HB4710 103RD GENERAL ASSEMBLY

 


 
103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4710

 

Introduced 2/6/2024, by Rep. Ann M. Williams

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 5/26  from Ch. 8, par. 37-26
230 ILCS 5/27  from Ch. 8, par. 37-27
230 ILCS 5/28.1
230 ILCS 5/31.1  from Ch. 8, par. 37-31.1
230 ILCS 5/15.1 rep.
230 ILCS 5/34.3 rep.

    Amends the Illinois Horse Racing Act of 1975. Provides that the Illinois Racing Board may appoint the Director of Mutuels to serve as the State director for inter-track wagering and simulcast wagering by inter-track wagering licensees and inter-track wagering location licensees. Provides that the pari-mutuel tax imposed at all pari-mutuel wagering facilities and on advance deposit wagering shall be remitted to the Board (rather than the Department of Revenue). Provides that the Board shall distribute contributed funds to a charitable organization on a schedule determined by the Board, based on the charitable organization's estimated expenditures related to the grant (rather than by December 31 of each year). Provides that any funds not expended by the grantee in a grant year shall be distributed to the charitable organization or charitable organizations selected in the next grant year after the funds are recovered. Repeals provisions authorizing the Board to make daily temporary deposits of certain fees and provisions requiring the Board and the Department of Agriculture to establish a program to conduct drug testing on horses at county fairs. Makes other changes. Effective immediately.


LRB103 36574 CES 66683 b

 

 

A BILL FOR

 

HB4710LRB103 36574 CES 66683 b

1    AN ACT concerning gaming.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Horse Racing Act of 1975 is
5amended by changing Sections 26, 27, 28.1, and 31.1 as
6follows:
 
7    (230 ILCS 5/26)  (from Ch. 8, par. 37-26)
8    Sec. 26. Wagering.
9    (a) Any licensee may conduct and supervise the pari-mutuel
10system of wagering, as defined in Section 3.12 of this Act, on
11horse races conducted by an Illinois organization licensee or
12conducted at a racetrack located in another state or country
13in accordance with subsection (g) of Section 26 of this Act.
14Subject to the prior consent of the Board, licensees may
15supplement any pari-mutuel pool in order to guarantee a
16minimum distribution. Such pari-mutuel method of wagering
17shall not, under any circumstances if conducted under the
18provisions of this Act, be held or construed to be unlawful,
19other statutes of this State to the contrary notwithstanding.
20Subject to rules for advance wagering promulgated by the
21Board, any licensee may accept wagers in advance of the day the
22race wagered upon occurs.
23    (b) Except for those gaming activities for which a license

 

 

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1is obtained and authorized under the Illinois Lottery Law, the
2Charitable Games Act, the Raffles and Poker Runs Act, or the
3Illinois Gambling Act, no other method of betting, pool
4making, wagering or gambling shall be used or permitted by the
5licensee. Each licensee may retain, subject to the payment of
6all applicable taxes and purses, an amount not to exceed 17% of
7all money wagered under subsection (a) of this Section, except
8as may otherwise be permitted under this Act.
9    (b-5) An individual may place a wager under the
10pari-mutuel system from any licensed location authorized under
11this Act provided that wager is electronically recorded in the
12manner described in Section 3.12 of this Act. Any wager made
13electronically by an individual while physically on the
14premises of a licensee shall be deemed to have been made at the
15premises of that licensee.
16    (c) (Blank).
17    (c-5) The sum held by any licensee for payment of
18outstanding pari-mutuel tickets, if unclaimed prior to
19December 31 of the next year, shall be retained by the licensee
20for payment of such tickets until that date. Within 10 days
21thereafter, the balance of such sum remaining unclaimed, less
22any uncashed supplements contributed by such licensee for the
23purpose of guaranteeing minimum distributions of any
24pari-mutuel pool, shall be evenly distributed to the purse
25account of the organization licensee and the organization
26licensee, except that the balance of the sum of all

 

 

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1outstanding pari-mutuel tickets generated from simulcast
2wagering and inter-track wagering by an organization licensee
3located in a county with a population in excess of 230,000 and
4borders the Mississippi River or any licensee that derives its
5license from that organization licensee shall be evenly
6distributed to the purse account of the organization licensee
7and the organization licensee.
8    (d) A pari-mutuel ticket shall be honored until December
931 of the next calendar year, and the licensee shall pay the
10same and may charge the amount thereof against unpaid money
11similarly accumulated on account of pari-mutuel tickets not
12presented for payment.
13    (e) No licensee shall knowingly permit any minor, other
14than an employee of such licensee or an owner, trainer,
15jockey, driver, or employee thereof, to be admitted during a
16racing program unless accompanied by a parent or guardian, or
17any minor to be a patron of the pari-mutuel system of wagering
18conducted or supervised by it. The admission of any
19unaccompanied minor, other than an employee of the licensee or
20an owner, trainer, jockey, driver, or employee thereof at a
21race track is a Class C misdemeanor.
22    (f) Notwithstanding the other provisions of this Act, an
23organization licensee may contract with an entity in another
24state or country to permit any legal wagering entity in
25another state or country to accept wagers solely within such
26other state or country on races conducted by the organization

 

 

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1licensee in this State. Beginning January 1, 2000, these
2wagers shall not be subject to State taxation. Until January
31, 2000, when the out-of-State entity conducts a pari-mutuel
4pool separate from the organization licensee, a privilege tax
5equal to 7 1/2% of all monies received by the organization
6licensee from entities in other states or countries pursuant
7to such contracts is imposed on the organization licensee, and
8such privilege tax shall be remitted to the Department of
9Revenue within 48 hours of receipt of the moneys from the
10simulcast. When the out-of-State entity conducts a combined
11pari-mutuel pool with the organization licensee, the tax shall
12be 10% of all monies received by the organization licensee
13with 25% of the receipts from this 10% tax to be distributed to
14the county in which the race was conducted.
15    An organization licensee may permit one or more of its
16races to be utilized for pari-mutuel wagering at one or more
17locations in other states and may transmit audio and visual
18signals of races the organization licensee conducts to one or
19more locations outside the State or country and may also
20permit pari-mutuel pools in other states or countries to be
21combined with its gross or net wagering pools or with wagering
22pools established by other states.
23    (g) A host track may accept interstate simulcast wagers on
24horse races conducted in other states or countries and shall
25control the number of signals and types of breeds of racing in
26its simulcast program, subject to the disapproval of the

 

 

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1Board. The Board may prohibit a simulcast program only if it
2finds that the simulcast program is clearly adverse to the
3integrity of racing. The host track simulcast program shall
4include the signal of live racing of all organization
5licensees. All non-host licensees and advance deposit wagering
6licensees shall carry the signal of and accept wagers on live
7racing of all organization licensees. Advance deposit wagering
8licensees shall not be permitted to accept out-of-state wagers
9on any Illinois signal provided pursuant to this Section
10without the approval and consent of the organization licensee
11providing the signal. For one year after August 15, 2014 (the
12effective date of Public Act 98-968), non-host licensees may
13carry the host track simulcast program and shall accept wagers
14on all races included as part of the simulcast program of horse
15races conducted at race tracks located within North America
16upon which wagering is permitted. For a period of one year
17after August 15, 2014 (the effective date of Public Act
1898-968), on horse races conducted at race tracks located
19outside of North America, non-host licensees may accept wagers
20on all races included as part of the simulcast program upon
21which wagering is permitted. Beginning August 15, 2015 (one
22year after the effective date of Public Act 98-968), non-host
23licensees may carry the host track simulcast program and shall
24accept wagers on all races included as part of the simulcast
25program upon which wagering is permitted. All organization
26licensees shall provide their live signal to all advance

