Illinois is one step away from legal sports gambling after a last-ditch effort from Rep. Bob Rita fell into place this weekend.
House lawmakers voted to approve a wide expansion of gambling within a capital funding bill on Saturday, and the Senate followed suit on Sunday. Gambling provisions within the act comprise a long-awaited casino in Chicago and authorization for both retail and online sports betting.
The bill now moves to the desk of Gov. J.B. Pritzker, whose current comments make it clear he will sign it into law. The governor helped shepherd IL sports betting across the finish line, seeking to drive more than $200 million in additional revenue to his nation.
Passage was, frankly, a remarkable accomplishment considering the absence of progress through the first five months of this year. Previous hints from Rep. Mike Zalewski were turned aside, and a perceived conflict of interest forced him to step back at the last days of session.
LSR continues to be keeping a close eye on the chatter this weekend and upgrading this webpage as the situation unfolded. Here’s the play-by-play:
Is Sunday the afternoon for Illinois sports betting?
The Senate eventually takes the ground following 4 p.m. local time. It does not take long.
Sen. Terry Link presents the terms of the amended bill, which carries a total projected fiscal effect of $12 billion. Commendations and favorable comments from Sen. Dave Syverson, the Senate Minority Leader, appear to indicate that passage is a certainty.
Comments are brief and mostly surface-level, with a couple lawmakers lugging around in narrow provisions which affect their constituents. Sen. John Curran is the only person who talks to sports betting at any given length, seeking clarification about the branding provisions for internet platforms.
Link is psychological as he closes the event, representing on his 20-year effort to improve economic growth from manufacturing.
The room applauds as the board lights up green, and the Senate concurs with the House changes with a 46-10 vote. Just like this, the bill that will legalize sports gambling in Illinois is led to the Senate.
IL sports gambling bill as amended
Here’s the full text of this language:
What is in the change?
The new vertical funding bill contains a multi-faceted gambling package headlined by a mega-casino in Chicago. The measure also offers six categories of licensure for IL sports gambling:
Master sports wagering
Management services provider Tier 2 official league info provider Central system supplier In plain terms, these categories allow casinos, race tracks, and sports venues to offer sports betting — equally in-person and online. The terms that concern online gambling, nevertheless, require in-person enrollment for the initial 18 months.
The amendment also authorizes a lottery execution encompassing 2,500 places in the very first year.
IL sports gambling details
The fee for a master sports gambling license is calculated based on gross gaming revenue from the last calendar year. Casinos will cover 5 percent of the number to offer sports gambling for four decades up to a maximum of $10 million. That cap was not current in recent models and should ease the load on big operators like Rush Street Gaming. Rita also softened the projected tax rate down to 15% of revenue.
As you can infer from the classes, language mandating using official league info for props and in-play betting stuck. Even though there is absolutely no ethics fee, the invoice does enable schools and sports leagues to limit the types of accessible wagers. As written, in-state collegiate sports are completely off the plank in Illinois.
The amendment removes the overall blackout period for online gambling that snuck to an earlier version, but it does retain a modified penalty box for DraftKings and FanDuel. Daily fantasy sports companies will be allowed to compete at the sport gambling arena, but just master licensees can provide online wagering for the initial 18 months.
The change also generates three online-only permits costing $20 million apiece, given on a delay by means of a competitive procedure.
Saturday: Agreement reached for IL sports gambling About three hours into the weekend semester, we’re still in a holding pattern. House lawmakers have ticked several more things off their to-do record now, such as a bill that increases the minimum salary for Illinois teachers. For now, however, there’s nothing new to report on sports betting.
Apart from the things we’re already touched , a few other challenges have cropped up.
Perhaps most importantly, Chicago Mayor Lori Lightfoot publicly opposes the bill as written. Her principal concern is that the provision permitting sportsbooks interior of stadiums and arenas.
