Full Text of SB3387 100th General Assembly
SB3387sam001 100TH GENERAL ASSEMBLY | Sen. Dave Syverson Filed: 4/5/2018
| | 10000SB3387sam001 | | LRB100 19071 SMS 38007 a |
|
| 1 | | AMENDMENT TO SENATE BILL 3387
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 3387 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Riverboat Gambling Act is amended by | 5 | | changing Sections 5, 7, and 7.6 as follows:
| 6 | | (230 ILCS 10/5) (from Ch. 120, par. 2405)
| 7 | | Sec. 5. Gaming Board.
| 8 | | (a) (1) There is hereby established the
Illinois Gaming | 9 | | Board, which shall have the powers and duties specified in
this | 10 | | Act, and all other powers necessary and proper to fully and
| 11 | | effectively execute this Act for the purpose of administering, | 12 | | regulating,
and enforcing the system of riverboat gambling | 13 | | established by this Act. Its
jurisdiction shall extend under | 14 | | this Act to every person, association,
corporation, | 15 | | partnership and trust involved in riverboat gambling
| 16 | | operations in the State of Illinois.
|
| | | 10000SB3387sam001 | - 2 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (2) The Board shall consist of 5 members to be appointed by | 2 | | the Governor
with the advice and consent of the Senate, one of | 3 | | whom shall be designated
by the Governor to be chairman. Each | 4 | | member shall have a reasonable
knowledge of the practice, | 5 | | procedure and principles of gambling operations.
Each member | 6 | | shall either be a resident of Illinois or shall certify that he
| 7 | | will become a resident of Illinois before taking office. At | 8 | | least one member
shall be experienced in law enforcement and | 9 | | criminal investigation, at
least one member shall be a | 10 | | certified public accountant experienced in
accounting and | 11 | | auditing, and at least one member shall be a lawyer licensed
to | 12 | | practice law in Illinois.
| 13 | | (3) The terms of office of the Board members shall be 3 | 14 | | years, except
that the terms of office of the initial Board | 15 | | members appointed pursuant to
this Act will commence from the | 16 | | effective date of this Act and run as
follows: one for a term | 17 | | ending July 1, 1991, 2 for a term ending July 1,
1992, and 2 for | 18 | | a term ending July 1, 1993. Upon the expiration of the
| 19 | | foregoing terms, the successors of such members shall serve a | 20 | | term for 3
years and until their successors are appointed and | 21 | | qualified for like terms.
Vacancies in the Board shall be | 22 | | filled for the unexpired term in like
manner as original | 23 | | appointments. Each member of the Board shall be
eligible for | 24 | | reappointment at the discretion of the Governor with the
advice | 25 | | and consent of the Senate.
| 26 | | (4) Each member of the Board shall receive $300 for each |
| | | 10000SB3387sam001 | - 3 - | LRB100 19071 SMS 38007 a |
|
| 1 | | day the
Board meets and for each day the member conducts any | 2 | | hearing pursuant to
this Act. Each member of the Board shall | 3 | | also be reimbursed for all actual
and necessary expenses and | 4 | | disbursements incurred in the execution of official
duties.
| 5 | | (5) No person shall be appointed a member of the Board or | 6 | | continue to be
a member of the Board who is, or whose spouse, | 7 | | child or parent is, a member
of the board of directors of, or a | 8 | | person financially interested in, any
gambling operation | 9 | | subject to the jurisdiction of this Board, or any race
track, | 10 | | race meeting, racing association or the operations thereof | 11 | | subject
to the jurisdiction of the Illinois Racing Board. No | 12 | | Board member shall
hold any other public office. No person | 13 | | shall be a
member of the Board who is not of good moral | 14 | | character or who has been
convicted of, or is under indictment | 15 | | for, a felony under the laws of
Illinois or any other state, or | 16 | | the United States.
| 17 | | (5.5) No member of the Board shall engage in any political | 18 | | activity. For the purposes of this Section, "political" means | 19 | | any activity in support
of or in connection with any campaign | 20 | | for federal, State, or local elective office or any political
| 21 | | organization, but does not include activities (i) relating to | 22 | | the support or
opposition of any executive, legislative, or | 23 | | administrative action (as those
terms are defined in Section 2 | 24 | | of the Lobbyist Registration Act), (ii) relating
to collective | 25 | | bargaining, or (iii) that are
otherwise
in furtherance of the | 26 | | person's official
State duties or governmental and public |
| | | 10000SB3387sam001 | - 4 - | LRB100 19071 SMS 38007 a |
|
| 1 | | service functions.
| 2 | | (6) Any member of the Board may be removed by the Governor | 3 | | for neglect
of duty, misfeasance, malfeasance, or nonfeasance | 4 | | in office or for engaging in any political activity.
| 5 | | (7) Before entering upon the discharge of the duties of his | 6 | | office, each
member of the Board shall take an oath that he | 7 | | will faithfully execute the
duties of his office according to | 8 | | the laws of the State and the rules and
regulations adopted | 9 | | therewith and shall give bond to the State of Illinois,
| 10 | | approved by the Governor, in the sum of $25,000. Every such | 11 | | bond, when
duly executed and approved, shall be recorded in the | 12 | | office of the
Secretary of State. Whenever the Governor | 13 | | determines that the bond of any
member of the Board has become | 14 | | or is likely to become invalid or
insufficient, he shall | 15 | | require such member forthwith to renew his bond,
which is to be | 16 | | approved by the Governor. Any member of the Board who fails
to | 17 | | take oath and give bond within 30 days from the date of his | 18 | | appointment,
or who fails to renew his bond within 30 days | 19 | | after it is demanded by the
Governor, shall be guilty of | 20 | | neglect of duty and may be removed by the
Governor. The cost of | 21 | | any bond given by any member of the Board under this
Section | 22 | | shall be taken to be a part of the necessary expenses of the | 23 | | Board.
| 24 | | (7.5) For the examination of all mechanical, | 25 | | electromechanical, or electronic table games, slot machines, | 26 | | slot accounting systems, and other electronic gaming equipment |
| | | 10000SB3387sam001 | - 5 - | LRB100 19071 SMS 38007 a |
|
| 1 | | for compliance with this Act, the Board may utilize the | 2 | | services of one or more independent outside testing | 3 | | laboratories that have been accredited by a national | 4 | | accreditation body and that, in the judgment of the Board, are | 5 | | qualified to perform such examinations. | 6 | | (8) The Board shall employ such
personnel as may be | 7 | | necessary to carry out its functions and shall determine the | 8 | | salaries of all personnel, except those personnel whose | 9 | | salaries are determined under the terms of a collective | 10 | | bargaining agreement. No
person shall be employed to serve the | 11 | | Board who is, or whose spouse, parent
or child is, an official | 12 | | of, or has a financial interest in or financial
relation with, | 13 | | any operator engaged in gambling operations within this
State | 14 | | or any organization engaged in conducting horse racing within | 15 | | this
State. Any employee violating these prohibitions shall be | 16 | | subject to
termination of employment.
| 17 | | (9) An Administrator shall perform any and all duties that | 18 | | the Board
shall assign him. The salary of the Administrator | 19 | | shall be determined by
the Board and, in addition,
he shall be | 20 | | reimbursed for all actual and necessary expenses incurred by
| 21 | | him in discharge of his official duties. The Administrator | 22 | | shall keep
records of all proceedings of the Board and shall | 23 | | preserve all records,
books, documents and other papers | 24 | | belonging to the Board or entrusted to
its care. The | 25 | | Administrator shall devote his full time to the duties of
the | 26 | | office and shall not hold any other office or employment.
|
| | | 10000SB3387sam001 | - 6 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (b) The Board shall have general responsibility for the | 2 | | implementation
of this Act. Its duties include, without | 3 | | limitation, the following:
| 4 | | (1) To decide promptly and in reasonable order all | 5 | | license applications.
