|
| | 99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB1396 Introduced , by Rep. Thaddeus Jones SYNOPSIS AS INTRODUCED:
|
| |
Amends the Video Gaming Act. Provides that establishments within 100 feet of a grocery store, a day care center, or a day care home are ineligible to operate video gaming terminals.
| |
| | |
| | A BILL FOR |
|
|
| | HB1396 | | LRB099 06188 MLM 26247 b |
|
|
| 1 | | AN ACT concerning gaming.
|
| 2 | | Be it enacted by the People of the State of Illinois,
|
| 3 | | represented in the General Assembly:
|
| 4 | | Section 5. The Video Gaming
Act is amended by changing |
| 5 | | Section 25 as follows:
|
| 6 | | (230 ILCS 40/25)
|
| 7 | | Sec. 25. Restriction of licensees.
|
| 8 | | (a) Manufacturer. A person may not be licensed as a |
| 9 | | manufacturer of a
video gaming terminal in Illinois unless the |
| 10 | | person has a valid
manufacturer's license issued
under this |
| 11 | | Act. A manufacturer may only sell video gaming terminals for |
| 12 | | use
in Illinois to
persons having a valid distributor's |
| 13 | | license.
|
| 14 | | (b) Distributor. A person may not sell, distribute, or |
| 15 | | lease
or market a video gaming terminal in Illinois unless the |
| 16 | | person has a valid
distributor's
license issued under this Act. |
| 17 | | A distributor may only sell video gaming
terminals for use in
|
| 18 | | Illinois to persons having a valid distributor's or terminal |
| 19 | | operator's
license.
|
| 20 | | (c) Terminal operator. A person may not own, maintain, or |
| 21 | | place a video gaming terminal unless he has a valid terminal |
| 22 | | operator's
license issued
under this Act. A terminal operator |
| 23 | | may only place video gaming terminals for
use in
Illinois in |
|
| | HB1396 | - 2 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | licensed establishments, licensed truck stop establishments, |
| 2 | | licensed fraternal establishments,
and
licensed veterans |
| 3 | | establishments.
No terminal operator may give anything of |
| 4 | | value, including but not limited to
a loan or financing |
| 5 | | arrangement, to a licensed establishment, licensed truck stop |
| 6 | | establishment,
licensed fraternal establishment, or licensed |
| 7 | | veterans establishment as
any incentive or inducement to locate |
| 8 | | video terminals in that establishment.
Of the after-tax profits
|
| 9 | | from a video gaming terminal, 50% shall be paid to the terminal
|
| 10 | | operator and 50% shall be paid to the licensed establishment, |
| 11 | | licensed truck stop establishment,
licensed fraternal |
| 12 | | establishment, or
licensed veterans establishment, |
| 13 | | notwithstanding any agreement to the contrary.
A video terminal |
| 14 | | operator that violates one or more requirements of this |
| 15 | | subsection is guilty of a Class 4 felony and is subject to |
| 16 | | termination of his or her license by the Board.
|
| 17 | | (d) Licensed technician. A person may not service, |
| 18 | | maintain, or repair a
video gaming terminal
in this State |
| 19 | | unless he or she (1) has a valid technician's license issued
|
| 20 | | under this Act, (2) is a terminal operator, or (3) is employed |
| 21 | | by a terminal
operator, distributor, or manufacturer.
