Illinois General Assembly - Full Text of HB1917
Illinois General Assembly

Previous General Assemblies

Full Text of HB1917  94th General Assembly

HB1917eng 94TH GENERAL ASSEMBLY



 


 
HB1917 Engrossed LRB094 02936 LRD 32937 b

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. Findings. The legislature makes all of the
5 following findings:
6         (1) That riverboat gaming has had a negative impact on
7     horse racing. From 1992, the first full year of riverboat
8     operations, through 2005, Illinois on-track wagering has
9     decreased by 42% from $835 million to $482 million.
10         (2) That this decrease in wagering has negatively
11     impacted purses for Illinois racing, which has hurt the
12     State's breeding industry. Between 1991 and 2004 the number
13     of foals registered with the Department of Agriculture has
14     decreased by more then 46% from 3,529 to 1,891.
15         (3) That the decline of the Illinois horseracing and
16     breeding program, a $2.5 billion industry, would be
17     reversed if this amendatory Act of the 94th General
18     Assembly was enacted. By requiring that riverboats agree to
19     pay 3% of their gross revenue into the Horse Racing Equity
20     Trust Fund, total purses in the State may increase by 50%,
21     helping Illinois tracks to better compete with those in
22     other states. Illinois currently ranks thirteenth
23     nationally in terms of its purse size; the change would
24     propel the State to second or third.
25         (4) That Illinois agriculture and other businesses
26     that support and supply the horse racing industry, already
27     a sector that employs over 37,000 Illinoisans, also stand
28     to substantially benefit and would be much more likely to
29     create additional jobs should Illinois horse racing once
30     again become competitive with other states.
31         (5) That the 3% of gross revenues this amendatory Act
32     of the 94th General Assembly will contribute to the horse
33     racing industry will benefit that important industry for

 

 

HB1917 Engrossed - 2 - LRB094 02936 LRD 32937 b

1     Illinois farmers, breeders, and fans of horseracing and
2     will begin to address the negative impact riverboat gaming
3     has had on Illinois horseracing.
 
4     Section 5. The State Finance Act is amended by changing
5 Section 8h as follows:
 
6     (30 ILCS 105/8h)
7     Sec. 8h. Transfers to General Revenue Fund.
8     (a) Except as provided in subsection (b), notwithstanding
9 any other State law to the contrary, the Governor may, through
10 June 30, 2007, from time to time direct the State Treasurer and
11 Comptroller to transfer a specified sum from any fund held by
12 the State Treasurer to the General Revenue Fund in order to
13 help defray the State's operating costs for the fiscal year.
14 The total transfer under this Section from any fund in any
15 fiscal year shall not exceed the lesser of (i) 8% of the
16 revenues to be deposited into the fund during that fiscal year
17 or (ii) an amount that leaves a remaining fund balance of 25%
18 of the July 1 fund balance of that fiscal year. In fiscal year
19 2005 only, prior to calculating the July 1, 2004 final
20 balances, the Governor may calculate and direct the State
21 Treasurer with the Comptroller to transfer additional amounts
22 determined by applying the formula authorized in Public Act
23 93-839 to the funds balances on July 1, 2003. No transfer may
24 be made from a fund under this Section that would have the
25 effect of reducing the available balance in the fund to an
26 amount less than the amount remaining unexpended and unreserved
27 from the total appropriation from that fund estimated to be
28 expended for that fiscal year. This Section does not apply to
29 any funds that are restricted by federal law to a specific use,
30 to any funds in the Motor Fuel Tax Fund, the Intercity
31 Passenger Rail Fund, the Hospital Provider Fund, the Medicaid
32 Provider Relief Fund, the Teacher Health Insurance Security
33 Fund, the Reviewing Court Alternative Dispute Resolution Fund,
34 or the Voters' Guide Fund, the Foreign Language Interpreter

 

 