Any party aggrieved by an action of | 6 | | the Board denying, suspending,
revoking, restricting or | 7 | | refusing to renew a license may request a hearing
before | 8 | | the Board. A request for a hearing must be made to the | 9 | | Board in
writing within 5 days after service of notice of | 10 | | the action of the Board.
Notice of the action of the Board | 11 | | shall be served either by personal
delivery or by certified | 12 | | mail, postage prepaid, to the aggrieved party.
Notice | 13 | | served by certified mail shall be deemed complete on the | 14 | | business
day following the date of such mailing. The Board | 15 | | shall conduct all
requested hearings promptly and in | 16 | | reasonable order;
| 17 | | (2) To conduct all hearings pertaining to civil | 18 | | violations of this Act
or rules and regulations promulgated | 19 | | hereunder;
| 20 | | (3) To promulgate such rules and regulations as in its | 21 | | judgment may be
necessary to protect or enhance the | 22 | | credibility and integrity of gambling
operations | 23 | | authorized by this Act and the regulatory process | 24 | | hereunder;
| 25 | | (4) To provide for the establishment and collection of | 26 | | all license and
registration fees and taxes imposed by this |
| | | 10000SB3387sam001 | - 7 - | LRB100 19071 SMS 38007 a |
|
| 1 | | Act and the rules and
regulations issued pursuant hereto. | 2 | | All such fees and taxes shall be
deposited into the State | 3 | | Gaming Fund;
| 4 | | (5) To provide for the levy and collection of penalties | 5 | | and fines for the
violation of provisions of this Act and | 6 | | the rules and regulations
promulgated hereunder. All such | 7 | | fines and penalties shall be deposited
into the Education | 8 | | Assistance Fund, created by Public Act 86-0018, of the
| 9 | | State of Illinois;
| 10 | | (6) To be present through its inspectors and agents any | 11 | | time gambling
operations are conducted on any riverboat for | 12 | | the purpose of certifying the
revenue thereof, receiving | 13 | | complaints from the public, and conducting such
other | 14 | | investigations into the conduct of the gambling games and | 15 | | the
maintenance of the equipment as from time to time the | 16 | | Board may deem
necessary and proper;
| 17 | | (7) To review and rule upon any complaint by a licensee
| 18 | | regarding any investigative procedures of the State which | 19 | | are unnecessarily
disruptive of gambling operations. The | 20 | | need to inspect and investigate
shall be presumed at all | 21 | | times. The disruption of a licensee's operations
shall be | 22 | | proved by clear and convincing evidence, and establish | 23 | | that: (A)
the procedures had no reasonable law enforcement | 24 | | purposes, and (B) the
procedures were so disruptive as to | 25 | | unreasonably inhibit gambling operations;
| 26 | | (8) To hold at least one meeting each quarter of the |
| | | 10000SB3387sam001 | - 8 - | LRB100 19071 SMS 38007 a |
|
| 1 | | fiscal
year. In addition, special meetings may be called by | 2 | | the Chairman or any 2
Board members upon 72 hours written | 3 | | notice to each member. All Board
meetings shall be subject | 4 | | to the Open Meetings Act. Three members of the
Board shall | 5 | | constitute a quorum, and 3 votes shall be required for any
| 6 | | final determination by the Board. The Board shall keep a | 7 | | complete and
accurate record of all its meetings. A | 8 | | majority of the members of the Board
shall constitute a | 9 | | quorum for the transaction of any business, for the
| 10 | | performance of any duty, or for the exercise of any power | 11 | | which this Act
requires the Board members to transact, | 12 | | perform or exercise en banc, except
that, upon order of the | 13 | | Board, one of the Board members or an
administrative law | 14 | | judge designated by the Board may conduct any hearing
| 15 | | provided for under this Act or by Board rule and may | 16 | | recommend findings and
decisions to the Board. The Board | 17 | | member or administrative law judge
conducting such hearing | 18 | | shall have all powers and rights granted to the
Board in | 19 | | this Act. The record made at the time of the hearing shall | 20 | | be
reviewed by the Board, or a majority thereof, and the | 21 | | findings and decision
of the majority of the Board shall | 22 | | constitute the order of the Board in
such case;
| 23 | | (9) To maintain records which are separate and distinct | 24 | | from the records
of any other State board or commission. | 25 | | Such records shall be available
for public inspection and | 26 | | shall accurately reflect all Board proceedings;
|
| | | 10000SB3387sam001 | - 9 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (10) To file a written annual report with the Governor | 2 | | on or before
July 1 March 1 each year and such additional | 3 | | reports as the Governor may request.
The annual report | 4 | | shall include a statement of receipts and disbursements
by | 5 | | the Board, actions taken by the Board, and any additional | 6 | | information
and recommendations which the Board may deem | 7 | | valuable or which the Governor
may request;
| 8 | | (11) (Blank);
| 9 | | (12) (Blank);
| 10 | | (13) To assume responsibility for administration and | 11 | | enforcement of the
Video Gaming Act; and | 12 | | (14) To adopt, by rule, a code of conduct governing | 13 | | Board members and employees that ensure, to the maximum | 14 | | extent possible, that persons subject to this Code avoid | 15 | | situations, relationships, or associations that may | 16 | | represent or lead to a conflict of interest.
| 17 | | (c) The Board shall have jurisdiction over and shall | 18 | | supervise all
gambling operations governed by this Act. The | 19 | | Board shall have all powers
necessary and proper to fully and | 20 | | effectively execute the provisions of
this Act, including, but | 21 | | not limited to, the following:
| 22 | | (1) To investigate applicants and determine the | 23 | | eligibility of
applicants for licenses and to select among | 24 | | competing applicants the
applicants which best serve the | 25 | | interests of the citizens of Illinois.
| 26 | | (2) To have jurisdiction and supervision over all |
| | | 10000SB3387sam001 | - 10 - | LRB100 19071 SMS 38007 a |
|
| 1 | | riverboat gambling
operations in this State and all persons | 2 | | on riverboats where gambling
operations are conducted.
| 3 | | (3) To promulgate rules and regulations for the purpose | 4 | | of administering
the provisions of this Act and to | 5 | | prescribe rules, regulations and
conditions under which | 6 | | all riverboat gambling in the State shall be
conducted. | 7 | | Such rules and regulations are to provide for the | 8 | | prevention of
practices detrimental to the public interest | 9 | | and for the best interests of
riverboat gambling, including | 10 | | rules and regulations regarding the
inspection of such | 11 | | riverboats and the review of any permits or licenses
| 12 | | necessary to operate a riverboat under any laws or | 13 | | regulations applicable
to riverboats, and to impose | 14 | | penalties for violations thereof.
| 15 | | (4) To enter the office, riverboats, facilities, or | 16 | | other
places of business of a licensee, where evidence of | 17 | | the compliance or
noncompliance with the provisions of this | 18 | | Act is likely to be found.
| 19 | | (5) To investigate alleged violations of this Act or | 20 | | the
rules of the Board and to take appropriate disciplinary
| 21 | | action against a licensee or a holder of an occupational | 22 | | license for a
violation, or institute appropriate legal | 23 | | action for enforcement, or both.
| 24 | | (6) To adopt standards for the licensing of all persons | 25 | | under this Act,
as well as for electronic or mechanical | 26 | | gambling games, and to establish
fees for such licenses.
|
| | | 10000SB3387sam001 | - 11 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (7) To adopt appropriate standards for all riverboats
| 2 | | and facilities.
| 3 | | (8) To require that the records, including financial or | 4 | | other statements
of any licensee under this Act, shall be | 5 | | kept in such manner as prescribed
by the Board and that any | 6 | | such licensee involved in the ownership or
management of | 7 | | gambling operations submit to the Board an annual balance
| 8 | | sheet and profit and loss statement, list of the | 9 | | stockholders or other
persons having a 1% or greater | 10 | | beneficial interest in the gambling
activities of each | 11 | | licensee, and any other information the Board deems
| 12 | | necessary in order to effectively administer this Act and | 13 | | all rules,
regulations, orders and final decisions | 14 | | promulgated under this Act.
