Full Text of SB2686 94th General Assembly
SB2686 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 SB2686
Introduced 1/20/2006, by Sen. Louis S. Viverito SYNOPSIS AS INTRODUCED: |
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230 ILCS 10/13 |
from Ch. 120, par. 2413 |
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Amends the Riverboat Gambling Act. Provides for distribution of a percentage of the local share of the adjusted gross receipts from a riverboat to a Council of Government, if any, or the Department of Revenue for distribution to certain municipalities within the same county as the home dock of the riverboat. Exempts a riverboat with a home dock located in a municipality with a population in excess of 500,000 from the provisions. Effective immediately.
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A BILL FOR
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SB2686 |
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LRB094 18704 AMC 54069 b |
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| AN ACT concerning gaming.
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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 Riverboat Gambling Act is amended by | 5 |
| changing Section 13 as follows:
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| (230 ILCS 10/13) (from Ch. 120, par. 2413)
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| Sec. 13. Wagering tax; rate; distribution.
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| (a) Until January 1, 1998, a tax is imposed on the adjusted | 9 |
| gross
receipts received from gambling games authorized under | 10 |
| this Act at the rate of
20%.
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| (a-1) From January 1, 1998 until July 1, 2002, a privilege | 12 |
| tax is
imposed on persons engaged in the business of conducting | 13 |
| riverboat gambling
operations, based on the adjusted gross | 14 |
| receipts received by a licensed owner
from gambling games | 15 |
| authorized under this Act at the following rates:
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| 15% of annual adjusted gross receipts up to and | 17 |
| including $25,000,000;
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| 20% of annual adjusted gross receipts in excess of | 19 |
| $25,000,000 but not
exceeding $50,000,000;
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| 25% of annual adjusted gross receipts in excess of | 21 |
| $50,000,000 but not
exceeding $75,000,000;
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| 30% of annual adjusted gross receipts in excess of | 23 |
| $75,000,000 but not
exceeding $100,000,000;
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| 35% of annual adjusted gross receipts in excess of | 25 |
| $100,000,000.
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| (a-2) From July 1, 2002 until July 1, 2003, a privilege tax | 27 |
| is imposed on
persons engaged in the business of conducting | 28 |
| riverboat gambling operations,
other than licensed managers | 29 |
| conducting riverboat gambling operations on behalf
of the | 30 |
| State, based on the adjusted gross receipts received by a | 31 |
| licensed
owner from gambling games authorized under this Act at | 32 |
| the following rates:
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LRB094 18704 AMC 54069 b |
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| 15% of annual adjusted gross receipts up to and | 2 |
| including $25,000,000;
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| 22.5% of annual adjusted gross receipts in excess of | 4 |
| $25,000,000 but not
exceeding $50,000,000;
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| 27.5% of annual adjusted gross receipts in excess of | 6 |
| $50,000,000 but not
exceeding $75,000,000;
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| 32.5% of annual adjusted gross receipts in excess of | 8 |
| $75,000,000 but not
exceeding $100,000,000;
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| 37.5% of annual adjusted gross receipts in excess of | 10 |
| $100,000,000 but not
exceeding $150,000,000;
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| 45% of annual adjusted gross receipts in excess of | 12 |
| $150,000,000 but not
exceeding $200,000,000;
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| 50% of annual adjusted gross receipts in excess of | 14 |
| $200,000,000.
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| (a-3) Beginning July 1, 2003, a privilege tax is imposed on | 16 |
| persons engaged
in the business of conducting riverboat | 17 |
| gambling operations, other than
licensed managers conducting | 18 |
| riverboat gambling operations on behalf of the
State, based on | 19 |
| the adjusted gross receipts received by a licensed owner from
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| gambling games authorized under this Act at the following | 21 |
| rates:
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| 15% of annual adjusted gross receipts up to and | 23 |
| including $25,000,000;
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| 27.5% of annual adjusted gross receipts in excess of | 25 |
| $25,000,000 but not
exceeding $37,500,000;
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| 32.5% of annual adjusted gross receipts in excess of | 27 |
| $37,500,000 but not
exceeding $50,000,000;
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| 37.5% of annual adjusted gross receipts in excess of | 29 |
| $50,000,000 but not
exceeding $75,000,000;
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| 45% of annual adjusted gross receipts in excess of | 31 |
| $75,000,000 but not
exceeding $100,000,000;
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| 50% of annual adjusted gross receipts in excess of | 33 |
| $100,000,000 but not
exceeding $250,000,000;
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| 70% of annual adjusted gross receipts in excess of | 35 |
| $250,000,000.
