Full Text of SB0222 101st General Assembly
SB0222enr 101ST GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning business.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Gambling Act is amended by changing | 5 | | Sections 7.7 and 22 as follows: | 6 | | (230 ILCS 10/7.7) | 7 | | Sec. 7.7. Organization gaming licenses. | 8 | | (a) The Illinois Gaming Board shall award one organization | 9 | | gaming license to each person or entity having operating | 10 | | control of a racetrack that applies under Section 56 of the | 11 | | Illinois Horse Racing Act of 1975, subject to the application | 12 | | and eligibility requirements of this Section. Within 60 days | 13 | | after the effective date of this amendatory Act of the 101st | 14 | | General Assembly, a person or entity having operating control | 15 | | of a racetrack may submit an application for an organization | 16 | | gaming license. The application shall be made on such forms as | 17 | | provided by the Board and shall contain such information as the | 18 | | Board prescribes, including, but not limited to, the identity | 19 | | of any racetrack at which gaming will be conducted pursuant to | 20 | | an organization gaming license, detailed information regarding | 21 | | the ownership and management of the applicant, and detailed | 22 | | personal information regarding the applicant. The application | 23 | | shall specify the number of gaming positions the applicant |
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| 1 | | intends to use and the place where the organization gaming | 2 | | facility will operate. A person who knowingly makes a false | 3 | | statement on an application is guilty of a Class A misdemeanor. | 4 | | Each applicant shall disclose the identity of every person | 5 | | or entity having a direct or indirect pecuniary interest | 6 | | greater than 1% in any racetrack with respect to which the | 7 | | license is sought. If the disclosed entity is a corporation, | 8 | | the applicant shall disclose the names and addresses of all | 9 | | officers, stockholders , and directors. If the disclosed entity | 10 | | is a limited liability company, the applicant shall disclose | 11 | | the names and addresses of all members and managers. If the | 12 | | disclosed entity is a partnership, the applicant shall disclose | 13 | | the names and addresses of all partners, both general and | 14 | | limited. If the disclosed entity is a trust, the applicant | 15 | | shall disclose the names and addresses of all beneficiaries. | 16 | | An application shall be filed and considered in accordance | 17 | | with the rules of the Board. Each application for an | 18 | | organization gaming license shall include a nonrefundable | 19 | | application fee of $250,000. In addition, a nonrefundable fee | 20 | | of $50,000 shall be paid at the time of filing to defray the | 21 | | costs associated with background investigations conducted by | 22 | | the Board. If the costs of the background investigation exceed | 23 | | $50,000, the applicant shall pay the additional amount to the | 24 | | Board within 7 days after a request by the Board. If the costs | 25 | | of the investigation are less than $50,000, the applicant shall | 26 | | receive a refund of the remaining amount. All information, |
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| 1 | | records, interviews, reports, statements, memoranda, or other | 2 | | data supplied to or used by the Board in the course of this | 3 | | review or investigation of an applicant for an organization | 4 | | gaming license under this Act shall be privileged and strictly | 5 | | confidential and shall be used only for the purpose of | 6 | | evaluating an applicant for an organization gaming license or a | 7 | | renewal. Such information, records, interviews, reports, | 8 | | statements, memoranda, or other data shall not be admissible as | 9 | | evidence nor discoverable in any action of any kind in any | 10 | | court or before any tribunal, board, agency or person, except | 11 | | for any action deemed necessary by the Board. The application | 12 | | fee shall be deposited into the State Gaming Fund. | 13 | | Any applicant or key person, including the applicant's | 14 | | owners, officers, directors (if a corporation), managers and | 15 | | members (if a limited liability company), and partners (if a | 16 | | partnership), for an organization gaming license shall have his | 17 | | or her fingerprints submitted to the Department of State Police | 18 | | in an electronic format that complies with the form and manner | 19 | | for requesting and furnishing criminal history record | 20 | | information as prescribed by the Department of State Police. | 21 | | These fingerprints shall be checked against the Department of | 22 | | State Police and Federal Bureau of Investigation criminal | 23 | | history record databases now and hereafter filed, including, | 24 | | but not limited to, civil, criminal, and latent fingerprint | 25 | | databases. The Department of State Police shall charge | 26 | | applicants a fee for conducting the criminal history records |
