[Ord. 2013-20, 9-16-2013; Ord. 2019-34, 7-1-2019]
For the purposes of this chapter, the following terms shall
have the following meaning:
AFFILIATE
An affiliate of, or person affiliated with, a specified person
means a person that directly, or indirectly through one or more intermediaries,
controls, or is controlled by, or is under common control with, such
person.
AFFILIATED ENTITY
Any business entity that directly or indirectly, through
one or more intermediaries, controls, is controlled by, or is under
common control with, the person.
APPLICANT
A person applying for any license under this chapter.
APPLICATION
All material submitted, including the instructions, definitions,
forms and other documents issued by the Village, comprising the video
gaming license application submitted to the Village.
ASSOCIATED VIDEO GAMING EQUIPMENT
Ticket payout systems and validation procedures; wireless,
promotional and bonusing systems; kiosks; gaming related peripherals;
hardware, software and systems; and other gaming devices and equipment
for compliance with:
(a)
Illinois laws, regulations, and requirements as codified or
otherwise set forth; and
(b)
Illinois gaming board approved video gaming industry standards.
ATTRIBUTED INTEREST
A direct or indirect interest in an enterprise deemed to
be held by an individual not through the individual's actual holdings
but either through the holdings of the individual's relatives or through
a third party or parties on behalf of the individual pursuant to a
plan, arrangement, agreement or contract.
BUSINESS ENTITY or BUSINESS
A partnership, incorporated or unincorporated association
or group, firm, corporation, limited liability company, partnership
for shares, trust, sole proprietorship or other business enterprise.
CHI-SQUARE TEST
A statistical test used to determine if a relationship between
variables exists by comparing expected and observed cell frequencies.
Specifically, a chi-square test examines the observed frequencies
in a category and compares them to what would be expected by chance
or would be expected if there was no relationship between variables.
CODE
The Village code of ordinances of the Village of Elmwood
Park, Illinois.
CONTROL
The possession, direct or indirect, of power to direct or
cause the direction of the management and policies of an applicant
or licensee through the ownership of voting securities, by contract
or otherwise.
CREDIT
One, five, 10, or $0.25 either won or purchased by a player.
DISTRIBUTOR
An individual, partnership, corporation, or limited liability
company licensed under the video gaming act to buy, sell, lease, or
distribute video gaming terminals or major components or parts of
video gaming terminals to or from terminal operators.
FRATERNAL ORGANIZATION
An organization or institution organized and conducted on
a not for profit basis with no personal profit inuring to anyone as
a result of the operation and that is exempt from federal income taxation
under Section 501(c)(8) or (c)(10) of the internal revenue code [26
U.S.C. § 501(c)(8) or (c)(10)].
GAME
A gambling activity that is played for money, property or
anything of value, including, without limitation, those played with
cards, chips, tokens, vouchers, dice, implements, or electronic, electrical
or mechanical devices or machines.
GAMING
The dealing, operating, carrying on, conducting, maintaining
or exposing for play of any game.
GAMING OPERATION
The conducting of gaming or the providing or servicing of
gaming equipment.
ILLINOIS GAMING BOARD
The board created by the Illinois legislature to regulate
video gaming by the state of Illinois.
ILLINOIS RESIDENT
(a)
With respect to an individual, an individual who is either:
(1)
Domiciled in Illinois or maintains a bona fide place of abode
in Illinois; or
(2)
Is required to file an Illinois tax return during the taxable
year.
(b)
With respect to a corporation, any corporation organized under
the laws of Illinois and any foreign corporation with a certificate
of authority to transact business in Illinois. A foreign corporation
not authorized to transact business in Illinois is a nonresident of
Illinois.
(c)
With respect to a partnership, a partnership in which any partner
is an Illinois resident, or where the partnership has an office and
is doing business in Illinois.
(d)
With respect to an irrevocable trust, a trust where the grantor
was an Illinois resident at the time the trust became irrevocable.
INSTITUTIONAL INVESTOR
(a)
A retirement fund administered by a public agency for the exclusive
benefit of federal, state or local public employees;
(b)
An investment company registered under Section 8 of the investment
company act of 1940 (15 USC80a-8);
(c)
A collective investment trust organized by a bank under part
9 of the rules of the comptroller of the currency (12 CFR 9.18);
(d)
A closed-end investment trust registered with the United States
securities and exchange commission;
(e)
A chartered or licensed life insurance company or property and
casualty insurance company;
(g)
An investment advisor registered under the investment advisors
act of 1940 (15 U.S.C. §§ 80b-1 through 80b-21); or
(h)
Such other person as the Illinois gaming board may determine
for reasons consistent with the video gaming act and this chapter.
LICENSED ESTABLISHMENT
Any licensed retail establishment where alcoholic liquor
is drawn, poured, mixed, or otherwise served for consumption on the
premises and includes any such establishment that has a contractual
relationship with an intertrack wagering location licensee licensed
under the Illinois horse racing act of 1975, provided any contractual
relationship shall not include any transfer or offer of revenue from
the operation of video gaming under the video gaming act to any licensee
licensed under the Illinois horse racing act of 1975. Provided, however,
that the licensed establishment that has such a contractual relationship
with an intertrack wagering location licensee may not, itself, be:
a) an intertrack wagering location licensee, b) the corporate parent
or subsidiary of any licensee licensed under the Illinois horse racing
act of 1975, or c) the corporate subsidiary of a corporation that
is also the corporate parent or subsidiary of any licensee licensed
under the Illinois horse racing act of 1975. "Licensed establishment"
does not include a facility operated by an organization licensee,
an intertrack wagering licensee, or an intertrack wagering location
licensee licensed under the Illinois horse racing act of 1975 or a
riverboat licensed under the riverboat gambling act, except as provided
in this definition.
LICENSED FRATERNAL ESTABLISHMENT
The location where a qualified fraternal organization that
derives its charter from a national fraternal organization regularly
meets.
LICENSED TECHNICIAN
An individual who is licensed under the video gaming act
to repair, service, and maintain video gaming terminals.
LICENSED TERMINAL HANDLER
A person, including, but not limited to, an employee or independent
contractor working for a manufacturer, distributor, supplier, technician,
or terminal operator, who is licensed under the video gaming act to
possess or control a video gaming terminal or to have access to the
inner workings of a video gaming terminal. A licensed terminal handler
does not include an individual, partnership, corporation, or limited
liability company defined as a manufacturer, distributor, supplier,
technician or terminal operator under Section 5 of the video gaming
act.
LICENSED VETERANS' ESTABLISHMENT
The location where a qualified veterans' organization that
derives its charter from a national veterans' organization regularly
meets.
LICENSED VIDEO GAMING LOCATION
A licensed establishment, licensed fraternal establishment
or licensed veterans establishment, all as defined in Section 5 of
the Video Gaming Act and this chapter, that holds a valid authorization
granted by the Village permitting the licensee to operate one or more,
but not more than six video gaming terminals at the establishment.
LICENSEE
The person, firm or entity to whom an authorization is granted
by the Village permitting it to engage in the defined activities of
video gaming.
LIQUOR LICENSE
A license issued by a governmental body authorizing the holder
to sell and offer for sale at retail alcoholic liquor for use or consumption.
LOCATION LICENSE
Authorization granted by the Village permitting a licensee
to locate a video gaming terminal in the Village.
MAJOR COMPONENTS OR PARTS
Components or parts that comprise the inner workings and
peripherals of a video gaming terminal, including, but not limited
to, the device's hardware, software, human interface devices, interface
ports, power supply, ticket payout system, bill validator, printer
and any component that affects or could affect the result of a game
played on the device.
MANUFACTURER
An individual, partnership, corporation, or limited liability
company that is licensed under the video gaming act and that manufactures
or assembles video gaming terminals.
OWNERSHIP INTEREST
Includes, but is not limited to, direct, indirect, beneficial
or attributed interest, or holder of stock options, convertible debt,
warrants or stock appreciation rights, or holder of any beneficial
ownership or leasehold interest in a business entity.
PERSON
Both individuals and business entities.
PERSON WITH SIGNIFICANT INTEREST OR CONTROL
Any of the following:
(a)
Each person in whose name the liquor license is maintained for
each licensed video gaming location;
(b)
Each person who, in the opinion of the liquor commissioner,
has the ability to influence or control the activities of the applicant
or licensee, or elect a majority of its board of directors, other
than a bank or licensed lending institution that holds a mortgage
or other lien, or any other source of funds, acquired in the ordinary
course of business;
(c)
Persons having the power to exercise significant influence or
control over decisions concerning any part of the applicant's or licensee's
video gaming operation.
SECURITY
An ownership right or creditor relationship.
SECURITY INTEREST
An interest in property that secures the payment or performance
of an obligation or judgment.
SOLE PROPRIETOR
An individual who in his or her own name owns 100% of the
assets and who is solely liable for the debts of a business.
STATE
The state of Illinois.
STATE LICENSE
Authorization granted by the Illinois gaming board permitting
a licensee to engage in the defined activities of video gaming.
SUBSTANTIAL INTEREST (with respect to a partnership, a corporation,
an organization, an association, a business or a limited liability
company)
(a)
When, with respect to a sole proprietorship, an individual or
his or her spouse owns, operates, manages, or conducts, directly or
indirectly, the organization, association or business, or any part
thereof; or
(b)
When, with respect to a partnership, the individual or his or
her spouse shares in any of the profits, or potential profits, of
the partnership activities; or
(c)
When, with respect to a corporation, an individual or his or
her spouse is an officer or director or the individual or his or her
spouse is a holder, directly or beneficially, of 5% or more of any
class of stock of the corporation; or
(d)
When, with respect to a limited liability company, an individual
or his or her spouse is a member, or the individual or his or her
spouse is a holder, directly or beneficially, of 5% or more of the
membership interest of the limited liability company; or
(e)
When, with respect to any other organization not covered in Subsection
(a),
(b),
(c) or
(d) of this definition, an individual or his or her spouse is an officer or manages the business affairs, or the individual or his or her spouse is the owner of, or otherwise controls, 10% or more of the assets of the organization; or
(f)
When an individual or his or her spouse furnishes 5% or more
of the capital, whether in cash, goods or services, for the operation
of any business, association or organization during any calendar year.
For purposes of this definition, "individual" means all individuals
or their spouses whose combined interest would qualify as a substantial
interest under this definition and whose activities with respect to
an organization, association, or business are so closely aligned or
coordinated as to constitute the activities of a single entity.
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SUPPLIER
An individual, partnership, corporation, or limited liability
company that is licensed under the video gaming act to supply major
components or parts of video gaming terminals to licensed terminal
operators.
TERMINAL OPERATOR
An individual, partnership, corporation, or limited liability
company that is licensed under the video gaming act that owns, services,
and maintains video gaming terminals for placement in licensed video
gaming locations in the Village.
