100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB2883

 

Introduced , by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
230 ILCS 5/3.31 new
230 ILCS 5/3.32 new
230 ILCS 5/3.33 new
230 ILCS 5/3.34 new
230 ILCS 5/26  from Ch. 8, par. 37-26
230 ILCS 5/26.10 new

    Amends the Illinois Horse Racing Act of 1975. Authorizes organization licensees to offer wagering on standardbred, quarter horse, and thoroughbred historical horse races. Requires the prior written approval of the Illinois Racing Board. Provides guidelines for the conduct of wagering on historical horse races. Defines "historical horse race", "initial seed pool", "seed pool", and "terminal". Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2883LRB100 10426 MJP 20632 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 Section 26 and by adding Sections 3.31, 3.32, 3.33,
63.34, and 26.10 as follows:
 
7    (230 ILCS 5/3.31 new)
8    Sec. 3.31. Historical horse race. "Historical horse race"
9means a horse race that: (1) was previously run at a licensed
10pari-mutuel facility located in the United States, (2)
11concluded with official results, and (3) concluded without
12scratches, disqualifications, or dead-heat finishes.
 
13    (230 ILCS 5/3.32 new)
14    Sec. 3.32. Initial seed pool. "Initial seed pool" means a
15nonrefundable pool of money funded by an organization licensee
16in an amount sufficient to ensure that a patron will be paid
17the minimum amount required on a winning wager on a historical
18horse race.
 
19    (230 ILCS 5/3.33 new)
20    Sec. 3.33. Seed pool. "Seed pool" means a pool of money
21funded by patrons wagering on a historical horse race that is

 

 

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1used to ensure that all patrons are paid the minimum payout on
2winning wagers.
 
3    (230 ILCS 5/3.34 new)
4    Sec. 3.34. Terminal. "Terminal" means any self-service
5totalizator machine or other mechanical equipment used by a
6patron to place a pari-mutuel wager on a live or historical
7horse race.
 
8    (230 ILCS 5/26)  (from Ch. 8, par. 37-26)
9    Sec. 26. Wagering.
10    (a) Any licensee may conduct and supervise the pari-mutuel
11system of wagering, as defined in Section 3.12 of this Act, on
12horse races conducted by an Illinois organization licensee or
13conducted at a racetrack located in another state or country
14and televised in Illinois in accordance with subsection (g) of
15Section 26 of this Act. Subject to the prior consent of the
16Board, licensees may supplement any pari-mutuel pool in order
17to guarantee a minimum distribution. Such pari-mutuel method of
18wagering shall not, under any circumstances if conducted under
19the provisions of this Act, be held or construed to be
20unlawful, other statutes of this State to the contrary
21notwithstanding. Subject to rules for advance wagering
22promulgated by the Board, any licensee may accept wagers in
23advance of the day of the race wagered upon occurs.
24    Subject to rules adopted by the Board, a licensee may

 

 

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1accept wagers on historical horse races as authorized in
2Section 26.10 on standardbred horse racing, quarter horse
3racing, and thoroughbred horse racing. Within 180 days after
4the effective date of this amendatory Act of the 100th General
5Assembly, the Board shall adopt rules necessary to regulate
6wagering on historical horse races through the use of emergency
7rulemaking in accordance with Section 5-45 of the Illinois
8Administrative Procedure Act. The General Assembly finds that
9the adoption of rules to regulate wagering on historical horse
10races is deemed an emergency and necessary for the public
11interest, safety, and welfare.
12    (b) No other method of betting, pool making, wagering or
13gambling shall be used or permitted by the licensee. Each
14licensee may retain, subject to the payment of all applicable
15taxes and purses, an amount not to exceed 17% of all money
16wagered under subsection (a) of this Section, except as may
17otherwise be permitted under this Act.
18    (b-5) An individual may place a wager under the pari-mutuel
19system from any licensed location authorized under this Act
20provided that wager is electronically recorded in the manner
21described in Section 3.12 of this Act. Any wager made
22electronically by an individual while physically on the
23premises of a licensee shall be deemed to have been made at the
24premises of that licensee.
25    (c) Until January 1, 2000, the sum held by any licensee for
26payment of outstanding pari-mutuel tickets, if unclaimed prior

 

 

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1to December 31 of the next year, shall be retained by the
2licensee for payment of such tickets until that date. Within 10
3days thereafter, the balance of such sum remaining unclaimed,
4less any uncashed supplements contributed by such licensee for
5the purpose of guaranteeing minimum distributions of any
6pari-mutuel pool, shall be paid to the Illinois Veterans'
7Rehabilitation Fund of the State treasury, except as provided
8in subsection (g) of Section 27 of this Act.
9    (c-5) Beginning January 1, 2000, the sum held by any
10licensee for payment of outstanding pari-mutuel tickets, if
11unclaimed prior to December 31 of the next year, shall be
12retained by the licensee for payment of such tickets until that
13date. Within 10 days thereafter, the balance of such sum
14remaining unclaimed, less any uncashed supplements contributed
15by such licensee for the purpose of guaranteeing minimum
16distributions of any pari-mutuel pool, shall be evenly
17distributed to the purse account of the organization licensee
18and the organization licensee.
19    (d) A pari-mutuel ticket shall be honored until December 31
20of the next calendar year, and the licensee shall pay the same
21and may charge the amount thereof against unpaid money
22similarly accumulated on account of pari-mutuel tickets not
23presented for payment.
24    (e) No licensee shall knowingly permit any minor, other
25than an employee of such licensee or an owner, trainer, jockey,
26driver, or employee thereof, to be admitted during a racing

 

 

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1program unless accompanied by a parent or guardian, or any
2minor to be a patron of the pari-mutuel system of wagering
3conducted or supervised by it. The admission of any
4unaccompanied minor, other than an employee of the licensee or
5an owner, trainer, jockey, driver, or employee thereof at a
6race track is a Class C misdemeanor.
7    (f) Notwithstanding the other provisions of this Act, an
8organization licensee may contract with an entity in another
9state or country to permit any legal wagering entity in another
10state or country to accept wagers solely within such other
11state or country on races conducted by the organization
12licensee in this State. Beginning January 1, 2000, these wagers
13shall not be subject to State taxation. Until January 1, 2000,
14when the out-of-State entity conducts a pari-mutuel pool
15separate from the organization licensee, a privilege tax equal
16to 7 1/2% of all monies received by the organization licensee
17from entities in other states or countries pursuant to such
18contracts is imposed on the organization licensee, and such
19privilege tax shall be remitted to the Department of Revenue
20within 48 hours of receipt of the moneys from the simulcast.
21When the out-of-State entity conducts a combined pari-mutuel
22pool with the organization licensee, the tax shall be 10% of
23all monies received by the organization licensee with 25% of
24the receipts from this 10% tax to be distributed to the county
25in which the race was conducted.
26    An organization licensee may permit one or more of its

 

 

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1races to be utilized for pari-mutuel wagering at one or more
2locations in other states and may transmit audio and visual
3signals of races the organization licensee conducts to one or
4more locations outside the State or country and may also permit
5pari-mutuel pools in other states or countries to be combined
6with its gross or net wagering pools or with wagering pools
7established by other states.
8    (g) A host track may accept interstate simulcast wagers on
9horse races conducted in other states or countries and shall
10control the number of signals and types of breeds of racing in
11its simulcast program, subject to the disapproval of the Board.
12The Board may prohibit a simulcast program only if it finds
13that the simulcast program is clearly adverse to the integrity
14of racing. The host track simulcast program shall include the
15signal of live racing of all organization licensees. All
16non-host licensees and advance deposit wagering licensees
17shall carry the signal of and accept wagers on live racing of
18all organization licensees. Advance deposit wagering licensees
19shall not be permitted to accept out-of-state wagers on any
20Illinois signal provided pursuant to this Section without the
21approval and consent of the organization licensee providing the
22signal. For one year after August 15, 2014 (the effective date
23of Public Act 98-968) this amendatory Act of the 98th General
24Assembly, non-host licensees may carry the host track simulcast
25program and shall accept wagers on all races included as part
26of the simulcast program of horse races conducted at race

 

 

