Bill Text: IL SB0327 | 2023-2024 | 103rd General Assembly | Engrossed

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Bill Title: Amends the Illinois Horse Racing Act of 1975. Provides that the Illinois Racing Board may appoint the Director of Mutuels to serve as the State director for inter-track wagering and simulcast wagering by inter-track wagering licensees and inter-track wagering location licensees. Provides that the pari-mutuel tax imposed at all pari-mutuel wagering facilities and on advance deposit wagering shall be remitted to the Board (rather than the Department of Revenue). Provides that the Board shall distribute contributed funds to a charitable organization on a schedule determined by the Board, based on the charitable organization's estimated expenditures related to the grant (rather than by December 31 of each year). Provides that any funds not expended by the grantee in a grant year shall be distributed to the charitable organization or charitable organizations selected in the next grant year after the funds are recovered. Repeals provisions authorizing the Board to make daily temporary deposits of certain fees and provisions requiring the Board and the Department of Agriculture to establish a program to conduct drug testing on horses at county fairs. Makes other changes. Effective immediately.

Spectrum: Moderate Partisan Bill (Democrat 8-1)

Status: (Engrossed) 2024-05-31 - House Floor Amendment No. 1 Rule 19(c) / Re-referred to Rules Committee [SB0327 Detail]

Download: Illinois-2023-SB0327-Engrossed.html

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AN ACT concerning gaming.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Horse Racing Act of 1975 is
amended by changing Sections 26, 27, 28.1, and 31.1 as
follows:
(230 ILCS 5/26) (from Ch. 8, par. 37-26)
Sec. 26. Wagering.
(a) Any licensee may conduct and supervise the pari-mutuel
system of wagering, as defined in Section 3.12 of this Act, on
horse races conducted by an Illinois organization licensee or
conducted at a racetrack located in another state or country
in accordance with subsection (g) of Section 26 of this Act.
Subject to the prior consent of the Board, licensees may
supplement any pari-mutuel pool in order to guarantee a
minimum distribution. Such pari-mutuel method of wagering
shall not, under any circumstances if conducted under the
provisions of this Act, be held or construed to be unlawful,
other statutes of this State to the contrary notwithstanding.
Subject to rules for advance wagering promulgated by the
Board, any licensee may accept wagers in advance of the day the
race wagered upon occurs.
(b) Except for those gaming activities for which a license

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is obtained and authorized under the Illinois Lottery Law, the
Charitable Games Act, the Raffles and Poker Runs Act, or the
Illinois Gambling Act, no other method of betting, pool
making, wagering or gambling shall be used or permitted by the
licensee. Each licensee may retain, subject to the payment of
all applicable taxes and purses, an amount not to exceed 17% of
all money wagered under subsection (a) of this Section, except
as may otherwise be permitted under this Act.
(b-5) An individual may place a wager under the
pari-mutuel system from any licensed location authorized under
this Act provided that wager is electronically recorded in the
manner described in Section 3.12 of this Act. Any wager made
electronically by an individual while physically on the
premises of a licensee shall be deemed to have been made at the
premises of that licensee.
(c) (Blank).
(c-5) The sum held by any licensee for payment of
outstanding pari-mutuel tickets, if unclaimed prior to
December 31 of the next year, shall be retained by the licensee
for payment of such tickets until that date. Within 10 days
thereafter, the balance of such sum remaining unclaimed, less
any uncashed supplements contributed by such licensee for the
purpose of guaranteeing minimum distributions of any
pari-mutuel pool, shall be evenly distributed to the purse
account of the organization licensee and the organization
licensee, except that the balance of the sum of all

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outstanding pari-mutuel tickets generated from simulcast
wagering and inter-track wagering by an organization licensee
located in a county with a population in excess of 230,000 and
borders the Mississippi River or any licensee that derives its
license from that organization licensee shall be evenly
distributed to the purse account of the organization licensee
and the organization licensee.
(d) A pari-mutuel ticket shall be honored until December
31 of the next calendar year, and the licensee shall pay the
same and may charge the amount thereof against unpaid money
similarly accumulated on account of pari-mutuel tickets not
presented for payment.
(e) No licensee shall knowingly permit any minor, other
than an employee of such licensee or an owner, trainer,
jockey, driver, or employee thereof, to be admitted during a
racing program unless accompanied by a parent or guardian, or
any minor to be a patron of the pari-mutuel system of wagering
conducted or supervised by it. The admission of any
unaccompanied minor, other than an employee of the licensee or
an owner, trainer, jockey, driver, or employee thereof at a
race track is a Class C misdemeanor.
(f) Notwithstanding the other provisions of this Act, an
organization licensee may contract with an entity in another
state or country to permit any legal wagering entity in
another state or country to accept wagers solely within such
other state or country on races conducted by the organization

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licensee in this State. Beginning January 1, 2000, these
wagers shall not be subject to State taxation. Until January
1, 2000, when the out-of-State entity conducts a pari-mutuel
pool separate from the organization licensee, a privilege tax
equal to 7 1/2% of all monies received by the organization
licensee from entities in other states or countries pursuant
to such contracts is imposed on the organization licensee, and
such privilege tax shall be remitted to the Department of
Revenue within 48 hours of receipt of the moneys from the
simulcast. When the out-of-State entity conducts a combined
pari-mutuel pool with the organization licensee, the tax shall
be 10% of all monies received by the organization licensee
with 25% of the receipts from this 10% tax to be distributed to
the county in which the race was conducted.
An organization licensee may permit one or more of its
races to be utilized for pari-mutuel wagering at one or more
locations in other states and may transmit audio and visual
signals of races the organization licensee conducts to one or
more locations outside the State or country and may also
permit pari-mutuel pools in other states or countries to be
combined with its gross or net wagering pools or with wagering
pools established by other states.
(g) A host track may accept interstate simulcast wagers on
horse races conducted in other states or countries and shall
control the number of signals and types of breeds of racing in
its simulcast program, subject to the disapproval of the

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Board. The Board may prohibit a simulcast program only if it
finds that the simulcast program is clearly adverse to the
integrity of racing. The host track simulcast program shall
include the signal of live racing of all organization
licensees. All non-host licensees and advance deposit wagering
licensees shall carry the signal of and accept wagers on live
racing of all organization licensees. Advance deposit wagering
licensees shall not be permitted to accept out-of-state wagers
on any Illinois signal provided pursuant to this Section
without the approval and consent of the organization licensee
providing the signal. For one year after August 15, 2014 (the
effective date of Public Act 98-968), non-host licensees may
carry the host track simulcast program and shall accept wagers
on all races included as part of the simulcast program of horse
races conducted at race tracks located within North America
upon which wagering is permitted. For a period of one year
after August 15, 2014 (the effective date of Public Act
98-968), on horse races conducted at race tracks located
outside of North America, non-host licensees may accept wagers
on all races included as part of the simulcast program upon
which wagering is permitted. Beginning August 15, 2015 (one
year after the effective date of Public Act 98-968), non-host
licensees may carry the host track simulcast program and shall
accept wagers on all races included as part of the simulcast
program upon which wagering is permitted. All organization
licensees shall provide their live signal to all advance

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deposit wagering licensees for a simulcast commission fee not
to exceed 6% of the advance deposit wagering licensee's
Illinois handle on the organization licensee's signal without
prior approval by the Board. The Board may adopt rules under
which it may permit simulcast commission fees in excess of 6%.
The Board shall adopt rules limiting the interstate commission
fees charged to an advance deposit wagering licensee. The
Board shall adopt rules regarding advance deposit wagering on
interstate simulcast races that shall reflect, among other
things, the General Assembly's desire to maximize revenues to
the State, horsemen purses, and organization licensees.
However, organization licensees providing live signals
pursuant to the requirements of this subsection (g) may
petition the Board to withhold their live signals from an
advance deposit wagering licensee if the organization licensee
discovers and the Board finds reputable or credible
information that the advance deposit wagering licensee is
under investigation by another state or federal governmental
agency, the advance deposit wagering licensee's license has
been suspended in another state, or the advance deposit
wagering licensee's license is in revocation proceedings in
another state. The organization licensee's provision of their
live signal to an advance deposit wagering licensee under this
subsection (g) pertains to wagers placed from within Illinois.
Advance deposit wagering licensees may place advance deposit
wagering terminals at wagering facilities as a convenience to