 

 

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1deposit wagering licensees for a simulcast commission fee not
2to exceed 6% of the advance deposit wagering licensee's
3Illinois handle on the organization licensee's signal without
4prior approval by the Board. The Board may adopt rules under
5which it may permit simulcast commission fees in excess of 6%.
6The Board shall adopt rules limiting the interstate commission
7fees charged to an advance deposit wagering licensee. The
8Board shall adopt rules regarding advance deposit wagering on
9interstate simulcast races that shall reflect, among other
10things, the General Assembly's desire to maximize revenues to
11the State, horsemen purses, and organization licensees.
12However, organization licensees providing live signals
13pursuant to the requirements of this subsection (g) may
14petition the Board to withhold their live signals from an
15advance deposit wagering licensee if the organization licensee
16discovers and the Board finds reputable or credible
17information that the advance deposit wagering licensee is
18under investigation by another state or federal governmental
19agency, the advance deposit wagering licensee's license has
20been suspended in another state, or the advance deposit
21wagering licensee's license is in revocation proceedings in
22another state. The organization licensee's provision of their
23live signal to an advance deposit wagering licensee under this
24subsection (g) pertains to wagers placed from within Illinois.
25Advance deposit wagering licensees may place advance deposit
26wagering terminals at wagering facilities as a convenience to

 

 

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1customers. The advance deposit wagering licensee shall not
2charge or collect any fee from purses for the placement of the
3advance deposit wagering terminals. The costs and expenses of
4the host track and non-host licensees associated with
5interstate simulcast wagering, other than the interstate
6commission fee, shall be borne by the host track and all
7non-host licensees incurring these costs. The interstate
8commission fee shall not exceed 5% of Illinois handle on the
9interstate simulcast race or races without prior approval of
10the Board. The Board shall promulgate rules under which it may
11permit interstate commission fees in excess of 5%. The
12interstate commission fee and other fees charged by the
13sending racetrack, including, but not limited to, satellite
14decoder fees, shall be uniformly applied to the host track and
15all non-host licensees.
16    Notwithstanding any other provision of this Act, an
17organization licensee, with the consent of the horsemen
18association representing the largest number of owners,
19trainers, jockeys, or standardbred drivers who race horses at
20that organization licensee's racing meeting, may maintain a
21system whereby advance deposit wagering may take place or an
22organization licensee, with the consent of the horsemen
23association representing the largest number of owners,
24trainers, jockeys, or standardbred drivers who race horses at
25that organization licensee's racing meeting, may contract with
26another person to carry out a system of advance deposit

 

 

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1wagering. Such consent may not be unreasonably withheld. Only
2with respect to an appeal to the Board that consent for an
3organization licensee that maintains its own advance deposit
4wagering system is being unreasonably withheld, the Board
5shall issue a final order within 30 days after initiation of
6the appeal, and the organization licensee's advance deposit
7wagering system may remain operational during that 30-day
8period. The actions of any organization licensee who conducts
9advance deposit wagering or any person who has a contract with
10an organization licensee to conduct advance deposit wagering
11who conducts advance deposit wagering on or after January 1,
122013 and prior to June 7, 2013 (the effective date of Public
13Act 98-18) taken in reliance on the changes made to this
14subsection (g) by Public Act 98-18 are hereby validated,
15provided payment of all applicable pari-mutuel taxes are
16remitted to the Board. All advance deposit wagers placed from
17within Illinois must be placed through a Board-approved
18advance deposit wagering licensee; no other entity may accept
19an advance deposit wager from a person within Illinois. All
20advance deposit wagering is subject to any rules adopted by
21the Board. The Board may adopt rules necessary to regulate
22advance deposit wagering through the use of emergency
23rulemaking in accordance with Section 5-45 of the Illinois
24Administrative Procedure Act. The General Assembly finds that
25the adoption of rules to regulate advance deposit wagering is
26deemed an emergency and necessary for the public interest,

 

 

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1safety, and welfare. An advance deposit wagering licensee may
2retain all moneys as agreed to by contract with an
3organization licensee. Any moneys retained by the organization
4licensee from advance deposit wagering, not including moneys
5retained by the advance deposit wagering licensee, shall be
6paid 50% to the organization licensee's purse account and 50%
7to the organization licensee. With the exception of any
8organization licensee that is owned by a publicly traded
9company that is incorporated in a state other than Illinois
10and advance deposit wagering licensees under contract with
11such organization licensees, organization licensees that
12maintain advance deposit wagering systems and advance deposit
13wagering licensees that contract with organization licensees
14shall provide sufficiently detailed monthly accountings to the
15horsemen association representing the largest number of
16owners, trainers, jockeys, or standardbred drivers who race
17horses at that organization licensee's racing meeting so that
18the horsemen association, as an interested party, can confirm
19the accuracy of the amounts paid to the purse account at the
20horsemen association's affiliated organization licensee from
21advance deposit wagering. If more than one breed races at the
22same race track facility, then the 50% of the moneys to be paid
23to an organization licensee's purse account shall be allocated
24among all organization licensees' purse accounts operating at
25that race track facility proportionately based on the actual
26number of host days that the Board grants to that breed at that

 

 

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1race track facility in the current calendar year. To the
2extent any fees from advance deposit wagering conducted in
3Illinois for wagers in Illinois or other states have been
4placed in escrow or otherwise withheld from wagers pending a
5determination of the legality of advance deposit wagering, no
6action shall be brought to declare such wagers or the
7disbursement of any fees previously escrowed illegal.
8        (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
9    inter-track wagering licensee other than the host track
10    may supplement the host track simulcast program with
11    additional simulcast races or race programs, provided that
12    between January 1 and the third Friday in February of any
13    year, inclusive, if no live thoroughbred racing is
14    occurring in Illinois during this period, only
15    thoroughbred races may be used for supplemental interstate
16    simulcast purposes. The Board shall withhold approval for
17    a supplemental interstate simulcast only if it finds that
18    the simulcast is clearly adverse to the integrity of
19    racing. A supplemental interstate simulcast may be
20    transmitted from an inter-track wagering licensee to its
21    affiliated non-host licensees. The interstate commission
22    fee for a supplemental interstate simulcast shall be paid
23    by the non-host licensee and its affiliated non-host
24    licensees receiving the simulcast.
25        (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
26    inter-track wagering licensee other than the host track

 

 

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

 

 

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1    may combine its gross or net pools with pools at the
2    sending racetracks pursuant to rules established by the
3    Board. All licensees combining their gross pools at a
4    sending racetrack shall adopt the takeout percentages of
5    the sending racetrack. A licensee may also establish a
6    separate pool and takeout structure for wagering purposes
7    on races conducted at race tracks outside of the State of
8    Illinois. The licensee may permit pari-mutuel wagers
9    placed in other states or countries to be combined with
10    its gross or net wagering pools or other wagering pools.
11        (5) After the payment of the interstate commission fee
12    (except for the interstate commission fee on a
13    supplemental interstate simulcast, which shall be paid by
14    the host track and by each non-host licensee through the
15    host track) and all applicable State and local taxes,
16    except as provided in subsection (g) of Section 27 of this
17    Act, the remainder of moneys retained from simulcast
18    wagering pursuant to this subsection (g), and Section 26.2
19    shall be divided as follows:
20            (A) For interstate simulcast wagers made at a host
21        track, 50% to the host track and 50% to purses at the
22        host track.
23            (B) For wagers placed on interstate simulcast
24        races, supplemental simulcasts as defined in
25        subparagraphs (1) and (2), and separately pooled races
26        conducted outside of the State of Illinois made at a

