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91_HB0276
LRB9100468LDmbC
1 AN ACT in relation to school construction projects,
2 amending named Acts.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 1. Short title. This Act may be known as the
6 Riverboat Gambling Revenue School Construction Act.
7 Section 5. Definitions. As used in this Act:
8 "Revenue bonds" means bonds paid for with revenue from
9 the Riverboat Gambling Revenue School Construction Fund.
10 "Grant index" means a figure for each school district
11 equal to one minus the ratio of the district's equalized
12 assessed valuation per pupil in average daily attendance to
13 the equalized assessed valuation per pupil in average daily
14 attendance of the district located at the 90th percentile for
15 all districts of the same type. The grant index shall be no
16 less than 0.30 and no greater than 0.90 for each district;
17 provided that the grant index for districts whose equalized
18 assessed valuation per pupil in average daily attendance is
19 at the 90th percentile and above for all districts of the
20 same type shall be 0.00.
21 "School construction project" means the acquisition,
22 development, construction, reconstruction, rehabilitation,
23 improvement, architectural planning, and installation of
24 capital facilities consisting of buildings, structures,
25 durable equipment, and land for educational purposes.
26 Section 10. Revenue bonds.
27 (a) In each of calendar years 1999 through 2003,
28 inclusive, the Gaming Board shall determine whether the
29 amount of net revenue realized by the State pursuant to
30 Sections 12 and 13 of the Riverboat Gambling Act in each of
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1 those years exceeds the amount of the net revenue realized by
2 the State in calendar year 1998. For each year from 1999
3 through 2003, inclusive, that the amount of net revenue
4 realized by the State pursuant to Sections 12 and 13 of the
5 Riverboat Gambling Act is greater than the amount of net
6 revenue realized by the State pursuant to Sections 12 and 13
7 of the Riverboat Gambling Act in calendar year 1998, the
8 Gaming Board shall certify the amount of that excess to the
9 Capital Development Board.
10 (b) Beginning in calendar year 2000 and continuing
11 through the end of calendar year 2004, the Capital
12 Development Board shall have the power to issue revenue
13 bonds, upon such terms and at such interest rate as that
14 Board determines, in amounts not to exceed the amount by
15 which the amount of net revenue realized by the State
16 pursuant to Sections 12 and 13 of the Riverboat Gambling Act
17 during the previous calendar year exceeded the amount of net
18 revenue realized by the State pursuant to Sections 12 and 13
19 of the Riverboat Gambling Act in calendar year 1998 as
20 certified to it by the Gaming Board under subsection (a).
21 However, in no event shall the amount of revenue bonds issued
22 pursuant to this Section in a single calendar year exceed
23 $1,000,000,000. Bonds issued pursuant to this Section are
24 revenue bonds and are not general obligations of the State.
25 (c) The Capital Development Board shall deposit the
26 proceeds from the sale of revenue bonds issued pursuant to
27 this Section into the Riverboat Gambling Revenue School
28 Construction Fund, a special fund that is hereby created in
29 the State Treasury.
30 Section 15. School Construction Bond Repayment Fund.
31 (a) Until all the bonds authorized under Section 10(b)
32 and the debt service on those bonds is repaid, by January 31
33 of each year, the Comptroller shall certify and the Treasurer
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1 shall pay from the State Gaming Fund into the School
2 Construction Bond Repayment Fund, which is hereby created as
3 a special Fund in the State Treasury, an amount equal to the
4 amount by which the amount of the net revenue realized by the
5 State pursuant to Sections 12 and 13 of the Riverboat
6 Gambling Act in the prior year exceeded the amount of net
7 revenue realized by the State pursuant to Sections 12 and 13
8 of the Riverboat Gambling Act in calendar year 1998.
9 (b) The Capital Development Board shall use the money in
10 the School Construction Bond Repayment Fund to repay the
11 bonds issued under Section 10(b) and to pay the debt service
12 on those bonds.
13 Section 20. Grant awards. The Capital Development Board
14 is authorized to make grants to school districts for school
15 construction projects pursuant to this Act with funds
16 appropriated by the General Assembly from the Riverboat
17 Gambling Revenue School Construction Fund.
18 Section 25. Grant entitlements. The State Board of
19 Education is authorized to issue grant entitlements for
20 school construction projects and shall determine the priority
21 order for school construction project grants to be made by
22 the Capital Development Board.
23 Section 30. Grant application; district facilities plan.
24 School districts shall apply to the State Board of Education
25 for school construction project grants. Districts filing
26 grant applications shall submit to the State Board a district
27 facilities plan that shall include, but not be limited to, an
28 assessment of present and future district facility needs as
29 required by present and anticipated educational programming,
30 the availability of local financial resources including
31 current revenues, fund balances, and unused bonding capacity,
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1 and a maintenance plan and schedule that contain necessary
2 assurances that new, renovated, and existing facilities are
3 being or will be properly maintained. The State Board of
4 Education shall review and approve district facility plans
5 before issuing grant entitlements. Each district that
6 receives a grant entitlement shall annually update its
7 district facilities plan and submit the revised plan to the
8 State Board for approval.
9 Section 35. Eligibility and project standards.
10 (a) The State Board of Education shall establish
11 eligibility standards for school construction project grants.
12 These standards shall include minimum enrollment requirements
13 for eligibility for school construction project grants of 200
14 students for elementary districts, 200 students for high
15 school districts, and 400 students for unit districts. The
16 State Board of Education shall approve a district's
17 eligibility for a school construction project grant pursuant
18 to the established standards.
19 (b) The Capital Development Board shall establish
20 project standards for all school construction project grants
21 provided pursuant to this Article. These standards shall
22 include space and capacity standards as well as the
23 determination of recognized project costs that shall be
24 eligible for State financial assistance and enrichment costs
25 that shall not be eligible for State financial assistance.
