Full Text of SB1667 100th General Assembly
SB1667ham001 100TH GENERAL ASSEMBLY | Rep. Michael J. Zalewski Filed: 5/29/2017
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| 1 | | AMENDMENT TO SENATE BILL 1667
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 1667 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 1. Short title. This Act may be cited as the | 5 | | Fantasy Sports Contest Act. | 6 | | Section 5. Legislative intent. This Act is designed to | 7 | | provide regulation of companies providing access to paid | 8 | | fantasy sports contests and protect Illinois consumers who play | 9 | | paid fantasy sports contests for prizes from unfair acts and | 10 | | practices that may arise in the gaming process. The regulation | 11 | | is also intended to protect the families of persons who play | 12 | | paid fantasy sports contests to the extent that they may be | 13 | | affected by unfair and deceptive practices that lead to | 14 | | unaffordable losses. | 15 | | Section 10. Definitions. In this Act: |
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| 1 | | "Beginner fantasy sports player" means an individual who is | 2 | | at least 21 years of age and who has entered fewer than 51 | 3 | | fantasy sports contests offered by a single fantasy sports | 4 | | contest operator. | 5 | | "Board" means the Illinois Gaming Board. | 6 | | "Confidential information" means information related to | 7 | | the play of a fantasy sports contest by fantasy sports players | 8 | | obtained as a result of or by virtue of a person's employment | 9 | | with a fantasy sports contest operator. | 10 | | "Entry fee" means the cash or cash equivalent paid by a | 11 | | fantasy sports player located in Illinois at the time of entry | 12 | | for participation in a fantasy sports contest. | 13 | | "Fantasy sports contest" means any fantasy contest, in | 14 | | which: | 15 | | (1) the value of all prizes and awards offered to | 16 | | winning participants are established and made known to the | 17 | | participants in advance of the contest and their value is | 18 | | not determined by the number of participants or the amount | 19 | | of any fees paid by those participants; | 20 | | (2) all winning outcomes are determined predominantly | 21 | | by accumulated statistical results of the performance of | 22 | | individual athletes in real-world professional athletic | 23 | | competitions; a professional athletic competition does not | 24 | | include any amateur or collegiate level sport; and | 25 | | (3) no winning outcome is based on the score, point | 26 | | spread, or any performance or performances of any single |
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| 1 | | actual team or combination of such teams or solely on any | 2 | | single performance of an individual athlete or player in | 3 | | any single actual event. | 4 | | A fantasy sports contest in a game or contest that involves | 5 | | individual athletes from real-world professional athletic | 6 | | teams, such as football, baseball, basketball, hockey, soccer, | 7 | | and other team sports: (i) shall consist of individual athletes | 8 | | from at least 3 different real-world professional athletic | 9 | | teams and (ii) shall not have more than 4 individual athletes | 10 | | from a single real-world professional athletic team. However, | 11 | | the prohibition contained in item (ii) of this paragraph does | 12 | | not apply to a season-long fantasy sports contest. | 13 | | "Fantasy sports contest operator" means any individual, | 14 | | partnership, corporation, or limited liability company that | 15 | | engages in the business of offering, by means of the Internet, | 16 | | a smart phone application, or other similar electronic or | 17 | | digital media or communication technologies, multiple fantasy | 18 | | sports contests to persons. | 19 | | "Fantasy sports contest platform" means any website, smart | 20 | | phone application, or other portal providing access to a | 21 | | fantasy sports contest. | 22 | | "Fantasy sports contest revenues" means the amount of entry | 23 | | fees collected from fantasy sports players located in Illinois | 24 | | accepted by a fantasy sports contest operator that are not | 25 | | awarded as prizes to fantasy sports players. | 26 | | "Fantasy sports player" means an individual 21 years of age |
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| 1 | | or over who enters into a fantasy sports contest with an entry | 2 | | fee offered by a fantasy sports contest operator. | 3 | | "Highly experienced fantasy sports player" means an | 4 | | individual who is at least 21 years of age and has (1) entered | 5 | | more than 1,000 contests offered by a single fantasy sports | 6 | | contest operator or (2) has won more than 3 prizes valued at | 7 | | $1,000 or more. Once a fantasy sports player is classified as a | 8 | | highly experienced fantasy sports player, a player shall remain | 9 | | classified as such. | 10 | | "Minor" means an individual under 21 years of age. | 11 | | "Prize" means anything of value, including money, contest | 12 | | credits, merchandise, or admission to another contest. | 13 | | "Scripts" means commands that a fantasy sports | 14 | | contest-related computer program can execute that are created | 15 | | by fantasy sports players (or by third parties for the use of | 16 | | fantasy sports players) to automate processes on a fantasy | 17 | | sports contest platform. | 18 | | "Season-long fantasy sports contest" means a fantasy | 19 | | sports contest offered by a fantasy sports contest operator | 20 | | that is conducted over an entire sports season where the entry | 21 | | fee is paid prior to the start of the season. | 22 | | Section 15. Applicability. This Act and all rules adopted | 23 | | under the authority of this Act shall only apply to fantasy | 24 | | sports contests when an entry fee is paid by a fantasy sports | 25 | | player at the time of entry for participation in a fantasy |
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| 1 | | sports contest. | 2 | | Section 20. Authority of the Board. | 3 | | (a) The Board shall have jurisdiction over and shall | 4 | | supervise all fantasy sports contests governed by this Act. The | 5 | | Board shall have all powers necessary and proper to fully and | 6 | | effectively execute the provisions of this Act, including, but | 7 | | not limited to, the following: | 8 | | (1) To investigate applicants and determine the | 9 | | eligibility of applicants for licenses that best serve the | 10 | | interests of the citizens of Illinois. | 11 | | (2) To adopt such rules as in its judgment may be | 12 | | necessary to protect or enhance the credibility and | 13 | | integrity of fantasy sports contests authorized by this Act | 14 | | and the regulatory process under this Act. | 15 | | (3) To provide for the establishment and collection of | 16 | | all license and registration fees and taxes imposed by this | 17 | | Act and the rules issued pursuant to this Act. All license | 18 | | fees shall be deposited into the State Gaming Fund, and all | 19 | | taxes collected shall be deposited into the Education | 20 | | Assistance Fund. | 21 | | (4) To suspend, revoke, or restrict licenses; to | 22 | | require the removal of a fantasy sports contest operator or | 23 | | an employee of a fantasy sports contest operator for a | 24 | | violation of this Act or a Board rule or for engaging in a | 25 | | fraudulent practice; and to impose civil penalties of up to |
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| 1 | | $5,000 against individuals and up to $10,000 or an amount | 2 | | equal to the fantasy sports contest revenues, whichever is | 3 | | larger, against licensees for each violation of any | 4 | | provision of the Act, any rules adopted by the Board, any | 5 | | order of the Board, or any other action which, in the | 6 | | Board's discretion, is a detriment or impediment to fantasy | 7 | | sports contests. | 8 | | (5) To provide for the levy and collection of penalties | 9 | | and fines for the violation of provisions of this Act and | 10 | | the rules adopted under this Act. All such fines and | 11 | | penalties shall be deposited into the State Gaming Fund. | 12 | | (b) The Board shall adopt emergency rules to administer | 13 | | this Act in accordance with Section 5-45 of the Illinois | 14 | | Administrative Procedure Act. For the purposes of the Illinois | 15 | | Administrative Procedure Act, the General Assembly finds that | 16 | | the adoption of rules to implement this Act is deemed an | 17 | | emergency and necessary to the public interest, safety, and | 18 | | welfare. | 19 | | Section 25. Fantasy sports player accounts. | 20 | | (a) A fantasy sports contest operator shall not allow a | 21 | | fantasy sports player to create more than one username or more | 22 | | than one account. A fantasy sports contest operator shall take | 23 | | commercially and technologically reasonable measures to verify | 24 | | a fantasy sports player's true identity and address. A fantasy | 25 | | sports contest operator shall implement and prominently |
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| 1 | | publish procedures to terminate all accounts of a fantasy | 2 | | sports player that establishes or seeks to establish more than | 3 | | one username or more than one account, whether directly or by | 4 | | use of another person as a proxy. The procedures may allow a | 5 | | fantasy sports player that establishes or seeks to establish | 6 | | more than one username or more than one account to retain one | 7 | | account provided that the fantasy sports contest operator | 8 | | investigates and makes a good faith determination that the | 9 | | fantasy sports player's conduct was not intended to obtain a | 10 | | competitive advantage. | 11 | | (b) Fantasy sports contest operators shall not allow | 12 | | fantasy sports players to use a proxy server for the purpose of | 13 | | misrepresenting their location in order to engage in fantasy | 14 | | sports contests. | 15 | | (c) Fantasy sports contest operators shall implement and | 16 | | prominently publish procedures to terminate all accounts of any | 17 | | fantasy sports player that establishes or seeks to establish | 18 | | more than one username or more than one account, whether | 19 | | directly or by use of another person as a proxy. If an account | 20 | | is terminated for establishing or seeking to establish more | 21 | | than one username or more than one account, the account holder | 22 | | is prohibited from establishing another account with that | 23 | | fantasy sports contest operator. | 24 | | (d) Fantasy sports contest operators shall take | 25 | | commercially and technologically reasonable measures to | 26 | | prevent one fantasy sports player from acting as a proxy for |
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| 1 | | another. These measures shall include, without limitation, use | 2 | | of geolocation technologies to prevent simultaneous logins to a | 3 | | single account from geographically inconsistent locations. | 4 | | Section 30. Protection of consumer funds on deposit and | 5 | | compliance with data security
requirements. | 6 | | (a) Fantasy sports contest operators shall comply with all | 7 | | applicable State and federal requirements for data security, | 8 | | including, but not limited to, age verification and location | 9 | | software. | 10 | | (b) Funds in fantasy sports players' accounts shall be held | 11 | | in segregated accounts by the fantasy sports contest operators | 12 | | for the fantasy sports players that establish the accounts. | 13 | | Fantasy sports contest operators shall implement and | 14 | | prominently publish procedures that: | 15 | | (1) prevent unauthorized withdrawals from fantasy | 16 | | sports player accounts by fantasy sports contest operators | 17 | | or others; | 18 | | (2) prevent commingling of funds in a fantasy sports | 19 | | player's account with other funds, including, without | 20 | | limitation, funds of the fantasy sports contest operator; | 21 | | fantasy sports player funds shall be segregated from | 22 | | fantasy sports contest operators' operational funds and | 23 | | any other funds held by the fantasy sports contest | 24 | | operator; and | 25 | | (3) address reporting on complaints by fantasy sports |
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| 1 | | players that their accounts have been misallocated, | 2 | | compromised, or otherwise mishandled. | 3 | | (c) Fantasy sports contest operators shall implement and | 4 | | prominently publish procedures that allow any fantasy sports | 5 | | player to permanently close an account at any time and for any | 6 | | reason. The procedures shall allow for cancellation by any | 7 | | means, including, without limitation, by a fantasy sports | 8 | | player on any fantasy sports contest platform used by that | 9 | | fantasy sports player to make deposits into a fantasy sports | 10 | | player account. A copy of a fantasy sports contest operator's | 11 | | procedures shall be submitted to the Board and any changes | 12 | | shall be submitted within 30 days. | 13 | | (d) When a fantasy sports player account is closed, the | 14 | | fantasy sports contest operator shall refund all funds in the | 15 | | account no later than 5 business days after submission of the | 16 | | request or 10 business days after submission of any tax | 17 | | reporting information required by law, whichever is later, | 18 | | unless the fantasy sports contest operator makes a good faith | 19 | | determination that the fantasy sports player engaged in | 20 | | fraudulent or other conduct that would constitute a violation | 21 | | of this Act, rules adopted pursuant to this Act, or the fantasy | 22 | | sports contest operator's policies, in which case, upon notice | 23 | | to the fantasy sports player of that determination, the | 24 | | withdrawal may be held pending a reasonable investigative | 25 | | period to resolve its investigation. For the purposes of this | 26 | | subsection (d), a request for withdrawal shall be considered |
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| 1 | | honored if it is processed by the fantasy sports contest | 2 | | operator, but delayed by a payment processor, a credit card | 3 | | issuer, or the custodian of the financial account. | 4 | | (e) If a prize is awarded to a fantasy sports player with a | 5 | | closed account, that prize, to the extent it consists of funds, | 6 | | shall be distributed by the fantasy sports contest operator | 7 | | within 5 business days, or 10 business days of submission of | 8 | | any tax reporting information required by law, unless the | 9 | | fantasy sports contest operator makes a good faith | 10 | | determination that the fantasy sports player engaged in | 11 | | fraudulent or other conduct that would constitute a violation | 12 | | of this Act or rules adopted pursuant to this Act. If such | 13 | | determination is made, then the prize may be withheld, provided | 14 | | that it is then awarded to another fantasy sports player in the | 15 | | same contest who would have won the prize had the fantasy | 16 | | sports player with the closed account not participated. | 17 | | (f) A fantasy sports contest operator shall close any | 18 | | fantasy player account that is inactive for 2 years and notify | 19 | | the account holder that the account has been closed by email | 20 | | and by mail to the account holder's last known address. When a | 21 | | fantasy sports player account is closed due to inactivity, the | 22 | | fantasy sports contest operator shall refund all funds in the | 23 | | fantasy sports player account within 30 days, subject to the | 24 | | receipt of any tax information required by law. In the event | 25 | | that funds in a closed fantasy sports player account exceed $5 | 26 | | and cannot be refunded and remain unclaimed, the fantasy sports |
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| 1 | | contest operator shall provide notice of the existence of funds | 2 | | to the fantasy sports player no less often than annually for 3 | 3 | | years. If the funds in a closed fantasy sports player account | 4 | | are for $5 or less, such notice shall be provided one time upon | 5 | | the closing of the account. Such notice shall be provided by | 6 | | email and by mail to the account holder's last known address | 7 | | and shall provide a process for claiming the funds. In the | 8 | | event that funds in a closed fantasy sports player account | 9 | | cannot be refunded and remain unclaimed by the fantasy sports | 10 | | player after 3 years, such funds shall be paid by the fantasy | 11 | | sports contest operator to the Unclaimed Property Trust Fund in | 12 | | the Office of the State Treasurer. | 13 | | (g) A fantasy sports contest operator shall prominently | 14 | | publish all contractual terms and conditions and rules of | 15 | | general applicability that affect a fantasy sports player's | 16 | | account. Presentation of such terms, conditions, and rules at | 17 | | the time of onboarding a new fantasy sports player shall not | 18 | | suffice. | 19 | | (h) Fantasy sports player's deposits shall be limited to no | 20 | | more than $3,000 per quarter. However, a fantasy sports contest | 21 | | operator may establish and prominently publish procedures for | 22 | | temporarily or permanently increasing a fantasy sports | 23 | | player's deposit limit, at the request of the fantasy sports | 24 | | player, above $3,000 per quarter. Such procedures shall be | 25 | | submitted to the Board. | 26 | | If established by a fantasy sports contest operator, such |
