104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1224 Introduced 1/24/2025, by Sen. Lakesia Collins SYNOPSIS AS INTRODUCED: New Act5 ILCS 100/5-45.65 new230 ILCS 45/25-10720 ILCS 5/28-1 from Ch. 38, par. 28-1720 ILCS 5/28-3 from Ch. 38, par. 28-3 Creates the Fantasy Sports Consumer Protection Act. Provides that the Illinois Gaming Board may regulate the conduct of fantasy contest operators under the Act. Allows the Board to levy and collect fees, surcharges, civil penalties, and, on adjusted gross fantasy contest receipts imposed under the Act, monthly taxes, and identifies other powers and duties of the Board. Includes restrictions, including requiring licensing, of fantasy contest operators. Includes license requirements and requirements for allowable fantasy contests. Contains provisions relating to denial of a license, independent audits, reporting and investigation of prohibited conduct, taxes, compulsive gambling and voluntary self-exclusion, and supplier diversity goals for fantasy contest operators. Amends the Sports Wagering Act. Excludes fantasy contests from the definition of "sports wagering". Amends the Criminal Code of 2012. Provides that participants in fantasy contest wagering shall not be convicted of the offense of gambling when conducted in accordance with the Fantasy Sports Consumer Protection Act. Excludes any real estate, vehicle, boat, or any other property whatsoever used for the purposes of gambling under the Fantasy Sports Consumer Protection Act from the definition of "gambling place" under the offense of keeping a gambling place. Amends the Illinois Administrative Procedure Act. Grants the Illinois Gaming Board emergency rulemaking authority to implement the Fantasy Sports Consumer Protection Act. Effective immediately. LRB104 06316 LNS 16351 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1224 Introduced 1/24/2025, by Sen. Lakesia Collins SYNOPSIS AS INTRODUCED: New Act5 ILCS 100/5-45.65 new230 ILCS 45/25-10720 ILCS 5/28-1 from Ch. 38, par. 28-1720 ILCS 5/28-3 from Ch. 38, par. 28-3 New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 Creates the Fantasy Sports Consumer Protection Act. Provides that the Illinois Gaming Board may regulate the conduct of fantasy contest operators under the Act. Allows the Board to levy and collect fees, surcharges, civil penalties, and, on adjusted gross fantasy contest receipts imposed under the Act, monthly taxes, and identifies other powers and duties of the Board. Includes restrictions, including requiring licensing, of fantasy contest operators. Includes license requirements and requirements for allowable fantasy contests. Contains provisions relating to denial of a license, independent audits, reporting and investigation of prohibited conduct, taxes, compulsive gambling and voluntary self-exclusion, and supplier diversity goals for fantasy contest operators. Amends the Sports Wagering Act. Excludes fantasy contests from the definition of "sports wagering". Amends the Criminal Code of 2012. Provides that participants in fantasy contest wagering shall not be convicted of the offense of gambling when conducted in accordance with the Fantasy Sports Consumer Protection Act. Excludes any real estate, vehicle, boat, or any other property whatsoever used for the purposes of gambling under the Fantasy Sports Consumer Protection Act from the definition of "gambling place" under the offense of keeping a gambling place. Amends the Illinois Administrative Procedure Act. Grants the Illinois Gaming Board emergency rulemaking authority to implement the Fantasy Sports Consumer Protection Act. Effective immediately. LRB104 06316 LNS 16351 b LRB104 06316 LNS 16351 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1224 Introduced 1/24/2025, by Sen. Lakesia Collins SYNOPSIS AS INTRODUCED: New Act5 ILCS 100/5-45.65 new230 ILCS 45/25-10720 ILCS 5/28-1 from Ch. 38, par. 28-1720 ILCS 5/28-3 from Ch. 38, par. 28-3 New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 Creates the Fantasy Sports Consumer Protection Act. Provides that the Illinois Gaming Board may regulate the conduct of fantasy contest operators under the Act. Allows the Board to levy and collect fees, surcharges, civil penalties, and, on adjusted gross fantasy contest receipts imposed under the Act, monthly taxes, and identifies other powers and duties of the Board. Includes restrictions, including requiring licensing, of fantasy contest operators. Includes license requirements and requirements for allowable fantasy contests. Contains provisions relating to denial of a license, independent audits, reporting and investigation of prohibited conduct, taxes, compulsive gambling and voluntary self-exclusion, and supplier diversity goals for fantasy contest operators. Amends the Sports Wagering Act. Excludes fantasy contests from the definition of "sports wagering". Amends the Criminal Code of 2012. Provides that participants in fantasy contest wagering shall not be convicted of the offense of gambling when conducted in accordance with the Fantasy Sports Consumer Protection Act. Excludes any real estate, vehicle, boat, or any other property whatsoever used for the purposes of gambling under the Fantasy Sports Consumer Protection Act from the definition of "gambling place" under the offense of keeping a gambling place. Amends the Illinois Administrative Procedure Act. Grants the Illinois Gaming Board emergency rulemaking authority to implement the Fantasy Sports Consumer Protection Act. Effective immediately. LRB104 06316 LNS 16351 b LRB104 06316 LNS 16351 b LRB104 06316 LNS 16351 b A BILL FOR SB1224LRB104 06316 LNS 16351 b SB1224 LRB104 06316 LNS 16351 b SB1224 LRB104 06316 LNS 16351 b 1 AN ACT concerning gaming. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 1. Short title. This Act may be cited as the 5 Fantasy Sports Consumer Protection Act. 6 Section 5. Definitions. As used in this Act: 7 "Adjusted gross fantasy contest receipts" means the amount 8 equal to the total of all entry fees that a fantasy contest 9 operator collects from all participants less only the total of 10 all prizes paid out as prizes to all participants multiplied 11 by the location percentage for this State. 12 "Board" means the Illinois Gaming Board. 