercially reasonable terms. During the pendency of the
23Board's determination, such master sports wagering licensee
24may use any data source for determining the results of any and
25all tier 2 sports wagers.
26    (h) A licensee under this Act may not accept wagers on a

 

 

10200HB3136sam002- 93 -LRB102 14595 AMC 30243 a

1kindergarten through 12th grade sports event.
2(Source: P.A. 101-31, eff. 6-28-19.)
 
3    (230 ILCS 45/25-30)
4    Sec. 25-30. Master sports wagering license issued to an
5organization licensee.
6    (a) An organization licensee may apply to the Board for a
7master sports wagering license. To the extent permitted by
8federal and State law, the Board shall actively seek to
9achieve racial, ethnic, and geographic diversity when issuing
10master sports wagering licenses to organization licensees and
11encourage minority-owned businesses, women-owned businesses,
12veteran-owned businesses, and businesses owned by persons with
13disabilities to apply for licensure. Additionally, the report
14published under subsection (m) of Section 25-45 shall impact
15the issuance of the master sports wagering license to the
16extent permitted by federal and State law.
17    For the purposes of this subsection (a), "minority-owned
18business", "women-owned business", and "business owned by
19persons with disabilities" have the meanings given to those
20terms in Section 2 of the Business Enterprise for Minorities,
21Women, and Persons with Disabilities Act.
22    (b) Except as otherwise provided in this subsection (b),
23the initial license fee for a master sports wagering license
24for an organization licensee is 5% of its handle from the
25preceding calendar year or the lowest amount that is required

 

 

10200HB3136sam002- 94 -LRB102 14595 AMC 30243 a

1to be paid as an initial license fee by an owners licensee
2under subsection (b) of Section 25-35, whichever is greater.
3No initial license fee shall exceed $10,000,000. An
4organization licensee licensed on the effective date of this
5Act shall pay the initial master sports wagering license fee
6by July 1, 2021. For an organization licensee licensed after
7the effective date of this Act, the master sports wagering
8license fee shall be $5,000,000, but the amount shall be
9adjusted 12 months after the organization licensee begins
10racing operations based on 5% of its handle from the first 12
11months of racing operations. The master sports wagering
12license is valid for 4 years.
13    (c) The organization licensee may renew the master sports
14wagering license for a period of 4 years by paying a $1,000,000
15renewal fee to the Board.
16    (d) An organization licensee issued a master sports
17wagering license may conduct sports wagering:
18        (1) at its facility at which inter-track wagering is
19    conducted pursuant to an inter-track wagering license
20    under the Illinois Horse Racing Act of 1975;
21        (2) at 3 inter-track wagering locations if the
22    inter-track wagering location licensee from which it
23    derives its license is an organization licensee that is
24    issued a master sports wagering license; and
25        (3) over the Internet or through a mobile application.
26    (e) The sports wagering offered over the Internet or

 

 

10200HB3136sam002- 95 -LRB102 14595 AMC 30243 a

1through a mobile application shall only be offered under
2either the same brand as the organization licensee is
3operating under or a brand owned by a direct or indirect
4holding company that owns at least an 80% interest in that
5organization licensee on the effective date of this Act.
6    (f) Until issuance of the first license under Section
725-45 or March 5, 2022, whichever occurs first, an individual
8must create a sports wagering account in person at a facility
9under paragraph (1) or (2) of subsection (d) to participate in
10sports wagering offered over the Internet or through a mobile
11application.
12(Source: P.A. 101-31, eff. 6-28-19; 101-648, eff. 6-30-20.)
 
