Public Act 098-0587
 
SB2371 EnrolledLRB098 10401 AMC 41033 b

    AN ACT concerning gaming.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Video Gaming Act is amended by changing
Sections 5 and 45 as follows:
 
    (230 ILCS 40/5)
    Sec. 5. Definitions. As used in this Act:
    "Board" means the Illinois Gaming Board.
    "Credit" means one, 5, 10, or 25 cents either won or
purchased by a player.
    "Distributor" means an individual, partnership,
corporation, or limited liability company licensed under this
Act to buy, sell, lease, or distribute video gaming terminals
or major components or parts of video gaming terminals to or
from terminal operators.
    "Terminal operator" means an individual, partnership,
corporation, or limited liability company that is licensed
under this Act and that owns, services, and maintains video
gaming terminals for placement in licensed establishments,
licensed truck stop establishments, licensed fraternal
establishments, or licensed veterans establishments.
    "Licensed technician" means an individual who is licensed
under this Act to repair, service, and maintain video gaming
terminals.
    "Licensed terminal handler" means a person, including but
not limited to an employee or independent contractor working
for a manufacturer, distributor, supplier, technician, or
terminal operator, who is licensed under this Act to possess or
control a video gaming terminal or to have access to the inner
workings of a video gaming terminal. A licensed terminal
handler does not include an individual, partnership,
corporation, or limited liability company defined as a
manufacturer, distributor, supplier, technician, or terminal
operator under this Act.
    "Manufacturer" means an individual, partnership,
corporation, or limited liability company that is licensed
under this Act and that manufactures or assembles video gaming
terminals.
    "Supplier" means an individual, partnership, corporation,
or limited liability company that is licensed under this Act to
supply major components or parts to video gaming terminals to
licensed terminal operators.
    "Net terminal income" means money put into a video gaming
terminal minus credits paid out to players.
    "Video gaming terminal" means any electronic video game
machine that, upon insertion of cash, is available to play or
simulate the play of a video game, including but not limited to
video poker, line up, and blackjack, as authorized by the Board
utilizing a video display and microprocessors in which the
player may receive free games or credits that can be redeemed
for cash. The term does not include a machine that directly
dispenses coins, cash, or tokens or is for amusement purposes
only.
    "Licensed establishment" means any licensed retail
establishment where alcoholic liquor is drawn, poured, mixed,
or otherwise served for consumption on the premises, whether
the establishment operates on a nonprofit or for-profit basis.
"Licensed establishment" and includes any such establishment
that has a contractual relationship with an inter-track
wagering location licensee licensed under the Illinois Horse
Racing Act of 1975, provided any contractual relationship shall
not include any transfer or offer of revenue from the operation
of video gaming under this Act to any licensee licensed under
the Illinois Horse Racing Act of 1975. Provided, however, that
the licensed establishment that has such a contractual
relationship with an inter-track wagering location licensee
may not, itself, be (i) an inter-track wagering location
licensee, (ii) the corporate parent or subsidiary of any
licensee licensed under the Illinois Horse Racing Act of 1975,
or (iii) the corporate subsidiary of a corporation that is also
the corporate parent or subsidiary of any licensee licensed
under the Illinois Horse Racing Act of 1975. "Licensed
establishment" does not include a facility operated by an
organization licensee, an inter-track wagering licensee, or an
inter-track wagering location licensee licensed under the
Illinois Horse Racing Act of 1975 or a riverboat licensed under
the Riverboat Gambling Act, except as provided in this
paragraph. The changes made to this definition by this
amendatory Act of the 98th General Assembly are declarative of
existing law.
    "Licensed fraternal establishment" means the location
where a qualified fraternal organization that derives its
charter from a national fraternal organization regularly
meets.
    "Licensed veterans establishment" means the location where
a qualified veterans organization that derives its charter from
a national veterans organization regularly meets.
    "Licensed truck stop establishment" means a facility (i)
that is at least a 3-acre facility with a convenience store,
(ii) with separate diesel islands for fueling commercial motor
vehicles, (iii) that sells at retail more than 10,000 gallons
of diesel or biodiesel fuel per month, and (iv) with parking
spaces for commercial motor vehicles. "Commercial motor
vehicles" has the same meaning as defined in Section 18b-101 of
the Illinois Vehicle Code. The requirement of item (iii) of
this paragraph may be met by showing that estimated future
sales or past sales average at least 10,000 gallons per month.
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09;
96-1410, eff. 7-30-10; 96-1479, eff. 8-23-10; 97-333, eff.
8-12-11.)
 