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customers. The advance deposit wagering licensee shall not
charge or collect any fee from purses for the placement of the
advance deposit wagering terminals. The costs and expenses of
the host track and non-host licensees associated with
interstate simulcast wagering, other than the interstate
commission fee, shall be borne by the host track and all
non-host licensees incurring these costs. The interstate
commission fee shall not exceed 5% of Illinois handle on the
interstate simulcast race or races without prior approval of
the Board. The Board shall promulgate rules under which it may
permit interstate commission fees in excess of 5%. The
interstate commission fee and other fees charged by the
sending racetrack, including, but not limited to, satellite
decoder fees, shall be uniformly applied to the host track and
all non-host licensees.
Notwithstanding any other provision of this Act, an
organization licensee, with the consent of the horsemen
association representing the largest number of owners,
trainers, jockeys, or standardbred drivers who race horses at
that organization licensee's racing meeting, may maintain a
system whereby advance deposit wagering may take place or an
organization licensee, with the consent of the horsemen
association representing the largest number of owners,
trainers, jockeys, or standardbred drivers who race horses at
that organization licensee's racing meeting, may contract with
another person to carry out a system of advance deposit

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wagering. Such consent may not be unreasonably withheld. Only
with respect to an appeal to the Board that consent for an
organization licensee that maintains its own advance deposit
wagering system is being unreasonably withheld, the Board
shall issue a final order within 30 days after initiation of
the appeal, and the organization licensee's advance deposit
wagering system may remain operational during that 30-day
period. The actions of any organization licensee who conducts
advance deposit wagering or any person who has a contract with
an organization licensee to conduct advance deposit wagering
who conducts advance deposit wagering on or after January 1,
2013 and prior to June 7, 2013 (the effective date of Public
Act 98-18) taken in reliance on the changes made to this
subsection (g) by Public Act 98-18 are hereby validated,
provided payment of all applicable pari-mutuel taxes are
remitted to the Board. All advance deposit wagers placed from
within Illinois must be placed through a Board-approved
advance deposit wagering licensee; no other entity may accept
an advance deposit wager from a person within Illinois. All
advance deposit wagering is subject to any rules adopted by
the Board. The Board may adopt rules necessary to regulate
advance deposit wagering through the use of emergency
rulemaking in accordance with Section 5-45 of the Illinois
Administrative Procedure Act. The General Assembly finds that
the adoption of rules to regulate advance deposit wagering is
deemed an emergency and necessary for the public interest,

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safety, and welfare. An advance deposit wagering licensee may
retain all moneys as agreed to by contract with an
organization licensee. Any moneys retained by the organization
licensee from advance deposit wagering, not including moneys
retained by the advance deposit wagering licensee, shall be
paid 50% to the organization licensee's purse account and 50%
to the organization licensee. With the exception of any
organization licensee that is owned by a publicly traded
company that is incorporated in a state other than Illinois
and advance deposit wagering licensees under contract with
such organization licensees, organization licensees that
maintain advance deposit wagering systems and advance deposit
wagering licensees that contract with organization licensees
shall provide sufficiently detailed monthly accountings to the
horsemen association representing the largest number of
owners, trainers, jockeys, or standardbred drivers who race
horses at that organization licensee's racing meeting so that
the horsemen association, as an interested party, can confirm
the accuracy of the amounts paid to the purse account at the
horsemen association's affiliated organization licensee from
advance deposit wagering. If more than one breed races at the
same race track facility, then the 50% of the moneys to be paid
to an organization licensee's purse account shall be allocated
among all organization licensees' purse accounts operating at
that race track facility proportionately based on the actual
number of host days that the Board grants to that breed at that

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race track facility in the current calendar year. To the
extent any fees from advance deposit wagering conducted in
Illinois for wagers in Illinois or other states have been
placed in escrow or otherwise withheld from wagers pending a
determination of the legality of advance deposit wagering, no
action shall be brought to declare such wagers or the
disbursement of any fees previously escrowed illegal.
(1) Between the hours of 6:30 a.m. and 6:30 p.m. an
inter-track wagering licensee other than the host track
may supplement the host track simulcast program with
additional simulcast races or race programs, provided that
between January 1 and the third Friday in February of any
year, inclusive, if no live thoroughbred racing is
occurring in Illinois during this period, only
thoroughbred races may be used for supplemental interstate
simulcast purposes. The Board shall withhold approval for
a supplemental interstate simulcast only if it finds that
the simulcast is clearly adverse to the integrity of
racing. A supplemental interstate simulcast may be
transmitted from an inter-track wagering licensee to its
affiliated non-host licensees. The interstate commission
fee for a supplemental interstate simulcast shall be paid
by the non-host licensee and its affiliated non-host
licensees receiving the simulcast.
(2) Between the hours of 6:30 p.m. and 6:30 a.m. an
inter-track wagering licensee other than the host track

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may receive supplemental interstate simulcasts only with
the consent of the host track, except when the Board finds
that the simulcast is clearly adverse to the integrity of
racing. Consent granted under this paragraph (2) to any
inter-track wagering licensee shall be deemed consent to
all non-host licensees. The interstate commission fee for
the supplemental interstate simulcast shall be paid by all
participating non-host licensees.
(3) Each licensee conducting interstate simulcast
wagering may retain, subject to the payment of all
applicable taxes and the purses, an amount not to exceed
17% of all money wagered. If any licensee conducts the
pari-mutuel system wagering on races conducted at
racetracks in another state or country, each such race or
race program shall be considered a separate racing day for
the purpose of determining the daily handle and computing
the privilege tax of that daily handle as provided in
subsection (a) of Section 27. Until January 1, 2000, from
the sums permitted to be retained pursuant to this
subsection, each inter-track wagering location licensee
shall pay 1% of the pari-mutuel handle wagered on
simulcast wagering to the Horse Racing Tax Allocation
Fund, subject to the provisions of subparagraph (B) of
paragraph (11) of subsection (h) of Section 26 of this
Act.
(4) A licensee who receives an interstate simulcast

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may combine its gross or net pools with pools at the
sending racetracks pursuant to rules established by the
Board. All licensees combining their gross pools at a
sending racetrack shall adopt the takeout percentages of
the sending racetrack. A licensee may also establish a
separate pool and takeout structure for wagering purposes
on races conducted at race tracks outside of the State of
Illinois. The licensee may permit pari-mutuel wagers
placed in other states or countries to be combined with
its gross or net wagering pools or other wagering pools.
(5) After the payment of the interstate commission fee
(except for the interstate commission fee on a
supplemental interstate simulcast, which shall be paid by
the host track and by each non-host licensee through the
host track) and all applicable State and local taxes,
except as provided in subsection (g) of Section 27 of this
Act, the remainder of moneys retained from simulcast
wagering pursuant to this subsection (g), and Section 26.2
shall be divided as follows:
(A) For interstate simulcast wagers made at a host
track, 50% to the host track and 50% to purses at the
host track.
(B) For wagers placed on interstate simulcast
races, supplemental simulcasts as defined in
subparagraphs (1) and (2), and separately pooled races
conducted outside of the State of Illinois made at a

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non-host licensee, 25% to the host track, 25% to the
non-host licensee, and 50% to the purses at the host
track.
(6) Notwithstanding any provision in this Act to the
contrary, non-host licensees who derive their licenses
from a track located in a county with a population in
excess of 230,000 and that borders the Mississippi River
may receive supplemental interstate simulcast races at all
times subject to Board approval, which shall be withheld
only upon a finding that a supplemental interstate
simulcast is clearly adverse to the integrity of racing.
(7) Effective January 1, 2017, notwithstanding any
provision of this Act to the contrary, after payment of
all applicable State and local taxes and interstate
commission fees, non-host licensees who derive their
licenses from a track located in a county with a
population in excess of 230,000 and that borders the
Mississippi River shall retain 50% of the retention from
interstate simulcast wagers and shall pay 50% to purses at
the track from which the non-host licensee derives its
license.
(7.1) Notwithstanding any other provision of this Act
to the contrary, if no standardbred racing is conducted at
a racetrack located in Madison County during any calendar
year beginning on or after January 1, 2002, and the
licensee that conducts horse racing at that racetrack