| 15 | | (9) To conduct hearings, issue subpoenas for the | 16 | | attendance of
witnesses and subpoenas duces tecum for the | 17 | | production of books, records
and other pertinent documents | 18 | | in accordance with the Illinois
Administrative Procedure | 19 | | Act, and to administer oaths and affirmations to
the | 20 | | witnesses, when, in the judgment of the Board, it is | 21 | | necessary to
administer or enforce this Act or the Board | 22 | | rules.
| 23 | | (10) To prescribe a form to be used by any licensee | 24 | | involved in the
ownership or management of gambling | 25 | | operations as an
application for employment for their | 26 | | employees.
|
| | | 10000SB3387sam001 | - 12 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (11) To revoke or suspend licenses, as the Board may | 2 | | see fit and in
compliance with applicable laws of the State | 3 | | regarding administrative
procedures, and to review | 4 | | applications for the renewal of licenses. The
Board may | 5 | | suspend an owners license, without notice or hearing upon a
| 6 | | determination that the safety or health of patrons or | 7 | | employees is
jeopardized by continuing a riverboat's | 8 | | operation. The suspension may
remain in effect until the | 9 | | Board determines that the cause for suspension
has been | 10 | | abated. The Board may revoke the owners license upon a
| 11 | | determination that the owner has not made satisfactory | 12 | | progress toward
abating the hazard.
| 13 | | (12) To eject or exclude or authorize the ejection or | 14 | | exclusion of, any
person from riverboat gambling | 15 | | facilities where such person is in violation
of this Act, | 16 | | rules and regulations thereunder, or final orders of the
| 17 | | Board, or where such person's conduct or reputation is such | 18 | | that his
presence within the riverboat gambling facilities | 19 | | may, in the opinion of
the Board, call into question the | 20 | | honesty and integrity of the gambling
operations or | 21 | | interfere with orderly conduct thereof; provided that the
| 22 | | propriety of such ejection or exclusion is subject to | 23 | | subsequent hearing
by the Board.
| 24 | | (13) To require all licensees of gambling operations to | 25 | | utilize a
cashless wagering system whereby all players' | 26 | | money is converted to tokens,
electronic cards, or chips |
| | | 10000SB3387sam001 | - 13 - | LRB100 19071 SMS 38007 a |
|
| 1 | | which shall be used only for wagering in the
gambling | 2 | | establishment.
| 3 | | (14) (Blank).
| 4 | | (15) To suspend, revoke or restrict licenses, to | 5 | | require the
removal of a licensee or an employee of a | 6 | | licensee for a violation of this
Act or a Board rule or for | 7 | | engaging in a fraudulent practice, and to
impose civil | 8 | | penalties of up to $5,000 against individuals and up to
| 9 | | $10,000 or an amount equal to the daily gross receipts, | 10 | | whichever is
larger, against licensees for each violation | 11 | | of any provision of the Act,
any rules adopted by the | 12 | | Board, any order of the Board or any other action
which, in | 13 | | the Board's discretion, is a detriment or impediment to | 14 | | riverboat
gambling operations , provided that these | 15 | | limitations on civil penalties shall not apply to civil | 16 | | penalties assessed under the Video Gaming Act .
| 17 | | (16) To hire employees to gather information, conduct | 18 | | investigations
and carry out any other tasks contemplated | 19 | | under this Act.
| 20 | | (17) To establish minimum levels of insurance to be | 21 | | maintained by
licensees.
| 22 | | (18) To authorize a licensee to sell or serve alcoholic | 23 | | liquors, wine or
beer as defined in the Liquor Control Act | 24 | | of 1934 on board a riverboat
and to have exclusive | 25 | | authority to establish the hours for sale and
consumption | 26 | | of alcoholic liquor on board a riverboat, notwithstanding |
| | | 10000SB3387sam001 | - 14 - | LRB100 19071 SMS 38007 a |
|
| 1 | | any
provision of the Liquor Control Act of 1934 or any | 2 | | local ordinance, and
regardless of whether the riverboat | 3 | | makes excursions. The
establishment of the hours for sale | 4 | | and consumption of alcoholic liquor on
board a riverboat is | 5 | | an exclusive power and function of the State. A home
rule | 6 | | unit may not establish the hours for sale and consumption | 7 | | of alcoholic
liquor on board a riverboat. This amendatory | 8 | | Act of 1991 is a denial and
limitation of home rule powers | 9 | | and functions under subsection (h) of
Section 6 of Article | 10 | | VII of the Illinois Constitution.
| 11 | | (19) After consultation with the U.S. Army Corps of | 12 | | Engineers, to
establish binding emergency orders upon the | 13 | | concurrence of a majority of
the members of the Board | 14 | | regarding the navigability of water, relative to
| 15 | | excursions,
in the event
of extreme weather conditions, | 16 | | acts of God or other extreme circumstances.
| 17 | | (20) To delegate the execution of any of its powers | 18 | | under this Act for
the purpose of administering and | 19 | | enforcing this Act and its rules and
regulations hereunder.
| 20 | | (20.5) To approve any contract entered into on its | 21 | | behalf.
| 22 | | (20.6) To appoint investigators to conduct | 23 | | investigations, searches, seizures, arrests, and other | 24 | | duties imposed under this Act, as deemed necessary by the | 25 | | Board. These investigators have and may exercise all of the | 26 | | rights and powers of peace officers, provided that these |
| | | 10000SB3387sam001 | - 15 - | LRB100 19071 SMS 38007 a |
|
| 1 | | powers shall be limited to offenses or violations occurring | 2 | | or committed on a riverboat or dock, as defined in | 3 | | subsections (d) and (f) of Section 4, or as otherwise | 4 | | provided by this Act or any other law. | 5 | | (20.7) To contract with the Department of State Police | 6 | | for the use of trained and qualified State police officers | 7 | | and with the Department of Revenue for the use of trained | 8 | | and qualified Department of Revenue investigators to | 9 | | conduct investigations, searches, seizures, arrests, and | 10 | | other duties imposed under this Act and to exercise all of | 11 | | the rights and powers of peace officers, provided that the | 12 | | powers of Department of Revenue investigators under this | 13 | | subdivision (20.7) shall be limited to offenses or | 14 | | violations occurring or committed on a riverboat or dock, | 15 | | as defined in subsections (d) and (f) of Section 4, or as | 16 | | otherwise provided by this Act or any other law. In the | 17 | | event the Department of State Police or the Department of | 18 | | Revenue is unable to fill contracted police or | 19 | | investigative positions, the Board may appoint | 20 | | investigators to fill those positions pursuant to | 21 | | subdivision (20.6).
| 22 | | (21) To take any other action as may be reasonable or | 23 | | appropriate to
enforce this Act and rules and regulations | 24 | | hereunder.
| 25 | | (d) The Board may seek and shall receive the cooperation of | 26 | | the
Department of State Police in conducting background |
| | | 10000SB3387sam001 | - 16 - | LRB100 19071 SMS 38007 a |
|
| 1 | | investigations of
applicants and in fulfilling its | 2 | | responsibilities under
this Section. Costs incurred by the | 3 | | Department of State Police as
a result of such cooperation | 4 | | shall be paid by the Board in conformance
with the requirements | 5 | | of Section 2605-400 of the Department of State Police Law
(20 | 6 | | ILCS 2605/2605-400).
| 7 | | (e) The Board must authorize to each investigator and to | 8 | | any other
employee of the Board exercising the powers of a | 9 | | peace officer a distinct badge
that, on its face, (i) clearly | 10 | | states that the badge is authorized by the Board
and
(ii) | 11 | | contains a unique identifying number. No other badge shall be | 12 | | authorized
by the Board.