USE AGREEMENT
A contractual agreement between a licensed terminal operator
and a licensed video gaming location establishing terms and conditions
for placement and operation of video gaming terminals by the licensed
terminal operator within the premises of the licensed video gaming
location.
VETERANS' ORGANIZATION
An organization or institution organized and conducted on
a not for profit basis with no personal profit inuring to anyone as
a result of the operation and that is exempt from federal income taxation
under Section 501(c)(19) of the internal revenue code [26 U.S.C. § 501(c)(19)].
VIDEO GAMING EQUIPMENT
Video gaming terminals, associated video gaming equipment
and major components or parts.
VIDEO GAMING OPERATION
As the context requires, means the conducting of video gaming
and all related activities.
VIDEO GAMING TERMINAL
Any electronic video game machine that, upon insertion of
cash, is available to play or simulate the play of a video game, including,
but not limited to, video poker, line up, and blackjack, as authorized
by the Illinois gaming board utilizing a video display and microprocessors
in which the player may receive free games or credits that can be
redeemed for cash. The term does not include a machine that directly
dispenses coins, cash, or tokens or is for amusement purposes only.
VIDEO GAMING TERMINAL LICENSE
Authorization granted by the Village permitting a licensed
terminal operator to operate a video gaming terminal in the Village.
VILLAGE
The Village of Elmwood Park, Illinois.
[Ord. 2013-20, 9-16-2013]
The liquor commissioner shall have jurisdiction, subject to
the jurisdiction of the Illinois gaming board, over and shall supervise
all video gaming operations in the Village governed by the video gaming
act, the regulations promulgated pursuant to the video gaming act
and this chapter. The liquor commissioner shall have all powers necessary
and proper to fully and effectively execute the provisions of this
chapter, including, but not limited to, the following:
(a) To investigate applicants and determine the eligibility of applicants
for location licenses and to select among competing applicants, the
applicants which best serve the interests of the Village.
(b) To have jurisdiction and supervision, subject to the jurisdiction
and supervision of the Illinois gaming board, over all video gaming
operations in the Village and all persons in establishments where
video gaming operations are conducted.
(c) To adopt rules for the purpose of administering the provisions of
this chapter and to prescribe rules, regulations, and conditions under
which all video gaming in the Village shall be conducted. Such rules
and regulations are to provide for the prevention of practices detrimental
to the public interest and for the best interests of video gaming,
including rules and regulations regarding: 1) the inspection of such
establishments and the review of any permits or licenses necessary
to operate an establishment under any laws or regulations applicable
to establishments and 2) to impose penalties for violations of this
chapter.
[Ord. 2013-20, 9-16-2013]
The liquor commissioner and the Village's officers, employees
and agents shall have unrestricted access to enter the premises or
motor vehicles of any licensee or applicant where evidence of compliance
or noncompliance with the provisions of the video gaming act, the
regulations promulgated under the video gaming act or this chapter
may be found.
[Ord. 2013-20, 9-16-2013]
In addition to all other duties and obligations required by
the video gaming act, the regulations promulgated under the video
gaming act or this chapter, each video gaming licensee and applicant
for licensure under this chapter has an ongoing duty to comply with
the following:
(a) Comply with all federal, state and local laws and regulations;
(b) At all times, conduct himself or herself in a professional manner
when communicating with the public, the Illinois gaming board, the
liquor commissioner and the Village;
(c) Disclose all ownership interest to the Illinois gaming board in accordance
with the video gaming act, the regulations promulgated under the video
gaming act or this chapter;
(d) Conduct the licensee's video gaming operation in a manner that does
not pose a threat to the public health, safety, morals, good order
or general welfare of the people of the state or the Village;
(e) Conduct the licensee's video gaming operation in a manner that does
not discredit or tend to discredit the Illinois gaming industry, the
state or the Village;
(f) Conduct the licensee's video gaming operation in a manner that does
not reflect adversely on the security or integrity of the Illinois
video gaming industry;
(g) Keep current in all payments and obligations to the state, the Village
and to other licensees with whom video gaming business is conducted;
(h) Identify to the Illinois gaming board and to the Village any individual
or entity acting on behalf of the licensee, for compensation, with
regard to Village action; and
(i) Notify the Illinois gaming board and the Village of any proposed
change in ownership or any transaction that requires approval of qualifications
in accordance with the video gaming act, the regulations promulgated
under the video gaming act or this chapter on forms supplied or approved
by the Illinois gaming board and the Village and containing such information
and documents as specified, and at such time as required, by the Illinois
gaming board or the liquor commissioner.
[Ord. 2013-20, 9-16-2013]
Licensees and applicants for licensure under this chapter and
persons with significant influence and control must promptly report
all of the following to the liquor commissioner or his or her designee:
(a) A violation of the video gaming act, the regulations promulgated
under the video gaming act, this chapter or any illegal conduct including,
but not limited to, the possession, maintenance, facilitation or use
of any illegal gaming device;
(b) Any fact, event, occurrence, matter or action that may affect the
conduct of video gaming or the business and financial arrangements
incidental to the conduct of video gaming, or the ability to conduct
the activities for which the licensee is licensed including, but not
limited to, any change in persons identified as having significant
influence or control;
(c) Each arrest, summons, citation or charge for any criminal offense
or violation, excluding minor traffic violations; and
(d) Any adverse action taken or nonrenewal relative to a liquor license.
[Ord. 2013-20,9-16-2013]
In addition to all other duties and obligations required by
the video gaming act, the regulations promulgated under the video
gaming act and this chapter, each licensed terminal operator has an
ongoing duty to comply with the following:
(a) Assume the primary responsibility for the operation and maintenance
of video gaming terminals and for payment of tax remittance to the
state of Illinois as required by the video gaming act and the payment
of the fees imposed by this chapter on licensed terminal operators;
(b) Maintain and provide, either directly or through a licensed manufacturer,
distributor, supplier or technician, an inventory of associated video
gaming equipment to ensure the timely repair and continued, approved
operation and play of the video gaming terminals it operates;
(c) Ensure the timely repair and continued, approved operation and play
of the video gaming terminals it operates;
(d) Assume responsibility for the payment of valid receipt tickets issued
by video gaming terminals it operates;
(e) Maintain at all times an approved method of payout for valid receipt
tickets and pay all valid receipt tickets;
(f) Assume responsibility for the video gaming terminal and associated
video gaming equipment malfunctions, including any claim for the payment
of credits arising from malfunctions;
(g) Promptly notify the Illinois gaming board of electronic or mechanical
malfunctions or problems experienced in a video gaming terminal that
affect the integrity of video gaming terminal play;
(h) Extend no form of deferred payment for video gaming terminal play
in which an individual receives something of value now and agrees
to repay the lender in the future for the purpose of wagering at a
video gaming terminal;
(i) Maintain a separate bank account for each licensed video gaming location
for deposit of aggregate revenues generated from the play of video
gaming terminals and allow for electronic fund transfers for tax payments;
(j) Enter into written use agreements with licensed video gaming locations
that comply with the video gaming act, the regulations promulgated
under the video gaming act and this chapter;
(k) Obtain and install, at no cost to the state or the Village and as
required by the Illinois gaming board, all hardware, software and
related accessories necessary to connect video gaming terminals to
a central communications system;
(l) Offer or provide nothing of value to any licensed video gaming location
or any agent or representative of any licensed video gaming location
as an incentive or inducement to locate, keep or maintain video gaming
terminals at the licensed video gaming location;
(m) Not own, manage or control a licensed video gaming location;
(n) Conduct advertising and promotional activities in accordance with
the video gaming act, the regulations promulgated under the video
gaming act and this chapter and in a manner that does not reflect
adversely on or that would discredit or tend to discredit the Illinois
gaming industry, the state or the Village;
(o) Respond to service calls within a reasonable time from the time of
notification by the video gaming location;
(p) Immediately remove all video gaming terminals from the restricted
area of play:
(1) Upon order of the Illinois gaming board, the Village, an agent of
the Illinois gaming board or an agent of the Village, or
(2) That have been out of service or otherwise inoperable for more than
72 hours;
(q) Provide the Illinois gaming board with a current list of video gaming
terminals acquired for use in the Village;
(r) Not install, remove or relocate any video gaming terminal in the
Village without notification and approval of the liquor commissioner
or his or her designee;
(s) Maintain a video gaming terminal access log for each video gaming
terminal, which must be kept inside the video gaming terminal at all
times, documenting all access to the video gaming terminal. The log
format shall provide for the time and date of access, the persons
who had access, the license number when applicable and the nature
of the service or repair made during the access; and
(t) Service, maintain or repair video gaming terminals at licensed video
gaming locations only by licensed technicians or licensed terminal
handlers.
[Ord. 2013-20, 9-16-2013]
In addition to all other duties and obligations required by
the video gaming act, the regulations promulgated under the video
gaming act and this chapter, each licensed video gaming location has
an ongoing duty to comply with the following:
(a) Provide a secure premises for the placement, operation and play of
video gaming terminals;
(b) Permit no one to tamper with or interfere with the approved operation
of any video gaming terminal;
(c) Ensure that all connections with the central communications system
and associated video gaming equipment are at all times maintained
and prevent any person from tampering or interfering with the approved,
continuing operation of the central communications system;
(d) Accept nothing of value from any video terminal operator or any agent
or representative of any video terminal operator as an incentive or
inducement to locate, keep or maintain video gaming terminals at the
licensed video gaming location;
(e) Conduct advertising and promotional activities in accordance with
the video gaming act, the regulations promulgated under the video
gaming act and this chapter and in a manner that does not reflect
adversely on or that would discredit or tend to discredit the Illinois
gaming industry, the state or the Village;
(f) Immediately remove all video gaming terminals from the restricted
area of play:
(1) Upon order of the Illinois gaming board, the Village, an agent of
the Illinois gaming board or an agent of the Village, or
(2) That have been out of service or otherwise inoperable for more than
72 hours;
(g) Enter into written use agreements with licensed video terminal operators
that comply with the video gaming act, the regulations promulgated
under the video gaming act and this chapter;
(h) Ensure that video gaming terminals are placed and remain in a designated,
approved location;
(i) Prevent access to or play of video gaming terminals by persons who
are under the age of 21 years or who are visibly intoxicated;
(j) Commit no violations of the laws of this state or the ordinances
of the Village concerning the sale, dispensing or consumption on premises
of alcoholic beverages that result in suspension or revocation of
any liquor license held by or associated with a licensed video gaming
location;
(k) Maintain at all times an approved method of payout for valid receipt
tickets and pay all valid receipt tickets;
(l) Extend no form of deferred payment for video gaming terminal play
in which an individual receives something of value now and agrees
to repay the lender in the future for the purpose of wagering at a
video gaming terminal;
(m) Promptly report all malfunctions of video gaming terminals and all
out of service terminals to the video terminal operator and promptly
notify the Illinois gaming board of a terminal operator's failure
to provide service and repair of video gaming terminals and associated
equipment within 24 hours after notice to the terminal operator;
(n) Install, post and display signs as required by the Illinois gaming
board;
(o) Promptly notify the Illinois gaming board and the liquor commissioner
of any unauthorized or illegal video gaming terminals or any video
gaming device that is in violation of Section 35 of the video gaming
act;
(p) Exercise control over the licensed video gaming location;
(q) Promptly notify the Illinois gaming board and the liquor commissioner
of any action taken on or related to any state liquor license held;
(r) Allow maintenance and/or service of video gaming terminals and associated
video gaming equipment only by licensed technicians and licensed terminal
handlers possessing valid identification issued by the Illinois gaming
board; and
(s) Redeem for cash a ticket, dispensed by a video gaming terminal, that
is within its redemption period.
