Bill Text: IL SB3125 | 2017-2018 | 100th General Assembly | Introduced

---

Bill Title: Amends the Illinois Horse Racing Act of 1975. Requires the Illinois Racing Board to adopt rules authorizing sports wagering by organization licensees and inter-track wagering location licensees. Makes conforming changes in the Criminal Code of 2012. Effective immediately.

Sponsorship: Partisan Bill (Republican 2)

Status: (Failed) 2019-01-09 - Session Sine Die [SB3125 Detail]

Download: Illinois-2017-SB3125-Introduced.html

---

100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 SB3125 Introduced 2/15/2018, by Sen. William E. Brady SYNOPSIS AS INTRODUCED:
230 ILCS 5/9 from Ch. 8, par. 37-9
720 ILCS 5/28-1 from Ch. 38, par. 28-1
Amends the Illinois Horse Racing Act of 1975. Requires the Illinois Racing Board to adopt rules authorizing sports wagering by organization licensees and inter-track wagering location licensees. Makes conforming changes in the Criminal Code of 2012. Effective immediately.
LRB100 18550 SMS 33768 b
FISCAL NOTE ACT MAY APPLY
A BILL FOR
SB3125 LRB100 18550 SMS 33768 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 Horse Racing Act of 1975 is amended
by changing Section 9 as follows:
(230 ILCS 5/9) (from Ch. 8, par. 37-9)
Sec. 9. 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:
(a) The Board is vested with jurisdiction and supervision
over all race meetings in this State, over all licensees doing
business in this State, over all occupation licensees, and over
all persons on the facilities of any licensee. Such
jurisdiction shall include the power to issue licenses to the
Illinois Department of Agriculture authorizing the pari-mutuel
system of wagering on harness and Quarter Horse races held (1)
at the Illinois State Fair in Sangamon County, and (2) at the
DuQuoin State Fair in Perry County. The jurisdiction of the
Board shall also include the power to issue licenses to county
fairs which are eligible to receive funds pursuant to the
Agricultural Fair Act, as now or hereafter amended, or their
agents, authorizing the pari-mutuel system of wagering on horse
races conducted at the county fairs receiving such licenses.

SB3125 - 2 - LRB100 18550 SMS 33768 b
Such licenses shall be governed by subsection (n) of this
Section.
Upon application, the Board shall issue a license to the
Illinois Department of Agriculture to conduct harness and
Quarter Horse races at the Illinois State Fair and at the
DuQuoin State Fairgrounds during the scheduled dates of each
fair. The Board shall not require and the Department of
Agriculture shall be exempt from the requirements of Sections
15.3, 18 and 19, paragraphs (a)(2), (b), (c), (d), (e), (e-5),
(e-10), (f), (g), and (h) of Section 20, and Sections 21, 24
and 25. The Board and the Department of Agriculture may extend
any or all of these exemptions to any contractor or agent
engaged by the Department of Agriculture to conduct its race
meetings when the Board determines that this would best serve
the public interest and the interest of horse racing.
Notwithstanding any provision of law to the contrary, it
shall be lawful for any licensee to operate pari-mutuel
wagering or contract with the Department of Agriculture to
operate pari-mutuel wagering at the DuQuoin State Fairgrounds
or for the Department to enter into contracts with a licensee,
employ its owners, employees or agents and employ such other
occupation licensees as the Department deems necessary in
connection with race meetings and wagerings.
(b) The Board is vested with the full power to promulgate
reasonable rules and regulations for the purpose of
administering the provisions of this Act and to prescribe

SB3125 - 3 - LRB100 18550 SMS 33768 b
reasonable rules, regulations and conditions under which all
horse race meetings or wagering in the State shall be
conducted. Such reasonable rules and regulations are to provide
for the prevention of practices detrimental to the public
interest and to promote the best interests of horse racing and
to impose penalties for violations thereof.
(c) The Board, and any person or persons to whom it
delegates this power, is vested with the power to enter the
facilities and other places of business of any licensee to
determine whether there has been compliance with the provisions
of this Act and its rules and regulations.
(d) The Board, and any person or persons to whom it
delegates this power, is vested with the authority to
investigate alleged violations of the provisions of this Act,
its reasonable rules and regulations, orders and final
decisions; the Board shall take appropriate disciplinary
action against any licensee or occupation licensee for
violation thereof or institute appropriate legal action for the
enforcement thereof.
(e) The Board, and any person or persons to whom it
delegates this power, may eject or exclude from any race
meeting or the facilities of any licensee, or any part thereof,
any occupation licensee or any other individual whose conduct
or reputation is such that his presence on those facilities
may, in the opinion of the Board, call into question the
honesty and integrity of horse racing or wagering or interfere

