Bill Text: IL HB2358 | 2021-2022 | 102nd General Assembly | Introduced

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Bill Title: Amends the Illinois Gambling Act. Makes changes to Illinois Gaming Board duties regarding internal controls and data systems for casinos. Provides that a request to the Gaming Board for approval of a new data system or changes to an existing data system is required only for a data system that affects any critical gaming system of a casino. Provides that new critical data systems and changes to certain existing critical systems must be reviewed and either approved or denied with cause within 30 days after receipt by the Board. Extends and makes changes to certain construction tax credits available to owners licensees. Makes other changes.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2021-03-27 - Rule 19(a) / Re-referred to Rules Committee [HB2358 Detail]

Download: Illinois-2021-HB2358-Introduced.html

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102ND GENERAL ASSEMBLY State of Illinois 2021 and 2022 HB2358 Introduced , by Rep. Robert Rita SYNOPSIS AS INTRODUCED:
230 ILCS 10/5 from Ch. 120, par. 2405
230 ILCS 10/13 from Ch. 120, par. 2413
Amends the Illinois Gambling Act. Makes changes to Illinois Gaming Board duties regarding internal controls and data systems for casinos. Provides that a request to the Gaming Board for approval of a new data system or changes to an existing data system is required only for a data system that affects any critical gaming system of a casino. Provides that new critical data systems and changes to certain existing critical systems must be reviewed and either approved or denied with cause within 30 days after receipt by the Board. Extends and makes changes to certain construction tax credits available to owners licensees. Makes other changes.
LRB102 12583 SMS 17921 b
A BILL FOR
HB2358 LRB102 12583 SMS 17921 b
AN ACT concerning gaming.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Gambling Act is amended by
changing Sections 5 and 13 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 and casino gambling established by this Act and
gaming pursuant to an organization gaming license issued under
this Act. Its jurisdiction shall extend under this Act to
every person, association, corporation, partnership and trust
involved in riverboat and casino gambling operations and
gaming pursuant to an organization gaming license issued under
this Act in the State of Illinois.
(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 chairperson.
Each member shall have a reasonable knowledge of the practice,

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procedure and principles of gambling operations. Each member
shall either be a resident of Illinois or shall certify that he
or she will become a resident of Illinois before taking
office.
On and after the effective date of this amendatory Act of
the 101st General Assembly, new appointees to the Board must
include the following:
(A) One member who has received, at a minimum, a
bachelor's degree from an accredited school and at least
10 years of verifiable experience in the fields of
investigation and law enforcement.
(B) One member who is a certified public accountant
with experience in auditing and with knowledge of complex
corporate structures and transactions.
(C) One member who has 5 years' experience as a
principal, senior officer, or director of a company or
business with either material responsibility for the daily
operations and management of the overall company or
business or material responsibility for the policy making
of the company or business.
(D) One member who is an attorney licensed to practice
law in Illinois for at least 5 years.
Notwithstanding any provision of this subsection (a), the
requirements of subparagraphs (A) through (D) of this
paragraph (2) shall not apply to any person reappointed
pursuant to paragraph (3).

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No more than 3 members of the Board may be from the same
political party. No Board member shall, within a period of one
year immediately preceding nomination, have been employed or
received compensation or fees for services from a person or
entity, or its parent or affiliate, that has engaged in
business with the Board, a licensee, or a licensee under the
Illinois Horse Racing Act of 1975. Board members must publicly
disclose all prior affiliations with gaming interests,
including any compensation, fees, bonuses, salaries, and other
reimbursement received from a person or entity, or its parent
or affiliate, that has engaged in business with the Board, a
licensee, or a licensee under the Illinois Horse Racing Act of
1975. This disclosure must be made within 30 days after
nomination but prior to confirmation by the Senate and must be
made available to the members of the Senate.
(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

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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
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

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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
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.

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(7.5) For the examination of all mechanical,
electromechanical, or electronic table games, slot machines,
slot accounting systems, sports wagering systems, and other
electronic gaming equipment, and the field inspection of such
systems, games, and machines, for compliance with this Act,
the Board shall utilize the services of independent outside
testing laboratories that have been accredited in accordance
with ISO/IEC 17025 by an accreditation body that is a
signatory to the International Laboratory Accreditation
Cooperation Mutual Recognition Agreement signifying they are
qualified to perform such examinations. Notwithstanding any
law to the contrary, the Board shall consider the licensing of
independent outside testing laboratory applicants in
accordance with procedures established by the Board by rule.
The Board shall not withhold its approval of an independent
outside testing laboratory license applicant that has been
accredited as required under this paragraph (7.5) and is
licensed in gaming jurisdictions comparable to Illinois. Upon
the finalization of required rules, the Board shall license
independent testing laboratories and accept the test reports
of any licensed testing laboratory of the system's, game's, or
machine manufacturer's choice, notwithstanding the existence
of contracts between the Board and any independent testing
laboratory.
(8) The Board shall employ such personnel as may be
necessary to carry out its functions and shall determine the

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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. For the one year immediately preceding employment,
an employee shall not have been employed or received
compensation or fees for services from a person or entity, or
its parent or affiliate, that has engaged in business with the
Board, a licensee, or a licensee under the Illinois Horse
Racing Act of 1975. 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.
(b) The Board shall have general responsibility for the
implementation of this Act. Its duties include, without

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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 any such 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 Act and the rules and regulations issued pursuant
hereto. All such fees and taxes shall be deposited into

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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, in any casino, or at any organization gaming
facility 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

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inspection and shall accurately reflect all Board
proceedings;
(10) To file a written annual report with the Governor
on or before July 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;
(13.1) To assume responsibility for the administration
and enforcement of operations at organization gaming
facilities pursuant to this Act and the Illinois Horse
Racing Act of 1975;
(13.2) To assume responsibility for the administration
and enforcement of the Sports Wagering 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.
Internal controls and changes submitted by licensees,
other than internal controls required for initial licensure,