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1tracks located within North America upon which wagering is
2permitted. For a period of one year after August 15, 2014 (the
3effective date of Public Act 98-968) this amendatory Act of the
498th General Assembly, on horse races conducted at race tracks
5located outside of North America, non-host licensees may accept
6wagers on all races included as part of the simulcast program
7upon which wagering is permitted. Beginning August 15, 2015
8(one year after the effective date of Public Act 98-968) this
9amendatory Act of the 98th General Assembly, non-host licensees
10may carry the host track simulcast program and shall accept
11wagers on all races included as part of the simulcast program
12upon which wagering is permitted. All organization licensees
13shall provide their live signal to all advance deposit wagering
14licensees for a simulcast commission fee not to exceed 6% of
15the advance deposit wagering licensee's Illinois handle on the
16organization licensee's signal without prior approval by the
17Board. The Board may adopt rules under which it may permit
18simulcast commission fees in excess of 6%. The Board shall
19adopt rules limiting the interstate commission fees charged to
20an advance deposit wagering licensee. The Board shall adopt
21rules regarding advance deposit wagering on interstate
22simulcast races that shall reflect, among other things, the
23General Assembly's desire to maximize revenues to the State,
24horsemen purses, and organization organizational licensees.
25However, organization licensees providing live signals
26pursuant to the requirements of this subsection (g) may

 

 

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1petition the Board to withhold their live signals from an
2advance deposit wagering licensee if the organization licensee
3discovers and the Board finds reputable or credible information
4that the advance deposit wagering licensee is under
5investigation by another state or federal governmental agency,
6the advance deposit wagering licensee's license has been
7suspended in another state, or the advance deposit wagering
8licensee's license is in revocation proceedings in another
9state. The organization licensee's provision of their live
10signal to an advance deposit wagering licensee under this
11subsection (g) pertains to wagers placed from within Illinois.
12Advance deposit wagering licensees may place advance deposit
13wagering terminals at wagering facilities as a convenience to
14customers. The advance deposit wagering licensee shall not
15charge or collect any fee from purses for the placement of the
16advance deposit wagering terminals. The costs and expenses of
17the host track and non-host licensees associated with
18interstate simulcast wagering, other than the interstate
19commission fee, shall be borne by the host track and all
20non-host licensees incurring these costs. The interstate
21commission fee shall not exceed 5% of Illinois handle on the
22interstate simulcast race or races without prior approval of
23the Board. The Board shall promulgate rules under which it may
24permit interstate commission fees in excess of 5%. The
25interstate commission fee and other fees charged by the sending
26racetrack, including, but not limited to, satellite decoder

 

 

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1fees, shall be uniformly applied to the host track and all
2non-host licensees.
3    Notwithstanding any other provision of this Act, through
4December 31, 2018, an organization licensee, with the consent
5of the horsemen association representing the largest number of
6owners, trainers, jockeys, or standardbred drivers who race
7horses at that organization licensee's racing meeting, may
8maintain a system whereby advance deposit wagering may take
9place or an organization licensee, with the consent of the
10horsemen association representing the largest number of
11owners, trainers, jockeys, or standardbred drivers who race
12horses at that organization licensee's racing meeting, may
13contract with another person to carry out a system of advance
14deposit wagering. Such consent may not be unreasonably
15withheld. Only with respect to an appeal to the Board that
16consent for an organization licensee that maintains its own
17advance deposit wagering system is being unreasonably
18withheld, the Board shall issue a final order within 30 days
19after initiation of the appeal, and the organization licensee's
20advance deposit wagering system may remain operational during
21that 30-day period. The actions of any organization licensee
22who conducts advance deposit wagering or any person who has a
23contract with an organization licensee to conduct advance
24deposit wagering who conducts advance deposit wagering on or
25after January 1, 2013 and prior to June 7, 2013 (the effective
26date of Public Act 98-18) this amendatory Act of the 98th

 

 

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1General Assembly taken in reliance on the changes made to this
2subsection (g) by Public Act 98-18 this amendatory Act of the
398th General Assembly are hereby validated, provided payment of
4all applicable pari-mutuel taxes are remitted to the Board. All
5advance deposit wagers placed from within Illinois must be
6placed through a Board-approved advance deposit wagering
7licensee; no other entity may accept an advance deposit wager
8from a person within Illinois. All advance deposit wagering is
9subject to any rules adopted by the Board. The Board may adopt
10rules necessary to regulate advance deposit wagering through
11the use of emergency rulemaking in accordance with Section 5-45
12of the Illinois Administrative Procedure Act. The General
13Assembly finds that the adoption of rules to regulate advance
14deposit wagering is deemed an emergency and necessary for the
15public interest, safety, and welfare. An advance deposit
16wagering licensee may retain all moneys as agreed to by
17contract with an organization licensee. Any moneys retained by
18the organization licensee from advance deposit wagering, not
19including moneys retained by the advance deposit wagering
20licensee, shall be paid 50% to the organization licensee's
21purse account and 50% to the organization licensee. With the
22exception of any organization licensee that is owned by a
23publicly traded company that is incorporated in a state other
24than Illinois and advance deposit wagering licensees under
25contract with such organization licensees, organization
26licensees that maintain advance deposit wagering systems and

 

 

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1advance deposit wagering licensees that contract with
2organization licensees shall provide sufficiently detailed
3monthly accountings to the horsemen association representing
4the largest number of owners, trainers, jockeys, or
5standardbred drivers who race horses at that organization
6licensee's racing meeting so that the horsemen association, as
7an interested party, can confirm the accuracy of the amounts
8paid to the purse account at the horsemen association's
9affiliated organization licensee from advance deposit
10wagering. If more than one breed races at the same race track
11facility, then the 50% of the moneys to be paid to an
12organization licensee's purse account shall be allocated among
13all organization licensees' purse accounts operating at that
14race track facility proportionately based on the actual number
15of host days that the Board grants to that breed at that race
16track facility in the current calendar year. To the extent any
17fees from advance deposit wagering conducted in Illinois for
18wagers in Illinois or other states have been placed in escrow
19or otherwise withheld from wagers pending a determination of
20the legality of advance deposit wagering, no action shall be
21brought to declare such wagers or the disbursement of any fees
22previously escrowed illegal.
23        (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
24    inter-track intertrack wagering licensee other than the
25    host track may supplement the host track simulcast program
26    with additional simulcast races or race programs, provided

 

 

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1    that between January 1 and the third Friday in February of
2    any year, inclusive, if no live thoroughbred racing is
3    occurring in Illinois during this period, only
4    thoroughbred races may be used for supplemental interstate
5    simulcast purposes. The Board shall withhold approval for a
6    supplemental interstate simulcast only if it finds that the
7    simulcast is clearly adverse to the integrity of racing. A
8    supplemental interstate simulcast may be transmitted from
9    an inter-track intertrack wagering licensee to its
10    affiliated non-host licensees. The interstate commission
11    fee for a supplemental interstate simulcast shall be paid
12    by the non-host licensee and its affiliated non-host
13    licensees receiving the simulcast.
14        (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
15    inter-track intertrack wagering licensee other than the
16    host track may receive supplemental interstate simulcasts
17    only with the consent of the host track, except when the
18    Board finds that the simulcast is clearly adverse to the
19    integrity of racing. Consent granted under this paragraph
20    (2) to any inter-track intertrack wagering licensee shall
21    be deemed consent to all non-host licensees. The interstate
22    commission fee for the supplemental interstate simulcast
23    shall be paid by all participating non-host licensees.
24        (3) Each licensee conducting interstate simulcast
25    wagering may retain, subject to the payment of all
26    applicable taxes and the purses, an amount not to exceed

 

 

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1    17% of all money wagered. If any licensee conducts the
2    pari-mutuel system wagering on races conducted at
3    racetracks in another state or country, each such race or
4    race program shall be considered a separate racing day for
5    the purpose of determining the daily handle and computing
6    the privilege tax of that daily handle as provided in
7    subsection (a) of Section 27. Until January 1, 2000, from
8    the sums permitted to be retained pursuant to this
9    subsection, each inter-track intertrack wagering location
10    licensee shall pay 1% of the pari-mutuel handle wagered on
11    simulcast wagering to the Horse Racing Tax Allocation Fund,
12    subject to the provisions of subparagraph (B) of paragraph
13    (11) of subsection (h) of Section 26 of this Act.
14        (4) A licensee who receives an interstate simulcast may
15    combine its gross or net pools with pools at the sending
16    racetracks pursuant to rules established by the Board. All
17    licensees combining their gross pools at a sending
18    racetrack shall adopt the take-out percentages of the
19    sending racetrack. A licensee may also establish a separate
20    pool and takeout structure for wagering purposes on races
21    conducted at race tracks outside of the State of Illinois.
22    The licensee may permit pari-mutuel wagers placed in other
23    states or countries to be combined with its gross or net
24    wagering pools or other wagering pools.
25        (5) After the payment of the interstate commission fee
26    (except for the interstate commission fee on a supplemental

