Bill Amendment: IL SB3387 | 2017-2018 | 100th General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: GAMING-VARIOUS

Status: 2018-12-14 - Public Act . . . . . . . . . 100-1152 [SB3387 Detail]

Download: Illinois-2017-SB3387-Senate_Amendment_001.html

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Sen. Dave Syverson

Filed: 4/5/2018

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AMENDMENT TO SENATE BILL 3387
AMENDMENT NO. ______. Amend Senate Bill 3387 by replacing
everything after the enacting clause with the following:
"Section 5. The Riverboat Gambling Act is amended by
changing Sections 5, 7, and 7.6 as follows:
(230 ILCS 10/5) (from Ch. 120, par. 2405)
Sec. 5. Gaming Board.
(a) (1) There is hereby established the Illinois Gaming
Board, which shall have the powers and duties specified in this
Act, and all other powers necessary and proper to fully and
effectively execute this Act for the purpose of administering,
regulating, and enforcing the system of riverboat gambling
established by this Act. Its jurisdiction shall extend under
this Act to every person, association, corporation,
partnership and trust involved in riverboat gambling
operations in the State of Illinois.

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(2) The Board shall consist of 5 members to be appointed by
the Governor with the advice and consent of the Senate, one of
whom shall be designated by the Governor to be chairman. Each
member shall have a reasonable knowledge of the practice,
procedure and principles of gambling operations. Each member
shall either be a resident of Illinois or shall certify that he
will become a resident of Illinois before taking office. At
least one member shall be experienced in law enforcement and
criminal investigation, at least one member shall be a
certified public accountant experienced in accounting and
auditing, and at least one member shall be a lawyer licensed to
practice law in Illinois.
(3) The terms of office of the Board members shall be 3
years, except that the terms of office of the initial Board
members appointed pursuant to this Act will commence from the
effective date of this Act and run as follows: one for a term
ending July 1, 1991, 2 for a term ending July 1, 1992, and 2 for
a term ending July 1, 1993. Upon the expiration of the
foregoing terms, the successors of such members shall serve a
term for 3 years and until their successors are appointed and
qualified for like terms. Vacancies in the Board shall be
filled for the unexpired term in like manner as original
appointments. Each member of the Board shall be eligible for
reappointment at the discretion of the Governor with the advice
and consent of the Senate.
(4) Each member of the Board shall receive $300 for each

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day the Board meets and for each day the member conducts any
hearing pursuant to this Act. Each member of the Board shall
also be reimbursed for all actual and necessary expenses and
disbursements incurred in the execution of official duties.
(5) No person shall be appointed a member of the Board or
continue to be a member of the Board who is, or whose spouse,
child or parent is, a member of the board of directors of, or a
person financially interested in, any gambling operation
subject to the jurisdiction of this Board, or any race track,
race meeting, racing association or the operations thereof
subject to the jurisdiction of the Illinois Racing Board. No
Board member shall hold any other public office. No person
shall be a member of the Board who is not of good moral
character or who has been convicted of, or is under indictment
for, a felony under the laws of Illinois or any other state, or
the United States.
(5.5) No member of the Board shall engage in any political
activity. For the purposes of this Section, "political" means
any activity in support of or in connection with any campaign
for federal, State, or local elective office or any political
organization, but does not include activities (i) relating to
the support or opposition of any executive, legislative, or
administrative action (as those terms are defined in Section 2
of the Lobbyist Registration Act), (ii) relating to collective
bargaining, or (iii) that are otherwise in furtherance of the
person's official State duties or governmental and public

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service functions.
(6) Any member of the Board may be removed by the Governor
for neglect of duty, misfeasance, malfeasance, or nonfeasance
in office or for engaging in any political activity.
(7) Before entering upon the discharge of the duties of his
office, each member of the Board shall take an oath that he
will faithfully execute the duties of his office according to
the laws of the State and the rules and regulations adopted
therewith and shall give bond to the State of Illinois,
approved by the Governor, in the sum of $25,000. Every such
bond, when duly executed and approved, shall be recorded in the
office of the Secretary of State. Whenever the Governor
determines that the bond of any member of the Board has become
or is likely to become invalid or insufficient, he shall
require such member forthwith to renew his bond, which is to be
approved by the Governor. Any member of the Board who fails to
take oath and give bond within 30 days from the date of his
appointment, or who fails to renew his bond within 30 days
after it is demanded by the Governor, shall be guilty of
neglect of duty and may be removed by the Governor. The cost of
any bond given by any member of the Board under this Section
shall be taken to be a part of the necessary expenses of the
Board.
(7.5) For the examination of all mechanical,
electromechanical, or electronic table games, slot machines,
slot accounting systems, and other electronic gaming equipment

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for compliance with this Act, the Board may utilize the
services of one or more independent outside testing
laboratories that have been accredited by a national
accreditation body and that, in the judgment of the Board, are
qualified to perform such examinations.
(8) The Board shall employ such personnel as may be
necessary to carry out its functions and shall determine the
salaries of all personnel, except those personnel whose
salaries are determined under the terms of a collective
bargaining agreement. No person shall be employed to serve the
Board who is, or whose spouse, parent or child is, an official
of, or has a financial interest in or financial relation with,
any operator engaged in gambling operations within this State
or any organization engaged in conducting horse racing within
this State. Any employee violating these prohibitions shall be
subject to termination of employment.
(9) An Administrator shall perform any and all duties that
the Board shall assign him. The salary of the Administrator
shall be determined by the Board and, in addition, he shall be
reimbursed for all actual and necessary expenses incurred by
him in discharge of his official duties. The Administrator
shall keep records of all proceedings of the Board and shall
preserve all records, books, documents and other papers
belonging to the Board or entrusted to its care. The
Administrator shall devote his full time to the duties of the
office and shall not hold any other office or employment.

