Il Gambling Expansion Bill

If Illinois passes a comprehensive gambling expansion bill this week, it likely will be against opposition from its existing casino industry.

• Il Gambling Expansion Bill Blass
• Il Gambling Expansion Bill Pay
• Il Gambling Expansion Bills

FAQ: The IL Gaming Expansion Bill This spring, lawmakers passed a large scale gambling expansion bill that will head to Governor Quinn’s desk for him to approve or reject sometime in the coming months. Summary of Illinois Gaming Expansion Bill Prepared by Taft’s Gaming Practice Group June 2019 I. Background In the final hours of the 101st General Assembly, the Illinois House and the Illinois Senate passed Senate Bill 690, as amended by House Amendment 3 (“SB690” or the “Bill”), a bill implementing historic gaming expansion. The Illinois’ gaming expansion is one of the ways the state will help pay for the $45 billion Rebuild Illinois capital bill and is planned to go toward projects at state facilities. SPRINGFIELD, Ill. (KFVS) - An Illinois bill to expand gaming in the state has been approved. JB Pritzker signed the Rebuild Illinois Capital plan Friday, June 28. The gaming expansion bill.

Tom Swoik, executive director of the Illinois Casino Gaming Association, tells Legal Sports Report that his organization, which represents nine of the 10 casinos in the state, almost certainly would not support the full gambling expansion bill being pushed by Illinois lawmakers in the final days of the legislative session.

“I can’t imagine we would be agreeable to a large gaming expansion bill, as we haven’t been in the past,” Swoik said. “We would have to look at it, but right now I’d say a large expansion is still out of the picture for us.”

Swoik contended that the casinos would be more agreeable to a standalone Illinois sports betting bill if improvements are made on previous proposals.

“If it was sports wagering only and the bill was drafted in such a way that it’s more reasonable in some aspects, I think we would be on board,” Swoik said. “As an association, our major issues are the tax rate, cost of license and how many venues there are.”

Illinois sports betting vehicle is clear

Now entering the final two days of the legislative session, there is not much clear in Illinois. There remains no language for sports wagering or the larger bill of which it is expected to be a part.

One aspect made completely clear Wednesday is that S 516 is the legislation to watch for sports betting. The bill previously used for sports wagering amendments, H 1260, died in the House without so much as a committee vote.

Even though it was stripped to a shell bill, S 516 has an open procedural path to passage. Since it already passed the Senate in April, the legislation doesn’t need to be read five combined times in each chamber over three days.

It just needs to pass the House and head over to the Senate for concurrence, which could happen all in one day.

There’s a reason gambling expansion failed previously

While Sen. Terry Link and Rep. Bob Rita are pushing for a sweeping gambling expansion that would add six casinos and authorize racetracks to have slot machines, Swoik attested that he has heard there could be one large expansion bill or two separate amendments, one with the overall expansion and the other with sports betting.

Link and Rita have stated that the language will be similar to previous efforts. Casino expansion efforts have been a topic in Illinois for more than a decade, and the existing casino industry has opposed them the whole way. Last year, The Illinois Casino Gaming Association opposed and helped defeat S 7.

Rita expressed hope that sports betting is an issue that everyone can get behind, which will push the gaming expansion bill over the top this year.

Il Gambling Expansion Bill Blass

Swoik contends that, if this is anything like past bills, it would double the number of gaming positions that currently exist in the state and that can’t be made up by sports betting.

“I’m pretty sure we’re going to be against it this year because all the past large expansion bills have ended up costing casinos more revenue in cannibalization than can be made up by sports betting’s 5% hold,” Swoik said.

All sorts of problems with the proposed sports betting language

Swoik, who testified at two House subcommittee hearings this session, indicated that his membership wants sports betting, but not if a bill looks like the last floated proposal from Rep. Mike Zalewski.