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requests from the Board at least as many racing dates as
were conducted in calendar year 2000, all moneys derived
by that racetrack from simulcast wagering and inter-track
wagering that (1) are to be used for purses and (2) are
generated between the hours of 6:30 p.m. and 6:30 a.m.
during that calendar year shall be paid as follows:
(A) Eighty percent If the licensee that conducts
horse racing at that racetrack requests from the Board
at least as many racing dates as were conducted in
calendar year 2000, 80% shall be paid to its
thoroughbred purse account; and
(B) Twenty percent shall be deposited into the
Illinois Colt Stakes Purse Distribution Fund and shall
be paid to purses for standardbred races for Illinois
conceived and foaled horses conducted at any county
fairgrounds. The moneys deposited into the Fund
pursuant to this subparagraph (B) shall be deposited
within 2 weeks after the day they were generated,
shall be in addition to and not in lieu of any other
moneys paid to standardbred purses under this Act, and
shall not be commingled with other moneys paid into
that Fund. The moneys deposited pursuant to this
subparagraph (B) shall be allocated as provided by the
Department of Agriculture, with the advice and
assistance of the Illinois Standardbred Breeders Fund
Advisory Board.

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(7.2) Notwithstanding any other provision of this Act
to the contrary, if no thoroughbred racing is conducted at
a racetrack located in Madison County during any calendar
year beginning on or after January 1, 2002, and the
licensee that conducts horse racing at that racetrack
requests from the Board at least as many racing dates as
were conducted in calendar year 2000, all moneys derived
by that racetrack from simulcast wagering and inter-track
wagering that (1) are to be used for purses and (2) are
generated between the hours of 6:30 a.m. and 6:30 p.m.
during that calendar year shall be deposited as follows:
(A) Eighty percent If the licensee that conducts
horse racing at that racetrack requests from the Board
at least as many racing dates as were conducted in
calendar year 2000, 80% shall be deposited into its
standardbred purse account; and
(B) Twenty percent shall be deposited into the
Illinois Colt Stakes Purse Distribution Fund. Moneys
deposited into the Illinois Colt Stakes Purse
Distribution Fund pursuant to this subparagraph (B)
shall be paid to Illinois conceived and foaled
thoroughbred breeders' programs and to thoroughbred
purses for races conducted at any county fairgrounds
for Illinois conceived and foaled horses at the
discretion of the Department of Agriculture, with the
advice and assistance of the Illinois Thoroughbred

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Breeders Fund Advisory Board. The moneys deposited
into the Illinois Colt Stakes Purse Distribution Fund
pursuant to this subparagraph (B) shall be deposited
within 2 weeks after the day they were generated,
shall be in addition to and not in lieu of any other
moneys paid to thoroughbred purses under this Act, and
shall not be commingled with other moneys deposited
into that Fund.
(8) Notwithstanding any provision in this Act to the
contrary, an organization licensee from a track located in
a county with a population in excess of 230,000 and that
borders the Mississippi River and its affiliated non-host
licensees shall not be entitled to share in any retention
generated on racing, inter-track wagering, or simulcast
wagering at any other Illinois wagering facility.
(8.1) Notwithstanding any provisions in this Act to
the contrary, if 2 organization licensees are conducting
standardbred race meetings concurrently between the hours
of 6:30 p.m. and 6:30 a.m., after payment of all
applicable State and local taxes and interstate commission
fees, the remainder of the amount retained from simulcast
wagering otherwise attributable to the host track and to
host track purses shall be split daily between the 2
organization licensees and the purses at the tracks of the
2 organization licensees, respectively, based on each
organization licensee's share of the total live handle for

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that day, provided that this provision shall not apply to
any non-host licensee that derives its license from a
track located in a county with a population in excess of
230,000 and that borders the Mississippi River.
(9) (Blank).
(10) (Blank).
(11) (Blank).
(12) The Board shall have authority to compel all host
tracks to receive the simulcast of any or all races
conducted at the Springfield or DuQuoin State fairgrounds
and include all such races as part of their simulcast
programs.
(13) Notwithstanding any other provision of this Act,
in the event that the total Illinois pari-mutuel handle on
Illinois horse races at all wagering facilities in any
calendar year is less than 75% of the total Illinois
pari-mutuel handle on Illinois horse races at all such
wagering facilities for calendar year 1994, then each
wagering facility that has an annual total Illinois
pari-mutuel handle on Illinois horse races that is less
than 75% of the total Illinois pari-mutuel handle on
Illinois horse races at such wagering facility for
calendar year 1994, shall be permitted to receive, from
any amount otherwise payable to the purse account at the
race track with which the wagering facility is affiliated
in the succeeding calendar year, an amount equal to 2% of

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the differential in total Illinois pari-mutuel handle on
Illinois horse races at the wagering facility between that
calendar year in question and 1994 provided, however, that
a wagering facility shall not be entitled to any such
payment until the Board certifies in writing to the
wagering facility the amount to which the wagering
facility is entitled and a schedule for payment of the
amount to the wagering facility, based on: (i) the racing
dates awarded to the race track affiliated with the
wagering facility during the succeeding year; (ii) the
sums available or anticipated to be available in the purse
account of the race track affiliated with the wagering
facility for purses during the succeeding year; and (iii)
the need to ensure reasonable purse levels during the
payment period. The Board's certification shall be
provided no later than January 31 of the succeeding year.
In the event a wagering facility entitled to a payment
under this paragraph (13) is affiliated with a race track
that maintains purse accounts for both standardbred and
thoroughbred racing, the amount to be paid to the wagering
facility shall be divided between each purse account pro
rata, based on the amount of Illinois handle on Illinois
standardbred and thoroughbred racing respectively at the
wagering facility during the previous calendar year.
Annually, the General Assembly shall appropriate
sufficient funds from the General Revenue Fund to the

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Department of Agriculture for payment into the
thoroughbred and standardbred horse racing purse accounts
at Illinois pari-mutuel tracks. The amount paid to each
purse account shall be the amount certified by the
Illinois Racing Board in January to be transferred from
each account to each eligible racing facility in
accordance with the provisions of this Section. Beginning
in the calendar year in which an organization licensee
that is eligible to receive payment under this paragraph
(13) begins to receive funds from gaming pursuant to an
organization gaming license issued under the Illinois
Gambling Act, the amount of the payment due to all
wagering facilities licensed under that organization
licensee under this paragraph (13) shall be the amount
certified by the Board in January of that year. An
organization licensee and its related wagering facilities
shall no longer be able to receive payments under this
paragraph (13) beginning in the year subsequent to the
first year in which the organization licensee begins to
receive funds from gaming pursuant to an organization
gaming license issued under the Illinois Gambling Act.
(h) The Board may approve and license the conduct of
inter-track wagering and simulcast wagering by inter-track
wagering licensees and inter-track wagering location licensees
subject to the following terms and conditions:
(1) Any person licensed to conduct a race meeting (i)

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at a track where 60 or more days of racing were conducted
during the immediately preceding calendar year or where
over the 5 immediately preceding calendar years an average
of 30 or more days of racing were conducted annually may be
issued an inter-track wagering license; (ii) at a track
located in a county that is bounded by the Mississippi
River, which has a population of less than 150,000
according to the 1990 decennial census, and an average of
at least 60 days of racing per year between 1985 and 1993
may be issued an inter-track wagering license; (iii) at a
track awarded standardbred racing dates; or (iv) at a
track located in Madison County that conducted at least
100 days of live racing during the immediately preceding
calendar year may be issued an inter-track wagering
license, unless a lesser schedule of live racing is the
result of (A) weather, unsafe track conditions, or other
acts of God; (B) an agreement between the organization
licensee and the associations representing the largest
number of owners, trainers, jockeys, or standardbred
drivers who race horses at that organization licensee's
racing meeting; or (C) a finding by the Board of
extraordinary circumstances and that it was in the best
interest of the public and the sport to conduct fewer than
100 days of live racing. Any such person having operating
control of the racing facility may receive inter-track
wagering location licenses. An eligible race track located