HB1917 Engrossed - 3 - LRB094 02936 LRD 32937 b

1 Fund, the Lawyers' Assistance Program Fund, the Supreme Court
2 Federal Projects Fund, the Supreme Court Special State Projects
3 Fund, or the Low-Level Radioactive Waste Facility Development
4 and Operation Fund, the Horse Racing Equity Trust Fund, or the
5 Hospital Basic Services Preservation Fund, or to any funds to
6 which subsection (f) of Section 20-40 of the Nursing and
7 Advanced Practice Nursing Act applies. No transfers may be made
8 under this Section from the Pet Population Control Fund.
9 Notwithstanding any other provision of this Section, for fiscal
10 year 2004, the total transfer under this Section from the Road
11 Fund or the State Construction Account Fund shall not exceed
12 the lesser of (i) 5% of the revenues to be deposited into the
13 fund during that fiscal year or (ii) 25% of the beginning
14 balance in the fund. For fiscal year 2005 through fiscal year
15 2007, no amounts may be transferred under this Section from the
16 Road Fund, the State Construction Account Fund, the Criminal
17 Justice Information Systems Trust Fund, the Wireless Service
18 Emergency Fund, or the Mandatory Arbitration Fund.
19     In determining the available balance in a fund, the
20 Governor may include receipts, transfers into the fund, and
21 other resources anticipated to be available in the fund in that
22 fiscal year.
23     The State Treasurer and Comptroller shall transfer the
24 amounts designated under this Section as soon as may be
25 practicable after receiving the direction to transfer from the
26 Governor.
27     (b) This Section does not apply to: (i) the Ticket For The
28 Cure Fund; (ii) or to any fund established under the Community
29 Senior Services and Resources Act; or (iii) (ii) on or after
30 January 1, 2006 (the effective date of Public Act 94-511) this
31 amendatory Act of the 94th General Assembly, the Child Labor
32 and Day and Temporary Labor Enforcement Fund.
33     (c) This Section does not apply to the Demutualization
34 Trust Fund established under the Uniform Disposition of
35 Unclaimed Property Act.
36     (d) (c) This Section does not apply to moneys set aside in

 

 

HB1917 Engrossed - 4 - LRB094 02936 LRD 32937 b

1 the Illinois State Podiatric Disciplinary Fund for podiatric
2 scholarships and residency programs under the Podiatric
3 Scholarship and Residency Act.
4 (Source: P.A. 93-32, eff. 6-20-03; 93-659, eff. 2-3-04; 93-674,
5 eff. 6-10-04; 93-714, eff. 7-12-04; 93-801, eff. 7-22-04;
6 93-839, eff. 7-30-04; 93-1054, eff. 11-18-04; 93-1067, eff.
7 1-15-05; 94-91, eff. 7-1-05; 94-120, eff. 7-6-05; 94-511, eff.
8 1-1-06; 94-535, eff. 8-10-05; 94-639, eff. 8-22-05; 94-645,
9 eff. 8-22-05; 94-648, eff. 1-1-06; 94-686, eff. 11-2-05;
10 94-691, eff. 11-2-05; 94-726, eff. 1-20-06; revised 1-23-06.)
 
11     Section 10. The Illinois Horse Racing Act of 1975 is
12 amended by changing Section 54 as follows:
 
13     (230 ILCS 5/54)
14     Sec. 54. Horse Racing Equity Trust Fund.
15     (a) There is created in the State Treasury a Fund to be
16 known as the Horse Racing Equity Trust Fund, which is a
17 non-appropriated trust fund held separate and apart from State
18 moneys. The Fund shall consist of moneys paid into it by owners
19 licensees under pursuant to subsection (c-5) of Section 13 of
20 the Riverboat Gambling Act for the purposes described in this
21 Section. The Fund shall be administered by the Board. Moneys in
22 the Fund shall be distributed as directed and certified by the
23 Board in accordance with the provisions of subsection (b) the
24 Racing Board.
25     (b) The moneys deposited into the Fund, plus any accrued
26 interest on those moneys, shall be distributed by the State
27 Treasurer within 10 days after those moneys are deposited into
28 the Fund as follows:
29         (1) Sixty percent Fifty percent of all moneys
30     distributed under this subsection shall be distributed to
31     organization licensees to be distributed at their race
32     meetings as purses. Fifty-seven percent of the amount
33     distributed under this paragraph (1) shall be distributed
34     for thoroughbred race meetings and 43% shall be distributed

 

 