His problems with that language include:

• While the association’s membership is split on the “penalty box” issue, Swoik attested that an 18-month mobile delay is “crazy” and that a “penalty box” would really be akin to a ban because there wouldn’t be any licenses left available after three years.
• An initial license fee equal to 5% of a casino’s previous year’s earnings would be all over the board, creating a range of $2.3 million to $22 million for the state’s casinos.
• Add in a tax rate of 20% to go with the federal excise tax of 0.25% and a casino’s projected hold is down to 3.75%. “Think about how much has to be generated at 3.75% to equal $22 million for a license.”
• Casinos should be allowed to enter into individual agreements for official league data rather than having such agreements legislatively mandated.
• Lottery participation at up to 2,500 retailers makes sports wagering too widespread.

A new hope: Sports betting bill author steps back

That Zalewski works on the side as a lawyer for a firm that represents clients with interests in gambling caused tensions in negotiations with stakeholders.

As a result, Zalewski tweeted that he removed himself from the negotiations to allow Rita to take the lead.

“In the last week, it became clear some people thought I was the problem in the room, so I stepped back and let our gaming negotiator try to land the plane,” he wrote.

I have never worked on an issue as hard as I worked on sports betting. We’ve spent hours on amendments, meeting with staff, stakeholders, members, the Govs office. I gave it everything I had.

— Michael J. Zalewski (@mjzalewski) May 29, 2019

With language for the gambling amendment expected to be introduced Thursday, there’s hope that the change could lead to better parameters for sports betting. However, Rita worked closely with Zalewski throughout the process of forming the previous proposals.

Gambling expansion could pass despite industry opposition

Lawmakers usually find it difficult to pass a bill when the industry it affects isn’t on board. That’s not always the case in Illinois.

Asked if the bill could pass without support from the casinos, Swoik responded: “Oh yeah, they’ve done it before.”

In both 2012 and 2013, the legislature passed a similar casino expansion only to have it vetoed both times by then-Gov. Pat Quinn.

This time, there seems to be political will from all four legislative caucuses and Gov. J.B. Pritzker to pass a comprehensive gambling expansion bill with sports betting in order to help fund a $41.5 billion capital improvement plan.

“Parts of this were the governor’s idea, included in his budget,” Swoik said. “It’s a different year.”

• Public Act . . . . . . . . . 101-0648
• Governor Approved
• Effective Date June 30, 2020

• Sent to the Governor

• House Floor Amendment No. 7 Adopted
• Third Reading - Short Debate - Passed 077-032-000
• Placed on Calendar Order of 3rd Reading - Short Debate
• House Floor Amendment No. 9 Adopted
• House Floor Amendment No. 9 Motion Prevailed to Suspend Rule by Voice Vote
• House Floor Amendment No. 9 Motion Filed to Suspend House Rule(s) for Immediate Consideration Rep. Robert Rita
• Recalled to Second Reading - Short Debate
• House Floor Amendment No. 9 Recommends Be Adopted Rules Committee; 004-000-000
• House Floor Amendment No. 9 Filed with Clerk by Rep. Robert Rita
• Placed on Calendar Order of 3rd Reading - Short Debate
• House Floor Amendment No. 7 Recommends Be Adopted Rules Committee; 004-000-000
• House Floor Amendment No. 6 Adopted
• House Floor Amendment No. 5 Adopted
• House Floor Amendment No. 4 Tabled Pursuant to Rule 40
• House Floor Amendment No. 8 Referred to Rules Committee
• House Floor Amendment No. 8 Filed with Clerk by Rep. Robert Rita
• House Floor Amendment No. 6 Recommends Be Adopted Rules Committee; 004-000-000
• House Floor Amendment No. 7 Referred to Rules Committee
• House Floor Amendment No. 7 Filed with Clerk by Rep. Robert Rita
• House Floor Amendment No. 6 Referred to Rules Committee
• House Floor Amendment No. 6 Filed with Clerk by Rep. Robert Rita
• House Floor Amendment No. 5 Fiscal Note Filed as Amended
• House Floor Amendment No. 3 Tabled Pursuant to Rule 40
• House Floor Amendment No. 9 Referred to Rules Committee
• House Floor Amendment No. 8 Tabled Pursuant to Rule 40

