Bill Text: IL SB3172 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2024-06-26 - Pursuant to Senate Rule 3-9(b) / Referred to Assignments [SB3172 Detail]

Download: Illinois-2023-SB3172-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3172 Introduced 2/6/2024, by Sen. Donald P. DeWitte SYNOPSIS AS INTRODUCED:
230 ILCS 40/27
230 ILCS 40/60
Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes.
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A BILL FOR
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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 Video Gaming Act is amended by changing
Sections 27 and 60 and by adding Section 63 as follows:
(230 ILCS 40/27)
Sec. 27. Prohibition of video gaming by political
subdivision.
(a) A municipality, other than a municipality with a
population that is greater than or equal to 1,000,000, may
pass an ordinance prohibiting video gaming within the
corporate limits of the municipality. A county board may, for
the unincorporated area of the county, pass an ordinance
prohibiting video gaming within the unincorporated area of the
county.
(b) On and after July 1, 2022, a qualified fraternal
organization that derives its charter from a national
fraternal organization and a qualified veterans organization
that derives its charter from a national veterans organization
shall be eligible to apply to the Board for a license allowing
video gaming as a licensed fraternal establishment or a
licensed veterans establishment if the proposed fraternal
establishment or veterans establishment is located in:

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(1) a municipality having a population of not more
than 1,000,000 that has enacted an ordinance prohibiting
video gaming within the corporate limits; or
(2) a county having a population of not more than
1,000,000 that has enacted an ordinance prohibiting video
gaming within the unincorporated area of the county.
If the license is granted by the Board, then the licensed
fraternal establishment or licensed veterans establishment may
operate video gaming terminals pursuant to this Act.
(c) A municipality with a population that is greater than
or equal to 1,000,000 may not pass an ordinance prohibiting
video gaming within the corporate limits of the municipality.
In such a municipality, video gaming may be prohibited only by
referendum under Section 70. A home rule municipality with a
population that is greater than or equal to 1,000,000 may not
regulate video gaming within the corporate limits of the
municipality in a manner that is inconsistent with this
subsection (c). This subsection (c) is a limitation under
subsection (i) of Section 6 of Article VII of the Illinois
Constitution on the concurrent exercise by home rule units of
powers and functions exercised by the State.
(Source: P.A. 102-689, eff. 12-17-21.)
(230 ILCS 40/60)
Sec. 60. Imposition and distribution of tax.
(a) Except in a municipality with a population that is

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greater than or equal to 1,000,000, a A tax of 30% is imposed
on net terminal income and shall be collected by the Board.
Of the tax collected under this subsection (a),
five-sixths shall be deposited into the Capital Projects Fund
and one-sixth shall be deposited into the Local Government
Video Gaming Distributive Fund.
(b) Except in a municipality with a population that is
greater than or equal to 1,000,000, Beginning on July 1, 2019,
an additional tax of 3% is imposed on net terminal income and
shall be collected by the Board.
Except in a municipality with a population that is greater
than or equal to 1,000,000, Beginning on July 1, 2020, an
additional tax of 1% is imposed on net terminal income and
shall be collected by the Board.
The tax collected under this subsection (b) shall be
deposited into the Capital Projects Fund.
(b-5) In a municipality with a population that is greater
than or equal to 1,000,000, a tax of 34% is imposed on net
terminal income and shall be collected by the Board. Of the tax
collected under this subsection, 83% shall be distributed to
the Regional Transportation Authority and 17% shall be
distributed to the municipality in which the terminal is
located.
(c) Revenues generated from the play of video gaming
terminals shall be deposited by the terminal operator, who is
responsible for tax payments, in a specially created, separate

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