Illinois Gaming Board Met June 9.
Here is the minutes provided by the board:
The Illinois Gaming Board (“Board”) convened for a Regular Meeting at approximately 9:10 A.M. In accordance with Section 12 of the May 28, 2021 Disaster Proclamation issued by Illinois Governor JB Pritzker, in-person attendance of more than ten people at the regular meeting location was not feasible; therefore, the Board held the meeting through electronic means. The meeting was accessible on the morning of June 9, 2021 via livestream at: https://multimedia.illinois.gov/igb/igb-live.html.
A roll call was taken. The following Board members were present: Chairman Charles Schmadeke, Member Anthony Garcia and Member Dionne Hayden. Three members of the Board being present, a quorum was satisfied.
APPROVAL OF OPEN SESSION MINUTES
The Board unanimously approved the open session minutes from its Regular Meeting held on Wednesday, April 21, 2021.
BOARD MEMBER COMMENTS
None.
ADMINISTRATOR’S REPORT
Administrator Fruchter began his report by highlighting the fact that the State of Illinois and its gaming industry will move to Phase 5 of the Restore Illinois framework on June 11th. The Administrator urged people to remain vigilant, get vaccinated and follow the remaining COVID protocols in place. He noted that Illinois Video gaming establishments are able to offer vaccinated patrons a free alcoholic beverage for a limited time. The Administrator also made reference to a gaming bill recently passed by the House of Representatives which included IGB initiatives that would (1) simplify, streamline and unify license renewals and (2) require licensing for Video Gaming sales agents and brokers. He noted that the Senate has not yet considered the gaming bill. Administrator Fruchter noted that the IGB would continue to push for legislation that criminalizes unregulated sweepstakes games. The Administrator then provided a brief update on the status of the new casino Owners license applications and the Organization Gaming license applications. He also mentioned that the IGB intends to study the possibility of allowing its staff to issue declaratory rulings or advisory opinions. He noted that the IGB will seek public commentary on the issue through August 31, 2021. The Administrator further noted that the Board will seek public commentary about potential revisions to the rules that govern the conduct of casino gaming.
Administrator Fruchter noted that there are 39,662 VGTs in operation at 7,591 licensed establishments. The Administrator further noted that last month, VGTs generated State and local tax revenue of nearly $82 million, casinos generated approximately $23 million and sports wagering generated about $7 million in tax revenue.
PUBLIC COMMENTARY
The Board did not entertain any public commentary.
CASINO
The Rockford Island Boatworks, Inc. d/b/a Jumers Casino & Hotel delivered a presentation to the Board in connection with its Request for Final Consideration of Transfer of Ownership.
Next, representatives of Walker’s Bluff Casino Resort, LLC d/b/a Walker’s Bluff Casino Resort, LLC, the applicant for an Owners license in Williamson County, delivered a presentation to the Board in connection with its Finding of Preliminary Suitability.
At approximately 11:20 A.M., Member Garcia moved that the Board go into closed session pursuant to Section 2(c), paragraphs (11), (21) and (36) of the Open Meetings Act to discuss items on the closed session agenda relating pending litigation, discussion of closed session minutes of the Board Meeting held on Wednesday, April 21, 2021, and discussion of confidential information exempt from disclosure pursuant to Section 6(d) of the Illinois Gambling Act. Member Hayden seconded the motion. The Board approved the motion unanimously by voice vote. Thereafter, the Board held its closed session meeting through electronic means, the minutes of which are separately recorded. The Board’s closed session meeting was not accessible via livestream at https://multimedia.illinois.gov/igb/igb-live.html.
At approximately 12:00 P.M., the Board reconvened its Regular Meeting of Wednesday, June 9, 2021 pursuant to the Illinois Open Meetings Act, 5 ILCS 120/1 et seq. The meeting was held through electronic means and was accessible via livestream at: https://multimedia.illinois.gov/igb/igb-live.html.
Another roll call was taken. The following Board members were present: Chairman Charles Schmadeke, Member Anthony Garcia and Member Dionne Hayden. Three members of the Board being present, a quorum was satisfied.