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in a county that has a population of more than 230,000 and
that is bounded by the Mississippi River may establish up
to 9 inter-track wagering locations, an eligible race
track located in Stickney Township in Cook County may
establish up to 16 inter-track wagering locations, and an
eligible race track located in Palatine Township in Cook
County may establish up to 18 inter-track wagering
locations. An eligible racetrack conducting standardbred
racing may have up to 16 inter-track wagering locations.
An application for said license shall be filed with the
Board prior to such dates as may be fixed by the Board.
With an application for an inter-track wagering location
license there shall be delivered to the Board a certified
check or bank draft payable to the order of the Board for
an amount equal to $500. The application shall be on forms
prescribed and furnished by the Board. The application
shall comply with all other rules, regulations and
conditions imposed by the Board in connection therewith.
(2) The Board shall examine the applications with
respect to their conformity with this Act and the rules
and regulations imposed by the Board. If found to be in
compliance with the Act and rules and regulations of the
Board, the Board may then issue a license to conduct
inter-track wagering and simulcast wagering to such
applicant. All such applications shall be acted upon by
the Board at a meeting to be held on such date as may be

SB0327 Engrossed - 22 - LRB103 05799 AMQ 50819 b
fixed by the Board.
(3) In granting licenses to conduct inter-track
wagering and simulcast wagering, the Board shall give due
consideration to the best interests of the public, of
horse racing, and of maximizing revenue to the State.
(4) Prior to the issuance of a license to conduct
inter-track wagering and simulcast wagering, the applicant
shall file with the Board a bond payable to the State of
Illinois in the sum of $50,000, executed by the applicant
and a surety company or companies authorized to do
business in this State, and conditioned upon (i) the
payment by the licensee of all taxes due under Section 27
or 27.1 and any other monies due and payable under this
Act, and (ii) distribution by the licensee, upon
presentation of the winning ticket or tickets, of all sums
payable to the patrons of pari-mutuel pools.
(5) Each license to conduct inter-track wagering and
simulcast wagering shall specify the person to whom it is
issued, the dates on which such wagering is permitted, and
the track or location where the wagering is to be
conducted.
(6) All wagering under such license is subject to this
Act and to the rules and regulations from time to time
prescribed by the Board, and every such license issued by
the Board shall contain a recital to that effect.
(7) An inter-track wagering licensee or inter-track

SB0327 Engrossed - 23 - LRB103 05799 AMQ 50819 b
wagering location licensee may accept wagers at the track
or location where it is licensed, or as otherwise provided
under this Act.
(8) Inter-track wagering or simulcast wagering shall
not be conducted at any track less than 4 miles from a
track at which a racing meeting is in progress.
(8.1) Inter-track wagering location licensees who
derive their licenses from a particular organization
licensee shall conduct inter-track wagering and simulcast
wagering only at locations that are within 160 miles of
that race track where the particular organization licensee
is licensed to conduct racing. However, inter-track
wagering and simulcast wagering shall not be conducted by
those licensees at any location within 5 miles of any race
track at which a horse race meeting has been licensed in
the current year, unless the person having operating
control of such race track has given its written consent
to such inter-track wagering location licensees, which
consent must be filed with the Board at or prior to the
time application is made. In the case of any inter-track
wagering location licensee initially licensed after
December 31, 2013, inter-track wagering and simulcast
wagering shall not be conducted by those inter-track
wagering location licensees that are located outside the
City of Chicago at any location within 8 miles of any race
track at which a horse race meeting has been licensed in

SB0327 Engrossed - 24 - LRB103 05799 AMQ 50819 b
the current year, unless the person having operating
control of such race track has given its written consent
to such inter-track wagering location licensees, which
consent must be filed with the Board at or prior to the
time application is made.
(8.2) Inter-track wagering or simulcast wagering shall
not be conducted by an inter-track wagering location
licensee at any location within 100 feet of an existing
church, an existing elementary or secondary public school,
or an existing elementary or secondary private school
registered with or recognized by the State Board of
Education. The distance of 100 feet shall be measured to
the nearest part of any building used for worship
services, education programs, or conducting inter-track
wagering by an inter-track wagering location licensee, and
not to property boundaries. However, inter-track wagering
or simulcast wagering may be conducted at a site within
100 feet of a church or school if such church or school has
been erected or established after the Board issues the
original inter-track wagering location license at the site
in question. Inter-track wagering location licensees may
conduct inter-track wagering and simulcast wagering only
in areas that are zoned for commercial or manufacturing
purposes or in areas for which a special use has been
approved by the local zoning authority. However, no
license to conduct inter-track wagering and simulcast

SB0327 Engrossed - 25 - LRB103 05799 AMQ 50819 b
wagering shall be granted by the Board with respect to any
inter-track wagering location within the jurisdiction of
any local zoning authority which has, by ordinance or by
resolution, prohibited the establishment of an inter-track
wagering location within its jurisdiction. However,
inter-track wagering and simulcast wagering may be
conducted at a site if such ordinance or resolution is
enacted after the Board licenses the original inter-track
wagering location licensee for the site in question.
(9) (Blank).
(10) An inter-track wagering licensee or an
inter-track wagering location licensee may retain, subject
to the payment of the privilege taxes and the purses, an
amount not to exceed 17% of all money wagered. Each
program of racing conducted by each inter-track wagering
licensee or inter-track wagering location licensee shall
be considered a separate racing day for the purpose of
determining the daily handle and computing the privilege
tax or pari-mutuel tax on such daily handle as provided in
Section 27.
(10.1) Except as provided in subsection (g) of Section
27 of this Act, inter-track wagering location licensees
shall pay 1% of the pari-mutuel handle at each location to
the municipality in which such location is situated and 1%
of the pari-mutuel handle at each location to the county
in which such location is situated. In the event that an

SB0327 Engrossed - 26 - LRB103 05799 AMQ 50819 b
inter-track wagering location licensee is situated in an
unincorporated area of a county, such licensee shall pay
2% of the pari-mutuel handle from such location to such
county. Inter-track wagering location licensees must pay
the handle percentage required under this paragraph to the
municipality and county no later than the 20th of the
month following the month such handle was generated.
(10.2) Notwithstanding any other provision of this
Act, with respect to inter-track wagering at a race track
located in a county that has a population of more than
230,000 and that is bounded by the Mississippi River ("the
first race track"), or at a facility operated by an
inter-track wagering licensee or inter-track wagering
location licensee that derives its license from the
organization licensee that operates the first race track,
on races conducted at the first race track or on races
conducted at another Illinois race track and
simultaneously televised to the first race track or to a
facility operated by an inter-track wagering licensee or
inter-track wagering location licensee that derives its
license from the organization licensee that operates the
first race track, those moneys shall be allocated as
follows:
(A) That portion of all moneys wagered on
standardbred racing that is required under this Act to
be paid to purses shall be paid to purses for

SB0327 Engrossed - 27 - LRB103 05799 AMQ 50819 b
standardbred races.
(B) That portion of all moneys wagered on
thoroughbred racing that is required under this Act to
be paid to purses shall be paid to purses for
thoroughbred races.
(11) (A) After payment of the privilege or pari-mutuel
tax, any other applicable taxes, and the costs and
expenses in connection with the gathering, transmission,
and dissemination of all data necessary to the conduct of
inter-track wagering, the remainder of the monies retained
under either Section 26 or Section 26.2 of this Act by the
inter-track wagering licensee on inter-track wagering
shall be allocated with 50% to be split between the 2
participating licensees and 50% to purses, except that an
inter-track wagering licensee that derives its license
from a track located in a county with a population in
excess of 230,000 and that borders the Mississippi River
shall not divide any remaining retention with the Illinois
organization licensee that provides the race or races, and
an inter-track wagering licensee that accepts wagers on
races conducted by an organization licensee that conducts
a race meet in a county with a population in excess of
230,000 and that borders the Mississippi River shall not
divide any remaining retention with that organization
licensee.
(B) From the sums permitted to be retained pursuant to