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must be reviewed and either approved or denied with cause
within 60 90 days after receipt of submission is deemed final
by the Illinois Gaming Board. In the event an internal control
submission or change does not meet the standards set by the
Board, staff of the Board must provide technical assistance to
the licensee to rectify such deficiencies within 30 90 days
after the initial submission and the revised submission must
be reviewed and approved or denied with cause within 30 90 days
after the date the revised submission is received deemed final
by the Board. For the purposes of this paragraph, "with cause"
means that the approval of the submission would jeopardize the
integrity of gaming. In the event the Board staff has not acted
within the timeframe, the submission shall be deemed approved.
A request for approval of a new data system or changes to
an existing data system is required only for a data system that
affects any critical gaming system of a casino. A data system
is considered to affect a critical gaming system only if the
data system has the ability to write or alter data within the
critical data system. A data system that merely receives
critical system data does not require notice or approval and
need not be provided by a licensed supplier. New critical data
systems and changes to existing critical systems, other than
those required for initial licensure, must be reviewed and
either approved or denied with cause within 30 days after
receipt by the Board. If a data system submission or change
does not meet the standards set by the Board, staff of the

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Board must provide technical assistance to the licensee to
rectify all such deficiencies within 15 days after the initial
submission, and the revised submission must be reviewed and
approved or denied with cause within 30 days after the date
that the revised submission is received by the Board.
As used in this subsection (b):
"Critical gaming system" means a licensee's casino
management system, ticket-in ticket-out voucher system, or
wagering system.
"With cause" means that the approval of the submission
would jeopardize the integrity of gaming.
If the Board staff has not acted within these timeframes,
the submission shall be deemed approved.
(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
riverboat gambling operations authorized under this Act
and all persons in places where gambling operations are
conducted.

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(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 gambling operations subject to this Act 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 organization gaming facilities, casinos, and
riverboats, and the review of any permits or licenses
necessary to operate a riverboat, casino, or organization
gaming facility under any laws or regulations applicable
to riverboats, casinos, or organization gaming facilities
and to impose penalties for violations thereof.
(4) To enter the office, riverboats, casinos,
organization gaming facilities, and other 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 and entities under this Act, as well as for

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electronic or mechanical gambling games, and to establish
fees for such licenses.
(7) To adopt appropriate standards for all
organization gaming facilities, riverboats, casinos, and
other facilities authorized under this Act.
(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

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involved in the ownership or management of gambling
operations as an application for employment for their
employees.
(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 or an organization gaming
license without notice or hearing upon a determination
that the safety or health of patrons or employees is
jeopardized by continuing a gambling operation conducted
under that license. The suspension may remain in effect
until the Board determines that the cause for suspension
has been abated. The Board may revoke an owners license or
organization gaming license upon a determination that the
licensee has not made satisfactory progress toward abating
the hazard.
(12) To eject or exclude or authorize the ejection or
exclusion of, any person from gambling facilities where
that 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
or her presence within the gambling facilities may, in the
opinion of the Board, call into question the honesty and
integrity of the gambling operations or interfere with the
orderly conduct thereof; provided that the propriety of

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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
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
gambling operations.
(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

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Control Act of 1934 on board a riverboat or in a casino and
to have exclusive authority to establish the hours for
sale and consumption of alcoholic liquor on board a
riverboat or in a casino, notwithstanding 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 or in a casino 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 or in a casino.
This subdivision (18) 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 the rules adopted by the Board.
(20.5) To approve any contract entered into on its
behalf.
(20.6) To appoint investigators to conduct

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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 powers shall be limited to offenses or violations
occurring or committed in a casino, in an organization
gaming facility, or 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 in a casino, in an
organization gaming facility, or 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

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subdivision (20.6).
(21) To adopt rules concerning the conduct of gaming
pursuant to an organization gaming license issued under
this Act.
(22) To have the same jurisdiction and supervision
over casinos and organization gaming facilities as the
Board has over riverboats, including, but not limited to,
the power to (i) investigate, review, and approve
contracts as that power is applied to riverboats, (ii)
adopt rules for administering the provisions of this Act,
(iii) adopt standards for the licensing of all persons
involved with a casino or organization gaming facility,
(iv) investigate alleged violations of this Act by any
person involved with a casino or organization gaming
facility, and (v) require that records, including
financial or other statements of any casino or
organization gaming facility, shall be kept in such manner
as prescribed by the Board.
(23) To take any other action as may be reasonable or
appropriate to enforce this Act and the rules adopted by
the Board.
(d) The Board may seek and shall receive the cooperation
of the Department of State Police in conducting background
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

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shall be paid by the Board in conformance with the
requirements of Section 2605-400 of the Department of State
Police Law.
(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. 100-1152, eff. 12-14-18; 101-31, eff. 6-28-19.)
(230 ILCS 10/13) (from Ch. 120, par. 2413)
Sec. 13. Wagering tax; rate; distribution.
(a) Until January 1, 1998, a tax is imposed on the adjusted
gross receipts received from gambling games authorized under
this Act at the rate of 20%.
(a-1) From January 1, 1998 until July 1, 2002, a privilege
tax is imposed on persons engaged in the business of
conducting riverboat gambling operations, based on the
adjusted gross receipts received by a licensed owner from
gambling games authorized under this Act at the following
rates:
15% of annual adjusted gross receipts up to and
including $25,000,000;
20% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000;

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25% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000;
30% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000;
35% of annual adjusted gross receipts in excess of
$100,000,000.
(a-2) From July 1, 2002 until July 1, 2003, a privilege tax
is imposed on persons engaged in the business of conducting
riverboat gambling operations, other than licensed managers
conducting riverboat gambling operations on behalf of the
State, based on the adjusted gross receipts received by a
licensed owner from gambling games authorized under this Act
at the following rates:
15% of annual adjusted gross receipts up to and
including $25,000,000;
22.5% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000;
27.5% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000;
32.5% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000;
37.5% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $150,000,000;
45% of annual adjusted gross receipts in excess of
$150,000,000 but not exceeding $200,000,000;
50% of annual adjusted gross receipts in excess of