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| 1 | | check, which shall be deposited into the State Police Services | 2 | | Fund and shall not exceed the actual cost of the records check. | 3 | | The Department of State Police shall furnish, pursuant to | 4 | | positive identification, records of Illinois criminal history | 5 | | to the Department. Each applicant shall submit with his or her | 6 | | application, on forms provided by the Board, a set of his or | 7 | | her fingerprints. The Board shall charge each applicant a fee | 8 | | set by the Department of State Police to defray the costs | 9 | | associated with the search and classification of fingerprints | 10 | | obtained by the Board with respect to the applicant's | 11 | | application. This fee shall be paid into the State Police | 12 | | Services Fund. | 13 | | (b) The Board shall determine within 120 days after | 14 | | receiving an application for an organization gaming license | 15 | | whether to grant an organization gaming license to the | 16 | | applicant. If the Board does not make a determination within | 17 | | that time period, then the Board shall give a written | 18 | | explanation to the applicant as to why it has not reached a | 19 | | determination and when it reasonably expects to make a | 20 | | determination. | 21 | | The organization gaming licensee shall purchase up to the | 22 | | amount of gaming positions authorized under this Act within 120 | 23 | | days after receiving its organization gaming license. If an | 24 | | organization gaming licensee is prepared to purchase the gaming | 25 | | positions, but is temporarily prohibited from doing so by order | 26 | | of a court of competent jurisdiction or the Board, then the |
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| 1 | | 120-day period is tolled until a resolution is reached. | 2 | | An organization gaming license shall authorize its holder | 3 | | to conduct gaming under this Act at its racetracks on the same | 4 | | days of the year and hours of the day that owners licenses are | 5 | | allowed to operate under approval of the Board. | 6 | | An organization gaming license and any renewal of an | 7 | | organization gaming license shall authorize gaming pursuant to | 8 | | this Section for a period of 4 years. The fee for the issuance | 9 | | or renewal of an organization gaming license shall be $250,000. | 10 | | All payments by licensees under this subsection (b) shall | 11 | | be deposited into the Rebuild Illinois Projects Fund. | 12 | | (c) To be eligible to conduct gaming under this Section, a | 13 | | person or entity having operating control of a racetrack must | 14 | | (i) obtain an organization gaming license, (ii) hold an | 15 | | organization license under the Illinois Horse Racing Act of | 16 | | 1975, (iii) hold an inter-track wagering license, (iv) pay an | 17 | | initial fee of $30,000 per gaming position from organization | 18 | | gaming licensees where gaming is conducted in Cook County and, | 19 | | except as provided in subsection (c-5), $17,500 for | 20 | | organization gaming licensees where gaming is conducted | 21 | | outside of Cook County before beginning to conduct gaming plus | 22 | | make the reconciliation payment required under subsection (k), | 23 | | (v) conduct live racing in accordance with subsections (e-1), | 24 | | (e-2), and (e-3) of Section 20 of the Illinois Horse Racing Act | 25 | | of 1975, (vi) meet the requirements of subsection (a) of | 26 | | Section 56 of the Illinois Horse Racing Act of 1975, (vii) for |
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| 1 | | organization licensees conducting standardbred race meetings, | 2 | | keep backstretch barns and dormitories open and operational | 3 | | year-round unless a lesser schedule is mutually agreed to by | 4 | | the organization licensee and the horsemen association racing | 5 | | at that organization licensee's race meeting, (viii) for | 6 | | organization licensees conducting thoroughbred race meetings, | 7 | | the organization licensee must maintain accident medical | 8 | | expense liability insurance coverage of $1,000,000 for | 9 | | jockeys, and (ix) meet all other requirements of this Act that | 10 | | apply to owners licensees. | 11 | | An organization gaming licensee may enter into a joint | 12 | | venture with a licensed owner to own, manage, conduct, or | 13 | | otherwise operate the organization gaming licensee's | 14 | | organization gaming facilities, unless the organization gaming | 15 | | licensee has a parent company or other affiliated company that | 16 | | is, directly or indirectly, wholly owned by a parent company | 17 | | that is also licensed to conduct organization gaming, casino | 18 | | gaming, or their equivalent in another state. | 19 | | All payments by licensees under this subsection (c) shall | 20 | | be deposited into the Rebuild Illinois Projects Fund. | 21 | | (c-5) A person or entity having operating control of a | 22 | | racetrack located in Madison County shall only pay the initial | 23 | | fees specified in subsection (c) for 540 of the gaming | 24 | | positions authorized under the license. | 25 | | (d) A person or entity is ineligible to receive an | 26 | | organization gaming license if: |