HB1917 Engrossed - 5 - LRB094 02936 LRD 32937 b

1     for standardbred race meetings. Within each breed, moneys
2     shall be allocated to each organization licensee's purse
3     fund in accordance with the ratio between the purses
4     generated for that breed by that licensee during the prior
5     calendar year and the total purses generated throughout the
6     State for that breed during the prior calendar year by
7     licensees in the current calendar year.
8         (2) The remaining 40% 50% of the moneys distributed
9     under this subsection (b) shall be distributed as follows:
10             (A) 11% shall be distributed to any person (or its
11         successors or assigns) who had operating control of a
12         racetrack that conducted live racing in 2002 at a
13         racetrack in a county with at least 230,000 inhabitants
14         that borders the Mississippi River and is a licensee in
15         the current year; and
16             (B) the remaining 89% shall be distributed pro rata
17         according to the aggregate proportion of total
18         state-wide handle from wagering on live races
19         conducted in Illinois (irrespective of where the
20         wagers are placed) for calendar years 2004 and 2005 at
21         the racetrack, inter-track, and inter-track wagering
22         locations that derive their licenses from a racetrack
23         identified in this paragraph (2) for calendar years
24         1994, 1996, and 1997 to (i) any person (or its
25         successors or assigns) who (i) had majority operating
26         control of a racing facility at which live racing was
27         conducted in calendar year 2002, (ii) 1997 and who has
28         operating control of an organization licensee that
29         conducted racing in calendar year 1997 and is a
30         licensee in the current year, and (iii) is not eligible
31         to receive moneys under subparagraph (A) of this
32         paragraph (2). , or (ii) any person (or its successors
33         or assigns) who has operating control of a racing
34         facility located in a county that is bounded by the
35         Mississippi River that has a population of less than
36         150,000 according to the 1990 decennial census and

 

 

HB1917 Engrossed - 6 - LRB094 02936 LRD 32937 b

1         conducted an average of 60 days of racing per year
2         between 1985 and 1993 and has been awarded an
3         inter-track wagering license in the current year.
4         The moneys received by an organization licensee under
5     this paragraph (2) shall be used by each organization
6     licensee to improve, maintain, market, and otherwise
7     operate its racing facilities to conduct live racing, which
8     shall include backstretch services and capital
9     improvements related to live racing and the backstretch.
10     Any organization licensees sharing common ownership may
11     pool the moneys received and spent at all racing facilities
12     commonly owned in order to meet these requirements.
13         If any person identified in this paragraph (2) becomes
14     ineligible to receive moneys from the Fund, such amount
15     shall be redistributed among the remaining persons in
16     proportion to their percentages otherwise calculated.
17     (c) The Board shall monitor organization licensees to
18 ensure that moneys paid to organization licensees under this
19 Section are distributed by the organization licensees as
20 provided in subsection (b).
21 (Source: P.A. 91-40, eff. 6-25-99.)
 
22     Section 15. The Riverboat Gambling Act is amended by
23 changing Sections 7, 13, and 23 as follows:
 
24     (230 ILCS 10/7)  (from Ch. 120, par. 2407)
25     Sec. 7. Owners Licenses.
26     (a) The Board shall issue owners licenses to persons, firms
27 or corporations which apply for such licenses upon payment to
28 the Board of the non-refundable license fee set by the Board,
29 upon payment of a $25,000 license fee for the first year of
30 operation and a $5,000 license fee for each succeeding year and
31 upon a determination by the Board that the applicant is
32 eligible for an owners license pursuant to this Act and the
33 rules of the Board. As a condition of licensure and as a
34 successor source of payment for those funds previously payable

 

 

HB1917 Engrossed - 7 - LRB094 02936 LRD 32937 b

1 under subsection (c-5) of Section 13 of the Riverboat Gambling
2 Act, any owners licensee that holds or receives its owners
3 license on or after the effective date of this amendatory Act
4 of the 94th General Assembly, other than an owners licensee
5 operating a riverboat with adjusted gross receipts in calendar
6 year 2004 of less than $50,000,000, must pay into the Horse
7 Racing Equity Trust Fund, in addition to any other payments
8 required under this Act, an amount equal to 3% of the adjusted
9 gross receipts received by the owners licensee. The payments
10 required under this Section shall be made by the owners
11 licensee to the State Treasurer no later than 3:00 o'clock p.m.
12 of the day after the day when the adjusted gross receipts were
13 received by the owners licensee. A person, firm or corporation
14 is ineligible to receive an owners license if:
15         (1) the person has been convicted of a felony under the
16     laws of this State, any other state, or the United States;
17         (2) the person has been convicted of any violation of
18     Article 28 of the Criminal Code of 1961, or substantially
19     similar laws of any other jurisdiction;
20         (3) the person has submitted an application for a
21     license under this Act which contains false information;
22         (4) the person is a member of the Board;
23         (5) a person defined in (1), (2), (3) or (4) is an
24     officer, director or managerial employee of the firm or
25     corporation;
26         (6) the firm or corporation employs a person defined in
27     (1), (2), (3) or (4) who participates in the management or
28     operation of gambling operations authorized under this
29     Act;
30         (7) (blank); or
31         (8) a license of the person, firm or corporation issued
32     under this Act, or a license to own or operate gambling
33     facilities in any other jurisdiction, has been revoked.
34     (b) In determining whether to grant an owners license to an
35 applicant, the Board shall consider:
36         (1) the character, reputation, experience and