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(b) The Board shall have general responsibility for the
implementation of this Act. Its duties include, without
limitation, the following:
(1) To decide promptly and in reasonable order all
license applications. Any party aggrieved by an action of
the Board denying, suspending, revoking, restricting or
refusing to renew a license may request a hearing before
the Board. A request for a hearing must be made to the
Board in writing within 5 days after service of notice of
the action of the Board. Notice of the action of the Board
shall be served either by personal delivery or by certified
mail, postage prepaid, to the aggrieved party. Notice
served by certified mail shall be deemed complete on the
business day following the date of such mailing. The Board
shall conduct all requested hearings promptly and in
reasonable order;
(2) To conduct all hearings pertaining to civil
violations of this Act or rules and regulations promulgated
hereunder;
(3) To promulgate such rules and regulations as in its
judgment may be necessary to protect or enhance the
credibility and integrity of gambling operations
authorized by this Act and the regulatory process
hereunder;
(4) To provide for the establishment and collection of
all license and registration fees and taxes imposed by this

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Act and the rules and regulations issued pursuant hereto.
All such fees and taxes shall be deposited into the State
Gaming Fund;
(5) To provide for the levy and collection of penalties
and fines for the violation of provisions of this Act and
the rules and regulations promulgated hereunder. All such
fines and penalties shall be deposited into the Education
Assistance Fund, created by Public Act 86-0018, of the
State of Illinois;
(6) To be present through its inspectors and agents any
time gambling operations are conducted on any riverboat for
the purpose of certifying the revenue thereof, receiving
complaints from the public, and conducting such other
investigations into the conduct of the gambling games and
the maintenance of the equipment as from time to time the
Board may deem necessary and proper;
(7) To review and rule upon any complaint by a licensee
regarding any investigative procedures of the State which
are unnecessarily disruptive of gambling operations. The
need to inspect and investigate shall be presumed at all
times. The disruption of a licensee's operations shall be
proved by clear and convincing evidence, and establish
that: (A) the procedures had no reasonable law enforcement
purposes, and (B) the procedures were so disruptive as to
unreasonably inhibit gambling operations;
(8) To hold at least one meeting each quarter of the

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fiscal year. In addition, special meetings may be called by
the Chairman or any 2 Board members upon 72 hours written
notice to each member. All Board meetings shall be subject
to the Open Meetings Act. Three members of the Board shall
constitute a quorum, and 3 votes shall be required for any
final determination by the Board. The Board shall keep a
complete and accurate record of all its meetings. A
majority of the members of the Board shall constitute a
quorum for the transaction of any business, for the
performance of any duty, or for the exercise of any power
which this Act requires the Board members to transact,
perform or exercise en banc, except that, upon order of the
Board, one of the Board members or an administrative law
judge designated by the Board may conduct any hearing
provided for under this Act or by Board rule and may
recommend findings and decisions to the Board. The Board
member or administrative law judge conducting such hearing
shall have all powers and rights granted to the Board in
this Act. The record made at the time of the hearing shall
be reviewed by the Board, or a majority thereof, and the
findings and decision of the majority of the Board shall
constitute the order of the Board in such case;
(9) To maintain records which are separate and distinct
from the records of any other State board or commission.
Such records shall be available for public inspection and
shall accurately reflect all Board proceedings;

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(10) To file a written annual report with the Governor
on or before July 1 March 1 each year and such additional
reports as the Governor may request. The annual report
shall include a statement of receipts and disbursements by
the Board, actions taken by the Board, and any additional
information and recommendations which the Board may deem
valuable or which the Governor may request;
(11) (Blank);
(12) (Blank);
(13) To assume responsibility for administration and
enforcement of the Video Gaming Act; and
(14) To adopt, by rule, a code of conduct governing
Board members and employees that ensure, to the maximum
extent possible, that persons subject to this Code avoid
situations, relationships, or associations that may
represent or lead to a conflict of interest.
(c) The Board shall have jurisdiction over and shall
supervise all gambling operations governed by this Act. The
Board shall have all powers necessary and proper to fully and
effectively execute the provisions of this Act, including, but
not limited to, the following:
(1) To investigate applicants and determine the
eligibility of applicants for licenses and to select among
competing applicants the applicants which best serve the
interests of the citizens of Illinois.
(2) To have jurisdiction and supervision over all

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riverboat gambling operations in this State and all persons
on riverboats where gambling operations are conducted.
(3) To promulgate rules and regulations for the purpose
of administering the provisions of this Act and to
prescribe rules, regulations and conditions under which
all riverboat gambling in the State shall be conducted.
Such rules and regulations are to provide for the
prevention of practices detrimental to the public interest
and for the best interests of riverboat gambling, including
rules and regulations regarding the inspection of such
riverboats and the review of any permits or licenses
necessary to operate a riverboat under any laws or
regulations applicable to riverboats, and to impose
penalties for violations thereof.
(4) To enter the office, riverboats, facilities, or
other places of business of a licensee, where evidence of
the compliance or noncompliance with the provisions of this
Act is likely to be found.
(5) To investigate alleged violations of this Act or
the rules of the Board and to take appropriate disciplinary
action against a licensee or a holder of an occupational
license for a violation, or institute appropriate legal
action for enforcement, or both.
(6) To adopt standards for the licensing of all persons
under this Act, as well as for electronic or mechanical
gambling games, and to establish fees for such licenses.