13    (230 ILCS 45/25-35)
14    Sec. 25-35. Master sports wagering license issued to an
15owners licensee.
16    (a) An owners licensee may apply to the Board for a master
17sports wagering license. To the extent permitted by federal
18and State law, the Board shall actively seek to achieve
19racial, ethnic, and geographic diversity when issuing master
20sports wagering licenses to owners licensees and encourage
21minority-owned businesses, women-owned businesses,
22veteran-owned businesses, and businesses owned by persons with
23disabilities to apply for licensure. Additionally, the report
24published under subsection (m) of Section 25-45 shall impact
25the issuance of the master sports wagering license to the

 

 

10200HB3136sam002- 96 -LRB102 14595 AMC 30243 a

1extent permitted by federal and State law.
2    For the purposes of this subsection (a), "minority-owned
3business", "women-owned business", and "business owned by
4persons with disabilities" have the meanings given to those
5terms in Section 2 of the Business Enterprise for Minorities,
6Women, and Persons with Disabilities Act.
7    (b) Except as otherwise provided in subsection (b-5), the
8initial license fee for a master sports wagering license for
9an owners licensee is 5% of its adjusted gross receipts from
10the preceding calendar year. No initial license fee shall
11exceed $10,000,000. An owners licensee licensed on the
12effective date of this Act shall pay the initial master sports
13wagering license fee by July 1, 2021. The master sports
14wagering license is valid for 4 years.
15    (b-5) For an owners licensee licensed after the effective
16date of this Act, the master sports wagering license fee shall
17be $5,000,000, but the amount shall be adjusted 12 months
18after the owners licensee begins gambling operations under the
19Illinois Gambling Act based on 5% of its adjusted gross
20receipts from the first 12 months of gambling operations. The
21master sports wagering license is valid for 4 years.
22    (c) The owners licensee may renew the master sports
23wagering license for a period of 4 years by paying a $1,000,000
24renewal fee to the Board.
25    (d) An owners licensee issued a master sports wagering
26license may conduct sports wagering:

 

 

10200HB3136sam002- 97 -LRB102 14595 AMC 30243 a

1        (1) at its facility in this State that is authorized
2    to conduct gambling operations under the Illinois Gambling
3    Act; and
4        (2) over the Internet or through a mobile application.
5    (e) The sports wagering offered over the Internet or
6through a mobile application shall only be offered under
7either the same brand as the owners licensee is operating
8under or a brand owned by a direct or indirect holding company
9that owns at least an 80% interest in that owners licensee on
10the effective date of this Act.
11    (f) Until issuance of the first license under Section
1225-45 or March 5, 2022, whichever occurs first, an individual
13must create a sports wagering account in person at a facility
14under paragraph (1) of subsection (d) to participate in sports
15wagering offered over the Internet or through a mobile
16application.
17(Source: P.A. 101-31, eff. 6-28-19; 101-648, eff. 6-30-20.)
 
18    (230 ILCS 45/25-40)
19    Sec. 25-40. Master sports wagering license issued to a
20sports facility.
21    (a) As used in this Section, "designee" means a master
22sports wagering licensee under Section 25-30, 25-35, or 25-45
23or a management services provider licensee.
24    (b) A sports facility or a designee contracted to operate
25sports wagering at or within a 5-block radius of the sports

 

 

10200HB3136sam002- 98 -LRB102 14595 AMC 30243 a

1facility may apply to the Board for a master sports wagering
2license. To the extent permitted by federal and State law, the
3Board shall actively seek to achieve racial, ethnic, and
4geographic diversity when issuing master sports wagering
5licenses to sports facilities or their designees and encourage
6minority-owned businesses, women-owned businesses,
7veteran-owned businesses, and businesses owned by persons with
8disabilities to apply for licensure. Additionally, the report
9published under subsection (m) of Section 25-45 shall impact
10the issuance of the master sports wagering license to the
11extent permitted by federal and State law.
12    For the purposes of this subsection (b), "minority-owned
13business", "women-owned business", and "business owned by
14persons with disabilities" have the meanings given to those
15terms in Section 2 of the Business Enterprise for Minorities,
16Women, and Persons with Disabilities Act.
17    (c) The Board may issue up to 7 master sports wagering
18licenses to sports facilities or their designees that meet the
19requirements for licensure as determined by rule by the Board.
20If more than 7 qualified applicants apply for a master sports
21wagering license under this Section, the licenses shall be
22granted in the order in which the applications were received.
23If a license is denied, revoked, or not renewed, the Board may
24begin a new application process and issue a license under this
25Section in the order in which the application was received.
26    (d) The initial license fee for a master sports wagering