| 13 | | (Source: P.A. 98-377, eff. 1-1-14; 98-582, eff. 8-27-13.)
| 14 | | (230 ILCS 10/7) (from Ch. 120, par. 2407)
| 15 | | Sec. 7. Owners licenses.
| 16 | | (a) The Board shall issue owners licenses to persons, firms | 17 | | or
corporations which apply for such licenses upon payment to | 18 | | the Board of the
non-refundable license fee set by the Board, | 19 | | upon payment of a $25,000
license fee for the first year of | 20 | | operation and a $5,000 license fee for
each succeeding year and | 21 | | upon a determination by the Board that the
applicant is | 22 | | eligible for an owners license pursuant to this Act and the
| 23 | | rules of the Board. From the effective date of this amendatory | 24 | | Act of the 95th General Assembly until (i) 3 years after the | 25 | | effective date of this amendatory Act of the 95th General |
| | | 10000SB3387sam001 | - 17 - | LRB100 19071 SMS 38007 a |
|
| 1 | | Assembly, (ii) the date any organization licensee begins to | 2 | | operate a slot machine or video game of chance under the | 3 | | Illinois Horse Racing Act of 1975 or this Act, (iii) the date | 4 | | that payments begin under subsection (c-5) of Section 13 of the | 5 | | Act, or (iv) the wagering tax imposed under Section 13 of this | 6 | | Act is increased by law to reflect a tax rate that is at least | 7 | | as stringent or more stringent than the tax rate contained in | 8 | | subsection (a-3) of Section 13, whichever occurs first, as a | 9 | | condition of licensure and as an alternative source of payment | 10 | | for those funds payable under subsection (c-5) of Section 13 of | 11 | | the Riverboat Gambling Act, any owners licensee that holds or | 12 | | receives its owners license on or after the effective date of | 13 | | this amendatory Act of the 94th General Assembly, other than an | 14 | | owners licensee operating a riverboat with adjusted gross | 15 | | receipts in calendar year 2004 of less than $200,000,000, must | 16 | | pay into the Horse Racing Equity Trust Fund, in addition to any | 17 | | other payments required under this Act, an amount equal to 3% | 18 | | of the adjusted gross receipts received by the owners licensee. | 19 | | The payments required under this Section shall be made by the | 20 | | owners licensee to the State Treasurer no later than 3:00 | 21 | | o'clock p.m. of the day after the day when the adjusted gross | 22 | | receipts were received by the owners licensee. A person, firm | 23 | | or corporation is ineligible to receive
an owners license if:
| 24 | | (1) the person has been convicted of a felony under the | 25 | | laws of this
State, any other state, or the United States;
| 26 | | (2) the person has been convicted of any violation of |
| | | 10000SB3387sam001 | - 18 - | LRB100 19071 SMS 38007 a |
|
| 1 | | Article 28 of the
Criminal Code of 1961 or the Criminal | 2 | | Code of 2012, or substantially similar laws of any other | 3 | | jurisdiction;
| 4 | | (3) the person has submitted an application for a | 5 | | license under this
Act which contains false information;
| 6 | | (4) the person is
a member of the Board;
| 7 | | (5) a person defined in (1), (2), (3) or (4) is an | 8 | | officer, director or
managerial employee of the firm or | 9 | | corporation;
| 10 | | (6) the firm or corporation employs a person defined in | 11 | | (1), (2), (3) or
(4) who participates in the management or | 12 | | operation of gambling operations
authorized under this | 13 | | Act;
| 14 | | (7) (blank); or
| 15 | | (8) a license of the person, firm or corporation issued | 16 | | under
this Act, or a license to own or operate gambling | 17 | | facilities
in any other jurisdiction, has been revoked.
| 18 | | The Board is expressly prohibited from making changes to | 19 | | the requirement that licensees make payment into the Horse | 20 | | Racing Equity Trust Fund without the express authority of the | 21 | | Illinois General Assembly and making any other rule to | 22 | | implement or interpret this amendatory Act of the 95th General | 23 | | Assembly. For the purposes of this paragraph, "rules" is given | 24 | | the meaning given to that term in Section 1-70 of the Illinois | 25 | | Administrative Procedure Act. | 26 | | (b) In determining whether to grant an owners license to an |
| | | 10000SB3387sam001 | - 19 - | LRB100 19071 SMS 38007 a |
|
| 1 | | applicant, the
Board shall consider:
| 2 | | (1) the character, reputation, experience and | 3 | | financial integrity of the
applicants and of any other or | 4 | | separate person that either:
| 5 | | (A) controls, directly or indirectly, such | 6 | | applicant, or
| 7 | | (B) is controlled, directly or indirectly, by such | 8 | | applicant or by a
person which controls, directly or | 9 | | indirectly, such applicant;
| 10 | | (2) the facilities or proposed facilities for the | 11 | | conduct of riverboat
gambling;
| 12 | | (3) the highest prospective total revenue to be derived | 13 | | by the State
from the conduct of riverboat gambling;
| 14 | | (4) the extent to which the ownership of the applicant | 15 | | reflects the
diversity of the State by including minority | 16 | | persons, women, and persons with a disability
and the good | 17 | | faith affirmative action plan of
each applicant to recruit, | 18 | | train and upgrade minority persons, women, and persons with | 19 | | a disability in all employment classifications;
| 20 | | (4.5) the extent to which the ownership of the | 21 | | applicant includes veterans of service in the armed forces | 22 | | of the United States, and the good faith affirmative action | 23 | | plan of each applicant to recruit, train, and upgrade | 24 | | veterans of service in the armed forces of the United | 25 | | States in all employment classifications; | 26 | | (5) the financial ability of the applicant to purchase |
| | | 10000SB3387sam001 | - 20 - | LRB100 19071 SMS 38007 a |
|
| 1 | | and maintain
adequate liability and casualty insurance;
| 2 | | (6) whether the applicant has adequate capitalization | 3 | | to provide and
maintain, for the duration of a license, a | 4 | | riverboat;
| 5 | | (7) the extent to which the applicant exceeds or meets | 6 | | other standards
for the issuance of an owners license which | 7 | | the Board may adopt by rule;
and
| 8 | | (8) The amount of the applicant's license bid.
| 9 | | (c) Each owners license shall specify the place where | 10 | | riverboats shall
operate and dock.
| 11 | | (d) Each applicant shall submit with his application, on | 12 | | forms
provided by the Board, 2 sets of his fingerprints.
| 13 | | (e) The Board may issue up to 10 licenses authorizing the | 14 | | holders of such
licenses to own riverboats. In the application | 15 | | for an owners license, the
applicant shall state the dock at | 16 | | which the riverboat is based and the water
on which the | 17 | | riverboat will be located. The Board shall issue 5 licenses to
| 18 | | become effective not earlier than January 1, 1991. Three of | 19 | | such licenses
shall authorize riverboat gambling on the | 20 | | Mississippi River, or, with approval
by the municipality in | 21 | | which the
riverboat was docked on August 7, 2003 and with Board | 22 | | approval, be authorized to relocate to a new location,
in a
| 23 | | municipality that (1) borders on the Mississippi River or is | 24 | | within 5
miles of the city limits of a municipality that | 25 | | borders on the Mississippi
River and (2), on August 7, 2003, | 26 | | had a riverboat conducting riverboat gambling operations |
| | | 10000SB3387sam001 | - 21 - | LRB100 19071 SMS 38007 a |
|
| 1 | | pursuant to
a license issued under this Act; one of which shall | 2 | | authorize riverboat
gambling from a home dock in the city of | 3 | | East St. Louis. One other license
shall
authorize riverboat | 4 | | gambling on
the Illinois River south of Marshall County. The | 5 | | Board shall issue one
additional license to become effective | 6 | | not earlier than March 1, 1992, which
shall authorize riverboat | 7 | | gambling on the Des Plaines River in Will County.
