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1 | AN ACT concerning gaming. | |||||||||||||||||||||
2 | Be it enacted by the People of the State of Illinois, | |||||||||||||||||||||
3 | represented in the General Assembly: | |||||||||||||||||||||
4 | Section 1. Short title. This Act may be cited as the | |||||||||||||||||||||
5 | Internet Gaming Act. | |||||||||||||||||||||
6 | Section 5. Definitions. Unless otherwise provided in this | |||||||||||||||||||||
7 | Act, the terms used in this Act have the same meaning given to | |||||||||||||||||||||
8 | those terms in the Illinois Gambling Act. Further, as used in | |||||||||||||||||||||
9 | this Act: | |||||||||||||||||||||
10 | "Adjusted gross gaming revenue" means the total of all | |||||||||||||||||||||
11 | sums actually received by an Internet gaming licensee from | |||||||||||||||||||||
12 | Internet gaming operations, excluding voided wagers, free | |||||||||||||||||||||
13 | play, and promotional credits, less the total of all sums | |||||||||||||||||||||
14 | actually paid out as winnings to patrons, which includes the | |||||||||||||||||||||
15 | cash equivalent of any merchandise or thing of value awarded | |||||||||||||||||||||
16 | as a prize, and the total of successfully disputed credit or | |||||||||||||||||||||
17 | debit card charges that were previously included in the | |||||||||||||||||||||
18 | computation of gross gaming revenue. "Adjusted gross gaming | |||||||||||||||||||||
19 | revenue" does not include the dollar amount of non-cashable | |||||||||||||||||||||
20 | vouchers, coupons, or promotions redeemed by participants on | |||||||||||||||||||||
21 | an Internet gaming platform. | |||||||||||||||||||||
22 | "Board" means the Illinois Gaming Board. | |||||||||||||||||||||
23 | "Internet game" means an Internet-based version or |
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1 | substantial equivalent of a gambling game, slot machine, | ||||||
2 | poker, table game, or any other game approved by the Board, | ||||||
3 | including, but not limited to, simulcasted live-dealer | ||||||
4 | versions of casino games in which an individual wagers money | ||||||
5 | or something of monetary value for the opportunity to win | ||||||
6 | money or something of monetary value, and which is accessed by | ||||||
7 | an Internet-connected computer or mobile device. "Internet | ||||||
8 | game" includes gaming tournaments conducted via the Internet | ||||||
9 | in which players compete against one another or in one or more | ||||||
10 | of the games authorized in this Act. "Internet game" does not | ||||||
11 | include sports wagering conducted pursuant to the Sports | ||||||
12 | Wagering Act or fantasy contests in which one or more players | ||||||
13 | compete against each other and winning outcomes reflect the | ||||||
14 | relative knowledge and skill of the players and are determined | ||||||
15 | predominantly by accumulated statistical results of the | ||||||
16 | performance of individuals, including athletes in the case of | ||||||
17 | sporting events. | ||||||
18 | "Internet gaming" means conducting Internet games. | ||||||
19 | "Internet gaming licensee" means the owners licensee or | ||||||
20 | organization licensee that holds an Internet gaming license | ||||||
21 | under this Act. | ||||||
22 | "Internet gaming operator" means an Internet gaming | ||||||
23 | licensee that operates an Internet gaming platform or, if an | ||||||
24 | Internet management services provider operates the Internet | ||||||
25 | gaming platform, the Internet management services provider. | ||||||
26 | "Internet gaming platform" means the combination of |
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1 | hardware and software or other technology designed and used to | ||||||
2 | manage, conduct, and record Internet gaming and the wagers | ||||||
3 | associated with Internet gaming. | ||||||
4 | "Internet gaming skin" means a distinctly branded Internet | ||||||
5 | gaming platform operated by an Internet gaming operator, which | ||||||
6 | may encompass a website, mobile application, or other portal | ||||||
7 | to the Internet gaming platform. The brand may be that of the | ||||||
8 | Internet gaming licensee or its affiliate, the Internet | ||||||
9 | management service provider, or another brand as agreed upon | ||||||
10 | by the Internet gaming licensee and its Internet management | ||||||
11 | service provider. | ||||||
12 | "Internet management service provider" means a licensed | ||||||
13 | business entity that operates an Internet gaming platform | ||||||
14 | pursuant to an agreement with an Internet gaming licensee. | ||||||
15 | "Internet wagering" means the placing of wagers with an | ||||||
16 | Internet gaming operator by persons who are either physically | ||||||
17 | present in the State or in another permissible jurisdiction | ||||||
18 | with which the Board has entered into a reciprocal agreement | ||||||
19 | when placing a wager or otherwise permitted to place a wager by | ||||||
20 | law. | ||||||
21 | "Internet wagering account" means a financial record | ||||||