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| 1 | | (1) the person or entity has been convicted of a felony | 2 | | under the laws of this State, any other state, or the | 3 | | United States, including a conviction under the Racketeer | 4 | | Influenced and Corrupt Organizations Act; | 5 | | (2) the person or entity has been convicted of any | 6 | | violation of Article 28 of the Criminal Code of 2012, or | 7 | | substantially similar laws of any other jurisdiction; | 8 | | (3) the person or entity has submitted an application | 9 | | for a license under this Act that contains false | 10 | | information; | 11 | | (4) the person is a member of the Board; | 12 | | (5) a person defined in (1), (2), (3), or (4) of this | 13 | | subsection (d) is an officer, director, or managerial | 14 | | employee of the entity; | 15 | | (6) the person or entity employs a person defined in | 16 | | (1), (2), (3), or (4) of this subsection (d) who | 17 | | participates in the management or operation of gambling | 18 | | operations authorized under this Act; or | 19 | | (7) a license of the person or entity issued under this | 20 | | Act or a license to own or operate gambling facilities in | 21 | | any other jurisdiction has been revoked. | 22 | | (e) The Board may approve gaming positions pursuant to an | 23 | | organization gaming license statewide as provided in this | 24 | | Section. The authority to operate gaming positions under this | 25 | | Section shall be allocated as follows: up to 1,200 gaming | 26 | | positions for any organization gaming licensee in Cook County |
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| 1 | | and up to 900 gaming positions for any organization gaming | 2 | | licensee outside of Cook County. | 3 | | (f) Each applicant for an organization gaming license shall | 4 | | specify in its application for licensure the number of gaming | 5 | | positions it will operate, up to the applicable limitation set | 6 | | forth in subsection (e) of this Section. Any unreserved gaming | 7 | | positions that are not specified shall be forfeited and | 8 | | retained by the Board. For the purposes of this subsection (f), | 9 | | an organization gaming licensee that did not conduct live | 10 | | racing in 2010 and is located within 3 miles of the Mississippi | 11 | | River may reserve up to 900 positions and shall not be | 12 | | penalized under this Section for not operating those positions | 13 | | until it meets the requirements of subsection (e) of this | 14 | | Section, but such licensee shall not request unreserved gaming | 15 | | positions under this subsection (f) until its 900 positions are | 16 | | all operational. | 17 | | Thereafter, the Board shall publish the number of | 18 | | unreserved gaming positions and shall accept requests for | 19 | | additional positions from any organization gaming licensee | 20 | | that initially reserved all of the positions that were offered. | 21 | | The Board shall allocate expeditiously the unreserved gaming | 22 | | positions to requesting organization gaming licensees in a | 23 | | manner that maximizes revenue to the State. The Board may | 24 | | allocate any such unused gaming positions pursuant to an open | 25 | | and competitive bidding process, as provided under Section 7.5 | 26 | | of this Act. This process shall continue until all unreserved |
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| 1 | | gaming positions have been purchased. All positions obtained | 2 | | pursuant to this process and all positions the organization | 3 | | gaming licensee specified it would operate in its application | 4 | | must be in operation within 18 months after they were obtained | 5 | | or the organization gaming licensee forfeits the right to | 6 | | operate those positions, but is not entitled to a refund of any | 7 | | fees paid. The Board may, after holding a public hearing, grant | 8 | | extensions so long as the organization gaming licensee is | 9 | | working in good faith to make the positions operational. The | 10 | | extension may be for a period of 6 months. If, after the period | 11 | | of the extension, the organization gaming licensee has not made | 12 | | the positions operational, then another public hearing must be | 13 | | held by the Board before it may grant another extension. | 14 | | Unreserved gaming positions retained from and allocated to | 15 | | organization gaming licensees by the Board pursuant to this | 16 | | subsection (f) shall not be allocated to owners licensees under | 17 | | this Act. | 18 | | For the purpose of this subsection (f), the unreserved | 19 | | gaming positions for each organization gaming licensee shall be | 20 | | the applicable limitation set forth in subsection (e) of this | 21 | | Section, less the number of reserved gaming positions by such | 22 | | organization gaming licensee, and the total unreserved gaming | 23 | | positions shall be the aggregate of the unreserved gaming | 24 | | positions for all organization gaming licensees. | 25 | | (g) An organization gaming licensee is authorized to | 26 | | conduct the following at a racetrack: |
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| 1 | | (1) slot machine gambling; | 2 | | (2) video game of chance gambling; | 3 | | (3) gambling with electronic gambling games as defined | 4 | | in this Act or defined by the Illinois Gaming Board; and | 5 | | (4) table games. | 6 | | (h) Subject to the approval of the Illinois Gaming Board, | 7 | | an organization gaming licensee may make modification or | 8 | | additions to any existing buildings and structures to comply | 9 | | with the requirements of this Act. The Illinois Gaming Board | 10 | | shall make its decision after consulting with the Illinois | 11 | | Racing Board. In no case, however, shall the Illinois Gaming | 12 | | Board approve any modification or addition that alters the | 13 | | grounds of the organization licensee such that the act of live | 14 | | racing is an ancillary activity to gaming authorized under this | 15 | | Section.
