Illinois General Assembly - Full Text of SB0211
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Full Text of SB0211  100th General Assembly




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1    AN ACT concerning gaming.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. This Act may be referred to as the Illinois
5Homeless Veterans and Working Families Lottery Law.
6    Section 5. The Illinois Lottery Law is amended by changing
7Sections 2, 9, 9.1, and 20 and by adding Section 21.10 as
9    (20 ILCS 1605/2)  (from Ch. 120, par. 1152)
10    (Text of Section before amendment by P.A. 100-466)
11    Sec. 2. This Act is enacted to implement and establish
12within the State a lottery to be conducted by the State through
13the Department. The entire net proceeds of the Lottery are to
14be used for the support of the State's Common School Fund,
15except as provided in subsection (o) of Section 9.1 and
16Sections 21.5, 21.6, 21.7, 21.8, and 21.9, and 21.10. The
17General Assembly finds that it is in the public interest for
18the Department to conduct the functions of the Lottery with the
19assistance of a private manager under a management agreement
20overseen by the Department. The Department shall be accountable
21to the General Assembly and the people of the State through a
22comprehensive system of regulation, audits, reports, and



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1enduring operational oversight. The Department's ongoing
2conduct of the Lottery through a management agreement with a
3private manager shall act to promote and ensure the integrity,
4security, honesty, and fairness of the Lottery's operation and
5administration. It is the intent of the General Assembly that
6the Department shall conduct the Lottery with the assistance of
7a private manager under a management agreement at all times in
8a manner consistent with 18 U.S.C. 1307(a)(1), 1307(b)(1),
10(Source: P.A. 98-649, eff. 6-16-14; 99-933, eff. 1-27-17.)
11    (Text of Section after amendment by P.A. 100-466)
12    Sec. 2. This Act is enacted to implement and establish
13within the State a lottery to be conducted by the State through
14the Department. The entire net proceeds of the Lottery are to
15be used for the support of the State's Common School Fund,
16except as provided in subsection (o) of Section 9.1 and
17Sections 21.5, 21.6, 21.7, 21.8, and 21.9, and 21.10. The
18General Assembly finds that it is in the public interest for
19the Department to conduct the functions of the Lottery with the
20assistance of a private manager under a management agreement
21overseen by the Department. The Department shall be accountable
22to the General Assembly and the people of the State through a
23comprehensive system of regulation, audits, reports, and
24enduring operational oversight. The Department's ongoing
25conduct of the Lottery through a management agreement with a



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1private manager shall act to promote and ensure the integrity,
2security, honesty, and fairness of the Lottery's operation and
3administration. It is the intent of the General Assembly that
4the Department shall conduct the Lottery with the assistance of
5a private manager under a management agreement at all times in
6a manner consistent with 18 U.S.C. 1307(a)(1), 1307(b)(1),
8    Beginning with Fiscal Year 2018 and every year thereafter,
9any moneys transferred from the State Lottery Fund to the
10Common School Fund shall be supplemental to, and not in lieu
11of, any other money due to be transferred to the Common School
12Fund by law or appropriation.
13(Source: P.A. 99-933, eff. 1-27-17; 100-466, eff. 6-1-18.)
14    (20 ILCS 1605/9)  (from Ch. 120, par. 1159)
15    Sec. 9. The Director, as administrative head of the
16Department, shall direct and supervise all its administrative
17and technical activities. In addition to the duties imposed
18upon him elsewhere in this Act, it shall be the Director's
20        a. To supervise and administer the operation of the
21    lottery in accordance with the provisions of this Act or
22    such rules and regulations of the Department adopted
23    thereunder.
24        b. To attend meetings of the Board or to appoint a
25    designee to attend in his stead.



