103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB1303

 

Introduced 2/3/2023, by Sen. Laura M. Murphy

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 10/13  from Ch. 120, par. 2413

    Amends the Illinois Gambling Act. Provides that beginning on the first day an owners licensee (rather than just an owners license authorizing the conduct of riverboat gambling in one of the specified townships of Cook County) conducts gambling operations, either in a temporary facility or a permanent facility, and ending on July 31, 2042, from the tax revenue deposited in the State Gaming Fund, $5,000,000 shall be paid annually, subject to appropriation, to the host municipality of that owners licensee of a license issued or re-issued pursuant to provisions concerning re-issuance of revoked or non-renewed owners licenses before January 1, 2012. Effective immediately.


LRB103 27615 AMQ 53991 b

 

 

A BILL FOR

 

SB1303LRB103 27615 AMQ 53991 b

1    AN ACT concerning gaming.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Gambling Act is amended by
5changing Section 13 as follows:
 
6    (230 ILCS 10/13)  (from Ch. 120, par. 2413)
7    Sec. 13. Wagering tax; rate; distribution.
8    (a) Until January 1, 1998, a tax is imposed on the adjusted
9gross receipts received from gambling games authorized under
10this Act at the rate of 20%.
11    (a-1) From January 1, 1998 until July 1, 2002, a privilege
12tax is imposed on persons engaged in the business of
13conducting riverboat gambling operations, based on the
14adjusted gross receipts received by a licensed owner from
15gambling games authorized under this Act at the following
16rates:
17        15% of annual adjusted gross receipts up to and
18    including $25,000,000;
19        20% of annual adjusted gross receipts in excess of
20    $25,000,000 but not exceeding $50,000,000;
21        25% of annual adjusted gross receipts in excess of
22    $50,000,000 but not exceeding $75,000,000;
23        30% of annual adjusted gross receipts in excess of

 

 

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1    $75,000,000 but not exceeding $100,000,000;
2        35% of annual adjusted gross receipts in excess of
3    $100,000,000.
4    (a-2) From July 1, 2002 until July 1, 2003, a privilege tax
5is imposed on persons engaged in the business of conducting
6riverboat gambling operations, other than licensed managers
7conducting riverboat gambling operations on behalf of the
8State, based on the adjusted gross receipts received by a
9licensed owner from gambling games authorized under this Act
10at the following rates:
11        15% of annual adjusted gross receipts up to and
12    including $25,000,000;
13        22.5% of annual adjusted gross receipts in excess of
14    $25,000,000 but not exceeding $50,000,000;
15        27.5% of annual adjusted gross receipts in excess of
16    $50,000,000 but not exceeding $75,000,000;
17        32.5% of annual adjusted gross receipts in excess of
18    $75,000,000 but not exceeding $100,000,000;
19        37.5% of annual adjusted gross receipts in excess of
20    $100,000,000 but not exceeding $150,000,000;
21        45% of annual adjusted gross receipts in excess of
22    $150,000,000 but not exceeding $200,000,000;
23        50% of annual adjusted gross receipts in excess of
24    $200,000,000.
25    (a-3) Beginning July 1, 2003, a privilege tax is imposed
26on persons engaged in the business of conducting riverboat

 

 

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1gambling operations, other than licensed managers conducting
2riverboat gambling operations on behalf of the State, based on
3the adjusted gross receipts received by a licensed owner from
4gambling games authorized under this Act at the following
5rates:
6        15% of annual adjusted gross receipts up to and
7    including $25,000,000;
8        27.5% of annual adjusted gross receipts in excess of
9    $25,000,000 but not exceeding $37,500,000;
10        32.5% of annual adjusted gross receipts in excess of
11    $37,500,000 but not exceeding $50,000,000;
12        37.5% of annual adjusted gross receipts in excess of
13    $50,000,000 but not exceeding $75,000,000;
14        45% of annual adjusted gross receipts in excess of
15    $75,000,000 but not exceeding $100,000,000;
16        50% of annual adjusted gross receipts in excess of
17    $100,000,000 but not exceeding $250,000,000;
18        70% of annual adjusted gross receipts in excess of
19    $250,000,000.
20    An amount equal to the amount of wagering taxes collected
21under this subsection (a-3) that are in addition to the amount
22of wagering taxes that would have been collected if the
23wagering tax rates under subsection (a-2) were in effect shall
24be paid into the Common School Fund.
25    The privilege tax imposed under this subsection (a-3)
26shall no longer be imposed beginning on the earlier of (i) July

 

 

