SB0690 Enrolled LRB101 04451 HLH 49459 b
1		AN ACT concerning revenue.
2		Be it enacted by the People of the State of Illinois,
3		represented in the General Assembly:
4		Article 5. Leveling the Playing Field for Illinois Retail Act
5		Section 5-1. Short title. This Article may be cited as the
6		Leveling the Playing Field for Illinois Retail Act. References
7		in this Article to "this Act" means this Article.
8		Section 5-5. Findings. The General Assembly finds that
9		certified service providers and certified automated systems
10		simplify use and occupation tax compliance for out-of-state
11		sellers, which fosters higher levels of accurate tax collection
12		and remittance and generates administrative savings and new
13		marginal tax revenue for both State and local taxing
14		jurisdictions. By making the services of certified service
15		providers and certified automated systems available to remote
16		retailers without charge as provided in this Act, the State
17		will substantially eliminate the burden on those remote
18		retailers to collect and remit both State and local taxing
19		jurisdiction use and occupation taxes. While providing a means
20		for remote retailers to collect and remit tax on an even basis
21		with Illinois retailers, this Act also protects existing local
22		tax revenue streams by retaining origin sourcing for all

SB0690 Enrolled - 2 - LRB101 04451 HLH 49459 b
1		transactions by retailers maintaining a physical presence in
2		Illinois.
3		Section 5-10. Definitions. As used in this Act:
4		"Certified service provider" means an agent certified by
5		the Department to perform the remote retailer's use and
6		occupation tax functions, as outlined in the contract between
7		the State and the certified service provider.
8		"Certified automated system" means an automated software
9		system that is certified by the State as meeting all
10		performance and tax calculation standards required by
11		Department rules.
12		"Department" means the Department of Revenue.
13		"Remote retailer" means a retailer as defined in Section 1
14		of the Retailers' Occupation Tax Act that has an obligation to
15		collect State and local retailers' occupation tax under
16		subsection (b) of Section 2 of the Retailers' Occupation Tax
17		Act.
18		"Retailers' occupation tax" means the tax levied under the
19		Retailers' Occupation Tax Act and all applicable local
20		retailers' occupation taxes collected by the Department in
21		conjunction with the State retailers' occupation tax.
22		Section 5-15. Certification of certified service
23		providers. The Department shall, no later than December 31,
24		2019, establish standards for the certification of certified

SB0690 Enrolled - 3 - LRB101 04451 HLH 49459 b
1		service providers and certified automated systems and may act
2		jointly with other states to accomplish these ends.
3		The Department may take other actions reasonably required
4		to implement the provisions of this Act, including the adoption
5		of rules and emergency rules and the procurement of goods and
6		services, which also may be coordinated jointly with other
7		states.
8		Section 5-20. Provision of databases. The Department
9		shall, no later than July 1, 2020:
10		(1) provide and maintain an electronic, downloadable
11		database of defined product categories that identifies the
12		taxability of each category;
13		(2) provide and maintain an electronic, downloadable
14		database of all retailers' occupation tax rates for the
15		jurisdictions in this State that levy a retailers'
16		occupation tax; and
17		(3) provide and maintain an electronic, downloadable
18		database that assigns delivery addresses in this State to
19		the applicable taxing jurisdictions.
20		Section 5-25. Certification. The Department shall, no
21		later than July 1, 2020:
22		(1) provide uniform minimum standards that companies
23		wishing to be designated as a certified service provider in
24		this State must meet; those minimum standards must include

SB0690 Enrolled - 4 - LRB101 04451 HLH 49459 b
1		an expedited certification process for companies that have
2		been certified in at least 5 other states;
3		(2) provide uniform minimum standards that certified
4		automated systems must meet; those minimum standards may
5		include an expedited certification process for automated
6		systems that have been certified in at least 5 other
7		states;
8		(3) establish a certification process to review the
9		systems of companies wishing to be designated as a
10		certified service provider in this State or of companies
11		wishing to use a certified automated process; this
12		certification process shall provide that companies that
13		meet all required standards and whose systems have been
14		tested and approved by the Department for properly
15		determining the taxability of items to be sold, the correct
16		tax rate to apply to a transaction, and the appropriate
17		jurisdictions to which the tax shall be remitted, shall be
18		certified;
19		(4) enter into a contractual relationship with each
20		company that qualifies as a certified service provider or
21		that will be using a certified automated system; those
22		contracts shall, at a minimum, provide:
23		(A) the responsibilities of the certified service
24		provider and the remote retailers that contract with
25		the certified service provider or the user of a
26		certified automated system related to liability for

SB0690 Enrolled - 5 - LRB101 04451 HLH 49459 b
1		proper collection and remittance of use and occupation
2		taxes;
3		(B) the responsibilities of the certified service
4		provider and the remote retailers that contract with
5		the certified service provider or the user of a
6		certified service provider related to record keeping
7		and auditing;
8		(C) for the protection and confidentiality of tax
9		information; and
10		(D) compensation equal to 1.75% of the tax dollars
11		collected and remitted to the State by a certified
12		service provider on a timely basis on behalf of remote
13		retailers; remote retailers using a certified service
14		provider may not claim the vendor's discount allowed
15		under the Retailers' Occupation Tax Act or the Service
16		Occupation Tax Act.
17		The provisions of this Section shall supersede the
18		provisions of the Illinois Procurement Code.
19		Section 5-30. Relief from liability. Beginning January 1,
20		2020, remote retailers using certified service providers or
21		certified automated systems and their certified service
22		providers or certified automated systems providers are
23		relieved from liability to the State for having charged and
24		collected the incorrect amount of use or occupation tax
25		resulting from a certified service provider or certified

SB0690 Enrolled - 6 - LRB101 04451 HLH 49459 b
1		automated system relying, at the time of the sale, on: (1)
2		erroneous data provided by the State in database files on tax
3		rates, boundaries, or taxing jurisdictions; or (2) erroneous
4		data provided by the State concerning the taxability of
5		products and services.
6		The Department shall, to the best of its ability, assign
7		addresses to the proper local taxing jurisdiction using a
8		9-digit zip code identifier. On an annual basis, the Department
9		shall make available to local taxing jurisdictions the taxing
10		jurisdiction boundaries determined by the Department for their
11		verification. If a jurisdiction fails to verify their taxing
12		jurisdiction boundaries to the Department in any given year,
13		the Department shall assign retailers' occupation tax revenue
14		from remote retail sales based on its best information. In that
15		case, tax revenues from remote retail sales remitted to a
16		taxing jurisdiction based on erroneous local tax boundary
17		information will be assigned to the correct taxing jurisdiction
18		on a prospective basis upon notice of the boundary error from a
19		local taxing jurisdiction. No certified service provider or
20		remote retailer using a certified automated system shall be
21		subject to a class action brought on behalf of customers and
22		arising from, or in any way related to, an overpayment of
23		retailers' occupation tax collected by the certified service
24		provider if, at the time of the sale, they relied on
25		information provided by the Department, regardless of whether
26		that claim is characterized as a tax refund claim. Nothing in

SB0690 Enrolled - 7 - LRB101 04451 HLH 49459 b
1		this Section affects a customer's right to seek a refund from
2		the remote retailer as provided in this Act.
3		Section 5-97. Severability. The provisions of this Act are
4		severable under Section 1.31 of the Statute on Statutes.
5		Article 10. Parking Excise Tax Act
6		Section 10-1. Short title. This Article may be cited as the
7		Parking Excise Tax Act. References in this Article to "this
8		Act" mean this Article.
9		Section 10-5. Definitions.
10		"Booking intermediary" means any person or entity that
11		facilitates the processing and fulfillment of reservation
12		transactions between an operator and a person or entity
13		desiring parking in a parking lot or garage of that operator.
14		"Charge or fee paid for parking" means the gross amount of
15		consideration for the use or privilege of parking a motor
16		vehicle in or upon any parking lot or garage in the State,
17		collected by an operator and valued in money, whether received
18		in money or otherwise, including cash, credits, property, and
19		services, determined without any deduction for costs or
20		expenses, but not including charges that are added to the
21		charge or fee on account of the tax imposed by this Act or on
22		account of any other tax imposed on the charge or fee. "Charge

SB0690 Enrolled - 8 - LRB101 04451 HLH 49459 b
1		or fee paid for parking" excludes separately stated charges not
2		for the use or privilege or parking and excludes amounts
3		retained by or paid to a booking intermediary for services
4		provided by the booking intermediary. If any separately stated
5		charge is not optional, it shall be presumed that it is part of
6		the charge for the use or privilege or parking.
7		"Department" means the Department of Revenue.
8		"Operator" means any person who engages in the business of
9		operating a parking area or garage, or who, directly or through
10		an agreement or arrangement with another party, collects the
11		consideration for parking or storage of motor vehicles,
12		recreational vehicles, or other self-propelled vehicles, at
13		that parking place. This includes, but is not limited to, any
14		facilitator or aggregator that collects from the purchaser the
15		charge or fee paid for parking. "Operator" does not include a
16		bank, credit card company, payment processor, booking
17		intermediary, or person whose involvement is limited to
18		performing functions that are similar to those performed by a
19		bank, credit card company, payment processor, or booking
20		intermediary.
21		"Parking area or garage" means any real estate, building,
22		structure, premises, enclosure or other place, whether
23		enclosed or not, except a public way, within the State, where
24		motor vehicles, recreational vehicles, or other self-propelled
25		vehicles, are stored, housed or parked for hire, charge, fee or
26		other valuable consideration in a condition ready for use, or

SB0690 Enrolled - 9 - LRB101 04451 HLH 49459 b
1		where rent or compensation is paid to the owner, manager,
2		operator or lessee of the premises for the housing, storing,
3		sheltering, keeping or maintaining motor vehicles,
4		recreational vehicles, or other self-propelled vehicles.
5		"Parking area or garage" includes any parking area or garage,
6		whether the vehicle is parked by the owner of the vehicle or by
7		the operator or an attendant.
8		"Person" means any natural individual, firm, trust,
9		estate, partnership, association, joint stock company, joint
10		venture, corporation, limited liability company, or a
11		receiver, trustee, guardian, or other representative appointed
12		by order of any court.
13		"Purchase price" means the consideration paid for the
14		purchase of a parking space in a parking area or garage, valued
15		in money, whether received in money or otherwise, including
16		cash, gift cards, credits, and property, and shall be
17		determined without any deduction on account of the cost of
18		materials used, labor or service costs, or any other expense
19		whatsoever.
20		"Purchase price" includes any and all charges that the
21		recipient pays related to or incidental to obtaining the use or
22		privilege of using a parking space in a parking area or garage,
23		including but not limited to any and all related markups,
24		service fees, convenience fees, facilitation fees,
25		cancellation fees, overtime fees, or other such charges,
26		regardless of terminology. However, "purchase price" shall not

SB0690 Enrolled - 10 - LRB101 04451 HLH 49459 b
1		include consideration paid for:
2		(1) optional, separately stated charges not for the use
3		or privilege of using a parking space in the parking area
4		or garage;
5		(2) any charge for a dishonored check;
6		(3) any finance or credit charge, penalty or charge for
7		delayed payment, or discount for prompt payment;
8		(4) any purchase by a purchaser if the operator is
9		prohibited by federal or State Constitution, treaty,
10		convention, statute or court decision from collecting the
11		tax from such purchaser;
12		(5) the isolated or occasional sale of parking spaces
13		subject to tax under this Act by a person who does not hold
14		himself out as being engaged (or who does not habitually
15		engage) in selling of parking spaces; and
16		(6) any amounts added to a purchaser's bills because of
17		charges made pursuant to the tax imposed by this Act. If
18		credit is extended, then the amount thereof shall be
19		included only as and when payments are made.
20		"Purchaser" means any person who acquires a parking space
21		in a parking area or garage for use for valuable consideration.
22		"Use" means the exercise by any person of any right or
23		power over, or the enjoyment of, a parking space in a parking
24		area or garage subject to tax under this Act.
25		Section 10-10. Imposition of tax; calculation of tax.

SB0690 Enrolled - 11 - LRB101 04451 HLH 49459 b
1		(a) Beginning on January 1, 2020, a tax is imposed on the
2		privilege of using in this State a parking space in a parking
3		area or garage for the use of parking one or more motor
4		vehicles, recreational vehicles, or other self-propelled
5		vehicles, at the rate of:
6		(1) 6% of the purchase price for a parking space paid
7		for on an hourly, daily, or weekly basis; and
8		(2) 9% of the purchase price for a parking space paid
9		for on a monthly or annual basis.
10		(b) The tax shall be collected from the purchaser by the
11		operator.
12		(c) An operator that has paid or remitted the tax imposed
13		by this Act to another operator in connection with the same
14		parking transaction, or the use of the same parking space, that
15		is subject to tax under this Act, shall be entitled to a credit
16		for such tax paid or remitted against the amount of tax owed
17		under this Act, provided that the other operator is registered
18		under this Act. The operator claiming the credit shall have the
19		burden of proving it is entitled to claim a credit.
20		(d) If any operator erroneously collects tax or collects
21		more from the purchaser than the purchaser's liability for the
22		transaction, the purchaser shall have a legal right to claim a
23		refund of such amount from the operator. However, if such
24		amount is not refunded to the purchaser for any reason, the
25		operator is liable to pay such amount to the Department.
26		(e) The tax imposed by this Section is not imposed with

SB0690 Enrolled - 12 - LRB101 04451 HLH 49459 b
1		respect to any transaction in interstate commerce, to the
2		extent that the transaction may not, under the Constitution and
3		statutes of the United States, be made the subject of taxation
4		by this State.
5		Section 10-15. Filing of returns and deposit of proceeds.
6		On or before the last day of each calendar month, every
7		operator engaged in the business of providing to purchasers
8		parking areas and garages in this State during the preceding
9		calendar month shall file a return with the Department,
10		stating:
11		(1) the name of the operator;
12		(2) the address of its principal place of business and
13		the address of the principal place of business from which
14		it provides parking areas and garages in this State;
15		(3) the total amount of receipts received by the
16		operator during the preceding calendar month or quarter, as
17		the case may be, from sales of parking spaces to purchasers
18		in parking areas or garages during the preceding calendar
19		month or quarter;
20		(4) deductions allowed by law;
21		(5) the total amount of receipts received by the
22		operator during the preceding calendar month or quarter
23		upon which the tax was computed;
24		(6) the amount of tax due; and
25		(7) such other reasonable information as the

SB0690 Enrolled - 13 - LRB101 04451 HLH 49459 b
1		Department may require.
2		If an operator ceases to engage in the kind of business
3		that makes it responsible for filing returns under this Act,
4		then that operator shall file a final return under this Act
5		with the Department on or before the last day of the month
6		after discontinuing such business.
7		All returns required to be filed and payments required to
8		be made under this Act shall be by electronic means. Taxpayers
9		who demonstrate hardship in filing or paying electronically may
10		petition the Department to waive the electronic filing or
11		payment requirement, or both. The Department may require a
12		separate return for the tax under this Act or combine the
13		return for the tax under this Act with the return for other
14		taxes.
15		If the same person has more than one business registered
16		with the Department under separate registrations under this
17		Act, that person shall not file each return that is due as a
18		single return covering all such registered businesses but shall
19		file separate returns for each such registered business.
20		If the operator is a corporation, the return filed on
21		behalf of that corporation shall be signed by the president,
22		vice-president, secretary, or treasurer, or by a properly
23		accredited agent of such corporation.
24		The operator filing the return under this Act shall, at the
25		time of filing the return, pay to the Department the amount of
26		tax imposed by this Act less a discount of 1.75%, not to exceed

SB0690 Enrolled - 14 - LRB101 04451 HLH 49459 b
1		$1,000 per month, which is allowed to reimburse the operator
2		for the expenses incurred in keeping records, preparing and
3		filing returns, remitting the tax, and supplying data to the
4		Department on request.
5		If any payment provided for in this Section exceeds the
6		taxpayer's liabilities under this Act, as shown on an original
7		return, the Department may authorize the taxpayer to credit
8		such excess payment against liability subsequently to be
9		remitted to the Department under this Act, in accordance with
10		reasonable rules adopted by the Department. If the Department
11		subsequently determines that all or any part of the credit
12		taken was not actually due to the taxpayer, the taxpayer's
13		discount shall be reduced by an amount equal to the difference
14		between the discount as applied to the credit taken and that
15		actually due, and that taxpayer shall be liable for penalties
16		and interest on such difference.
17		Section 10-20. Exemptions. The tax imposed by this Act
18		shall not apply to:
19		(1) parking in a parking area or garage operated by the
20		federal government or its instrumentalities that has been
21		issued an active tax exemption number by the Department
22		under Section 1g of the Retailers' Occupation Tax Act; for
23		this exemption to apply, the parking area or garage must be
24		operated by the federal government or its
25		instrumentalities; the exemption under this paragraph (1)

SB0690 Enrolled - 15 - LRB101 04451 HLH 49459 b
1		does not apply if the parking area or garage is operated by
2		a third party, whether under a lease or other contractual
3		arrangement, or any other manner whatsoever;
4		(2) residential off-street parking for home or
5		apartment tenants or condominium occupants, if the
6		arrangement for such parking is provided in the home or
7		apartment lease or in a separate writing between the
8		landlord and tenant, or in a condominium agreement between
9		the condominium association and the owner, occupant, or
10		guest of a unit, whether the parking charge is payable to
11		the landlord, condominium association, or to the operator
12		of the parking spaces;
13		(3) parking by hospital employees in a parking space
14		that is owned and operated by the hospital for which they
15		work; and
16		(4) parking in a parking area or garage where 3 or
17		fewer motor vehicles are stored, housed, or parked for
18		hire, charge, fee or other valuable consideration, if the
19		operator of the parking area or garage does not act as the
20		operator of more than a total of 3 parking spaces located
21		in the State; if any operator of parking areas or garages,
22		including any facilitator or aggregator, acts as an
23		operator of more than 3 parking spaces in total that are
24		located in the State, then this exemption shall not apply
25		to any of those spaces.

SB0690 Enrolled - 16 - LRB101 04451 HLH 49459 b
1		Section 10-25. Collection of tax.
2		(a) Beginning with bills issued or charges collected for a
3		purchase of a parking space in a parking area or garage on and
4		after January 1, 2020, the tax imposed by this Act shall be
5		collected from the purchaser by the operator at the rate stated
6		in Section 10-10 and shall be remitted to the Department as
7		provided in this Act. All charges for parking spaces in a
8		parking area or garage are presumed subject to tax collection.
9		Operators shall collect the tax from purchasers by adding the
10		tax to the amount of the purchase price received from the
11		purchaser. The tax imposed by the Act shall when collected be
12		stated as a distinct item separate and apart from the purchase
13		price of the service subject to tax under this Act. However,
14		where it is not possible to state the tax separately the
15		Department may by rule exempt such purchases from this
16		requirement so long as purchasers are notified by language on
17		the invoice or notified by a sign that the tax is included in
18		the purchase price.
19		(b) Any person purchasing a parking space in a parking area
20		or garage subject to tax under this Act as to which there has
21		been no charge made to him of the tax imposed by Section 10-10,
22		shall make payment of the tax imposed by Section 10-10 of this
23		Act in the form and manner provided by the Department, such
24		payment to be made to the Department in the manner and form
25		required by the Department not later than the 20th day of the
26		month following the month of purchase of the parking space.

SB0690 Enrolled - 17 - LRB101 04451 HLH 49459 b
1		Section 10-30. Registration of operators.
2		(a) A person who engages in business as an operator of a
3		parking area or garage in this State shall register with the
4		Department. Application for a certificate of registration
5		shall be made to the Department, by electronic means, in the
6		form and manner prescribed by the Department and shall contain
7		any reasonable information the Department may require. Upon
8		receipt of the application for a certificate of registration in
9		proper form and manner, the Department shall issue to the
10		applicant a certificate of registration. Operators who
11		demonstrate that they do not have access to the Internet or
12		demonstrate hardship in applying electronically may petition
13		the Department to waive the electronic application
14		requirements.
15		(b) The Department may refuse to issue or reissue a
16		certificate of registration to any applicant for the reasons
17		set forth in Section 2505-380 of the Department of Revenue Law
18		of the Civil Administrative Code of Illinois.
19		(c) Any person aggrieved by any decision of the Department
20		under this Section may, within 20 days after notice of such
21		decision, protest and request a hearing, whereupon the
22		Department shall give notice to such person of the time and
23		place fixed for such hearing and shall hold a hearing in
24		conformity with the provisions of this Act and then issue its
25		final administrative decision in the matter to such person. In

SB0690 Enrolled - 18 - LRB101 04451 HLH 49459 b
1		the absence of such a protest within 20 days, the Department's
2		decision shall become final without any further determination
3		being made or notice given.
4		Section 10-35. Revocation of certificate of registration.
5		(a) The Department may, after notice and a hearing as
6		provided in this Act, revoke the certificate of registration of
7		any operator who violates any of the provisions of this Act or
8		any rule adopted pursuant to this Act. Before revocation of a
9		certificate of registration, the Department shall, within 90
10		days after non-compliance and at least 7 days prior to the date
11		of the hearing, give the operator so accused notice in writing
12		of the charge against him or her, and on the date designated
13		shall conduct a hearing upon this matter. The lapse of such
14		90-day period shall not preclude the Department from conducting
15		revocation proceedings at a later date if necessary. Any
16		hearing held under this Section shall be conducted by the
17		Director or by any officer or employee of the Department
18		designated in writing by the Director.
19		(b) The Department may revoke a certificate of registration
20		for the reasons set forth in Section 2505-380 of the Department
21		of Revenue Law of the Civil Administrative Code of Illinois.
22		(c) Upon the hearing of any such proceeding, the Director
23		or any officer or employee of the Department designated in
24		writing by the Director may administer oaths, and the
25		Department may procure by its subpoena the attendance of

SB0690 Enrolled - 19 - LRB101 04451 HLH 49459 b
1		witnesses and, by its subpoena duces tecum, the production of
2		relevant books and papers. Any circuit court, upon application
3		either of the operator or of the Department, may, by order duly
4		entered, require the attendance of witnesses and the production
5		of relevant books and papers before the Department in any
6		hearing relating to the revocation of certificates of
7		registration. Upon refusal or neglect to obey the order of the
8		court, the court may compel obedience thereof by proceedings
9		for contempt.
10		(d) The Department may, by application to any circuit
11		court, obtain an injunction requiring any person who engages in
12		business as an operator under this Act to obtain a certificate
13		of registration. Upon refusal or neglect to obey the order of
14		the court, the court may compel obedience by proceedings for
15		contempt.
16		Section 10-40. Valet services.
17		(a) Persons engaged in the business of providing valet
18		services are subject to the tax imposed by this Act on the
19		purchase price received in connection with their valet parking
20		operations.
21		(b) Persons engaged in the business of providing valet
22		services are entitled to take the credit in subsection (c) of
23		Section 10-10.
24		(c) Tips received by persons parking cars for persons
25		engaged in the business of providing valet services are not

SB0690 Enrolled - 20 - LRB101 04451 HLH 49459 b
1		subject to the tax imposed by this Act if the tips are retained
2		by the person receiving the tip. If the tips are turned over to
3		the valet business, the tips shall be included in the purchase
4		price.
5		Section 10-45. Tax collected as debt owed to State. The tax
6		herein required to be collected by any operator or valet
7		business and any such tax collected by that person, shall
8		constitute a debt owed by that person to this State.
9		Section 10-50. Incorporation by reference. All of the
10		provisions of Sections 1, 2a, 2b, 3 (except provisions relating
11		to transaction returns and except for provisions that are
12		inconsistent with this Act), in respect to all provisions
13		therein other than the State rate of tax) 4, 5, 5a, 5b, 5c, 5d,
14		5e, 5f, 5g, 5j, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and
15		13 of the Retailers' Occupation Tax Act that are not
16		inconsistent with this Act, and all provisions of the Uniform
17		Penalty and Interest Act shall apply, as far as practicable, to
18		the subject matter of this Act to the same extent as if such
19		provisions were included in this Act.
20		Section 10-55. Deposit of proceeds from parking excise tax.
21		The moneys received by the Department from the tax imposed by
22		this Act shall be deposited into the Capital Projects Fund.

SB0690 Enrolled - 21 - LRB101 04451 HLH 49459 b
1		Article 15. Amendatory Provisions
2		Section 15-5. The Illinois Administrative Procedure Act is
3		amended by changing Section 5-45 as follows:
4		(5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)
5		Sec. 5-45. Emergency rulemaking.
6		(a) "Emergency" means the existence of any situation that
7		any agency finds reasonably constitutes a threat to the public
8		interest, safety, or welfare.
9		(b) If any agency finds that an emergency exists that
10		requires adoption of a rule upon fewer days than is required by
11		Section 5-40 and states in writing its reasons for that
12		finding, the agency may adopt an emergency rule without prior
13		notice or hearing upon filing a notice of emergency rulemaking
14		with the Secretary of State under Section 5-70. The notice
15		shall include the text of the emergency rule and shall be
16		published in the Illinois Register. Consent orders or other
17		court orders adopting settlements negotiated by an agency may
18		be adopted under this Section. Subject to applicable
19		constitutional or statutory provisions, an emergency rule
20		becomes effective immediately upon filing under Section 5-65 or
21		at a stated date less than 10 days thereafter. The agency's
22		finding and a statement of the specific reasons for the finding
23		shall be filed with the rule. The agency shall take reasonable
24		and appropriate measures to make emergency rules known to the

SB0690 Enrolled - 22 - LRB101 04451 HLH 49459 b
1		persons who may be affected by them.
2		(c) An emergency rule may be effective for a period of not
3		longer than 150 days, but the agency's authority to adopt an
4		identical rule under Section 5-40 is not precluded. No
5		emergency rule may be adopted more than once in any 24-month
6		period, except that this limitation on the number of emergency
7		rules that may be adopted in a 24-month period does not apply
8		to (i) emergency rules that make additions to and deletions
9		from the Drug Manual under Section 5-5.16 of the Illinois
10		Public Aid Code or the generic drug formulary under Section
11		3.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
12		emergency rules adopted by the Pollution Control Board before
13		July 1, 1997 to implement portions of the Livestock Management
14		Facilities Act, (iii) emergency rules adopted by the Illinois
15		Department of Public Health under subsections (a) through (i)
16		of Section 2 of the Department of Public Health Act when
17		necessary to protect the public's health, (iv) emergency rules
18		adopted pursuant to subsection (n) of this Section, (v)
19		emergency rules adopted pursuant to subsection (o) of this
20		Section, or (vi) emergency rules adopted pursuant to subsection
21		(c-5) of this Section. Two or more emergency rules having
22		substantially the same purpose and effect shall be deemed to be
23		a single rule for purposes of this Section.
24		(c-5) To facilitate the maintenance of the program of group
25		health benefits provided to annuitants, survivors, and retired
26		employees under the State Employees Group Insurance Act of

SB0690 Enrolled - 23 - LRB101 04451 HLH 49459 b
1		1971, rules to alter the contributions to be paid by the State,
2		annuitants, survivors, retired employees, or any combination
3		of those entities, for that program of group health benefits,
4		shall be adopted as emergency rules. The adoption of those
5		rules shall be considered an emergency and necessary for the
6		public interest, safety, and welfare.
7		(d) In order to provide for the expeditious and timely
8		implementation of the State's fiscal year 1999 budget,
9		emergency rules to implement any provision of Public Act 90-587
10		or 90-588 or any other budget initiative for fiscal year 1999
11		may be adopted in accordance with this Section by the agency
12		charged with administering that provision or initiative,
13		except that the 24-month limitation on the adoption of
14		emergency rules and the provisions of Sections 5-115 and 5-125
15		do not apply to rules adopted under this subsection (d). The
16		adoption of emergency rules authorized by this subsection (d)
17		shall be deemed to be necessary for the public interest,
18		safety, and welfare.
19		(e) In order to provide for the expeditious and timely
20		implementation of the State's fiscal year 2000 budget,
21		emergency rules to implement any provision of Public Act 91-24
22		or any other budget initiative for fiscal year 2000 may be
23		adopted in accordance with this Section by the agency charged
24		with administering that provision or initiative, except that
25		the 24-month limitation on the adoption of emergency rules and
26		the provisions of Sections 5-115 and 5-125 do not apply to

SB0690 Enrolled - 24 - LRB101 04451 HLH 49459 b
1		rules adopted under this subsection (e). The adoption of
2		emergency rules authorized by this subsection (e) shall be
3		deemed to be necessary for the public interest, safety, and
4		welfare.
5		(f) In order to provide for the expeditious and timely
6		implementation of the State's fiscal year 2001 budget,
7		emergency rules to implement any provision of Public Act 91-712
8		or any other budget initiative for fiscal year 2001 may be
9		adopted in accordance with this Section by the agency charged
10		with administering that provision or initiative, except that
11		the 24-month limitation on the adoption of emergency rules and
12		the provisions of Sections 5-115 and 5-125 do not apply to
13		rules adopted under this subsection (f). The adoption of
14		emergency rules authorized by this subsection (f) shall be
15		deemed to be necessary for the public interest, safety, and
16		welfare.
17		(g) In order to provide for the expeditious and timely
18		implementation of the State's fiscal year 2002 budget,
19		emergency rules to implement any provision of Public Act 92-10
20		or any other budget initiative for fiscal year 2002 may be
21		adopted in accordance with this Section by the agency charged
22		with administering that provision or initiative, except that
23		the 24-month limitation on the adoption of emergency rules and
24		the provisions of Sections 5-115 and 5-125 do not apply to
25		rules adopted under this subsection (g). The adoption of
26		emergency rules authorized by this subsection (g) shall be

SB0690 Enrolled - 25 - LRB101 04451 HLH 49459 b
1		deemed to be necessary for the public interest, safety, and
2		welfare.
3		(h) In order to provide for the expeditious and timely
4		implementation of the State's fiscal year 2003 budget,
5		emergency rules to implement any provision of Public Act 92-597
6		or any other budget initiative for fiscal year 2003 may be
7		adopted in accordance with this Section by the agency charged
8		with administering that provision or initiative, except that
9		the 24-month limitation on the adoption of emergency rules and
10		the provisions of Sections 5-115 and 5-125 do not apply to
11		rules adopted under this subsection (h). The adoption of
12		emergency rules authorized by this subsection (h) shall be
13		deemed to be necessary for the public interest, safety, and
14		welfare.
15		(i) In order to provide for the expeditious and timely
16		implementation of the State's fiscal year 2004 budget,
17		emergency rules to implement any provision of Public Act 93-20
18		or any other budget initiative for fiscal year 2004 may be
19		adopted in accordance with this Section by the agency charged
20		with administering that provision or initiative, except that
21		the 24-month limitation on the adoption of emergency rules and
22		the provisions of Sections 5-115 and 5-125 do not apply to
23		rules adopted under this subsection (i). The adoption of
24		emergency rules authorized by this subsection (i) shall be
25		deemed to be necessary for the public interest, safety, and
26		welfare.

SB0690 Enrolled - 26 - LRB101 04451 HLH 49459 b
1		(j) In order to provide for the expeditious and timely
2		implementation of the provisions of the State's fiscal year
3		2005 budget as provided under the Fiscal Year 2005 Budget
4		Implementation (Human Services) Act, emergency rules to
5		implement any provision of the Fiscal Year 2005 Budget
6		Implementation (Human Services) Act may be adopted in
7		accordance with this Section by the agency charged with
8		administering that provision, except that the 24-month
9		limitation on the adoption of emergency rules and the
10		provisions of Sections 5-115 and 5-125 do not apply to rules
11		adopted under this subsection (j). The Department of Public Aid
12		may also adopt rules under this subsection (j) necessary to
13		administer the Illinois Public Aid Code and the Children's
14		Health Insurance Program Act. The adoption of emergency rules
15		authorized by this subsection (j) shall be deemed to be
16		necessary for the public interest, safety, and welfare.
17		(k) In order to provide for the expeditious and timely
18		implementation of the provisions of the State's fiscal year
19		2006 budget, emergency rules to implement any provision of
20		Public Act 94-48 or any other budget initiative for fiscal year
21		2006 may be adopted in accordance with this Section by the
22		agency charged with administering that provision or
23		initiative, except that the 24-month limitation on the adoption
24		of emergency rules and the provisions of Sections 5-115 and
25		5-125 do not apply to rules adopted under this subsection (k).
26		The Department of Healthcare and Family Services may also adopt

SB0690 Enrolled - 27 - LRB101 04451 HLH 49459 b
1		rules under this subsection (k) necessary to administer the
2		Illinois Public Aid Code, the Senior Citizens and Persons with
3		Disabilities Property Tax Relief Act, the Senior Citizens and
4		Disabled Persons Prescription Drug Discount Program Act (now
5		the Illinois Prescription Drug Discount Program Act), and the
6		Children's Health Insurance Program Act. The adoption of
7		emergency rules authorized by this subsection (k) shall be
8		deemed to be necessary for the public interest, safety, and
9		welfare.
10		(l) In order to provide for the expeditious and timely
11		implementation of the provisions of the State's fiscal year
12		2007 budget, the Department of Healthcare and Family Services
13		may adopt emergency rules during fiscal year 2007, including
14		rules effective July 1, 2007, in accordance with this
15		subsection to the extent necessary to administer the
16		Department's responsibilities with respect to amendments to
17		the State plans and Illinois waivers approved by the federal
18		Centers for Medicare and Medicaid Services necessitated by the
19		requirements of Title XIX and Title XXI of the federal Social
20		Security Act. The adoption of emergency rules authorized by
21		this subsection (l) shall be deemed to be necessary for the
22		public interest, safety, and welfare.
23		(m) In order to provide for the expeditious and timely
24		implementation of the provisions of the State's fiscal year
25		2008 budget, the Department of Healthcare and Family Services
26		may adopt emergency rules during fiscal year 2008, including

SB0690 Enrolled - 28 - LRB101 04451 HLH 49459 b
1		rules effective July 1, 2008, in accordance with this
2		subsection to the extent necessary to administer the
3		Department's responsibilities with respect to amendments to
4		the State plans and Illinois waivers approved by the federal
5		Centers for Medicare and Medicaid Services necessitated by the
6		requirements of Title XIX and Title XXI of the federal Social
7		Security Act. The adoption of emergency rules authorized by
8		this subsection (m) shall be deemed to be necessary for the
9		public interest, safety, and welfare.
10		(n) In order to provide for the expeditious and timely
11		implementation of the provisions of the State's fiscal year
12		2010 budget, emergency rules to implement any provision of
13		Public Act 96-45 or any other budget initiative authorized by
14		the 96th General Assembly for fiscal year 2010 may be adopted
15		in accordance with this Section by the agency charged with
16		administering that provision or initiative. The adoption of
17		emergency rules authorized by this subsection (n) shall be
18		deemed to be necessary for the public interest, safety, and
19		welfare. The rulemaking authority granted in this subsection
20		(n) shall apply only to rules promulgated during Fiscal Year
21		2010.
22		(o) In order to provide for the expeditious and timely
23		implementation of the provisions of the State's fiscal year
24		2011 budget, emergency rules to implement any provision of
25		Public Act 96-958 or any other budget initiative authorized by
26		the 96th General Assembly for fiscal year 2011 may be adopted

SB0690 Enrolled - 29 - LRB101 04451 HLH 49459 b
1		in accordance with this Section by the agency charged with
2		administering that provision or initiative. The adoption of
3		emergency rules authorized by this subsection (o) is deemed to
4		be necessary for the public interest, safety, and welfare. The
5		rulemaking authority granted in this subsection (o) applies
6		only to rules promulgated on or after July 1, 2010 (the
7		effective date of Public Act 96-958) through June 30, 2011.
8		(p) In order to provide for the expeditious and timely
9		implementation of the provisions of Public Act 97-689,
10		emergency rules to implement any provision of Public Act 97-689
11		may be adopted in accordance with this subsection (p) by the
12		agency charged with administering that provision or
13		initiative. The 150-day limitation of the effective period of
14		emergency rules does not apply to rules adopted under this
15		subsection (p), and the effective period may continue through
16		June 30, 2013. The 24-month limitation on the adoption of
17		emergency rules does not apply to rules adopted under this
18		subsection (p). The adoption of emergency rules authorized by
19		this subsection (p) is deemed to be necessary for the public
20		interest, safety, and welfare.
21		(q) In order to provide for the expeditious and timely
22		implementation of the provisions of Articles 7, 8, 9, 11, and
23		12 of Public Act 98-104, emergency rules to implement any
24		provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
25		may be adopted in accordance with this subsection (q) by the
26		agency charged with administering that provision or

SB0690 Enrolled - 30 - LRB101 04451 HLH 49459 b
1		initiative. The 24-month limitation on the adoption of
2		emergency rules does not apply to rules adopted under this
3		subsection (q). The adoption of emergency rules authorized by
4		this subsection (q) is deemed to be necessary for the public
5		interest, safety, and welfare.
6		(r) In order to provide for the expeditious and timely
7		implementation of the provisions of Public Act 98-651,
8		emergency rules to implement Public Act 98-651 may be adopted
9		in accordance with this subsection (r) by the Department of
10		Healthcare and Family Services. The 24-month limitation on the
11		adoption of emergency rules does not apply to rules adopted
12		under this subsection (r). The adoption of emergency rules
13		authorized by this subsection (r) is deemed to be necessary for
14		the public interest, safety, and welfare.
15		(s) In order to provide for the expeditious and timely
16		implementation of the provisions of Sections 5-5b.1 and 5A-2 of
17		the Illinois Public Aid Code, emergency rules to implement any
18		provision of Section 5-5b.1 or Section 5A-2 of the Illinois
19		Public Aid Code may be adopted in accordance with this
20		subsection (s) by the Department of Healthcare and Family
21		Services. The rulemaking authority granted in this subsection
22		(s) shall apply only to those rules adopted prior to July 1,
23		2015. Notwithstanding any other provision of this Section, any
24		emergency rule adopted under this subsection (s) shall only
25		apply to payments made for State fiscal year 2015. The adoption
26		of emergency rules authorized by this subsection (s) is deemed

SB0690 Enrolled - 31 - LRB101 04451 HLH 49459 b
1		to be necessary for the public interest, safety, and welfare.
2		(t) In order to provide for the expeditious and timely
3		implementation of the provisions of Article II of Public Act
4		99-6, emergency rules to implement the changes made by Article
5		II of Public Act 99-6 to the Emergency Telephone System Act may
6		be adopted in accordance with this subsection (t) by the
7		Department of State Police. The rulemaking authority granted in
8		this subsection (t) shall apply only to those rules adopted
9		prior to July 1, 2016. The 24-month limitation on the adoption
10		of emergency rules does not apply to rules adopted under this
11		subsection (t). The adoption of emergency rules authorized by
12		this subsection (t) is deemed to be necessary for the public
13		interest, safety, and welfare.
14		(u) In order to provide for the expeditious and timely
15		implementation of the provisions of the Burn Victims Relief
16		Act, emergency rules to implement any provision of the Act may
17		be adopted in accordance with this subsection (u) by the
18		Department of Insurance. The rulemaking authority granted in
19		this subsection (u) shall apply only to those rules adopted
20		prior to December 31, 2015. The adoption of emergency rules
21		authorized by this subsection (u) is deemed to be necessary for
22		the public interest, safety, and welfare.
23		(v) In order to provide for the expeditious and timely
24		implementation of the provisions of Public Act 99-516,
25		emergency rules to implement Public Act 99-516 may be adopted
26		in accordance with this subsection (v) by the Department of

SB0690 Enrolled - 32 - LRB101 04451 HLH 49459 b
1		Healthcare and Family Services. The 24-month limitation on the
2		adoption of emergency rules does not apply to rules adopted
3		under this subsection (v). The adoption of emergency rules
4		authorized by this subsection (v) is deemed to be necessary for
5		the public interest, safety, and welfare.
6		(w) In order to provide for the expeditious and timely
7		implementation of the provisions of Public Act 99-796,
8		emergency rules to implement the changes made by Public Act
9		99-796 may be adopted in accordance with this subsection (w) by
10		the Adjutant General. The adoption of emergency rules
11		authorized by this subsection (w) is deemed to be necessary for
12		the public interest, safety, and welfare.
13		(x) In order to provide for the expeditious and timely
14		implementation of the provisions of Public Act 99-906,
15		emergency rules to implement subsection (i) of Section 16-115D,
16		subsection (g) of Section 16-128A, and subsection (a) of
17		Section 16-128B of the Public Utilities Act may be adopted in
18		accordance with this subsection (x) by the Illinois Commerce
19		Commission. The rulemaking authority granted in this
20		subsection (x) shall apply only to those rules adopted within
21		180 days after June 1, 2017 (the effective date of Public Act
22		99-906). The adoption of emergency rules authorized by this
23		subsection (x) is deemed to be necessary for the public
24		interest, safety, and welfare.
25		(y) In order to provide for the expeditious and timely
26		implementation of the provisions of Public Act 100-23,

SB0690 Enrolled - 33 - LRB101 04451 HLH 49459 b
1		emergency rules to implement the changes made by Public Act
2		100-23 to Section 4.02 of the Illinois Act on the Aging,
3		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
4		Section 55-30 of the Alcoholism and Other Drug Abuse and
5		Dependency Act, and Sections 74 and 75 of the Mental Health and
6		Developmental Disabilities Administrative Act may be adopted
7		in accordance with this subsection (y) by the respective
8		Department. The adoption of emergency rules authorized by this
9		subsection (y) is deemed to be necessary for the public
10		interest, safety, and welfare.
11		(z) In order to provide for the expeditious and timely
12		implementation of the provisions of Public Act 100-554,
13		emergency rules to implement the changes made by Public Act
14		100-554 to Section 4.7 of the Lobbyist Registration Act may be
15		adopted in accordance with this subsection (z) by the Secretary
16		of State. The adoption of emergency rules authorized by this
17		subsection (z) is deemed to be necessary for the public
18		interest, safety, and welfare.
19		(aa) In order to provide for the expeditious and timely
20		initial implementation of the changes made to Articles 5, 5A,
21		12, and 14 of the Illinois Public Aid Code under the provisions
22		of Public Act 100-581, the Department of Healthcare and Family
23		Services may adopt emergency rules in accordance with this
24		subsection (aa). The 24-month limitation on the adoption of
25		emergency rules does not apply to rules to initially implement
26		the changes made to Articles 5, 5A, 12, and 14 of the Illinois

SB0690 Enrolled - 34 - LRB101 04451 HLH 49459 b
1		Public Aid Code adopted under this subsection (aa). The
2		adoption of emergency rules authorized by this subsection (aa)
3		is deemed to be necessary for the public interest, safety, and
4		welfare.
5		(bb) In order to provide for the expeditious and timely
6		implementation of the provisions of Public Act 100-587,
7		emergency rules to implement the changes made by Public Act
8		100-587 to Section 4.02 of the Illinois Act on the Aging,
9		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
10		subsection (b) of Section 55-30 of the Alcoholism and Other
11		Drug Abuse and Dependency Act, Section 5-104 of the Specialized
12		Mental Health Rehabilitation Act of 2013, and Section 75 and
13		subsection (b) of Section 74 of the Mental Health and
14		Developmental Disabilities Administrative Act may be adopted
15		in accordance with this subsection (bb) by the respective
16		Department. The adoption of emergency rules authorized by this
17		subsection (bb) is deemed to be necessary for the public
18		interest, safety, and welfare.
19		(cc) In order to provide for the expeditious and timely
20		implementation of the provisions of Public Act 100-587,
21		emergency rules may be adopted in accordance with this
22		subsection (cc) to implement the changes made by Public Act
23		100-587 to: Sections 14-147.5 and 14-147.6 of the Illinois
24		Pension Code by the Board created under Article 14 of the Code;
25		Sections 15-185.5 and 15-185.6 of the Illinois Pension Code by
26		the Board created under Article 15 of the Code; and Sections

SB0690 Enrolled - 35 - LRB101 04451 HLH 49459 b
1		16-190.5 and 16-190.6 of the Illinois Pension Code by the Board
2		created under Article 16 of the Code. The adoption of emergency
3		rules authorized by this subsection (cc) is deemed to be
4		necessary for the public interest, safety, and welfare.
5		(dd) In order to provide for the expeditious and timely
6		implementation of the provisions of Public Act 100-864,
7		emergency rules to implement the changes made by Public Act
8		100-864 to Section 3.35 of the Newborn Metabolic Screening Act
9		may be adopted in accordance with this subsection (dd) by the
10		Secretary of State. The adoption of emergency rules authorized
11		by this subsection (dd) is deemed to be necessary for the
12		public interest, safety, and welfare.
13		(ee) In order to provide for the expeditious and timely
14		implementation of the provisions of Public Act 100-1172 this
15		amendatory Act of the 100th General Assembly, emergency rules
16		implementing the Illinois Underground Natural Gas Storage
17		Safety Act may be adopted in accordance with this subsection by
18		the Department of Natural Resources. The adoption of emergency
19		rules authorized by this subsection is deemed to be necessary
20		for the public interest, safety, and welfare.
21		(ff) (ee) In order to provide for the expeditious and
22		timely initial implementation of the changes made to Articles
23		5A and 14 of the Illinois Public Aid Code under the provisions
24		of Public Act 100-1181 this amendatory Act of the 100th General
25		Assembly, the Department of Healthcare and Family Services may
26		on a one-time-only basis adopt emergency rules in accordance

SB0690 Enrolled - 36 - LRB101 04451 HLH 49459 b
1		with this subsection (ff) (ee). The 24-month limitation on the
2		adoption of emergency rules does not apply to rules to
3		initially implement the changes made to Articles 5A and 14 of
4		the Illinois Public Aid Code adopted under this subsection (ff)
5		(ee). The adoption of emergency rules authorized by this
6		subsection (ff) (ee) is deemed to be necessary for the public
7		interest, safety, and welfare.
8		(gg) (ff) In order to provide for the expeditious and
9		timely implementation of the provisions of Public Act 101-1
10		this amendatory Act of the 101st General Assembly, emergency
11		rules may be adopted by the Department of Labor in accordance
12		with this subsection (gg) (ff) to implement the changes made by
13		Public Act 101-1 this amendatory Act of the 101st General
14		Assembly to the Minimum Wage Law. The adoption of emergency
15		rules authorized by this subsection (gg) (ff) is deemed to be
16		necessary for the public interest, safety, and welfare.
17		(hh) In order to provide for the expeditious and timely
18		implementation of the provisions of the Leveling the Playing
19		Field for Illinois Retail Act, emergency rules may be adopted
20		in accordance with this subsection (hh) to implement the
21		changes made by the Leveling the Playing Field for Illinois
22		Retail Act. The adoption of emergency rules authorized by this
23		subsection (hh) is deemed to be necessary for the public
24		interest, safety, and welfare.
25		(Source: P.A. 100-23, eff. 7-6-17; 100-554, eff. 11-16-17;
26		100-581, eff. 3-12-18; 100-587, Article 95, Section 95-5, eff.

SB0690 Enrolled - 37 - LRB101 04451 HLH 49459 b
1		6-4-18; 100-587, Article 110, Section 110-5, eff. 6-4-18;
2		100-864, eff. 8-14-18; 100-1172, eff. 1-4-19; 100-1181, eff.
3		3-8-19; 101-1, eff. 2-19-19; revised 4-2-19.)
4		Section 15-10. The Department of Commerce and Economic
5		Opportunity Law of the Civil Administrative Code of Illinois is
6		amended by adding Section 605-1025 as follows:
7		(20 ILCS 605/605-1025 new)
8		Sec. 605-1025. Data center investment.
9		(a) The Department shall issue certificates of exemption
10		from the Retailers' Occupation Tax Act, the Use Tax Act, the
11		Service Use Tax Act, and the Service Occupation Tax Act, all
12		locally-imposed retailers' occupation taxes administered and
13		collected by the Department, the Chicago non-titled Use Tax,
14		the Electricity Excise Tax Act, and a credit certification
15		against the taxes imposed under subsections (a) and (b) of
16		Section 201 of the Illinois Income Tax Act to qualifying
17		Illinois data centers.
18		(b) For taxable years beginning on or after January 1,
19		2019, the Department shall award credits against the taxes
20		imposed under subsections (a) and (b) of Section 201 of the
21		Illinois Income Tax Act as provided in Section 229 of the
22		Illinois Income Tax Act.
23		(c) For purposes of this Section:
24		"Data center" means a facility: (1) whose primary

SB0690 Enrolled - 38 - LRB101 04451 HLH 49459 b
1		services are the storage, management, and processing of
2		digital data; and (2) that is used to house (i) computer
3		and network systems, including associated components such
4		as servers, network equipment and appliances,
5		telecommunications, and data storage systems, (ii) systems
6		for monitoring and managing infrastructure performance,
7		(iii) Internet-related equipment and services, (iv) data
8		communications connections, (v) environmental controls,
9		(vi) fire protection systems, and (vii) security systems
10		and services.
11		"Qualifying Illinois data center" means a new or
12		existing data center that:
13		(1) is located in the State of Illinois;
14		(2) in the case of an existing data center, made a
15		capital investment of at least $250,000,000
16		collectively by the data center operator and the
17		tenants of all of its data centers over the 60-month
18		period immediately prior to January 1, 2020 or
19		committed to make a capital investment of at least
20		$250,000,000 over a 60-month period commencing before
21		January 1, 2020 and ending after January 1, 2020; or
22		(3) in the case of a new data center, makes a
23		capital investment of at least $250,000,000 over a
24		60-month period; and
25		(4) in the case of both existing and new data
26		centers, results in the creation of at least 20

SB0690 Enrolled - 39 - LRB101 04451 HLH 49459 b
1		full-time or full-time equivalent new jobs over a
2		period of 60 months by the data center operator and the
3		tenants of the data center, collectively, associated
4		with the operation or maintenance of the data center;
5		those jobs must have a total compensation equal to or
6		greater than 120% of the median wage paid to full-time
7		employees in the county where the data center is
8		located, as determined by the U.S. Bureau of Labor
9		Statistics; and
10		(5) is carbon neutral or attains certification
11		under one or more of the following green building
12		standards:
13		(A) BREEAM for New Construction or BREEAM
14		In-Use;
15		(B) ENERGY STAR;
16		(C) Envision;
17		(D) ISO 50001-energy management;
18		(E) LEED for Building Design and Construction
19		or LEED for Operations and Maintenance;
20		(F) Green Globes for New Construction or Green
21		Globes for Existing Buildings;
22		(G) UL 3223; or
23		(H) an equivalent program approved by the
24		Department of Commerce and Economic Opportunity.
25		"Full-time equivalent job" means a job in which the new
26		employee works for the owner, operator, contractor, or

SB0690 Enrolled - 40 - LRB101 04451 HLH 49459 b
1		tenant of a data center or for a corporation under contract
2		with the owner, operator or tenant of a data center at a
3		rate of at least 35 hours per week. An owner, operator or
4		tenant who employs labor or services at a specific site or
5		facility under contract with another may declare one
6		full-time, permanent job for every 1,820 man hours worked
7		per year under that contract. Vacations, paid holidays, and
8		sick time are included in this computation. Overtime is not
9		considered a part of regular hours.
10		"Qualified tangible personal property" means:
11		electrical systems and equipment; climate control and
12		chilling equipment and systems; mechanical systems and
13		equipment; monitoring and secure systems; emergency
14		generators; hardware; computers; servers; data storage
15		devices; network connectivity equipment; racks; cabinets;
16		telecommunications cabling infrastructure; raised floor
17		systems; peripheral components or systems; software;
18		mechanical, electrical, or plumbing systems; battery
19		systems; cooling systems and towers; temperature control
20		systems; other cabling; and other data center
21		infrastructure equipment and systems necessary to operate
22		qualified tangible personal property, including fixtures;
23		and component parts of any of the foregoing, including
24		installation, maintenance, repair, refurbishment, and
25		replacement of qualified tangible personal property to
26		generate, transform, transmit, distribute, or manage

SB0690 Enrolled - 41 - LRB101 04451 HLH 49459 b
1		electricity necessary to operate qualified tangible
2		personal property; and all other tangible personal
3		property that is essential to the operations of a computer
4		data center. "Qualified tangible personal property" also
5		includes building materials physically incorporated in to
6		the qualifying data center.
7		To document the exemption allowed under this Section, the
8		retailer must obtain from the purchaser a copy of the
9		certificate of eligibility issued by the Department.
10		(d) New and existing data centers seeking a certificate of
11		exemption for new or existing facilities shall apply to the
12		Department in the manner specified by the Department. The
13		Department shall determine the duration of the certificate of
14		exemption awarded under this Act. The duration of the
15		certificate of exemption may not exceed 20 calendar years. The
16		Department and any data center seeking the exemption, including
17		a data center operator on behalf of itself and its tenants,
18		must enter into a memorandum of understanding that at a minimum
19		provides:
20		(1) the details for determining the amount of capital
21		investment to be made;
22		(2) the number of new jobs created;
23		(3) the timeline for achieving the capital investment
24		and new job goals;
25		(4) the repayment obligation should those goals not be
26		achieved and any conditions under which repayment by the

SB0690 Enrolled - 42 - LRB101 04451 HLH 49459 b
1		qualifying data center or data center tenant claiming the
2		exemption will be required;
3		(5) the duration of the exemption; and
4		(6) other provisions as deemed necessary by the
5		Department.
6		(e) Beginning July 1, 2021, and each year thereafter, the
7		Department shall annually report to the Governor and the
8		General Assembly on the outcomes and effectiveness of this
9		amendatory Act of the 101st General Assembly that shall include
10		the following:
11		(1) the name of each recipient business;
12		(2) the location of the project;
13		(3) the estimated value of the credit;
14		(4) the number of new jobs and, if applicable, retained
15		jobs pledged as a result of the project; and
16		(5) whether or not the project is located in an
17		underserved area.
18		(f) New and existing data centers seeking a certificate of
19		exemption related to the rehabilitation or construction of data
20		centers in the State shall require the contractor and all
21		subcontractors to comply with the requirements of Section 30-22
22		of the Illinois Procurement Code as they apply to responsible
23		bidders and to present satisfactory evidence of that compliance
24		to the Department.
25		(g) New and existing data centers seeking a certificate of
26		exemption for the rehabilitation or construction of data

SB0690 Enrolled - 43 - LRB101 04451 HLH 49459 b
1		centers in the State shall require the contractor to enter into
2		a project labor agreement approved by the Department.
3		(h) Any qualifying data center issued a certificate of
4		exemption under this Section must annually report to the
5		Department the total data center tax benefits that are received
6		by the business. Reports are due no later than May 31 of each
7		year and shall cover the previous calendar year. The first
8		report is for the 2019 calendar year and is due no later than
9		May 31, 2020.
10		To the extent that a business issued a certificate of
11		exemption under this Section has obtained an Enterprise Zone
12		Building Materials Exemption Certificate or a High Impact
13		Business Building Materials Exemption Certificate, no
14		additional reporting for those building materials exemption
15		benefits is required under this Section.
16		Failure to file a report under this subsection (h) may
17		result in suspension or revocation of the certificate of
18		exemption. The Department shall adopt rules governing
19		suspension or revocation of the certificate of exemption,
20		including the length of suspension. Factors to be considered in
21		determining whether a data center certificate of exemption
22		shall be suspended or revoked include, but are not limited to,
23		prior compliance with the reporting requirements, cooperation
24		in discontinuing and correcting violations, the extent of the
25		violation, and whether the violation was willful or
26		inadvertent.

SB0690 Enrolled - 44 - LRB101 04451 HLH 49459 b
1		(i) The Department shall not issue any new certificates of
2		exemption under the provisions of this Section after July 1,
3		2029. This sunset shall not affect any existing certificates of
4		exemption in effect on July 1, 2029.
5		Section 15-20. The State Finance Act is amended by adding
6		Sections 5.891, 5.893, and 5.894 as follows:
7		(30 ILCS 105/5.891 new)
8		Sec. 5.891. The Transportation Renewal Fund.
9		(30 ILCS 105/5.893 new)
10		Sec. 5.893. The Regional Transportation Authority Capital
11		Improvement Fund.
12		(30 ILCS 105/5.894 new)
13		Sec. 5.894. The Downstate Mass Transportation Capital
14		Improvement Fund.
15		Section 15-25. The Illinois Income Tax Act is amended by
16		adding Section 229 as follows:
17		(35 ILCS 5/229 new)
18		Sec. 229. Data center construction employment tax credit.
19		(a) A taxpayer who has been awarded a credit by the
20		Department of Commerce and Economic Opportunity under Section

SB0690 Enrolled - 45 - LRB101 04451 HLH 49459 b
1		605-1025 of the Department of Commerce and Economic Opportunity
2		Law of the Civil Administrative Code of Illinois is entitled to
3		a credit against the taxes imposed under subsections (a) and
4		(b) of Section 201 of this Act. The amount of the credit shall
5		be 20% of the wages paid during the taxable year to a full-time
6		or part-time employee of a construction contractor employed by
7		a certified data center if those wages are paid for the
8		construction of a new data center in a geographic area that
9		meets any one of the following criteria:
10		(1) the area has a poverty rate of at least 20%,
11		according to the latest federal decennial census;
12		(2) 75% or more of the children in the area participate
13		in the federal free lunch program, according to reported
14		statistics from the State Board of Education;
15		(3) 20% or more of the households in the area receive
16		assistance under the Supplemental Nutrition Assistance
17		Program (SNAP); or
18		(4) the area has an average unemployment rate, as
19		determined by the Department of Employment Security, that
20		is more than 120% of the national unemployment average, as
21		determined by the U.S. Department of Labor, for a period of
22		at least 2 consecutive calendar years preceding the date of
23		the application.
24		If the taxpayer is a partnership, a Subchapter S
25		corporation, or a limited liability company that has elected
26		partnership tax treatment, the credit shall be allowed to the

SB0690 Enrolled - 46 - LRB101 04451 HLH 49459 b
1		partners, shareholders, or members in accordance with the
2		determination of income and distributive share of income under
3		Sections 702 and 704 and subchapter S of the Internal Revenue
4		Code, as applicable. The Department, in cooperation with the
5		Department of Commerce and Economic Opportunity, shall adopt
6		rules to enforce and administer this Section. This Section is
7		exempt from the provisions of Section 250 of this Act.
8		(b) In no event shall a credit under this Section reduce
9		the taxpayer's liability to less than zero. If the amount of
10		the credit exceeds the tax liability for the year, the excess
11		may be carried forward and applied to the tax liability of the
12		5 taxable years following the excess credit year. The tax
13		credit shall be applied to the earliest year for which there is
14		a tax liability. If there are credits for more than one year
15		that are available to offset a liability, the earlier credit
16		shall be applied first.
17		(c) No credit shall be allowed with respect to any
18		certification for any taxable year ending after the revocation
19		of the certification by the Department of Commerce and Economic
20		Opportunity. Upon receiving notification by the Department of
21		Commerce and Economic Opportunity of the revocation of
22		certification, the Department shall notify the taxpayer that no
23		credit is allowed for any taxable year ending after the
24		revocation date, as stated in such notification. If any credit
25		has been allowed with respect to a certification for a taxable
26		year ending after the revocation date, any refund paid to the

SB0690 Enrolled - 47 - LRB101 04451 HLH 49459 b
1		taxpayer for that taxable year shall, to the extent of that
2		credit allowed, be an erroneous refund within the meaning of
3		Section 912 of this Act.
4		Section 15-30. The Use Tax Act is amended by changing
5		Sections 2 and 3-5 as follows:
6		(35 ILCS 105/2) (from Ch. 120, par. 439.2)
7		Sec. 2. Definitions.
8		"Use" means the exercise by any person of any right or
9		power over tangible personal property incident to the ownership
10		of that property, except that it does not include the sale of
11		such property in any form as tangible personal property in the
12		regular course of business to the extent that such property is
13		not first subjected to a use for which it was purchased, and
14		does not include the use of such property by its owner for
15		demonstration purposes: Provided that the property purchased
16		is deemed to be purchased for the purpose of resale, despite
17		first being used, to the extent to which it is resold as an
18		ingredient of an intentionally produced product or by-product
19		of manufacturing. "Use" does not mean the demonstration use or
20		interim use of tangible personal property by a retailer before
21		he sells that tangible personal property. For watercraft or
22		aircraft, if the period of demonstration use or interim use by
23		the retailer exceeds 18 months, the retailer shall pay on the
24		retailers' original cost price the tax imposed by this Act, and

SB0690 Enrolled - 48 - LRB101 04451 HLH 49459 b
1		no credit for that tax is permitted if the watercraft or
2		aircraft is subsequently sold by the retailer. "Use" does not
3		mean the physical incorporation of tangible personal property,
4		to the extent not first subjected to a use for which it was
5		purchased, as an ingredient or constituent, into other tangible
6		personal property (a) which is sold in the regular course of
7		business or (b) which the person incorporating such ingredient
8		or constituent therein has undertaken at the time of such
9		purchase to cause to be transported in interstate commerce to
10		destinations outside the State of Illinois: Provided that the
11		property purchased is deemed to be purchased for the purpose of
12		resale, despite first being used, to the extent to which it is
13		resold as an ingredient of an intentionally produced product or
14		by-product of manufacturing.
15		"Watercraft" means a Class 2, Class 3, or Class 4
16		watercraft as defined in Section 3-2 of the Boat Registration
17		and Safety Act, a personal watercraft, or any boat equipped
18		with an inboard motor.
19		"Purchase at retail" means the acquisition of the ownership
20		of or title to tangible personal property through a sale at
21		retail.
22		"Purchaser" means anyone who, through a sale at retail,
23		acquires the ownership of tangible personal property for a
24		valuable consideration.
25		"Sale at retail" means any transfer of the ownership of or
26		title to tangible personal property to a purchaser, for the

SB0690 Enrolled - 49 - LRB101 04451 HLH 49459 b
1		purpose of use, and not for the purpose of resale in any form
2		as tangible personal property to the extent not first subjected
3		to a use for which it was purchased, for a valuable
4		consideration: Provided that the property purchased is deemed
5		to be purchased for the purpose of resale, despite first being
6		used, to the extent to which it is resold as an ingredient of
7		an intentionally produced product or by-product of
8		manufacturing. For this purpose, slag produced as an incident
9		to manufacturing pig iron or steel and sold is considered to be
10		an intentionally produced by-product of manufacturing. "Sale
11		at retail" includes any such transfer made for resale unless
12		made in compliance with Section 2c of the Retailers' Occupation
13		Tax Act, as incorporated by reference into Section 12 of this
14		Act. Transactions whereby the possession of the property is
15		transferred but the seller retains the title as security for
16		payment of the selling price are sales.
17		"Sale at retail" shall also be construed to include any
18		Illinois florist's sales transaction in which the purchase
19		order is received in Illinois by a florist and the sale is for
20		use or consumption, but the Illinois florist has a florist in
21		another state deliver the property to the purchaser or the
22		purchaser's donee in such other state.
23		Nonreusable tangible personal property that is used by
24		persons engaged in the business of operating a restaurant,
25		cafeteria, or drive-in is a sale for resale when it is
26		transferred to customers in the ordinary course of business as

SB0690 Enrolled - 50 - LRB101 04451 HLH 49459 b
1		part of the sale of food or beverages and is used to deliver,
2		package, or consume food or beverages, regardless of where
3		consumption of the food or beverages occurs. Examples of those
4		items include, but are not limited to nonreusable, paper and
5		plastic cups, plates, baskets, boxes, sleeves, buckets or other
6		containers, utensils, straws, placemats, napkins, doggie bags,
7		and wrapping or packaging materials that are transferred to
8		customers as part of the sale of food or beverages in the
9		ordinary course of business.
10		The purchase, employment and transfer of such tangible
11		personal property as newsprint and ink for the primary purpose
12		of conveying news (with or without other information) is not a
13		purchase, use or sale of tangible personal property.
14		"Selling price" means the consideration for a sale valued
15		in money whether received in money or otherwise, including
16		cash, credits, property other than as hereinafter provided, and
17		services, but, prior to January 1, 2020, not including the
18		value of or credit given for traded-in tangible personal
19		property where the item that is traded-in is of like kind and
20		character as that which is being sold; beginning January 1,
21		2020, "selling price" includes the portion of the value of or
22		credit given for traded-in motor vehicles of the First Division
23		as defined in Section 1-146 of the Illinois Vehicle Code of
24		like kind and character as that which is being sold that
25		exceeds $10,000. "Selling price" , and shall be determined
26		without any deduction on account of the cost of the property

SB0690 Enrolled - 51 - LRB101 04451 HLH 49459 b
1		sold, the cost of materials used, labor or service cost or any
2		other expense whatsoever, but does not include interest or
3		finance charges which appear as separate items on the bill of
4		sale or sales contract nor charges that are added to prices by
5		sellers on account of the seller's tax liability under the
6		"Retailers' Occupation Tax Act", or on account of the seller's
7		duty to collect, from the purchaser, the tax that is imposed by
8		this Act, or, except as otherwise provided with respect to any
9		cigarette tax imposed by a home rule unit, on account of the
10		seller's tax liability under any local occupation tax
11		administered by the Department, or, except as otherwise
12		provided with respect to any cigarette tax imposed by a home
13		rule unit on account of the seller's duty to collect, from the
14		purchasers, the tax that is imposed under any local use tax
15		administered by the Department. Effective December 1, 1985,
16		"selling price" shall include charges that are added to prices
17		by sellers on account of the seller's tax liability under the
18		Cigarette Tax Act, on account of the seller's duty to collect,
19		from the purchaser, the tax imposed under the Cigarette Use Tax
20		Act, and on account of the seller's duty to collect, from the
21		purchaser, any cigarette tax imposed by a home rule unit.
22		Notwithstanding any law to the contrary, for any motor
23		vehicle, as defined in Section 1-146 of the Vehicle Code, that
24		is sold on or after January 1, 2015 for the purpose of leasing
25		the vehicle for a defined period that is longer than one year
26		and (1) is a motor vehicle of the second division that: (A) is

SB0690 Enrolled - 52 - LRB101 04451 HLH 49459 b
1		a self-contained motor vehicle designed or permanently
2		converted to provide living quarters for recreational,
3		camping, or travel use, with direct walk through access to the
4		living quarters from the driver's seat; (B) is of the van
5		configuration designed for the transportation of not less than
6		7 nor more than 16 passengers; or (C) has a gross vehicle
7		weight rating of 8,000 pounds or less or (2) is a motor vehicle
8		of the first division, "selling price" or "amount of sale"
9		means the consideration received by the lessor pursuant to the
10		lease contract, including amounts due at lease signing and all
11		monthly or other regular payments charged over the term of the
12		lease. Also included in the selling price is any amount
13		received by the lessor from the lessee for the leased vehicle
14		that is not calculated at the time the lease is executed,
15		including, but not limited to, excess mileage charges and
16		charges for excess wear and tear. For sales that occur in
17		Illinois, with respect to any amount received by the lessor
18		from the lessee for the leased vehicle that is not calculated
19		at the time the lease is executed, the lessor who purchased the
20		motor vehicle does not incur the tax imposed by the Use Tax Act
21		on those amounts, and the retailer who makes the retail sale of
22		the motor vehicle to the lessor is not required to collect the
23		tax imposed by this Act or to pay the tax imposed by the
24		Retailers' Occupation Tax Act on those amounts. However, the
25		lessor who purchased the motor vehicle assumes the liability
26		for reporting and paying the tax on those amounts directly to

SB0690 Enrolled - 53 - LRB101 04451 HLH 49459 b
1		the Department in the same form (Illinois Retailers' Occupation
2		Tax, and local retailers' occupation taxes, if applicable) in
3		which the retailer would have reported and paid such tax if the
4		retailer had accounted for the tax to the Department. For
5		amounts received by the lessor from the lessee that are not
6		calculated at the time the lease is executed, the lessor must
7		file the return and pay the tax to the Department by the due
8		date otherwise required by this Act for returns other than
9		transaction returns. If the retailer is entitled under this Act
10		to a discount for collecting and remitting the tax imposed
11		under this Act to the Department with respect to the sale of
12		the motor vehicle to the lessor, then the right to the discount
13		provided in this Act shall be transferred to the lessor with
14		respect to the tax paid by the lessor for any amount received
15		by the lessor from the lessee for the leased vehicle that is
16		not calculated at the time the lease is executed; provided that
17		the discount is only allowed if the return is timely filed and
18		for amounts timely paid. The "selling price" of a motor vehicle
19		that is sold on or after January 1, 2015 for the purpose of
20		leasing for a defined period of longer than one year shall not
21		be reduced by the value of or credit given for traded-in
22		tangible personal property owned by the lessor, nor shall it be
23		reduced by the value of or credit given for traded-in tangible
24		personal property owned by the lessee, regardless of whether
25		the trade-in value thereof is assigned by the lessee to the
26		lessor. In the case of a motor vehicle that is sold for the

SB0690 Enrolled - 54 - LRB101 04451 HLH 49459 b
1		purpose of leasing for a defined period of longer than one
2		year, the sale occurs at the time of the delivery of the
3		vehicle, regardless of the due date of any lease payments. A
4		lessor who incurs a Retailers' Occupation Tax liability on the
5		sale of a motor vehicle coming off lease may not take a credit
6		against that liability for the Use Tax the lessor paid upon the
7		purchase of the motor vehicle (or for any tax the lessor paid
8		with respect to any amount received by the lessor from the
9		lessee for the leased vehicle that was not calculated at the
10		time the lease was executed) if the selling price of the motor
11		vehicle at the time of purchase was calculated using the
12		definition of "selling price" as defined in this paragraph.
13		Notwithstanding any other provision of this Act to the
14		contrary, lessors shall file all returns and make all payments
15		required under this paragraph to the Department by electronic
16		means in the manner and form as required by the Department.
17		This paragraph does not apply to leases of motor vehicles for
18		which, at the time the lease is entered into, the term of the
19		lease is not a defined period, including leases with a defined
20		initial period with the option to continue the lease on a
21		month-to-month or other basis beyond the initial defined
22		period.
23		The phrase "like kind and character" shall be liberally
24		construed (including but not limited to any form of motor
25		vehicle for any form of motor vehicle, or any kind of farm or
26		agricultural implement for any other kind of farm or

SB0690 Enrolled - 55 - LRB101 04451 HLH 49459 b
1		agricultural implement), while not including a kind of item
2		which, if sold at retail by that retailer, would be exempt from
3		retailers' occupation tax and use tax as an isolated or
4		occasional sale.
5		"Department" means the Department of Revenue.
6		"Person" means any natural individual, firm, partnership,
7		association, joint stock company, joint adventure, public or
8		private corporation, limited liability company, or a receiver,
9		executor, trustee, guardian or other representative appointed
10		by order of any court.
11		"Retailer" means and includes every person engaged in the
12		business of making sales at retail as defined in this Section.
13		A person who holds himself or herself out as being engaged
14		(or who habitually engages) in selling tangible personal
15		property at retail is a retailer hereunder with respect to such
16		sales (and not primarily in a service occupation)
17		notwithstanding the fact that such person designs and produces
18		such tangible personal property on special order for the
19		purchaser and in such a way as to render the property of value
20		only to such purchaser, if such tangible personal property so
21		produced on special order serves substantially the same
22		function as stock or standard items of tangible personal
23		property that are sold at retail.
24		A person whose activities are organized and conducted
25		primarily as a not-for-profit service enterprise, and who
26		engages in selling tangible personal property at retail

SB0690 Enrolled - 56 - LRB101 04451 HLH 49459 b
1		(whether to the public or merely to members and their guests)
2		is a retailer with respect to such transactions, excepting only
3		a person organized and operated exclusively for charitable,
4		religious or educational purposes either (1), to the extent of
5		sales by such person to its members, students, patients or
6		inmates of tangible personal property to be used primarily for
7		the purposes of such person, or (2), to the extent of sales by
8		such person of tangible personal property which is not sold or
9		offered for sale by persons organized for profit. The selling
10		of school books and school supplies by schools at retail to
11		students is not "primarily for the purposes of" the school
12		which does such selling. This paragraph does not apply to nor
13		subject to taxation occasional dinners, social or similar
14		activities of a person organized and operated exclusively for
15		charitable, religious or educational purposes, whether or not
16		such activities are open to the public.
17		A person who is the recipient of a grant or contract under
18		Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
19		serves meals to participants in the federal Nutrition Program
20		for the Elderly in return for contributions established in
21		amount by the individual participant pursuant to a schedule of
22		suggested fees as provided for in the federal Act is not a
23		retailer under this Act with respect to such transactions.
24		Persons who engage in the business of transferring tangible
25		personal property upon the redemption of trading stamps are
26		retailers hereunder when engaged in such business.

SB0690 Enrolled - 57 - LRB101 04451 HLH 49459 b
1		The isolated or occasional sale of tangible personal
2		property at retail by a person who does not hold himself out as
3		being engaged (or who does not habitually engage) in selling
4		such tangible personal property at retail or a sale through a
5		bulk vending machine does not make such person a retailer
6		hereunder. However, any person who is engaged in a business
7		which is not subject to the tax imposed by the "Retailers'
8		Occupation Tax Act" because of involving the sale of or a
9		contract to sell real estate or a construction contract to
10		improve real estate, but who, in the course of conducting such
11		business, transfers tangible personal property to users or
12		consumers in the finished form in which it was purchased, and
13		which does not become real estate, under any provision of a
14		construction contract or real estate sale or real estate sales
15		agreement entered into with some other person arising out of or
16		because of such nontaxable business, is a retailer to the
17		extent of the value of the tangible personal property so
18		transferred. If, in such transaction, a separate charge is made
19		for the tangible personal property so transferred, the value of
20		such property, for the purposes of this Act, is the amount so
21		separately charged, but not less than the cost of such property
22		to the transferor; if no separate charge is made, the value of
23		such property, for the purposes of this Act, is the cost to the
24		transferor of such tangible personal property.
25		"Retailer maintaining a place of business in this State",
26		or any like term, means and includes any of the following

SB0690 Enrolled - 58 - LRB101 04451 HLH 49459 b
1		retailers:
2		(1) A retailer having or maintaining within this State,
3		directly or by a subsidiary, an office, distribution house,
4		sales house, warehouse or other place of business, or any
5		agent or other representative operating within this State
6		under the authority of the retailer or its subsidiary,
7		irrespective of whether such place of business or agent or
8		other representative is located here permanently or
9		temporarily, or whether such retailer or subsidiary is
10		licensed to do business in this State. However, the
11		ownership of property that is located at the premises of a
12		printer with which the retailer has contracted for printing
13		and that consists of the final printed product, property
14		that becomes a part of the final printed product, or copy
15		from which the printed product is produced shall not result
16		in the retailer being deemed to have or maintain an office,
17		distribution house, sales house, warehouse, or other place
18		of business within this State.
19		(1.1) (Blank). A retailer having a contract with a
20		person located in this State under which the person, for a
21		commission or other consideration based upon the sale of
22		tangible personal property by the retailer, directly or
23		indirectly refers potential customers to the retailer by
24		providing to the potential customers a promotional code or
25		other mechanism that allows the retailer to track purchases
26		referred by such persons. Examples of mechanisms that allow

SB0690 Enrolled - 59 - LRB101 04451 HLH 49459 b
1		the retailer to track purchases referred by such persons
2		include but are not limited to the use of a link on the
3		person's Internet website, promotional codes distributed
4		through the person's hand-delivered or mailed material,
5		and promotional codes distributed by the person through
6		radio or other broadcast media. The provisions of this
7		paragraph (1.1) shall apply only if the cumulative gross
8		receipts from sales of tangible personal property by the
9		retailer to customers who are referred to the retailer by
10		all persons in this State under such contracts exceed
11		$10,000 during the preceding 4 quarterly periods ending on
12		the last day of March, June, September, and December. A
13		retailer meeting the requirements of this paragraph (1.1)
14		shall be presumed to be maintaining a place of business in
15		this State but may rebut this presumption by submitting
16		proof that the referrals or other activities pursued within
17		this State by such persons were not sufficient to meet the
18		nexus standards of the United States Constitution during
19		the preceding 4 quarterly periods.
20		(1.2) (Blank). Beginning July 1, 2011, a retailer
21		having a contract with a person located in this State under
22		which:
23		(A) the retailer sells the same or substantially
24		similar line of products as the person located in this
25		State and does so using an identical or substantially
26		similar name, trade name, or trademark as the person

SB0690 Enrolled - 60 - LRB101 04451 HLH 49459 b
1		located in this State; and
2		(B) the retailer provides a commission or other
3		consideration to the person located in this State based
4		upon the sale of tangible personal property by the
5		retailer.
6		The provisions of this paragraph (1.2) shall apply only if
7		the cumulative gross receipts from sales of tangible
8		personal property by the retailer to customers in this
9		State under all such contracts exceed $10,000 during the
10		preceding 4 quarterly periods ending on the last day of
11		March, June, September, and December.
12		(2) (Blank). A retailer soliciting orders for tangible
13		personal property by means of a telecommunication or
14		television shopping system (which utilizes toll free
15		numbers) which is intended by the retailer to be broadcast
16		by cable television or other means of broadcasting, to
17		consumers located in this State.
18		(3) (Blank). A retailer, pursuant to a contract with a
19		broadcaster or publisher located in this State, soliciting
20		orders for tangible personal property by means of
21		advertising which is disseminated primarily to consumers
22		located in this State and only secondarily to bordering
23		jurisdictions.
24		(4) (Blank). A retailer soliciting orders for tangible
25		personal property by mail if the solicitations are
26		substantial and recurring and if the retailer benefits from

SB0690 Enrolled - 61 - LRB101 04451 HLH 49459 b
1		any banking, financing, debt collection,
2		telecommunication, or marketing activities occurring in
3		this State or benefits from the location in this State of
4		authorized installation, servicing, or repair facilities.
5		(5) (Blank). A retailer that is owned or controlled by
6		the same interests that own or control any retailer
7		engaging in business in the same or similar line of
8		business in this State.
9		(6) (Blank). A retailer having a franchisee or licensee
10		operating under its trade name if the franchisee or
11		licensee is required to collect the tax under this Section.
12		(7) (Blank). A retailer, pursuant to a contract with a
13		cable television operator located in this State,
14		soliciting orders for tangible personal property by means
15		of advertising which is transmitted or distributed over a
16		cable television system in this State.
17		(8) (Blank). A retailer engaging in activities in
18		Illinois, which activities in the state in which the retail
19		business engaging in such activities is located would
20		constitute maintaining a place of business in that state.
21		(9) Beginning October 1, 2018 through June 30, 2020, a
22		retailer making sales of tangible personal property to
23		purchasers in Illinois from outside of Illinois if:
24		(A) the cumulative gross receipts from sales of
25		tangible personal property to purchasers in Illinois
26		are $100,000 or more; or

SB0690 Enrolled - 62 - LRB101 04451 HLH 49459 b
1		(B) the retailer enters into 200 or more separate
2		transactions for the sale of tangible personal
3		property to purchasers in Illinois.
4		The retailer shall determine on a quarterly basis,
5		ending on the last day of March, June, September, and
6		December, whether he or she meets the criteria of either
7		subparagraph (A) or (B) of this paragraph (9) for the
8		preceding 12-month period. If the retailer meets the
9		criteria of either subparagraph (A) or (B) for a 12-month
10		period, he or she is considered a retailer maintaining a
11		place of business in this State and is required to collect
12		and remit the tax imposed under this Act and file returns
13		for one year. At the end of that one-year period, the
14		retailer shall determine whether the retailer met the
15		criteria of either subparagraph (A) or (B) during the
16		preceding 12-month period. If the retailer met the criteria
17		in either subparagraph (A) or (B) for the preceding
18		12-month period, he or she is considered a retailer
19		maintaining a place of business in this State and is
20		required to collect and remit the tax imposed under this
21		Act and file returns for the subsequent year. If at the end
22		of a one-year period a retailer that was required to
23		collect and remit the tax imposed under this Act determines
24		that he or she did not meet the criteria in either
25		subparagraph (A) or (B) during the preceding 12-month
26		period, the retailer shall subsequently determine on a

SB0690 Enrolled - 63 - LRB101 04451 HLH 49459 b
1		quarterly basis, ending on the last day of March, June,
2		September, and December, whether he or she meets the
3		criteria of either subparagraph (A) or (B) for the
4		preceding 12-month period.
5		"Bulk vending machine" means a vending machine, containing
6		unsorted confections, nuts, toys, or other items designed
7		primarily to be used or played with by children which, when a
8		coin or coins of a denomination not larger than $0.50 are
9		inserted, are dispensed in equal portions, at random and
10		without selection by the customer.
11		(Source: P.A. 99-78, eff. 7-20-15; 100-587, eff. 6-4-18.)
12		(35 ILCS 105/3-5)
13		Sec. 3-5. Exemptions. Use of the following tangible
14		personal property is exempt from the tax imposed by this Act:
15		(1) Personal property purchased from a corporation,
16		society, association, foundation, institution, or
17		organization, other than a limited liability company, that is
18		organized and operated as a not-for-profit service enterprise
19		for the benefit of persons 65 years of age or older if the
20		personal property was not purchased by the enterprise for the
21		purpose of resale by the enterprise.
22		(2) Personal property purchased by a not-for-profit
23		Illinois county fair association for use in conducting,
24		operating, or promoting the county fair.
25		(3) Personal property purchased by a not-for-profit arts or

SB0690 Enrolled - 64 - LRB101 04451 HLH 49459 b
1		cultural organization that establishes, by proof required by
2		the Department by rule, that it has received an exemption under
3		Section 501(c)(3) of the Internal Revenue Code and that is
4		organized and operated primarily for the presentation or
5		support of arts or cultural programming, activities, or
6		services. These organizations include, but are not limited to,
7		music and dramatic arts organizations such as symphony
8		orchestras and theatrical groups, arts and cultural service
9		organizations, local arts councils, visual arts organizations,
10		and media arts organizations. On and after July 1, 2001 (the
11		effective date of Public Act 92-35), however, an entity
12		otherwise eligible for this exemption shall not make tax-free
13		purchases unless it has an active identification number issued
14		by the Department.
15		(4) Personal property purchased by a governmental body, by
16		a corporation, society, association, foundation, or
17		institution organized and operated exclusively for charitable,
18		religious, or educational purposes, or by a not-for-profit
19		corporation, society, association, foundation, institution, or
20		organization that has no compensated officers or employees and
21		that is organized and operated primarily for the recreation of
22		persons 55 years of age or older. A limited liability company
23		may qualify for the exemption under this paragraph only if the
24		limited liability company is organized and operated
25		exclusively for educational purposes. On and after July 1,
26		1987, however, no entity otherwise eligible for this exemption

SB0690 Enrolled - 65 - LRB101 04451 HLH 49459 b
1		shall make tax-free purchases unless it has an active exemption
2		identification number issued by the Department.
3		(5) Until July 1, 2003, a passenger car that is a
4		replacement vehicle to the extent that the purchase price of
5		the car is subject to the Replacement Vehicle Tax.
6		(6) Until July 1, 2003 and beginning again on September 1,
7		2004 through August 30, 2014, graphic arts machinery and
8		equipment, including repair and replacement parts, both new and
9		used, and including that manufactured on special order,
10		certified by the purchaser to be used primarily for graphic
11		arts production, and including machinery and equipment
12		purchased for lease. Equipment includes chemicals or chemicals
13		acting as catalysts but only if the chemicals or chemicals
14		acting as catalysts effect a direct and immediate change upon a
15		graphic arts product. Beginning on July 1, 2017, graphic arts
16		machinery and equipment is included in the manufacturing and
17		assembling machinery and equipment exemption under paragraph
18		(18).
19		(7) Farm chemicals.
20		(8) Legal tender, currency, medallions, or gold or silver
21		coinage issued by the State of Illinois, the government of the
22		United States of America, or the government of any foreign
23		country, and bullion.
24		(9) Personal property purchased from a teacher-sponsored
25		student organization affiliated with an elementary or
26		secondary school located in Illinois.

SB0690 Enrolled - 66 - LRB101 04451 HLH 49459 b
1		(10) A motor vehicle that is used for automobile renting,
2		as defined in the Automobile Renting Occupation and Use Tax
3		Act.
4		(11) Farm machinery and equipment, both new and used,
5		including that manufactured on special order, certified by the
6		purchaser to be used primarily for production agriculture or
7		State or federal agricultural programs, including individual
8		replacement parts for the machinery and equipment, including
9		machinery and equipment purchased for lease, and including
10		implements of husbandry defined in Section 1-130 of the
11		Illinois Vehicle Code, farm machinery and agricultural
12		chemical and fertilizer spreaders, and nurse wagons required to
13		be registered under Section 3-809 of the Illinois Vehicle Code,
14		but excluding other motor vehicles required to be registered
15		under the Illinois Vehicle Code. Horticultural polyhouses or
16		hoop houses used for propagating, growing, or overwintering
17		plants shall be considered farm machinery and equipment under
18		this item (11). Agricultural chemical tender tanks and dry
19		boxes shall include units sold separately from a motor vehicle
20		required to be licensed and units sold mounted on a motor
21		vehicle required to be licensed if the selling price of the
22		tender is separately stated.
23		Farm machinery and equipment shall include precision
24		farming equipment that is installed or purchased to be
25		installed on farm machinery and equipment including, but not
26		limited to, tractors, harvesters, sprayers, planters, seeders,

SB0690 Enrolled - 67 - LRB101 04451 HLH 49459 b
1		or spreaders. Precision farming equipment includes, but is not
2		limited to, soil testing sensors, computers, monitors,
3		software, global positioning and mapping systems, and other
4		such equipment.
5		Farm machinery and equipment also includes computers,
6		sensors, software, and related equipment used primarily in the
7		computer-assisted operation of production agriculture
8		facilities, equipment, and activities such as, but not limited
9		to, the collection, monitoring, and correlation of animal and
10		crop data for the purpose of formulating animal diets and
11		agricultural chemicals. This item (11) is exempt from the
12		provisions of Section 3-90.
13		(12) Until June 30, 2013, fuel and petroleum products sold
14		to or used by an air common carrier, certified by the carrier
15		to be used for consumption, shipment, or storage in the conduct
16		of its business as an air common carrier, for a flight destined
17		for or returning from a location or locations outside the
18		United States without regard to previous or subsequent domestic
19		stopovers.
20		Beginning July 1, 2013, fuel and petroleum products sold to
21		or used by an air carrier, certified by the carrier to be used
22		for consumption, shipment, or storage in the conduct of its
23		business as an air common carrier, for a flight that (i) is
24		engaged in foreign trade or is engaged in trade between the
25		United States and any of its possessions and (ii) transports at
26		least one individual or package for hire from the city of

SB0690 Enrolled - 68 - LRB101 04451 HLH 49459 b
1		origination to the city of final destination on the same
2		aircraft, without regard to a change in the flight number of
3		that aircraft.
4		(13) Proceeds of mandatory service charges separately
5		stated on customers' bills for the purchase and consumption of
6		food and beverages purchased at retail from a retailer, to the
7		extent that the proceeds of the service charge are in fact
8		turned over as tips or as a substitute for tips to the
9		employees who participate directly in preparing, serving,
10		hosting or cleaning up the food or beverage function with
11		respect to which the service charge is imposed.
12		(14) Until July 1, 2003, oil field exploration, drilling,
13		and production equipment, including (i) rigs and parts of rigs,
14		rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
15		tubular goods, including casing and drill strings, (iii) pumps
16		and pump-jack units, (iv) storage tanks and flow lines, (v) any
17		individual replacement part for oil field exploration,
18		drilling, and production equipment, and (vi) machinery and
19		equipment purchased for lease; but excluding motor vehicles
20		required to be registered under the Illinois Vehicle Code.
21		(15) Photoprocessing machinery and equipment, including
22		repair and replacement parts, both new and used, including that
23		manufactured on special order, certified by the purchaser to be
24		used primarily for photoprocessing, and including
25		photoprocessing machinery and equipment purchased for lease.
26		(16) Until July 1, 2023, coal and aggregate exploration,

SB0690 Enrolled - 69 - LRB101 04451 HLH 49459 b
1		mining, off-highway hauling, processing, maintenance, and
2		reclamation equipment, including replacement parts and
3		equipment, and including equipment purchased for lease, but
4		excluding motor vehicles required to be registered under the
5		Illinois Vehicle Code. The changes made to this Section by
6		Public Act 97-767 apply on and after July 1, 2003, but no claim
7		for credit or refund is allowed on or after August 16, 2013
8		(the effective date of Public Act 98-456) for such taxes paid
9		during the period beginning July 1, 2003 and ending on August
10		16, 2013 (the effective date of Public Act 98-456).
11		(17) Until July 1, 2003, distillation machinery and
12		equipment, sold as a unit or kit, assembled or installed by the
13		retailer, certified by the user to be used only for the
14		production of ethyl alcohol that will be used for consumption
15		as motor fuel or as a component of motor fuel for the personal
16		use of the user, and not subject to sale or resale.
17		(18) Manufacturing and assembling machinery and equipment
18		used primarily in the process of manufacturing or assembling
19		tangible personal property for wholesale or retail sale or
20		lease, whether that sale or lease is made directly by the
21		manufacturer or by some other person, whether the materials
22		used in the process are owned by the manufacturer or some other
23		person, or whether that sale or lease is made apart from or as
24		an incident to the seller's engaging in the service occupation
25		of producing machines, tools, dies, jigs, patterns, gauges, or
26		other similar items of no commercial value on special order for

SB0690 Enrolled - 70 - LRB101 04451 HLH 49459 b
1		a particular purchaser. The exemption provided by this
2		paragraph (18) does not include machinery and equipment used in
3		(i) the generation of electricity for wholesale or retail sale;
4		(ii) the generation or treatment of natural or artificial gas
5		for wholesale or retail sale that is delivered to customers
6		through pipes, pipelines, or mains; or (iii) the treatment of
7		water for wholesale or retail sale that is delivered to
8		customers through pipes, pipelines, or mains. The provisions of
9		Public Act 98-583 are declaratory of existing law as to the
10		meaning and scope of this exemption. Beginning on July 1, 2017,
11		the exemption provided by this paragraph (18) includes, but is
12		not limited to, graphic arts machinery and equipment, as
13		defined in paragraph (6) of this Section.
14		(19) Personal property delivered to a purchaser or
15		purchaser's donee inside Illinois when the purchase order for
16		that personal property was received by a florist located
17		outside Illinois who has a florist located inside Illinois
18		deliver the personal property.
19		(20) Semen used for artificial insemination of livestock
20		for direct agricultural production.
21		(21) Horses, or interests in horses, registered with and
22		meeting the requirements of any of the Arabian Horse Club
23		Registry of America, Appaloosa Horse Club, American Quarter
24		Horse Association, United States Trotting Association, or
25		Jockey Club, as appropriate, used for purposes of breeding or
26		racing for prizes. This item (21) is exempt from the provisions

SB0690 Enrolled - 71 - LRB101 04451 HLH 49459 b
1		of Section 3-90, and the exemption provided for under this item
2		(21) applies for all periods beginning May 30, 1995, but no
3		claim for credit or refund is allowed on or after January 1,
4		2008 for such taxes paid during the period beginning May 30,
5		2000 and ending on January 1, 2008.
6		(22) Computers and communications equipment utilized for
7		any hospital purpose and equipment used in the diagnosis,
8		analysis, or treatment of hospital patients purchased by a
9		lessor who leases the equipment, under a lease of one year or
10		longer executed or in effect at the time the lessor would
11		otherwise be subject to the tax imposed by this Act, to a
12		hospital that has been issued an active tax exemption
13		identification number by the Department under Section 1g of the
14		Retailers' Occupation Tax Act. If the equipment is leased in a
15		manner that does not qualify for this exemption or is used in
16		any other non-exempt manner, the lessor shall be liable for the
17		tax imposed under this Act or the Service Use Tax Act, as the
18		case may be, based on the fair market value of the property at
19		the time the non-qualifying use occurs. No lessor shall collect
20		or attempt to collect an amount (however designated) that
21		purports to reimburse that lessor for the tax imposed by this
22		Act or the Service Use Tax Act, as the case may be, if the tax
23		has not been paid by the lessor. If a lessor improperly
24		collects any such amount from the lessee, the lessee shall have
25		a legal right to claim a refund of that amount from the lessor.
26		If, however, that amount is not refunded to the lessee for any

SB0690 Enrolled - 72 - LRB101 04451 HLH 49459 b
1		reason, the lessor is liable to pay that amount to the
2		Department.
3		(23) Personal property purchased by a lessor who leases the
4		property, under a lease of one year or longer executed or in
5		effect at the time the lessor would otherwise be subject to the
6		tax imposed by this Act, to a governmental body that has been
7		issued an active sales tax exemption identification number by
8		the Department under Section 1g of the Retailers' Occupation
9		Tax Act. If the property is leased in a manner that does not
10		qualify for this exemption or used in any other non-exempt
11		manner, the lessor shall be liable for the tax imposed under
12		this Act or the Service Use Tax Act, as the case may be, based
13		on the fair market value of the property at the time the
14		non-qualifying use occurs. No lessor shall collect or attempt
15		to collect an amount (however designated) that purports to
16		reimburse that lessor for the tax imposed by this Act or the
17		Service Use Tax Act, as the case may be, if the tax has not been
18		paid by the lessor. If a lessor improperly collects any such
19		amount from the lessee, the lessee shall have a legal right to
20		claim a refund of that amount from the lessor. If, however,
21		that amount is not refunded to the lessee for any reason, the
22		lessor is liable to pay that amount to the Department.
23		(24) Beginning with taxable years ending on or after
24		December 31, 1995 and ending with taxable years ending on or
25		before December 31, 2004, personal property that is donated for
26		disaster relief to be used in a State or federally declared

SB0690 Enrolled - 73 - LRB101 04451 HLH 49459 b
1		disaster area in Illinois or bordering Illinois by a
2		manufacturer or retailer that is registered in this State to a
3		corporation, society, association, foundation, or institution
4		that has been issued a sales tax exemption identification
5		number by the Department that assists victims of the disaster
6		who reside within the declared disaster area.
7		(25) Beginning with taxable years ending on or after
8		December 31, 1995 and ending with taxable years ending on or
9		before December 31, 2004, personal property that is used in the
10		performance of infrastructure repairs in this State, including
11		but not limited to municipal roads and streets, access roads,
12		bridges, sidewalks, waste disposal systems, water and sewer
13		line extensions, water distribution and purification
14		facilities, storm water drainage and retention facilities, and
15		sewage treatment facilities, resulting from a State or
16		federally declared disaster in Illinois or bordering Illinois
17		when such repairs are initiated on facilities located in the
18		declared disaster area within 6 months after the disaster.
19		(26) Beginning July 1, 1999, game or game birds purchased
20		at a "game breeding and hunting preserve area" as that term is
21		used in the Wildlife Code. This paragraph is exempt from the
22		provisions of Section 3-90.
23		(27) A motor vehicle, as that term is defined in Section
24		1-146 of the Illinois Vehicle Code, that is donated to a
25		corporation, limited liability company, society, association,
26		foundation, or institution that is determined by the Department

SB0690 Enrolled - 74 - LRB101 04451 HLH 49459 b
1		to be organized and operated exclusively for educational
2		purposes. For purposes of this exemption, "a corporation,
3		limited liability company, society, association, foundation,
4		or institution organized and operated exclusively for
5		educational purposes" means all tax-supported public schools,
6		private schools that offer systematic instruction in useful
7		branches of learning by methods common to public schools and
8		that compare favorably in their scope and intensity with the
9		course of study presented in tax-supported schools, and
10		vocational or technical schools or institutes organized and
11		operated exclusively to provide a course of study of not less
12		than 6 weeks duration and designed to prepare individuals to
13		follow a trade or to pursue a manual, technical, mechanical,
14		industrial, business, or commercial occupation.
15		(28) Beginning January 1, 2000, personal property,
16		including food, purchased through fundraising events for the
17		benefit of a public or private elementary or secondary school,
18		a group of those schools, or one or more school districts if
19		the events are sponsored by an entity recognized by the school
20		district that consists primarily of volunteers and includes
21		parents and teachers of the school children. This paragraph
22		does not apply to fundraising events (i) for the benefit of
23		private home instruction or (ii) for which the fundraising
24		entity purchases the personal property sold at the events from
25		another individual or entity that sold the property for the
26		purpose of resale by the fundraising entity and that profits

SB0690 Enrolled - 75 - LRB101 04451 HLH 49459 b
1		from the sale to the fundraising entity. This paragraph is
2		exempt from the provisions of Section 3-90.
3		(29) Beginning January 1, 2000 and through December 31,
4		2001, new or used automatic vending machines that prepare and
5		serve hot food and beverages, including coffee, soup, and other
6		items, and replacement parts for these machines. Beginning
7		January 1, 2002 and through June 30, 2003, machines and parts
8		for machines used in commercial, coin-operated amusement and
9		vending business if a use or occupation tax is paid on the
10		gross receipts derived from the use of the commercial,
11		coin-operated amusement and vending machines. This paragraph
12		is exempt from the provisions of Section 3-90.
13		(30) Beginning January 1, 2001 and through June 30, 2016,
14		food for human consumption that is to be consumed off the
15		premises where it is sold (other than alcoholic beverages, soft
16		drinks, and food that has been prepared for immediate
17		consumption) and prescription and nonprescription medicines,
18		drugs, medical appliances, and insulin, urine testing
19		materials, syringes, and needles used by diabetics, for human
20		use, when purchased for use by a person receiving medical
21		assistance under Article V of the Illinois Public Aid Code who
22		resides in a licensed long-term care facility, as defined in
23		the Nursing Home Care Act, or in a licensed facility as defined
24		in the ID/DD Community Care Act, the MC/DD Act, or the
25		Specialized Mental Health Rehabilitation Act of 2013.
26		(31) Beginning on August 2, 2001 (the effective date of

SB0690 Enrolled - 76 - LRB101 04451 HLH 49459 b
1		Public Act 92-227), computers and communications equipment
2		utilized for any hospital purpose and equipment used in the
3		diagnosis, analysis, or treatment of hospital patients
4		purchased by a lessor who leases the equipment, under a lease
5		of one year or longer executed or in effect at the time the
6		lessor would otherwise be subject to the tax imposed by this
7		Act, to a hospital that has been issued an active tax exemption
8		identification number by the Department under Section 1g of the
9		Retailers' Occupation Tax Act. If the equipment is leased in a
10		manner that does not qualify for this exemption or is used in
11		any other nonexempt manner, the lessor shall be liable for the
12		tax imposed under this Act or the Service Use Tax Act, as the
13		case may be, based on the fair market value of the property at
14		the time the nonqualifying use occurs. No lessor shall collect
15		or attempt to collect an amount (however designated) that
16		purports to reimburse that lessor for the tax imposed by this
17		Act or the Service Use Tax Act, as the case may be, if the tax
18		has not been paid by the lessor. If a lessor improperly
19		collects any such amount from the lessee, the lessee shall have
20		a legal right to claim a refund of that amount from the lessor.
21		If, however, that amount is not refunded to the lessee for any
22		reason, the lessor is liable to pay that amount to the
23		Department. This paragraph is exempt from the provisions of
24		Section 3-90.
25		(32) Beginning on August 2, 2001 (the effective date of
26		Public Act 92-227), personal property purchased by a lessor who

SB0690 Enrolled - 77 - LRB101 04451 HLH 49459 b
1		leases the property, under a lease of one year or longer
2		executed or in effect at the time the lessor would otherwise be
3		subject to the tax imposed by this Act, to a governmental body
4		that has been issued an active sales tax exemption
5		identification number by the Department under Section 1g of the
6		Retailers' Occupation Tax Act. If the property is leased in a
7		manner that does not qualify for this exemption or used in any
8		other nonexempt manner, the lessor shall be liable for the tax
9		imposed under this Act or the Service Use Tax Act, as the case
10		may be, based on the fair market value of the property at the
11		time the nonqualifying use occurs. No lessor shall collect or
12		attempt to collect an amount (however designated) that purports
13		to reimburse that lessor for the tax imposed by this Act or the
14		Service Use Tax Act, as the case may be, if the tax has not been
15		paid by the lessor. If a lessor improperly collects any such
16		amount from the lessee, the lessee shall have a legal right to
17		claim a refund of that amount from the lessor. If, however,
18		that amount is not refunded to the lessee for any reason, the
19		lessor is liable to pay that amount to the Department. This
20		paragraph is exempt from the provisions of Section 3-90.
21		(33) On and after July 1, 2003 and through June 30, 2004,
22		the use in this State of motor vehicles of the second division
23		with a gross vehicle weight in excess of 8,000 pounds and that
24		are subject to the commercial distribution fee imposed under
25		Section 3-815.1 of the Illinois Vehicle Code. Beginning on July
26		1, 2004 and through June 30, 2005, the use in this State of

SB0690 Enrolled - 78 - LRB101 04451 HLH 49459 b
1		motor vehicles of the second division: (i) with a gross vehicle
2		weight rating in excess of 8,000 pounds; (ii) that are subject
3		to the commercial distribution fee imposed under Section
4		3-815.1 of the Illinois Vehicle Code; and (iii) that are
5		primarily used for commercial purposes. Through June 30, 2005,
6		this exemption applies to repair and replacement parts added
7		after the initial purchase of such a motor vehicle if that
8		motor vehicle is used in a manner that would qualify for the
9		rolling stock exemption otherwise provided for in this Act. For
10		purposes of this paragraph, the term "used for commercial
11		purposes" means the transportation of persons or property in
12		furtherance of any commercial or industrial enterprise,
13		whether for-hire or not.
14		(34) Beginning January 1, 2008, tangible personal property
15		used in the construction or maintenance of a community water
16		supply, as defined under Section 3.145 of the Environmental
17		Protection Act, that is operated by a not-for-profit
18		corporation that holds a valid water supply permit issued under
19		Title IV of the Environmental Protection Act. This paragraph is
20		exempt from the provisions of Section 3-90.
21		(35) Beginning January 1, 2010, materials, parts,
22		equipment, components, and furnishings incorporated into or
23		upon an aircraft as part of the modification, refurbishment,
24		completion, replacement, repair, or maintenance of the
25		aircraft. This exemption includes consumable supplies used in
26		the modification, refurbishment, completion, replacement,

SB0690 Enrolled - 79 - LRB101 04451 HLH 49459 b
1		repair, and maintenance of aircraft, but excludes any
2		materials, parts, equipment, components, and consumable
3		supplies used in the modification, replacement, repair, and
4		maintenance of aircraft engines or power plants, whether such
5		engines or power plants are installed or uninstalled upon any
6		such aircraft. "Consumable supplies" include, but are not
7		limited to, adhesive, tape, sandpaper, general purpose
8		lubricants, cleaning solution, latex gloves, and protective
9		films. This exemption applies only to the use of qualifying
10		tangible personal property by persons who modify, refurbish,
11		complete, repair, replace, or maintain aircraft and who (i)
12		hold an Air Agency Certificate and are empowered to operate an
13		approved repair station by the Federal Aviation
14		Administration, (ii) have a Class IV Rating, and (iii) conduct
15		operations in accordance with Part 145 of the Federal Aviation
16		Regulations. The exemption does not include aircraft operated
17		by a commercial air carrier providing scheduled passenger air
18		service pursuant to authority issued under Part 121 or Part 129
19		of the Federal Aviation Regulations. The changes made to this
20		paragraph (35) by Public Act 98-534 are declarative of existing
21		law.
22		(36) Tangible personal property purchased by a
23		public-facilities corporation, as described in Section
24		11-65-10 of the Illinois Municipal Code, for purposes of
25		constructing or furnishing a municipal convention hall, but
26		only if the legal title to the municipal convention hall is

SB0690 Enrolled - 80 - LRB101 04451 HLH 49459 b
1		transferred to the municipality without any further
2		consideration by or on behalf of the municipality at the time
3		of the completion of the municipal convention hall or upon the
4		retirement or redemption of any bonds or other debt instruments
5		issued by the public-facilities corporation in connection with
6		the development of the municipal convention hall. This
7		exemption includes existing public-facilities corporations as
8		provided in Section 11-65-25 of the Illinois Municipal Code.
9		This paragraph is exempt from the provisions of Section 3-90.
10		(37) Beginning January 1, 2017, menstrual pads, tampons,
11		and menstrual cups.
12		(38) Merchandise that is subject to the Rental Purchase
13		Agreement Occupation and Use Tax. The purchaser must certify
14		that the item is purchased to be rented subject to a rental
15		purchase agreement, as defined in the Rental Purchase Agreement
16		Act, and provide proof of registration under the Rental
17		Purchase Agreement Occupation and Use Tax Act. This paragraph
18		is exempt from the provisions of Section 3-90.
19		(39) Tangible personal property purchased by a purchaser
20		who is exempt from the tax imposed by this Act by operation of
21		federal law. This paragraph is exempt from the provisions of
22		Section 3-90.
23		(40) Qualified tangible personal property used in the
24		construction or operation of a data center that has been
25		granted a certificate of exemption by the Department of
26		Commerce and Economic Opportunity, whether that tangible

SB0690 Enrolled - 81 - LRB101 04451 HLH 49459 b
1		personal property is purchased by the owner, operator, or
2		tenant of the data center or by a contractor or subcontractor
3		of the owner, operator, or tenant. Data centers that would have
4		qualified for a certificate of exemption prior to January 1,
5		2020 had this amendatory Act of the 101st General Assembly been
6		in effect, may apply for and obtain an exemption for subsequent
7		purchases of computer equipment or enabling software purchased
8		or leased to upgrade, supplement, or replace computer equipment
9		or enabling software purchased or leased in the original
10		investment that would have qualified.
11		The Department of Commerce and Economic Opportunity shall
12		grant a certificate of exemption under this item (40) to
13		qualified data centers as defined by Section 605-1025 of the
14		Department of Commerce and Economic Opportunity Law of the
15		Civil Administrative Code of Illinois.
16		For the purposes of this item (40):
17		"Data center" means a building or a series of buildings
18		rehabilitated or constructed to house working servers in
19		one physical location or multiple sites within the State of
20		Illinois.
21		"Qualified tangible personal property" means:
22		electrical systems and equipment; climate control and
23		chilling equipment and systems; mechanical systems and
24		equipment; monitoring and secure systems; emergency
25		generators; hardware; computers; servers; data storage
26		devices; network connectivity equipment; racks; cabinets;

SB0690 Enrolled - 82 - LRB101 04451 HLH 49459 b
1		telecommunications cabling infrastructure; raised floor
2		systems; peripheral components or systems; software;
3		mechanical, electrical, or plumbing systems; battery
4		systems; cooling systems and towers; temperature control
5		systems; other cabling; and other data center
6		infrastructure equipment and systems necessary to operate
7		qualified tangible personal property, including fixtures;
8		and component parts of any of the foregoing, including
9		installation, maintenance, repair, refurbishment, and
10		replacement of qualified tangible personal property to
11		generate, transform, transmit, distribute, or manage
12		electricity necessary to operate qualified tangible
13		personal property; and all other tangible personal
14		property that is essential to the operations of a computer
15		data center. The term "qualified tangible personal
16		property" also includes building materials physically
17		incorporated in to the qualifying data center. To document
18		the exemption allowed under this Section, the retailer must
19		obtain from the purchaser a copy of the certificate of
20		eligibility issued by the Department of Commerce and
21		Economic Opportunity.
22		This item (40) is exempt from the provisions of Section
23		3-90.
24		(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
25		100-22, eff. 7-6-17; 100-437, eff. 1-1-18; 100-594, eff.
26		6-29-18; 100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; revised

SB0690 Enrolled - 83 - LRB101 04451 HLH 49459 b
1		1-8-19.)
2		Section 15-35. The Service Use Tax Act is amended by
3		changing Section 3-5 as follows:
4		(35 ILCS 110/3-5)
5		Sec. 3-5. Exemptions. Use of the following tangible
6		personal property is exempt from the tax imposed by this Act:
7		(1) Personal property purchased from a corporation,
8		society, association, foundation, institution, or
9		organization, other than a limited liability company, that is
10		organized and operated as a not-for-profit service enterprise
11		for the benefit of persons 65 years of age or older if the
12		personal property was not purchased by the enterprise for the
13		purpose of resale by the enterprise.
14		(2) Personal property purchased by a non-profit Illinois
15		county fair association for use in conducting, operating, or
16		promoting the county fair.
17		(3) Personal property purchased by a not-for-profit arts or
18		cultural organization that establishes, by proof required by
19		the Department by rule, that it has received an exemption under
20		Section 501(c)(3) of the Internal Revenue Code and that is
21		organized and operated primarily for the presentation or
22		support of arts or cultural programming, activities, or
23		services. These organizations include, but are not limited to,
24		music and dramatic arts organizations such as symphony

SB0690 Enrolled - 84 - LRB101 04451 HLH 49459 b
1		orchestras and theatrical groups, arts and cultural service
2		organizations, local arts councils, visual arts organizations,
3		and media arts organizations. On and after July 1, 2001 (the
4		effective date of Public Act 92-35) this amendatory Act of the
5		92nd General Assembly, however, an entity otherwise eligible
6		for this exemption shall not make tax-free purchases unless it
7		has an active identification number issued by the Department.
8		(4) Legal tender, currency, medallions, or gold or silver
9		coinage issued by the State of Illinois, the government of the
10		United States of America, or the government of any foreign
11		country, and bullion.
12		(5) Until July 1, 2003 and beginning again on September 1,
13		2004 through August 30, 2014, graphic arts machinery and
14		equipment, including repair and replacement parts, both new and
15		used, and including that manufactured on special order or
16		purchased for lease, certified by the purchaser to be used
17		primarily for graphic arts production. Equipment includes
18		chemicals or chemicals acting as catalysts but only if the
19		chemicals or chemicals acting as catalysts effect a direct and
20		immediate change upon a graphic arts product. Beginning on July
21		1, 2017, graphic arts machinery and equipment is included in
22		the manufacturing and assembling machinery and equipment
23		exemption under Section 2 of this Act.
24		(6) Personal property purchased from a teacher-sponsored
25		student organization affiliated with an elementary or
26		secondary school located in Illinois.

SB0690 Enrolled - 85 - LRB101 04451 HLH 49459 b
1		(7) Farm machinery and equipment, both new and used,
2		including that manufactured on special order, certified by the
3		purchaser to be used primarily for production agriculture or
4		State or federal agricultural programs, including individual
5		replacement parts for the machinery and equipment, including
6		machinery and equipment purchased for lease, and including
7		implements of husbandry defined in Section 1-130 of the
8		Illinois Vehicle Code, farm machinery and agricultural
9		chemical and fertilizer spreaders, and nurse wagons required to
10		be registered under Section 3-809 of the Illinois Vehicle Code,
11		but excluding other motor vehicles required to be registered
12		under the Illinois Vehicle Code. Horticultural polyhouses or
13		hoop houses used for propagating, growing, or overwintering
14		plants shall be considered farm machinery and equipment under
15		this item (7). Agricultural chemical tender tanks and dry boxes
16		shall include units sold separately from a motor vehicle
17		required to be licensed and units sold mounted on a motor
18		vehicle required to be licensed if the selling price of the
19		tender is separately stated.
20		Farm machinery and equipment shall include precision
21		farming equipment that is installed or purchased to be
22		installed on farm machinery and equipment including, but not
23		limited to, tractors, harvesters, sprayers, planters, seeders,
24		or spreaders. Precision farming equipment includes, but is not
25		limited to, soil testing sensors, computers, monitors,
26		software, global positioning and mapping systems, and other

SB0690 Enrolled - 86 - LRB101 04451 HLH 49459 b
1		such equipment.
2		Farm machinery and equipment also includes computers,
3		sensors, software, and related equipment used primarily in the
4		computer-assisted operation of production agriculture
5		facilities, equipment, and activities such as, but not limited
6		to, the collection, monitoring, and correlation of animal and
7		crop data for the purpose of formulating animal diets and
8		agricultural chemicals. This item (7) is exempt from the
9		provisions of Section 3-75.
10		(8) Until June 30, 2013, fuel and petroleum products sold
11		to or used by an air common carrier, certified by the carrier
12		to be used for consumption, shipment, or storage in the conduct
13		of its business as an air common carrier, for a flight destined
14		for or returning from a location or locations outside the
15		United States without regard to previous or subsequent domestic
16		stopovers.
17		Beginning July 1, 2013, fuel and petroleum products sold to
18		or used by an air carrier, certified by the carrier to be used
19		for consumption, shipment, or storage in the conduct of its
20		business as an air common carrier, for a flight that (i) is
21		engaged in foreign trade or is engaged in trade between the
22		United States and any of its possessions and (ii) transports at
23		least one individual or package for hire from the city of
24		origination to the city of final destination on the same
25		aircraft, without regard to a change in the flight number of
26		that aircraft.

SB0690 Enrolled - 87 - LRB101 04451 HLH 49459 b
1		(9) Proceeds of mandatory service charges separately
2		stated on customers' bills for the purchase and consumption of
3		food and beverages acquired as an incident to the purchase of a
4		service from a serviceman, to the extent that the proceeds of
5		the service charge are in fact turned over as tips or as a
6		substitute for tips to the employees who participate directly
7		in preparing, serving, hosting or cleaning up the food or
8		beverage function with respect to which the service charge is
9		imposed.
10		(10) Until July 1, 2003, oil field exploration, drilling,
11		and production equipment, including (i) rigs and parts of rigs,
12		rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
13		tubular goods, including casing and drill strings, (iii) pumps
14		and pump-jack units, (iv) storage tanks and flow lines, (v) any
15		individual replacement part for oil field exploration,
16		drilling, and production equipment, and (vi) machinery and
17		equipment purchased for lease; but excluding motor vehicles
18		required to be registered under the Illinois Vehicle Code.
19		(11) Proceeds from the sale of photoprocessing machinery
20		and equipment, including repair and replacement parts, both new
21		and used, including that manufactured on special order,
22		certified by the purchaser to be used primarily for
23		photoprocessing, and including photoprocessing machinery and
24		equipment purchased for lease.
25		(12) Until July 1, 2023, coal and aggregate exploration,
26		mining, off-highway hauling, processing, maintenance, and

SB0690 Enrolled - 88 - LRB101 04451 HLH 49459 b
1		reclamation equipment, including replacement parts and
2		equipment, and including equipment purchased for lease, but
3		excluding motor vehicles required to be registered under the
4		Illinois Vehicle Code. The changes made to this Section by
5		Public Act 97-767 apply on and after July 1, 2003, but no claim
6		for credit or refund is allowed on or after August 16, 2013
7		(the effective date of Public Act 98-456) for such taxes paid
8		during the period beginning July 1, 2003 and ending on August
9		16, 2013 (the effective date of Public Act 98-456).
10		(13) Semen used for artificial insemination of livestock
11		for direct agricultural production.
12		(14) Horses, or interests in horses, registered with and
13		meeting the requirements of any of the Arabian Horse Club
14		Registry of America, Appaloosa Horse Club, American Quarter
15		Horse Association, United States Trotting Association, or
16		Jockey Club, as appropriate, used for purposes of breeding or
17		racing for prizes. This item (14) is exempt from the provisions
18		of Section 3-75, and the exemption provided for under this item
19		(14) applies for all periods beginning May 30, 1995, but no
20		claim for credit or refund is allowed on or after January 1,
21		2008 (the effective date of Public Act 95-88) this amendatory
22		Act of the 95th General Assembly for such taxes paid during the
23		period beginning May 30, 2000 and ending on January 1, 2008
24		(the effective date of Public Act 95-88) this amendatory Act of
25		the 95th General Assembly.
26		(15) Computers and communications equipment utilized for

SB0690 Enrolled - 89 - LRB101 04451 HLH 49459 b
1		any hospital purpose and equipment used in the diagnosis,
2		analysis, or treatment of hospital patients purchased by a
3		lessor who leases the equipment, under a lease of one year or
4		longer executed or in effect at the time the lessor would
5		otherwise be subject to the tax imposed by this Act, to a
6		hospital that has been issued an active tax exemption
7		identification number by the Department under Section 1g of the
8		Retailers' Occupation Tax Act. If the equipment is leased in a
9		manner that does not qualify for this exemption or is used in
10		any other non-exempt manner, the lessor shall be liable for the
11		tax imposed under this Act or the Use Tax Act, as the case may
12		be, based on the fair market value of the property at the time
13		the non-qualifying use occurs. No lessor shall collect or
14		attempt to collect an amount (however designated) that purports
15		to reimburse that lessor for the tax imposed by this Act or the
16		Use Tax Act, as the case may be, if the tax has not been paid by
17		the lessor. If a lessor improperly collects any such amount
18		from the lessee, the lessee shall have a legal right to claim a
19		refund of that amount from the lessor. If, however, that amount
20		is not refunded to the lessee for any reason, the lessor is
21		liable to pay that amount to the Department.
22		(16) Personal property purchased by a lessor who leases the
23		property, under a lease of one year or longer executed or in
24		effect at the time the lessor would otherwise be subject to the
25		tax imposed by this Act, to a governmental body that has been
26		issued an active tax exemption identification number by the

SB0690 Enrolled - 90 - LRB101 04451 HLH 49459 b
1		Department under Section 1g of the Retailers' Occupation Tax
2		Act. If the property is leased in a manner that does not
3		qualify for this exemption or is used in any other non-exempt
4		manner, the lessor shall be liable for the tax imposed under
5		this Act or the Use Tax Act, as the case may be, based on the
6		fair market value of the property at the time the
7		non-qualifying use occurs. No lessor shall collect or attempt
8		to collect an amount (however designated) that purports to
9		reimburse that lessor for the tax imposed by this Act or the
10		Use Tax Act, as the case may be, if the tax has not been paid by
11		the lessor. If a lessor improperly collects any such amount
12		from the lessee, the lessee shall have a legal right to claim a
13		refund of that amount from the lessor. If, however, that amount
14		is not refunded to the lessee for any reason, the lessor is
15		liable to pay that amount to the Department.
16		(17) Beginning with taxable years ending on or after
17		December 31, 1995 and ending with taxable years ending on or
18		before December 31, 2004, personal property that is donated for
19		disaster relief to be used in a State or federally declared
20		disaster area in Illinois or bordering Illinois by a
21		manufacturer or retailer that is registered in this State to a
22		corporation, society, association, foundation, or institution
23		that has been issued a sales tax exemption identification
24		number by the Department that assists victims of the disaster
25		who reside within the declared disaster area.
26		(18) Beginning with taxable years ending on or after

SB0690 Enrolled - 91 - LRB101 04451 HLH 49459 b
1		December 31, 1995 and ending with taxable years ending on or
2		before December 31, 2004, personal property that is used in the
3		performance of infrastructure repairs in this State, including
4		but not limited to municipal roads and streets, access roads,
5		bridges, sidewalks, waste disposal systems, water and sewer
6		line extensions, water distribution and purification
7		facilities, storm water drainage and retention facilities, and
8		sewage treatment facilities, resulting from a State or
9		federally declared disaster in Illinois or bordering Illinois
10		when such repairs are initiated on facilities located in the
11		declared disaster area within 6 months after the disaster.
12		(19) Beginning July 1, 1999, game or game birds purchased
13		at a "game breeding and hunting preserve area" as that term is
14		used in the Wildlife Code. This paragraph is exempt from the
15		provisions of Section 3-75.
16		(20) A motor vehicle, as that term is defined in Section
17		1-146 of the Illinois Vehicle Code, that is donated to a
18		corporation, limited liability company, society, association,
19		foundation, or institution that is determined by the Department
20		to be organized and operated exclusively for educational
21		purposes. For purposes of this exemption, "a corporation,
22		limited liability company, society, association, foundation,
23		or institution organized and operated exclusively for
24		educational purposes" means all tax-supported public schools,
25		private schools that offer systematic instruction in useful
26		branches of learning by methods common to public schools and

SB0690 Enrolled - 92 - LRB101 04451 HLH 49459 b
1		that compare favorably in their scope and intensity with the
2		course of study presented in tax-supported schools, and
3		vocational or technical schools or institutes organized and
4		operated exclusively to provide a course of study of not less
5		than 6 weeks duration and designed to prepare individuals to
6		follow a trade or to pursue a manual, technical, mechanical,
7		industrial, business, or commercial occupation.
8		(21) Beginning January 1, 2000, personal property,
9		including food, purchased through fundraising events for the
10		benefit of a public or private elementary or secondary school,
11		a group of those schools, or one or more school districts if
12		the events are sponsored by an entity recognized by the school
13		district that consists primarily of volunteers and includes
14		parents and teachers of the school children. This paragraph
15		does not apply to fundraising events (i) for the benefit of
16		private home instruction or (ii) for which the fundraising
17		entity purchases the personal property sold at the events from
18		another individual or entity that sold the property for the
19		purpose of resale by the fundraising entity and that profits
20		from the sale to the fundraising entity. This paragraph is
21		exempt from the provisions of Section 3-75.
22		(22) Beginning January 1, 2000 and through December 31,
23		2001, new or used automatic vending machines that prepare and
24		serve hot food and beverages, including coffee, soup, and other
25		items, and replacement parts for these machines. Beginning
26		January 1, 2002 and through June 30, 2003, machines and parts

SB0690 Enrolled - 93 - LRB101 04451 HLH 49459 b
1		for machines used in commercial, coin-operated amusement and
2		vending business if a use or occupation tax is paid on the
3		gross receipts derived from the use of the commercial,
4		coin-operated amusement and vending machines. This paragraph
5		is exempt from the provisions of Section 3-75.
6		(23) Beginning August 23, 2001 and through June 30, 2016,
7		food for human consumption that is to be consumed off the
8		premises where it is sold (other than alcoholic beverages, soft
9		drinks, and food that has been prepared for immediate
10		consumption) and prescription and nonprescription medicines,
11		drugs, medical appliances, and insulin, urine testing
12		materials, syringes, and needles used by diabetics, for human
13		use, when purchased for use by a person receiving medical
14		assistance under Article V of the Illinois Public Aid Code who
15		resides in a licensed long-term care facility, as defined in
16		the Nursing Home Care Act, or in a licensed facility as defined
17		in the ID/DD Community Care Act, the MC/DD Act, or the
18		Specialized Mental Health Rehabilitation Act of 2013.
19		(24) Beginning on August 2, 2001 (the effective date of
20		Public Act 92-227) this amendatory Act of the 92nd General
21		Assembly, computers and communications equipment utilized for
22		any hospital purpose and equipment used in the diagnosis,
23		analysis, or treatment of hospital patients purchased by a
24		lessor who leases the equipment, under a lease of one year or
25		longer executed or in effect at the time the lessor would
26		otherwise be subject to the tax imposed by this Act, to a

SB0690 Enrolled - 94 - LRB101 04451 HLH 49459 b
1		hospital that has been issued an active tax exemption
2		identification number by the Department under Section 1g of the
3		Retailers' Occupation Tax Act. If the equipment is leased in a
4		manner that does not qualify for this exemption or is used in
5		any other nonexempt manner, the lessor shall be liable for the
6		tax imposed under this Act or the Use Tax Act, as the case may
7		be, based on the fair market value of the property at the time
8		the nonqualifying use occurs. No lessor shall collect or
9		attempt to collect an amount (however designated) that purports
10		to reimburse that lessor for the tax imposed by this Act or the
11		Use Tax Act, as the case may be, if the tax has not been paid by
12		the lessor. If a lessor improperly collects any such amount
13		from the lessee, the lessee shall have a legal right to claim a
14		refund of that amount from the lessor. If, however, that amount
15		is not refunded to the lessee for any reason, the lessor is
16		liable to pay that amount to the Department. This paragraph is
17		exempt from the provisions of Section 3-75.
18		(25) Beginning on August 2, 2001 (the effective date of
19		Public Act 92-227) this amendatory Act of the 92nd General
20		Assembly, personal property purchased by a lessor who leases
21		the property, under a lease of one year or longer executed or
22		in effect at the time the lessor would otherwise be subject to
23		the tax imposed by this Act, to a governmental body that has
24		been issued an active tax exemption identification number by
25		the Department under Section 1g of the Retailers' Occupation
26		Tax Act. If the property is leased in a manner that does not

SB0690 Enrolled - 95 - LRB101 04451 HLH 49459 b
1		qualify for this exemption or is used in any other nonexempt
2		manner, the lessor shall be liable for the tax imposed under
3		this Act or the Use Tax Act, as the case may be, based on the
4		fair market value of the property at the time the nonqualifying
5		use occurs. No lessor shall collect or attempt to collect an
6		amount (however designated) that purports to reimburse that
7		lessor for the tax imposed by this Act or the Use Tax Act, as
8		the case may be, if the tax has not been paid by the lessor. If
9		a lessor improperly collects any such amount from the lessee,
10		the lessee shall have a legal right to claim a refund of that
11		amount from the lessor. If, however, that amount is not
12		refunded to the lessee for any reason, the lessor is liable to
13		pay that amount to the Department. This paragraph is exempt
14		from the provisions of Section 3-75.
15		(26) Beginning January 1, 2008, tangible personal property
16		used in the construction or maintenance of a community water
17		supply, as defined under Section 3.145 of the Environmental
18		Protection Act, that is operated by a not-for-profit
19		corporation that holds a valid water supply permit issued under
20		Title IV of the Environmental Protection Act. This paragraph is
21		exempt from the provisions of Section 3-75.
22		(27) Beginning January 1, 2010, materials, parts,
23		equipment, components, and furnishings incorporated into or
24		upon an aircraft as part of the modification, refurbishment,
25		completion, replacement, repair, or maintenance of the
26		aircraft. This exemption includes consumable supplies used in

SB0690 Enrolled - 96 - LRB101 04451 HLH 49459 b
1		the modification, refurbishment, completion, replacement,
2		repair, and maintenance of aircraft, but excludes any
3		materials, parts, equipment, components, and consumable
4		supplies used in the modification, replacement, repair, and
5		maintenance of aircraft engines or power plants, whether such
6		engines or power plants are installed or uninstalled upon any
7		such aircraft. "Consumable supplies" include, but are not
8		limited to, adhesive, tape, sandpaper, general purpose
9		lubricants, cleaning solution, latex gloves, and protective
10		films. This exemption applies only to the use of qualifying
11		tangible personal property transferred incident to the
12		modification, refurbishment, completion, replacement, repair,
13		or maintenance of aircraft by persons who (i) hold an Air
14		Agency Certificate and are empowered to operate an approved
15		repair station by the Federal Aviation Administration, (ii)
16		have a Class IV Rating, and (iii) conduct operations in
17		accordance with Part 145 of the Federal Aviation Regulations.
18		The exemption does not include aircraft operated by a
19		commercial air carrier providing scheduled passenger air
20		service pursuant to authority issued under Part 121 or Part 129
21		of the Federal Aviation Regulations. The changes made to this
22		paragraph (27) by Public Act 98-534 are declarative of existing
23		law.
24		(28) Tangible personal property purchased by a
25		public-facilities corporation, as described in Section
26		11-65-10 of the Illinois Municipal Code, for purposes of

SB0690 Enrolled - 97 - LRB101 04451 HLH 49459 b
1		constructing or furnishing a municipal convention hall, but
2		only if the legal title to the municipal convention hall is
3		transferred to the municipality without any further
4		consideration by or on behalf of the municipality at the time
5		of the completion of the municipal convention hall or upon the
6		retirement or redemption of any bonds or other debt instruments
7		issued by the public-facilities corporation in connection with
8		the development of the municipal convention hall. This
9		exemption includes existing public-facilities corporations as
10		provided in Section 11-65-25 of the Illinois Municipal Code.
11		This paragraph is exempt from the provisions of Section 3-75.
12		(29) Beginning January 1, 2017, menstrual pads, tampons,
13		and menstrual cups.
14		(30) Tangible personal property transferred to a purchaser
15		who is exempt from the tax imposed by this Act by operation of
16		federal law. This paragraph is exempt from the provisions of
17		Section 3-75.
18		(31) Qualified tangible personal property used in the
19		construction or operation of a data center that has been
20		granted a certificate of exemption by the Department of
21		Commerce and Economic Opportunity, whether that tangible
22		personal property is purchased by the owner, operator, or
23		tenant of the data center or by a contractor or subcontractor
24		of the owner, operator, or tenant. Data centers that would have
25		qualified for a certificate of exemption prior to January 1,
26		2020 had this amendatory Act of the 101st General Assembly been

SB0690 Enrolled - 98 - LRB101 04451 HLH 49459 b
1		in effect, may apply for and obtain an exemption for subsequent
2		purchases of computer equipment or enabling software purchased
3		or leased to upgrade, supplement, or replace computer equipment
4		or enabling software purchased or leased in the original
5		investment that would have qualified.
6		The Department of Commerce and Economic Opportunity shall
7		grant a certificate of exemption under this item (31) to
8		qualified data centers as defined by Section 605-1025 of the
9		Department of Commerce and Economic Opportunity Law of the
10		Civil Administrative Code of Illinois.
11		For the purposes of this item (31):
12		"Data center" means a building or a series of buildings
13		rehabilitated or constructed to house working servers in
14		one physical location or multiple sites within the State of
15		Illinois.
16		"Qualified tangible personal property" means:
17		electrical systems and equipment; climate control and
18		chilling equipment and systems; mechanical systems and
19		equipment; monitoring and secure systems; emergency
20		generators; hardware; computers; servers; data storage
21		devices; network connectivity equipment; racks; cabinets;
22		telecommunications cabling infrastructure; raised floor
23		systems; peripheral components or systems; software;
24		mechanical, electrical, or plumbing systems; battery
25		systems; cooling systems and towers; temperature control
26		systems; other cabling; and other data center

SB0690 Enrolled - 99 - LRB101 04451 HLH 49459 b
1		infrastructure equipment and systems necessary to operate
2		qualified tangible personal property, including fixtures;
3		and component parts of any of the foregoing, including
4		installation, maintenance, repair, refurbishment, and
5		replacement of qualified tangible personal property to
6		generate, transform, transmit, distribute, or manage
7		electricity necessary to operate qualified tangible
8		personal property; and all other tangible personal
9		property that is essential to the operations of a computer
10		data center. The term "qualified tangible personal
11		property" also includes building materials physically
12		incorporated in to the qualifying data center. To document
13		the exemption allowed under this Section, the retailer must
14		obtain from the purchaser a copy of the certificate of
15		eligibility issued by the Department of Commerce and
16		Economic Opportunity.
17		This item (31) is exempt from the provisions of Section
18		3-75.
19		(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
20		100-22, eff. 7-6-17; 100-594, eff. 6-29-18; 100-1171, eff.
21		1-4-19; revised 1-8-19.)
22		Section 15-40. The Service Occupation Tax Act is amended by
23		changing Section 3-5 as follows:
24		(35 ILCS 115/3-5)

SB0690 Enrolled - 100 - LRB101 04451 HLH 49459 b
1		Sec. 3-5. Exemptions. The following tangible personal
2		property is exempt from the tax imposed by this Act:
3		(1) Personal property sold by a corporation, society,
4		association, foundation, institution, or organization, other
5		than a limited liability company, that is organized and
6		operated as a not-for-profit service enterprise for the benefit
7		of persons 65 years of age or older if the personal property
8		was not purchased by the enterprise for the purpose of resale
9		by the enterprise.
10		(2) Personal property purchased by a not-for-profit
11		Illinois county fair association for use in conducting,
12		operating, or promoting the county fair.
13		(3) Personal property purchased by any not-for-profit arts
14		or cultural organization that establishes, by proof required by
15		the Department by rule, that it has received an exemption under
16		Section 501(c)(3) of the Internal Revenue Code and that is
17		organized and operated primarily for the presentation or
18		support of arts or cultural programming, activities, or
19		services. These organizations include, but are not limited to,
20		music and dramatic arts organizations such as symphony
21		orchestras and theatrical groups, arts and cultural service
22		organizations, local arts councils, visual arts organizations,
23		and media arts organizations. On and after July 1, 2001 (the
24		effective date of Public Act 92-35) this amendatory Act of the
25		92nd General Assembly, however, an entity otherwise eligible
26		for this exemption shall not make tax-free purchases unless it

SB0690 Enrolled - 101 - LRB101 04451 HLH 49459 b
1		has an active identification number issued by the Department.
2		(4) Legal tender, currency, medallions, or gold or silver
3		coinage issued by the State of Illinois, the government of the
4		United States of America, or the government of any foreign
5		country, and bullion.
6		(5) Until July 1, 2003 and beginning again on September 1,
7		2004 through August 30, 2014, graphic arts machinery and
8		equipment, including repair and replacement parts, both new and
9		used, and including that manufactured on special order or
10		purchased for lease, certified by the purchaser to be used
11		primarily for graphic arts production. Equipment includes
12		chemicals or chemicals acting as catalysts but only if the
13		chemicals or chemicals acting as catalysts effect a direct and
14		immediate change upon a graphic arts product. Beginning on July
15		1, 2017, graphic arts machinery and equipment is included in
16		the manufacturing and assembling machinery and equipment
17		exemption under Section 2 of this Act.
18		(6) Personal property sold by a teacher-sponsored student
19		organization affiliated with an elementary or secondary school
20		located in Illinois.
21		(7) Farm machinery and equipment, both new and used,
22		including that manufactured on special order, certified by the
23		purchaser to be used primarily for production agriculture or
24		State or federal agricultural programs, including individual
25		replacement parts for the machinery and equipment, including
26		machinery and equipment purchased for lease, and including

SB0690 Enrolled - 102 - LRB101 04451 HLH 49459 b
1		implements of husbandry defined in Section 1-130 of the
2		Illinois Vehicle Code, farm machinery and agricultural
3		chemical and fertilizer spreaders, and nurse wagons required to
4		be registered under Section 3-809 of the Illinois Vehicle Code,
5		but excluding other motor vehicles required to be registered
6		under the Illinois Vehicle Code. Horticultural polyhouses or
7		hoop houses used for propagating, growing, or overwintering
8		plants shall be considered farm machinery and equipment under
9		this item (7). Agricultural chemical tender tanks and dry boxes
10		shall include units sold separately from a motor vehicle
11		required to be licensed and units sold mounted on a motor
12		vehicle required to be licensed if the selling price of the
13		tender is separately stated.
14		Farm machinery and equipment shall include precision
15		farming equipment that is installed or purchased to be
16		installed on farm machinery and equipment including, but not
17		limited to, tractors, harvesters, sprayers, planters, seeders,
18		or spreaders. Precision farming equipment includes, but is not
19		limited to, soil testing sensors, computers, monitors,
20		software, global positioning and mapping systems, and other
21		such equipment.
22		Farm machinery and equipment also includes computers,
23		sensors, software, and related equipment used primarily in the
24		computer-assisted operation of production agriculture
25		facilities, equipment, and activities such as, but not limited
26		to, the collection, monitoring, and correlation of animal and

SB0690 Enrolled - 103 - LRB101 04451 HLH 49459 b
1		crop data for the purpose of formulating animal diets and
2		agricultural chemicals. This item (7) is exempt from the
3		provisions of Section 3-55.
4		(8) Until June 30, 2013, fuel and petroleum products sold
5		to or used by an air common carrier, certified by the carrier
6		to be used for consumption, shipment, or storage in the conduct
7		of its business as an air common carrier, for a flight destined
8		for or returning from a location or locations outside the
9		United States without regard to previous or subsequent domestic
10		stopovers.
11		Beginning July 1, 2013, fuel and petroleum products sold to
12		or used by an air carrier, certified by the carrier to be used
13		for consumption, shipment, or storage in the conduct of its
14		business as an air common carrier, for a flight that (i) is
15		engaged in foreign trade or is engaged in trade between the
16		United States and any of its possessions and (ii) transports at
17		least one individual or package for hire from the city of
18		origination to the city of final destination on the same
19		aircraft, without regard to a change in the flight number of
20		that aircraft.
21		(9) Proceeds of mandatory service charges separately
22		stated on customers' bills for the purchase and consumption of
23		food and beverages, to the extent that the proceeds of the
24		service charge are in fact turned over as tips or as a
25		substitute for tips to the employees who participate directly
26		in preparing, serving, hosting or cleaning up the food or

SB0690 Enrolled - 104 - LRB101 04451 HLH 49459 b
1		beverage function with respect to which the service charge is
2		imposed.
3		(10) Until July 1, 2003, oil field exploration, drilling,
4		and production equipment, including (i) rigs and parts of rigs,
5		rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
6		tubular goods, including casing and drill strings, (iii) pumps
7		and pump-jack units, (iv) storage tanks and flow lines, (v) any
8		individual replacement part for oil field exploration,
9		drilling, and production equipment, and (vi) machinery and
10		equipment purchased for lease; but excluding motor vehicles
11		required to be registered under the Illinois Vehicle Code.
12		(11) Photoprocessing machinery and equipment, including
13		repair and replacement parts, both new and used, including that
14		manufactured on special order, certified by the purchaser to be
15		used primarily for photoprocessing, and including
16		photoprocessing machinery and equipment purchased for lease.
17		(12) Until July 1, 2023, coal and aggregate exploration,
18		mining, off-highway hauling, processing, maintenance, and
19		reclamation equipment, including replacement parts and
20		equipment, and including equipment purchased for lease, but
21		excluding motor vehicles required to be registered under the
22		Illinois Vehicle Code. The changes made to this Section by
23		Public Act 97-767 apply on and after July 1, 2003, but no claim
24		for credit or refund is allowed on or after August 16, 2013
25		(the effective date of Public Act 98-456) for such taxes paid
26		during the period beginning July 1, 2003 and ending on August

SB0690 Enrolled - 105 - LRB101 04451 HLH 49459 b
1		16, 2013 (the effective date of Public Act 98-456).
2		(13) Beginning January 1, 1992 and through June 30, 2016,
3		food for human consumption that is to be consumed off the
4		premises where it is sold (other than alcoholic beverages, soft
5		drinks and food that has been prepared for immediate
6		consumption) and prescription and non-prescription medicines,
7		drugs, medical appliances, and insulin, urine testing
8		materials, syringes, and needles used by diabetics, for human
9		use, when purchased for use by a person receiving medical
10		assistance under Article V of the Illinois Public Aid Code who
11		resides in a licensed long-term care facility, as defined in
12		the Nursing Home Care Act, or in a licensed facility as defined
13		in the ID/DD Community Care Act, the MC/DD Act, or the
14		Specialized Mental Health Rehabilitation Act of 2013.
15		(14) Semen used for artificial insemination of livestock
16		for direct agricultural production.
17		(15) Horses, or interests in horses, registered with and
18		meeting the requirements of any of the Arabian Horse Club
19		Registry of America, Appaloosa Horse Club, American Quarter
20		Horse Association, United States Trotting Association, or
21		Jockey Club, as appropriate, used for purposes of breeding or
22		racing for prizes. This item (15) is exempt from the provisions
23		of Section 3-55, and the exemption provided for under this item
24		(15) applies for all periods beginning May 30, 1995, but no
25		claim for credit or refund is allowed on or after January 1,
26		2008 (the effective date of Public Act 95-88) for such taxes

SB0690 Enrolled - 106 - LRB101 04451 HLH 49459 b
1		paid during the period beginning May 30, 2000 and ending on
2		January 1, 2008 (the effective date of Public Act 95-88).
3		(16) Computers and communications equipment utilized for
4		any hospital purpose and equipment used in the diagnosis,
5		analysis, or treatment of hospital patients sold to a lessor
6		who leases the equipment, under a lease of one year or longer
7		executed or in effect at the time of the purchase, to a
8		hospital that has been issued an active tax exemption
9		identification number by the Department under Section 1g of the
10		Retailers' Occupation Tax Act.
11		(17) Personal property sold to a lessor who leases the
12		property, under a lease of one year or longer executed or in
13		effect at the time of the purchase, to a governmental body that
14		has been issued an active tax exemption identification number
15		by the Department under Section 1g of the Retailers' Occupation
16		Tax Act.
17		(18) Beginning with taxable years ending on or after
18		December 31, 1995 and ending with taxable years ending on or
19		before December 31, 2004, personal property that is donated for
20		disaster relief to be used in a State or federally declared
21		disaster area in Illinois or bordering Illinois by a
22		manufacturer or retailer that is registered in this State to a
23		corporation, society, association, foundation, or institution
24		that has been issued a sales tax exemption identification
25		number by the Department that assists victims of the disaster
26		who reside within the declared disaster area.

