Ribert Rita and Jonathan Carroll, representatives from the state of Illinois, introduced a bill to legalize online gaming.
House Bill 3142, also known as the Internet Gaming Act, will allow traditional Illinois casinos to apply for Internet gaming licenses.
If licensed, casinos will be able to operate up to three skins, or contract up to three internet management service providers and then offer online casino games to people of the appropriate age to play.
The Internet gaming license fee would be $ 500,000 with a $ 250,000 renewal fee. Management service provider licenses, meanwhile, would cost $ 100,000, but only if that company already had a similar certification covering another vertical. The term of the license would be four years and the renewal cost would be $ 50,000.
The law is expected to create two other types of licenses. The first is a provider license for content and services that provide business to customer-facing operations and would cost $ 75,000.
For the Administration Service Provider category, the fee may be lowered if the provider is already licensed in Illinois to $ 50,000. It would last four years and the renewal fee would be $ 50,000.
The last license is the occupation license, which would cover people capable of performing critical changes in the hardware or software, or having access to the customer’s account data.
This license would cost $ 1,000 for those who are not existing licensees. The cost of the renewal would be $ 500.
Bill 3142 would also allow linking or mixing accounts in other jurisdictions, which means that clients can play with other clients from different states.
The bill would also allow the Illinois Gaming Board to partner with other territories to operate. multi-jurisdiction games, like online poker.
Regarding the in-person registration requirement, which was first included in the state’s sports betting regulations, the legislation carries over. However, unlike sports betting, this will be in effect for six months, instead of 18.
Gross income tax
As part of the legislation, operators would have to pay a 12% gross income tax, which will go directly to the State Gaming Fund. Meanwhile, the Department of Human Services will receive $ 10 million of these tax revenues to launch problem gambling treatment programs.
Any remaining monies will be transferred to the Illinois Pension Stabilization and Education Assistance Funds.
The bill is currently in the House Rules Committee. If approved, the Illinois Gaming Board would have a 90 day period to develop emergency rules for rapid implementation.
The regulator can also grant temporary licenses to operators within 30 days of submitting their applications.
The launch could come less than two years after Illinois Governor JB Pritzker signed into law a full gaming expansion bill, which led to the launch of sports betting in the state.
As part of the legislation, it would allow the launch of up to six future ground facilities in the state, including a major facility in the Chicago area, as well as slot machines at O’Hare and Midway racetracks and airports.
Source: “Illinois Legislators Introduce Bill to Legalize Online Casinos,” iGB North America, February 22, 2021