100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB2522

 

Introduced , by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 5/26  from Ch. 8, par. 37-26
230 ILCS 5/26.8
230 ILCS 5/26.9
230 ILCS 5/27  from Ch. 8, par. 37-27

    Amends the Illinois Horse Racing Act of 1975. Removes language terminating the authorization for advance deposit wagering on December 31, 2018. Effective immediately.


LRB100 08449 MJP 18567 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2522LRB100 08449 MJP 18567 b

1    AN ACT concerning gaming.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Horse Racing Act of 1975 is amended
5by changing Sections 26, 26.8, 26.9, and 27 as follows:
 
6    (230 ILCS 5/26)  (from Ch. 8, par. 37-26)
7    Sec. 26. Wagering.
8    (a) Any licensee may conduct and supervise the pari-mutuel
9system of wagering, as defined in Section 3.12 of this Act, on
10horse races conducted by an Illinois organization licensee or
11conducted at a racetrack located in another state or country
12and televised in Illinois in accordance with subsection (g) of
13Section 26 of this Act. Subject to the prior consent of the
14Board, licensees may supplement any pari-mutuel pool in order
15to guarantee a minimum distribution. Such pari-mutuel method of
16wagering shall not, under any circumstances if conducted under
17the provisions of this Act, be held or construed to be
18unlawful, other statutes of this State to the contrary
19notwithstanding. Subject to rules for advance wagering
20promulgated by the Board, any licensee may accept wagers in
21advance of the day of the race wagered upon occurs.
22    (b) No other method of betting, pool making, wagering or
23gambling shall be used or permitted by the licensee. Each

 

 

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1licensee may retain, subject to the payment of all applicable
2taxes and purses, an amount not to exceed 17% of all money
3wagered under subsection (a) of this Section, except as may
4otherwise be permitted under this Act.
5    (b-5) An individual may place a wager under the pari-mutuel
6system from any licensed location authorized under this Act
7provided that wager is electronically recorded in the manner
8described in Section 3.12 of this Act. Any wager made
9electronically by an individual while physically on the
10premises of a licensee shall be deemed to have been made at the
11premises of that licensee.
12    (c) Until January 1, 2000, the sum held by any licensee for
13payment of outstanding pari-mutuel tickets, if unclaimed prior
14to December 31 of the next year, shall be retained by the
15licensee for payment of such tickets until that date. Within 10
16days thereafter, the balance of such sum remaining unclaimed,
17less any uncashed supplements contributed by such licensee for
18the purpose of guaranteeing minimum distributions of any
19pari-mutuel pool, shall be paid to the Illinois Veterans'
20Rehabilitation Fund of the State treasury, except as provided
21in subsection (g) of Section 27 of this Act.
22    (c-5) Beginning January 1, 2000, the sum held by any
23licensee for payment of outstanding pari-mutuel tickets, if
24unclaimed prior to December 31 of the next year, shall be
25retained by the licensee for payment of such tickets until that
26date. Within 10 days thereafter, the balance of such sum

 

 

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1remaining unclaimed, less any uncashed supplements contributed
2by such licensee for the purpose of guaranteeing minimum
3distributions of any pari-mutuel pool, shall be evenly
4distributed to the purse account of the organization licensee
5and the organization licensee.
6    (d) A pari-mutuel ticket shall be honored until December 31
7of the next calendar year, and the licensee shall pay the same
8and may charge the amount thereof against unpaid money
9similarly accumulated on account of pari-mutuel tickets not
10presented for payment.
11    (e) No licensee shall knowingly permit any minor, other
12than an employee of such licensee or an owner, trainer, jockey,
13driver, or employee thereof, to be admitted during a racing
14program unless accompanied by a parent or guardian, or any
15minor to be a patron of the pari-mutuel system of wagering
16conducted or supervised by it. The admission of any
17unaccompanied minor, other than an employee of the licensee or
18an owner, trainer, jockey, driver, or employee thereof at a
19race track is a Class C misdemeanor.
20    (f) Notwithstanding the other provisions of this Act, an
21organization licensee may contract with an entity in another
22state or country to permit any legal wagering entity in another
23state or country to accept wagers solely within such other
24state or country on races conducted by the organization
25licensee in this State. Beginning January 1, 2000, these wagers
26shall not be subject to State taxation. Until January 1, 2000,

 

 

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1when the out-of-State entity conducts a pari-mutuel pool
2separate from the organization licensee, a privilege tax equal
3to 7 1/2% of all monies received by the organization licensee
4from entities in other states or countries pursuant to such
5contracts is imposed on the organization licensee, and such
6privilege tax shall be remitted to the Department of Revenue
7within 48 hours of receipt of the moneys from the simulcast.
8When the out-of-State entity conducts a combined pari-mutuel
9pool with the organization licensee, the tax shall be 10% of
10all monies received by the organization licensee with 25% of
11the receipts from this 10% tax to be distributed to the county
12in which the race was conducted.
13    An organization licensee may permit one or more of its
14races to be utilized for pari-mutuel wagering at one or more
15locations in other states and may transmit audio and visual
16signals of races the organization licensee conducts to one or
17more locations outside the State or country and may also permit
18pari-mutuel pools in other states or countries to be combined
19with its gross or net wagering pools or with wagering pools
20established by other states.
21    (g) A host track may accept interstate simulcast wagers on
22horse races conducted in other states or countries and shall
23control the number of signals and types of breeds of racing in
24its simulcast program, subject to the disapproval of the Board.
25The Board may prohibit a simulcast program only if it finds
26that the simulcast program is clearly adverse to the integrity

 

 

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1of racing. The host track simulcast program shall include the
2signal of live racing of all organization licensees. All
3non-host licensees and advance deposit wagering licensees
4shall carry the signal of and accept wagers on live racing of
5all organization licensees. Advance deposit wagering licensees
6shall not be permitted to accept out-of-state wagers on any
7Illinois signal provided pursuant to this Section without the
8approval and consent of the organization licensee providing the
9signal. For one year after August 15, 2014 (the effective date
10of Public Act 98-968) this amendatory Act of the 98th General
11Assembly, non-host licensees may carry the host track simulcast
12program and shall accept wagers on all races included as part
13of the simulcast program of horse races conducted at race
14tracks located within North America upon which wagering is
15permitted. For a period of one year after August 15, 2014 (the
16effective date of Public Act 98-968) this amendatory Act of the
1798th General Assembly, on horse races conducted at race tracks
18located outside of North America, non-host licensees may accept
19wagers on all races included as part of the simulcast program
20upon which wagering is permitted. Beginning August 15, 2015
21(one year after the effective date of Public Act 98-968) this
22amendatory Act of the 98th General Assembly, non-host licensees
23may carry the host track simulcast program and shall accept
24wagers on all races included as part of the simulcast program
25upon which wagering is permitted. All organization licensees
26shall provide their live signal to all advance deposit wagering

 

 

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1licensees for a simulcast commission fee not to exceed 6% of
2the advance deposit wagering licensee's Illinois handle on the
3organization licensee's signal without prior approval by the
4Board. The Board may adopt rules under which it may permit
5simulcast commission fees in excess of 6%. The Board shall
6adopt rules limiting the interstate commission fees charged to
7an advance deposit wagering licensee. The Board shall adopt
8rules regarding advance deposit wagering on interstate
9simulcast races that shall reflect, among other things, the
10General Assembly's desire to maximize revenues to the State,
11horsemen purses, and organizational licensees. However,
12organization licensees providing live signals pursuant to the
13requirements of this subsection (g) may petition the Board to
14withhold their live signals from an advance deposit wagering
15licensee if the organization licensee discovers and the Board
16finds reputable or credible information that the advance
17deposit wagering licensee is under investigation by another
18state or federal governmental agency, the advance deposit
19wagering licensee's license has been suspended in another
20state, or the advance deposit wagering licensee's license is in
21revocation proceedings in another state. The organization
22licensee's provision of their live signal to an advance deposit
23wagering licensee under this subsection (g) pertains to wagers
24placed from within Illinois. Advance deposit wagering
25licensees may place advance deposit wagering terminals at
26wagering facilities as a convenience to customers. The advance

 

 

