Public Act 098-0624
 
HB0011 EnrolledLRB098 00182 CEL 30183 b

    AN ACT concerning regulation.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Illinois Horse Racing Act of 1975 is amended
by changing Sections 26, 27, and 28.1 and by adding Sections
26.8 and 26.9 as follows:
 
    (230 ILCS 5/26)  (from Ch. 8, par. 37-26)
    Sec. 26. Wagering.
    (a) Any licensee may conduct and supervise the pari-mutuel
system of wagering, as defined in Section 3.12 of this Act, on
horse races conducted by an Illinois organization licensee or
conducted at a racetrack located in another state or country
and televised in Illinois in accordance with subsection (g) of
Section 26 of this Act. Subject to the prior consent of the
Board, licensees may supplement any pari-mutuel pool in order
to guarantee a minimum distribution. Such pari-mutuel method of
wagering shall not, under any circumstances if conducted under
the provisions of this Act, be held or construed to be
unlawful, other statutes of this State to the contrary
notwithstanding. Subject to rules for advance wagering
promulgated by the Board, any licensee may accept wagers in
advance of the day of the race wagered upon occurs.
    (b) No other method of betting, pool making, wagering or
gambling shall be used or permitted by the licensee. Each
licensee may retain, subject to the payment of all applicable
taxes and purses, an amount not to exceed 17% of all money
wagered under subsection (a) of this Section, except as may
otherwise be permitted under this Act.
    (b-5) An individual may place a wager under the pari-mutuel
system from any licensed location authorized under this Act
provided that wager is electronically recorded in the manner
described in Section 3.12 of this Act. Any wager made
electronically by an individual while physically on the
premises of a licensee shall be deemed to have been made at the
premises of that licensee.
    (c) Until January 1, 2000, the sum held by any licensee for
payment of outstanding pari-mutuel tickets, if unclaimed prior
to December 31 of the next year, shall be retained by the
licensee for payment of such tickets until that date. Within 10
days thereafter, the balance of such sum remaining unclaimed,
less any uncashed supplements contributed by such licensee for
the purpose of guaranteeing minimum distributions of any
pari-mutuel pool, shall be paid to the Illinois Veterans'
Rehabilitation Fund of the State treasury, except as provided
in subsection (g) of Section 27 of this Act.
    (c-5) Beginning January 1, 2000, the sum held by any
licensee for payment of outstanding pari-mutuel tickets, if
unclaimed prior to December 31 of the next year, shall be
retained by the licensee for payment of such tickets until that
date. Within 10 days thereafter, the balance of such sum
remaining unclaimed, less any uncashed supplements contributed
by such licensee for the purpose of guaranteeing minimum
distributions of any pari-mutuel pool, shall be evenly
distributed to the purse account of the organization licensee
and the organization licensee.
    (d) A pari-mutuel ticket shall be honored until December 31
of the next calendar year, and the licensee shall pay the same
and may charge the amount thereof against unpaid money
similarly accumulated on account of pari-mutuel tickets not
presented for payment.
    (e) No licensee shall knowingly permit any minor, other
than an employee of such licensee or an owner, trainer, jockey,
driver, or employee thereof, to be admitted during a racing
program unless accompanied by a parent or guardian, or any
minor to be a patron of the pari-mutuel system of wagering
conducted or supervised by it. The admission of any
unaccompanied minor, other than an employee of the licensee or
an owner, trainer, jockey, driver, or employee thereof at a
race track is a Class C misdemeanor.
    (f) Notwithstanding the other provisions of this Act, an
organization licensee may contract with an entity in another
state or country to permit any legal wagering entity in another
state or country to accept wagers solely within such other
state or country on races conducted by the organization
licensee in this State. Beginning January 1, 2000, these wagers
shall not be subject to State taxation. Until January 1, 2000,
when the out-of-State entity conducts a pari-mutuel pool
separate from the organization licensee, a privilege tax equal
to 7 1/2% of all monies received by the organization licensee
from entities in other states or countries pursuant to such
contracts is imposed on the organization licensee, and such
privilege tax shall be remitted to the Department of Revenue
within 48 hours of receipt of the moneys from the simulcast.
When the out-of-State entity conducts a combined pari-mutuel
pool with the organization licensee, the tax shall be 10% of
all monies received by the organization licensee with 25% of
the receipts from this 10% tax to be distributed to the county
in which the race was conducted.
    An organization licensee may permit one or more of its
races to be utilized for pari-mutuel wagering at one or more
locations in other states and may transmit audio and visual
signals of races the organization licensee conducts to one or
more locations outside the State or country and may also permit
pari-mutuel pools in other states or countries to be combined
with its gross or net wagering pools or with wagering pools
established by other states.
    (g) A host track may accept interstate simulcast wagers on
horse races conducted in other states or countries and shall
control the number of signals and types of breeds of racing in
its simulcast program, subject to the disapproval of the Board.
The Board may prohibit a simulcast program only if it finds
that the simulcast program is clearly adverse to the integrity
of racing. The host track simulcast program shall include the
signal of live racing of all organization licensees. All
non-host licensees and advance deposit wagering licensees
shall carry the signal of and accept wagers on live racing of
all organization licensees. Advance deposit wagering licensees
shall not be permitted to accept out-of-state wagers on any
Illinois signal provided pursuant to this Section without the
approval and consent of the organization licensee providing the
signal. Non-host licensees may carry the host track simulcast
program and shall accept wagers on all races included as part
of the simulcast program upon which wagering is permitted. All
organization licensees shall provide their live signal to all
advance deposit wagering licensees for a simulcast commission
fee not to exceed 6% of the advance deposit wagering licensee's
Illinois handle on the organization licensee's signal without
prior approval by the Board. The Board may adopt rules under
which it may permit simulcast commission fees in excess of 6%.
The Board shall adopt rules limiting the interstate commission
fees charged to an advance deposit wagering licensee. The Board
shall adopt rules regarding advance deposit wagering on
interstate simulcast races that shall reflect, among other
things, the General Assembly's desire to maximize revenues to
the State, horsemen purses, and organizational licensees.
However, organization licensees providing live signals
pursuant to the requirements of this subsection (g) may
petition the Board to withhold their live signals from an
advance deposit wagering licensee if the organization licensee
discovers and the Board finds reputable or credible information
that the advance deposit wagering licensee is under
investigation by another state or federal governmental agency,
the advance deposit wagering licensee's license has been
suspended in another state, or the advance deposit wagering
licensee's license is in revocation proceedings in another
state. The organization licensee's provision of their live
signal to an advance deposit wagering licensee under this
subsection (g) pertains to wagers placed from within Illinois.
Advance deposit wagering licensees may place advance deposit
wagering terminals at wagering facilities as a convenience to
customers. The advance deposit wagering licensee shall not
charge or collect any fee from purses for the placement of the
advance deposit wagering terminals. The costs and expenses of
the host track and non-host licensees associated with
interstate simulcast wagering, other than the interstate
commission fee, shall be borne by the host track and all
non-host licensees incurring these costs. The interstate
commission fee shall not exceed 5% of Illinois handle on the
interstate simulcast race or races without prior approval of
the Board. The Board shall promulgate rules under which it may
permit interstate commission fees in excess of 5%. The
interstate commission fee and other fees charged by the sending
racetrack, including, but not limited to, satellite decoder
fees, shall be uniformly applied to the host track and all
non-host licensees.
