98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB2271
 
Introduced , by Rep. Edward J. Acevedo
 
SYNOPSIS AS INTRODUCED:






230 ILCS 10/5 from Ch. 120, par. 2405

 Amends the Riverboat Gambling Act. Adds to the duties of the Illinois Gaming Board the retention of the Chicago Police Department as security personnel and the conducting of investigations, searches and seizures, arrests, and other duties imposed under the Act if an owners license is awarded that allows for the conduct of gambling within the City of Chicago. Effective immediately.



LRB098 09459 AMC 39601 b


 
 
A BILL FOR
 


HB2271LRB098 09459 AMC 39601 b



1 AN ACT concerning gaming.


2 Be it enacted by the People of the State of Illinois,

3represented in the General Assembly:



4 Section 5. The Riverboat Gambling Act is amended by 
5changing Section 5 as follows:




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 
9Board, which shall have the powers and duties specified in
this 
10Act, and all other powers necessary and proper to fully and

11effectively execute this Act for the purpose of administering, 
12regulating,
and enforcing the system of riverboat gambling 
13established by this Act. Its
jurisdiction shall extend under 
14this Act to every person, association,
corporation, 
15partnership and trust involved in riverboat gambling

16operations in the State of Illinois.

17 (2) The Board shall consist of 5 members to be appointed by 
18the Governor
with the advice and consent of the Senate, one of 
19whom shall be designated
by the Governor to be chairman. Each 
20member shall have a reasonable
knowledge of the practice, 
21procedure and principles of gambling operations.
Each member 
22shall either be a resident of Illinois or shall certify that he

23will become a resident of Illinois before taking office. At 
 
 
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1least one member
shall be experienced in law enforcement and 
2criminal investigation, at
least one member shall be a 
3certified public accountant experienced in
accounting and 
4auditing, and at least one member shall be a lawyer licensed
to 
5practice law in Illinois.

6 (3) The terms of office of the Board members shall be 3 
7years, except
that the terms of office of the initial Board 
8members appointed pursuant to
this Act will commence from the 
9effective date of this Act and run as
follows: one for a term 
10ending July 1, 1991, 2 for a term ending July 1,
1992, and 2 for 
11a term ending July 1, 1993. Upon the expiration of the

12foregoing terms, the successors of such members shall serve a 
13term for 3
years and until their successors are appointed and 
14qualified for like terms.
Vacancies in the Board shall be 
15filled for the unexpired term in like
manner as original 
16appointments. Each member of the Board shall be
eligible for 
17reappointment at the discretion of the Governor with the
advice 
18and consent of the Senate.

19 (4) Each member of the Board shall receive $300 for each 
20day the
Board meets and for each day the member conducts any 
21hearing pursuant to
this Act. Each member of the Board shall 
22also be reimbursed for all actual
and necessary expenses and 
23disbursements incurred in the execution of official
duties.

24 (5) No person shall be appointed a member of the Board or 
25continue to be
a member of the Board who is, or whose spouse, 
26child or parent is, a member
of the board of directors of, or a 
 
 
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1person financially interested in, any
gambling operation 
2subject to the jurisdiction of this Board, or any race
track, 
3race meeting, racing association or the operations thereof 
4subject
to the jurisdiction of the Illinois Racing Board. No 
5Board member shall
hold any other public office. No person 
6shall be a
member of the Board who is not of good moral 
7character or who has been
convicted of, or is under indictment 
8for, a felony under the laws of
Illinois or any other state, or 
9the United States.

10 (5.5) No member of the Board shall engage in any political 
11activity. For the purposes of this Section, "political" means 
12any activity in support
of or in connection with any campaign 
13for federal, State, or local elective office or any political

14organization, but does not include activities (i) relating to 
15the support or
opposition of any executive, legislative, or 
16administrative action (as those
terms are defined in Section 2 
17of the Lobbyist Registration Act), (ii) relating
to collective 
18bargaining, or (iii) that are
otherwise
in furtherance of the 
19person's official
State duties or governmental and public 
20service functions.