13 "Entry fee" means a nonrefundable cash or cash equivalent 14 that is paid by a participant and set in advance by a fantasy 15 contest operator granting the participant the right to 16 participate in a fantasy contest. 17 "Fantasy contest" means an online fantasy or simulated 18 game or contest of skill with an entry fee in which: 19 (1) the values of all prizes offered to a winning 20 participant are established and made known to the 21 participant in advance of the contest; 22 (2) all winning outcomes reflect the relative 23 knowledge and skill of the participant; 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1224 Introduced 1/24/2025, by Sen. Lakesia Collins SYNOPSIS AS INTRODUCED: New Act5 ILCS 100/5-45.65 new230 ILCS 45/25-10720 ILCS 5/28-1 from Ch. 38, par. 28-1720 ILCS 5/28-3 from Ch. 38, par. 28-3 New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 Creates the Fantasy Sports Consumer Protection Act. Provides that the Illinois Gaming Board may regulate the conduct of fantasy contest operators under the Act. Allows the Board to levy and collect fees, surcharges, civil penalties, and, on adjusted gross fantasy contest receipts imposed under the Act, monthly taxes, and identifies other powers and duties of the Board. Includes restrictions, including requiring licensing, of fantasy contest operators. Includes license requirements and requirements for allowable fantasy contests. Contains provisions relating to denial of a license, independent audits, reporting and investigation of prohibited conduct, taxes, compulsive gambling and voluntary self-exclusion, and supplier diversity goals for fantasy contest operators. Amends the Sports Wagering Act. Excludes fantasy contests from the definition of "sports wagering". Amends the Criminal Code of 2012. Provides that participants in fantasy contest wagering shall not be convicted of the offense of gambling when conducted in accordance with the Fantasy Sports Consumer Protection Act. Excludes any real estate, vehicle, boat, or any other property whatsoever used for the purposes of gambling under the Fantasy Sports Consumer Protection Act from the definition of "gambling place" under the offense of keeping a gambling place. Amends the Illinois Administrative Procedure Act. Grants the Illinois Gaming Board emergency rulemaking authority to implement the Fantasy Sports Consumer Protection Act. Effective immediately. LRB104 06316 LNS 16351 b LRB104 06316 LNS 16351 b LRB104 06316 LNS 16351 b A BILL FOR New Act 5 ILCS 100/5-45.65 new 230 ILCS 45/25-10 720 ILCS 5/28-1 from Ch. 38, par. 28-1 720 ILCS 5/28-3 from Ch. 38, par. 28-3 LRB104 06316 LNS 16351 b SB1224 LRB104 06316 LNS 16351 b SB1224- 2 -LRB104 06316 LNS 16351 b SB1224 - 2 - LRB104 06316 LNS 16351 b SB1224 - 2 - LRB104 06316 LNS 16351 b 1 (3) the participant assembles, owns, or manages a 2 fictional entry or roster of actual professional or 3 amateur athletes, in real-world sports events, or an 4 organized video game competition that is regulated by a 5 governing body and that is held between professional 6 players who play individually or as teams; 7 (4) a participant competes for prizes awarded by a 8 fantasy contest operator based on terms and conditions 9 published by the fantasy contest operator and made known 10 to the participant in advance of the contest; 11 (5) winning outcomes are determined solely by clearly 12 established scoring criteria based on one or more 13 statistical results of the performance of an individual 14 athlete, including, but not limited to, a fantasy score; 15 and 16 (6) no winning outcome is entirely based on the score, 17 point spread, or any performance of any single actual team 18 or combination of teams or solely on any single 19 performance of an individual athlete or player in any 20 single actual event. 21 "Fantasy contest" includes both contests wherein participants 22 compete against each other and contests wherein only a single 23 participant competes against a target score set by the fantasy 24 contest operator. "Fantasy contest" does not include any 25 fantasy contest without an entry fee. 26 "Fantasy contest operator" means a person or entity that SB1224 - 2 - LRB104 06316 LNS 16351 b SB1224- 3 -LRB104 06316 LNS 16351 b SB1224 - 3 - LRB104 06316 LNS 16351 b SB1224 - 3 - LRB104 06316 LNS 16351 b 1 offers fantasy contests to members of the public. "Fantasy 2 contest operator" does not include an Internet service 3 provider or a provider of mobile data services merely as a 4 result of that entity's transporting general traffic that may 5 include a fantasy contest and does not include a fantasy 6 contest participant by virtue of doing any combination of the 7 following: (i) setting house rules for a contest; (ii) 8 assigning a salary or target score to any eligible athlete or 9 player; (iii) accepting an entry fee from a fantasy contest 10 participant; or (iv) awarding or disbursing prizes in 11 conformance with this Act. 12 "Location percentage" means the percentage rounded to the 13 nearest 0.1% of the total entry fees collected from players 14 located in this State, divided by the total entry fees 15 collected from all players in the fantasy contest. 16 "Participant" means an individual who participates in a 17 fantasy contest offered by a fantasy contest operator. 18 "Prohibited participant" means an individual who has 19 self-excluded under Section 45 or an athlete, coach, referee, 20 trainer, or team staff when there is direct involvement of the 21 athlete, coach, referee, trainer, or staff; the athlete's or 22 staff's team; or the athletes that the coach coaches or the 23 trainer trains. 24 "Qualified applicant" means an applicant for a license 25 under this Act whose application meets the mandatory minimum 26 qualification criteria as required by the Board. SB1224 - 3 - LRB104 06316 LNS 16351 b SB1224- 4 -LRB104 06316 LNS 16351 b SB1224 - 4 - LRB104 06316 LNS 16351 b SB1224 - 4 - LRB104 06316 LNS 16351 b 1 Section 10. Board duties and powers. 