SB 3733

Select Language
  ×
The Illinois General Assembly offers the Google Translate™ service for visitor convenience. In no way should it be considered accurate as to the translation of any content herein.
Visitors of the Illinois General Assembly website are encouraged to use other translation services available on the internet.
The English language version is always the official and authoritative version of this website.
NOTE: To return to the original English language version, select the "Show Original" button on the Google Translate™ menu bar at the top of the window.
  Choose Language
  English
  Afrikaans
  Albanian
  Arabic
  Armenian
  Azerbaijani
  Basque
  Bengali
  Bosnian
  Catalan
  Croatian
  Czech
  Danish
  Dutch
  Esperanto
  Estonian
  Filipino
  Finnish
  French
  Galician
  Georgian
  German
  Greek
  Gujarati
  Haitian Creole
  Hausa
  Hawaiian
  Hebrew
  Hindi
  Hungarian
  Icelandic
  Indonesian
  Interlingua
  Interlingue
  Inuktitut
  Irish
  Italian
  Japanese
  Javanese
  Kannada
  Khmer
  Korean
  Latin
  Latvian
  Lithuanian
  Luxembourgish
  Macedonian
  Malagasy
  Malayalam
  Maltese
  Maori
  Marathi
  Myanmar
  Nepali
  Norwegian
  Odia
  Pashto
  Punjabi
  Romanian
  Russian
  Samoan
  Sango
  Sanskrit
  Sardinian
  Sindhi
  Sinhala
  Slovak
  Slovenian
  Somali
  Southern Sotho
  Spanish
  Sundanese
  Swahili
  Swedish
  Tamil
  Telugu
  Thai
  Tigrinya
  Tonga
  Turkish
  Ukrainian
  Urdu
  Vietnamese
  Welsh
  Xhosa
  Yiddish
  Yoruba
  Zulu
  Powered by Translate
  Close
Illinois General Assembly
Top Navigation Bar
  Translate
  Learn
  Select General Assembly
  Search the 104th General Assembly
  Enter search terms for legislation, members, committees, or schedules.
  ILGA.GOV
Mobile Top Bar
  Search the 104th General Assembly
  Enter keywords to search the Illinois General Assembly website.
Full Text of SB3733
Home
Legislation
Full Text
	SB3733 - 104th General Assembly
		Bill Status
		Full Text
		Votes
		Witness Slips
	Select Menu
	Bill Status
	Full Text
	Votes
	Witness Slips
	Printer Friendly Version
			Introduced
		Printer Friendly Version
		Introduced
			 Open PDF
104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB3733
Introduced 2/5/2026, by Sen. Bill Cunningham
SYNOPSIS AS INTRODUCED:
See Index
Amends the Sports Wagering Act. Allows a licensee to offer pool sports wagering to State patrons where State patrons compete against patrons located outside of the State. Allows the Illinois Gaming Board to issue master sports wagering licenses to persons to conduct sports wagering over the Internet or through a mobile application (rather than issue 3 master sports wagering licenses to online sports wagering operators for a nonrefundable license fee of $20,000,000 pursuant to an open and competitive selection process). Provides that the application fee for a master sports wagering license is $250,000 while the initial fee for a master sports wagering license issued to an online sports wagering operator is $15,000,000. Provides that a master sports wagering license is valid for 4 years and may be renewed for another 4 years by paying a specified renewal fee. Allows the Board to regulate the conduct of fantasy contest operators under the Act. Sets forth rulemaking authority, fees, surcharges, civil penalties, monthly taxes, Board powers, and cooperation with law enforcement investigations. Prohibits a person from offering fantasy contests in the State unless the person is licensed by the Board as a fantasy contest operator for an application fee of $500 for a fantasy contest operator that had 7,500 or fewer active patrons over the preceding 365-day period and $7,500 for a fantasy contest operator that had more than 7,500 patrons over the preceding 365-day period. Sets forth applicant requirements. Prohibits a person from participating in a fantasy contest if the person is not at least 21 years of age. Sets forth the duties of fantasy contest licensees. Provides that, beginning July 1, 2026, the State shall impose a privilege tax of 15% on the fantasy contest operator licensee's adjusted gross fantasy contest receipts. Makes other changes. Makes conforming changes in the Illinois Administrative Procedures Act and the Criminal Code of 2012. Effective immediately.
LRB104 20098 LNS 33549 b
A BILL FOR
		SB3733		LRB104 20098 LNS 33549 b
1    AN ACT concerning gaming.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Illinois Administrative Procedure Act is
5amended by adding Section 5-45.71 as follows:
6    (5 ILCS 100/5-45.71 new)
7    Sec. 5-45.71. Emergency rulemaking; Illinois Gaming Board. 
8To provide for the expeditious and timely implementation of 
9Sections 25-120 through 25-120.8 of the Sports Wagering Act, 
10emergency rules implementing Sections 25-120 through 25-120.8 
11of the Sports Wagering Act may be adopted in accordance with 
12Section 5-45 by the Illinois Gaming Board. The adoption of 
13emergency rules authorized by Section 5-45 and this Section is 
14deemed to be necessary for the public interest, safety, and 
15welfare.
16    This Section is repealed one year after the effective date 
17of this amendatory Act of the 104th General Assembly.
18    Section 10. The Sports Wagering Act is amended by changing
19Sections 25-10, 25-25, 25-45, and 25-100 and by adding
20Sections 25-120, 25-120.1, 25-120.2, 25-120.3, 25-120.4,
2125-120.5, 25-120.6, 25-120.7, and 25-120.8 as follows:
		SB3733	- 2 -	LRB104 20098 LNS 33549 b
1    (230 ILCS 45/25-10)
2    Sec. 25-10. Definitions. As used in this Act:
3    "Adjusted gross sports wagering receipts" means a master
4sports wagering licensee's gross sports wagering receipts,
5less winnings paid to wagerers in such games.
6    "Athlete" means any current or former professional athlete
7or collegiate athlete.
8    "Board" means the Illinois Gaming Board.