Gaming authorized under this Section may take place in | 16 | | existing structures where inter-track wagering is conducted at | 17 | | the racetrack or a facility within 300 yards of the racetrack | 18 | | in accordance with the provisions of this Act and the Illinois | 19 | | Horse Racing Act of 1975. | 20 | | (i) An organization gaming licensee may conduct gaming at a | 21 | | temporary facility pending the construction of a permanent | 22 | | facility or the remodeling or relocation of an existing | 23 | | facility to accommodate gaming participants for up to 24 months | 24 | | after the temporary facility begins to conduct gaming | 25 | | authorized under this Section. Upon request by an organization | 26 | | gaming licensee and upon a showing of good cause by the |
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| 1 | | organization gaming licensee, the Board shall extend the period | 2 | | during which the licensee may conduct gaming authorized under | 3 | | this Section at a temporary facility by up to 12 months. The | 4 | | Board shall make rules concerning the conduct of gaming | 5 | | authorized under this Section from temporary facilities. | 6 | | The gaming authorized under this Section may take place in | 7 | | existing structures where inter-track wagering is conducted at | 8 | | the racetrack or a facility within 300 yards of the racetrack | 9 | | in accordance with the provisions of this Act and the Illinois | 10 | | Horse Racing Act of 1975. | 11 | | (i-5) Under no circumstances shall an organization gaming | 12 | | licensee conduct gaming at any State or county fair. | 13 | | (j) The Illinois Gaming Board must adopt emergency rules in | 14 | | accordance with Section 5-45 of the Illinois Administrative | 15 | | Procedure Act as necessary to ensure compliance with the | 16 | | provisions of this amendatory Act of the 101st General Assembly
| 17 | | concerning the conduct of gaming by an organization gaming | 18 | | licensee. The adoption of emergency rules authorized by this | 19 | | subsection (j) shall be deemed to be necessary for the public | 20 | | interest, safety, and welfare. | 21 | | (k) Each organization gaming licensee who obtains gaming | 22 | | positions must make a reconciliation payment 3 years after the | 23 | | date the organization gaming licensee begins operating the | 24 | | positions in an amount equal to 75% of the difference between | 25 | | its adjusted gross receipts from gaming authorized under this | 26 | | Section and amounts paid to its purse accounts pursuant to item |
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| 1 | | (1) of subsection (b) of Section 56 of the Illinois Horse | 2 | | Racing Act of 1975 for the 12-month period for which such | 3 | | difference was the largest, minus an amount equal to the | 4 | | initial per position fee paid by the organization gaming | 5 | | licensee. If this calculation results in a negative amount, | 6 | | then the organization gaming licensee is not entitled to any | 7 | | reimbursement of fees previously paid. This reconciliation | 8 | | payment may be made in installments over a period of no more | 9 | | than 2 years, subject to Board approval. Any installment | 10 | | payments shall include an annual market interest rate as | 11 | | determined by the Board. | 12 | | All payments by licensees under this subsection (k) shall | 13 | | be deposited into the Rebuild Illinois Projects Fund. | 14 | | (l) As soon as practical after a request is made by the | 15 | | Illinois Gaming Board, to minimize duplicate submissions by the | 16 | | applicant, the Illinois Racing Board must provide information | 17 | | on an applicant for an organization gaming license to the | 18 | | Illinois Gaming Board.
| 19 | | (Source: P.A. 101-31, eff. 6-28-19.)
| 20 | | (230 ILCS 10/22) (from Ch. 120, par. 2422)
| 21 | | Sec. 22. Criminal history record information. Whenever the | 22 | | Board is authorized or required by law to consider some
aspect | 23 | | of criminal history record information for the purpose of | 24 | | carrying
out its statutory powers and responsibilities, the | 25 | | Board shall, in the
form and manner required by the Department |
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| 1 | | of State Police and the Federal
Bureau of Investigation, cause | 2 | | to be conducted a criminal history record
investigation to | 3 | | obtain any information currently or thereafter contained in
the | 4 | | files of the Department of State Police or the Federal Bureau | 5 | | of
Investigation , including, but not limited to, civil, | 6 | | criminal, and latent fingerprint databases .
