The Illinois Gaming Board (IGB) held its monthly meeting on Thursday, Sept. 12, 2024. The meeting was hybrid with in-person accessibility at 160 N. LaSalle St., 5th Floor Auditorium and via livestream. Board members present at this meeting included Chairman Schmadeke, Member Hayden, Member Kolar, and (newly appointed) Member Brannon.
The meeting began with the approval of the minutes of the regular board meeting from Thursday, June 6, 2024. Immediately thereafter, the Administrator turned to the subject of review for possible dissemination of closed session meeting minutes (from June of 2021, all of 2023 and the January through April meetings of 2024) but this was tabled as the review was ongoing.
Administrator’s Report
The Administrator began his report by acknowledging a change to Board members. He thanked member Garcia for his service as a Board member and stated that member Garcia’s vacancy will be filled. The Administrator also welcomed the newest member, Sean Brannon, who was appointed by the governor on Sept. 9, 2024. Member Brannon’s name should be familiar to many of you as he previously held high ranking positions with the IGB, including Deputy Administrator of Field Operations, and the ISP. Member Brannon’s biography was not available at the time of this publication, but we expect it will be in the near future and those interested will be able to find it here: Illinois Gaming Board - About Us.
The Administrator then provided a brief update on the newly opened permanent facility of the Rockford casino, 815 Entertainment, LLC d/b/a Hard Rock Casino Rockford, as well as updates on other developing casino and racetrack casino projects.
Next, the Administrator discussed September as National Responsible Gaming Education Month and emphasized the IGB’s commitment to reducing the risk of problem gambling and maintaining the safety of responsible gaming during September, and all year round. He encouraged visiting the IGB’s site regarding problem gaming (Illinois Gaming Board - Help for Problem Gamblers) or the state’s site at Are You Really Winning - Illinois Helpline (helplineil.org) for available resources if you or someone you know is struggling with problem gambling. Relatedly, the Administration stated that it is always the safest practice to only patronize legal and licensed gambling/sports wagering providers and avoid unlicensed, unregulated gray- or black-market operators.He reminded that prohibited conduct could be reported via the IGB’s hotline at (855) 494-0237 or IGB’s website (Illinois Gaming Board - Contact Us).
Prior to giving the industry revenue numbers, Administrator Fruchter cautioned that the information provided would be a “snapshot,” since certain reporting numbers were not yet available at the time of the meeting. According to the Administrator, there are 15 casinos, 15 sports wagering facilities, 59 terminal operators, and 8,606 live video gaming locations offering approximately 48,217 Video Gaming Terminals (VGTs).
In July, licensed VGTs generated a net terminal income (NTI) of over $241 million which resulted in $84 million in total taxes. The state’s share was approximately $72 million and local municipalities received approximately $12 million. This August, casinos generated an adjusted gross revenue (AGR) of over $140 million with $32 million in taxes going to thestate and $8 million to local host communities. Also in July, the total sports wagering AGR generated a taxable amount of $71 million with $14 million in taxes going to the state and roughly $739,000 going to Cook County. To date for 2024 (although not including August VGT or sports wagering revenues), the combined industries of video gaming, sports wagering, and casino have generated over $970 million in taxes with the state’s share being roughly $808 million and the local municipalities sharing $162 million.
Public Commentary
Two individuals, Ruben Warren and Kevin Alsup, were scheduled to address the Board during the public commentary segment. Ruben Warren, General Manager of HC Joliet, LLC d/b/a Hollywood Casino Joliet, spoke only briefly to introduce himself to the Board members. Kevin Alsup did not appear before the Board.
Administrative Matters
The meeting continued with the Administrator providing a brief overview of proposed additions to the current advertising and marketing rules for sports wagering, Rule 1900.340, as well as the implementation of mirror new rules for casino gambling, Rule 3000.680, and video gaming, Rule 1800.370. The Board ultimately approved the submittal of these proposed rules to the Index Department of the Secretary of State. The proposed rules will go through the standard rulemaking procedure, including First Notice (public comment) and then Second Notice with the Joint Committee of Administrative Rules’(JCAR) review and consideration. The Administrator added that there are multiple opportunities for submission of public commentary and that input was encouraged.
The current sports wagering rule on advertising and marketing can be found here: ilga.gov/commission/jcar/admincode/011/011019000C03400R.html. Some of the amendments to this rule discussed were:
- Advertisements shall not include false or deceptive claims.
- Advertisements shall not promote events as free of risk.
- Advertisements shall not describe events as free of risk or free of cost if participants must also use their personal funds.
- Advertisements shall not publish on college/university campus or media outlets or sports.
- Advertisements shall not publish images of college/university students or settings.
- Advertisements shall not use logos or trademarks on products targeting those under 21 years of age (such as toys or clothing).
- Advertisements should not publish on problem gambling sites.
- Advertisements shall allow of patrons to opt out and such opting out shall be done as soon as reasonably practicable.
- We also will provide an update when the amendment and new rules are posted on the Secretary of State’s website.
Casino
The casino portion of this meeting began with the request for initial consideration of qwners license renewal of Elgin Riverboat Resort d/b/a Grand Victoria Casino, which required no Board action. The Board then granted 1) the requested waiver of the two-meeting rule and 2) the request for final consideration of owners license renewal of Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino.