9    "Covered persons" includes athletes; umpires, referees,
10and officials; personnel associated with clubs, teams,
11leagues, and athletic associations; medical professionals
12(including athletic trainers) who provide services to athletes
13and players; and the family members and associates of these
14persons where required to serve the purposes of this Act.
15    "Department" means the Department of the Lottery.
16    "Gaming facility" means a facility at which gambling
17operations are conducted under the Illinois Gambling Act,
18pari-mutuel wagering is conducted under the Illinois Horse
19Racing Act of 1975, or sports wagering is conducted under this
20Act.
21    "Official league data" means statistics, results,
22outcomes, and other data related to a sports event obtained
23pursuant to an agreement with the relevant sports governing
24body, or an entity expressly authorized by the sports
25governing body to provide such information to licensees, that
26authorizes the use of such data for determining the outcome of
		SB3733	- 3 -	LRB104 20098 LNS 33549 b
1tier 2 sports wagers on such sports events.
2    "Organization licensee" has the meaning given to that term
3in the Illinois Horse Racing Act of 1975.
4    "Owners licensee" means the holder of an owners license
5under the Illinois Gambling Act.
6    "Person" means an individual, partnership, committee,
7association, corporation, or any other organization or group
8of persons.
9    "Personal biometric data" means an athlete's information
10derived from DNA, heart rate, blood pressure, perspiration
11rate, internal or external body temperature, hormone levels,
12glucose levels, hydration levels, vitamin levels, bone
13density, muscle density, and sleep patterns.
14    "Prohibited conduct" includes any statement, action, and
15other communication intended to influence, manipulate, or
16control a betting outcome of a sporting contest or of any
17individual occurrence or performance in a sporting contest in
18exchange for financial gain or to avoid financial or physical
19harm. "Prohibited conduct" includes statements, actions, and
20communications made to a covered person by a third party, such
21as a family member or through social media. "Prohibited
22conduct" does not include statements, actions, or
23communications made or sanctioned by a team or sports
24governing body.
25    "Qualified applicant" means an applicant for a license
26under this Act whose application meets the mandatory minimum
		SB3733	- 4 -	LRB104 20098 LNS 33549 b
1qualification criteria as required by the Board.
2    "Sporting contest" means a sports event or game on which
3the State allows sports wagering to occur under this Act.
4    "Sports event" means a professional sport or athletic
5event, a collegiate sport or athletic event, a motor race
6event, or any other event or competition of relative skill
7authorized by the Board under this Act.
8    "Sports facility" means a facility that hosts sports
9events and holds a seating capacity greater than 17,000
10persons, except in a municipality with a population of more
11than 1,000,000, a seating capacity greater than 10,000
12persons.
13    "Sports governing body" means the organization that
14prescribes final rules and enforces codes of conduct with
15respect to a sports event and participants therein.
16    "Sports wagering" means accepting wagers on sports events
17or portions of sports events, or on the individual performance
18statistics of athletes in a sports event or combination of
19sports events, by any system or method of wagering, including,
20but not limited to, in person or over the Internet through
21websites and on mobile devices. "Sports wagering" includes,
22but is not limited to, single-game bets, teaser bets, parlays,
23over-under, moneyline, pools, exchange wagering, in-game
24wagering, in-play bets, proposition bets, and straight bets.
25"Sports wagering" does not include fantasy contests as that 
26term is defined in Section 25-120.1.
		SB3733	- 5 -	LRB104 20098 LNS 33549 b
1    "Sports wagering account" means a financial record
2established by a master sports wagering licensee for an
3individual patron in which the patron may deposit and withdraw
4funds for sports wagering and other authorized purchases and
5to which the master sports wagering licensee may credit
6winnings or other amounts due to that patron or authorized by
7that patron.
8    "Tier 1 sports wager" means a sports wager that is
9determined solely by the final score or final outcome of the
10sports event and is placed before the sports event has begun.
11    "Tier 2 sports wager" means a sports wager that is not a
12tier 1 sports wager.
13    "Wager" means a sum of money or thing of value risked on an
14uncertain occurrence.
15    ["Winning bidder" means a qualified applicant for a master ]
16[sports wagering license chosen through the competitive ]
17[selection process under Section 25-45.]
18(Source: P.A. 101-31, eff. 6-28-19; 102-689, eff. 12-17-21.)
19    (230 ILCS 45/25-25)
20    Sec. 25-25. Sports wagering authorized.
21    (a) Notwithstanding any provision of law to the contrary,
22the operation of sports wagering is only lawful when conducted
23in accordance with the provisions of this Act and the rules of
24the Illinois Gaming Board and the Department of the Lottery.
25    (b) A person placing a wager under this Act shall be at
		SB3733	- 6 -	LRB104 20098 LNS 33549 b
1least 21 years of age.
2    (c) A licensee under this Act may not accept a wager on a
3minor league sports event.
4    (d) Except as otherwise provided in this Section, a
5licensee under this Act may not accept a wager for a sports
6event involving an Illinois collegiate team.
7    (d-5) Beginning on the effective date of this amendatory
8Act of the 102nd General Assembly until July 1, 2024, a
9licensee under this Act may accept a wager for a sports event
10involving an Illinois collegiate team if:
11        (1) the wager is a tier 1 wager;
12        (2) the wager is not related to an individual
13    athlete's performance; and
14        (3) the wager is made in person instead of over the
15    Internet or through a mobile application.
16    (e) A licensee under this Act may only accept a wager from
17a person physically located in the State.
18    (f) Master sports wagering licensees may use any data
19source for determining the results of all tier 1 sports
20wagers.
21    (g) A sports governing body headquartered in the United
22States may notify the Board that it desires to supply official
23league data to master sports wagering licensees for
24determining the results of tier 2 sports wagers. Such
25notification shall be made in the form and manner as the Board
26may require. If a sports governing body does not notify the
		SB3733	- 7 -	LRB104 20098 LNS 33549 b
1Board of its desire to supply official league data, a master
2sports wagering licensee may use any data source for
3determining the results of any and all tier 2 sports wagers on
4sports contests for that sports governing body.
