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Public Act 097-0464 | ||||
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AN ACT concerning State government.
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Be it enacted by the People of the State of Illinois, | ||||
represented in the General Assembly:
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Section 5. The Civil Administrative Code of Illinois is | ||||
amended by changing Sections 5-20 and 5-175 as follows:
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(20 ILCS 5/5-20) (was 20 ILCS 5/4)
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Sec. 5-20. Heads of departments. Each department shall have | ||||
an
officer as its head who shall
be known as director or | ||||
secretary and who shall, subject to the
provisions of the Civil | ||||
Administrative Code of Illinois,
execute the powers and | ||||
discharge the duties
vested by law in his or her respective | ||||
department.
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The following officers are hereby created:
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Director of Aging, for the Department on Aging.
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Director of Agriculture, for the Department of | ||||
Agriculture.
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Director of Central Management Services, for the | ||||
Department of Central
Management Services.
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Director of Children and Family Services, for the | ||||
Department of Children and
Family Services.
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Director of Commerce and Economic Opportunity, for
the | ||||
Department of Commerce
and Economic Opportunity.
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Director of Corrections, for the Department of |
Corrections.
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Director of the Illinois Emergency Management Agency, for | ||
the Illinois Emergency Management Agency.
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Director of Employment Security, for the Department of | ||
Employment Security.
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Secretary of Financial and Professional Regulation, for | ||
the Department of Financial and Professional Regulation.
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Director of Healthcare and Family Services, for the | ||
Department of Healthcare and Family Services.
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Director of Human Rights, for the Department of Human | ||
Rights.
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Secretary of Human Services, for the Department of Human | ||
Services.
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Director of the Illinois Power Agency, for the Illinois | ||
Power Agency.
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Director of Juvenile Justice, for the Department of | ||
Juvenile Justice.
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Director of Labor, for the Department of Labor.
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Director of the Lottery, for the Department of the Lottery.
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Director of Natural Resources, for the Department of | ||
Natural Resources.
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Director of Public Health, for the Department of Public | ||
Health.
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Director of Revenue, for the Department of Revenue.
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Director of State Police, for the Department of State | ||
Police.
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Secretary of Transportation, for the Department of | ||
Transportation.
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Director of Veterans' Affairs, for the Department of | ||
Veterans' Affairs.
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(Source: P.A. 95-331, eff. 8-21-07; 95-481, eff. 8-28-07; | ||
95-777, eff. 8-4-08; 96-328, eff. 8-11-09.)
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(20 ILCS 5/5-175) (was 20 ILCS 5/5.12)
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Sec. 5-175. In the Department of Revenue. Assistant | ||
Director of
Revenue ;
and State Lottery Superintendent .
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(Source: P.A. 91-239, eff. 1-1-00.)
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Section 10. The Illinois Lottery Law is amended by changing | ||
Sections 3, 4, 5, 6, 7.1, 7.6, 7.11, 7.12, 9, 9.1, 10, 10.1, | ||
10.1a, 10.2, 10.6, 10.7, 10.8, 12, 13, 14, 14.3, 19, 20.1, 21, | ||
21.5, 21.6, 21.7, 21.8, 26, and 27 and by adding Section 29 as | ||
follows: | ||
(20 ILCS 1605/3) (from Ch. 120, par. 1153) | ||
Sec. 3. For the purposes of this Act: | ||
a. "Lottery" or "State Lottery" means the lottery or | ||
lotteries
established and operated pursuant to this Act. | ||
b. "Board" means the Lottery Control Board created by this | ||
Act. | ||
c. "Department" means the Department of the Lottery | ||
Revenue . |
d. (Blank). "Director" means the Director of Revenue. | ||
e. "Chairman" means the Chairman of the Lottery Control | ||
Board. | ||
f. "Multi-state game directors" means such persons, | ||
including the
Superintendent, as may be designated by an
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agreement between the Department Division and one or more | ||
additional
lotteries operated under the laws of another state | ||
or states. | ||
g. (Blank). "Division" means the Division of the State | ||
Lottery of the Department of Revenue.
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h. "Superintendent" means the Superintendent of the | ||
Department Division of the State Lottery of the Department of | ||
Revenue .
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i. "Management agreement" means an agreement or contract | ||
between the Department on behalf of the State with a private | ||
manager, as an independent contractor, whereby the private | ||
manager provides management services to the Lottery in exchange | ||
for compensation that may consist of, among other things, a fee | ||
for services and a performance-based bonus of no more than 5% | ||
of Lottery profits so long as the Department continues to | ||
exercise actual control over all significant business | ||
decisions made by the private manager as set forth in Section | ||
9.1. | ||
j. "Person" means any individual, firm, association, joint | ||
venture, partnership, estate, trust, syndicate, fiduciary, | ||
corporation, or other legal entity, group, or combination. |
k. "Private manager" means a person that provides | ||
management services to the Lottery on behalf of the Department | ||
under a management agreement. | ||
l. "Profits" means total revenues accruing from the sale of | ||
lottery tickets or shares and related proceeds minus (1) the | ||
payment of prizes and retailer bonuses and (2) the payment of | ||
costs incurred in the operation and administration of the | ||
lottery, excluding costs of services directly rendered by a | ||
private manager. | ||
m. "Chief Procurement Officer" means the Chief Procurement | ||
Officer provided for under paragraph (4) of subsection (a) of | ||
Section 10-20 of the Illinois Procurement Code. | ||
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-840, | ||
eff. 12-23-09.)
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(20 ILCS 1605/4) (from Ch. 120, par. 1154)
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Sec. 4. The Department of the Lottery is
established to | ||
implement and regulate the State Lottery in the manner
provided | ||
in this Act. | ||
In accordance with Executive Order No. 9 (2003), the | ||
Division of the State Lottery is established within the | ||
Department of Revenue. Unless otherwise provided by law, the | ||
Division of the State Lottery shall be subject to and governed | ||
by all of the laws and rules applicable to the Department.
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(Source: P.A. 94-776, eff. 5-19-06.)
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(20 ILCS 1605/5) (from Ch. 120, par. 1155)
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Sec. 5. (a) The Department Division shall be under
the | ||
supervision and direction
of a Superintendent, who
shall be a | ||
person qualified by
training and experience to perform the | ||
duties required by this Act. The
Superintendent shall be | ||
appointed by the Governor, by and with the advice
and consent | ||
of the Senate. The term of office of the Superintendent shall
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expire on the third Monday of January in odd numbered years | ||
provided that
he or she shall hold office until a successor is | ||
appointed and qualified. The annual salary of the | ||
Superintendent is $142,000.
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Any vacancy occurring in the office of the Superintendent | ||
shall be
filled in the same manner as the original appointment. | ||
In case of a vacancy during the recess of the Senate, the | ||
Governor shall make a temporary appointment until the next | ||
meeting of the Senate, when the Governor shall nominate some | ||
person to fill the office, and any person so nominated who is | ||
confirmed by the Senate shall hold office during the remainder | ||
of the term and until his or her successor is appointed and | ||
qualified.
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During the absence or inability to act of the | ||
Superintendent, or in the case of a vacancy in the office of | ||
Superintendent until a successor is appointed and qualified, | ||
the Governor may designate some person as Acting Superintendent | ||
of the Lottery to execute the powers and discharge the duties | ||
vested by law in that office. A person who is designated as an |
Acting Superintendent shall not continue in office for more | ||
than 60 calendar days unless the Governor files a message with | ||
the Secretary of the Senate nominating that person to fill the | ||
office. After 60 calendar days, the office is considered vacant | ||
and shall be filled only under this Section. No person who has | ||
been appointed by the Governor to serve as Acting | ||
Superintendent shall, except at the Senate's request, be | ||
designated again as an Acting Superintendent at the same | ||
session of that Senate, subject to the provisions of this | ||
Section. A person appointed as an Acting Superintendent is not | ||
required to meet the requirements of paragraph (1) of | ||
subsection (b) of this Section. In no case may the Governor | ||
designate a person to serve as Acting Superintendent if that | ||
person has prior to the effective date of this amendatory Act | ||
of the 97th General Assembly exercised any of the duties and | ||
functions of the office of Superintendent without having been | ||
nominated by the Governor to serve as Superintendent. | ||
(b) The Superintendent shall devote his or her entire time | ||
and attention to the
duties of the office and shall not be | ||
engaged in any other profession or
occupation. The | ||
Superintendent shall receive such salary as shall be provided | ||
by law.
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The Superintendent shall: | ||
(1) be qualified by training and experience to direct a | ||
lottery, including, at a minimum, 5 years of senior | ||
executive-level experience in the successful advertising, |
marketing, and selling of consumer products, 4 years of | ||
successful experience directing a lottery on behalf of a | ||
governmental entity, or 5 years of successful senior-level | ||
management experience at a lottery on behalf of a | ||
governmental entity; | ||
(2) have significant and meaningful management and | ||
regulatory experience; and | ||
(3) have a good reputation, particularly as a person of | ||
honesty, independence, and integrity. | ||
The Superintendent shall not during his or her term of | ||
appointment: become a candidate for any elective office; hold | ||
any other elected or appointed public office; be actively | ||
involved in the affairs of any political party or political | ||
organization; advocate for the appointment of another person to | ||
an appointed or elected office or position; or actively | ||
participate in any campaign for any elective office. The | ||
Superintendent may be appointed to serve on a governmental | ||
advisory or board study commission or as otherwise expressly | ||
authorized by law. | ||
(c) No person shall perform the duties and functions of the | ||
Superintendent, or otherwise exercise the authority of the | ||
Superintendent, unless the same shall have been appointed by | ||
the Governor pursuant to this Section. | ||
(Source: P.A. 94-776, eff. 5-19-06.)
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(20 ILCS 1605/6) (from Ch. 120, par. 1156)
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Sec. 6.
There is hereby created an independent board to be | ||
known as the
Lottery Control Board, consisting of 5 members, | ||
all of whom shall be
citizens of the United States and | ||
residents of this State and shall be
appointed by the Governor | ||
with the advice and consent of the Senate. No
more than 3 of | ||
the 5 members shall be members of the same political
party. A | ||
chairman of the Board shall be chosen annually from the
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membership of the Board by a majority of the members of the | ||
Board at the
first meeting of the Board each fiscal year.
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Initial members shall be appointed to the Board by the | ||
Governor as
follows: one member to serve until July 1, 1974, | ||
and until his successor
is appointed and qualified; 2 members | ||
to serve until July 1, 1975, and
until their successors are | ||
appointed and qualified; 2 members to serve
until July 1, 1976, | ||
and until their successors are appointed and
qualified. As | ||
terms of members so appointed expire, their successors
shall be | ||
appointed for terms to expire the first day in July 3 years
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thereafter, and until their successors are appointed and | ||
qualified.
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Any vacancy in the Board occurring for any reason other | ||
than
expiration of term, shall be filled for the unexpired term | ||
in the same
manner as the original appointment.
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Any member of the Board may be removed by the Governor for | ||
neglect of
duty, misfeasance, malfeasance, or nonfeasance in | ||
office.
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Board members shall receive as compensation for their |
services $100
for each day they are in attendance at any | ||
official board meeting, but in
no event shall members receive | ||
more than $1,200 per year. They
shall receive no other | ||
compensation for their services, but shall be
reimbursed for | ||
necessary traveling and other reasonable expenses
incurred in | ||
the performance of their official duties. Each member shall
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make a full financial disclosure upon appointment.
