State of Illinois
91st General Assembly
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Public Act 91-0040

SB1017 Enrolled                                LRB9105678LDmb

    AN ACT in relation to gambling, amending named Acts.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.   The  State Finance Act is amended by adding
Sections 5.490, 5.491, and 5.492 as follows:

    (30 ILCS 105/5.490 new)
    Sec. 5.490.  The Horse Racing Equity Fund.

    (30 ILCS 105/5.491 new)
    Sec. 5.491.  The Illinois  Racing  Quarterhorse  Breeders
Fund.

    (30 ILCS 105/5.492 new)
    Sec. 5.492.  The Horse Racing Fund.

    Section  10.  The  Illinois  Horse  Racing Act of 1975 is
amended by changing Sections 3.04, 3.075, 14, 15, 18, 20, 21,
26, 26.1, 27, 27.1, 28, 29, and 30 and adding  Sections  1.2,
1.3, 20.1, 28.1, 30.5, 32.1, 54, and 55 as follows:

    (230 ILCS 5/1.2 new)
    Sec.  1.2.   Legislative  intent. This Act is intended to
benefit the people of the  State  of  Illinois  by  assisting
economic  development  and  promoting  Illinois  tourism. The
General Assembly finds and  declares  it  to  be  the  public
policy of the State of Illinois to:
    (a)  support and enhance Illinois' horse racing industry,
which  is  a  significant  component  within the agribusiness
industry;
    (b)  ensure that Illinois' horse racing industry  remains
competitive with neighboring states;
    (c)  stimulate   growth  within  Illinois'  horse  racing
industry, thereby encouraging new investment and  development
to  produce  additional tax revenues and to create additional
jobs;
    (d)  promote the further growth of tourism;
    (e)  encourage   the   breeding   of   thoroughbred   and
standardbred horses in this State; and
    (f)  ensure that  public  confidence  and  trust  in  the
credibility  and  integrity  of  racing  operations  and  the
regulatory process is maintained.

    (230 ILCS 5/1.3 new)
    Sec. 1.3.  Legislative findings.
    (a)  The  General Assembly finds that the Illinois gaming
industry is a single industry consisting of horse racing  and
riverboat   gambling.   Reports  issued  by  the  legislative
Economic and Fiscal Commission in 1992, 1994, and  1998  have
found that horse racing and riverboat gambling:
         (1)  "share  many  of  the same characteristics" and
    are "more alike than different";
         (2)  are planned events;
         (3)  have similar odds of winning;
         (4)  occur in similar settings; and
         (5)  compete with  each  other  for  limited  gaming
    dollars.
    (b)  The  General  Assembly  declares it to be the public
policy of this State to ensure the viability  of  both  horse
racing and riverboat aspects of the Illinois gaming industry.

    (230 ILCS 5/3.04) (from Ch. 8, par. 37-3.04)
    Sec.  3.04.  "Director  of  mutuels" means the individual
representing the Board in the supervision and verification of
the pari-mutuel wagering pool totals  for  each  racing  day,
which  verification  shall  be  the basis for computing State
privilege or  pari-mutuel  taxes,  licensee  commissions  and
purses.
(Source: P.A. 89-16, eff. 5-30-95.)

    (230 ILCS 5/3.075)
    Sec.  3.075.   (a)  "Host  track"  means the organization
licensee (i) conducting live thoroughbred racing between  the
hours  of  6:30  a.m. and 6:30 p.m. from the first day to the
last day of its horse racing meet as  awarded  by  the  Board
(including  all  days  within that period when no live racing
occurs), except as otherwise provided in subsections (c)  and
(e)  of  this  Section,  or (ii) conducting live standardbred
racing between the hours of 6:30 p.m. to  6:30  a.m.  of  the
following day from the first day to the last day of its horse
racing  meet  as  awarded  by  the  Board (including all days
within that period when no  live  racing  occurs,  except  as
otherwise  provided  in subsections (b), (d), and (e) of this
Section); provided that the  organization  licensee  conducts
live  racing no fewer than 5 days per week with no fewer than
9 races per day, unless a lesser schedule of live  racing  is
the  result of (1) weather, unsafe track conditions, or other
acts of  God;  (2)  an  agreement  between  the  organization
licensee and the associations representing the largest number
of owners, trainers, and standardbred drivers who race horses
at  that  organization  licensee's  race  meeting,  with  the
Board's  consent;  or  (3)  a  decision  by the Board after a
public hearing (in which the  associations  representing  the
owners,  trainers,  jockeys, or standardbred drivers who race
horses at that organization  licensee's  race  meeting  shall
participate)  either  at the time racing dates are awarded or
after those  dates  are  awarded  due  to  changed  financial
circumstances,  upon a written petition from the organization
licensee,  accompanied  by  supporting  financial   data   as
requested   by  the  Board,  stating  that  the  organization
licensee has and will continue to incur significant financial
losses.  No organization licensee conducting its race meeting
in a county bordering the  Mississippi  River  and  having  a
population  greater  than 230,000 may be a host track for its
race meeting.
    (b)  (Blank).   Notwithstanding   the    provisions    of
subsection  (a)  of  this  Section, any organization licensee
that conducts a standardbred race meeting fewer than  5  days
per  week  between the hours of 6:30 p.m. and 6:30 a.m. prior
to December 31, 1995 in a county with a  population  of  less
than  1,000,000 and contiguous to the State of Indiana may be
deemed a host track during those hours on days when no  other
organization  licensee  is  conducting  a  standardbred  race
meeting during those hours.
    (c)  (Blank).  In  the event 2 organization licensees are
conducting thoroughbred race  meetings  concurrently  between
the  hours  of  6:30  a.m.  and  6:30  p.m., the organization
licensee with the most race dates between the hours  of  6:30
a.m.  and  6:30 p.m. awarded by the Board for that year shall
be designated the host track.
    (d)  Notwithstanding the provisions of subsection (a)  of
this  Section  and except as otherwise provided in subsection
(e) of  this  Section,  in  the  event  that  2  organization
licensees    conduct   their   standardbred   race   meetings
concurrently on any date after January 1, 1996,  between  the
hours  of  6:30 p.m. and 6:30 a.m., the organization licensee
awarded the most racing dates between 6:30 p.m. and 6:30 a.m.
during the calendar year  in  which  that  concurrent  racing
occurs  will  be  deemed  the host track, provided that the 2
organization licensees collectively conduct live standardbred
racing between 6:30 p.m. and 6:30 a.m.  during  the  week  in
which  concurrent race meetings occur no less than 5 days per
week with no less than 9 races per day.  During each week  of
the  calendar  year  in  which  2  organization licensees are
conducting live standardbred race meetings between 6:30  p.m.
and 6:30 a.m., if there is any day in that week on which only
one  organization  licensee is conducting a standardbred race
meeting between 6:30 p.m. and 6:30  a.m.,  that  organization
licensee  shall  be  the  host  track  provided  that  the  2
organization licensees collectively conduct live standardbred
racing  between  6:30  p.m.  and 6:30 a.m. during the week in
which concurrent race meetings occur no less than 5 days  per
week  with no less than 9 races per day.  During each week of
the calendar year  in  which  2  organization  licensees  are
concurrently  conducting  live  standardbred race meetings on
one or more days between 6:30 p.m. and 6:30 a.m., if there is
any day in that week on which  no  organization  licensee  is
conducting  a standardbred race meeting between 6:30 p.m. and
6:30   a.m.,   the   organization   licensee   conducting   a
standardbred race meeting during that week  and  time  period
that  has  been  awarded  the  most  racing  dates during the
calendar year between 6:30 p.m. and 6:30 a.m.  shall  be  the
host  track,  provided  that  the  2  organization  licensees
collectively  conduct  live  standardbred racing between 6:30
p.m. and 6:30 a.m. during the week in which  concurrent  race
meetings occur no less than 5 days per week with no less than
9 races per day.  The requirement in this subsection (d) that
live racing be conducted no less than 5 days per week with no
less  than 9 races per day shall be subject to exceptions set
forth in items (1), (2), and (3) of subsection (a) of Section
3.075.
    (e)  During any calendar period in which no  organization
licensee  has  been  awarded a thoroughbred race meeting, the
host track, between the hours of 6:30 a.m. and 6:30  p.m.  of
such  period, shall be an organization licensee determined by
the  Board,  provided  the  organization  licensee  has  been
awarded a thoroughbred race meeting in the current  year  and
is  eligible  to  be  a  host  track.  During the period from
January 1 to the third Friday in February, inclusive,  if  no
live  thoroughbred  racing is occurring in Illinois, the host
track between 6:30 a.m. and 6:30 p.m. during this  period  of
the  year  from  the  first  day  to the last day of its race
meeting including all days when  it  does  not  conduct  live
racing  between  6:30  a.m. and 6:30 p.m. is the organization
licensee that conducts live standardbred racing between  6:30
a.m.  and 6:30 p.m. during the week in which its race meeting
occurs, provided that the organization licensee conducts live
standardbred racing no less than 5 days per week with no less
than 9  races  per  day.  If  2  organization  licensees  are
conducting standardbred race meetings concurrently on any day
or  on  different days within the same week between the hours
of 6:30 a.m. and 6:30 p.m. during the period from  January  1
to  the  third  Friday  in  February,  inclusive,  if no live
thoroughbred racing is  occurring  in  Illinois  during  this
period,  the  host  track  shall be the organization licensee
with the most race dates awarded by the  Board  between  6:30
a.m.  and  6:30  p.m. for this period and shall be deemed the
host track from the first day to the last  day  of  its  race
meeting  during  this  period  including  all days within the
period when no  live  racing  occurs,  provided  that  the  2
organization licensees collectively conduct live standardbred
racing  between  6:30  a.m.  and 6:30 p.m. during the week in
which concurrent race meetings occur no less than 5 days  per
week  with  no  less than 9 races per day.  If 2 organization
licenses   are   conducting   standardbred   race    meetings
concurrently  on  any  day between the hours of 6:30 p.m. and
6:30 a.m. of January 1  to  the  third  Friday  in  February,
inclusive,  the host track shall be the organization licensee
with the most race dates awarded by the  Board  between  6:30
p.m.  and  6:30  a.m. during this period, provided that the 2
organization licensees collectively conduct live standardbred
racing between 6:30 p.m. and 6:30 a.m.  during  the  week  in
which  concurrent race meetings occur no less than 5 days per
week with no less than 9 races per day.  The  requirement  in
this  subsection  (e)  that  live racing be conducted no less
than 5 days per week with no less than 9 races per day  shall
be  subject  to exceptions set forth in subsections (1), (2),
and (3) of subsection (a) of Section 3.075.
(Source: P.A. 89-16, eff. 5-30-95.)

    (230 ILCS 5/14) (from Ch. 8, par. 37-14)
    Sec. 14.  (a)  The Board shall hold regular  and  special
meetings  at  such  times  and  places as may be necessary to
perform properly and effectively all  duties  required  under
this  Act.   A  majority  of  the  members of the Board shall
constitute a quorum for the transaction of any business,  for
the performance of any duty, or for the exercise of any power
which  this  Act  requires  the  Board  members  to transact,
perform or exercise en banc, except that upon  order  of  the
Board  one  of  the  Board   members  may conduct the hearing
provided in Section 16.  The  Board  member  conducting  such
hearing shall have all powers and rights granted to the Board
in  this  Act.   The  record  made  at  the  hearing shall be
reviewed by  the  Board,  or  a  majority  thereof,  and  the
findings  and  decision  of  the  majority of the Board shall
constitute the order of the Board in such case.
    (b)  The Board shall obtain a court reporter who will  be
present  at   each regular and special meeting and proceeding
and who shall make  accurate  transcriptions  thereof  except
that when in the judgment of the Board an emergency situation
requires  a meeting by teleconference, the executive director
shall prepare minutes of the meeting indicating the date  and
time  of  the  meeting  and  which  members of the Board were
present  or  absent,  summarizing   all   matters   proposed,
deliberated,  or  decided  at the meeting, and indicating the
results of all votes taken.  The public shall be  allowed  to
listen to the proceedings of that meeting at all Board branch
offices.
    (c)  The  Board  shall provide records which are separate
and  distinct from the records of any other  State  board  or
commission.  Such  records  shall  be  available  for  public
inspection   and   shall   accurately   reflect   all   Board
proceedings.
    (d)  The  Board  shall  file a written annual report with
the Governor  on  or  before  March  1  each  year  and  such
additional  reports  as the Governor may request.  The annual
report  shall   include   a   statement   of   receipts   and
disbursements  by  the  Board,  actions taken by the Board, a
report  on  the  industry's  progress   toward   the   policy
objectives  established  in  Section 1.2 of this Act, and any
additional information and recommendations  which  the  Board
may deem valuable or which the Governor may request.
    (e)  The  Board  shall  maintain  a  branch office on the
ground of every organization licensee during the organization
licensee's race meeting, which  office  shall  be  kept  open
throughout  the  time  the  race  meeting is held.  The Board
shall designate one of its members,  or an  authorized  agent
of  the  Board  who  shall have the  authority to act for the
Board, to be in charge of the branch office during  the  time
it is required to be kept open.
(Source: P.A. 88-495; 89-16, eff. 5-30-95.)

    (230 ILCS 5/15) (from Ch. 8, par. 37-15)
    Sec.  15.   (a) The Board shall, in its discretion, issue
occupation  licenses  to  horse  owners,  trainers,   harness
drivers,   jockeys,   agents,   apprentices,  grooms,  stable
foremen,    exercise    persons,    veterinarians,    valets,
blacksmiths, concessionaires and  others  designated  by  the
Board  whose  work,  in  whole  or in part, is conducted upon
facilities within the State.  Such occupation  licenses  will
be  obtained prior to the  persons engaging in their vocation
upon such facilities. The Board shall not license pari-mutuel
clerks, parking attendants, security guards and employees  of
concessionaires.   No occupation license shall be required of
any person who works at facilities within  this  State  as  a
pari-mutuel clerk, parking attendant, security guard or as an
employee of a concessionaire. Concessionaires of the Illinois
State  Fair  and  DuQuoin  State  Fair  and  employees of the
Illinois Department of Agriculture shall not be  required  to
obtain an occupation license by the Board.
    (b)  Each  application for an occupation license shall be
on forms prescribed by the Board.  Such license, when issued,
shall be for the period ending  December  31  of  each  year,
except  that  the  Board  in  its discretion may grant 3-year
licenses.  The application shall be accompanied by a  fee  of
not  more  than  $25  per  year  or,  in  the  case of 3-year
occupation license applications, a fee of not more than  $60.
Each  applicant  shall  set forth in the application his full
name and address, and if he had been issued prior  occupation
licenses  or  has  been licensed in any other state under any
other name, such name, his age, whether or not  a  permit  or
license  issued  to him in any other state has been suspended
or revoked and if so whether such suspension or revocation is
in effect at the time of  the  application,  and  such  other
information  as  the Board may require. Fees for registration
of stable names shall not exceed $50.00.
    (c)  The Board may in its discretion refuse an occupation
license to any person:
         (1)  who has been convicted of a crime;
         (2)  who  is  unqualified  to  perform  the   duties
    required of such applicant;
         (3)  who  fails  to  disclose  or states falsely any
    information called for in the application;
         (4)  who has been found guilty  of  a  violation  of
    this Act or of the rules and regulations of the Board; or
         (5)  whose  license  or  permit  has been suspended,
    revoked or denied for just cause in any other state.
    (d)  The Board  may  suspend  or  revoke  any  occupation
license:
         (1)  for  violation of any of the provisions of this
    Act; or
         (2)  for  violation  of  any   of   the   rules   or
    regulations of the Board; or
         (3)  for  any  cause  which,  if known to the Board,
    would have justified the Board in refusing to issue  such
    occupation license; or
         (4)  for any other just cause.
    (e)  Each  applicant  for licensure shall submit with his
occupation license application,  on  forms  provided  by  the
Board,  2 sets of his fingerprints. All such applicants shall
appear in person at the location designated by the Board  for
the purpose of submitting such sets of fingerprints; however,
with  the prior approval of a State steward, an applicant may
have such sets of  fingerprints  taken  by  an  official  law
enforcement agency and submitted to the Board.
    The  Board shall cause one set of such fingerprints to be
compared with fingerprints  of  criminals  now  or  hereafter
filed  in  the  records  of  the Illinois Department of State
Police.  The Board shall also cause such fingerprints  to  be
compared  with  fingerprints  of  criminals  now or hereafter
filed in the records  of  other  official  fingerprint  files
within or without this State.
    The  Board  may, in its discretion, require the applicant
to pay a fee for  the  purpose  of  having  his  fingerprints
processed.   The  fingerprint  processing  fee  shall  be set
annually by the Director of State Police, based  upon  actual
costs.
    (f)  The   Board   may,   in  its  discretion,  issue  an

occupation license without submission of fingerprints  if  an
applicant has been duly licensed in another recognized racing
jurisdiction  state  after  submitting  fingerprints  in that
jurisdiction state.
(Source: P.A. 88-495; 89-16, eff. 5-30-95.)

    (230 ILCS 5/18) (from Ch. 8, par. 37-18)
    Sec.  18.  (a)  Together  with  its   application,   each
applicant  for  racing  dates  shall  deliver  to the Board a
certified check or bank draft payable to  the  order  of  the
Board  for  $1,000.   In  the event the applicant applies for
racing dates in 2 or 3 successive calendar years as  provided
in  subsection  (b)  of  Section 21, the fee shall be $2,000.
Filing  fees  shall  not  be  refunded  in  the   event   the
application is denied.
    (b)  In  addition to the filing fee of $1000 and the fees
provided in subsection (j) of Section 20,  each  organization
licensee  shall  pay  a  license  fee of $100 for each racing
program on which its daily pari-mutuel handle is $400,000  or
more  but  less  than $700,000, and a license fee of $200 for
each racing program on which its daily pari-mutuel handle  is
$700,000  or  more.  The  additional fees required to be paid
under this Section by this amendatory Act of  1982  shall  be
remitted  by the organization licensee to the Illinois Racing
Board with each day's graduated privilege tax or  pari-mutuel
tax and breakage as provided under Section 27.
    (c)   Sections  11-42-1,  11-42-5,  and  11-54-1  of  the
"Illinois Municipal Code," approved May 29, 1961, as  now  or
hereafter  amended, shall not apply to any license under this
Act.
(Source: P.A. 88-495; 89-16, eff. 5-30-95.)

    (230 ILCS 5/20) (from Ch. 8, par. 37-20)
    Sec. 20. (a) Any person desiring to conduct a horse  race
meeting  may  apply to the Board for an organization license.
The application shall  be  made  on  a  form  prescribed  and
furnished by the Board.  The application shall specify:
         (1)  the  dates  on  which it intends to conduct the
    horse race meeting, which dates shall be  provided  under
    Section 21;
         (2)  the  hours  of each racing day between which it
    intends to hold or conduct horse racing at such meeting;
         (3)  the location where it proposes to  conduct  the
    meeting; and
         (4)  any  other information the Board may reasonably
    require.
    (b)  A separate application for an  organization  license
shall  be filed for each horse race meeting which such person
proposes to  hold.  Any  such  application,  if  made  by  an
individual,  or by any individual as trustee, shall be signed
and verified under oath  by  such  individual.   If  made  by
individuals or a partnership, it shall be signed and verified
under  oath  by  at least 2 of such individuals or members of
such   partnership  as  the  case  may  be.  If  made  by  an
association,  corporation,  corporate  trustee  or  any other
entity, it shall be signed by the president and  attested  by
the  secretary  or assistant secretary under the seal of such
association, trust or corporation if it has a seal, and shall
also be verified under oath by one of the signing officers.
    (c)  The  application  shall  specify  the  name  of  the
persons,  association,  trust,  or  corporation  making  such
application and the post office address of the applicant;  if
the  applicant  is  a trustee, the names and addresses of the
beneficiaries; if a corporation, the names  and  post  office
addresses  of all officers, stockholders and directors; or if
such stockholders hold stock as a  nominee or fiduciary,  the
names   and   post   office   addresses   of  these  persons,
partnerships, corporations, or trusts who are the  beneficial
owners  thereof  or  who are beneficially interested therein;
and if a partnership, the names and post office addresses  of
all  partners,  general  or  limited;  if  the applicant is a
corporation, the name of the state of its incorporation shall
be specified.
    (d)  The applicant shall execute and file with the  Board
a  good  faith affirmative action plan to recruit, train, and
upgrade  minorities  in  all   classifications   within   the
association.
    (e)  With  such  application  there shall be delivered to
the Board a certified check or  bank  draft  payable  to  the
order  of  the  Board  for  an  amount  equal  to $1,000. All
applications for the  issuance  of  an  organization  license
shall  be  filed  with  the Board before August 1 of the year
prior to the year for which application  for  race  dates  is
made  and shall be acted upon by the Board at a meeting to be
held on such date  as shall be fixed by the Board during  the
last  15  days  of  September  of  such  prior year provided,
however,  that  for  applications  for  1996  racing   dates,
applications  shall  be filed prior to September 1, 1995.  At
such meeting, the Board  shall  announce  the  award  of  the
racing  meets,  live racing schedule, and designation of host
track to the applicants and its approval  or  disapproval  of
each  application.  to respective applicants racing dates for
the year or years but No  announcement  shall  be  considered
binding  until a formal order is executed by the Board, which
shall be executed no later than  October  15  of  that  prior
year.  Absent  the  agreement  of  the  affected organization
licensees,  the  Board  shall  not  grant  overlapping   race
meetings  to  2  or  more tracks that are within 100 miles of
each other to conduct the thoroughbred racing.
    (e-5)  In reviewing an application  for  the  purpose  of
granting  an  organization  license  consistent with the best
interests of the public and the sport of  horse  racing,  the
Board shall consider:
         (1)  the   character,  reputation,  experience,  and
    financial integrity of the applicant  and  of  any  other
    separate person that either:
              (i)  controls   the   applicant,   directly  or
         indirectly, or
              (ii)  is controlled, directly or indirectly, by
         that applicant or by a person who controls, directly
         or indirectly, that applicant;
         (2)  the   applicant's   facilities   or    proposed
    facilities for conducting horse racing;
         (3)  the  total  revenue  without  regard to Section
    32.1 to be derived by the State  and  horsemen  from  the
    applicant's conducting a race meeting;
         (4)  the  applicant's  good faith affirmative action
    plan to recruit, train, and  upgrade  minorities  in  all
    employment classifications;
         (5)  the  applicant's  financial ability to purchase
    and maintain adequate liability and casualty insurance;
         (6)  the  applicant's  proposed  and  prior   year's
    promotional  and marketing activities and expenditures of
    the applicant associated with those activities;
         (7)  an  agreement,  if  any,   among   organization
    licensees  as provided in subsection (b) of Section 21 of
    this Act; and
         (8)  the extent to which the  applicant  exceeds  or
    meets other standards for the issuance of an organization
    license that the Board shall adopt by rule.
    In  granting  organization  licenses and allocating dates
for horse race meetings, the Board shall have  discretion  to
determine  an overall schedule, including required simulcasts
of Illinois races by host tracks that will, in its  judgment,
be  conducive  to  the  best  interests of the public and the
sport of horse racing.