|
| 22 | | (d-5) Licensed terminal handler. No person, including, but |
| 23 | | not limited to, an employee or independent contractor working |
| 24 | | for a manufacturer, distributor, supplier, technician, or |
| 25 | | terminal operator licensed pursuant to this Act, shall have |
| 26 | | possession or control of a video gaming terminal, or access to |
|
| | HB1396 | - 3 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | the inner workings of a video gaming terminal, unless that |
| 2 | | person possesses a valid terminal handler's license issued |
| 3 | | under this Act. |
| 4 | | (e) Licensed establishment. No video gaming terminal may be |
| 5 | | placed in any licensed establishment, licensed veterans |
| 6 | | establishment, licensed truck stop establishment,
or licensed |
| 7 | | fraternal establishment
unless the owner
or agent of the owner |
| 8 | | of the licensed establishment, licensed veterans |
| 9 | | establishment, licensed truck stop establishment, or licensed
|
| 10 | | fraternal establishment has entered into a
written use |
| 11 | | agreement with the terminal operator for placement of the
|
| 12 | | terminals. A copy of the use agreement shall be on file in the |
| 13 | | terminal
operator's place of business and available for |
| 14 | | inspection by individuals
authorized by the Board. A licensed |
| 15 | | establishment, licensed truck stop establishment, licensed |
| 16 | | veterans establishment,
or
licensed
fraternal
establishment |
| 17 | | may operate up to 5 video gaming terminals on its premises at |
| 18 | | any
time.
|
| 19 | | (f) (Blank).
|
| 20 | | (g) Financial interest restrictions.
As used in this Act, |
| 21 | | "substantial interest" in a partnership, a corporation, an
|
| 22 | | organization, an association, a business, or a limited |
| 23 | | liability company means:
|
| 24 | | (A) When, with respect to a sole proprietorship, an |
| 25 | | individual or
his or her spouse owns, operates, manages, or |
| 26 | | conducts, directly
or indirectly, the organization, |
|
| | HB1396 | - 4 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | association, or business, or any part thereof;
or
|
| 2 | | (B) When, with respect to a partnership, the individual |
| 3 | | or his or
her spouse shares in any of the profits, or |
| 4 | | potential profits,
of the partnership activities; or
|
| 5 | | (C) When, with respect to a corporation, an individual |
| 6 | | or his or her
spouse is an officer or director, or the |
| 7 | | individual or his or her spouse is a holder, directly or |
| 8 | | beneficially, of 5% or more of any class
of stock of the |
| 9 | | corporation; or
|
| 10 | | (D) When, with respect to an organization not covered |
| 11 | | in (A), (B) or
(C) above, an individual or his or her |
| 12 | | spouse is an officer or manages the
business affairs, or |
| 13 | | the individual or his or her spouse is the
owner of or |
| 14 | | otherwise controls 10% or more of the assets of the |
| 15 | | organization;
or
|
| 16 | | (E) When an individual or his or her spouse furnishes
|
| 17 | | 5% or more of the capital, whether in cash, goods, or |
| 18 | | services, for the
operation of any business, association, |
| 19 | | or organization during any calendar
year; or |
| 20 | | (F) When, with respect to a limited liability company, |
| 21 | | an individual or his or her
spouse is a member, or the |
| 22 | | individual or his or her spouse is a holder, directly or |
| 23 | | beneficially, of 5% or more of the membership interest of |
| 24 | | the limited liability company.