 

 

HB1917 Engrossed - 8 - LRB094 02936 LRD 32937 b

1     financial integrity of the applicants and of any other or
2     separate person that either:
3             (A) controls, directly or indirectly, such
4         applicant, or
5             (B) is controlled, directly or indirectly, by such
6         applicant or by a person which controls, directly or
7         indirectly, such applicant;
8         (2) the facilities or proposed facilities for the
9     conduct of riverboat gambling;
10         (3) the highest prospective total revenue to be derived
11     by the State from the conduct of riverboat gambling;
12         (4) the extent to which the ownership of the applicant
13     reflects the diversity of the State by including minority
14     persons and females and the good faith affirmative action
15     plan of each applicant to recruit, train and upgrade
16     minority persons and females in all employment
17     classifications;
18         (5) the financial ability of the applicant to purchase
19     and maintain adequate liability and casualty insurance;
20         (6) whether the applicant has adequate capitalization
21     to provide and maintain, for the duration of a license, a
22     riverboat;
23         (7) the extent to which the applicant exceeds or meets
24     other standards for the issuance of an owners license which
25     the Board may adopt by rule; and
26         (8) The amount of the applicant's license bid.
27     (c) Each owners license shall specify the place where
28 riverboats shall operate and dock.
29     (d) Each applicant shall submit with his application, on
30 forms provided by the Board, 2 sets of his fingerprints.
31     (e) The Board may issue up to 10 licenses authorizing the
32 holders of such licenses to own riverboats. In the application
33 for an owners license, the applicant shall state the dock at
34 which the riverboat is based and the water on which the
35 riverboat will be located. The Board shall issue 5 licenses to
36 become effective not earlier than January 1, 1991. Three of

 

 

HB1917 Engrossed - 9 - LRB094 02936 LRD 32937 b

1 such licenses shall authorize riverboat gambling on the
2 Mississippi River, or, with approval by the municipality in
3 which the riverboat was docked on August 7, 2003 and with Board
4 approval, be authorized to relocate to a new location, in a
5 municipality that (1) borders on the Mississippi River or is
6 within 5 miles of the city limits of a municipality that
7 borders on the Mississippi River and (2), on August 7, 2003,
8 had a riverboat conducting riverboat gambling operations
9 pursuant to a license issued under this Act; one of which shall
10 authorize riverboat gambling from a home dock in the city of
11 East St. Louis. One other license shall authorize riverboat
12 gambling on the Illinois River south of Marshall County. The
13 Board shall issue one additional license to become effective
14 not earlier than March 1, 1992, which shall authorize riverboat
15 gambling on the Des Plaines River in Will County. The Board may
16 issue 4 additional licenses to become effective not earlier
17 than March 1, 1992. In determining the water upon which
18 riverboats will operate, the Board shall consider the economic
19 benefit which riverboat gambling confers on the State, and
20 shall seek to assure that all regions of the State share in the
21 economic benefits of riverboat gambling.
22     In granting all licenses, the Board may give favorable
23 consideration to economically depressed areas of the State, to
24 applicants presenting plans which provide for significant
25 economic development over a large geographic area, and to
26 applicants who currently operate non-gambling riverboats in
27 Illinois. The Board shall review all applications for owners
28 licenses, and shall inform each applicant of the Board's
29 decision. The Board may grant an owners license to an applicant
30 that has not submitted the highest license bid, but if it does
31 not select the highest bidder, the Board shall issue a written
32 decision explaining why another applicant was selected and
33 identifying the factors set forth in this Section that favored
34 the winning bidder.
35     In addition to any other revocation powers granted to the
36 Board under this Act, the Board may revoke the owners license

 

 