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1deposit wagering licensee shall not charge or collect any fee
2from purses for the placement of the advance deposit wagering
3terminals. The costs and expenses of the host track and
4non-host licensees associated with interstate simulcast
5wagering, other than the interstate commission fee, shall be
6borne by the host track and all non-host licensees incurring
7these costs. The interstate commission fee shall not exceed 5%
8of Illinois handle on the interstate simulcast race or races
9without prior approval of the Board. The Board shall promulgate
10rules under which it may permit interstate commission fees in
11excess of 5%. The interstate commission fee and other fees
12charged by the sending racetrack, including, but not limited
13to, satellite decoder fees, shall be uniformly applied to the
14host track and all non-host licensees.
15    Notwithstanding any other provision of this Act, through
16December 31, 2018, an organization licensee, with the consent
17of the horsemen association representing the largest number of
18owners, trainers, jockeys, or standardbred drivers who race
19horses at that organization licensee's racing meeting, may
20maintain a system whereby advance deposit wagering may take
21place or an organization licensee, with the consent of the
22horsemen association representing the largest number of
23owners, trainers, jockeys, or standardbred drivers who race
24horses at that organization licensee's racing meeting, may
25contract with another person to carry out a system of advance
26deposit wagering. Such consent may not be unreasonably

 

 

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1withheld. Only with respect to an appeal to the Board that
2consent for an organization licensee that maintains its own
3advance deposit wagering system is being unreasonably
4withheld, the Board shall issue a final order within 30 days
5after initiation of the appeal, and the organization licensee's
6advance deposit wagering system may remain operational during
7that 30-day period. The actions of any organization licensee
8who conducts advance deposit wagering or any person who has a
9contract with an organization licensee to conduct advance
10deposit wagering who conducts advance deposit wagering on or
11after January 1, 2013 and prior to June 7, 2013 (the effective
12date of Public Act 98-18) this amendatory Act of the 98th
13General Assembly taken in reliance on the changes made to this
14subsection (g) by Public Act 98-18 this amendatory Act of the
1598th General Assembly are hereby validated, provided payment of
16all applicable pari-mutuel taxes are remitted to the Board. All
17advance deposit wagers placed from within Illinois must be
18placed through a Board-approved advance deposit wagering
19licensee; no other entity may accept an advance deposit wager
20from a person within Illinois. All advance deposit wagering is
21subject to any rules adopted by the Board. The Board may adopt
22rules necessary to regulate advance deposit wagering through
23the use of emergency rulemaking in accordance with Section 5-45
24of the Illinois Administrative Procedure Act. The General
25Assembly finds that the adoption of rules to regulate advance
26deposit wagering is deemed an emergency and necessary for the

 

 

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1public interest, safety, and welfare. An advance deposit
2wagering licensee may retain all moneys as agreed to by
3contract with an organization licensee. Any moneys retained by
4the organization licensee from advance deposit wagering, not
5including moneys retained by the advance deposit wagering
6licensee, shall be paid 50% to the organization licensee's
7purse account and 50% to the organization licensee. With the
8exception of any organization licensee that is owned by a
9publicly traded company that is incorporated in a state other
10than Illinois and advance deposit wagering licensees under
11contract with such organization licensees, organization
12licensees that maintain advance deposit wagering systems and
13advance deposit wagering licensees that contract with
14organization licensees shall provide sufficiently detailed
15monthly accountings to the horsemen association representing
16the largest number of owners, trainers, jockeys, or
17standardbred drivers who race horses at that organization
18licensee's racing meeting so that the horsemen association, as
19an interested party, can confirm the accuracy of the amounts
20paid to the purse account at the horsemen association's
21affiliated organization licensee from advance deposit
22wagering. If more than one breed races at the same race track
23facility, then the 50% of the moneys to be paid to an
24organization licensee's purse account shall be allocated among
25all organization licensees' purse accounts operating at that
26race track facility proportionately based on the actual number

 

 

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1of host days that the Board grants to that breed at that race
2track facility in the current calendar year. To the extent any
3fees from advance deposit wagering conducted in Illinois for
4wagers in Illinois or other states have been placed in escrow
5or otherwise withheld from wagers pending a determination of
6the legality of advance deposit wagering, no action shall be
7brought to declare such wagers or the disbursement of any fees
8previously escrowed illegal.
9        (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
10    inter-track intertrack wagering licensee other than the
11    host track may supplement the host track simulcast program
12    with additional simulcast races or race programs, provided
13    that between January 1 and the third Friday in February of
14    any year, inclusive, if no live thoroughbred racing is
15    occurring in Illinois during this period, only
16    thoroughbred races may be used for supplemental interstate
17    simulcast purposes. The Board shall withhold approval for a
18    supplemental interstate simulcast only if it finds that the
19    simulcast is clearly adverse to the integrity of racing. A
20    supplemental interstate simulcast may be transmitted from
21    an inter-track intertrack wagering licensee to its
22    affiliated non-host licensees. The interstate commission
23    fee for a supplemental interstate simulcast shall be paid
24    by the non-host licensee and its affiliated non-host
25    licensees receiving the simulcast.
26        (2) Between the hours of 6:30 p.m. and 6:30 a.m. an

 

 

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1    inter-track intertrack wagering licensee other than the
2    host track may receive supplemental interstate simulcasts
3    only with the consent of the host track, except when the
4    Board finds that the simulcast is clearly adverse to the
5    integrity of racing. Consent granted under this paragraph
6    (2) to any inter-track intertrack wagering licensee shall
7    be deemed consent to all non-host licensees. The interstate
8    commission fee for the supplemental interstate simulcast
9    shall be paid by all participating non-host licensees.
10        (3) Each licensee conducting interstate simulcast
11    wagering may retain, subject to the payment of all
12    applicable taxes and the purses, an amount not to exceed
13    17% of all money wagered. If any licensee conducts the
14    pari-mutuel system wagering on races conducted at
15    racetracks in another state or country, each such race or
16    race program shall be considered a separate racing day for
17    the purpose of determining the daily handle and computing
18    the privilege tax of that daily handle as provided in
19    subsection (a) of Section 27. Until January 1, 2000, from
20    the sums permitted to be retained pursuant to this
21    subsection, each inter-track intertrack wagering location
22    licensee shall pay 1% of the pari-mutuel handle wagered on
23    simulcast wagering to the Horse Racing Tax Allocation Fund,
24    subject to the provisions of subparagraph (B) of paragraph
25    (11) of subsection (h) of Section 26 of this Act.
26        (4) A licensee who receives an interstate simulcast may

 

 

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1    combine its gross or net pools with pools at the sending
2    racetracks pursuant to rules established by the Board. All
3    licensees combining their gross pools at a sending
4    racetrack shall adopt the take-out percentages of the
5    sending racetrack. A licensee may also establish a separate
6    pool and takeout structure for wagering purposes on races
7    conducted at race tracks outside of the State of Illinois.
8    The licensee may permit pari-mutuel wagers placed in other
9    states or countries to be combined with its gross or net
10    wagering pools or other wagering pools.
11        (5) After the payment of the interstate commission fee
12    (except for the interstate commission fee on a supplemental
13    interstate simulcast, which shall be paid by the host track
14    and by each non-host licensee through the host-track) and
15    all applicable State and local taxes, except as provided in
16    subsection (g) of Section 27 of this Act, the remainder of
17    moneys retained from simulcast wagering pursuant to this
18    subsection (g), and Section 26.2 shall be divided as
19    follows:
20            (A) For interstate simulcast wagers made at a host
21        track, 50% to the host track and 50% to purses at the
22        host track.
23            (B) For wagers placed on interstate simulcast
24        races, supplemental simulcasts as defined in
25        subparagraphs (1) and (2), and separately pooled races
26        conducted outside of the State of Illinois made at a

 

 

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1        non-host licensee, 25% to the host track, 25% to the
2        non-host licensee, and 50% to the purses at the host
3        track.
4        (6) Notwithstanding any provision in this Act to the
5    contrary, non-host licensees who derive their licenses
6    from a track located in a county with a population in
7    excess of 230,000 and that borders the Mississippi River
8    may receive supplemental interstate simulcast races at all
9    times subject to Board approval, which shall be withheld
10    only upon a finding that a supplemental interstate
11    simulcast is clearly adverse to the integrity of racing.
12        (7) Notwithstanding any provision of this Act to the
13    contrary, after payment of all applicable State and local
14    taxes and interstate commission fees, non-host licensees
15    who derive their licenses from a track located in a county
16    with a population in excess of 230,000 and that borders the
17    Mississippi River shall retain 50% of the retention from
18    interstate simulcast wagers and shall pay 50% to purses at
19    the track from which the non-host licensee derives its
20    license as follows:
21            (A) Between January 1 and the third Friday in
22        February, inclusive, if no live thoroughbred racing is
23        occurring in Illinois during this period, when the
24        interstate simulcast is a standardbred race, the purse
25        share to its standardbred purse account;
26            (B) Between January 1 and the third Friday in