    Notwithstanding any other provision of this Act, until
February 1, 2017 January 31, 2014, an organization licensee,
with the consent of the horsemen association representing the
largest number of owners, trainers, jockeys, or standardbred
drivers who race horses at that organization licensee's racing
meeting, may maintain a system whereby advance deposit wagering
may take place or an organization licensee, with the consent of
the horsemen association representing the largest number of
owners, trainers, jockeys, or standardbred drivers who race
horses at that organization licensee's racing meeting, may
contract with another person to carry out a system of advance
deposit wagering. Such consent may not be unreasonably
withheld. Only with respect to an appeal to the Board that
consent for an organization licensee that maintains its own
advance deposit wagering system is being unreasonably
withheld, the Board shall issue a final order within 30 days
after initiation of the appeal, and the organization licensee's
advance deposit wagering system may remain operational during
that 30-day period. The actions of any organization licensee
who conducts advance deposit wagering or any person who has a
contract with an organization licensee to conduct advance
deposit wagering who conducts advance deposit wagering on or
after January 1, 2013 and prior to the effective date of this
amendatory Act of the 98th General Assembly taken in reliance
on the changes made to this subsection (g) by this amendatory
Act of the 98th General Assembly are hereby validated, provided
payment of all applicable pari-mutuel taxes are remitted to the
Board. All advance deposit wagers placed from within Illinois
must be placed through a Board-approved advance deposit
wagering licensee; no other entity may accept an advance
deposit wager from a person within Illinois. All advance
deposit wagering is subject to any rules adopted by the Board.
The Board may adopt rules necessary to regulate advance deposit
wagering through the use of emergency rulemaking in accordance
with Section 5-45 of the Illinois Administrative Procedure Act.
The General Assembly finds that the adoption of rules to
regulate advance deposit wagering is deemed an emergency and
necessary for the public interest, safety, and welfare. An
advance deposit wagering licensee may retain all moneys as
agreed to by contract with an organization licensee. Any moneys
retained by the organization licensee from advance deposit
wagering, not including moneys retained by the advance deposit
wagering licensee, shall be paid 50% to the organization
licensee's purse account and 50% to the organization licensee.
With the exception of any organization licensee that is owned
by a publicly traded company that is incorporated in a state
other than Illinois and advance deposit wagering licensees
under contract with such organization licensees, organization
licensees that maintain advance deposit wagering systems and
advance deposit wagering licensees that contract with
organization licensees shall provide sufficiently detailed
monthly accountings to the horsemen association representing
the largest number of owners, trainers, jockeys, or
standardbred drivers who race horses at that organization
licensee's racing meeting so that the horsemen association, as
an interested party, can confirm the accuracy of the amounts
paid to the purse account at the horsemen association's
affiliated organization licensee from advance deposit
wagering. If more than one breed races at the same race track
facility, then the 50% of the moneys to be paid to an
organization licensee's purse account shall be allocated among
all organization licensees' purse accounts operating at that
race track facility proportionately based on the actual number
of host days that the Board grants to that breed at that race
track facility in the current calendar year. To the extent any
fees from advance deposit wagering conducted in Illinois for
wagers in Illinois or other states have been placed in escrow
or otherwise withheld from wagers pending a determination of
the legality of advance deposit wagering, no action shall be
brought to declare such wagers or the disbursement of any fees
previously escrowed illegal.
        (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
    intertrack wagering licensee other than the host track may
    supplement the host track simulcast program with
    additional simulcast races or race programs, provided that
    between January 1 and the third Friday in February of any
    year, inclusive, if no live thoroughbred racing is
    occurring in Illinois during this period, only
    thoroughbred races may be used for supplemental interstate
    simulcast purposes. The Board shall withhold approval for a
    supplemental interstate simulcast only if it finds that the
    simulcast is clearly adverse to the integrity of racing. A
    supplemental interstate simulcast may be transmitted from
    an intertrack wagering licensee to its affiliated non-host
    licensees. The interstate commission fee for a
    supplemental interstate simulcast shall be paid by the
    non-host licensee and its affiliated non-host licensees
    receiving the simulcast.
        (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
    intertrack wagering licensee other than the host track may
    receive supplemental interstate simulcasts only with the
    consent of the host track, except when the Board finds that
    the simulcast is clearly adverse to the integrity of
    racing. Consent granted under this paragraph (2) to any
    intertrack wagering licensee shall be deemed consent to all
    non-host licensees. The interstate commission fee for the
    supplemental interstate simulcast shall be paid by all
    participating non-host licensees.
        (3) Each licensee conducting interstate simulcast
    wagering may retain, subject to the payment of all
    applicable taxes and the purses, an amount not to exceed
    17% of all money wagered. If any licensee conducts the
    pari-mutuel system wagering on races conducted at
    racetracks in another state or country, each such race or
    race program shall be considered a separate racing day for
    the purpose of determining the daily handle and computing
    the privilege tax of that daily handle as provided in
    subsection (a) of Section 27. Until January 1, 2000, from
    the sums permitted to be retained pursuant to this
    subsection, each intertrack wagering location licensee
    shall pay 1% of the pari-mutuel handle wagered on simulcast
    wagering to the Horse Racing Tax Allocation Fund, subject
    to the provisions of subparagraph (B) of paragraph (11) of
    subsection (h) of Section 26 of this Act.
        (4) A licensee who receives an interstate simulcast may
    combine its gross or net pools with pools at the sending
    racetracks pursuant to rules established by the Board. All
    licensees combining their gross pools at a sending
    racetrack shall adopt the take-out percentages of the
    sending racetrack. A licensee may also establish a separate
    pool and takeout structure for wagering purposes on races
    conducted at race tracks outside of the State of Illinois.
    The licensee may permit pari-mutuel wagers placed in other
    states or countries to be combined with its gross or net
    wagering pools or other wagering pools.
        (5) After the payment of the interstate commission fee
    (except for the interstate commission fee on a supplemental
    interstate simulcast, which shall be paid by the host track
    and by each non-host licensee through the host-track) and
    all applicable State and local taxes, except as provided in
    subsection (g) of Section 27 of this Act, the remainder of
    moneys retained from simulcast wagering pursuant to this
    subsection (g), and Section 26.2 shall be divided as
    follows:
            (A) For interstate simulcast wagers made at a host
        track, 50% to the host track and 50% to purses at the
        host track.
            (B) For wagers placed on interstate simulcast
        races, supplemental simulcasts as defined in
        subparagraphs (1) and (2), and separately pooled races
        conducted outside of the State of Illinois made at a
        non-host licensee, 25% to the host track, 25% to the
        non-host licensee, and 50% to the purses at the host
        track.
        (6) Notwithstanding any provision in this Act to the
    contrary, non-host licensees who derive their licenses
    from a track located in a county with a population in
    excess of 230,000 and that borders the Mississippi River
    may receive supplemental interstate simulcast races at all
    times subject to Board approval, which shall be withheld
    only upon a finding that a supplemental interstate
    simulcast is clearly adverse to the integrity of racing.
        (7) Notwithstanding any provision of this Act to the
    contrary, after payment of all applicable State and local
    taxes and interstate commission fees, non-host licensees
    who derive their licenses from a track located in a county
    with a population in excess of 230,000 and that borders the
    Mississippi River shall retain 50% of the retention from
    interstate simulcast wagers and shall pay 50% to purses at
    the track from which the non-host licensee derives its
    license as follows:
            (A) Between January 1 and the third Friday in
        February, inclusive, if no live thoroughbred racing is
        occurring in Illinois during this period, when the
        interstate simulcast is a standardbred race, the purse
        share to its standardbred purse account;
            (B) Between January 1 and the third Friday in
        February, inclusive, if no live thoroughbred racing is
        occurring in Illinois during this period, and the
        interstate simulcast is a thoroughbred race, the purse
        share to its interstate simulcast purse pool to be
        distributed under paragraph (10) of this subsection
        (g);
            (C) Between January 1 and the third Friday in
        February, inclusive, if live thoroughbred racing is
        occurring in Illinois, between 6:30 a.m. and 6:30 p.m.
        the purse share from wagers made during this time
        period to its thoroughbred purse account and between
        6:30 p.m. and 6:30 a.m. the purse share from wagers
        made during this time period to its standardbred purse
        accounts;
            (D) Between the third Saturday in February and
        December 31, when the interstate simulcast occurs
        between the hours of 6:30 a.m. and 6:30 p.m., the purse
        share to its thoroughbred purse account;
            (E) Between the third Saturday in February and
        December 31, when the interstate simulcast occurs
        between the hours of 6:30 p.m. and 6:30 a.m., the purse
        share to its standardbred purse account.