5    Within 30 days of a sports governing body notifying the
6Board, master sports wagering licensees shall use only
7official league data to determine the results of tier 2 sports
8wagers on sports events sanctioned by that sports governing
9body, unless: (1) the sports governing body or designee cannot
10provide a feed of official league data to determine the
11results of a particular type of tier 2 sports wager, in which
12case master sports wagering licensees may use any data source
13for determining the results of the applicable tier 2 sports
14wager until such time as such data feed becomes available on
15commercially reasonable terms; or (2) a master sports wagering
16licensee can demonstrate to the Board that the sports
17governing body or its designee cannot provide a feed of
18official league data to the master sports wagering licensee on
19commercially reasonable terms. During the pendency of the
20Board's determination, such master sports wagering licensee
21may use any data source for determining the results of any and
22all tier 2 sports wagers.
23    (h) A licensee under this Act may not accept wagers on a
24kindergarten through 12th grade sports event.
25    (i) A licensee may offer pool sports wagering to State 
26patrons where State patrons compete against patrons located 
		SB3733	- 8 -	LRB104 20098 LNS 33549 b
1outside of the State. In such cases, the pool must be expressly 
2permitted in all jurisdictions in which it is offered and must 
3comply with all laws, rules, and regulations in all 
4jurisdictions in which it is offered. The adjusted gross 
5sports wagering receipts of an interstate pool shall be 
6determined by the total value of all wagers placed in the State 
7less the proportional pro rata value of all winnings paid to 
8patrons. The pro rata value of all winnings shall be 
9determined by the ratio of the total value of all wagers placed 
10in the State divided by the total value of all wagers placed in 
11the pool, to the nearest .01%.
12(Source: P.A. 102-689, eff. 12-17-21; 103-4, eff. 5-31-23.)
13    (230 ILCS 45/25-45)
14    Sec. 25-45. Master sports wagering license issued to an
15online sports wagering operator.
16    (a) The Board may issue master sports wagering licenses to 
17persons to conduct sports wagering over the Internet or 
18through a mobile application. [The Board shall issue 3 master ]
19[sports wagering licenses to online sports wagering operators ]
20[for a nonrefundable license fee of $20,000,000 pursuant to an ]
21[open and competitive selection process. The master sports ]
22[wagering license issued under this Section may be renewed ]
23[every 4 years upon payment of a $1,000,000 renewal fee.] To the
24extent permitted by federal and State law, the Board shall
25actively seek to achieve racial, ethnic, and geographic
		SB3733	- 9 -	LRB104 20098 LNS 33549 b
1diversity when issuing master sports wagering licenses under
2this Section and encourage minority-owned businesses,
3women-owned businesses, veteran-owned businesses, and
4businesses owned by persons with disabilities to apply for
5licensure.
6    For the purposes of this subsection (a), "minority-owned
7business", "women-owned business", and "business owned by
8persons with disabilities" have the meanings given to those
9terms in Section 2 of the Business Enterprise for Minorities,
10Women, and Persons with Disabilities Act.
11    (b) Applicants shall pay to the Board a nonrefundable 
12application fee in the amount of $250,000. The initial license 
13fee for a master sports wagering license issued to an online 
14sports wagering operator is $15,000,000. The master sports 
15wagering license is valid for 4 years. [Applications for the ]
16[initial competitive selection occurring after the effective ]
17[date of this Act shall be received by the Board within 540 days ]
18[after the first license is issued under this Act to qualify. ]
19[The Board shall announce the winning bidders for the initial ]
20[competitive selection within 630 days after the first license ]
21[is issued under this Act, and this time frame may be extended ]
22[at the discretion of the Board.]
23    (c) A licensee may renew the master sports wagering 
24license for a period of 4 years by paying a $1,000,000 renewal 
25fee to the Board. [The Board shall provide public notice of its ]
26[intent to solicit applications for master sports wagering ]
		SB3733	- 10 -	LRB104 20098 LNS 33549 b
1[licenses under this Section by posting the notice, application ]
2[instructions, and materials on its website for at least 30 ]
3[calendar days before the applications are due. Failure by an ]
4[applicant to submit all required information may result in the ]
5[application being disqualified. The Board may notify an ]
6[applicant that its application is incomplete and provide an ]
7[opportunity to cure by rule. Application instructions shall ]
8[include a brief overview of the selection process and how ]
9[applications are scored.]
10    (d) A master sports wagering licensee may conduct sports 
11wagering over the Internet or through a mobile application. [To ]
12[be eligible for a master sports wagering license under this ]
13[Section, an applicant must: (1) be at least 21 years of age; ]
14[(2) not have been convicted of a felony offense or a violation ]
15[of Article 28 of the Criminal Code of 1961 or the Criminal Code ]
16[of 2012 or a similar statute of any other jurisdiction; (3) not ]
17[have been convicted of a crime involving dishonesty or moral ]
18[turpitude; (4) have demonstrated a level of skill or knowledge ]
19[that the Board determines to be necessary in order to operate ]
20[sports wagering; and (5) have met standards for the holding of ]
21[a license as adopted by rules of the Board.]
22    [The Board may adopt rules to establish additional ]
23[qualifications and requirements to preserve the integrity and ]
24[security of sports wagering in this State and to promote and ]
25[maintain a competitive sports wagering market. After the close ]
26[of the application period, the Board shall determine whether ]
		SB3733	- 11 -	LRB104 20098 LNS 33549 b
1[the applications meet the mandatory minimum qualification ]
2[criteria and conduct a comprehensive, fair, and impartial ]
3[evaluation of all qualified applications.]
4    (e) (Blank). [The Board shall open all qualified ]
5[applications in a public forum and disclose the applicants' ]
6[names. The Board shall summarize the terms of the proposals ]
7[and make the summaries available to the public on its website.]
8    (f) (Blank). [Not more than 90 days after the publication ]
9[of the qualified applications, the Board shall identify the ]
10[winning bidders. In granting the licenses, the Board may give ]
11[favorable consideration to qualified applicants presenting ]
12[plans that provide for economic development and community ]
13[engagement. To the extent permitted by federal and State law, ]
14[the Board may give favorable consideration to qualified ]
15[applicants demonstrating commitment to diversity in the ]
16[workplace.]