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11, 2005; (ii) the first date after June 20, 2003 that riverboat
2gambling operations are conducted pursuant to a dormant
3license; or (iii) the first day that riverboat gambling
4operations are conducted under the authority of an owners
5license that is in addition to the 10 owners licenses
6initially authorized under this Act. For the purposes of this
7subsection (a-3), the term "dormant license" means an owners
8license that is authorized by this Act under which no
9riverboat gambling operations are being conducted on June 20,
102003.
11    (a-4) Beginning on the first day on which the tax imposed
12under subsection (a-3) is no longer imposed and ending upon
13the imposition of the privilege tax under subsection (a-5) of
14this Section, a privilege tax is imposed on persons engaged in
15the business of conducting gambling operations, other than
16licensed managers conducting riverboat gambling operations on
17behalf of the State, based on the adjusted gross receipts
18received by a licensed owner from gambling games authorized
19under this Act at the following rates:
20        15% of annual adjusted gross receipts up to and
21    including $25,000,000;
22        22.5% of annual adjusted gross receipts in excess of
23    $25,000,000 but not exceeding $50,000,000;
24        27.5% of annual adjusted gross receipts in excess of
25    $50,000,000 but not exceeding $75,000,000;
26        32.5% of annual adjusted gross receipts in excess of

 

 

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

 

 

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1        27.5% of annual adjusted gross receipts in excess of
2    $50,000,000 but not exceeding $75,000,000;
3        32.5% of annual adjusted gross receipts in excess of
4    $75,000,000 but not exceeding $100,000,000;
5        37.5% of annual adjusted gross receipts in excess of
6    $100,000,000 but not exceeding $150,000,000;
7        45% of annual adjusted gross receipts in excess of
8    $150,000,000 but not exceeding $200,000,000;
9        50% of annual adjusted gross receipts in excess of
10    $200,000,000.
11    The privilege tax for table games shall be at the
12following rates:
13        15% of annual adjusted gross receipts up to and
14    including $25,000,000;
15        20% of annual adjusted gross receipts in excess of
16    $25,000,000.
17    For the imposition of the privilege tax in this subsection
18(a-5), amounts paid pursuant to item (1) of subsection (b) of
19Section 56 of the Illinois Horse Racing Act of 1975 shall not
20be included in the determination of adjusted gross receipts.
21    (2) Beginning on the first day that an owners licensee
22under paragraph (1) of subsection (e-5) of Section 7 conducts
23gambling operations, either in a temporary facility or a
24permanent facility, a privilege tax is imposed on persons
25engaged in the business of conducting gambling operations
26under paragraph (1) of subsection (e-5) of Section 7, other

 

 

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1than licensed managers conducting riverboat gambling
2operations on behalf of the State, based on the adjusted gross
3receipts received by such licensee from the gambling games
4authorized under this Act. The privilege tax for all gambling
5games other than table games, including, but not limited to,
6slot machines, video game of chance gambling, and electronic
7gambling games shall be at the following rates:
8        12% of annual adjusted gross receipts up to and
9    including $25,000,000 to the State and 10.5% of annual
10    adjusted gross receipts up to and including $25,000,000 to
11    the City of Chicago;
12        16% of annual adjusted gross receipts in excess of
13    $25,000,000 but not exceeding $50,000,000 to the State and
14    14% of annual adjusted gross receipts in excess of
15    $25,000,000 but not exceeding $50,000,000 to the City of
16    Chicago;
17        20.1% of annual adjusted gross receipts in excess of
18    $50,000,000 but not exceeding $75,000,000 to the State and
19    17.4% of annual adjusted gross receipts in excess of
20    $50,000,000 but not exceeding $75,000,000 to the City of
21    Chicago;
22        21.4% of annual adjusted gross receipts in excess of
23    $75,000,000 but not exceeding $100,000,000 to the State
24    and 18.6% of annual adjusted gross receipts in excess of
25    $75,000,000 but not exceeding $100,000,000 to the City of
26    Chicago;

 

 

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1        22.7% of annual adjusted gross receipts in excess of
2    $100,000,000 but not exceeding $150,000,000 to the State
3    and 19.8% of annual adjusted gross receipts in excess of
4    $100,000,000 but not exceeding $150,000,000 to the City of
5    Chicago;
6        24.1% of annual adjusted gross receipts in excess of
7    $150,000,000 but not exceeding $225,000,000 to the State
8    and 20.9% of annual adjusted gross receipts in excess of
9    $150,000,000 but not exceeding $225,000,000 to the City of
10    Chicago;
11        26.8% of annual adjusted gross receipts in excess of
12    $225,000,000 but not exceeding $1,000,000,000 to the State
13    and 23.2% of annual adjusted gross receipts in excess of
14    $225,000,000 but not exceeding $1,000,000,000 to the City
15    of Chicago;
16        40% of annual adjusted gross receipts in excess of
17    $1,000,000,000 to the State and 34.7% of annual gross
18    receipts in excess of $1,000,000,000 to the City of
19    Chicago.
20    The privilege tax for table games shall be at the
21following rates:
22        8.1% of annual adjusted gross receipts up to and
23    including $25,000,000 to the State and 6.9% of annual
24    adjusted gross receipts up to and including $25,000,000 to
25    the City of Chicago;
26        10.7% of annual adjusted gross receipts in excess of

 

 