[Ord. 2013-20, 9-16-2013]
In addition to the requirements set forth in the video gaming
act, the regulations promulgated under the video gaming act or this
chapter, a use agreement must satisfy the following:
(a) Only be between a licensed terminal operator and a licensed video
gaming location;
(b) Contain an affirmative statement that no inducement was offered or
accepted regarding the placement or operation of video gaming terminals
in a licensed video gaming location;
(c) Contain an indemnity and hold harmless provision on behalf of the
state, the Illinois gaming board, the Village and their officers,
employees and agents relative to any cause of action arising from
a use agreement;
(d) Prohibit any assignment other than from a licensed terminal operator
to another licensed terminal operator; and
(e) Contain a provision that releases the video gaming location from
any continuing contractual obligation to the terminal operator in
the event that the terminal operator has its license revoked or surrenders
its license.
[Ord. 2013-20, 9-16-2013]
A video gaming terminal may not directly dispense coins, cash,
tokens, or any other article of exchange or value except for receipt
tickets. Tickets shall be dispensed by pressing the ticket dispensing
button on the video gaming terminal at the end of one's turn or play.
The ticket shall indicate the total amount of credits and the cash
award, the time of day in a 24 hour format showing hours and minutes,
the date, the video gaming terminal serial number, the sequential
number of the ticket, and an encrypted validation number from which
the validity of the prize may be determined. The player shall turn
in this ticket to the appropriate person at the licensed video gaming
location to receive the cash award. The cost of the credit shall be
$0.01, $0.05, $0.10, or $0.25, and the maximum wager played per hand
shall not exceed $2. No cash award for the maximum wager on any individual
hand shall exceed $500.
[Ord. 2013-20, 9-16-2013; Ord. 2019-34, 7-1-2019]
(a) Terminal Operator. A person may not own, maintain, or place a video
gaming terminal in the Village unless he or she has a valid terminal
operator's state license issued under the video gaming act and a valid
Village video gaming terminal license for each video gaming terminal
in the Village. A terminal operator may only place video gaming terminals
for use in the Village in licensed video gaming locations. No terminal
operator may give anything of value, including, but not limited to,
a loan or financing arrangement, to a licensed video gaming location
as any incentive or inducement to locate video terminals in that establishment.
Of the after tax profits from a video gaming terminal, 50% shall be
paid to the terminal operator and 50% shall be paid to the licensed
video gaming location, notwithstanding any agreement to the contrary.
(b) Licensed Establishment. No video gaming terminal may be placed in
any licensed video gaming location in the Village unless the owner
or agent of the owner of the licensed video gaming location has a
valid state location license issued under the Video Gaming Act and
a valid Village location license and has entered into a written use
agreement with the terminal operator for placement of the terminals.
A copy of the use agreement shall be on file in the licensed video
gaming location in the Village and available for inspection by individuals
authorized by the Village. A licensed video gaming location located
in the Village may operate up to six video gaming terminals on its
premises at any time.
(c) Financial Interest Restrictions.
(1)
As used in the video gaming act and in this chapter, "substantial
interest" in a partnership, a corporation, an organization, an association,
a business, or a limited liability company means:
(A)
When, with respect to a sole proprietorship, an individual or
his or her spouse owns, operates, manages, or conducts, directly or
indirectly, the organization, association, or business, or any part
thereof; or
(B)
When, with respect to a partnership, the individual or his or
her spouse shares in any of the profits, or potential profits, of
the partnership activities; or
(C)
When, with respect to a corporation, an individual or his or
her spouse is an officer or director, or the individual or his or
her spouse is a holder, directly or beneficially, of 5% or more of
any class of stock of the corporation; or
(D)
When, with respect to an organization not covered in Subsection
(c)(1)(A), (c)(1)(B) or (c)(1)(C) of this section, an individual or
his or her spouse is an officer or manages the business affairs, or
the individual or his or her spouse is the owner of or otherwise controls
10% or more of the assets of the organization; or
(E)
When an individual or his or her spouse furnishes 5% or more
of the capital, whether in cash, goods, or services, for the operation
of any business, association, or organization during any calendar
year; or
(F)
When, with respect to a limited liability company, an individual
or his or her spouse is a member, or the individual or his or her
spouse is a holder, directly or beneficially, of 5% or more of the
membership interest of the limited liability company.
(2)
For purposes of this Subsection (c) individual includes all
individuals or their spouses whose combined interest would qualify
as a substantial interest under this Subsection (c) and whose activities
with respect to an organization, association, or business are so closely
aligned or coordinated as to constitute the activities of a single
entity.
(d) Location Restriction:
(1)
A licensed video gaming location that is: a) located within
1,000 feet of a facility operated by an organization licensee or an
intertrack wagering licensee licensed under the Illinois horse racing
act of 1975 or the home dock of a riverboat licensed under the riverboat
gambling act or b) located within 100 feet of a school or a place
of worship under the religious corporation act, is ineligible to operate
a video gaming terminal. The location restrictions in this Subsection
(d) do not apply if a facility operated by an organization licensee,
an intertrack wagering licensee, a school, or a place of worship moves
to or is established within the restricted area after a licensed video
gaming location becomes licensed under the video gaming act. For the
purposes of this Subsection (d), "school" means an elementary or secondary
public school, or an elementary or secondary private school registered
with or recognized by the state board of education.
(2)
Notwithstanding the provisions of this Subsection (d), the liquor
commissioner may waive the requirement that a licensed video gaming
location not be located within 1,000 feet from a facility operated
by an organization licensee or an intertrack wagering licensee licensed
under the Illinois horse racing act of 1975 or the home dock of a
riverboat licensed under the riverboat gambling act. The liquor commissioner
shall not grant such waiver if there is any common ownership or control,
shared business activity, or contractual arrangement of any type between
the establishment and the organization licensee, intertrack wagering
licensee, or owners licensee of a riverboat. The liquor commissioner
may adopt rules to implement the provisions of this Subsection (d)(2)
or in the absence of the liquor commissioner's adopting rules to implement
the provisions of this Subsection (d)(2), the rules of the Illinois
gaming board shall apply to implement the provisions of this Subsection
(d)(2).
(e) Undue Economic Concentration.
(1)
In addition to considering all other requirements under the
video gaming act and this chapter, in deciding whether to approve
the operation of video gaming terminals by a terminal operator in
a location, the liquor commissioner shall consider the impact of any
economic concentration of such operation of video gaming terminals.
The liquor commissioner shall not allow a terminal operator to operate
video gaming terminals if the liquor commissioner determines such
operation will result in undue economic concentration. For purposes
of this Subsection (e), "undue economic concentration" means that
a terminal operator would have such actual or potential influence
over video gaming terminals in the Village as to:
(A)
Substantially impede or suppress competition among terminal
operators;
(B)
Adversely impact the economic stability of the video gaming
industry in the Village; or
(C)
Negatively impact the purposes of the video gaming act or this
chapter.
(2)
The liquor commissioner may adopt rules concerning undue economic
concentration with respect to the operation of video gaming terminals
in the Village or in the absence of the Village's adopting rules concerning
undue economic concentration with respect to the operation of video
gaming terminals in the Village, the rules of the Illinois gaming
board shall apply to undue economic concentration with respect to
the operation of video gaming terminals in the Village. The rules,
if adopted by the liquor commissioner, shall include, but not be limited
to: a) limitations on the number of video gaming terminals operated
by any terminal operator within a defined geographic radius and b)
guidelines on the discontinuation of operation of any such video gaming
terminals the liquor commissioner determines will cause undue economic
concentration.
(f) Provisions of Illinois Antitrust Act. The provisions of the Illinois
antitrust act are fully and equally applicable to the activities of
any licensee under this chapter.
[Ord. 2013-20, 9-16-2013]
Each licensed terminal operator and person with a substantial
interest in a licensed terminal operator must be an Illinois resident.
However, if an out of state terminal operator has performed its business
within Illinois for at least 48 months prior to the effective date
of the video gaming act, the out of state person may be eligible for
licensing under this chapter, upon application to and approval of
the liquor commissioner. The liquor commissioner may adopt rules to
implement this section.
[Ord. 2013-20, 9-16-2013]
A video gaming terminal operator may not be licensed by the
state or the Village as a video gaming terminal manufacturer or distributor
or own, manage, or control a licensed video gaming location, and shall
be licensed only to contract with licensed distributors and licensed
video gaming locations. An owner or manager of a licensed video gaming
location may not be licensed by the state or the Village as a video
gaming terminal manufacturer, distributor, or operator, and shall
only contract with a licensed operator to place and service this equipment.
[Ord. 2013-20, 9-16-2013]
(a) Each video gaming terminal shall be licensed by the Illinois gaming
board and by the Village before placement or operation on the premises
of a licensed video gaming location in the Village. The state license,
the video gaming terminal license and the location license shall be
maintained at the location where the video gaming terminal license
is operated.
(b) Any terminal operator that possesses any video gaming terminal shall
have a registration tag issued by the Illinois gaming board and a
registration tag issued by the Village securely affixed on each such
video gaming terminal.
(c) Any video gaming terminal without a current registration tag shall be subject to seizure. Any agent of the Village may demand and gain access to any property relating to a licensed video gaming location or any location where video gaming terminals are stored, sold, distributed, or transported, and seize any video gaming terminal which does not bear a current registration tag or is operating in a manner that violates any provision of the Illinois gaming act or this chapter. Such video gaming terminals so seized shall be subject to confiscation and forfeiture. In the event the Village seizes video gaming terminals in accordance with this section, the Village shall notify the terminal operator of such seizure and of the terminal operator's right to a hearing under Section
57-18 of this chapter.
(d) The odds of winning each video game shall be posted on or near each
video gaming terminal. The manner in which the odds are calculated
and how they are posted shall be determined by the Illinois gaming
board by rule.