 

 

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1        non-host licensee, 25% to the host track, 25% to the
2        non-host licensee, and 50% to the purses at the host
3        track.
4        (6) Notwithstanding any provision in this Act to the
5    contrary, non-host licensees who derive their licenses
6    from a track located in a county with a population in
7    excess of 230,000 and that borders the Mississippi River
8    may receive supplemental interstate simulcast races at all
9    times subject to Board approval, which shall be withheld
10    only upon a finding that a supplemental interstate
11    simulcast is clearly adverse to the integrity of racing.
12        (7) Effective January 1, 2017, notwithstanding any
13    provision of this Act to the contrary, after payment of
14    all applicable State and local taxes and interstate
15    commission fees, non-host licensees who derive their
16    licenses from a track located in a county with a
17    population in excess of 230,000 and that borders the
18    Mississippi River shall retain 50% of the retention from
19    interstate simulcast wagers and shall pay 50% to purses at
20    the track from which the non-host licensee derives its
21    license.
22        (7.1) Notwithstanding any other provision of this Act
23    to the contrary, if no standardbred racing is conducted at
24    a racetrack located in Madison County during any calendar
25    year beginning on or after January 1, 2002, and the
26    licensee that conducts horse racing at that racetrack

 

 

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1    requests from the Board at least as many racing dates as
2    were conducted in calendar year 2000, all moneys derived
3    by that racetrack from simulcast wagering and inter-track
4    wagering that (1) are to be used for purses and (2) are
5    generated between the hours of 6:30 p.m. and 6:30 a.m.
6    during that calendar year shall be paid as follows:
7            (A) Eighty percent If the licensee that conducts
8        horse racing at that racetrack requests from the Board
9        at least as many racing dates as were conducted in
10        calendar year 2000, 80% shall be paid to its
11        thoroughbred purse account; and
12            (B) Twenty percent shall be deposited into the
13        Illinois Colt Stakes Purse Distribution Fund and shall
14        be paid to purses for standardbred races for Illinois
15        conceived and foaled horses conducted at any county
16        fairgrounds. The moneys deposited into the Fund
17        pursuant to this subparagraph (B) shall be deposited
18        within 2 weeks after the day they were generated,
19        shall be in addition to and not in lieu of any other
20        moneys paid to standardbred purses under this Act, and
21        shall not be commingled with other moneys paid into
22        that Fund. The moneys deposited pursuant to this
23        subparagraph (B) shall be allocated as provided by the
24        Department of Agriculture, with the advice and
25        assistance of the Illinois Standardbred Breeders Fund
26        Advisory Board.

 

 

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

 

 

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1        Breeders Fund Advisory Board. The moneys deposited
2        into the Illinois Colt Stakes Purse Distribution Fund
3        pursuant to this subparagraph (B) shall be deposited
4        within 2 weeks after the day they were generated,
5        shall be in addition to and not in lieu of any other
6        moneys paid to thoroughbred purses under this Act, and
7        shall not be commingled with other moneys deposited
8        into that Fund.
9        (8) Notwithstanding any provision in this Act to the
10    contrary, an organization licensee from a track located in
11    a county with a population in excess of 230,000 and that
12    borders the Mississippi River and its affiliated non-host
13    licensees shall not be entitled to share in any retention
14    generated on racing, inter-track wagering, or simulcast
15    wagering at any other Illinois wagering facility.
16        (8.1) Notwithstanding any provisions in this Act to
17    the contrary, if 2 organization licensees are conducting
18    standardbred race meetings concurrently between the hours
19    of 6:30 p.m. and 6:30 a.m., after payment of all
20    applicable State and local taxes and interstate commission
21    fees, the remainder of the amount retained from simulcast
22    wagering otherwise attributable to the host track and to
23    host track purses shall be split daily between the 2
24    organization licensees and the purses at the tracks of the
25    2 organization licensees, respectively, based on each
26    organization licensee's share of the total live handle for

 

 

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1    that day, provided that this provision shall not apply to
2    any non-host licensee that derives its license from a
3    track located in a county with a population in excess of
4    230,000 and that borders the Mississippi River.
5        (9) (Blank).
6        (10) (Blank).
7        (11) (Blank).
8        (12) The Board shall have authority to compel all host
9    tracks to receive the simulcast of any or all races
10    conducted at the Springfield or DuQuoin State fairgrounds
11    and include all such races as part of their simulcast
12    programs.
13        (13) Notwithstanding any other provision of this Act,
14    in the event that the total Illinois pari-mutuel handle on
15    Illinois horse races at all wagering facilities in any
16    calendar year is less than 75% of the total Illinois
17    pari-mutuel handle on Illinois horse races at all such
18    wagering facilities for calendar year 1994, then each
19    wagering facility that has an annual total Illinois
20    pari-mutuel handle on Illinois horse races that is less
21    than 75% of the total Illinois pari-mutuel handle on
22    Illinois horse races at such wagering facility for
23    calendar year 1994, shall be permitted to receive, from
24    any amount otherwise payable to the purse account at the
25    race track with which the wagering facility is affiliated
26    in the succeeding calendar year, an amount equal to 2% of

 

 

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1    the differential in total Illinois pari-mutuel handle on
2    Illinois horse races at the wagering facility between that
3    calendar year in question and 1994 provided, however, that
4    a wagering facility shall not be entitled to any such
5    payment until the Board certifies in writing to the
6    wagering facility the amount to which the wagering
7    facility is entitled and a schedule for payment of the
8    amount to the wagering facility, based on: (i) the racing
9    dates awarded to the race track affiliated with the
10    wagering facility during the succeeding year; (ii) the
11    sums available or anticipated to be available in the purse
12    account of the race track affiliated with the wagering
13    facility for purses during the succeeding year; and (iii)
14    the need to ensure reasonable purse levels during the
15    payment period. The Board's certification shall be
16    provided no later than January 31 of the succeeding year.
17    In the event a wagering facility entitled to a payment
18    under this paragraph (13) is affiliated with a race track
19    that maintains purse accounts for both standardbred and
20    thoroughbred racing, the amount to be paid to the wagering
21    facility shall be divided between each purse account pro
22    rata, based on the amount of Illinois handle on Illinois
23    standardbred and thoroughbred racing respectively at the
24    wagering facility during the previous calendar year.
25    Annually, the General Assembly shall appropriate
26    sufficient funds from the General Revenue Fund to the

 

 

HB4710- 19 -LRB103 36574 CES 66683 b

1    Department of Agriculture for payment into the
2    thoroughbred and standardbred horse racing purse accounts
3    at Illinois pari-mutuel tracks. The amount paid to each
4    purse account shall be the amount certified by the
5    Illinois Racing Board in January to be transferred from
6    each account to each eligible racing facility in
7    accordance with the provisions of this Section. Beginning
8    in the calendar year in which an organization licensee
9    that is eligible to receive payment under this paragraph
10    (13) begins to receive funds from gaming pursuant to an
11    organization gaming license issued under the Illinois
12    Gambling Act, the amount of the payment due to all
13    wagering facilities licensed under that organization
14    licensee under this paragraph (13) shall be the amount
15    certified by the Board in January of that year. An
16    organization licensee and its related wagering facilities
17    shall no longer be able to receive payments under this
18    paragraph (13) beginning in the year subsequent to the
19    first year in which the organization licensee begins to
20    receive funds from gaming pursuant to an organization
21    gaming license issued under the Illinois Gambling Act.
22    (h) The Board may approve and license the conduct of
23inter-track wagering and simulcast wagering by inter-track
24wagering licensees and inter-track wagering location licensees
25subject to the following terms and conditions:
26        (1) Any person licensed to conduct a race meeting (i)