 

 

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1    interstate simulcast, which shall be paid by the host track
2    and by each non-host licensee through the host-track) and
3    all applicable State and local taxes, except as provided in
4    subsection (g) of Section 27 of this Act, the remainder of
5    moneys retained from simulcast wagering pursuant to this
6    subsection (g), and Section 26.2 shall be divided as
7    follows:
8            (A) For interstate simulcast wagers made at a host
9        track, 50% to the host track and 50% to purses at the
10        host track.
11            (B) For wagers placed on interstate simulcast
12        races, supplemental simulcasts as defined in
13        subparagraphs (1) and (2), and separately pooled races
14        conducted outside of the State of Illinois made at a
15        non-host licensee, 25% to the host track, 25% to the
16        non-host licensee, and 50% to the purses at the host
17        track.
18        (6) Notwithstanding any provision in this Act to the
19    contrary, non-host licensees who derive their licenses
20    from a track located in a county with a population in
21    excess of 230,000 and that borders the Mississippi River
22    may receive supplemental interstate simulcast races at all
23    times subject to Board approval, which shall be withheld
24    only upon a finding that a supplemental interstate
25    simulcast is clearly adverse to the integrity of racing.
26        (7) Notwithstanding any provision of this Act to the

 

 

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1    contrary, after payment of all applicable State and local
2    taxes and interstate commission fees, non-host licensees
3    who derive their licenses from a track located in a county
4    with a population in excess of 230,000 and that borders the
5    Mississippi River shall retain 50% of the retention from
6    interstate simulcast wagers and shall pay 50% to purses at
7    the track from which the non-host licensee derives its
8    license as follows:
9            (A) Between January 1 and the third Friday in
10        February, inclusive, if no live thoroughbred racing is
11        occurring in Illinois during this period, when the
12        interstate simulcast is a standardbred race, the purse
13        share to its standardbred purse account;
14            (B) Between January 1 and the third Friday in
15        February, inclusive, if no live thoroughbred racing is
16        occurring in Illinois during this period, and the
17        interstate simulcast is a thoroughbred race, the purse
18        share to its interstate simulcast purse pool to be
19        distributed under paragraph (10) of this subsection
20        (g);
21            (C) Between January 1 and the third Friday in
22        February, inclusive, if live thoroughbred racing is
23        occurring in Illinois, between 6:30 a.m. and 6:30 p.m.
24        the purse share from wagers made during this time
25        period to its thoroughbred purse account and between
26        6:30 p.m. and 6:30 a.m. the purse share from wagers

 

 

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1        made during this time period to its standardbred purse
2        accounts;
3            (D) Between the third Saturday in February and
4        December 31, when the interstate simulcast occurs
5        between the hours of 6:30 a.m. and 6:30 p.m., the purse
6        share to its thoroughbred purse account;
7            (E) Between the third Saturday in February and
8        December 31, when the interstate simulcast occurs
9        between the hours of 6:30 p.m. and 6:30 a.m., the purse
10        share to its standardbred purse account.
11        (7.1) Notwithstanding any other provision of this Act
12    to the contrary, if no standardbred racing is conducted at
13    a racetrack located in Madison County during any calendar
14    year beginning on or after January 1, 2002, all moneys
15    derived by that racetrack from simulcast wagering and
16    inter-track wagering that (1) are to be used for purses and
17    (2) are generated between the hours of 6:30 p.m. and 6:30
18    a.m. during that calendar year shall be paid as follows:
19            (A) If the licensee that conducts horse racing at
20        that racetrack requests from the Board at least as many
21        racing dates as were conducted in calendar year 2000,
22        80% shall be paid to its thoroughbred purse account;
23        and
24            (B) Twenty percent shall be deposited into the
25        Illinois Colt Stakes Purse Distribution Fund and shall
26        be paid to purses for standardbred races for Illinois

 

 

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1        conceived and foaled horses conducted at any county
2        fairgrounds. The moneys deposited into the Fund
3        pursuant to this subparagraph (B) shall be deposited
4        within 2 weeks after the day they were generated, shall
5        be in addition to and not in lieu of any other moneys
6        paid to standardbred purses under this Act, and shall
7        not be commingled with other moneys paid into that
8        Fund. The moneys deposited pursuant to this
9        subparagraph (B) shall be allocated as provided by the
10        Department of Agriculture, with the advice and
11        assistance of the Illinois Standardbred Breeders Fund
12        Advisory Board.
13        (7.2) Notwithstanding any other provision of this Act
14    to the contrary, if no thoroughbred racing is conducted at
15    a racetrack located in Madison County during any calendar
16    year beginning on or after January 1, 2002, all moneys
17    derived by that racetrack from simulcast wagering and
18    inter-track wagering that (1) are to be used for purses and
19    (2) are generated between the hours of 6:30 a.m. and 6:30
20    p.m. during that calendar year shall be deposited as
21    follows:
22            (A) If the licensee that conducts horse racing at
23        that racetrack requests from the Board at least as many
24        racing dates as were conducted in calendar year 2000,
25        80% shall be deposited into its standardbred purse
26        account; and

 

 

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1            (B) Twenty percent shall be deposited into the
2        Illinois Colt Stakes Purse Distribution Fund. Moneys
3        deposited into the Illinois Colt Stakes Purse
4        Distribution Fund pursuant to this subparagraph (B)
5        shall be paid to Illinois conceived and foaled
6        thoroughbred breeders' programs and to thoroughbred
7        purses for races conducted at any county fairgrounds
8        for Illinois conceived and foaled horses at the
9        discretion of the Department of Agriculture, with the
10        advice and assistance of the Illinois Thoroughbred
11        Breeders Fund Advisory Board. The moneys deposited
12        into the Illinois Colt Stakes Purse Distribution Fund
13        pursuant to this subparagraph (B) shall be deposited
14        within 2 weeks after the day they were generated, shall
15        be in addition to and not in lieu of any other moneys
16        paid to thoroughbred purses under this Act, and shall
17        not be commingled with other moneys deposited into that
18        Fund.
19        (7.3) If no live standardbred racing is conducted at a
20    racetrack located in Madison County in calendar year 2000
21    or 2001, an organization licensee who is licensed to
22    conduct horse racing at that racetrack shall, before
23    January 1, 2002, pay all moneys derived from simulcast
24    wagering and inter-track wagering in calendar years 2000
25    and 2001 and paid into the licensee's standardbred purse
26    account as follows:

 

 

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1            (A) Eighty percent to that licensee's thoroughbred
2        purse account to be used for thoroughbred purses; and
3            (B) Twenty percent to the Illinois Colt Stakes
4        Purse Distribution Fund.
5        Failure to make the payment to the Illinois Colt Stakes
6    Purse Distribution Fund before January 1, 2002 shall result
7    in the immediate revocation of the licensee's organization
8    license, inter-track wagering license, and inter-track
9    wagering location license.
10        Moneys paid into the Illinois Colt Stakes Purse
11    Distribution Fund pursuant to this paragraph (7.3) shall be
12    paid to purses for standardbred races for Illinois
13    conceived and foaled horses conducted at any county
14    fairgrounds. Moneys paid into the Illinois Colt Stakes
15    Purse Distribution Fund pursuant to this paragraph (7.3)
16    shall be used as determined by the Department of
17    Agriculture, with the advice and assistance of the Illinois
18    Standardbred Breeders Fund Advisory Board, shall be in
19    addition to and not in lieu of any other moneys paid to
20    standardbred purses under this Act, and shall not be
21    commingled with any other moneys paid into that Fund.
22        (7.4) If live standardbred racing is conducted at a
23    racetrack located in Madison County at any time in calendar
24    year 2001 before the payment required under paragraph (7.3)
25    has been made, the organization licensee who is licensed to
26    conduct racing at that racetrack shall pay all moneys