Each applicant for | 7 | | occupational licensing under Section 9
or key person as defined | 8 | | by the Board in administrative rules shall submit his
or her | 9 | | fingerprints to the
Department of State Police in the form and | 10 | | manner prescribed by the Department
of State Police. These | 11 | | fingerprints shall be checked against the fingerprint
records | 12 | | now and hereafter filed in the Department of
State Police and | 13 | | Federal Bureau of Investigation criminal history
records | 14 | | databases , including, but not limited to, civil, criminal, and | 15 | | latent fingerprint databases . The Department of State Police
| 16 | | shall charge a fee for conducting the criminal history records | 17 | | check, which
shall be deposited in the State Police Services | 18 | | Fund and shall not exceed the
actual cost of the records check.
| 19 | | The Department of State Police shall provide, on the Board's
| 20 | | request, information concerning any criminal charges, and | 21 | | their disposition,
currently or thereafter filed against any an | 22 | | applicant , key person, for or holder of any an
occupational | 23 | | license or for determinations of suitability . Information | 24 | | obtained as a result of an investigation
under this Section | 25 | | shall be used in determining eligibility for any an | 26 | | occupational
license under Section 9 . Upon request and
payment |
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| 1 | | of fees in conformance with the requirements of
Section | 2 | | 2605-400 of the Department of State Police Law (20 ILCS
| 3 | | 2605/2605-400), the
Department
of State Police is authorized to | 4 | | furnish, pursuant to positive
identification, such information | 5 | | contained in State files as is necessary
to fulfill the | 6 | | request.
| 7 | | (Source: P.A. 93-418, eff. 1-1-04.)
| 8 | | Section 10. The Sports Wagering Act is amended by changing | 9 | | Section 25-20 and by adding Section 25-107 as follows: | 10 | | (230 ILCS 45/25-20)
| 11 | | Sec. 25-20. Licenses required. | 12 | | (a) No person may engage in any activity in connection with | 13 | | sports wagering in this State unless all necessary licenses | 14 | | have been obtained in accordance with this Act and the rules of | 15 | | the Board and the Department. The following licenses shall be | 16 | | issued under this Act: | 17 | | (1) master sports wagering license; | 18 | | (2) occupational license; | 19 | | (3) supplier license; | 20 | | (4) management services provider license ; | 21 | | (5) tier 2 official league data provider license; and | 22 | | (6) central system provider license. | 23 | | No person or entity may engage in a sports wagering | 24 | | operation or activity without first obtaining the appropriate |
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| 1 | | license. | 2 | | (b) An applicant for a license issued under this Act shall | 3 | | submit an application to the Board in the form the Board | 4 | | requires. The applicant shall submit fingerprints for a | 5 | | national criminal records check by the Department of State | 6 | | Police and the Federal Bureau of Investigation. The | 7 | | fingerprints shall be furnished by the applicant's owners, | 8 | | officers , and directors (if a corporation), managers and | 9 | | members (if a limited liability company), and partners (if a | 10 | | partnership). The fingerprints shall be accompanied by a signed | 11 | | authorization for the release of information by the Federal | 12 | | Bureau of Investigation. The Board may require additional | 13 | | background checks on licensees when they apply for license | 14 | | renewal, and an applicant convicted of a disqualifying offense | 15 | | shall not be licensed. | 16 | | (c) Each master sports wagering licensee shall display the | 17 | | license conspicuously in the licensee's place of business or | 18 | | have the license available for inspection by an agent of the | 19 | | Board or a law enforcement agency. | 20 | | (d) Each holder of an occupational license shall carry the | 21 | | license and have some indicia of licensure prominently | 22 | | displayed on his or her person when present in a gaming | 23 | | facility licensed under this Act at all times, in accordance | 24 | | with the rules of the Board. | 25 | | (e) Each person licensed under this Act shall give the | 26 | | Board written notice within 30 days after a material change to |
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| 1 | | information provided in the licensee's application for a | 2 | | license or renewal.
| 3 | | (Source: P.A. 101-31, eff. 6-28-19; revised 9-26-19.) | 4 | | (230 ILCS 45/25-107 new) | 5 | | Sec. 25-107. Applicability of the Illinois Gambling Act. | 6 | | Insofar as a provision of the Sports Wagering Act is silent on | 7 | | a provision, the Illinois Gambling Act, and all rules adopted | 8 | | thereunder, shall apply to the Sports Wagering Act. If there is | 9 | | a conflict between the Sports Wagering Act and the Illinois | 10 | | Gambling Act, the Sports Wagering Act shall control.
| 11 | | Section 99. Effective date. This Act takes effect upon | 12 | | becoming law.
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