    (e-10)  The Illinois Administrative Procedure  Act  shall
apply  to  administrative  procedures of the Board under this
Act for the granting of an organization license, except  that
(1)  notwithstanding  the  provisions  of  subsection  (b) of
Section 10-40 of the Illinois  Administrative  Procedure  Act
regarding  cross-examination,  the  Board may prescribe rules
limiting the right of an  applicant  or  participant  in  any
proceeding  to  award  an  organization  license  to  conduct
cross-examination  of witnesses at that proceeding where that
cross-examination would unduly obstruct the timely  award  of
an organization license under subsection (e) of Section 20 of
this Act; (2) the provisions of Section 10-45 of the Illinois
Administrative Procedure Act regarding proposals for decision
are   excluded   under  this  Act;  (3)  notwithstanding  the
provisions of subsection (a) of Section 10-60 of the Illinois
Administrative   Procedure    Act    regarding    ex    parte
communications,  the  Board  may  prescribe rules allowing ex
parte communications with applicants  or  participants  in  a
proceeding  to award an organization license where conducting
those communications would be in the best interest of racing,
provided all those communications are made part of the record
of that proceeding pursuant  to  subsection  (c)  of  Section
10-60  of  the Illinois Administrative Procedure Act; (4) the
provisions of Section 14a of this Act and the  rules  of  the
Board  promulgated  under that Section shall apply instead of
the provisions of Article 10 of the  Illinois  Administrative
Procedure  Act  regarding  administrative law judges; and (5)
the provisions of subsection (d)  of  Section  10-65  of  the
Illinois  Administrative  Procedure  Act that prevent summary
suspension of a license pending revocation  or  other  action
shall not apply.
    (f)  The  Board may allot racing dates to an organization
licensee for more than one calendar year but for no more than
3 successive calendar years in  advance,  provided  that  the
Board  shall review such allotment for more than one calendar
year prior to each year for which  such  allotment  has  been
made.   The  granting  of an organization license to a person
constitutes a privilege to conduct a horse race meeting under
the  provisions  of  this  Act,  and  no  person  granted  an
organization  license  shall  be  deemed  to  have  a  vested
interest, property right, or future expectation to receive an
organization license in any subsequent year as  a  result  of
the   granting   of  an  organization  license.  Organization
licenses shall be subject to revocation if  the  organization
licensee  has violated any provision of this Act or the rules
and regulations  promulgated  under  this  Act  or  has  been
convicted  of a crime or has failed to disclose or has stated
falsely any information called for in the application for  an
organization  license.   Any  organization license revocation
proceeding shall be in accordance with Section  16  regarding
suspension and revocation of occupation licenses.
    (f-5)  If,  (i)  an applicant does not file an acceptance
of the racing dates awarded by the Board  as  required  under
part  (1)  of  subsection  (h) of this Section 20, or (ii) an
organization licensee has its license  suspended  or  revoked
under  this  Act,  the  Board,  upon  conducting an emergency
hearing as provided for  in  this  Act,  may  reaward  on  an
emergency  basis  pursuant to rules established by the Board,
racing dates not accepted or the racing dates associated with
any  suspension  or  revocation  period  to   one   or   more
organization  licensees,  new  applicants, or any combination
thereof, upon terms and conditions that the Board  determines
are   in   the   best   interest  of  racing,  provided,  the
organization  licensees  or  new  applicants  receiving   the
awarded  racing  dates  file an acceptance of those reawarded
racing dates as required under paragraph  (1)  of  subsection
(h)  of  this Section 20 and comply with the other provisions
of this Act.   The  Illinois  Administrative  Procedures  Act
shall not apply to the administrative procedures of the Board
in  conducting  the emergency hearing and the reallocation of
racing dates on an emergency basis.
    (g)  (Blank).
    (h)  The Board shall send the applicant  a  copy  of  its
formally  executed  order  by certified mail addressed to the
applicant at the address stated  in  his  application,  which
notice  shall  be mailed within 5 days of the date the formal
order is executed.
    Each applicant  notified  shall,  within  10  days  after
receipt  of  the  final  executed order of the Board awarding
racing dates:
         (1)  file with the Board an acceptance of such award
    in the form prescribed by the Board;
         (2)  pay to the Board an additional amount equal  to
    $110 for each racing date awarded; and
         (3)  file  with  the  Board  the  bonds  required in
    Sections 21 and 25 at least 20 days prior  to  the  first
    day of each race meeting.
Upon  compliance  with the provisions of paragraphs (1), (2),
and (3) of this subsection (h), the applicant shall be issued
an organization license.
    If any applicant fails to comply  with  this  Section  or
fails  to  pay the organization license fees herein provided,
no organization license shall be issued to such applicant.
(Source: P.A.  88-495;  89-16,  eff.  5-30-95;  89-626,  eff.
8-9-96.)

    (230 ILCS 5/20.1 new)
    Sec. 20.1.  Authority of licensees.
    (a)  Notwithstanding   anything   in   this  Act  to  the
contrary, an organization licensee shall have authority to:
         (1)  determine  prices   charged   for   goods   and
    services;
         (2)  determine prices charged for wagering products,
    subject to Sections 26 and 26.2 of this Act;
         (3)  determine its hours of operation, subject to at
    least 30 days prior notice to the Board if such hours are
    different  than  provided  such  licensee's  racing dates
    application; and
         (4)  otherwise manage its business operations.
    (b)  The Board may disapprove of any  business  practices
by  organization  licensees  identified  in subsection (a) of
this Section if the  Board  finds  that  such  practices  are
detrimental to the public interest.

    (230 ILCS 5/21) (from Ch. 8, par. 37-21)
    Sec.  21. (a) Applications for organization licenses must
be filed with the Board at a time and place prescribed by the
rules and regulations of the Board.  The Board shall  examine
the  applications  within  21 days after the date allowed for
filing with respect to their conformity  with  this  Act  and
such  rules   and  regulations  as  may  be prescribed by the
Board.  If any application does not comply with this  Act  or
the  rules  and  regulations  prescribed  by  the Board, such
application may  be  rejected  and  an  organization  license
refused to the applicant, or the Board may, within 21 days of
the  receipt of such application, advise the applicant of the
deficiencies of the application under the Act  or  the  rules
and regulations of the Board, and require the submittal of an
amended  application  within  a reasonable time determined by
the Board; and upon submittal of the amended  application  by
the   applicant,  the  Board  may  consider  the  application
consistent with the process described in subsection (e-5)  of
Section  20  of this Act.  If it is found to be in compliance
with this Act and the rules and regulations of the Board, the
Board  may  then  issue  an  organization  license  to   such
applicant.
    (b)  The Board may exercise discretion in granting racing
dates  to qualified applicants different from those requested
by the applicants in their  applications.   However,  if  all
eligible  applicants  for  organization licenses whose tracks
are located within 100 miles of each other execute and submit
to the Board a written agreement among such applicants as  to
the  award of racing dates, including where applicable racing
programs, for up to 3  consecutive  years,  then  subject  to
annual review of each applicant's compliance with Board rules
and  regulations,  provisions  of  this  Act  and  conditions
contained  in  annual  dates  orders issued by the Board, the
Board may grant such dates and programs to such applicants as
so agreed by them if the Board determines that the  grant  of
these  racing  dates is in the best interests of racing.  The
Board  shall  treat  any  such  agreement  as  the  agreement
signatories' joint and several application for  racing  dates
during the term of the agreement.
    (c)  Where  2 or more applicants propose to conduct horse
race meetings within 35 miles of each other, as certified  to
the   Board  under  Section  19  (a)  (1)  of  this  Act,  on
conflicting dates, the Board  may  determine  and  grant  the
number of racing days to be awarded to the several applicants
in  accordance  with  the  provisions  of subsection (e-5) of
Section 20 of this Act.
    (d)  (Blank).
    (e)  Prior to the issuance of  an  organization  license,
the applicant shall file with the Board a bond payable to the
State  of  Illinois  in  the sum of $200,000, executed by the
applicant and a surety company or companies authorized to  do
business  in  this State, and conditioned upon the payment by
the organization licensee of all taxes due under Section  27,
other  monies  due and payable under this Act, all purses due
and payable, and that the  organization  licensee  will  upon
presentation  of the winning ticket or tickets distribute all
sums due to the patrons of pari-mutuel pools.
    (f)  Each organization license shall specify  the  person
to  whom  it  is issued, the dates upon which horse racing is
permitted, and the location, place, track, or enclosure where
the horse race meeting is to be held.
    (g)  Any person who owns one or more race  tracks  within
the  State may seek, in its own name, a separate organization
license for each race track.
    (h)  All racing conducted under such organization license
is subject to this Act and to the rules and regulations  from
time  to  time  prescribed  by  the  Board,  and  every  such
organization  license  issued  by  the  Board shall contain a
recital to that effect.
    (i)  Each such organization licensee may provide that  at
least  one  race  per  day  may  be  devoted to the racing of
quarter horses, appaloosas, arabians, or paints.
    (j)  In acting on applications for organization licenses,
the Board shall give weight to an organization license  which
has  implemented  a  good  faith affirmative action effort to
recruit, train and upgrade minorities in all  classifications
within the organization license.
(Source: P.A. 89-16, eff. 5-30-95; 90-754, eff. 1-1-99.)