 

 

HB2883- 20 -LRB100 10426 MJP 20632 b

1    derived by that racetrack from simulcast wagering and
2    inter-track wagering during calendar years 2000 and 2001
3    that (1) are to be used for purses and (2) are generated
4    between the hours of 6:30 p.m. and 6:30 a.m. during 2000 or
5    2001 to the standardbred purse account at that racetrack to
6    be used for standardbred purses.
7        (8) Notwithstanding any provision in this Act to the
8    contrary, an organization licensee from a track located in
9    a county with a population in excess of 230,000 and that
10    borders the Mississippi River and its affiliated non-host
11    licensees shall not be entitled to share in any retention
12    generated on racing, inter-track wagering, or simulcast
13    wagering at any other Illinois wagering facility.
14        (8.1) Notwithstanding any provisions in this Act to the
15    contrary, if 2 organization licensees are conducting
16    standardbred race meetings concurrently between the hours
17    of 6:30 p.m. and 6:30 a.m., after payment of all applicable
18    State and local taxes and interstate commission fees, the
19    remainder of the amount retained from simulcast wagering
20    otherwise attributable to the host track and to host track
21    purses shall be split daily between the 2 organization
22    licensees and the purses at the tracks of the 2
23    organization licensees, respectively, based on each
24    organization licensee's share of the total live handle for
25    that day, provided that this provision shall not apply to
26    any non-host licensee that derives its license from a track

 

 

HB2883- 21 -LRB100 10426 MJP 20632 b

1    located in a county with a population in excess of 230,000
2    and that borders the Mississippi River.
3        (9) (Blank).
4        (10) (Blank).
5        (11) (Blank).
6        (12) The Board shall have authority to compel all host
7    tracks to receive the simulcast of any or all races
8    conducted at the Springfield or DuQuoin State fairgrounds
9    and include all such races as part of their simulcast
10    programs.
11        (13) Notwithstanding any other provision of this Act,
12    in the event that the total Illinois pari-mutuel handle on
13    Illinois horse races at all wagering facilities in any
14    calendar year is less than 75% of the total Illinois
15    pari-mutuel handle on Illinois horse races at all such
16    wagering facilities for calendar year 1994, then each
17    wagering facility that has an annual total Illinois
18    pari-mutuel handle on Illinois horse races that is less
19    than 75% of the total Illinois pari-mutuel handle on
20    Illinois horse races at such wagering facility for calendar
21    year 1994, shall be permitted to receive, from any amount
22    otherwise payable to the purse account at the race track
23    with which the wagering facility is affiliated in the
24    succeeding calendar year, an amount equal to 2% of the
25    differential in total Illinois pari-mutuel handle on
26    Illinois horse races at the wagering facility between that

 

 

HB2883- 22 -LRB100 10426 MJP 20632 b

1    calendar year in question and 1994 provided, however, that
2    a wagering facility shall not be entitled to any such
3    payment until the Board certifies in writing to the
4    wagering facility the amount to which the wagering facility
5    is entitled and a schedule for payment of the amount to the
6    wagering facility, based on: (i) the racing dates awarded
7    to the race track affiliated with the wagering facility
8    during the succeeding year; (ii) the sums available or
9    anticipated to be available in the purse account of the
10    race track affiliated with the wagering facility for purses
11    during the succeeding year; and (iii) the need to ensure
12    reasonable purse levels during the payment period. The
13    Board's certification shall be provided no later than
14    January 31 of the succeeding year. In the event a wagering
15    facility entitled to a payment under this paragraph (13) is
16    affiliated with a race track that maintains purse accounts
17    for both standardbred and thoroughbred racing, the amount
18    to be paid to the wagering facility shall be divided
19    between each purse account pro rata, based on the amount of
20    Illinois handle on Illinois standardbred and thoroughbred
21    racing respectively at the wagering facility during the
22    previous calendar year. Annually, the General Assembly
23    shall appropriate sufficient funds from the General
24    Revenue Fund to the Department of Agriculture for payment
25    into the thoroughbred and standardbred horse racing purse
26    accounts at Illinois pari-mutuel tracks. The amount paid to

 

 

HB2883- 23 -LRB100 10426 MJP 20632 b

1    each purse account shall be the amount certified by the
2    Illinois Racing Board in January to be transferred from
3    each account to each eligible racing facility in accordance
4    with the provisions of this Section.
5    (h) The Board may approve and license the conduct of
6inter-track wagering and simulcast wagering by inter-track
7wagering licensees and inter-track wagering location licensees
8subject to the following terms and conditions:
9        (1) Any person licensed to conduct a race meeting (i)
10    at a track where 60 or more days of racing were conducted
11    during the immediately preceding calendar year or where
12    over the 5 immediately preceding calendar years an average
13    of 30 or more days of racing were conducted annually may be
14    issued an inter-track wagering license; (ii) at a track
15    located in a county that is bounded by the Mississippi
16    River, which has a population of less than 150,000
17    according to the 1990 decennial census, and an average of
18    at least 60 days of racing per year between 1985 and 1993
19    may be issued an inter-track wagering license; or (iii) at
20    a track located in Madison County that conducted at least
21    100 days of live racing during the immediately preceding
22    calendar year may be issued an inter-track wagering
23    license, unless a lesser schedule of live racing is the
24    result of (A) weather, unsafe track conditions, or other
25    acts of God; (B) an agreement between the organization
26    licensee and the associations representing the largest

 

 

HB2883- 24 -LRB100 10426 MJP 20632 b

1    number of owners, trainers, jockeys, or standardbred
2    drivers who race horses at that organization licensee's
3    racing meeting; or (C) a finding by the Board of
4    extraordinary circumstances and that it was in the best
5    interest of the public and the sport to conduct fewer than
6    100 days of live racing. Any such person having operating
7    control of the racing facility may receive inter-track
8    wagering location licenses. An eligible race track located
9    in a county that has a population of more than 230,000 and
10    that is bounded by the Mississippi River may establish up
11    to 9 inter-track wagering locations, and an eligible race
12    track located in Stickney Township in Cook County may
13    establish up to 16 inter-track wagering locations, and an
14    eligible race track located in Palatine Township in Cook
15    County may establish up to 18 inter-track wagering
16    locations. An application for said license shall be filed
17    with the Board prior to such dates as may be fixed by the
18    Board. With an application for an inter-track wagering
19    location license there shall be delivered to the Board a
20    certified check or bank draft payable to the order of the
21    Board for an amount equal to $500. The application shall be
22    on forms prescribed and furnished by the Board. The
23    application shall comply with all other rules, regulations
24    and conditions imposed by the Board in connection
25    therewith.
26        (2) The Board shall examine the applications with

 

 

HB2883- 25 -LRB100 10426 MJP 20632 b

1    respect to their conformity with this Act and the rules and
2    regulations imposed by the Board. If found to be in
3    compliance with the Act and rules and regulations of the
4    Board, the Board may then issue a license to conduct
5    inter-track wagering and simulcast wagering to such
6    applicant. All such applications shall be acted upon by the
7    Board at a meeting to be held on such date as may be fixed
8    by the Board.
9        (3) In granting licenses to conduct inter-track
10    wagering and simulcast wagering, the Board shall give due
11    consideration to the best interests of the public, of horse
12    racing, and of maximizing revenue to the State.
13        (4) Prior to the issuance of a license to conduct
14    inter-track wagering and simulcast wagering, the applicant
15    shall file with the Board a bond payable to the State of
16    Illinois in the sum of $50,000, executed by the applicant
17    and a surety company or companies authorized to do business
18    in this State, and conditioned upon (i) the payment by the
19    licensee of all taxes due under Section 27 or 27.1 and any
20    other monies due and payable under this Act, and (ii)
21    distribution by the licensee, upon presentation of the
22    winning ticket or tickets, of all sums payable to the
23    patrons of pari-mutuel pools.
24        (5) Each license to conduct inter-track wagering and
25    simulcast wagering shall specify the person to whom it is
26    issued, the dates on which such wagering is permitted, and

 

 