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1    $25,000,000 but not exceeding $75,000,000 to the State and
2    9.3% of annual adjusted gross receipts in excess of
3    $25,000,000 but not exceeding $75,000,000 to the City of
4    Chicago;
5        11.2% of annual adjusted gross receipts in excess of
6    $75,000,000 but not exceeding $175,000,000 to the State
7    and 9.8% of annual adjusted gross receipts in excess of
8    $75,000,000 but not exceeding $175,000,000 to the City of
9    Chicago;
10        13.5% of annual adjusted gross receipts in excess of
11    $175,000,000 but not exceeding $225,000,000 to the State
12    and 11.5% of annual adjusted gross receipts in excess of
13    $175,000,000 but not exceeding $225,000,000 to the City of
14    Chicago;
15        15.1% of annual adjusted gross receipts in excess of
16    $225,000,000 but not exceeding $275,000,000 to the State
17    and 12.9% of annual adjusted gross receipts in excess of
18    $225,000,000 but not exceeding $275,000,000 to the City of
19    Chicago;
20        16.2% of annual adjusted gross receipts in excess of
21    $275,000,000 but not exceeding $375,000,000 to the State
22    and 13.8% of annual adjusted gross receipts in excess of
23    $275,000,000 but not exceeding $375,000,000 to the City of
24    Chicago;
25        18.9% of annual adjusted gross receipts in excess of
26    $375,000,000 to the State and 16.1% of annual gross

 

 

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1    receipts in excess of $375,000,000 to the City of Chicago.
2    For the imposition of the privilege tax in this subsection
3(a-5), amounts paid pursuant to item (1) of subsection (b) of
4Section 56 of the Illinois Horse Racing Act of 1975 shall not
5be included in the determination of adjusted gross receipts.
6    Notwithstanding the provisions of this subsection (a-5),
7for the first 10 years that the privilege tax is imposed under
8this subsection (a-5), the privilege tax shall be imposed on
9the modified annual adjusted gross receipts of a riverboat or
10casino conducting gambling operations in the City of East St.
11Louis, unless:
12        (1) the riverboat or casino fails to employ at least
13    450 people, except no minimum employment shall be required
14    during 2020 and 2021 or during periods that the riverboat
15    or casino is closed on orders of State officials for
16    public health emergencies or other emergencies not caused
17    by the riverboat or casino;
18        (2) the riverboat or casino fails to maintain
19    operations in a manner consistent with this Act or is not a
20    viable riverboat or casino subject to the approval of the
21    Board; or
22        (3) the owners licensee is not an entity in which
23    employees participate in an employee stock ownership plan
24    or in which the owners licensee sponsors a 401(k)
25    retirement plan and makes a matching employer contribution
26    equal to at least one-quarter of the first 12% or one-half

 

 

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1    of the first 6% of each participating employee's
2    contribution, not to exceed any limitations under federal
3    laws and regulations.
4    As used in this subsection (a-5), "modified annual
5adjusted gross receipts" means:
6        (A) for calendar year 2020, the annual adjusted gross
7    receipts for the current year minus the difference between
8    an amount equal to the average annual adjusted gross
9    receipts from a riverboat or casino conducting gambling
10    operations in the City of East St. Louis for 2014, 2015,
11    2016, 2017, and 2018 and the annual adjusted gross
12    receipts for 2018;
13        (B) for calendar year 2021, the annual adjusted gross
14    receipts for the current year minus the difference between
15    an amount equal to the average annual adjusted gross
16    receipts from a riverboat or casino conducting gambling
17    operations in the City of East St. Louis for 2014, 2015,
18    2016, 2017, and 2018 and the annual adjusted gross
19    receipts for 2019; and
20        (C) for calendar years 2022 through 2029, the annual
21    adjusted gross receipts for the current year minus the
22    difference between an amount equal to the average annual
23    adjusted gross receipts from a riverboat or casino
24    conducting gambling operations in the City of East St.
25    Louis for 3 years preceding the current year and the
26    annual adjusted gross receipts for the immediately

 

 

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1    preceding year.
2    (a-6) From June 28, 2019 (the effective date of Public Act
3101-31) until June 30, 2023, an owners licensee that conducted
4gambling operations prior to January 1, 2011 shall receive a
5dollar-for-dollar credit against the tax imposed under this
6Section for any renovation or construction costs paid by the
7owners licensee, but in no event shall the credit exceed
8$2,000,000.
9    Additionally, from June 28, 2019 (the effective date of
10Public Act 101-31) until December 31, 2024, an owners licensee
11that (i) is located within 15 miles of the Missouri border, and
12(ii) has at least 3 riverboats, casinos, or their equivalent
13within a 45-mile radius, may be authorized to relocate to a new
14location with the approval of both the unit of local
15government designated as the home dock and the Board, so long
16as the new location is within the same unit of local government
17and no more than 3 miles away from its original location. Such
18owners licensee shall receive a credit against the tax imposed
19under this Section equal to 8% of the total project costs, as
20approved by the Board, for any renovation or construction
21costs paid by the owners licensee for the construction of the
22new facility, provided that the new facility is operational by
23July 1, 2024. In determining whether or not to approve a
24relocation, the Board must consider the extent to which the
25relocation will diminish the gaming revenues received by other
26Illinois gaming facilities.