17    (g) (Blank). [Upon selection of the winning bidders, the ]
18[Board shall have a reasonable period of time to ensure ]
19[compliance with all applicable statutory and regulatory ]
20[criteria before issuing the licenses. If the Board determines ]
21[a winning bidder does not satisfy all applicable statutory and ]
22[regulatory criteria, the Board shall select another bidder ]
23[from the remaining qualified applicants.]
24    (h) (Blank). [Nothing in this Section is intended to confer ]
25[a property or other right, duty, privilege, or interest ]
26[entitling an applicant to an administrative hearing upon ]
		SB3733	- 12 -	LRB104 20098 LNS 33549 b
1[denial of an application.]
2    (i) (Blank). [Upon issuance of a master sports wagering ]
3[license to a winning bidder, the information and plans ]
4[provided in the application become a condition of the license. ]
5[A master sports wagering licensee under this Section has a ]
6[duty to disclose any material changes to the application. ]
7[Failure to comply with the conditions or requirements in the ]
8[application may subject the master sports wagering licensee ]
9[under this Section to discipline, including, but not limited ]
10[to, fines, suspension, and revocation of its license, pursuant ]
11[to rules adopted by the Board.]
12    (j) (Blank). [The Board shall disseminate information about ]
13[the licensing process through media demonstrated to reach ]
14[large numbers of business owners and entrepreneurs who are ]
15[minorities, women, veterans, and persons with disabilities.]
16    (k) (Blank). [The Department of Commerce and Economic ]
17[Opportunity, in conjunction with the Board, shall conduct ]
18[ongoing, thorough, and comprehensive outreach to businesses ]
19[owned by minorities, women, veterans, and persons with ]
20[disabilities about contracting and entrepreneurial ]
21[opportunities in sports wagering. This outreach shall include, ]
22[but not be limited to:]
23        [(1) cooperating and collaborating with other State ]
24    [boards, commissions, and agencies; public and private ]
25    [universities and community colleges; and local governments ]
26    [to target outreach efforts; and]
		SB3733	- 13 -	LRB104 20098 LNS 33549 b
1        [(2) working with organizations serving minorities, ]
2    [women, and persons with disabilities to establish and ]
3    [conduct training for employment in sports wagering.]
4    (l) (Blank). [The Board shall partner with the Department ]
5[of Labor, the Department of Financial and Professional ]
6[Regulation, and the Department of Commerce and Economic ]
7[Opportunity to identify employment opportunities within the ]
8[sports wagering industry for job seekers and dislocated ]
9[workers.]
10    (m) By March 1, 2020, the Board shall prepare a request for
11proposals to conduct a study of the online sports wagering
12industry and market to determine whether there is a compelling
13interest in implementing remedial measures, including the
14application of the Business Enterprise Program under the
15Business Enterprise for Minorities, Women, and Persons with
16Disabilities Act or a similar program to assist minorities,
17women, and persons with disabilities in the sports wagering
18industry.
19    As a part of the study, the Board shall evaluate race and
20gender-neutral programs or other methods that may be used to
21address the needs of minority and women applicants and
22minority-owned and women-owned businesses seeking to
23participate in the sports wagering industry. The Board shall
24submit to the General Assembly and publish on its website the
25results of this study by August 1, 2020.
26    [If, as a result of the study conducted under this ]
		SB3733	- 14 -	LRB104 20098 LNS 33549 b
1[subsection (m), the Board finds that there is a compelling ]
2[interest in implementing remedial measures, the Board may ]
3[adopt rules, including emergency rules, to implement remedial ]
4[measures, if necessary and to the extent permitted by State ]
5[and federal law, based on the findings of the study conducted ]
6[under this subsection (m).]
7(Source: P.A. 101-31, eff. 6-28-19.)
8    (230 ILCS 45/25-100)
9    Sec. 25-100. Voluntary self-exclusion program for sports
10wagering and fantasy contests. Any resident, or non-resident
11if allowed to participate in sports wagering or fantasy 
12contests, may voluntarily prohibit himself or herself from
13establishing a sports wagering account or fantasy contest 
14account with a licensee under this Act. The Board and
15Department shall incorporate the voluntary self-exclusion
16program for sports wagering and fantasy contests into any
17existing self-exclusion program that it operates on the
18effective date of this Act.
19(Source: P.A. 101-31, eff. 6-28-19.)
20    (230 ILCS 45/25-120 new)
21    Sec. 25-120. Fantasy contests; legislative intent. Fantasy 
22contests are legally distinct from sports wagering. 
23Nonetheless, the State seeks to ensure both public confidence 
24and trust in the credibility and integrity of fantasy 
		SB3733	- 15 -	LRB104 20098 LNS 33549 b
1contests, as well as to protect the public health and general 
2welfare of the people of the State. Therefore, regulatory 
3provisions of this Act are designed to strictly regulate the 
4facilities, persons, associations, and practices related to 
5fantasy contest operations pursuant to the police powers of 
6the State, including comprehensive law enforcement 
7supervision.
8    (230 ILCS 45/25-120.1 new)
9    Sec. 25-120.1. Definitions. As used in Sections 25-120 
10through 25-120.8:
11    "Adjusted gross fantasy contest receipts" means the total 
12gross entry fees collected from fantasy contest participants 
13in the State, less the in-state participant pro rata share of 
14the total cash prizes paid to any participants in those 
15contests.
16    "Entry fee" means a nonrefundable cash fee that is paid by 
17or on behalf of a participant, or any other entry method 
18obtained for monetary consideration by the participant and set 
19in advance by a fantasy contest operator granting the 
20participant the right to participate in a fantasy contest.