        (7.1) Notwithstanding any other provision of this Act
    to the contrary, if no standardbred racing is conducted at
    a racetrack located in Madison County during any calendar
    year beginning on or after January 1, 2002, all moneys
    derived by that racetrack from simulcast wagering and
    inter-track wagering that (1) are to be used for purses and
    (2) are generated between the hours of 6:30 p.m. and 6:30
    a.m. during that calendar year shall be paid as follows:
            (A) If the licensee that conducts horse racing at
        that racetrack requests from the Board at least as many
        racing dates as were conducted in calendar year 2000,
        80% shall be paid to its thoroughbred purse account;
        and
            (B) Twenty percent shall be deposited into the
        Illinois Colt Stakes Purse Distribution Fund and shall
        be paid to purses for standardbred races for Illinois
        conceived and foaled horses conducted at any county
        fairgrounds. The moneys deposited into the Fund
        pursuant to this subparagraph (B) shall be deposited
        within 2 weeks after the day they were generated, shall
        be in addition to and not in lieu of any other moneys
        paid to standardbred purses under this Act, and shall
        not be commingled with other moneys paid into that
        Fund. The moneys deposited pursuant to this
        subparagraph (B) shall be allocated as provided by the
        Department of Agriculture, with the advice and
        assistance of the Illinois Standardbred Breeders Fund
        Advisory Board.
        (7.2) Notwithstanding any other provision of this Act
    to the contrary, if no thoroughbred racing is conducted at
    a racetrack located in Madison County during any calendar
    year beginning on or after January 1, 2002, all moneys
    derived by that racetrack from simulcast wagering and
    inter-track wagering that (1) are to be used for purses and
    (2) are generated between the hours of 6:30 a.m. and 6:30
    p.m. during that calendar year shall be deposited as
    follows:
            (A) If the licensee that conducts horse racing at
        that racetrack requests from the Board at least as many
        racing dates as were conducted in calendar year 2000,
        80% shall be deposited into its standardbred purse
        account; and
            (B) Twenty percent shall be deposited into the
        Illinois Colt Stakes Purse Distribution Fund. Moneys
        deposited into the Illinois Colt Stakes Purse
        Distribution Fund pursuant to this subparagraph (B)
        shall be paid to Illinois conceived and foaled
        thoroughbred breeders' programs and to thoroughbred
        purses for races conducted at any county fairgrounds
        for Illinois conceived and foaled horses at the
        discretion of the Department of Agriculture, with the
        advice and assistance of the Illinois Thoroughbred
        Breeders Fund Advisory Board. The moneys deposited
        into the Illinois Colt Stakes Purse Distribution Fund
        pursuant to this subparagraph (B) shall be deposited
        within 2 weeks after the day they were generated, shall
        be in addition to and not in lieu of any other moneys
        paid to thoroughbred purses under this Act, and shall
        not be commingled with other moneys deposited into that
        Fund.
        (7.3) If no live standardbred racing is conducted at a
    racetrack located in Madison County in calendar year 2000
    or 2001, an organization licensee who is licensed to
    conduct horse racing at that racetrack shall, before
    January 1, 2002, pay all moneys derived from simulcast
    wagering and inter-track wagering in calendar years 2000
    and 2001 and paid into the licensee's standardbred purse
    account as follows:
            (A) Eighty percent to that licensee's thoroughbred
        purse account to be used for thoroughbred purses; and
            (B) Twenty percent to the Illinois Colt Stakes
        Purse Distribution Fund.
        Failure to make the payment to the Illinois Colt Stakes
    Purse Distribution Fund before January 1, 2002 shall result
    in the immediate revocation of the licensee's organization
    license, inter-track wagering license, and inter-track
    wagering location license.
        Moneys paid into the Illinois Colt Stakes Purse
    Distribution Fund pursuant to this paragraph (7.3) shall be
    paid to purses for standardbred races for Illinois
    conceived and foaled horses conducted at any county
    fairgrounds. Moneys paid into the Illinois Colt Stakes
    Purse Distribution Fund pursuant to this paragraph (7.3)
    shall be used as determined by the Department of
    Agriculture, with the advice and assistance of the Illinois
    Standardbred Breeders Fund Advisory Board, shall be in
    addition to and not in lieu of any other moneys paid to
    standardbred purses under this Act, and shall not be
    commingled with any other moneys paid into that Fund.
        (7.4) If live standardbred racing is conducted at a
    racetrack located in Madison County at any time in calendar
    year 2001 before the payment required under paragraph (7.3)
    has been made, the organization licensee who is licensed to
    conduct racing at that racetrack shall pay all moneys
    derived by that racetrack from simulcast wagering and
    inter-track wagering during calendar years 2000 and 2001
    that (1) are to be used for purses and (2) are generated
    between the hours of 6:30 p.m. and 6:30 a.m. during 2000 or
    2001 to the standardbred purse account at that racetrack to
    be used for standardbred purses.
        (8) Notwithstanding any provision in this Act to the
    contrary, an organization licensee from a track located in
    a county with a population in excess of 230,000 and that
    borders the Mississippi River and its affiliated non-host
    licensees shall not be entitled to share in any retention
    generated on racing, inter-track wagering, or simulcast
    wagering at any other Illinois wagering facility.
        (8.1) Notwithstanding any provisions in this Act to the
    contrary, if 2 organization licensees are conducting
    standardbred race meetings concurrently between the hours
    of 6:30 p.m. and 6:30 a.m., after payment of all applicable
    State and local taxes and interstate commission fees, the
    remainder of the amount retained from simulcast wagering
    otherwise attributable to the host track and to host track
    purses shall be split daily between the 2 organization
    licensees and the purses at the tracks of the 2
    organization licensees, respectively, based on each
    organization licensee's share of the total live handle for
    that day, provided that this provision shall not apply to
    any non-host licensee that derives its license from a track
    located in a county with a population in excess of 230,000
    and that borders the Mississippi River.
        (9) (Blank).
        (10) (Blank).
        (11) (Blank).
        (12) The Board shall have authority to compel all host
    tracks to receive the simulcast of any or all races
    conducted at the Springfield or DuQuoin State fairgrounds
    and include all such races as part of their simulcast
    programs.