 

 

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1        February, inclusive, if no live thoroughbred racing is
2        occurring in Illinois during this period, and the
3        interstate simulcast is a thoroughbred race, the purse
4        share to its interstate simulcast purse pool to be
5        distributed under paragraph (10) of this subsection
6        (g);
7            (C) Between January 1 and the third Friday in
8        February, inclusive, if live thoroughbred racing is
9        occurring in Illinois, between 6:30 a.m. and 6:30 p.m.
10        the purse share from wagers made during this time
11        period to its thoroughbred purse account and between
12        6:30 p.m. and 6:30 a.m. the purse share from wagers
13        made during this time period to its standardbred purse
14        accounts;
15            (D) Between the third Saturday in February and
16        December 31, when the interstate simulcast occurs
17        between the hours of 6:30 a.m. and 6:30 p.m., the purse
18        share to its thoroughbred purse account;
19            (E) Between the third Saturday in February and
20        December 31, when the interstate simulcast occurs
21        between the hours of 6:30 p.m. and 6:30 a.m., the purse
22        share to its standardbred purse account.
23        (7.1) Notwithstanding any other provision of this Act
24    to the contrary, if no standardbred racing is conducted at
25    a racetrack located in Madison County during any calendar
26    year beginning on or after January 1, 2002, all moneys

 

 

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1    derived by that racetrack from simulcast wagering and
2    inter-track wagering that (1) are to be used for purses and
3    (2) are generated between the hours of 6:30 p.m. and 6:30
4    a.m. during that calendar year shall be paid as follows:
5            (A) If the licensee that conducts horse racing at
6        that racetrack requests from the Board at least as many
7        racing dates as were conducted in calendar year 2000,
8        80% shall be paid to its thoroughbred purse account;
9        and
10            (B) Twenty percent shall be deposited into the
11        Illinois Colt Stakes Purse Distribution Fund and shall
12        be paid to purses for standardbred races for Illinois
13        conceived and foaled horses conducted at any county
14        fairgrounds. The moneys deposited into the Fund
15        pursuant to this subparagraph (B) shall be deposited
16        within 2 weeks after the day they were generated, shall
17        be in addition to and not in lieu of any other moneys
18        paid to standardbred purses under this Act, and shall
19        not be commingled with other moneys paid into that
20        Fund. The moneys deposited pursuant to this
21        subparagraph (B) shall be allocated as provided by the
22        Department of Agriculture, with the advice and
23        assistance of the Illinois Standardbred Breeders Fund
24        Advisory Board.
25        (7.2) Notwithstanding any other provision of this Act
26    to the contrary, if no thoroughbred racing is conducted at

 

 

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1    a racetrack located in Madison County during any calendar
2    year beginning on or after January 1, 2002, all moneys
3    derived by that racetrack from simulcast wagering and
4    inter-track wagering that (1) are to be used for purses and
5    (2) are generated between the hours of 6:30 a.m. and 6:30
6    p.m. during that calendar year shall be deposited as
7    follows:
8            (A) If the licensee that conducts horse racing at
9        that racetrack requests from the Board at least as many
10        racing dates as were conducted in calendar year 2000,
11        80% shall be deposited into its standardbred purse
12        account; and
13            (B) Twenty percent shall be deposited into the
14        Illinois Colt Stakes Purse Distribution Fund. Moneys
15        deposited into the Illinois Colt Stakes Purse
16        Distribution Fund pursuant to this subparagraph (B)
17        shall be paid to Illinois conceived and foaled
18        thoroughbred breeders' programs and to thoroughbred
19        purses for races conducted at any county fairgrounds
20        for Illinois conceived and foaled horses at the
21        discretion of the Department of Agriculture, with the
22        advice and assistance of the Illinois Thoroughbred
23        Breeders Fund Advisory Board. The moneys deposited
24        into the Illinois Colt Stakes Purse Distribution Fund
25        pursuant to this subparagraph (B) shall be deposited
26        within 2 weeks after the day they were generated, shall

 

 

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1        be in addition to and not in lieu of any other moneys
2        paid to thoroughbred purses under this Act, and shall
3        not be commingled with other moneys deposited into that
4        Fund.
5        (7.3) If no live standardbred racing is conducted at a
6    racetrack located in Madison County in calendar year 2000
7    or 2001, an organization licensee who is licensed to
8    conduct horse racing at that racetrack shall, before
9    January 1, 2002, pay all moneys derived from simulcast
10    wagering and inter-track wagering in calendar years 2000
11    and 2001 and paid into the licensee's standardbred purse
12    account as follows:
13            (A) Eighty percent to that licensee's thoroughbred
14        purse account to be used for thoroughbred purses; and
15            (B) Twenty percent to the Illinois Colt Stakes
16        Purse Distribution Fund.
17        Failure to make the payment to the Illinois Colt Stakes
18    Purse Distribution Fund before January 1, 2002 shall result
19    in the immediate revocation of the licensee's organization
20    license, inter-track wagering license, and inter-track
21    wagering location license.
22        Moneys paid into the Illinois Colt Stakes Purse
23    Distribution Fund pursuant to this paragraph (7.3) shall be
24    paid to purses for standardbred races for Illinois
25    conceived and foaled horses conducted at any county
26    fairgrounds. Moneys paid into the Illinois Colt Stakes

 

 

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1    Purse Distribution Fund pursuant to this paragraph (7.3)
2    shall be used as determined by the Department of
3    Agriculture, with the advice and assistance of the Illinois
4    Standardbred Breeders Fund Advisory Board, shall be in
5    addition to and not in lieu of any other moneys paid to
6    standardbred purses under this Act, and shall not be
7    commingled with any other moneys paid into that Fund.
8        (7.4) If live standardbred racing is conducted at a
9    racetrack located in Madison County at any time in calendar
10    year 2001 before the payment required under paragraph (7.3)
11    has been made, the organization licensee who is licensed to
12    conduct racing at that racetrack shall pay all moneys
13    derived by that racetrack from simulcast wagering and
14    inter-track wagering during calendar years 2000 and 2001
15    that (1) are to be used for purses and (2) are generated
16    between the hours of 6:30 p.m. and 6:30 a.m. during 2000 or
17    2001 to the standardbred purse account at that racetrack to
18    be used for standardbred purses.
19        (8) Notwithstanding any provision in this Act to the
20    contrary, an organization licensee from a track located in
21    a county with a population in excess of 230,000 and that
22    borders the Mississippi River and its affiliated non-host
23    licensees shall not be entitled to share in any retention
24    generated on racing, inter-track wagering, or simulcast
25    wagering at any other Illinois wagering facility.
26        (8.1) Notwithstanding any provisions in this Act to the

 

 

HB2522- 19 -LRB100 08449 MJP 18567 b

1    contrary, if 2 organization licensees are conducting
2    standardbred race meetings concurrently between the hours
3    of 6:30 p.m. and 6:30 a.m., after payment of all applicable
4    State and local taxes and interstate commission fees, the
5    remainder of the amount retained from simulcast wagering
6    otherwise attributable to the host track and to host track
7    purses shall be split daily between the 2 organization
8    licensees and the purses at the tracks of the 2
9    organization licensees, respectively, based on each
10    organization licensee's share of the total live handle for
11    that day, provided that this provision shall not apply to
12    any non-host licensee that derives its license from a track
13    located in a county with a population in excess of 230,000
14    and that borders the Mississippi River.
15        (9) (Blank).
16        (10) (Blank).
17        (11) (Blank).
18        (12) The Board shall have authority to compel all host
19    tracks to receive the simulcast of any or all races
20    conducted at the Springfield or DuQuoin State fairgrounds
21    and include all such races as part of their simulcast
22    programs.
23        (13) Notwithstanding any other provision of this Act,
24    in the event that the total Illinois pari-mutuel handle on
25    Illinois horse races at all wagering facilities in any
26    calendar year is less than 75% of the total Illinois

 

 