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The Board shall hold at least one meeting each quarter of | ||
the fiscal
year. In addition,
special meetings may be called by | ||
the Chairman, any 2 Board members, or
the Superintendent | ||
Director of the Department, upon delivery of 72 hours'
written | ||
notice to the office of each member. All Board meetings shall | ||
be
open to the public pursuant to the Open Meetings Act.
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Three members of the Board shall constitute a quorum, and 3 | ||
votes
shall be required for any final determination by the | ||
Board. The Board
shall keep a complete and accurate record of | ||
all its meetings.
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(Source: P.A. 84-1128.)
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(20 ILCS 1605/7.1) (from Ch. 120, par. 1157.1)
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Sec. 7.1. The Department shall promulgate such rules and
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regulations governing the establishment
and operation of a | ||
State lottery as it deems necessary to carry out the
purposes | ||
of this Act. Such rules and regulations shall be subject to the
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provisions of The Illinois Administrative Procedure Act. The | ||
Department Division shall issue written game rules, play |
instructions, directives, operations manuals, brochures, or | ||
any other publications necessary to conduct specific games, as | ||
authorized by rule by the Department.
Any written game rules, | ||
play instructions, directives, operations manuals,
brochures, | ||
or other game publications issued by the Department Division | ||
that relate
to a specific lottery game shall be maintained as a | ||
public record in the
Department's Division's principal office, | ||
and made available for public inspection and
copying but shall | ||
be exempt from the rulemaking procedures of the Illinois
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Administrative Procedure Act. However, when such written | ||
materials contain
any policy of general applicability, the | ||
Department Division shall formulate and
adopt such policy as a | ||
rule in accordance with the provisions of the
Illinois | ||
Administrative Procedure Act. In addition, the Department | ||
Division shall
publish each January in the Illinois Register a | ||
list of all game-specific
rules, play instructions, | ||
directives, operations manuals, brochures, or
other | ||
game-specific publications issued by the Department Division | ||
during the
previous year and instructions concerning how the | ||
public may obtain copies
of these materials from the Department | ||
Division .
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(Source: P.A. 94-776, eff. 5-19-06.)
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(20 ILCS 1605/7.6) (from Ch. 120, par. 1157.6)
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Sec. 7.6. The Board shall advise and make recommendations | ||
to the
Superintendent or the Director regarding the functions |
and operations of the State Lottery. A copy of all
such | ||
recommendations shall also be forwarded to the Governor, the | ||
Attorney
General, the Speaker of the House, the President of | ||
the Senate and the
minority leaders of both houses.
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(Source: P.A. 94-776, eff. 5-19-06.)
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(20 ILCS 1605/7.11) (from Ch. 120, par. 1157.11)
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Sec. 7.11. The Department Division may establish and | ||
collect nominal charges
for promotional products ("premiums") | ||
and other promotional materials
produced or acquired by the | ||
Department Division as part of its advertising and
promotion | ||
activities. Such premiums or other promotional materials may be
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sold to individuals, government agencies and not-for-profit | ||
organizations,
but not to for-profit enterprises for the | ||
purpose of resale. Other State
agencies shall be charged no | ||
more than the cost to the Department Division of the
premium or | ||
promotional material. All proceeds from the sale of premiums or
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promotional materials shall be deposited in the State Lottery | ||
Fund in the
State Treasury.
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(Source: P.A. 94-776, eff. 5-19-06.)
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(20 ILCS 1605/7.12) | ||
Sec. 7.12. Internet pilot program. The General Assembly | ||
finds that: | ||
(1) the consumer market in Illinois has changed since | ||
the creation of the Illinois State Lottery in 1974; |
(2) the Internet has become an integral part of | ||
everyday life for a significant number of Illinois | ||
residents not only in regards to their professional life, | ||
but also in regards to personal business and communication; | ||
and | ||
(3) the current practices of selling lottery tickets | ||
does not appeal to the new form of market participants who | ||
prefer to make purchases on the internet at their own | ||
convenience. | ||
It is the intent of the General Assembly to create an | ||
Internet pilot program for the sale of lottery tickets to | ||
capture this new form of market participant. | ||
The Department shall create a pilot program that allows an | ||
individual 18 years of age or older to purchase lottery tickets | ||
or shares on the Internet without using a Lottery retailer with | ||
on-line status, as those terms are defined by rule. The | ||
Department shall restrict the sale of lottery tickets on the | ||
Internet to transactions initiated and received or otherwise | ||
made exclusively within the State of Illinois. The Department | ||
shall adopt rules necessary for the administration of this | ||
program. These rules shall include requirements for marketing | ||
of the Lottery to infrequent players. The provisions of this | ||
Act and the rules adopted under this Act shall apply to the | ||
sale of lottery tickets or shares under this program. | ||
Before beginning the pilot program, the Department of the | ||
Lottery Revenue must submit a request to the United States |
Department of Justice for review of the State's plan to | ||
implement a pilot program for the sale of lottery tickets on | ||
the Internet and its propriety under federal law. The | ||
Department shall implement the Internet pilot program only if | ||
the Department of Justice does not object to the implementation | ||
of the program within a reasonable period of time after its | ||
review. | ||
The Department is obligated to implement the pilot program | ||
set forth in this Section and Sections 7.15 and 7.16 only at | ||
such time, and to such extent, that the Department of Justice | ||
does not object to the implementation of the program within a | ||
reasonable period of time after its review. While the Illinois | ||
Lottery may only offer Lotto and Mega Millions games through | ||
the pilot program, the Department shall request review from the | ||
federal Department of Justice for the Illinois Lottery to sell | ||
lottery tickets on the Internet on behalf of the State of | ||
Illinois that are not limited to just these games. | ||
The Department shall authorize the private manager to | ||
implement and administer the program pursuant to the management | ||
agreement entered into under Section 9.1 and in a manner | ||
consistent with the provisions of this Section. If a private | ||
manager has not been selected pursuant to Section 9.1 at the | ||
time the Department is obligated to implement the pilot | ||
program, then the Department shall not proceed with the pilot | ||
program until after the selection of the private manager, at | ||
which time the Department shall authorize the private manager |
to implement and administer the program pursuant to the | ||
management agreement entered into under Section 9.1 and in a | ||
manner consistent with the provisions of this Section. | ||
The pilot program shall last for not less than 36 months, | ||
but not more than 48 months from the date of its initial | ||
operation. | ||
Nothing in this Section shall be construed as prohibiting | ||
the Department from implementing and operating a website portal | ||
whereby individuals who are 18 years of age or older with an | ||
Illinois mailing address may apply to purchase lottery tickets | ||
via subscription. | ||
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-840, | ||
eff. 12-23-09.)
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(20 ILCS 1605/9) (from Ch. 120, par. 1159)
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Sec. 9. The Superintendent, as administrative head of
the | ||
Department Division , shall direct and supervise all its | ||
administrative and
technical activities and shall report to the | ||
Director . In addition to the duties imposed upon him
elsewhere | ||
in this Act, it
shall be the Superintendent's duty:
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a. To supervise and administer the operation of the lottery | ||
in
accordance with the provisions of this Act or such
rules and | ||
regulations of the Department
adopted thereunder.
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b. To attend meetings of the Board or to appoint a designee | ||
to
attend in his stead.
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c. To employ and direct such personnel in accord with the |
Personnel Code,
as may be necessary to carry out the purposes | ||
of this Act. The Superintendent may, subject to the approval of | ||
the Director, use the services, personnel, or facilities of the | ||
Department.
In addition, the Superintendent
may by agreement | ||
secure such services as he or she may deem necessary
from any | ||
other department, agency, or unit of the State government, and
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may employ and compensate such consultants and technical | ||
assistants as may
be required and is otherwise permitted by | ||
law.
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d. To license, in accordance with the provisions of | ||
Sections 10 and 10.1
of this Act and the rules and regulations | ||
of the Department
adopted thereunder,
as agents to sell lottery | ||
tickets such persons as in his opinion will best
serve the | ||
public convenience and promote the sale of tickets or shares.
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The Superintendent may require a bond from every licensed | ||
agent, in such
amount as provided in the rules and regulations | ||
of the Department. Every licensed
agent shall prominently | ||
display his license, or a copy thereof, as provided
in the | ||
rules and regulations of the Department.
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e. To suspend or revoke any license issued pursuant to this | ||
Act or the
rules and regulations promulgated by the Department | ||
thereunder.
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f. To confer regularly as necessary or desirable and not
| ||
less than once
every month with the Lottery Control Board on | ||
the operation and administration
of the Lottery; to make | ||
available for inspection by the Board or any member
of the |
Board, upon request, all books, records, files, and other | ||
information
and documents of his office; to advise the Board | ||
and recommend such rules
and regulations and such other matters | ||
as he deems necessary and advisable
to improve the operation | ||
and administration of the lottery.
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g. To enter into contracts for the operation of the | ||
lottery, or any part
thereof, and into contracts for the | ||
promotion of the lottery on behalf of
the Department with any | ||
person, firm or corporation, to perform any of the
functions | ||
provided for in this Act or the rules and regulations | ||
promulgated
thereunder. The Department shall not expend State | ||
funds on a contractual
basis for such functions unless those | ||
functions and expenditures are expressly
authorized by the | ||
General Assembly.
| ||
h. To enter into an agreement or agreements with the | ||
management of state
lotteries operated pursuant to the laws of | ||
other states for the purpose of
creating and operating a | ||
multi-state lottery game wherein a separate and
distinct prize | ||
pool would be combined to award larger prizes to the public
| ||
than could be offered by the several state lotteries, | ||
individually. No
tickets or shares offered in connection with a | ||
multi-state lottery game
shall be sold within the State of | ||
Illinois, except those offered by and
through the Department. | ||
No such agreement shall purport to pledge the full
faith and | ||
credit of the State of Illinois, nor shall the Department | ||
expend
State funds on a contractual basis in connection with |
any such game unless
such expenditures are expressly authorized | ||
by the General Assembly,
provided, however, that in the event | ||
of error or omission by the Illinois
State Lottery in the | ||
conduct of the game, as determined by the multi-state
game | ||
directors, the Department shall be authorized to pay a prize | ||
winner or
winners the lesser of a disputed prize or $1,000,000, | ||
any such payment to
be made solely from funds appropriated for | ||
game prize purposes. The
Department shall be authorized to | ||
share in the ordinary operating expenses
of any such | ||
multi-state lottery game, from funds appropriated by the | ||
General Assembly,
and in the event the multi-state game control | ||
offices are physically
located within the State of Illinois, | ||
the Department is authorized to
advance start-up operating | ||
costs not to exceed $150,000, subject to
proportionate | ||
reimbursement of such costs by the other participating state
| ||
lotteries. The Department shall be authorized to share | ||
proportionately in
the costs of establishing a liability | ||
reserve fund from funds appropriated
by the General Assembly. | ||
The Department is authorized to transfer prize
award funds | ||
attributable to Illinois sales of multi-state lottery game | ||
tickets to
the multi-state control office, or its designated | ||
depository, for deposit
to such game pool account or accounts | ||
as may be established by the
multi-state game directors, the | ||
records of which account or accounts shall
be available at all | ||
times for inspection in an audit by the Auditor General
of | ||
Illinois and any other auditors pursuant to the laws of the |
State of
Illinois.
