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90_SB0326 New Act 10 ILCS 5/28-1 from Ch. 46, par. 28-1 230 ILCS 10/7 from Ch. 120, par. 2407 Creates the Gambling Referendum Act. Requires an advisory question to be submitted to the voters of the entire State at the 1998 general election as to whether the General Assembly should expand legalized gambling in Illinois. Requires a question to be submitted to the voters of a municipality or the unincorporated area of a county as to whether the municipality or county should authorize riverboat gambling or a new form of legalized gambling and an affirmative vote by a majority of those voters before a new license is issued to conduct riverboat gambling or to conduct a new form of legalized gambling in the municipality or county. Amends the Riverboat Gambling Act to make corresponding changes. Amends the Election Code to provide that the question submitted to the voters is not subject to the 3 advisory referenda limitation. Effective immediately. LRB9001139LDdvA LRB9001139LDdvA 1 AN ACT to submit to the voters certain questions relating 2 to gambling, and to amend named Acts. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 1. Short title. This Act may be cited as the 6 Gambling Referendum Act. 7 Section 5. Statewide advisory question. There shall be 8 submitted to the voters of the entire State at the 1998 9 general election an advisory question that shall be placed on 10 a separate ballot in the following form: 11 Should the General Assembly expand legalized gambling in 12 the State of Illinois by either increasing the number of 13 riverboat casinos or by authorizing additional forms of 14 gambling such as land-based casinos, video lottery 15 terminals, or slot machines? 16 The votes shall be recorded as "Yes" or "No". 17 Section 10. Certification. Not less than 67 days before 18 the 1998 general election, the State Board of Elections shall 19 certify the question specified in Section 5 to be submitted 20 to the voters of the entire State to the respective county 21 clerks. Not less than 61 days before the 1998 general 22 election, the county clerks shall certify the question to the 23 board of election commissioners, if any, in their respective 24 counties. 25 Section 15. Local question. Before a new license is 26 issued to conduct a new form of legalized gambling in a 27 municipality or the unincorporated area of a county, there 28 shall be submitted to the voters of the municipality or 29 county, as the case may be, a question as to whether that -2- LRB9001139LDdvA 1 municipality or county should authorize that new form of 2 legalized gambling within its jurisdiction. The question 3 shall be submitted in substantially the following form: 4 Shall (municipality or county) expand legalized gambling 5 within its jurisdiction by authorizing (form of gambling)? 6 The votes shall be recorded as "Yes" or "No". 7 If a majority of the electors voting on the question vote 8 in the negative, the new license shall not be issued. 9 Section 85. The Election Code is amended by changing 10 Section 28-1 as follows: 11 (10 ILCS 5/28-1) (from Ch. 46, par. 28-1) 12 Sec. 28-1. The initiation and submission of all public 13 questions to be voted upon by the electors of the State or of 14 any political subdivision or district or precinct or 15 combination of precincts shall be subject to the provisions 16 of this Article. 17 Questions of public policy which have any legal effect 18 shall be submitted to referendum only as authorized by a 19 statute which so provides or by the Constitution. Advisory 20 questions of public policy shall be submitted to referendum 21 pursuant to Section 28-5 or pursuant to a statute which so 22 provides. 23 The method of initiating the submission of a public 24 question shall be as provided by the statute authorizing such 25 public question, or as provided by the Constitution. 26 All public questions shall be initiated, submitted and 27 printed on the ballot in the form required by Section 16-7 of 28 this Act, except as may otherwise be specified in the statute 29 authorizing a public question. 30 Whenever a statute provides for the initiation of a 31 public question by a petition of electors, the provisions of 32 such statute shall govern with respect to the number of -3- LRB9001139LDdvA 1 signatures required, the qualifications of persons entitled 2 to sign the petition, the contents of the petition, the 3 officer with whom the petition must be filed, and the form of 4 the question to be submitted. If such statute does not 5 specify any of the foregoing petition requirements, the 6 corresponding petition requirements of Section 28-6 shall 7 govern such petition. 8 Irrespective of the method of initiation, not more than 3 9 public questions other than (a) back door referenda, (b) 10 referenda to determine whether a disconnection may take place 11 where a city coterminous with a township is proposing to 12 annex territory from an adjacent township or (c) referenda 13 held under the provisions of the Property Tax Extension 14 Limitation Law in the Property Tax Code may be submitted to 15 referendum with respect to a political subdivision at the 16 same election. 