103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3643

 

Introduced 2/9/2024, by Sen. Willie Preston

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 40/60
230 ILCS 40/75
30 ILCS 105/5.1015 new

    Amends the Video Gaming Act. Provides that the tax collected under the Act from terminal income generated in municipalities with a population greater than or equal to 2,000,000 shall be deposited into the Capital Projects Fund and into the Local Government with Greater than 2,000,000 Residents Video Gaming Distributive Fund (rather than deposited into the Capital Projects Fund and into the Local Government Video Gaming Distributive Fund). Makes conforming changes. Amends the State Finance Act to create the Local Government with Greater than 2,000,000 Residents Video Gaming Distributive Fund. Effective immediately.


LRB103 37929 AWJ 68061 b

 

 

A BILL FOR

 

SB3643LRB103 37929 AWJ 68061 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 Video Gaming Act is amended by changing
5Sections 60 and 75 as follows:
 
6    (230 ILCS 40/60)
7    Sec. 60. Imposition and distribution of tax.
8    (a) A tax of 30% is imposed on net terminal income and
9shall be collected by the Board.
10    (a-5) Of the tax collected under this subsection (a) from
11terminal income generated in municipalities with a population
12less than 2,000,000 and counties, five-sixths shall be
13deposited into the Capital Projects Fund and one-sixth shall
14be deposited into the Local Government Video Gaming
15Distributive Fund.
16    (a-10) Of the tax collected under subsection (a) from
17terminal income generated in municipalities with a population
18greater than or equal to 2,000,000, eleven-fifteenths shall be
19deposited into the Capital Projects Fund and four-fifteenths
20shall be deposited into the Local Government with Greater than
212,000,000 Residents Video Gaming Distributive Fund.
22    (b) Beginning on July 1, 2019, an additional tax of 3% is
23imposed on net terminal income and shall be collected by the

 

 

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1Board.
2    Beginning on July 1, 2020, an additional tax of 1% is
3imposed on net terminal income and shall be collected by the
4Board.
5    The tax collected under this subsection (b) shall be
6deposited into the Capital Projects Fund.
7    (c) Revenues generated from the play of video gaming
8terminals shall be deposited by the terminal operator, who is
9responsible for tax payments, in a specially created, separate
10bank account maintained by the video gaming terminal operator
11to allow for electronic fund transfers of moneys for tax
12payment.
13    (d) Each licensed establishment, licensed truck stop
14establishment, licensed large truck stop establishment,
15licensed fraternal establishment, and licensed veterans
16establishment shall maintain an adequate video gaming fund,
17with the amount to be determined by the Board.
18    (e) The State's percentage of net terminal income shall be
19reported and remitted to the Board within 15 days after the
2015th day of each month and within 15 days after the end of each
21month by the video terminal operator. A video terminal
22operator who falsely reports or fails to report the amount due
23required by this Section is guilty of a Class 4 felony and is
24subject to termination of his or her license by the Board. Each
25video terminal operator shall keep a record of net terminal
26income in such form as the Board may require. All payments not

 

 

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1remitted when due shall be paid together with a penalty
2assessment on the unpaid balance at a rate of 1.5% per month.
3(Source: P.A. 101-31, eff. 6-28-19.)
 
4    (230 ILCS 40/75)
5    Sec. 75. Revenue sharing; Local Government Video Gaming
6Distributive Fund.
7    (a) As soon as may be after the first day of each month,
8the Department of Revenue shall allocate among those
9municipalities with a population less than 2,000,000 and
10counties of this State that have not prohibited video gaming
11pursuant to Section 27 or Section 70 the amount available in
12the Local Government Video Gaming Distributive Fund, a special
13fund in the State Treasury, as provided in Section 60. The
14Department shall then certify such allocations to the State
15Comptroller, who shall pay over to those eligible
16municipalities and counties the respective amounts allocated
17to them. The amount of such funds allocable to each such
18municipality and county shall be in proportion to the tax
19revenue generated from video gaming within the eligible
20municipality or county compared to the tax revenue generated
21from video gaming Statewide.
22    (a-5) As soon as may be after the first day of each month,
23the Department of Revenue shall allocate among those
24municipalities of this State with a population greater than or
25equal to 2,000,000 that have not prohibited video gaming

 

 

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1pursuant to Section 27 or 70 the amount available in the Local
2Government with Greater than 2,000,000 Residents Video Gaming
3Distributive Fund, a special fund that is created in the State
4treasury, as provided in Section 60. The Department shall then
5certify such allocations to the State Comptroller, who shall
6pay over to those eligible municipalities the respective
7amount allocated.
8    (b) The amounts allocated and paid to a municipality or
9county of this State pursuant to the provisions of this
10Section may be used for any general corporate purpose
11authorized for that municipality or county.
12    (c) Upon determination by the Department that an amount
13has been paid pursuant to this Section in excess of the amount
14to which the county or municipality receiving such payment was
15entitled, the county or municipality shall, upon demand by the
16Department, repay such amount. If such repayment is not made
17within a reasonable time, the Department shall withhold from
18future payments an amount equal to such overpayment. The
19Department shall redistribute the amount of such payment to
20the county or municipality entitled thereto.
21(Source: P.A. 96-34, eff. 7-13-09.)
 
22    Section 10. The State Finance Act is amended by adding
23Section 5.1015 as follows:
 
24    (30 ILCS 105/5.1015 new)

 

 

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1    Sec. 5.1015. The Local Government with Greater than
22,000,000 Residents Video Gaming Distributive Fund.
 
3    Section 99. Effective date. This Act takes effect upon
4becoming law.