SB0690 Enrolled - 107 - LRB101 04451 HLH 49459 b
1		(19) Beginning with taxable years ending on or after
2		December 31, 1995 and ending with taxable years ending on or
3		before December 31, 2004, personal property that is used in the
4		performance of infrastructure repairs in this State, including
5		but not limited to municipal roads and streets, access roads,
6		bridges, sidewalks, waste disposal systems, water and sewer
7		line extensions, water distribution and purification
8		facilities, storm water drainage and retention facilities, and
9		sewage treatment facilities, resulting from a State or
10		federally declared disaster in Illinois or bordering Illinois
11		when such repairs are initiated on facilities located in the
12		declared disaster area within 6 months after the disaster.
13		(20) Beginning July 1, 1999, game or game birds sold at a
14		"game breeding and hunting preserve area" as that term is used
15		in the Wildlife Code. This paragraph is exempt from the
16		provisions of Section 3-55.
17		(21) A motor vehicle, as that term is defined in Section
18		1-146 of the Illinois Vehicle Code, that is donated to a
19		corporation, limited liability company, society, association,
20		foundation, or institution that is determined by the Department
21		to be organized and operated exclusively for educational
22		purposes. For purposes of this exemption, "a corporation,
23		limited liability company, society, association, foundation,
24		or institution organized and operated exclusively for
25		educational purposes" means all tax-supported public schools,
26		private schools that offer systematic instruction in useful

SB0690 Enrolled - 108 - LRB101 04451 HLH 49459 b
1		branches of learning by methods common to public schools and
2		that compare favorably in their scope and intensity with the
3		course of study presented in tax-supported schools, and
4		vocational or technical schools or institutes organized and
5		operated exclusively to provide a course of study of not less
6		than 6 weeks duration and designed to prepare individuals to
7		follow a trade or to pursue a manual, technical, mechanical,
8		industrial, business, or commercial occupation.
9		(22) Beginning January 1, 2000, personal property,
10		including food, purchased through fundraising events for the
11		benefit of a public or private elementary or secondary school,
12		a group of those schools, or one or more school districts if
13		the events are sponsored by an entity recognized by the school
14		district that consists primarily of volunteers and includes
15		parents and teachers of the school children. This paragraph
16		does not apply to fundraising events (i) for the benefit of
17		private home instruction or (ii) for which the fundraising
18		entity purchases the personal property sold at the events from
19		another individual or entity that sold the property for the
20		purpose of resale by the fundraising entity and that profits
21		from the sale to the fundraising entity. This paragraph is
22		exempt from the provisions of Section 3-55.
23		(23) Beginning January 1, 2000 and through December 31,
24		2001, new or used automatic vending machines that prepare and
25		serve hot food and beverages, including coffee, soup, and other
26		items, and replacement parts for these machines. Beginning

SB0690 Enrolled - 109 - LRB101 04451 HLH 49459 b
1		January 1, 2002 and through June 30, 2003, machines and parts
2		for machines used in commercial, coin-operated amusement and
3		vending business if a use or occupation tax is paid on the
4		gross receipts derived from the use of the commercial,
5		coin-operated amusement and vending machines. This paragraph
6		is exempt from the provisions of Section 3-55.
7		(24) Beginning on August 2, 2001 (the effective date of
8		Public Act 92-227) this amendatory Act of the 92nd General
9		Assembly, computers and communications equipment utilized for
10		any hospital purpose and equipment used in the diagnosis,
11		analysis, or treatment of hospital patients sold to a lessor
12		who leases the equipment, under a lease of one year or longer
13		executed or in effect at the time of the purchase, to a
14		hospital that has been issued an active tax exemption
15		identification number by the Department under Section 1g of the
16		Retailers' Occupation Tax Act. This paragraph is exempt from
17		the provisions of Section 3-55.
18		(25) Beginning on August 2, 2001 (the effective date of
19		Public Act 92-227) this amendatory Act of the 92nd General
20		Assembly, personal property sold to a lessor who leases the
21		property, under a lease of one year or longer executed or in
22		effect at the time of the purchase, to a governmental body that
23		has been issued an active tax exemption identification number
24		by the Department under Section 1g of the Retailers' Occupation
25		Tax Act. This paragraph is exempt from the provisions of
26		Section 3-55.

SB0690 Enrolled - 110 - LRB101 04451 HLH 49459 b
1		(26) Beginning on January 1, 2002 and through June 30,
2		2016, tangible personal property purchased from an Illinois
3		retailer by a taxpayer engaged in centralized purchasing
4		activities in Illinois who will, upon receipt of the property
5		in Illinois, temporarily store the property in Illinois (i) for
6		the purpose of subsequently transporting it outside this State
7		for use or consumption thereafter solely outside this State or
8		(ii) for the purpose of being processed, fabricated, or
9		manufactured into, attached to, or incorporated into other
10		tangible personal property to be transported outside this State
11		and thereafter used or consumed solely outside this State. The
12		Director of Revenue shall, pursuant to rules adopted in
13		accordance with the Illinois Administrative Procedure Act,
14		issue a permit to any taxpayer in good standing with the
15		Department who is eligible for the exemption under this
16		paragraph (26). The permit issued under this paragraph (26)
17		shall authorize the holder, to the extent and in the manner
18		specified in the rules adopted under this Act, to purchase
19		tangible personal property from a retailer exempt from the
20		taxes imposed by this Act. Taxpayers shall maintain all
21		necessary books and records to substantiate the use and
22		consumption of all such tangible personal property outside of
23		the State of Illinois.
24		(27) Beginning January 1, 2008, tangible personal property
25		used in the construction or maintenance of a community water
26		supply, as defined under Section 3.145 of the Environmental

SB0690 Enrolled - 111 - LRB101 04451 HLH 49459 b
1		Protection Act, that is operated by a not-for-profit
2		corporation that holds a valid water supply permit issued under
3		Title IV of the Environmental Protection Act. This paragraph is
4		exempt from the provisions of Section 3-55.
5		(28) Tangible personal property sold to a
6		public-facilities corporation, as described in Section
7		11-65-10 of the Illinois Municipal Code, for purposes of
8		constructing or furnishing a municipal convention hall, but
9		only if the legal title to the municipal convention hall is
10		transferred to the municipality without any further
11		consideration by or on behalf of the municipality at the time
12		of the completion of the municipal convention hall or upon the
13		retirement or redemption of any bonds or other debt instruments
14		issued by the public-facilities corporation in connection with
15		the development of the municipal convention hall. This
16		exemption includes existing public-facilities corporations as
17		provided in Section 11-65-25 of the Illinois Municipal Code.
18		This paragraph is exempt from the provisions of Section 3-55.
19		(29) Beginning January 1, 2010, materials, parts,
20		equipment, components, and furnishings incorporated into or
21		upon an aircraft as part of the modification, refurbishment,
22		completion, replacement, repair, or maintenance of the
23		aircraft. This exemption includes consumable supplies used in
24		the modification, refurbishment, completion, replacement,
25		repair, and maintenance of aircraft, but excludes any
26		materials, parts, equipment, components, and consumable

SB0690 Enrolled - 112 - LRB101 04451 HLH 49459 b
1		supplies used in the modification, replacement, repair, and
2		maintenance of aircraft engines or power plants, whether such
3		engines or power plants are installed or uninstalled upon any
4		such aircraft. "Consumable supplies" include, but are not
5		limited to, adhesive, tape, sandpaper, general purpose
6		lubricants, cleaning solution, latex gloves, and protective
7		films. This exemption applies only to the transfer of
8		qualifying tangible personal property incident to the
9		modification, refurbishment, completion, replacement, repair,
10		or maintenance of an aircraft by persons who (i) hold an Air
11		Agency Certificate and are empowered to operate an approved
12		repair station by the Federal Aviation Administration, (ii)
13		have a Class IV Rating, and (iii) conduct operations in
14		accordance with Part 145 of the Federal Aviation Regulations.
15		The exemption does not include aircraft operated by a
16		commercial air carrier providing scheduled passenger air
17		service pursuant to authority issued under Part 121 or Part 129
18		of the Federal Aviation Regulations. The changes made to this
19		paragraph (29) by Public Act 98-534 are declarative of existing
20		law.
21		(30) Beginning January 1, 2017, menstrual pads, tampons,
22		and menstrual cups.
23		(31) Tangible personal property transferred to a purchaser
24		who is exempt from tax by operation of federal law. This
25		paragraph is exempt from the provisions of Section 3-55.
26		(32) Qualified tangible personal property used in the

SB0690 Enrolled - 113 - LRB101 04451 HLH 49459 b
1		construction or operation of a data center that has been
2		granted a certificate of exemption by the Department of
3		Commerce and Economic Opportunity, whether that tangible
4		personal property is purchased by the owner, operator, or
5		tenant of the data center or by a contractor or subcontractor
6		of the owner, operator, or tenant. Data centers that would have
7		qualified for a certificate of exemption prior to January 1,
8		2020 had this amendatory Act of the 101st General Assembly been
9		in effect, may apply for and obtain an exemption for subsequent
10		purchases of computer equipment or enabling software purchased
11		or leased to upgrade, supplement, or replace computer equipment
12		or enabling software purchased or leased in the original
13		investment that would have qualified.
14		The Department of Commerce and Economic Opportunity shall
15		grant a certificate of exemption under this item (32) to
16		qualified data centers as defined by Section 605-1025 of the
17		Department of Commerce and Economic Opportunity Law of the
18		Civil Administrative Code of Illinois.
19		For the purposes of this item (32):
20		"Data center" means a building or a series of buildings
21		rehabilitated or constructed to house working servers in
22		one physical location or multiple sites within the State of
23		Illinois.
24		"Qualified tangible personal property" means:
25		electrical systems and equipment; climate control and
26		chilling equipment and systems; mechanical systems and

SB0690 Enrolled - 114 - LRB101 04451 HLH 49459 b
1		equipment; monitoring and secure systems; emergency
2		generators; hardware; computers; servers; data storage
3		devices; network connectivity equipment; racks; cabinets;
4		telecommunications cabling infrastructure; raised floor
5		systems; peripheral components or systems; software;
6		mechanical, electrical, or plumbing systems; battery
7		systems; cooling systems and towers; temperature control
8		systems; other cabling; and other data center
9		infrastructure equipment and systems necessary to operate
10		qualified tangible personal property, including fixtures;
11		and component parts of any of the foregoing, including
12		installation, maintenance, repair, refurbishment, and
13		replacement of qualified tangible personal property to
14		generate, transform, transmit, distribute, or manage
15		electricity necessary to operate qualified tangible
16		personal property; and all other tangible personal
17		property that is essential to the operations of a computer
18		data center. The term "qualified tangible personal
19		property" also includes building materials physically
20		incorporated in to the qualifying data center. To document
21		the exemption allowed under this Section, the retailer must
22		obtain from the purchaser a copy of the certificate of
23		eligibility issued by the Department of Commerce and
24		Economic Opportunity.
25		This item (32) is exempt from the provisions of Section
26		3-55.

SB0690 Enrolled - 115 - LRB101 04451 HLH 49459 b
1		(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
2		100-22, eff. 7-6-17; 100-594, eff. 6-29-18; 100-1171, eff.
3		1-4-19; revised 1-8-19.)
4		Section 15-45. The Retailers' Occupation Tax Act is amended
5		by changing Sections 1, 2, 2-5, 2-12, and 2a as follows:
6		(35 ILCS 120/1) (from Ch. 120, par. 440)
7		Sec. 1. Definitions. "Sale at retail" means any transfer of
8		the ownership of or title to tangible personal property to a
9		purchaser, for the purpose of use or consumption, and not for
10		the purpose of resale in any form as tangible personal property
11		to the extent not first subjected to a use for which it was
12		purchased, for a valuable consideration: Provided that the
13		property purchased is deemed to be purchased for the purpose of
14		resale, despite first being used, to the extent to which it is
15		resold as an ingredient of an intentionally produced product or
16		byproduct of manufacturing. For this purpose, slag produced as
17		an incident to manufacturing pig iron or steel and sold is
18		considered to be an intentionally produced byproduct of
19		manufacturing. Transactions whereby the possession of the
20		property is transferred but the seller retains the title as
21		security for payment of the selling price shall be deemed to be
22		sales.
23		"Sale at retail" shall be construed to include any transfer
24		of the ownership of or title to tangible personal property to a

SB0690 Enrolled - 116 - LRB101 04451 HLH 49459 b
1		purchaser, for use or consumption by any other person to whom
2		such purchaser may transfer the tangible personal property
3		without a valuable consideration, and to include any transfer,
4		whether made for or without a valuable consideration, for
5		resale in any form as tangible personal property unless made in
6		compliance with Section 2c of this Act.
7		Sales of tangible personal property, which property, to the
8		extent not first subjected to a use for which it was purchased,
9		as an ingredient or constituent, goes into and forms a part of
10		tangible personal property subsequently the subject of a "Sale
11		at retail", are not sales at retail as defined in this Act:
12		Provided that the property purchased is deemed to be purchased
13		for the purpose of resale, despite first being used, to the
14		extent to which it is resold as an ingredient of an
15		intentionally produced product or byproduct of manufacturing.
16		"Sale at retail" shall be construed to include any Illinois
17		florist's sales transaction in which the purchase order is
18		received in Illinois by a florist and the sale is for use or
19		consumption, but the Illinois florist has a florist in another
20		state deliver the property to the purchaser or the purchaser's
21		donee in such other state.
22		Nonreusable tangible personal property that is used by
23		persons engaged in the business of operating a restaurant,
24		cafeteria, or drive-in is a sale for resale when it is
25		transferred to customers in the ordinary course of business as
26		part of the sale of food or beverages and is used to deliver,

SB0690 Enrolled - 117 - LRB101 04451 HLH 49459 b
1		package, or consume food or beverages, regardless of where
2		consumption of the food or beverages occurs. Examples of those
3		items include, but are not limited to nonreusable, paper and
4		plastic cups, plates, baskets, boxes, sleeves, buckets or other
5		containers, utensils, straws, placemats, napkins, doggie bags,
6		and wrapping or packaging materials that are transferred to
7		customers as part of the sale of food or beverages in the
8		ordinary course of business.
9		The purchase, employment and transfer of such tangible
10		personal property as newsprint and ink for the primary purpose
11		of conveying news (with or without other information) is not a
12		purchase, use or sale of tangible personal property.
13		A person whose activities are organized and conducted
14		primarily as a not-for-profit service enterprise, and who
15		engages in selling tangible personal property at retail
16		(whether to the public or merely to members and their guests)
17		is engaged in the business of selling tangible personal
18		property at retail with respect to such transactions, excepting
19		only a person organized and operated exclusively for
20		charitable, religious or educational purposes either (1), to
21		the extent of sales by such person to its members, students,
22		patients or inmates of tangible personal property to be used
23		primarily for the purposes of such person, or (2), to the
24		extent of sales by such person of tangible personal property
25		which is not sold or offered for sale by persons organized for
26		profit. The selling of school books and school supplies by

SB0690 Enrolled - 118 - LRB101 04451 HLH 49459 b
1		schools at retail to students is not "primarily for the
2		purposes of" the school which does such selling. The provisions
3		of this paragraph shall not apply to nor subject to taxation
4		occasional dinners, socials or similar activities of a person
5		organized and operated exclusively for charitable, religious
6		or educational purposes, whether or not such activities are
7		open to the public.
8		A person who is the recipient of a grant or contract under
9		Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
10		serves meals to participants in the federal Nutrition Program
11		for the Elderly in return for contributions established in
12		amount by the individual participant pursuant to a schedule of
13		suggested fees as provided for in the federal Act is not
14		engaged in the business of selling tangible personal property
15		at retail with respect to such transactions.
16		"Purchaser" means anyone who, through a sale at retail,
17		acquires the ownership of or title to tangible personal
18		property for a valuable consideration.
19		"Reseller of motor fuel" means any person engaged in the
20		business of selling or delivering or transferring title of
21		motor fuel to another person other than for use or consumption.
22		No person shall act as a reseller of motor fuel within this
23		State without first being registered as a reseller pursuant to
24		Section 2c or a retailer pursuant to Section 2a.
25		"Selling price" or the "amount of sale" means the
26		consideration for a sale valued in money whether received in

SB0690 Enrolled - 119 - LRB101 04451 HLH 49459 b
1		money or otherwise, including cash, credits, property, other
2		than as hereinafter provided, and services, but, prior to
3		January 1, 2020, not including the value of or credit given for
4		traded-in tangible personal property where the item that is
5		traded-in is of like kind and character as that which is being
6		sold; beginning January 1, 2020, "selling price" includes the
7		portion of the value of or credit given for traded-in motor
8		vehicles of the First Division as defined in Section 1-146 of
9		the Illinois Vehicle Code of like kind and character as that
10		which is being sold that exceeds $10,000. "Selling price" , and
11		shall be determined without any deduction on account of the
12		cost of the property sold, the cost of materials used, labor or
13		service cost or any other expense whatsoever, but does not
14		include charges that are added to prices by sellers on account
15		of the seller's tax liability under this Act, or on account of
16		the seller's duty to collect, from the purchaser, the tax that
17		is imposed by the Use Tax Act, or, except as otherwise provided
18		with respect to any cigarette tax imposed by a home rule unit,
19		on account of the seller's tax liability under any local
20		occupation tax administered by the Department, or, except as
21		otherwise provided with respect to any cigarette tax imposed by
22		a home rule unit on account of the seller's duty to collect,
23		from the purchasers, the tax that is imposed under any local
24		use tax administered by the Department. Effective December 1,
25		1985, "selling price" shall include charges that are added to
26		prices by sellers on account of the seller's tax liability

SB0690 Enrolled - 120 - LRB101 04451 HLH 49459 b
1		under the Cigarette Tax Act, on account of the sellers' duty to
2		collect, from the purchaser, the tax imposed under the
3		Cigarette Use Tax Act, and on account of the seller's duty to
4		collect, from the purchaser, any cigarette tax imposed by a
5		home rule unit.
6		Notwithstanding any law to the contrary, for any motor
7		vehicle, as defined in Section 1-146 of the Vehicle Code, that
8		is sold on or after January 1, 2015 for the purpose of leasing
9		the vehicle for a defined period that is longer than one year
10		and (1) is a motor vehicle of the second division that: (A) is
11		a self-contained motor vehicle designed or permanently
12		converted to provide living quarters for recreational,
13		camping, or travel use, with direct walk through access to the
14		living quarters from the driver's seat; (B) is of the van
15		configuration designed for the transportation of not less than
16		7 nor more than 16 passengers; or (C) has a gross vehicle
17		weight rating of 8,000 pounds or less or (2) is a motor vehicle
18		of the first division, "selling price" or "amount of sale"
19		means the consideration received by the lessor pursuant to the
20		lease contract, including amounts due at lease signing and all
21		monthly or other regular payments charged over the term of the
22		lease. Also included in the selling price is any amount
23		received by the lessor from the lessee for the leased vehicle
24		that is not calculated at the time the lease is executed,
25		including, but not limited to, excess mileage charges and
26		charges for excess wear and tear. For sales that occur in

SB0690 Enrolled - 121 - LRB101 04451 HLH 49459 b
1		Illinois, with respect to any amount received by the lessor
2		from the lessee for the leased vehicle that is not calculated
3		at the time the lease is executed, the lessor who purchased the
4		motor vehicle does not incur the tax imposed by the Use Tax Act
5		on those amounts, and the retailer who makes the retail sale of
6		the motor vehicle to the lessor is not required to collect the
7		tax imposed by the Use Tax Act or to pay the tax imposed by this
8		Act on those amounts. However, the lessor who purchased the
9		motor vehicle assumes the liability for reporting and paying
10		the tax on those amounts directly to the Department in the same
11		form (Illinois Retailers' Occupation Tax, and local retailers'
12		occupation taxes, if applicable) in which the retailer would
13		have reported and paid such tax if the retailer had accounted
14		for the tax to the Department. For amounts received by the
15		lessor from the lessee that are not calculated at the time the
16		lease is executed, the lessor must file the return and pay the
17		tax to the Department by the due date otherwise required by
18		this Act for returns other than transaction returns. If the
19		retailer is entitled under this Act to a discount for
20		collecting and remitting the tax imposed under this Act to the
21		Department with respect to the sale of the motor vehicle to the
22		lessor, then the right to the discount provided in this Act
23		shall be transferred to the lessor with respect to the tax paid
24		by the lessor for any amount received by the lessor from the
25		lessee for the leased vehicle that is not calculated at the
26		time the lease is executed; provided that the discount is only

SB0690 Enrolled - 122 - LRB101 04451 HLH 49459 b
1		allowed if the return is timely filed and for amounts timely
2		paid. The "selling price" of a motor vehicle that is sold on or
3		after January 1, 2015 for the purpose of leasing for a defined
4		period of longer than one year shall not be reduced by the
5		value of or credit given for traded-in tangible personal
6		property owned by the lessor, nor shall it be reduced by the
7		value of or credit given for traded-in tangible personal
8		property owned by the lessee, regardless of whether the
9		trade-in value thereof is assigned by the lessee to the lessor.
10		In the case of a motor vehicle that is sold for the purpose of
11		leasing for a defined period of longer than one year, the sale
12		occurs at the time of the delivery of the vehicle, regardless
13		of the due date of any lease payments. A lessor who incurs a
14		Retailers' Occupation Tax liability on the sale of a motor
15		vehicle coming off lease may not take a credit against that
16		liability for the Use Tax the lessor paid upon the purchase of
17		the motor vehicle (or for any tax the lessor paid with respect
18		to any amount received by the lessor from the lessee for the
19		leased vehicle that was not calculated at the time the lease
20		was executed) if the selling price of the motor vehicle at the
21		time of purchase was calculated using the definition of
22		"selling price" as defined in this paragraph. Notwithstanding
23		any other provision of this Act to the contrary, lessors shall
24		file all returns and make all payments required under this
25		paragraph to the Department by electronic means in the manner
26		and form as required by the Department. This paragraph does not

SB0690 Enrolled - 123 - LRB101 04451 HLH 49459 b
1		apply to leases of motor vehicles for which, at the time the
2		lease is entered into, the term of the lease is not a defined
3		period, including leases with a defined initial period with the
4		option to continue the lease on a month-to-month or other basis
5		beyond the initial defined period.
6		The phrase "like kind and character" shall be liberally
7		construed (including but not limited to any form of motor
8		vehicle for any form of motor vehicle, or any kind of farm or
9		agricultural implement for any other kind of farm or
10		agricultural implement), while not including a kind of item
11		which, if sold at retail by that retailer, would be exempt from
12		retailers' occupation tax and use tax as an isolated or
13		occasional sale.
14		"Gross receipts" from the sales of tangible personal
15		property at retail means the total selling price or the amount
16		of such sales, as hereinbefore defined. In the case of charge
17		and time sales, the amount thereof shall be included only as
18		and when payments are received by the seller. Receipts or other
19		consideration derived by a seller from the sale, transfer or
20		assignment of accounts receivable to a wholly owned subsidiary
21		will not be deemed payments prior to the time the purchaser
22		makes payment on such accounts.
23		"Department" means the Department of Revenue.
24		"Person" means any natural individual, firm, partnership,
25		association, joint stock company, joint adventure, public or
26		private corporation, limited liability company, or a receiver,

SB0690 Enrolled - 124 - LRB101 04451 HLH 49459 b
1		executor, trustee, guardian or other representative appointed
2		by order of any court.
3		The isolated or occasional sale of tangible personal
4		property at retail by a person who does not hold himself out as
5		being engaged (or who does not habitually engage) in selling
6		such tangible personal property at retail, or a sale through a
7		bulk vending machine, does not constitute engaging in a
8		business of selling such tangible personal property at retail
9		within the meaning of this Act; provided that any person who is
10		engaged in a business which is not subject to the tax imposed
11		by this Act because of involving the sale of or a contract to
12		sell real estate or a construction contract to improve real
13		estate or a construction contract to engineer, install, and
14		maintain an integrated system of products, but who, in the
15		course of conducting such business, transfers tangible
16		personal property to users or consumers in the finished form in
17		which it was purchased, and which does not become real estate
18		or was not engineered and installed, under any provision of a
19		construction contract or real estate sale or real estate sales
20		agreement entered into with some other person arising out of or
21		because of such nontaxable business, is engaged in the business
22		of selling tangible personal property at retail to the extent
23		of the value of the tangible personal property so transferred.
24		If, in such a transaction, a separate charge is made for the
25		tangible personal property so transferred, the value of such
26		property, for the purpose of this Act, shall be the amount so

SB0690 Enrolled - 125 - LRB101 04451 HLH 49459 b
1		separately charged, but not less than the cost of such property
2		to the transferor; if no separate charge is made, the value of
3		such property, for the purposes of this Act, is the cost to the
4		transferor of such tangible personal property. Construction
5		contracts for the improvement of real estate consisting of
6		engineering, installation, and maintenance of voice, data,
7		video, security, and all telecommunication systems do not
8		constitute engaging in a business of selling tangible personal
9		property at retail within the meaning of this Act if they are
10		sold at one specified contract price.
11		A person who holds himself or herself out as being engaged
12		(or who habitually engages) in selling tangible personal
13		property at retail is a person engaged in the business of
14		selling tangible personal property at retail hereunder with
15		respect to such sales (and not primarily in a service
16		occupation) notwithstanding the fact that such person designs
17		and produces such tangible personal property on special order
18		for the purchaser and in such a way as to render the property
19		of value only to such purchaser, if such tangible personal
20		property so produced on special order serves substantially the
21		same function as stock or standard items of tangible personal
22		property that are sold at retail.
23		Persons who engage in the business of transferring tangible
24		personal property upon the redemption of trading stamps are
25		engaged in the business of selling such property at retail and
26		shall be liable for and shall pay the tax imposed by this Act

SB0690 Enrolled - 126 - LRB101 04451 HLH 49459 b
1		on the basis of the retail value of the property transferred
2		upon redemption of such stamps.
3		"Bulk vending machine" means a vending machine, containing
4		unsorted confections, nuts, toys, or other items designed
5		primarily to be used or played with by children which, when a
6		coin or coins of a denomination not larger than $0.50 are
7		inserted, are dispensed in equal portions, at random and
8		without selection by the customer.
9		"Remote retailer" means a retailer located outside of this
10		State that does not maintain within this State, directly or by
11		a subsidiary, an office, distribution house, sales house,
12		warehouse or other place of business, or any agent or other
13		representative operating within this State under the authority
14		of the retailer or its subsidiary, irrespective of whether such
15		place of business or agent is located here permanently or
16		temporarily or whether such retailer or subsidiary is licensed
17		to do business in this State.
18		(Source: P.A. 98-628, eff. 1-1-15; 98-1080, eff. 8-26-14.)
19		(35 ILCS 120/2) (from Ch. 120, par. 441)
20		Sec. 2. Tax imposed.
21		(a) A tax is imposed upon persons engaged in the business
22		of selling at retail tangible personal property, including
23		computer software, and including photographs, negatives, and
24		positives that are the product of photoprocessing, but not
25		including products of photoprocessing produced for use in

SB0690 Enrolled - 127 - LRB101 04451 HLH 49459 b
1		motion pictures for public commercial exhibition. Beginning
2		January 1, 2001, prepaid telephone calling arrangements shall
3		be considered tangible personal property subject to the tax
4		imposed under this Act regardless of the form in which those
5		arrangements may be embodied, transmitted, or fixed by any
6		method now known or hereafter developed. Sales of (1)
7		electricity delivered to customers by wire; (2) natural or
8		artificial gas that is delivered to customers through pipes,
9		pipelines, or mains; and (3) water that is delivered to
10		customers through pipes, pipelines, or mains are not subject to
11		tax under this Act. The provisions of this amendatory Act of
12		the 98th General Assembly are declaratory of existing law as to
13		the meaning and scope of this Act.
14		(b) Beginning on July 1, 2020, a remote retailer is engaged
15		in the occupation of selling at retail in Illinois for purposes
16		of this Act, if:
17		(1) the cumulative gross receipts from sales of
18		tangible personal property to purchasers in Illinois are
19		$100,000 or more; or
20		(2) the retailer enters into 200 or more separate
21		transactions for the sale of tangible personal property to
22		purchasers in Illinois.
23		Remote retailers that meet or exceed the threshold in
24		either paragraph (1) or (2) above shall be liable for all
25		applicable State and locally imposed retailers' occupation
26		taxes on all retail sales to Illinois purchasers.

SB0690 Enrolled - 128 - LRB101 04451 HLH 49459 b
1		The remote retailer shall determine on a quarterly basis,
2		ending on the last day of March, June, September, and December,
3		whether he or she meets the criteria of either paragraph (1) or
4		(2) of this subsection for the preceding 12-month period. If
5		the retailer meets the criteria of either paragraph (1) or (2)
6		for a 12-month period, he or she is considered a retailer
7		maintaining a place of business in this State and is required
8		to collect and remit the tax imposed under this Act and all
9		retailers' occupation tax imposed by local taxing
10		jurisdictions in Illinois, provided such local taxes are
11		administered by the Department, and to file all applicable
12		returns for one year. At the end of that one-year period, the
13		retailer shall determine whether the retailer met the criteria
14		of either paragraph (1) or (2) for the preceding 12-month
15		period. If the retailer met the criteria in either paragraph
16		(1) or (2) for the preceding 12-month period, he or she is
17		considered a retailer maintaining a place of business in this
18		State and is required to collect and remit all applicable State
19		and local retailers' occupation taxes and file returns for the
20		subsequent year. If, at the end of a one-year period, a
21		retailer that was required to collect and remit the tax imposed
22		under this Act determines that he or she did not meet the
23		criteria in either paragraph (1) or (2) during the preceding
24		12-month period, then the retailer shall subsequently
25		determine on a quarterly basis, ending on the last day of
26		March, June, September, and December, whether he or she meets

SB0690 Enrolled - 129 - LRB101 04451 HLH 49459 b
1		the criteria of either paragraph (1) or (2) for the preceding
2		12-month period.
3		(Source: P.A. 98-583, eff. 1-1-14.)
4		(35 ILCS 120/2-5)
5		Sec. 2-5. Exemptions. Gross receipts from proceeds from the
6		sale of the following tangible personal property are exempt
7		from the tax imposed by this Act:
8		(1) Farm chemicals.
9		(2) Farm machinery and equipment, both new and used,
10		including that manufactured on special order, certified by
11		the purchaser to be used primarily for production
12		agriculture or State or federal agricultural programs,
13		including individual replacement parts for the machinery
14		and equipment, including machinery and equipment purchased
15		for lease, and including implements of husbandry defined in
16		Section 1-130 of the Illinois Vehicle Code, farm machinery
17		and agricultural chemical and fertilizer spreaders, and
18		nurse wagons required to be registered under Section 3-809
19		of the Illinois Vehicle Code, but excluding other motor
20		vehicles required to be registered under the Illinois
21		Vehicle Code. Horticultural polyhouses or hoop houses used
22		for propagating, growing, or overwintering plants shall be
23		considered farm machinery and equipment under this item
24		(2). Agricultural chemical tender tanks and dry boxes shall
25		include units sold separately from a motor vehicle required

SB0690 Enrolled - 130 - LRB101 04451 HLH 49459 b
1		to be licensed and units sold mounted on a motor vehicle
2		required to be licensed, if the selling price of the tender
3		is separately stated.
4		Farm machinery and equipment shall include precision
5		farming equipment that is installed or purchased to be
6		installed on farm machinery and equipment including, but
7		not limited to, tractors, harvesters, sprayers, planters,
8		seeders, or spreaders. Precision farming equipment
9		includes, but is not limited to, soil testing sensors,
10		computers, monitors, software, global positioning and
11		mapping systems, and other such equipment.
12		Farm machinery and equipment also includes computers,
13		sensors, software, and related equipment used primarily in
14		the computer-assisted operation of production agriculture
15		facilities, equipment, and activities such as, but not
16		limited to, the collection, monitoring, and correlation of
17		animal and crop data for the purpose of formulating animal
18		diets and agricultural chemicals. This item (2) is exempt
19		from the provisions of Section 2-70.
20		(3) Until July 1, 2003, distillation machinery and
21		equipment, sold as a unit or kit, assembled or installed by
22		the retailer, certified by the user to be used only for the
23		production of ethyl alcohol that will be used for
24		consumption as motor fuel or as a component of motor fuel
25		for the personal use of the user, and not subject to sale
26		or resale.

SB0690 Enrolled - 131 - LRB101 04451 HLH 49459 b
1		(4) Until July 1, 2003 and beginning again September 1,
2		2004 through August 30, 2014, graphic arts machinery and
3		equipment, including repair and replacement parts, both
4		new and used, and including that manufactured on special
5		order or purchased for lease, certified by the purchaser to
6		be used primarily for graphic arts production. Equipment
7		includes chemicals or chemicals acting as catalysts but
8		only if the chemicals or chemicals acting as catalysts
9		effect a direct and immediate change upon a graphic arts
10		product. Beginning on July 1, 2017, graphic arts machinery
11		and equipment is included in the manufacturing and
12		assembling machinery and equipment exemption under
13		paragraph (14).
14		(5) A motor vehicle that is used for automobile
15		renting, as defined in the Automobile Renting Occupation
16		and Use Tax Act. This paragraph is exempt from the
17		provisions of Section 2-70.
18		(6) Personal property sold by a teacher-sponsored
19		student organization affiliated with an elementary or
20		secondary school located in Illinois.
21		(7) Until July 1, 2003, proceeds of that portion of the
22		selling price of a passenger car the sale of which is
23		subject to the Replacement Vehicle Tax.
24		(8) Personal property sold to an Illinois county fair
25		association for use in conducting, operating, or promoting
26		the county fair.

SB0690 Enrolled - 132 - LRB101 04451 HLH 49459 b
1		(9) Personal property sold to a not-for-profit arts or
2		cultural organization that establishes, by proof required
3		by the Department by rule, that it has received an
4		exemption under Section 501(c)(3) of the Internal Revenue
5		Code and that is organized and operated primarily for the
6		presentation or support of arts or cultural programming,
7		activities, or services. These organizations include, but
8		are not limited to, music and dramatic arts organizations
9		such as symphony orchestras and theatrical groups, arts and
10		cultural service organizations, local arts councils,
11		visual arts organizations, and media arts organizations.
12		On and after July 1, 2001 (the effective date of Public Act
13		92-35), however, an entity otherwise eligible for this
14		exemption shall not make tax-free purchases unless it has
15		an active identification number issued by the Department.
16		(10) Personal property sold by a corporation, society,
17		association, foundation, institution, or organization,
18		other than a limited liability company, that is organized
19		and operated as a not-for-profit service enterprise for the
20		benefit of persons 65 years of age or older if the personal
21		property was not purchased by the enterprise for the
22		purpose of resale by the enterprise.
23		(11) Personal property sold to a governmental body, to
24		a corporation, society, association, foundation, or
25		institution organized and operated exclusively for
26		charitable, religious, or educational purposes, or to a

SB0690 Enrolled - 133 - LRB101 04451 HLH 49459 b
1		not-for-profit corporation, society, association,
2		foundation, institution, or organization that has no
3		compensated officers or employees and that is organized and
4		operated primarily for the recreation of persons 55 years
5		of age or older. A limited liability company may qualify
6		for the exemption under this paragraph only if the limited
7		liability company is organized and operated exclusively
8		for educational purposes. On and after July 1, 1987,
9		however, no entity otherwise eligible for this exemption
10		shall make tax-free purchases unless it has an active
11		identification number issued by the Department.
12		(12) (Blank).
13		(12-5) On and after July 1, 2003 and through June 30,
14		2004, motor vehicles of the second division with a gross
15		vehicle weight in excess of 8,000 pounds that are subject
16		to the commercial distribution fee imposed under Section
17		3-815.1 of the Illinois Vehicle Code. Beginning on July 1,
18		2004 and through June 30, 2005, the use in this State of
19		motor vehicles of the second division: (i) with a gross
20		vehicle weight rating in excess of 8,000 pounds; (ii) that
21		are subject to the commercial distribution fee imposed
22		under Section 3-815.1 of the Illinois Vehicle Code; and
23		(iii) that are primarily used for commercial purposes.
24		Through June 30, 2005, this exemption applies to repair and
25		replacement parts added after the initial purchase of such
26		a motor vehicle if that motor vehicle is used in a manner

SB0690 Enrolled - 134 - LRB101 04451 HLH 49459 b
1		that would qualify for the rolling stock exemption
2		otherwise provided for in this Act. For purposes of this
3		paragraph, "used for commercial purposes" means the
4		transportation of persons or property in furtherance of any
5		commercial or industrial enterprise whether for-hire or
6		not.
7		(13) Proceeds from sales to owners, lessors, or
8		shippers of tangible personal property that is utilized by
9		interstate carriers for hire for use as rolling stock
10		moving in interstate commerce and equipment operated by a
11		telecommunications provider, licensed as a common carrier
12		by the Federal Communications Commission, which is
13		permanently installed in or affixed to aircraft moving in
14		interstate commerce.
15		(14) Machinery and equipment that will be used by the
16		purchaser, or a lessee of the purchaser, primarily in the
17		process of manufacturing or assembling tangible personal
18		property for wholesale or retail sale or lease, whether the
19		sale or lease is made directly by the manufacturer or by
20		some other person, whether the materials used in the
21		process are owned by the manufacturer or some other person,
22		or whether the sale or lease is made apart from or as an
23		incident to the seller's engaging in the service occupation
24		of producing machines, tools, dies, jigs, patterns,
25		gauges, or other similar items of no commercial value on
26		special order for a particular purchaser. The exemption

SB0690 Enrolled - 135 - LRB101 04451 HLH 49459 b
1		provided by this paragraph (14) does not include machinery
2		and equipment used in (i) the generation of electricity for
3		wholesale or retail sale; (ii) the generation or treatment
4		of natural or artificial gas for wholesale or retail sale
5		that is delivered to customers through pipes, pipelines, or
6		mains; or (iii) the treatment of water for wholesale or
7		retail sale that is delivered to customers through pipes,
8		pipelines, or mains. The provisions of Public Act 98-583
9		are declaratory of existing law as to the meaning and scope
10		of this exemption. Beginning on July 1, 2017, the exemption
11		provided by this paragraph (14) includes, but is not
12		limited to, graphic arts machinery and equipment, as
13		defined in paragraph (4) of this Section.
14		(15) Proceeds of mandatory service charges separately
15		stated on customers' bills for purchase and consumption of
16		food and beverages, to the extent that the proceeds of the
17		service charge are in fact turned over as tips or as a
18		substitute for tips to the employees who participate
19		directly in preparing, serving, hosting or cleaning up the
20		food or beverage function with respect to which the service
21		charge is imposed.
22		(16) Tangible personal property sold to a purchaser if
23		the purchaser is exempt from use tax by operation of
24		federal law. This paragraph is exempt from the provisions
25		of Section 2-70.
26		(17) Tangible personal property sold to a common

SB0690 Enrolled - 136 - LRB101 04451 HLH 49459 b
1		carrier by rail or motor that receives the physical
2		possession of the property in Illinois and that transports
3		the property, or shares with another common carrier in the
4		transportation of the property, out of Illinois on a
5		standard uniform bill of lading showing the seller of the
6		property as the shipper or consignor of the property to a
7		destination outside Illinois, for use outside Illinois.
8		(18) Legal tender, currency, medallions, or gold or
9		silver coinage issued by the State of Illinois, the
10		government of the United States of America, or the
11		government of any foreign country, and bullion.
12		(19) Until July 1, 2003, oil field exploration,
13		drilling, and production equipment, including (i) rigs and
14		parts of rigs, rotary rigs, cable tool rigs, and workover
15		rigs, (ii) pipe and tubular goods, including casing and
16		drill strings, (iii) pumps and pump-jack units, (iv)
17		storage tanks and flow lines, (v) any individual
18		replacement part for oil field exploration, drilling, and
19		production equipment, and (vi) machinery and equipment
20		purchased for lease; but excluding motor vehicles required
21		to be registered under the Illinois Vehicle Code.
22		(20) Photoprocessing machinery and equipment,
23		including repair and replacement parts, both new and used,
24		including that manufactured on special order, certified by
25		the purchaser to be used primarily for photoprocessing, and
26		including photoprocessing machinery and equipment

SB0690 Enrolled - 137 - LRB101 04451 HLH 49459 b
1		purchased for lease.
2		(21) Until July 1, 2023, coal and aggregate
3		exploration, mining, off-highway hauling, processing,
4		maintenance, and reclamation equipment, including
5		replacement parts and equipment, and including equipment
6		purchased for lease, but excluding motor vehicles required
7		to be registered under the Illinois Vehicle Code. The
8		changes made to this Section by Public Act 97-767 apply on
9		and after July 1, 2003, but no claim for credit or refund
10		is allowed on or after August 16, 2013 (the effective date
11		of Public Act 98-456) for such taxes paid during the period
12		beginning July 1, 2003 and ending on August 16, 2013 (the
13		effective date of Public Act 98-456).
14		(22) Until June 30, 2013, fuel and petroleum products
15		sold to or used by an air carrier, certified by the carrier
16		to be used for consumption, shipment, or storage in the
17		conduct of its business as an air common carrier, for a
18		flight destined for or returning from a location or
19		locations outside the United States without regard to
20		previous or subsequent domestic stopovers.
21		Beginning July 1, 2013, fuel and petroleum products
22		sold to or used by an air carrier, certified by the carrier
23		to be used for consumption, shipment, or storage in the
24		conduct of its business as an air common carrier, for a
25		flight that (i) is engaged in foreign trade or is engaged
26		in trade between the United States and any of its

SB0690 Enrolled - 138 - LRB101 04451 HLH 49459 b
1		possessions and (ii) transports at least one individual or
2		package for hire from the city of origination to the city
3		of final destination on the same aircraft, without regard
4		to a change in the flight number of that aircraft.
5		(23) A transaction in which the purchase order is
6		received by a florist who is located outside Illinois, but
7		who has a florist located in Illinois deliver the property
8		to the purchaser or the purchaser's donee in Illinois.
9		(24) Fuel consumed or used in the operation of ships,
10		barges, or vessels that are used primarily in or for the
11		transportation of property or the conveyance of persons for
12		hire on rivers bordering on this State if the fuel is
13		delivered by the seller to the purchaser's barge, ship, or
14		vessel while it is afloat upon that bordering river.
15		(25) Except as provided in item (25-5) of this Section,
16		a motor vehicle sold in this State to a nonresident even
17		though the motor vehicle is delivered to the nonresident in
18		this State, if the motor vehicle is not to be titled in
19		this State, and if a drive-away permit is issued to the
20		motor vehicle as provided in Section 3-603 of the Illinois
21		Vehicle Code or if the nonresident purchaser has vehicle
22		registration plates to transfer to the motor vehicle upon
23		returning to his or her home state. The issuance of the
24		drive-away permit or having the out-of-state registration
25		plates to be transferred is prima facie evidence that the
26		motor vehicle will not be titled in this State.

SB0690 Enrolled - 139 - LRB101 04451 HLH 49459 b
1		(25-5) The exemption under item (25) does not apply if
2		the state in which the motor vehicle will be titled does
3		not allow a reciprocal exemption for a motor vehicle sold
4		and delivered in that state to an Illinois resident but
5		titled in Illinois. The tax collected under this Act on the
6		sale of a motor vehicle in this State to a resident of
7		another state that does not allow a reciprocal exemption
8		shall be imposed at a rate equal to the state's rate of tax
9		on taxable property in the state in which the purchaser is
10		a resident, except that the tax shall not exceed the tax
11		that would otherwise be imposed under this Act. At the time
12		of the sale, the purchaser shall execute a statement,
13		signed under penalty of perjury, of his or her intent to
14		title the vehicle in the state in which the purchaser is a
15		resident within 30 days after the sale and of the fact of
16		the payment to the State of Illinois of tax in an amount
17		equivalent to the state's rate of tax on taxable property
18		in his or her state of residence and shall submit the
19		statement to the appropriate tax collection agency in his
20		or her state of residence. In addition, the retailer must
21		retain a signed copy of the statement in his or her
22		records. Nothing in this item shall be construed to require
23		the removal of the vehicle from this state following the
24		filing of an intent to title the vehicle in the purchaser's
25		state of residence if the purchaser titles the vehicle in
26		his or her state of residence within 30 days after the date

SB0690 Enrolled - 140 - LRB101 04451 HLH 49459 b
1		of sale. The tax collected under this Act in accordance
2		with this item (25-5) shall be proportionately distributed
3		as if the tax were collected at the 6.25% general rate
4		imposed under this Act.
5		(25-7) Beginning on July 1, 2007, no tax is imposed
6		under this Act on the sale of an aircraft, as defined in
7		Section 3 of the Illinois Aeronautics Act, if all of the
8		following conditions are met:
9		(1) the aircraft leaves this State within 15 days
10		after the later of either the issuance of the final
11		billing for the sale of the aircraft, or the authorized
12		approval for return to service, completion of the
13		maintenance record entry, and completion of the test
14		flight and ground test for inspection, as required by
15		14 C.F.R. 91.407;
16		(2) the aircraft is not based or registered in this
17		State after the sale of the aircraft; and
18		(3) the seller retains in his or her books and
19		records and provides to the Department a signed and
20		dated certification from the purchaser, on a form
21		prescribed by the Department, certifying that the
22		requirements of this item (25-7) are met. The
23		certificate must also include the name and address of
24		the purchaser, the address of the location where the
25		aircraft is to be titled or registered, the address of
26		the primary physical location of the aircraft, and

SB0690 Enrolled - 141 - LRB101 04451 HLH 49459 b
1		other information that the Department may reasonably
2		require.
3		For purposes of this item (25-7):
4		"Based in this State" means hangared, stored, or
5		otherwise used, excluding post-sale customizations as
6		defined in this Section, for 10 or more days in each
7		12-month period immediately following the date of the sale
8		of the aircraft.
9		"Registered in this State" means an aircraft
10		registered with the Department of Transportation,
11		Aeronautics Division, or titled or registered with the
12		Federal Aviation Administration to an address located in
13		this State.
14		This paragraph (25-7) is exempt from the provisions of
15		Section 2-70.
16		(26) Semen used for artificial insemination of
17		livestock for direct agricultural production.
18		(27) Horses, or interests in horses, registered with
19		and meeting the requirements of any of the Arabian Horse
20		Club Registry of America, Appaloosa Horse Club, American
21		Quarter Horse Association, United States Trotting
22		Association, or Jockey Club, as appropriate, used for
23		purposes of breeding or racing for prizes. This item (27)
24		is exempt from the provisions of Section 2-70, and the
25		exemption provided for under this item (27) applies for all
26		periods beginning May 30, 1995, but no claim for credit or

SB0690 Enrolled - 142 - LRB101 04451 HLH 49459 b
1		refund is allowed on or after January 1, 2008 (the
2		effective date of Public Act 95-88) for such taxes paid
3		during the period beginning May 30, 2000 and ending on
4		January 1, 2008 (the effective date of Public Act 95-88).
5		(28) Computers and communications equipment utilized
6		for any hospital purpose and equipment used in the
7		diagnosis, analysis, or treatment of hospital patients
8		sold to a lessor who leases the equipment, under a lease of
9		one year or longer executed or in effect at the time of the
10		purchase, to a hospital that has been issued an active tax
11		exemption identification number by the Department under
12		Section 1g of this Act.
13		(29) Personal property sold to a lessor who leases the
14		property, under a lease of one year or longer executed or
15		in effect at the time of the purchase, to a governmental
16		body that has been issued an active tax exemption
17		identification number by the Department under Section 1g of
18		this Act.
19		(30) Beginning with taxable years ending on or after
20		December 31, 1995 and ending with taxable years ending on
21		or before December 31, 2004, personal property that is
22		donated for disaster relief to be used in a State or
23		federally declared disaster area in Illinois or bordering
24		Illinois by a manufacturer or retailer that is registered
25		in this State to a corporation, society, association,
26		foundation, or institution that has been issued a sales tax

SB0690 Enrolled - 143 - LRB101 04451 HLH 49459 b
1		exemption identification number by the Department that
2		assists victims of the disaster who reside within the
3		declared disaster area.
4		(31) Beginning with taxable years ending on or after
5		December 31, 1995 and ending with taxable years ending on
6		or before December 31, 2004, personal property that is used
7		in the performance of infrastructure repairs in this State,
8		including but not limited to municipal roads and streets,
9		access roads, bridges, sidewalks, waste disposal systems,
10		water and sewer line extensions, water distribution and
11		purification facilities, storm water drainage and
12		retention facilities, and sewage treatment facilities,
13		resulting from a State or federally declared disaster in
14		Illinois or bordering Illinois when such repairs are
15		initiated on facilities located in the declared disaster
16		area within 6 months after the disaster.
17		(32) Beginning July 1, 1999, game or game birds sold at
18		a "game breeding and hunting preserve area" as that term is
19		used in the Wildlife Code. This paragraph is exempt from
20		the provisions of Section 2-70.
21		(33) A motor vehicle, as that term is defined in
22		Section 1-146 of the Illinois Vehicle Code, that is donated
23		to a corporation, limited liability company, society,
24		association, foundation, or institution that is determined
25		by the Department to be organized and operated exclusively
26		for educational purposes. For purposes of this exemption,

SB0690 Enrolled - 144 - LRB101 04451 HLH 49459 b
1		"a corporation, limited liability company, society,
2		association, foundation, or institution organized and
3		operated exclusively for educational purposes" means all
4		tax-supported public schools, private schools that offer
5		systematic instruction in useful branches of learning by
6		methods common to public schools and that compare favorably
7		in their scope and intensity with the course of study
8		presented in tax-supported schools, and vocational or
9		technical schools or institutes organized and operated
10		exclusively to provide a course of study of not less than 6
11		weeks duration and designed to prepare individuals to
12		follow a trade or to pursue a manual, technical,
13		mechanical, industrial, business, or commercial
14		occupation.
15		(34) Beginning January 1, 2000, personal property,
16		including food, purchased through fundraising events for
17		the benefit of a public or private elementary or secondary
18		school, a group of those schools, or one or more school
19		districts if the events are sponsored by an entity
20		recognized by the school district that consists primarily
21		of volunteers and includes parents and teachers of the
22		school children. This paragraph does not apply to
23		fundraising events (i) for the benefit of private home
24		instruction or (ii) for which the fundraising entity
25		purchases the personal property sold at the events from
26		another individual or entity that sold the property for the

SB0690 Enrolled - 145 - LRB101 04451 HLH 49459 b
1		purpose of resale by the fundraising entity and that
2		profits from the sale to the fundraising entity. This
3		paragraph is exempt from the provisions of Section 2-70.
4		(35) Beginning January 1, 2000 and through December 31,
5		2001, new or used automatic vending machines that prepare
6		and serve hot food and beverages, including coffee, soup,
7		and other items, and replacement parts for these machines.
8		Beginning January 1, 2002 and through June 30, 2003,
9		machines and parts for machines used in commercial,
10		coin-operated amusement and vending business if a use or
11		occupation tax is paid on the gross receipts derived from
12		the use of the commercial, coin-operated amusement and
13		vending machines. This paragraph is exempt from the
14		provisions of Section 2-70.
15		(35-5) Beginning August 23, 2001 and through June 30,
16		2016, food for human consumption that is to be consumed off
17		the premises where it is sold (other than alcoholic
18		beverages, soft drinks, and food that has been prepared for
19		immediate consumption) and prescription and
20		nonprescription medicines, drugs, medical appliances, and
21		insulin, urine testing materials, syringes, and needles
22		used by diabetics, for human use, when purchased for use by
23		a person receiving medical assistance under Article V of
24		the Illinois Public Aid Code who resides in a licensed
25		long-term care facility, as defined in the Nursing Home
26		Care Act, or a licensed facility as defined in the ID/DD

SB0690 Enrolled - 146 - LRB101 04451 HLH 49459 b
1		Community Care Act, the MC/DD Act, or the Specialized
2		Mental Health Rehabilitation Act of 2013.
3		(36) Beginning August 2, 2001, computers and
4		communications equipment utilized for any hospital purpose
5		and equipment used in the diagnosis, analysis, or treatment
6		of hospital patients sold to a lessor who leases the
7		equipment, under a lease of one year or longer executed or
8		in effect at the time of the purchase, to a hospital that
9		has been issued an active tax exemption identification
10		number by the Department under Section 1g of this Act. This
11		paragraph is exempt from the provisions of Section 2-70.
12		(37) Beginning August 2, 2001, personal property sold
13		to a lessor who leases the property, under a lease of one
14		year or longer executed or in effect at the time of the
15		purchase, to a governmental body that has been issued an
16		active tax exemption identification number by the
17		Department under Section 1g of this Act. This paragraph is
18		exempt from the provisions of Section 2-70.
19		(38) Beginning on January 1, 2002 and through June 30,
20		2016, tangible personal property purchased from an
21		Illinois retailer by a taxpayer engaged in centralized
22		purchasing activities in Illinois who will, upon receipt of
23		the property in Illinois, temporarily store the property in
24		Illinois (i) for the purpose of subsequently transporting
25		it outside this State for use or consumption thereafter
26		solely outside this State or (ii) for the purpose of being

SB0690 Enrolled - 147 - LRB101 04451 HLH 49459 b
1		processed, fabricated, or manufactured into, attached to,
2		or incorporated into other tangible personal property to be
3		transported outside this State and thereafter used or
4		consumed solely outside this State. The Director of Revenue
5		shall, pursuant to rules adopted in accordance with the
6		Illinois Administrative Procedure Act, issue a permit to
7		any taxpayer in good standing with the Department who is
8		eligible for the exemption under this paragraph (38). The
9		permit issued under this paragraph (38) shall authorize the
10		holder, to the extent and in the manner specified in the
11		rules adopted under this Act, to purchase tangible personal
12		property from a retailer exempt from the taxes imposed by
13		this Act. Taxpayers shall maintain all necessary books and
14		records to substantiate the use and consumption of all such
15		tangible personal property outside of the State of
16		Illinois.
17		(39) Beginning January 1, 2008, tangible personal
18		property used in the construction or maintenance of a
19		community water supply, as defined under Section 3.145 of
20		the Environmental Protection Act, that is operated by a
21		not-for-profit corporation that holds a valid water supply
22		permit issued under Title IV of the Environmental
23		Protection Act. This paragraph is exempt from the
24		provisions of Section 2-70.
25		(40) Beginning January 1, 2010, materials, parts,
26		equipment, components, and furnishings incorporated into

SB0690 Enrolled - 148 - LRB101 04451 HLH 49459 b
1		or upon an aircraft as part of the modification,
2		refurbishment, completion, replacement, repair, or
3		maintenance of the aircraft. This exemption includes
4		consumable supplies used in the modification,
5		refurbishment, completion, replacement, repair, and
6		maintenance of aircraft, but excludes any materials,
7		parts, equipment, components, and consumable supplies used
8		in the modification, replacement, repair, and maintenance
9		of aircraft engines or power plants, whether such engines
10		or power plants are installed or uninstalled upon any such
11		aircraft. "Consumable supplies" include, but are not
12		limited to, adhesive, tape, sandpaper, general purpose
13		lubricants, cleaning solution, latex gloves, and
14		protective films. This exemption applies only to the sale
15		of qualifying tangible personal property to persons who
16		modify, refurbish, complete, replace, or maintain an
17		aircraft and who (i) hold an Air Agency Certificate and are
18		empowered to operate an approved repair station by the
19		Federal Aviation Administration, (ii) have a Class IV
20		Rating, and (iii) conduct operations in accordance with
21		Part 145 of the Federal Aviation Regulations. The exemption
22		does not include aircraft operated by a commercial air
23		carrier providing scheduled passenger air service pursuant
24		to authority issued under Part 121 or Part 129 of the
25		Federal Aviation Regulations. The changes made to this
26		paragraph (40) by Public Act 98-534 are declarative of

SB0690 Enrolled - 149 - LRB101 04451 HLH 49459 b
1		existing law.
2		(41) Tangible personal property sold to a
3		public-facilities corporation, as described in Section
4		11-65-10 of the Illinois Municipal Code, for purposes of
5		constructing or furnishing a municipal convention hall,
6		but only if the legal title to the municipal convention
7		hall is transferred to the municipality without any further
8		consideration by or on behalf of the municipality at the
9		time of the completion of the municipal convention hall or
10		upon the retirement or redemption of any bonds or other
11		debt instruments issued by the public-facilities
12		corporation in connection with the development of the
13		municipal convention hall. This exemption includes
14		existing public-facilities corporations as provided in
15		Section 11-65-25 of the Illinois Municipal Code. This
16		paragraph is exempt from the provisions of Section 2-70.
17		(42) Beginning January 1, 2017, menstrual pads,
18		tampons, and menstrual cups.
19		(43) Merchandise that is subject to the Rental Purchase
20		Agreement Occupation and Use Tax. The purchaser must
21		certify that the item is purchased to be rented subject to
22		a rental purchase agreement, as defined in the Rental
23		Purchase Agreement Act, and provide proof of registration
24		under the Rental Purchase Agreement Occupation and Use Tax
25		Act. This paragraph is exempt from the provisions of
26		Section 2-70.

SB0690 Enrolled - 150 - LRB101 04451 HLH 49459 b
1		(44) Qualified tangible personal property used in the
2		construction or operation of a data center that has been
3		granted a certificate of exemption by the Department of
4		Commerce and Economic Opportunity, whether that tangible
5		personal property is purchased by the owner, operator, or
6		tenant of the data center or by a contractor or
7		subcontractor of the owner, operator, or tenant. Data
8		centers that would have qualified for a certificate of
9		exemption prior to January 1, 2020 had this amendatory Act
10		of the 101st General Assembly been in effect, may apply for
11		and obtain an exemption for subsequent purchases of
12		computer equipment or enabling software purchased or
13		leased to upgrade, supplement, or replace computer
14		equipment or enabling software purchased or leased in the
15		original investment that would have qualified.
16		The Department of Commerce and Economic Opportunity
17		shall grant a certificate of exemption under this item (44)
18		to qualified data centers as defined by Section 605-1025 of
19		the Department of Commerce and Economic Opportunity Law of
20		the Civil Administrative Code of Illinois.
21		For the purposes of this item (44):
22		"Data center" means a building or a series of
23		buildings rehabilitated or constructed to house
24		working servers in one physical location or multiple
25		sites within the State of Illinois.
26		"Qualified tangible personal property" means:

SB0690 Enrolled - 151 - LRB101 04451 HLH 49459 b
1		electrical systems and equipment; climate control and
2		chilling equipment and systems; mechanical systems and
3		equipment; monitoring and secure systems; emergency
4		generators; hardware; computers; servers; data storage
5		devices; network connectivity equipment; racks;
6		cabinets; telecommunications cabling infrastructure;
7		raised floor systems; peripheral components or
8		systems; software; mechanical, electrical, or plumbing
9		systems; battery systems; cooling systems and towers;
10		temperature control systems; other cabling; and other
11		data center infrastructure equipment and systems
12		necessary to operate qualified tangible personal
13		property, including fixtures; and component parts of
14		any of the foregoing, including installation,
15		maintenance, repair, refurbishment, and replacement of
16		qualified tangible personal property to generate,
17		transform, transmit, distribute, or manage electricity
18		necessary to operate qualified tangible personal
19		property; and all other tangible personal property
20		that is essential to the operations of a computer data
21		center. The term "qualified tangible personal
22		property" also includes building materials physically
23		incorporated in to the qualifying data center. To
24		document the exemption allowed under this Section, the
25		retailer must obtain from the purchaser a copy of the
26		certificate of eligibility issued by the Department of

SB0690 Enrolled - 152 - LRB101 04451 HLH 49459 b
1		Commerce and Economic Opportunity.
2		This item (44) is exempt from the provisions of Section
3		2-70.
4		(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
5		100-22, eff. 7-6-17; 100-321, eff. 8-24-17; 100-437, eff.
6		1-1-18; 100-594, eff. 6-29-18; 100-863, eff. 8-14-18;
7		100-1171, eff. 1-4-19; revised 1-8-19.)
8		(35 ILCS 120/2-12)
9		Sec. 2-12. Location where retailer is deemed to be engaged
10		in the business of selling. The purpose of this Section is to
11		specify where a retailer is deemed to be engaged in the
12		business of selling tangible personal property for the purposes
13		of this Act, the Use Tax Act, the Service Use Tax Act, and the
14		Service Occupation Tax Act, and for the purpose of collecting
15		any other local retailers' occupation tax administered by the
16		Department. This Section applies only with respect to the
17		particular selling activities described in the following
18		paragraphs. The provisions of this Section are not intended to,
19		and shall not be interpreted to, affect where a retailer is
20		deemed to be engaged in the business of selling with respect to
21		any activity that is not specifically described in the
22		following paragraphs.
23		(1) If a purchaser who is present at the retailer's
24		place of business, having no prior commitment to the
25		retailer, agrees to purchase and makes payment for tangible

SB0690 Enrolled - 153 - LRB101 04451 HLH 49459 b
1		personal property at the retailer's place of business, then
2		the transaction shall be deemed an over-the-counter sale
3		occurring at the retailer's same place of business where
4		the purchaser was present and made payment for that
5		tangible personal property if the retailer regularly
6		stocks the purchased tangible personal property or similar
7		tangible personal property in the quantity, or similar
8		quantity, for sale at the retailer's same place of business
9		and then either (i) the purchaser takes possession of the
10		tangible personal property at the same place of business or
11		(ii) the retailer delivers or arranges for the tangible
12		personal property to be delivered to the purchaser.
13		(2) If a purchaser, having no prior commitment to the
14		retailer, agrees to purchase tangible personal property
15		and makes payment over the phone, in writing, or via the
16		Internet and takes possession of the tangible personal
17		property at the retailer's place of business, then the sale
18		shall be deemed to have occurred at the retailer's place of
19		business where the purchaser takes possession of the
20		property if the retailer regularly stocks the item or
21		similar items in the quantity, or similar quantities,
22		purchased by the purchaser.
23		(3) A retailer is deemed to be engaged in the business
24		of selling food, beverages, or other tangible personal
25		property through a vending machine at the location where
26		the vending machine is located at the time the sale is made

SB0690 Enrolled - 154 - LRB101 04451 HLH 49459 b
1		if (i) the vending machine is a device operated by coin,
2		currency, credit card, token, coupon or similar device; (2)
3		the food, beverage or other tangible personal property is
4		contained within the vending machine and dispensed from the
5		vending machine; and (3) the purchaser takes possession of
6		the purchased food, beverage or other tangible personal
7		property immediately.
8		(4) Minerals. A producer of coal or other mineral mined
9		in Illinois is deemed to be engaged in the business of
10		selling at the place where the coal or other mineral mined
11		in Illinois is extracted from the earth. With respect to
12		minerals (i) the term "extracted from the earth" means the
13		location at which the coal or other mineral is extracted
14		from the mouth of the mine, and (ii) a "mineral" includes
15		not only coal, but also oil, sand, stone taken from a
16		quarry, gravel and any other thing commonly regarded as a
17		mineral and extracted from the earth. This paragraph does
18		not apply to coal or another mineral when it is delivered
19		or shipped by the seller to the purchaser at a point
20		outside Illinois so that the sale is exempt under the
21		United States Constitution as a sale in interstate or
22		foreign commerce.
23		(5) A retailer selling tangible personal property to a
24		nominal lessee or bailee pursuant to a lease with a dollar
25		or other nominal option to purchase is engaged in the
26		business of selling at the location where the property is

SB0690 Enrolled - 155 - LRB101 04451 HLH 49459 b
1		first delivered to the lessee or bailee for its intended
2		use.
3		(6) Beginning on July 1, 2020, for the purposes of
4		determining the correct local retailers' occupation tax
5		rate, retail sales made by a remote retailer that meet or
6		exceed the thresholds established in paragraph (1) or (2)
7		of subsection (b) of Section 2 of this Act shall be deemed
8		to be made at the Illinois location to which the tangible
9		personal property is shipped or delivered or at which
10		possession is taken by the purchaser.
11		(Source: P.A. 98-1098, eff. 8-26-14; 99-126, eff. 7-23-15.)
12		(35 ILCS 120/2a) (from Ch. 120, par. 441a)
13		Sec. 2a. It is unlawful for any person to engage in the
14		business of selling tangible personal property at retail in
15		this State without a certificate of registration from the
16		Department. Application for a certificate of registration
17		shall be made to the Department upon forms furnished by it.
18		Each such application shall be signed and verified and shall
19		state: (1) the name and social security number of the
20		applicant; (2) the address of his principal place of business;
21		(3) the address of the principal place of business from which
22		he engages in the business of selling tangible personal
23		property at retail in this State and the addresses of all other
24		places of business, if any (enumerating such addresses, if any,
25		in a separate list attached to and made a part of the

SB0690 Enrolled - 156 - LRB101 04451 HLH 49459 b
1		application), from which he engages in the business of selling
2		tangible personal property at retail in this State; (4) the
3		name and address of the person or persons who will be
4		responsible for filing returns and payment of taxes due under
5		this Act; (5) in the case of a publicly traded corporation, the
6		name and title of the Chief Financial Officer, Chief Operating
7		Officer, and any other officer or employee with responsibility
8		for preparing tax returns under this Act, and, in the case of
9		all other corporations, the name, title, and social security
10		number of each corporate officer; (6) in the case of a limited
11		liability company, the name, social security number, and FEIN
12		number of each manager and member; and (7) such other
13		information as the Department may reasonably require. The
14		application shall contain an acceptance of responsibility
15		signed by the person or persons who will be responsible for
16		filing returns and payment of the taxes due under this Act. If
17		the applicant will sell tangible personal property at retail
18		through vending machines, his application to register shall
19		indicate the number of vending machines to be so operated. If
20		requested by the Department at any time, that person shall
21		verify the total number of vending machines he or she uses in
22		his or her business of selling tangible personal property at
23		retail.
24		The Department shall provide by rule for an expedited
25		business registration process for remote retailers required to
26		register and file under subsection (b) of Section 2 who use a

SB0690 Enrolled - 157 - LRB101 04451 HLH 49459 b
1		certified service provider to file their returns under this
2		Act. Such expedited registration process shall allow the
3		Department to register a taxpayer based upon the same
4		registration information required by the Streamlined Sales Tax
5		Governing Board for states participating in the Streamlined
6		Sales Tax Project.
7		The Department may deny a certificate of registration to
8		any applicant if a person who is named as the owner, a partner,
9		a manager or member of a limited liability company, or a
10		corporate officer of the applicant on the application for the
11		certificate of registration is or has been named as the owner,
12		a partner, a manager or member of a limited liability company,
13		or a corporate officer on the application for the certificate
14		of registration of another retailer that is in default for
15		moneys due under this Act or any other tax or fee Act
16		administered by the Department. For purposes of this paragraph
17		only, in determining whether a person is in default for moneys
18		due, the Department shall include only amounts established as a
19		final liability within the 20 years prior to the date of the
20		Department's notice of denial of a certificate of registration.
21		The Department may require an applicant for a certificate
22		of registration hereunder to, at the time of filing such
23		application, furnish a bond from a surety company authorized to
24		do business in the State of Illinois, or an irrevocable bank
25		letter of credit or a bond signed by 2 personal sureties who
26		have filed, with the Department, sworn statements disclosing

SB0690 Enrolled - 158 - LRB101 04451 HLH 49459 b
1		net assets equal to at least 3 times the amount of the bond to
2		be required of such applicant, or a bond secured by an
3		assignment of a bank account or certificate of deposit, stocks
4		or bonds, conditioned upon the applicant paying to the State of
5		Illinois all moneys becoming due under this Act and under any
6		other State tax law or municipal or county tax ordinance or
7		resolution under which the certificate of registration that is
8		issued to the applicant under this Act will permit the
9		applicant to engage in business without registering separately
10		under such other law, ordinance or resolution. In making a
11		determination as to whether to require a bond or other
12		security, the Department shall take into consideration whether
13		the owner, any partner, any manager or member of a limited
14		liability company, or a corporate officer of the applicant is
15		or has been the owner, a partner, a manager or member of a
16		limited liability company, or a corporate officer of another
17		retailer that is in default for moneys due under this Act or
18		any other tax or fee Act administered by the Department; and
19		whether the owner, any partner, any manager or member of a
20		limited liability company, or a corporate officer of the
21		applicant is or has been the owner, a partner, a manager or
22		member of a limited liability company, or a corporate officer
23		of another retailer whose certificate of registration has been
24		revoked within the previous 5 years under this Act or any other
25		tax or fee Act administered by the Department. If a bond or
26		other security is required, the Department shall fix the amount

SB0690 Enrolled - 159 - LRB101 04451 HLH 49459 b
1		of the bond or other security, taking into consideration the
2		amount of money expected to become due from the applicant under
3		this Act and under any other State tax law or municipal or
4		county tax ordinance or resolution under which the certificate
5		of registration that is issued to the applicant under this Act
6		will permit the applicant to engage in business without
7		registering separately under such other law, ordinance, or
8		resolution. The amount of security required by the Department
9		shall be such as, in its opinion, will protect the State of
10		Illinois against failure to pay the amount which may become due
11		from the applicant under this Act and under any other State tax
12		law or municipal or county tax ordinance or resolution under
13		which the certificate of registration that is issued to the
14		applicant under this Act will permit the applicant to engage in
15		business without registering separately under such other law,
16		ordinance or resolution, but the amount of the security
17		required by the Department shall not exceed three times the
18		amount of the applicant's average monthly tax liability, or
19		$50,000.00, whichever amount is lower.
20		No certificate of registration under this Act shall be
21		issued by the Department until the applicant provides the
22		Department with satisfactory security, if required, as herein
23		provided for.
24		Upon receipt of the application for certificate of
25		registration in proper form, and upon approval by the
26		Department of the security furnished by the applicant, if

SB0690 Enrolled - 160 - LRB101 04451 HLH 49459 b
1		required, the Department shall issue to such applicant a
2		certificate of registration which shall permit the person to
3		whom it is issued to engage in the business of selling tangible
4		personal property at retail in this State. The certificate of
5		registration shall be conspicuously displayed at the place of
6		business which the person so registered states in his
7		application to be the principal place of business from which he
8		engages in the business of selling tangible personal property
9		at retail in this State.
10		No certificate of registration issued prior to July 1, 2017
11		to a taxpayer who files returns required by this Act on a
12		monthly basis or renewed prior to July 1, 2017 by a taxpayer
13		who files returns required by this Act on a monthly basis shall
14		be valid after the expiration of 5 years from the date of its
15		issuance or last renewal. No certificate of registration issued
16		on or after July 1, 2017 to a taxpayer who files returns
17		required by this Act on a monthly basis or renewed on or after
18		July 1, 2017 by a taxpayer who files returns required by this
19		Act on a monthly basis shall be valid after the expiration of
20		one year from the date of its issuance or last renewal. The
21		expiration date of a sub-certificate of registration shall be
22		that of the certificate of registration to which the
23		sub-certificate relates. Prior to July 1, 2017, a certificate
24		of registration shall automatically be renewed, subject to
25		revocation as provided by this Act, for an additional 5 years
26		from the date of its expiration unless otherwise notified by

SB0690 Enrolled - 161 - LRB101 04451 HLH 49459 b
1		the Department as provided by this paragraph. On and after July
2		1, 2017, a certificate of registration shall automatically be
3		renewed, subject to revocation as provided by this Act, for an
4		additional one year from the date of its expiration unless
5		otherwise notified by the Department as provided by this
6		paragraph.
7		Where a taxpayer to whom a certificate of registration is
8		issued under this Act is in default to the State of Illinois
9		for delinquent returns or for moneys due under this Act or any
10		other State tax law or municipal or county ordinance
11		administered or enforced by the Department, the Department
12		shall, not less than 60 days before the expiration date of such
13		certificate of registration, give notice to the taxpayer to
14		whom the certificate was issued of the account period of the
15		delinquent returns, the amount of tax, penalty and interest due
16		and owing from the taxpayer, and that the certificate of
17		registration shall not be automatically renewed upon its
18		expiration date unless the taxpayer, on or before the date of
19		expiration, has filed and paid the delinquent returns or paid
20		the defaulted amount in full. A taxpayer to whom such a notice
21		is issued shall be deemed an applicant for renewal. The
22		Department shall promulgate regulations establishing
23		procedures for taxpayers who file returns on a monthly basis
24		but desire and qualify to change to a quarterly or yearly
25		filing basis and will no longer be subject to renewal under
26		this Section, and for taxpayers who file returns on a yearly or

SB0690 Enrolled - 162 - LRB101 04451 HLH 49459 b
1		quarterly basis but who desire or are required to change to a
2		monthly filing basis and will be subject to renewal under this
3		Section.
4		The Department may in its discretion approve renewal by an
5		applicant who is in default if, at the time of application for
6		renewal, the applicant files all of the delinquent returns or
7		pays to the Department such percentage of the defaulted amount
8		as may be determined by the Department and agrees in writing to
9		waive all limitations upon the Department for collection of the
10		remaining defaulted amount to the Department over a period not
11		to exceed 5 years from the date of renewal of the certificate;
12		however, no renewal application submitted by an applicant who
13		is in default shall be approved if the immediately preceding
14		renewal by the applicant was conditioned upon the installment
15		payment agreement described in this Section. The payment
16		agreement herein provided for shall be in addition to and not
17		in lieu of the security that may be required by this Section of
18		a taxpayer who is no longer considered a prior continuous
19		compliance taxpayer. The execution of the payment agreement as
20		provided in this Act shall not toll the accrual of interest at
21		the statutory rate.
22		The Department may suspend a certificate of registration if
23		the Department finds that the person to whom the certificate of
24		registration has been issued knowingly sold contraband
25		cigarettes.
26		A certificate of registration issued under this Act more

SB0690 Enrolled - 163 - LRB101 04451 HLH 49459 b
1		than 5 years before January 1, 1990 (the effective date of
2		Public Act 86-383) shall expire and be subject to the renewal
3		provisions of this Section on the next anniversary of the date
4		of issuance of such certificate which occurs more than 6 months
5		after January 1, 1990 (the effective date of Public Act
6		86-383). A certificate of registration issued less than 5 years
7		before January 1, 1990 (the effective date of Public Act
8		86-383) shall expire and be subject to the renewal provisions
9		of this Section on the 5th anniversary of the issuance of the
10		certificate.
11		If the person so registered states that he operates other
12		places of business from which he engages in the business of
13		selling tangible personal property at retail in this State, the
14		Department shall furnish him with a sub-certificate of
15		registration for each such place of business, and the applicant
16		shall display the appropriate sub-certificate of registration
17		at each such place of business. All sub-certificates of
18		registration shall bear the same registration number as that
19		appearing upon the certificate of registration to which such
20		sub-certificates relate.
21		If the applicant will sell tangible personal property at
22		retail through vending machines, the Department shall furnish
23		him with a sub-certificate of registration for each such
24		vending machine, and the applicant shall display the
25		appropriate sub-certificate of registration on each such
26		vending machine by attaching the sub-certificate of

SB0690 Enrolled - 164 - LRB101 04451 HLH 49459 b
1		registration to a conspicuous part of such vending machine. If
2		a person who is registered to sell tangible personal property
3		at retail through vending machines adds an additional vending
4		machine or additional vending machines to the number of vending
5		machines he or she uses in his or her business of selling
6		tangible personal property at retail, he or she shall notify
7		the Department, on a form prescribed by the Department, to
8		request an additional sub-certificate or additional
9		sub-certificates of registration, as applicable. With each
10		such request, the applicant shall report the number of
11		sub-certificates of registration he or she is requesting as
12		well as the total number of vending machines from which he or
13		she makes retail sales.
14		Where the same person engages in 2 or more businesses of
15		selling tangible personal property at retail in this State,
16		which businesses are substantially different in character or
17		engaged in under different trade names or engaged in under
18		other substantially dissimilar circumstances (so that it is
19		more practicable, from an accounting, auditing or bookkeeping
20		standpoint, for such businesses to be separately registered),
21		the Department may require or permit such person (subject to
22		the same requirements concerning the furnishing of security as
23		those that are provided for hereinbefore in this Section as to
24		each application for a certificate of registration) to apply
25		for and obtain a separate certificate of registration for each
26		such business or for any of such businesses, under a single

SB0690 Enrolled - 165 - LRB101 04451 HLH 49459 b
1		certificate of registration supplemented by related
2		sub-certificates of registration.
3		Any person who is registered under the Retailers'
4		Occupation Tax Act as of March 8, 1963, and who, during the
5		3-year period immediately prior to March 8, 1963, or during a
6		continuous 3-year period part of which passed immediately
7		before and the remainder of which passes immediately after
8		March 8, 1963, has been so registered continuously and who is
9		determined by the Department not to have been either delinquent
10		or deficient in the payment of tax liability during that period
11		under this Act or under any other State tax law or municipal or
12		county tax ordinance or resolution under which the certificate
13		of registration that is issued to the registrant under this Act
14		will permit the registrant to engage in business without
15		registering separately under such other law, ordinance or
16		resolution, shall be considered to be a Prior Continuous
17		Compliance taxpayer. Also any taxpayer who has, as verified by
18		the Department, faithfully and continuously complied with the
19		condition of his bond or other security under the provisions of
20		this Act for a period of 3 consecutive years shall be
21		considered to be a Prior Continuous Compliance taxpayer.
22		Every Prior Continuous Compliance taxpayer shall be exempt
23		from all requirements under this Act concerning the furnishing
24		of a bond or other security as a condition precedent to his
25		being authorized to engage in the business of selling tangible
26		personal property at retail in this State. This exemption shall

SB0690 Enrolled - 166 - LRB101 04451 HLH 49459 b
1		continue for each such taxpayer until such time as he may be
2		determined by the Department to be delinquent in the filing of
3		any returns, or is determined by the Department (either through
4		the Department's issuance of a final assessment which has
5		become final under the Act, or by the taxpayer's filing of a
6		return which admits tax that is not paid to be due) to be
7		delinquent or deficient in the paying of any tax under this Act
8		or under any other State tax law or municipal or county tax
9		ordinance or resolution under which the certificate of
10		registration that is issued to the registrant under this Act
11		will permit the registrant to engage in business without
12		registering separately under such other law, ordinance or
13		resolution, at which time that taxpayer shall become subject to
14		all the financial responsibility requirements of this Act and,
15		as a condition of being allowed to continue to engage in the
16		business of selling tangible personal property at retail, may
17		be required to post bond or other acceptable security with the
18		Department covering liability which such taxpayer may
19		thereafter incur. Any taxpayer who fails to pay an admitted or
20		established liability under this Act may also be required to
21		post bond or other acceptable security with this Department
22		guaranteeing the payment of such admitted or established
23		liability.
24		No certificate of registration shall be issued to any
25		person who is in default to the State of Illinois for moneys
26		due under this Act or under any other State tax law or

SB0690 Enrolled - 167 - LRB101 04451 HLH 49459 b
1		municipal or county tax ordinance or resolution under which the
2		certificate of registration that is issued to the applicant
3		under this Act will permit the applicant to engage in business
4		without registering separately under such other law, ordinance
5		or resolution.
6		Any person aggrieved by any decision of the Department
7		under this Section may, within 20 days after notice of such
8		decision, protest and request a hearing, whereupon the
9		Department shall give notice to such person of the time and
10		place fixed for such hearing and shall hold a hearing in
11		conformity with the provisions of this Act and then issue its
12		final administrative decision in the matter to such person. In
13		the absence of such a protest within 20 days, the Department's
14		decision shall become final without any further determination
15		being made or notice given.
16		With respect to security other than bonds (upon which the
17		Department may sue in the event of a forfeiture), if the
18		taxpayer fails to pay, when due, any amount whose payment such
19		security guarantees, the Department shall, after such
20		liability is admitted by the taxpayer or established by the
21		Department through the issuance of a final assessment that has
22		become final under the law, convert the security which that
23		taxpayer has furnished into money for the State, after first
24		giving the taxpayer at least 10 days' written notice, by
25		registered or certified mail, to pay the liability or forfeit
26		such security to the Department. If the security consists of

SB0690 Enrolled - 168 - LRB101 04451 HLH 49459 b
1		stocks or bonds or other securities which are listed on a
2		public exchange, the Department shall sell such securities
3		through such public exchange. If the security consists of an
4		irrevocable bank letter of credit, the Department shall convert
5		the security in the manner provided for in the Uniform
6		Commercial Code. If the security consists of a bank certificate
7		of deposit, the Department shall convert the security into
8		money by demanding and collecting the amount of such bank
9		certificate of deposit from the bank which issued such
10		certificate. If the security consists of a type of stocks or
11		other securities which are not listed on a public exchange, the
12		Department shall sell such security to the highest and best
13		bidder after giving at least 10 days' notice of the date, time
14		and place of the intended sale by publication in the "State
15		Official Newspaper". If the Department realizes more than the
16		amount of such liability from the security, plus the expenses
17		incurred by the Department in converting the security into
18		money, the Department shall pay such excess to the taxpayer who
19		furnished such security, and the balance shall be paid into the
20		State Treasury.
21		The Department shall discharge any surety and shall release
22		and return any security deposited, assigned, pledged or
23		otherwise provided to it by a taxpayer under this Section
24		within 30 days after:
25		(1) such taxpayer becomes a Prior Continuous
26		Compliance taxpayer; or

SB0690 Enrolled - 169 - LRB101 04451 HLH 49459 b
1		(2) such taxpayer has ceased to collect receipts on
2		which he is required to remit tax to the Department, has
3		filed a final tax return, and has paid to the Department an
4		amount sufficient to discharge his remaining tax
5		liability, as determined by the Department, under this Act
6		and under every other State tax law or municipal or county
7		tax ordinance or resolution under which the certificate of
8		registration issued under this Act permits the registrant
9		to engage in business without registering separately under
10		such other law, ordinance or resolution. The Department
11		shall make a final determination of the taxpayer's
12		outstanding tax liability as expeditiously as possible
13		after his final tax return has been filed; if the
14		Department cannot make such final determination within 45
15		days after receiving the final tax return, within such
16		period it shall so notify the taxpayer, stating its reasons
17		therefor.
18		(Source: P.A. 100-302, eff. 8-24-17; 100-303, eff. 8-24-17;
19		100-863, eff. 8-14-18.)
20		Section 15-50. The Cigarette Tax Act is amended by changing
21		Section 2 as follows:
22		(35 ILCS 130/2) (from Ch. 120, par. 453.2)
23		Sec. 2. Tax imposed; rate; collection, payment, and
24		distribution; discount.

SB0690 Enrolled - 170 - LRB101 04451 HLH 49459 b
1		(a) Beginning on July 1, 2019, in place of the aggregate
2		tax rate of 99 mills previously imposed by this Act, a tax is
3		imposed upon any person engaged in business as a retailer of
4		cigarettes at the rate of 149 mills per cigarette sold or
5		otherwise disposed of in the course of such business in this
6		State. A tax is imposed upon any person engaged in business as
7		a retailer of cigarettes in this State at the rate of 5 1/2
8		mills per cigarette sold, or otherwise disposed of in the
9		course of such business in this State. In addition to any other
10		tax imposed by this Act, a tax is imposed upon any person
11		engaged in business as a retailer of cigarettes in this State
12		at a rate of 1/2 mill per cigarette sold or otherwise disposed
13		of in the course of such business in this State on and after
14		January 1, 1947, and shall be paid into the Metropolitan Fair
15		and Exposition Authority Reconstruction Fund or as otherwise
16		provided in Section 29. On and after December 1, 1985, in
17		addition to any other tax imposed by this Act, a tax is imposed
18		upon any person engaged in business as a retailer of cigarettes
19		in this State at a rate of 4 mills per cigarette sold or
20		otherwise disposed of in the course of such business in this
21		State. Of the additional tax imposed by this amendatory Act of
22		1985, $9,000,000 of the moneys received by the Department of
23		Revenue pursuant to this Act shall be paid each month into the
24		Common School Fund. On and after the effective date of this
25		amendatory Act of 1989, in addition to any other tax imposed by
26		this Act, a tax is imposed upon any person engaged in business

SB0690 Enrolled - 171 - LRB101 04451 HLH 49459 b
1		as a retailer of cigarettes at the rate of 5 mills per
2		cigarette sold or otherwise disposed of in the course of such
3		business in this State. On and after the effective date of this
4		amendatory Act of 1993, in addition to any other tax imposed by
5		this Act, a tax is imposed upon any person engaged in business
6		as a retailer of cigarettes at the rate of 7 mills per
7		cigarette sold or otherwise disposed of in the course of such
8		business in this State. On and after December 15, 1997, in
9		addition to any other tax imposed by this Act, a tax is imposed
10		upon any person engaged in business as a retailer of cigarettes
11		at the rate of 7 mills per cigarette sold or otherwise disposed
12		of in the course of such business of this State. All of the
13		moneys received by the Department of Revenue pursuant to this
14		Act and the Cigarette Use Tax Act from the additional taxes
15		imposed by this amendatory Act of 1997, shall be paid each
16		month into the Common School Fund. On and after July 1, 2002,
17		in addition to any other tax imposed by this Act, a tax is
18		imposed upon any person engaged in business as a retailer of
19		cigarettes at the rate of 20.0 mills per cigarette sold or
20		otherwise disposed of in the course of such business in this
21		State. Beginning on June 24, 2012, in addition to any other tax
22		imposed by this Act, a tax is imposed upon any person engaged
23		in business as a retailer of cigarettes at the rate of 50 mills
24		per cigarette sold or otherwise disposed of in the course of
25		such business in this State. All moneys received by the
26		Department of Revenue under this Act and the Cigarette Use Tax

SB0690 Enrolled - 172 - LRB101 04451 HLH 49459 b
1		Act from the additional taxes imposed by this amendatory Act of
2		the 97th General Assembly shall be paid each month into the
3		Healthcare Provider Relief Fund.
4		(b) The payment of such taxes shall be evidenced by a stamp
5		affixed to each original package of cigarettes, or an
6		authorized substitute for such stamp imprinted on each original
7		package of such cigarettes underneath the sealed transparent
8		outside wrapper of such original package, as hereinafter
9		provided. However, such taxes are not imposed upon any activity
10		in such business in interstate commerce or otherwise, which
11		activity may not under the Constitution and statutes of the
12		United States be made the subject of taxation by this State.
13		Beginning on the effective date of this amendatory Act of
14		the 92nd General Assembly and through June 30, 2006, all of the
15		moneys received by the Department of Revenue pursuant to this
16		Act and the Cigarette Use Tax Act, other than the moneys that
17		are dedicated to the Common School Fund, shall be distributed
18		each month as follows: first, there shall be paid into the
19		General Revenue Fund an amount which, when added to the amount
20		paid into the Common School Fund for that month, equals
21		$33,300,000, except that in the month of August of 2004, this
22		amount shall equal $83,300,000; then, from the moneys
23		remaining, if any amounts required to be paid into the General
24		Revenue Fund in previous months remain unpaid, those amounts
25		shall be paid into the General Revenue Fund; then, beginning on
26		April 1, 2003, from the moneys remaining, $5,000,000 per month

SB0690 Enrolled - 173 - LRB101 04451 HLH 49459 b
1		shall be paid into the School Infrastructure Fund; then, if any
2		amounts required to be paid into the School Infrastructure Fund
3		in previous months remain unpaid, those amounts shall be paid
4		into the School Infrastructure Fund; then the moneys remaining,
5		if any, shall be paid into the Long-Term Care Provider Fund. To
6		the extent that more than $25,000,000 has been paid into the
7		General Revenue Fund and Common School Fund per month for the
8		period of July 1, 1993 through the effective date of this
9		amendatory Act of 1994 from combined receipts of the Cigarette
10		Tax Act and the Cigarette Use Tax Act, notwithstanding the
11		distribution provided in this Section, the Department of
12		Revenue is hereby directed to adjust the distribution provided
13		in this Section to increase the next monthly payments to the
14		Long Term Care Provider Fund by the amount paid to the General
15		Revenue Fund and Common School Fund in excess of $25,000,000
16		per month and to decrease the next monthly payments to the
17		General Revenue Fund and Common School Fund by that same excess
18		amount.
19		Beginning on July 1, 2006, all of the moneys received by
20		the Department of Revenue pursuant to this Act and the
21		Cigarette Use Tax Act, other than the moneys that are dedicated
22		to the Common School Fund and, beginning on the effective date
23		of this amendatory Act of the 97th General Assembly, other than
24		the moneys from the additional taxes imposed by this amendatory
25		Act of the 97th General Assembly that must be paid each month
26		into the Healthcare Provider Relief Fund, and other than the

SB0690 Enrolled - 174 - LRB101 04451 HLH 49459 b
1		moneys from the additional taxes imposed by this amendatory Act
2		of the 101st General Assembly that must be paid each month
3		under subsection (c), shall be distributed each month as
4		follows: first, there shall be paid into the General Revenue
5		Fund an amount that, when added to the amount paid into the
6		Common School Fund for that month, equals $29,200,000; then,
7		from the moneys remaining, if any amounts required to be paid
8		into the General Revenue Fund in previous months remain unpaid,
9		those amounts shall be paid into the General Revenue Fund; then
10		from the moneys remaining, $5,000,000 per month shall be paid
11		into the School Infrastructure Fund; then, if any amounts
12		required to be paid into the School Infrastructure Fund in
13		previous months remain unpaid, those amounts shall be paid into
14		the School Infrastructure Fund; then the moneys remaining, if
15		any, shall be paid into the Long-Term Care Provider Fund.
16		(c) Beginning on July 1, 2019, all of the moneys from the
17		additional taxes imposed by this amendatory Act of the 101st
18		General Assembly received by the Department of Revenue pursuant
19		to this Act and the Cigarette Use Tax Act shall be distributed
20		each month into the Capital Projects Fund.
21		(d) Moneys collected from the tax imposed on little cigars
22		under Section 10-10 of the Tobacco Products Tax Act of 1995
23		shall be included with the moneys collected under the Cigarette
24		Tax Act and the Cigarette Use Tax Act when making distributions
25		to the Common School Fund, the Healthcare Provider Relief Fund,
26		the General Revenue Fund, the School Infrastructure Fund, and

SB0690 Enrolled - 175 - LRB101 04451 HLH 49459 b
1		the Long-Term Care Provider Fund under this Section.
2		(e) If the When any tax imposed herein terminates or has
3		terminated, distributors who have bought stamps while such tax
4		was in effect and who therefore paid such tax, but who can
5		show, to the Department's satisfaction, that they sold the
6		cigarettes to which they affixed such stamps after such tax had
7		terminated and did not recover the tax or its equivalent from
8		purchasers, shall be allowed by the Department to take credit
9		for such absorbed tax against subsequent tax stamp purchases
10		from the Department by such distributor.
11		(f) The impact of the tax levied by this Act is imposed
12		upon the retailer and shall be prepaid or pre-collected by the
13		distributor for the purpose of convenience and facility only,
14		and the amount of the tax shall be added to the price of the
15		cigarettes sold by such distributor. Collection of the tax
16		shall be evidenced by a stamp or stamps affixed to each
17		original package of cigarettes, as hereinafter provided. Any
18		distributor who purchases stamps may credit any excess payments
19		verified by the Department against amounts subsequently due for
20		the purchase of additional stamps, until such time as no excess
21		payment remains.
22		(g) Each distributor shall collect the tax from the
23		retailer at or before the time of the sale, shall affix the
24		stamps as hereinafter required, and shall remit the tax
25		collected from retailers to the Department, as hereinafter
26		provided. Any distributor who fails to properly collect and pay

SB0690 Enrolled - 176 - LRB101 04451 HLH 49459 b
1		the tax imposed by this Act shall be liable for the tax. Any
2		distributor having cigarettes to which stamps have been affixed
3		in his possession for sale on the effective date of this
4		amendatory Act of 1989 shall not be required to pay the
5		additional tax imposed by this amendatory Act of 1989 on such
6		stamped cigarettes. Any distributor having cigarettes to which
7		stamps have been affixed in his or her possession for sale at
8		12:01 a.m. on the effective date of this amendatory Act of
9		1993, is required to pay the additional tax imposed by this
10		amendatory Act of 1993 on such stamped cigarettes. This
11		payment, less the discount provided in subsection (b), shall be
12		due when the distributor first makes a purchase of cigarette
13		tax stamps after the effective date of this amendatory Act of
14		1993, or on the first due date of a return under this Act after
15		the effective date of this amendatory Act of 1993, whichever
16		occurs first. Any distributor having cigarettes to which stamps
17		have been affixed in his possession for sale on December 15,
18		1997 shall not be required to pay the additional tax imposed by
19		this amendatory Act of 1997 on such stamped cigarettes.
20		Any distributor having cigarettes to which stamps have been
21		affixed in his or her possession for sale on July 1, 2002 shall
22		not be required to pay the additional tax imposed by this
23		amendatory Act of the 92nd General Assembly on those stamped
24		cigarettes.
25		(h) Any distributor having cigarettes in his or her
26		possession on July 1, 2019 to which tax stamps have been

SB0690 Enrolled - 177 - LRB101 04451 HLH 49459 b
1		affixed, and any distributor having stamps in his or her
2		possession on July 1, 2019 that have not been affixed to
3		packages of cigarettes before July 1, 2019, is required to pay
4		the additional tax that begins on July 1, 2019 imposed by this
5		amendatory Act of the 101st General Assembly to the extent that
6		the volume of affixed and unaffixed stamps in the distributor's
7		possession on July 1, 2019 exceeds the average monthly volume
8		of cigarette stamps purchased by the distributor in calendar
9		year 2018. This payment, less the discount provided in
10		subsection (l), is due when the distributor first makes a
11		purchase of cigarette stamps on or after July 1, 2019 or on the
12		first due date of a return under this Act occurring on or after
13		July 1, 2019, whichever occurs first. Those distributors may
14		elect to pay the additional tax on packages of cigarettes to
15		which stamps have been affixed and on any stamps in the
16		distributor's possession that have not been affixed to packages
17		of cigarettes in their possession on July 1, 2019 over a period
18		not to exceed 12 months from the due date of the additional tax
19		by notifying the Department in writing. The first payment for
20		distributors making such election is due when the distributor
21		first makes a purchase of cigarette tax stamps on or after July
22		1, 2019 or on the first due date of a return under this Act
23		occurring on or after July 1, 2019, whichever occurs first.
24		Distributors making such an election are not entitled to take
25		the discount provided in subsection (l) on such payments.
26		(i) Any retailer having cigarettes in its his or her

SB0690 Enrolled - 178 - LRB101 04451 HLH 49459 b
1		possession on July 1, 2019 June 24, 2012 to which tax stamps
2		have been affixed is not required to pay the additional tax
3		that begins on July 1, 2019 June 24, 2012 imposed by this
4		amendatory Act of the 101st General Assembly this amendatory
5		Act of the 97th General Assembly on those stamped cigarettes.
6		Any distributor having cigarettes in his or her possession on
7		June 24, 2012 to which tax stamps have been affixed, and any
8		distributor having stamps in his or her possession on June 24,
9		2012 that have not been affixed to packages of cigarettes
10		before June 24, 2012, is required to pay the additional tax
11		that begins on June 24, 2012 imposed by this amendatory Act of
12		the 97th General Assembly to the extent the calendar year 2012
13		average monthly volume of cigarette stamps in the distributor's
14		possession exceeds the average monthly volume of cigarette
15		stamps purchased by the distributor in calendar year 2011. This
16		payment, less the discount provided in subsection (b), is due
17		when the distributor first makes a purchase of cigarette stamps
18		on or after June 24, 2012 or on the first due date of a return
19		under this Act occurring on or after June 24, 2012, whichever
20		occurs first. Those distributors may elect to pay the
21		additional tax on packages of cigarettes to which stamps have
22		been affixed and on any stamps in the distributor's possession
23		that have not been affixed to packages of cigarettes over a
24		period not to exceed 12 months from the due date of the
25		additional tax by notifying the Department in writing. The
26		first payment for distributors making such election is due when

SB0690 Enrolled - 179 - LRB101 04451 HLH 49459 b
1		the distributor first makes a purchase of cigarette tax stamps
2		on or after June 24, 2012 or on the first due date of a return
3		under this Act occurring on or after June 24, 2012, whichever
4		occurs first. Distributors making such an election are not
5		entitled to take the discount provided in subsection (b) on
6		such payments.
7		(j) Distributors making sales of cigarettes to secondary
8		distributors shall add the amount of the tax to the price of
9		the cigarettes sold by the distributors. Secondary
10		distributors making sales of cigarettes to retailers shall
11		include the amount of the tax in the price of the cigarettes
12		sold to retailers. The amount of tax shall not be less than the
13		amount of taxes imposed by the State and all local
14		jurisdictions. The amount of local taxes shall be calculated
15		based on the location of the retailer's place of business shown
16		on the retailer's certificate of registration or
17		sub-registration issued to the retailer pursuant to Section 2a
18		of the Retailers' Occupation Tax Act. The original packages of
19		cigarettes sold to the retailer shall bear all the required
20		stamps, or other indicia, for the taxes included in the price
21		of cigarettes.
22		(k) The amount of the Cigarette Tax imposed by this Act
23		shall be separately stated, apart from the price of the goods,
24		by distributors, manufacturer representatives, secondary
25		distributors, and retailers, in all bills and sales invoices.
26		(l) (b) The distributor shall be required to collect the

SB0690 Enrolled - 180 - LRB101 04451 HLH 49459 b
1		tax taxes provided under paragraph (a) hereof, and, to cover
2		the costs of such collection, shall be allowed a discount
3		during any year commencing July 1st and ending the following
4		June 30th in accordance with the schedule set out hereinbelow,
5		which discount shall be allowed at the time of purchase of the
6		stamps when purchase is required by this Act, or at the time
7		when the tax is remitted to the Department without the purchase
8		of stamps from the Department when that method of paying the
9		tax is required or authorized by this Act. Prior to December 1,
10		1985, a discount equal to 1 2/3% of the amount of the tax up to
11		and including the first $700,000 paid hereunder by such
12		distributor to the Department during any such year; 1 1/3% of
13		the next $700,000 of tax or any part thereof, paid hereunder by
14		such distributor to the Department during any such year; 1% of
15		the next $700,000 of tax, or any part thereof, paid hereunder
16		by such distributor to the Department during any such year, and
17		2/3 of 1% of the amount of any additional tax paid hereunder by
18		such distributor to the Department during any such year shall
19		apply.
20		On and after December 1, 1985, a discount equal to 1.75% of
21		the amount of the tax payable under this Act up to and
22		including the first $3,000,000 paid hereunder by such
23		distributor to the Department during any such year and 1.5% of
24		the amount of any additional tax paid hereunder by such
25		distributor to the Department during any such year shall apply.
26		Two or more distributors that use a common means of

SB0690 Enrolled - 181 - LRB101 04451 HLH 49459 b
1		affixing revenue tax stamps or that are owned or controlled by
2		the same interests shall be treated as a single distributor for
3		the purpose of computing the discount.
4		(m) (c) The taxes herein imposed are in addition to all
5		other occupation or privilege taxes imposed by the State of
6		Illinois, or by any political subdivision thereof, or by any
7		municipal corporation.
8		(Source: P.A. 100-1171, eff. 1-4-19.)
9		(35 ILCS 130/29 rep.)
10		Section 15-55. The Cigarette Tax Act is amended by
11		repealing Section 29.
12		Section 15-60. The Cigarette Use Tax Act is amended by
13		changing Sections 2 and 35 as follows:
14		(35 ILCS 135/2) (from Ch. 120, par. 453.32)
15		Sec. 2. Beginning on July 1, 2019, in place of the
16		aggregate tax rate of 99 mills previously imposed by this Act,
17		a tax is imposed upon the privilege of using cigarettes in this
18		State at the rate of 149 mills per cigarette so used. A tax is
19		imposed upon the privilege of using cigarettes in this State,
20		at the rate of 6 mills per cigarette so used. On and after
21		December 1, 1985, in addition to any other tax imposed by this
22		Act, a tax is imposed upon the privilege of using cigarettes in
23		this State at a rate of 4 mills per cigarette so used. On and

SB0690 Enrolled - 182 - LRB101 04451 HLH 49459 b
1		after the effective date of this amendatory Act of 1989, in
2		addition to any other tax imposed by this Act, a tax is imposed
3		upon the privilege of using cigarettes in this State at the
4		rate of 5 mills per cigarette so used. On and after the
5		effective date of this amendatory Act of 1993, in addition to
6		any other tax imposed by this Act, a tax is imposed upon the
7		privilege of using cigarettes in this State at a rate of 7
8		mills per cigarette so used. On and after December 15, 1997, in
9		addition to any other tax imposed by this Act, a tax is imposed
10		upon the privilege of using cigarettes in this State at a rate
11		of 7 mills per cigarette so used. On and after July 1, 2002, in
12		addition to any other tax imposed by this Act, a tax is imposed
13		upon the privilege of using cigarettes in this State at a rate
14		of 20.0 mills per cigarette so used. Beginning on June 24,
15		2012, in addition to any other tax imposed by this Act, a tax
16		is imposed upon the privilege of using cigarettes in this State
17		at a rate of 50 mills per cigarette so used. The tax taxes
18		herein imposed shall be in addition to all other occupation or
19		privilege taxes imposed by the State of Illinois or by any
20		political subdivision thereof or by any municipal corporation.
21		If the When any tax imposed herein terminates or has
22		terminated, distributors who have bought stamps while such tax
23		was in effect and who therefore paid such tax, but who can
24		show, to the Department's satisfaction, that they sold the
25		cigarettes to which they affixed such stamps after such tax had
26		terminated and did not recover the tax or its equivalent from

SB0690 Enrolled - 183 - LRB101 04451 HLH 49459 b
1		purchasers, shall be allowed by the Department to take credit
2		for such absorbed tax against subsequent tax stamp purchases
3		from the Department by such distributors.
4		When the word "tax" is used in this Act, it shall include
5		any tax or tax rate imposed by this Act and shall mean the
6		singular of "tax" or the plural "taxes" as the context may
7		require.
8		Any retailer having cigarettes in its possession on July 1,
9		2019 to which tax stamps have been affixed is not required to
10		pay the additional tax that begins on July 1, 2019 imposed by
11		this amendatory Act of the 101st General Assembly on those
12		stamped cigarettes. Any distributor having cigarettes in his or
13		her possession on July 1, 2019 to which tax stamps have been
14		affixed, and any distributor having stamps in his or her
15		possession on July 1, 2019 that have not been affixed to
16		packages of cigarettes before July 1, 2019, is required to pay
17		the additional tax that begins on July 1, 2019 imposed by this
18		amendatory Act of the 101st General Assembly to the extent that
19		the volume of affixed and unaffixed stamps in the distributor's
20		possession on July 1, 2019 exceeds the average monthly volume
21		of cigarette stamps purchased by the distributor in calendar
22		year 2018. This payment, less the discount provided in Section
23		3, is due when the distributor first makes a purchase of
24		cigarette stamps on or after July 1, 2019 or on the first due
25		date of a return under this Act occurring on or after July 1,
26		2019, whichever occurs first. Those distributors may elect to

SB0690 Enrolled - 184 - LRB101 04451 HLH 49459 b
1		pay the additional tax on packages of cigarettes to which
2		stamps have been affixed and on any stamps in the distributor's
3		possession that have not been affixed to packages of cigarettes
4		in their possession on July 1, 2019 over a period not to exceed
5		12 months from the due date of the additional tax by notifying
6		the Department in writing. The first payment for distributors
7		making such election is due when the distributor first makes a
8		purchase of cigarette tax stamps on or after July 1, 2019 or on
9		the first due date of a return under this Act occurring on or
10		after July 1, 2019, whichever occurs first. Distributors making
11		such an election are not entitled to take the discount provided
12		in Section 3 on such payments.
13		Any distributor having cigarettes to which stamps have been
14		affixed in his possession for sale on the effective date of
15		this amendatory Act of 1989 shall not be required to pay the
16		additional tax imposed by this amendatory Act of 1989 on such
17		stamped cigarettes. Any distributor having cigarettes to which
18		stamps have been affixed in his or her possession for sale at
19		12:01 a.m. on the effective date of this amendatory Act of
20		1993, is required to pay the additional tax imposed by this
21		amendatory Act of 1993 on such stamped cigarettes. This payment
22		shall be due when the distributor first makes a purchase of
23		cigarette tax stamps after the effective date of this
24		amendatory Act of 1993, or on the first due date of a return
25		under this Act after the effective date of this amendatory Act
26		of 1993, whichever occurs first. Once a distributor tenders

SB0690 Enrolled - 185 - LRB101 04451 HLH 49459 b
1		payment of the additional tax to the Department, the
2		distributor may purchase stamps from the Department. Any
3		distributor having cigarettes to which stamps have been affixed
4		in his possession for sale on December 15, 1997 shall not be
5		required to pay the additional tax imposed by this amendatory
6		Act of 1997 on such stamped cigarettes.
7		Any distributor having cigarettes to which stamps have been
8		affixed in his or her possession for sale on July 1, 2002 shall
9		not be required to pay the additional tax imposed by this
10		amendatory Act of the 92nd General Assembly on those stamped
11		cigarettes.
12		Any retailer having cigarettes in his or her possession on
13		June 24, 2012 to which tax stamps have been affixed is not
14		required to pay the additional tax that begins on June 24, 2012
15		imposed by this amendatory Act of the 97th General Assembly on
16		those stamped cigarettes. Any distributor having cigarettes in
17		his or her possession on June 24, 2012 to which tax stamps have
18		been affixed, and any distributor having stamps in his or her
19		possession on June 24, 2012 that have not been affixed to
20		packages of cigarettes before June 24, 2012, is required to pay
21		the additional tax that begins on June 24, 2012 imposed by this
22		amendatory Act of the 97th General Assembly to the extent the
23		calendar year 2012 average monthly volume of cigarette stamps
24		in the distributor's possession exceeds the average monthly
25		volume of cigarette stamps purchased by the distributor in
26		calendar year 2011. This payment, less the discount provided in

SB0690 Enrolled - 186 - LRB101 04451 HLH 49459 b
1		Section 3, is due when the distributor first makes a purchase
2		of cigarette stamps on or after June 24, 2012 or on the first
3		due date of a return under this Act occurring on or after June
4		24, 2012, whichever occurs first. Those distributors may elect
5		to pay the additional tax on packages of cigarettes to which
6		stamps have been affixed and on any stamps in the distributor's
7		possession that have not been affixed to packages of cigarettes
8		over a period not to exceed 12 months from the due date of the
9		additional tax by notifying the Department in writing. The
10		first payment for distributors making such election is due when
11		the distributor first makes a purchase of cigarette tax stamps
12		on or after June 24, 2012 or on the first due date of a return
13		under this Act occurring on or after June 24, 2012, whichever
14		occurs first. Distributors making such an election are not
15		entitled to take the discount provided in Section 3 on such
16		payments.
17		(Source: P.A. 97-688, eff. 6-14-12.)
18		(35 ILCS 135/35) (from Ch. 120, par. 453.65)
19		Sec. 35. Distribution of receipts. All moneys received by
20		the Department under this Act shall be distributed as provided
21		in subsection (a) of Section 2 of the Cigarette Tax Act.
22		(Source: P.A. 88-535.)
23		Section 15-65. The Tobacco Products Tax Act of 1995 is
24		amended by changing Sections 10-5 and 10-10 as follows:

SB0690 Enrolled - 187 - LRB101 04451 HLH 49459 b
1		(35 ILCS 143/10-5)
2		Sec. 10-5. Definitions. For purposes of this Act:
3		"Business" means any trade, occupation, activity, or
4		enterprise engaged in, at any location whatsoever, for the
5		purpose of selling tobacco products.
6		"Cigarette" has the meaning ascribed to the term in Section
7		1 of the Cigarette Tax Act.
8		"Contraband little cigar" means:
9		(1) packages of little cigars containing 20 or 25
10		little cigars that do not bear a required tax stamp under
11		this Act;
12		(2) packages of little cigars containing 20 or 25
13		little cigars that bear a fraudulent, imitation, or
14		counterfeit tax stamp;
15		(3) packages of little cigars containing 20 or 25
16		little cigars that are improperly tax stamped, including
17		packages of little cigars that bear only a tax stamp of
18		another state or taxing jurisdiction; or
19		(4) packages of little cigars containing other than 20
20		or 25 little cigars in the possession of a distributor,
21		retailer or wholesaler, unless the distributor, retailer,
22		or wholesaler possesses, or produces within the time frame
23		provided in Section 10-27 or 10-28 of this Act, an invoice
24		from a stamping distributor, distributor, or wholesaler
25		showing that the tax on the packages has been or will be

SB0690 Enrolled - 188 - LRB101 04451 HLH 49459 b
1		paid.
2		"Correctional Industries program" means a program run by a
3		State penal institution in which residents of the penal
4		institution produce tobacco products for sale to persons
5		incarcerated in penal institutions or resident patients of a
6		State operated mental health facility.
7		"Department" means the Illinois Department of Revenue.
8		"Distributor" means any of the following:
9		(1) Any manufacturer or wholesaler in this State
10		engaged in the business of selling tobacco products who
11		sells, exchanges, or distributes tobacco products to
12		retailers or consumers in this State.
13		(2) Any manufacturer or wholesaler engaged in the
14		business of selling tobacco products from without this
15		State who sells, exchanges, distributes, ships, or
16		transports tobacco products to retailers or consumers
17		located in this State, so long as that manufacturer or
18		wholesaler has or maintains within this State, directly or
19		by subsidiary, an office, sales house, or other place of
20		business, or any agent or other representative operating
21		within this State under the authority of the person or
22		subsidiary, irrespective of whether the place of business
23		or agent or other representative is located here
24		permanently or temporarily.
25		(3) Any retailer who receives tobacco products on which
26		the tax has not been or will not be paid by another

SB0690 Enrolled - 189 - LRB101 04451 HLH 49459 b
1		distributor.
2		"Distributor" does not include any person, wherever
3		resident or located, who makes, manufactures, or fabricates
4		tobacco products as part of a Correctional Industries program
5		for sale to residents incarcerated in penal institutions or
6		resident patients of a State operated mental health facility.
7		"Electronic cigarette" means:
8		(1) any device that employs a battery or other
9		mechanism to heat a solution or substance to produce a
10		vapor or aerosol intended for inhalation;
11		(2) any cartridge or container of a solution or
12		substance intended to be used with or in the device or to
13		refill the device; or
14		(3) any solution or substance, whether or not it
15		contains nicotine, intended for use in the device.
16		"Electronic cigarette" includes, but is not limited to, any
17		electronic nicotine delivery system, electronic cigar,
18		electronic cigarillo, electronic pipe, electronic hookah, vape
19		pen, or similar product or device, and any component or part
20		that can be used to build the product or device. "Electronic
21		cigarette" does not include: cigarettes, as defined in Section
22		1 of the Cigarette Tax Act; any product approved by the United
23		States Food and Drug Administration for sale as a tobacco
24		cessation product, a tobacco dependence product, or for other
25		medical purposes that is marketed and sold solely for that
26		approved purpose; any asthma inhaler prescribed by a physician

SB0690 Enrolled - 190 - LRB101 04451 HLH 49459 b
1		for that condition that is marketed and sold solely for that
2		approved purpose; or any therapeutic product approved for use
3		under the Compassionate Use of Medical Cannabis Pilot Program
4		Act.
5		"Little cigar" means and includes any roll, made wholly or
6		in part of tobacco, where such roll has an integrated cellulose
7		acetate filter and weighs less than 4 pounds per thousand and
8		the wrapper or cover of which is made in whole or in part of
9		tobacco.
10		"Manufacturer" means any person, wherever resident or
11		located, who manufactures and sells tobacco products, except a
12		person who makes, manufactures, or fabricates tobacco products
13		as a part of a Correctional Industries program for sale to
14		persons incarcerated in penal institutions or resident
15		patients of a State operated mental health facility.
16		Beginning on January 1, 2013, "moist snuff" means any
17		finely cut, ground, or powdered tobacco that is not intended to
18		be smoked, but shall not include any finely cut, ground, or
19		powdered tobacco that is intended to be placed in the nasal
20		cavity.
21		"Person" means any natural individual, firm, partnership,
22		association, joint stock company, joint venture, limited
23		liability company, or public or private corporation, however
24		formed, or a receiver, executor, administrator, trustee,
25		conservator, or other representative appointed by order of any
26		court.

SB0690 Enrolled - 191 - LRB101 04451 HLH 49459 b
1		"Place of business" means and includes any place where
2		tobacco products are sold or where tobacco products are
3		manufactured, stored, or kept for the purpose of sale or
4		consumption, including any vessel, vehicle, airplane, train,
5		or vending machine.
6		"Retailer" means any person in this State engaged in the
7		business of selling tobacco products to consumers in this
8		State, regardless of quantity or number of sales.
9		"Sale" means any transfer, exchange, or barter in any
10		manner or by any means whatsoever for a consideration and
11		includes all sales made by persons.
12		"Stamp" or "stamps" mean the indicia required to be affixed
13		on a package of little cigars that evidence payment of the tax
14		on packages of little cigars containing 20 or 25 little cigars
15		under Section 10-10 of this Act. These stamps shall be the same
16		stamps used for cigarettes under the Cigarette Tax Act.
17		"Stamping distributor" means a distributor licensed under
18		this Act and also licensed as a distributor under the Cigarette
19		Tax Act or Cigarette Use Tax Act.
20		"Tobacco products" means any cigars, including little
21		cigars; cheroots; stogies; periques; granulated, plug cut,
22		crimp cut, ready rubbed, and other smoking tobacco; snuff
23		(including moist snuff) or snuff flour; cavendish; plug and
24		twist tobacco; fine-cut and other chewing tobaccos; shorts;
25		refuse scraps, clippings, cuttings, and sweeping of tobacco;
26		and other kinds and forms of tobacco, prepared in such manner

SB0690 Enrolled - 192 - LRB101 04451 HLH 49459 b
1		as to be suitable for chewing or smoking in a pipe or
2		otherwise, or both for chewing and smoking; but does not
3		include cigarettes as defined in Section 1 of the Cigarette Tax
4		Act or tobacco purchased for the manufacture of cigarettes by
5		cigarette distributors and manufacturers defined in the
6		Cigarette Tax Act and persons who make, manufacture, or
7		fabricate cigarettes as a part of a Correctional Industries
8		program for sale to residents incarcerated in penal
9		institutions or resident patients of a State operated mental
10		health facility.
11		Beginning on July 1, 2019, "tobacco products" also includes
12		electronic cigarettes.
13		"Wholesale price" means the established list price for
14		which a manufacturer sells tobacco products to a distributor,
15		before the allowance of any discount, trade allowance, rebate,
16		or other reduction. In the absence of such an established list
17		price, the manufacturer's invoice price at which the
18		manufacturer sells the tobacco product to unaffiliated
19		distributors, before any discounts, trade allowances, rebates,
20		or other reductions, shall be presumed to be the wholesale
21		price.
22		"Wholesaler" means any person, wherever resident or
23		located, engaged in the business of selling tobacco products to
24		others for the purpose of resale. "Wholesaler", when used in
25		this Act, does not include a person licensed as a distributor
26		under Section 10-20 of this Act unless expressly stated in this

SB0690 Enrolled - 193 - LRB101 04451 HLH 49459 b
1		Act.
2		(Source: P.A. 97-688, eff. 6-14-12; 98-273, eff. 8-9-13;
3		98-1055, eff. 1-1-16.)
4		(35 ILCS 143/10-10)
5		Sec. 10-10. Tax imposed.
6		(a) Except as otherwise provided in this Section with
7		respect to little cigars, on the first day of the third month
8		after the month in which this Act becomes law, a tax is imposed
9		on any person engaged in business as a distributor of tobacco
10		products, as defined in Section 10-5, at the rate of (i) 18% of
11		the wholesale price of tobacco products sold or otherwise
12		disposed of to retailers or consumers located in this State
13		prior to July 1, 2012 and (ii) 36% of the wholesale price of
14		tobacco products sold or otherwise disposed of to retailers or
15		consumers located in this State beginning on July 1, 2012;
16		except that, beginning on January 1, 2013, the tax on moist
17		snuff shall be imposed at a rate of $0.30 per ounce, and a
18		proportionate tax at the like rate on all fractional parts of
19		an ounce, sold or otherwise disposed of to retailers or
20		consumers located in this State; and except that, beginning
21		July 1, 2019, the tax on electronic cigarettes shall be imposed
22		at the rate of 15% of the wholesale price of electronic
23		cigarettes sold or otherwise disposed of to retailers or
24		consumers located in this State. The tax is in addition to all
25		other occupation or privilege taxes imposed by the State of

SB0690 Enrolled - 194 - LRB101 04451 HLH 49459 b
1		Illinois, by any political subdivision thereof, or by any
2		municipal corporation. However, the tax is not imposed upon any
3		activity in that business in interstate commerce or otherwise,
4		to the extent to which that activity may not, under the
5		Constitution and Statutes of the United States, be made the
6		subject of taxation by this State, and except that, beginning
7		July 1, 2013, the tax on little cigars shall be imposed at the
8		same rate, and the proceeds shall be distributed in the same
9		manner, as the tax imposed on cigarettes under the Cigarette
10		Tax Act. The tax is also not imposed on sales made to the
11		United States or any entity thereof.
12		(b) Notwithstanding subsection (a) of this Section,
13		stamping distributors of packages of little cigars containing
14		20 or 25 little cigars sold or otherwise disposed of in this
15		State shall remit the tax by purchasing tax stamps from the
16		Department and affixing them to packages of little cigars in
17		the same manner as stamps are purchased and affixed to
18		cigarettes under the Cigarette Tax Act, unless the stamping
19		distributor sells or otherwise disposes of those packages of
20		little cigars to another stamping distributor. Only persons
21		meeting the definition of "stamping distributor" contained in
22		Section 10-5 of this Act may affix stamps to packages of little
23		cigars containing 20 or 25 little cigars. Stamping distributors
24		may not sell or dispose of little cigars at retail to consumers
25		or users at locations where stamping distributors affix stamps
26		to packages of little cigars containing 20 or 25 little cigars.

SB0690 Enrolled - 195 - LRB101 04451 HLH 49459 b
1		(c) The impact of the tax levied by this Act is imposed
2		upon distributors engaged in the business of selling tobacco
3		products to retailers or consumers in this State. Whenever a
4		stamping distributor brings or causes to be brought into this
5		State from without this State, or purchases from without or
6		within this State, any packages of little cigars containing 20
7		or 25 little cigars upon which there are no tax stamps affixed
8		as required by this Act, for purposes of resale or disposal in
9		this State to a person not a stamping distributor, then such
10		stamping distributor shall pay the tax to the Department and
11		add the amount of the tax to the price of such packages sold by
12		such stamping distributor. Payment of the tax shall be
13		evidenced by a stamp or stamps affixed to each package of
14		little cigars containing 20 or 25 little cigars.
15		Stamping distributors paying the tax to the Department on
16		packages of little cigars containing 20 or 25 little cigars
17		sold to other distributors, wholesalers or retailers shall add
18		the amount of the tax to the price of the packages of little
19		cigars containing 20 or 25 little cigars sold by such stamping
20		distributors.
21		(d) Beginning on January 1, 2013, the tax rate imposed per
22		ounce of moist snuff may not exceed 15% of the tax imposed upon
23		a package of 20 cigarettes pursuant to the Cigarette Tax Act.
24		(e) All moneys received by the Department under this Act
25		from sales occurring prior to July 1, 2012 shall be paid into
26		the Long-Term Care Provider Fund of the State Treasury. Of the

SB0690 Enrolled - 196 - LRB101 04451 HLH 49459 b
1		moneys received by the Department from sales occurring on or
2		after July 1, 2012, except for moneys received from the tax
3		imposed on the sale of little cigars, 50% shall be paid into
4		the Long-Term Care Provider Fund and 50% shall be paid into the
5		Healthcare Provider Relief Fund. Beginning July 1, 2013, all
6		moneys received by the Department under this Act from the tax
7		imposed on little cigars shall be distributed as provided in
8		subsection (a) of Section 2 of the Cigarette Tax Act.
9		(Source: P.A. 97-688, eff. 6-14-12; 98-273, eff. 8-9-13.)
10		Section 15-75. The Motor Vehicle Retail Installment Sales
11		Act is amended by changing Section 11.1 as follows:
12		(815 ILCS 375/11.1) (from Ch. 121 1/2, par. 571.1)
13		Sec. 11.1.
14		(a) A seller in a retail installment contract may add a
15		"documentary fee" for processing documents and performing
16		services related to closing of a sale. The maximum amount that
17		may be charged by a seller for a documentary fee is the base
18		documentary fee beginning January 1, 2008 until January 1,
19		2020, of $150, which shall be subject to an annual rate
20		adjustment equal to the percentage of change in the Bureau of
21		Labor Statistics Consumer Price Index. Every retail
22		installment contract under this Act shall contain or be
23		accompanied by a notice containing the following information:
24		"DOCUMENTARY FEE. A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE.

SB0690 Enrolled - 197 - LRB101 04451 HLH 49459 b
1		A DOCUMENTARY FEE IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO
2		BUYERS FOR HANDLING DOCUMENTS AND PERFORMING SERVICES RELATED
3		TO CLOSING OF A SALE. THE BASE DOCUMENTARY FEE BEGINNING
4		JANUARY 1, 2008, WAS $150. THE MAXIMUM AMOUNT THAT MAY BE
5		CHARGED FOR A DOCUMENTARY FEE IS THE BASE DOCUMENTARY FEE OF
6		$150, WHICH SHALL BE SUBJECT TO AN ANNUAL RATE ADJUSTMENT EQUAL
7		TO THE PERCENTAGE OF CHANGE IN THE BUREAU OF LABOR STATISTICS
8		CONSUMER PRICE INDEX. THIS NOTICE IS REQUIRED BY LAW."
9		(b) A seller in a retail installment contract may add a
10		"documentary fee" for processing documents and performing
11		services related to closing of a sale. The maximum amount that
12		may be charged by a seller for a documentary fee is the base
13		documentary fee beginning January 1, 2020, of $300, which shall
14		be subject to an annual rate adjustment equal to the percentage
15		of change in the Bureau of Labor Statistics Consumer Price
16		Index. Every retail installment contract under this Act shall
17		contain or be accompanied by a notice containing the following
18		information:
19		"DOCUMENTARY FEE. A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE.
20		A DOCUMENTARY FEE IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO
21		BUYERS FOR HANDLING DOCUMENTS AND PERFORMING SERVICES RELATED
22		TO CLOSING OF A SALE. THE BASE DOCUMENTARY FEE BEGINNING
23		JANUARY 1, 2020, WAS $300. THE MAXIMUM AMOUNT THAT MAY BE
24		CHARGED FOR A DOCUMENTARY FEE IS THE BASE DOCUMENTARY FEE OF
25		$300, WHICH SHALL BE SUBJECT TO AN ANNUAL RATE ADJUSTMENT EQUAL
26		TO THE PERCENTAGE OF CHANGE IN THE BUREAU OF LABOR STATISTICS

SB0690 Enrolled - 198 - LRB101 04451 HLH 49459 b
1		CONSUMER PRICE INDEX. THIS NOTICE IS REQUIRED BY LAW."
2		(Source: P.A. 95-280, eff. 1-1-08.)
3		Article 20. Illinois Works Jobs Program Act
4		Section 20-1. Short title. This Article may be cited as the
5		Illinois Works Jobs Program Act. References in this Article to
6		"this Act" mean this Article.
7		Section 20-5. Findings. It is in the public policy interest
8		of the State to ensure that all Illinois residents have access
9		to State capital projects and careers in the construction
10		industry and building trades, including those who have been
11		historically underrepresented in those trades. To ensure that
12		those interests are met, the General Assembly hereby creates
13		the Illinois Works Preapprenticeship Program and the Illinois
14		Works Apprenticeship Initiative.
15		Section 20-10. Definitions.
16		"Apprentice" means a participant in an apprenticeship
17		program approved by and registered with the United States
18		Department of Labor's Bureau of Apprenticeship and Training.
19		"Apprenticeship program" means an apprenticeship and
20		training program approved by and registered with the United
21		States Department of Labor's Bureau of Apprenticeship and
22		Training.

