Prairie State Wire

Illinois Gaming Board met Sept. 12.

Here are the minutes provided by the board:

The Illinois Gaming Board convened for a Regular Meeting on Thursday, September 12, 2024, at 9:00 A.M. in the 5th Floor Auditorium of the of the Michael A. Bilandic Building, 160 N. LaSalle Street, Chicago, IL, and through electronic means pursuant to the Illinois Open Meetings Act, 5 ILCS 120/1 et seq. The meeting was accessible on the morning of September 12, 2024, via livestream at: https://multimedia.illinois.gov/igb/igb-live.html.

A roll call was taken. The following Board members were physically present: Chairman Charles Schmadeke, aMember Dionne Hayden, Member James Kolar and Member Seann Brannon. Four members of the Board being present, a quorum was satisfied.

At approximately 9:01 A.M., Member Hayden moved to go into closed session pursuant to Section 2(c), paragraphs (1), (4), (11), (21) and (36) of the Open Meetings Act and Section 6(d) of the Illinois Gambling Act to discuss items on the closed session agenda relating to the employment and performance of a specific employee, pending litigation, the review of closed session minutes of the Regular Board Meetings, and to deliberate on decisions of the Illinois Gaming Board in which there is discussed personal, commercial, financial, or other information obtained from any source that is privileged, proprietary, confidential, or a trade secret; or information specifically exempted from the disclosure by federal or State law. Member Kolar seconded the motion. The Board approved the motion unanimously by voice vote. Thereafter, the Board held its closed session meeting in person and 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 10:34 A.M., the Board reconvened its Regular Meeting of Thursday, September 12, 2024, pursuant to the Illinois Open Meetings Act, 5 ILCS 120/1 et seq. The meeting was held in person and through electronic means. The meeting was accessible on the morning of September 12, 2024 via livestream at: https://multimedia.illinois.gov/igb/igb-live.html.

Another roll call was taken. The following Board members were physically present: Chairman Charles Schmadeke, Member Dionne Hayden, Member James Kolar and Member Sean Brannon. Four members of the Board being present, a quorum was satisfied.

APPROVAL OF MINUTES

The Board voted unanimously to approve the minutes from its Regular Meeting held on June 6, 2024. The Administrator then announced that following the Board’s review of the closed session minutes from the June 9, 2021, meeting, all of 2023 and 2024 through the month of April, the Board determined that the need for confidentiality continued to exist with respect to those minutes and all other closed session minutes not yet approved by the Board for dissemination.

BOARD MEMBER COMMENTS

Chairman Schmadeke welcomed the Board’s newest Member, Sean Brannon.

ADMINISTRATOR’S REPORT

Administrator Marcus Fruchter began his report by noting the IGB had a busy summer and that the Board has undergone some recent changes. The Administrator informed listeners that former IGB Board member, Anthony Garcia, ended his tenure after serving on the Board for nearly five years. The Administrator thanked Member Garcia for his dedicated service and then welcomed new Board member, Sean Brannon, who was appointed to the Board on September 9th. He noted that Member Brannon has worked with the IGB for many years in various positions including most recently as Deputy Administrator of Field Operations. Member Brannon comes to the Board with a comprehensive understanding of Illinois gaming and the IGB’s role in the industry.

Administrator Fruchter noted that following successful completion of pre-opening assessment and practice gaming sessions, the Hard Rock Casino Rockford commenced gaming operations at its new, permanent facility on August 29th. The Administrator then reminded listeners that September is National Responsible Gaming Education Month, which shines the spotlight on an issue the IGB focuses on every month. The IGB’s website includes a variety of resources aimed at assisting people in this endeavor. Further, the Administrator encouraged people only to gamble at legal and licensed locations in Illinois and to avoid the unlicensed, unregulated and untaxed gray- or black-market options that may be available to gamblers. These unregulated options do not generate tax dollars for the State or local municipalities and do not offer patrons any consumer protections that Illinois’ licensed gaming options provide.