HB2883- 26 -LRB100 10426 MJP 20632 b

1    the track or location where the wagering is to be
2    conducted.
3        (6) All wagering under such license is subject to this
4    Act and to the rules and regulations from time to time
5    prescribed by the Board, and every such license issued by
6    the Board shall contain a recital to that effect.
7        (7) An inter-track wagering licensee or inter-track
8    wagering location licensee may accept wagers at the track
9    or location where it is licensed, or as otherwise provided
10    under this Act.
11        (8) Inter-track wagering or simulcast wagering shall
12    not be conducted at any track less than 5 miles from a
13    track at which a racing meeting is in progress.
14        (8.1) Inter-track wagering location licensees who
15    derive their licenses from a particular organization
16    licensee shall conduct inter-track wagering and simulcast
17    wagering only at locations that are within 160 miles of
18    that race track where the particular organization licensee
19    is licensed to conduct racing. However, inter-track
20    wagering and simulcast wagering shall not be conducted by
21    those licensees at any location within 5 miles of any race
22    track at which a horse race meeting has been licensed in
23    the current year, unless the person having operating
24    control of such race track has given its written consent to
25    such inter-track wagering location licensees, which
26    consent must be filed with the Board at or prior to the

 

 

HB2883- 27 -LRB100 10426 MJP 20632 b

1    time application is made. In the case of any inter-track
2    wagering location licensee initially licensed after
3    December 31, 2013, inter-track wagering and simulcast
4    wagering shall not be conducted by those inter-track
5    wagering location licensees that are located outside the
6    City of Chicago at any location within 8 miles of any race
7    track at which a horse race meeting has been licensed in
8    the current year, unless the person having operating
9    control of such race track has given its written consent to
10    such inter-track wagering location licensees, which
11    consent must be filed with the Board at or prior to the
12    time application is made.
13        (8.2) Inter-track wagering or simulcast wagering shall
14    not be conducted by an inter-track wagering location
15    licensee at any location within 500 feet of an existing
16    church or existing school, nor within 500 feet of the
17    residences of more than 50 registered voters without
18    receiving written permission from a majority of the
19    registered voters at such residences. Such written
20    permission statements shall be filed with the Board. The
21    distance of 500 feet shall be measured to the nearest part
22    of any building used for worship services, education
23    programs, residential purposes, or conducting inter-track
24    wagering by an inter-track wagering location licensee, and
25    not to property boundaries. However, inter-track wagering
26    or simulcast wagering may be conducted at a site within 500

 

 

HB2883- 28 -LRB100 10426 MJP 20632 b

1    feet of a church, school or residences of 50 or more
2    registered voters if such church, school or residences have
3    been erected or established, or such voters have been
4    registered, after the Board issues the original
5    inter-track wagering location license at the site in
6    question. Inter-track wagering location licensees may
7    conduct inter-track wagering and simulcast wagering only
8    in areas that are zoned for commercial or manufacturing
9    purposes or in areas for which a special use has been
10    approved by the local zoning authority. However, no license
11    to conduct inter-track wagering and simulcast wagering
12    shall be granted by the Board with respect to any
13    inter-track wagering location within the jurisdiction of
14    any local zoning authority which has, by ordinance or by
15    resolution, prohibited the establishment of an inter-track
16    wagering location within its jurisdiction. However,
17    inter-track wagering and simulcast wagering may be
18    conducted at a site if such ordinance or resolution is
19    enacted after the Board licenses the original inter-track
20    wagering location licensee for the site in question.
21        (9) (Blank).
22        (10) An inter-track wagering licensee or an
23    inter-track wagering location licensee may retain, subject
24    to the payment of the privilege taxes and the purses, an
25    amount not to exceed 17% of all money wagered. Each program
26    of racing conducted by each inter-track wagering licensee

 

 

HB2883- 29 -LRB100 10426 MJP 20632 b

1    or inter-track wagering location licensee shall be
2    considered a separate racing day for the purpose of
3    determining the daily handle and computing the privilege
4    tax or pari-mutuel tax on such daily handle as provided in
5    Section 27.
6        (10.1) Except as provided in subsection (g) of Section
7    27 of this Act, inter-track wagering location licensees
8    shall pay 1% of the pari-mutuel handle at each location to
9    the municipality in which such location is situated and 1%
10    of the pari-mutuel handle at each location to the county in
11    which such location is situated. In the event that an
12    inter-track wagering location licensee is situated in an
13    unincorporated area of a county, such licensee shall pay 2%
14    of the pari-mutuel handle from such location to such
15    county.
16        (10.2) Notwithstanding any other provision of this
17    Act, with respect to inter-track intertrack wagering at a
18    race track located in a county that has a population of
19    more than 230,000 and that is bounded by the Mississippi
20    River ("the first race track"), or at a facility operated
21    by an inter-track wagering licensee or inter-track
22    wagering location licensee that derives its license from
23    the organization licensee that operates the first race
24    track, on races conducted at the first race track or on
25    races conducted at another Illinois race track and
26    simultaneously televised to the first race track or to a

 

 

HB2883- 30 -LRB100 10426 MJP 20632 b

1    facility operated by an inter-track wagering licensee or
2    inter-track wagering location licensee that derives its
3    license from the organization licensee that operates the
4    first race track, those moneys shall be allocated as
5    follows:
6            (A) That portion of all moneys wagered on
7        standardbred racing that is required under this Act to
8        be paid to purses shall be paid to purses for
9        standardbred races.
10            (B) That portion of all moneys wagered on
11        thoroughbred racing that is required under this Act to
12        be paid to purses shall be paid to purses for
13        thoroughbred races.
14        (11) (A) After payment of the privilege or pari-mutuel
15    tax, any other applicable taxes, and the costs and expenses
16    in connection with the gathering, transmission, and
17    dissemination of all data necessary to the conduct of
18    inter-track wagering, the remainder of the monies retained
19    under either Section 26 or Section 26.2 of this Act by the
20    inter-track wagering licensee on inter-track wagering
21    shall be allocated with 50% to be split between the 2
22    participating licensees and 50% to purses, except that an
23    inter-track intertrack wagering licensee that derives its
24    license from a track located in a county with a population
25    in excess of 230,000 and that borders the Mississippi River
26    shall not divide any remaining retention with the Illinois

 

 

HB2883- 31 -LRB100 10426 MJP 20632 b

1    organization licensee that provides the race or races, and
2    an inter-track intertrack wagering licensee that accepts
3    wagers on races conducted by an organization licensee that
4    conducts a race meet in a county with a population in
5    excess of 230,000 and that borders the Mississippi River
6    shall not divide any remaining retention with that
7    organization licensee.
8        (B) From the sums permitted to be retained pursuant to
9    this Act each inter-track wagering location licensee shall
10    pay (i) the privilege or pari-mutuel tax to the State; (ii)
11    4.75% of the pari-mutuel handle on inter-track intertrack
12    wagering at such location on races as purses, except that
13    an inter-track intertrack wagering location licensee that
14    derives its license from a track located in a county with a
15    population in excess of 230,000 and that borders the
16    Mississippi River shall retain all purse moneys for its own
17    purse account consistent with distribution set forth in
18    this subsection (h), and inter-track intertrack wagering
19    location licensees that accept wagers on races conducted by
20    an organization licensee located in a county with a
21    population in excess of 230,000 and that borders the
22    Mississippi River shall distribute all purse moneys to
23    purses at the operating host track; (iii) until January 1,
24    2000, except as provided in subsection (g) of Section 27 of
25    this Act, 1% of the pari-mutuel handle wagered on
26    inter-track wagering and simulcast wagering at each

 

 