• House Committee Amendment No. 2 Motion to Concur Be Approved for Consideration Assignments
• Passed Both Houses
• Secretary's Desk - Concurrence House Amendment(s) 2, 5, 6, 7, 9
• House Floor Amendment No. 9 Senate Concurs 042-014-000
• House Floor Amendment No. 7 Senate Concurs 042-014-000
• House Floor Amendment No. 6 Senate Concurs 042-014-000
• House Floor Amendment No. 5 Senate Concurs 042-014-000
• House Committee Amendment No. 2 Senate Concurs 042-014-000
• House Floor Amendment No. 9 Motion to Concur Be Approved for Consideration Assignments
• House Floor Amendment No. 7 Motion to Concur Be Approved for Consideration Assignments
• House Floor Amendment No. 6 Motion to Concur Be Approved for Consideration Assignments
• House Floor Amendment No. 5 Motion to Concur Be Approved for Consideration Assignments
• Senate Concurs
• House Floor Amendment No. 9 Motion to Concur Referred to Assignments
• House Floor Amendment No. 7 Motion to Concur Referred to Assignments
• Placed on Calendar Order of Concurrence House Amendment(s) 2, 6, 5, 7, 9 - May 23, 2020
• House Floor Amendment No. 7 Motion to Concur Filed with Secretary Sen. Bill Cunningham
• House Floor Amendment No. 6 Motion to Concur Referred to Assignments
• House Floor Amendment No. 6 Motion to Concur Filed with Secretary Sen. Bill Cunningham
• House Floor Amendment No. 5 Motion to Concur Referred to Assignments
• House Floor Amendment No. 5 Motion to Concur Filed with Secretary Sen. Bill Cunningham
• House Committee Amendment No. 2 Motion to Concur Referred to Assignments
• House Committee Amendment No. 2 Motion to Concur Filed with Secretary Sen. Bill Cunningham
• House Floor Amendment No. 9 Motion to Concur Filed with Secretary Sen. Bill Cunningham

• House Floor Amendment No. 5 Filed with Clerk by Rep. Robert Rita
• Legislation Considered in Special Session No. 1
• Placed on Calendar 2nd Reading - Short Debate
• Approved for Consideration Rules Committee; 003-000-000
• House Floor Amendment No. 5 Referred to Rules Committee
• House Floor Amendment No. 5 Rules Refers to Executive Committee
• House Floor Amendment No. 5 Recommends Be Adopted Executive Committee; 008-005-000

• Chief Sponsor Changed to Sen. Bill Cunningham

• Rule 19(a) / Re-referred to Rules Committee
• House Floor Amendment No. 3 Rule 19(c) / Re-referred to Rules Committee

• House Floor Amendment No. 4 Fiscal Note Filed as Amended
• House Floor Amendment No. 3 Fiscal Note Filed as Amended

• House Floor Amendment No. 3 Fiscal Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 Pension Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 Judicial Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 Balanced Budget Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 State Mandates Fiscal Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 4 Fiscal Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 Rules Refers to Executive Committee
• House Floor Amendment No. 4 Referred to Rules Committee
• House Floor Amendment No. 4 Filed with Clerk by Rep. Thaddeus Jones
• House Floor Amendment No. 3 Referred to Rules Committee
• House Floor Amendment No. 3 Filed with Clerk by Rep. Robert Rita
• House Floor Amendment No. 3 State Debt Impact Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 4 Judicial Note Filed as Amended
• House Floor Amendment No. 4 State Mandates Fiscal Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 Balanced Budget Note Filed as Amended
• House Floor Amendment No. 4 Pension Note Filed as Amended
• House Floor Amendment No. 3 Pension Note Filed as Amended
• House Floor Amendment No. 3 Judicial Note Filed as Amended
• House Floor Amendment No. 4 Balanced Budget Note Filed as Amended
• House Floor Amendment No. 4 Balanced Budget Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 4 State Debt Impact Note Filed as Amended