The Board may | 8 | | issue 4 additional licenses to become effective not
earlier | 9 | | than
March 1, 1992. In determining the water upon which | 10 | | riverboats will operate,
the Board shall consider the economic | 11 | | benefit which riverboat gambling confers
on the State, and | 12 | | shall seek to assure that all regions of the State share
in the | 13 | | economic benefits of riverboat gambling.
| 14 | | In granting all licenses, the Board may give favorable | 15 | | consideration to
economically depressed areas of the State, to | 16 | | applicants presenting plans
which provide for significant | 17 | | economic development over a large geographic
area, and to | 18 | | applicants who currently operate non-gambling riverboats in
| 19 | | Illinois.
The Board shall review all applications for owners | 20 | | licenses,
and shall inform each applicant of the Board's | 21 | | decision.
The Board may grant an owners license to an
applicant | 22 | | that has not submitted the highest license bid, but if it does | 23 | | not
select the highest bidder, the Board shall issue a written | 24 | | decision explaining
why another
applicant was selected and | 25 | | identifying the factors set forth in this Section
that favored | 26 | | the winning bidder.
|
| | | 10000SB3387sam001 | - 22 - | LRB100 19071 SMS 38007 a |
|
| 1 | | In addition to any other revocation powers granted to the | 2 | | Board under this
Act,
the Board may revoke the owners license | 3 | | of a licensee which fails
to begin conducting gambling within | 4 | | 15 months
of receipt of the
Board's approval of the application | 5 | | if the Board determines that license
revocation is in the best | 6 | | interests of the State.
| 7 | | (f) The first 10 owners licenses issued under this Act | 8 | | shall permit the
holder to own up to 2 riverboats and equipment | 9 | | thereon
for a period of 3 years after the effective date of the | 10 | | license. Holders of
the first 10 owners licenses must pay the | 11 | | annual license fee for each of
the 3
years during which they | 12 | | are authorized to own riverboats.
| 13 | | (g) Upon the termination, expiration, or revocation of each | 14 | | of the first
10 licenses, which shall be issued for a 3 year | 15 | | period, all licenses are
renewable annually upon payment of the | 16 | | fee and a determination by the Board
that the licensee | 17 | | continues to meet all of the requirements of this Act and the
| 18 | | Board's rules.
However, for licenses renewed on or after May 1, | 19 | | 1998, renewal shall be
for a period of 4 years, unless the | 20 | | Board sets a shorter period.
| 21 | | (h) An owners license shall entitle the licensee to own up | 22 | | to 2
riverboats. A licensee shall limit the number of gambling | 23 | | participants to
1,200 for any such owners license.
A licensee | 24 | | may operate both of its riverboats concurrently, provided that | 25 | | the
total number of gambling participants on both riverboats | 26 | | does not exceed
1,200. Riverboats licensed to operate on the
|
| | | 10000SB3387sam001 | - 23 - | LRB100 19071 SMS 38007 a |
|
| 1 | | Mississippi River and the Illinois River south of Marshall | 2 | | County shall
have an authorized capacity of at least 500 | 3 | | persons. Any other riverboat
licensed under this Act shall have | 4 | | an authorized capacity of at least 400
persons.
| 5 | | (i) A licensed owner is authorized to apply to the Board | 6 | | for and, if
approved therefor, to receive all licenses from the | 7 | | Board necessary for the
operation of a riverboat, including a | 8 | | liquor license, a license
to prepare and serve food for human | 9 | | consumption, and other necessary
licenses. All use, occupation | 10 | | and excise taxes which apply to the sale of
food and beverages | 11 | | in this State and all taxes imposed on the sale or use
of | 12 | | tangible personal property apply to such sales aboard the | 13 | | riverboat.
| 14 | | (j) The Board may issue or re-issue a license authorizing a | 15 | | riverboat to
dock
in a municipality or approve a relocation | 16 | | under Section 11.2 only if, prior
to the issuance or | 17 | | re-issuance of
the license or approval, the governing body of | 18 | | the municipality in which
the riverboat will dock has by a | 19 | | majority vote approved the docking of
riverboats in the | 20 | | municipality. The Board may issue or re-issue a license
| 21 | | authorizing a
riverboat to dock in areas of a county outside | 22 | | any municipality or approve a
relocation under Section 11.2 | 23 | | only if, prior to the issuance or re-issuance
of the license
or | 24 | | approval, the
governing body of the county has by a majority | 25 | | vote approved of the docking of
riverboats within such areas.
| 26 | | (Source: P.A. 100-391, eff. 8-25-17.)
|
| | | 10000SB3387sam001 | - 24 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (230 ILCS 10/7.6) | 2 | | Sec. 7.6. Business enterprise program. | 3 | | (a) For the purposes of this Section, the terms "minority", | 4 | | "minority-owned business", "woman", "women-owned business", | 5 | | "person with a disability", and "business owned by a person | 6 | | with a disability" have the meanings ascribed to them in the | 7 | | Business Enterprise for Minorities, Women, and Persons with | 8 | | Disabilities Act. | 9 | | (b) The Board shall, by rule, establish goals for the award | 10 | | of contracts by each owners licensee to businesses owned by | 11 | | minorities, women, and persons with disabilities, expressed as | 12 | | percentages of an owners licensee's total dollar amount of | 13 | | contracts awarded during each calendar year. Each owners | 14 | | licensee must make every effort to meet the goals established | 15 | | by the Board pursuant to this Section. When setting the goals | 16 | | for the award of contracts, the Board shall not include | 17 | | contracts where: (1) any purchasing mandates would be dependent | 18 | | upon the availability of minority-owned businesses, | 19 | | women-owned businesses, and businesses owned by persons with | 20 | | disabilities ready, willing, and able with capacity to provide | 21 | | quality goods and services to a gaming operation at reasonable | 22 | | prices; (2) there are no or a limited number of licensed | 23 | | suppliers as defined by this Act for the goods or services | 24 | | provided to the licensee; (3) the licensee or its parent | 25 | | company owns a company that provides the goods or services; or |
| | | 10000SB3387sam001 | - 25 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (4) the goods or services are provided to the licensee by a | 2 | | publicly traded company. | 3 | | (c) Each owners licensee shall file with the Board an | 4 | | annual report of its utilization of minority-owned businesses, | 5 | | women-owned businesses, and businesses owned by persons with | 6 | | disabilities during the preceding calendar year. The reports | 7 | | shall include a self-evaluation of the efforts of the owners | 8 | | licensee to meet its goals under this Section. | 9 | | (c-5) The Board shall, by rule, establish goals for the | 10 | | award of contracts by each owners licensee to businesses owned | 11 | | by veterans of service in the armed forces of the United | 12 | | States, expressed as percentages of an owners licensee's total | 13 | | dollar amount of contracts awarded during each calendar year. | 14 | | When setting the goals for the award of contracts, the Board | 15 | | shall not include contracts where: (1) any purchasing mandates | 16 | | would be dependent upon the availability of veteran-owned | 17 | | businesses ready, willing, and able with capacity to provide | 18 | | quality goods and services to a gaming operation at reasonable | 19 | | prices; (2) there are no or a limited number of licensed | 20 | | suppliers as defined in this Act for the goods or services | 21 | | provided to the licensee: (3) the licensee or its parent | 22 | | company owns a company that provides the goods or services; or | 23 | | (4) the goods or services are provided to the licensee by a | 24 | | publicly traded company. | 25 | | Each owners licensee shall file with the Board an annual | 26 | | report of its utilization of veteran-owned businesses during |