SB3125 - 4 - LRB100 18550 SMS 33768 b
with the orderly conduct of horse racing or wagering; provided,
however, that no person shall be excluded or ejected from the
facilities of any licensee solely on the grounds of race,
color, creed, national origin, ancestry, or sex. The power to
eject or exclude an occupation licensee or other individual may
be exercised for just cause by the licensee or the Board,
subject to subsequent hearing by the Board as to the propriety
of said exclusion.
(f) The Board is vested with the power to acquire,
establish, maintain and operate (or provide by contract to
maintain and operate) testing laboratories and related
facilities, for the purpose of conducting saliva, blood, urine
and other tests on the horses run or to be run in any horse race
meeting and to purchase all equipment and supplies deemed
necessary or desirable in connection with any such testing
laboratories and related facilities and all such tests.
(g) The Board may require that the records, including
financial or other statements of any licensee or any person
affiliated with the licensee who is involved directly or
indirectly in the activities of any licensee as regulated under
this Act to the extent that those financial or other statements
relate to such activities be kept in such manner as prescribed
by the Board, and that Board employees shall have access to
those records during reasonable business hours. Within 120 days
of the end of its fiscal year, each licensee shall transmit to
the Board an audit of the financial transactions and condition

SB3125 - 5 - LRB100 18550 SMS 33768 b
of the licensee's total operations. All audits shall be
conducted by certified public accountants. Each certified
public accountant must be registered in the State of Illinois
under the Illinois Public Accounting Act. The compensation for
each certified public accountant shall be paid directly by the
licensee to the certified public accountant. A licensee shall
also submit any other financial or related information the
Board deems necessary to effectively administer this Act and
all rules, regulations, and final decisions promulgated under
this Act.
(h) The Board shall name and appoint in the manner provided
by the rules and regulations of the Board: an Executive
Director; a State director of mutuels; State veterinarians and
representatives to take saliva, blood, urine and other tests on
horses; licensing personnel; revenue inspectors; and State
seasonal employees (excluding admission ticket sellers and
mutuel clerks). All of those named and appointed as provided in
this subsection shall serve during the pleasure of the Board;
their compensation shall be determined by the Board and be paid
in the same manner as other employees of the Board under this
Act.
(i) The Board shall require that there shall be 3 stewards
at each horse race meeting, at least 2 of whom shall be named
and appointed by the Board. Stewards appointed or approved by
the Board, while performing duties required by this Act or by
the Board, shall be entitled to the same rights and immunities

SB3125 - 6 - LRB100 18550 SMS 33768 b
as granted to Board members and Board employees in Section 10
of this Act.
(j) The Board may discharge any Board employee who fails or
refuses for any reason to comply with the rules and regulations
of the Board, or who, in the opinion of the Board, is guilty of
fraud, dishonesty or who is proven to be incompetent. The Board
shall have no right or power to determine who shall be
officers, directors or employees of any licensee, or their
salaries except the Board may, by rule, require that all or any
officials or employees in charge of or whose duties relate to
the actual running of races be approved by the Board.
(k) The Board is vested with the power to appoint delegates
to execute any of the powers granted to it under this Section
for the purpose of administering this Act and any rules or
regulations promulgated in accordance with this Act.
(l) The Board is vested with the power to impose civil
penalties of up to $5,000 against an individual and up to
$10,000 against a licensee for each violation of any provision
of this 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 horse racing or wagering. All such
civil penalties shall be deposited into the Horse Racing Fund.
(m) The Board is vested with the power to prescribe a form
to be used by licensees as an application for employment for
employees of each licensee.
(n) The Board shall have the power to issue a license to

