Illinois is 1 step away from sports gambling after a last-ditch effort by Rep. Bob Rita fell into place this weekend.
House lawmakers voted to approve a wide expansion of gaming within a capital financing bill on Saturday, and the Senate followed suit on Sunday. Gaming provisions within the act comprise a long-awaited casino in Chicago and consent for both retail and online sports betting.
The bill goes to the desk of Gov. J.B. Pritzker, whose recent comments make it clear he’ll sign it into law. The governor helped shepherd IL sports betting across the end line, seeking to drive over $200 million in extra earnings to his state.
Passage was, honestly, a remarkable feat considering the lack of progress through the first five months of this year. Previous proposals from Rep. Mike Zalewski were turned aside, and also a perceived conflict of interest forced him to step back in the final days of session.
LSR continues to be keeping a close eye on the chatter this weekend and upgrading this page as the situation unfolded. Here’s the play-by-play:
Is Sunday the day for Illinois sports betting?
The Senate eventually takes the ground after 4 p.m. local time. It doesn’t take long.
Sen. Terry Link presents the terms of this amended bill, which includes a total projected fiscal effect of $12 billion. Commendations and favorable comments from Sen. Dave Syverson, the Senate Minority Leader, seem to indicate that passage is a certainty.
Comments are short and largely surface-level, with a couple lawmakers poking around at narrow provisions that affect their constituents. Sen. John Curran is the only person who speaks to sports betting at any length, looking for clarification about the branding provisions for internet platforms.
Link is psychological as he shuts the event, representing on his 20-year effort to improve economic development from manufacturing.
The room applauds as the board lights up green, and also 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 betting bill as amended
Here is the Complete text of the language:
What’s in the amendment?
The new vertical funding bill contains a multi-faceted gambling package headlined by a mega-casino in Chicago. The step also offers six categories of licensure for IL sports gambling:
Master sports wagering
Management services provider Tier two official league data supplier Central system provider In stark terms, these classes make it possible for casinos, race tracks, and sports venues to provide sports gambling — equally in-person and online. The terms that concern online betting, nevertheless, require in-person registration for the first 18 months.
The amendment also authorizes a lottery implementation encompassing 2,500 locations in the very first year.
IL sports gambling details
The commission for a master sports gambling license is calculated based on gross gaming revenue from the last calendar year. Casinos will cover 5% of that number to provide sports gambling for four decades up to a max of $10 million. That cap was not current in recent models and should alleviate the burden on large operators such as Rush Street Gaming. Rita also softened the proposed tax rate down to 15% of revenue.
As you can infer from the classes, language mandating using official league data for props and in-play betting stuck. Even though there’s absolutely no integrity fee, the invoice will not empower schools and sports leagues to restrict the types of accessible wagers. As composed, weatherproof collegiate sports are off the plank in Illinois.
The amendment removes the total blackout period for online betting that snuck into an earlier version, but it will retain a modified penalty box for DraftKings and FanDuel. Daily fantasy sports companies will be allowed to compete at the sport gambling arena, but only master licensees can offer online wagering for the initial 18 months.
The change also creates three online-only permits costing $20 million apiece, awarded on a delay by means of a competitive procedure.
Saturday: Agreement reached for IL sports gambling About three hours into the weekend semester, we are still in a holding pattern. House lawmakers have ticked several more items off their to-do record now, including a bill that increases the minimum wages for Illinois teachers. For now, however, there’s nothing new to report on sports gambling.
Apart from the things we’re already touched , a few other challenges have cropped up.
Perhaps most notably, Chicago Mayor Lori Lightfoot publicly opposes the bill as written. Her principal concern is the provision permitting sportsbooks interior of stadiums and arenas.
Mayoral resistance leads to’understanding’
Here’s the statement from Mayor Lightfoot, as reported by Capitol Fax:
“I strongly support a gaming bill that sends a brand new casino and dollars to the city of Chicago. But, I oppose the inclusion of a provision that could open up sports wagering in areas like Soldier Field. This type of proposal has the potential to undermine the viability of any Chicago-based casino through the diversion of consumers and revenue from a casino. Because the impact of sports wagering in stadiums hasn’t been completely vetted or examined, 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 follow-up statement indicating that the conversation is still moving ahead:
“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 limitations on both the amount of and places for sports betting venues. I am happy that we have reached this understanding…”
Mayor Lightfoot then drops her resistance via a different statement:
“After productive talks with the Governor, we’ve agreed to allow a limited quantity of betting at sports areas subject to local control and oversight. These improvements to the gambling proposal will allow us to maximize revenue capabilities of a brand new casino to the Town of Chicago and ensure a good quality of life for our neighborhoods which may otherwise be impacted. As such, I urge the passage of SB 690 as amended…”
Illinois House votes on sports gambling Following a break for committee meetings and caucuses, Rep Bob Rita files a last amendment to the funding package. The sport betting language appears mostly unchanged in a glimpse, though there are a great deal of words to make it through. The bill is called for second reading about 6 p.m. local time and moved directly to third.
By there, it’s apparent that House lawmakers have reached an agreement to pass a number of large bills — including this one — before the end of the night. 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 final, Rita thanks Rep. Mike Zalewski for his work.
The House votes 87-27 in favor of passing, sending the bill back into the room of origin for concurrence. The Senate matches Sunday at 3 p.m.
Friday: Last gasp for IL sports betting prospects
Friday was frantic in the state capitol, with a myriad of important issues to hammer out on the last day of the scheduled session. Lawmakers did create a dent in the pile of bills, but leaders had been made to issue a bad-news bulletin extending the work week during Sunday.