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$200,000,000.
(a-3) Beginning July 1, 2003, a privilege tax is imposed
on persons engaged in the business of conducting riverboat
gambling operations, other than licensed managers conducting
riverboat gambling operations on behalf of the State, based on
the adjusted gross receipts received by a licensed owner from
gambling games authorized under this Act at the following
rates:
15% of annual adjusted gross receipts up to and
including $25,000,000;
27.5% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $37,500,000;
32.5% of annual adjusted gross receipts in excess of
$37,500,000 but not exceeding $50,000,000;
37.5% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000;
45% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000;
50% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $250,000,000;
70% of annual adjusted gross receipts in excess of
$250,000,000.
An amount equal to the amount of wagering taxes collected
under this subsection (a-3) that are in addition to the amount
of wagering taxes that would have been collected if the
wagering tax rates under subsection (a-2) were in effect shall

HB2358 - 24 - LRB102 12583 SMS 17921 b
be paid into the Common School Fund.
The privilege tax imposed under this subsection (a-3)
shall no longer be imposed beginning on the earlier of (i) July
1, 2005; (ii) the first date after June 20, 2003 that riverboat
gambling operations are conducted pursuant to a dormant
license; or (iii) the first day that riverboat gambling
operations are conducted under the authority of an owners
license that is in addition to the 10 owners licenses
initially authorized under this Act. For the purposes of this
subsection (a-3), the term "dormant license" means an owners
license that is authorized by this Act under which no
riverboat gambling operations are being conducted on June 20,
2003.
(a-4) Beginning on the first day on which the tax imposed
under subsection (a-3) is no longer imposed and ending upon
the imposition of the privilege tax under subsection (a-5) of
this Section, a privilege tax is imposed on persons engaged in
the business of conducting gambling operations, other than
licensed managers conducting riverboat gambling operations on
behalf of the State, based on the adjusted gross receipts
received by a licensed owner from gambling games authorized
under this Act at the following rates:
15% of annual adjusted gross receipts up to and
including $25,000,000;
22.5% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000;

HB2358 - 25 - LRB102 12583 SMS 17921 b
27.5% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000;
32.5% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000;
37.5% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $150,000,000;
45% of annual adjusted gross receipts in excess of
$150,000,000 but not exceeding $200,000,000;
50% of annual adjusted gross receipts in excess of
$200,000,000.
For the imposition of the privilege tax in this subsection
(a-4), amounts paid pursuant to item (1) of subsection (b) of
Section 56 of the Illinois Horse Racing Act of 1975 shall not
be included in the determination of adjusted gross receipts.
(a-5)(1) Beginning on July 1, 2020, a privilege tax is
imposed on persons engaged in the business of conducting
gambling operations, other than the owners licensee under
paragraph (1) of subsection (e-5) of Section 7 and licensed
managers conducting riverboat gambling operations on behalf of
the State, based on the adjusted gross receipts received by
such licensee from the gambling games authorized under this
Act. The privilege tax for all gambling games other than table
games, including, but not limited to, slot machines, video
game of chance gambling, and electronic gambling games shall
be at the following rates:
15% of annual adjusted gross receipts up to and

HB2358 - 26 - LRB102 12583 SMS 17921 b
including $25,000,000;
22.5% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000;
27.5% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000;
32.5% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000;
37.5% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $150,000,000;
45% of annual adjusted gross receipts in excess of
$150,000,000 but not exceeding $200,000,000;
50% of annual adjusted gross receipts in excess of
$200,000,000.
The privilege tax for table games shall be at the
following rates:
15% of annual adjusted gross receipts up to and
including $25,000,000;
20% of annual adjusted gross receipts in excess of
$25,000,000.
For the imposition of the privilege tax in this subsection
(a-5), amounts paid pursuant to item (1) of subsection (b) of
Section 56 of the Illinois Horse Racing Act of 1975 shall not
be included in the determination of adjusted gross receipts.
(2) Beginning on the first day that an owners licensee
under paragraph (1) of subsection (e-5) of Section 7 conducts
gambling operations, either in a temporary facility or a

HB2358 - 27 - LRB102 12583 SMS 17921 b
permanent facility, a privilege tax is imposed on persons
engaged in the business of conducting gambling operations
under paragraph (1) of subsection (e-5) of Section 7, other
than licensed managers conducting riverboat gambling
operations on behalf of the State, based on the adjusted gross
receipts received by such licensee from the gambling games
authorized under this Act. The privilege tax for all gambling
games other than table games, including, but not limited to,
slot machines, video game of chance gambling, and electronic
gambling games shall be at the following rates:
12% of annual adjusted gross receipts up to and
including $25,000,000 to the State and 10.5% of annual
adjusted gross receipts up to and including $25,000,000 to
the City of Chicago;
16% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000 to the State and
14% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $50,000,000 to the City of
Chicago;
20.1% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000 to the State and
17.4% of annual adjusted gross receipts in excess of
$50,000,000 but not exceeding $75,000,000 to the City of
Chicago;
21.4% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000 to the State

HB2358 - 28 - LRB102 12583 SMS 17921 b
and 18.6% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $100,000,000 to the City of
Chicago;
22.7% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $150,000,000 to the State
and 19.8% of annual adjusted gross receipts in excess of
$100,000,000 but not exceeding $150,000,000 to the City of
Chicago;
24.1% of annual adjusted gross receipts in excess of
$150,000,000 but not exceeding $225,000,000 to the State
and 20.9% of annual adjusted gross receipts in excess of
$150,000,000 but not exceeding $225,000,000 to the City of
Chicago;
26.8% of annual adjusted gross receipts in excess of
$225,000,000 but not exceeding $1,000,000,000 to the State
and 23.2% of annual adjusted gross receipts in excess of
$225,000,000 but not exceeding $1,000,000,000 to the City
of Chicago;
40% of annual adjusted gross receipts in excess of
$1,000,000,000 to the State and 34.7% of annual gross
receipts in excess of $1,000,000,000 to the City of
Chicago.
The privilege tax for table games shall be at the
following rates:
8.1% of annual adjusted gross receipts up to and
including $25,000,000 to the State and 6.9% of annual