17 If more than 3 propositions are timely initiated or 18 certified for submission at an election with respect to a 19 political subdivision, the first 3 validly initiated, by the 20 filing of a petition or by the adoption of a resolution or 21 ordinance of a political subdivision, as the case may be, 22 shall be printed on the ballot and submitted at that 23 election. However, except as expressly authorized by law not 24 more than one proposition to change the form of government of 25 a municipality pursuant to Article VII of the Constitution 26 may be submitted at an election. If more than one such 27 proposition is timely initiated or certified for submission 28 at an election with respect to a municipality, the first 29 validly initiated shall be the one printed on the ballot and 30 submitted at that election. 31 No public question shall be submitted to the voters of a 32 political subdivision at any regularly scheduled election at 33 which such voters are not scheduled to cast votes for any 34 candidates for nomination for, election to or retention in -4- LRB9001139LDdvA 1 public office, except that if, in any existing or proposed 2 political subdivision in which the submission of a public 3 question at a regularly scheduled election is desired, the 4 voters of only a portion of such existing or proposed 5 political subdivision are not scheduled to cast votes for 6 nomination for, election to or retention in public office at 7 such election, but the voters in one or more other portions 8 of such existing or proposed political subdivision are 9 scheduled to cast votes for nomination for, election to or 10 retention in public office at such election, the public 11 question shall be voted upon by all the qualified voters of 12 the entire existing or proposed political subdivision at the 13 election. 14 Not more than 3 advisory public questions may be 15 submitted to the voters of the entire state at a general 16 election. If more than 3 such advisory propositions are 17 initiated, the first 3 timely and validly initiated shall be 18 the questions printed on the ballot and submitted at that 19 election; provided however, that a question for a proposed 20 amendment to Article IV of the Constitution pursuant to 21 Section 3, Article XIV of the Constitution, or for a question 22 submitted under the Gambling Referendum Act or the Property 23 Tax Cap Referendum Law, shall not be included in the 24 foregoing limitation. 25 (Source: P.A. 88-116; 89-510, eff. 7-11-96.) 26 Section 90. The Riverboat Gambling Act is amended by 27 changing Section 7 as follows: 28 (230 ILCS 10/7) (from Ch. 120, par. 2407) 29 Sec. 7. Owners Licenses. 30 (a) The Board shall issue owners licenses to persons, 31 firms or corporations which apply for such licenses upon 32 payment to the Board of the non-refundable license fee set by -5- LRB9001139LDdvA 1 the Board, upon payment of a $25,000 license fee for the 2 first year of operation and a $5,000 license fee for each 3 succeeding year and upon a determination by the Board that 4 the applicant is eligible for an owners license pursuant to 5 this Act and the rules of the Board. A person, firm or 6 corporation is ineligible to receive an owners license if: 7 (1) the person has been convicted of a felony under 8 the laws of this State, any other state, or the United 9 States; 10 (2) the person has been convicted of any violation 11 of Article 28 of the Criminal Code of 1961, or 12 substantially similar laws of any other jurisdiction; 13 (3) the person has submitted an application for a 14 license under this Act which contains false information; 15 (4) the person is a member of the Board; 16 (5) a person defined in (1), (2), (3) or (4) is an 17 officer, director or managerial employee of the firm or 18 corporation; 19 (6) the firm or corporation employs a person 20 defined in (1), (2), (3) or (4) who participates in the 21 management or operation of gambling operations authorized 22 under this Act; 23 (7) the person, firm or corporation owns more than 24 a 10% ownership interest in any entity holding an owners 25 license issued under this Act; or 26 (8) a license of the person, firm or corporation 27 issued under this Act, or a license to own or operate 28 gambling facilities in any other jurisdiction, has been 29 revoked. 30 (b) In determining whether to grant an owners license to 31 an applicant, the Board shall consider: 32 (1) the character, reputation, experience and 33 financial integrity of the applicants and of any other or 34 separate person that either: -6- LRB9001139LDdvA 1 (A) controls, directly or indirectly, such 2 applicant, or 3 (B) is controlled, directly or indirectly, by 4 such applicant or by a person which controls, 5 directly or indirectly, such applicant; 6 (2) the facilities or proposed facilities for the 7 conduct of riverboat gambling; 8 (3) the highest prospective total revenue to be 9 derived by the State from the conduct of riverboat 10 gambling; 11 (4) the good faith affirmative action plan of each 12 applicant to recruit, train and upgrade minorities in all 13 employment classifications; 14 (5) the financial ability of the applicant to 15 purchase and maintain adequate liability and casualty 16 insurance; 17 (6) whether the applicant has adequate 18 capitalization to provide and maintain, for the duration 19 of a license, a riverboat; and 20 (7) the extent to which the applicant exceeds or 21 meets other standards for the issuance of an owners 22 license which the Board may adopt by rule. 23 (c) Each owners license shall specify the place where 24 riverboats shall operate and dock. 25 (d) Each applicant shall submit with his application, on 26 forms provided by the Board, 2 sets of his fingerprints. 