21    "Fantasy contest" means an online contest of skill between 
222 or more participants with an entry fee where:
23        (1) the values of all prizes offered to a winning 
24    participant are established and made known to the 
25    participant in advance of the contest;
		SB3733	- 16 -	LRB104 20098 LNS 33549 b
1        (2) all winning outcomes reflect the relative 
2    knowledge and skill of the participant;
3        (3) the participant assembles, owns, or manages a 
4    fictional entry or roster of actual professional or 
5    amateur athletes, in real-world sports events, or other 
6    event or competition of relative skill authorized by the 
7    Board;
8        (4) a participant competes for prizes awarded by a 
9    fantasy contest operator based on terms and conditions 
10    published by the fantasy contest operator and made known 
11    to the participant in advance of the contest;
12        (5) winning outcomes are determined solely by clearly 
13    preestablished, objective scoring criteria based on one or 
14    more statistical results of the performance of an 
15    individual athlete, including, but not limited to, a 
16    fantasy score; and
17        (6) no winning outcome is entirely based on the score, 
18    point spread, or any performance of any single actual team 
19    or combination of teams or solely on any single 
20    performance of an individual athlete or player in any 
21    single actual event.
22    "Fantasy contest" does not include pool sports wagering 
23conducted in accordance with subsection (i) of Section 25-25 
24of the Sports Wagering Act, single-participant contests played 
25against a fantasy contest operator, or contests without an 
26entry fee.
		SB3733	- 17 -	LRB104 20098 LNS 33549 b
1    "Fantasy contest operator" means a person or entity that 
2offers fantasy contests to members of the public. "Fantasy 
3contest operator" does not include an Internet service 
4provider or a provider of mobile data services merely as a 
5result of that entity's transporting general traffic that may 
6include a fantasy contest.
7    "Large fantasy contest operator" means a fantasy contest 
8operator that had more than 7,500 patrons over the preceding 
9365-day period.
10    "Participant" means an individual who participates in a 
11fantasy contest offered by a fantasy contest operator.
12    "Small fantasy contest operator" means a fantasy contest 
13operator that had 7,500 or fewer patrons over the preceding 
14365-day period.
15    (230 ILCS 45/25-120.2 new)
16    Sec. 25-120.2. Board powers.
17    (a) The Board may regulate the conduct of fantasy contest 
18operators under this Act.
19    (b) The Board shall adopt any rules the Board considers 
20necessary for the successful implementation, administration, 
21and enforcement of this Act. Rules proposed by the Board may be 
22adopted as emergency rules under Section 5-45 of the Illinois 
23Administrative Procedure Act.
24    (c) The Board shall levy and collect all fees, surcharges, 
25civil penalties, and, on adjusted gross fantasy contest 
		SB3733	- 18 -	LRB104 20098 LNS 33549 b
1receipts imposed under this Act, monthly taxes as follows:
2        (1) All application, licensing, and renewal fees 
3    collected under this Act shall be deposited in the State 
4    Gaming Fund.
5        (2) All taxes collected under Section 25-120.6 shall 
6    be deposited into the State Gaming Fund.
7        (3) All civil penalties or fines levied under this 
8    Section shall be deposited in accordance with the Illinois 
9    Gambling Act.
10    (d) The Board may exercise any other powers necessary to 
11enforce the provisions of this Act that it regulates and the 
12rules of the Board.
13    (e) The Board and fantasy contest operator licensees may 
14cooperate with investigations conducted by law enforcement 
15agencies, including, but not limited to, providing and 
16facilitating the provision of account-level entry and 
17participation information.
18    (230 ILCS 45/25-120.3 new)
19    Sec. 25-120.3. Licensure required.
20    (a) Except as otherwise provided in this Section, a person 
21may not offer fantasy contests in this State unless the person 
22is licensed by the Board as a fantasy contest operator. No 
23party other than an owner or key person of a licensee may 
24receive revenue share from the operation of fantasy contests 
25without holding a fantasy contest operator license. A person 
		SB3733	- 19 -	LRB104 20098 LNS 33549 b
1that knowingly offers fantasy contests in violation of this 
2subsection is guilty of a Class 4 felony.
3    (b) A fantasy contest operator that was offering contests 
4to persons located in the State before the effective date of 
5this amendatory Act of the 104th General Assembly may continue 
6to offer contests to persons located in the State until 90 days 
7after the effective date of rules implementing this amendatory 
8Act of the 104th General Assembly. The Board shall issue a 
9temporary operating permit to a fantasy contest operator that 
10was offering contests to persons located in this State before 
11the effective date of this amendatory Act of the 104th General 
12Assembly if the fantasy contest operator files an application 
13for licensure with the Board and pays the required license 
14application fee within 90 days of the effective date of rules 
15implementing this amendatory Act of the 104th General 
16Assembly, subject to Board rules. A holder of a temporary 
17operating permit may continue to offer fantasy sports contests 
18until a final licensing decision is made by the Board.
19    (c) The burden is upon each applicant to demonstrate the 
20applicant's suitability for licensure. An applicant for a 
21license issued under this Act shall submit an application to 
22the Board in the form the Board requires. Each person seeking 
23licensure shall submit to a background investigation conducted 
24by the Board with the assistance of the Illinois State Police 
25or other law enforcement.
26        (1) To the extent that the corporate structure of the 
		SB3733	- 20 -	LRB104 20098 LNS 33549 b
1    applicant allows, the background investigation shall 
2    include any or all of the following as the Board deems 
3    appropriate or as provided by rule for each category of 
4    licensure:
5            (A) each beneficiary of a trust;
6            (B) each partner of a partnership;
7            (C) each member of a limited liability company;
8            (D) each director and officer of a publicly or 
9        nonpublicly held corporation;
10            (E) each stockholder of a nonpublicly held 
11        corporation;
12            (F) each stockholder of 5% or more of a publicly 
13        held corporation; or
14            (G) each stockholder of 5% or more in a parent or 
15        subsidiary corporation.
16        (2) Each applicant shall disclose the identity of 
17    every person, association, trust, corporation, or limited 
18    liability company having a greater than 1% direct or 
19    indirect pecuniary interest in the fantasy contest for 
20    which the license is sought. If the disclosed entity is a 
21    trust, the application shall disclose the names and 
22    addresses of the beneficiaries; if a corporation, the 
23    names and addresses of all stockholders and directors; if 
24    a limited liability company, the names and addresses of 
25    all members; or if a partnership, the names and addresses 
26    of all partners, both general and limited.