HB2358 - 29 - LRB102 12583 SMS 17921 b
adjusted gross receipts up to and including $25,000,000 to
the City of Chicago;
10.7% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $75,000,000 to the State and
9.3% of annual adjusted gross receipts in excess of
$25,000,000 but not exceeding $75,000,000 to the City of
Chicago;
11.2% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $175,000,000 to the State
and 9.8% of annual adjusted gross receipts in excess of
$75,000,000 but not exceeding $175,000,000 to the City of
Chicago;
13.5% of annual adjusted gross receipts in excess of
$175,000,000 but not exceeding $225,000,000 to the State
and 11.5% of annual adjusted gross receipts in excess of
$175,000,000 but not exceeding $225,000,000 to the City of
Chicago;
15.1% of annual adjusted gross receipts in excess of
$225,000,000 but not exceeding $275,000,000 to the State
and 12.9% of annual adjusted gross receipts in excess of
$225,000,000 but not exceeding $275,000,000 to the City of
Chicago;
16.2% of annual adjusted gross receipts in excess of
$275,000,000 but not exceeding $375,000,000 to the State
and 13.8% of annual adjusted gross receipts in excess of
$275,000,000 but not exceeding $375,000,000 to the City of

HB2358 - 30 - LRB102 12583 SMS 17921 b
Chicago;
18.9% of annual adjusted gross receipts in excess of
$375,000,000 to the State and 16.1% of annual gross
receipts in excess of $375,000,000 to the City of Chicago.
For the imposition of the privilege tax in this subsection
(a-5), amounts paid pursuant to item (1) of subsection (b) of
Section 56 of the Illinois Horse Racing Act of 1975 shall not
be included in the determination of adjusted gross receipts.
Notwithstanding the provisions of this subsection (a-5),
for the first 10 years that the privilege tax is imposed under
this subsection (a-5), the privilege tax shall be imposed on
the modified annual adjusted gross receipts of a riverboat or
casino conducting gambling operations in the City of East St.
Louis, unless:
(1) the riverboat or casino fails to employ at least
450 people;
(2) the riverboat or casino fails to maintain
operations in a manner consistent with this Act or is not a
viable riverboat or casino subject to the approval of the
Board; or
(3) the owners licensee is not an entity in which
employees participate in an employee stock ownership plan.
As used in this subsection (a-5), "modified annual
adjusted gross receipts" means:
(A) for calendar year 2020, the annual adjusted gross
receipts for the current year minus the difference between

HB2358 - 31 - LRB102 12583 SMS 17921 b
an amount equal to the average annual adjusted gross
receipts from a riverboat or casino conducting gambling
operations in the City of East St. Louis for 2014, 2015,
2016, 2017, and 2018 and the annual adjusted gross
receipts for 2018;
(B) for calendar year 2021, the annual adjusted gross
receipts for the current year minus the difference between
an amount equal to the average annual adjusted gross
receipts from a riverboat or casino conducting gambling
operations in the City of East St. Louis for 2014, 2015,
2016, 2017, and 2018 and the annual adjusted gross
receipts for 2019; and
(C) for calendar years 2022 through 2029, the annual
adjusted gross receipts for the current year minus the
difference between an amount equal to the average annual
adjusted gross receipts from a riverboat or casino
conducting gambling operations in the City of East St.
Louis for 3 years preceding the current year and the
annual adjusted gross receipts for the immediately
preceding year.
(a-6) From June 28, 2019 (the effective date of Public Act
101-31) until June 30, 2024 2023, an owners licensee that
conducted gambling operations prior to January 1, 2011 shall
receive a dollar-for-dollar credit against the tax imposed
under this Section for any renovation or construction costs
paid by the owners licensee, but in no event shall the credit

HB2358 - 32 - LRB102 12583 SMS 17921 b
exceed $2,000,000.
Additionally, from June 28, 2019 (the effective date of
Public Act 101-31) until December 31, 2023 2022, an owners
licensee that (i) is located within 15 miles of the Missouri
border, and (ii) has at least 3 riverboats, casinos, or their
equivalent within a 45-mile radius, may be authorized to
relocate to a new location with the approval of both the unit
of local government designated as the home dock and the Board,
so long as the new location is within the same unit of local
government and no more than 3 miles away from its original
location. Such owners licensee shall receive a credit against
the tax imposed under this Section equal to 8% of the total
project costs, as approved by the Board, for any renovation or
construction costs paid by the owners licensee for the
construction of the new facility, provided that the new
facility is operational by July 1, 2022. In determining
whether or not to approve a relocation, the Board must
consider the extent to which the relocation will diminish the
gaming revenues received by other Illinois gaming facilities.
(a-7) Beginning in the initial adjustment year and through
the final adjustment year, if the total obligation imposed
pursuant to either subsection (a-5) or (a-6) will result in an
owners licensee receiving less after-tax adjusted gross
receipts than it received in calendar year 2018, then the
total amount of privilege taxes that the owners licensee is
required to pay for that calendar year shall be reduced to the