No multi-state game prize awarded to a | ||
nonresident of Illinois, with
respect to a ticket or share | ||
purchased in a state other than the State of
Illinois, shall be | ||
deemed to be a prize awarded under this Act for the
purpose of | ||
taxation under the Illinois Income Tax Act.
The Department | ||
shall promulgate such rules as may be appropriate to
implement | ||
the provisions of this Section.
| ||
i. To make a continuous study and investigation of (1) the | ||
operation and
the administration of similar laws which may be | ||
in effect in other states
or countries, (2) any literature on | ||
the subject which from time to time
may be published or | ||
available, (3) any Federal laws which may affect the
operation | ||
of the
lottery, and (4) the reaction of Illinois citizens to | ||
existing and potential
features of the lottery with a view to | ||
recommending or effecting changes
that will tend to serve the | ||
purposes of this Act.
| ||
j. To report monthly to the State Treasurer and the Lottery | ||
Control Board
a full and complete statement of lottery | ||
revenues, prize disbursements and
other expenses for each month | ||
and the amounts to be transferred to the Common
School Fund | ||
pursuant to Section 7.2 or such other funds as are otherwise
| ||
authorized by Section 21.2 of this Act, and to
make an annual | ||
report, which shall include a full and complete statement
of | ||
lottery revenues, prize disbursements and other expenses, to | ||
the Governor
and the Board. All reports required by this | ||
subsection shall be public
and copies of all
such reports shall |
be sent to the Speaker of the House, the President of
the | ||
Senate, and the minority leaders of both houses.
| ||
(Source: P.A. 96-37, eff. 7-13-09.)
| ||
(20 ILCS 1605/9.1) | ||
Sec. 9.1. Private manager and management agreement. | ||
(a) As used in this Section: | ||
"Offeror" means a person or group of persons that responds | ||
to a request for qualifications under this Section. | ||
"Request for qualifications" means all materials and | ||
documents prepared by the Department to solicit the following | ||
from offerors: | ||
(1) Statements of qualifications. | ||
(2) Proposals to enter into a management agreement, | ||
including the identity of any prospective vendor or vendors | ||
that the offeror intends to initially engage to assist the | ||
offeror in performing its obligations under the management | ||
agreement. | ||
"Final offer" means the last proposal submitted by an | ||
offeror in response to the request for qualifications, | ||
including the identity of any prospective vendor or vendors | ||
that the offeror intends to initially engage to assist the | ||
offeror in performing its obligations under the management | ||
agreement. | ||
"Final offeror" means the offeror ultimately selected by | ||
the Governor to be the private manager for the Lottery under |
subsection (h) of this Section. | ||
(b) By September 15, 2010, the Governor shall select a | ||
private manager for the total management of the Lottery with | ||
integrated functions, such as lottery game design, supply of | ||
goods and services, and advertising and as specified in this | ||
Section. | ||
(c) Pursuant to the terms of this subsection, the | ||
Department shall endeavor to expeditiously terminate the | ||
existing contracts in support of the Lottery in effect on the | ||
effective date of this amendatory Act of the 96th General | ||
Assembly in connection with the selection of the private | ||
manager. As part of its obligation to terminate these contracts | ||
and select the private manager, the Department shall establish | ||
a mutually agreeable timetable to transfer the functions of | ||
existing contractors to the private manager so that existing | ||
Lottery operations are not materially diminished or impaired | ||
during the transition. To that end, the Department shall do the | ||
following: | ||
(1) where such contracts contain a provision | ||
authorizing termination upon notice, the Department shall | ||
provide notice of termination to occur upon the mutually | ||
agreed timetable for transfer of functions; | ||
(2) upon the expiration of any initial term or renewal | ||
term of the current Lottery contracts, the Department shall | ||
not renew such contract for a term extending beyond the | ||
mutually agreed timetable for transfer of functions; or |
(3) in the event any current contract provides for | ||
termination of that contract upon the implementation of a | ||
contract with the private manager, the Department shall | ||
perform all necessary actions to terminate the contract on | ||
the date that coincides with the mutually agreed timetable | ||
for transfer of functions. | ||
If the contracts to support the current operation of the | ||
Lottery in effect on the effective date of this amendatory Act | ||
of the 96th General Assembly are not subject to termination as | ||
provided for in this subsection (c), then the Department may | ||
include a provision in the contract with the private manager | ||
specifying a mutually agreeable methodology for incorporation. | ||
(c-5) The Department shall include provisions in the | ||
management agreement whereby the private manager shall, for a | ||
fee, and pursuant to a contract negotiated with the Department | ||
(the "Employee Use Contract"), utilize the services of current | ||
Department employees to assist in the administration and | ||
operation of the Lottery. The Department shall be the employer | ||
of all such bargaining unit employees assigned to perform such | ||
work for the private manager, and such employees shall be State | ||
employees, as defined by the Personnel Code. Department | ||
employees shall operate under the same employment policies, | ||
rules, regulations, and procedures, as other employees of the | ||
Department. In addition, neither historical representation | ||
rights under the Illinois Public Labor Relations Act, nor | ||
existing collective bargaining agreements, shall be disturbed |
by the management agreement with the private manager for the | ||
management of the Lottery. | ||
(d) The management agreement with the private manager shall | ||
include all of the following: | ||
(1) A term not to exceed 10 years, including any | ||
renewals. | ||
(2) A provision specifying that the Department: | ||
(A) shall exercise actual control over all | ||
significant business decisions; | ||
(A-5) has the authority to direct or countermand | ||
operating decisions by the private manager at any time; | ||
(B) has ready access at any time to information | ||
regarding Lottery operations; | ||
(C) has the right to demand and receive information | ||
from the private manager concerning any aspect of the | ||
Lottery operations at any time; and | ||
(D) retains ownership of all trade names, | ||
trademarks, and intellectual property associated with | ||
the Lottery. | ||
(3) A provision imposing an affirmative duty on the | ||
private manager to provide the Department with material | ||
information and with any information the private manager | ||
reasonably believes the Department would want to know to | ||
enable the Department to conduct the Lottery. | ||
(4) A provision requiring the private manager to | ||
provide the Department with advance notice of any operating |
decision that bears significantly on the public interest, | ||
including, but not limited to, decisions on the kinds of | ||
games to be offered to the public and decisions affecting | ||
the relative risk and reward of the games being offered, so | ||
the Department has a reasonable opportunity to evaluate and | ||
countermand that decision. | ||
(5) A provision providing for compensation of the | ||
private manager that may consist of, among other things, a | ||
fee for services and a performance based bonus as | ||
consideration for managing the Lottery, including terms | ||
that may provide the private manager with an increase in | ||
compensation if Lottery revenues grow by a specified | ||
percentage in a given year. | ||
(6) (Blank). | ||
(7) A provision requiring the deposit of all Lottery | ||
proceeds to be deposited into the State Lottery Fund except | ||
as otherwise provided in Section 20 of this Act . | ||
(8) A provision requiring the private manager to locate | ||
its principal office within the State. | ||
(8-5) A provision encouraging that at least 20% of the | ||
cost of contracts entered into for goods and services by | ||
the private manager in connection with its management of | ||
the Lottery, other than contracts with sales agents or | ||
technical advisors, be awarded to businesses that are a | ||
minority owned business, a female owned business, or a | ||
business owned by a person with disability, as those terms |
are defined in the Business Enterprise for Minorities, | ||
Females, and Persons with Disabilities Act. | ||
(9) A requirement that so long as the private manager | ||
complies with all the conditions of the agreement under the | ||
oversight of the Department, the private manager shall have | ||
the following duties and obligations with respect to the | ||
management of the Lottery: | ||
(A) The right to use equipment and other assets | ||
used in the operation of the Lottery. | ||
(B) The rights and obligations under contracts | ||
with retailers and vendors. | ||
(C) The implementation of a comprehensive security | ||
program by the private manager. | ||
(D) The implementation of a comprehensive system | ||
of internal audits. | ||
(E) The implementation of a program by the private | ||
manager to curb compulsive gambling by persons playing | ||
the Lottery. | ||
(F) A system for determining (i) the type of | ||
Lottery games, (ii) the method of selecting winning | ||
tickets, (iii) the manner of payment of prizes to | ||
holders of winning tickets, (iv) the frequency of | ||
drawings of winning tickets, (v) the method to be used | ||
in selling tickets, (vi) a system for verifying the | ||
validity of tickets claimed to be winning tickets, | ||
(vii) the basis upon which retailer commissions are |
established by the manager, and (viii) minimum | ||
payouts. | ||
(10) A requirement that advertising and promotion must | ||
be consistent with Section 7.8a of this Act. | ||
(11) A requirement that the private manager market the | ||
Lottery to those residents who are new, infrequent, or | ||
lapsed players of the Lottery, especially those who are | ||
most likely to make regular purchases on the Internet as | ||
permitted by law. | ||
(12) A code of ethics for the private manager's | ||
officers and employees. | ||
(13) A requirement that the Department monitor and | ||
oversee the private manager's practices and take action | ||
that the Department considers appropriate to ensure that | ||
the private manager is in compliance with the terms of the | ||
management agreement, while allowing the manager, unless | ||
specifically prohibited by law or the management | ||
agreement, to negotiate and sign its own contracts with | ||
vendors. | ||
(14) A provision requiring the private manager to | ||
periodically file, at least on an annual basis, appropriate | ||
financial statements in a form and manner acceptable to the | ||
Department. | ||
(15) Cash reserves requirements. | ||
(16) Procedural requirements for obtaining the prior | ||
approval of the Department when a management agreement or |
an interest in a management agreement is sold, assigned, | ||
transferred, or pledged as collateral to secure financing. | ||
(17) Grounds for the termination of the management | ||
agreement by the Department or the private manager. | ||
(18) Procedures for amendment of the agreement. | ||
(19) A provision requiring the private manager to | ||
engage in an open and competitive bidding process for any | ||
procurement having a cost in excess of $50,000 that is not | ||
a part of the private manager's final offer. The process | ||
shall favor the selection of a vendor deemed to have | ||
submitted a proposal that provides the Lottery with the | ||
best overall value. The process shall not be subject to the | ||
provisions of the Illinois Procurement Code, unless | ||
specifically required by the management agreement. | ||
(20) The transition of rights and obligations, | ||
including any associated equipment or other assets used in | ||
the operation of the Lottery, from the manager to any | ||
successor manager of the lottery, including the | ||
Department, following the termination of or foreclosure | ||
upon the management agreement. | ||
(21) Right of use of copyrights, trademarks, and | ||
service marks held by the Department in the name of the | ||
State. The agreement must provide that any use of them by | ||
the manager shall only be for the purpose of fulfilling its | ||
obligations under the management agreement during the term | ||
of the agreement. |
(22) The disclosure of any information requested by the | ||
Department to enable it to comply with the reporting | ||
requirements and information requests provided for under | ||
subsection (p) of this Section. | ||
(e) Notwithstanding any other law to the contrary, the | ||
Department shall select a private manager through a competitive | ||
request for qualifications process consistent with Section | ||
20-35 of the Illinois Procurement Code, which shall take into | ||
account: | ||
(1) the offeror's ability to market the Lottery to | ||
those residents who are new, infrequent, or lapsed players | ||
of the Lottery, especially those who are most likely to | ||
make regular purchases on the Internet; | ||
(2) the offeror's ability to address the State's | ||
concern with the social effects of gambling on those who | ||
can least afford to do so; | ||
(3) the offeror's ability to provide the most | ||
successful management of the Lottery for the benefit of the | ||
people of the State based on current and past business | ||
practices or plans of the offeror; and | ||
(4) the offeror's poor or inadequate past performance | ||
in servicing, equipping, operating or managing a lottery on | ||
behalf of Illinois, another State or foreign government and | ||
attracting persons who are not currently regular players of | ||
a lottery. | ||
(f) The Department may retain the services of an advisor or |
advisors with significant experience in financial services or | ||
the management, operation, and procurement of goods, services, | ||
and equipment for a government-run lottery to assist in the | ||
preparation of the terms of the request for qualifications and | ||
selection of the private manager. Any prospective advisor | ||
seeking to provide services under this subsection (f) shall | ||
disclose any material business or financial relationship | ||
during the past 3 years with any potential offeror, or with a | ||
contractor or subcontractor presently providing goods, | ||
services, or equipment to the Department to support the | ||
Lottery. The Department shall evaluate the material business or | ||
financial relationship of each prospective advisor. The | ||
Department shall not select any prospective advisor with a | ||
substantial business or financial relationship that the | ||
Department deems to impair the objectivity of the services to | ||
be provided by the prospective advisor. During the course of | ||
the advisor's engagement by the Department, and for a period of | ||
one year thereafter, the advisor shall not enter into any | ||
business or financial relationship with any offeror or any | ||
vendor identified to assist an offeror in performing its | ||
obligations under the management agreement. Any advisor | ||
retained by the Department shall be disqualified from being an | ||
offeror.