		SB3733	- 21 -	LRB104 20098 LNS 33549 b
1    (d) To be eligible for a fantasy contest operator license 
2under this Section, an applicant and its key persons must at 
3minimum:
4        (1) be at least 21 years of age;
5        (2) not have been convicted of a felony offense or a 
6    violation of Article 28 of the Criminal Code of 1961 or the 
7    Criminal Code of 2012 or a similar statute of any other 
8    jurisdiction;
9        (3) not have been convicted of a crime involving 
10    dishonesty or moral turpitude;
11        (4) have demonstrated a level of skill or knowledge 
12    that the Board determines to be necessary in order to 
13    operate fantasy contests; and
14        (5) have met standards for the holding of a license as 
15    adopted by rules of the Board.
16    (e) No person may be licensed if that person has been found 
17by the Board to:
18        (1) have a background, including a criminal record, 
19    reputation, habits, social or business associations, or 
20    prior activities that pose a threat to the public 
21    interests of the State or to the security and integrity of 
22    fantasy contest operations;
23        (2) create or enhance the dangers of unsuitable, 
24    unfair, or illegal practices, methods, and activities in 
25    the conduct of fantasy contest operations; or
26        (3) present questionable business practices and 
		SB3733	- 22 -	LRB104 20098 LNS 33549 b
1    financial arrangements incidental to the conduct of 
2    fantasy contest operations.
3    (f) An applicant shall not be denied licensure on the 
4basis of having previously offered or conducted single-player 
5contests against the operator, so long as no such contests 
6were offered by the applicant after the effective date of this 
7amendatory Act of the 104th General Assembly.
8    (g) On receipt of a completed application and the required 
9fee, the Board shall conduct the necessary background 
10investigation to determine if the applicant meets the 
11qualifications for licensure. On completion of the necessary 
12background investigation, the Board shall either issue a 
13license or deny the application. The Board shall establish 
14procedures to conduct hearings for any person denied 
15licensure.
16    (h) The Board has designated 2 categories of fantasy 
17contest operator, a large fantasy contest operator and a small 
18fantasy contest operator. A small fantasy contest operator 
19shall pay an application and initial license fee of $500 at the 
20time of application. A large fantasy contest operator shall 
21pay an application and initial license fee of $7,500 at the 
22time of application.
23    (i) The term of an initial license shall be 2 years.
24    (j) A large fantasy contest operator shall pay a fantasy 
25contest operator license renewal fee of $5,000 within 30 days 
26of the renewal of a license. A small fantasy contest operator 
		SB3733	- 23 -	LRB104 20098 LNS 33549 b
1shall pay a fantasy contest operator license renewal fee of 
2$300 within 30 days of the renewal of a license. The license 
3shall be renewed every 2 years.
4    (230 ILCS 45/25-120.4 new)
5    Sec. 25-120.4. Conduct of contests.
6    (a) Any fantasy contest conducted under this Act does not 
7constitute gambling for any purpose, including under Article 
828 of the Criminal Code of 1961 or the Criminal Code of 2012.
9    (b) A person participating in a fantasy contest under this 
10Act shall be at least 21 years of age.
11    (c) A licensee under this Act may only accept an entry from 
12a person physically located in the State. A fantasy contest 
13operator must use a geolocation system to ensure that a 
14participant is physically present in the State when 
15participating in the fantasy contest unless otherwise 
16authorized by the Board.
17    (e) No athlete, competitor, referee, official, coach, 
18manager, medical professional, or athletic trainer or employee 
19or contractor of a team or athletic organization who has 
20access to nonpublic information concerning an athlete or team 
21may engage in fantasy contests involving an event or the 
22performance of an individual in an event in which the person is 
23participating or otherwise has access to nonpublic or 
24exclusive information.
25    (f) No key person or employee of a fantasy contest 
		SB3733	- 24 -	LRB104 20098 LNS 33549 b
1operator licensee may participate in fantasy contests offered 
2by licensee.
3    (230 ILCS 45/25-120.5 new)
4    Sec. 25-120.5. Duties of licensees.
5    (a) Licensees shall comply with all applicable anti-money 
6laundering standards.
7    (b) Licensees have an affirmative duty to prevent underage 
8participation in fantasy contents. Licensees shall establish 
9technical and operational measures to prevent underage 
10participation in a fantasy contest.
11    (c) Licensees shall implement identity verification 
12procedures, consistent with modern best practices, to verify 
13an individual's personally identifiable information and can 
14detect potential prohibited participants.
15    (d) Licensees shall employ mechanisms on the operator's 
16platform that are designed to detect and prevent unauthorized 
17accounts and to detect and prevent fraud, money laundering, 
18and collusion.
19    (e) Licensees shall implement geolocation technology to 
20verify that a participant is not accessing the platform from a 
21restricted jurisdiction.
22    (f) Licensees shall make all reasonable efforts to 
23promptly notify the Board of any information relating to:
24        (1) a confirmed breach of the relevant sport's 
25    governing body's internal rules and codes of conduct 
		SB3733	- 25 -	LRB104 20098 LNS 33549 b
1    pertaining to participation in real-money fantasy 
2    contests;
3        (2) any conduct that corrupts any outcome related to a 
4    sports event or sports events for purposes of financial 
5    gain, including match fixing; and
6        (3) suspected illegal activities, including use of 
7    funds derived from illegal activity, entries to conceal or 
8    launder funds derived from illegal activity, 
9    multi-accounting, and using false identification.
10    (230 ILCS 45/25-120.6 new)
11    Sec. 25-120.6. Audits and recordkeeping.
12    (a) Licensees shall contract with a certified public 
13accountant to conduct an annual independent audit consistent 
14with generally accepted accounting principles and any 
15additional standards adopted by the Board.
16    (b) A licensee's fantasy contest platform must be tested 
17and certified by an independent outside testing laboratory 
18approved by the Board prior to commencement of fantasy 
19contests under this Act. The licensee shall have the fantasy 
20contest platform re-tested and certified on an annual basis.