• Sponsor Removed Sen. Linda Holmes

• House Floor Amendment No. 4 State Debt Impact Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 4 Pension Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 4 Judicial Note Requested as Amended by Rep. David McSweeney
• House Floor Amendment No. 3 State Debt Impact Note Filed as Amended

• Sponsor Removed Sen. Dave Syverson

• Approved for Consideration Rules Committee; 004-000-000
• Final Action Deadline Extended-9(b) November 27, 2019
• Placed on Calendar 2nd Reading - Short Debate

• Rule 19(a) / Re-referred to Rules Committee

• Final Action Deadline Extended-9(b) June 30, 2019

• Held on Calendar Order of Second Reading - Short Debate
• Second Reading - Short Debate
• Placed on Calendar 2nd Reading - Short Debate
• House Committee Amendment No. 1 Tabled Pursuant to Rule 40
• Do Pass as Amended / Short Debate Executive Committee; 008-005-000
• House Committee Amendment No. 2 Adopted in Executive Committee; by Voice Vote

• House Committee Amendment No. 2 Rules Refers to Executive Committee
• House Committee Amendment No. 2 Referred to Rules Committee
• House Committee Amendment No. 2 Filed with Clerk by Rep. Robert Rita

• Alternate Chief Sponsor Changed to Rep. Robert Rita
• Final Action Deadline Extended-9(b) May 31, 2019
• Assigned to Executive Committee

Il Gambling Expansion Bill Pay

• Rule 19(a) / Re-referred to Rules Committee

• House Committee Amendment No. 1 Referred to Rules Committee
• House Committee Amendment No. 1 Filed with Clerk by Rep. Martin J. Moylan

• Assigned to Executive Committee

• Referred to Rules Committee
• First Reading
• Chief House Sponsor Rep. Martin J. Moylan
• Arrived in House

• Third Reading - Passed; 044-005-000
• Placed on Calendar Order of 3rd Reading
• Senate Floor Amendment No. 1 Adopted; Link
• Recalled to Second Reading

Il Gambling Expansion Bills

• Senate Floor Amendment No. 1 Recommend Do Adopt Executive; 014-002-000
• Senate Floor Amendment No. 1 Assignments Refers to Executive

• Senate Floor Amendment No. 1 Referred to Assignments
• Senate Floor Amendment No. 1 Filed with Secretary by Sen. Terry Link

• Chief Sponsor Changed to Sen. Terry Link

• Placed on Calendar Order of 3rd Reading March 12, 2019
• Second Reading

• Placed on Calendar Order of 2nd Reading March 7, 2019
• Do Pass Executive; 016-000-000

• Assigned to Executive

• Referred to Assignments
• First Reading
• Filed with Secretary by Sen. John J. Cullerton

House Amendment 009

In provisions amending the Sports Wagering Act, provides that the license fee for an initial master sports wagering license issued to an owners licensee under the Illinois Gambling Act shall be paid by July 1, 2021 (rather than July 1, 2020).

House Amendment 007

In provisions amending the Illinois Gambling Act, provides that fees for gaming positions for riverboats and casinos shall be paid by July 1, 2021 (rather than July 1, 2020). Amends the Sports Wagering Act. Provides that the license fee for an initial master sports wagering license issued to an organization licensee under the Illinois Horse Racing Act of 1975 shall be paid by July 1, 2021 (rather than July 1, 2020).

House Amendment 006

In provisions amending the Illinois Gambling Act, provides that if at any point after June 1, 2020 there are no pending applications for an owners license for a newly authorized casino and not all owners licenses for newly authorized casinos have been issued (rather than if the Illinois Gaming Board does not issue all owners licenses for newly authorized casinos within the specified time period), then the Board shall reopen the license application process for owners licenses for newly authorized casinos that have not been issued. Provides that the Board shall follow the licensing process provided in the provisions with all time frames tied to the last date of a final order issued by the Board (instead of all time frames tied to the last date for issuing a license) rather than a specified date. Makes changes to the privilege tax rates for tables games to begin on the first date that a newly authorized casino conducts gambling operations.

