Bill Text: IL SB1804 | 2017-2018 | 100th General Assembly | Engrossed


Bill Title: Amends the Riverboat Gambling Act. Removes provisions concerning the distribution of certain funds into the Horse Racing Equity Fund. Removes provisions limiting the civil penalties that the Illinois Gaming Board may impose on licensees for violations of the Act at up to $5,000 for individuals and up to $10,000 or an amount equal to the daily gross receipts, whichever is larger. Amends the Video Gaming Act. Changes the non-refundable license application fee for terminal handlers from $50 to $100. Adds provisions providing that the non-refundable license application fee for a licensed establishment, licensed truck stop establishment, licensed fraternal establishment, or licensed veterans establishment shall be $100.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Engrossed) 2017-05-31 - House Committee Amendment No. 3 Rule 19(a) / Re-referred to Rules Committee [SB1804 Detail]

Download: Illinois-2017-SB1804-Engrossed.html



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1 AN ACT concerning gaming.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Video Gaming Act is amended by changing
5Section 45 and by adding Section 78.5 as follows:
6 (230 ILCS 40/45)
7 Sec. 45. Issuance of license.
8 (a) The burden is upon each applicant to demonstrate his
9suitability for licensure. Each video gaming terminal
10manufacturer, distributor, supplier, operator, handler,
11licensed establishment, licensed truck stop establishment,
12licensed fraternal establishment, and licensed veterans
13establishment shall be licensed by the Board. The Board may
14issue or deny a license under this Act to any person pursuant
15to the same criteria set forth in Section 9 of the Riverboat
16Gambling Act.
17 (a-5) The Board shall not grant a license to a person who
18has facilitated, enabled, or participated in the use of
19coin-operated devices for gambling purposes or who is under the
20significant influence or control of such a person. For the
21purposes of this Act, "facilitated, enabled, or participated in
22the use of coin-operated amusement devices for gambling
23purposes" means that the person has been convicted of any

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1violation of Article 28 of the Criminal Code of 1961 or the
2Criminal Code of 2012. If there is pending legal action against
3a person for any such violation, then the Board shall delay the
4licensure of that person until the legal action is resolved.
5 (b) Each person seeking and possessing a license as a video
6gaming terminal manufacturer, distributor, supplier, operator,
7handler, licensed establishment, licensed truck stop
8establishment, licensed fraternal establishment, or licensed
9veterans establishment shall submit to a background
10investigation conducted by the Board with the assistance of the
11State Police or other law enforcement. To the extent that the
12corporate structure of the applicant allows, the background
13investigation shall include any or all of the following as the
14Board deems appropriate or as provided by rule for each
15category of licensure: (i) each beneficiary of a trust, (ii)
16each partner of a partnership, (iii) each member of a limited
17liability company, (iv) each director and officer of a publicly
18or non-publicly held corporation, (v) each stockholder of a
19non-publicly held corporation, (vi) each stockholder of 5% or
20more of a publicly held corporation, or (vii) each stockholder
21of 5% or more in a parent or subsidiary corporation.
22 (c) Each person seeking and possessing a license as a video
23gaming terminal manufacturer, distributor, supplier, operator,
24handler, licensed establishment, licensed truck stop
25establishment, licensed fraternal establishment, or licensed
26veterans establishment shall disclose the identity of every

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1person, association, trust, corporation, or limited liability
2company having a greater than 1% direct or indirect pecuniary
3interest in the video gaming terminal operation for which the
4license is sought. If the disclosed entity is a trust, the
5application shall disclose the names and addresses of the
6beneficiaries; if a corporation, the names and addresses of all
7stockholders and directors; if a limited liability company, the
8names and addresses of all members; or if a partnership, the
9names and addresses of all partners, both general and limited.
10 (d) No person may be licensed as a video gaming terminal
11manufacturer, distributor, supplier, operator, handler,
12licensed establishment, licensed truck stop establishment,
13licensed fraternal establishment, or licensed veterans
14establishment if that person has been found by the Board to:
15 (1) have a background, including a criminal record,
16 reputation, habits, social or business associations, or
17 prior activities that pose a threat to the public interests
18 of the State or to the security and integrity of video
19 gaming;
20 (2) create or enhance the dangers of unsuitable,
21 unfair, or illegal practices, methods, and activities in
22 the conduct of video gaming; or
23 (3) present questionable business practices and
24 financial arrangements incidental to the conduct of video
25 gaming activities.
26 (e) Any applicant for any license under this Act has the

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1burden of proving his or her qualifications to the satisfaction
2of the Board. The Board may adopt rules to establish additional
3qualifications and requirements to preserve the integrity and
4security of video gaming in this State.
5 (f) A non-refundable application fee shall be paid at the
6time an application for a license is filed with the Board in
7the following amounts:
8 (1) Manufacturer..........................$5,000
9 (2) Distributor...........................$5,000
10 (3) Terminal operator.....................$5,000
11 (4) Supplier..............................$2,500
12 (5) Technician..............................$100
13 (6) Terminal Handler.....................$100 $50
14 (7) Licensed establishment, licensed truck stop
15 establishment, licensed fraternal establishment,
16 or licensed veterans establishment...................$250
17 (g) The Board shall establish an annual fee for each
18license not to exceed the following:
19 (1) Manufacturer.........................$10,000
20 (2) Distributor..........................$10,000
21 (3) Terminal operator.....................$5,000
22 (4) Supplier..............................$2,000
23 (5) Technician..............................$100
24 (6) Licensed establishment, licensed truck stop
25 establishment, licensed fraternal establishment,
26 or licensed veterans establishment..............$100

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1 (7) Video gaming terminal...................$100
2 (8) Terminal Handler.........................$100 $50
3 (h) A terminal operator and a licensed establishment,
4licensed truck stop establishment, licensed fraternal
5establishment, or licensed veterans establishment shall
6equally split the fees specified in item (7) of subsection (g).
7(Source: P.A. 97-1150, eff. 1-25-13; 98-31, eff. 6-24-13;
898-587, eff. 8-27-13; 98-756, eff. 7-16-14.)
9 (230 ILCS 40/78.5 new)
10 Sec. 78.5. Civil penalties. Notwithstanding paragraph (15)
11of subsection (c) of Section 5 of the Riverboat Gambling Act,
12monetary civil penalties under this Act shall not exceed
13$25,000 for individuals and $50,000 for licensees per
14violation.
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