26 Section 40. Priority of school construction projects.
27 The State Board of Education shall develop standards for the
28 determination of priority needs concerning school
29 construction projects based upon approved district facilities
30 plans. Such standards shall call for prioritization based on
31 the degree of need and project type in the following order:
32 (1) Replacement or reconstruction of school
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1 facilities determined to be severe and continuing health
2 or life safety hazards;
3 (2) Replacement or reconstruction of school
4 buildings destroyed or damaged by flood, tornado, fire,
5 earthquake, or other disasters, either man-made or
6 produced by nature;
7 (3) Condemnation pursuant to an order of a regional
8 superintendent;
9 (4) Projects designed to alleviate a shortage of
10 classrooms due to population growth or to replace aging
11 school buildings; and
12 (5) Other unique solutions to facility needs.
13 Section 45. School construction project grant amounts;
14 prohibited use.
15 (a) The product of the district's grant index and the
16 recognized project cost, as determined by the Capital
17 Development Board, for an approved school construction
18 project shall equal the amount of the grant the Capital
19 Development Board shall provide to the eligible district,
20 provided there are sufficient available funds. The grant
21 index shall not be used in cases where the General Assembly
22 and the Governor approve appropriations designated for
23 specifically identified school district construction
24 projects.
25 (b) In each fiscal year in which school construction
26 project grants are awarded, 20% of the total amount awarded
27 statewide shall be awarded to a school district with a
28 population exceeding 500,000, provided such district complies
29 with the provisions of this Act.
30 (c) No portion of a school construction project grant
31 awarded by the Capital Development Board shall be used by a
32 school district for any on-going operational costs.
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1 Section 50. Supervision of school construction projects.
2 The Capital Development Board shall exercise general
3 supervision over school construction projects financed
4 pursuant to this Act.
5 Section 55. Referendum requirements. After the State
6 Board of Education has approved all or part of a district's
7 application and issued a grant entitlement for a school
8 construction project grant, the district shall submit the
9 project or the financing of the project to a referendum when
10 such referendum is required by law.
11 Section 60. Rules.
12 (a) The Capital Development Board shall promulgate such
13 rules it deems necessary for carrying out its
14 responsibilities under this Act.
15 (b) The State Board of Education shall promulgate such
16 rules it deems necessary for carrying out its
17 responsibilities under this Act.
18 Section 100. The State Finance Act is amended by adding
19 Sections 5.490 and 5.491 as follows:
20 (30 ILCS 105/5.490 new)
21 Sec. 5.490. The Riverboat Gambling Revenue School
22 Construction Fund.
23 (30 ILCS 105/5.491 new)
24 Sec. 5.491. The School Construction Bond Repayment Fund.
25
26 Section 105. The Riverboat Gambling Act is amended by
27 changing Sections 3, 4, 5, 6, 7, 11, and 13 and adding
28 Sections 11.2 and 11.3 as follows:
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1 (230 ILCS 10/3) (from Ch. 120, par. 2403)
2 Sec. 3. Riverboat Gambling Authorized. (a) Riverboat
3 gambling operations and the system of wagering incorporated
4 therein, as defined in this Act, are hereby authorized to the
5 extent that they are carried out in accordance with the
6 provisions of this Act.
7 (b) This Act does not apply to the pari-mutuel system of
8 wagering used or intended to be used in connection with the
9 horse-race meetings as authorized under the Illinois Horse
10 Racing Act of 1975, lottery games authorized under the
11 Illinois Lottery Law, bingo authorized under the Bingo
12 License and Tax Act, charitable games authorized under the
13 Charitable Games Act, or pull tabs and jar games conducted
14 under the Illinois Pull Tabs and Jar Games Act.
15 (c) Riverboat gambling conducted pursuant to this Act
16 may be authorized upon any water navigable stream within the
17 State of Illinois, upon or any water navigable stream other
18 than Lake Michigan which constitutes a boundary of the State
19 of Illinois or upon Lake Michigan; however, this Act does not
20 authorize riverboat gambling within a county having a
21 population in excess of 3,000,000, and this Act does not
22 authorize riverboats conducting gambling under this Act to
23 dock at any location in a county having a population in
24 excess of 3,000,000.
25 (Source: P.A. 86-1029.)
26 (230 ILCS 10/4) (from Ch. 120, par. 2404)
27 Sec. 4. Definitions. As used in this Act:
28 (a) "Board" means the Illinois Gaming Board.
29 (b) "Occupational license" means a license issued by the
30 Board to a person or entity to perform an occupation which
31 the Board has identified as requiring a license to engage in
32 riverboat gambling in Illinois.
33 (c) "Gambling game" includes, but is not limited to,
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1 baccarat, twenty-one, poker, craps, slot machine, video game
2 of chance, roulette wheel, klondike table, punchboard, faro
3 layout, keno layout, numbers ticket, push card, jar ticket,
4 or pull tab which is authorized by the Board as a wagering
5 device under this Act.
6 (d) "Riverboat" means a self-propelled excursion boat on
7 which lawful gambling is authorized and licensed as provided
8 in this Act.
9 (e) "Gambling excursion" means the time during which
10 gambling games may be operated on a riverboat, regardless of
11 whether the riverboat cruises or remains docked.
12 (f) "Dock" means the location where an excursion
13 riverboat moors for the purpose of embarking passengers for
14 and disembarking passengers from a gambling excursion.
15 (g) "Gross receipts" means the total amount of money
16 exchanged for the purchase of chips, tokens or electronic
17 cards by riverboat patrons.
18 (h) "Adjusted gross receipts" means the gross receipts
19 less winnings paid to wagerers.
20 (i) "Cheat" means to alter the selection of criteria
21 which determine the result of a gambling game or the amount
22 or frequency of payment in a gambling game.
23 (j) "Department" means the Department of Revenue.
24 (k) "Gambling operation" means the conduct of authorized
25 gambling games upon a riverboat.
26 (l) "Dockside gambling" means gambling while a riverboat
27 is docked.
28 (Source: P.A. 86-1029; 86-1389; 87-826.)