SB0327 Engrossed - 28 - LRB103 05799 AMQ 50819 b
this Act each inter-track wagering location licensee shall
pay (i) the privilege or pari-mutuel tax to the State;
(ii) 4.75% of the pari-mutuel handle on inter-track
wagering at such location on races as purses, except that
an inter-track wagering location licensee that derives its
license from a track located in a county with a population
in excess of 230,000 and that borders the Mississippi
River shall retain all purse moneys for its own purse
account consistent with distribution set forth in this
subsection (h), and inter-track wagering location
licensees that accept wagers on races conducted by an
organization licensee located in a county with a
population in excess of 230,000 and that borders the
Mississippi River shall distribute all purse moneys to
purses at the operating host track; (iii) until January 1,
2000, except as provided in subsection (g) of Section 27
of this Act, 1% of the pari-mutuel handle wagered on
inter-track wagering and simulcast wagering at each
inter-track wagering location licensee facility to the
Horse Racing Tax Allocation Fund, provided that, to the
extent the total amount collected and distributed to the
Horse Racing Tax Allocation Fund under this subsection (h)
during any calendar year exceeds the amount collected and
distributed to the Horse Racing Tax Allocation Fund during
calendar year 1994, that excess amount shall be
redistributed (I) to all inter-track wagering location

SB0327 Engrossed - 29 - LRB103 05799 AMQ 50819 b
licensees, based on each licensee's pro rata share of the
total handle from inter-track wagering and simulcast
wagering for all inter-track wagering location licensees
during the calendar year in which this provision is
applicable; then (II) the amounts redistributed to each
inter-track wagering location licensee as described in
subpart (I) shall be further redistributed as provided in
subparagraph (B) of paragraph (5) of subsection (g) of
this Section 26 provided first, that the shares of those
amounts, which are to be redistributed to the host track
or to purses at the host track under subparagraph (B) of
paragraph (5) of subsection (g) of this Section 26 shall
be redistributed based on each host track's pro rata share
of the total inter-track wagering and simulcast wagering
handle at all host tracks during the calendar year in
question, and second, that any amounts redistributed as
described in part (I) to an inter-track wagering location
licensee that accepts wagers on races conducted by an
organization licensee that conducts a race meet in a
county with a population in excess of 230,000 and that
borders the Mississippi River shall be further
redistributed, effective January 1, 2017, as provided in
paragraph (7) of subsection (g) of this Section 26, with
the portion of that further redistribution allocated to
purses at that organization licensee to be divided between
standardbred purses and thoroughbred purses based on the

SB0327 Engrossed - 30 - LRB103 05799 AMQ 50819 b
amounts otherwise allocated to purses at that organization
licensee during the calendar year in question; and (iv) 8%
of the pari-mutuel handle on inter-track wagering wagered
at such location to satisfy all costs and expenses of
conducting its wagering. The remainder of the monies
retained by the inter-track wagering location licensee
shall be allocated 40% to the location licensee and 60% to
the organization licensee which provides the Illinois
races to the location, except that an inter-track wagering
location licensee that derives its license from a track
located in a county with a population in excess of 230,000
and that borders the Mississippi River shall not divide
any remaining retention with the organization licensee
that provides the race or races and an inter-track
wagering location licensee that accepts wagers on races
conducted by an organization licensee that conducts a race
meet in a county with a population in excess of 230,000 and
that borders the Mississippi River shall not divide any
remaining retention with the organization licensee.
Notwithstanding the provisions of clauses (ii) and (iv) of
this paragraph, in the case of the additional inter-track
wagering location licenses authorized under paragraph (1)
of this subsection (h) by Public Act 87-110, those
licensees shall pay the following amounts as purses:
during the first 12 months the licensee is in operation,
5.25% of the pari-mutuel handle wagered at the location on

SB0327 Engrossed - 31 - LRB103 05799 AMQ 50819 b
races; during the second 12 months, 5.25%; during the
third 12 months, 5.75%; during the fourth 12 months,
6.25%; and during the fifth 12 months and thereafter,
6.75%. The following amounts shall be retained by the
licensee to satisfy all costs and expenses of conducting
its wagering: during the first 12 months the licensee is
in operation, 8.25% of the pari-mutuel handle wagered at
the location; during the second 12 months, 8.25%; during
the third 12 months, 7.75%; during the fourth 12 months,
7.25%; and during the fifth 12 months and thereafter,
6.75%. For additional inter-track wagering location
licensees authorized under Public Act 89-16, purses for
the first 12 months the licensee is in operation shall be
5.75% of the pari-mutuel wagered at the location, purses
for the second 12 months the licensee is in operation
shall be 6.25%, and purses thereafter shall be 6.75%. For
additional inter-track location licensees authorized under
Public Act 89-16, the licensee shall be allowed to retain
to satisfy all costs and expenses: 7.75% of the
pari-mutuel handle wagered at the location during its
first 12 months of operation, 7.25% during its second 12
months of operation, and 6.75% thereafter.
(C) There is hereby created the Horse Racing Tax
Allocation Fund which shall remain in existence until
December 31, 1999. Moneys remaining in the Fund after
December 31, 1999 shall be paid into the General Revenue

SB0327 Engrossed - 32 - LRB103 05799 AMQ 50819 b
Fund. Until January 1, 2000, all monies paid into the
Horse Racing Tax Allocation Fund pursuant to this
paragraph (11) by inter-track wagering location licensees
located in park districts of 500,000 population or less,
or in a municipality that is not included within any park
district but is included within a conservation district
and is the county seat of a county that (i) is contiguous
to the state of Indiana and (ii) has a 1990 population of
88,257 according to the United States Bureau of the
Census, and operating on May 1, 1994 shall be allocated by
appropriation as follows:
Two-sevenths to the Department of Agriculture.
Fifty percent of this two-sevenths shall be used to
promote the Illinois horse racing and breeding
industry, and shall be distributed by the Department
of Agriculture upon the advice of a 9-member committee
appointed by the Governor consisting of the following
members: the Director of Agriculture, who shall serve
as chairman; 2 representatives of organization
licensees conducting thoroughbred race meetings in
this State, recommended by those licensees; 2
representatives of organization licensees conducting
standardbred race meetings in this State, recommended
by those licensees; a representative of the Illinois
Thoroughbred Breeders and Owners Foundation,
recommended by that Foundation; a representative of

SB0327 Engrossed - 33 - LRB103 05799 AMQ 50819 b
the Illinois Standardbred Owners and Breeders
Association, recommended by that Association; a
representative of the Horsemen's Benevolent and
Protective Association or any successor organization
thereto established in Illinois comprised of the
largest number of owners and trainers, recommended by
that Association or that successor organization; and a
representative of the Illinois Harness Horsemen's
Association, recommended by that Association.
Committee members shall serve for terms of 2 years,
commencing January 1 of each even-numbered year. If a
representative of any of the above-named entities has
not been recommended by January 1 of any even-numbered
year, the Governor shall appoint a committee member to
fill that position. Committee members shall receive no
compensation for their services as members but shall
be reimbursed for all actual and necessary expenses
and disbursements incurred in the performance of their
official duties. The remaining 50% of this
two-sevenths shall be distributed to county fairs for
premiums and rehabilitation as set forth in the
Agricultural Fair Act;
Four-sevenths to park districts or municipalities
that do not have a park district of 500,000 population
or less for museum purposes (if an inter-track
wagering location licensee is located in such a park

SB0327 Engrossed - 34 - LRB103 05799 AMQ 50819 b
district) or to conservation districts for museum
purposes (if an inter-track wagering location licensee
is located in a municipality that is not included
within any park district but is included within a
conservation district and is the county seat of a
county that (i) is contiguous to the state of Indiana
and (ii) has a 1990 population of 88,257 according to
the United States Bureau of the Census, except that if
the conservation district does not maintain a museum,
the monies shall be allocated equally between the
county and the municipality in which the inter-track
wagering location licensee is located for general
purposes) or to a municipal recreation board for park
purposes (if an inter-track wagering location licensee
is located in a municipality that is not included
within any park district and park maintenance is the
function of the municipal recreation board and the
municipality has a 1990 population of 9,302 according
to the United States Bureau of the Census); provided
that the monies are distributed to each park district
or conservation district or municipality that does not
have a park district in an amount equal to
four-sevenths of the amount collected by each
inter-track wagering location licensee within the park
district or conservation district or municipality for
the Fund. Monies that were paid into the Horse Racing

SB0327 Engrossed - 35 - LRB103 05799 AMQ 50819 b
Tax Allocation Fund before August 9, 1991 (the
effective date of Public Act 87-110) by an inter-track
wagering location licensee located in a municipality
that is not included within any park district but is
included within a conservation district as provided in
this paragraph shall, as soon as practicable after
August 9, 1991 (the effective date of Public Act
87-110), be allocated and paid to that conservation
district as provided in this paragraph. Any park
district or municipality not maintaining a museum may
deposit the monies in the corporate fund of the park
district or municipality where the inter-track
wagering location is located, to be used for general
purposes; and
One-seventh to the Agricultural Premium Fund to be
used for distribution to agricultural home economics
extension councils in accordance with "An Act in
relation to additional support and finances for the
Agricultural and Home Economic Extension Councils in
the several counties of this State and making an
appropriation therefor", approved July 24, 1967.
Until January 1, 2000, all other monies paid into the
Horse Racing Tax Allocation Fund pursuant to this
paragraph (11) shall be allocated by appropriation as
follows:
Two-sevenths to the Department of Agriculture.

