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Home My WebLink About5. Old Business 07/17/2012Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO: MAYOR IRVANA WILKS BOARD OF TRUSTEES FROM: MICHAEL E. JANONIS DATE: JUNE 14, 2012 RE: VIDEO GAMING In 2009, Governor Pat Quinn signed into law House Bill 255 also known as the Video Gaming Act. This Act allows certain liquor establishments to legally operate up to five video gaming terminals (video poker machines) whereby a patron of the establishment can place up to a $2.00 wager and receive a maximum $500.00 pay out. Only establishments that serve liquor by the drink are eligible to operate the terminals. There are also certain geographic and interior physical limitations contained in the Act that would render otherwise eligible establishments ineligible to operate the terminals. Staff has made a preliminary determination of which license holders might be eligible under the Act. The Act provides that municipalities, who sanction video gaming terminals, may share in a portion of the "tax" imposed by the State on net terminal income, in proportion to the tax revenue generated within the municipality. The Act also allows a municipality to prohibit video gaming terminals, either by ordinance or referendum; in which case there is no revenue sharing. As the result of discussions at the September 8, 2009 Committee of the Whole meeting, it was the consensus of the Village Board to adopt Ordinance 5761 establishing a moratorium on the use of said terminals within Mount Prospect until such time as the State Gaming Board (SGB) issues final rules pursuant to the Act. The SGB has indicated it will be promulgating rules covering the operation and oversight of said devices in August or September. It is appropriate at this time for the Village Board to discuss and decide whether to allow or prohibit the licensing of video poker terminals in eligible Mount Prospect liquor establishments. Appropriate staff will be present to answer questions and facilitate discussion Village Manage ORDINANCE NO. 5761 AN ORDINANCE CONCERNING THE ILLINOIS VIDEO GAMING ACT Passed and approved by the President and Board of Trustees the 15 day of September, 2009 Published in pamphlet form by authority of the corporate authorities of the Village of Mount Prospect, Illinois, the 16 day of September, 2009 ORDINANCE N0. 5761 AN ORDINANCE CONCERNING THE ILLINOIS VIDEO GAMING ACT Preamble WHEREAS, the Village of Mount Prospect is a home rule unit by virtue of the Illinois Constitution of 1970; and WHEREAS, Public Act 96 -34 (House Bill 255) created the Illinois Video Gaming Act, as further amended by Public Act 96 -37 (House Bill 2424) and Public Act 96 -38 (Senate Bill 349) (collectively "Acts ") all of which were approved on July 13, 2009; and WHEREAS, the Acts, although effective upon approval, are subject to a rulemaking process to be undertaken by the Illinois Gaming Board ( "Gaming Board "); and WHEREAS, the Acts mandate that the Board develop and adopt emergency rulemaking within sixty (60) days of July 13, 2009 for the purpose of implementing the provisions of the Acts; and WHEREAS, despite the rulemaking mandate, the Chairman of the Gaming Board has publicly indicated that it may take as long as 18 months to implement a rulemaking process; and WHEREAS, in the interim, and in the absence of rulemaking adopted by the Board, the Village of Mount Prospect desires that no video gaming terminal, as that term is also defined in the Acts, be installed anywhere within the Village without prior Village approval. NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS, acting pursuant to their home rule powers, as follows: SECTION 1: The Preamble is made a part of this ordinance. SECTION 2: No video gaming terminals shall be installed within the Village of Mount Prospect without the prior approval of the Village. The Village's review of any request to install video gaming terminals, absent adopted rulemaking of the Gaming Board, will be based upon the Village Board's interpretation of the legislative intent and language of the Acts. SECTION 3: The intent of this Ordinance, in the absence of final rules by the Gaming Board, is to permit the Village to regulate any and all requests for the installation of video gaming terminals. SECTION 4: The Village reserves the right to adopt an ordinance, completely prohibiting video gaming within the corporate limits of the Village of Mount Prospect, as set forth in