29 (230 ILCS 10/5) (from Ch. 120, par. 2405)
30 Sec. 5. Gaming Board.
31 (a) (1) There is hereby established within the
32 Department of Revenue an Illinois Gaming Board which shall
33 have the powers and duties specified in this Act, and all
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1 other powers necessary and proper to fully and effectively
2 execute this Act for the purpose of administering,
3 regulating, and enforcing the system of riverboat gambling
4 established by this Act. Its jurisdiction shall extend under
5 this Act to every person, association, corporation,
6 partnership and trust involved in riverboat gambling
7 operations in the State of Illinois.
8 (2) The Board shall consist of 5 members to be appointed
9 by the Governor with the advice and consent of the Senate,
10 one of whom shall be designated by the Governor to be
11 chairman. Each member shall have a reasonable knowledge of
12 the practice, procedure and principles of gambling
13 operations. Each member shall either be a resident of
14 Illinois or shall certify that he will become a resident of
15 Illinois before taking office. At least one member shall be
16 experienced in law enforcement and criminal investigation, at
17 least one member shall be a certified public accountant
18 experienced in accounting and auditing, and at least one
19 member shall be a lawyer licensed to practice law in
20 Illinois.
21 (3) The terms of office of the Board members shall be 3
22 years, except that the terms of office of the initial Board
23 members appointed pursuant to this Act will commence from the
24 effective date of this Act and run as follows: one for a
25 term ending July 1, 1991, 2 for a term ending July 1, 1992,
26 and 2 for a term ending July 1, 1993. Upon the expiration of
27 the foregoing terms, the successors of such members shall
28 serve a term for 3 years and until their successors are
29 appointed and qualified for like terms. Vacancies in the
30 Board shall be filled for the unexpired term in like manner
31 as original appointments. Each member of the Board shall be
32 eligible for reappointment at the discretion of the Governor
33 with the advice and consent of the Senate.
34 (4) Each member of the Board shall receive $300 for each
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1 day the Board meets and for each day the member conducts any
2 hearing pursuant to this Act. Each member of the Board shall
3 also be reimbursed for all actual and necessary expenses and
4 disbursements incurred in the execution of official duties.
5 (5) No person shall be appointed a member of the Board
6 or continue to be a member of the Board who is, or whose
7 spouse, child or parent is, a member of the board of
8 directors of, or a person financially interested in, any
9 gambling operation subject to the jurisdiction of this Board,
10 or any race track, race meeting, racing association or the
11 operations thereof subject to the jurisdiction of the
12 Illinois Racing Board. No Board member shall hold any other
13 public office for which he shall receive compensation other
14 than necessary travel or other incidental expenses. No
15 person shall be a member of the Board who is not of good
16 moral character or who has been convicted of, or is under
17 indictment for, a felony under the laws of Illinois or any
18 other state, or the United States.
19 (6) Any member of the Board may be removed by the
20 Governor for neglect of duty, misfeasance, malfeasance, or
21 nonfeasance in office.
22 (7) Before entering upon the discharge of the duties of
23 his office, each member of the Board shall take an oath that
24 he will faithfully execute the duties of his office according
25 to the laws of the State and the rules and regulations
26 adopted therewith and shall give bond to the State of
27 Illinois, approved by the Governor, in the sum of $25,000.
28 Every such bond, when duly executed and approved, shall be
29 recorded in the office of the Secretary of State. Whenever
30 the Governor determines that the bond of any member of the
31 Board has become or is likely to become invalid or
32 insufficient, he shall require such member forthwith to renew
33 his bond, which is to be approved by the Governor. Any
34 member of the Board who fails to take oath and give bond
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1 within 30 days from the date of his appointment, or who fails
2 to renew his bond within 30 days after it is demanded by the
3 Governor, shall be guilty of neglect of duty and may be
4 removed by the Governor. The cost of any bond given by any
5 member of the Board under this Section shall be taken to be a
6 part of the necessary expenses of the Board.
7 (8) Upon the request of the Board, the Department shall
8 employ such personnel as may be necessary to carry out the
9 functions of the Board. No person shall be employed to serve
10 the Board who is, or whose spouse, parent or child is, an
11 official of, or has a financial interest in or financial
12 relation with, any operator engaged in gambling operations
13 within this State or any organization engaged in conducting
14 horse racing within this State. Any employee violating these
15 prohibitions shall be subject to termination of employment.
16 (9) An Administrator shall perform any and all duties
17 that the Board shall assign him. The salary of the
18 Administrator shall be determined by the Board and approved
19 by the Director of the Department and, in addition, he shall
20 be reimbursed for all actual and necessary expenses incurred
21 by him in discharge of his official duties. The
22 Administrator shall keep records of all proceedings of the
23 Board and shall preserve all records, books, documents and
24 other papers belonging to the Board or entrusted to its care.
25 The Administrator shall devote his full time to the duties of
26 the office and shall not hold any other office or employment.
27 (b) The Board shall have general responsibility for the
28 implementation of this Act. Its duties include, without
29 limitation, the following:
30 (1) To decide promptly and in reasonable order all
31 license applications. Any party aggrieved by an action of
32 the Board denying, suspending, revoking, restricting or
33 refusing to renew a license may request a hearing before
34 the Board. A request for a hearing must be made to the
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1 Board in writing within 5 days after service of notice of
2 the action of the Board. Notice of the action of the
3 Board shall be served either by personal delivery or by
4 certified mail, postage prepaid, to the aggrieved party.
5 Notice served by certified mail shall be deemed complete
6 on the business day following the date of such mailing.