HB2358 - 33 - LRB102 12583 SMS 17921 b
extent necessary so that the after-tax adjusted gross receipts
in that calendar year equals the after-tax adjusted gross
receipts in calendar year 2018, but the privilege tax
reduction shall not exceed the annual adjustment cap. If
pursuant to this subsection (a-7), the total obligation
imposed pursuant to either subsection (a-5) or (a-6) shall be
reduced, then the owners licensee shall not receive a refund
from the State at the end of the subject calendar year but
instead shall be able to apply that amount as a credit against
any payments it owes to the State in the following calendar
year to satisfy its total obligation under either subsection
(a-5) or (a-6). The credit for the final adjustment year shall
occur in the calendar year following the final adjustment
year.
Additionally, if If an owners licensee that conducted
gambling operations prior to January 1, 2019 expands its
riverboat or casino, including, but not limited to, with
respect to its gaming floor, additional non-gaming amenities
such as restaurants, bars, and hotels and other additional
facilities, and incurs construction and other costs related to
such expansion from June 28, 2019 (the effective date of
Public Act 101-31) until June 28, 2025 2024 (the 6th 5th
anniversary of the effective date of Public Act 101-31), then
for each $15,000,000 spent for any such construction or other
costs related to expansion paid by the owners licensee, the
final adjustment year shall be extended by one year and the

HB2358 - 34 - LRB102 12583 SMS 17921 b
annual adjustment cap shall increase by 1% 0.2% of adjusted
gross receipts during each calendar year until and including
the final adjustment year. If an owners licensee does not
qualify for a credit due to reduced adjusted gross receipts,
the owners licensee shall still qualify for up to a 1%
adjustment for each $15,000,000 expended up to a total of 5%
and the owners licensee shall not receive a refund from the
State at the end of the subject calendar year but instead shall
be able to apply that amount as a credit against any payments
it owes to the State in the following calendar year. No further
modifications to the final adjustment year or annual
adjustment cap shall be made after $75,000,000 is incurred in
construction or other costs related to expansion so that the
final adjustment year shall not extend beyond the 9th calendar
year after the initial adjustment year, not including the
initial adjustment year, and the annual adjustment cap shall
not exceed 15% 4% of adjusted gross receipts in a particular
calendar year. Construction and other costs related to
expansion shall include all project related costs, including,
but not limited to, all hard and soft costs, financing costs,
on or off-site ground, road or utility work, cost of gaming
equipment and all other personal property, initial fees
assessed for each incremental gaming position, and the cost of
incremental land acquired for such expansion. Soft costs shall
include, but not be limited to, legal fees, architect,
engineering and design costs, other consultant costs,

HB2358 - 35 - LRB102 12583 SMS 17921 b
insurance cost, permitting costs, and pre-opening costs
related to the expansion, including, but not limited to, any
of the following: marketing, real estate taxes, personnel,
training, travel and out-of-pocket expenses, supply,
inventory, and other costs, and any other project related soft
costs.
To be eligible for the tax credits in subsection (a-6),
all construction contracts shall include a requirement that
the contractor enter into a project labor agreement with the
building and construction trades council with geographic
jurisdiction of the location of the proposed gaming facility.
Notwithstanding any other provision of this subsection
(a-7), this subsection (a-7) does not apply to an owners
licensee unless such owners licensee spends at least
$15,000,000 on construction and other costs related to its
expansion, excluding the initial fees assessed for each
incremental gaming position.
This subsection (a-7) does not apply to owners licensees
authorized pursuant to subsection (e-5) of Section 7 of this
Act.
For purposes of this subsection (a-7):
"Building and construction trades council" means any
organization representing multiple construction entities that
are monitoring or attentive to compliance with public or
workers' safety laws, wage and hour requirements, or other
statutory requirements or that are making or maintaining

HB2358 - 36 - LRB102 12583 SMS 17921 b
collective bargaining agreements.
"Initial adjustment year" means the year commencing on
January 1 of the calendar year immediately following the
earlier of the following:
(1) the commencement of gambling operations, either in
a temporary or permanent facility, with respect to the
owners license authorized under paragraph (1) of
subsection (e-5) of Section 7 of this Act; or
(2) June 28, 2022 (36 2021 (24 months after the
effective date of Public Act 101-31);
provided the initial adjustment year shall not commence
earlier than June 28, 2020 (12 months after the effective date
of Public Act 101-31).
"Final adjustment year" means the 5th 2nd calendar year
after the initial adjustment year, not including the initial
adjustment year, and as may be extended further as described
in this subsection (a-7).
"Annual adjustment cap" means 10% 3% of adjusted gross
receipts in a particular calendar year, and as may be
increased further as otherwise described in this subsection
(a-7).
(a-8) Riverboat gambling operations conducted by a
licensed manager on behalf of the State are not subject to the
tax imposed under this Section.
(a-9) Beginning on January 1, 2020, the calculation of
gross receipts or adjusted gross receipts, for the purposes of

HB2358 - 37 - LRB102 12583 SMS 17921 b
this Section, for a riverboat, a casino, or an organization
gaming facility shall not include the dollar amount of
non-cashable vouchers, coupons, and electronic promotions
redeemed by wagerers upon the riverboat, in the casino, or in
the organization gaming facility up to and including an amount
not to exceed 20% of a riverboat's, a casino's, or an
organization gaming facility's adjusted gross receipts.
The Illinois Gaming Board shall submit to the General
Assembly a comprehensive report no later than March 31, 2023
detailing, at a minimum, the effect of removing non-cashable
vouchers, coupons, and electronic promotions from this
calculation on net gaming revenues to the State in calendar
years 2020 through 2022, the increase or reduction in wagerers
as a result of removing non-cashable vouchers, coupons, and
electronic promotions from this calculation, the effect of the
tax rates in subsection (a-5) on net gaming revenues to this
State, and proposed modifications to the calculation.
(a-10) The taxes imposed by this Section shall be paid by
the licensed owner or the organization gaming licensee to the
Board not later than 5:00 o'clock p.m. of the day after the day
when the wagers were made.
(a-15) If the privilege tax imposed under subsection (a-3)
is no longer imposed pursuant to item (i) of the last paragraph
of subsection (a-3), then by June 15 of each year, each owners
licensee, other than an owners licensee that admitted
1,000,000 persons or fewer in calendar year 2004, must, in