2 (a) The Board may regulate the conduct of fantasy contest 3 operators under this Act. 4 (b) The Board shall adopt any rules the Board considers 5 necessary for the successful implementation, administration, 6 and enforcement of this Act. The Board shall adopt rules no 7 later than 180 days after the effective date of this Act. Rules 8 proposed by the Board may be adopted as emergency rules under 9 Section 5-45 of the Illinois Administrative Procedure Act. 10 (c) The Board shall levy and collect all fees, surcharges, 11 civil penalties, and, on adjusted gross fantasy contest 12 receipts imposed under this Act, monthly taxes as follows: 13 (1) All registration and renewal fees collected under 14 this Act shall be deposited and distributed as follows: 15 (A) 85% of fees shall be deposited into the State 16 Gaming Fund and used for the administration of this 17 Act; and 18 (B) 15% of fees shall be paid, subject to 19 appropriation by the General Assembly, to the 20 Department of Human Services for administration of 21 programs for the treatment of compulsive gambling. 22 (2) All taxes collected under Section 40 shall be 23 deposited into the Common School Fund. 24 (3) All civil penalties levied as a direct result of 25 violations of this Act, less any costs incurred by the SB1224 - 4 - LRB104 06316 LNS 16351 b SB1224- 5 -LRB104 06316 LNS 16351 b SB1224 - 5 - LRB104 06316 LNS 16351 b SB1224 - 5 - LRB104 06316 LNS 16351 b 1 Board during the course of investigation which resulted in 2 the civil penalty, shall be paid, subject to appropriation 3 by the General Assembly, to the Department of Human 4 Services for administration of programs for the treatment 5 of compulsive gambling. 6 (d) The Board shall require fantasy contest operators to 7 comply with the anti-money laundering standards, as defined by 8 the federal Bank Secrecy Act of 1970 and the Anti-Money 9 Laundering Act of 2020. 10 (e) The Board shall verify that fantasy contest operators 11 establish technical and operational measures to prevent 12 underage participation in a fantasy contest. 13 (f) The Board shall verify that fantasy contest operators 14 deploy identity verification procedures, which may require the 15 use of a reputable independent third party that is in the 16 business of verifying an individual's personally identifiable 17 information and can detect potential prohibited participants. 18 (g) The Board shall verify that fantasy contest operators 19 employ mechanisms on the operator's platform that are designed 20 to detect and prevent unauthorized accounts and to detect and 21 prevent fraud, money laundering, and collusion. 22 (h) The Board shall require the use of geolocation 23 technology to verify that a participant is not accessing the 24 platform from a restricted jurisdiction. 25 (i) The Board shall adopt rules establishing compulsive 26 and problem gambling standards for fantasy contest operators SB1224 - 5 - LRB104 06316 LNS 16351 b SB1224- 6 -LRB104 06316 LNS 16351 b SB1224 - 6 - LRB104 06316 LNS 16351 b SB1224 - 6 - LRB104 06316 LNS 16351 b 1 that are consistent with this Act. 2 (j) The Board may exercise any other powers necessary to 3 enforce the provisions of this Act that it regulates and the 4 rules of the Board. 5 (k) The Board and fantasy contest operator licensees may 6 cooperate with investigations conducted by law enforcement 7 agencies, including, but not limited to, providing and 8 facilitating the provision of account-level entry and 9 participation information. 10 (l) A fantasy contest operator licensee shall make all 11 reasonable efforts to promptly notify the Board of any 12 information relating to: 13 (1) a confirmed breach of the relevant sport's 14 governing body's internal rules and codes of conduct 15 pertaining to participation in real-money fantasy 16 contests; 17 (2) any conduct that corrupts any outcome related to a 18 sports event or sports events for purposes of financial 19 gain, including match fixing; and 20 (3) confirmed illegal activities, including use of 21 funds derived from illegal activity, entries to conceal or 22 launder funds derived from illegal activity, 23 multi-accounting, and using false identification. 24 Section 15. License. 25 (a) Except as otherwise provided in this Section, a person SB1224 - 6 - LRB104 06316 LNS 16351 b SB1224- 7 -LRB104 06316 LNS 16351 b SB1224 - 7 - LRB104 06316 LNS 16351 b SB1224 - 7 - LRB104 06316 LNS 16351 b 1 may not offer fantasy contests in this State unless the person 2 is licensed by the Board as a fantasy contest operator. 3 (b) An applicant for a license issued under this Act shall 4 submit an application to the Board in the form the Board 5 requires. The applicant shall submit fingerprints for a 6 national criminal history record check by a law enforcement 7 agency. The fingerprints shall be furnished by the applicant's 8 owners, officers, and directors (if a corporation), managers 9 and members (if a limited liability company), and partners (if 10 a partnership). The fingerprints shall be accompanied by a 11 signed authorization for the release of information by the law 12 enforcement agency. The Board may require additional 13 background checks on licensees when they apply for license 14 renewal, and an applicant convicted of a disqualifying offense 15 shall not be licensed. This subsection does not require an 16 applicant or individual who has submitted to a national 17 criminal history record check in this State or any other state 18 within the 12 months before submitting the application to 19 resubmit to another criminal history record check if the 20 applicant or individual submits the results of the previous 21 criminal history record check and affirms that there has been 22 no material change in the criminal history since the time of 23 the criminal history record check. 24 (c) The information required by the Board shall include 25 documentation of all of the following: 26 (1) The name of the applicant. SB1224 - 7 - LRB104 06316 LNS 16351 b SB1224- 8 -LRB104 06316 LNS 16351 b SB1224 - 8 - LRB104 06316 LNS 16351 b SB1224 - 8 - LRB104 06316 LNS 16351 b 1 (2) The location of the applicant's principal place of 2 business. 3 (3) The applicant's contact information. 4 (4) The applicant's social security number or, if 5 applicable, the applicant's federal tax identification 6 number. 7 (5) The name and address of each individual that holds 8 a 10% or more ownership interest in the applicant or in 9 shares of the applicant. 10 (6) The applicant's criminal record, if any, or, if 11 the applicant is a business entity, on request, any 12 criminal record of an individual who is a director, 13 officer, or key employee of the applicant or any 14 individual who has a 10% or more ownership interest in the 15 applicant. 