(e) No video gaming terminal licensed under this chapter may be played
except during the legal hours of operation allowed for the consumption
of alcoholic beverages at the licensed video gaming location. A licensed
video gaming location that violates this subsection is subject to
termination of its license by the liquor commissioner.
[Ord. 2013-20, 9-16-2013]
No licensee shall cause or permit any person under the age of
21 years to use or play a video gaming terminal.
[Ord. 2013-20, 9-16-2013]
The rules contained in this section and the subsections thereunder
shall govern qualifications for all types of video gaming licenses
issued by the Village pursuant to this chapter.
(a) Issuance of License.
(1)
The burden is upon each applicant to demonstrate his or her
suitability for licensure. Each video gaming terminal operator owning,
maintaining, or placing a video gaming terminal in a licensed video
gaming location located in the Village shall obtain a video gaming
terminal license from the liquor commissioner for each video gaming
terminal in a licensed video gaming location located in the Village.
Each operator of a licensed video gaming location located in the Village
where a video gaming terminal is maintained or placed shall obtain
a location license from the liquor commissioner. The liquor commissioner
may issue or deny a license under this chapter to any person pursuant
to the same criteria set forth in Section 9 of the Riverboat Gambling
Act.
(2)
The liquor commissioner shall not grant a license to a person who has facilitated, enabled, or participated in the use of coin operated devices for gambling purposes or who is under the significant influence or control of such a person. For the purposes of this subsection, "facilitated, enabled, or participated in the use of coin operated amusement devices for gambling purposes" means that the person has been convicted of any violation of Chapter
28 of the criminal code of 2012, 720 Illinois Compiled Statutes 5/28-1 et seq. If there is pending legal action against a person for any such violation, then the liquor commissioner shall delay the licensure of that person until the legal action is resolved.
(3)
Each person seeking and possessing a license as a video gaming
terminal operator or a licensed video gaming location shall submit
to a background investigation conducted by the Illinois gaming board
with the assistance of the state police or other law enforcement.
The background investigation shall include each beneficiary of a trust,
each partner of a partnership, and each director and officer and all
stockholders of 5% or more in a parent or subsidiary corporation of
a video gaming operator or a licensed video gaming location.
(4)
Each person seeking and possessing a license as a video gaming
terminal operator or a licensed video gaming location shall disclose
the identity of every person, association, trust, corporation, or
limited liability company having a greater than 1% direct or indirect
pecuniary interest in the video gaming terminal operation for which
the license is sought. If the disclosed entity is a trust, the application
shall disclose the names and addresses of the beneficiaries; if a
corporation, the names and addresses of all stockholders and directors;
if a limited liability company, the names and addresses of all members;
or if a partnership, the names and addresses of all partners, both
general and limited.
(5)
No person may be licensed as a video gaming terminal operator
or a licensed video gaming location if that person has been found
by the Illinois gaming board to:
(A)
Have a background, including a criminal record, reputation,
habits, social or business associations, or prior activities that
pose a threat to the public interests of the state or to the security
and integrity of video gaming;
(B)
Create or enhance the dangers of unsuitable, unfair, or illegal
practices, methods, and activities in the conduct of video gaming;
and
(C)
Present questionable business practices and financial arrangements
incidental to the conduct of video gaming activities.
(6)
Any applicant for any license under this chapter has the burden
of proving his or her qualifications to the satisfaction of the liquor
commissioner. The Village may adopt rules to establish additional
qualifications and requirements to preserve the integrity and security
of video gaming in the Village.
(b) Precondition For Licensed Location. In all cases of application for a licensed location, to operate a video gaming terminal, each licensed video gaming location shall possess a valid state license for a video gaming location, a valid liquor license issued by the Illinois liquor control commission and a valid local liquor license issued by the liquor commissioner in effect at the time of application and at all times thereafter during which a video gaming terminal is made available to the public for play at that location. Video gaming terminals in a licensed video gaming location within the Village shall be operated only during the same hours of operation generally permitted to holders of a license under the provisions of Chapter
4 of this Code adopted pursuant to the liquor control act of 1934.
(c) Insurance. Each terminal operator shall maintain liability insurance
on each video gaming terminal that it places in a licensed video gaming
location in an amount set by the Illinois gaming board.
(d) Minimum Requirements For Licensing And Registration. Every video
gaming terminal offered in the Village for play shall first be tested
and approved pursuant to the rules of the Illinois gaming board, and
each video gaming terminal offered in the Village for play shall conform
to an approved model. Every video gaming terminal offered in the Village
for play must meet minimum standards set by an independent outside
testing laboratory approved by the Illinois gaming board. Each approved
model shall, at a minimum, meet the following criteria:
(1)
It must conform to all requirements of federal law and regulations,
including FCC Class A emissions standards.
(2)
It must theoretically pay out a mathematically demonstrable
percentage during the expected lifetime of the machine of all amounts
played, which must not be less than 80%. The maximum payout percentage
for approved models shall conform to the requirements established
by the Illinois gaming board by rule. Video gaming terminals that
may be affected by skill must meet this standard when using a method
of play that will provide the greatest return to the player over a
period of continuous play.
(3)
It must use a random selection process to determine the outcome
of each play of a game. The random selection process must meet 99%
confidence limits using a standard chi-squared test for (randomness)
goodness of fit.
(4)
It must display an accurate representation of the game outcome.
(5)
It must not automatically alter pay tables or any function of
the video gaming terminal based on internal computation of hold percentage
or have any means of manipulation that affects the random selection
process or probabilities of winning a game.
(6)
It must not be adversely affected by static discharge or other
electromagnetic interference.
(7)
It must be capable of detecting and displaying the following
conditions during idle states or on demand: power reset; door open;
and door just closed.
(8)
It must have the capacity to display complete play history (outcome,
intermediate play steps, credits available, bets placed, credits paid,
and credits cashed out) for the most recent game played and 10 games
prior thereto.
(9)
The theoretical payback percentage of a video gaming terminal
must not be capable of being changed without making a hardware or
software change in the video gaming terminal, either on site or via
the central communications system.
(10)
Video gaming terminals must be designed so that replacement
of parts or modules required for normal maintenance does not necessitate
replacement of the electromechanical meters.
(11)
It must have nonresettable meters housed in a locked area of
the video gaming terminal that keep a permanent record of all cash
inserted into the machine, all winnings made by the video gaming terminal
printer, credits played in for video gaming terminals, and credits
won by video gaming players. The video gaming terminal must provide
the means for on demand display of stored information as determined
by the Illinois gaming board.
(12)
Electronically stored meter information required by Subsection
(d)(11) of this section must be preserved for a minimum of 180 days
after a power loss to the service.
(13)
It must have one or more mechanisms that accept cash in the
form of bills. The mechanisms shall be designed to prevent obtaining
credits without paying by stringing, slamming, drilling, or other
means. If such attempts at physical tampering are made, the video
gaming terminal shall suspend itself from operating until reset.
(14)
It shall have accounting software that keeps an electronic record
which includes, but is not limited to, the following: total cash inserted
into the video gaming terminal; the value of winning tickets claimed
by players; the total credits played; the total credits awarded by
a video gaming terminal; and payback percentage credited to players
of each video game.
(15)
It shall be linked by a central communications system to provide
auditing program information as approved by the Illinois gaming board.
The central communications system shall use a standard industry protocol,
as defined by the Gaming Standards Association, and shall have the
functionality to enable the Illinois gaming board or its designee
to activate or deactivate individual gaming devices from the central
communications system. In no event may the communications system approved
by the Illinois gaming board limit participation to only one manufacturer
of video gaming terminals by either the cost in implementing the necessary
program modifications to communicate or the inability to communicate
with the central communications system.
(16)
It shall display Amber Alert messages, should the Illinois gaming
board, in its discretion, require video gaming terminals to display
Amber Alert messages.
(17)
It shall comply with such rules which establish additional criteria
to preserve the integrity and security of video gaming as the Illinois
gaming board may adopt.
(e) Qualifications for Licensure.
(1)
Applicant Qualifications for Any Video Gaming License. In addition
to the qualifications required in the video gaming act, the regulations
promulgated under the video gaming act or this chapter, the liquor
commissioner may not grant any video gaming license until the liquor
commissioner is satisfied that the applicant is:
(A)
A person of good character, honesty and integrity;
(B)
A person whose background, including criminal record, reputation
and associations, is not injurious to the public health, safety, morals,
good order and general welfare of the people of the state or the Village;
(C)
A person whose background, including criminal record, reputation
and associations, does not discredit or tend to discredit the Illinois
gaming industry, the state or the Village;
(D)
A person whose background, including criminal record, reputation,
habits, social or business associations does not adversely affect
public confidence and trust in gaming or pose a threat to the public
interests of the state, the Village or to the security and integrity
of video gaming;
(E)
A person who does not create or enhance the dangers of unsuitable,
unfair or illegal practices, methods and activities in the conduct
of video gaming;
(F)
A person who does not present questionable business practices
and financial arrangements incidental to the conduct of video gaming
activities or otherwise;
(G)
A person who, either individually or through employees, demonstrates
business ability and experience to establish, operate and maintain
a business for the type of license for which application is made;
(H)
A person who does not associate with, either socially or in
business affairs, or employ persons of notorious or unsavory reputation
or who have extensive police records, or who have failed to cooperate
with any officially constituted investigatory or administrative body;
and
(I)
A person who has not had a gaming license revoked in any other
jurisdiction.
(2)
Applicant Qualifications for a Video Gaming Terminal License.
In addition to all other qualifications required in the video gaming
act, the regulations promulgated under the video gaming act or this
chapter, the liquor commissioner may not grant a video gaming terminal
license until the liquor commissioner is satisfied that the applicant:
(A)
Is a person who demonstrates adequate financing for the business
proposed. The liquor commissioner shall consider whether any financing
is from a source that meets the qualifications in Subsections (e)(1)(A)
through (e)(1)(I) of this section, and is in an amount sufficient
to ensure the likelihood of success in the performance of the licensee's
duties and responsibilities pursuant to the video gaming act, the
regulations promulgated under the video gaming act or this chapter;
and
(B)
Has disclosed all persons with significant influence or control
over the applicant or licensee.
(3)
Past Participation in Video Gaming.
(A)
The liquor commissioner shall not grant a license to a person
who has facilitated, enabled or participated in the use of coin operated
amusement devices for gambling purposes on or after December 16, 2009,
or who is under the significant influence or control of such a person.
(B)
The liquor commissioner has discretion not to grant a license
to a person who, before December 16, 2009, has facilitated, enabled
or participated in the use of coin operated amusement devices for
gambling purposes, or who is under the significant influence or control
of such a person.
(f) Persons with Significant Influence or Control.
(1)
The liquor commissioner shall identify each person that holds
a position or level of influence over or control in each applicant
or licensee that is significant to the regulatory concerns and obligations
of the liquor commissioner for the specified applicant or licensee.