The Department shall not include terms in the request | ||
for qualifications that provide a material advantage whether | ||
directly or indirectly to any potential offeror, or any | ||
contractor or subcontractor presently providing goods, |
services, or equipment to the Department to support the | ||
Lottery, including terms contained in previous responses to | ||
requests for proposals or qualifications submitted to | ||
Illinois, another State or foreign government when those terms | ||
are uniquely associated with a particular potential offeror, | ||
contractor, or subcontractor. The request for proposals | ||
offered by the Department on December 22, 2008 as | ||
"LOT08GAMESYS" and reference number "22016176" is declared | ||
void. | ||
(g) The Department shall select at least 2 offerors as | ||
finalists to potentially serve as the private manager no later | ||
than August 9, 2010. Upon making preliminary selections, the | ||
Department shall schedule a public hearing on the finalists' | ||
proposals and provide public notice of the hearing at least 7 | ||
calendar days before the hearing. The notice must include all | ||
of the following: | ||
(1) The date, time, and place of the hearing. | ||
(2) The subject matter of the hearing. | ||
(3) A brief description of the management agreement to | ||
be awarded. | ||
(4) The identity of the offerors that have been | ||
selected as finalists to serve as the private manager. | ||
(5) The address and telephone number of the Department. | ||
(h) At the public hearing, the Department shall (i) provide | ||
sufficient time for each finalist to present and explain its | ||
proposal to the Department and the Governor or the Governor's |
designee, including an opportunity to respond to questions | ||
posed by the Department, Governor, or designee and (ii) allow | ||
the public and non-selected offerors to comment on the | ||
presentations. The Governor or a designee shall attend the | ||
public hearing. After the public hearing, the Department shall | ||
have 14 calendar days to recommend to the Governor whether a | ||
management agreement should be entered into with a particular | ||
finalist. After reviewing the Department's recommendation, the | ||
Governor may accept or reject the Department's recommendation, | ||
and shall select a final offeror as the private manager by | ||
publication of a notice in the Illinois Procurement Bulletin on | ||
or before September 15, 2010. The Governor shall include in the | ||
notice a detailed explanation and the reasons why the final | ||
offeror is superior to other offerors and will provide | ||
management services in a manner that best achieves the | ||
objectives of this Section. The Governor shall also sign the | ||
management agreement with the private manager. | ||
(i) Any action to contest the private manager selected by | ||
the Governor under this Section must be brought within 7 | ||
calendar days after the publication of the notice of the | ||
designation of the private manager as provided in subsection | ||
(h) of this Section. | ||
(j) The Lottery shall remain, for so long as a private | ||
manager manages the Lottery in accordance with provisions of | ||
this Act, a Lottery conducted by the State, and the State shall | ||
not be authorized to sell or transfer the Lottery to a third |
party. | ||
(k) Any tangible personal property used exclusively in | ||
connection with the lottery that is owned by the Department and | ||
leased to the private manager shall be owned by the Department | ||
in the name of the State and shall be considered to be public | ||
property devoted to an essential public and governmental | ||
function. | ||
(l) The Department may exercise any of its powers under | ||
this Section or any other law as necessary or desirable for the | ||
execution of the Department's powers under this Section. | ||
(m) Neither this Section nor any management agreement | ||
entered into under this Section prohibits the General Assembly | ||
from authorizing forms of gambling that are not in direct | ||
competition with the Lottery. | ||
(n) The private manager shall be subject to a complete | ||
investigation in the third, seventh, and tenth years of the | ||
agreement (if the agreement is for a 10-year term) by the | ||
Department in cooperation with the Auditor General to determine | ||
whether the private manager has complied with this Section and | ||
the management agreement. The private manager shall bear the | ||
cost of an investigation or reinvestigation of the private | ||
manager under this subsection. | ||
(o) The powers conferred by this Section are in addition | ||
and supplemental to the powers conferred by any other law. If | ||
any other law or rule is inconsistent with this Section, | ||
including, but not limited to, provisions of the Illinois |
Procurement Code, then this Section controls as to any | ||
management agreement entered into under this Section. This | ||
Section and any rules adopted under this Section contain full | ||
and complete authority for a management agreement between the | ||
Department and a private manager. No law, procedure, | ||
proceeding, publication, notice, consent, approval, order, or | ||
act by the Department or any other officer, Department, agency, | ||
or instrumentality of the State or any political subdivision is | ||
required for the Department to enter into a management | ||
agreement under this Section. This Section contains full and | ||
complete authority for the Department to approve any contracts | ||
entered into by a private manager with a vendor providing | ||
goods, services, or both goods and services to the private | ||
manager under the terms of the management agreement , including | ||
subcontractors of such vendors . | ||
Upon receipt of a written request from the Chief | ||
Procurement Officer, the Department shall provide to the Chief | ||
Procurement Officer a complete and un-redacted copy of the | ||
management agreement or any contract that is subject to the | ||
Department's approval authority under this subsection (o). The | ||
Department shall provide a copy of the agreement or contract to | ||
the Chief Procurement Officer in the time specified by the | ||
Chief Procurement Officer in his or her written request, but no | ||
later than 5 business days after the request is received by the | ||
Department. The Chief Procurement Officer must retain any | ||
portions of the management agreement or of any contract |
designated by the Department as confidential, proprietary, or | ||
trade secret information in complete confidence pursuant to | ||
subsection (g) of Section 7 of the Freedom of Information Act. | ||
The Department shall also provide the Chief Procurement Officer | ||
with reasonable advance written notice of any contract that is | ||
pending Department approval. | ||
Notwithstanding any other provision of this Section to the | ||
contrary, the Chief Procurement Officer shall adopt | ||
administrative rules, including emergency rules, to establish | ||
a procurement process to select a successor private manager if | ||
a private management agreement has been terminated. The | ||
selection process shall at a minimum take into account the | ||
criteria set forth in items (1) through (4) of subsection (e) | ||
of this Section and may include provisions consistent with | ||
subsections (f), (g), (h), and (i) of this Section. The Chief | ||
Procurement Officer shall also implement and administer the | ||
adopted selection process upon the termination of a private | ||
management agreement. The Department, after the Chief | ||
Procurement Officer certifies that the procurement process has | ||
been followed in accordance with the rules adopted under this | ||
subsection (o), shall select a final offeror as the private | ||
manager and sign the management agreement with the private | ||
manager. | ||
Except as provided in Sections 21.2, 21.5, 21.6, 21.7, and | ||
21.8, the Department shall distribute all proceeds of lottery | ||
tickets and shares sold in the following priority and manner: |
(1) The payment of prizes and retailer bonuses. | ||
(2) The payment of costs incurred in the operation and | ||
administration of the Lottery, including the payment of | ||
sums due to the private manager under the management | ||
agreement with the Department and payment of sums due to | ||
the private vendor for lottery tickets and shares sold on | ||
the Internet via the pilot program as compensation under | ||
its contract with the Department . | ||
(3) On the last day of each month or as soon thereafter | ||
as possible, the State Comptroller shall direct and the | ||
State Treasurer shall transfer from the Lottery Fund to the | ||
Common School Fund an amount that is equal to the proceeds | ||
transferred in the corresponding month of fiscal year 2009, | ||
as adjusted for inflation, to the Common School Fund. | ||
(4) On or before the last day of each fiscal year, | ||
deposit any remaining proceeds, subject to payments under | ||
items (1), (2), and (3) into the Capital Projects Fund each | ||
fiscal year. | ||
(p) The Department shall be subject to the following | ||
reporting and information request requirements: | ||
(1) the Department shall submit written quarterly | ||
reports to the Governor and the General Assembly on the | ||
activities and actions of the private manager selected | ||
under this Section; | ||
(2) upon request of the Chief Procurement Officer, the | ||
Department shall promptly produce information related to |
the procurement activities of the Department and the | ||
private manager requested by the Chief Procurement | ||
Officer; the Chief Procurement Officer must retain | ||
confidential, proprietary, or trade secret information | ||
designated by the Department in complete confidence | ||
pursuant to subsection (g) of Section 7 of the Freedom of | ||
Information Act; and | ||
(3) at least 30 days prior to the beginning of the | ||
Department's fiscal year, the Department shall prepare an | ||
annual written report on the activities of the private | ||
manager selected under this Section and deliver that report | ||
to the Governor and General Assembly. | ||
(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 96-840, | ||
eff. 12-23-09.)
| ||
(20 ILCS 1605/10) (from Ch. 120, par. 1160)
| ||
Sec. 10. The Department Division , upon application | ||
therefor on forms prescribed
by the Department Division , and | ||
upon a determination by the Department Division that the
| ||
applicant meets all of the qualifications specified in this | ||
Act, shall
issue a license as an agent to sell lottery tickets | ||
or shares. No license
as an agent to sell lottery tickets or | ||
shares shall be issued to any person
to engage in business | ||
exclusively as a lottery sales agent.
| ||
Before issuing such license the Superintendent shall | ||
consider (a) the financial
responsibility and security of the |
person and his business or activity, (b)
the accessibility of | ||
his place of business or activity to the public, (c)
the | ||
sufficiency of existing licenses to serve the public | ||
convenience, (d)
the volume of expected sales, and (e) such | ||
other factors as he or she may
deem appropriate.
| ||
Until September 1, 1987, the provisions of Sections 2a, 4, | ||
5, 5a, 5b,
5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, | ||
10, 12 and 13.5
of the Retailers' Occupation Tax Act which are | ||
not inconsistent
with this Act shall apply to the subject | ||
matter of this Act to the same
extent as if such provisions | ||
were included in this Act. For purposes of
this Act, references | ||
in such incorporated Sections of the Retailers'
Occupation Tax | ||
Act to retailers, sellers or persons engaged in the business
of | ||
selling tangible personal property mean persons engaged in | ||
selling
lottery tickets or shares; references in such | ||
incorporated Sections to
sales of tangible personal property | ||
mean the selling of lottery tickets or
shares; and references | ||
in such incorporated Sections to
certificates of registration | ||
mean licenses issued under this Act. The
provisions of the | ||
Retailers' Occupation Tax Act as heretofore applied to
the | ||
subject matter of this Act shall not apply with respect to | ||
tickets sold
by or delivered to lottery sales agents on and | ||
after September 1, 1987, but
such provisions shall continue to | ||
apply with respect to transactions
involving the sale and | ||
delivery of tickets prior to September 1, 1987.