    (230 ILCS 5/26) (from Ch. 8, par. 37-26)
    Sec. 26. Wagering.
    (a)  Any   licensee   may   conduct   and  supervise  the
pari-mutuel system of wagering, as defined in Section 3.12 of
this  Act,  on  horse  races   conducted   by   an   Illinois
organization  licensee or conducted at a racetrack located in
another  state  or  country  and  televised  in  Illinois  in
accordance with subsection (g) of Section  26  of  this  Act.
Subject  to  the  prior  consent  of the Board, licensees may
supplement any pari-mutuel  pool  in  order  to  guarantee  a
minimum  distribution.   Such  pari-mutuel method of wagering
shall not, under any circumstances  if  conducted  under  the
provisions  of this Act, be held or construed to be unlawful,
other statutes of this State to the contrary notwithstanding.
Subject to rules for  advance  wagering  promulgated  by  the
Board,  any  licensee may accept wagers up to 2 calendar days
in advance of the day of the race wagered upon occurs.
    (b)  No other method of betting, pool making, wagering or
gambling shall be used or permitted by  the  licensee.   Each
licensee may retain, subject to the payment of all applicable
taxes  and  purses,  an amount not to exceed 17% of all money
wagered under subsection (a) of this Section, except  as  may
otherwise be permitted under this Act.
    (b-5)  An   individual   may  place  a  wager  under  the
pari-mutuel system  from  any  licensed  location  authorized
under this Act provided that wager is electronically recorded
in  the  manner  described  in  Section 3.12 of this Act. Any
wager made electronically by an individual  while  physically
on  the  premises  of a licensee shall be deemed to have been
made at the premises of that licensee.
    (c)  Until January 1, 2000, the sum held by any  licensee
for  payment of outstanding pari-mutuel tickets, if unclaimed
prior to December 31 of the next year, shall be  retained  by
the  licensee  for  payment  of such tickets until that date.
Within 10 days thereafter, the balance of such sum  remaining
unclaimed,  less any uncashed supplements contributed by such
licensee   for   the   purpose   of   guaranteeing    minimum
distributions  of  any pari-mutuel pool, shall be paid to the
Illinois Veterans' Rehabilitation Fund of the State treasury,
except as provided in subsection (g) of Section  27  of  this
Act.
    (c-5)  Beginning  January  1,  2000,  the sum held by any
licensee for payment of outstanding pari-mutuel  tickets,  if
unclaimed  prior  to  December  31 of the next year, shall be
retained by the licensee for payment of  such  tickets  until
that  date.   Within  10 days thereafter, the balance of such
sum  remaining  unclaimed,  less  any  uncashed   supplements
contributed  by such licensee for the purpose of guaranteeing
minimum distributions  of  any  pari-mutuel  pool,  shall  be
evenly  distributed  to the purse account of the organization
licensee and the organization licensee.
    (d)  A pari-mutuel ticket shall be honored until December
31 of the next calendar year, and the licensee shall pay  the
same  and  may charge the amount thereof against unpaid money
similarly accumulated on account of pari-mutuel  tickets  not
presented for payment.
    (e)  No  licensee shall knowingly permit any minor, other
than an employee of  such  licensee  or  an  owner,  trainer,
jockey,  driver, or employee thereof, to be admitted during a
racing program unless accompanied by a parent or guardian, or
any minor to  be  a  patron  of  the  pari-mutuel  system  of
wagering conducted or supervised by it.  The admission of any
unaccompanied  minor,  other than an employee of the licensee
or an owner, trainer, jockey, driver, or employee thereof  at
a race track is a Class C misdemeanor.
    (f)  Notwithstanding the other provisions of this Act, an
organization licensee may, contract with an entity in another
state  or  country  to  permit  any  legal wagering entity in
another state or country to accept wagers solely within  such
other state or country on races conducted by the organization
licensee  in  this  State.  Beginning  January 1, 2000, these
wagers shall not be subject to State taxation.  Until January
1, 2000, when the out-of-State entity conducts a  pari-mutuel
pool separate from the organization licensee, a privilege tax
equal  to  7  1/2% of all monies received by the organization
licensee from entities in other states or countries  pursuant
to  such  contracts  is imposed on the organization licensee,
and such privilege tax shall be remitted to the Department of
Revenue within 48 hours of receipt of  the  moneys  from  the
simulcast.   When the out-of-State entity conducts a combined
pari-mutuel pool with  the  organization  licensee,  the  tax
shall  be  10%  of  all  monies  received by the organization
licensee with 25% of the receipts from this  10%  tax  to  be
distributed to the county in which the race was conducted.
    An  organization  licensee  may permit one or more of its
races to be utilized for pari-mutuel wagering at one or  more
locations  in  other states and may transmit audio and visual
signals of races the organization licensee conducts to one or
more locations outside the State  or  country  and  may  also
permit  pari-mutuel  pools in other states or countries to be
combined with  its  gross  or  net  wagering  pools  or  with
wagering pools established by other states.
    (g)  A  host track may accept interstate simulcast wagers
on horse races conducted in other  states  or  countries  and
shall  control  the  number of signals and types of breeds of
racing in its simulcast program, subject to  the  disapproval
of  the  Board.   The  Board may prohibit a simulcast program
only if it  finds  that  the  simulcast  program  is  clearly
adverse to the integrity of racing.  The host track simulcast
program  shall  include  the  signal  of  live  racing of all
organization licensees. All non-host  licensees  shall  carry
the  host  track  simulcast  program and accept wagers on all
races included as part of the simulcast  program  upon  which
wagering  is  permitted.  The  costs and expenses of the host
track  and  non-host  licensees  associated  with  interstate
simulcast wagering, other than the interstate commission fee,
shall be borne by the host track and all  non-host  licensees
incurring  these  costs.  The interstate commission fee shall
not exceed 5% of Illinois handle on the interstate  simulcast
race or races without prior approval of the Board.  The Board
shall  promulgate  rules under which it may permit interstate
commission fees in excess of 5%.  The  interstate  commission
fee   and  other  fees  charged  by  the  sending  racetrack,
including, but not limited to, satellite decoder fees,  shall
be  uniformly  applied  to  the  host  track and all non-host
licensees.
         (1)  Between the hours of 6:30 a.m. and 6:30 p.m. an
    intertrack wagering licensee other than  the  host  track
    may  supplement  the  host  track  simulcast program with
    additional simulcast races  or  race  programs,  provided
    that  between  January 1 and the third Friday in February
    of any year, inclusive, if no live thoroughbred racing is
    occurring  in   Illinois   during   this   period,   only
    thoroughbred   races   may   be   used  for  supplemental
    interstate simulcast purposes.  The Board shall  withhold
    approval  for a supplemental interstate simulcast only if
    it finds that the simulcast is  clearly  adverse  to  the
    integrity of racing.  A supplemental interstate simulcast
    may  be  transmitted from an intertrack wagering licensee
    to its affiliated  non-host  licensees.   The  interstate
    commission  fee  for  a supplemental interstate simulcast
    shall be paid by the non-host licensee and its affiliated
    non-host licensees receiving the simulcast.
         (2)  Between the hours of 6:30 p.m. and 6:30 a.m. an
    intertrack wagering licensee other than  the  host  track
    may  receive supplemental interstate simulcasts only with
    the consent of the host track,  except  when   the  Board
    finds  that  the  simulcast  is  clearly  adverse  to the
    integrity  of  racing.   Consent   granted   under   this
    paragraph  (2)  to any intertrack wagering licensee shall
    be  deemed  consent  to  all  non-host  licensees.    The
    interstate commission fee for the supplemental interstate
    simulcast  shall  be  paid  by all participating non-host
    licensees.
         (3)  Each licensee conducting  interstate  simulcast
    wagering  may  retain,  subject  to  the  payment  of all
    applicable taxes and the purses, an amount not to  exceed
    17%  of all money wagered.  If any licensee conducts  the
    pari-mutuel  system  wagering  on  races   conducted   at
    racetracks in another state or country, each such race or
    race  program  shall  be considered a separate racing day
    for the purpose  of  determining  the  daily  handle  and
    computing  the  privilege  tax  of  that  daily handle as
    provided in subsection (a) of Section 27.  Until  January
    1,  2000, from the sums permitted to be retained pursuant
    to this subsection,  each  intertrack  wagering  location
    licensee  shall  pay 1% of the pari-mutuel handle wagered
    on simulcast wagering to the Horse Racing Tax  Allocation
    Fund,  subject  to  the provisions of subparagraph (B) of
    paragraph (11) of subsection (h) of Section  26  of  this
    Act.
         (4)  A licensee who receives an interstate simulcast
    may  combine  its  gross  or  net pools with pools at the
    sending racetracks pursuant to rules established  by  the
    Board.   All licensees combining their gross or net pools
    with  pools  at  a  sending  racetrack  shall  adopt  the
    take-out percentages of the sending racetrack. A licensee
    may also establish a separate pool and takeout  structure
    for  wagering  purposes on races conducted at race tracks
    outside of the  State  of  Illinois.   The  licensee  may
    permit  pari-mutuel  wagers  placed  in  other  states or
    countries to be combined with its gross or  net  wagering
    pools or other wagering pools.
         (5)  After  the payment of the interstate commission
    fee (except  for  the  interstate  commission  fee  on  a
    supplemental interstate simulcast, which shall be paid by
    the  host track and by each non-host licensee through the
    host-track) and all applicable  State  and  local  taxes,
    except  as  provided  in  subsection (g) of Section 27 of
    this Act, the remainder of moneys retained from simulcast
    wagering pursuant to this  subsection  (g),  and  Section
    26.2 shall be divided as follows:
              (A)  For  interstate simulcast wagers made at a
         host track, 50% to the host track and 50% to  purses
         at the host track.
              (B)  For  wagers placed on interstate simulcast
         races,  supplemental  simulcasts   as   defined   in
         subparagraphs  (1)  and  (2),  and separately pooled
         races conducted outside of  the  State  of  Illinois
         wagers  made  at  a  non-host licensee other than as
         provided in subparagraph (C)  of  paragraph  (5)  of
         this  subsection  (g)  and  paragraph  (11)  of this
         subsection (g), 25% to the host track,  25%  to  the
         non-host licensee, and 50% to the purses at the host
         track.
              (C)  For  interstate simulcast wagers made on a
         supplemental interstate simulcast, 25% to  the  host
         track,  25%  to the non-host licensee from which the
         interstate commission fee shall be paid, and 50%  to
         the purses at the host track.
              (D)  For   interstate  simulcast  wagers  on  a
         standardbred race or races  made  at  a  host  track
         between the hours of 6:30 a.m. and 6:30 p.m. between
         January   1   and  the  third  Friday  in  February,
         inclusive,  if  no  live  thoroughbred   racing   is
         occurring in Illinois during this period, 50% to the
         host  track  and  50%  to standardbred purses at the
         host track.
              (E)  For  interstate  simulcast  wagers  on   a
         standardbred  race  or  races  made  at  a  non-host
         licensee  between  the  hours  of 6:30 a.m. and 6:30
         p.m. between January  1  and  the  third  Friday  in
         February,  inclusive, if no live thoroughbred racing
         is occurring in Illinois during this period, 25%  to
         the  host  track,  25% to the non-host licensee, and
         50% to standardbred purses at the host track.
              (F)  For  interstate  simulcast  wagers  on   a
         thoroughbred  race  or races at a host track between
         the hours of 6:30 a.m. and 6:30 p.m. between January
         1 and the third Friday in February, inclusive, if no
         live thoroughbred racing is  occurring  in  Illinois
         during this period, 50% to the host track and 50% to
         the  host track's interstate simulcast purse pool to
         be  distributed  under   paragraph   (9)   of   this
         subsection (g).
              (G)  For   interstate  simulcast  wagers  on  a
         thoroughbred race or races at  a  non-host  licensee
         between the hours of 6:30 a.m. and 6:30 p.m. between
         January   1   and  the  third  Friday  in  February,
         inclusive,  if  no  live  thoroughbred   racing   is
         occurring in Illinois during this period, 25% to the
         host track, 25% to the non-host licensee, and 50% to
         the  host track's interstate simulcast purse pool to
         be  distributed  under   paragraph   (9)   of   this
         subsection (g).
              (H)  For   supplemental   interstate  simulcast
         wagers on a thoroughbred race or races at a non-host
         licensee between the hours of  6:30  a.m.  and  6:30
         p.m.  between  January  1  and  the  third Friday in
         February, inclusive, if no live thoroughbred  racing
         is  occurring in Illinois during this period, 50% to
         the non-host licensee and 50% to thoroughbred purses
         at  the  track  from  which  the  non-host  licensee
         derives its license.
              (I)  For interstate simulcast wagers at a  host
         track  and  non-host  licensees between the hours of
         6:30 p.m. and 6:30 a.m. between January  1  and  the
         third  Friday  in  February,  inclusive,  if no live
         thoroughbred racing is occurring in Illinois  during
         this period, as set forth in subparagraphs (A), (B),
         and (C) of this paragraph (5) and paragraph (8.1) of
         subsection (g).
              (J)  For  interstate simulcast wagers at a host
         track and non-host  licensees  on  thoroughbred  and
         standardbred  races  between January 1 and the third
         Friday  in  February,  inclusive,  if   thoroughbred
         horses are racing in Illinois during this period, as
         set forth in subparagraphs (A), (B), and (C) of this
         paragraph (5).
         (6)  Notwithstanding  any  provision  in this Act to
    the  contrary,  non-host  licensees  who   derive   their
    licenses  from  a  track  located  in  a  county  with  a
    population  in  excess  of  230,000  and that borders the
    Mississippi River  may  receive  supplemental  interstate
    simulcast  races  at all times subject to Board approval,
    which shall be  withheld  only  upon  a  finding  that  a
    supplemental  interstate  simulcast is clearly adverse to
    the integrity of racing.
         (7)  Notwithstanding any provision of  this  Act  to
    the  contrary,  after payment of all applicable State and
    local taxes  and  interstate  commission  fees,  non-host
    licensees  who derive their licenses from a track located
    in a county with a population in excess  of  230,000  and
    that  borders  the  Mississippi River shall retain 50% of
    the retention from interstate simulcast wagers and  shall
    pay  50%  to  purses at the track from which the non-host
    licensee derives its license as follows:
              (A)  Between January 1 and the third Friday  in
         February,  inclusive, if no live thoroughbred racing
         is occurring in Illinois during  this  period,  when
         the interstate simulcast is a standardbred race, the
         purse share to its standardbred purse account;
              (B)  Between  January 1 and the third Friday in
         February, inclusive, if no live thoroughbred  racing
         is occurring in Illinois during this period, and the
         interstate  simulcast  is  a  thoroughbred race, the
         purse share to its interstate simulcast  purse  pool
         to  be  distributed  under  paragraph  (10)  of this
         subsection (g);
              (C)  Between January 1 and the third Friday  in
         February,  inclusive, if live thoroughbred racing is
         occurring in Illinois, between 6:30  a.m.  and  6:30
         p.m.  the  purse  share from wagers made during this
         time period to its thoroughbred  purse  account  and
         between 6:30 p.m. and 6:30 a.m. the purse share from
         wagers   made   during   this  time  period  to  its
         standardbred purse accounts;
              (D)  Between the third Saturday in February and
         December 31, when the  interstate  simulcast  occurs
         between  the  hours  of 6:30 a.m. and 6:30 p.m., the
         purse share to its thoroughbred purse account;
              (E)  Between the third Saturday in February and
         December 31, when the  interstate  simulcast  occurs
         between  the  hours  of 6:30 p.m. and 6:30 a.m., the
         purse share to its standardbred purse account.
         (8)  Notwithstanding any provision in  this  Act  to
    the  contrary,  an  organization  licensee  from  a track
    located in a  county  with  a  population  in  excess  of
    230,000  and  that  borders the Mississippi River and its
    affiliated non-host licensees shall not  be  entitled  to
    share  in  any retention generated on racing, inter-track
    wagering, or simulcast wagering  at  any  other  Illinois
    wagering facility track.
         (8.1)  Notwithstanding any provisions in this Act to
    the  contrary, if 2 organization licensees are conducting
    standardbred race meetings concurrently between the hours
    of  6:30  p.m.  and  6:30  a.m.,  after  payment  of  all
    applicable  State  and   local   taxes   and   interstate
    commission  fees,  the  remainder  of the amount retained
    from simulcast wagering  otherwise  attributable  to  the
    host  track and to host track purses shall be split daily
    between the 2 organization licensees and  the  purses  at
    the tracks of the 2 organization licensees, respectively,
    based  on each organization licensee's share of the total
    live handle for that day, provided  that  this  provision
    shall not apply to any non-host licensee that derives its
    license   from  a  track  located  in  a  county  with  a
    population in excess of  230,000  and  that  borders  the
    Mississippi River.
         (9)  (Blank).  The  amount  paid  to  an  interstate
    simulcast  purse  pool under subparagraphs (F) and (G) of
    paragraph (5) of this subsection (g) shall be distributed
    as follows:
              (A)  First to supplement the standardbred purse
         account of the host track such  that  purses  earned
         for  a  single standardbred race program between the
         hours of 6:30 a.m. and 6:30 p.m. of the  host  track
         between  January 1 and the third Friday in February,
         if no  live  thoroughbred  racing  is  occurring  in
         Illinois  during  this  period, equals $75,000.  For
         any race program during this period where the number
         of live races is  less  than  9,  the  guarantee  of
         purses  for  that program shall be reduced by $8,333
         for each race fewer than 9;
              (B)  Any  amount  remaining  in  the  simulcast
         purse  pool   after   the   payments   required   in
         subparagraph  (A)  of  this  paragraph  (9) shall be
         distributed 50% to the standardbred purse account at
         the  host  track  and  50%  to  thoroughbred   purse
         accounts, excluding purse accounts at tracks located
         in  a  county with a population in excess of 230,000
         and  that  borders  the  Mississippi   River.    The
         thoroughbred  purse  share  shall  be distributed to
         thoroughbred tracks on a pro  rata  basis  based  on
         each  track's  1994 Illinois on-track handle on live
         thoroughbred races relative to total  1994  Illinois
         on-track   handle   on   live   thoroughbred  races,
         excluding handle on live  thoroughbred  races  at  a
         track  located  in  a  county  with  a population in
         excess of 230,000 and that borders  the  Mississippi
         River;
         (10)  (Blank).  The  amount  paid  to the interstate
    simulcast purse pool under subparagraph (B) of  paragraph
    (7)  of  this  subsection  (g)  shall  be  distributed as
    follows:
              (A)  First,  to  supplement  the   standardbred
         purse  account  such that the purses earned for each
         standardbred race program between January 1 and  the
         third  Friday  in  February, if no live thoroughbred
         racing is occurring in Illinois during this  period,
         equals  $24,000.  For any program during this period
         where the number of live races is less than  9,  the
         $24,000  purse  guarantee shall be reduced by $2,666
         per race.
              (B)  Any  amount  remaining  in  the  simulcast
         purse   pool   after   the   payment   required   in
         subparagraph (A) of this  paragraph  (10)  shall  be
         distributed  50%  to  standardbred purses and 50% to
         thoroughbred purses at the race track  specified  in
         paragraph (7) of this subsection (g).
         (11)  (Blank). Notwithstanding any provision in this
    Act  to the contrary, subsequent to the effective date of
    this amendatory Act of 1995 and  prior  to  December  31,
    1995, a non-host licensee that conducts live standardbred
    racing  between  the  hours of 6:30 a.m. and 6:30 p.m. on
    Tuesdays at a track located in a county with a population
    of less than 1,000,000 and  that  is  contiguous  to  the
    State  of  Indiana may retain for its own account and its
    purse account for standardbred racing between  the  hours
    of 6:30 a.m. and 6:30 p.m. on Tuesdays:
              (A)  All   commissions  and  all  purse  monies
         generated at the non-host licensee's race track from
         simulcast wagering during its live  program  between
         6:30 a.m. and 6:30 p.m. on each Tuesday, which would
         otherwise  be allocated to the host track and purses
         at  the  host  track  and  purses  as  provided   in
         subparagraph (B) of paragraph (5) of this subsection
         (g); and
              (B)  To  the  extent  the  amounts described in
         subparagraph  (A)  of   paragraph   (11)   of   this
         subsection (g) are insufficient to equal the average
         amount  of  commissions  and  the  average amount of
         purses earned on standardbred racing at the non-host
         licensee's track between 6:30 a.m. and 6:30 p.m.  on
         Tuesdays during the 1994 calendar year as determined
         by   the   Board,   during  the  days  the  non-host
         licensee's  track   conducts   standardbred   racing
         between 6:30 a.m. and 6:30 p.m. on each Tuesday from
         July  1, 1995, to December 31, 1995, all inter-track
         wagering  location  licensees,  except   inter-track
         wagering location licensees affiliated with a  track
         location  in  a  county with a population of 230,000
         and  that  borders  the  Mississippi   River   shall
         allocate   from   amounts  retained  from  simulcast
         wagering between 6:30 a.m. and  6:30  p.m.  on  each
         Tuesday  from  July  1,  1995,  to December 31, 1995
         which would otherwise be allocated to the host track
         and  purses  at  the  host  track,  as  provided  in
         subparagraph (B) of paragraph (5) of this subsection
         (g),  to  the  non-host  track  and  purses  at  the
         non-host licensee, on a pro  rata  basis,  based  on
         each  inter-track wagering location licensee's share
         of the total handle on  simulcast  wagering  at  the
         facilities  of  all  inter-track  wagering  location
         licensees,   excluding   those  intertrack  wagering
         location licensees affiliated with a  track  located
         in  a  county  with a population of 230,000 and that
         borders the Mississippi River for that  Tuesday,  so
         that  the non-host licensee's commissions and purses
         earned for standardbred racing between 6:30 a.m. and
         6:30 p.m. on the given Tuesday in  1995  equals  the
         average  amount  of commissions and purses earned on
         standardbred racing at the non-host licensee's track
         between 6:30 a.m. and 6:30 p.m. on  Tuesdays  during
         the  1994  calendar year as determined by the Board.
         Within 72 hours after the  non-host  licensee  holds
         standardbred  races  between 6:30 a.m. and 6:30 p.m.
         in  calendar  year  1995  on  a  Tuesday  and  after
         enactment of this amendatory Act of 1995, the  Board
         shall  notify  each  inter-track  wagering  location
         licensee  of  the amount from its simulcast wagering
         between 6:30 a.m. and 6:30 p.m. on each  Tuesday  in
         1995  to  be  allocated to the non-host licensee and
         purses  for  standardbred  racing  at  the  non-host
         licensee for that Tuesday.
         (12)  The Board shall have authority to  compel  all
    host  tracks to receive the simulcast of any or all races
    conducted at the Springfield or DuQuoin State fairgrounds
    and include all such races as  part  of  their  simulcast
    programs.
         (13)  Notwithstanding  any  other  provision of this
    Act, in the event that  the  total  Illinois  pari-mutuel
    handle on Illinois horse races at all wagering facilities
    in  any  calendar  year  is  less  than  75% of the total
    Illinois pari-mutuel handle on Illinois  horse  races  at
    all such wagering facilities for calendar year 1994, then
    each  wagering facility that has an annual total Illinois
    pari-mutuel handle on Illinois horse races that  is  less
    than  75%  of  the  total  Illinois pari-mutuel handle on
    Illinois  horse  races  at  such  wagering  facility  for
    calendar year 1994, shall be permitted to  receive,  from
    any  amount otherwise payable to the purse account at the
    race track with which the wagering facility is affiliated
    in the succeeding calendar year, an amount equal to 2% of
    the differential in total Illinois pari-mutuel handle  on
    Illinois  horse  races  at  the wagering facility between
    that  calendar  year  in  question  and  1994   provided,
    however,  that  a wagering facility shall not be entitled
    to any such payment until the Board certifies in  writing
    to the wagering facility the amount to which the wagering
    facility  is  entitled  and a schedule for payment of the
    amount to the wagering facility, based on: (i) the racing
    dates awarded to  the  race  track  affiliated  with  the
    wagering  facility  during  the succeeding year; (ii) the
    sums available or anticipated  to  be  available  in  the
    purse  account  of  the  race  track  affiliated with the
    wagering facility for purses during the succeeding  year;
    and  (iii)  the  need  to  ensure reasonable purse levels
    during the  payment  period.  The  Board's  certification
    shall  be  provided  no  later  than  January  31  of the
    succeeding  year.  In  the  event  a  wagering   facility
    entitled  to  a  payment  under  this  paragraph  (13) is
    affiliated  with  a  race  track  that  maintains   purse
    accounts  for  both standardbred and thoroughbred racing,
    the amount to be paid to the wagering facility  shall  be
    divided between each purse account pro rata, based on the
    amount  of  Illinois  handle on Illinois standardbred and
    thoroughbred racing respectively at the wagering facility
    during the previous calendar year. Annually, the  General
    Assembly  shall  appropriate  sufficient  funds  from the
    General Revenue Fund to the Department of Agriculture for
    payment into  the  thoroughbred  and  standardbred  horse
    racing  purse  accounts  at  Illinois pari-mutuel tracks.
    The amount paid to each purse account shall be the amount
    certified by the Illinois Racing Board in  January to  be
    transferred  from  each  account  to each eligible racing
    facility  in  accordance  with  the  provisions  of  this
    Section.
    (h)  The Board may approve and  license  the  conduct  of
inter-track  wagering  and  simulcast wagering by inter-track
wagering  licensees   and   inter-track   wagering   location
licensees subject to the following terms and conditions:
         (1)  Any  person  licensed to conduct a race meeting
    at a track where 60 or more days of racing were conducted
    during the immediately preceding calendar year  or  where
    over  the  5  immediately  preceding  calendar  years  an
    average  of  30  or  more  days  of racing were conducted
    annually or at a  track  located  in  a  county  that  is
    bounded  by the Mississippi River, which has a population
    of less than 150,000  according  to  the  1990  decennial
    census,  and an average of at least 60 days of racing per
    year between 1985 and 1993 may be issued  an  inter-track
    wagering   license.  Any  such  person  having  operating
    control of the racing facility may also receive up  to  6
    inter-track wagering location licenses. In no event shall
    more than 6 inter-track wagering locations be established
    for  each  eligible  race  track, except that an eligible
    race track located in a county that has a  population  of
    more  than 230,000 and that is bounded by the Mississippi
    River  may  establish  up  to  7   inter-track   wagering
    locations. An application for said license shall be filed
    with the Board prior to such dates as may be fixed by the
    Board.   With  an application for an inter-track wagering
    location license there shall be delivered to the Board  a
    certified check or bank draft payable to the order of the
    Board for an amount equal to $500.  The application shall
    be  on  forms prescribed and furnished by the Board.  The
    application  shall   comply   with   all   other   rules,
    regulations  and  conditions  imposed  by  the  Board  in
    connection therewith.
         (2)  The  Board  shall examine the applications with
    respect to their conformity with this Act and  the  rules
    and  regulations imposed by the Board.  If found to be in
    compliance with the Act and rules and regulations of  the
    Board,  the  Board  may  then  issue a license to conduct
    inter-track  wagering  and  simulcast  wagering  to  such
    applicant.  All such applications shall be acted upon  by
    the  Board at a meeting to be held on such date as may be
    fixed by the Board.
         (3)  In granting  licenses  to  conduct  inter-track
    wagering and simulcast wagering, the Board shall give due
    consideration  to  the  best  interests of the public, of
    horse racing, and of maximizing revenue to the State.