        (13) Notwithstanding any other provision of this Act,
    in the event that the total Illinois pari-mutuel handle on
    Illinois horse races at all wagering facilities in any
    calendar year is less than 75% of the total Illinois
    pari-mutuel handle on Illinois horse races at all such
    wagering facilities for calendar year 1994, then each
    wagering facility that has an annual total Illinois
    pari-mutuel handle on Illinois horse races that is less
    than 75% of the total Illinois pari-mutuel handle on
    Illinois horse races at such wagering facility for calendar
    year 1994, shall be permitted to receive, from any amount
    otherwise payable to the purse account at the race track
    with which the wagering facility is affiliated in the
    succeeding calendar year, an amount equal to 2% of the
    differential in total Illinois pari-mutuel handle on
    Illinois horse races at the wagering facility between that
    calendar year in question and 1994 provided, however, that
    a wagering facility shall not be entitled to any such
    payment until the Board certifies in writing to the
    wagering facility the amount to which the wagering facility
    is entitled and a schedule for payment of the amount to the
    wagering facility, based on: (i) the racing dates awarded
    to the race track affiliated with the wagering facility
    during the succeeding year; (ii) the sums available or
    anticipated to be available in the purse account of the
    race track affiliated with the wagering facility for purses
    during the succeeding year; and (iii) the need to ensure
    reasonable purse levels during the payment period. The
    Board's certification shall be provided no later than
    January 31 of the succeeding year. In the event a wagering
    facility entitled to a payment under this paragraph (13) is
    affiliated with a race track that maintains purse accounts
    for both standardbred and thoroughbred racing, the amount
    to be paid to the wagering facility shall be divided
    between each purse account pro rata, based on the amount of
    Illinois handle on Illinois standardbred and thoroughbred
    racing respectively at the wagering facility during the
    previous calendar year. Annually, the General Assembly
    shall appropriate sufficient funds from the General
    Revenue Fund to the Department of Agriculture for payment
    into the thoroughbred and standardbred horse racing purse
    accounts at Illinois pari-mutuel tracks. The amount paid to
    each purse account shall be the amount certified by the
    Illinois Racing Board in January to be transferred from
    each account to each eligible racing facility in accordance
    with the provisions of this Section.
    (h) The Board may approve and license the conduct of
inter-track wagering and simulcast wagering by inter-track
wagering licensees and inter-track wagering location licensees
subject to the following terms and conditions:
        (1) Any person licensed to conduct a race meeting (i)
    at a track where 60 or more days of racing were conducted
    during the immediately preceding calendar year or where
    over the 5 immediately preceding calendar years an average
    of 30 or more days of racing were conducted annually may be
    issued an inter-track wagering license; (ii) at a track
    located in a county that is bounded by the Mississippi
    River, which has a population of less than 150,000
    according to the 1990 decennial census, and an average of
    at least 60 days of racing per year between 1985 and 1993
    may be issued an inter-track wagering license; or (iii) at
    a track located in Madison County that conducted at least
    100 days of live racing during the immediately preceding
    calendar year may be issued an inter-track wagering
    license, unless a lesser schedule of live racing is the
    result of (A) weather, unsafe track conditions, or other
    acts of God; (B) an agreement between the organization
    licensee and the associations representing the largest
    number of owners, trainers, jockeys, or standardbred
    drivers who race horses at that organization licensee's
    racing meeting; or (C) a finding by the Board of
    extraordinary circumstances and that it was in the best
    interest of the public and the sport to conduct fewer than
    100 days of live racing. Any such person having operating
    control of the racing facility may also receive up to 6
    inter-track wagering location licenses. In no event shall
    more than 6 inter-track wagering locations be established
    for each eligible race track, except that an eligible race
    track located in a county that has a population of more
    than 230,000 and that is bounded by the Mississippi River
    may establish up to 7 inter-track wagering locations and an
    eligible race track located in Cook County may establish up
    to 8 inter-track wagering locations. An application for
    said license shall be filed with the Board prior to such
    dates as may be fixed by the Board. With an application for
    an inter-track wagering location license there shall be
    delivered to the Board a certified check or bank draft
    payable to the order of the Board for an amount equal to
    $500. The application shall be on forms prescribed and
    furnished by the Board. The application shall comply with
    all other rules, regulations and conditions imposed by the
    Board in connection therewith.
        (2) The Board shall examine the applications with
    respect to their conformity with this Act and the rules and
    regulations imposed by the Board. If found to be in
    compliance with the Act and rules and regulations of the
    Board, the Board may then issue a license to conduct
    inter-track wagering and simulcast wagering to such
    applicant. All such applications shall be acted upon by the
    Board at a meeting to be held on such date as may be fixed
    by the Board.
        (3) In granting licenses to conduct inter-track
    wagering and simulcast wagering, the Board shall give due
    consideration to the best interests of the public, of horse
    racing, and of maximizing revenue to the State.
        (4) Prior to the issuance of a license to conduct
    inter-track wagering and simulcast wagering, the applicant
    shall file with the Board a bond payable to the State of
    Illinois in the sum of $50,000, executed by the applicant
    and a surety company or companies authorized to do business
    in this State, and conditioned upon (i) the payment by the
    licensee of all taxes due under Section 27 or 27.1 and any
    other monies due and payable under this Act, and (ii)
    distribution by the licensee, upon presentation of the
    winning ticket or tickets, of all sums payable to the
    patrons of pari-mutuel pools.
        (5) Each license to conduct inter-track wagering and
    simulcast wagering shall specify the person to whom it is
    issued, the dates on which such wagering is permitted, and
    the track or location where the wagering is to be
    conducted.
        (6) All wagering under such license is subject to this
    Act and to the rules and regulations from time to time
    prescribed by the Board, and every such license issued by
    the Board shall contain a recital to that effect.
        (7) An inter-track wagering licensee or inter-track
    wagering location licensee may accept wagers at the track
    or location where it is licensed, or as otherwise provided
    under this Act.
        (8) Inter-track wagering or simulcast wagering shall
    not be conducted at any track less than 5 miles from a
    track at which a racing meeting is in progress.
        (8.1) Inter-track wagering location licensees who
    derive their licenses from a particular organization
    licensee shall conduct inter-track wagering and simulcast
    wagering only at locations which are either within 90 miles
    of that race track where the particular organization
    licensee is licensed to conduct racing, or within 135 miles
    of that race track where the particular organization
    licensee is licensed to conduct racing in the case of race
    tracks in counties of less than 400,000 that were operating
    on or before June 1, 1986. However, inter-track wagering
    and simulcast wagering shall not be conducted by those
    licensees at any location within 5 miles of any race track
    at which a horse race meeting has been licensed in the
    current year, unless the person having operating control of
    such race track has given its written consent to such
    inter-track wagering location licensees, which consent
    must be filed with the Board at or prior to the time
    application is made. In the case of any inter-track
    wagering location licensee initially licensed after
    December 31, 2013, inter-track wagering and simulcast
    wagering shall not be conducted by those inter-track
    wagering location licensees that are located outside the
    City of Chicago at any location within 8 miles of any race
    track at which a horse race meeting has been licensed in
    the current year, unless the person having operating
    control of such race track has given its written consent to
    such inter-track wagering location licensees, which
    consent must be filed with the Board at or prior to the
    time application is made.
        (8.2) Inter-track wagering or simulcast wagering shall
    not be conducted by an inter-track wagering location
    licensee at any location within 500 feet of an existing
    church or existing school, nor within 500 feet of the
    residences of more than 50 registered voters without
    receiving written permission from a majority of the
    registered voters at such residences. Such written
    permission statements shall be filed with the Board. The
    distance of 500 feet shall be measured to the nearest part
    of any building used for worship services, education
    programs, residential purposes, or conducting inter-track
    wagering by an inter-track wagering location licensee, and
    not to property boundaries. However, inter-track wagering
    or simulcast wagering may be conducted at a site within 500
    feet of a church , school or residences of 50 or more
    registered voters if such church , school or residences
    have been erected or established, or such voters have been
    registered, after the Board issues the original
    inter-track wagering location license at the site in
    question. Inter-track wagering location licensees may
    conduct inter-track wagering and simulcast wagering only
    in areas that are zoned for commercial or manufacturing
    purposes or in areas for which a special use has been
    approved by the local zoning authority. However, no license
    to conduct inter-track wagering and simulcast wagering
    shall be granted by the Board with respect to any
    inter-track wagering location within the jurisdiction of
    any local zoning authority which has, by ordinance or by
    resolution, prohibited the establishment of an inter-track
    wagering location within its jurisdiction. However,
    inter-track wagering and simulcast wagering may be
    conducted at a site if such ordinance or resolution is
    enacted after the Board licenses the original inter-track
    wagering location licensee for the site in question.
        (9) (Blank).