21    (c) Each licensee shall maintain in a place, secure from 
22theft, loss, or destruction, adequate records of business 
23operations that shall be made available to the Board upon 
24request. These records shall be held for at least as long as 
25prescribed by the records retention schedule published by the 
		SB3733	- 26 -	LRB104 20098 LNS 33549 b
1Board, or longer if otherwise prescribed by general accounting 
2and auditing procedures, litigation needs, or State or federal 
3law. These records shall be maintained in a manner accessible 
4to the Board or in a digital format prescribed by the Board.
5    (230 ILCS 45/25-120.7 new)
6    Sec. 25-120.7. Tax. Beginning on July 1, 2026, and for 
7each 12-month period thereafter, for the privilege of holding 
8a license to operate fantasy contests under this Act, this 
9State shall impose a privilege tax of 15% on the fantasy 
10contest operator licensee's adjusted gross fantasy contest 
11receipts.
12    (230 ILCS 45/25-120.8 new)
13    Sec. 25-120.8. Responsible gaming.
14    (a) Each fantasy contest operator shall include a 
15statement regarding obtaining assistance with gambling 
16problems, the text of which shall be determined by rule by the 
17Department of Human Services, on the licensee's portal, 
18Internet website, or computer or mobile application.
19    (b) Any resident, or nonresident if allowed to participate 
20in fantasy contests, may voluntarily prohibit themselves from 
21establishing an account with a licensee under this Act. The 
22Board shall incorporate the voluntary self-exclusion program 
23for fantasy contests into any existing self-exclusion program 
24that it operates on the effective date of this amendatory Act 
		SB3733	- 27 -	LRB104 20098 LNS 33549 b
1of the 104th General Assembly.
2    Section 15. The Criminal Code of 2012 is amended by
3changing Section 28-1 and 28-8 as follows:
4    (720 ILCS 5/28-1)  (from Ch. 38, par. 28-1)
5    Sec. 28-1. Gambling.
6    (a) A person commits gambling when he or she:
7        (1) knowingly plays a game of chance or skill for
8    money or other thing of value, unless excepted in
9    subsection (b) of this Section;
10        (2) knowingly makes a wager upon the result of any
11    game, contest, or any political nomination, appointment or
12    election;
13        (3) knowingly operates, keeps, owns, uses, purchases,
14    exhibits, rents, sells, bargains for the sale or lease of,
15    manufactures or distributes any gambling device;
16        (4) contracts to have or give himself or herself or
17    another the option to buy or sell, or contracts to buy or
18    sell, at a future time, any grain or other commodity
19    whatsoever, or any stock or security of any company, where
20    it is at the time of making such contract intended by both
21    parties thereto that the contract to buy or sell, or the
22    option, whenever exercised, or the contract resulting
23    therefrom, shall be settled, not by the receipt or
24    delivery of such property, but by the payment only of
		SB3733	- 28 -	LRB104 20098 LNS 33549 b
1    differences in prices thereof; however, the issuance,
2    purchase, sale, exercise, endorsement or guarantee, by or
3    through a person registered with the Secretary of State
4    pursuant to Section 8 of the Illinois Securities Law of
5    1953, or by or through a person exempt from such
6    registration under said Section 8, of a put, call, or
7    other option to buy or sell securities which have been
8    registered with the Secretary of State or which are exempt
9    from such registration under Section 3 of the Illinois
10    Securities Law of 1953 is not gambling within the meaning
11    of this paragraph (4);
12        (5) knowingly owns or possesses any book, instrument
13    or apparatus by means of which bets or wagers have been, or
14    are, recorded or registered, or knowingly possesses any
15    money which he has received in the course of a bet or
16    wager;
17        (6) knowingly sells pools upon the result of any game
18    or contest of skill or chance, political nomination,
19    appointment or election;
20        (7) knowingly sets up or promotes any lottery or
21    sells, offers to sell or transfers any ticket or share for
22    any lottery;
23        (8) knowingly sets up or promotes any policy game or
24    sells, offers to sell or knowingly possesses or transfers
25    any policy ticket, slip, record, document or other similar
26    device;
		SB3733	- 29 -	LRB104 20098 LNS 33549 b
1        (9) knowingly drafts, prints or publishes any lottery
2    ticket or share, or any policy ticket, slip, record,
3    document or similar device, except for such activity
4    related to lotteries, bingo games and raffles authorized
5    by and conducted in accordance with the laws of Illinois
6    or any other state or foreign government;
7        (10) knowingly advertises any lottery or policy game,
8    except for such activity related to lotteries, bingo games
9    and raffles authorized by and conducted in accordance with
10    the laws of Illinois or any other state;
11        (11) knowingly transmits information as to wagers,
12    betting odds, or changes in betting odds by telephone,
13    telegraph, radio, semaphore or similar means; or knowingly
14    installs or maintains equipment for the transmission or
15    receipt of such information; except that nothing in this
16    subdivision (11) prohibits transmission or receipt of such
17    information for use in news reporting of sporting events
18    or contests; or
19        (12) knowingly establishes, maintains, or operates an
20    Internet site that permits a person to play a game of
21    chance or skill for money or other thing of value by means
22    of the Internet or to make a wager upon the result of any
23    game, contest, political nomination, appointment, or
24    election by means of the Internet. This item (12) does not
25    apply to activities referenced in items (6), (6.1), (8),
26    (8.1), and (15) of subsection (b) of this Section.
		SB3733	- 30 -	LRB104 20098 LNS 33549 b
1    (b) Participants in any of the following activities shall
2not be convicted of gambling:
3        (1) Agreements to compensate for loss caused by the
4    happening of chance including without limitation contracts
5    of indemnity or guaranty and life or health or accident
6    insurance.
7        (2) Offers of prizes, award or compensation to the
8    actual contestants in any bona fide contest for the
9    determination of skill, speed, strength or endurance or to
10    the owners of animals or vehicles entered in such contest.
11        (3) Pari-mutuel betting as authorized by the law of
12    this State.
13        (4) Manufacture of gambling devices, including the
14    acquisition of essential parts therefor and the assembly
15    thereof, for transportation in interstate or foreign
16    commerce to any place outside this State when such
17    transportation is not prohibited by any applicable Federal
18    law; or the manufacture, distribution, or possession of
19    video gaming terminals, as defined in the Video Gaming
20    Act, by manufacturers, distributors, and terminal
21    operators licensed to do so under the Video Gaming Act.