SB3125 - 7 - LRB100 18550 SMS 33768 b
any county fair, or its agent, authorizing the conduct of the
pari-mutuel system of wagering. The Board is vested with the
full power to promulgate reasonable rules, regulations and
conditions under which all horse race meetings licensed
pursuant to this subsection shall be held and conducted,
including rules, regulations and conditions for the conduct of
the pari-mutuel system of wagering. The rules, regulations and
conditions shall provide for the prevention of practices
detrimental to the public interest and for the best interests
of horse racing, and shall prescribe penalties for violations
thereof. Any authority granted the Board under this Act shall
extend to its jurisdiction and supervision over county fairs,
or their agents, licensed pursuant to this subsection. However,
the Board may waive any provision of this Act or its rules or
regulations which would otherwise apply to such county fairs or
their agents.
(o) Whenever the Board is authorized or required by law to
consider some aspect of criminal history record information for
the purpose of carrying out its statutory powers and
responsibilities, then, upon request and payment of fees in
conformance with the requirements of Section 2605-400 of the
Department of State Police Law (20 ILCS 2605/2605-400), the
Department of State Police is authorized to furnish, pursuant
to positive identification, such information contained in
State files as is necessary to fulfill the request.
(p) To insure the convenience, comfort, and wagering

SB3125 - 8 - LRB100 18550 SMS 33768 b
accessibility of race track patrons, to provide for the
maximization of State revenue, and to generate increases in
purse allotments to the horsemen, the Board shall require any
licensee to staff the pari-mutuel department with adequate
personnel.
(q) The Board shall adopt rules authorizing sports wagering
by organization licensees and inter-track wagering location
licensees. For purposes of this subsection (q), "sports
wagering" means wagering conducted under this Act on athletic
and sporting events involving human competitors. "Sports
wagering" does not include pari-mutuel wagering on horse racing
or money spent to participate in paid fantasy sports.
(Source: P.A. 97-1060, eff. 8-24-12.)
Section 10. The Criminal Code of 2012 is amended by
changing Section 28-1 as follows:
(720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
Sec. 28-1. Gambling.
(a) A person commits gambling when he or she:
(1) knowingly plays a game of chance or skill for money
or other thing of value, unless excepted in subsection (b)
of this Section;
(2) knowingly makes a wager upon the result of any
game, contest, or any political nomination, appointment or
election;

SB3125 - 9 - LRB100 18550 SMS 33768 b
(3) knowingly operates, keeps, owns, uses, purchases,
exhibits, rents, sells, bargains for the sale or lease of,
manufactures or distributes any gambling device;
(4) contracts to have or give himself or herself or
another the option to buy or sell, or contracts to buy or
sell, at a future time, any grain or other commodity
whatsoever, or any stock or security of any company, where
it is at the time of making such contract intended by both
parties thereto that the contract to buy or sell, or the
option, whenever exercised, or the contract resulting
therefrom, shall be settled, not by the receipt or delivery
of such property, but by the payment only of differences in
prices thereof; however, the issuance, purchase, sale,
exercise, endorsement or guarantee, by or through a person
registered with the Secretary of State pursuant to Section
8 of the Illinois Securities Law of 1953, or by or through
a person exempt from such registration under said Section
8, of a put, call, or other option to buy or sell
securities which have been registered with the Secretary of
State or which are exempt from such registration under
Section 3 of the Illinois Securities Law of 1953 is not
gambling within the meaning of this paragraph (4);
(5) knowingly owns or possesses any book, instrument or
apparatus by means of which bets or wagers have been, or
are, recorded or registered, or knowingly possesses any
money which he has received in the course of a bet or

SB3125 - 10 - LRB100 18550 SMS 33768 b
wager;
(6) knowingly sells pools upon the result of any game
or contest of skill or chance, political nomination,
appointment or election;
(7) knowingly sets up or promotes any lottery or sells,
offers to sell or transfers any ticket or share for any
lottery;
(8) knowingly sets up or promotes any policy game or
sells, offers to sell or knowingly possesses or transfers
any policy ticket, slip, record, document or other similar
device;
(9) knowingly drafts, prints or publishes any lottery
ticket or share, or any policy ticket, slip, record,
document or similar device, except for such activity
related to lotteries, bingo games and raffles authorized by
and conducted in accordance with the laws of Illinois or
any other state or foreign government;
(10) knowingly advertises any lottery or policy game,
except for such activity related to lotteries, bingo games
and raffles authorized by and conducted in accordance with
the laws of Illinois or any other state;
(11) knowingly transmits information as to wagers,
betting odds, or changes in betting odds by telephone,
telegraph, radio, semaphore or similar means; or knowingly
installs or maintains equipment for the transmission or
receipt of such information; except that nothing in this