 

 

HB4710- 20 -LRB103 36574 CES 66683 b

1    at a track where 60 or more days of racing were conducted
2    during the immediately preceding calendar year or where
3    over the 5 immediately preceding calendar years an average
4    of 30 or more days of racing were conducted annually may be
5    issued an inter-track wagering license; (ii) at a track
6    located in a county that is bounded by the Mississippi
7    River, which has a population of less than 150,000
8    according to the 1990 decennial census, and an average of
9    at least 60 days of racing per year between 1985 and 1993
10    may be issued an inter-track wagering license; (iii) at a
11    track awarded standardbred racing dates; or (iv) at a
12    track located in Madison County that conducted at least
13    100 days of live racing during the immediately preceding
14    calendar year may be issued an inter-track wagering
15    license, unless a lesser schedule of live racing is the
16    result of (A) weather, unsafe track conditions, or other
17    acts of God; (B) an agreement between the organization
18    licensee and the associations representing the largest
19    number of owners, trainers, jockeys, or standardbred
20    drivers who race horses at that organization licensee's
21    racing meeting; or (C) a finding by the Board of
22    extraordinary circumstances and that it was in the best
23    interest of the public and the sport to conduct fewer than
24    100 days of live racing. Any such person having operating
25    control of the racing facility may receive inter-track
26    wagering location licenses. An eligible race track located

 

 

HB4710- 21 -LRB103 36574 CES 66683 b

1    in a county that has a population of more than 230,000 and
2    that is bounded by the Mississippi River may establish up
3    to 9 inter-track wagering locations, an eligible race
4    track located in Stickney Township in Cook County may
5    establish up to 16 inter-track wagering locations, and an
6    eligible race track located in Palatine Township in Cook
7    County may establish up to 18 inter-track wagering
8    locations. An eligible racetrack conducting standardbred
9    racing may have up to 16 inter-track wagering locations.
10    An application for said license shall be filed with the
11    Board prior to such dates as may be fixed by the Board.
12    With an application for an inter-track wagering location
13    license there shall be delivered to the Board a certified
14    check or bank draft payable to the order of the Board for
15    an amount equal to $500. The application shall be on forms
16    prescribed and furnished by the Board. The application
17    shall comply with all other rules, regulations and
18    conditions imposed by the Board in connection therewith.
19        (2) The Board shall examine the applications with
20    respect to their conformity with this Act and the rules
21    and regulations imposed by the Board. If found to be in
22    compliance with the Act and rules and regulations of the
23    Board, the Board may then issue a license to conduct
24    inter-track wagering and simulcast wagering to such
25    applicant. All such applications shall be acted upon by
26    the Board at a meeting to be held on such date as may be

 

 

HB4710- 22 -LRB103 36574 CES 66683 b

1    fixed by the Board.
2        (3) In granting licenses to conduct inter-track
3    wagering and simulcast wagering, the Board shall give due
4    consideration to the best interests of the public, of
5    horse racing, and of maximizing revenue to the State.
6        (4) Prior to the issuance of a license to conduct
7    inter-track wagering and simulcast wagering, the applicant
8    shall file with the Board a bond payable to the State of
9    Illinois in the sum of $50,000, executed by the applicant
10    and a surety company or companies authorized to do
11    business in this State, and conditioned upon (i) the
12    payment by the licensee of all taxes due under Section 27
13    or 27.1 and any other monies due and payable under this
14    Act, and (ii) distribution by the licensee, upon
15    presentation of the winning ticket or tickets, of all sums
16    payable to the patrons of pari-mutuel pools.
17        (5) Each license to conduct inter-track wagering and
18    simulcast wagering shall specify the person to whom it is
19    issued, the dates on which such wagering is permitted, and
20    the track or location where the wagering is to be
21    conducted.
22        (6) All wagering under such license is subject to this
23    Act and to the rules and regulations from time to time
24    prescribed by the Board, and every such license issued by
25    the Board shall contain a recital to that effect.
26        (7) An inter-track wagering licensee or inter-track

 

 

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1    wagering location licensee may accept wagers at the track
2    or location where it is licensed, or as otherwise provided
3    under this Act.
4        (8) Inter-track wagering or simulcast wagering shall
5    not be conducted at any track less than 4 miles from a
6    track at which a racing meeting is in progress.
7        (8.1) Inter-track wagering location licensees who
8    derive their licenses from a particular organization
9    licensee shall conduct inter-track wagering and simulcast
10    wagering only at locations that are within 160 miles of
11    that race track where the particular organization licensee
12    is licensed to conduct racing. However, inter-track
13    wagering and simulcast wagering shall not be conducted by
14    those licensees at any location within 5 miles of any race
15    track at which a horse race meeting has been licensed in
16    the current year, unless the person having operating
17    control of such race track has given its written consent
18    to such inter-track wagering location licensees, which
19    consent must be filed with the Board at or prior to the
20    time application is made. In the case of any inter-track
21    wagering location licensee initially licensed after
22    December 31, 2013, inter-track wagering and simulcast
23    wagering shall not be conducted by those inter-track
24    wagering location licensees that are located outside the
25    City of Chicago at any location within 8 miles of any race
26    track at which a horse race meeting has been licensed in

 

 

HB4710- 24 -LRB103 36574 CES 66683 b

1    the current year, unless the person having operating
2    control of such race track has given its written consent
3    to such inter-track wagering location licensees, which
4    consent must be filed with the Board at or prior to the
5    time application is made.
6        (8.2) Inter-track wagering or simulcast wagering shall
7    not be conducted by an inter-track wagering location
8    licensee at any location within 100 feet of an existing
9    church, an existing elementary or secondary public school,
10    or an existing elementary or secondary private school
11    registered with or recognized by the State Board of
12    Education. The distance of 100 feet shall be measured to
13    the nearest part of any building used for worship
14    services, education programs, or conducting inter-track
15    wagering by an inter-track wagering location licensee, and
16    not to property boundaries. However, inter-track wagering
17    or simulcast wagering may be conducted at a site within
18    100 feet of a church or school if such church or school has
19    been erected or established after the Board issues the
20    original inter-track wagering location license at the site
21    in question. Inter-track wagering location licensees may
22    conduct inter-track wagering and simulcast wagering only
23    in areas that are zoned for commercial or manufacturing
24    purposes or in areas for which a special use has been
25    approved by the local zoning authority. However, no
26    license to conduct inter-track wagering and simulcast

 

 