| ||
All licenses issued by the Department Division under this |
Act shall be valid
for a period not to exceed 2 years after | ||
issuance unless sooner
revoked, canceled or suspended as in | ||
this Act provided. No license issued
under this Act shall be | ||
transferable or assignable. Such license shall be
| ||
conspicuously displayed in the place of business conducted by | ||
the licensee
in Illinois where lottery tickets or shares are to | ||
be sold under such license.
| ||
For purposes of this Section, the term "person" shall be | ||
construed to
mean and include an individual, association, | ||
partnership, corporation,
club, trust, estate, society, | ||
company, joint stock company, receiver,
trustee, referee, any | ||
other person acting in a fiduciary or representative
capacity | ||
who is appointed by a court, or any combination of individuals.
| ||
"Person" includes any department, commission, agency or
| ||
instrumentality of the State, including any county, city, | ||
village, or
township and any agency or instrumentality thereof.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.1) (from Ch. 120, par. 1160.1)
| ||
Sec. 10.1. The following are ineligible for any license | ||
under this Act:
| ||
(a) any person who has been convicted of a felony;
| ||
(b) any person who is or has been a professional gambler or | ||
gambling
promoter;
| ||
(c) any person who has engaged in bookmaking or other forms | ||
of illegal
gambling;
|
(d) any person who is not of good character and reputation | ||
in the
community in which he resides;
| ||
(e) any person who has been found guilty of any fraud or
| ||
misrepresentation in any connection;
| ||
(f) any firm or corporation in which a person defined in | ||
(a), (b), (c),
(d) or (e) has a proprietary, equitable or | ||
credit interest of 5% or more.
| ||
(g) any organization in which a person defined in (a), (b), | ||
(c), (d) or
(e) is an officer, director, or managing agent, | ||
whether compensated or not;
| ||
(h) any organization in which a person defined in (a), (b), | ||
(c), (d), or
(e) is to participate in the management or sales | ||
of lottery tickets or
shares.
| ||
However, with respect to persons defined in (a), the | ||
Department may grant
any such person a license under this Act | ||
when:
| ||
1) at least 10 years have elapsed since the date when the | ||
sentence for
the most recent such conviction was satisfactorily | ||
completed;
| ||
2) the applicant has no history of criminal activity | ||
subsequent to such conviction;
| ||
3) the applicant has complied with all conditions of | ||
probation, conditional
discharge, supervision, parole or | ||
mandatory supervised release; and
| ||
4) the applicant presents at least 3 letters of | ||
recommendation from responsible
citizens in his community who |
personally can attest that the character and
attitude of the | ||
applicant indicate that he is unlikely
to commit another crime.
| ||
The Department Division may revoke, without notice or a | ||
hearing, the license of
any agent who violates this Act or any | ||
rule or regulation promulgated
pursuant to this Act. However, | ||
if the Department Division does revoke a license
without notice | ||
and an opportunity for a hearing, the Department Division | ||
shall, by
appropriate notice, afford the person whose license | ||
has been revoked an
opportunity for a hearing within 30 days | ||
after the revocation order has
been issued. As a result of any | ||
such hearing, the Department Division may confirm
its action in | ||
revoking the license, or it may order the restoration of such
| ||
license.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.1a) (from Ch. 120, par. 1160.1a)
| ||
Sec. 10.1a. In addition to other grounds specified in this | ||
Act, the Department
Division shall refuse to issue and shall | ||
suspend the license of any lottery
sales agency who fails to | ||
file a return, or to pay the tax, penalty or
interest shown in | ||
a filed return, or to pay any final assessment of tax,
penalty | ||
or interest, as required by any tax Act administered by the
| ||
Department of Revenue , until such time as the requirements of | ||
any
such tax Act are satisfied, unless the agency is | ||
contesting, in accordance
with the procedures established by | ||
the appropriate revenue Act, its
liability for the tax or the |
amount of tax. The Department Division shall
affirmatively | ||
verify the tax status of every sales agency before issuing or
| ||
renewing a license. For purposes of this Section, a sales | ||
agency shall not
be considered delinquent in the payment of a | ||
tax if the agency (a) has
entered into an agreement with the | ||
Department of Revenue for the payment of
all such taxes that | ||
are due and (b) is in compliance with the agreement.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.2) (from Ch. 120, par. 1160.2)
| ||
Sec. 10.2. Application and other fees. Each application | ||
for a new lottery license must be accompanied by a one-time | ||
application fee of $50; the Department Division , however, may | ||
waive the fee for licenses of limited duration as provided by | ||
Department rule. Each application for renewal of a lottery | ||
license must be accompanied by a renewal fee of $25. Each | ||
lottery licensee granted on-line status pursuant to the | ||
Department's rules must pay a fee of $10 per week as partial | ||
reimbursement for telecommunications charges incurred by the | ||
Department in providing access to the lottery's on-line gaming | ||
system. The Department, by rule, may increase or decrease the | ||
amount of these fees.
| ||
(Source: P.A. 93-840, eff. 7-30-04; 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.6) (from Ch. 120, par. 1160.6)
| ||
Sec. 10.6. The Department Division shall make an effort to |
more directly inform
players of the odds of winning prizes. | ||
This effort shall include, at a
minimum, that the Department | ||
Division require all ticket agents to display a placard
stating | ||
the odds of winning for each game offered by that agent.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.7)
| ||
Sec. 10.7. Compulsive gambling.
| ||
(a) Each lottery sales agent shall post a statement | ||
regarding obtaining
assistance with gambling problems and | ||
including a toll-free "800" telephone
number providing crisis | ||
counseling and referral services to families
experiencing | ||
difficulty as a result of problem or compulsive gambling. The
| ||
text of the statement shall be determined by rule by the | ||
Department of
Human Services, shall be no more than
one | ||
sentence in length, and shall be posted on the placard required | ||
under
Section 10.6. The signs shall be provided by the | ||
Department of Human
Services.
| ||
(b) The Department Division shall print a statement | ||
regarding obtaining assistance
with gambling problems, the | ||
text of which shall be determined by rule by the
Department of | ||
Human Services, on all
paper stock it provides to
the general | ||
public.
| ||
(c) The Department Division shall print a statement of no | ||
more than one sentence
in length regarding obtaining assistance | ||
with gambling problems and including a
toll-free "800" number |
providing crisis counseling and referral services to
families | ||
experiencing difficulty as a result of problem or compulsive | ||
gambling
on the back of all lottery tickets.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/10.8) | ||
Sec. 10.8. Specialty retailers license. | ||
(a) "Veterans service organization" means an organization | ||
that: | ||
(1) is formed by and for United States military | ||
veterans; | ||
(2) is chartered by the United States Congress and | ||
incorporated in the State of Illinois; | ||
(3) maintains a state headquarters office in the State | ||
of Illinois; and | ||
(4) is not funded by the State of Illinois or by any | ||
county in this State. | ||
(b) The Department Division shall establish a special | ||
classification of retailer license to facilitate the | ||
year-round sale of the instant scratch-off lottery game | ||
established by the General Assembly in Section 21.6. The fees | ||
set forth in Section 10.2 do not apply to a specialty retailer | ||
license. | ||
The holder of a specialty retailer license (i) shall be a | ||
veterans service organization, (ii) may sell only specialty | ||
lottery tickets established for the benefit of the Veterans |
Assistance Fund in the State treasury, (iii) is required to | ||
purchase those tickets up front at face value from the Illinois | ||
Lottery, and (iv) must sell those tickets at face value. | ||
Specialty retailers may obtain a refund from the Department | ||
Division for any unsold specialty tickets that they have | ||
purchased for resale, as set forth in the specialty retailer | ||
agreement. | ||
Specialty retailers shall receive a sales commission equal | ||
to 2% of the face value of specialty game tickets purchased | ||
from the Department, less adjustments for unsold tickets | ||
returned to the Illinois Lottery for credit. Specialty | ||
retailers may not cash winning tickets, but are entitled to a | ||
1% bonus in connection with the sale of a winning specialty | ||
game ticket having a price value of $1,000 or more.
| ||
(Source: P.A. 96-1105, eff. 7-19-10.)
| ||
(20 ILCS 1605/12) (from Ch. 120, par. 1162)
| ||
Sec. 12. The public inspection and copying of the records | ||
and data of the
Department Division and the Board shall be | ||
generally governed by the provisions of the
Freedom of | ||
Information Act except that the following shall additionally be
| ||
exempt from inspection and copying:
| ||
(i) information privileged against introduction in | ||
judicial proceedings;
| ||
(ii) internal communications of the several agencies;
| ||
(iii) information concerning secret manufacturing |
processes or
confidential data submitted by any person | ||
under this Act;
| ||
(iv) any creative proposals, scripts, storyboards or | ||
other materials
prepared by or for the Department Division , | ||
prior to the placement of the materials in
the media, if | ||
the prior release of the materials would compromise the
| ||
effectiveness of an advertising campaign.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/13) (from Ch. 120, par. 1163)
| ||
Sec. 13. Except as otherwise provided in Section 13.1, no | ||
prize, nor any
portion of a prize, nor any right of any
person | ||
to a prize awarded shall be assignable. Any prize, or portion
| ||
thereof remaining unpaid at the death of a prize winner, may be | ||
paid to the
estate
of such deceased prize winner, or to the | ||
trustee under a revocable living
trust established by the | ||
deceased prize winner as settlor, provided that a
copy of such | ||
a trust has been filed with the Department along with a
| ||
notarized letter of direction from the settlor and no written | ||
notice of
revocation has been received by the Department | ||
Division prior to the settlor's
death. Following such a | ||
settlor's death and prior to any payment to such a
successor | ||
trustee, the Superintendent shall obtain from the trustee a | ||
written agreement to indemnify and hold the Department and the | ||
Department Division
harmless with respect to any claims that | ||
may be asserted against the
Department or the Division arising |
from payment to or through the trust. Notwithstanding
any other | ||
provision of this Section, any person pursuant to an | ||
appropriate
judicial order may be paid
the prize to which a | ||
winner is entitled, and all or part of any prize
otherwise | ||
payable by
State warrant under this Section shall be withheld | ||
upon certification to
the State Comptroller from the Department | ||
of Healthcare and Family Services as
provided in Section | ||
10-17.5 of The Illinois Public Aid Code. The Director
and the | ||
Superintendent shall be discharged of all further liability | ||
upon payment of a prize
pursuant to this Section.
| ||
(Source: P.A. 94-776, eff. 5-19-06; 95-331, eff. 8-21-07.)
| ||
(20 ILCS 1605/14) (from Ch. 120, par. 1164)
| ||
Sec. 14. No person shall sell a ticket or share at a price | ||
greater than that
fixed by rule or regulation of the Department | ||
or the Division . No person other than a
licensed lottery sales | ||
agent or distributor shall sell or resell lottery
tickets or | ||
shares. No person shall charge a fee to redeem a winning ticket | ||
or
share.
| ||
Any person convicted of violating this Section shall be | ||
guilty of a
Class B misdemeanor; provided, that if any offense | ||
under this Section is
a subsequent offense, the offender shall | ||
be guilty of a Class 4 felony.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/14.3)
|
Sec. 14.3. Misuse of proprietary material prohibited. | ||
Except as may be
provided in Section 7.11, or by bona fide sale | ||
or by prior authorization from
the Department or the Division, | ||
or otherwise by law, all premiums, promotional and other
| ||
proprietary material produced or acquired by the Department | ||
Division as part of its
advertising and promotional activities | ||
shall remain the property of the
Department. Nothing herein | ||
shall be construed to affect the rights or
obligations of the | ||
Department or any other person under federal or State
trademark | ||
or copyright laws.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/19) (from Ch. 120, par. 1169)
| ||
Sec. 19. The Department Division shall establish an | ||
appropriate period for the
claiming of prizes for each lottery | ||
game offered. Each claim period shall
be stated in game rules | ||
and written play
instructions issued by the Superintendent in | ||
accordance with Section 7.1 of
this Act. Written play | ||
instructions shall be made available to all players
through | ||
sales agents licensed to sell game tickets or shares.
