October IGB Update: Urgent Call for Public Comment; A New Horse in the Race; New Revenue Numbers

Welcome to another edition of Universal Gaming Group’s IGB meeting updates.

Administrator Marcus Fruchter opened the latest IGB meeting on the morning of October 24th by announcing the IGB’s meeting schedule for 2025. The meeting dates are: February 6, March 13, April 24, June 5, July 24, September 11, October 23 and December 11.  

The meeting then got underway with several important updates as we move toward the end of the year.

IGB Announces New Public Commentary Processes

The IGB is starting a new process to seek comments and proposals on two significant future VGT rules under consideration. The first a rule that would bring video gaming into the IGB’s Self-Exclusion Program (the “SEP”) for problem gamblers. Not currently available to video gaming, the IGB and many industry insiders have struggled to resolve this issue for years. The IGB is strongly urging public comments in hopes to push the issue forward at last. 

Secondly, the IGB is seeking public comments and proposals regarding the regulation of cashless technology in video gaming. We saw this technology being showcased in several ways at G2E this year. Already in use in some geographies in the United States, this renewed call for public commentary suggests that Illinois is getting closer to considering inclusion of the technology in our own market.

Fruchter requested input to be submitted by 5:00 p.m. CT on January 12, 2025. Submissions can be sent directly to the IGB via its online inquiry form. We highly encourage all gaming businesses to participate.

Accel Goes to the Races

Previously announced, Accel Entertainment was seeking to acquire ownership of the horse racetrack in Collinsville, Fairmount Park. The IGB approved the requested transfer of ownership today. Accel notified the Board that it hopes to have its racino operational in April 2025, which coincides with the scheduled opening of racing season at Fairmount Park.

Casino Rule 3000.175

The IGB voted to adopt proposed rule 3000.175, which only impacts casinos and addresses human trafficking recognition, reporting and signage. As the IGB consistently seeks to unify rules across gaming verticals (casinos, sports wagering and video gaming), it is reasonable to assume that this topic comes to video gaming in the future.

A Look at the Numbers

Fruchter noted that Illinois now has 15 casinos, with a 16th on the horizon; 15 sportsbooks; 8,683 video gaming establishments and 48,751 VGTs. More than 70% of establishments are operating more than 5 VGTs. 

In September 2024, VGTs produced NTI of $240,794,657, for a total tax generation of $84,277,954. The State kept $71,888,330, while municipalities and counties generated $12,389,624. Illinois casinos generated AGR of $138,961,068, good for a tax of $43,830,559– $34,789,757 to the State, and $9,040,802 to host communities. Sports wagering AGR was $59,161,811, which resulted in total tax of $14,274,082. The State received $13,648,921 and Cook County received $625,158. Year to date total gaming tax generated is $1,202,489,905. The industry is quite healthy, indeed.

Licensing Updates

The IGB issued a new TO license to Traayo Gaming LLC, and issued 4 new Technician licenses and 48 Terminal Handler licenses. 

Along with granting 98 new licenses, Notices of Denial were issued to: BCG Restaurant Group Inc., d/b/a Thorabella’s; Jam Bug LLC, d/b/a The Chinchbug; and Knox Investments, Inc., d/b/a The Pony. The Board also issued a Notice of Non-Renewal to Primo’s Tacos Inc., which allegedly did not pay a previously imposed fine or the annual license fee. 

The Board announced four rescissions. First rescinding a previous non-renewal of DGC 132012, Inc., d/b/a El Progreso Latino, which settled its dispute with the Board for a $1,500 fine.  The Board also rescinded a non-renewal of Bryan’s Boondocks, Inc., which paid its fine and late fee. The Board also rescinded the non-renewal of Shri Gasoline Inc., d/b/a BP Shop, which paid a $30,000 fine related to allegations of coin-pusher exposure. Finally, the Board rescinded the previous denial of Arbuda Oaklawn Inc., d/b/a Oaklawn Wine and Spirits, which resolved its disagreement with the Board about appropriate seating in the gaming area. This is a good reminder to work with your Terminal Operator to resolve any issues quickly before problems arise or you encounter any operational delays.

Requests for Hearing

The Board denied requests for hearing from Gammon Coach House, LLC (failure to state a prima facie case involving distance between the establishment and a church) and Rudraya Corp., d/b/a Bravo Pizza (failure to comply with the requirements to request a hearing). Again, this is a good reminder to work with your TO or gaming lawyer to ensure requests for hearing follow the IGB guidelines.

Rule 320 Decisions

The Board issued two final Orders related to Rule 320. First, in Lucky Lincoln Gaming, LLC v. La Ofcina Bar and Gaming, Inc. and Accel Entertainment Gaming, LLC, the Board issued a final Order adopting the Administrator’s recommended decision to grant (in part) and deny (in part) Lucky Lincoln’s petition.

In a similar case, Lucky Lincoln Gaming, LLC v. Huddle Bar & Grill Inc. and Accel Entertainment Gaming, LLC, the Board issued a final Order adopting the Administrator’s recommended decision to grant (in part) and deny (in part) Lucky Lincoln’s petition.

The next and final IGB meeting of 2024 is scheduled for Thursday, December 12th. Don’t forget to follow Universal Gaming Group on LinkedIn for ongoing updates, industry news and more gaming insights!

Universal Gaming Group advocates for responsible gambling.

Must be 21 or older to game. If you or someone you know has a gambling problem, crisis counseling and referral services can be accessed by calling 1-800-GAMBLER (1-800-426-2537) or text “GAMB” to 833234. Individuals can enroll in the IGB Self-Exclusion Program at all of the IGB offices located at all casinos. Additional information can be found at https://www.igb.illinois.gov/selfexclusion.

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