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1        c. To employ and direct such personnel in accord with
2    the Personnel Code, as may be necessary to carry out the
3    purposes of this Act. In addition, the Director may by
4    agreement secure such services as he or she may deem
5    necessary from any other department, agency, or unit of the
6    State government, and may employ and compensate such
7    consultants and technical assistants as may be required and
8    is otherwise permitted by law.
9        d. To license, in accordance with the provisions of
10    Sections 10 and 10.1 of this Act and the rules and
11    regulations of the Department adopted thereunder, as
12    agents to sell lottery tickets such persons as in his
13    opinion will best serve the public convenience and promote
14    the sale of tickets or shares. The Director may require a
15    bond from every licensed agent, in such amount as provided
16    in the rules and regulations of the Department. Every
17    licensed agent shall prominently display his license, or a
18    copy thereof, as provided in the rules and regulations of
19    the Department.
20        e. To suspend or revoke any license issued pursuant to
21    this Act or the rules and regulations promulgated by the
22    Department thereunder.
23        f. To confer regularly as necessary or desirable and
24    not less than once every month with the Lottery Control
25    Board on the operation and administration of the Lottery;
26    to make available for inspection by the Board or any member



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1    of the Board, upon request, all books, records, files, and
2    other information and documents of his office; to advise
3    the Board and recommend such rules and regulations and such
4    other matters as he deems necessary and advisable to
5    improve the operation and administration of the lottery.
6        g. To enter into contracts for the operation of the
7    lottery, or any part thereof, and into contracts for the
8    promotion of the lottery on behalf of the Department with
9    any person, firm or corporation, to perform any of the
10    functions provided for in this Act or the rules and
11    regulations promulgated thereunder. The Department shall
12    not expend State funds on a contractual basis for such
13    functions unless those functions and expenditures are
14    expressly authorized by the General Assembly.
15        h. To enter into an agreement or agreements with the
16    management of state lotteries operated pursuant to the laws
17    of other states for the purpose of creating and operating a
18    multi-state lottery game wherein a separate and distinct
19    prize pool would be combined to award larger prizes to the
20    public than could be offered by the several state
21    lotteries, individually. No tickets or shares offered in
22    connection with a multi-state lottery game shall be sold
23    within the State of Illinois, except those offered by and
24    through the Department. No such agreement shall purport to
25    pledge the full faith and credit of the State of Illinois,
26    nor shall the Department expend State funds on a



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1    contractual basis in connection with any such game unless
2    such expenditures are expressly authorized by the General
3    Assembly, provided, however, that in the event of error or
4    omission by the Illinois State Lottery in the conduct of
5    the game, as determined by the multi-state game directors,
6    the Department shall be authorized to pay a prize winner or
7    winners the lesser of a disputed prize or $1,000,000, any
8    such payment to be made solely from funds appropriated for
9    game prize purposes. The Department shall be authorized to
10    share in the ordinary operating expenses of any such
11    multi-state lottery game, from funds appropriated by the
12    General Assembly, and in the event the multi-state game
13    control offices are physically located within the State of
14    Illinois, the Department is authorized to advance start-up
15    operating costs not to exceed $150,000, subject to
16    proportionate reimbursement of such costs by the other
17    participating state lotteries. The Department shall be
18    authorized to share proportionately in the costs of
19    establishing a liability reserve fund from funds
20    appropriated by the General Assembly. The Department is
21    authorized to transfer prize award funds attributable to
22    Illinois sales of multi-state lottery game tickets to the
23    multi-state control office, or its designated depository,
24    for deposit to such game pool account or accounts as may be
25    established by the multi-state game directors, the records
26    of which account or accounts shall be available at all



