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JCAR nixes Gaming Board rule on state review of video gaming business sales

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Illinois

* David Heinzmann at the Tribune…

Less than a week after the Illinois Gaming Board attempted to stop video gambling operators from selling their businesses without state approval, a panel of lawmakers in Springfield blocked the move.

The General Assembly’s Joint Committee on Administrative Rules voted 10-0 against the Gaming Board on Tuesday, rejecting the gambling regulators’ rationale for making the rule change on an emergency basis.

Gaming Board staff viewed their measure as an emergency step in response to the Tribune’s revelations last month about Rick Heidner, whose Gold Rush Gaming is one of the state’s largest operators. Regulators argued they needed to close a loophole in state law that allows video gambling operators to sell their businesses without Gaming Board approval. The status quo would allow a business owner facing a misconduct investigation to sell the business at a profit without facing state disciplinary action.

Republican Rep. Keith Wheeler of Oswego, the committee co-chairman, introduced the motion to vote on the issue Tuesday. He said he agrees that the state should close the loophole but said committee members are frustrated because they believe the Gaming Board is using the emergency rule-making process inappropriately.

There’s more, so go read the rest. The JCAR members may be right on the law, but that’s some pretty dumb politics. And if somebody under federal suspicion sells their video gaming business before this is all worked out, some fingers are gonna be pointed right at the committee.

* One caveat, however. Legislators and others are up in arms about how the Gaming Board has waited so long to write a rule allowing video gaming expansion at existing facilities. The gaming expansion law passed last spring upped the number from five machines to six and increased the tax by 3 percentage points. The state is collecting the higher tax rate, but no machines can be added until the Gaming Board acts. This should’ve been done months ago. The state is missing out on revenues.

posted by Rich Miller
Wednesday, Nov 13, 19 @ 9:12 am

Comments

Let’s not forget the Gaming Board basically blew their background check of Heidner and his company in the first place, either missing or glossing over his financial ties to mobsters. It’s a stretch for them to act all high and mighty now. They wouldn’t need emergency rules if they did their job right the first time.

Having said that, I agree that this is not a good look politically for the JCAR members.

Comment by Roman Wednesday, Nov 13, 19 @ 9:18 am
== This should’ve been done months ago. The state is missing out on revenues.==

These two sentences encapsulate Illinois state government better than any other two sentences I can think of off the top of my head.

Comment by Lester Holt’s Mustache Wednesday, Nov 13, 19 @ 9:20 am
=the Gaming Board basically blew their background check=

Not this Gaming Board.

Comment by Anon 9:31 Wednesday, Nov 13, 19 @ 9:31 am
Gaming board members are just appointed to do as The Machine tells them what to overlook. The Mafia has never left.

Comment by Latina Wednesday, Nov 13, 19 @ 9:37 am
JCAR hates emergency rulemaking and will take any opportunity to overturn them if it can. I’ve seen it happen time after time.

Comment by Shevek Wednesday, Nov 13, 19 @ 4:14 pm
JCAR is bought and paid for by the video gaming operators. Follow the money. Senator Munoz’s, jcar member is a video gaming operator. Makes you go hmmm.

Comment by Club Fed Thursday, Nov 14, 19 @ 4:11 am