HB2358 - 38 - LRB102 12583 SMS 17921 b
addition to the payment of all amounts otherwise due under
this Section, pay to the Board a reconciliation payment in the
amount, if any, by which the licensed owner's base amount
exceeds the amount of net privilege tax paid by the licensed
owner to the Board in the then current State fiscal year. A
licensed owner's net privilege tax obligation due for the
balance of the State fiscal year shall be reduced up to the
total of the amount paid by the licensed owner in its June 15
reconciliation payment. The obligation imposed by this
subsection (a-15) is binding on any person, firm, corporation,
or other entity that acquires an ownership interest in any
such owners license. The obligation imposed under this
subsection (a-15) terminates on the earliest of: (i) July 1,
2007, (ii) the first day after the effective date of this
amendatory Act of the 94th General Assembly that riverboat
gambling operations are conducted pursuant to a dormant
license, (iii) the first day that riverboat gambling
operations are conducted under the authority of an owners
license that is in addition to the 10 owners licenses
initially authorized under this Act, or (iv) the first day
that a licensee under the Illinois Horse Racing Act of 1975
conducts gaming operations with slot machines or other
electronic gaming devices. The Board must reduce the
obligation imposed under this subsection (a-15) by an amount
the Board deems reasonable for any of the following reasons:
(A) an act or acts of God, (B) an act of bioterrorism or

HB2358 - 39 - LRB102 12583 SMS 17921 b
terrorism or a bioterrorism or terrorism threat that was
investigated by a law enforcement agency, or (C) a condition
beyond the control of the owners licensee that does not result
from any act or omission by the owners licensee or any of its
agents and that poses a hazardous threat to the health and
safety of patrons. If an owners licensee pays an amount in
excess of its liability under this Section, the Board shall
apply the overpayment to future payments required under this
Section.
For purposes of this subsection (a-15):
"Act of God" means an incident caused by the operation of
an extraordinary force that cannot be foreseen, that cannot be
avoided by the exercise of due care, and for which no person
can be held liable.
"Base amount" means the following:
For a riverboat in Alton, $31,000,000.
For a riverboat in East Peoria, $43,000,000.
For the Empress riverboat in Joliet, $86,000,000.
For a riverboat in Metropolis, $45,000,000.
For the Harrah's riverboat in Joliet, $114,000,000.
For a riverboat in Aurora, $86,000,000.
For a riverboat in East St. Louis, $48,500,000.
For a riverboat in Elgin, $198,000,000.
"Dormant license" has the meaning ascribed to it in
subsection (a-3).
"Net privilege tax" means all privilege taxes paid by a

HB2358 - 40 - LRB102 12583 SMS 17921 b
licensed owner to the Board under this Section, less all
payments made from the State Gaming Fund pursuant to
subsection (b) of this Section.
The changes made to this subsection (a-15) by Public Act
94-839 are intended to restate and clarify the intent of
Public Act 94-673 with respect to the amount of the payments
required to be made under this subsection by an owners
licensee to the Board.
(b) From the tax revenue from riverboat or casino gambling
deposited in the State Gaming Fund under this Section, an
amount equal to 5% of adjusted gross receipts generated by a
riverboat or a casino, other than a riverboat or casino
designated in paragraph (1), (3), or (4) of subsection (e-5)
of Section 7, shall be paid monthly, subject to appropriation
by the General Assembly, to the unit of local government in
which the casino is located or that is designated as the home
dock of the riverboat. Notwithstanding anything to the
contrary, beginning on the first day that an owners licensee
under paragraph (1), (2), (3), (4), (5), or (6) of subsection
(e-5) of Section 7 conducts gambling operations, either in a
temporary facility or a permanent facility, and for 2 years
thereafter, a unit of local government designated as the home
dock of a riverboat whose license was issued before January 1,
2019, other than a riverboat conducting gambling operations in
the City of East St. Louis, shall not receive less under this
subsection (b) than the amount the unit of local government

HB2358 - 41 - LRB102 12583 SMS 17921 b
received under this subsection (b) in calendar year 2018.
Notwithstanding anything to the contrary and because the City
of East St. Louis is a financially distressed city, beginning
on the first day that an owners licensee under paragraph (1),
(2), (3), (4), (5), or (6) of subsection (e-5) of Section 7
conducts gambling operations, either in a temporary facility
or a permanent facility, and for 10 years thereafter, a unit of
local government designated as the home dock of a riverboat
conducting gambling operations in the City of East St. Louis
shall not receive less under this subsection (b) than the
amount the unit of local government received under this
subsection (b) in calendar year 2018.
From the tax revenue deposited in the State Gaming Fund
pursuant to riverboat or casino gambling operations conducted
by a licensed manager on behalf of the State, an amount equal
to 5% of adjusted gross receipts generated pursuant to those
riverboat or casino gambling operations shall be paid monthly,
subject to appropriation by the General Assembly, to the unit
of local government that is designated as the home dock of the
riverboat upon which those riverboat gambling operations are
conducted or in which the casino is located.
From the tax revenue from riverboat or casino gambling
deposited in the State Gaming Fund under this Section, an
amount equal to 5% of the adjusted gross receipts generated by
a riverboat designated in paragraph (3) of subsection (e-5) of
Section 7 shall be divided and remitted monthly, subject to