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1    times for inspection in an audit by the Auditor General of
2    Illinois and any other auditors pursuant to the laws of the
3    State of Illinois. No multi-state game prize awarded to a
4    nonresident of Illinois, with respect to a ticket or share
5    purchased in a state other than the State of Illinois,
6    shall be deemed to be a prize awarded under this Act for
7    the purpose of taxation under the Illinois Income Tax Act.
8    The Department shall promulgate such rules as may be
9    appropriate to implement the provisions of this Section.
10        i. To make a continuous study and investigation of (1)
11    the operation and the administration of similar laws which
12    may be in effect in other states or countries, (2) any
13    literature on the subject which from time to time may be
14    published or available, (3) any Federal laws which may
15    affect the operation of the lottery, and (4) the reaction
16    of Illinois citizens to existing and potential features of
17    the lottery with a view to recommending or effecting
18    changes that will tend to serve the purposes of this Act.
19        j. To report monthly to the State Treasurer and the
20    Lottery Control Board a full and complete statement of
21    lottery revenues, prize disbursements and other expenses
22    for each month and the amounts to be transferred to the
23    Common School Fund pursuant to Section 7.2, and to make an
24    annual report, which shall include a full and complete
25    statement of lottery revenues, prize disbursements and
26    other expenses, to the Governor and the Board. All reports



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1    required by this subsection shall be public and copies of
2    all such reports shall be sent to the Speaker of the House,
3    the President of the Senate, and the minority leaders of
4    both houses.
5        k. To keep the name and municipality of residence of
6    the prize winner of a prize of $250,000 or greater
7    confidential upon the prize winner making a written request
8    that his or her name and municipality of residence be kept
9    confidential. The prize winner must submit his or her
10    written request at the time of claiming the prize. The
11    written request shall be in the form established by the
12    Department. Nothing in this paragraph k supersedes the
13    Department's duty to disclose the name and municipality of
14    residence of a prize winner of a prize of $250,000 or
15    greater pursuant to the Freedom of Information Act.
16(Source: P.A. 98-499, eff. 8-16-13; 99-933, eff. 1-27-17.)
17    (20 ILCS 1605/9.1)
18    Sec. 9.1. Private manager and management agreement.
19    (a) As used in this Section:
20    "Offeror" means a person or group of persons that responds
21to a request for qualifications under this Section.
22    "Request for qualifications" means all materials and
23documents prepared by the Department to solicit the following
24from offerors:
25        (1) Statements of qualifications.



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1        (2) Proposals to enter into a management agreement,
2    including the identity of any prospective vendor or vendors
3    that the offeror intends to initially engage to assist the
4    offeror in performing its obligations under the management
5    agreement.
6    "Final offer" means the last proposal submitted by an
7offeror in response to the request for qualifications,
8including the identity of any prospective vendor or vendors
9that the offeror intends to initially engage to assist the
10offeror in performing its obligations under the management
12    "Final offeror" means the offeror ultimately selected by
13the Governor to be the private manager for the Lottery under
14subsection (h) of this Section.
15    (b) By September 15, 2010, the Governor shall select a
16private manager for the total management of the Lottery with
17integrated functions, such as lottery game design, supply of
18goods and services, and advertising and as specified in this
20    (c) Pursuant to the terms of this subsection, the
21Department shall endeavor to expeditiously terminate the
22existing contracts in support of the Lottery in effect on the
23effective date of this amendatory Act of the 96th General
24Assembly in connection with the selection of the private
25manager. As part of its obligation to terminate these contracts
26and select the private manager, the Department shall establish



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1a mutually agreeable timetable to transfer the functions of
2existing contractors to the private manager so that existing
3Lottery operations are not materially diminished or impaired
4during the transition. To that end, the Department shall do the
6        (1) where such contracts contain a provision
7    authorizing termination upon notice, the Department shall
8    provide notice of termination to occur upon the mutually
9    agreed timetable for transfer of functions;
10        (2) upon the expiration of any initial term or renewal
11    term of the current Lottery contracts, the Department shall
12    not renew such contract for a term extending beyond the
13    mutually agreed timetable for transfer of functions; or
14        (3) in the event any current contract provides for
15    termination of that contract upon the implementation of a
16    contract with the private manager, the Department shall
17    perform all necessary actions to terminate the contract on
18    the date that coincides with the mutually agreed timetable
19    for transfer of functions.
20    If the contracts to support the current operation of the
21Lottery in effect on the effective date of this amendatory Act
22of the 96th General Assembly are not subject to termination as
23provided for in this subsection (c), then the Department may
24include a provision in the contract with the private manager
25specifying a mutually agreeable methodology for incorporation.
26    (c-5) The Department shall include provisions in the