22 | established and accessible through an Internet gaming platform | ||||||
23 | for an individual patron in which the patron may deposit and | ||||||
24 | withdraw funds for Internet gaming and other authorized | ||||||
25 | purchases and to which the Internet gaming operator may credit | ||||||
26 | winnings or other amounts due to that patron or authorized by |
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1 | that patron. Nothing in this Act shall prohibit the use of the | ||||||
2 | same Internet wagering account for sports wagering conducted | ||||||
3 | and authorized under the Sports Wagering Act. | ||||||
4 | "Organization licensee" has the meaning given to that term | ||||||
5 | in the Illinois Horse Racing Act of 1975. | ||||||
6 | "Owners licensee" means the holder of an owners license | ||||||
7 | issued under the Illinois Gambling Act. | ||||||
8 | "Permissible jurisdiction" means another jurisdiction from | ||||||
9 | which wagers may be accepted pursuant to Section 60. | ||||||
10 | "Supplier" means (i) a seller or lessor of gaming | ||||||
11 | equipment, systems, or other items to conduct Internet gaming, | ||||||
12 | including a manufacturer, distributor, wholesaler, or | ||||||
13 | retailer; (ii) a provider of Internet gaming equipment, | ||||||
14 | maintenance, or repair services; (iii) a provider of security | ||||||
15 | services at designated gaming areas; or (iv) any other | ||||||
16 | purveyor of goods, data, or services to an Internet gaming | ||||||
17 | licensee or Internet management service provider licensee, as | ||||||
18 | deemed necessary by the Board if the Board determines that the | ||||||
19 | goods, data, or services impact the integrity or security of | ||||||
20 | the Internet gaming operation. | ||||||
21 | Section 10. Board powers and responsibilities. The Board | ||||||
22 | has the same powers and responsibilities with respect to the | ||||||
23 | offering of Internet gaming as it has with respect to | ||||||
24 | non-Internet gaming pursuant to Section 5 of the Illinois | ||||||
25 | Gambling Act, except where the exercise of such powers or |
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1 | responsibilities is incompatible with the offering of gambling | ||||||
2 | games over the Internet or with this Act. | ||||||
3 | Section 15. Rulemaking. | ||||||
4 | (a) The Board shall adopt emergency rules within 90 days | ||||||
5 | after the effective date of this Act to administer this Act in | ||||||
6 | accordance with Section 5-45 of the Illinois Administrative | ||||||
7 | Procedure Act. For the purposes of the Illinois Administrative | ||||||
8 | Procedure Act, the General Assembly finds that the adoption of | ||||||
9 | rules to implement this Act is deemed an emergency and | ||||||
10 | necessary to the public interest, safety, and welfare. | ||||||
11 | (b) In adopting rules and regulating the conduct of | ||||||
12 | Internet gaming, the Board shall to the greatest extent | ||||||
13 | possible utilize existing rules adopted under the Illinois | ||||||
14 | Gambling Act and amend existing rules or adopt new rules or | ||||||
15 | standards only as reasonably necessary to implement Internet | ||||||
16 | gaming under this Act. The Board shall look to the Internet | ||||||
17 | gaming rules of other regulated jurisdictions in the United | ||||||
18 | States and shall implement consistent rules to the greatest | ||||||
19 | extent practicable. | ||||||
20 | Section 20. Internet gaming authorized. | ||||||
21 | (a) Notwithstanding any provision of law to the contrary, | ||||||
22 | Internet gaming is only lawful when conducted by an Internet | ||||||
23 | gaming operator in accordance with the provisions of this Act | ||||||
24 | and the rules of the Board. |
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1 | (b) Internet gaming shall only be offered by an Internet | ||||||
2 | gaming licensee or an Internet management services provider | ||||||
3 | that has contracted with an Internet gaming licensee. An | ||||||
4 | Internet gaming licensee shall offer no more than 3 | ||||||
5 | individually branded Internet gaming skins. The Internet | ||||||
6 | gaming licensee may operate the platform and contract with up | ||||||
7 | to 3 Internet management service providers to conduct Internet | ||||||
8 | gaming in accordance with the rules of the Board and the | ||||||
9 | provisions of this Act. An Internet management services | ||||||
10 | provider may conduct Internet gaming on its own Internet | ||||||
11 | gaming platform pursuant to the agreement between the provider | ||||||
12 | and an Internet gaming licensee and in accordance with the | ||||||
13 | rules of the Board and the provisions of this Act. | ||||||
14 | (c) The primary servers necessary to the placement or | ||||||
15 | resolution of wagers on an Internet gaming platform shall be | ||||||
16 | located within a facility that is secure and inaccessible to | ||||||
17 | the public. The primary servers may be located anywhere in the | ||||||
18 | United States that is in compliance with federal law for a | ||||||