    (230 ILCS 40/45)
    Sec. 45. Issuance of license.
    (a) The burden is upon each applicant to demonstrate his
suitability for licensure. Each video gaming terminal
manufacturer, distributor, supplier, operator, handler,
licensed establishment, licensed truck stop establishment,
licensed fraternal establishment, and licensed veterans
establishment shall be licensed by the Board. The Board may
issue or deny a license under this Act to any person pursuant
to the same criteria set forth in Section 9 of the Riverboat
Gambling Act.
    (a-5) The Board shall not grant a license to a person who
has facilitated, enabled, or participated in the use of
coin-operated devices for gambling purposes or who is under the
significant influence or control of such a person. For the
purposes of this Act, "facilitated, enabled, or participated in
the use of coin-operated amusement devices for gambling
purposes" means that the person has been convicted of any
violation of Article 28 of the Criminal Code of 1961 or the
Criminal Code of 2012. If there is pending legal action against
a person for any such violation, then the Board shall delay the
licensure of that person until the legal action is resolved.
    (b) Each person seeking and possessing a license as a video
gaming terminal manufacturer, distributor, supplier, operator,
handler, licensed establishment, licensed truck stop
establishment, licensed fraternal establishment, or licensed
veterans establishment shall submit to a background
investigation conducted by the Board with the assistance of the
State Police or other law enforcement. To the extent that the
corporate structure of the applicant allows, the The background
investigation shall include any or all of the following as the
Board deems appropriate or as provided by rule for each
category of licensure: (i) each beneficiary of a trust, (ii)
each partner of a partnership, (iii) each member of a limited
liability company, (iv) and each director and officer of a
publicly or non-publicly held corporation, (v) each
stockholder of a non-publicly held corporation, (vi) each
stockholder of 5% or more of a publicly held corporation, or
(vii) each stockholder and all stockholders of 5% or more in a
parent or subsidiary corporation of a video gaming terminal
manufacturer, distributor, supplier, operator, or licensed
establishment, licensed truck stop establishment, licensed
fraternal establishment, or licensed veterans establishment.
    (c) Each person seeking and possessing a license as a video
gaming terminal manufacturer, distributor, supplier, operator,
handler, licensed establishment, licensed truck stop
establishment, licensed fraternal establishment, or licensed
veterans establishment shall disclose the identity of every
person, association, trust, corporation, or limited liability
company having a greater than 1% direct or indirect pecuniary
interest in the video gaming terminal operation for which the
license is sought. If the disclosed entity is a trust, the
application shall disclose the names and addresses of the
beneficiaries; if a corporation, the names and addresses of all
stockholders and directors; if a limited liability company, the
names and addresses of all members; or if a partnership, the
names and addresses of all partners, both general and limited.
    (d) No person may be licensed as a video gaming terminal
manufacturer, distributor, supplier, operator, handler,
licensed establishment, licensed truck stop establishment,
licensed fraternal establishment, or licensed veterans
establishment if that person has been found by the Board to:
        (1) have a background, including a criminal record,
    reputation, habits, social or business associations, or
    prior activities that pose a threat to the public interests
    of the State or to the security and integrity of video
    gaming;
        (2) create or enhance the dangers of unsuitable,
    unfair, or illegal practices, methods, and activities in
    the conduct of video gaming; or
        (3) present questionable business practices and
    financial arrangements incidental to the conduct of video
    gaming activities.
    (e) Any applicant for any license under this Act has the
burden of proving his or her qualifications to the satisfaction
of the Board. The Board may adopt rules to establish additional
qualifications and requirements to preserve the integrity and
security of video gaming in this State.
    (f) A non-refundable application fee shall be paid at the
time an application for a license is filed with the Board in
the following amounts:
        (1) Manufacturer..........................$5,000
        (2) Distributor...........................$5,000
        (3) Terminal operator.....................$5,000
        (4) Supplier..............................$2,500
        (5) Technician..............................$100
        (6) Terminal Handler..............................$50
    (g) The Board shall establish an annual fee for each
license not to exceed the following:
        (1) Manufacturer.........................$10,000
        (2) Distributor..........................$10,000
        (3) Terminal operator.....................$5,000
        (4) Supplier..............................$2,000
        (5) Technician..............................$100
        (6) Licensed establishment, licensed truck stop
    establishment, licensed fraternal establishment,
    or licensed veterans establishment..............$100
        (7) Video gaming terminal...................$100
        (8) Terminal Handler..............................$50
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38,
eff. 7-13-09; 96-1000, eff. 7-2-10; 96-1410, eff. 7-30-10;
97-1150, eff. 1-25-13.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.