Due to certain reporting delays, the Administrator was only able to provide a partial picture of Illinois’ monthly operating results. He noted that Illinois has 15 casinos, 15 sports wagering facilities, 59 Terminal Operators, 8,606 Video Gaming Terminal (“VG”) locations with 6,277 Establishments hosting more than 5 VGTs and 48,217 VGTs in operation with 47,905 of the VGTs using the max-bet software. In July, VGTs generated Net Terminal Income (“NTI”) of $241,824,939, which yielded a total tax of $84,637,023. The State retained $72,197,687, while local municipalities and counties earned $12,442,336. In August, Illinois casinos produced Adjusted Gross Receipts (“AGR”) of $140,035,642, which generated State tax in the amount of $32,800,047 and host community tax of $8,929,042. In July, Illinois’ sports wagering operations generated AGR of $71,317,182, yielding State tax of $14,263,436 and an additional $739,209 to Cook County. From January through August (not including VGT and sports wagering results for August), Illinois gaming has generated State tax of $808 million and local tax of $162 million, for a total of $970 million.

PUBLIC COMMENTARY

The Board entertained comments from Ruben Warren - General Manager, HC Joliet, LLC d/b/a Hollywood Casino Joliet.

ADMINISTRATIVE MATTERS

• Proposed New Rules and Amended Rule - Advertising & Marketing for Casino Gambling, Video Gaming & Sports Wagering; Section 3000.680 (new Casino rule), Section 1800.370 (new Video Gaming Rule) and Section 1900.340 (amended Sports Wagering rule)

The Board voted unanimously to adopt the staff’s recommendation to approve for submission to the Index Department of the Secretary of State on First Notice proposed permanent Rule 3000.680 (for Casino), Rule 1800.370 (for Video Gaming) and amended Rule 1900.340 (for Sports Wagering).

CASINO

OWNERS/ORGANIZATION GAMING LICENSEE ITEMS

Request for Initial Consideration of Owners License Renewal

• Elgin Riverboat Resort d/b/a Grand Victoria Casino

Administrator Fruchter announced that Elgin Riverboat Resort d/b/a Grand Victoria Casino asked the Board for initial consideration of its Owners license renewal.

Request for Waiver of Two-Meeting Rule and Final Consideration of Owners License Renewal • Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino

The Board voted unanimously to waive the two-meeting rule and give immediate attention to the action request. Thereafter, the Board voted unanimously to renew Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino’s Owners license for a period of four years, retroactive to August 2024, and expiring in August 2028 and further found Timothy Joseph Drehkoff suitable as a key person of Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino.

The Board voted unanimously to find that the following business entities, trusts and individuals remain suitable as key persons of Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino:

1. CEP IV Chicago Holdco, LLC

2. Churchill Downs Incorporated

3. HCRH, LLC

4. High Plaines Gaming, LLC

5. Midwest Gaming Borrower, LLC

6. Midwest Gaming Holdings, LLC

7. Midwest Gaming Mezzanine, L.P.

8. Midwest Gaming Mezzanine GP, LLC

9. Rush Street Gaming, LLC

10. Rush Street Gaming Partners, LLC

11. 2013 AGB Family Dynasty Trust Exempt #2

12. 2013 LNB Family Dynasty Trust Exempt #2

13. 2013 Meredith A. Bluhm-Wolf Family GST Trust #2

14. Neil G. Bluhm Family Descendants Trust

15. Marc Erik Arndt

16. Neil Gary Bluhm

17. Andrew Gordon Bluhm

18. Leslie Nan Bluhm

19. Meredith Ann Bluhm-Wolf

20. William Christian Carstanjen

21. Bruce Clarke Caughill

22. Marcia Ann Dall

23. David Robert Hughes

24. William Eugene Mudd

26. Cooper Benjamin Bluhm

27. Nicholas Bluhm Helfand

28. William Gordon Helfand

29. Anna Bea Wolf

30. James Morris Wolf

Casino Queen, Inc. d/b/a Draft Kings at Casino Queen and Fairmount Park, Inc. d/b/a FanDuel Sports Book and Horse Racing