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| 1 | | procedures shall include evaluation of information, including | 2 | | income or asset information, sufficient to establish that the | 3 | | fantasy sports player can afford losses that might result from | 4 | | gameplay at the deposit limit level requested. | 5 | | When a temporary or permanent deposit level limit increase | 6 | | is approved, the fantasy sports contest operator's procedures | 7 | | shall provide for annual re-certification of a player's | 8 | | financial ability to afford losses. | 9 | | Section 35. Restrictions on games offered by a fantasy | 10 | | sports contest operator. | 11 | | (a) All fantasy sports contest operators, except fantasy | 12 | | sports contest operators who only offer season-long fantasy | 13 | | sports contests, shall develop games that are limited to | 14 | | beginner fantasy sports players and shall prohibit fantasy | 15 | | sports players who are not beginner fantasy sports players from | 16 | | participating in those games either directly or through another | 17 | | person as a proxy. A fantasy sports contest operator shall | 18 | | suspend the account of any fantasy sports player who is not a | 19 | | beginner fantasy sports player and attempts to enter a game | 20 | | limited to beginner fantasy sports players directly or through | 21 | | another person as a proxy and shall ban such individual from | 22 | | further play. | 23 | | (b) All fantasy sports contest operators, except fantasy | 24 | | sports contest operators who only offer season-long fantasy | 25 | | sports contests, shall develop games in which highly |
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| 1 | | experienced fantasy sports players cannot participate either | 2 | | directly or through another person as a proxy. A fantasy sports | 3 | | contest operator shall suspend the account of any highly | 4 | | experienced fantasy sports player who attempts to enter a game | 5 | | that excludes highly experienced fantasy sports players | 6 | | directly or through another person as a proxy and shall ban | 7 | | such individual from further play. Fantasy sports contest | 8 | | operators shall identify highly experienced fantasy sports | 9 | | players by a symbol attached to their username, or by other | 10 | | easily visible means, on all fantasy sports contest platforms. | 11 | | (c) Fantasy sports contest operators shall have | 12 | | prominently published rules that govern when each fantasy | 13 | | sports contest shall close or lock. Each fantasy sports contest | 14 | | operator shall also prominently disclose contest-specific | 15 | | information about the time that the contest closes or locks in | 16 | | connection with each contest offered. A fantasy sports contest | 17 | | operator shall strictly enforce all disclosed closing or lock | 18 | | times. | 19 | | (d) Fantasy sports contest operators shall restrict the | 20 | | number of entries into fantasy sports contests in the following | 21 | | manner: | 22 | | (1) Fantasy sports contest operators shall not allow | 23 | | fantasy sports players to submit more than one entry in any | 24 | | fantasy sports contest involving 12 total entries or less. | 25 | | (2) Fantasy sports contest operators shall not allow | 26 | | fantasy sports players to submit more than 2 entries in any |
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| 1 | | fantasy sports contest involving 13 to 36 total entries. | 2 | | (3) Fantasy sports contest operators shall not allow | 3 | | fantasy sports players to submit more than 3 entries in any | 4 | | fantasy sports contest involving 37 to 100 total entries. | 5 | | (4) Fantasy sports contest operators shall not allow | 6 | | fantasy sports players to submit more than 3% of all | 7 | | entries in any contest involving more than 100 total | 8 | | entries. | 9 | | (5) For all advertised fantasy sports contests, the | 10 | | fantasy sports contest operator shall prominently include | 11 | | information about the maximum number of entries that may be | 12 | | submitted for that contest. | 13 | | (e) Fantasy sports contest operators shall allow | 14 | | individuals to restrict themselves from entering fantasy | 15 | | sports contests under this Act. These restrictions shall | 16 | | include, but not be limited to, (1) fantasy sports contest | 17 | | entry limits, (2) limiting play to fantasy sports contest with | 18 | | entry fees below an established limit, and (3) self-imposed | 19 | | deposit limits less than allowed under this Act. Fantasy sports | 20 | | contest operators shall implement and prominently publish | 21 | | procedures for fantasy sports players to implement the | 22 | | restrictions. Fantasy sports players shall have the option to | 23 | | adjust these limits to make them more restrictive of gameplay | 24 | | as often as they like, but shall not have the option to make | 25 | | limits less restrictive of gameplay within 90 days after | 26 | | setting the limits. |
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| 1 | | Section 40. Prohibited activities by a fantasy sports | 2 | | contest operator. | 3 | | (a) No fantasy sports contest operator employee, | 4 | | principal, officer, director, or contractor shall play on any | 5 | | fantasy sports contest platform of any fantasy sports contest | 6 | | operator or play through another person as a proxy. For the | 7 | | purposes of this subsection (a), a contractor is limited to a | 8 | | contractor who can access information of a fantasy sports | 9 | | contest operator related to the conduct of a fantasy sports | 10 | | contest that is not available to other fantasy sports players. | 11 | | Fantasy sports contest operators shall make these restrictions | 12 | | known to all affected individuals and corporate entities. | 13 | | (b) No fantasy sports contest operator employee, | 14 | | principal, officer, director, or contractor shall disclose | 15 | | confidential information that may affect fantasy sports | 16 | | contest gameplay to any person permitted to engage in fantasy | 17 | | sports contest gameplay. Fantasy sports contest operators | 18 | | shall make these restrictions known to all affected individuals | 19 | | and corporate entities. | 20 | | (c) No fantasy sports contest operator shall allow a | 21 | | professional athlete whose individual statistics or | 22 | | performance may be used to determine any part of the outcome of | 23 | | any fantasy sports contest to enter fantasy sports contests in | 24 | | the sports in which he or she participates. A fantasy sports | 25 | | contest operator shall take commercially reasonable efforts to |
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| 1 | | prevent a sports agent, team employee, referee, or league | 2 | | official associated with any competition that is the subject of | 3 | | fantasy sports contests to enter fantasy sports contests in the | 4 | | sport in which he or she participates, nor shall such athlete, | 5 | | sports agent, team official, team representative, referee, or | 6 | | league official play through another person as a proxy. | 7 | | (1) Fantasy sports contest operators shall take | 8 | | commercially reasonable efforts to obtain lists of persons | 9 | | described in this subsection (c) for the purpose of | 10 | | implementing this subsection (c). | 11 | | (2) Fantasy sports contest operators, upon learning of | 12 | | a violation of this subsection (c), shall bar the | 13 | | individual committing the violation from playing in any | 14 | | fantasy sports contest by suspending the individual's | 15 | | account and banning the individual from further play, shall | 16 | | terminate any existing promotional agreements with the | 17 | | individual, and shall refuse to make any new promotional | 18 | | agreements that compensate the individual. | 19 | | (3) Fantasy sports contest operators shall make these | 20 | | restrictions known to all affected individuals and | 21 | | corporate entities. | 22 | | (d) No fantasy sports contest operator shall allow minors | 23 | | to create a fantasy sports contest account. Fantasy sports | 24 | | contest operators shall include age verification measures when | 25 | | establishing a fantasy sports contest account. | 26 | | (e) No fantasy sports contest operator may extend credit to |
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| 1 | | a fantasy sports player. | 2 | | (f) A fantasy sports contest operator shall not permit | 3 | | unauthorized scripts to be used on fantasy sports contest | 4 | | platforms and shall use commercially reasonable efforts to | 5 | | monitor for and to prevent use of such scripts. | 6 | | (g) A fantasy sports contest operator shall bar any | 7 | | individual or corporation found to be using an unauthorized | 8 | | script from playing in any fantasy sports contest by | 9 | | terminating the individual or corporate account and by banning | 10 | | that individual or corporation from further play. | 11 | | (h) A fantasy sports contest operator shall not authorize | 12 | | scripts that provide a player with a competitive advantage over | 13 | | another player. | 14 | | (i) For the purpose of subsections (f), (g), and (h) of | 15 | | this Section, a script shall be treated as offering a | 16 | | competitive advantage for reasons including, but not limited | 17 | | to, its potential use to: | 18 | | (1) facilitate entry of multiple contests with a single | 19 | | line-up; | 20 | | (2) facilitate changes in many line-ups at one time; | 21 | | (3) facilitate use of commercial products designed and | 22 | | distributed by third parties to identify advantageous game | 23 | | strategies; or | 24 | | (4) gather information about the performance of others | 25 | | for the purpose of identifying or entering contests against | 26 | | fantasy sports players who are less likely to be |
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| 1 | | successful. | 2 | | Section 45. Advertising. | 3 | | (a) Advertisements of fantasy sports contest operators | 4 | | shall not depict (i) minors (other than professional athletes | 5 | | who may be minors), (ii) students, (iii) schools, colleges, or | 6 | | universities, or (iv) school, college, or university settings. | 7 | | However, incidental depiction of non-featured minors or minors | 8 | | accompanying adults shall not be a violation of this subsection | 9 | | (a). | 10 | | (b) Fantasy sports contest operators shall not advertise on | 11 | | school, college, or university campuses. | 12 | | (c) Fantasy sports contest operators shall not advertise at | 13 | | amateur athletic competitions, except to the extent that those | 14 | | competitions are played in stadiums where professional | 15 | | competitions are held and where non-digital advertisements | 16 | | have been posted, erected, or otherwise displayed in a manner | 17 | | that would require substantial effort to remove. | 18 | | Section 50. Withholding of delinquent child support. | 19 | | (a) From individual winnings of $600 or more that are | 20 | | subject to reporting to the Internal Revenue Service on Form | 21 | | 1099, a fantasy sports contest operator shall withhold up to | 22 | | the full amount of winnings necessary to pay the winner's past | 23 | | due child support amount as certified by the Department of | 24 | | Healthcare and Family Services under Section 10-17.15 of the |
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| 1 | | Illinois Public Aid Code. Amounts withheld shall be paid to the | 2 | | Department of Healthcare and Family Services by the fantasy | 3 | | sports contest operator, as applicable. This process shall be | 4 | | accomplished as provided in 89 Ill. Adm. Code 160.70(q). | 5 | | (b) For withholding of winnings, the fantasy sports contest | 6 | | operator shall be entitled to an administrative fee not to | 7 | | exceed the lesser of 4% of the total amount of cash winnings | 8 | | paid to the fantasy sports player or $150. | 9 | | (c) In no event shall the total amount withheld from the | 10 | | cash payout exceed the total cash winnings claimed by the | 11 | | obligor. If the cash payout claimed is greater than the amount | 12 | | sufficient to satisfy the obligor's delinquent child support | 13 | | payments, the fantasy sports contest operator shall pay the | 14 | | obligor the remaining balance of the payout. | 15 | | (d) Any fantasy sports player that knowingly claims | 16 | | winnings from a single fantasy sports contest in a manner to | 17 | | intentionally avoid reporting winnings to the Internal Revenue | 18 | | Service shall be guilty of a Class A misdemeanor. Fantasy | 19 | | sports contest operators shall take commercially and | 20 | | technologically reasonable measures to ensure fantasy sports | 21 | | players comply with all reporting requirements. If a fantasy | 22 | | sports contest operator reasonably believes that the fantasy | 23 | | sports player engaged in conduct that would constitute a | 24 | | violation of federal reporting requirements, the fantasy | 25 | | sports contest operator shall bar the individual committing the | 26 | | violation from playing in any fantasy sports contest by |
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| 1 | | suspending the individual's account and banning such | 2 | | individual from further play until the individual provides the | 3 | | fantasy sports contest operator proof that the individual has | 4 | | resolved all compliance issues with the Internal Revenue | 5 | | Service. | 6 | | (e) A fantasy sports contest operator who in good faith | 7 | | complies with the requirements of this Section shall not be | 8 | | liable to the gaming winner or any other individual or entity. | 9 | | (f) Upon request of a fantasy sports contest operator under | 10 | | this Act, an agent of the Board (such as a gaming special agent | 11 | | employed by the Board, a State police officer, or a revenue | 12 | | agent) shall be responsible for notifying the person identified | 13 | | as being delinquent in child support payments that the fantasy | 14 | | sports contest operator is required by law to withhold all or a | 15 | | portion of his or her winnings. If given, this notification | 16 | | must be provided at the time the winnings are withheld. | 17 | | (g) The provisions of this Section shall be operative on | 18 | | and after the date that rules are adopted by the Department of | 19 | | Healthcare and Family Services pursuant to Section 10-17.15 of | 20 | | the Illinois Public Aid Code. | 21 | | (h) The delinquent child support required to be withheld | 22 | | under this Section has priority over any secured or unsecured | 23 | | claim on cash winnings, except claims for federal or State | 24 | | taxes that are required to be withheld under federal or State | 25 | | law. |
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| 1 | | Section 55. Audits. All fantasy sports contest operators | 2 | | with annual fantasy sports contest revenue of $100,000 or more | 3 | | shall annually be subject to an audit of the financial | 4 | | transactions and condition of the fantasy sports contest | 5 | | operator's total operations as they relate to the offering and | 6 | | operating of fantasy sports contests and to ensure compliance | 7 | | with all of the requirements in this Act. Fantasy sports | 8 | | contest operators with annual fantasy sports contest revenues | 9 | | less than $100,000 shall every 3 years be subject to an audit | 10 | | of the financial transactions and condition of the fantasy | 11 | | sports contest operator's total operations as they relate to | 12 | | the offering and operating of fantasy sports contests and to | 13 | | ensure compliance with all of the requirements in this Act. All | 14 | | audits and compliance engagements shall be conducted by | 15 | | certified public accountants or an independent testing | 16 | | laboratory approved by the Board. Each certified public | 17 | | accountant must be registered in the State of Illinois under | 18 | | the Illinois Public Accounting Act. The compensation for each | 19 | | certified public accountant or independent testing laboratory | 20 | | shall be paid directly by the fantasy sports contest operator | 21 | | to the certified public accountant or independent testing | 22 | | laboratory. The audit shall be conducted and submitted to the | 23 | | Board by January 31 of each year. | 24 | | Section 60. Annual reports. All fantasy sports contest | 25 | | operators licensed by the Board must annually submit a report |