21 (6) Any member of the Board may be removed by the Governor 
22for neglect
of duty, misfeasance, malfeasance, or nonfeasance 
23in office or for engaging in any political activity.

24 (7) Before entering upon the discharge of the duties of his 
25office, each
member of the Board shall take an oath that he 
26will faithfully execute the
duties of his office according to 
 
 
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1the laws of the State and the rules and
regulations adopted 
2therewith and shall give bond to the State of Illinois,

3approved by the Governor, in the sum of $25,000. Every such 
4bond, when
duly executed and approved, shall be recorded in the 
5office of the
Secretary of State. Whenever the Governor 
6determines that the bond of any
member of the Board has become 
7or is likely to become invalid or
insufficient, he shall 
8require such member forthwith to renew his bond,
which is to be 
9approved by the Governor. Any member of the Board who fails
to 
10take oath and give bond within 30 days from the date of his 
11appointment,
or who fails to renew his bond within 30 days 
12after it is demanded by the
Governor, shall be guilty of 
13neglect of duty and may be removed by the
Governor. The cost of 
14any bond given by any member of the Board under this
Section 
15shall be taken to be a part of the necessary expenses of the 
16Board.

17 (8) The Board shall employ such
personnel as may be 
18necessary to carry out its functions and shall determine the 
19salaries of all personnel, except those personnel whose 
20salaries are determined under the terms of a collective 
21bargaining agreement. No
person shall be employed to serve the 
22Board who is, or whose spouse, parent
or child is, an official 
23of, or has a financial interest in or financial
relation with, 
24any operator engaged in gambling operations within this
State 
25or any organization engaged in conducting horse racing within 
26this
State. Any employee violating these prohibitions shall be 
 
 
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1subject to
termination of employment.

2 (9) An Administrator shall perform any and all duties that 
3the Board
shall assign him. The salary of the Administrator 
4shall be determined by
the Board and, in addition,
he shall be 
5reimbursed for all actual and necessary expenses incurred by

6him in discharge of his official duties. The Administrator 
7shall keep
records of all proceedings of the Board and shall 
8preserve all records,
books, documents and other papers 
9belonging to the Board or entrusted to
its care. The 
10Administrator shall devote his full time to the duties of
the 
11office and shall not hold any other office or employment.

12 (b) The Board shall have general responsibility for the 
13implementation
of this Act. Its duties include, without 
14limitation, the following:


15  (1) To decide promptly and in reasonable order all 
16 license applications.
Any party aggrieved by an action of 
17 the Board denying, suspending,
revoking, restricting or 
18 refusing to renew a license may request a hearing
before 
19 the Board. A request for a hearing must be made to the 
20 Board in
writing within 5 days after service of notice of 
21 the action of the Board.
Notice of the action of the Board 
22 shall be served either by personal
delivery or by certified 
23 mail, postage prepaid, to the aggrieved party.
Notice 
24 served by certified mail shall be deemed complete on the 
25 business
day following the date of such mailing. The Board 
26 shall conduct all
requested hearings promptly and in 
 
 
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1 reasonable order;


2  (2) To conduct all hearings pertaining to civil 
3 violations of this Act
or rules and regulations promulgated 
4 hereunder;


5  (3) To promulgate such rules and regulations as in its 
6 judgment may be
necessary to protect or enhance the 
7 credibility and integrity of gambling
operations 
8 authorized by this Act and the regulatory process 
9 hereunder;


10  (4) To provide for the establishment and collection of 
11 all license and
registration fees and taxes imposed by this 
12 Act and the rules and
regulations issued pursuant hereto. 
13 All such fees and taxes shall be
deposited into the State 
14 Gaming Fund;


15  (5) To provide for the levy and collection of penalties 
16 and fines for the
violation of provisions of this Act and 
17 the rules and regulations
promulgated hereunder. All such 
18 fines and penalties shall be deposited
into the Education 
19 Assistance Fund, created by Public Act 86-0018, of the

