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91_SB0520
LRB9103665LDpr
1 AN ACT to amend the Riverboat Gambling Act by changing
2 Section 5.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Riverboat Gambling Act is amended by
6 changing Section 5 as follows:
7 (230 ILCS 10/5) (from Ch. 120, par. 2405)
8 Sec. 5. Gaming Board.
9 (a) (1) There is hereby established within the
10 Department of Revenue an Illinois Gaming Board which shall
11 have the powers and duties specified in this Act, and all
12 other powers necessary and proper to fully and effectively
13 execute this Act for the purpose of administering,
14 regulating, and enforcing the system of riverboat gambling
15 established by this Act. Its jurisdiction shall extend under
16 this Act to every person, association, corporation,
17 partnership and trust involved in riverboat gambling
18 operations in the State of Illinois.
19 (2) The Board shall consist of 7 5 members to be
20 appointed by the Governor with the advice and consent of the
21 Senate, one of whom shall be designated by the Governor to be
22 chairman. Each member shall have a reasonable knowledge of
23 the practice, procedure and principles of gambling
24 operations. Each member shall either be a resident of
25 Illinois or shall certify that he will become a resident of
26 Illinois before taking office. At least one member shall be
27 experienced in law enforcement and criminal investigation, at
28 least one member shall be a certified public accountant
29 experienced in accounting and auditing, and at least one
30 member shall be a lawyer licensed to practice law in Illinois
31 , and at least one member shall be a person verified by the
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1 National Counsel on Problem Gambling or by its State
2 affiliate, the Illinois Counsel on Problem and Compulsive
3 Gambling, as either a person who has been in a recovery or
4 treatment program for compulsive gambling for at least 10
5 years or an individual with specialized knowledge or
6 experience in the field of pathological gambling.
7 (3) The terms of office of the Board members shall be 3
8 years, except that the terms of office of the initial Board
9 members appointed pursuant to this Act will commence from the
10 effective date of this Act and run as follows: one for a
11 term ending July 1, 1991, 2 for a term ending July 1, 1992,
12 and 2 for a term ending July 1, 1993. The terms of office of
13 the initial Board members appointed under this amendatory Act
14 of 1999 will commence from the effective date of this
15 amendatory Act of 1999 and run until July 1, 2002.Upon the
16 expiration of the foregoing terms, the successors of such
17 members shall serve a term for 3 years and until their
18 successors are appointed and qualified for like terms.
19 Vacancies in the Board shall be filled for the unexpired term
20 in like manner as original appointments. Each member of the
21 Board shall be eligible for reappointment at the discretion
22 of the Governor with the advice and consent of the Senate.
23 (4) Each member of the Board shall receive $300 for each
24 day the Board meets and for each day the member conducts any
25 hearing pursuant to this Act. Each member of the Board shall
26 also be reimbursed for all actual and necessary expenses and
27 disbursements incurred in the execution of official duties.
28 (5) No person shall be appointed a member of the Board
29 or continue to be a member of the Board who is, or whose
30 spouse, child or parent is, a member of the board of
31 directors of, or a person financially interested in, any
32 gambling operation subject to the jurisdiction of this Board,
33 or any race track, race meeting, racing association or the
34 operations thereof subject to the jurisdiction of the
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1 Illinois Racing Board. No Board member shall hold any other
2 public office for which he shall receive compensation other
3 than necessary travel or other incidental expenses. No
4 person shall be a member of the Board who is not of good
5 moral character or who has been convicted of, or is under
6 indictment for, a felony under the laws of Illinois or any
7 other state, or the United States.
8 (6) Any member of the Board may be removed by the
9 Governor for neglect of duty, misfeasance, malfeasance, or
10 nonfeasance in office.
11 (7) Before entering upon the discharge of the duties of
12 his office, each member of the Board shall take an oath that
13 he will faithfully execute the duties of his office according
14 to the laws of the State and the rules and regulations
15 adopted therewith and shall give bond to the State of
16 Illinois, approved by the Governor, in the sum of $25,000.
17 Every such bond, when duly executed and approved, shall be
18 recorded in the office of the Secretary of State. Whenever
19 the Governor determines that the bond of any member of the
20 Board has become or is likely to become invalid or
21 insufficient, he shall require such member forthwith to renew
22 his bond, which is to be approved by the Governor. Any
23 member of the Board who fails to take oath and give bond
24 within 30 days from the date of his appointment, or who fails
25 to renew his bond within 30 days after it is demanded by the
26 Governor, shall be guilty of neglect of duty and may be
27 removed by the Governor. The cost of any bond given by any
28 member of the Board under this Section shall be taken to be a
29 part of the necessary expenses of the Board.