HB1917 Engrossed - 10 - LRB094 02936 LRD 32937 b

1 of a licensee which fails to begin conducting gambling within
2 15 months of receipt of the Board's approval of the application
3 if the Board determines that license revocation is in the best
4 interests of the State.
5     (f) The first 10 owners licenses issued under this Act
6 shall permit the holder to own up to 2 riverboats and equipment
7 thereon for a period of 3 years after the effective date of the
8 license. Holders of the first 10 owners licenses must pay the
9 annual license fee for each of the 3 years during which they
10 are authorized to own riverboats.
11     (g) Upon the termination, expiration, or revocation of each
12 of the first 10 licenses, which shall be issued for a 3 year
13 period, all licenses are renewable annually upon payment of the
14 fee and a determination by the Board that the licensee
15 continues to meet all of the requirements of this Act and the
16 Board's rules. However, for licenses renewed on or after May 1,
17 1998, renewal shall be for a period of 4 years, unless the
18 Board sets a shorter period.
19     (h) An owners license shall entitle the licensee to own up
20 to 2 riverboats. A licensee shall limit the number of gambling
21 participants to 1,200 for any such owners license. A licensee
22 may operate both of its riverboats concurrently, provided that
23 the total number of gambling participants on both riverboats
24 does not exceed 1,200. Riverboats licensed to operate on the
25 Mississippi River and the Illinois River south of Marshall
26 County shall have an authorized capacity of at least 500
27 persons. Any other riverboat licensed under this Act shall have
28 an authorized capacity of at least 400 persons.
29     (i) A licensed owner is authorized to apply to the Board
30 for and, if approved therefor, to receive all licenses from the
31 Board necessary for the operation of a riverboat, including a
32 liquor license, a license to prepare and serve food for human
33 consumption, and other necessary licenses. All use, occupation
34 and excise taxes which apply to the sale of food and beverages
35 in this State and all taxes imposed on the sale or use of
36 tangible personal property apply to such sales aboard the

 

 

HB1917 Engrossed - 11 - LRB094 02936 LRD 32937 b

1 riverboat.
2     (j) The Board may issue or re-issue a license authorizing a
3 riverboat to dock in a municipality or approve a relocation
4 under Section 11.2 only if, prior to the issuance or
5 re-issuance of the license or approval, the governing body of
6 the municipality in which the riverboat will dock has by a
7 majority vote approved the docking of riverboats in the
8 municipality. The Board may issue or re-issue a license
9 authorizing a riverboat to dock in areas of a county outside
10 any municipality or approve a relocation under Section 11.2
11 only if, prior to the issuance or re-issuance of the license or
12 approval, the governing body of the county has by a majority
13 vote approved of the docking of riverboats within such areas.
14 (Source: P.A. 93-28, eff. 6-20-03; 93-453, eff. 8-7-03; 94-667,
15 eff. 8-23-05.)
 
16     (230 ILCS 10/13)  (from Ch. 120, par. 2413)
17     Sec. 13. Wagering tax; rate; distribution.
18     (a) Until January 1, 1998, a tax is imposed on the adjusted
19 gross receipts received from gambling games authorized under
20 this Act at the rate of 20%.
21     (a-1) From January 1, 1998 until July 1, 2002, a privilege
22 tax is imposed on persons engaged in the business of conducting
23 riverboat gambling operations, based on the adjusted gross
24 receipts received by a licensed owner from gambling games
25 authorized under this Act at the following rates:
26         15% of annual adjusted gross receipts up to and
27     including $25,000,000;
28         20% of annual adjusted gross receipts in excess of
29     $25,000,000 but not exceeding $50,000,000;
30         25% of annual adjusted gross receipts in excess of
31     $50,000,000 but not exceeding $75,000,000;
32         30% of annual adjusted gross receipts in excess of
33     $75,000,000 but not exceeding $100,000,000;
34         35% of annual adjusted gross receipts in excess of
35     $100,000,000.