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(7) To adopt appropriate standards for all riverboats
and facilities.
(8) To require that the records, including financial or
other statements of any licensee under this Act, shall be
kept in such manner as prescribed by the Board and that any
such licensee involved in the ownership or management of
gambling operations submit to the Board an annual balance
sheet and profit and loss statement, list of the
stockholders or other persons having a 1% or greater
beneficial interest in the gambling activities of each
licensee, and any other information the Board deems
necessary in order to effectively administer this Act and
all rules, regulations, orders and final decisions
promulgated under this Act.
(9) To conduct hearings, issue subpoenas for the
attendance of witnesses and subpoenas duces tecum for the
production of books, records and other pertinent documents
in accordance with the Illinois Administrative Procedure
Act, and to administer oaths and affirmations to the
witnesses, when, in the judgment of the Board, it is
necessary to administer or enforce this Act or the Board
rules.
(10) To prescribe a form to be used by any licensee
involved in the ownership or management of gambling
operations as an application for employment for their
employees.

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(11) To revoke or suspend licenses, as the Board may
see fit and in compliance with applicable laws of the State
regarding administrative procedures, and to review
applications for the renewal of licenses. The Board may
suspend an owners license, without notice or hearing upon a
determination that the safety or health of patrons or
employees is jeopardized by continuing a riverboat's
operation. The suspension may remain in effect until the
Board determines that the cause for suspension has been
abated. The Board may revoke the owners license upon a
determination that the owner has not made satisfactory
progress toward abating the hazard.
(12) To eject or exclude or authorize the ejection or
exclusion of, any person from riverboat gambling
facilities where such person is in violation of this Act,
rules and regulations thereunder, or final orders of the
Board, or where such person's conduct or reputation is such
that his presence within the riverboat gambling facilities
may, in the opinion of the Board, call into question the
honesty and integrity of the gambling operations or
interfere with orderly conduct thereof; provided that the
propriety of such ejection or exclusion is subject to
subsequent hearing by the Board.
(13) To require all licensees of gambling operations to
utilize a cashless wagering system whereby all players'
money is converted to tokens, electronic cards, or chips

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which shall be used only for wagering in the gambling
establishment.
(14) (Blank).
(15) To suspend, revoke or restrict licenses, to
require the removal of a licensee or an employee of a
licensee for a violation of this Act or a Board rule or for
engaging in a fraudulent practice, and to impose civil
penalties of up to $5,000 against individuals and up to
$10,000 or an amount equal to the daily gross receipts,
whichever is larger, against licensees for each violation
of any provision of the Act, any rules adopted by the
Board, any order of the Board or any other action which, in
the Board's discretion, is a detriment or impediment to
riverboat gambling operations, provided that these
limitations on civil penalties shall not apply to civil
penalties assessed under the Video Gaming Act.
(16) To hire employees to gather information, conduct
investigations and carry out any other tasks contemplated
under this Act.
(17) To establish minimum levels of insurance to be
maintained by licensees.
(18) To authorize a licensee to sell or serve alcoholic
liquors, wine or beer as defined in the Liquor Control Act
of 1934 on board a riverboat and to have exclusive
authority to establish the hours for sale and consumption
of alcoholic liquor on board a riverboat, notwithstanding

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any provision of the Liquor Control Act of 1934 or any
local ordinance, and regardless of whether the riverboat
makes excursions. The establishment of the hours for sale
and consumption of alcoholic liquor on board a riverboat is
an exclusive power and function of the State. A home rule
unit may not establish the hours for sale and consumption
of alcoholic liquor on board a riverboat. This amendatory
Act of 1991 is a denial and limitation of home rule powers
and functions under subsection (h) of Section 6 of Article
VII of the Illinois Constitution.
(19) After consultation with the U.S. Army Corps of
Engineers, to establish binding emergency orders upon the
concurrence of a majority of the members of the Board
regarding the navigability of water, relative to
excursions, in the event of extreme weather conditions,
acts of God or other extreme circumstances.
(20) To delegate the execution of any of its powers
under this Act for the purpose of administering and
enforcing this Act and its rules and regulations hereunder.
(20.5) To approve any contract entered into on its
behalf.
(20.6) To appoint investigators to conduct
investigations, searches, seizures, arrests, and other
duties imposed under this Act, as deemed necessary by the
Board. These investigators have and may exercise all of the
rights and powers of peace officers, provided that these

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powers shall be limited to offenses or violations occurring
or committed on a riverboat or dock, as defined in
subsections (d) and (f) of Section 4, or as otherwise
provided by this Act or any other law.
(20.7) To contract with the Department of State Police
for the use of trained and qualified State police officers
and with the Department of Revenue for the use of trained
and qualified Department of Revenue investigators to
conduct investigations, searches, seizures, arrests, and
other duties imposed under this Act and to exercise all of
the rights and powers of peace officers, provided that the
powers of Department of Revenue investigators under this
subdivision (20.7) shall be limited to offenses or
violations occurring or committed on a riverboat or dock,
as defined in subsections (d) and (f) of Section 4, or as
otherwise provided by this Act or any other law. In the
event the Department of State Police or the Department of
Revenue is unable to fill contracted police or
investigative positions, the Board may appoint
investigators to fill those positions pursuant to
subdivision (20.6).
(21) To take any other action as may be reasonable or
appropriate to enforce this Act and rules and regulations
hereunder.
(d) The Board may seek and shall receive the cooperation of
the Department of State Police in conducting background

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investigations of applicants and in fulfilling its
responsibilities under this Section. Costs incurred by the
Department of State Police as a result of such cooperation
shall be paid by the Board in conformance with the requirements
of Section 2605-400 of the Department of State Police Law (20
ILCS 2605/2605-400).
(e) The Board must authorize to each investigator and to
any other employee of the Board exercising the powers of a
peace officer a distinct badge that, on its face, (i) clearly
states that the badge is authorized by the Board and (ii)
contains a unique identifying number. No other badge shall be
authorized by the Board.
(Source: P.A. 98-377, eff. 1-1-14; 98-582, eff. 8-27-13.)
(230 ILCS 10/7) (from Ch. 120, par. 2407)
Sec. 7. Owners licenses.
(a) The Board shall issue owners licenses to persons, firms
or corporations which apply for such licenses upon payment to
the Board of the non-refundable license fee set by the Board,
upon payment of a $25,000 license fee for the first year of
operation and a $5,000 license fee for each succeeding year and
upon a determination by the Board that the applicant is
eligible for an owners license pursuant to this Act and the
rules of the Board. From the effective date of this amendatory
Act of the 95th General Assembly until (i) 3 years after the
effective date of this amendatory Act of the 95th General

