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| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020 HB5037 Introduced 2/18/2020, by Rep. Robert Rita SYNOPSIS AS INTRODUCED: |
| 230 ILCS 10/5.1 | from Ch. 120, par. 2405.1 | 230 ILCS 10/7 | from Ch. 120, par. 2407 | 230 ILCS 10/7.6 | | 230 ILCS 10/7.7 | | 230 ILCS 10/8 | from Ch. 120, par. 2408 | 230 ILCS 40/15 | | 230 ILCS 40/80 | |
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Amends the Illinois Gambling Act. Makes changes to the information the Illinois Gaming Board requires from applicants and licensees. Provides that a qualifying owners licensee may obtain up to the maximum of 2,000 additional gaming positions at any time. Provides that payment for additional gaming positions may be made on a monthly basis, subject to payment schedules specified by the Board. Removes language requiring an owners licensee to reserve gaming positions within 30 days of the effective date of Public Act 101-31, with a 30-day extension approved by the Board. Provides that the Board shall file its report concerning the business enterprise program no later than July 1 of each year (rather than March 1). Provides that an applicant for a suppliers license that holds a specified license under the Video Gaming Act shall not be subject to additional Board investigations as a condition for licensure, except by vote of the Board. Makes conforming changes in and further amends the Video Gaming Act. Allows the Board to impose a fee to an establishment authorized to conduct video gaming under the Act or a terminal operator to cover the costs of operating the central communications system. Makes other changes.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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1 | | AN ACT concerning gaming.
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2 | | Be it enacted by the People of the State of Illinois,
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3 | | represented in the General Assembly:
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4 | | Section 5. The Illinois Gambling Act is amended by changing |
5 | | Sections 5.1, 7, 7.6, 7.7, and 8 as follows:
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6 | | (230 ILCS 10/5.1) (from Ch. 120, par. 2405.1)
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7 | | Sec. 5.1. Disclosure of records.
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8 | | (a) Notwithstanding any applicable statutory provision to |
9 | | the contrary,
the Board shall, on written request from any |
10 | | person, provide
information furnished by an applicant or |
11 | | licensee concerning the applicant
or licensee, his products, |
12 | | services or gambling enterprises and his
business holdings, as |
13 | | follows:
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14 | | (1) The name, business address and business telephone |
15 | | number of any
applicant or licensee.
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16 | | (2) An identification of any applicant or licensee |
17 | | including, if an
applicant or licensee is not an |
18 | | individual, the state of incorporation or registration and |
19 | | names of the corporate officers, directors, and |
20 | | stockholders, if the entity is a corporation; the state of |
21 | | formation and names of all members, if the entity is a |
22 | | limited liability company; the names of all partners, both |
23 | | general and limited, if the entity is a partnership; and |
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1 | | the names of all participants in the trust,if the entity is |
2 | | a trust the names and addresses of all stockholders and |
3 | | directors, if the entity is a corporation; the names and |
4 | | addresses of all members, if the entity is a limited |
5 | | liability company; the names and addresses of all partners, |
6 | | both general and limited, if the entity is a partnership; |
7 | | and the names and addresses of all beneficiaries, if the |
8 | | entity is a trust . If an applicant or licensee has a |
9 | | pending registration
statement filed with the Securities |
10 | | and Exchange Commission, only the names
of those persons or |
11 | | entities holding interest of 5% or more must be provided.
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12 | | (3) An identification of any business, including, if |
13 | | applicable, the
state of incorporation or registration, in |
14 | | which an applicant or licensee
or an applicant's or |
15 | | licensee's spouse or children has an equity interest
of |
16 | | more than 1%. If an applicant or licensee is a corporation, |
17 | | partnership
or other business entity, the applicant or |
18 | | licensee shall identify any
other corporation, partnership |
19 | | or business entity in which it has an equity
interest of 1%
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20 | | or more, including, if applicable, the state of
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21 | | incorporation or registration. This information need not |
22 | | be provided by a
corporation, partnership or other business |
23 | | entity that has a pending
registration statement filed with |
24 | | the Securities and Exchange Commission.
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25 | | (4) Whether an applicant or licensee has been indicted, |
26 | | convicted,
pleaded guilty or nolo contendere, or forfeited |
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1 | | bail concerning any
criminal offense under the laws of any |
2 | | jurisdiction, either felony or
misdemeanor (except for |
3 | | traffic violations), including the date, the name
and |
4 | | location of the court, arresting agency and prosecuting |
5 | | agency, the
case number, the offense, the disposition and |
6 | | the location and length of
incarceration.
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7 | | (5) Whether an applicant or licensee has had any |
8 | | license or
certificate issued by a licensing authority in |
9 | | Illinois or any other
jurisdiction denied, restricted, |
10 | | suspended, revoked or not renewed and a
statement |
11 | | describing the facts and circumstances concerning the |
12 | | denial,
restriction, suspension, revocation or |
13 | | non-renewal, including the licensing
authority, the date |
14 | | each such action was taken, and the reason for each
such |
15 | | action.
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16 | | (6) Whether an applicant or licensee has ever filed or |
17 | | had filed against
it a proceeding in bankruptcy or has ever |
18 | | been involved in any formal
process to adjust, defer, |
19 | | suspend or otherwise work out the payment of any
debt |
20 | | including the date of filing, the name and location of the |
21 | | court, the
case and number of the disposition.
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22 | | (7) Whether an applicant or licensee has filed, or been |
23 | | served with a
complaint or other notice filed with any |
24 | | public body, regarding the
delinquency in the payment of, |
25 | | or a dispute over the filings concerning the
payment of, |
26 | | any tax required under federal, State or local law, |
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1 | | including
the amount, type of tax, the taxing agency and |
2 | | time periods involved.
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3 | | (8) A statement listing the names and titles of all |
4 | | public officials
or officers of any unit of government, and |
5 | | relatives of said
public officials or officers who, |
6 | | directly or indirectly, own
any financial interest in, have |
7 | | any beneficial interest in, are the
creditors of or hold |
8 | | any debt instrument issued by, or hold or have any
interest |
9 | | in any contractual or service relationship with, an |
10 | | applicant
or licensee.
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11 | | (9) Whether an applicant or licensee has made, directly |
12 | | or indirectly,
any political contribution, or any loans, |
13 | | donations or other payments, to
any candidate or office |
14 | | holder, within 5 years from the date of filing the
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15 | | application, including the amount and the method of |
16 | | payment.
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17 | | (10) The name and business telephone number of the |
18 | | counsel
representing an applicant or licensee in matters |
19 | | before the Board.
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20 | | (11) A description of any proposed or approved gambling |
21 | | operation, including the type of boat, home dock, or casino |
22 | | or gaming location, expected
economic benefit to the |
23 | | community, anticipated or actual number of
employees, any |
24 | | statement from an applicant or licensee regarding |
25 | | compliance
with federal and State affirmative action |
26 | | guidelines, projected or actual
admissions and projected |
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1 | | or actual adjusted gross gaming receipts.
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2 | | (12) A description of the product or service to be |
3 | | supplied by an
applicant for a supplier's license.
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4 | | (b) Notwithstanding any applicable statutory provision to |
5 | | the contrary,
the Board shall, on written request from any |
6 | | person, also provide
the following information:
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7 | | (1) The amount of the wagering tax and admission tax |
8 | | paid daily to the
State of Illinois by the holder of an |
9 | | owner's license.
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10 | | (2) Whenever the Board finds an applicant for an |
11 | | owner's license
unsuitable for licensing, a copy of the |
12 | | written letter outlining the
reasons for the denial.
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13 | | (3) Whenever the Board has refused to grant leave for |
14 | | an applicant to
withdraw his application, a copy of the |
15 | | letter outlining the reasons for
the refusal.
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16 | | (c) Subject to the above provisions, the Board shall not |
17 | | disclose any
information which would be barred by:
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18 | | (1) Section 7 of the Freedom of Information Act; or
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19 | | (2) The statutes, rules, regulations or |
20 | | intergovernmental agreements
of any jurisdiction.
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21 | | (d) The Board may assess fees for the copying of |
22 | | information in
accordance with Section 6 of the Freedom of |
23 | | Information Act.
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24 | | (Source: P.A. 101-31, eff. 6-28-19.)
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25 | | (230 ILCS 10/7) (from Ch. 120, par. 2407)
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1 | | Sec. 7. Owners licenses.