 

 

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1    (a-7) Beginning in the initial adjustment year and through
2the final adjustment year, if the total obligation imposed
3pursuant to either subsection (a-5) or (a-6) will result in an
4owners licensee receiving less after-tax adjusted gross
5receipts than it received in calendar year 2018, then the
6total amount of privilege taxes that the owners licensee is
7required to pay for that calendar year shall be reduced to the
8extent necessary so that the after-tax adjusted gross receipts
9in that calendar year equals the after-tax adjusted gross
10receipts in calendar year 2018, but the privilege tax
11reduction shall not exceed the annual adjustment cap. If
12pursuant to this subsection (a-7), the total obligation
13imposed pursuant to either subsection (a-5) or (a-6) shall be
14reduced, then the owners licensee shall not receive a refund
15from the State at the end of the subject calendar year but
16instead shall be able to apply that amount as a credit against
17any payments it owes to the State in the following calendar
18year to satisfy its total obligation under either subsection
19(a-5) or (a-6). The credit for the final adjustment year shall
20occur in the calendar year following the final adjustment
21year.
22    If an owners licensee that conducted gambling operations
23prior to January 1, 2019 expands its riverboat or casino,
24including, but not limited to, with respect to its gaming
25floor, additional non-gaming amenities such as restaurants,
26bars, and hotels and other additional facilities, and incurs

 

 

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1construction and other costs related to such expansion from
2June 28, 2019 (the effective date of Public Act 101-31) until
3June 28, 2024 (the 5th anniversary of the effective date of
4Public Act 101-31), then for each $15,000,000 spent for any
5such construction or other costs related to expansion paid by
6the owners licensee, the final adjustment year shall be
7extended by one year and the annual adjustment cap shall
8increase by 0.2% of adjusted gross receipts during each
9calendar year until and including the final adjustment year.
10No further modifications to the final adjustment year or
11annual adjustment cap shall be made after $75,000,000 is
12incurred in construction or other costs related to expansion
13so that the final adjustment year shall not extend beyond the
149th calendar year after the initial adjustment year, not
15including the initial adjustment year, and the annual
16adjustment cap shall not exceed 4% of adjusted gross receipts
17in a particular calendar year. Construction and other costs
18related to expansion shall include all project related costs,
19including, but not limited to, all hard and soft costs,
20financing costs, on or off-site ground, road or utility work,
21cost of gaming equipment and all other personal property,
22initial fees assessed for each incremental gaming position,
23and the cost of incremental land acquired for such expansion.
24Soft costs shall include, but not be limited to, legal fees,
25architect, engineering and design costs, other consultant
26costs, insurance cost, permitting costs, and pre-opening costs

 

 

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1related to the expansion, including, but not limited to, any
2of the following: marketing, real estate taxes, personnel,
3training, travel and out-of-pocket expenses, supply,
4inventory, and other costs, and any other project related soft
5costs.
6    To be eligible for the tax credits in subsection (a-6),
7all construction contracts shall include a requirement that
8the contractor enter into a project labor agreement with the
9building and construction trades council with geographic
10jurisdiction of the location of the proposed gaming facility.
11    Notwithstanding any other provision of this subsection
12(a-7), this subsection (a-7) does not apply to an owners
13licensee unless such owners licensee spends at least
14$15,000,000 on construction and other costs related to its
15expansion, excluding the initial fees assessed for each
16incremental gaming position.
17    This subsection (a-7) does not apply to owners licensees
18authorized pursuant to subsection (e-5) of Section 7 of this
19Act.
20    For purposes of this subsection (a-7):
21    "Building and construction trades council" means any
22organization representing multiple construction entities that
23are monitoring or attentive to compliance with public or
24workers' safety laws, wage and hour requirements, or other
25statutory requirements or that are making or maintaining
26collective bargaining agreements.

 

 

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1    "Initial adjustment year" means the year commencing on
2January 1 of the calendar year immediately following the
3earlier of the following:
4        (1) the commencement of gambling operations, either in
5    a temporary or permanent facility, with respect to the
6    owners license authorized under paragraph (1) of
7    subsection (e-5) of Section 7 of this Act; or
8        (2) June 28, 2021 (24 months after the effective date
9    of Public Act 101-31);
10provided the initial adjustment year shall not commence
11earlier than June 28, 2020 (12 months after the effective date
12of Public Act 101-31).
13    "Final adjustment year" means the 2nd calendar year after
14the initial adjustment year, not including the initial
15adjustment year, and as may be extended further as described
16in this subsection (a-7).
17    "Annual adjustment cap" means 3% of adjusted gross
18receipts in a particular calendar year, and as may be
19increased further as otherwise described in this subsection
20(a-7).
21    (a-8) Riverboat gambling operations conducted by a
22licensed manager on behalf of the State are not subject to the
23tax imposed under this Section.
24    (a-9) Beginning on January 1, 2020, the calculation of
25gross receipts or adjusted gross receipts, for the purposes of
26this Section, for a riverboat, a casino, or an organization