20 State of Illinois;


21  (6) To be present through its inspectors and agents any 
22 time gambling
operations are conducted on any riverboat for 
23 the purpose of certifying the
revenue thereof, receiving 
24 complaints from the public, and conducting such
other 
25 investigations into the conduct of the gambling games and 
26 the
maintenance of the equipment as from time to time the 
 
 
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1 Board may deem
necessary and proper;


2  (7) To review and rule upon any complaint by a licensee

3 regarding any investigative procedures of the State which 
4 are unnecessarily
disruptive of gambling operations. The 
5 need to inspect and investigate
shall be presumed at all 
6 times. The disruption of a licensee's operations
shall be 
7 proved by clear and convincing evidence, and establish 
8 that: (A)
the procedures had no reasonable law enforcement 
9 purposes, and (B) the
procedures were so disruptive as to 
10 unreasonably inhibit gambling operations;


11  (8) To hold at least one meeting each quarter of the 
12 fiscal
year. In addition, special meetings may be called by 
13 the Chairman or any 2
Board members upon 72 hours written 
14 notice to each member. All Board
meetings shall be subject 
15 to the Open Meetings Act. Three members of the
Board shall 
16 constitute a quorum, and 3 votes shall be required for any

17 final determination by the Board. The Board shall keep a 
18 complete and
accurate record of all its meetings. A 
19 majority of the members of the Board
shall constitute a 
20 quorum for the transaction of any business, for the

21 performance of any duty, or for the exercise of any power 
22 which this Act
requires the Board members to transact, 
23 perform or exercise en banc, except
that, upon order of the 
24 Board, one of the Board members or an
administrative law 
25 judge designated by the Board may conduct any hearing

26 provided for under this Act or by Board rule and may 
 
 
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1 recommend findings and
decisions to the Board. The Board 
2 member or administrative law judge
conducting such hearing 
3 shall have all powers and rights granted to the
Board in 
4 this Act. The record made at the time of the hearing shall 
5 be
reviewed by the Board, or a majority thereof, and the 
6 findings and decision
of the majority of the Board shall 
7 constitute the order of the Board in
such case;


8  (9) To maintain records which are separate and distinct 
9 from the records
of any other State board or commission. 
10 Such records shall be available
for public inspection and 
11 shall accurately reflect all Board proceedings;


12  (10) To file a written annual report with the Governor 
13 on or before
March 1 each year and such additional reports 
14 as the Governor may request.
The annual report shall 
15 include a statement of receipts and disbursements
by the 
16 Board, actions taken by the Board, and any additional 
17 information
and recommendations which the Board may deem 
18 valuable or which the Governor
may request;


19  (11) (Blank);


20  (12) (Blank);


21  (13) To assume responsibility for administration and 
22 enforcement of the
Video Gaming Act; and
23  (14) To adopt, by rule, a code of conduct governing 
24 Board members and employees that ensure, to the maximum 
25 extent possible, that persons subject to this Code avoid 
26 situations, relationships, or associations that may 
 
 
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1 represent or lead to a conflict of interest.

2 (c) The Board shall have jurisdiction over and shall 
3supervise all
gambling operations governed by this Act. The 
4Board shall have all powers
necessary and proper to fully and 
5effectively execute the provisions of
this Act, including, but 
6not limited to, the following:


7  (1) To investigate applicants and determine the 
8 eligibility of
applicants for licenses and to select among 
9 competing applicants the
applicants which best serve the 
10 interests of the citizens of Illinois.


11  (2) To have jurisdiction and supervision over all 
12 riverboat gambling
operations in this State and all persons 
13 on riverboats where gambling
operations are conducted.