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1management agreement whereby the private manager shall, for a
2fee, and pursuant to a contract negotiated with the Department
3(the "Employee Use Contract"), utilize the services of current
4Department employees to assist in the administration and
5operation of the Lottery. The Department shall be the employer
6of all such bargaining unit employees assigned to perform such
7work for the private manager, and such employees shall be State
8employees, as defined by the Personnel Code. Department
9employees shall operate under the same employment policies,
10rules, regulations, and procedures, as other employees of the
11Department. In addition, neither historical representation
12rights under the Illinois Public Labor Relations Act, nor
13existing collective bargaining agreements, shall be disturbed
14by the management agreement with the private manager for the
15management of the Lottery.
16    (d) The management agreement with the private manager shall
17include all of the following:
18        (1) A term not to exceed 10 years, including any
19    renewals.
20        (2) A provision specifying that the Department:
21            (A) shall exercise actual control over all
22        significant business decisions;
23            (A-5) has the authority to direct or countermand
24        operating decisions by the private manager at any time;
25            (B) has ready access at any time to information
26        regarding Lottery operations;



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1            (C) has the right to demand and receive information
2        from the private manager concerning any aspect of the
3        Lottery operations at any time; and
4            (D) retains ownership of all trade names,
5        trademarks, and intellectual property associated with
6        the Lottery.
7        (3) A provision imposing an affirmative duty on the
8    private manager to provide the Department with material
9    information and with any information the private manager
10    reasonably believes the Department would want to know to
11    enable the Department to conduct the Lottery.
12        (4) A provision requiring the private manager to
13    provide the Department with advance notice of any operating
14    decision that bears significantly on the public interest,
15    including, but not limited to, decisions on the kinds of
16    games to be offered to the public and decisions affecting
17    the relative risk and reward of the games being offered, so
18    the Department has a reasonable opportunity to evaluate and
19    countermand that decision.
20        (5) A provision providing for compensation of the
21    private manager that may consist of, among other things, a
22    fee for services and a performance based bonus as
23    consideration for managing the Lottery, including terms
24    that may provide the private manager with an increase in
25    compensation if Lottery revenues grow by a specified
26    percentage in a given year.



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1        (6) (Blank).
2        (7) A provision requiring the deposit of all Lottery
3    proceeds to be deposited into the State Lottery Fund except
4    as otherwise provided in Section 20 of this Act.
5        (8) A provision requiring the private manager to locate
6    its principal office within the State.
7        (8-5) A provision encouraging that at least 20% of the
8    cost of contracts entered into for goods and services by
9    the private manager in connection with its management of
10    the Lottery, other than contracts with sales agents or
11    technical advisors, be awarded to businesses that are a
12    minority-owned business, a women-owned business, or a
13    business owned by a person with disability, as those terms
14    are defined in the Business Enterprise for Minorities,
15    Women, and Persons with Disabilities Act.
16        (9) A requirement that so long as the private manager
17    complies with all the conditions of the agreement under the
18    oversight of the Department, the private manager shall have
19    the following duties and obligations with respect to the
20    management of the Lottery:
21            (A) The right to use equipment and other assets
22        used in the operation of the Lottery.
23            (B) The rights and obligations under contracts
24        with retailers and vendors.
25            (C) The implementation of a comprehensive security
26        program by the private manager.