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2 | | (a) The Board shall issue owners licenses to persons or |
3 | | entities that apply for such licenses upon payment to the Board |
4 | | of the
non-refundable license fee as provided in subsection (e) |
5 | | or (e-5) and upon a determination by the Board that the
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6 | | applicant is eligible for an owners license pursuant to this |
7 | | Act and the
rules of the Board. From the effective date of this |
8 | | amendatory Act of the 95th General Assembly until (i) 3 years |
9 | | after the effective date of this amendatory Act of the 95th |
10 | | General Assembly, (ii) the date any organization licensee |
11 | | begins to operate a slot machine or video game of chance under |
12 | | the Illinois Horse Racing Act of 1975 or this Act, (iii) the |
13 | | date that payments begin under subsection (c-5) of Section 13 |
14 | | of this the Act, (iv) the wagering tax imposed under Section 13 |
15 | | of this Act is increased by law to reflect a tax rate that is at |
16 | | least as stringent or more stringent than the tax rate |
17 | | contained in subsection (a-3) of Section 13, or (v) when an |
18 | | owners licensee holding a license issued pursuant to Section |
19 | | 7.1 of this Act begins conducting gaming, whichever occurs |
20 | | first, as a condition of licensure and as an alternative source |
21 | | of payment for those funds payable under subsection (c-5) of |
22 | | Section 13 of this Act, any owners licensee that holds or |
23 | | receives its owners license on or after the effective date of |
24 | | this amendatory Act of the 94th General Assembly, other than an |
25 | | owners licensee operating a riverboat with adjusted gross |
26 | | receipts in calendar year 2004 of less than $200,000,000, must |
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1 | | pay into the Horse Racing Equity Trust Fund, in addition to any |
2 | | other payments required under this Act, an amount equal to 3% |
3 | | of the adjusted gross receipts received by the owners licensee. |
4 | | The payments required under this Section shall be made by the |
5 | | owners licensee to the State Treasurer no later than 3:00 |
6 | | o'clock p.m. of the day after the day when the adjusted gross |
7 | | receipts were received by the owners licensee. A person or |
8 | | entity is ineligible to receive
an owners license if:
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9 | | (1) the person has been convicted of a felony under the |
10 | | laws of this
State, any other state, or the United States;
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11 | | (2) the person has been convicted of any violation of |
12 | | Article 28 of the
Criminal Code of 1961 or the Criminal |
13 | | Code of 2012, or substantially similar laws of any other |
14 | | jurisdiction;
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15 | | (3) the person has submitted an application for a |
16 | | license under this
Act which contains false information;
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17 | | (4) the person is
a member of the Board;
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18 | | (5) a person defined in (1), (2), (3) , or (4) is an |
19 | | officer, director , or
managerial employee of the entity;
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20 | | (6) the entity employs a person defined in (1), (2), |
21 | | (3) , or
(4) who participates in the management or operation |
22 | | of gambling operations
authorized under this Act;
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23 | | (7) (blank); or
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24 | | (8) a license of the person or entity issued under
this |
25 | | Act, or a license to own or operate gambling facilities
in |
26 | | any other jurisdiction, has been revoked.
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1 | | The Board is expressly prohibited from making changes to |
2 | | the requirement that licensees make payment into the Horse |
3 | | Racing Equity Trust Fund without the express authority of the |
4 | | Illinois General Assembly and making any other rule to |
5 | | implement or interpret this amendatory Act of the 95th General |
6 | | Assembly. For the purposes of this paragraph, "rules" is given |
7 | | the meaning given to that term in Section 1-70 of the Illinois |
8 | | Administrative Procedure Act. |
9 | | (b) In determining whether to grant an owners license to an |
10 | | applicant, the
Board shall consider:
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11 | | (1) the character, reputation, experience , and |
12 | | financial integrity of the
applicants and of any other or |
13 | | separate person that either:
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14 | | (A) controls, directly or indirectly, such |
15 | | applicant, or
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16 | | (B) is controlled, directly or indirectly, by such |
17 | | applicant or by a
person which controls, directly or |
18 | | indirectly, such applicant;
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19 | | (2) the facilities or proposed facilities for the |
20 | | conduct of
gambling;
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21 | | (3) the highest prospective total revenue to be derived |
22 | | by the State
from the conduct of gambling;
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23 | | (4) the extent to which the ownership of the applicant |
24 | | reflects the
diversity of the State by including minority |
25 | | persons, women, and persons with a disability
and the good |
26 | | faith affirmative action plan of
each applicant to recruit, |
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1 | | train and upgrade minority persons, women, and persons with |
2 | | a disability in all employment classifications; the Board |
3 | | shall further consider granting an owners license and |
4 | | giving preference to an applicant under this Section to |
5 | | applicants in which minority persons and women hold |
6 | | ownership interest of at least 16% and 4%, respectively.
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7 | | (4.5) the extent to which the ownership of the |
8 | | applicant includes veterans of service in the armed forces |
9 | | of the United States, and the good faith affirmative action |
10 | | plan of each applicant to recruit, train, and upgrade |
11 | | veterans of service in the armed forces of the United |
12 | | States in all employment classifications; |
13 | | (5) the financial ability of the applicant to purchase |
14 | | and maintain
adequate liability and casualty insurance;
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15 | | (6) whether the applicant has adequate capitalization |
16 | | to provide and
maintain, for the duration of a license, a |
17 | | riverboat or casino;
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18 | | (7) the extent to which the applicant exceeds or meets |
19 | | other standards
for the issuance of an owners license which |
20 | | the Board may adopt by rule;
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21 | | (8) the amount of the applicant's license bid;
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22 | | (9) the extent to which the applicant or the proposed |
23 | | host municipality plans to enter into revenue sharing |
24 | | agreements with communities other than the host |
25 | | municipality; and |
26 | | (10) the extent to which the ownership of an applicant |
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1 | | includes the most qualified number of minority persons, |
2 | | women, and persons with a disability. |
3 | | (c) Each owners license shall specify the place where the |
4 | | casino shall
operate or the riverboat shall operate and dock.
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5 | | (d) Each applicant shall submit with his or her |
6 | | application, on forms
provided by the Board, 2 sets of his or |
7 | | her fingerprints.
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8 | | (e) In addition to any licenses authorized under subsection |
9 | | (e-5) of this Section, the Board may issue up to 10 licenses |
10 | | authorizing the holders of such
licenses to own riverboats. In |
11 | | the application for an owners license, the
applicant shall |
12 | | state the dock at which the riverboat is based and the water
on |
13 | | which the riverboat will be located. The Board shall issue 5 |
14 | | licenses to
become effective not earlier than January 1, 1991. |
15 | | Three of such licenses
shall authorize riverboat gambling on |
16 | | the Mississippi River, or, with approval
by the municipality in |
17 | | which the
riverboat was docked on August 7, 2003 and with Board |
18 | | approval, be authorized to relocate to a new location,
in a
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19 | | municipality that (1) borders on the Mississippi River or is |
20 | | within 5
miles of the city limits of a municipality that |
21 | | borders on the Mississippi
River and (2) , on August 7, 2003, |
22 | | had a riverboat conducting riverboat gambling operations |
23 | | pursuant to
a license issued under this Act; one of which shall |
24 | | authorize riverboat
gambling from a home dock in the city of |
25 | | East St. Louis; and one of which shall authorize riverboat
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26 | | gambling from a home dock in the City of Alton. One other |
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1 | | license
shall
authorize riverboat gambling on
the Illinois |
2 | | River in the City of East Peoria or, with Board approval, shall |
3 | | authorize land-based gambling operations anywhere within the |
4 | | corporate limits of the City of Peoria. The Board shall issue |
5 | | one
additional license to become effective not earlier than |
6 | | March 1, 1992, which
shall authorize riverboat gambling on the |
7 | | Des Plaines River in Will County.
The Board may issue 4 |
8 | | additional licenses to become effective not
earlier than
March |
9 | | 1, 1992. In determining the water upon which riverboats will |
10 | | operate,
the Board shall consider the economic benefit which |
11 | | riverboat gambling confers
on the State, and shall seek to |
12 | | assure that all regions of the State share
in the economic |
13 | | benefits of riverboat gambling.
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14 | | In granting all licenses, the Board may give favorable |
15 | | consideration to
economically depressed areas of the State, to |
16 | | applicants presenting plans
which provide for significant |
17 | | economic development over a large geographic
area, and to |
18 | | applicants who currently operate non-gambling riverboats in
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19 | | Illinois.
The Board shall review all applications for owners |
20 | | licenses,
and shall inform each applicant of the Board's |
21 | | decision.
The Board may grant an owners license to an
applicant |
22 | | that has not submitted the highest license bid, but if it does |
23 | | not
select the highest bidder, the Board shall issue a written |
24 | | decision explaining
why another
applicant was selected and |
25 | | identifying the factors set forth in this Section
that favored |
26 | | the winning bidder. The fee for issuance or renewal of a |
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1 | | license pursuant to this subsection (e) shall be $250,000.
