Public Act 098-0624

HB0011 Enrolled LRB098 00182 CEL 30183 b

AN ACT concerning regulation.

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, and 28.1 and by adding Sections

26.8 and 26.9 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

and televised in Illinois 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 of the race wagered upon occurs.

(b) 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) Until January 1, 2000, 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 paid to the Illinois Veterans'

Rehabilitation Fund of the State treasury, except as provided

in subsection (g) of Section 27 of this Act.

(c-5) Beginning January 1, 2000, 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.

(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

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 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. 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 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 organizational 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

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, until

February 1, 2017 January 31, 2014, 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 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 the effective date of this

amendatory Act of the 98th General Assembly taken in reliance

on the changes made to this subsection (g) by this amendatory

Act of the 98th General Assembly 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, 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 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

intertrack 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 intertrack 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

intertrack wagering licensee other than the host track 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

intertrack 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 intertrack 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 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 take-out 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

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) 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 as follows:

(A) Between January 1 and the third Friday in

February, inclusive, if no live thoroughbred racing is

occurring in Illinois during this period, when the

interstate simulcast is a standardbred race, the purse

share to its standardbred purse account;

(B) Between January 1 and the third Friday in

February, inclusive, if no live thoroughbred racing is

occurring in Illinois during this period, and the

interstate simulcast is a thoroughbred race, the purse

share to its interstate simulcast purse pool to be

distributed under paragraph (10) of this subsection

(g);

(C) Between January 1 and the third Friday in

February, inclusive, if live thoroughbred racing is

occurring in Illinois, between 6:30 a.m. and 6:30 p.m.

the purse share from wagers made during this time

period to its thoroughbred purse account and between

6:30 p.m. and 6:30 a.m. the purse share from wagers

made during this time period to its standardbred purse

accounts;

(D) Between the third Saturday in February and

December 31, when the interstate simulcast occurs

between the hours of 6:30 a.m. and 6:30 p.m., the purse

share to its thoroughbred purse account;

(E) Between the third Saturday in February and

December 31, when the interstate simulcast occurs

between the hours of 6:30 p.m. and 6:30 a.m., the purse

share to its standardbred purse account.

(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, 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) 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.

(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, 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) 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

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.

(7.3) If no live standardbred racing is conducted at a

racetrack located in Madison County in calendar year 2000

or 2001, an organization licensee who is licensed to

conduct horse racing at that racetrack shall, before

January 1, 2002, pay all moneys derived from simulcast

wagering and inter-track wagering in calendar years 2000

and 2001 and paid into the licensee's standardbred purse

account as follows:

(A) Eighty percent to that licensee's thoroughbred

purse account to be used for thoroughbred purses; and

(B) Twenty percent to the Illinois Colt Stakes

Purse Distribution Fund.

Failure to make the payment to the Illinois Colt Stakes

Purse Distribution Fund before January 1, 2002 shall result

in the immediate revocation of the licensee's organization

license, inter-track wagering license, and inter-track

wagering location license.

Moneys paid into the Illinois Colt Stakes Purse

Distribution Fund pursuant to this paragraph (7.3) shall be

paid to purses for standardbred races for Illinois

conceived and foaled horses conducted at any county

fairgrounds. Moneys paid into the Illinois Colt Stakes

Purse Distribution Fund pursuant to this paragraph (7.3)

shall be used as determined by the Department of

Agriculture, with the advice and assistance of the Illinois

Standardbred Breeders Fund Advisory Board, 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 any other moneys paid into that Fund.

(7.4) If live standardbred racing is conducted at a

racetrack located in Madison County at any time in calendar

year 2001 before the payment required under paragraph (7.3)

has been made, the organization licensee who is licensed to

conduct racing at that racetrack shall pay all moneys

derived by that racetrack from simulcast wagering and

inter-track wagering during calendar years 2000 and 2001

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 2000 or

2001 to the standardbred purse account at that racetrack to

be used for standardbred purses.

(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

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 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 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.