| | | 10000SB3387sam001 | - 26 - | LRB100 19071 SMS 38007 a |
|
| 1 | | the preceding calendar year. The reports shall include a | 2 | | self-evaluation of the efforts of the owners licensee to meet | 3 | | its goals under this Section. | 4 | | (d) The owners licensee shall have the right to request a | 5 | | waiver from the requirements of this Section. The Board shall | 6 | | grant the waiver where the owners licensee demonstrates that | 7 | | there has been made a good faith effort to comply with the | 8 | | goals for participation by minority-owned businesses, | 9 | | women-owned businesses, and businesses owned by persons with
| 10 | | disabilities , and veteran-owned businesses . | 11 | | (e) If the Board determines that its goals and policies are | 12 | | not being met by any owners licensee, then the Board may: | 13 | | (1) adopt remedies for such violations; and | 14 | | (2) recommend that the owners licensee provide | 15 | | additional opportunities for participation by | 16 | | minority-owned businesses, women-owned businesses, and | 17 | | businesses owned by persons with disabilities , and | 18 | | veteran-owned businesses ; such recommendations may | 19 | | include, but shall not be limited to: | 20 | | (A) assurances of stronger and better focused
| 21 | | solicitation efforts to obtain more minority-owned | 22 | | businesses, women-owned businesses, and businesses | 23 | | owned by persons with disabilities , and veteran-owned | 24 | | businesses as potential sources of supply; | 25 | | (B) division of job or project requirements, when
| 26 | | economically feasible, into tasks or quantities to |
| | | 10000SB3387sam001 | - 27 - | LRB100 19071 SMS 38007 a |
|
| 1 | | permit participation of minority-owned businesses, | 2 | | women-owned businesses, and businesses owned by | 3 | | persons with disabilities , and veteran-owned | 4 | | businesses ; | 5 | | (C) elimination of extended experience or
| 6 | | capitalization requirements, when programmatically | 7 | | feasible, to permit participation of minority-owned | 8 | | businesses, women-owned businesses, and businesses | 9 | | owned by persons with disabilities , and veteran-owned | 10 | | businesses ; | 11 | | (D) identification of specific proposed contracts | 12 | | as
particularly attractive or appropriate for | 13 | | participation by minority-owned businesses, | 14 | | women-owned businesses, and businesses owned by | 15 | | persons with disabilities , and veteran-owned | 16 | | businesses , such identification to result from and be | 17 | | coupled with the efforts of items (A) through (C);
and | 18 | | (E) implementation of regulations established
for | 19 | | the use of the sheltered market process. | 20 | | (f) The Board shall file, no later than March 1 of each | 21 | | year, an annual report that shall detail the level of | 22 | | achievement toward the goals specified in this Section over the | 23 | | 3 most recent fiscal years. The annual report shall include, | 24 | | but need not be limited to: | 25 | | (1) a summary detailing expenditures subject
to the | 26 | | goals, the actual goals specified, and the goals attained |
| | | 10000SB3387sam001 | - 28 - | LRB100 19071 SMS 38007 a |
|
| 1 | | by each owners licensee; and | 2 | | (2) an analysis of the level of overall goal
| 3 | | achievement concerning purchases from minority-owned | 4 | | businesses, women-owned businesses, and businesses owned | 5 | | by persons with disabilities , and veteran-owned | 6 | | businesses .
| 7 | | (Source: P.A. 99-78, eff. 7-20-15; 100-391, eff. 8-25-17.) | 8 | | Section 10. The Video Gaming
Act is amended by changing | 9 | | Sections 25, 45, and 80 as follows:
| 10 | | (230 ILCS 40/25)
| 11 | | Sec. 25. Restriction of licensees.
| 12 | | (a) Manufacturer. A person may not be licensed as a | 13 | | manufacturer of a
video gaming terminal in Illinois unless the | 14 | | person has a valid
manufacturer's license issued
under this | 15 | | Act. A manufacturer may only sell video gaming terminals for | 16 | | use
in Illinois to
persons having a valid distributor's | 17 | | license.
| 18 | | (b) Distributor. A person may not sell, distribute, or | 19 | | lease
or market a video gaming terminal in Illinois unless the | 20 | | person has a valid
distributor's
license issued under this Act. | 21 | | A distributor may only sell video gaming
terminals for use in
| 22 | | Illinois to persons having a valid distributor's or terminal | 23 | | operator's
license.
| 24 | | (c) Terminal operator. A person may not own, maintain, or |
| | | 10000SB3387sam001 | - 29 - | LRB100 19071 SMS 38007 a |
|
| 1 | | place a video gaming terminal unless he has a valid terminal | 2 | | operator's
license issued
under this Act. A terminal operator | 3 | | may only place video gaming terminals for
use in
Illinois in | 4 | | licensed establishments, licensed truck stop establishments, | 5 | | licensed fraternal establishments,
and
licensed veterans | 6 | | establishments.
No terminal operator may give anything of | 7 | | value, including but not limited to
a loan or financing | 8 | | arrangement, to a licensed establishment, licensed truck stop | 9 | | establishment,
licensed fraternal establishment, or licensed | 10 | | veterans establishment as
any incentive or inducement to locate | 11 | | video terminals in that establishment.
Of the after-tax profits
| 12 | | from a video gaming terminal, 50% shall be paid to the terminal
| 13 | | operator and 50% shall be paid to the licensed establishment, | 14 | | licensed truck stop establishment,
licensed fraternal | 15 | | establishment, or
licensed veterans establishment, | 16 | | notwithstanding any agreement to the contrary.
A video terminal | 17 | | operator that violates one or more requirements of this | 18 | | subsection is guilty of a Class 4 felony and is subject to | 19 | | termination of his or her license by the Board.
| 20 | | (d) Licensed technician. A person may not service, | 21 | | maintain, or repair a
video gaming terminal
in this State | 22 | | unless he or she (1) has a valid technician's license issued
| 23 | | under this Act, (2) is a terminal operator, or (3) is employed | 24 | | by a terminal
operator, distributor, or manufacturer.
| 25 | | (d-5) Licensed terminal handler. No person, including, but | 26 | | not limited to, an employee or independent contractor working |
| | | 10000SB3387sam001 | - 30 - | LRB100 19071 SMS 38007 a |
|
| 1 | | for a manufacturer, distributor, supplier, technician, or | 2 | | terminal operator licensed pursuant to this Act, shall have | 3 | | possession or control of a video gaming terminal, or access to | 4 | | the inner workings of a video gaming terminal, unless that | 5 | | person possesses a valid terminal handler's license issued | 6 | | under this Act. | 7 | | (e) Licensed establishment. No video gaming terminal may be | 8 | | placed in any licensed establishment, licensed veterans | 9 | | establishment, licensed truck stop establishment,
or licensed | 10 | | fraternal establishment
unless the owner
or agent of the owner | 11 | | of the licensed establishment, licensed veterans | 12 | | establishment, licensed truck stop establishment, or licensed
| 13 | | fraternal establishment has entered into a
written use | 14 | | agreement with the terminal operator for placement of the
| 15 | | terminals. A copy of the use agreement shall be on file in the | 16 | | terminal
operator's place of business and available for | 17 | | inspection by individuals
authorized by the Board. A licensed | 18 | | establishment, licensed truck stop establishment, licensed | 19 | | veterans establishment,
or
licensed
fraternal
establishment | 20 | | may operate up to 5 video gaming terminals on its premises at | 21 | | any
time.
| 22 | | (f) (Blank).
| 23 | | (g) Financial interest restrictions.