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2 | | (e-5) In addition to licenses authorized under subsection |
3 | | (e) of this Section: |
4 | | (1) the Board may issue one owners license authorizing |
5 | | the conduct of casino gambling in the City of Chicago; |
6 | | (2) the Board may issue one owners license authorizing |
7 | | the conduct of riverboat gambling in the City of Danville; |
8 | | (3) the Board may issue one owners license authorizing |
9 | | the conduct of riverboat gambling located in the City of |
10 | | Waukegan; |
11 | | (4) the Board may issue one owners license authorizing |
12 | | the conduct of riverboat gambling in the City of Rockford; |
13 | | (5) the Board may issue one owners license authorizing |
14 | | the conduct of riverboat gambling in a municipality that is |
15 | | wholly or partially located in one of the following |
16 | | townships of Cook County: Bloom, Bremen, Calumet, Rich, |
17 | | Thornton, or Worth Township; and |
18 | | (6) the Board may issue one owners license authorizing |
19 | | the conduct of riverboat gambling in the unincorporated |
20 | | area of Williamson County adjacent to the Big Muddy River. |
21 | | Except for the license authorized under paragraph (1), each |
22 | | application for a license pursuant to this subsection (e-5) |
23 | | shall be submitted to the Board no later than 120 days after |
24 | | June 28, 2019 ( the effective date of Public Act 101-31) this |
25 | | amendatory Act of the 101st General Assembly . All applications |
26 | | for a license under this subsection (e-5) shall include the |
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1 | | nonrefundable application fee and the nonrefundable background |
2 | | investigation fee as provided in subsection (d) of Section 6 of |
3 | | this Act. In the event that an applicant submits an application |
4 | | for a license pursuant to this subsection (e-5) prior to June |
5 | | 28, 2019 ( the effective date of Public Act 101-31) this |
6 | | amendatory Act of the 101st General Assembly , such applicant |
7 | | shall submit the nonrefundable application fee and background |
8 | | investigation fee as provided in subsection (d) of Section 6 of |
9 | | this Act no later than 6 months after June 28, 2019 ( the |
10 | | effective date of Public Act 101-31) this amendatory Act of the |
11 | | 101st General Assembly . |
12 | | The Board shall consider issuing a license pursuant to |
13 | | paragraphs (1) through (6) of this subsection only after the |
14 | | corporate authority of the municipality or the county board of |
15 | | the county in which the riverboat or casino shall be located |
16 | | has certified to the Board the following: |
17 | | (i) that the applicant has negotiated with the |
18 | | corporate authority or county board in good faith; |
19 | | (ii) that the applicant and the corporate authority or |
20 | | county board have mutually agreed on the permanent location |
21 | | of the riverboat or casino; |
22 | | (iii) that the applicant and the corporate authority or |
23 | | county board have mutually agreed on the temporary location |
24 | | of the riverboat or casino; |
25 | | (iv) that the applicant and the corporate authority or |
26 | | the county board have mutually agreed on the percentage of |
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1 | | revenues that will be shared with the municipality or |
2 | | county, if any; |
3 | | (v) that the applicant and the corporate authority or |
4 | | county board have mutually agreed on any zoning, licensing, |
5 | | public health, or other issues that are within the |
6 | | jurisdiction of the municipality or county; and |
7 | | (vi) that the corporate authority or county board has |
8 | | passed a resolution or ordinance in support of the |
9 | | riverboat or casino in the municipality or county. |
10 | | At least 7 days before the corporate authority of a |
11 | | municipality or county board of the county submits a |
12 | | certification to the Board concerning items (i) through (vi) of |
13 | | this subsection, it shall hold a public hearing to discuss |
14 | | items (i) through (vi), as well as any other details concerning |
15 | | the proposed riverboat or casino in the municipality or county. |
16 | | The corporate authority or county board must subsequently |
17 | | memorialize the details concerning the proposed riverboat or |
18 | | casino in a resolution that must be adopted by a majority of |
19 | | the corporate authority or county board before any |
20 | | certification is sent to the Board. The Board shall not alter, |
21 | | amend, change, or otherwise interfere with any agreement |
22 | | between the applicant and the corporate authority of the |
23 | | municipality or county board of the county regarding the |
24 | | location of any temporary or permanent facility. |
25 | | In addition, within 10 days after June 28, 2019 ( the |
26 | | effective date of Public Act 101-31) this amendatory Act of the |
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1 | | 101st General Assembly , the Board, with consent and at the |
2 | | expense of the City of Chicago, shall select and retain the |
3 | | services of a nationally recognized casino gaming feasibility |
4 | | consultant. Within 45 days after June 28, 2019 ( the effective |
5 | | date of Public Act 101-31) this amendatory Act of the 101st |
6 | | General Assembly , the consultant shall prepare and deliver to |
7 | | the Board a study concerning the feasibility of, and the |
8 | | ability to finance, a casino in the City of Chicago. The |
9 | | feasibility study shall be delivered to the Mayor of the City |
10 | | of Chicago, the Governor, the President of the Senate, and the |
11 | | Speaker of the House of Representatives. Ninety days after |
12 | | receipt of the feasibility study, the Board shall make a |
13 | | determination, based on the results of the feasibility study, |
14 | | whether to recommend to the General Assembly that the terms of |
15 | | the license under paragraph (1) of this subsection (e-5) should |
16 | | be modified. The Board may begin accepting applications for the |
17 | | owners license under paragraph (1) of this subsection (e-5) |
18 | | upon the determination to issue such an owners license. |
19 | | In addition, prior to the Board issuing the owners license |
20 | | authorized under paragraph (4) of subsection (e-5), an impact |
21 | | study shall be completed to determine what location in the city |
22 | | will provide the greater impact to the region, including the |
23 | | creation of jobs and the generation of tax revenue. |
24 | | (e-10) The licenses authorized under subsection (e-5) of |
25 | | this Section shall be issued within 12 months after the date |
26 | | the license application is submitted. If the Board does not |
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1 | | issue the licenses within that time period, then the Board |
2 | | shall give a written explanation to the applicant as to why it |
3 | | has not reached a determination and when it reasonably expects |
4 | | to make a determination. The fee for the issuance or renewal of |
5 | | a license issued pursuant to this subsection (e-10) shall be |
6 | | $250,000. Additionally, a licensee located outside of Cook |
7 | | County shall pay a minimum initial fee of $17,500 per gaming |
8 | | position, and a licensee located in Cook County shall pay a |
9 | | minimum initial fee of $30,000 per gaming position. The initial |
10 | | fees payable under this subsection (e-10) shall be deposited |
11 | | into the Rebuild Illinois Projects Fund. |
12 | | (e-15) Each licensee of a license authorized under |
13 | | subsection (e-5) of this Section shall make a reconciliation |
14 | | payment 3 years after the date the licensee begins operating in |
15 | | an amount equal to 75% of the adjusted gross receipts for the |
16 | | most lucrative 12-month period of operations, minus an amount |
17 | | equal to the initial payment per gaming position paid by the |
18 | | specific licensee. Each licensee shall pay a $15,000,000 |
19 | | reconciliation fee upon issuance of an owners license. If this |
20 | | calculation results in a negative amount, then the licensee is |
21 | | not entitled to any
reimbursement of fees previously paid. This |
22 | | reconciliation payment may be made in installments over a |
23 | | period of no more than 2 years, subject to Board approval. Any |
24 | | installment payments shall include an annual market interest |
25 | | rate as determined by the Board. All payments by licensees |
26 | | under this subsection (e-15) shall be deposited into the |
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1 | | Rebuild Illinois Projects Fund. |
2 | | (e-20) In addition to any other revocation powers granted |
3 | | to the Board under this
Act,
the Board may revoke the owners |
4 | | license of a licensee which fails
to begin conducting gambling |
5 | | within 15 months
of receipt of the
Board's approval of the |
6 | | application if the Board determines that license
revocation is |
7 | | in the best interests of the State.
|
8 | | (f) The first 10 owners licenses issued under this Act |
9 | | shall permit the
holder to own up to 2 riverboats and equipment |
10 | | thereon
for a period of 3 years after the effective date of the |
11 | | license. Holders of
the first 10 owners licenses must pay the |
12 | | annual license fee for each of
the 3
years during which they |
13 | | are authorized to own riverboats.
|
14 | | (g) Upon the termination, expiration, or revocation of each |
15 | | of the first
10 licenses, which shall be issued for a 3-year 3 |
16 | | year period, all licenses are
renewable annually upon payment |
17 | | of the fee and a determination by the Board
that the licensee |
18 | | continues to meet all of the requirements of this Act and the
|
19 | | Board's rules.