HB2522- 20 -LRB100 08449 MJP 18567 b

1    pari-mutuel handle on Illinois horse races at all such
2    wagering facilities for calendar year 1994, then each
3    wagering facility that has an annual total Illinois
4    pari-mutuel handle on Illinois horse races that is less
5    than 75% of the total Illinois pari-mutuel handle on
6    Illinois horse races at such wagering facility for calendar
7    year 1994, shall be permitted to receive, from any amount
8    otherwise payable to the purse account at the race track
9    with which the wagering facility is affiliated in the
10    succeeding calendar year, an amount equal to 2% of the
11    differential in total Illinois pari-mutuel handle on
12    Illinois horse races at the wagering facility between that
13    calendar year in question and 1994 provided, however, that
14    a wagering facility shall not be entitled to any such
15    payment until the Board certifies in writing to the
16    wagering facility the amount to which the wagering facility
17    is entitled and a schedule for payment of the amount to the
18    wagering facility, based on: (i) the racing dates awarded
19    to the race track affiliated with the wagering facility
20    during the succeeding year; (ii) the sums available or
21    anticipated to be available in the purse account of the
22    race track affiliated with the wagering facility for purses
23    during the succeeding year; and (iii) the need to ensure
24    reasonable purse levels during the payment period. The
25    Board's certification shall be provided no later than
26    January 31 of the succeeding year. In the event a wagering

 

 

HB2522- 21 -LRB100 08449 MJP 18567 b

1    facility entitled to a payment under this paragraph (13) is
2    affiliated with a race track that maintains purse accounts
3    for both standardbred and thoroughbred racing, the amount
4    to be paid to the wagering facility shall be divided
5    between each purse account pro rata, based on the amount of
6    Illinois handle on Illinois standardbred and thoroughbred
7    racing respectively at the wagering facility during the
8    previous calendar year. Annually, the General Assembly
9    shall appropriate sufficient funds from the General
10    Revenue Fund to the Department of Agriculture for payment
11    into the thoroughbred and standardbred horse racing purse
12    accounts at Illinois pari-mutuel tracks. The amount paid to
13    each purse account shall be the amount certified by the
14    Illinois Racing Board in January to be transferred from
15    each account to each eligible racing facility in accordance
16    with the provisions of this Section.
17    (h) The Board may approve and license the conduct of
18inter-track wagering and simulcast wagering by inter-track
19wagering licensees and inter-track wagering location licensees
20subject to the following terms and conditions:
21        (1) Any person licensed to conduct a race meeting (i)
22    at a track where 60 or more days of racing were conducted
23    during the immediately preceding calendar year or where
24    over the 5 immediately preceding calendar years an average
25    of 30 or more days of racing were conducted annually may be
26    issued an inter-track wagering license; (ii) at a track

 

 

HB2522- 22 -LRB100 08449 MJP 18567 b

1    located in a county that is bounded by the Mississippi
2    River, which has a population of less than 150,000
3    according to the 1990 decennial census, and an average of
4    at least 60 days of racing per year between 1985 and 1993
5    may be issued an inter-track wagering license; or (iii) at
6    a track located in Madison County that conducted at least
7    100 days of live racing during the immediately preceding
8    calendar year may be issued an inter-track wagering
9    license, unless a lesser schedule of live racing is the
10    result of (A) weather, unsafe track conditions, or other
11    acts of God; (B) an agreement between the organization
12    licensee and the associations representing the largest
13    number of owners, trainers, jockeys, or standardbred
14    drivers who race horses at that organization licensee's
15    racing meeting; or (C) a finding by the Board of
16    extraordinary circumstances and that it was in the best
17    interest of the public and the sport to conduct fewer than
18    100 days of live racing. Any such person having operating
19    control of the racing facility may receive inter-track
20    wagering location licenses. An eligible race track located
21    in a county that has a population of more than 230,000 and
22    that is bounded by the Mississippi River may establish up
23    to 9 inter-track wagering locations, and an eligible race
24    track located in Stickney Township in Cook County may
25    establish up to 16 inter-track wagering locations, and an
26    eligible race track located in Palatine Township in Cook

 

 

HB2522- 23 -LRB100 08449 MJP 18567 b

1    County may establish up to 18 inter-track wagering
2    locations. An application for said license shall be filed
3    with the Board prior to such dates as may be fixed by the
4    Board. With an application for an inter-track wagering
5    location license there shall be delivered to the Board a
6    certified check or bank draft payable to the order of the
7    Board for an amount equal to $500. The application shall be
8    on forms prescribed and furnished by the Board. The
9    application shall comply with all other rules, regulations
10    and conditions imposed by the Board in connection
11    therewith.
12        (2) The Board shall examine the applications with
13    respect to their conformity with this Act and the rules and
14    regulations imposed by the Board. If found to be in
15    compliance with the Act and rules and regulations of the
16    Board, the Board may then issue a license to conduct
17    inter-track wagering and simulcast wagering to such
18    applicant. All such applications shall be acted upon by the
19    Board at a meeting to be held on such date as may be fixed
20    by the Board.
21        (3) In granting licenses to conduct inter-track
22    wagering and simulcast wagering, the Board shall give due
23    consideration to the best interests of the public, of horse
24    racing, and of maximizing revenue to the State.
25        (4) Prior to the issuance of a license to conduct
26    inter-track wagering and simulcast wagering, the applicant

 

 

HB2522- 24 -LRB100 08449 MJP 18567 b

1    shall file with the Board a bond payable to the State of
2    Illinois in the sum of $50,000, executed by the applicant
3    and a surety company or companies authorized to do business
4    in this State, and conditioned upon (i) the payment by the
5    licensee of all taxes due under Section 27 or 27.1 and any
6    other monies due and payable under this Act, and (ii)
7    distribution by the licensee, upon presentation of the
8    winning ticket or tickets, of all sums payable to the
9    patrons of pari-mutuel pools.
10        (5) Each license to conduct inter-track wagering and
11    simulcast wagering shall specify the person to whom it is
12    issued, the dates on which such wagering is permitted, and
13    the track or location where the wagering is to be
14    conducted.
15        (6) All wagering under such license is subject to this
16    Act and to the rules and regulations from time to time
17    prescribed by the Board, and every such license issued by
18    the Board shall contain a recital to that effect.
19        (7) An inter-track wagering licensee or inter-track
20    wagering location licensee may accept wagers at the track
21    or location where it is licensed, or as otherwise provided
22    under this Act.
23        (8) Inter-track wagering or simulcast wagering shall
24    not be conducted at any track less than 5 miles from a
25    track at which a racing meeting is in progress.
26        (8.1) Inter-track wagering location licensees who

 

 

HB2522- 25 -LRB100 08449 MJP 18567 b

1    derive their licenses from a particular organization
2    licensee shall conduct inter-track wagering and simulcast
3    wagering only at locations that are within 160 miles of
4    that race track where the particular organization licensee
5    is licensed to conduct racing. However, inter-track
6    wagering and simulcast wagering shall not be conducted by
7    those licensees at any location within 5 miles of any race
8    track at which a horse race meeting has been licensed in
9    the current year, unless the person having operating
10    control of such race track has given its written consent to
11    such inter-track wagering location licensees, which
12    consent must be filed with the Board at or prior to the
13    time application is made. In the case of any inter-track
14    wagering location licensee initially licensed after
15    December 31, 2013, inter-track wagering and simulcast
16    wagering shall not be conducted by those inter-track
17    wagering location licensees that are located outside the
18    City of Chicago at any location within 8 miles of any race
19    track at which a horse race meeting has been licensed in
20    the current year, unless the person having operating
21    control of such race track has given its written consent to
22    such inter-track wagering location licensees, which
23    consent must be filed with the Board at or prior to the
24    time application is made.
25        (8.2) Inter-track wagering or simulcast wagering shall
26    not be conducted by an inter-track wagering location

 

 

HB2522- 26 -LRB100 08449 MJP 18567 b

1    licensee at any location within 500 feet of an existing
2    church or existing school, nor within 500 feet of the
3    residences of more than 50 registered voters without
4    receiving written permission from a majority of the
5    registered voters at such residences. Such written
6    permission statements shall be filed with the Board. The
7    distance of 500 feet shall be measured to the nearest part
8    of any building used for worship services, education
9    programs, residential purposes, or conducting inter-track
10    wagering by an inter-track wagering location licensee, and
11    not to property boundaries. However, inter-track wagering
12    or simulcast wagering may be conducted at a site within 500
13    feet of a church, school or residences of 50 or more
14    registered voters if such church, school or residences have
15    been erected or established, or such voters have been
16    registered, after the Board issues the original
17    inter-track wagering location license at the site in
18    question. Inter-track wagering location licensees may
19    conduct inter-track wagering and simulcast wagering only
20    in areas that are zoned for commercial or manufacturing
21    purposes or in areas for which a special use has been
22    approved by the local zoning authority. However, no license
23    to conduct inter-track wagering and simulcast wagering
24    shall be granted by the Board with respect to any
25    inter-track wagering location within the jurisdiction of
26    any local zoning authority which has, by ordinance or by