Section 27- Prohibition of Video Gaming by Political Subdivision of Public Act 96 -34 (House Bill 255). SECTION 5: This Ordinance shall be in full force and effect from and after its passage, and approval publication as required by law. SECTION 6: The Village Clerk is hereby ordered to publish this Ordinance in pamphlet form, such pamphlets to be available to the general public at the Village Clerk's office. ORDINANCE NO. 5. age 2 AYES: Hoefert, Juracek, Kom, Matuszak, Polit, Zadel NAYS: None ABSENT: None PASSED and APPROVED this 15 day of September, 2009. I ana K. Wilks Mayor ATTEST: M. Lisa Angell Village Clerk HACLKOM MORDINANCEZVideo Gaming Ordinance 2a.rtf Video Gaming Survey - June 2012 SurveyMonkey 1. Would you favor the Village allowing video gaming in eligible establishments? Yes No Response Response Percent Count 33.9% 20 66.1% 39 answered question 59 skipped question 0 2. If you answered no, would your response change if surrounding communities allowed video gaming, potentially putting eligible Mount Prospect businesses at a competitive disadvantage? Yes I No 3. Other Comments Response Response Percent Count 35.6% 21 64.4% 38 answered question 59 skipped question 0 Response Count 26 answered question 26 skipped question 33 1 of 19 4. First Name Response Count 59 answered question 59 skipped question 0 5. Last Name Response Count 59 answered question 59 skipped question 0 6. Are you a Mount Prospect Response Response Percent Count Resident 91.5% 54 Business 0 11.9% 7 answered question 59 skipped question 0 2of19 7. Business Name (if applicable) Response Count 7 answered question 7 skipped question 52 8. Mailing Address Response Count 59 answered question 59 skipped question 0 3of19 INTENTIONALLY BLANK 4of19 Q3. Other Comments if you require a name and address, you will not get an accurate survey. the Jul 8, 2012 6:20 AM survey company knows this, why didn't it tell Mount Prospect? There are other ways to confirm residency. 2 The reverse can happen too. Problems at video gaming site may place Jul 5, 2012 5:53 PM businesses in a competitive disadvantage with communities that do not have video gaming. 3 1 guess the gambling and bar business is not something I want to see here in the Jul 5, 2012 12:07 PM village. The people who gamble are notgoing to spend money at other business locations. They drink and gamble, thats all folks! We have enough challenges with the current population, drugs, theft ect, why bring more trouble for the police 4 Gambling is already readily accessible to our residents in nearby areas such as Jul 4, 2012 7:50 PM Elgin and Des Plains. If our community can benefit from gaming, I am all for it. 5 AS MOST OF THE SURRONDING SUBURBS HAVE SOME SORT OF Jul 3, 2012 10:54 AM GAMBLING I AM ALL FOR ANYTHING THAT COULD BRING TAX RELIEF OR IMPROVEMENTS TO MOUNT PROSPECT 6 GAMBLING AFFECTS THOSE PEOPLE WHO CAN LEAST AFFORD IT. Jul 3, 2012 8:25 AM Allowing these devices would be a serious mistake. There will be problems for Jul 3, 2012 8:19 AM the compulsive gamblers, the neighbors of these establishments and the municipality that will have to deal with the shady machine vendors, their representatives on the street and their attorneys. Once the machines and the folks benefiting from them become established they will not be controlled and we will never be able to evict them. If a liquor establishment can not survive in Mt Prospect and make a profit without the additional cash flow generated by gambling, I do not want that establishment in our village. This is not a revenue stream we need. 8 OK to Arcade games at places which need ID for over 18/21 year olds. NO to Jul 2, 2012 11:08 PM allowing video poker /casino with payouts. 9 Your survey requires an answer to Q #2 even though I answered yes to #1. Jul 1, 2012 3:46 AM 10 no upside to gambling. Jun 29, 2012 5:15 PM 11 Gambling reduces the quality of the community, especially one like Mount Jun 29, 2012 8:57 AM Prospect with a strong family - values culture. 12 I'm in favor, provided there is revenue generated for the benefit of the Village Jun 28, 2012 8:45 PM from each machine. A portion /percentage of the gross receipts should go to the Village. W/o revenue generated for the Village, I would not favor gaming. 13 1 think standing up against gambling in our community should be looked at as an Jun 28, 2012 3:40 PM issue of community values, not an issue of competitive advantage or disadvantage for a number of businesses. I think it's irrelevant what the neighboring communities are doing; what should matter is whether we think gambling is good for our community and its citizens. How are the lives of Mount Prospect's citizens impacted if gambling is readily available nearby? 