14  (3) To promulgate rules and regulations for the purpose 
15 of administering
the provisions of this Act and to 
16 prescribe rules, regulations and
conditions under which 
17 all riverboat gambling in the State shall be
conducted. 
18 Such rules and regulations are to provide for the 
19 prevention of
practices detrimental to the public interest 
20 and for the best interests of
riverboat gambling, including 
21 rules and regulations regarding the
inspection of such 
22 riverboats and the review of any permits or licenses

23 necessary to operate a riverboat under any laws or 
24 regulations applicable
to riverboats, and to impose 
25 penalties for violations thereof.


26  (4) To enter the office, riverboats, facilities, or 
 
 
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1 other
places of business of a licensee, where evidence of 
2 the compliance or
noncompliance with the provisions of this 
3 Act is likely to be found.


4  (5) To investigate alleged violations of this Act or 
5 the
rules of the Board and to take appropriate disciplinary

6 action against a licensee or a holder of an occupational 
7 license for a
violation, or institute appropriate legal 
8 action for enforcement, or both.


9  (6) To adopt standards for the licensing of all persons 
10 under this Act,
as well as for electronic or mechanical 
11 gambling games, and to establish
fees for such licenses.


12  (7) To adopt appropriate standards for all riverboats

13 and facilities.


14  (8) To require that the records, including financial or 
15 other statements
of any licensee under this Act, shall be 
16 kept in such manner as prescribed
by the Board and that any 
17 such licensee involved in the ownership or
management of 
18 gambling operations submit to the Board an annual balance

19 sheet and profit and loss statement, list of the 
20 stockholders or other
persons having a 1% or greater 
21 beneficial interest in the gambling
activities of each 
22 licensee, and any other information the Board deems

23 necessary in order to effectively administer this Act and 
24 all rules,
regulations, orders and final decisions 
25 promulgated under this Act.


26  (9) To conduct hearings, issue subpoenas for the 
 
 
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1 attendance of
witnesses and subpoenas duces tecum for the 
2 production of books, records
and other pertinent documents 
3 in accordance with the Illinois
Administrative Procedure 
4 Act, and to administer oaths and affirmations to
the 
5 witnesses, when, in the judgment of the Board, it is 
6 necessary to
administer or enforce this Act or the Board 
7 rules.


8  (10) To prescribe a form to be used by any licensee 
9 involved in the
ownership or management of gambling 
10 operations as an
application for employment for their 
11 employees.


12  (11) To revoke or suspend licenses, as the Board may 
13 see fit and in
compliance with applicable laws of the State 
14 regarding administrative
procedures, and to review 
15 applications for the renewal of licenses. The
Board may 
16 suspend an owners license, without notice or hearing upon a

17 determination that the safety or health of patrons or 
18 employees is
jeopardized by continuing a riverboat's 
19 operation. The suspension may
remain in effect until the 
20 Board determines that the cause for suspension
has been 
21 abated. The Board may revoke the owners license upon a

22 determination that the owner has not made satisfactory 
23 progress toward
abating the hazard.


24  (12) To eject or exclude or authorize the ejection or 
25 exclusion of, any
person from riverboat gambling 
26 facilities where such person is in violation
of this Act, 
 
 
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1 rules and regulations thereunder, or final orders of the

2 Board, or where such person's conduct or reputation is such 
3 that his
presence within the riverboat gambling facilities 
4 may, in the opinion of
the Board, call into question the 
5 honesty and integrity of the gambling
operations or 
6 interfere with orderly conduct thereof; provided that the

7 propriety of such ejection or exclusion is subject to 
8 subsequent hearing
by the Board.


9  (13) To require all licensees of gambling operations to 
10 utilize a
cashless wagering system whereby all players' 
11 money is converted to tokens,
electronic cards, or chips 
12 which shall be used only for wagering in the
gambling 
13 establishment.


14  (14) (Blank).


15  (15) To suspend, revoke or restrict licenses, to 
16 require the
removal of a licensee or an employee of a 
17 licensee for a violation of this
Act or a Board rule or for 
18 engaging in a fraudulent practice, and to
impose civil 
19 penalties of up to $5,000 against individuals and up to

20 $10,000 or an amount equal to the daily gross receipts, 
21 whichever is
larger, against licensees for each violation 
22 of any provision of the Act,
any rules adopted by the 
23 Board, any order of the Board or any other action
which, in 
24 the Board's discretion, is a detriment or impediment to 
25 riverboat
gambling operations.