16 (7) Any ownership interest that a director, officer, 17 key employee, or individual owner of 10% or more of the 18 applicant holds in a business that is or was a fantasy 19 contest operator or similar entity in any jurisdiction. 20 (8) An identification of any business in which an 21 applicant or a director, officer, key employee, or 22 individual owner of 10% or more of the applicant has an 23 equity interest of 5% or more. If a business has been 24 identified under this paragraph, documentation must be 25 provided showing the state in which the business is 26 incorporated or registered, if applicable. SB1224 - 8 - LRB104 06316 LNS 16351 b SB1224- 9 -LRB104 06316 LNS 16351 b SB1224 - 9 - LRB104 06316 LNS 16351 b SB1224 - 9 - LRB104 06316 LNS 16351 b 1 (9) Whether an applicant, director, officer, key 2 employee, or individual owner of 10% or more of the 3 applicant has ever applied for or been granted any 4 license, registration, or certificate issued by a 5 licensing authority in this State or any other 6 jurisdiction for a gaming activity. 7 (10) Whether an applicant or a director, officer, key 8 employee, or individual owner of 10% or more of the 9 applicant has filed or been served with a complaint or 10 other notice filed by a public body regarding the 11 delinquency in payment of or dispute over filings 12 concerning the payment of any tax required under federal, 13 State, or local law, including the amount of tax, the type 14 of tax, the taxing agency, and the time periods involved. 15 (11) Information sufficient to show, as determined by 16 the Board, that the applicant can meet the requirements of 17 procedures submitted by the applicant under the Act and 18 under any rules adopted under this Act. 19 (12) The Board may adopt rules to establish additional 20 qualifications and requirements to preserve the integrity 21 and security of fantasy contests in this State and to 22 promote and maintain a competitive fantasy sports market. 23 (d) On receipt of a completed application and the required 24 fee, the Board shall conduct the necessary background 25 investigation to determine if the applicant meets the 26 qualifications for licensure. On completion of the necessary SB1224 - 9 - LRB104 06316 LNS 16351 b SB1224- 10 -LRB104 06316 LNS 16351 b SB1224 - 10 - LRB104 06316 LNS 16351 b SB1224 - 10 - LRB104 06316 LNS 16351 b 1 background investigation, the Board shall either issue a 2 license or deny the application. If the application for 3 licensure is denied, a statement setting forth the grounds for 4 denial shall be forwarded to the applicant together with all 5 other documents relied on by the Board, to the extent allowed 6 by law. 7 Section 20. Fantasy contests. 8 (a) Any fantasy contest conducted under this Act does not 9 constitute gambling for any purpose, including under Article 10 28 of the Criminal Code of 1961 or the Criminal Code of 2012. 11 (b) Notwithstanding any provision of law to the contrary, 12 the operation of fantasy contests is only lawful when 13 conducted in accordance with the provisions of this Act. 14 (c) A person participating in a fantasy contest under this 15 Act shall be at least 21 years of age. 16 (d) A licensee under this Act may only accept an entry from 17 a person physically located in the State. A fantasy contest 18 operator must use a geolocation system to ensure that a 19 participant is physically present in the State when 20 participating in the fantasy contest unless otherwise 21 authorized by the Board. 22 (e) This Act shall be construed liberally to promote the 23 general welfare of the public and integrity of the fantasy 24 sports industry. However, the Board may not adopt rules 25 limiting or regulating the rules or administration of an SB1224 - 10 - LRB104 06316 LNS 16351 b SB1224- 11 -LRB104 06316 LNS 16351 b SB1224 - 11 - LRB104 06316 LNS 16351 b SB1224 - 11 - LRB104 06316 LNS 16351 b 1 individual fantasy contest, the statistical makeup of a 2 fantasy contest, or the digital platform of a fantasy contest 3 operator. 4 (f) No licensed fantasy contest operator shall be forced 5 to surrender or terminate its license prior to the date of 6 expiration of the license solely by virtue of a change in the 7 rules adopted under this Act. 8 Section 25. Issuance and denial of license. 9 (a) The initial license fee for a fantasy contest operator 10 that operated in Illinois before the effective date of this 11 Act shall be 8% of its adjusted gross fantasy contest receipts 12 from the preceding calendar year or $1,000,000, whichever is 13 less. The initial license fee for a fantasy contest operator 14 that did not operate in Illinois for at least 12 months before 15 the effective date of this Act shall be $10,000, except, if a 16 fantasy contest operator has 10,000 or more fantasy contest 17 participants in Illinois with an active account who 18 participated in at least one fantasy contest with an entry 19 fee, then the fantasy contest operator shall notify the Board 20 and remit an application fee in the amount of $990,000 within 21 10 days of notifying the Board. 22 (b) A fantasy contest operator that was offering contests 23 to persons located in Illinois before the effective date of 24 this Act pursuant to a bona fide attorney opinion letter may 25 continue to offer contests to persons located in Illinois SB1224 - 11 - LRB104 06316 LNS 16351 b SB1224- 12 -LRB104 06316 LNS 16351 b SB1224 - 12 - LRB104 06316 LNS 16351 b SB1224 - 12 - LRB104 06316 LNS 16351 b 1 until the fantasy contest operator's application for licensure 2 has been approved or denied under this Act if the fantasy 3 contest operator files an application for licensure with the 4 Board within 90 days after the adoption of rules to effectuate 5 this Act. 6 (c) Licenses issued by the Board shall remain in effect 7 for 4 years. The Board shall establish a process for renewal 8 with a renewal fee being 1% of the adjusted gross fantasy 9 contests receipts for the preceding 4 years. 10 (d) A fantasy contest operator that allows its license to 11 lapse, without requesting an extension of time to file, shall 12 resubmit an initial application. An extension may be granted 13 by the Board upon receipt of a written request. 