         (4)  Prior to the issuance of a license  to  conduct
    inter-track   wagering   and   simulcast   wagering,  the
    applicant shall file with the Board a bond payable to the
    State of Illinois in the sum of $50,000, executed by  the
    applicant and a surety company or companies authorized to
    do  business  in this State, and conditioned upon (i) the
    payment by the licensee of all taxes due under Section 27
    or 27.1 and any other monies due and payable  under  this
    Act,   and   (ii)  distribution  by  the  licensee,  upon
    presentation of the winning ticket  or  tickets,  of  all
    sums payable to the patrons of pari-mutuel pools.
         (5)  Each  license  to  conduct inter-track wagering
    and simulcast wagering shall specify the person  to  whom
    it  is  issued,  the  dates  on  which  such  wagering is
    permitted, and the track or location where  the  wagering
    is to be conducted.
         (6)  All  wagering  under such license is subject to
    this Act and to the rules and regulations  from  time  to
    time  prescribed  by  the  Board,  and every such license
    issued by the Board  shall  contain  a  recital  to  that
    effect.
         (7)  An inter-track wagering licensee or inter-track
    wagering location licensee may accept wagers at the track
    or  location    where  it  is  licensed,  or as otherwise
    provided under this Act.
         (8)  Inter-track  wagering  or  simulcast   wagering
    shall  not  be  conducted  at any track less than 5 miles
    from a track at which a racing meeting is in progress.
         (8.1)  Inter-track wagering location  licensees  who
    derive  their  licenses  from  a  particular organization
    licensee shall conduct inter-track wagering and simulcast
    wagering only at locations which  are  either  within  90
    miles   of   that   race   track   where  the  particular
    organization licensee is licensed to conduct  racing,  or
    within  135 miles of that race track where the particular
    organization licensee is licensed to  conduct  racing  in
    the  case of race tracks in counties of less than 400,000
    that were operating on or before June 1, 1986.   However,
    inter-track  wagering and simulcast wagering shall not be
    conducted by those licensees at  any  location  within  5
    miles of any race track at which a horse race meeting has
    been  licensed  in  the  current  year, unless the person
    having operating control of such race track has given its
    written consent to  such  inter-track  wagering  location
    licensees,  which consent must be filed with the Board at
    or prior to the time application is made.
         (8.2)  Inter-track wagering  or  simulcast  wagering
    shall   not  be  conducted  by  an  inter-track  wagering
    location licensee at any location within 500 feet  of  an
    existing  church  or existing school, nor within 500 feet
    of the residences  of  more  than  50  registered  voters
    without  receiving  written permission from a majority of
    the registered voters at such  residences.  Such  written
    permission statements shall be filed with the Board.  The
    distance  of  500  feet  shall be measured to the nearest
    part of any building used for worship services, education
    programs, residential purposes, or conducting inter-track
    wagering by an inter-track  wagering  location  licensee,
    and  not  to  property  boundaries.  However, inter-track
    wagering or simulcast wagering may be conducted at a site
    within 500 feet of a church, school or residences  of  50
    or  more  registered  voters  if  such  church, school or
    residences have been  erected  or  established,  or  such
    voters  have  been registered, after the Board issues the
    original inter-track wagering  location  license  at  the
    site in question. Inter-track wagering location licensees
    may  conduct  inter-track wagering and simulcast wagering
    only  in  areas  that  are  zoned   for   commercial   or
    manufacturing  purposes  or  in areas for which a special
    use has been approved  by  the  local  zoning  authority.
    However,  no  license to conduct inter-track wagering and
    simulcast wagering shall be granted  by  the  Board  with
    respect  to  any inter-track wagering location within the
    jurisdiction of any local zoning authority which has,  by
    ordinance  or by resolution, prohibited the establishment
    of  an   inter-track   wagering   location   within   its
    jurisdiction.    However,   inter-track   wagering    and
    simulcast wagering may be conducted at  a  site  if  such
    ordinance  or  resolution  is  enacted  after  the  Board
    licenses   the  original  inter-track  wagering  location
    licensee for the site in question.
         (9)  (Blank).
         (10)  An  inter-track  wagering   licensee   or   an
    inter-track   wagering   location  licensee  may  retain,
    subject to the payment of the  privilege  taxes  and  the
    purses, an amount not to exceed 17% of all money wagered.
    Each  program  of  racing  conducted  by each inter-track
    wagering  licensee  or  inter-track   wagering   location
    licensee  shall  be  considered a separate racing day for
    the purpose of determining the daily handle and computing
    the privilege tax or pari-mutuel tax on such daily handle
    as provided in Section 27 27.1.
         (10.1)  Except as  provided  in  subsection  (g)  of
    Section  27  of  this  Act, inter-track wagering location
    licensees shall pay 1% of the pari-mutuel handle at  each
    location  to  the  municipality in which such location is
    situated  and  1%  of  the  pari-mutuel  handle  at  each
    location  to  the  county  in  which  such  location   is
    situated.   In  the  event  that  an inter-track wagering
    location licensee is situated in an  unincorporated  area
    of   a   county,  such  licensee  shall  pay  2%  of  the
    pari-mutuel handle from such location to such county.
         (10.2)  Notwithstanding any other provision of  this
    Act,  with respect to intertrack wagering at a race track
    located in a county that has a population  of  more  than
    230,000  and  that  is  bounded  by the Mississippi River
    ("the first race track"), or at a facility operated by an
    inter-track wagering  licensee  or  inter-track  wagering
    location  licensee  that  derives  its  license  from the
    organization licensee that operates the first race track,
    on races conducted at the first race track  or  on  races
    conducted    at   another   Illinois   race   track   and
    simultaneously televised to the first race track or to  a
    facility  operated by an inter-track wagering licensee or
    inter-track wagering location licensee that  derives  its
    license  from the organization licensee that operates the
    first race track, those  moneys  shall  be  allocated  as
    follows:
              (A)  That  portion  of  all  moneys  wagered on
         standardbred racing that is required under this  Act
         to  be  paid  to  purses shall be paid to purses for
         standardbred races.
              (B)  That portion  of  all  moneys  wagered  on
         thoroughbred  racing that is required under this Act
         to be paid to purses shall be  paid  to  purses  for
         thoroughbred races.
         (11) (A)  After   payment   of   the   privilege  or
    pari-mutuel tax, any  other  applicable  taxes,  and  the
    costs  and  expenses  in  connection  with the gathering,
    transmission, and dissemination of all data necessary  to
    the conduct of inter-track wagering, the remainder of the
    monies  retained  under either Section 26 or Section 26.2
    of this Act  by  the  inter-track  wagering  licensee  on
    inter-track  wagering  shall  be allocated with 50% to be
    split between the 2 participating licensees  and  50%  to
    purses,  except that an intertrack wagering licensee that
    derives its license from a track located in a county with
    a population in excess of 230,000 and  that  borders  the
    Mississippi   River   shall   not  divide  any  remaining
    retention with the Illinois  organization  licensee  that
    provides  the  race  or races, and an intertrack wagering
    licensee that accepts wagers on  races  conducted  by  an
    organization  licensee  that  conducts  a  race meet in a
    county with a population in excess of  230,000  and  that
    borders  the  Mississippi  River  shall  not  divide  any
    remaining retention with that organization licensee.
         (B)  From the sums permitted to be retained pursuant
    to  this  Act each inter-track wagering location licensee
    shall pay (i) the privilege or  pari-mutuel  tax  to  the
    State;  (ii)  4.75%  4%  of  the  pari-mutuel  handle  on
    intertrack  wagering at such location on races as purses,
    except that an intertrack wagering location licensee that
    derives its license from a track located in a county with
    a population in excess of 230,000 and  that  borders  the
    Mississippi  River  shall retain all purse moneys for its
    own purse account consistent with distribution set  forth
    in  this subsection (h), and intertrack wagering location
    licensees that accept wagers on  races  conducted  by  an
    organization   licensee   located  in  a  county  with  a
    population in excess of  230,000  and  that  borders  the
    Mississippi  River  shall  distribute all purse moneys to
    purses at the operating host track; (iii)  until  January
    1,  2000, except as provided in subsection (g) of Section
    27 of this Act, 1% of the pari-mutuel handle  wagered  on
    inter-track  wagering  and  simulcast  wagering  at  each
    inter-track  wagering  location  licensee facility to the
    Horse Racing Tax Allocation Fund, provided that,  to  the
    extent  the total amount collected and distributed to the
    Horse Racing Tax Allocation Fund  under  this  subsection
    (h) during any calendar year exceeds the amount collected
    and  distributed  to the Horse Racing Tax Allocation Fund
    during calendar year 1994, that excess  amount  shall  be
    redistributed  (I)  to  all inter-track wagering location
    licensees, based on each licensee's pro-rata share of the
    total handle  from  inter-track  wagering  and  simulcast
    wagering  for all inter-track wagering location licensees
    during the calendar  year  in  which  this  provision  is
    applicable;  then  (II) the amounts redistributed to each
    inter-track wagering location licensee  as  described  in
    subpart (I) shall be further redistributed as provided in
    subparagraph  (B)  of  paragraph (5) of subsection (g) of
    this Section 26 provided first, that the shares of  those
    amounts,  which are to be redistributed to the host track
    or to purses at the host track under subparagraph (B)  of
    paragraph  (5) of subsection (g) of this Section 26 shall
    be redistributed based on  each  host  track's  pro  rata
    share  of  the  total  inter-track wagering and simulcast
    wagering handle at all host tracks  during  the  calendar
    year   in   question,   and   second,  that  any  amounts
    redistributed as described in part (I) to an  inter-track
    wagering  location  licensee that accepts wagers on races
    conducted by an organization  licensee  that  conducts  a
    race  meet  in  a  county  with a population in excess of
    230,000 and that borders the Mississippi River  shall  be
    further  redistributed  as  provided in subparagraphs (D)
    and (E) of  paragraph  (7)  of  subsection  (g)  of  this
    Section   26,   with   the   portion   of   that  further
    redistribution allocated to purses at  that  organization
    licensee  to  be  divided between standardbred purses and
    thoroughbred  purses  based  on  the  amounts   otherwise
    allocated  to purses at that organization licensee during
    the calendar year  in  question;   and  (iv)  8%  of  the
    pari-mutuel  handle  on  inter-track  wagering wagered at
    such location  to  satisfy  all  costs  and  expenses  of
    conducting  its  wagering.  The  remainder  of the monies
    retained by the inter-track  wagering  location  licensee
    shall  be  allocated 40% to the location licensee and 60%
    to the organization licensee which provides the  Illinois
    races to the location, except that an intertrack wagering
    location  licensee  that derives its license from a track
    located in a  county  with  a  population  in  excess  of
    230,000  and that borders the Mississippi River shall not
    divide any  remaining  retention  with  the  organization
    licensee   that   provides  the  race  or  races  and  an
    intertrack wagering location licensee that accepts wagers
    on races  conducted  by  an  organization  licensee  that
    conducts  a  race  meet  in a county with a population in
    excess of 230,000 and that borders the Mississippi  River
    shall   not  divide  any  remaining  retention  with  the
    organization licensee. Notwithstanding the provisions  of
    clauses  (ii)  and (iv) of this paragraph, in the case of
    the additional  inter-track  wagering  location  licenses
    authorized  under paragraph (1) of this subsection (h) by
    this amendatory Act of 1991, those  licensees  shall  pay
    the  following  amounts  as  purses:  during the first 12
    months the licensee is in operation, 5.25%  4.5%  of  the
    pari-mutuel  handle  wagered  at  the  location on races;
    during the second 12 months, 5.25% 4.5%; during the third
    12 months, 5.75% 5%; during the fourth 12  months,  6.25%
    5.5%;  and  during  the  fifth  12 months and thereafter,
    6.75% 6%. The following amounts shall be retained by  the
    licensee  to satisfy all costs and expenses of conducting
    its wagering: during the first 12 months the licensee  is
    in  operation,  8.25%  7.5%  of  the  pari-mutuel  handle
    wagered  at  the  location;  during the second 12 months,
    8.25% 7.5%; during the third 12 months, 7.75% 7%;  during
    the fourth 12 months, 7.25% 6.5%; and during the fifth 12
    months   and   thereafter,   6.75%   6%.  For  additional
    intertrack wagering location licensees  authorized  under
    this  amendatory  Act  of  1995,  purses for the first 12
    months the licensee is in operation shall be 5.75% 5%  of
    the  pari-mutuel  wagered at the location, purses for the
    second 12 months the licensee is in  operation  shall  be
    6.25%  5  1/2%,  and purses thereafter shall be 6.75% 6%.
    For additional intertrack location  licensees  authorized
    under  this amendatory Act of 1995, the licensee shall be
    allowed to retain to  satisfy  all  costs  and  expenses:
    7.75%  7%  of  the  pari-mutuel  handle  wagered  at  the
    location  during  its first 12 months of operation, 7.25%
    6.5% during its second 12 months of operation, and  6.75%
    6% thereafter.
         (C)  There  is  hereby  created the Horse Racing Tax
    Allocation Fund which shall  remain  in  existence  until
    December  31,  1999.   Moneys remaining in the Fund after
    December 31, 1999 shall be paid into the General  Revenue
    Fund.   Until  January  1, 2000, all monies paid into the
    Horse  Racing  Tax  Allocation  Fund  pursuant  to   this
    paragraph (11) by inter-track wagering location licensees
    located  in park districts of 500,000 population or less,
    or in a municipality that is not included within any park
    district but is included within a  conservation  district
    and is the county seat of a county that (i) is contiguous
    to the state of Indiana and (ii) has a 1990 population of
    88,257  according  to  the  United  States  Bureau of the
    Census, and operating on May 1, 1994 shall  be  allocated
    by appropriation as follows:
              Two-sevenths  to the Department of Agriculture.
         Fifty percent of this two-sevenths shall be used  to
         promote  the  Illinois  horse  racing  and  breeding
         industry, and shall be distributed by the Department
         of   Agriculture  upon  the  advice  of  a  9-member
         committee appointed by the  Governor  consisting  of
         the  following members: the Director of Agriculture,
         who shall serve as chairman;  2  representatives  of
         organization  licensees conducting thoroughbred race
         meetings  in  this  State,  recommended   by   those
         licensees;   2   representatives   of   organization
         licensees  conducting  standardbred race meetings in
         this  State,  recommended  by  those  licensees;   a
         representative of the Illinois Thoroughbred Breeders
         and   Owners   Foundation,   recommended   by   that
         Foundation;   a   representative   of  the  Illinois
         Standardbred  Owners   and   Breeders   Association,
         recommended by that Association; a representative of
         the Horsemen's Benevolent and Protective Association
         or any successor organization thereto established in
         Illinois  comprised  of the largest number of owners
         and trainers, recommended  by  that  Association  or
         that successor organization; and a representative of
         the   Illinois   Harness   Horsemen's   Association,
         recommended  by that Association.  Committee members
         shall serve for terms of 2 years, commencing January
         1 of each even-numbered year.  If  a  representative
         of  any  of  the  above-named  entities has not been
         recommended by January 1 of any even-numbered  year,
         the  Governor  shall  appoint  a committee member to
         fill that position.  Committee members shall receive
         no compensation for their services  as  members  but
         shall  be  reimbursed  for  all actual and necessary
         expenses   and   disbursements   incurred   in   the
         performance of their official duties.  The remaining
         50% of this two-sevenths  shall  be  distributed  to
         county  fairs for premiums and rehabilitation as set
         forth in the Agricultural Fair Act;
              Four-sevenths    to    park    districts     or
         municipalities  that  do not have a park district of
         500,000 population or less for museum  purposes  (if
         an inter-track wagering location licensee is located
         in   such   a  park  district)  or  to  conservation
         districts for museum  purposes  (if  an  inter-track
         wagering   location   licensee   is   located  in  a
         municipality that is not included  within  any  park
         district  but  is  included  within  a  conservation
         district and is the county seat of a county that (i)
         is contiguous to the state of Indiana and (ii) has a
         1990  population  of  88,257 according to the United
         States Bureau of the  Census,  except  that  if  the
         conservation  district  does  not maintain a museum,
         the monies shall be allocated  equally  between  the
         county and the municipality in which the inter-track
         wagering  location  licensee  is located for general
         purposes) or to a  municipal  recreation  board  for
         park  purposes  (if an inter-track wagering location
         licensee is located in a municipality  that  is  not
         included   within   any   park   district  and  park
         maintenance  is  the  function  of   the   municipal
         recreation  board  and  the  municipality has a 1990
         population of 9,302 according to the  United  States
         Bureau  of the Census); provided that the monies are
         distributed to each park  district  or  conservation
         district  or  municipality that does not have a park
         district in an amount equal to four-sevenths of  the
         amount   collected   by  each  inter-track  wagering
         location  licensee  within  the  park  district   or
         conservation  district or municipality for the Fund.
         Monies that were paid  into  the  Horse  Racing  Tax
         Allocation  Fund  before  the effective date of this
         amendatory Act of 1991 by  an  inter-track  wagering
         location  licensee located in a municipality that is
         not  included  within  any  park  district  but   is
         included  within a conservation district as provided
         in this paragraph  shall,  as  soon  as  practicable
         after  the  effective date of this amendatory Act of
         1991, be allocated and  paid  to  that  conservation
         district  as  provided  in  this paragraph. Any park
         district or municipality not  maintaining  a  museum
         may  deposit the monies in the corporate fund of the
         park district or municipality where the  inter-track
         wagering location is located, to be used for general
         purposes; and
              One-seventh to the Agricultural Premium Fund to
         be   used  for  distribution  to  agricultural  home
         economics extension councils in accordance with  "An
         Act  in  relation to additional support and finances
         for the Agricultural  and  Home  Economic  Extension
         Councils  in  the several counties of this State and
         making an appropriation therefor", approved July 24,
         1967.
         Until January 1, 2000, all other  monies  paid  into
    the  Horse  Racing  Tax  Allocation Fund pursuant to this
    paragraph (11) shall be  allocated  by  appropriation  as
    follows:
              Two-sevenths  to the Department of Agriculture.
         Fifty percent of this two-sevenths shall be used  to
         promote  the  Illinois  horse  racing  and  breeding
         industry, and shall be distributed by the Department
         of   Agriculture  upon  the  advice  of  a  9-member
         committee appointed by the  Governor  consisting  of
         the  following members: the Director of Agriculture,
         who shall serve as chairman;  2  representatives  of
         organization  licensees conducting thoroughbred race
         meetings  in  this  State,  recommended   by   those
         licensees;   2   representatives   of   organization
         licensees  conducting  standardbred race meetings in
         this  State,  recommended  by  those  licensees;   a
         representative of the Illinois Thoroughbred Breeders
         and   Owners   Foundation,   recommended   by   that
         Foundation;   a   representative   of  the  Illinois
         Standardbred  Owners   and   Breeders   Association,
         recommended by that Association; a representative of
         the Horsemen's Benevolent and Protective Association
         or any successor organization thereto established in
         Illinois  comprised  of the largest number of owners
         and trainers, recommended  by  that  Association  or
         that successor organization; and a representative of
         the   Illinois   Harness   Horsemen's   Association,
         recommended  by that Association.  Committee members
         shall serve for terms of 2 years, commencing January
         1 of each even-numbered year.  If  a  representative
         of  any  of  the  above-named  entities has not been
         recommended by January 1 of any even-numbered  year,
         the  Governor  shall  appoint  a committee member to
         fill that position.  Committee members shall receive
         no compensation for their services  as  members  but
         shall  be  reimbursed  for  all actual and necessary
         expenses   and   disbursements   incurred   in   the
         performance of their official duties.  The remaining
         50% of this two-sevenths  shall  be  distributed  to
         county  fairs for premiums and rehabilitation as set
         forth in the Agricultural Fair Act;
              Four-sevenths to museums and aquariums  located
         in   park  districts  of  over  500,000  population;
         provided  that  the  monies   are   distributed   in
         accordance  with the previous year's distribution of
         the maintenance tax for such museums  and  aquariums
         as  provided  in  Section  2  of  the  Park District
         Aquarium and Museum Act; and
              One-seventh to the Agricultural Premium Fund to
         be  used  for  distribution  to  agricultural   home
         economics  extension councils in accordance with "An
         Act in relation to additional support  and  finances
         for  the  Agricultural  and  Home Economic Extension
         Councils in the several counties of this  State  and
         making an appropriation therefor", approved July 24,
         1967. This subparagraph (C) shall be inoperative and
         of no force and effect on and after January 1, 2000.
              (D)  Except  as  provided  in paragraph (11) of
         this  subsection  (h),   with   respect   to   purse
         allocation  from  intertrack wagering, the monies so
         retained shall be divided as follows:
                   (i)  If the inter-track wagering licensee,
              except an  intertrack  wagering  licensee  that
              derives   its   license  from  an  organization
              licensee located in a county with a  population
              in   excess  of  230,000  and  bounded  by  the
              Mississippi River, is not  conducting  its  own
              race  meeting  during  the same dates, then the
              entire purse allocation shall be to  purses  at
              the  track where the races wagered on are being
              conducted.
                   (ii)  If    the    inter-track    wagering
              licensee,   except   an   intertrack   wagering
              licensee  that  derives  its  license  from  an
              organization licensee located in a county  with
              a  population  in excess of 230,000 and bounded
              by the Mississippi River,  is  also  conducting
              its  own  race  meeting  during the same dates,
              then the purse allocation shall be as  follows:
              50%  to  purses  at  the  track where the races
              wagered on are being conducted; 50%  to  purses
              at  the  track  where  the inter-track wagering
              licensee is accepting such wagers.
                   (iii)  If  the  inter-track  wagering   is
              being  conducted  by  an  inter-track  wagering
              location   licensee,   except   an   intertrack
              wagering  location  licensee  that  derives its
              license from an organization  licensee  located
              in  a  county  with  a  population in excess of
              230,000 and bounded by the  Mississippi  River,
              the  entire purse allocation for Illinois races
              shall be to purses at the track where the  race
              meeting being wagered on is being held.
         (12)  The  Board shall have all powers necessary and
    proper to fully supervise  and  control  the  conduct  of
    inter-track    wagering   and   simulcast   wagering   by
    inter-track wagering licensees and  inter-track  wagering
    location  licensees,  including,  but  not limited to the
    following:
              (A)  The  Board  is  vested   with   power   to
         promulgate  reasonable rules and regulations for the
         purpose  of  administering  the  conduct   of   this
         wagering   and   to   prescribe   reasonable  rules,
         regulations and conditions under which such wagering
         shall  be  held  and  conducted.   Such  rules   and
         regulations  are  to  provide  for the prevention of
         practices detrimental to the public interest and for
         the best interests of said wagering  and  to  impose
         penalties for violations thereof.
              (B)  The  Board,  and  any person or persons to
         whom it delegates this power,  is  vested  with  the
         power  to  enter  the  facilities of any licensee to
         determine whether there has been compliance with the
         provisions of this Act and the rules and regulations
         relating to the conduct of such wagering.
              (C)  The Board, and any person  or  persons  to
         whom  it  delegates this power, may eject or exclude
         from any licensee's  facilities,  any  person  whose
         conduct  or  reputation is such that his presence on
         such premises may, in the opinion of the Board, call
         into the question the honesty and integrity  of,  or
         interfere with the orderly conduct of such wagering;
         provided,  however, that no person shall be excluded
         or ejected from such premises solely on the  grounds
         of race, color, creed, national origin, ancestry, or
         sex.
              (D)  (Blank).
              (E)  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  wagering  and  any  rules   and
         regulations promulgated in accordance with this Act.
              (F)  The  Board  shall name and appoint a State
         director  of  this   wagering   who   shall   be   a
         representative  of the Board and whose duty it shall
         be to supervise the conduct of inter-track  wagering
         as  may be provided for by the rules and regulations
         of  the  Board;  such  rules  and  regulation  shall
         specify the method of appointment and the Director's
         powers, authority and duties.
              (G)  The Board is  vested  with  the  power  to
         impose  civil  penalties  of  up  to  $5,000 against
         individuals and up to $10,000 against licensees  for
         each violation of any provision of this Act relating
         to  the  conduct of this wagering, 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 such wagering.
         (13)  The Department of Agriculture may  enter  into
    agreements  with  licensees authorizing such licensees to
    conduct inter-track wagering on races to be held  at  the
    licensed  race  meetings  conducted  by the Department of
    Agriculture.   Such agreement shall specify the races  of
    the  Department  of  Agriculture's  licensed race meeting
    upon which the licensees will conduct wagering.   In  the
    event  that  a  licensee conducts inter-track pari-mutuel
    wagering on races from the Illinois State Fair or DuQuoin
    State Fair  which  are  in  addition  to  the  licensee's
    previously  approved racing program, those races shall be
    considered a separate  racing  day  for  the  purpose  of
    determining  the daily handle and computing the privilege
    or pari-mutuel tax on that daily handle  as  provided  in
    Sections  27 and 27.1.  Such agreements shall be approved
    by the Board before such wagering may be  conducted.   In
    determining  whether  to  grant approval, the Board shall
    give due consideration  to  the  best  interests  of  the
    public and of horse racing.  The provisions of paragraphs
    (1),  (8),  (8.1),  and  (8.2)  of subsection (h) of this
    Section which are not specified in  this  paragraph  (13)
    shall  not  apply  to licensed race meetings conducted by
    the Department of Agriculture at the Illinois State  Fair
    in  Sangamon  County  or  the DuQuoin State Fair in Perry
    County, or  to  any  wagering  conducted  on  those  race
    meetings.
    (i)  Notwithstanding  the  other  provisions of this Act,
the conduct of wagering at wagering facilities is  authorized
on  all  days, except as limited by subsection (b) of Section
19 of this Act.
(Source: P.A. 88-358;  88-572,  eff.  8-11-94;  88-661,  eff.
9-16-94; 89-16, eff. 5-30-95.)