HB2358 - 42 - LRB102 12583 SMS 17921 b
appropriation, as follows: 70% to Waukegan, 10% to Park City,
15% to North Chicago, and 5% to Lake County.
From the tax revenue from riverboat or casino gambling
deposited in the State Gaming Fund under this Section, an
amount equal to 5% of the adjusted gross receipts generated by
a riverboat designated in paragraph (4) of subsection (e-5) of
Section 7 shall be remitted monthly, subject to appropriation,
as follows: 70% to the City of Rockford, 5% to the City of
Loves Park, 5% to the Village of Machesney, and 20% to
Winnebago County.
From the tax revenue from riverboat or casino gambling
deposited in the State Gaming Fund under this Section, an
amount equal to 5% of the adjusted gross receipts generated by
a riverboat designated in paragraph (5) of subsection (e-5) of
Section 7 shall be remitted monthly, subject to appropriation,
as follows: 2% to the unit of local government in which the
riverboat or casino is located, and 3% shall be distributed:
(A) in accordance with a regional capital development plan
entered into by the following communities: Village of Beecher,
City of Blue Island, Village of Burnham, City of Calumet City,
Village of Calumet Park, City of Chicago Heights, City of
Country Club Hills, Village of Crestwood, Village of Crete,
Village of Dixmoor, Village of Dolton, Village of East Hazel
Crest, Village of Flossmoor, Village of Ford Heights, Village
of Glenwood, City of Harvey, Village of Hazel Crest, Village
of Homewood, Village of Lansing, Village of Lynwood, City of

HB2358 - 43 - LRB102 12583 SMS 17921 b
Markham, Village of Matteson, Village of Midlothian, Village
of Monee, City of Oak Forest, Village of Olympia Fields,
Village of Orland Hills, Village of Orland Park, City of Palos
Heights, Village of Park Forest, Village of Phoenix, Village
of Posen, Village of Richton Park, Village of Riverdale,
Village of Robbins, Village of Sauk Village, Village of South
Chicago Heights, Village of South Holland, Village of Steger,
Village of Thornton, Village of Tinley Park, Village of
University Park and Village of Worth; or (B) if no regional
capital development plan exists, equally among the communities
listed in item (A) to be used for capital expenditures or
public pension payments, or both.
Units of local government may refund any portion of the
payment that they receive pursuant to this subsection (b) to
the riverboat or casino.
(b-4) Beginning on the first day the licensee under
paragraph (5) of subsection (e-5) of Section 7 conducts
gambling operations, either in a temporary facility or a
permanent facility, and ending on July 31, 2042, from the tax
revenue deposited in the State Gaming Fund under this Section,
$5,000,000 shall be paid annually, subject to appropriation,
to the host municipality of that owners licensee of a license
issued or re-issued pursuant to Section 7.1 of this Act before
January 1, 2012. Payments received by the host municipality
pursuant to this subsection (b-4) may not be shared with any
other unit of local government.

HB2358 - 44 - LRB102 12583 SMS 17921 b
(b-5) Beginning on June 28, 2019 (the effective date of
Public Act 101-31), from the tax revenue deposited in the
State Gaming Fund under this Section, an amount equal to 3% of
adjusted gross receipts generated by each organization gaming
facility located outside Madison County shall be paid monthly,
subject to appropriation by the General Assembly, to a
municipality other than the Village of Stickney in which each
organization gaming facility is located or, if the
organization gaming facility is not located within a
municipality, to the county in which the organization gaming
facility is located, except as otherwise provided in this
Section. From the tax revenue deposited in the State Gaming
Fund under this Section, an amount equal to 3% of adjusted
gross receipts generated by an organization gaming facility
located in the Village of Stickney shall be paid monthly,
subject to appropriation by the General Assembly, as follows:
25% to the Village of Stickney, 5% to the City of Berwyn, 50%
to the Town of Cicero, and 20% to the Stickney Public Health
District.
From the tax revenue deposited in the State Gaming Fund
under this Section, an amount equal to 5% of adjusted gross
receipts generated by an organization gaming facility located
in the City of Collinsville shall be paid monthly, subject to
appropriation by the General Assembly, as follows: 30% to the
City of Alton, 30% to the City of East St. Louis, and 40% to
the City of Collinsville.

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Municipalities and counties may refund any portion of the
payment that they receive pursuant to this subsection (b-5) to
the organization gaming facility.
(b-6) Beginning on June 28, 2019 (the effective date of
Public Act 101-31), from the tax revenue deposited in the
State Gaming Fund under this Section, an amount equal to 2% of
adjusted gross receipts generated by an organization gaming
facility located outside Madison County shall be paid monthly,
subject to appropriation by the General Assembly, to the
county in which the organization gaming facility is located
for the purposes of its criminal justice system or health care
system.
Counties may refund any portion of the payment that they
receive pursuant to this subsection (b-6) to the organization
gaming facility.
(b-7) From the tax revenue from the organization gaming
licensee located in one of the following townships of Cook
County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or
Worth, an amount equal to 5% of the adjusted gross receipts
generated by that organization gaming licensee shall be
remitted monthly, subject to appropriation, as follows: 2% to
the unit of local government in which the organization gaming
licensee is located, and 3% shall be distributed: (A) in
accordance with a regional capital development plan entered
into by the following communities: Village of Beecher, City of
Blue Island, Village of Burnham, City of Calumet City, Village

HB2358 - 46 - LRB102 12583 SMS 17921 b
of Calumet Park, City of Chicago Heights, City of Country Club
Hills, Village of Crestwood, Village of Crete, Village of
Dixmoor, Village of Dolton, Village of East Hazel Crest,
Village of Flossmoor, Village of Ford Heights, Village of
Glenwood, City of Harvey, Village of Hazel Crest, Village of
Homewood, Village of Lansing, Village of Lynwood, City of
Markham, Village of Matteson, Village of Midlothian, Village
of Monee, City of Oak Forest, Village of Olympia Fields,
Village of Orland Hills, Village of Orland Park, City of Palos
Heights, Village of Park Forest, Village of Phoenix, Village
of Posen, Village of Richton Park, Village of Riverdale,
Village of Robbins, Village of Sauk Village, Village of South
Chicago Heights, Village of South Holland, Village of Steger,
Village of Thornton, Village of Tinley Park, Village of
University Park, and Village of Worth; or (B) if no regional
capital development plan exists, equally among the communities
listed in item (A) to be used for capital expenditures or
public pension payments, or both.
(b-8) In lieu of the payments under subsection (b) of this
Section, from the tax revenue deposited in the State Gaming
Fund pursuant to riverboat or casino gambling operations
conducted by an owners licensee under paragraph (1) of
subsection (e-5) of Section 7, an amount equal to the tax
revenue generated from the privilege tax imposed by paragraph
(2) of subsection (a-5) that is to be paid to the City of
Chicago shall be paid monthly, subject to appropriation by the