14 (e) A fantasy contest operator applying for a license or 15 renewal of a license may operate during the application period 16 unless the Board has reasonable cause to believe that the 17 fantasy contest operator is or may be in violation of the 18 provisions of this Act and the Board requires the fantasy 19 contest operator to suspend the operation of any fantasy 20 contest until the license or renewal of a license is issued. 21 Section 30. Independent audits. 22 (a) As part of its submission for licensure or renewal, an 23 applicant shall: (i) contract with a certified public 24 accountant to conduct an independent audit, consistent with 25 generally accepted accounting principles; (ii) annually SB1224 - 12 - LRB104 06316 LNS 16351 b SB1224- 13 -LRB104 06316 LNS 16351 b SB1224 - 13 - LRB104 06316 LNS 16351 b SB1224 - 13 - LRB104 06316 LNS 16351 b 1 contract with a testing laboratory recognized by the Board to 2 verify compliance with the provisions of this Act; and (iii) 3 submit to the Board a copy of the audit report and a report of 4 the testing laboratory. 5 (b) An initial applicant is not required to submit an 6 audit report and report of the testing laboratory until the 24 7 months following the issuance of a licensee to the licensee. 8 Section 35. Reporting prohibited conduct; investigations 9 of prohibited conduct. 10 (a) The Board shall investigate all reasonable allegations 11 of prohibited conduct and refer any allegations it deems 12 credible to the appropriate law enforcement entity. 13 (b) The identity of any reporting person shall remain 14 confidential unless that person authorizes disclosure of the 15 person's identity or until the allegation of prohibited 16 conduct is referred to law enforcement. 17 (c) If the Board receives a complaint of prohibited 18 conduct by an athlete, the Board shall notify the appropriate 19 sports governing body of the athlete to review the complaint 20 as provided by rule of the Board. 21 (d) The Board shall adopt rules governing investigations 22 of prohibited conduct and referrals to law enforcement 23 entities. 24 Section 40. Tax. Beginning on July 1, 2025, for the SB1224 - 13 - LRB104 06316 LNS 16351 b SB1224- 14 -LRB104 06316 LNS 16351 b SB1224 - 14 - LRB104 06316 LNS 16351 b SB1224 - 14 - LRB104 06316 LNS 16351 b 1 privilege of holding a license to operate fantasy contests 2 under this Act, this State shall impose and collect a tax at a 3 rate of at least 10% but not more than 15%, as determined by 4 rule of the Board, of the fantasy contest operator's adjusted 5 gross fantasy contests receipts. The accrual method of 6 accounting shall be used for purposes of calculating the 7 amount of the tax owed by the licensee. The fantasy contest 8 operator shall submit to the Board, on or before the last day 9 of each calendar month, a return indicating the amount of tax 10 due under this Section for the previous calendar month as well 11 as any other information the Board shall require by rule and 12 shall remit to the Board payment of the tax due under this 13 Section with that return. 14 Section 45. Compulsive gaming; voluntary self-exclusion. 15 (a) Each licensee shall include a statement regarding 16 obtaining assistance with real-money gaming problems on the 17 licensee's portal, website, or computer or mobile application 18 and on all marketing materials and advertisements of the 19 licensee. 20 (b) A resident, or nonresident if allowed to participate 21 in fantasy contests, may voluntarily prohibit the resident or 22 nonresident from establishing a fantasy contest account with a 23 fantasy contest operator under this Act. The Board shall 24 incorporate the voluntary self-exclusion program for fantasy 25 contests into any existing self-exclusion program that it SB1224 - 14 - LRB104 06316 LNS 16351 b SB1224- 15 -LRB104 06316 LNS 16351 b SB1224 - 15 - LRB104 06316 LNS 16351 b SB1224 - 15 - LRB104 06316 LNS 16351 b 1 operates on the effective date of this Act. 2 (c) If a self-excluded person participates in a fantasy 3 contest, the fantasy contest operator shall report to the 4 Board, at a minimum, the name of the self-excluded person, the 5 date of participation, the amount or value of any money, 6 prizes, or awards forfeited, if any, and any other action 7 taken. 8 (d) A fantasy contest operator may not pay any prize or 9 award to a person who is on the Board's self-exclusion list. 10 Any prize or award won by a person on the self-exclusion list 11 is forfeited and shall be donated by the fantasy contest 12 operator to the problem gaming charities or programs as 13 identified and directed by the Board on a quarterly basis by 14 the twenty-fifth day of the following month. 15 (e) A fantasy contest operator shall develop and maintain 16 a program to mitigate compulsive play and curtail compulsive 17 play, which may be in conjunction with the Board. 18 Section 50. Supplier diversity goals for fantasy contest 19 operators. 20 (a) The Board shall require licensees under this Act to 21 submit an annual report, in a searchable Adobe PDF format, on 22 all procurement goals and actual spending for businesses owned 23 by women, minorities, veterans, tribal and indigenous persons, 24 and persons with disabilities and for all small business 25 enterprises in the previous calendar year. These goals shall SB1224 - 15 - LRB104 06316 LNS 16351 b SB1224- 16 -LRB104 06316 LNS 16351 b SB1224 - 16 - LRB104 06316 LNS 16351 b SB1224 - 16 - LRB104 06316 LNS 16351 b 1 be expressed as a percentage of the total work performed by the 2 entity submitting the report, and the actual spending for all 3 businesses owned by women, minorities, veterans, tribal and 4 indigenous persons, and persons with disabilities and for all 5 small business enterprises shall also be expressed as a 6 percentage of the total work performed by the entity 7 submitting the report. The initial report shall be due one 8 year after the effective date of this Act and once every 2 9 years thereafter. 