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Assembly, (ii) the date any organization licensee begins to
operate a slot machine or video game of chance under the
Illinois Horse Racing Act of 1975 or this Act, (iii) the date
that payments begin under subsection (c-5) of Section 13 of the
Act, or (iv) the wagering tax imposed under Section 13 of this
Act is increased by law to reflect a tax rate that is at least
as stringent or more stringent than the tax rate contained in
subsection (a-3) of Section 13, whichever occurs first, as a
condition of licensure and as an alternative source of payment
for those funds payable under subsection (c-5) of Section 13 of
the Riverboat Gambling Act, any owners licensee that holds or
receives its owners license on or after the effective date of
this amendatory Act of the 94th General Assembly, other than an
owners licensee operating a riverboat with adjusted gross
receipts in calendar year 2004 of less than $200,000,000, must
pay into the Horse Racing Equity Trust Fund, in addition to any
other payments required under this Act, an amount equal to 3%
of the adjusted gross receipts received by the owners licensee.
The payments required under this Section shall be made by the
owners licensee to the State Treasurer no later than 3:00
o'clock p.m. of the day after the day when the adjusted gross
receipts were received by the owners licensee. A person, firm
or corporation is ineligible to receive an owners license if:
(1) the person has been convicted of a felony under the
laws of this State, any other state, or the United States;
(2) the person has been convicted of any violation of

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Article 28 of the Criminal Code of 1961 or the Criminal
Code of 2012, or substantially similar laws of any other
jurisdiction;
(3) the person has submitted an application for a
license under this Act which contains false information;
(4) the person is a member of the Board;
(5) a person defined in (1), (2), (3) or (4) is an
officer, director or managerial employee of the firm or
corporation;
(6) the firm or corporation employs a person defined in
(1), (2), (3) or (4) who participates in the management or
operation of gambling operations authorized under this
Act;
(7) (blank); or
(8) a license of the person, firm or corporation issued
under this Act, or a license to own or operate gambling
facilities in any other jurisdiction, has been revoked.
The Board is expressly prohibited from making changes to
the requirement that licensees make payment into the Horse
Racing Equity Trust Fund without the express authority of the
Illinois General Assembly and making any other rule to
implement or interpret this amendatory Act of the 95th General
Assembly. For the purposes of this paragraph, "rules" is given
the meaning given to that term in Section 1-70 of the Illinois
Administrative Procedure Act.
(b) In determining whether to grant an owners license to an

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applicant, the Board shall consider:
(1) the character, reputation, experience and
financial integrity of the applicants and of any other or
separate person that either:
(A) controls, directly or indirectly, such
applicant, or
(B) is controlled, directly or indirectly, by such
applicant or by a person which controls, directly or
indirectly, such applicant;
(2) the facilities or proposed facilities for the
conduct of riverboat gambling;
(3) the highest prospective total revenue to be derived
by the State from the conduct of riverboat gambling;
(4) the extent to which the ownership of the applicant
reflects the diversity of the State by including minority
persons, women, and persons with a disability and the good
faith affirmative action plan of each applicant to recruit,
train and upgrade minority persons, women, and persons with
a disability in all employment classifications;
(4.5) the extent to which the ownership of the
applicant includes veterans of service in the armed forces
of the United States, and the good faith affirmative action
plan of each applicant to recruit, train, and upgrade
veterans of service in the armed forces of the United
States in all employment classifications;
(5) the financial ability of the applicant to purchase

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and maintain adequate liability and casualty insurance;
(6) whether the applicant has adequate capitalization
to provide and maintain, for the duration of a license, a
riverboat;
(7) the extent to which the applicant exceeds or meets
other standards for the issuance of an owners license which
the Board may adopt by rule; and
(8) The amount of the applicant's license bid.
(c) Each owners license shall specify the place where
riverboats shall operate and dock.
(d) Each applicant shall submit with his application, on
forms provided by the Board, 2 sets of his fingerprints.
(e) The Board may issue up to 10 licenses authorizing the
holders of such licenses to own riverboats. In the application
for an owners license, the applicant shall state the dock at
which the riverboat is based and the water on which the
riverboat will be located. The Board shall issue 5 licenses to
become effective not earlier than January 1, 1991. Three of
such licenses shall authorize riverboat gambling on the
Mississippi River, or, with approval by the municipality in
which the riverboat was docked on August 7, 2003 and with Board
approval, be authorized to relocate to a new location, in a
municipality that (1) borders on the Mississippi River or is
within 5 miles of the city limits of a municipality that
borders on the Mississippi River and (2), on August 7, 2003,
had a riverboat conducting riverboat gambling operations

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pursuant to a license issued under this Act; one of which shall
authorize riverboat gambling from a home dock in the city of
East St. Louis. One other license shall authorize riverboat
gambling on the Illinois River south of Marshall County. The
Board shall issue one additional license to become effective
not earlier than March 1, 1992, which shall authorize riverboat
gambling on the Des Plaines River in Will County. The Board may
issue 4 additional licenses to become effective not earlier
than March 1, 1992. In determining the water upon which
riverboats will operate, the Board shall consider the economic
benefit which riverboat gambling confers on the State, and
shall seek to assure that all regions of the State share in the
economic benefits of riverboat gambling.
In granting all licenses, the Board may give favorable
consideration to economically depressed areas of the State, to
applicants presenting plans which provide for significant
economic development over a large geographic area, and to
applicants who currently operate non-gambling riverboats in
Illinois. The Board shall review all applications for owners
licenses, and shall inform each applicant of the Board's
decision. The Board may grant an owners license to an applicant
that has not submitted the highest license bid, but if it does
not select the highest bidder, the Board shall issue a written
decision explaining why another applicant was selected and
identifying the factors set forth in this Section that favored
the winning bidder.