(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)

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; or (iii) 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 also receive up to 6

inter-track wagering location licenses. In no event shall

more than 6 inter-track wagering locations be established

for each eligible race track, except that an eligible race

track located in a county that has a population of more

than 230,000 and that is bounded by the Mississippi River

may establish up to 7 inter-track wagering locations and an

eligible race track located in Cook County may establish up

to 8 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 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

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 5 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 which are either within 90 miles

of that race track where the particular organization

licensee is licensed to conduct racing, or within 135 miles

of that race track where the particular organization

licensee is licensed to conduct racing in the case of race

tracks in counties of less than 400,000 that were operating

on or before June 1, 1986. 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

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 500 feet of an existing

church or existing school, nor within 500 feet of the

residences of more than 50 registered voters without

receiving written permission from a majority of the

registered voters at such residences. Such written

permission statements shall be filed with the Board. The

distance of 500 feet shall be measured to the nearest part

of any building used for worship services, education

programs, residential purposes, 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 500

feet of a church , school or residences of 50 or more

registered voters if such church , school or residences

have been erected or established, or such voters have been

registered, 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 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

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.

(10.2) Notwithstanding any other provision of this

Act, with respect to intertrack 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

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

intertrack 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 intertrack 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

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 intertrack wagering at

such location on races as purses, except that an intertrack

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

intertrack 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

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 as

provided in subparagraphs (D) and (E) of 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 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 intertrack 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 intertrack 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 this amendatory Act of 1991,

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

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 intertrack wagering location licensees

authorized under this amendatory Act of 1995, 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 intertrack location licensees authorized under

this amendatory Act of 1995, 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

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

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 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 Tax Allocation Fund before

the effective date of this amendatory Act of 1991 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 the effective date of this

amendatory Act of 1991, 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.

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

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

subsection (h), with respect to purse allocation from

intertrack wagering, the monies so retained shall be

divided as follows:

(i) If the inter-track wagering licensee,

except an intertrack 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 intertrack 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 intertrack wagering location

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 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.

(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 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.

(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. 97-1060, eff. 8-24-12; 98-18, eff. 6-7-13.)

(230 ILCS 5/26.8 new)

Sec. 26.8. Beginning on February 1, 2014 and until January

31, 2017, each wagering licensee may impose a surcharge of up

to 0.5% on winning wagers and winnings from wagers. The

surcharge shall be deducted from winnings prior to payout. All

amounts collected from the imposition of this surcharge shall

be evenly distributed to the organization licensee and the

purse account of the organization licensee with which the

licensee is affiliated. The amounts distributed under this

Section shall be in addition to the amounts paid pursuant to

paragraph (10) of subsection (h) of Section 26, Section 26.3,

Section 26.4, Section 26.5, and Section 26.7.

(230 ILCS 5/26.9 new)

Sec. 26.9. Beginning on February 1, 2014 until January 31,

2017, in addition to the surcharge imposed in Sections 26.3,

26.4, 26.5, 26.7, and 26.8 of this Act, each licensee shall

impose a surcharge of 0.2% on winning wagers and winnings from

wagers. The surcharge shall be deducted from winnings prior to

payout. All amounts collected from the surcharges imposed under

this Section shall be remitted to the Board. From amounts

collected under this Section, the Board shall deposit an amount

not to exceed $100,000 annually into the Quarter Horse Purse

Fund and all remaining amounts into the Horse Racing Fund.

(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

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) this amendatory Act

of the 97th General Assembly until February 1, 2017 January 31,

2014, 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

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, 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 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.

(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 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

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) Any licensee failing or refusing to pay the amount of

any tax due under this Section shall be guilty of a business

offense and upon conviction shall be fined not more than $5,000

in addition to the amount found due as tax under this Section.

Each day's violation shall constitute a separate offense. All

fines paid into Court by a licensee hereunder shall be

transmitted and paid over by the Clerk of the Court to the

Board.

(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

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 and within 48 hours remit the

fees to the Board, which shall, pursuant to rule, cause the

fees to be distributed to the county or municipality.

(g) Notwithstanding any provision in this Act to the

contrary, if in any calendar year the total taxes and fees

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 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

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. 97-1060, eff. 8-24-12; 98-18, eff. 6-7-13.)

(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

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) Beginning on January 1, 2000, the Board shall

transfer the remainder of the funds generated pursuant to

Sections 26 and 27 from the Horse Racing Fund into the General

Revenue Fund.

(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

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.

(Source: P.A. 95-222, eff. 8-16-07; 96-562, eff. 8-18-09.)