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1            (D) The implementation of a comprehensive system
2        of internal audits.
3            (E) The implementation of a program by the private
4        manager to curb compulsive gambling by persons playing
5        the Lottery.
6            (F) A system for determining (i) the type of
7        Lottery games, (ii) the method of selecting winning
8        tickets, (iii) the manner of payment of prizes to
9        holders of winning tickets, (iv) the frequency of
10        drawings of winning tickets, (v) the method to be used
11        in selling tickets, (vi) a system for verifying the
12        validity of tickets claimed to be winning tickets,
13        (vii) the basis upon which retailer commissions are
14        established by the manager, and (viii) minimum
15        payouts.
16        (10) A requirement that advertising and promotion must
17    be consistent with Section 7.8a of this Act.
18        (11) A requirement that the private manager market the
19    Lottery to those residents who are new, infrequent, or
20    lapsed players of the Lottery, especially those who are
21    most likely to make regular purchases on the Internet as
22    permitted by law.
23        (12) A code of ethics for the private manager's
24    officers and employees.
25        (13) A requirement that the Department monitor and
26    oversee the private manager's practices and take action



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1    that the Department considers appropriate to ensure that
2    the private manager is in compliance with the terms of the
3    management agreement, while allowing the manager, unless
4    specifically prohibited by law or the management
5    agreement, to negotiate and sign its own contracts with
6    vendors.
7        (14) A provision requiring the private manager to
8    periodically file, at least on an annual basis, appropriate
9    financial statements in a form and manner acceptable to the
10    Department.
11        (15) Cash reserves requirements.
12        (16) Procedural requirements for obtaining the prior
13    approval of the Department when a management agreement or
14    an interest in a management agreement is sold, assigned,
15    transferred, or pledged as collateral to secure financing.
16        (17) Grounds for the termination of the management
17    agreement by the Department or the private manager.
18        (18) Procedures for amendment of the agreement.
19        (19) A provision requiring the private manager to
20    engage in an open and competitive bidding process for any
21    procurement having a cost in excess of $50,000 that is not
22    a part of the private manager's final offer. The process
23    shall favor the selection of a vendor deemed to have
24    submitted a proposal that provides the Lottery with the
25    best overall value. The process shall not be subject to the
26    provisions of the Illinois Procurement Code, unless



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1    specifically required by the management agreement.
2        (20) The transition of rights and obligations,
3    including any associated equipment or other assets used in
4    the operation of the Lottery, from the manager to any
5    successor manager of the lottery, including the
6    Department, following the termination of or foreclosure
7    upon the management agreement.
8        (21) Right of use of copyrights, trademarks, and
9    service marks held by the Department in the name of the
10    State. The agreement must provide that any use of them by
11    the manager shall only be for the purpose of fulfilling its
12    obligations under the management agreement during the term
13    of the agreement.
14        (22) The disclosure of any information requested by the
15    Department to enable it to comply with the reporting
16    requirements and information requests provided for under
17    subsection (p) of this Section.
18    (e) Notwithstanding any other law to the contrary, the
19Department shall select a private manager through a competitive
20request for qualifications process consistent with Section
2120-35 of the Illinois Procurement Code, which shall take into
23        (1) the offeror's ability to market the Lottery to
24    those residents who are new, infrequent, or lapsed players
25    of the Lottery, especially those who are most likely to
26    make regular purchases on the Internet;



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1        (2) the offeror's ability to address the State's
2    concern with the social effects of gambling on those who
3    can least afford to do so;
4        (3) the offeror's ability to provide the most
5    successful management of the Lottery for the benefit of the
6    people of the State based on current and past business
7    practices or plans of the offeror; and
8        (4) the offeror's poor or inadequate past performance
9    in servicing, equipping, operating or managing a lottery on
10    behalf of Illinois, another State or foreign government and
11    attracting persons who are not currently regular players of
12    a lottery.
13    (f) The Department may retain the services of an advisor or
14advisors with significant experience in financial services or
15the management, operation, and procurement of goods, services,
16and equipment for a government-run lottery to assist in the
17preparation of the terms of the request for qualifications and
18selection of the private manager. Any prospective advisor
19seeking to provide services under this subsection (f) shall
20disclose any material business or financial relationship
21during the past 3 years with any potential offeror, or with a
22contractor or subcontractor presently providing goods,
23services, or equipment to the Department to support the
24Lottery. The Department shall evaluate the material business or
25financial relationship of each prospective advisor. The
26Department shall not select any prospective advisor with a