HB2883- 32 -LRB100 10426 MJP 20632 b

1    inter-track wagering location licensee facility to the
2    Horse Racing Tax Allocation Fund, provided that, to the
3    extent the total amount collected and distributed to the
4    Horse Racing Tax Allocation Fund under this subsection (h)
5    during any calendar year exceeds the amount collected and
6    distributed to the Horse Racing Tax Allocation Fund during
7    calendar year 1994, that excess amount shall be
8    redistributed (I) to all inter-track wagering location
9    licensees, based on each licensee's pro-rata share of the
10    total handle from inter-track wagering and simulcast
11    wagering for all inter-track wagering location licensees
12    during the calendar year in which this provision is
13    applicable; then (II) the amounts redistributed to each
14    inter-track wagering location licensee as described in
15    subpart (I) shall be further redistributed as provided in
16    subparagraph (B) of paragraph (5) of subsection (g) of this
17    Section 26 provided first, that the shares of those
18    amounts, which are to be redistributed to the host track or
19    to purses at the host track under subparagraph (B) of
20    paragraph (5) of subsection (g) of this Section 26 shall be
21    redistributed based on each host track's pro rata share of
22    the total inter-track wagering and simulcast wagering
23    handle at all host tracks during the calendar year in
24    question, and second, that any amounts redistributed as
25    described in part (I) to an inter-track wagering location
26    licensee that accepts wagers on races conducted by an

 

 

HB2883- 33 -LRB100 10426 MJP 20632 b

1    organization licensee that conducts a race meet in a county
2    with a population in excess of 230,000 and that borders the
3    Mississippi River shall be further redistributed as
4    provided in subparagraphs (D) and (E) of paragraph (7) of
5    subsection (g) of this Section 26, with the portion of that
6    further redistribution allocated to purses at that
7    organization licensee to be divided between standardbred
8    purses and thoroughbred purses based on the amounts
9    otherwise allocated to purses at that organization
10    licensee during the calendar year in question; and (iv) 8%
11    of the pari-mutuel handle on inter-track wagering wagered
12    at such location to satisfy all costs and expenses of
13    conducting its wagering. The remainder of the monies
14    retained by the inter-track wagering location licensee
15    shall be allocated 40% to the location licensee and 60% to
16    the organization licensee which provides the Illinois
17    races to the location, except that an inter-track
18    intertrack wagering location licensee that derives its
19    license from a track located in a county with a population
20    in excess of 230,000 and that borders the Mississippi River
21    shall not divide any remaining retention with the
22    organization licensee that provides the race or races and
23    an inter-track intertrack wagering location licensee that
24    accepts wagers on races conducted by an organization
25    licensee that conducts a race meet in a county with a
26    population in excess of 230,000 and that borders the

 

 

HB2883- 34 -LRB100 10426 MJP 20632 b

1    Mississippi River shall not divide any remaining retention
2    with the organization licensee. Notwithstanding the
3    provisions of clauses (ii) and (iv) of this paragraph, in
4    the case of the additional inter-track wagering location
5    licenses authorized under paragraph (1) of this subsection
6    (h) by Public Act 87-110 this amendatory Act of 1991, those
7    licensees shall pay the following amounts as purses: during
8    the first 12 months the licensee is in operation, 5.25% of
9    the pari-mutuel handle wagered at the location on races;
10    during the second 12 months, 5.25%; during the third 12
11    months, 5.75%; during the fourth 12 months, 6.25%; and
12    during the fifth 12 months and thereafter, 6.75%. The
13    following amounts shall be retained by the licensee to
14    satisfy all costs and expenses of conducting its wagering:
15    during the first 12 months the licensee is in operation,
16    8.25% of the pari-mutuel handle wagered at the location;
17    during the second 12 months, 8.25%; during the third 12
18    months, 7.75%; during the fourth 12 months, 7.25%; and
19    during the fifth 12 months and thereafter, 6.75%. For
20    additional inter-track intertrack wagering location
21    licensees authorized under Public Act 89-16 this
22    amendatory Act of 1995, purses for the first 12 months the
23    licensee is in operation shall be 5.75% of the pari-mutuel
24    wagered at the location, purses for the second 12 months
25    the licensee is in operation shall be 6.25%, and purses
26    thereafter shall be 6.75%. For additional inter-track

 

 

HB2883- 35 -LRB100 10426 MJP 20632 b

1    intertrack location licensees authorized under Public Act
2    89-16 this amendatory Act of 1995, the licensee shall be
3    allowed to retain to satisfy all costs and expenses: 7.75%
4    of the pari-mutuel handle wagered at the location during
5    its first 12 months of operation, 7.25% during its second
6    12 months of operation, and 6.75% thereafter.
7        (C) There is hereby created the Horse Racing Tax
8    Allocation Fund which shall remain in existence until
9    December 31, 1999. Moneys remaining in the Fund after
10    December 31, 1999 shall be paid into the General Revenue
11    Fund. Until January 1, 2000, all monies paid into the Horse
12    Racing Tax Allocation Fund pursuant to this paragraph (11)
13    by inter-track wagering location licensees located in park
14    districts of 500,000 population or less, or in a
15    municipality that is not included within any park district
16    but is included within a conservation district and is the
17    county seat of a county that (i) is contiguous to the state
18    of Indiana and (ii) has a 1990 population of 88,257
19    according to the United States Bureau of the Census, and
20    operating on May 1, 1994 shall be allocated by
21    appropriation as follows:
22            Two-sevenths to the Department of Agriculture.
23        Fifty percent of this two-sevenths shall be used to
24        promote the Illinois horse racing and breeding
25        industry, and shall be distributed by the Department of
26        Agriculture upon the advice of a 9-member committee

 

 

HB2883- 36 -LRB100 10426 MJP 20632 b

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

 

 

HB2883- 37 -LRB100 10426 MJP 20632 b

1        reimbursed for all actual and necessary expenses and
2        disbursements incurred in the performance of their
3        official duties. The remaining 50% of this
4        two-sevenths shall be distributed to county fairs for
5        premiums and rehabilitation as set forth in the
6        Agricultural Fair Act;
7            Four-sevenths to park districts or municipalities
8        that do not have a park district of 500,000 population
9        or less for museum purposes (if an inter-track wagering
10        location licensee is located in such a park district)
11        or to conservation districts for museum purposes (if an
12        inter-track wagering location licensee is located in a
13        municipality that is not included within any park
14        district but is included within a conservation
15        district and is the county seat of a county that (i) is
16        contiguous to the state of Indiana and (ii) has a 1990
17        population of 88,257 according to the United States
18        Bureau of the Census, except that if the conservation
19        district does not maintain a museum, the monies shall
20        be allocated equally between the county and the
21        municipality in which the inter-track wagering
22        location licensee is located for general purposes) or
23        to a municipal recreation board for park purposes (if
24        an inter-track wagering location licensee is located
25        in a municipality that is not included within any park
26        district and park maintenance is the function of the

 

 

HB2883- 38 -LRB100 10426 MJP 20632 b

1        municipal recreation board and the municipality has a
2        1990 population of 9,302 according to the United States
3        Bureau of the Census); provided that the monies are
4        distributed to each park district or conservation
5        district or municipality that does not have a park
6        district in an amount equal to four-sevenths of the
7        amount collected by each inter-track wagering location
8        licensee within the park district or conservation
9        district or municipality for the Fund. Monies that were
10        paid into the Horse Racing Tax Allocation Fund before
11        August 9, 1991 (the effective date of Public Act
12        87-110) this amendatory Act of 1991 by an inter-track
13        wagering location licensee located in a municipality
14        that is not included within any park district but is
15        included within a conservation district as provided in
16        this paragraph shall, as soon as practicable after
17        August 9, 1991 (the effective date of Public Act
18        87-110) this amendatory Act of 1991, be allocated and
19        paid to that conservation district as provided in this
20        paragraph. Any park district or municipality not
21        maintaining a museum may deposit the monies in the
22        corporate fund of the park district or municipality
23        where the inter-track wagering location is located, to
24        be used for general purposes; and
25            One-seventh to the Agricultural Premium Fund to be
26        used for distribution to agricultural home economics

 

 

HB2883- 39 -LRB100 10426 MJP 20632 b

1        extension councils in accordance with "An Act in
2        relation to additional support and finances for the
3        Agricultural and Home Economic Extension Councils in
4        the several counties of this State and making an
5        appropriation therefor", approved July 24, 1967.
6        Until January 1, 2000, all other monies paid into the
7    Horse Racing Tax Allocation Fund pursuant to this paragraph
8    (11) shall be allocated by appropriation as follows:
9            Two-sevenths to the Department of Agriculture.
10        Fifty percent of this two-sevenths shall be used to
11        promote the Illinois horse racing and breeding
12        industry, and shall be distributed by the Department of
13        Agriculture upon the advice of a 9-member committee
14        appointed by the Governor consisting of the following
15        members: the Director of Agriculture, who shall serve
16        as chairman; 2 representatives of organization
17        licensees conducting thoroughbred race meetings in
18        this State, recommended by those licensees; 2
19        representatives of organization licensees conducting
20        standardbred race meetings in this State, recommended
21        by those licensees; a representative of the Illinois
22        Thoroughbred Breeders and Owners Foundation,
23        recommended by that Foundation; a representative of
24        the Illinois Standardbred Owners and Breeders
25        Association, recommended by that Association; a
26        representative of the Horsemen's Benevolent and