However, for licenses renewed on or after May 1, |
20 | | 1998, renewal shall be
for a period of 4 years, unless the |
21 | | Board sets a shorter period.
|
22 | | (h) An owners license, except for an owners license issued |
23 | | under subsection (e-5) of this Section, shall entitle the |
24 | | licensee to own up to 2
riverboats. |
25 | | An owners licensee of a casino or riverboat that is located |
26 | | in the City of Chicago pursuant to paragraph (1) of subsection |
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1 | | (e-5) of this Section shall limit the number of gaming |
2 | | positions to 4,000 for such owner. An owners licensee |
3 | | authorized under subsection (e) or paragraph (2), (3), (4), or |
4 | | (5) of subsection (e-5) of this Section shall limit the number |
5 | | of gaming positions to 2,000 for any such owners license. An |
6 | | owners licensee authorized under paragraph (6) of subsection |
7 | | (e-5) of this Section shall limit the number of gaming |
8 | | positions to
1,200 for such owner. The initial fee for each |
9 | | gaming position obtained on or after June 28, 2019 ( the |
10 | | effective date of Public Act 101-31) this amendatory Act of the |
11 | | 101st General Assembly shall be a minimum of $17,500 for |
12 | | licensees not located in Cook County and a minimum of $30,000 |
13 | | for licensees located in Cook County, in addition to the |
14 | | reconciliation payment, as set forth in subsection (e-15) of |
15 | | this Section. The fees under this subsection (h) shall be |
16 | | deposited into the Rebuild Illinois Projects Fund. The fees |
17 | | under this subsection (h) that are paid by an owners licensee |
18 | | authorized under subsection (e) shall be paid by July 1, 2020. |
19 | | Additional gaming positions, up to the maximum limit of |
20 | | 2,000 gaming positions for qualifying owners licensees, may be |
21 | | obtained on, before, or after the effective date of this |
22 | | amendatory Act of the 101st General Assembly. Payment for |
23 | | additional gaming positions may be made on a monthly basis, |
24 | | subject to payment schedules specified by the Board. |
25 | | Each owners licensee under subsection (e) of this Section |
26 | | shall reserve its gaming positions within 30 days after the |
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1 | | effective date of this amendatory Act of the 101st General |
2 | | Assembly. The Board may grant an extension to this 30-day |
3 | | period, provided that the owners licensee submits a written |
4 | | request and explanation as to why it is unable to reserve its |
5 | | positions within the 30-day period. |
6 | | Each owners licensee under subsection (e-5) of this Section |
7 | | shall reserve its gaming positions within 30 days after |
8 | | issuance of its owners license. The Board may grant an |
9 | | extension to this 30-day period, provided that the owners |
10 | | licensee submits a written request and explanation as to why it |
11 | | is unable to reserve its positions within the 30-day period. |
12 | | A licensee may operate both of its riverboats concurrently, |
13 | | provided that the
total number of gaming positions on both |
14 | | riverboats does not exceed the limit established pursuant to |
15 | | this subsection. Riverboats licensed to operate on the
|
16 | | Mississippi River and the Illinois River south of Marshall |
17 | | County shall
have an authorized capacity of at least 500 |
18 | | persons. Any other riverboat
licensed under this Act shall have |
19 | | an authorized capacity of at least 400
persons.
|
20 | | (h-5) An owners licensee who conducted gambling operations |
21 | | prior to January 1, 2012 and obtains positions pursuant to |
22 | | Public Act 101-31 this amendatory Act of the 101st General |
23 | | Assembly shall make a reconciliation payment 3 years after any |
24 | | additional gaming positions begin operating in an amount equal |
25 | | to 75% of the owners licensee's average gross receipts for the |
26 | | most lucrative 12-month period of operations minus an amount |
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1 | | equal to the initial fee that the owners licensee paid per |
2 | | additional gaming position. For purposes of this subsection |
3 | | (h-5), "average gross receipts" means (i) the increase in |
4 | | adjusted gross receipts for the most lucrative 12-month period |
5 | | of operations over the adjusted gross receipts for 2019, |
6 | | multiplied by (ii) the percentage derived by dividing the |
7 | | number of additional gaming positions that an owners licensee |
8 | | had obtained by the total number of gaming positions operated |
9 | | by the owners licensee. If this calculation results in a |
10 | | negative amount, then the owners licensee is not entitled to |
11 | | any reimbursement of fees previously paid. This reconciliation |
12 | | payment may be made in installments over a period of no more |
13 | | than 2 years, subject to Board approval. Any installment |
14 | | payments shall include an annual market interest rate as |
15 | | determined by the Board. These reconciliation payments shall be |
16 | | deposited into the Rebuild Illinois Projects Fund. |
17 | | (i) A licensed owner is authorized to apply to the Board |
18 | | for and, if
approved therefor, to receive all licenses from the |
19 | | Board necessary for the
operation of a riverboat or casino, |
20 | | including a liquor license, a license
to prepare and serve food |
21 | | for human consumption, and other necessary
licenses. All use, |
22 | | occupation , and excise taxes which apply to the sale of
food |
23 | | and beverages in this State and all taxes imposed on the sale |
24 | | or use
of tangible personal property apply to such sales aboard |
25 | | the riverboat or in the casino.
|
26 | | (j) The Board may issue or re-issue a license authorizing a |
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1 | | riverboat to
dock
in a municipality or approve a relocation |
2 | | under Section 11.2 only if, prior
to the issuance or |
3 | | re-issuance of
the license or approval, the governing body of |
4 | | the municipality in which
the riverboat will dock has by a |
5 | | majority vote approved the docking of
riverboats in the |
6 | | municipality. The Board may issue or re-issue a license
|
7 | | authorizing a
riverboat to dock in areas of a county outside |
8 | | any municipality or approve a
relocation under Section 11.2 |
9 | | only if, prior to the issuance or re-issuance
of the license
or |
10 | | approval, the
governing body of the county has by a majority |
11 | | vote approved of the docking of
riverboats within such areas.
|
12 | | (k) An owners licensee may conduct land-based gambling |
13 | | operations upon approval by the Board and payment of a fee of |
14 | | $250,000, which shall be deposited into the State Gaming Fund. |
15 | | (l) An owners licensee may conduct gaming at a temporary |
16 | | facility pending the construction of a permanent facility or |
17 | | the remodeling or relocation of an existing facility to |
18 | | accommodate gaming participants for up to 24 months after the |
19 | | temporary facility begins to conduct gaming. Upon request by an |
20 | | owners licensee and upon a showing of good cause by the owners |
21 | | licensee, the Board shall extend the period during which the |
22 | | licensee may conduct gaming at a temporary facility by up to 12 |
23 | | months. The Board shall make rules concerning the conduct of |
24 | | gaming from temporary facilities. |
25 | | (Source: P.A. 100-391, eff. 8-25-17; 100-1152, eff. 12-14-18; |
26 | | 101-31, eff. 6-28-19; revised 9-20-19.)
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1 | | (230 ILCS 10/7.6) |
2 | | Sec. 7.6. Business enterprise program. |
3 | | (a) For the purposes of this Section, the terms "minority", |
4 | | "minority-owned business", "woman", "women-owned business", |
5 | | "person with a disability", and "business owned by a person |
6 | | with a disability" have the meanings ascribed to them in the |
7 | | Business Enterprise for Minorities, Women, and Persons with |
8 | | Disabilities Act. |
9 | | (b) The Board shall, by rule, establish goals for the award |
10 | | of contracts by each owners licensee to businesses owned by |
11 | | minorities, women, and persons with disabilities, expressed as |
12 | | percentages of an owners licensee's total dollar amount of |
13 | | contracts awarded during each calendar year. Each owners |
14 | | licensee must make every effort to meet the goals established |
15 | | by the Board pursuant to this Section. When setting the goals |
16 | | for the award of contracts, the Board shall not include |
17 | | contracts where: (1) any purchasing mandates would be dependent |
18 | | upon the availability of minority-owned businesses, |
19 | | women-owned businesses, and businesses owned by persons with |
20 | | disabilities ready, willing, and able with capacity to provide |
21 | | quality goods and services to a gaming operation at reasonable |
22 | | prices; (2) there are no or a limited number of licensed |
23 | | suppliers as defined by this Act for the goods or services |
24 | | provided to the licensee; (3) the licensee or its parent |
25 | | company owns a company that provides the goods or services; or |
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1 | | (4) the goods or services are provided to the licensee by a |
2 | | publicly traded company. |
3 | | (c) Each owners licensee shall file with the Board an |
4 | | annual report of its utilization of minority-owned businesses, |
5 | | women-owned businesses, and businesses owned by persons with |
6 | | disabilities during the preceding calendar year. The reports |
7 | | shall include a self-evaluation of the efforts of the owners |
8 | | licensee to meet its goals under this Section. |
9 | | (c-5) The Board shall, by rule, establish goals for the |
10 | | award of contracts by each owners licensee to businesses owned |
11 | | by veterans of service in the armed forces of the United |
12 | | States, expressed as percentages of an owners licensee's total |
13 | | dollar amount of contracts awarded during each calendar year. |
14 | | When setting the goals for the award of contracts, the Board |