HB4710- 25 -LRB103 36574 CES 66683 b

1    wagering shall be granted by the Board with respect to any
2    inter-track wagering location within the jurisdiction of
3    any local zoning authority which has, by ordinance or by
4    resolution, prohibited the establishment of an inter-track
5    wagering location within its jurisdiction. However,
6    inter-track wagering and simulcast wagering may be
7    conducted at a site if such ordinance or resolution is
8    enacted after the Board licenses the original inter-track
9    wagering location licensee for the site in question.
10        (9) (Blank).
11        (10) An inter-track wagering licensee or an
12    inter-track wagering location licensee may retain, subject
13    to the payment of the privilege taxes and the purses, an
14    amount not to exceed 17% of all money wagered. Each
15    program of racing conducted by each inter-track wagering
16    licensee or inter-track wagering location licensee shall
17    be considered a separate racing day for the purpose of
18    determining the daily handle and computing the privilege
19    tax or pari-mutuel tax on such daily handle as provided in
20    Section 27.
21        (10.1) Except as provided in subsection (g) of Section
22    27 of this Act, inter-track wagering location licensees
23    shall pay 1% of the pari-mutuel handle at each location to
24    the municipality in which such location is situated and 1%
25    of the pari-mutuel handle at each location to the county
26    in which such location is situated. In the event that an

 

 

HB4710- 26 -LRB103 36574 CES 66683 b

1    inter-track wagering location licensee is situated in an
2    unincorporated area of a county, such licensee shall pay
3    2% of the pari-mutuel handle from such location to such
4    county. Inter-track wagering location licensees must pay
5    the handle percentage required under this paragraph to the
6    municipality and county no later than the 20th of the
7    month following the month such handle was generated.
8        (10.2) Notwithstanding any other provision of this
9    Act, with respect to inter-track wagering at a race track
10    located in a county that has a population of more than
11    230,000 and that is bounded by the Mississippi River ("the
12    first race track"), or at a facility operated by an
13    inter-track wagering licensee or inter-track wagering
14    location licensee that derives its license from the
15    organization licensee that operates the first race track,
16    on races conducted at the first race track or on races
17    conducted at another Illinois race track and
18    simultaneously televised to the first race track or to a
19    facility operated by an inter-track wagering licensee or
20    inter-track wagering location licensee that derives its
21    license from the organization licensee that operates the
22    first race track, those moneys shall be allocated as
23    follows:
24            (A) That portion of all moneys wagered on
25        standardbred racing that is required under this Act to
26        be paid to purses shall be paid to purses for

 

 

HB4710- 27 -LRB103 36574 CES 66683 b

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

 

 

HB4710- 28 -LRB103 36574 CES 66683 b

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

 

 

HB4710- 29 -LRB103 36574 CES 66683 b

1    licensees, based on each licensee's pro rata share of the
2    total handle from inter-track wagering and simulcast
3    wagering for all inter-track wagering location licensees
4    during the calendar year in which this provision is
5    applicable; then (II) the amounts redistributed to each
6    inter-track wagering location licensee as described in
7    subpart (I) shall be further redistributed as provided in
8    subparagraph (B) of paragraph (5) of subsection (g) of
9    this Section 26 provided first, that the shares of those
10    amounts, which are to be redistributed to the host track
11    or to purses at the host track under subparagraph (B) of
12    paragraph (5) of subsection (g) of this Section 26 shall
13    be redistributed based on each host track's pro rata share
14    of the total inter-track wagering and simulcast wagering
15    handle at all host tracks during the calendar year in
16    question, and second, that any amounts redistributed as
17    described in part (I) to an inter-track wagering location
18    licensee that accepts wagers on races conducted by an
19    organization licensee that conducts a race meet in a
20    county with a population in excess of 230,000 and that
21    borders the Mississippi River shall be further
22    redistributed, effective January 1, 2017, as provided in
23    paragraph (7) of subsection (g) of this Section 26, with
24    the portion of that further redistribution allocated to
25    purses at that organization licensee to be divided between
26    standardbred purses and thoroughbred purses based on the

 

 

HB4710- 30 -LRB103 36574 CES 66683 b

1    amounts otherwise allocated to purses at that organization
2    licensee during the calendar year in question; and (iv) 8%
3    of the pari-mutuel handle on inter-track wagering wagered
4    at such location to satisfy all costs and expenses of
5    conducting its wagering. The remainder of the monies
6    retained by the inter-track wagering location licensee
7    shall be allocated 40% to the location licensee and 60% to
8    the organization licensee which provides the Illinois
9    races to the location, except that an inter-track wagering
10    location licensee that derives its license from a track
11    located in a county with a population in excess of 230,000
12    and that borders the Mississippi River shall not divide
13    any remaining retention with the organization licensee
14    that provides the race or races and an inter-track
15    wagering location licensee that accepts wagers on races
16    conducted by an organization licensee that conducts a race
17    meet in a county with a population in excess of 230,000 and
18    that borders the Mississippi River shall not divide any
19    remaining retention with the organization licensee.
20    Notwithstanding the provisions of clauses (ii) and (iv) of
21    this paragraph, in the case of the additional inter-track
22    wagering location licenses authorized under paragraph (1)
23    of this subsection (h) by Public Act 87-110, those
24    licensees shall pay the following amounts as purses:
25    during the first 12 months the licensee is in operation,
26    5.25% of the pari-mutuel handle wagered at the location on

 

 

HB4710- 31 -LRB103 36574 CES 66683 b

1    races; during the second 12 months, 5.25%; during the
2    third 12 months, 5.75%; during the fourth 12 months,
3    6.25%; and during the fifth 12 months and thereafter,
4    6.75%. The following amounts shall be retained by the
5    licensee to satisfy all costs and expenses of conducting
6    its wagering: during the first 12 months the licensee is
7    in operation, 8.25% of the pari-mutuel handle wagered at
8    the location; during the second 12 months, 8.25%; during
9    the third 12 months, 7.75%; during the fourth 12 months,
10    7.25%; and during the fifth 12 months and thereafter,
11    6.75%. For additional inter-track wagering location
12    licensees authorized under Public Act 89-16, purses for
13    the first 12 months the licensee is in operation shall be
14    5.75% of the pari-mutuel wagered at the location, purses
15    for the second 12 months the licensee is in operation
16    shall be 6.25%, and purses thereafter shall be 6.75%. For
17    additional inter-track location licensees authorized under
18    Public Act 89-16, the licensee shall be allowed to retain
19    to satisfy all costs and expenses: 7.75% of the
20    pari-mutuel handle wagered at the location during its
21    first 12 months of operation, 7.25% during its second 12
22    months of operation, and 6.75% thereafter.
23        (C) There is hereby created the Horse Racing Tax
24    Allocation Fund which shall remain in existence until
25    December 31, 1999. Moneys remaining in the Fund after
26    December 31, 1999 shall be paid into the General Revenue

 

 

HB4710- 32 -LRB103 36574 CES 66683 b

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

 

 

HB4710- 33 -LRB103 36574 CES 66683 b

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

 

 

HB4710- 34 -LRB103 36574 CES 66683 b

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

 

 

HB4710- 35 -LRB103 36574 CES 66683 b

1        Tax Allocation Fund before August 9, 1991 (the
2        effective date of Public Act 87-110) by an inter-track
3        wagering location licensee located in a municipality
4        that is not included within any park district but is
5        included within a conservation district as provided in
6        this paragraph shall, as soon as practicable after
7        August 9, 1991 (the effective date of Public Act
8        87-110), be allocated and paid to that conservation
9        district as provided in this paragraph. Any park
10        district or municipality not maintaining a museum may
11        deposit the monies in the corporate fund of the park
12        district or municipality where the inter-track
13        wagering location is located, to be used for general
14        purposes; and
15            One-seventh to the Agricultural Premium Fund to be
16        used for distribution to agricultural home economics
17        extension councils in accordance with "An Act in
18        relation to additional support and finances for the
19        Agricultural and Home Economic Extension Councils in
20        the several counties of this State and making an
21        appropriation therefor", approved July 24, 1967.
22        Until January 1, 2000, all other monies paid into the
23    Horse Racing Tax Allocation Fund pursuant to this
24    paragraph (11) shall be allocated by appropriation as
25    follows:
26            Two-sevenths to the Department of Agriculture.