7 The Board shall conduct all requested hearings promptly
8 and in reasonable order;
9 (2) To conduct all hearings pertaining to civil
10 violations of this Act or rules and regulations
11 promulgated hereunder;
12 (3) To promulgate such rules and regulations as in
13 its judgment may be necessary to protect or enhance the
14 credibility and integrity of gambling operations
15 authorized by this Act and the regulatory process
16 hereunder;
17 (4) To provide for the establishment and collection
18 of all license and registration fees and taxes imposed by
19 this Act and the rules and regulations issued pursuant
20 hereto. All such fees and taxes shall be deposited into
21 the State Gaming Fund;
22 (5) To provide for the levy and collection of
23 penalties and fines for the violation of provisions of
24 this Act and the rules and regulations promulgated
25 hereunder. All such fines and penalties shall be
26 deposited into the Education Assistance Fund, created by
27 Public Act 86-0018, of the State of Illinois;
28 (6) To be present through its inspectors and agents
29 any time gambling operations are conducted on any
30 riverboat for the purpose of certifying the revenue
31 thereof, receiving complaints from the public, and
32 conducting such other investigations into the conduct of
33 the gambling games and the maintenance of the equipment
34 as from time to time the Board may deem necessary and
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1 proper;
2 (7) To review and rule upon any complaint by a
3 licensee regarding any investigative procedures of the
4 State which are unnecessarily disruptive of gambling
5 operations. The need to inspect and investigate shall be
6 presumed at all times. The disruption of a licensee's
7 operations shall be proved by clear and convincing
8 evidence, and establish that: (A) the procedures had no
9 reasonable law enforcement purposes, and (B) the
10 procedures were so disruptive as to unreasonably inhibit
11 gambling operations;
12 (8) To hold at least one meeting each quarter of
13 the fiscal year. In addition, special meetings may be
14 called by the Chairman or any 2 Board members upon 72
15 hours written notice to each member. All Board meetings
16 shall be subject to the Open Meetings Act. Three members
17 of the Board shall constitute a quorum, and 3 votes shall
18 be required for any final determination by the Board.
19 The Board shall keep a complete and accurate record of
20 all its meetings. A majority of the members of the Board
21 shall constitute a quorum for the transaction of any
22 business, for the performance of any duty, or for the
23 exercise of any power which this Act requires the Board
24 members to transact, perform or exercise en banc, except
25 that, upon order of the Board, one of the Board members
26 or an administrative law judge designated by the Board
27 may conduct any hearing provided for under this Act or by
28 Board rule and may recommend findings and decisions to
29 the Board. The Board member or administrative law judge
30 conducting such hearing shall have all powers and rights
31 granted to the Board in this Act. The record made at the
32 time of the hearing shall be reviewed by the Board, or a
33 majority thereof, and the findings and decision of the
34 majority of the Board shall constitute the order of the
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1 Board in such case;
2 (9) To maintain records which are separate and
3 distinct from the records of any other State board or
4 commission. Such records shall be available for public
5 inspection and shall accurately reflect all Board
6 proceedings;
7 (10) To file a written annual report with the
8 Governor on or before March 1 each year and such
9 additional reports as the Governor may request. The
10 annual report shall include a statement of receipts and
11 disbursements by the Board, actions taken by the Board,
12 and any additional information and recommendations which
13 the Board may deem valuable or which the Governor may
14 request;
15 (11) To review the patterns of wagering and wins
16 and losses by persons on riverboat gambling operations
17 under this Act, and make recommendation to the Governor
18 and the General Assembly, by January 31, 1992, as to
19 whether limits on wagering losses should be imposed; and
20 (12) To assume responsibility for the
21 administration and enforcement of the Bingo License and
22 Tax Act, the Charitable Games Act, and the Pull Tabs and
23 Jar Games Act if such responsibility is delegated to it
24 by the Director of Revenue.
25 (c) The Board shall have jurisdiction over and shall
26 supervise all gambling operations governed by this Act. The
27 Board shall have all powers necessary and proper to fully and
28 effectively execute the provisions of this Act, including,
29 but not limited to, the following:
30 (1) To investigate applicants and determine the
31 eligibility of applicants for licenses and to select
32 among competing applicants the applicants which best
33 serve the interests of the citizens of Illinois.
34 (2) To have jurisdiction and supervision over all
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1 riverboat gambling operations in this State and all
2 persons on riverboats where gambling operations are
3 conducted.
4 (3) To promulgate rules and regulations for the
5 purpose of administering the provisions of this Act and
6 to prescribe rules, regulations and conditions under
7 which all riverboat gambling in the State shall be
8 conducted. Such rules and regulations are to provide for
9 the prevention of practices detrimental to the public
10 interest and for the best interests of riverboat
11 gambling, including rules and regulations regarding the
12 inspection of such riverboats and the review of any
13 permits or licenses necessary to operate a riverboat
14 under any laws or regulations applicable to riverboats,
15 and to impose penalties for violations thereof.
16 (4) To enter the office, riverboats, facilities, or
17 other places of business of a licensee, where evidence of
18 the compliance or noncompliance with the provisions of
19 this Act is likely to be found.
20 (5) To investigate alleged violations of this Act
21 or the rules of the Board and to take appropriate
22 disciplinary action against a licensee or a holder of an
23 occupational license for a violation, or institute
24 appropriate legal action for enforcement, or both.
25 (6) To adopt standards for the licensing of all
26 persons under this Act, as well as for electronic or
27 mechanical gambling games, and to establish fees for such
28 licenses.
29 (7) To adopt appropriate standards for all
30 riverboats and facilities.
31 (8) To require that the records, including
32 financial or other statements of any licensee under this
33 Act, shall be kept in such manner as prescribed by the
34 Board and that any such licensee involved in the
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1 ownership or management of gambling operations submit to
2 the Board an annual balance sheet and profit and loss
3 statement, list of the stockholders or other persons
4 having a 1% or greater beneficial interest in the
5 gambling activities of each licensee, and any other
6 information the Board deems necessary in order to
7 effectively administer this Act and all rules,
8 regulations, orders and final decisions promulgated under
9 this Act.
10 (9) To conduct hearings, issue subpoenas for the
11 attendance of witnesses and subpoenas duces tecum for the
12 production of books, records and other pertinent
13 documents in accordance with the Illinois Administrative
14 Procedure Act, and to administer oaths and affirmations
15 to the witnesses, when, in the judgment of the Board, it
16 is necessary to administer or enforce this Act or the
17 Board rules.
18 (10) To prescribe a form to be used by any licensee
19 involved in the ownership or management of gambling
20 operations as an application for employment for their
21 employees.