SB0690 Enrolled - 199 - LRB101 04451 HLH 49459 b
1		"Bid credit" means a virtual dollar for a contractor or
2		subcontractor to use toward future bids for public works
3		contracts.
4		"Community-based organization" means a nonprofit
5		organization selected by the Department to participate in the
6		Illinois Works Preapprenticeship Program. To qualify as a
7		"community-based organization", the organization must
8		demonstrate the following:
9		(1) the ability to effectively serve diverse and
10		underrepresented populations, including by providing
11		employment services to such populations;
12		(2) knowledge of the construction and building trades;
13		(3) the ability to recruit, prescreen, and provide
14		preapprenticeship training to prepare workers for
15		employment in the construction and building trades; and
16		(4) a plan to provide the following:
17		(A) preparatory classes;
18		(B) workplace readiness skills, such as resume
19		preparation and interviewing techniques;
20		(C) strategies for overcoming barriers to entry
21		and completion of an apprenticeship program; and
22		(D) any prerequisites for acceptance into an
23		apprenticeship program.
24		"Contractor" means a person, corporation, partnership,
25		limited liability company, or joint venture entering into a
26		contract with the State or any State agency to construct a

SB0690 Enrolled - 200 - LRB101 04451 HLH 49459 b
1		public work.
2		"Department" means the Department of Commerce and Economic
3		Opportunity.
4		"Labor hours" means the total hours for workers who are
5		receiving an hourly wage and who are directly employed for the
6		public works project. "Labor hours" includes hours performed by
7		workers employed by the contractor and subcontractors on the
8		public works project. "Labor hours" does not include hours
9		worked by the forepersons, superintendents, owners, and
10		workers who are not subject to prevailing wage requirements.
11		"Minorities" means minority persons as defined in the
12		Business Enterprise for Minorities, Women, and Persons with
13		Disabilities Act.
14		"Public works" means all projects that constitute public
15		works under the Prevailing Wage Act.
16		"Subcontractor" means a person, corporation, partnership,
17		limited liability company, or joint venture that has contracted
18		with the contractor to perform all or part of the work to
19		construct a public work by a contractor.
20		"Underrepresented populations" means populations
21		identified by the Department that historically have had
22		barriers to entry or advancement in the workforce.
23		"Underrepresented populations" includes, but is not limited
24		to, minorities, women, and veterans.
25		Section 20-15. Illinois Works Preapprenticeship Program;

SB0690 Enrolled - 201 - LRB101 04451 HLH 49459 b
1		Illinois Works Bid Credit Program.
2		(a) The Illinois Works Preapprenticeship Program is
3		established and shall be administered by the Department. The
4		goal of the Illinois Works Preapprenticeship Program is to
5		create a network of community-based organizations throughout
6		the State that will recruit, prescreen, and provide
7		preapprenticeship skills training to create a qualified,
8		diverse pipeline of workers who are prepared for careers in the
9		construction and building trades. Upon completion of the
10		Illinois Works Preapprenticeship Program, the candidates will
11		be skilled and work-ready.
12		(b) There is created the Illinois Works Fund, a special
13		fund in the State treasury. The Illinois Works Fund shall be
14		administered by the Department. The Illinois Works Fund shall
15		be used to provide funding for community-based organizations
16		throughout the State. In addition to any other transfers that
17		may be provided for by law, on and after July 1, 2019 and until
18		June 30, 2020, at the direction of the Director of the
19		Governor's Office of Management and Budget, the State
20		Comptroller shall direct and the State Treasurer shall transfer
21		amounts not exceeding a total of $25,000,000 from the Rebuild
22		Illinois Projects Fund to the Illinois Works Fund.
23		(c) Each community-based organization that receives
24		funding from the Illinois Works Fund shall provide an annual
25		report to the Illinois Works Review Panel by April 1 of each
26		calendar year. The annual report shall include the following

SB0690 Enrolled - 202 - LRB101 04451 HLH 49459 b
1		information:
2		(1) a description of the community-based
3		organization's recruitment, screening, and training
4		efforts;
5		(2) the number of individuals who apply to, participate
6		in, and complete the community-based organization's
7		program, broken down by race, gender, age, and veteran
8		status; and
9		(3) the number of the individuals referenced in item
10		(2) of this subsection who are initially accepted and
11		placed into apprenticeship programs in the construction
12		and building trades.
13		(d) The Department shall create and administer the Illinois
14		Works Bid Credit Program that shall provide economic
15		incentives, through bid credits, to encourage contractors and
16		subcontractors to provide contracting and employment
17		opportunities to historically underrepresented populations in
18		the construction industry.
19		The Illinois Works Bid Credit Program shall allow
20		contractors and subcontractors to earn bid credits for use
21		toward future bids for public works projects in order to
22		increase the chances that the contractor and the subcontractors
23		will be selected.
24		Contractors or subcontractors may be eligible for bid
25		credits for employing apprentices who have completed the
26		Illinois Works Preapprenticeship Program. Contractors or

SB0690 Enrolled - 203 - LRB101 04451 HLH 49459 b
1		subcontractors shall earn bid credits at a rate established by
2		the Department and published on the Department's website,
3		including any appropriate caps.
4		The Illinois Works Credit Bank is hereby created and shall
5		be administered by the Department. The Illinois Works Credit
6		Bank shall track the bid credits.
7		A contractor or subcontractor who has been awarded bid
8		credits under any other State program for employing apprentices
9		who have completed the Illinois Works Preapprenticeship
10		Program is not eligible to receive bid credits under the
11		Illinois Works Bid Credit Program relating to the same
12		contract.
13		The Department shall report to the Illinois Works Review
14		Panel the following: (i) the number of bid credits awarded by
15		the Department; (ii) the number of bid credits submitted by the
16		contractor or subcontractor to the agency administering the
17		public works contract; and (iii) the number of bid credits
18		accepted by the agency for such contract. Any agency that
19		awards bid credits pursuant to the Illinois Works Credit Bank
20		Program shall report to the Department the number of bid
21		credits it accepted for the public works contract.
22		Upon a finding that a contractor or subcontractor has
23		reported falsified records to the Department in order to
24		fraudulently obtain bid credits, the Department shall
25		permanently bar the contractor or subcontractor from
26		participating in the Illinois Works Bid Credit Program and may

SB0690 Enrolled - 204 - LRB101 04451 HLH 49459 b
1		suspend the contractor or subcontractor from bidding on or
2		participating in any public works project. False or fraudulent
3		claims for payment relating to false bid credits may be subject
4		to damages and penalties under applicable law.
5		(e) The Department shall adopt any rules deemed necessary
6		to implement this Section.
7		Section 20-20. Illinois Works Apprenticeship Initiative.
8		(a) The Illinois Works Apprenticeship Initiative is
9		established and shall be administered by the Department.
10		(1) Subject to the exceptions set forth in subsection
11		(b) of this Section, apprentices shall be utilized on all
12		public works projects in accordance with this subsection
13		(a).
14		(2) For public works projects, the goal of the Illinois
15		Works Apprenticeship Initiative is that apprentices will
16		perform either 10% of the total labor hours actually worked
17		in each prevailing wage classification or 10% of the
18		estimated labor hours in each prevailing wage
19		classification, whichever is less.
20		(b) Before or during the term of a contract subject to this
21		Section, the Department may reduce or waive the goals set forth
22		in paragraph (2) of subsection (a). Prior to the Department
23		granting a request for a reduction or waiver, the Department
24		shall hold a public hearing and shall consult with the Business
25		Enterprise Council under the Business Enterprise for

SB0690 Enrolled - 205 - LRB101 04451 HLH 49459 b
1		Minorities, Women, and Persons with Disabilities Act and the
2		Chief Procurement Officer of the agency administering the
3		public works contract. The Department may grant a reduction or
4		waiver upon a determination that:
5		(1) the contractor or subcontractor has demonstrated
6		that insufficient apprentices are available;
7		(2) the reasonable and necessary requirements of the
8		contract do not allow the goal to be met;
9		(3) there is a disproportionately high ratio of
10		material costs to labor hours that makes meeting the goal
11		infeasible; or
12		(4) apprentice labor hour goals conflict with existing
13		requirements, including federal requirements, in
14		connection with the public work.
15		(c) Contractors and subcontractors must submit a
16		certification to the Department and the agency that is
17		administering the contract demonstrating that the contractor
18		or subcontractor has either:
19		(1) met the apprentice labor hour goals set forth in
20		paragraph (2) of subsection (a); or
21		(2) received a reduction or waiver pursuant to
22		subsection (b).
23		It shall be deemed to be a material breach of the contract
24		and entitle the State to declare a default, terminate the
25		contract, and exercise those remedies provided for in the
26		contract, at law, or in equity if the contractor or

SB0690 Enrolled - 206 - LRB101 04451 HLH 49459 b
1		subcontractor fails to submit the certification required in
2		this subsection or submits false or misleading information.
3		(d) No later than one year after the effective date of this
4		Act, and by April 1 of every calendar year thereafter, the
5		Department of Labor shall submit a report to the Illinois Works
6		Review Panel regarding the use of apprentices under the
7		Illinois Works Apprenticeship Initiative for public works
8		projects. To the extent it is available, the report shall
9		include the following information:
10		(1) the total number of labor hours on each project and
11		the percentage of labor hours actually worked by
12		apprentices on each public works project;
13		(2) the number of apprentices used in each public works
14		project, broken down by trade; and
15		(3) the number and percentage of minorities, women, and
16		veterans utilized as apprentices on each public works
17		project.
18		(e) The Department shall adopt any rules deemed necessary
19		to implement the Illinois Works Apprenticeship Initiative.
20		(f) The Illinois Works Apprenticeship Initiative shall not
21		interfere with any contracts or program in existence on the
22		effective date of this Act.
23		Section 20-25. The Illinois Works Review Panel.
24		(a) The Illinois Works Review Panel is created and shall be
25		comprised of 11 members, each serving 3-year terms. The Speaker

SB0690 Enrolled - 207 - LRB101 04451 HLH 49459 b
1		of the House of Representatives and the President of the Senate
2		shall each appoint 2 members. The Minority Leader of the House
3		of Representatives and the Minority Leader of the Senate shall
4		each appoint one member. The Director of Commerce and Economic
5		Opportunity, or his or her designee, shall serve as a member.
6		The Governor shall appoint the following individuals to serve
7		as members: a representative from a contractor organization; a
8		representative from a labor organization; and 2 members of the
9		public with workforce development expertise, one of whom shall
10		be a representative of a nonprofit organization that addresses
11		workforce development.
12		(b) The members of the Illinois Works Review Panel shall
13		make recommendations to the Department regarding
14		identification and evaluation of community-based
15		organizations.
16		(c) The Illinois Works Review Panel shall meet, at least
17		quarterly, to review and evaluate (i) the Illinois Works
18		Preapprenticeship Program and the Illinois Works
19		Apprenticeship Initiative, (ii) ideas to diversify the
20		workforce in the construction industry in Illinois, and (iii)
21		workforce demographic data collected by the Illinois
22		Department of Labor.
23		(d) All State contracts shall include a requirement that
24		the contractor and subcontractor shall, upon reasonable
25		notice, appear before and respond to requests for information
26		from the Illinois Works Review Panel.

SB0690 Enrolled - 208 - LRB101 04451 HLH 49459 b
1		(e) By August 1, 2020, and every August 1 thereafter, the
2		Illinois Works Review Panel shall report to the General
3		Assembly on its evaluation of the Illinois Works
4		Preapprenticeship Program and the Illinois Works
5		Apprenticeship initiative, including any recommended
6		modifications.
7		Section 20-900. The State Finance Act is amended by adding
8		Section 5.895 as follows:
9		(30 ILCS 105/5.895 new)
10		Sec. 5.895. The Illinois Works Fund.
11		Section 20-905. The Illinois Procurement Code is amended by
12		changing Section 20-10 as follows:
13		(30 ILCS 500/20-10)
14		(Text of Section from P.A. 96-159, 96-588, 97-96, 97-895,
15		98-1076, 99-906 and 100-43)
16		Sec. 20-10. Competitive sealed bidding; reverse auction.
17		(a) Conditions for use. All contracts shall be awarded by
18		competitive sealed bidding except as otherwise provided in
19		Section 20-5.
20		(b) Invitation for bids. An invitation for bids shall be
21		issued and shall include a purchase description and the
22		material contractual terms and conditions applicable to the

SB0690 Enrolled - 209 - LRB101 04451 HLH 49459 b
1		procurement.
2		(c) Public notice. Public notice of the invitation for bids
3		shall be published in the Illinois Procurement Bulletin at
4		least 14 calendar days before the date set in the invitation
5		for the opening of bids.
6		(d) Bid opening. Bids shall be opened publicly or through
7		an electronic procurement system in the presence of one or more
8		witnesses at the time and place designated in the invitation
9		for bids. The name of each bidder, including earned and applied
10		bid credit from the Illinois Works Jobs Program Act, the amount
11		of each bid, and other relevant information as may be specified
12		by rule shall be recorded. After the award of the contract, the
13		winning bid and the record of each unsuccessful bid shall be
14		open to public inspection.
15		(e) Bid acceptance and bid evaluation. Bids shall be
16		unconditionally accepted without alteration or correction,
17		except as authorized in this Code. Bids shall be evaluated
18		based on the requirements set forth in the invitation for bids,
19		which may include criteria to determine acceptability such as
20		inspection, testing, quality, workmanship, delivery, and
21		suitability for a particular purpose. Those criteria that will
22		affect the bid price and be considered in evaluation for award,
23		such as discounts, transportation costs, and total or life
24		cycle costs, shall be objectively measurable. The invitation
25		for bids shall set forth the evaluation criteria to be used.
26		(f) Correction or withdrawal of bids. Correction or

SB0690 Enrolled - 210 - LRB101 04451 HLH 49459 b
1		withdrawal of inadvertently erroneous bids before or after
2		award, or cancellation of awards of contracts based on bid
3		mistakes, shall be permitted in accordance with rules. After
4		bid opening, no changes in bid prices or other provisions of
5		bids prejudicial to the interest of the State or fair
6		competition shall be permitted. All decisions to permit the
7		correction or withdrawal of bids based on bid mistakes shall be
8		supported by written determination made by a State purchasing
9		officer.
10		(g) Award. The contract shall be awarded with reasonable
11		promptness by written notice to the lowest responsible and
12		responsive bidder whose bid meets the requirements and criteria
13		set forth in the invitation for bids, except when a State
14		purchasing officer determines it is not in the best interest of
15		the State and by written explanation determines another bidder
16		shall receive the award. The explanation shall appear in the
17		appropriate volume of the Illinois Procurement Bulletin. The
18		written explanation must include:
19		(1) a description of the agency's needs;
20		(2) a determination that the anticipated cost will be
21		fair and reasonable;
22		(3) a listing of all responsible and responsive
23		bidders; and
24		(4) the name of the bidder selected, the total contract
25		price, and the reasons for selecting that bidder.
26		Each chief procurement officer may adopt guidelines to

SB0690 Enrolled - 211 - LRB101 04451 HLH 49459 b
1		implement the requirements of this subsection (g).
2		The written explanation shall be filed with the Legislative
3		Audit Commission and the Procurement Policy Board, and be made
4		available for inspection by the public, within 30 calendar days
5		after the agency's decision to award the contract.
6		(h) Multi-step sealed bidding. When it is considered
7		impracticable to initially prepare a purchase description to
8		support an award based on price, an invitation for bids may be
9		issued requesting the submission of unpriced offers to be
10		followed by an invitation for bids limited to those bidders
11		whose offers have been qualified under the criteria set forth
12		in the first solicitation.
13		(i) Alternative procedures. Notwithstanding any other
14		provision of this Act to the contrary, the Director of the
15		Illinois Power Agency may create alternative bidding
16		procedures to be used in procuring professional services under
17		Section 1-56, subsections (a) and (c) of Section 1-75 and
18		subsection (d) of Section 1-78 of the Illinois Power Agency Act
19		and Section 16-111.5(c) of the Public Utilities Act and to
20		procure renewable energy resources under Section 1-56 of the
21		Illinois Power Agency Act. These alternative procedures shall
22		be set forth together with the other criteria contained in the
23		invitation for bids, and shall appear in the appropriate volume
24		of the Illinois Procurement Bulletin.
25		(j) Reverse auction. Notwithstanding any other provision
26		of this Section and in accordance with rules adopted by the

SB0690 Enrolled - 212 - LRB101 04451 HLH 49459 b
1		chief procurement officer, that chief procurement officer may
2		procure supplies or services through a competitive electronic
3		auction bidding process after the chief procurement officer
4		determines that the use of such a process will be in the best
5		interest of the State. The chief procurement officer shall
6		publish that determination in his or her next volume of the
7		Illinois Procurement Bulletin.
8		An invitation for bids shall be issued and shall include
9		(i) a procurement description, (ii) all contractual terms,
10		whenever practical, and (iii) conditions applicable to the
11		procurement, including a notice that bids will be received in
12		an electronic auction manner.
13		Public notice of the invitation for bids shall be given in
14		the same manner as provided in subsection (c).
15		Bids shall be accepted electronically at the time and in
16		the manner designated in the invitation for bids. During the
17		auction, a bidder's price shall be disclosed to other bidders.
18		Bidders shall have the opportunity to reduce their bid prices
19		during the auction. At the conclusion of the auction, the
20		record of the bid prices received and the name of each bidder
21		shall be open to public inspection.
22		After the auction period has terminated, withdrawal of bids
23		shall be permitted as provided in subsection (f).
24		The contract shall be awarded within 60 calendar days after
25		the auction by written notice to the lowest responsible bidder,
26		or all bids shall be rejected except as otherwise provided in

SB0690 Enrolled - 213 - LRB101 04451 HLH 49459 b
1		this Code. Extensions of the date for the award may be made by
2		mutual written consent of the State purchasing officer and the
3		lowest responsible bidder.
4		This subsection does not apply to (i) procurements of
5		professional and artistic services, (ii) telecommunications
6		services, communication services, and information services,
7		and (iii) contracts for construction projects, including
8		design professional services.
9		(Source: P.A. 99-906, eff. 6-1-17; 100-43, eff. 8-9-17.)
10		(Text of Section from P.A. 96-159, 96-795, 97-96, 97-895,
11		98-1076, 99-906, and 100-43)
12		Sec. 20-10. Competitive sealed bidding; reverse auction.
13		(a) Conditions for use. All contracts shall be awarded by
14		competitive sealed bidding except as otherwise provided in
15		Section 20-5.
16		(b) Invitation for bids. An invitation for bids shall be
17		issued and shall include a purchase description and the
18		material contractual terms and conditions applicable to the
19		procurement.
20		(c) Public notice. Public notice of the invitation for bids
21		shall be published in the Illinois Procurement Bulletin at
22		least 14 calendar days before the date set in the invitation
23		for the opening of bids.
24		(d) Bid opening. Bids shall be opened publicly or through
25		an electronic procurement system in the presence of one or more

SB0690 Enrolled - 214 - LRB101 04451 HLH 49459 b
1		witnesses at the time and place designated in the invitation
2		for bids. The name of each bidder, including earned and applied
3		bid credit from the Illinois Works Jobs Program Act, the amount
4		of each bid, and other relevant information as may be specified
5		by rule shall be recorded. After the award of the contract, the
6		winning bid and the record of each unsuccessful bid shall be
7		open to public inspection.
8		(e) Bid acceptance and bid evaluation. Bids shall be
9		unconditionally accepted without alteration or correction,
10		except as authorized in this Code. Bids shall be evaluated
11		based on the requirements set forth in the invitation for bids,
12		which may include criteria to determine acceptability such as
13		inspection, testing, quality, workmanship, delivery, and
14		suitability for a particular purpose. Those criteria that will
15		affect the bid price and be considered in evaluation for award,
16		such as discounts, transportation costs, and total or life
17		cycle costs, shall be objectively measurable. The invitation
18		for bids shall set forth the evaluation criteria to be used.
19		(f) Correction or withdrawal of bids. Correction or
20		withdrawal of inadvertently erroneous bids before or after
21		award, or cancellation of awards of contracts based on bid
22		mistakes, shall be permitted in accordance with rules. After
23		bid opening, no changes in bid prices or other provisions of
24		bids prejudicial to the interest of the State or fair
25		competition shall be permitted. All decisions to permit the
26		correction or withdrawal of bids based on bid mistakes shall be

SB0690 Enrolled - 215 - LRB101 04451 HLH 49459 b
1		supported by written determination made by a State purchasing
2		officer.
3		(g) Award. The contract shall be awarded with reasonable
4		promptness by written notice to the lowest responsible and
5		responsive bidder whose bid meets the requirements and criteria
6		set forth in the invitation for bids, except when a State
7		purchasing officer determines it is not in the best interest of
8		the State and by written explanation determines another bidder
9		shall receive the award. The explanation shall appear in the
10		appropriate volume of the Illinois Procurement Bulletin. The
11		written explanation must include:
12		(1) a description of the agency's needs;
13		(2) a determination that the anticipated cost will be
14		fair and reasonable;
15		(3) a listing of all responsible and responsive
16		bidders; and
17		(4) the name of the bidder selected, the total contract
18		price, and the reasons for selecting that bidder.
19		Each chief procurement officer may adopt guidelines to
20		implement the requirements of this subsection (g).
21		The written explanation shall be filed with the Legislative
22		Audit Commission and the Procurement Policy Board, and be made
23		available for inspection by the public, within 30 days after
24		the agency's decision to award the contract.
25		(h) Multi-step sealed bidding. When it is considered
26		impracticable to initially prepare a purchase description to

SB0690 Enrolled - 216 - LRB101 04451 HLH 49459 b
1		support an award based on price, an invitation for bids may be
2		issued requesting the submission of unpriced offers to be
3		followed by an invitation for bids limited to those bidders
4		whose offers have been qualified under the criteria set forth
5		in the first solicitation.
6		(i) Alternative procedures. Notwithstanding any other
7		provision of this Act to the contrary, the Director of the
8		Illinois Power Agency may create alternative bidding
9		procedures to be used in procuring professional services under
10		subsections (a) and (c) of Section 1-75 and subsection (d) of
11		Section 1-78 of the Illinois Power Agency Act and Section
12		16-111.5(c) of the Public Utilities Act and to procure
13		renewable energy resources under Section 1-56 of the Illinois
14		Power Agency Act. These alternative procedures shall be set
15		forth together with the other criteria contained in the
16		invitation for bids, and shall appear in the appropriate volume
17		of the Illinois Procurement Bulletin.
18		(j) Reverse auction. Notwithstanding any other provision
19		of this Section and in accordance with rules adopted by the
20		chief procurement officer, that chief procurement officer may
21		procure supplies or services through a competitive electronic
22		auction bidding process after the chief procurement officer
23		determines that the use of such a process will be in the best
24		interest of the State. The chief procurement officer shall
25		publish that determination in his or her next volume of the
26		Illinois Procurement Bulletin.

SB0690 Enrolled - 217 - LRB101 04451 HLH 49459 b
1		An invitation for bids shall be issued and shall include
2		(i) a procurement description, (ii) all contractual terms,
3		whenever practical, and (iii) conditions applicable to the
4		procurement, including a notice that bids will be received in
5		an electronic auction manner.
6		Public notice of the invitation for bids shall be given in
7		the same manner as provided in subsection (c).
8		Bids shall be accepted electronically at the time and in
9		the manner designated in the invitation for bids. During the
10		auction, a bidder's price shall be disclosed to other bidders.
11		Bidders shall have the opportunity to reduce their bid prices
12		during the auction. At the conclusion of the auction, the
13		record of the bid prices received and the name of each bidder
14		shall be open to public inspection.
15		After the auction period has terminated, withdrawal of bids
16		shall be permitted as provided in subsection (f).
17		The contract shall be awarded within 60 calendar days after
18		the auction by written notice to the lowest responsible bidder,
19		or all bids shall be rejected except as otherwise provided in
20		this Code. Extensions of the date for the award may be made by
21		mutual written consent of the State purchasing officer and the
22		lowest responsible bidder.
23		This subsection does not apply to (i) procurements of
24		professional and artistic services, (ii) telecommunications
25		services, communication services, and information services,
26		and (iii) contracts for construction projects, including

SB0690 Enrolled - 218 - LRB101 04451 HLH 49459 b
1		design professional services.
2		(Source: P.A. 99-906, eff. 6-1-17; 100-43, eff. 8-9-17.)
3		Section 20-910. The Prevailing Wage Act is amended by
4		changing Section 5 as follows:
5		(820 ILCS 130/5) (from Ch. 48, par. 39s-5)
6		(Text of Section before amendment by P.A. 100-1177)
7		Sec. 5. Certified payroll.
8		(a) Any contractor and each subcontractor who participates
9		in public works shall:
10		(1) make and keep, for a period of not less than 3
11		years from the date of the last payment made before January
12		1, 2014 (the effective date of Public Act 98-328) and for a
13		period of 5 years from the date of the last payment made on
14		or after January 1, 2014 (the effective date of Public Act
15		98-328) on a contract or subcontract for public works,
16		records of all laborers, mechanics, and other workers
17		employed by them on the project; the records shall include
18		(i) the worker's name, (ii) the worker's address, (iii) the
19		worker's telephone number when available, (iv) the
20		worker's social security number, (v) the worker's
21		classification or classifications, (vi) the worker's skill
22		level, such as apprentice or journeyman, (vii) (vi) the
23		worker's gross and net wages paid in each pay period,
24		(viii) (vii) the worker's number of hours worked each day,

SB0690 Enrolled - 219 - LRB101 04451 HLH 49459 b
1		(ix) (viii) the worker's starting and ending times of work
2		each day, (x) (ix) the worker's hourly wage rate, (xi) (x)
3		the worker's hourly overtime wage rate, (xii) (xi) the
4		worker's hourly fringe benefit rates, (xiii) (xii) the name
5		and address of each fringe benefit fund, (xiv) (xiii) the
6		plan sponsor of each fringe benefit, if applicable, and
7		(xv) (xiv) the plan administrator of each fringe benefit,
8		if applicable; and
9		(2) no later than the 15th day of each calendar month
10		file a certified payroll for the immediately preceding
11		month with the public body in charge of the project. A
12		certified payroll must be filed for only those calendar
13		months during which construction on a public works project
14		has occurred. The certified payroll shall consist of a
15		complete copy of the records identified in paragraph (1) of
16		this subsection (a), but may exclude the starting and
17		ending times of work each day. The certified payroll shall
18		be accompanied by a statement signed by the contractor or
19		subcontractor or an officer, employee, or agent of the
20		contractor or subcontractor which avers that: (i) he or she
21		has examined the certified payroll records required to be
22		submitted by the Act and such records are true and
23		accurate; (ii) the hourly rate paid to each worker is not
24		less than the general prevailing rate of hourly wages
25		required by this Act; and (iii) the contractor or
26		subcontractor is aware that filing a certified payroll that

SB0690 Enrolled - 220 - LRB101 04451 HLH 49459 b
1		he or she knows to be false is a Class A misdemeanor. A
2		general contractor is not prohibited from relying on the
3		certification of a lower tier subcontractor, provided the
4		general contractor does not knowingly rely upon a
5		subcontractor's false certification. Any contractor or
6		subcontractor subject to this Act and any officer,
7		employee, or agent of such contractor or subcontractor
8		whose duty as such officer, employee, or agent it is to
9		file such certified payroll who willfully fails to file
10		such a certified payroll on or before the date such
11		certified payroll is required by this paragraph to be filed
12		and any person who willfully files a false certified
13		payroll that is false as to any material fact is in
14		violation of this Act and guilty of a Class A misdemeanor.
15		The public body in charge of the project shall keep the
16		records submitted in accordance with this paragraph (2) of
17		subsection (a) before January 1, 2014 (the effective date
18		of Public Act 98-328) for a period of not less than 3
19		years, and the records submitted in accordance with this
20		paragraph (2) of subsection (a) on or after January 1, 2014
21		(the effective date of Public Act 98-328) for a period of 5
22		years, from the date of the last payment for work on a
23		contract or subcontract for public works. The records
24		submitted in accordance with this paragraph (2) of
25		subsection (a) shall be considered public records, except
26		an employee's address, telephone number, and social

SB0690 Enrolled - 221 - LRB101 04451 HLH 49459 b
1		security number, and made available in accordance with the
2		Freedom of Information Act. The public body shall accept
3		any reasonable submissions by the contractor that meet the
4		requirements of this Section.
5		A contractor, subcontractor, or public body may retain
6		records required under this Section in paper or electronic
7		format.
8		(b) Upon 7 business days' notice, the contractor and each
9		subcontractor shall make available for inspection and copying
10		at a location within this State during reasonable hours, the
11		records identified in paragraph (1) of subsection (a) of this
12		Section to the public body in charge of the project, its
13		officers and agents, the Director of Labor and his deputies and
14		agents, and to federal, State, or local law enforcement
15		agencies and prosecutors.
16		(c) A contractor or subcontractor who remits contributions
17		to fringe benefit funds that are jointly maintained and jointly
18		governed by one or more employers and one or more labor
19		organizations in accordance with the federal Labor Management
20		Relations Act shall make and keep certified payroll records
21		that include the information required under items (i) through
22		(ix) (viii) of paragraph (1) of subsection (a) only. However,
23		the information required under items (x) (ix) through (xv)
24		(xiv) of paragraph (1) of subsection (a) shall be required for
25		any contractor or subcontractor who remits contributions to a
26		fringe benefit fund that is not jointly maintained and jointly

SB0690 Enrolled - 222 - LRB101 04451 HLH 49459 b
1		governed by one or more employers and one or more labor
2		organizations in accordance with the federal Labor Management
3		Relations Act.
4		(Source: P.A. 97-571, eff. 1-1-12; 98-328, eff. 1-1-14; 98-482,
5		eff. 1-1-14; 98-756, eff. 7-16-14.)
6		(Text of Section after amendment by P.A. 100-1177)
7		Sec. 5. Certified payroll.
8		(a) Any contractor and each subcontractor who participates
9		in public works shall:
10		(1) make and keep, for a period of not less than 3
11		years from the date of the last payment made before January
12		1, 2014 (the effective date of Public Act 98-328) and for a
13		period of 5 years from the date of the last payment made on
14		or after January 1, 2014 (the effective date of Public Act
15		98-328) on a contract or subcontract for public works,
16		records of all laborers, mechanics, and other workers
17		employed by them on the project; the records shall include
18		(i) the worker's name, (ii) the worker's address, (iii) the
19		worker's telephone number when available, (iv) the last 4
20		digits of the worker's social security number, (v) the
21		worker's gender, (vi) the worker's race, (vii) the worker's
22		ethnicity, (viii) veteran status, (ix) the worker's
23		classification or classifications, (x) the worker's skill
24		level, such as apprentice or journeyman, (xi) (x) the
25		worker's gross and net wages paid in each pay period, (xii)

SB0690 Enrolled - 223 - LRB101 04451 HLH 49459 b
1		(xi) the worker's number of hours worked each day, (xiii)
2		(xii) the worker's starting and ending times of work each
3		day, (xiv) (xiii) the worker's hourly wage rate, (xv) (xiv)
4		the worker's hourly overtime wage rate, (xvi) (xv) the
5		worker's hourly fringe benefit rates, (xvii) (xvi) the name
6		and address of each fringe benefit fund, (xviii) (xvii) the
7		plan sponsor of each fringe benefit, if applicable, and
8		(xix) (xviii) the plan administrator of each fringe
9		benefit, if applicable; and
10		(2) no later than the 15th day of each calendar month
11		file a certified payroll for the immediately preceding
12		month with the public body in charge of the project until
13		the Department of Labor activates the database created
14		under Section 5.1 at which time certified payroll shall
15		only be submitted to that database, except for projects
16		done by State agencies that opt to have contractors submit
17		certified payrolls directly to that State agency. A State
18		agency that opts to directly receive certified payrolls
19		must submit the required information in a specified
20		electronic format to the Department of Labor no later than
21		10 days after the certified payroll was filed with the
22		State agency. A certified payroll must be filed for only
23		those calendar months during which construction on a public
24		works project has occurred. The certified payroll shall
25		consist of a complete copy of the records identified in
26		paragraph (1) of this subsection (a), but may exclude the

SB0690 Enrolled - 224 - LRB101 04451 HLH 49459 b
1		starting and ending times of work each day. The certified
2		payroll shall be accompanied by a statement signed by the
3		contractor or subcontractor or an officer, employee, or
4		agent of the contractor or subcontractor which avers that:
5		(i) he or she has examined the certified payroll records
6		required to be submitted by the Act and such records are
7		true and accurate; (ii) the hourly rate paid to each worker
8		is not less than the general prevailing rate of hourly
9		wages required by this Act; and (iii) the contractor or
10		subcontractor is aware that filing a certified payroll that
11		he or she knows to be false is a Class A misdemeanor. A
12		general contractor is not prohibited from relying on the
13		certification of a lower tier subcontractor, provided the
14		general contractor does not knowingly rely upon a
15		subcontractor's false certification. Any contractor or
16		subcontractor subject to this Act and any officer,
17		employee, or agent of such contractor or subcontractor
18		whose duty as such officer, employee, or agent it is to
19		file such certified payroll who willfully fails to file
20		such a certified payroll on or before the date such
21		certified payroll is required by this paragraph to be filed
22		and any person who willfully files a false certified
23		payroll that is false as to any material fact is in
24		violation of this Act and guilty of a Class A misdemeanor.
25		The public body in charge of the project shall keep the
26		records submitted in accordance with this paragraph (2) of

SB0690 Enrolled - 225 - LRB101 04451 HLH 49459 b
1		subsection (a) before January 1, 2014 (the effective date
2		of Public Act 98-328) for a period of not less than 3
3		years, and the records submitted in accordance with this
4		paragraph (2) of subsection (a) on or after January 1, 2014
5		(the effective date of Public Act 98-328) for a period of 5
6		years, from the date of the last payment for work on a
7		contract or subcontract for public works or until the
8		Department of Labor activates the database created under
9		Section 5.1, whichever is less. After the activation of the
10		database created under Section 5.1, the Department of Labor
11		rather than the public body in charge of the project shall
12		keep the records and maintain the database. The records
13		submitted in accordance with this paragraph (2) of
14		subsection (a) shall be considered public records, except
15		an employee's address, telephone number, social security
16		number, race, ethnicity, and gender, and made available in
17		accordance with the Freedom of Information Act. The public
18		body shall accept any reasonable submissions by the
19		contractor that meet the requirements of this Section.
20		A contractor, subcontractor, or public body may retain
21		records required under this Section in paper or electronic
22		format.
23		(b) Upon 7 business days' notice, the contractor and each
24		subcontractor shall make available for inspection and copying
25		at a location within this State during reasonable hours, the
26		records identified in paragraph (1) of subsection (a) of this

SB0690 Enrolled - 226 - LRB101 04451 HLH 49459 b
1		Section to the public body in charge of the project, its
2		officers and agents, the Director of Labor and his deputies and
3		agents, and to federal, State, or local law enforcement
4		agencies and prosecutors.
5		(c) A contractor or subcontractor who remits contributions
6		to fringe benefit funds that are jointly maintained and jointly
7		governed by one or more employers and one or more labor
8		organizations in accordance with the federal Labor Management
9		Relations Act shall make and keep certified payroll records
10		that include the information required under items (i) through
11		(viii) of paragraph (1) of subsection (a) only. However, the
12		information required under items (ix) through (xv) (xiv) of
13		paragraph (1) of subsection (a) shall be required for any
14		contractor or subcontractor who remits contributions to a
15		fringe benefit fund that is not jointly maintained and jointly
16		governed by one or more employers and one or more labor
17		organizations in accordance with the federal Labor Management
18		Relations Act.
19		(Source: P.A. 100-1177, eff. 6-1-19.)
20		Article 25. Sports Wagering Act
21		Section 25-1. Short title. This Article may be cited as the
22		Sports Wagering Act. References in this Article to "this Act"
23		mean this Article.

SB0690 Enrolled - 227 - LRB101 04451 HLH 49459 b
1		Section 25-5. Legislative findings. The General Assembly
2		recognizes the promotion of public safety is an important
3		consideration for sports leagues, teams, players, and fans at
4		large. All persons who present sporting contests are encouraged
5		to take reasonable measures to ensure the safety and security
6		of all involved or attending sporting contests. Persons who
7		present sporting contests are encouraged to establish codes of
8		conduct that forbid all persons associated with the sporting
9		contest from engaging in violent behavior and to hire, train,
10		and equip safety and security personnel to enforce those codes
11		of conduct. Persons who present sporting contests are further
12		encouraged to provide public notice of those codes of conduct.
13		Section 25-10. Definitions. As used in this Act:
14		"Adjusted gross sports wagering receipts" means a master
15		sports wagering licensee's gross sports wagering receipts,
16		less winnings paid to wagerers in such games.
17		"Athlete" means any current or former professional athlete
18		or collegiate athlete.
19		"Board" means the Illinois Gaming Board.
20		"Covered persons" includes athletes; umpires, referees,
21		and officials; personnel associated with clubs, teams,
22		leagues, and athletic associations; medical professionals
23		(including athletic trainers) who provide services to athletes
24		and players; and the family members and associates of these
25		persons where required to serve the purposes of this Act.

SB0690 Enrolled - 228 - LRB101 04451 HLH 49459 b
1		"Department" means the Department of the Lottery.
2		"Gaming facility" means a facility at which gambling
3		operations are conducted under the Illinois Gambling Act,
4		pari-mutuel wagering is conducted under the Illinois Horse
5		Racing Act of 1975, or sports wagering is conducted under this
6		Act.
7		"Official league data" means statistics, results,
8		outcomes, and other data related to a sports event obtained
9		pursuant to an agreement with the relevant sports governing
10		body, or an entity expressly authorized by the sports governing
11		body to provide such information to licensees, that authorizes
12		the use of such data for determining the outcome of tier 2
13		sports wagers on such sports events.
14		"Organization licensee" has the meaning given to that term
15		in the Illinois Horse Racing Act of 1975.
16		"Owners licensee" means the holder of an owners license
17		under the Illinois Gambling Act.
18		"Person" means an individual, partnership, committee,
19		association, corporation, or any other organization or group of
20		persons.
21		"Personal biometric data" means an athlete's information
22		derived from DNA, heart rate, blood pressure, perspiration
23		rate, internal or external body temperature, hormone levels,
24		glucose levels, hydration levels, vitamin levels, bone
25		density, muscle density, and sleep patterns.
26		"Prohibited conduct" includes any statement, action, and

SB0690 Enrolled - 229 - LRB101 04451 HLH 49459 b
1		other communication intended to influence, manipulate, or
2		control a betting outcome of a sporting contest or of any
3		individual occurrence or performance in a sporting contest in
4		exchange for financial gain or to avoid financial or physical
5		harm. "Prohibited conduct" includes statements, actions, and
6		communications made to a covered person by a third party, such
7		as a family member or through social media. "Prohibited
8		conduct" does not include statements, actions, or
9		communications made or sanctioned by a team or sports governing
10		body.
11		"Qualified applicant" means an applicant for a license
12		under this Act whose application meets the mandatory minimum
13		qualification criteria as required by the Board.
14		"Sporting contest" means a sports event or game on which
15		the State allows sports wagering to occur under this Act.
16		"Sports event" means a professional sport or athletic
17		event, a collegiate sport or athletic event, a motor race
18		event, or any other event or competition of relative skill
19		authorized by the Board under this Act.
20		"Sports facility" means a facility that hosts sports events
21		and holds a seating capacity greater than 17,000 persons.
22		"Sports governing body" means the organization that
23		prescribes final rules and enforces codes of conduct with
24		respect to a sports event and participants therein.
25		"Sports wagering" means accepting wagers on sports events
26		or portions of sports events, or on the individual performance

SB0690 Enrolled - 230 - LRB101 04451 HLH 49459 b
1		statistics of athletes in a sports event or combination of
2		sports events, by any system or method of wagering, including,
3		but not limited to, in person or over the Internet through
4		websites and on mobile devices. "Sports wagering" includes, but
5		is not limited to, single-game bets, teaser bets, parlays,
6		over-under, moneyline, pools, exchange wagering, in-game
7		wagering, in-play bets, proposition bets, and straight bets.
8		"Sports wagering account" means a financial record
9		established by a master sports wagering licensee for an
10		individual patron in which the patron may deposit and withdraw
11		funds for sports wagering and other authorized purchases and to
12		which the master sports wagering licensee may credit winnings
13		or other amounts due to that patron or authorized by that
14		patron.
15		"Tier 1 sports wager" means a sports wager that is
16		determined solely by the final score or final outcome of the
17		sports event and is placed before the sports event has begun.
18		"Tier 2 sports wager" means a sports wager that is not a
19		tier 1 sports wager.
20		"Wager" means a sum of money or thing of value risked on an
21		uncertain occurrence.
22		"Winning bidder" means a qualified applicant for a master
23		sports wagering license chosen through the competitive
24		selection process under Section 25-45.
25		Section 25-15. Board duties and powers.

SB0690 Enrolled - 231 - LRB101 04451 HLH 49459 b
1		(a) Except for sports wagering conducted under Section
2		25-70, the Board shall have the authority to regulate the
3		conduct of sports wagering under this Act.
4		(b) The Board may adopt any rules the Board considers
5		necessary for the successful implementation, administration,
6		and enforcement of this Act, except for Section 25-70. Rules
7		proposed by the Board may be adopted as emergency rules
8		pursuant to Section 5-45 of the Illinois Administrative
9		Procedure Act.
10		(c) The Board shall levy and collect all fees, surcharges,
11		civil penalties, and monthly taxes on adjusted gross sports
12		wagering receipts imposed by this Act and deposit all moneys
13		into the Sports Wagering Fund, except as otherwise provided
14		under this Act.
15		(d) The Board may exercise any other powers necessary to
16		enforce the provisions of this Act that it regulates and the
17		rules of the Board.
18		(e) The Board shall adopt rules for a license to be
19		employed by a master sports wagering licensee when the employee
20		works in a designated gaming area that has sports wagering or
21		performs duties in furtherance of or associated with the
22		operation of sports wagering by the master sports wagering
23		licensee (occupational license), which shall require an annual
24		license fee of $250. License fees shall be deposited into the
25		State Gaming Fund and used for the administration of this Act.
26		(f) The Board may require that licensees share, in real

SB0690 Enrolled - 232 - LRB101 04451 HLH 49459 b
1		time and at the sports wagering account level, information
2		regarding a wagerer, amount and type of wager, the time the
3		wager was placed, the location of the wager, including the
4		Internet protocol address, if applicable, the outcome of the
5		wager, and records of abnormal wagering activity. Information
6		shared under this subsection (f) must be submitted in the form
7		and manner as required by rule. If a sports governing body has
8		notified the Board that real-time information sharing for
9		wagers placed on its sports events is necessary and desirable,
10		licensees may share the same information in the form and manner
11		required by the Board by rule with the sports governing body or
12		its designee with respect to wagers on its sports events
13		subject to applicable federal, State, or local laws or
14		regulations, including, without limitation, privacy laws and
15		regulations. Such information may be provided in anonymized
16		form and may be used by a sports governing body solely for
17		integrity purposes. For purposes of this subsection (f),
18		"real-time" means a commercially reasonable periodic interval.
19		(g) A master sports wagering licensee, professional sports
20		team, league, or association, sports governing body, or
21		institution of higher education may submit to the Board in
22		writing a request to prohibit a type or form of wagering if the
23		master sports wagering licensee, professional sports team,
24		league, or association, sports governing body, or institution
25		of higher education believes that such wagering by type or form
26		is contrary to public policy, unfair to consumers, or affects

SB0690 Enrolled - 233 - LRB101 04451 HLH 49459 b
1		the integrity of a particular sport or the sports betting
2		industry. The Board shall grant the request upon a
3		demonstration of good cause from the requester and consultation
4		with licensees. The Board shall respond to a request pursuant
5		to this subsection (g) concerning a particular event before the
6		start of the event or, if it is not feasible to respond before
7		the start of the event, as soon as practicable.
8		(h) The Board and master sports wagering licensees may
9		cooperate with investigations conducted by sports governing
10		bodies or law enforcement agencies, including, but not limited
11		to, providing and facilitating the provision of account-level
12		betting information and audio or video files relating to
13		persons placing wagers.
14		(i) A master sports wagering licensee shall make
15		commercially reasonable efforts to promptly notify the Board
16		any information relating to:
17		(1) criminal or disciplinary proceedings commenced
18		against the master sports wagering licensee in connection
19		with its operations;
20		(2) abnormal wagering activity or patterns that may
21		indicate a concern with the integrity of a sports event or
22		sports events;
23		(3) any potential breach of the relevant sports
24		governing body's internal rules and codes of conduct
25		pertaining to sports wagering that a licensee has knowledge
26		of;

SB0690 Enrolled - 234 - LRB101 04451 HLH 49459 b
1		(4) any other conduct that corrupts a wagering outcome
2		of a sports event or sports events for purposes of
3		financial gain, including match fixing; and
4		(5) suspicious or illegal wagering activities,
5		including use of funds derived from illegal activity,
6		wagers to conceal or launder funds derived from illegal
7		activity, using agents to place wagers, and using false
8		identification.
9		A master sports wagering licensee shall also make
10		commercially reasonable efforts to promptly report information
11		relating to conduct described in paragraphs (2), (3), and (4)
12		of this subsection (i) to the relevant sports governing body.
13		Section 25-20. Licenses required.
14		(a) No person may engage in any activity in connection with
15		sports wagering in this State unless all necessary licenses
16		have been obtained in accordance with this Act and the rules of
17		the Board and the Department. The following licenses shall be
18		issued under this Act:
19		(1) master sports wagering license;
20		(2) occupational license;
21		(3) supplier license;
22		(4) management services provider license
23		(5) tier 2 official league data provider license; and
24		(6) central system provider license.
25		No person or entity may engage in a sports wagering

SB0690 Enrolled - 235 - LRB101 04451 HLH 49459 b
1		operation or activity without first obtaining the appropriate
2		license.
3		(b) An applicant for a license issued under this Act shall
4		submit an application to the Board in the form the Board
5		requires. The applicant shall submit fingerprints for a
6		national criminal records check by the Department of State
7		Police and the Federal Bureau of Investigation. The
8		fingerprints shall be furnished by the applicant's officers and
9		directors (if a corporation), members (if a limited liability
10		company), and partners (if a partnership). The fingerprints
11		shall be accompanied by a signed authorization for the release
12		of information by the Federal Bureau of Investigation. The
13		Board may require additional background checks on licensees
14		when they apply for license renewal, and an applicant convicted
15		of a disqualifying offense shall not be licensed.
16		(c) Each master sports wagering licensee shall display the
17		license conspicuously in the licensee's place of business or
18		have the license available for inspection by an agent of the
19		Board or a law enforcement agency.
20		(d) Each holder of an occupational license shall carry the
21		license and have some indicia of licensure prominently
22		displayed on his or her person when present in a gaming
23		facility licensed under this Act at all times, in accordance
24		with the rules of the Board.
25		(e) Each person licensed under this Act shall give the
26		Board written notice within 30 days after a material change to

SB0690 Enrolled - 236 - LRB101 04451 HLH 49459 b
1		information provided in the licensee's application for a
2		license or renewal.
3		Section 25-25. Sports wagering authorized.
4		(a) Notwithstanding any provision of law to the contrary,
5		the operation of sports wagering is only lawful when conducted
6		in accordance with the provisions of this Act and the rules of
7		the Illinois Gaming Board and the Department of the Lottery.
8		(b) A person placing a wager under this Act shall be at
9		least 21 years of age.
10		(c) A licensee under this Act may not accept a wager on a
11		minor league sports event.
12		(d) A licensee under this Act may not accept a wager for a
13		sports event involving an Illinois collegiate team.
14		(e) A licensee under this Act may only accept a wager from
15		a person physically located in the State.
16		(f) Master sports wagering licensees may use any data
17		source for determining the results of all tier 1 sports wagers.
18		(g) A sports governing body headquartered in the United
19		States may notify the Board that it desires to supply official
20		league data to master sports wagering licensees for determining
21		the results of tier 2 sports wagers. Such notification shall be
22		made in the form and manner as the Board may require. If a
23		sports governing body does not notify the Board of its desire
24		to supply official league data, a master sports wagering
25		licensee may use any data source for determining the results of

SB0690 Enrolled - 237 - LRB101 04451 HLH 49459 b
1		any and all tier 2 sports wagers on sports contests for that
2		sports governing body.
3		Within 30 days of a sports governing body notifying the
4		Board, master sports wagering licensees shall use only official
5		league data to determine the results of tier 2 sports wagers on
6		sports events sanctioned by that sports governing body, unless:
7		(1) the sports governing body or designee cannot provide a feed
8		of official league data to determine the results of a
9		particular type of tier 2 sports wager, in which case master
10		sports wagering licensees may use any data source for
11		determining the results of the applicable tier 2 sports wager
12		until such time as such data feed becomes available on
13		commercially reasonable terms; or (2) a master sports wagering
14		licensee can demonstrate to the Board that the sports governing
15		body or its designee cannot provide a feed of official league
16		data to the master sports wagering licensee on commercially
17		reasonable terms. During the pendency of the Board's
18		determination, such master sports wagering licensee may use any
19		data source for determining the results of any and all tier 2
20		sports wagers.
21		(h) A licensee under this Act may not accept wagers on a
22		kindergarten through 12th grade sports event.
23		Section 25-30. Master sports wagering license issued to an
24		organization licensee.
25		(a) An organization licensee may apply to the Board for a

SB0690 Enrolled - 238 - LRB101 04451 HLH 49459 b
1		master sports wagering license. To the extent permitted by
2		federal and State law, the Board shall actively seek to achieve
3		racial, ethnic, and geographic diversity when issuing master
4		sports wagering licenses to organization licensees and
5		encourage minority-owned businesses, women-owned businesses,
6		veteran-owned businesses, and businesses owned by persons with
7		disabilities to apply for licensure. Additionally, the report
8		published under subsection (m) of Section 25-45 shall impact
9		the issuance of the master sports wagering license to the
10		extent permitted by federal and State law.
11		For the purposes of this subsection (a), "minority-owned
12		business", "women-owned business", and "business owned by
13		persons with disabilities" have the meanings given to those
14		terms in Section 2 of the Business Enterprise for Minorities,
15		Women, and Persons with Disabilities Act.
16		(b) Except as otherwise provided in this subsection (b),
17		the initial license fee for a master sports wagering license
18		for an organization licensee is 5% of its handle from the
19		preceding calendar year or the lowest amount that is required
20		to be paid as an initial license fee by an owners licensee
21		under subsection (b) of Section 25-35, whichever is greater. No
22		initial license fee shall exceed $10,000,000. An organization
23		licensee licensed on the effective date of this Act shall pay
24		the initial master sports wagering license fee by July 1, 2020.
25		For an organization licensee licensed after the effective date
26		of this Act, the master sports wagering license fee shall be

SB0690 Enrolled - 239 - LRB101 04451 HLH 49459 b
1		$5,000,000, but the amount shall be adjusted 12 months after
2		the organization licensee begins racing operations based on 5%
3		of its handle from the first 12 months of racing operations.
4		The master sports wagering license is valid for 4 years.
5		(c) The organization licensee may renew the master sports
6		wagering license for a period of 4 years by paying a $1,000,000
7		renewal fee to the Board.
8		(d) An organization licensee issued a master sports
9		wagering license may conduct sports wagering:
10		(1) at its facility at which inter-track wagering is
11		conducted pursuant to an inter-track wagering license
12		under the Illinois Horse Racing Act of 1975;
13		(2) at 3 inter-track wagering locations if the
14		inter-track wagering location licensee from which it
15		derives its license is an organization licensee that is
16		issued a master sports wagering license; and
17		(3) over the Internet or through a mobile application.
18		(e) The sports wagering offered over the Internet or
19		through a mobile application shall only be offered under either
20		the same brand as the organization licensee is operating under
21		or a brand owned by a direct or indirect holding company that
22		owns at least an 80% interest in that organization licensee on
23		the effective date of this Act.
24		(f) Until issuance of the first license under Section
25		25-45, an individual must create a sports wagering account in
26		person at a facility under paragraph (1) or (2) of subsection

SB0690 Enrolled - 240 - LRB101 04451 HLH 49459 b
1		(d) to participate in sports wagering offered over the Internet
2		or through a mobile application.
3		Section 25-35. Master sports wagering license issued to an
4		owners licensee.
5		(a) An owners licensee may apply to the Board for a master
6		sports wagering license. To the extent permitted by federal and
7		State law, the Board shall actively seek to achieve racial,
8		ethnic, and geographic diversity when issuing master sports
9		wagering licenses to owners licensees and encourage
10		minority-owned businesses, women-owned businesses,
11		veteran-owned businesses, and businesses owned by persons with
12		disabilities to apply for licensure. Additionally, the report
13		published under subsection (m) of Section 25-45 shall impact
14		the issuance of the master sports wagering license to the
15		extent permitted by federal and State law.
16		For the purposes of this subsection (a), "minority-owned
17		business", "women-owned business", and "business owned by
18		persons with disabilities" have the meanings given to those
19		terms in Section 2 of the Business Enterprise for Minorities,
20		Women, and Persons with Disabilities Act.
21		(b) Except as otherwise provided in subsection (b-5), the
22		initial license fee for a master sports wagering license for an
23		owners licensee is 5% of its adjusted gross receipts from the
24		preceding calendar year. No initial license fee shall exceed
25		$10,000,000. An owners licensee licensed on the effective date

SB0690 Enrolled - 241 - LRB101 04451 HLH 49459 b
1		of this Act shall pay the initial master sports wagering
2		license fee by July 1, 2020. The master sports wagering license
3		is valid for 4 years.
4		(b-5) For an owners licensee licensed after the effective
5		date of this Act, the master sports wagering license fee shall
6		be $5,000,000, but the amount shall be adjusted 12 months after
7		the owners licensee begins gambling operations under the
8		Illinois Gambling Act based on 5% of its adjusted gross
9		receipts from the first 12 months of gambling operations. The
10		master sports wagering license is valid for 4 years.
11		(c) The owners licensee may renew the master sports
12		wagering license for a period of 4 years by paying a $1,000,000
13		renewal fee to the Board.
14		(d) An owners licensee issued a master sports wagering
15		license may conduct sports wagering:
16		(1) at its facility in this State that is authorized to
17		conduct gambling operations under the Illinois Gambling
18		Act; and
19		(2) over the Internet or through a mobile application.
20		(e) The sports wagering offered over the Internet or
21		through a mobile application shall only be offered under either
22		the same brand as the owners licensee is operating under or a
23		brand owned by a direct or indirect holding company that owns
24		at least an 80% interest in that owners licensee on the
25		effective date of this Act.
26		(f) Until issuance of the first license under Section

SB0690 Enrolled - 242 - LRB101 04451 HLH 49459 b
1		25-45, an individual must create a sports wagering account in
2		person at a facility under paragraph (1) of subsection (d) to
3		participate in sports wagering offered over the Internet or
4		through a mobile application.
5		Section 25-40. Master sports wagering license issued to a
6		sports facility.
7		(a) As used in this Section, "designee" means a master
8		sports wagering licensee under Section 25-30, 25-35, or 25-45
9		or a management services provider licensee.
10		(b) A sports facility or a designee contracted to operate
11		sports wagering at or within a 5-block radius of the sports
12		facility may apply to the Board for a master sports wagering
13		license. To the extent permitted by federal and State law, the
14		Board shall actively seek to achieve racial, ethnic, and
15		geographic diversity when issuing master sports wagering
16		licenses to sports facilities or their designees and encourage
17		minority-owned businesses, women-owned businesses,
18		veteran-owned businesses, and businesses owned by persons with
19		disabilities to apply for licensure. Additionally, the report
20		published under subsection (m) of Section 25-45 shall impact
21		the issuance of the master sports wagering license to the
22		extent permitted by federal and State law.
23		For the purposes of this subsection (b), "minority-owned
24		business", "women-owned business", and "business owned by
25		persons with disabilities" have the meanings given to those

SB0690 Enrolled - 243 - LRB101 04451 HLH 49459 b
1		terms in Section 2 of the Business Enterprise for Minorities,
2		Women, and Persons with Disabilities Act.
3		(c) The Board may issue up to 7 master sports wagering
4		licenses to sports facilities or their designees that meet the
5		requirements for licensure as determined by rule by the Board.
6		If more than 7 qualified applicants apply for a master sports
7		wagering license under this Section, the licenses shall be
8		granted in the order in which the applications were received.
9		If a license is denied, revoked, or not renewed, the Board may
10		begin a new application process and issue a license under this
11		Section in the order in which the application was received.
12		(d) The initial license fee for a master sports wagering
13		license for a sports facility is $10,000,000. The master sports
14		wagering license is valid for 4 years.
15		(e) The sports facility or its designee may renew the
16		master sports wagering license for a period of 4 years by
17		paying a $1,000,000 renewal fee to the Board.
18		(f) A sports facility or its designee issued a master
19		sports wagering license may conduct sports wagering at or
20		within a 5-block radius of the sports facility.
21		(g) A sports facility or its designee issued a master
22		sports wagering license may conduct sports wagering over the
23		Internet within the sports facility or within a 5-block radius
24		of the sports facility.
25		(h) The sports wagering offered by a sports facility or its
26		designee over the Internet or through a mobile application

SB0690 Enrolled - 244 - LRB101 04451 HLH 49459 b
1		shall be offered under the same brand as the sports facility is
2		operating under, the brand the designee is operating under, or
3		a combination thereof.
4		(i) Until issuance of the first license under Section
5		25-45, an individual must register in person at a sports
6		facility or the designee's facility to participate in sports
7		wagering offered over the Internet or through a mobile
8		application.
9		Section 25-45. Master sports wagering license issued to an
10		online sports wagering operator.
11		(a) The Board shall issue 3 master sports wagering licenses
12		to online sports wagering operators for a nonrefundable license
13		fee of $20,000,000 pursuant to an open and competitive
14		selection process. The master sports wagering license issued
15		under this Section may be renewed every 4 years upon payment of
16		a $1,000,000 renewal fee. To the extent permitted by federal
17		and State law, the Board shall actively seek to achieve racial,
18		ethnic, and geographic diversity when issuing master sports
19		wagering licenses under this Section and encourage
20		minority-owned businesses, women-owned businesses,
21		veteran-owned businesses, and businesses owned by persons with
22		disabilities to apply for licensure.
23		For the purposes of this subsection (a), "minority-owned
24		business", "women-owned business", and "business owned by
25		persons with disabilities" have the meanings given to those

SB0690 Enrolled - 245 - LRB101 04451 HLH 49459 b
1		terms in Section 2 of the Business Enterprise for Minorities,
2		Women, and Persons with Disabilities Act.
3		(b) Applications for the initial competitive selection
4		occurring after the effective date of this Act shall be
5		received by the Board within 540 days after the first license
6		is issued under this Act to qualify. The Board shall announce
7		the winning bidders for the initial competitive selection
8		within 630 days after the first license is issued under this
9		Act, and this time frame may be extended at the discretion of
10		the Board.
11		(c) The Board shall provide public notice of its intent to
12		solicit applications for master sports wagering licenses under
13		this Section by posting the notice, application instructions,
14		and materials on its website for at least 30 calendar days
15		before the applications are due. Failure by an applicant to
16		submit all required information may result in the application
17		being disqualified. The Board may notify an applicant that its
18		application is incomplete and provide an opportunity to cure by
19		rule. Application instructions shall include a brief overview
20		of the selection process and how applications are scored.
21		(d) To be eligible for a master sports wagering license
22		under this Section, an applicant must: (1) be at least 21 years
23		of age; (2) not have been convicted of a felony offense or a
24		violation of Article 28 of the Criminal Code of 1961 or the
25		Criminal Code of 2012 or a similar statute of any other
26		jurisdiction; (3) not have been convicted of a crime involving

SB0690 Enrolled - 246 - LRB101 04451 HLH 49459 b
1		dishonesty or moral turpitude; (4) have demonstrated a level of
2		skill or knowledge that the Board determines to be necessary in
3		order to operate sports wagering; and (5) have met standards
4		for the holding of a license as adopted by rules of the Board.
5		The Board may adopt rules to establish additional
6		qualifications and requirements to preserve the integrity and
7		security of sports wagering in this State and to promote and
8		maintain a competitive sports wagering market. After the close
9		of the application period, the Board shall determine whether
10		the applications meet the mandatory minimum qualification
11		criteria and conduct a comprehensive, fair, and impartial
12		evaluation of all qualified applications.
13		(e) The Board shall open all qualified applications in a
14		public forum and disclose the applicants' names. The Board
15		shall summarize the terms of the proposals and make the
16		summaries available to the public on its website.
17		(f) Not more than 90 days after the publication of the
18		qualified applications, the Board shall identify the winning
19		bidders. In granting the licenses, the Board may give favorable
20		consideration to qualified applicants presenting plans that
21		provide for economic development and community engagement. To
22		the extent permitted by federal and State law, the Board may
23		give favorable consideration to qualified applicants
24		demonstrating commitment to diversity in the workplace.
25		(g) Upon selection of the winning bidders, the Board shall
26		have a reasonable period of time to ensure compliance with all

SB0690 Enrolled - 247 - LRB101 04451 HLH 49459 b
1		applicable statutory and regulatory criteria before issuing
2		the licenses. If the Board determines a winning bidder does not
3		satisfy all applicable statutory and regulatory criteria, the
4		Board shall select another bidder from the remaining qualified
5		applicants.
6		(h) Nothing in this Section is intended to confer a
7		property or other right, duty, privilege, or interest entitling
8		an applicant to an administrative hearing upon denial of an
9		application.
10		(i) Upon issuance of a master sports wagering license to a
11		winning bidder, the information and plans provided in the
12		application become a condition of the license. A master sports
13		wagering licensee under this Section has a duty to disclose any
14		material changes to the application. Failure to comply with the
15		conditions or requirements in the application may subject the
16		master sports wagering licensee under this Section to
17		discipline, including, but not limited to, fines, suspension,
18		and revocation of its license, pursuant to rules adopted by the
19		Board.
20		(j) The Board shall disseminate information about the
21		licensing process through media demonstrated to reach large
22		numbers of business owners and entrepreneurs who are
23		minorities, women, veterans, and persons with disabilities.
24		(k) The Department of Commerce and Economic Opportunity, in
25		conjunction with the Board, shall conduct ongoing, thorough,
26		and comprehensive outreach to businesses owned by minorities,

SB0690 Enrolled - 248 - LRB101 04451 HLH 49459 b
1		women, veterans, and persons with disabilities about
2		contracting and entrepreneurial opportunities in sports
3		wagering. This outreach shall include, but not be limited to:
4		(1) cooperating and collaborating with other State
5		boards, commissions, and agencies; public and private
6		universities and community colleges; and local governments
7		to target outreach efforts; and
8		(2) working with organizations serving minorities,
9		women, and persons with disabilities to establish and
10		conduct training for employment in sports wagering.
11		(l) The Board shall partner with the Department of Labor,
12		the Department of Financial and Professional Regulation, and
13		the Department of Commerce and Economic Opportunity to identify
14		employment opportunities within the sports wagering industry
15		for job seekers and dislocated workers.
16		(m) By March 1, 2020, the Board shall prepare a request for
17		proposals to conduct a study of the online sports wagering
18		industry and market to determine whether there is a compelling
19		interest in implementing remedial measures, including the
20		application of the Business Enterprise Program under the
21		Business Enterprise for Minorities, Women, and Persons with
22		Disabilities Act or a similar program to assist minorities,
23		women, and persons with disabilities in the sports wagering
24		industry.
25		As a part of the study, the Board shall evaluate race and
26		gender-neutral programs or other methods that may be used to

SB0690 Enrolled - 249 - LRB101 04451 HLH 49459 b
1		address the needs of minority and women applicants and
2		minority-owned and women-owned businesses seeking to
3		participate in the sports wagering industry. The Board shall
4		submit to the General Assembly and publish on its website the
5		results of this study by August 1, 2020.
6		If, as a result of the study conducted under this
7		subsection (m), the Board finds that there is a compelling
8		interest in implementing remedial measures, the Board may adopt
9		rules, including emergency rules, to implement remedial
10		measures, if necessary and to the extent permitted by State and
11		federal law, based on the findings of the study conducted under
12		this subsection (m).
13		Section 25-50. Supplier license.
14		(a) The Board may issue a supplier license to a person to
15		sell or lease sports wagering equipment, systems, or other
16		gaming items to conduct sports wagering and offer services
17		related to the equipment or other gaming items and data to a
18		master sports wagering licensee while the license is active.
19		(b) The Board may adopt rules establishing additional
20		requirements for a supplier and any system or other equipment
21		utilized for sports wagering. The Board may accept licensing by
22		another jurisdiction that it specifically determines to have
23		similar licensing requirements as evidence the applicant meets
24		supplier licensing requirements.
25		(c) An applicant for a supplier license shall demonstrate

SB0690 Enrolled - 250 - LRB101 04451 HLH 49459 b
1		that the equipment, system, or services that the applicant
2		plans to offer to the master sports wagering licensee conforms
3		to standards established by the Board and applicable State law.
4		The Board may accept approval by another jurisdiction that it
5		specifically determines have similar equipment standards as
6		evidence the applicant meets the standards established by the
7		Board and applicable State law.
8		(d) Applicants shall pay to the Board a nonrefundable
9		license and application fee in the amount of $150,000. After
10		the initial 4-year term, the Board shall renew supplier
11		licenses annually thereafter. Renewal of a supplier license
12		shall be granted to a renewal applicant who has continued to
13		comply with all applicable statutory and regulatory
14		requirements, upon submission of the Board-issued renewal form
15		and payment of a $150,000 renewal fee.
16		(e) A supplier shall submit to the Board a list of all
17		sports wagering equipment and services sold, delivered, or
18		offered to a master sports wagering licensee in this State, as
19		required by the Board, all of which must be tested and approved
20		by an independent testing laboratory approved by the Board. A
21		master sports wagering licensee may continue to use supplies
22		acquired from a licensed supplier, even if a supplier's license
23		expires or is otherwise canceled, unless the Board finds a
24		defect in the supplies.
25		Section 25-55. Management services provider license.

SB0690 Enrolled - 251 - LRB101 04451 HLH 49459 b
1		(a) A master sports wagering licensee may contract with an
2		entity to conduct that operation in accordance with the rules
3		of the Board and the provisions of this Act. That entity shall
4		obtain a license as a management services provider before the
5		execution of any such contract, and the management services
6		provider license shall be issued pursuant to the provisions of
7		this Act and any rules adopted by the Board.
8		(b) Each applicant for a management services provider
9		license shall meet all requirements for licensure and pay a
10		nonrefundable license and application fee of $1,000,000. The
11		Board may adopt rules establishing additional requirements for
12		an authorized management services provider. The Board may
13		accept licensing by another jurisdiction that it specifically
14		determines to have similar licensing requirements as evidence
15		the applicant meets authorized management services provider
16		licensing requirements.
17		(c) Management services provider licenses shall be renewed
18		every 4 years to licensees who continue to be in compliance
19		with all requirements and who pay the renewal fee of $500,000.
20		(d) A person who shares in revenue shall be licensed under
21		this Section.
22		Section 25-60. Tier 2 official league data provider
23		license.
24		(a) A sports governing body or a sports league,
25		organization, or association or a vendor authorized by such

SB0690 Enrolled - 252 - LRB101 04451 HLH 49459 b
1		sports governing body or sports league, organization, or
2		association to distribute tier 2 official league data may apply
3		to the Board for a tier 2 official league data provider
4		license.
5		(b) A tier 2 official league data provider licensee may
6		provide a master sports wagering licensee with official league
7		data for tier 2 sports wagers. No sports governing body or
8		sports league, organization, or association or a vendor
9		authorized by such sports governing body or sports league,
10		organization, or association may provide tier 2 official league
11		data to a master sports wagering licensee without a tier 2
12		official league data provider license.
13		Notwithstanding the provisions of this Section, the
14		licensing and fee requirements of this Section shall not apply
15		if, under subsection (g) of Section 25-25, master sports
16		wagering licensees are not required to use official league data
17		to determine the results of tier 2 sports wagers.
18		(c) The initial license fee for a tier 2 official league
19		data provider license is payable to the Board at the end of the
20		first year of licensure based on the amount of data sold to
21		master sports wagering licensees as official league data as
22		follows:
23		(1) for data sales up to and including $500,000, the
24		fee is $30,000;
25		(2) for data sales in excess of $500,000 and up to and
26		including $750,000, the fee is $60,000;

SB0690 Enrolled - 253 - LRB101 04451 HLH 49459 b
1		(3) for data sales in excess of $750,000 and up to and
2		including $1,000,000, the fee is $125,000;
3		(4) for data sales in excess of $1,000,000 and up to
4		and including $1,500,000, the fee is $250,000;
5		(5) for data sales in excess of $1,500,000 and up to
6		and including $2,000,000, the fee is $375,000; and
7		(6) for data sales in excess of $2,000,000, the fee is
8		$500,000.
9		The license is valid for 3 years.
10		(d) The tier 2 official league data provider licensee may
11		renew the license for 3 years by paying a renewal fee to the
12		Board based on the amount of data sold to master sports
13		wagering licensees as official league data in the immediately
14		preceding year as provided in paragraphs (1) through (6) of
15		subsection (c).
16		Section 25-65. Sports wagering at a sports facility. Sports
17		wagering may be offered in person at or within a 5-block radius
18		of a sports facility if sports wagering is offered by a
19		designee, as defined in Section 25-40, and that designee has
20		received written authorization from the relevant sports team
21		that plays its home contests at the sports facility. If more
22		than one professional sports team plays its home contests at
23		the same sports facility, written authorization is required
24		from all sports teams that play home contests at the sports
25		facility.

SB0690 Enrolled - 254 - LRB101 04451 HLH 49459 b
1		Section 25-70. Lottery sports wagering pilot program.
2		(a) As used in this Section:
3		"Central system" means the hardware, software,
4		peripherals, and network components provided by the
5		Department's central system provider that link and support all
6		required sports lottery terminals and the central site and that
7		are unique and separate from the lottery central system for
8		draw and instant games.
9		"Central system provider" means an individual,
10		partnership, corporation, or limited liability company that
11		has been licensed for the purpose of providing and maintaining
12		a central system and the related management facilities
13		specifically for the management of sports lottery terminals.
14		"Electronic card" means a card purchased from a lottery
15		retailer.
16		"Lottery retailer" means a location licensed by the
17		Department to sell lottery tickets or shares.
18		"Sports lottery systems" means systems provided by the
19		central system provider consisting of sports wagering
20		products, risk management, operations, and support services.
21		"Sports lottery terminal" means a terminal linked to the
22		central system in which bills or coins are deposited or an
23		electronic card is inserted in order to place wagers on a
24		sports event and lottery offerings.
25		(b) The Department shall issue one central system provider

SB0690 Enrolled - 255 - LRB101 04451 HLH 49459 b
1		license pursuant to an open and competitive bidding process
2		that uses the following procedures:
3		(1) The Department shall make applications for the
4		central system provider license available to the public and
5		allow a reasonable time for applicants to submit
6		applications to the Department.
7		(2) During the filing period for central system
8		provider license applications, the Department may retain
9		professional services to assist the Department in
10		conducting the open and competitive bidding process.
11		(3) After receiving all of the bid proposals, the
12		Department shall open all of the proposals in a public
13		forum and disclose the prospective central system provider
14		names and venture partners, if any.
15		(4) The Department shall summarize the terms of the bid
16		proposals and may make this summary available to the
17		public.
18		(5) The Department shall evaluate the bid proposals
19		within a reasonable time and select no more than 3 final
20		applicants to make presentations of their bid proposals to
21		the Department.
22		(6) The final applicants shall make their
23		presentations to the Department on the same day during an
24		open session of the Department.
25		(7) As soon as practicable after the public
26		presentations by the final applicants, the Department, in

SB0690 Enrolled - 256 - LRB101 04451 HLH 49459 b
1		its discretion, may conduct further negotiations among the
2		3 final applicants. At the conclusion of such negotiations,
3		the Department shall select the winning bid.
4		(8) Upon selection of the winning bid, the Department
5		shall evaluate the winning bid within a reasonable period
6		of time for licensee suitability in accordance with all
7		applicable statutory and regulatory criteria.
8		(9) If the winning bidder is unable or otherwise fails
9		to consummate the transaction, (including if the
10		Department determines that the winning bidder does not
11		satisfy the suitability requirements), the Department may,
12		on the same criteria, select from the remaining bidders.
13		(10) The winning bidder shall pay $20,000,000 to the
14		Department upon being issued the central system provider
15		license.
16		(c) Every sports lottery terminal offered in this State for
17		play shall first be tested and approved pursuant to the rules
18		of the Department, and each sports lottery terminal offered in
19		this State for play shall conform to an approved model. For the
20		examination of sports lottery terminals and associated
21		equipment as required by this Section, the central system
22		provider may utilize the services of one or more independent
23		outside testing laboratories that have been accredited by a
24		national accreditation body and that, in the judgment of the
25		Department, are qualified to perform such examinations. Every
26		sports lottery terminal offered in this State for play must

SB0690 Enrolled - 257 - LRB101 04451 HLH 49459 b
1		meet minimum standards set by an independent outside testing
2		laboratory approved by the Department.
3		(d) During the first 360 days after the effective date of
4		this Act, sport lottery terminals may be placed in no more than
5		2,500 Lottery retail locations in the State. Sports lottery
6		terminals may be placed in an additional 2,500 Lottery retail
7		locations during the second year after the effective date of
8		this Act.
9		(e) A sports lottery terminal may not directly dispense
10		coins, cash, tokens, or any other article of exchange or value
11		except for receipt tickets. Tickets shall be dispensed by
12		pressing the ticket dispensing button on the sports lottery
13		terminal at the end of the placement of one's wager or wagers.
14		The ticket shall indicate the total amount wagered, odds for
15		each wager placed, and the cash award for each bet placed, the
16		time of day in a 24-hour format showing hours and minutes, the
17		date, the terminal serial number, the sequential number of the
18		ticket, and an encrypted validation number from which the
19		validity of the prize may be determined. The player shall turn
20		in this ticket to the appropriate person at a lottery retailer
21		to receive the cash award.
22		(f) No lottery retailer may cause or permit any person
23		under the age of 21 years to use a sports lottery terminal or
24		sports wagering application. A lottery retailer who knowingly
25		causes or permits a person under the age of 21 years to use a
26		sports lottery terminal or sports wagering application is

SB0690 Enrolled - 258 - LRB101 04451 HLH 49459 b
1		guilty of a business offense and shall be fined an amount not
2		to exceed $5,000.
3		(g) A sports lottery terminal shall only accept parlay
4		wagers and fixed odds parlay wagers. The Department shall, by
5		rule, establish the total amount, as a percentage, of all
6		wagers placed that a lottery retailer may retain.
7		(h) The Department shall have jurisdiction over and shall
8		supervise all lottery sports wagering operations governed by
9		this Section. The Department shall have all powers necessary
10		and proper to fully and effectively execute the provisions of
11		this Section, including, but not limited to, the following:
12		(1) To investigate applicants and determine the
13		eligibility of applicants for licenses and to select among
14		competing applicants the applicants which best serve the
15		interests of the citizens of Illinois.
16		(2) To have jurisdiction and supervision over all
17		lottery sports wagering operations in this State.
18		(3) To adopt rules for the purpose of administering the
19		provisions of this Section and to adopt rules and
20		conditions under which all lottery sports wagering in the
21		State shall be conducted. Such rules are to provide for the
22		prevention of practices detrimental to the public interest
23		and for the best interests of lottery sports wagering,
24		including rules (i) regarding the inspection of such
25		licensees necessary to operate a lottery retailer under any
26		laws or rules applicable to licensees, (ii) to impose

SB0690 Enrolled - 259 - LRB101 04451 HLH 49459 b
1		penalties for violations of the Act and its rules, and
2		(iii) establishing standards for advertising lottery
3		sports wagering.
4		(i) The Department shall adopt emergency rules to
5		administer this Section in accordance with Section 5-45 of the
6		Illinois Administrative Procedure Act. For the purposes of the
7		Illinois Administrative Procedure Act, the General Assembly
8		finds that the adoption of rules to implement this Section is
9		deemed an emergency and necessary to the public interest,
10		safety, and welfare.
11		(j) For the privilege of operating lottery sports wagering
12		under this Section, all proceeds minus net of proceeds returned
13		to players shall be electronically transferred daily or weekly,
14		at the discretion of the Director of the Lottery, into the
15		State Lottery Fund. After amounts owed to the central system
16		provider and licensed agents, as determined by the Department,
17		are paid from the moneys deposited into the State Lottery Fund
18		under this subsection, the remainder shall be transferred on
19		the 15th of each month to the Capital Projects Fund.
20		(k) This Section is repealed on January 1, 2024.
21		Section 25-75. Reporting prohibited conduct;
22		investigations of prohibited conduct.
23		(a) The Board shall establish a hotline or other method of
24		communication that allows any person to confidentially report
25		information about prohibited conduct to the Board.

SB0690 Enrolled - 260 - LRB101 04451 HLH 49459 b
1		(b) The Board shall investigate all reasonable allegations
2		of prohibited conduct and refer any allegations it deems
3		credible to the appropriate law enforcement entity.
4		(c) The identity of any reporting person shall remain
5		confidential unless that person authorizes disclosure of his or
6		her identity or until such time as the allegation of prohibited
7		conduct is referred to law enforcement.
8		(d) If the Board receives a complaint of prohibited conduct
9		by an athlete, the Board shall notify the appropriate sports
10		governing body of the athlete to review the complaint as
11		provided by rule.
12		(e) The Board shall adopt emergency rules to administer
13		this Section in accordance with Section 5-45 of the Illinois
14		Administrative Procedure Act.
15		(f) The Board shall adopt rules governing investigations of
16		prohibited conduct and referrals to law enforcement entities.
17		Section 25-80. Personal biometric data. A master sports
18		wagering licensee shall not purchase or use any personal
19		biometric data of an athlete unless the master sports wagering
20		licensee has received written permission from the athlete's
21		exclusive bargaining representative.
22		Section 25-85. Supplier diversity goals for sports
23		wagering.
24		(a) As used in this Section only, "licensee" means a

SB0690 Enrolled - 261 - LRB101 04451 HLH 49459 b
1		licensee under this Act other than an occupational licensee.
2		(b) The public policy of this State is to collaboratively
3		work with companies that serve Illinois residents to improve
4		their supplier diversity in a non-antagonistic manner.
5		(c) The Board and the Department shall require all
6		licensees under this Act to submit an annual report by April
7		15, 2020 and every April 15 thereafter, in a searchable Adobe
8		PDF format, on all procurement goals and actual spending for
9		businesses owned by women, minorities, veterans, and persons
10		with disabilities and small business enterprises in the
11		previous calendar year. These goals shall be expressed as a
12		percentage of the total work performed by the entity submitting
13		the report, and the actual spending for all businesses owned by
14		women, minorities, veterans, and persons with disabilities and
15		small business enterprises shall also be expressed as a
16		percentage of the total work performed by the entity submitting
17		the report.
18		(d) Each licensee in its annual report shall include the
19		following information:
20		(1) an explanation of the plan for the next year to
21		increase participation;
22		(2) an explanation of the plan to increase the goals;
23		(3) the areas of procurement each licensee shall be
24		actively seeking more participation in the next year;
25		(4) an outline of the plan to alert and encourage
26		potential vendors in that area to seek business from the

SB0690 Enrolled - 262 - LRB101 04451 HLH 49459 b
1		licensee;
2		(5) an explanation of the challenges faced in finding
3		quality vendors and offer any suggestions for what the
4		Board could do to be helpful to identify those vendors;
5		(6) a list of the certifications the licensee
6		recognizes;
7		(7) the point of contact for any potential vendor who
8		wishes to do business with the licensee and explain the
9		process for a vendor to enroll with the licensee as a
10		businesses owned by women, minorities, veterans, or
11		persons with disabilities; and
12		(8) any particular success stories to encourage other
13		licensee to emulate best practices.
14		(e) Each annual report shall include as much State-specific
15		data as possible. If the submitting entity does not submit
16		State-specific data, then the licensee shall include any
17		national data it does have and explain why it could not submit
18		State-specific data and how it intends to do so in future
19		reports, if possible.
20		(f) Each annual report shall include the rules,
21		regulations, and definitions used for the procurement goals in
22		the licensee's annual report.
23		(g) The Board, Department, and all licensees shall hold an
24		annual workshop and job fair open to the public in 2020 and
25		every year thereafter on the state of supplier diversity to
26		collaboratively seek solutions to structural impediments to

SB0690 Enrolled - 263 - LRB101 04451 HLH 49459 b
1		achieving stated goals, including testimony from each licensee
2		as well as subject matter experts and advocates. The Board and
3		Department shall publish a database on their websites of the
4		point of contact for licensees they regulate under this Act for
5		supplier diversity, along with a list of certifications each
6		licensee recognizes from the information submitted in each
7		annual report. The Board and Department shall publish each
8		annual report on their websites and shall maintain each annual
9		report for at least 5 years.
10		Section 25-90. Tax; Sports Wagering Fund.
11		(a) For the privilege of holding a license to operate
12		sports wagering under this Act, this State shall impose and
13		collect 15% of a master sports wagering licensee's adjusted
14		gross sports wagering receipts from sports wagering. The
15		accrual method of accounting shall be used for purposes of
16		calculating the amount of the tax owed by the licensee.
17		The taxes levied and collected pursuant to this subsection
18		(a) are due and payable to the Board no later than the last day
19		of the month following the calendar month in which the adjusted
20		gross sports wagering receipts were received and the tax
21		obligation was accrued.
22		(a-5) In addition to the tax imposed under subsection (a)
23		of this Section, for the privilege of holding a license to
24		operate sports wagering under this Act, the State shall impose
25		and collect 2% of the adjusted gross receipts from sports

SB0690 Enrolled - 264 - LRB101 04451 HLH 49459 b
1		wagers that are placed within a home rule county with a
2		population of over 3,000,000 inhabitants, which shall be paid,
3		subject to appropriation from the General Assembly, from the
4		Sports Wagering Fund to that home rule county for the purpose
5		of enhancing the county's criminal justice system.
6		(b) The Sports Wagering Fund is hereby created as special
7		fund in the State treasury. Except as otherwise provided in
8		this Act, all moneys collected under this Act by the Board
9		shall be deposited into the Sports Wagering Fund. On the 25th
10		of each month, any moneys remaining in the Sports Wagering Fund
11		shall be transferred to the Capital Projects Fund.
12		Section 25-95. Compulsive gambling. Each master sports
13		wagering licensee shall include a statement regarding
14		obtaining assistance with gambling problems, the text of which
15		shall be determined by rule by the Department of Human
16		Services, on the master sports wagering licensee's portal,
17		Internet website, or computer or mobile application.
18		Section 25-100. Voluntary self-exclusion program for
19		sports wagering. Any resident, or non-resident if allowed to
20		participate in sports wagering, may voluntarily prohibit
21		himself or herself from establishing a sports wagering account
22		with a licensee under this Act. The Board and Department shall
23		incorporate the voluntary self-exclusion program for sports
24		wagering into any existing self-exclusion program that it

SB0690 Enrolled - 265 - LRB101 04451 HLH 49459 b
1		operates on the effective date of this Act.
2		Section 25-105. Report to General Assembly. On or before
3		January 15, 2021 and every January 15 thereafter, the Board
4		shall provide a report to the General Assembly on sports
5		wagering conducted under this Act.
6		Section 25-110. Preemption. Nothing in this Act shall be
7		deemed to diminish the rights, privileges, or remedies of a
8		person under any other federal or State law, rule, or
9		regulation.
10		Section 25-900. The Illinois Administrative Procedure Act
11		is amended by changing Section 5-45 as follows:
12		(5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)
13		Sec. 5-45. Emergency rulemaking.
14		(a) "Emergency" means the existence of any situation that
15		any agency finds reasonably constitutes a threat to the public
16		interest, safety, or welfare.
17		(b) If any agency finds that an emergency exists that
18		requires adoption of a rule upon fewer days than is required by
19		Section 5-40 and states in writing its reasons for that
20		finding, the agency may adopt an emergency rule without prior
21		notice or hearing upon filing a notice of emergency rulemaking
22		with the Secretary of State under Section 5-70. The notice

SB0690 Enrolled - 266 - LRB101 04451 HLH 49459 b
1		shall include the text of the emergency rule and shall be
2		published in the Illinois Register. Consent orders or other
3		court orders adopting settlements negotiated by an agency may
4		be adopted under this Section. Subject to applicable
5		constitutional or statutory provisions, an emergency rule
6		becomes effective immediately upon filing under Section 5-65 or
7		at a stated date less than 10 days thereafter. The agency's
8		finding and a statement of the specific reasons for the finding
9		shall be filed with the rule. The agency shall take reasonable
10		and appropriate measures to make emergency rules known to the
11		persons who may be affected by them.
12		(c) An emergency rule may be effective for a period of not
13		longer than 150 days, but the agency's authority to adopt an
14		identical rule under Section 5-40 is not precluded. No
15		emergency rule may be adopted more than once in any 24-month
16		period, except that this limitation on the number of emergency
17		rules that may be adopted in a 24-month period does not apply
18		to (i) emergency rules that make additions to and deletions
19		from the Drug Manual under Section 5-5.16 of the Illinois
20		Public Aid Code or the generic drug formulary under Section
21		3.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
22		emergency rules adopted by the Pollution Control Board before
23		July 1, 1997 to implement portions of the Livestock Management
24		Facilities Act, (iii) emergency rules adopted by the Illinois
25		Department of Public Health under subsections (a) through (i)
26		of Section 2 of the Department of Public Health Act when

SB0690 Enrolled - 267 - LRB101 04451 HLH 49459 b
1		necessary to protect the public's health, (iv) emergency rules
2		adopted pursuant to subsection (n) of this Section, (v)
3		emergency rules adopted pursuant to subsection (o) of this
4		Section, or (vi) emergency rules adopted pursuant to subsection
5		(c-5) of this Section. Two or more emergency rules having
6		substantially the same purpose and effect shall be deemed to be
7		a single rule for purposes of this Section.
8		(c-5) To facilitate the maintenance of the program of group
9		health benefits provided to annuitants, survivors, and retired
10		employees under the State Employees Group Insurance Act of
11		1971, rules to alter the contributions to be paid by the State,
12		annuitants, survivors, retired employees, or any combination
13		of those entities, for that program of group health benefits,
14		shall be adopted as emergency rules. The adoption of those
15		rules shall be considered an emergency and necessary for the
16		public interest, safety, and welfare.
17		(d) In order to provide for the expeditious and timely
18		implementation of the State's fiscal year 1999 budget,
19		emergency rules to implement any provision of Public Act 90-587
20		or 90-588 or any other budget initiative for fiscal year 1999
21		may be adopted in accordance with this Section by the agency
22		charged with administering that provision or initiative,
23		except that the 24-month limitation on the adoption of
24		emergency rules and the provisions of Sections 5-115 and 5-125
25		do not apply to rules adopted under this subsection (d). The
26		adoption of emergency rules authorized by this subsection (d)

SB0690 Enrolled - 268 - LRB101 04451 HLH 49459 b
1		shall be deemed to be necessary for the public interest,
2		safety, and welfare.
3		(e) In order to provide for the expeditious and timely
4		implementation of the State's fiscal year 2000 budget,
5		emergency rules to implement any provision of Public Act 91-24
6		or any other budget initiative for fiscal year 2000 may be
7		adopted in accordance with this Section by the agency charged
8		with administering that provision or initiative, except that
9		the 24-month limitation on the adoption of emergency rules and
10		the provisions of Sections 5-115 and 5-125 do not apply to
11		rules adopted under this subsection (e). The adoption of
12		emergency rules authorized by this subsection (e) shall be
13		deemed to be necessary for the public interest, safety, and
14		welfare.
15		(f) In order to provide for the expeditious and timely
16		implementation of the State's fiscal year 2001 budget,
17		emergency rules to implement any provision of Public Act 91-712
18		or any other budget initiative for fiscal year 2001 may be
19		adopted in accordance with this Section by the agency charged
20		with administering that provision or initiative, except that
21		the 24-month limitation on the adoption of emergency rules and
22		the provisions of Sections 5-115 and 5-125 do not apply to
23		rules adopted under this subsection (f). The adoption of
24		emergency rules authorized by this subsection (f) shall be
25		deemed to be necessary for the public interest, safety, and
26		welfare.

SB0690 Enrolled - 269 - LRB101 04451 HLH 49459 b
1		(g) In order to provide for the expeditious and timely
2		implementation of the State's fiscal year 2002 budget,
3		emergency rules to implement any provision of Public Act 92-10
4		or any other budget initiative for fiscal year 2002 may be
5		adopted in accordance with this Section by the agency charged
6		with administering that provision or initiative, except that
7		the 24-month limitation on the adoption of emergency rules and
8		the provisions of Sections 5-115 and 5-125 do not apply to
9		rules adopted under this subsection (g). The adoption of
10		emergency rules authorized by this subsection (g) shall be
11		deemed to be necessary for the public interest, safety, and
12		welfare.
13		(h) In order to provide for the expeditious and timely
14		implementation of the State's fiscal year 2003 budget,
15		emergency rules to implement any provision of Public Act 92-597
16		or any other budget initiative for fiscal year 2003 may be
17		adopted in accordance with this Section by the agency charged
18		with administering that provision or initiative, except that
19		the 24-month limitation on the adoption of emergency rules and
20		the provisions of Sections 5-115 and 5-125 do not apply to
21		rules adopted under this subsection (h). The adoption of
22		emergency rules authorized by this subsection (h) shall be
23		deemed to be necessary for the public interest, safety, and
24		welfare.
25		(i) In order to provide for the expeditious and timely
26		implementation of the State's fiscal year 2004 budget,

SB0690 Enrolled - 270 - LRB101 04451 HLH 49459 b
1		emergency rules to implement any provision of Public Act 93-20
2		or any other budget initiative for fiscal year 2004 may be
3		adopted in accordance with this Section by the agency charged
4		with administering that provision or initiative, except that
5		the 24-month limitation on the adoption of emergency rules and
6		the provisions of Sections 5-115 and 5-125 do not apply to
7		rules adopted under this subsection (i). The adoption of
8		emergency rules authorized by this subsection (i) shall be
9		deemed to be necessary for the public interest, safety, and
10		welfare.
11		(j) In order to provide for the expeditious and timely
12		implementation of the provisions of the State's fiscal year
13		2005 budget as provided under the Fiscal Year 2005 Budget
14		Implementation (Human Services) Act, emergency rules to
15		implement any provision of the Fiscal Year 2005 Budget
16		Implementation (Human Services) Act may be adopted in
17		accordance with this Section by the agency charged with
18		administering that provision, except that the 24-month
19		limitation on the adoption of emergency rules and the
20		provisions of Sections 5-115 and 5-125 do not apply to rules
21		adopted under this subsection (j). The Department of Public Aid
22		may also adopt rules under this subsection (j) necessary to
23		administer the Illinois Public Aid Code and the Children's
24		Health Insurance Program Act. The adoption of emergency rules
25		authorized by this subsection (j) shall be deemed to be
26		necessary for the public interest, safety, and welfare.

SB0690 Enrolled - 271 - LRB101 04451 HLH 49459 b
1		(k) In order to provide for the expeditious and timely
2		implementation of the provisions of the State's fiscal year
3		2006 budget, emergency rules to implement any provision of
4		Public Act 94-48 or any other budget initiative for fiscal year
5		2006 may be adopted in accordance with this Section by the
6		agency charged with administering that provision or
7		initiative, except that the 24-month limitation on the adoption
8		of emergency rules and the provisions of Sections 5-115 and
9		5-125 do not apply to rules adopted under this subsection (k).
10		The Department of Healthcare and Family Services may also adopt
11		rules under this subsection (k) necessary to administer the
12		Illinois Public Aid Code, the Senior Citizens and Persons with
13		Disabilities Property Tax Relief Act, the Senior Citizens and
14		Disabled Persons Prescription Drug Discount Program Act (now
15		the Illinois Prescription Drug Discount Program Act), and the
16		Children's Health Insurance Program Act. The adoption of
17		emergency rules authorized by this subsection (k) shall be
18		deemed to be necessary for the public interest, safety, and
19		welfare.
20		(l) In order to provide for the expeditious and timely
21		implementation of the provisions of the State's fiscal year
22		2007 budget, the Department of Healthcare and Family Services
23		may adopt emergency rules during fiscal year 2007, including
24		rules effective July 1, 2007, in accordance with this
25		subsection to the extent necessary to administer the
26		Department's responsibilities with respect to amendments to

SB0690 Enrolled - 272 - LRB101 04451 HLH 49459 b
1		the State plans and Illinois waivers approved by the federal
2		Centers for Medicare and Medicaid Services necessitated by the
3		requirements of Title XIX and Title XXI of the federal Social
4		Security Act. The adoption of emergency rules authorized by
5		this subsection (l) shall be deemed to be necessary for the
6		public interest, safety, and welfare.
7		(m) In order to provide for the expeditious and timely
8		implementation of the provisions of the State's fiscal year
9		2008 budget, the Department of Healthcare and Family Services
10		may adopt emergency rules during fiscal year 2008, including
11		rules effective July 1, 2008, in accordance with this
12		subsection to the extent necessary to administer the
13		Department's responsibilities with respect to amendments to
14		the State plans and Illinois waivers approved by the federal
15		Centers for Medicare and Medicaid Services necessitated by the
16		requirements of Title XIX and Title XXI of the federal Social
17		Security Act. The adoption of emergency rules authorized by
18		this subsection (m) shall be deemed to be necessary for the
19		public interest, safety, and welfare.
20		(n) In order to provide for the expeditious and timely
21		implementation of the provisions of the State's fiscal year
22		2010 budget, emergency rules to implement any provision of
23		Public Act 96-45 or any other budget initiative authorized by
24		the 96th General Assembly for fiscal year 2010 may be adopted
25		in accordance with this Section by the agency charged with
26		administering that provision or initiative. The adoption of

SB0690 Enrolled - 273 - LRB101 04451 HLH 49459 b
1		emergency rules authorized by this subsection (n) shall be
2		deemed to be necessary for the public interest, safety, and
3		welfare. The rulemaking authority granted in this subsection
4		(n) shall apply only to rules promulgated during Fiscal Year
5		2010.
6		(o) In order to provide for the expeditious and timely
7		implementation of the provisions of the State's fiscal year
8		2011 budget, emergency rules to implement any provision of
9		Public Act 96-958 or any other budget initiative authorized by
10		the 96th General Assembly for fiscal year 2011 may be adopted
11		in accordance with this Section by the agency charged with
12		administering that provision or initiative. The adoption of
13		emergency rules authorized by this subsection (o) is deemed to
14		be necessary for the public interest, safety, and welfare. The
15		rulemaking authority granted in this subsection (o) applies
16		only to rules promulgated on or after July 1, 2010 (the
17		effective date of Public Act 96-958) through June 30, 2011.
18		(p) In order to provide for the expeditious and timely
19		implementation of the provisions of Public Act 97-689,
20		emergency rules to implement any provision of Public Act 97-689
21		may be adopted in accordance with this subsection (p) by the
22		agency charged with administering that provision or
23		initiative. The 150-day limitation of the effective period of
24		emergency rules does not apply to rules adopted under this
25		subsection (p), and the effective period may continue through
26		June 30, 2013. The 24-month limitation on the adoption of

SB0690 Enrolled - 274 - LRB101 04451 HLH 49459 b
1		emergency rules does not apply to rules adopted under this
2		subsection (p). The adoption of emergency rules authorized by
3		this subsection (p) is deemed to be necessary for the public
4		interest, safety, and welfare.
5		(q) In order to provide for the expeditious and timely
6		implementation of the provisions of Articles 7, 8, 9, 11, and
7		12 of Public Act 98-104, emergency rules to implement any
8		provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
9		may be adopted in accordance with this subsection (q) by the
10		agency charged with administering that provision or
11		initiative. The 24-month limitation on the adoption of
12		emergency rules does not apply to rules adopted under this
13		subsection (q). The adoption of emergency rules authorized by
14		this subsection (q) is deemed to be necessary for the public
15		interest, safety, and welfare.
16		(r) In order to provide for the expeditious and timely
17		implementation of the provisions of Public Act 98-651,
18		emergency rules to implement Public Act 98-651 may be adopted
19		in accordance with this subsection (r) by the Department of
20		Healthcare and Family Services. The 24-month limitation on the
21		adoption of emergency rules does not apply to rules adopted
22		under this subsection (r). The adoption of emergency rules
23		authorized by this subsection (r) is deemed to be necessary for
24		the public interest, safety, and welfare.
25		(s) In order to provide for the expeditious and timely
26		implementation of the provisions of Sections 5-5b.1 and 5A-2 of

SB0690 Enrolled - 275 - LRB101 04451 HLH 49459 b
1		the Illinois Public Aid Code, emergency rules to implement any
2		provision of Section 5-5b.1 or Section 5A-2 of the Illinois
3		Public Aid Code may be adopted in accordance with this
4		subsection (s) by the Department of Healthcare and Family
5		Services. The rulemaking authority granted in this subsection
6		(s) shall apply only to those rules adopted prior to July 1,
7		2015. Notwithstanding any other provision of this Section, any
8		emergency rule adopted under this subsection (s) shall only
9		apply to payments made for State fiscal year 2015. The adoption
10		of emergency rules authorized by this subsection (s) is deemed
11		to be necessary for the public interest, safety, and welfare.
12		(t) In order to provide for the expeditious and timely
13		implementation of the provisions of Article II of Public Act
14		99-6, emergency rules to implement the changes made by Article
15		II of Public Act 99-6 to the Emergency Telephone System Act may
16		be adopted in accordance with this subsection (t) by the
17		Department of State Police. The rulemaking authority granted in
18		this subsection (t) shall apply only to those rules adopted
19		prior to July 1, 2016. The 24-month limitation on the adoption
20		of emergency rules does not apply to rules adopted under this
21		subsection (t). The adoption of emergency rules authorized by
22		this subsection (t) is deemed to be necessary for the public
23		interest, safety, and welfare.
24		(u) In order to provide for the expeditious and timely
25		implementation of the provisions of the Burn Victims Relief
26		Act, emergency rules to implement any provision of the Act may

SB0690 Enrolled - 276 - LRB101 04451 HLH 49459 b
1		be adopted in accordance with this subsection (u) by the
2		Department of Insurance. The rulemaking authority granted in
3		this subsection (u) shall apply only to those rules adopted
4		prior to December 31, 2015. The adoption of emergency rules
5		authorized by this subsection (u) is deemed to be necessary for
6		the public interest, safety, and welfare.
7		(v) In order to provide for the expeditious and timely
8		implementation of the provisions of Public Act 99-516,
9		emergency rules to implement Public Act 99-516 may be adopted
10		in accordance with this subsection (v) by the Department of
11		Healthcare and Family Services. The 24-month limitation on the
12		adoption of emergency rules does not apply to rules adopted
13		under this subsection (v). The adoption of emergency rules
14		authorized by this subsection (v) is deemed to be necessary for
15		the public interest, safety, and welfare.
16		(w) In order to provide for the expeditious and timely
17		implementation of the provisions of Public Act 99-796,
18		emergency rules to implement the changes made by Public Act
19		99-796 may be adopted in accordance with this subsection (w) by
20		the Adjutant General. The adoption of emergency rules
21		authorized by this subsection (w) is deemed to be necessary for
22		the public interest, safety, and welfare.
23		(x) In order to provide for the expeditious and timely
24		implementation of the provisions of Public Act 99-906,
25		emergency rules to implement subsection (i) of Section 16-115D,
26		subsection (g) of Section 16-128A, and subsection (a) of

SB0690 Enrolled - 277 - LRB101 04451 HLH 49459 b
1		Section 16-128B of the Public Utilities Act may be adopted in
2		accordance with this subsection (x) by the Illinois Commerce
3		Commission. The rulemaking authority granted in this
4		subsection (x) shall apply only to those rules adopted within
5		180 days after June 1, 2017 (the effective date of Public Act
6		99-906). The adoption of emergency rules authorized by this
7		subsection (x) is deemed to be necessary for the public
8		interest, safety, and welfare.
9		(y) In order to provide for the expeditious and timely
10		implementation of the provisions of Public Act 100-23,
11		emergency rules to implement the changes made by Public Act
12		100-23 to Section 4.02 of the Illinois Act on the Aging,
13		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
14		Section 55-30 of the Alcoholism and Other Drug Abuse and
15		Dependency Act, and Sections 74 and 75 of the Mental Health and
16		Developmental Disabilities Administrative Act may be adopted
17		in accordance with this subsection (y) by the respective
18		Department. The adoption of emergency rules authorized by this
19		subsection (y) is deemed to be necessary for the public
20		interest, safety, and welfare.
21		(z) In order to provide for the expeditious and timely
22		implementation of the provisions of Public Act 100-554,
23		emergency rules to implement the changes made by Public Act
24		100-554 to Section 4.7 of the Lobbyist Registration Act may be
25		adopted in accordance with this subsection (z) by the Secretary
26		of State. The adoption of emergency rules authorized by this

SB0690 Enrolled - 278 - LRB101 04451 HLH 49459 b
1		subsection (z) is deemed to be necessary for the public
2		interest, safety, and welfare.
3		(aa) In order to provide for the expeditious and timely
4		initial implementation of the changes made to Articles 5, 5A,
5		12, and 14 of the Illinois Public Aid Code under the provisions
6		of Public Act 100-581, the Department of Healthcare and Family
7		Services may adopt emergency rules in accordance with this
8		subsection (aa). The 24-month limitation on the adoption of
9		emergency rules does not apply to rules to initially implement
10		the changes made to Articles 5, 5A, 12, and 14 of the Illinois
11		Public Aid Code adopted under this subsection (aa). The
12		adoption of emergency rules authorized by this subsection (aa)
13		is deemed to be necessary for the public interest, safety, and
14		welfare.
15		(bb) In order to provide for the expeditious and timely
16		implementation of the provisions of Public Act 100-587,
17		emergency rules to implement the changes made by Public Act
18		100-587 to Section 4.02 of the Illinois Act on the Aging,
19		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
20		subsection (b) of Section 55-30 of the Alcoholism and Other
21		Drug Abuse and Dependency Act, Section 5-104 of the Specialized
22		Mental Health Rehabilitation Act of 2013, and Section 75 and
23		subsection (b) of Section 74 of the Mental Health and
24		Developmental Disabilities Administrative Act may be adopted
25		in accordance with this subsection (bb) by the respective
26		Department. The adoption of emergency rules authorized by this

SB0690 Enrolled - 279 - LRB101 04451 HLH 49459 b
1		subsection (bb) is deemed to be necessary for the public
2		interest, safety, and welfare.
3		(cc) In order to provide for the expeditious and timely
4		implementation of the provisions of Public Act 100-587,
5		emergency rules may be adopted in accordance with this
6		subsection (cc) to implement the changes made by Public Act
7		100-587 to: Sections 14-147.5 and 14-147.6 of the Illinois
8		Pension Code by the Board created under Article 14 of the Code;
9		Sections 15-185.5 and 15-185.6 of the Illinois Pension Code by
10		the Board created under Article 15 of the Code; and Sections
11		16-190.5 and 16-190.6 of the Illinois Pension Code by the Board
12		created under Article 16 of the Code. The adoption of emergency
13		rules authorized by this subsection (cc) is deemed to be
14		necessary for the public interest, safety, and welfare.
15		(dd) In order to provide for the expeditious and timely
16		implementation of the provisions of Public Act 100-864,
17		emergency rules to implement the changes made by Public Act
18		100-864 to Section 3.35 of the Newborn Metabolic Screening Act
19		may be adopted in accordance with this subsection (dd) by the
20		Secretary of State. The adoption of emergency rules authorized
21		by this subsection (dd) is deemed to be necessary for the
22		public interest, safety, and welfare.
23		(ee) In order to provide for the expeditious and timely
24		implementation of the provisions of Public Act 100-1172 this
25		amendatory Act of the 100th General Assembly, emergency rules
26		implementing the Illinois Underground Natural Gas Storage

SB0690 Enrolled - 280 - LRB101 04451 HLH 49459 b
1		Safety Act may be adopted in accordance with this subsection by
2		the Department of Natural Resources. The adoption of emergency
3		rules authorized by this subsection is deemed to be necessary
4		for the public interest, safety, and welfare.
5		(ff) (ee) In order to provide for the expeditious and
6		timely initial implementation of the changes made to Articles
7		5A and 14 of the Illinois Public Aid Code under the provisions
8		of Public Act 100-1181 this amendatory Act of the 100th General
9		Assembly, the Department of Healthcare and Family Services may
10		on a one-time-only basis adopt emergency rules in accordance
11		with this subsection (ff) (ee). The 24-month limitation on the
12		adoption of emergency rules does not apply to rules to
13		initially implement the changes made to Articles 5A and 14 of
14		the Illinois Public Aid Code adopted under this subsection (ff)
15		(ee). The adoption of emergency rules authorized by this
16		subsection (ff) (ee) is deemed to be necessary for the public
17		interest, safety, and welfare.
18		(gg) (ff) In order to provide for the expeditious and
19		timely implementation of the provisions of Public Act 101-1
20		this amendatory Act of the 101st General Assembly, emergency
21		rules may be adopted by the Department of Labor in accordance
22		with this subsection (gg) (ff) to implement the changes made by
23		Public Act 101-1 this amendatory Act of the 101st General
24		Assembly to the Minimum Wage Law. The adoption of emergency
25		rules authorized by this subsection (gg) (ff) is deemed to be
26		necessary for the public interest, safety, and welfare.

SB0690 Enrolled - 281 - LRB101 04451 HLH 49459 b
1		(ii) In order to provide for the expeditious and timely
2		implementation of the provisions of Section 25-70 of the Sports
3		Wagering Act, emergency rules to implement Section 25-70 of the
4		Sports Wagering Act may be adopted in accordance with this
5		subsection (ii) by the Department of the Lottery as provided in
6		the Sports Wagering Act. The adoption of emergency rules
7		authorized by this subsection (ii) is deemed to be necessary
8		for the public interest, safety, and welfare.
9		(jj) In order to provide for the expeditious and timely
10		implementation of the Sports Wagering Act, emergency rules to
11		implement the Sports Wagering Act may be adopted in accordance
12		with this subsection (jj) by the Illinois Gaming Board. The
13		adoption of emergency rules authorized by this subsection (jj)
14		is deemed to be necessary for the public interest, safety, and
15		welfare.
16		(Source: P.A. 100-23, eff. 7-6-17; 100-554, eff. 11-16-17;
17		100-581, eff. 3-12-18; 100-587, Article 95, Section 95-5, eff.
18		6-4-18; 100-587, Article 110, Section 110-5, eff. 6-4-18;
19		100-864, eff. 8-14-18; 100-1172, eff. 1-4-19; 100-1181, eff.
20		3-8-19; 101-1, eff. 2-19-19; revised 4-2-19.)
21		Section 25-905. The State Finance Act is amended by adding
22		Section 5.896 as follows:
23		(30 ILCS 105/5.896 new)
24		Sec. 5.896. The Sports Wagering Fund.

SB0690 Enrolled - 282 - LRB101 04451 HLH 49459 b
1		Section 25-910. The Riverboat Gambling Act is amended by
2		changing Section 13 as follows:
3		(230 ILCS 10/13) (from Ch. 120, par. 2413)
4		Sec. 13. Wagering tax; rate; distribution.
5		(a) Until January 1, 1998, a tax is imposed on the adjusted
6		gross receipts received from gambling games authorized under
7		this Act at the rate of 20%.
8		(a-1) From January 1, 1998 until July 1, 2002, a privilege
9		tax is imposed on persons engaged in the business of conducting
10		riverboat gambling operations, based on the adjusted gross
11		receipts received by a licensed owner from gambling games
12		authorized under this Act at the following rates:
13		15% of annual adjusted gross receipts up to and
14		including $25,000,000;
15		20% of annual adjusted gross receipts in excess of
16		$25,000,000 but not exceeding $50,000,000;
17		25% of annual adjusted gross receipts in excess of
18		$50,000,000 but not exceeding $75,000,000;
19		30% of annual adjusted gross receipts in excess of
20		$75,000,000 but not exceeding $100,000,000;
21		35% of annual adjusted gross receipts in excess of
22		$100,000,000.
23		(a-2) From July 1, 2002 until July 1, 2003, a privilege tax
24		is imposed on persons engaged in the business of conducting

SB0690 Enrolled - 283 - LRB101 04451 HLH 49459 b
1		riverboat gambling operations, other than licensed managers
2		conducting riverboat gambling operations on behalf of the
3		State, based on the adjusted gross receipts received by a
4		licensed owner from gambling games authorized under this Act at
5		the following rates:
6		15% of annual adjusted gross receipts up to and
7		including $25,000,000;
8		22.5% of annual adjusted gross receipts in excess of
9		$25,000,000 but not exceeding $50,000,000;
10		27.5% of annual adjusted gross receipts in excess of
11		$50,000,000 but not exceeding $75,000,000;
12		32.5% of annual adjusted gross receipts in excess of
13		$75,000,000 but not exceeding $100,000,000;
14		37.5% of annual adjusted gross receipts in excess of
15		$100,000,000 but not exceeding $150,000,000;
16		45% of annual adjusted gross receipts in excess of
17		$150,000,000 but not exceeding $200,000,000;
18		50% of annual adjusted gross receipts in excess of
19		$200,000,000.
20		(a-3) Beginning July 1, 2003, a privilege tax is imposed on
21		persons engaged in the business of conducting riverboat
22		gambling operations, other than licensed managers conducting
23		riverboat gambling operations on behalf of the State, based on
24		the adjusted gross receipts received by a licensed owner from
25		gambling games authorized under this Act at the following
26		rates:

SB0690 Enrolled - 284 - LRB101 04451 HLH 49459 b
1		15% of annual adjusted gross receipts up to and
2		including $25,000,000;
3		27.5% of annual adjusted gross receipts in excess of
4		$25,000,000 but not exceeding $37,500,000;
5		32.5% of annual adjusted gross receipts in excess of
6		$37,500,000 but not exceeding $50,000,000;
7		37.5% of annual adjusted gross receipts in excess of
8		$50,000,000 but not exceeding $75,000,000;
9		45% of annual adjusted gross receipts in excess of
10		$75,000,000 but not exceeding $100,000,000;
11		50% of annual adjusted gross receipts in excess of
12		$100,000,000 but not exceeding $250,000,000;
13		70% of annual adjusted gross receipts in excess of
14		$250,000,000.
15		An amount equal to the amount of wagering taxes collected
16		under this subsection (a-3) that are in addition to the amount
17		of wagering taxes that would have been collected if the
18		wagering tax rates under subsection (a-2) were in effect shall
19		be paid into the Common School Fund.
20		The privilege tax imposed under this subsection (a-3) shall
21		no longer be imposed beginning on the earlier of (i) July 1,
22		2005; (ii) the first date after June 20, 2003 that riverboat
23		gambling operations are conducted pursuant to a dormant
24		license; or (iii) the first day that riverboat gambling
25		operations are conducted under the authority of an owners
26		license that is in addition to the 10 owners licenses initially

SB0690 Enrolled - 285 - LRB101 04451 HLH 49459 b
1		authorized under this Act. For the purposes of this subsection
2		(a-3), the term "dormant license" means an owners license that
3		is authorized by this Act under which no riverboat gambling
4		operations are being conducted on June 20, 2003.
5		(a-4) Beginning on the first day on which the tax imposed
6		under subsection (a-3) is no longer imposed, a privilege tax is
7		imposed on persons engaged in the business of conducting
8		riverboat gambling operations, other than licensed managers
9		conducting riverboat gambling operations on behalf of the
10		State, based on the adjusted gross receipts received by a
11		licensed owner from gambling games authorized under this Act at
12		the following rates:
13		15% of annual adjusted gross receipts up to and
14		including $25,000,000;
15		22.5% of annual adjusted gross receipts in excess of
16		$25,000,000 but not exceeding $50,000,000;
17		27.5% of annual adjusted gross receipts in excess of
18		$50,000,000 but not exceeding $75,000,000;
19		32.5% of annual adjusted gross receipts in excess of
20		$75,000,000 but not exceeding $100,000,000;
21		37.5% of annual adjusted gross receipts in excess of
22		$100,000,000 but not exceeding $150,000,000;
23		45% of annual adjusted gross receipts in excess of
24		$150,000,000 but not exceeding $200,000,000;
25		50% of annual adjusted gross receipts in excess of
26		$200,000,000.

SB0690 Enrolled - 286 - LRB101 04451 HLH 49459 b
1		(a-8) Riverboat gambling operations conducted by a
2		licensed manager on behalf of the State are not subject to the
3		tax imposed under this Section.
4		(a-10) The taxes imposed by this Section shall be paid by
5		the licensed owner to the Board not later than 5:00 o'clock
6		p.m. of the day after the day when the wagers were made.
7		(a-15) If the privilege tax imposed under subsection (a-3)
8		is no longer imposed pursuant to item (i) of the last paragraph
9		of subsection (a-3), then by June 15 of each year, each owners
10		licensee, other than an owners licensee that admitted 1,000,000
11		persons or fewer in calendar year 2004, must, in addition to
12		the payment of all amounts otherwise due under this Section,
13		pay to the Board a reconciliation payment in the amount, if
14		any, by which the licensed owner's base amount exceeds the
15		amount of net privilege tax paid by the licensed owner to the
16		Board in the then current State fiscal year. A licensed owner's
17		net privilege tax obligation due for the balance of the State
18		fiscal year shall be reduced up to the total of the amount paid
19		by the licensed owner in its June 15 reconciliation payment.
20		The obligation imposed by this subsection (a-15) is binding on
21		any person, firm, corporation, or other entity that acquires an
22		ownership interest in any such owners license. The obligation
23		imposed under this subsection (a-15) terminates on the earliest
24		of: (i) July 1, 2007, (ii) the first day after the effective
25		date of this amendatory Act of the 94th General Assembly that
26		riverboat gambling operations are conducted pursuant to a

SB0690 Enrolled - 287 - LRB101 04451 HLH 49459 b
1		dormant license, (iii) the first day that riverboat gambling
2		operations are conducted under the authority of an owners
3		license that is in addition to the 10 owners licenses initially
4		authorized under this Act, or (iv) the first day that a
5		licensee under the Illinois Horse Racing Act of 1975 conducts
6		gaming operations with slot machines or other electronic gaming
7		devices. The Board must reduce the obligation imposed under
8		this subsection (a-15) by an amount the Board deems reasonable
9		for any of the following reasons: (A) an act or acts of God,
10		(B) an act of bioterrorism or terrorism or a bioterrorism or
11		terrorism threat that was investigated by a law enforcement
12		agency, or (C) a condition beyond the control of the owners
13		licensee that does not result from any act or omission by the
14		owners licensee or any of its agents and that poses a hazardous
15		threat to the health and safety of patrons. If an owners
16		licensee pays an amount in excess of its liability under this
17		Section, the Board shall apply the overpayment to future
18		payments required under this Section.
19		For purposes of this subsection (a-15):
20		"Act of God" means an incident caused by the operation of
21		an extraordinary force that cannot be foreseen, that cannot be
22		avoided by the exercise of due care, and for which no person
23		can be held liable.
24		"Base amount" means the following:
25		For a riverboat in Alton, $31,000,000.
26		For a riverboat in East Peoria, $43,000,000.

SB0690 Enrolled - 288 - LRB101 04451 HLH 49459 b
1		For the Empress riverboat in Joliet, $86,000,000.
2		For a riverboat in Metropolis, $45,000,000.
3		For the Harrah's riverboat in Joliet, $114,000,000.
4		For a riverboat in Aurora, $86,000,000.
5		For a riverboat in East St. Louis, $48,500,000.
6		For a riverboat in Elgin, $198,000,000.
7		"Dormant license" has the meaning ascribed to it in
8		subsection (a-3).
9		"Net privilege tax" means all privilege taxes paid by a
10		licensed owner to the Board under this Section, less all
11		payments made from the State Gaming Fund pursuant to subsection
12		(b) of this Section.
13		The changes made to this subsection (a-15) by Public Act
14		94-839 are intended to restate and clarify the intent of Public
15		Act 94-673 with respect to the amount of the payments required
16		to be made under this subsection by an owners licensee to the
17		Board.
18		(b) Until January 1, 1998, 25% of the tax revenue deposited
19		in the State Gaming Fund under this Section shall be paid,
20		subject to appropriation by the General Assembly, to the unit
21		of local government which is designated as the home dock of the
22		riverboat. Beginning January 1, 1998, from the tax revenue
23		deposited in the State Gaming Fund under this Section, an
24		amount equal to 5% of adjusted gross receipts generated by a
25		riverboat shall be paid monthly, subject to appropriation by
26		the General Assembly, to the unit of local government that is

SB0690 Enrolled - 289 - LRB101 04451 HLH 49459 b
1		designated as the home dock of the riverboat. From the tax
2		revenue deposited in the State Gaming Fund pursuant to
3		riverboat gambling operations conducted by a licensed manager
4		on behalf of the State, an amount equal to 5% of adjusted gross
5		receipts generated pursuant to those riverboat gambling
6		operations shall be paid monthly, subject to appropriation by
7		the General Assembly, to the unit of local government that is
8		designated as the home dock of the riverboat upon which those
9		riverboat gambling operations are conducted.
10		(c) Appropriations, as approved by the General Assembly,
11		may be made from the State Gaming Fund to the Board (i) for the
12		administration and enforcement of this Act and the Video Gaming
13		Act, (ii) for distribution to the Department of State Police
14		and to the Department of Revenue for the enforcement of this
15		Act, and (iii) to the Department of Human Services for the
16		administration of programs to treat problem gambling,
17		including problem gambling from sports wagering.
18		(c-5) Before May 26, 2006 (the effective date of Public Act
19		94-804) and beginning on the effective date of this amendatory
20		Act of the 95th General Assembly, unless any organization
21		licensee under the Illinois Horse Racing Act of 1975 begins to
22		operate a slot machine or video game of chance under the
23		Illinois Horse Racing Act of 1975 or this Act, after the
24		payments required under subsections (b) and (c) have been made,
25		an amount equal to 15% of the adjusted gross receipts of (1) an
26		owners licensee that relocates pursuant to Section 11.2, (2) an

SB0690 Enrolled - 290 - LRB101 04451 HLH 49459 b
1		owners licensee conducting riverboat gambling operations
2		pursuant to an owners license that is initially issued after
3		June 25, 1999, or (3) the first riverboat gambling operations
4		conducted by a licensed manager on behalf of the State under
5		Section 7.3, whichever comes first, shall be paid from the
6		State Gaming Fund into the Horse Racing Equity Fund.
7		(c-10) Each year the General Assembly shall appropriate
8		from the General Revenue Fund to the Education Assistance Fund
9		an amount equal to the amount paid into the Horse Racing Equity
10		Fund pursuant to subsection (c-5) in the prior calendar year.
11		(c-15) After the payments required under subsections (b),
12		(c), and (c-5) have been made, an amount equal to 2% of the
13		adjusted gross receipts of (1) an owners licensee that
14		relocates pursuant to Section 11.2, (2) an owners licensee
15		conducting riverboat gambling operations pursuant to an owners
16		license that is initially issued after June 25, 1999, or (3)
17		the first riverboat gambling operations conducted by a licensed
18		manager on behalf of the State under Section 7.3, whichever
19		comes first, shall be paid, subject to appropriation from the
20		General Assembly, from the State Gaming Fund to each home rule
21		county with a population of over 3,000,000 inhabitants for the
22		purpose of enhancing the county's criminal justice system.
23		(c-20) Each year the General Assembly shall appropriate
24		from the General Revenue Fund to the Education Assistance Fund
25		an amount equal to the amount paid to each home rule county
26		with a population of over 3,000,000 inhabitants pursuant to

SB0690 Enrolled - 291 - LRB101 04451 HLH 49459 b
1		subsection (c-15) in the prior calendar year.
2		(c-25) On July 1, 2013 and each July 1 thereafter,
3		$1,600,000 shall be transferred from the State Gaming Fund to
4		the Chicago State University Education Improvement Fund.
5		(c-30) On July 1, 2013 or as soon as possible thereafter,
6		$92,000,000 shall be transferred from the State Gaming Fund to
7		the School Infrastructure Fund and $23,000,000 shall be
8		transferred from the State Gaming Fund to the Horse Racing
9		Equity Fund.
10		(c-35) Beginning on July 1, 2013, in addition to any amount
11		transferred under subsection (c-30) of this Section,
12		$5,530,000 shall be transferred monthly from the State Gaming
13		Fund to the School Infrastructure Fund.
14		(d) From time to time, the Board shall transfer the
15		remainder of the funds generated by this Act into the Education
16		Assistance Fund, created by Public Act 86-0018, of the State of
17		Illinois.
18		(e) Nothing in this Act shall prohibit the unit of local
19		government designated as the home dock of the riverboat from
20		entering into agreements with other units of local government
21		in this State or in other states to share its portion of the
22		tax revenue.
23		(f) To the extent practicable, the Board shall administer
24		and collect the wagering taxes imposed by this Section in a
25		manner consistent with the provisions of Sections 4, 5, 5a, 5b,
26		5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the

SB0690 Enrolled - 292 - LRB101 04451 HLH 49459 b
1		Retailers' Occupation Tax Act and Section 3-7 of the Uniform
2		Penalty and Interest Act.
3		(Source: P.A. 98-18, eff. 6-7-13.)
4		Section 25-915. The Criminal Code of 2012 is amended by
5		changing Sections 28-1, 28-3, and 28-5 as follows:
6		(720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
7		Sec. 28-1. Gambling.
8		(a) A person commits gambling when he or she:
9		(1) knowingly plays a game of chance or skill for money
10		or other thing of value, unless excepted in subsection (b)
11		of this Section;
12		(2) knowingly makes a wager upon the result of any
13		game, contest, or any political nomination, appointment or
14		election;
15		(3) knowingly operates, keeps, owns, uses, purchases,
16		exhibits, rents, sells, bargains for the sale or lease of,
17		manufactures or distributes any gambling device;
18		(4) contracts to have or give himself or herself or
19		another the option to buy or sell, or contracts to buy or
20		sell, at a future time, any grain or other commodity
21		whatsoever, or any stock or security of any company, where
22		it is at the time of making such contract intended by both
23		parties thereto that the contract to buy or sell, or the
24		option, whenever exercised, or the contract resulting

SB0690 Enrolled - 293 - LRB101 04451 HLH 49459 b
1		therefrom, shall be settled, not by the receipt or delivery
2		of such property, but by the payment only of differences in
3		prices thereof; however, the issuance, purchase, sale,
4		exercise, endorsement or guarantee, by or through a person
5		registered with the Secretary of State pursuant to Section
6		8 of the Illinois Securities Law of 1953, or by or through
7		a person exempt from such registration under said Section
8		8, of a put, call, or other option to buy or sell
9		securities which have been registered with the Secretary of
10		State or which are exempt from such registration under
11		Section 3 of the Illinois Securities Law of 1953 is not
12		gambling within the meaning of this paragraph (4);
13		(5) knowingly owns or possesses any book, instrument or
14		apparatus by means of which bets or wagers have been, or
15		are, recorded or registered, or knowingly possesses any
16		money which he has received in the course of a bet or
17		wager;
18		(6) knowingly sells pools upon the result of any game
19		or contest of skill or chance, political nomination,
20		appointment or election;
21		(7) knowingly sets up or promotes any lottery or sells,
22		offers to sell or transfers any ticket or share for any
23		lottery;
24		(8) knowingly sets up or promotes any policy game or
25		sells, offers to sell or knowingly possesses or transfers
26		any policy ticket, slip, record, document or other similar

SB0690 Enrolled - 294 - LRB101 04451 HLH 49459 b
1		device;
2		(9) knowingly drafts, prints or publishes any lottery
3		ticket or share, or any policy ticket, slip, record,
4		document or similar device, except for such activity
5		related to lotteries, bingo games and raffles authorized by
6		and conducted in accordance with the laws of Illinois or
7		any other state or foreign government;
8		(10) knowingly advertises any lottery or policy game,
9		except for such activity related to lotteries, bingo games
10		and raffles authorized by and conducted in accordance with
11		the laws of Illinois or any other state;
12		(11) knowingly transmits information as to wagers,
13		betting odds, or changes in betting odds by telephone,
14		telegraph, radio, semaphore or similar means; or knowingly
15		installs or maintains equipment for the transmission or
16		receipt of such information; except that nothing in this
17		subdivision (11) prohibits transmission or receipt of such
18		information for use in news reporting of sporting events or
19		contests; or
20		(12) knowingly establishes, maintains, or operates an
21		Internet site that permits a person to play a game of
22		chance or skill for money or other thing of value by means
23		of the Internet or to make a wager upon the result of any
24		game, contest, political nomination, appointment, or
25		election by means of the Internet. This item (12) does not
26		apply to activities referenced in items (6), and (6.1), and

SB0690 Enrolled - 295 - LRB101 04451 HLH 49459 b
1		(15) of subsection (b) of this Section.
2		(b) Participants in any of the following activities shall
3		not be convicted of gambling:
4		(1) Agreements to compensate for loss caused by the
5		happening of chance including without limitation contracts
6		of indemnity or guaranty and life or health or accident
7		insurance.
8		(2) Offers of prizes, award or compensation to the
9		actual contestants in any bona fide contest for the
10		determination of skill, speed, strength or endurance or to
11		the owners of animals or vehicles entered in such contest.
12		(3) Pari-mutuel betting as authorized by the law of
13		this State.
14		(4) Manufacture of gambling devices, including the
15		acquisition of essential parts therefor and the assembly
16		thereof, for transportation in interstate or foreign
17		commerce to any place outside this State when such
18		transportation is not prohibited by any applicable Federal
19		law; or the manufacture, distribution, or possession of
20		video gaming terminals, as defined in the Video Gaming Act,
21		by manufacturers, distributors, and terminal operators
22		licensed to do so under the Video Gaming Act.
23		(5) The game commonly known as "bingo", when conducted
24		in accordance with the Bingo License and Tax Act.
25		(6) Lotteries when conducted by the State of Illinois
26		in accordance with the Illinois Lottery Law. This exemption

SB0690 Enrolled - 296 - LRB101 04451 HLH 49459 b
1		includes any activity conducted by the Department of
2		Revenue to sell lottery tickets pursuant to the provisions
3		of the Illinois Lottery Law and its rules.
4		(6.1) The purchase of lottery tickets through the
5		Internet for a lottery conducted by the State of Illinois
6		under the program established in Section 7.12 of the
7		Illinois Lottery Law.
8		(7) Possession of an antique slot machine that is
9		neither used nor intended to be used in the operation or
10		promotion of any unlawful gambling activity or enterprise.
11		For the purpose of this subparagraph (b)(7), an antique
12		slot machine is one manufactured 25 years ago or earlier.
13		(8) Raffles and poker runs when conducted in accordance
14		with the Raffles and Poker Runs Act.
15		(9) Charitable games when conducted in accordance with
16		the Charitable Games Act.
17		(10) Pull tabs and jar games when conducted under the
18		Illinois Pull Tabs and Jar Games Act.
19		(11) Gambling games conducted on riverboats when
20		authorized by the Riverboat Gambling Act.
21		(12) Video gaming terminal games at a licensed
22		establishment, licensed truck stop establishment, licensed
23		fraternal establishment, or licensed veterans
24		establishment when conducted in accordance with the Video
25		Gaming Act.
26		(13) Games of skill or chance where money or other

SB0690 Enrolled - 297 - LRB101 04451 HLH 49459 b
1		things of value can be won but no payment or purchase is
2		required to participate.
3		(14) Savings promotion raffles authorized under
4		Section 5g of the Illinois Banking Act, Section 7008 of the
5		Savings Bank Act, Section 42.7 of the Illinois Credit Union
6		Act, Section 5136B of the National Bank Act (12 U.S.C.
7		25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C.
8		1463).
9		(15) Sports wagering when conducted in accordance with
10		the Sports Wagering Act.
11		(c) Sentence.
12		Gambling is a Class A misdemeanor. A second or subsequent
13		conviction under subsections (a)(3) through (a)(12), is a Class
14		4 felony.
15		(d) Circumstantial evidence.
16		In prosecutions under this Section circumstantial evidence
17		shall have the same validity and weight as in any criminal
18		prosecution.
19		(Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16.)
20		(720 ILCS 5/28-3) (from Ch. 38, par. 28-3)
21		Sec. 28-3. Keeping a Gambling Place. A "gambling place" is
22		any real estate, vehicle, boat or any other property whatsoever
23		used for the purposes of gambling other than gambling conducted
24		in the manner authorized by the Riverboat Gambling Act, the
25		Sports Wagering Act, or the Video Gaming Act. Any person who

SB0690 Enrolled - 298 - LRB101 04451 HLH 49459 b
1		knowingly permits any premises or property owned or occupied by
2		him or under his control to be used as a gambling place commits
3		a Class A misdemeanor. Each subsequent offense is a Class 4
4		felony. When any premises is determined by the circuit court to
5		be a gambling place:
6		(a) Such premises is a public nuisance and may be proceeded
7		against as such, and
8		(b) All licenses, permits or certificates issued by the
9		State of Illinois or any subdivision or public agency thereof
10		authorizing the serving of food or liquor on such premises
11		shall be void; and no license, permit or certificate so
12		cancelled shall be reissued for such premises for a period of
13		60 days thereafter; nor shall any person convicted of keeping a
14		gambling place be reissued such license for one year from his
15		conviction and, after a second conviction of keeping a gambling
16		place, any such person shall not be reissued such license, and
17		(c) Such premises of any person who knowingly permits
18		thereon a violation of any Section of this Article shall be
19		held liable for, and may be sold to pay any unsatisfied
20		judgment that may be recovered and any unsatisfied fine that
21		may be levied under any Section of this Article.
22		(Source: P.A. 96-34, eff. 7-13-09.)
23		(720 ILCS 5/28-5) (from Ch. 38, par. 28-5)
24		Sec. 28-5. Seizure of gambling devices and gambling funds.
25		(a) Every device designed for gambling which is incapable

SB0690 Enrolled - 299 - LRB101 04451 HLH 49459 b
1		of lawful use or every device used unlawfully for gambling
2		shall be considered a "gambling device", and shall be subject
3		to seizure, confiscation and destruction by the Department of
4		State Police or by any municipal, or other local authority,
5		within whose jurisdiction the same may be found. As used in
6		this Section, a "gambling device" includes any slot machine,
7		and includes any machine or device constructed for the
8		reception of money or other thing of value and so constructed
9		as to return, or to cause someone to return, on chance to the
10		player thereof money, property or a right to receive money or
11		property. With the exception of any device designed for
12		gambling which is incapable of lawful use, no gambling device
13		shall be forfeited or destroyed unless an individual with a
14		property interest in said device knows of the unlawful use of
15		the device.
16		(b) Every gambling device shall be seized and forfeited to
17		the county wherein such seizure occurs. Any money or other
18		thing of value integrally related to acts of gambling shall be
19		seized and forfeited to the county wherein such seizure occurs.
20		(c) If, within 60 days after any seizure pursuant to
21		subparagraph (b) of this Section, a person having any property
22		interest in the seized property is charged with an offense, the
23		court which renders judgment upon such charge shall, within 30
24		days after such judgment, conduct a forfeiture hearing to
25		determine whether such property was a gambling device at the
26		time of seizure. Such hearing shall be commenced by a written

SB0690 Enrolled - 300 - LRB101 04451 HLH 49459 b
1		petition by the State, including material allegations of fact,
2		the name and address of every person determined by the State to
3		have any property interest in the seized property, a
4		representation that written notice of the date, time and place
5		of such hearing has been mailed to every such person by
6		certified mail at least 10 days before such date, and a request
7		for forfeiture. Every such person may appear as a party and
8		present evidence at such hearing. The quantum of proof required
9		shall be a preponderance of the evidence, and the burden of
10		proof shall be on the State. If the court determines that the
11		seized property was a gambling device at the time of seizure,
12		an order of forfeiture and disposition of the seized property
13		shall be entered: a gambling device shall be received by the
14		State's Attorney, who shall effect its destruction, except that
15		valuable parts thereof may be liquidated and the resultant
16		money shall be deposited in the general fund of the county
17		wherein such seizure occurred; money and other things of value
18		shall be received by the State's Attorney and, upon
19		liquidation, shall be deposited in the general fund of the
20		county wherein such seizure occurred. However, in the event
21		that a defendant raises the defense that the seized slot
22		machine is an antique slot machine described in subparagraph
23		(b) (7) of Section 28-1 of this Code and therefore he is exempt
24		from the charge of a gambling activity participant, the seized
25		antique slot machine shall not be destroyed or otherwise
26		altered until a final determination is made by the Court as to

SB0690 Enrolled - 301 - LRB101 04451 HLH 49459 b
1		whether it is such an antique slot machine. Upon a final
2		determination by the Court of this question in favor of the
3		defendant, such slot machine shall be immediately returned to
4		the defendant. Such order of forfeiture and disposition shall,
5		for the purposes of appeal, be a final order and judgment in a
6		civil proceeding.
7		(d) If a seizure pursuant to subparagraph (b) of this
8		Section is not followed by a charge pursuant to subparagraph
9		(c) of this Section, or if the prosecution of such charge is
10		permanently terminated or indefinitely discontinued without
11		any judgment of conviction or acquittal (1) the State's
12		Attorney shall commence an in rem proceeding for the forfeiture
13		and destruction of a gambling device, or for the forfeiture and
14		deposit in the general fund of the county of any seized money
15		or other things of value, or both, in the circuit court and (2)
16		any person having any property interest in such seized gambling
17		device, money or other thing of value may commence separate
18		civil proceedings in the manner provided by law.
19		(e) Any gambling device displayed for sale to a riverboat
20		gambling operation or used to train occupational licensees of a
21		riverboat gambling operation as authorized under the Riverboat
22		Gambling Act is exempt from seizure under this Section.
23		(f) Any gambling equipment, devices and supplies provided
24		by a licensed supplier in accordance with the Riverboat
25		Gambling Act which are removed from the riverboat for repair
26		are exempt from seizure under this Section.

SB0690 Enrolled - 302 - LRB101 04451 HLH 49459 b
1		(g) The following video gaming terminals are exempt from
2		seizure under this Section:
3		(1) Video gaming terminals for sale to a licensed
4		distributor or operator under the Video Gaming Act.
5		(2) Video gaming terminals used to train licensed
6		technicians or licensed terminal handlers.
7		(3) Video gaming terminals that are removed from a
8		licensed establishment, licensed truck stop establishment,
9		licensed fraternal establishment, or licensed veterans
10		establishment for repair.
11		(h) Property seized or forfeited under this Section is
12		subject to reporting under the Seizure and Forfeiture Reporting
13		Act.
14		(i) Any sports lottery terminals provided by a central
15		system provider that are removed from a lottery retailer for
16		repair under the Sports Wagering Act are exempt from seizure
17		under this Section.
18		(Source: P.A. 100-512, eff. 7-1-18.)
19		Article 30. State Fair Gaming Act
20		Section 30-1. Short title. This Article may be cited as the
21		State Fair Gaming Act. References in this Article to "this Act"
22		mean this Article.
23		Section 30-5. Definitions. As used in this Act:

SB0690 Enrolled - 303 - LRB101 04451 HLH 49459 b
1		"Board" means the Illinois Gaming Board.
2		"State Fair" has the meaning given to that term in the
3		State Fair Act.
4		Section 30-10. Gambling at the State Fair.
5		(a) The Board shall issue a licensed establishment license
6		as provided under Section 25 of the Video Gaming Act to a
7		concessioner who will operate at the Illinois State Fairgrounds
8		and at the DuQuoin State Fairgrounds. The concessioner shall be
9		chosen under the Illinois Procurement Code for an operational
10		period not to exceed 3 years. At the conclusion of each 3-year
11		cycle, the Illinois Procurement Code shall be used to determine
12		the new concessioner.
13		(b) Moneys bid by the concessioner shall be deposited into
14		the State Fairgrounds Capital Improvements and Harness Racing
15		Fund.
16		Section 30-15. Video gaming at the State Fair.
17		(a) The concessioner issued a licensed establishment
18		license under Section 30-10 may operate: (1) up to 50 video
19		gaming terminals as provided in the Video Gaming Act during the
20		scheduled dates of the Illinois State Fair; and (2) up to 30
21		video gaming terminals as provided in the Video Gaming Act
22		during the scheduled dates of the DuQuoin State Fair.
23		(b) No more than 10 video gaming terminals may be placed in
24		any temporary pavilion where alcoholic beverages are served at

SB0690 Enrolled - 304 - LRB101 04451 HLH 49459 b
1		either State Fair.
2		Section 30-20. Revenue.
3		(a) Notwithstanding any other law to the contrary, a tax is
4		imposed at the rate of 35% of net terminal income received from
5		video gaming under this Act, which shall be remitted to the
6		Board and deposited into the State Fairgrounds Capital
7		Improvements and Harness Racing Fund.
8		(b) There is created within the State treasury the State
9		Fairgrounds Capital Improvements and Harness Racing Fund. The
10		Department of Agriculture shall use moneys in the State
11		Fairgrounds Capital Improvements and Harness Racing Fund as
12		follows and in the order of priority:
13		(1) to provide support for a harness race meeting
14		produced by an organization licensee under the Illinois
15		Horse Racing Act of 1975 and which shall consist of up to
16		30 days of live racing per year at the Illinois State
17		Fairgrounds in Springfield;
18		(2) to repair and rehabilitate fairgrounds'
19		backstretch facilities to such a level as determined by the
20		Department of Agriculture to be required to carry out a
21		program of live harness racing; and
22		(3) for the overall repair and rehabilitation of the
23		capital infrastructure of: (i) the Illinois State
24		Fairgrounds in Springfield, and (ii) the DuQuoin State
25		Fairgrounds in DuQuoin, and for no other purpose.