 

 

HB2522- 27 -LRB100 08449 MJP 18567 b

1    resolution, prohibited the establishment of an inter-track
2    wagering location within its jurisdiction. However,
3    inter-track wagering and simulcast wagering may be
4    conducted at a site if such ordinance or resolution is
5    enacted after the Board licenses the original inter-track
6    wagering location licensee for the site in question.
7        (9) (Blank).
8        (10) An inter-track wagering licensee or an
9    inter-track wagering location licensee may retain, subject
10    to the payment of the privilege taxes and the purses, an
11    amount not to exceed 17% of all money wagered. Each program
12    of racing conducted by each inter-track wagering licensee
13    or inter-track wagering location licensee shall be
14    considered a separate racing day for the purpose of
15    determining the daily handle and computing the privilege
16    tax or pari-mutuel tax on such daily handle as provided in
17    Section 27.
18        (10.1) Except as provided in subsection (g) of Section
19    27 of this Act, inter-track wagering location licensees
20    shall pay 1% of the pari-mutuel handle at each location to
21    the municipality in which such location is situated and 1%
22    of the pari-mutuel handle at each location to the county in
23    which such location is situated. In the event that an
24    inter-track wagering location licensee is situated in an
25    unincorporated area of a county, such licensee shall pay 2%
26    of the pari-mutuel handle from such location to such

 

 

HB2522- 28 -LRB100 08449 MJP 18567 b

1    county.
2        (10.2) Notwithstanding any other provision of this
3    Act, with respect to inter-track intertrack wagering at a
4    race track located in a county that has a population of
5    more than 230,000 and that is bounded by the Mississippi
6    River ("the first race track"), or at a facility operated
7    by an inter-track wagering licensee or inter-track
8    wagering location licensee that derives its license from
9    the organization licensee that operates the first race
10    track, on races conducted at the first race track or on
11    races conducted at another Illinois race track and
12    simultaneously televised to the first race track or to a
13    facility operated by an inter-track wagering licensee or
14    inter-track wagering location licensee that derives its
15    license from the organization licensee that operates the
16    first race track, those moneys shall be allocated as
17    follows:
18            (A) That portion of all moneys wagered on
19        standardbred racing that is required under this Act to
20        be paid to purses shall be paid to purses for
21        standardbred races.
22            (B) That portion of all moneys wagered on
23        thoroughbred racing that is required under this Act to
24        be paid to purses shall be paid to purses for
25        thoroughbred races.
26        (11) (A) After payment of the privilege or pari-mutuel

 

 

HB2522- 29 -LRB100 08449 MJP 18567 b

1    tax, any other applicable taxes, and the costs and expenses
2    in connection with the gathering, transmission, and
3    dissemination of all data necessary to the conduct of
4    inter-track wagering, the remainder of the monies retained
5    under either Section 26 or Section 26.2 of this Act by the
6    inter-track wagering licensee on inter-track wagering
7    shall be allocated with 50% to be split between the 2
8    participating licensees and 50% to purses, except that an
9    inter-track intertrack wagering licensee that derives its
10    license from a track located in a county with a population
11    in excess of 230,000 and that borders the Mississippi River
12    shall not divide any remaining retention with the Illinois
13    organization licensee that provides the race or races, and
14    an inter-track intertrack wagering licensee that accepts
15    wagers on races conducted by an organization licensee that
16    conducts a race meet in a county with a population in
17    excess of 230,000 and that borders the Mississippi River
18    shall not divide any remaining retention with that
19    organization licensee.
20        (B) From the sums permitted to be retained pursuant to
21    this Act each inter-track wagering location licensee shall
22    pay (i) the privilege or pari-mutuel tax to the State; (ii)
23    4.75% of the pari-mutuel handle on inter-track intertrack
24    wagering at such location on races as purses, except that
25    an inter-track intertrack wagering location licensee that
26    derives its license from a track located in a county with a

 

 

HB2522- 30 -LRB100 08449 MJP 18567 b

1    population in excess of 230,000 and that borders the
2    Mississippi River shall retain all purse moneys for its own
3    purse account consistent with distribution set forth in
4    this subsection (h), and inter-track intertrack wagering
5    location licensees that accept wagers on races conducted by
6    an organization licensee located in a county with a
7    population in excess of 230,000 and that borders the
8    Mississippi River shall distribute all purse moneys to
9    purses at the operating host track; (iii) until January 1,
10    2000, except as provided in subsection (g) of Section 27 of
11    this Act, 1% of the pari-mutuel handle wagered on
12    inter-track wagering and simulcast wagering at each
13    inter-track wagering location licensee facility to the
14    Horse Racing Tax Allocation Fund, provided that, to the
15    extent the total amount collected and distributed to the
16    Horse Racing Tax Allocation Fund under this subsection (h)
17    during any calendar year exceeds the amount collected and
18    distributed to the Horse Racing Tax Allocation Fund during
19    calendar year 1994, that excess amount shall be
20    redistributed (I) to all inter-track wagering location
21    licensees, based on each licensee's pro-rata share of the
22    total handle from inter-track wagering and simulcast
23    wagering for all inter-track wagering location licensees
24    during the calendar year in which this provision is
25    applicable; then (II) the amounts redistributed to each
26    inter-track wagering location licensee as described in

 

 

HB2522- 31 -LRB100 08449 MJP 18567 b

1    subpart (I) shall be further redistributed as provided in
2    subparagraph (B) of paragraph (5) of subsection (g) of this
3    Section 26 provided first, that the shares of those
4    amounts, which are to be redistributed to the host track or
5    to purses at the host track under subparagraph (B) of
6    paragraph (5) of subsection (g) of this Section 26 shall be
7    redistributed based on each host track's pro rata share of
8    the total inter-track wagering and simulcast wagering
9    handle at all host tracks during the calendar year in
10    question, and second, that any amounts redistributed as
11    described in part (I) to an inter-track wagering location
12    licensee that accepts wagers on races conducted by an
13    organization licensee that conducts a race meet in a county
14    with a population in excess of 230,000 and that borders the
15    Mississippi River shall be further redistributed as
16    provided in subparagraphs (D) and (E) of paragraph (7) of
17    subsection (g) of this Section 26, with the portion of that
18    further redistribution allocated to purses at that
19    organization licensee to be divided between standardbred
20    purses and thoroughbred purses based on the amounts
21    otherwise allocated to purses at that organization
22    licensee during the calendar year in question; and (iv) 8%
23    of the pari-mutuel handle on inter-track wagering wagered
24    at such location to satisfy all costs and expenses of
25    conducting its wagering. The remainder of the monies
26    retained by the inter-track wagering location licensee

 

 

HB2522- 32 -LRB100 08449 MJP 18567 b

1    shall be allocated 40% to the location licensee and 60% to
2    the organization licensee which provides the Illinois
3    races to the location, except that an inter-track
4    intertrack wagering location licensee that derives its
5    license from a track located in a county with a population
6    in excess of 230,000 and that borders the Mississippi River
7    shall not divide any remaining retention with the
8    organization licensee that provides the race or races and
9    an inter-track intertrack wagering location licensee that
10    accepts wagers on races conducted by an organization
11    licensee that conducts a race meet in a county with a
12    population in excess of 230,000 and that borders the
13    Mississippi River shall not divide any remaining retention
14    with the organization licensee. Notwithstanding the
15    provisions of clauses (ii) and (iv) of this paragraph, in
16    the case of the additional inter-track wagering location
17    licenses authorized under paragraph (1) of this subsection
18    (h) by Public Act 87-110 this amendatory Act of 1991, those
19    licensees shall pay the following amounts as purses: during
20    the first 12 months the licensee is in operation, 5.25% of
21    the pari-mutuel handle wagered at the location on races;
22    during the second 12 months, 5.25%; during the third 12
23    months, 5.75%; during the fourth 12 months, 6.25%; and
24    during the fifth 12 months and thereafter, 6.75%. The
25    following amounts shall be retained by the licensee to
26    satisfy all costs and expenses of conducting its wagering:

 

 