 

 

HB1917 Engrossed - 12 - LRB094 02936 LRD 32937 b

1     (a-2) From July 1, 2002 until July 1, 2003, a privilege tax
2 is imposed on persons engaged in the business of conducting
3 riverboat gambling operations, other than licensed managers
4 conducting riverboat gambling operations on behalf of the
5 State, based on the adjusted gross receipts received by a
6 licensed owner from gambling games authorized under this Act at
7 the following rates:
8         15% of annual adjusted gross receipts up to and
9     including $25,000,000;
10         22.5% of annual adjusted gross receipts in excess of
11     $25,000,000 but not exceeding $50,000,000;
12         27.5% of annual adjusted gross receipts in excess of
13     $50,000,000 but not exceeding $75,000,000;
14         32.5% of annual adjusted gross receipts in excess of
15     $75,000,000 but not exceeding $100,000,000;
16         37.5% of annual adjusted gross receipts in excess of
17     $100,000,000 but not exceeding $150,000,000;
18         45% of annual adjusted gross receipts in excess of
19     $150,000,000 but not exceeding $200,000,000;
20         50% of annual adjusted gross receipts in excess of
21     $200,000,000.
22     (a-3) Beginning July 1, 2003, a privilege tax is imposed on
23 persons engaged in the business of conducting riverboat
24 gambling operations, other than licensed managers conducting
25 riverboat gambling operations on behalf of the State, based on
26 the adjusted gross receipts received by a licensed owner from
27 gambling games authorized under this Act at the following
28 rates:
29         15% of annual adjusted gross receipts up to and
30     including $25,000,000;
31         27.5% of annual adjusted gross receipts in excess of
32     $25,000,000 but not exceeding $37,500,000;
33         32.5% of annual adjusted gross receipts in excess of
34     $37,500,000 but not exceeding $50,000,000;
35         37.5% of annual adjusted gross receipts in excess of
36     $50,000,000 but not exceeding $75,000,000;

 

 

HB1917 Engrossed - 13 - LRB094 02936 LRD 32937 b

1         45% of annual adjusted gross receipts in excess of
2     $75,000,000 but not exceeding $100,000,000;
3         50% of annual adjusted gross receipts in excess of
4     $100,000,000 but not exceeding $250,000,000;
5         70% of annual adjusted gross receipts in excess of
6     $250,000,000.
7     An amount equal to the amount of wagering taxes collected
8 under this subsection (a-3) that are in addition to the amount
9 of wagering taxes that would have been collected if the
10 wagering tax rates under subsection (a-2) were in effect shall
11 be paid into the Common School Fund.
12     The privilege tax imposed under this subsection (a-3) shall
13 no longer be imposed beginning on the earlier of (i) July 1,
14 2005; (ii) the first date after June 20, 2003 that riverboat
15 gambling operations are conducted pursuant to a dormant
16 license; or (iii) the first day that riverboat gambling
17 operations are conducted under the authority of an owners
18 license that is in addition to the 10 owners licenses initially
19 authorized under this Act. For the purposes of this subsection
20 (a-3), the term "dormant license" means an owners license that
21 is authorized by this Act under which no riverboat gambling
22 operations are being conducted on June 20, 2003.
23     (a-4) Beginning on the first day on which the tax imposed
24 under subsection (a-3) is no longer imposed, a privilege tax is
25 imposed on persons engaged in the business of conducting
26 riverboat gambling operations, other than licensed managers
27 conducting riverboat gambling operations on behalf of the
28 State, based on the adjusted gross receipts received by a
29 licensed owner from gambling games authorized under this Act at
30 the following rates:
31         15% of annual adjusted gross receipts up to and
32     including $25,000,000;
33         22.5% of annual adjusted gross receipts in excess of
34     $25,000,000 but not exceeding $50,000,000;
35         27.5% of annual adjusted gross receipts in excess of
36     $50,000,000 but not exceeding $75,000,000;

 

 