(2)
Each person identified as a person with significant influence
or control shall comply with the following:
(A)
Cooperate fully with any investigation conducted by or on behalf
of the liquor commissioner;
(B)
Comply with the video gaming act, the regulations promulgated
under the video gaming act or this chapter; and
(C)
Submit initial and annual disclosure information on forms provided
by the Illinois gaming board and the Village.
(3)
Persons with significant influence or control include, but are
not limited to, the following:
(A)
Each person in whose name the liquor license is maintained for
each licensed video gaming location;
(B)
Each person who, in the opinion of the liquor commissioner,
has the ability to influence or control the activities of the applicant
or licensee or elect a majority of its board of directors, other than
a bank or other licensed lending institution that holds a mortgage
or other lien, or any other source of funds, acquired in the ordinary
course of business;
(C)
Persons having the power to exercise significant influence or
control over decisions concerning any part of the applicant's or licensee's
video gaming operation.
[Ord. 2013-20, 9-16-2013]
The rules contained in this section and the subsections thereunder
shall govern procedures for applying for, renewing and maintaining
all types of video gaming licenses issued by the Village pursuant
to this chapter.
(a) Applications.
(1)
Application Forms. Applications for licensure or renewal shall
be submitted on applications and forms provided by the Village.
(2)
Additional Materials. An applicant or its affiliate may be required
to submit forms or materials in addition to an application as required
by Subsection (a)(1) of this section.
(3)
Institutional Investor.
(A)
A business entity that qualifies as an institutional investor
may submit a video gaming institutional investor disclosure form in
lieu of a video gaming business entity disclosure form as instructed
in an application if the institutional investor:
(i)
Submits a video gaming institutional investor disclosure form
to the Illinois gaming board and the Village within 45 days after
the institutional investor individually or jointly with others cumulatively
acquires, directly or indirectly, 5% or more but less than 20% of
any class of publicly traded securities issued by a corporate applicant,
licensee, parent or subsidiary company of an applicant or licensee;
and
(ii) Holds or controls the publicly traded securities
issued by a corporate applicant, licensee, parent or subsidiary company
of an applicant or licensee in the ordinary course of business for
investment purposes only; and
(iii) Does not exercise or intend to exercise influence
or control over the affairs of the issuer of the publicly traded securities
issued by a corporate applicant, licensee, parent or subsidiary company
of an applicant or licensee or their affiliates.
(B)
An institutional investor's exercise in voting privileges on
matters put to the vote of the outstanding security holders shall
not be deemed the exercise or intent to exercise influence or control
over the affairs of the issuer of those securities.
(C)
If an institutional investor exempt from filing a video gaming
business entity disclosure form as allowed in Subsection (a)(3) (A)(iii)
of this section subsequently determines to exercise influence or control
over the affairs of the issuer of the publicly traded securities issued
by a corporate applicant, licensee, parent or subsidiary company of
an applicant or licensee or their affiliates, the institutional investor
shall provide not less than 30 days' notice of the intent and shall
file with the Illinois gaming board and the Village a video gaming
business entity disclosure form before taking any action that may
influence or control the affairs of the issuer of those securities
or their affiliates.
(D)
The video gaming institutional investor disclosure form shall
not be construed to preclude the Village from requiring an institutional
investor to submit a video gaming business entity disclosure form
if the Village determines that the submission is proper and in furtherance
of the act and this section.
(E)
An institutional investor exempt from filing a video gaming
business entity disclosure form as allowed in Subsection (a)(3) (A)(iii)
of this section shall certify in writing to be bound by and comply
with the video gaming act and this section.
(4)
Application Procedures.
(A)
An applicant is seeking a privilege and assumes and accepts
any and all risk of adverse publicity, notoriety, embarrassment, criticism
or other action, or financial loss that may occur in connection with
the application process.
(B)
Any misrepresentation or omission made with respect to an application
may be grounds for denial of the application.
(C)
Applications, forms, and requested materials shall be submitted
in triplicate and as required by the applications and instructions.
(D)
Individuals required to submit video gaming personal disclosure
forms shall be photographed and fingerprinted by the Illinois gaming
board.
(E)
An application shall be deemed filed when the completed application
form, including all required documents and materials, and the application
fee have been submitted.
(5)
Amendments and Incorporation by Reference.
(A)
An application may be amended with approval by the liquor commissioner.
(B)
The liquor commissioner may allow information, documents, or
other materials submitted by an applicant to be incorporated by reference
into a subsequent application.
(b) Submission of Application. All applications shall be submitted to
the liquor commissioner at the Village's offices.
(c) Application Fees. All applicants for a license issued by the Liquor Commissioner shall pay application fees as specified in Section
29-11 of this Code, as applicable, at the time of filing their application. Any fees imposed under the Video Gaming Act, this chapter or Section
29-11 of this Code shall be shared equally between any licensed terminal operator and any licensed video gaming location.
[Amended 3-7-2022 by Ord. No. 2022-07]
(d) Consideration of Applications. Only complete applications will be
considered for licensure. Applications are complete when the applicant
has submitted:
(1)
All information required by this chapter;
(2)
All information required or requested by the Village; and
(3)
Payment of the application fee.
(e) Withdrawal of Applications.
(1)
An application for licensure under this chapter may be withdrawn
unless the intended withdrawal is objected to by the liquor commissioner.
(2)
If an application for licensure is withdrawn, the applicant
may not reapply for a license within one year from the date withdrawal
is granted, without leave of the liquor commissioner.
(f) Issuance of License.
(1)
The liquor commissioner may only issue a license after the Illinois
gaming board background investigation is complete, the Illinois gaming
board determines the applicant is suitable for licensure, and the
applicant has filed a completed application and paid the required
application fee.
(2)
If an applicant is denied a license, the applicant may not reapply
for a license within one year from the date on which the final order
of denial was made.
(g) Renewal of License.
(1)
All licenses issued by the Village under this chapter shall
expire on April 30 and are renewable annually unless sooner canceled
or terminated. No license issued under this chapter is transferable
or assignable.
(2)
The liquor commissioner may only renew a license upon receipt
of a copy of the current state license, the applicable renewal fee
and any renewal forms provided by the liquor commissioner.
(3)
The liquor commissioner may only renew a license if the licensee
continues to meet all qualifications for licensure set forth in the
video gaming act, the regulations promulgated pursuant to the video
gaming act and this chapter.
(h) Renewal Fees and Dates. A licensee shall pay license fees annually, as specified in Section
29-11 of this Code, before May 1 of each year, as applicable. Any renewal fees imposed under this chapter or Section
29-11 of this Code shall be shared equally between any licensed terminal operator and any licensed video gaming location.
[Amended 3-7-2022 by Ord. No. 2022-07]
[Ord. 2013-20, 9-16-2013]
The rules contained in this section and the subsections thereunder
shall govern all hearings requested upon issuance of a notice of denial
of an application for licensure. Hearings under this section and the
divisions thereunder are de novo proceedings for the creation of a
record regarding an applicant's suitability for licensure. A hearing
under this section and the subsections thereunder is not an appeal
of the liquor commissioner's action.
(a) Requests for Hearing.
(1)
If the liquor commissioner finds that an applicant is not suitable
for licensure, the liquor commissioner shall issue the applicant a
notice of denial.
(2)
The liquor commissioner shall serve notice on the applicant
by personal service or U.S. certified mail and U.S. mail to the last
known address of the applicant. Service is complete four days after
mailing.
(3)
Should an applicant wish to contest the action the liquor commissioner
has taken regarding his or her application, the applicant must submit
a request for hearing to the liquor commissioner.
(4)
All requests for hearing shall be in writing and shall include
an original and one copy. The request shall contain the following:
(A)
The name, current address and current telephone number of the
applicant;
(B)
Detailed reasons why and the facts upon which the applicant
will rely to show that the applicant is suitable for licensure, including
specific responses to any facts enumerated in the Illinois gaming
board's notice of denial; and
(C)
A signature of the applicant.
(D)
A verification of the request for hearing in the following form:
The undersigned certifies that the statements set forth in this
request are true and correct, except as to matters therein stated
to be on information and belief and as to such matters the undersigned
certifies as aforesaid that he/she verily believes the same to be
true.
(E)
The request must be notarized.
(F)
A deposit of $500 to secure the attendance of a stenographer
at the hearing to record the proceedings. Following the conclusion
of the hearing, the Village shall either refund to the applicant any
portion of the deposit that exceeds the cost of the stenographer to
record the proceedings or shall invoice the applicant for the amount
of the cost of the stenographer to record the proceedings that exceeds
the deposit.
(5)
A request for hearing must be made within 10 days after receipt
of notice of denial from the liquor commissioner. A request shall
be deemed filed on the date on which it is postmarked.
(6)
If a request for hearing is not filed within 10 days after the
receipt of notice from the liquor commissioner, then the notice of
denial becomes the final order of the liquor commissioner denying
the applicant's license application.
(7)
A request for hearing shall be deemed granted unless denied.
The liquor commissioner may deny a request for hearing if the statement
of the reasons and facts that it contains does not establish a prima
facie case or fails to comply with any of the other requirements of
this section. The liquor commissioner's denial of a request for hearing
is a final decision, and the denial of licensure becomes a final order
on the date the liquor commissioner denies the request for hearing.
(8)
A request for hearing may not be withdrawn or voluntarily dismissed
if the liquor commissioner determines that withdrawal or voluntary
dismissal is not in the best interests of the public and the video
gaming industry in the Village. If the liquor commissioner allows
an applicant to withdraw a hearing request, the initial notice of
denial becomes a final liquor commissioner order on the date leave
to withdraw is granted. If the applicant does not prosecute his or
her case after 21 days, the liquor commissioner may enter a default
judgment against the applicant. Failure to prosecute shall result
in entry of default judgment against the applicant.
(9)
The applicant may submit a request for hearing by:
(B)
Certified mail, postage prepaid; or
(C)
Overnight express mail, postage prepaid.
(10)
All requests for hearing must be submitted to the liquor commissioner
at the Village's offices.
(11)
If a request is granted, the liquor commissioner shall conduct
a hearing.
(b) Appearances.
(1)
All applicants may be represented by an attorney who is licensed
to practice in Illinois. All attorneys who appear in a representative
capacity on behalf of an applicant must file a written appearance
setting forth:
(A)
The name, address and telephone number of the attorney;
(B)
The name and address of the applicant the attorney represents;
and
(C)
An affirmative statement that the attorney is licensed to practice
in Illinois.
(2)
Only individual attorneys may file appearances. Any applicant's
attorney who has not filed an appearance may not address the liquor
commissioner or sign pleadings.
(3)
An attorney may only withdraw his or her appearance upon written
notice to the liquor commissioner.