CASINO (cont’d)
Request for Final Consideration of Transfer of Ownership
• The Rock Island Boatworks, Inc. d/b/a Jumers Casino & Hotel
The Board voted unanimously to adopt the staff’s recommendation to approve the ownership transfer of The Rock Island Boatworks, Inc. d/b/a Jumer’s Casino and Hotel to Bally’s Corporation through its wholly owned subsidiary, Twin River Management Group, Inc. and find the following entities and individuals suitable as key persons:
o Twin River Management Group, Inc.
o Bally’s Corporation
o Standard General RI, Ltd.
o Standard General L.P.
o PAR Capital Management
o EPSG Master SPC Ltd.
o Standard General Master Fund II L.P.
o Soohyung Kim
o Terrence Downy
Pursuant to the authority delegated by the Board on June 11, 2020, as amended on September 17, 2020, the Administrator approved the parties’ request under Rule 230(d)(1)(B) to convert under the Illinois conversion statue from an Illinois corporation to an Illinois limited liability company just prior to the proposed closing on June 14th, 2021.
Finding of Preliminary Suitability
• Walker’s Bluff Casino Resort, LLC
The Board voted unanimously to adopt the staff’s recommendation to find Walker’s Bluff Casino Resort, LLC d/b/a Walker’s Bluff Casino Resort, LLC preliminarily suitable for an Owners license and further find the following key persons suitable:
o Cynthia L. Bunch
o James D. Bunch
o Daniel J. Kehl
o Robert A. Kehl
o Daniel N. White
o Karlyn A. Ollendick
Request for Initial Consideration of Owners License Renewal
• Casino Queen, Inc. d/b/a DraftKings as Casino Queen
No Board vote required.
Request for Initial Consideration of Transfer of Ownership
• Casino Queen, Inc. d/b/a DraftKings as Casino Queen
No Board vote required.
Level 1 License Applications
• Christopher J. Schneider – HC Joliet, LLC d/b/a Hollywood Casino Joliet – Director of Casino Operations
The Board voted unanimously to adopt the staff’s recommendation to approve Christopher J. Schneider as a Level 1 Occupational licensee in his position as Director of Casino Operations at HC Joliet, LLC d/b/a Hollywood Casino Joliet.
• Michael R. Younie – HC Aurora, LLC d/b/a Hollywood Casino Aurora – Security Manager
The Board voted unanimously to adopt the staff’s recommendation to approve Michael R. Younie as a Level 1 Occupational licensee in his position as Security Manager at HC Aurora, LLC d/b/a Hollywood Casino Aurora.
Key Person Approvals
• William Michael Reeg – Des Plaines Development Limited Partnership d/b/a Harrah’s Joliet Casino & Hotel – Regional President & General Manager
The Board voted unanimously to adopt the staff’s recommendation to find William Michael Reeg suitable as a key person of Des Plaines Development Limited Partnership d/b/a Harrah’s Joliet Casino & Hotel – Regional President & General Manager.
• Rafael R. Verde – Alton Casino, LLC d/b/a Argosy Casino Alton – Senior Vice President of Operations for Penn National Gaming, Inc.
The Board voted unanimously to adopt the staff’s recommendation to find Rafael R. Verde suitable as a key person of Alton Casino, LLC d/b/a Argosy Casino Alton in his capacity as Senior Vice President of Operations for Penn National Gaming, Inc.
The Board voted unanimously to adopt the staff’s recommendation to find the following individuals, business entities, and trusts suitable as key persons of 815 Entertainment, LLC d/b/a Hard Rock Casino Rockford:
o Marc J. Jacobson
o Brent B. Johnson
o Sunil Puri
o Brent B. Johnson Trust dated March 24, 1997
The Board voted unanimously to adopt the staff’s recommendation to find the following individuals, business entities, and trusts suitable as owners of 815 Entertainment, LLC d/b/a Hard Rock Casino Rockford:
1. Gretchen T. Bastuga
2. Charles E. Box
3. Sophia Bross
4. Julia L. Costello
5. William K. Cunningham
6. Christopher R. Dandrow
7. Mary A. Dunleavy
8. Ronald W. Engesether
9. Jason R. Frank
10. Hugh M. Jones IV
11. Rachel K. Kenyon
12. William K. Knicker
13. Justin K. Kwak
14. Jason D. Lichtman
15. John D. Lichty
16. Matthew S. Murphy
17. Karen R. Nielsen
18. Jan H. Ohlander
19. Lauren B. Rabb
20. Andrew K. Roiniotis
21. Jason A. Rolence
22. Arthur S. Rone
23. Debra A. Sasse
24. Beth A. Satterfield
25. Dawn M. Shanine
26. George Donald Shanine
27. George Noel Shanine
28. Sydney E. Shanine
29. Todd M. Shaw
30. Suzanne Velasquez Sheehy
31. Jessica Theisen
32. Renee Togher
33. Arthur R. Velasquez
34. Laine N. Warner
35. William W. Warner
36. Brent D. Wilde
37. James W. Wilde
38. Joshua K. Wilde
39. Jennifer V. Yilk
40. Nannette Zander
41. Clearwater Property Investments, LLC
42. RCI Investments LLC
43. VCI Partners, LLC
44. Dawn M. Shanine Irrevocable Trust
45. Gretchen Bastuga Revocable Trust
46. The Bill Warner 2019 GST Exempt Trust
47. The James W. Wilde Revocable Trust Agreement
ORGANIZATION GAMING LICENSE ITEMS
Request for Initial Consideration of Transfer of Ownership
• Fairmount Park, Inc. d/b/a FanDuel Sportsbook and Racetrack
No Board vote was required.