HB1917 Engrossed - 14 - LRB094 02936 LRD 32937 b

1         32.5% of annual adjusted gross receipts in excess of
2     $75,000,000 but not exceeding $100,000,000;
3         37.5% of annual adjusted gross receipts in excess of
4     $100,000,000 but not exceeding $150,000,000;
5         45% of annual adjusted gross receipts in excess of
6     $150,000,000 but not exceeding $200,000,000;
7         50% of annual adjusted gross receipts in excess of
8     $200,000,000.
9     (a-8) Riverboat gambling operations conducted by a
10 licensed manager on behalf of the State are not subject to the
11 tax imposed under this Section.
12     (a-10) The taxes imposed by this Section shall be paid by
13 the licensed owner to the Board not later than 3:00 o'clock
14 p.m. of the day after the day when the wagers were made.
15     (a-15) If the privilege tax imposed under subsection (a-3)
16 is no longer imposed pursuant to item (i) of the last paragraph
17 of subsection (a-3), then by June 15 of each year, each owners
18 licensee, other than an owners licensee that admitted 1,000,000
19 persons or fewer in calendar year 2004, must, in addition to
20 the payment of all amounts otherwise due under this Section,
21 pay to the Board the amount, if any, by which the base amount
22 for the licensed owner exceeds the amount of tax paid under
23 this Section by the licensed owner in the then current State
24 fiscal year. The obligation imposed by this subsection (a-15)
25 is binding on any person, firm, corporation, or other entity
26 that acquires an ownership interest in any such owners license.
27 The obligation imposed under this subsection (a-15) terminates
28 on the earliest of: (i) July 1, 2007, (ii) the first day after
29 the effective date of this amendatory Act of the 94th General
30 Assembly that riverboat gambling operations are conducted
31 pursuant to a dormant license, (iii) the first day that
32 riverboat gambling operations are conducted under the
33 authority of an owners license that is in addition to the 10
34 owners licenses initially authorized under this Act, or (iv)
35 the first day that a licensee under the Illinois Horse Racing
36 Act of 1975 conducts gaming operations with slot machines or

 

 

HB1917 Engrossed - 15 - LRB094 02936 LRD 32937 b

1 other electronic gaming devices. The Board must reduce the
2 obligation imposed under this subsection (a-15) by an amount
3 the Board deems reasonable for any of the following reasons:
4 (A) an act or acts of God, (B) an act of bioterrorism or
5 terrorism or a bioterrorism or terrorism threat that was
6 investigated by a law enforcement agency, or (C) a condition
7 beyond the control of the owners licensee that does not result
8 from any act or omission by the owners licensee or any of its
9 agents and that poses a hazardous threat to the health and
10 safety of patrons. If an owners licensee pays an amount in
11 excess of its liability under this Section, the Board shall
12 apply the overpayment to future payments required under this
13 Section.
14     For purposes of this subsection (a-15):
15     "Act of God" means an incident caused by the operation of
16 an extraordinary force that cannot be foreseen, that cannot be
17 avoided by the exercise of due care, and for which no person
18 can be held liable.
19     "Base amount" means the following:
20         For a riverboat in Alton, $31,000,000.
21         For a riverboat in East Peoria, $43,000,000.
22         For the Empress riverboat in Joliet, $86,000,000.
23         For a riverboat in Metropolis, $45,000,000.
24         For the Harrah's riverboat in Joliet, $114,000,000.
25         For a riverboat in Aurora, $86,000,000.
26         For a riverboat in East St. Louis, $48,500,000.
27         For a riverboat in Elgin, $198,000,000.
28     "Dormant license" has the meaning ascribed to it in
29 subsection (a-3).
30     (b) Until January 1, 1998, 25% of the tax revenue deposited
31 in the State Gaming Fund under this Section shall be paid,
32 subject to appropriation by the General Assembly, to the unit
33 of local government which is designated as the home dock of the
34 riverboat. Beginning January 1, 1998, from the tax revenue
35 deposited in the State Gaming Fund under this Section, an
36 amount equal to 5% of adjusted gross receipts generated by a

 

 

HB1917 Engrossed - 16 - LRB094 02936 LRD 32937 b

1 riverboat shall be paid monthly, subject to appropriation by
2 the General Assembly, to the unit of local government that is
3 designated as the home dock of the riverboat. From the tax
4 revenue deposited in the State Gaming Fund pursuant to
5 riverboat gambling operations conducted by a licensed manager
6 on behalf of the State, an amount equal to 5% of adjusted gross
7 receipts generated pursuant to those riverboat gambling
8 operations shall be paid monthly, subject to appropriation by
9 the General Assembly, to the unit of local government that is
10 designated as the home dock of the riverboat upon which those
11 riverboat gambling operations are conducted.
12     (c) Appropriations, as approved by the General Assembly,
13 may be made from the State Gaming Fund to the Department of
14 Revenue and the Department of State Police for the
15 administration and enforcement of this Act, or to the
16 Department of Human Services for the administration of programs
17 to treat problem gambling.
18     (c-5) (Blank). After the payments required under
19 subsections (b) and (c) have been made, an amount equal to 15%
20 of the adjusted gross receipts of (1) an owners licensee that
21 relocates pursuant to Section 11.2, (2) an owners licensee
22 conducting riverboat gambling operations pursuant to an owners
23 license that is initially issued after June 25, 1999, or (3)
24 the first riverboat gambling operations conducted by a licensed
25 manager on behalf of the State under Section 7.3, whichever
26 comes first, shall be paid from the State Gaming Fund into the
27 Horse Racing Equity Fund.
28     (c-10) (Blank). Each year the General Assembly shall
29 appropriate from the General Revenue Fund to the Education
30 Assistance Fund an amount equal to the amount paid into the
31 Horse Racing Equity Fund pursuant to subsection (c-5) in the
32 prior calendar year.
33     (c-15) After the payments required under subsections (b),
34 (c), and (c-5) have been made, an amount equal to 2% of the
35 adjusted gross receipts of (1) an owners licensee that
36 relocates pursuant to Section 11.2, (2) an owners licensee