 

 

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1gaming facility shall not include the dollar amount of
2non-cashable vouchers, coupons, and electronic promotions
3redeemed by wagerers upon the riverboat, in the casino, or in
4the organization gaming facility up to and including an amount
5not to exceed 20% of a riverboat's, a casino's, or an
6organization gaming facility's adjusted gross receipts.
7    The Illinois Gaming Board shall submit to the General
8Assembly a comprehensive report no later than March 31, 2023
9detailing, at a minimum, the effect of removing non-cashable
10vouchers, coupons, and electronic promotions from this
11calculation on net gaming revenues to the State in calendar
12years 2020 through 2022, the increase or reduction in wagerers
13as a result of removing non-cashable vouchers, coupons, and
14electronic promotions from this calculation, the effect of the
15tax rates in subsection (a-5) on net gaming revenues to this
16State, and proposed modifications to the calculation.
17    (a-10) The taxes imposed by this Section shall be paid by
18the licensed owner or the organization gaming licensee to the
19Board not later than 5:00 o'clock p.m. of the day after the day
20when the wagers were made.
21    (a-15) If the privilege tax imposed under subsection (a-3)
22is no longer imposed pursuant to item (i) of the last paragraph
23of subsection (a-3), then by June 15 of each year, each owners
24licensee, other than an owners licensee that admitted
251,000,000 persons or fewer in calendar year 2004, must, in
26addition to the payment of all amounts otherwise due under

 

 

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1this Section, pay to the Board a reconciliation payment in the
2amount, if any, by which the licensed owner's base amount
3exceeds the amount of net privilege tax paid by the licensed
4owner to the Board in the then current State fiscal year. A
5licensed owner's net privilege tax obligation due for the
6balance of the State fiscal year shall be reduced up to the
7total of the amount paid by the licensed owner in its June 15
8reconciliation payment. The obligation imposed by this
9subsection (a-15) is binding on any person, firm, corporation,
10or other entity that acquires an ownership interest in any
11such owners license. The obligation imposed under this
12subsection (a-15) terminates on the earliest of: (i) July 1,
132007, (ii) the first day after August 23, 2005 (the effective
14date of Public Act 94-673) that riverboat gambling operations
15are conducted pursuant to a dormant license, (iii) the first
16day that riverboat gambling operations are conducted under the
17authority of an owners license that is in addition to the 10
18owners licenses initially authorized under this Act, or (iv)
19the first day that a licensee under the Illinois Horse Racing
20Act of 1975 conducts gaming operations with slot machines or
21other electronic gaming devices. The Board must reduce the
22obligation imposed under this subsection (a-15) by an amount
23the Board deems reasonable for any of the following reasons:
24(A) an act or acts of God, (B) an act of bioterrorism or
25terrorism or a bioterrorism or terrorism threat that was
26investigated by a law enforcement agency, or (C) a condition

 

 

SB1303- 19 -LRB103 27615 AMQ 53991 b

1beyond the control of the owners licensee that does not result
2from any act or omission by the owners licensee or any of its
3agents and that poses a hazardous threat to the health and
4safety of patrons. If an owners licensee pays an amount in
5excess of its liability under this Section, the Board shall
6apply the overpayment to future payments required under this
7Section.
8    For purposes of this subsection (a-15):
9    "Act of God" means an incident caused by the operation of
10an extraordinary force that cannot be foreseen, that cannot be
11avoided by the exercise of due care, and for which no person
12can be held liable.
13    "Base amount" means the following:
14        For a riverboat in Alton, $31,000,000.
15        For a riverboat in East Peoria, $43,000,000.
16        For the Empress riverboat in Joliet, $86,000,000.
17        For a riverboat in Metropolis, $45,000,000.
18        For the Harrah's riverboat in Joliet, $114,000,000.
19        For a riverboat in Aurora, $86,000,000.
20        For a riverboat in East St. Louis, $48,500,000.
21        For a riverboat in Elgin, $198,000,000.
22    "Dormant license" has the meaning ascribed to it in
23subsection (a-3).
24    "Net privilege tax" means all privilege taxes paid by a
25licensed owner to the Board under this Section, less all
26payments made from the State Gaming Fund pursuant to

 

 

