Full Text of HB4128 95th General Assembly
HB4128eng 95TH GENERAL ASSEMBLY
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| AN ACT concerning State government.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Lottery Law is amended by adding | 5 |
| Sections 7.12, 7.13, 7.14, and 27.5 as follows: | 6 |
| (20 ILCS 1605/7.12 new) | 7 |
| Sec. 7.12. Internet Lottery game program. | 8 |
| (a) The Department shall establish and maintain an Internet | 9 |
| lottery game program that allows an eligible person to purchase | 10 |
| lottery tickets through the Internet through the services of a | 11 |
| private Internet agent. The Department must propose rules to | 12 |
| the General Assembly necessary for the administration of this | 13 |
| program. The provisions of this Section and the proposed rules | 14 |
| adopted
under this Section apply to the sale of lottery tickets | 15 |
| under this program. | 16 |
| (b) The Department shall select a private Internet agent | 17 |
| under the standards and qualifications described in Section | 18 |
| 7.13 to operate the real-time and secure payment option system | 19 |
| that may be used for the purposes of this program. | 20 |
| (c) All non-scratch-ticket Lottery games offered by the | 21 |
| Department shall be offered to Internet players, and additional | 22 |
| lottery games may be offered through the electronic | 23 |
| distribution. |
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| (d) A person who purchases a ticket through the program | 2 |
| shall be notified electronically of their prize winnings. A | 3 |
| prize in an amount less than $600 must be deposited directly | 4 |
| into the winner's bank account. The payment of a prize in an | 5 |
| amount of $600 or more may be made only by the Director. | 6 |
| (e) The Department's proposed rules must include a | 7 |
| determination of which games may be played online and shall | 8 |
| limit the persons authorized to purchase tickets online to only | 9 |
| eligible residents of this State in compliance with the federal | 10 |
| Unlawful Internet Gambling Enforcement Act of 2006. | 11 |
| (f) The Department shall, in compliance with the federal | 12 |
| Unlawful Internet Gambling Enforcement Act of 2006, establish a | 13 |
| procedure to verify that a person is 18 years of age or older | 14 |
| before he or she may establish an online lottery account and | 15 |
| purchase lottery tickets through the Internet program. The | 16 |
| Department's proposed rules must adopt standards to prevent the | 17 |
| unauthorized use of online lottery accounts. | 18 |
| (g) The Department's proposed rules may establish a | 19 |
| limitation on monthly purchases that may be made through any | 20 |
| individual lottery account. | 21 |
| (20 ILCS 1605/7.13 new) | 22 |
| Sec. 7.13. Operation of the Internet game program. | 23 |
| (a) The Department shall enter into a contract with a | 24 |
| private Internet agent to sell lottery tickets through the | 25 |
| Internet through the services of a private Internet agent. In |
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| addition to any other reasonable qualifications required by the | 2 |
| Department, the private Internet agent must: | 3 |
| (1) demonstrate extensive experience in handling | 4 |
| secure Internet financial transactions on a real time | 5 |
| basis; | 6 |
| (2) possess the ability to maintain an Internet site in | 7 |
| compliance with the best industry standards with respect to | 8 |
| security and the protection of personal information; | 9 |
| (3) possess a demonstrable ability to create and | 10 |
| maintain an Internet site and subsites with a high volume | 11 |
| of use and meet or exceed electronic security standards | 12 |
| within the electronic payment or transfer industry such as | 13 |
| a SAS 70 Type II review; and | 14 |
| (4) submit to the Department a history of financial | 15 |
| accountability and comply with generally accepted | 16 |
| accounting principles. | 17 |
| (b) The private Internet agent, with the cooperation and | 18 |
| approval of the Department, must establish procedures to | 19 |
| establish accounts and unique identification numbers for each | 20 |
| player using the Internet and to verify the age, address, and | 21 |
| payment method of each of those players. | 22 |
| (c) The private Internet agent is entitled to earn and | 23 |
| collect a reasonable transaction fee that is paid by the player
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| who establishes and plays through an online account, and the | 25 |
| private Internet agent is also entitled to the winning bonus | 26 |
| for selling a winning ticket as approved and set under the Act. |
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| (d) The private Internet agent must deliver to the | 2 |
| Department all moneys collected through the Internet | 3 |
| transactions within 48 hours after their receipt. The private | 4 |
| Internet agent must deliver to the Department records of all | 5 |
| sales transactions from which those moneys were collected on a | 6 |