10 (b) Each licensee in its annual report shall include the 11 following information: 12 (1) an explanation of the plan for the next year to 13 increase participation; 14 (2) an explanation of the plan to increase the goals; 15 (3) the areas of procurement each licensee shall be 16 actively seeking more participation in the next year; 17 (4) an outline of the plan to alert and encourage 18 potential vendors in that area to seek business from the 19 licensee; 20 (5) an explanation of the challenges faced in finding 21 quality vendors and offer any suggestions for what the 22 Board could do to be helpful to identify those vendors; 23 (6) a list of the certifications the licensee 24 recognizes; 25 (7) the point of contact for any potential vendor who 26 wishes to do business with the licensee and explain the SB1224 - 16 - LRB104 06316 LNS 16351 b SB1224- 17 -LRB104 06316 LNS 16351 b SB1224 - 17 - LRB104 06316 LNS 16351 b SB1224 - 17 - LRB104 06316 LNS 16351 b 1 process for a vendor to enroll with the licensee as a 2 businesses owned by women, minorities, veterans, tribal 3 and indigenous persons, or persons with disabilities; and 4 (8) any particular success stories to encourage other 5 licensees to emulate best practices. 6 (c) Each annual report shall include as much 7 State-specific data as possible. If the submitting entity does 8 not submit State-specific data, then the licensee shall 9 include any national data it does have and explain why it could 10 not submit State-specific data and how it intends to do so in 11 future reports, if possible. 12 (d) Each annual report shall include the rules, 13 regulations, and definitions used for the procurement goals in 14 the licensee's annual report. 15 Section 100. The Illinois Administrative Procedure Act is 16 amended by adding Section 5-45.65 as follows: 17 (5 ILCS 100/5-45.65 new) 18 Sec. 5-45.65. Emergency rulemaking; Illinois Gaming Board. 19 To provide for the expeditious and timely implementation of 20 this amendatory Act of the 104th General Assembly, emergency 21 rules implementing the Fantasy Sports Consumer Protection Act 22 may be adopted in accordance with Section 5-45 by the Illinois 23 Gaming Board. The adoption of emergency rules authorized by 24 Section 5-45 and this Section is deemed to be necessary for the SB1224 - 17 - LRB104 06316 LNS 16351 b SB1224- 18 -LRB104 06316 LNS 16351 b SB1224 - 18 - LRB104 06316 LNS 16351 b SB1224 - 18 - LRB104 06316 LNS 16351 b 1 public interest, safety, and welfare. 2 This Section is repealed one year after the effective date 3 of this amendatory Act of the 104th General Assembly. 4 Section 105. The Sports Wagering Act is amended by 5 changing Section 25-10 as follows: 6 (230 ILCS 45/25-10) 7 Sec. 25-10. Definitions. As used in this Act: 8 "Adjusted gross sports wagering receipts" means a master 9 sports wagering licensee's gross sports wagering receipts, 10 less winnings paid to wagerers in such games. 11 "Athlete" means any current or former professional athlete 12 or collegiate athlete. 13 "Board" means the Illinois Gaming Board. 14 "Covered persons" includes athletes; umpires, referees, 15 and officials; personnel associated with clubs, teams, 16 leagues, and athletic associations; medical professionals 17 (including athletic trainers) who provide services to athletes 18 and players; and the family members and associates of these 19 persons where required to serve the purposes of this Act. 20 "Department" means the Department of the Lottery. 21 "Gaming facility" means a facility at which gambling 22 operations are conducted under the Illinois Gambling Act, 23 pari-mutuel wagering is conducted under the Illinois Horse 24 Racing Act of 1975, or sports wagering is conducted under this SB1224 - 18 - LRB104 06316 LNS 16351 b SB1224- 19 -LRB104 06316 LNS 16351 b SB1224 - 19 - LRB104 06316 LNS 16351 b SB1224 - 19 - LRB104 06316 LNS 16351 b 1 Act. 2 "Official league data" means statistics, results, 3 outcomes, and other data related to a sports event obtained 4 pursuant to an agreement with the relevant sports governing 5 body, or an entity expressly authorized by the sports 6 governing body to provide such information to licensees, that 7 authorizes the use of such data for determining the outcome of 8 tier 2 sports wagers on such sports events. 9 "Organization licensee" has the meaning given to that term 10 in the Illinois Horse Racing Act of 1975. 11 "Owners licensee" means the holder of an owners license 12 under the Illinois Gambling Act. 13 "Person" means an individual, partnership, committee, 14 association, corporation, or any other organization or group 15 of persons. 16 "Personal biometric data" means an athlete's information 17 derived from DNA, heart rate, blood pressure, perspiration 18 rate, internal or external body temperature, hormone levels, 19 glucose levels, hydration levels, vitamin levels, bone 20 density, muscle density, and sleep patterns. 21 "Prohibited conduct" includes any statement, action, and 22 other communication intended to influence, manipulate, or 23 control a betting outcome of a sporting contest or of any 24 individual occurrence or performance in a sporting contest in 25 exchange for financial gain or to avoid financial or physical 26 harm. "Prohibited conduct" includes statements, actions, and SB1224 - 19 - LRB104 06316 LNS 16351 b SB1224- 20 -LRB104 06316 LNS 16351 b SB1224 - 20 - LRB104 06316 LNS 16351 b SB1224 - 20 - LRB104 06316 LNS 16351 b 1 communications made to a covered person by a third party, such 2 as a family member or through social media. "Prohibited 3 conduct" does not include statements, actions, or 4 communications made or sanctioned by a team or sports 5 governing body. 6 "Qualified applicant" means an applicant for a license 7 under this Act whose application meets the mandatory minimum 8 qualification criteria as required by the Board. 9 "Sporting contest" means a sports event or game on which 10 the State allows sports wagering to occur under this Act. 11 "Sports event" means a professional sport or athletic 12 event, a collegiate sport or athletic event, a motor race 13 event, or any other event or competition of relative skill 14 authorized by the Board under this Act. 15 "Sports facility" means a facility that hosts sports 16 events and holds a seating capacity greater than 17,000 17 persons, except in a municipality with a population of more 18 than 1,000,000, a seating capacity greater than 10,000 19 persons. 20 "Sports governing body" means the organization that 21 prescribes final rules and enforces codes of conduct with 22 respect to a sports event and participants therein. 