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In addition to any other revocation powers granted to the
Board under this Act, the Board may revoke the owners license
of a licensee which fails to begin conducting gambling within
15 months of receipt of the Board's approval of the application
if the Board determines that license revocation is in the best
interests of the State.
(f) The first 10 owners licenses issued under this Act
shall permit the holder to own up to 2 riverboats and equipment
thereon for a period of 3 years after the effective date of the
license. Holders of the first 10 owners licenses must pay the
annual license fee for each of the 3 years during which they
are authorized to own riverboats.
(g) Upon the termination, expiration, or revocation of each
of the first 10 licenses, which shall be issued for a 3 year
period, all licenses are renewable annually upon payment of the
fee and a determination by the Board that the licensee
continues to meet all of the requirements of this Act and the
Board's rules. However, for licenses renewed on or after May 1,
1998, renewal shall be for a period of 4 years, unless the
Board sets a shorter period.
(h) An owners license shall entitle the licensee to own up
to 2 riverboats. A licensee shall limit the number of gambling
participants to 1,200 for any such owners license. A licensee
may operate both of its riverboats concurrently, provided that
the total number of gambling participants on both riverboats
does not exceed 1,200. Riverboats licensed to operate on the

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Mississippi River and the Illinois River south of Marshall
County shall have an authorized capacity of at least 500
persons. Any other riverboat licensed under this Act shall have
an authorized capacity of at least 400 persons.
(i) A licensed owner is authorized to apply to the Board
for and, if approved therefor, to receive all licenses from the
Board necessary for the operation of a riverboat, including a
liquor license, a license to prepare and serve food for human
consumption, and other necessary licenses. All use, occupation
and excise taxes which apply to the sale of food and beverages
in this State and all taxes imposed on the sale or use of
tangible personal property apply to such sales aboard the
riverboat.
(j) The Board may issue or re-issue a license authorizing a
riverboat to dock in a municipality or approve a relocation
under Section 11.2 only if, prior to the issuance or
re-issuance of the license or approval, the governing body of
the municipality in which the riverboat will dock has by a
majority vote approved the docking of riverboats in the
municipality. The Board may issue or re-issue a license
authorizing a riverboat to dock in areas of a county outside
any municipality or approve a relocation under Section 11.2
only if, prior to the issuance or re-issuance of the license or
approval, the governing body of the county has by a majority
vote approved of the docking of riverboats within such areas.
(Source: P.A. 100-391, eff. 8-25-17.)

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(230 ILCS 10/7.6)
Sec. 7.6. Business enterprise program.
(a) For the purposes of this Section, the terms "minority",
"minority-owned business", "woman", "women-owned business",
"person with a disability", and "business owned by a person
with a disability" have the meanings ascribed to them in the
Business Enterprise for Minorities, Women, and Persons with
Disabilities Act.
(b) The Board shall, by rule, establish goals for the award
of contracts by each owners licensee to businesses owned by
minorities, women, and persons with disabilities, expressed as
percentages of an owners licensee's total dollar amount of
contracts awarded during each calendar year. Each owners
licensee must make every effort to meet the goals established
by the Board pursuant to this Section. When setting the goals
for the award of contracts, the Board shall not include
contracts where: (1) any purchasing mandates would be dependent
upon the availability of minority-owned businesses,
women-owned businesses, and businesses owned by persons with
disabilities ready, willing, and able with capacity to provide
quality goods and services to a gaming operation at reasonable
prices; (2) there are no or a limited number of licensed
suppliers as defined by this Act for the goods or services
provided to the licensee; (3) the licensee or its parent
company owns a company that provides the goods or services; or

10000SB3387sam001 - 25 - LRB100 19071 SMS 38007 a
(4) the goods or services are provided to the licensee by a
publicly traded company.
(c) Each owners licensee shall file with the Board an
annual report of its utilization of minority-owned businesses,
women-owned businesses, and businesses owned by persons with
disabilities during the preceding calendar year. The reports
shall include a self-evaluation of the efforts of the owners
licensee to meet its goals under this Section.
(c-5) The Board shall, by rule, establish goals for the
award of contracts by each owners licensee to businesses owned
by veterans of service in the armed forces of the United
States, expressed as percentages of an owners licensee's total
dollar amount of contracts awarded during each calendar year.
When setting the goals for the award of contracts, the Board
shall not include contracts where: (1) any purchasing mandates
would be dependent upon the availability of veteran-owned
businesses ready, willing, and able with capacity to provide
quality goods and services to a gaming operation at reasonable
prices; (2) there are no or a limited number of licensed
suppliers as defined in this Act for the goods or services
provided to the licensee: (3) the licensee or its parent
company owns a company that provides the goods or services; or
(4) the goods or services are provided to the licensee by a
publicly traded company.
Each owners licensee shall file with the Board an annual
report of its utilization of veteran-owned businesses during

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the preceding calendar year. The reports shall include a
self-evaluation of the efforts of the owners licensee to meet
its goals under this Section.
(d) The owners licensee shall have the right to request a
waiver from the requirements of this Section. The Board shall
grant the waiver where the owners licensee demonstrates that
there has been made a good faith effort to comply with the
goals for participation by minority-owned businesses,
women-owned businesses, and businesses owned by persons with
disabilities, and veteran-owned businesses.
(e) If the Board determines that its goals and policies are
not being met by any owners licensee, then the Board may:
(1) adopt remedies for such violations; and
(2) recommend that the owners licensee provide
additional opportunities for participation by
minority-owned businesses, women-owned businesses, and
businesses owned by persons with disabilities, and
veteran-owned businesses; such recommendations may
include, but shall not be limited to:
(A) assurances of stronger and better focused
solicitation efforts to obtain more minority-owned
businesses, women-owned businesses, and businesses
owned by persons with disabilities, and veteran-owned
businesses as potential sources of supply;
(B) division of job or project requirements, when
economically feasible, into tasks or quantities to