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| 1 | | to the Board no later than January 31 of each year. Information | 2 | | included in the report shall include: | 3 | | (1) the number of fantasy sports player accounts with | 4 | | the fantasy sports contest operator; this shall be broken | 5 | | down between beginner fantasy sports players and highly | 6 | | experienced fantasy sports players; | 7 | | (2) the number of new accounts established; | 8 | | (3) the number of accounts closed; | 9 | | (4) the total amount of entry fees received from | 10 | | fantasy sports players located in Illinois; | 11 | | (5) the total amount of prizes awarded to fantasy | 12 | | sports players located in Illinois; | 13 | | (6) the total amount of fantasy sports contest revenue; | 14 | | (7) the number of fantasy sports players that are | 15 | | located in Illinois that requested deposit limit | 16 | | increases; and | 17 | | (8) the number of deposit limit increases granted to | 18 | | fantasy sports players located in Illinois by the fantasy | 19 | | sports contest operator. | 20 | | Section 65. Application for licensure; background | 21 | | investigation; fees. | 22 | | (a) A qualified person may apply to the Board for a fantasy | 23 | | sports contest operator license to conduct fantasy sports | 24 | | contests as provided in this Act. The application shall be made | 25 | | on forms provided by the Board. The burden is upon each |
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| 1 | | applicant to demonstrate suitability for licensure. Each | 2 | | fantasy sports contest operator shall be licensed by the Board. | 3 | | The Board may issue a license for a period of up to 2 years or, | 4 | | in the case of fantasy sports contest operators with annual | 5 | | fantasy sports revenues less than $100,000, for up to 3 years. | 6 | | (b) Each person seeking and possessing a license as a | 7 | | fantasy sports contest operator shall submit to a background | 8 | | investigation conducted by the Board with the assistance of the | 9 | | State Police or other law enforcement. To the extent that the | 10 | | corporate structure of the applicant allows, the background | 11 | | investigation shall include any or all of the following as the | 12 | | Board deems appropriate or as provided by rule: (i) each | 13 | | beneficiary of a trust, (ii) each partner of a partnership, | 14 | | (iii) each member of a limited liability company, (iv) each | 15 | | director and officer of a publicly or non-publicly held | 16 | | corporation, (v) each stockholder of a non-publicly held | 17 | | corporation, (vi) each stockholder of 5% or more of a publicly | 18 | | held corporation, or (vii) each stockholder of 5% or more in a | 19 | | parent or subsidiary corporation. | 20 | | (c) Each person seeking and possessing a license as a | 21 | | fantasy sports contest operator shall disclose the identity of | 22 | | every person, association, trust, corporation, or limited | 23 | | liability company having a greater than 1% direct or indirect | 24 | | pecuniary interest in the fantasy sports contest operator for | 25 | | which the license is sought. If the disclosed entity is a | 26 | | trust, the application shall disclose the names and addresses |
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| 1 | | of the beneficiaries; if a corporation, the names and addresses | 2 | | of all stockholders and directors; if a limited liability | 3 | | company, the names and addresses of all members; or if a | 4 | | partnership, the names and addresses of all partners, both | 5 | | general and limited. | 6 | | (d) All information, records, interviews, reports, | 7 | | statements, memoranda, or other data supplied to or used by the | 8 | | Board in the course of its review or investigation of an | 9 | | application for a license or a renewal under this Act shall be | 10 | | privileged and strictly confidential and shall be used only for | 11 | | the purpose of evaluating an applicant for a license or a | 12 | | renewal. The information, records, interviews, reports, | 13 | | statements, memoranda, or other data shall not be admissible as | 14 | | evidence nor discoverable in any action of any kind in any | 15 | | court or before any tribunal, board, agency, or person, except | 16 | | for any action deemed necessary by the Board. | 17 | | (e) No person may be licensed as a fantasy sports contest | 18 | | operator if that person has been found by the Board to: | 19 | | (1) have a background, including a criminal record, | 20 | | reputation, habits, social or business associations, or | 21 | | prior activities, that poses a threat to the public | 22 | | interests of the State or to the security and integrity of | 23 | | fantasy sports contests; | 24 | | (2) create or enhance the dangers of unsuitable, | 25 | | unfair, or illegal practices, methods, and activities in | 26 | | the conduct of fantasy sports contests; or |
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| 1 | | (3) present questionable business practices and | 2 | | financial arrangements incidental to the conduct of | 3 | | fantasy sports contests. | 4 | | (f) Any applicant for a license under this Act has the | 5 | | burden of proving his or her qualifications to the satisfaction | 6 | | of the Board. The Board may adopt rules to establish additional | 7 | | qualifications and requirements to preserve the integrity and | 8 | | security of fantasy sports contests in this State. | 9 | | (g) A fantasy sports contest operator that has been | 10 | | operating in Illinois for at least 6 months on December 23, | 11 | | 2015 may operate in Illinois until a final decision is rendered | 12 | | on the application for a fantasy sports contest operator | 13 | | license. | 14 | | (h) A non-refundable application fee shall be paid at the | 15 | | time an application for a license is filed with the Board in | 16 | | the following amounts: | 17 | | (1) Fantasy sports contest operator with annual | 18 | | fantasy sports contest revenue greater | 19 | | than $10,000,000 ..............................$25,000 | 20 | | (2) Fantasy sports contest operator with annual | 21 | | fantasy sports contest revenue greater than | 22 | | $5,000,000 but not more than $10,000,000 ......$12,500 | 23 | | (3) Fantasy sports contest operator with annual | 24 | | fantasy sports contest revenue greater than | 25 | | $1,000,000 but not more than $5,000,000 ........$7,500 | 26 | | (4) Fantasy sports contest operator with annual |
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| 1 | | fantasy sports contest revenue of at least | 2 | | $100,000 but not more than $1,000,000 ..........$5,000 | 3 | | (5) Fantasy sports contest operator with annual | 4 | | fantasy sports contest revenue less | 5 | | than $100,000 ....................................$500 | 6 | | (i) The Board shall establish a fee for each license not to | 7 | | exceed the following for the initial licensure period: | 8 | | (1) Fantasy sports contest operator with annual | 9 | | fantasy sports contest revenue greater | 10 | | than $10,000,000 ..............................$50,000 | 11 | | (2) Fantasy sports contest operator with annual | 12 | | fantasy sports contest revenue greater than | 13 | | $5,000,000 but not more than $10,000,000 ......$25,000 | 14 | | (3) Fantasy sports contest operator with annual | 15 | | fantasy sports contest revenue greater than | 16 | | $1,000,000 but not more than $5,000,000 .......$15,000 | 17 | | (4) Fantasy sports contest operator with annual | 18 | | fantasy sports contest revenue of at least | 19 | | $100,000 but not more than $1,000,000 .........$10,000 | 20 | | (5) Fantasy sports contest operator with annual | 21 | | fantasy sports contest revenue less | 22 | | than $100,000 ..................................$1,500 | 23 | | (j) For subsequent licensure periods, the renewal fee shall | 24 | | not exceed the following: | 25 | | (1) Fantasy sports contest operator with annual | 26 | | fantasy sports contest revenue greater |
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| 1 | | than $10,000,000 ..............................$37,500 | 2 | | (2) Fantasy sports contest operator with annual | 3 | | fantasy sports contest revenue greater than | 4 | | $5,000,000 but not more than $10,000,000 ......$18,750 | 5 | | (3) Fantasy sports contest operator with annual | 6 | | fantasy sports contest revenue greater than | 7 | | $1,000,000 but no more than $5,000,000 ........$11,250 | 8 | | (4) Fantasy sports contest operator with annual | 9 | | fantasy sports contest revenue of at least | 10 | | $100,000 but not more than $1,000,000 ..........$7,500 | 11 | | (5) Fantasy sports contest operator with annual | 12 | | fantasy sports contest revenue less | 13 | | than $100,000 ..................................$1,125 | 14 | | Section 70. Distribution of license fees. | 15 | | (a) All fees collected under Section 65 of this Act shall | 16 | | be deposited into the State Gaming Fund. | 17 | | (b) Fees collected under Section 65 of this Act shall be | 18 | | used for the administration of this Act. | 19 | | (c) All licenses issued by the Board under this Act are | 20 | | renewable every 2 years for fantasy
sports contest operators | 21 | | with annual fantasy sports contest revenues of $100,000 or more | 22 | | and every 3 years for fantasy sports contest operators with | 23 | | annual fantasy sports contest revenues less than $100,000 | 24 | | unless sooner cancelled or terminated. No license issued under | 25 | | this Act is transferable or assignable. |
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| 1 | | Section 75. Imposition and distribution of tax. | 2 | | (a) A privilege tax is imposed on persons engaged in the | 3 | | business of operating fantasy sports contests based on the | 4 | | fantasy sports contest revenues received by a fantasy sports | 5 | | contest operator licensed under this Act at the following | 6 | | graduated tax rates: | 7 | | (1) 5% of annual fantasy sports contest revenues up to | 8 | | and including $1,000,000; | 9 | | (2) 7.5% of annual fantasy sports contest revenues in | 10 | | excess of $1,000,000 but not exceeding $3,000,000; | 11 | | (3) 10% of annual fantasy sports contest revenues in | 12 | | excess of $3,000,000 but not exceeding $8,000,000; | 13 | | (4) 15% of annual fantasy sports contest revenues in | 14 | | excess of $8,000,000 but not exceeding $15,000,000; and | 15 | | (5) 22.5% of annual fantasy sports contest revenues in | 16 | | excess of $15,000,000; | 17 | | (b) The taxes imposed by this Section shall be paid by the | 18 | | fantasy sports contest operator to the Board not later than the | 19 | | fifteenth day of every month for the previous month's privilege | 20 | | taxes. All payments not remitted when due shall be paid | 21 | | together with a penalty assessment on the unpaid balance at a | 22 | | rate of 1.5% per month. | 23 | | (c) All of the tax collected under this Section shall be | 24 | | deposited into the Education Assistance Fund. |
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| 1 | | Section 80. Limitation on taxation of fantasy sports | 2 | | contest operators. Fantasy sports contest operators shall not | 3 | | be subjected to any excise tax, license tax, permit tax, | 4 | | privilege tax, or occupation tax that is imposed exclusively | 5 | | upon the licensee by the State or any political subdivision | 6 | | thereof, except as provided in this Act. | 7 | | Section 900. The Regulatory Sunset Act is amended by | 8 | | changing Section 4.31 as follows: | 9 | | (5 ILCS 80/4.31) | 10 | | Sec. 4.31. Acts repealed on January 1, 2021. The following | 11 | | Acts are repealed on January 1, 2021: | 12 | | The Crematory Regulation Act. | 13 | | The Cemetery Oversight Act. | 14 | | The Illinois Health Information Exchange and Technology | 15 | | Act.
| 16 | | The Radiation Protection Act of 1990. | 17 | | The Fantasy Sports Contest Act. | 18 | | (Source: P.A. 96-1041, eff. 7-14-10; 96-1331, eff. 7-27-10; | 19 | | incorporates P.A. 96-863, eff. 3-1-10; 97-333, eff. 8-12-11.) | 20 | | Section 905. The Illinois Horse Racing Act of 1975 is | 21 | | amended by changing Section 26 as follows:
| 22 | | (230 ILCS 5/26) (from Ch. 8, par. 37-26)
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| 1 | | Sec. 26. Wagering.
| 2 | | (a) Any licensee may conduct and supervise the pari-mutuel | 3 | | system of
wagering, as defined in Section 3.12 of this Act, on | 4 | | horse races conducted by
an Illinois organization
licensee or | 5 | | conducted at a racetrack located in another state or country | 6 | | and
televised in Illinois in accordance with subsection (g) of | 7 | | Section 26 of this
Act. Subject to the prior consent of the | 8 | | Board, licensees may supplement any
pari-mutuel pool in order | 9 | | to guarantee a minimum distribution. Such
pari-mutuel method of | 10 | | wagering shall not,
under any circumstances if conducted under | 11 | | the provisions of this Act,
be held or construed to be | 12 | | unlawful, other statutes of this State to the
contrary | 13 | | notwithstanding.
Subject to rules for advance wagering | 14 | | promulgated by the Board, any
licensee
may accept wagers in | 15 | | advance of the day of
the race wagered upon occurs.
| 16 | | (b) No other method of betting, pool making, wagering or
| 17 | | gambling shall be used or permitted by the licensee. Each | 18 | | licensee
may retain, subject to the payment of all applicable
| 19 | | taxes and purses, an amount not to exceed 17% of all money | 20 | | wagered
under subsection (a) of this Section, except as may | 21 | | otherwise be permitted
under this Act.
| 22 | | (b-5) An individual may place a wager under the pari-mutuel | 23 | | system from
any licensed location authorized under this Act | 24 | | provided that wager is
electronically recorded in the manner | 25 | | described in Section 3.12 of this Act.
Any wager made | 26 | | electronically by an individual while physically on the |
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| 1 | | premises
of a licensee shall be deemed to have been made at the | 2 | | premises of that
licensee.
| 3 | | (c) Until January 1, 2000, the sum held by any licensee for | 4 | | payment of
outstanding pari-mutuel tickets, if unclaimed prior | 5 | | to December 31 of the
next year, shall be retained by the | 6 | | licensee for payment of
such tickets until that date. Within 10 | 7 | | days thereafter, the balance of
such sum remaining unclaimed, | 8 | | less any uncashed supplements contributed by such
licensee for | 9 | | the purpose of guaranteeing minimum distributions
of any | 10 | | pari-mutuel pool, shall be
paid to the
Illinois
Veterans'
| 11 | | Rehabilitation Fund of the State treasury, except as provided | 12 | | in subsection
(g) of Section 27 of this Act.
| 13 | | (c-5) Beginning January 1, 2000, the sum held by any | 14 | | licensee for payment
of
outstanding pari-mutuel tickets, if | 15 | | unclaimed prior to December 31 of the
next year, shall be | 16 | | retained by the licensee for payment of
such tickets until that | 17 | | date. Within 10 days thereafter, the balance of
such sum | 18 | | remaining unclaimed, less any uncashed supplements contributed | 19 | | by such
licensee for the purpose of guaranteeing minimum | 20 | | distributions
of any pari-mutuel pool, shall be evenly | 21 | | distributed to the purse account of
the organization licensee | 22 | | and the organization licensee.
| 23 | | (d) A pari-mutuel ticket shall be honored until December 31 | 24 | | of the
next calendar year, and the licensee shall pay the same | 25 | | and may
charge the amount thereof against unpaid money | 26 | | similarly accumulated on account
of pari-mutuel tickets not |
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| 1 | | presented for payment.
| 2 | | (e) No licensee shall knowingly permit any minor, other
| 3 | | than an employee of such licensee or an owner, trainer,
jockey, | 4 | | driver, or employee thereof, to be admitted during a racing
| 5 | | program unless accompanied by a parent or guardian, or any | 6 | | minor to be a
patron of the pari-mutuel system of wagering | 7 | | conducted or
supervised by it. The admission of any | 8 | | unaccompanied minor, other than
an employee of the licensee or | 9 | | an owner, trainer, jockey,
driver, or employee thereof at a | 10 | | race track is a Class C
misdemeanor.
| 11 | | (f) Notwithstanding the other provisions of this Act, an
| 12 | | organization licensee may contract
with an entity in another | 13 | | state or country to permit any legal
wagering entity in another | 14 | | state or country to accept wagers solely within
such other | 15 | | state or country on races conducted by the organization | 16 | | licensee
in this State.