Prizes | ||
for lottery games which involve the purchase of a physical | ||
lottery
ticket may be claimed only by presentation of a valid | ||
winning lottery
ticket that matches validation records on file | ||
with the Lottery; no
claim may be honored which is based on the | ||
assertion that the ticket was
lost or stolen. No lottery ticket | ||
which has been altered, mutilated, or
fails to pass validation |
tests shall be deemed to be a winning ticket.
| ||
If no claim
is made for the money within the established | ||
claim period, the prize may
be included in the prize pool of | ||
such special drawing or drawings as the Department
Division | ||
may, from time to time, designate. Unclaimed
multi-state game | ||
prize money may be included in the multi-state
prize
pool for | ||
such special drawing or drawings as the multi-state game | ||
directors
may, from time to time, designate. Any bonuses | ||
offered by the Department
to sales agents who sell winning | ||
tickets or shares shall be
payable to such agents regardless of | ||
whether or not the prize money on the
ticket or share is | ||
claimed, provided that the agent can be identified as
the | ||
vendor of the winning ticket or share, and
that the winning | ||
ticket or share was sold on or after January 1, 1984.
All | ||
unclaimed prize money not included in the prize pool of a | ||
special
drawing shall be transferred to the Common School Fund.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/20.1) (from Ch. 120, par. 1170.1)
| ||
Sec. 20.1. Department account.
| ||
(a) The Department is authorized to pay validated prizes
up | ||
to $25,000 from funds held by the Department in an account | ||
separate and
apart from all public moneys of the State. Moneys | ||
in this account shall be
administered by the Superintendent | ||
Director exclusively for the purposes of issuing payments
to | ||
prize winners authorized by this Section. Moneys in this |
account shall be
deposited by the Department into the Public | ||
Treasurers' Investment Pool
established under Section 17 of the | ||
State Treasurer Act. The Department shall
submit vouchers from | ||
time to time as needed for reimbursement of this account
from | ||
moneys appropriated for prizes from the State Lottery Fund. | ||
Investment
income earned from this account shall be deposited | ||
monthly by the Department
into the Common School Fund. The | ||
Department shall file quarterly fiscal
reports specifying the | ||
activity of this account as required under Section 16 of
the | ||
State Comptroller Act, and shall file quarterly with the | ||
General Assembly,
the Auditor General, the Comptroller, and the | ||
State Treasurer a report
indicating the costs associated with | ||
this activity.
| ||
(b) The Department is authorized to enter into an | ||
interagency agreement
with the Office of the Comptroller or any | ||
other State agency to establish
responsibilities, duties, and | ||
procedures for complying with the Comptroller's
Offset System | ||
under Section 10.05 of the State Comptroller Act. All federal
| ||
and State tax reporting and withholding requirements relating | ||
to prize winners
under this Section shall be the responsibility | ||
of the Department. Moneys from
this account may not be used to | ||
pay amounts to deferred prize winners. Moneys
may not be | ||
transferred from the State Lottery Fund to this account for | ||
payment
of prizes under this Section until procedures are | ||
implemented to comply with
the Comptroller's Offset System and | ||
sufficient internal controls are in place
to validate prizes.
|
(Source: P.A. 87-1197; 88-676, eff. 12-14-94.)
| ||
(20 ILCS 1605/21) (from Ch. 120, par. 1171)
| ||
Sec. 21. All lottery sales agents or distributors shall be | ||
liable to the
Lottery for any and all tickets accepted or | ||
generated by any employee or
representative of that agent or | ||
distributor, and such tickets shall be deemed
to have been | ||
purchased by the agent or distributor unless returned to the
| ||
Lottery within the time and in the manner prescribed by the | ||
Superintendent. All
moneys received by such agents or | ||
distributors from the sale of lottery tickets
or shares, less | ||
the amount retained as compensation for the sale of the tickets
| ||
or shares and the amount paid out as prizes, shall be paid over | ||
to a lottery
representative or deposited in a bank or savings | ||
and loan association approved
by the State Treasurer, as | ||
prescribed by the Superintendent.
| ||
No bank or savings and loan association shall receive | ||
public funds as
permitted by this Section, unless it has | ||
complied with the requirements
established pursuant to Section | ||
6 of the Public Funds Investment Act.
| ||
Each payment or deposit shall be accompanied by a report of | ||
the agent's
receipts and transactions in the sale of lottery | ||
tickets in such form and
containing such information as the | ||
Superintendent may require. Any
discrepancies in such receipts | ||
and transactions may be resolved as
provided by the rules and | ||
regulations of the Department.
|
If any money due the Lottery by a sales agent or | ||
distributor is not paid
when due or demanded, it shall | ||
immediately become delinquent and be billed
on a subsequent | ||
monthly statement. If on the closing date for any monthly
| ||
statement a delinquent amount previously billed of more than | ||
$50 remains
unpaid, interest in such amount shall be accrued at | ||
the rate of 2% per month
or fraction thereof from the date when | ||
such delinquent amount becomes past
due until such delinquent | ||
amount, including interest, penalty and other
costs and charges | ||
that the Department may incur in collecting such amounts, is
| ||
paid. In case any agent or distributor fails to pay any moneys | ||
due the Lottery
within 30 days after a second bill or statement | ||
is rendered to the agent or
distributor, such amount shall be | ||
deemed seriously delinquent and may be
referred by the | ||
Department to a collection agency or credit bureau for
| ||
collection. Any contract entered into by the Department for the | ||
collection of
seriously delinquent accounts with a collection | ||
agency or credit bureau may be
satisfied by a commercially | ||
reasonable percentage of the delinquent account
recouped, | ||
which shall be negotiated by the Department in accordance with
| ||
commercially accepted standards. Any costs incurred by the | ||
Department or
others authorized to act in its behalf in | ||
collecting such delinquencies may be
assessed against the agent | ||
or distributor and included as a part of the
delinquent | ||
account.
| ||
In case of failure of an agent or distributor to pay a |
seriously delinquent
amount, or any portion thereof, including | ||
interest, penalty and costs,
the Department Division may issue | ||
a Notice of Assessment. In determining amounts
shown on the | ||
Notice of Assessment, the Department Division shall utilize the
| ||
financial information available from its records. Such Notice | ||
of
Assessment shall be prima facie correct and shall be prima | ||
facie evidence
of delinquent sums due under this Section at any | ||
hearing before the Board,
or its Hearing Officers, or at any | ||
other legal proceeding. Reproduced
copies of the Department's | ||
Division's records relating to a delinquent account or a
Notice | ||
of Assessment offered in the name of the Department, under the
| ||
Certificate of the Superintendent Director or any officer or | ||
employee of the Department
designated in writing by the | ||
Superintendent Director shall, without further proof, be
| ||
admitted into evidence in any such hearing or any legal | ||
proceeding and shall be
prima facie proof of the delinquency, | ||
including principal and any interest,
penalties and costs, as | ||
shown thereon. The Attorney General may bring suit on
behalf of | ||
the Department to collect all such delinquent amounts, or any | ||
portion
thereof, including interest, penalty and costs, due the | ||
Lottery.
| ||
Any person who accepts money that is due to the Department | ||
from the
sale of lottery tickets under this Act, but who | ||
wilfully fails to remit
such payment to the Department when due | ||
or who purports to make such payment
but wilfully fails to do | ||
so because his check or other remittance fails to
clear the |
bank or savings and loan association against
which it is drawn, | ||
in
addition to the amount due and in addition to any other | ||
penalty provided by
law, shall be assessed, and shall pay, a | ||
penalty equal to 5% of the deficiency
plus any costs or charges | ||
incurred by the Department in collecting such amount.
| ||
The Superintendent Director may make such arrangements for | ||
any person(s), banks, savings and
loan associations or | ||
distributors, to perform such functions, activities or
| ||
services in connection with the operation of the lottery as he | ||
deems advisable
pursuant to this Act, the State Comptroller | ||
Act, or the rules and regulations of the Department,
and such | ||
functions, activities or services shall constitute lawful | ||
functions,
activities and services of such person(s), banks, | ||
savings and loan associations
or distributors.
| ||
All income arising out of any activity or purpose of the | ||
Department Division
shall,
pursuant to the State Finance Act, | ||
be paid into the State Treasury except as otherwise provided by | ||
the
rules and regulations of the Department and shall be | ||
covered into a special
fund to be known as the State Lottery | ||
Fund. Banks and savings and loan
associations may be | ||
compensated for services rendered based upon the activity
and | ||
amount of funds on deposit.
| ||
(Source: P.A. 94-776, eff. 5-19-06.)
| ||
(20 ILCS 1605/21.5)
| ||
Sec. 21.5. Ticket For The Cure. |
(a) The Department shall offer a special instant | ||
scratch-off game with the title of "Ticket For The Cure". The | ||
game shall commence on January 1, 2006 or as soon thereafter, | ||
in the discretion of the Superintendent Director , as is | ||
reasonably practical, and shall be discontinued on December 31, | ||
2011. The operation of the game shall be governed by this Act | ||
and any rules adopted by the Department. The Department must | ||
consult with the Ticket For The Cure Board, which is | ||
established under Section 2310-347 of the Department of Public | ||
Health Powers and Duties Law of the
Civil Administrative Code | ||
of Illinois, regarding the design and promotion of the game. If | ||
any provision of this Section is inconsistent with any other | ||
provision of this Act, then this Section governs. | ||
(b) The Carolyn Adams Ticket For The Cure Grant Fund is | ||
created as a special fund in the State treasury. The net | ||
revenue from the Ticket For The Cure special instant | ||
scratch-off game shall be deposited into the Fund for | ||
appropriation by the General Assembly solely to the Department | ||
of Public Health for the purpose of making grants to public or | ||
private entities in Illinois for the purpose of funding | ||
research concerning breast cancer and for funding services for | ||
breast cancer victims. The Department must, before grants are | ||
awarded, provide copies of all grant applications to the Ticket | ||
For The Cure Board, receive and review the Board's | ||
recommendations and comments, and consult with the Board | ||
regarding the grants. For purposes of this Section, the term |
"research" includes, without limitation, expenditures to | ||
develop and advance the understanding, techniques, and | ||
modalities effective in the detection, prevention, screening, | ||
and treatment of breast cancer and may include clinical trials. | ||
The grant funds may not be used for institutional, | ||
organizational, or community-based overhead costs, indirect | ||
costs, or levies. | ||
Moneys received for the purposes of this Section, | ||
including, without limitation, net revenue from the special | ||
instant scratch-off game and gifts, grants, and awards from any | ||
public or private entity, must be deposited into the Fund. Any | ||
interest earned on moneys in the Fund must be deposited into | ||
the Fund. | ||
For purposes of this subsection, "net revenue" means the | ||
total amount for which tickets have been sold less the sum of | ||
the amount paid out in prizes and the actual administrative | ||
expenses of the Department solely related to the Ticket For The | ||
Cure game. | ||
(c) During the time that tickets are sold for the Ticket | ||
For The Cure game, the Department shall not unreasonably | ||
diminish the efforts devoted to marketing any other instant | ||
scratch-off lottery game. | ||
(d) The Department may adopt any rules necessary to | ||
implement and administer the provisions of this Section.