• Joint Request to Rescind Change of Entity Approvals

• Joint Request to Rescind Transfer of Ownership Approvals

• Joint Request to Rescind Certain Key Person Approvals

The Board voted unanimously to adopt the staff’s recommendation to rescind the approval of the request to convert Casino Queen, Inc. to Casino Queen, LLC; rescind the approval of the transfer of the direct ownership of Casino Queen, LLC from CQ Holding Company, Inc. to Casino Queen Fairmount LLC; rescind the related key person suitability determination made with respect to Casino Queen Fairmount LLC, Fairmount Holdings, Inc. and William Stiritz; rescind the approval of the request to convert Fairmount Park, Inc. to Fairmount Park, LLC; rescind the approval of the transfer of the direct ownership interest of Fairmount Park, LLC from Fairmount Holdings, Inc. to Casino Queen Fairmount LLC as it relates to its Organization Gaming license application and rescind the related key person suitability determinations made with respect to Casino Queen Fairmount LLC, CQ Holding Company, Inc., SG CQ Gaming, LLC, Standard General LP, Cheryl Ash, Terrence Downey and Soohyung Kim.

Key Person Suitability Determination

The Board voted unanimously to adopt the staff’s recommendation to find Vanessa Janaye Martin suitable as a key person of Casino Queen, Inc. d/b/a DraftKings at Casino Queen.

SUPPLIER LICENSEE ITEMS

License Renewal

• Gaming Partners International USA, Inc.

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the Supplier license of Gaming Partners International USA, Inc. for a period of four years, retroactive to July 2024, and expiring in July 2028 and found that the following business entities and individuals remain suitable as key persons of Gaming Partners International USA, Inc.:

1. Gaming Partners International Corporation

2. AGL Investments Godo Kaisha

3. Yasushi Shigeta

Key Person Suitability Determination

• Interblock USA L.C. – Key persons

The Board voted unanimously to adopt the staff’s recommendation to find the following business entities and individuals suitable as a key persons of Interblock USA L.C.:

1. Oaktree Special Situations Fund II, L.P.

2. Oaktree Special Situations Fund II (Cayman) Holdings, L.P.

3. OCM SSF II IB Holdings, L.P.

4. OCM Luxembourg SSF II S.a.r.l.

5. OCM Luxembourg Baccarat Holdco S.a.r.l.

6. OCM Luxembourg Baccarat Midco S.a.r.l.

7. OCM Luxembourg Baccarat Bidco S.a.r.l.

8. IB OCM VoteCo

9. Matthew Charles Wilson

10. Jordon Louis Kruse

11. David Benjamin Quick

OCCUPATIONAL LICENSEE ITEMS

Level 1 License Applications – Approvals and Denials

The Board voted unanimously to adopt the staff’s recommendation to approve Julie Anna Wise as a Level 1 Occupational licensee at Danville Development, LLC d/b/a Golden Nugget Danville.

The Board voted unanimously to adopt the staff’s recommendation to approve Thomas William Griffith as a Level 1 Occupational licensee at Walker’s Bluff Casino Resort, LLC.

The Board voted unanimously to adopt the staff’s recommendation to approve Eddie Rondal Webb, Jr. as a Level 1 Occupational licensee at Casino Queen, Inc. d/b/a DraftKings at Casino Queen.

The Board voted unanimously to adopt the staff’s recommendation to approve Steven Eric Hill as a Level 1 Occupational licensee at 815 Entertainment, LLC d/b/a Hard Rock Casino Rockford.

Level 2 and 3 License Applications – Approvals and Denials

The Board voted unanimously to adopt the staff’s recommendation to approve 114 Level 2 and 125 Level 3 occupational license applicants. The Board further voted to issue Notices of Denial to the following individuals:

1. Jessica Inez Calle Smith (24D157263)

2. Jose Roberto Herrera (22K088103)

3. Jamor Javelle Pearson (24K102342)

4. Katherine Charlene Reccord (23Q010642)

Rescission Item

• Sunshine Diane Tihlarik (23D155873)

The Board voted unanimously to adopt the staff’s recommendation to rescind the denial of Sunshine Diane Tihlarik’s Level 3 Occupational license application.