Mayoral resistance leads to’comprehension’
Here’s the statement from Mayor Lightfoot, as reported by Capitol Fax:
“I strongly support a gaming bill that directs a new casino and dollars to the city of Chicago. But, I oppose the addition of a provision that could open up sports wagering in venues like Soldier Field. This type of proposal has the capacity to undermine the viability of any Chicago-based casino via the diversion of customers and revenue from a casino. Because the impact of sports wagering in stadiums hasn’t been completely assessed or analyzed, I can’t support the bill in its current form and urge the deletion of this stadium-betting provision.”
On Saturday, however, the governor releases a followup announcement indicating that the conversation is still moving forward:
“I’ve spoken to Mayor Lightfoot about her concerns with regards to sports gambling, and we have collaboratively worked with the bill sponsors to make clear that the legislative intent will reflect that there are limits on both the number of and places for sports gambling venues. I’m pleased that we have attained this understanding…”
Mayor Lightfoot subsequently drops her opposition via a different announcement:
“After productive discussions with the Governor, we’ve agreed to permit a limited amount of gambling at sports venues subject to local control and oversight. These enhancements to the gaming proposition will permit us to maximize revenue capabilities of a new casino for the Town of Chicago and guarantee a fantastic quality of life to our neighborhoods that might otherwise be impacted. As such, I recommend the passage of SB 690 as amended…”
Illinois House votes yes on sports betting After a break for committee meetings and caucuses, Rep Bob Rita documents a final amendment to the financing package. The sports betting language appears mostly unchanged at a glimpse, though there are a great deal of words to make it through. The bill is called for second reading around 6 p.m. local time and moved directly to third.
By that point, it is apparent that House lawmakers have reached a agreement to pass quite a few large bills — including this one — until the end of the evening. The floor demonstration becomes something of a victory lap for Rita, with several members commending him for his broad efforts to shore up vertical infrastructure. In his closing, Rita thanks Rep. Mike Zalewski because of his work.
The House votes 87-27 in favor of passage, sending the bill back to the room of origin for concurrence. The Senate meets Sunday in 3 p.m.
Friday: Last gasp for IL sports gambling prospects
Friday was frantic in the state capitol, using an assortment of important issues to hammer out on the last day of the scheduled session. Lawmakers did make a dent in the pile of bills, but leaders had been forced to issue a bad-news bulletin stretching the work week through Sunday.
Although sports betting remains stagnant, a significant effort has surfaced.
Rep. Robert Rita grabbed the reins on Friday, borrowing from the framework of Rep. Mike Zalewski to cobble together a compromise bill. His campaign ran from daylight on the House floor, however, the bonus weekend of lawmaking means there is still hope for sports betting this year.
While there’s some momentum, failure to cast a vote on Friday makes the job a little bit taller. Any invoices considered from here on out demand a 3/5ths supermajority to pass, a threshold which could just be out of reach.
Here’s a chronological timeline of the day’s events:
A new automobile for IL sports betting Lawmakers start the day behind closed doors, working to finalize the frame for IL sports betting. Most assume S 516 will function as the car, a Chicago casino invoice that seems to be an appropriate target for the enabling language. A midday curveball, however, shifts the attention.
Joe Ostrowski is a Chicago radio anchor who’s had his ear to the floor nowadays, and he’s the first to show that everyone is looking in the wrong place.
Some optimism in Springfield for sport betting.
SB 690 should drop very soon.
7:22 PM – May 31, 2019
Twitter Ads information and privacy See Joe Ostrowski’s additional Tweets
The invoice he cites (S 690) isn’t a gambling bill, but a measure amending tax provisions at the Invest in Kids Act. The present version has cleared the Senate and awaits a floor vote at the lower room. Unexpectedly, some anticipate House lawmakers to file a new amendment related to sports gambling.
Sure enough, a placeholder pops up on the docket, using a hearing at the House Executive committee scheduled for 1:30 p.m. local time. A change of sponsor to Sen. Terry Link provides another sign that something is going to take place.
LSR sources indicate that there’s excellent reason to monitor the dialogue all the way up until the past gavel.