(4)
An individual may appear on his or her own behalf.
(5)
A partner may appear on behalf of a partnership.
(6)
A corporation and a limited liability company must be represented
by an attorney.
(7)
The Village will be represented by its corporation counsel.
(8)
The liquor commissioner may, but shall not be required to, appoint
an attorney admitted to the practice of law by, and in good standing
with, the Illinois supreme court to advise the liquor commissioner
on conducting the hearing in accordance with this section.
(c) Discovery.
(1)
Upon written request served on the opposing party, a party shall
be entitled to:
(A)
The name and address of any witness who may be reasonably expected
to testify on behalf of the opposing party;
(B)
All documents or other materials in the possession or control
of the opposing party that the opposing party reasonably expects will
be necessary to introduce into evidence. The applicant's burden of
production includes those documents the applicant reasonably expects
to introduce into evidence either in his, her or its case in chief
or in rebuttal. Rebuttal documents, to the extent that they are not
immediately identifiable, shall be tendered to the Village unless
additional time is granted by the liquor commissioner.
(2)
Discovery may be obtained only through written requests to produce
witness lists, documents or other materials, as specified in Subsection
(c)(1) of this section. Witnesses and documents responsive to a proper
request for production that were not produced shall be excluded from
the hearing and additional sanctions or penalties may be imposed.
(d) Subpoenas.
(1)
Subpoenas for the attendance of witnesses at hearing may be
served by a party only upon application to the liquor commissioner.
(A)
The applicant must show good cause, state the testimony to be
elicited from a witness, state why the evidence to which the testimony
relates cannot otherwise be obtained, and state the reasons why the
testimony is necessary and relevant.
(B)
An agent or employee of the Village may not be required by the
applicant to appear except under the procedures provided in this section.
(2)
The liquor commissioner may issue subpoenas for the attendance
of witnesses or subpoenas duces tecum for the production of relevant
documents, records or other material at a proceeding conducted under
this chapter.
(e) Proceedings.
(1)
The burden of proof is at all times on the applicant. The applicant
shall have the affirmative responsibility of establishing by clear
and convincing evidence that the applicant is suitable for licensing
or that enforcement of a security interest is warranted.
(2)
All testimony shall be given under oath or affirmation.
(3)
All testimony and oral proceedings shall be recorded stenographically
or by such other means as to adequately ensure the preservation of
such testimony or oral proceedings and shall be transcribed on request
of any party. The stenographer or such other means as to adequately
ensure the preservation of such testimony or oral proceedings shall
be arranged by the Village. The cost of the stenographer or such other
means as to adequately ensure the preservation of such testimony or
oral proceedings shall be paid by the applicant. The transcript shall
be paid for by the requesting party.
(4)
Both parties may present opening statements. The applicant shall
proceed first, followed by the Village.
(5)
The applicant shall then present his or her case in chief.
(6)
Upon the conclusion of the applicant's case in chief, the Village
may move for a directed finding. The liquor commissioner may hear
arguments on the motion or may grant, deny or reserve decision, without
argument.
(7)
If no motion for directed finding is made, or if the motion
is denied or decision reserved, the Village may present its case.
(8)
Upon the conclusion of the Village's case, the applicant may
present evidence in rebuttal.
(9)
Each party may conduct cross examination of adverse witnesses.
(10)
Both parties may present closing arguments. The applicant shall
proceed first, followed by the Village, and thereafter the applicant
may present rebuttal argument.
(f) Evidence.
(1)
The hearing need not be conducted according to the technical
rules of evidence. Any relevant evidence may be admitted and shall
be sufficient in itself to support a finding if it is the sort of
evidence on which responsible persons are accustomed to rely in the
conduct of serious affairs, regardless of the existence of any common
law or statute that might make improper the admission of evidence
over objection in a civil action. Hearsay may support a finding of
the liquor commissioner if it is the best evidence available, has
sufficient indicia of trustworthiness and reliability and is of the
type reasonably and customarily relied on in the video gaming industry.
(A)
If relevant and not precluded from the hearing by Section 6(d)
of the Riverboat Gambling Act relating to all licensed applicants, official Illinois
gaming board records or certified copies of the records shall be admissible
into evidence.
(B)
Official Illinois gaming board records are documents either
prepared by or provided to the Illinois gaming board for the purpose
of conducting its regular business.
(C)
If relevant and not precluded from the hearing by a statute,
regulation or ordinance, official Village records or certified copies
of the records shall be admissible into evidence.
(D)
Official Village records are documents either prepared by or
provided to the Village for the purpose of conducting its regular
business.
(E)
An applicant must afford the Village an opportunity to investigate
and verify information that the applicant intends to offer in support
of his or her case. The applicant shall not be permitted to introduce
into evidence any information that the Village has not been afforded
the opportunity to investigate and verify.
(2)
The parties should, to the fullest extent possible, stipulate
to all matters that are not or fairly should not be in dispute.
(3)
The parties may make objections to evidentiary offers. When
an objection is made, the liquor commissioner may receive the disputed
evidence subject to a ruling at a later time.
(4)
The liquor commissioner may take official notice of any generally
accepted information or technical or scientific matter within the
field of video gaming, and any other fact that may be judicially noticed
by courts of this state. The parties shall be informed of any information,
matter or facts so noticed, including any Village staff memoranda
or data, and shall be given reasonable opportunity to refute that
information.
(g) Prohibition on Ex Parte Communication. Once a hearing is commenced,
no applicant or its representative shall communicate directly or indirectly
with the liquor commissioner regarding any pending denial, except
upon notice to and opportunity for all parties to participate.
(h) Sanctions and Penalties.
(1)
The liquor commissioner may impose sanctions and penalties if
the liquor commissioner finds that a party has acted in bad faith,
for the purpose of delay, or has otherwise abused the hearing process.
Sanctions and penalties include, but are not limited to, default judgment
or directed finding on one or more issues.
(2)
If an applicant fails to testify on his or her own behalf with
respect to any question propounded to him or her, the liquor commissioner
may infer that such testimony or answer would have been adverse to
the petitioner's case.
(3)
Failure of an applicant to appear at a hearing or scheduled
proceeding shall constitute an admission of all matters and facts
contained in the notice of denial. In such cases the liquor commissioner
may take action based upon that admission or upon any other evidence,
including affidavits, without any further notice to the applicant.
(i) Hearing Record and Order.
(1)
The record shall consist of the following:
(A)
The notice of denial, the request for hearing and all motions
and rulings;
(C)
A statement of matters officially noticed; and
(D)
Offers of proof, objections and rulings.
(2)
Upon conclusion of the hearing the liquor commissioner shall
review the entire record and shall render a written order including
written findings of fact and conclusions of law on which the liquor
commissioner's decision is based. The findings of fact shall be based
exclusively on the evidence and on matters officially noticed.
(3)
Copies of the liquor commissioner's final order shall be served
on the applicant by personal delivery, certified mail or overnight
express mail to applicant's last known address.
(4)
The liquor commissioner's final order shall become effective
upon personal delivery to the applicant or upon posting by certified
or overnight express mail to applicant's last known address.
(j) Status of Applicant for Licensure Upon Filing Request for Hearing.
An applicant who has been denied a license and who has requested a
hearing under this subsection shall be considered an applicant for
purposes of compliance with applicable statutory provisions and this
section until final resolution of the request for hearing.
[Ord. 2013-20, 9-16-2013]
The rules contained in this section and the subsections thereunder
shall govern all disciplinary actions against licensees including,
but not limited to, suspension and revocation of a license.
(a) Grounds for Disciplinary Actions.
(1)
Holders of any license issued under this chapter and identified
persons with significant influence or control shall be subject to
imposition of fines, suspension, revocation or restriction of license,
or other disciplinary action for any act or failure to act by themselves
or by their agents or employees that violates any provision of this
chapter, is injurious to the public health, safety, morals, good order
and general welfare of the people of the state or the Village, or
that would discredit or tend to discredit the Illinois video gaming
industry, the state or the Village. Without limiting the provisions
of this Subsection (a)(1), the following acts or omissions may be
grounds for discipline:
(A)
Failing to comply with or make provision for compliance with
the video gaming act, the regulations promulgated under the video
gaming act and this chapter, any federal, state or local law or regulation,
or a control system or protocol mandated by the Illinois gaming board
or the Village;
(B)
Failing to comply with any order or ruling of the Illinois gaming
board or its agents pertaining to the regulation of video gaming in
the state;
(C)
Failing to comply with any order or ruling of the liquor commissioner
or the Village's officers, employees or agents pertaining to the regulation
of video gaming in the Village;
(D)
Receiving goods or services from a licensee or other person
in violation of the video gaming act's or this chapter's licensing
requirements, or in violation of any restriction, condition or prohibition
of a license;
(E)
Being suspended or ruled ineligible or having a license revoked
or suspended by the Illinois gaming board, the Village or in any state
or gaming or video gaming jurisdiction;
(F)
Employing, associating with, or participating in any enterprise
or business with a documented or identifiable organized crime group
or recognized organized crime figure;
(G)
Employing, associating with, or participating in any enterprise
or business with persons of notorious or unsavory reputation or who
have extensive police records, or who have failed to cooperate with
any officially constituted investigatory or administrative body;
(H)
Failing to establish and maintain standards and procedures designed
to prevent ineligible or unsuitable persons from being employed by
the licensee, including any person known to have been found guilty
of cheating or using any improper device in connection with any game
or gaming device regulated under the video gaming act or under the
law of any gaming jurisdiction;
(I)
Misrepresenting any information to the Illinois gaming board,
the liquor commissioner or the Village;
(J)
Intentionally making, causing to be made, or aiding, assisting,
or procuring another to make any false statement in any report, disclosure,
application, permit, form, or any other document, including improperly
notarized documents, required by the video gaming act, the regulations
promulgated under the video gaming act or this chapter;
(K)
Submitting tardy, inaccurate, or incomplete material or information
to the liquor commissioner;
(L)
Obstructing or impeding the lawful activities of the Illinois
gaming board or its agents, the liquor commissioner or the Village's
officers, employees or agents;
(M)
Wilfully or repeatedly failing to pay amounts due or to be remitted
to the state or the Village;
(N)
Failing to timely pay amounts due or to be remitted to the state
or the Village;
(O)
Failing to timely pay a fine imposed by the Illinois gaming
board or the Village;
(P)
Failing to respond in a timely manner to communications from
the Illinois gaming board or the Village;
(Q)
Being unavailable to the Illinois gaming board, the Village
or their representatives or agents;
(R)
Aiding and abetting a violation by an Illinois gaming board
member, Village official or employee, or other government official,
of a requirement established by statute, resolution, ordinance, personnel
code or code of conduct;
(S)
Violation of the video gaming act, the regulations promulgated
under the video gaming act or this chapter by any person identified
as a person with significant influence or control;
(T)
Employing, associating with, or participating in any enterprise
or business with a person determined unsuitable to be a person with
significant influence or control over an applicant or licensee by
the Illinois gaming board, the liquor commissioner or any other gaming
jurisdiction;
(U)
Facilitating, enabling or participating in the use of coin operated
amusement devices for gambling purposes on or after December 16, 2009;
(V)
Engaging in, or facilitating, any unfair methods of competition
or unfair or deceptive acts or practices, including, but not limited
to, the use or employment of any deception, fraud, false pretense,
false promise or misrepresentation, or the concealment, suppression
or omission of any material fact in the conduct of any video gaming
operation;
(W)
Failing to maintain minimum qualifications for licensure; and
(X)
Any cause that, if known by the liquor commissioner, would have
disqualified the applicant from receiving a license.