10000SB3387sam001 - 27 - LRB100 19071 SMS 38007 a
permit participation of minority-owned businesses,
women-owned businesses, and businesses owned by
persons with disabilities, and veteran-owned
businesses;
(C) elimination of extended experience or
capitalization requirements, when programmatically
feasible, to permit participation of minority-owned
businesses, women-owned businesses, and businesses
owned by persons with disabilities, and veteran-owned
businesses;
(D) identification of specific proposed contracts
as particularly attractive or appropriate for
participation by minority-owned businesses,
women-owned businesses, and businesses owned by
persons with disabilities, and veteran-owned
businesses, such identification to result from and be
coupled with the efforts of items (A) through (C); and
(E) implementation of regulations established for
the use of the sheltered market process.
(f) The Board shall file, no later than March 1 of each
year, an annual report that shall detail the level of
achievement toward the goals specified in this Section over the
3 most recent fiscal years. The annual report shall include,
but need not be limited to:
(1) a summary detailing expenditures subject to the
goals, the actual goals specified, and the goals attained

10000SB3387sam001 - 28 - LRB100 19071 SMS 38007 a
by each owners licensee; and
(2) an analysis of the level of overall goal
achievement concerning purchases from minority-owned
businesses, women-owned businesses, and businesses owned
by persons with disabilities, and veteran-owned
businesses.
(Source: P.A. 99-78, eff. 7-20-15; 100-391, eff. 8-25-17.)
Section 10. The Video Gaming Act is amended by changing
Sections 25, 45, and 80 as follows:
(230 ILCS 40/25)
Sec. 25. Restriction of licensees.
(a) Manufacturer. A person may not be licensed as a
manufacturer of a video gaming terminal in Illinois unless the
person has a valid manufacturer's license issued under this
Act. A manufacturer may only sell video gaming terminals for
use in Illinois to persons having a valid distributor's
license.
(b) Distributor. A person may not sell, distribute, or
lease or market a video gaming terminal in Illinois unless the
person has a valid distributor's license issued under this Act.
A distributor may only sell video gaming terminals for use in
Illinois to persons having a valid distributor's or terminal
operator's license.
(c) Terminal operator. A person may not own, maintain, or

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place a video gaming terminal unless he has a valid terminal
operator's license issued under this Act. A terminal operator
may only place video gaming terminals for use in Illinois in
licensed establishments, licensed truck stop establishments,
licensed fraternal establishments, and licensed veterans
establishments. No terminal operator may give anything of
value, including but not limited to a loan or financing
arrangement, to a licensed establishment, licensed truck stop
establishment, licensed fraternal establishment, or licensed
veterans establishment as any incentive or inducement to locate
video terminals in that establishment. Of the after-tax profits
from a video gaming terminal, 50% shall be paid to the terminal
operator and 50% shall be paid to the licensed establishment,
licensed truck stop establishment, licensed fraternal
establishment, or licensed veterans establishment,
notwithstanding any agreement to the contrary. A video terminal
operator that violates one or more requirements of this
subsection is guilty of a Class 4 felony and is subject to
termination of his or her license by the Board.
(d) Licensed technician. A person may not service,
maintain, or repair a video gaming terminal in this State
unless he or she (1) has a valid technician's license issued
under this Act, (2) is a terminal operator, or (3) is employed
by a terminal operator, distributor, or manufacturer.
(d-5) Licensed terminal handler. No person, including, but
not limited to, an employee or independent contractor working

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for a manufacturer, distributor, supplier, technician, or
terminal operator licensed pursuant to this Act, shall have
possession or control of a video gaming terminal, or access to
the inner workings of a video gaming terminal, unless that
person possesses a valid terminal handler's license issued
under this Act.
(e) Licensed establishment. No video gaming terminal may be
placed in any licensed establishment, licensed veterans
establishment, licensed truck stop establishment, or licensed
fraternal establishment unless the owner or agent of the owner
of the licensed establishment, licensed veterans
establishment, licensed truck stop establishment, or licensed
fraternal establishment has entered into a written use
agreement with the terminal operator for placement of the
terminals. A copy of the use agreement shall be on file in the
terminal operator's place of business and available for
inspection by individuals authorized by the Board. A licensed
establishment, licensed truck stop establishment, licensed
veterans establishment, or licensed fraternal establishment
may operate up to 5 video gaming terminals on its premises at
any time.
(f) (Blank).
(g) Financial interest restrictions. As used in this Act,
"substantial interest" in a partnership, a corporation, an
organization, an association, a business, or a limited
liability company means:

10000SB3387sam001 - 31 - LRB100 19071 SMS 38007 a
(A) When, with respect to a sole proprietorship, an
individual or his or her spouse owns, operates, manages, or
conducts, directly or indirectly, the organization,
association, or business, or any part thereof; or
(B) When, with respect to a partnership, the individual
or his or her spouse shares in any of the profits, or
potential profits, of the partnership activities; or
(C) When, with respect to a corporation, an individual
or his or her spouse is an officer or director, or the
individual or his or her spouse is a holder, directly or
beneficially, of 5% or more of any class of stock of the
corporation; or
(D) When, with respect to an organization not covered
in (A), (B) or (C) above, an individual or his or her
spouse is an officer or manages the business affairs, or
the individual or his or her spouse is the owner of or
otherwise controls 10% or more of the assets of the
organization; or
(E) When an individual or his or her spouse furnishes
5% or more of the capital, whether in cash, goods, or
services, for the operation of any business, association,
or organization during any calendar year; or
(F) When, with respect to a limited liability company,
an individual or his or her spouse is a member, or the
individual or his or her spouse is a holder, directly or
beneficially, of 5% or more of the membership interest of