5 of 19 Q3. Other Comments 14 This will be one way to get funds for the Village as long as it will help keep taxes Jun 28, 2012 2:14 PM down. 15 THIS says "gaming "; the Herald on 6/28 says "gambling ". Either way I think that Jun 28, 2012 12:50 PM things like this appeal to people who have little money to squander on these activities in the first place. I have kept track of the numbers drawn for the lottery for years and years just to see if perhaps the ones I would have chosen would have won. Well, in all those years (many of them), "my" numbers have not come up once. So I'd be thousands of dollars poorer and, to be truthful, the schools and roads and all those other things that were to benefit from the lottery would still be begging for more and more tax dollars. Keep up the good work, Mayor Wilks. You are doing a very good job in our little town. 16 They need to have these in the Moose Lodge to, as they support many Jun 28, 2012 12:35 PM worthwhile causes and needs. The revenue would help them greatly. (and no, I am not a member there.) 17 1 think regulated video gaming would increase revenue and that revenue would Jun 28, 2012 11:21 AM be lost to other villages which allow gaming if it is banned in MtProspect. It's free money -- what's not to like? question #2 shouldn't require a response if you answered question #1 "yes" 18 There are too many gambling opportunities in Illinois at the present time and any Jun 28, 2012 10:41 AM reliance on gambling to fund government is not good public policy and is fiscally irresponsible. Government programs should be funded by legitimate taxing sources. 19 The "Village" often says it wants to hear from residents, but it rarely listens. Jun 28, 2012 9:13 AM Those are two diffemt things. Rec Plex was built without popular acceptance as were upgrades to the Golf Course building. When people marched against the row homes across from Village Hall, trustees did not listen. Even the now cancelled plans for the "triangle" were not popular, but the Village went right ahead. While I am not against this, I want to make it know that my trust in the "Village's" respect for what its citizen want is very, very low. 20 Patrons frequent businesses that provide superior service and value. Gaming Jun 27, 2012 2:08 PM machines within a restaurant or bar does not meet either of these goals. It is likely that given a fixed pool of disposable income, the revenues received from their primary business will actually decrease. I am not against gambling, but am not convinced that it fits the community profile of Mt. Prospect. 21 Allowing video GAMBLING would only be a short-term gain for village revenues, and this income would not take into consideration the long -term cost of home foreclosures and increased crime as a result of individuals becoming either addicted to this gambling and /or desperate enough to use gambling to get out of their perceived economic situation. Furthermore, most of the establishments which would push for using these electronic gambling machines would also have alcohol for sale on the premises, which would foster an even more impaired judgement situation for these gambling machines proper use. 22 Mount Prospect is known as a great place to raise kids. That's our brand, our selling point. Approving video gaming in Mount Prospect would undermine the brand. In the long -run, it would be bad for the village and local businesses. Jun 27, 2012 11:24 AM Jun 27, 2012 10:25 AM 6of19 Q3. Other Comments 23 1 believe that the gaming machines are so simular to instant lottery that is Jun 27, 2012 9:06 AM already allowed in the village, that they should be allowed. Mount prospect businesses and the Village could use the extra revenue, and stay commpetitive with surrounding communities. 24 Additional revenue is badly needed to help with the economic downturn effecting Jun 25, 2012 3:56 PM the business community. We are expected to pay increased taxes on all levels, especially property taxes to support government, schools, wages and pensions.This added revenue to the government will help to reduce tax increases passed onto home owners and businesses. What better locations than liquor establishments since they go thru such intense screening and their license is held over there heads for any wrong doing. 