(2)
A licensee whose employment has been terminated is subject to
revocation of license for any act or failure to act that occurred
while licensed.
(3)
A person who has had his or her license revoked by the liquor
commissioner may not reapply for a license without permission from
the liquor commissioner.
(b) Notice of Proposed Disciplinary Action Against Licensees.
(1)
When notified of facts sufficient to support disciplinary action
against a licensee or a person with significant influence or control,
the liquor commissioner shall immediately notify the licensee of the
proposed disciplinary action. The notice shall advise the licensee
of the following:
(A)
A statement of the facts supporting the proposed disciplinary
action;
(B)
A description of the rule or statutory section the licensee
has violated;
(C)
A statement or description of the matters asserted and the consequences
of the failure to respond; and
(D)
The name and mailing address of the Village.
(2)
The liquor commissioner shall serve the notice of proposed disciplinary
action on the licensee by personal service or U.S. certified mail
or U.S. regular mail to the last known address of the licensee. Service
is complete four days after mailing.
(c) Hearings in Disciplinary Actions.
(1)
Should a licensee wish to contest the proposed disciplinary
action, the licensee must submit a response to the notice of proposed
disciplinary action described in Subsection (b) of this section to
the liquor commissioner.
(2)
All responses shall be in writing and shall include an original
and one copy. The response shall contain the following:
(A)
The name, current address and current telephone number of the
licensee.
(B)
A clear and concise statement admitting or denying each of the
factual allegations set forth in the notice of proposed disciplinary
action, with each admission or denial being shown in separately numbered
paragraphs corresponding to the separately numbered paragraphs in
the notice of proposed disciplinary action.
(C)
For all factual allegations that the licensee denies, a clear
and concise statement of facts upon which the licensee relies or will
rely on at a hearing.
(D)
A signature of the licensee.
(E)
A verification of the licensee in the following form:
The undersigned certifies that the statements set forth in this
request are true and correct, except as to matters therein stated
to be on information and belief and as to such matters the undersigned
certifies as aforesaid that he or she verily believes the same to
be true.
(F)
The response must be notarized.
(G)
A deposit of $500 to secure the attendance of a stenographer
at the hearing to record the proceedings. Following the conclusion
of the hearing, the Village shall either refund to the licensee any
portion of the deposit that exceeds the cost of the stenographer to
record the proceedings or shall invoice the licensee for the amount
of the cost of the stenographer to record the proceedings that exceeds
the deposit.
(3)
The response must be filed within 21 days after receipt of the
notice of proposed disciplinary action. A response shall be deemed
filed on the date on which it is postmarked.
(4)
If a response is not filed within 21 days after receipt of the
notice of proposed disciplinary action then the proposed disciplinary
action becomes effective and final immediately.
(5)
No response shall be deemed filed if it fails to comply with
any of the requirements of this section.
(6)
The licensee may submit a response by:
(B)
Certified mail, postage prepaid; or
(C)
Overnight express mail, postage prepaid.
(7)
All responses must be submitted to the liquor commissioner at
the Village's offices.
(8)
If a response is properly filed, the liquor commissioner will
conduct a hearing.
(d) Appearances.
(1)
All licensees may be represented by an attorney who is licensed
to practice in Illinois. All attorneys who appear in a representative
capacity on behalf of a licensee must file a written appearance setting
forth:
(A)
The name, address and telephone number of the attorney;
(B)
The name and address of the licensee the attorney represents;
and
(C)
An affirmative statement that the attorney is licensed to practice
in Illinois.
(2)
Only individual attorneys may file appearances. Any licensee's
attorney who has not filed an appearance may not address the liquor
commissioner or sign pleadings.
(3)
An attorney may only withdraw his or her appearance upon written
notice to the liquor commissioner.
(4)
An individual may appear on his or her own behalf.
(5)
A partner may appear on behalf of a partnership.
(6)
A corporation and a limited liability company must be represented
by an attorney.
(7)
The Village will be represented by its corporation counsel.
(8)
The liquor commissioner may, but shall not be required to, appoint
an attorney admitted to the practice of law by, and in good standing
with, the Illinois supreme court to advise the liquor commissioner
on conducting the hearing in accordance with this section.
(e) Discovery.
(1)
Upon written request served on the opposing party, a party shall
be entitled to:
(A)
The name and address of any witness who may be reasonably expected
to testify on behalf of the opposing party;
(B)
All documents or other materials in the possession or control
of the opposing party that the opposing party reasonably expects will
be necessary to introduce into evidence. The licensee's burden of
production includes those documents the licensee reasonably expects
to introduce into evidence either in his or her case in chief or in
rebuttal. Rebuttal documents, to the extent that they are not immediately
identifiable, shall be tendered to the liquor commissioner within
14 days after receipt of documents tendered to licensee by the liquor
commissioner unless additional time is granted by the liquor commissioner.
(2)
Discovery may be obtained only through written requests to produce
witness lists, documents or other materials, as specified in Subsection
(e)(1) of this section. Witnesses and documents responsive to a proper
request for production that were not produced shall be excluded from
the hearing and additional sanctions or penalties may be imposed.
(f) Subpoenas.
(1)
Subpoenas for the attendance of witnesses at hearing may be
served by the licensee only upon application to the liquor commissioner.
(A)
The licensee must show good cause, state the testimony to be
elicited from a witness, state why the evidence to which the testimony
relates cannot otherwise be obtained, and state the reasons why the
testimony is necessary and relevant.
(B)
An agent or employee of the Illinois gaming board or the Village
may not be required by the licensee to appear except under the procedures
provided in this section.
(2)
The liquor commissioner may issue subpoenas for the attendance
of witnesses or subpoenas duces tecum for the production of relevant
documents, records or other material at a disciplinary proceeding
conducted under this chapter.
(g) Proceedings.
(1)
The Village shall establish the charges contained in the notice
of proposed disciplinary action by a preponderance of the evidence.
(2)
All testimony shall be given under oath or affirmation.
(3)
All testimony and oral proceedings shall be recorded stenographically
or by such other means as to adequately ensure the preservation of
such testimony or oral proceedings and shall be transcribed on request
of any party. The stenographer or such other means as to adequately
ensure the preservation of such testimony or oral proceedings shall
be arranged by the Village. The cost of the stenographer or such other
means as to adequately ensure the preservation of such testimony or
oral proceedings shall be paid by the licensee. The transcript shall
be paid for by the requesting party.
(4)
Both parties may present opening statements. The Village will
proceed first, followed by the licensee.
(5)
The Village shall then present its case.
(6)
Upon the conclusion of the Village's case, the licensee may
move for a directed finding. The liquor commissioner may hear arguments
on the motion or may grant, deny or reserve decision on the motion,
without argument.
(7)
If no motion for directed finding is made, or if such motion
is denied or decision reserved, the licensee may present its case.
(8)
Upon the conclusion of the licensee's case, the Village may
present evidence in rebuttal.
(9)
Each party may conduct cross examination of adverse witnesses.
(10)
Both parties may present closing arguments. The Village proceeds
first, then the licensee, and thereafter the Village may present rebuttal
argument.
(h) Evidence.
(1)
The hearing need not be conducted according to the technical
rules of evidence. Any relevant evidence may be admitted and shall
be sufficient in itself to support a finding if it is the sort of
evidence on which responsible persons are accustomed to rely in the
conduct of serious affairs, regardless of the existence of any common
law or statute that might make improper the admission of evidence
over objection in a civil action. Hearsay may support a finding of
the liquor commissioner if it is the best evidence available, has
sufficient indicia of trustworthiness and reliability and is of the
type reasonably and customarily relied on in the gaming industry.
(A)
If relevant, and not precluded from the hearing by Section 6(d)
of the Riverboat Gambling Act relating to all licensed applicants, the official Illinois
gaming board records or certified copies of the records shall be admissible
into evidence if the records tend to prove or disprove an allegation
contained in the complaint.
(B)
Official Illinois gaming board records are documents either
prepared by or provided to the Illinois gaming board for the purpose
of conducting its regular business.
(C)
If relevant and not precluded from the hearing by a statute,
regulation or ordinance, official Village records or certified copies
of the records shall be admissible into evidence.
(D)
Official Village records are documents either prepared by or
provided to the Village for the purpose of conducting its regular
business.
(2)
The parties should, to the fullest extent possible, stipulate
to all matters that are not or fairly should not be in dispute.
(3)
The parties may make objections to evidentiary offers. When
an objection is made, the liquor commissioner may receive the disputed
evidence subject to a ruling at a later time.
(4)
The liquor commissioner may take official notice of any generally
accepted information or technical or scientific matter within the
field of video gaming, and any other fact that may be judicially noticed
by courts of this state. The parties shall be informed of any information,
matter or facts so noticed, including any Village staff memoranda
or data, and shall be given reasonable opportunity to refute that
information.
(i) Prohibition on Ex Parte Communication. No licensee or its representative
shall communicate directly or indirectly with the liquor commissioner
regarding any pending disciplinary matter, except upon notice to and
opportunity for all parties to participate.
(j) Sanctions and Penalties.
(1)
The liquor commissioner may impose sanctions and penalties if
the liquor commissioner finds that a party has acted in bad faith,
for the purpose of delay, or has otherwise abused the hearing process.
Such sanctions and penalties include, but are not limited to, default
judgment or directed finding on one or more issues.
(2)
If a licensee fails to testify on his or her own behalf with
respect to any question propounded to him or her, the liquor commissioner
may infer that such testimony or answer would have been adverse to
the licensee's case.
(3)
Failure of a licensee to appear at a hearing or scheduled proceeding
shall constitute an admission of all matters and facts contained in
the complaint. In such cases the liquor commissioner may take action
based upon that admission or upon any other evidence, including affidavits,
without any further notice to the licensee.
(k) Hearing Record and Order.
(1)
The record shall consist of the following:
(A)
The notice of denial, the request for hearing and all motions
and rulings;
(C)
A statement of matters officially noticed; and
(D)
Offers of proof, objections and rulings.