22 (11) To revoke or suspend licenses, as the Board
23 may see fit and in compliance with applicable laws of the
24 State regarding administrative procedures, and to review
25 applications for the renewal of licenses. The Board may
26 suspend an owners license, without notice or hearing upon
27 a determination that the safety or health of patrons or
28 employees is jeopardized by continuing a riverboat's
29 operation. The suspension may remain in effect until the
30 Board determines that the cause for suspension has been
31 abated. The Board may revoke the owners license upon a
32 determination that the owner has not made satisfactory
33 progress toward abating the hazard.
34 (12) To eject or exclude or authorize the ejection
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1 or exclusion of, any person from riverboat gambling
2 facilities where such person is in violation of this Act,
3 rules and regulations thereunder, or final orders of the
4 Board, or where such person's conduct or reputation is
5 such that his presence within the riverboat gambling
6 facilities may, in the opinion of the Board, call into
7 question the honesty and integrity of the gambling
8 operations or interfere with orderly conduct thereof;
9 provided that the propriety of such ejection or exclusion
10 is subject to subsequent hearing by the Board.
11 (13) To require all licensees of gambling
12 operations to utilize a cashless wagering system whereby
13 all players' money is converted to tokens, electronic
14 cards, or chips which shall be used only for wagering in
15 the gambling establishment.
16 (14) To authorize the routes of a riverboat and the
17 stops which a riverboat may make.
18 (15) To suspend, revoke or restrict licenses, to
19 require the removal of a licensee or an employee of a
20 licensee for a violation of this Act or a Board rule or
21 for engaging in a fraudulent practice, and to impose
22 civil penalties of up to $5,000 against individuals and
23 up to $10,000 or an amount equal to the daily gross
24 receipts, whichever is larger, against licensees for each
25 violation of any provision of the Act, any rules adopted
26 by the Board, any order of the Board or any other action
27 which, in the Board's discretion, is a detriment or
28 impediment to riverboat gambling operations.
29 (16) To hire employees to gather information,
30 conduct investigations and carry out any other tasks
31 contemplated under this Act.
32 (17) To establish minimum levels of insurance to be
33 maintained by licensees.
34 (18) To authorize a licensee to sell or serve
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1 alcoholic liquors, wine or beer as defined in the Liquor
2 Control Act of 1934 on board a riverboat and to have
3 exclusive authority to establish the hours for sale and
4 consumption of alcoholic liquor on board a riverboat,
5 notwithstanding any provision of the Liquor Control Act
6 of 1934 or any local ordinance. The establishment of the
7 hours for sale and consumption of alcoholic liquor on
8 board a riverboat is an exclusive power and function of
9 the State. A home rule unit may not establish the hours
10 for sale and consumption of alcoholic liquor on board a
11 riverboat. This amendatory Act of 1991 is a denial and
12 limitation of home rule powers and functions under
13 subsection (h) of Section 6 of Article VII of the
14 Illinois Constitution.
15 (19) After consultation with the U.S. Army Corps of
16 Engineers, to establish binding emergency orders upon the
17 concurrence of a majority of the members of the Board
18 regarding the navigability of waters rivers in the event
19 of extreme weather conditions, acts of God or other
20 extreme circumstances.
21 (20) To delegate the execution of any of its powers
22 under this Act for the purpose of administering and
23 enforcing this Act and its rules and regulations
24 hereunder.
25 (21) To take any other action as may be reasonable
26 or appropriate to enforce this Act and rules and
27 regulations hereunder.
28 (d) The Board may seek and shall receive the cooperation
29 of the Department of State Police in conducting background
30 investigations of applicants and in fulfilling its
31 responsibilities under this Section. Costs incurred by the
32 Department of State Police as a result of such cooperation
33 shall be paid by the Board in conformance with the
34 requirements of subsection 22 of Section 55a of The Civil
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1 Administrative Code of Illinois.
2 (Source: P.A. 86-1029; 86-1389; 87-826.)
3 (230 ILCS 10/6) (from Ch. 120, par. 2406)
4 Sec. 6. Application for Owners License.
5 (a) A qualified person may apply to the Board for an
6 owners license to conduct a riverboat gambling operation as
7 provided in this Act. The application shall be made on forms
8 provided by the Board and shall contain such information as
9 the Board prescribes, including but not limited to the
10 identity of the riverboat on which such gambling operation is
11 to be conducted and the exact location where such riverboat
12 will be docked, the number of gambling positions the
13 applicant wishes to use, a certification that the riverboat
14 will be registered under this Act at all times during which
15 gambling operations are conducted on board, detailed
16 information regarding the ownership and management of the
17 applicant, and detailed personal information regarding the
18 applicant. Information provided on the application shall be
19 used as a basis for a thorough background investigation which
20 the Board shall conduct with respect to each applicant. An
21 incomplete application shall be cause for denial of a license
22 by the Board.
23 (b) Applicants shall submit with their application all
24 documents, resolutions, and letters of support from the
25 governing body that represents the municipality or county
26 wherein the licensee will dock.
27 (c) Each applicant shall disclose the identity of every
28 person, association, trust or corporation having a greater
29 than 1% direct or indirect pecuniary interest in the
30 riverboat gambling operation with respect to which the
31 license is sought. If the disclosed entity is a trust, the
32 application shall disclose the names and addresses of the
33 beneficiaries; if a corporation, the names and addresses of
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1 all stockholders and directors; if a partnership, the names
2 and addresses of all partners, both general and limited.