SB0690 Enrolled - 305 - LRB101 04451 HLH 49459 b
1		Notwithstanding any other law to the contrary, the entire
2		State share of tax revenues from the race meetings under
3		paragraph (1) of this subsection (c) shall be reinvested into
4		the State Fairgrounds Capital Improvements and Harness Racing
5		Fund.
6		Section 30-25. Rules. The Board and the Department of
7		Agriculture may adopt rules for the implementation of this Act.
8		Section 30-900. The State Finance Act is amended by adding
9		Section 5.897 as follows:
10		(30 ILCS 105/5.897 new)
11		Sec. 5.897. The State Fairgrounds Capital Improvements and
12		Harness Racing Fund.
13		Article 35. Amendatory Provisions
14		Section 35-3. The Illinois Administrative Procedure Act is
15		amended by changing Section 5-45 as follows:
16		(5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)
17		Sec. 5-45. Emergency rulemaking.
18		(a) "Emergency" means the existence of any situation that
19		any agency finds reasonably constitutes a threat to the public
20		interest, safety, or welfare.

SB0690 Enrolled - 306 - LRB101 04451 HLH 49459 b
1		(b) If any agency finds that an emergency exists that
2		requires adoption of a rule upon fewer days than is required by
3		Section 5-40 and states in writing its reasons for that
4		finding, the agency may adopt an emergency rule without prior
5		notice or hearing upon filing a notice of emergency rulemaking
6		with the Secretary of State under Section 5-70. The notice
7		shall include the text of the emergency rule and shall be
8		published in the Illinois Register. Consent orders or other
9		court orders adopting settlements negotiated by an agency may
10		be adopted under this Section. Subject to applicable
11		constitutional or statutory provisions, an emergency rule
12		becomes effective immediately upon filing under Section 5-65 or
13		at a stated date less than 10 days thereafter. The agency's
14		finding and a statement of the specific reasons for the finding
15		shall be filed with the rule. The agency shall take reasonable
16		and appropriate measures to make emergency rules known to the
17		persons who may be affected by them.
18		(c) An emergency rule may be effective for a period of not
19		longer than 150 days, but the agency's authority to adopt an
20		identical rule under Section 5-40 is not precluded. No
21		emergency rule may be adopted more than once in any 24-month
22		period, except that this limitation on the number of emergency
23		rules that may be adopted in a 24-month period does not apply
24		to (i) emergency rules that make additions to and deletions
25		from the Drug Manual under Section 5-5.16 of the Illinois
26		Public Aid Code or the generic drug formulary under Section

SB0690 Enrolled - 307 - LRB101 04451 HLH 49459 b
1		3.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
2		emergency rules adopted by the Pollution Control Board before
3		July 1, 1997 to implement portions of the Livestock Management
4		Facilities Act, (iii) emergency rules adopted by the Illinois
5		Department of Public Health under subsections (a) through (i)
6		of Section 2 of the Department of Public Health Act when
7		necessary to protect the public's health, (iv) emergency rules
8		adopted pursuant to subsection (n) of this Section, (v)
9		emergency rules adopted pursuant to subsection (o) of this
10		Section, or (vi) emergency rules adopted pursuant to subsection
11		(c-5) of this Section. Two or more emergency rules having
12		substantially the same purpose and effect shall be deemed to be
13		a single rule for purposes of this Section.
14		(c-5) To facilitate the maintenance of the program of group
15		health benefits provided to annuitants, survivors, and retired
16		employees under the State Employees Group Insurance Act of
17		1971, rules to alter the contributions to be paid by the State,
18		annuitants, survivors, retired employees, or any combination
19		of those entities, for that program of group health benefits,
20		shall be adopted as emergency rules. The adoption of those
21		rules shall be considered an emergency and necessary for the
22		public interest, safety, and welfare.
23		(d) In order to provide for the expeditious and timely
24		implementation of the State's fiscal year 1999 budget,
25		emergency rules to implement any provision of Public Act 90-587
26		or 90-588 or any other budget initiative for fiscal year 1999

SB0690 Enrolled - 308 - LRB101 04451 HLH 49459 b
1		may be adopted in accordance with this Section by the agency
2		charged with administering that provision or initiative,
3		except that the 24-month limitation on the adoption of
4		emergency rules and the provisions of Sections 5-115 and 5-125
5		do not apply to rules adopted under this subsection (d). The
6		adoption of emergency rules authorized by this subsection (d)
7		shall be deemed to be necessary for the public interest,
8		safety, and welfare.
9		(e) In order to provide for the expeditious and timely
10		implementation of the State's fiscal year 2000 budget,
11		emergency rules to implement any provision of Public Act 91-24
12		or any other budget initiative for fiscal year 2000 may be
13		adopted in accordance with this Section by the agency charged
14		with administering that provision or initiative, except that
15		the 24-month limitation on the adoption of emergency rules and
16		the provisions of Sections 5-115 and 5-125 do not apply to
17		rules adopted under this subsection (e). The adoption of
18		emergency rules authorized by this subsection (e) shall be
19		deemed to be necessary for the public interest, safety, and
20		welfare.
21		(f) In order to provide for the expeditious and timely
22		implementation of the State's fiscal year 2001 budget,
23		emergency rules to implement any provision of Public Act 91-712
24		or any other budget initiative for fiscal year 2001 may be
25		adopted in accordance with this Section by the agency charged
26		with administering that provision or initiative, except that

SB0690 Enrolled - 309 - LRB101 04451 HLH 49459 b
1		the 24-month limitation on the adoption of emergency rules and
2		the provisions of Sections 5-115 and 5-125 do not apply to
3		rules adopted under this subsection (f). The adoption of
4		emergency rules authorized by this subsection (f) shall be
5		deemed to be necessary for the public interest, safety, and
6		welfare.
7		(g) In order to provide for the expeditious and timely
8		implementation of the State's fiscal year 2002 budget,
9		emergency rules to implement any provision of Public Act 92-10
10		or any other budget initiative for fiscal year 2002 may be
11		adopted in accordance with this Section by the agency charged
12		with administering that provision or initiative, except that
13		the 24-month limitation on the adoption of emergency rules and
14		the provisions of Sections 5-115 and 5-125 do not apply to
15		rules adopted under this subsection (g). The adoption of
16		emergency rules authorized by this subsection (g) shall be
17		deemed to be necessary for the public interest, safety, and
18		welfare.
19		(h) In order to provide for the expeditious and timely
20		implementation of the State's fiscal year 2003 budget,
21		emergency rules to implement any provision of Public Act 92-597
22		or any other budget initiative for fiscal year 2003 may be
23		adopted in accordance with this Section by the agency charged
24		with administering that provision or initiative, except that
25		the 24-month limitation on the adoption of emergency rules and
26		the provisions of Sections 5-115 and 5-125 do not apply to

SB0690 Enrolled - 310 - LRB101 04451 HLH 49459 b
1		rules adopted under this subsection (h). The adoption of
2		emergency rules authorized by this subsection (h) shall be
3		deemed to be necessary for the public interest, safety, and
4		welfare.
5		(i) In order to provide for the expeditious and timely
6		implementation of the State's fiscal year 2004 budget,
7		emergency rules to implement any provision of Public Act 93-20
8		or any other budget initiative for fiscal year 2004 may be
9		adopted in accordance with this Section by the agency charged
10		with administering that provision or initiative, except that
11		the 24-month limitation on the adoption of emergency rules and
12		the provisions of Sections 5-115 and 5-125 do not apply to
13		rules adopted under this subsection (i). The adoption of
14		emergency rules authorized by this subsection (i) shall be
15		deemed to be necessary for the public interest, safety, and
16		welfare.
17		(j) In order to provide for the expeditious and timely
18		implementation of the provisions of the State's fiscal year
19		2005 budget as provided under the Fiscal Year 2005 Budget
20		Implementation (Human Services) Act, emergency rules to
21		implement any provision of the Fiscal Year 2005 Budget
22		Implementation (Human Services) Act may be adopted in
23		accordance with this Section by the agency charged with
24		administering that provision, except that the 24-month
25		limitation on the adoption of emergency rules and the
26		provisions of Sections 5-115 and 5-125 do not apply to rules

SB0690 Enrolled - 311 - LRB101 04451 HLH 49459 b
1		adopted under this subsection (j). The Department of Public Aid
2		may also adopt rules under this subsection (j) necessary to
3		administer the Illinois Public Aid Code and the Children's
4		Health Insurance Program Act. The adoption of emergency rules
5		authorized by this subsection (j) shall be deemed to be
6		necessary for the public interest, safety, and welfare.
7		(k) In order to provide for the expeditious and timely
8		implementation of the provisions of the State's fiscal year
9		2006 budget, emergency rules to implement any provision of
10		Public Act 94-48 or any other budget initiative for fiscal year
11		2006 may be adopted in accordance with this Section by the
12		agency charged with administering that provision or
13		initiative, except that the 24-month limitation on the adoption
14		of emergency rules and the provisions of Sections 5-115 and
15		5-125 do not apply to rules adopted under this subsection (k).
16		The Department of Healthcare and Family Services may also adopt
17		rules under this subsection (k) necessary to administer the
18		Illinois Public Aid Code, the Senior Citizens and Persons with
19		Disabilities Property Tax Relief Act, the Senior Citizens and
20		Disabled Persons Prescription Drug Discount Program Act (now
21		the Illinois Prescription Drug Discount Program Act), and the
22		Children's Health Insurance Program Act. The adoption of
23		emergency rules authorized by this subsection (k) shall be
24		deemed to be necessary for the public interest, safety, and
25		welfare.
26		(l) In order to provide for the expeditious and timely

SB0690 Enrolled - 312 - LRB101 04451 HLH 49459 b
1		implementation of the provisions of the State's fiscal year
2		2007 budget, the Department of Healthcare and Family Services
3		may adopt emergency rules during fiscal year 2007, including
4		rules effective July 1, 2007, in accordance with this
5		subsection to the extent necessary to administer the
6		Department's responsibilities with respect to amendments to
7		the State plans and Illinois waivers approved by the federal
8		Centers for Medicare and Medicaid Services necessitated by the
9		requirements of Title XIX and Title XXI of the federal Social
10		Security Act. The adoption of emergency rules authorized by
11		this subsection (l) shall be deemed to be necessary for the
12		public interest, safety, and welfare.
13		(m) In order to provide for the expeditious and timely
14		implementation of the provisions of the State's fiscal year
15		2008 budget, the Department of Healthcare and Family Services
16		may adopt emergency rules during fiscal year 2008, including
17		rules effective July 1, 2008, in accordance with this
18		subsection to the extent necessary to administer the
19		Department's responsibilities with respect to amendments to
20		the State plans and Illinois waivers approved by the federal
21		Centers for Medicare and Medicaid Services necessitated by the
22		requirements of Title XIX and Title XXI of the federal Social
23		Security Act. The adoption of emergency rules authorized by
24		this subsection (m) shall be deemed to be necessary for the
25		public interest, safety, and welfare.
26		(n) In order to provide for the expeditious and timely

SB0690 Enrolled - 313 - LRB101 04451 HLH 49459 b
1		implementation of the provisions of the State's fiscal year
2		2010 budget, emergency rules to implement any provision of
3		Public Act 96-45 or any other budget initiative authorized by
4		the 96th General Assembly for fiscal year 2010 may be adopted
5		in accordance with this Section by the agency charged with
6		administering that provision or initiative. The adoption of
7		emergency rules authorized by this subsection (n) shall be
8		deemed to be necessary for the public interest, safety, and
9		welfare. The rulemaking authority granted in this subsection
10		(n) shall apply only to rules promulgated during Fiscal Year
11		2010.
12		(o) In order to provide for the expeditious and timely
13		implementation of the provisions of the State's fiscal year
14		2011 budget, emergency rules to implement any provision of
15		Public Act 96-958 or any other budget initiative authorized by
16		the 96th General Assembly for fiscal year 2011 may be adopted
17		in accordance with this Section by the agency charged with
18		administering that provision or initiative. The adoption of
19		emergency rules authorized by this subsection (o) is deemed to
20		be necessary for the public interest, safety, and welfare. The
21		rulemaking authority granted in this subsection (o) applies
22		only to rules promulgated on or after July 1, 2010 (the
23		effective date of Public Act 96-958) through June 30, 2011.
24		(p) In order to provide for the expeditious and timely
25		implementation of the provisions of Public Act 97-689,
26		emergency rules to implement any provision of Public Act 97-689

SB0690 Enrolled - 314 - LRB101 04451 HLH 49459 b
1		may be adopted in accordance with this subsection (p) by the
2		agency charged with administering that provision or
3		initiative. The 150-day limitation of the effective period of
4		emergency rules does not apply to rules adopted under this
5		subsection (p), and the effective period may continue through
6		June 30, 2013. The 24-month limitation on the adoption of
7		emergency rules does not apply to rules adopted under this
8		subsection (p). The adoption of emergency rules authorized by
9		this subsection (p) is deemed to be necessary for the public
10		interest, safety, and welfare.
11		(q) In order to provide for the expeditious and timely
12		implementation of the provisions of Articles 7, 8, 9, 11, and
13		12 of Public Act 98-104, emergency rules to implement any
14		provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
15		may be adopted in accordance with this subsection (q) by the
16		agency charged with administering that provision or
17		initiative. The 24-month limitation on the adoption of
18		emergency rules does not apply to rules adopted under this
19		subsection (q). The adoption of emergency rules authorized by
20		this subsection (q) is deemed to be necessary for the public
21		interest, safety, and welfare.
22		(r) In order to provide for the expeditious and timely
23		implementation of the provisions of Public Act 98-651,
24		emergency rules to implement Public Act 98-651 may be adopted
25		in accordance with this subsection (r) by the Department of
26		Healthcare and Family Services. The 24-month limitation on the

SB0690 Enrolled - 315 - LRB101 04451 HLH 49459 b
1		adoption of emergency rules does not apply to rules adopted
2		under this subsection (r). The adoption of emergency rules
3		authorized by this subsection (r) is deemed to be necessary for
4		the public interest, safety, and welfare.
5		(s) In order to provide for the expeditious and timely
6		implementation of the provisions of Sections 5-5b.1 and 5A-2 of
7		the Illinois Public Aid Code, emergency rules to implement any
8		provision of Section 5-5b.1 or Section 5A-2 of the Illinois
9		Public Aid Code may be adopted in accordance with this
10		subsection (s) by the Department of Healthcare and Family
11		Services. The rulemaking authority granted in this subsection
12		(s) shall apply only to those rules adopted prior to July 1,
13		2015. Notwithstanding any other provision of this Section, any
14		emergency rule adopted under this subsection (s) shall only
15		apply to payments made for State fiscal year 2015. The adoption
16		of emergency rules authorized by this subsection (s) is deemed
17		to be necessary for the public interest, safety, and welfare.
18		(t) In order to provide for the expeditious and timely
19		implementation of the provisions of Article II of Public Act
20		99-6, emergency rules to implement the changes made by Article
21		II of Public Act 99-6 to the Emergency Telephone System Act may
22		be adopted in accordance with this subsection (t) by the
23		Department of State Police. The rulemaking authority granted in
24		this subsection (t) shall apply only to those rules adopted
25		prior to July 1, 2016. The 24-month limitation on the adoption
26		of emergency rules does not apply to rules adopted under this

SB0690 Enrolled - 316 - LRB101 04451 HLH 49459 b
1		subsection (t). The adoption of emergency rules authorized by
2		this subsection (t) is deemed to be necessary for the public
3		interest, safety, and welfare.
4		(u) In order to provide for the expeditious and timely
5		implementation of the provisions of the Burn Victims Relief
6		Act, emergency rules to implement any provision of the Act may
7		be adopted in accordance with this subsection (u) by the
8		Department of Insurance. The rulemaking authority granted in
9		this subsection (u) shall apply only to those rules adopted
10		prior to December 31, 2015. The adoption of emergency rules
11		authorized by this subsection (u) is deemed to be necessary for
12		the public interest, safety, and welfare.
13		(v) In order to provide for the expeditious and timely
14		implementation of the provisions of Public Act 99-516,
15		emergency rules to implement Public Act 99-516 may be adopted
16		in accordance with this subsection (v) by the Department of
17		Healthcare and Family Services. The 24-month limitation on the
18		adoption of emergency rules does not apply to rules adopted
19		under this subsection (v). The adoption of emergency rules
20		authorized by this subsection (v) is deemed to be necessary for
21		the public interest, safety, and welfare.
22		(w) In order to provide for the expeditious and timely
23		implementation of the provisions of Public Act 99-796,
24		emergency rules to implement the changes made by Public Act
25		99-796 may be adopted in accordance with this subsection (w) by
26		the Adjutant General. The adoption of emergency rules

SB0690 Enrolled - 317 - LRB101 04451 HLH 49459 b
1		authorized by this subsection (w) is deemed to be necessary for
2		the public interest, safety, and welfare.
3		(x) In order to provide for the expeditious and timely
4		implementation of the provisions of Public Act 99-906,
5		emergency rules to implement subsection (i) of Section 16-115D,
6		subsection (g) of Section 16-128A, and subsection (a) of
7		Section 16-128B of the Public Utilities Act may be adopted in
8		accordance with this subsection (x) by the Illinois Commerce
9		Commission. The rulemaking authority granted in this
10		subsection (x) shall apply only to those rules adopted within
11		180 days after June 1, 2017 (the effective date of Public Act
12		99-906). The adoption of emergency rules authorized by this
13		subsection (x) is deemed to be necessary for the public
14		interest, safety, and welfare.
15		(y) In order to provide for the expeditious and timely
16		implementation of the provisions of Public Act 100-23,
17		emergency rules to implement the changes made by Public Act
18		100-23 to Section 4.02 of the Illinois Act on the Aging,
19		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
20		Section 55-30 of the Alcoholism and Other Drug Abuse and
21		Dependency Act, and Sections 74 and 75 of the Mental Health and
22		Developmental Disabilities Administrative Act may be adopted
23		in accordance with this subsection (y) by the respective
24		Department. The adoption of emergency rules authorized by this
25		subsection (y) is deemed to be necessary for the public
26		interest, safety, and welfare.

SB0690 Enrolled - 318 - LRB101 04451 HLH 49459 b
1		(z) In order to provide for the expeditious and timely
2		implementation of the provisions of Public Act 100-554,
3		emergency rules to implement the changes made by Public Act
4		100-554 to Section 4.7 of the Lobbyist Registration Act may be
5		adopted in accordance with this subsection (z) by the Secretary
6		of State. The adoption of emergency rules authorized by this
7		subsection (z) is deemed to be necessary for the public
8		interest, safety, and welfare.
9		(aa) In order to provide for the expeditious and timely
10		initial implementation of the changes made to Articles 5, 5A,
11		12, and 14 of the Illinois Public Aid Code under the provisions
12		of Public Act 100-581, the Department of Healthcare and Family
13		Services may adopt emergency rules in accordance with this
14		subsection (aa). The 24-month limitation on the adoption of
15		emergency rules does not apply to rules to initially implement
16		the changes made to Articles 5, 5A, 12, and 14 of the Illinois
17		Public Aid Code adopted under this subsection (aa). The
18		adoption of emergency rules authorized by this subsection (aa)
19		is deemed to be necessary for the public interest, safety, and
20		welfare.
21		(bb) In order to provide for the expeditious and timely
22		implementation of the provisions of Public Act 100-587,
23		emergency rules to implement the changes made by Public Act
24		100-587 to Section 4.02 of the Illinois Act on the Aging,
25		Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
26		subsection (b) of Section 55-30 of the Alcoholism and Other

SB0690 Enrolled - 319 - LRB101 04451 HLH 49459 b
1		Drug Abuse and Dependency Act, Section 5-104 of the Specialized
2		Mental Health Rehabilitation Act of 2013, and Section 75 and
3		subsection (b) of Section 74 of the Mental Health and
4		Developmental Disabilities Administrative Act may be adopted
5		in accordance with this subsection (bb) by the respective
6		Department. The adoption of emergency rules authorized by this
7		subsection (bb) is deemed to be necessary for the public
8		interest, safety, and welfare.
9		(cc) In order to provide for the expeditious and timely
10		implementation of the provisions of Public Act 100-587,
11		emergency rules may be adopted in accordance with this
12		subsection (cc) to implement the changes made by Public Act
13		100-587 to: Sections 14-147.5 and 14-147.6 of the Illinois
14		Pension Code by the Board created under Article 14 of the Code;
15		Sections 15-185.5 and 15-185.6 of the Illinois Pension Code by
16		the Board created under Article 15 of the Code; and Sections
17		16-190.5 and 16-190.6 of the Illinois Pension Code by the Board
18		created under Article 16 of the Code. The adoption of emergency
19		rules authorized by this subsection (cc) is deemed to be
20		necessary for the public interest, safety, and welfare.
21		(dd) In order to provide for the expeditious and timely
22		implementation of the provisions of Public Act 100-864,
23		emergency rules to implement the changes made by Public Act
24		100-864 to Section 3.35 of the Newborn Metabolic Screening Act
25		may be adopted in accordance with this subsection (dd) by the
26		Secretary of State. The adoption of emergency rules authorized

SB0690 Enrolled - 320 - LRB101 04451 HLH 49459 b
1		by this subsection (dd) is deemed to be necessary for the
2		public interest, safety, and welfare.
3		(ee) In order to provide for the expeditious and timely
4		implementation of the provisions of Public Act 100-1172 this
5		amendatory Act of the 100th General Assembly, emergency rules
6		implementing the Illinois Underground Natural Gas Storage
7		Safety Act may be adopted in accordance with this subsection by
8		the Department of Natural Resources. The adoption of emergency
9		rules authorized by this subsection is deemed to be necessary
10		for the public interest, safety, and welfare.
11		(ff) (ee) In order to provide for the expeditious and
12		timely initial implementation of the changes made to Articles
13		5A and 14 of the Illinois Public Aid Code under the provisions
14		of Public Act 100-1181 this amendatory Act of the 100th General
15		Assembly, the Department of Healthcare and Family Services may
16		on a one-time-only basis adopt emergency rules in accordance
17		with this subsection (ff) (ee). The 24-month limitation on the
18		adoption of emergency rules does not apply to rules to
19		initially implement the changes made to Articles 5A and 14 of
20		the Illinois Public Aid Code adopted under this subsection (ff)
21		(ee). The adoption of emergency rules authorized by this
22		subsection (ff) (ee) is deemed to be necessary for the public
23		interest, safety, and welfare.
24		(gg) (ff) In order to provide for the expeditious and
25		timely implementation of the provisions of Public Act 101-1
26		this amendatory Act of the 101st General Assembly, emergency

SB0690 Enrolled - 321 - LRB101 04451 HLH 49459 b
1		rules may be adopted by the Department of Labor in accordance
2		with this subsection (gg) (ff) to implement the changes made by
3		Public Act 101-1 this amendatory Act of the 101st General
4		Assembly to the Minimum Wage Law. The adoption of emergency
5		rules authorized by this subsection (gg) (ff) is deemed to be
6		necessary for the public interest, safety, and welfare.
7		(kk) In order to provide for the expeditious and timely
8		implementation of the provisions of subsection (c) of Section
9		20 of the Video Gaming Act, emergency rules to implement the
10		provisions of subsection (c) of Section 20 of the Video Gaming
11		Act may be adopted in accordance with this subsection (kk) by
12		the Illinois Gaming Board. The adoption of emergency rules
13		authorized by this subsection (kk) is deemed to be necessary
14		for the public interest, safety, and welfare.
15		(Source: P.A. 100-23, eff. 7-6-17; 100-554, eff. 11-16-17;
16		100-581, eff. 3-12-18; 100-587, Article 95, Section 95-5, eff.
17		6-4-18; 100-587, Article 110, Section 110-5, eff. 6-4-18;
18		100-864, eff. 8-14-18; 100-1172, eff. 1-4-19; 100-1181, eff.
19		3-8-19; 101-1, eff. 2-19-19; revised 4-2-19.)
20		Section 35-5. The Open Meetings Act is amended by changing
21		Section 2 as follows:
22		(5 ILCS 120/2) (from Ch. 102, par. 42)
23		Sec. 2. Open meetings.
24		(a) Openness required. All meetings of public bodies shall

SB0690 Enrolled - 322 - LRB101 04451 HLH 49459 b
1		be open to the public unless excepted in subsection (c) and
2		closed in accordance with Section 2a.
3		(b) Construction of exceptions. The exceptions contained
4		in subsection (c) are in derogation of the requirement that
5		public bodies meet in the open, and therefore, the exceptions
6		are to be strictly construed, extending only to subjects
7		clearly within their scope. The exceptions authorize but do not
8		require the holding of a closed meeting to discuss a subject
9		included within an enumerated exception.
10		(c) Exceptions. A public body may hold closed meetings to
11		consider the following subjects:
12		(1) The appointment, employment, compensation,
13		discipline, performance, or dismissal of specific
14		employees of the public body or legal counsel for the
15		public body, including hearing testimony on a complaint
16		lodged against an employee of the public body or against
17		legal counsel for the public body to determine its
18		validity. However, a meeting to consider an increase in
19		compensation to a specific employee of a public body that
20		is subject to the Local Government Wage Increase
21		Transparency Act may not be closed and shall be open to the
22		public and posted and held in accordance with this Act.
23		(2) Collective negotiating matters between the public
24		body and its employees or their representatives, or
25		deliberations concerning salary schedules for one or more
26		classes of employees.

SB0690 Enrolled - 323 - LRB101 04451 HLH 49459 b
1		(3) The selection of a person to fill a public office,
2		as defined in this Act, including a vacancy in a public
3		office, when the public body is given power to appoint
4		under law or ordinance, or the discipline, performance or
5		removal of the occupant of a public office, when the public
6		body is given power to remove the occupant under law or
7		ordinance.
8		(4) Evidence or testimony presented in open hearing, or
9		in closed hearing where specifically authorized by law, to
10		a quasi-adjudicative body, as defined in this Act, provided
11		that the body prepares and makes available for public
12		inspection a written decision setting forth its
13		determinative reasoning.
14		(5) The purchase or lease of real property for the use
15		of the public body, including meetings held for the purpose
16		of discussing whether a particular parcel should be
17		acquired.
18		(6) The setting of a price for sale or lease of
19		property owned by the public body.
20		(7) The sale or purchase of securities, investments, or
21		investment contracts. This exception shall not apply to the
22		investment of assets or income of funds deposited into the
23		Illinois Prepaid Tuition Trust Fund.
24		(8) Security procedures, school building safety and
25		security, and the use of personnel and equipment to respond
26		to an actual, a threatened, or a reasonably potential

SB0690 Enrolled - 324 - LRB101 04451 HLH 49459 b
1		danger to the safety of employees, students, staff, the
2		public, or public property.
3		(9) Student disciplinary cases.
4		(10) The placement of individual students in special
5		education programs and other matters relating to
6		individual students.
7		(11) Litigation, when an action against, affecting or
8		on behalf of the particular public body has been filed and
9		is pending before a court or administrative tribunal, or
10		when the public body finds that an action is probable or
11		imminent, in which case the basis for the finding shall be
12		recorded and entered into the minutes of the closed
13		meeting.
14		(12) The establishment of reserves or settlement of
15		claims as provided in the Local Governmental and
16		Governmental Employees Tort Immunity Act, if otherwise the
17		disposition of a claim or potential claim might be
18		prejudiced, or the review or discussion of claims, loss or
19		risk management information, records, data, advice or
20		communications from or with respect to any insurer of the
21		public body or any intergovernmental risk management
22		association or self insurance pool of which the public body
23		is a member.
24		(13) Conciliation of complaints of discrimination in
25		the sale or rental of housing, when closed meetings are
26		authorized by the law or ordinance prescribing fair housing

SB0690 Enrolled - 325 - LRB101 04451 HLH 49459 b
1		practices and creating a commission or administrative
2		agency for their enforcement.
3		(14) Informant sources, the hiring or assignment of
4		undercover personnel or equipment, or ongoing, prior or
5		future criminal investigations, when discussed by a public
6		body with criminal investigatory responsibilities.
7		(15) Professional ethics or performance when
8		considered by an advisory body appointed to advise a
9		licensing or regulatory agency on matters germane to the
10		advisory body's field of competence.
11		(16) Self evaluation, practices and procedures or
12		professional ethics, when meeting with a representative of
13		a statewide association of which the public body is a
14		member.
15		(17) The recruitment, credentialing, discipline or
16		formal peer review of physicians or other health care
17		professionals, or for the discussion of matters protected
18		under the federal Patient Safety and Quality Improvement
19		Act of 2005, and the regulations promulgated thereunder,
20		including 42 C.F.R. Part 3 (73 FR 70732), or the federal
21		Health Insurance Portability and Accountability Act of
22		1996, and the regulations promulgated thereunder,
23		including 45 C.F.R. Parts 160, 162, and 164, by a hospital,
24		or other institution providing medical care, that is
25		operated by the public body.
26		(18) Deliberations for decisions of the Prisoner

SB0690 Enrolled - 326 - LRB101 04451 HLH 49459 b
1		Review Board.
2		(19) Review or discussion of applications received
3		under the Experimental Organ Transplantation Procedures
4		Act.
5		(20) The classification and discussion of matters
6		classified as confidential or continued confidential by
7		the State Government Suggestion Award Board.
8		(21) Discussion of minutes of meetings lawfully closed
9		under this Act, whether for purposes of approval by the
10		body of the minutes or semi-annual review of the minutes as
11		mandated by Section 2.06.
12		(22) Deliberations for decisions of the State
13		Emergency Medical Services Disciplinary Review Board.
14		(23) The operation by a municipality of a municipal
15		utility or the operation of a municipal power agency or
16		municipal natural gas agency when the discussion involves
17		(i) contracts relating to the purchase, sale, or delivery
18		of electricity or natural gas or (ii) the results or
19		conclusions of load forecast studies.
20		(24) Meetings of a residential health care facility
21		resident sexual assault and death review team or the
22		Executive Council under the Abuse Prevention Review Team
23		Act.
24		(25) Meetings of an independent team of experts under
25		Brian's Law.
26		(26) Meetings of a mortality review team appointed

SB0690 Enrolled - 327 - LRB101 04451 HLH 49459 b
1		under the Department of Juvenile Justice Mortality Review
2		Team Act.
3		(27) (Blank).
4		(28) Correspondence and records (i) that may not be
5		disclosed under Section 11-9 of the Illinois Public Aid
6		Code or (ii) that pertain to appeals under Section 11-8 of
7		the Illinois Public Aid Code.
8		(29) Meetings between internal or external auditors
9		and governmental audit committees, finance committees, and
10		their equivalents, when the discussion involves internal
11		control weaknesses, identification of potential fraud risk
12		areas, known or suspected frauds, and fraud interviews
13		conducted in accordance with generally accepted auditing
14		standards of the United States of America.
15		(30) Those meetings or portions of meetings of a
16		fatality review team or the Illinois Fatality Review Team
17		Advisory Council during which a review of the death of an
18		eligible adult in which abuse or neglect is suspected,
19		alleged, or substantiated is conducted pursuant to Section
20		15 of the Adult Protective Services Act.
21		(31) Meetings and deliberations for decisions of the
22		Concealed Carry Licensing Review Board under the Firearm
23		Concealed Carry Act.
24		(32) Meetings between the Regional Transportation
25		Authority Board and its Service Boards when the discussion
26		involves review by the Regional Transportation Authority

SB0690 Enrolled - 328 - LRB101 04451 HLH 49459 b
1		Board of employment contracts under Section 28d of the
2		Metropolitan Transit Authority Act and Sections 3A.18 and
3		3B.26 of the Regional Transportation Authority Act.
4		(33) Those meetings or portions of meetings of the
5		advisory committee and peer review subcommittee created
6		under Section 320 of the Illinois Controlled Substances Act
7		during which specific controlled substance prescriber,
8		dispenser, or patient information is discussed.
9		(34) Meetings of the Tax Increment Financing Reform
10		Task Force under Section 2505-800 of the Department of
11		Revenue Law of the Civil Administrative Code of Illinois.
12		(35) Meetings of the group established to discuss
13		Medicaid capitation rates under Section 5-30.8 of the
14		Illinois Public Aid Code.
15		(36) Those deliberations or portions of deliberations
16		for decisions of the Illinois Gaming Board in which there
17		is discussed any of the following: (i) personal,
18		commercial, financial, or other information obtained from
19		any source that is privileged, proprietary, confidential,
20		or a trade secret; or (ii) information specifically
21		exempted from the disclosure by federal or State law.
22		(d) Definitions. For purposes of this Section:
23		"Employee" means a person employed by a public body whose
24		relationship with the public body constitutes an
25		employer-employee relationship under the usual common law
26		rules, and who is not an independent contractor.

SB0690 Enrolled - 329 - LRB101 04451 HLH 49459 b
1		"Public office" means a position created by or under the
2		Constitution or laws of this State, the occupant of which is
3		charged with the exercise of some portion of the sovereign
4		power of this State. The term "public office" shall include
5		members of the public body, but it shall not include
6		organizational positions filled by members thereof, whether
7		established by law or by a public body itself, that exist to
8		assist the body in the conduct of its business.
9		"Quasi-adjudicative body" means an administrative body
10		charged by law or ordinance with the responsibility to conduct
11		hearings, receive evidence or testimony and make
12		determinations based thereon, but does not include local
13		electoral boards when such bodies are considering petition
14		challenges.
15		(e) Final action. No final action may be taken at a closed
16		meeting. Final action shall be preceded by a public recital of
17		the nature of the matter being considered and other information
18		that will inform the public of the business being conducted.
19		(Source: P.A. 99-78, eff. 7-20-15; 99-235, eff. 1-1-16; 99-480,
20		eff. 9-9-15; 99-642, eff. 7-28-16; 99-646, eff. 7-28-16;
21		99-687, eff. 1-1-17; 100-201, eff. 8-18-17; 100-465, eff.
22		8-31-17; 100-646, eff. 7-27-18.)
23		Section 35-10. The State Officials and Employees Ethics Act
24		is amended by changing Section 5-45 as follows:

SB0690 Enrolled - 330 - LRB101 04451 HLH 49459 b
1		(5 ILCS 430/5-45)
2		Sec. 5-45. Procurement; revolving door prohibition.
3		(a) No former officer, member, or State employee, or spouse
4		or immediate family member living with such person, shall,
5		within a period of one year immediately after termination of
6		State employment, knowingly accept employment or receive
7		compensation or fees for services from a person or entity if
8		the officer, member, or State employee, during the year
9		immediately preceding termination of State employment,
10		participated personally and substantially in the award of State
11		contracts, or the issuance of State contract change orders,
12		with a cumulative value of $25,000 or more to the person or
13		entity, or its parent or subsidiary.
14		(a-5) No officer, member, or spouse or immediate family
15		member living with such person shall, during the officer or
16		member's term in office or within a period of 2 years
17		immediately leaving office, hold an ownership interest, other
18		than a passive interest in a publicly traded company, in any
19		gaming license under the Illinois Gambling Act, the Video
20		Gaming Act, the Illinois Horse Racing Act of 1975, or the
21		Sports Wagering Act. Any member of the General Assembly or
22		spouse or immediate family member living with such person who
23		has an ownership interest, other than a passive interest in a
24		publicly traded company, in any gaming license under the
25		Illinois Gambling Act, the Illinois Horse Racing Act of 1975,
26		the Video Gaming Act, or the Sports Wagering Act at the time of

SB0690 Enrolled - 331 - LRB101 04451 HLH 49459 b
1		the effective date of this amendatory Act of the 101st General
2		Assembly shall divest himself or herself of such ownership
3		within one year after the effective date of this amendatory Act
4		of the 101st General Assembly. No State employee who works for
5		the Illinois Gaming Board or Illinois Racing Board or spouse or
6		immediate family member living with such person shall, during
7		State employment or within a period of 2 years immediately
8		after termination of State employment, hold an ownership
9		interest, other than a passive interest in a publicly traded
10		company, in any gaming license under the Illinois Gambling Act,
11		the Video Gaming Act, the Illinois Horse Racing Act of 1975, or
12		the Sports Wagering Act.
13		(b) No former officer of the executive branch or State
14		employee of the executive branch with regulatory or licensing
15		authority, or spouse or immediate family member living with
16		such person, shall, within a period of one year immediately
17		after termination of State employment, knowingly accept
18		employment or receive compensation or fees for services from a
19		person or entity if the officer or State employee, during the
20		year immediately preceding termination of State employment,
21		participated personally and substantially in making a
22		regulatory or licensing decision that directly applied to the
23		person or entity, or its parent or subsidiary.
24		(c) Within 6 months after the effective date of this
25		amendatory Act of the 96th General Assembly, each executive
26		branch constitutional officer and legislative leader, the

SB0690 Enrolled - 332 - LRB101 04451 HLH 49459 b
1		Auditor General, and the Joint Committee on Legislative Support
2		Services shall adopt a policy delineating which State positions
3		under his or her jurisdiction and control, by the nature of
4		their duties, may have the authority to participate personally
5		and substantially in the award of State contracts or in
6		regulatory or licensing decisions. The Governor shall adopt
7		such a policy for all State employees of the executive branch
8		not under the jurisdiction and control of any other executive
9		branch constitutional officer.
10		The policies required under subsection (c) of this Section
11		shall be filed with the appropriate ethics commission
12		established under this Act or, for the Auditor General, with
13		the Office of the Auditor General.
14		(d) Each Inspector General shall have the authority to
15		determine that additional State positions under his or her
16		jurisdiction, not otherwise subject to the policies required by
17		subsection (c) of this Section, are nonetheless subject to the
18		notification requirement of subsection (f) below due to their
19		involvement in the award of State contracts or in regulatory or
20		licensing decisions.
21		(e) The Joint Committee on Legislative Support Services,
22		the Auditor General, and each of the executive branch
23		constitutional officers and legislative leaders subject to
24		subsection (c) of this Section shall provide written
25		notification to all employees in positions subject to the
26		policies required by subsection (c) or a determination made

SB0690 Enrolled - 333 - LRB101 04451 HLH 49459 b
1		under subsection (d): (1) upon hiring, promotion, or transfer
2		into the relevant position; and (2) at the time the employee's
3		duties are changed in such a way as to qualify that employee.
4		An employee receiving notification must certify in writing that
5		the person was advised of the prohibition and the requirement
6		to notify the appropriate Inspector General in subsection (f).
7		(f) Any State employee in a position subject to the
8		policies required by subsection (c) or to a determination under
9		subsection (d), but who does not fall within the prohibition of
10		subsection (h) below, who is offered non-State employment
11		during State employment or within a period of one year
12		immediately after termination of State employment shall, prior
13		to accepting such non-State employment, notify the appropriate
14		Inspector General. Within 10 calendar days after receiving
15		notification from an employee in a position subject to the
16		policies required by subsection (c), such Inspector General
17		shall make a determination as to whether the State employee is
18		restricted from accepting such employment by subsection (a) or
19		(b). In making a determination, in addition to any other
20		relevant information, an Inspector General shall assess the
21		effect of the prospective employment or relationship upon
22		decisions referred to in subsections (a) and (b), based on the
23		totality of the participation by the former officer, member, or
24		State employee in those decisions. A determination by an
25		Inspector General must be in writing, signed and dated by the
26		Inspector General, and delivered to the subject of the

SB0690 Enrolled - 334 - LRB101 04451 HLH 49459 b
1		determination within 10 calendar days or the person is deemed
2		eligible for the employment opportunity. For purposes of this
3		subsection, "appropriate Inspector General" means (i) for
4		members and employees of the legislative branch, the
5		Legislative Inspector General; (ii) for the Auditor General and
6		employees of the Office of the Auditor General, the Inspector
7		General provided for in Section 30-5 of this Act; and (iii) for
8		executive branch officers and employees, the Inspector General
9		having jurisdiction over the officer or employee. Notice of any
10		determination of an Inspector General and of any such appeal
11		shall be given to the ultimate jurisdictional authority, the
12		Attorney General, and the Executive Ethics Commission.
13		(g) An Inspector General's determination regarding
14		restrictions under subsection (a) or (b) may be appealed to the
15		appropriate Ethics Commission by the person subject to the
16		decision or the Attorney General no later than the 10th
17		calendar day after the date of the determination.
18		On appeal, the Ethics Commission or Auditor General shall
19		seek, accept, and consider written public comments regarding a
20		determination. In deciding whether to uphold an Inspector
21		General's determination, the appropriate Ethics Commission or
22		Auditor General shall assess, in addition to any other relevant
23		information, the effect of the prospective employment or
24		relationship upon the decisions referred to in subsections (a)
25		and (b), based on the totality of the participation by the
26		former officer, member, or State employee in those decisions.

SB0690 Enrolled - 335 - LRB101 04451 HLH 49459 b
1		The Ethics Commission shall decide whether to uphold an
2		Inspector General's determination within 10 calendar days or
3		the person is deemed eligible for the employment opportunity.
4		(h) The following officers, members, or State employees
5		shall not, within a period of one year immediately after
6		termination of office or State employment, knowingly accept
7		employment or receive compensation or fees for services from a
8		person or entity if the person or entity or its parent or
9		subsidiary, during the year immediately preceding termination
10		of State employment, was a party to a State contract or
11		contracts with a cumulative value of $25,000 or more involving
12		the officer, member, or State employee's State agency, or was
13		the subject of a regulatory or licensing decision involving the
14		officer, member, or State employee's State agency, regardless
15		of whether he or she participated personally and substantially
16		in the award of the State contract or contracts or the making
17		of the regulatory or licensing decision in question:
18		(1) members or officers;
19		(2) members of a commission or board created by the
20		Illinois Constitution;
21		(3) persons whose appointment to office is subject to
22		the advice and consent of the Senate;
23		(4) the head of a department, commission, board,
24		division, bureau, authority, or other administrative unit
25		within the government of this State;
26		(5) chief procurement officers, State purchasing

SB0690 Enrolled - 336 - LRB101 04451 HLH 49459 b
1		officers, and their designees whose duties are directly
2		related to State procurement; and
3		(6) chiefs of staff, deputy chiefs of staff, associate
4		chiefs of staff, assistant chiefs of staff, and deputy
5		governors; .
6		(7) employees of the Illinois Racing Board; and
7		(8) employees of the Illinois Gaming Board.
8		(i) For the purposes of this Section, with respect to
9		officers or employees of a regional transit board, as defined
10		in this Act, the phrase "person or entity" does not include:
11		(i) the United States government, (ii) the State, (iii)
12		municipalities, as defined under Article VII, Section 1 of the
13		Illinois Constitution, (iv) units of local government, as
14		defined under Article VII, Section 1 of the Illinois
15		Constitution, or (v) school districts.
16		(Source: P.A. 96-555, eff. 8-18-09; 97-653, eff. 1-13-12.)
17		Section 35-15. The Alcoholism and Other Drug Abuse and
18		Dependency Act is amended by changing Section 5-20 as follows:
19		(20 ILCS 301/5-20)
20		Sec. 5-20. Gambling disorders.
21		(a) Subject to appropriation, the Department shall
22		establish a program for public education, research, and
23		training regarding gambling disorders and the treatment and
24		prevention of gambling disorders. Subject to specific

SB0690 Enrolled - 337 - LRB101 04451 HLH 49459 b
1		appropriation for these stated purposes, the program must
2		include all of the following:
3		(1) Establishment and maintenance of a toll-free "800"
4		telephone number to provide crisis counseling and referral
5		services to families experiencing difficulty as a result of
6		gambling disorders.
7		(2) Promotion of public awareness regarding the
8		recognition and prevention of gambling disorders.
9		(3) Facilitation, through in-service training and
10		other means, of the availability of effective assistance
11		programs for gambling disorders.
12		(4) Conducting studies to identify adults and
13		juveniles in this State who have, or who are at risk of
14		developing, gambling disorders.
15		(b) Subject to appropriation, the Department shall either
16		establish and maintain the program or contract with a private
17		or public entity for the establishment and maintenance of the
18		program. Subject to appropriation, either the Department or the
19		private or public entity shall implement the toll-free
20		telephone number, promote public awareness, and conduct
21		in-service training concerning gambling disorders.
22		(c) Subject to appropriation, the Department shall produce
23		and supply the signs specified in Section 10.7 of the Illinois
24		Lottery Law, Section 34.1 of the Illinois Horse Racing Act of
25		1975, Section 4.3 of the Bingo License and Tax Act, Section 8.1
26		of the Charitable Games Act, and Section 13.1 of the Illinois

SB0690 Enrolled - 338 - LRB101 04451 HLH 49459 b
1		Riverboat Gambling Act.
2		(Source: P.A. 100-759, eff. 1-1-19.)
3		Section 35-20. The Illinois Lottery Law is amended by
4		changing Section 9.1 as follows:
5		(20 ILCS 1605/9.1)
6		Sec. 9.1. Private manager and management agreement.
7		(a) As used in this Section:
8		"Offeror" means a person or group of persons that responds
9		to a request for qualifications under this Section.
10		"Request for qualifications" means all materials and
11		documents prepared by the Department to solicit the following
12		from offerors:
13		(1) Statements of qualifications.
14		(2) Proposals to enter into a management agreement,
15		including the identity of any prospective vendor or vendors
16		that the offeror intends to initially engage to assist the
17		offeror in performing its obligations under the management
18		agreement.
19		"Final offer" means the last proposal submitted by an
20		offeror in response to the request for qualifications,
21		including the identity of any prospective vendor or vendors
22		that the offeror intends to initially engage to assist the
23		offeror in performing its obligations under the management
24		agreement.

SB0690 Enrolled - 339 - LRB101 04451 HLH 49459 b
1		"Final offeror" means the offeror ultimately selected by
2		the Governor to be the private manager for the Lottery under
3		subsection (h) of this Section.
4		(b) By September 15, 2010, the Governor shall select a
5		private manager for the total management of the Lottery with
6		integrated functions, such as lottery game design, supply of
7		goods and services, and advertising and as specified in this
8		Section.
9		(c) Pursuant to the terms of this subsection, the
10		Department shall endeavor to expeditiously terminate the
11		existing contracts in support of the Lottery in effect on the
12		effective date of this amendatory Act of the 96th General
13		Assembly in connection with the selection of the private
14		manager. As part of its obligation to terminate these contracts
15		and select the private manager, the Department shall establish
16		a mutually agreeable timetable to transfer the functions of
17		existing contractors to the private manager so that existing
18		Lottery operations are not materially diminished or impaired
19		during the transition. To that end, the Department shall do the
20		following:
21		(1) where such contracts contain a provision
22		authorizing termination upon notice, the Department shall
23		provide notice of termination to occur upon the mutually
24		agreed timetable for transfer of functions;
25		(2) upon the expiration of any initial term or renewal
26		term of the current Lottery contracts, the Department shall

SB0690 Enrolled - 340 - LRB101 04451 HLH 49459 b
1		not renew such contract for a term extending beyond the
2		mutually agreed timetable for transfer of functions; or
3		(3) in the event any current contract provides for
4		termination of that contract upon the implementation of a
5		contract with the private manager, the Department shall
6		perform all necessary actions to terminate the contract on
7		the date that coincides with the mutually agreed timetable
8		for transfer of functions.
9		If the contracts to support the current operation of the
10		Lottery in effect on the effective date of this amendatory Act
11		of the 96th General Assembly are not subject to termination as
12		provided for in this subsection (c), then the Department may
13		include a provision in the contract with the private manager
14		specifying a mutually agreeable methodology for incorporation.
15		(c-5) The Department shall include provisions in the
16		management agreement whereby the private manager shall, for a
17		fee, and pursuant to a contract negotiated with the Department
18		(the "Employee Use Contract"), utilize the services of current
19		Department employees to assist in the administration and
20		operation of the Lottery. The Department shall be the employer
21		of all such bargaining unit employees assigned to perform such
22		work for the private manager, and such employees shall be State
23		employees, as defined by the Personnel Code. Department
24		employees shall operate under the same employment policies,
25		rules, regulations, and procedures, as other employees of the
26		Department. In addition, neither historical representation

SB0690 Enrolled - 341 - LRB101 04451 HLH 49459 b
1		rights under the Illinois Public Labor Relations Act, nor
2		existing collective bargaining agreements, shall be disturbed
3		by the management agreement with the private manager for the
4		management of the Lottery.
5		(d) The management agreement with the private manager shall
6		include all of the following:
7		(1) A term not to exceed 10 years, including any
8		renewals.
9		(2) A provision specifying that the Department:
10		(A) shall exercise actual control over all
11		significant business decisions;
12		(A-5) has the authority to direct or countermand
13		operating decisions by the private manager at any time;
14		(B) has ready access at any time to information
15		regarding Lottery operations;
16		(C) has the right to demand and receive information
17		from the private manager concerning any aspect of the
18		Lottery operations at any time; and
19		(D) retains ownership of all trade names,
20		trademarks, and intellectual property associated with
21		the Lottery.
22		(3) A provision imposing an affirmative duty on the
23		private manager to provide the Department with material
24		information and with any information the private manager
25		reasonably believes the Department would want to know to
26		enable the Department to conduct the Lottery.

SB0690 Enrolled - 342 - LRB101 04451 HLH 49459 b
1		(4) A provision requiring the private manager to
2		provide the Department with advance notice of any operating
3		decision that bears significantly on the public interest,
4		including, but not limited to, decisions on the kinds of
5		games to be offered to the public and decisions affecting
6		the relative risk and reward of the games being offered, so
7		the Department has a reasonable opportunity to evaluate and
8		countermand that decision.
9		(5) A provision providing for compensation of the
10		private manager that may consist of, among other things, a
11		fee for services and a performance based bonus as
12		consideration for managing the Lottery, including terms
13		that may provide the private manager with an increase in
14		compensation if Lottery revenues grow by a specified
15		percentage in a given year.
16		(6) (Blank).
17		(7) A provision requiring the deposit of all Lottery
18		proceeds to be deposited into the State Lottery Fund except
19		as otherwise provided in Section 20 of this Act.
20		(8) A provision requiring the private manager to locate
21		its principal office within the State.
22		(8-5) A provision encouraging that at least 20% of the
23		cost of contracts entered into for goods and services by
24		the private manager in connection with its management of
25		the Lottery, other than contracts with sales agents or
26		technical advisors, be awarded to businesses that are a

SB0690 Enrolled - 343 - LRB101 04451 HLH 49459 b
1		minority-owned business, a women-owned business, or a
2		business owned by a person with disability, as those terms
3		are defined in the Business Enterprise for Minorities,
4		Women, and Persons with Disabilities Act.
5		(9) A requirement that so long as the private manager
6		complies with all the conditions of the agreement under the
7		oversight of the Department, the private manager shall have
8		the following duties and obligations with respect to the
9		management of the Lottery:
10		(A) The right to use equipment and other assets
11		used in the operation of the Lottery.
12		(B) The rights and obligations under contracts
13		with retailers and vendors.
14		(C) The implementation of a comprehensive security
15		program by the private manager.
16		(D) The implementation of a comprehensive system
17		of internal audits.
18		(E) The implementation of a program by the private
19		manager to curb compulsive gambling by persons playing
20		the Lottery.
21		(F) A system for determining (i) the type of
22		Lottery games, (ii) the method of selecting winning
23		tickets, (iii) the manner of payment of prizes to
24		holders of winning tickets, (iv) the frequency of
25		drawings of winning tickets, (v) the method to be used
26		in selling tickets, (vi) a system for verifying the

SB0690 Enrolled - 344 - LRB101 04451 HLH 49459 b
1		validity of tickets claimed to be winning tickets,
2		(vii) the basis upon which retailer commissions are
3		established by the manager, and (viii) minimum
4		payouts.
5		(10) A requirement that advertising and promotion must
6		be consistent with Section 7.8a of this Act.
7		(11) A requirement that the private manager market the
8		Lottery to those residents who are new, infrequent, or
9		lapsed players of the Lottery, especially those who are
10		most likely to make regular purchases on the Internet as
11		permitted by law.
12		(12) A code of ethics for the private manager's
13		officers and employees.
14		(13) A requirement that the Department monitor and
15		oversee the private manager's practices and take action
16		that the Department considers appropriate to ensure that
17		the private manager is in compliance with the terms of the
18		management agreement, while allowing the manager, unless
19		specifically prohibited by law or the management
20		agreement, to negotiate and sign its own contracts with
21		vendors.
22		(14) A provision requiring the private manager to
23		periodically file, at least on an annual basis, appropriate
24		financial statements in a form and manner acceptable to the
25		Department.
26		(15) Cash reserves requirements.

SB0690 Enrolled - 345 - LRB101 04451 HLH 49459 b
1		(16) Procedural requirements for obtaining the prior
2		approval of the Department when a management agreement or
3		an interest in a management agreement is sold, assigned,
4		transferred, or pledged as collateral to secure financing.
5		(17) Grounds for the termination of the management
6		agreement by the Department or the private manager.
7		(18) Procedures for amendment of the agreement.
8		(19) A provision requiring the private manager to
9		engage in an open and competitive bidding process for any
10		procurement having a cost in excess of $50,000 that is not
11		a part of the private manager's final offer. The process
12		shall favor the selection of a vendor deemed to have
13		submitted a proposal that provides the Lottery with the
14		best overall value. The process shall not be subject to the
15		provisions of the Illinois Procurement Code, unless
16		specifically required by the management agreement.
17		(20) The transition of rights and obligations,
18		including any associated equipment or other assets used in
19		the operation of the Lottery, from the manager to any
20		successor manager of the lottery, including the
21		Department, following the termination of or foreclosure
22		upon the management agreement.
23		(21) Right of use of copyrights, trademarks, and
24		service marks held by the Department in the name of the
25		State. The agreement must provide that any use of them by
26		the manager shall only be for the purpose of fulfilling its

SB0690 Enrolled - 346 - LRB101 04451 HLH 49459 b
1		obligations under the management agreement during the term
2		of the agreement.
3		(22) The disclosure of any information requested by the
4		Department to enable it to comply with the reporting
5		requirements and information requests provided for under
6		subsection (p) of this Section.
7		(e) Notwithstanding any other law to the contrary, the
8		Department shall select a private manager through a competitive
9		request for qualifications process consistent with Section
10		20-35 of the Illinois Procurement Code, which shall take into
11		account:
12		(1) the offeror's ability to market the Lottery to
13		those residents who are new, infrequent, or lapsed players
14		of the Lottery, especially those who are most likely to
15		make regular purchases on the Internet;
16		(2) the offeror's ability to address the State's
17		concern with the social effects of gambling on those who
18		can least afford to do so;
19		(3) the offeror's ability to provide the most
20		successful management of the Lottery for the benefit of the
21		people of the State based on current and past business
22		practices or plans of the offeror; and
23		(4) the offeror's poor or inadequate past performance
24		in servicing, equipping, operating or managing a lottery on
25		behalf of Illinois, another State or foreign government and
26		attracting persons who are not currently regular players of

SB0690 Enrolled - 347 - LRB101 04451 HLH 49459 b
1		a lottery.
2		(f) The Department may retain the services of an advisor or
3		advisors with significant experience in financial services or
4		the management, operation, and procurement of goods, services,
5		and equipment for a government-run lottery to assist in the
6		preparation of the terms of the request for qualifications and
7		selection of the private manager. Any prospective advisor
8		seeking to provide services under this subsection (f) shall
9		disclose any material business or financial relationship
10		during the past 3 years with any potential offeror, or with a
11		contractor or subcontractor presently providing goods,
12		services, or equipment to the Department to support the
13		Lottery. The Department shall evaluate the material business or
14		financial relationship of each prospective advisor. The
15		Department shall not select any prospective advisor with a
16		substantial business or financial relationship that the
17		Department deems to impair the objectivity of the services to
18		be provided by the prospective advisor. During the course of
19		the advisor's engagement by the Department, and for a period of
20		one year thereafter, the advisor shall not enter into any
21		business or financial relationship with any offeror or any
22		vendor identified to assist an offeror in performing its
23		obligations under the management agreement. Any advisor
24		retained by the Department shall be disqualified from being an
25		offeror. The Department shall not include terms in the request
26		for qualifications that provide a material advantage whether

SB0690 Enrolled - 348 - LRB101 04451 HLH 49459 b
1		directly or indirectly to any potential offeror, or any
2		contractor or subcontractor presently providing goods,
3		services, or equipment to the Department to support the
4		Lottery, including terms contained in previous responses to
5		requests for proposals or qualifications submitted to
6		Illinois, another State or foreign government when those terms
7		are uniquely associated with a particular potential offeror,
8		contractor, or subcontractor. The request for proposals
9		offered by the Department on December 22, 2008 as
10		"LOT08GAMESYS" and reference number "22016176" is declared
11		void.
12		(g) The Department shall select at least 2 offerors as
13		finalists to potentially serve as the private manager no later
14		than August 9, 2010. Upon making preliminary selections, the
15		Department shall schedule a public hearing on the finalists'
16		proposals and provide public notice of the hearing at least 7
17		calendar days before the hearing. The notice must include all
18		of the following:
19		(1) The date, time, and place of the hearing.
20		(2) The subject matter of the hearing.
21		(3) A brief description of the management agreement to
22		be awarded.
23		(4) The identity of the offerors that have been
24		selected as finalists to serve as the private manager.
25		(5) The address and telephone number of the Department.
26		(h) At the public hearing, the Department shall (i) provide

SB0690 Enrolled - 349 - LRB101 04451 HLH 49459 b
1		sufficient time for each finalist to present and explain its
2		proposal to the Department and the Governor or the Governor's
3		designee, including an opportunity to respond to questions
4		posed by the Department, Governor, or designee and (ii) allow
5		the public and non-selected offerors to comment on the
6		presentations. The Governor or a designee shall attend the
7		public hearing. After the public hearing, the Department shall
8		have 14 calendar days to recommend to the Governor whether a
9		management agreement should be entered into with a particular
10		finalist. After reviewing the Department's recommendation, the
11		Governor may accept or reject the Department's recommendation,
12		and shall select a final offeror as the private manager by
13		publication of a notice in the Illinois Procurement Bulletin on
14		or before September 15, 2010. The Governor shall include in the
15		notice a detailed explanation and the reasons why the final
16		offeror is superior to other offerors and will provide
17		management services in a manner that best achieves the
18		objectives of this Section. The Governor shall also sign the
19		management agreement with the private manager.
20		(i) Any action to contest the private manager selected by
21		the Governor under this Section must be brought within 7
22		calendar days after the publication of the notice of the
23		designation of the private manager as provided in subsection
24		(h) of this Section.
25		(j) The Lottery shall remain, for so long as a private
26		manager manages the Lottery in accordance with provisions of

SB0690 Enrolled - 350 - LRB101 04451 HLH 49459 b
1		this Act, a Lottery conducted by the State, and the State shall
2		not be authorized to sell or transfer the Lottery to a third
3		party.
4		(k) Any tangible personal property used exclusively in
5		connection with the lottery that is owned by the Department and
6		leased to the private manager shall be owned by the Department
7		in the name of the State and shall be considered to be public
8		property devoted to an essential public and governmental
9		function.
10		(l) The Department may exercise any of its powers under
11		this Section or any other law as necessary or desirable for the
12		execution of the Department's powers under this Section.
13		(m) Neither this Section nor any management agreement
14		entered into under this Section prohibits the General Assembly
15		from authorizing forms of gambling that are not in direct
16		competition with the Lottery. The forms of gambling authorized
17		by this amendatory Act of the 101st General Assembly constitute
18		authorized forms of gambling that are not in direct competition
19		with the Lottery.
20		(n) The private manager shall be subject to a complete
21		investigation in the third, seventh, and tenth years of the
22		agreement (if the agreement is for a 10-year term) by the
23		Department in cooperation with the Auditor General to determine
24		whether the private manager has complied with this Section and
25		the management agreement. The private manager shall bear the
26		cost of an investigation or reinvestigation of the private

SB0690 Enrolled - 351 - LRB101 04451 HLH 49459 b
1		manager under this subsection.
2		(o) The powers conferred by this Section are in addition
3		and supplemental to the powers conferred by any other law. If
4		any other law or rule is inconsistent with this Section,
5		including, but not limited to, provisions of the Illinois
6		Procurement Code, then this Section controls as to any
7		management agreement entered into under this Section. This
8		Section and any rules adopted under this Section contain full
9		and complete authority for a management agreement between the
10		Department and a private manager. No law, procedure,
11		proceeding, publication, notice, consent, approval, order, or
12		act by the Department or any other officer, Department, agency,
13		or instrumentality of the State or any political subdivision is
14		required for the Department to enter into a management
15		agreement under this Section. This Section contains full and
16		complete authority for the Department to approve any contracts
17		entered into by a private manager with a vendor providing
18		goods, services, or both goods and services to the private
19		manager under the terms of the management agreement, including
20		subcontractors of such vendors.
21		Upon receipt of a written request from the Chief
22		Procurement Officer, the Department shall provide to the Chief
23		Procurement Officer a complete and un-redacted copy of the
24		management agreement or any contract that is subject to the
25		Department's approval authority under this subsection (o). The
26		Department shall provide a copy of the agreement or contract to

SB0690 Enrolled - 352 - LRB101 04451 HLH 49459 b
1		the Chief Procurement Officer in the time specified by the
2		Chief Procurement Officer in his or her written request, but no
3		later than 5 business days after the request is received by the
4		Department. The Chief Procurement Officer must retain any
5		portions of the management agreement or of any contract
6		designated by the Department as confidential, proprietary, or
7		trade secret information in complete confidence pursuant to
8		subsection (g) of Section 7 of the Freedom of Information Act.
9		The Department shall also provide the Chief Procurement Officer
10		with reasonable advance written notice of any contract that is
11		pending Department approval.
12		Notwithstanding any other provision of this Section to the
13		contrary, the Chief Procurement Officer shall adopt
14		administrative rules, including emergency rules, to establish
15		a procurement process to select a successor private manager if
16		a private management agreement has been terminated. The
17		selection process shall at a minimum take into account the
18		criteria set forth in items (1) through (4) of subsection (e)
19		of this Section and may include provisions consistent with
20		subsections (f), (g), (h), and (i) of this Section. The Chief
21		Procurement Officer shall also implement and administer the
22		adopted selection process upon the termination of a private
23		management agreement. The Department, after the Chief
24		Procurement Officer certifies that the procurement process has
25		been followed in accordance with the rules adopted under this
26		subsection (o), shall select a final offeror as the private

SB0690 Enrolled - 353 - LRB101 04451 HLH 49459 b
1		manager and sign the management agreement with the private
2		manager.
3		Except as provided in Sections 21.5, 21.6, 21.7, 21.8,
4		21.9, and 21.10, and 21.11, 21.10 the Department shall
5		distribute all proceeds of lottery tickets and shares sold in
6		the following priority and manner:
7		(1) The payment of prizes and retailer bonuses.
8		(2) The payment of costs incurred in the operation and
9		administration of the Lottery, including the payment of
10		sums due to the private manager under the management
11		agreement with the Department.
12		(3) On the last day of each month or as soon thereafter
13		as possible, the State Comptroller shall direct and the
14		State Treasurer shall transfer from the State Lottery Fund
15		to the Common School Fund an amount that is equal to the
16		proceeds transferred in the corresponding month of fiscal
17		year 2009, as adjusted for inflation, to the Common School
18		Fund.
19		(4) On or before September 30 of each fiscal year,
20		deposit any estimated remaining proceeds from the prior
21		fiscal year, subject to payments under items (1), (2), and
22		(3), into the Capital Projects Fund. Beginning in fiscal
23		year 2019, the amount deposited shall be increased or
24		decreased each year by the amount the estimated payment
25		differs from the amount determined from each year-end
26		financial audit. Only remaining net deficits from prior

SB0690 Enrolled - 354 - LRB101 04451 HLH 49459 b
1		fiscal years may reduce the requirement to deposit these
2		funds, as determined by the annual financial audit.
3		(p) The Department shall be subject to the following
4		reporting and information request requirements:
5		(1) the Department shall submit written quarterly
6		reports to the Governor and the General Assembly on the
7		activities and actions of the private manager selected
8		under this Section;
9		(2) upon request of the Chief Procurement Officer, the
10		Department shall promptly produce information related to
11		the procurement activities of the Department and the
12		private manager requested by the Chief Procurement
13		Officer; the Chief Procurement Officer must retain
14		confidential, proprietary, or trade secret information
15		designated by the Department in complete confidence
16		pursuant to subsection (g) of Section 7 of the Freedom of
17		Information Act; and
18		(3) at least 30 days prior to the beginning of the
19		Department's fiscal year, the Department shall prepare an
20		annual written report on the activities of the private
21		manager selected under this Section and deliver that report
22		to the Governor and General Assembly.
23		(Source: P.A. 99-933, eff. 1-27-17; 100-391, eff. 8-25-17;
24		100-587, eff. 6-4-18; 100-647, eff. 7-30-18; 100-1068, eff.
25		8-24-18; revised 9-20-18.)

SB0690 Enrolled - 355 - LRB101 04451 HLH 49459 b
1		Section 35-25. The Department of Revenue Law of the Civil
2		Administrative Code of Illinois is amended by changing Section
3		2505-305 as follows:
4		(20 ILCS 2505/2505-305) (was 20 ILCS 2505/39b15.1)
5		Sec. 2505-305. Investigators.
6		(a) The Department has the power to appoint investigators
7		to conduct all investigations, searches, seizures, arrests,
8		and other duties imposed under the provisions of any law
9		administered by the Department. Except as provided in
10		subsection (c), these investigators have and may exercise all
11		the powers of peace officers solely for the purpose of
12		enforcing taxing measures administered by the Department.
13		(b) The Director must authorize to each investigator
14		employed under this Section and to any other employee of the
15		Department exercising the powers of a peace officer a distinct
16		badge that, on its face, (i) clearly states that the badge is
17		authorized by the Department and (ii) contains a unique
18		identifying number. No other badge shall be authorized by the
19		Department.
20		(c) The Department may enter into agreements with the
21		Illinois Gaming Board providing that investigators appointed
22		under this Section shall exercise the peace officer powers set
23		forth in paragraph (20.6) of subsection (c) of Section 5 of the
24		Illinois Riverboat Gambling Act.
25		(Source: P.A. 96-37, eff. 7-13-09.)

SB0690 Enrolled - 356 - LRB101 04451 HLH 49459 b
1		Section 35-30. The State Finance Act is amended by changing
2		Section 6z-45 as follows:
3		(30 ILCS 105/6z-45)
4		Sec. 6z-45. The School Infrastructure Fund.
5		(a) The School Infrastructure Fund is created as a special
6		fund in the State Treasury.
7		In addition to any other deposits authorized by law,
8		beginning January 1, 2000, on the first day of each month, or
9		as soon thereafter as may be practical, the State Treasurer and
10		State Comptroller shall transfer the sum of $5,000,000 from the
11		General Revenue Fund to the School Infrastructure Fund, except
12		that, notwithstanding any other provision of law, and in
13		addition to any other transfers that may be provided for by
14		law, before June 30, 2012, the Comptroller and the Treasurer
15		shall transfer $45,000,000 from the General Revenue Fund into
16		the School Infrastructure Fund, and, for fiscal year 2013 only,
17		the Treasurer and the Comptroller shall transfer $1,250,000
18		from the General Revenue Fund to the School Infrastructure Fund
19		on the first day of each month; provided, however, that no such
20		transfers shall be made from July 1, 2001 through June 30,
21		2003.
22		(a-5) Money in the School Infrastructure Fund may be used
23		to pay the expenses of the State Board of Education, the
24		Governor's Office of Management and Budget, and the Capital

SB0690 Enrolled - 357 - LRB101 04451 HLH 49459 b
1		Development Board in administering programs under the School
2		Construction Law, the total expenses not to exceed $1,315,000
3		in any fiscal year.
4		(b) Subject to the transfer provisions set forth below,
5		money in the School Infrastructure Fund shall, if and when the
6		State of Illinois incurs any bonded indebtedness for the
7		construction of school improvements under subsection (e) of
8		Section 5 of the General Obligation Bond Act, be set aside and
9		used for the purpose of paying and discharging annually the
10		principal and interest on that bonded indebtedness then due and
11		payable, and for no other purpose.
12		In addition to other transfers to the General Obligation
13		Bond Retirement and Interest Fund made pursuant to Section 15
14		of the General Obligation Bond Act, upon each delivery of bonds
15		issued for construction of school improvements under the School
16		Construction Law, the State Comptroller shall compute and
17		certify to the State Treasurer the total amount of principal
18		of, interest on, and premium, if any, on such bonds during the
19		then current and each succeeding fiscal year. With respect to
20		the interest payable on variable rate bonds, such
21		certifications shall be calculated at the maximum rate of
22		interest that may be payable during the fiscal year, after
23		taking into account any credits permitted in the related
24		indenture or other instrument against the amount of such
25		interest required to be appropriated for that period.
26		On or before the last day of each month, the State

SB0690 Enrolled - 358 - LRB101 04451 HLH 49459 b
1		Treasurer and State Comptroller shall transfer from the School
2		Infrastructure Fund to the General Obligation Bond Retirement
3		and Interest Fund an amount sufficient to pay the aggregate of
4		the principal of, interest on, and premium, if any, on the
5		bonds payable on their next payment date, divided by the number
6		of monthly transfers occurring between the last previous
7		payment date (or the delivery date if no payment date has yet
8		occurred) and the next succeeding payment date. Interest
9		payable on variable rate bonds shall be calculated at the
10		maximum rate of interest that may be payable for the relevant
11		period, after taking into account any credits permitted in the
12		related indenture or other instrument against the amount of
13		such interest required to be appropriated for that period.
14		Interest for which moneys have already been deposited into the
15		capitalized interest account within the General Obligation
16		Bond Retirement and Interest Fund shall not be included in the
17		calculation of the amounts to be transferred under this
18		subsection.
19		(b-5) The money deposited into the School Infrastructure
20		Fund from transfers pursuant to subsections (c-30) and (c-35)
21		of Section 13 of the Illinois Riverboat Gambling Act shall be
22		applied, without further direction, as provided in subsection
23		(b-3) of Section 5-35 of the School Construction Law.
24		(c) The surplus, if any, in the School Infrastructure Fund
25		after payments made pursuant to subsections (a-5), (b), and
26		(b-5) of this Section shall, subject to appropriation, be used

SB0690 Enrolled - 359 - LRB101 04451 HLH 49459 b
1		as follows:
2		First - to make 3 payments to the School Technology
3		Revolving Loan Fund as follows:
4		Transfer of $30,000,000 in fiscal year 1999;
5		Transfer of $20,000,000 in fiscal year 2000; and
6		Transfer of $10,000,000 in fiscal year 2001.
7		Second - to pay any amounts due for grants for school
8		construction projects and debt service under the School
9		Construction Law.
10		Third - to pay any amounts due for grants for school
11		maintenance projects under the School Construction Law.
12		(Source: P.A. 100-23, eff. 7-6-17.)
13		Section 35-35. The Illinois Income Tax Act is amended by
14		changing Sections 201, 303, 304, and 710 as follows:
15		(35 ILCS 5/201) (from Ch. 120, par. 2-201)
16		Sec. 201. Tax imposed.
17		(a) In general. A tax measured by net income is hereby
18		imposed on every individual, corporation, trust and estate for
19		each taxable year ending after July 31, 1969 on the privilege
20		of earning or receiving income in or as a resident of this
21		State. Such tax shall be in addition to all other occupation or
22		privilege taxes imposed by this State or by any municipal
23		corporation or political subdivision thereof.
24		(b) Rates. The tax imposed by subsection (a) of this

SB0690 Enrolled - 360 - LRB101 04451 HLH 49459 b
1		Section shall be determined as follows, except as adjusted by
2		subsection (d-1):
3		(1) In the case of an individual, trust or estate, for
4		taxable years ending prior to July 1, 1989, an amount equal
5		to 2 1/2% of the taxpayer's net income for the taxable
6		year.
7		(2) In the case of an individual, trust or estate, for
8		taxable years beginning prior to July 1, 1989 and ending
9		after June 30, 1989, an amount equal to the sum of (i) 2
10		1/2% of the taxpayer's net income for the period prior to
11		July 1, 1989, as calculated under Section 202.3, and (ii)
12		3% of the taxpayer's net income for the period after June
13		30, 1989, as calculated under Section 202.3.
14		(3) In the case of an individual, trust or estate, for
15		taxable years beginning after June 30, 1989, and ending
16		prior to January 1, 2011, an amount equal to 3% of the
17		taxpayer's net income for the taxable year.
18		(4) In the case of an individual, trust, or estate, for
19		taxable years beginning prior to January 1, 2011, and
20		ending after December 31, 2010, an amount equal to the sum
21		of (i) 3% of the taxpayer's net income for the period prior
22		to January 1, 2011, as calculated under Section 202.5, and
23		(ii) 5% of the taxpayer's net income for the period after
24		December 31, 2010, as calculated under Section 202.5.
25		(5) In the case of an individual, trust, or estate, for
26		taxable years beginning on or after January 1, 2011, and

SB0690 Enrolled - 361 - LRB101 04451 HLH 49459 b
1		ending prior to January 1, 2015, an amount equal to 5% of
2		the taxpayer's net income for the taxable year.
3		(5.1) In the case of an individual, trust, or estate,
4		for taxable years beginning prior to January 1, 2015, and
5		ending after December 31, 2014, an amount equal to the sum
6		of (i) 5% of the taxpayer's net income for the period prior
7		to January 1, 2015, as calculated under Section 202.5, and
8		(ii) 3.75% of the taxpayer's net income for the period
9		after December 31, 2014, as calculated under Section 202.5.
10		(5.2) In the case of an individual, trust, or estate,
11		for taxable years beginning on or after January 1, 2015,
12		and ending prior to July 1, 2017, an amount equal to 3.75%
13		of the taxpayer's net income for the taxable year.
14		(5.3) In the case of an individual, trust, or estate,
15		for taxable years beginning prior to July 1, 2017, and
16		ending after June 30, 2017, an amount equal to the sum of
17		(i) 3.75% of the taxpayer's net income for the period prior
18		to July 1, 2017, as calculated under Section 202.5, and
19		(ii) 4.95% of the taxpayer's net income for the period
20		after June 30, 2017, as calculated under Section 202.5.
21		(5.4) In the case of an individual, trust, or estate,
22		for taxable years beginning on or after July 1, 2017, an
23		amount equal to 4.95% of the taxpayer's net income for the
24		taxable year.
25		(6) In the case of a corporation, for taxable years
26		ending prior to July 1, 1989, an amount equal to 4% of the

SB0690 Enrolled - 362 - LRB101 04451 HLH 49459 b
1		taxpayer's net income for the taxable year.
2		(7) In the case of a corporation, for taxable years
3		beginning prior to July 1, 1989 and ending after June 30,
4		1989, an amount equal to the sum of (i) 4% of the
5		taxpayer's net income for the period prior to July 1, 1989,
6		as calculated under Section 202.3, and (ii) 4.8% of the
7		taxpayer's net income for the period after June 30, 1989,
8		as calculated under Section 202.3.
9		(8) In the case of a corporation, for taxable years
10		beginning after June 30, 1989, and ending prior to January
11		1, 2011, an amount equal to 4.8% of the taxpayer's net
12		income for the taxable year.
13		(9) In the case of a corporation, for taxable years
14		beginning prior to January 1, 2011, and ending after
15		December 31, 2010, an amount equal to the sum of (i) 4.8%
16		of the taxpayer's net income for the period prior to
17		January 1, 2011, as calculated under Section 202.5, and
18		(ii) 7% of the taxpayer's net income for the period after
19		December 31, 2010, as calculated under Section 202.5.
20		(10) In the case of a corporation, for taxable years
21		beginning on or after January 1, 2011, and ending prior to
22		January 1, 2015, an amount equal to 7% of the taxpayer's
23		net income for the taxable year.
24		(11) In the case of a corporation, for taxable years
25		beginning prior to January 1, 2015, and ending after
26		December 31, 2014, an amount equal to the sum of (i) 7% of

SB0690 Enrolled - 363 - LRB101 04451 HLH 49459 b
1		the taxpayer's net income for the period prior to January
2		1, 2015, as calculated under Section 202.5, and (ii) 5.25%
3		of the taxpayer's net income for the period after December
4		31, 2014, as calculated under Section 202.5.
5		(12) In the case of a corporation, for taxable years
6		beginning on or after January 1, 2015, and ending prior to
7		July 1, 2017, an amount equal to 5.25% of the taxpayer's
8		net income for the taxable year.
9		(13) In the case of a corporation, for taxable years
10		beginning prior to July 1, 2017, and ending after June 30,
11		2017, an amount equal to the sum of (i) 5.25% of the
12		taxpayer's net income for the period prior to July 1, 2017,
13		as calculated under Section 202.5, and (ii) 7% of the
14		taxpayer's net income for the period after June 30, 2017,
15		as calculated under Section 202.5.
16		(14) In the case of a corporation, for taxable years
17		beginning on or after July 1, 2017, an amount equal to 7%
18		of the taxpayer's net income for the taxable year.
19		The rates under this subsection (b) are subject to the
20		provisions of Section 201.5.
21		(b-5) Surcharge; sale or exchange of assets, properties,
22		and intangibles of organization gaming licensees. For each of
23		taxable years 2019 through 2027, a surcharge is imposed on all
24		taxpayers on income arising from the sale or exchange of
25		capital assets, depreciable business property, real property
26		used in the trade or business, and Section 197 intangibles (i)

SB0690 Enrolled - 364 - LRB101 04451 HLH 49459 b
1		of an organization licensee under the Illinois Horse Racing Act
2		of 1975 and (ii) of an organization gaming licensee under the
3		Illinois Gambling Act. The amount of the surcharge is equal to
4		the amount of federal income tax liability for the taxable year
5		attributable to those sales and exchanges. The surcharge
6		imposed shall not apply if:
7		(1) the organization gaming license, organization
8		license, or racetrack property is transferred as a result
9		of any of the following:
10		(A) bankruptcy, a receivership, or a debt
11		adjustment initiated by or against the initial
12		licensee or the substantial owners of the initial
13		licensee;
14		(B) cancellation, revocation, or termination of
15		any such license by the Illinois Gaming Board or the
16		Illinois Racing Board;
17		(C) a determination by the Illinois Gaming Board
18		that transfer of the license is in the best interests
19		of Illinois gaming;
20		(D) the death of an owner of the equity interest in
21		a licensee;
22		(E) the acquisition of a controlling interest in
23		the stock or substantially all of the assets of a
24		publicly traded company;
25		(F) a transfer by a parent company to a wholly
26		owned subsidiary; or

SB0690 Enrolled - 365 - LRB101 04451 HLH 49459 b
1		(G) the transfer or sale to or by one person to
2		another person where both persons were initial owners
3		of the license when the license was issued; or
4		(2) the controlling interest in the organization
5		gaming license, organization license, or racetrack
6		property is transferred in a transaction to lineal
7		descendants in which no gain or loss is recognized or as a
8		result of a transaction in accordance with Section 351 of
9		the Internal Revenue Code in which no gain or loss is
10		recognized; or
11		(3) live horse racing was not conducted in 2010 at a
12		racetrack located within 3 miles of the Mississippi River
13		under a license issued pursuant to the Illinois Horse
14		Racing Act of 1975.
15		The transfer of an organization gaming license,
16		organization license, or racetrack property by a person other
17		than the initial licensee to receive the organization gaming
18		license is not subject to a surcharge. The Department shall
19		adopt rules necessary to implement and administer this
20		subsection.
21		(c) Personal Property Tax Replacement Income Tax.
22		Beginning on July 1, 1979 and thereafter, in addition to such
23		income tax, there is also hereby imposed the Personal Property
24		Tax Replacement Income Tax measured by net income on every
25		corporation (including Subchapter S corporations), partnership
26		and trust, for each taxable year ending after June 30, 1979.

SB0690 Enrolled - 366 - LRB101 04451 HLH 49459 b
1		Such taxes are imposed on the privilege of earning or receiving
2		income in or as a resident of this State. The Personal Property
3		Tax Replacement Income Tax shall be in addition to the income
4		tax imposed by subsections (a) and (b) of this Section and in
5		addition to all other occupation or privilege taxes imposed by
6		this State or by any municipal corporation or political
7		subdivision thereof.
8		(d) Additional Personal Property Tax Replacement Income
9		Tax Rates. The personal property tax replacement income tax
10		imposed by this subsection and subsection (c) of this Section
11		in the case of a corporation, other than a Subchapter S
12		corporation and except as adjusted by subsection (d-1), shall
13		be an additional amount equal to 2.85% of such taxpayer's net
14		income for the taxable year, except that beginning on January
15		1, 1981, and thereafter, the rate of 2.85% specified in this
16		subsection shall be reduced to 2.5%, and in the case of a
17		partnership, trust or a Subchapter S corporation shall be an
18		additional amount equal to 1.5% of such taxpayer's net income
19		for the taxable year.
20		(d-1) Rate reduction for certain foreign insurers. In the
21		case of a foreign insurer, as defined by Section 35A-5 of the
22		Illinois Insurance Code, whose state or country of domicile
23		imposes on insurers domiciled in Illinois a retaliatory tax
24		(excluding any insurer whose premiums from reinsurance assumed
25		are 50% or more of its total insurance premiums as determined
26		under paragraph (2) of subsection (b) of Section 304, except

SB0690 Enrolled - 367 - LRB101 04451 HLH 49459 b
1		that for purposes of this determination premiums from
2		reinsurance do not include premiums from inter-affiliate
3		reinsurance arrangements), beginning with taxable years ending
4		on or after December 31, 1999, the sum of the rates of tax
5		imposed by subsections (b) and (d) shall be reduced (but not
6		increased) to the rate at which the total amount of tax imposed
7		under this Act, net of all credits allowed under this Act,
8		shall equal (i) the total amount of tax that would be imposed
9		on the foreign insurer's net income allocable to Illinois for
10		the taxable year by such foreign insurer's state or country of
11		domicile if that net income were subject to all income taxes
12		and taxes measured by net income imposed by such foreign
13		insurer's state or country of domicile, net of all credits
14		allowed or (ii) a rate of zero if no such tax is imposed on such
15		income by the foreign insurer's state of domicile. For the
16		purposes of this subsection (d-1), an inter-affiliate includes
17		a mutual insurer under common management.
18		(1) For the purposes of subsection (d-1), in no event
19		shall the sum of the rates of tax imposed by subsections
20		(b) and (d) be reduced below the rate at which the sum of:
21		(A) the total amount of tax imposed on such foreign
22		insurer under this Act for a taxable year, net of all
23		credits allowed under this Act, plus
24		(B) the privilege tax imposed by Section 409 of the
25		Illinois Insurance Code, the fire insurance company
26		tax imposed by Section 12 of the Fire Investigation

SB0690 Enrolled - 368 - LRB101 04451 HLH 49459 b
1		Act, and the fire department taxes imposed under
2		Section 11-10-1 of the Illinois Municipal Code,
3		equals 1.25% for taxable years ending prior to December 31,
4		2003, or 1.75% for taxable years ending on or after
5		December 31, 2003, of the net taxable premiums written for
6		the taxable year, as described by subsection (1) of Section
7		409 of the Illinois Insurance Code. This paragraph will in
8		no event increase the rates imposed under subsections (b)
9		and (d).
10		(2) Any reduction in the rates of tax imposed by this
11		subsection shall be applied first against the rates imposed
12		by subsection (b) and only after the tax imposed by
13		subsection (a) net of all credits allowed under this
14		Section other than the credit allowed under subsection (i)
15		has been reduced to zero, against the rates imposed by
16		subsection (d).
17		This subsection (d-1) is exempt from the provisions of
18		Section 250.
19		(e) Investment credit. A taxpayer shall be allowed a credit
20		against the Personal Property Tax Replacement Income Tax for
21		investment in qualified property.
22		(1) A taxpayer shall be allowed a credit equal to .5%
23		of the basis of qualified property placed in service during
24		the taxable year, provided such property is placed in
25		service on or after July 1, 1984. There shall be allowed an
26		additional credit equal to .5% of the basis of qualified

SB0690 Enrolled - 369 - LRB101 04451 HLH 49459 b
1		property placed in service during the taxable year,
2		provided such property is placed in service on or after
3		July 1, 1986, and the taxpayer's base employment within
4		Illinois has increased by 1% or more over the preceding
5		year as determined by the taxpayer's employment records
6		filed with the Illinois Department of Employment Security.
7		Taxpayers who are new to Illinois shall be deemed to have
8		met the 1% growth in base employment for the first year in
9		which they file employment records with the Illinois
10		Department of Employment Security. The provisions added to
11		this Section by Public Act 85-1200 (and restored by Public
12		Act 87-895) shall be construed as declaratory of existing
13		law and not as a new enactment. If, in any year, the
14		increase in base employment within Illinois over the
15		preceding year is less than 1%, the additional credit shall
16		be limited to that percentage times a fraction, the
17		numerator of which is .5% and the denominator of which is
18		1%, but shall not exceed .5%. The investment credit shall
19		not be allowed to the extent that it would reduce a
20		taxpayer's liability in any tax year below zero, nor may
21		any credit for qualified property be allowed for any year
22		other than the year in which the property was placed in
23		service in Illinois. For tax years ending on or after
24		December 31, 1987, and on or before December 31, 1988, the
25		credit shall be allowed for the tax year in which the
26		property is placed in service, or, if the amount of the

SB0690 Enrolled - 370 - LRB101 04451 HLH 49459 b
1		credit exceeds the tax liability for that year, whether it
2		exceeds the original liability or the liability as later
3		amended, such excess may be carried forward and applied to
4		the tax liability of the 5 taxable years following the
5		excess credit years if the taxpayer (i) makes investments
6		which cause the creation of a minimum of 2,000 full-time
7		equivalent jobs in Illinois, (ii) is located in an
8		enterprise zone established pursuant to the Illinois
9		Enterprise Zone Act and (iii) is certified by the
10		Department of Commerce and Community Affairs (now
11		Department of Commerce and Economic Opportunity) as
12		complying with the requirements specified in clause (i) and
13		(ii) by July 1, 1986. The Department of Commerce and
14		Community Affairs (now Department of Commerce and Economic
15		Opportunity) shall notify the Department of Revenue of all
16		such certifications immediately. For tax years ending
17		after December 31, 1988, the credit shall be allowed for
18		the tax year in which the property is placed in service,
19		or, if the amount of the credit exceeds the tax liability
20		for that year, whether it exceeds the original liability or
21		the liability as later amended, such excess may be carried
22		forward and applied to the tax liability of the 5 taxable
23		years following the excess credit years. The credit shall
24		be applied to the earliest year for which there is a
25		liability. If there is credit from more than one tax year
26		that is available to offset a liability, earlier credit

SB0690 Enrolled - 371 - LRB101 04451 HLH 49459 b
1		shall be applied first.
2		(2) The term "qualified property" means property
3		which:
4		(A) is tangible, whether new or used, including
5		buildings and structural components of buildings and
6		signs that are real property, but not including land or
7		improvements to real property that are not a structural
8		component of a building such as landscaping, sewer
9		lines, local access roads, fencing, parking lots, and
10		other appurtenances;
11		(B) is depreciable pursuant to Section 167 of the
12		Internal Revenue Code, except that "3-year property"
13		as defined in Section 168(c)(2)(A) of that Code is not
14		eligible for the credit provided by this subsection
15		(e);
16		(C) is acquired by purchase as defined in Section
17		179(d) of the Internal Revenue Code;
18		(D) is used in Illinois by a taxpayer who is
19		primarily engaged in manufacturing, or in mining coal
20		or fluorite, or in retailing, or was placed in service
21		on or after July 1, 2006 in a River Edge Redevelopment
22		Zone established pursuant to the River Edge
23		Redevelopment Zone Act; and
24		(E) has not previously been used in Illinois in
25		such a manner and by such a person as would qualify for
26		the credit provided by this subsection (e) or

SB0690 Enrolled - 372 - LRB101 04451 HLH 49459 b
1		subsection (f).
2		(3) For purposes of this subsection (e),
3		"manufacturing" means the material staging and production
4		of tangible personal property by procedures commonly
5		regarded as manufacturing, processing, fabrication, or
6		assembling which changes some existing material into new
7		shapes, new qualities, or new combinations. For purposes of
8		this subsection (e) the term "mining" shall have the same
9		meaning as the term "mining" in Section 613(c) of the
10		Internal Revenue Code. For purposes of this subsection (e),
11		the term "retailing" means the sale of tangible personal
12		property for use or consumption and not for resale, or
13		services rendered in conjunction with the sale of tangible
14		personal property for use or consumption and not for
15		resale. For purposes of this subsection (e), "tangible
16		personal property" has the same meaning as when that term
17		is used in the Retailers' Occupation Tax Act, and, for
18		taxable years ending after December 31, 2008, does not
19		include the generation, transmission, or distribution of
20		electricity.
21		(4) The basis of qualified property shall be the basis
22		used to compute the depreciation deduction for federal
23		income tax purposes.
24		(5) If the basis of the property for federal income tax
25		depreciation purposes is increased after it has been placed
26		in service in Illinois by the taxpayer, the amount of such

SB0690 Enrolled - 373 - LRB101 04451 HLH 49459 b
1		increase shall be deemed property placed in service on the
2		date of such increase in basis.
3		(6) The term "placed in service" shall have the same
4		meaning as under Section 46 of the Internal Revenue Code.
5		(7) If during any taxable year, any property ceases to
6		be qualified property in the hands of the taxpayer within
7		48 months after being placed in service, or the situs of
8		any qualified property is moved outside Illinois within 48
9		months after being placed in service, the Personal Property
10		Tax Replacement Income Tax for such taxable year shall be
11		increased. Such increase shall be determined by (i)
12		recomputing the investment credit which would have been
13		allowed for the year in which credit for such property was
14		originally allowed by eliminating such property from such
15		computation and, (ii) subtracting such recomputed credit
16		from the amount of credit previously allowed. For the
17		purposes of this paragraph (7), a reduction of the basis of
18		qualified property resulting from a redetermination of the
19		purchase price shall be deemed a disposition of qualified
20		property to the extent of such reduction.
21		(8) Unless the investment credit is extended by law,
22		the basis of qualified property shall not include costs
23		incurred after December 31, 2018, except for costs incurred
24		pursuant to a binding contract entered into on or before
25		December 31, 2018.
26		(9) Each taxable year ending before December 31, 2000,

SB0690 Enrolled - 374 - LRB101 04451 HLH 49459 b
1		a partnership may elect to pass through to its partners the
2		credits to which the partnership is entitled under this
3		subsection (e) for the taxable year. A partner may use the
4		credit allocated to him or her under this paragraph only
5		against the tax imposed in subsections (c) and (d) of this
6		Section. If the partnership makes that election, those
7		credits shall be allocated among the partners in the
8		partnership in accordance with the rules set forth in
9		Section 704(b) of the Internal Revenue Code, and the rules
10		promulgated under that Section, and the allocated amount of
11		the credits shall be allowed to the partners for that
12		taxable year. The partnership shall make this election on
13		its Personal Property Tax Replacement Income Tax return for
14		that taxable year. The election to pass through the credits
15		shall be irrevocable.
16		For taxable years ending on or after December 31, 2000,
17		a partner that qualifies its partnership for a subtraction
18		under subparagraph (I) of paragraph (2) of subsection (d)
19		of Section 203 or a shareholder that qualifies a Subchapter
20		S corporation for a subtraction under subparagraph (S) of
21		paragraph (2) of subsection (b) of Section 203 shall be
22		allowed a credit under this subsection (e) equal to its
23		share of the credit earned under this subsection (e) during
24		the taxable year by the partnership or Subchapter S
25		corporation, determined in accordance with the
26		determination of income and distributive share of income

SB0690 Enrolled - 375 - LRB101 04451 HLH 49459 b
1		under Sections 702 and 704 and Subchapter S of the Internal
2		Revenue Code. This paragraph is exempt from the provisions
3		of Section 250.
4		(f) Investment credit; Enterprise Zone; River Edge
5		Redevelopment Zone.
6		(1) A taxpayer shall be allowed a credit against the
7		tax imposed by subsections (a) and (b) of this Section for
8		investment in qualified property which is placed in service
9		in an Enterprise Zone created pursuant to the Illinois
10		Enterprise Zone Act or, for property placed in service on
11		or after July 1, 2006, a River Edge Redevelopment Zone
12		established pursuant to the River Edge Redevelopment Zone
13		Act. For partners, shareholders of Subchapter S
14		corporations, and owners of limited liability companies,
15		if the liability company is treated as a partnership for
16		purposes of federal and State income taxation, there shall
17		be allowed a credit under this subsection (f) to be
18		determined in accordance with the determination of income
19		and distributive share of income under Sections 702 and 704
20		and Subchapter S of the Internal Revenue Code. The credit
21		shall be .5% of the basis for such property. The credit
22		shall be available only in the taxable year in which the
23		property is placed in service in the Enterprise Zone or
24		River Edge Redevelopment Zone and shall not be allowed to
25		the extent that it would reduce a taxpayer's liability for
26		the tax imposed by subsections (a) and (b) of this Section

SB0690 Enrolled - 376 - LRB101 04451 HLH 49459 b
1		to below zero. For tax years ending on or after December
2		31, 1985, the credit shall be allowed for the tax year in
3		which the property is placed in service, or, if the amount
4		of the credit exceeds the tax liability for that year,
5		whether it exceeds the original liability or the liability
6		as later amended, such excess may be carried forward and
7		applied to the tax liability of the 5 taxable years
8		following the excess credit year. The credit shall be
9		applied to the earliest year for which there is a
10		liability. If there is credit from more than one tax year
11		that is available to offset a liability, the credit
12		accruing first in time shall be applied first.
13		(2) The term qualified property means property which:
14		(A) is tangible, whether new or used, including
15		buildings and structural components of buildings;
16		(B) is depreciable pursuant to Section 167 of the
17		Internal Revenue Code, except that "3-year property"
18		as defined in Section 168(c)(2)(A) of that Code is not
19		eligible for the credit provided by this subsection
20		(f);
21		(C) is acquired by purchase as defined in Section
22		179(d) of the Internal Revenue Code;
23		(D) is used in the Enterprise Zone or River Edge
24		Redevelopment Zone by the taxpayer; and
25		(E) has not been previously used in Illinois in
26		such a manner and by such a person as would qualify for

SB0690 Enrolled - 377 - LRB101 04451 HLH 49459 b
1		the credit provided by this subsection (f) or
2		subsection (e).
3		(3) The basis of qualified property shall be the basis
4		used to compute the depreciation deduction for federal
5		income tax purposes.
6		(4) If the basis of the property for federal income tax
7		depreciation purposes is increased after it has been placed
8		in service in the Enterprise Zone or River Edge
9		Redevelopment Zone by the taxpayer, the amount of such
10		increase shall be deemed property placed in service on the
11		date of such increase in basis.
12		(5) The term "placed in service" shall have the same
13		meaning as under Section 46 of the Internal Revenue Code.
14		(6) If during any taxable year, any property ceases to
15		be qualified property in the hands of the taxpayer within
16		48 months after being placed in service, or the situs of
17		any qualified property is moved outside the Enterprise Zone
18		or River Edge Redevelopment Zone within 48 months after
19		being placed in service, the tax imposed under subsections
20		(a) and (b) of this Section for such taxable year shall be
21		increased. Such increase shall be determined by (i)
22		recomputing the investment credit which would have been
23		allowed for the year in which credit for such property was
24		originally allowed by eliminating such property from such
25		computation, and (ii) subtracting such recomputed credit
26		from the amount of credit previously allowed. For the

SB0690 Enrolled - 378 - LRB101 04451 HLH 49459 b
1		purposes of this paragraph (6), a reduction of the basis of
2		qualified property resulting from a redetermination of the
3		purchase price shall be deemed a disposition of qualified
4		property to the extent of such reduction.
5		(7) There shall be allowed an additional credit equal
6		to 0.5% of the basis of qualified property placed in
7		service during the taxable year in a River Edge
8		Redevelopment Zone, provided such property is placed in
9		service on or after July 1, 2006, and the taxpayer's base
10		employment within Illinois has increased by 1% or more over
11		the preceding year as determined by the taxpayer's
12		employment records filed with the Illinois Department of
13		Employment Security. Taxpayers who are new to Illinois
14		shall be deemed to have met the 1% growth in base
15		employment for the first year in which they file employment
16		records with the Illinois Department of Employment
17		Security. If, in any year, the increase in base employment
18		within Illinois over the preceding year is less than 1%,
19		the additional credit shall be limited to that percentage
20		times a fraction, the numerator of which is 0.5% and the
21		denominator of which is 1%, but shall not exceed 0.5%.
22		(g) (Blank).
23		(h) Investment credit; High Impact Business.
24		(1) Subject to subsections (b) and (b-5) of Section 5.5
25		of the Illinois Enterprise Zone Act, a taxpayer shall be
26		allowed a credit against the tax imposed by subsections (a)

SB0690 Enrolled - 379 - LRB101 04451 HLH 49459 b
1		and (b) of this Section for investment in qualified
2		property which is placed in service by a Department of
3		Commerce and Economic Opportunity designated High Impact
4		Business. The credit shall be .5% of the basis for such
5		property. The credit shall not be available (i) until the
6		minimum investments in qualified property set forth in
7		subdivision (a)(3)(A) of Section 5.5 of the Illinois
8		Enterprise Zone Act have been satisfied or (ii) until the
9		time authorized in subsection (b-5) of the Illinois
10		Enterprise Zone Act for entities designated as High Impact
11		Businesses under subdivisions (a)(3)(B), (a)(3)(C), and
12		(a)(3)(D) of Section 5.5 of the Illinois Enterprise Zone
13		Act, and shall not be allowed to the extent that it would
14		reduce a taxpayer's liability for the tax imposed by
15		subsections (a) and (b) of this Section to below zero. The
16		credit applicable to such investments shall be taken in the
17		taxable year in which such investments have been completed.
18		The credit for additional investments beyond the minimum
19		investment by a designated high impact business authorized
20		under subdivision (a)(3)(A) of Section 5.5 of the Illinois
21		Enterprise Zone Act shall be available only in the taxable
22		year in which the property is placed in service and shall
23		not be allowed to the extent that it would reduce a
24		taxpayer's liability for the tax imposed by subsections (a)
25		and (b) of this Section to below zero. For tax years ending
26		on or after December 31, 1987, the credit shall be allowed

SB0690 Enrolled - 380 - LRB101 04451 HLH 49459 b
1		for the tax year in which the property is placed in
2		service, or, if the amount of the credit exceeds the tax
3		liability for that year, whether it exceeds the original
4		liability or the liability as later amended, such excess
5		may be carried forward and applied to the tax liability of
6		the 5 taxable years following the excess credit year. The
7		credit shall be applied to the earliest year for which
8		there is a liability. If there is credit from more than one
9		tax year that is available to offset a liability, the
10		credit accruing first in time shall be applied first.
11		Changes made in this subdivision (h)(1) by Public Act
12		88-670 restore changes made by Public Act 85-1182 and
13		reflect existing law.
14		(2) The term qualified property means property which:
15		(A) is tangible, whether new or used, including
16		buildings and structural components of buildings;
17		(B) is depreciable pursuant to Section 167 of the
18		Internal Revenue Code, except that "3-year property"
19		as defined in Section 168(c)(2)(A) of that Code is not
20		eligible for the credit provided by this subsection
21		(h);
22		(C) is acquired by purchase as defined in Section
23		179(d) of the Internal Revenue Code; and
24		(D) is not eligible for the Enterprise Zone
25		Investment Credit provided by subsection (f) of this
26		Section.

SB0690 Enrolled - 381 - LRB101 04451 HLH 49459 b
1		(3) The basis of qualified property shall be the basis
2		used to compute the depreciation deduction for federal
3		income tax purposes.
4		(4) If the basis of the property for federal income tax
5		depreciation purposes is increased after it has been placed
6		in service in a federally designated Foreign Trade Zone or
7		Sub-Zone located in Illinois by the taxpayer, the amount of
8		such increase shall be deemed property placed in service on
9		the date of such increase in basis.
10		(5) The term "placed in service" shall have the same
11		meaning as under Section 46 of the Internal Revenue Code.
12		(6) If during any taxable year ending on or before
13		December 31, 1996, any property ceases to be qualified
14		property in the hands of the taxpayer within 48 months
15		after being placed in service, or the situs of any
16		qualified property is moved outside Illinois within 48
17		months after being placed in service, the tax imposed under
18		subsections (a) and (b) of this Section for such taxable
19		year shall be increased. Such increase shall be determined
20		by (i) recomputing the investment credit which would have
21		been allowed for the year in which credit for such property
22		was originally allowed by eliminating such property from
23		such computation, and (ii) subtracting such recomputed
24		credit from the amount of credit previously allowed. For
25		the purposes of this paragraph (6), a reduction of the
26		basis of qualified property resulting from a

SB0690 Enrolled - 382 - LRB101 04451 HLH 49459 b
1		redetermination of the purchase price shall be deemed a
2		disposition of qualified property to the extent of such
3		reduction.
4		(7) Beginning with tax years ending after December 31,
5		1996, if a taxpayer qualifies for the credit under this
6		subsection (h) and thereby is granted a tax abatement and
7		the taxpayer relocates its entire facility in violation of
8		the explicit terms and length of the contract under Section
9		18-183 of the Property Tax Code, the tax imposed under
10		subsections (a) and (b) of this Section shall be increased
11		for the taxable year in which the taxpayer relocated its
12		facility by an amount equal to the amount of credit
13		received by the taxpayer under this subsection (h).
14		(i) Credit for Personal Property Tax Replacement Income
15		Tax. For tax years ending prior to December 31, 2003, a credit
16		shall be allowed against the tax imposed by subsections (a) and
17		(b) of this Section for the tax imposed by subsections (c) and
18		(d) of this Section. This credit shall be computed by
19		multiplying the tax imposed by subsections (c) and (d) of this
20		Section by a fraction, the numerator of which is base income
21		allocable to Illinois and the denominator of which is Illinois
22		base income, and further multiplying the product by the tax
23		rate imposed by subsections (a) and (b) of this Section.
24		Any credit earned on or after December 31, 1986 under this
25		subsection which is unused in the year the credit is computed
26		because it exceeds the tax liability imposed by subsections (a)

SB0690 Enrolled - 383 - LRB101 04451 HLH 49459 b
1		and (b) for that year (whether it exceeds the original
2		liability or the liability as later amended) may be carried
3		forward and applied to the tax liability imposed by subsections
4		(a) and (b) of the 5 taxable years following the excess credit
5		year, provided that no credit may be carried forward to any
6		year ending on or after December 31, 2003. This credit shall be
7		applied first to the earliest year for which there is a
8		liability. If there is a credit under this subsection from more
9		than one tax year that is available to offset a liability the
10		earliest credit arising under this subsection shall be applied
11		first.
12		If, during any taxable year ending on or after December 31,
13		1986, the tax imposed by subsections (c) and (d) of this
14		Section for which a taxpayer has claimed a credit under this
15		subsection (i) is reduced, the amount of credit for such tax
16		shall also be reduced. Such reduction shall be determined by
17		recomputing the credit to take into account the reduced tax
18		imposed by subsections (c) and (d). If any portion of the
19		reduced amount of credit has been carried to a different
20		taxable year, an amended return shall be filed for such taxable
21		year to reduce the amount of credit claimed.
22		(j) Training expense credit. Beginning with tax years
23		ending on or after December 31, 1986 and prior to December 31,
24		2003, a taxpayer shall be allowed a credit against the tax
25		imposed by subsections (a) and (b) under this Section for all
26		amounts paid or accrued, on behalf of all persons employed by

SB0690 Enrolled - 384 - LRB101 04451 HLH 49459 b
1		the taxpayer in Illinois or Illinois residents employed outside
2		of Illinois by a taxpayer, for educational or vocational
3		training in semi-technical or technical fields or semi-skilled
4		or skilled fields, which were deducted from gross income in the
5		computation of taxable income. The credit against the tax
6		imposed by subsections (a) and (b) shall be 1.6% of such
7		training expenses. For partners, shareholders of subchapter S
8		corporations, and owners of limited liability companies, if the
9		liability company is treated as a partnership for purposes of
10		federal and State income taxation, there shall be allowed a
11		credit under this subsection (j) to be determined in accordance
12		with the determination of income and distributive share of
13		income under Sections 702 and 704 and subchapter S of the
14		Internal Revenue Code.
15		Any credit allowed under this subsection which is unused in
16		the year the credit is earned may be carried forward to each of
17		the 5 taxable years following the year for which the credit is
18		first computed until it is used. This credit shall be applied
19		first to the earliest year for which there is a liability. If
20		there is a credit under this subsection from more than one tax
21		year that is available to offset a liability the earliest
22		credit arising under this subsection shall be applied first. No
23		carryforward credit may be claimed in any tax year ending on or
24		after December 31, 2003.
25		(k) Research and development credit. For tax years ending
26		after July 1, 1990 and prior to December 31, 2003, and

SB0690 Enrolled - 385 - LRB101 04451 HLH 49459 b
1		beginning again for tax years ending on or after December 31,
2		2004, and ending prior to January 1, 2022, a taxpayer shall be
3		allowed a credit against the tax imposed by subsections (a) and
4		(b) of this Section for increasing research activities in this
5		State. The credit allowed against the tax imposed by
6		subsections (a) and (b) shall be equal to 6 1/2% of the
7		qualifying expenditures for increasing research activities in
8		this State. For partners, shareholders of subchapter S
9		corporations, and owners of limited liability companies, if the
10		liability company is treated as a partnership for purposes of
11		federal and State income taxation, there shall be allowed a
12		credit under this subsection to be determined in accordance
13		with the determination of income and distributive share of
14		income under Sections 702 and 704 and subchapter S of the
15		Internal Revenue Code.
16		For purposes of this subsection, "qualifying expenditures"
17		means the qualifying expenditures as defined for the federal
18		credit for increasing research activities which would be
19		allowable under Section 41 of the Internal Revenue Code and
20		which are conducted in this State, "qualifying expenditures for
21		increasing research activities in this State" means the excess
22		of qualifying expenditures for the taxable year in which
23		incurred over qualifying expenditures for the base period,
24		"qualifying expenditures for the base period" means the average
25		of the qualifying expenditures for each year in the base
26		period, and "base period" means the 3 taxable years immediately

SB0690 Enrolled - 386 - LRB101 04451 HLH 49459 b
1		preceding the taxable year for which the determination is being
2		made.
3		Any credit in excess of the tax liability for the taxable
4		year may be carried forward. A taxpayer may elect to have the
5		unused credit shown on its final completed return carried over
6		as a credit against the tax liability for the following 5
7		taxable years or until it has been fully used, whichever occurs
8		first; provided that no credit earned in a tax year ending
9		prior to December 31, 2003 may be carried forward to any year
10		ending on or after December 31, 2003.
11		If an unused credit is carried forward to a given year from
12		2 or more earlier years, that credit arising in the earliest
13		year will be applied first against the tax liability for the
14		given year. If a tax liability for the given year still
15		remains, the credit from the next earliest year will then be
16		applied, and so on, until all credits have been used or no tax
17		liability for the given year remains. Any remaining unused
18		credit or credits then will be carried forward to the next
19		following year in which a tax liability is incurred, except
20		that no credit can be carried forward to a year which is more
21		than 5 years after the year in which the expense for which the
22		credit is given was incurred.
23		No inference shall be drawn from this amendatory Act of the
24		91st General Assembly in construing this Section for taxable
25		years beginning before January 1, 1999.
26		It is the intent of the General Assembly that the research

SB0690 Enrolled - 387 - LRB101 04451 HLH 49459 b
1		and development credit under this subsection (k) shall apply
2		continuously for all tax years ending on or after December 31,
3		2004 and ending prior to January 1, 2022, including, but not
4		limited to, the period beginning on January 1, 2016 and ending
5		on the effective date of this amendatory Act of the 100th
6		General Assembly. All actions taken in reliance on the
7		continuation of the credit under this subsection (k) by any
8		taxpayer are hereby validated.
9		(l) Environmental Remediation Tax Credit.
10		(i) For tax years ending after December 31, 1997 and on
11		or before December 31, 2001, a taxpayer shall be allowed a
12		credit against the tax imposed by subsections (a) and (b)
13		of this Section for certain amounts paid for unreimbursed
14		eligible remediation costs, as specified in this
15		subsection. For purposes of this Section, "unreimbursed
16		eligible remediation costs" means costs approved by the
17		Illinois Environmental Protection Agency ("Agency") under
18		Section 58.14 of the Environmental Protection Act that were
19		paid in performing environmental remediation at a site for
20		which a No Further Remediation Letter was issued by the
21		Agency and recorded under Section 58.10 of the
22		Environmental Protection Act. The credit must be claimed
23		for the taxable year in which Agency approval of the
24		eligible remediation costs is granted. The credit is not
25		available to any taxpayer if the taxpayer or any related
26		party caused or contributed to, in any material respect, a

SB0690 Enrolled - 388 - LRB101 04451 HLH 49459 b
1		release of regulated substances on, in, or under the site
2		that was identified and addressed by the remedial action
3		pursuant to the Site Remediation Program of the
4		Environmental Protection Act. After the Pollution Control
5		Board rules are adopted pursuant to the Illinois
6		Administrative Procedure Act for the administration and
7		enforcement of Section 58.9 of the Environmental
8		Protection Act, determinations as to credit availability
9		for purposes of this Section shall be made consistent with
10		those rules. For purposes of this Section, "taxpayer"
11		includes a person whose tax attributes the taxpayer has
12		succeeded to under Section 381 of the Internal Revenue Code
13		and "related party" includes the persons disallowed a
14		deduction for losses by paragraphs (b), (c), and (f)(1) of
15		Section 267 of the Internal Revenue Code by virtue of being
16		a related taxpayer, as well as any of its partners. The
17		credit allowed against the tax imposed by subsections (a)
18		and (b) shall be equal to 25% of the unreimbursed eligible
19		remediation costs in excess of $100,000 per site, except
20		that the $100,000 threshold shall not apply to any site
21		contained in an enterprise zone as determined by the
22		Department of Commerce and Community Affairs (now
23		Department of Commerce and Economic Opportunity). The
24		total credit allowed shall not exceed $40,000 per year with
25		a maximum total of $150,000 per site. For partners and
26		shareholders of subchapter S corporations, there shall be

SB0690 Enrolled - 389 - LRB101 04451 HLH 49459 b
1		allowed a credit under this subsection to be determined in
2		accordance with the determination of income and
3		distributive share of income under Sections 702 and 704 and
4		subchapter S of the Internal Revenue Code.
5		(ii) A credit allowed under this subsection that is
6		unused in the year the credit is earned may be carried
7		forward to each of the 5 taxable years following the year
8		for which the credit is first earned until it is used. The
9		term "unused credit" does not include any amounts of
10		unreimbursed eligible remediation costs in excess of the
11		maximum credit per site authorized under paragraph (i).
12		This credit shall be applied first to the earliest year for
13		which there is a liability. If there is a credit under this
14		subsection from more than one tax year that is available to
15		offset a liability, the earliest credit arising under this
16		subsection shall be applied first. A credit allowed under
17		this subsection may be sold to a buyer as part of a sale of
18		all or part of the remediation site for which the credit
19		was granted. The purchaser of a remediation site and the
20		tax credit shall succeed to the unused credit and remaining
21		carry-forward period of the seller. To perfect the
22		transfer, the assignor shall record the transfer in the
23		chain of title for the site and provide written notice to
24		the Director of the Illinois Department of Revenue of the
25		assignor's intent to sell the remediation site and the
26		amount of the tax credit to be transferred as a portion of

SB0690 Enrolled - 390 - LRB101 04451 HLH 49459 b
1		the sale. In no event may a credit be transferred to any
2		taxpayer if the taxpayer or a related party would not be
3		eligible under the provisions of subsection (i).
4		(iii) For purposes of this Section, the term "site"
5		shall have the same meaning as under Section 58.2 of the
6		Environmental Protection Act.
7		(m) Education expense credit. Beginning with tax years
8		ending after December 31, 1999, a taxpayer who is the custodian
9		of one or more qualifying pupils shall be allowed a credit
10		against the tax imposed by subsections (a) and (b) of this
11		Section for qualified education expenses incurred on behalf of
12		the qualifying pupils. The credit shall be equal to 25% of
13		qualified education expenses, but in no event may the total
14		credit under this subsection claimed by a family that is the
15		custodian of qualifying pupils exceed (i) $500 for tax years
16		ending prior to December 31, 2017, and (ii) $750 for tax years
17		ending on or after December 31, 2017. In no event shall a
18		credit under this subsection reduce the taxpayer's liability
19		under this Act to less than zero. Notwithstanding any other
20		provision of law, for taxable years beginning on or after
21		January 1, 2017, no taxpayer may claim a credit under this
22		subsection (m) if the taxpayer's adjusted gross income for the
23		taxable year exceeds (i) $500,000, in the case of spouses
24		filing a joint federal tax return or (ii) $250,000, in the case
25		of all other taxpayers. This subsection is exempt from the
26		provisions of Section 250 of this Act.

SB0690 Enrolled - 391 - LRB101 04451 HLH 49459 b
1		For purposes of this subsection:
2		"Qualifying pupils" means individuals who (i) are
3		residents of the State of Illinois, (ii) are under the age of
4		21 at the close of the school year for which a credit is
5		sought, and (iii) during the school year for which a credit is
6		sought were full-time pupils enrolled in a kindergarten through
7		twelfth grade education program at any school, as defined in
8		this subsection.
9		"Qualified education expense" means the amount incurred on
10		behalf of a qualifying pupil in excess of $250 for tuition,
11		book fees, and lab fees at the school in which the pupil is
12		enrolled during the regular school year.
13		"School" means any public or nonpublic elementary or
14		secondary school in Illinois that is in compliance with Title
15		VI of the Civil Rights Act of 1964 and attendance at which
16		satisfies the requirements of Section 26-1 of the School Code,
17		except that nothing shall be construed to require a child to
18		attend any particular public or nonpublic school to qualify for
19		the credit under this Section.
20		"Custodian" means, with respect to qualifying pupils, an
21		Illinois resident who is a parent, the parents, a legal
22		guardian, or the legal guardians of the qualifying pupils.
23		(n) River Edge Redevelopment Zone site remediation tax
24		credit.
25		(i) For tax years ending on or after December 31, 2006,
26		a taxpayer shall be allowed a credit against the tax

SB0690 Enrolled - 392 - LRB101 04451 HLH 49459 b
1		imposed by subsections (a) and (b) of this Section for
2		certain amounts paid for unreimbursed eligible remediation
3		costs, as specified in this subsection. For purposes of
4		this Section, "unreimbursed eligible remediation costs"
5		means costs approved by the Illinois Environmental
6		Protection Agency ("Agency") under Section 58.14a of the
7		Environmental Protection Act that were paid in performing
8		environmental remediation at a site within a River Edge
9		Redevelopment Zone for which a No Further Remediation
10		Letter was issued by the Agency and recorded under Section
11		58.10 of the Environmental Protection Act. The credit must
12		be claimed for the taxable year in which Agency approval of
13		the eligible remediation costs is granted. The credit is
14		not available to any taxpayer if the taxpayer or any
15		related party caused or contributed to, in any material
16		respect, a release of regulated substances on, in, or under
17		the site that was identified and addressed by the remedial
18		action pursuant to the Site Remediation Program of the
19		Environmental Protection Act. Determinations as to credit
20		availability for purposes of this Section shall be made
21		consistent with rules adopted by the Pollution Control
22		Board pursuant to the Illinois Administrative Procedure
23		Act for the administration and enforcement of Section 58.9
24		of the Environmental Protection Act. For purposes of this
25		Section, "taxpayer" includes a person whose tax attributes
26		the taxpayer has succeeded to under Section 381 of the

SB0690 Enrolled - 393 - LRB101 04451 HLH 49459 b
1		Internal Revenue Code and "related party" includes the
2		persons disallowed a deduction for losses by paragraphs
3		(b), (c), and (f)(1) of Section 267 of the Internal Revenue
4		Code by virtue of being a related taxpayer, as well as any
5		of its partners. The credit allowed against the tax imposed
6		by subsections (a) and (b) shall be equal to 25% of the
7		unreimbursed eligible remediation costs in excess of
8		$100,000 per site.
9		(ii) A credit allowed under this subsection that is
10		unused in the year the credit is earned may be carried
11		forward to each of the 5 taxable years following the year
12		for which the credit is first earned until it is used. This
13		credit shall be applied first to the earliest year for
14		which there is a liability. If there is a credit under this
15		subsection from more than one tax year that is available to
16		offset a liability, the earliest credit arising under this
17		subsection shall be applied first. A credit allowed under
18		this subsection may be sold to a buyer as part of a sale of
19		all or part of the remediation site for which the credit
20		was granted. The purchaser of a remediation site and the
21		tax credit shall succeed to the unused credit and remaining
22		carry-forward period of the seller. To perfect the
23		transfer, the assignor shall record the transfer in the
24		chain of title for the site and provide written notice to
25		the Director of the Illinois Department of Revenue of the
26		assignor's intent to sell the remediation site and the

SB0690 Enrolled - 394 - LRB101 04451 HLH 49459 b
1		amount of the tax credit to be transferred as a portion of
2		the sale. In no event may a credit be transferred to any
3		taxpayer if the taxpayer or a related party would not be
4		eligible under the provisions of subsection (i).
5		(iii) For purposes of this Section, the term "site"
6		shall have the same meaning as under Section 58.2 of the
7		Environmental Protection Act.
8		(o) For each of taxable years during the Compassionate Use
9		of Medical Cannabis Pilot Program, a surcharge is imposed on
10		all taxpayers on income arising from the sale or exchange of
11		capital assets, depreciable business property, real property
12		used in the trade or business, and Section 197 intangibles of
13		an organization registrant under the Compassionate Use of
14		Medical Cannabis Pilot Program Act. The amount of the surcharge
15		is equal to the amount of federal income tax liability for the
16		taxable year attributable to those sales and exchanges. The
17		surcharge imposed does not apply if:
18		(1) the medical cannabis cultivation center
19		registration, medical cannabis dispensary registration, or
20		the property of a registration is transferred as a result
21		of any of the following:
22		(A) bankruptcy, a receivership, or a debt
23		adjustment initiated by or against the initial
24		registration or the substantial owners of the initial
25		registration;
26		(B) cancellation, revocation, or termination of

SB0690 Enrolled - 395 - LRB101 04451 HLH 49459 b
1		any registration by the Illinois Department of Public
2		Health;
3		(C) a determination by the Illinois Department of
4		Public Health that transfer of the registration is in
5		the best interests of Illinois qualifying patients as
6		defined by the Compassionate Use of Medical Cannabis
7		Pilot Program Act;
8		(D) the death of an owner of the equity interest in
9		a registrant;
10		(E) the acquisition of a controlling interest in
11		the stock or substantially all of the assets of a
12		publicly traded company;
13		(F) a transfer by a parent company to a wholly
14		owned subsidiary; or
15		(G) the transfer or sale to or by one person to
16		another person where both persons were initial owners
17		of the registration when the registration was issued;
18		or
19		(2) the cannabis cultivation center registration,
20		medical cannabis dispensary registration, or the
21		controlling interest in a registrant's property is
22		transferred in a transaction to lineal descendants in which
23		no gain or loss is recognized or as a result of a
24		transaction in accordance with Section 351 of the Internal
25		Revenue Code in which no gain or loss is recognized.
26		(Source: P.A. 100-22, eff. 7-6-17.)

SB0690 Enrolled - 396 - LRB101 04451 HLH 49459 b
1		(35 ILCS 5/303) (from Ch. 120, par. 3-303)
2		Sec. 303. (a) In general. Any item of capital gain or loss,
3		and any item of income from rents or royalties from real or
4		tangible personal property, interest, dividends, and patent or
5		copyright royalties, and prizes awarded under the Illinois
6		Lottery Law, and, for taxable years ending on or after December
7		31, 2019, wagering and gambling winnings from Illinois sources
8		as set forth in subsection (e-1) of this Section, to the extent
9		such item constitutes nonbusiness income, together with any
10		item of deduction directly allocable thereto, shall be
11		allocated by any person other than a resident as provided in
12		this Section.
13		(b) Capital gains and losses.
14		(1) Real property. Capital gains and losses from sales
15		or exchanges of real property are allocable to this State
16		if the property is located in this State.
17		(2) Tangible personal property. Capital gains and
18		losses from sales or exchanges of tangible personal
19		property are allocable to this State if, at the time of
20		such sale or exchange:
21		(A) The property had its situs in this State; or
22		(B) The taxpayer had its commercial domicile in
23		this State and was not taxable in the state in which
24		the property had its situs.
25		(3) Intangibles. Capital gains and losses from sales or

SB0690 Enrolled - 397 - LRB101 04451 HLH 49459 b
1		exchanges of intangible personal property are allocable to
2		this State if the taxpayer had its commercial domicile in
3		this State at the time of such sale or exchange.
4		(c) Rents and royalties.
5		(1) Real property. Rents and royalties from real
6		property are allocable to this State if the property is
7		located in this State.
8		(2) Tangible personal property. Rents and royalties
9		from tangible personal property are allocable to this
10		State:
11		(A) If and to the extent that the property is
12		utilized in this State; or
13		(B) In their entirety if, at the time such rents or
14		royalties were paid or accrued, the taxpayer had its
15		commercial domicile in this State and was not organized
16		under the laws of or taxable with respect to such rents
17		or royalties in the state in which the property was
18		utilized. The extent of utilization of tangible
19		personal property in a state is determined by
20		multiplying the rents or royalties derived from such
21		property by a fraction, the numerator of which is the
22		number of days of physical location of the property in
23		the state during the rental or royalty period in the
24		taxable year and the denominator of which is the number
25		of days of physical location of the property everywhere
26		during all rental or royalty periods in the taxable

SB0690 Enrolled - 398 - LRB101 04451 HLH 49459 b
1		year. If the physical location of the property during
2		the rental or royalty period is unknown or
3		unascertainable by the taxpayer, tangible personal
4		property is utilized in the state in which the property
5		was located at the time the rental or royalty payer
6		obtained possession.
7		(d) Patent and copyright royalties.
8		(1) Allocation. Patent and copyright royalties are
9		allocable to this State:
10		(A) If and to the extent that the patent or
11		copyright is utilized by the payer in this State; or
12		(B) If and to the extent that the patent or
13		copyright is utilized by the payer in a state in which
14		the taxpayer is not taxable with respect to such
15		royalties and, at the time such royalties were paid or
16		accrued, the taxpayer had its commercial domicile in
17		this State.
18		(2) Utilization.
19		(A) A patent is utilized in a state to the extent
20		that it is employed in production, fabrication,
21		manufacturing or other processing in the state or to
22		the extent that a patented product is produced in the
23		state. If the basis of receipts from patent royalties
24		does not permit allocation to states or if the
25		accounting procedures do not reflect states of
26		utilization, the patent is utilized in this State if

SB0690 Enrolled - 399 - LRB101 04451 HLH 49459 b
1		the taxpayer has its commercial domicile in this State.
2		(B) A copyright is utilized in a state to the
3		extent that printing or other publication originates
4		in the state. If the basis of receipts from copyright
5		royalties does not permit allocation to states or if
6		the accounting procedures do not reflect states of
7		utilization, the copyright is utilized in this State if
8		the taxpayer has its commercial domicile in this State.
9		(e) Illinois lottery prizes. Prizes awarded under the
10		Illinois Lottery Law are allocable to this State. Payments
11		received in taxable years ending on or after December 31, 2013,
12		from the assignment of a prize under Section 13.1 of the
13		Illinois Lottery Law are allocable to this State.
14		(e-1) Wagering and gambling winnings. Payments received in
15		taxable years ending on or after December 31, 2019 of winnings
16		from pari-mutuel wagering conducted at a wagering facility
17		licensed under the Illinois Horse Racing Act of 1975 and from
18		gambling games conducted on a riverboat or in a casino or
19		organization gaming facility licensed under the Illinois
20		Gambling Act are allocable to this State.
21		(e-5) Unemployment benefits. Unemployment benefits paid by
22		the Illinois Department of Employment Security are allocable to
23		this State.
24		(f) Taxability in other state. For purposes of allocation
25		of income pursuant to this Section, a taxpayer is taxable in
26		another state if:

SB0690 Enrolled - 400 - LRB101 04451 HLH 49459 b
1		(1) In that state he is subject to a net income tax, a
2		franchise tax measured by net income, a franchise tax for
3		the privilege of doing business, or a corporate stock tax;
4		or
5		(2) That state has jurisdiction to subject the taxpayer
6		to a net income tax regardless of whether, in fact, the
7		state does or does not.
8		(g) Cross references.
9		(1) For allocation of interest and dividends by persons
10		other than residents, see Section 301(c)(2).
11		(2) For allocation of nonbusiness income by residents,
12		see Section 301(a).
13		(Source: P.A. 97-709, eff. 7-1-12; 98-496, eff. 1-1-14.)
14		(35 ILCS 5/304) (from Ch. 120, par. 3-304)
15		Sec. 304. Business income of persons other than residents.
16		(a) In general. The business income of a person other than
17		a resident shall be allocated to this State if such person's
18		business income is derived solely from this State. If a person
19		other than a resident derives business income from this State
20		and one or more other states, then, for tax years ending on or
21		before December 30, 1998, and except as otherwise provided by
22		this Section, such person's business income shall be
23		apportioned to this State by multiplying the income by a
24		fraction, the numerator of which is the sum of the property
25		factor (if any), the payroll factor (if any) and 200% of the

SB0690 Enrolled - 401 - LRB101 04451 HLH 49459 b
1		sales factor (if any), and the denominator of which is 4
2		reduced by the number of factors other than the sales factor
3		which have a denominator of zero and by an additional 2 if the
4		sales factor has a denominator of zero. For tax years ending on
5		or after December 31, 1998, and except as otherwise provided by
6		this Section, persons other than residents who derive business
7		income from this State and one or more other states shall
8		compute their apportionment factor by weighting their
9		property, payroll, and sales factors as provided in subsection
10		(h) of this Section.
11		(1) Property factor.
12		(A) The property factor is a fraction, the numerator of
13		which is the average value of the person's real and
14		tangible personal property owned or rented and used in the
15		trade or business in this State during the taxable year and
16		the denominator of which is the average value of all the
17		person's real and tangible personal property owned or
18		rented and used in the trade or business during the taxable
19		year.
20		(B) Property owned by the person is valued at its
21		original cost. Property rented by the person is valued at 8
22		times the net annual rental rate. Net annual rental rate is
23		the annual rental rate paid by the person less any annual
24		rental rate received by the person from sub-rentals.
25		(C) The average value of property shall be determined
26		by averaging the values at the beginning and ending of the

SB0690 Enrolled - 402 - LRB101 04451 HLH 49459 b
1		taxable year but the Director may require the averaging of
2		monthly values during the taxable year if reasonably
3		required to reflect properly the average value of the
4		person's property.
5		(2) Payroll factor.
6		(A) The payroll factor is a fraction, the numerator of
7		which is the total amount paid in this State during the
8		taxable year by the person for compensation, and the
9		denominator of which is the total compensation paid
10		everywhere during the taxable year.
11		(B) Compensation is paid in this State if:
12		(i) The individual's service is performed entirely
13		within this State;
14		(ii) The individual's service is performed both
15		within and without this State, but the service
16		performed without this State is incidental to the
17		individual's service performed within this State; or
18		(iii) Some of the service is performed within this
19		State and either the base of operations, or if there is
20		no base of operations, the place from which the service
21		is directed or controlled is within this State, or the
22		base of operations or the place from which the service
23		is directed or controlled is not in any state in which
24		some part of the service is performed, but the
25		individual's residence is in this State.
26		(iv) Compensation paid to nonresident professional

SB0690 Enrolled - 403 - LRB101 04451 HLH 49459 b
1		athletes.
2		(a) General. The Illinois source income of a
3		nonresident individual who is a member of a
4		professional athletic team includes the portion of the
5		individual's total compensation for services performed
6		as a member of a professional athletic team during the
7		taxable year which the number of duty days spent within
8		this State performing services for the team in any
9		manner during the taxable year bears to the total
10		number of duty days spent both within and without this
11		State during the taxable year.
12		(b) Travel days. Travel days that do not involve
13		either a game, practice, team meeting, or other similar
14		team event are not considered duty days spent in this
15		State. However, such travel days are considered in the
16		total duty days spent both within and without this
17		State.
18		(c) Definitions. For purposes of this subpart
19		(iv):
20		(1) The term "professional athletic team"
21		includes, but is not limited to, any professional
22		baseball, basketball, football, soccer, or hockey
23		team.
24		(2) The term "member of a professional
25		athletic team" includes those employees who are
26		active players, players on the disabled list, and

SB0690 Enrolled - 404 - LRB101 04451 HLH 49459 b
1		any other persons required to travel and who travel
2		with and perform services on behalf of a
3		professional athletic team on a regular basis.
4		This includes, but is not limited to, coaches,
5		managers, and trainers.
6		(3) Except as provided in items (C) and (D) of
7		this subpart (3), the term "duty days" means all
8		days during the taxable year from the beginning of
9		the professional athletic team's official
10		pre-season training period through the last game
11		in which the team competes or is scheduled to
12		compete. Duty days shall be counted for the year in
13		which they occur, including where a team's
14		official pre-season training period through the
15		last game in which the team competes or is
16		scheduled to compete, occurs during more than one
17		tax year.
18		(A) Duty days shall also include days on
19		which a member of a professional athletic team
20		performs service for a team on a date that does
21		not fall within the foregoing period (e.g.,
22		participation in instructional leagues, the
23		"All Star Game", or promotional "caravans").
24		Performing a service for a professional
25		athletic team includes conducting training and
26		rehabilitation activities, when such

SB0690 Enrolled - 405 - LRB101 04451 HLH 49459 b
1		activities are conducted at team facilities.
2		(B) Also included in duty days are game
3		days, practice days, days spent at team
4		meetings, promotional caravans, preseason
5		training camps, and days served with the team
6		through all post-season games in which the team
7		competes or is scheduled to compete.
8		(C) Duty days for any person who joins a
9		team during the period from the beginning of
10		the professional athletic team's official
11		pre-season training period through the last
12		game in which the team competes, or is
13		scheduled to compete, shall begin on the day
14		that person joins the team. Conversely, duty
15		days for any person who leaves a team during
16		this period shall end on the day that person
17		leaves the team. Where a person switches teams
18		during a taxable year, a separate duty-day
19		calculation shall be made for the period the
20		person was with each team.
21		(D) Days for which a member of a
22		professional athletic team is not compensated
23		and is not performing services for the team in
24		any manner, including days when such member of
25		a professional athletic team has been
26		suspended without pay and prohibited from

SB0690 Enrolled - 406 - LRB101 04451 HLH 49459 b
1		performing any services for the team, shall not
2		be treated as duty days.
3		(E) Days for which a member of a
4		professional athletic team is on the disabled
5		list and does not conduct rehabilitation
6		activities at facilities of the team, and is
7		not otherwise performing services for the team
8		in Illinois, shall not be considered duty days
9		spent in this State. All days on the disabled
10		list, however, are considered to be included in
11		total duty days spent both within and without
12		this State.
13		(4) The term "total compensation for services
14		performed as a member of a professional athletic
15		team" means the total compensation received during
16		the taxable year for services performed:
17		(A) from the beginning of the official
18		pre-season training period through the last
19		game in which the team competes or is scheduled
20		to compete during that taxable year; and
21		(B) during the taxable year on a date which
22		does not fall within the foregoing period
23		(e.g., participation in instructional leagues,
24		the "All Star Game", or promotional caravans).
25		This compensation shall include, but is not
26		limited to, salaries, wages, bonuses as described

SB0690 Enrolled - 407 - LRB101 04451 HLH 49459 b
1		in this subpart, and any other type of compensation
2		paid during the taxable year to a member of a
3		professional athletic team for services performed
4		in that year. This compensation does not include
5		strike benefits, severance pay, termination pay,
6		contract or option year buy-out payments,
7		expansion or relocation payments, or any other
8		payments not related to services performed for the
9		team.
10		For purposes of this subparagraph, "bonuses"
11		included in "total compensation for services
12		performed as a member of a professional athletic
13		team" subject to the allocation described in
14		Section 302(c)(1) are: bonuses earned as a result
15		of play (i.e., performance bonuses) during the
16		season, including bonuses paid for championship,
17		playoff or "bowl" games played by a team, or for
18		selection to all-star league or other honorary
19		positions; and bonuses paid for signing a
20		contract, unless the payment of the signing bonus
21		is not conditional upon the signee playing any
22		games for the team or performing any subsequent
23		services for the team or even making the team, the
24		signing bonus is payable separately from the
25		salary and any other compensation, and the signing
26		bonus is nonrefundable.