    (230 ILCS 5/26.1) (from Ch. 8, par. 37-26.1)
    Sec.   26.1.   For  all  pari-mutuel  wagering  conducted
pursuant to this Act, breakage shall be at all times computed
on the basis of not to exceed 10¢ on the dollar.  If there is
a minus pool, the breakage shall be computed on the basis  of
not  to exceed 5¢ on the dollar. Breakage shall be calculated
only after the amounts  retained  by  licensees  pursuant  to
Sections  26  and  26.2  of  this  Act,  and  all  applicable
surcharges, are taken out of winning wagers and winnings from
wagers.  Beginning  January  1,  2000,  all breakage shall be
retained by licensees, with 50% of breakage  to  be  used  by
licensees  for  racetrack  improvements at the racetrack from
which  the  wagering  facility  derives  its  license.    The
remaining 50% is to be allocated 50% to the purse account for
the  licensee  from  which  the wagering facility derives its
license and 50% to the licensee.
(Source: P.A. 89-16, eff. 5-30-95.)

    (230 ILCS 5/27) (from Ch. 8, par. 37-27)
    Sec. 27.  (a) In addition to the organization license fee
provided by this Act, until  January  1,  2000,  a  graduated
privilege   tax   is   hereby   imposed  for  conducting  the
pari-mutuel system of  wagering  permitted  under  this  Act.
Until  January  1, 2000, except as provided in subsection (g)
of Section 27 of this Act, all of the breakage of each racing
day held by any licensee in the State shall be  paid  to  the
State.  Until January 1, 2000, such daily graduated privilege
tax shall be paid by the licensee from the  amount  permitted
to  be  retained  under this Act. Until January 1, 2000, each
day's graduated privilege tax, breakage, and Horse Racing Tax
Allocation funds shall  be  remitted  to  the  Department  of
Revenue  within  48  hours  after the close of the racing day
upon which it is assessed or within such other  time  as  the
Board  prescribes.   The  privilege tax hereby imposed, until
January 1, 2000, shall be a flat tax at the rate of 2% of the
daily pari-mutuel handle except as provided in Section 27.1.
    In  addition,  every  organization  licensee,  except  as
provided in Section 27.1 of this Act, which conducts multiple
wagering shall pay, until January 1, 2000, as a privilege tax
on multiple wagers an amount equal to  1.25%  of  all  moneys
wagered  each day on such multiple wagers, plus an additional
amount equal to 3.5% of the amount wagered each  day  on  any
other multiple wager which involves a single betting interest
on  3  or more horses. The licensee shall remit the amount of
such taxes to the Department of Revenue within 48 hours after
the close of the racing day on which it is assessed or within
such other time as the Board prescribes.
    This subsection (a) shall be inoperative and of no  force
and effect on and after January 1, 2000.
    (a-5)  Beginning  on  January 1, 2000, a flat pari-mutuel
tax at the rate of 1.5% of the daily  pari-mutuel  handle  is
imposed  at  all pari-mutuel wagering facilities, which shall
be remitted to the Department  of  Revenue  within  48  hours
after  the  close of the racing day upon which it is assessed
or within such other time as the Board prescribes.
    (b)  On or before December 31, 1999, in  the  event  that
any  organization  licensee  conducts  2 separate programs of
races on any day, each such program  shall  be  considered  a
separate  racing  day  for  purposes of determining the daily
handle and computing the privilege tax on such  daily  handle
as provided in subsection (a) of this Section.
    (c)  Licensees shall at all times keep accurate books and
records  of  all monies wagered on each day of a race meeting
and of the taxes paid to the Department of Revenue under  the
provisions of this Section.  The Board or its duly authorized
representative  or  representatives  shall  at all reasonable
times  have  access  to  such  records  for  the  purpose  of
examining and checking the same and ascertaining whether  the
proper  amount of taxes is being paid as provided.  The Board
shall require verified reports and a statement of  the  total
of  all  monies  wagered daily at each wagering facility upon
which the taxes are assessed and  may  prescribe  forms  upon
which such reports and statement shall be made.
    (d)  Any  licensee  failing or refusing to pay the amount
of any tax due under  this  Section  shall  be  guilty  of  a
business  offense and upon conviction shall be fined not more
than $5,000 in addition to the amount found due as tax  under
this  Section.   Each  day's  violation  shall  constitute  a
separate  offense.   All  fines paid into Court by a licensee
hereunder shall be transmitted and paid over by the Clerk  of
the Court to the Board.
    (e)  No  other license fee, privilege tax, excise tax, or
racing fee, except as provided in this Act, shall be assessed
or collected from any such licensee by the State.
    (f)  No other license fee, privilege tax, excise  tax  or
racing  fee  shall  be  assessed  or  collected from any such
licensee  by units of local government except as provided  in
paragraph  10.1  of  subsection  (h)  and  subsection  (f) of
Section 26 of this Act.  However, any municipality that has a
Board licensed horse race meeting  at  a  race  track  wholly
within  its  corporate  boundaries  or  a township that has a
Board licensed horse race meeting  at  a  race  track  wholly
within  the  unincorporated area of the township may charge a
local amusement tax not to exceed 10¢ per admission  to  such
horse   race  meeting  by  the  enactment  of  an  ordinance.
However, any municipality or county that has a Board licensed
inter-track wagering  location  facility  wholly  within  its
corporate  boundaries may each impose an admission fee not to
exceed $1.00  per  admission  to  such  inter-track  wagering
location facility, so that a total of not more than $2.00 per
admission may be imposed.  Except as provided in subparagraph
(g)  of  Section  27  of  this  Act, the inter-track wagering
location licensee shall collect any and  all  such  fees  and
within  48  hours  remit  the fees to the Board, which shall,
pursuant to rule, cause the fees to  be  distributed  to  the
county or municipality.
    (g)  Notwithstanding  any  provision  in  this Act to the
contrary, if in any calendar year the total  taxes  and  fees
required to be collected from licensees and distributed under
this  Act  to  all  State  and local governmental authorities
exceeds the amount of such taxes and fees distributed to each
State and local governmental authority to  which  each  State
and  local governmental authority was entitled under this Act
for calendar year 1994, then the first $11  million  of  that
excess  amount  shall  be  allocated at the earliest possible
date for distribution  as  purse  money  for  the  succeeding
calendar  year.   Upon reaching the 1994 level, and until the
excess amount of taxes and  fees  exceeds  $11  million,  the
Board  shall direct all licensees to cease paying the subject
taxes and fees and the Board shall direct  all  licensees  to
allocate any such excess amount for purses as follows:
         (i)  the  excess  amount  shall be initially divided
    between thoroughbred and standardbred purses based on the
    thoroughbred's and standardbred's respective  percentages
    of total Illinois live wagering in calendar year 1994;
         (ii)  each     thoroughbred     and     standardbred
    organization  licensee issued an organization licensee in
    that succeeding allocation year (provided  that  licensee
    was  also  an  organization licensee during the preceding
    year) shall be allocated an amount equal to  the  product
    of  its percentage of total Illinois live thoroughbred or
    standardbred wagering in calendar year 1994 (the total to
    be determined based on the sum of 1994 on-track  wagering
    for   all  organization  licensees  issued   organization
    licenses in both the allocation year  and  the  preceding
    year)  multiplied  by  the  total  amount  allocated  for
    standardbred  or  thoroughbred  purses, provided that the
    first $1,500,000 of the amount allocated to  standardbred
    purses   under   item  (i)  shall  be  allocated  to  the
    Department  of  Agriculture  to  be  expended  with   the
    assistance   and  advice  of  the  Illinois  Standardbred
    Breeders Funds Advisory Board for the purposes listed  in
    subsection  (g)  of  Section  31  of this Act, before the
    amount allocated to standardbred purses under item (i) is
    allocated to standardbred organization licensees  in  the
    succeeding allocation year.
    To  the  extent the excess amount of taxes and fees to be
collected and distributed to  State  and  local  governmental
authorities  exceeds $11 million, that excess amount shall be
collected and distributed to State and local  authorities  as
provided for under this Act.
(Source:  P.A.  88-495;  89-16,  eff.  5-30-95;  89-499, eff.
6-28-96.)

    (230 ILCS 5/27.1) (from Ch. 8, par. 37-27.1)
    Sec.  27.1.   Every  organization  licensee  whose  track
facilities are operating in counties under 400,000 population
on or before June 1,  1986,  shall  be  subject  to  a  daily
graduated   tax   of  1%  of  the  first  $400,000  of  daily
pari-mutuel handle  and  2%  of  such  handle  in  excess  of
$400,000.
    Every   inter-track  wagering  licensee  and  inter-track
wagering location  licensee  shall  be  subject  to  a  daily
graduated  tax  of  1%  of  the  first  $400,000 of its daily
pari-mutuel handle  and  2%  of  such  handle  in  excess  of
$400,000.
    Every  organization  licensee  whose track facilities are
operating in counties under 400,000 population on  or  before
June   1,  1986,  every  inter-track  wagering  licensee  and
inter-track wagering  location  licensee,  shall  pay,  until
January  1,  2000,  as  a privilege tax on multiple wagers an
amount equal to .75% of all moneys wagered each day  on  such
multiple  wagers,  plus, until January 1, 2000, an additional
amount equal to 2.5% of the amount wagered each  day  on  any
other multiple wager which involves a single betting interest
on 3 or more horses.
    This Section is repealed on January 1, 2000.
(Source: P.A. 88-495; 89-16, eff. 5-30-95.)

    (230 ILCS 5/28) (from Ch. 8, par. 37-28)
    Sec. 28.  Except as provided in subsection (g) of Section
27  of  this  Act,  moneys  collected  shall  be  distributed
according to the provisions of this Section 28.
    (a)  Thirty  per cent of the total of all monies received
by the State as  privilege  taxes  shall  be  paid  into  the
Metropolitan  Fair  and  Exposition  Authority Reconstruction
Fund  in  the  State  treasury  until  such   Fund   contains
sufficient money to pay in full, both principal and interest,
all  of the outstanding bonds issued pursuant to the Fair and
Exposition Authority Reconstruction Act, approved   July  31,
1967,  as  amended,  and  thereafter  shall  be paid into the
Metropolitan Exposition Auditorium and Office  Building  Fund
in the State Treasury.
    (b)  Four  and  one-half  per  cent  of  the total of all
monies received by the State as privilege taxes shall be paid
into the State treasury into a special Fund to  be  known  as
the "Metropolitan Exposition, Auditorium, and Office Building
Fund".
    (c)  Fifty  per  cent of the total of all monies received
by the State as privilege taxes under the provisions of  this
Act shall be paid into the "Agricultural Premium Fund".
    (d)  Seven  per  cent of the total of all monies received
by the State as privilege taxes shall be paid into  the  Fair
and Exposition Fund in the State treasury; provided, however,
that  when  all  bonds  issued  prior  to July 1, 1984 by the
Metropolitan Fair and Exposition Authority  shall  have  been
paid or payment shall have been provided for upon a refunding
of  those bonds, thereafter 1/12 of $1,665,662 of such monies
shall be paid each month into the Build  Illinois  Fund,  and
the  remainder into the Fair and Exposition Fund.  All excess
monies shall be allocated to the  Department  of  Agriculture
for   distribution   to   county   fairs   for  premiums  and
rehabilitation as set forth in the Agricultural Fair Act.
    (e)  The monies provided for in Section 30 shall be  paid
into the Illinois Thoroughbred Breeders Fund.
    (f)  The  monies provided for in Section 31 shall be paid
into the Illinois Standardbred Breeders Fund.
    (g)  Until January 1, 2000, that part representing 1/2 of
the  total  breakage  in  Thoroughbred,  Harness,  Appaloosa,
Arabian, and Quarter Horse racing in the State shall be  paid
into   the   "Illinois   Race   Track  Improvement  Fund"  as
established in Section 32.
    (h)  All other monies received by the  Board  under  this
Act shall be paid into the General Revenue Fund of the State.
    (i)  The   salaries  of  the  Board  members,  secretary,
stewards,    directors     of     mutuels,     veterinarians,
representatives,    accountants,    clerks,    stenographers,
inspectors and other employees of the Board, and all expenses
of  the  Board  incident  to  the administration of this Act,
including, but not limited  to,  all  expenses  and  salaries
incident  to  the  taking  of  saliva  and  urine  samples in
accordance with the rules and regulations of the Board  shall
be paid out of the Agricultural Premium Fund.
    (j)  The Agricultural Premium Fund shall also be used:
         (1)  for  the  expenses  of  operating  the Illinois
    State Fair and the  DuQuoin  State  Fair,  including  the
    payment of prize money or premiums;
         (2)  for   the   distribution   to   county   fairs,
    vocational   agriculture   section   fairs,  agricultural
    societies, and agricultural extension clubs in accordance
    with the "Agricultural Fair Act", as amended;
         (3)  for  payment  of  prize  monies  and   premiums
    awarded  and for expenses incurred in connection with the
    International Livestock Exposition and the  Mid-Continent
    Livestock  Exposition  held  in Illinois, which premiums,
    and awards must be approved, and  paid  by  the  Illinois
    Department of Agriculture;
         (4)  for  personal  service  of  county agricultural
    advisors and county home advisors;
         (5)  for distribution to agricultural home  economic
    extension councils in accordance with "An Act in relation
    to  additional  support  and finance for the Agricultural
    and Home  Economic  Extension  Councils  in  the  several
    counties  in  this  State  and  making  an  appropriation
    therefor", approved July 24, 1967, as amended;
         (6)  for  research  on  equine  disease, including a
    development center therefor;
         (7)  for training scholarships for study  on  equine
    diseases  to  students  at  the  University  of  Illinois
    College of Veterinary Medicine;
         (8)  for  the rehabilitation, repair and maintenance
    of the Illinois and DuQuoin State Fair  Grounds  and  the
    structures and facilities thereon and the construction of
    permanent  improvements  on  such Fair Grounds, including
    such structures, facilities and property located on  such
    State  Fair  Grounds  which  are  under  the  custody and
    control of the Department of Agriculture;
         (9)  for  the  expenses   of   the   Department   of
    Agriculture   under   Section   6.01a   of   "The   Civil
    Administrative Code of Illinois", as amended;
         (10)  for the expenses of the Department of Commerce
    and  Community Affairs under Sections 6.18a, 46.24, 46.25
    and 46.26 of "The Civil Administrative Code of Illinois",
    as amended;
         (11)  for remodeling, expanding, and  reconstructing
    facilities  destroyed  by fire of any Fair and Exposition
    Authority in counties with a population of  1,000,000  or
    more inhabitants;
         (12)  for  the  purpose of assisting in the care and
    general rehabilitation of disabled veterans  of  any  war
    and their surviving spouses and orphans;
         (13)  for expenses of the Department of State Police
    for duties performed under this Act;
         (14)  for  the  Department  of  Agriculture for soil
    surveys and soil and water conservation purposes;
         (15)  for the Department of Agriculture  for  grants
    to the City of Chicago for conducting the Chicagofest.
    (k)  To  the  extent that monies paid by the Board to the
Agricultural Premium Fund are in the opinion of the  Governor
in  excess  of  the  amount necessary for the purposes herein
stated, the Governor shall notify  the  Comptroller  and  the
State  Treasurer  of  such  fact,  who,  upon receipt of such
notification, shall transfer  such  excess  monies  from  the
Agricultural Premium Fund to the General Revenue Fund.
(Source: P.A. 89-16, eff. 5-30-95.)

    (230 ILCS 5/28.1 new)
    Sec. 28.1.  Payments.
    (a)  Beginning  on  January  1, 2000, moneys collected by
the Department of Revenue and the Racing  Board  pursuant  to
Section  26 or Section 27 of this Act shall be deposited into
the Horse Racing Fund, which is hereby created as  a  special
fund in the State Treasury.
    (b)  Appropriations, as approved by the General Assembly,
may  be  made  from the Horse Racing Fund to the Board to pay
the salaries  of  the  Board  members,  secretary,  stewards,
directors   of   mutuels,   veterinarians,   representatives,
accountants,  clerks,  stenographers,  inspectors  and  other
employees  of  the  Board,  and  all  expenses  of  the Board
incident to the administration of this  Act,  including,  but
not  limited  to,  all  expenses and salaries incident to the
taking of saliva and urine samples  in  accordance  with  the
rules and regulations of the Board.
    (c)  Beginning  on  January  1,  2000,  the  Board  shall
transfer  the  remainder  of  the funds generated pursuant to
Sections 26 and 27  from  the  Horse  Racing  Fund  into  the
General Revenue Fund.
    (d)  Beginning  January 1, 2000, payments to all programs
in existence on the effective date of this amendatory Act  of
1999   that   are   identified   in  Sections  26(c),  26(f),
26(h)(11)(C), and 28, subsections (a), (b),  (c),  (d),  (e),
(f),  (g),  and  (h) of Section 30, and subsections (a), (b),
(c), (d), (e), (f), (g), and (h) of Section 31 shall be  made
from   the   General  Revenue  Fund  at  the  funding  levels
determined by amounts paid under this Act  in  calendar  year
1998.