HB2522- 33 -LRB100 08449 MJP 18567 b

1    during the first 12 months the licensee is in operation,
2    8.25% of the pari-mutuel handle wagered at the location;
3    during the second 12 months, 8.25%; during the third 12
4    months, 7.75%; during the fourth 12 months, 7.25%; and
5    during the fifth 12 months and thereafter, 6.75%. For
6    additional inter-track intertrack wagering location
7    licensees authorized under Public Act 89-16 this
8    amendatory Act of 1995, purses for the first 12 months the
9    licensee is in operation shall be 5.75% of the pari-mutuel
10    wagered at the location, purses for the second 12 months
11    the licensee is in operation shall be 6.25%, and purses
12    thereafter shall be 6.75%. For additional inter-track
13    intertrack location licensees authorized under Public Act
14    89-16 this amendatory Act of 1995, the licensee shall be
15    allowed to retain to satisfy all costs and expenses: 7.75%
16    of the pari-mutuel handle wagered at the location during
17    its first 12 months of operation, 7.25% during its second
18    12 months of operation, and 6.75% thereafter.
19        (C) There is hereby created the Horse Racing Tax
20    Allocation Fund which shall remain in existence until
21    December 31, 1999. Moneys remaining in the Fund after
22    December 31, 1999 shall be paid into the General Revenue
23    Fund. Until January 1, 2000, all monies paid into the Horse
24    Racing Tax Allocation Fund pursuant to this paragraph (11)
25    by inter-track wagering location licensees located in park
26    districts of 500,000 population or less, or in a

 

 

HB2522- 34 -LRB100 08449 MJP 18567 b

1    municipality that is not included within any park district
2    but is included within a conservation district and is the
3    county seat of a county that (i) is contiguous to the state
4    of Indiana and (ii) has a 1990 population of 88,257
5    according to the United States Bureau of the Census, and
6    operating on May 1, 1994 shall be allocated by
7    appropriation as follows:
8            Two-sevenths to the Department of Agriculture.
9        Fifty percent of this two-sevenths shall be used to
10        promote the Illinois horse racing and breeding
11        industry, and shall be distributed by the Department of
12        Agriculture upon the advice of a 9-member committee
13        appointed by the Governor consisting of the following
14        members: the Director of Agriculture, who shall serve
15        as chairman; 2 representatives of organization
16        licensees conducting thoroughbred race meetings in
17        this State, recommended by those licensees; 2
18        representatives of organization licensees conducting
19        standardbred race meetings in this State, recommended
20        by those licensees; a representative of the Illinois
21        Thoroughbred Breeders and Owners Foundation,
22        recommended by that Foundation; a representative of
23        the Illinois Standardbred Owners and Breeders
24        Association, recommended by that Association; a
25        representative of the Horsemen's Benevolent and
26        Protective Association or any successor organization

 

 

HB2522- 35 -LRB100 08449 MJP 18567 b

1        thereto established in Illinois comprised of the
2        largest number of owners and trainers, recommended by
3        that Association or that successor organization; and a
4        representative of the Illinois Harness Horsemen's
5        Association, recommended by that Association.
6        Committee members shall serve for terms of 2 years,
7        commencing January 1 of each even-numbered year. If a
8        representative of any of the above-named entities has
9        not been recommended by January 1 of any even-numbered
10        year, the Governor shall appoint a committee member to
11        fill that position. Committee members shall receive no
12        compensation for their services as members but shall be
13        reimbursed for all actual and necessary expenses and
14        disbursements incurred in the performance of their
15        official duties. The remaining 50% of this
16        two-sevenths shall be distributed to county fairs for
17        premiums and rehabilitation as set forth in the
18        Agricultural Fair Act;
19            Four-sevenths to park districts or municipalities
20        that do not have a park district of 500,000 population
21        or less for museum purposes (if an inter-track wagering
22        location licensee is located in such a park district)
23        or to conservation districts for museum purposes (if an
24        inter-track wagering location licensee is located in a
25        municipality that is not included within any park
26        district but is included within a conservation

 

 

HB2522- 36 -LRB100 08449 MJP 18567 b

1        district and is the county seat of a county that (i) is
2        contiguous to the state of Indiana and (ii) has a 1990
3        population of 88,257 according to the United States
4        Bureau of the Census, except that if the conservation
5        district does not maintain a museum, the monies shall
6        be allocated equally between the county and the
7        municipality in which the inter-track wagering
8        location licensee is located for general purposes) or
9        to a municipal recreation board for park purposes (if
10        an inter-track wagering location licensee is located
11        in a municipality that is not included within any park
12        district and park maintenance is the function of the
13        municipal recreation board and the municipality has a
14        1990 population of 9,302 according to the United States
15        Bureau of the Census); provided that the monies are
16        distributed to each park district or conservation
17        district or municipality that does not have a park
18        district in an amount equal to four-sevenths of the
19        amount collected by each inter-track wagering location
20        licensee within the park district or conservation
21        district or municipality for the Fund. Monies that were
22        paid into the Horse Racing Tax Allocation Fund before
23        August 9, 1991 (the effective date of Public Act
24        87-110) this amendatory Act of 1991 by an inter-track
25        wagering location licensee located in a municipality
26        that is not included within any park district but is

 

 

HB2522- 37 -LRB100 08449 MJP 18567 b

1        included within a conservation district as provided in
2        this paragraph shall, as soon as practicable after
3        August 9, 1991 (the effective date of Public Act
4        87-110) this amendatory Act of 1991, be allocated and
5        paid to that conservation district as provided in this
6        paragraph. Any park district or municipality not
7        maintaining a museum may deposit the monies in the
8        corporate fund of the park district or municipality
9        where the inter-track wagering location is located, to
10        be used for general purposes; and
11            One-seventh to the Agricultural Premium Fund to be
12        used for distribution to agricultural home economics
13        extension councils in accordance with "An Act in
14        relation to additional support and finances for the
15        Agricultural and Home Economic Extension Councils in
16        the several counties of this State and making an
17        appropriation therefor", approved July 24, 1967.
18        Until January 1, 2000, all other monies paid into the
19    Horse Racing Tax Allocation Fund pursuant to this paragraph
20    (11) shall be allocated by appropriation as follows:
21            Two-sevenths to the Department of Agriculture.
22        Fifty percent of this two-sevenths shall be used to
23        promote the Illinois horse racing and breeding
24        industry, and shall be distributed by the Department of
25        Agriculture upon the advice of a 9-member committee
26        appointed by the Governor consisting of the following

 

 

HB2522- 38 -LRB100 08449 MJP 18567 b

1        members: the Director of Agriculture, who shall serve
2        as chairman; 2 representatives of organization
3        licensees conducting thoroughbred race meetings in
4        this State, recommended by those licensees; 2
5        representatives of organization licensees conducting
6        standardbred race meetings in this State, recommended
7        by those licensees; a representative of the Illinois
8        Thoroughbred Breeders and Owners Foundation,
9        recommended by that Foundation; a representative of
10        the Illinois Standardbred Owners and Breeders
11        Association, recommended by that Association; a
12        representative of the Horsemen's Benevolent and
13        Protective Association or any successor organization
14        thereto established in Illinois comprised of the
15        largest number of owners and trainers, recommended by
16        that Association or that successor organization; and a
17        representative of the Illinois Harness Horsemen's
18        Association, recommended by that Association.
19        Committee members shall serve for terms of 2 years,
20        commencing January 1 of each even-numbered year. If a
21        representative of any of the above-named entities has
22        not been recommended by January 1 of any even-numbered
23        year, the Governor shall appoint a committee member to
24        fill that position. Committee members shall receive no
25        compensation for their services as members but shall be
26        reimbursed for all actual and necessary expenses and

 

 

HB2522- 39 -LRB100 08449 MJP 18567 b

1        disbursements incurred in the performance of their
2        official duties. The remaining 50% of this
3        two-sevenths shall be distributed to county fairs for
4        premiums and rehabilitation as set forth in the
5        Agricultural Fair Act;
6            Four-sevenths to museums and aquariums located in
7        park districts of over 500,000 population; provided
8        that the monies are distributed in accordance with the
9        previous year's distribution of the maintenance tax
10        for such museums and aquariums as provided in Section 2
11        of the Park District Aquarium and Museum Act; and
12            One-seventh to the Agricultural Premium Fund to be
13        used for distribution to agricultural home economics
14        extension councils in accordance with "An Act in
15        relation to additional support and finances for the
16        Agricultural and Home Economic Extension Councils in
17        the several counties of this State and making an
18        appropriation therefor", approved July 24, 1967. This
19        subparagraph (C) shall be inoperative and of no force
20        and effect on and after January 1, 2000.
21            (D) Except as provided in paragraph (11) of this
22        subsection (h), with respect to purse allocation from
23        inter-track intertrack wagering, the monies so
24        retained shall be divided as follows:
25                (i) If the inter-track wagering licensee,
26            except an inter-track intertrack wagering licensee