SB0690 Enrolled - 408 - LRB101 04451 HLH 49459 b
1		(3) Sales factor.
2		(A) The sales factor is a fraction, the numerator of
3		which is the total sales of the person in this State during
4		the taxable year, and the denominator of which is the total
5		sales of the person everywhere during the taxable year.
6		(B) Sales of tangible personal property are in this
7		State if:
8		(i) The property is delivered or shipped to a
9		purchaser, other than the United States government,
10		within this State regardless of the f. o. b. point or
11		other conditions of the sale; or
12		(ii) The property is shipped from an office, store,
13		warehouse, factory or other place of storage in this
14		State and either the purchaser is the United States
15		government or the person is not taxable in the state of
16		the purchaser; provided, however, that premises owned
17		or leased by a person who has independently contracted
18		with the seller for the printing of newspapers,
19		periodicals or books shall not be deemed to be an
20		office, store, warehouse, factory or other place of
21		storage for purposes of this Section. Sales of tangible
22		personal property are not in this State if the seller
23		and purchaser would be members of the same unitary
24		business group but for the fact that either the seller
25		or purchaser is a person with 80% or more of total
26		business activity outside of the United States and the

SB0690 Enrolled - 409 - LRB101 04451 HLH 49459 b
1		property is purchased for resale.
2		(B-1) Patents, copyrights, trademarks, and similar
3		items of intangible personal property.
4		(i) Gross receipts from the licensing, sale, or
5		other disposition of a patent, copyright, trademark,
6		or similar item of intangible personal property, other
7		than gross receipts governed by paragraph (B-7) of this
8		item (3), are in this State to the extent the item is
9		utilized in this State during the year the gross
10		receipts are included in gross income.
11		(ii) Place of utilization.
12		(I) A patent is utilized in a state to the
13		extent that it is employed in production,
14		fabrication, manufacturing, or other processing in
15		the state or to the extent that a patented product
16		is produced in the state. If a patent is utilized
17		in more than one state, the extent to which it is
18		utilized in any one state shall be a fraction equal
19		to the gross receipts of the licensee or purchaser
20		from sales or leases of items produced,
21		fabricated, manufactured, or processed within that
22		state using the patent and of patented items
23		produced within that state, divided by the total of
24		such gross receipts for all states in which the
25		patent is utilized.
26		(II) A copyright is utilized in a state to the

SB0690 Enrolled - 410 - LRB101 04451 HLH 49459 b
1		extent that printing or other publication
2		originates in the state. If a copyright is utilized
3		in more than one state, the extent to which it is
4		utilized in any one state shall be a fraction equal
5		to the gross receipts from sales or licenses of
6		materials printed or published in that state
7		divided by the total of such gross receipts for all
8		states in which the copyright is utilized.
9		(III) Trademarks and other items of intangible
10		personal property governed by this paragraph (B-1)
11		are utilized in the state in which the commercial
12		domicile of the licensee or purchaser is located.
13		(iii) If the state of utilization of an item of
14		property governed by this paragraph (B-1) cannot be
15		determined from the taxpayer's books and records or
16		from the books and records of any person related to the
17		taxpayer within the meaning of Section 267(b) of the
18		Internal Revenue Code, 26 U.S.C. 267, the gross
19		receipts attributable to that item shall be excluded
20		from both the numerator and the denominator of the
21		sales factor.
22		(B-2) Gross receipts from the license, sale, or other
23		disposition of patents, copyrights, trademarks, and
24		similar items of intangible personal property, other than
25		gross receipts governed by paragraph (B-7) of this item
26		(3), may be included in the numerator or denominator of the

SB0690 Enrolled - 411 - LRB101 04451 HLH 49459 b
1		sales factor only if gross receipts from licenses, sales,
2		or other disposition of such items comprise more than 50%
3		of the taxpayer's total gross receipts included in gross
4		income during the tax year and during each of the 2
5		immediately preceding tax years; provided that, when a
6		taxpayer is a member of a unitary business group, such
7		determination shall be made on the basis of the gross
8		receipts of the entire unitary business group.
9		(B-5) For taxable years ending on or after December 31,
10		2008, except as provided in subsections (ii) through (vii),
11		receipts from the sale of telecommunications service or
12		mobile telecommunications service are in this State if the
13		customer's service address is in this State.
14		(i) For purposes of this subparagraph (B-5), the
15		following terms have the following meanings:
16		"Ancillary services" means services that are
17		associated with or incidental to the provision of
18		"telecommunications services", including but not
19		limited to "detailed telecommunications billing",
20		"directory assistance", "vertical service", and "voice
21		mail services".
22		"Air-to-Ground Radiotelephone service" means a
23		radio service, as that term is defined in 47 CFR 22.99,
24		in which common carriers are authorized to offer and
25		provide radio telecommunications service for hire to
26		subscribers in aircraft.

SB0690 Enrolled - 412 - LRB101 04451 HLH 49459 b
1		"Call-by-call Basis" means any method of charging
2		for telecommunications services where the price is
3		measured by individual calls.
4		"Communications Channel" means a physical or
5		virtual path of communications over which signals are
6		transmitted between or among customer channel
7		termination points.
8		"Conference bridging service" means an "ancillary
9		service" that links two or more participants of an
10		audio or video conference call and may include the
11		provision of a telephone number. "Conference bridging
12		service" does not include the "telecommunications
13		services" used to reach the conference bridge.
14		"Customer Channel Termination Point" means the
15		location where the customer either inputs or receives
16		the communications.
17		"Detailed telecommunications billing service"
18		means an "ancillary service" of separately stating
19		information pertaining to individual calls on a
20		customer's billing statement.
21		"Directory assistance" means an "ancillary
22		service" of providing telephone number information,
23		and/or address information.
24		"Home service provider" means the facilities based
25		carrier or reseller with which the customer contracts
26		for the provision of mobile telecommunications

SB0690 Enrolled - 413 - LRB101 04451 HLH 49459 b
1		services.
2		"Mobile telecommunications service" means
3		commercial mobile radio service, as defined in Section
4		20.3 of Title 47 of the Code of Federal Regulations as
5		in effect on June 1, 1999.
6		"Place of primary use" means the street address
7		representative of where the customer's use of the
8		telecommunications service primarily occurs, which
9		must be the residential street address or the primary
10		business street address of the customer. In the case of
11		mobile telecommunications services, "place of primary
12		use" must be within the licensed service area of the
13		home service provider.
14		"Post-paid telecommunication service" means the
15		telecommunications service obtained by making a
16		payment on a call-by-call basis either through the use
17		of a credit card or payment mechanism such as a bank
18		card, travel card, credit card, or debit card, or by
19		charge made to a telephone number which is not
20		associated with the origination or termination of the
21		telecommunications service. A post-paid calling
22		service includes telecommunications service, except a
23		prepaid wireless calling service, that would be a
24		prepaid calling service except it is not exclusively a
25		telecommunication service.
26		"Prepaid telecommunication service" means the

SB0690 Enrolled - 414 - LRB101 04451 HLH 49459 b
1		right to access exclusively telecommunications
2		services, which must be paid for in advance and which
3		enables the origination of calls using an access number
4		or authorization code, whether manually or
5		electronically dialed, and that is sold in
6		predetermined units or dollars of which the number
7		declines with use in a known amount.
8		"Prepaid Mobile telecommunication service" means a
9		telecommunications service that provides the right to
10		utilize mobile wireless service as well as other
11		non-telecommunication services, including but not
12		limited to ancillary services, which must be paid for
13		in advance that is sold in predetermined units or
14		dollars of which the number declines with use in a
15		known amount.
16		"Private communication service" means a
17		telecommunication service that entitles the customer
18		to exclusive or priority use of a communications
19		channel or group of channels between or among
20		termination points, regardless of the manner in which
21		such channel or channels are connected, and includes
22		switching capacity, extension lines, stations, and any
23		other associated services that are provided in
24		connection with the use of such channel or channels.
25		"Service address" means:
26		(a) The location of the telecommunications

SB0690 Enrolled - 415 - LRB101 04451 HLH 49459 b
1		equipment to which a customer's call is charged and
2		from which the call originates or terminates,
3		regardless of where the call is billed or paid;
4		(b) If the location in line (a) is not known,
5		service address means the origination point of the
6		signal of the telecommunications services first
7		identified by either the seller's
8		telecommunications system or in information
9		received by the seller from its service provider
10		where the system used to transport such signals is
11		not that of the seller; and
12		(c) If the locations in line (a) and line (b)
13		are not known, the service address means the
14		location of the customer's place of primary use.
15		"Telecommunications service" means the electronic
16		transmission, conveyance, or routing of voice, data,
17		audio, video, or any other information or signals to a
18		point, or between or among points. The term
19		"telecommunications service" includes such
20		transmission, conveyance, or routing in which computer
21		processing applications are used to act on the form,
22		code or protocol of the content for purposes of
23		transmission, conveyance or routing without regard to
24		whether such service is referred to as voice over
25		Internet protocol services or is classified by the
26		Federal Communications Commission as enhanced or value

SB0690 Enrolled - 416 - LRB101 04451 HLH 49459 b
1		added. "Telecommunications service" does not include:
2		(a) Data processing and information services
3		that allow data to be generated, acquired, stored,
4		processed, or retrieved and delivered by an
5		electronic transmission to a purchaser when such
6		purchaser's primary purpose for the underlying
7		transaction is the processed data or information;
8		(b) Installation or maintenance of wiring or
9		equipment on a customer's premises;
10		(c) Tangible personal property;
11		(d) Advertising, including but not limited to
12		directory advertising;
13		(e) Billing and collection services provided
14		to third parties;
15		(f) Internet access service;
16		(g) Radio and television audio and video
17		programming services, regardless of the medium,
18		including the furnishing of transmission,
19		conveyance and routing of such services by the
20		programming service provider. Radio and television
21		audio and video programming services shall include
22		but not be limited to cable service as defined in
23		47 USC 522(6) and audio and video programming
24		services delivered by commercial mobile radio
25		service providers, as defined in 47 CFR 20.3;
26		(h) "Ancillary services"; or

SB0690 Enrolled - 417 - LRB101 04451 HLH 49459 b
1		(i) Digital products "delivered
2		electronically", including but not limited to
3		software, music, video, reading materials or ring
4		tones.
5		"Vertical service" means an "ancillary service"
6		that is offered in connection with one or more
7		"telecommunications services", which offers advanced
8		calling features that allow customers to identify
9		callers and to manage multiple calls and call
10		connections, including "conference bridging services".
11		"Voice mail service" means an "ancillary service"
12		that enables the customer to store, send or receive
13		recorded messages. "Voice mail service" does not
14		include any "vertical services" that the customer may
15		be required to have in order to utilize the "voice mail
16		service".
17		(ii) Receipts from the sale of telecommunications
18		service sold on an individual call-by-call basis are in
19		this State if either of the following applies:
20		(a) The call both originates and terminates in
21		this State.
22		(b) The call either originates or terminates
23		in this State and the service address is located in
24		this State.
25		(iii) Receipts from the sale of postpaid
26		telecommunications service at retail are in this State

SB0690 Enrolled - 418 - LRB101 04451 HLH 49459 b
1		if the origination point of the telecommunication
2		signal, as first identified by the service provider's
3		telecommunication system or as identified by
4		information received by the seller from its service
5		provider if the system used to transport
6		telecommunication signals is not the seller's, is
7		located in this State.
8		(iv) Receipts from the sale of prepaid
9		telecommunications service or prepaid mobile
10		telecommunications service at retail are in this State
11		if the purchaser obtains the prepaid card or similar
12		means of conveyance at a location in this State.
13		Receipts from recharging a prepaid telecommunications
14		service or mobile telecommunications service is in
15		this State if the purchaser's billing information
16		indicates a location in this State.
17		(v) Receipts from the sale of private
18		communication services are in this State as follows:
19		(a) 100% of receipts from charges imposed at
20		each channel termination point in this State.
21		(b) 100% of receipts from charges for the total
22		channel mileage between each channel termination
23		point in this State.
24		(c) 50% of the total receipts from charges for
25		service segments when those segments are between 2
26		customer channel termination points, 1 of which is

SB0690 Enrolled - 419 - LRB101 04451 HLH 49459 b
1		located in this State and the other is located
2		outside of this State, which segments are
3		separately charged.
4		(d) The receipts from charges for service
5		segments with a channel termination point located
6		in this State and in two or more other states, and
7		which segments are not separately billed, are in
8		this State based on a percentage determined by
9		dividing the number of customer channel
10		termination points in this State by the total
11		number of customer channel termination points.
12		(vi) Receipts from charges for ancillary services
13		for telecommunications service sold to customers at
14		retail are in this State if the customer's primary
15		place of use of telecommunications services associated
16		with those ancillary services is in this State. If the
17		seller of those ancillary services cannot determine
18		where the associated telecommunications are located,
19		then the ancillary services shall be based on the
20		location of the purchaser.
21		(vii) Receipts to access a carrier's network or
22		from the sale of telecommunication services or
23		ancillary services for resale are in this State as
24		follows:
25		(a) 100% of the receipts from access fees
26		attributable to intrastate telecommunications

SB0690 Enrolled - 420 - LRB101 04451 HLH 49459 b
1		service that both originates and terminates in
2		this State.
3		(b) 50% of the receipts from access fees
4		attributable to interstate telecommunications
5		service if the interstate call either originates
6		or terminates in this State.
7		(c) 100% of the receipts from interstate end
8		user access line charges, if the customer's
9		service address is in this State. As used in this
10		subdivision, "interstate end user access line
11		charges" includes, but is not limited to, the
12		surcharge approved by the federal communications
13		commission and levied pursuant to 47 CFR 69.
14		(d) Gross receipts from sales of
15		telecommunication services or from ancillary
16		services for telecommunications services sold to
17		other telecommunication service providers for
18		resale shall be sourced to this State using the
19		apportionment concepts used for non-resale
20		receipts of telecommunications services if the
21		information is readily available to make that
22		determination. If the information is not readily
23		available, then the taxpayer may use any other
24		reasonable and consistent method.
25		(B-7) For taxable years ending on or after December 31,
26		2008, receipts from the sale of broadcasting services are

SB0690 Enrolled - 421 - LRB101 04451 HLH 49459 b
1		in this State if the broadcasting services are received in
2		this State. For purposes of this paragraph (B-7), the
3		following terms have the following meanings:
4		"Advertising revenue" means consideration received
5		by the taxpayer in exchange for broadcasting services
6		or allowing the broadcasting of commercials or
7		announcements in connection with the broadcasting of
8		film or radio programming, from sponsorships of the
9		programming, or from product placements in the
10		programming.
11		"Audience factor" means the ratio that the
12		audience or subscribers located in this State of a
13		station, a network, or a cable system bears to the
14		total audience or total subscribers for that station,
15		network, or cable system. The audience factor for film
16		or radio programming shall be determined by reference
17		to the books and records of the taxpayer or by
18		reference to published rating statistics provided the
19		method used by the taxpayer is consistently used from
20		year to year for this purpose and fairly represents the
21		taxpayer's activity in this State.
22		"Broadcast" or "broadcasting" or "broadcasting
23		services" means the transmission or provision of film
24		or radio programming, whether through the public
25		airwaves, by cable, by direct or indirect satellite
26		transmission, or by any other means of communication,

SB0690 Enrolled - 422 - LRB101 04451 HLH 49459 b
1		either through a station, a network, or a cable system.
2		"Film" or "film programming" means the broadcast
3		on television of any and all performances, events, or
4		productions, including but not limited to news,
5		sporting events, plays, stories, or other literary,
6		commercial, educational, or artistic works, either
7		live or through the use of video tape, disc, or any
8		other type of format or medium. Each episode of a
9		series of films produced for television shall
10		constitute separate "film" notwithstanding that the
11		series relates to the same principal subject and is
12		produced during one or more tax periods.
13		"Radio" or "radio programming" means the broadcast
14		on radio of any and all performances, events, or
15		productions, including but not limited to news,
16		sporting events, plays, stories, or other literary,
17		commercial, educational, or artistic works, either
18		live or through the use of an audio tape, disc, or any
19		other format or medium. Each episode in a series of
20		radio programming produced for radio broadcast shall
21		constitute a separate "radio programming"
22		notwithstanding that the series relates to the same
23		principal subject and is produced during one or more
24		tax periods.
25		(i) In the case of advertising revenue from
26		broadcasting, the customer is the advertiser and

SB0690 Enrolled - 423 - LRB101 04451 HLH 49459 b
1		the service is received in this State if the
2		commercial domicile of the advertiser is in this
3		State.
4		(ii) In the case where film or radio
5		programming is broadcast by a station, a network,
6		or a cable system for a fee or other remuneration
7		received from the recipient of the broadcast, the
8		portion of the service that is received in this
9		State is measured by the portion of the recipients
10		of the broadcast located in this State.
11		Accordingly, the fee or other remuneration for
12		such service that is included in the Illinois
13		numerator of the sales factor is the total of those
14		fees or other remuneration received from
15		recipients in Illinois. For purposes of this
16		paragraph, a taxpayer may determine the location
17		of the recipients of its broadcast using the
18		address of the recipient shown in its contracts
19		with the recipient or using the billing address of
20		the recipient in the taxpayer's records.
21		(iii) In the case where film or radio
22		programming is broadcast by a station, a network,
23		or a cable system for a fee or other remuneration
24		from the person providing the programming, the
25		portion of the broadcast service that is received
26		by such station, network, or cable system in this

SB0690 Enrolled - 424 - LRB101 04451 HLH 49459 b
1		State is measured by the portion of recipients of
2		the broadcast located in this State. Accordingly,
3		the amount of revenue related to such an
4		arrangement that is included in the Illinois
5		numerator of the sales factor is the total fee or
6		other total remuneration from the person providing
7		the programming related to that broadcast
8		multiplied by the Illinois audience factor for
9		that broadcast.
10		(iv) In the case where film or radio
11		programming is provided by a taxpayer that is a
12		network or station to a customer for broadcast in
13		exchange for a fee or other remuneration from that
14		customer the broadcasting service is received at
15		the location of the office of the customer from
16		which the services were ordered in the regular
17		course of the customer's trade or business.
18		Accordingly, in such a case the revenue derived by
19		the taxpayer that is included in the taxpayer's
20		Illinois numerator of the sales factor is the
21		revenue from such customers who receive the
22		broadcasting service in Illinois.
23		(v) In the case where film or radio programming
24		is provided by a taxpayer that is not a network or
25		station to another person for broadcasting in
26		exchange for a fee or other remuneration from that

SB0690 Enrolled - 425 - LRB101 04451 HLH 49459 b
1		person, the broadcasting service is received at
2		the location of the office of the customer from
3		which the services were ordered in the regular
4		course of the customer's trade or business.
5		Accordingly, in such a case the revenue derived by
6		the taxpayer that is included in the taxpayer's
7		Illinois numerator of the sales factor is the
8		revenue from such customers who receive the
9		broadcasting service in Illinois.
10		(B-8) Gross receipts from winnings under the Illinois
11		Lottery Law from the assignment of a prize under Section
12		13.1 of the Illinois Lottery Law are received in this
13		State. This paragraph (B-8) applies only to taxable years
14		ending on or after December 31, 2013.
15		(B-9) For taxable years ending on or after December 31,
16		2019, gross receipts from winnings from pari-mutuel
17		wagering conducted at a wagering facility licensed under
18		the Illinois Horse Racing Act of 1975 or from winnings from
19		gambling games conducted on a riverboat or in a casino or
20		organization gaming facility licensed under the Illinois
21		Gambling Act are in this State.
22		(C) For taxable years ending before December 31, 2008,
23		sales, other than sales governed by paragraphs (B), (B-1),
24		(B-2), and (B-8) are in this State if:
25		(i) The income-producing activity is performed in
26		this State; or

SB0690 Enrolled - 426 - LRB101 04451 HLH 49459 b
1		(ii) The income-producing activity is performed
2		both within and without this State and a greater
3		proportion of the income-producing activity is
4		performed within this State than without this State,
5		based on performance costs.
6		(C-5) For taxable years ending on or after December 31,
7		2008, sales, other than sales governed by paragraphs (B),
8		(B-1), (B-2), (B-5), and (B-7), are in this State if any of
9		the following criteria are met:
10		(i) Sales from the sale or lease of real property
11		are in this State if the property is located in this
12		State.
13		(ii) Sales from the lease or rental of tangible
14		personal property are in this State if the property is
15		located in this State during the rental period. Sales
16		from the lease or rental of tangible personal property
17		that is characteristically moving property, including,
18		but not limited to, motor vehicles, rolling stock,
19		aircraft, vessels, or mobile equipment are in this
20		State to the extent that the property is used in this
21		State.
22		(iii) In the case of interest, net gains (but not
23		less than zero) and other items of income from
24		intangible personal property, the sale is in this State
25		if:
26		(a) in the case of a taxpayer who is a dealer

SB0690 Enrolled - 427 - LRB101 04451 HLH 49459 b
1		in the item of intangible personal property within
2		the meaning of Section 475 of the Internal Revenue
3		Code, the income or gain is received from a
4		customer in this State. For purposes of this
5		subparagraph, a customer is in this State if the
6		customer is an individual, trust or estate who is a
7		resident of this State and, for all other
8		customers, if the customer's commercial domicile
9		is in this State. Unless the dealer has actual
10		knowledge of the residence or commercial domicile
11		of a customer during a taxable year, the customer
12		shall be deemed to be a customer in this State if
13		the billing address of the customer, as shown in
14		the records of the dealer, is in this State; or
15		(b) in all other cases, if the
16		income-producing activity of the taxpayer is
17		performed in this State or, if the
18		income-producing activity of the taxpayer is
19		performed both within and without this State, if a
20		greater proportion of the income-producing
21		activity of the taxpayer is performed within this
22		State than in any other state, based on performance
23		costs.
24		(iv) Sales of services are in this State if the
25		services are received in this State. For the purposes
26		of this section, gross receipts from the performance of

SB0690 Enrolled - 428 - LRB101 04451 HLH 49459 b
1		services provided to a corporation, partnership, or
2		trust may only be attributed to a state where that
3		corporation, partnership, or trust has a fixed place of
4		business. If the state where the services are received
5		is not readily determinable or is a state where the
6		corporation, partnership, or trust receiving the
7		service does not have a fixed place of business, the
8		services shall be deemed to be received at the location
9		of the office of the customer from which the services
10		were ordered in the regular course of the customer's
11		trade or business. If the ordering office cannot be
12		determined, the services shall be deemed to be received
13		at the office of the customer to which the services are
14		billed. If the taxpayer is not taxable in the state in
15		which the services are received, the sale must be
16		excluded from both the numerator and the denominator of
17		the sales factor. The Department shall adopt rules
18		prescribing where specific types of service are
19		received, including, but not limited to, publishing,
20		and utility service.
21		(D) For taxable years ending on or after December 31,
22		1995, the following items of income shall not be included
23		in the numerator or denominator of the sales factor:
24		dividends; amounts included under Section 78 of the
25		Internal Revenue Code; and Subpart F income as defined in
26		Section 952 of the Internal Revenue Code. No inference

SB0690 Enrolled - 429 - LRB101 04451 HLH 49459 b
1		shall be drawn from the enactment of this paragraph (D) in
2		construing this Section for taxable years ending before
3		December 31, 1995.
4		(E) Paragraphs (B-1) and (B-2) shall apply to tax years
5		ending on or after December 31, 1999, provided that a
6		taxpayer may elect to apply the provisions of these
7		paragraphs to prior tax years. Such election shall be made
8		in the form and manner prescribed by the Department, shall
9		be irrevocable, and shall apply to all tax years; provided
10		that, if a taxpayer's Illinois income tax liability for any
11		tax year, as assessed under Section 903 prior to January 1,
12		1999, was computed in a manner contrary to the provisions
13		of paragraphs (B-1) or (B-2), no refund shall be payable to
14		the taxpayer for that tax year to the extent such refund is
15		the result of applying the provisions of paragraph (B-1) or
16		(B-2) retroactively. In the case of a unitary business
17		group, such election shall apply to all members of such
18		group for every tax year such group is in existence, but
19		shall not apply to any taxpayer for any period during which
20		that taxpayer is not a member of such group.
21		(b) Insurance companies.
22		(1) In general. Except as otherwise provided by
23		paragraph (2), business income of an insurance company for
24		a taxable year shall be apportioned to this State by
25		multiplying such income by a fraction, the numerator of
26		which is the direct premiums written for insurance upon

SB0690 Enrolled - 430 - LRB101 04451 HLH 49459 b
1		property or risk in this State, and the denominator of
2		which is the direct premiums written for insurance upon
3		property or risk everywhere. For purposes of this
4		subsection, the term "direct premiums written" means the
5		total amount of direct premiums written, assessments and
6		annuity considerations as reported for the taxable year on
7		the annual statement filed by the company with the Illinois
8		Director of Insurance in the form approved by the National
9		Convention of Insurance Commissioners or such other form as
10		may be prescribed in lieu thereof.
11		(2) Reinsurance. If the principal source of premiums
12		written by an insurance company consists of premiums for
13		reinsurance accepted by it, the business income of such
14		company shall be apportioned to this State by multiplying
15		such income by a fraction, the numerator of which is the
16		sum of (i) direct premiums written for insurance upon
17		property or risk in this State, plus (ii) premiums written
18		for reinsurance accepted in respect of property or risk in
19		this State, and the denominator of which is the sum of
20		(iii) direct premiums written for insurance upon property
21		or risk everywhere, plus (iv) premiums written for
22		reinsurance accepted in respect of property or risk
23		everywhere. For purposes of this paragraph, premiums
24		written for reinsurance accepted in respect of property or
25		risk in this State, whether or not otherwise determinable,
26		may, at the election of the company, be determined on the

SB0690 Enrolled - 431 - LRB101 04451 HLH 49459 b
1		basis of the proportion which premiums written for
2		reinsurance accepted from companies commercially domiciled
3		in Illinois bears to premiums written for reinsurance
4		accepted from all sources, or, alternatively, in the
5		proportion which the sum of the direct premiums written for
6		insurance upon property or risk in this State by each
7		ceding company from which reinsurance is accepted bears to
8		the sum of the total direct premiums written by each such
9		ceding company for the taxable year. The election made by a
10		company under this paragraph for its first taxable year
11		ending on or after December 31, 2011, shall be binding for
12		that company for that taxable year and for all subsequent
13		taxable years, and may be altered only with the written
14		permission of the Department, which shall not be
15		unreasonably withheld.
16		(c) Financial organizations.
17		(1) In general. For taxable years ending before
18		December 31, 2008, business income of a financial
19		organization shall be apportioned to this State by
20		multiplying such income by a fraction, the numerator of
21		which is its business income from sources within this
22		State, and the denominator of which is its business income
23		from all sources. For the purposes of this subsection, the
24		business income of a financial organization from sources
25		within this State is the sum of the amounts referred to in
26		subparagraphs (A) through (E) following, but excluding the

SB0690 Enrolled - 432 - LRB101 04451 HLH 49459 b
1		adjusted income of an international banking facility as
2		determined in paragraph (2):
3		(A) Fees, commissions or other compensation for
4		financial services rendered within this State;
5		(B) Gross profits from trading in stocks, bonds or
6		other securities managed within this State;
7		(C) Dividends, and interest from Illinois
8		customers, which are received within this State;
9		(D) Interest charged to customers at places of
10		business maintained within this State for carrying
11		debit balances of margin accounts, without deduction
12		of any costs incurred in carrying such accounts; and
13		(E) Any other gross income resulting from the
14		operation as a financial organization within this
15		State. In computing the amounts referred to in
16		paragraphs (A) through (E) of this subsection, any
17		amount received by a member of an affiliated group
18		(determined under Section 1504(a) of the Internal
19		Revenue Code but without reference to whether any such
20		corporation is an "includible corporation" under
21		Section 1504(b) of the Internal Revenue Code) from
22		another member of such group shall be included only to
23		the extent such amount exceeds expenses of the
24		recipient directly related thereto.
25		(2) International Banking Facility. For taxable years
26		ending before December 31, 2008:

SB0690 Enrolled - 433 - LRB101 04451 HLH 49459 b
1		(A) Adjusted Income. The adjusted income of an
2		international banking facility is its income reduced
3		by the amount of the floor amount.
4		(B) Floor Amount. The floor amount shall be the
5		amount, if any, determined by multiplying the income of
6		the international banking facility by a fraction, not
7		greater than one, which is determined as follows:
8		(i) The numerator shall be:
9		The average aggregate, determined on a
10		quarterly basis, of the financial organization's
11		loans to banks in foreign countries, to foreign
12		domiciled borrowers (except where secured
13		primarily by real estate) and to foreign
14		governments and other foreign official
15		institutions, as reported for its branches,
16		agencies and offices within the state on its
17		"Consolidated Report of Condition", Schedule A,
18		Lines 2.c., 5.b., and 7.a., which was filed with
19		the Federal Deposit Insurance Corporation and
20		other regulatory authorities, for the year 1980,
21		minus
22		The average aggregate, determined on a
23		quarterly basis, of such loans (other than loans of
24		an international banking facility), as reported by
25		the financial institution for its branches,
26		agencies and offices within the state, on the

SB0690 Enrolled - 434 - LRB101 04451 HLH 49459 b
1		corresponding Schedule and lines of the
2		Consolidated Report of Condition for the current
3		taxable year, provided, however, that in no case
4		shall the amount determined in this clause (the
5		subtrahend) exceed the amount determined in the
6		preceding clause (the minuend); and
7		(ii) the denominator shall be the average
8		aggregate, determined on a quarterly basis, of the
9		international banking facility's loans to banks in
10		foreign countries, to foreign domiciled borrowers
11		(except where secured primarily by real estate)
12		and to foreign governments and other foreign
13		official institutions, which were recorded in its
14		financial accounts for the current taxable year.
15		(C) Change to Consolidated Report of Condition and
16		in Qualification. In the event the Consolidated Report
17		of Condition which is filed with the Federal Deposit
18		Insurance Corporation and other regulatory authorities
19		is altered so that the information required for
20		determining the floor amount is not found on Schedule
21		A, lines 2.c., 5.b. and 7.a., the financial institution
22		shall notify the Department and the Department may, by
23		regulations or otherwise, prescribe or authorize the
24		use of an alternative source for such information. The
25		financial institution shall also notify the Department
26		should its international banking facility fail to

SB0690 Enrolled - 435 - LRB101 04451 HLH 49459 b
1		qualify as such, in whole or in part, or should there
2		be any amendment or change to the Consolidated Report
3		of Condition, as originally filed, to the extent such
4		amendment or change alters the information used in
5		determining the floor amount.
6		(3) For taxable years ending on or after December 31,
7		2008, the business income of a financial organization shall
8		be apportioned to this State by multiplying such income by
9		a fraction, the numerator of which is its gross receipts
10		from sources in this State or otherwise attributable to
11		this State's marketplace and the denominator of which is
12		its gross receipts everywhere during the taxable year.
13		"Gross receipts" for purposes of this subparagraph (3)
14		means gross income, including net taxable gain on
15		disposition of assets, including securities and money
16		market instruments, when derived from transactions and
17		activities in the regular course of the financial
18		organization's trade or business. The following examples
19		are illustrative:
20		(i) Receipts from the lease or rental of real or
21		tangible personal property are in this State if the
22		property is located in this State during the rental
23		period. Receipts from the lease or rental of tangible
24		personal property that is characteristically moving
25		property, including, but not limited to, motor
26		vehicles, rolling stock, aircraft, vessels, or mobile

SB0690 Enrolled - 436 - LRB101 04451 HLH 49459 b
1		equipment are from sources in this State to the extent
2		that the property is used in this State.
3		(ii) Interest income, commissions, fees, gains on
4		disposition, and other receipts from assets in the
5		nature of loans that are secured primarily by real
6		estate or tangible personal property are from sources
7		in this State if the security is located in this State.
8		(iii) Interest income, commissions, fees, gains on
9		disposition, and other receipts from consumer loans
10		that are not secured by real or tangible personal
11		property are from sources in this State if the debtor
12		is a resident of this State.
13		(iv) Interest income, commissions, fees, gains on
14		disposition, and other receipts from commercial loans
15		and installment obligations that are not secured by
16		real or tangible personal property are from sources in
17		this State if the proceeds of the loan are to be
18		applied in this State. If it cannot be determined where
19		the funds are to be applied, the income and receipts
20		are from sources in this State if the office of the
21		borrower from which the loan was negotiated in the
22		regular course of business is located in this State. If
23		the location of this office cannot be determined, the
24		income and receipts shall be excluded from the
25		numerator and denominator of the sales factor.
26		(v) Interest income, fees, gains on disposition,

SB0690 Enrolled - 437 - LRB101 04451 HLH 49459 b
1		service charges, merchant discount income, and other
2		receipts from credit card receivables are from sources
3		in this State if the card charges are regularly billed
4		to a customer in this State.
5		(vi) Receipts from the performance of services,
6		including, but not limited to, fiduciary, advisory,
7		and brokerage services, are in this State if the
8		services are received in this State within the meaning
9		of subparagraph (a)(3)(C-5)(iv) of this Section.
10		(vii) Receipts from the issuance of travelers
11		checks and money orders are from sources in this State
12		if the checks and money orders are issued from a
13		location within this State.
14		(viii) Receipts from investment assets and
15		activities and trading assets and activities are
16		included in the receipts factor as follows:
17		(1) Interest, dividends, net gains (but not
18		less than zero) and other income from investment
19		assets and activities from trading assets and
20		activities shall be included in the receipts
21		factor. Investment assets and activities and
22		trading assets and activities include but are not
23		limited to: investment securities; trading account
24		assets; federal funds; securities purchased and
25		sold under agreements to resell or repurchase;
26		options; futures contracts; forward contracts;

SB0690 Enrolled - 438 - LRB101 04451 HLH 49459 b
1		notional principal contracts such as swaps;
2		equities; and foreign currency transactions. With
3		respect to the investment and trading assets and
4		activities described in subparagraphs (A) and (B)
5		of this paragraph, the receipts factor shall
6		include the amounts described in such
7		subparagraphs.
8		(A) The receipts factor shall include the
9		amount by which interest from federal funds
10		sold and securities purchased under resale
11		agreements exceeds interest expense on federal
12		funds purchased and securities sold under
13		repurchase agreements.
14		(B) The receipts factor shall include the
15		amount by which interest, dividends, gains and
16		other income from trading assets and
17		activities, including but not limited to
18		assets and activities in the matched book, in
19		the arbitrage book, and foreign currency
20		transactions, exceed amounts paid in lieu of
21		interest, amounts paid in lieu of dividends,
22		and losses from such assets and activities.
23		(2) The numerator of the receipts factor
24		includes interest, dividends, net gains (but not
25		less than zero), and other income from investment
26		assets and activities and from trading assets and

SB0690 Enrolled - 439 - LRB101 04451 HLH 49459 b
1		activities described in paragraph (1) of this
2		subsection that are attributable to this State.
3		(A) The amount of interest, dividends, net
4		gains (but not less than zero), and other
5		income from investment assets and activities
6		in the investment account to be attributed to
7		this State and included in the numerator is
8		determined by multiplying all such income from
9		such assets and activities by a fraction, the
10		numerator of which is the gross income from
11		such assets and activities which are properly
12		assigned to a fixed place of business of the
13		taxpayer within this State and the denominator
14		of which is the gross income from all such
15		assets and activities.
16		(B) The amount of interest from federal
17		funds sold and purchased and from securities
18		purchased under resale agreements and
19		securities sold under repurchase agreements
20		attributable to this State and included in the
21		numerator is determined by multiplying the
22		amount described in subparagraph (A) of
23		paragraph (1) of this subsection from such
24		funds and such securities by a fraction, the
25		numerator of which is the gross income from
26		such funds and such securities which are

SB0690 Enrolled - 440 - LRB101 04451 HLH 49459 b
1		properly assigned to a fixed place of business
2		of the taxpayer within this State and the
3		denominator of which is the gross income from
4		all such funds and such securities.
5		(C) The amount of interest, dividends,
6		gains, and other income from trading assets and
7		activities, including but not limited to
8		assets and activities in the matched book, in
9		the arbitrage book and foreign currency
10		transactions (but excluding amounts described
11		in subparagraphs (A) or (B) of this paragraph),
12		attributable to this State and included in the
13		numerator is determined by multiplying the
14		amount described in subparagraph (B) of
15		paragraph (1) of this subsection by a fraction,
16		the numerator of which is the gross income from
17		such trading assets and activities which are
18		properly assigned to a fixed place of business
19		of the taxpayer within this State and the
20		denominator of which is the gross income from
21		all such assets and activities.
22		(D) Properly assigned, for purposes of
23		this paragraph (2) of this subsection, means
24		the investment or trading asset or activity is
25		assigned to the fixed place of business with
26		which it has a preponderance of substantive

SB0690 Enrolled - 441 - LRB101 04451 HLH 49459 b
1		contacts. An investment or trading asset or
2		activity assigned by the taxpayer to a fixed
3		place of business without the State shall be
4		presumed to have been properly assigned if:
5		(i) the taxpayer has assigned, in the
6		regular course of its business, such asset
7		or activity on its records to a fixed place
8		of business consistent with federal or
9		state regulatory requirements;
10		(ii) such assignment on its records is
11		based upon substantive contacts of the
12		asset or activity to such fixed place of
13		business; and
14		(iii) the taxpayer uses such records
15		reflecting assignment of such assets or
16		activities for the filing of all state and
17		local tax returns for which an assignment
18		of such assets or activities to a fixed
19		place of business is required.
20		(E) The presumption of proper assignment
21		of an investment or trading asset or activity
22		provided in subparagraph (D) of paragraph (2)
23		of this subsection may be rebutted upon a
24		showing by the Department, supported by a
25		preponderance of the evidence, that the
26		preponderance of substantive contacts

SB0690 Enrolled - 442 - LRB101 04451 HLH 49459 b
1		regarding such asset or activity did not occur
2		at the fixed place of business to which it was
3		assigned on the taxpayer's records. If the
4		fixed place of business that has a
5		preponderance of substantive contacts cannot
6		be determined for an investment or trading
7		asset or activity to which the presumption in
8		subparagraph (D) of paragraph (2) of this
9		subsection does not apply or with respect to
10		which that presumption has been rebutted, that
11		asset or activity is properly assigned to the
12		state in which the taxpayer's commercial
13		domicile is located. For purposes of this
14		subparagraph (E), it shall be presumed,
15		subject to rebuttal, that taxpayer's
16		commercial domicile is in the state of the
17		United States or the District of Columbia to
18		which the greatest number of employees are
19		regularly connected with the management of the
20		investment or trading income or out of which
21		they are working, irrespective of where the
22		services of such employees are performed, as of
23		the last day of the taxable year.
24		(4) (Blank).
25		(5) (Blank).
26		(c-1) Federally regulated exchanges. For taxable years

SB0690 Enrolled - 443 - LRB101 04451 HLH 49459 b
1		ending on or after December 31, 2012, business income of a
2		federally regulated exchange shall, at the option of the
3		federally regulated exchange, be apportioned to this State by
4		multiplying such income by a fraction, the numerator of which
5		is its business income from sources within this State, and the
6		denominator of which is its business income from all sources.
7		For purposes of this subsection, the business income within
8		this State of a federally regulated exchange is the sum of the
9		following:
10		(1) Receipts attributable to transactions executed on
11		a physical trading floor if that physical trading floor is
12		located in this State.
13		(2) Receipts attributable to all other matching,
14		execution, or clearing transactions, including without
15		limitation receipts from the provision of matching,
16		execution, or clearing services to another entity,
17		multiplied by (i) for taxable years ending on or after
18		December 31, 2012 but before December 31, 2013, 63.77%; and
19		(ii) for taxable years ending on or after December 31,
20		2013, 27.54%.
21		(3) All other receipts not governed by subparagraphs
22		(1) or (2) of this subsection (c-1), to the extent the
23		receipts would be characterized as "sales in this State"
24		under item (3) of subsection (a) of this Section.
25		"Federally regulated exchange" means (i) a "registered
26		entity" within the meaning of 7 U.S.C. Section 1a(40)(A), (B),

SB0690 Enrolled - 444 - LRB101 04451 HLH 49459 b
1		or (C), (ii) an "exchange" or "clearing agency" within the
2		meaning of 15 U.S.C. Section 78c (a)(1) or (23), (iii) any such
3		entities regulated under any successor regulatory structure to
4		the foregoing, and (iv) all taxpayers who are members of the
5		same unitary business group as a federally regulated exchange,
6		determined without regard to the prohibition in Section
7		1501(a)(27) of this Act against including in a unitary business
8		group taxpayers who are ordinarily required to apportion
9		business income under different subsections of this Section;
10		provided that this subparagraph (iv) shall apply only if 50% or
11		more of the business receipts of the unitary business group
12		determined by application of this subparagraph (iv) for the
13		taxable year are attributable to the matching, execution, or
14		clearing of transactions conducted by an entity described in
15		subparagraph (i), (ii), or (iii) of this paragraph.
16		In no event shall the Illinois apportionment percentage
17		computed in accordance with this subsection (c-1) for any
18		taxpayer for any tax year be less than the Illinois
19		apportionment percentage computed under this subsection (c-1)
20		for that taxpayer for the first full tax year ending on or
21		after December 31, 2013 for which this subsection (c-1) applied
22		to the taxpayer.
23		(d) Transportation services. For taxable years ending
24		before December 31, 2008, business income derived from
25		furnishing transportation services shall be apportioned to
26		this State in accordance with paragraphs (1) and (2):

SB0690 Enrolled - 445 - LRB101 04451 HLH 49459 b
1		(1) Such business income (other than that derived from
2		transportation by pipeline) shall be apportioned to this
3		State by multiplying such income by a fraction, the
4		numerator of which is the revenue miles of the person in
5		this State, and the denominator of which is the revenue
6		miles of the person everywhere. For purposes of this
7		paragraph, a revenue mile is the transportation of 1
8		passenger or 1 net ton of freight the distance of 1 mile
9		for a consideration. Where a person is engaged in the
10		transportation of both passengers and freight, the
11		fraction above referred to shall be determined by means of
12		an average of the passenger revenue mile fraction and the
13		freight revenue mile fraction, weighted to reflect the
14		person's
15		(A) relative railway operating income from total
16		passenger and total freight service, as reported to the
17		Interstate Commerce Commission, in the case of
18		transportation by railroad, and
19		(B) relative gross receipts from passenger and
20		freight transportation, in case of transportation
21		other than by railroad.
22		(2) Such business income derived from transportation
23		by pipeline shall be apportioned to this State by
24		multiplying such income by a fraction, the numerator of
25		which is the revenue miles of the person in this State, and
26		the denominator of which is the revenue miles of the person

SB0690 Enrolled - 446 - LRB101 04451 HLH 49459 b
1		everywhere. For the purposes of this paragraph, a revenue
2		mile is the transportation by pipeline of 1 barrel of oil,
3		1,000 cubic feet of gas, or of any specified quantity of
4		any other substance, the distance of 1 mile for a
5		consideration.
6		(3) For taxable years ending on or after December 31,
7		2008, business income derived from providing
8		transportation services other than airline services shall
9		be apportioned to this State by using a fraction, (a) the
10		numerator of which shall be (i) all receipts from any
11		movement or shipment of people, goods, mail, oil, gas, or
12		any other substance (other than by airline) that both
13		originates and terminates in this State, plus (ii) that
14		portion of the person's gross receipts from movements or
15		shipments of people, goods, mail, oil, gas, or any other
16		substance (other than by airline) that originates in one
17		state or jurisdiction and terminates in another state or
18		jurisdiction, that is determined by the ratio that the
19		miles traveled in this State bears to total miles
20		everywhere and (b) the denominator of which shall be all
21		revenue derived from the movement or shipment of people,
22		goods, mail, oil, gas, or any other substance (other than
23		by airline). Where a taxpayer is engaged in the
24		transportation of both passengers and freight, the
25		fraction above referred to shall first be determined
26		separately for passenger miles and freight miles. Then an

SB0690 Enrolled - 447 - LRB101 04451 HLH 49459 b
1		average of the passenger miles fraction and the freight
2		miles fraction shall be weighted to reflect the taxpayer's:
3		(A) relative railway operating income from total
4		passenger and total freight service, as reported to the
5		Surface Transportation Board, in the case of
6		transportation by railroad; and
7		(B) relative gross receipts from passenger and
8		freight transportation, in case of transportation
9		other than by railroad.
10		(4) For taxable years ending on or after December 31,
11		2008, business income derived from furnishing airline
12		transportation services shall be apportioned to this State
13		by multiplying such income by a fraction, the numerator of
14		which is the revenue miles of the person in this State, and
15		the denominator of which is the revenue miles of the person
16		everywhere. For purposes of this paragraph, a revenue mile
17		is the transportation of one passenger or one net ton of
18		freight the distance of one mile for a consideration. If a
19		person is engaged in the transportation of both passengers
20		and freight, the fraction above referred to shall be
21		determined by means of an average of the passenger revenue
22		mile fraction and the freight revenue mile fraction,
23		weighted to reflect the person's relative gross receipts
24		from passenger and freight airline transportation.
25		(e) Combined apportionment. Where 2 or more persons are
26		engaged in a unitary business as described in subsection

SB0690 Enrolled - 448 - LRB101 04451 HLH 49459 b
1		(a)(27) of Section 1501, a part of which is conducted in this
2		State by one or more members of the group, the business income
3		attributable to this State by any such member or members shall
4		be apportioned by means of the combined apportionment method.
5		(f) Alternative allocation. If the allocation and
6		apportionment provisions of subsections (a) through (e) and of
7		subsection (h) do not, for taxable years ending before December
8		31, 2008, fairly represent the extent of a person's business
9		activity in this State, or, for taxable years ending on or
10		after December 31, 2008, fairly represent the market for the
11		person's goods, services, or other sources of business income,
12		the person may petition for, or the Director may, without a
13		petition, permit or require, in respect of all or any part of
14		the person's business activity, if reasonable:
15		(1) Separate accounting;
16		(2) The exclusion of any one or more factors;
17		(3) The inclusion of one or more additional factors
18		which will fairly represent the person's business
19		activities or market in this State; or
20		(4) The employment of any other method to effectuate an
21		equitable allocation and apportionment of the person's
22		business income.
23		(g) Cross reference. For allocation of business income by
24		residents, see Section 301(a).
25		(h) For tax years ending on or after December 31, 1998, the
26		apportionment factor of persons who apportion their business

SB0690 Enrolled - 449 - LRB101 04451 HLH 49459 b
1		income to this State under subsection (a) shall be equal to:
2		(1) for tax years ending on or after December 31, 1998
3		and before December 31, 1999, 16 2/3% of the property
4		factor plus 16 2/3% of the payroll factor plus 66 2/3% of
5		the sales factor;
6		(2) for tax years ending on or after December 31, 1999
7		and before December 31, 2000, 8 1/3% of the property factor
8		plus 8 1/3% of the payroll factor plus 83 1/3% of the sales
9		factor;
10		(3) for tax years ending on or after December 31, 2000,
11		the sales factor.
12		If, in any tax year ending on or after December 31, 1998 and
13		before December 31, 2000, the denominator of the payroll,
14		property, or sales factor is zero, the apportionment factor
15		computed in paragraph (1) or (2) of this subsection for that
16		year shall be divided by an amount equal to 100% minus the
17		percentage weight given to each factor whose denominator is
18		equal to zero.
19		(Source: P.A. 99-642, eff. 7-28-16; 100-201, eff. 8-18-17.)
20		(35 ILCS 5/710) (from Ch. 120, par. 7-710)
21		Sec. 710. Withholding from lottery winnings.
22		(a) In general.
23		(1) Any person making a payment to a resident or
24		nonresident of winnings under the Illinois Lottery Law and
25		not required to withhold Illinois income tax from such

SB0690 Enrolled - 450 - LRB101 04451 HLH 49459 b
1		payment under Subsection (b) of Section 701 of this Act
2		because those winnings are not subject to Federal income
3		tax withholding, must withhold Illinois income tax from
4		such payment at a rate equal to the percentage tax rate for
5		individuals provided in subsection (b) of Section 201,
6		provided that withholding is not required if such payment
7		of winnings is less than $1,000.
8		(2) In the case of an assignment of a lottery prize
9		under Section 13.1 of the Illinois Lottery Law, any person
10		making a payment of the purchase price after December 31,
11		2013, shall withhold from the amount of each payment at a
12		rate equal to the percentage tax rate for individuals
13		provided in subsection (b) of Section 201.
14		(3) Any person making a payment after December 31, 2019
15		to a resident or nonresident of winnings from pari-mutuel
16		wagering conducted at a wagering facility licensed under
17		the Illinois Horse Racing Act of 1975 or from gambling
18		games conducted on a riverboat or in a casino or
19		organization gaming facility licensed under the Illinois
20		Gambling Act must withhold Illinois income tax from such
21		payment at a rate equal to the percentage tax rate for
22		individuals provided in subsection (b) of Section 201,
23		provided that the person making the payment is required to
24		withhold under Section 3402(q) of the Internal Revenue
25		Code.
26		(b) Credit for taxes withheld. Any amount withheld under

SB0690 Enrolled - 451 - LRB101 04451 HLH 49459 b
1		Subsection (a) shall be a credit against the Illinois income
2		tax liability of the person to whom the payment of winnings was
3		made for the taxable year in which that person incurred an
4		Illinois income tax liability with respect to those winnings.
5		(Source: P.A. 98-496, eff. 1-1-14.)
6		Section 35-40. The Joliet Regional Port District Act is
7		amended by changing Section 5.1 as follows:
8		(70 ILCS 1825/5.1) (from Ch. 19, par. 255.1)
9		Sec. 5.1. Riverboat and casino gambling. Notwithstanding
10		any other provision of this Act, the District may not regulate
11		the operation, conduct, or navigation of any riverboat gambling
12		casino licensed under the Illinois Riverboat Gambling Act, and
13		the District may not license, tax, or otherwise levy any
14		assessment of any kind on any riverboat gambling casino
15		licensed under the Illinois Riverboat Gambling Act. The General
16		Assembly declares that the powers to regulate the operation,
17		conduct, and navigation of riverboat gambling casinos and to
18		license, tax, and levy assessments upon riverboat gambling
19		casinos are exclusive powers of the State of Illinois and the
20		Illinois Gaming Board as provided in the Illinois Riverboat
21		Gambling Act.
22		(Source: P.A. 87-1175.)
23		Section 35-45. The Consumer Installment Loan Act is amended

SB0690 Enrolled - 452 - LRB101 04451 HLH 49459 b
1		by changing Section 12.5 as follows:
2		(205 ILCS 670/12.5)
3		Sec. 12.5. Limited purpose branch.
4		(a) Upon the written approval of the Director, a licensee
5		may maintain a limited purpose branch for the sole purpose of
6		making loans as permitted by this Act. A limited purpose branch
7		may include an automatic loan machine. No other activity shall
8		be conducted at the site, including but not limited to,
9		accepting payments, servicing the accounts, or collections.
10		(b) The licensee must submit an application for a limited
11		purpose branch to the Director on forms prescribed by the
12		Director with an application fee of $300. The approval for the
13		limited purpose branch must be renewed concurrently with the
14		renewal of the licensee's license along with a renewal fee of
15		$300 for the limited purpose branch.
16		(c) The books, accounts, records, and files of the limited
17		purpose branch's transactions shall be maintained at the
18		licensee's licensed location. The licensee shall notify the
19		Director of the licensed location at which the books, accounts,
20		records, and files shall be maintained.
21		(d) The licensee shall prominently display at the limited
22		purpose branch the address and telephone number of the
23		licensee's licensed location.
24		(e) No other business shall be conducted at the site of the
25		limited purpose branch unless authorized by the Director.

SB0690 Enrolled - 453 - LRB101 04451 HLH 49459 b
1		(f) The Director shall make and enforce reasonable rules
2		for the conduct of a limited purpose branch.
3		(g) A limited purpose branch may not be located within
4		1,000 feet of a facility operated by an inter-track wagering
5		licensee or an organization licensee subject to the Illinois
6		Horse Racing Act of 1975, on a riverboat or in a casino subject
7		to the Illinois Riverboat Gambling Act, or within 1,000 feet of
8		the location at which the riverboat docks or within 1,000 feet
9		of a casino.
10		(Source: P.A. 90-437, eff. 1-1-98.)
11		Section 35-50. The Illinois Horse Racing Act of 1975 is
12		amended by changing Sections 1.2, 3.11, 3.12, 6, 9, 15, 18, 19,
13		20, 21, 24, 25, 26, 26.8, 26.9, 27, 29, 30, 30.5, 31, 31.1,
14		32.1, 36, 40, and 54.75 and by adding Sections 3.32, 3.33,
15		3.34, 3.35, 19.5, 34.3, and 56 as follows:
16		(230 ILCS 5/1.2)
17		Sec. 1.2. Legislative intent. This Act is intended to
18		benefit the people of the State of Illinois by encouraging the
19		breeding and production of race horses, assisting economic
20		development and promoting Illinois tourism. The General
21		Assembly finds and declares it to be the public policy of the
22		State of Illinois to:
23		(a) support and enhance Illinois' horse racing industry,
24		which is a significant component within the agribusiness

SB0690 Enrolled - 454 - LRB101 04451 HLH 49459 b
1		industry;
2		(b) ensure that Illinois' horse racing industry remains
3		competitive with neighboring states;
4		(c) stimulate growth within Illinois' horse racing
5		industry, thereby encouraging new investment and development
6		to produce additional tax revenues and to create additional
7		jobs;
8		(d) promote the further growth of tourism;
9		(e) encourage the breeding of thoroughbred and
10		standardbred horses in this State; and
11		(f) ensure that public confidence and trust in the
12		credibility and integrity of racing operations and the
13		regulatory process is maintained.
14		(Source: P.A. 91-40, eff. 6-25-99.)
15		(230 ILCS 5/3.11) (from Ch. 8, par. 37-3.11)
16		Sec. 3.11. "Organization Licensee" means any person
17		receiving an organization license from the Board to conduct a
18		race meeting or meetings. With respect only to organization
19		gaming, "organization licensee" includes the authorization for
20		an organization gaming license under subsection (a) of Section
21		56 of this Act.
22		(Source: P.A. 79-1185.)
23		(230 ILCS 5/3.12) (from Ch. 8, par. 37-3.12)
24		Sec. 3.12. Pari-mutuel system of wagering. "Pari-mutuel

SB0690 Enrolled - 455 - LRB101 04451 HLH 49459 b
1		system of wagering" means a form of wagering on the outcome of
2		horse races in which wagers are made in various denominations
3		on a horse or horses and all wagers for each race are pooled
4		and held by a licensee for distribution in a manner approved by
5		the Board. "Pari-mutuel system of wagering" shall not include
6		wagering on historic races. Wagers may be placed via any method
7		or at any location authorized under this Act.
8		(Source: P.A. 96-762, eff. 8-25-09.)
9		(230 ILCS 5/3.32 new)
10		Sec. 3.32. Gross receipts. "Gross receipts" means the total
11		amount of money exchanged for the purchase of chips, tokens, or
12		electronic cards by riverboat or casino patrons or organization
13		gaming patrons.
14		(230 ILCS 5/3.33 new)
15		Sec. 3.33. Adjusted gross receipts. "Adjusted gross
16		receipts" means the gross receipts less winnings paid to
17		wagerers.
18		(230 ILCS 5/3.34 new)
19		Sec. 3.34. Organization gaming facility. "Organization
20		gaming facility" means that portion of an organization
21		licensee's racetrack facilities at which gaming authorized
22		under Section 7.7 of the Illinois Gambling Act is conducted.

SB0690 Enrolled - 456 - LRB101 04451 HLH 49459 b
1		(230 ILCS 5/3.35 new)
2		Sec. 3.35. Organization gaming license. "Organization
3		gaming license" means a license issued by the Illinois Gaming
4		Board under Section 7.7 of the Illinois Gambling Act
5		authorizing gaming pursuant to that Section at an organization
6		gaming facility.
7		(230 ILCS 5/6) (from Ch. 8, par. 37-6)
8		Sec. 6. Restrictions on Board members.
9		(a) No person shall be appointed a member of the Board or
10		continue to be a member of the Board if the person or any
11		member of their immediate family is a member of the Board of
12		Directors, employee, or financially interested in any of the
13		following: (i) any licensee or other person who has applied for
14		racing dates to the Board, or the operations thereof including,
15		but not limited to, concessions, data processing, track
16		maintenance, track security, and pari-mutuel operations,
17		located, scheduled or doing business within the State of
18		Illinois, (ii) any race horse competing at a meeting under the
19		Board's jurisdiction, or (iii) any licensee under the Illinois
20		Gambling Act. No person shall be appointed a member of the
21		Board or continue to be a member of the Board who is (or any
22		member of whose family is) a member of the Board of Directors
23		of, or who is a person financially interested in, any licensee
24		or other person who has applied for racing dates to the Board,
25		or the operations thereof including, but not limited to,

SB0690 Enrolled - 457 - LRB101 04451 HLH 49459 b
1		concessions, data processing, track maintenance, track
2		security and pari-mutuel operations, located, scheduled or
3		doing business within the State of Illinois, or in any race
4		horse competing at a meeting under the Board's jurisdiction. No
5		Board member shall hold any other public office for which he
6		shall receive compensation other than necessary travel or other
7		incidental expenses.
8		(b) No person shall be a member of the Board who is not of
9		good moral character or who has been convicted of, or is under
10		indictment for, a felony under the laws of Illinois or any
11		other state, or the United States.
12		(c) No member of the Board or employee shall engage in any
13		political activity.
14		For the purposes of this subsection (c):
15		"Political" means any activity in support of or in
16		connection with any campaign for State or local elective office
17		or any political organization, but does not include activities
18		(i) relating to the support or opposition of any executive,
19		legislative, or administrative action (as those terms are
20		defined in Section 2 of the Lobbyist Registration Act), (ii)
21		relating to collective bargaining, or (iii) that are otherwise
22		in furtherance of the person's official State duties or
23		governmental and public service functions.
24		"Political organization" means a party, committee,
25		association, fund, or other organization (whether or not
26		incorporated) that is required to file a statement of

SB0690 Enrolled - 458 - LRB101 04451 HLH 49459 b
1		organization with the State Board of Elections or county clerk
2		under Section 9-3 of the Election Code, but only with regard to
3		those activities that require filing with the State Board of
4		Elections or county clerk.
5		(d) Board members and employees may not engage in
6		communications or any activity that may cause or have the
7		appearance of causing a conflict of interest. A conflict of
8		interest exists if a situation influences or creates the
9		appearance that it may influence judgment or performance of
10		regulatory duties and responsibilities. This prohibition shall
11		extend to any act identified by Board action that, in the
12		judgment of the Board, could represent the potential for or the
13		appearance of a conflict of interest.
14		(e) Board members and employees may not accept any gift,
15		gratuity, service, compensation, travel, lodging, or thing of
16		value, with the exception of unsolicited items of an incidental
17		nature, from any person, corporation, limited liability
18		company, or entity doing business with the Board.
19		(f) A Board member or employee shall not use or attempt to
20		use his or her official position to secure, or attempt to
21		secure, any privilege, advantage, favor, or influence for
22		himself or herself or others. No Board member or employee,
23		within a period of one year immediately preceding nomination by
24		the Governor or employment, shall have been employed or
25		received compensation or fees for services from a person or
26		entity, or its parent or affiliate, that has engaged in

SB0690 Enrolled - 459 - LRB101 04451 HLH 49459 b
1		business with the Board, a licensee or a licensee under the
2		Illinois Gambling Act. In addition, all Board members and
3		employees are subject to the restrictions set forth in Section
4		5-45 of the State Officials and Employees Ethics Act.
5		(Source: P.A. 89-16, eff. 5-30-95.)
6		(230 ILCS 5/9) (from Ch. 8, par. 37-9)
7		Sec. 9. The Board shall have all powers necessary and
8		proper to fully and effectively execute the provisions of this
9		Act, including, but not limited to, the following:
10		(a) The Board is vested with jurisdiction and supervision
11		over all race meetings in this State, over all licensees doing
12		business in this State, over all occupation licensees, and over
13		all persons on the facilities of any licensee. Such
14		jurisdiction shall include the power to issue licenses to the
15		Illinois Department of Agriculture authorizing the pari-mutuel
16		system of wagering on harness and Quarter Horse races held (1)
17		at the Illinois State Fair in Sangamon County, and (2) at the
18		DuQuoin State Fair in Perry County. The jurisdiction of the
19		Board shall also include the power to issue licenses to county
20		fairs which are eligible to receive funds pursuant to the
21		Agricultural Fair Act, as now or hereafter amended, or their
22		agents, authorizing the pari-mutuel system of wagering on horse
23		races conducted at the county fairs receiving such licenses.
24		Such licenses shall be governed by subsection (n) of this
25		Section.

SB0690 Enrolled - 460 - LRB101 04451 HLH 49459 b
1		Upon application, the Board shall issue a license to the
2		Illinois Department of Agriculture to conduct harness and
3		Quarter Horse races at the Illinois State Fair and at the
4		DuQuoin State Fairgrounds during the scheduled dates of each
5		fair. The Board shall not require and the Department of
6		Agriculture shall be exempt from the requirements of Sections
7		15.3, 18 and 19, paragraphs (a)(2), (b), (c), (d), (e), (e-5),
8		(e-10), (f), (g), and (h) of Section 20, and Sections 21, 24
9		and 25. The Board and the Department of Agriculture may extend
10		any or all of these exemptions to any contractor or agent
11		engaged by the Department of Agriculture to conduct its race
12		meetings when the Board determines that this would best serve
13		the public interest and the interest of horse racing.
14		Notwithstanding any provision of law to the contrary, it
15		shall be lawful for any licensee to operate pari-mutuel
16		wagering or contract with the Department of Agriculture to
17		operate pari-mutuel wagering at the DuQuoin State Fairgrounds
18		or for the Department to enter into contracts with a licensee,
19		employ its owners, employees or agents and employ such other
20		occupation licensees as the Department deems necessary in
21		connection with race meetings and wagerings.
22		(b) The Board is vested with the full power to promulgate
23		reasonable rules and regulations for the purpose of
24		administering the provisions of this Act and to prescribe
25		reasonable rules, regulations and conditions under which all
26		horse race meetings or wagering in the State shall be

SB0690 Enrolled - 461 - LRB101 04451 HLH 49459 b
1		conducted. Such reasonable rules and regulations are to provide
2		for the prevention of practices detrimental to the public
3		interest and to promote the best interests of horse racing and
4		to impose penalties for violations thereof.
5		(c) The Board, and any person or persons to whom it
6		delegates this power, is vested with the power to enter the
7		facilities and other places of business of any licensee to
8		determine whether there has been compliance with the provisions
9		of this Act and its rules and regulations.
10		(d) The Board, and any person or persons to whom it
11		delegates this power, is vested with the authority to
12		investigate alleged violations of the provisions of this Act,
13		its reasonable rules and regulations, orders and final
14		decisions; the Board shall take appropriate disciplinary
15		action against any licensee or occupation licensee for
16		violation thereof or institute appropriate legal action for the
17		enforcement thereof.
18		(e) The Board, and any person or persons to whom it
19		delegates this power, may eject or exclude from any race
20		meeting or the facilities of any licensee, or any part thereof,
21		any occupation licensee or any other individual whose conduct
22		or reputation is such that his presence on those facilities
23		may, in the opinion of the Board, call into question the
24		honesty and integrity of horse racing or wagering or interfere
25		with the orderly conduct of horse racing or wagering; provided,
26		however, that no person shall be excluded or ejected from the

SB0690 Enrolled - 462 - LRB101 04451 HLH 49459 b
1		facilities of any licensee solely on the grounds of race,
2		color, creed, national origin, ancestry, or sex. The power to
3		eject or exclude an occupation licensee or other individual may
4		be exercised for just cause by the licensee or the Board,
5		subject to subsequent hearing by the Board as to the propriety
6		of said exclusion.
7		(f) The Board is vested with the power to acquire,
8		establish, maintain and operate (or provide by contract to
9		maintain and operate) testing laboratories and related
10		facilities, for the purpose of conducting saliva, blood, urine
11		and other tests on the horses run or to be run in any horse race
12		meeting, including races run at county fairs, and to purchase
13		all equipment and supplies deemed necessary or desirable in
14		connection with any such testing laboratories and related
15		facilities and all such tests.
16		(g) The Board may require that the records, including
17		financial or other statements of any licensee or any person
18		affiliated with the licensee who is involved directly or
19		indirectly in the activities of any licensee as regulated under
20		this Act to the extent that those financial or other statements
21		relate to such activities be kept in such manner as prescribed
22		by the Board, and that Board employees shall have access to
23		those records during reasonable business hours. Within 120 days
24		of the end of its fiscal year, each licensee shall transmit to
25		the Board an audit of the financial transactions and condition
26		of the licensee's total operations. All audits shall be

SB0690 Enrolled - 463 - LRB101 04451 HLH 49459 b
1		conducted by certified public accountants. Each certified
2		public accountant must be registered in the State of Illinois
3		under the Illinois Public Accounting Act. The compensation for
4		each certified public accountant shall be paid directly by the
5		licensee to the certified public accountant. A licensee shall
6		also submit any other financial or related information the
7		Board deems necessary to effectively administer this Act and
8		all rules, regulations, and final decisions promulgated under
9		this Act.
10		(h) The Board shall name and appoint in the manner provided
11		by the rules and regulations of the Board: an Executive
12		Director; a State director of mutuels; State veterinarians and
13		representatives to take saliva, blood, urine and other tests on
14		horses; licensing personnel; revenue inspectors; and State
15		seasonal employees (excluding admission ticket sellers and
16		mutuel clerks). All of those named and appointed as provided in
17		this subsection shall serve during the pleasure of the Board;
18		their compensation shall be determined by the Board and be paid
19		in the same manner as other employees of the Board under this
20		Act.
21		(i) The Board shall require that there shall be 3 stewards
22		at each horse race meeting, at least 2 of whom shall be named
23		and appointed by the Board. Stewards appointed or approved by
24		the Board, while performing duties required by this Act or by
25		the Board, shall be entitled to the same rights and immunities
26		as granted to Board members and Board employees in Section 10

SB0690 Enrolled - 464 - LRB101 04451 HLH 49459 b
1		of this Act.
2		(j) The Board may discharge any Board employee who fails or
3		refuses for any reason to comply with the rules and regulations
4		of the Board, or who, in the opinion of the Board, is guilty of
5		fraud, dishonesty or who is proven to be incompetent. The Board
6		shall have no right or power to determine who shall be
7		officers, directors or employees of any licensee, or their
8		salaries except the Board may, by rule, require that all or any
9		officials or employees in charge of or whose duties relate to
10		the actual running of races be approved by the Board.
11		(k) The Board is vested with the power to appoint delegates
12		to execute any of the powers granted to it under this Section
13		for the purpose of administering this Act and any rules or
14		regulations promulgated in accordance with this Act.
15		(l) The Board is vested with the power to impose civil
16		penalties of up to $5,000 against an individual and up to
17		$10,000 against a licensee for each violation of any provision
18		of this Act, any rules adopted by the Board, any order of the
19		Board or any other action which, in the Board's discretion, is
20		a detriment or impediment to horse racing or wagering.
21		Beginning on the date when any organization licensee begins
22		conducting gaming pursuant to an organization gaming license
23		issued under the Illinois Gambling Act, the power granted to
24		the Board pursuant to this subsection (l) shall authorize the
25		Board to impose penalties of up to $10,000 against an
26		individual and up to $25,000 against a licensee. All such civil

SB0690 Enrolled - 465 - LRB101 04451 HLH 49459 b
1		penalties shall be deposited into the Horse Racing Fund.
2		(m) The Board is vested with the power to prescribe a form
3		to be used by licensees as an application for employment for
4		employees of each licensee.
5		(n) The Board shall have the power to issue a license to
6		any county fair, or its agent, authorizing the conduct of the
7		pari-mutuel system of wagering. The Board is vested with the
8		full power to promulgate reasonable rules, regulations and
9		conditions under which all horse race meetings licensed
10		pursuant to this subsection shall be held and conducted,
11		including rules, regulations and conditions for the conduct of
12		the pari-mutuel system of wagering. The rules, regulations and
13		conditions shall provide for the prevention of practices
14		detrimental to the public interest and for the best interests
15		of horse racing, and shall prescribe penalties for violations
16		thereof. Any authority granted the Board under this Act shall
17		extend to its jurisdiction and supervision over county fairs,
18		or their agents, licensed pursuant to this subsection. However,
19		the Board may waive any provision of this Act or its rules or
20		regulations which would otherwise apply to such county fairs or
21		their agents.
22		(o) Whenever the Board is authorized or required by law to
23		consider some aspect of criminal history record information for
24		the purpose of carrying out its statutory powers and
25		responsibilities, then, upon request and payment of fees in
26		conformance with the requirements of Section 2605-400 of the

SB0690 Enrolled - 466 - LRB101 04451 HLH 49459 b
1		Department of State Police Law (20 ILCS 2605/2605-400), the
2		Department of State Police is authorized to furnish, pursuant
3		to positive identification, such information contained in
4		State files as is necessary to fulfill the request.
5		(p) To insure the convenience, comfort, and wagering
6		accessibility of race track patrons, to provide for the
7		maximization of State revenue, and to generate increases in
8		purse allotments to the horsemen, the Board shall require any
9		licensee to staff the pari-mutuel department with adequate
10		personnel.
11		(Source: P.A. 97-1060, eff. 8-24-12.)
12		(230 ILCS 5/15) (from Ch. 8, par. 37-15)
13		Sec. 15. (a) The Board shall, in its discretion, issue
14		occupation licenses to horse owners, trainers, harness
15		drivers, jockeys, agents, apprentices, grooms, stable foremen,
16		exercise persons, veterinarians, valets, blacksmiths,
17		concessionaires and others designated by the Board whose work,
18		in whole or in part, is conducted upon facilities within the
19		State. Such occupation licenses will be obtained prior to the
20		persons engaging in their vocation upon such facilities. The
21		Board shall not license pari-mutuel clerks, parking
22		attendants, security guards and employees of concessionaires.
23		No occupation license shall be required of any person who works
24		at facilities within this State as a pari-mutuel clerk, parking
25		attendant, security guard or as an employee of a

SB0690 Enrolled - 467 - LRB101 04451 HLH 49459 b
1		concessionaire. Concessionaires of the Illinois State Fair and
2		DuQuoin State Fair and employees of the Illinois Department of
3		Agriculture shall not be required to obtain an occupation
4		license by the Board.
5		(b) Each application for an occupation license shall be on
6		forms prescribed by the Board. Such license, when issued, shall
7		be for the period ending December 31 of each year, except that
8		the Board in its discretion may grant 3-year licenses. The
9		application shall be accompanied by a fee of not more than $25
10		per year or, in the case of 3-year occupation license
11		applications, a fee of not more than $60. Each applicant shall
12		set forth in the application his full name and address, and if
13		he had been issued prior occupation licenses or has been
14		licensed in any other state under any other name, such name,
15		his age, whether or not a permit or license issued to him in
16		any other state has been suspended or revoked and if so whether
17		such suspension or revocation is in effect at the time of the
18		application, and such other information as the Board may
19		require. Fees for registration of stable names shall not exceed
20		$50.00. Beginning on the date when any organization licensee
21		begins conducting gaming pursuant to an organization gaming
22		license issued under the Illinois Gambling Act, the fee for
23		registration of stable names shall not exceed $150, and the
24		application fee for an occupation license shall not exceed $75,
25		per year or, in the case of a 3-year occupation license
26		application, the fee shall not exceed $180.

SB0690 Enrolled - 468 - LRB101 04451 HLH 49459 b
1		(c) The Board may in its discretion refuse an occupation
2		license to any person:
3		(1) who has been convicted of a crime;
4		(2) who is unqualified to perform the duties required
5		of such applicant;
6		(3) who fails to disclose or states falsely any
7		information called for in the application;
8		(4) who has been found guilty of a violation of this
9		Act or of the rules and regulations of the Board; or
10		(5) whose license or permit has been suspended, revoked
11		or denied for just cause in any other state.
12		(d) The Board may suspend or revoke any occupation license:
13		(1) for violation of any of the provisions of this Act;
14		or
15		(2) for violation of any of the rules or regulations of
16		the Board; or
17		(3) for any cause which, if known to the Board, would
18		have justified the Board in refusing to issue such
19		occupation license; or
20		(4) for any other just cause.
21		(e) Each applicant shall submit his or her fingerprints
22		to the Department of State Police in the form and manner
23		prescribed by the Department of State Police. These
24		fingerprints shall be checked against the fingerprint records
25		now and hereafter filed in the Department of State Police and
26		Federal Bureau of Investigation criminal history records

SB0690 Enrolled - 469 - LRB101 04451 HLH 49459 b
1		databases. The Department of State Police shall charge a fee
2		for conducting the criminal history records check, which shall
3		be deposited in the State Police Services Fund and shall not
4		exceed the actual cost of the records check. The Department of
5		State Police shall furnish, pursuant to positive
6		identification, records of conviction to the Board. Each
7		applicant for licensure shall submit with his occupation
8		license application, on forms provided by the Board, 2 sets of
9		his fingerprints. All such applicants shall appear in person at
10		the location designated by the Board for the purpose of
11		submitting such sets of fingerprints; however, with the prior
12		approval of a State steward, an applicant may have such sets of
13		fingerprints taken by an official law enforcement agency and
14		submitted to the Board.
15		(f) The Board may, in its discretion, issue an occupation
16		license without submission of fingerprints if an applicant has
17		been duly licensed in another recognized racing jurisdiction
18		after submitting fingerprints that were subjected to a Federal
19		Bureau of Investigation criminal history background check in
20		that jurisdiction.
21		(g) Beginning on the date when any organization licensee
22		begins conducting gaming pursuant to an organization gaming
23		license issued under the Illinois Gambling Act, the Board may
24		charge each applicant a reasonable nonrefundable fee to defray
25		the costs associated with the background investigation
26		conducted by the Board. This fee shall be exclusive of any

SB0690 Enrolled - 470 - LRB101 04451 HLH 49459 b
1		other fee or fees charged in connection with an application for
2		and, if applicable, the issuance of, an organization gaming
3		license. If the costs of the investigation exceed the amount of
4		the fee charged, the Board shall immediately notify the
5		applicant of the additional amount owed, payment of which must
6		be submitted to the Board within 7 days after such
7		notification. All information, records, interviews, reports,
8		statements, memoranda, or other data supplied to or used by the
9		Board in the course of its review or investigation of an
10		applicant for a license or renewal under this Act shall be
11		privileged, strictly confidential, and shall be used only for
12		the purpose of evaluating an applicant for a license or a
13		renewal. Such information, records, interviews, reports,
14		statements, memoranda, or other data shall not be admissible as
15		evidence, nor discoverable, in any action of any kind in any
16		court or before any tribunal, board, agency, or person, except
17		for any action deemed necessary by the Board.
18		(Source: P.A. 93-418, eff. 1-1-04.)
19		(230 ILCS 5/18) (from Ch. 8, par. 37-18)
20		Sec. 18. (a) Together with its application, each applicant
21		for racing dates shall deliver to the Board a certified check
22		or bank draft payable to the order of the Board for $1,000. In
23		the event the applicant applies for racing dates in 2 or 3
24		successive calendar years as provided in subsection (b) of
25		Section 21, the fee shall be $2,000. Filing fees shall not be

SB0690 Enrolled - 471 - LRB101 04451 HLH 49459 b
1		refunded in the event the application is denied. Beginning on
2		the date when any organization licensee begins conducting
3		gaming pursuant to an organization gaming license issued under
4		the Illinois Gambling Act, the application fee for racing dates
5		imposed by this subsection (a) shall be $10,000 and the
6		application fee for racing dates in 2 or 3 successive calendar
7		years as provided in subsection (b) of Section 21 shall be
8		$20,000. All filing fees shall be deposited into the Horse
9		Racing Fund.
10		(b) In addition to the filing fee imposed by subsection (a)
11		of $1000 and the fees provided in subsection (j) of Section 20,
12		each organization licensee shall pay a license fee of $100 for
13		each racing program on which its daily pari-mutuel handle is
14		$400,000 or more but less than $700,000, and a license fee of
15		$200 for each racing program on which its daily pari-mutuel
16		handle is $700,000 or more. The additional fees required to be
17		paid under this Section by this amendatory Act of 1982 shall be
18		remitted by the organization licensee to the Illinois Racing
19		Board with each day's graduated privilege tax or pari-mutuel
20		tax and breakage as provided under Section 27. Beginning on the
21		date when any organization licensee begins conducting gaming
22		pursuant to an organization gaming license issued under the
23		Illinois Gambling Act, the license fee imposed by this
24		subsection (b) shall be $200 for each racing program on which
25		the organization licensee's daily pari-mutuel handle is
26		$100,000 or more, but less than $400,000, and the license fee

SB0690 Enrolled - 472 - LRB101 04451 HLH 49459 b
1		imposed by this subsection (b) shall be $400 for each racing
2		program on which the organization licensee's daily pari-mutuel
3		handle is $400,000 or more.
4		(c) Sections 11-42-1, 11-42-5, and 11-54-1 of the "Illinois
5		Municipal Code," approved May 29, 1961, as now or hereafter
6		amended, shall not apply to any license under this Act.
7		(Source: P.A. 97-1060, eff. 8-24-12.)
8		(230 ILCS 5/19) (from Ch. 8, par. 37-19)
9		Sec. 19. (a) No organization license may be granted to
10		conduct a horse race meeting:
11		(1) except as provided in subsection (c) of Section 21
12		of this Act, to any person at any place within 35 miles of
13		any other place licensed by the Board to hold a race
14		meeting on the same date during the same hours, the mileage
15		measurement used in this subsection (a) shall be certified
16		to the Board by the Bureau of Systems and Services in the
17		Illinois Department of Transportation as the most commonly
18		used public way of vehicular travel;
19		(2) to any person in default in the payment of any
20		obligation or debt due the State under this Act, provided
21		no applicant shall be deemed in default in the payment of
22		any obligation or debt due to the State under this Act as
23		long as there is pending a hearing of any kind relevant to
24		such matter;
25		(3) to any person who has been convicted of the

SB0690 Enrolled - 473 - LRB101 04451 HLH 49459 b
1		violation of any law of the United States or any State law
2		which provided as all or part of its penalty imprisonment
3		in any penal institution; to any person against whom there
4		is pending a Federal or State criminal charge; to any
5		person who is or has been connected with or engaged in the
6		operation of any illegal business; to any person who does
7		not enjoy a general reputation in his community of being an
8		honest, upright, law-abiding person; provided that none of
9		the matters set forth in this subparagraph (3) shall make
10		any person ineligible to be granted an organization license
11		if the Board determines, based on circumstances of any such
12		case, that the granting of a license would not be
13		detrimental to the interests of horse racing and of the
14		public;
15		(4) to any person who does not at the time of
16		application for the organization license own or have a
17		contract or lease for the possession of a finished race
18		track suitable for the type of racing intended to be held
19		by the applicant and for the accommodation of the public.
20		(b) (Blank) Horse racing on Sunday shall be prohibited
21		unless authorized by ordinance or referendum of the
22		municipality in which a race track or any of its appurtenances
23		or facilities are located, or utilized.
24		(c) If any person is ineligible to receive an organization
25		license because of any of the matters set forth in subsection
26		(a) (2) or subsection (a) (3) of this Section, any other or

SB0690 Enrolled - 474 - LRB101 04451 HLH 49459 b
1		separate person that either (i) controls, directly or
2		indirectly, such ineligible person or (ii) is controlled,
3		directly or indirectly, by such ineligible person or by a
4		person which controls, directly or indirectly, such ineligible
5		person shall also be ineligible.
6		(Source: P.A. 88-495; 89-16, eff. 5-30-95.)
7		(230 ILCS 5/19.5 new)
8		Sec. 19.5. Standardbred racetrack in Cook County.
9		Notwithstanding anything in this Act to the contrary, in
10		addition to organization licenses issued by the Board on the
11		effective date of this amendatory Act of the 101st General
12		Assembly, the Board shall issue an organization license limited
13		to standardbred racing to a racetrack located in one of the
14		following townships of Cook County: Bloom, Bremen, Calumet,
15		Orland, Rich, Thornton, or Worth. This additional organization
16		license shall not be issued within a 35-mile radius of another
17		organization license issued by the Board on the effective date
18		of this amendatory Act of the 101st General Assembly, unless
19		the person having operating control of such racetrack has given
20		written consent to the organization licensee applicant, which
21		consent must be filed with the Board at or prior to the time
22		application is made. The organization license shall be granted
23		upon application, and the licensee shall have all of the
24		current and future rights of existing Illinois racetracks,
25		including, but not limited to, the ability to obtain an

SB0690 Enrolled - 475 - LRB101 04451 HLH 49459 b
1		inter-track wagering license, the ability to obtain
2		inter-track wagering location licenses, the ability to obtain
3		an organization gaming license pursuant to the Illinois
4		Gambling Act with 1,200 gaming positions, and the ability to
5		offer Internet wagering on horse racing.
6		(230 ILCS 5/20) (from Ch. 8, par. 37-20)
7		Sec. 20. (a) Any person desiring to conduct a horse race
8		meeting may apply to the Board for an organization license. The
9		application shall be made on a form prescribed and furnished by
10		the Board. The application shall specify:
11		(1) the dates on which it intends to conduct the horse
12		race meeting, which dates shall be provided under Section
13		21;
14		(2) the hours of each racing day between which it
15		intends to hold or conduct horse racing at such meeting;
16		(3) the location where it proposes to conduct the
17		meeting; and
18		(4) any other information the Board may reasonably
19		require.
20		(b) A separate application for an organization license
21		shall be filed for each horse race meeting which such person
22		proposes to hold. Any such application, if made by an
23		individual, or by any individual as trustee, shall be signed
24		and verified under oath by such individual. If the application
25		is made by individuals, then it shall be signed and verified

SB0690 Enrolled - 476 - LRB101 04451 HLH 49459 b
1		under oath by at least 2 of the individuals; if the application
2		is made by or a partnership, it shall be signed and verified
3		under oath by at least 2 of such individuals or members of such
4		partnership as the case may be. If made by an association, a
5		corporation, a corporate trustee, a limited liability company,
6		or any other entity, it shall be signed by an authorized
7		officer, a partner, a member, or a manager, as the case may be,
8		of the entity the president and attested by the secretary or
9		assistant secretary under the seal of such association, trust
10		or corporation if it has a seal, and shall also be verified
11		under oath by one of the signing officers.
12		(c) The application shall specify:
13		(1) the name of the persons, association, trust, or
14		corporation making such application; and
15		(2) the principal post office address of the applicant;
16		(3) if the applicant is a trustee, the names and
17		addresses of the beneficiaries; if the applicant is a
18		corporation, the names and post office addresses of all
19		officers, stockholders and directors; or if such
20		stockholders hold stock as a nominee or fiduciary, the
21		names and post office addresses of the parties these
22		persons, partnerships, corporations, or trusts who are the
23		beneficial owners thereof or who are beneficially
24		interested therein; and if the applicant is a partnership,
25		the names and post office addresses of all partners,
26		general or limited; if the applicant is a limited liability

SB0690 Enrolled - 477 - LRB101 04451 HLH 49459 b
1		company, the names and addresses of the manager and
2		members; and if the applicant is any other entity, the
3		names and addresses of all officers or other authorized
4		persons of the entity corporation, the name of the state of
5		its incorporation shall be specified.
6		(d) The applicant shall execute and file with the Board a
7		good faith affirmative action plan to recruit, train, and
8		upgrade minorities in all classifications within the
9		association.
10		(e) With such application there shall be delivered to the
11		Board a certified check or bank draft payable to the order of
12		the Board for an amount equal to $1,000. All applications for
13		the issuance of an organization license shall be filed with the
14		Board before August 1 of the year prior to the year for which
15		application is made and shall be acted upon by the Board at a
16		meeting to be held on such date as shall be fixed by the Board
17		during the last 15 days of September of such prior year. At
18		such meeting, the Board shall announce the award of the racing
19		meets, live racing schedule, and designation of host track to
20		the applicants and its approval or disapproval of each
21		application. No announcement shall be considered binding until
22		a formal order is executed by the Board, which shall be
23		executed no later than October 15 of that prior year. Absent
24		the agreement of the affected organization licensees, the Board
25		shall not grant overlapping race meetings to 2 or more tracks
26		that are within 100 miles of each other to conduct the

SB0690 Enrolled - 478 - LRB101 04451 HLH 49459 b
1		thoroughbred racing.
2		(e-1) The Board shall award standardbred racing dates to
3		organization licensees with an organization gaming license
4		pursuant to the following schedule:
5		(1) For the first calendar year of operation of
6		gambling games by an organization gaming licensee under
7		this amendatory Act of the 101st General Assembly, when a
8		single entity requests standardbred racing dates, the
9		Board shall award no fewer than 100 days of racing. The
10		100-day requirement may be reduced to no fewer than 80 days
11		if no dates are requested for the first 3 months of a
12		calendar year. If more than one entity requests
13		standardbred racing dates, the Board shall award no fewer
14		than 140 days of racing between the applicants.
15		(2) For the second calendar year of operation of
16		gambling games by an organization gaming licensee under
17		this amendatory Act of the 101st General Assembly, when a
18		single entity requests standardbred racing dates, the
19		Board shall award no fewer than 100 days of racing. The
20		100-day requirement may be reduced to no fewer than 80 days
21		if no dates are requested for the first 3 months of a
22		calendar year. If more than one entity requests
23		standardbred racing dates, the Board shall award no fewer
24		than 160 days of racing between the applicants.
25		(3) For the third calendar year of operation of
26		gambling games by an organization gaming licensee under

SB0690 Enrolled - 479 - LRB101 04451 HLH 49459 b
1		this amendatory Act of the 101st General Assembly, and each
2		calendar year thereafter, when a single entity requests
3		standardbred racing dates, the Board shall award no fewer
4		than 120 days of racing. The 120-day requirement may be
5		reduced to no fewer than 100 days if no dates are requested
6		for the first 3 months of a calendar year. If more than one
7		entity requests standardbred racing dates, the Board shall
8		award no fewer than 200 days of racing between the
9		applicants.
10		An organization licensee shall apply for racing dates
11		pursuant to this subsection (e-1). In awarding racing dates
12		under this subsection (e-1), the Board shall have the
13		discretion to allocate those standardbred racing dates among
14		these organization licensees.
15		(e-2) The Board shall award thoroughbred racing days to
16		Cook County organization licensees pursuant to the following
17		schedule:
18		(1) During the first year in which only one
19		organization licensee is awarded an organization gaming
20		license, the Board shall award no fewer than 110 days of
21		racing.
22		During the second year in which only one organization
23		licensee is awarded an organization gaming license, the
24		Board shall award no fewer than 115 racing days.
25		During the third year and every year thereafter, in
26		which only one organization licensee is awarded an

SB0690 Enrolled - 480 - LRB101 04451 HLH 49459 b
1		organization gaming license, the Board shall award no fewer
2		than 120 racing days.
3		(2) During the first year in which 2 organization
4		licensees are awarded an organization gaming license, the
5		Board shall award no fewer than 139 total racing days.
6		During the second year in which 2 organization
7		licensees are awarded an organization gaming license, the
8		Board shall award no fewer than 160 total racing days.
9		During the third year and every year thereafter in
10		which 2 organization licensees are awarded an organization
11		gaming license, the Board shall award no fewer than 174
12		total racing days.
13		A Cook County organization licensee shall apply for racing
14		dates pursuant to this subsection (e-2). In awarding racing
15		dates under this subsection (e-2), the Board shall have the
16		discretion to allocate those thoroughbred racing dates among
17		these Cook County organization licensees.
18		(e-3) In awarding racing dates for calendar year 2020 and
19		thereafter in connection with a racetrack in Madison County,
20		the Board shall award racing dates and such organization
21		licensee shall run at least 700 thoroughbred races at the
22		racetrack in Madison County each year.
23		Notwithstanding Section 7.7 of the Illinois Gambling Act or
24		any provision of this Act other than subsection (e-4.5), for
25		each calendar year for which an organization gaming licensee
26		located in Madison County requests racing dates resulting in

SB0690 Enrolled - 481 - LRB101 04451 HLH 49459 b
1		less than 700 live thoroughbred races at its racetrack
2		facility, the organization gaming licensee may not conduct
3		gaming pursuant to an organization gaming license issued under
4		the Illinois Gambling Act for the calendar year of such
5		requested live races.
6		(e-4) Notwithstanding the provisions of Section 7.7 of the
7		Illinois Gambling Act or any provision of this Act other than
8		subsections (e-3) and (e-4.5), for each calendar year for which
9		an organization gaming licensee requests thoroughbred racing
10		dates which results in a number of live races under its
11		organization license that is less than the total number of live
12		races which it conducted in 2017 at its racetrack facility, the
13		organization gaming licensee may not conduct gaming pursuant to
14		its organization gaming license for the calendar year of such
15		requested live races.
16		(e-4.1) Notwithstanding the provisions of Section 7.7 of
17		the Illinois Gambling Act or any provision of this Act other
18		than subsections (e-3) and (e-4.5), for each calendar year for
19		which an organization licensee requests racing dates for
20		standardbred racing which results in a number of live races
21		that is less than the total number of live races required in
22		subsection (e-1), the organization gaming licensee may not
23		conduct gaming pursuant to its organization gaming license for
24		the calendar year of such requested live races.
25		(e-4.5) The Board shall award the minimum live racing
26		guarantees contained in subsections (e-1), (e-2), and (e-3) to

SB0690 Enrolled - 482 - LRB101 04451 HLH 49459 b
1		ensure that each organization licensee shall individually run a
2		sufficient number of races per year to qualify for an
3		organization gaming license under this Act. The General
4		Assembly finds that the minimum live racing guarantees
5		contained in subsections (e-1), (e-2), and (e-3) are in the
6		best interest of the sport of horse racing, and that such
7		guarantees may only be reduced in the calendar year in which
8		they will be conducted in the limited circumstances described
9		in this subsection. The Board may decrease the number of racing
10		days without affecting an organization licensee's ability to
11		conduct gaming pursuant to an organization gaming license
12		issued under the Illinois Gambling Act only if the Board
13		determines, after notice and hearing, that:
14		(i) a decrease is necessary to maintain a sufficient
15		number of betting interests per race to ensure the
16		integrity of racing;
17		(ii) there are unsafe track conditions due to weather
18		or acts of God;
19		(iii) there is an agreement between an organization
20		licensee and the breed association that is applicable to
21		the involved live racing guarantee, such association
22		representing either the largest number of thoroughbred
23		owners and trainers or the largest number of standardbred
24		owners, trainers and drivers who race horses at the
25		involved organization licensee's racing meeting, so long
26		as the agreement does not compromise the integrity of the

SB0690 Enrolled - 483 - LRB101 04451 HLH 49459 b
1		sport of horse racing; or
2		(iv) the horse population or purse levels are
3		insufficient to provide the number of racing opportunities
4		otherwise required in this Act.
5		In decreasing the number of racing dates in accordance with
6		this subsection, the Board shall hold a hearing and shall
7		provide the public and all interested parties notice and an
8		opportunity to be heard. The Board shall accept testimony from
9		all interested parties, including any association representing
10		owners, trainers, jockeys, or drivers who will be affected by
11		the decrease in racing dates. The Board shall provide a written
12		explanation of the reasons for the decrease and the Board's
13		findings. The written explanation shall include a listing and
14		content of all communication between any party and any Illinois
15		Racing Board member or staff that does not take place at a
16		public meeting of the Board.
17		(e-5) In reviewing an application for the purpose of
18		granting an organization license consistent with the best
19		interests of the public and the sport of horse racing, the
20		Board shall consider:
21		(1) the character, reputation, experience, and
22		financial integrity of the applicant and of any other
23		separate person that either:
24		(i) controls the applicant, directly or
25		indirectly, or
26		(ii) is controlled, directly or indirectly, by

SB0690 Enrolled - 484 - LRB101 04451 HLH 49459 b
1		that applicant or by a person who controls, directly or
2		indirectly, that applicant;
3		(2) the applicant's facilities or proposed facilities
4		for conducting horse racing;
5		(3) the total revenue without regard to Section 32.1 to
6		be derived by the State and horsemen from the applicant's
7		conducting a race meeting;
8		(4) the applicant's good faith affirmative action plan
9		to recruit, train, and upgrade minorities in all employment
10		classifications;
11		(5) the applicant's financial ability to purchase and
12		maintain adequate liability and casualty insurance;
13		(6) the applicant's proposed and prior year's
14		promotional and marketing activities and expenditures of
15		the applicant associated with those activities;
16		(7) an agreement, if any, among organization licensees
17		as provided in subsection (b) of Section 21 of this Act;
18		and
19		(8) the extent to which the applicant exceeds or meets
20		other standards for the issuance of an organization license
21		that the Board shall adopt by rule.
22		In granting organization licenses and allocating dates for
23		horse race meetings, the Board shall have discretion to
24		determine an overall schedule, including required simulcasts
25		of Illinois races by host tracks that will, in its judgment, be
26		conducive to the best interests of the public and the sport of

SB0690 Enrolled - 485 - LRB101 04451 HLH 49459 b
1		horse racing.
2		(e-10) The Illinois Administrative Procedure Act shall
3		apply to administrative procedures of the Board under this Act
4		for the granting of an organization license, except that (1)
5		notwithstanding the provisions of subsection (b) of Section
6		10-40 of the Illinois Administrative Procedure Act regarding
7		cross-examination, the Board may prescribe rules limiting the
8		right of an applicant or participant in any proceeding to award
9		an organization license to conduct cross-examination of
10		witnesses at that proceeding where that cross-examination
11		would unduly obstruct the timely award of an organization
12		license under subsection (e) of Section 20 of this Act; (2) the
13		provisions of Section 10-45 of the Illinois Administrative
14		Procedure Act regarding proposals for decision are excluded
15		under this Act; (3) notwithstanding the provisions of
16		subsection (a) of Section 10-60 of the Illinois Administrative
17		Procedure Act regarding ex parte communications, the Board may
18		prescribe rules allowing ex parte communications with
19		applicants or participants in a proceeding to award an
20		organization license where conducting those communications
21		would be in the best interest of racing, provided all those
22		communications are made part of the record of that proceeding
23		pursuant to subsection (c) of Section 10-60 of the Illinois
24		Administrative Procedure Act; (4) the provisions of Section 14a
25		of this Act and the rules of the Board promulgated under that
26		Section shall apply instead of the provisions of Article 10 of

SB0690 Enrolled - 486 - LRB101 04451 HLH 49459 b
1		the Illinois Administrative Procedure Act regarding
2		administrative law judges; and (5) the provisions of subsection
3		(d) of Section 10-65 of the Illinois Administrative Procedure
4		Act that prevent summary suspension of a license pending
5		revocation or other action shall not apply.
6		(f) The Board may allot racing dates to an organization
7		licensee for more than one calendar year but for no more than 3
8		successive calendar years in advance, provided that the Board
9		shall review such allotment for more than one calendar year
10		prior to each year for which such allotment has been made. The
11		granting of an organization license to a person constitutes a
12		privilege to conduct a horse race meeting under the provisions
13		of this Act, and no person granted an organization license
14		shall be deemed to have a vested interest, property right, or
15		future expectation to receive an organization license in any
16		subsequent year as a result of the granting of an organization
17		license. Organization licenses shall be subject to revocation
18		if the organization licensee has violated any provision of this
19		Act or the rules and regulations promulgated under this Act or
20		has been convicted of a crime or has failed to disclose or has
21		stated falsely any information called for in the application
22		for an organization license. Any organization license
23		revocation proceeding shall be in accordance with Section 16
24		regarding suspension and revocation of occupation licenses.
25		(f-5) If, (i) an applicant does not file an acceptance of
26		the racing dates awarded by the Board as required under part

SB0690 Enrolled - 487 - LRB101 04451 HLH 49459 b
1		(1) of subsection (h) of this Section 20, or (ii) an
2		organization licensee has its license suspended or revoked
3		under this Act, the Board, upon conducting an emergency hearing
4		as provided for in this Act, may reaward on an emergency basis
5		pursuant to rules established by the Board, racing dates not
6		accepted or the racing dates associated with any suspension or
7		revocation period to one or more organization licensees, new
8		applicants, or any combination thereof, upon terms and
9		conditions that the Board determines are in the best interest
10		of racing, provided, the organization licensees or new
11		applicants receiving the awarded racing dates file an
12		acceptance of those reawarded racing dates as required under
13		paragraph (1) of subsection (h) of this Section 20 and comply
14		with the other provisions of this Act. The Illinois
15		Administrative Procedure Act shall not apply to the
16		administrative procedures of the Board in conducting the
17		emergency hearing and the reallocation of racing dates on an
18		emergency basis.
19		(g) (Blank).
20		(h) The Board shall send the applicant a copy of its
21		formally executed order by certified mail addressed to the
22		applicant at the address stated in his application, which
23		notice shall be mailed within 5 days of the date the formal
24		order is executed.
25		Each applicant notified shall, within 10 days after receipt
26		of the final executed order of the Board awarding racing dates:

SB0690 Enrolled - 488 - LRB101 04451 HLH 49459 b
1		(1) file with the Board an acceptance of such award in
2		the form prescribed by the Board;
3		(2) pay to the Board an additional amount equal to $110
4		for each racing date awarded; and
5		(3) file with the Board the bonds required in Sections
6		21 and 25 at least 20 days prior to the first day of each
7		race meeting.
8		Upon compliance with the provisions of paragraphs (1), (2), and
9		(3) of this subsection (h), the applicant shall be issued an
10		organization license.
11		If any applicant fails to comply with this Section or fails
12		to pay the organization license fees herein provided, no
13		organization license shall be issued to such applicant.
14		(Source: P.A. 97-333, eff. 8-12-11.)
15		(230 ILCS 5/21) (from Ch. 8, par. 37-21)
16		Sec. 21. (a) Applications for organization licenses must be
17		filed with the Board at a time and place prescribed by the
18		rules and regulations of the Board. The Board shall examine the
19		applications within 21 days after the date allowed for filing
20		with respect to their conformity with this Act and such rules
21		and regulations as may be prescribed by the Board. If any
22		application does not comply with this Act or the rules and
23		regulations prescribed by the Board, such application may be
24		rejected and an organization license refused to the applicant,
25		or the Board may, within 21 days of the receipt of such

SB0690 Enrolled - 489 - LRB101 04451 HLH 49459 b
1		application, advise the applicant of the deficiencies of the
2		application under the Act or the rules and regulations of the
3		Board, and require the submittal of an amended application
4		within a reasonable time determined by the Board; and upon
5		submittal of the amended application by the applicant, the
6		Board may consider the application consistent with the process
7		described in subsection (e-5) of Section 20 of this Act. If it
8		is found to be in compliance with this Act and the rules and
9		regulations of the Board, the Board may then issue an
10		organization license to such applicant.
11		(b) The Board may exercise discretion in granting racing
12		dates to qualified applicants different from those requested by
13		the applicants in their applications. However, if all eligible
14		applicants for organization licenses whose tracks are located
15		within 100 miles of each other execute and submit to the Board
16		a written agreement among such applicants as to the award of
17		racing dates, including where applicable racing programs, for
18		up to 3 consecutive years, then subject to annual review of
19		each applicant's compliance with Board rules and regulations,
20		provisions of this Act and conditions contained in annual dates
21		orders issued by the Board, the Board may grant such dates and
22		programs to such applicants as so agreed by them if the Board
23		determines that the grant of these racing dates is in the best
24		interests of racing. The Board shall treat any such agreement
25		as the agreement signatories' joint and several application for
26		racing dates during the term of the agreement.

SB0690 Enrolled - 490 - LRB101 04451 HLH 49459 b
1		(c) Where 2 or more applicants propose to conduct horse
2		race meetings within 35 miles of each other, as certified to
3		the Board under Section 19 (a) (1) of this Act, on conflicting
4		dates, the Board may determine and grant the number of racing
5		days to be awarded to the several applicants in accordance with
6		the provisions of subsection (e-5) of Section 20 of this Act.
7		(d) (Blank).
8		(e) Prior to the issuance of an organization license, the
9		applicant shall file with the Board a bond payable to the State
10		of Illinois in the sum of $200,000, executed by the applicant
11		and a surety company or companies authorized to do business in
12		this State, and conditioned upon the payment by the
13		organization licensee of all taxes due under Section 27, other
14		monies due and payable under this Act, all purses due and
15		payable, and that the organization licensee will upon
16		presentation of the winning ticket or tickets distribute all
17		sums due to the patrons of pari-mutuel pools. Beginning on the
18		date when any organization licensee begins conducting gaming
19		pursuant to an organization gaming license issued under the
20		Illinois Gambling Act, the amount of the bond required under
21		this subsection (e) shall be $500,000.
22		(f) Each organization license shall specify the person to
23		whom it is issued, the dates upon which horse racing is
24		permitted, and the location, place, track, or enclosure where
25		the horse race meeting is to be held.
26		(g) Any person who owns one or more race tracks within the

SB0690 Enrolled - 491 - LRB101 04451 HLH 49459 b
1		State may seek, in its own name, a separate organization
2		license for each race track.
3		(h) All racing conducted under such organization license is
4		subject to this Act and to the rules and regulations from time
5		to time prescribed by the Board, and every such organization
6		license issued by the Board shall contain a recital to that
7		effect.
8		(i) Each such organization licensee may provide that at
9		least one race per day may be devoted to the racing of quarter
10		horses, appaloosas, arabians, or paints.
11		(j) In acting on applications for organization licenses,
12		the Board shall give weight to an organization license which
13		has implemented a good faith affirmative action effort to
14		recruit, train and upgrade minorities in all classifications
15		within the organization license.
16		(Source: P.A. 90-754, eff. 1-1-99; 91-40, eff. 6-25-99.)
17		(230 ILCS 5/24) (from Ch. 8, par. 37-24)
18		Sec. 24. (a) No license shall be issued to or held by an
19		organization licensee unless all of its officers, directors,
20		and holders of ownership interests of at least 5% are first
21		approved by the Board. The Board shall not give approval of an
22		organization license application to any person who has been
23		convicted of or is under an indictment for a crime of moral
24		turpitude or has violated any provision of the racing law of
25		this State or any rules of the Board.

SB0690 Enrolled - 492 - LRB101 04451 HLH 49459 b
1		(b) An organization licensee must notify the Board within
2		10 days of any change in the holders of a direct or indirect
3		interest in the ownership of the organization licensee. The
4		Board may, after hearing, revoke the organization license of
5		any person who registers on its books or knowingly permits a
6		direct or indirect interest in the ownership of that person
7		without notifying the Board of the name of the holder in
8		interest within this period.
9		(c) In addition to the provisions of subsection (a) of this
10		Section, no person shall be granted an organization license if
11		any public official of the State or member of his or her family
12		holds any ownership or financial interest, directly or
13		indirectly, in the person.
14		(d) No person which has been granted an organization
15		license to hold a race meeting shall give to any public
16		official or member of his family, directly or indirectly, for
17		or without consideration, any interest in the person. The Board
18		shall, after hearing, revoke the organization license granted
19		to a person which has violated this subsection.
20		(e) (Blank).
21		(f) No organization licensee or concessionaire or officer,
22		director or holder or controller of 5% or more legal or
23		beneficial interest in any organization licensee or concession
24		shall make any sort of gift or contribution that is prohibited
25		under Article 10 of the State Officials and Employees Ethics
26		Act of any kind or pay or give any money or other thing of value

SB0690 Enrolled - 493 - LRB101 04451 HLH 49459 b
1		to any person who is a public official, or a candidate or
2		nominee for public office if that payment or gift is prohibited
3		under Article 10 of the State Officials and Employees Ethics
4		Act.
5		(Source: P.A. 89-16, eff. 5-30-95.)
6		(230 ILCS 5/25) (from Ch. 8, par. 37-25)
7		Sec. 25. Admission charge; bond; fine.
8		(a) There shall be paid to the Board at such time or times
9		as it shall prescribe, the sum of fifteen cents (15¢) for each
10		person entering the grounds or enclosure of each organization
11		licensee and inter-track wagering licensee upon a ticket of
12		admission except as provided in subsection (g) of Section 27 of
13		this Act. If tickets are issued for more than one day then the
14		sum of fifteen cents (15¢) shall be paid for each person using
15		such ticket on each day that the same shall be used. Provided,
16		however, that no charge shall be made on tickets of admission
17		issued to and in the name of directors, officers, agents or
18		employees of the organization licensee, or inter-track
19		wagering licensee, or to owners, trainers, jockeys, drivers and
20		their employees or to any person or persons entering the
21		grounds or enclosure for the transaction of business in
22		connection with such race meeting. The organization licensee or
23		inter-track wagering licensee may, if it desires, collect such
24		amount from each ticket holder in addition to the amount or
25		amounts charged for such ticket of admission. Beginning on the

SB0690 Enrolled - 494 - LRB101 04451 HLH 49459 b
1		date when any organization licensee begins conducting gaming
2		pursuant to an organization gaming license issued under the
3		Illinois Gambling Act, the admission charge imposed by this
4		subsection (a) shall be 40 cents for each person entering the
5		grounds or enclosure of each organization licensee and
6		inter-track wagering licensee upon a ticket of admission, and
7		if such tickets are issued for more than one day, 40 cents
8		shall be paid for each person using such ticket on each day
9		that the same shall be used.
10		(b) Accurate records and books shall at all times be kept
11		and maintained by the organization licensees and inter-track
12		wagering licensees showing the admission tickets issued and
13		used on each racing day and the attendance thereat of each
14		horse racing meeting. The Board or its duly authorized
15		representative or representatives shall at all reasonable
16		times have access to the admission records of any organization
17		licensee and inter-track wagering licensee for the purpose of
18		examining and checking the same and ascertaining whether or not
19		the proper amount has been or is being paid the State of
20		Illinois as herein provided. The Board shall also require,
21		before issuing any license, that the licensee shall execute and
22		deliver to it a bond, payable to the State of Illinois, in such
23		sum as it shall determine, not, however, in excess of fifty
24		thousand dollars ($50,000), with a surety or sureties to be
25		approved by it, conditioned for the payment of all sums due and
26		payable or collected by it under this Section upon admission

SB0690 Enrolled - 495 - LRB101 04451 HLH 49459 b
1		fees received for any particular racing meetings. The Board may
2		also from time to time require sworn statements of the number
3		or numbers of such admissions and may prescribe blanks upon
4		which such reports shall be made. Any organization licensee or
5		inter-track wagering licensee failing or refusing to pay the
6		amount found to be due as herein provided, shall be deemed
7		guilty of a business offense and upon conviction shall be
8		punished by a fine of not more than five thousand dollars
9		($5,000) in addition to the amount due from such organization
10		licensee or inter-track wagering licensee as herein provided.
11		All fines paid into court by an organization licensee or
12		inter-track wagering licensee found guilty of violating this
13		Section shall be transmitted and paid over by the clerk of the
14		court to the Board. Beginning on the date when any organization
15		licensee begins conducting gaming pursuant to an organization
16		gaming license issued under the Illinois Gambling Act, any fine
17		imposed pursuant to this subsection (b) shall not exceed
18		$10,000.
19		(Source: P.A. 88-495; 89-16, eff. 5-30-95.)
20		(230 ILCS 5/26) (from Ch. 8, par. 37-26)
21		Sec. 26. Wagering.
22		(a) Any licensee may conduct and supervise the pari-mutuel
23		system of wagering, as defined in Section 3.12 of this Act, on
24		horse races conducted by an Illinois organization licensee or
25		conducted at a racetrack located in another state or country

SB0690 Enrolled - 496 - LRB101 04451 HLH 49459 b
1		and televised in Illinois in accordance with subsection (g) of
2		Section 26 of this Act. Subject to the prior consent of the
3		Board, licensees may supplement any pari-mutuel pool in order
4		to guarantee a minimum distribution. Such pari-mutuel method of
5		wagering shall not, under any circumstances if conducted under
6		the provisions of this Act, be held or construed to be
7		unlawful, other statutes of this State to the contrary
8		notwithstanding. Subject to rules for advance wagering
9		promulgated by the Board, any licensee may accept wagers in
10		advance of the day of the race wagered upon occurs.
11		(b) Except for those gaming activities for which a license
12		is obtained and authorized under the Illinois Lottery Law, the
13		Charitable Games Act, the Raffles and Poker Runs Act, or the
14		Illinois Gambling Act, no No other method of betting, pool
15		making, wagering or gambling shall be used or permitted by the
16		licensee. Each licensee may retain, subject to the payment of
17		all applicable taxes and purses, an amount not to exceed 17% of
18		all money wagered under subsection (a) of this Section, except
19		as may otherwise be permitted under this Act.
20		(b-5) An individual may place a wager under the pari-mutuel
21		system from any licensed location authorized under this Act
22		provided that wager is electronically recorded in the manner
23		described in Section 3.12 of this Act. Any wager made
24		electronically by an individual while physically on the
25		premises of a licensee shall be deemed to have been made at the
26		premises of that licensee.

SB0690 Enrolled - 497 - LRB101 04451 HLH 49459 b
1		(c) (Blank). Until January 1, 2000, the sum held by any
2		licensee for payment of outstanding pari-mutuel tickets, if
3		unclaimed prior to December 31 of the next year, shall be
4		retained by the licensee for payment of such tickets until that
5		date. Within 10 days thereafter, the balance of such sum
6		remaining unclaimed, less any uncashed supplements contributed
7		by such licensee for the purpose of guaranteeing minimum
8		distributions of any pari-mutuel pool, shall be paid to the
9		Illinois Veterans' Rehabilitation Fund of the State treasury,
10		except as provided in subsection (g) of Section 27 of this Act.
11		(c-5) The Beginning January 1, 2000, the sum held by any
12		licensee for payment of outstanding pari-mutuel tickets, if
13		unclaimed prior to December 31 of the next year, shall be
14		retained by the licensee for payment of such tickets until that
15		date. Within 10 days thereafter, the balance of such sum
16		remaining unclaimed, less any uncashed supplements contributed
17		by such licensee for the purpose of guaranteeing minimum
18		distributions of any pari-mutuel pool, shall be evenly
19		distributed to the purse account of the organization licensee
20		and the organization licensee, except that the balance of the
21		sum of all outstanding pari-mutuel tickets generated from
22		simulcast wagering and inter-track wagering by an organization
23		licensee located in a county with a population in excess of
24		230,000 and borders the Mississippi River or any licensee that
25		derives its license from that organization licensee shall be
26		evenly distributed to the purse account of the organization

SB0690 Enrolled - 498 - LRB101 04451 HLH 49459 b
1		licensee and the organization licensee.
2		(d) A pari-mutuel ticket shall be honored until December 31
3		of the next calendar year, and the licensee shall pay the same
4		and may charge the amount thereof against unpaid money
5		similarly accumulated on account of pari-mutuel tickets not
6		presented for payment.
7		(e) No licensee shall knowingly permit any minor, other
8		than an employee of such licensee or an owner, trainer, jockey,
9		driver, or employee thereof, to be admitted during a racing
10		program unless accompanied by a parent or guardian, or any
11		minor to be a patron of the pari-mutuel system of wagering
12		conducted or supervised by it. The admission of any
13		unaccompanied minor, other than an employee of the licensee or
14		an owner, trainer, jockey, driver, or employee thereof at a
15		race track is a Class C misdemeanor.
16		(f) Notwithstanding the other provisions of this Act, an
17		organization licensee may contract with an entity in another
18		state or country to permit any legal wagering entity in another
19		state or country to accept wagers solely within such other
20		state or country on races conducted by the organization
21		licensee in this State. Beginning January 1, 2000, these wagers
22		shall not be subject to State taxation. Until January 1, 2000,
23		when the out-of-State entity conducts a pari-mutuel pool
24		separate from the organization licensee, a privilege tax equal
25		to 7 1/2% of all monies received by the organization licensee
26		from entities in other states or countries pursuant to such

SB0690 Enrolled - 499 - LRB101 04451 HLH 49459 b
1		contracts is imposed on the organization licensee, and such
2		privilege tax shall be remitted to the Department of Revenue
3		within 48 hours of receipt of the moneys from the simulcast.
4		When the out-of-State entity conducts a combined pari-mutuel
5		pool with the organization licensee, the tax shall be 10% of
6		all monies received by the organization licensee with 25% of
7		the receipts from this 10% tax to be distributed to the county
8		in which the race was conducted.
9		An organization licensee may permit one or more of its
10		races to be utilized for pari-mutuel wagering at one or more
11		locations in other states and may transmit audio and visual
12		signals of races the organization licensee conducts to one or
13		more locations outside the State or country and may also permit
14		pari-mutuel pools in other states or countries to be combined
15		with its gross or net wagering pools or with wagering pools
16		established by other states.
17		(g) A host track may accept interstate simulcast wagers on
18		horse races conducted in other states or countries and shall
19		control the number of signals and types of breeds of racing in
20		its simulcast program, subject to the disapproval of the Board.
21		The Board may prohibit a simulcast program only if it finds
22		that the simulcast program is clearly adverse to the integrity
23		of racing. The host track simulcast program shall include the
24		signal of live racing of all organization licensees. All
25		non-host licensees and advance deposit wagering licensees
26		shall carry the signal of and accept wagers on live racing of

SB0690 Enrolled - 500 - LRB101 04451 HLH 49459 b
1		all organization licensees. Advance deposit wagering licensees
2		shall not be permitted to accept out-of-state wagers on any
3		Illinois signal provided pursuant to this Section without the
4		approval and consent of the organization licensee providing the
5		signal. For one year after August 15, 2014 (the effective date
6		of Public Act 98-968), non-host licensees may carry the host
7		track simulcast program and shall accept wagers on all races
8		included as part of the simulcast program of horse races
9		conducted at race tracks located within North America upon
10		which wagering is permitted. For a period of one year after
11		August 15, 2014 (the effective date of Public Act 98-968), on
12		horse races conducted at race tracks located outside of North
13		America, non-host licensees may accept wagers on all races
14		included as part of the simulcast program upon which wagering
15		is permitted. Beginning August 15, 2015 (one year after the
16		effective date of Public Act 98-968), non-host licensees may
17		carry the host track simulcast program and shall accept wagers
18		on all races included as part of the simulcast program upon
19		which wagering is permitted. All organization licensees shall
20		provide their live signal to all advance deposit wagering
21		licensees for a simulcast commission fee not to exceed 6% of
22		the advance deposit wagering licensee's Illinois handle on the
23		organization licensee's signal without prior approval by the
24		Board. The Board may adopt rules under which it may permit
25		simulcast commission fees in excess of 6%. The Board shall
26		adopt rules limiting the interstate commission fees charged to

SB0690 Enrolled - 501 - LRB101 04451 HLH 49459 b
1		an advance deposit wagering licensee. The Board shall adopt
2		rules regarding advance deposit wagering on interstate
3		simulcast races that shall reflect, among other things, the
4		General Assembly's desire to maximize revenues to the State,
5		horsemen purses, and organization organizational licensees.
6		However, organization licensees providing live signals
7		pursuant to the requirements of this subsection (g) may
8		petition the Board to withhold their live signals from an
9		advance deposit wagering licensee if the organization licensee
10		discovers and the Board finds reputable or credible information
11		that the advance deposit wagering licensee is under
12		investigation by another state or federal governmental agency,
13		the advance deposit wagering licensee's license has been
14		suspended in another state, or the advance deposit wagering
15		licensee's license is in revocation proceedings in another
16		state. The organization licensee's provision of their live
17		signal to an advance deposit wagering licensee under this
18		subsection (g) pertains to wagers placed from within Illinois.
19		Advance deposit wagering licensees may place advance deposit
20		wagering terminals at wagering facilities as a convenience to
21		customers. The advance deposit wagering licensee shall not
22		charge or collect any fee from purses for the placement of the
23		advance deposit wagering terminals. The costs and expenses of
24		the host track and non-host licensees associated with
25		interstate simulcast wagering, other than the interstate
26		commission fee, shall be borne by the host track and all

SB0690 Enrolled - 502 - LRB101 04451 HLH 49459 b
1		non-host licensees incurring these costs. The interstate
2		commission fee shall not exceed 5% of Illinois handle on the
3		interstate simulcast race or races without prior approval of
4		the Board. The Board shall promulgate rules under which it may
5		permit interstate commission fees in excess of 5%. The
6		interstate commission fee and other fees charged by the sending
7		racetrack, including, but not limited to, satellite decoder
8		fees, shall be uniformly applied to the host track and all
9		non-host licensees.
10		Notwithstanding any other provision of this Act, through
11		December 31, 2020, an organization licensee, with the consent
12		of the horsemen association representing the largest number of
13		owners, trainers, jockeys, or standardbred drivers who race
14		horses at that organization licensee's racing meeting, may
15		maintain a system whereby advance deposit wagering may take
16		place or an organization licensee, with the consent of the
17		horsemen association representing the largest number of
18		owners, trainers, jockeys, or standardbred drivers who race
19		horses at that organization licensee's racing meeting, may
20		contract with another person to carry out a system of advance
21		deposit wagering. Such consent may not be unreasonably
22		withheld. Only with respect to an appeal to the Board that
23		consent for an organization licensee that maintains its own
24		advance deposit wagering system is being unreasonably
25		withheld, the Board shall issue a final order within 30 days
26		after initiation of the appeal, and the organization licensee's

SB0690 Enrolled - 503 - LRB101 04451 HLH 49459 b
1		advance deposit wagering system may remain operational during
2		that 30-day period. The actions of any organization licensee
3		who conducts advance deposit wagering or any person who has a
4		contract with an organization licensee to conduct advance
5		deposit wagering who conducts advance deposit wagering on or
6		after January 1, 2013 and prior to June 7, 2013 (the effective
7		date of Public Act 98-18) taken in reliance on the changes made
8		to this subsection (g) by Public Act 98-18 are hereby
9		validated, provided payment of all applicable pari-mutuel
10		taxes are remitted to the Board. All advance deposit wagers
11		placed from within Illinois must be placed through a
12		Board-approved advance deposit wagering licensee; no other
13		entity may accept an advance deposit wager from a person within
14		Illinois. All advance deposit wagering is subject to any rules
15		adopted by the Board. The Board may adopt rules necessary to
16		regulate advance deposit wagering through the use of emergency
17		rulemaking in accordance with Section 5-45 of the Illinois
18		Administrative Procedure Act. The General Assembly finds that
19		the adoption of rules to regulate advance deposit wagering is
20		deemed an emergency and necessary for the public interest,
21		safety, and welfare. An advance deposit wagering licensee may
22		retain all moneys as agreed to by contract with an organization
23		licensee. Any moneys retained by the organization licensee from
24		advance deposit wagering, not including moneys retained by the
25		advance deposit wagering licensee, shall be paid 50% to the
26		organization licensee's purse account and 50% to the

SB0690 Enrolled - 504 - LRB101 04451 HLH 49459 b
1		organization licensee. With the exception of any organization
2		licensee that is owned by a publicly traded company that is
3		incorporated in a state other than Illinois and advance deposit
4		wagering licensees under contract with such organization
5		licensees, organization licensees that maintain advance
6		deposit wagering systems and advance deposit wagering
7		licensees that contract with organization licensees shall
8		provide sufficiently detailed monthly accountings to the
9		horsemen association representing the largest number of
10		owners, trainers, jockeys, or standardbred drivers who race
11		horses at that organization licensee's racing meeting so that
12		the horsemen association, as an interested party, can confirm
13		the accuracy of the amounts paid to the purse account at the
14		horsemen association's affiliated organization licensee from
15		advance deposit wagering. If more than one breed races at the
16		same race track facility, then the 50% of the moneys to be paid
17		to an organization licensee's purse account shall be allocated
18		among all organization licensees' purse accounts operating at
19		that race track facility proportionately based on the actual
20		number of host days that the Board grants to that breed at that
21		race track facility in the current calendar year. To the extent
22		any fees from advance deposit wagering conducted in Illinois
23		for wagers in Illinois or other states have been placed in
24		escrow or otherwise withheld from wagers pending a
25		determination of the legality of advance deposit wagering, no
26		action shall be brought to declare such wagers or the

SB0690 Enrolled - 505 - LRB101 04451 HLH 49459 b
1		disbursement of any fees previously escrowed illegal.
2		(1) Between the hours of 6:30 a.m. and 6:30 p.m. an
3		inter-track wagering licensee other than the host track may
4		supplement the host track simulcast program with
5		additional simulcast races or race programs, provided that
6		between January 1 and the third Friday in February of any
7		year, inclusive, if no live thoroughbred racing is
8		occurring in Illinois during this period, only
9		thoroughbred races may be used for supplemental interstate
10		simulcast purposes. The Board shall withhold approval for a
11		supplemental interstate simulcast only if it finds that the
12		simulcast is clearly adverse to the integrity of racing. A
13		supplemental interstate simulcast may be transmitted from
14		an inter-track wagering licensee to its affiliated
15		non-host licensees. The interstate commission fee for a
16		supplemental interstate simulcast shall be paid by the
17		non-host licensee and its affiliated non-host licensees
18		receiving the simulcast.
19		(2) Between the hours of 6:30 p.m. and 6:30 a.m. an
20		inter-track wagering licensee other than the host track may
21		receive supplemental interstate simulcasts only with the
22		consent of the host track, except when the Board finds that
23		the simulcast is clearly adverse to the integrity of
24		racing. Consent granted under this paragraph (2) to any
25		inter-track wagering licensee shall be deemed consent to
26		all non-host licensees. The interstate commission fee for

SB0690 Enrolled - 506 - LRB101 04451 HLH 49459 b
1		the supplemental interstate simulcast shall be paid by all
2		participating non-host licensees.
3		(3) Each licensee conducting interstate simulcast
4		wagering may retain, subject to the payment of all
5		applicable taxes and the purses, an amount not to exceed
6		17% of all money wagered. If any licensee conducts the
7		pari-mutuel system wagering on races conducted at
8		racetracks in another state or country, each such race or
9		race program shall be considered a separate racing day for
10		the purpose of determining the daily handle and computing
11		the privilege tax of that daily handle as provided in
12		subsection (a) of Section 27. Until January 1, 2000, from
13		the sums permitted to be retained pursuant to this
14		subsection, each inter-track wagering location licensee
15		shall pay 1% of the pari-mutuel handle wagered on simulcast
16		wagering to the Horse Racing Tax Allocation Fund, subject
17		to the provisions of subparagraph (B) of paragraph (11) of
18		subsection (h) of Section 26 of this Act.
19		(4) A licensee who receives an interstate simulcast may
20		combine its gross or net pools with pools at the sending
21		racetracks pursuant to rules established by the Board. All
22		licensees combining their gross pools at a sending
23		racetrack shall adopt the takeout take-out percentages of
24		the sending racetrack. A licensee may also establish a
25		separate pool and takeout structure for wagering purposes
26		on races conducted at race tracks outside of the State of

SB0690 Enrolled - 507 - LRB101 04451 HLH 49459 b
1		Illinois. The licensee may permit pari-mutuel wagers
2		placed in other states or countries to be combined with its
3		gross or net wagering pools or other wagering pools.
4		(5) After the payment of the interstate commission fee
5		(except for the interstate commission fee on a supplemental
6		interstate simulcast, which shall be paid by the host track
7		and by each non-host licensee through the host track
8		host-track) and all applicable State and local taxes,
9		except as provided in subsection (g) of Section 27 of this
10		Act, the remainder of moneys retained from simulcast
11		wagering pursuant to this subsection (g), and Section 26.2
12		shall be divided as follows:
13		(A) For interstate simulcast wagers made at a host
14		track, 50% to the host track and 50% to purses at the
15		host track.
16		(B) For wagers placed on interstate simulcast
17		races, supplemental simulcasts as defined in
18		subparagraphs (1) and (2), and separately pooled races
19		conducted outside of the State of Illinois made at a
20		non-host licensee, 25% to the host track, 25% to the
21		non-host licensee, and 50% to the purses at the host
22		track.
23		(6) Notwithstanding any provision in this Act to the
24		contrary, non-host licensees who derive their licenses
25		from a track located in a county with a population in
26		excess of 230,000 and that borders the Mississippi River

SB0690 Enrolled - 508 - LRB101 04451 HLH 49459 b
1		may receive supplemental interstate simulcast races at all
2		times subject to Board approval, which shall be withheld
3		only upon a finding that a supplemental interstate
4		simulcast is clearly adverse to the integrity of racing.
5		(7) Effective January 1, 2017, notwithstanding any
6		provision of this Act to the contrary, after payment of all
7		applicable State and local taxes and interstate commission
8		fees, non-host licensees who derive their licenses from a
9		track located in a county with a population in excess of
10		230,000 and that borders the Mississippi River shall retain
11		50% of the retention from interstate simulcast wagers and
12		shall pay 50% to purses at the track from which the
13		non-host licensee derives its license.
14		(7.1) Notwithstanding any other provision of this Act
15		to the contrary, if no standardbred racing is conducted at
16		a racetrack located in Madison County during any calendar
17		year beginning on or after January 1, 2002, all moneys
18		derived by that racetrack from simulcast wagering and
19		inter-track wagering that (1) are to be used for purses and
20		(2) are generated between the hours of 6:30 p.m. and 6:30
21		a.m. during that calendar year shall be paid as follows:
22		(A) If the licensee that conducts horse racing at
23		that racetrack requests from the Board at least as many
24		racing dates as were conducted in calendar year 2000,
25		80% shall be paid to its thoroughbred purse account;
26		and

SB0690 Enrolled - 509 - LRB101 04451 HLH 49459 b
1		(B) Twenty percent shall be deposited into the
2		Illinois Colt Stakes Purse Distribution Fund and shall
3		be paid to purses for standardbred races for Illinois
4		conceived and foaled horses conducted at any county
5		fairgrounds. The moneys deposited into the Fund
6		pursuant to this subparagraph (B) shall be deposited
7		within 2 weeks after the day they were generated, shall
8		be in addition to and not in lieu of any other moneys
9		paid to standardbred purses under this Act, and shall
10		not be commingled with other moneys paid into that
11		Fund. The moneys deposited pursuant to this
12		subparagraph (B) shall be allocated as provided by the
13		Department of Agriculture, with the advice and
14		assistance of the Illinois Standardbred Breeders Fund
15		Advisory Board.
16		(7.2) Notwithstanding any other provision of this Act
17		to the contrary, if no thoroughbred racing is conducted at
18		a racetrack located in Madison County during any calendar
19		year beginning on or after January 1, 2002, all moneys
20		derived by that racetrack from simulcast wagering and
21		inter-track wagering that (1) are to be used for purses and
22		(2) are generated between the hours of 6:30 a.m. and 6:30
23		p.m. during that calendar year shall be deposited as
24		follows:
25		(A) If the licensee that conducts horse racing at
26		that racetrack requests from the Board at least as many

SB0690 Enrolled - 510 - LRB101 04451 HLH 49459 b
1		racing dates as were conducted in calendar year 2000,
2		80% shall be deposited into its standardbred purse
3		account; and
4		(B) Twenty percent shall be deposited into the
5		Illinois Colt Stakes Purse Distribution Fund. Moneys
6		deposited into the Illinois Colt Stakes Purse
7		Distribution Fund pursuant to this subparagraph (B)
8		shall be paid to Illinois conceived and foaled
9		thoroughbred breeders' programs and to thoroughbred
10		purses for races conducted at any county fairgrounds
11		for Illinois conceived and foaled horses at the
12		discretion of the Department of Agriculture, with the
13		advice and assistance of the Illinois Thoroughbred
14		Breeders Fund Advisory Board. The moneys deposited
15		into the Illinois Colt Stakes Purse Distribution Fund
16		pursuant to this subparagraph (B) shall be deposited
17		within 2 weeks after the day they were generated, shall
18		be in addition to and not in lieu of any other moneys
19		paid to thoroughbred purses under this Act, and shall
20		not be commingled with other moneys deposited into that
21		Fund.
22		(7.3) (Blank).
23		(7.4) (Blank).
24		(8) Notwithstanding any provision in this Act to the
25		contrary, an organization licensee from a track located in
26		a county with a population in excess of 230,000 and that

SB0690 Enrolled - 511 - LRB101 04451 HLH 49459 b
1		borders the Mississippi River and its affiliated non-host
2		licensees shall not be entitled to share in any retention
3		generated on racing, inter-track wagering, or simulcast
4		wagering at any other Illinois wagering facility.
5		(8.1) Notwithstanding any provisions in this Act to the
6		contrary, if 2 organization licensees are conducting
7		standardbred race meetings concurrently between the hours
8		of 6:30 p.m. and 6:30 a.m., after payment of all applicable
9		State and local taxes and interstate commission fees, the
10		remainder of the amount retained from simulcast wagering
11		otherwise attributable to the host track and to host track
12		purses shall be split daily between the 2 organization
13		licensees and the purses at the tracks of the 2
14		organization licensees, respectively, based on each
15		organization licensee's share of the total live handle for
16		that day, provided that this provision shall not apply to
17		any non-host licensee that derives its license from a track
18		located in a county with a population in excess of 230,000
19		and that borders the Mississippi River.
20		(9) (Blank).
21		(10) (Blank).
22		(11) (Blank).
23		(12) The Board shall have authority to compel all host
24		tracks to receive the simulcast of any or all races
25		conducted at the Springfield or DuQuoin State fairgrounds
26		and include all such races as part of their simulcast

SB0690 Enrolled - 512 - LRB101 04451 HLH 49459 b
1		programs.
2		(13) Notwithstanding any other provision of this Act,
3		in the event that the total Illinois pari-mutuel handle on
4		Illinois horse races at all wagering facilities in any
5		calendar year is less than 75% of the total Illinois
6		pari-mutuel handle on Illinois horse races at all such
7		wagering facilities for calendar year 1994, then each
8		wagering facility that has an annual total Illinois
9		pari-mutuel handle on Illinois horse races that is less
10		than 75% of the total Illinois pari-mutuel handle on
11		Illinois horse races at such wagering facility for calendar
12		year 1994, shall be permitted to receive, from any amount
13		otherwise payable to the purse account at the race track
14		with which the wagering facility is affiliated in the
15		succeeding calendar year, an amount equal to 2% of the
16		differential in total Illinois pari-mutuel handle on
17		Illinois horse races at the wagering facility between that
18		calendar year in question and 1994 provided, however, that
19		a wagering facility shall not be entitled to any such
20		payment until the Board certifies in writing to the
21		wagering facility the amount to which the wagering facility
22		is entitled and a schedule for payment of the amount to the
23		wagering facility, based on: (i) the racing dates awarded
24		to the race track affiliated with the wagering facility
25		during the succeeding year; (ii) the sums available or
26		anticipated to be available in the purse account of the

SB0690 Enrolled - 513 - LRB101 04451 HLH 49459 b
1		race track affiliated with the wagering facility for purses
2		during the succeeding year; and (iii) the need to ensure
3		reasonable purse levels during the payment period. The
4		Board's certification shall be provided no later than
5		January 31 of the succeeding year. In the event a wagering
6		facility entitled to a payment under this paragraph (13) is
7		affiliated with a race track that maintains purse accounts
8		for both standardbred and thoroughbred racing, the amount
9		to be paid to the wagering facility shall be divided
10		between each purse account pro rata, based on the amount of
11		Illinois handle on Illinois standardbred and thoroughbred
12		racing respectively at the wagering facility during the
13		previous calendar year. Annually, the General Assembly
14		shall appropriate sufficient funds from the General
15		Revenue Fund to the Department of Agriculture for payment
16		into the thoroughbred and standardbred horse racing purse
17		accounts at Illinois pari-mutuel tracks. The amount paid to
18		each purse account shall be the amount certified by the
19		Illinois Racing Board in January to be transferred from
20		each account to each eligible racing facility in accordance
21		with the provisions of this Section. Beginning in the
22		calendar year in which an organization licensee that is
23		eligible to receive payment under this paragraph (13)
24		begins to receive funds from gaming pursuant to an
25		organization gaming license issued under the Illinois
26		Gambling Act, the amount of the payment due to all wagering

SB0690 Enrolled - 514 - LRB101 04451 HLH 49459 b
1		facilities licensed under that organization licensee under
2		this paragraph (13) shall be the amount certified by the
3		Board in January of that year. An organization licensee and
4		its related wagering facilities shall no longer be able to
5		receive payments under this paragraph (13) beginning in the
6		year subsequent to the first year in which the organization
7		licensee begins to receive funds from gaming pursuant to an
8		organization gaming license issued under the Illinois
9		Gambling Act.
10		(h) The Board may approve and license the conduct of
11		inter-track wagering and simulcast wagering by inter-track
12		wagering licensees and inter-track wagering location licensees
13		subject to the following terms and conditions:
14		(1) Any person licensed to conduct a race meeting (i)
15		at a track where 60 or more days of racing were conducted
16		during the immediately preceding calendar year or where
17		over the 5 immediately preceding calendar years an average
18		of 30 or more days of racing were conducted annually may be
19		issued an inter-track wagering license; (ii) at a track
20		located in a county that is bounded by the Mississippi
21		River, which has a population of less than 150,000
22		according to the 1990 decennial census, and an average of
23		at least 60 days of racing per year between 1985 and 1993
24		may be issued an inter-track wagering license; or (iii) at
25		a track awarded standardbred racing dates; or (iv) at a
26		track located in Madison County that conducted at least 100

SB0690 Enrolled - 515 - LRB101 04451 HLH 49459 b
1		days of live racing during the immediately preceding
2		calendar year may be issued an inter-track wagering
3		license, unless a lesser schedule of live racing is the
4		result of (A) weather, unsafe track conditions, or other
5		acts of God; (B) an agreement between the organization
6		licensee and the associations representing the largest
7		number of owners, trainers, jockeys, or standardbred
8		drivers who race horses at that organization licensee's
9		racing meeting; or (C) a finding by the Board of
10		extraordinary circumstances and that it was in the best
11		interest of the public and the sport to conduct fewer than
12		100 days of live racing. Any such person having operating
13		control of the racing facility may receive inter-track
14		wagering location licenses. An eligible race track located
15		in a county that has a population of more than 230,000 and
16		that is bounded by the Mississippi River may establish up
17		to 9 inter-track wagering locations, an eligible race track
18		located in Stickney Township in Cook County may establish
19		up to 16 inter-track wagering locations, and an eligible
20		race track located in Palatine Township in Cook County may
21		establish up to 18 inter-track wagering locations. An
22		eligible racetrack conducting standardbred racing may have
23		up to 16 inter-track wagering locations. An application for
24		said license shall be filed with the Board prior to such
25		dates as may be fixed by the Board. With an application for
26		an inter-track wagering location license there shall be

SB0690 Enrolled - 516 - LRB101 04451 HLH 49459 b
1		delivered to the Board a certified check or bank draft
2		payable to the order of the Board for an amount equal to
3		$500. The application shall be on forms prescribed and
4		furnished by the Board. The application shall comply with
5		all other rules, regulations and conditions imposed by the
6		Board in connection therewith.
7		(2) The Board shall examine the applications with
8		respect to their conformity with this Act and the rules and
9		regulations imposed by the Board. If found to be in
10		compliance with the Act and rules and regulations of the
11		Board, the Board may then issue a license to conduct
12		inter-track wagering and simulcast wagering to such
13		applicant. All such applications shall be acted upon by the
14		Board at a meeting to be held on such date as may be fixed
15		by the Board.
16		(3) In granting licenses to conduct inter-track
17		wagering and simulcast wagering, the Board shall give due
18		consideration to the best interests of the public, of horse
19		racing, and of maximizing revenue to the State.
20		(4) Prior to the issuance of a license to conduct
21		inter-track wagering and simulcast wagering, the applicant
22		shall file with the Board a bond payable to the State of
23		Illinois in the sum of $50,000, executed by the applicant
24		and a surety company or companies authorized to do business
25		in this State, and conditioned upon (i) the payment by the
26		licensee of all taxes due under Section 27 or 27.1 and any

SB0690 Enrolled - 517 - LRB101 04451 HLH 49459 b
1		other monies due and payable under this Act, and (ii)
2		distribution by the licensee, upon presentation of the
3		winning ticket or tickets, of all sums payable to the
4		patrons of pari-mutuel pools.
5		(5) Each license to conduct inter-track wagering and
6		simulcast wagering shall specify the person to whom it is
7		issued, the dates on which such wagering is permitted, and
8		the track or location where the wagering is to be
9		conducted.
10		(6) All wagering under such license is subject to this
11		Act and to the rules and regulations from time to time
12		prescribed by the Board, and every such license issued by
13		the Board shall contain a recital to that effect.
14		(7) An inter-track wagering licensee or inter-track
15		wagering location licensee may accept wagers at the track
16		or location where it is licensed, or as otherwise provided
17		under this Act.
18		(8) Inter-track wagering or simulcast wagering shall
19		not be conducted at any track less than 4 5 miles from a
20		track at which a racing meeting is in progress.
21		(8.1) Inter-track wagering location licensees who
22		derive their licenses from a particular organization
23		licensee shall conduct inter-track wagering and simulcast
24		wagering only at locations that are within 160 miles of
25		that race track where the particular organization licensee
26		is licensed to conduct racing. However, inter-track

SB0690 Enrolled - 518 - LRB101 04451 HLH 49459 b
1		wagering and simulcast wagering shall not be conducted by
2		those licensees at any location within 5 miles of any race
3		track at which a horse race meeting has been licensed in
4		the current year, unless the person having operating
5		control of such race track has given its written consent to
6		such inter-track wagering location licensees, which
7		consent must be filed with the Board at or prior to the
8		time application is made. In the case of any inter-track
9		wagering location licensee initially licensed after
10		December 31, 2013, inter-track wagering and simulcast
11		wagering shall not be conducted by those inter-track
12		wagering location licensees that are located outside the
13		City of Chicago at any location within 8 miles of any race
14		track at which a horse race meeting has been licensed in
15		the current year, unless the person having operating
16		control of such race track has given its written consent to
17		such inter-track wagering location licensees, which
18		consent must be filed with the Board at or prior to the
19		time application is made.
20		(8.2) Inter-track wagering or simulcast wagering shall
21		not be conducted by an inter-track wagering location
22		licensee at any location within 500 feet of an existing
23		church, an or existing elementary or secondary public
24		school, or an existing elementary or secondary private
25		school registered with or recognized by the State Board of
26		Education school, nor within 500 feet of the residences of

SB0690 Enrolled - 519 - LRB101 04451 HLH 49459 b
1		more than 50 registered voters without receiving written
2		permission from a majority of the registered voters at such
3		residences. Such written permission statements shall be
4		filed with the Board. The distance of 500 feet shall be
5		measured to the nearest part of any building used for
6		worship services, education programs, residential
7		purposes, or conducting inter-track wagering by an
8		inter-track wagering location licensee, and not to
9		property boundaries. However, inter-track wagering or
10		simulcast wagering may be conducted at a site within 500
11		feet of a church, school or residences of 50 or more
12		registered voters if such church, school or residences have
13		been erected or established, or such voters have been
14		registered, after the Board issues the original
15		inter-track wagering location license at the site in
16		question. Inter-track wagering location licensees may
17		conduct inter-track wagering and simulcast wagering only
18		in areas that are zoned for commercial or manufacturing
19		purposes or in areas for which a special use has been
20		approved by the local zoning authority. However, no license
21		to conduct inter-track wagering and simulcast wagering
22		shall be granted by the Board with respect to any
23		inter-track wagering location within the jurisdiction of
24		any local zoning authority which has, by ordinance or by
25		resolution, prohibited the establishment of an inter-track
26		wagering location within its jurisdiction. However,

SB0690 Enrolled - 520 - LRB101 04451 HLH 49459 b
1		inter-track wagering and simulcast wagering may be
2		conducted at a site if such ordinance or resolution is
3		enacted after the Board licenses the original inter-track
4		wagering location licensee for the site in question.
5		(9) (Blank).
6		(10) An inter-track wagering licensee or an
7		inter-track wagering location licensee may retain, subject
8		to the payment of the privilege taxes and the purses, an
9		amount not to exceed 17% of all money wagered. Each program
10		of racing conducted by each inter-track wagering licensee
11		or inter-track wagering location licensee shall be
12		considered a separate racing day for the purpose of
13		determining the daily handle and computing the privilege
14		tax or pari-mutuel tax on such daily handle as provided in
15		Section 27.
16		(10.1) Except as provided in subsection (g) of Section
17		27 of this Act, inter-track wagering location licensees
18		shall pay 1% of the pari-mutuel handle at each location to
19		the municipality in which such location is situated and 1%
20		of the pari-mutuel handle at each location to the county in
21		which such location is situated. In the event that an
22		inter-track wagering location licensee is situated in an
23		unincorporated area of a county, such licensee shall pay 2%
24		of the pari-mutuel handle from such location to such
25		county.
26		(10.2) Notwithstanding any other provision of this

SB0690 Enrolled - 521 - LRB101 04451 HLH 49459 b
1		Act, with respect to inter-track wagering at a race track
2		located in a county that has a population of more than
3		230,000 and that is bounded by the Mississippi River ("the
4		first race track"), or at a facility operated by an
5		inter-track wagering licensee or inter-track wagering
6		location licensee that derives its license from the
7		organization licensee that operates the first race track,
8		on races conducted at the first race track or on races
9		conducted at another Illinois race track and
10		simultaneously televised to the first race track or to a
11		facility operated by an inter-track wagering licensee or
12		inter-track wagering location licensee that derives its
13		license from the organization licensee that operates the
14		first race track, those moneys shall be allocated as
15		follows:
16		(A) That portion of all moneys wagered on
17		standardbred racing that is required under this Act to
18		be paid to purses shall be paid to purses for
19		standardbred races.
20		(B) That portion of all moneys wagered on
21		thoroughbred racing that is required under this Act to
22		be paid to purses shall be paid to purses for
23		thoroughbred races.
24		(11) (A) After payment of the privilege or pari-mutuel
25		tax, any other applicable taxes, and the costs and expenses
26		in connection with the gathering, transmission, and

SB0690 Enrolled - 522 - LRB101 04451 HLH 49459 b
1		dissemination of all data necessary to the conduct of
2		inter-track wagering, the remainder of the monies retained
3		under either Section 26 or Section 26.2 of this Act by the
4		inter-track wagering licensee on inter-track wagering
5		shall be allocated with 50% to be split between the 2
6		participating licensees and 50% to purses, except that an
7		inter-track wagering licensee that derives its license
8		from a track located in a county with a population in
9		excess of 230,000 and that borders the Mississippi River
10		shall not divide any remaining retention with the Illinois
11		organization licensee that provides the race or races, and
12		an inter-track wagering licensee that accepts wagers on
13		races conducted by an organization licensee that conducts a
14		race meet in a county with a population in excess of
15		230,000 and that borders the Mississippi River shall not
16		divide any remaining retention with that organization
17		licensee.
18		(B) From the sums permitted to be retained pursuant to
19		this Act each inter-track wagering location licensee shall
20		pay (i) the privilege or pari-mutuel tax to the State; (ii)
21		4.75% of the pari-mutuel handle on inter-track wagering at
22		such location on races as purses, except that an
23		inter-track wagering location licensee that derives its
24		license from a track located in a county with a population
25		in excess of 230,000 and that borders the Mississippi River
26		shall retain all purse moneys for its own purse account

SB0690 Enrolled - 523 - LRB101 04451 HLH 49459 b
1		consistent with distribution set forth in this subsection
2		(h), and inter-track wagering location licensees that
3		accept wagers on races conducted by an organization
4		licensee located in a county with a population in excess of
5		230,000 and that borders the Mississippi River shall
6		distribute all purse moneys to purses at the operating host
7		track; (iii) until January 1, 2000, except as provided in
8		subsection (g) of Section 27 of this Act, 1% of the
9		pari-mutuel handle wagered on inter-track wagering and
10		simulcast wagering at each inter-track wagering location
11		licensee facility to the Horse Racing Tax Allocation Fund,
12		provided that, to the extent the total amount collected and
13		distributed to the Horse Racing Tax Allocation Fund under
14		this subsection (h) during any calendar year exceeds the
15		amount collected and distributed to the Horse Racing Tax
16		Allocation Fund during calendar year 1994, that excess
17		amount shall be redistributed (I) to all inter-track
18		wagering location licensees, based on each licensee's pro
19		rata pro-rata share of the total handle from inter-track
20		wagering and simulcast wagering for all inter-track
21		wagering location licensees during the calendar year in
22		which this provision is applicable; then (II) the amounts
23		redistributed to each inter-track wagering location
24		licensee as described in subpart (I) shall be further
25		redistributed as provided in subparagraph (B) of paragraph
26		(5) of subsection (g) of this Section 26 provided first,

SB0690 Enrolled - 524 - LRB101 04451 HLH 49459 b
1		that the shares of those amounts, which are to be
2		redistributed to the host track or to purses at the host
3		track under subparagraph (B) of paragraph (5) of subsection
4		(g) of this Section 26 shall be redistributed based on each
5		host track's pro rata share of the total inter-track
6		wagering and simulcast wagering handle at all host tracks
7		during the calendar year in question, and second, that any
8		amounts redistributed as described in part (I) to an
9		inter-track wagering location licensee that accepts wagers
10		on races conducted by an organization licensee that
11		conducts a race meet in a county with a population in
12		excess of 230,000 and that borders the Mississippi River
13		shall be further redistributed, effective January 1, 2017,
14		as provided in paragraph (7) of subsection (g) of this
15		Section 26, with the portion of that further redistribution
16		allocated to purses at that organization licensee to be
17		divided between standardbred purses and thoroughbred
18		purses based on the amounts otherwise allocated to purses
19		at that organization licensee during the calendar year in
20		question; and (iv) 8% of the pari-mutuel handle on
21		inter-track wagering wagered at such location to satisfy
22		all costs and expenses of conducting its wagering. The
23		remainder of the monies retained by the inter-track
24		wagering location licensee shall be allocated 40% to the
25		location licensee and 60% to the organization licensee
26		which provides the Illinois races to the location, except

SB0690 Enrolled - 525 - LRB101 04451 HLH 49459 b
1		that an inter-track wagering location licensee that
2		derives its license from a track located in a county with a
3		population in excess of 230,000 and that borders the
4		Mississippi River shall not divide any remaining retention
5		with the organization licensee that provides the race or
6		races and an inter-track wagering location licensee that
7		accepts wagers on races conducted by an organization
8		licensee that conducts a race meet in a county with a
9		population in excess of 230,000 and that borders the
10		Mississippi River shall not divide any remaining retention
11		with the organization licensee. Notwithstanding the
12		provisions of clauses (ii) and (iv) of this paragraph, in
13		the case of the additional inter-track wagering location
14		licenses authorized under paragraph (1) of this subsection
15		(h) by Public Act 87-110, those licensees shall pay the
16		following amounts as purses: during the first 12 months the
17		licensee is in operation, 5.25% of the pari-mutuel handle
18		wagered at the location on races; during the second 12
19		months, 5.25%; during the third 12 months, 5.75%; during
20		the fourth 12 months, 6.25%; and during the fifth 12 months
21		and thereafter, 6.75%. The following amounts shall be
22		retained by the licensee to satisfy all costs and expenses
23		of conducting its wagering: during the first 12 months the
24		licensee is in operation, 8.25% of the pari-mutuel handle
25		wagered at the location; during the second 12 months,
26		8.25%; during the third 12 months, 7.75%; during the fourth

SB0690 Enrolled - 526 - LRB101 04451 HLH 49459 b
1		12 months, 7.25%; and during the fifth 12 months and
2		thereafter, 6.75%. For additional inter-track wagering
3		location licensees authorized under Public Act 89-16,
4		purses for the first 12 months the licensee is in operation
5		shall be 5.75% of the pari-mutuel wagered at the location,
6		purses for the second 12 months the licensee is in
7		operation shall be 6.25%, and purses thereafter shall be
8		6.75%. For additional inter-track location licensees
9		authorized under Public Act 89-16, the licensee shall be
10		allowed to retain to satisfy all costs and expenses: 7.75%
11		of the pari-mutuel handle wagered at the location during
12		its first 12 months of operation, 7.25% during its second
13		12 months of operation, and 6.75% thereafter.
14		(C) There is hereby created the Horse Racing Tax
15		Allocation Fund which shall remain in existence until
16		December 31, 1999. Moneys remaining in the Fund after
17		December 31, 1999 shall be paid into the General Revenue
18		Fund. Until January 1, 2000, all monies paid into the Horse
19		Racing Tax Allocation Fund pursuant to this paragraph (11)
20		by inter-track wagering location licensees located in park
21		districts of 500,000 population or less, or in a
22		municipality that is not included within any park district
23		but is included within a conservation district and is the
24		county seat of a county that (i) is contiguous to the state
25		of Indiana and (ii) has a 1990 population of 88,257
26		according to the United States Bureau of the Census, and

SB0690 Enrolled - 527 - LRB101 04451 HLH 49459 b
1		operating on May 1, 1994 shall be allocated by
2		appropriation as follows:
3		Two-sevenths to the Department of Agriculture.
4		Fifty percent of this two-sevenths shall be used to
5		promote the Illinois horse racing and breeding
6		industry, and shall be distributed by the Department of
7		Agriculture upon the advice of a 9-member committee
8		appointed by the Governor consisting of the following
9		members: the Director of Agriculture, who shall serve
10		as chairman; 2 representatives of organization
11		licensees conducting thoroughbred race meetings in
12		this State, recommended by those licensees; 2
13		representatives of organization licensees conducting
14		standardbred race meetings in this State, recommended
15		by those licensees; a representative of the Illinois
16		Thoroughbred Breeders and Owners Foundation,
17		recommended by that Foundation; a representative of
18		the Illinois Standardbred Owners and Breeders
19		Association, recommended by that Association; a
20		representative of the Horsemen's Benevolent and
21		Protective Association or any successor organization
22		thereto established in Illinois comprised of the
23		largest number of owners and trainers, recommended by
24		that Association or that successor organization; and a
25		representative of the Illinois Harness Horsemen's
26		Association, recommended by that Association.