19 | period of one year following the effective date of this Act. | ||||||
20 | Beginning one year after the effective date of this Act, the | ||||||
21 | primary servers must be located in the State. All wagers | ||||||
22 | placed by a person physically located in the State are deemed | ||||||
23 | to be placed in this State. The intermediate routing of | ||||||
24 | electronic data in connection with Internet gaming, including | ||||||
25 | across State lines, shall not determine the location or | ||||||
26 | locations in which a wager is initiated, received, or |
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1 | otherwise made. | ||||||
2 | Section 25. Requirements of Internet gaming platform. | ||||||
3 | (a) An Internet gaming operator may accept wagers on an | ||||||
4 | Internet gaming platform only as follows: | ||||||
5 | (1) the wager is placed directly with the Internet | ||||||
6 | gaming operator through an Internet wagering account; and | ||||||
7 | (2) the Internet gaming operator has verified that the | ||||||
8 | person placing the wager is the holder of the Internet | ||||||
9 | wagering account and is physically located within this | ||||||
10 | State or a permissible jurisdiction using technological | ||||||
11 | requirements in compliance with this Section. | ||||||
12 | (b) An Internet gaming platform shall include age and | ||||||
13 | location verification mechanisms and requirements that are | ||||||
14 | designed to preclude knowingly accepting wagers from | ||||||
15 | individuals under 21 years of age, persons not physically | ||||||
16 | within the State or a permissible jurisdiction, and persons | ||||||
17 | otherwise excluded from Internet gaming from establishing | ||||||
18 | Internet wagering accounts or from engaging in Internet gaming | ||||||
19 | under this Act. The Internet gaming platform's age, location, | ||||||
20 | and eligibility detection mechanisms shall monitor attempts to | ||||||
21 | access the system and shall use commercially reasonable | ||||||
22 | attempts to block unauthorized attempts to access the system. | ||||||
23 | (c) An Internet gaming operator shall implement | ||||||
24 | commercially reasonable data security standards to prevent | ||||||
25 | unauthorized access by any person whose identity has not been |
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1 | verified or cannot be verified, in accordance with rules | ||||||
2 | adopted by the Board. The Internet gaming platform's identity | ||||||
3 | verification mechanisms shall monitor attempts to access the | ||||||
4 | system and shall use commercially reasonable attempts to block | ||||||
5 | unauthorized attempts to access the system by persons who are | ||||||
6 | not the wagering account holder. | ||||||
7 | (d) An Internet gaming operator shall implement | ||||||
8 | commercially reasonable standards to protect the privacy and | ||||||
9 | security of patrons to a reasonable degree of certainty. | ||||||
10 | Internet gaming operators shall establish and offer patrons | ||||||
11 | the option to protect their accounts with multi-factor | ||||||
12 | authentication or authentication features such as personal | ||||||
13 | identification numbers or biometric data. | ||||||
14 | (e) An Internet gaming operator shall establish internal | ||||||
15 | and accounting controls applicable to Internet gaming and | ||||||
16 | shall ensure that the security and integrity of all financial | ||||||
17 | transactions in connection with Internet gaming shall comply | ||||||
18 | with this Act and any rules adopted by the Board. | ||||||
19 | (f) Each Internet gaming operator shall collect, report, | ||||||
20 | and pay all applicable taxes and fees and shall maintain all | ||||||
21 | books, records, and documents pertaining to the Internet | ||||||
22 | gaming operators gaming operations in a manner approved by the | ||||||
23 | Board. | ||||||
24 | (g) All books, records, and documents concerning Internet | ||||||
25 | gaming shall be available for inspection upon commercially | ||||||
26 | reasonable notice by the Board during ordinary business hours |
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1 | in accordance with the Board's rules and shall be maintained | ||||||
2 | by each Internet gaming operator in a manner and during | ||||||
3 | periods of time as the Board shall require. | ||||||
4 | (h) Each Internet gaming operator shall maintain a file | ||||||
5 | containing samples of the types and forms of advertising and | ||||||
6 | promotional materials that it has used for Internet gaming in | ||||||
7 | connection with this State for a period of 2 years. Such | ||||||
8 | advertising samples shall be made available or produced for | ||||||
9 | inspection upon the Board's request. The Board shall allow for | ||||||
10 | Internet gaming operators to advertise beginning on the date | ||||||
11 | of their licensing approval, including a temporary licensing | ||||||
12 | approval. Nothing in this Section shall require Internet | ||||||
13 | gaming operators to obtain advertising preapproval from the | ||||||
14 | Board. | ||||||