Senate Appropriations committee hearing
Sen. Link presents the amended bill to the committee, and… boy, is there a lot in it.
In addition to the gaming provisions, it also touches on taxes for smokes, parking, video lottery terminals, and numerous other mechanisms to boost state revenue. The total fiscal impact is near $1 billion, with sports gambling representing just a tiny part of the package.
It is the quickest of hearings, within less than five minutes. 1 member asks whether or not the bill increases the number of slot machines for every casino licensee — it will — and that is about it.
House Executive committee hearing
A heated floor debate on a marijuana bill (which finally passed) delays the home hearing by many hours.
When the committee finally convenes, Rep. Mike Zalewski is a surprise addition to the dais in the front of the room. Although the long-suffering proponent of IL sports betting recently stepped back from the spotlight, Rita’s bill still lists him as the first House sponsor. The committee substitutes Zalewski in as a temporary member to cast a vote in favor of passing.
Without much lead time, the amendment brings 34 proponents and nine opponents (which grows to 18). Casino groups including Boyd Gaming, Penn National Gaming, and also the Illinois Casino Association remain in relation to this Last language.
Members of this committee have plenty of questions, however, the bulk of the discussion centers about gambling terms not related to sports betting. Rita struggles to explain some of the finer points in detail, especially as they relate to DraftKings and FanDuel. It’s complex.
The language allows online platforms, but online-only companies can’t find licensure for the first 18 weeks of IL sports betting. The host indicates he constructed his bill that way to”give Illinois businesses a ramp” into the new industry. Rita also notes that his change will not impact the existing status quo for DFS.
The committee recommends adoption of the amendment with an 8-5 vote, advancing the bill to the floor. There’s still a great deal of work left to do before adjournment, equally on sports gambling and on many of critical issues — including the state budget.
Previously, in Illinois sports gambling…
This year’s effort to legalize sports betting follows in the footsteps of this failed 2018 effort.
As it did this past year, work began early in 2019. Lawmakers cobbled together many different possible frameworks, each catering to a specific group of stakeholders. Once again, though, nothing widely palatable had emerged since the past couple of hours of session ticked off the clock.
The proposed budget from Gov. J.B. Pritzker includes $217 million in earnings from sports betting, so there’s more at stake than just the freedom to bet. Failure would force Illinois to observe from the sidelines while its neighbors at Indiana and Iowa activate their new legislation.
Who can participate?
The concept of this”penalty box” is the biggest barrier to some passage right now.
To make a long story short, some casino groups are working to maintain DraftKings Sportsbook and FanDuel Sportsbook from the Illinois market. They argue that daily fantasy sports isn’t explicitly lawful in the state, and these so-called awful actors should be deducted from licensure for 3 years. The real motivation is, clearly, a desire to get rid of competition from both companies working away with the New Jersey sports gambling market.
DraftKings responded by temporarily running a television campaign pushing back to the barrier from Rush Street Gaming.
How much does it cost?
The sport leagues also have gained more leverage with Illinois lawmakers than they have elsewhere in the nation.
Most previous proposals for IL sports betting required payment of a ethics fee and using official league information to repay”Tier 2″ wagers. No US sports gambling law comprises a ethics fee, and Tennessee is the only one that has a data mandate.
Coupled with licensing fees payable out at $25 million and taxes amounting to 20 percent of revenue, these operational burdens can stand between the bill and the finish line.
Who’s in charge?
Rep. Mike Zalewski carried the baton all spring, however, a lack of progress and also a perceived conflict of interest forced him to step aside in the 11th hour.
Start-of-day intel indicates that Rep. Bob Rita is actively working to stuff the allowing language in the wider gaming package before lawmakers head home for the year. In what might be seen as a reassuring sign, Senate Republican Leader Sen. Dave Syverson has signed as a co-sponsor.
There is no warranty that bill passes, however, and it may not include sports gambling provisions even when it does.
Matt Kredell contributed to the story.
Read more: newyork-info.com