SB0690 Enrolled - 528 - LRB101 04451 HLH 49459 b
1		Committee members shall serve for terms of 2 years,
2		commencing January 1 of each even-numbered year. If a
3		representative of any of the above-named entities has
4		not been recommended by January 1 of any even-numbered
5		year, the Governor shall appoint a committee member to
6		fill that position. Committee members shall receive no
7		compensation for their services as members but shall be
8		reimbursed for all actual and necessary expenses and
9		disbursements incurred in the performance of their
10		official duties. The remaining 50% of this
11		two-sevenths shall be distributed to county fairs for
12		premiums and rehabilitation as set forth in the
13		Agricultural Fair Act;
14		Four-sevenths to park districts or municipalities
15		that do not have a park district of 500,000 population
16		or less for museum purposes (if an inter-track wagering
17		location licensee is located in such a park district)
18		or to conservation districts for museum purposes (if an
19		inter-track wagering location licensee is located in a
20		municipality that is not included within any park
21		district but is included within a conservation
22		district and is the county seat of a county that (i) is
23		contiguous to the state of Indiana and (ii) has a 1990
24		population of 88,257 according to the United States
25		Bureau of the Census, except that if the conservation
26		district does not maintain a museum, the monies shall

SB0690 Enrolled - 529 - LRB101 04451 HLH 49459 b
1		be allocated equally between the county and the
2		municipality in which the inter-track wagering
3		location licensee is located for general purposes) or
4		to a municipal recreation board for park purposes (if
5		an inter-track wagering location licensee is located
6		in a municipality that is not included within any park
7		district and park maintenance is the function of the
8		municipal recreation board and the municipality has a
9		1990 population of 9,302 according to the United States
10		Bureau of the Census); provided that the monies are
11		distributed to each park district or conservation
12		district or municipality that does not have a park
13		district in an amount equal to four-sevenths of the
14		amount collected by each inter-track wagering location
15		licensee within the park district or conservation
16		district or municipality for the Fund. Monies that were
17		paid into the Horse Racing Tax Allocation Fund before
18		August 9, 1991 (the effective date of Public Act
19		87-110) by an inter-track wagering location licensee
20		located in a municipality that is not included within
21		any park district but is included within a conservation
22		district as provided in this paragraph shall, as soon
23		as practicable after August 9, 1991 (the effective date
24		of Public Act 87-110), be allocated and paid to that
25		conservation district as provided in this paragraph.
26		Any park district or municipality not maintaining a

SB0690 Enrolled - 530 - LRB101 04451 HLH 49459 b
1		museum may deposit the monies in the corporate fund of
2		the park district or municipality where the
3		inter-track wagering location is located, to be used
4		for general purposes; and
5		One-seventh to the Agricultural Premium Fund to be
6		used for distribution to agricultural home economics
7		extension councils in accordance with "An Act in
8		relation to additional support and finances for the
9		Agricultural and Home Economic Extension Councils in
10		the several counties of this State and making an
11		appropriation therefor", approved July 24, 1967.
12		Until January 1, 2000, all other monies paid into the
13		Horse Racing Tax Allocation Fund pursuant to this paragraph
14		(11) shall be allocated by appropriation as follows:
15		Two-sevenths to the Department of Agriculture.
16		Fifty percent of this two-sevenths shall be used to
17		promote the Illinois horse racing and breeding
18		industry, and shall be distributed by the Department of
19		Agriculture upon the advice of a 9-member committee
20		appointed by the Governor consisting of the following
21		members: the Director of Agriculture, who shall serve
22		as chairman; 2 representatives of organization
23		licensees conducting thoroughbred race meetings in
24		this State, recommended by those licensees; 2
25		representatives of organization licensees conducting
26		standardbred race meetings in this State, recommended

SB0690 Enrolled - 531 - LRB101 04451 HLH 49459 b
1		by those licensees; a representative of the Illinois
2		Thoroughbred Breeders and Owners Foundation,
3		recommended by that Foundation; a representative of
4		the Illinois Standardbred Owners and Breeders
5		Association, recommended by that Association; a
6		representative of the Horsemen's Benevolent and
7		Protective Association or any successor organization
8		thereto established in Illinois comprised of the
9		largest number of owners and trainers, recommended by
10		that Association or that successor organization; and a
11		representative of the Illinois Harness Horsemen's
12		Association, recommended by that Association.
13		Committee members shall serve for terms of 2 years,
14		commencing January 1 of each even-numbered year. If a
15		representative of any of the above-named entities has
16		not been recommended by January 1 of any even-numbered
17		year, the Governor shall appoint a committee member to
18		fill that position. Committee members shall receive no
19		compensation for their services as members but shall be
20		reimbursed for all actual and necessary expenses and
21		disbursements incurred in the performance of their
22		official duties. The remaining 50% of this
23		two-sevenths shall be distributed to county fairs for
24		premiums and rehabilitation as set forth in the
25		Agricultural Fair Act;
26		Four-sevenths to museums and aquariums located in

SB0690 Enrolled - 532 - LRB101 04451 HLH 49459 b
1		park districts of over 500,000 population; provided
2		that the monies are distributed in accordance with the
3		previous year's distribution of the maintenance tax
4		for such museums and aquariums as provided in Section 2
5		of the Park District Aquarium and Museum Act; and
6		One-seventh to the Agricultural Premium Fund to be
7		used for distribution to agricultural home economics
8		extension councils in accordance with "An Act in
9		relation to additional support and finances for the
10		Agricultural and Home Economic Extension Councils in
11		the several counties of this State and making an
12		appropriation therefor", approved July 24, 1967. This
13		subparagraph (C) shall be inoperative and of no force
14		and effect on and after January 1, 2000.
15		(D) Except as provided in paragraph (11) of this
16		subsection (h), with respect to purse allocation from
17		inter-track wagering, the monies so retained shall be
18		divided as follows:
19		(i) If the inter-track wagering licensee,
20		except an inter-track wagering licensee that
21		derives its license from an organization licensee
22		located in a county with a population in excess of
23		230,000 and bounded by the Mississippi River, is
24		not conducting its own race meeting during the same
25		dates, then the entire purse allocation shall be to
26		purses at the track where the races wagered on are

SB0690 Enrolled - 533 - LRB101 04451 HLH 49459 b
1		being conducted.
2		(ii) If the inter-track wagering licensee,
3		except an inter-track wagering licensee that
4		derives its license from an organization licensee
5		located in a county with a population in excess of
6		230,000 and bounded by the Mississippi River, is
7		also conducting its own race meeting during the
8		same dates, then the purse allocation shall be as
9		follows: 50% to purses at the track where the races
10		wagered on are being conducted; 50% to purses at
11		the track where the inter-track wagering licensee
12		is accepting such wagers.
13		(iii) If the inter-track wagering is being
14		conducted by an inter-track wagering location
15		licensee, except an inter-track wagering location
16		licensee that derives its license from an
17		organization licensee located in a county with a
18		population in excess of 230,000 and bounded by the
19		Mississippi River, the entire purse allocation for
20		Illinois races shall be to purses at the track
21		where the race meeting being wagered on is being
22		held.
23		(12) The Board shall have all powers necessary and
24		proper to fully supervise and control the conduct of
25		inter-track wagering and simulcast wagering by inter-track
26		wagering licensees and inter-track wagering location

SB0690 Enrolled - 534 - LRB101 04451 HLH 49459 b
1		licensees, including, but not limited to the following:
2		(A) The Board is vested with power to promulgate
3		reasonable rules and regulations for the purpose of
4		administering the conduct of this wagering and to
5		prescribe reasonable rules, regulations and conditions
6		under which such wagering shall be held and conducted.
7		Such rules and regulations are to provide for the
8		prevention of practices detrimental to the public
9		interest and for the best interests of said wagering
10		and to impose penalties for violations thereof.
11		(B) The Board, and any person or persons to whom it
12		delegates this power, is vested with the power to enter
13		the facilities of any licensee to determine whether
14		there has been compliance with the provisions of this
15		Act and the rules and regulations relating to the
16		conduct of such wagering.
17		(C) The Board, and any person or persons to whom it
18		delegates this power, may eject or exclude from any
19		licensee's facilities, any person whose conduct or
20		reputation is such that his presence on such premises
21		may, in the opinion of the Board, call into the
22		question the honesty and integrity of, or interfere
23		with the orderly conduct of such wagering; provided,
24		however, that no person shall be excluded or ejected
25		from such premises solely on the grounds of race,
26		color, creed, national origin, ancestry, or sex.

SB0690 Enrolled - 535 - LRB101 04451 HLH 49459 b
1		(D) (Blank).
2		(E) The Board is vested with the power to appoint
3		delegates to execute any of the powers granted to it
4		under this Section for the purpose of administering
5		this wagering and any rules and regulations
6		promulgated in accordance with this Act.
7		(F) The Board shall name and appoint a State
8		director of this wagering who shall be a representative
9		of the Board and whose duty it shall be to supervise
10		the conduct of inter-track wagering as may be provided
11		for by the rules and regulations of the Board; such
12		rules and regulation shall specify the method of
13		appointment and the Director's powers, authority and
14		duties.
15		(G) The Board is vested with the power to impose
16		civil penalties of up to $5,000 against individuals and
17		up to $10,000 against licensees for each violation of
18		any provision of this Act relating to the conduct of
19		this wagering, any rules adopted by the Board, any
20		order of the Board or any other action which in the
21		Board's discretion, is a detriment or impediment to
22		such wagering.
23		(13) The Department of Agriculture may enter into
24		agreements with licensees authorizing such licensees to
25		conduct inter-track wagering on races to be held at the
26		licensed race meetings conducted by the Department of

SB0690 Enrolled - 536 - LRB101 04451 HLH 49459 b
1		Agriculture. Such agreement shall specify the races of the
2		Department of Agriculture's licensed race meeting upon
3		which the licensees will conduct wagering. In the event
4		that a licensee conducts inter-track pari-mutuel wagering
5		on races from the Illinois State Fair or DuQuoin State Fair
6		which are in addition to the licensee's previously approved
7		racing program, those races shall be considered a separate
8		racing day for the purpose of determining the daily handle
9		and computing the privilege or pari-mutuel tax on that
10		daily handle as provided in Sections 27 and 27.1. Such
11		agreements shall be approved by the Board before such
12		wagering may be conducted. In determining whether to grant
13		approval, the Board shall give due consideration to the
14		best interests of the public and of horse racing. The
15		provisions of paragraphs (1), (8), (8.1), and (8.2) of
16		subsection (h) of this Section which are not specified in
17		this paragraph (13) shall not apply to licensed race
18		meetings conducted by the Department of Agriculture at the
19		Illinois State Fair in Sangamon County or the DuQuoin State
20		Fair in Perry County, or to any wagering conducted on those
21		race meetings.
22		(14) An inter-track wagering location license
23		authorized by the Board in 2016 that is owned and operated
24		by a race track in Rock Island County shall be transferred
25		to a commonly owned race track in Cook County on August 12,
26		2016 (the effective date of Public Act 99-757). The

SB0690 Enrolled - 537 - LRB101 04451 HLH 49459 b
1		licensee shall retain its status in relation to purse
2		distribution under paragraph (11) of this subsection (h)
3		following the transfer to the new entity. The pari-mutuel
4		tax credit under Section 32.1 shall not be applied toward
5		any pari-mutuel tax obligation of the inter-track wagering
6		location licensee of the license that is transferred under
7		this paragraph (14).
8		(i) Notwithstanding the other provisions of this Act, the
9		conduct of wagering at wagering facilities is authorized on all
10		days, except as limited by subsection (b) of Section 19 of this
11		Act.
12		(Source: P.A. 99-756, eff. 8-12-16; 99-757, eff. 8-12-16;
13		100-201, eff. 8-18-17; 100-627, eff. 7-20-18; 100-1152, eff.
14		12-14-18; revised 1-13-19.)
15		(230 ILCS 5/26.8)
16		Sec. 26.8. Beginning on February 1, 2014 and through
17		December 31, 2020, each wagering licensee may impose a
18		surcharge of up to 0.5% on winning wagers and winnings from
19		wagers. The surcharge shall be deducted from winnings prior to
20		payout. All amounts collected from the imposition of this
21		surcharge shall be evenly distributed to the organization
22		licensee and the purse account of the organization licensee
23		with which the licensee is affiliated. The amounts distributed
24		under this Section shall be in addition to the amounts paid
25		pursuant to paragraph (10) of subsection (h) of Section 26,

SB0690 Enrolled - 538 - LRB101 04451 HLH 49459 b
1		Section 26.3, Section 26.4, Section 26.5, and Section 26.7.
2		(Source: P.A. 99-756, eff. 8-12-16; 100-627, eff. 7-20-18.)
3		(230 ILCS 5/26.9)
4		Sec. 26.9. Beginning on February 1, 2014 and through
5		December 31, 2020, in addition to the surcharge imposed in
6		Sections 26.3, 26.4, 26.5, 26.7, and 26.8 of this Act, each
7		licensee shall impose a surcharge of 0.2% on winning wagers and
8		winnings from wagers. The surcharge shall be deducted from
9		winnings prior to payout. All amounts collected from the
10		surcharges imposed under this Section shall be remitted to the
11		Board. From amounts collected under this Section, the Board
12		shall deposit an amount not to exceed $100,000 annually into
13		the Quarter Horse Purse Fund and all remaining amounts into the
14		Horse Racing Fund.
15		(Source: P.A. 99-756, eff. 8-12-16; 100-627, eff. 7-20-18.)
16		(230 ILCS 5/27) (from Ch. 8, par. 37-27)
17		Sec. 27. (a) In addition to the organization license fee
18		provided by this Act, until January 1, 2000, a graduated
19		privilege tax is hereby imposed for conducting the pari-mutuel
20		system of wagering permitted under this Act. Until January 1,
21		2000, except as provided in subsection (g) of Section 27 of
22		this Act, all of the breakage of each racing day held by any
23		licensee in the State shall be paid to the State. Until January
24		1, 2000, such daily graduated privilege tax shall be paid by

SB0690 Enrolled - 539 - LRB101 04451 HLH 49459 b
1		the licensee from the amount permitted to be retained under
2		this Act. Until January 1, 2000, each day's graduated privilege
3		tax, breakage, and Horse Racing Tax Allocation funds shall be
4		remitted to the Department of Revenue within 48 hours after the
5		close of the racing day upon which it is assessed or within
6		such other time as the Board prescribes. The privilege tax
7		hereby imposed, until January 1, 2000, shall be a flat tax at
8		the rate of 2% of the daily pari-mutuel handle except as
9		provided in Section 27.1.
10		In addition, every organization licensee, except as
11		provided in Section 27.1 of this Act, which conducts multiple
12		wagering shall pay, until January 1, 2000, as a privilege tax
13		on multiple wagers an amount equal to 1.25% of all moneys
14		wagered each day on such multiple wagers, plus an additional
15		amount equal to 3.5% of the amount wagered each day on any
16		other multiple wager which involves a single betting interest
17		on 3 or more horses. The licensee shall remit the amount of
18		such taxes to the Department of Revenue within 48 hours after
19		the close of the racing day on which it is assessed or within
20		such other time as the Board prescribes.
21		This subsection (a) shall be inoperative and of no force
22		and effect on and after January 1, 2000.
23		(a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
24		at the rate of 1.5% of the daily pari-mutuel handle is imposed
25		at all pari-mutuel wagering facilities and on advance deposit
26		wagering from a location other than a wagering facility, except

SB0690 Enrolled - 540 - LRB101 04451 HLH 49459 b
1		as otherwise provided for in this subsection (a-5). In addition
2		to the pari-mutuel tax imposed on advance deposit wagering
3		pursuant to this subsection (a-5), beginning on August 24, 2012
4		(the effective date of Public Act 97-1060) and through December
5		31, 2020, an additional pari-mutuel tax at the rate of 0.25%
6		shall be imposed on advance deposit wagering. Until August 25,
7		2012, the additional 0.25% pari-mutuel tax imposed on advance
8		deposit wagering by Public Act 96-972 shall be deposited into
9		the Quarter Horse Purse Fund, which shall be created as a
10		non-appropriated trust fund administered by the Board for
11		grants to thoroughbred organization licensees for payment of
12		purses for quarter horse races conducted by the organization
13		licensee. Beginning on August 26, 2012, the additional 0.25%
14		pari-mutuel tax imposed on advance deposit wagering shall be
15		deposited into the Standardbred Purse Fund, which shall be
16		created as a non-appropriated trust fund administered by the
17		Board, for grants to the standardbred organization licensees
18		for payment of purses for standardbred horse races conducted by
19		the organization licensee. Thoroughbred organization licensees
20		may petition the Board to conduct quarter horse racing and
21		receive purse grants from the Quarter Horse Purse Fund. The
22		Board shall have complete discretion in distributing the
23		Quarter Horse Purse Fund to the petitioning organization
24		licensees. Beginning on July 26, 2010 (the effective date of
25		Public Act 96-1287), a pari-mutuel tax at the rate of 0.75% of
26		the daily pari-mutuel handle is imposed at a pari-mutuel

SB0690 Enrolled - 541 - LRB101 04451 HLH 49459 b
1		facility whose license is derived from a track located in a
2		county that borders the Mississippi River and conducted live
3		racing in the previous year. The pari-mutuel tax imposed by
4		this subsection (a-5) shall be remitted to the Department of
5		Revenue within 48 hours after the close of the racing day upon
6		which it is assessed or within such other time as the Board
7		prescribes.
8		(a-10) Beginning on the date when an organization licensee
9		begins conducting gaming pursuant to an organization gaming
10		license, the following pari-mutuel tax is imposed upon an
11		organization licensee on Illinois races at the licensee's
12		racetrack:
13		1.5% of the pari-mutuel handle at or below the average
14		daily pari-mutuel handle for 2011.
15		2% of the pari-mutuel handle above the average daily
16		pari-mutuel handle for 2011 up to 125% of the average daily
17		pari-mutuel handle for 2011.
18		2.5% of the pari-mutuel handle 125% or more above the
19		average daily pari-mutuel handle for 2011 up to 150% of the
20		average daily pari-mutuel handle for 2011.
21		3% of the pari-mutuel handle 150% or more above the
22		average daily pari-mutuel handle for 2011 up to 175% of the
23		average daily pari-mutuel handle for 2011.
24		3.5% of the pari-mutuel handle 175% or more above the
25		average daily pari-mutuel handle for 2011.
26		The pari-mutuel tax imposed by this subsection (a-10) shall

SB0690 Enrolled - 542 - LRB101 04451 HLH 49459 b
1		be remitted to the Board within 48 hours after the close of the
2		racing day upon which it is assessed or within such other time
3		as the Board prescribes.
4		(b) On or before December 31, 1999, in the event that any
5		organization licensee conducts 2 separate programs of races on
6		any day, each such program shall be considered a separate
7		racing day for purposes of determining the daily handle and
8		computing the privilege tax on such daily handle as provided in
9		subsection (a) of this Section.
10		(c) Licensees shall at all times keep accurate books and
11		records of all monies wagered on each day of a race meeting and
12		of the taxes paid to the Department of Revenue under the
13		provisions of this Section. The Board or its duly authorized
14		representative or representatives shall at all reasonable
15		times have access to such records for the purpose of examining
16		and checking the same and ascertaining whether the proper
17		amount of taxes is being paid as provided. The Board shall
18		require verified reports and a statement of the total of all
19		monies wagered daily at each wagering facility upon which the
20		taxes are assessed and may prescribe forms upon which such
21		reports and statement shall be made.
22		(d) Before a license is issued or re-issued, the licensee
23		shall post a bond in the sum of $500,000 to the State of
24		Illinois. The bond shall be used to guarantee that the licensee
25		faithfully makes the payments, keeps the books and records and
26		makes reports, and conducts games of chance in conformity with

SB0690 Enrolled - 543 - LRB101 04451 HLH 49459 b
1		this Act and the rules adopted by the Board. The bond shall not
2		be canceled by a surety on less than 30 days' notice in writing
3		to the Board. If a bond is canceled and the licensee fails to
4		file a new bond with the Board in the required amount on or
5		before the effective date of cancellation, the licensee's
6		license shall be revoked. The total and aggregate liability of
7		the surety on the bond is limited to the amount specified in
8		the bond. Any licensee failing or refusing to pay the amount of
9		any tax due under this Section shall be guilty of a business
10		offense and upon conviction shall be fined not more than $5,000
11		in addition to the amount found due as tax under this Section.
12		Each day's violation shall constitute a separate offense. All
13		fines paid into Court by a licensee hereunder shall be
14		transmitted and paid over by the Clerk of the Court to the
15		Board.
16		(e) No other license fee, privilege tax, excise tax, or
17		racing fee, except as provided in this Act, shall be assessed
18		or collected from any such licensee by the State.
19		(f) No other license fee, privilege tax, excise tax or
20		racing fee shall be assessed or collected from any such
21		licensee by units of local government except as provided in
22		paragraph 10.1 of subsection (h) and subsection (f) of Section
23		26 of this Act. However, any municipality that has a Board
24		licensed horse race meeting at a race track wholly within its
25		corporate boundaries or a township that has a Board licensed
26		horse race meeting at a race track wholly within the

SB0690 Enrolled - 544 - LRB101 04451 HLH 49459 b
1		unincorporated area of the township may charge a local
2		amusement tax not to exceed 10¢ per admission to such horse
3		race meeting by the enactment of an ordinance. However, any
4		municipality or county that has a Board licensed inter-track
5		wagering location facility wholly within its corporate
6		boundaries may each impose an admission fee not to exceed $1.00
7		per admission to such inter-track wagering location facility,
8		so that a total of not more than $2.00 per admission may be
9		imposed. Except as provided in subparagraph (g) of Section 27
10		of this Act, the inter-track wagering location licensee shall
11		collect any and all such fees and within 48 hours remit the
12		fees to the Board as the Board prescribes, which shall,
13		pursuant to rule, cause the fees to be distributed to the
14		county or municipality.
15		(g) Notwithstanding any provision in this Act to the
16		contrary, if in any calendar year the total taxes and fees from
17		wagering on live racing and from inter-track wagering required
18		to be collected from licensees and distributed under this Act
19		to all State and local governmental authorities exceeds the
20		amount of such taxes and fees distributed to each State and
21		local governmental authority to which each State and local
22		governmental authority was entitled under this Act for calendar
23		year 1994, then the first $11 million of that excess amount
24		shall be allocated at the earliest possible date for
25		distribution as purse money for the succeeding calendar year.
26		Upon reaching the 1994 level, and until the excess amount of

SB0690 Enrolled - 545 - LRB101 04451 HLH 49459 b
1		taxes and fees exceeds $11 million, the Board shall direct all
2		licensees to cease paying the subject taxes and fees and the
3		Board shall direct all licensees to allocate any such excess
4		amount for purses as follows:
5		(i) the excess amount shall be initially divided
6		between thoroughbred and standardbred purses based on the
7		thoroughbred's and standardbred's respective percentages
8		of total Illinois live wagering in calendar year 1994;
9		(ii) each thoroughbred and standardbred organization
10		licensee issued an organization licensee in that
11		succeeding allocation year shall be allocated an amount
12		equal to the product of its percentage of total Illinois
13		live thoroughbred or standardbred wagering in calendar
14		year 1994 (the total to be determined based on the sum of
15		1994 on-track wagering for all organization licensees
16		issued organization licenses in both the allocation year
17		and the preceding year) multiplied by the total amount
18		allocated for standardbred or thoroughbred purses,
19		provided that the first $1,500,000 of the amount allocated
20		to standardbred purses under item (i) shall be allocated to
21		the Department of Agriculture to be expended with the
22		assistance and advice of the Illinois Standardbred
23		Breeders Funds Advisory Board for the purposes listed in
24		subsection (g) of Section 31 of this Act, before the amount
25		allocated to standardbred purses under item (i) is
26		allocated to standardbred organization licensees in the

SB0690 Enrolled - 546 - LRB101 04451 HLH 49459 b
1		succeeding allocation year.
2		To the extent the excess amount of taxes and fees to be
3		collected and distributed to State and local governmental
4		authorities exceeds $11 million, that excess amount shall be
5		collected and distributed to State and local authorities as
6		provided for under this Act.
7		(Source: P.A. 99-756, eff. 8-12-16; 100-627, eff. 7-20-18.)
8		(230 ILCS 5/29) (from Ch. 8, par. 37-29)
9		Sec. 29. (a) After the privilege or pari-mutuel tax
10		established in Sections 26(f), 27, and 27.1 is paid to the
11		State from the monies retained by the organization licensee
12		pursuant to Sections 26, 26.2, and 26.3, the remainder of those
13		monies retained pursuant to Sections 26 and 26.2, except as
14		provided in subsection (g) of Section 27 of this Act, shall be
15		allocated evenly to the organization licensee and as purses.
16		(b) (Blank).
17		(c) (Blank).
18		(d) From the amounts generated for purses from all sources,
19		including, but not limited to, amounts generated from wagering
20		conducted by organization licensees, organization gaming
21		licensees, inter-track wagering licensees, inter-track
22		wagering location licensees, and advance deposit wagering
23		licensees, an organization licensee shall pay to an
24		organization representing the largest number of horse owners
25		and trainers in Illinois, for thoroughbred and standardbred

SB0690 Enrolled - 547 - LRB101 04451 HLH 49459 b
1		horses that race at the track of the organization licensee, an
2		amount equal to at least 5% of any and all revenue earned by
3		the organization licensee for purses for that calendar year. A
4		contract with the appropriate thoroughbred or standardbred
5		horsemen organization shall be negotiated and signed by the
6		organization licensee before the beginning of each calendar
7		year. Amounts may be used for any legal purpose, including, but
8		not limited to, operational expenses, programs for backstretch
9		workers, retirement plans, diversity scholarships, horse
10		aftercare programs, workers compensation insurance fees, and
11		horse ownership programs. Financial statements highlighting
12		how the funding is spent shall be provided upon request to the
13		organization licensee. The appropriate thoroughbred or
14		standardbred horsemen organization shall make that information
15		available on its website.
16		Each organization licensee and inter-track wagering
17		licensee from the money retained for purses as set forth in
18		subsection (a) of this Section, shall pay to an organization
19		representing the largest number of horse owners and trainers
20		which has negotiated a contract with the organization licensee
21		for such purpose an amount equal to at least 1% of the
22		organization licensee's and inter-track wagering licensee's
23		retention of the pari-mutuel handle for the racing season. Each
24		inter-track wagering location licensee, from the 4% of its
25		handle required to be paid as purses under paragraph (11) of
26		subsection (h) of Section 26 of this Act, shall pay to the

SB0690 Enrolled - 548 - LRB101 04451 HLH 49459 b
1		contractually established representative organization 2% of
2		that 4%, provided that the payments so made to the organization
3		shall not exceed a total of $125,000 in any calendar year. Such
4		contract shall be negotiated and signed prior to the beginning
5		of the racing season.
6		(Source: P.A. 91-40, eff. 6-25-99.)
7		(230 ILCS 5/30) (from Ch. 8, par. 37-30)
8		Sec. 30. (a) The General Assembly declares that it is the
9		policy of this State to encourage the breeding of thoroughbred
10		horses in this State and the ownership of such horses by
11		residents of this State in order to provide for: sufficient
12		numbers of high quality thoroughbred horses to participate in
13		thoroughbred racing meetings in this State, and to establish
14		and preserve the agricultural and commercial benefits of such
15		breeding and racing industries to the State of Illinois. It is
16		the intent of the General Assembly to further this policy by
17		the provisions of this Act.
18		(b) Each organization licensee conducting a thoroughbred
19		racing meeting pursuant to this Act shall provide at least two
20		races each day limited to Illinois conceived and foaled horses
21		or Illinois foaled horses or both. A minimum of 6 races shall
22		be conducted each week limited to Illinois conceived and foaled
23		or Illinois foaled horses or both. No horses shall be permitted
24		to start in such races unless duly registered under the rules
25		of the Department of Agriculture.

SB0690 Enrolled - 549 - LRB101 04451 HLH 49459 b
1		(c) Conditions of races under subsection (b) shall be
2		commensurate with past performance, quality, and class of
3		Illinois conceived and foaled and Illinois foaled horses
4		available. If, however, sufficient competition cannot be had
5		among horses of that class on any day, the races may, with
6		consent of the Board, be eliminated for that day and substitute
7		races provided.
8		(d) There is hereby created a special fund of the State
9		Treasury to be known as the Illinois Thoroughbred Breeders
10		Fund.
11		Beginning on the effective date of this amendatory Act of
12		the 101st General Assembly, the Illinois Thoroughbred Breeders
13		Fund shall become a non-appropriated trust fund held separate
14		from State moneys. Expenditures from this Fund shall no longer
15		be subject to appropriation.
16		Except as provided in subsection (g) of Section 27 of this
17		Act, 8.5% of all the monies received by the State as privilege
18		taxes on Thoroughbred racing meetings shall be paid into the
19		Illinois Thoroughbred Breeders Fund.
20		Notwithstanding any provision of law to the contrary,
21		amounts deposited into the Illinois Thoroughbred Breeders Fund
22		from revenues generated by gaming pursuant to an organization
23		gaming license issued under the Illinois Gambling Act after the
24		effective date of this amendatory Act of the 101st General
25		Assembly shall be in addition to tax and fee amounts paid under
26		this Section for calendar year 2019 and thereafter.

SB0690 Enrolled - 550 - LRB101 04451 HLH 49459 b
1		(e) The Illinois Thoroughbred Breeders Fund shall be
2		administered by the Department of Agriculture with the advice
3		and assistance of the Advisory Board created in subsection (f)
4		of this Section.
5		(f) The Illinois Thoroughbred Breeders Fund Advisory Board
6		shall consist of the Director of the Department of Agriculture,
7		who shall serve as Chairman; a member of the Illinois Racing
8		Board, designated by it; 2 representatives of the organization
9		licensees conducting thoroughbred racing meetings, recommended
10		by them; 2 representatives of the Illinois Thoroughbred
11		Breeders and Owners Foundation, recommended by it; one
12		representative and 2 representatives of the Horsemen's
13		Benevolent Protective Association; and one representative from
14		the Illinois Thoroughbred Horsemen's Association or any
15		successor organization established in Illinois comprised of
16		the largest number of owners and trainers, recommended by it,
17		with one representative of the Horsemen's Benevolent and
18		Protective Association to come from its Illinois Division, and
19		one from its Chicago Division. Advisory Board members shall
20		serve for 2 years commencing January 1 of each odd numbered
21		year. If representatives of the organization licensees
22		conducting thoroughbred racing meetings, the Illinois
23		Thoroughbred Breeders and Owners Foundation, and the
24		Horsemen's Benevolent Protection Association, and the Illinois
25		Thoroughbred Horsemen's Association have not been recommended
26		by January 1, of each odd numbered year, the Director of the

SB0690 Enrolled - 551 - LRB101 04451 HLH 49459 b
1		Department of Agriculture shall make an appointment for the
2		organization failing to so recommend a member of the Advisory
3		Board. Advisory Board members shall receive no compensation for
4		their services as members but shall be reimbursed for all
5		actual and necessary expenses and disbursements incurred in the
6		execution of their official duties.
7		(g) No monies shall be expended from the Illinois
8		Thoroughbred Breeders Fund except as appropriated by the
9		General Assembly. Monies expended appropriated from the
10		Illinois Thoroughbred Breeders Fund shall be expended by the
11		Department of Agriculture, with the advice and assistance of
12		the Illinois Thoroughbred Breeders Fund Advisory Board, for the
13		following purposes only:
14		(1) To provide purse supplements to owners of horses
15		participating in races limited to Illinois conceived and
16		foaled and Illinois foaled horses. Any such purse
17		supplements shall not be included in and shall be paid in
18		addition to any purses, stakes, or breeders' awards offered
19		by each organization licensee as determined by agreement
20		between such organization licensee and an organization
21		representing the horsemen. No monies from the Illinois
22		Thoroughbred Breeders Fund shall be used to provide purse
23		supplements for claiming races in which the minimum
24		claiming price is less than $7,500.
25		(2) To provide stakes and awards to be paid to the
26		owners of the winning horses in certain races limited to

SB0690 Enrolled - 552 - LRB101 04451 HLH 49459 b
1		Illinois conceived and foaled and Illinois foaled horses
2		designated as stakes races.
3		(2.5) To provide an award to the owner or owners of an
4		Illinois conceived and foaled or Illinois foaled horse that
5		wins a maiden special weight, an allowance, overnight
6		handicap race, or claiming race with claiming price of
7		$10,000 or more providing the race is not restricted to
8		Illinois conceived and foaled or Illinois foaled horses.
9		Awards shall also be provided to the owner or owners of
10		Illinois conceived and foaled and Illinois foaled horses
11		that place second or third in those races. To the extent
12		that additional moneys are required to pay the minimum
13		additional awards of 40% of the purse the horse earns for
14		placing first, second or third in those races for Illinois
15		foaled horses and of 60% of the purse the horse earns for
16		placing first, second or third in those races for Illinois
17		conceived and foaled horses, those moneys shall be provided
18		from the purse account at the track where earned.
19		(3) To provide stallion awards to the owner or owners
20		of any stallion that is duly registered with the Illinois
21		Thoroughbred Breeders Fund Program prior to the effective
22		date of this amendatory Act of 1995 whose duly registered
23		Illinois conceived and foaled offspring wins a race
24		conducted at an Illinois thoroughbred racing meeting other
25		than a claiming race, provided that the stallion stood
26		service within Illinois at the time the offspring was

SB0690 Enrolled - 553 - LRB101 04451 HLH 49459 b
1		conceived and that the stallion did not stand for service
2		outside of Illinois at any time during the year in which
3		the offspring was conceived. Such award shall not be paid
4		to the owner or owners of an Illinois stallion that served
5		outside this State at any time during the calendar year in
6		which such race was conducted.
7		(4) To provide $75,000 annually for purses to be
8		distributed to county fairs that provide for the running of
9		races during each county fair exclusively for the
10		thoroughbreds conceived and foaled in Illinois. The
11		conditions of the races shall be developed by the county
12		fair association and reviewed by the Department with the
13		advice and assistance of the Illinois Thoroughbred
14		Breeders Fund Advisory Board. There shall be no wagering of
15		any kind on the running of Illinois conceived and foaled
16		races at county fairs.
17		(4.1) To provide purse money for an Illinois stallion
18		stakes program.
19		(5) No less than 90% 80% of all monies expended
20		appropriated from the Illinois Thoroughbred Breeders Fund
21		shall be expended for the purposes in (1), (2), (2.5), (3),
22		(4), (4.1), and (5) as shown above.
23		(6) To provide for educational programs regarding the
24		thoroughbred breeding industry.
25		(7) To provide for research programs concerning the
26		health, development and care of the thoroughbred horse.

SB0690 Enrolled - 554 - LRB101 04451 HLH 49459 b
1		(8) To provide for a scholarship and training program
2		for students of equine veterinary medicine.
3		(9) To provide for dissemination of public information
4		designed to promote the breeding of thoroughbred horses in
5		Illinois.
6		(10) To provide for all expenses incurred in the
7		administration of the Illinois Thoroughbred Breeders Fund.
8		(h) The Illinois Thoroughbred Breeders Fund is not subject
9		to administrative charges or chargebacks, including, but not
10		limited to, those authorized under Section 8h of the State
11		Finance Act. Whenever the Governor finds that the amount in the
12		Illinois Thoroughbred Breeders Fund is more than the total of
13		the outstanding appropriations from such fund, the Governor
14		shall notify the State Comptroller and the State Treasurer of
15		such fact. The Comptroller and the State Treasurer, upon
16		receipt of such notification, shall transfer such excess amount
17		from the Illinois Thoroughbred Breeders Fund to the General
18		Revenue Fund.
19		(i) A sum equal to 13% of the first prize money of every
20		purse won by an Illinois foaled or Illinois conceived and
21		foaled horse in races not limited to Illinois foaled horses or
22		Illinois conceived and foaled horses, or both, shall be paid by
23		the organization licensee conducting the horse race meeting.
24		Such sum shall be paid 50% from the organization licensee's
25		share of the money wagered and 50% from the purse account as
26		follows: 11 1/2% to the breeder of the winning horse and 1 1/2%

SB0690 Enrolled - 555 - LRB101 04451 HLH 49459 b
1		to the organization representing thoroughbred breeders and
2		owners who representative serves on the Illinois Thoroughbred
3		Breeders Fund Advisory Board for verifying the amounts of
4		breeders' awards earned, ensuring their distribution in
5		accordance with this Act, and servicing and promoting the
6		Illinois thoroughbred horse racing industry. Beginning in the
7		calendar year in which an organization licensee that is
8		eligible to receive payments under paragraph (13) of subsection
9		(g) of Section 26 of this Act begins to receive funds from
10		gaming pursuant to an organization gaming license issued under
11		the Illinois Gambling Act, a sum equal to 21 1/2% of the first
12		prize money of every purse won by an Illinois foaled or an
13		Illinois conceived and foaled horse in races not limited to an
14		Illinois conceived and foaled horse, or both, shall be paid 30%
15		from the organization licensee's account and 70% from the purse
16		account as follows: 20% to the breeder of the winning horse and
17		1 1/2% to the organization representing thoroughbred breeders
18		and owners whose representatives serve on the Illinois
19		Thoroughbred Breeders Fund Advisory Board for verifying the
20		amounts of breeders' awards earned, ensuring their
21		distribution in accordance with this Act, and servicing and
22		promoting the Illinois Thoroughbred racing industry. A sum
23		equal to 12 1/2% of the first prize money of every purse won by
24		an Illinois foaled or an Illinois conceived and foaled horse in
25		races not limited to Illinois foaled horses or Illinois
26		conceived and foaled horses, or both, shall be paid by the

SB0690 Enrolled - 556 - LRB101 04451 HLH 49459 b
1		organization licensee conducting the horse race meeting. Such
2		sum shall be paid from the organization licensee's share of the
3		money wagered as follows: 11 1/2% to the breeder of the winning
4		horse and 1% to the organization representing thoroughbred
5		breeders and owners whose representative serves on the Illinois
6		Thoroughbred Breeders Fund Advisory Board for verifying the
7		amounts of breeders' awards earned, assuring their
8		distribution in accordance with this Act, and servicing and
9		promoting the Illinois thoroughbred horse racing industry. The
10		organization representing thoroughbred breeders and owners
11		shall cause all expenditures of monies received under this
12		subsection (i) to be audited at least annually by a registered
13		public accountant. The organization shall file copies of each
14		annual audit with the Racing Board, the Clerk of the House of
15		Representatives and the Secretary of the Senate, and shall make
16		copies of each annual audit available to the public upon
17		request and upon payment of the reasonable cost of photocopying
18		the requested number of copies. Such payments shall not reduce
19		any award to the owner of the horse or reduce the taxes payable
20		under this Act. Upon completion of its racing meet, each
21		organization licensee shall deliver to the organization
22		representing thoroughbred breeders and owners whose
23		representative serves on the Illinois Thoroughbred Breeders
24		Fund Advisory Board a listing of all the Illinois foaled and
25		the Illinois conceived and foaled horses which won breeders'
26		awards and the amount of such breeders' awards under this

SB0690 Enrolled - 557 - LRB101 04451 HLH 49459 b
1		subsection to verify accuracy of payments and assure proper
2		distribution of breeders' awards in accordance with the
3		provisions of this Act. Such payments shall be delivered by the
4		organization licensee within 30 days of the end of each race
5		meeting.
6		(j) A sum equal to 13% of the first prize money won in
7		every race limited to Illinois foaled horses or Illinois
8		conceived and foaled horses, or both, shall be paid in the
9		following manner by the organization licensee conducting the
10		horse race meeting, 50% from the organization licensee's share
11		of the money wagered and 50% from the purse account as follows:
12		11 1/2% to the breeders of the horses in each such race which
13		are the official first, second, third, and fourth finishers and
14		1 1/2% to the organization representing thoroughbred breeders
15		and owners whose representatives serve on the Illinois
16		Thoroughbred Breeders Fund Advisory Board for verifying the
17		amounts of breeders' awards earned, ensuring their proper
18		distribution in accordance with this Act, and servicing and
19		promoting the Illinois horse racing industry. Beginning in the
20		calendar year in which an organization licensee that is
21		eligible to receive payments under paragraph (13) of subsection
22		(g) of Section 26 of this Act begins to receive funds from
23		gaming pursuant to an organization gaming license issued under
24		the Illinois Gambling Act, a sum of 21 1/2% of every purse in a
25		race limited to Illinois foaled horses or Illinois conceived
26		and foaled horses, or both, shall be paid by the organization

SB0690 Enrolled - 558 - LRB101 04451 HLH 49459 b
1		licensee conducting the horse race meeting. Such sum shall be
2		paid 30% from the organization licensee's account and 70% from
3		the purse account as follows: 20% to the breeders of the horses
4		in each such race who are official first, second, third and
5		fourth finishers and 1 1/2% to the organization representing
6		thoroughbred breeders and owners whose representatives serve
7		on the Illinois Thoroughbred Breeders Fund Advisory Board for
8		verifying the amounts of breeders' awards earned, ensuring
9		their proper distribution in accordance with this Act, and
10		servicing and promoting the Illinois thoroughbred horse racing
11		industry. The organization representing thoroughbred breeders
12		and owners shall cause all expenditures of moneys received
13		under this subsection (j) to be audited at least annually by a
14		registered public accountant. The organization shall file
15		copies of each annual audit with the Racing Board, the Clerk of
16		the House of Representatives and the Secretary of the Senate,
17		and shall make copies of each annual audit available to the
18		public upon request and upon payment of the reasonable cost of
19		photocopying the requested number of copies. The copies of the
20		audit to the General Assembly shall be filed with the Clerk of
21		the House of Representatives and the Secretary of the Senate in
22		electronic form only, in the manner that the Clerk and the
23		Secretary shall direct. A sum equal to 12 1/2% of the first
24		prize money won in each race limited to Illinois foaled horses
25		or Illinois conceived and foaled horses, or both, shall be paid
26		in the following manner by the organization licensee conducting

SB0690 Enrolled - 559 - LRB101 04451 HLH 49459 b
1		the horse race meeting, from the organization licensee's share
2		of the money wagered: 11 1/2% to the breeders of the horses in
3		each such race which are the official first, second, third and
4		fourth finishers and 1% to the organization representing
5		thoroughbred breeders and owners whose representative serves
6		on the Illinois Thoroughbred Breeders Fund Advisory Board for
7		verifying the amounts of breeders' awards earned, assuring
8		their proper distribution in accordance with this Act, and
9		servicing and promoting the Illinois thoroughbred horse racing
10		industry. The organization representing thoroughbred breeders
11		and owners shall cause all expenditures of monies received
12		under this subsection (j) to be audited at least annually by a
13		registered public accountant. The organization shall file
14		copies of each annual audit with the Racing Board, the Clerk of
15		the House of Representatives and the Secretary of the Senate,
16		and shall make copies of each annual audit available to the
17		public upon request and upon payment of the reasonable cost of
18		photocopying the requested number of copies.
19		The amounts 11 1/2% paid to the breeders in accordance with
20		this subsection shall be distributed as follows:
21		(1) 60% of such sum shall be paid to the breeder of the
22		horse which finishes in the official first position;
23		(2) 20% of such sum shall be paid to the breeder of the
24		horse which finishes in the official second position;
25		(3) 15% of such sum shall be paid to the breeder of the
26		horse which finishes in the official third position; and

SB0690 Enrolled - 560 - LRB101 04451 HLH 49459 b
1		(4) 5% of such sum shall be paid to the breeder of the
2		horse which finishes in the official fourth position.
3		Such payments shall not reduce any award to the owners of a
4		horse or reduce the taxes payable under this Act. Upon
5		completion of its racing meet, each organization licensee shall
6		deliver to the organization representing thoroughbred breeders
7		and owners whose representative serves on the Illinois
8		Thoroughbred Breeders Fund Advisory Board a listing of all the
9		Illinois foaled and the Illinois conceived and foaled horses
10		which won breeders' awards and the amount of such breeders'
11		awards in accordance with the provisions of this Act. Such
12		payments shall be delivered by the organization licensee within
13		30 days of the end of each race meeting.
14		(k) The term "breeder", as used herein, means the owner of
15		the mare at the time the foal is dropped. An "Illinois foaled
16		horse" is a foal dropped by a mare which enters this State on
17		or before December 1, in the year in which the horse is bred,
18		provided the mare remains continuously in this State until its
19		foal is born. An "Illinois foaled horse" also means a foal born
20		of a mare in the same year as the mare enters this State on or
21		before March 1, and remains in this State at least 30 days
22		after foaling, is bred back during the season of the foaling to
23		an Illinois Registered Stallion (unless a veterinarian
24		certifies that the mare should not be bred for health reasons),
25		and is not bred to a stallion standing in any other state
26		during the season of foaling. An "Illinois foaled horse" also

SB0690 Enrolled - 561 - LRB101 04451 HLH 49459 b
1		means a foal born in Illinois of a mare purchased at public
2		auction subsequent to the mare entering this State on or before
3		March 1 prior to February 1 of the foaling year providing the
4		mare is owned solely by one or more Illinois residents or an
5		Illinois entity that is entirely owned by one or more Illinois
6		residents.
7		(l) The Department of Agriculture shall, by rule, with the
8		advice and assistance of the Illinois Thoroughbred Breeders
9		Fund Advisory Board:
10		(1) Qualify stallions for Illinois breeding; such
11		stallions to stand for service within the State of Illinois
12		at the time of a foal's conception. Such stallion must not
13		stand for service at any place outside the State of
14		Illinois during the calendar year in which the foal is
15		conceived. The Department of Agriculture may assess and
16		collect an application fee of up to $500 fees for the
17		registration of Illinois-eligible stallions. All fees
18		collected are to be held in trust accounts for the purposes
19		set forth in this Act and in accordance with Section 205-15
20		of the Department of Agriculture Law paid into the Illinois
21		Thoroughbred Breeders Fund.
22		(2) Provide for the registration of Illinois conceived
23		and foaled horses and Illinois foaled horses. No such horse
24		shall compete in the races limited to Illinois conceived
25		and foaled horses or Illinois foaled horses or both unless
26		registered with the Department of Agriculture. The

SB0690 Enrolled - 562 - LRB101 04451 HLH 49459 b
1		Department of Agriculture may prescribe such forms as are
2		necessary to determine the eligibility of such horses. The
3		Department of Agriculture may assess and collect
4		application fees for the registration of Illinois-eligible
5		foals. All fees collected are to be held in trust accounts
6		for the purposes set forth in this Act and in accordance
7		with Section 205-15 of the Department of Agriculture Law
8		paid into the Illinois Thoroughbred Breeders Fund. No
9		person shall knowingly prepare or cause preparation of an
10		application for registration of such foals containing
11		false information.
12		(m) The Department of Agriculture, with the advice and
13		assistance of the Illinois Thoroughbred Breeders Fund Advisory
14		Board, shall provide that certain races limited to Illinois
15		conceived and foaled and Illinois foaled horses be stakes races
16		and determine the total amount of stakes and awards to be paid
17		to the owners of the winning horses in such races.
18		In determining the stakes races and the amount of awards
19		for such races, the Department of Agriculture shall consider
20		factors, including but not limited to, the amount of money
21		appropriated for the Illinois Thoroughbred Breeders Fund
22		program, organization licensees' contributions, availability
23		of stakes caliber horses as demonstrated by past performances,
24		whether the race can be coordinated into the proposed racing
25		dates within organization licensees' racing dates, opportunity
26		for colts and fillies and various age groups to race, public

SB0690 Enrolled - 563 - LRB101 04451 HLH 49459 b
1		wagering on such races, and the previous racing schedule.
2		(n) The Board and the organization organizational licensee
3		shall notify the Department of the conditions and minimum
4		purses for races limited to Illinois conceived and foaled and
5		Illinois foaled horses conducted for each organization
6		organizational licensee conducting a thoroughbred racing
7		meeting. The Department of Agriculture with the advice and
8		assistance of the Illinois Thoroughbred Breeders Fund Advisory
9		Board may allocate monies for purse supplements for such races.
10		In determining whether to allocate money and the amount, the
11		Department of Agriculture shall consider factors, including
12		but not limited to, the amount of money appropriated for the
13		Illinois Thoroughbred Breeders Fund program, the number of
14		races that may occur, and the organization organizational
15		licensee's purse structure.
16		(o) (Blank).
17		(Source: P.A. 98-692, eff. 7-1-14.)
18		(230 ILCS 5/30.5)
19		Sec. 30.5. Illinois Racing Quarter Horse Breeders Fund.
20		(a) The General Assembly declares that it is the policy of
21		this State to encourage the breeding of racing quarter horses
22		in this State and the ownership of such horses by residents of
23		this State in order to provide for sufficient numbers of high
24		quality racing quarter horses in this State and to establish
25		and preserve the agricultural and commercial benefits of such

SB0690 Enrolled - 564 - LRB101 04451 HLH 49459 b
1		breeding and racing industries to the State of Illinois. It is
2		the intent of the General Assembly to further this policy by
3		the provisions of this Act.
4		(b) There is hereby created a special fund in the State
5		Treasury to be known as the Illinois Racing Quarter Horse
6		Breeders Fund. Except as provided in subsection (g) of Section
7		27 of this Act, 8.5% of all the moneys received by the State as
8		pari-mutuel taxes on quarter horse racing shall be paid into
9		the Illinois Racing Quarter Horse Breeders Fund. The Illinois
10		Racing Quarter Horse Breeders Fund shall not be subject to
11		administrative charges or chargebacks, including, but not
12		limited to, those authorized under Section 8h of the State
13		Finance Act.
14		(c) The Illinois Racing Quarter Horse Breeders Fund shall
15		be administered by the Department of Agriculture with the
16		advice and assistance of the Advisory Board created in
17		subsection (d) of this Section.
18		(d) The Illinois Racing Quarter Horse Breeders Fund
19		Advisory Board shall consist of the Director of the Department
20		of Agriculture, who shall serve as Chairman; a member of the
21		Illinois Racing Board, designated by it; one representative of
22		the organization licensees conducting pari-mutuel quarter
23		horse racing meetings, recommended by them; 2 representatives
24		of the Illinois Running Quarter Horse Association, recommended
25		by it; and the Superintendent of Fairs and Promotions from the
26		Department of Agriculture. Advisory Board members shall serve

SB0690 Enrolled - 565 - LRB101 04451 HLH 49459 b
1		for 2 years commencing January 1 of each odd numbered year. If
2		representatives have not been recommended by January 1 of each
3		odd numbered year, the Director of the Department of
4		Agriculture may make an appointment for the organization
5		failing to so recommend a member of the Advisory Board.
6		Advisory Board members shall receive no compensation for their
7		services as members but may be reimbursed for all actual and
8		necessary expenses and disbursements incurred in the execution
9		of their official duties.
10		(e) Moneys in No moneys shall be expended from the Illinois
11		Racing Quarter Horse Breeders Fund except as appropriated by
12		the General Assembly. Moneys appropriated from the Illinois
13		Racing Quarter Horse Breeders Fund shall be expended by the
14		Department of Agriculture, with the advice and assistance of
15		the Illinois Racing Quarter Horse Breeders Fund Advisory Board,
16		for the following purposes only:
17		(1) To provide stakes and awards to be paid to the
18		owners of the winning horses in certain races. This
19		provision is limited to Illinois conceived and foaled
20		horses.
21		(2) To provide an award to the owner or owners of an
22		Illinois conceived and foaled horse that wins a race when
23		pari-mutuel wagering is conducted; providing the race is
24		not restricted to Illinois conceived and foaled horses.
25		(3) To provide purse money for an Illinois stallion
26		stakes program.

SB0690 Enrolled - 566 - LRB101 04451 HLH 49459 b
1		(4) To provide for purses to be distributed for the
2		running of races during the Illinois State Fair and the
3		DuQuoin State Fair exclusively for quarter horses
4		conceived and foaled in Illinois.
5		(5) To provide for purses to be distributed for the
6		running of races at Illinois county fairs exclusively for
7		quarter horses conceived and foaled in Illinois.
8		(6) To provide for purses to be distributed for running
9		races exclusively for quarter horses conceived and foaled
10		in Illinois at locations in Illinois determined by the
11		Department of Agriculture with advice and consent of the
12		Illinois Racing Quarter Horse Breeders Fund Advisory
13		Board.
14		(7) No less than 90% of all moneys appropriated from
15		the Illinois Racing Quarter Horse Breeders Fund shall be
16		expended for the purposes in items (1), (2), (3), (4), and
17		(5) of this subsection (e).
18		(8) To provide for research programs concerning the
19		health, development, and care of racing quarter horses.
20		(9) To provide for dissemination of public information
21		designed to promote the breeding of racing quarter horses
22		in Illinois.
23		(10) To provide for expenses incurred in the
24		administration of the Illinois Racing Quarter Horse
25		Breeders Fund.
26		(f) The Department of Agriculture shall, by rule, with the

SB0690 Enrolled - 567 - LRB101 04451 HLH 49459 b
1		advice and assistance of the Illinois Racing Quarter Horse
2		Breeders Fund Advisory Board:
3		(1) Qualify stallions for Illinois breeding; such
4		stallions to stand for service within the State of
5		Illinois, at the time of a foal's conception. Such stallion
6		must not stand for service at any place outside the State
7		of Illinois during the calendar year in which the foal is
8		conceived. The Department of Agriculture may assess and
9		collect application fees for the registration of
10		Illinois-eligible stallions. All fees collected are to be
11		paid into the Illinois Racing Quarter Horse Breeders Fund.
12		(2) Provide for the registration of Illinois conceived
13		and foaled horses. No such horse shall compete in the races
14		limited to Illinois conceived and foaled horses unless it
15		is registered with the Department of Agriculture. The
16		Department of Agriculture may prescribe such forms as are
17		necessary to determine the eligibility of such horses. The
18		Department of Agriculture may assess and collect
19		application fees for the registration of Illinois-eligible
20		foals. All fees collected are to be paid into the Illinois
21		Racing Quarter Horse Breeders Fund. No person shall
22		knowingly prepare or cause preparation of an application
23		for registration of such foals that contains false
24		information.
25		(g) The Department of Agriculture, with the advice and
26		assistance of the Illinois Racing Quarter Horse Breeders Fund

SB0690 Enrolled - 568 - LRB101 04451 HLH 49459 b
1		Advisory Board, shall provide that certain races limited to
2		Illinois conceived and foaled be stakes races and determine the
3		total amount of stakes and awards to be paid to the owners of
4		the winning horses in such races.
5		(Source: P.A. 98-463, eff. 8-16-13.)
6		(230 ILCS 5/31) (from Ch. 8, par. 37-31)
7		Sec. 31. (a) The General Assembly declares that it is the
8		policy of this State to encourage the breeding of standardbred
9		horses in this State and the ownership of such horses by
10		residents of this State in order to provide for: sufficient
11		numbers of high quality standardbred horses to participate in
12		harness racing meetings in this State, and to establish and
13		preserve the agricultural and commercial benefits of such
14		breeding and racing industries to the State of Illinois. It is
15		the intent of the General Assembly to further this policy by
16		the provisions of this Section of this Act.
17		(b) Each organization licensee conducting a harness racing
18		meeting pursuant to this Act shall provide for at least two
19		races each race program limited to Illinois conceived and
20		foaled horses. A minimum of 6 races shall be conducted each
21		week limited to Illinois conceived and foaled horses. No horses
22		shall be permitted to start in such races unless duly
23		registered under the rules of the Department of Agriculture.
24		(b-5) Organization licensees, not including the Illinois
25		State Fair or the DuQuoin State Fair, shall provide stake races

SB0690 Enrolled - 569 - LRB101 04451 HLH 49459 b
1		and early closer races for Illinois conceived and foaled horses
2		so that purses distributed for such races shall be no less than
3		17% of total purses distributed for harness racing in that
4		calendar year in addition to any stakes payments and starting
5		fees contributed by horse owners.
6		(b-10) Each organization licensee conducting a harness
7		racing meeting pursuant to this Act shall provide an owner
8		award to be paid from the purse account equal to 12% of the
9		amount earned by Illinois conceived and foaled horses finishing
10		in the first 3 positions in races that are not restricted to
11		Illinois conceived and foaled horses. The owner awards shall
12		not be paid on races below the $10,000 claiming class.
13		(c) Conditions of races under subsection (b) shall be
14		commensurate with past performance, quality and class of
15		Illinois conceived and foaled horses available. If, however,
16		sufficient competition cannot be had among horses of that class
17		on any day, the races may, with consent of the Board, be
18		eliminated for that day and substitute races provided.
19		(d) There is hereby created a special fund of the State
20		Treasury to be known as the Illinois Standardbred Breeders
21		Fund. Beginning on the effective date of this amendatory Act of
22		the 101st General Assembly, the Illinois Standardbred Breeders
23		Fund shall become a non-appropriated trust fund held separate
24		and apart from State moneys. Expenditures from this Fund shall
25		no longer be subject to appropriation.
26		During the calendar year 1981, and each year thereafter,

SB0690 Enrolled - 570 - LRB101 04451 HLH 49459 b
1		except as provided in subsection (g) of Section 27 of this Act,
2		eight and one-half per cent of all the monies received by the
3		State as privilege taxes on harness racing meetings shall be
4		paid into the Illinois Standardbred Breeders Fund.
5		(e) Notwithstanding any provision of law to the contrary,
6		amounts deposited into the Illinois Standardbred Breeders Fund
7		from revenues generated by gaming pursuant to an organization
8		gaming license issued under the Illinois Gambling Act after the
9		effective date of this amendatory Act of the 101st General
10		Assembly shall be in addition to tax and fee amounts paid under
11		this Section for calendar year 2019 and thereafter. The
12		Illinois Standardbred Breeders Fund shall be administered by
13		the Department of Agriculture with the assistance and advice of
14		the Advisory Board created in subsection (f) of this Section.
15		(f) The Illinois Standardbred Breeders Fund Advisory Board
16		is hereby created. The Advisory Board shall consist of the
17		Director of the Department of Agriculture, who shall serve as
18		Chairman; the Superintendent of the Illinois State Fair; a
19		member of the Illinois Racing Board, designated by it; a
20		representative of the largest association of Illinois
21		standardbred owners and breeders, recommended by it; a
22		representative of a statewide association representing
23		agricultural fairs in Illinois, recommended by it, such
24		representative to be from a fair at which Illinois conceived
25		and foaled racing is conducted; a representative of the
26		organization licensees conducting harness racing meetings,

SB0690 Enrolled - 571 - LRB101 04451 HLH 49459 b
1		recommended by them; a representative of the Breeder's
2		Committee of the association representing the largest number of
3		standardbred owners, breeders, trainers, caretakers, and
4		drivers, recommended by it; and a representative of the
5		association representing the largest number of standardbred
6		owners, breeders, trainers, caretakers, and drivers,
7		recommended by it. Advisory Board members shall serve for 2
8		years commencing January 1 of each odd numbered year. If
9		representatives of the largest association of Illinois
10		standardbred owners and breeders, a statewide association of
11		agricultural fairs in Illinois, the association representing
12		the largest number of standardbred owners, breeders, trainers,
13		caretakers, and drivers, a member of the Breeder's Committee of
14		the association representing the largest number of
15		standardbred owners, breeders, trainers, caretakers, and
16		drivers, and the organization licensees conducting harness
17		racing meetings have not been recommended by January 1 of each
18		odd numbered year, the Director of the Department of
19		Agriculture shall make an appointment for the organization
20		failing to so recommend a member of the Advisory Board.
21		Advisory Board members shall receive no compensation for their
22		services as members but shall be reimbursed for all actual and
23		necessary expenses and disbursements incurred in the execution
24		of their official duties.
25		(g) No monies shall be expended from the Illinois
26		Standardbred Breeders Fund except as appropriated by the

SB0690 Enrolled - 572 - LRB101 04451 HLH 49459 b
1		General Assembly. Monies expended appropriated from the
2		Illinois Standardbred Breeders Fund shall be expended by the
3		Department of Agriculture, with the assistance and advice of
4		the Illinois Standardbred Breeders Fund Advisory Board for the
5		following purposes only:
6		1. To provide purses for races limited to Illinois
7		conceived and foaled horses at the State Fair and the
8		DuQuoin State Fair.
9		2. To provide purses for races limited to Illinois
10		conceived and foaled horses at county fairs.
11		3. To provide purse supplements for races limited to
12		Illinois conceived and foaled horses conducted by
13		associations conducting harness racing meetings.
14		4. No less than 75% of all monies in the Illinois
15		Standardbred Breeders Fund shall be expended for purses in
16		1, 2 and 3 as shown above.
17		5. In the discretion of the Department of Agriculture
18		to provide awards to harness breeders of Illinois conceived
19		and foaled horses which win races conducted by organization
20		licensees conducting harness racing meetings. A breeder is
21		the owner of a mare at the time of conception. No more than
22		10% of all monies appropriated from the Illinois
23		Standardbred Breeders Fund shall be expended for such
24		harness breeders awards. No more than 25% of the amount
25		expended for harness breeders awards shall be expended for
26		expenses incurred in the administration of such harness

SB0690 Enrolled - 573 - LRB101 04451 HLH 49459 b
1		breeders awards.
2		6. To pay for the improvement of racing facilities
3		located at the State Fair and County fairs.
4		7. To pay the expenses incurred in the administration
5		of the Illinois Standardbred Breeders Fund.
6		8. To promote the sport of harness racing, including
7		grants up to a maximum of $7,500 per fair per year for
8		conducting pari-mutuel wagering during the advertised
9		dates of a county fair.
10		9. To pay up to $50,000 annually for the Department of
11		Agriculture to conduct drug testing at county fairs racing
12		standardbred horses.
13		(h) The Illinois Standardbred Breeders Fund is not subject
14		to administrative charges or chargebacks, including, but not
15		limited to, those authorized under Section 8h of the State
16		Finance Act. Whenever the Governor finds that the amount in the
17		Illinois Standardbred Breeders Fund is more than the total of
18		the outstanding appropriations from such fund, the Governor
19		shall notify the State Comptroller and the State Treasurer of
20		such fact. The Comptroller and the State Treasurer, upon
21		receipt of such notification, shall transfer such excess amount
22		from the Illinois Standardbred Breeders Fund to the General
23		Revenue Fund.
24		(i) A sum equal to 13% 12 1/2% of the first prize money of
25		the gross every purse won by an Illinois conceived and foaled
26		horse shall be paid 50% by the organization licensee conducting

SB0690 Enrolled - 574 - LRB101 04451 HLH 49459 b
1		the horse race meeting to the breeder of such winning horse
2		from the organization licensee's account and 50% from the purse
3		account of the licensee share of the money wagered. Such
4		payment shall not reduce any award to the owner of the horse or
5		reduce the taxes payable under this Act. Such payment shall be
6		delivered by the organization licensee at the end of each
7		quarter race meeting.
8		(j) The Department of Agriculture shall, by rule, with the
9		assistance and advice of the Illinois Standardbred Breeders
10		Fund Advisory Board:
11		1. Qualify stallions for Illinois Standardbred
12		Breeders Fund breeding; such stallion shall be owned by a
13		resident of the State of Illinois or by an Illinois
14		corporation all of whose shareholders, directors, officers
15		and incorporators are residents of the State of Illinois.
16		Such stallion shall stand for service at and within the
17		State of Illinois at the time of a foal's conception, and
18		such stallion must not stand for service at any place, nor
19		may semen from such stallion be transported, outside the
20		State of Illinois during that calendar year in which the
21		foal is conceived and that the owner of the stallion was
22		for the 12 months prior, a resident of Illinois. However,
23		from January 1, 2018 until January 1, 2022, semen from an
24		Illinois stallion may be transported outside the State of
25		Illinois. The articles of agreement of any partnership,
26		joint venture, limited partnership, syndicate, association

SB0690 Enrolled - 575 - LRB101 04451 HLH 49459 b
1		or corporation and any bylaws and stock certificates must
2		contain a restriction that provides that the ownership or
3		transfer of interest by any one of the persons a party to
4		the agreement can only be made to a person who qualifies as
5		an Illinois resident.
6		2. Provide for the registration of Illinois conceived
7		and foaled horses and no such horse shall compete in the
8		races limited to Illinois conceived and foaled horses
9		unless registered with the Department of Agriculture. The
10		Department of Agriculture may prescribe such forms as may
11		be necessary to determine the eligibility of such horses.
12		No person shall knowingly prepare or cause preparation of
13		an application for registration of such foals containing
14		false information. A mare (dam) must be in the State at
15		least 30 days prior to foaling or remain in the State at
16		least 30 days at the time of foaling. However, the
17		requirement that a mare (dam) must be in the State at least
18		30 days before foaling or remain in the State at least 30
19		days at the time of foaling shall not be in effect from
20		January 1, 2018 until January 1, 2022. Beginning with the
21		1996 breeding season and for foals of 1997 and thereafter,
22		a foal conceived by transported semen may be eligible for
23		Illinois conceived and foaled registration provided all
24		breeding and foaling requirements are met. The stallion
25		must be qualified for Illinois Standardbred Breeders Fund
26		breeding at the time of conception and the mare must be

SB0690 Enrolled - 576 - LRB101 04451 HLH 49459 b
1		inseminated within the State of Illinois. The foal must be
2		dropped in Illinois and properly registered with the
3		Department of Agriculture in accordance with this Act.
4		However, from January 1, 2018 until January 1, 2022, the
5		requirement for a mare to be inseminated within the State
6		of Illinois and the requirement for a foal to be dropped in
7		Illinois are inapplicable.
8		3. Provide that at least a 5 day racing program shall
9		be conducted at the State Fair each year, which program
10		shall include at least the following races limited to
11		Illinois conceived and foaled horses: (a) a two year old
12		Trot and Pace, and Filly Division of each; (b) a three year
13		old Trot and Pace, and Filly Division of each; (c) an aged
14		Trot and Pace, and Mare Division of each.
15		4. Provide for the payment of nominating, sustaining
16		and starting fees for races promoting the sport of harness
17		racing and for the races to be conducted at the State Fair
18		as provided in subsection (j) 3 of this Section provided
19		that the nominating, sustaining and starting payment
20		required from an entrant shall not exceed 2% of the purse
21		of such race. All nominating, sustaining and starting
22		payments shall be held for the benefit of entrants and
23		shall be paid out as part of the respective purses for such
24		races. Nominating, sustaining and starting fees shall be
25		held in trust accounts for the purposes as set forth in
26		this Act and in accordance with Section 205-15 of the

SB0690 Enrolled - 577 - LRB101 04451 HLH 49459 b
1		Department of Agriculture Law (20 ILCS 205/205-15).
2		5. Provide for the registration with the Department of
3		Agriculture of Colt Associations or county fairs desiring
4		to sponsor races at county fairs.
5		6. Provide for the promotion of producing standardbred
6		racehorses by providing a bonus award program for owners of
7		2-year-old horses that win multiple major stakes races that
8		are limited to Illinois conceived and foaled horses.
9		(k) The Department of Agriculture, with the advice and
10		assistance of the Illinois Standardbred Breeders Fund Advisory
11		Board, may allocate monies for purse supplements for such
12		races. In determining whether to allocate money and the amount,
13		the Department of Agriculture shall consider factors,
14		including but not limited to, the amount of money appropriated
15		for the Illinois Standardbred Breeders Fund program, the number
16		of races that may occur, and an organization organizational
17		licensee's purse structure. The organization organizational
18		licensee shall notify the Department of Agriculture of the
19		conditions and minimum purses for races limited to Illinois
20		conceived and foaled horses to be conducted by each
21		organization organizational licensee conducting a harness
22		racing meeting for which purse supplements have been
23		negotiated.
24		(l) All races held at county fairs and the State Fair which
25		receive funds from the Illinois Standardbred Breeders Fund
26		shall be conducted in accordance with the rules of the United

SB0690 Enrolled - 578 - LRB101 04451 HLH 49459 b
1		States Trotting Association unless otherwise modified by the
2		Department of Agriculture.
3		(m) At all standardbred race meetings held or conducted
4		under authority of a license granted by the Board, and at all
5		standardbred races held at county fairs which are approved by
6		the Department of Agriculture or at the Illinois or DuQuoin
7		State Fairs, no one shall jog, train, warm up or drive a
8		standardbred horse unless he or she is wearing a protective
9		safety helmet, with the chin strap fastened and in place, which
10		meets the standards and requirements as set forth in the 1984
11		Standard for Protective Headgear for Use in Harness Racing and
12		Other Equestrian Sports published by the Snell Memorial
13		Foundation, or any standards and requirements for headgear the
14		Illinois Racing Board may approve. Any other standards and
15		requirements so approved by the Board shall equal or exceed
16		those published by the Snell Memorial Foundation. Any
17		equestrian helmet bearing the Snell label shall be deemed to
18		have met those standards and requirements.
19		(Source: P.A. 99-756, eff. 8-12-16; 100-777, eff. 8-10-18.)
20		(230 ILCS 5/31.1) (from Ch. 8, par. 37-31.1)
21		Sec. 31.1. (a) Unless subsection (a-5) applies,
22		organization Organization licensees collectively shall
23		contribute annually to charity the sum of $750,000 to
24		non-profit organizations that provide medical and family,
25		counseling, and similar services to persons who reside or work

SB0690 Enrolled - 579 - LRB101 04451 HLH 49459 b
1		on the backstretch of Illinois racetracks. Unless subsection
2		(a-5) applies, these These contributions shall be collected as
3		follows: (i) no later than July 1st of each year the Board
4		shall assess each organization licensee, except those tracks
5		located in Madison County, which are not within 100 miles of
6		each other which tracks shall pay $30,000 annually apiece into
7		the Board charity fund, that amount which equals $690,000
8		multiplied by the amount of pari-mutuel wagering handled by the
9		organization licensee in the year preceding assessment and
10		divided by the total pari-mutuel wagering handled by all
11		Illinois organization licensees, except those tracks located
12		in Madison and Rock Island counties which are not within 100
13		miles of each other, in the year preceding assessment; (ii)
14		notice of the assessed contribution shall be mailed to each
15		organization licensee; (iii) within thirty days of its receipt
16		of such notice, each organization licensee shall remit the
17		assessed contribution to the Board. Unless subsection (a-5)
18		applies, if an organization licensee commences operation of
19		gaming at its facility pursuant to an organization gaming
20		license under the Illinois Gambling Act, then the organization
21		licensee shall contribute an additional $83,000 per year
22		beginning in the year subsequent to the first year in which the
23		organization licensee begins receiving funds from gaming
24		pursuant to an organization gaming license. If an organization
25		licensee wilfully fails to so remit the contribution, the Board
26		may revoke its license to conduct horse racing.

SB0690 Enrolled - 580 - LRB101 04451 HLH 49459 b
1		(a-5) If (1) an organization licensee that did not operate
2		live racing in 2017 is awarded racing dates in 2018 or in any
3		subsequent year and (2) all organization licensees are
4		operating gaming pursuant to an organization gaming license
5		under the Illinois Gambling Act, then subsection (a) does not
6		apply and organization licensees collectively shall contribute
7		annually to charity the sum of $1,000,000 to non-profit
8		organizations that provide medical and family, counseling, and
9		similar services to persons who reside or work on the
10		backstretch of Illinois racetracks. These contributions shall
11		be collected as follows: (i) no later than July 1st of each
12		year the Board shall assess each organization licensee an
13		amount based on the proportionate amount of live racing days in
14		the calendar year for which the Board has awarded to the
15		organization licensee out of the total aggregate number of live
16		racing days awarded; (ii) notice of the assessed contribution
17		shall be mailed to each organization licensee; (iii) within 30
18		days after its receipt of such notice, each organization
19		licensee shall remit the assessed contribution to the Board. If
20		an organization licensee willfully fails to so remit the
21		contribution, the Board may revoke its license to conduct horse
22		racing.
23		(b) No later than October 1st of each year, any qualified
24		charitable organization seeking an allotment of contributed
25		funds shall submit to the Board an application for those funds,
26		using the Board's approved form. No later than December 31st of

SB0690 Enrolled - 581 - LRB101 04451 HLH 49459 b
1		each year, the Board shall distribute all such amounts
2		collected that year to such charitable organization
3		applicants.
4		(Source: P.A. 87-110.)
5		(230 ILCS 5/32.1)
6		Sec. 32.1. Pari-mutuel tax credit; statewide racetrack
7		real estate equalization.
8		(a) In order to encourage new investment in Illinois
9		racetrack facilities and mitigate differing real estate tax
10		burdens among all racetracks, the licensees affiliated or
11		associated with each racetrack that has been awarded live
12		racing dates in the current year shall receive an immediate
13		pari-mutuel tax credit in an amount equal to the greater of (i)
14		50% of the amount of the real estate taxes paid in the prior
15		year attributable to that racetrack, or (ii) the amount by
16		which the real estate taxes paid in the prior year attributable
17		to that racetrack exceeds 60% of the average real estate taxes
18		paid in the prior year for all racetracks awarded live horse
19		racing meets in the current year.
20		Each year, regardless of whether the organization licensee
21		conducted live racing in the year of certification, the Board
22		shall certify in writing, prior to December 31, the real estate
23		taxes paid in that year for each racetrack and the amount of
24		the pari-mutuel tax credit that each organization licensee,
25		inter-track wagering licensee, and inter-track wagering

SB0690 Enrolled - 582 - LRB101 04451 HLH 49459 b
1		location licensee that derives its license from such racetrack
2		is entitled in the succeeding calendar year. The real estate
3		taxes considered under this Section for any racetrack shall be
4		those taxes on the real estate parcels and related facilities
5		used to conduct a horse race meeting and inter-track wagering
6		at such racetrack under this Act. In no event shall the amount
7		of the tax credit under this Section exceed the amount of
8		pari-mutuel taxes otherwise calculated under this Act. The
9		amount of the tax credit under this Section shall be retained
10		by each licensee and shall not be subject to any reallocation
11		or further distribution under this Act. The Board may
12		promulgate emergency rules to implement this Section.
13		(b) If the organization licensee is operating gaming
14		pursuant to an organization gaming license issued under the
15		Illinois Gambling Act, except the organization licensee
16		described in Section 19.5, then, for the 5-year period
17		beginning on the January 1 of the calendar year immediately
18		following the calendar year during which an organization
19		licensee begins conducting gaming operations pursuant to an
20		organization gaming license issued under the Illinois Gambling
21		Act, the organization licensee shall make capital
22		expenditures, in an amount equal to no less than 50% of the tax
23		credit under this Section, to the improvement and maintenance
24		of the backstretch, including, but not limited to, backstretch
25		barns, dormitories, and services for backstretch workers.
26		Those capital expenditures must be in addition to, and not in

SB0690 Enrolled - 583 - LRB101 04451 HLH 49459 b
1		lieu of, the capital expenditures made for backstretch
2		improvements in calendar year 2015, as reported to the Board in
3		the organization licensee's application for racing dates and as
4		certified by the Board. The organization licensee is required
5		to annually submit the list and amounts of these capital
6		expenditures to the Board by January 30th of the year following
7		the expenditure.
8		(c) If the organization licensee is conducting gaming in
9		accordance with paragraph (b), then, after the 5-year period
10		beginning on January 1 of the calendar year immediately
11		following the calendar year during which an organization
12		licensee begins conducting gaming operations pursuant to an
13		organization gaming license issued under the Illinois Gambling
14		Act, the organization license is ineligible to receive a tax
15		credit under this Section.
16		(Source: P.A. 100-201, eff. 8-18-17.)
17		(230 ILCS 5/34.3 new)
18		Sec. 34.3. Drug testing. The Illinois Racing Board and the
19		Department of Agriculture shall jointly establish a program for
20		the purpose of conducting drug testing of horses at county
21		fairs and shall adopt any rules necessary for enforcement of
22		the program. The rules shall include appropriate penalties for
23		violations.
24		(230 ILCS 5/36) (from Ch. 8, par. 37-36)

SB0690 Enrolled - 584 - LRB101 04451 HLH 49459 b
1		Sec. 36. (a) Whoever administers or conspires to administer
2		to any horse a hypnotic, narcotic, stimulant, depressant or any
3		chemical substance which may affect the speed of a horse at any
4		time in any race where the purse or any part of the purse is
5		made of money authorized by any Section of this Act, except
6		those chemical substances permitted by ruling of the Board,
7		internally, externally or by hypodermic method in a race or
8		prior thereto, or whoever knowingly enters a horse in any race
9		within a period of 24 hours after any hypnotic, narcotic,
10		stimulant, depressant or any other chemical substance which may
11		affect the speed of a horse at any time, except those chemical
12		substances permitted by ruling of the Board, has been
13		administered to such horse either internally or externally or
14		by hypodermic method for the purpose of increasing or retarding
15		the speed of such horse shall be guilty of a Class 4 felony.
16		The Board shall suspend or revoke such violator's license.
17		(b) The term "hypnotic" as used in this Section includes
18		all barbituric acid preparations and derivatives.
19		(c) The term "narcotic" as used in this Section includes
20		opium and all its alkaloids, salts, preparations and
21		derivatives, cocaine and all its salts, preparations and
22		derivatives and substitutes.
23		(d) The provisions of this Section and the treatment
24		authorized in this Section apply to horses entered in and
25		competing in race meetings as defined in Section 3.07 of this
26		Act and to horses entered in and competing at any county fair.

SB0690 Enrolled - 585 - LRB101 04451 HLH 49459 b
1		(Source: P.A. 79-1185.)
2		(230 ILCS 5/40) (from Ch. 8, par. 37-40)
3		Sec. 40. (a) The imposition of any fine or penalty provided
4		in this Act shall not preclude the Board in its rules and
5		regulations from imposing a fine or penalty for any other
6		action which, in the Board's discretion, is a detriment or
7		impediment to horse racing.
8		(b) The Director of Agriculture or his or her authorized
9		representative shall impose the following monetary penalties
10		and hold administrative hearings as required for failure to
11		submit the following applications, lists, or reports within the
12		time period, date or manner required by statute or rule or for
13		removing a foal from Illinois prior to inspection:
14		(1) late filing of a renewal application for offering
15		or standing stallion for service:
16		(A) if an application is submitted no more than 30
17		days late, $50;
18		(B) if an application is submitted no more than 45
19		days late, $150; or
20		(C) if an application is submitted more than 45
21		days late, if filing of the application is allowed
22		under an administrative hearing, $250;
23		(2) late filing of list or report of mares bred:
24		(A) if a list or report is submitted no more than
25		30 days late, $50;

SB0690 Enrolled - 586 - LRB101 04451 HLH 49459 b
1		(B) if a list or report is submitted no more than
2		60 days late, $150; or
3		(C) if a list or report is submitted more than 60
4		days late, if filing of the list or report is allowed
5		under an administrative hearing, $250;
6		(3) filing an Illinois foaled thoroughbred mare status
7		report after the statutory deadline as provided in
8		subsection (k) of Section 30 of this Act December 31:
9		(A) if a report is submitted no more than 30 days
10		late, $50;
11		(B) if a report is submitted no more than 90 days
12		late, $150;
13		(C) if a report is submitted no more than 150 days
14		late, $250; or
15		(D) if a report is submitted more than 150 days
16		late, if filing of the report is allowed under an
17		administrative hearing, $500;
18		(4) late filing of application for foal eligibility
19		certificate:
20		(A) if an application is submitted no more than 30
21		days late, $50;
22		(B) if an application is submitted no more than 90
23		days late, $150;
24		(C) if an application is submitted no more than 150
25		days late, $250; or
26		(D) if an application is submitted more than 150

SB0690 Enrolled - 587 - LRB101 04451 HLH 49459 b
1		days late, if filing of the application is allowed
2		under an administrative hearing, $500;
3		(5) failure to report the intent to remove a foal from
4		Illinois prior to inspection, identification and
5		certification by a Department of Agriculture investigator,
6		$50; and
7		(6) if a list or report of mares bred is incomplete,
8		$50 per mare not included on the list or report.
9		Any person upon whom monetary penalties are imposed under
10		this Section 3 times within a 5-year period shall have any
11		further monetary penalties imposed at double the amounts set
12		forth above. All monies assessed and collected for violations
13		relating to thoroughbreds shall be paid into the Illinois
14		Thoroughbred Breeders Fund. All monies assessed and collected
15		for violations relating to standardbreds shall be paid into the
16		Illinois Standardbred Breeders Fund.
17		(Source: P.A. 99-933, eff. 1-27-17; 100-201, eff. 8-18-17.)
18		(230 ILCS 5/54.75)
19		Sec. 54.75. Horse Racing Equity Trust Fund.
20		(a) There is created a Fund to be known as the Horse Racing
21		Equity Trust Fund, which is a non-appropriated trust fund held
22		separate and apart from State moneys. The Fund shall consist of
23		moneys paid into it by owners licensees under the Illinois
24		Riverboat Gambling Act for the purposes described in this
25		Section. The Fund shall be administered by the Board. Moneys in

SB0690 Enrolled - 588 - LRB101 04451 HLH 49459 b
1		the Fund shall be distributed as directed and certified by the
2		Board in accordance with the provisions of subsection (b).
3		(b) The moneys deposited into the Fund, plus any accrued
4		interest on those moneys, shall be distributed within 10 days
5		after those moneys are deposited into the Fund as follows:
6		(1) Sixty percent of all moneys distributed under this
7		subsection shall be distributed to organization licensees
8		to be distributed at their race meetings as purses.
9		Fifty-seven percent of the amount distributed under this
10		paragraph (1) shall be distributed for thoroughbred race
11		meetings and 43% shall be distributed for standardbred race
12		meetings. Within each breed, moneys shall be allocated to
13		each organization licensee's purse fund in accordance with
14		the ratio between the purses generated for that breed by
15		that licensee during the prior calendar year and the total
16		purses generated throughout the State for that breed during
17		the prior calendar year by licensees in the current
18		calendar year.
19		(2) The remaining 40% of the moneys distributed under
20		this subsection (b) shall be distributed as follows:
21		(A) 11% shall be distributed to any person (or its
22		successors or assigns) who had operating control of a
23		racetrack that conducted live racing in 2002 at a
24		racetrack in a county with at least 230,000 inhabitants
25		that borders the Mississippi River and is a licensee in
26		the current year; and

SB0690 Enrolled - 589 - LRB101 04451 HLH 49459 b
1		(B) the remaining 89% shall be distributed pro rata
2		according to the aggregate proportion of total handle
3		from wagering on live races conducted in Illinois
4		(irrespective of where the wagers are placed) for
5		calendar years 2004 and 2005 to any person (or its
6		successors or assigns) who (i) had majority operating
7		control of a racing facility at which live racing was
8		conducted in calendar year 2002, (ii) is a licensee in
9		the current year, and (iii) is not eligible to receive
10		moneys under subparagraph (A) of this paragraph (2).
11		The moneys received by an organization licensee
12		under this paragraph (2) shall be used by each
13		organization licensee to improve, maintain, market,
14		and otherwise operate its racing facilities to conduct
15		live racing, which shall include backstretch services
16		and capital improvements related to live racing and the
17		backstretch. Any organization licensees sharing common
18		ownership may pool the moneys received and spent at all
19		racing facilities commonly owned in order to meet these
20		requirements.
21		If any person identified in this paragraph (2) becomes
22		ineligible to receive moneys from the Fund, such amount
23		shall be redistributed among the remaining persons in
24		proportion to their percentages otherwise calculated.
25		(c) The Board shall monitor organization licensees to
26		ensure that moneys paid to organization licensees under this

SB0690 Enrolled - 590 - LRB101 04451 HLH 49459 b
1		Section are distributed by the organization licensees as
2		provided in subsection (b).
3		(Source: P.A. 95-1008, eff. 12-15-08.)
4		(230 ILCS 5/56 new)
5		Sec. 56. Gaming pursuant to an organization gaming license.
6		(a) A person, firm, corporation, partnership, or limited
7		liability company having operating control of a racetrack may
8		apply to the Gaming Board for an organization gaming license.
9		An organization gaming license shall authorize its holder to
10		conduct gaming on the grounds of the racetrack of which the
11		organization gaming licensee has operating control. Only one
12		organization gaming license may be awarded for any racetrack. A
13		holder of an organization gaming license shall be subject to
14		the Illinois Gambling Act and rules of the Illinois Gaming
15		Board concerning gaming pursuant to an organization gaming
16		license issued under the Illinois Gambling Act. If the person,
17		firm, corporation, or limited liability company having
18		operating control of a racetrack is found by the Illinois
19		Gaming Board to be unsuitable for an organization gaming
20		license under the Illinois Gambling Act and rules of the Gaming
21		Board, that person, firm, corporation, or limited liability
22		company shall not be granted an organization gaming license.
23		Each license shall specify the number of gaming positions that
24		its holder may operate.
25		An organization gaming licensee may not permit patrons

SB0690 Enrolled - 591 - LRB101 04451 HLH 49459 b
1		under 21 years of age to be present in its organization gaming
2		facility, but the licensee may accept wagers on live racing and
3		inter-track wagers at its organization gaming facility.
4		(b) For purposes of this subsection, "adjusted gross
5		receipts" means an organization gaming licensee's gross
6		receipts less winnings paid to wagerers and shall also include
7		any amounts that would otherwise be deducted pursuant to
8		subsection (a-9) of Section 13 of the Illinois Gambling Act.
9		The adjusted gross receipts by an organization gaming licensee
10		from gaming pursuant to an organization gaming license issued
11		under the Illinois Gambling Act remaining after the payment of
12		taxes under Section 13 of the Illinois Gambling Act shall be
13		distributed as follows:
14		(1) Amounts shall be paid to the purse account at the
15		track at which the organization licensee is conducting
16		racing equal to the following:
17		12.75% of annual adjusted gross receipts up to and
18		including $93,000,000;
19		20% of annual adjusted gross receipts in excess of
20		$93,000,000 but not exceeding $100,000,000;
21		26.5% of annual adjusted gross receipts in excess
22		of $100,000,000 but not exceeding $125,000,000; and
23		20.5% of annual adjusted gross receipts in excess
24		of $125,000,000.
25		If 2 different breeds race at the same racetrack in the
26		same calendar year, the purse moneys allocated under this

SB0690 Enrolled - 592 - LRB101 04451 HLH 49459 b
1		subsection (b) shall be divided pro rata based on live
2		racing days awarded by the Board to that race track for
3		each breed. However, the ratio may not exceed 60% for
4		either breed, except if one breed is awarded fewer than 20
5		live racing days, in which case the purse moneys allocated
6		shall be divided pro rata based on live racing days.
7		(2) The remainder shall be retained by the organization
8		gaming licensee.
9		(c) Annually, from the purse account of an organization
10		licensee racing thoroughbred horses in this State, except for
11		in Madison County, an amount equal to 12% of the gaming
12		receipts from gaming pursuant to an organization gaming license
13		placed into the purse accounts shall be paid to the Illinois
14		Thoroughbred Breeders Fund and shall be used for owner awards;
15		a stallion program pursuant to paragraph (3) of subsection (g)
16		of Section 30 of this Act; and Illinois conceived and foaled
17		stakes races pursuant to paragraph (2) of subsection (g) of
18		Section 30 of this Act, as specifically designated by the
19		horsemen association representing the largest number of owners
20		and trainers who race at the organization licensee's race
21		meetings.
22		Annually, from the purse account of an organization
23		licensee racing thoroughbred horses in Madison County, an
24		amount equal to 10% of the gaming receipts from gaming pursuant
25		to an organization gaming license placed into the purse
26		accounts shall be paid to the Illinois Thoroughbred Breeders

SB0690 Enrolled - 593 - LRB101 04451 HLH 49459 b
1		Fund and shall be used for owner awards; a stallion program
2		pursuant to paragraph (3) of subsection (g) of Section 30 of
3		this Act; and Illinois conceived and foaled stakes races
4		pursuant to paragraph (2) of subsection (g) of Section 30 of
5		this Act, as specifically designated by the horsemen
6		association representing the largest number of owners and
7		trainers who race at the organization licensee's race meetings.
8		Annually, from the amounts generated for purses from all
9		sources, including, but not limited to, amounts generated from
10		wagering conducted by organization licensees, organization
11		gaming licensees, inter-track wagering licensees, inter-track
12		wagering locations licensees, and advance deposit wagering
13		licensees, or an organization licensee to the purse account of
14		an organization licensee conducting thoroughbred races at a
15		track in Madison County, an amount equal to 10% of adjusted
16		gross receipts as defined in subsection (b) of this Section
17		shall be paid to the horsemen association representing the
18		largest number of owners and trainers who race at the
19		organization licensee's race meets, to be used to for
20		operational expenses and may be also used for after care
21		programs for retired thoroughbred race horses, backstretch
22		laundry and kitchen facilities, a health insurance or
23		retirement program, the Future Farmers of America, and such
24		other programs.
25		Annually, from the purse account of organization licensees
26		conducting thoroughbred races at racetracks in Cook County,

SB0690 Enrolled - 594 - LRB101 04451 HLH 49459 b
1		$100,000 shall be paid for division and equal distribution to
2		the animal sciences department of each Illinois public
3		university system engaged in equine research and education on
4		or before the effective date of this amendatory Act of the
5		101st General Assembly for equine research and education.
6		(d) Annually, from the purse account of an organization
7		licensee racing standardbred horses, an amount equal to 15% of
8		the gaming receipts from gaming pursuant to an organization
9		gaming license placed into that purse account shall be paid to
10		the Illinois Standardbred Breeders Fund. Moneys deposited into
11		the Illinois Standardbred Breeders Fund shall be used for
12		standardbred racing as authorized in paragraphs 1, 2, 3, 8, and
13		9 of subsection (g) of Section 31 of this Act and for bonus
14		awards as authorized under paragraph 6 of subsection (j) of
15		Section 31 of this Act.
16		Section 35-55. The Riverboat Gambling Act is amended by
17		changing Sections 1, 2, 3, 4, 5, 5.1, 6, 7, 7.3, 7.5, 8, 9, 11,
18		11.1, 12, 13, 14, 15, 17, 17.1, 18, 18.1, 19, 20, and 24 and by
19		adding Sections 5.3, 7.7, 7.8, 7.10, 7.11, 7.12, 7.13, 7.14,
20		and 7.15 as follows:
21		(230 ILCS 10/1) (from Ch. 120, par. 2401)
22		Sec. 1. Short title. This Act shall be known and may be
23		cited as the Illinois Riverboat Gambling Act.
24		(Source: P.A. 86-1029.)

SB0690 Enrolled - 595 - LRB101 04451 HLH 49459 b
1		(230 ILCS 10/2) (from Ch. 120, par. 2402)
2		Sec. 2. Legislative Intent.
3		(a) This Act is intended to benefit the people of the State
4		of Illinois by assisting economic development, and promoting
5		Illinois tourism, and by increasing the amount of revenues
6		available to the State to assist and support education, and to
7		defray State expenses.
8		(b) While authorization of riverboat and casino gambling
9		will enhance investment, beautification, development and
10		tourism in Illinois, it is recognized that it will do so
11		successfully only if public confidence and trust in the
12		credibility and integrity of the gambling operations and the
13		regulatory process is maintained. Therefore, regulatory
14		provisions of this Act are designed to strictly regulate the
15		facilities, persons, associations and practices related to
16		gambling operations pursuant to the police powers of the State,
17		including comprehensive law enforcement supervision.
18		(c) The Illinois Gaming Board established under this Act
19		should, as soon as possible, inform each applicant for an
20		owners license of the Board's intent to grant or deny a
21		license.
22		(Source: P.A. 93-28, eff. 6-20-03.)
23		(230 ILCS 10/3) (from Ch. 120, par. 2403)
24		Sec. 3. Riverboat Gambling Authorized.

SB0690 Enrolled - 596 - LRB101 04451 HLH 49459 b
1		(a) Riverboat and casino gambling operations and gaming
2		operations pursuant to an organization gaming license and the
3		system of wagering incorporated therein, as defined in this
4		Act, are hereby authorized to the extent that they are carried
5		out in accordance with the provisions of this Act.
6		(b) This Act does not apply to the pari-mutuel system of
7		wagering used or intended to be used in connection with the
8		horse-race meetings as authorized under the Illinois Horse
9		Racing Act of 1975, lottery games authorized under the Illinois
10		Lottery Law, bingo authorized under the Bingo License and Tax
11		Act, charitable games authorized under the Charitable Games Act
12		or pull tabs and jar games conducted under the Illinois Pull
13		Tabs and Jar Games Act. This Act applies to gaming by an
14		organization gaming licensee authorized under the Illinois
15		Horse Racing Act of 1975 to the extent provided in that Act and
16		in this Act.
17		(c) Riverboat gambling conducted pursuant to this Act may
18		be authorized upon any water within the State of Illinois or
19		any water other than Lake Michigan which constitutes a boundary
20		of the State of Illinois. Notwithstanding any provision in this
21		subsection (c) to the contrary, a licensee that receives its
22		license pursuant to subsection (e-5) of Section 7 may conduct
23		riverboat gambling on Lake Michigan from a home dock located on
24		Lake Michigan subject to any limitations contained in Section
25		7. Notwithstanding any provision in this subsection (c) to the
26		contrary, a licensee may conduct gambling at its home dock

SB0690 Enrolled - 597 - LRB101 04451 HLH 49459 b
1		facility as provided in Sections 7 and 11. A licensee may
2		conduct riverboat gambling authorized under this Act
3		regardless of whether it conducts excursion cruises. A licensee
4		may permit the continuous ingress and egress of passengers for
5		the purpose of gambling.
6		(d) Gambling that is conducted in accordance with this Act
7		using slot machines and video games of chance and other
8		electronic gambling games as defined in both this Act and the
9		Illinois Horse Racing Act of 1975 is authorized.
10		(Source: P.A. 91-40, eff. 6-25-99.)
11		(230 ILCS 10/4) (from Ch. 120, par. 2404)
12		Sec. 4. Definitions. As used in this Act:
13		(a) "Board" means the Illinois Gaming Board.
14		(b) "Occupational license" means a license issued by the
15		Board to a person or entity to perform an occupation which the
16		Board has identified as requiring a license to engage in
17		riverboat gambling, casino gambling, or gaming pursuant to an
18		organization gaming license issued under this Act in Illinois.
19		(c) "Gambling game" includes, but is not limited to,
20		baccarat, twenty-one, poker, craps, slot machine, video game of
21		chance, roulette wheel, klondike table, punchboard, faro
22		layout, keno layout, numbers ticket, push card, jar ticket, or
23		pull tab which is authorized by the Board as a wagering device
24		under this Act.
25		(d) "Riverboat" means a self-propelled excursion boat, a

SB0690 Enrolled - 598 - LRB101 04451 HLH 49459 b
1		permanently moored barge, or permanently moored barges that are
2		permanently fixed together to operate as one vessel, on which
3		lawful gambling is authorized and licensed as provided in this
4		Act.
5		"Slot machine" means any mechanical, electrical, or other
6		device, contrivance, or machine that is authorized by the Board
7		as a wagering device under this Act which, upon insertion of a
8		coin, currency, token, or similar object therein, or upon
9		payment of any consideration whatsoever, is available to play
10		or operate, the play or operation of which may deliver or
11		entitle the person playing or operating the machine to receive
12		cash, premiums, merchandise, tokens, or anything of value
13		whatsoever, whether the payoff is made automatically from the
14		machine or in any other manner whatsoever. A slot machine:
15		(1) may utilize spinning reels or video displays or
16		both;
17		(2) may or may not dispense coins, tickets, or tokens
18		to winning patrons;
19		(3) may use an electronic credit system for receiving
20		wagers and making payouts; and
21		(4) may simulate a table game.
22		"Slot machine" does not include table games authorized by
23		the Board as a wagering device under this Act.
24		(e) "Managers license" means a license issued by the Board
25		to a person or entity to manage gambling operations conducted
26		by the State pursuant to Section 7.3.

SB0690 Enrolled - 599 - LRB101 04451 HLH 49459 b
1		(f) "Dock" means the location where a riverboat moors for
2		the purpose of embarking passengers for and disembarking
3		passengers from the riverboat.
4		(g) "Gross receipts" means the total amount of money
5		exchanged for the purchase of chips, tokens, or electronic
6		cards by riverboat patrons.
7		(h) "Adjusted gross receipts" means the gross receipts less
8		winnings paid to wagerers.
9		(i) "Cheat" means to alter the selection of criteria which
10		determine the result of a gambling game or the amount or
11		frequency of payment in a gambling game.
12		(j) (Blank).
13		(k) "Gambling operation" means the conduct of authorized
14		gambling games authorized under this Act upon a riverboat or in
15		a casino or authorized under this Act and the Illinois Horse
16		Racing Act of 1975 at an organization gaming facility.
17		(l) "License bid" means the lump sum amount of money that
18		an applicant bids and agrees to pay the State in return for an
19		owners license that is issued or re-issued on or after July 1,
20		2003.
21		"Table game" means a live gaming apparatus upon which
22		gaming is conducted or that determines an outcome that is the
23		object of a wager, including, but not limited to, baccarat,
24		twenty-one, blackjack, poker, craps, roulette wheel, klondike
25		table, punchboard, faro layout, keno layout, numbers ticket,
26		push card, jar ticket, pull tab, or other similar games that

SB0690 Enrolled - 600 - LRB101 04451 HLH 49459 b
1		are authorized by the Board as a wagering device under this
2		Act. "Table game" does not include slot machines or video games
3		of chance.
4		(m) The terms "minority person", "woman", and "person with
5		a disability" shall have the same meaning as defined in Section
6		2 of the Business Enterprise for Minorities, Women, and Persons
7		with Disabilities Act.
8		"Casino" means a facility at which lawful gambling is
9		authorized as provided in this Act.
10		"Owners license" means a license to conduct riverboat or
11		casino gambling operations, but does not include an
12		organization gaming license.
13		"Licensed owner" means a person who holds an owners
14		license.
15		"Organization gaming facility" means that portion of an
16		organization licensee's racetrack facilities at which gaming
17		authorized under Section 7.7 is conducted.
18		"Organization gaming license" means a license issued by the
19		Illinois Gaming Board under Section 7.7 of this Act authorizing
20		gaming pursuant to that Section at an organization gaming
21		facility.
22		"Organization gaming licensee" means an entity that holds
23		an organization gaming license.
24		"Organization licensee" means an entity authorized by the
25		Illinois Racing Board to conduct pari-mutuel wagering in
26		accordance with the Illinois Horse Racing Act of 1975. With

SB0690 Enrolled - 601 - LRB101 04451 HLH 49459 b
1		respect only to gaming pursuant to an organization gaming
2		license, "organization licensee" includes the authorization
3		for gaming created under subsection (a) of Section 56 of the
4		Illinois Horse Racing Act of 1975.
5		(Source: P.A. 100-391, eff. 8-25-17.)
6		(230 ILCS 10/5) (from Ch. 120, par. 2405)
7		Sec. 5. Gaming Board.
8		(a) (1) There is hereby established the Illinois Gaming
9		Board, which shall have the powers and duties specified in this
10		Act, and all other powers necessary and proper to fully and
11		effectively execute this Act for the purpose of administering,
12		regulating, and enforcing the system of riverboat and casino
13		gambling established by this Act and gaming pursuant to an
14		organization gaming license issued under this Act. Its
15		jurisdiction shall extend under this Act to every person,
16		association, corporation, partnership and trust involved in
17		riverboat and casino gambling operations and gaming pursuant to
18		an organization gaming license issued under this Act in the
19		State of Illinois.
20		(2) The Board shall consist of 5 members to be appointed by
21		the Governor with the advice and consent of the Senate, one of
22		whom shall be designated by the Governor to be chairperson
23		chairman. Each member shall have a reasonable knowledge of the
24		practice, procedure and principles of gambling operations.
25		Each member shall either be a resident of Illinois or shall

SB0690 Enrolled - 602 - LRB101 04451 HLH 49459 b
1		certify that he or she will become a resident of Illinois
2		before taking office.
3		On and after the effective date of this amendatory Act of
4		the 101st General Assembly, new appointees to the Board must
5		include the following:
6		(A) One member who has received, at a minimum, a
7		bachelor's degree from an accredited school and at least 10
8		years of verifiable experience in the fields of
9		investigation and law enforcement.
10		(B) One member who is a certified public accountant
11		with experience in auditing and with knowledge of complex
12		corporate structures and transactions.
13		(C) One member who has 5 years' experience as a
14		principal, senior officer, or director of a company or
15		business with either material responsibility for the daily
16		operations and management of the overall company or
17		business or material responsibility for the policy making
18		of the company or business.
19		(D) One member who is an attorney licensed to practice
20		law in Illinois for at least 5 years.
21		Notwithstanding any provision of this subsection (a), the
22		requirements of subparagraphs (A) through (D) of this paragraph
23		(2) shall not apply to any person reappointed pursuant to
24		paragraph (3).
25		No more than 3 members of the Board may be from the same
26		political party. No Board member shall, within a period of one

SB0690 Enrolled - 603 - LRB101 04451 HLH 49459 b
1		year immediately preceding nomination, have been employed or
2		received compensation or fees for services from a person or
3		entity, or its parent or affiliate, that has engaged in
4		business with the Board, a licensee, or a licensee under the
5		Illinois Horse Racing Act of 1975. Board members must publicly
6		disclose all prior affiliations with gaming interests,
7		including any compensation, fees, bonuses, salaries, and other
8		reimbursement received from a person or entity, or its parent
9		or affiliate, that has engaged in business with the Board, a
10		licensee, or a licensee under the Illinois Horse Racing Act of
11		1975. This disclosure must be made within 30 days after
12		nomination but prior to confirmation by the Senate and must be
13		made available to the members of the Senate. At least one
14		member shall be experienced in law enforcement and criminal
15		investigation, at least one member shall be a certified public
16		accountant experienced in accounting and auditing, and at least
17		one member shall be a lawyer licensed to practice law in
18		Illinois.
19		(3) The terms of office of the Board members shall be 3
20		years, except that the terms of office of the initial Board
21		members appointed pursuant to this Act will commence from the
22		effective date of this Act and run as follows: one for a term
23		ending July 1, 1991, 2 for a term ending July 1, 1992, and 2 for
24		a term ending July 1, 1993. Upon the expiration of the
25		foregoing terms, the successors of such members shall serve a
26		term for 3 years and until their successors are appointed and

SB0690 Enrolled - 604 - LRB101 04451 HLH 49459 b
1		qualified for like terms. Vacancies in the Board shall be
2		filled for the unexpired term in like manner as original
3		appointments. Each member of the Board shall be eligible for
4		reappointment at the discretion of the Governor with the advice
5		and consent of the Senate.
6		(4) Each member of the Board shall receive $300 for each
7		day the Board meets and for each day the member conducts any
8		hearing pursuant to this Act. Each member of the Board shall
9		also be reimbursed for all actual and necessary expenses and
10		disbursements incurred in the execution of official duties.
11		(5) No person shall be appointed a member of the Board or
12		continue to be a member of the Board who is, or whose spouse,
13		child or parent is, a member of the board of directors of, or a
14		person financially interested in, any gambling operation
15		subject to the jurisdiction of this Board, or any race track,
16		race meeting, racing association or the operations thereof
17		subject to the jurisdiction of the Illinois Racing Board. No
18		Board member shall hold any other public office. No person
19		shall be a member of the Board who is not of good moral
20		character or who has been convicted of, or is under indictment
21		for, a felony under the laws of Illinois or any other state, or
22		the United States.
23		(5.5) No member of the Board shall engage in any political
24		activity. For the purposes of this Section, "political" means
25		any activity in support of or in connection with any campaign
26		for federal, State, or local elective office or any political

SB0690 Enrolled - 605 - LRB101 04451 HLH 49459 b
1		organization, but does not include activities (i) relating to
2		the support or opposition of any executive, legislative, or
3		administrative action (as those terms are defined in Section 2
4		of the Lobbyist Registration Act), (ii) relating to collective
5		bargaining, or (iii) that are otherwise in furtherance of the
6		person's official State duties or governmental and public
7		service functions.
8		(6) Any member of the Board may be removed by the Governor
9		for neglect of duty, misfeasance, malfeasance, or nonfeasance
10		in office or for engaging in any political activity.
11		(7) Before entering upon the discharge of the duties of his
12		office, each member of the Board shall take an oath that he
13		will faithfully execute the duties of his office according to
14		the laws of the State and the rules and regulations adopted
15		therewith and shall give bond to the State of Illinois,
16		approved by the Governor, in the sum of $25,000. Every such
17		bond, when duly executed and approved, shall be recorded in the
18		office of the Secretary of State. Whenever the Governor
19		determines that the bond of any member of the Board has become
20		or is likely to become invalid or insufficient, he shall
21		require such member forthwith to renew his bond, which is to be
22		approved by the Governor. Any member of the Board who fails to
23		take oath and give bond within 30 days from the date of his
24		appointment, or who fails to renew his bond within 30 days
25		after it is demanded by the Governor, shall be guilty of
26		neglect of duty and may be removed by the Governor. The cost of

SB0690 Enrolled - 606 - LRB101 04451 HLH 49459 b
1		any bond given by any member of the Board under this Section
2		shall be taken to be a part of the necessary expenses of the
3		Board.
4		(7.5) For the examination of all mechanical,
5		electromechanical, or electronic table games, slot machines,
6		slot accounting systems, sports wagering systems, and other
7		electronic gaming equipment, and the field inspection of such
8		systems, games, and machines, for compliance with this Act, the
9		Board shall may utilize the services of one or more independent
10		outside testing laboratories that have been accredited in
11		accordance with ISO/IEC 17025 by an accreditation body that is
12		a signatory to the International Laboratory Accreditation
13		Cooperation Mutual Recognition Agreement signifying they by a
14		national accreditation body and that, in the judgment of the
15		Board, are qualified to perform such examinations.
16		Notwithstanding any law to the contrary, the Board shall
17		consider the licensing of independent outside testing
18		laboratory applicants in accordance with procedures
19		established by the Board by rule. The Board shall not withhold
20		its approval of an independent outside testing laboratory
21		license applicant that has been accredited as required under
22		this paragraph (7.5) and is licensed in gaming jurisdictions
23		comparable to Illinois. Upon the finalization of required
24		rules, the Board shall license independent testing
25		laboratories and accept the test reports of any licensed
26		testing laboratory of the system's, game's, or machine

SB0690 Enrolled - 607 - LRB101 04451 HLH 49459 b
1		manufacturer's choice, notwithstanding the existence of
2		contracts between the Board and any independent testing
3		laboratory.
4		(8) The Board shall employ such personnel as may be
5		necessary to carry out its functions and shall determine the
6		salaries of all personnel, except those personnel whose
7		salaries are determined under the terms of a collective
8		bargaining agreement. No person shall be employed to serve the
9		Board who is, or whose spouse, parent or child is, an official
10		of, or has a financial interest in or financial relation with,
11		any operator engaged in gambling operations within this State
12		or any organization engaged in conducting horse racing within
13		this State. For the one year immediately preceding employment,
14		an employee shall not have been employed or received
15		compensation or fees for services from a person or entity, or
16		its parent or affiliate, that has engaged in business with the
17		Board, a licensee, or a licensee under the Illinois Horse
18		Racing Act of 1975. Any employee violating these prohibitions
19		shall be subject to termination of employment.
20		(9) An Administrator shall perform any and all duties that
21		the Board shall assign him. The salary of the Administrator
22		shall be determined by the Board and, in addition, he shall be
23		reimbursed for all actual and necessary expenses incurred by
24		him in discharge of his official duties. The Administrator
25		shall keep records of all proceedings of the Board and shall
26		preserve all records, books, documents and other papers

SB0690 Enrolled - 608 - LRB101 04451 HLH 49459 b
1		belonging to the Board or entrusted to its care. The
2		Administrator shall devote his full time to the duties of the
3		office and shall not hold any other office or employment.
4		(b) The Board shall have general responsibility for the
5		implementation of this Act. Its duties include, without
6		limitation, the following:
7		(1) To decide promptly and in reasonable order all
8		license applications. Any party aggrieved by an action of
9		the Board denying, suspending, revoking, restricting or
10		refusing to renew a license may request a hearing before
11		the Board. A request for a hearing must be made to the
12		Board in writing within 5 days after service of notice of
13		the action of the Board. Notice of the action of the Board
14		shall be served either by personal delivery or by certified
15		mail, postage prepaid, to the aggrieved party. Notice
16		served by certified mail shall be deemed complete on the
17		business day following the date of such mailing. The Board
18		shall conduct any such all requested hearings promptly and
19		in reasonable order;
20		(2) To conduct all hearings pertaining to civil
21		violations of this Act or rules and regulations promulgated
22		hereunder;
23		(3) To promulgate such rules and regulations as in its
24		judgment may be necessary to protect or enhance the
25		credibility and integrity of gambling operations
26		authorized by this Act and the regulatory process

SB0690 Enrolled - 609 - LRB101 04451 HLH 49459 b
1		hereunder;
2		(4) To provide for the establishment and collection of
3		all license and registration fees and taxes imposed by this
4		Act and the rules and regulations issued pursuant hereto.
5		All such fees and taxes shall be deposited into the State
6		Gaming Fund;
7		(5) To provide for the levy and collection of penalties
8		and fines for the violation of provisions of this Act and
9		the rules and regulations promulgated hereunder. All such
10		fines and penalties shall be deposited into the Education
11		Assistance Fund, created by Public Act 86-0018, of the
12		State of Illinois;
13		(6) To be present through its inspectors and agents any
14		time gambling operations are conducted on any riverboat, in
15		any casino, or at any organization gaming facility for the
16		purpose of certifying the revenue thereof, receiving
17		complaints from the public, and conducting such other
18		investigations into the conduct of the gambling games and
19		the maintenance of the equipment as from time to time the
20		Board may deem necessary and proper;
21		(7) To review and rule upon any complaint by a licensee
22		regarding any investigative procedures of the State which
23		are unnecessarily disruptive of gambling operations. The
24		need to inspect and investigate shall be presumed at all
25		times. The disruption of a licensee's operations shall be
26		proved by clear and convincing evidence, and establish

SB0690 Enrolled - 610 - LRB101 04451 HLH 49459 b
1		that: (A) the procedures had no reasonable law enforcement
2		purposes, and (B) the procedures were so disruptive as to
3		unreasonably inhibit gambling operations;
4		(8) To hold at least one meeting each quarter of the
5		fiscal year. In addition, special meetings may be called by
6		the Chairman or any 2 Board members upon 72 hours written
7		notice to each member. All Board meetings shall be subject
8		to the Open Meetings Act. Three members of the Board shall
9		constitute a quorum, and 3 votes shall be required for any
10		final determination by the Board. The Board shall keep a
11		complete and accurate record of all its meetings. A
12		majority of the members of the Board shall constitute a
13		quorum for the transaction of any business, for the
14		performance of any duty, or for the exercise of any power
15		which this Act requires the Board members to transact,
16		perform or exercise en banc, except that, upon order of the
17		Board, one of the Board members or an administrative law
18		judge designated by the Board may conduct any hearing
19		provided for under this Act or by Board rule and may
20		recommend findings and decisions to the Board. The Board
21		member or administrative law judge conducting such hearing
22		shall have all powers and rights granted to the Board in
23		this Act. The record made at the time of the hearing shall
24		be reviewed by the Board, or a majority thereof, and the
25		findings and decision of the majority of the Board shall
26		constitute the order of the Board in such case;

SB0690 Enrolled - 611 - LRB101 04451 HLH 49459 b
1		(9) To maintain records which are separate and distinct
2		from the records of any other State board or commission.
3		Such records shall be available for public inspection and
4		shall accurately reflect all Board proceedings;
5		(10) To file a written annual report with the Governor
6		on or before July 1 each year and such additional reports
7		as the Governor may request. The annual report shall
8		include a statement of receipts and disbursements by the
9		Board, actions taken by the Board, and any additional
10		information and recommendations which the Board may deem
11		valuable or which the Governor may request;
12		(11) (Blank);
13		(12) (Blank);
14		(13) To assume responsibility for administration and
15		enforcement of the Video Gaming Act; and
16		(13.1) To assume responsibility for the administration
17		and enforcement of operations at organization gaming
18		facilities pursuant to this Act and the Illinois Horse
19		Racing Act of 1975;
20		(13.2) To assume responsibility for the administration
21		and enforcement of the Sports Wagering Act; and
22		(14) To adopt, by rule, a code of conduct governing
23		Board members and employees that ensure, to the maximum
24		extent possible, that persons subject to this Code avoid
25		situations, relationships, or associations that may
26		represent or lead to a conflict of interest.

SB0690 Enrolled - 612 - LRB101 04451 HLH 49459 b
1		Internal controls and changes submitted by licensees must
2		be reviewed and either approved or denied with cause within 90
3		days after receipt of submission is deemed final by the
4		Illinois Gaming Board. In the event an internal control
5		submission or change does not meet the standards set by the
6		Board, staff of the Board must provide technical assistance to
7		the licensee to rectify such deficiencies within 90 days after
8		the initial submission and the revised submission must be
9		reviewed and approved or denied with cause within 90 days after
10		the date the revised submission is deemed final by the Board.
11		For the purposes of this paragraph, "with cause" means that the
12		approval of the submission would jeopardize the integrity of
13		gaming. In the event the Board staff has not acted within the
14		timeframe, the submission shall be deemed approved.
15		(c) The Board shall have jurisdiction over and shall
16		supervise all gambling operations governed by this Act. The
17		Board shall have all powers necessary and proper to fully and
18		effectively execute the provisions of this Act, including, but
19		not limited to, the following:
20		(1) To investigate applicants and determine the
21		eligibility of applicants for licenses and to select among
22		competing applicants the applicants which best serve the
23		interests of the citizens of Illinois.
24		(2) To have jurisdiction and supervision over all
25		riverboat gambling operations authorized under this Act in
26		this State and all persons in places on riverboats where

SB0690 Enrolled - 613 - LRB101 04451 HLH 49459 b
1		gambling operations are conducted.
2		(3) To promulgate rules and regulations for the purpose
3		of administering the provisions of this Act and to
4		prescribe rules, regulations and conditions under which
5		all riverboat gambling operations subject to this Act in
6		the State shall be conducted. Such rules and regulations
7		are to provide for the prevention of practices detrimental
8		to the public interest and for the best interests of
9		riverboat gambling, including rules and regulations
10		regarding the inspection of organization gaming
11		facilities, casinos, and such riverboats, and the review of
12		any permits or licenses necessary to operate a riverboat,
13		casino, or organization gaming facility under any laws or
14		regulations applicable to riverboats, casinos, or
15		organization gaming facilities and to impose penalties for
16		violations thereof.
17		(4) To enter the office, riverboats, casinos,
18		organization gaming facilities, and other facilities, or
19		other places of business of a licensee, where evidence of
20		the compliance or noncompliance with the provisions of this
21		Act is likely to be found.
22		(5) To investigate alleged violations of this Act or
23		the rules of the Board and to take appropriate disciplinary
24		action against a licensee or a holder of an occupational
25		license for a violation, or institute appropriate legal
26		action for enforcement, or both.