Beginning January 1, 2000, these wagers
| 17 | | shall not be subject to State
taxation. Until January 1, 2000,
| 18 | | when the out-of-State entity conducts a pari-mutuel pool
| 19 | | separate from the organization licensee, a privilege tax equal | 20 | | to 7 1/2% of
all monies received by the organization licensee | 21 | | from entities in other states
or countries pursuant to such | 22 | | contracts is imposed on the organization
licensee, and such | 23 | | privilege tax shall be remitted to the
Department of Revenue
| 24 | | within 48 hours of receipt of the moneys from the simulcast. | 25 | | When the
out-of-State entity conducts a
combined pari-mutuel | 26 | | pool with the organization licensee, the tax shall be 10%
of |
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| 1 | | all monies received by the organization licensee with 25% of | 2 | | the
receipts from this 10% tax to be distributed to the county
| 3 | | in which the race was conducted.
| 4 | | An organization licensee may permit one or more of its | 5 | | races to be
utilized for
pari-mutuel wagering at one or more | 6 | | locations in other states and may
transmit audio and visual | 7 | | signals of races the organization licensee
conducts to one or
| 8 | | more locations outside the State or country and may also permit | 9 | | pari-mutuel
pools in other states or countries to be combined | 10 | | with its gross or net
wagering pools or with wagering pools | 11 | | established by other states.
| 12 | | (g) A host track may accept interstate simulcast wagers on
| 13 | | horse
races conducted in other states or countries and shall | 14 | | control the
number of signals and types of breeds of racing in | 15 | | its simulcast program,
subject to the disapproval of the Board. | 16 | | The Board may prohibit a simulcast
program only if it finds | 17 | | that the simulcast program is clearly
adverse to the integrity | 18 | | of racing. The host track
simulcast program shall
include the | 19 | | signal of live racing of all organization licensees.
All | 20 | | non-host licensees and advance deposit wagering licensees | 21 | | shall carry the signal of and accept wagers on live racing of | 22 | | all organization licensees. Advance deposit wagering licensees | 23 | | shall not be permitted to accept out-of-state wagers on any | 24 | | Illinois signal provided pursuant to this Section without the | 25 | | approval and consent of the organization licensee providing the | 26 | | signal. For one year after August 15, 2014 ( the effective date |
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| 1 | | of Public Act 98-968) this amendatory Act of the 98th General | 2 | | Assembly , non-host licensees may carry the host track simulcast | 3 | | program and
shall accept wagers on all races included as part | 4 | | of the simulcast
program of horse races conducted at race | 5 | | tracks located within North America upon which wagering is | 6 | | permitted. For a period of one year after August 15, 2014 ( the | 7 | | effective date of Public Act 98-968) this amendatory Act of the | 8 | | 98th General Assembly , on horse races conducted at race tracks | 9 | | located outside of North America, non-host licensees may accept | 10 | | wagers on all races included as part of the simulcast program | 11 | | upon which wagering is permitted. Beginning August 15, 2015 | 12 | | ( one year after the effective date of Public Act 98-968) this | 13 | | amendatory Act of the 98th General Assembly , non-host licensees | 14 | | may carry the host track simulcast program and shall accept | 15 | | wagers on all races included as part of the simulcast program | 16 | | upon which wagering is permitted.
All organization licensees | 17 | | shall provide their live signal to all advance deposit wagering | 18 | | licensees for a simulcast commission fee not to exceed 6% of | 19 | | the advance deposit wagering licensee's Illinois handle on the | 20 | | organization licensee's signal without prior approval by the | 21 | | Board. The Board may adopt rules under which it may permit | 22 | | simulcast commission fees in excess of 6%. The Board shall | 23 | | adopt rules limiting the interstate commission fees charged to | 24 | | an advance deposit wagering licensee. The Board shall adopt | 25 | | rules regarding advance deposit wagering on interstate | 26 | | simulcast races that shall reflect, among other things, the |
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| 1 | | General Assembly's desire to maximize revenues to the State, | 2 | | horsemen purses, and organizational licensees. However, | 3 | | organization licensees providing live signals pursuant to the | 4 | | requirements of this subsection (g) may petition the Board to | 5 | | withhold their live signals from an advance deposit wagering | 6 | | licensee if the organization licensee discovers and the Board | 7 | | finds reputable or credible information that the advance | 8 | | deposit wagering licensee is under investigation by another | 9 | | state or federal governmental agency, the advance deposit | 10 | | wagering licensee's license has been suspended in another | 11 | | state, or the advance deposit wagering licensee's license is in | 12 | | revocation proceedings in another state. The organization | 13 | | licensee's provision of their live signal to an advance deposit | 14 | | wagering licensee under this subsection (g) pertains to wagers | 15 | | placed from within Illinois. Advance deposit wagering | 16 | | licensees may place advance deposit wagering terminals at | 17 | | wagering facilities as a convenience to customers. The advance | 18 | | deposit wagering licensee shall not charge or collect any fee | 19 | | from purses for the placement of the advance deposit wagering | 20 | | terminals. The costs and expenses
of the host track and | 21 | | non-host licensees associated
with interstate simulcast
| 22 | | wagering, other than the interstate
commission fee, shall be | 23 | | borne by the host track and all
non-host licensees
incurring | 24 | | these costs.
The interstate commission fee shall not exceed 5% | 25 | | of Illinois handle on the
interstate simulcast race or races | 26 | | without prior approval of the Board. The
Board shall promulgate |
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| 1 | | rules under which it may permit
interstate commission
fees in | 2 | | excess of 5%. The interstate commission
fee and other fees | 3 | | charged by the sending racetrack, including, but not
limited | 4 | | to, satellite decoder fees, shall be uniformly applied
to the | 5 | | host track and all non-host licensees.
| 6 | | Notwithstanding any other provision of this Act, through | 7 | | December 31, 2018, an organization licensee, with the consent | 8 | | of the horsemen association representing the largest number of | 9 | | owners, trainers, jockeys, or standardbred drivers who race | 10 | | horses at that organization licensee's racing meeting, may | 11 | | maintain a system whereby advance deposit wagering may take | 12 | | place or an organization licensee, with the consent of the | 13 | | horsemen association representing the largest number of | 14 | | owners, trainers, jockeys, or standardbred drivers who race | 15 | | horses at that organization licensee's racing meeting, may | 16 | | contract with another person to carry out a system of advance | 17 | | deposit wagering. Such consent may not be unreasonably | 18 | | withheld. Only with respect to an appeal to the Board that | 19 | | consent for an organization licensee that maintains its own | 20 | | advance deposit wagering system is being unreasonably | 21 | | withheld, the Board shall issue a final order within 30 days | 22 | | after initiation of the appeal, and the organization licensee's | 23 | | advance deposit wagering system may remain operational during | 24 | | that 30-day period. The actions of any organization licensee | 25 | | who conducts advance deposit wagering or any person who has a | 26 | | contract with an organization licensee to conduct advance |
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| 1 | | deposit wagering who conducts advance deposit wagering on or | 2 | | after January 1, 2013 and prior to June 7, 2013 ( the effective | 3 | | date of Public Act 98-18) this amendatory Act of the 98th | 4 | | General Assembly taken in reliance on the changes made to this | 5 | | subsection (g) by Public Act 98-18 this amendatory Act of the | 6 | | 98th General Assembly are hereby validated, provided payment of | 7 | | all applicable pari-mutuel taxes are remitted to the Board. All | 8 | | advance deposit wagers placed from within Illinois must be | 9 | | placed through a Board-approved advance deposit wagering | 10 | | licensee; no other entity may accept an advance deposit wager | 11 | | from a person within Illinois. All advance deposit wagering is | 12 | | subject to any rules adopted by the Board. The Board may adopt | 13 | | rules necessary to regulate advance deposit wagering through | 14 | | the use of emergency rulemaking in accordance with Section 5-45 | 15 | | of the Illinois Administrative Procedure Act. The General | 16 | | Assembly finds that the adoption of rules to regulate advance | 17 | | deposit wagering is deemed an emergency and necessary for the | 18 | | public interest, safety, and welfare. An advance deposit | 19 | | wagering licensee may retain all moneys as agreed to by | 20 | | contract with an organization licensee. Any moneys retained by | 21 | | the organization licensee from advance deposit wagering, not | 22 | | including moneys retained by the advance deposit wagering | 23 | | licensee, shall be paid 50% to the organization licensee's | 24 | | purse account and 50% to the organization licensee. With the | 25 | | exception of any organization licensee that is owned by a | 26 | | publicly traded company that is incorporated in a state other |
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| 1 | | than Illinois and advance deposit wagering licensees under | 2 | | contract with such organization licensees, organization | 3 | | licensees that maintain advance deposit wagering systems and | 4 | | advance deposit wagering licensees that contract with | 5 | | organization licensees shall provide sufficiently detailed | 6 | | monthly accountings to the horsemen association representing | 7 | | the largest number of owners, trainers, jockeys, or | 8 | | standardbred drivers who race horses at that organization | 9 | | licensee's racing meeting so that the horsemen association, as | 10 | | an interested party, can confirm the accuracy of the amounts | 11 | | paid to the purse account at the horsemen association's | 12 | | affiliated organization licensee from advance deposit | 13 | | wagering. If more than one breed races at the same race track | 14 | | facility, then the 50% of the moneys to be paid to an | 15 | | organization licensee's purse account shall be allocated among | 16 | | all organization licensees' purse accounts operating at that | 17 | | race track facility proportionately based on the actual number | 18 | | of host days that the Board grants to that breed at that race | 19 | | track facility in the current calendar year. To the extent any | 20 | | fees from advance deposit wagering conducted in Illinois for | 21 | | wagers in Illinois or other states have been placed in escrow | 22 | | or otherwise withheld from wagers pending a determination of | 23 | | the legality of advance deposit wagering, no action shall be | 24 | | brought to declare such wagers or the disbursement of any fees | 25 | | previously escrowed illegal. | 26 | | Any contract between an advance deposit wagering licensee |
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| 1 | | and an organization licensee signed after the effective date of | 2 | | this amendatory Act of the 100th General Assembly must include | 3 | | language to split commissions, breakage, and minus pools with a | 4 | | maximum of 50% to be retained by the advance deposit wagering | 5 | | licensee. Contracts between an advance deposit wagering | 6 | | licensee and an organization licensee existing on the effective | 7 | | date of this amendatory Act of the 100th General Assembly or | 8 | | extensions of those contracts are not affected by this | 9 | | paragraph. | 10 | | (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
| 11 | | inter-track intertrack wagering
licensee other than the | 12 | | host track may supplement the host track simulcast
program | 13 | | with additional simulcast races or race programs, provided | 14 | | that between
January 1 and the third Friday in February of | 15 | | any year, inclusive, if no live
thoroughbred racing is | 16 | | occurring in Illinois during this period, only
| 17 | | thoroughbred races may be used
for supplemental interstate | 18 | | simulcast purposes. The Board shall withhold
approval for a | 19 | | supplemental interstate simulcast only if it finds that the
| 20 | | simulcast is clearly adverse to the integrity of racing. A | 21 | | supplemental
interstate simulcast may be transmitted from | 22 | | an inter-track intertrack wagering licensee to
its | 23 | | affiliated non-host licensees. The interstate commission | 24 | | fee for a
supplemental interstate simulcast shall be paid | 25 | | by the non-host licensee and
its affiliated non-host | 26 | | licensees receiving the simulcast.
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| 1 | | (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
| 2 | | inter-track intertrack wagering
licensee other than the | 3 | | host track may receive supplemental interstate
simulcasts | 4 | | only with the consent of the host track, except when the | 5 | | Board
finds that the simulcast is
clearly adverse to the | 6 | | integrity of racing. Consent granted under this
paragraph | 7 | | (2) to any inter-track intertrack wagering licensee shall | 8 | | be deemed consent to
all non-host licensees. The interstate | 9 | | commission fee for the supplemental
interstate simulcast | 10 | | shall be paid
by all participating non-host licensees.
| 11 | | (3) Each licensee conducting interstate simulcast | 12 | | wagering may retain,
subject to the payment of all | 13 | | applicable taxes and the purses, an amount not to
exceed | 14 | | 17% of all money wagered. If any licensee conducts the | 15 | | pari-mutuel
system wagering on races conducted at | 16 | | racetracks in another state or country,
each such race or | 17 | | race program shall be considered a separate racing day for
| 18 | | the purpose of determining the daily handle and computing | 19 | | the privilege tax of
that daily handle as provided in | 20 | | subsection (a) of Section 27.
Until January 1, 2000,
from | 21 | | the sums permitted to be retained pursuant to this | 22 | | subsection, each
inter-track intertrack wagering location | 23 | | licensee shall pay 1% of the pari-mutuel handle
wagered on | 24 | | simulcast wagering to the Horse Racing Tax Allocation Fund, | 25 | | subject
to the provisions of subparagraph (B) of paragraph | 26 | | (11) of subsection (h) of
Section 26 of this Act.
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| 1 | | (4) A licensee who receives an interstate simulcast may | 2 | | combine its gross
or net pools with pools at the sending | 3 | | racetracks pursuant to rules established
by the Board. All | 4 | | licensees combining their gross pools
at a
sending | 5 | | racetrack shall adopt the take-out percentages of the | 6 | | sending
racetrack.