| ||
(Source: P.A. 96-1290, eff. 7-26-10.) |
(20 ILCS 1605/21.6)
| ||
Sec. 21.6. Scratch-off for Illinois veterans. | ||
(a) The Department shall offer a special instant | ||
scratch-off game for the benefit of Illinois veterans. The game | ||
shall commence on January 1, 2006 or as soon thereafter, at the | ||
discretion of the Superintendent Director , as is reasonably | ||
practical. The operation of the game shall be governed by this | ||
Act and any rules adopted by the Department. If any provision | ||
of this Section is inconsistent with any other provision of | ||
this Act, then this Section governs. | ||
(b) The Illinois Veterans Assistance Fund is created as a | ||
special fund in the State treasury. The net revenue from the | ||
Illinois veterans scratch-off game shall be deposited into the | ||
Fund for appropriation by the General Assembly solely to the | ||
Department of Veterans Affairs for making grants, funding | ||
additional services, or conducting additional research | ||
projects relating to each of the following: | ||
(i) veterans' post traumatic stress disorder; | ||
(ii) veterans' homelessness; | ||
(iii) the health insurance costs of veterans; | ||
(iv) veterans' disability benefits, including but not | ||
limited to, disability benefits provided by veterans | ||
service organizations and veterans assistance commissions | ||
or centers; and | ||
(v) the long-term care of veterans; provided that, | ||
beginning with moneys appropriated for fiscal year 2008, no |
more than 20% of such moneys shall be used for health | ||
insurance costs. | ||
In order to expend moneys from this special fund, | ||
beginning with moneys appropriated for fiscal year 2008, | ||
the Director of Veterans' Affairs shall appoint a 3-member | ||
funding authorization committee. The Superintendent | ||
Director shall designate one of the members as chairperson. | ||
The committee shall meet on a quarterly basis, at a | ||
minimum, and shall authorize expenditure of moneys from the | ||
special fund by a two-thirds vote. Decisions of the | ||
committee shall not take effect unless and until approved | ||
by the Director of Veterans' Affairs. Each member of the | ||
committee shall serve until a replacement is named by the | ||
Director of Veterans' Affairs. One member of the committee | ||
shall be a member of the Veterans' Advisory Council. | ||
Moneys collected from the special instant scratch-off game | ||
shall be used only as a supplemental financial resource and | ||
shall not supplant existing moneys that the Department of | ||
Veterans Affairs may currently expend for the purposes set | ||
forth in items (i) through (v).
| ||
Moneys received for the purposes of this Section, | ||
including, without limitation, net revenue from the special | ||
instant scratch-off game and from gifts, grants, and awards | ||
from any public or private entity, must be deposited into the | ||
Fund. Any interest earned on moneys in the Fund must be | ||
deposited into the Fund.
|
For purposes of this subsection, "net revenue" means the | ||
total amount for which tickets have been sold less the sum of | ||
the amount paid out in the prizes and the actual administrative | ||
expenses of the Department solely related to the scratch-off | ||
game under this Section.
| ||
(c) During the time that tickets are sold for the Illinois | ||
veterans scratch-off game, the Department shall not | ||
unreasonably diminish the efforts devoted to marketing any | ||
other instant scratch-off lottery game. | ||
(d) The Department may adopt any rules necessary to | ||
implement and administer the provisions of this Section.
| ||
(Source: P.A. 94-585, eff. 8-15-05; 95-331, eff. 8-20-07; | ||
95-649, eff. 10-11-07.) | ||
(20 ILCS 1605/21.7) | ||
Sec. 21.7. Scratch-out Multiple Sclerosis scratch-off | ||
game. | ||
(a) The Department shall offer a special instant | ||
scratch-off game for the benefit of research pertaining to | ||
multiple sclerosis. The game shall commence on July 1, 2008 or | ||
as soon thereafter, in the discretion of the Superintendent | ||
Director , as is reasonably practical. The operation of the game | ||
shall be governed by this Act and any rules adopted by the | ||
Department. If any provision of this Section is inconsistent | ||
with any other provision of this Act, then this Section | ||
governs.
|
(b) The Multiple Sclerosis Research Fund is created as a | ||
special fund in the State treasury. The net revenue from the | ||
scratch-out multiple sclerosis scratch-off game created under | ||
this Section shall be deposited into the Fund for appropriation | ||
by the General Assembly to the Department of Public Health for | ||
the purpose of making grants to organizations in Illinois that | ||
conduct research pertaining to the repair of damage caused by | ||
an acquired demyelinating disease of the central nervous | ||
system. | ||
Moneys received for the purposes of this Section, | ||
including, without limitation, net revenue from the special | ||
instant scratch-off game and from gifts, grants, and awards | ||
from any public or private entity, must be deposited into the | ||
Fund. Any interest earned on moneys in the Fund must be | ||
deposited into the Fund. | ||
For purposes of this Section, the term "research" includes,
| ||
without limitation, expenditures to develop and advance the
| ||
understanding, techniques, and modalities effective for
| ||
maintaining function, mobility, and strength through | ||
preventive physical therapy or other treatments and to develop
| ||
and advance the repair of myelin, neuron, and axon damage
| ||
caused by an acquired demyelinating disease of the central
| ||
nervous system and the restoration of function, including but
| ||
not limited to, nervous system repair or neuroregeneration. | ||
The
grant funds may not be used for institutional, | ||
organizational,
or community-based overhead costs, indirect |
costs, or levies. | ||
For purposes of this subsection, "net revenue" means the | ||
total amount for which tickets have been sold less the sum of | ||
the amount paid out in the prizes and the actual administrative | ||
expenses of the Department solely related to the scratch-off | ||
game under this Section. | ||
(c) During the time that tickets are sold for the | ||
scratch-out multiple sclerosis scratch-off game, the | ||
Department shall not unreasonably diminish the efforts devoted | ||
to marketing any other instant scratch-off lottery game. | ||
(d) The Department may adopt any rules necessary to | ||
implement and administer the provisions of this Section.
| ||
(Source: P.A. 95-673, eff. 10-11-07; 95-876, eff. 8-21-08.) | ||
(20 ILCS 1605/21.8) | ||
Sec. 21.8. Quality of Life scratch-off game. | ||
(a) The Department shall offer a special instant | ||
scratch-off game with the title of "Quality of Life". The game | ||
shall commence on July 1, 2007 or as soon thereafter, in the | ||
discretion of the Superintendent Director , as is reasonably | ||
practical, and shall be discontinued on December 31, 2012. The | ||
operation of the game is governed by this Act and by any rules | ||
adopted by the Department. The Department must consult with the | ||
Quality of Life Board, which is established under Section | ||
2310-348 of the Department of Public Health Powers and Duties | ||
Law of the
Civil Administrative Code of Illinois, regarding the |
design and promotion of the game. If any provision of this | ||
Section is inconsistent with any other provision of this Act, | ||
then this Section governs. | ||
(b) The Quality of Life Endowment Fund is created as a | ||
special fund in the State treasury. The net revenue from the | ||
Quality of Life special instant scratch-off game must be | ||
deposited into the Fund for appropriation by the General | ||
Assembly solely to the Department of Public Health for the | ||
purpose of HIV/AIDS-prevention education and for making grants | ||
to public or private entities in Illinois for the purpose of | ||
funding organizations that serve the highest at-risk | ||
categories for contracting HIV or developing AIDS. Grants shall | ||
be targeted to serve at-risk populations in proportion to the | ||
distribution of recent reported Illinois HIV/AIDS cases among | ||
risk groups as reported by the Illinois Department of Public | ||
Health. The recipient organizations must be engaged in | ||
HIV/AIDS-prevention education and HIV/AIDS healthcare | ||
treatment. The Department must, before grants are awarded, | ||
provide copies of all grant applications to the Quality of Life | ||
Board, receive and review the Board's recommendations and | ||
comments, and consult with the Board regarding the grants. | ||
Organizational size will determine an organization's | ||
competitive slot in the "Request for Proposal" process. | ||
Organizations with an annual budget of $300,000 or less will | ||
compete with like size organizations for 50% of the Quality of | ||
Life annual fund. Organizations with an annual budget of |
$300,001 to $700,000 will compete with like organizations for | ||
25% of the Quality of Life annual fund, and organizations with | ||
an annual budget of $700,001 and upward will compete with like | ||
organizations for 25% of the Quality of Life annual fund. The | ||
lottery may designate a percentage of proceeds for marketing | ||
purpose. The grant funds may not be used for institutional, | ||
organizational, or community-based overhead costs, indirect | ||
costs, or levies. | ||
Grants awarded from the Fund are intended to augment the | ||
current and future State funding for the prevention and | ||
treatment of HIV/AIDS and are not intended to replace that | ||
funding.
| ||
Moneys received for the purposes of this Section, | ||
including, without limitation, net revenue from the special | ||
instant scratch-off game and gifts, grants, and awards from any | ||
public or private entity, must be deposited into the Fund. Any | ||
interest earned on moneys in the Fund must be deposited into | ||
the Fund. | ||
For purposes of this subsection, "net revenue" means the | ||
total amount for which tickets have been sold less the sum of | ||
the amount paid out in prizes and the actual administrative | ||
expenses of the Department solely related to the Quality of | ||
Life game. | ||
(c) During the time that tickets are sold for the Quality | ||
of Life game, the Department shall not unreasonably diminish | ||
the efforts devoted to marketing any other instant scratch-off |
lottery game. | ||
(d) The Department may adopt any rules necessary to | ||
implement and administer the provisions of this Section in | ||
consultation with the Quality of Life Board.
| ||
(Source: P.A. 95-674, eff. 10-11-07; 95-876, eff. 8-21-08.)
| ||
(20 ILCS 1605/27) (from Ch. 120, par. 1177)
| ||
Sec. 27.
