Full Text of SB0744 96th General Assembly
SB0744enr 96TH GENERAL ASSEMBLY
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| AN ACT concerning gaming.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 5. The Video Gaming
Act is amended by changing | 5 |
| Sections 5 and 25 as follows: | 6 |
| (230 ILCS 40/5)
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| Sec. 5. Definitions. As used in this Act:
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| "Board" means the Illinois Gaming Board.
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| "Credit" means 5, 10, or 25 cents either won or purchased | 10 |
| by a player.
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| "Distributor" means an individual, partnership, or | 12 |
| corporation licensed under
this Act to buy, sell, lease, or | 13 |
| distribute video gaming terminals or major
components or parts | 14 |
| of video gaming terminals to or from terminal
operators.
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| "Terminal operator" means an individual, partnership or | 16 |
| corporation that is
licensed under this Act and that owns, | 17 |
| services, and maintains video
gaming terminals for placement in | 18 |
| licensed establishments, licensed fraternal
establishments, or | 19 |
| licensed veterans establishments.
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| "Licensed technician" means an individual
who
is licensed | 21 |
| under this Act to repair,
service, and maintain
video gaming | 22 |
| terminals.
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| "Licensed terminal handler" means a person, including but |
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| not limited to an employee or independent contractor working | 2 |
| for a manufacturer, distributor, supplier, technician, or | 3 |
| terminal operator, who is licensed under this Act to possess or | 4 |
| control a video gaming terminal or to have access to the inner | 5 |
| workings of a video gaming terminal. A licensed terminal | 6 |
| handler does not include an individual, partnership, or | 7 |
| corporation defined as a manufacturer, distributor, supplier, | 8 |
| technician, or terminal operator under this Act. | 9 |
| "Manufacturer" means an individual, partnership, or | 10 |
| corporation that is
licensed under this Act and that | 11 |
| manufactures or assembles video gaming
terminals.
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| "Supplier" means an individual, partnership, or | 13 |
| corporation that is
licensed under this Act to supply major | 14 |
| components or parts to video gaming
terminals to licensed
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| terminal operators.
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| "Net terminal income" means money put into a video gaming | 17 |
| terminal minus
credits paid out to players.
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| "Video gaming terminal" means any electronic video game | 19 |
| machine
that, upon insertion of cash, is available to play or | 20 |
| simulate the play of
a video game, including but not limited to | 21 |
| video poker, line up, and blackjack, as
authorized by the Board | 22 |
| utilizing a video display and microprocessors in
which the | 23 |
| player may receive free games or credits that can be
redeemed | 24 |
| for cash. The term does not include a machine that directly
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| dispenses coins, cash, or tokens or is for amusement purposes | 26 |
| only.
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| "Licensed establishment" means any licensed retail | 2 |
| establishment where
alcoholic liquor is drawn, poured, mixed, | 3 |
| or otherwise served for consumption
on the premises and | 4 |
| includes any such establishment that has a contractual | 5 |
| relationship with an inter-track wagering location licensee | 6 |
| licensed under the Illinois Horse Racing Act of 1975, provided | 7 |
| any contractual relationship shall not include any transfer or | 8 |
| offer of revenue from the operation of video gaming under this | 9 |
| Act to any licensee licensed under the Illinois Horse Racing | 10 |
| Act of 1975. Provided, however, that the licensed establishment | 11 |
| that has such a contractual relationship with an inter-track | 12 |
| wagering location licensee may not, itself, be (i) an | 13 |
| inter-track wagering location licensee, (ii) the corporate | 14 |
| parent or subsidiary of any licensee licensed under the | 15 |
| Illinois Horse Racing Act of 1975, or (iii) the corporate | 16 |
| subsidiary of a corporation that is also the corporate parent | 17 |
| or subsidiary of any licensee licensed under the Illinois Horse | 18 |
| Racing Act of 1975 . "Licensed establishment" does not include a | 19 |
| facility operated by an organization licensee, an inter-track | 20 |
| intertrack wagering licensee, or an inter-track intertrack | 21 |
| wagering location licensee licensed under the Illinois Horse | 22 |
| Racing Act of 1975 or a riverboat licensed under the Riverboat | 23 |
| Gambling Act , except as provided in this paragraph .
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| "Licensed fraternal establishment" means the location | 25 |
| where a qualified
fraternal organization that derives its | 26 |
| charter from a national fraternal
organization regularly |
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| meets.
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| "Licensed veterans establishment" means the location where | 3 |
| a qualified
veterans organization that derives its charter from | 4 |
| a national veterans
organization regularly meets.
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| "Licensed truck stop establishment" means a facility that | 6 |
| is at least a
3-acre facility with a convenience store and with | 7 |
| separate diesel
islands for fueling commercial motor vehicles | 8 |
| and parking spaces for commercial
motor vehicles as defined in | 9 |
| Section 18b-101 of the Illinois Vehicle Code.
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| (Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09.)
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| (230 ILCS 40/25)
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| Sec. 25. Restriction of licensees.
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| (a) Manufacturer. A person may not be licensed as a | 14 |
| manufacturer of a
video gaming terminal in Illinois unless the | 15 |
| person has a valid
manufacturer's license issued
under this | 16 |
| Act. A manufacturer may only sell video gaming terminals for | 17 |
| use
in Illinois to
persons having a valid distributor's | 18 |
| license.
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| (b) Distributor. A person may not sell, distribute, or | 20 |
| lease
or market a video gaming terminal in Illinois unless the | 21 |
| person has a valid
distributor's
license issued under this Act. | 22 |
| A distributor may only sell video gaming
terminals for use in
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| Illinois to persons having a valid distributor's or terminal | 24 |
| operator's
license.