27 (e) The Board may issue up to 10 licenses authorizing 28 the holders of such licenses to own riverboats. In the 29 application for an owners license, the applicant shall state 30 the dock at which the riverboat is based and the navigable 31 stream on which the riverboat will operate. The Board shall 32 issue 5 licenses to become effective not earlier than January 33 1, 1991. Four of such licenses shall authorize riverboat 34 gambling on the Mississippi River, one of which shall -7- LRB9001139LDdvA 1 authorize riverboat gambling from a home dock in the city of 2 East St. Louis. The other license shall authorize riverboat 3 gambling on the Illinois River south of Marshall County. The 4 Board shall issue 1 additional license to become effective 5 not earlier than March 1, 1992, which shall authorize 6 riverboat gambling on the Des Plaines River in Will County. 7 The Board may issue 4 additional licenses to become effective 8 not earlier than March 1, 1992. In determining the navigable 9 streams upon which riverboats will operate with licenses 10 effective on or after March 1, 1992, the Board shall consider 11 the economic benefit which riverboat gambling confers on the 12 State, and shall seek to assure that all regions of the State 13 share in the economic benefits of riverboat gambling. 14 In granting all licenses, the Board may give favorable 15 consideration to economically depressed areas of the State, 16 to 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. 22 The Board may revoke the owners license of a licensee 23 which fails to begin regular riverboat cruises within 12 24 months of receipt of the Board's approval of the application 25 if the Board determines that license revocation is in the 26 best interests of the State. 27 (f) The first 10 owners licenses issued under this Act 28 shall permit the holder to own up to 2 riverboats and 29 equipment thereon for a period of 3 years after the effective 30 date of the license. Holders of the first 10 owners licenses 31 must pay the annual license fee for each of the 3 years 32 during which they are authorized to own riverboats. 33 (g) Upon the termination, expiration or revocation of 34 each of the first 10 licenses, which shall be issued for a 3 -8- LRB9001139LDdvA 1 year period, all licenses are renewable annually upon payment 2 of the fee and a determination by the Board that the licensee 3 continues to meet all of the requirements of this Act and the 4 Board's rules. 5 (h) An owners license shall entitle the licensee to own 6 up to 2 riverboats. A licensee shall limit the number of 7 gambling participants to 1,200 for any such owners license. 8 Riverboats licensed to operate on the Mississippi River and 9 the Illinois River south of Marshall County shall have an 10 authorized capacity of at least 500 persons. Any other 11 riverboat licensed under this Act shall have an authorized 12 capacity of at least 400 persons. 13 (i) A licensed owner is authorized to apply to the Board 14 for and, if approved therefor, to receive all licenses from 15 the Board necessary for the operation of a riverboat, 16 including a liquor license, a license to prepare and serve 17 food for human consumption, and other necessary licenses. 18 All use, occupation and excise taxes which apply to the sale 19 of food and beverages in this State and all taxes imposed on 20 the sale or use of tangible personal property apply to such 21 sales aboard the riverboat. 22 (j) None of the first 5 licenses issued by the Board to 23 become effective not earlier than January 1, 1991 shall 24 authorize a riverboat to dock in a municipality with a 25 population of under 2,000; however, this restriction does not 26 apply to any additional licenses issued by the Board to 27 become effective not earlier than March 1, 1992. The Board 28 may issue a license authorizing a riverboat to dock in a 29 municipality only if, prior to the issuance of the license, 30 the governing body of the municipality has by a majority vote 31 approved the docking of riverboats in the municipality. The 32 Board may issue a license authorizing a riverboat to dock in 33 areas of a county outside any municipality only if, prior to 34 the issuance of the license, the governing body of the county -9- LRB9001139LDdvA 1 has by a majority vote approved of the docking of riverboats 2 within such areas. However, for licenses issued on or after 3 the effective date of this amendatory Act of 1997, a question 4 must been submitted to the voters in the municipality or 5 county as to whether the municipality or county should 6 authorize riverboats to dock in the municipality or county. 7 If a majority of voters voting on the question vote in the 8 negative, a new license authorizing riverboat gambling in the 9 municipality or county shall not be issued. 10 (k) Nothing in this Act shall be interpreted to prohibit 11 a licensed owner from operating a school for the training of 12 any occupational licensee. 13 (Source: P.A. 86-1029; 86-1389; 86-1475; 87-826.) 14 Section 99. Effective date. This Act takes effect upon 15 becoming law.