26  (16) To hire employees to gather information, conduct 
 
 
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1 investigations
and carry out any other tasks contemplated 
2 under this Act.


3  (17) To establish minimum levels of insurance to be 
4 maintained by
licensees.


5  (18) To authorize a licensee to sell or serve alcoholic 
6 liquors, wine or
beer as defined in the Liquor Control Act 
7 of 1934 on board a riverboat
and to have exclusive 
8 authority to establish the hours for sale and
consumption 
9 of alcoholic liquor on board a riverboat, notwithstanding 
10 any
provision of the Liquor Control Act of 1934 or any 
11 local ordinance, and
regardless of whether the riverboat 
12 makes excursions. The
establishment of the hours for sale 
13 and consumption of alcoholic liquor on
board a riverboat is 
14 an exclusive power and function of the State. A home
rule 
15 unit may not establish the hours for sale and consumption 
16 of alcoholic
liquor on board a riverboat. This amendatory 
17 Act of 1991 is a denial and
limitation of home rule powers 
18 and functions under subsection (h) of
Section 6 of Article 
19 VII of the Illinois Constitution.


20  (19) After consultation with the U.S. Army Corps of 
21 Engineers, to
establish binding emergency orders upon the 
22 concurrence of a majority of
the members of the Board 
23 regarding the navigability of water, relative to

24 excursions,
in the event
of extreme weather conditions, 
25 acts of God or other extreme circumstances.


26  (20) To delegate the execution of any of its powers 
 
 
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1 under this Act for
the purpose of administering and 
2 enforcing this Act and its rules and
regulations hereunder.

3  (20.5) To approve any contract entered into on its 
4 behalf.

5  (20.6) To appoint investigators to conduct 
6 investigations, searches, seizures, arrests, and other 
7 duties imposed under this Act, as deemed necessary by the 
8 Board. These investigators have and may exercise all of the 
9 rights and powers of peace officers, provided that these 
10 powers shall be limited to offenses or violations occurring 
11 or committed 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 on a riverboat or dock, 
24 as defined in subsections (d) and (f) of Section 4, or as 
25 otherwise provided by this Act or any other law. In the 
26 event the Department of State Police or the Department of 
 
 
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1 Revenue is unable to fill contracted police or 
2 investigative positions, the Board may appoint 
3 investigators to fill those positions pursuant to 
4 subdivision (20.6).

5  (20.8) If an owners license is awarded under this Act 
6 that allows for the conduct of gambling within the City of 
7 Chicago, to retain the Chicago Police Department as 
8 security personnel and to conduct investigations, searches 
9 and seizures, arrests, and other duties imposed under this 
10 Act. 

11  (21) To take any other action as may be reasonable or 
12 appropriate to
enforce this Act and rules and regulations 
13 hereunder.

14 (d) The Board may seek and shall receive the cooperation of 
15the
Department of State Police in conducting background 
16investigations of
applicants and in fulfilling its 
17responsibilities under
this Section. Costs incurred by the 
18Department of State Police as
a result of such cooperation 
19shall be paid by the Board in conformance
with the requirements 
20of Section 2605-400 of the Department of State Police Law
(20 
21ILCS 2605/2605-400).

22 (e) The Board must authorize to each investigator and to 
23any other
employee of the Board exercising the powers of a 
24peace officer a distinct badge
that, on its face, (i) clearly 
25states that the badge is authorized by the Board
and
(ii) 
26contains a unique identifying number. No other badge shall be 
 
 
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1authorized
by the Board.

2(Source: P.A. 96-34, eff. 7-13-09; 96-37, eff. 7-13-09; 
396-1000, eff. 7-2-10; 96-1392, eff. 1-1-11.)



4 Section 99. Effective date. This Act takes effect upon 
5becoming law.