10000SB3387sam001 - 32 - LRB100 19071 SMS 38007 a
the limited liability company.
For purposes of this subsection (g), "individual" includes
all individuals or their spouses whose combined interest would
qualify as a substantial interest under this subsection (g) and
whose activities with respect to an organization, association,
or business are so closely aligned or coordinated as to
constitute the activities of a single entity.
(h) Location restriction. A licensed establishment,
licensed truck stop establishment, licensed fraternal
establishment, or licensed veterans establishment that is (i)
located within 1,000 feet of a facility operated by an
organization licensee licensed under the Illinois Horse Racing
Act of 1975 or the home dock of a riverboat licensed under the
Riverboat Gambling Act or (ii) located within 100 feet of a
school or a place of worship under the Religious Corporation
Act, is ineligible to operate a video gaming terminal. The
location restrictions in this subsection (h) do not apply if
(A) a facility operated by an organization licensee, a school,
or a place of worship moves to or is established within the
restricted area after a licensed establishment, licensed truck
stop establishment, licensed fraternal establishment, or
licensed veterans establishment becomes licensed under this
Act or (B) a school or place of worship moves to or is
established within the restricted area after a licensed
establishment, licensed truck stop establishment, licensed
fraternal establishment, or licensed veterans establishment

10000SB3387sam001 - 33 - LRB100 19071 SMS 38007 a
obtains its original liquor license. For the purpose of this
subsection, "school" means an elementary or secondary public
school, or an elementary or secondary private school registered
with or recognized by the State Board of Education.
Notwithstanding the provisions of this subsection (h), the
Board may waive the requirement that a licensed establishment,
licensed truck stop establishment, licensed fraternal
establishment, or licensed veterans establishment not be
located within 1,000 feet from a facility operated by an
organization licensee licensed under the Illinois Horse Racing
Act of 1975 or the home dock of a riverboat licensed under the
Riverboat Gambling Act. The Board shall not grant such waiver
if there is any common ownership or control, shared business
activity, or contractual arrangement of any type between the
establishment and the organization licensee or owners licensee
of a riverboat. The Board shall adopt rules to implement the
provisions of this paragraph.
(h-5) Restrictions on licenses in malls. The Board shall
not grant an application to become a licensed video gaming
location if the Board determines that granting the application
would more likely than not cause a terminal operator,
individually or in combination with other terminal operators,
licensed video gaming location, or other person or entity, to
operate the video gaming terminals in 2 or more licensed video
gaming locations as a single video gaming operation.
(1) In making determinations under this subsection

10000SB3387sam001 - 34 - LRB100 19071 SMS 38007 a
(h-5), factors to be considered by the Board shall include,
but not be limited to, the following:
(A) the physical aspects of the location;
(B) the ownership, control, or management of the
location;
(C) any arrangements, understandings, or
agreements, written or otherwise, among or involving
any persons or entities that involve the conducting of
any video gaming business or the sharing of costs or
revenues; and
(D) the manner in which any terminal operator or
other related entity markets, advertises, or otherwise
describes any location or locations to any other person
or entity or to the public.
(2) The Board shall presume, subject to rebuttal, that
the granting of an application to become a licensed video
gaming location within a mall will cause a terminal
operator, individually or in combination with other
persons or entities, to operate the video gaming terminals
in 2 or more licensed video gaming locations as a single
video gaming operation if the Board determines that
granting the license would create a local concentration of
licensed video gaming locations.
For the purposes of this subsection (h-5):
"Mall" means a building, or adjoining or connected
buildings, containing 4 or more separate locations.

10000SB3387sam001 - 35 - LRB100 19071 SMS 38007 a
"Video gaming operation" means the conducting of video
gaming and all related activities.
"Location" means a space within a mall containing a
separate business, a place for a separate business, or a place
subject to a separate leasing arrangement by the mall owner.
"Licensed video gaming location" means a licensed
establishment, licensed fraternal establishment, licensed
veterans establishment, or licensed truck stop.
"Local concentration of licensed video gaming locations"
means that the combined number of licensed video gaming
locations within a mall exceed half of the separate locations
within the mall.
(i) Undue economic concentration. In addition to
considering all other requirements under this Act, in deciding
whether to approve the operation of video gaming terminals by a
terminal operator in a location, the Board shall consider the
impact of any economic concentration of such operation of video
gaming terminals. The Board shall not allow a terminal operator
to operate video gaming terminals if the Board determines such
operation will result in undue economic concentration. For
purposes of this Section, "undue economic concentration" means
that a terminal operator would have such actual or potential
influence over video gaming terminals in Illinois as to:
(1) substantially impede or suppress competition among
terminal operators;
(2) adversely impact the economic stability of the

10000SB3387sam001 - 36 - LRB100 19071 SMS 38007 a
video gaming industry in Illinois; or
(3) negatively impact the purposes of the Video Gaming
Act.
The Board shall adopt rules concerning undue economic
concentration with respect to the operation of video gaming
terminals in Illinois. The rules shall include, but not be
limited to, (i) limitations on the number of video gaming
terminals operated by any terminal operator within a defined
geographic radius and (ii) guidelines on the discontinuation of
operation of any such video gaming terminals the Board
determines will cause undue economic concentration.
(j) The provisions of the Illinois Antitrust Act are fully
and equally applicable to the activities of any licensee under
this Act.
(Source: P.A. 97-333, eff. 8-12-11; 98-31, eff. 6-24-13; 98-77,
eff. 7-15-13; 98-112, eff. 7-26-13; 98-756, eff. 7-16-14.)
(230 ILCS 40/45)
Sec. 45. Issuance of license.
(a) The burden is upon each applicant to demonstrate his
suitability for licensure. Each video gaming terminal
manufacturer, distributor, supplier, operator, handler,
licensed establishment, licensed truck stop establishment,
licensed fraternal establishment, and licensed veterans
establishment shall be licensed by the Board. The Board may
issue or deny a license under this Act to any person pursuant