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1subsection (b) of this Section.
2    The changes made to this subsection (a-15) by Public Act
394-839 are intended to restate and clarify the intent of
4Public Act 94-673 with respect to the amount of the payments
5required to be made under this subsection by an owners
6licensee to the Board.
7    (b) From the tax revenue from riverboat or casino gambling
8deposited in the State Gaming Fund under this Section, an
9amount equal to 5% of adjusted gross receipts generated by a
10riverboat or a casino, other than a riverboat or casino
11designated in paragraph (1), (3), or (4) of subsection (e-5)
12of Section 7, shall be paid monthly, subject to appropriation
13by the General Assembly, to the unit of local government in
14which the casino is located or that is designated as the home
15dock of the riverboat. Notwithstanding anything to the
16contrary, beginning on the first day that an owners licensee
17under paragraph (1), (2), (3), (4), (5), or (6) of subsection
18(e-5) of Section 7 conducts gambling operations, either in a
19temporary facility or a permanent facility, and for 2 years
20thereafter, a unit of local government designated as the home
21dock of a riverboat whose license was issued before January 1,
222019, other than a riverboat conducting gambling operations in
23the City of East St. Louis, shall not receive less under this
24subsection (b) than the amount the unit of local government
25received under this subsection (b) in calendar year 2018.
26Notwithstanding anything to the contrary and because the City

 

 

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1of East St. Louis is a financially distressed city, beginning
2on the first day that an owners licensee under paragraph (1),
3(2), (3), (4), (5), or (6) of subsection (e-5) of Section 7
4conducts gambling operations, either in a temporary facility
5or a permanent facility, and for 10 years thereafter, a unit of
6local government designated as the home dock of a riverboat
7conducting gambling operations in the City of East St. Louis
8shall not receive less under this subsection (b) than the
9amount the unit of local government received under this
10subsection (b) in calendar year 2018.
11    From the tax revenue deposited in the State Gaming Fund
12pursuant to riverboat or casino gambling operations conducted
13by a licensed manager on behalf of the State, an amount equal
14to 5% of adjusted gross receipts generated pursuant to those
15riverboat or casino gambling operations shall be paid monthly,
16subject to appropriation by the General Assembly, to the unit
17of local government that is designated as the home dock of the
18riverboat upon which those riverboat gambling operations are
19conducted or in which the casino is located.
20    From the tax revenue from riverboat or casino gambling
21deposited in the State Gaming Fund under this Section, an
22amount equal to 5% of the adjusted gross receipts generated by
23a riverboat designated in paragraph (3) of subsection (e-5) of
24Section 7 shall be divided and remitted monthly, subject to
25appropriation, as follows: 70% to Waukegan, 10% to Park City,
2615% to North Chicago, and 5% to Lake County.

 

 

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1    From the tax revenue from riverboat or casino gambling
2deposited in the State Gaming Fund under this Section, an
3amount equal to 5% of the adjusted gross receipts generated by
4a riverboat designated in paragraph (4) of subsection (e-5) of
5Section 7 shall be remitted monthly, subject to appropriation,
6as follows: 70% to the City of Rockford, 5% to the City of
7Loves Park, 5% to the Village of Machesney, and 20% to
8Winnebago County.
9    From the tax revenue from riverboat or casino gambling
10deposited in the State Gaming Fund under this Section, an
11amount equal to 5% of the adjusted gross receipts generated by
12a riverboat designated in paragraph (5) of subsection (e-5) of
13Section 7 shall be remitted monthly, subject to appropriation,
14as follows: 2% to the unit of local government in which the
15riverboat or casino is located, and 3% shall be distributed:
16(A) in accordance with a regional capital development plan
17entered into by the following communities: Village of Beecher,
18City of Blue Island, Village of Burnham, City of Calumet City,
19Village of Calumet Park, City of Chicago Heights, City of
20Country Club Hills, Village of Crestwood, Village of Crete,
21Village of Dixmoor, Village of Dolton, Village of East Hazel
22Crest, Village of Flossmoor, Village of Ford Heights, Village
23of Glenwood, City of Harvey, Village of Hazel Crest, Village
24of Homewood, Village of Lansing, Village of Lynwood, City of
25Markham, Village of Matteson, Village of Midlothian, Village
26of Monee, City of Oak Forest, Village of Olympia Fields,

 

 

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1Village of Orland Hills, Village of Orland Park, City of Palos
2Heights, Village of Park Forest, Village of Phoenix, Village
3of Posen, Village of Richton Park, Village of Riverdale,
4Village of Robbins, Village of Sauk Village, Village of South
5Chicago Heights, Village of South Holland, Village of Steger,
6Village of Thornton, Village of Tinley Park, Village of
7University Park, and Village of Worth; or (B) if no regional
8capital development plan exists, equally among the communities
9listed in item (A) to be used for capital expenditures or
10public pension payments, or both.
11    Units of local government may refund any portion of the
12payment that they receive pursuant to this subsection (b) to
13the riverboat or casino.
14    (b-4) Beginning on the first day a the licensee under
15paragraph (5) of subsection (e-5) of Section 7 conducts
16gambling operations, either in a temporary facility or a
17permanent facility, and ending on July 31, 2042, from the tax
18revenue deposited in the State Gaming Fund under this Section,
19$5,000,000 shall be paid annually, subject to appropriation,
20to the host municipality of that owners licensee of a license
21issued or re-issued pursuant to Section 7.1 of this Act before
22January 1, 2012. Payments received by the host municipality
23pursuant to this subsection (b-4) may not be shared with any
24other unit of local government.
25    (b-5) Beginning on June 28, 2019 (the effective date of
26Public Act 101-31), from the tax revenue deposited in the