        (10) An inter-track wagering licensee or an
    inter-track wagering location licensee may retain, subject
    to the payment of the privilege taxes and the purses, an
    amount not to exceed 17% of all money wagered. Each program
    of racing conducted by each inter-track wagering licensee
    or inter-track wagering location licensee shall be
    considered a separate racing day for the purpose of
    determining the daily handle and computing the privilege
    tax or pari-mutuel tax on such daily handle as provided in
    Section 27.
        (10.1) Except as provided in subsection (g) of Section
    27 of this Act, inter-track wagering location licensees
    shall pay 1% of the pari-mutuel handle at each location to
    the municipality in which such location is situated and 1%
    of the pari-mutuel handle at each location to the county in
    which such location is situated. In the event that an
    inter-track wagering location licensee is situated in an
    unincorporated area of a county, such licensee shall pay 2%
    of the pari-mutuel handle from such location to such
    county.
        (10.2) Notwithstanding any other provision of this
    Act, with respect to intertrack wagering at a race track
    located in a county that has a population of more than
    230,000 and that is bounded by the Mississippi River ("the
    first race track"), or at a facility operated by an
    inter-track wagering licensee or inter-track wagering
    location licensee that derives its license from the
    organization licensee that operates the first race track,
    on races conducted at the first race track or on races
    conducted at another Illinois race track and
    simultaneously televised to the first race track or to a
    facility operated by an inter-track wagering licensee or
    inter-track wagering location licensee that derives its
    license from the organization licensee that operates the
    first race track, those moneys shall be allocated as
    follows:
            (A) That portion of all moneys wagered on
        standardbred racing that is required under this Act to
        be paid to purses shall be paid to purses for
        standardbred races.
            (B) That portion of all moneys wagered on
        thoroughbred racing that is required under this Act to
        be paid to purses shall be paid to purses for
        thoroughbred races.
        (11) (A) After payment of the privilege or pari-mutuel
    tax, any other applicable taxes, and the costs and expenses
    in connection with the gathering, transmission, and
    dissemination of all data necessary to the conduct of
    inter-track wagering, the remainder of the monies retained
    under either Section 26 or Section 26.2 of this Act by the
    inter-track wagering licensee on inter-track wagering
    shall be allocated with 50% to be split between the 2
    participating licensees and 50% to purses, except that an
    intertrack wagering licensee that derives its license from
    a track located in a county with a population in excess of
    230,000 and that borders the Mississippi River shall not
    divide any remaining retention with the Illinois
    organization licensee that provides the race or races, and
    an intertrack wagering licensee that accepts wagers on
    races conducted by an organization licensee that conducts a
    race meet in a county with a population in excess of
    230,000 and that borders the Mississippi River shall not
    divide any remaining retention with that organization
    licensee.
        (B) From the sums permitted to be retained pursuant to
    this Act each inter-track wagering location licensee shall
    pay (i) the privilege or pari-mutuel tax to the State; (ii)
    4.75% of the pari-mutuel handle on intertrack wagering at
    such location on races as purses, except that an intertrack
    wagering location licensee that derives its license from a
    track located in a county with a population in excess of
    230,000 and that borders the Mississippi River shall retain
    all purse moneys for its own purse account consistent with
    distribution set forth in this subsection (h), and
    intertrack wagering location licensees that accept wagers
    on races conducted by an organization licensee located in a
    county with a population in excess of 230,000 and that
    borders the Mississippi River shall distribute all purse
    moneys to purses at the operating host track; (iii) until
    January 1, 2000, except as provided in subsection (g) of
    Section 27 of this Act, 1% of the pari-mutuel handle
    wagered on inter-track wagering and simulcast wagering at
    each inter-track wagering location licensee facility to
    the Horse Racing Tax Allocation Fund, provided that, to the
    extent the total amount collected and distributed to the
    Horse Racing Tax Allocation Fund under this subsection (h)
    during any calendar year exceeds the amount collected and
    distributed to the Horse Racing Tax Allocation Fund during
    calendar year 1994, that excess amount shall be
    redistributed (I) to all inter-track wagering location
    licensees, based on each licensee's pro-rata share of the
    total handle from inter-track wagering and simulcast
    wagering for all inter-track wagering location licensees
    during the calendar year in which this provision is
    applicable; then (II) the amounts redistributed to each
    inter-track wagering location licensee as described in
    subpart (I) shall be further redistributed as provided in
    subparagraph (B) of paragraph (5) of subsection (g) of this
    Section 26 provided first, that the shares of those
    amounts, which are to be redistributed to the host track or
    to purses at the host track under subparagraph (B) of
    paragraph (5) of subsection (g) of this Section 26 shall be
    redistributed based on each host track's pro rata share of
    the total inter-track wagering and simulcast wagering
    handle at all host tracks during the calendar year in
    question, and second, that any amounts redistributed as
    described in part (I) to an inter-track wagering location
    licensee that accepts wagers on races conducted by an
    organization licensee that conducts a race meet in a county
    with a population in excess of 230,000 and that borders the
    Mississippi River shall be further redistributed as
    provided in subparagraphs (D) and (E) of paragraph (7) of
    subsection (g) of this Section 26, with the portion of that
    further redistribution allocated to purses at that
    organization licensee to be divided between standardbred
    purses and thoroughbred purses based on the amounts
    otherwise allocated to purses at that organization
    licensee during the calendar year in question; and (iv) 8%
    of the pari-mutuel handle on inter-track wagering wagered
    at such location to satisfy all costs and expenses of
    conducting its wagering. The remainder of the monies
    retained by the inter-track wagering location licensee
    shall be allocated 40% to the location licensee and 60% to
    the organization licensee which provides the Illinois
    races to the location, except that an intertrack wagering
    location licensee that derives its license from a track
    located in a county with a population in excess of 230,000
    and that borders the Mississippi River shall not divide any
    remaining retention with the organization licensee that
    provides the race or races and an intertrack wagering
    location licensee that accepts wagers on races conducted by
    an organization licensee that conducts a race meet in a
    county with a population in excess of 230,000 and that
    borders the Mississippi River shall not divide any
    remaining retention with the organization licensee.
    Notwithstanding the provisions of clauses (ii) and (iv) of
    this paragraph, in the case of the additional inter-track
    wagering location licenses authorized under paragraph (1)
    of this subsection (h) by this amendatory Act of 1991,
    those licensees shall pay the following amounts as purses:
    during the first 12 months the licensee is in operation,
    5.25% of the pari-mutuel handle wagered at the location on
    races; during the second 12 months, 5.25%; during the third
    12 months, 5.75%; during the fourth 12 months, 6.25%; and
    during the fifth 12 months and thereafter, 6.75%. The
    following amounts shall be retained by the licensee to
    satisfy all costs and expenses of conducting its wagering:
    during the first 12 months the licensee is in operation,
    8.25% of the pari-mutuel handle wagered at the location;
    during the second 12 months, 8.25%; during the third 12
    months, 7.75%; during the fourth 12 months, 7.25%; and
    during the fifth 12 months and thereafter, 6.75%. For
    additional intertrack wagering location licensees
    authorized under this amendatory Act of 1995, purses for
    the first 12 months the licensee is in operation shall be
    5.75% of the pari-mutuel wagered at the location, purses
    for the second 12 months the licensee is in operation shall
    be 6.25%, and purses thereafter shall be 6.75%. For
    additional intertrack location licensees authorized under
    this amendatory Act of 1995, the licensee shall be allowed
    to retain to satisfy all costs and expenses: 7.75% of the
    pari-mutuel handle wagered at the location during its first
    12 months of operation, 7.25% during its second 12 months
    of operation, and 6.75% thereafter.
