HB4222 103RD GENERAL ASSEMBLY

LRB103 35255 SPS 65262 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4222

Introduced 11/7/2023, by Rep. Robert "Bob" Rita

SYNOPSIS AS INTRODUCED:

230 ILCS 40/59 new
230 ILCS 40/59.5 new
230 ILCS 40/59.6 new

Amends the Video Gaming Act. Provides that each licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment shall notify the Illinois Gaming Board in writing prior to a proposed sale or transfer of the licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment. Sets forth provisions concerning the change of ownership of a licensed establishment. Provides for conditional licenses for licensed establishments. Provides that a licensed terminal operator shall be excused from any surveillance obligation imposed upon a licensed terminal operator if the failure of the terminal operator to comply with the surveillance obligation is caused by specified circumstances. Effective immediately.

A BILL FOR

AN ACT concerning gaming.

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

Section 5. The Video Gaming Act is amended by adding Sections 59, 59.5, and 59.6 as follows:

(230 ILCS 40/59 new)

Sec. 59. Change of ownership of a licensed video gaming location.

(a) In addition to the disclosure requirements set forth in 11 Ill. Adm. Code 1800.210(c) and (i), each licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment shall notify the Board in writing prior to a proposed sale or transfer of the licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment.

(b) When a licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment is sold or transferred, the video gaming terminals shall be allowed to continue to operate under the transferor's license if:

(1) the transferee owner has submitted all required and applicable application materials for a new or amended video gaming location license application and includes copies of all sale or transfer documentation;

(2) the transferee has completed the required criminal record check by fingerprint examination;

(3) the transferee is issued all required liquor licenses to draw, pour, mix, or otherwise serve alcohol for consumption on the premises; and

(4) the transferor holding the license to the licensed establishment, licensed fraternal establishment, licensed veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment agrees to be bound to all obligations and duties imposed upon it for operating a licensed video gaming location by this Act until the Board approves the sale or transfer and until the consummation of the closing of the sale or transfer.

(c) When a licensed video gaming location is sold or transferred, the video gaming terminals shall be allowed to continue to operate under the transferor's license only until:

(1) the issuance of a video gaming location license in the name of the transferee;

(2) a determination by the Board that the transferee, its owner, or any person of significant interest or control of the transferee is unsuitable; or

(3) a denial of the transferee's license application by the Board.

(d) If the Board denies a transferee's license application or if the Board determines that the transferee, its owner, or any person of significant interest or control of the transferee is unsuitable, then the Board shall disable the video gaming terminals located at the applicable video gaming location, and the terminal operator responsible for the video gaming terminals shall remove the video gaming terminals from the location within 72 hours after the determination by the Board. The video gaming terminals shall remain removed during any period of appeal of the Board's decision.

(230 ILCS 40/59.5 new)

Sec. 59.5. Conditional license for licensed establishments.

(a) A licensed establishment, licensed fraternal establishment, veterans establishment, licensed truck stop establishment, or licensed large truck stop establishment that holds a valid license under this Act, is in good standing with Board, and that files an application for an additional license at another location shall be issued a conditional license by the Board within 30 days after filing a complete license application for the additional location with the Board. A terminal operator may place and operate video gaming terminals at the conditionally licensed establishment.

(b) When a licensed establishment receives a conditional license for an additional location, video gaming terminals shall be allowed to operate at the additional location under the conditional license only until:

(1) the issuance of a licensed establishment license in the name of the conditional licensee;

(2) a determination by the Board that the conditional licensee, its owner, or any person of significant interest or control of the transferee is unsuitable; or

(3) a denial of the conditional licensee's license application by the Board.

(c) If the Board denies a conditional licensee's license application or if the Board determines that the conditional licensee, its owner, or any person of significant interest or control of the transferee is unsuitable, then the Board shall disable the video gaming terminals located at the applicable video gaming location, and the terminal operator responsible for the video gaming terminals shall remove the video gaming terminals from the location within 72 hours after the determination by the Board. The video gaming terminals shall remain removed during any period of appeal of the Board's decision.

(230 ILCS 40/59.6 new)

Sec. 59.6. Exceptions to surveillance obligation. A licensed terminal operator shall be excused from any surveillance obligation imposed upon a licensed terminal operator by this Act or any rules adopted under this Act if the failure of the terminal operator to comply with the surveillance obligation is caused by: (1) an act of God, lightning, storm, tornado, or other similar inclement weather event; or (2) electrical service failure, Internet service failure, or equipment malfunction that is repaired by the terminal operator within 72 hours after discovery of the malfunction by the terminal operator.

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