 

 

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1State Gaming Fund under this Section, an amount equal to 3% of
2adjusted gross receipts generated by each organization gaming
3facility located outside Madison County shall be paid monthly,
4subject to appropriation by the General Assembly, to a
5municipality other than the Village of Stickney in which each
6organization gaming facility is located or, if the
7organization gaming facility is not located within a
8municipality, to the county in which the organization gaming
9facility is located, except as otherwise provided in this
10Section. From the tax revenue deposited in the State Gaming
11Fund under this Section, an amount equal to 3% of adjusted
12gross receipts generated by an organization gaming facility
13located in the Village of Stickney shall be paid monthly,
14subject to appropriation by the General Assembly, as follows:
1525% to the Village of Stickney, 5% to the City of Berwyn, 50%
16to the Town of Cicero, and 20% to the Stickney Public Health
17District.
18    From the tax revenue deposited in the State Gaming Fund
19under this Section, an amount equal to 5% of adjusted gross
20receipts generated by an organization gaming facility located
21in the City of Collinsville shall be paid monthly, subject to
22appropriation by the General Assembly, as follows: 30% to the
23City of Alton, 30% to the City of East St. Louis, and 40% to
24the City of Collinsville.
25    Municipalities and counties may refund any portion of the
26payment that they receive pursuant to this subsection (b-5) to

 

 

SB1303- 25 -LRB103 27615 AMQ 53991 b

1the organization gaming facility.
2    (b-6) Beginning on June 28, 2019 (the effective date of
3Public Act 101-31), from the tax revenue deposited in the
4State Gaming Fund under this Section, an amount equal to 2% of
5adjusted gross receipts generated by an organization gaming
6facility located outside Madison County shall be paid monthly,
7subject to appropriation by the General Assembly, to the
8county in which the organization gaming facility is located
9for the purposes of its criminal justice system or health care
10system.
11    Counties may refund any portion of the payment that they
12receive pursuant to this subsection (b-6) to the organization
13gaming facility.
14    (b-7) From the tax revenue from the organization gaming
15licensee located in one of the following townships of Cook
16County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or
17Worth, an amount equal to 5% of the adjusted gross receipts
18generated by that organization gaming licensee shall be
19remitted monthly, subject to appropriation, as follows: 2% to
20the unit of local government in which the organization gaming
21licensee is located, and 3% shall be distributed: (A) in
22accordance with a regional capital development plan entered
23into by the following communities: Village of Beecher, City of
24Blue Island, Village of Burnham, City of Calumet City, Village
25of Calumet Park, City of Chicago Heights, City of Country Club
26Hills, Village of Crestwood, Village of Crete, Village of

 

 

SB1303- 26 -LRB103 27615 AMQ 53991 b

1Dixmoor, Village of Dolton, Village of East Hazel Crest,
2Village of Flossmoor, Village of Ford Heights, Village of
3Glenwood, City of Harvey, Village of Hazel Crest, Village of
4Homewood, Village of Lansing, Village of Lynwood, City of
5Markham, Village of Matteson, Village of Midlothian, Village
6of Monee, City of Oak Forest, Village of Olympia Fields,
7Village of Orland Hills, Village of Orland Park, City of Palos
8Heights, Village of Park Forest, Village of Phoenix, Village
9of Posen, Village of Richton Park, Village of Riverdale,
10Village of Robbins, Village of Sauk Village, Village of South
11Chicago Heights, Village of South Holland, Village of Steger,
12Village of Thornton, Village of Tinley Park, Village of
13University Park, and Village of Worth; or (B) if no regional
14capital development plan exists, equally among the communities
15listed in item (A) to be used for capital expenditures or
16public pension payments, or both.
17    (b-8) In lieu of the payments under subsection (b) of this
18Section, from the tax revenue deposited in the State Gaming
19Fund pursuant to riverboat or casino gambling operations
20conducted by an owners licensee under paragraph (1) of
21subsection (e-5) of Section 7, an amount equal to the tax
22revenue generated from the privilege tax imposed by paragraph
23(2) of subsection (a-5) that is to be paid to the City of
24Chicago shall be paid monthly, subject to appropriation by the
25General Assembly, as follows: (1) an amount equal to 0.5% of
26the annual adjusted gross receipts generated by the owners

 

 