OCCUPATIONAL LICENSEE ITEMS
Level 2 and Level 3 License Applications – Approvals and Denials:
The Board voted unanimously to adopt the staff’s recommendation to approve 48 Level 2 and 57 Level
3 occupational license applicants.
Occupational License Renewals by the Administrator
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator renewed the Level 1, 2, and 3 licenses of individuals who were licensed or renewed in May and June of 2020 and who have properly updated their applications and complied with the requirements of the Illinois Gambling Act and the Board’s Rules.
SUPPLIER LICENSEE ITEMS
• (815) Beltway Holdings, LLC
The Board voted unanimously to adopt the staff’s recommendation to issue a casino supplier license to (815) Beltway Holdings, LLC for a period of one year, expiring in June 2022 and further find Daniel Lewis Fischer and Miles Edwin Bretsch suitable as key persons of (815) Beltway Holdings, LLC.
Supplier Key Person Approvals
• Adam T. Jerusalim – NRT Technology Corp – Chief Financial Officer
The Board voted unanimously to adopt the staff’s recommendation to find Adam T. Jerusalim suitable as a key person of NRT Technology Corp. in his capacity as Chief Financial Officer.
SPORTS WAGERING
SPORTS WAGERING OCCUPATIONAL LICENSEE ITEMS
Level 1 License Applications
• Thomas James Carey – HC Joliet, LLC d/b/a Hollywood Casino Joliet – Sportsbook Manager
The Board voted unanimously to adopt the staff’s recommendation to approve the Level 1 Sports Wagering Occupational license application for Thomas James Carey in his position as Sportsbook Manager for HC Joliet, LLC d/b/a Hollywood Casino Joliet.
• Nicholas Darryn Smith – Par-A-Dice Gaming Corporation d/b/a Par-A-Dice Hotel Casino – Sportsbook Manager
The Board voted unanimously to adopt the staff’s recommendation to approve the Level 1 Sports Wagering Occupational license application of Nicholas Darryn Smith, Sportsbook Manager for Par A- Dice Gaming Corporation d/b/a Par-A-Dice Hotel Casino.
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator issued Level 1 Sports Wagering Licenses to Christopher J. Schneider, Director of Casino Operations at HC Joliet, LLC d/b/a Hollywood Casino Joliet and Michael R. Younie, Security Manager at HC Aurora, LLC d/b/a Hollywood Casino Aurora.
Level 2 and Level 3 License Applications – Approvals
The Board voted unanimously to adopt the staff’s recommendation to approve the Level 2 sports wagering occupational licenses of 198 individual applicants.
Initial Master Sports Wagering Licenses
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator issued Master Sports Wagering licenses to the following entities for a period of four years, expiring in June 2025:
o The Rock Island Boatworks, Inc. d/b/a Jumer’s Casino & Hotel
o Des Plaines Development Limited Partnership d/b/a Harrah’s Joliet Casino & Hotel
o Southern Illinois Riverboat/Casino Cruises LLC d/b/a Harrah’s Metropolis Casino & Hotel
Initial Sports Wagering Supplier License
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator issues a Sports Wagering Supplier license on May 28, 2021 to Novomatic Americas Sales LLC for a period of four years, expiring in May 2025.
VIDEO GAMING
TERMINAL OPERATOR LICENSEE ITEMS
Initial Licensee Items
• Diversity Gaming Solutions, LLC
The Board voted unanimously to adopt the staff’s recommendation to grant a terminal operator license to Diversity Gaming Solutions, LLC.
• Winners Depot, LLC
The Board voted unanimously to adopt the staff’s recommendation to grant a terminal operator license to Winners Depot, LLC.