15 | Section 30. Internet wagering accounts. | ||||||
16 | (a) Eligible persons seeking to establish Internet | ||||||
17 | wagering accounts may do so in person at a casino or racetrack | ||||||
18 | or over the Internet without appearing in person. An Internet | ||||||
19 | gaming operator shall adopt reasonable procedures to ensure | ||||||
20 | that individuals have no more than one Internet wagering | ||||||
21 | account with the Internet gaming operator. However, nothing in | ||||||
22 | this Act prohibits the use of a single account for a sports | ||||||
23 | wagering account under the Sports Wagering Act and the | ||||||
24 | Internet wagering account set forth under this Act. | ||||||
25 | (b) A participant may deposit and withdraw funds from the |
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1 | participant's Internet wagering accounts in-person at a casino | ||||||
2 | or racetrack or over the Internet through electronic means to | ||||||
3 | the extent allowed by federal law, including debit and credit | ||||||
4 | cards; automated clearing house transfers; wire transfers; | ||||||
5 | deposits and withdrawals of cash or gaming chips at cashiering | ||||||
6 | locations in a river boat, a casino, or any property or | ||||||
7 | facility owned, maintained, or leased by an organization | ||||||
8 | licensee, an owners licensee, an Internet gaming operator, an | ||||||
9 | Internet gaming licensee, or any other facility where a | ||||||
10 | gambling game, a casino game, slot machines, table games, or | ||||||
11 | other gambling operation occurs; deposits and withdrawals of | ||||||
12 | cash at retail locations in the State approved by the Board; | ||||||
13 | reloadable prepaid cards; gift cards; cash complimentary, | ||||||
14 | promotional credits, or bonus credits; winnings; digital, | ||||||
15 | crypto, and virtual currencies; or other means as approved by | ||||||
16 | the Board. | ||||||
17 | (c) An Internet gaming operator shall include, as part of | ||||||
18 | the Internet gaming operator's internal controls, mechanisms | ||||||
19 | and procedures for reasonably detecting unauthorized access to | ||||||
20 | Internet wagering accounts, unauthorized attempts to access | ||||||
21 | Internet wagering accounts, and suspicious Internet wagering | ||||||
22 | activity constituting cheating, theft, embezzlement, | ||||||
23 | collusion, money laundering, and other illegal activity. | ||||||
24 | (d) As permitted by federal law, nothing in this Act | ||||||
25 | prohibits Internet gaming operators from linking or otherwise | ||||||
26 | commingling Internet wagering accounts with an eligible |
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1 | person's Internet wagering account in another jurisdiction. | ||||||
2 | However, each Internet gaming operator must retain records of | ||||||
3 | all deposits, withdraws, wagers, and wager results that take | ||||||
4 | place within this State and pursuant to this Act and ensure all | ||||||
5 | taxes and fees due under this Act are properly documented and | ||||||
6 | paid. | ||||||
7 | Section 35. License requirements. | ||||||
8 | (a) No person may offer Internet games in this State | ||||||
9 | unless all necessary licenses have been obtained in accordance | ||||||
10 | with this Act and the rules of the Board. The Board may issue | ||||||
11 | the following licenses to persons, firms, partnerships, or | ||||||
12 | corporations that apply for licensure upon a determination by | ||||||
13 | the Board that the applicant is eligible for the license under | ||||||
14 | this Act and rules adopted by the Board: | ||||||
15 | (1) Internet gaming license; | ||||||
16 | (2) Internet management service provider license; | ||||||
17 | (3) supplier license; and | ||||||
18 | (4) occupational license. | ||||||
19 | (b) The Board shall issue an Internet gaming license upon | ||||||
20 | request to any owners licensee or organization licensee that | ||||||
21 | meets the conditions of subsection (i). The fee for a license | ||||||
22 | shall be $250,000. An Internet gaming license shall be valid | ||||||
23 | for the same period of time as the requester's owners license | ||||||
24 | or organization license and shall be renewed as a matter of | ||||||
25 | course upon renewal of the owners license or organization |
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1 | license and for the same period of time as the owners license | ||||||
2 | or organization license. The fee for renewal of an Internet | ||||||
3 | gaming license is $100,000. If an Internet gaming license is | ||||||
4 | received after the issuance or renewal of an owners license or | ||||||
5 | organizational license, the Internet gaming license fee shall | ||||||
6 | be prorated for the remainder of the existing term. | ||||||
7 | (c) An entity may apply for an Internet management service | ||||||
8 | provider license in the form as may be required by the Board | ||||||
9 | consistent with the requirements of this Act. The Board shall | ||||||
10 | provide an abbreviated application for entities that hold or | ||||||