As used in this Act, | 24 | | "substantial interest" in a partnership, a corporation, an
| 25 | | organization, an association, a business, or a limited | 26 | | liability company means:
|
| | | 10000SB3387sam001 | - 31 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (A) When, with respect to a sole proprietorship, an | 2 | | individual or
his or her spouse owns, operates, manages, or | 3 | | conducts, directly
or indirectly, the organization, | 4 | | association, or business, or any part thereof;
or
| 5 | | (B) When, with respect to a partnership, the individual | 6 | | or his or
her spouse shares in any of the profits, or | 7 | | potential profits,
of the partnership activities; or
| 8 | | (C) When, with respect to a corporation, an individual | 9 | | or his or her
spouse is an officer or director, or the | 10 | | individual or his or her spouse is a holder, directly or | 11 | | beneficially, of 5% or more of any class
of stock of the | 12 | | corporation; or
| 13 | | (D) When, with respect to an organization not covered | 14 | | in (A), (B) or
(C) above, an individual or his or her | 15 | | spouse is an officer or manages the
business affairs, or | 16 | | the individual or his or her spouse is the
owner of or | 17 | | otherwise controls 10% or more of the assets of the | 18 | | organization;
or
| 19 | | (E) When an individual or his or her spouse furnishes
| 20 | | 5% or more of the capital, whether in cash, goods, or | 21 | | services, for the
operation of any business, association, | 22 | | or organization during any calendar
year; or | 23 | | (F) When, with respect to a limited liability company, | 24 | | an individual or his or her
spouse is a member, or the | 25 | | individual or his or her spouse is a holder, directly or | 26 | | beneficially, of 5% or more of the membership interest of |
| | | 10000SB3387sam001 | - 32 - | LRB100 19071 SMS 38007 a |
|
| 1 | | the limited liability company.
| 2 | | For purposes of this subsection (g), "individual" includes | 3 | | all individuals or their spouses whose combined interest would | 4 | | qualify as a substantial interest under this subsection (g) and | 5 | | whose activities with respect to an organization, association, | 6 | | or business are so closely aligned or coordinated as to | 7 | | constitute the activities of a single entity. | 8 | | (h) Location restriction. A licensed establishment, | 9 | | licensed truck stop establishment, licensed
fraternal
| 10 | | establishment, or licensed veterans establishment that is (i) | 11 | | located within 1,000
feet of a facility operated by an | 12 | | organization licensee licensed under the Illinois Horse Racing | 13 | | Act of 1975 or the home dock of a riverboat licensed under the | 14 | | Riverboat
Gambling Act or (ii) located within 100 feet of a | 15 | | school or a place of worship under the Religious Corporation | 16 | | Act, is ineligible to operate a video gaming terminal. The | 17 | | location restrictions in this subsection (h) do not apply if | 18 | | (A) a facility operated by an organization licensee, a school, | 19 | | or a place of worship moves to or is established within the | 20 | | restricted area after a licensed establishment, licensed truck | 21 | | stop establishment, licensed fraternal establishment, or | 22 | | licensed veterans establishment becomes licensed under this | 23 | | Act or (B) a school or place of worship moves to or is | 24 | | established within the restricted area after a licensed | 25 | | establishment, licensed truck stop establishment, licensed | 26 | | fraternal establishment, or licensed veterans establishment |
| | | 10000SB3387sam001 | - 33 - | LRB100 19071 SMS 38007 a |
|
| 1 | | obtains its original liquor license. For the purpose of this | 2 | | subsection, "school" means an elementary or secondary public | 3 | | school, or an elementary or secondary private school registered | 4 | | with or recognized by the State Board of Education. | 5 | | Notwithstanding the provisions of this subsection (h), the | 6 | | Board may waive the requirement that a licensed establishment, | 7 | | licensed truck stop establishment, licensed fraternal | 8 | | establishment, or licensed veterans establishment not be | 9 | | located within 1,000 feet from a facility operated by an | 10 | | organization licensee licensed under the Illinois Horse Racing | 11 | | Act of 1975 or the home dock of a riverboat licensed under the | 12 | | Riverboat Gambling Act. The Board shall not grant such waiver | 13 | | if there is any common ownership or control, shared business | 14 | | activity, or contractual arrangement of any type between the | 15 | | establishment and the organization licensee or owners licensee | 16 | | of a riverboat. The Board shall adopt rules to implement the | 17 | | provisions of this paragraph. | 18 | | (h-5) Restrictions on licenses in malls. The Board shall | 19 | | not grant an application to become a licensed video gaming | 20 | | location if the Board determines that granting the application | 21 | | would more likely than not cause a terminal operator, | 22 | | individually or in combination with other terminal operators, | 23 | | licensed video gaming location, or other person or entity, to | 24 | | operate the video gaming terminals in 2 or more licensed video | 25 | | gaming locations as a single video gaming operation. | 26 | | (1) In making determinations under this subsection |
| | | 10000SB3387sam001 | - 34 - | LRB100 19071 SMS 38007 a |
|
| 1 | | (h-5), factors to be considered by the Board shall include, | 2 | | but not be limited to, the following: | 3 | | (A) the physical aspects of the location; | 4 | | (B) the ownership, control, or management of the | 5 | | location; | 6 | | (C) any arrangements, understandings, or | 7 | | agreements, written or otherwise, among or involving | 8 | | any persons or entities that involve the conducting of | 9 | | any video gaming business or the sharing of costs or | 10 | | revenues; and | 11 | | (D) the manner in which any terminal operator or | 12 | | other related entity markets, advertises, or otherwise | 13 | | describes any location or locations to any other person | 14 | | or entity or to the public. | 15 | | (2) The Board shall presume, subject to rebuttal, that | 16 | | the granting of an application to become a licensed video | 17 | | gaming location within a mall will cause a terminal | 18 | | operator, individually or in combination with other | 19 | | persons or entities, to operate the video gaming terminals | 20 | | in 2 or more licensed video gaming locations as a single | 21 | | video gaming operation if the Board determines that | 22 | | granting the license would create a local concentration of | 23 | | licensed video gaming locations. | 24 | | For the purposes of this subsection (h-5): | 25 | | "Mall" means a building, or adjoining or connected | 26 | | buildings, containing 4 or more separate locations. |
| | | 10000SB3387sam001 | - 35 - | LRB100 19071 SMS 38007 a |
|
| 1 | | "Video gaming operation" means the conducting of video | 2 | | gaming and all related activities. | 3 | | "Location" means a space within a mall containing a | 4 | | separate business, a place for a separate business, or a place | 5 | | subject to a separate leasing arrangement by the mall owner. | 6 | | "Licensed video gaming location" means a licensed | 7 | | establishment, licensed fraternal establishment, licensed | 8 | | veterans establishment, or licensed truck stop. | 9 | | "Local concentration of licensed video gaming locations" | 10 | | means that the combined number of licensed video gaming | 11 | | locations within a mall exceed half of the separate locations | 12 | | within the mall. | 13 | | (i) Undue economic concentration. In addition to | 14 | | considering all other requirements under this Act, in deciding | 15 | | whether to approve the operation of video gaming terminals by a | 16 | | terminal operator in a location, the Board shall consider the | 17 | | impact of any economic concentration of such operation of video | 18 | | gaming terminals. The Board shall not allow a terminal operator | 19 | | to operate video gaming terminals if the Board determines such | 20 | | operation will result in undue economic concentration. For | 21 | | purposes of this Section, "undue economic concentration" means | 22 | | that a terminal operator would have such actual or potential | 23 | | influence over video gaming terminals in Illinois as to: | 24 | | (1) substantially impede or suppress competition among | 25 | | terminal operators; | 26 | | (2) adversely impact the economic stability of the |
| | | 10000SB3387sam001 | - 36 - | LRB100 19071 SMS 38007 a |
|
| 1 | | video gaming industry in Illinois; or | 2 | | (3) negatively impact the purposes of the Video Gaming | 3 | | Act. | 4 | | The Board shall adopt rules concerning undue economic | 5 | | concentration with respect to the operation of video gaming | 6 | | terminals in Illinois. The rules shall include, but not be | 7 | | limited to, (i) limitations on the number of video gaming | 8 | | terminals operated by any terminal operator within a defined | 9 | | geographic radius and (ii) guidelines on the discontinuation of | 10 | | operation of any such video gaming terminals the Board | 11 | | determines will cause undue economic concentration.
| 12 | | (j) The provisions of the Illinois Antitrust Act are fully | 13 | | and equally applicable to the activities of any licensee under | 14 | | this Act.
| 15 | | (Source: P.A. 97-333, eff. 8-12-11; 98-31, eff. 6-24-13; 98-77, | 16 | | eff. 7-15-13; 98-112, eff. 7-26-13; 98-756, eff. 7-16-14.)
| 17 | | (230 ILCS 40/45)
| 18 | | Sec. 45. Issuance of license.
| 19 | | (a) The burden is upon each applicant to
demonstrate his | 20 | | suitability for licensure. Each video gaming terminal
| 21 | | manufacturer, distributor, supplier, operator, handler, | 22 | | licensed establishment, licensed truck stop establishment, | 23 | | licensed
fraternal
establishment, and licensed veterans | 24 | | establishment shall be
licensed by the Board.