23 "Sports wagering" means accepting wagers on sports events 24 or portions of sports events, or on the individual performance 25 statistics of athletes in a sports event or combination of 26 sports events, by any system or method of wagering, including, SB1224 - 20 - LRB104 06316 LNS 16351 b SB1224- 21 -LRB104 06316 LNS 16351 b SB1224 - 21 - LRB104 06316 LNS 16351 b SB1224 - 21 - LRB104 06316 LNS 16351 b 1 but not limited to, in person or over the Internet through 2 websites and on mobile devices. "Sports wagering" includes, 3 but is not limited to, single-game bets, teaser bets, parlays, 4 over-under, moneyline, pools, exchange wagering, in-game 5 wagering, in-play bets, proposition bets, and straight bets. 6 "Sports wagering" does not include fantasy contests as that 7 term is defined in Section 5 of the Fantasy Sports Consumer 8 Protection Act. 9 "Sports wagering account" means a financial record 10 established by a master sports wagering licensee for an 11 individual patron in which the patron may deposit and withdraw 12 funds for sports wagering and other authorized purchases and 13 to which the master sports wagering licensee may credit 14 winnings or other amounts due to that patron or authorized by 15 that patron. 16 "Tier 1 sports wager" means a sports wager that is 17 determined solely by the final score or final outcome of the 18 sports event and is placed before the sports event has begun. 19 "Tier 2 sports wager" means a sports wager that is not a 20 tier 1 sports wager. 21 "Wager" means a sum of money or thing of value risked on an 22 uncertain occurrence. 23 "Winning bidder" means a qualified applicant for a master 24 sports wagering license chosen through the competitive 25 selection process under Section 25-45. 26 (Source: P.A. 101-31, eff. 6-28-19; 102-689, eff. 12-17-21.) SB1224 - 21 - LRB104 06316 LNS 16351 b SB1224- 22 -LRB104 06316 LNS 16351 b SB1224 - 22 - LRB104 06316 LNS 16351 b SB1224 - 22 - LRB104 06316 LNS 16351 b 1 Section 110. The Criminal Code of 2012 is amended by 2 changing Sections 28-1 and 28-3 as follows: 3 (720 ILCS 5/28-1) (from Ch. 38, par. 28-1) 4 Sec. 28-1. Gambling. 5 (a) A person commits gambling when he or she: 6 (1) knowingly plays a game of chance or skill for 7 money or other thing of value, unless excepted in 8 subsection (b) of this Section; 9 (2) knowingly makes a wager upon the result of any 10 game, contest, or any political nomination, appointment or 11 election; 12 (3) knowingly operates, keeps, owns, uses, purchases, 13 exhibits, rents, sells, bargains for the sale or lease of, 14 manufactures or distributes any gambling device; 15 (4) contracts to have or give himself or herself or 16 another the option to buy or sell, or contracts to buy or 17 sell, at a future time, any grain or other commodity 18 whatsoever, or any stock or security of any company, where 19 it is at the time of making such contract intended by both 20 parties thereto that the contract to buy or sell, or the 21 option, whenever exercised, or the contract resulting 22 therefrom, shall be settled, not by the receipt or 23 delivery of such property, but by the payment only of 24 differences in prices thereof; however, the issuance, SB1224 - 22 - LRB104 06316 LNS 16351 b SB1224- 23 -LRB104 06316 LNS 16351 b SB1224 - 23 - LRB104 06316 LNS 16351 b SB1224 - 23 - LRB104 06316 LNS 16351 b 1 purchase, sale, exercise, endorsement or guarantee, by or 2 through a person registered with the Secretary of State 3 pursuant to Section 8 of the Illinois Securities Law of 4 1953, or by or through a person exempt from such 5 registration under said Section 8, of a put, call, or 6 other option to buy or sell securities which have been 7 registered with the Secretary of State or which are exempt 8 from such registration under Section 3 of the Illinois 9 Securities Law of 1953 is not gambling within the meaning 10 of this paragraph (4); 11 (5) knowingly owns or possesses any book, instrument 12 or apparatus by means of which bets or wagers have been, or 13 are, recorded or registered, or knowingly possesses any 14 money which he has received in the course of a bet or 15 wager; 16 (6) knowingly sells pools upon the result of any game 17 or contest of skill or chance, political nomination, 18 appointment or election; 19 (7) knowingly sets up or promotes any lottery or 20 sells, offers to sell or transfers any ticket or share for 21 any lottery; 22 (8) knowingly sets up or promotes any policy game or 23 sells, offers to sell or knowingly possesses or transfers 24 any policy ticket, slip, record, document or other similar 25 device; 26 (9) knowingly drafts, prints or publishes any lottery SB1224 - 23 - LRB104 06316 LNS 16351 b SB1224- 24 -LRB104 06316 LNS 16351 b SB1224 - 24 - LRB104 06316 LNS 16351 b SB1224 - 24 - LRB104 06316 LNS 16351 b 1 ticket or share, or any policy ticket, slip, record, 2 document or similar device, except for such activity 3 related to lotteries, bingo games and raffles authorized 4 by and conducted in accordance with the laws of Illinois 5 or any other state or foreign government; 6 (10) knowingly advertises any lottery or policy game, 7 except for such activity related to lotteries, bingo games 8 and raffles authorized by and conducted in accordance with 9 the laws of Illinois or any other state; 10 (11) knowingly transmits information as to wagers, 11 betting odds, or changes in betting odds by telephone, 12 telegraph, radio, semaphore or similar means; or knowingly 13 installs or maintains equipment for the transmission or 14 receipt of such information; except that nothing in this 15 subdivision (11) prohibits transmission or receipt of such 16 information for use in news reporting of sporting events 17 or contests; or 18 (12) knowingly establishes, maintains, or operates an 19 Internet site that permits a person to play a game of 20 chance or skill for money or other thing of value by means 21 of the Internet or to make a wager upon the result of any 22 game, contest, political nomination, appointment, or 23 election by means of the Internet. This item (12) does not 24 apply to activities referenced in items (6), (6.1), (8), 25 (8.1), and (15), and (16) of subsection (b) of this 26 Section. SB1224 - 24 - LRB104 06316 LNS 16351 b SB1224- 25 -LRB104 06316 LNS 16351 b SB1224 - 25 - LRB104 06316 LNS 16351 b SB1224 - 25 - LRB104 06316 LNS 16351 b 1 (b) Participants in any of the following activities shall 2 not be convicted of gambling: 3 (1) Agreements to compensate for loss caused by the 4 happening of chance including without limitation contracts 5 of indemnity or guaranty and life or health or accident 6 insurance. 