    (230 ILCS 5/29) (from Ch. 8, par. 37-29)
    Sec.  29.   (a)  After  the  privilege or pari-mutuel tax
established in Sections 26(f), 27, and 27.1 is  paid  to  the
State  from  the monies retained by the organization licensee
pursuant to Sections 26, 26.2, and  26.3,  the  remainder  of
those  monies  retained  pursuant  to  Sections  26 and 26.2,
except as provided in subsection (g) of Section  27  of  this
Act,  shall  be allocated evenly to the organization licensee
and as purses.
    (b)  (Blank).
    (c)  (Blank).
    (d)  Each organization licensee and inter-track  wagering
licensee  from  the money retained for purses as set forth in
subsection (a) of this Section, shall pay to an  organization
representing  the largest number of horse owners and trainers
which  has  negotiated  a  contract  with  the   organization
licensee  for  such purpose an amount equal to at least 1% of
the  organization   licensee's   and   inter-track   wagering
licensee's retention of the pari-mutuel handle for the racing
season.   Each  inter-track  wagering location licensee, from
the 4% of its handle required to  be  paid  as  purses  under
paragraph  (11)  of subsection (h) of Section 26 of this Act,
shall pay to  the  contractually  established  representative
organization  2%  of  that  4%, provided that the payments so
made to the organization shall not exceed a total of $125,000
in any calendar year.  Such contract shall be negotiated  and
signed prior to the beginning of the racing season.
(Source: P.A. 89-16, eff. 5-30-95.)
    (230 ILCS 5/30) (from Ch. 8, par. 37-30)
    Sec.  30.   (a)  The General Assembly declares that it is
the policy  of  this  State  to  encourage  the  breeding  of
thoroughbred  horses  in this State and the ownership of such
horses by residents of this State in order  to  provide  for:
sufficient  numbers  of  high quality thoroughbred horses  to
participate in thoroughbred racing meetings  in  this  State,
and to establish and preserve the agricultural and commercial
benefits  of such breeding and racing industries to the State
of Illinois.  It is the intent of  the  General  Assembly  to
further this policy by the provisions of this Act.
    (b)  Each organization licensee conducting a thoroughbred
racing  meeting  pursuant  to this Act shall provide at least
two races each day limited to Illinois conceived  and  foaled
horses  or  Illinois  foaled  horses or both.  A minimum of 6
races shall  be  conducted  each  week  limited  to  Illinois
conceived  and  foaled or Illinois foaled horses or both.  No
horses shall be permitted to start in such races unless  duly
registered under the rules of the Department of Agriculture.
    (c)  Conditions  of  races  under subsection (b) shall be
commensurate with past performance,  quality,  and  class  of
Illinois  conceived  and  foaled  and  Illinois foaled horses
available.  If, however, sufficient competition cannot be had
among horses of that class on any day, the  races  may,  with
consent  of  the  Board,  be  eliminated  for  that  day  and
substitute races provided.
    (d)  There  is hereby created a special fund of the State
Treasury to be known as the  Illinois  Thoroughbred  Breeders
Fund.
    Except  as  provided  in  subsection (g) of Section 27 of
this Act, 8.5% of all the monies received  by  the  State  as
privilege taxes on Thoroughbred racing meetings shall be paid
into the Illinois Thoroughbred Breeders Fund.
    (e)  The  Illinois  Thoroughbred  Breeders  Fund shall be
administered by the Department of Agriculture with the advice
and assistance of the Advisory Board  created  in  subsection
(f) of this Section.
    (f)  The  Illinois  Thoroughbred  Breeders  Fund Advisory
Board shall consist of the  Director  of  the  Department  of
Agriculture,  who  shall  serve  as Chairman; a member of the
Illinois Racing Board, designated by it; 2 representatives of
the organization  licensees  conducting  thoroughbred  racing
meetings,  recommended  by  them;  2  representatives  of the
Illinois  Thoroughbred  Breeders   and   Owners   Foundation,
recommended  by  it;  and 2 representatives of the Horsemen's
Benevolent   Protective   Association   or   any    successor
organization established in Illinois comprised of the largest
number  of  owners  and trainers, recommended by it, with one
representative of the Horsemen's  Benevolent  and  Protective
Association  to come from its Illinois Division, and one from
its Chicago Division. Advisory Board members shall serve  for
2  years  commencing January 1 of each odd numbered year.  If
representatives  of  the  organization  licensees  conducting
thoroughbred  racing  meetings,  the  Illinois   Thoroughbred
Breeders and Owners Foundation, and the Horsemen's Benevolent
Protection  Association  have not been recommended by January
1, of each odd numbered year, the Director of the  Department
of Agriculture shall make an appointment for the organization
failing  to  so  recommend  a  member  of the Advisory Board.
Advisory Board members  shall  receive  no  compensation  for
their  services  as  members  but shall be reimbursed for all
actual and necessary expenses and disbursements  incurred  in
the execution of their official duties.
    (g)  No  monies  shall  be  expended  from  the  Illinois
Thoroughbred  Breeders  Fund  except  as  appropriated by the
General Assembly.   Monies  appropriated  from  the  Illinois
Thoroughbred   Breeders   Fund   shall  be  expended  by  the
Department of Agriculture, with the advice and assistance  of
the  Illinois  Thoroughbred Breeders Fund Advisory Board, for
the following purposes only:
         (1)  To  provide  purse  supplements  to  owners  of
    horses  participating  in  races  limited   to   Illinois
    conceived  and  foaled   and Illinois foaled horses.  Any
    such purse supplements shall not be included in and shall
    be paid in addition to any purses, stakes,  or  breeders'
    awards   offered   by   each   organization  licensee  as
    determined  by  agreement   between   such   organization
    licensee  and  an organization representing the horsemen.
    No monies from the Illinois  Thoroughbred  Breeders  Fund
    shall  be  used to provide purse supplements for claiming
    races in which the minimum claiming price  is  less  than
    $7,500.
         (2)  To  provide stakes and awards to be paid to the
    owners of the winning horses in certain races limited  to
    Illinois  conceived and foaled and Illinois foaled horses
    designated as stakes races.
         (2.5)  To provide an award to the owner or owners of
    an Illinois conceived and foaled or Illinois foaled horse
    that  wins  a  maiden  special  weight,   an   allowance,
    overnight  handicap  race, or claiming race with claiming
    price of $10,000  or  more  providing  the  race  is  not
    restricted  to  Illinois conceived and foaled or Illinois
    foaled horses.  Awards shall  also  be  provided  to  the
    owner  or  owners  of  Illinois  conceived and foaled and
    Illinois foaled horses that  place  second  or  third  in
    those  races.   To  the extent that additional moneys are
    required to pay the minimum additional awards of  40%  of
    the  purse  the  horse earns for placing first, second or
    third in those races for Illinois foaled  horses  and  of
    60%  of  the  purse  the  horse  earns for placing first,
    second or third in those races for Illinois conceived and
    foaled horses, those moneys shall be  provided  from  the
    purse account at the track where earned.
         (3)  To  provide  stallion  awards  to  the owner or
    owners of any stallion that is duly registered  with  the
    Illinois  Thoroughbred Breeders Fund Program prior to the
    effective date of this amendatory Act of 1995 whose  duly
    registered Illinois conceived and foaled offspring wins a
    race conducted at an Illinois thoroughbred racing meeting
    other  than a claiming race. Such award shall not be paid
    to the owner or  owners  of  an  Illinois  stallion  that
    served outside this State at any time during the calendar
    year in which such race was conducted.
         (4)  To  provide  $75,000  annually for purses to be
    distributed to county fairs that provide for the  running
    of  races  during  each  county  fair exclusively for the
    thoroughbreds conceived  and  foaled  in  Illinois.   The
    conditions  of the races shall be developed by the county
    fair association and reviewed by the Department with  the
    advice   and  assistance  of  the  Illinois  Thoroughbred
    Breeders Fund Advisory Board. There shall be no  wagering
    of  any  kind  on  the  running of Illinois conceived and
    foaled races at county fairs.
         (4.1)  To  provide  purse  money  for  an   Illinois
    stallion stakes program.
         (5)  No  less  than  80%  of all monies appropriated
    from the Illinois Thoroughbred  Breeders  Fund  shall  be
    expended  for  the purposes in (1), (2), (2.5), (3), (4),
    (4.1), and (5) as shown above.
         (6)  To provide for educational  programs  regarding
    the thoroughbred breeding industry.
         (7)  To provide for research programs concerning the
    health, development and care of the thoroughbred horse.
         (8)  To  provide  for  a  scholarship  and  training
    program for students of equine veterinary medicine.
         (9)  To   provide   for   dissemination   of  public
    information  designed  to   promote   the   breeding   of
    thoroughbred horses in Illinois.
         (10)  To  provide  for  all expenses incurred in the
    administration  of  the  Illinois  Thoroughbred  Breeders
    Fund.
    (h)  Whenever the Governor finds that the amount  in  the
Illinois Thoroughbred Breeders Fund is more than the total of
the  outstanding  appropriations from such fund, the Governor
shall notify the State Comptroller and the State Treasurer of
such fact.  The Comptroller and  the  State  Treasurer,  upon
receipt  of  such  notification,  shall  transfer such excess
amount from the Illinois Thoroughbred Breeders  Fund  to  the
General Revenue Fund.
    (i)  A  sum  equal to 12 1/2% of the first prize money of
every  purse  won  by  an  Illinois  foaled  or  an  Illinois
conceived and foaled horse in races not limited  to  Illinois
foaled  horses  or  Illinois  conceived and foaled horses, or
both, shall be paid by the organization  licensee  conducting
the  horse  race  meeting.  Such  sum  shall be paid from the
organization  licensee's  share  of  the  money  wagered   as
follows:   11 1/2% to the breeder of the winning horse and 1%
to the organization representing  thoroughbred  breeders  and
owners   whose   representative   serves   on   the  Illinois
Thoroughbred Breeders Fund Advisory Board for  verifying  the
amounts   of   breeders'   awards   earned,   assuring  their
distribution in accordance with this Act, and  servicing  and
promoting  the  Illinois  thoroughbred horse racing industry.
The  organization  representing  thoroughbred  breeders   and
owners  shall cause all expenditures of monies received under
this subsection (i) to be audited  at  least  annually  by  a
registered  public  accountant.   The organization shall file
copies of each annual audit with the Racing Board, the  Clerk
of  the  House  of  Representatives  and the Secretary of the
Senate, and shall make copies of each annual audit  available
to the public upon request and upon payment of the reasonable
cost  of  photocopying  the  requested number of copies. Such
payments shall not reduce any award to the owner of the horse
or reduce the taxes payable under this Act.  Upon  completion
of  its racing meet, each organization licensee shall deliver
to the organization representing  thoroughbred  breeders  and
owners   whose   representative   serves   on   the  Illinois
Thoroughbred Breeders Fund Advisory Board a  listing  of  all
the  Illinois  foaled  and  the Illinois conceived and foaled
horses which won breeders' awards  and  the  amount  of  such
breeders'  awards under this subsection to verify accuracy of
payments and assure proper distribution of  breeders'  awards
in accordance with the provisions of this Act.  Such payments
shall  be  delivered  by  the organization licensee within 30
days of the end of each race meeting.
    (j)  A sum equal to 12 1/2% of the first prize money  won
in  each  race  limited to Illinois foaled horses or Illinois
conceived and foaled horses, or both, shall be  paid  in  the
following  manner by the organization licensee conducting the
horse race meeting, from the organization licensee's share of
the money wagered: 11 1/2% to the breeders of the  horses  in
each  such  race  which are the official first, second, third
and fourth finishers and 1% to the organization  representing
thoroughbred  breeders and owners whose representative serves
on the Illinois Thoroughbred Breeders Fund Advisory Board for
verifying the amounts of breeders'  awards  earned,  assuring
their  proper  distribution  in accordance with this Act, and
servicing  and  promoting  the  Illinois  thoroughbred  horse
racing industry. The organization  representing  thoroughbred
breeders  and  owners  shall cause all expenditures of monies
received under this subsection (j) to  be  audited  at  least
annually by a registered public accountant.  The organization
shall file copies of each annual audit with the Racing Board,
the  Clerk  of the House of Representatives and the Secretary
of the Senate, and shall make copies  of  each  annual  audit
available  to the public upon request and upon payment of the
reasonable cost  of  photocopying  the  requested  number  of
copies.
    The  11 1/2% paid to the breeders in accordance with this
subsection shall be distributed as follows:
         (1)  60% of such sum shall be paid to the breeder of
    the horse which finishes in the official first position;
         (2)  20% of such sum shall be paid to the breeder of
    the horse which finishes in the official second position;
         (3)  15% of such sum shall be paid to the breeder of
    the horse which finishes in the official third  position;
    and
         (4)  5%  of such sum shall be paid to the breeder of
    the horse which finishes in the official fourth position.
    Such payments shall not reduce any award to the owners of
a horse or reduce the taxes  payable  under  this  Act.  Upon
completion  of  its  racing  meet, each organization licensee
shall deliver to the organization  representing  thoroughbred
breeders  and  owners  whose  representative  serves  on  the
Illinois  Thoroughbred Breeders Fund Advisory Board a listing
of all the Illinois foaled and  the  Illinois  conceived  and
foaled  horses  which  won breeders' awards and the amount of
such breeders' awards in accordance with  the  provisions  of
this   Act.   Such   payments   shall  be  delivered  by  the
organization licensee within 30 days of the end of each  race
meeting.
    (k)  The  term "breeder", as used herein, means the owner
of the mare at the time the foal is  dropped.   An  "Illinois
foaled  horse"  is a foal dropped by a mare which enters this
State on or before December 1, in the year in which the horse
is bred, 1995 for a  foal  dropped  in  calendar  year  1996,
November  1,  1996  for a foal dropped in calendar year 1997,
and October 1 for foals  dropped  in  all  years  thereafter,
provided  the  mare  remains continuously in this State until
its foal is born. An "Illinois foaled  horse"  also  means  a
foal  born of a mare in the same year as the mare enters this
State on or before March 1, and  remains  in  this  State  at
least  30  days after foaling, is bred back during the season
of the foaling to an Illinois Registered Stallion  (unless  a
veterinarian  certifies  that the mare should not be bred for
health reasons), and is not bred to a  stallion  standing  in
any  other  state during the season of foaling.  An "Illinois
foaled horse" also means a foal born in Illinois  of  a  mare
purchased  at  public auction subsequent to the mare entering
this State prior to February 1 of the foaling year  providing
the mare is owned solely by one or more Illinois residents or
an  Illinois  entity  that  is  entirely owned by one or more
Illinois residents.
    (l)  The Department of Agriculture shall, by  rule,  with
the  advice  and  assistance  of  the  Illinois  Thoroughbred
Breeders Fund Advisory Board:
         (1)  Qualify  stallions  for Illinois breeding; such
    stallions to  stand  for  service  within  the  State  of
    Illinois  at  the  time  of  a  foal's  conception.  Such
    stallion  must not stand for service at any place outside
    the State of Illinois during the calendar year  in  which
    the  foal is conceived. The Department of Agriculture may
    assess and collect application fees for the  registration
    of  Illinois-eligible  stallions.  All fees collected are
    to be paid into the Illinois Thoroughbred Breeders Fund.
         (2)  Provide  for  the  registration   of   Illinois
    conceived  and  foaled horses and Illinois foaled horses.
    No such horse shall  compete  in  the  races  limited  to
    Illinois  conceived  and foaled horses or Illinois foaled
    horses or both unless registered with the  Department  of
    Agriculture.  The Department of Agriculture may prescribe
    such forms as are necessary to determine the  eligibility
    of  such horses. The Department of Agriculture may assess
    and collect application  fees  for  the  registration  of
    Illinois-eligible  foals.   All  fees collected are to be
    paid into the Illinois  Thoroughbred  Breeders  Fund.  No
    person shall knowingly prepare or cause preparation of an
    application  for  registration  of  such foals containing
    false information.
    (m)  The Department of Agriculture, with the  advice  and
assistance   of   the  Illinois  Thoroughbred  Breeders  Fund
Advisory Board, shall provide that certain races  limited  to
Illinois  conceived  and foaled and Illinois foaled horses be
stakes races and determine the total  amount  of  stakes  and
awards to be paid to the owners of the winning horses in such
races.
    In  determining the stakes races and the amount of awards
for such races, the Department of Agriculture shall  consider
factors,  including  but  not limited to, the amount of money
appropriated for  the  Illinois  Thoroughbred  Breeders  Fund
program,  organization licensees' contributions, availability
of  stakes   caliber   horses   as   demonstrated   by   past
performances,  whether  the  race can be coordinated into the
proposed racing dates within organization  licensees'  racing
dates,  opportunity  for  colts  and  fillies and various age
groups to race,  public  wagering  on  such  races,  and  the
previous racing schedule.
    (n)  The  Board  and  the  organizational  licensee shall
notify the Department of the conditions  and  minimum  purses
for  races  limited  to  Illinois  conceived  and  foaled and
Illinois foaled  horses  conducted  for  each  organizational
licensee  conducting  a  thoroughbred  racing  meeting.   The
Department  of  Agriculture with the advice and assistance of
the Illinois Thoroughbred Breeders Fund  Advisory  Board  may
allocate  monies  for  purse  supplements for such races.  In
determining whether to allocate money  and  the  amount,  the
Department  of  Agriculture shall consider factors, including
but not limited to, the amount of money appropriated for  the
Illinois  Thoroughbred  Breeders  Fund program, the number of
races that may occur, and the organizational licensee's purse
structure.
    (o)  In  order  to  improve  the  breeding   quality   of
thoroughbred  horses  in  the  State,  the  General  Assembly
recognizes  that  existing  provisions  of  this  Section  to
encourage  such  quality  breeding  need  to  be  revised and
strengthened.  As such, a Thoroughbred Breeder's Program Task
Force is to be appointed by the Governor by September 1, 1999
to make recommendations to the General Assembly by  no  later
than  March  1, 2000.  This task force is to be composed of 2
representatives from the Illinois Thoroughbred  Breeders  and
Owners   Foundation,   2   from   the  Illinois  Thoroughbred
Horsemen's Association, 3 from Illinois race tracks operating
thoroughbred race meets for an average of at least 30 days in
the past 3 years, the Director of Agriculture, the  Executive
Director of the Racing Board, who shall serve as Chairman.
(Source: P.A. 88-495; 89-16, eff. 5-30-95.)

    (230 ILCS 5/30.5 new)
    Sec. 30.5.  Illinois Quarter Horse Breeders Fund.
    (a)  The  General Assembly declares that it is the policy
of this State to encourage the  breeding  of  racing  quarter
horses  in  this  State  and  the ownership of such horses by
residents of this State in order to  provide  for  sufficient
numbers  of  high quality racing quarter horses in this State
and to establish and preserve the agricultural and commercial
benefits of such breeding and racing industries to the  State
of  Illinois.  It  is  the  intent of the General Assembly to
further this policy by the provisions of this Act.
    (b)  There is hereby created a special fund in the  State
Treasury  to  be  known  as the Illinois Racing Quarter Horse
Breeders Fund.  Except  as  provided  in  subsection  (g)  of
Section  27  of  this Act, 8.5% of all the moneys received by
the State as pari-mutuel taxes on quarter horse racing  shall
be paid into the Illinois Racing Quarter Horse Breeders Fund.
    (c)  The  Illinois  Racing  Quarter  Horse  Breeders Fund
shall be administered by the Department of  Agriculture  with
the  advice  and  assistance of the Advisory Board created in
subsection (d) of this Section.
    (d)  The Illinois  Racing  Quarter  Horse  Breeders  Fund
Advisory   Board   shall  consist  of  the  Director  of  the
Department of Agriculture, who shall  serve  as  Chairman;  a
member  of  the  Illinois Racing Board, designated by it; one
representative  of  the  organization  licensees   conducting
pari-mutuel  quarter  horse  racing  meetings, recommended by
them; 2 representatives of the Illinois Running Quarter Horse
Association, recommended by it;  and  the  Superintendent  of
Fairs  and  Promotions  from  the  Department of Agriculture.
Advisory Board members shall serve  for  2  years  commencing
January  1 of each odd numbered year. If representatives have
not been recommended by January 1 of each odd numbered  year,
the  Director  of  the  Department of Agriculture may make an
appointment for the organization failing to  so  recommend  a
member  of  the  Advisory Board. Advisory Board members shall
receive no compensation for their services as members but may
be reimbursed for  all  actual  and  necessary  expenses  and
disbursements  incurred  in  the  execution of their official
duties.
    (e)  No moneys shall be expended from the Illinois Racing
Quarter Horse Breeders Fund except  as  appropriated  by  the
General  Assembly.  Moneys  appropriated  from  the  Illinois
Racing  Quarter  Horse Breeders Fund shall be expended by the
Department of Agriculture, with the advice and assistance  of
the  Illinois  Racing  Quarter  Horse  Breeders Fund Advisory
Board, for the following purposes only:
         (1)  To provide stakes and awards to be paid to  the
    owners  of  the  winning  horses  in  certain races. This
    provision is limited to  Illinois  conceived  and  foaled
    horses.
         (2)  To  provide  an award to the owner or owners of
    an Illinois conceived and foaled horse that wins  a  race
    when  pari-mutuel  wagering  is  conducted; providing the
    race is not restricted to Illinois conceived  and  foaled
    horses.
         (3)  To provide purse money for an Illinois stallion
    stakes program.
         (4)  To provide for purses to be distributed for the
    running  of  races during the Illinois State Fair and the
    DuQuoin  State  Fair  exclusively  for   quarter   horses
    conceived and foaled in Illinois.
         (5)  To provide for purses to be distributed for the
    running of races at Illinois county fairs exclusively for
    quarter horses conceived and foaled in Illinois.
         (6)  To  provide  for  purses  to be distributed for
    running races exclusively for  quarter  horses  conceived
    and   foaled   in   Illinois  at  locations  in  Illinois
    determined by the Department of Agriculture  with  advice
    and  consent  of  the  Racing Quarter Horse Breeders Fund
    Advisory Board.
         (7)  No less than 90%  of  all  moneys  appropriated
    from  the  Illinois  Racing  Quarter  Horse Breeders Fund
    shall be expended for the purposes  in  items  (1),  (2),
    (3), (4), and (5) of this subsection (e).
         (8)  To provide for research programs concerning the
    health, development, and care of racing quarter horses.
         (9)  To   provide   for   dissemination   of  public
    information designed to promote the  breeding  of  racing
    quarter horses in Illinois.
         (10)  To   provide  for  expenses  incurred  in  the
    administration  of  the  Illinois  Racing  Quarter  Horse
    Breeders Fund.
    (f)  The Department of Agriculture shall, by  rule,  with
the  advice  and  assistance  of  the Illinois Racing Quarter
Horse Breeders Fund Advisory Board:
         (1)  Qualify stallions for Illinois  breeding;  such
    stallions  to  stand  for  service  within  the  State of
    Illinois, at  the  time  of  a  foal's  conception.  Such
    stallion  must not stand for service at any place outside
    the State of Illinois during the calendar year  in  which
    the  foal is conceived. The Department of Agriculture may
    assess and collect application fees for the  registration
    of Illinois-eligible stallions. All fees collected are to
    be  paid  into the Illinois Racing Quarter Horse Breeders
    Fund.
         (2)  Provide  for  the  registration   of   Illinois
    conceived  and foaled horses. No such horse shall compete
    in the races limited to  Illinois  conceived  and  foaled
    horses  unless  it  is  registered with the Department of
    Agriculture. The Department of Agriculture may  prescribe
    such  forms as are necessary to determine the eligibility
    of such horses. The Department of Agriculture may  assess
    and  collect  application  fees  for  the registration of
    Illinois-eligible foals. All fees  collected  are  to  be
    paid  into  the  Illinois  Racing  Quarter Horse Breeders
    Fund.  No  person  shall  knowingly  prepare   or   cause
    preparation  of  an  application for registration of such
    foals that contains false information.
    (g)  The Department of Agriculture, with the  advice  and
assistance of the Illinois Racing Quarter Horse Breeders Fund
Advisory  Board,  shall provide that certain races limited to
Illinois conceived and foaled be stakes races  and  determine
the  total  amount  of  stakes  and  awards to be paid to the
owners of the winning horses in such races.
    (230 ILCS 5/32.1 new)
    Sec. 32.1.  Pari-mutuel tax credit;  statewide  racetrack
real   estate   equalization.   In  order  to  encourage  new
investment in  Illinois  racetrack  facilities  and  mitigate
differing  real  estate tax burdens among all racetracks, the
licensees affiliated or associated with each  racetrack  that
has  been awarded live racing dates in the current year shall
receive an immediate pari-mutuel  tax  credit  in  an  amount
equal  to  the  greater  of (i) 50% of the amount of the real
estate taxes paid in the  prior  year  attributable  to  that
racetrack,  or (ii) the amount by which the real estate taxes
paid in the prior year attributable to that racetrack exceeds
60% of the average real estate taxes paid in the  prior  year
for  all  racetracks  awarded  live horse racing meets in the
current year.
    Each  year,  regardless  of  whether   the   organization
licensee  conducted live racing in the year of certification,
the Board shall certify in writing, prior to December 31, the
real estate taxes paid in that year for  each  racetrack  and
the   amount   of   the  pari-mutuel  tax  credit  that  each
organization  licensee,  intertrack  wagering  licensee,  and
intertrack  wagering  location  licensee  that  derives   its
license  from  such  racetrack  is entitled in the succeeding
calendar year.  The real estate taxes considered  under  this
Section  for  any  racetrack shall be those taxes on the real
estate parcels and related facilities used to conduct a horse
race meeting and inter-track wagering at such racetrack under
this Act. In no event shall the  amount  of  the  tax  credit
under  this  Section  exceed  the amount of pari-mutuel taxes
otherwise calculated under this Act. The amount  of  the  tax
credit  under this Section shall be retained by each licensee
and shall not be  subject  to  any  reallocation  or  further
distribution  under  this  Act.   The  Board  may  promulgate
emergency rules to implement this Section.
    (230 ILCS 5/54 new)
    Sec. 54.  Horse Racing Equity Fund.
    (a)  There  is created in the State Treasury a Fund to be
known as the  Horse  Racing  Equity  Fund.   The  Fund  shall
consist  of  moneys paid into it pursuant to subsection (c-5)
of Section 13 of the Riverboat Gambling Act.  The Fund  shall
be administered by the Racing Board.
    (b)  The   moneys   deposited  into  the  Fund  shall  be
distributed by the State Treasurer within 10 days after those
moneys are deposited into the Fund as follows:
         (1)  Fifty percent of all moneys  distributed  under
    this  subsection  shall  be  distributed  to organization
    licensees to be distributed at  their  race  meetings  as
    purses.   Fifty-seven  percent  of the amount distributed
    under  this  paragraph  (1)  shall  be  distributed   for
    thoroughbred  race  meetings and 43% shall be distributed
    for  standardbred  race  meetings.   Within  each  breed,
    moneys shall be allocated to each organization licensee's
    purse fund in  accordance  with  the  ratio  between  the
    purses  generated  for that breed by that licensee during
    the prior calendar year and the  total  purses  generated
    throughout  the  State  for  that  breed during the prior
    calendar year.
         (2)  The remaining 50%  of  the  moneys  distributed
    under  this  subsection (b) shall be distributed pro rata
    according  to  the  aggregate  proportion  of  state-wide
    handle at the  racetrack,  inter-track,  and  inter-track
    wagering  locations  that  derive  their  licenses from a
    racetrack identified in this paragraph (2)  for  calendar
    years  1994,  1996,  and  1997  to (i) any person (or its
    successors or assigns) who had  operating  control  of  a
    racing  facility  at  which  live racing was conducted in
    calendar year 1997 and who has operating  control  of  an
    organization  licensee  that conducted racing in calendar
    year 1997 and is a licensee in the current year, or  (ii)
    any  person  (or  its  successors  or  assigns)  who  has
    operating  control  of  a  racing  facility  located in a
    county that is bounded by the Mississippi River that  has
    a  population  of less than 150,000 according to the 1990
    decennial census and conducted an average of 60  days  of
    racing  per  year  between  1985  and  1993  and has been
    awarded an inter-track wagering license  in  the  current
    year.
         If  any  person  identified  in  this  paragraph (2)
    becomes ineligible to receive moneys from the Fund,  such
    amount shall be redistributed among the remaining persons
    in proportion to their percentages otherwise calculated.

    (230 ILCS 5/55 new)
    Sec.  55.   Study  concerning  account wagering and fixed
odds wagering.  The Board shall study whether it would be  in
the best interests of the horse racing industry and the State
of  Illinois  to  authorize  account  wagering and fixed odds
wagering.  The Board shall file a written  report  containing
its findings with the General Assembly no later than December
31, 1999.

    Section  12.   The  Illinois  Horse Racing Act of 1975 is
amended by changing Section 32 as follows:

    (230 ILCS 5/32) (from Ch. 8, par. 37-32)
    Sec. 32.  Illinois Race Track Improvement Fund. Within 30
days after the effective date of this Act,  the  Board  shall
cause  all  moneys  previously deposited in the Illinois Race
Track Improvement Fund to be remitted to the  racetrack  from
which  the  licensee derives its license in accordance to the
amounts generated by each licensee.
    (a)  There is hereby created in the State Treasury a fund
to be known as  the Illinois  Race  Track  Improvement  Fund,
referred to in this Section as the Fund, to consist of monies
paid  into  it  pursuant to Section 28. Except as provided in
subsection (g) of Section 27 of this Act, moneys credited  to
the  Fund  shall be  distributed by the Treasurer on order of
the Board.
    (b)  Except as provided in subsection (g) of Section  28,
50% of the breakage of each meeting shall be collected by the
Department  of Revenue and deposited with the State Treasurer
in an account established for each organization licensee  who
held such meeting at any track in a given racing year.
    (c)  The  Racing  Board shall use this Fund to aid tracks
in improving their facilities.  Expenditures  from  the  Fund
shall be equitably distributed between frontside and backside
improvements  for  each  organization  licensee,  taking into
account the amount an organization licensee may spend or  has
spent  on frontside and backside improvements over the course
of a multi-year capital improvement plan, which plan shall be
updated each year and subject to the review and  approval  of
the  Board. The Board shall have discretion to deny a request
for reimbursement from the Fund if  it  determines  that  the
proposed  expenditures  are  not consistent with the approved
capital improvement plan. An organization licensee  shall  be
required   to  file  an  updated  plan  each  year  with  any
application to conduct racing.
    (d)  Monies shall be distributed from the Fund to  tracks
for the cost of erection, improving or acquisition of seating
stands,  buildings  or other structures, ground or track, for
the necessary purchase or required restoration of depreciable
property and equipment used in the operation of a race track,
or for the payment  of  the  cost  of  amortization  of  debt
contracted with the approval of the Board for any or all such
purposes.    The  fund  shall  also be used to reimburse race
tracks for the added expenses incurred when it  is  necessary
to  establish  training  facilities  for  horses  eligible to
compete at operating race tracks due to the existence  of  an
overflow  of eligible horses using the training facilities at
the operating tracks, or if it is determined by the Board  to
be in the best interests of racing.
    (e)  The  Board  shall  promulgate  procedural  rules and
regulations governing  information  required,  deadlines  for
filing,  and types of application forms to be observed by the
tracks seeking monies from the Fund.
    (f)  (Blank).
    (g)  The Board shall  keep  accurate  records  of  monies
deposited in each account for each licensee.  If in any given
year  a track does not tender any application for monies from
the Fund or tenders an application which is not in accordance
with the provisions of this Section the Department of Revenue
shall allow such unexpended monies to remain in  the  account
for  utilization  at  a  later  date  in  accordance with the
provision of subsections (c) through (e).
    (h)  In addition to any other permitted use of moneys  in
the  Fund,  and notwithstanding any restriction on the use of
the Fund, moneys in the Illinois Race Track Improvement  Fund
may  be transferred to the General Revenue Fund as authorized
by Public Act 87-14.  The  General  Assembly  finds  that  an
excess  of  moneys  existed in the Fund on July 30, 1991, and
the  Governor's  order  of  July  30,  1991,  requesting  the
Comptroller and Treasurer to transfer an amount from the Fund
to the General Revenue Fund is hereby validated.
(Source: P.A. 89-16, eff. 5-30-95.)