SB0327 Engrossed - 36 - LRB103 05799 AMQ 50819 b
Fifty percent of this two-sevenths shall be used to
promote the Illinois horse racing and breeding
industry, and shall be distributed by the Department
of Agriculture upon the advice of a 9-member committee
appointed by the Governor consisting of the following
members: the Director of Agriculture, who shall serve
as chairman; 2 representatives of organization
licensees conducting thoroughbred race meetings in
this State, recommended by those licensees; 2
representatives of organization licensees conducting
standardbred race meetings in this State, recommended
by those licensees; a representative of the Illinois
Thoroughbred Breeders and Owners Foundation,
recommended by that Foundation; a representative of
the Illinois Standardbred Owners and Breeders
Association, recommended by that Association; a
representative of the Horsemen's Benevolent and
Protective Association or any successor organization
thereto established in Illinois comprised of the
largest number of owners and trainers, recommended by
that Association or that successor organization; and a
representative of the Illinois Harness Horsemen's
Association, recommended by that Association.
Committee members shall serve for terms of 2 years,
commencing January 1 of each even-numbered year. If a
representative of any of the above-named entities has

SB0327 Engrossed - 37 - LRB103 05799 AMQ 50819 b
not been recommended by January 1 of any even-numbered
year, the Governor shall appoint a committee member to
fill that position. Committee members shall receive no
compensation for their services as members but shall
be reimbursed for all actual and necessary expenses
and disbursements incurred in the performance of their
official duties. The remaining 50% of this
two-sevenths shall be distributed to county fairs for
premiums and rehabilitation as set forth in the
Agricultural Fair Act;
Four-sevenths to museums and aquariums located in
park districts of over 500,000 population; provided
that the monies are distributed in accordance with the
previous year's distribution of the maintenance tax
for such museums and aquariums as provided in Section
2 of the Park District Aquarium and Museum Act; and
One-seventh to the Agricultural Premium Fund to be
used for distribution to agricultural home economics
extension councils in accordance with "An Act in
relation to additional support and finances for the
Agricultural and Home Economic Extension Councils in
the several counties of this State and making an
appropriation therefor", approved July 24, 1967. This
subparagraph (C) shall be inoperative and of no force
and effect on and after January 1, 2000.
(D) Except as provided in paragraph (11) of this

SB0327 Engrossed - 38 - LRB103 05799 AMQ 50819 b
subsection (h), with respect to purse allocation from
inter-track wagering, the monies so retained shall be
divided as follows:
(i) If the inter-track wagering licensee,
except an inter-track wagering licensee that
derives its license from an organization licensee
located in a county with a population in excess of
230,000 and bounded by the Mississippi River, is
not conducting its own race meeting during the
same dates, then the entire purse allocation shall
be to purses at the track where the races wagered
on are being conducted.
(ii) If the inter-track wagering licensee,
except an inter-track wagering licensee that
derives its license from an organization licensee
located in a county with a population in excess of
230,000 and bounded by the Mississippi River, is
also conducting its own race meeting during the
same dates, then the purse allocation shall be as
follows: 50% to purses at the track where the
races wagered on are being conducted; 50% to
purses at the track where the inter-track wagering
licensee is accepting such wagers.
(iii) If the inter-track wagering is being
conducted by an inter-track wagering location
licensee, except an inter-track wagering location

SB0327 Engrossed - 39 - LRB103 05799 AMQ 50819 b
licensee that derives its license from an
organization licensee located in a county with a
population in excess of 230,000 and bounded by the
Mississippi River, the entire purse allocation for
Illinois races shall be to purses at the track
where the race meeting being wagered on is being
held.
(12) The Board shall have all powers necessary and
proper to fully supervise and control the conduct of
inter-track wagering and simulcast wagering by inter-track
wagering licensees and inter-track wagering location
licensees, including, but not limited to, the following:
(A) The Board is vested with power to promulgate
reasonable rules and regulations for the purpose of
administering the conduct of this wagering and to
prescribe reasonable rules, regulations and conditions
under which such wagering shall be held and conducted.
Such rules and regulations are to provide for the
prevention of practices detrimental to the public
interest and for the best interests of said wagering
and to impose penalties for violations thereof.
(B) The Board, and any person or persons to whom it
delegates this power, is vested with the power to
enter the facilities of any licensee to determine
whether there has been compliance with the provisions
of this Act and the rules and regulations relating to

SB0327 Engrossed - 40 - LRB103 05799 AMQ 50819 b
the conduct of such wagering.
(C) The Board, and any person or persons to whom it
delegates this power, may eject or exclude from any
licensee's facilities, any person whose conduct or
reputation is such that his presence on such premises
may, in the opinion of the Board, call into the
question the honesty and integrity of, or interfere
with the orderly conduct of such wagering; provided,
however, that no person shall be excluded or ejected
from such premises solely on the grounds of race,
color, creed, national origin, ancestry, or sex.
(D) (Blank).
(E) The Board is vested with the power to appoint
delegates to execute any of the powers granted to it
under this Section for the purpose of administering
this wagering and any rules and regulations
promulgated in accordance with this Act.
(F) The Board shall name and appoint a State
director of this wagering who shall be a
representative of the Board and whose duty it shall be
to supervise the conduct of inter-track wagering as
may be provided for by the rules and regulations of the
Board; such rules and regulation shall specify the
method of appointment and the Director's powers,
authority and duties. The Board may appoint the
Director of Mutuels to also serve as the State

SB0327 Engrossed - 41 - LRB103 05799 AMQ 50819 b
director of this wagering.
(G) The Board is vested with the power to impose
civil penalties of up to $5,000 against individuals
and up to $10,000 against licensees for each violation
of any provision of this Act relating to the conduct of
this wagering, any rules adopted by the Board, any
order of the Board or any other action which in the
Board's discretion, is a detriment or impediment to
such wagering.
(13) The Department of Agriculture may enter into
agreements with licensees authorizing such licensees to
conduct inter-track wagering on races to be held at the
licensed race meetings conducted by the Department of
Agriculture. Such agreement shall specify the races of the
Department of Agriculture's licensed race meeting upon
which the licensees will conduct wagering. In the event
that a licensee conducts inter-track pari-mutuel wagering
on races from the Illinois State Fair or DuQuoin State
Fair which are in addition to the licensee's previously
approved racing program, those races shall be considered a
separate racing day for the purpose of determining the
daily handle and computing the privilege or pari-mutuel
tax on that daily handle as provided in Sections 27 and
27.1. Such agreements shall be approved by the Board
before such wagering may be conducted. In determining
whether to grant approval, the Board shall give due

SB0327 Engrossed - 42 - LRB103 05799 AMQ 50819 b
consideration to the best interests of the public and of
horse racing. The provisions of paragraphs (1), (8),
(8.1), and (8.2) of subsection (h) of this Section which
are not specified in this paragraph (13) shall not apply
to licensed race meetings conducted by the Department of
Agriculture at the Illinois State Fair in Sangamon County
or the DuQuoin State Fair in Perry County, or to any
wagering conducted on those race meetings.
(14) An inter-track wagering location license
authorized by the Board in 2016 that is owned and operated
by a race track in Rock Island County shall be transferred
to a commonly owned race track in Cook County on August 12,
2016 (the effective date of Public Act 99-757). The
licensee shall retain its status in relation to purse
distribution under paragraph (11) of this subsection (h)
following the transfer to the new entity. The pari-mutuel
tax credit under Section 32.1 shall not be applied toward
any pari-mutuel tax obligation of the inter-track wagering
location licensee of the license that is transferred under
this paragraph (14).
(i) Notwithstanding the other provisions of this Act, the
conduct of wagering at wagering facilities is authorized on
all days, except as limited by subsection (b) of Section 19 of
this Act.
(Source: P.A. 101-31, eff. 6-28-19; 101-52, eff. 7-12-19;
101-81, eff. 7-12-19; 101-109, eff. 7-19-19; 102-558, eff.