The Board may | 25 | | issue or deny a license under this Act to any person pursuant |
| | | 10000SB3387sam001 | - 37 - | LRB100 19071 SMS 38007 a |
|
| 1 | | to the same criteria set forth in Section 9 of the Riverboat | 2 | | Gambling Act.
| 3 | | (a-5) The Board shall not grant a license to a person who | 4 | | has facilitated, enabled, or participated in the use of | 5 | | coin-operated devices for gambling purposes or who is under the | 6 | | significant influence or control of such a person. For the | 7 | | purposes of this Act, "facilitated, enabled, or participated in | 8 | | the use of coin-operated amusement devices for gambling | 9 | | purposes" means that the person has been convicted of any | 10 | | violation of Article 28 of the Criminal Code of 1961 or the | 11 | | Criminal Code of 2012. If there is pending legal action against | 12 | | a person for any such violation, then the Board shall delay the | 13 | | licensure of that person until the legal action is resolved. | 14 | | (b) Each person seeking and possessing a license as a video | 15 | | gaming terminal manufacturer, distributor, supplier, operator, | 16 | | handler, licensed establishment, licensed truck stop | 17 | | establishment, licensed fraternal establishment, or licensed | 18 | | veterans establishment shall submit to a background | 19 | | investigation conducted by the Board with the assistance of the | 20 | | State Police or other law enforcement. To the extent that the | 21 | | corporate structure of the applicant allows, the background | 22 | | investigation shall include any or all of the following as the | 23 | | Board deems appropriate or as provided by rule for each | 24 | | category of licensure: (i) each beneficiary of a trust, (ii) | 25 | | each partner of a partnership, (iii) each member of a limited | 26 | | liability company, (iv) each director and officer of a publicly |
| | | 10000SB3387sam001 | - 38 - | LRB100 19071 SMS 38007 a |
|
| 1 | | or non-publicly held corporation, (v) each stockholder of a | 2 | | non-publicly held corporation, (vi) each stockholder of 5% or | 3 | | more of a publicly held corporation, or (vii) each stockholder | 4 | | of 5% or more in a parent or subsidiary corporation. | 5 | | (c) Each person seeking and possessing a license as a video | 6 | | gaming terminal manufacturer, distributor, supplier, operator, | 7 | | handler, licensed establishment, licensed truck stop | 8 | | establishment, licensed fraternal establishment, or licensed | 9 | | veterans establishment shall disclose the identity of every | 10 | | person, association, trust, corporation, or limited liability | 11 | | company having a greater than 1% direct or indirect pecuniary | 12 | | interest in the video gaming terminal operation for which the | 13 | | license is sought. If the disclosed entity is a trust, the | 14 | | application shall disclose the names and addresses of the | 15 | | beneficiaries; if a corporation, the names and addresses of all | 16 | | stockholders and directors; if a limited liability company, the | 17 | | names and addresses of all members; or if a partnership, the | 18 | | names and addresses of all partners, both general and limited. | 19 | | (d) No person may be licensed as a video gaming terminal | 20 | | manufacturer, distributor, supplier, operator, handler, | 21 | | licensed establishment, licensed truck stop establishment, | 22 | | licensed fraternal establishment, or licensed veterans | 23 | | establishment if that person has been found by the Board to: | 24 | | (1) have a background, including a criminal record, | 25 | | reputation, habits, social or business associations, or | 26 | | prior activities that pose a threat to the public interests |
| | | 10000SB3387sam001 | - 39 - | LRB100 19071 SMS 38007 a |
|
| 1 | | of the State or to the security and integrity of video | 2 | | gaming; | 3 | | (2) create or enhance the dangers of unsuitable, | 4 | | unfair, or illegal practices, methods, and activities in | 5 | | the conduct of video gaming; or | 6 | | (3) present questionable business practices and | 7 | | financial arrangements incidental to the conduct of video | 8 | | gaming activities. | 9 | | (e) Any applicant for any license under this Act has the | 10 | | burden of proving his or her qualifications to the satisfaction | 11 | | of the Board. The Board may adopt rules to establish additional | 12 | | qualifications and requirements to preserve the integrity and | 13 | | security of video gaming in this State. | 14 | | (f) A non-refundable application fee shall be paid at the | 15 | | time an
application for a license is filed with the Board in | 16 | | the following amounts:
| 17 | | (1) Manufacturer ..........................$5,000
| 18 | | (2) Distributor ...........................$5,000
| 19 | | (3) Terminal operator .....................$5,000
| 20 | | (4) Supplier ..............................$2,500
| 21 | | (5) Technician ..............................$100
| 22 | | (6) Terminal Handler .....................$100 $50
| 23 | | (7) Licensed establishment, licensed truck stop
| 24 | | establishment, licensed fraternal establishment,
| 25 | | or licensed veterans establishment ...................$100 | 26 | | (g) The Board shall establish an
annual fee for each |
| | | 10000SB3387sam001 | - 40 - | LRB100 19071 SMS 38007 a |
|
| 1 | | license not to exceed the following: | 2 | | (1) Manufacturer .........................$10,000
| 3 | | (2) Distributor ..........................$10,000
| 4 | | (3) Terminal operator .....................$5,000
| 5 | | (4) Supplier ..............................$2,000
| 6 | | (5) Technician ..............................$100
| 7 | | (6) Licensed establishment, licensed truck stop
| 8 | | establishment, licensed fraternal establishment,
| 9 | | or licensed veterans establishment ..............$100
| 10 | | (7) Video gaming terminal ...................$100
| 11 | | (8) Terminal Handler .........................$100 $50
| 12 | | (h) A terminal operator and a licensed establishment, | 13 | | licensed truck stop establishment, licensed fraternal | 14 | | establishment,
or licensed veterans establishment shall | 15 | | equally split the fees specified in item (7) of subsection (g). | 16 | | (Source: P.A. 97-1150, eff. 1-25-13; 98-31, eff. 6-24-13; | 17 | | 98-587, eff. 8-27-13; 98-756, eff. 7-16-14.)
| 18 | | (230 ILCS 40/80)
| 19 | | Sec. 80. Applicability of Illinois Riverboat Gambling Act. | 20 | | The provisions of the Illinois Riverboat Gambling Act, and all | 21 | | rules promulgated thereunder, shall apply to the Video Gaming | 22 | | Act, except where there is a conflict between the 2 Acts. All | 23 | | current supplier licensees under the Riverboat Gambling Act | 24 | | shall be entitled to licensure under the Video Gaming Act as | 25 | | manufacturers, distributors, or suppliers without additional |
| | | 10000SB3387sam001 | - 41 - | LRB100 19071 SMS 38007 a |
|
| 1 | | Board investigation or approval, except by vote of the Board; | 2 | | however, they are required to pay application and annual fees | 3 | | under this Act. All provisions of the Uniform Penalty and | 4 | | Interest Act shall apply, as far as practicable, to the subject | 5 | | matter of this Act to the same extent as if such provisions | 6 | | were included herein.
| 7 | | (Source: P.A. 96-37, eff. 7-13-09.)".
|
|