A licensee may also establish a separate | 7 | | pool and takeout structure for
wagering purposes on races | 8 | | conducted at race tracks outside of the
State of Illinois. | 9 | | The licensee may permit pari-mutuel wagers placed in other
| 10 | | states or
countries to be combined with its gross or net | 11 | | wagering pools or other
wagering pools.
| 12 | | (5) After the payment of the interstate commission fee | 13 | | (except for the
interstate commission
fee on a supplemental | 14 | | interstate simulcast, which shall be paid by the host
track | 15 | | and by each non-host licensee through the host-track) and | 16 | | all applicable
State and local
taxes, except as provided in | 17 | | subsection (g) of Section 27 of this Act, the
remainder of | 18 | | moneys retained from simulcast wagering pursuant to this
| 19 | | subsection (g), and Section 26.2 shall be divided as | 20 | | follows:
| 21 | | (A) For interstate simulcast wagers made at a host | 22 | | track, 50% to the
host
track and 50% to purses at the | 23 | | host track.
| 24 | | (B) For wagers placed on interstate simulcast | 25 | | races, supplemental
simulcasts as defined in | 26 | | subparagraphs (1) and (2), and separately pooled races
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| 1 | | conducted outside of the State of Illinois made at a | 2 | | non-host
licensee, 25% to the host
track, 25% to the | 3 | | non-host licensee, and 50% to the purses at the host | 4 | | track.
| 5 | | (6) Notwithstanding any provision in this Act to the | 6 | | contrary, non-host
licensees
who derive their licenses | 7 | | from a track located in a county with a population in
| 8 | | excess of 230,000 and that borders the Mississippi River | 9 | | may receive
supplemental interstate simulcast races at all | 10 | | times subject to Board approval,
which shall be withheld | 11 | | only upon a finding that a supplemental interstate
| 12 | | simulcast is clearly adverse to the integrity of racing.
| 13 | | (7) Notwithstanding any provision of this Act to the | 14 | | contrary, after
payment of all applicable State and local | 15 | | taxes and interstate commission fees,
non-host licensees | 16 | | who derive their licenses from a track located in a county
| 17 | | with a population in excess of 230,000 and that borders the | 18 | | Mississippi River
shall retain 50% of the retention from | 19 | | interstate simulcast wagers and shall
pay 50% to purses at | 20 | | the track from which the non-host licensee derives its
| 21 | | license as follows:
| 22 | | (A) Between January 1 and the third Friday in | 23 | | February, inclusive, if no
live thoroughbred racing is | 24 | | occurring in Illinois during this period, when the
| 25 | | interstate simulcast is a standardbred race, the purse | 26 | | share to its
standardbred purse account;
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| 1 | | (B) Between January 1 and the third Friday in | 2 | | February, inclusive, if no
live thoroughbred racing is | 3 | | occurring in Illinois during this period, and the
| 4 | | interstate simulcast is a thoroughbred race, the purse | 5 | | share to its interstate
simulcast purse pool to be | 6 | | distributed under paragraph (10) of this subsection
| 7 | | (g);
| 8 | | (C) Between January 1 and the third Friday in | 9 | | February, inclusive, if
live thoroughbred racing is | 10 | | occurring in Illinois, between 6:30 a.m. and 6:30
p.m. | 11 | | the purse share from wagers made during this time | 12 | | period to its
thoroughbred purse account and between | 13 | | 6:30 p.m. and 6:30 a.m. the purse share
from wagers | 14 | | made during this time period to its standardbred purse | 15 | | accounts;
| 16 | | (D) Between the third Saturday in February and | 17 | | December 31, when the
interstate simulcast occurs | 18 | | between the hours of 6:30 a.m. and 6:30 p.m., the
purse | 19 | | share to its thoroughbred purse account;
| 20 | | (E) Between the third Saturday in February and | 21 | | December 31, when the
interstate simulcast occurs | 22 | | between the hours of 6:30 p.m. and 6:30 a.m., the
purse | 23 | | share to its standardbred purse account.
| 24 | | (7.1) Notwithstanding any other provision of this Act | 25 | | to the contrary,
if
no
standardbred racing is conducted at | 26 | | a racetrack located in Madison County
during any
calendar |
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|
| 1 | | year beginning on or after January 1, 2002, all
moneys | 2 | | derived by
that racetrack from simulcast wagering and | 3 | | inter-track wagering that (1) are to
be used
for purses and | 4 | | (2) are generated between the hours of 6:30 p.m. and 6:30 | 5 | | a.m.
during that
calendar year shall
be paid as follows:
| 6 | | (A) If the licensee that conducts horse racing at | 7 | | that racetrack
requests from the Board at least as many | 8 | | racing dates as were conducted in
calendar year 2000, | 9 | | 80% shall be paid to its thoroughbred purse account; | 10 | | and
| 11 | | (B) Twenty percent shall be deposited into the | 12 | | Illinois Colt Stakes
Purse
Distribution
Fund and shall | 13 | | be paid to purses for standardbred races for Illinois | 14 | | conceived
and foaled horses conducted at any county | 15 | | fairgrounds.
The moneys deposited into the Fund | 16 | | pursuant to this subparagraph (B) shall be
deposited
| 17 | | within 2
weeks after the day they were generated, shall | 18 | | be in addition to and not in
lieu of any other
moneys | 19 | | paid to standardbred purses under this Act, and shall | 20 | | not be commingled
with other moneys paid into that | 21 | | Fund. The moneys deposited
pursuant to this | 22 | | subparagraph (B) shall be allocated as provided by the
| 23 | | Department of Agriculture, with the advice and | 24 | | assistance of the Illinois
Standardbred
Breeders Fund | 25 | | Advisory Board.
| 26 | | (7.2) Notwithstanding any other provision of this Act |
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| 1 | | to the contrary, if
no
thoroughbred racing is conducted at | 2 | | a racetrack located in Madison County
during any
calendar | 3 | | year beginning on or after January 1,
2002, all
moneys | 4 | | derived by
that racetrack from simulcast wagering and | 5 | | inter-track wagering that (1) are to
be used
for purses and | 6 | | (2) are generated between the hours of 6:30 a.m. and 6:30 | 7 | | p.m.
during that
calendar year shall
be deposited as | 8 | | follows:
| 9 | | (A) If the licensee that conducts horse racing at | 10 | | that racetrack
requests from the
Board at least
as many | 11 | | racing dates as were conducted in calendar year 2000, | 12 | | 80%
shall be deposited into its standardbred purse
| 13 | | account; and
| 14 | | (B) Twenty percent shall be deposited into the | 15 | | Illinois Colt Stakes
Purse
Distribution Fund. Moneys | 16 | | deposited into the Illinois Colt Stakes Purse
| 17 | | Distribution Fund
pursuant to this subparagraph (B) | 18 | | shall be paid to Illinois
conceived and foaled | 19 | | thoroughbred breeders' programs
and to thoroughbred | 20 | | purses for races conducted at any county fairgrounds | 21 | | for
Illinois conceived
and foaled horses at the | 22 | | discretion of the
Department of Agriculture, with the | 23 | | advice and assistance of
the Illinois Thoroughbred | 24 | | Breeders Fund Advisory
Board. The moneys deposited | 25 | | into the Illinois Colt Stakes Purse Distribution
Fund
| 26 | | pursuant to this subparagraph (B) shall be deposited |
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| 1 | | within 2 weeks
after the day they were generated, shall | 2 | | be in addition to and not in
lieu of any other moneys | 3 | | paid to thoroughbred purses
under this Act, and shall | 4 | | not be commingled with other moneys deposited into
that | 5 | | Fund.
| 6 | | (7.3) If no live standardbred racing is conducted at a | 7 | | racetrack located
in
Madison
County in calendar year 2000 | 8 | | or 2001,
an organization licensee who is licensed
to | 9 | | conduct horse racing at that racetrack shall, before | 10 | | January 1, 2002, pay
all
moneys derived from simulcast | 11 | | wagering and inter-track wagering in calendar
years 2000 | 12 | | and 2001 and
paid into the licensee's standardbred purse | 13 | | account as follows:
| 14 | | (A) Eighty percent to that licensee's thoroughbred | 15 | | purse account to
be used for thoroughbred purses; and
| 16 | | (B) Twenty percent to the Illinois Colt Stakes | 17 | | Purse Distribution
Fund.
| 18 | | Failure to make the payment to the Illinois Colt Stakes | 19 | | Purse Distribution
Fund before January 1, 2002
shall
result | 20 | | in the immediate revocation of the licensee's organization
| 21 | | license, inter-track wagering license, and inter-track | 22 | | wagering location
license.
| 23 | | Moneys paid into the Illinois
Colt Stakes Purse | 24 | | Distribution Fund pursuant to this
paragraph (7.3) shall be | 25 | | paid to purses for standardbred
races for Illinois | 26 | | conceived and foaled horses conducted
at any county
|
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| 1 | | fairgrounds.
Moneys paid into the Illinois
Colt Stakes | 2 | | Purse Distribution Fund pursuant to this
paragraph (7.3) | 3 | | shall be used as determined by the
Department of | 4 | | Agriculture, with the advice and assistance of the
Illinois | 5 | | Standardbred Breeders Fund Advisory Board, shall be in | 6 | | addition to
and not in lieu of any other moneys paid to | 7 | | standardbred purses under this Act,
and shall not be | 8 | | commingled
with any other moneys paid into that Fund.
| 9 | | (7.4) If live standardbred racing is conducted at a | 10 | | racetrack located in
Madison
County at any time in calendar | 11 | | year 2001 before the payment required
under
paragraph (7.3) | 12 | | has been made, the organization licensee who is licensed to
| 13 | | conduct
racing at that racetrack shall pay all moneys | 14 | | derived by that racetrack from
simulcast
wagering and | 15 | | inter-track wagering during calendar years 2000 and 2001 | 16 | | that (1)
are to be
used for purses and (2) are generated | 17 | | between the hours of 6:30 p.m. and 6:30
a.m.
during 2000 or | 18 | | 2001 to the standardbred purse account at that
racetrack to
| 19 | | be used for standardbred purses.
| 20 | | (8) Notwithstanding any provision in this Act to the | 21 | | contrary, an
organization licensee from a track located in | 22 | | a county with a population in
excess of 230,000 and that | 23 | | borders the Mississippi River and its affiliated
non-host | 24 | | licensees shall not be entitled to share in any retention | 25 | | generated on
racing, inter-track wagering, or simulcast | 26 | | wagering at any other Illinois
wagering facility.
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| 1 | | (8.1) Notwithstanding any provisions in this Act to the | 2 | | contrary, if 2
organization licensees
are conducting | 3 | | standardbred race meetings concurrently
between the hours | 4 | | of 6:30 p.m. and 6:30 a.m., after payment of all applicable
| 5 | | State and local taxes and interstate commission fees, the | 6 | | remainder of the
amount retained from simulcast wagering | 7 | | otherwise attributable to the host
track and to host track | 8 | | purses shall be split daily between the 2
organization | 9 | | licensees and the purses at the tracks of the 2 | 10 | | organization
licensees, respectively, based on each | 11 | | organization licensee's share
of the total live handle for | 12 | | that day,
provided that this provision shall not apply to | 13 | | any non-host licensee that
derives its license from a track | 14 | | located in a county with a population in
excess of 230,000 | 15 | | and that borders the Mississippi River.
| 16 | | (9) (Blank).
| 17 | | (10) (Blank).
| 18 | | (11) (Blank).
| 19 | | (12) The Board shall have authority to compel all host | 20 | | tracks to receive
the simulcast of any or all races | 21 | | conducted at the Springfield or DuQuoin State
fairgrounds | 22 | | and include all such races as part of their simulcast | 23 | | programs.
| 24 | | (13) Notwithstanding any other provision of this Act, | 25 | | in the event that
the total Illinois pari-mutuel handle on | 26 | | Illinois horse races at all wagering
facilities in any |
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| 1 | | calendar year is less than 75% of the total Illinois
| 2 | | pari-mutuel handle on Illinois horse races at all such | 3 | | wagering facilities for
calendar year 1994, then each | 4 | | wagering facility that has an annual total
Illinois | 5 | | pari-mutuel handle on Illinois horse races that is less | 6 | | than 75% of
the total Illinois pari-mutuel handle on | 7 | | Illinois horse races at such wagering
facility for calendar | 8 | | year 1994, shall be permitted to receive, from any amount
| 9 | | otherwise
payable to the purse account at the race track | 10 | | with which the wagering facility
is affiliated in the | 11 | | succeeding calendar year, an amount equal to 2% of the
| 12 | | differential in total Illinois pari-mutuel handle on | 13 | | Illinois horse
races at the wagering facility between that | 14 | | calendar year in question and 1994
provided, however, that | 15 | | a
wagering facility shall not be entitled to any such | 16 | | payment until the Board
certifies in writing to the | 17 | | wagering facility the amount to which the wagering
facility | 18 | | is entitled
and a schedule for payment of the amount to the | 19 | | wagering facility, based on:
(i) the racing dates awarded | 20 | | to the race track affiliated with the wagering
facility | 21 | | during the succeeding year; (ii) the sums available or | 22 | | anticipated to
be available in the purse account of the | 23 | | race track affiliated with the
wagering facility for purses | 24 | | during the succeeding year; and (iii) the need to
ensure | 25 | | reasonable purse levels during the payment period.
The | 26 | | Board's certification
shall be provided no later than |
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| 1 | | January 31 of the succeeding year.
In the event a wagering | 2 | | facility entitled to a payment under this paragraph
(13) is | 3 | | affiliated with a race track that maintains purse accounts | 4 | | for both
standardbred and thoroughbred racing, the amount | 5 | | to be paid to the wagering
facility shall be divided | 6 | | between each purse account pro rata, based on the
amount of | 7 | | Illinois handle on Illinois standardbred and thoroughbred | 8 | | racing
respectively at the wagering facility during the | 9 | | previous calendar year.
Annually, the General Assembly | 10 | | shall appropriate sufficient funds from the
General | 11 | | Revenue Fund to the Department of Agriculture for payment | 12 | | into the
thoroughbred and standardbred horse racing purse | 13 | | accounts at
Illinois pari-mutuel tracks. The amount paid to | 14 | | each purse account shall be
the amount certified by the | 15 | | Illinois Racing Board in January to be
transferred from | 16 | | each account to each eligible racing facility in
accordance | 17 | | with the provisions of this Section.
| 18 | | (h) The Board may approve and license the conduct of | 19 | | inter-track wagering
and simulcast wagering by inter-track | 20 | | wagering licensees and inter-track
wagering location licensees | 21 | | subject to the following terms and conditions:
| 22 | | (1) Any person licensed to conduct a race meeting (i) | 23 | | at a track where
60 or more days of racing were conducted | 24 | | during the immediately preceding
calendar year or where | 25 | | over the 5 immediately preceding calendar years an
average | 26 | | of 30 or more days of racing were conducted annually may be |
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| 1 | | issued an
inter-track wagering license; (ii) at a track
| 2 | | located in a county that is bounded by the Mississippi | 3 | | River, which has a
population of less than 150,000 | 4 | | according to the 1990 decennial census, and an
average of | 5 | | at least 60 days of racing per year between 1985 and 1993 | 6 | | may be
issued an inter-track wagering license; or (iii) at | 7 | | a track
located in Madison
County that conducted at least | 8 | | 100 days of live racing during the immediately
preceding
| 9 | | calendar year may be issued an inter-track wagering | 10 | | license, unless a lesser
schedule of
live racing is the | 11 | | result of (A) weather, unsafe track conditions, or other
| 12 | | acts of God; (B)
an agreement between the organization | 13 | | licensee and the associations
representing the
largest | 14 | | number of owners, trainers, jockeys, or standardbred | 15 | | drivers who race
horses at
that organization licensee's | 16 | | racing meeting; or (C) a finding by the Board of
| 17 | | extraordinary circumstances and that it was in the best | 18 | | interest of the public
and the sport to conduct fewer than | 19 | | 100 days of live racing. Any such person
having operating | 20 | | control of the racing facility may receive
inter-track | 21 | | wagering
location licenses. An
eligible race track located | 22 | | in a county that has a population of more than
230,000 and | 23 | | that is bounded by the Mississippi River may establish up | 24 | | to 9
inter-track wagering locations , and an eligible race | 25 | | track located in Stickney Township in Cook County may | 26 | | establish up to 16 inter-track wagering locations , and an |
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| 1 | | eligible race track located in Palatine Township in Cook | 2 | | County may establish up to 18 inter-track wagering | 3 | | locations.