15 | | shall not include contracts where: (1) any purchasing mandates |
16 | | would be dependent upon the availability of veteran-owned |
17 | | businesses ready, willing, and able with capacity to provide |
18 | | quality goods and services to a gaming operation at reasonable |
19 | | prices; (2) there are no or a limited number of licensed |
20 | | suppliers as defined in this Act for the goods or services |
21 | | provided to the licensee; (3) the licensee or its parent |
22 | | company owns a company that provides the goods or services; or |
23 | | (4) the goods or services are provided to the licensee by a |
24 | | publicly traded company. |
25 | | Each owners licensee shall file with the Board an annual |
26 | | report of its utilization of veteran-owned businesses during |
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1 | | the preceding calendar year. The reports shall include a |
2 | | self-evaluation of the efforts of the owners licensee to meet |
3 | | its goals under this Section. |
4 | | (d) The owners licensee shall have the right to request a |
5 | | waiver from the requirements of this Section. The Board shall |
6 | | grant the waiver where the owners licensee demonstrates that |
7 | | there has been made a good faith effort to comply with the |
8 | | goals for participation by minority-owned businesses, |
9 | | women-owned businesses, businesses owned by persons with
|
10 | | disabilities, and veteran-owned businesses. |
11 | | (e) If the Board determines that its goals and policies are |
12 | | not being met by any owners licensee, then the Board may: |
13 | | (1) adopt remedies for such violations; and |
14 | | (2) recommend that the owners licensee provide |
15 | | additional opportunities for participation by |
16 | | minority-owned businesses, women-owned businesses, |
17 | | businesses owned by persons with disabilities, and |
18 | | veteran-owned businesses; such recommendations may |
19 | | include, but shall not be limited to: |
20 | | (A) assurances of stronger and better focused
|
21 | | solicitation efforts to obtain more minority-owned |
22 | | businesses, women-owned businesses, businesses owned |
23 | | by persons with disabilities, and veteran-owned |
24 | | businesses as potential sources of supply; |
25 | | (B) division of job or project requirements, when
|
26 | | economically feasible, into tasks or quantities to |
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1 | | permit participation of minority-owned businesses, |
2 | | women-owned businesses, businesses owned by persons |
3 | | with disabilities, and veteran-owned businesses; |
4 | | (C) elimination of extended experience or
|
5 | | capitalization requirements, when programmatically |
6 | | feasible, to permit participation of minority-owned |
7 | | businesses, women-owned businesses, businesses owned |
8 | | by persons with disabilities, and veteran-owned |
9 | | businesses; |
10 | | (D) identification of specific proposed contracts |
11 | | as
particularly attractive or appropriate for |
12 | | participation by minority-owned businesses, |
13 | | women-owned businesses, businesses owned by persons |
14 | | with disabilities, and veteran-owned businesses, such |
15 | | identification to result from and be coupled with the |
16 | | efforts of items (A) through (C);
and |
17 | | (E) implementation of regulations established
for |
18 | | the use of the sheltered market process. |
19 | | (f) The Board shall file, no later than July 1 March 1 of |
20 | | each year, an annual report that shall detail the level of |
21 | | achievement toward the goals specified in this Section over the |
22 | | 3 most recent fiscal years. The annual report shall include, |
23 | | but need not be limited to: |
24 | | (1) a summary detailing expenditures subject
to the |
25 | | goals, the actual goals specified, and the goals attained |
26 | | by each owners licensee; and |
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1 | | (2) an analysis of the level of overall goal
|
2 | | achievement concerning purchases from minority-owned |
3 | | businesses, women-owned businesses, businesses owned by |
4 | | persons with disabilities, and veteran-owned businesses.
|
5 | | (Source: P.A. 99-78, eff. 7-20-15; 100-391, eff. 8-25-17; |
6 | | 100-1152, eff. 12-14-18.) |
7 | | (230 ILCS 10/7.7) |
8 | | Sec. 7.7. Organization gaming licenses. |
9 | | (a) The Illinois Gaming Board shall award one organization |
10 | | gaming license to each person or entity having operating |
11 | | control of a racetrack that applies under Section 56 of the |
12 | | Illinois Horse Racing Act of 1975, subject to the application |
13 | | and eligibility requirements of this Section. Within 60 days |
14 | | after the effective date of this amendatory Act of the 101st |
15 | | General Assembly, a person or entity having operating control |
16 | | of a racetrack may submit an application for an organization |
17 | | gaming license. The application shall be made on such forms as |
18 | | provided by the Board and shall contain such information as the |
19 | | Board prescribes, including, but not limited to, the identity |
20 | | of any racetrack at which gaming will be conducted pursuant to |
21 | | an organization gaming license, detailed information regarding |
22 | | the ownership and management of the applicant, and detailed |
23 | | personal information regarding the applicant. The application |
24 | | shall specify the number of gaming positions the applicant |
25 | | intends to use and the place where the organization gaming |
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1 | | facility will operate. A person who knowingly makes a false |
2 | | statement on an application is guilty of a Class A misdemeanor. |
3 | | Each applicant shall disclose the identity of every person |
4 | | or entity having a direct or indirect pecuniary interest |
5 | | greater than 1% in any racetrack with respect to which the |
6 | | license is sought. If the disclosed entity is a corporation, |
7 | | the applicant shall disclose the state of incorporation or |
8 | | registration and names of the corporate officers, directors, |
9 | | and stockholders. If the disclosed entity is a limited |
10 | | liability company, the applicant shall disclose the state of |
11 | | formation and names of all members. If the disclosed entity is |
12 | | a general or limited partnership, the applicant shall disclose |
13 | | the names of all partners, both general and limited. If the |
14 | | entity is a trust, the applicant shall disclose the names of |
15 | | all participants in the trust If the disclosed entity is a |
16 | | corporation, the applicant shall disclose the names and |
17 | | addresses of all officers, stockholders, and directors. If the |
18 | | disclosed entity is a limited liability company, the applicant |
19 | | shall disclose the names and addresses of all members and |
20 | | managers. If the disclosed entity is a partnership, the |
21 | | applicant shall disclose the names and addresses of all |
22 | | partners, both general and limited. If the disclosed entity is |
23 | | a trust, the applicant shall disclose the names and addresses |
24 | | of all beneficiaries . |
25 | | An application shall be filed and considered in accordance |
26 | | with the rules of the Board. Each application for an |
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1 | | organization gaming license shall include a nonrefundable |
2 | | application fee of $250,000. In addition, a nonrefundable fee |
3 | | of $50,000 shall be paid at the time of filing to defray the |
4 | | costs associated with background investigations conducted by |
5 | | the Board. If the costs of the background investigation exceed |
6 | | $50,000, the applicant shall pay the additional amount to the |
7 | | Board within 7 days after a request by the Board. If the costs |
8 | | of the investigation are less than $50,000, the applicant shall |
9 | | receive a refund of the remaining amount. All information, |
10 | | records, interviews, reports, statements, memoranda, or other |
11 | | data supplied to or used by the Board in the course of this |
12 | | review or investigation of an applicant for an organization |
13 | | gaming license under this Act shall be privileged and strictly |
14 | | confidential and shall be used only for the purpose of |
15 | | evaluating an applicant for an organization gaming license or a |
16 | | renewal. Such information, records, interviews, reports, |
17 | | statements, memoranda, or other data shall not be admissible as |
18 | | evidence nor discoverable in any action of any kind in any |
19 | | court or before any tribunal, board, agency or person, except |
20 | | for any action deemed necessary by the Board. The application |
21 | | fee shall be deposited into the State Gaming Fund. |
22 | | Any applicant or key person, including the applicant's |
23 | | owners, officers, directors (if a corporation), managers and |
24 | | members (if a limited liability company), and partners (if a |
25 | | partnership), for an organization gaming license shall have his |
26 | | or her fingerprints submitted to the Department of State Police |
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1 | | in an electronic format that complies with the form and manner |
2 | | for requesting and furnishing criminal history record |
3 | | information as prescribed by the Department of State Police. |
4 | | These fingerprints shall be checked against the Department of |
5 | | State Police and Federal Bureau of Investigation criminal |
6 | | history record databases now and hereafter filed, including, |
7 | | but not limited to, civil, criminal, and latent fingerprint |
8 | | databases. The Department of State Police shall charge |
9 | | applicants a fee for conducting the criminal history records |
10 | | check, which shall be deposited into the State Police Services |
11 | | Fund and shall not exceed the actual cost of the records check. |
12 | | The Department of State Police shall furnish, pursuant to |
13 | | positive identification, records of Illinois criminal history |
14 | | to the Department. |
15 | | (b) The Board shall determine within 120 days after |
16 | | receiving an application for an organization gaming license |