SB3125 - 11 - LRB100 18550 SMS 33768 b
subdivision (11) prohibits transmission or receipt of such
information for use in news reporting of sporting events or
contests; or
(12) knowingly establishes, maintains, or operates an
Internet site that permits a person to play a game of
chance or skill for money or other thing of value by means
of the Internet or to make a wager upon the result of any
game, contest, political nomination, appointment, or
election by means of the Internet. This item (12) does not
apply to activities referenced in items (6) and (6.1) of
subsection (b) of this Section.
(b) Participants in any of the following activities shall
not be convicted of gambling:
(1) Agreements to compensate for loss caused by the
happening of chance including without limitation contracts
of indemnity or guaranty and life or health or accident
insurance.
(2) Offers of prizes, award or compensation to the
actual contestants in any bona fide contest for the
determination of skill, speed, strength or endurance or to
the owners of animals or vehicles entered in such contest.
(3) Pari-mutuel betting as authorized by the law of
this State.
(4) Manufacture of gambling devices, including the
acquisition of essential parts therefor and the assembly
thereof, for transportation in interstate or foreign

SB3125 - 12 - LRB100 18550 SMS 33768 b
commerce to any place outside this State when such
transportation is not prohibited by any applicable Federal
law; or the manufacture, distribution, or possession of
video gaming terminals, as defined in the Video Gaming Act,
by manufacturers, distributors, and terminal operators
licensed to do so under the Video Gaming Act.
(5) The game commonly known as "bingo", when conducted
in accordance with the Bingo License and Tax Act.
(6) Lotteries when conducted by the State of Illinois
in accordance with the Illinois Lottery Law. This exemption
includes any activity conducted by the Department of
Revenue to sell lottery tickets pursuant to the provisions
of the Illinois Lottery Law and its rules.
(6.1) The purchase of lottery tickets through the
Internet for a lottery conducted by the State of Illinois
under the program established in Section 7.12 of the
Illinois Lottery Law.
(7) Possession of an antique slot machine that is
neither used nor intended to be used in the operation or
promotion of any unlawful gambling activity or enterprise.
For the purpose of this subparagraph (b)(7), an antique
slot machine is one manufactured 25 years ago or earlier.
(8) Raffles and poker runs when conducted in accordance
with the Raffles and Poker Runs Act.
(9) Charitable games when conducted in accordance with
the Charitable Games Act.

SB3125 - 13 - LRB100 18550 SMS 33768 b
(10) Pull tabs and jar games when conducted under the
Illinois Pull Tabs and Jar Games Act.
(11) Gambling games conducted on riverboats when
authorized by the Riverboat Gambling Act.
(12) Video gaming terminal games at a licensed
establishment, licensed truck stop establishment, licensed
fraternal establishment, or licensed veterans
establishment when conducted in accordance with the Video
Gaming Act.
(13) Games of skill or chance where money or other
things of value can be won but no payment or purchase is
required to participate.
(14) Savings promotion raffles authorized under
Section 5g of the Illinois Banking Act, Section 7008 of the
Savings Bank Act, Section 42.7 of the Illinois Credit Union
Act, Section 5136B of the National Bank Act (12 U.S.C.
25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C.
1463).
(15) Sports wagering conducted in accordance with
Section 9 of the Illinois Horse Racing Act of 1975.
(c) Sentence.
Gambling is a Class A misdemeanor. A second or subsequent
conviction under subsections (a)(3) through (a)(12), is a Class
4 felony.
(d) Circumstantial evidence.
In prosecutions under this Section circumstantial evidence

SB3125 - 14 - LRB100 18550 SMS 33768 b
shall have the same validity and weight as in any criminal
prosecution.
(Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16.)
Section 99. Effective date. This Act takes effect upon
becoming law.