An application for
said license shall be filed | 4 | | with the Board prior to such dates as may be
fixed by the | 5 | | Board. With an application for an inter-track
wagering
| 6 | | location license there shall be delivered to the Board a | 7 | | certified check or
bank draft payable to the order of the | 8 | | Board for an amount equal to $500.
The application shall be | 9 | | on forms prescribed and furnished by the Board. The
| 10 | | application shall comply with all other rules,
regulations | 11 | | and conditions imposed by the Board in connection | 12 | | therewith.
| 13 | | (2) The Board shall examine the applications with | 14 | | respect to their
conformity with this Act and the rules and | 15 | | regulations imposed by the
Board. If found to be in | 16 | | compliance with the Act and rules and regulations
of the | 17 | | Board, the Board may then issue a license to conduct | 18 | | inter-track
wagering and simulcast wagering to such | 19 | | applicant. All such applications
shall be acted upon by the | 20 | | Board at a meeting to be held on such date as may be
fixed | 21 | | by the Board.
| 22 | | (3) In granting licenses to conduct inter-track | 23 | | wagering and simulcast
wagering, the Board shall give due | 24 | | consideration to
the best interests of the
public, of horse | 25 | | racing, and of maximizing revenue to the State.
| 26 | | (4) Prior to the issuance of a license to conduct |
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| 1 | | inter-track wagering
and simulcast wagering,
the applicant | 2 | | shall file with the Board a bond payable to the State of | 3 | | Illinois
in the sum of $50,000, executed by the applicant | 4 | | and a surety company or
companies authorized to do business | 5 | | in this State, and conditioned upon
(i) the payment by the | 6 | | licensee of all taxes due under Section 27 or 27.1
and any | 7 | | other monies due and payable under this Act, and (ii)
| 8 | | distribution by the licensee, upon presentation of the | 9 | | winning ticket or
tickets, of all sums payable to the | 10 | | patrons of pari-mutuel pools.
| 11 | | (5) Each license to conduct inter-track wagering and | 12 | | simulcast
wagering shall specify the person
to whom it is | 13 | | issued, the dates on which such wagering is permitted, and
| 14 | | the track or location where the wagering is to be | 15 | | conducted.
| 16 | | (6) All wagering under such license is subject to this | 17 | | Act and to the
rules and regulations from time to time | 18 | | prescribed by the Board, and every
such license issued by | 19 | | the Board shall contain a recital to that effect.
| 20 | | (7) An inter-track wagering licensee or inter-track | 21 | | wagering location
licensee may accept wagers at the track | 22 | | or location
where it is licensed, or as otherwise provided | 23 | | under this Act.
| 24 | | (8) Inter-track wagering or simulcast wagering shall | 25 | | not be
conducted
at any track less than 5 miles from a | 26 | | track at which a racing meeting is in
progress.
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| 1 | | (8.1) Inter-track wagering location
licensees who | 2 | | derive their licenses from a particular organization | 3 | | licensee
shall conduct inter-track wagering and simulcast | 4 | | wagering only at locations that
are within 160 miles of | 5 | | that race track
where
the particular organization licensee | 6 | | is licensed to conduct racing. However, inter-track | 7 | | wagering and simulcast wagering
shall not
be conducted by | 8 | | those licensees at any location within 5 miles of any race
| 9 | | track at which a
horse race meeting has been licensed in | 10 | | the current year, unless the person
having operating | 11 | | control of such race track has given its written consent
to | 12 | | such inter-track wagering location licensees,
which | 13 | | consent
must be filed with the Board at or prior to the | 14 | | time application is made. In the case of any inter-track | 15 | | wagering location licensee initially licensed after | 16 | | December 31, 2013, inter-track wagering and simulcast | 17 | | wagering shall not be conducted by those inter-track | 18 | | wagering location licensees that are located outside the | 19 | | City of Chicago at any location within 8 miles of any race | 20 | | track at which a horse race meeting has been licensed in | 21 | | the current year, unless the person having operating | 22 | | control of such race track has given its written consent to | 23 | | such inter-track wagering location licensees, which | 24 | | consent must be filed with the Board at or prior to the | 25 | | time application is made.
| 26 | | (8.2) Inter-track wagering or simulcast wagering shall |
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| 1 | | not be
conducted by an inter-track
wagering location | 2 | | licensee at any location within 500 feet of an
existing
| 3 | | church or existing school, nor within 500 feet of the | 4 | | residences
of more than 50 registered voters without
| 5 | | receiving written permission from a majority of the | 6 | | registered
voters at such residences.
Such written | 7 | | permission statements shall be filed with the Board. The
| 8 | | distance of 500 feet shall be measured to the nearest part | 9 | | of any
building
used for worship services, education | 10 | | programs, residential purposes, or
conducting inter-track | 11 | | wagering by an inter-track wagering location
licensee, and | 12 | | not to property boundaries. However, inter-track wagering | 13 | | or
simulcast wagering may be conducted at a site within 500 | 14 | | feet of
a church, school or residences
of 50 or more | 15 | | registered voters if such church, school
or residences have | 16 | | been erected
or established, or such voters have been | 17 | | registered, after
the Board issues
the original | 18 | | inter-track wagering location license at the site in | 19 | | question.
Inter-track wagering location licensees may | 20 | | conduct inter-track wagering
and simulcast wagering only | 21 | | in areas that are zoned for
commercial or manufacturing | 22 | | purposes or
in areas for which a special use has been | 23 | | approved by the local zoning
authority. However, no license | 24 | | to conduct inter-track wagering and simulcast
wagering | 25 | | shall be
granted by the Board with respect to any | 26 | | inter-track wagering location
within the jurisdiction of |
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| 1 | | any local zoning authority which has, by
ordinance or by | 2 | | resolution, prohibited the establishment of an inter-track
| 3 | | wagering location within its jurisdiction. However, | 4 | | inter-track wagering
and simulcast wagering may be | 5 | | conducted at a site if such ordinance or
resolution is | 6 | | enacted after
the Board licenses the original inter-track | 7 | | wagering location
licensee for the site in question.
| 8 | | (9) (Blank).
| 9 | | (10) An inter-track wagering licensee or an | 10 | | inter-track wagering
location licensee may retain, subject | 11 | | to the
payment of the privilege taxes and the purses, an | 12 | | amount not to
exceed 17% of all money wagered. Each program | 13 | | of racing conducted by
each inter-track wagering licensee | 14 | | or inter-track wagering location
licensee shall be | 15 | | considered a separate racing day for the purpose of
| 16 | | determining the daily handle and computing the privilege | 17 | | tax or pari-mutuel
tax on such daily
handle as provided in | 18 | | Section 27.
| 19 | | (10.1) Except as provided in subsection (g) of Section | 20 | | 27 of this Act,
inter-track wagering location licensees | 21 | | shall pay 1% of the
pari-mutuel handle at each location to | 22 | | the municipality in which such
location is situated and 1% | 23 | | of the pari-mutuel handle at each location to
the county in | 24 | | which such location is situated. In the event that an
| 25 | | inter-track wagering location licensee is situated in an | 26 | | unincorporated
area of a county, such licensee shall pay 2% |
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|
| 1 | | of the pari-mutuel handle from
such location to such | 2 | | county.
| 3 | | (10.2) Notwithstanding any other provision of this | 4 | | Act, with respect to inter-track
intertrack wagering at a | 5 | | race track located in a
county that has a population of
| 6 | | more than 230,000 and that is bounded by the Mississippi | 7 | | River ("the first race
track"), or at a facility operated | 8 | | by an inter-track wagering licensee or
inter-track | 9 | | wagering location licensee that derives its license from | 10 | | the
organization licensee that operates the first race | 11 | | track, on races conducted at
the first race track or on | 12 | | races conducted at another Illinois race track
and | 13 | | simultaneously televised to the first race track or to a | 14 | | facility operated
by an inter-track wagering licensee or | 15 | | inter-track wagering location licensee
that derives its | 16 | | license from the organization licensee that operates the | 17 | | first
race track, those moneys shall be allocated as | 18 | | follows:
| 19 | | (A) That portion of all moneys wagered on | 20 | | standardbred racing that is
required under this Act to | 21 | | be paid to purses shall be paid to purses for
| 22 | | standardbred races.
| 23 | | (B) That portion of all moneys wagered on | 24 | | thoroughbred racing
that is required under this Act to | 25 | | be paid to purses shall be paid to purses
for | 26 | | thoroughbred races.
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| 1 | | (11) (A) After payment of the privilege or pari-mutuel | 2 | | tax, any other
applicable
taxes, and
the costs and expenses | 3 | | in connection with the gathering, transmission, and
| 4 | | dissemination of all data necessary to the conduct of | 5 | | inter-track wagering,
the remainder of the monies retained | 6 | | under either Section 26 or Section 26.2
of this Act by the | 7 | | inter-track wagering licensee on inter-track wagering
| 8 | | shall be allocated with 50% to be split between the
2 | 9 | | participating licensees and 50% to purses, except
that an | 10 | | inter-track intertrack wagering licensee that derives its
| 11 | | license from a track located in a county with a population | 12 | | in excess of 230,000
and that borders the Mississippi River | 13 | | shall not divide any remaining
retention with the Illinois | 14 | | organization licensee that provides the race or
races, and | 15 | | an inter-track intertrack wagering licensee that accepts | 16 | | wagers on races
conducted by an organization licensee that | 17 | | conducts a race meet in a county
with a population in | 18 | | excess of 230,000 and that borders the Mississippi River
| 19 | | shall not divide any remaining retention with that | 20 | | organization licensee.
| 21 | | (B) From the
sums permitted to be retained pursuant to | 22 | | this Act each inter-track wagering
location licensee shall | 23 | | pay (i) the privilege or pari-mutuel tax to the
State; (ii) | 24 | | 4.75% of the
pari-mutuel handle on inter-track intertrack | 25 | | wagering at such location on
races as purses, except that
| 26 | | an inter-track intertrack wagering location licensee that |
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| 1 | | derives its license from a
track located in a county with a | 2 | | population in excess of 230,000 and that
borders the | 3 | | Mississippi River shall retain all purse moneys for its own | 4 | | purse
account consistent with distribution set forth in | 5 | | this subsection (h), and inter-track
intertrack wagering | 6 | | location licensees that accept wagers on races
conducted
by | 7 | | an organization licensee located in a county with a | 8 | | population in excess of
230,000 and that borders the | 9 | | Mississippi River shall distribute all purse
moneys to | 10 | | purses at the operating host track; (iii) until January 1, | 11 | | 2000,
except as
provided in
subsection (g) of Section 27 of | 12 | | this Act, 1% of the
pari-mutuel handle wagered on | 13 | | inter-track wagering and simulcast wagering at
each | 14 | | inter-track wagering
location licensee facility to the | 15 | | Horse Racing Tax Allocation Fund, provided
that, to the | 16 | | extent the total amount collected and distributed to the | 17 | | Horse
Racing Tax Allocation Fund under this subsection (h) | 18 | | during any calendar year
exceeds the amount collected and | 19 | | distributed to the Horse Racing Tax Allocation
Fund during | 20 | | calendar year 1994, that excess amount shall be | 21 | | redistributed (I)
to all inter-track wagering location | 22 | | licensees, based on each licensee's
pro-rata share of the | 23 | | total handle from inter-track wagering and simulcast
| 24 | | wagering for all inter-track wagering location licensees | 25 | | during the calendar
year in which this provision is | 26 | | applicable; then (II) the amounts redistributed
to each |
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| 1 | | inter-track wagering location licensee as described in | 2 | | subpart (I)
shall be further redistributed as provided in | 3 | | subparagraph (B) of paragraph (5)
of subsection (g) of this | 4 | | Section 26 provided first, that the shares of those
| 5 | | amounts, which are to be redistributed to the host track or | 6 | | to purses at the
host track under subparagraph (B) of | 7 | | paragraph (5) of subsection (g) of this
Section 26 shall be
| 8 | | redistributed based on each host track's pro rata share of | 9 | | the total
inter-track
wagering and simulcast wagering | 10 | | handle at all host tracks during the calendar
year in | 11 | | question, and second, that any amounts redistributed as | 12 | | described in
part (I) to an inter-track wagering location | 13 | | licensee that accepts
wagers on races conducted by an | 14 | | organization licensee that conducts a race meet
in a county | 15 | | with a population in excess of 230,000 and that borders the
| 16 | | Mississippi River shall be further redistributed as | 17 | | provided in subparagraphs
(D) and (E) of paragraph (7) of | 18 | | subsection (g) of this Section 26, with the
portion of that
| 19 | | further redistribution allocated to purses at that | 20 | | organization licensee to be
divided between standardbred | 21 | | purses and thoroughbred purses based on the
amounts | 22 | | otherwise allocated to purses at that organization | 23 | | licensee during the
calendar year in question; and (iv) 8% | 24 | | of the pari-mutuel handle on
inter-track wagering wagered | 25 | | at
such location to satisfy all costs and expenses of | 26 | | conducting its wagering. The
remainder of the monies |
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| 1 | | retained by the inter-track wagering location licensee
| 2 | | shall be allocated 40% to the location licensee and 60% to | 3 | | the organization
licensee which provides the Illinois | 4 | | races to the location, except that an inter-track
| 5 | | intertrack wagering location
licensee that derives its | 6 | | license from a track located in a county with a
population | 7 | | in excess of 230,000 and that borders the Mississippi River | 8 | | shall
not divide any remaining retention with the | 9 | | organization licensee that provides
the race or races and | 10 | | an inter-track intertrack wagering location licensee that | 11 | | accepts
wagers on races conducted by an organization | 12 | | licensee that conducts a race meet
in a county with a | 13 | | population in excess of 230,000 and that borders the
| 14 | | Mississippi River shall not divide any remaining retention | 15 | | with the
organization licensee.