11 | have a pending application for a management services provider | ||||||
12 | license under the Sports Wagering Act or other types of gaming | ||||||
13 | under Illinois law. Before issuance of an Internet management | ||||||
14 | service provider license under this Act, the applicant shall | ||||||
15 | pay to the Board a licensing fee of $100,000 or, for applicants | ||||||
16 | holding a management service provider license issued under | ||||||
17 | other State law, a licensing fee of $50,000. An Internet | ||||||
18 | management service provider license issued under this Act | ||||||
19 | shall be valid for 4 years, subject to renewal upon payment of | ||||||
20 | a fee of $50,000. | ||||||
21 | (d) An applicant for a supplier license shall apply in the | ||||||
22 | form as may be required by the Board consistent with the | ||||||
23 | requirements of this Act. The Board shall provide an | ||||||
24 | abbreviated application for entities that hold or have a | ||||||
25 | pending application for a supplier license under the Sports | ||||||
26 | Wagering Act or other types of gaming under State law. Before |
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1 | issuance of a supplier license under this Act, the applicant | ||||||
2 | shall pay to the Board a licensing fee of $75,000 or, for | ||||||
3 | applicants holding a supplier license issued under other | ||||||
4 | Illinois law, a licensing fee of $50,000. A supplier license | ||||||
5 | issued under this Act shall be valid for 4 years, subject to | ||||||
6 | renewal upon payment of a fee of $50,000. | ||||||
7 | (e) An applicant for an occupation license shall apply in | ||||||
8 | the form as may be required by the Board consistent with the | ||||||
9 | requirements of this Act for individuals who can directly | ||||||
10 | change critical components of Internet game system hardware or | ||||||
11 | software and meet 2 of the following requirements: | ||||||
12 | (1) have access to wagering account holders' | ||||||
13 | personally identifying information; | ||||||
14 | (2) have the ability to make adjustments to Internet | ||||||
15 | wagering accounts; or | ||||||
16 | (3) have direct interaction with wagering account | ||||||
17 | holders. | ||||||
18 | Before issuance of an occupational license under this Act, | ||||||
19 | the applicant shall pay to the Board a licensing fee of $150 | ||||||
20 | or, for applicants holding an occupational license issued | ||||||
21 | under other State law, a licensing fee of $100. An | ||||||
22 | occupational license issued under this Act shall be valid for | ||||||
23 | 4 years, subject to renewal upon payment of a fee of $100. An | ||||||
24 | Internet gaming licensee may pay an occupational licensing fee | ||||||
25 | on behalf of its employees. | ||||||
26 | (f) The Board shall issue any license under this Act upon |
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1 | payment of the license fee to an applicant that meets the | ||||||
2 | conditions of subsection (i), if applicable, and a showing | ||||||
3 | that the applicant holds an equivalent license under the | ||||||
4 | Illinois Sports Wagering Act or, otherwise, has an equivalent | ||||||
5 | license to conduct Internet gaming in another U.S. | ||||||
6 | 3jurisdiction with licensing standards similar to those | ||||||
7 | established under this Act and accompanying rules. | ||||||
8 | (g) The Board shall issue any license under this Act on a | ||||||
9 | temporary basis within 30 days after receiving an application | ||||||
10 | to any applicant that holds an equivalent license or temporary | ||||||
11 | license under the Sports Wagering Act or, otherwise, has | ||||||
12 | equivalent licenses in connection with Internet gaming in | ||||||
13 | another U.S. jurisdiction with licensing standards similar to | ||||||
14 | those established under this Act and accompanying rules. The | ||||||
15 | Board shall issue the temporary license under this subsection | ||||||
16 | within 30 days after receiving a completed application unless | ||||||
17 | it is aware of credible information that may prevent the | ||||||
18 | issuance of a license or require certain conditions on a | ||||||
19 | license to ensure compliance with State gaming law, subject to | ||||||
20 | due process. The temporary license shall be valid for a period | ||||||
21 | of one year. The Board may revoke a temporary license at any | ||||||
22 | time if it becomes aware of credible information that may | ||||||
23 | prevent the issuance of a license or require certain | ||||||
24 | conditions on a license to ensure compliance with State gaming | ||||||
25 | law. A temporary license shall otherwise be deemed to be the | ||||||
26 | equivalent of a full license for all purposes. A temporary |
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1 | license shall be renewed if a final determination has not been | ||||||
2 | made by the Board on permanent licensure within one year. The | ||||||
3 | Board shall adopt a process for ensuring an equal opportunity | ||||||
4 | for all licensees to initially launch on a date set forth by | ||||||
5 | the Board. | ||||||