The meeting continued with the Board approving the 1) joint request to rescind certain key person approvals, 2) joint request to rescind change of entity approvals, and joint request to rescind transfer of ownership approvals of Casino Queen, Inc. d/b/a Draft Kings at Casino Queen and Fairmount Park, Inc, d/b/a FanDuel Sports Book and Horseracing.
The Board also approved the following key persons and Level 1 occupational licenses:
- Vanessa Janaye Martin for her role as VP of Human Resources of Casino Queen, Inc. d/b/a DraftKings at Casino Queen
- Matthew Charles Wilson as a Director/Board Member of Interblock USA L.C.
- Jordon Louis Kruse as a Director/Board Member of Interblock USA L.C.
- David Benjamin Quick as a Director/Board Member of Interblock USA L.C.
- A number of business entities related to Interblock USA L.C.
- Julie Anna Wise for her role as Controller for Danville Development LLC d/b/a Golden Nugget Danville
- Eddie Rondal Webb Jr. for his role as Director of Physical Security of Casino Queen, Inc. d/b/a Draft Kings at Casino Queen.
Additionally, the Board approved the supplier renewal of Gaming Partners International USA, Inc., and the initial occupational licenses of 114 Level 2 and 125 Level 3 licenses. Next, the Board issued four notices of denial.
The Administrator then issued renewals to all occupational licensees that were up for renewal in July, August and September and had provided updated information, timely paid their renewal fees, and complied with all other requirements.
Sports Wagering
During the sports wagering section, the Board approved the 1) joint request to rescind certain key person approvals, 2) joint request to rescind change of entity approvals, and joint request to rescind transfer of ownership approvals of Casino Queen, Inc. d/b/a Draft Kings at Casino Queen and Fairmount Park, Inc, d/b/a FanDuel Sports Book and Horseracing. (This is the same matter discussed during the casino section but duplicative action was required given the licenses held.)
The meeting then continued with the initial consideration of the master sports wagering license renewal of Fairmount Park, Inc. although no Board action was required at this time. The Board then granted 1) the requested waiver of the two-meeting rule and 2) the master sports wagering license renewal of Hawthorne Race Course Inc. as well as finding the following related key persons and business entities suitable:
- Frank GF Inc. and Frank Gentile
- Entrée You, LLC and James Robert Pierson
- Players Pub & Grill LLC, John D. Fiandaca and Ivana Vanessa Henderson.
The Board then approved the initial management services provider application of Rush Street Interactive IL, LLC and issued 188 Level 2 occupational licenses. Next, the Administrator granted renewals to the Level 1, 2 and 3 licensees that were up for renewal, had provided updated information to the IGB, timely paid their renewal fees and complied with all other requirements.
Video Gaming
The video gaming portion of the meeting began with the Board denying the initial terminal operator license application of AARUSH Gaming, LLC.
The Board next granted 119 terminal handler licenses and six terminal technician licenses but denied the handler/technician applications of two individuals.
The Administrator then renewed the terminal handler, technician and location licensees that were up for renewal and had provided updated information to the IGB, timely paid their renewal fees and complied with all other requirements. The Administrator also issued notices of non-renewals to two individuals with handler licenses and the following four locations:
- China King Restaurant LLC d/b/a Elsa
- Hunts Hardware & Grocery LLC d/b/a Hunts Hardware & Grocery
- Jerk Flavors Restaurant & Lounge LLC d/b/a Jerk Chicken Flavors
- Rinkys Café Corp. d/b/a Rinkys Café Corp.
The meeting continued with the IGB approving 172 location applicants for licensure and issuing denials to following 14 establishments, including three for statutory ineligibility:
- A & L Martinez Brothers Inc. d/b/a Maravelas Group
- A Siobhan, LLC d/b/a Dooder's Bar & Grill
- Antigua Mexican Grill #3 Inc. d/b/a Mexican Grill 3 Inc.
- Delaney’s Smokehouse Inc. d/b/a Delaney’s Smokehouse Inc.
- Fastline Enterprises LLC d/b/a Fastline Enterprises LLC
- Grand Jackpots LLC d/b/a Grand Jackpots LLC
- Hard Dog Café LLC d/b/a Hard Dog Café LLC
- Moonshine Run LLC d/b/a Moonshine Run LLC
- Rudraya Corp. d/b/a Bravo Pizza and Italian Restaurant
- Social Bar & Grill LLC d/b/a Social Bar & Grill
- Arbuda Oaklawn Inc., d/b/a Oaklawn Wine and Spirits
- Braidwood Real Estate Inc. d/b/a E and K Liquor
- Mihir Enterprises LLC d/b/a Maquon Miracle Mart
- Gammon Coach House LLC d/b/a Gammon Coach House.
The Board also rescinded a previously issued nonrenewal of Post Time Sports Bar and Grille LLC d/b/a Post Time Sports Bar and Grille LLC and granted it a license.
To close out the meeting, the Board issued a notice of economic disassociation to Accel Entertainment Gaming, LLC pertaining to Hassan (or Asan) Asani. It then issued a final Board order for Rule 320 Petition 21-UP-006 between Eureka Entertainment, LLC d/b/a Universal Gaming Group (petitioner) and Gold Rush Amusements, Inc. d/b/a Gold Rush Gaming (respondent) regarding Danny's Cafe Inc. d/b/a LUCKY 29 GAMING CAFE. As always, Final Board orders are available on the IGB’s website Illinois Gaming Board - Video Rule 320 Petitions.
That concludes the summary of this month’s meeting. The next meeting will be held on Thursday, Oct. 24, 2024.
Go Bears!
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