17 | | whether to grant an organization gaming license to the |
18 | | applicant. If the Board does not make a determination within |
19 | | that time period, then the Board shall give a written |
20 | | explanation to the applicant as to why it has not reached a |
21 | | determination and when it reasonably expects to make a |
22 | | determination. |
23 | | The organization gaming licensee shall purchase up to the |
24 | | amount of gaming positions authorized under this Act within 120 |
25 | | days after receiving its organization gaming license. If an |
26 | | organization gaming licensee is prepared to purchase the gaming |
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1 | | positions, but is temporarily prohibited from doing so by order |
2 | | of a court of competent jurisdiction or the Board, then the |
3 | | 120-day period is tolled until a resolution is reached. |
4 | | An organization gaming license shall authorize its holder |
5 | | to conduct gaming under this Act at its racetracks on the same |
6 | | days of the year and hours of the day that owners licenses are |
7 | | allowed to operate under approval of the Board. |
8 | | An organization gaming license and any renewal of an |
9 | | organization gaming license shall authorize gaming pursuant to |
10 | | this Section for a period of 4 years. The fee for the issuance |
11 | | or renewal of an organization gaming license shall be $250,000. |
12 | | All payments by licensees under this subsection (b) shall |
13 | | be deposited into the Rebuild Illinois Projects Fund. |
14 | | (c) To be eligible to conduct gaming under this Section, a |
15 | | person or entity having operating control of a racetrack must |
16 | | (i) obtain an organization gaming license, (ii) hold an |
17 | | organization license under the Illinois Horse Racing Act of |
18 | | 1975, (iii) hold an inter-track wagering license, (iv) pay an |
19 | | initial fee of $30,000 per gaming position from organization |
20 | | gaming licensees where gaming is conducted in Cook County and, |
21 | | except as provided in subsection (c-5), $17,500 for |
22 | | organization gaming licensees where gaming is conducted |
23 | | outside of Cook County before beginning to conduct gaming plus |
24 | | make the reconciliation payment required under subsection (k), |
25 | | (v) conduct live racing in accordance with subsections (e-1), |
26 | | (e-2), and (e-3) of Section 20 of the Illinois Horse Racing Act |
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1 | | of 1975, (vi) meet the requirements of subsection (a) of |
2 | | Section 56 of the Illinois Horse Racing Act of 1975, (vii) for |
3 | | organization licensees conducting standardbred race meetings, |
4 | | keep backstretch barns and dormitories open and operational |
5 | | year-round unless a lesser schedule is mutually agreed to by |
6 | | the organization licensee and the horsemen association racing |
7 | | at that organization licensee's race meeting, (viii) for |
8 | | organization licensees conducting thoroughbred race meetings, |
9 | | the organization licensee must maintain accident medical |
10 | | expense liability insurance coverage of $1,000,000 for |
11 | | jockeys, and (ix) meet all other requirements of this Act that |
12 | | apply to owners licensees. |
13 | | An organization gaming licensee may enter into a joint |
14 | | venture with a licensed owner to own, manage, conduct, or |
15 | | otherwise operate the organization gaming licensee's |
16 | | organization gaming facilities, unless the organization gaming |
17 | | licensee has a parent company or other affiliated company that |
18 | | is, directly or indirectly, wholly owned by a parent company |
19 | | that is also licensed to conduct organization gaming, casino |
20 | | gaming, or their equivalent in another state. |
21 | | All payments by licensees under this subsection (c) shall |
22 | | be deposited into the Rebuild Illinois Projects Fund. |
23 | | (c-5) A person or entity having operating control of a |
24 | | racetrack located in Madison County shall only pay the initial |
25 | | fees specified in subsection (c) for 540 of the gaming |
26 | | positions authorized under the license. |
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1 | | (d) A person or entity is ineligible to receive an |
2 | | organization gaming license if: |
3 | | (1) the person or entity has been convicted of a felony |
4 | | under the laws of this State, any other state, or the |
5 | | United States, including a conviction under the Racketeer |
6 | | Influenced and Corrupt Organizations Act; |
7 | | (2) the person or entity has been convicted of any |
8 | | violation of Article 28 of the Criminal Code of 2012, or |
9 | | substantially similar laws of any other jurisdiction; |
10 | | (3) the person or entity has submitted an application |
11 | | for a license under this Act that contains false |
12 | | information; |
13 | | (4) the person is a member of the Board; |
14 | | (5) a person defined in (1), (2), (3), or (4) of this |
15 | | subsection (d) is an officer, director, or managerial |
16 | | employee of the entity; |
17 | | (6) the person or entity employs a person defined in |
18 | | (1), (2), (3), or (4) of this subsection (d) who |
19 | | participates in the management or operation of gambling |
20 | | operations authorized under this Act; or |
21 | | (7) a license of the person or entity issued under this |
22 | | Act or a license to own or operate gambling facilities in |
23 | | any other jurisdiction has been revoked. |
24 | | (e) The Board may approve gaming positions pursuant to an |
25 | | organization gaming license statewide as provided in this |
26 | | Section. The authority to operate gaming positions under this |
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1 | | Section shall be allocated as follows: up to 1,200 gaming |
2 | | positions for any organization gaming licensee in Cook County |
3 | | and up to 900 gaming positions for any organization gaming |
4 | | licensee outside of Cook County. |
5 | | (f) Each applicant for an organization gaming license shall |
6 | | specify in its application for licensure the number of gaming |
7 | | positions it will operate, up to the applicable limitation set |
8 | | forth in subsection (e) of this Section. Any unreserved gaming |
9 | | positions that are not specified shall be forfeited and |
10 | | retained by the Board. For the purposes of this subsection (f), |
11 | | an organization gaming licensee that did not conduct live |
12 | | racing in 2010 and is located within 3 miles of the Mississippi |
13 | | River may reserve up to 900 positions and shall not be |
14 | | penalized under this Section for not operating those positions |
15 | | until it meets the requirements of subsection (e) of this |
16 | | Section, but such licensee shall not request unreserved gaming |
17 | | positions under this subsection (f) until its 900 positions are |
18 | | all operational. |
19 | | Thereafter, the Board shall publish the number of |
20 | | unreserved gaming positions and shall accept requests for |
21 | | additional positions from any organization gaming licensee |
22 | | that initially reserved all of the positions that were offered. |
23 | | The Board shall allocate expeditiously the unreserved gaming |
24 | | positions to requesting organization gaming licensees in a |
25 | | manner that maximizes revenue to the State. The Board may |
26 | | allocate any such unused gaming positions pursuant to an open |
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1 | | and competitive bidding process, as provided under Section 7.5 |
2 | | of this Act. This process shall continue until all unreserved |
3 | | gaming positions have been purchased. All positions obtained |
4 | | pursuant to this process and all positions the organization |
5 | | gaming licensee specified it would operate in its application |
6 | | must be in operation within 18 months after they were obtained |
7 | | or the organization gaming licensee forfeits the right to |
8 | | operate those positions, but is not entitled to a refund of any |
9 | | fees paid. The Board may, after holding a public hearing, grant |
10 | | extensions so long as the organization gaming licensee is |
11 | | working in good faith to make the positions operational. The |
12 | | extension may be for a period of 6 months. If, after the period |
13 | | of the extension, the organization gaming licensee has not made |
14 | | the positions operational, then another public hearing must be |
15 | | held by the Board before it may grant another extension. |
16 | | Unreserved gaming positions retained from and allocated to |
17 | | organization gaming licensees by the Board pursuant to this |
18 | | subsection (f) shall not be allocated to owners licensees under |
19 | | this Act. |
20 | | For the purpose of this subsection (f), the unreserved |
21 | | gaming positions for each organization gaming licensee shall be |
22 | | the applicable limitation set forth in subsection (e) of this |
23 | | Section, less the number of reserved gaming positions by such |
24 | | organization gaming licensee, and the total unreserved gaming |
25 | | positions shall be the aggregate of the unreserved gaming |
26 | | positions for all organization gaming licensees. |
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1 | | (g) An organization gaming licensee is authorized to |
2 | | conduct the following at a racetrack: |
3 | | (1) slot machine gambling; |
4 | | (2) video game of chance gambling; |
5 | | (3) gambling with electronic gambling games as defined |
6 | | in this Act or defined by the Illinois Gaming Board; and |
7 | | (4) table games. |
8 | | (h) Subject to the approval of the Illinois Gaming Board, |
9 | | an organization gaming licensee may make modification or |
10 | | additions to any existing buildings and structures to comply |
11 | | with the requirements of this Act. The Illinois Gaming Board |
12 | | shall make its decision after consulting with the Illinois |
13 | | Racing Board. In no case, however, shall the Illinois Gaming |
14 | | Board approve any modification or addition that alters the |
15 | | grounds of the organization licensee such that the act of live |
16 | | racing is an ancillary activity to gaming authorized under this |
17 | | Section.