 

 

10200HB3136sam002- 99 -LRB102 14595 AMC 30243 a

1license for a sports facility is $10,000,000. The master
2sports wagering license is valid for 4 years.
3    (e) The sports facility or its designee may renew the
4master sports wagering license for a period of 4 years by
5paying a $1,000,000 renewal fee to the Board.
6    (f) A sports facility or its designee issued a master
7sports wagering license may conduct sports wagering at or
8within a 5-block radius of the sports facility.
9    (g) A sports facility or its designee issued a master
10sports wagering license may conduct sports wagering over the
11Internet within the sports facility or within a 5-block radius
12of the sports facility.
13    (h) The sports wagering offered by a sports facility or
14its designee over the Internet or through a mobile application
15shall be offered under the same brand as the sports facility is
16operating under, the brand the designee is operating under, or
17a combination thereof.
18    (i) Until issuance of the first license under Section
1925-45 or March 5, 2022, whichever occurs first, an individual
20must register in person at a sports facility or the designee's
21facility to participate in sports wagering offered over the
22Internet or through a mobile application.
23(Source: P.A. 101-31, eff. 6-28-19.)
 
24    (230 ILCS 45/25-50)
25    Sec. 25-50. Supplier license.

 

 

10200HB3136sam002- 100 -LRB102 14595 AMC 30243 a

1    (a) The Board may issue a supplier license to a person to
2sell or lease sports wagering equipment, systems, or other
3gaming items to conduct sports wagering and offer services
4related to the equipment or other gaming items and data to a
5master sports wagering licensee while the license is active.
6    (b) The Board may adopt rules establishing additional
7requirements for a supplier and any system or other equipment
8utilized for sports wagering. The Board may accept licensing
9by another jurisdiction that it specifically determines to
10have similar licensing requirements as evidence the applicant
11meets supplier licensing requirements.
12    (c) An applicant for a supplier license shall demonstrate
13that the equipment, system, or services that the applicant
14plans to offer to the master sports wagering licensee conforms
15to standards established by the Board and applicable State
16law. The Board may accept approval by another jurisdiction
17that it specifically determines have similar equipment
18standards as evidence the applicant meets the standards
19established by the Board and applicable State law.
20    (d) Applicants shall pay to the Board a nonrefundable
21license and application fee in the amount of $150,000. Except
22as provided by Section 8.1 of the Illinois Gambling Act, the
23initial supplier license shall be issued for 4 years unless
24sooner canceled or terminated. After the initial period 4-year
25term, the Board shall renew supplier licenses for additional
264-year periods unless sooner canceled or terminated annually

 

 

10200HB3136sam002- 101 -LRB102 14595 AMC 30243 a

1thereafter. Renewal of a supplier license shall be granted to
2a renewal applicant who has continued to comply with all
3applicable statutory and regulatory requirements, upon
4submission of the Board-issued renewal form and payment of a
5$150,000 renewal fee. Beginning 4 years after issuance of the
6initial supplier license, a holder of a supplier license shall
7pay a $150,000 annual license fee.
8    (e) A supplier shall submit to the Board a list of all
9sports wagering equipment and services sold, delivered, or
10offered to a master sports wagering licensee in this State, as
11required by the Board, all of which must be tested and approved
12by an independent testing laboratory approved by the Board. A
13master sports wagering licensee may continue to use supplies
14acquired from a licensed supplier, even if a supplier's
15license expires or is otherwise canceled, unless the Board
16finds a defect in the supplies.
17(Source: P.A. 101-31, eff. 6-28-19.)
 
18    Section 97. Severability. The provisions of this Act are
19severable under Section 1.31 of the Statute on Statutes.
 
20    Section 99. Effective date. This Act takes effect upon
21becoming law.".