7 (2) Offers of prizes, award or compensation to the 8 actual contestants in any bona fide contest for the 9 determination of skill, speed, strength or endurance or to 10 the owners of animals or vehicles entered in such contest. 11 (3) Pari-mutuel betting as authorized by the law of 12 this State. 13 (4) Manufacture of gambling devices, including the 14 acquisition of essential parts therefor and the assembly 15 thereof, for transportation in interstate or foreign 16 commerce to any place outside this State when such 17 transportation is not prohibited by any applicable Federal 18 law; or the manufacture, distribution, or possession of 19 video gaming terminals, as defined in the Video Gaming 20 Act, by manufacturers, distributors, and terminal 21 operators licensed to do so under the Video Gaming Act. 22 (5) The game commonly known as "bingo", when conducted 23 in accordance with the Bingo License and Tax Act. 24 (6) Lotteries when conducted by the State of Illinois 25 in accordance with the Illinois Lottery Law. This 26 exemption includes any activity conducted by the SB1224 - 25 - LRB104 06316 LNS 16351 b SB1224- 26 -LRB104 06316 LNS 16351 b SB1224 - 26 - LRB104 06316 LNS 16351 b SB1224 - 26 - LRB104 06316 LNS 16351 b 1 Department of Revenue to sell lottery tickets pursuant to 2 the provisions of the Illinois Lottery Law and its rules. 3 (6.1) The purchase of lottery tickets through the 4 Internet for a lottery conducted by the State of Illinois 5 under the program established in Section 7.12 of the 6 Illinois Lottery Law. 7 (7) Possession of an antique slot machine that is 8 neither used nor intended to be used in the operation or 9 promotion of any unlawful gambling activity or enterprise. 10 For the purpose of this subparagraph (b)(7), an antique 11 slot machine is one manufactured 25 years ago or earlier. 12 (8) Raffles and poker runs when conducted in 13 accordance with the Raffles and Poker Runs Act. 14 (8.1) The purchase of raffle chances for a raffle 15 conducted in accordance with the Raffles and Poker Runs 16 Act. 17 (9) Charitable games when conducted in accordance with 18 the Charitable Games Act. 19 (10) Pull tabs and jar games when conducted under the 20 Illinois Pull Tabs and Jar Games Act. 21 (11) Gambling games when authorized by the Illinois 22 Gambling Act. 23 (12) Video gaming terminal games at a licensed 24 establishment, licensed truck stop establishment, licensed 25 large truck stop establishment, licensed fraternal 26 establishment, or licensed veterans establishment when SB1224 - 26 - LRB104 06316 LNS 16351 b SB1224- 27 -LRB104 06316 LNS 16351 b SB1224 - 27 - LRB104 06316 LNS 16351 b SB1224 - 27 - LRB104 06316 LNS 16351 b 1 conducted in accordance with the Video Gaming Act. 2 (13) Games of skill or chance where money or other 3 things of value can be won but no payment or purchase is 4 required to participate. 5 (14) Savings promotion raffles authorized under 6 Section 5g of the Illinois Banking Act, Section 7008 of 7 the Savings Bank Act, Section 42.7 of the Illinois Credit 8 Union Act, Section 5136B of the National Bank Act (12 9 U.S.C. 25a), or Section 4 of the Home Owners' Loan Act (12 10 U.S.C. 1463). 11 (15) Sports wagering when conducted in accordance with 12 the Sports Wagering Act. 13 (16) Fantasy contest wagering when conducted in 14 accordance with the Fantasy Sports Consumer Protection 15 Act. 16 (c) Sentence. 17 Gambling is a Class A misdemeanor. A second or subsequent 18 conviction under subsections (a)(3) through (a)(12), is a 19 Class 4 felony. 20 (d) Circumstantial evidence. 21 In prosecutions under this Section circumstantial evidence 22 shall have the same validity and weight as in any criminal 23 prosecution. 24 (Source: P.A. 101-31, Article 25, Section 25-915, eff. 25 6-28-19; 101-31, Article 35, Section 35-80, eff. 6-28-19; 26 101-109, eff. 7-19-19; 102-558, eff. 8-20-21.) SB1224 - 27 - LRB104 06316 LNS 16351 b SB1224- 28 -LRB104 06316 LNS 16351 b SB1224 - 28 - LRB104 06316 LNS 16351 b SB1224 - 28 - LRB104 06316 LNS 16351 b 1 (720 ILCS 5/28-3) (from Ch. 38, par. 28-3) 2 Sec. 28-3. Keeping a gambling place. A "gambling place" is 3 any real estate, vehicle, boat, or any other property 4 whatsoever used for the purposes of gambling other than 5 gambling conducted in the manner authorized by the Illinois 6 Gambling Act, the Sports Wagering Act, or the Video Gaming 7 Act, or the Fantasy Sports Consumer Protection Act. Any person 8 who knowingly permits any premises or property owned or 9 occupied by him or under his control to be used as a gambling 10 place commits a Class A misdemeanor. Each subsequent offense 11 is a Class 4 felony. When any premises is determined by the 12 circuit court to be a gambling place: 13 (a) Such premises is a public nuisance and may be 14 proceeded against as such, and 15 (b) All licenses, permits or certificates issued by 16 the State of Illinois or any subdivision or public agency 17 thereof authorizing the serving of food or liquor on such 18 premises shall be void; and no license, permit or 19 certificate so cancelled shall be reissued for such 20 premises for a period of 60 days thereafter; nor shall any 21 person convicted of keeping a gambling place be reissued 22 such license for one year from his conviction and, after a 23 second conviction of keeping a gambling place, any such 24 person shall not be reissued such license, and 25 (c) Such premises of any person who knowingly permits SB1224 - 28 - LRB104 06316 LNS 16351 b SB1224- 29 -LRB104 06316 LNS 16351 b SB1224 - 29 - LRB104 06316 LNS 16351 b SB1224 - 29 - LRB104 06316 LNS 16351 b 1 thereon a violation of any Section of this Article shall 2 be held liable for, and may be sold to pay any unsatisfied 3 judgment that may be recovered and any unsatisfied fine 4 that may be levied under any Section of this Article. 5 (Source: P.A. 101-31, Article 25, Section 25-915, eff. 6 6-28-19; 101-31, Article 35, Section 35-80, eff. 6-28-19; 7 102-558, eff. 8-20-21.) 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