SB0327 Engrossed - 43 - LRB103 05799 AMQ 50819 b
8-20-21; 102-813, eff. 5-13-22.)
(230 ILCS 5/27) (from Ch. 8, par. 37-27)
Sec. 27. (a) In addition to the organization license fee
provided by this Act, until January 1, 2000, a graduated
privilege tax is hereby imposed for conducting the pari-mutuel
system of wagering permitted under this Act. Until January 1,
2000, except as provided in subsection (g) of Section 27 of
this Act, all of the breakage of each racing day held by any
licensee in the State shall be paid to the State. Until January
1, 2000, such daily graduated privilege tax shall be paid by
the licensee from the amount permitted to be retained under
this Act. Until January 1, 2000, each day's graduated
privilege tax, breakage, and Horse Racing Tax Allocation funds
shall be remitted to the Department of Revenue within 48 hours
after the close of the racing day upon which it is assessed or
within such other time as the Board prescribes. The privilege
tax hereby imposed, until January 1, 2000, shall be a flat tax
at the rate of 2% of the daily pari-mutuel handle except as
provided in Section 27.1.
In addition, every organization licensee, except as
provided in Section 27.1 of this Act, which conducts multiple
wagering shall pay, until January 1, 2000, as a privilege tax
on multiple wagers an amount equal to 1.25% of all moneys
wagered each day on such multiple wagers, plus an additional
amount equal to 3.5% of the amount wagered each day on any

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other multiple wager which involves a single betting interest
on 3 or more horses. The licensee shall remit the amount of
such taxes to the Department of Revenue within 48 hours after
the close of the racing day on which it is assessed or within
such other time as the Board prescribes.
This subsection (a) shall be inoperative and of no force
and effect on and after January 1, 2000.
(a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
at the rate of 1.5% of the daily pari-mutuel handle is imposed
at all pari-mutuel wagering facilities and on advance deposit
wagering from a location other than a wagering facility,
except as otherwise provided for in this subsection (a-5). In
addition to the pari-mutuel tax imposed on advance deposit
wagering pursuant to this subsection (a-5), beginning on
August 24, 2012 (the effective date of Public Act 97-1060), an
additional pari-mutuel tax at the rate of 0.25% shall be
imposed on advance deposit wagering. Until August 25, 2012,
the additional 0.25% pari-mutuel tax imposed on advance
deposit wagering by Public Act 96-972 shall be deposited into
the Quarter Horse Purse Fund, which shall be created as a
non-appropriated trust fund administered by the Board for
distribution grants to thoroughbred organization licensees for
payment of purses for quarter horse races conducted by the
organization licensee. Beginning on August 26, 2012, the
additional 0.25% pari-mutuel tax imposed on advance deposit
wagering shall be deposited into the Standardbred Purse Fund,

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which shall be created as a non-appropriated trust fund
administered by the Board, for grants to the standardbred
organization licensees for payment of purses for standardbred
horse races conducted by the organization licensee.
Thoroughbred organization licensees may petition the Board to
conduct quarter horse racing and receive purse grants from the
Quarter Horse Purse Fund. The Board shall have complete
discretion in distributing the Quarter Horse Purse Fund to the
petitioning organization licensees. Beginning on July 26, 2010
(the effective date of Public Act 96-1287), a pari-mutuel tax
at the rate of 0.75% of the daily pari-mutuel handle is imposed
at a pari-mutuel facility whose license is derived from a
track located in a county that borders the Mississippi River
and conducted live racing in the previous year. The
pari-mutuel tax imposed by this subsection (a-5) shall be
remitted to the Board Department of Revenue within 48 hours
after the close of the racing day upon which it is assessed or
within such other time as the Board prescribes.
(a-10) Beginning on the date when an organization licensee
begins conducting gaming pursuant to an organization gaming
license, the following pari-mutuel tax is imposed upon an
organization licensee on Illinois races at the licensee's
racetrack:
1.5% of the pari-mutuel handle at or below the average
daily pari-mutuel handle for 2011.
2% of the pari-mutuel handle above the average daily

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pari-mutuel handle for 2011 up to 125% of the average
daily pari-mutuel handle for 2011.
2.5% of the pari-mutuel handle 125% or more above the
average daily pari-mutuel handle for 2011 up to 150% of
the average daily pari-mutuel handle for 2011.
3% of the pari-mutuel handle 150% or more above the
average daily pari-mutuel handle for 2011 up to 175% of
the average daily pari-mutuel handle for 2011.
3.5% of the pari-mutuel handle 175% or more above the
average daily pari-mutuel handle for 2011.
The pari-mutuel tax imposed by this subsection (a-10)
shall be remitted to the Board within 48 hours after the close
of the racing day upon which it is assessed or within such
other time as the Board prescribes.
(b) On or before December 31, 1999, in the event that any
organization licensee conducts 2 separate programs of races on
any day, each such program shall be considered a separate
racing day for purposes of determining the daily handle and
computing the privilege tax on such daily handle as provided
in subsection (a) of this Section.
(c) Licensees shall at all times keep accurate books and
records of all monies wagered on each day of a race meeting and
of the taxes paid to the Board Department of Revenue under the
provisions of this Section. The Board or its duly authorized
representative or representatives shall at all reasonable
times have access to such records for the purpose of examining

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and checking the same and ascertaining whether the proper
amount of taxes is being paid as provided. The Board shall
require verified reports and a statement of the total of all
monies wagered daily at each wagering facility upon which the
taxes are assessed and may prescribe forms upon which such
reports and statement shall be made.
(d) Before a license is issued or re-issued, the licensee
shall post a bond in the sum of $500,000 to the State of
Illinois. The bond shall be used to guarantee that the
licensee faithfully makes the payments, keeps the books and
records, makes reports, and conducts games of chance in
conformity with this Act and the rules adopted by the Board.
The bond shall not be canceled by a surety on less than 30
days' notice in writing to the Board. If a bond is canceled and
the licensee fails to file a new bond with the Board in the
required amount on or before the effective date of
cancellation, the licensee's license shall be revoked. The
total and aggregate liability of the surety on the bond is
limited to the amount specified in the bond.
(e) No other license fee, privilege tax, excise tax, or
racing fee, except as provided in this Act, shall be assessed
or collected from any such licensee by the State.
(f) No other license fee, privilege tax, excise tax or
racing fee shall be assessed or collected from any such
licensee by units of local government except as provided in
paragraph 10.1 of subsection (h) and subsection (f) of Section

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26 of this Act. However, any municipality that has a Board
licensed horse race meeting at a race track wholly within its
corporate boundaries or a township that has a Board licensed
horse race meeting at a race track wholly within the
unincorporated area of the township may charge a local
amusement tax not to exceed 10¢ per admission to such horse
race meeting by the enactment of an ordinance. However, any
municipality or county that has a Board licensed inter-track
wagering location facility wholly within its corporate
boundaries may each impose an admission fee not to exceed
$1.00 per admission to such inter-track wagering location
facility, so that a total of not more than $2.00 per admission
may be imposed. Except as provided in subparagraph (g) of
Section 27 of this Act, the inter-track wagering location
licensee shall collect any and all such fees. Inter-track
wagering location licensees must pay the admission fees
required under this subsection (f) to the municipality and
county no later than the 20th of the month following the month
such admission fees were imposed.
(g) Notwithstanding any provision in this Act to the
contrary, if in any calendar year the total taxes and fees from
wagering on live racing and from inter-track wagering required
to be collected from licensees and distributed under this Act
to all State and local governmental authorities exceeds the
amount of such taxes and fees distributed to each State and
local governmental authority to which each State and local