Occupational License Renewals by the Administrator

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the Level 1, 2, and 3 licenses of individuals who were licensed or renewed in July 2023, August 2023 or September 2023 who have properly updated their applications and complied with the requirements of the Illinois Gambling Act and the Board’s Rules.

SPORTS WAGERING

MASTER SPORTS WAGERING ITEM

Casino Queen, Inc. d/b/a Draft Kings at Casino Queen and Fairmount Park, Inc. d/b/a FanDuel Sports Book and Horse Racing

• Joint Request to Rescind Change of Entity Approvals

• Joint Request to Rescind Transfer of Ownership Approvals

• Joint Request to Rescind Certain Key Person Approvals

The Board voted unanimously to adopt the staff’s recommendation to rescind the approval of the request to convert Casino Queen, Inc. to Casino Queen, LLC; rescind the approval of the transfer of the direct ownership of Casino Queen, LLC from CQ Holding Company, Inc. to Casino Queen Fairmount LLC; rescind the related key person suitability determination made with respect to Casino Queen Fairmount LLC, Fairmount Holdings, Inc. and William Stiritz; rescind the approval of the request to convert Fairmount Park, Inc. to Fairmount Park, LLC; rescind the approval of the transfer of the direct ownership interest of Fairmount Park, LLC from Fairmount Holdings, Inc. to Casino Queen Fairmount LLC as it relates to its Organization Gaming license application and rescind the related key person suitability determination made with respect to Casino Queen Fairmount LLC, CQ Holding Company, Inc., SG CQ Gaming, LLC, Standard General LP, Cheryl Ash, Terrence Downey and Soohyung Kim.

Request for Initial Consideration of Master Sports Wagering License Renewal

• Fairmount Park, Inc.

Administrator Fruchter announced that Fairmount Park, Inc. asked the Board for initial consideration of its Master Sports Wagering License renewal.

Request for Waiver of Two-Meeting Rule and Final Consideration

• Hawthorne Race Course, Inc. d/b/a Hawthorne Casino and Race Course

The Board voted unanimously to waive the two-meeting rule and give immediate attention to the action request. Thereafter, the Board voted unanimously to renew Hawthorne Race Course, Inc. d/b/a Hawthorne Casino and Race Course’s Master Sports Wagering license for a period of four years, retroactive to July 2024, and expiring in July 2028. Furthermore, the Board found the following business entities and individuals suitable as key persons of Hawthorne Race Course, LLC d/b/a Hawthorne Casino and Race Course:

1. Frank GF Inc.

2. Entrée You, LLC

3. Players Pub & Grill, LLC

4. Frank Vincent Gentile

5. James Robert Pierson

6. John Dante Fiandaca

7. Ivana Vanessa Henderson

The Board voted unanimously to find that the following business entities and individuals remain suitable as key persons of Hawthorne Race Course, Inc. d/b/a Hawthorne Casino and Race Course:

1. Thomas Carey Barry Jr.

2. Chrissa Lynn Barry Dolan

3. Anthony Carey

4. Robert Francis Carey III

5. Timothy Sean Carey

6. David Allan Collins

7. William Charles Collins Jr.

8. Thomas Gregory Finn

9. Richard William Finn

10. Margaret Barry Jacob

11. Kevin David Kline

12. Ruth Ann Moreland

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the following Master Sports Wagering licenses issued to an Owners licensee for a period of four years, expiring June 2028:

1. Alton Casino, LLC d/b/a Argosy Casino Alton

2. Casino Queen, Inc. d/b/a DraftKings at Casino Queen

3. Elgin Riverboat Resort d/b/a Grand Victoria Casino

4. HC Aurora, LLC d/b/a Hollywood Casino Aurora

5. HC Joliet, LLC d/b/a Hollywood Casino Joliet

6. Midwest Gaming & Entertainment, LLC d/b/a Rivers Casino

7. Par-A-Dice Gaming Corp d/b/a Par-A-Dice Hotel Casino

MANAGEMENT SERVICES PROVIDER LICENSES

Initial Licenses – Approvals

• Rush Street Interactive IL, LLC

Th Board voted unanimously to adopt staff’s recommendation to grant Rush Street Interactive IL, LLC a Management Services Provider license for a period of four years, expiring in September 2028. Furthermore, the Board found the following business entities, trusts and individuals suitable as key persons of Rush Street Interactive IL, LLC:

1. Rush Street Interactive, LP

2. RSI GP, LLC

3. RSI ASLP, Inc.

4. Rush Street Interactive, Inc.

5. Greg & Marcy Carlin Family Trust

6. NGB 2013 Grandchildren's Dynasty Trust

7. Andrew Gordon Bluhm

8. Cooper Benjamin Bluhm

9. Leslie Nan Bluhm

10. Neil G. Bluhm

11. Meredith Ann Bluhm-Wolf

12. Gregory Alan Carlin

13. Nicholas Bluhm Helfand

14. William Gordon Helfand

15. Anna Bea Wolf

16. James Morris Wolf

17. Mattias Adam Stetz

18. Richard Todd Schwartz

19. Einar Roosileht

20. Kyle Lane Sauers

SPORTS WAGERING OCCUPATIONAL LICENSEE ITEMS

Level 2 and Level 3 License Applications – Approvals

The Board voted unanimously to adopt the staff’s recommendation to approve 188 Level 2 sports wagering occupational licenses.

Level 1, 2, and 3 License Renewals – Administrator Delegation

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the Level 1, 2, and 3 Sports Wagering licenses of the individuals who were licensed or renewed in July 2023, August 2023 or September 2023 who have properly updated their applications and complied with the requirements of the Sports Wagering Act and the Board's Rules.

VIDEO GAMING

TERMINAL OPERATOR LICENSEE ITEMS

Initial Licenses – Approvals and Denials

• AARUSH Gaming, LLC

The Board voted unanimously to adopt the staff’s recommendation to deny AARUSH Gaming, LLC’s terminal operator license application.

TECHNICIANS & TERMINAL HANDLERS

Initial Licenses – Approvals and Denials

The Board voted unanimously to adopt the staff’s recommendation to approve 6 Technician licenses and 119 Terminal Handler licenses for a period of two years, expiring in September 2026, subject to licensee’s payment of the applicable licensing fee on or before October 31, 2024, and to issue Notices of Denial to:

1. Rickey Rodtrell Craten (220501696)

2. Richard Rene Trejo (230503082)

VG Terminal Handlers - License Non-Renewals

• Joseph Richard Urchell (190502111)

The Board voted unanimously to adopt the staff’s recommendation to issue a Notice of Non-Renewal to Joseph Richard Urchell.

• Reginald Niles Hudson (200501749)

The Board voted unanimously to adopt the staff’s recommendation to issue a Notice of Non-Renewal to Reginald Niles Hudson.

VG Technicians and Terminal Handlers License Renewals (by Administrator)

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the licenses of Technicians and Terminal Handlers who were licensed or renewed in July 2022, August 2022 or September 2022, for a period of two years expiring in July, August or September 2026, who have properly updated their applications and complied with the requirements of the Video Gaming Act and the Board's Rules.

VIDEO GAMING ESTABLISHMENT APPLICANT ITEMS

VG Location Establishment Approvals and Denials

The Board voted unanimously to adopt the staff’s recommendation to approve 172 Video Gaming Establishment license applications for a period of two years, expiring in September 2026, subject to the licensee’s payment of the applicable licensing fee on or before July 31, 2024, and to issue Notices of Denial to:

1. A & L Martinez Brothers Inc. d/b/a Maravelas Group (230700355)

2. A Siobhan, LLC d/b/a Dooder's Bar & Grill (230702601)

3. Antigua Mexican Grill #3 Inc. d/b/a Antigua Mexican Grill 3 Inc (240700271)

4. DELANEY'S SMOKEHOUSE INC. d/b/a DELANEY'S SMOKEHOUSE INC. (230702489)

5. FASTLINE ENTERPRISES LLC d/b/a FASTLINE ENTERPRISES LLC (230702053)

6. GRAND JACKPOTS LLC d/b/a GRAND JACKPOTS LLC (230700921)

7. Hard Dog Cafe LLC d/b/a Hard Dog Cafe LLC (240700840)

8. Moonshine Run LLC d/b/a Moonshine Run LLC (240700976)

9. Rudraya Corp. d/b/a Bravo Pizza and Italian Restaurant (220703209)

10. Social Bar & Grill LLC d/b/a Social Bar & Grill (220702564)

11. ARBUDA OAKLAWN INC., d/b/a OAKLAWN WINE AND SPIRITS (230701896) 

VG Location Establishment Denials – Statutory by Administrator

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator denied the following Video Gaming Location Establishment application as ineligible under the VGA and Rules:

1. BRAIDWOOD REAL ESTATE INC. d/b/a B AND K Liquor (240700835)

2. MIHIR ENTERPRISES LLC d/b/a MAQUON MIRACLE MART (240700577)

3. GAMMON COACH HOUSE LLC d/b/a GAMMON COACH HOUSE (240700594

VG Location Establishment – Rescission of Non-Renewal

• POST TIME SPORTS BAR AND GRILLE LLC d/b/a POST TIME SPORTS BAR AND GRILLE LLC (160704150)

The Board voted unanimously to adopt the staff’s recommendation to rescind the January 27, 2022 Non renewal and renew POST TIME SPORTS BAR AND GRILLE LLC d/b/a POST TIME SPORTS BAR AND GRILLE LLC’s, location establishment license, retroactive to January 2022 and expiring in January 2026.

VG Location Establishment License Non-Renewals

The Board voted unanimously to adopt the staff’s recommendation to issue Notices of Non-Renewal to the following location establishment licensees:

1. China King Restaurant LLC d/b/a ELSA (190700654)

2. Hunts Hardware & Grocery LLC d/b/a Hunts Hardware & Grocery (200700968)

3. Jerk Flavors Restaurant & Lounge LLC d/b/a JERK CHICKEN FLAVORS (180702134)

4. Rinkys Café Corp., d/b/a RINKYS CAFE CORP (150702889)

VG Location Establishment License Renewals by Administrator

Pursuant to the authority delegated by the Board on February 8, 2024, the Administrator renewed the licenses of Video Gaming Location Establishments who were licensed or renewed in July 2022, August 2022 or September 2022, for a period of two years expiring in July, August or September 2026, who have properly updated their applications and complied with the requirements of the Video Gaming Act and the Board's Rules.

ECONOMIC DISASSOCIATION

• Asan Asani – Sales Agent/Broker for Accel Entertainment Gaming, LLC

The Board voted unanimously to adopt the staff’s recommendation to order Accel Entertainment Gaming, LLC to disassociate from Asan Asani.

RULE 320 FINAL BOARD ORDERS

Administrator Recommended Decision

• (21-UP-0006) Eureka Entertainment, LLC d/b/a Universal Gaming Group (Petitioner) v. Gold Rush Amusements, Inc. d/b/a Gold Rush Gaming (Respondent) and Danny’s Café Inc, d/b/a Lucky 29 Gaming Café Inc

The Board voted unanimously to adopt the staff’s recommendation to issue a final Board Order that: 

(1) Declines to address arguments and allegations in Eureka’s Exceptions that go beyond the scope of Rule 320;

(2) Adopts the Administrator’s Recommended Decision as its Final Order; and 

(3) Dismisses Eureka’s Petition.

ADJOURN

The Board voted unanimously to adjourn the meeting.

https://igb.illinois.gov/content/dam/soi/en/web/igb/documents/board-meetings/minutes/2024/20240912-open-meeting-minutes.pdf