30 (8) Upon the request of the Board, the Department shall
31 employ such personnel as may be necessary to carry out the
32 functions of the Board. No person shall be employed to serve
33 the Board who is, or whose spouse, parent or child is, an
34 official of, or has a financial interest in or financial
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1 relation with, any operator engaged in gambling operations
2 within this State or any organization engaged in conducting
3 horse racing within this State. Any employee violating these
4 prohibitions shall be subject to termination of employment.
5 (9) An Administrator shall perform any and all duties
6 that the Board shall assign him. The salary of the
7 Administrator shall be determined by the Board and approved
8 by the Director of the Department and, in addition, he shall
9 be reimbursed for all actual and necessary expenses incurred
10 by him in discharge of his official duties. The
11 Administrator shall keep records of all proceedings of the
12 Board and shall preserve all records, books, documents and
13 other papers belonging to the Board or entrusted to its care.
14 The Administrator shall devote his full time to the duties of
15 the office and shall not hold any other office or employment.
16 (b) The Board shall have general responsibility for the
17 implementation of this Act. Its duties include, without
18 limitation, the following:
19 (1) To decide promptly and in reasonable order all
20 license applications. Any party aggrieved by an action of
21 the Board denying, suspending, revoking, restricting or
22 refusing to renew a license may request a hearing before
23 the Board. A request for a hearing must be made to the
24 Board in writing within 5 days after service of notice of
25 the action of the Board. Notice of the action of the
26 Board shall be served either by personal delivery or by
27 certified mail, postage prepaid, to the aggrieved party.
28 Notice served by certified mail shall be deemed complete
29 on the business day following the date of such mailing.
30 The Board shall conduct all requested hearings promptly
31 and in reasonable order;
32 (2) To conduct all hearings pertaining to civil
33 violations of this Act or rules and regulations
34 promulgated hereunder;
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1 (3) To promulgate such rules and regulations as in
2 its judgment may be necessary to protect or enhance the
3 credibility and integrity of gambling operations
4 authorized by this Act and the regulatory process
5 hereunder;
6 (4) To provide for the establishment and collection
7 of all license and registration fees and taxes imposed by
8 this Act and the rules and regulations issued pursuant
9 hereto. All such fees and taxes shall be deposited into
10 the State Gaming Fund;
11 (5) To provide for the levy and collection of
12 penalties and fines for the violation of provisions of
13 this Act and the rules and regulations promulgated
14 hereunder. All such fines and penalties shall be
15 deposited into the Education Assistance Fund, created by
16 Public Act 86-0018, of the State of Illinois;
17 (6) To be present through its inspectors and agents
18 any time gambling operations are conducted on any
19 riverboat for the purpose of certifying the revenue
20 thereof, receiving complaints from the public, and
21 conducting such other investigations into the conduct of
22 the gambling games and the maintenance of the equipment
23 as from time to time the Board may deem necessary and
24 proper;
25 (7) To review and rule upon any complaint by a
26 licensee regarding any investigative procedures of the
27 State which are unnecessarily disruptive of gambling
28 operations. The need to inspect and investigate shall be
29 presumed at all times. The disruption of a licensee's
30 operations shall be proved by clear and convincing
31 evidence, and establish that: (A) the procedures had no
32 reasonable law enforcement purposes, and (B) the
33 procedures were so disruptive as to unreasonably inhibit
34 gambling operations;
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1 (8) To hold at least one meeting each quarter of
2 the fiscal year. In addition, special meetings may be
3 called by the Chairman or any 2 Board members upon 72
4 hours written notice to each member. All Board meetings
5 shall be subject to the Open Meetings Act. Three members
6 of the Board shall constitute a quorum, and 3 votes shall
7 be required for any final determination by the Board.