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governmental authority was entitled under this Act for
calendar year 1994, then the first $11 million of that excess
amount shall be allocated at the earliest possible date for
distribution as purse money for the succeeding calendar year.
Upon reaching the 1994 level, and until the excess amount of
taxes and fees exceeds $11 million, the Board shall direct all
licensees to cease paying the subject taxes and fees and the
Board shall direct all licensees to allocate any such excess
amount for purses as follows:
(i) the excess amount shall be initially divided
between thoroughbred and standardbred purses based on the
thoroughbred's and standardbred's respective percentages
of total Illinois live wagering in calendar year 1994;
(ii) each thoroughbred and standardbred organization
licensee issued an organization licensee in that
succeeding allocation year shall be allocated an amount
equal to the product of its percentage of total Illinois
live thoroughbred or standardbred wagering in calendar
year 1994 (the total to be determined based on the sum of
1994 on-track wagering for all organization licensees
issued organization licenses in both the allocation year
and the preceding year) multiplied by the total amount
allocated for standardbred or thoroughbred purses,
provided that the first $1,500,000 of the amount allocated
to standardbred purses under item (i) shall be allocated
to the Department of Agriculture to be expended with the

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assistance and advice of the Illinois Standardbred
Breeders Funds Advisory Board for the purposes listed in
subsection (g) of Section 31 of this Act, before the
amount allocated to standardbred purses under item (i) is
allocated to standardbred organization licensees in the
succeeding allocation year.
To the extent the excess amount of taxes and fees to be
collected and distributed to State and local governmental
authorities exceeds $11 million, that excess amount shall be
collected and distributed to State and local authorities as
provided for under this Act.
(Source: P.A. 101-31, eff. 6-28-19; 101-52, eff. 7-12-19;
102-558, eff. 8-20-21.)
(230 ILCS 5/28.1)
Sec. 28.1. Payments.
(a) Beginning on January 1, 2000, moneys collected by the
Department of Revenue and the Racing Board pursuant to Section
26 or Section 27 of this Act shall be deposited into the Horse
Racing Fund, which is hereby created as a special fund in the
State Treasury.
(b) Appropriations, as approved by the General Assembly,
may be made from the Horse Racing Fund to the Board to pay the
salaries of the Board members, secretary, stewards, directors
of mutuels, veterinarians, representatives, accountants,
clerks, stenographers, inspectors and other employees of the

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Board, and all expenses of the Board incident to the
administration of this Act, including, but not limited to, all
expenses and salaries incident to the taking of saliva and
urine samples in accordance with the rules and regulations of
the Board.
(c) (Blank).
(d) Beginning January 1, 2000, payments to all programs in
existence on the effective date of this amendatory Act of 1999
that are identified in Sections 26(c), 26(f), 26(h)(11)(C),
and 28, subsections (a), (b), (c), (d), (e), (f), (g), and (h)
of Section 30, and subsections (a), (b), (c), (d), (e), (f),
(g), and (h) of Section 31 shall be made from the General
Revenue Fund at the funding levels determined by amounts paid
under this Act in calendar year 1998. Beginning on the
effective date of this amendatory Act of the 93rd General
Assembly, payments to the Peoria Park District shall be made
from the General Revenue Fund at the funding level determined
by amounts paid to that park district for museum purposes
under this Act in calendar year 1994.
If an inter-track wagering location licensee's facility
changes its location, then the payments associated with that
facility under this subsection (d) for museum purposes shall
be paid to the park district in the area where the facility
relocates, and the payments shall be used for museum purposes.
If the facility does not relocate to a park district, then the
payments shall be paid to the taxing district that is

SB0327 Engrossed - 52 - LRB103 05799 AMQ 50819 b
responsible for park or museum expenditures.
(e) Beginning July 1, 2006, the payment authorized under
subsection (d) to museums and aquariums located in park
districts of over 500,000 population shall be paid to museums,
aquariums, and zoos in amounts determined by Museums in the
Park, an association of museums, aquariums, and zoos located
on Chicago Park District property.
(f) Beginning July 1, 2007, the Children's Discovery
Museum in Normal, Illinois shall receive payments from the
General Revenue Fund at the funding level determined by the
amounts paid to the Miller Park Zoo in Bloomington, Illinois
under this Section in calendar year 2006.
(g) On August 31, 2021, after subtracting all lapse period
spending from the June 30 balance of the prior fiscal year, the
Comptroller shall transfer to the Horse Racing Purse Equity
Fund 50% of the balance within the Horse Racing Fund.
(Source: P.A. 102-16, eff. 6-17-21.)
(230 ILCS 5/31.1) (from Ch. 8, par. 37-31.1)
Sec. 31.1. (a) Unless subsection (a-5) applies,
organization licensees collectively shall contribute annually
to charity the sum of $750,000 to non-profit organizations
that provide medical and family, counseling, and similar
services to persons who reside or work on the backstretch of
Illinois racetracks. Unless subsection (a-5) applies, these
contributions shall be collected as follows: (i) no later than

SB0327 Engrossed - 53 - LRB103 05799 AMQ 50819 b
July 1st of each year the Board shall assess each organization
licensee, except those tracks located in Madison County, which
tracks shall pay $30,000 annually apiece into the Board
charity fund, that amount which equals $690,000 multiplied by
the amount of pari-mutuel wagering handled by the organization
licensee in the year preceding assessment and divided by the
total pari-mutuel wagering handled by all Illinois
organization licensees, except those tracks located in Madison
and Rock Island counties, in the year preceding assessment;
(ii) notice of the assessed contribution shall be mailed to
each organization licensee; (iii) within thirty days of its
receipt of such notice, each organization licensee shall remit
the assessed contribution to the Board. Unless subsection
(a-5) applies, if an organization licensee commences operation
of gaming at its facility pursuant to an organization gaming
license under the Illinois Gambling Act, then the organization
licensee shall contribute an additional $83,000 per year
beginning in the year subsequent to the first year in which the
organization licensee begins receiving funds from gaming
pursuant to an organization gaming license. If an organization
licensee wilfully fails to so remit the contribution, the
Board may revoke its license to conduct horse racing.
(a-5) If (1) an organization licensee that did not operate
live racing in 2017 is awarded racing dates in 2018 or in any
subsequent year and (2) all organization licensees are
operating gaming pursuant to an organization gaming license

SB0327 Engrossed - 54 - LRB103 05799 AMQ 50819 b
under the Illinois Gambling Act, then subsection (a) does not
apply and organization licensees collectively shall contribute
annually to charity the sum of $1,000,000 to non-profit
organizations that provide medical and family, counseling, and
similar services to persons who reside or work on the
backstretch of Illinois racetracks. These contributions shall
be collected as follows: (i) no later than July 1st of each
year the Board shall assess each organization licensee an
amount based on the proportionate amount of live racing days
in the calendar year for which the Board has awarded to the
organization licensee out of the total aggregate number of
live racing days awarded; (ii) notice of the assessed
contribution shall be mailed to each organization licensee;
(iii) within 30 days after its receipt of such notice, each
organization licensee shall remit the assessed contribution to
the Board. If an organization licensee willfully fails to so
remit the contribution, the Board may revoke its license to
conduct horse racing.
(b) No later than October 1st of each year, any qualified
charitable organization seeking an allotment of contributed
funds shall submit to the Board an application for those
funds, using the Board's approved form. The No later than
December 31st of each year, the Board shall distribute all
such amounts collected that year to such charitable
organization applicants on a schedule determined by the Board,
based on the charitable organization's estimated expenditures

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related to this grant. Any funds not expended by the grantee in
a grant year shall be distributed to the charitable
organization or charitable organizations selected in the next
grant year after the funds are recovered in addition to the
amounts specified in subsections (a) and (a-5).
(Source: P.A. 101-31, eff. 6-28-19.)
(230 ILCS 5/15.1 rep.)
(230 ILCS 5/34.3 rep.)
Section 10. The Illinois Horse Racing Act of 1975 is
amended by repealing Sections 15.1 and 34.3.
Section 99. Effective date. This Act takes effect upon
becoming law.