 

 

HB4710- 36 -LRB103 36574 CES 66683 b

1        Fifty percent of this two-sevenths shall be used to
2        promote the Illinois horse racing and breeding
3        industry, and shall be distributed by the Department
4        of Agriculture upon the advice of a 9-member committee
5        appointed by the Governor consisting of the following
6        members: the Director of Agriculture, who shall serve
7        as chairman; 2 representatives of organization
8        licensees conducting thoroughbred race meetings in
9        this State, recommended by those licensees; 2
10        representatives of organization licensees conducting
11        standardbred race meetings in this State, recommended
12        by those licensees; a representative of the Illinois
13        Thoroughbred Breeders and Owners Foundation,
14        recommended by that Foundation; a representative of
15        the Illinois Standardbred Owners and Breeders
16        Association, recommended by that Association; a
17        representative of the Horsemen's Benevolent and
18        Protective Association or any successor organization
19        thereto established in Illinois comprised of the
20        largest number of owners and trainers, recommended by
21        that Association or that successor organization; and a
22        representative of the Illinois Harness Horsemen's
23        Association, recommended by that Association.
24        Committee members shall serve for terms of 2 years,
25        commencing January 1 of each even-numbered year. If a
26        representative of any of the above-named entities has

 

 

HB4710- 37 -LRB103 36574 CES 66683 b

1        not been recommended by January 1 of any even-numbered
2        year, the Governor shall appoint a committee member to
3        fill that position. Committee members shall receive no
4        compensation for their services as members but shall
5        be reimbursed for all actual and necessary expenses
6        and disbursements incurred in the performance of their
7        official duties. The remaining 50% of this
8        two-sevenths shall be distributed to county fairs for
9        premiums and rehabilitation as set forth in the
10        Agricultural Fair Act;
11            Four-sevenths to museums and aquariums located in
12        park districts of over 500,000 population; provided
13        that the monies are distributed in accordance with the
14        previous year's distribution of the maintenance tax
15        for such museums and aquariums as provided in Section
16        2 of the Park District Aquarium and Museum Act; and
17            One-seventh to the Agricultural Premium Fund to be
18        used for distribution to agricultural home economics
19        extension councils in accordance with "An Act in
20        relation to additional support and finances for the
21        Agricultural and Home Economic Extension Councils in
22        the several counties of this State and making an
23        appropriation therefor", approved July 24, 1967. This
24        subparagraph (C) shall be inoperative and of no force
25        and effect on and after January 1, 2000.
26            (D) Except as provided in paragraph (11) of this

 

 

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

 

 

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

 

 

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

 

 

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1        director of this wagering.
2            (G) The Board is vested with the power to impose
3        civil penalties of up to $5,000 against individuals
4        and up to $10,000 against licensees for each violation
5        of any provision of this Act relating to the conduct of
6        this wagering, any rules adopted by the Board, any
7        order of the Board or any other action which in the
8        Board's discretion, is a detriment or impediment to
9        such wagering.
10        (13) The Department of Agriculture may enter into
11    agreements with licensees authorizing such licensees to
12    conduct inter-track wagering on races to be held at the
13    licensed race meetings conducted by the Department of
14    Agriculture. Such agreement shall specify the races of the
15    Department of Agriculture's licensed race meeting upon
16    which the licensees will conduct wagering. In the event
17    that a licensee conducts inter-track pari-mutuel wagering
18    on races from the Illinois State Fair or DuQuoin State
19    Fair which are in addition to the licensee's previously
20    approved racing program, those races shall be considered a
21    separate racing day for the purpose of determining the
22    daily handle and computing the privilege or pari-mutuel
23    tax on that daily handle as provided in Sections 27 and
24    27.1. Such agreements shall be approved by the Board
25    before such wagering may be conducted. In determining
26    whether to grant approval, the Board shall give due

 

 

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1    consideration to the best interests of the public and of
2    horse racing. The provisions of paragraphs (1), (8),
3    (8.1), and (8.2) of subsection (h) of this Section which
4    are not specified in this paragraph (13) shall not apply
5    to licensed race meetings conducted by the Department of
6    Agriculture at the Illinois State Fair in Sangamon County
7    or the DuQuoin State Fair in Perry County, or to any
8    wagering conducted on those race meetings.
9        (14) An inter-track wagering location license
10    authorized by the Board in 2016 that is owned and operated
11    by a race track in Rock Island County shall be transferred
12    to a commonly owned race track in Cook County on August 12,
13    2016 (the effective date of Public Act 99-757). The
14    licensee shall retain its status in relation to purse
15    distribution under paragraph (11) of this subsection (h)
16    following the transfer to the new entity. The pari-mutuel
17    tax credit under Section 32.1 shall not be applied toward
18    any pari-mutuel tax obligation of the inter-track wagering
19    location licensee of the license that is transferred under
20    this paragraph (14).
21    (i) Notwithstanding the other provisions of this Act, the
22conduct of wagering at wagering facilities is authorized on
23all days, except as limited by subsection (b) of Section 19 of
24this Act.
25(Source: P.A. 101-31, eff. 6-28-19; 101-52, eff. 7-12-19;
26101-81, eff. 7-12-19; 101-109, eff. 7-19-19; 102-558, eff.

 

 

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18-20-21; 102-813, eff. 5-13-22.)
 
2    (230 ILCS 5/27)  (from Ch. 8, par. 37-27)
3    Sec. 27. (a) In addition to the organization license fee
4provided by this Act, until January 1, 2000, a graduated
5privilege tax is hereby imposed for conducting the pari-mutuel
6system of wagering permitted under this Act. Until January 1,
72000, except as provided in subsection (g) of Section 27 of
8this Act, all of the breakage of each racing day held by any
9licensee in the State shall be paid to the State. Until January
101, 2000, such daily graduated privilege tax shall be paid by
11the licensee from the amount permitted to be retained under
12this Act. Until January 1, 2000, each day's graduated
13privilege tax, breakage, and Horse Racing Tax Allocation funds
14shall be remitted to the Department of Revenue within 48 hours
15after the close of the racing day upon which it is assessed or
16within such other time as the Board prescribes. The privilege
17tax hereby imposed, until January 1, 2000, shall be a flat tax
18at the rate of 2% of the daily pari-mutuel handle except as
19provided in Section 27.1.
20    In addition, every organization licensee, except as
21provided in Section 27.1 of this Act, which conducts multiple
22wagering shall pay, until January 1, 2000, as a privilege tax
23on multiple wagers an amount equal to 1.25% of all moneys
24wagered each day on such multiple wagers, plus an additional
25amount equal to 3.5% of the amount wagered each day on any

 

 

