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Illinois VLTs: the saga continues
Published:  26 July, 2011

The ever-changing battle for video lottery terminals (VLTs) in Illinois continues. The state’s house of representatives voted for a proposed law known as SB 744, which allows five new casinos within the state, including one in downtown Chicago, and others at racetracks and at O’Hare International Airport. Estimates of $1.5bn in licensing fees for this year, and a minimum of $500m in annual new tax revenues, are expected to help rescue the disastrous Illinois economy.

After 20 years of lobbying efforts by the Illinois Coin Machine Operators Association (ICMOA), the original 2009 Video Gaming Act (VGA) bill allowing VLTs was produced with much input from the Illinois amusement industry.

But this new bill has a potentially unfavourable impact, since statewide casino expansion would hinder operators from being part of a legal video lottery market. With huge licensing fees and a high tax structure, existing casino companies could argue against VLTs in local sites, claiming undue competition for possibly larger state gambling dollars.

SB 744 could also delay the start of the VGA, which is now in limbo and awaiting a decision at the state level by the Illinois Supreme Court. Their ruling will determine the legitimacy of the 2009 law.

Quinn has informed legislators that he would consider changing the VGA from an “opt-out” status to an “opt-in” programme for cities, counties and town permitted to have operator-run video poker. So far, 80 communities have rejected VLTs.







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