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1substantial business or financial relationship that the
2Department deems to impair the objectivity of the services to
3be provided by the prospective advisor. During the course of
4the advisor's engagement by the Department, and for a period of
5one year thereafter, the advisor shall not enter into any
6business or financial relationship with any offeror or any
7vendor identified to assist an offeror in performing its
8obligations under the management agreement. Any advisor
9retained by the Department shall be disqualified from being an
10offeror. The Department shall not include terms in the request
11for qualifications that provide a material advantage whether
12directly or indirectly to any potential offeror, or any
13contractor or subcontractor presently providing goods,
14services, or equipment to the Department to support the
15Lottery, including terms contained in previous responses to
16requests for proposals or qualifications submitted to
17Illinois, another State or foreign government when those terms
18are uniquely associated with a particular potential offeror,
19contractor, or subcontractor. The request for proposals
20offered by the Department on December 22, 2008 as
21"LOT08GAMESYS" and reference number "22016176" is declared
23    (g) The Department shall select at least 2 offerors as
24finalists to potentially serve as the private manager no later
25than August 9, 2010. Upon making preliminary selections, the
26Department shall schedule a public hearing on the finalists'



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1proposals and provide public notice of the hearing at least 7
2calendar days before the hearing. The notice must include all
3of the following:
4        (1) The date, time, and place of the hearing.
5        (2) The subject matter of the hearing.
6        (3) A brief description of the management agreement to
7    be awarded.
8        (4) The identity of the offerors that have been
9    selected as finalists to serve as the private manager.
10        (5) The address and telephone number of the Department.
11    (h) At the public hearing, the Department shall (i) provide
12sufficient time for each finalist to present and explain its
13proposal to the Department and the Governor or the Governor's
14designee, including an opportunity to respond to questions
15posed by the Department, Governor, or designee and (ii) allow
16the public and non-selected offerors to comment on the
17presentations. The Governor or a designee shall attend the
18public hearing. After the public hearing, the Department shall
19have 14 calendar days to recommend to the Governor whether a
20management agreement should be entered into with a particular
21finalist. After reviewing the Department's recommendation, the
22Governor may accept or reject the Department's recommendation,
23and shall select a final offeror as the private manager by
24publication of a notice in the Illinois Procurement Bulletin on
25or before September 15, 2010. The Governor shall include in the
26notice a detailed explanation and the reasons why the final



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1offeror is superior to other offerors and will provide
2management services in a manner that best achieves the
3objectives of this Section. The Governor shall also sign the
4management agreement with the private manager.
5    (i) Any action to contest the private manager selected by
6the Governor under this Section must be brought within 7
7calendar days after the publication of the notice of the
8designation of the private manager as provided in subsection
9(h) of this Section.
10    (j) The Lottery shall remain, for so long as a private
11manager manages the Lottery in accordance with provisions of
12this Act, a Lottery conducted by the State, and the State shall
13not be authorized to sell or transfer the Lottery to a third
15    (k) Any tangible personal property used exclusively in
16connection with the lottery that is owned by the Department and
17leased to the private manager shall be owned by the Department
18in the name of the State and shall be considered to be public
19property devoted to an essential public and governmental
21    (l) The Department may exercise any of its powers under
22this Section or any other law as necessary or desirable for the
23execution of the Department's powers under this Section.
24    (m) Neither this Section nor any management agreement
25entered into under this Section prohibits the General Assembly
26from authorizing forms of gambling that are not in direct