Gaming authorized under this Section may take place in |
18 | | existing structures where inter-track wagering is conducted at |
19 | | the racetrack or a facility within 300 yards of the racetrack |
20 | | in accordance with the provisions of this Act and the Illinois |
21 | | Horse Racing Act of 1975. |
22 | | (i) An organization gaming licensee may conduct gaming at a |
23 | | temporary facility pending the construction of a permanent |
24 | | facility or the remodeling or relocation of an existing |
25 | | facility to accommodate gaming participants for up to 24 months |
26 | | after the temporary facility begins to conduct gaming |
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1 | | authorized under this Section. Upon request by an organization |
2 | | gaming licensee and upon a showing of good cause by the |
3 | | organization gaming licensee, the Board shall extend the period |
4 | | during which the licensee may conduct gaming authorized under |
5 | | this Section at a temporary facility by up to 12 months. The |
6 | | Board shall make rules concerning the conduct of gaming |
7 | | authorized under this Section from temporary facilities. |
8 | | The gaming authorized under this Section may take place in |
9 | | existing structures where inter-track wagering is conducted at |
10 | | the racetrack or a facility within 300 yards of the racetrack |
11 | | in accordance with the provisions of this Act and the Illinois |
12 | | Horse Racing Act of 1975. |
13 | | (i-5) Under no circumstances shall an organization gaming |
14 | | licensee conduct gaming at any State or county fair. |
15 | | (j) The Illinois Gaming Board must adopt emergency rules in |
16 | | accordance with Section 5-45 of the Illinois Administrative |
17 | | Procedure Act as necessary to ensure compliance with the |
18 | | provisions of this amendatory Act of the 101st General Assembly
|
19 | | concerning the conduct of gaming by an organization gaming |
20 | | licensee. The adoption of emergency rules authorized by this |
21 | | subsection (j) shall be deemed to be necessary for the public |
22 | | interest, safety, and welfare. |
23 | | (k) Each organization gaming licensee who obtains gaming |
24 | | positions must make a reconciliation payment 3 years after the |
25 | | date the organization gaming licensee begins operating the |
26 | | positions in an amount equal to 75% of the difference between |
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1 | | its adjusted gross receipts from gaming authorized under this |
2 | | Section and amounts paid to its purse accounts pursuant to item |
3 | | (1) of subsection (b) of Section 56 of the Illinois Horse |
4 | | Racing Act of 1975 for the 12-month period for which such |
5 | | difference was the largest, minus an amount equal to the |
6 | | initial per position fee paid by the organization gaming |
7 | | licensee. If this calculation results in a negative amount, |
8 | | then the organization gaming licensee is not entitled to any |
9 | | reimbursement of fees previously paid. This reconciliation |
10 | | payment may be made in installments over a period of no more |
11 | | than 2 years, subject to Board approval. Any installment |
12 | | payments shall include an annual market interest rate as |
13 | | determined by the Board. |
14 | | All payments by licensees under this subsection (k) shall |
15 | | be deposited into the Rebuild Illinois Projects Fund. |
16 | | (l) As soon as practical after a request is made by the |
17 | | Illinois Gaming Board, to minimize duplicate submissions by the |
18 | | applicant, the Illinois Racing Board must provide information |
19 | | on an applicant for an organization gaming license to the |
20 | | Illinois Gaming Board.
|
21 | | (Source: P.A. 101-31, eff. 6-28-19; 101-597, eff. 12-6-19.)
|
22 | | (230 ILCS 10/8) (from Ch. 120, par. 2408)
|
23 | | Sec. 8. Suppliers licenses.
|
24 | | (a) The Board may issue a suppliers license to such |
25 | | persons, firms or
corporations which apply therefor upon the |
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1 | | payment of a non-refundable
application fee set by the Board, |
2 | | upon a determination by the Board that
the applicant is |
3 | | eligible for a suppliers license and upon payment of a
$5,000 |
4 | | annual license
fee. Subject to the provisions of this Section, |
5 | | an applicant for a suppliers license that holds a license as a |
6 | | manufacturer, distributor, or supplier under the Video Gaming |
7 | | Act shall not be subject to additional Board investigation as a |
8 | | condition for a suppliers license under this Act, except by |
9 | | vote of the Board.
|
10 | | (b) The holder of a suppliers license is authorized to sell |
11 | | or lease,
and to contract to sell or lease, gambling equipment |
12 | | and supplies to any
licensee involved in the ownership or |
13 | | management of gambling operations.
|
14 | | (c) Gambling supplies and equipment may not be distributed
|
15 | | unless supplies and equipment conform to standards adopted by
|
16 | | rules of the Board.
|
17 | | (d) A person, firm or corporation is ineligible to receive |
18 | | a suppliers
license if:
|
19 | | (1) the person has been convicted of a felony under the |
20 | | laws of this
State, any other state, or the United States;
|
21 | | (2) the person has been convicted of any violation of |
22 | | Article 28 of the
Criminal Code of 1961 or the Criminal |
23 | | Code of 2012, or substantially similar laws of any other |
24 | | jurisdiction;
|
25 | | (3) the person has submitted an application for a |
26 | | license under this
Act which contains false information;
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1 | | (4) the person is a member of the Board;
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2 | | (5) the entity is one in which a person defined in (1),
|
3 | | (2), (3) or (4), is an officer, director or managerial |
4 | | employee;
|
5 | | (6) the firm or corporation employs a person who |
6 | | participates in the
management or operation of gambling |
7 | | authorized under this Act;
|
8 | | (7) the license of the person, firm or corporation |
9 | | issued under
this Act, or a license to own or operate |
10 | | gambling facilities
in any other jurisdiction, has been |
11 | | revoked.
|
12 | | (e) Any person that supplies any equipment, devices, or |
13 | | supplies to a
licensed gambling operation must first obtain a |
14 | | suppliers
license. A supplier shall furnish to the Board a list |
15 | | of all equipment,
devices and supplies offered for sale or |
16 | | lease in connection with gambling
games authorized under this |
17 | | Act. A supplier shall keep books and records
for the furnishing |
18 | | of equipment, devices and supplies to gambling
operations |
19 | | separate and distinct from any other business that the supplier
|
20 | | might operate. A supplier shall file a quarterly return with |
21 | | the Board
listing all sales and leases. A supplier shall |
22 | | permanently affix its name or a distinctive logo or other mark |
23 | | or design element identifying the manufacturer or supplier
to |
24 | | all its equipment, devices, and supplies, except gaming chips |
25 | | without a value impressed, engraved, or imprinted on it, for |
26 | | gambling operations.
The Board may waive this requirement for |
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1 | | any specific product or products if it determines that the |
2 | | requirement is not necessary to protect the integrity of the |
3 | | game. Items purchased from a licensed supplier may continue to |
4 | | be used even though the supplier subsequently changes its name, |
5 | | distinctive logo, or other mark or design element; undergoes a |
6 | | change in ownership; or ceases to be licensed as a supplier for |
7 | | any reason. Any supplier's equipment, devices or supplies which |
8 | | are used by any person
in an unauthorized gambling operation |
9 | | shall be forfeited to the State. A holder of an owners license |
10 | | or an organization gaming license may own its own equipment, |
11 | | devices and supplies. Each
holder of an owners license or an |
12 | | organization gaming license under the Act shall file an annual |
13 | | report
listing its inventories of gambling equipment, devices |
14 | | and supplies.
|
15 | | (f) Any person who knowingly makes a false statement on an |
16 | | application
is guilty of a Class A misdemeanor.
|
17 | | (g) Any gambling equipment, devices and supplies provided |
18 | | by any
licensed supplier may either be repaired on the |
19 | | riverboat, in the casino, or at the organization gaming |
20 | | facility or removed from
the riverboat, casino, or organization |
21 | | gaming facility to a facility owned by the holder of an owners
|
22 | | license, organization gaming license, or suppliers license for |
23 | | repair.
|
24 | | (Source: P.A. 101-31, eff. 6-28-19.)
|
25 | | Section 10. The Video Gaming
Act is amended by changing |
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1 | | Sections 15 and 80 as follows:
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2 | | (230 ILCS 40/15)
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3 | | Sec. 15. Minimum requirements for
licensing and |
4 | | registration. Every video gaming terminal offered for
play |
5 | | shall first be
tested and approved pursuant to the rules of the |
6 | | Board, and
each video gaming terminal offered in this State for |
7 | | play shall conform to an
approved
model. For the examination of |
8 | | video gaming machines and associated equipment as required by |
9 | | this Section, the Board shall utilize the services of |
10 | | independent outside testing laboratories that have been |
11 | | accredited in accordance with ISO/IEC 17025 by an accreditation |
12 | | body that is a signatory to the International Laboratory |
13 | | Accreditation Cooperation Mutual Recognition Agreement |
14 | | signifying they are qualified to perform such examinations. |
15 | | Notwithstanding any law to the contrary, the Board shall |
16 | | consider the licensing of independent outside testing |
17 | | laboratory applicants in accordance with procedures |
18 | | established by the Board by rule. The Board shall not withhold |
19 | | its approval of an independent outside testing laboratory |
20 | | license applicant that has been accredited as required by this |
21 | | Section and is licensed in gaming jurisdictions comparable to |
22 | | Illinois. Upon the finalization of required rules, the Board |
23 | | shall license independent testing laboratories and accept the |
24 | | test reports of any licensed testing laboratory of the video |
25 | | gaming machine's or associated equipment manufacturer's |
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1 | | choice, notwithstanding the existence of contracts between the |
2 | | Board and any independent testing laboratory. Every video |
3 | | gaming terminal offered in this State for play must meet |
4 | | minimum standards approved by the Board. Each approved model |
5 | | shall, at a minimum, meet the following
criteria:
|
6 | | (1) It must conform to all requirements of federal law |
7 | | and
regulations, including FCC Class A
Emissions |
8 | | Standards.
|
9 | | (2) It must theoretically pay out a mathematically |
10 | | demonstrable percentage
during the expected lifetime of |
11 | | the machine
of all amounts played, which must not be less |
12 | | than 80%. The Board shall establish a maximum payout |
13 | | percentage for approved models by rule. Video gaming
|
14 | | terminals that may be affected by skill must meet this |
15 | | standard when using a
method of play that will provide the |
16 | | greatest return to the player over a
period of continuous |
17 | | play.
|
18 | | (3) It must use a random selection process to determine |
19 | | the outcome of
each play of a game. The random selection |
20 | | process must meet 99% confidence
limits using a standard |
21 | | chi-squared test for (randomness) goodness of fit.
|
22 | | (4) It must display an accurate representation of the |
23 | | game outcome.
|
24 | | (5) It must not automatically alter pay tables or any |
25 | | function of the
video gaming terminal based on internal |
26 | | computation of hold percentage or have
any means of |
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1 | | manipulation that affects the random selection process or
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2 | | probabilities of winning a game.