Notwithstanding the | 16 | | provisions of clauses (ii) and (iv) of this
paragraph, in | 17 | | the case of the additional inter-track wagering location | 18 | | licenses
authorized under paragraph (1) of this subsection | 19 | | (h) by Public Act 87-110 this amendatory
Act of 1991 , those | 20 | | licensees shall pay the following amounts as purses:
during | 21 | | the first 12 months the licensee is in operation, 5.25% of
| 22 | | the
pari-mutuel handle wagered at the location on races; | 23 | | during the second 12
months, 5.25%; during the third 12 | 24 | | months, 5.75%;
during
the fourth 12 months,
6.25%; and | 25 | | during the fifth 12 months and thereafter, 6.75%. The
| 26 | | following amounts shall be retained by the licensee to |
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| 1 | | satisfy all costs
and expenses of conducting its wagering: | 2 | | during the first 12 months the
licensee is in operation, | 3 | | 8.25% of the pari-mutuel handle wagered
at the
location; | 4 | | during the second 12 months, 8.25%; during the third 12
| 5 | | months, 7.75%;
during the fourth 12 months, 7.25%; and | 6 | | during the fifth 12 months
and
thereafter, 6.75%.
For | 7 | | additional inter-track intertrack wagering location | 8 | | licensees authorized under Public Act 89-16 this
| 9 | | amendatory
Act of 1995 , purses for the first 12 months the | 10 | | licensee is in operation shall
be 5.75% of the pari-mutuel | 11 | | wagered
at the location, purses for the second 12 months | 12 | | the licensee is in operation
shall be 6.25%, and purses
| 13 | | thereafter shall be 6.75%. For additional inter-track | 14 | | intertrack location
licensees
authorized under Public Act | 15 | | 89-16
this amendatory Act of 1995 , the licensee shall be | 16 | | allowed to retain to satisfy
all costs and expenses: 7.75% | 17 | | of the pari-mutuel handle wagered at
the location
during | 18 | | its first 12 months of operation, 7.25% during its second
| 19 | | 12
months of
operation, and 6.75% thereafter.
| 20 | | (C) There is hereby created the Horse Racing Tax | 21 | | Allocation Fund
which shall remain in existence until | 22 | | December 31, 1999. Moneys
remaining in the Fund after | 23 | | December 31, 1999
shall be paid into the
General Revenue | 24 | | Fund. Until January 1, 2000,
all monies paid into the Horse | 25 | | Racing Tax Allocation Fund pursuant to this
paragraph (11) | 26 | | by inter-track wagering location licensees located in park
|
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| 1 | | districts of 500,000 population or less, or in a | 2 | | municipality that is not
included within any park district | 3 | | but is included within a conservation
district and is the | 4 | | county seat of a county that (i) is contiguous to the state
| 5 | | of Indiana and (ii) has a 1990 population of 88,257 | 6 | | according to the United
States Bureau of the Census, and | 7 | | operating on May 1, 1994 shall be
allocated by | 8 | | appropriation as follows:
| 9 | | Two-sevenths to the Department of Agriculture. | 10 | | Fifty percent of
this two-sevenths shall be used to | 11 | | promote the Illinois horse racing and
breeding | 12 | | industry, and shall be distributed by the Department of | 13 | | Agriculture
upon the advice of a 9-member committee | 14 | | appointed by the Governor consisting of
the following | 15 | | members: the Director of Agriculture, who shall serve | 16 | | as
chairman; 2 representatives of organization | 17 | | licensees conducting thoroughbred
race meetings in | 18 | | this State, recommended by those licensees; 2 | 19 | | representatives
of organization licensees conducting | 20 | | standardbred race meetings in this State,
recommended | 21 | | by those licensees; a representative of the Illinois
| 22 | | Thoroughbred Breeders and Owners Foundation, | 23 | | recommended by that
Foundation; a representative of | 24 | | the Illinois Standardbred Owners and
Breeders | 25 | | Association, recommended
by that Association; a | 26 | | representative of
the Horsemen's Benevolent and |
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| 1 | | Protective Association or any successor
organization | 2 | | thereto established in Illinois comprised of the | 3 | | largest number of
owners and trainers, recommended by | 4 | | that
Association or that successor organization; and a
| 5 | | representative of the Illinois Harness Horsemen's
| 6 | | Association, recommended by that Association. | 7 | | Committee members shall
serve for terms of 2 years, | 8 | | commencing January 1 of each even-numbered
year. If a | 9 | | representative of any of the above-named entities has | 10 | | not been
recommended by January 1 of any even-numbered | 11 | | year, the Governor shall
appoint a committee member to | 12 | | fill that position. Committee members shall
receive no | 13 | | compensation for their services as members but shall be
| 14 | | reimbursed for all actual and necessary expenses and | 15 | | disbursements incurred
in the performance of their | 16 | | official duties. The remaining 50% of this
| 17 | | two-sevenths shall be distributed to county fairs for | 18 | | premiums and
rehabilitation as set forth in the | 19 | | Agricultural Fair Act;
| 20 | | Four-sevenths to park districts or municipalities | 21 | | that do not have a
park district of 500,000 population | 22 | | or less for museum purposes (if an
inter-track wagering | 23 | | location licensee is located in such a park district) | 24 | | or
to conservation districts for museum purposes (if an | 25 | | inter-track wagering
location licensee is located in a | 26 | | municipality that is not included within any
park |
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| 1 | | district but is included within a conservation | 2 | | district and is the county
seat of a county that (i) is | 3 | | contiguous to the state of Indiana and (ii) has a
1990 | 4 | | population of 88,257 according to the United States | 5 | | Bureau of the Census,
except that if the conservation | 6 | | district does not maintain a museum, the monies
shall | 7 | | be allocated equally between the county and the | 8 | | municipality in which the
inter-track wagering | 9 | | location licensee is located for general purposes) or | 10 | | to a
municipal recreation board for park purposes (if | 11 | | an inter-track wagering
location licensee is located | 12 | | in a municipality that is not included within any
park | 13 | | district and park maintenance is the function of the | 14 | | municipal recreation
board and the municipality has a | 15 | | 1990 population of 9,302 according to the
United States | 16 | | Bureau of the Census); provided that the monies are | 17 | | distributed
to each park district or conservation | 18 | | district or municipality that does not
have a park | 19 | | district in an amount equal to four-sevenths of the | 20 | | amount
collected by each inter-track wagering location | 21 | | licensee within the park
district or conservation | 22 | | district or municipality for the Fund. Monies that
were | 23 | | paid into the Horse Racing Tax Allocation Fund before | 24 | | August 9, 1991 ( the effective date
of Public Act | 25 | | 87-110) this amendatory Act of 1991 by an inter-track | 26 | | wagering location licensee
located in a municipality |
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| 1 | | that is not included within any park district but is
| 2 | | included within a conservation district as provided in | 3 | | this paragraph shall, as
soon as practicable after | 4 | | August 9, 1991 ( the effective date of Public Act | 5 | | 87-110) this amendatory Act of 1991 , be
allocated and | 6 | | paid to that conservation district as provided in this | 7 | | paragraph.
Any park district or municipality not | 8 | | maintaining a museum may deposit the
monies in the | 9 | | corporate fund of the park district or municipality | 10 | | where the
inter-track wagering location is located, to | 11 | | be used for general purposes;
and
| 12 | | One-seventh to the Agricultural Premium Fund to be | 13 | | used for distribution
to agricultural home economics | 14 | | extension councils in accordance with "An
Act in | 15 | | relation to additional support and finances for the | 16 | | Agricultural and
Home Economic Extension Councils in | 17 | | the several counties of this State and
making an | 18 | | appropriation therefor", approved July 24, 1967.
| 19 | | Until January 1, 2000, all other
monies paid into the | 20 | | Horse Racing Tax
Allocation Fund pursuant to
this paragraph | 21 | | (11) shall be allocated by appropriation as follows:
| 22 | | Two-sevenths to the Department of Agriculture. | 23 | | Fifty percent of this
two-sevenths shall be used to | 24 | | promote the Illinois horse racing and breeding
| 25 | | industry, and shall be distributed by the Department of | 26 | | Agriculture upon the
advice of a 9-member committee |
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| 1 | | appointed by the Governor consisting of the
following | 2 | | members: the Director of Agriculture, who shall serve | 3 | | as chairman; 2
representatives of organization | 4 | | licensees conducting thoroughbred race meetings
in | 5 | | this State, recommended by those licensees; 2 | 6 | | representatives of
organization licensees conducting | 7 | | standardbred race meetings in this State,
recommended | 8 | | by those licensees; a representative of the Illinois | 9 | | Thoroughbred
Breeders and Owners Foundation, | 10 | | recommended by that Foundation; a
representative of | 11 | | the Illinois Standardbred Owners and Breeders | 12 | | Association,
recommended by that Association; a | 13 | | representative of the Horsemen's Benevolent
and | 14 | | Protective Association or any successor organization | 15 | | thereto established
in Illinois comprised of the | 16 | | largest number of owners and trainers,
recommended by | 17 | | that Association or that successor organization; and a
| 18 | | representative of the Illinois Harness Horsemen's | 19 | | Association, recommended by
that Association. | 20 | | Committee members shall serve for terms of 2 years,
| 21 | | commencing January 1 of each even-numbered year. If a | 22 | | representative of any of
the above-named entities has | 23 | | not been recommended by January 1 of any
even-numbered | 24 | | year, the Governor shall appoint a committee member to | 25 | | fill that
position. Committee members shall receive no | 26 | | compensation for their services
as members but shall be |
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| 1 | | reimbursed for all actual and necessary expenses and
| 2 | | disbursements incurred in the performance of their | 3 | | official duties. The
remaining 50% of this | 4 | | two-sevenths shall be distributed to county fairs for
| 5 | | premiums and rehabilitation as set forth in the | 6 | | Agricultural Fair Act;
| 7 | | Four-sevenths to museums and aquariums located in | 8 | | park districts of over
500,000 population; provided | 9 | | that the monies are distributed in accordance with
the | 10 | | previous year's distribution of the maintenance tax | 11 | | for such museums and
aquariums as provided in Section 2 | 12 | | of the Park District Aquarium and Museum
Act; and
| 13 | | One-seventh to the Agricultural Premium Fund to be | 14 | | used for distribution
to agricultural home economics | 15 | | extension councils in accordance with "An Act
in | 16 | | relation to additional support and finances for the | 17 | | Agricultural and
Home Economic Extension Councils in | 18 | | the several counties of this State and
making an | 19 | | appropriation therefor", approved July 24, 1967.
This | 20 | | subparagraph (C) shall be inoperative and of no force | 21 | | and effect on and
after January 1, 2000.
| 22 | | (D) Except as provided in paragraph (11) of this | 23 | | subsection (h),
with respect to purse allocation from | 24 | | inter-track intertrack wagering, the monies so
| 25 | | retained shall be divided as follows:
| 26 | | (i) If the inter-track wagering licensee, |
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| 1 | | except an inter-track intertrack
wagering licensee | 2 | | that derives its license from an organization
| 3 | | licensee located in a county with a population in | 4 | | excess of 230,000 and bounded
by the Mississippi | 5 | | River, is not conducting its own
race meeting | 6 | | during the same dates, then the entire purse | 7 | | allocation shall be
to purses at the track where | 8 | | the races wagered on are being conducted.
| 9 | | (ii) If the inter-track wagering licensee, | 10 | | except an inter-track intertrack
wagering licensee | 11 | | that derives its license from an organization
| 12 | | licensee located in a county with a population in | 13 | | excess of 230,000 and bounded
by the Mississippi | 14 | | River, is also
conducting its own
race meeting | 15 | | during the same dates, then the purse allocation | 16 | | shall be as
follows: 50% to purses at the track | 17 | | where the races wagered on are
being conducted; 50% | 18 | | to purses at the track where the inter-track
| 19 | | wagering licensee is accepting such wagers.
| 20 | | (iii) If the inter-track wagering is being | 21 | | conducted by an inter-track
wagering location | 22 | | licensee, except an inter-track intertrack | 23 | | wagering location licensee
that derives its | 24 | | license from an organization licensee located in a
| 25 | | county with a population in excess of 230,000 and | 26 | | bounded by the Mississippi
River, the entire purse |
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| 1 | | allocation for Illinois races shall
be to purses at | 2 | | the track where the race meeting being wagered on | 3 | | is being
held.
| 4 | | (12) The Board shall have all powers necessary and | 5 | | proper to fully
supervise and control the conduct of
| 6 | | inter-track wagering and simulcast
wagering by inter-track | 7 | | wagering licensees and inter-track wagering location
| 8 | | licensees, including, but not
limited to the following:
| 9 | | (A) The Board is vested with power to promulgate | 10 | | reasonable rules and
regulations for the purpose of | 11 | | administering the
conduct of this
wagering and to | 12 | | prescribe reasonable rules, regulations and conditions | 13 | | under
which such wagering shall be held and conducted. | 14 | | Such rules and regulations
are to provide for the | 15 | | prevention of practices detrimental to the public
| 16 | | interest and for
the best interests of said wagering | 17 | | and to impose penalties
for violations thereof.
| 18 | | (B) The Board, and any person or persons to whom it | 19 | | delegates this
power, is vested with the power to enter | 20 | | the
facilities of any licensee to determine whether | 21 | | there has been
compliance with the provisions of this | 22 | | Act and the rules and regulations
relating to the | 23 | | conduct of such wagering.
| 24 | | (C) The Board, and any person or persons to whom it | 25 | | delegates this
power, may eject or exclude from any | 26 | | licensee's facilities, any person whose
conduct or |
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| 1 | | reputation
is such that his presence on such premises | 2 | | may, in the opinion of the Board,
call into the | 3 | | question the honesty and integrity of, or interfere | 4 | | with the
orderly conduct of such wagering; provided, | 5 | | however, that no person shall
be excluded or ejected | 6 | | from such premises solely on the grounds of race,
| 7 | | color, creed, national origin, ancestry, or sex.
| 8 | | (D) (Blank).
| 9 | | (E) The Board is vested with the power to appoint | 10 | | delegates to execute
any of the powers granted to it | 11 | | under this Section for the purpose of
administering | 12 | | this wagering and any
rules and
regulations
| 13 | | promulgated in accordance with this Act.
| 14 | | (F) The Board shall name and appoint a State | 15 | | director of this wagering
who shall be a representative | 16 | | of the Board and whose
duty it shall
be to supervise | 17 | | the conduct of inter-track wagering as may be provided | 18 | | for
by the rules and regulations of the Board; such | 19 | | rules and regulation shall
specify the method of | 20 | | appointment and the Director's powers, authority and
| 21 | | duties.
| 22 | | (G) The Board is vested with the power to impose | 23 | | civil penalties of up
to $5,000 against individuals and | 24 | | up to $10,000 against
licensees for each violation of | 25 | | any provision of
this Act relating to the conduct of | 26 | | this wagering, any
rules adopted
by the Board, any |
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| 1 | | order of the Board or any other action which in the | 2 | | Board's
discretion, is a detriment or impediment to | 3 | | such wagering.
| 4 | | (13) The Department of Agriculture may enter into | 5 | | agreements with
licensees authorizing such licensees to | 6 | | conduct inter-track
wagering on races to be held at the | 7 | | licensed race meetings conducted by the
Department of | 8 | | Agriculture. Such
agreement shall specify the races of the | 9 | | Department of Agriculture's
licensed race meeting upon | 10 | | which the licensees will conduct wagering. In the
event | 11 | | that a licensee
conducts inter-track pari-mutuel wagering | 12 | | on races from the Illinois State Fair
or DuQuoin State Fair | 13 | | which are in addition to the licensee's previously
approved | 14 | | racing program, those races shall be considered a separate | 15 | | racing day
for the
purpose of determining the daily handle | 16 | | and computing the privilege or
pari-mutuel tax on
that | 17 | | daily handle as provided in Sections 27
and 27.1. Such
| 18 | | agreements shall be approved by the Board before such | 19 | | wagering may be
conducted. In determining whether to grant | 20 | | approval, the Board shall give
due consideration to the | 21 | | best interests of the public and of horse racing.