(2)
Upon conclusion of the hearing the liquor commissioner shall
review the entire record and shall render a written order including
written findings of fact and conclusions of law on which the liquor
commissioner's decision is based. The findings of fact shall be based
exclusively on the evidence and on matters officially noticed.
(3)
Copies of the liquor commissioner's final order shall be served
on the licensee by personal delivery, certified mail or overnight
express mail to licensee's last known address.
(4)
The liquor commissioner's final order shall become effective
upon personal delivery to the licensee or upon posting by certified
or overnight express mail to applicant's last known address.
(l) Penalties.
(1)
The liquor commissioner may impose fines, suspend, revoke or
restrict any license issued under this chapter or impose other disciplinary
action for any act or failure to act by the licensee or by the licensee's
agents or employees that violates any provision of the video gaming
act or the regulations promulgated under the video gaming act or this
chapter.
(2)
Failure to maintain the state license, the video gaming terminal
license of each video gaming terminal or the location license at the
location where the video gaming terminal is operated shall be subject
to a fine not to exceed $100.
(3)
Any licensee who knowingly permits a person under the age of
21 years to use or play a video gaming terminal shall be subject to
a fine of not more than $750.
(4)
Any licensed video gaming location in the Village used for the
conduct of gambling games in violation of this chapter shall be subject
to a fine of not more than $750.
(5)
Any person, firm, corporation, partnership, limited liability
company, or other entity recognized in law who violates any provision
of this chapter for which another penalty is not specifically provided
shall be subject to a fine of not less than $75 nor more than $750.
Each and every day that a violation occurs or exists shall constitute
a separate and distinct offense for which a fine may be imposed. In
addition to the penalties provided herein, the Village shall have
available to it all remedies in law or in equity or as may be otherwise
provided for by the ordinances of the Village.
(6)
Every gambling device found in a licensed video gaming location
in the Village operating gambling games in violation of this chapter
shall be subject to seizure and confiscation, and shall be turned
over to the Illinois gaming board as provided in Section 1800.1110
of the Illinois administrative code.
(7)
Any Village liquor license issued by the liquor commissioner under the provisions of Section
4-4 of this Code to any operator of a licensed video gaming location that operates or permits the operation of a video gaming terminal within its establishment in violation of this chapter shall be immediately revoked.
[Ord. 2013-20, 9-16-2013]
Video gaming terminals must be located in an area restricted
to persons over 21 years of age the entrance to which is within the
view of at least one employee, who is over 21 years of age, of the
establishment in which they are located. The placement of video gaming
terminals in licensed video gaming locations shall be subject to the
rules promulgated by the Illinois gaming board and this section.
(a) All licensed video gaming locations and terminal operators shall
be responsible for the proper placement, installation, maintenance
and oversight of video gaming terminals within a licensed video gaming
location as prescribed by the video gaming act, the regulations issued
pursuant thereto and this chapter.
(b) All video gaming terminals must be located in an area restricted
to persons over 21 years of age. Any licensed video gaming location
that allows minors to enter where video gaming terminals are located
shall separate any video gaming terminals from the area accessible
by minors.
(c) When two or more adjacent businesses appear to the liquor commissioner
to be a single business, or are operated by the same or commingled
ownership, then the liquor commissioner may limit those businesses
to the maximum number of video gaming terminals. The maximum will
be the number permitted under Illinois law for one business as the
total number of video gaming terminals authorized for both or more
such businesses, where the Liquor Commissioner determines that the
limitation would further the intent of the Video Gaming Act and the
integrity of video gaming in the Village.
(1)
In the event the Liquor Commissioner decides that two or more adjacent businesses shall be a single business for purposes of determining the maximum number of video gaming terminals to which they are entitled, the Liquor Commissioner shall provide the affected businesses with written notice of this decision in accordance with the notice requirements of subsection
57-17(a) (2) of this chapter.
(2)
An applicant that has been deemed to constitute a single business with one or more adjacent businesses for purposes of determining the maximum number of video gaming terminals to which it is entitled may submit a request for hearing to the Liquor Commissioner. The hearing procedures shall be those set forth in Section
57-17 of this chapter.
(d) The owner, manager or employee of the licensed video gaming location
who is over 21 years of age shall be present during all hours of operation,
and the video gaming terminals or the entrance to the video gaming
terminal area must be within the view of at least one owner, manager
or employee.
[Ord. 2013-20, 9-16-2013]
Video gaming terminals shall be disposed of only pursuant to
the regulations of the Illinois Gaming Board as set forth in Section
1800.1070 of the Illinois Administrative Code.
[Ord. 2013-20, 9-16-2013]
(a) Whenever the Village takes any action authorizing or prohibiting
the licensing operation, or use of video gaming terminals in the Village
it shall notify the Illinois Gaming Board of such action.
(b) Whenever the Village or the Liquor Commissioner takes action relating
to the operation or use of a video gaming terminal in the Village,
whether licensed or unlicensed, the Illinois Gaming Board shall be
notified and the notice shall specify the extent of the action taken
and the reasons for the action. The Village and the Liquor Commissioner
shall thereupon take whatever action is necessary under the Act. If
the Village confiscated video gaming terminals or terminal income,
the Village shall, as soon as practicable under the circumstances,
turn over the video gaming terminals and terminal income to the Illinois
Gaming Board unless otherwise ordered by a court of competent jurisdiction.
[Ord. 2013-20, 9-16-2013; Ord. 2014-09, 3-3-2014; Ord. 2014-24, 6-16-2014; Ord. 2014-32, 8-18-2014; Ord. 2014-41, 10-20-2014; Ord. 2014-49, 12-15-2014; Ord. 2015-01, 2-2-2015; Ord. 2015-34, 7-20-2015; Ord. 2016-02, 3-7-2016; Ord. 2016-11, 5-2-2016; Ord. 2017-16, 4-3-2017; Ord. 2017-46, 10-2-2017; Ord. 2017-47, 10-16-2017; Ord. 2018-08, 2-5-2018; Ord. 2018-16, 3-5-2018; Ord. 2018-21, 4-2-2018; Ord. 2018-57, 8-6-2018; Ord. 2018-66, 10-1-2018; Ord. 2019-01, 1-7-2019; Ord. 2019-51, 10-7-2019]
(a) The total number of location licenses for video gaming terminals
issued under this chapter shall not exceed 29.
[Amended 3-1-2021 by Ord. No. 2021-16; 3-7-2022 by Ord. No. 2022-07; 12-5-2022 by Ord. No. 2022-50; 6-5-2023 by Ord. No. 2023-32; 11-6-2023 by Ord. No. 2023-71]
(b) The total number of video gaming terminal licenses for video gaming
terminals issued under this chapter shall not exceed 172.
[Amended 2-1-2021 by Ord.
No. 2021-07; 3-1-2021 by Ord. No. 2021-16; 6-7-2021 by Ord. No. 2021-35; 9-13-2021 by Ord. No. 2021-59; 3-7-2022 by Ord. No. 2022-07; 5-2-2022 by Ord. No. 2022-15; 7-11-2022 by Ord. No.
2022-25; 12-5-2022 by Ord. No. 2022-50; 6-5-2023 by Ord. No. 2023-32; 11-6-2023 by Ord. No. 2023-71]
(c) The total number of location licenses for video gaming terminals
may be increased or decreased from time to time, by the adoption of
an ordinance amending this chapter, in the discretion of the Village
Board of Trustees as follows:
(1)
If an application is submitted to the Liquor Commissioner for
a location license for video gaming terminals for which no licenses
are currently available, and if the Liquor Commissioner has determined
that the application complies in all respects with the requirements
of this chapter, other chapters of this Code, Village ordinances and
State law, and if the Liquor Commissioner recommends issuance of the
license, the application shall be presented to the Village Board of
Trustees for its consideration of an increase in the number of location
licenses available.
(2)
Whenever a location license previously issued under the provisions
of this chapter is not renewed, or is revoked, surrendered, or terminated
by dormancy, the maximum number of location licenses shall automatically
and immediately be reduced by one. Thereafter, the reduced number
of location licenses shall not thereafter be increased without approval
by a majority vote of the Village Board of Trustees.
(d) The total number of video gaming terminal licenses for video gaming
terminals for each licensed video gaming location may be increased
or decreased from time to time, by the adoption of an ordinance amending
this chapter, in the discretion of the Village Board of Trustees as
follows:
(1)
If an application is submitted to the Liquor Commissioner for
a video gaming terminal license for a video gaming terminal for a
licensed video gaming location for which no licenses are currently
available, and if the Liquor Commissioner has determined that the
application complies in all respects with the requirements of this
chapter, other chapters of this Code, Village ordinances and State
law, and if the Liquor Commissioner recommends issuance of the license,
the application shall be presented to the Village Board for its consideration
of an increase in the number of video gaming terminal licenses available
for a licensed video gaming location.
(2)
Whenever a location license previously issued under the provisions
of this chapter is not renewed, or is revoked, surrendered, or terminated
by dormancy, the maximum number of video gaming terminal licenses
for a licensed video gaming location shall automatically and immediately
be reduced by the number of video gaming terminal licenses issued
for that previously licensed location. Thereafter, the reduced number
of video gaming terminal licenses for the licensed video gaming location
shall not thereafter be increased without approval by a majority vote
of the Village Board of Trustees.
[Ord. 2013-20, 9-16-2013]
A license granted under this chapter shall be purely a personal
privilege, good for not to exceed one year after issuance, unless
sooner revoked as provided in this chapter, and shall not constitute
property, nor shall it be subject to attachment, garnishment or execution,
nor shall it be alienable or transferable, voluntarily or involuntarily,
or subject to being encumbered or hypothecated. Such license shall
not descend by the laws of testate or intestate devolution, but it
shall cease upon the cessation of business or death of the licensee.
[Ord. 2013-20, 9-16-2013]
All licenses issued pursuant to this chapter shall be subject
to any and all changes or amendments that may be hereafter made to
the provisions of this chapter or to any rules or changes in rules
adopted by the Liquor Commissioner. No licensee shall have any vested
right to the continuation of any provision of this chapter.
[Ord. 2013-20, 9-16-2013]
The provisions of this chapter shall be subject to the Illinois
Riverboat Gambling Act and all rules promulgated thereunder, and to
the Video Gaming Act and all rules promulgated thereunder, except
that in the event of a conflict between the two Acts, the provisions
of the Video Gaming Act shall apply, and in the event of a conflict
between the rules promulgated under the two Acts, the rules promulgated
under the Video Gaming Act shall apply.
[Ord. 2013-20, 9-16-2013]
Judicial review of final determinations of the Liquor Commissioner
issued after hearings regarding licensure or discipline made under
this chapter shall be subject to judicial review, pursuant to the
provisions of the Administrative Review Act.