3 (d) An application shall be filed with the Board by
4 January 1 of the year preceding any calendar year for which
5 an applicant seeks an owners license; however, applications
6 for an owners license permitting operations on January 1,
7 1991 shall be filed by July 1, 1990. An application fee of
8 $50,000 shall be paid at the time of filing to defray the
9 costs associated with the background investigation conducted
10 by the Board. If the costs of the investigation exceed
11 $50,000, the applicant shall pay the additional amount to the
12 Board. If the costs of the investigation are less than
13 $50,000, the applicant shall receive a refund of the
14 remaining amount. All information, records, interviews,
15 reports, statements, memoranda or other data supplied to or
16 used by the Board in the course of its review or
17 investigation of an application for a license under this Act
18 shall be privileged, strictly confidential and shall be used
19 only for the purpose of evaluating an applicant. Such
20 information, records, interviews, reports, statements,
21 memoranda or other data shall not be admissible as evidence,
22 nor discoverable in any action of any kind in any court or
23 before any tribunal, board, agency or person, except for any
24 action deemed necessary by the Board.
25 (e) The Board shall charge each applicant a fee set by
26 the Department of State Police to defray the costs associated
27 with the search and classification of fingerprints obtained
28 by the Board with respect to the applicant's application.
29 These fees shall be paid into the State Police Services Fund.
30 (f) The licensed owner shall be the person primarily
31 responsible for the boat itself. Only one riverboat gambling
32 operation may be authorized by the Board on any riverboat.
33 The applicant must identify each riverboat it intends to use
34 and certify that the riverboat: (1) has the authorized
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1 capacity required in this Act; (2) is accessible to disabled
2 persons; (3) is either a replica of a 19th century Illinois
3 riverboat or of a casino cruise ship design; and (4) is fully
4 registered and licensed in accordance with any applicable
5 laws.
6 (g) A person who knowingly makes a false statement on an
7 application is guilty of a Class A misdemeanor.
8 (Source: P.A. 86-1029; 86-1389.)
9 (230 ILCS 10/7) (from Ch. 120, par. 2407)
10 Sec. 7. Owners Licenses.
11 (a) The Board shall issue owners licenses to persons,
12 firms or corporations which apply for such licenses upon
13 payment to the Board of the non-refundable license fee set by
14 the Board, upon payment of a $25,000 license fee for the
15 first year of operation and a $5,000 license fee for each
16 succeeding year and upon a determination by the Board that
17 the applicant is eligible for an owners license pursuant to
18 this Act and the rules of the Board. A person, firm or
19 corporation is ineligible to receive an owners license if:
20 (1) the person has been convicted of a felony under
21 the laws of this State, any other state, or the United
22 States;
23 (2) the person has been convicted of any violation
24 of Article 28 of the Criminal Code of 1961, or
25 substantially similar laws of any other jurisdiction;
26 (3) the person has submitted an application for a
27 license under this Act which contains false information;
28 (4) the person is a member of the Board;
29 (5) a person defined in (1), (2), (3) or (4) is an
30 officer, director or managerial employee of the firm or
31 corporation;
32 (6) the firm or corporation employs a person
33 defined in (1), (2), (3) or (4) who participates in the
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1 management or operation of gambling operations authorized
2 under this Act;
3 (7) the person, firm or corporation owns more than
4 a 10% ownership interest in any entity holding an owners
5 license issued under this Act; or
6 (8) a license of the person, firm or corporation
7 issued under this Act, or a license to own or operate
8 gambling facilities in any other jurisdiction, has been
9 revoked.
10 (b) In determining whether to grant an owners license to
11 an applicant and in determining whether to allow a licensee
12 to relocate its home dock, the Board shall consider:
13 (1) the character, reputation, experience and
14 financial integrity of the applicants and of any other or
15 separate person that either:
16 (A) controls, directly or indirectly, such
17 applicant, or
18 (B) is controlled, directly or indirectly, by
19 such applicant or by a person which controls,
20 directly or indirectly, such applicant;
21 (2) the facilities or proposed facilities for the
22 conduct of riverboat gambling;
23 (3) the highest prospective total revenue to be
24 derived by the State from the conduct of riverboat
25 gambling;
26 (4) the good faith affirmative action plan of each
27 applicant to recruit, train and upgrade minorities in all
28 employment classifications;
29 (5) the financial ability of the applicant to
30 purchase and maintain adequate liability and casualty
31 insurance;
32 (6) whether the applicant has adequate
33 capitalization to provide and maintain, for the duration
34 of a license, a riverboat; and
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1 (7) the extent to which the applicant exceeds or
2 meets other standards for the issuance of an owners
3 license which the Board may adopt by rule.
4 (c) Each owners license shall specify the place where
5 riverboats shall operate and dock.
6 (d) Each applicant shall submit with his application, on
7 forms provided by the Board, 2 sets of his fingerprints.
8 (e) The Board may issue up to 10 licenses authorizing
9 the holders of such licenses to own riverboats. In the
10 application for an owners license, the applicant shall state
11 the dock at which the riverboat is based and the water
12 navigable stream on which the riverboat will operate.
13 The Board shall issue 5 licenses to become effective not
14 earlier than January 1, 1991. Three Four of such licenses
15 shall authorize riverboat gambling on the Mississippi River,
16 one of which shall authorize riverboat gambling from a home
17 dock in the city of East St. Louis. One of those licenses The
18 other license shall authorize riverboat gambling on the
19 Illinois River south of Marshall County.
20 The Board shall issue one 1 additional license to become
21 effective not earlier than March 1, 1992, which shall
22 authorize riverboat gambling on the Des Plaines River in Will
23 County.
24 The Board may issue 4 additional licenses to become
25 effective not earlier than March 1, 1992. In determining the
26 water navigable streams upon which riverboats will operate
27 with licenses effective on or after March 1, 1992, the Board
28 shall consider the economic benefit which riverboat gambling
29 confers on the State, and shall seek to assure that all
30 regions of the State share in the economic benefits of
31 riverboat gambling.
32 The Board may issue additional licenses within the total
33 gambling position limitation of subsection (g-5).
34 In granting all licenses, the Board may give favorable
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1 consideration to economically depressed areas of the State,
2 to applicants presenting plans which provide for significant
3 economic development over a large geographic area, and to
4 applicants who currently operate non-gambling riverboats in
5 Illinois. The Board shall review all applications for owners
6 licenses, and shall inform each applicant of the Board's
7 decision.
