Illinois Lawmakers Review Gambling Expansion

Another year, another attempt to expand gambling in Illinois, as the optimists and pessimists line up. Some lawmakers said competition in neighboring states and new technology will force new legislation. Others said the state is near the gambling saturation point. Senator Dave Syverson (l.) is proposing a massive expansion that would permit new casinos in Chicago, south suburban Cook County, Danville, northern Lake County, Rockford and Williamson County in southern Illinois.

Illinois Lawmakers Review Gambling Expansion

In Illinois, some lawmakers believe expanded gambling legislation may pass this year in order to compete with neighboring states and stay current with new technology. The state lottery, riverboat casinos, horse racing and video gambling generated more than $1.3 billion in tax revenue for the state in 2017, nearly an 8 percent increase from 2016 according to a report from the Commission on Government Forecasting and Accountability.

One area of interest is daily fantasy sports websites. State Rep. Michael Zalewski has sponsored House Bill 479, which would legalize and regulate DFS. “I think there’s enough critical mass and opportunity in the General Assembly to get something done,” he said. A similar bill passed the Senate overwhelmingly last May, but stalled in the House. State Attorney General Lisa Madigan has claimed DFS websites like FanDuel and DraftKings are illegal gambling under current law. But, Zalewski said, “It makes no sense to operate in a regulatory vacuum.”

Another bill that passed the Senate, Senate Bill 7, would allow new casinos in Chicago, south suburban Cook County, Danville, northern Lake County, Rockford and Williamson County in southern Illinois. The measure also would permit slot machines at racetracks. The bill is similar to two others that were vetoed by former Governor Pat Quinn. But state Senator Dave Syverson said, “We’re hoping the House would take up the gaming bill and pass it and save northern Illinois from what would be a really big blow. Even if they hold it up for another year, we’ll be too late.”

Syverson was referring to a proposed tribal casino, hotel and convention center just over the Wisconsin state line from Rockford. He said that would devastate Rockford’s convention and tourism industry. Syverson added, “Some would say that Chicago has a casino, and that casino is in Indiana,” noting several gambling operations are located just over that state line.

Observers said the greatest challenge to passing gambling legislation this year will be to unite an industry rife with opposing demands. Lobbyist Donna More, previously general counsel to the Illinois Gaming Board said, “It would make sense to pull everyone in. There’s an ‘arms race’ for gaming revenue, so, for example, unless you tie additional casinos with slots at the tracks, it doesn’t work.”

But Illinois Casino Gaming Association President Tom Swoik said does not expect gaming expansion to pass this year. And Steve Brubaker, a lobbyist for the horseracing industry, stated, “We won’t see any gambling expansion of any kind become law in 2018” because of election-year politics, the relatively short legislative session and competing gaming interests.

State Rep. Lou Lang, however, said, “It will happen, whether it’s this year or next or the year after.”