Illinois is 1 step away from sports gambling after a last-ditch campaign by Rep. Bob Rita fell into place that weekend.
House lawmakers voted to approve a broad expansion of gaming within a funding financing bill on Saturday, and the Senate followed suit on Sunday. Gambling provisions within the act include a long-awaited casino in Chicago and authorization for both retail and online sports gambling.
The bill now moves to the desk of Gov. J.B. Pritzker, whose current comments make it clear he’ll sign it into law. The governor helped shepherd IL sports betting across the end line, wanting to drive more than $200 million in additional revenue to his state.
Passage was, frankly, a remarkable feat considering the lack of progress through the first five weeks of this year. Previous hints from Rep. Mike Zalewski were turned aside, and also a perceived conflict of interest forced him to step back at the final days of session.
LSR continues to be keeping a close eye on the chatter this weekend and updating this page as the situation unfolded. Here is the play-by-play:
Is Sunday the afternoon for Illinois sports betting?
The Senate finally takes the floor 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 impact of $12 billion. Commendations and favorable comments from Sen. Dave Syverson, the Senate Minority Leader, seem to indicate that passage is a certainty.
Opinions are brief and largely surface-level, using a few lawmakers lugging around in narrow provisions that affect their constituents. Sen. John Curran is the only person who speaks to sports gambling at any length, looking for clarification on the branding provisions for online platforms.
Link is emotional as he closes the event, reflecting on his 20-year effort to improve economic development from manufacturing.
The chamber applauds as the board lights up green, and also the Senate concurs with the House changes with a 46-10 vote. Just like that, the bill that will legalize sports betting in Illinois is headed to the governor.
IL sports betting bill as amended
Here’s the full text of the language:
What is in the amendment?
The new vertical funding bill contains a multi-level gaming package headlined by a mega-casino at Chicago. The measure also offers six categories of licensure for IL sports gambling:
Master sports wagering
Occupational
Supplier
Management services supplier Tier 2 official league info supplier Central system provider In plain terms, these classes allow casinos, race tracks, and sports venues to offer sports gambling — both 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 implementation encompassing 2,500 places in the first year.
IL sports gambling details
The fee for a master sports gambling license is calculated based on gross gaming revenue from the previous calendar year. Casinos will cover 5% of that number to provide sports betting for four decades up to a max of $10 million. That cap was not present in recent versions and should ease the load on large operators like Rush Street Gaming. Rita also softened the proposed tax rate down to 15% of revenue.
As you can infer from the classes, language mandating the use of official league data for props and in-play betting stuck. While there is absolutely no integrity fee, the invoice will not enable colleges and sports leagues to limit the types of available wagers. As composed, weatherproof collegiate sports are completely off the plank in Illinois.
The amendment removes the total blackout period for internet betting that snuck into a previous version, but it does keep a modified penalty box for DraftKings and FanDuel. Daily fantasy sports companies will be permitted to compete at the sports betting arena, but just master licensees can offer online wagering for the initial 18 months.
The change also creates three online-only licenses costing $20 million apiece, awarded on a delay by means of a competitive procedure.
Saturday: Agreement reached for IL sports gambling About three hours to the weekend session, we are still in a holding pattern. House lawmakers have ticked several more items off their to-do list today, such as a bill that raises the minimum wages for Illinois teachers. For now, however, there’s nothing new to report on sports gambling.
Aside from the things we are already touched , a few other challenges have cropped up.
Perhaps most importantly, Chicago Mayor Lori Lightfoot publicly opposes the bill as written. Her main concern is the provision permitting sportsbooks inside of stadiums and arenas.
Mayoral resistance leads to’comprehension’
Here is the statement from Mayor Lightfoot, as reported by Capitol Fax:
“I strongly support a gambling bill that directs a brand new casino and dollars to the town of Chicago. However, I oppose the inclusion of a provision that could open up sports wagering in areas like Soldier Field. Such a proposal has the capacity to undermine the viability of any Chicago-based casino through the diversion of customers and revenue from a casino. Because the impact of sports wagering in stadiums has not been fully assessed or analyzed, I can’t support the bill in its present form and advocate the deletion of this stadium-betting provision”
On Saturday, but the government releases a followup statement indicating that the conversation is moving ahead:
“I have spoken to Mayor Lightfoot concerning her issues 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 number of and locations for sports betting venues. I’m pleased that we’ve attained this understanding…”
Mayor Lightfoot then drops her resistance via another statement:
“After successful discussions with the Governor, we have agreed to allow a limited amount of betting at sports areas subject to local control and oversight. These improvements to the gambling proposal will permit us to maximize revenue capabilities of a new casino to the Town of Chicago and ensure a good quality of life to our neighborhoods which may otherwise be affected. As such, I recommend the passage of SB 690 as amended…”
Illinois House votes on sports gambling Following a break for committee meetings and caucuses, Rep Bob Rita documents a final amendment to the funding package. The sport gambling language looks mostly unchanged at a glimpse, though there are a great deal of words to get through. The bill is known as second reading about 6 p.m. local time and moved straight to third.