SB0690 Enrolled - 614 - LRB101 04451 HLH 49459 b
1		(6) To adopt standards for the licensing of all persons
2		and entities under this Act, as well as for electronic or
3		mechanical gambling games, and to establish fees for such
4		licenses.
5		(7) To adopt appropriate standards for all
6		organization gaming facilities, riverboats, casinos, and
7		other facilities authorized under this Act.
8		(8) To require that the records, including financial or
9		other statements of any licensee under this Act, shall be
10		kept in such manner as prescribed by the Board and that any
11		such licensee involved in the ownership or management of
12		gambling operations submit to the Board an annual balance
13		sheet and profit and loss statement, list of the
14		stockholders or other persons having a 1% or greater
15		beneficial interest in the gambling activities of each
16		licensee, and any other information the Board deems
17		necessary in order to effectively administer this Act and
18		all rules, regulations, orders and final decisions
19		promulgated under this Act.
20		(9) To conduct hearings, issue subpoenas for the
21		attendance of witnesses and subpoenas duces tecum for the
22		production of books, records and other pertinent documents
23		in accordance with the Illinois Administrative Procedure
24		Act, and to administer oaths and affirmations to the
25		witnesses, when, in the judgment of the Board, it is
26		necessary to administer or enforce this Act or the Board

SB0690 Enrolled - 615 - LRB101 04451 HLH 49459 b
1		rules.
2		(10) To prescribe a form to be used by any licensee
3		involved in the ownership or management of gambling
4		operations as an application for employment for their
5		employees.
6		(11) To revoke or suspend licenses, as the Board may
7		see fit and in compliance with applicable laws of the State
8		regarding administrative procedures, and to review
9		applications for the renewal of licenses. The Board may
10		suspend an owners license or an organization gaming
11		license , without notice or hearing upon a determination
12		that the safety or health of patrons or employees is
13		jeopardized by continuing a gambling operation conducted
14		under that license riverboat's operation. The suspension
15		may remain in effect until the Board determines that the
16		cause for suspension has been abated. The Board may revoke
17		an the owners license or organization gaming license upon a
18		determination that the licensee owner has not made
19		satisfactory progress toward abating the hazard.
20		(12) To eject or exclude or authorize the ejection or
21		exclusion of, any person from riverboat gambling
22		facilities where that such person is in violation of this
23		Act, rules and regulations thereunder, or final orders of
24		the Board, or where such person's conduct or reputation is
25		such that his or her presence within the riverboat gambling
26		facilities may, in the opinion of the Board, call into

SB0690 Enrolled - 616 - LRB101 04451 HLH 49459 b
1		question the honesty and integrity of the gambling
2		operations or interfere with the orderly conduct thereof;
3		provided that the propriety of such ejection or exclusion
4		is subject to subsequent hearing by the Board.
5		(13) To require all licensees of gambling operations to
6		utilize a cashless wagering system whereby all players'
7		money is converted to tokens, electronic cards, or chips
8		which shall be used only for wagering in the gambling
9		establishment.
10		(14) (Blank).
11		(15) To suspend, revoke or restrict licenses, to
12		require the removal of a licensee or an employee of a
13		licensee for a violation of this Act or a Board rule or for
14		engaging in a fraudulent practice, and to impose civil
15		penalties of up to $5,000 against individuals and up to
16		$10,000 or an amount equal to the daily gross receipts,
17		whichever is larger, against licensees for each violation
18		of any provision of the Act, any rules adopted by the
19		Board, any order of the Board or any other action which, in
20		the Board's discretion, is a detriment or impediment to
21		riverboat gambling operations.
22		(16) To hire employees to gather information, conduct
23		investigations and carry out any other tasks contemplated
24		under this Act.
25		(17) To establish minimum levels of insurance to be
26		maintained by licensees.

SB0690 Enrolled - 617 - LRB101 04451 HLH 49459 b
1		(18) To authorize a licensee to sell or serve alcoholic
2		liquors, wine or beer as defined in the Liquor Control Act
3		of 1934 on board a riverboat or in a casino and to have
4		exclusive authority to establish the hours for sale and
5		consumption of alcoholic liquor on board a riverboat or in
6		a casino, notwithstanding any provision of the Liquor
7		Control Act of 1934 or any local ordinance, and regardless
8		of whether the riverboat makes excursions. The
9		establishment of the hours for sale and consumption of
10		alcoholic liquor on board a riverboat or in a casino is an
11		exclusive power and function of the State. A home rule unit
12		may not establish the hours for sale and consumption of
13		alcoholic liquor on board a riverboat or in a casino. This
14		subdivision (18) amendatory Act of 1991 is a denial and
15		limitation of home rule powers and functions under
16		subsection (h) of Section 6 of Article VII of the Illinois
17		Constitution.
18		(19) After consultation with the U.S. Army Corps of
19		Engineers, to establish binding emergency orders upon the
20		concurrence of a majority of the members of the Board
21		regarding the navigability of water, relative to
22		excursions, in the event of extreme weather conditions,
23		acts of God or other extreme circumstances.
24		(20) To delegate the execution of any of its powers
25		under this Act for the purpose of administering and
26		enforcing this Act and the its rules adopted by the Board

SB0690 Enrolled - 618 - LRB101 04451 HLH 49459 b
1		and regulations hereunder.
2		(20.5) To approve any contract entered into on its
3		behalf.
4		(20.6) To appoint investigators to conduct
5		investigations, searches, seizures, arrests, and other
6		duties imposed under this Act, as deemed necessary by the
7		Board. These investigators have and may exercise all of the
8		rights and powers of peace officers, provided that these
9		powers shall be limited to offenses or violations occurring
10		or committed in a casino, in an organization gaming
11		facility, or on a riverboat or dock, as defined in
12		subsections (d) and (f) of Section 4, or as otherwise
13		provided by this Act or any other law.
14		(20.7) To contract with the Department of State Police
15		for the use of trained and qualified State police officers
16		and with the Department of Revenue for the use of trained
17		and qualified Department of Revenue investigators to
18		conduct investigations, searches, seizures, arrests, and
19		other duties imposed under this Act and to exercise all of
20		the rights and powers of peace officers, provided that the
21		powers of Department of Revenue investigators under this
22		subdivision (20.7) shall be limited to offenses or
23		violations occurring or committed in a casino, in an
24		organization gaming facility, or on a riverboat or dock, as
25		defined in subsections (d) and (f) of Section 4, or as
26		otherwise provided by this Act or any other law. In the

SB0690 Enrolled - 619 - LRB101 04451 HLH 49459 b
1		event the Department of State Police or the Department of
2		Revenue is unable to fill contracted police or
3		investigative positions, the Board may appoint
4		investigators to fill those positions pursuant to
5		subdivision (20.6).
6		(21) To adopt rules concerning the conduct of gaming
7		pursuant to an organization gaming license issued under
8		this Act.
9		(22) To have the same jurisdiction and supervision over
10		casinos and organization gaming facilities as the Board has
11		over riverboats, including, but not limited to, the power
12		to (i) investigate, review, and approve contracts as that
13		power is applied to riverboats, (ii) adopt rules for
14		administering the provisions of this Act, (iii) adopt
15		standards for the licensing of all persons involved with a
16		casino or organization gaming facility, (iv) investigate
17		alleged violations of this Act by any person involved with
18		a casino or organization gaming facility, and (v) require
19		that records, including financial or other statements of
20		any casino or organization gaming facility, shall be kept
21		in such manner as prescribed by the Board.
22		(23) (21) To take any other action as may be reasonable
23		or appropriate to enforce this Act and the rules adopted by
24		the Board and regulations hereunder.
25		(d) The Board may seek and shall receive the cooperation of
26		the Department of State Police in conducting background

SB0690 Enrolled - 620 - LRB101 04451 HLH 49459 b
1		investigations of applicants and in fulfilling its
2		responsibilities under this Section. Costs incurred by the
3		Department of State Police as a result of such cooperation
4		shall be paid by the Board in conformance with the requirements
5		of Section 2605-400 of the Department of State Police Law (20
6		ILCS 2605/2605-400).
7		(e) The Board must authorize to each investigator and to
8		any other employee of the Board exercising the powers of a
9		peace officer a distinct badge that, on its face, (i) clearly
10		states that the badge is authorized by the Board and (ii)
11		contains a unique identifying number. No other badge shall be
12		authorized by the Board.
13		(Source: P.A. 100-1152, eff. 12-14-18.)
14		(230 ILCS 10/5.1) (from Ch. 120, par. 2405.1)
15		Sec. 5.1. Disclosure of records.
16		(a) Notwithstanding any applicable statutory provision to
17		the contrary, the Board shall, on written request from any
18		person, provide information furnished by an applicant or
19		licensee concerning the applicant or licensee, his products,
20		services or gambling enterprises and his business holdings, as
21		follows:
22		(1) The name, business address and business telephone
23		number of any applicant or licensee.
24		(2) An identification of any applicant or licensee
25		including, if an applicant or licensee is not an

SB0690 Enrolled - 621 - LRB101 04451 HLH 49459 b
1		individual, the names and addresses of all stockholders and
2		directors, if the entity is a corporation; the names and
3		addresses of all members, if the entity is a limited
4		liability company; the names and addresses of all partners,
5		both general and limited, if the entity is a partnership;
6		and the names and addresses of all beneficiaries, if the
7		entity is a trust the state of incorporation or
8		registration, the corporate officers, and the identity of
9		all shareholders or participants. If an applicant or
10		licensee has a pending registration statement filed with
11		the Securities and Exchange Commission, only the names of
12		those persons or entities holding interest of 5% or more
13		must be provided.
14		(3) An identification of any business, including, if
15		applicable, the state of incorporation or registration, in
16		which an applicant or licensee or an applicant's or
17		licensee's spouse or children has an equity interest of
18		more than 1%. If an applicant or licensee is a corporation,
19		partnership or other business entity, the applicant or
20		licensee shall identify any other corporation, partnership
21		or business entity in which it has an equity interest of 1%
22		or more, including, if applicable, the state of
23		incorporation or registration. This information need not
24		be provided by a corporation, partnership or other business
25		entity that has a pending registration statement filed with
26		the Securities and Exchange Commission.

SB0690 Enrolled - 622 - LRB101 04451 HLH 49459 b
1		(4) Whether an applicant or licensee has been indicted,
2		convicted, pleaded guilty or nolo contendere, or forfeited
3		bail concerning any criminal offense under the laws of any
4		jurisdiction, either felony or misdemeanor (except for
5		traffic violations), including the date, the name and
6		location of the court, arresting agency and prosecuting
7		agency, the case number, the offense, the disposition and
8		the location and length of incarceration.
9		(5) Whether an applicant or licensee has had any
10		license or certificate issued by a licensing authority in
11		Illinois or any other jurisdiction denied, restricted,
12		suspended, revoked or not renewed and a statement
13		describing the facts and circumstances concerning the
14		denial, restriction, suspension, revocation or
15		non-renewal, including the licensing authority, the date
16		each such action was taken, and the reason for each such
17		action.
18		(6) Whether an applicant or licensee has ever filed or
19		had filed against it a proceeding in bankruptcy or has ever
20		been involved in any formal process to adjust, defer,
21		suspend or otherwise work out the payment of any debt
22		including the date of filing, the name and location of the
23		court, the case and number of the disposition.
24		(7) Whether an applicant or licensee has filed, or been
25		served with a complaint or other notice filed with any
26		public body, regarding the delinquency in the payment of,

SB0690 Enrolled - 623 - LRB101 04451 HLH 49459 b
1		or a dispute over the filings concerning the payment of,
2		any tax required under federal, State or local law,
3		including the amount, type of tax, the taxing agency and
4		time periods involved.
5		(8) A statement listing the names and titles of all
6		public officials or officers of any unit of government, and
7		relatives of said public officials or officers who,
8		directly or indirectly, own any financial interest in, have
9		any beneficial interest in, are the creditors of or hold
10		any debt instrument issued by, or hold or have any interest
11		in any contractual or service relationship with, an
12		applicant or licensee.
13		(9) Whether an applicant or licensee has made, directly
14		or indirectly, any political contribution, or any loans,
15		donations or other payments, to any candidate or office
16		holder, within 5 years from the date of filing the
17		application, including the amount and the method of
18		payment.
19		(10) The name and business telephone number of the
20		counsel representing an applicant or licensee in matters
21		before the Board.
22		(11) A description of any proposed or approved gambling
23		riverboat gaming operation, including the type of boat,
24		home dock, or casino or gaming location, expected economic
25		benefit to the community, anticipated or actual number of
26		employees, any statement from an applicant or licensee

SB0690 Enrolled - 624 - LRB101 04451 HLH 49459 b
1		regarding compliance with federal and State affirmative
2		action guidelines, projected or actual admissions and
3		projected or actual adjusted gross gaming receipts.
4		(12) A description of the product or service to be
5		supplied by an applicant for a supplier's license.
6		(b) Notwithstanding any applicable statutory provision to
7		the contrary, the Board shall, on written request from any
8		person, also provide the following information:
9		(1) The amount of the wagering tax and admission tax
10		paid daily to the State of Illinois by the holder of an
11		owner's license.
12		(2) Whenever the Board finds an applicant for an
13		owner's license unsuitable for licensing, a copy of the
14		written letter outlining the reasons for the denial.
15		(3) Whenever the Board has refused to grant leave for
16		an applicant to withdraw his application, a copy of the
17		letter outlining the reasons for the refusal.
18		(c) Subject to the above provisions, the Board shall not
19		disclose any information which would be barred by:
20		(1) Section 7 of the Freedom of Information Act; or
21		(2) The statutes, rules, regulations or
22		intergovernmental agreements of any jurisdiction.
23		(d) The Board may assess fees for the copying of
24		information in accordance with Section 6 of the Freedom of
25		Information Act.
26		(Source: P.A. 96-1392, eff. 1-1-11.)

SB0690 Enrolled - 625 - LRB101 04451 HLH 49459 b
1		(230 ILCS 10/5.3 new)
2		Sec. 5.3. Ethical conduct.
3		(a) Officials and employees of the corporate authority of a
4		host community must carry out their duties and responsibilities
5		in such a manner as to promote and preserve public trust and
6		confidence in the integrity and conduct of gaming.
7		(b) Officials and employees of the corporate authority of a
8		host community shall not use or attempt to use his or her
9		official position to secure or attempt to secure any privilege,
10		advantage, favor, or influence for himself or herself or
11		others.
12		(c) Officials and employees of the corporate authority of a
13		host community may not have a financial interest, directly or
14		indirectly, in his or her own name or in the name of any other
15		person, partnership, association, trust, corporation, or other
16		entity in any contract or subcontract for the performance of
17		any work for a riverboat or casino that is located in the host
18		community. This prohibition shall extend to the holding or
19		acquisition of an interest in any entity identified by Board
20		action that, in the Board's judgment, could represent the
21		potential for or the appearance of a financial interest. The
22		holding or acquisition of an interest in such entities through
23		an indirect means, such as through a mutual fund, shall not be
24		prohibited, except that the Board may identify specific
25		investments or funds that, in its judgment, are so influenced

SB0690 Enrolled - 626 - LRB101 04451 HLH 49459 b
1		by gaming holdings as to represent the potential for or the
2		appearance of a conflict of interest.
3		(d) Officials and employees of the corporate authority of a
4		host community may not accept any gift, gratuity, service,
5		compensation, travel, lodging, or thing of value, with the
6		exception of unsolicited items of an incidental nature, from
7		any person, corporation, or entity doing business with the
8		riverboat or casino that is located in the host community.
9		(e) Officials and employees of the corporate authority of a
10		host community shall not, during the period that the person is
11		an official or employee of the corporate authority or for a
12		period of 2 years immediately after leaving such office,
13		knowingly accept employment or receive compensation or fees for
14		services from a person or entity, or its parent or affiliate,
15		that has engaged in business with the riverboat or casino that
16		is located in the host community that resulted in contracts
17		with an aggregate value of at least $25,000 or if that official
18		or employee has made a decision that directly applied to the
19		person or entity, or its parent or affiliate.
20		(f) A spouse, child, or parent of an official or employee
21		of the corporate authority of a host community may not have a
22		financial interest, directly or indirectly, in his or her own
23		name or in the name of any other person, partnership,
24		association, trust, corporation, or other entity in any
25		contract or subcontract for the performance of any work for a
26		riverboat or casino in the host community. This prohibition

SB0690 Enrolled - 627 - LRB101 04451 HLH 49459 b
1		shall extend to the holding or acquisition of an interest in
2		any entity identified by Board action that, in the judgment of
3		the Board, could represent the potential for or the appearance
4		of a conflict of interest. The holding or acquisition of an
5		interest in such entities through an indirect means, such as
6		through a mutual fund, shall not be prohibited, expect that the
7		Board may identify specific investments or funds that, in its
8		judgment, are so influenced by gaming holdings as to represent
9		the potential for or the appearance of a conflict of interest.
10		(g) A spouse, child, or parent of an official or employee
11		of the corporate authority of a host community may not accept
12		any gift, gratuity, service, compensation, travel, lodging, or
13		thing of value, with the exception of unsolicited items of an
14		incidental nature, from any person, corporation, or entity
15		doing business with the riverboat or casino that is located in
16		the host community.
17		(h) A spouse, child, or parent of an official or employee
18		of the corporate authority of a host community may not, during
19		the period that the person is an official of the corporate
20		authority or for a period of 2 years immediately after leaving
21		such office or employment, knowingly accept employment or
22		receive compensation or fees for services from a person or
23		entity, or its parent or affiliate, that has engaged in
24		business with the riverboat or casino that is located in the
25		host community that resulted in contracts with an aggregate
26		value of at least $25,000 or if that official or employee has

SB0690 Enrolled - 628 - LRB101 04451 HLH 49459 b
1		made a decision that directly applied to the person or entity,
2		or its parent or affiliate.
3		(i) Officials and employees of the corporate authority of a
4		host community shall not attempt, in any way, to influence any
5		person or entity doing business with the riverboat or casino
6		that is located in the host community or any officer, agent, or
7		employee thereof to hire or contract with any person or entity
8		for any compensated work.
9		(j) Any communication between an official of the corporate
10		authority of a host community and any applicant for an owners
11		license in the host community, or an officer, director, or
12		employee of a riverboat or casino in the host community,
13		concerning any matter relating in any way to gaming shall be
14		disclosed to the Board. Such disclosure shall be in writing by
15		the official within 30 days after the communication and shall
16		be filed with the Board. Disclosure must consist of the date of
17		the communication, the identity and job title of the person
18		with whom the communication was made, a brief summary of the
19		communication, the action requested or recommended, all
20		responses made, the identity and job title of the person making
21		the response, and any other pertinent information. Public
22		disclosure of the written summary provided to the Board and the
23		Gaming Board shall be subject to the exemptions provided under
24		the Freedom of Information Act.
25		This subsection (j) shall not apply to communications
26		regarding traffic, law enforcement, security, environmental

SB0690 Enrolled - 629 - LRB101 04451 HLH 49459 b
1		issues, city services, transportation, or other routine
2		matters concerning the ordinary operations of the riverboat or
3		casino. For purposes of this subsection (j), "ordinary
4		operations" means operations relating to the casino or
5		riverboat facility other than the conduct of gambling
6		activities, and "routine matters" includes the application
7		for, issuance of, renewal of, and other processes associated
8		with municipal permits and licenses.
9		(k) Any official or employee who violates any provision of
10		this Section is guilty of a Class 4 felony.
11		(l) For purposes of this Section, "host community" or "host
12		municipality" means a unit of local government that contains a
13		riverboat or casino within its borders.
14		(230 ILCS 10/6) (from Ch. 120, par. 2406)
15		Sec. 6. Application for Owners License.
16		(a) A qualified person may apply to the Board for an owners
17		license to conduct a riverboat gambling operation as provided
18		in this Act. The application shall be made on forms provided by
19		the Board and shall contain such information as the Board
20		prescribes, including but not limited to the identity of the
21		riverboat on which such gambling operation is to be conducted,
22		if applicable, and the exact location where such riverboat or
23		casino will be located docked, a certification that the
24		riverboat will be registered under this Act at all times during
25		which gambling operations are conducted on board, detailed

SB0690 Enrolled - 630 - LRB101 04451 HLH 49459 b
1		information regarding the ownership and management of the
2		applicant, and detailed personal information regarding the
3		applicant. Any application for an owners license to be
4		re-issued on or after June 1, 2003 shall also include the
5		applicant's license bid in a form prescribed by the Board.
6		Information provided on the application shall be used as a
7		basis for a thorough background investigation which the Board
8		shall conduct with respect to each applicant. An incomplete
9		application shall be cause for denial of a license by the
10		Board.
11		(a-5) In addition to any other information required under
12		this Section, each application for an owners license must
13		include the following information:
14		(1) The history and success of the applicant and each
15		person and entity disclosed under subsection (c) of this
16		Section in developing tourism facilities ancillary to
17		gaming, if applicable.
18		(2) The likelihood that granting a license to the
19		applicant will lead to the creation of quality, living wage
20		jobs and permanent, full-time jobs for residents of the
21		State and residents of the unit of local government that is
22		designated as the home dock of the proposed facility where
23		gambling is to be conducted by the applicant.
24		(3) The projected number of jobs that would be created
25		if the license is granted and the projected number of new
26		employees at the proposed facility where gambling is to be

SB0690 Enrolled - 631 - LRB101 04451 HLH 49459 b
1		conducted by the applicant.
2		(4) The record, if any, of the applicant and its
3		developer in meeting commitments to local agencies,
4		community-based organizations, and employees at other
5		locations where the applicant or its developer has
6		performed similar functions as they would perform if the
7		applicant were granted a license.
8		(5) Identification of adverse effects that might be
9		caused by the proposed facility where gambling is to be
10		conducted by the applicant, including the costs of meeting
11		increased demand for public health care, child care, public
12		transportation, affordable housing, and social services,
13		and a plan to mitigate those adverse effects.
14		(6) The record, if any, of the applicant and its
15		developer regarding compliance with:
16		(A) federal, state, and local discrimination, wage
17		and hour, disability, and occupational and
18		environmental health and safety laws; and
19		(B) state and local labor relations and employment
20		laws.
21		(7) The applicant's record, if any, in dealing with its
22		employees and their representatives at other locations.
23		(8) A plan concerning the utilization of
24		minority-owned and women-owned businesses and concerning
25		the hiring of minorities and women.
26		(9) Evidence the applicant used its best efforts to

SB0690 Enrolled - 632 - LRB101 04451 HLH 49459 b
1		reach a goal of 25% ownership representation by minority
2		persons and 5% ownership representation by women.
3		(b) Applicants shall submit with their application all
4		documents, resolutions, and letters of support from the
5		governing body that represents the municipality or county
6		wherein the licensee will be located dock.
7		(c) Each applicant shall disclose the identity of every
8		person or entity , association, trust or corporation having a
9		greater than 1% direct or indirect pecuniary interest in the
10		riverboat gambling operation with respect to which the license
11		is sought. If the disclosed entity is a trust, the application
12		shall disclose the names and addresses of all the
13		beneficiaries; if a corporation, the names and addresses of all
14		stockholders and directors; if a partnership, the names and
15		addresses of all partners, both general and limited.
16		(d) An application shall be filed and considered in
17		accordance with the rules of the Board. Each application shall
18		be accompanied by a nonrefundable An application fee of
19		$250,000. In addition, a nonrefundable fee of $50,000 shall be
20		paid at the time of filing to defray the costs associated with
21		the background investigation conducted by the Board. If the
22		costs of the investigation exceed $50,000, the applicant shall
23		pay the additional amount to the Board within 7 days after
24		requested by the Board. If the costs of the investigation are
25		less than $50,000, the applicant shall receive a refund of the
26		remaining amount. All information, records, interviews,

SB0690 Enrolled - 633 - LRB101 04451 HLH 49459 b
1		reports, statements, memoranda or other data supplied to or
2		used by the Board in the course of its review or investigation
3		of an application for a license or a renewal under this Act
4		shall be privileged, strictly confidential and shall be used
5		only for the purpose of evaluating an applicant for a license
6		or a renewal. Such information, records, interviews, reports,
7		statements, memoranda or other data shall not be admissible as
8		evidence, nor discoverable in any action of any kind in any
9		court or before any tribunal, board, agency or person, except
10		for any action deemed necessary by the Board. The application
11		fee shall be deposited into the State Gaming Fund.
12		(e) The Board shall charge each applicant a fee set by the
13		Department of State Police to defray the costs associated with
14		the search and classification of fingerprints obtained by the
15		Board with respect to the applicant's application. These fees
16		shall be paid into the State Police Services Fund. In order to
17		expedite the application process, the Board may establish rules
18		allowing applicants to acquire criminal background checks and
19		financial integrity reviews as part of the initial application
20		process from a list of vendors approved by the Board.
21		(f) The licensed owner shall be the person primarily
22		responsible for the boat or casino itself. Only one riverboat
23		gambling operation may be authorized by the Board on any
24		riverboat or in any casino. The applicant must identify the
25		each riverboat or premises it intends to use and certify that
26		the riverboat or premises: (1) has the authorized capacity

SB0690 Enrolled - 634 - LRB101 04451 HLH 49459 b
1		required in this Act; (2) is accessible to persons with
2		disabilities; and (3) is fully registered and licensed in
3		accordance with any applicable laws.
4		(g) A person who knowingly makes a false statement on an
5		application is guilty of a Class A misdemeanor.
6		(Source: P.A. 99-143, eff. 7-27-15.)
7		(230 ILCS 10/7) (from Ch. 120, par. 2407)
8		Sec. 7. Owners licenses.
9		(a) The Board shall issue owners licenses to persons or
10		entities that , firms or corporations which apply for such
11		licenses upon payment to the Board of the non-refundable
12		license fee as provided in subsection (e) or (e-5) set by the
13		Board, upon payment of a $25,000 license fee for the first year
14		of operation and a $5,000 license fee for each succeeding year
15		and upon a determination by the Board that the applicant is
16		eligible for an owners license pursuant to this Act and the
17		rules of the Board. From the effective date of this amendatory
18		Act of the 95th General Assembly until (i) 3 years after the
19		effective date of this amendatory Act of the 95th General
20		Assembly, (ii) the date any organization licensee begins to
21		operate a slot machine or video game of chance under the
22		Illinois Horse Racing Act of 1975 or this Act, (iii) the date
23		that payments begin under subsection (c-5) of Section 13 of the
24		Act, or (iv) the wagering tax imposed under Section 13 of this
25		Act is increased by law to reflect a tax rate that is at least

SB0690 Enrolled - 635 - LRB101 04451 HLH 49459 b
1		as stringent or more stringent than the tax rate contained in
2		subsection (a-3) of Section 13, or (v) when an owners licensee
3		holding a license issued pursuant to Section 7.1 of this Act
4		begins conducting gaming, whichever occurs first, as a
5		condition of licensure and as an alternative source of payment
6		for those funds payable under subsection (c-5) of Section 13 of
7		this the Riverboat Gambling Act, any owners licensee that holds
8		or receives its owners license on or after the effective date
9		of this amendatory Act of the 94th General Assembly, other than
10		an owners licensee operating a riverboat with adjusted gross
11		receipts in calendar year 2004 of less than $200,000,000, must
12		pay into the Horse Racing Equity Trust Fund, in addition to any
13		other payments required under this Act, an amount equal to 3%
14		of the adjusted gross receipts received by the owners licensee.
15		The payments required under this Section shall be made by the
16		owners licensee to the State Treasurer no later than 3:00
17		o'clock p.m. of the day after the day when the adjusted gross
18		receipts were received by the owners licensee. A person, firm
19		or entity corporation is ineligible to receive an owners
20		license if:
21		(1) the person has been convicted of a felony under the
22		laws of this State, any other state, or the United States;
23		(2) the person has been convicted of any violation of
24		Article 28 of the Criminal Code of 1961 or the Criminal
25		Code of 2012, or substantially similar laws of any other
26		jurisdiction;

SB0690 Enrolled - 636 - LRB101 04451 HLH 49459 b
1		(3) the person has submitted an application for a
2		license under this Act which contains false information;
3		(4) the person is a member of the Board;
4		(5) a person defined in (1), (2), (3) or (4) is an
5		officer, director or managerial employee of the entity firm
6		or corporation;
7		(6) the entity firm or corporation employs a person
8		defined in (1), (2), (3) or (4) who participates in the
9		management or operation of gambling operations authorized
10		under this Act;
11		(7) (blank); or
12		(8) a license of the person or entity , firm or
13		corporation issued under this Act, or a license to own or
14		operate gambling facilities in any other jurisdiction, has
15		been revoked.
16		The Board is expressly prohibited from making changes to
17		the requirement that licensees make payment into the Horse
18		Racing Equity Trust Fund without the express authority of the
19		Illinois General Assembly and making any other rule to
20		implement or interpret this amendatory Act of the 95th General
21		Assembly. For the purposes of this paragraph, "rules" is given
22		the meaning given to that term in Section 1-70 of the Illinois
23		Administrative Procedure Act.
24		(b) In determining whether to grant an owners license to an
25		applicant, the Board shall consider:
26		(1) the character, reputation, experience and

SB0690 Enrolled - 637 - LRB101 04451 HLH 49459 b
1		financial integrity of the applicants and of any other or
2		separate person that either:
3		(A) controls, directly or indirectly, such
4		applicant, or
5		(B) is controlled, directly or indirectly, by such
6		applicant or by a person which controls, directly or
7		indirectly, such applicant;
8		(2) the facilities or proposed facilities for the
9		conduct of riverboat gambling;
10		(3) the highest prospective total revenue to be derived
11		by the State from the conduct of riverboat gambling;
12		(4) the extent to which the ownership of the applicant
13		reflects the diversity of the State by including minority
14		persons, women, and persons with a disability and the good
15		faith affirmative action plan of each applicant to recruit,
16		train and upgrade minority persons, women, and persons with
17		a disability in all employment classifications; the Board
18		shall further consider granting an owners license and
19		giving preference to an applicant under this Section to
20		applicants in which minority persons and women hold
21		ownership interest of at least 16% and 4%, respectively.
22		(4.5) the extent to which the ownership of the
23		applicant includes veterans of service in the armed forces
24		of the United States, and the good faith affirmative action
25		plan of each applicant to recruit, train, and upgrade
26		veterans of service in the armed forces of the United

SB0690 Enrolled - 638 - LRB101 04451 HLH 49459 b
1		States in all employment classifications;
2		(5) the financial ability of the applicant to purchase
3		and maintain adequate liability and casualty insurance;
4		(6) whether the applicant has adequate capitalization
5		to provide and maintain, for the duration of a license, a
6		riverboat or casino;
7		(7) the extent to which the applicant exceeds or meets
8		other standards for the issuance of an owners license which
9		the Board may adopt by rule; and
10		(8) the The amount of the applicant's license bid; .
11		(9) the extent to which the applicant or the proposed
12		host municipality plans to enter into revenue sharing
13		agreements with communities other than the host
14		municipality; and
15		(10) the extent to which the ownership of an applicant
16		includes the most qualified number of minority persons,
17		women, and persons with a disability.
18		(c) Each owners license shall specify the place where the
19		casino riverboats shall operate or the riverboat shall operate
20		and dock.
21		(d) Each applicant shall submit with his application, on
22		forms provided by the Board, 2 sets of his fingerprints.
23		(e) In addition to any licenses authorized under subsection
24		(e-5) of this Section, the The Board may issue up to 10
25		licenses authorizing the holders of such licenses to own
26		riverboats. In the application for an owners license, the

SB0690 Enrolled - 639 - LRB101 04451 HLH 49459 b
1		applicant shall state the dock at which the riverboat is based
2		and the water on which the riverboat will be located. The Board
3		shall issue 5 licenses to become effective not earlier than
4		January 1, 1991. Three of such licenses shall authorize
5		riverboat gambling on the Mississippi River, or, with approval
6		by the municipality in which the riverboat was docked on August
7		7, 2003 and with Board approval, be authorized to relocate to a
8		new location, in a municipality that (1) borders on the
9		Mississippi River or is within 5 miles of the city limits of a
10		municipality that borders on the Mississippi River and (2), on
11		August 7, 2003, had a riverboat conducting riverboat gambling
12		operations pursuant to a license issued under this Act; one of
13		which shall authorize riverboat gambling from a home dock in
14		the city of East St. Louis; and one of which shall authorize
15		riverboat gambling from a home dock in the City of Alton. One
16		other license shall authorize riverboat gambling on the
17		Illinois River in the City of East Peoria or, with Board
18		approval, shall authorize land-based gambling operations
19		anywhere within the corporate limits of the City of Peoria
20		south of Marshall County. The Board shall issue one additional
21		license to become effective not earlier than March 1, 1992,
22		which shall authorize riverboat gambling on the Des Plaines
23		River in Will County. The Board may issue 4 additional licenses
24		to become effective not earlier than March 1, 1992. In
25		determining the water upon which riverboats will operate, the
26		Board shall consider the economic benefit which riverboat

SB0690 Enrolled - 640 - LRB101 04451 HLH 49459 b
1		gambling confers on the State, and shall seek to assure that
2		all regions of the State share in the economic benefits of
3		riverboat gambling.
4		In granting all licenses, the Board may give favorable
5		consideration to economically depressed areas of the State, to
6		applicants presenting plans which provide for significant
7		economic development over a large geographic area, and to
8		applicants who currently operate non-gambling riverboats in
9		Illinois. The Board shall review all applications for owners
10		licenses, and shall inform each applicant of the Board's
11		decision. The Board may grant an owners license to an applicant
12		that has not submitted the highest license bid, but if it does
13		not select the highest bidder, the Board shall issue a written
14		decision explaining why another applicant was selected and
15		identifying the factors set forth in this Section that favored
16		the winning bidder. The fee for issuance or renewal of a
17		license pursuant to this subsection (e) shall be $250,000.
18		(e-5) In addition to licenses authorized under subsection
19		(e) of this Section:
20		(1) the Board may issue one owners license authorizing
21		the conduct of casino gambling in the City of Chicago;
22		(2) the Board may issue one owners license authorizing
23		the conduct of riverboat gambling in the City of Danville;
24		(3) the Board may issue one owners license authorizing
25		the conduct of riverboat gambling located in the City of
26		Waukegan;

SB0690 Enrolled - 641 - LRB101 04451 HLH 49459 b
1		(4) the Board may issue one owners license authorizing
2		the conduct of riverboat gambling in the City of Rockford;
3		(5) the Board may issue one owners license authorizing
4		the conduct of riverboat gambling in a municipality that is
5		wholly or partially located in one of the following
6		townships of Cook County: Bloom, Bremen, Calumet, Rich,
7		Thornton, or Worth Township; and
8		(6) the Board may issue one owners license authorizing
9		the conduct of riverboat gambling in the unincorporated
10		area of Williamson County adjacent to the Big Muddy River.
11		Except for the license authorized under paragraph (1), each
12		application for a license pursuant to this subsection (e-5)
13		shall be submitted to the Board no later than 120 days after
14		the effective date of this amendatory Act of the 101st General
15		Assembly. All applications for a license under this subsection
16		(e-5) shall include the nonrefundable application fee and the
17		nonrefundable background investigation fee as provided in
18		subsection (d) of Section 6 of this Act. In the event that an
19		applicant submits an application for a license pursuant to this
20		subsection (e-5) prior to the effective date of this amendatory
21		Act of the 101st General Assembly, such applicant shall submit
22		the nonrefundable application fee and background investigation
23		fee as provided in subsection (d) of Section 6 of this Act no
24		later than 6 months after the effective date of this amendatory
25		Act of the 101st General Assembly.
26		The Board shall consider issuing a license pursuant to

SB0690 Enrolled - 642 - LRB101 04451 HLH 49459 b
1		paragraphs (1) through (6) of this subsection only after the
2		corporate authority of the municipality or the county board of
3		the county in which the riverboat or casino shall be located
4		has certified to the Board the following:
5		(i) that the applicant has negotiated with the
6		corporate authority or county board in good faith;
7		(ii) that the applicant and the corporate authority or
8		county board have mutually agreed on the permanent location
9		of the riverboat or casino;
10		(iii) that the applicant and the corporate authority or
11		county board have mutually agreed on the temporary location
12		of the riverboat or casino;
13		(iv) that the applicant and the corporate authority or
14		the county board have mutually agreed on the percentage of
15		revenues that will be shared with the municipality or
16		county, if any;
17		(v) that the applicant and the corporate authority or
18		county board have mutually agreed on any zoning, licensing,
19		public health, or other issues that are within the
20		jurisdiction of the municipality or county; and
21		(vi) that the corporate authority or county board has
22		passed a resolution or ordinance in support of the
23		riverboat or casino in the municipality or county.
24		At least 7 days before the corporate authority of a
25		municipality or county board of the county submits a
26		certification to the Board concerning items (i) through (vi) of

SB0690 Enrolled - 643 - LRB101 04451 HLH 49459 b
1		this subsection, it shall hold a public hearing to discuss
2		items (i) through (vi), as well as any other details concerning
3		the proposed riverboat or casino in the municipality or county.
4		The corporate authority or county board must subsequently
5		memorialize the details concerning the proposed riverboat or
6		casino in a resolution that must be adopted by a majority of
7		the corporate authority or county board before any
8		certification is sent to the Board. The Board shall not alter,
9		amend, change, or otherwise interfere with any agreement
10		between the applicant and the corporate authority of the
11		municipality or county board of the county regarding the
12		location of any temporary or permanent facility.
13		In addition, within 10 days after the effective date of
14		this amendatory Act of the 101st General Assembly, the Board,
15		with consent and at the expense of the City of Chicago, shall
16		select and retain the services of a nationally recognized
17		casino gaming feasibility consultant. Within 45 days after the
18		effective date of this amendatory Act of the 101st General
19		Assembly, the consultant shall prepare and deliver to the Board
20		a study concerning the feasibility of, and the ability to
21		finance, a casino in the City of Chicago. The feasibility study
22		shall be delivered to the Mayor of the City of Chicago, the
23		Governor, the President of the Senate, and the Speaker of the
24		House of Representatives. Ninety days after receipt of the
25		feasibility study, the Board shall make a determination, based
26		on the results of the feasibility study, whether to recommend

SB0690 Enrolled - 644 - LRB101 04451 HLH 49459 b
1		to the General Assembly that the terms of the license under
2		paragraph (1) of this subsection (e-5) should be modified. The
3		Board may begin accepting applications for the owners license
4		under paragraph (1) of this subsection (e-5) upon the
5		determination to issue such an owners license.
6		In addition, prior to the Board issuing the owners license
7		authorized under paragraph (4) of subsection (e-5), an impact
8		study shall be completed to determine what location in the city
9		will provide the greater impact to the region, including the
10		creation of jobs and the generation of tax revenue.
11		(e-10) The licenses authorized under subsection (e-5) of
12		this Section shall be issued within 12 months after the date
13		the license application is submitted. If the Board does not
14		issue the licenses within that time period, then the Board
15		shall give a written explanation to the applicant as to why it
16		has not reached a determination and when it reasonably expects
17		to make a determination. The fee for the issuance or renewal of
18		a license issued pursuant to this subsection (e-10) shall be
19		$250,000. Additionally, a licensee located outside of Cook
20		County shall pay a minimum initial fee of $17,500 per gaming
21		position, and a licensee located in Cook County shall pay a
22		minimum initial fee of $30,000 per gaming position. The initial
23		fees payable under this subsection (e-10) shall be deposited
24		into the Rebuild Illinois Projects Fund.
25		(e-15) Each licensee of a license authorized under
26		subsection (e-5) of this Section shall make a reconciliation

SB0690 Enrolled - 645 - LRB101 04451 HLH 49459 b
1		payment 3 years after the date the licensee begins operating in
2		an amount equal to 75% of the adjusted gross receipts for the
3		most lucrative 12-month period of operations, minus an amount
4		equal to the initial payment per gaming position paid by the
5		specific licensee. Each licensee shall pay a $15,000,000
6		reconciliation fee upon issuance of an owners license. If this
7		calculation results in a negative amount, then the licensee is
8		not entitled to any reimbursement of fees previously paid. This
9		reconciliation payment may be made in installments over a
10		period of no more than 2 years, subject to Board approval. Any
11		installment payments shall include an annual market interest
12		rate as determined by the Board. All payments by licensees
13		under this subsection (e-15) shall be deposited into the
14		Rebuild Illinois Projects Fund.
15		(e-20) In addition to any other revocation powers granted
16		to the Board under this Act, the Board may revoke the owners
17		license of a licensee which fails to begin conducting gambling
18		within 15 months of receipt of the Board's approval of the
19		application if the Board determines that license revocation is
20		in the best interests of the State.
21		(f) The first 10 owners licenses issued under this Act
22		shall permit the holder to own up to 2 riverboats and equipment
23		thereon for a period of 3 years after the effective date of the
24		license. Holders of the first 10 owners licenses must pay the
25		annual license fee for each of the 3 years during which they
26		are authorized to own riverboats.

SB0690 Enrolled - 646 - LRB101 04451 HLH 49459 b
1		(g) Upon the termination, expiration, or revocation of each
2		of the first 10 licenses, which shall be issued for a 3 year
3		period, all licenses are renewable annually upon payment of the
4		fee and a determination by the Board that the licensee
5		continues to meet all of the requirements of this Act and the
6		Board's rules. However, for licenses renewed on or after May 1,
7		1998, renewal shall be for a period of 4 years, unless the
8		Board sets a shorter period.
9		(h) An owners license, except for an owners license issued
10		under subsection (e-5) of this Section, shall entitle the
11		licensee to own up to 2 riverboats.
12		An owners licensee of a casino or riverboat that is located
13		in the City of Chicago pursuant to paragraph (1) of subsection
14		(e-5) of this Section shall limit the number of gaming
15		positions to 4,000 for such owner. An owners licensee
16		authorized under subsection (e) or paragraph (2), (3), (4), or
17		(5) of subsection (e-5) of this Section shall limit the number
18		of gaming positions to 2,000 for any such owners license. An
19		owners licensee authorized under paragraph (6) of subsection
20		(e-5) of this Section A licensee shall limit the number of
21		gaming positions gambling participants to 1,200 for any such
22		owner. The initial fee for each gaming position obtained on or
23		after the effective date of this amendatory Act of the 101st
24		General Assembly shall be a minimum of $17,500 for licensees
25		not located in Cook County and a minimum of $30,000 for
26		licensees located in Cook County, in addition to the

SB0690 Enrolled - 647 - LRB101 04451 HLH 49459 b
1		reconciliation payment, as set forth in subsection (e-15) of
2		this Section owners license. The fees under this subsection (h)
3		shall be deposited into the Rebuild Illinois Projects Fund. The
4		fees under this subsection (h) that are paid by an owners
5		licensee authorized under subsection (e) shall be paid by July
6		1, 2020.
7		Each owners licensee under subsection (e) of this Section
8		shall reserve its gaming positions within 30 days after the
9		effective date of this amendatory Act of the 101st General
10		Assembly. The Board may grant an extension to this 30-day
11		period, provided that the owners licensee submits a written
12		request and explanation as to why it is unable to reserve its
13		positions within the 30-day period.
14		Each owners licensee under subsection (e-5) of this
15		Section shall reserve its gaming positions within 30 days after
16		issuance of its owners license. The Board may grant an
17		extension to this 30-day period, provided that the owners
18		licensee submits a written request and explanation as to why it
19		is unable to reserve its positions within the 30-day period.
20		A licensee may operate both of its riverboats concurrently,
21		provided that the total number of gaming positions gambling
22		participants on both riverboats does not exceed the limit
23		established pursuant to this subsection 1,200. Riverboats
24		licensed to operate on the Mississippi River and the Illinois
25		River south of Marshall County shall have an authorized
26		capacity of at least 500 persons. Any other riverboat licensed

SB0690 Enrolled - 648 - LRB101 04451 HLH 49459 b
1		under this Act shall have an authorized capacity of at least
2		400 persons.
3		(h-5) An owners licensee who conducted gambling operations
4		prior to January 1, 2012 and obtains positions pursuant to this
5		amendatory Act of the 101st General Assembly shall make a
6		reconciliation payment 3 years after any additional gaming
7		positions begin operating in an amount equal to 75% of the
8		owners licensee's average gross receipts for the most lucrative
9		12-month period of operations minus an amount equal to the
10		initial fee that the owners licensee paid per additional gaming
11		position. For purposes of this subsection (h-5), "average gross
12		receipts" means (i) the increase in adjusted gross receipts for
13		the most lucrative 12-month period of operations over the
14		adjusted gross receipts for 2019, multiplied by (ii) the
15		percentage derived by dividing the number of additional gaming
16		positions that an owners licensee had obtained by the total
17		number of gaming positions operated by the owners licensee. If
18		this calculation results in a negative amount, then the owners
19		licensee is not entitled to any reimbursement of fees
20		previously paid. This reconciliation payment may be made in
21		installments over a period of no more than 2 years, subject to
22		Board approval. Any installment payments shall include an
23		annual market interest rate as determined by the Board. These
24		reconciliation payments shall be deposited into the Rebuild
25		Illinois Projects Fund.
26		(i) A licensed owner is authorized to apply to the Board

SB0690 Enrolled - 649 - LRB101 04451 HLH 49459 b
1		for and, if approved therefor, to receive all licenses from the
2		Board necessary for the operation of a riverboat or casino,
3		including a liquor license, a license to prepare and serve food
4		for human consumption, and other necessary licenses. All use,
5		occupation and excise taxes which apply to the sale of food and
6		beverages in this State and all taxes imposed on the sale or
7		use of tangible personal property apply to such sales aboard
8		the riverboat or in the casino.
9		(j) The Board may issue or re-issue a license authorizing a
10		riverboat to dock in a municipality or approve a relocation
11		under Section 11.2 only if, prior to the issuance or
12		re-issuance of the license or approval, the governing body of
13		the municipality in which the riverboat will dock has by a
14		majority vote approved the docking of riverboats in the
15		municipality. The Board may issue or re-issue a license
16		authorizing a riverboat to dock in areas of a county outside
17		any municipality or approve a relocation under Section 11.2
18		only if, prior to the issuance or re-issuance of the license or
19		approval, the governing body of the county has by a majority
20		vote approved of the docking of riverboats within such areas.
21		(k) An owners licensee may conduct land-based gambling
22		operations upon approval by the Board and payment of a fee of
23		$250,000, which shall be deposited into the State Gaming Fund.
24		(l) An owners licensee may conduct gaming at a temporary
25		facility pending the construction of a permanent facility or
26		the remodeling or relocation of an existing facility to

SB0690 Enrolled - 650 - LRB101 04451 HLH 49459 b
1		accommodate gaming participants for up to 24 months after the
2		temporary facility begins to conduct gaming. Upon request by an
3		owners licensee and upon a showing of good cause by the owners
4		licensee, the Board shall extend the period during which the
5		licensee may conduct gaming at a temporary facility by up to 12
6		months. The Board shall make rules concerning the conduct of
7		gaming from temporary facilities.
8		(Source: P.A. 100-391, eff. 8-25-17; 100-1152, eff. 12-14-18.)
9		(230 ILCS 10/7.3)
10		Sec. 7.3. State conduct of gambling operations.
11		(a) If, after reviewing each application for a re-issued
12		license, the Board determines that the highest prospective
13		total revenue to the State would be derived from State conduct
14		of the gambling operation in lieu of re-issuing the license,
15		the Board shall inform each applicant of its decision. The
16		Board shall thereafter have the authority, without obtaining an
17		owners license, to conduct casino or riverboat gambling
18		operations as previously authorized by the terminated,
19		expired, revoked, or nonrenewed license through a licensed
20		manager selected pursuant to an open and competitive bidding
21		process as set forth in Section 7.5 and as provided in Section
22		7.4.
23		(b) The Board may locate any casino or riverboat on which a
24		gambling operation is conducted by the State in any home dock
25		or other location authorized by Section 3(c) upon receipt of

SB0690 Enrolled - 651 - LRB101 04451 HLH 49459 b
1		approval from a majority vote of the governing body of the
2		municipality or county, as the case may be, in which the
3		riverboat will dock.
4		(c) The Board shall have jurisdiction over and shall
5		supervise all gambling operations conducted by the State
6		provided for in this Act and shall have all powers necessary
7		and proper to fully and effectively execute the provisions of
8		this Act relating to gambling operations conducted by the
9		State.
10		(d) The maximum number of owners licenses authorized under
11		Section 7 7(e) shall be reduced by one for each instance in
12		which the Board authorizes the State to conduct a casino or
13		riverboat gambling operation under subsection (a) in lieu of
14		re-issuing a license to an applicant under Section 7.1.
15		(Source: P.A. 93-28, eff. 6-20-03.)
16		(230 ILCS 10/7.5)
17		Sec. 7.5. Competitive Bidding. When the Board determines
18		that (i) it will re-issue an owners license pursuant to an open
19		and competitive bidding process, as set forth in Section 7.1,
20		(ii) or that it will issue a managers license pursuant to an
21		open and competitive bidding process, as set forth in Section
22		7.4, or (iii) it will issue an owners license pursuant to an
23		open and competitive bidding process, as set forth in Section
24		7.12, the open and competitive bidding process shall adhere to
25		the following procedures:

SB0690 Enrolled - 652 - LRB101 04451 HLH 49459 b
1		(1) The Board shall make applications for owners and
2		managers licenses available to the public and allow a
3		reasonable time for applicants to submit applications to the
4		Board.
5		(2) During the filing period for owners or managers license
6		applications, the Board may retain the services of an
7		investment banking firm to assist the Board in conducting the
8		open and competitive bidding process.
9		(3) After receiving all of the bid proposals, the Board
10		shall open all of the proposals in a public forum and disclose
11		the prospective owners or managers names, venture partners, if
12		any, and, in the case of applicants for owners licenses, the
13		locations of the proposed development sites.
14		(4) The Board shall summarize the terms of the proposals
15		and may make this summary available to the public.
16		(5) The Board shall evaluate the proposals within a
17		reasonable time and select no more than 3 final applicants to
18		make presentations of their proposals to the Board.
19		(6) The final applicants shall make their presentations to
20		the Board on the same day during an open session of the Board.
21		(7) As soon as practicable after the public presentations
22		by the final applicants, the Board, in its discretion, may
23		conduct further negotiations among the 3 final applicants.
24		During such negotiations, each final applicant may increase its
25		license bid or otherwise enhance its bid proposal. At the
26		conclusion of such negotiations, the Board shall select the

SB0690 Enrolled - 653 - LRB101 04451 HLH 49459 b
1		winning proposal. In the case of negotiations for an owners
2		license, the Board may, at the conclusion of such negotiations,
3		make the determination allowed under Section 7.3(a).
4		(8) Upon selection of a winning bid, the Board shall
5		evaluate the winning bid within a reasonable period of time for
6		licensee suitability in accordance with all applicable
7		statutory and regulatory criteria.
8		(9) If the winning bidder is unable or otherwise fails to
9		consummate the transaction, (including if the Board determines
10		that the winning bidder does not satisfy the suitability
11		requirements), the Board may, on the same criteria, select from
12		the remaining bidders or make the determination allowed under
13		Section 7.3(a).
14		(Source: P.A. 93-28, eff. 6-20-03.)
15		(230 ILCS 10/7.7 new)
16		Sec. 7.7. Organization gaming licenses.
17		(a) The Illinois Gaming Board shall award one organization
18		gaming license to each person or entity having operating
19		control of a racetrack that applies under Section 56 of the
20		Illinois Horse Racing Act of 1975, subject to the application
21		and eligibility requirements of this Section. Within 60 days
22		after the effective date of this amendatory Act of the 101st
23		General Assembly, a person or entity having operating control
24		of a racetrack may submit an application for an organization
25		gaming license. The application shall be made on such forms as

SB0690 Enrolled - 654 - LRB101 04451 HLH 49459 b
1		provided by the Board and shall contain such information as the
2		Board prescribes, including, but not limited to, the identity
3		of any racetrack at which gaming will be conducted pursuant to
4		an organization gaming license, detailed information regarding
5		the ownership and management of the applicant, and detailed
6		personal information regarding the applicant. The application
7		shall specify the number of gaming positions the applicant
8		intends to use and the place where the organization gaming
9		facility will operate. A person who knowingly makes a false
10		statement on an application is guilty of a Class A misdemeanor.
11		Each applicant shall disclose the identity of every person
12		or entity having a direct or indirect pecuniary interest
13		greater than 1% in any racetrack with respect to which the
14		license is sought. If the disclosed entity is a corporation,
15		the applicant shall disclose the names and addresses of all
16		stockholders and directors. If the disclosed entity is a
17		limited liability company, the applicant shall disclose the
18		names and addresses of all members and managers. If the
19		disclosed entity is a partnership, the applicant shall disclose
20		the names and addresses of all partners, both general and
21		limited. If the disclosed entity is a trust, the applicant
22		shall disclose the names and addresses of all beneficiaries.
23		An application shall be filed and considered in accordance
24		with the rules of the Board. Each application for an
25		organization gaming license shall include a nonrefundable
26		application fee of $250,000. In addition, a nonrefundable fee

SB0690 Enrolled - 655 - LRB101 04451 HLH 49459 b
1		of $50,000 shall be paid at the time of filing to defray the
2		costs associated with background investigations conducted by
3		the Board. If the costs of the background investigation exceed
4		$50,000, the applicant shall pay the additional amount to the
5		Board within 7 days after a request by the Board. If the costs
6		of the investigation are less than $50,000, the applicant shall
7		receive a refund of the remaining amount. All information,
8		records, interviews, reports, statements, memoranda, or other
9		data supplied to or used by the Board in the course of this
10		review or investigation of an applicant for an organization
11		gaming license under this Act shall be privileged and strictly
12		confidential and shall be used only for the purpose of
13		evaluating an applicant for an organization gaming license or a
14		renewal. Such information, records, interviews, reports,
15		statements, memoranda, or other data shall not be admissible as
16		evidence nor discoverable in any action of any kind in any
17		court or before any tribunal, board, agency or person, except
18		for any action deemed necessary by the Board. The application
19		fee shall be deposited into the State Gaming Fund.
20		Each applicant shall submit with his or her application, on
21		forms provided by the Board, a set of his or her fingerprints.
22		The Board shall charge each applicant a fee set by the
23		Department of State Police to defray the costs associated with
24		the search and classification of fingerprints obtained by the
25		Board with respect to the applicant's application. This fee
26		shall be paid into the State Police Services Fund.

SB0690 Enrolled - 656 - LRB101 04451 HLH 49459 b
1		(b) The Board shall determine within 120 days after
2		receiving an application for an organization gaming license
3		whether to grant an organization gaming license to the
4		applicant. If the Board does not make a determination within
5		that time period, then the Board shall give a written
6		explanation to the applicant as to why it has not reached a
7		determination and when it reasonably expects to make a
8		determination.
9		The organization gaming licensee shall purchase up to the
10		amount of gaming positions authorized under this Act within 120
11		days after receiving its organization gaming license. If an
12		organization gaming licensee is prepared to purchase the gaming
13		positions, but is temporarily prohibited from doing so by order
14		of a court of competent jurisdiction or the Board, then the
15		120-day period is tolled until a resolution is reached.
16		An organization gaming license shall authorize its holder
17		to conduct gaming under this Act at its racetracks on the same
18		days of the year and hours of the day that owners licenses are
19		allowed to operate under approval of the Board.
20		An organization gaming license and any renewal of an
21		organization gaming license shall authorize gaming pursuant to
22		this Section for a period of 4 years. The fee for the issuance
23		or renewal of an organization gaming license shall be $250,000.
24		All payments by licensees under this subsection (b) shall
25		be deposited into the Rebuild Illinois Projects Fund.
26		(c) To be eligible to conduct gaming under this Section, a

SB0690 Enrolled - 657 - LRB101 04451 HLH 49459 b
1		person or entity having operating control of a racetrack must
2		(i) obtain an organization gaming license, (ii) hold an
3		organization license under the Illinois Horse Racing Act of
4		1975, (iii) hold an inter-track wagering license, (iv) pay an
5		initial fee of $30,000 per gaming position from organization
6		gaming licensees where gaming is conducted in Cook County and,
7		except as provided in subsection (c-5), $17,500 for
8		organization gaming licensees where gaming is conducted
9		outside of Cook County before beginning to conduct gaming plus
10		make the reconciliation payment required under subsection (k),
11		(v) conduct live racing in accordance with subsections (e-1),
12		(e-2), and (e-3) of Section 20 of the Illinois Horse Racing Act
13		of 1975, (vi) meet the requirements of subsection (a) of
14		Section 56 of the Illinois Horse Racing Act of 1975, (vii) for
15		organization licensees conducting standardbred race meetings,
16		keep backstretch barns and dormitories open and operational
17		year-round unless a lesser schedule is mutually agreed to by
18		the organization licensee and the horsemen association racing
19		at that organization licensee's race meeting, (viii) for
20		organization licensees conducting thoroughbred race meetings,
21		the organization licensee must maintain accident medical
22		expense liability insurance coverage of $1,000,000 for
23		jockeys, and (ix) meet all other requirements of this Act that
24		apply to owners licensees.
25		An organization gaming licensee may enter into a joint
26		venture with a licensed owner to own, manage, conduct, or

SB0690 Enrolled - 658 - LRB101 04451 HLH 49459 b
1		otherwise operate the organization gaming licensee's
2		organization gaming facilities, unless the organization gaming
3		licensee has a parent company or other affiliated company that
4		is, directly or indirectly, wholly owned by a parent company
5		that is also licensed to conduct organization gaming, casino
6		gaming, or their equivalent in another state.
7		All payments by licensees under this subsection (c) shall
8		be deposited into the Rebuild Illinois Projects Fund.
9		(c-5) A person or entity having operating control of a
10		racetrack located in Madison County shall only pay the initial
11		fees specified in subsection (c) for 540 of the gaming
12		positions authorized under the license.
13		(d) A person or entity is ineligible to receive an
14		organization gaming license if:
15		(1) the person or entity has been convicted of a felony
16		under the laws of this State, any other state, or the
17		United States, including a conviction under the Racketeer
18		Influenced and Corrupt Organizations Act;
19		(2) the person or entity has been convicted of any
20		violation of Article 28 of the Criminal Code of 2012, or
21		substantially similar laws of any other jurisdiction;
22		(3) the person or entity has submitted an application
23		for a license under this Act that contains false
24		information;
25		(4) the person is a member of the Board;
26		(5) a person defined in (1), (2), (3), or (4) of this

SB0690 Enrolled - 659 - LRB101 04451 HLH 49459 b
1		subsection (d) is an officer, director, or managerial
2		employee of the entity;
3		(6) the person or entity employs a person defined in
4		(1), (2), (3), or (4) of this subsection (d) who
5		participates in the management or operation of gambling
6		operations authorized under this Act; or
7		(7) a license of the person or entity issued under this
8		Act or a license to own or operate gambling facilities in
9		any other jurisdiction has been revoked.
10		(e) The Board may approve gaming positions pursuant to an
11		organization gaming license statewide as provided in this
12		Section. The authority to operate gaming positions under this
13		Section shall be allocated as follows: up to 1,200 gaming
14		positions for any organization gaming licensee in Cook County
15		and up to 900 gaming positions for any organization gaming
16		licensee outside of Cook County.
17		(f) Each applicant for an organization gaming license shall
18		specify in its application for licensure the number of gaming
19		positions it will operate, up to the applicable limitation set
20		forth in subsection (e) of this Section. Any unreserved gaming
21		positions that are not specified shall be forfeited and
22		retained by the Board. For the purposes of this subsection (f),
23		an organization gaming licensee that did not conduct live
24		racing in 2010 and is located within 3 miles of the Mississippi
25		River may reserve up to 900 positions and shall not be
26		penalized under this Section for not operating those positions

SB0690 Enrolled - 660 - LRB101 04451 HLH 49459 b
1		until it meets the requirements of subsection (e) of this
2		Section, but such licensee shall not request unreserved gaming
3		positions under this subsection (f) until its 900 positions are
4		all operational.
5		Thereafter, the Board shall publish the number of
6		unreserved gaming positions and shall accept requests for
7		additional positions from any organization gaming licensee
8		that initially reserved all of the positions that were offered.
9		The Board shall allocate expeditiously the unreserved gaming
10		positions to requesting organization gaming licensees in a
11		manner that maximizes revenue to the State. The Board may
12		allocate any such unused gaming positions pursuant to an open
13		and competitive bidding process, as provided under Section 7.5
14		of this Act. This process shall continue until all unreserved
15		gaming positions have been purchased. All positions obtained
16		pursuant to this process and all positions the organization
17		gaming licensee specified it would operate in its application
18		must be in operation within 18 months after they were obtained
19		or the organization gaming licensee forfeits the right to
20		operate those positions, but is not entitled to a refund of any
21		fees paid. The Board may, after holding a public hearing, grant
22		extensions so long as the organization gaming licensee is
23		working in good faith to make the positions operational. The
24		extension may be for a period of 6 months. If, after the period
25		of the extension, the organization gaming licensee has not made
26		the positions operational, then another public hearing must be

SB0690 Enrolled - 661 - LRB101 04451 HLH 49459 b
1		held by the Board before it may grant another extension.
2		Unreserved gaming positions retained from and allocated to
3		organization gaming licensees by the Board pursuant to this
4		subsection (f) shall not be allocated to owners licensees under
5		this Act.
6		For the purpose of this subsection (f), the unreserved
7		gaming positions for each organization gaming licensee shall be
8		the applicable limitation set forth in subsection (e) of this
9		Section, less the number of reserved gaming positions by such
10		organization gaming licensee, and the total unreserved gaming
11		positions shall be the aggregate of the unreserved gaming
12		positions for all organization gaming licensees.
13		(g) An organization gaming licensee is authorized to
14		conduct the following at a racetrack:
15		(1) slot machine gambling;
16		(2) video game of chance gambling;
17		(3) gambling with electronic gambling games as defined
18		in this Act or defined by the Illinois Gaming Board; and
19		(4) table games.
20		(h) Subject to the approval of the Illinois Gaming Board,
21		an organization gaming licensee may make modification or
22		additions to any existing buildings and structures to comply
23		with the requirements of this Act. The Illinois Gaming Board
24		shall make its decision after consulting with the Illinois
25		Racing Board. In no case, however, shall the Illinois Gaming
26		Board approve any modification or addition that alters the

SB0690 Enrolled - 662 - LRB101 04451 HLH 49459 b
1		grounds of the organization licensee such that the act of live
2		racing is an ancillary activity to gaming authorized under this
3		Section. Gaming authorized under this Section may take place in
4		existing structures where inter-track wagering is conducted at
5		the racetrack or a facility within 300 yards of the racetrack
6		in accordance with the provisions of this Act and the Illinois
7		Horse Racing Act of 1975.
8		(i) An organization gaming licensee may conduct gaming at a
9		temporary facility pending the construction of a permanent
10		facility or the remodeling or relocation of an existing
11		facility to accommodate gaming participants for up to 24 months
12		after the temporary facility begins to conduct gaming
13		authorized under this Section. Upon request by an organization
14		gaming licensee and upon a showing of good cause by the
15		organization gaming licensee, the Board shall extend the period
16		during which the licensee may conduct gaming authorized under
17		this Section at a temporary facility by up to 12 months. The
18		Board shall make rules concerning the conduct of gaming
19		authorized under this Section from temporary facilities.
20		The gaming authorized under this Section may take place in
21		existing structures where inter-track wagering is conducted at
22		the racetrack or a facility within 300 yards of the racetrack
23		in accordance with the provisions of this Act and the Illinois
24		Horse Racing Act of 1975.
25		(i-5) Under no circumstances shall an organization gaming
26		licensee conduct gaming at any State or county fair.

SB0690 Enrolled - 663 - LRB101 04451 HLH 49459 b
1		(j) The Illinois Gaming Board must adopt emergency rules in
2		accordance with Section 5-45 of the Illinois Administrative
3		Procedure Act as necessary to ensure compliance with the
4		provisions of this amendatory Act of the 101st General Assembly
5		concerning the conduct of gaming by an organization gaming
6		licensee. The adoption of emergency rules authorized by this
7		subsection (j) shall be deemed to be necessary for the public
8		interest, safety, and welfare.
9		(k) Each organization gaming licensee who obtains gaming
10		positions must make a reconciliation payment 3 years after the
11		date the organization gaming licensee begins operating the
12		positions in an amount equal to 75% of the difference between
13		its adjusted gross receipts from gaming authorized under this
14		Section and amounts paid to its purse accounts pursuant to item
15		(1) of subsection (b) of Section 56 of the Illinois Horse
16		Racing Act of 1975 for the 12-month period for which such
17		difference was the largest, minus an amount equal to the
18		initial per position fee paid by the organization gaming
19		licensee. If this calculation results in a negative amount,
20		then the organization gaming licensee is not entitled to any
21		reimbursement of fees previously paid. This reconciliation
22		payment may be made in installments over a period of no more
23		than 2 years, subject to Board approval. Any installment
24		payments shall include an annual market interest rate as
25		determined by the Board.
26		All payments by licensees under this subsection (k) shall

SB0690 Enrolled - 664 - LRB101 04451 HLH 49459 b
1		be deposited into the Rebuild Illinois Projects Fund.
2		(l) As soon as practical after a request is made by the
3		Illinois Gaming Board, to minimize duplicate submissions by the
4		applicant, the Illinois Racing Board must provide information
5		on an applicant for an organization gaming license to the
6		Illinois Gaming Board.
7		(230 ILCS 10/7.8 new)
8		Sec. 7.8. Home rule. The regulation and licensing of
9		organization gaming licensees and gaming conducted pursuant to
10		an organization gaming license are exclusive powers and
11		functions of the State. A home rule unit may not regulate or
12		license such gaming or organization gaming licensees. This
13		Section is a denial and limitation of home rule powers and
14		functions under subsection (h) of Section 6 of Article VII of
15		the Illinois Constitution.
16		(230 ILCS 10/7.10 new)
17		Sec. 7.10. Diversity program.
18		(a) Each owners licensee, organization gaming licensee,
19		and suppliers licensee shall establish and maintain a diversity
20		program to ensure non-discrimination in the award and
21		administration of contracts. The programs shall establish
22		goals of awarding not less than 25% of the annual dollar value
23		of all contracts, purchase orders, or other agreements to
24		minority-owned businesses and 5% of the annual dollar value of

SB0690 Enrolled - 665 - LRB101 04451 HLH 49459 b
1		all contracts to women-owned businesses.
2		(b) Each owners licensee, organization gaming licensee,
3		and suppliers licensee shall establish and maintain a diversity
4		program designed to promote equal opportunity for employment.
5		The program shall establish hiring goals as the Board and each
6		licensee determines appropriate. The Board shall monitor the
7		progress of the gaming licensee's progress with respect to the
8		program's goals.
9		(c) No later than May 31 of each year, each licensee shall
10		report to the Board (1) the number of respective employees and
11		the number of its respective employees who have designated
12		themselves as members of a minority group and gender and (2)
13		the total goals achieved under subsection (a) of this Section
14		as a percentage of the total contracts awarded by the license.
15		In addition, all licensees shall submit a report with respect
16		to the minority-owned and women-owned businesses program
17		created in this Section to the Board.
18		(d) When considering whether to re-issue or renew a license
19		to an owners licensee, organization gaming licensee, or
20		suppliers licensee, the Board shall take into account the
21		licensee's success in complying with the provisions of this
22		Section. If an owners licensee, organization gaming licensee,
23		or suppliers licensee has not satisfied the goals contained in
24		this Section, the Board shall require a written explanation as
25		to why the licensee is not in compliance and shall require the
26		licensee to file multi-year metrics designed to achieve

SB0690 Enrolled - 666 - LRB101 04451 HLH 49459 b
1		compliance with the provisions by the next renewal period,
2		consistent with State and federal law.
3		(230 ILCS 10/7.11 new)
4		Sec. 7.11. Annual report on diversity.
5		(a) Each licensee that receives a license under Sections 7,
6		7.1, and 7.7 shall execute and file a report with the Board no
7		later than December 31 of each year that shall contain, but not
8		be limited to, the following information:
9		(i) a good faith affirmative action plan to recruit,
10		train, and upgrade minority persons, women, and persons
11		with a disability in all employment classifications;
12		(ii) the total dollar amount of contracts that were
13		awarded to businesses owned by minority persons, women, and
14		persons with a disability;
15		(iii) the total number of businesses owned by minority
16		persons, women, and persons with a disability that were
17		utilized by the licensee;
18		(iv) the utilization of businesses owned by minority
19		persons, women, and persons with disabilities during the
20		preceding year; and
21		(v) the outreach efforts used by the licensee to
22		attract investors and businesses consisting of minority
23		persons, women, and persons with a disability.
24		(b) The Board shall forward a copy of each licensee's
25		annual reports to the General Assembly no later than February 1

SB0690 Enrolled - 667 - LRB101 04451 HLH 49459 b
1		of each year. The reports to the General Assembly shall be
2		filed with the Clerk of the House of Representatives and the
3		Secretary of the Senate in electronic form only, in the manner
4		that the Clerk and the Secretary shall direct.
5		(230 ILCS 10/7.12 new)
6		Sec. 7.12. Issuance of new owners licenses.
7		(a) Owners licenses newly authorized pursuant to this
8		amendatory Act of the 101st General Assembly may be issued by
9		the Board to a qualified applicant pursuant to an open and
10		competitive bidding process, as set forth in Section 7.5, and
11		subject to the maximum number of authorized licenses set forth
12		in subsection (e-5) of Section 7 of this Act.
13		(b) To be a qualified applicant, a person or entity may not
14		be ineligible to receive an owners license under subsection (a)
15		of Section 7 of this Act and must submit an application for an
16		owners license that complies with Section 6 of this Act.
17		(c) In determining whether to grant an owners license to an
18		applicant, the Board shall consider all of the factors set
19		forth in subsections (b) and (e-10) of Section 7 of this Act,
20		as well as the amount of the applicant's license bid. The Board
21		may grant the owners license to an applicant that has not
22		submitted the highest license bid, but if it does not select
23		the highest bidder, the Board shall issue a written decision
24		explaining why another applicant was selected and identifying
25		the factors set forth in subsections (b) and (e-10) of Section

SB0690 Enrolled - 668 - LRB101 04451 HLH 49459 b
1		7 of this Act that favored the winning bidder.
2		(230 ILCS 10/7.13 new)
3		Sec. 7.13. Environmental standards. All permanent
4		casinos, riverboats, and organization gaming facilities shall
5		consist of buildings that are certified as meeting the U.S.
6		Green Building Council's Leadership in Energy and
7		Environmental Design standards. The provisions of this Section
8		apply to a holder of an owners license or organization gaming
9		license that (i) begins operations on or after January 1, 2019
10		or (ii) relocates its facilities on or after the effective date
11		of this amendatory Act of the 101st General Assembly.
12		(230 ILCS 10/7.14 new)
13		Sec. 7.14. Chicago Casino Advisory Committee. An Advisory
14		Committee is established to monitor, review, and report on (1)
15		the utilization of minority-owned business enterprises and
16		women-owned business enterprises by the owners licensee, (2)
17		employment of women, and (3) employment of minorities with
18		regard to the development and construction of the casino as
19		authorized under paragraph (1) of subsection (e-5) of Section 7
20		of the Illinois Gambling Act. The owners licensee under
21		paragraph (1) of subsection (e-5) of Section 7 of the Illinois
22		Gambling Act shall work with the Advisory Committee in
23		accumulating necessary information for the Advisory Committee
24		to submit reports, as necessary, to the General Assembly and to

SB0690 Enrolled - 669 - LRB101 04451 HLH 49459 b
1		the City of Chicago.
2		The Advisory Committee shall consist of 9 members as
3		provided in this Section. Five members shall be selected by the
4		Governor and 4 members shall be selected by the Mayor of the
5		City of Chicago. The Governor and the Mayor of the City of
6		Chicago shall each appoint at least one current member of the
7		General Assembly. The Advisory Committee shall meet
8		periodically and shall report the information to the Mayor of
9		the City of Chicago and to the General Assembly by December
10		31st of every year.
11		The Advisory Committee shall be dissolved on the date that
12		casino gambling operations are first conducted at a permanent
13		facility under the license authorized under paragraph (1) of
14		subsection (e-5) Section 7 of the Illinois Gambling Act. For
15		the purposes of this Section, the terms "woman" and "minority
16		person" have the meanings provided in Section 2 of the Business
17		Enterprise for Minorities, Women, and Persons with
18		Disabilities Act.
19		(230 ILCS 10/7.15 new)
20		Sec. 7.15. Limitations on gaming at Chicago airports. The
21		Chicago casino may conduct gaming operations in an airport
22		under the administration or control of the Chicago Department
23		of Aviation. Gaming operations may be conducted pursuant to
24		this Section so long as: (i) gaming operations are conducted in
25		a secured area that is beyond the Transportation Security

SB0690 Enrolled - 670 - LRB101 04451 HLH 49459 b
1		Administration security checkpoints and only available to
2		airline passengers at least 21 years of age who are members of
3		a private club, and not to the general public, (ii) gaming
4		operations are limited to slot machines, as defined in Section
5		4 of the Illinois Gambling Act, and (iii) the combined number
6		of gaming positions operating in the City of Chicago at the
7		airports and at the temporary and permanent casino facility
8		does not exceed the maximum number of gaming positions
9		authorized pursuant to subsection (h) of Section 7 of the
10		Illinois Gambling Act. Gaming operations at an airport are
11		subject to all applicable laws and rules that apply to any
12		other gaming facility under the Illinois Gambling Act.
13		(230 ILCS 10/8) (from Ch. 120, par. 2408)
14		Sec. 8. Suppliers licenses.
15		(a) The Board may issue a suppliers license to such
16		persons, firms or corporations which apply therefor upon the
17		payment of a non-refundable application fee set by the Board,
18		upon a determination by the Board that the applicant is
19		eligible for a suppliers license and upon payment of a $5,000
20		annual license fee.
21		(b) The holder of a suppliers license is authorized to sell
22		or lease, and to contract to sell or lease, gambling equipment
23		and supplies to any licensee involved in the ownership or
24		management of gambling operations.
25		(c) Gambling supplies and equipment may not be distributed

SB0690 Enrolled - 671 - LRB101 04451 HLH 49459 b
1		unless supplies and equipment conform to standards adopted by
2		rules of the Board.
3		(d) A person, firm or corporation is ineligible to receive
4		a suppliers license if:
5		(1) the person has been convicted of a felony under the
6		laws of this State, any other state, or the United States;
7		(2) the person has been convicted of any violation of
8		Article 28 of the Criminal Code of 1961 or the Criminal
9		Code of 2012, or substantially similar laws of any other
10		jurisdiction;
11		(3) the person has submitted an application for a
12		license under this Act which contains false information;
13		(4) the person is a member of the Board;
14		(5) the entity firm or corporation is one in which a
15		person defined in (1), (2), (3) or (4), is an officer,
16		director or managerial employee;
17		(6) the firm or corporation employs a person who
18		participates in the management or operation of riverboat
19		gambling authorized under this Act;
20		(7) the license of the person, firm or corporation
21		issued under this Act, or a license to own or operate
22		gambling facilities in any other jurisdiction, has been
23		revoked.
24		(e) Any person that supplies any equipment, devices, or
25		supplies to a licensed riverboat gambling operation must first
26		obtain a suppliers license. A supplier shall furnish to the

SB0690 Enrolled - 672 - LRB101 04451 HLH 49459 b
1		Board a list of all equipment, devices and supplies offered for
2		sale or lease in connection with gambling games authorized
3		under this Act. A supplier shall keep books and records for the
4		furnishing of equipment, devices and supplies to gambling
5		operations separate and distinct from any other business that
6		the supplier might operate. A supplier shall file a quarterly
7		return with the Board listing all sales and leases. A supplier
8		shall permanently affix its name or a distinctive logo or other
9		mark or design element identifying the manufacturer or supplier
10		to all its equipment, devices, and supplies, except gaming
11		chips without a value impressed, engraved, or imprinted on it,
12		for gambling operations. The Board may waive this requirement
13		for any specific product or products if it determines that the
14		requirement is not necessary to protect the integrity of the
15		game. Items purchased from a licensed supplier may continue to
16		be used even though the supplier subsequently changes its name,
17		distinctive logo, or other mark or design element; undergoes a
18		change in ownership; or ceases to be licensed as a supplier for
19		any reason. Any supplier's equipment, devices or supplies which
20		are used by any person in an unauthorized gambling operation
21		shall be forfeited to the State. A holder of an owners license
22		or an organization gaming license A licensed owner may own its
23		own equipment, devices and supplies. Each holder of an owners
24		license or an organization gaming license under the Act shall
25		file an annual report listing its inventories of gambling
26		equipment, devices and supplies.

SB0690 Enrolled - 673 - LRB101 04451 HLH 49459 b
1		(f) Any person who knowingly makes a false statement on an
2		application is guilty of a Class A misdemeanor.
3		(g) Any gambling equipment, devices and supplies provided
4		by any licensed supplier may either be repaired on the
5		riverboat, in the casino, or at the organization gaming
6		facility or removed from the riverboat, casino, or organization
7		gaming facility to a an on-shore facility owned by the holder
8		of an owners license, organization gaming license, or suppliers
9		license for repair.
10		(Source: P.A. 97-1150, eff. 1-25-13; 98-12, eff. 5-10-13;
11		98-756, eff. 7-16-14.)
12		(230 ILCS 10/9) (from Ch. 120, par. 2409)
13		Sec. 9. Occupational licenses.
14		(a) The Board may issue an occupational license to an
15		applicant upon the payment of a non-refundable fee set by the
16		Board, upon a determination by the Board that the applicant is
17		eligible for an occupational license and upon payment of an
18		annual license fee in an amount to be established. To be
19		eligible for an occupational license, an applicant must:
20		(1) be at least 21 years of age if the applicant will
21		perform any function involved in gaming by patrons. Any
22		applicant seeking an occupational license for a non-gaming
23		function shall be at least 18 years of age;
24		(2) not have been convicted of a felony offense, a
25		violation of Article 28 of the Criminal Code of 1961 or the

SB0690 Enrolled - 674 - LRB101 04451 HLH 49459 b
1		Criminal Code of 2012, or a similar statute of any other
2		jurisdiction;
3		(2.5) not have been convicted of a crime, other than a
4		crime described in item (2) of this subsection (a),
5		involving dishonesty or moral turpitude, except that the
6		Board may, in its discretion, issue an occupational license
7		to a person who has been convicted of a crime described in
8		this item (2.5) more than 10 years prior to his or her
9		application and has not subsequently been convicted of any
10		other crime;
11		(3) have demonstrated a level of skill or knowledge
12		which the Board determines to be necessary in order to
13		operate gambling aboard a riverboat, in a casino, or at an
14		organization gaming facility; and
15		(4) have met standards for the holding of an
16		occupational license as adopted by rules of the Board. Such
17		rules shall provide that any person or entity seeking an
18		occupational license to manage gambling operations under
19		this Act hereunder shall be subject to background inquiries
20		and further requirements similar to those required of
21		applicants for an owners license. Furthermore, such rules
22		shall provide that each such entity shall be permitted to
23		manage gambling operations for only one licensed owner.
24		(b) Each application for an occupational license shall be
25		on forms prescribed by the Board and shall contain all
26		information required by the Board. The applicant shall set

SB0690 Enrolled - 675 - LRB101 04451 HLH 49459 b
1		forth in the application: whether he has been issued prior
2		gambling related licenses; whether he has been licensed in any
3		other state under any other name, and, if so, such name and his
4		age; and whether or not a permit or license issued to him in
5		any other state has been suspended, restricted or revoked, and,
6		if so, for what period of time.
7		(c) Each applicant shall submit with his application, on
8		forms provided by the Board, 2 sets of his fingerprints. The
9		Board shall charge each applicant a fee set by the Department
10		of State Police to defray the costs associated with the search
11		and classification of fingerprints obtained by the Board with
12		respect to the applicant's application. These fees shall be
13		paid into the State Police Services Fund.
14		(d) The Board may in its discretion refuse an occupational
15		license to any person: (1) who is unqualified to perform the
16		duties required of such applicant; (2) who fails to disclose or
17		states falsely any information called for in the application;
18		(3) who has been found guilty of a violation of this Act or
19		whose prior gambling related license or application therefor
20		has been suspended, restricted, revoked or denied for just
21		cause in any other state; or (4) for any other just cause.
22		(e) The Board may suspend, revoke or restrict any
23		occupational licensee: (1) for violation of any provision of
24		this Act; (2) for violation of any of the rules and regulations
25		of the Board; (3) for any cause which, if known to the Board,
26		would have disqualified the applicant from receiving such

SB0690 Enrolled - 676 - LRB101 04451 HLH 49459 b
1		license; or (4) for default in the payment of any obligation or
2		debt due to the State of Illinois; or (5) for any other just
3		cause.
4		(f) A person who knowingly makes a false statement on an
5		application is guilty of a Class A misdemeanor.
6		(g) Any license issued pursuant to this Section shall be
7		valid for a period of one year from the date of issuance.
8		(h) Nothing in this Act shall be interpreted to prohibit a
9		licensed owner or organization gaming licensee from entering
10		into an agreement with a public community college or a school
11		approved under the Private Business and Vocational Schools Act
12		of 2012 for the training of any occupational licensee. Any
13		training offered by such a school shall be in accordance with a
14		written agreement between the licensed owner or organization
15		gaming licensee and the school.
16		(i) Any training provided for occupational licensees may be
17		conducted either at the site of the gambling facility on the
18		riverboat or at a school with which a licensed owner or
19		organization gaming licensee has entered into an agreement
20		pursuant to subsection (h).
21		(Source: P.A. 96-1392, eff. 1-1-11; 97-650, eff. 2-1-12;
22		97-1150, eff. 1-25-13.)
23		(230 ILCS 10/11) (from Ch. 120, par. 2411)
24		Sec. 11. Conduct of gambling. Gambling may be conducted by
25		licensed owners or licensed managers on behalf of the State

SB0690 Enrolled - 677 - LRB101 04451 HLH 49459 b
1		aboard riverboats. Gambling may be conducted by organization
2		gaming licensees at organization gaming facilities. Gambling
3		authorized under this Section is , subject to the following
4		standards:
5		(1) A licensee may conduct riverboat gambling
6		authorized under this Act regardless of whether it conducts
7		excursion cruises. A licensee may permit the continuous
8		ingress and egress of patrons passengers on a riverboat not
9		used for excursion cruises for the purpose of gambling.
10		Excursion cruises shall not exceed 4 hours for a round
11		trip. However, the Board may grant express approval for an
12		extended cruise on a case-by-case basis.
13		(1.5) An owners licensee may conduct gambling
14		operations authorized under this Act 24 hours a day.
15		(2) (Blank).
16		(3) Minimum and maximum wagers on games shall be set by
17		the licensee.
18		(4) Agents of the Board and the Department of State
19		Police may board and inspect any riverboat, enter and
20		inspect any portion of a casino, or enter and inspect any
21		portion of an organization gaming facility at any time for
22		the purpose of determining whether this Act is being
23		complied with. Every riverboat, if under way and being
24		hailed by a law enforcement officer or agent of the Board,
25		must stop immediately and lay to.
26		(5) Employees of the Board shall have the right to be

SB0690 Enrolled - 678 - LRB101 04451 HLH 49459 b
1		present on the riverboat or in the casino or on adjacent
2		facilities under the control of the licensee and at the
3		organization gaming facility under the control of the
4		organization gaming licensee.
5		(6) Gambling equipment and supplies customarily used
6		in conducting riverboat gambling must be purchased or
7		leased only from suppliers licensed for such purpose under
8		this Act. The Board may approve the transfer, sale, or
9		lease of gambling equipment and supplies by a licensed
10		owner from or to an affiliate of the licensed owner as long
11		as the gambling equipment and supplies were initially
12		acquired from a supplier licensed in Illinois.
13		(7) Persons licensed under this Act shall permit no
14		form of wagering on gambling games except as permitted by
15		this Act.
16		(8) Wagers may be received only from a person present
17		on a licensed riverboat, in a casino, or at an organization
18		gaming facility. No person present on a licensed riverboat,
19		in a casino, or at an organization gaming facility shall
20		place or attempt to place a wager on behalf of another
21		person who is not present on the riverboat, in a casino, or
22		at the organization gaming facility.
23		(9) Wagering, including gaming authorized under
24		Section 7.7, shall not be conducted with money or other
25		negotiable currency.
26		(10) A person under age 21 shall not be permitted on an

SB0690 Enrolled - 679 - LRB101 04451 HLH 49459 b
1		area of a riverboat or casino where gambling is being
2		conducted or at an organization gaming facility where
3		gambling is being conducted, except for a person at least
4		18 years of age who is an employee of the riverboat or
5		casino gambling operation or gaming operation. No employee
6		under age 21 shall perform any function involved in
7		gambling by the patrons. No person under age 21 shall be
8		permitted to make a wager under this Act, and any winnings
9		that are a result of a wager by a person under age 21,
10		whether or not paid by a licensee, shall be treated as
11		winnings for the privilege tax purposes, confiscated, and
12		forfeited to the State and deposited into the Education
13		Assistance Fund.
14		(11) Gambling excursion cruises are permitted only
15		when the waterway for which the riverboat is licensed is
16		navigable, as determined by the Board in consultation with
17		the U.S. Army Corps of Engineers. This paragraph (11) does
18		not limit the ability of a licensee to conduct gambling
19		authorized under this Act when gambling excursion cruises
20		are not permitted.
21		(12) All tickets tokens, chips, or electronic cards
22		used to make wagers must be purchased (i) from a licensed
23		owner or manager, in the case of a riverboat, either aboard
24		a riverboat or at an onshore facility which has been
25		approved by the Board and which is located where the
26		riverboat docks, (ii) in the case of a casino, from a

SB0690 Enrolled - 680 - LRB101 04451 HLH 49459 b
1		licensed owner at the casino, or (iii) from an organization
2		gaming licensee at the organization gaming facility. The
3		tickets tokens, chips, or electronic cards may be purchased
4		by means of an agreement under which the owner or manager
5		extends credit to the patron. Such tickets tokens, chips,
6		or electronic cards may be used while aboard the riverboat,
7		in the casino, or at the organization gaming facility only
8		for the purpose of making wagers on gambling games.
9		(13) Notwithstanding any other Section of this Act, in
10		addition to the other licenses authorized under this Act,
11		the Board may issue special event licenses allowing persons
12		who are not otherwise licensed to conduct riverboat
13		gambling to conduct such gambling on a specified date or
14		series of dates. Riverboat gambling under such a license
15		may take place on a riverboat not normally used for
16		riverboat gambling. The Board shall establish standards,
17		fees and fines for, and limitations upon, such licenses,
18		which may differ from the standards, fees, fines and
19		limitations otherwise applicable under this Act. All such
20		fees shall be deposited into the State Gaming Fund. All
21		such fines shall be deposited into the Education Assistance
22		Fund, created by Public Act 86-0018, of the State of
23		Illinois.
24		(14) In addition to the above, gambling must be
25		conducted in accordance with all rules adopted by the
26		Board.

SB0690 Enrolled - 681 - LRB101 04451 HLH 49459 b
1		(Source: P.A. 96-1392, eff. 1-1-11.)
2		(230 ILCS 10/11.1) (from Ch. 120, par. 2411.1)
3		Sec. 11.1. Collection of amounts owing under credit
4		agreements. Notwithstanding any applicable statutory provision
5		to the contrary, a licensed owner, licensed or manager, or
6		organization gaming licensee who extends credit to a riverboat
7		gambling patron pursuant to paragraph (12) of Section 11
8		Section 11 (a) (12) of this Act is expressly authorized to
9		institute a cause of action to collect any amounts due and
10		owing under the extension of credit, as well as the licensed
11		owner's, licensed or manager's, or organization gaming
12		licensee's costs, expenses and reasonable attorney's fees
13		incurred in collection.
14		(Source: P.A. 93-28, eff. 6-20-03.)
15		(230 ILCS 10/12) (from Ch. 120, par. 2412)
16		Sec. 12. Admission tax; fees.
17		(a) A tax is hereby imposed upon admissions to riverboat
18		and casino gambling facilities riverboats operated by licensed
19		owners authorized pursuant to this Act. Until July 1, 2002, the
20		rate is $2 per person admitted. From July 1, 2002 until July 1,
21		2003, the rate is $3 per person admitted. From July 1, 2003
22		until August 23, 2005 (the effective date of Public Act
23		94-673), for a licensee that admitted 1,000,000 persons or
24		fewer in the previous calendar year, the rate is $3 per person

SB0690 Enrolled - 682 - LRB101 04451 HLH 49459 b
1		admitted; for a licensee that admitted more than 1,000,000 but
2		no more than 2,300,000 persons in the previous calendar year,
3		the rate is $4 per person admitted; and for a licensee that
4		admitted more than 2,300,000 persons in the previous calendar
5		year, the rate is $5 per person admitted. Beginning on August
6		23, 2005 (the effective date of Public Act 94-673), for a
7		licensee that admitted 1,000,000 persons or fewer in calendar
8		year 2004, the rate is $2 per person admitted, and for all
9		other licensees, including licensees that were not conducting
10		gambling operations in 2004, the rate is $3 per person
11		admitted. This admission tax is imposed upon the licensed owner
12		conducting gambling.
13		(1) The admission tax shall be paid for each admission,
14		except that a person who exits a riverboat gambling
15		facility and reenters that riverboat gambling facility
16		within the same gaming day shall be subject only to the
17		initial admission tax.
18		(2) (Blank).
19		(3) The riverboat licensee may issue tax-free passes to
20		actual and necessary officials and employees of the
21		licensee or other persons actually working on the
22		riverboat.
23		(4) The number and issuance of tax-free passes is
24		subject to the rules of the Board, and a list of all
25		persons to whom the tax-free passes are issued shall be
26		filed with the Board.

SB0690 Enrolled - 683 - LRB101 04451 HLH 49459 b
1		(a-5) A fee is hereby imposed upon admissions operated by
2		licensed managers on behalf of the State pursuant to Section
3		7.3 at the rates provided in this subsection (a-5). For a
4		licensee that admitted 1,000,000 persons or fewer in the
5		previous calendar year, the rate is $3 per person admitted; for
6		a licensee that admitted more than 1,000,000 but no more than
7		2,300,000 persons in the previous calendar year, the rate is $4
8		per person admitted; and for a licensee that admitted more than
9		2,300,000 persons in the previous calendar year, the rate is $5
10		per person admitted.
11		(1) The admission fee shall be paid for each admission.
12		(2) (Blank).
13		(3) The licensed manager may issue fee-free passes to
14		actual and necessary officials and employees of the manager
15		or other persons actually working on the riverboat.
16		(4) The number and issuance of fee-free passes is
17		subject to the rules of the Board, and a list of all
18		persons to whom the fee-free passes are issued shall be
19		filed with the Board.
20		(b) Except as provided in subsection (b-5), from From the
21		tax imposed under subsection (a) and the fee imposed under
22		subsection (a-5), a municipality shall receive from the State
23		$1 for each person embarking on a riverboat docked within the
24		municipality or entering a casino located within the
25		municipality, and a county shall receive $1 for each person
26		entering a casino or embarking on a riverboat docked within the

SB0690 Enrolled - 684 - LRB101 04451 HLH 49459 b
1		county but outside the boundaries of any municipality. The
2		municipality's or county's share shall be collected by the
3		Board on behalf of the State and remitted quarterly by the
4		State, subject to appropriation, to the treasurer of the unit
5		of local government for deposit in the general fund.
6		(b-5) From the tax imposed under subsection (a) and the fee
7		imposed under subsection (a-5), $1 for each person embarking on
8		a riverboat designated in paragraph (4) of subsection (e-5) of
9		Section 7 shall be divided as follows: $0.70 to the City of
10		Rockford, $0.05 to the City of Loves Park, $0.05 to the Village
11		of Machesney Park, and $0.20 to Winnebago County.
12		The municipality's or county's share shall be collected by
13		the Board on behalf of the State and remitted monthly by the
14		State, subject to appropriation, to the treasurer of the unit
15		of local government for deposit in the general fund.
16		(b-10) From the tax imposed under subsection (a) and the
17		fee imposed under subsection (a-5), $1 for each person
18		embarking on a riverboat or entering a casino designated in
19		paragraph (1) of subsection (e-5) of Section 7 shall be divided
20		as follows: $0.70 to the City of Chicago, $0.15 to the Village
21		of Maywood, and $0.15 to the Village of Summit.
22		The municipality's or county's share shall be collected by
23		the Board on behalf of the State and remitted monthly by the
24		State, subject to appropriation, to the treasurer of the unit
25		of local government for deposit in the general fund.
26		(b-15) From the tax imposed under subsection (a) and the

SB0690 Enrolled - 685 - LRB101 04451 HLH 49459 b
1		fee imposed under subsection (a-5), $1 for each person
2		embarking on a riverboat or entering a casino designated in
3		paragraph (2) of subsection (e-5) of Section 7 shall be divided
4		as follows: $0.70 to the City of Danville and $0.30 to
5		Vermilion County.
6		The municipality's or county's share shall be collected by
7		the Board on behalf of the State and remitted monthly by the
8		State, subject to appropriation, to the treasurer of the unit
9		of local government for deposit in the general fund.
10		(c) The licensed owner shall pay the entire admission tax
11		to the Board and the licensed manager shall pay the entire
12		admission fee to the Board. Such payments shall be made daily.
13		Accompanying each payment shall be a return on forms provided
14		by the Board which shall include other information regarding
15		admissions as the Board may require. Failure to submit either
16		the payment or the return within the specified time may result
17		in suspension or revocation of the owners or managers license.
18		(c-5) A tax is imposed on admissions to organization gaming
19		facilities at the rate of $3 per person admitted by an
20		organization gaming licensee. The tax is imposed upon the
21		organization gaming licensee.
22		(1) The admission tax shall be paid for each admission,
23		except that a person who exits an organization gaming
24		facility and reenters that organization gaming facility
25		within the same gaming day, as the term "gaming day" is
26		defined by the Board by rule, shall be subject only to the

SB0690 Enrolled - 686 - LRB101 04451 HLH 49459 b
1		initial admission tax. The Board shall establish, by rule,
2		a procedure to determine whether a person admitted to an
3		organization gaming facility has paid the admission tax.
4		(2) An organization gaming licensee may issue tax-free
5		passes to actual and necessary officials and employees of
6		the licensee and other persons associated with its gaming
7		operations.
8		(3) The number and issuance of tax-free passes is
9		subject to the rules of the Board, and a list of all
10		persons to whom the tax-free passes are issued shall be
11		filed with the Board.
12		(4) The organization gaming licensee shall pay the
13		entire admission tax to the Board.
14		Such payments shall be made daily. Accompanying each
15		payment shall be a return on forms provided by the Board, which
16		shall include other information regarding admission as the
17		Board may require. Failure to submit either the payment or the
18		return within the specified time may result in suspension or
19		revocation of the organization gaming license.
20		From the tax imposed under this subsection (c-5), a
21		municipality other than the Village of Stickney or the City of
22		Collinsville in which an organization gaming facility is
23		located, or if the organization gaming facility is not located
24		within a municipality, then the county in which the
25		organization gaming facility is located, except as otherwise
26		provided in this Section, shall receive, subject to

SB0690 Enrolled - 687 - LRB101 04451 HLH 49459 b
1		appropriation, $1 for each person who enters the organization
2		gaming facility. For each admission to the organization gaming
3		facility in excess of 1,500,000 in a year, from the tax imposed
4		under this subsection (c-5), the county in which the
5		organization gaming facility is located shall receive, subject
6		to appropriation, $0.30, which shall be in addition to any
7		other moneys paid to the county under this Section.
8		From the tax imposed under this subsection (c-5) on an
9		organization gaming facility located in the Village of
10		Stickney, $1 for each person who enters the organization gaming
11		facility shall be distributed as follows, subject to
12		appropriation: $0.24 to the Village of Stickney, $0.49 to the
13		Town of Cicero, $0.05 to the City of Berwyn, and $0.17 to the
14		Stickney Public Health District, and $0.05 to the City of
15		Bridgeview.
16		From the tax imposed under this subsection (c-5) on an
17		organization gaming facility located in the City of
18		Collinsville, the following shall each receive 10 cents for
19		each person who enters the organization gaming facility,
20		subject to appropriation: the Village of Alorton; the Village
21		of Washington Park; State Park Place; the Village of Fairmont
22		City; the City of Centreville; the Village of Brooklyn; the
23		City of Venice; the City of Madison; the Village of Caseyville;
24		and the Village of Pontoon Beach.
25		On the 25th day of each month, all amounts remaining after
26		payments required under this subsection (c-5) have been made

SB0690 Enrolled - 688 - LRB101 04451 HLH 49459 b
1		shall be transferred into the Capital Projects Fund.
2		(d) The Board shall administer and collect the admission
3		tax imposed by this Section, to the extent practicable, in a
4		manner consistent with the provisions of Sections 4, 5, 5a, 5b,
5		5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of the
6		Retailers' Occupation Tax Act and Section 3-7 of the Uniform
7		Penalty and Interest Act.
8		(Source: P.A. 95-663, eff. 10-11-07; 96-1392, eff. 1-1-11.)
9		(230 ILCS 10/13) (from Ch. 120, par. 2413)
10		Sec. 13. Wagering tax; rate; distribution.
11		(a) Until January 1, 1998, a tax is imposed on the adjusted
12		gross receipts received from gambling games authorized under
13		this Act at the rate of 20%.
14		(a-1) From January 1, 1998 until July 1, 2002, a privilege
15		tax is imposed on persons engaged in the business of conducting
16		riverboat gambling operations, based on the adjusted gross
17		receipts received by a licensed owner from gambling games
18		authorized under this Act at the following rates:
19		15% of annual adjusted gross receipts up to and
20		including $25,000,000;
21		20% of annual adjusted gross receipts in excess of
22		$25,000,000 but not exceeding $50,000,000;
23		25% of annual adjusted gross receipts in excess of
24		$50,000,000 but not exceeding $75,000,000;
25		30% of annual adjusted gross receipts in excess of

SB0690 Enrolled - 689 - LRB101 04451 HLH 49459 b
1		$75,000,000 but not exceeding $100,000,000;
2		35% of annual adjusted gross receipts in excess of
3		$100,000,000.
4		(a-2) From July 1, 2002 until July 1, 2003, a privilege tax
5		is imposed on persons engaged in the business of conducting
6		riverboat gambling operations, other than licensed managers
7		conducting riverboat gambling operations on behalf of the
8		State, based on the adjusted gross receipts received by a
9		licensed owner from gambling games authorized under this Act at
10		the following rates:
11		15% of annual adjusted gross receipts up to and
12		including $25,000,000;
13		22.5% of annual adjusted gross receipts in excess of
14		$25,000,000 but not exceeding $50,000,000;
15		27.5% of annual adjusted gross receipts in excess of
16		$50,000,000 but not exceeding $75,000,000;
17		32.5% of annual adjusted gross receipts in excess of
18		$75,000,000 but not exceeding $100,000,000;
19		37.5% of annual adjusted gross receipts in excess of
20		$100,000,000 but not exceeding $150,000,000;
21		45% of annual adjusted gross receipts in excess of
22		$150,000,000 but not exceeding $200,000,000;
23		50% of annual adjusted gross receipts in excess of
24		$200,000,000.
25		(a-3) Beginning July 1, 2003, a privilege tax is imposed on
26		persons engaged in the business of conducting riverboat

SB0690 Enrolled - 690 - LRB101 04451 HLH 49459 b
1		gambling operations, other than licensed managers conducting
2		riverboat gambling operations on behalf of the State, based on
3		the adjusted gross receipts received by a licensed owner from
4		gambling games authorized under this Act at the following
5		rates:
6		15% of annual adjusted gross receipts up to and
7		including $25,000,000;
8		27.5% of annual adjusted gross receipts in excess of
9		$25,000,000 but not exceeding $37,500,000;
10		32.5% of annual adjusted gross receipts in excess of
11		$37,500,000 but not exceeding $50,000,000;
12		37.5% of annual adjusted gross receipts in excess of
13		$50,000,000 but not exceeding $75,000,000;
14		45% of annual adjusted gross receipts in excess of
15		$75,000,000 but not exceeding $100,000,000;
16		50% of annual adjusted gross receipts in excess of
17		$100,000,000 but not exceeding $250,000,000;
18		70% of annual adjusted gross receipts in excess of
19		$250,000,000.
20		An amount equal to the amount of wagering taxes collected
21		under this subsection (a-3) that are in addition to the amount
22		of wagering taxes that would have been collected if the
23		wagering tax rates under subsection (a-2) were in effect shall
24		be paid into the Common School Fund.
25		The privilege tax imposed under this subsection (a-3) shall
26		no longer be imposed beginning on the earlier of (i) July 1,

SB0690 Enrolled - 691 - LRB101 04451 HLH 49459 b
1		2005; (ii) the first date after June 20, 2003 that riverboat
2		gambling operations are conducted pursuant to a dormant
3		license; or (iii) the first day that riverboat gambling
4		operations are conducted under the authority of an owners
5		license that is in addition to the 10 owners licenses initially
6		authorized under this Act. For the purposes of this subsection
7		(a-3), the term "dormant license" means an owners license that
8		is authorized by this Act under which no riverboat gambling
9		operations are being conducted on June 20, 2003.
10		(a-4) Beginning on the first day on which the tax imposed
11		under subsection (a-3) is no longer imposed and ending upon the
12		imposition of the privilege tax under subsection (a-5) of this
13		Section, a privilege tax is imposed on persons engaged in the
14		business of conducting riverboat gambling operations, other
15		than licensed managers conducting riverboat gambling
16		operations on behalf of the State, based on the adjusted gross
17		receipts received by a licensed owner from gambling games
18		authorized under this Act at the following rates:
19		15% of annual adjusted gross receipts up to and
20		including $25,000,000;
21		22.5% of annual adjusted gross receipts in excess of
22		$25,000,000 but not exceeding $50,000,000;
23		27.5% of annual adjusted gross receipts in excess of
24		$50,000,000 but not exceeding $75,000,000;
25		32.5% of annual adjusted gross receipts in excess of
26		$75,000,000 but not exceeding $100,000,000;

SB0690 Enrolled - 692 - LRB101 04451 HLH 49459 b
1		37.5% of annual adjusted gross receipts in excess of
2		$100,000,000 but not exceeding $150,000,000;
3		45% of annual adjusted gross receipts in excess of
4		$150,000,000 but not exceeding $200,000,000;
5		50% of annual adjusted gross receipts in excess of
6		$200,000,000.
7		For the imposition of the privilege tax in this subsection
8		(a-4), amounts paid pursuant to item (1) of subsection (b) of
9		Section 56 of the Illinois Horse Racing Act of 1975 shall not
10		be included in the determination of adjusted gross receipts.
11		(a-5) Beginning on the first day that an owners licensee
12		under paragraph (1), (2), (3), (4), (5), or (6) of subsection
13		(e-5) of Section 7 conducts gambling operations, either in a
14		temporary facility or a permanent facility, a privilege tax is
15		imposed on persons engaged in the business of conducting
16		gambling operations, other than licensed managers conducting
17		riverboat gambling operations on behalf of the State, based on
18		the adjusted gross receipts received by such licensee from the
19		gambling games authorized under this Act. The privilege tax for
20		all gambling games other than table games, including, but not
21		limited to, slot machines, video game of chance gambling, and
22		electronic gambling games shall be at the following rates:
23		15% of annual adjusted gross receipts up to and
24		including $25,000,000;
25		22.5% of annual adjusted gross receipts in excess of
26		$25,000,000 but not exceeding $50,000,000;

SB0690 Enrolled - 693 - LRB101 04451 HLH 49459 b
1		27.5% of annual adjusted gross receipts in excess of
2		$50,000,000 but not exceeding $75,000,000;
3		32.5% of annual adjusted gross receipts in excess of
4		$75,000,000 but not exceeding $100,000,000;
5		37.5% of annual adjusted gross receipts in excess of
6		$100,000,000 but not exceeding $150,000,000;
7		45% of annual adjusted gross receipts in excess of
8		$150,000,000 but not exceeding $200,000,000;
9		50% of annual adjusted gross receipts in excess of
10		$200,000,000.
11		The privilege tax for table games shall be at the following
12		rates:
13		15% of annual adjusted gross receipts up to and
14		including $25,000,000;
15		20% of annual adjusted gross receipts in excess of
16		$25,000,000.
17		For the imposition of the privilege tax in this subsection
18		(a-5), amounts paid pursuant to item (1) of subsection (b) of
19		Section 56 of the Illinois Horse Racing Act of 1975 shall not
20		be included in the determination of adjusted gross receipts.
21		Notwithstanding the provisions of this subsection (a-5),
22		for the first 10 years that the privilege tax is imposed under
23		this subsection (a-5), the privilege tax shall be imposed on
24		the modified annual adjusted gross receipts of a riverboat or
25		casino conducting gambling operations in the City of East St.
26		Louis, unless:

SB0690 Enrolled - 694 - LRB101 04451 HLH 49459 b
1		(1) the riverboat or casino fails to employ at least
2		450 people;
3		(2) the riverboat or casino fails to maintain
4		operations in a manner consistent with this Act or is not a
5		viable riverboat or casino subject to the approval of the
6		Board; or
7		(3) the owners licensee is not an entity in which
8		employees participate in an employee stock ownership plan.
9		As used in this subsection (a-5), "modified annual adjusted
10		gross receipts" means:
11		(A) for calendar year 2020, the annual adjusted gross
12		receipts for the current year minus the difference between
13		an amount equal to the average annual adjusted gross
14		receipts from a riverboat or casino conducting gambling
15		operations in the City of East St. Louis for 2014, 2015,
16		2016, 2017, and 2018 and the annual adjusted gross receipts
17		for 2018;
18		(B) for calendar year 2021, the annual adjusted gross
19		receipts for the current year minus the difference between
20		an amount equal to the average annual adjusted gross
21		receipts from a riverboat or casino conducting gambling
22		operations in the City of East St. Louis for 2014, 2015,
23		2016, 2017, and 2018 and the annual adjusted gross receipts
24		for 2019; and
25		(C) for calendar years 2022 through 2029, the annual
26		adjusted gross receipts for the current year minus the

SB0690 Enrolled - 695 - LRB101 04451 HLH 49459 b
1		difference between an amount equal to the average annual
2		adjusted gross receipts from a riverboat or casino
3		conducting gambling operations in the City of East St.
4		Louis for 3 years preceding the current year and the annual
5		adjusted gross receipts for the immediately preceding
6		year.
7		(a-5.5) In addition to the privilege tax imposed under
8		subsection (a-5), a privilege tax is imposed on the owners
9		licensee under paragraph (1) of subsection (e-5) of Section 7
10		at the rate of one-third of the owners licensee's adjusted
11		gross receipts.
12		For the imposition of the privilege tax in this subsection
13		(a-5.5), amounts paid pursuant to item (1) of subsection (b) of
14		Section 56 of the Illinois Horse Racing Act of 1975 shall not
15		be included in the determination of adjusted gross receipts.
16		(a-6) From the effective date of this amendatory Act of the
17		101st General Assembly until June 30, 2023, an owners licensee
18		that conducted gambling operations prior to January 1, 2011
19		shall receive a dollar-for-dollar credit against the tax
20		imposed under this Section for any renovation or construction
21		costs paid by the owners licensee, but in no event shall the
22		credit exceed $2,000,000.
23		Additionally, from the effective date of this amendatory
24		Act of the 101st General Assembly until December 31, 2022, an
25		owners licensee that (i) is located within 15 miles of the
26		Missouri border, and (ii) has at least 3 riverboats, casinos,

SB0690 Enrolled - 696 - LRB101 04451 HLH 49459 b
1		or their equivalent within a 45-mile radius, may be authorized
2		to relocate to a new location with the approval of both the
3		unit of local government designated as the home dock and the
4		Board, so long as the new location is within the same unit of
5		local government and no more than 3 miles away from its
6		original location. Such owners licensee shall receive a credit
7		against the tax imposed under this Section equal to 8% of the
8		total project costs, as approved by the Board, for any
9		renovation or construction costs paid by the owners licensee
10		for the construction of the new facility, provided that the new
11		facility is operational by July 1, 2022. In determining whether
12		or not to approve a relocation, the Board must consider the
13		extent to which the relocation will diminish the gaming
14		revenues received by other Illinois gaming facilities.
15		(a-7) Beginning in the initial adjustment year and through
16		the final adjustment year, if the total obligation imposed
17		pursuant to either subsection (a-5) or (a-6) will result in an
18		owners licensee receiving less after-tax adjusted gross
19		receipts than it received in calendar year 2018, then the total
20		amount of privilege taxes that the owners licensee is required
21		to pay for that calendar year shall be reduced to the extent
22		necessary so that the after-tax adjusted gross receipts in that
23		calendar year equals the after-tax adjusted gross receipts in
24		calendar year 2018, but the privilege tax reduction shall not
25		exceed the annual adjustment cap. If pursuant to this
26		subsection (a-7), the total obligation imposed pursuant to

SB0690 Enrolled - 697 - LRB101 04451 HLH 49459 b
1		either subsection (a-5) or (a-6) shall be reduced, then the
2		owners licensee shall not receive a refund from the State at
3		the end of the subject calendar year but instead shall be able
4		to apply that amount as a credit against any payments it owes
5		to the State in the following calendar year to satisfy its
6		total obligation under either subsection (a-5) or (a-6). The
7		credit for the final adjustment year shall occur in the
8		calendar year following the final adjustment year.
9		If an owners licensee that conducted gambling operations
10		prior to January 1, 2019 expands its riverboat or casino,
11		including, but not limited to, with respect to its gaming
12		floor, additional non-gaming amenities such as restaurants,
13		bars, and hotels and other additional facilities, and incurs
14		construction and other costs related to such expansion from the
15		effective date of this amendatory Act of the 101st General
16		Assembly until the 5th anniversary of the effective date of
17		this amendatory Act of the 101st General Assembly, then for
18		each $15,000,000 spent for any such construction or other costs
19		related to expansion paid by the owners licensee, the final
20		adjustment year shall be extended by one year and the annual
21		adjustment cap shall increase by 0.2% of adjusted gross
22		receipts during each calendar year until and including the
23		final adjustment year. No further modifications to the final
24		adjustment year or annual adjustment cap shall be made after
25		$75,000,000 is incurred in construction or other costs related
26		to expansion so that the final adjustment year shall not extend

SB0690 Enrolled - 698 - LRB101 04451 HLH 49459 b
1		beyond the 9th calendar year after the initial adjustment year,
2		not including the initial adjustment year, and the annual
3		adjustment cap shall not exceed 4% of adjusted gross receipts
4		in a particular calendar year. Construction and other costs
5		related to expansion shall include all project related costs,
6		including, but not limited to, all hard and soft costs,
7		financing costs, on or off-site ground, road or utility work,
8		cost of gaming equipment and all other personal property,
9		initial fees assessed for each incremental gaming position, and
10		the cost of incremental land acquired for such expansion. Soft
11		costs shall include, but not be limited to, legal fees,
12		architect, engineering and design costs, other consultant
13		costs, insurance cost, permitting costs, and pre-opening costs
14		related to the expansion, including, but not limited to, any of
15		the following: marketing, real estate taxes, personnel,
16		training, travel and out-of-pocket expenses, supply,
17		inventory, and other costs, and any other project related soft
18		costs.
19		To be eligible for the tax credits in subsection (a-6), all
20		construction contracts shall include a requirement that the
21		contractor enter into a project labor agreement with the
22		building and construction trades council with geographic
23		jurisdiction of the location of the proposed gaming facility.
24		Notwithstanding any other provision of this subsection
25		(a-7), this subsection (a-7) does not apply to an owners
26		licensee unless such owners licensee spends at least

SB0690 Enrolled - 699 - LRB101 04451 HLH 49459 b
1		$15,000,000 on construction and other costs related to its
2		expansion, excluding the initial fees assessed for each
3		incremental gaming position.
4		This subsection (a-7) does not apply to owners licensees
5		authorized pursuant to subsection (e-5) of Section 7 of this
6		Act.
7		For purposes of this subsection (a-7):
8		"Building and construction trades council" means any
9		organization representing multiple construction entities that
10		are monitoring or attentive to compliance with public or
11		workers' safety laws, wage and hour requirements, or other
12		statutory requirements or that are making or maintaining
13		collective bargaining agreements.
14		"Initial adjustment year" means the year commencing on
15		January 1 of the calendar year immediately following the
16		earlier of the following:
17		(1) the commencement of gambling operations, either in
18		a temporary or permanent facility, with respect to the
19		owners license authorized under paragraph (1) of
20		subsection (e-5) of Section 7 of this Act; or
21		(2) 24 months after the effective date of this
22		amendatory Act of the 101st General Assembly, provided the
23		initial adjustment year shall not commence earlier than 12
24		months after the effective date of this amendatory Act of
25		the 101st General Assembly.
26		"Final adjustment year" means the 2nd calendar year after

SB0690 Enrolled - 700 - LRB101 04451 HLH 49459 b
1		the initial adjustment year, not including the initial
2		adjustment year, and as may be extended further as described in
3		this subsection (a-7).
4		"Annual adjustment cap" means 3% of adjusted gross receipts
5		in a particular calendar year, and as may be increased further
6		as otherwise described in this subsection (a-7).
7		(a-8) Riverboat gambling operations conducted by a
8		licensed manager on behalf of the State are not subject to the
9		tax imposed under this Section.
10		(a-9) Beginning on January 1, 2020, the calculation of
11		gross receipts or adjusted gross receipts, for the purposes of
12		this Section, for a riverboat, a casino, or an organization
13		gaming facility shall not include the dollar amount of
14		non-cashable vouchers, coupons, and electronic promotions
15		redeemed by wagerers upon the riverboat, in the casino, or in
16		the organization gaming facility up to and including an amount
17		not to exceed 20% of a riverboat's, a casino's, or an
18		organization gaming facility's adjusted gross receipts.
19		The Illinois Gaming Board shall submit to the General
20		Assembly a comprehensive report no later than March 31, 2023
21		detailing, at a minimum, the effect of removing non-cashable
22		vouchers, coupons, and electronic promotions from this
23		calculation on net gaming revenues to the State in calendar
24		years 2020 through 2022, the increase or reduction in wagerers
25		as a result of removing non-cashable vouchers, coupons, and
26		electronic promotions from this calculation, the effect of the

SB0690 Enrolled - 701 - LRB101 04451 HLH 49459 b
1		tax rates in subsection (a-5) on net gaming revenues to this
2		State, and proposed modifications to the calculation.
3		(a-10) The taxes imposed by this Section shall be paid by
4		the licensed owner or the organization gaming licensee to the
5		Board not later than 5:00 o'clock p.m. of the day after the day
6		when the wagers were made.
7		(a-15) If the privilege tax imposed under subsection (a-3)
8		is no longer imposed pursuant to item (i) of the last paragraph
9		of subsection (a-3), then by June 15 of each year, each owners
10		licensee, other than an owners licensee that admitted 1,000,000
11		persons or fewer in calendar year 2004, must, in addition to
12		the payment of all amounts otherwise due under this Section,
13		pay to the Board a reconciliation payment in the amount, if
14		any, by which the licensed owner's base amount exceeds the
15		amount of net privilege tax paid by the licensed owner to the
16		Board in the then current State fiscal year. A licensed owner's
17		net privilege tax obligation due for the balance of the State
18		fiscal year shall be reduced up to the total of the amount paid
19		by the licensed owner in its June 15 reconciliation payment.
20		The obligation imposed by this subsection (a-15) is binding on
21		any person, firm, corporation, or other entity that acquires an
22		ownership interest in any such owners license. The obligation
23		imposed under this subsection (a-15) terminates on the earliest
24		of: (i) July 1, 2007, (ii) the first day after the effective
25		date of this amendatory Act of the 94th General Assembly that
26		riverboat gambling operations are conducted pursuant to a

SB0690 Enrolled - 702 - LRB101 04451 HLH 49459 b
1		dormant license, (iii) the first day that riverboat gambling
2		operations are conducted under the authority of an owners
3		license that is in addition to the 10 owners licenses initially
4		authorized under this Act, or (iv) the first day that a
5		licensee under the Illinois Horse Racing Act of 1975 conducts
6		gaming operations with slot machines or other electronic gaming
7		devices. The Board must reduce the obligation imposed under
8		this subsection (a-15) by an amount the Board deems reasonable
9		for any of the following reasons: (A) an act or acts of God,
10		(B) an act of bioterrorism or terrorism or a bioterrorism or
11		terrorism threat that was investigated by a law enforcement
12		agency, or (C) a condition beyond the control of the owners
13		licensee that does not result from any act or omission by the
14		owners licensee or any of its agents and that poses a hazardous
15		threat to the health and safety of patrons. If an owners
16		licensee pays an amount in excess of its liability under this
17		Section, the Board shall apply the overpayment to future
18		payments required under this Section.
19		For purposes of this subsection (a-15):
20		"Act of God" means an incident caused by the operation of
21		an extraordinary force that cannot be foreseen, that cannot be
22		avoided by the exercise of due care, and for which no person
23		can be held liable.
24		"Base amount" means the following:
25		For a riverboat in Alton, $31,000,000.
26		For a riverboat in East Peoria, $43,000,000.

SB0690 Enrolled - 703 - LRB101 04451 HLH 49459 b
1		For the Empress riverboat in Joliet, $86,000,000.
2		For a riverboat in Metropolis, $45,000,000.
3		For the Harrah's riverboat in Joliet, $114,000,000.
4		For a riverboat in Aurora, $86,000,000.
5		For a riverboat in East St. Louis, $48,500,000.
6		For a riverboat in Elgin, $198,000,000.
7		"Dormant license" has the meaning ascribed to it in
8		subsection (a-3).
9		"Net privilege tax" means all privilege taxes paid by a
10		licensed owner to the Board under this Section, less all
11		payments made from the State Gaming Fund pursuant to subsection
12		(b) of this Section.
13		The changes made to this subsection (a-15) by Public Act
14		94-839 are intended to restate and clarify the intent of Public
15		Act 94-673 with respect to the amount of the payments required
16		to be made under this subsection by an owners licensee to the
17		Board.
18		(b) From Until January 1, 1998, 25% of the tax revenue
19		deposited in the State Gaming Fund under this Section shall be
20		paid, subject to appropriation by the General Assembly, to the
21		unit of local government which is designated as the home dock
22		of the riverboat. Beginning January 1, 1998, from the tax
23		revenue from riverboat or casino gambling deposited in the
24		State Gaming Fund under this Section, an amount equal to 5% of
25		adjusted gross receipts generated by a riverboat or a casino,
26		other than a riverboat or casino designated in paragraph (1),

SB0690 Enrolled - 704 - LRB101 04451 HLH 49459 b
1		(3), or (4) of subsection (e-5) of Section 7, shall be paid
2		monthly, subject to appropriation by the General Assembly, to
3		the unit of local government in which the casino is located or
4		that is designated as the home dock of the riverboat.
5		Notwithstanding anything to the contrary, beginning on the
6		first day that an owners licensee under paragraph (1), (2),
7		(3), (4), (5), or (6) of subsection (e-5) of Section 7 conducts
8		gambling operations, either in a temporary facility or a
9		permanent facility, and for 2 years thereafter, a unit of local
10		government designated as the home dock of a riverboat whose
11		license was issued before January 1, 2019, other than a
12		riverboat conducting gambling operations in the City of East
13		St. Louis, shall not receive less under this subsection (b)
14		than the amount the unit of local government received under
15		this subsection (b) in calendar year 2018. Notwithstanding
16		anything to the contrary and because the City of East St. Louis
17		is a financially distressed city, beginning on the first day
18		that an owners licensee under paragraph (1), (2), (3), (4),
19		(5), or (6) of subsection (e-5) of Section 7 conducts gambling
20		operations, either in a temporary facility or a permanent
21		facility, and for 10 years thereafter, a unit of local
22		government designated as the home dock of a riverboat
23		conducting gambling operations in the City of East St. Louis
24		shall not receive less under this subsection (b) than the
25		amount the unit of local government received under this
26		subsection (b) in calendar year 2018.

SB0690 Enrolled - 705 - LRB101 04451 HLH 49459 b
1		From the tax revenue deposited in the State Gaming Fund
2		pursuant to riverboat or casino gambling operations conducted
3		by a licensed manager on behalf of the State, an amount equal
4		to 5% of adjusted gross receipts generated pursuant to those
5		riverboat or casino gambling operations shall be paid monthly,
6		subject to appropriation by the General Assembly, to the unit
7		of local government that is designated as the home dock of the
8		riverboat upon which those riverboat gambling operations are
9		conducted or in which the casino is located.
10		From the tax revenue from riverboat or casino gambling
11		deposited in the State Gaming Fund under this Section, an
12		amount equal to 5% of the adjusted gross receipts generated by
13		a riverboat designated in paragraph (3) of subsection (e-5) of
14		Section 7 shall be divided and remitted monthly, subject to
15		appropriation, as follows: 70% to Waukegan, 10% to Park City,
16		15% to North Chicago, and 5% to Lake County.
17		From the tax revenue from riverboat or casino gambling
18		deposited in the State Gaming Fund under this Section, an
19		amount equal to 5% of the adjusted gross receipts generated by
20		a riverboat designated in paragraph (4) of subsection (e-5) of
21		Section 7 shall be remitted monthly, subject to appropriation,
22		as follows: 70% to the City of Rockford, 5% to the City of
23		Loves Park, 5% to the Village of Machesney, and 20% to
24		Winnebago County.
25		From the tax revenue from riverboat or casino gambling
26		deposited in the State Gaming Fund under this Section, an

SB0690 Enrolled - 706 - LRB101 04451 HLH 49459 b
1		amount equal to 5% of the adjusted gross receipts generated by
2		a riverboat designated in paragraph (5) of subsection (e-5) of
3		Section 7 shall be remitted monthly, subject to appropriation,
4		as follows: 2% to the unit of local government in which the
5		riverboat or casino is located, and 3% shall be distributed:
6		(A) in accordance with a regional capital development plan
7		entered into by the following communities: Village of Beecher,
8		City of Blue Island, Village of Burnham, City of Calumet City,
9		Village of Calumet Park, City of Chicago Heights, City of
10		Country Club Hills, Village of Crestwood, Village of Crete,
11		Village of Dixmoor, Village of Dolton, Village of East Hazel
12		Crest, Village of Flossmoor, Village of Ford Heights, Village
13		of Glenwood, City of Harvey, Village of Hazel Crest, Village of
14		Homewood, Village of Lansing, Village of Lynwood, City of
15		Markham, Village of Matteson, Village of Midlothian, Village of
16		Monee, City of Oak Forest, Village of Olympia Fields, Village
17		of Orland Hills, Village of Orland Park, City of Palos Heights,
18		Village of Park Forest, Village of Phoenix, Village of Posen,
19		Village of Richton Park, Village of Riverdale, Village of
20		Robbins, Village of Sauk Village, Village of South Chicago
21		Heights, Village of South Holland, Village of Steger, Village
22		of Thornton, Village of Tinley Park, Village of University Park
23		and Village of Worth; or (B) if no regional capital development
24		plan exists, equally among the communities listed in item (A)
25		to be used for capital expenditures or public pension payments,
26		or both.

SB0690 Enrolled - 707 - LRB101 04451 HLH 49459 b
1		Units of local government may refund any portion of the
2		payment that they receive pursuant to this subsection (b) to
3		the riverboat or casino.
4		(b-4) Beginning on the first day the licensee under
5		paragraph (5) of subsection (e-5) of Section 7 conducts
6		gambling operations, either in a temporary facility or a
7		permanent facility, and ending on July 31, 2042, from the tax
8		revenue deposited in the State Gaming Fund under this Section,
9		$5,000,000 shall be paid annually, subject to appropriation, to
10		the host municipality of that owners licensee of a license
11		issued or re-issued pursuant to Section 7.1 of this Act before
12		January 1, 2012. Payments received by the host municipality
13		pursuant to this subsection (b-4) may not be shared with any
14		other unit of local government.
15		(b-5) Beginning on the effective date of this amendatory
16		Act of the 101st General Assembly, from the tax revenue
17		deposited in the State Gaming Fund under this Section, an
18		amount equal to 3% of adjusted gross receipts generated by each
19		organization gaming facility located outside Madison County
20		shall be paid monthly, subject to appropriation by the General
21		Assembly, to a municipality other than the Village of Stickney
22		in which each organization gaming facility is located or, if
23		the organization gaming facility is not located within a
24		municipality, to the county in which the organization gaming
25		facility is located, except as otherwise provided in this
26		Section. From the tax revenue deposited in the State Gaming

SB0690 Enrolled - 708 - LRB101 04451 HLH 49459 b
1		Fund under this Section, an amount equal to 3% of adjusted
2		gross receipts generated by an organization gaming facility
3		located in the Village of Stickney shall be paid monthly,
4		subject to appropriation by the General Assembly, as follows:
5		25% to the Village of Stickney, 5% to the City of Berwyn, 50%
6		to the Town of Cicero, and 20% to the Stickney Public Health
7		District.
8		From the tax revenue deposited in the State Gaming Fund
9		under this Section, an amount equal to 5% of adjusted gross
10		receipts generated by an organization gaming facility located
11		in the City of Collinsville shall be paid monthly, subject to
12		appropriation by the General Assembly, as follows: 30% to the
13		City of Alton, 30% to the City of East St. Louis, and 40% to the
14		City of Collinsville.
15		Municipalities and counties may refund any portion of the
16		payment that they receive pursuant to this subsection (b-5) to
17		the organization gaming facility.
18		(b-6) Beginning on the effective date of this amendatory
19		Act of the 101st General Assembly, from the tax revenue
20		deposited in the State Gaming Fund under this Section, an
21		amount equal to 2% of adjusted gross receipts generated by an
22		organization gaming facility located outside Madison County
23		shall be paid monthly, subject to appropriation by the General
24		Assembly, to the county in which the organization gaming
25		facility is located for the purposes of its criminal justice
26		system or health care system.

SB0690 Enrolled - 709 - LRB101 04451 HLH 49459 b
1		Counties may refund any portion of the payment that they
2		receive pursuant to this subsection (b-6) to the organization
3		gaming facility.
4		(b-7) From the tax revenue from the organization gaming
5		licensee located in one of the following townships of Cook
6		County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or
7		Worth, an amount equal to 5% of the adjusted gross receipts
8		generated by that organization gaming licensee shall be
9		remitted monthly, subject to appropriation, as follows: 2% to
10		the unit of local government in which the organization gaming
11		licensee is located, and 3% shall be distributed: (A) in
12		accordance with a regional capital development plan entered
13		into by the following communities: Village of Beecher, City of
14		Blue Island, Village of Burnham, City of Calumet City, Village
15		of Calumet Park, City of Chicago Heights, City of Country Club
16		Hills, Village of Crestwood, Village of Crete, Village of
17		Dixmoor, Village of Dolton, Village of East Hazel Crest,
18		Village of Flossmoor, Village of Ford Heights, Village of
19		Glenwood, City of Harvey, Village of Hazel Crest, Village of
20		Homewood, Village of Lansing, Village of Lynwood, City of
21		Markham, Village of Matteson, Village of Midlothian, Village of
22		Monee, City of Oak Forest, Village of Olympia Fields, Village
23		of Orland Hills, Village of Orland Park, City of Palos Heights,
24		Village of Park Forest, Village of Phoenix, Village of Posen,
25		Village of Richton Park, Village of Riverdale, Village of
26		Robbins, Village of Sauk Village, Village of South Chicago

SB0690 Enrolled - 710 - LRB101 04451 HLH 49459 b
1		Heights, Village of South Holland, Village of Steger, Village
2		of Thornton, Village of Tinley Park, Village of University
3		Park, and Village of Worth; or (B) if no regional capital
4		development plan exists, equally among the communities listed
5		in item (A) to be used for capital expenditures or public
6		pension payments, or both.
7		(b-8) In lieu of the payments under subsection (b) of this
8		Section, the tax revenue from the privilege tax imposed by
9		subsection (a-5.5) shall be paid monthly, subject to
10		appropriation by the General Assembly, to the City of Chicago
11		and shall be expended or obligated by the City of Chicago for
12		pension payments in accordance with Public Act 99-506.
13		(c) Appropriations, as approved by the General Assembly,
14		may be made from the State Gaming Fund to the Board (i) for the
15		administration and enforcement of this Act and the Video Gaming
16		Act, (ii) for distribution to the Department of State Police
17		and to the Department of Revenue for the enforcement of this
18		Act, and the Video Gaming Act, and (iii) to the Department of
19		Human Services for the administration of programs to treat
20		problem gambling. The Board's annual appropriations request
21		must separately state its funding needs for the regulation of
22		gaming authorized under Section 7.7, riverboat gaming, casino
23		gaming, video gaming, and sports wagering.
24		(c-2) An amount equal to 2% of the adjusted gross receipts
25		generated by an organization gaming facility located within a
26		home rule county with a population of over 3,000,000

SB0690 Enrolled - 711 - LRB101 04451 HLH 49459 b
1		inhabitants shall be paid, subject to appropriation from the
2		General Assembly, from the State Gaming Fund to the home rule
3		county in which the organization gaming licensee is located for
4		the purpose of enhancing the county's criminal justice system.
5		(c-3) Appropriations, as approved by the General Assembly,
6		may be made from the tax revenue deposited into the State
7		Gaming Fund from organization gaming licensees pursuant to this
8		Section for the administration and enforcement of this Act.
9		(c-4) After payments required under subsections (b),
10		(b-5), (b-6), (b-7), (c), (c-2), and (c-3) have been made from
11		the tax revenue from organization gaming licensees deposited
12		into the State Gaming Fund under this Section, all remaining
13		amounts from organization gaming licensees shall be
14		transferred into the Capital Projects Fund.
15		(c-5) (Blank). Before May 26, 2006 (the effective date of
16		Public Act 94-804) and beginning on the effective date of this
17		amendatory Act of the 95th General Assembly, unless any
18		organization licensee under the Illinois Horse Racing Act of
19		1975 begins to operate a slot machine or video game of chance
20		under the Illinois Horse Racing Act of 1975 or this Act, after
21		the payments required under subsections (b) and (c) have been
22		made, an amount equal to 15% of the adjusted gross receipts of
23		(1) an owners licensee that relocates pursuant to Section 11.2,
24		(2) an owners licensee conducting riverboat gambling
25		operations pursuant to an owners license that is initially
26		issued after June 25, 1999, or (3) the first riverboat gambling

SB0690 Enrolled - 712 - LRB101 04451 HLH 49459 b
1		operations conducted by a licensed manager on behalf of the
2		State under Section 7.3, whichever comes first, shall be paid
3		from the State Gaming Fund into the Horse Racing Equity Fund.
4		(c-10) Each year the General Assembly shall appropriate
5		from the General Revenue Fund to the Education Assistance Fund
6		an amount equal to the amount paid into the Horse Racing Equity
7		Fund pursuant to subsection (c-5) in the prior calendar year.
8		(c-15) After the payments required under subsections (b),
9		(c), and (c-5) have been made, an amount equal to 2% of the
10		adjusted gross receipts of (1) an owners licensee that
11		relocates pursuant to Section 11.2, (2) an owners licensee
12		conducting riverboat gambling operations pursuant to an owners
13		license that is initially issued after June 25, 1999, or (3)
14		the first riverboat gambling operations conducted by a licensed
15		manager on behalf of the State under Section 7.3, whichever
16		comes first, shall be paid, subject to appropriation from the
17		General Assembly, from the State Gaming Fund to each home rule
18		county with a population of over 3,000,000 inhabitants for the
19		purpose of enhancing the county's criminal justice system.
20		(c-20) Each year the General Assembly shall appropriate
21		from the General Revenue Fund to the Education Assistance Fund
22		an amount equal to the amount paid to each home rule county
23		with a population of over 3,000,000 inhabitants pursuant to
24		subsection (c-15) in the prior calendar year.
25		(c-21) After the payments required under subsections (b),
26		(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have

SB0690 Enrolled - 713 - LRB101 04451 HLH 49459 b
1		been made, an amount equal to 2% of the adjusted gross receipts
2		generated by the owners licensee under paragraph (1) of
3		subsection (e-5) of Section 7 shall be paid, subject to
4		appropriation from the General Assembly, from the State Gaming
5		Fund to the home rule county in which the owners licensee is
6		located for the purpose of enhancing the county's criminal
7		justice system.
8		(c-22) After the payments required under subsections (b),
9		(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and
10		(c-21) have been made, an amount equal to 2% of the adjusted
11		gross receipts generated by the owners licensee under paragraph
12		(5) of subsection (e-5) of Section 7 shall be paid, subject to
13		appropriation from the General Assembly, from the State Gaming
14		Fund to the home rule county in which the owners licensee is
15		located for the purpose of enhancing the county's criminal
16		justice system.
17		(c-25) From On July 1, 2013 and each July 1
18		thereafterthrough July 1, 2019, $1,600,000 shall be
19		transferred from the State Gaming Fund to the Chicago State
20		University Education Improvement Fund.
21		On July 1, 2020 and each July 1 thereafter, $3,000,000
22		shall be transferred from the State Gaming Fund to the Chicago
23		State University Education Improvement Fund.
24		(c-30) On July 1, 2013 or as soon as possible thereafter,
25		$92,000,000 shall be transferred from the State Gaming Fund to
26		the School Infrastructure Fund and $23,000,000 shall be

SB0690 Enrolled - 714 - LRB101 04451 HLH 49459 b
1		transferred from the State Gaming Fund to the Horse Racing
2		Equity Fund.
3		(c-35) Beginning on July 1, 2013, in addition to any amount
4		transferred under subsection (c-30) of this Section,
5		$5,530,000 shall be transferred monthly from the State Gaming
6		Fund to the School Infrastructure Fund.
7		(d) From time to time, the Board shall transfer the
8		remainder of the funds generated by this Act into the Education
9		Assistance Fund, created by Public Act 86-0018, of the State of
10		Illinois.
11		(e) Nothing in this Act shall prohibit the unit of local
12		government designated as the home dock of the riverboat from
13		entering into agreements with other units of local government
14		in this State or in other states to share its portion of the
15		tax revenue.
16		(f) To the extent practicable, the Board shall administer
17		and collect the wagering taxes imposed by this Section in a
18		manner consistent with the provisions of Sections 4, 5, 5a, 5b,
19		5c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the
20		Retailers' Occupation Tax Act and Section 3-7 of the Uniform
21		Penalty and Interest Act.
22		(Source: P.A. 98-18, eff. 6-7-13.)
23		(230 ILCS 10/14) (from Ch. 120, par. 2414)
24		Sec. 14. Licensees - Records - Reports - Supervision.
25		(a) Licensed owners and organization gaming licensees A

SB0690 Enrolled - 715 - LRB101 04451 HLH 49459 b
1		licensed owner shall keep his books and records so as to
2		clearly show the following:
3		(1) The amount received daily from admission fees.
4		(2) The total amount of gross receipts.
5		(3) The total amount of the adjusted gross receipts.
6		(b) Licensed owners and organization gaming licensees The
7		licensed owner shall furnish to the Board reports and
8		information as the Board may require with respect to its
9		activities on forms designed and supplied for such purpose by
10		the Board.
11		(c) The books and records kept by a licensed owner as
12		provided by this Section are public records and the
13		examination, publication, and dissemination of the books and
14		records are governed by the provisions of The Freedom of
15		Information Act.
16		(Source: P.A. 86-1029.)
17		(230 ILCS 10/15) (from Ch. 120, par. 2415)
18		Sec. 15. Audit of Licensee Operations. Annually, the
19		licensed owner, or manager, or organization gaming licensee
20		shall transmit to the Board an audit of the financial
21		transactions and condition of the licensee's or manager's total
22		operations. Additionally, within 90 days after the end of each
23		quarter of each fiscal year, the licensed owner, or manager, or
24		organization gaming licensee shall transmit to the Board a
25		compliance report on engagement procedures determined by the

SB0690 Enrolled - 716 - LRB101 04451 HLH 49459 b
1		Board. All audits and compliance engagements shall be conducted
2		by certified public accountants selected by the Board. Each
3		certified public accountant must be registered in the State of
4		Illinois under the Illinois Public Accounting Act. The
5		compensation for each certified public accountant shall be paid
6		directly by the licensed owner, or manager, or organization
7		gaming licensee to the certified public accountant.
8		(Source: P.A. 96-1392, eff. 1-1-11.)
9		(230 ILCS 10/17) (from Ch. 120, par. 2417)
10		Sec. 17. Administrative Procedures. The Illinois
11		Administrative Procedure Act shall apply to all administrative
12		rules and procedures of the Board under this Act and or the
13		Video Gaming Act, except that: (1) subsection (b) of Section
14		5-10 of the Illinois Administrative Procedure Act does not
15		apply to final orders, decisions and opinions of the Board; (2)
16		subsection (a) of Section 5-10 of the Illinois Administrative
17		Procedure Act does not apply to forms established by the Board
18		for use under this Act and or the Video Gaming Act; (3) the
19		provisions of Section 10-45 of the Illinois Administrative
20		Procedure Act regarding proposals for decision are excluded
21		under this Act and or the Video Gaming Act; and (4) the
22		provisions of subsection (d) of Section 10-65 of the Illinois
23		Administrative Procedure Act do not apply so as to prevent
24		summary suspension of any license pending revocation or other
25		action, which suspension shall remain in effect unless modified

SB0690 Enrolled - 717 - LRB101 04451 HLH 49459 b
1		by the Board or unless the Board's decision is reversed on the
2		merits upon judicial review.
3		(Source: P.A. 96-34, eff. 7-13-09.)
4		(230 ILCS 10/17.1) (from Ch. 120, par. 2417.1)
5		Sec. 17.1. Judicial Review.
6		(a) Jurisdiction and venue for the judicial review of a
7		final order of the Board relating to licensed owners,
8		suppliers, organization gaming licensees, and or special event
9		licenses is vested in the Appellate Court of the judicial
10		district in which Sangamon County is located. A petition for
11		judicial review of a final order of the Board must be filed in
12		the Appellate Court, within 35 days from the date that a copy
13		of the decision sought to be reviewed was served upon the party
14		affected by the decision.
15		(b) Judicial review of all other final orders of the Board
16		shall be conducted in accordance with the Administrative Review
17		Law.
18		(Source: P.A. 88-1.)
19		(230 ILCS 10/18) (from Ch. 120, par. 2418)
20		Sec. 18. Prohibited Activities - Penalty.
21		(a) A person is guilty of a Class A misdemeanor for doing
22		any of the following:
23		(1) Conducting gambling where wagering is used or to be
24		used without a license issued by the Board.