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| An amount equal to the amount of wagering taxes collected |
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| under this
subsection (a-3) that are in addition to the amount | 2 |
| of wagering taxes that
would have been collected if the | 3 |
| wagering tax rates under subsection (a-2)
were in effect shall | 4 |
| be paid into the Common School Fund.
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| The privilege tax imposed under this subsection (a-3) shall | 6 |
| no longer be
imposed beginning on the earlier of (i) July 1, | 7 |
| 2005; (ii) the first date
after June 20, 2003 that riverboat | 8 |
| gambling operations are conducted
pursuant to a dormant | 9 |
| license; or (iii) the first day that riverboat gambling
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| operations are conducted under the authority of an owners | 11 |
| license that is in
addition to the 10 owners licenses initially | 12 |
| authorized under this Act.
For the purposes of this subsection | 13 |
| (a-3), the term "dormant license"
means an owners license that | 14 |
| is authorized by this Act under which no
riverboat gambling | 15 |
| operations are being conducted on June 20, 2003.
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| (a-4) Beginning on the first day on which the tax imposed | 17 |
| under
subsection (a-3) is no longer imposed, a privilege tax is | 18 |
| imposed on persons
engaged in the business of conducting | 19 |
| riverboat gambling operations, other
than licensed managers | 20 |
| conducting riverboat gambling operations on behalf of
the | 21 |
| State, based on the adjusted gross receipts received by a | 22 |
| licensed owner
from gambling games authorized under this Act at | 23 |
| the following rates:
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| 15% of annual adjusted gross receipts up to and | 25 |
| including $25,000,000;
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| 22.5% of annual adjusted gross receipts in excess of | 27 |
| $25,000,000 but not
exceeding $50,000,000;
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| 27.5% of annual adjusted gross receipts in excess of | 29 |
| $50,000,000 but not
exceeding $75,000,000;
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| 32.5% of annual adjusted gross receipts in excess of | 31 |
| $75,000,000 but not
exceeding $100,000,000;
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| 37.5% of annual adjusted gross receipts in excess of | 33 |
| $100,000,000 but not
exceeding $150,000,000;
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| 45% of annual adjusted gross receipts in excess of | 35 |
| $150,000,000 but not
exceeding $200,000,000;
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| 50% of annual adjusted gross receipts in excess of |
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| $200,000,000.
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| (a-8) Riverboat gambling operations conducted by a | 3 |
| licensed manager on
behalf of the State are not subject to the | 4 |
| tax imposed under this Section.
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| (a-10) The taxes imposed by this Section shall be paid by | 6 |
| the licensed
owner to the Board not later than 3:00 o'clock | 7 |
| p.m. of the day after the day
when the wagers were made.