6 | (h) The Board may require background investigations for | ||||||
7 | any officer, director, or shareholder with 10% or more equity | ||||||
8 | interests of an applicant for an Internet management service | ||||||
9 | provider license. The Board may recover the actual and | ||||||
10 | reasonable costs of an investigation conducted under this | ||||||
11 | subsection from any license applicant. The Board shall waive a | ||||||
12 | background investigation upon a showing that a background | ||||||
13 | investigation has previously been conducted on the applicant | ||||||
14 | under the Sports Wagering Act. The Board may accept a | ||||||
15 | background investigation conducted by another state with | ||||||
16 | licensing standards similar to those established under this | ||||||
17 | Act and accompanying rules. | ||||||
18 | (i) The Board may not issue an Internet gaming license to | ||||||
19 | an owners licensee or organization licensee that has reduced | ||||||
20 | the size of its workforce by 25% or more since February 28, | ||||||
21 | 2020. The Board may not renew the Internet gaming license of | ||||||
22 | any owners licensee or organization licensee that has reduced | ||||||
23 | the size of its workforce by 25% since the date its last | ||||||
24 | Internet gaming license was issued or renewed. | ||||||
25 | Section 40. Age verification; location; responsible |
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1 | gaming. | ||||||
2 | (a) An Internet gaming platform's internal controls shall | ||||||
3 | include one or more mechanism to reasonably verify that a | ||||||
4 | participant is 21 years of age or older, that wagering on | ||||||
5 | Internet games is limited to transactions that are initiated | ||||||
6 | and received within the State or a permissible jurisdiction, | ||||||
7 | and that the participant is physically located within the | ||||||
8 | State or a permissible jurisdiction. | ||||||
9 | (b) The Board shall develop responsible Internet gaming | ||||||
10 | measures, including a statewide responsible gaming database | ||||||
11 | identifying individuals who shall be prohibited from | ||||||
12 | establishing an Internet wagering account or participating in | ||||||
13 | Internet gaming offered by an Internet gaming operator. The | ||||||
14 | Board shall adopt rules for the establishment and maintenance | ||||||
15 | of the responsible gaming database, which shall include | ||||||
16 | allowances for individuals to self-exclude from Internet | ||||||
17 | wagering, including making self-exclusion elections through an | ||||||
18 | Internet gaming operator on an Internet gaming platform or in | ||||||
19 | person at casinos or racetracks. The Board shall maintain the | ||||||
20 | responsible gaming database in a confidential manner and | ||||||
21 | Internet gaming operators shall not knowingly accept wagers | ||||||
22 | from anyone listed on the responsible gaming database. | ||||||
23 | Notwithstanding any law to the contrary, a self-exclusion | ||||||
24 | election and the responsible gaming database are not public | ||||||
25 | records subject to copying and disclosure under the Freedom of | ||||||
26 | Information Act. |
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1 | (c) Each Internet gaming platform shall display the words | ||||||
2 | "If you or someone you know has a gambling problem, help is | ||||||
3 | available. Call (toll-free telephone number)" or some | ||||||
4 | comparable language approved by the Board, which language | ||||||
5 | shall include the words "gambling problem" and "call | ||||||
6 | (toll-free telephone number)", to be displayed on the home | ||||||
7 | page accessible to any person initially logging into the | ||||||
8 | Internet gaming platform. Similar information shall be | ||||||
9 | accessible to account holders when logged onto the Internet | ||||||
10 | gaming platform. | ||||||
11 | (d) Each Internet gaming platform shall include mechanisms | ||||||
12 | for temporary and permanent self-exclusion through the Board's | ||||||
13 | statewide responsible gaming database from Internet gaming. | ||||||
14 | Each Internet gaming platform shall include mechanisms for | ||||||
15 | termination of a patron's Internet wagering account. | ||||||
16 | Additionally, each Internet gaming platform shall include | ||||||
17 | player self-imposed wagering and deposit limits, including a | ||||||
18 | deposit limit offered on a daily, weekly, and monthly basis | ||||||
19 | that allows patrons to specify the maximum amount of money | ||||||
20 | they can deposit into the Internet wagering account during the | ||||||
21 | particular time period; and a spend limit offered on a daily, | ||||||
22 | weekly, and monthly basis that allows patrons to specify the | ||||||
23 | maximum amount of the deposits that they may put at risk during | ||||||
24 | the particular time period. Self-imposed wagering or deposit | ||||||
25 | limits shall take effect immediately but increases to a | ||||||
26 | previously imposed limit shall not take effect until the |