The | 22 | | provisions of paragraphs (1), (8), (8.1), and (8.2) of
| 23 | | subsection (h) of this
Section which are not specified in | 24 | | this paragraph (13) shall not apply to
licensed race | 25 | | meetings conducted by the Department of Agriculture at the
| 26 | | Illinois State Fair in Sangamon County or the DuQuoin State |
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| 1 | | Fair in Perry
County, or to any wagering conducted on
those | 2 | | race meetings. | 3 | | (14) An inter-track wagering location license | 4 | | authorized by the Board in 2016 that is owned and operated | 5 | | by a race track in Rock Island County shall be transferred | 6 | | to a commonly owned race track in Cook County on August 12, | 7 | | 2016 ( the effective date of Public Act 99-757) this | 8 | | amendatory Act of the 99th General Assembly . The licensee | 9 | | shall retain its status in relation to purse distribution | 10 | | under paragraph (11) of this subsection (h) following the | 11 | | transfer to the new entity. The pari-mutuel tax credit | 12 | | under Section 32.1 shall not be applied toward any | 13 | | pari-mutuel tax obligation of the inter-track wagering | 14 | | location licensee of the license that is transferred under | 15 | | this paragraph (14).
| 16 | | (i) Notwithstanding the other provisions of this Act, the | 17 | | conduct of
wagering at wagering facilities is authorized on all | 18 | | days, except as limited by
subsection (b) of Section 19 of this | 19 | | Act.
| 20 | | (Source: P.A. 98-18, eff. 6-7-13; 98-624, eff. 1-29-14; 98-968, | 21 | | eff. 8-15-14; 99-756, eff. 8-12-16; 99-757, eff. 8-12-16; | 22 | | revised 9-14-16.)
| 23 | | Section 910. The Illinois Public Aid Code is amended by | 24 | | changing Section 10-17.15 as follows: |
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| 1 | | (305 ILCS 5/10-17.15) | 2 | | Sec. 10-17.15. Certification of information to State | 3 | | gaming licensees. | 4 | | (a) For purposes of this Section, "State gaming licensee" | 5 | | means, as applicable, an organization licensee or advance | 6 | | deposit wagering licensee licensed under the Illinois Horse | 7 | | Racing Act of 1975, an owners licensee licensed under the | 8 | | Riverboat Gambling Act, or a licensee that operates, under any | 9 | | law of this State, one or more facilities or gaming locations | 10 | | at which lawful gambling is authorized and licensed as provided | 11 | | in the Riverboat Gambling Act , or a fantasy sports contest | 12 | | operator licensed under the Fantasy Sports Contest Act . | 13 | | (b) The Department may provide, by rule, for certification | 14 | | to any State gaming licensee of past due child support owed by | 15 | | a responsible relative under a support order entered by a court | 16 | | or administrative body of this or any other State on behalf of | 17 | | a resident or non-resident receiving child support services | 18 | | under this Article in accordance with the requirements of Title | 19 | | IV-D, Part D, of the Social Security Act. The State gaming | 20 | | licensee shall have the ability to withhold from winnings | 21 | | required to be reported to the Internal Revenue Service on Form | 22 | | W-2G, or, in the case of a fantasy sports contest operator, the | 23 | | ability to withhold from individual winnings of $600 or more | 24 | | that are subject to reporting to the Internal Revenue Service | 25 | | on Form 1099, up to the full amount of winnings necessary to | 26 | | pay the winner's past due child support. The rule shall provide |
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| 1 | | for notice to and an opportunity to be heard by each | 2 | | responsible relative affected and any final administrative | 3 | | decision rendered by the Department shall be reviewed only | 4 | | under and in accordance with the Administrative Review Law. | 5 | | (c) For withholding of winnings, the State gaming licensee | 6 | | shall be entitled to an administrative fee not to exceed the | 7 | | lesser of 4% of the total amount of cash winnings paid to the | 8 | | gambling winner or $150. | 9 | | (d) In no event may the total amount withheld from the cash | 10 | | payout, including the administrative fee, exceed the total cash | 11 | | winnings claimed by the obligor. If the cash payout claimed is | 12 | | greater than the amount sufficient to satisfy the obligor's | 13 | | delinquent child support payments, the State gaming licensee | 14 | | shall pay the obligor the remaining balance of the payout, less | 15 | | the administrative fee authorized by subsection (c) of this | 16 | | Section, at the time it is claimed. | 17 | | (e) A State gaming licensee who in good faith complies with | 18 | | the requirements of this Section shall not be liable to the | 19 | | gaming winner or any other individual or entity.
| 20 | | (Source: P.A. 98-318, eff. 8-12-13.) | 21 | | Section 915. The Criminal Code of 2012 is amended by | 22 | | changing Section 28-1 as follows:
| 23 | | (720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
| 24 | | Sec. 28-1. Gambling.
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| 1 | | (a) A person commits gambling when he or she:
| 2 | | (1) knowingly plays a game of chance or skill for money | 3 | | or other thing of
value, unless excepted in subsection (b) | 4 | | of this Section;
| 5 | | (2) knowingly makes a wager upon the result of any | 6 | | game, contest, or any
political nomination, appointment or | 7 | | election;
| 8 | | (3) knowingly operates, keeps, owns, uses, purchases, | 9 | | exhibits, rents, sells,
bargains for the sale or lease of, | 10 | | manufactures or distributes any
gambling device;
| 11 | | (4) contracts to have or give himself or herself or | 12 | | another the option to buy
or sell, or contracts to buy or | 13 | | sell, at a future time, any grain or
other commodity | 14 | | whatsoever, or any stock or security of any company,
where | 15 | | it is at the time of making such contract intended by both | 16 | | parties
thereto that the contract to buy or sell, or the | 17 | | option, whenever
exercised, or the contract resulting | 18 | | therefrom, shall be settled, not by
the receipt or delivery | 19 | | of such property, but by the payment only of
differences in | 20 | | prices thereof; however, the issuance, purchase, sale,
| 21 | | exercise, endorsement or guarantee, by or through a person | 22 | | registered
with the Secretary of State pursuant to Section | 23 | | 8 of the Illinois
Securities Law of 1953, or by or through | 24 | | a person exempt from such
registration under said Section | 25 | | 8, of a put, call, or other option to
buy or sell | 26 | | securities which have been registered with the Secretary of
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| 1 | | State or which are exempt from such registration under | 2 | | Section 3 of the
Illinois Securities Law of 1953 is not | 3 | | gambling within the meaning of
this paragraph (4);
| 4 | | (5) knowingly owns or possesses any book, instrument or | 5 | | apparatus by
means of which bets or wagers have been, or | 6 | | are, recorded or registered,
or knowingly possesses any | 7 | | money which he has received in the course of
a bet or | 8 | | wager;
| 9 | | (6) knowingly sells pools upon the result of any game | 10 | | or contest of skill or
chance, political nomination, | 11 | | appointment or election;
| 12 | | (7) knowingly sets up or promotes any lottery or sells, | 13 | | offers to sell or
transfers any ticket or share for any | 14 | | lottery;
| 15 | | (8) knowingly sets up or promotes any policy game or | 16 | | sells, offers to sell or
knowingly possesses or transfers | 17 | | any policy ticket, slip, record,
document or other similar | 18 | | device;
| 19 | | (9) knowingly drafts, prints or publishes any lottery | 20 | | ticket or share,
or any policy ticket, slip, record, | 21 | | document or similar device, except for
such activity | 22 | | related to lotteries, bingo games and raffles authorized by
| 23 | | and conducted in accordance with the laws of Illinois or | 24 | | any other state or
foreign government;
| 25 | | (10) knowingly advertises any lottery or policy game, | 26 | | except for such
activity related to lotteries, bingo games |
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| 1 | | and raffles authorized by and
conducted in accordance with | 2 | | the laws of Illinois or any other state;
| 3 | | (11) knowingly transmits information as to wagers, | 4 | | betting odds, or
changes in betting odds by telephone, | 5 | | telegraph, radio, semaphore or
similar means; or knowingly | 6 | | installs or maintains equipment for the
transmission or | 7 | | receipt of such information; except that nothing in this
| 8 | | subdivision (11) prohibits transmission or receipt of such | 9 | | information
for use in news reporting of sporting events or | 10 | | contests; or
| 11 | | (12) knowingly establishes, maintains, or operates an | 12 | | Internet site that
permits a person to play a game of
| 13 | | chance or skill for money or other thing of value by means | 14 | | of the Internet or
to make a wager upon the
result of any | 15 | | game, contest, political nomination, appointment, or
| 16 | | election by means of the Internet. This item (12) does not | 17 | | apply to activities referenced in items (6) and (6.1) of | 18 | | subsection (b) of this Section. This item (12) does not | 19 | | apply to activities referenced in item (15) subsection (b) | 20 | | of this Section.
| 21 | | (b) Participants in any of the following activities shall | 22 | | not be
convicted of gambling:
| 23 | | (1) Agreements to compensate for loss caused by the | 24 | | happening of
chance including without limitation contracts | 25 | | of indemnity or guaranty
and life or health or accident | 26 | | insurance.
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| 1 | | (2) Offers of prizes, award or compensation to the | 2 | | actual
contestants in any bona fide contest for the | 3 | | determination of skill,
speed, strength or endurance or to | 4 | | the owners of animals or vehicles
entered in such contest.
| 5 | | (3) Pari-mutuel betting as authorized by the law of | 6 | | this State.
| 7 | | (4) Manufacture of gambling devices, including the | 8 | | acquisition of
essential parts therefor and the assembly | 9 | | thereof, for transportation in
interstate or foreign | 10 | | commerce to any place outside this State when such
| 11 | | transportation is not prohibited by any applicable Federal | 12 | | law; or the
manufacture, distribution, or possession of | 13 | | video gaming terminals, as
defined in the Video Gaming Act, | 14 | | by manufacturers, distributors, and
terminal operators | 15 | | licensed to do so under the Video Gaming Act.
| 16 | | (5) The game commonly known as "bingo", when conducted | 17 | | in accordance
with the Bingo License and Tax Act.
| 18 | | (6) Lotteries when conducted by the State of Illinois | 19 | | in accordance
with the Illinois Lottery Law. This exemption | 20 | | includes any activity conducted by the Department of | 21 | | Revenue to sell lottery tickets pursuant to the provisions | 22 | | of the Illinois Lottery Law and its rules.
| 23 | | (6.1) The purchase of lottery tickets through the | 24 | | Internet for a lottery conducted by the State of Illinois | 25 | | under the program established in Section 7.12 of the | 26 | | Illinois Lottery Law.
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| 1 | | (7) Possession of an antique slot machine that is | 2 | | neither used nor
intended to be used in the operation or | 3 | | promotion of any unlawful
gambling activity or enterprise. | 4 | | For the purpose of this subparagraph
(b)(7), an antique | 5 | | slot machine is one manufactured 25 years ago or earlier.
| 6 | | (8) Raffles and poker runs when conducted in accordance | 7 | | with the Raffles and Poker Runs Act.
| 8 | | (9) Charitable games when conducted in accordance with | 9 | | the Charitable
Games Act.
| 10 | | (10) Pull tabs and jar games when conducted under the | 11 | | Illinois Pull
Tabs and Jar Games Act.
| 12 | | (11) Gambling games conducted on riverboats when
| 13 | | authorized by the Riverboat Gambling Act.
| 14 | | (12) Video gaming terminal games at a licensed | 15 | | establishment, licensed truck stop establishment,
licensed
| 16 | | fraternal establishment, or licensed veterans | 17 | | establishment when
conducted in accordance with the Video | 18 | | Gaming Act. | 19 | | (13) Games of skill or chance where money or other | 20 | | things of value can be won but no payment or purchase is | 21 | | required to participate. | 22 | | (14) Savings promotion raffles authorized under | 23 | | Section 5g of the Illinois Banking Act, Section 7008 of the | 24 | | Savings Bank Act, Section 42.7 of the Illinois Credit Union | 25 | | Act, Section 5136B of the National Bank Act (12 U.S.C. | 26 | | 25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C. |
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| 1 | | 1463). | 2 | | (15) Fantasy sports contests and participation in | 3 | | fantasy sports contests as defined and offered under the | 4 | | Fantasy Sports Contest Act. | 5 | | (c) Sentence.
| 6 | | Gambling is a
Class A misdemeanor. A second or
subsequent | 7 | | conviction under subsections (a)(3) through (a)(12),
is a Class | 8 | | 4 felony.
| 9 | | (d) Circumstantial evidence.
| 10 | | In prosecutions under
this
Section circumstantial evidence | 11 | | shall have the same validity and weight as
in any criminal | 12 | | prosecution.
| 13 | | (Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16 .)
| 14 | | Section 999. Effective date. This Act takes effect upon | 15 | | becoming law.".
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