| real time basis or as required by the Department. The private | 7 |
| Internet agent may deduct its fees before delivering the funds | 8 |
| to the Department. | 9 |
| (20 ILCS 1605/7.14 new) | 10 |
| Sec. 7.14. Creation of Internet Lottery accounts. | 11 |
| (a) Any person who is eligible to participate in the | 12 |
| Internet Lottery game program may create a secure individual | 13 |
| lottery account that is accessible through the Internet or by | 14 |
| other secure electronic means. In order to establish an | 15 |
| individual lottery account, a person must apply to the | 16 |
| Department. | 17 |
| An applicant that applies in person must present a valid | 18 |
| Illinois driver's license with current address or an official | 19 |
| State-issued identification card. The Department shall verify | 20 |
| that the person is 18 years of age or older. The person must be | 21 |
| issued an application form in person, to be approved by the | 22 |
| Department or its approved private Internet agent, containing | 23 |
| the applicant's name, address, age, driver's license number, or | 24 |
| the number of an official state approved identification card; | 25 |
| an email address and the applicant's last 4 digits of his or |
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| her social security number as well as other information that | 2 |
| may be required by the Department or the private Internet | 3 |
| agent. | 4 |
| An applicant may also establish an individual lottery | 5 |
| account by registering online through an approved Illinois | 6 |
| Lottery website and filling out the electronic application
form | 7 |
| via the Internet. The application shall be approved by the | 8 |
| Department or its approved private Internet agent, containing | 9 |
| the applicant's name, address, age, driver's license number, or | 10 |
| the number of an official state-approved identification card, | 11 |
| an e-mail address, and the applicant's last 4 digits of his or | 12 |
| her social security number. The private Internet agent shall | 13 |
| verify the person's name, age, address, and driver's license or | 14 |
| identification card number pursuant to the procedures set forth | 15 |
| in the rules adopted by the Department, subject to Section | 16 |
| 27.5. Any such procedures that involve the use of information | 17 |
| maintained by the Secretary of State must be approved by the | 18 |
| Secretary of State. | 19 |
| (b) The individual lottery account may not be activated | 20 |
| until the person goes online and follows the activation and | 21 |
| funding procedure to be established by the Department. Each new | 22 |
| account holder must be issued electronically a unique | 23 |
| individual lottery access number that will prevent others from | 24 |
| accessing his or her individual lottery account. | 25 |
| (c) The Department is authorized and directed to devise a | 26 |
| method pursuant to which a person who has activated and funded |
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| an individual lottery account is allowed to purchase lottery | 2 |
| tickets or shares by using public or private computer terminals | 3 |
| or other electronic devices or means. | 4 |
| (20 ILCS 1605/27.5 new) | 5 |
| Sec. 27.5. No rulemaking authority. Notwithstanding any | 6 |
| other provision of this Act or any other rulemaking authority | 7 |
| that may exist, on and after the effective date of this | 8 |
| amendatory Act of the 95th General Assembly, neither the | 9 |
| Governor nor any agency or agency head under the jurisdiction | 10 |
| of the Governor has any authority to make or promulgate rules | 11 |
| to implement or enforce the provisions of this Act. If, | 12 |
| however, the Department believes that rules are necessary to | 13 |
| implement or enforce the provisions of this Act, the Department | 14 |
| may suggest rules to the General Assembly by filing them with | 15 |
| the Clerk of the House and Secretary of the Senate and by | 16 |
| requesting that the General Assembly authorize such rulemaking | 17 |
| by law, enact those suggested rules into law, or take any other | 18 |
| appropriate action in the General Assembly's discretion. | 19 |
| Nothing contained in this Act shall be interpreted to grant | 20 |
| rulemaking authority under any other Illinois statute where | 21 |
| such authority is not otherwise explicitly given. For the | 22 |
| purposes of this Act, "rules" is given the meaning contained in | 23 |
| Section 1-70 of the Illinois Administrative Procedure Act, and | 24 |
| "agency" and "agency head" are given the meanings contained in | 25 |
| Sections 1-20 and 1-25 of the Illinois Administrative Procedure |
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| Act to the extent that such definitions apply to agencies or | 2 |
| agency heads under the jurisdiction of the Governor.
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| Section 99. Effective date. This Act takes effect upon | 4 |
| becoming law.
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