22        (5) The game commonly known as "bingo", when conducted
23    in accordance with the Bingo License and Tax Act.
24        (6) Lotteries when conducted by the State of Illinois
25    in accordance with the Illinois Lottery Law. This
26    exemption includes any activity conducted by the
		SB3733	- 31 -	LRB104 20098 LNS 33549 b
1    Department of Revenue to sell lottery tickets pursuant to
2    the provisions of the Illinois Lottery Law and its rules.
3        (6.1) The purchase of lottery tickets through the
4    Internet for a lottery conducted by the State of Illinois
5    under the program established in Section 7.12 of the
6    Illinois Lottery Law.
7        (7) Possession of an antique slot machine that is
8    neither used nor intended to be used in the operation or
9    promotion of any unlawful gambling activity or enterprise.
10    For the purpose of this subparagraph (b)(7), an antique
11    slot machine is one manufactured 25 years ago or earlier.
12        (8) Raffles and poker runs when conducted in
13    accordance with the Raffles and Poker Runs Act.
14        (8.1) The purchase of raffle chances for a raffle
15    conducted in accordance with the Raffles and Poker Runs
16    Act.
17        (9) Charitable games when conducted in accordance with
18    the Charitable Games Act.
19        (10) Pull tabs and jar games when conducted under the
20    Illinois Pull Tabs and Jar Games Act.
21        (11) Gambling games when authorized by the Illinois
22    Gambling Act.
23        (12) Video gaming terminal games at a licensed
24    establishment, licensed truck stop establishment, licensed
25    large truck stop establishment, licensed fraternal
26    establishment, or licensed veterans establishment when
		SB3733	- 32 -	LRB104 20098 LNS 33549 b
1    conducted in accordance with the Video Gaming Act.
2        (13) Games of skill or chance where money or other
3    things of value can be won but no payment or purchase is
4    required to participate.
5        (14) Savings promotion raffles authorized under
6    Section 5g of the Illinois Banking Act, Section 7008 of
7    the Savings Bank Act, Section 42.7 of the Illinois Credit
8    Union Act, Section 5136B of the National Bank Act (12
9    U.S.C. 25a), or Section 4 of the Home Owners' Loan Act (12
10    U.S.C. 1463).
11        (15) Sports wagering when conducted in accordance with
12    the Sports Wagering Act.
13        (16) Fantasy contests conducted in accordance with 
14    Sections 25-120 through 25-120.8 of the Sports Wagering 
15    Act.
16    (c) Sentence.
17    Gambling is a Class A misdemeanor. A second or subsequent
18conviction under subsections (a)(3) through (a)(12), is a
19Class 4 felony.
20    (d) Circumstantial evidence.
21    In prosecutions under this Section circumstantial evidence
22shall have the same validity and weight as in any criminal
23prosecution.
24(Source: P.A. 101-31, Article 25, Section 25-915, eff.
256-28-19; 101-31, Article 35, Section 35-80, eff. 6-28-19;
26101-109, eff. 7-19-19; 102-558, eff. 8-20-21.)
		SB3733	- 33 -	LRB104 20098 LNS 33549 b
1    (720 ILCS 5/28-8)  (from Ch. 38, par. 28-8)
2    Sec. 28-8. Gambling losses recoverable.
3    (a) Any person who by gambling shall lose to any other
4person, any sum of money or thing of value, amounting to the
5sum of $50 or more and shall pay or deliver the same or any
6part thereof, may sue for and recover the money or other thing
7of value, so lost and paid or delivered, in a civil action
8against the winner thereof, with costs, in the circuit court.
9No person who accepts from another person for transmission,
10and transmits, either in his own name or in the name of such
11other person, any order for any transaction to be made upon, or
12who executes any order given to him by another person, or who
13executes any transaction for his own account on, any regular
14board of trade or commercial, commodity or stock exchange,
15shall, under any circumstances, be deemed a "winner" of any
16moneys lost by such other person in or through any such
17transactions.
18    (b) If within 6 months, such person who under the terms of
19Subsection 28-8(a) is entitled to initiate action to recover
20his losses does not in fact pursue his remedy, any person may
21initiate a civil action against the winner. The court or the
22jury, as the case may be, shall determine the amount of the
23loss. After such determination, the court shall enter a
24judgment of triple the amount so determined.
25    (c) Gambling losses as a result of gambling conducted on a
		SB3733	- 34 -	LRB104 20098 LNS 33549 b
1video gaming terminal licensed under the Video Gaming Act are
2not recoverable under this Section.
3    (d) Losses as a result of participation in single-player 
4fantasy contests against a fantasy contest operator prior to 
5the effective date of this amendatory Act of the 104th General 
6Assembly are not recoverable under this Section.
7    (e) Losses as a result of participation in fantasy 
8contests conducted under Sections 25-120 through 25-120.8 of 
9the Sports Wagering Act are not recoverable under this Section
10(Source: P.A. 98-31, eff. 6-24-13.)
11    Section 99. Effective date. This Act takes effect upon
12becoming law.
		SB3733	- 35 -	LRB104 20098 LNS 33549 b
1
  INDEX
2
  Statutes amended in order of appearance
3    5 ILCS 100/5-45.71 new
4    230 ILCS 45/25-10
5    230 ILCS 45/25-25
6    230 ILCS 45/25-45
7    230 ILCS 45/25-100
8    230 ILCS 45/25-120 new
9    230 ILCS 45/25-120.1 new
10    230 ILCS 45/25-120.2 new
11    230 ILCS 45/25-120.3 new
12    230 ILCS 45/25-120.4 new
13    230 ILCS 45/25-120.5 new
14    230 ILCS 45/25-120.6 new
15    230 ILCS 45/25-120.7 new
16    230 ILCS 45/25-120.8 new
17    720 ILCS 5/28-1	from Ch. 38, par. 28-1
18    720 ILCS 5/28-8	from Ch. 38, par. 28-8