 

 

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1        Protective Association or any successor organization
2        thereto established in Illinois comprised of the
3        largest number of owners and trainers, recommended by
4        that Association or that successor organization; and a
5        representative of the Illinois Harness Horsemen's
6        Association, recommended by that Association.
7        Committee members shall serve for terms of 2 years,
8        commencing January 1 of each even-numbered year. If a
9        representative of any of the above-named entities has
10        not been recommended by January 1 of any even-numbered
11        year, the Governor shall appoint a committee member to
12        fill that position. Committee members shall receive no
13        compensation for their services as members but shall be
14        reimbursed for all actual and necessary expenses and
15        disbursements incurred in the performance of their
16        official duties. The remaining 50% of this
17        two-sevenths shall be distributed to county fairs for
18        premiums and rehabilitation as set forth in the
19        Agricultural Fair Act;
20            Four-sevenths to museums and aquariums located in
21        park districts of over 500,000 population; provided
22        that the monies are distributed in accordance with the
23        previous year's distribution of the maintenance tax
24        for such museums and aquariums as provided in Section 2
25        of the Park District Aquarium and Museum Act; and
26            One-seventh to the Agricultural Premium Fund to be

 

 

HB2883- 41 -LRB100 10426 MJP 20632 b

1        used for distribution to agricultural home economics
2        extension councils in accordance with "An Act in
3        relation to additional support and finances for the
4        Agricultural and Home Economic Extension Councils in
5        the several counties of this State and making an
6        appropriation therefor", approved July 24, 1967. This
7        subparagraph (C) shall be inoperative and of no force
8        and effect on and after January 1, 2000.
9            (D) Except as provided in paragraph (11) of this
10        subsection (h), with respect to purse allocation from
11        inter-track intertrack wagering, the monies so
12        retained shall be divided as follows:
13                (i) If the inter-track wagering licensee,
14            except an inter-track intertrack wagering licensee
15            that derives its license from an organization
16            licensee located in a county with a population in
17            excess of 230,000 and bounded by the Mississippi
18            River, is not conducting its own race meeting
19            during the same dates, then the entire purse
20            allocation shall be to purses at the track where
21            the races wagered on are being conducted.
22                (ii) If the inter-track wagering licensee,
23            except an inter-track intertrack wagering licensee
24            that derives its license from an organization
25            licensee located in a county with a population in
26            excess of 230,000 and bounded by the Mississippi

 

 

HB2883- 42 -LRB100 10426 MJP 20632 b

1            River, is also conducting its own race meeting
2            during the same dates, then the purse allocation
3            shall be as follows: 50% to purses at the track
4            where the races wagered on are being conducted; 50%
5            to purses at the track where the inter-track
6            wagering licensee is accepting such wagers.
7                (iii) If the inter-track wagering is being
8            conducted by an inter-track wagering location
9            licensee, except an inter-track intertrack
10            wagering location licensee that derives its
11            license from an organization licensee located in a
12            county with a population in excess of 230,000 and
13            bounded by the Mississippi River, the entire purse
14            allocation for Illinois races shall be to purses at
15            the track where the race meeting being wagered on
16            is being held.
17        (12) The Board shall have all powers necessary and
18    proper to fully supervise and control the conduct of
19    inter-track wagering and simulcast wagering by inter-track
20    wagering licensees and inter-track wagering location
21    licensees, including, but not limited to the following:
22            (A) The Board is vested with power to promulgate
23        reasonable rules and regulations for the purpose of
24        administering the conduct of this wagering and to
25        prescribe reasonable rules, regulations and conditions
26        under which such wagering shall be held and conducted.

 

 

HB2883- 43 -LRB100 10426 MJP 20632 b

1        Such rules and regulations are to provide for the
2        prevention of practices detrimental to the public
3        interest and for the best interests of said wagering
4        and to impose penalties for violations thereof.
5            (B) The Board, and any person or persons to whom it
6        delegates this power, is vested with the power to enter
7        the facilities of any licensee to determine whether
8        there has been compliance with the provisions of this
9        Act and the rules and regulations relating to the
10        conduct of such wagering.
11            (C) The Board, and any person or persons to whom it
12        delegates this power, may eject or exclude from any
13        licensee's facilities, any person whose conduct or
14        reputation is such that his presence on such premises
15        may, in the opinion of the Board, call into the
16        question the honesty and integrity of, or interfere
17        with the orderly conduct of such wagering; provided,
18        however, that no person shall be excluded or ejected
19        from such premises solely on the grounds of race,
20        color, creed, national origin, ancestry, or sex.
21            (D) (Blank).
22            (E) The Board is vested with the power to appoint
23        delegates to execute any of the powers granted to it
24        under this Section for the purpose of administering
25        this wagering and any rules and regulations
26        promulgated in accordance with this Act.

 

 

HB2883- 44 -LRB100 10426 MJP 20632 b

1            (F) The Board shall name and appoint a State
2        director of this wagering who shall be a representative
3        of the Board and whose duty it shall be to supervise
4        the conduct of inter-track wagering as may be provided
5        for by the rules and regulations of the Board; such
6        rules and regulation shall specify the method of
7        appointment and the Director's powers, authority and
8        duties.
9            (G) The Board is vested with the power to impose
10        civil penalties of up to $5,000 against individuals and
11        up to $10,000 against licensees for each violation of
12        any provision of this Act relating to the conduct of
13        this wagering, any rules adopted by the Board, any
14        order of the Board or any other action which in the
15        Board's discretion, is a detriment or impediment to
16        such wagering.
17        (13) The Department of Agriculture may enter into
18    agreements with licensees authorizing such licensees to
19    conduct inter-track wagering on races to be held at the
20    licensed race meetings conducted by the Department of
21    Agriculture. Such agreement shall specify the races of the
22    Department of Agriculture's licensed race meeting upon
23    which the licensees will conduct wagering. In the event
24    that a licensee conducts inter-track pari-mutuel wagering
25    on races from the Illinois State Fair or DuQuoin State Fair
26    which are in addition to the licensee's previously approved

 

 

HB2883- 45 -LRB100 10426 MJP 20632 b

1    racing program, those races shall be considered a separate
2    racing day for the purpose of determining the daily handle
3    and computing the privilege or pari-mutuel tax on that
4    daily handle as provided in Sections 27 and 27.1. Such
5    agreements shall be approved by the Board before such
6    wagering may be conducted. In determining whether to grant
7    approval, the Board shall give due consideration to the
8    best interests of the public and of horse racing. The
9    provisions of paragraphs (1), (8), (8.1), and (8.2) of
10    subsection (h) of this Section which are not specified in
11    this paragraph (13) shall not apply to licensed race
12    meetings conducted by the Department of Agriculture at the
13    Illinois State Fair in Sangamon County or the DuQuoin State
14    Fair in Perry County, or to any wagering conducted on those
15    race meetings.
16        (14) An inter-track wagering location license
17    authorized by the Board in 2016 that is owned and operated
18    by a race track in Rock Island County shall be transferred
19    to a commonly owned race track in Cook County on August 12,
20    2016 (the effective date of Public Act 99-757) this
21    amendatory Act of the 99th General Assembly. The licensee
22    shall retain its status in relation to purse distribution
23    under paragraph (11) of this subsection (h) following the
24    transfer to the new entity. The pari-mutuel tax credit
25    under Section 32.1 shall not be applied toward any
26    pari-mutuel tax obligation of the inter-track wagering

 

 

HB2883- 46 -LRB100 10426 MJP 20632 b

1    location licensee of the license that is transferred under
2    this paragraph (14).
3    (i) Notwithstanding the other provisions of this Act, the
4conduct of wagering at wagering facilities is authorized on all
5days, except as limited by subsection (b) of Section 19 of this
6Act.
7(Source: P.A. 98-18, eff. 6-7-13; 98-624, eff. 1-29-14; 98-968,
8eff. 8-15-14; 99-756, eff. 8-12-16; 99-757, eff. 8-12-16;
9revised 9-14-16.)
 