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3 | | (6) It must not be adversely affected by static |
4 | | discharge or other
electromagnetic interference.
|
5 | | (7) It must be capable of detecting and displaying the |
6 | | following
conditions
during idle states or on demand: power |
7 | | reset; door open; and door just closed.
|
8 | | (8) It must have the capacity to display complete play |
9 | | history
(outcome, intermediate play steps, credits |
10 | | available, bets placed, credits
paid, and credits cashed |
11 | | out) for the most recent game played and 10 games
prior
|
12 | | thereto.
|
13 | | (9) The theoretical payback percentage of a video |
14 | | gaming terminal must
not be
capable of being changed |
15 | | without making a hardware or software change in
the video |
16 | | gaming terminal, either on site or via the central |
17 | | communications system.
|
18 | | (10) Video gaming terminals must be designed so that |
19 | | replacement of
parts or modules required for normal |
20 | | maintenance does not necessitate
replacement of the |
21 | | electromechanical meters.
|
22 | | (11) It must have nonresettable meters housed in a |
23 | | locked area of the
terminal that
keep a permanent record of |
24 | | all cash inserted into the machine, all winnings
made by |
25 | | the terminal printer, credits played in for video gaming |
26 | | terminals, and
credits won by video gaming players. The |
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1 | | video gaming terminal must provide
the means for on-demand |
2 | | display of stored information as determined by the
Board.
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3 | | (12) Electronically stored meter information required |
4 | | by this Section
must be preserved for a minimum of 180 days |
5 | | after a power loss to the service.
|
6 | | (13) It must have one or more mechanisms that accept |
7 | | cash in the
form of
bills. The mechanisms shall be designed |
8 | | to prevent obtaining credits without
paying by stringing, |
9 | | slamming, drilling, or other means. If such attempts at |
10 | | physical tampering are made, the video gaming terminal |
11 | | shall suspend itself from operating until reset.
|
12 | | (14) It shall have accounting software that keeps an |
13 | | electronic record
which includes, but is not limited to, |
14 | | the following: total cash inserted
into the video gaming |
15 | | terminal; the value of winning tickets claimed by
players; |
16 | | the
total credits played; the total
credits awarded
by a |
17 | | video gaming terminal; and pay back percentage credited to |
18 | | players of each video game.
|
19 | | (15) It shall be linked by a central communications |
20 | | system
to provide
auditing program information as approved |
21 | | by the Board. The central communications system shall use a |
22 | | standard industry protocol, as defined by the Gaming |
23 | | Standards Association, and shall have the functionality to |
24 | | enable the Board or its designee to activate or deactivate |
25 | | individual gaming devices from the central communications |
26 | | system. In no event may the
communications system approved |
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1 | | by the Board limit participation to only one
manufacturer |
2 | | of video gaming terminals by either the cost in |
3 | | implementing
the necessary program modifications to |
4 | | communicate or the inability to
communicate with the |
5 | | central communications system. The Board may impose a fee, |
6 | | payable in equal parts by (i) a licensed establishment, |
7 | | licensed truck stop establishment, licensed large truck |
8 | | stop establishment, licensed fraternal establishment, or |
9 | | licensed veterans establishment; and (ii) a terminal |
10 | | operator with which one of the entities listed in item (i) |
11 | | has entered into a use agreement, to cover costs of |
12 | | operating the central communications system.
|
13 | | (16) The Board, in its discretion, may require video |
14 | | gaming terminals to display Amber Alert messages if the |
15 | | Board makes a finding that it would be economically and |
16 | | technically feasible and pose no risk to the integrity and |
17 | | security of the central communications system and video |
18 | | gaming terminals.
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19 | | Licensed terminal handlers shall have access to video |
20 | | gaming terminals, including, but not limited to, logic door |
21 | | access, without the physical presence or supervision of the |
22 | | Board or its agent to perform, in coordination with and with |
23 | | project approval from the central communication system |
24 | | provider: |
25 | | (i) the clearing of the random access memory and |
26 | | reprogramming of the video gaming terminal; |
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1 | | (ii) the installation of new video gaming terminal |
2 | | software and software upgrades that have been approved by |
3 | | the Board; |
4 | | (iii) the placement, connection to the central |
5 | | communication system, and go-live operation of video |
6 | | gaming terminals at a licensed establishment, licensed |
7 | | truck stop establishment, licensed large truck stop |
8 | | establishment, licensed fraternal establishment, or |
9 | | licensed veterans establishment; |
10 | | (iv) the repair and maintenance of a video gaming |
11 | | terminal located at a licensed establishment, licensed |
12 | | truck stop establishment, licensed large truck stop |
13 | | establishment, licensed fraternal establishment, or |
14 | | licensed veterans establishment, including, but not |
15 | | limited to, the replacement of the video gaming terminal |
16 | | with a new video gaming terminal; |
17 | | (v) the temporary movement, disconnection, |
18 | | replacement, and reconnection of video gaming terminals to |
19 | | allow for physical improvements and repairs at a licensed |
20 | | establishment, licensed truck stop establishment, licensed |
21 | | large truck stop establishment, licensed fraternal |
22 | | establishment, or licensed veterans establishment, such as |
23 | | replacement of flooring, interior repairs, and other |
24 | | similar activities; and |
25 | | (vi) such other functions as the Board may otherwise |
26 | | authorize. |
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1 | | The Board shall, at a licensed terminal operator's expense, |
2 | | cause all keys and other required devices to be provided to a |
3 | | terminal operator necessary to allow the licensed terminal |
4 | | handler access to the logic door to the terminal operator's |
5 | | video gaming terminals. |
6 | | The Board may adopt rules to establish additional criteria |
7 | | to preserve the integrity and security of video gaming in this |
8 | | State. The central communications system vendor may be licensed |
9 | | as a video gaming terminal manufacturer or a video gaming |
10 | | terminal distributor, or both, but in no event shall the |
11 | | central communications system vendor be licensed as a video |
12 | | gaming terminal operator. |
13 | | The Board shall not permit the development of information |
14 | | or the use by any licensee of gaming device or individual game |
15 | | performance data. Nothing in this Act shall inhibit or prohibit |
16 | | the Board from the use of gaming device or individual game |
17 | | performance data in its regulatory duties. The Board shall |
18 | | adopt rules to ensure that all licensees are treated and all |
19 | | licensees act in a non-discriminatory manner and develop |
20 | | processes and penalties to enforce those rules. |
21 | | (Source: P.A. 101-31, eff. 6-28-19.)
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22 | | (230 ILCS 40/80)
|
23 | | Sec. 80. Applicability of Illinois Gambling Act. The |
24 | | provisions of the Illinois Gambling Act, and all rules |
25 | | promulgated thereunder, shall apply to the Video Gaming Act, |
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1 | | except where there is a conflict between the 2 Acts. In the |
2 | | event of a conflict between the 2 Acts, the provisions of the |
3 | | Illinois Gambling Act shall prevail. All current supplier |
4 | | licensees under the Illinois Gambling Act shall not be subject |
5 | | to additional Board investigation as a condition for licensure |
6 | | as manufacturers, distributors, or suppliers, except by vote of |
7 | | the Board, provided that the Board shall conduct a background |
8 | | investigation of current supplier licensees under the Illinois |
9 | | Gambling Act that have applied for licensure as manufacturers, |
10 | | distributors, or suppliers under this Act with respect to all |
11 | | topics of investigation listed in subsection (b) of Section 45 |
12 | | of this Act for which the applicants have previously not been |
13 | | subject to Board investigation, and provided further that these |
14 | | applicants shall be required to disclose all information |
15 | | required to be submitted under subsection (c) of Section 45 of |
16 | | this Act that they have not previously disclosed to the Board |
17 | | be entitled to licensure under the Video Gaming Act as |
18 | | manufacturers, distributors, or suppliers without additional |
19 | | Board investigation or approval, except by vote of the Board ; |
20 | | however, they are required to pay application and annual fees |
21 | | under this Act. All provisions of the Uniform Penalty and |
22 | | Interest Act shall apply, as far as practicable, to the subject |
23 | | matter of this Act to the same extent as if such provisions |
24 | | were included herein.
|
25 | | (Source: P.A. 100-1152, eff. 12-14-18; 101-31, eff. 6-28-19.)
|