|
| 25 | | For purposes of this subsection (g), "individual" includes |
| 26 | | all individuals or their spouses whose combined interest would |
|
| | HB1396 | - 5 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | qualify as a substantial interest under this subsection (g) and |
| 2 | | whose activities with respect to an organization, association, |
| 3 | | or business are so closely aligned or coordinated as to |
| 4 | | constitute the activities of a single entity. |
| 5 | | (h) Location restriction. A licensed establishment, |
| 6 | | licensed truck stop establishment, licensed
fraternal
|
| 7 | | establishment, or licensed veterans establishment that is (i) |
| 8 | | located within 1,000
feet of a facility operated by an |
| 9 | | organization licensee licensed under the Illinois Horse Racing |
| 10 | | Act of 1975 or the home dock of a riverboat licensed under the |
| 11 | | Riverboat
Gambling Act or (ii) located within 100 feet of a |
| 12 | | school, a grocery store, a day care center or a day care home |
| 13 | | as defined by the Child Care Act of 1969, or a place of worship |
| 14 | | under the Religious Corporation Act, is ineligible to operate a |
| 15 | | video gaming terminal. The location restrictions in this |
| 16 | | subsection (h) do not apply if (A) a facility operated by an |
| 17 | | organization licensee, a school, or a place of worship moves to |
| 18 | | or is established within the restricted area after a licensed |
| 19 | | establishment, licensed truck stop establishment, licensed |
| 20 | | fraternal establishment, or licensed veterans establishment |
| 21 | | becomes licensed under this Act or (B) a school or place of |
| 22 | | worship moves to or is established within the restricted area |
| 23 | | after a licensed establishment, licensed truck stop |
| 24 | | establishment, licensed fraternal establishment, or licensed |
| 25 | | veterans establishment obtains its original liquor license. |
| 26 | | For the purpose of this subsection, "school" means an |
|
| | HB1396 | - 6 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | elementary or secondary public school, or an elementary or |
| 2 | | secondary private school registered with or recognized by the |
| 3 | | State Board of Education. |
| 4 | | Notwithstanding the provisions of this subsection (h), the |
| 5 | | Board may waive the requirement that a licensed establishment, |
| 6 | | licensed truck stop establishment, licensed fraternal |
| 7 | | establishment, or licensed veterans establishment not be |
| 8 | | located within 1,000 feet from a facility operated by an |
| 9 | | organization licensee licensed under the Illinois Horse Racing |
| 10 | | Act of 1975 or the home dock of a riverboat licensed under the |
| 11 | | Riverboat Gambling Act. The Board shall not grant such waiver |
| 12 | | if there is any common ownership or control, shared business |
| 13 | | activity, or contractual arrangement of any type between the |
| 14 | | establishment and the organization licensee or owners licensee |
| 15 | | of a riverboat. The Board shall adopt rules to implement the |
| 16 | | provisions of this paragraph. |
| 17 | | (i) Undue economic concentration. In addition to |
| 18 | | considering all other requirements under this Act, in deciding |
| 19 | | whether to approve the operation of video gaming terminals by a |
| 20 | | terminal operator in a location, the Board shall consider the |
| 21 | | impact of any economic concentration of such operation of video |
| 22 | | gaming terminals. The Board shall not allow a terminal operator |
| 23 | | to operate video gaming terminals if the Board determines such |
| 24 | | operation will result in undue economic concentration. For |
| 25 | | purposes of this Section, "undue economic concentration" means |
| 26 | | that a terminal operator would have such actual or potential |
|
| | HB1396 | - 7 - | LRB099 06188 MLM 26247 b |
|
|
|
| 1 | | influence over video gaming terminals in Illinois as to: |
| 2 | | (1) substantially impede or suppress competition among |
| 3 | | terminal operators; |
| 4 | | (2) adversely impact the economic stability of the |
| 5 | | video gaming industry in Illinois; or |
| 6 | | (3) negatively impact the purposes of the Video Gaming |
| 7 | | Act. |
| 8 | | The Board shall adopt rules concerning undue economic |
| 9 | | concentration with respect to the operation of video gaming |
| 10 | | terminals in Illinois. The rules shall include, but not be |
| 11 | | limited to, (i) limitations on the number of video gaming |
| 12 | | terminals operated by any terminal operator within a defined |
| 13 | | geographic radius and (ii) guidelines on the discontinuation of |
| 14 | | operation of any such video gaming terminals the Board |
| 15 | | determines will cause undue economic concentration.
|
| 16 | | (j) The provisions of the Illinois Antitrust Act are fully |
| 17 | | and equally applicable to the activities of any licensee under |
| 18 | | this Act.
|
| 19 | | (Source: P.A. 97-333, eff. 8-12-11; 98-31, eff. 6-24-13; 98-77, |
| 20 | | eff. 7-15-13; 98-112, eff. 7-26-13; 98-756, eff. 7-16-14.)
|