8 The Board may revoke the owners license of a licensee
9 which fails to begin regular riverboat cruises within 12
10 months of receipt of the Board's approval of the application
11 if the Board determines that license revocation is in the
12 best interests of the State.
13 (f) The first 10 Owners licenses issued under this Act
14 shall permit the holder to own up to 2 riverboats and
15 equipment thereon for a period of 3 years after the effective
16 date of the license. Holders of the first 10 owners licenses
17 must pay the annual license fee for each of the 3 years
18 during which they are authorized to own riverboats.
19 (g) Upon the termination, expiration, or revocation of a
20 license each of the first 10 licenses, which shall be issued
21 for a 3 year period, the license is all licenses are
22 renewable annually upon payment of the fee and a
23 determination by the Board that the licensee continues to
24 meet all of the requirements of this Act and the Board's
25 rules. On and after January 1, 2000, when an applicant
26 applies for a license or a licensee renews its license, it
27 shall include with its application or renewal fee a written
28 statement stating the number of gambling positions it wishes
29 to use during the license period or renewal period.
30 (g-5) On and after January 1, 2000, when deciding
31 whether to issue or renew a license, the Board shall
32 determine the number of gambling positions it will authorize
33 the licensee to use during the period of the license or
34 license renewal. The total number of gambling positions
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1 authorized under this Act shall not exceed 12,000 and the
2 total number of gambling positions authorized for each
3 license shall not exceed 1,200. If the Board finds that a
4 licensee is not using any gambling positions that it received
5 from the Board, the Board shall have the power to reduce the
6 number of positions that licensee is authorized to use and
7 make them available to subsequent license applicants and to
8 licensees whose gambling licenses subsequently become subject
9 to renewal.
10 (h) An owners license shall entitle the licensee to own
11 up to 2 riverboats. A licensee shall limit the number of
12 gambling participants to the number set by the Board, which
13 number shall not exceed 1,200, for any such owners license.
14 Riverboats licensed to operate on the Mississippi River and
15 the Illinois River south of Marshall County shall have an
16 authorized capacity of at least 500 persons. Any other
17 riverboat licensed under this Act shall have an authorized
18 capacity of at least 400 persons.
19 (i) A licensed owner is authorized to apply to the Board
20 for and, if approved therefor, to receive all licenses from
21 the Board necessary for the operation of a riverboat,
22 including a liquor license, a license to prepare and serve
23 food for human consumption, and other necessary licenses.
24 All use, occupation, and excise taxes which apply to the sale
25 of food and beverages in this State and all taxes imposed on
26 the sale or use of tangible personal property apply to such
27 sales aboard the riverboat.
28 (j) None of the first 5 licenses issued by the Board to
29 become effective not earlier than January 1, 1991 shall
30 authorize a riverboat to dock in a municipality with a
31 population of under 2,000; however, this restriction does not
32 apply to any additional licenses issued by the Board to
33 become effective not earlier than March 1, 1992. The Board
34 may issue a license authorizing a riverboat to dock in a
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1 municipality or approve a relocation to a new municipality
2 only if, prior to the issuance of the license or approval,
3 the governing body of the municipality has by a majority vote
4 approved the docking of riverboats in the municipality. The
5 Board may issue a license authorizing a riverboat to dock in
6 areas of a county outside any municipality or approve a
7 relocation to a new area of a county outside of a
8 municipality only if, prior to the issuance of the license or
9 approval, the governing body of the county has by a majority
10 vote approved of the docking of riverboats within such areas.
11 (k) Nothing in this Act shall be interpreted to prohibit
12 a licensed owner from operating a school for the training of
13 any occupational licensee.
14 (Source: P.A. 86-1029; 86-1389; 86-1475; 87-826.)
15 (230 ILCS 10/11) (from Ch. 120, par. 2411)
16 Sec. 11. Conduct of gambling.
17 (a) Gambling may be conducted by licensed owners aboard
18 riverboats, subject to the following standards:
19 (1) (Blank). No gambling may be conducted while a
20 riverboat is docked.
21 (2) Riverboat cruises may not exceed 4 hours for a
22 round trip, with the exception of any extended cruises,
23 each of which shall be expressly approved by the Board.
24 (3) Minimum and maximum wagers on games shall be
25 set by the licensee.
26 (4) Agents of the Board and the Department of State
27 Police may board and inspect any riverboat at any time
28 for the purpose of determining whether this Act is being
29 complied with. Every riverboat, if under way and being
30 hailed by a law enforcement officer or agent of the
31 Board, must stop immediately and lay to.
32 (5) Employees of the Board shall have the right to
33 be present on the riverboat or on adjacent facilities
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1 under the control of the licensee.
2 (6) Gambling equipment and supplies customarily
3 used in conducting riverboat gambling must be purchased
4 or leased only from suppliers licensed for such purpose
5 under this Act.
6 (7) Persons licensed under this Act shall permit no
7 form of wagering on gambling games except as permitted by
8 this Act.
9 (8) Wagers may be received only from a person
10 present on a licensed riverboat. No person present on a
11 licensed riverboat shall place or attempt to place a
12 wager on behalf of another person who is not present on
13 the riverboat.
14 (9) Wagering shall not be conducted with money or
15 other negotiable currency.
16 (10) A person under age 21 shall not be permitted
17 on an area of a riverboat where gambling is being
18 conducted, except for a person at least 18 years of age
19 who is an employee of the riverboat gambling operation.
20 No employee under age 21 shall perform any function
21 involved in gambling by the patrons. No person under age
22 21 shall be permitted to make a wager under this Act.
23 (11) Gambling excursion cruises are permitted only
24 when the water navigable stream for which the riverboat
25 is licensed is navigable, as determined by the Board in
26 consultation with the U.S. Army Corps of Engineers.