Although sports betting remains stagnant, a substantial effort has surfaced.
Rep. Robert Rita grabbed the reins on Friday, borrowing in the frame of Rep. Mike Zalewski to cobble together a compromise bill. His effort ran out of daylight on the House floor, however, the bonus weekend of lawmaking means there is still hope for sports betting this season.
While there’s a momentum, failure to cast a vote Friday makes the job just a little bit taller. Any invoices considered from here on out demand a 3/5ths supermajority to pass, a threshold that could just be out of reach.
Here’s a chronological timeline of the day’s events:
A brand new automobile for IL sports gambling Lawmakers start the day behind closed doors, working to finalize the frame for IL sports gambling. Most assume S 516 will function as the vehicle, a Chicago casino invoice that seems to be an appropriate target for the empowering language. A midday curveball, however, shifts the focus.
Joe Ostrowski is a Chicago radio anchor who’s had his ear to the floor nowadays, and he is the first to show that everyone is looking in the wrong location.
Some optimism in Springfield for sport gambling.
SB 690 should shed very soon.
7:22 PM – May 31, 2019
Twitter Ads info and privacy See Joe Ostrowski’s additional Tweets
The invoice he references (S 690) isn’t a gambling bill, but a step amending tax provisions at the Invest in Kids Act. The current version has cleared the Senate and awaits a floor vote at the lower room. Suddenly, some anticipate House lawmakers to submit a new amendment related to sports gambling.
Sure enough, a placeholder pops upon the docket, with a hearing at the House Executive committee scheduled for 1:30 p.m. local time. A change of host to Sen. Terry Link provides an additional sign that something is going to happen.
LSR sources indicate that there is excellent reason to monitor the dialogue all the way up until the last gavel.
Senate Appropriations committee hearing
Sen. Link gifts the amended bill to the committee, and… boy, is there a lot in it.
Along with the gambling provisions, it also rolls taxes for smokes, parking, video lottery terminals, and a number of other mechanisms to increase state revenue. The total fiscal impact is close to $1 billion, together with sports gambling representing only a tiny part of the bundle.
It’s the fastest of hearings, over in under five minutes. One member asks whether the bill increases the amount 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 eventually convenes, Rep. Mike Zalewski is a surprise addition to the dais at the front of the room. Even though the long-suffering proponent of IL sports gambling recently stepped back in the spotlight, Rita’s bill still lists him as the first House sponsor. The committee replacements Zalewski in as a temporary member to cast a vote in favour of passage.
Without much lead time, the amendment brings 34 proponents and nine opponents (which grows to 18). Casino groups such as Boyd Gaming, Penn National Gaming, and also the Illinois Casino Association remain in relation to the Last language.
Members of this committee have plenty of questions, but the bulk of the discussion centers about gambling provisions not related to sports gambling. Rita struggles to explain some of the finer points in detail, particularly as they relate to DraftKings and FanDuel. It’s complex.
The language allows online platforms, but online-only firms can not seek licensure for the initial 18 months of IL sports gambling. The sponsor indicates he constructed his bill that way to”give Illinois companies a ramp” to the new sector. Rita also notes that his change will not impact the existing status quo for DFS.
The committee advocates adoption of the amendment by an 8-5 vote, advancing the bill to the floor. There’s still a lot of work left to do prior to adjournment, both on sports betting and on a number of critical issues — such as the state budget.
Formerly, in Illinois sports betting…
This year’s effort to legalize sports betting follows in the footsteps of the unsuccessful 2018 effort.
As it did this past year, work began early in 2019. Lawmakers cobbled together a variety of potential frameworks, each catering to a particular set of stakeholders. Once more, however, nothing broadly palatable had emerged as the past few hours of session ticked off the clock.
The proposed funding from Gov. J.B. Pritzker includes $217 million in earnings from sports betting, so there is more at stake than just the liberty to bet. Failure would induce Illinois to watch from the sidelines while its neighbors at Indiana and Iowa activate their new laws.
Who can participate?
The concept of the”penalty box” is the biggest hurdle to a passage right now.
To make a long story short, a few casino collections are working to keep DraftKings Sportsbook and FanDuel Sportsbook from the Illinois marketplace. They assert that daily fantasy sports is not explicitly lawful in the state, and these so-called awful actors should be deducted from licensure for three decades. The actual motivation is, of course, a desire to get rid of competition in both companies running away together with all the New Jersey sports gambling market.
DraftKings responded by briefly running a tv campaign pushing back to the obstruction from Rush Street Gambling.
How much will it cost?
The sports leagues also have gained more leverage with Illinois lawmakers than they have elsewhere in the nation.
Most previous proposals for IL sports gambling required payment of a ethics fee and the use of official league data to repay”Tier 2″ wagers. No US sports gambling legislation comprises a ethics fee, and Tennessee is the only one that has an info mandate.
Coupled with licensing prices payable out at $25 million and taxation amounting to 20% of revenue, these operational burdens can stand between the invoice and the end line.
Who’s in charge?
Rep. Mike Zalewski carried the baton all spring, however, a lack of advancement and 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 material the enabling language in the wider gambling package before lawmakers head home for the year. In what might be regarded as a reassuring sign, Senate Republican Leader Sen. Dave Syverson has signed as a co-sponsor.
There’s no warranty that bill passes, though, and it may not contain sports betting provisions even when it really does.
Matt Kredell contributed to this story.
Read more: football-2019.com