House Amendment 005

Replaces everything after the enacting clause. Amends the Illinois Gambling Act. Requires an applicant for a casino license in the City of Chicago to make a public presentation of its proposal and to publish a summary of the proposal on the City of Chicago's or Cook County's website. Provides that if the Gaming Board does not issue certain riverboat and casino licenses within the time period specified under current law, then the Gaming Board shall reopen the license application process for those licenses that have not been issued. Makes changes to the reconciliation payments required by casinos and organization gaming licensees. Changes the privilege tax imposed on adjusted gross receipts from a casino in the City of Chicago and provides specified rates that shall be paid to the State and the City of Chicago (rather than one-third of adjusted gross receipts to the City of Chicago). Makes changes to the division of tax revenue generated from the casino in the City of Chicago. Provides that 0.5% (rather than 2%) of adjusted gross receipts generated by a casino in the City of Chicago shall be paid to Cook County for the purpose of enhancing Cook County's criminal justice system. Provides that a change in rates of the privilege tax imposed on specified casinos begins on July 1, 2020 (rather than the first day the casino conducts gambling operations). Amends the State Fair Gaming Act. Provides that the Illinois Gaming Board shall issue a licensed establishment license to the Department of Agriculture to operate video gaming at the Illinois State Fairgrounds and the DuQuoin State Fairgrounds (rather than issuing the license to a concessioner). Makes other changes. Effective immediately.

House Amendment 002

Replaces everything after the enacting clause. Amends the Riverboat Gambling Act. Makes a technical change in a Section concerning the short title.

Senate Amendment 001

Replaces everything after the enacting clause. Amends the Riverboat Gambling Act. Authorizes gambling to be conducted at land-based casinos. Makes conforming changes throughout the Act. Provides that an application for an owners license shall include an additional fee of $100,000 to the Illinois Gaming Board. Provides that the fee for renewal of an owners license is $100,000. Provides procedures for a riverboat to relocate to a new location. Removes provisions that describe the geographical locations certain riverboats shall be docked. Makes other changes. Effective immediately.

• 230 ILCS 5/1- from Ch. 8, par. 37-1
• 230 ILCS 10/2- from Ch. 120, par. 2402
• 230 ILCS 10/3- from Ch. 120, par. 2403
• 230 ILCS 10/4- from Ch. 120, par. 2404
• 230 ILCS 10/5- from Ch. 120, par. 2405
• 230 ILCS 10/5.1- from Ch. 120, par. 2405.1
• 230 ILCS 10/6- from Ch. 120, par. 2406
• 230 ILCS 10/7- from Ch. 120, par. 2407
• 230 ILCS 10/7.3-
• 230 ILCS 10/8- from Ch. 120, par. 2408
• 230 ILCS 10/9- from Ch. 120, par. 2409
• 230 ILCS 10/11- from Ch. 120, par. 2411
• 230 ILCS 10/11.1- from Ch. 120, par. 2411.1
• 230 ILCS 10/12- from Ch. 120, par. 2412
• 230 ILCS 10/13- from Ch. 120, par. 2413
• 230 ILCS 10/18- from Ch. 120, par. 2418
• 230 ILCS 10/18.1-
• 230 ILCS 10/19- from Ch. 120, par. 2419
• 230 ILCS 10/20- from Ch. 120, par. 2420
• 230 ILCS 10/1- from Ch. 120, par. 2401
• 230 ILCS 10/7.7-
• 230 ILCS 50/30-5-
• 230 ILCS 50/30-10-
• 230 ILCS 50/30-15-
• 230 ILCS 45/25-30-
• 230 ILCS 45/25-35-