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1competition with the Lottery.
2    (n) The private manager shall be subject to a complete
3investigation in the third, seventh, and tenth years of the
4agreement (if the agreement is for a 10-year term) by the
5Department in cooperation with the Auditor General to determine
6whether the private manager has complied with this Section and
7the management agreement. The private manager shall bear the
8cost of an investigation or reinvestigation of the private
9manager under this subsection.
10    (o) The powers conferred by this Section are in addition
11and supplemental to the powers conferred by any other law. If
12any other law or rule is inconsistent with this Section,
13including, but not limited to, provisions of the Illinois
14Procurement Code, then this Section controls as to any
15management agreement entered into under this Section. This
16Section and any rules adopted under this Section contain full
17and complete authority for a management agreement between the
18Department and a private manager. No law, procedure,
19proceeding, publication, notice, consent, approval, order, or
20act by the Department or any other officer, Department, agency,
21or instrumentality of the State or any political subdivision is
22required for the Department to enter into a management
23agreement under this Section. This Section contains full and
24complete authority for the Department to approve any contracts
25entered into by a private manager with a vendor providing
26goods, services, or both goods and services to the private



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1manager under the terms of the management agreement, including
2subcontractors of such vendors.
3    Upon receipt of a written request from the Chief
4Procurement Officer, the Department shall provide to the Chief
5Procurement Officer a complete and un-redacted copy of the
6management agreement or any contract that is subject to the
7Department's approval authority under this subsection (o). The
8Department shall provide a copy of the agreement or contract to
9the Chief Procurement Officer in the time specified by the
10Chief Procurement Officer in his or her written request, but no
11later than 5 business days after the request is received by the
12Department. The Chief Procurement Officer must retain any
13portions of the management agreement or of any contract
14designated by the Department as confidential, proprietary, or
15trade secret information in complete confidence pursuant to
16subsection (g) of Section 7 of the Freedom of Information Act.
17The Department shall also provide the Chief Procurement Officer
18with reasonable advance written notice of any contract that is
19pending Department approval.
20    Notwithstanding any other provision of this Section to the
21contrary, the Chief Procurement Officer shall adopt
22administrative rules, including emergency rules, to establish
23a procurement process to select a successor private manager if
24a private management agreement has been terminated. The
25selection process shall at a minimum take into account the
26criteria set forth in items (1) through (4) of subsection (e)



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1of this Section and may include provisions consistent with
2subsections (f), (g), (h), and (i) of this Section. The Chief
3Procurement Officer shall also implement and administer the
4adopted selection process upon the termination of a private
5management agreement. The Department, after the Chief
6Procurement Officer certifies that the procurement process has
7been followed in accordance with the rules adopted under this
8subsection (o), shall select a final offeror as the private
9manager and sign the management agreement with the private
11    Except as provided in Sections 21.5, 21.6, 21.7, 21.8, and
1221.9, and 21.10, the Department shall distribute all proceeds
13of lottery tickets and shares sold in the following priority
14and manner:
15        (1) The payment of prizes and retailer bonuses.
16        (2) The payment of costs incurred in the operation and
17    administration of the Lottery, including the payment of
18    sums due to the private manager under the management
19    agreement with the Department.
20        (3) On the last day of each month or as soon thereafter
21    as possible, the State Comptroller shall direct and the
22    State Treasurer shall transfer from the State Lottery Fund
23    to the Common School Fund an amount that is equal to the
24    proceeds transferred in the corresponding month of fiscal
25    year 2009, as adjusted for inflation, to the Common School
26    Fund.



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1        (4) On or before the last day of each fiscal year,
2    deposit any remaining proceeds, subject to payments under
3    items (1), (2), and (3) into the Capital Projects Fund each
4    fiscal year.
5    (p) The Department shall be subject to the following
6reporting and information request requirements:
7        (1) the Department shall submit written quarterly
8    reports to the Governor and the General Assembly on the
9    activities and actions of the private manager selected
10    under this Section;
11        (2) upon request of the Chief Procurement Officer, the
12    Department shall promptly produce information related to
13    the procurement activities of the Department and the
14    private manager requested by the Chief Procurement
15    Officer; the Chief Procurement Officer must retain
16    confidential, proprietary, or trade secret information
17    designated by the Department in complete confidence
18    pursuant to subsection (g) of Section 7 of the Freedom of
19    Information Act; and
20        (3) at least 30 days prior to the beginning of the
21    Department's fiscal year, the Department shall prepare an
22    annual written report on the activities of the private
23    manager selected under this Section and deliver that report
24    to the Governor and General Assembly.
25(Source: P.A. 99-933, eff. 1-27-17; 100-391, eff. 8-25-17.)