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| (a-15) If the privilege tax imposed under subsection (a-3) | 9 |
| is no longer imposed pursuant to item (i) of the last paragraph | 10 |
| of subsection (a-3), then by June 15 of each year, each owners | 11 |
| licensee, other than an owners licensee that admitted 1,000,000 | 12 |
| persons or
fewer in calendar year 2004, must, in addition to | 13 |
| the payment of all amounts otherwise due under this Section, | 14 |
| pay to the Board the amount, if any, by which the base amount | 15 |
| for the licensed owner exceeds the amount of tax paid under | 16 |
| this Section by the licensed owner in the then current State | 17 |
| fiscal year. The obligation imposed by this subsection (a-15) | 18 |
| is binding on any person, firm, corporation, or other entity | 19 |
| that acquires an ownership interest in any such owners license. | 20 |
| The obligation imposed under this subsection (a-15) terminates | 21 |
| on the earliest of: (i) July 1, 2007, (ii) the first day after | 22 |
| the effective date of this amendatory Act of the 94th General | 23 |
| Assembly that riverboat gambling operations are conducted | 24 |
| pursuant to a dormant license, (iii) the first day that | 25 |
| riverboat gambling operations are conducted under the | 26 |
| authority of an owners license that is in addition to the 10 | 27 |
| owners licenses initially authorized under this Act, or (iv) | 28 |
| the first day that a licensee under the Illinois Horse Racing | 29 |
| Act of 1975 conducts gaming operations with slot machines or | 30 |
| other electronic gaming devices. The Board must reduce the | 31 |
| obligation imposed under this subsection (a-15) by an amount | 32 |
| the Board deems reasonable for any of the following reasons: | 33 |
| (A) an act or acts of God, (B) an act of bioterrorism or | 34 |
| terrorism or a bioterrorism or terrorism threat that was | 35 |
| investigated by a law enforcement agency, or (C) a condition | 36 |
| beyond the control of the owners licensee that does not result |
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LRB094 18704 AMC 54069 b |
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| from any act or omission by the owners licensee or any of its | 2 |
| agents and that poses a hazardous threat to the health and | 3 |
| safety of patrons. If an owners licensee pays an amount in | 4 |
| excess of its liability under this Section, the Board shall | 5 |
| apply the overpayment to future payments required under this | 6 |
| Section. | 7 |
| For purposes of this subsection (a-15): | 8 |
| "Act of God" means an incident caused by the operation of | 9 |
| an extraordinary force that cannot be foreseen, that cannot be | 10 |
| avoided by the exercise of due care, and for which no person | 11 |
| can be held liable.
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| "Base amount" means the following: | 13 |
| For a riverboat in Alton, $31,000,000.
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| For a riverboat in East Peoria, $43,000,000.
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| For the Empress riverboat in Joliet, $86,000,000.
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| For a riverboat in Metropolis, $45,000,000.
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| For the Harrah's riverboat in Joliet, $114,000,000.
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| For a riverboat in Aurora, $86,000,000.
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| For a riverboat in East St. Louis, $48,500,000.
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| For a riverboat in Elgin, $198,000,000.
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| "Dormant license" has the meaning ascribed to it in | 22 |
| subsection (a-3).
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| (b) Until January 1, 1998, 25% of the tax revenue deposited | 24 |
| in the State
Gaming Fund under this Section shall be paid, | 25 |
| subject to appropriation by the
General Assembly, to the unit | 26 |
| of local government which is designated as the
home dock of the | 27 |
| riverboat. Beginning January 1, 1998, from the tax revenue
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| deposited in the State Gaming Fund under this Section, an | 29 |
| amount equal to 5% of
adjusted gross receipts generated by a | 30 |
| riverboat shall be paid monthly, subject
to appropriation by | 31 |
| the General Assembly, to the unit of local government that
is | 32 |
| designated as the home dock of the riverboat. From the tax | 33 |
| revenue
deposited in the State Gaming Fund pursuant to | 34 |
| riverboat gambling operations
conducted by a licensed manager | 35 |
| on behalf of the State, an amount equal to 5%
of adjusted gross | 36 |
| receipts generated pursuant to those riverboat gambling
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| operations 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 upon which
those | 4 |
| riverboat gambling operations are conducted. | 5 |
| (b-5) On and after the date an owners license for a | 6 |
| riverboat is first issued or renewed on or after the effective | 7 |
| date of this amendatory Act of the 94th General Assembly, the | 8 |
| 5% of adjusted gross receipts to be paid, subject to | 9 |
| appropriation, under subsection (b) to the unit of local | 10 |
| government that is designated as the home dock of the riverboat | 11 |
| upon which
those riverboat gambling operations are conducted | 12 |
| shall be distributed as follows:
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| (1) 50% shall be distributed to the unit of local | 14 |
| government that is designated as the home dock of the | 15 |
| riverboat upon which
those riverboat gambling operations | 16 |
| are conducted. | 17 |
| (2) 50% shall be distributed, through the recognized | 18 |
| Council of Government that represents participating | 19 |
| municipalities or, if no Council of Government represents | 20 |
| those municipalities, through the Department of Revenue, | 21 |
| as follows: | 22 |
| (A) 2% shall be retained by the Council of | 23 |
| Government or the Department of Revenue for | 24 |
| administrative costs associated with the distribution; | 25 |
| (B) 49% shall be distributed in equal shares among | 26 |
| participating municipalities; | 27 |
| (C) 49% shall be distributed among participating | 28 |
| municipalities in shares based on population.