10000SB3387sam001 - 37 - LRB100 19071 SMS 38007 a
to the same criteria set forth in Section 9 of the Riverboat
Gambling Act.
(a-5) The Board shall not grant a license to a person who
has facilitated, enabled, or participated in the use of
coin-operated devices for gambling purposes or who is under the
significant influence or control of such a person. For the
purposes of this Act, "facilitated, enabled, or participated in
the use of coin-operated amusement devices for gambling
purposes" means that the person has been convicted of any
violation of Article 28 of the Criminal Code of 1961 or the
Criminal Code of 2012. If there is pending legal action against
a person for any such violation, then the Board shall delay the
licensure of that person until the legal action is resolved.
(b) Each person seeking and possessing a license as a video
gaming terminal manufacturer, distributor, supplier, operator,
handler, licensed establishment, licensed truck stop
establishment, licensed fraternal establishment, or licensed
veterans establishment shall submit to a background
investigation conducted by the Board with the assistance of the
State Police or other law enforcement. To the extent that the
corporate structure of the applicant allows, the background
investigation shall include any or all of the following as the
Board deems appropriate or as provided by rule for each
category of licensure: (i) each beneficiary of a trust, (ii)
each partner of a partnership, (iii) each member of a limited
liability company, (iv) each director and officer of a publicly

10000SB3387sam001 - 38 - LRB100 19071 SMS 38007 a
or non-publicly held corporation, (v) each stockholder of a
non-publicly held corporation, (vi) each stockholder of 5% or
more of a publicly held corporation, or (vii) each stockholder
of 5% or more in a parent or subsidiary corporation.
(c) Each person seeking and possessing a license as a video
gaming terminal manufacturer, distributor, supplier, operator,
handler, licensed establishment, licensed truck stop
establishment, licensed fraternal establishment, or licensed
veterans establishment shall disclose the identity of every
person, association, trust, corporation, or limited liability
company having a greater than 1% direct or indirect pecuniary
interest in the video gaming terminal operation for which the
license is sought. If the disclosed entity is a trust, the
application shall disclose the names and addresses of the
beneficiaries; if a corporation, the names and addresses of all
stockholders and directors; if a limited liability company, the
names and addresses of all members; or if a partnership, the
names and addresses of all partners, both general and limited.
(d) No person may be licensed as a video gaming terminal
manufacturer, distributor, supplier, operator, handler,
licensed establishment, licensed truck stop establishment,
licensed fraternal establishment, or licensed veterans
establishment if that person has been found by the Board to:
(1) have a background, including a criminal record,
reputation, habits, social or business associations, or
prior activities that pose a threat to the public interests

10000SB3387sam001 - 39 - LRB100 19071 SMS 38007 a
of the State or to the security and integrity of video
gaming;
(2) create or enhance the dangers of unsuitable,
unfair, or illegal practices, methods, and activities in
the conduct of video gaming; or
(3) present questionable business practices and
financial arrangements incidental to the conduct of video
gaming activities.
(e) Any applicant for any license under this Act has the
burden of proving his or her qualifications to the satisfaction
of the Board. The Board may adopt rules to establish additional
qualifications and requirements to preserve the integrity and
security of video gaming in this State.
(f) A non-refundable application fee shall be paid at the
time an application for a license is filed with the Board in
the following amounts:
(1) Manufacturer..........................$5,000
(2) Distributor...........................$5,000
(3) Terminal operator.....................$5,000
(4) Supplier..............................$2,500
(5) Technician..............................$100
(6) Terminal Handler.....................$100 $50
(7) Licensed establishment, licensed truck stop
establishment, licensed fraternal establishment,
or licensed veterans establishment...................$100
(g) The Board shall establish an annual fee for each

10000SB3387sam001 - 40 - LRB100 19071 SMS 38007 a
license not to exceed the following:
(1) Manufacturer.........................$10,000
(2) Distributor..........................$10,000
(3) Terminal operator.....................$5,000
(4) Supplier..............................$2,000
(5) Technician..............................$100
(6) Licensed establishment, licensed truck stop
establishment, licensed fraternal establishment,
or licensed veterans establishment..............$100
(7) Video gaming terminal...................$100
(8) Terminal Handler.........................$100 $50
(h) A terminal operator and a licensed establishment,
licensed truck stop establishment, licensed fraternal
establishment, or licensed veterans establishment shall
equally split the fees specified in item (7) of subsection (g).
(Source: P.A. 97-1150, eff. 1-25-13; 98-31, eff. 6-24-13;
98-587, eff. 8-27-13; 98-756, eff. 7-16-14.)
(230 ILCS 40/80)
Sec. 80. Applicability of Illinois Riverboat Gambling Act.
The provisions of the Illinois Riverboat Gambling Act, and all
rules promulgated thereunder, shall apply to the Video Gaming
Act, except where there is a conflict between the 2 Acts. All
current supplier licensees under the Riverboat Gambling Act
shall be entitled to licensure under the Video Gaming Act as
manufacturers, distributors, or suppliers without additional

10000SB3387sam001 - 41 - LRB100 19071 SMS 38007 a
Board investigation or approval, except by vote of the Board;
however, they are required to pay application and annual fees
under this Act. All provisions of the Uniform Penalty and
Interest Act shall apply, as far as practicable, to the subject
matter of this Act to the same extent as if such provisions
were included herein.
(Source: P.A. 96-37, eff. 7-13-09.)".