        (C) There is hereby created the Horse Racing Tax
    Allocation Fund which shall remain in existence until
    December 31, 1999. Moneys remaining in the Fund after
    December 31, 1999 shall be paid into the General Revenue
    Fund. Until January 1, 2000, all monies paid into the Horse
    Racing Tax Allocation Fund pursuant to this paragraph (11)
    by inter-track wagering location licensees located in park
    districts of 500,000 population or less, or in a
    municipality that is not included within any park district
    but is included within a conservation district and is the
    county seat of a county that (i) is contiguous to the state
    of Indiana and (ii) has a 1990 population of 88,257
    according to the United States Bureau of the Census, and
    operating on May 1, 1994 shall be allocated by
    appropriation as follows:
            Two-sevenths to the Department of Agriculture.
        Fifty percent of this two-sevenths shall be used to
        promote the Illinois horse racing and breeding
        industry, and shall be distributed by the Department of
        Agriculture upon the advice of a 9-member committee
        appointed by the Governor consisting of the following
        members: the Director of Agriculture, who shall serve
        as chairman; 2 representatives of organization
        licensees conducting thoroughbred race meetings in
        this State, recommended by those licensees; 2
        representatives of organization licensees conducting
        standardbred race meetings in this State, recommended
        by those licensees; a representative of the Illinois
        Thoroughbred Breeders and Owners Foundation,
        recommended by that Foundation; a representative of
        the Illinois Standardbred Owners and Breeders
        Association, recommended by that Association; a
        representative of the Horsemen's Benevolent and
        Protective Association or any successor organization
        thereto established in Illinois comprised of the
        largest number of owners and trainers, recommended by
        that Association or that successor organization; and a
        representative of the Illinois Harness Horsemen's
        Association, recommended by that Association.
        Committee members shall serve for terms of 2 years,
        commencing January 1 of each even-numbered year. If a
        representative of any of the above-named entities has
        not been recommended by January 1 of any even-numbered
        year, the Governor shall appoint a committee member to
        fill that position. Committee members shall receive no
        compensation for their services as members but shall be
        reimbursed for all actual and necessary expenses and
        disbursements incurred in the performance of their
        official duties. The remaining 50% of this
        two-sevenths shall be distributed to county fairs for
        premiums and rehabilitation as set forth in the
        Agricultural Fair Act;
            Four-sevenths to park districts or municipalities
        that do not have a park district of 500,000 population
        or less for museum purposes (if an inter-track wagering
        location licensee is located in such a park district)
        or to conservation districts for museum purposes (if an
        inter-track wagering location licensee is located in a
        municipality that is not included within any park
        district but is included within a conservation
        district and is the county seat of a county that (i) is
        contiguous to the state of Indiana and (ii) has a 1990
        population of 88,257 according to the United States
        Bureau of the Census, except that if the conservation
        district does not maintain a museum, the monies shall
        be allocated equally between the county and the
        municipality in which the inter-track wagering
        location licensee is located for general purposes) or
        to a municipal recreation board for park purposes (if
        an inter-track wagering location licensee is located
        in a municipality that is not included within any park
        district and park maintenance is the function of the
        municipal recreation board and the municipality has a
        1990 population of 9,302 according to the United States
        Bureau of the Census); provided that the monies are
        distributed to each park district or conservation
        district or municipality that does not have a park
        district in an amount equal to four-sevenths of the
        amount collected by each inter-track wagering location
        licensee within the park district or conservation
        district or municipality for the Fund. Monies that were
        paid into the Horse Racing Tax Allocation Fund before
        the effective date of this amendatory Act of 1991 by an
        inter-track wagering location licensee located in a
        municipality that is not included within any park
        district but is included within a conservation
        district as provided in this paragraph shall, as soon
        as practicable after the effective date of this
        amendatory Act of 1991, be allocated and paid to that
        conservation district as provided in this paragraph.
        Any park district or municipality not maintaining a
        museum may deposit the monies in the corporate fund of
        the park district or municipality where the
        inter-track wagering location is located, to be used
        for general purposes; and
            One-seventh to the Agricultural Premium Fund to be
        used for distribution to agricultural home economics
        extension councils in accordance with "An Act in
        relation to additional support and finances for the
        Agricultural and Home Economic Extension Councils in
        the several counties of this State and making an
        appropriation therefor", approved July 24, 1967.
        Until January 1, 2000, all other monies paid into the
    Horse Racing Tax Allocation Fund pursuant to this paragraph
    (11) shall be allocated by appropriation as follows:
            Two-sevenths to the Department of Agriculture.
        Fifty percent of this two-sevenths shall be used to
        promote the Illinois horse racing and breeding
        industry, and shall be distributed by the Department of
        Agriculture upon the advice of a 9-member committee
        appointed by the Governor consisting of the following
        members: the Director of Agriculture, who shall serve
        as chairman; 2 representatives of organization
        licensees conducting thoroughbred race meetings in
        this State, recommended by those licensees; 2
        representatives of organization licensees conducting
        standardbred race meetings in this State, recommended
        by those licensees; a representative of the Illinois
        Thoroughbred Breeders and Owners Foundation,
        recommended by that Foundation; a representative of
        the Illinois Standardbred Owners and Breeders
        Association, recommended by that Association; a
        representative of the Horsemen's Benevolent and
        Protective Association or any successor organization
        thereto established in Illinois comprised of the
        largest number of owners and trainers, recommended by
        that Association or that successor organization; and a
        representative of the Illinois Harness Horsemen's
        Association, recommended by that Association.
        Committee members shall serve for terms of 2 years,
        commencing January 1 of each even-numbered year. If a
        representative of any of the above-named entities has
        not been recommended by January 1 of any even-numbered
        year, the Governor shall appoint a committee member to
        fill that position. Committee members shall receive no
        compensation for their services as members but shall be
        reimbursed for all actual and necessary expenses and
        disbursements incurred in the performance of their
        official duties. The remaining 50% of this
        two-sevenths shall be distributed to county fairs for
        premiums and rehabilitation as set forth in the
        Agricultural Fair Act;
            Four-sevenths to museums and aquariums located in
        park districts of over 500,000 population; provided
        that the monies are distributed in accordance with the
        previous year's distribution of the maintenance tax
        for such museums and aquariums as provided in Section 2
        of the Park District Aquarium and Museum Act; and
            One-seventh to the Agricultural Premium Fund to be
        used for distribution to agricultural home economics
        extension councils in accordance with "An Act in
        relation to additional support and finances for the
        Agricultural and Home Economic Extension Councils in
        the several counties of this State and making an
        appropriation therefor", approved July 24, 1967. This
        subparagraph (C) shall be inoperative and of no force
        and effect on and after January 1, 2000.
            (D) Except as provided in paragraph (11) of this
        subsection (h), with respect to purse allocation from
        intertrack wagering, the monies so retained shall be
        divided as follows:
                (i) If the inter-track wagering licensee,
            except an intertrack wagering licensee that
            derives its license from an organization licensee
            located in a county with a population in excess of
            230,000 and bounded by the Mississippi River, is
            not conducting its own race meeting during the same
            dates, then the entire purse allocation shall be to
            purses at the track where the races wagered on are
            being conducted.
                (ii) If the inter-track wagering licensee,
            except an intertrack wagering licensee that
            derives its license from an organization licensee
            located in a county with a population in excess of
            230,000 and bounded by the Mississippi River, is
            also conducting its own race meeting during the
            same dates, then the purse allocation shall be as
            follows: 50% to purses at the track where the races
            wagered on are being conducted; 50% to purses at
            the track where the inter-track wagering licensee
            is accepting such wagers.
                (iii) If the inter-track wagering is being
            conducted by an inter-track wagering location
            licensee, except an intertrack wagering location
            licensee that derives its license from an
            organization licensee located in a county with a
            population in excess of 230,000 and bounded by the
            Mississippi River, the entire purse allocation for
            Illinois races shall be to purses at the track
            where the race meeting being wagered on is being
            held.