By there, it’s evident that House lawmakers have reached an agreement to pass quite a few large bills — including this one — until the end of the night. The ground presentation becomes something of a victory lap for Rita, with different 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 chamber of origin for concurrence. The Senate matches Sunday at 3 p.m.
Friday: Last gasp for IL sports gambling prospects
Friday was frantic at 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 were forced to issue a bad-news bulletin extending the work week through Sunday.
Although sports gambling remains unresolved, a significant effort has materialized.
Rep. Robert Rita captured the reins on Friday, borrowing from the framework of Rep. Mike Zalewski to cobble together a compromise bill. His effort ran from daylight on the House floor, however, the bonus weekend of lawmaking means there’s still hope for sports gambling this season.
Even though there’s some momentum, failure to cast a vote on Friday makes the job a little bit taller. Any bills considered from here on out require a 3/5ths supermajority to passa brink that could just be out of reach.
Here’s a chronological timeline of the day’s events:
A brand new vehicle for IL sports gambling 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 bill 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 this week, and he is the first to reveal that everyone is looking in the incorrect place.
Joe Ostrowski
???
@JoeO670
Some optimism in Springfield for sport gambling.
SB 690 should shed very soon.
41
7:22 PM – May 31, 2019
Twitter Ads information and privacy See Joe Ostrowski’s additional Tweets
The invoice he cites (S 690) is not a gambling bill, but a measure amending tax provisions at the Invest in Kids Act. The present version has already cleared the Senate and awaits a floor vote in the lower room. Unexpectedly, some anticipate House lawmakers to submit a new amendment related to sports gambling.
Sure enough, a placeholder pops upon the docket, using 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 indication that something is going to take place.
LSR sources indicate that there’s excellent reason to monitor the dialogue all the way up before the last 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 cigarettes, parking, video lottery terminals, and numerous other mechanisms to boost state revenue. The overall fiscal impact is near $1 billion, together with sport betting representing just a tiny component of the bundle.
It’s the fastest of hearings, over in under five minutes. 1 member inquires whether or not the bill increases the amount of slot machines for each casino licensee — it will — and that’s about it.
House Executive committee hearing
A heated floor debate on a marijuana bill (which finally passed) delays the House hearing by several hours.
When the committee finally 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 betting 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 favor of passage.
Without much lead time, the amendment attracts 34 proponents and nine competitions (which grows to 18). Casino groups such as Boyd Gaming, Penn National Gaming, and the Illinois Casino Association remain opposed to this final language.
Members of this committee have loads of questions, but the bulk of the discussion centers around gambling provisions not related to sports gambling. Rita struggles to explain some of the finer points in detail, especially as they relate to DraftKings and FanDuel. It’s complicated.
The language enables online platforms, but online-only companies can’t find licensure for the initial 18 weeks of IL sports betting. The host indicates he constructed his bill that way to”provide Illinois companies a ramp” to the new sector. Rita also notes that his amendment will not impact the present status quo for DFS.
The committee advocates adoption of the amendment by an 8-5 vote, progressing the bill to the floor. There’s still a great deal of work left to do prior to adjournment, equally on sports gambling and on a number of pivotal issues — such as the state funding.
Formerly, in Illinois sports betting…
This year’s effort to legalize sports gambling follows in the footsteps of the unsuccessful 2018 effort.
As it did this past year, work started early in 2019. Lawmakers cobbled together many different possible frameworks, each catering to a specific group of stakeholders. Yet again, however, nothing broadly palatable had emerged as the last couple of hours of session ticked off the clock.
The proposed budget from Gov. J.B. Pritzker includes $217 million in revenue from sports betting, so there is more at stake than just the freedom to bet. Failure would induce Illinois to observe from the sidelines while its neighbors in Indiana and Iowa activate their new laws.
Who will participate?
The concept of this”penalty box” is the biggest hurdle to a passage right now.
To make a long story short, some casino collections are working to keep DraftKings Sportsbook and FanDuel Sportsbook out of the Illinois marketplace. They assert that daily fantasy sports isn’t explicitly lawful in the country, and these so-called bad actors should be deducted from licensure for 3 decades. The real motivation is, clearly, that a desire to get rid of competition in both companies running away with all the New Jersey sports betting market.
DraftKings responded by briefly running a tv campaign pushing back to the barrier from Rush Street Gaming.
How much does it cost?
The sports leagues also have gained more leverage with Illinois lawmakers than they have elsewhere in the nation.
Most previous tips for IL sports gambling required payment of a ethics fee and using official league information to repay”Tier 2″ wagers. No US sports betting legislation comprises a ethics fee, and Tennessee is the only one with a data mandate.
Coupled with licensing prices payable out at $25 million and taxes amounting to 20% of revenue, these operational burdens may stand between the invoice and the finish line.
Who’s in charge?
Rep. Mike Zalewski carried the baton all spring, but 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 stuff the enabling language into the broader gaming package before lawmakers head home for the year. In what could be regarded as an encouraging sign, Senate Republican Leader Sen. Dave Syverson has signed as a co-sponsor.
There’s no warranty that bill moves, though, and it may not contain sports betting provisions even when it really does.
Matt Kredell contributed to this story.
Read more: https://montanayouthrugby.org/category/sports-betting-strategy/
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