 

 

HB2522- 40 -LRB100 08449 MJP 18567 b

1            that derives its license from an organization
2            licensee located in a county with a population in
3            excess of 230,000 and bounded by the Mississippi
4            River, is not conducting its own race meeting
5            during the same dates, then the entire purse
6            allocation shall be to purses at the track where
7            the races wagered on are being conducted.
8                (ii) If the inter-track wagering licensee,
9            except an inter-track intertrack wagering licensee
10            that derives its license from an organization
11            licensee located in a county with a population in
12            excess of 230,000 and bounded by the Mississippi
13            River, is also conducting its own race meeting
14            during the same dates, then the purse allocation
15            shall be as follows: 50% to purses at the track
16            where the races wagered on are being conducted; 50%
17            to purses at the track where the inter-track
18            wagering licensee is accepting such wagers.
19                (iii) If the inter-track wagering is being
20            conducted by an inter-track wagering location
21            licensee, except an inter-track intertrack
22            wagering location licensee that derives its
23            license from an organization licensee located in a
24            county with a population in excess of 230,000 and
25            bounded by the Mississippi River, the entire purse
26            allocation for Illinois races shall be to purses at

 

 

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1            the track where the race meeting being wagered on
2            is being held.
3        (12) The Board shall have all powers necessary and
4    proper to fully supervise and control the conduct of
5    inter-track wagering and simulcast wagering by inter-track
6    wagering licensees and inter-track wagering location
7    licensees, including, but not limited to the following:
8            (A) The Board is vested with power to promulgate
9        reasonable rules and regulations for the purpose of
10        administering the conduct of this wagering and to
11        prescribe reasonable rules, regulations and conditions
12        under which such wagering shall be held and conducted.
13        Such rules and regulations are to provide for the
14        prevention of practices detrimental to the public
15        interest and for the best interests of said wagering
16        and to impose penalties for violations thereof.
17            (B) The Board, and any person or persons to whom it
18        delegates this power, is vested with the power to enter
19        the facilities of any licensee to determine whether
20        there has been compliance with the provisions of this
21        Act and the rules and regulations relating to the
22        conduct of such wagering.
23            (C) The Board, and any person or persons to whom it
24        delegates this power, may eject or exclude from any
25        licensee's facilities, any person whose conduct or
26        reputation is such that his presence on such premises

 

 

HB2522- 42 -LRB100 08449 MJP 18567 b

1        may, in the opinion of the Board, call into the
2        question the honesty and integrity of, or interfere
3        with the orderly conduct of such wagering; provided,
4        however, that no person shall be excluded or ejected
5        from such premises solely on the grounds of race,
6        color, creed, national origin, ancestry, or sex.
7            (D) (Blank).
8            (E) The Board is vested with the power to appoint
9        delegates to execute any of the powers granted to it
10        under this Section for the purpose of administering
11        this wagering and any rules and regulations
12        promulgated in accordance with this Act.
13            (F) The Board shall name and appoint a State
14        director of this wagering who shall be a representative
15        of the Board and whose duty it shall be to supervise
16        the conduct of inter-track wagering as may be provided
17        for by the rules and regulations of the Board; such
18        rules and regulation shall specify the method of
19        appointment and the Director's powers, authority and
20        duties.
21            (G) The Board is vested with the power to impose
22        civil penalties of up to $5,000 against individuals and
23        up to $10,000 against licensees for each violation of
24        any provision of this Act relating to the conduct of
25        this wagering, any rules adopted by the Board, any
26        order of the Board or any other action which in the

 

 

HB2522- 43 -LRB100 08449 MJP 18567 b

1        Board's discretion, is a detriment or impediment to
2        such wagering.
3        (13) The Department of Agriculture may enter into
4    agreements with licensees authorizing such licensees to
5    conduct inter-track wagering on races to be held at the
6    licensed race meetings conducted by the Department of
7    Agriculture. Such agreement shall specify the races of the
8    Department of Agriculture's licensed race meeting upon
9    which the licensees will conduct wagering. In the event
10    that a licensee conducts inter-track pari-mutuel wagering
11    on races from the Illinois State Fair or DuQuoin State Fair
12    which are in addition to the licensee's previously approved
13    racing program, those races shall be considered a separate
14    racing day for the purpose of determining the daily handle
15    and computing the privilege or pari-mutuel tax on that
16    daily handle as provided in Sections 27 and 27.1. Such
17    agreements shall be approved by the Board before such
18    wagering may be conducted. In determining whether to grant
19    approval, the Board shall give due consideration to the
20    best interests of the public and of horse racing. The
21    provisions of paragraphs (1), (8), (8.1), and (8.2) of
22    subsection (h) of this Section which are not specified in
23    this paragraph (13) shall not apply to licensed race
24    meetings conducted by the Department of Agriculture at the
25    Illinois State Fair in Sangamon County or the DuQuoin State
26    Fair in Perry County, or to any wagering conducted on those

 

 

HB2522- 44 -LRB100 08449 MJP 18567 b

1    race meetings.
2        (14) An inter-track wagering location license
3    authorized by the Board in 2016 that is owned and operated
4    by a race track in Rock Island County shall be transferred
5    to a commonly owned race track in Cook County on August 12,
6    2016 (the effective date of Public Act 99-757) this
7    amendatory Act of the 99th General Assembly. The licensee
8    shall retain its status in relation to purse distribution
9    under paragraph (11) of this subsection (h) following the
10    transfer to the new entity. The pari-mutuel tax credit
11    under Section 32.1 shall not be applied toward any
12    pari-mutuel tax obligation of the inter-track wagering
13    location licensee of the license that is transferred under
14    this paragraph (14).
15    (i) Notwithstanding the other provisions of this Act, the
16conduct of wagering at wagering facilities is authorized on all
17days, except as limited by subsection (b) of Section 19 of this
18Act.
19(Source: P.A. 98-18, eff. 6-7-13; 98-624, eff. 1-29-14; 98-968,
20eff. 8-15-14; 99-756, eff. 8-12-16; 99-757, eff. 8-12-16;
21revised 9-14-16.)
 
22    (230 ILCS 5/26.8)
23    Sec. 26.8. Beginning on February 1, 2014 and through
24December 31, 2018, each wagering licensee may impose a
25surcharge of up to 0.5% on winning wagers and winnings from

 

 

HB2522- 45 -LRB100 08449 MJP 18567 b

1wagers. The surcharge shall be deducted from winnings prior to
2payout. All amounts collected from the imposition of this
3surcharge shall be evenly distributed to the organization
4licensee and the purse account of the organization licensee
5with which the licensee is affiliated. The amounts distributed
6under this Section shall be in addition to the amounts paid
7pursuant to paragraph (10) of subsection (h) of Section 26,
8Section 26.3, Section 26.4, Section 26.5, and Section 26.7.
9(Source: P.A. 98-624, eff. 1-29-14; 99-756, eff. 8-12-16.)
 
10    (230 ILCS 5/26.9)
11    Sec. 26.9. Beginning on February 1, 2014 and through
12December 31, 2018, in addition to the surcharge imposed in
13Sections 26.3, 26.4, 26.5, 26.7, and 26.8 of this Act, each
14licensee shall impose a surcharge of 0.2% on winning wagers and
15winnings from wagers. The surcharge shall be deducted from
16winnings prior to payout. All amounts collected from the
17surcharges imposed under this Section shall be remitted to the
18Board. From amounts collected under this Section, the Board
19shall deposit an amount not to exceed $100,000 annually into
20the Quarter Horse Purse Fund and all remaining amounts into the
21Horse Racing Fund.
22(Source: P.A. 98-624, eff. 1-29-14; 99-756, eff. 8-12-16.)
 