8 The Board shall keep a complete and accurate record of
9 all its meetings. A majority of the members of the Board
10 shall constitute a quorum for the transaction of any
11 business, for the performance of any duty, or for the
12 exercise of any power which this Act requires the Board
13 members to transact, perform or exercise en banc, except
14 that, upon order of the Board, one of the Board members
15 or an administrative law judge designated by the Board
16 may conduct any hearing provided for under this Act or by
17 Board rule and may recommend findings and decisions to
18 the Board. The Board member or administrative law judge
19 conducting such hearing shall have all powers and rights
20 granted to the Board in this Act. The record made at the
21 time of the hearing shall be reviewed by the Board, or a
22 majority thereof, and the findings and decision of the
23 majority of the Board shall constitute the order of the
24 Board in such case;
25 (9) To maintain records which are separate and
26 distinct from the records of any other State board or
27 commission. Such records shall be available for public
28 inspection and shall accurately reflect all Board
29 proceedings;
30 (10) To file a written annual report with the
31 Governor on or before March 1 each year and such
32 additional reports as the Governor may request. The
33 annual report shall include a statement of receipts and
34 disbursements by the Board, actions taken by the Board,
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1 and any additional information and recommendations which
2 the Board may deem valuable or which the Governor may
3 request;
4 (11) To review the patterns of wagering and wins
5 and losses by persons on riverboat gambling operations
6 under this Act, and make recommendation to the Governor
7 and the General Assembly, by January 31, 1992, as to
8 whether limits on wagering losses should be imposed; and
9 (12) To assume responsibility for the
10 administration and enforcement of the Bingo License and
11 Tax Act, the Charitable Games Act, and the Pull Tabs and
12 Jar Games Act if such responsibility is delegated to it
13 by the Director of Revenue.
14 (c) The Board shall have jurisdiction over and shall
15 supervise all gambling operations governed by this Act. The
16 Board shall have all powers necessary and proper to fully and
17 effectively execute the provisions of this Act, including,
18 but not limited to, the following:
19 (1) To investigate applicants and determine the
20 eligibility of applicants for licenses and to select
21 among competing applicants the applicants which best
22 serve the interests of the citizens of Illinois.
23 (2) To have jurisdiction and supervision over all
24 riverboat gambling operations in this State and all
25 persons on riverboats where gambling operations are
26 conducted.
27 (3) To promulgate rules and regulations for the
28 purpose of administering the provisions of this Act and
29 to prescribe rules, regulations and conditions under
30 which all riverboat gambling in the State shall be
31 conducted. Such rules and regulations are to provide for
32 the prevention of practices detrimental to the public
33 interest and for the best interests of riverboat
34 gambling, including rules and regulations regarding the
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1 inspection of such riverboats and the review of any
2 permits or licenses necessary to operate a riverboat
3 under any laws or regulations applicable to riverboats,
4 and to impose penalties for violations thereof.
5 (4) To enter the office, riverboats, facilities, or
6 other places of business of a licensee, where evidence of
7 the compliance or noncompliance with the provisions of
8 this Act is likely to be found.
9 (5) To investigate alleged violations of this Act
10 or the rules of the Board and to take appropriate
11 disciplinary action against a licensee or a holder of an
12 occupational license for a violation, or institute
13 appropriate legal action for enforcement, or both.
14 (6) To adopt standards for the licensing of all
15 persons under this Act, as well as for electronic or
16 mechanical gambling games, and to establish fees for such
17 licenses.
18 (7) To adopt appropriate standards for all
19 riverboats and facilities.
20 (8) To require that the records, including
21 financial or other statements of any licensee under this
22 Act, shall be kept in such manner as prescribed by the
23 Board and that any such licensee involved in the
24 ownership or management of gambling operations submit to
25 the Board an annual balance sheet and profit and loss
26 statement, list of the stockholders or other persons
27 having a 1% or greater beneficial interest in the
28 gambling activities of each licensee, and any other
29 information the Board deems necessary in order to
30 effectively administer this Act and all rules,
31 regulations, orders and final decisions promulgated under
32 this Act.