        (12) The Board shall have all powers necessary and
    proper to fully supervise and control the conduct of
    inter-track wagering and simulcast wagering by inter-track
    wagering licensees and inter-track wagering location
    licensees, including, but not limited to the following:
            (A) The Board is vested with power to promulgate
        reasonable rules and regulations for the purpose of
        administering the conduct of this wagering and to
        prescribe reasonable rules, regulations and conditions
        under which such wagering shall be held and conducted.
        Such rules and regulations are to provide for the
        prevention of practices detrimental to the public
        interest and for the best interests of said wagering
        and to impose penalties for violations thereof.
            (B) The Board, and any person or persons to whom it
        delegates this power, is vested with the power to enter
        the facilities of any licensee to determine whether
        there has been compliance with the provisions of this
        Act and the rules and regulations relating to the
        conduct of such wagering.
            (C) The Board, and any person or persons to whom it
        delegates this power, may eject or exclude from any
        licensee's facilities, any person whose conduct or
        reputation is such that his presence on such premises
        may, in the opinion of the Board, call into the
        question the honesty and integrity of, or interfere
        with the orderly conduct of such wagering; provided,
        however, that no person shall be excluded or ejected
        from such premises solely on the grounds of race,
        color, creed, national origin, ancestry, or sex.
            (D) (Blank).
            (E) The Board is vested with the power to appoint
        delegates to execute any of the powers granted to it
        under this Section for the purpose of administering
        this wagering and any rules and regulations
        promulgated in accordance with this Act.
            (F) The Board shall name and appoint a State
        director of this wagering who shall be a representative
        of the Board and whose duty it shall be to supervise
        the conduct of inter-track wagering as may be provided
        for by the rules and regulations of the Board; such
        rules and regulation shall specify the method of
        appointment and the Director's powers, authority and
        duties.
            (G) The Board is vested with the power to impose
        civil penalties of up to $5,000 against individuals and
        up to $10,000 against licensees for each violation of
        any provision of this Act relating to the conduct of
        this wagering, any rules adopted by the Board, any
        order of the Board or any other action which in the
        Board's discretion, is a detriment or impediment to
        such wagering.
        (13) The Department of Agriculture may enter into
    agreements with licensees authorizing such licensees to
    conduct inter-track wagering on races to be held at the
    licensed race meetings conducted by the Department of
    Agriculture. Such agreement shall specify the races of the
    Department of Agriculture's licensed race meeting upon
    which the licensees will conduct wagering. In the event
    that a licensee conducts inter-track pari-mutuel wagering
    on races from the Illinois State Fair or DuQuoin State Fair
    which are in addition to the licensee's previously approved
    racing program, those races shall be considered a separate
    racing day for the purpose of determining the daily handle
    and computing the privilege or pari-mutuel tax on that
    daily handle as provided in Sections 27 and 27.1. Such
    agreements shall be approved by the Board before such
    wagering may be conducted. In determining whether to grant
    approval, the Board shall give due consideration to the
    best interests of the public and of horse racing. The
    provisions of paragraphs (1), (8), (8.1), and (8.2) of
    subsection (h) of this Section which are not specified in
    this paragraph (13) shall not apply to licensed race
    meetings conducted by the Department of Agriculture at the
    Illinois State Fair in Sangamon County or the DuQuoin State
    Fair in Perry County, or to any wagering conducted on those
    race meetings.
    (i) Notwithstanding the other provisions of this Act, the
conduct of wagering at wagering facilities is authorized on all
days, except as limited by subsection (b) of Section 19 of this
Act.
(Source: P.A. 97-1060, eff. 8-24-12; 98-18, eff. 6-7-13.)
 
    (230 ILCS 5/26.8 new)
    Sec. 26.8. Beginning on February 1, 2014 and until January
31, 2017, each wagering licensee may impose a surcharge of up
to 0.5% on winning wagers and winnings from wagers. The
surcharge shall be deducted from winnings prior to payout. All
amounts collected from the imposition of this surcharge shall
be evenly distributed to the organization licensee and the
purse account of the organization licensee with which the
licensee is affiliated. The amounts distributed under this
Section shall be in addition to the amounts paid pursuant to
paragraph (10) of subsection (h) of Section 26, Section 26.3,
Section 26.4, Section 26.5, and Section 26.7.
 
    (230 ILCS 5/26.9 new)
    Sec. 26.9. Beginning on February 1, 2014 until January 31,
2017, in addition to the surcharge imposed in Sections 26.3,
26.4, 26.5, 26.7, and 26.8 of this Act, each licensee shall
impose a surcharge of 0.2% on winning wagers and winnings from
wagers. The surcharge shall be deducted from winnings prior to
payout. All amounts collected from the surcharges imposed under
this Section shall be remitted to the Board. From amounts
collected under this Section, the Board shall deposit an amount
not to exceed $100,000 annually into the Quarter Horse Purse
Fund and all remaining amounts into the Horse Racing Fund.
 
    (230 ILCS 5/27)  (from Ch. 8, par. 37-27)
    Sec. 27. (a) In addition to the organization license fee
provided by this Act, until January 1, 2000, a graduated
privilege tax is hereby imposed for conducting the pari-mutuel
system of wagering permitted under this Act. Until January 1,
2000, except as provided in subsection (g) of Section 27 of
this Act, all of the breakage of each racing day held by any
licensee in the State shall be paid to the State. Until January
1, 2000, such daily graduated privilege tax shall be paid by
the licensee from the amount permitted to be retained under
this Act. Until January 1, 2000, each day's graduated privilege
tax, breakage, and Horse Racing Tax Allocation funds shall be
remitted to the Department of Revenue within 48 hours after the
close of the racing day upon which it is assessed or within
such other time as the Board prescribes. The privilege tax
hereby imposed, until January 1, 2000, shall be a flat tax at
the rate of 2% of the daily pari-mutuel handle except as
provided in Section 27.1.
    In addition, every organization licensee, except as
provided in Section 27.1 of this Act, which conducts multiple
wagering shall pay, until January 1, 2000, as a privilege tax
on multiple wagers an amount equal to 1.25% of all moneys
wagered each day on such multiple wagers, plus an additional
amount equal to 3.5% of the amount wagered each day on any
other multiple wager which involves a single betting interest
on 3 or more horses. The licensee shall remit the amount of
such taxes to the Department of Revenue within 48 hours after
the close of the racing day on which it is assessed or within
such other time as the Board prescribes.
    This subsection (a) shall be inoperative and of no force
and effect on and after January 1, 2000.
    (a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
at the rate of 1.5% of the daily pari-mutuel handle is imposed
at all pari-mutuel wagering facilities and on advance deposit
wagering from a location other than a wagering facility, except
as otherwise provided for in this subsection (a-5). In addition
to the pari-mutuel tax imposed on advance deposit wagering
pursuant to this subsection (a-5), beginning on August 24, 2012
(the effective date of Public Act 97-1060) this amendatory Act
of the 97th General Assembly until February 1, 2017 January 31,
2014, an additional pari-mutuel tax at the rate of 0.25% shall
be imposed on advance deposit wagering. Until August 25, 2012,
the additional 0.25% pari-mutuel tax imposed on advance deposit
wagering by Public Act 96-972 shall be deposited into the
Quarter Horse Purse Fund, which shall be created as a
non-appropriated trust fund administered by the Board for
grants to thoroughbred organization licensees for payment of
purses for quarter horse races conducted by the organization
licensee. Beginning on August 26, 2012, the additional 0.25%
pari-mutuel tax imposed on advance deposit wagering shall be
deposited into the Standardbred Purse Fund, which shall be
created as a non-appropriated trust fund administered by the
Board, for grants to the standardbred organization licensees
for payment of purses for standardbred horse races conducted by
the organization licensee. Thoroughbred organization licensees
may petition the Board to conduct quarter horse racing and
receive purse grants from the Quarter Horse Purse Fund. The
Board shall have complete discretion in distributing the
Quarter Horse Purse Fund to the petitioning organization
licensees. Beginning on July 26, 2010 (the effective date of
Public Act 96-1287), a pari-mutuel tax at the rate of 0.75% of
the daily pari-mutuel handle is imposed at a pari-mutuel
facility whose license is derived from a track located in a
county that borders the Mississippi River and conducted live
racing in the previous year. The pari-mutuel tax imposed by
this subsection (a-5) shall be remitted to the Department of
Revenue within 48 hours after the close of the racing day upon
which it is assessed or within such other time as the Board
prescribes.