27 (12) All tokens, chips, or electronic cards used to
28 make wagers must be purchased from a licensed owner
29 either aboard a riverboat or at an onshore facility which
30 has been approved by the Board and which is located where
31 the riverboat docks. The tokens, chips or electronic
32 cards may be purchased by means of an agreement under
33 which the owner extends credit to the patron. Such
34 tokens, chips or electronic cards may be used while
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1 aboard the riverboat only for the purpose of making
2 wagers on gambling games.
3 (13) Notwithstanding any other Section of this Act,
4 in addition to the other licenses authorized under this
5 Act, the Board may issue special event licenses allowing
6 persons who are not otherwise licensed to conduct
7 riverboat gambling to conduct such gambling on a
8 specified date or series of dates. Riverboat gambling
9 under such a license may take place on a riverboat not
10 normally used for riverboat gambling. The Board shall
11 establish standards, fees and fines for, and limitations
12 upon, such licenses, which may differ from the standards,
13 fees, fines and limitations otherwise applicable under
14 this Act. All such fees shall be deposited into the
15 State Gaming Fund. All such fines shall be deposited
16 into the Education Assistance Fund, created by Public Act
17 86-0018, of the State of Illinois.
18 (14) In addition to the above, gambling must be
19 conducted in accordance with all rules adopted by the
20 Board.
21 (Source: P.A. 86-1029; 86-1389; 87-826.)
22 (230 ILCS 10/11.2 new)
23 Sec. 11.2. Dockside gambling. A licensee may conduct
24 gambling while its riverboat is docked and does not need to
25 conduct excursion cruises to conduct gambling under this Act
26 if the municipality where the riverboat docks, or the county
27 where the riverboat docks if the riverboat does not dock
28 within the boundaries of a municipality, approves dockside
29 gambling by a vote of the governing body of that municipality
30 or county, as the case may be.
31 (230 ILCS 10/11.3 new)
32 Sec. 11.3. Relocation of home dock.
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1 (a) The Board has the discretion to authorize any
2 licensee to move its home dock location to a different
3 location. Subject to the local approval required under
4 Section 7(j), the new location may be anywhere in the State,
5 notwithstanding any location restriction imposed on the
6 original licensee under subsection (e) of Section 7. The
7 licensee need not cease operations at its original location
8 until it begins operations at its new location. The Board
9 shall act upon any petition to relocate within 90 days after
10 it receives the petition. If the Board grants permission to
11 relocate under this Section, the licensee may then operate at
12 the new location authorized by the Board.
13 (b) If a licensee operates a riverboat from a new home
14 dock location, the tax revenue to be distributed under
15 Section 13(b) from the adjusted gross receipts earned from
16 the riverboat at the new home dock location shall be paid as
17 provided in that subsection, except that for its first 3
18 years of operation at the new home dock location, one-fourth
19 of the tax revenue that would otherwise be distributed to the
20 unit of local government where the new dock is located shall
21 instead be distributed to the unit of local government where
22 the licensee's original home dock was located.
23 (230 ILCS 10/13) (from Ch. 120, par. 2413)
24 Sec. 13. Wagering tax; rate; distribution.
25 (a) Until January 1, 1998, a tax is imposed on the
26 adjusted gross receipts received from gambling games
27 authorized under this Act at the rate of 20%.
28 Beginning January 1, 1998, a privilege tax is imposed on
29 persons engaged in the business of conducting riverboat
30 gambling operations, based on the adjusted gross receipts
31 received by a licensed owner from gambling games authorized
32 under this Act at the following rates:
33 15% of annual adjusted gross receipts up to and
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1 including $25,000,000;
2 20% of annual adjusted gross receipts in excess of
3 $25,000,000 but not exceeding $50,000,000;
4 25% of annual adjusted gross receipts in excess of
5 $50,000,000 but not exceeding $75,000,000;
6 30% of annual adjusted gross receipts in excess of
7 $75,000,000 but not exceeding $100,000,000;
8 35% of annual adjusted gross receipts in excess of
9 $100,000,000.
10 The taxes imposed by this Section shall be paid by the
11 licensed owner to the Board not later than 3:00 o'clock p.m.
12 of the day after the day when the wagers were made.
13 (b) Until January 1, 1998, 25% of the tax revenue
14 deposited in the State Gaming Fund under this Section shall
15 be paid, subject to appropriation by the General Assembly, to
16 the unit of local government which is designated as the home
17 dock of the riverboat. Beginning January 1, 1998 but except
18 as provided in Section 11.3, from the tax revenue deposited
19 in the State Gaming Fund under this Section, an amount equal
20 to 5% of adjusted gross receipts generated by a riverboat
21 shall be paid monthly, subject to appropriation by the
22 General Assembly, to the unit of local government that is
23 designated as the home dock of the riverboat. If a licensee
24 changes its home dock location pursuant to Section 11.3, the
25 amount paid under this subsection (b) shall be divided as
26 provided in Section 11.3.
27 (c) Appropriations, as approved by the General Assembly,
28 may be made from the State Gaming Fund to the Department of
29 Revenue and the Department of State Police for the
30 administration and enforcement of this Act.
31 (d) From time to time, the Board shall transfer the
32 remainder of the funds generated by this Act into the
33 Education Assistance Fund, created by Public Act 86-0018, of
34 the State of Illinois.
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1 (e) Nothing in this Act shall prohibit the unit of local
2 government designated as the home dock of the riverboat from
3 entering into agreements with other units of local government
4 in this State or in other states to share its portion of the
5 tax revenue.
6 (f) To the extent practicable, the Board shall
7 administer and collect the wagering taxes imposed by this
8 Section in a manner consistent with the provisions of
9 Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b,
10 6c, 8, 9, and 10 of the Retailers' Occupation Tax Act and
11 Section 3-7 of the Uniform Penalty and Interest Act.
12 (Source: P.A. 89-21, eff. 7-1-95; 90-548, eff. 12-4-97.)
13 Section 999. Effective date. This Act takes effect upon
14 becoming law.