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1    (20 ILCS 1605/20)  (from Ch. 120, par. 1170)
2    Sec. 20. State Lottery Fund.
3    (a) There is created in the State Treasury a special fund
4to be known as the "State Lottery Fund". Such fund shall
5consist of all revenues received from (1) the sale of lottery
6tickets or shares, (net of commissions, fees representing those
7expenses that are directly proportionate to the sale of tickets
8or shares at the agent location, and prizes of less than $600
9which have been validly paid at the agent level), (2)
10application fees, and (3) all other sources including moneys
11credited or transferred thereto from any other fund or source
12pursuant to law. Interest earnings of the State Lottery Fund
13shall be credited to the Common School Fund.
14    (b) The receipt and distribution of moneys under Section
1521.5 of this Act shall be in accordance with Section 21.5.
16    (c) The receipt and distribution of moneys under Section
1721.6 of this Act shall be in accordance with Section 21.6.
18    (d) The receipt and distribution of moneys under Section
1921.7 of this Act shall be in accordance with Section 21.7.
20    (e) The receipt and distribution of moneys under Section
2121.8 of this Act shall be in accordance with Section 21.8.
22    (f) The receipt and distribution of moneys under Section
2321.9 of this Act shall be in accordance with Section 21.9.
24    (g) The receipt and distribution of moneys under Section
2521.10 of this Act shall be in accordance with Section 21.10.
26(Source: P.A. 98-649, eff. 6-16-14.)



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1    (20 ILCS 1605/21.10 new)
2    Sec. 21.10. Scratch-off for homelessness prevention
4    (a) The Department shall offer a special instant
5scratch-off game to fund homelessness prevention programs. The
6game shall commence on July 1, 2019 or as soon thereafter, at
7the discretion of the Director, as is reasonably practical. The
8operation of the game shall be governed by this Act and any
9rules adopted by the Department. If any provision of this
10Section is inconsistent with any other provision of this Act,
11then this Section governs.
12    (b) The Homelessness Prevention Revenue Fund is created as
13a special fund in the State treasury. The net revenue from the
14scratch-off game to fund homelessness prevention programs
15shall be deposited into the Homelessness Prevention Revenue
16Fund. Subject to appropriation, moneys in the Fund shall be
17used by the Department of Human Services solely for grants to
18homelessness prevention and assistance projects under the
19Homelessness Prevention Act.
20    As used in this subsection, "net revenue" means the total
21amount for which tickets have been sold less the sum of the
22amount paid out in the prizes and the actual administrative
23expenses of the Department solely related to the scratch-off
24game under this Section.
25    (c) During the time that tickets are sold for the



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1scratch-off game to fund homelessness prevention programs, the
2Department shall not unreasonably diminish the efforts devoted
3to marketing any other instant scratch-off lottery game.
4    (d) The Department may adopt any rules necessary to
5implement and administer the provisions of this Section.
6    (e) Nothing in this Section shall be construed to affect
7any revenue that any Homelessness Prevention line item receives
8through the General Revenue Fund or the Illinois Affordable
9Housing Trust Fund.
10    Section 10. The State Finance Act is amended by adding
11Section 5.886 as follows:
12    (30 ILCS 105/5.886 new)
13    Sec. 5.886. The Homelessness Prevention Revenue Fund.
14    Section 95. No acceleration or delay. Where this Act makes
15changes in a statute that is represented in this Act by text
16that is not yet or no longer in effect (for example, a Section
17represented by multiple versions), the use of that text does
18not accelerate or delay the taking effect of (i) the changes
19made by this Act or (ii) provisions derived from any other
20Public Act.
21    Section 99. Effective date. This Act takes effect upon
22becoming law.