    Section 15.  The Riverboat Gambling  Act  is  amended  by
changing  the title of the Act, changing Sections 3, 4, 5, 6,
7, 11, 12, 13, and 18, and adding Section 11.2 as follows:

    (230 ILCS 10/Act title)
    An  Act  to  authorize  certain  forms  of  gambling   on
excursion gambling boats.
(Source: P.A. 86-1029.)

    (230 ILCS 10/3) (from Ch. 120, par. 2403)
    Sec. 3.  Riverboat Gambling Authorized.
    (a)  Riverboat  gambling  operations  and  the  system of
wagering incorporated therein, as defined in  this  Act,  are
hereby  authorized to the extent that they are carried out in
accordance with the provisions of this Act.
    (b)  This Act does not apply to the pari-mutuel system of
wagering used or intended to be used in connection  with  the
horse-race  meetings  as  authorized under the Illinois Horse
Racing Act  of  1975,  lottery  games  authorized  under  the
Illinois  Lottery  Law,  bingo  authorized  under  the  Bingo
License  and  Tax  Act, charitable games authorized under the
Charitable Games Act or pull tabs  and  jar  games  conducted
under the Illinois Pull Tabs and Jar Games Act.
    (c)  Riverboat  gambling  conducted  pursuant to this Act
may be authorized upon any water navigable stream within  the
State  of  Illinois  or any water navigable stream other than
Lake Michigan which constitutes a boundary of  the  State  of
Illinois.   A   licensee   may   conduct  riverboat  gambling
authorized under this Act regardless of whether  it  conducts
excursion  cruises.   A  licensee  may  permit the continuous
ingress and egress of passengers for the purpose of gambling;
however, this  Act  does  not  authorize  riverboat  gambling
within  a  county having a population in excess of 3,000,000,
and  this  Act  does  not  authorize  riverboats   conducting
gambling  under  this Act to dock at any location in a county
having a population in excess of 3,000,000.
(Source: P.A. 86-1029.)

    (230 ILCS 10/4) (from Ch. 120, par. 2404)
    Sec. 4.  Definitions. As used in this Act:
    (a)  "Board" means the Illinois Gaming Board.
    (b)  "Occupational license" means a license issued by the
Board to a person or entity to perform  an  occupation  which
the  Board has identified as requiring a license to engage in
riverboat gambling in Illinois.
    (c)  "Gambling game" includes, but  is  not  limited  to,
baccarat,  twenty-one, poker, craps, slot machine, video game
of chance, roulette wheel, klondike table,  punchboard,  faro
layout,  keno  layout, numbers ticket, push card, jar ticket,
or pull tab which is authorized by the Board  as  a  wagering
device under this Act.
    (d)  "Riverboat" means a self-propelled excursion boat or
a  permanently  moored  barge  on  which  lawful  gambling is
authorized and licensed as provided in this Act.
    (e)  (Blank). "Gambling excursion" means the time  during
which gambling games may be operated on a riverboat.
    (f)  "Dock"  means  the  location  where  a  an excursion
riverboat moors for the purpose of embarking  passengers  for
and  disembarking  passengers  from  the riverboat a gambling
excursion.
    (g)  "Gross receipts" means the  total  amount  of  money
exchanged  for  the  purchase  of chips, tokens or electronic
cards by riverboat patrons.
    (h)  "Adjusted gross receipts" means the  gross  receipts
less winnings paid to wagerers.
    (i)  "Cheat"  means  to  alter  the selection of criteria
which determine the result of a gambling game or  the  amount
or frequency of payment in a gambling game.
    (j)  "Department" means the Department of Revenue.
    (k)  "Gambling operation" means the conduct of authorized
gambling games upon a riverboat.
(Source: P.A. 86-1029; 86-1389; 87-826.)
    (230 ILCS 10/5) (from Ch. 120, par. 2405)
    Sec. 5.  Gaming Board.
    (a)  (1)  There   is   hereby   established   within  the
Department of Revenue an Illinois Gaming  Board  which  shall
have  the  powers  and  duties specified in this Act, and all
other powers necessary and proper to  fully  and  effectively
execute   this   Act   for   the  purpose  of  administering,
regulating, and enforcing the system  of  riverboat  gambling
established  by this Act. Its jurisdiction shall extend under
this  Act  to   every   person,   association,   corporation,
partnership   and   trust   involved  in  riverboat  gambling
operations in the State of Illinois.
    (2)  The Board shall consist of 5 members to be appointed
by the Governor with the advice and consent  of  the  Senate,
one  of  whom  shall  be  designated  by  the  Governor to be
chairman.  Each member shall have a reasonable  knowledge  of
the   practice,   procedure   and   principles   of  gambling
operations.  Each  member  shall  either  be  a  resident  of
Illinois or shall certify that he will become a  resident  of
Illinois  before  taking office. At least one member shall be
experienced in law enforcement and criminal investigation, at
least one member  shall  be  a  certified  public  accountant
experienced  in  accounting  and  auditing,  and at least one
member  shall  be  a  lawyer  licensed  to  practice  law  in
Illinois.
    (3)  The terms of office of the Board members shall be  3
years,  except  that the terms of office of the initial Board
members appointed pursuant to this Act will commence from the
effective date of this Act and run  as  follows:  one  for  a
term  ending  July 1, 1991, 2 for a term ending July 1, 1992,
and 2 for a term ending July 1, 1993.  Upon the expiration of
the foregoing terms, the successors  of  such  members  shall
serve  a  term  for  3  years  and until their successors are
appointed and qualified for  like  terms.  Vacancies  in  the
Board  shall  be filled for the unexpired term in like manner
as original appointments.  Each member of the Board shall  be
eligible  for reappointment at the discretion of the Governor
with the advice and consent of the Senate.
    (4)  Each member of the Board shall receive $300 for each
day the Board meets and for each day the member conducts  any
hearing pursuant to this Act.  Each member of the Board shall
also  be reimbursed for all actual and necessary expenses and
disbursements incurred in the execution of official duties.
    (5)  No person shall be appointed a member of  the  Board
or  continue  to  be  a  member of the Board who is, or whose
spouse, child  or  parent  is,  a  member  of  the  board  of
directors  of,  or  a  person  financially interested in, any
gambling operation subject to the jurisdiction of this Board,
or any race track, race meeting, racing  association  or  the
operations   thereof  subject  to  the  jurisdiction  of  the
Illinois Racing Board.  No Board member shall hold any  other
public  office  for which he shall receive compensation other
than necessary  travel  or  other  incidental  expenses.   No
person  shall  be  a  member  of the Board who is not of good
moral character or who has been convicted  of,  or  is  under
indictment  for,  a  felony under the laws of Illinois or any
other state, or the United States.
    (6)  Any member of  the  Board  may  be  removed  by  the
Governor  for  neglect  of duty, misfeasance, malfeasance, or
nonfeasance in office.
    (7)  Before entering upon the discharge of the duties  of
his  office, each member of the Board shall take an oath that
he will faithfully execute the duties of his office according
to the laws of  the  State  and  the  rules  and  regulations
adopted  therewith  and  shall  give  bond  to  the  State of
Illinois, approved by the Governor, in the  sum  of  $25,000.
Every  such  bond,  when duly executed and approved, shall be
recorded in the office of the Secretary of  State.   Whenever
the  Governor  determines  that the bond of any member of the
Board  has  become  or  is  likely  to  become   invalid   or
insufficient, he shall require such member forthwith to renew
his  bond,  which  is  to  be  approved by the Governor.  Any
member of the Board who fails to  take  oath  and  give  bond
within 30 days from the date of his appointment, or who fails
to  renew his bond within 30 days after it is demanded by the
Governor, shall be guilty of  neglect  of  duty  and  may  be
removed  by  the Governor.  The cost of any bond given by any
member of the Board under this Section shall be taken to be a
part of the necessary expenses of the Board.
    (8)  Upon the request of the Board, the Department  shall
employ  such  personnel  as may be necessary to carry out the
functions of the Board.  No person shall be employed to serve
the Board who is, or whose spouse, parent  or  child  is,  an
official  of,  or  has  a  financial interest in or financial
relation with, any operator engaged  in  gambling  operations
within  this  State or any organization engaged in conducting
horse racing within this State.  Any employee violating these
prohibitions shall be subject to termination of employment.
    (9)  An Administrator shall perform any  and  all  duties
that   the  Board  shall  assign  him.   The  salary  of  the
Administrator shall be determined by the Board  and  approved
by  the Director of the Department and, in addition, he shall
be reimbursed for all actual and necessary expenses  incurred
by   him   in   discharge   of   his  official  duties.   The
Administrator shall keep records of all  proceedings  of  the
Board  and  shall  preserve all records, books, documents and
other papers belonging to the Board or entrusted to its care.
The Administrator shall devote his full time to the duties of
the office and shall not hold any other office or employment.
    (b)  The Board shall have general responsibility for  the
implementation  of  this  Act.   Its  duties include, without
limitation, the following:
         (1)  To decide promptly and in reasonable order  all
    license applications. Any party aggrieved by an action of
    the  Board  denying, suspending, revoking, restricting or
    refusing to renew a license may request a hearing  before
    the  Board.   A request for a hearing must be made to the
    Board in writing within 5 days after service of notice of
    the action of the Board.  Notice of  the  action  of  the
    Board  shall  be served either by personal delivery or by
    certified mail, postage prepaid, to the aggrieved  party.
    Notice  served by certified mail shall be deemed complete
    on the business day following the date of  such  mailing.
    The  Board  shall conduct all requested hearings promptly
    and in reasonable order;
         (2)  To conduct all  hearings  pertaining  to  civil
    violations   of   this   Act  or  rules  and  regulations
    promulgated hereunder;
         (3)  To promulgate such rules and regulations as  in
    its  judgment  may be necessary to protect or enhance the
    credibility  and   integrity   of   gambling   operations
    authorized   by  this  Act  and  the  regulatory  process
    hereunder;
         (4)  To provide for the establishment and collection
    of all license and registration fees and taxes imposed by
    this Act and the rules and  regulations  issued  pursuant
    hereto.   All such fees and taxes shall be deposited into
    the State Gaming Fund;
         (5)  To provide  for  the  levy  and  collection  of
    penalties  and  fines  for the violation of provisions of
    this  Act  and  the  rules  and  regulations  promulgated
    hereunder.   All  such  fines  and  penalties  shall   be
    deposited  into the Education Assistance Fund, created by
    Public Act 86-0018, of the State of Illinois;
         (6)  To be present through its inspectors and agents
    any  time  gambling  operations  are  conducted  on   any
    riverboat  for  the  purpose  of  certifying  the revenue
    thereof,  receiving  complaints  from  the  public,   and
    conducting  such other investigations into the conduct of
    the gambling games and the maintenance of  the  equipment
    as  from  time  to  time the Board may deem necessary and
    proper;
         (7)  To review and rule  upon  any  complaint  by  a
    licensee  regarding  any  investigative procedures of the
    State which  are  unnecessarily  disruptive  of  gambling
    operations.  The need to inspect and investigate shall be
    presumed  at  all  times.  The disruption of a licensee's
    operations  shall  be  proved  by  clear  and  convincing
    evidence, and establish that:  (A) the procedures had  no
    reasonable   law   enforcement   purposes,  and  (B)  the
    procedures were so disruptive as to unreasonably  inhibit
    gambling operations;
         (8)  To  hold  at  least one meeting each quarter of
    the fiscal year.  In addition, special  meetings  may  be
    called  by  the  Chairman  or any 2 Board members upon 72
    hours written notice to each member.  All Board  meetings
    shall  be subject to the Open Meetings Act. Three members
    of the Board shall constitute a quorum, and 3 votes shall
    be required for any final  determination  by  the  Board.
    The  Board  shall  keep a complete and accurate record of
    all its meetings. A majority of the members of the  Board
    shall  constitute  a  quorum  for  the transaction of any
    business, for the performance of any  duty,  or  for  the
    exercise  of  any power which this Act requires the Board
    members to transact, perform or exercise en banc,  except
    that,  upon  order of the Board, one of the Board members
    or an administrative law judge designated  by  the  Board
    may conduct any hearing provided for under this Act or by
    Board  rule  and  may recommend findings and decisions to
    the Board.  The Board member or administrative law  judge
    conducting  such hearing shall have all powers and rights
    granted to the Board in this Act. The record made at  the
    time  of the hearing shall be reviewed by the Board, or a
    majority thereof, and the findings and  decision  of  the
    majority  of  the Board shall constitute the order of the
    Board in such case;
         (9)  To maintain  records  which  are  separate  and
    distinct  from  the  records  of any other State board or
    commission.  Such records shall be available  for  public
    inspection   and   shall  accurately  reflect  all  Board
    proceedings;
         (10)  To file  a  written  annual  report  with  the
    Governor  on  or  before  March  1  each  year  and  such
    additional  reports  as  the  Governor  may  request. The
    annual report shall include a statement of  receipts  and
    disbursements  by  the Board, actions taken by the Board,
    and any additional information and recommendations  which
    the  Board  may  deem  valuable or which the Governor may
    request;
         (11)  (Blank) To review the patterns of wagering and
    wins  and  losses  by  persons  on   riverboat   gambling
    operations under this Act, and make recommendation to the
    Governor  and  the General Assembly, by January 31, 1992,
    as  to  whether  limits  on  wagering  losses  should  be
    imposed; and
         (12)  To    assume    responsibility     for     the
    administration  and  enforcement of the Bingo License and
    Tax Act, the Charitable Games Act, and the Pull Tabs  and
    Jar  Games  Act if such responsibility is delegated to it
    by the Director of Revenue.
    (c)  The Board shall have  jurisdiction  over  and  shall
supervise  all gambling operations governed by this Act.  The
Board shall have all powers necessary and proper to fully and
effectively execute the provisions of  this  Act,  including,
but not limited to, the following:
         (1)  To  investigate  applicants  and  determine the
    eligibility of applicants  for  licenses  and  to  select
    among  competing  applicants  the  applicants  which best
    serve the interests of the citizens of Illinois.
         (2)  To have jurisdiction and supervision  over  all
    riverboat  gambling  operations  in  this  State  and all
    persons  on  riverboats  where  gambling  operations  are
    conducted.
         (3)  To promulgate rules  and  regulations  for  the
    purpose  of  administering the provisions of this Act and
    to prescribe  rules,  regulations  and  conditions  under
    which  all  riverboat  gambling  in  the  State  shall be
    conducted.  Such rules and regulations are to provide for
    the prevention of practices  detrimental  to  the  public
    interest   and   for  the  best  interests  of  riverboat
    gambling, including rules and regulations  regarding  the
    inspection  of  such  riverboats  and  the  review of any
    permits or licenses  necessary  to  operate  a  riverboat
    under  any  laws or regulations applicable to riverboats,
    and to impose penalties for violations thereof.
         (4)  To enter the office, riverboats, facilities, or
    other places of business of a licensee, where evidence of
    the compliance or noncompliance with  the  provisions  of
    this Act is likely to be found.
         (5)  To  investigate  alleged violations of this Act
    or the  rules  of  the  Board  and  to  take  appropriate
    disciplinary  action against a licensee or a holder of an
    occupational  license  for  a  violation,  or   institute
    appropriate legal action for enforcement, or both.
         (6)  To  adopt  standards  for  the licensing of all
    persons under this Act, as  well  as  for  electronic  or
    mechanical gambling games, and to establish fees for such
    licenses.
         (7)  To   adopt   appropriate   standards   for  all
    riverboats and facilities.
         (8)  To  require   that   the   records,   including
    financial  or other statements of any licensee under this
    Act, shall be kept in such manner as  prescribed  by  the
    Board   and  that  any  such  licensee  involved  in  the
    ownership or management of gambling operations submit  to
    the  Board  an  annual  balance sheet and profit and loss
    statement, list of  the  stockholders  or  other  persons
    having  a  1%  or  greater  beneficial  interest  in  the
    gambling  activities  of  each  licensee,   and any other
    information  the  Board  deems  necessary  in  order   to
    effectively   administer   this   Act   and   all  rules,
    regulations, orders and final decisions promulgated under
    this Act.
         (9)  To conduct hearings, issue  subpoenas  for  the
    attendance of witnesses and subpoenas duces tecum for the
    production   of   books,   records  and  other  pertinent
    documents in accordance with the Illinois  Administrative
    Procedure  Act,  and to administer oaths and affirmations
    to the witnesses, when, in the judgment of the Board,  it
    is  necessary  to  administer  or enforce this Act or the
    Board rules.
         (10)  To prescribe a form to be used by any licensee
    involved in  the  ownership  or  management  of  gambling
    operations  as  an  application  for employment for their
    employees.
         (11)  To revoke or suspend licenses,  as  the  Board
    may see fit and in compliance with applicable laws of the
    State  regarding administrative procedures, and to review
    applications for the renewal of licenses.  The Board  may
    suspend an owners license, without notice or hearing upon
    a  determination  that the safety or health of patrons or
    employees is  jeopardized  by  continuing  a  riverboat's
    operation.  The suspension may remain in effect until the
    Board  determines  that the cause for suspension has been
    abated.  The Board may revoke the owners license  upon  a
    determination  that  the  owner has not made satisfactory
    progress toward abating the hazard.
         (12)  To eject or exclude or authorize the  ejection
    or  exclusion  of,  any  person  from  riverboat gambling
    facilities where such person is in violation of this Act,
    rules and regulations thereunder, or final orders of  the
    Board,  or  where  such person's conduct or reputation is
    such that his  presence  within  the  riverboat  gambling
    facilities  may,  in  the opinion of the Board, call into
    question  the  honesty  and  integrity  of  the  gambling
    operations or interfere  with  orderly  conduct  thereof;
    provided that the propriety of such ejection or exclusion
    is subject to subsequent hearing by the Board.
         (13)  To   require   all   licensees   of   gambling
    operations  to utilize a cashless wagering system whereby
    all players' money is  converted  to  tokens,  electronic
    cards,  or chips which shall be used only for wagering in
    the gambling establishment.
         (14)  (Blank).  To  authorize  the   routes   of   a
    riverboat and the stops which a riverboat may make.
         (15)  To  suspend,  revoke  or restrict licenses, to
    require the removal of a licensee or  an  employee  of  a
    licensee  for  a violation of this Act or a Board rule or
    for engaging in a  fraudulent  practice,  and  to  impose
    civil  penalties  of up to $5,000 against individuals and
    up to $10,000 or an  amount  equal  to  the  daily  gross
    receipts, whichever is larger, against licensees for each
    violation  of any provision of the Act, any rules adopted
    by the Board, any order of the Board or any other  action
    which,  in  the  Board's  discretion,  is  a detriment or
    impediment to riverboat gambling operations.
         (16)  To  hire  employees  to  gather   information,
    conduct  investigations  and  carry  out  any other tasks
    contemplated under this Act.
         (17)  To establish minimum levels of insurance to be
    maintained by licensees.
         (18)  To authorize  a  licensee  to  sell  or  serve
    alcoholic  liquors, wine or beer as defined in the Liquor
    Control Act of 1934 on board  a  riverboat  and  to  have
    exclusive  authority  to establish the hours for sale and
    consumption of alcoholic liquor  on  board  a  riverboat,
    notwithstanding  any  provision of the Liquor Control Act
    of 1934 or any local ordinance, and regardless of whether
    the riverboat makes excursions.  The establishment of the
    hours for sale and consumption  of  alcoholic  liquor  on
    board  a  riverboat is an exclusive power and function of
    the State.  A home rule unit may not establish the  hours
    for  sale  and consumption of alcoholic liquor on board a
    riverboat.  This amendatory Act of 1991 is a  denial  and
    limitation  of  home  rule  powers  and  functions  under
    subsection  (h)  of  Section  6  of  Article  VII  of the
    Illinois Constitution.
         (19)  After consultation with the U.S. Army Corps of
    Engineers, to establish binding emergency orders upon the
    concurrence of a majority of the  members  of  the  Board
    regarding   the   navigability   of  water,  relative  to
    excursions,  rivers  in  the  event  of  extreme  weather
    conditions, acts of God or other extreme circumstances.
         (20)  To delegate the execution of any of its powers
    under this Act  for  the  purpose  of  administering  and
    enforcing   this   Act  and  its  rules  and  regulations
    hereunder.
         (21)  To take any other action as may be  reasonable
    or   appropriate  to  enforce  this  Act  and  rules  and
    regulations hereunder.
    (d)  The Board may seek and shall receive the cooperation
of the Department of State Police  in  conducting  background
investigations   of   applicants   and   in   fulfilling  its
responsibilities under this Section.  Costs incurred  by  the
Department  of  State  Police as a result of such cooperation
shall  be  paid  by  the  Board  in  conformance   with   the
requirements  of  subsection  22  of Section 55a of The Civil
Administrative Code of Illinois.
(Source: P.A. 86-1029; 86-1389; 87-826.)