(a) The State Treasurer may, with the consent of | ||
the Superintendent Director ,
contract with any person or | ||
corporation, including, without limitation,
a bank, banking | ||
house, trust company or investment banking firm, to perform
| ||
such financial functions, activities or services in connection | ||
with operation
of the lottery as the State Treasurer and the | ||
Superintendent Director may prescribe.
| ||
(b) All proceeds from investments made pursuant to | ||
contracts executed by
the State Treasurer, with the consent of | ||
the Superintendent Director ,
to perform financial functions, | ||
activities or services in connection with
operation of the | ||
lottery, shall be deposited and held by the State Treasurer
as | ||
ex-officio custodian thereof, separate and apart from all
| ||
public money or funds of this State in a special trust fund | ||
outside the
State treasury. Such trust fund shall be known as | ||
the "Deferred Lottery
Prize Winners Trust Fund", and shall be | ||
administered by the Superintendent Director .
| ||
The Superintendent Director shall, at such times and in | ||
such amounts as shall be
necessary, prepare and send to the |
State Comptroller vouchers requesting
payment from the | ||
Deferred Lottery Prize Winners Trust Fund to deferred
prize | ||
winners, in a manner that will insure the timely
payment of | ||
such amounts owed.
| ||
This Act shall constitute an irrevocable appropriation of | ||
all amounts
necessary for that purpose, and the irrevocable and | ||
continuing authority
for and direction to the Superintendent | ||
Director and the State Treasurer to
make the necessary payments | ||
out of such trust fund for that purpose.
| ||
(c) Moneys invested pursuant to subsection (a) of this | ||
Section may be
invested only in bonds, notes, certificates of | ||
indebtedness, treasury
bills, or other securities constituting | ||
direct obligations of the United
States of America and all | ||
securities or obligations the prompt payment of
principal and | ||
interest of which is guaranteed by a pledge of the full faith
| ||
and credit of the United States of America. Interest earnings | ||
on moneys in
the Deferred Lottery Prize Winners Trust Fund | ||
shall remain in such fund
and be used to pay the winners of | ||
lottery prizes deferred as to payment
until such obligations | ||
are discharged.
Proceeds from bonds purchased and interest | ||
accumulated as a result of a grand
prize multi-state game | ||
ticket that goes unclaimed will be transferred after the
| ||
termination of the relevant claim period directly from the | ||
lottery's Deferred
Lottery Prize Winners Trust Fund to each | ||
respective multi-state partner state
according to its | ||
contribution ratio.
|
(c-5) If a deferred lottery prize is not claimed within the | ||
claim
period established by game rule, then the securities or | ||
other instruments
purchased to fund the prize shall be | ||
liquidated and the liquidated amount
shall be transferred to | ||
the State Lottery Fund for disposition pursuant to
Section 19 | ||
of
this Act.
| ||
(c-10) The Superintendent Director may use a portion of the | ||
moneys in the
Deferred
Lottery Prize Winners Trust Fund to | ||
purchase bonds
to pay a lifetime prize if the prize duration | ||
exceeds the length of available
securities. If the winner of a | ||
lifetime prize exceeds his or her life
expectancy as determined | ||
using actuarial assumptions and the securities or
moneys set | ||
aside to pay the prize have been exhausted, moneys in the State
| ||
Lottery Fund shall be used to make payments to the winner
for | ||
the duration of the winner's life.
| ||
(c-15) From time to time, the Superintendent Director may
| ||
request that the State Comptroller transfer any excess moneys | ||
in the Deferred
Lottery Prize Winners Trust Fund to the Lottery | ||
Fund.
| ||
(d) This amendatory Act of 1985 shall be construed | ||
liberally to effect
the purposes of the Illinois Lottery Law.
| ||
(Source: P.A. 89-466, eff. 6-13-96; 90-346, eff. 8-8-97.)
| ||
(20 ILCS 1605/29 new) | ||
Sec. 29. The Department of the Lottery. | ||
(a) Executive Order No. 2003-09 is hereby superseded by |
this amendatory Act of the 97th General Assembly to the extent | ||
that Executive Order No. 2003-09 transfers the powers, duties, | ||
rights, and responsibilities of the Department of the Lottery | ||
to the Division of the Lottery within the Department of | ||
Revenue. | ||
(b) The Division of the Lottery within the Department of | ||
Revenue is hereby abolished and the Department of the Lottery | ||
is created as an independent department. On the effective date | ||
of this amendatory Act of the 97th General Assembly, all | ||
powers, duties, rights, and responsibilities of the Division of | ||
the Lottery within the Department of Revenue shall be | ||
transferred to the Department of the Lottery. | ||
(c) The personnel of the Division of the Lottery within the | ||
Department of Revenue shall be transferred to the Department of | ||
the Lottery. The status and rights of such employees under the | ||
Personnel Code shall not be affected by the transfer. The | ||
rights of the employees and the State of Illinois and its | ||
agencies under the Personnel Code and applicable collective | ||
bargaining agreements or under any pension, retirement, or | ||
annuity plan shall not be affected by this amendatory Act of | ||
the 97th General Assembly. To the extent that an employee | ||
performs duties for the Division of the Lottery within the | ||
Department of Revenue and the Department of Revenue itself or | ||
any other division or agency within the Department of Revenue, | ||
that employee shall be transferred at the Governor's | ||
discretion. |
(d) All books, records, papers, documents, property (real | ||
and personal), contracts, causes of action, and pending | ||
business pertaining to the powers, duties, rights, and | ||
responsibilities transferred by this amendatory Act of the 97th | ||
General Assembly from the Division of the Lottery within the | ||
Department of Revenue to the Department of the Lottery, | ||
including, but not limited to, material in electronic or | ||
magnetic format and necessary computer hardware and software, | ||
shall be transferred to the Department of the Lottery. | ||
(e) All unexpended appropriations and balances and other | ||
funds available for use by the Division of the Lottery within | ||
the Department of Revenue shall be transferred for use by the | ||
Department of the Lottery pursuant to the direction of the | ||
Governor. Unexpended balances so transferred shall be expended | ||
only for the purpose for which the appropriations were | ||
originally made. | ||
(f) The powers, duties, rights, and responsibilities | ||
transferred from the Division of the Lottery within the | ||
Department of Revenue by this amendatory Act of the 97th | ||
General Assembly shall be vested in and shall be exercised by | ||
the Department of the Lottery. | ||
(g) Whenever reports or notices are now required to be made | ||
or given or papers or documents furnished or served by any | ||
person to or upon the Division of the Lottery within the | ||
Department of Revenue in connection with any of the powers, | ||
duties, rights, and responsibilities transferred by this |
amendatory Act of the 97th General Assembly, the same shall be | ||
made, given, furnished, or served in the same manner to or upon | ||
the Department of the Lottery. | ||
(h) This amendatory Act of the 97th General Assembly does | ||
not affect any act done, ratified, or canceled or any right | ||
occurring or established or any action or proceeding had or | ||
commenced in an administrative, civil, or criminal cause by the | ||
Division of the Lottery within the Department of Revenue before | ||
this amendatory Act of the 97th General Assembly takes effect; | ||
such actions or proceedings may be prosecuted and continued by | ||
the Department of the Lottery. | ||
(i) Any rules of the Division of the Lottery within the | ||
Department of Revenue, including any rules of its predecessor | ||
Department of the Lottery, that relate to its powers, duties, | ||
rights, and responsibilities and are in full force on the | ||
effective date of this amendatory Act of the 97th General | ||
Assembly shall become the rules of the recreated Department of | ||
the Lottery. This amendatory Act of the 97th General Assembly | ||
does not affect the legality of any such rules in the Illinois | ||
Administrative Code. | ||
Any proposed rules filed with the Secretary of State by the | ||
Division of the Lottery within the Department of Revenue that | ||
are pending in the rulemaking process on the effective date of | ||
this amendatory Act of the 97th General Assembly and pertain to | ||
the powers, duties, rights, and responsibilities transferred, | ||
shall be deemed to have been filed by the Department of the |
Lottery. As soon as practicable hereafter, the Department of | ||
the Lottery shall revise and clarify the rules transferred to | ||
it under this amendatory Act of the 97th General Assembly to | ||
reflect the reorganization of powers, duties, rights, and | ||
responsibilities affected by this amendatory Act, using the | ||
procedures for recodification of rules available under the | ||
Illinois Administrative Procedures Act, except that existing | ||
title, part, and section numbering for the affected rules may | ||
be retained. The Department of the Lottery may propose and | ||
adopt under the Illinois Administrative Procedures Act such | ||
other rules of the Division of the Lottery within the | ||
Department of Revenue that will now be administered by the | ||
Department of the Lottery. | ||
To the extent that, prior to the effective date of this | ||
amendatory Act of the 97th General Assembly, the Superintendent | ||
of the Division of the Lottery within the Department of Revenue | ||
had been empowered to prescribe rules or had other rulemaking | ||
authority jointly with the Director of the Department of | ||
Revenue with regard to the powers, duties, rights, and | ||
responsibilities of the Division of the Lottery within the | ||
Department of Revenue, such duties shall be exercised from and | ||
after the effective date of this amendatory Act of the 97th | ||
General Assembly solely by the Superintendent of the Department | ||
of the Lottery. | ||
Section 15. The Department of Public Health Powers and |
Duties Law of the
Civil Administrative Code of Illinois is | ||
amended by changing Section 2310-348 as follows: | ||
(20 ILCS 2310/2310-348)
| ||
Sec. 2310-348. The Quality of Life Board. | ||
(a) The Quality of Life Board is created as an advisory | ||
board within the Department. The Board shall consist of 11 | ||
members as follows: 2 members appointed by the President of the | ||
Senate; one member appointed by the Minority Leader of the | ||
Senate; 2 members appointed by the Speaker of the House of | ||
Representatives; one member appointed by the Minority Leader of | ||
the House of Representatives; 2 members appointed by the | ||
Governor, one of whom shall be designated as chair of the Board | ||
at the time of appointment; and 3 members appointed by the | ||
Director who represent organizations that advocate for the | ||
healthcare needs of the first and second highest HIV/AIDS risk | ||
groups, one each from the northern Illinois region, the central | ||
Illinois region, and the southern Illinois region. | ||
The Board members shall serve one 2-year term. If a vacancy | ||
occurs in the Board membership, the vacancy shall be filled in | ||
the same manner as the initial appointment. | ||
(b) Board members shall serve without compensation but may | ||
be reimbursed for their reasonable travel expenses from funds | ||
appropriated for that purpose. The Department shall provide | ||
staff and administrative support services to the Board. | ||
(c) The Board must: |
(i) consult with the Department of the Lottery Revenue | ||
in designing and promoting the Quality of Life special | ||
instant scratch-off lottery game; and | ||
(ii) review grant applications, make recommendations | ||
and comments, and consult with the Department of Public | ||
Health in making grants, from amounts appropriated from the | ||
Quality of Life Endowment Fund, to public or private | ||
entities in Illinois for the purpose of | ||
HIV/AIDS-prevention education and for making grants to | ||
public or private entities in Illinois for the purpose of | ||
funding organizations that serve the highest at-risk | ||
categories for contracting HIV or developing AIDS in | ||
accordance with Section 21.7 of the Illinois Lottery Law. | ||
(d) The Board is discontinued on June 30, 2013.
| ||
(Source: P.A. 95-674, eff. 10-11-07.) | ||
Section 20. The Illinois Department of Revenue Sunshine Act | ||
is amended by changing Section 2.3 as follows:
| ||
(20 ILCS 2515/2.3) (from Ch. 127, par. 2002.3)
| ||
Sec. 2.3.
"Revenue laws" means any statutes, rules or | ||
regulations administered
or promulgated by the Department | ||
including those concerning the Illinois Lottery Law .
| ||
(Source: P.A. 82-727.)
| ||
(20 ILCS 5/5-370 rep.)
|
Section 25. The Civil Administrative Code of Illinois is | ||
amended by repealing Section 5-370.
| ||
Section 99. Effective date. This Section and the changes | ||
to Sections 3, 5, and 9.1 of the Illinois Lottery Law take | ||
effect upon becoming law. The remainder of this Act takes | ||
effect on October 15, 2011. |