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1 | expiration of the limit per the terms of the patron's original | ||||||
2 | election. A licensee under this Act shall not knowingly mail | ||||||
3 | or otherwise forward any gaming-related promotional materials | ||||||
4 | or electronic mail to a participant during any period in which | ||||||
5 | the patron has elected to temporarily or permanently suspend | ||||||
6 | oneself from all Internet gaming or permanently terminate | ||||||
7 | Internet gaming through the account. | ||||||
8 | (e) A patron shall continue to have the ability to | ||||||
9 | withdraw funds, notwithstanding any temporary or permanent | ||||||
10 | suspension or limits placed upon the account pursuant to this | ||||||
11 | Section. | ||||||
12 | Section 45. Tax. | ||||||
13 | (a) A privilege tax is imposed on an Internet gaming | ||||||
14 | operator based on the adjusted gross gaming revenue wagered on | ||||||
15 | Internet gaming platforms authorized under this Act at a rate | ||||||
16 | of 25% of adjusted gross gaming revenue. This privilege tax is | ||||||
17 | the exclusive tax in relation to Internet gaming. No local | ||||||
18 | government of this State, including home rule municipalities, | ||||||
19 | may impose or levy taxes on adjusted gross gaming revenue. | ||||||
20 | (b) All moneys collected under this Act by the Board shall | ||||||
21 | be deposited into the State Gaming Fund. The taxes imposed by | ||||||
22 | this Section shall be paid by the Internet gaming operator no | ||||||
23 | later than the last day of the month following the calendar | ||||||
24 | month in which the adjusted gross gaming receipts were | ||||||
25 | received and the tax obligation was accrued. |
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1 | (c) If the taxpayer's adjusted gross gaming revenue for a | ||||||
2 | month is a negative number, the taxpayer may carry over the | ||||||
3 | negative amount to a return filed a subsequent month and | ||||||
4 | deduct such amount from its tax liability for such month, | ||||||
5 | provided that such amount shall not be carried over and | ||||||
6 | deducted against tax liability in any month that is more than | ||||||
7 | 12 months later than the month in which such amount was | ||||||
8 | accrued. | ||||||
9 | (d) The tax revenue deposited into the State Gaming Fund | ||||||
10 | under this Act shall be distributed according to Section 13 of | ||||||
11 | the Illinois Gambling Act, wherein the Internet gaming | ||||||
12 | operator shall be treated as the owners licensee or | ||||||
13 | organization licensee that holds the Internet gaming license | ||||||
14 | under this Act. | ||||||
15 | Section 50. Diversity programs. | ||||||
16 | (a) As used in this Section only, "licensee" means an | ||||||
17 | Internet gaming licensee under this Act. | ||||||
18 | (b) The public policy of this State is to collaboratively | ||||||
19 | work with companies that serve State residents to improve | ||||||
20 | their supplier diversity in a non-antagonistic manner. | ||||||
21 | (c) The Board shall require all licensees under this Act | ||||||
22 | to submit an annual report by April 15, 2026 and every April 15 | ||||||
23 | thereafter, in a searchable Adobe PDF format, on all | ||||||
24 | procurement goals and actual spending for businesses owned by | ||||||
25 | women, minorities, veterans, and persons with disabilities and |
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1 | small business enterprises in the previous calendar year. | ||||||
2 | These goals shall be expressed as a percentage of the total | ||||||
3 | work performed by the entity submitting the report, and the | ||||||
4 | actual spending for all businesses owned by women, minorities, | ||||||
5 | veterans, and persons with disabilities and small business | ||||||
6 | enterprises shall also be expressed as a percentage of the | ||||||
7 | total work performed by the entity submitting the report. | ||||||
8 | (d) Each licensee in its annual report shall include the | ||||||
9 | following information: | ||||||
10 | (1) an explanation of the plan for the next year to | ||||||
11 | increase participation; | ||||||
12 | (2) an explanation of the plan to increase the goals; | ||||||
13 | (3) the areas of procurement each licensee shall be | ||||||
14 | actively seeking more participation in the next year; | ||||||
15 | (4) an outline of the plan to alert and encourage | ||||||
16 | potential vendors in that area to seek business from the | ||||||
17 | licensee; | ||||||
18 | (5) an explanation of the challenges faced in finding | ||||||
19 | quality vendors and offer any suggestions for what the | ||||||
20 | Board could do to be helpful to identify those vendors; | ||||||
21 | (6) a list of the certifications the licensee | ||||||
22 | recognizes; | ||||||
23 | (7) the point of contact for any potential vendor who | ||||||
24 | wishes to do business with the licensee and explain the | ||||||
25 | process for a vendor to enroll with the licensee as a | ||||||
26 | businesses owned by women, minorities, veterans, or |
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1 | persons with disabilities; and | ||||||