    (230 ILCS 10/6) (from Ch. 120, par. 2406)
    Sec. 6.  Application for Owners License.
    (a)  A qualified person may apply to  the  Board  for  an
owners  license  to conduct a riverboat gambling operation as
provided in this Act.  The application shall be made on forms
provided by the Board and shall contain such  information  as
the  Board  prescribes,  including  but  not  limited  to the
identity of the riverboat on which such gambling operation is
to be conducted and the exact location where  such  riverboat
will  be  docked,  a certification that the riverboat will be
registered under this Act at all times during which  gambling
operations  are  conducted  on  board,  detailed  information
regarding  the ownership and management of the applicant, and
detailed  personal  information  regarding   the   applicant.
Information  provided  on  the application shall be used as a
basis for a thorough background investigation which the Board
shall conduct with respect to each applicant.  An  incomplete
application  shall  be  cause  for denial of a license by the
Board.
    (b)  Applicants shall submit with their  application  all
documents,  resolutions,  and  letters  of  support  from the
governing body that represents  the  municipality  or  county
wherein the licensee will dock.
    (c)  Each  applicant shall disclose the identity of every
person, association, trust or corporation  having  a  greater
than   1%  direct  or  indirect  pecuniary  interest  in  the
riverboat  gambling  operation  with  respect  to  which  the
license is sought.  If the disclosed entity is a  trust,  the
application  shall  disclose  the  names and addresses of the
beneficiaries; if a corporation, the names and  addresses  of
all  stockholders  and directors; if a partnership, the names
and addresses of all partners, both general and limited.
    (d)  An application shall be  filed  with  the  Board  by
January  1  of the year preceding any calendar year for which
an applicant seeks an owners license;  however,  applications
for  an  owners  license  permitting operations on January 1,
1991 shall be filed by July 1, 1990.  An application  fee  of
$50,000  shall  be  paid  at the time of filing to defray the
costs associated with the background investigation  conducted
by  the  Board.   If  the  costs  of the investigation exceed
$50,000, the applicant shall pay the additional amount to the
Board.  If the costs  of  the  investigation  are  less  than
$50,000,   the  applicant  shall  receive  a  refund  of  the
remaining  amount.   All  information,  records,  interviews,
reports, statements, memoranda or other data supplied  to  or
used   by   the   Board  in  the  course  of  its  review  or
investigation of an application for a license under this  Act
shall  be privileged, strictly confidential and shall be used
only for  the  purpose  of  evaluating  an  applicant.   Such
information,   records,   interviews,   reports,  statements,
memoranda or other data shall not be admissible as  evidence,
nor  discoverable  in  any action of any kind in any court or
before any tribunal, board, agency or person, except for  any
action deemed necessary by the Board.
    (e)  The  Board  shall charge each applicant a fee set by
the Department of State Police to defray the costs associated
with the search and classification of  fingerprints  obtained
by  the  Board  with  respect to the applicant's application.
These fees shall be paid into the State Police Services Fund.
    (f)  The licensed owner shall  be  the  person  primarily
responsible for the boat itself.  Only one riverboat gambling
operation  may  be  authorized by the Board on any riverboat.
The applicant must identify each riverboat it intends to  use
and  certify  that  the  riverboat:  (1)  has  the authorized
capacity required in this Act; (2) is accessible to  disabled
persons;  and  (3)  is  either  a  replica  of a 19th century
Illinois riverboat or of a casino cruise ship design; and (4)
is fully registered  and  licensed  in  accordance  with  any
applicable laws.
    (g)  A person who knowingly makes a false statement on an
application is guilty of a Class A misdemeanor.
(Source: P.A. 86-1029; 86-1389.)

    (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.  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
    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;
         (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) the person, firm or  corporation   owns
    more  than a 10% ownership interest in any entity holding
    an owners license issued under this Act; 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.
    (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
              (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 good faith affirmative action plan of  each
    applicant to recruit, train and upgrade minorities 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; and
         (7)  the extent to which the  applicant  exceeds  or
    meets  other  standards  for  the  issuance  of an owners
    license which the Board may adopt by rule.
    (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
navigable  stream  on  which  the  riverboat  will be located
operate. The Board shall issue 5 licenses to become effective
not earlier  than  January  1,  1991.   Three  Four  of  such
licenses   shall   authorize   riverboat   gambling   on  the
Mississippi River, one of  which  shall  authorize  riverboat
gambling  from a home dock in the city of East St. Louis. One
The other license shall authorize riverboat gambling  on  the
Illinois  River  south  of  Marshall  County. The Board shall
issue 1 additional license to become  effective  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  navigable  streams
upon which riverboats will operate with licenses effective on
or after March 1, 1992, 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  revoke  the owners license of a licensee
which fails to begin conducting  gambling  regular  riverboat
cruises  within  15  12  months  of  receipt  of  the Board's
approval of the application  if  the  Board  determines  that
license revocation is in the best 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
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)  None of the first 5 licenses issued by the Board  to
become  effective  not  earlier  than  January  1, 1991 shall
authorize a riverboat  to  dock  in  a  municipality  with  a
population of under 2,000; however, this restriction does not
apply  to  any  additional  licenses  issued  by the Board to
become effective not earlier than March 1, 1992.   The  Board
may  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 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  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 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.
    (k)  Nothing in this Act shall be interpreted to prohibit
a  licensed owner from operating a school for the training of
any occupational licensee.
(Source: P.A. 86-1029; 86-1389; 86-1475; 87-826.)
    (230 ILCS 10/11) (from Ch. 120, par. 2411)
    Sec. 11.  Conduct of gambling.
    (a)  Gambling may be conducted by licensed owners  aboard
riverboats, subject to the following standards:
         (1)  A   licensee  may  conduct  riverboat  gambling
    authorized  under  this  Act  regardless  of  whether  it
    conducts excursion cruises.  A licensee  may  permit  the
    continuous  ingress  and  egress  of  passengers  for the
    purpose of gambling No gambling may be conducted while  a
    riverboat is docked.
         (2)  (Blank).  Riverboat  cruises  may  not exceed 4
    hours for  a  round  trip,  with  the  exception  of  any
    extended  cruises,  each  of  which  shall  be  expressly
    approved by the Board.
         (3)  Minimum  and  maximum  wagers on games shall be
    set by the licensee.
         (4)  Agents of the Board and the Department of State
    Police may board and inspect any riverboat  at  any  time
    for  the purpose of determining whether this Act is being
    complied with.  Every riverboat, if under way  and  being
    hailed  by  a  law  enforcement  officer  or agent of the
    Board, must stop immediately and lay to.
         (5)  Employees of the Board shall have the right  to
    be  present  on  the  riverboat or on adjacent facilities
    under the control of the licensee.
         (6)  Gambling  equipment  and  supplies  customarily
    used in conducting riverboat gambling must  be  purchased
    or  leased  only from suppliers licensed for such purpose
    under this Act.
         (7)  Persons licensed under this Act shall permit no
    form of wagering on gambling games except as permitted by
    this Act.
         (8)  Wagers may  be  received  only  from  a  person
    present  on a licensed riverboat.  No person present on a
    licensed riverboat shall place  or  attempt  to  place  a
    wager  on  behalf of another person who is not present on
    the riverboat.
         (9)  Wagering shall not be conducted with  money  or
    other negotiable currency.
         (10)  A  person  under age 21 shall not be permitted
    on an  area  of  a  riverboat  where  gambling  is  being
    conducted,  except  for a person at least 18 years of age
    who is an employee of the riverboat  gambling  operation.
    No  employee  under  age  21  shall  perform any function
    involved in gambling by the patrons. No person under  age
    21 shall be permitted to make a wager under this Act.
         (11)  Gambling  excursion cruises are permitted only
    when  the  waterway  navigable  stream  for   which   the
    riverboat  is licensed is navigable, as determined by the
    Board  in  consultation  with  the  U.S.  Army  Corps  of
    Engineers. This paragraph (11) does not limit the ability
    of a licensee to conduct gambling authorized  under  this
    Act when gambling excursion cruises are not permitted.
         (12)  All  tokens, chips or electronic cards used to
    make wagers must  be  purchased  from  a  licensed  owner
    either aboard a riverboat or at an onshore facility which
    has been approved by the Board and which is located where
    the  riverboat  docks.  The  tokens,  chips or electronic
    cards may be purchased by means  of  an  agreement  under
    which  the  owner  extends  credit  to  the patron.  Such
    tokens, chips or  electronic  cards  may  be  used  while
    aboard  the  riverboat  only  for  the  purpose of making
    wagers on gambling games.
         (13)  Notwithstanding any other Section of this Act,
    in addition to the other licenses authorized  under  this
    Act,  the Board may issue special event licenses allowing
    persons  who  are  not  otherwise  licensed  to   conduct
    riverboat   gambling   to  conduct  such  gambling  on  a
    specified date or series of  dates.   Riverboat  gambling
    under  such  a  license may take place on a riverboat not
    normally used for riverboat gambling.   The  Board  shall
    establish  standards, fees and fines for, and limitations
    upon, such licenses, which may differ from the standards,
    fees, fines and limitations  otherwise  applicable  under
    this  Act.   All  such  fees  shall be deposited into the
    State Gaming Fund.  All such  fines  shall  be  deposited
    into the Education Assistance Fund, created by Public Act
    86-0018, of the State of Illinois.
         (14)  In  addition  to  the  above, gambling must be
    conducted in accordance with all  rules  adopted  by  the
    Board.
(Source: P.A. 86-1029; 86-1389; 87-826.)

    (230 ILCS 10/11.2 new)
    Sec. 11.2. Relocation of riverboat home dock.
    (a)  A   licensee   that  was  not  conducting  riverboat
gambling on January 1,  1998  may  apply  to  the  Board  for
renewal  and  approval  of  relocation  to  a  new  home dock
location authorized under Section 3(c) and  the  Board  shall
grant  the  application  and  approval  upon  receipt  by the
licensee of approval from the new municipality or county,  as
the  case  may  be,  in which the licensee wishes to relocate
pursuant to Section 7(j).
    (b)  Any licensee that relocates its home  dock  pursuant
to this Section shall attain a level of at least 20% minority
person   and   female   ownership,   at   least  16%  and  4%
respectively, within a time period prescribed by  the  Board,
but not to exceed 12 months from the date the licensee begins
conducting  gambling  at  the  new  home  dock location.  The
12-month period shall be  extended  by  the  amount  of  time
necessary  to  conduct a background investigation pursuant to
Section 6. For  the  purposes  of  this  Section,  the  terms
"female"  and "minority person" have the meanings provided in
Section 2 of the Business Enterprise for Minorities, Females,
and Persons with Disabilities Act.

    (230 ILCS 10/12) (from Ch. 120, par. 2412)
    Sec. 12. Admission tax; fees.
    (a)  A tax is hereby imposed upon admissions to  gambling
excursions  authorized  pursuant  to this Act at a rate of $2
per person admitted.  This admission tax is imposed upon  the
licensed owner conducting the gambling excursion.
         (1)  If  tickets  are issued which are good for more
    than one gambling excursion, The admission tax  shall  be
    paid  for  each admission person using the ticket on each
    gambling excursion for which the ticket is used.
         (2)  (Blank).  If  free  passes   or   complimentary
    admission  tickets are issued, the licensee shall pay the
    same tax upon these passes or complimentary tickets as if
    they were sold at the regular and usual admission rate.
         (3)  The  riverboat  licensee  may  issue   tax-free
    passes to actual and necessary officials and employees of
    the  licensee  or  other  persons actually working on the
    riverboat.
         (4)  The number and issuance of tax-free  passes  is
    subject  to  the  rules  of  the Board, and a list of all
    persons to whom the tax-free passes are issued  shall  be
    filed with the Board.
    (b)  From  the  $2  tax  imposed  under subsection (a), a
municipality shall receive from the State $1 for each  person
embarking  on a riverboat docked within the municipality, and
a county shall receive $1 for  each  person  embarking  on  a
riverboat docked within the county but outside the boundaries
of  any  municipality.  The  municipality's or county's share
shall be collected by the Board on behalf of  the  State  and
remitted quarterly by the State, subject to appropriation, to
the  treasurer of the unit of local government for deposit in
the general fund.
    (c)  The licensed owner shall pay  the  entire  admission
tax  to  the  Board.  Such  payments  shall  be  made  daily.
Accompanying each payment shall be a return on forms provided
by  the Board which shall include other information regarding
admissions as the  Board  may  require.   Failure  to  submit
either  the  payment  or the return within the specified time
may result in suspension or revocation of the owners license.
    (d)  The Board shall administer and collect the admission
tax imposed by this Section, to the extent practicable, in  a
manner  consistent  with the provisions of Sections 4, 5, 5a,
5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of
the Retailers' Occupation Tax Act  and  Section  3-7  of  the
Uniform Penalty and Interest Act.
(Source: P.A. 86-1029; 86-1389; 87-205; 87-895.)

    (230 ILCS 10/13) (from Ch. 120, par. 2413)
    Sec. 13.  Wagering tax; rate; distribution.
    (a)  Until  January  1,  1998,  a  tax  is imposed on the
adjusted  gross  receipts  received   from   gambling   games
authorized under this Act at the rate of 20%.
    Beginning  January 1, 1998, a privilege tax is imposed on
persons engaged  in  the  business  of  conducting  riverboat
gambling  operations,  based  on  the adjusted gross receipts
received by a licensed owner from gambling  games  authorized
under this Act at the following rates:
         15%  of  annual  adjusted  gross  receipts up to and
    including $25,000,000;
         20% of annual adjusted gross receipts in  excess  of
    $25,000,000 but not exceeding $50,000,000;
         25%  of  annual adjusted gross receipts in excess of
    $50,000,000 but not exceeding $75,000,000;
         30% of annual adjusted gross receipts in  excess  of
    $75,000,000 but not exceeding $100,000,000;
         35%  of  annual adjusted gross receipts in excess of
    $100,000,000.
    The taxes imposed by this Section shall be  paid  by  the
licensed  owner to the Board not later than 3:00 o'clock p.m.
of the day after the day when the wagers were made.
    (b)  Until January  1,  1998,  25%  of  the  tax  revenue
deposited  in  the State Gaming Fund under this Section shall
be paid, subject to appropriation by the General Assembly, to
the unit of local government which is designated as the  home
dock  of  the riverboat.  Beginning January 1, 1998, from the
tax revenue deposited in the State  Gaming  Fund  under  this
Section,  an  amount  equal  to 5% of adjusted gross receipts
generated by a riverboat shall be paid  monthly,  subject  to
appropriation  by  the General Assembly, to the unit of local
government that  is  designated  as  the  home  dock  of  the
riverboat.
    (c)  Appropriations, as approved by the General Assembly,
may  be  made from the State Gaming Fund to the Department of
Revenue  and  the  Department  of  State   Police   for   the
administration and enforcement of this Act.
    (c-5)  After  the payments required under subsections (b)
and (c) have been  made,  an  amount  equal  to  15%  of  the
adjusted  gross  receipts  of  a riverboat (1) that relocates
pursuant to Section 11.2, or (2) for which an owners  license
is   initially  issued  after  the  effective  date  of  this
amendatory Act of 1999, whichever comes first, shall be  paid
from the State Gaming Fund into the Horse Racing Equity Fund.
    (c-10)  Each  year the General Assembly shall appropriate
from the General Revenue Fund  to  the  Education  Assistance
Fund an amount equal to the amount paid into the Horse Racing
Equity  Fund  pursuant  to  subsection  (c-5)  in  the  prior
calendar year.
    (c-15)  After  the  payments  required  under subsections
(b), (c), and (c-5) have been made, an amount equal to 2%  of
the adjusted gross receipts of a riverboat (1) that relocates
pursuant  to Section 11.2, or (2) for which an owners license
is  initially  issued  after  the  effective  date  of   this
amendatory Act of 1999, whichever comes first, shall be paid,
subject  to appropriation from the General Assembly, from the
State Gaming Fund to each home rule county with a  population
of  over  3,000,000  inhabitants for the purpose of enhancing
the county's criminal justice system.
    (c-20)  Each year the General Assembly shall  appropriate
from  the  General  Revenue  Fund to the Education Assistance
Fund an amount equal to the amount paid  to  each  home  rule
county  with  a  population  of  over  3,000,000  inhabitants
pursuant to subsection (c-15) in the prior calendar year.
    (c-25)  After  the  payments  required  under subsections
(b), (c), (c-5) and (c-15) have been made, an amount equal to
2% of the adjusted gross receipts of  a  riverboat  (1)  that
relocates  pursuant  to  Section  11.2,  or  (2) for which an
owners license is initially issued after the  effective  date
of  this amendatory Act of 1999, whichever comes first, shall
be  paid  from  the  State  Gaming  Fund   into   the   State
Universities Athletic Capital Improvement Fund.
    (d)  From  time  to  time,  the  Board shall transfer the
remainder of  the  funds  generated  by  this  Act  into  the
Education  Assistance Fund, created by Public Act 86-0018, of
the State of Illinois.
    (e)  Nothing in this Act shall prohibit the unit of local
government designated as the home dock of the riverboat  from
entering into agreements with other units of local government
in  this State or in other states to share its portion of the
tax revenue.
    (f)  To  the  extent   practicable,   the   Board   shall
administer  and  collect  the  wagering taxes imposed by this
Section  in  a  manner  consistent  with  the  provisions  of
Sections 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b,
6c, 8, 9, and 10 of the Retailers'  Occupation  Tax  Act  and
Section 3-7 of the Uniform Penalty and Interest Act.
(Source: P.A. 89-21, eff. 7-1-95; 90-548, eff. 12-4-97.)

    (230 ILCS 10/18) (from Ch. 120, par. 2418)
    Sec. 18.  Prohibited Activities - Penalty.
    (a)  A  person  is  guilty  of  a Class A misdemeanor for
doing any of the following:
         (1)  Conducting Operating a gambling excursion where
    wagering is used or to be used without a  license  issued
    by the Board.
         (2)  Conducting Operating a gambling excursion where
    wagering  is permitted other than in the manner specified
    by Section 11.
    (b)  A person is guilty of  a  Class  B  misdemeanor  for
doing any of the following:
         (1)  permitting  a  person  under 21 years to make a
    wager; or
         (2)  violating paragraph (12) of subsection  (a)  of
    Section 11 of this Act.
    (c)  A  person  wagering  or  accepting  a  wager  at any
location outside the riverboat is subject to the penalties in
paragraphs (1) or (2) of subsection (a) of  Section  28-1  of
the Criminal Code of 1961.
    (d)  A  person commits a Class 4 felony and, in addition,
shall  be  barred  for  life  from   riverboats   under   the
jurisdiction  of  the  Board,  if  the person does any of the
following:
         (1)  Offers, promises, or gives anything of value or
    benefit to a person who is  connected  with  a  riverboat
    owner  including,  but  not  limited  to,  an  officer or
    employee of a licensed owner or holder of an occupational
    license pursuant to an agreement or arrangement  or  with
    the  intent that the promise or thing of value or benefit
    will influence the actions of  the  person  to  whom  the
    offer,  promise,  or  gift was made in order to affect or
    attempt to affect the outcome of a gambling game,  or  to
    influence official action of a member of the Board.
         (2)  Solicits  or  knowingly  accepts  or receives a
    promise of anything of value or benefit while the  person
    is  connected with a riverboat including, but not limited
    to, an officer or employee of a licensed owner, or holder
    of an occupational license, pursuant to an  understanding
    or  arrangement  or  with  the intent that the promise or
    thing of value or benefit will influence the  actions  of
    the  person to affect or attempt to affect the outcome of
    a gambling game, or to influence  official  action  of  a
    member of the Board.
         (3)  Uses  or  possesses  with  the  intent to use a
    device to assist:
              (i)  In projecting the outcome of the game.
              (ii)  In keeping track of the cards played.
              (iii)  In  analyzing  the  probability  of  the
         occurrence of an  event  relating  to  the  gambling
         game.
              (iv)  In  analyzing the strategy for playing or
         betting to be used in the game except  as  permitted
         by the Board.
         (4)  Cheats at a gambling game.
         (5)  Manufactures,  sells, or distributes any cards,
    chips, dice, game or device which is intended to be  used
    to violate any provision of this Act.
         (6)  Alters   or  misrepresents  the  outcome  of  a
    gambling game on which wagers have been  made  after  the
    outcome  is  made  sure  but before it is revealed to the
    players.
         (7)  Places a bet  after  acquiring  knowledge,  not
    available  to all players, of the outcome of the gambling
    game which is subject of the bet or to aid  a  person  in
    acquiring  the knowledge for the purpose of placing a bet
    contingent on that outcome.
         (8)  Claims, collects,  or  takes,  or  attempts  to
    claim, collect, or take, money or anything of value in or
    from  the gambling games, with intent to defraud, without
    having made a wager  contingent  on  winning  a  gambling
    game, or claims, collects, or takes an amount of money or
    thing of value of greater value than the amount won.
         (9)  Uses  counterfeit chips or tokens in a gambling
    game.
         (10)  Possesses any key or device designed  for  the
    purpose  of opening, entering, or affecting the operation
    of a  gambling  game,  drop  box,  or  an  electronic  or
    mechanical device connected with the gambling game or for
    removing  coins,  tokens,   chips  or other contents of a
    gambling game.  This paragraph (10) does not apply  to  a
    gambling  licensee  or  employee  of  a gambling licensee
    acting in furtherance of the employee's employment.
    (e)  The possession of  more  than  one  of  the  devices
described  in  subsection  (d),  paragraphs  (3), (5) or (10)
permits a rebuttable presumption that the possessor  intended
to use the devices for cheating.
    An action to prosecute any crime occurring on a riverboat
during  a  gambling excursion shall be tried in the county of
the dock at which the riverboat is based.
(Source: P.A. 86-1029; 87-826.)

    (30 ILCS 105/5.26b rep.)
    (30 ILCS 105/5.211 rep.)
    Section  20.   The  State  Finance  Act  is  amended   by
repealing Sections 5.26b and 5.211.
    (230 ILCS 5/20.5 rep.)
    (230 ILCS 5/26.6 rep.)
    Section  25.   The  Illinois  Horse Racing Act of 1975 is
amended by repealing Sections 20.5 and 26.6.

    Section 30.  Inseverability.  The provisions of this  Act
are  mutually dependent and inseverable.  If any provision is
held invalid other than as applied to a particular person  or
circumstance, then this entire Act is invalid.

    Section  99.  Effective date.  This Act takes effect upon
becoming law, except that Sections  12  and  20  take  effect
January 1, 2000.

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