23    (230 ILCS 5/27)  (from Ch. 8, par. 37-27)
24    Sec. 27. (a) In addition to the organization license fee

 

 

HB2522- 46 -LRB100 08449 MJP 18567 b

1provided by this Act, until January 1, 2000, a graduated
2privilege tax is hereby imposed for conducting the pari-mutuel
3system of wagering permitted under this Act. Until January 1,
42000, except as provided in subsection (g) of Section 27 of
5this Act, all of the breakage of each racing day held by any
6licensee in the State shall be paid to the State. Until January
71, 2000, such daily graduated privilege tax shall be paid by
8the licensee from the amount permitted to be retained under
9this Act. Until January 1, 2000, each day's graduated privilege
10tax, breakage, and Horse Racing Tax Allocation funds shall be
11remitted to the Department of Revenue within 48 hours after the
12close of the racing day upon which it is assessed or within
13such other time as the Board prescribes. The privilege tax
14hereby imposed, until January 1, 2000, shall be a flat tax at
15the rate of 2% of the daily pari-mutuel handle except as
16provided in Section 27.1.
17    In addition, every organization licensee, except as
18provided in Section 27.1 of this Act, which conducts multiple
19wagering shall pay, until January 1, 2000, as a privilege tax
20on multiple wagers an amount equal to 1.25% of all moneys
21wagered each day on such multiple wagers, plus an additional
22amount equal to 3.5% of the amount wagered each day on any
23other multiple wager which involves a single betting interest
24on 3 or more horses. The licensee shall remit the amount of
25such taxes to the Department of Revenue within 48 hours after
26the close of the racing day on which it is assessed or within

 

 

HB2522- 47 -LRB100 08449 MJP 18567 b

1such other time as the Board prescribes.
2    This subsection (a) shall be inoperative and of no force
3and effect on and after January 1, 2000.
4    (a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
5at the rate of 1.5% of the daily pari-mutuel handle is imposed
6at all pari-mutuel wagering facilities and on advance deposit
7wagering from a location other than a wagering facility, except
8as otherwise provided for in this subsection (a-5). In addition
9to the pari-mutuel tax imposed on advance deposit wagering
10pursuant to this subsection (a-5), beginning on August 24, 2012
11(the effective date of Public Act 97-1060) and through December
1231, 2018, an additional pari-mutuel tax at the rate of 0.25%
13shall be imposed on advance deposit wagering. Until August 25,
142012, the additional 0.25% pari-mutuel tax imposed on advance
15deposit wagering by Public Act 96-972 shall be deposited into
16the Quarter Horse Purse Fund, which shall be created as a
17non-appropriated trust fund administered by the Board for
18grants to thoroughbred organization licensees for payment of
19purses for quarter horse races conducted by the organization
20licensee. Beginning on August 26, 2012, the additional 0.25%
21pari-mutuel tax imposed on advance deposit wagering shall be
22deposited into the Standardbred Purse Fund, which shall be
23created as a non-appropriated trust fund administered by the
24Board, for grants to the standardbred organization licensees
25for payment of purses for standardbred horse races conducted by
26the organization licensee. Thoroughbred organization licensees

 

 

HB2522- 48 -LRB100 08449 MJP 18567 b

1may petition the Board to conduct quarter horse racing and
2receive purse grants from the Quarter Horse Purse Fund. The
3Board shall have complete discretion in distributing the
4Quarter Horse Purse Fund to the petitioning organization
5licensees. Beginning on July 26, 2010 (the effective date of
6Public Act 96-1287), a pari-mutuel tax at the rate of 0.75% of
7the daily pari-mutuel handle is imposed at a pari-mutuel
8facility whose license is derived from a track located in a
9county that borders the Mississippi River and conducted live
10racing in the previous year. The pari-mutuel tax imposed by
11this subsection (a-5) shall be remitted to the Department of
12Revenue within 48 hours after the close of the racing day upon
13which it is assessed or within such other time as the Board
14prescribes.
15    (b) On or before December 31, 1999, in the event that any
16organization licensee conducts 2 separate programs of races on
17any day, each such program shall be considered a separate
18racing day for purposes of determining the daily handle and
19computing the privilege tax on such daily handle as provided in
20subsection (a) of this Section.
21    (c) Licensees shall at all times keep accurate books and
22records of all monies wagered on each day of a race meeting and
23of the taxes paid to the Department of Revenue under the
24provisions of this Section. The Board or its duly authorized
25representative or representatives shall at all reasonable
26times have access to such records for the purpose of examining

 

 

HB2522- 49 -LRB100 08449 MJP 18567 b

1and checking the same and ascertaining whether the proper
2amount of taxes is being paid as provided. The Board shall
3require verified reports and a statement of the total of all
4monies wagered daily at each wagering facility upon which the
5taxes are assessed and may prescribe forms upon which such
6reports and statement shall be made.
7    (d) Any licensee failing or refusing to pay the amount of
8any tax due under this Section shall be guilty of a business
9offense and upon conviction shall be fined not more than $5,000
10in addition to the amount found due as tax under this Section.
11Each day's violation shall constitute a separate offense. All
12fines paid into Court by a licensee hereunder shall be
13transmitted and paid over by the Clerk of the Court to the
14Board.
15    (e) No other license fee, privilege tax, excise tax, or
16racing fee, except as provided in this Act, shall be assessed
17or collected from any such licensee by the State.
18    (f) No other license fee, privilege tax, excise tax or
19racing fee shall be assessed or collected from any such
20licensee by units of local government except as provided in
21paragraph 10.1 of subsection (h) and subsection (f) of Section
2226 of this Act. However, any municipality that has a Board
23licensed horse race meeting at a race track wholly within its
24corporate boundaries or a township that has a Board licensed
25horse race meeting at a race track wholly within the
26unincorporated area of the township may charge a local

 

 

HB2522- 50 -LRB100 08449 MJP 18567 b

1amusement tax not to exceed 10¢ per admission to such horse
2race meeting by the enactment of an ordinance. However, any
3municipality or county that has a Board licensed inter-track
4wagering location facility wholly within its corporate
5boundaries may each impose an admission fee not to exceed $1.00
6per admission to such inter-track wagering location facility,
7so that a total of not more than $2.00 per admission may be
8imposed. Except as provided in subparagraph (g) of Section 27
9of this Act, the inter-track wagering location licensee shall
10collect any and all such fees and within 48 hours remit the
11fees to the Board, which shall, pursuant to rule, cause the
12fees to be distributed to the county or municipality.
13    (g) Notwithstanding any provision in this Act to the
14contrary, if in any calendar year the total taxes and fees
15required to be collected from licensees and distributed under
16this Act to all State and local governmental authorities
17exceeds the amount of such taxes and fees distributed to each
18State and local governmental authority to which each State and
19local governmental authority was entitled under this Act for
20calendar year 1994, then the first $11 million of that excess
21amount shall be allocated at the earliest possible date for
22distribution as purse money for the succeeding calendar year.
23Upon reaching the 1994 level, and until the excess amount of
24taxes and fees exceeds $11 million, the Board shall direct all
25licensees to cease paying the subject taxes and fees and the
26Board shall direct all licensees to allocate any such excess

 

 

HB2522- 51 -LRB100 08449 MJP 18567 b

1amount for purses as follows:
2        (i) the excess amount shall be initially divided
3    between thoroughbred and standardbred purses based on the
4    thoroughbred's and standardbred's respective percentages
5    of total Illinois live wagering in calendar year 1994;
6        (ii) each thoroughbred and standardbred organization
7    licensee issued an organization licensee in that
8    succeeding allocation year shall be allocated an amount
9    equal to the product of its percentage of total Illinois
10    live thoroughbred or standardbred wagering in calendar
11    year 1994 (the total to be determined based on the sum of
12    1994 on-track wagering for all organization licensees
13    issued organization licenses in both the allocation year
14    and the preceding year) multiplied by the total amount
15    allocated for standardbred or thoroughbred purses,
16    provided that the first $1,500,000 of the amount allocated
17    to standardbred purses under item (i) shall be allocated to
18    the Department of Agriculture to be expended with the
19    assistance and advice of the Illinois Standardbred
20    Breeders Funds Advisory Board for the purposes listed in
21    subsection (g) of Section 31 of this Act, before the amount
22    allocated to standardbred purses under item (i) is
23    allocated to standardbred organization licensees in the
24    succeeding allocation year.
25    To the extent the excess amount of taxes and fees to be
26collected and distributed to State and local governmental

 

 

HB2522- 52 -LRB100 08449 MJP 18567 b

1authorities exceeds $11 million, that excess amount shall be
2collected and distributed to State and local authorities as
3provided for under this Act.
4(Source: P.A. 98-18, eff. 6-7-13; 98-624, eff. 1-29-14; 99-756,
5eff. 8-12-16.)
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.