2 | (8) any particular success stories to encourage other | ||||||
3 | licensees to emulate best practices. | ||||||
4 | (e) Each annual report shall include as much | ||||||
5 | State-specific data as possible. If the submitting entity does | ||||||
6 | not submit State-specific data, then the licensee shall | ||||||
7 | include any national data it does have and explain why it could | ||||||
8 | not submit State-specific data and how it intends to do so in | ||||||
9 | future reports, if possible. | ||||||
10 | (f) Each annual report shall include the rules, | ||||||
11 | regulations, and definitions used for the procurement goals in | ||||||
12 | the licensee's annual report. | ||||||
13 | (g) The Board and all licensees shall hold an annual | ||||||
14 | workshop and job fair open to the public in 2026 and every year | ||||||
15 | thereafter on the state of supplier diversity to | ||||||
16 | collaboratively seek solutions to structural impediments to | ||||||
17 | achieving stated goals, including testimony from each licensee | ||||||
18 | as well as subject matter experts and advocates. The Board | ||||||
19 | shall publish a database on its website of the point of contact | ||||||
20 | for licensees it regulates under this Act for supplier | ||||||
21 | diversity, along with a list of certifications each licensee | ||||||
22 | recognizes from the information submitted in each annual | ||||||
23 | report. The Board shall publish each annual report on its | ||||||
24 | website and shall maintain each annual report for at least 5 | ||||||
25 | years. | ||||||
26 | (h) A licensee under this Act that is also subject to the |
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1 | diversity program requirements of Section 7.6 of the Illinois | ||||||
2 | Gambling Act shall include its Internet gaming activities | ||||||
3 | within the supplier diversity goals and accompanying reports. | ||||||
4 | Compliance with Section 7.6 of the Illinois Gambling Act shall | ||||||
5 | be in lieu of compliance with the reporting requirements under | ||||||
6 | this Act. | ||||||
7 | Section 55. Applicability of the Illinois Gambling Act and | ||||||
8 | the Uniform Penalty and Interest Act. The provisions of the | ||||||
9 | Illinois Gambling Act, and all rules adopted under that Act, | ||||||
10 | shall apply to this Act, except where there is a conflict | ||||||
11 | between those Acts, including the incompatibility of any | ||||||
12 | provision to the conduct of gaming remotely, without a | ||||||
13 | brick-and-mortar facility, or over the Internet. All | ||||||
14 | provisions of the Uniform Penalty and Interest Act shall | ||||||
15 | apply, as far as practicable, to the subject matter of this Act | ||||||
16 | to the same extent as if such provisions were included in this | ||||||
17 | Act. | ||||||
18 | Section 60. Acceptance of out-of-state wagers. | ||||||
19 | Notwithstanding any other provision of law to the contrary, | ||||||
20 | wagers may be accepted under this Act from persons who are not | ||||||
21 | physically present in this State if the Board has determined | ||||||
22 | that out-of-state wagering is not inconsistent with federal | ||||||
23 | law or the law of the jurisdiction in which the person is | ||||||
24 | located or if out-of-state wagering is conducted pursuant to a |
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1 | reciprocal agreement to which this State is a party that is not | ||||||
2 | inconsistent with federal law. The Board may enter into | ||||||
3 | agreements with other jurisdictions to facilitate, administer, | ||||||
4 | and regulate multijurisdictional approved Internet games, | ||||||
5 | including, but not limited to, poker. | ||||||
6 | Section 65. Home rule. The licensure and conduct of | ||||||
7 | Internet gaming conducted by a person or entity pursuant to | ||||||
8 | this Act are exclusive powers and functions of the State. A | ||||||
9 | home rule unit may not regulate or license Internet gaming. | ||||||
10 | This Section is a denial and limitation of home rule powers and | ||||||
11 | functions under subsection (h) of Section 6 of Article VII of | ||||||
12 | the Illinois Constitution. | ||||||
13 | Section 95. The Illinois Administrative Procedure Act is | ||||||
14 | amended by adding Section 5-45.65 as follows: | ||||||
15 | (5 ILCS 100/5-45.65 new) | ||||||
16 | Sec. 5-45.65. Emergency rulemaking; Internet Gaming Act. | ||||||
17 | To provide for the expeditious and timely implementation of | ||||||
18 | the Internet Gaming Act, emergency rules implementing the | ||||||
19 | Internet Gaming Act shall be adopted in accordance with | ||||||
20 | Section 5-45 by the Illinois Gaming Board. The adoption of | ||||||
21 | emergency rules authorized by Section 5-45 and this Section is | ||||||
22 | deemed to be necessary for the public interest, safety, and | ||||||
23 | welfare. |
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1 | This Section is repealed on January 1, 2029. | ||||||
2 | Section 99. Effective date. This Act takes effect upon | ||||||
3 | becoming law. |