25 No gambling related revenue in local government! Jun 22, 2012 9:22 PM 26 THIS WILL REDUCE THE NUMBER OF PATRONS WHO GO TO THESE Jun 22, 2012 3:04 PM PLACES TO DINE AND /OR DRINK. BAR AND /OR DINING SPACE WILL BE TAKEN BY GAMBLERS WITH VERY LITTLE MONETARY BENEFIT TO THE ESTABLISHMENT, I DON'T BELIEVE THEY WILL PURCHASE MUCH IN FOOD AND /OR DRINK 7 of 19 Video Gaming Survey - August 2009 Would you favor the Village allowing video gaming in eligible establishments? Answer Options Response Response Percent Count Yes 22.0% 19 No 78.0% 67 answered question 86 skipped question 0 Would you favor the Village allowing video gaming in eligible establishments? ❑Yes ■ No Video Gaming Survey - August 2009 If you answered no, would your response change if surrounding communities allowed video gaming, potentially putting eligible Mount Prospect businesses at a competitive disadvantage? Answer Options Response Response Percent Count Yes 9.0% 8 No 91.0% 82 answered question 86 skipped question 0 If you answered no, would your response change if surrounding communities allowed video gaming, potentially putting eligible Mount Prospect businesses at a competitive disadvantage? ❑Yes ■ No Video Gaming Survey - August 2009 Are you a Mount Prospect Answer Options Resident Business Response Percent 94.0% 6.0% answered question skipped question Are you a Mount Prospect Response Count 80 5 85 1 ❑ Resident ■ Business ORDINANCE NO. AN ORDINANCE PROHIBITING VIDEO GAMING WITHIN THE VILLAGE OF MOUNT PROSPECT, ILLINOIS WHEREAS, the Video Gaming Act (230 ILCS 40/1 et seq. PA 96 -0034) became law July 13, 2009 and allows licensed retail establishments to conduct video gambling; and WHEREAS, the Village President and Board of Trustees of the Village of Mount Prospect commend the General Assembly and Governor for addressing the critical need for investment in roads and infrastructure in the State of Illinois and for providing flexibility in terms of the implementation of video poker; and WHEREAS, recognizing that some Illinois local jurisdictions would desire to prohibit video gambling, Section 27 of the Video Gaming Act permits counties and municipalities to prohibit video gaming by ordinance within their respective corporate limits or unincorporated areas; and WHEREAS, states such as Georgia, South Carolina and North Carolina have abandoned experiments with the legalization of video poker because of regulatory difficulties, corruption, and the high social costs associated with this form of gambling; and WHEREAS, electronic gaming is designed to entice people to play longer, faster and at higher rates of wagering, according to a study by the Massachusetts Institute of Technology; and WHEREAS, the Village President and Board of Trustees of this Village agree that legalized video poker would present a variety of adverse impacts on residents of the Village including the potential for corruption, impact on the costs of law enforcement, regulatory difficulties and high social costs; and WHEREAS, the legalization of video poker within the Village is not consistent with our desire to maintain a family - friendly environment for citizens and their children. NOW, THEREFORE, BE IT ORDAINED that the President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, acting pursuant to its home rule powers, as follows: SECTION 1: The Village of Mount Prospect exercises its right, under Section 27 of the Illinois Video Gaming Act (230 ILCS 40/1 et sec..), to prohibit video gaming within the Village of Mount Prospect effective immediately. 240333_1 SECTION 2: A new Section 25.503.1 shall be added to Chapter 23 entitled "Offenses and Miscellaneous Regulations ", Article V entitled "Gambling" of the Mount Prospect Village Code as follows: Sec. 23.503.1 VIDEO GAMING PROHIBITED. Video gaming, as that term is defined in the Illinois Video Gaming Act (230 ILCS 40/1 et seq. is prohibited. A video gaming license issued by the State of Illinois is not effective within the Village of Mount Prospect. SECTION 3: This Ordinance shall be in full force and effect from and after its passage, approval and publication as required by law. SECTION 4: The Village Clerk is hereby ordered to publish this Ordinance in pamphlet form, such pamphlets to be available to the general public at the Village Clerk's office. AYES: NAYS: ABSENT: PASSED and APPROVED this day of , 2012. Irvana K. Wilks Village President ATTEST: M. Lisa Angell Village Clerk 240333_1