Bill Text: IL HB3621 | 2017-2018 | 100th General Assembly | Introduced

---

Bill Title: Amends the Riverboat Gambling Act. Provides that, in determining whether to grant an owners license to an applicant, the Illinois Gaming Board shall consider 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. Requires the Board, by rule, to 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. Provides criteria for the Board to consider when setting the goals. Requires each owners licensee to file with the Board an annual report of its utilization of veteran-owned businesses during the preceding calendar year, which shall include a self-evaluation of the efforts of the owners licensee to meet the goals.

Spectrum: Bipartisan Bill

Status: (Failed) 2019-01-08 - Session Sine Die [HB3621 Detail]

Download: Illinois-2017-HB3621-Introduced.html

---

100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 HB3621 Introduced , by Rep. Chad Hays SYNOPSIS AS INTRODUCED:
230 ILCS 10/7 from Ch. 120, par. 2407
230 ILCS 10/7.6
Amends the Riverboat Gambling Act. Provides that, in determining whether to grant an owners license to an applicant, the Illinois Gaming Board shall consider 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. Requires the Board, by rule, to 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. Provides criteria for the Board to consider when setting the goals. Requires each owners licensee to file with the Board an annual report of its utilization of veteran-owned businesses during the preceding calendar year, which shall include a self-evaluation of the efforts of the owners licensee to meet the goals.
LRB100 09210 MJP 19366 b
FISCAL NOTE ACT MAY APPLY
A BILL FOR
HB3621 LRB100 09210 MJP 19366 b
AN ACT concerning gaming.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Riverboat Gambling Act is amended by
changing Sections 7 and 7.6 as follows:
(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
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

HB3621 - 2 - LRB100 09210 MJP 19366 b
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
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;

HB3621 - 3 - LRB100 09210 MJP 19366 b
(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
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

HB3621 - 4 - LRB100 09210 MJP 19366 b
(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, females, and persons with a disability and the
good faith affirmative action plan of each applicant to
recruit, train and upgrade minority persons, females, 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
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

HB3621 - 5 - LRB100 09210 MJP 19366 b
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
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

HB3621 - 6 - LRB100 09210 MJP 19366 b
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.
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

HB3621 - 7 - LRB100 09210 MJP 19366 b
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
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

HB3621 - 8 - LRB100 09210 MJP 19366 b
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. 96-1392, eff. 1-1-11; 97-1150, eff. 1-25-13.)
(230 ILCS 10/7.6)
Sec. 7.6. Business enterprise program.
(a) For the purposes of this Section, the terms "minority",
"minority owned business", "female", "female owned business",

HB3621 - 9 - LRB100 09210 MJP 19366 b
"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, Females, 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, females, 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, female
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
(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,
female owned businesses, and businesses owned by persons with

HB3621 - 10 - LRB100 09210 MJP 19366 b
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
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

HB3621 - 11 - LRB100 09210 MJP 19366 b
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, female
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, female 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, female 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
permit participation of minority owned businesses,
female owned businesses, and businesses owned by
persons with disabilities, and veteran-owned
businesses;
(C) elimination of extended experience or

HB3621 - 12 - LRB100 09210 MJP 19366 b
capitalization requirements, when programmatically
feasible, to permit participation of minority owned
businesses, female 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, female
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
by each owners licensee; and
(2) an analysis of the level of overall goal
achievement concerning purchases from minority owned
businesses, female owned businesses, and businesses owned
by persons with disabilities, and veteran-owned

HB3621 - 13 - LRB100 09210 MJP 19366 b
businesses.
(Source: P.A. 98-490, eff. 8-16-13; 99-78, eff. 7-20-15.)