HB2358 - 47 - LRB102 12583 SMS 17921 b
General Assembly, as follows: (1) an amount equal to 0.5% of
the annual adjusted gross receipts generated by the owners
licensee under paragraph (1) of subsection (e-5) of Section 7
to the home rule county in which the owners licensee is located
for the purpose of enhancing the county's criminal justice
system; and (2) the balance to the City of Chicago and shall be
expended or obligated by the City of Chicago for pension
payments in accordance with Public Act 99-506.
(c) Appropriations, as approved by the General Assembly,
may be made from the State Gaming Fund to the Board (i) for the
administration and enforcement of this Act and the Video
Gaming Act, (ii) for distribution to the Department of State
Police and to the Department of Revenue for the enforcement of
this Act and the Video Gaming Act, and (iii) to the Department
of Human Services for the administration of programs to treat
problem gambling, including problem gambling from sports
wagering. The Board's annual appropriations request must
separately state its funding needs for the regulation of
gaming authorized under Section 7.7, riverboat gaming, casino
gaming, video gaming, and sports wagering.
(c-2) An amount equal to 2% of the adjusted gross receipts
generated by an organization gaming facility located within a
home rule county with a population of over 3,000,000
inhabitants shall be paid, subject to appropriation from the
General Assembly, from the State Gaming Fund to the home rule
county in which the organization gaming licensee is located

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for the purpose of enhancing the county's criminal justice
system.
(c-3) Appropriations, as approved by the General Assembly,
may be made from the tax revenue deposited into the State
Gaming Fund from organization gaming licensees pursuant to
this Section for the administration and enforcement of this
Act.
(c-4) After payments required under subsections (b),
(b-5), (b-6), (b-7), (c), (c-2), and (c-3) have been made from
the tax revenue from organization gaming licensees deposited
into the State Gaming Fund under this Section, all remaining
amounts from organization gaming licensees shall be
transferred into the Capital Projects Fund.
(c-5) (Blank).
(c-10) Each year the General Assembly shall appropriate
from the General Revenue Fund to the Education Assistance Fund
an amount equal to the amount paid into the Horse Racing Equity
Fund pursuant to subsection (c-5) in the prior calendar year.
(c-15) After the payments required under subsections (b),
(c), and (c-5) have been made, an amount equal to 2% of the
adjusted gross receipts of (1) an owners licensee that
relocates pursuant to Section 11.2, (2) an owners licensee
conducting riverboat gambling operations pursuant to an owners
license that is initially issued after June 25, 1999, or (3)
the first riverboat gambling operations conducted by a
licensed manager on behalf of the State under Section 7.3,

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whichever comes first, shall be paid, subject to appropriation
from the General Assembly, from the State Gaming Fund to each
home rule county with a population of over 3,000,000
inhabitants for the purpose of enhancing the county's criminal
justice system.
(c-20) Each year the General Assembly shall appropriate
from the General Revenue Fund to the Education Assistance Fund
an amount equal to the amount paid to each home rule county
with a population of over 3,000,000 inhabitants pursuant to
subsection (c-15) in the prior calendar year.
(c-21) After the payments required under subsections (b),
(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have
been made, an amount equal to 0.5% of the adjusted gross
receipts generated by the owners licensee under paragraph (1)
of subsection (e-5) of Section 7 shall be paid monthly,
subject to appropriation from the General Assembly, from the
State Gaming Fund to the home rule county in which the owners
licensee is located for the purpose of enhancing the county's
criminal justice system.
(c-22) After the payments required under subsections (b),
(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and
(c-21) have been made, an amount equal to 2% of the adjusted
gross receipts generated by the owners licensee under
paragraph (5) of subsection (e-5) of Section 7 shall be paid,
subject to appropriation from the General Assembly, from the
State Gaming Fund to the home rule county in which the owners

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licensee is located for the purpose of enhancing the county's
criminal justice system.
(c-25) From July 1, 2013 and each July 1 thereafter
through July 1, 2019, $1,600,000 shall be transferred from the
State Gaming Fund to the Chicago State University Education
Improvement Fund.
On July 1, 2020 and each July 1 thereafter, $3,000,000
shall be transferred from the State Gaming Fund to the Chicago
State University Education Improvement Fund.
(c-30) On July 1, 2013 or as soon as possible thereafter,
$92,000,000 shall be transferred from the State Gaming Fund to
the School Infrastructure Fund and $23,000,000 shall be
transferred from the State Gaming Fund to the Horse Racing
Equity Fund.
(c-35) Beginning on July 1, 2013, in addition to any
amount transferred under subsection (c-30) of this Section,
$5,530,000 shall be transferred monthly from the State Gaming
Fund to the School Infrastructure Fund.
(d) From time to time, the Board shall transfer the
remainder of the funds generated by this Act into the
Education Assistance Fund, created by Public Act 86-0018, of
the State of Illinois.
(e) Nothing in this Act shall prohibit the unit of local
government designated as the home dock of the riverboat from
entering into agreements with other units of local government
in this State or in other states to share its portion of the

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tax revenue.
(f) To the extent practicable, the Board shall administer
and collect the wagering taxes imposed by this Section in a
manner consistent with the provisions of Sections 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of
the Retailers' Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act.
(Source: P.A. 101-31, Article 25, Section 25-910, eff.
6-28-19; 101-31, Article 35, Section 35-55, eff. 6-28-19;
101-648, eff. 6-30-20.)