 

 

HB1917 Engrossed - 17 - LRB094 02936 LRD 32937 b

1 conducting riverboat gambling operations pursuant to an owners
2 license that is initially issued after June 25, 1999, or (3)
3 the first riverboat gambling operations conducted by a licensed
4 manager on behalf of the State under Section 7.3, whichever
5 comes first, shall be paid, subject to appropriation from the
6 General Assembly, from the State Gaming Fund to each home rule
7 county with a population of over 3,000,000 inhabitants for the
8 purpose of enhancing the county's criminal justice system.
9     (c-20) Each year the General Assembly shall appropriate
10 from the General Revenue Fund to the Education Assistance Fund
11 an amount equal to the amount paid to each home rule county
12 with a population of over 3,000,000 inhabitants pursuant to
13 subsection (c-15) in the prior calendar year.
14     (c-25) After the payments required under subsections (b),
15 (c), (c-5) and (c-15) have been made, an amount equal to 2% of
16 the adjusted gross receipts of (1) an owners licensee that
17 relocates pursuant to Section 11.2, (2) an owners licensee
18 conducting riverboat gambling operations pursuant to an owners
19 license that is initially issued after June 25, 1999, or (3)
20 the first riverboat gambling operations conducted by a licensed
21 manager on behalf of the State under Section 7.3, whichever
22 comes first, shall be paid from the State Gaming Fund to
23 Chicago State University.
24     (d) From time to time, the Board shall transfer the
25 remainder of the funds generated by this Act into the Education
26 Assistance Fund, created by Public Act 86-0018, of the State of
27 Illinois.
28     (e) Nothing in this Act shall prohibit the unit of local
29 government designated as the home dock of the riverboat from
30 entering into agreements with other units of local government
31 in this State or in other states to share its portion of the
32 tax revenue.
33     (f) To the extent practicable, the Board shall administer
34 and collect the wagering taxes imposed by this Section in a
35 manner consistent with the provisions of Sections 4, 5, 5a, 5b,
36 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the

 

 

HB1917 Engrossed - 18 - LRB094 02936 LRD 32937 b

1 Retailers' Occupation Tax Act and Section 3-7 of the Uniform
2 Penalty and Interest Act.
3 (Source: P.A. 93-27, eff. 6-20-03; 93-28, eff. 6-20-03; 94-673,
4 eff. 8-23-05.)
 
5     (230 ILCS 10/23)  (from Ch. 120, par. 2423)
6     Sec. 23. The State Gaming Fund. On or after the effective
7 date of this Act, except as provided for payments into the
8 Horse Racing Equity Trust Fund under subsection (a) of Section
9 7, all of the fees and taxes collected pursuant to subsections
10 of this Act shall be deposited into the State Gaming Fund, a
11 special fund in the State Treasury, which is hereby created.
12 The adjusted gross receipts of any riverboat gambling
13 operations conducted by a licensed manager on behalf of the
14 State remaining after the payment of the fees and expenses of
15 the licensed manager shall be deposited into the State Gaming
16 Fund. Fines and penalties collected pursuant to this Act shall
17 be deposited into the Education Assistance Fund, created by
18 Public Act 86-0018, of the State of Illinois.
19 (Source: P.A. 93-28, eff. 6-20-03.)
 
20     (30 ILCS 105/5.490 rep.)
21     Section 20. The State Finance Act is amended by repealing
22 Section 5.490.
 
23     Section 97. Severability. The provisions of this Act are
24 severable under Section 1.31 of the Statute on Statutes.
 
25     Section 99. Effective date. This Act takes effect upon
26 becoming law.