License Renewals
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator renewed the following Video Gaming Terminal Operator licenses for a period of one year, expiring in May 2022:
1. G3 Gaming, LLC
2. Hyperactive Gaming, LLC
3. Illinois Gaming Investors LLC
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator renewed the following Video Gaming Terminal Operator licenses for a period of one year, expiring in June 2022:
1. AP Gaming LLC
2. Arktyk Gaming Solutions LLC
3. Golden Route Operations-Illinois LLC
4. Lucky Street Gaming, LLC
TECHNICIANS & TERMINAL HANDLERS
Initial Licenses – Approval and Denials
The Board voted unanimously to adopt the staff’s recommendation to approve 68 Terminal Handler licenses for a period of one year, expiring in June 2022, subject to licensee’s payment of the applicable licensing fee on or before July 31, 2021.
VG Technicians and Terminal Handler License Renewals
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator renewed the licenses of Technicians and Terminal Handlers who were licensed or renewed in May 2020 and June 2020, and who have properly updated their applications and complied with the requirements of the Video Gaming Act and the Board’s Rules.
VIDEO GAMING ESTABLISHMENT APPLICATIONS
Initial Licenses - Approvals & Denials
The Board voted unanimously to adopt the staff’s recommendation to approve 101 Video Gaming Establishment License applications for a period of one year, expiring in June 2022, subject to licensee’s payment of the applicable licensing fee on or before July 31, 2021, and issue Notices of Denial to the following applicants:
1. EL PAISA ALEGRE RESTAURANT, INC. d/b/a EL PAISA ALEGRE 2
2. EL PRIMO MEXICAN RESTAURNT #3, CORP. d/b/a EL PRIMO MEXICAN RESTAURANT #3
The Board voted unanimously to adopt the staff’s recommendation to rescind the statutory denial the Administrator issued and grant a license to SNA Restaurant Group, Inc. d/b/a Sebastian’s Ale and Whiskey House.
The Board voted unanimously to adopt the staff’s recommendation to deny the application of Kellys Café LLC d/b/a Kelly’s Café (200703001) and to consolidate the denials of these two applications in the pending administrative proceedings.
The Board voted unanimously to adopt the staff’s recommendation to issue the Department of Agriculture a Video Gaming Location Establishment license for the purpose of operating video gaming terminals at the Illinois State Fair and the DuQuoin State Fair.
VG Location Establishment Denials – statutorily ineligible
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator denied the following Video Gaming Location Establishment license applications:
o Dawg Pound Gentlemen’s Club LLC d/b/a Dawg Pound Gentlemen’s Club LLC
o James Shelton d/b/a Silver Moon (200701419)
o James Shelton d/b/a Jimbo’s
(200701420) Board Rescission Items
The Board voted unanimously to adopt the staff’s recommendation to rescind the previous denial of Acees, Inc. d/b/a Acees Food & Fuel, grant a truck stop establishment license, and grant leave to withdraw its hearing request.
The Board voted unanimously to adopt the staff’s recommendation to rescind its previous denial of West Town Fuel Inc. d/b/a West Town Fuel Inc., grant a truck stop establishment license, and grant leave to withdraw its hearing request.
The Board voted unanimously to adopt the staff’s recommendation to rescind its previous denial and grant GRUPPOF4 INC d/b/a Café Roma a location establishment license.
The Board voted unanimously to adopt the staff’s recommendation to rescind its previous denial and grant DAG SPORTS INC. d/b/a DAG SPORTS INC a location establishment license.
Location Establishment License Renewals
Pursuant to the authority delegated by the Board on June 11, 2020, the Administrator renewed the Video Gaming Location Establishment licenses that were licensed or renewed in May 2020 and June 2020 and who have properly updated their applications and complied with the requirements of the Video Gaming Act and the Board’s Rules.
Location Establishment License Non-Renewals
The Board voted unanimously to adopt the staff’s recommendation to deny the renewal of H’s Bar, LLC d/b/a H’s Bar.
The Board voted unanimously to adopt the staff’s recommendation to deny the renewal of Jack Russel Fish Company, LLC d/b/a Jack Russell Fish Company.
The Board voted unanimously to adopt the staff’s recommendation to deny the renewal of Main Street Pub & Grill, Inc. d/b/a Sidetrack’d Bar & Grill.
The Board voted unanimously to adopt the staff’s recommendation to deny the renewal of CJ’S GAMING, LLC d/b/a CJ’S GAMING.
LITIGATION/SETTLEMENTS
Requests for Hearing
The Board voted unanimously to deny the requests for hearing submitted by Jakari, Inc. d/b/a Pepe’s Mexican Restaurant and PATITOFELIZ INC. d/b/a Pepe’s Mexican Restaurant.
ADJOURN
The Board voted unanimously to adjourn the meeting.
https://www.igb.illinois.gov/FilesBoardMeeting/20210609OpenMeetingMinutes.pdf
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