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1other multiple wager which involves a single betting interest
2on 3 or more horses. The licensee shall remit the amount of
3such taxes to the Department of Revenue within 48 hours after
4the close of the racing day on which it is assessed or within
5such other time as the Board prescribes.
6    This subsection (a) shall be inoperative and of no force
7and effect on and after January 1, 2000.
8    (a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
9at the rate of 1.5% of the daily pari-mutuel handle is imposed
10at all pari-mutuel wagering facilities and on advance deposit
11wagering from a location other than a wagering facility,
12except as otherwise provided for in this subsection (a-5). In
13addition to the pari-mutuel tax imposed on advance deposit
14wagering pursuant to this subsection (a-5), beginning on
15August 24, 2012 (the effective date of Public Act 97-1060), an
16additional pari-mutuel tax at the rate of 0.25% shall be
17imposed on advance deposit wagering. Until August 25, 2012,
18the additional 0.25% pari-mutuel tax imposed on advance
19deposit wagering by Public Act 96-972 shall be deposited into
20the Quarter Horse Purse Fund, which shall be created as a
21non-appropriated trust fund administered by the Board for
22distribution grants to thoroughbred organization licensees for
23payment of purses for quarter horse races conducted by the
24organization licensee. Beginning on August 26, 2012, the
25additional 0.25% pari-mutuel tax imposed on advance deposit
26wagering shall be deposited into the Standardbred Purse Fund,

 

 

HB4710- 45 -LRB103 36574 CES 66683 b

1which shall be created as a non-appropriated trust fund
2administered by the Board, for grants to the standardbred
3organization licensees for payment of purses for standardbred
4horse races conducted by the organization licensee.
5Thoroughbred organization licensees may petition the Board to
6conduct quarter horse racing and receive purse grants from the
7Quarter Horse Purse Fund. The Board shall have complete
8discretion in distributing the Quarter Horse Purse Fund to the
9petitioning organization licensees. Beginning on July 26, 2010
10(the effective date of Public Act 96-1287), a pari-mutuel tax
11at the rate of 0.75% of the daily pari-mutuel handle is imposed
12at a pari-mutuel facility whose license is derived from a
13track located in a county that borders the Mississippi River
14and conducted live racing in the previous year. The
15pari-mutuel tax imposed by this subsection (a-5) shall be
16remitted to the Board Department of Revenue within 48 hours
17after the close of the racing day upon which it is assessed or
18within such other time as the Board prescribes.
19    (a-10) Beginning on the date when an organization licensee
20begins conducting gaming pursuant to an organization gaming
21license, the following pari-mutuel tax is imposed upon an
22organization licensee on Illinois races at the licensee's
23racetrack:
24        1.5% of the pari-mutuel handle at or below the average
25    daily pari-mutuel handle for 2011.
26        2% of the pari-mutuel handle above the average daily

 

 

HB4710- 46 -LRB103 36574 CES 66683 b

1    pari-mutuel handle for 2011 up to 125% of the average
2    daily pari-mutuel handle for 2011.
3        2.5% of the pari-mutuel handle 125% or more above the
4    average daily pari-mutuel handle for 2011 up to 150% of
5    the average daily pari-mutuel handle for 2011.
6        3% of the pari-mutuel handle 150% or more above the
7    average daily pari-mutuel handle for 2011 up to 175% of
8    the average daily pari-mutuel handle for 2011.
9        3.5% of the pari-mutuel handle 175% or more above the
10    average daily pari-mutuel handle for 2011.
11    The pari-mutuel tax imposed by this subsection (a-10)
12shall be remitted to the Board within 48 hours after the close
13of the racing day upon which it is assessed or within such
14other time as the Board prescribes.
15    (b) On or before December 31, 1999, in the event that any
16organization licensee conducts 2 separate programs of races on
17any day, each such program shall be considered a separate
18racing day for purposes of determining the daily handle and
19computing the privilege tax on such daily handle as provided
20in subsection (a) of this Section.
21    (c) Licensees shall at all times keep accurate books and
22records of all monies wagered on each day of a race meeting and
23of the taxes paid to the Board Department of Revenue under the
24provisions of this Section. The Board or its duly authorized
25representative or representatives shall at all reasonable
26times have access to such records for the purpose of examining

 

 

HB4710- 47 -LRB103 36574 CES 66683 b

1and checking the same and ascertaining whether the proper
2amount of taxes is being paid as provided. The Board shall
3require verified reports and a statement of the total of all
4monies wagered daily at each wagering facility upon which the
5taxes are assessed and may prescribe forms upon which such
6reports and statement shall be made.
7    (d) Before a license is issued or re-issued, the licensee
8shall post a bond in the sum of $500,000 to the State of
9Illinois. The bond shall be used to guarantee that the
10licensee faithfully makes the payments, keeps the books and
11records, makes reports, and conducts games of chance in
12conformity with this Act and the rules adopted by the Board.
13The bond shall not be canceled by a surety on less than 30
14days' notice in writing to the Board. If a bond is canceled and
15the licensee fails to file a new bond with the Board in the
16required amount on or before the effective date of
17cancellation, the licensee's license shall be revoked. The
18total and aggregate liability of the surety on the bond is
19limited to the amount specified in the bond.
20    (e) No other license fee, privilege tax, excise tax, or
21racing fee, except as provided in this Act, shall be assessed
22or collected from any such licensee by the State.
23    (f) No other license fee, privilege tax, excise tax or
24racing fee shall be assessed or collected from any such
25licensee by units of local government except as provided in
26paragraph 10.1 of subsection (h) and subsection (f) of Section

 

 

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126 of this Act. However, any municipality that has a Board
2licensed horse race meeting at a race track wholly within its
3corporate boundaries or a township that has a Board licensed
4horse race meeting at a race track wholly within the
5unincorporated area of the township may charge a local
6amusement tax not to exceed 10 per admission to such horse
7race meeting by the enactment of an ordinance. However, any
8municipality or county that has a Board licensed inter-track
9wagering location facility wholly within its corporate
10boundaries may each impose an admission fee not to exceed
11$1.00 per admission to such inter-track wagering location
12facility, so that a total of not more than $2.00 per admission
13may be imposed. Except as provided in subparagraph (g) of
14Section 27 of this Act, the inter-track wagering location
15licensee shall collect any and all such fees. Inter-track
16wagering location licensees must pay the admission fees
17required under this subsection (f) to the municipality and
18county no later than the 20th of the month following the month
19such admission fees were imposed.
20    (g) Notwithstanding any provision in this Act to the
21contrary, if in any calendar year the total taxes and fees from
22wagering on live racing and from inter-track wagering required
23to be collected from licensees and distributed under this Act
24to all State and local governmental authorities exceeds the
25amount of such taxes and fees distributed to each State and
26local governmental authority to which each State and local

 

 

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1governmental authority was entitled under this Act for
2calendar year 1994, then the first $11 million of that excess
3amount shall be allocated at the earliest possible date for
4distribution as purse money for the succeeding calendar year.
5Upon reaching the 1994 level, and until the excess amount of
6taxes and fees exceeds $11 million, the Board shall direct all
7licensees to cease paying the subject taxes and fees and the
8Board shall direct all licensees to allocate any such excess
9amount for purses as follows:
10        (i) the excess amount shall be initially divided
11    between thoroughbred and standardbred purses based on the
12    thoroughbred's and standardbred's respective percentages
13    of total Illinois live wagering in calendar year 1994;
14        (ii) each thoroughbred and standardbred organization
15    licensee issued an organization licensee in that
16    succeeding allocation year shall be allocated an amount
17    equal to the product of its percentage of total Illinois
18    live thoroughbred or standardbred wagering in calendar
19    year 1994 (the total to be determined based on the sum of
20    1994 on-track wagering for all organization licensees
21    issued organization licenses in both the allocation year
22    and the preceding year) multiplied by the total amount
23    allocated for standardbred or thoroughbred purses,
24    provided that the first $1,500,000 of the amount allocated
25    to standardbred purses under item (i) shall be allocated
26    to the Department of Agriculture to be expended with the

 

 

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1    assistance and advice of the Illinois Standardbred
2    Breeders Funds Advisory Board for the purposes listed in
3    subsection (g) of Section 31 of this Act, before the
4    amount allocated to standardbred purses under item (i) is
5    allocated to standardbred organization licensees in the
6    succeeding allocation year.
7    To the extent the excess amount of taxes and fees to be
8collected and distributed to State and local governmental
9authorities exceeds $11 million, that excess amount shall be
10collected and distributed to State and local authorities as
11provided for under this Act.
12(Source: P.A. 101-31, eff. 6-28-19; 101-52, eff. 7-12-19;
13102-558, eff. 8-20-21.)
 