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| (c) Terminal operator. A person may not own, maintain, or |
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| place a video gaming terminal unless he has a valid terminal | 2 |
| operator's
license issued
under this Act. A terminal operator | 3 |
| may only place video gaming terminals for
use in
Illinois in | 4 |
| licensed establishments, licensed truck stop establishments, | 5 |
| licensed fraternal establishments,
and
licensed veterans | 6 |
| establishments.
No terminal operator may give anything of | 7 |
| value, including but not limited to
a loan or financing | 8 |
| arrangement, to a licensed establishment, licensed truck stop | 9 |
| establishment,
licensed fraternal establishment, or licensed | 10 |
| veterans establishment as
any incentive or inducement to locate | 11 |
| video terminals in that establishment.
Of the after-tax profits
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| from a video gaming terminal, 50% shall be paid to the terminal
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| operator and 50% shall be paid to the licensed establishment, | 14 |
| licensed truck stop establishment,
licensed fraternal | 15 |
| establishment, or
licensed veterans establishment, | 16 |
| notwithstanding nothwithstanding any agreement to the | 17 |
| contrary.
No terminal
operator may own or have a substantial | 18 |
| interest in more than 5% of the video
gaming terminals licensed | 19 |
| in this State. A video terminal operator that violates one or | 20 |
| more requirements of this subsection is guilty of a Class 4 | 21 |
| felony and is subject to termination of his or her license by | 22 |
| the Board.
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| (d) Licensed technician. A person may not service, | 24 |
| maintain, or repair a
video gaming terminal
in this State | 25 |
| unless he or she (1) has a valid technician's license issued
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| under this Act, (2) is a terminal operator, or (3) is employed |
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| by a terminal
operator, distributor, or manufacturer.
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| (d-5) Licensed terminal handler. No person, including, but | 3 |
| not limited to, an employee or independent contractor working | 4 |
| for a manufacturer, distributor, supplier, technician, or | 5 |
| terminal operator licensed pursuant to this Act, shall have | 6 |
| possession or control of a video gaming terminal, or access to | 7 |
| the inner workings of a video gaming terminal, unless that | 8 |
| person possesses a valid terminal handler's license issued | 9 |
| under this Act. | 10 |
| (e) Licensed establishment. No video gaming terminal may be | 11 |
| placed in any licensed establishment, licensed veterans | 12 |
| establishment, licensed truck stop establishment,
or licensed | 13 |
| fraternal establishment
unless the owner
or agent of the owner | 14 |
| of the licensed establishment, licensed veterans | 15 |
| establishment, licensed truck stop establishment, or licensed
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| fraternal establishment has entered into a
written use | 17 |
| agreement with the terminal operator for placement of the
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| terminals. A copy of the use agreement shall be on file in the | 19 |
| terminal
operator's place of business and available for | 20 |
| inspection by individuals
authorized by the Board. A licensed | 21 |
| establishment, licensed truck stop establishment, licensed | 22 |
| veterans establishment,
or
licensed
fraternal
establishment | 23 |
| may operate up to 5 video gaming terminals on its premises at | 24 |
| any
time.
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| (f) (Blank).
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| (g) Financial interest restrictions.
As used in this Act, |
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| "substantial interest" in a partnership, a corporation, an
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| organization, an association, or a business means:
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| (A) When, with respect to a sole proprietorship, an | 4 |
| individual or
his or her spouse owns, operates, | 5 |
| manages, or conducts, directly
or indirectly, the | 6 |
| organization, association, or business, or any part | 7 |
| thereof;
or
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| (B) When, with respect to a partnership, the | 9 |
| individual or his or
her spouse shares in any of the | 10 |
| profits, or potential profits,
of the partnership | 11 |
| activities; or
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| (C) When, with respect to a corporation, an | 13 |
| individual or his or her
spouse is an officer or | 14 |
| director, or the individual or his or her spouse is a | 15 |
| holder, directly or beneficially, of 5% or more of any | 16 |
| class
of stock of the corporation; or
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| (D) When, with respect to an organization not | 18 |
| covered in (A), (B) or
(C) above, an individual or his | 19 |
| or her spouse is an officer or manages the
business | 20 |
| affairs, or the individual or his or her spouse is the
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| owner of or otherwise controls 10% or more of the | 22 |
| assets of the organization;
or
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| (E) When an individual or his or her spouse | 24 |
| furnishes
5% or more of the capital, whether in cash, | 25 |
| goods, or services, for the
operation of any business, | 26 |
| association, or organization during any calendar
year.
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| (h) Location restriction. A licensed establishment, | 2 |
| licensed truck stop establishment, licensed
fraternal
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| establishment, or licensed veterans establishment that is (i) | 4 |
| located within 1,000
feet of a facility operated by an | 5 |
| organizational licensee or , an inter-track intertrack wagering | 6 |
| licensee , an intertrack wagering location licensee licensed | 7 |
| under the Illinois Horse Racing Act of 1975 , or the home dock | 8 |
| of a riverboat licensed under the Riverboat
Gambling Act or | 9 |
| (ii) located within with a 100 feet of a school or a place of | 10 |
| worship under the Religious Corporation Act, is ineligible to | 11 |
| operate a video gaming terminal.
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| (i) The provisions of the Illinois Antitrust Act are fully | 13 |
| and equally applicable to the activities of any licensee under | 14 |
| this Act.
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| (Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-38, | 16 |
| eff. 7-13-09; revised 8-17-09.)
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| Section 99. Effective date. This Act takes effect upon | 18 |
| becoming law.
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