SB0690 Enrolled - 718 - LRB101 04451 HLH 49459 b
1		(2) Conducting gambling where wagering is permitted
2		other than in the manner specified by Section 11.
3		(b) A person is guilty of a Class B misdemeanor for doing
4		any of the following:
5		(1) permitting a person under 21 years to make a wager;
6		or
7		(2) violating paragraph (12) of subsection (a) of
8		Section 11 of this Act.
9		(c) A person wagering or accepting a wager at any location
10		outside the riverboat, casino, or organization gaming facility
11		in violation of paragraph is subject to the penalties in
12		paragraphs (1) or (2) of subsection (a) of Section 28-1 of the
13		Criminal Code of 2012 is subject to the penalties provided in
14		that Section.
15		(d) A person commits a Class 4 felony and, in addition,
16		shall be barred for life from gambling operations riverboats
17		under the jurisdiction of the Board, if the person does any of
18		the following:
19		(1) Offers, promises, or gives anything of value or
20		benefit to a person who is connected with a riverboat or
21		casino owner or organization gaming licensee, including,
22		but not limited to, an officer or employee of a licensed
23		owner, organization gaming licensee, or holder of an
24		occupational license pursuant to an agreement or
25		arrangement or with the intent that the promise or thing of
26		value or benefit will influence the actions of the person

SB0690 Enrolled - 719 - LRB101 04451 HLH 49459 b
1		to whom the offer, promise, or gift was made in order to
2		affect or attempt to affect the outcome of a gambling game,
3		or to influence official action of a member of the Board.
4		(2) Solicits or knowingly accepts or receives a promise
5		of anything of value or benefit while the person is
6		connected with a riverboat, casino, or organization gaming
7		facility, including, but not limited to, an officer or
8		employee of a licensed owner or organization gaming
9		licensee, or the holder of an occupational license,
10		pursuant to an understanding or arrangement or with the
11		intent that the promise or thing of value or benefit will
12		influence the actions of the person to affect or attempt to
13		affect the outcome of a gambling game, or to influence
14		official action of a member of the Board.
15		(3) Uses or possesses with the intent to use a device
16		to assist:
17		(i) In projecting the outcome of the game.
18		(ii) In keeping track of the cards played.
19		(iii) In analyzing the probability of the
20		occurrence of an event relating to the gambling game.
21		(iv) In analyzing the strategy for playing or
22		betting to be used in the game except as permitted by
23		the Board.
24		(4) Cheats at a gambling game.
25		(5) Manufactures, sells, or distributes any cards,
26		chips, dice, game or device which is intended to be used to

SB0690 Enrolled - 720 - LRB101 04451 HLH 49459 b
1		violate any provision of this Act.
2		(6) Alters or misrepresents the outcome of a gambling
3		game on which wagers have been made after the outcome is
4		made sure but before it is revealed to the players.
5		(7) Places a bet after acquiring knowledge, not
6		available to all players, of the outcome of the gambling
7		game which is subject of the bet or to aid a person in
8		acquiring the knowledge for the purpose of placing a bet
9		contingent on that outcome.
10		(8) Claims, collects, or takes, or attempts to claim,
11		collect, or take, money or anything of value in or from the
12		gambling games, with intent to defraud, without having made
13		a wager contingent on winning a gambling game, or claims,
14		collects, or takes an amount of money or thing of value of
15		greater value than the amount won.
16		(9) Uses counterfeit chips or tokens in a gambling
17		game.
18		(10) Possesses any key or device designed for the
19		purpose of opening, entering, or affecting the operation of
20		a gambling game, drop box, or an electronic or mechanical
21		device connected with the gambling game or for removing
22		coins, tokens, chips or other contents of a gambling game.
23		This paragraph (10) does not apply to a gambling licensee
24		or employee of a gambling licensee acting in furtherance of
25		the employee's employment.
26		(e) The possession of more than one of the devices

SB0690 Enrolled - 721 - LRB101 04451 HLH 49459 b
1		described in subsection (d), paragraphs (3), (5), or (10)
2		permits a rebuttable presumption that the possessor intended to
3		use the devices for cheating.
4		(f) A person under the age of 21 who, except as authorized
5		under paragraph (10) of Section 11, enters upon a riverboat or
6		in a casino or organization gaming facility commits a petty
7		offense and is subject to a fine of not less than $100 or more
8		than $250 for a first offense and of not less than $200 or more
9		than $500 for a second or subsequent offense.
10		An action to prosecute any crime occurring on a riverboat
11		shall be tried in the county of the dock at which the riverboat
12		is based. An action to prosecute any crime occurring in a
13		casino or organization gaming facility shall be tried in the
14		county in which the casino or organization gaming facility is
15		located.
16		(Source: P.A. 96-1392, eff. 1-1-11; 97-1150, eff. 1-25-13.)
17		(230 ILCS 10/18.1)
18		Sec. 18.1. Distribution of certain fines. If a fine is
19		imposed on an owners owner licensee or an organization gaming
20		licensee for knowingly sending marketing or promotional
21		materials to any person placed on the self-exclusion list, then
22		the Board shall distribute an amount equal to 15% of the fine
23		imposed to the unit of local government in which the casino,
24		riverboat, or organization gaming facility is located for the
25		purpose of awarding grants to non-profit entities that assist

SB0690 Enrolled - 722 - LRB101 04451 HLH 49459 b
1		gambling addicts.
2		(Source: P.A. 96-224, eff. 8-11-09.)
3		(230 ILCS 10/19) (from Ch. 120, par. 2419)
4		Sec. 19. Forfeiture of property.
5		(a) Except as provided in subsection (b), any riverboat,
6		casino, or organization gaming facility used for the conduct of
7		gambling games in violation of this Act shall be considered a
8		gambling place in violation of Section 28-3 of the Criminal
9		Code of 2012. Every gambling device found on a riverboat, in a
10		casino, or at an organization gaming facility operating
11		gambling games in violation of this Act and every slot machine
12		and video game of chance found at an organization gaming
13		facility operating gambling games in violation of this Act
14		shall be subject to seizure, confiscation and destruction as
15		provided in Section 28-5 of the Criminal Code of 2012.
16		(b) It is not a violation of this Act for a riverboat or
17		other watercraft which is licensed for gaming by a contiguous
18		state to dock on the shores of this State if the municipality
19		having jurisdiction of the shores, or the county in the case of
20		unincorporated areas, has granted permission for docking and no
21		gaming is conducted on the riverboat or other watercraft while
22		it is docked on the shores of this State. No gambling device
23		shall be subject to seizure, confiscation or destruction if the
24		gambling device is located on a riverboat or other watercraft
25		which is licensed for gaming by a contiguous state and which is

SB0690 Enrolled - 723 - LRB101 04451 HLH 49459 b
1		docked on the shores of this State if the municipality having
2		jurisdiction of the shores, or the county in the case of
3		unincorporated areas, has granted permission for docking and no
4		gaming is conducted on the riverboat or other watercraft while
5		it is docked on the shores of this State.
6		(Source: P.A. 97-1150, eff. 1-25-13.)
7		(230 ILCS 10/20) (from Ch. 120, par. 2420)
8		Sec. 20. Prohibited activities - civil penalties. Any
9		person who conducts a gambling operation without first
10		obtaining a license to do so, or who continues to conduct such
11		games after revocation of his license, or any licensee who
12		conducts or allows to be conducted any unauthorized gambling
13		games on a riverboat, in a casino, or at an organization gaming
14		facility where it is authorized to conduct its riverboat
15		gambling operation, in addition to other penalties provided,
16		shall be subject to a civil penalty equal to the amount of
17		gross receipts derived from wagering on the gambling games,
18		whether unauthorized or authorized, conducted on that day as
19		well as confiscation and forfeiture of all gambling game
20		equipment used in the conduct of unauthorized gambling games.
21		(Source: P.A. 86-1029.)
22		(230 ILCS 10/24)
23		Sec. 24. Applicability of this Illinois Riverboat Gambling
24		Act. The provisions of this the Illinois Riverboat Gambling

SB0690 Enrolled - 724 - LRB101 04451 HLH 49459 b
1		Act, and all rules promulgated thereunder, shall apply to the
2		Video Gaming Act, except where there is a conflict between the
3		2 Acts. In the event of a conflict between this Act and the
4		Video Gaming Act, the terms of this Act shall prevail.
5		(Source: P.A. 96-37, eff. 7-13-09.)
6		Section 35-60. The Video Gaming Act is amended by changing
7		Sections 5, 15, 20, 25, 30, 35, 45, 55, 58, 60, 79, and 80 as
8		follows:
9		(230 ILCS 40/5)
10		Sec. 5. Definitions. As used in this Act:
11		"Board" means the Illinois Gaming Board.
12		"Credit" means one, 5, 10, or 25 cents either won or
13		purchased by a player.
14		"Distributor" means an individual, partnership,
15		corporation, or limited liability company licensed under this
16		Act to buy, sell, lease, or distribute video gaming terminals
17		or major components or parts of video gaming terminals to or
18		from terminal operators.
19		"Electronic card" means a card purchased from a licensed
20		establishment, licensed fraternal establishment, licensed
21		veterans establishment, or licensed truck stop establishment,
22		or licensed large truck stop establishment for use in that
23		establishment as a substitute for cash in the conduct of gaming
24		on a video gaming terminal.

SB0690 Enrolled - 725 - LRB101 04451 HLH 49459 b
1		"Electronic voucher" means a voucher printed by an
2		electronic video game machine that is redeemable in the
3		licensed establishment for which it was issued.
4		"In-location bonus jackpot" means one or more video gaming
5		terminals at a single licensed establishment that allows for
6		wagers placed on such video gaming terminals to contribute to a
7		cumulative maximum jackpot of up to $10,000.
8		"Terminal operator" means an individual, partnership,
9		corporation, or limited liability company that is licensed
10		under this Act and that owns, services, and maintains video
11		gaming terminals for placement in licensed establishments,
12		licensed truck stop establishments, licensed large truck stop
13		establishments, licensed fraternal establishments, or licensed
14		veterans establishments.
15		"Licensed technician" means an individual who is licensed
16		under this Act to repair, service, and maintain video gaming
17		terminals.
18		"Licensed terminal handler" means a person, including but
19		not limited to an employee or independent contractor working
20		for a manufacturer, distributor, supplier, technician, or
21		terminal operator, who is licensed under this Act to possess or
22		control a video gaming terminal or to have access to the inner
23		workings of a video gaming terminal. A licensed terminal
24		handler does not include an individual, partnership,
25		corporation, or limited liability company defined as a
26		manufacturer, distributor, supplier, technician, or terminal

SB0690 Enrolled - 726 - LRB101 04451 HLH 49459 b
1		operator under this Act.
2		"Manufacturer" means an individual, partnership,
3		corporation, or limited liability company that is licensed
4		under this Act and that manufactures or assembles video gaming
5		terminals.
6		"Supplier" means an individual, partnership, corporation,
7		or limited liability company that is licensed under this Act to
8		supply major components or parts to video gaming terminals to
9		licensed terminal operators.
10		"Net terminal income" means money put into a video gaming
11		terminal minus credits paid out to players.
12		"Video gaming terminal" means any electronic video game
13		machine that, upon insertion of cash, electronic cards or
14		vouchers, or any combination thereof, is available to play or
15		simulate the play of a video game, including but not limited to
16		video poker, line up, and blackjack, as authorized by the Board
17		utilizing a video display and microprocessors in which the
18		player may receive free games or credits that can be redeemed
19		for cash. The term does not include a machine that directly
20		dispenses coins, cash, or tokens or is for amusement purposes
21		only.
22		"Licensed establishment" means any licensed retail
23		establishment where alcoholic liquor is drawn, poured, mixed,
24		or otherwise served for consumption on the premises, whether
25		the establishment operates on a nonprofit or for-profit basis.
26		"Licensed establishment" includes any such establishment that

SB0690 Enrolled - 727 - LRB101 04451 HLH 49459 b
1		has a contractual relationship with an inter-track wagering
2		location licensee licensed under the Illinois Horse Racing Act
3		of 1975, provided any contractual relationship shall not
4		include any transfer or offer of revenue from the operation of
5		video gaming under this Act to any licensee licensed under the
6		Illinois Horse Racing Act of 1975. Provided, however, that the
7		licensed establishment that has such a contractual
8		relationship with an inter-track wagering location licensee
9		may not, itself, be (i) an inter-track wagering location
10		licensee, (ii) the corporate parent or subsidiary of any
11		licensee licensed under the Illinois Horse Racing Act of 1975,
12		or (iii) the corporate subsidiary of a corporation that is also
13		the corporate parent or subsidiary of any licensee licensed
14		under the Illinois Horse Racing Act of 1975. "Licensed
15		establishment" does not include a facility operated by an
16		organization licensee, an inter-track wagering licensee, or an
17		inter-track wagering location licensee licensed under the
18		Illinois Horse Racing Act of 1975 or a riverboat licensed under
19		the Illinois Riverboat Gambling Act, except as provided in this
20		paragraph. The changes made to this definition by Public Act
21		98-587 are declarative of existing law.
22		"Licensed fraternal establishment" means the location
23		where a qualified fraternal organization that derives its
24		charter from a national fraternal organization regularly
25		meets.
26		"Licensed veterans establishment" means the location where

SB0690 Enrolled - 728 - LRB101 04451 HLH 49459 b
1		a qualified veterans organization that derives its charter from
2		a national veterans organization regularly meets.
3		"Licensed truck stop establishment" means a facility (i)
4		that is at least a 3-acre facility with a convenience store,
5		(ii) with separate diesel islands for fueling commercial motor
6		vehicles, (iii) that sells at retail more than 10,000 gallons
7		of diesel or biodiesel fuel per month, and (iv) with parking
8		spaces for commercial motor vehicles. "Commercial motor
9		vehicles" has the same meaning as defined in Section 18b-101 of
10		the Illinois Vehicle Code. The requirement of item (iii) of
11		this paragraph may be met by showing that estimated future
12		sales or past sales average at least 10,000 gallons per month.
13		"Licensed large truck stop establishment" means a facility
14		located within 3 road miles from a freeway interchange, as
15		measured in accordance with the Department of Transportation's
16		rules regarding the criteria for the installation of business
17		signs: (i) that is at least a 3-acre facility with a
18		convenience store, (ii) with separate diesel islands for
19		fueling commercial motor vehicles, (iii) that sells at retail
20		more than 50,000 gallons of diesel or biodiesel fuel per month,
21		and (iv) with parking spaces for commercial motor vehicles.
22		"Commercial motor vehicles" has the same meaning as defined in
23		Section 18b-101 of the Illinois Vehicle Code. The requirement
24		of item (iii) of this paragraph may be met by showing that
25		estimated future sales or past sales average at least 50,000
26		gallons per month.

SB0690 Enrolled - 729 - LRB101 04451 HLH 49459 b
1		(Source: P.A. 97-333, eff. 8-12-11; 98-31, eff. 6-24-13;
2		98-582, eff. 8-27-13; 98-587, eff. 8-27-13; 98-756, eff.
3		7-16-14.)
4		(230 ILCS 40/15)
5		Sec. 15. Minimum requirements for licensing and
6		registration. Every video gaming terminal offered for play
7		shall first be tested and approved pursuant to the rules of the
8		Board, and each video gaming terminal offered in this State for
9		play shall conform to an approved model. For the examination of
10		video gaming machines and associated equipment as required by
11		this Section, the Board shall may utilize the services of one
12		or more independent outside testing laboratories that have been
13		accredited in accordance with ISO/IEC 17025 by an accreditation
14		body that is a signatory to the International Laboratory
15		Accreditation Cooperation Mutual Recognition Agreement
16		signifying they are qualified to by a national accreditation
17		body and that, in the judgment of the Board, are qualified to
18		perform such examinations. Notwithstanding any law to the
19		contrary, the Board shall consider the licensing of independent
20		outside testing laboratory applicants in accordance with
21		procedures established by the Board by rule. The Board shall
22		not withhold its approval of an independent outside testing
23		laboratory license applicant that has been accredited as
24		required by this Section and is licensed in gaming
25		jurisdictions comparable to Illinois. Upon the finalization of

SB0690 Enrolled - 730 - LRB101 04451 HLH 49459 b
1		required rules, the Board shall license independent testing
2		laboratories and accept the test reports of any licensed
3		testing laboratory of the video gaming machine's or associated
4		equipment manufacturer's choice, notwithstanding the existence
5		of contracts between the Board and any independent testing
6		laboratory. Every video gaming terminal offered in this State
7		for play must meet minimum standards set by an independent
8		outside testing laboratory approved by the Board. Each approved
9		model shall, at a minimum, meet the following criteria:
10		(1) It must conform to all requirements of federal law
11		and regulations, including FCC Class A Emissions
12		Standards.
13		(2) It must theoretically pay out a mathematically
14		demonstrable percentage during the expected lifetime of
15		the machine of all amounts played, which must not be less
16		than 80%. The Board shall establish a maximum payout
17		percentage for approved models by rule. Video gaming
18		terminals that may be affected by skill must meet this
19		standard when using a method of play that will provide the
20		greatest return to the player over a period of continuous
21		play.
22		(3) It must use a random selection process to determine
23		the outcome of each play of a game. The random selection
24		process must meet 99% confidence limits using a standard
25		chi-squared test for (randomness) goodness of fit.
26		(4) It must display an accurate representation of the

SB0690 Enrolled - 731 - LRB101 04451 HLH 49459 b
1		game outcome.
2		(5) It must not automatically alter pay tables or any
3		function of the video gaming terminal based on internal
4		computation of hold percentage or have any means of
5		manipulation that affects the random selection process or
6		probabilities of winning a game.
7		(6) It must not be adversely affected by static
8		discharge or other electromagnetic interference.
9		(7) It must be capable of detecting and displaying the
10		following conditions during idle states or on demand: power
11		reset; door open; and door just closed.
12		(8) It must have the capacity to display complete play
13		history (outcome, intermediate play steps, credits
14		available, bets placed, credits paid, and credits cashed
15		out) for the most recent game played and 10 games prior
16		thereto.
17		(9) The theoretical payback percentage of a video
18		gaming terminal must not be capable of being changed
19		without making a hardware or software change in the video
20		gaming terminal, either on site or via the central
21		communications system.
22		(10) Video gaming terminals must be designed so that
23		replacement of parts or modules required for normal
24		maintenance does not necessitate replacement of the
25		electromechanical meters.
26		(11) It must have nonresettable meters housed in a

SB0690 Enrolled - 732 - LRB101 04451 HLH 49459 b
1		locked area of the terminal that keep a permanent record of
2		all cash inserted into the machine, all winnings made by
3		the terminal printer, credits played in for video gaming
4		terminals, and credits won by video gaming players. The
5		video gaming terminal must provide the means for on-demand
6		display of stored information as determined by the Board.
7		(12) Electronically stored meter information required
8		by this Section must be preserved for a minimum of 180 days
9		after a power loss to the service.
10		(13) It must have one or more mechanisms that accept
11		cash in the form of bills. The mechanisms shall be designed
12		to prevent obtaining credits without paying by stringing,
13		slamming, drilling, or other means. If such attempts at
14		physical tampering are made, the video gaming terminal
15		shall suspend itself from operating until reset.
16		(14) It shall have accounting software that keeps an
17		electronic record which includes, but is not limited to,
18		the following: total cash inserted into the video gaming
19		terminal; the value of winning tickets claimed by players;
20		the total credits played; the total credits awarded by a
21		video gaming terminal; and pay back percentage credited to
22		players of each video game.
23		(15) It shall be linked by a central communications
24		system to provide auditing program information as approved
25		by the Board. The central communications system shall use a
26		standard industry protocol, as defined by the Gaming

SB0690 Enrolled - 733 - LRB101 04451 HLH 49459 b
1		Standards Association, and shall have the functionality to
2		enable the Board or its designee to activate or deactivate
3		individual gaming devices from the central communications
4		system. In no event may the communications system approved
5		by the Board limit participation to only one manufacturer
6		of video gaming terminals by either the cost in
7		implementing the necessary program modifications to
8		communicate or the inability to communicate with the
9		central communications system.
10		(16) The Board, in its discretion, may require video
11		gaming terminals to display Amber Alert messages if the
12		Board makes a finding that it would be economically and
13		technically feasible and pose no risk to the integrity and
14		security of the central communications system and video
15		gaming terminals.
16		Licensed terminal handlers shall have access to video
17		gaming terminals, including, but not limited to, logic door
18		access, without the physical presence or supervision of the
19		Board or its agent to perform, in coordination with and with
20		project approval from the central communication system
21		provider:
22		(i) the clearing of the random access memory and
23		reprogramming of the video gaming terminal;
24		(ii) the installation of new video gaming terminal
25		software and software upgrades that have been approved by
26		the Board;

SB0690 Enrolled - 734 - LRB101 04451 HLH 49459 b
1		(iii) the placement, connection to the central
2		communication system, and go-live operation of video
3		gaming terminals at a licensed establishment, licensed
4		truck stop establishment, licensed large truck stop
5		establishment, licensed fraternal establishment, or
6		licensed veterans establishment;
7		(iv) the repair and maintenance of a video gaming
8		terminal located at a licensed establishment, licensed
9		truck stop establishment, licensed large truck stop
10		establishment, licensed fraternal establishment, or
11		licensed veterans establishment, including, but not
12		limited to, the replacement of the video gaming terminal
13		with a new video gaming terminal;
14		(v) the temporary movement, disconnection,
15		replacement, and reconnection of video gaming terminals to
16		allow for physical improvements and repairs at a licensed
17		establishment, licensed truck stop establishment, licensed
18		large truck stop establishment, licensed fraternal
19		establishment, or licensed veterans establishment, such as
20		replacement of flooring, interior repairs, and other
21		similar activities; and
22		(vi) such other functions as the Board may otherwise
23		authorize.
24		The Board shall, at a licensed terminal operator's expense,
25		cause all keys and other required devices to be provided to a
26		terminal operator necessary to allow the licensed terminal

SB0690 Enrolled - 735 - LRB101 04451 HLH 49459 b
1		handler access to the logic door to the terminal operator's
2		video gaming terminals.
3		The Board may adopt rules to establish additional criteria
4		to preserve the integrity and security of video gaming in this
5		State. The central communications system vendor may be licensed
6		as a video gaming terminal manufacturer or a video gaming
7		terminal distributor, or both, but in no event shall the
8		central communications system vendor be licensed as a video
9		gaming terminal operator.
10		The Board shall not permit the development of information
11		or the use by any licensee of gaming device or individual game
12		performance data. Nothing in this Act shall inhibit or prohibit
13		the Board from the use of gaming device or individual game
14		performance data in its regulatory duties. The Board shall
15		adopt rules to ensure that all licensees are treated and all
16		licensees act in a non-discriminatory manner and develop
17		processes and penalties to enforce those rules.
18		(Source: P.A. 98-31, eff. 6-24-13; 98-377, eff. 1-1-14; 98-582,
19		eff. 8-27-13; 98-756, eff. 7-16-14.)
20		(230 ILCS 40/20)
21		Sec. 20. Video gaming terminal payouts Direct dispensing of
22		receipt tickets only.
23		(a) A video gaming terminal may not directly dispense
24		coins, cash, tokens, or any other article of exchange or value
25		except for receipt tickets. Tickets shall be dispensed by

SB0690 Enrolled - 736 - LRB101 04451 HLH 49459 b
1		pressing the ticket dispensing button on the video gaming
2		terminal at the end of one's turn or play. The ticket shall
3		indicate the total amount of credits and the cash award, the
4		time of day in a 24-hour format showing hours and minutes, the
5		date, the terminal serial number, the sequential number of the
6		ticket, and an encrypted validation number from which the
7		validity of the prize may be determined. The player shall turn
8		in this ticket to the appropriate person at the licensed
9		establishment, licensed truck stop establishment, licensed
10		large truck stop establishment, licensed fraternal
11		establishment, or licensed veterans establishment to receive
12		the cash award.
13		(b) The cost of the credit shall be one cent, 5 cents, 10
14		cents, or 25 cents, or $1, and the maximum wager played per
15		hand shall not exceed $4 $2. No cash award for the maximum
16		wager on any individual hand shall exceed $1,199 $500. No cash
17		award for the maximum wager on a jackpot, progressive or
18		otherwise, shall exceed $10,000.
19		(c) In-location bonus jackpot games are hereby authorized.
20		The Board shall adopt emergency rules pursuant to Section 5-45
21		of the Illinois Administrative Procedure Act to implement this
22		subsection (c) within 90 days after the effective date of this
23		amendatory Act of the 101st General Assembly. Jackpot winnings
24		from in-location progressive games shall be paid by the
25		terminal operator to the player not later than 3 days after
26		winning such a jackpot.

SB0690 Enrolled - 737 - LRB101 04451 HLH 49459 b
1		(Source: P.A. 96-34, eff. 7-13-09; 96-1410, eff. 7-30-10.)
2		(230 ILCS 40/25)
3		Sec. 25. Restriction of licensees.
4		(a) Manufacturer. A person may not be licensed as a
5		manufacturer of a video gaming terminal in Illinois unless the
6		person has a valid manufacturer's license issued under this
7		Act. A manufacturer may only sell video gaming terminals for
8		use in Illinois to persons having a valid distributor's
9		license.
10		(b) Distributor. A person may not sell, distribute, or
11		lease or market a video gaming terminal in Illinois unless the
12		person has a valid distributor's license issued under this Act.
13		A distributor may only sell video gaming terminals for use in
14		Illinois to persons having a valid distributor's or terminal
15		operator's license.
16		(c) Terminal operator. A person may not own, maintain, or
17		place a video gaming terminal unless he has a valid terminal
18		operator's license issued under this Act. A terminal operator
19		may only place video gaming terminals for use in Illinois in
20		licensed establishments, licensed truck stop establishments,
21		licensed large truck stop establishments, licensed fraternal
22		establishments, and licensed veterans establishments. No
23		terminal operator may give anything of value, including but not
24		limited to a loan or financing arrangement, to a licensed
25		establishment, licensed truck stop establishment, licensed

SB0690 Enrolled - 738 - LRB101 04451 HLH 49459 b
1		large truck stop establishment, licensed fraternal
2		establishment, or licensed veterans establishment as any
3		incentive or inducement to locate video terminals in that
4		establishment. Of the after-tax profits from a video gaming
5		terminal, 50% shall be paid to the terminal operator and 50%
6		shall be paid to the licensed establishment, licensed truck
7		stop establishment, licensed large truck stop establishment,
8		licensed fraternal establishment, or licensed veterans
9		establishment, notwithstanding any agreement to the contrary.
10		A video terminal operator that violates one or more
11		requirements of this subsection is guilty of a Class 4 felony
12		and is subject to termination of his or her license by the
13		Board.
14		(d) Licensed technician. A person may not service,
15		maintain, or repair a video gaming terminal in this State
16		unless he or she (1) has a valid technician's license issued
17		under this Act, (2) is a terminal operator, or (3) is employed
18		by a terminal operator, distributor, or manufacturer.
19		(d-5) Licensed terminal handler. No person, including, but
20		not limited to, an employee or independent contractor working
21		for a manufacturer, distributor, supplier, technician, or
22		terminal operator licensed pursuant to this Act, shall have
23		possession or control of a video gaming terminal, or access to
24		the inner workings of a video gaming terminal, unless that
25		person possesses a valid terminal handler's license issued
26		under this Act.

SB0690 Enrolled - 739 - LRB101 04451 HLH 49459 b
1		(e) Licensed establishment. No video gaming terminal may be
2		placed in any licensed establishment, licensed veterans
3		establishment, licensed truck stop establishment, licensed
4		large truck stop establishment, or licensed fraternal
5		establishment unless the owner or agent of the owner of the
6		licensed establishment, licensed veterans establishment,
7		licensed truck stop establishment, licensed large truck stop
8		establishment, or licensed fraternal establishment has entered
9		into a written use agreement with the terminal operator for
10		placement of the terminals. A copy of the use agreement shall
11		be on file in the terminal operator's place of business and
12		available for inspection by individuals authorized by the
13		Board. A licensed establishment, licensed truck stop
14		establishment, licensed veterans establishment, or licensed
15		fraternal establishment may operate up to 6 5 video gaming
16		terminals on its premises at any time. A licensed large truck
17		stop establishment may operate up to 10 video gaming terminals
18		on its premises at any time.
19		(f) (Blank).
20		(g) Financial interest restrictions. As used in this Act,
21		"substantial interest" in a partnership, a corporation, an
22		organization, an association, a business, or a limited
23		liability company means:
24		(A) When, with respect to a sole proprietorship, an
25		individual or his or her spouse owns, operates, manages, or
26		conducts, directly or indirectly, the organization,

SB0690 Enrolled - 740 - LRB101 04451 HLH 49459 b
1		association, or business, or any part thereof; or
2		(B) When, with respect to a partnership, the individual
3		or his or her spouse shares in any of the profits, or
4		potential profits, of the partnership activities; or
5		(C) When, with respect to a corporation, an individual
6		or his or her spouse is an officer or director, or the
7		individual or his or her spouse is a holder, directly or
8		beneficially, of 5% or more of any class of stock of the
9		corporation; or
10		(D) When, with respect to an organization not covered
11		in (A), (B) or (C) above, an individual or his or her
12		spouse is an officer or manages the business affairs, or
13		the individual or his or her spouse is the owner of or
14		otherwise controls 10% or more of the assets of the
15		organization; or
16		(E) When an individual or his or her spouse furnishes
17		5% or more of the capital, whether in cash, goods, or
18		services, for the operation of any business, association,
19		or organization during any calendar year; or
20		(F) When, with respect to a limited liability company,
21		an individual or his or her spouse is a member, or the
22		individual or his or her spouse is a holder, directly or
23		beneficially, of 5% or more of the membership interest of
24		the limited liability company.
25		For purposes of this subsection (g), "individual" includes
26		all individuals or their spouses whose combined interest would

SB0690 Enrolled - 741 - LRB101 04451 HLH 49459 b
1		qualify as a substantial interest under this subsection (g) and
2		whose activities with respect to an organization, association,
3		or business are so closely aligned or coordinated as to
4		constitute the activities of a single entity.
5		(h) Location restriction. A licensed establishment,
6		licensed truck stop establishment, licensed large truck stop
7		establishment, licensed fraternal establishment, or licensed
8		veterans establishment that is (i) located within 1,000 feet of
9		a facility operated by an organization licensee licensed under
10		the Illinois Horse Racing Act of 1975 or the home dock of a
11		riverboat licensed under the Illinois Riverboat Gambling Act or
12		(ii) located within 100 feet of a school or a place of worship
13		under the Religious Corporation Act, is ineligible to operate a
14		video gaming terminal. The location restrictions in this
15		subsection (h) do not apply if (A) a facility operated by an
16		organization licensee, a school, or a place of worship moves to
17		or is established within the restricted area after a licensed
18		establishment, licensed truck stop establishment, licensed
19		large truck stop establishment, licensed fraternal
20		establishment, or licensed veterans establishment becomes
21		licensed under this Act or (B) a school or place of worship
22		moves to or is established within the restricted area after a
23		licensed establishment, licensed truck stop establishment,
24		licensed large truck stop establishment, licensed fraternal
25		establishment, or licensed veterans establishment obtains its
26		original liquor license. For the purpose of this subsection,

SB0690 Enrolled - 742 - LRB101 04451 HLH 49459 b
1		"school" means an elementary or secondary public school, or an
2		elementary or secondary private school registered with or
3		recognized by the State Board of Education.
4		Notwithstanding the provisions of this subsection (h), the
5		Board may waive the requirement that a licensed establishment,
6		licensed truck stop establishment, licensed large truck stop
7		establishment, licensed fraternal establishment, or licensed
8		veterans establishment not be located within 1,000 feet from a
9		facility operated by an organization licensee licensed under
10		the Illinois Horse Racing Act of 1975 or the home dock of a
11		riverboat licensed under the Illinois Riverboat Gambling Act.
12		The Board shall not grant such waiver if there is any common
13		ownership or control, shared business activity, or contractual
14		arrangement of any type between the establishment and the
15		organization licensee or owners licensee of a riverboat. The
16		Board shall adopt rules to implement the provisions of this
17		paragraph.
18		(h-5) Restrictions on licenses in malls. The Board shall
19		not grant an application to become a licensed video gaming
20		location if the Board determines that granting the application
21		would more likely than not cause a terminal operator,
22		individually or in combination with other terminal operators,
23		licensed video gaming location, or other person or entity, to
24		operate the video gaming terminals in 2 or more licensed video
25		gaming locations as a single video gaming operation.
26		(1) In making determinations under this subsection

SB0690 Enrolled - 743 - LRB101 04451 HLH 49459 b
1		(h-5), factors to be considered by the Board shall include,
2		but not be limited to, the following:
3		(A) the physical aspects of the location;
4		(B) the ownership, control, or management of the
5		location;
6		(C) any arrangements, understandings, or
7		agreements, written or otherwise, among or involving
8		any persons or entities that involve the conducting of
9		any video gaming business or the sharing of costs or
10		revenues; and
11		(D) the manner in which any terminal operator or
12		other related entity markets, advertises, or otherwise
13		describes any location or locations to any other person
14		or entity or to the public.
15		(2) The Board shall presume, subject to rebuttal, that
16		the granting of an application to become a licensed video
17		gaming location within a mall will cause a terminal
18		operator, individually or in combination with other
19		persons or entities, to operate the video gaming terminals
20		in 2 or more licensed video gaming locations as a single
21		video gaming operation if the Board determines that
22		granting the license would create a local concentration of
23		licensed video gaming locations.
24		For the purposes of this subsection (h-5):
25		"Mall" means a building, or adjoining or connected
26		buildings, containing 4 or more separate locations.

SB0690 Enrolled - 744 - LRB101 04451 HLH 49459 b
1		"Video gaming operation" means the conducting of video
2		gaming and all related activities.
3		"Location" means a space within a mall containing a
4		separate business, a place for a separate business, or a place
5		subject to a separate leasing arrangement by the mall owner.
6		"Licensed video gaming location" means a licensed
7		establishment, licensed fraternal establishment, licensed
8		veterans establishment, licensed truck stop establishment, or
9		licensed large truck stop.
10		"Local concentration of licensed video gaming locations"
11		means that the combined number of licensed video gaming
12		locations within a mall exceed half of the separate locations
13		within the mall.
14		(i) Undue economic concentration. In addition to
15		considering all other requirements under this Act, in deciding
16		whether to approve the operation of video gaming terminals by a
17		terminal operator in a location, the Board shall consider the
18		impact of any economic concentration of such operation of video
19		gaming terminals. The Board shall not allow a terminal operator
20		to operate video gaming terminals if the Board determines such
21		operation will result in undue economic concentration. For
22		purposes of this Section, "undue economic concentration" means
23		that a terminal operator would have such actual or potential
24		influence over video gaming terminals in Illinois as to:
25		(1) substantially impede or suppress competition among
26		terminal operators;

SB0690 Enrolled - 745 - LRB101 04451 HLH 49459 b
1		(2) adversely impact the economic stability of the
2		video gaming industry in Illinois; or
3		(3) negatively impact the purposes of the Video Gaming
4		Act.
5		The Board shall adopt rules concerning undue economic
6		concentration with respect to the operation of video gaming
7		terminals in Illinois. The rules shall include, but not be
8		limited to, (i) limitations on the number of video gaming
9		terminals operated by any terminal operator within a defined
10		geographic radius and (ii) guidelines on the discontinuation of
11		operation of any such video gaming terminals the Board
12		determines will cause undue economic concentration.
13		(j) The provisions of the Illinois Antitrust Act are fully
14		and equally applicable to the activities of any licensee under
15		this Act.
16		(Source: P.A. 97-333, eff. 8-12-11; 98-31, eff. 6-24-13; 98-77,
17		eff. 7-15-13; 98-112, eff. 7-26-13; 98-756, eff. 7-16-14.)
18		(230 ILCS 40/30)
19		Sec. 30. Multiple types of licenses prohibited. A video
20		gaming terminal manufacturer may not be licensed as a video
21		gaming terminal operator or own, manage, or control a licensed
22		establishment, licensed truck stop establishment, licensed
23		large truck stop establishment, licensed fraternal
24		establishment, or licensed veterans establishment, and shall
25		be licensed to sell only to persons having a valid

SB0690 Enrolled - 746 - LRB101 04451 HLH 49459 b
1		distributor's license or, if the manufacturer also holds a
2		valid distributor's license, to sell, distribute, lease, or
3		market to persons having a valid terminal operator's license. A
4		video gaming terminal distributor may not be licensed as a
5		video gaming terminal operator or own, manage, or control a
6		licensed establishment, licensed truck stop establishment,
7		licensed large truck stop establishment, licensed fraternal
8		establishment, or licensed veterans establishment, and shall
9		only contract with a licensed terminal operator. A video gaming
10		terminal operator may not be licensed as a video gaming
11		terminal manufacturer or distributor or own, manage, or control
12		a licensed establishment, licensed truck stop establishment,
13		licensed large truck stop establishment, licensed fraternal
14		establishment, or licensed veterans establishment, and shall
15		be licensed only to contract with licensed distributors and
16		licensed establishments, licensed truck stop establishments,
17		licensed large truck stop establishments, licensed fraternal
18		establishments, and licensed veterans establishments. An owner
19		or manager of a licensed establishment, licensed truck stop
20		establishment, licensed large truck stop establishment,
21		licensed fraternal establishment, or licensed veterans
22		establishment may not be licensed as a video gaming terminal
23		manufacturer, distributor, or operator, and shall only
24		contract with a licensed operator to place and service this
25		equipment.
26		(Source: P.A. 96-34, eff. 7-13-09; 96-1410, eff. 7-30-10.)

SB0690 Enrolled - 747 - LRB101 04451 HLH 49459 b
1		(230 ILCS 40/35)
2		Sec. 35. Display of license; confiscation; violation as
3		felony.
4		(a) Each video gaming terminal shall be licensed by the
5		Board before placement or operation on the premises of a
6		licensed establishment, licensed truck stop establishment,
7		licensed large truck stop establishment, licensed fraternal
8		establishment, or licensed veterans establishment. The license
9		of each video gaming terminal shall be maintained at the
10		location where the video gaming terminal is operated. Failure
11		to do so is a petty offense with a fine not to exceed $100. Any
12		licensed establishment, licensed truck stop establishment,
13		licensed large truck stop establishment, licensed fraternal
14		establishment, or licensed veterans establishment used for the
15		conduct of gambling games in violation of this Act shall be
16		considered a gambling place in violation of Section 28-3 of the
17		Criminal Code of 2012. Every gambling device found in a
18		licensed establishment, licensed truck stop establishment,
19		licensed large truck stop establishment, licensed fraternal
20		establishment, or licensed veterans establishment operating
21		gambling games in violation of this Act shall be subject to
22		seizure, confiscation, and destruction as provided in Section
23		28-5 of the Criminal Code of 2012. Any license issued under the
24		Liquor Control Act of 1934 to any owner or operator of a
25		licensed establishment, licensed truck stop establishment,

SB0690 Enrolled - 748 - LRB101 04451 HLH 49459 b
1		licensed large truck stop establishment, licensed fraternal
2		establishment, or licensed veterans establishment that
3		operates or permits the operation of a video gaming terminal
4		within its establishment in violation of this Act shall be
5		immediately revoked. No person may own, operate, have in his or
6		her possession or custody or under his or her control, or
7		permit to be kept in any place under his or her possession or
8		control, any device that awards credits and contains a circuit,
9		meter, or switch capable of removing and recording the removal
10		of credits when the award of credits is dependent upon chance.
11		Nothing in this Section shall be deemed to prohibit the use
12		of a game device only if the game device is used in an activity
13		that is not gambling under subsection (b) of Section 28-1 of
14		the Criminal Code of 2012.
15		A violation of this Section is a Class 4 felony. All
16		devices that are owned, operated, or possessed in violation of
17		this Section are hereby declared to be public nuisances and
18		shall be subject to seizure, confiscation, and destruction as
19		provided in Section 28-5 of the Criminal Code of 2012.
20		The provisions of this Section do not apply to devices or
21		electronic video game terminals licensed pursuant to this Act.
22		A video gaming terminal operated for amusement only and bearing
23		a valid amusement tax sticker shall not be subject to this
24		Section until 30 days after the Board establishes that the
25		central communications system is functional.
26		(b) (1) The odds of winning each video game shall be posted

SB0690 Enrolled - 749 - LRB101 04451 HLH 49459 b
1		on or near each video gaming terminal. The manner in which the
2		odds are calculated and how they are posted shall be determined
3		by the Board by rule.
4		(2) No video gaming terminal licensed under this Act may be
5		played except during the legal hours of operation allowed for
6		the consumption of alcoholic beverages at the licensed
7		establishment, licensed fraternal establishment, or licensed
8		veterans establishment. A licensed establishment, licensed
9		fraternal establishment, or licensed veterans establishment
10		that violates this subsection is subject to termination of its
11		license by the Board.
12		(Source: P.A. 97-1150, eff. 1-25-13; 98-111, eff. 1-1-14.)
13		(230 ILCS 40/45)
14		Sec. 45. Issuance of license.
15		(a) The burden is upon each applicant to demonstrate his
16		suitability for licensure. Each video gaming terminal
17		manufacturer, distributor, supplier, operator, handler,
18		licensed establishment, licensed truck stop establishment,
19		licensed large truck stop establishment, licensed fraternal
20		establishment, and licensed veterans establishment shall be
21		licensed by the Board. The Board may issue or deny a license
22		under this Act to any person pursuant to the same criteria set
23		forth in Section 9 of the Illinois Riverboat Gambling Act.
24		(a-5) The Board shall not grant a license to a person who
25		has facilitated, enabled, or participated in the use of

SB0690 Enrolled - 750 - LRB101 04451 HLH 49459 b
1		coin-operated devices for gambling purposes or who is under the
2		significant influence or control of such a person. For the
3		purposes of this Act, "facilitated, enabled, or participated in
4		the use of coin-operated amusement devices for gambling
5		purposes" means that the person has been convicted of any
6		violation of Article 28 of the Criminal Code of 1961 or the
7		Criminal Code of 2012. If there is pending legal action against
8		a person for any such violation, then the Board shall delay the
9		licensure of that person until the legal action is resolved.
10		(b) Each person seeking and possessing a license as a video
11		gaming terminal manufacturer, distributor, supplier, operator,
12		handler, licensed establishment, licensed truck stop
13		establishment, licensed large truck stop establishment,
14		licensed fraternal establishment, or licensed veterans
15		establishment shall submit to a background investigation
16		conducted by the Board with the assistance of the State Police
17		or other law enforcement. To the extent that the corporate
18		structure of the applicant allows, the background
19		investigation shall include any or all of the following as the
20		Board deems appropriate or as provided by rule for each
21		category of licensure: (i) each beneficiary of a trust, (ii)
22		each partner of a partnership, (iii) each member of a limited
23		liability company, (iv) each director and officer of a publicly
24		or non-publicly held corporation, (v) each stockholder of a
25		non-publicly held corporation, (vi) each stockholder of 5% or
26		more of a publicly held corporation, or (vii) each stockholder

SB0690 Enrolled - 751 - LRB101 04451 HLH 49459 b
1		of 5% or more in a parent or subsidiary corporation.
2		(c) Each person seeking and possessing a license as a video
3		gaming terminal manufacturer, distributor, supplier, operator,
4		handler, licensed establishment, licensed truck stop
5		establishment, licensed large truck stop establishment,
6		licensed fraternal establishment, or licensed veterans
7		establishment shall disclose the identity of every person,
8		association, trust, corporation, or limited liability company
9		having a greater than 1% direct or indirect pecuniary interest
10		in the video gaming terminal operation for which the license is
11		sought. If the disclosed entity is a trust, the application
12		shall disclose the names and addresses of the beneficiaries; if
13		a corporation, the names and addresses of all stockholders and
14		directors; if a limited liability company, the names and
15		addresses of all members; or if a partnership, the names and
16		addresses of all partners, both general and limited.
17		(d) No person may be licensed as a video gaming terminal
18		manufacturer, distributor, supplier, operator, handler,
19		licensed establishment, licensed truck stop establishment,
20		licensed large truck stop establishment, licensed fraternal
21		establishment, or licensed veterans establishment if that
22		person has been found by the Board to:
23		(1) have a background, including a criminal record,
24		reputation, habits, social or business associations, or
25		prior activities that pose a threat to the public interests
26		of the State or to the security and integrity of video

SB0690 Enrolled - 752 - LRB101 04451 HLH 49459 b
1		gaming;
2		(2) create or enhance the dangers of unsuitable,
3		unfair, or illegal practices, methods, and activities in
4		the conduct of video gaming; or
5		(3) present questionable business practices and
6		financial arrangements incidental to the conduct of video
7		gaming activities.
8		(e) Any applicant for any license under this Act has the
9		burden of proving his or her qualifications to the satisfaction
10		of the Board. The Board may adopt rules to establish additional
11		qualifications and requirements to preserve the integrity and
12		security of video gaming in this State.
13		(f) A non-refundable application fee shall be paid at the
14		time an application for a license is filed with the Board in
15		the following amounts:
16		(1) Manufacturer..........................$5,000
17		(2) Distributor...........................$5,000
18		(3) Terminal operator.....................$5,000
19		(4) Supplier..............................$2,500
20		(5) Technician..............................$100
21		(6) Terminal Handler........................$100
22		(7) Licensed establishment, licensed truck stop
23		establishment, licensed large truck stop establishment,
24		licensed fraternal establishment, or licensed
25		veterans establishment...............................$100
26		(g) The Board shall establish an annual fee for each

SB0690 Enrolled - 753 - LRB101 04451 HLH 49459 b
1		license not to exceed the following:
2		(1) Manufacturer.........................$10,000
3		(2) Distributor..........................$10,000
4		(3) Terminal operator.....................$5,000
5		(4) Supplier..............................$2,000
6		(5) Technician..............................$100
7		(6) Licensed establishment, licensed truck stop
8		establishment, licensed large truck stop establishment,
9		licensed fraternal establishment, or licensed
10		veterans establishment..........................$100
11		(7) Video gaming terminal...................$100
12		(8) Terminal Handler............................$100
13		(h) A terminal operator and a licensed establishment,
14		licensed truck stop establishment, licensed large truck stop
15		establishment, licensed fraternal establishment, or licensed
16		veterans establishment shall equally split the fees specified
17		in item (7) of subsection (g).
18		(Source: P.A. 100-1152, eff. 12-14-18.)
19		(230 ILCS 40/55)
20		Sec. 55. Precondition for licensed location. In all cases
21		of application for a licensed location, to operate a video
22		gaming terminal, each licensed establishment, licensed
23		fraternal establishment, or licensed veterans establishment
24		shall possess a valid liquor license issued by the Illinois
25		Liquor Control Commission in effect at the time of application

SB0690 Enrolled - 754 - LRB101 04451 HLH 49459 b
1		and at all times thereafter during which a video gaming
2		terminal is made available to the public for play at that
3		location. Video gaming terminals in a licensed location shall
4		be operated only during the same hours of operation generally
5		permitted to holders of a license under the Liquor Control Act
6		of 1934 within the unit of local government in which they are
7		located. A licensed truck stop establishment or licensed large
8		truck stop establishment that does not hold a liquor license
9		may operate video gaming terminals on a continuous basis. A
10		licensed fraternal establishment or licensed veterans
11		establishment that does not hold a liquor license may operate
12		video gaming terminals if (i) the establishment is located in a
13		county with a population between 6,500 and 7,000, based on the
14		2000 U.S. Census, (ii) the county prohibits by ordinance the
15		sale of alcohol, and (iii) the establishment is in a portion of
16		the county where the sale of alcohol is prohibited. A licensed
17		fraternal establishment or licensed veterans establishment
18		that does not hold a liquor license may operate video gaming
19		terminals if (i) the establishment is located in a municipality
20		within a county with a population between 8,500 and 9,000 based
21		on the 2000 U.S. Census and (ii) the municipality or county
22		prohibits or limits the sale of alcohol by ordinance in a way
23		that prohibits the establishment from selling alcohol.
24		(Source: P.A. 96-34, eff. 7-13-09; 96-1410, eff. 7-30-10;
25		97-594, eff. 8-26-11.)

SB0690 Enrolled - 755 - LRB101 04451 HLH 49459 b
1		(230 ILCS 40/58)
2		Sec. 58. Location of terminals. Video gaming terminals
3		must be located in an area restricted to persons over 21 years
4		of age the entrance to which is within the view of at least one
5		employee, who is over 21 years of age, of the establishment in
6		which they are located. The placement of video gaming terminals
7		in licensed establishments, licensed truck stop
8		establishments, licensed large truck stop establishments,
9		licensed fraternal establishments, and licensed veterans
10		establishments shall be subject to the rules promulgated by the
11		Board pursuant to the Illinois Administrative Procedure Act.
12		(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09.)
13		(230 ILCS 40/60)
14		Sec. 60. Imposition and distribution of tax.
15		(a) A tax of 30% is imposed on net terminal income and
16		shall be collected by the Board.
17		(b) Of the tax collected under this subsection (a) Section,
18		five-sixths shall be deposited into the Capital Projects Fund
19		and one-sixth shall be deposited into the Local Government
20		Video Gaming Distributive Fund.
21		(b) Beginning on July 1, 2019, an additional tax of 3% is
22		imposed on net terminal income and shall be collected by the
23		Board.
24		Beginning on July 1, 2020, an additional tax of 1% is
25		imposed on net terminal income and shall be collected by the

SB0690 Enrolled - 756 - LRB101 04451 HLH 49459 b
1		Board.
2		The tax collected under this subsection (b) shall be
3		deposited into the Capital Projects Fund.
4		(c) Revenues generated from the play of video gaming
5		terminals shall be deposited by the terminal operator, who is
6		responsible for tax payments, in a specially created, separate
7		bank account maintained by the video gaming terminal operator
8		to allow for electronic fund transfers of moneys for tax
9		payment.
10		(d) Each licensed establishment, licensed truck stop
11		establishment, licensed large truck stop establishment,
12		licensed fraternal establishment, and licensed veterans
13		establishment shall maintain an adequate video gaming fund,
14		with the amount to be determined by the Board.
15		(e) The State's percentage of net terminal income shall be
16		reported and remitted to the Board within 15 days after the
17		15th day of each month and within 15 days after the end of each
18		month by the video terminal operator. A video terminal operator
19		who falsely reports or fails to report the amount due required
20		by this Section is guilty of a Class 4 felony and is subject to
21		termination of his or her license by the Board. Each video
22		terminal operator shall keep a record of net terminal income in
23		such form as the Board may require. All payments not remitted
24		when due shall be paid together with a penalty assessment on
25		the unpaid balance at a rate of 1.5% per month.
26		(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09.)

SB0690 Enrolled - 757 - LRB101 04451 HLH 49459 b
1		(230 ILCS 40/79)
2		Sec. 79. Investigators. Investigators appointed by the
3		Board pursuant to the powers conferred upon the Board by
4		paragraph (20.6) of subsection (c) of Section 5 of the Illinois
5		Riverboat Gambling Act and Section 80 of this Act shall have
6		authority to conduct investigations, searches, seizures,
7		arrests, and other duties imposed under this Act and the
8		Illinois Riverboat Gambling Act, as deemed necessary by the
9		Board. These investigators have and may exercise all of the
10		rights and powers of peace officers, provided that these powers
11		shall be (1) limited to offenses or violations occurring or
12		committed in connection with conduct subject to this Act,
13		including, but not limited to, the manufacture, distribution,
14		supply, operation, placement, service, maintenance, or play of
15		video gaming terminals and the distribution of profits and
16		collection of revenues resulting from such play, and (2)
17		exercised, to the fullest extent practicable, in cooperation
18		with the local police department of the applicable municipality
19		or, if these powers are exercised outside the boundaries of an
20		incorporated municipality or within a municipality that does
21		not have its own police department, in cooperation with the
22		police department whose jurisdiction encompasses the
23		applicable locality.
24		(Source: P.A. 97-809, eff. 7-13-12.)

SB0690 Enrolled - 758 - LRB101 04451 HLH 49459 b
1		(230 ILCS 40/80)
2		Sec. 80. Applicability of Illinois Riverboat Gambling Act.
3		The provisions of the Illinois Riverboat Gambling Act, and all
4		rules promulgated thereunder, shall apply to the Video Gaming
5		Act, except where there is a conflict between the 2 Acts. In
6		the event of a conflict between the 2 Acts, the provisions of
7		the Illinois Gambling Act shall prevail. All current supplier
8		licensees under the Illinois Riverboat Gambling Act shall be
9		entitled to licensure under the Video Gaming Act as
10		manufacturers, distributors, or suppliers without additional
11		Board investigation or approval, except by vote of the Board;
12		however, they are required to pay application and annual fees
13		under this Act. All provisions of the Uniform Penalty and
14		Interest Act shall apply, as far as practicable, to the subject
15		matter of this Act to the same extent as if such provisions
16		were included herein.
17		(Source: P.A. 100-1152, eff. 12-14-18.)
18		Section 35-65. The Liquor Control Act of 1934 is amended by
19		changing Sections 5-1 and 6-30 as follows:
20		(235 ILCS 5/5-1) (from Ch. 43, par. 115)
21		Sec. 5-1. Licenses issued by the Illinois Liquor Control
22		Commission shall be of the following classes:
23		(a) Manufacturer's license - Class 1. Distiller, Class 2.
24		Rectifier, Class 3. Brewer, Class 4. First Class Wine

SB0690 Enrolled - 759 - LRB101 04451 HLH 49459 b
1		Manufacturer, Class 5. Second Class Wine Manufacturer, Class 6.
2		First Class Winemaker, Class 7. Second Class Winemaker, Class
3		8. Limited Wine Manufacturer, Class 9. Craft Distiller, Class
4		10. Class 1 Brewer, Class 11. Class 2 Brewer,
5		(b) Distributor's license,
6		(c) Importing Distributor's license,
7		(d) Retailer's license,
8		(e) Special Event Retailer's license (not-for-profit),
9		(f) Railroad license,
10		(g) Boat license,
11		(h) Non-Beverage User's license,
12		(i) Wine-maker's premises license,
13		(j) Airplane license,
14		(k) Foreign importer's license,
15		(l) Broker's license,
16		(m) Non-resident dealer's license,
17		(n) Brew Pub license,
18		(o) Auction liquor license,
19		(p) Caterer retailer license,
20		(q) Special use permit license,
21		(r) Winery shipper's license,
22		(s) Craft distiller tasting permit,
23		(t) Brewer warehouse permit.
24		No person, firm, partnership, corporation, or other legal
25		business entity that is engaged in the manufacturing of wine
26		may concurrently obtain and hold a wine-maker's license and a

SB0690 Enrolled - 760 - LRB101 04451 HLH 49459 b
1		wine manufacturer's license.
2		(a) A manufacturer's license shall allow the manufacture,
3		importation in bulk, storage, distribution and sale of
4		alcoholic liquor to persons without the State, as may be
5		permitted by law and to licensees in this State as follows:
6		Class 1. A Distiller may make sales and deliveries of
7		alcoholic liquor to distillers, rectifiers, importing
8		distributors, distributors and non-beverage users and to no
9		other licensees.
10		Class 2. A Rectifier, who is not a distiller, as defined
11		herein, may make sales and deliveries of alcoholic liquor to
12		rectifiers, importing distributors, distributors, retailers
13		and non-beverage users and to no other licensees.
14		Class 3. A Brewer may make sales and deliveries of beer to
15		importing distributors and distributors and may make sales as
16		authorized under subsection (e) of Section 6-4 of this Act.
17		Class 4. A first class wine-manufacturer may make sales and
18		deliveries of up to 50,000 gallons of wine to manufacturers,
19		importing distributors and distributors, and to no other
20		licensees.
21		Class 5. A second class Wine manufacturer may make sales
22		and deliveries of more than 50,000 gallons of wine to
23		manufacturers, importing distributors and distributors and to
24		no other licensees.
25		Class 6. A first-class wine-maker's license shall allow the
26		manufacture of up to 50,000 gallons of wine per year, and the

SB0690 Enrolled - 761 - LRB101 04451 HLH 49459 b
1		storage and sale of such wine to distributors in the State and
2		to persons without the State, as may be permitted by law. A
3		person who, prior to June 1, 2008 (the effective date of Public
4		Act 95-634), is a holder of a first-class wine-maker's license
5		and annually produces more than 25,000 gallons of its own wine
6		and who distributes its wine to licensed retailers shall cease
7		this practice on or before July 1, 2008 in compliance with
8		Public Act 95-634.
9		Class 7. A second-class wine-maker's license shall allow
10		the manufacture of between 50,000 and 150,000 gallons of wine
11		per year, and the storage and sale of such wine to distributors
12		in this State and to persons without the State, as may be
13		permitted by law. A person who, prior to June 1, 2008 (the
14		effective date of Public Act 95-634), is a holder of a
15		second-class wine-maker's license and annually produces more
16		than 25,000 gallons of its own wine and who distributes its
17		wine to licensed retailers shall cease this practice on or
18		before July 1, 2008 in compliance with Public Act 95-634.
19		Class 8. A limited wine-manufacturer may make sales and
20		deliveries not to exceed 40,000 gallons of wine per year to
21		distributors, and to non-licensees in accordance with the
22		provisions of this Act.
23		Class 9. A craft distiller license shall allow the
24		manufacture of up to 100,000 gallons of spirits by distillation
25		per year and the storage of such spirits. If a craft distiller
26		licensee, including a craft distiller licensee who holds more

SB0690 Enrolled - 762 - LRB101 04451 HLH 49459 b
1		than one craft distiller license, is not affiliated with any
2		other manufacturer of spirits, then the craft distiller
3		licensee may sell such spirits to distributors in this State
4		and up to 2,500 gallons of such spirits to non-licensees to the
5		extent permitted by any exemption approved by the Commission
6		pursuant to Section 6-4 of this Act. A craft distiller license
7		holder may store such spirits at a non-contiguous licensed
8		location, but at no time shall a craft distiller license holder
9		directly or indirectly produce in the aggregate more than
10		100,000 gallons of spirits per year.
11		A craft distiller licensee may hold more than one craft
12		distiller's license. However, a craft distiller that holds more
13		than one craft distiller license shall not manufacture, in the
14		aggregate, more than 100,000 gallons of spirits by distillation
15		per year and shall not sell, in the aggregate, more than 2,500
16		gallons of such spirits to non-licensees in accordance with an
17		exemption approved by the State Commission pursuant to Section
18		6-4 of this Act.
19		Any craft distiller licensed under this Act who on July 28,
20		2010 (the effective date of Public Act 96-1367) was licensed as
21		a distiller and manufactured no more spirits than permitted by
22		this Section shall not be required to pay the initial licensing
23		fee.
24		Class 10. A class 1 brewer license, which may only be
25		issued to a licensed brewer or licensed non-resident dealer,
26		shall allow the manufacture of up to 930,000 gallons of beer

SB0690 Enrolled - 763 - LRB101 04451 HLH 49459 b
1		per year provided that the class 1 brewer licensee does not
2		manufacture more than a combined 930,000 gallons of beer per
3		year and is not a member of or affiliated with, directly or
4		indirectly, a manufacturer that produces more than 930,000
5		gallons of beer per year or any other alcoholic liquor. A class
6		1 brewer licensee may make sales and deliveries to importing
7		distributors and distributors and to retail licensees in
8		accordance with the conditions set forth in paragraph (18) of
9		subsection (a) of Section 3-12 of this Act. If the State
10		Commission provides prior approval, a class 1 brewer may
11		annually transfer up to 930,000 gallons of beer manufactured by
12		that class 1 brewer to the premises of a licensed class 1
13		brewer wholly owned and operated by the same licensee.
14		Class 11. A class 2 brewer license, which may only be
15		issued to a licensed brewer or licensed non-resident dealer,
16		shall allow the manufacture of up to 3,720,000 gallons of beer
17		per year provided that the class 2 brewer licensee does not
18		manufacture more than a combined 3,720,000 gallons of beer per
19		year and is not a member of or affiliated with, directly or
20		indirectly, a manufacturer that produces more than 3,720,000
21		gallons of beer per year or any other alcoholic liquor. A class
22		2 brewer licensee may make sales and deliveries to importing
23		distributors and distributors, but shall not make sales or
24		deliveries to any other licensee. If the State Commission
25		provides prior approval, a class 2 brewer licensee may annually
26		transfer up to 3,720,000 gallons of beer manufactured by that

SB0690 Enrolled - 764 - LRB101 04451 HLH 49459 b
1		class 2 brewer licensee to the premises of a licensed class 2
2		brewer wholly owned and operated by the same licensee.
3		A class 2 brewer may transfer beer to a brew pub wholly
4		owned and operated by the class 2 brewer subject to the
5		following limitations and restrictions: (i) the transfer shall
6		not annually exceed more than 31,000 gallons; (ii) the annual
7		amount transferred shall reduce the brew pub's annual permitted
8		production limit; (iii) all beer transferred shall be subject
9		to Article VIII of this Act; (iv) a written record shall be
10		maintained by the brewer and brew pub specifying the amount,
11		date of delivery, and receipt of the product by the brew pub;
12		and (v) the brew pub shall be located no farther than 80 miles
13		from the class 2 brewer's licensed location.
14		A class 2 brewer shall, prior to transferring beer to a
15		brew pub wholly owned by the class 2 brewer, furnish a written
16		notice to the State Commission of intent to transfer beer
17		setting forth the name and address of the brew pub and shall
18		annually submit to the State Commission a verified report
19		identifying the total gallons of beer transferred to the brew
20		pub wholly owned by the class 2 brewer.
21		(a-1) A manufacturer which is licensed in this State to
22		make sales or deliveries of alcoholic liquor to licensed
23		distributors or importing distributors and which enlists
24		agents, representatives, or individuals acting on its behalf
25		who contact licensed retailers on a regular and continual basis
26		in this State must register those agents, representatives, or

SB0690 Enrolled - 765 - LRB101 04451 HLH 49459 b
1		persons acting on its behalf with the State Commission.
2		Registration of agents, representatives, or persons acting
3		on behalf of a manufacturer is fulfilled by submitting a form
4		to the Commission. The form shall be developed by the
5		Commission and shall include the name and address of the
6		applicant, the name and address of the manufacturer he or she
7		represents, the territory or areas assigned to sell to or
8		discuss pricing terms of alcoholic liquor, and any other
9		questions deemed appropriate and necessary. All statements in
10		the forms required to be made by law or by rule shall be deemed
11		material, and any person who knowingly misstates any material
12		fact under oath in an application is guilty of a Class B
13		misdemeanor. Fraud, misrepresentation, false statements,
14		misleading statements, evasions, or suppression of material
15		facts in the securing of a registration are grounds for
16		suspension or revocation of the registration. The State
17		Commission shall post a list of registered agents on the
18		Commission's website.
19		(b) A distributor's license shall allow the wholesale
20		purchase and storage of alcoholic liquors and sale of alcoholic
21		liquors to licensees in this State and to persons without the
22		State, as may be permitted by law, and the sale of beer, cider,
23		or both beer and cider to brewers, class 1 brewers, and class 2
24		brewers that, pursuant to subsection (e) of Section 6-4 of this
25		Act, sell beer, cider, or both beer and cider to non-licensees
26		at their breweries. No person licensed as a distributor shall

SB0690 Enrolled - 766 - LRB101 04451 HLH 49459 b
1		be granted a non-resident dealer's license.
2		(c) An importing distributor's license may be issued to and
3		held by those only who are duly licensed distributors, upon the
4		filing of an application by a duly licensed distributor, with
5		the Commission and the Commission shall, without the payment of
6		any fee, immediately issue such importing distributor's
7		license to the applicant, which shall allow the importation of
8		alcoholic liquor by the licensee into this State from any point
9		in the United States outside this State, and the purchase of
10		alcoholic liquor in barrels, casks or other bulk containers and
11		the bottling of such alcoholic liquors before resale thereof,
12		but all bottles or containers so filled shall be sealed,
13		labeled, stamped and otherwise made to comply with all
14		provisions, rules and regulations governing manufacturers in
15		the preparation and bottling of alcoholic liquors. The
16		importing distributor's license shall permit such licensee to
17		purchase alcoholic liquor from Illinois licensed non-resident
18		dealers and foreign importers only. No person licensed as an
19		importing distributor shall be granted a non-resident dealer's
20		license.
21		(d) A retailer's license shall allow the licensee to sell
22		and offer for sale at retail, only in the premises specified in
23		the license, alcoholic liquor for use or consumption, but not
24		for resale in any form. Nothing in Public Act 95-634 shall
25		deny, limit, remove, or restrict the ability of a holder of a
26		retailer's license to transfer, deliver, or ship alcoholic

SB0690 Enrolled - 767 - LRB101 04451 HLH 49459 b
1		liquor to the purchaser for use or consumption subject to any
2		applicable local law or ordinance. Any retail license issued to
3		a manufacturer shall only permit the manufacturer to sell beer
4		at retail on the premises actually occupied by the
5		manufacturer. For the purpose of further describing the type of
6		business conducted at a retail licensed premises, a retailer's
7		licensee may be designated by the State Commission as (i) an on
8		premise consumption retailer, (ii) an off premise sale
9		retailer, or (iii) a combined on premise consumption and off
10		premise sale retailer.
11		Notwithstanding any other provision of this subsection
12		(d), a retail licensee may sell alcoholic liquors to a special
13		event retailer licensee for resale to the extent permitted
14		under subsection (e).
15		(e) A special event retailer's license (not-for-profit)
16		shall permit the licensee to purchase alcoholic liquors from an
17		Illinois licensed distributor (unless the licensee purchases
18		less than $500 of alcoholic liquors for the special event, in
19		which case the licensee may purchase the alcoholic liquors from
20		a licensed retailer) and shall allow the licensee to sell and
21		offer for sale, at retail, alcoholic liquors for use or
22		consumption, but not for resale in any form and only at the
23		location and on the specific dates designated for the special
24		event in the license. An applicant for a special event retailer
25		license must (i) furnish with the application: (A) a resale
26		number issued under Section 2c of the Retailers' Occupation Tax

SB0690 Enrolled - 768 - LRB101 04451 HLH 49459 b
1		Act or evidence that the applicant is registered under Section
2		2a of the Retailers' Occupation Tax Act, (B) a current, valid
3		exemption identification number issued under Section 1g of the
4		Retailers' Occupation Tax Act, and a certification to the
5		Commission that the purchase of alcoholic liquors will be a
6		tax-exempt purchase, or (C) a statement that the applicant is
7		not registered under Section 2a of the Retailers' Occupation
8		Tax Act, does not hold a resale number under Section 2c of the
9		Retailers' Occupation Tax Act, and does not hold an exemption
10		number under Section 1g of the Retailers' Occupation Tax Act,
11		in which event the Commission shall set forth on the special
12		event retailer's license a statement to that effect; (ii)
13		submit with the application proof satisfactory to the State
14		Commission that the applicant will provide dram shop liability
15		insurance in the maximum limits; and (iii) show proof
16		satisfactory to the State Commission that the applicant has
17		obtained local authority approval.
18		Nothing in this Act prohibits an Illinois licensed
19		distributor from offering credit or a refund for unused,
20		salable alcoholic liquors to a holder of a special event
21		retailer's license or from the special event retailer's
22		licensee from accepting the credit or refund of alcoholic
23		liquors at the conclusion of the event specified in the
24		license.
25		(f) A railroad license shall permit the licensee to import
26		alcoholic liquors into this State from any point in the United

SB0690 Enrolled - 769 - LRB101 04451 HLH 49459 b
1		States outside this State and to store such alcoholic liquors
2		in this State; to make wholesale purchases of alcoholic liquors
3		directly from manufacturers, foreign importers, distributors
4		and importing distributors from within or outside this State;
5		and to store such alcoholic liquors in this State; provided
6		that the above powers may be exercised only in connection with
7		the importation, purchase or storage of alcoholic liquors to be
8		sold or dispensed on a club, buffet, lounge or dining car
9		operated on an electric, gas or steam railway in this State;
10		and provided further, that railroad licensees exercising the
11		above powers shall be subject to all provisions of Article VIII
12		of this Act as applied to importing distributors. A railroad
13		license shall also permit the licensee to sell or dispense
14		alcoholic liquors on any club, buffet, lounge or dining car
15		operated on an electric, gas or steam railway regularly
16		operated by a common carrier in this State, but shall not
17		permit the sale for resale of any alcoholic liquors to any
18		licensee within this State. A license shall be obtained for
19		each car in which such sales are made.
20		(g) A boat license shall allow the sale of alcoholic liquor
21		in individual drinks, on any passenger boat regularly operated
22		as a common carrier on navigable waters in this State or on any
23		riverboat operated under the Illinois Riverboat Gambling Act,
24		which boat or riverboat maintains a public dining room or
25		restaurant thereon.
26		(h) A non-beverage user's license shall allow the licensee

SB0690 Enrolled - 770 - LRB101 04451 HLH 49459 b
1		to purchase alcoholic liquor from a licensed manufacturer or
2		importing distributor, without the imposition of any tax upon
3		the business of such licensed manufacturer or importing
4		distributor as to such alcoholic liquor to be used by such
5		licensee solely for the non-beverage purposes set forth in
6		subsection (a) of Section 8-1 of this Act, and such licenses
7		shall be divided and classified and shall permit the purchase,
8		possession and use of limited and stated quantities of
9		alcoholic liquor as follows:
10		Class 1, not to exceed ......................... 500 gallons
11		Class 2, not to exceed ....................... 1,000 gallons
12		Class 3, not to exceed ....................... 5,000 gallons
13		Class 4, not to exceed ...................... 10,000 gallons
14		Class 5, not to exceed ....................... 50,000 gallons
15		(i) A wine-maker's premises license shall allow a licensee
16		that concurrently holds a first-class wine-maker's license to
17		sell and offer for sale at retail in the premises specified in
18		such license not more than 50,000 gallons of the first-class
19		wine-maker's wine that is made at the first-class wine-maker's
20		licensed premises per year for use or consumption, but not for
21		resale in any form. A wine-maker's premises license shall allow
22		a licensee who concurrently holds a second-class wine-maker's
23		license to sell and offer for sale at retail in the premises
24		specified in such license up to 100,000 gallons of the
25		second-class wine-maker's wine that is made at the second-class
26		wine-maker's licensed premises per year for use or consumption

SB0690 Enrolled - 771 - LRB101 04451 HLH 49459 b
1		but not for resale in any form. A wine-maker's premises license
2		shall allow a licensee that concurrently holds a first-class
3		wine-maker's license or a second-class wine-maker's license to
4		sell and offer for sale at retail at the premises specified in
5		the wine-maker's premises license, for use or consumption but
6		not for resale in any form, any beer, wine, and spirits
7		purchased from a licensed distributor. Upon approval from the
8		State Commission, a wine-maker's premises license shall allow
9		the licensee to sell and offer for sale at (i) the wine-maker's
10		licensed premises and (ii) at up to 2 additional locations for
11		use and consumption and not for resale. Each location shall
12		require additional licensing per location as specified in
13		Section 5-3 of this Act. A wine-maker's premises licensee shall
14		secure liquor liability insurance coverage in an amount at
15		least equal to the maximum liability amounts set forth in
16		subsection (a) of Section 6-21 of this Act.
17		(j) An airplane license shall permit the licensee to import
18		alcoholic liquors into this State from any point in the United
19		States outside this State and to store such alcoholic liquors
20		in this State; to make wholesale purchases of alcoholic liquors
21		directly from manufacturers, foreign importers, distributors
22		and importing distributors from within or outside this State;
23		and to store such alcoholic liquors in this State; provided
24		that the above powers may be exercised only in connection with
25		the importation, purchase or storage of alcoholic liquors to be
26		sold or dispensed on an airplane; and provided further, that

SB0690 Enrolled - 772 - LRB101 04451 HLH 49459 b
1		airplane licensees exercising the above powers shall be subject
2		to all provisions of Article VIII of this Act as applied to
3		importing distributors. An airplane licensee shall also permit
4		the sale or dispensing of alcoholic liquors on any passenger
5		airplane regularly operated by a common carrier in this State,
6		but shall not permit the sale for resale of any alcoholic
7		liquors to any licensee within this State. A single airplane
8		license shall be required of an airline company if liquor
9		service is provided on board aircraft in this State. The annual
10		fee for such license shall be as determined in Section 5-3.
11		(k) A foreign importer's license shall permit such licensee
12		to purchase alcoholic liquor from Illinois licensed
13		non-resident dealers only, and to import alcoholic liquor other
14		than in bulk from any point outside the United States and to
15		sell such alcoholic liquor to Illinois licensed importing
16		distributors and to no one else in Illinois; provided that (i)
17		the foreign importer registers with the State Commission every
18		brand of alcoholic liquor that it proposes to sell to Illinois
19		licensees during the license period, (ii) the foreign importer
20		complies with all of the provisions of Section 6-9 of this Act
21		with respect to registration of such Illinois licensees as may
22		be granted the right to sell such brands at wholesale, and
23		(iii) the foreign importer complies with the provisions of
24		Sections 6-5 and 6-6 of this Act to the same extent that these
25		provisions apply to manufacturers.
26		(l) (i) A broker's license shall be required of all persons

SB0690 Enrolled - 773 - LRB101 04451 HLH 49459 b
1		who solicit orders for, offer to sell or offer to supply
2		alcoholic liquor to retailers in the State of Illinois, or who
3		offer to retailers to ship or cause to be shipped or to make
4		contact with distillers, rectifiers, brewers or manufacturers
5		or any other party within or without the State of Illinois in
6		order that alcoholic liquors be shipped to a distributor,
7		importing distributor or foreign importer, whether such
8		solicitation or offer is consummated within or without the
9		State of Illinois.
10		No holder of a retailer's license issued by the Illinois
11		Liquor Control Commission shall purchase or receive any
12		alcoholic liquor, the order for which was solicited or offered
13		for sale to such retailer by a broker unless the broker is the
14		holder of a valid broker's license.
15		The broker shall, upon the acceptance by a retailer of the
16		broker's solicitation of an order or offer to sell or supply or
17		deliver or have delivered alcoholic liquors, promptly forward
18		to the Illinois Liquor Control Commission a notification of
19		said transaction in such form as the Commission may by
20		regulations prescribe.
21		(ii) A broker's license shall be required of a person
22		within this State, other than a retail licensee, who, for a fee
23		or commission, promotes, solicits, or accepts orders for
24		alcoholic liquor, for use or consumption and not for resale, to
25		be shipped from this State and delivered to residents outside
26		of this State by an express company, common carrier, or

SB0690 Enrolled - 774 - LRB101 04451 HLH 49459 b
1		contract carrier. This Section does not apply to any person who
2		promotes, solicits, or accepts orders for wine as specifically
3		authorized in Section 6-29 of this Act.
4		A broker's license under this subsection (l) shall not
5		entitle the holder to buy or sell any alcoholic liquors for his
6		own account or to take or deliver title to such alcoholic
7		liquors.
8		This subsection (l) shall not apply to distributors,
9		employees of distributors, or employees of a manufacturer who
10		has registered the trademark, brand or name of the alcoholic
11		liquor pursuant to Section 6-9 of this Act, and who regularly
12		sells such alcoholic liquor in the State of Illinois only to
13		its registrants thereunder.
14		Any agent, representative, or person subject to
15		registration pursuant to subsection (a-1) of this Section shall
16		not be eligible to receive a broker's license.
17		(m) A non-resident dealer's license shall permit such
18		licensee to ship into and warehouse alcoholic liquor into this
19		State from any point outside of this State, and to sell such
20		alcoholic liquor to Illinois licensed foreign importers and
21		importing distributors and to no one else in this State;
22		provided that (i) said non-resident dealer shall register with
23		the Illinois Liquor Control Commission each and every brand of
24		alcoholic liquor which it proposes to sell to Illinois
25		licensees during the license period, (ii) it shall comply with
26		all of the provisions of Section 6-9 hereof with respect to

SB0690 Enrolled - 775 - LRB101 04451 HLH 49459 b
1		registration of such Illinois licensees as may be granted the
2		right to sell such brands at wholesale by duly filing such
3		registration statement, thereby authorizing the non-resident
4		dealer to proceed to sell such brands at wholesale, and (iii)
5		the non-resident dealer shall comply with the provisions of
6		Sections 6-5 and 6-6 of this Act to the same extent that these
7		provisions apply to manufacturers. No person licensed as a
8		non-resident dealer shall be granted a distributor's or
9		importing distributor's license.
10		(n) A brew pub license shall allow the licensee to only (i)
11		manufacture up to 155,000 gallons of beer per year only on the
12		premises specified in the license, (ii) make sales of the beer
13		manufactured on the premises or, with the approval of the
14		Commission, beer manufactured on another brew pub licensed
15		premises that is wholly owned and operated by the same licensee
16		to importing distributors, distributors, and to non-licensees
17		for use and consumption, (iii) store the beer upon the
18		premises, (iv) sell and offer for sale at retail from the
19		licensed premises for off-premises consumption no more than
20		155,000 gallons per year so long as such sales are only made
21		in-person, (v) sell and offer for sale at retail for use and
22		consumption on the premises specified in the license any form
23		of alcoholic liquor purchased from a licensed distributor or
24		importing distributor, and (vi) with the prior approval of the
25		Commission, annually transfer no more than 155,000 gallons of
26		beer manufactured on the premises to a licensed brew pub wholly

SB0690 Enrolled - 776 - LRB101 04451 HLH 49459 b
1		owned and operated by the same licensee.
2		A brew pub licensee shall not under any circumstance sell
3		or offer for sale beer manufactured by the brew pub licensee to
4		retail licensees.
5		A person who holds a class 2 brewer license may
6		simultaneously hold a brew pub license if the class 2 brewer
7		(i) does not, under any circumstance, sell or offer for sale
8		beer manufactured by the class 2 brewer to retail licensees;
9		(ii) does not hold more than 3 brew pub licenses in this State;
10		(iii) does not manufacture more than a combined 3,720,000
11		gallons of beer per year, including the beer manufactured at
12		the brew pub; and (iv) is not a member of or affiliated with,
13		directly or indirectly, a manufacturer that produces more than
14		3,720,000 gallons of beer per year or any other alcoholic
15		liquor.
16		Notwithstanding any other provision of this Act, a licensed
17		brewer, class 2 brewer, or non-resident dealer who before July
18		1, 2015 manufactured less than 3,720,000 gallons of beer per
19		year and held a brew pub license on or before July 1, 2015 may
20		(i) continue to qualify for and hold that brew pub license for
21		the licensed premises and (ii) manufacture more than 3,720,000
22		gallons of beer per year and continue to qualify for and hold
23		that brew pub license if that brewer, class 2 brewer, or
24		non-resident dealer does not simultaneously hold a class 1
25		brewer license and is not a member of or affiliated with,
26		directly or indirectly, a manufacturer that produces more than

SB0690 Enrolled - 777 - LRB101 04451 HLH 49459 b
1		3,720,000 gallons of beer per year or that produces any other
2		alcoholic liquor.
3		(o) A caterer retailer license shall allow the holder to
4		serve alcoholic liquors as an incidental part of a food service
5		that serves prepared meals which excludes the serving of snacks
6		as the primary meal, either on or off-site whether licensed or
7		unlicensed.
8		(p) An auction liquor license shall allow the licensee to
9		sell and offer for sale at auction wine and spirits for use or
10		consumption, or for resale by an Illinois liquor licensee in
11		accordance with provisions of this Act. An auction liquor
12		license will be issued to a person and it will permit the
13		auction liquor licensee to hold the auction anywhere in the
14		State. An auction liquor license must be obtained for each
15		auction at least 14 days in advance of the auction date.
16		(q) A special use permit license shall allow an Illinois
17		licensed retailer to transfer a portion of its alcoholic liquor
18		inventory from its retail licensed premises to the premises
19		specified in the license hereby created, and to sell or offer
20		for sale at retail, only in the premises specified in the
21		license hereby created, the transferred alcoholic liquor for
22		use or consumption, but not for resale in any form. A special
23		use permit license may be granted for the following time
24		periods: one day or less; 2 or more days to a maximum of 15 days
25		per location in any 12-month period. An applicant for the
26		special use permit license must also submit with the

SB0690 Enrolled - 778 - LRB101 04451 HLH 49459 b
1		application proof satisfactory to the State Commission that the
2		applicant will provide dram shop liability insurance to the
3		maximum limits and have local authority approval.
4		(r) A winery shipper's license shall allow a person with a
5		first-class or second-class wine manufacturer's license, a
6		first-class or second-class wine-maker's license, or a limited
7		wine manufacturer's license or who is licensed to make wine
8		under the laws of another state to ship wine made by that
9		licensee directly to a resident of this State who is 21 years
10		of age or older for that resident's personal use and not for
11		resale. Prior to receiving a winery shipper's license, an
12		applicant for the license must provide the Commission with a
13		true copy of its current license in any state in which it is
14		licensed as a manufacturer of wine. An applicant for a winery
15		shipper's license must also complete an application form that
16		provides any other information the Commission deems necessary.
17		The application form shall include all addresses from which the
18		applicant for a winery shipper's license intends to ship wine,
19		including the name and address of any third party, except for a
20		common carrier, authorized to ship wine on behalf of the
21		manufacturer. The application form shall include an
22		acknowledgement consenting to the jurisdiction of the
23		Commission, the Illinois Department of Revenue, and the courts
24		of this State concerning the enforcement of this Act and any
25		related laws, rules, and regulations, including authorizing
26		the Department of Revenue and the Commission to conduct audits

SB0690 Enrolled - 779 - LRB101 04451 HLH 49459 b
1		for the purpose of ensuring compliance with Public Act 95-634,
2		and an acknowledgement that the wine manufacturer is in
3		compliance with Section 6-2 of this Act. Any third party,
4		except for a common carrier, authorized to ship wine on behalf
5		of a first-class or second-class wine manufacturer's licensee,
6		a first-class or second-class wine-maker's licensee, a limited
7		wine manufacturer's licensee, or a person who is licensed to
8		make wine under the laws of another state shall also be
9		disclosed by the winery shipper's licensee, and a copy of the
10		written appointment of the third-party wine provider, except
11		for a common carrier, to the wine manufacturer shall be filed
12		with the State Commission as a supplement to the winery
13		shipper's license application or any renewal thereof. The
14		winery shipper's license holder shall affirm under penalty of
15		perjury, as part of the winery shipper's license application or
16		renewal, that he or she only ships wine, either directly or
17		indirectly through a third-party provider, from the licensee's
18		own production.
19		Except for a common carrier, a third-party provider
20		shipping wine on behalf of a winery shipper's license holder is
21		the agent of the winery shipper's license holder and, as such,
22		a winery shipper's license holder is responsible for the acts
23		and omissions of the third-party provider acting on behalf of
24		the license holder. A third-party provider, except for a common
25		carrier, that engages in shipping wine into Illinois on behalf
26		of a winery shipper's license holder shall consent to the

SB0690 Enrolled - 780 - LRB101 04451 HLH 49459 b
1		jurisdiction of the State Commission and the State. Any
2		third-party, except for a common carrier, holding such an
3		appointment shall, by February 1 of each calendar year and upon
4		request by the State Commission or the Department of Revenue,
5		file with the State Commission a statement detailing each
6		shipment made to an Illinois resident. The statement shall
7		include the name and address of the third-party provider filing
8		the statement, the time period covered by the statement, and
9		the following information:
10		(1) the name, address, and license number of the winery
11		shipper on whose behalf the shipment was made;
12		(2) the quantity of the products delivered; and
13		(3) the date and address of the shipment.
14		If the Department of Revenue or the State Commission requests a
15		statement under this paragraph, the third-party provider must
16		provide that statement no later than 30 days after the request
17		is made. Any books, records, supporting papers, and documents
18		containing information and data relating to a statement under
19		this paragraph shall be kept and preserved for a period of 3
20		years, unless their destruction sooner is authorized, in
21		writing, by the Director of Revenue, and shall be open and
22		available to inspection by the Director of Revenue or the State
23		Commission or any duly authorized officer, agent, or employee
24		of the State Commission or the Department of Revenue, at all
25		times during business hours of the day. Any person who violates
26		any provision of this paragraph or any rule of the State

SB0690 Enrolled - 781 - LRB101 04451 HLH 49459 b
1		Commission for the administration and enforcement of the
2		provisions of this paragraph is guilty of a Class C
3		misdemeanor. In case of a continuing violation, each day's
4		continuance thereof shall be a separate and distinct offense.
5		The State Commission shall adopt rules as soon as
6		practicable to implement the requirements of Public Act 99-904
7		and shall adopt rules prohibiting any such third-party
8		appointment of a third-party provider, except for a common
9		carrier, that has been deemed by the State Commission to have
10		violated the provisions of this Act with regard to any winery
11		shipper licensee.
12		A winery shipper licensee must pay to the Department of
13		Revenue the State liquor gallonage tax under Section 8-1 for
14		all wine that is sold by the licensee and shipped to a person
15		in this State. For the purposes of Section 8-1, a winery
16		shipper licensee shall be taxed in the same manner as a
17		manufacturer of wine. A licensee who is not otherwise required
18		to register under the Retailers' Occupation Tax Act must
19		register under the Use Tax Act to collect and remit use tax to
20		the Department of Revenue for all gallons of wine that are sold
21		by the licensee and shipped to persons in this State. If a
22		licensee fails to remit the tax imposed under this Act in
23		accordance with the provisions of Article VIII of this Act, the
24		winery shipper's license shall be revoked in accordance with
25		the provisions of Article VII of this Act. If a licensee fails
26		to properly register and remit tax under the Use Tax Act or the

SB0690 Enrolled - 782 - LRB101 04451 HLH 49459 b
1		Retailers' Occupation Tax Act for all wine that is sold by the
2		winery shipper and shipped to persons in this State, the winery
3		shipper's license shall be revoked in accordance with the
4		provisions of Article VII of this Act.
5		A winery shipper licensee must collect, maintain, and
6		submit to the Commission on a semi-annual basis the total
7		number of cases per resident of wine shipped to residents of
8		this State. A winery shipper licensed under this subsection (r)
9		must comply with the requirements of Section 6-29 of this Act.
10		Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
11		Section 3-12, the State Commission may receive, respond to, and
12		investigate any complaint and impose any of the remedies
13		specified in paragraph (1) of subsection (a) of Section 3-12.
14		As used in this subsection, "third-party provider" means
15		any entity that provides fulfillment house services, including
16		warehousing, packaging, distribution, order processing, or
17		shipment of wine, but not the sale of wine, on behalf of a
18		licensed winery shipper.
19		(s) A craft distiller tasting permit license shall allow an
20		Illinois licensed craft distiller to transfer a portion of its
21		alcoholic liquor inventory from its craft distiller licensed
22		premises to the premises specified in the license hereby
23		created and to conduct a sampling, only in the premises
24		specified in the license hereby created, of the transferred
25		alcoholic liquor in accordance with subsection (c) of Section
26		6-31 of this Act. The transferred alcoholic liquor may not be

SB0690 Enrolled - 783 - LRB101 04451 HLH 49459 b
1		sold or resold in any form. An applicant for the craft
2		distiller tasting permit license must also submit with the
3		application proof satisfactory to the State Commission that the
4		applicant will provide dram shop liability insurance to the
5		maximum limits and have local authority approval.
6		A brewer warehouse permit may be issued to the holder of a
7		class 1 brewer license or a class 2 brewer license. If the
8		holder of the permit is a class 1 brewer licensee, the brewer
9		warehouse permit shall allow the holder to store or warehouse
10		up to 930,000 gallons of tax-determined beer manufactured by
11		the holder of the permit at the premises specified on the
12		permit. If the holder of the permit is a class 2 brewer
13		licensee, the brewer warehouse permit shall allow the holder to
14		store or warehouse up to 3,720,000 gallons of tax-determined
15		beer manufactured by the holder of the permit at the premises
16		specified on the permit. Sales to non-licensees are prohibited
17		at the premises specified in the brewer warehouse permit.
18		(Source: P.A. 99-448, eff. 8-24-15; 99-642, eff. 7-28-16;
19		99-800, eff. 8-12-16; 99-902, eff. 8-26-16; 99-904, eff.
20		1-1-17; 100-17, eff. 6-30-17; 100-201, eff. 8-18-17; 100-816,
21		eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff. 8-23-18;
22		revised 10-2-18.)
23		(235 ILCS 5/6-30) (from Ch. 43, par. 144f)
24		Sec. 6-30. Notwithstanding any other provision of this Act,
25		the Illinois Gaming Board shall have exclusive authority to

SB0690 Enrolled - 784 - LRB101 04451 HLH 49459 b
1		establish the hours for sale and consumption of alcoholic
2		liquor on board a riverboat during riverboat gambling
3		excursions and in a casino conducted in accordance with the
4		Illinois Riverboat Gambling Act.
5		(Source: P.A. 87-826.)
6		Section 35-70. The Illinois Public Aid Code is amended by
7		changing Section 10-17.15 as follows:
8		(305 ILCS 5/10-17.15)
9		Sec. 10-17.15. Certification of information to State
10		gaming licensees.
11		(a) For purposes of this Section, "State gaming licensee"
12		means, as applicable, an organization licensee or advance
13		deposit wagering licensee licensed under the Illinois Horse
14		Racing Act of 1975, an owners licensee licensed under the
15		Illinois Riverboat Gambling Act, or a licensee that operates,
16		under any law of this State, one or more facilities or gaming
17		locations at which lawful gambling is authorized and licensed
18		as provided in the Illinois Riverboat Gambling Act.
19		(b) The Department may provide, by rule, for certification
20		to any State gaming licensee of past due child support owed by
21		a responsible relative under a support order entered by a court
22		or administrative body of this or any other State on behalf of
23		a resident or non-resident receiving child support services
24		under this Article in accordance with the requirements of Title

SB0690 Enrolled - 785 - LRB101 04451 HLH 49459 b
1		IV-D, Part D, of the Social Security Act. The State gaming
2		licensee shall have the ability to withhold from winnings
3		required to be reported to the Internal Revenue Service on Form
4		W-2G, up to the full amount of winnings necessary to pay the
5		winner's past due child support. The rule shall provide for
6		notice to and an opportunity to be heard by each responsible
7		relative affected and any final administrative decision
8		rendered by the Department shall be reviewed only under and in
9		accordance with the Administrative Review Law.
10		(c) For withholding of winnings, the State gaming licensee
11		shall be entitled to an administrative fee not to exceed the
12		lesser of 4% of the total amount of cash winnings paid to the
13		gambling winner or $150.
14		(d) In no event may the total amount withheld from the cash
15		payout, including the administrative fee, exceed the total cash
16		winnings claimed by the obligor. If the cash payout claimed is
17		greater than the amount sufficient to satisfy the obligor's
18		delinquent child support payments, the State gaming licensee
19		shall pay the obligor the remaining balance of the payout, less
20		the administrative fee authorized by subsection (c) of this
21		Section, at the time it is claimed.
22		(e) A State gaming licensee who in good faith complies with
23		the requirements of this Section shall not be liable to the
24		gaming winner or any other individual or entity.
25		(Source: P.A. 98-318, eff. 8-12-13.)

SB0690 Enrolled - 786 - LRB101 04451 HLH 49459 b
1		Section 35-75. The Firearm Concealed Carry Act is amended
2		by changing Section 65 as follows:
3		(430 ILCS 66/65)
4		Sec. 65. Prohibited areas.
5		(a) A licensee under this Act shall not knowingly carry a
6		firearm on or into:
7		(1) Any building, real property, and parking area under
8		the control of a public or private elementary or secondary
9		school.
10		(2) Any building, real property, and parking area under
11		the control of a pre-school or child care facility,
12		including any room or portion of a building under the
13		control of a pre-school or child care facility. Nothing in
14		this paragraph shall prevent the operator of a child care
15		facility in a family home from owning or possessing a
16		firearm in the home or license under this Act, if no child
17		under child care at the home is present in the home or the
18		firearm in the home is stored in a locked container when a
19		child under child care at the home is present in the home.
20		(3) Any building, parking area, or portion of a
21		building under the control of an officer of the executive
22		or legislative branch of government, provided that nothing
23		in this paragraph shall prohibit a licensee from carrying a
24		concealed firearm onto the real property, bikeway, or trail
25		in a park regulated by the Department of Natural Resources

SB0690 Enrolled - 787 - LRB101 04451 HLH 49459 b
1		or any other designated public hunting area or building
2		where firearm possession is permitted as established by the
3		Department of Natural Resources under Section 1.8 of the
4		Wildlife Code.
5		(4) Any building designated for matters before a
6		circuit court, appellate court, or the Supreme Court, or
7		any building or portion of a building under the control of
8		the Supreme Court.
9		(5) Any building or portion of a building under the
10		control of a unit of local government.
11		(6) Any building, real property, and parking area under
12		the control of an adult or juvenile detention or
13		correctional institution, prison, or jail.
14		(7) Any building, real property, and parking area under
15		the control of a public or private hospital or hospital
16		affiliate, mental health facility, or nursing home.
17		(8) Any bus, train, or form of transportation paid for
18		in whole or in part with public funds, and any building,
19		real property, and parking area under the control of a
20		public transportation facility paid for in whole or in part
21		with public funds.
22		(9) Any building, real property, and parking area under
23		the control of an establishment that serves alcohol on its
24		premises, if more than 50% of the establishment's gross
25		receipts within the prior 3 months is from the sale of
26		alcohol. The owner of an establishment who knowingly fails

SB0690 Enrolled - 788 - LRB101 04451 HLH 49459 b
1		to prohibit concealed firearms on its premises as provided
2		in this paragraph or who knowingly makes a false statement
3		or record to avoid the prohibition on concealed firearms
4		under this paragraph is subject to the penalty under
5		subsection (c-5) of Section 10-1 of the Liquor Control Act
6		of 1934.
7		(10) Any public gathering or special event conducted on
8		property open to the public that requires the issuance of a
9		permit from the unit of local government, provided this
10		prohibition shall not apply to a licensee who must walk
11		through a public gathering in order to access his or her
12		residence, place of business, or vehicle.
13		(11) Any building or real property that has been issued
14		a Special Event Retailer's license as defined in Section
15		1-3.17.1 of the Liquor Control Act during the time
16		designated for the sale of alcohol by the Special Event
17		Retailer's license, or a Special use permit license as
18		defined in subsection (q) of Section 5-1 of the Liquor
19		Control Act during the time designated for the sale of
20		alcohol by the Special use permit license.
21		(12) Any public playground.
22		(13) Any public park, athletic area, or athletic
23		facility under the control of a municipality or park
24		district, provided nothing in this Section shall prohibit a
25		licensee from carrying a concealed firearm while on a trail
26		or bikeway if only a portion of the trail or bikeway

SB0690 Enrolled - 789 - LRB101 04451 HLH 49459 b
1		includes a public park.
2		(14) Any real property under the control of the Cook
3		County Forest Preserve District.
4		(15) Any building, classroom, laboratory, medical
5		clinic, hospital, artistic venue, athletic venue,
6		entertainment venue, officially recognized
7		university-related organization property, whether owned or
8		leased, and any real property, including parking areas,
9		sidewalks, and common areas under the control of a public
10		or private community college, college, or university.
11		(16) Any building, real property, or parking area under
12		the control of a gaming facility licensed under the
13		Illinois Riverboat Gambling Act or the Illinois Horse
14		Racing Act of 1975, including an inter-track wagering
15		location licensee.
16		(17) Any stadium, arena, or the real property or
17		parking area under the control of a stadium, arena, or any
18		collegiate or professional sporting event.
19		(18) Any building, real property, or parking area under
20		the control of a public library.
21		(19) Any building, real property, or parking area under
22		the control of an airport.
23		(20) Any building, real property, or parking area under
24		the control of an amusement park.
25		(21) Any building, real property, or parking area under
26		the control of a zoo or museum.

SB0690 Enrolled - 790 - LRB101 04451 HLH 49459 b
1		(22) Any street, driveway, parking area, property,
2		building, or facility, owned, leased, controlled, or used
3		by a nuclear energy, storage, weapons, or development site
4		or facility regulated by the federal Nuclear Regulatory
5		Commission. The licensee shall not under any circumstance
6		store a firearm or ammunition in his or her vehicle or in a
7		compartment or container within a vehicle located anywhere
8		in or on the street, driveway, parking area, property,
9		building, or facility described in this paragraph.
10		(23) Any area where firearms are prohibited under
11		federal law.
12		(a-5) Nothing in this Act shall prohibit a public or
13		private community college, college, or university from:
14		(1) prohibiting persons from carrying a firearm within
15		a vehicle owned, leased, or controlled by the college or
16		university;
17		(2) developing resolutions, regulations, or policies
18		regarding student, employee, or visitor misconduct and
19		discipline, including suspension and expulsion;
20		(3) developing resolutions, regulations, or policies
21		regarding the storage or maintenance of firearms, which
22		must include designated areas where persons can park
23		vehicles that carry firearms; and
24		(4) permitting the carrying or use of firearms for the
25		purpose of instruction and curriculum of officially
26		recognized programs, including but not limited to military

SB0690 Enrolled - 791 - LRB101 04451 HLH 49459 b
1		science and law enforcement training programs, or in any
2		designated area used for hunting purposes or target
3		shooting.
4		(a-10) The owner of private real property of any type may
5		prohibit the carrying of concealed firearms on the property
6		under his or her control. The owner must post a sign in
7		accordance with subsection (d) of this Section indicating that
8		firearms are prohibited on the property, unless the property is
9		a private residence.
10		(b) Notwithstanding subsections (a), (a-5), and (a-10) of
11		this Section except under paragraph (22) or (23) of subsection
12		(a), any licensee prohibited from carrying a concealed firearm
13		into the parking area of a prohibited location specified in
14		subsection (a), (a-5), or (a-10) of this Section shall be
15		permitted to carry a concealed firearm on or about his or her
16		person within a vehicle into the parking area and may store a
17		firearm or ammunition concealed in a case within a locked
18		vehicle or locked container out of plain view within the
19		vehicle in the parking area. A licensee may carry a concealed
20		firearm in the immediate area surrounding his or her vehicle
21		within a prohibited parking lot area only for the limited
22		purpose of storing or retrieving a firearm within the vehicle's
23		trunk. For purposes of this subsection, "case" includes a glove
24		compartment or console that completely encloses the concealed
25		firearm or ammunition, the trunk of the vehicle, or a firearm
26		carrying box, shipping box, or other container.

SB0690 Enrolled - 792 - LRB101 04451 HLH 49459 b
1		(c) A licensee shall not be in violation of this Section
2		while he or she is traveling along a public right of way that
3		touches or crosses any of the premises under subsection (a),
4		(a-5), or (a-10) of this Section if the concealed firearm is
5		carried on his or her person in accordance with the provisions
6		of this Act or is being transported in a vehicle by the
7		licensee in accordance with all other applicable provisions of
8		law.
9		(d) Signs stating that the carrying of firearms is
10		prohibited shall be clearly and conspicuously posted at the
11		entrance of a building, premises, or real property specified in
12		this Section as a prohibited area, unless the building or
13		premises is a private residence. Signs shall be of a uniform
14		design as established by the Department and shall be 4 inches
15		by 6 inches in size. The Department shall adopt rules for
16		standardized signs to be used under this subsection.
17		(Source: P.A. 98-63, eff. 7-9-13; 99-29, eff. 7-10-15.)
18		Section 35-80. The Criminal Code of 2012 is amended by
19		changing Sections 28-1, 28-1.1, 28-2, 28-3, 28-5, and 28-7 as
20		follows:
21		(720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
22		Sec. 28-1. Gambling.
23		(a) A person commits gambling when he or she:
24		(1) knowingly plays a game of chance or skill for money

SB0690 Enrolled - 793 - LRB101 04451 HLH 49459 b
1		or other thing of value, unless excepted in subsection (b)
2		of this Section;
3		(2) knowingly makes a wager upon the result of any
4		game, contest, or any political nomination, appointment or
5		election;
6		(3) knowingly operates, keeps, owns, uses, purchases,
7		exhibits, rents, sells, bargains for the sale or lease of,
8		manufactures or distributes any gambling device;
9		(4) contracts to have or give himself or herself or
10		another the option to buy or sell, or contracts to buy or
11		sell, at a future time, any grain or other commodity
12		whatsoever, or any stock or security of any company, where
13		it is at the time of making such contract intended by both
14		parties thereto that the contract to buy or sell, or the
15		option, whenever exercised, or the contract resulting
16		therefrom, shall be settled, not by the receipt or delivery
17		of such property, but by the payment only of differences in
18		prices thereof; however, the issuance, purchase, sale,
19		exercise, endorsement or guarantee, by or through a person
20		registered with the Secretary of State pursuant to Section
21		8 of the Illinois Securities Law of 1953, or by or through
22		a person exempt from such registration under said Section
23		8, of a put, call, or other option to buy or sell
24		securities which have been registered with the Secretary of
25		State or which are exempt from such registration under
26		Section 3 of the Illinois Securities Law of 1953 is not

SB0690 Enrolled - 794 - LRB101 04451 HLH 49459 b
1		gambling within the meaning of this paragraph (4);
2		(5) knowingly owns or possesses any book, instrument or
3		apparatus by means of which bets or wagers have been, or
4		are, recorded or registered, or knowingly possesses any
5		money which he has received in the course of a bet or
6		wager;
7		(6) knowingly sells pools upon the result of any game
8		or contest of skill or chance, political nomination,
9		appointment or election;
10		(7) knowingly sets up or promotes any lottery or sells,
11		offers to sell or transfers any ticket or share for any
12		lottery;
13		(8) knowingly sets up or promotes any policy game or
14		sells, offers to sell or knowingly possesses or transfers
15		any policy ticket, slip, record, document or other similar
16		device;
17		(9) knowingly drafts, prints or publishes any lottery
18		ticket or share, or any policy ticket, slip, record,
19		document or similar device, except for such activity
20		related to lotteries, bingo games and raffles authorized by
21		and conducted in accordance with the laws of Illinois or
22		any other state or foreign government;
23		(10) knowingly advertises any lottery or policy game,
24		except for such activity related to lotteries, bingo games
25		and raffles authorized by and conducted in accordance with
26		the laws of Illinois or any other state;

SB0690 Enrolled - 795 - LRB101 04451 HLH 49459 b
1		(11) knowingly transmits information as to wagers,
2		betting odds, or changes in betting odds by telephone,
3		telegraph, radio, semaphore or similar means; or knowingly
4		installs or maintains equipment for the transmission or
5		receipt of such information; except that nothing in this
6		subdivision (11) prohibits transmission or receipt of such
7		information for use in news reporting of sporting events or
8		contests; or
9		(12) knowingly establishes, maintains, or operates an
10		Internet site that permits a person to play a game of
11		chance or skill for money or other thing of value by means
12		of the Internet or to make a wager upon the result of any
13		game, contest, political nomination, appointment, or
14		election by means of the Internet. This item (12) does not
15		apply to activities referenced in items (6) and (6.1) of
16		subsection (b) of this Section.
17		(b) Participants in any of the following activities shall
18		not be convicted of gambling:
19		(1) Agreements to compensate for loss caused by the
20		happening of chance including without limitation contracts
21		of indemnity or guaranty and life or health or accident
22		insurance.
23		(2) Offers of prizes, award or compensation to the
24		actual contestants in any bona fide contest for the
25		determination of skill, speed, strength or endurance or to
26		the owners of animals or vehicles entered in such contest.

SB0690 Enrolled - 796 - LRB101 04451 HLH 49459 b
1		(3) Pari-mutuel betting as authorized by the law of
2		this State.
3		(4) Manufacture of gambling devices, including the
4		acquisition of essential parts therefor and the assembly
5		thereof, for transportation in interstate or foreign
6		commerce to any place outside this State when such
7		transportation is not prohibited by any applicable Federal
8		law; or the manufacture, distribution, or possession of
9		video gaming terminals, as defined in the Video Gaming Act,
10		by manufacturers, distributors, and terminal operators
11		licensed to do so under the Video Gaming Act.
12		(5) The game commonly known as "bingo", when conducted
13		in accordance with the Bingo License and Tax Act.
14		(6) Lotteries when conducted by the State of Illinois
15		in accordance with the Illinois Lottery Law. This exemption
16		includes any activity conducted by the Department of
17		Revenue to sell lottery tickets pursuant to the provisions
18		of the Illinois Lottery Law and its rules.
19		(6.1) The purchase of lottery tickets through the
20		Internet for a lottery conducted by the State of Illinois
21		under the program established in Section 7.12 of the
22		Illinois Lottery Law.
23		(7) Possession of an antique slot machine that is
24		neither used nor intended to be used in the operation or
25		promotion of any unlawful gambling activity or enterprise.
26		For the purpose of this subparagraph (b)(7), an antique

SB0690 Enrolled - 797 - LRB101 04451 HLH 49459 b
1		slot machine is one manufactured 25 years ago or earlier.
2		(8) Raffles and poker runs when conducted in accordance
3		with the Raffles and Poker Runs Act.
4		(9) Charitable games when conducted in accordance with
5		the Charitable Games Act.
6		(10) Pull tabs and jar games when conducted under the
7		Illinois Pull Tabs and Jar Games Act.
8		(11) Gambling games conducted on riverboats when
9		authorized by the Illinois Riverboat Gambling Act.
10		(12) Video gaming terminal games at a licensed
11		establishment, licensed truck stop establishment, licensed
12		large truck stop establishment, licensed fraternal
13		establishment, or licensed veterans establishment when
14		conducted in accordance with the Video Gaming Act.
15		(13) Games of skill or chance where money or other
16		things of value can be won but no payment or purchase is
17		required to participate.
18		(14) Savings promotion raffles authorized under
19		Section 5g of the Illinois Banking Act, Section 7008 of the
20		Savings Bank Act, Section 42.7 of the Illinois Credit Union
21		Act, Section 5136B of the National Bank Act (12 U.S.C.
22		25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C.
23		1463).
24		(c) Sentence.
25		Gambling is a Class A misdemeanor. A second or subsequent
26		conviction under subsections (a)(3) through (a)(12), is a Class

SB0690 Enrolled - 798 - LRB101 04451 HLH 49459 b
1		4 felony.
2		(d) Circumstantial evidence.
3		In prosecutions under this Section circumstantial evidence
4		shall have the same validity and weight as in any criminal
5		prosecution.
6		(Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16.)
7		(720 ILCS 5/28-1.1) (from Ch. 38, par. 28-1.1)
8		Sec. 28-1.1. Syndicated gambling.
9		(a) Declaration of Purpose. Recognizing the close
10		relationship between professional gambling and other organized
11		crime, it is declared to be the policy of the legislature to
12		restrain persons from engaging in the business of gambling for
13		profit in this State. This Section shall be liberally construed
14		and administered with a view to carrying out this policy.
15		(b) A person commits syndicated gambling when he or she
16		operates a "policy game" or engages in the business of
17		bookmaking.
18		(c) A person "operates a policy game" when he or she
19		knowingly uses any premises or property for the purpose of
20		receiving or knowingly does receive from what is commonly
21		called "policy":
22		(1) money from a person other than the bettor or player
23		whose bets or plays are represented by the money; or
24		(2) written "policy game" records, made or used over
25		any period of time, from a person other than the bettor or

SB0690 Enrolled - 799 - LRB101 04451 HLH 49459 b
1		player whose bets or plays are represented by the written
2		record.
3		(d) A person engages in bookmaking when he or she knowingly
4		receives or accepts more than five bets or wagers upon the
5		result of any trials or contests of skill, speed or power of
6		endurance or upon any lot, chance, casualty, unknown or
7		contingent event whatsoever, which bets or wagers shall be of
8		such size that the total of the amounts of money paid or
9		promised to be paid to the bookmaker on account thereof shall
10		exceed $2,000. Bookmaking is the receiving or accepting of bets
11		or wagers regardless of the form or manner in which the
12		bookmaker records them.
13		(e) Participants in any of the following activities shall
14		not be convicted of syndicated gambling:
15		(1) Agreements to compensate for loss caused by the
16		happening of chance including without limitation contracts
17		of indemnity or guaranty and life or health or accident
18		insurance;
19		(2) Offers of prizes, award or compensation to the
20		actual contestants in any bona fide contest for the
21		determination of skill, speed, strength or endurance or to
22		the owners of animals or vehicles entered in the contest;
23		(3) Pari-mutuel betting as authorized by law of this
24		State;
25		(4) Manufacture of gambling devices, including the
26		acquisition of essential parts therefor and the assembly

SB0690 Enrolled - 800 - LRB101 04451 HLH 49459 b
1		thereof, for transportation in interstate or foreign
2		commerce to any place outside this State when the
3		transportation is not prohibited by any applicable Federal
4		law;
5		(5) Raffles and poker runs when conducted in accordance
6		with the Raffles and Poker Runs Act;
7		(6) Gambling games conducted on riverboats, in
8		casinos, or at organization gaming facilities when
9		authorized by the Illinois Riverboat Gambling Act;
10		(7) Video gaming terminal games at a licensed
11		establishment, licensed truck stop establishment, licensed
12		large truck stop establishment, licensed fraternal
13		establishment, or licensed veterans establishment when
14		conducted in accordance with the Video Gaming Act; and
15		(8) Savings promotion raffles authorized under Section
16		5g of the Illinois Banking Act, Section 7008 of the Savings
17		Bank Act, Section 42.7 of the Illinois Credit Union Act,
18		Section 5136B of the National Bank Act (12 U.S.C. 25a), or
19		Section 4 of the Home Owners' Loan Act (12 U.S.C. 1463).
20		(f) Sentence. Syndicated gambling is a Class 3 felony.
21		(Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16.)
22		(720 ILCS 5/28-2) (from Ch. 38, par. 28-2)
23		Sec. 28-2. Definitions.
24		(a) A "gambling device" is any clock, tape machine, slot
25		machine or other machines or device for the reception of money

SB0690 Enrolled - 801 - LRB101 04451 HLH 49459 b
1		or other thing of value on chance or skill or upon the action
2		of which money or other thing of value is staked, hazarded,
3		bet, won or lost; or any mechanism, furniture, fixture,
4		equipment or other device designed primarily for use in a
5		gambling place. A "gambling device" does not include:
6		(1) A coin-in-the-slot operated mechanical device
7		played for amusement which rewards the player with the
8		right to replay such mechanical device, which device is so
9		constructed or devised as to make such result of the
10		operation thereof depend in part upon the skill of the
11		player and which returns to the player thereof no money,
12		property or right to receive money or property.
13		(2) Vending machines by which full and adequate return
14		is made for the money invested and in which there is no
15		element of chance or hazard.
16		(3) A crane game. For the purposes of this paragraph
17		(3), a "crane game" is an amusement device involving skill,
18		if it rewards the player exclusively with merchandise
19		contained within the amusement device proper and limited to
20		toys, novelties and prizes other than currency, each having
21		a wholesale value which is not more than $25.
22		(4) A redemption machine. For the purposes of this
23		paragraph (4), a "redemption machine" is a single-player or
24		multi-player amusement device involving a game, the object
25		of which is throwing, rolling, bowling, shooting, placing,
26		or propelling a ball or other object that is either

SB0690 Enrolled - 802 - LRB101 04451 HLH 49459 b
1		physical or computer generated on a display or with lights
2		into, upon, or against a hole or other target that is
3		either physical or computer generated on a display or with
4		lights, or stopping, by physical, mechanical, or
5		electronic means, a moving object that is either physical
6		or computer generated on a display or with lights into,
7		upon, or against a hole or other target that is either
8		physical or computer generated on a display or with lights,
9		provided that all of the following conditions are met:
10		(A) The outcome of the game is predominantly
11		determined by the skill of the player.
12		(B) The award of the prize is based solely upon the
13		player's achieving the object of the game or otherwise
14		upon the player's score.
15		(C) Only merchandise prizes are awarded.
16		(D) The wholesale value of prizes awarded in lieu
17		of tickets or tokens for single play of the device does
18		not exceed $25.
19		(E) The redemption value of tickets, tokens, and
20		other representations of value, which may be
21		accumulated by players to redeem prizes of greater
22		value, for a single play of the device does not exceed
23		$25.
24		(5) Video gaming terminals at a licensed
25		establishment, licensed truck stop establishment, licensed
26		large truck stop establishment, licensed fraternal

SB0690 Enrolled - 803 - LRB101 04451 HLH 49459 b
1		establishment, or licensed veterans establishment licensed
2		in accordance with the Video Gaming Act.
3		(a-5) "Internet" means an interactive computer service or
4		system or an information service, system, or access software
5		provider that provides or enables computer access by multiple
6		users to a computer server, and includes, but is not limited
7		to, an information service, system, or access software provider
8		that provides access to a network system commonly known as the
9		Internet, or any comparable system or service and also
10		includes, but is not limited to, a World Wide Web page,
11		newsgroup, message board, mailing list, or chat area on any
12		interactive computer service or system or other online service.
13		(a-6) "Access" and "computer" have the meanings ascribed to
14		them in Section 16D-2 of this Code.
15		(b) A "lottery" is any scheme or procedure whereby one or
16		more prizes are distributed by chance among persons who have
17		paid or promised consideration for a chance to win such prizes,
18		whether such scheme or procedure is called a lottery, raffle,
19		gift, sale or some other name, excluding savings promotion
20		raffles authorized under Section 5g of the Illinois Banking
21		Act, Section 7008 of the Savings Bank Act, Section 42.7 of the
22		Illinois Credit Union Act, Section 5136B of the National Bank
23		Act (12 U.S.C. 25a), or Section 4 of the Home Owners' Loan Act
24		(12 U.S.C. 1463).
25		(c) A "policy game" is any scheme or procedure whereby a
26		person promises or guarantees by any instrument, bill,

SB0690 Enrolled - 804 - LRB101 04451 HLH 49459 b
1		certificate, writing, token or other device that any particular
2		number, character, ticket or certificate shall in the event of
3		any contingency in the nature of a lottery entitle the
4		purchaser or holder to receive money, property or evidence of
5		debt.
6		(Source: P.A. 98-31, eff. 6-24-13; 99-149, eff. 1-1-16.)
7		(720 ILCS 5/28-3) (from Ch. 38, par. 28-3)
8		Sec. 28-3. Keeping a Gambling Place. A "gambling place" is
9		any real estate, vehicle, boat or any other property whatsoever
10		used for the purposes of gambling other than gambling conducted
11		in the manner authorized by the Illinois Riverboat Gambling Act
12		or the Video Gaming Act. Any person who knowingly permits any
13		premises or property owned or occupied by him or under his
14		control to be used as a gambling place commits a Class A
15		misdemeanor. Each subsequent offense is a Class 4 felony. When
16		any premises is determined by the circuit court to be a
17		gambling place:
18		(a) Such premises is a public nuisance and may be proceeded
19		against as such, and
20		(b) All licenses, permits or certificates issued by the
21		State of Illinois or any subdivision or public agency thereof
22		authorizing the serving of food or liquor on such premises
23		shall be void; and no license, permit or certificate so
24		cancelled shall be reissued for such premises for a period of
25		60 days thereafter; nor shall any person convicted of keeping a

SB0690 Enrolled - 805 - LRB101 04451 HLH 49459 b
1		gambling place be reissued such license for one year from his
2		conviction and, after a second conviction of keeping a gambling
3		place, any such person shall not be reissued such license, and
4		(c) Such premises of any person who knowingly permits
5		thereon a violation of any Section of this Article shall be
6		held liable for, and may be sold to pay any unsatisfied
7		judgment that may be recovered and any unsatisfied fine that
8		may be levied under any Section of this Article.
9		(Source: P.A. 96-34, eff. 7-13-09.)
10		(720 ILCS 5/28-5) (from Ch. 38, par. 28-5)
11		Sec. 28-5. Seizure of gambling devices and gambling funds.
12		(a) Every device designed for gambling which is incapable
13		of lawful use or every device used unlawfully for gambling
14		shall be considered a "gambling device", and shall be subject
15		to seizure, confiscation and destruction by the Department of
16		State Police or by any municipal, or other local authority,
17		within whose jurisdiction the same may be found. As used in
18		this Section, a "gambling device" includes any slot machine,
19		and includes any machine or device constructed for the
20		reception of money or other thing of value and so constructed
21		as to return, or to cause someone to return, on chance to the
22		player thereof money, property or a right to receive money or
23		property. With the exception of any device designed for
24		gambling which is incapable of lawful use, no gambling device
25		shall be forfeited or destroyed unless an individual with a

SB0690 Enrolled - 806 - LRB101 04451 HLH 49459 b
1		property interest in said device knows of the unlawful use of
2		the device.
3		(b) Every gambling device shall be seized and forfeited to
4		the county wherein such seizure occurs. Any money or other
5		thing of value integrally related to acts of gambling shall be
6		seized and forfeited to the county wherein such seizure occurs.
7		(c) If, within 60 days after any seizure pursuant to
8		subparagraph (b) of this Section, a person having any property
9		interest in the seized property is charged with an offense, the
10		court which renders judgment upon such charge shall, within 30
11		days after such judgment, conduct a forfeiture hearing to
12		determine whether such property was a gambling device at the
13		time of seizure. Such hearing shall be commenced by a written
14		petition by the State, including material allegations of fact,
15		the name and address of every person determined by the State to
16		have any property interest in the seized property, a
17		representation that written notice of the date, time and place
18		of such hearing has been mailed to every such person by
19		certified mail at least 10 days before such date, and a request
20		for forfeiture. Every such person may appear as a party and
21		present evidence at such hearing. The quantum of proof required
22		shall be a preponderance of the evidence, and the burden of
23		proof shall be on the State. If the court determines that the
24		seized property was a gambling device at the time of seizure,
25		an order of forfeiture and disposition of the seized property
26		shall be entered: a gambling device shall be received by the

SB0690 Enrolled - 807 - LRB101 04451 HLH 49459 b
1		State's Attorney, who shall effect its destruction, except that
2		valuable parts thereof may be liquidated and the resultant
3		money shall be deposited in the general fund of the county
4		wherein such seizure occurred; money and other things of value
5		shall be received by the State's Attorney and, upon
6		liquidation, shall be deposited in the general fund of the
7		county wherein such seizure occurred. However, in the event
8		that a defendant raises the defense that the seized slot
9		machine is an antique slot machine described in subparagraph
10		(b) (7) of Section 28-1 of this Code and therefore he is exempt
11		from the charge of a gambling activity participant, the seized
12		antique slot machine shall not be destroyed or otherwise
13		altered until a final determination is made by the Court as to
14		whether it is such an antique slot machine. Upon a final
15		determination by the Court of this question in favor of the
16		defendant, such slot machine shall be immediately returned to
17		the defendant. Such order of forfeiture and disposition shall,
18		for the purposes of appeal, be a final order and judgment in a
19		civil proceeding.
20		(d) If a seizure pursuant to subparagraph (b) of this
21		Section is not followed by a charge pursuant to subparagraph
22		(c) of this Section, or if the prosecution of such charge is
23		permanently terminated or indefinitely discontinued without
24		any judgment of conviction or acquittal (1) the State's
25		Attorney shall commence an in rem proceeding for the forfeiture
26		and destruction of a gambling device, or for the forfeiture and

SB0690 Enrolled - 808 - LRB101 04451 HLH 49459 b
1		deposit in the general fund of the county of any seized money
2		or other things of value, or both, in the circuit court and (2)
3		any person having any property interest in such seized gambling
4		device, money or other thing of value may commence separate
5		civil proceedings in the manner provided by law.
6		(e) Any gambling device displayed for sale to a riverboat
7		gambling operation, casino gambling operation, or organization
8		gaming facility or used to train occupational licensees of a
9		riverboat gambling operation, casino gambling operation, or
10		organization gaming facility as authorized under the Illinois
11		Riverboat Gambling Act is exempt from seizure under this
12		Section.
13		(f) Any gambling equipment, devices, and supplies provided
14		by a licensed supplier in accordance with the Illinois
15		Riverboat Gambling Act which are removed from a the riverboat,
16		casino, or organization gaming facility for repair are exempt
17		from seizure under this Section.
18		(g) The following video gaming terminals are exempt from
19		seizure under this Section:
20		(1) Video gaming terminals for sale to a licensed
21		distributor or operator under the Video Gaming Act.
22		(2) Video gaming terminals used to train licensed
23		technicians or licensed terminal handlers.
24		(3) Video gaming terminals that are removed from a
25		licensed establishment, licensed truck stop establishment,
26		licensed large truck stop establishment, licensed

SB0690 Enrolled - 809 - LRB101 04451 HLH 49459 b
1		fraternal establishment, or licensed veterans
2		establishment for repair.
3		(h) Property seized or forfeited under this Section is
4		subject to reporting under the Seizure and Forfeiture Reporting
5		Act.
6		(Source: P.A. 100-512, eff. 7-1-18.)
7		(720 ILCS 5/28-7) (from Ch. 38, par. 28-7)
8		Sec. 28-7. Gambling contracts void.
9		(a) All promises, notes, bills, bonds, covenants,
10		contracts, agreements, judgments, mortgages, or other
11		securities or conveyances made, given, granted, drawn, or
12		entered into, or executed by any person whatsoever, where the
13		whole or any part of the consideration thereof is for any money
14		or thing of value, won or obtained in violation of any Section
15		of this Article are null and void.
16		(b) Any obligation void under this Section may be set aside
17		and vacated by any court of competent jurisdiction, upon a
18		complaint filed for that purpose, by the person so granting,
19		giving, entering into, or executing the same, or by his
20		executors or administrators, or by any creditor, heir, legatee,
21		purchaser or other person interested therein; or if a judgment,
22		the same may be set aside on motion of any person stated above,
23		on due notice thereof given.
24		(c) No assignment of any obligation void under this Section
25		may in any manner affect the defense of the person giving,

SB0690 Enrolled - 810 - LRB101 04451 HLH 49459 b
1		granting, drawing, entering into or executing such obligation,
2		or the remedies of any person interested therein.
3		(d) This Section shall not prevent a licensed owner of a
4		riverboat gambling operation, a casino gambling operation, or
5		an organization gaming licensee under the Illinois Gambling Act
6		and the Illinois Horse Racing Act of 1975 from instituting a
7		cause of action to collect any amount due and owing under an
8		extension of credit to a riverboat gambling patron as
9		authorized under Section 11.1 of the Illinois Riverboat
10		Gambling Act.
11		(Source: P.A. 87-826.)
12		Section 35-85. The Payday Loan Reform Act is amended by
13		changing Section 3-5 as follows:
14		(815 ILCS 122/3-5)
15		Sec. 3-5. Licensure.
16		(a) A license to make a payday loan shall state the
17		address, including city and state, at which the business is to
18		be conducted and shall state fully the name of the licensee.
19		The license shall be conspicuously posted in the place of
20		business of the licensee and shall not be transferable or
21		assignable.
22		(b) An application for a license shall be in writing and in
23		a form prescribed by the Secretary. The Secretary may not issue
24		a payday loan license unless and until the following findings

SB0690 Enrolled - 811 - LRB101 04451 HLH 49459 b
1		are made:
2		(1) that the financial responsibility, experience,
3		character, and general fitness of the applicant are such as
4		to command the confidence of the public and to warrant the
5		belief that the business will be operated lawfully and
6		fairly and within the provisions and purposes of this Act;
7		and
8		(2) that the applicant has submitted such other
9		information as the Secretary may deem necessary.
10		(c) A license shall be issued for no longer than one year,
11		and no renewal of a license may be provided if a licensee has
12		substantially violated this Act and has not cured the violation
13		to the satisfaction of the Department.
14		(d) A licensee shall appoint, in writing, the Secretary as
15		attorney-in-fact upon whom all lawful process against the
16		licensee may be served with the same legal force and validity
17		as if served on the licensee. A copy of the written
18		appointment, duly certified, shall be filed in the office of
19		the Secretary, and a copy thereof certified by the Secretary
20		shall be sufficient evidence to subject a licensee to
21		jurisdiction in a court of law. This appointment shall remain
22		in effect while any liability remains outstanding in this State
23		against the licensee. When summons is served upon the Secretary
24		as attorney-in-fact for a licensee, the Secretary shall
25		immediately notify the licensee by registered mail, enclosing
26		the summons and specifying the hour and day of service.

SB0690 Enrolled - 812 - LRB101 04451 HLH 49459 b
1		(e) A licensee must pay an annual fee of $1,000. In
2		addition to the license fee, the reasonable expense of any
3		examination or hearing by the Secretary under any provisions of
4		this Act shall be borne by the licensee. If a licensee fails to
5		renew its license by December 1, its license shall
6		automatically expire; however, the Secretary, in his or her
7		discretion, may reinstate an expired license upon:
8		(1) payment of the annual fee within 30 days of the
9		date of expiration; and
10		(2) proof of good cause for failure to renew.
11		(f) Not more than one place of business shall be maintained
12		under the same license, but the Secretary may issue more than
13		one license to the same licensee upon compliance with all the
14		provisions of this Act governing issuance of a single license.
15		The location, except those locations already in existence as of
16		June 1, 2005, may not be within one mile of a horse race track
17		subject to the Illinois Horse Racing Act of 1975, within one
18		mile of a facility at which gambling is conducted under the
19		Illinois Riverboat Gambling Act, within one mile of the
20		location at which a riverboat subject to the Illinois Riverboat
21		Gambling Act docks, or within one mile of any State of Illinois
22		or United States military base or naval installation.
23		(g) No licensee shall conduct the business of making loans
24		under this Act within any office, suite, room, or place of
25		business in which (1) any loans are offered or made under the
26		Consumer Installment Loan Act other than title secured loans as

SB0690 Enrolled - 813 - LRB101 04451 HLH 49459 b
1		defined in subsection (a) of Section 15 of the Consumer
2		Installment Loan Act and governed by Title 38, Section 110.330
3		of the Illinois Administrative Code or (2) any other business
4		is solicited or engaged in unless the other business is
5		licensed by the Department or, in the opinion of the Secretary,
6		the other business would not be contrary to the best interests
7		of consumers and is authorized by the Secretary in writing.
8		(g-5) Notwithstanding subsection (g) of this Section, a
9		licensee may obtain a license under the Consumer Installment
10		Loan Act (CILA) for the exclusive purpose and use of making
11		title secured loans, as defined in subsection (a) of Section 15
12		of CILA and governed by Title 38, Section 110.300 of the
13		Illinois Administrative Code. A licensee may continue to
14		service Consumer Installment Loan Act loans that were
15		outstanding as of the effective date of this amendatory Act of
16		the 96th General Assembly.
17		(h) The Secretary shall maintain a list of licensees that
18		shall be available to interested consumers and lenders and the
19		public. The Secretary shall maintain a toll-free number whereby
20		consumers may obtain information about licensees. The
21		Secretary shall also establish a complaint process under which
22		an aggrieved consumer may file a complaint against a licensee
23		or non-licensee who violates any provision of this Act.
24		(Source: P.A. 100-958, eff. 8-19-18.)
25		Section 35-90. The Travel Promotion Consumer Protection

SB0690 Enrolled - 814 - LRB101 04451 HLH 49459 b
1		Act is amended by changing Section 2 as follows:
2		(815 ILCS 420/2) (from Ch. 121 1/2, par. 1852)
3		Sec. 2. Definitions.
4		(a) "Travel promoter" means a person, including a tour
5		operator, who sells, provides, furnishes, contracts for,
6		arranges or advertises that he or she will arrange wholesale or
7		retail transportation by air, land, sea or navigable stream,
8		either separately or in conjunction with other services.
9		"Travel promoter" does not include (1) an air carrier; (2) a
10		sea carrier; (3) an officially appointed agent of an air
11		carrier who is a member in good standing of the Airline
12		Reporting Corporation; (4) a travel promoter who has in force
13		$1,000,000 or more of liability insurance coverage for
14		professional errors and omissions and a surety bond or
15		equivalent surety in the amount of $100,000 or more for the
16		benefit of consumers in the event of a bankruptcy on the part
17		of the travel promoter; or (5) a riverboat subject to
18		regulation under the Illinois Riverboat Gambling Act.
19		(b) "Advertise" means to make any representation in the
20		solicitation of passengers and includes communication with
21		other members of the same partnership, corporation, joint
22		venture, association, organization, group or other entity.
23		(c) "Passenger" means a person on whose behalf money or
24		other consideration has been given or is to be given to
25		another, including another member of the same partnership,

SB0690 Enrolled - 815 - LRB101 04451 HLH 49459 b
1		corporation, joint venture, association, organization, group
2		or other entity, for travel.
3		(d) "Ticket or voucher" means a writing or combination of
4		writings which is itself good and sufficient to obtain
5		transportation and other services for which the passenger has
6		contracted.
7		(Source: P.A. 91-357, eff. 7-29-99.)
8		(30 ILCS 105/5.490 rep.)
9		Section 35-95. The State Finance Act is amended by
10		repealing Section 5.490.
11		(230 ILCS 5/2.1 rep.)
12		(230 ILCS 5/54 rep.)
13		Section 35-100. The Illinois Horse Racing Act of 1975 is
14		amended by repealing Sections 2.1 and 54.
15		Article 99. Severability; Effective Date
16		Section 99-95. No acceleration or delay. Where this Act
17		makes changes in a statute that is represented in this Act by
18		text that is not yet or no longer in effect (for example, a
19		Section represented by multiple versions), the use of that text
20		does not accelerate or delay the taking effect of (i) the
21		changes made by this Act or (ii) provisions derived from any
22		other Public Act.

SB0690 Enrolled - 816 - LRB101 04451 HLH 49459 b
1		Section 99-97. Severability. The provisions of this Act are
2		severable under Section 1.31 of the Statute on Statutes.