94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB2378


 
Introduced 1/18/2006, by Sen. Terry Link
 
SYNOPSIS AS INTRODUCED:
 		













20 ILCS 1605/7.12 new










    Amends the Illinois Lottery Law. Requires the Department of Revenue to
establish and maintain a program that allows the purchase of lottery
tickets or shares via the Internet through the services of a private vendor. Sets forth requirements for the program. Effective immediately.
















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











SB2378

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    AN ACT concerning State government.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Illinois Lottery Law is amended  by adding 
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Section 7.12 as follows:
 
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    (20 ILCS 1605/7.12  new)
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    Sec. 7.12. Internet sales program.
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    (a) The Department must
establish and maintain a program 
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that allows the purchase of lottery
tickets or shares via the 
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Internet through the services of a private vendor. The

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Department must  adopt rules necessary for the administration
of 
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this program. The provisions of this Act and the rules
adopted 
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under this Act apply to the sale of lottery
tickets or shares 
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under
this program.
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    (b) Only one Internet website may be used for the purpose 
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of this program. Any product that is offered for sale by 
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retailers may be sold through the Internet program. The 
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Internet program must include a process for buyers to establish 
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an account with the Department through which a buyer may 
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transfer moneys to pay for tickets. Winners must be notified 
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electronically of their winnings, and monetary prizes of less 
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than $100 must be deposited into the winner's account. Monetary 
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prizes of $100 or more must be claimed in the same manner set 
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forth under Section 19.
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    (c) The Department must enter into a contract with a 
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private vendor to administer the program. In addition to any 
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other reasonable qualifications required by the Department, 
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the vendor must:
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        (1) have 10 or more years experience in handling 
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    Internet sales;
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        (2) possess the ability to maintain an Internet site in 
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    compliance with the the best industry standards with 
 


 






SB2378
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    respect to security and the protection of personal 
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    information;
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        (3) possess a demonstrable ability to create and 
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    maintain an Internet site with a high volume of use with an 
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    error rate of less than one-half of 1%; and
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        (4) have a history of financial accountability and 
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    comply with generally accepted accounting principles.
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    (d) The vendor, with the cooperation and approval of the 
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Department, must establish procedures to establish accounts 
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and unique identification numbers for each player using the 
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Internet and to verify the age of each of those players.
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    (e) The vendor is entitled to the same fees that are earned 
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by sales agents under this Act but is not entitled to a bonus 
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for selling a winning ticket. The vendor is entitled to a 
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reasonable fee for each player who establishes an account, the 
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amount of which must be negotiated between the vendor and the 
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Department at the time the vendor's services are procured.
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    (f) The vendor must deliver to the Department all moneys 
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collected through the Internet transactions within 3 days after 
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their receipt. At the same time, the vendor must deliver to the 
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Department records of all sales transactions from which those 
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moneys were collected. The vendor may deduct its fees before 
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delivering the moneys to the Department.
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    (g) The Department must adopt  any rules necessary to 
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administer the provisions of this Section.

 

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    Section 99. Effective date. This Act takes effect upon 
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becoming law.