    (b) On or before December 31, 1999, in the event that any
organization licensee conducts 2 separate programs of races on
any day, each such program shall be considered a separate
racing day for purposes of determining the daily handle and
computing the privilege tax on such daily handle as provided in
subsection (a) of this Section.
    (c) Licensees shall at all times keep accurate books and
records of all monies wagered on each day of a race meeting and
of the taxes paid to the Department of Revenue under the
provisions of this Section. The Board or its duly authorized
representative or representatives shall at all reasonable
times have access to such records for the purpose of examining
and checking the same and ascertaining whether the proper
amount of taxes is being paid as provided. The Board shall
require verified reports and a statement of the total of all
monies wagered daily at each wagering facility upon which the
taxes are assessed and may prescribe forms upon which such
reports and statement shall be made.
    (d) Any licensee failing or refusing to pay the amount of
any tax due under this Section shall be guilty of a business
offense and upon conviction shall be fined not more than $5,000
in addition to the amount found due as tax under this Section.
Each day's violation shall constitute a separate offense. All
fines paid into Court by a licensee hereunder shall be
transmitted and paid over by the Clerk of the Court to the
Board.
    (e) No other license fee, privilege tax, excise tax, or
racing fee, except as provided in this Act, shall be assessed
or collected from any such licensee by the State.
    (f) No other license fee, privilege tax, excise tax or
racing fee shall be assessed or collected from any such
licensee by units of local government except as provided in
paragraph 10.1 of subsection (h) and subsection (f) of Section
26 of this Act. However, any municipality that has a Board
licensed horse race meeting at a race track wholly within its
corporate boundaries or a township that has a Board licensed
horse race meeting at a race track wholly within the
unincorporated area of the township may charge a local
amusement tax not to exceed 10 per admission to such horse
race meeting by the enactment of an ordinance. However, any
municipality or county that has a Board licensed inter-track
wagering location facility wholly within its corporate
boundaries may each impose an admission fee not to exceed $1.00
per admission to such inter-track wagering location facility,
so that a total of not more than $2.00 per admission may be
imposed. Except as provided in subparagraph (g) of Section 27
of this Act, the inter-track wagering location licensee shall
collect any and all such fees and within 48 hours remit the
fees to the Board, which shall, pursuant to rule, cause the
fees to be distributed to the county or municipality.
    (g) Notwithstanding any provision in this Act to the
contrary, if in any calendar year the total taxes and fees
required to be collected from licensees and distributed under
this Act to all State and local governmental authorities
exceeds the amount of such taxes and fees distributed to each
State and local governmental authority to which each State and
local governmental authority was entitled under this Act for
calendar year 1994, then the first $11 million of that excess
amount shall be allocated at the earliest possible date for
distribution as purse money for the succeeding calendar year.
Upon reaching the 1994 level, and until the excess amount of
taxes and fees exceeds $11 million, the Board shall direct all
licensees to cease paying the subject taxes and fees and the
Board shall direct all licensees to allocate any such excess
amount for purses as follows:
        (i) the excess amount shall be initially divided
    between thoroughbred and standardbred purses based on the
    thoroughbred's and standardbred's respective percentages
    of total Illinois live wagering in calendar year 1994;
        (ii) each thoroughbred and standardbred organization
    licensee issued an organization licensee in that
    succeeding allocation year shall be allocated an amount
    equal to the product of its percentage of total Illinois
    live thoroughbred or standardbred wagering in calendar
    year 1994 (the total to be determined based on the sum of
    1994 on-track wagering for all organization licensees
    issued organization licenses in both the allocation year
    and the preceding year) multiplied by the total amount
    allocated for standardbred or thoroughbred purses,
    provided that the first $1,500,000 of the amount allocated
    to standardbred purses under item (i) shall be allocated to
    the Department of Agriculture to be expended with the
    assistance and advice of the Illinois Standardbred
    Breeders Funds Advisory Board for the purposes listed in
    subsection (g) of Section 31 of this Act, before the amount
    allocated to standardbred purses under item (i) is
    allocated to standardbred organization licensees in the
    succeeding allocation year.
    To the extent the excess amount of taxes and fees to be
collected and distributed to State and local governmental
authorities exceeds $11 million, that excess amount shall be
collected and distributed to State and local authorities as
provided for under this Act.
(Source: P.A. 97-1060, eff. 8-24-12; 98-18, eff. 6-7-13.)
 
    (230 ILCS 5/28.1)
    Sec. 28.1. Payments.
    (a) Beginning on January 1, 2000, moneys collected by the
Department of Revenue and the Racing Board pursuant to Section
26 or Section 27 of this Act shall be deposited into the Horse
Racing Fund, which is hereby created as a special fund in the
State Treasury.
    (b) Appropriations, as approved by the General Assembly,
may be made from the Horse Racing Fund to the Board to pay the
salaries of the Board members, secretary, stewards, directors
of mutuels, veterinarians, representatives, accountants,
clerks, stenographers, inspectors and other employees of the
Board, and all expenses of the Board incident to the
administration of this Act, including, but not limited to, all
expenses and salaries incident to the taking of saliva and
urine samples in accordance with the rules and regulations of
the Board.
    (c) (Blank) Beginning on January 1, 2000, the Board shall
transfer the remainder of the funds generated pursuant to
Sections 26 and 27 from the Horse Racing Fund into the General
Revenue Fund.
    (d) Beginning January 1, 2000, payments to all programs in
existence on the effective date of this amendatory Act of 1999
that are identified in Sections 26(c), 26(f), 26(h)(11)(C), and
28, subsections (a), (b), (c), (d), (e), (f), (g), and (h) of
Section 30, and subsections (a), (b), (c), (d), (e), (f), (g),
and (h) of Section 31 shall be made from the General Revenue
Fund at the funding levels determined by amounts paid under
this Act in calendar year 1998. Beginning on the effective date
of this amendatory Act of the 93rd General Assembly, payments
to the Peoria Park District shall be made from the General
Revenue Fund at the funding level determined by amounts paid to
that park district for museum purposes under this Act in
calendar year 1994.
    If an inter-track wagering location licensee's facility
changes its location, then the payments associated with that
facility under this subsection (d) for museum purposes shall be
paid to the park district in the area where the facility
relocates, and the payments shall be used for museum purposes.
If the facility does not relocate to a park district, then the
payments shall be paid to the taxing district that is
responsible for park or museum expenditures.
    (e) Beginning July 1, 2006, the payment authorized under
subsection (d) to museums and aquariums located in park
districts of over 500,000 population shall be paid to museums,
aquariums, and zoos in amounts determined by Museums in the
Park, an association of museums, aquariums, and zoos located on
Chicago Park District property.
    (f) Beginning July 1, 2007, the Children's Discovery Museum
in Normal, Illinois shall receive payments from the General
Revenue Fund at the funding level determined by the amounts
paid to the Miller Park Zoo in Bloomington, Illinois under this
Section in calendar year 2006.
(Source: P.A. 95-222, eff. 8-16-07; 96-562, eff. 8-18-09.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.