14    (230 ILCS 5/28.1)
15    Sec. 28.1. Payments.
16    (a) Beginning on January 1, 2000, moneys collected by the
17Department of Revenue and the Racing Board pursuant to Section
1826 or Section 27 of this Act shall be deposited into the Horse
19Racing Fund, which is hereby created as a special fund in the
20State Treasury.
21    (b) Appropriations, as approved by the General Assembly,
22may be made from the Horse Racing Fund to the Board to pay the
23salaries of the Board members, secretary, stewards, directors
24of mutuels, veterinarians, representatives, accountants,
25clerks, stenographers, inspectors and other employees of the

 

 

HB4710- 51 -LRB103 36574 CES 66683 b

1Board, and all expenses of the Board incident to the
2administration of this Act, including, but not limited to, all
3expenses and salaries incident to the taking of saliva and
4urine samples in accordance with the rules and regulations of
5the Board.
6    (c) (Blank).
7    (d) Beginning January 1, 2000, payments to all programs in
8existence on the effective date of this amendatory Act of 1999
9that are identified in Sections 26(c), 26(f), 26(h)(11)(C),
10and 28, subsections (a), (b), (c), (d), (e), (f), (g), and (h)
11of Section 30, and subsections (a), (b), (c), (d), (e), (f),
12(g), and (h) of Section 31 shall be made from the General
13Revenue Fund at the funding levels determined by amounts paid
14under this Act in calendar year 1998. Beginning on the
15effective date of this amendatory Act of the 93rd General
16Assembly, payments to the Peoria Park District shall be made
17from the General Revenue Fund at the funding level determined
18by amounts paid to that park district for museum purposes
19under this Act in calendar year 1994.
20    If an inter-track wagering location licensee's facility
21changes its location, then the payments associated with that
22facility under this subsection (d) for museum purposes shall
23be paid to the park district in the area where the facility
24relocates, and the payments shall be used for museum purposes.
25If the facility does not relocate to a park district, then the
26payments shall be paid to the taxing district that is

 

 

HB4710- 52 -LRB103 36574 CES 66683 b

1responsible for park or museum expenditures.
2    (e) Beginning July 1, 2006, the payment authorized under
3subsection (d) to museums and aquariums located in park
4districts of over 500,000 population shall be paid to museums,
5aquariums, and zoos in amounts determined by Museums in the
6Park, an association of museums, aquariums, and zoos located
7on Chicago Park District property.
8    (f) Beginning July 1, 2007, the Children's Discovery
9Museum in Normal, Illinois shall receive payments from the
10General Revenue Fund at the funding level determined by the
11amounts paid to the Miller Park Zoo in Bloomington, Illinois
12under this Section in calendar year 2006.
13    (g) On July 3, 2023, the Comptroller shall order
14transferred and the Treasurer shall transfer $5,100,000 from
15the Horse Racing Fund to the Horse Racing Purse Equity Fund.
16(Source: P.A. 102-16, eff. 6-17-21; 103-8, eff. 7-1-23.)
 
17    (230 ILCS 5/31.1)  (from Ch. 8, par. 37-31.1)
18    Sec. 31.1. (a) Unless subsection (a-5) applies,
19organization licensees collectively shall contribute annually
20to charity the sum of $750,000 to non-profit organizations
21that provide medical and family, counseling, and similar
22services to persons who reside or work on the backstretch of
23Illinois racetracks. Unless subsection (a-5) applies, these
24contributions shall be collected as follows: (i) no later than
25July 1st of each year the Board shall assess each organization

 

 

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1licensee, except those tracks located in Madison County, which
2tracks shall pay $30,000 annually apiece into the Board
3charity fund, that amount which equals $690,000 multiplied by
4the amount of pari-mutuel wagering handled by the organization
5licensee in the year preceding assessment and divided by the
6total pari-mutuel wagering handled by all Illinois
7organization licensees, except those tracks located in Madison
8and Rock Island counties, in the year preceding assessment;
9(ii) notice of the assessed contribution shall be mailed to
10each organization licensee; (iii) within thirty days of its
11receipt of such notice, each organization licensee shall remit
12the assessed contribution to the Board. Unless subsection
13(a-5) applies, if an organization licensee commences operation
14of gaming at its facility pursuant to an organization gaming
15license under the Illinois Gambling Act, then the organization
16licensee shall contribute an additional $83,000 per year
17beginning in the year subsequent to the first year in which the
18organization licensee begins receiving funds from gaming
19pursuant to an organization gaming license. If an organization
20licensee wilfully fails to so remit the contribution, the
21Board may revoke its license to conduct horse racing.
22    (a-5) If (1) an organization licensee that did not operate
23live racing in 2017 is awarded racing dates in 2018 or in any
24subsequent year and (2) all organization licensees are
25operating gaming pursuant to an organization gaming license
26under the Illinois Gambling Act, then subsection (a) does not

 

 

HB4710- 54 -LRB103 36574 CES 66683 b

1apply and organization licensees collectively shall contribute
2annually to charity the sum of $1,000,000 to non-profit
3organizations that provide medical and family, counseling, and
4similar services to persons who reside or work on the
5backstretch of Illinois racetracks. These contributions shall
6be collected as follows: (i) no later than July 1st of each
7year the Board shall assess each organization licensee an
8amount based on the proportionate amount of live racing days
9in the calendar year for which the Board has awarded to the
10organization licensee out of the total aggregate number of
11live racing days awarded; (ii) notice of the assessed
12contribution shall be mailed to each organization licensee;
13(iii) within 30 days after its receipt of such notice, each
14organization licensee shall remit the assessed contribution to
15the Board. If an organization licensee willfully fails to so
16remit the contribution, the Board may revoke its license to
17conduct horse racing.
18    (b) No later than October 1st of each year, any qualified
19charitable organization seeking an allotment of contributed
20funds shall submit to the Board an application for those
21funds, using the Board's approved form. The No later than
22December 31st of each year, the Board shall distribute all
23such amounts collected that year to such charitable
24organization applicants on a schedule determined by the Board,
25based on the charitable organization's estimated expenditures
26related to this grant. Any funds not expended by the grantee in

 

 

HB4710- 55 -LRB103 36574 CES 66683 b

1a grant year shall be distributed to the charitable
2organization or charitable organizations selected in the next
3grant year after the funds are recovered in addition to the
4amounts specified in subsections (a) and (a-5).
5(Source: P.A. 101-31, eff. 6-28-19.)
 
6    (230 ILCS 5/15.1 rep.)
7    (230 ILCS 5/34.3 rep.)
8    Section 10. The Illinois Horse Racing Act of 1975 is
9amended by repealing Sections 15.1 and 34.3.
 
10    Section 99. Effective date. This Act takes effect upon
11becoming law.