33 (9) To conduct hearings, issue subpoenas for the
34 attendance of witnesses and subpoenas duces tecum for the
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1 production of books, records and other pertinent
2 documents in accordance with the Illinois Administrative
3 Procedure Act, and to administer oaths and affirmations
4 to the witnesses, when, in the judgment of the Board, it
5 is necessary to administer or enforce this Act or the
6 Board rules.
7 (10) To prescribe a form to be used by any licensee
8 involved in the ownership or management of gambling
9 operations as an application for employment for their
10 employees.
11 (11) To revoke or suspend licenses, as the Board
12 may see fit and in compliance with applicable laws of the
13 State regarding administrative procedures, and to review
14 applications for the renewal of licenses. The Board may
15 suspend an owners license, without notice or hearing upon
16 a determination that the safety or health of patrons or
17 employees is jeopardized by continuing a riverboat's
18 operation. The suspension may remain in effect until the
19 Board determines that the cause for suspension has been
20 abated. The Board may revoke the owners license upon a
21 determination that the owner has not made satisfactory
22 progress toward abating the hazard.
23 (12) To eject or exclude or authorize the ejection
24 or exclusion of, any person from riverboat gambling
25 facilities where such person is in violation of this Act,
26 rules and regulations thereunder, or final orders of the
27 Board, or where such person's conduct or reputation is
28 such that his presence within the riverboat gambling
29 facilities may, in the opinion of the Board, call into
30 question the honesty and integrity of the gambling
31 operations or interfere with orderly conduct thereof;
32 provided that the propriety of such ejection or exclusion
33 is subject to subsequent hearing by the Board.
34 (13) To require all licensees of gambling
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1 operations to utilize a cashless wagering system whereby
2 all players' money is converted to tokens, electronic
3 cards, or chips which shall be used only for wagering in
4 the gambling establishment.
5 (14) To authorize the routes of a riverboat and the
6 stops which a riverboat may make.
7 (15) To suspend, revoke or restrict licenses, to
8 require the removal of a licensee or an employee of a
9 licensee for a violation of this Act or a Board rule or
10 for engaging in a fraudulent practice, and to impose
11 civil penalties of up to $5,000 against individuals and
12 up to $10,000 or an amount equal to the daily gross
13 receipts, whichever is larger, against licensees for each
14 violation of any provision of the Act, any rules adopted
15 by the Board, any order of the Board or any other action
16 which, in the Board's discretion, is a detriment or
17 impediment to riverboat gambling operations.
18 (16) To hire employees to gather information,
19 conduct investigations and carry out any other tasks
20 contemplated under this Act.
21 (17) To establish minimum levels of insurance to be
22 maintained by licensees.
23 (18) To authorize a licensee to sell or serve
24 alcoholic liquors, wine or beer as defined in the Liquor
25 Control Act of 1934 on board a riverboat and to have
26 exclusive authority to establish the hours for sale and
27 consumption of alcoholic liquor on board a riverboat,
28 notwithstanding any provision of the Liquor Control Act
29 of 1934 or any local ordinance. The establishment of the
30 hours for sale and consumption of alcoholic liquor on
31 board a riverboat is an exclusive power and function of
32 the State. A home rule unit may not establish the hours
33 for sale and consumption of alcoholic liquor on board a
34 riverboat. This amendatory Act of 1991 is a denial and
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1 limitation of home rule powers and functions under
2 subsection (h) of Section 6 of Article VII of the
3 Illinois Constitution.
4 (19) After consultation with the U.S. Army Corps of
5 Engineers, to establish binding emergency orders upon the
6 concurrence of a majority of the members of the Board
7 regarding the navigability of rivers in the event of
8 extreme weather conditions, acts of God or other extreme
9 circumstances.
10 (20) To delegate the execution of any of its powers
11 under this Act for the purpose of administering and
12 enforcing this Act and its rules and regulations
13 hereunder.
14 (21) To take any other action as may be reasonable
15 or appropriate to enforce this Act and rules and
16 regulations hereunder.
17 (d) The Board may seek and shall receive the cooperation
18 of the Department of State Police in conducting background
19 investigations of applicants and in fulfilling its
20 responsibilities under this Section. Costs incurred by the
21 Department of State Police as a result of such cooperation
22 shall be paid by the Board in conformance with the
23 requirements of subsection 22 of Section 55a of The Civil
24 Administrative Code of Illinois.
25 (Source: P.A. 86-1029; 86-1389; 87-826.)