10    (230 ILCS 5/26.10 new)
11    Sec. 26.10. Wagering on historical horse races authorized.
12    (a) Wagering on historical horse races is authorized and
13may be conducted in accordance with this Act.
14    Wagering on a historical horse race shall only be conducted
15by an organization licensee licensed to conduct a live horse
16race meet and licensed to conduct inter-track and simulcast
17wagering in the year 2016.
18    Wagering on a historical horse race shall only be permitted
19in a designated area at any licensed premise of an organization
20licensee licensed to conduct a live horse race meeting.
21    An organization licensee may conduct wagering on
22standardbred, quarter horse, and thoroughbred historical horse
23races regardless of the type of breed that primarily races in
24live meets conducted by the organization licensee. An
25organization licensee may conduct wagering on historical races

 

 

HB2883- 47 -LRB100 10426 MJP 20632 b

1on any days and hours during which pari-mutuel wagering on live
2or simulcast races is being conducted and is approved by the
3Board, and wagering shall not be limited to times during which
4the organization licensee is conducting a live horse race
5meeting.
6    Any wager placed on a historical horse race shall be
7through the pari-mutuel system of wagering.
8    Before offering wagering on a historical horse race, an
9organization licensee shall first obtain the Board's written
10approval of all wagers offered as set forth in rules adopted by
11the Board.
12    (b) All wagering on a historical horse race shall
13incorporate all of the following elements:
14        (1) A patron may only wager on a historical horse race
15    on a terminal approved by the Board.
16        (2) Once a patron wagers an amount in the terminal
17    offering wagering on a historical horse race, a historical
18    horse race shall be chosen at random.
19        (3) Prior to the patron making his or her wager
20    selections, the terminal shall not display any information
21    that would allow the patron to identify the historical race
22    on which he or she is wagering, including the location of
23    the race, the date on which the race was run, the names of
24    the horses in the race, or the names of the jockeys or
25    drivers that rode the horses in the race.
26        (4) The terminal shall make available true and accurate

 

 

HB2883- 48 -LRB100 10426 MJP 20632 b

1    past performance information on the historical horse race
2    to the patron prior to making his or her wager selections.
3    The information shall be current as of the day the
4    historical horse race was actually run. The information
5    provided to the patron shall be displayed on the terminal
6    in data or graphical form.
7        (5) After a patron finalizes his or her wager
8    selections, the terminal shall display a video replay of
9    the race, or a portion thereof, or an animated depiction of
10    the race's finish and the official results of the race. The
11    identity of the race shall be revealed to the patron after
12    the patron has placed his or her wager.
13    (c) A wager on a historical horse race, less deductions
14permitted by this Act shall be placed in pari-mutuels pools
15approved by the Board.
16    A payout to a winning patron shall be paid from money
17wagered by patrons or the initial seed pool and shall not
18constitute a wager against the organization licensee.
19    An organization licensee conducting wagering on a
20historical horse race shall not conduct wagering in such a
21manner that patrons are wagering against the organization
22licensee or in such a manner that the amount retained by the
23organization licensee is dependent upon the outcome of any
24particular race or the success of any particular wager.
25    An organization licensee shall only pay a winning wager on
26a historical horse race out of the applicable pari-mutuel pool

 

 

HB2883- 49 -LRB100 10426 MJP 20632 b

1and shall not pay a winning wager out of the organization
2licensee's funds. Payment of a winning wager shall not exceed
3the amount available in the applicable pari-mutuel pool.
4    An organization licensee offering wagering on a historical
5horse race shall operate seed pools in a manner and method
6approved by the Board as set forth in this Act. For each wager
7made, an organization licensee may assign a percentage of the
8wager to seed pools. The seed pools shall be maintained and
9funded so that the amount available at any given time is
10sufficient to ensure that a patron will be paid the minimum
11amount required on a winning wager.
12    An organization licensee shall provide the funding for the
13initial seed pool for each type of exotic wager. The funding
14for the initial seed pool shall be nonrefundable and in an
15amount sufficient to ensure that a patron will be paid the
16minimum amount required on a winning wager.
17    (d) Terminals offering wagering on historical horse races
18shall be located within designated areas that have the prior
19written approval of the Board. Designated areas shall be
20established in such a way as to control access by the general
21public and prevent entry by any patron who is under 18 years of
22age or is otherwise not permitted to place wagers. Each
23organization licensee shall be limited to operating 300
24terminals at the same time.
25    An organization licensee shall monitor persons entering
26and leaving the designated areas and shall prevent access to

 

 

HB2883- 50 -LRB100 10426 MJP 20632 b

1any patron who is under 18 years of age or is otherwise not
2permitted to place wagers on historical horse races.
3    An organization licensee shall provide terminals that are
4accessible to patrons with disabilities.
5    (e) An organization licensee shall not offer a wager on any
6historical horse race without the prior written approval of the
7Board.
8    An organization licensee making a request to offer a
9pari-mutuel wager on a historical horse race may make an oral
10presentation to the Board regarding the wager prior to the
11Board deciding on the request. The presentation shall be made
12by the organization licensee during a meeting of the Board and
13shall be limited to the information contained in the written
14request and any supplemental information relevant to the
15Board's determination of the suitability of the wager. The
16Board may require an organization licensee to clarify or
17otherwise respond to questions concerning the written request
18as a condition to approval of the wager.
19    The Board may request additional information from an
20organization licensee regarding the wager if the additional
21information would assist the Board in deciding whether to
22approve it.
23    (f) An organization licensee shall submit a written request
24to the Board for permission to offer a wager on a historical
25horse race, which shall include:
26        (1) the types, numbers, and denominations of

 

 

HB2883- 51 -LRB100 10426 MJP 20632 b

1    pari-mutuel wagers to be offered;
2        (2) a detailed description of the rules that apply to
3    the pari-mutuel wager and the method of calculating
4    payouts, including how money will be allocated to the seed
5    pool;
6        (3) the days and hours of operation during which
7    wagering on historical horse races will be offered;
8        (4) a detailed description of the proposed designated
9    area and the terminal or terminals on which the pari-mutuel
10    wagers will be made, including an architect's rendering of
11    the proposed designated area, that describes the size,
12    construction, layout, capacity, and number of terminals
13    and at least one photograph of the designated area when
14    construction is completed;
15        (5) the practices and procedures that will ensure the
16    security, safety, and comfort of patrons in the designated
17    area;
18        (6) the manufacturer, make, and model of the terminal,
19    including a copy of all literature supplied by the
20    manufacturer of the terminal;
21        (7) the maintenance and repair procedures that will
22    ensure the integrity of the terminals; and
23        (8) a complete list of individuals who are authorized
24    to examine and repair the terminals for any reason.
25    (g) Wagering on historical horse races shall be conducted
26only on terminals approved by the Board as set forth in this

 

 

HB2883- 52 -LRB100 10426 MJP 20632 b

1Section. The Board shall not require any particular make of
2terminal.
3    The Board shall require testing of each terminal used for
4wagering on historical horse races by an independent testing
5laboratory to ensure its integrity and proper working order.
6The independent testing laboratory shall be chosen by the
7Board, and the expense of the testing shall be paid by the
8organization licensee offering the wagering on historical
9horse races.
10    Each terminal for wagering for a historical horse race
11shall display odds or pool amounts that the patron will receive
12for a winning wager on each pari-mutuel wagering pool.
13    (h) After payment of the pari-mutuel tax and any other
14applicable taxes, each organization licensee shall allocate
1515% of the remaining amount retained under this Section to
16purse accounts.
17    (i) From the amount the Board collects from the pari-mutuel
18tax imposed on wagers placed on historical racing, the Board
19shall pay 50% of the tax to the purse accounts of the
20organization licensee where the tax was generated. Amounts paid
21under this subsection (i) to purse accounts shall not be
22subject to appropriation.
 
23    Section 99. Effective date. This Act takes effect upon
24becoming law.