SB1303- 27 -LRB103 27615 AMQ 53991 b

1licensee under paragraph (1) of subsection (e-5) of Section 7
2to the home rule county in which the owners licensee is located
3for the purpose of enhancing the county's criminal justice
4system; and (2) the balance to the City of Chicago and shall be
5expended or obligated by the City of Chicago for pension
6payments in accordance with Public Act 99-506.
7    (c) Appropriations, as approved by the General Assembly,
8may be made from the State Gaming Fund to the Board (i) for the
9administration and enforcement of this Act and the Video
10Gaming Act, (ii) for distribution to the Illinois State Police
11and to the Department of Revenue for the enforcement of this
12Act and the Video Gaming Act, and (iii) to the Department of
13Human Services for the administration of programs to treat
14problem gambling, including problem gambling from sports
15wagering. The Board's annual appropriations request must
16separately state its funding needs for the regulation of
17gaming authorized under Section 7.7, riverboat gaming, casino
18gaming, video gaming, and sports wagering.
19    (c-2) An amount equal to 2% of the adjusted gross receipts
20generated by an organization gaming facility located within a
21home rule county with a population of over 3,000,000
22inhabitants shall be paid, subject to appropriation from the
23General Assembly, from the State Gaming Fund to the home rule
24county in which the organization gaming licensee is located
25for the purpose of enhancing the county's criminal justice
26system.

 

 

SB1303- 28 -LRB103 27615 AMQ 53991 b

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

 

 

SB1303- 29 -LRB103 27615 AMQ 53991 b

1home rule county with a population of over 3,000,000
2inhabitants for the purpose of enhancing the county's criminal
3justice system.
4    (c-20) Each year the General Assembly shall appropriate
5from the General Revenue Fund to the Education Assistance Fund
6an amount equal to the amount paid to each home rule county
7with a population of over 3,000,000 inhabitants pursuant to
8subsection (c-15) in the prior calendar year.
9    (c-21) After the payments required under subsections (b),
10(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have
11been made, an amount equal to 0.5% of the adjusted gross
12receipts generated by the owners licensee under paragraph (1)
13of subsection (e-5) of Section 7 shall be paid monthly,
14subject to appropriation from the General Assembly, from the
15State Gaming Fund to the home rule county in which the owners
16licensee is located for the purpose of enhancing the county's
17criminal justice system.
18    (c-22) After the payments required under subsections (b),
19(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and
20(c-21) have been made, an amount equal to 2% of the adjusted
21gross receipts generated by the owners licensee under
22paragraph (5) of subsection (e-5) of Section 7 shall be paid,
23subject to appropriation from the General Assembly, from the
24State Gaming Fund to the home rule county in which the owners
25licensee is located for the purpose of enhancing the county's
26criminal justice system.

 

 

SB1303- 30 -LRB103 27615 AMQ 53991 b

1    (c-25) From July 1, 2013 and each July 1 thereafter
2through July 1, 2019, $1,600,000 shall be transferred from the
3State Gaming Fund to the Chicago State University Education
4Improvement Fund.
5    On July 1, 2020 and each July 1 thereafter, $3,000,000
6shall be transferred from the State Gaming Fund to the Chicago
7State University Education Improvement Fund.
8    (c-30) On July 1, 2013 or as soon as possible thereafter,
9$92,000,000 shall be transferred from the State Gaming Fund to
10the School Infrastructure Fund and $23,000,000 shall be
11transferred from the State Gaming Fund to the Horse Racing
12Equity Fund.
13    (c-35) Beginning on July 1, 2013, in addition to any
14amount transferred under subsection (c-30) of this Section,
15$5,530,000 shall be transferred monthly from the State Gaming
16Fund to the School Infrastructure Fund.
17    (d) From time to time, through June 30, 2021, the Board
18shall transfer the remainder of the funds generated by this
19Act into the Education Assistance Fund.
20    (d-5) Beginning on July 1, 2021, on the last day of each
21month, or as soon thereafter as possible, after all the
22required expenditures, distributions, and transfers have been
23made from the State Gaming Fund for the month pursuant to
24subsections (b) through (c-35), at the direction of the Board,
25the Comptroller shall direct and the Treasurer shall transfer
26$22,500,000, along with any deficiencies in such amounts from

 

 

SB1303- 31 -LRB103 27615 AMQ 53991 b

1prior months in the same fiscal year, from the State Gaming
2Fund to the Education Assistance Fund; then, at the direction
3of the Board, the Comptroller shall direct and the Treasurer
4shall transfer the remainder of the funds generated by this
5Act, if any, from the State Gaming Fund to the Capital Projects
6Fund.
7    (e) Nothing in this Act shall prohibit the unit of local
8government designated as the home dock of the riverboat from
9entering into agreements with other units of local government
10in this State or in other states to share its portion of the
11tax revenue.
12    (f) To the extent practicable, the Board shall administer
13and collect the wagering taxes imposed by this Section in a
14manner consistent with the provisions of Sections 4, 5, 5a,
155b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of
16the Retailers' Occupation Tax Act and Section 3-7 of the
17Uniform Penalty and Interest Act.
18(Source: P.A. 101-31, Article 25, Section 25-910, eff.
196-28-19; 101-31, Article 35, Section 35-55, eff. 6-28-19;
20101-648, eff. 6-30-20; 102-16, eff. 6-17-21; 102-538, eff.
218-20-21; 102-689, eff. 12-17-21; 102-699, eff. 4-19-22.)
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.