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| If more than one Council of Government represents | 30 |
| participating municipalities, the monies distributed under | 31 |
| this subsection (b-5) shall be distributed through each of the | 32 |
| recognized Councils of Government and the monies distributed | 33 |
| under subparagraph (A) of paragraph (2) of this subsection | 34 |
| (b-5) shall be divided equally among those Councils of | 35 |
| Government.
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| This subsection (b-5) does not apply to a riverboat with a |
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| home dock located in a municipality with a population in excess | 2 |
| of 500,000.
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| For the purposes of this subsection (b-5), "participating | 4 |
| municipality" means a municipality (i) located in the county in | 5 |
| which the unit of local government that is designated as the | 6 |
| home dock of the riverboat upon which
those riverboat gambling | 7 |
| operations are conducted is located and (ii) opts to | 8 |
| participate in the revenue sharing described in this subsection | 9 |
| (b-5) in a manner determined by the Council of Government or | 10 |
| the Department of Revenue. "Participating municipality" does | 11 |
| not include the unit of local government that is designated as | 12 |
| the home dock of the riverboat.
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| (c) Appropriations, as approved by the General Assembly, | 14 |
| may be made
from the State Gaming Fund to the Department of | 15 |
| Revenue and the Department
of State Police for the | 16 |
| administration and enforcement of this Act, or to the
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| Department of Human Services for the administration of programs | 18 |
| to treat
problem gambling.
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| (c-5) After the payments required under subsections (b) and | 20 |
| (c) have been
made, an amount equal to 15% of the adjusted | 21 |
| gross receipts of (1) an owners
licensee that relocates | 22 |
| pursuant to Section 11.2,
(2) an owners licensee
conducting | 23 |
| riverboat gambling operations
pursuant to an
owners license | 24 |
| that is initially issued after June
25, 1999,
or (3) the first
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| riverboat gambling operations conducted by a licensed manager | 26 |
| on behalf of the
State under Section 7.3,
whichever comes | 27 |
| first, shall be paid from the State
Gaming Fund into the Horse | 28 |
| Racing Equity Fund.
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| (c-10) Each year the General Assembly shall appropriate | 30 |
| from the General
Revenue Fund to the Education Assistance Fund | 31 |
| an amount equal to the amount
paid into the Horse Racing Equity | 32 |
| Fund pursuant to subsection (c-5) in the
prior calendar year.
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| (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 |
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| 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
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| county with a population of over 3,000,000 inhabitants for the | 8 |
| purpose of
enhancing the county's criminal justice system.
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| (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.
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| (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
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| 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
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| comes first,
shall be paid from the State
Gaming Fund to | 23 |
| Chicago State University.
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| (d) From time to time, the
Board shall transfer the | 25 |
| remainder of the funds
generated by this Act into the Education
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| Assistance Fund, created by Public Act 86-0018, of the State of | 27 |
| Illinois.
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| (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.
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| (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 |
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| Retailers' Occupation Tax Act and Section 3-7 of the
Uniform | 2 |
| Penalty and Interest Act.
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| (Source: P.A. 93-27, eff. 6-20-03; 93-28, eff. 6-20-03; 94-673, | 4 |
| eff. 8-23-05.)
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| Section 99. Effective date. This Act takes effect upon | 6 |
| becoming law.
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