Thu. Nov 28th, 2024
Oswego looks at possible video gambling limits

Oswego Village Board members as a committee of the whole Tuesday will discuss the possibility of limiting the number of video gambling licenses in town.

The administration will present an overview of the history, background, amendments and feasibility of limiting the number of video gambling licenses in Oswego.

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The Village Board in May 2013 approved video gambling in Oswego, and the number of video gambling establishments became one of the topics in last month’s municipal election.

Ryan Kauffman defeated incumbent Troy Parlier in the April 4 election for village president. Three new trustees, Karin McCarthy-Lange and Luis Perez – two former trustees – as well as newcomer Andrew Torres were elected as well. 

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Kauffman listed video gambling licenses as one of his top five concerns during the campaign. He said gambling licenses have “doubled in the village and even more were being approved every day.”

During the campaign, Kauffman said he would like to see a limit on gambling licenses so that “our community doesn’t become known for gambling.”

Video gambling licenses in 2013 were capped at 10 under former Village President Brian LeClercq. Parlier maintained during his campaign that the Village Board in 2015 under the leadership of former Village President Gail Johnson “took off the hard cap of gaming licenses” and that the requests for licenses would be evaluated on a case-by-case basis.

The Village Board in November 2015 did eliminate a restriction on the number of gambling establishments, according to a village report.

There are 25 active video gambling licenses in Oswego. There have been five businesses that were approved for licenses locally and are pending state approval, while two other establishments are now going through the application process.

Twelve of the gambling licenses are classified as for gambling cafes while nine are classified as gas stations or truck stops and one is classified as a convenience store and eight others are classified as a bar/restaurant. Two video gambling establishments are operated by non-for-profits, according to the village report.

One of the requirements to obtain a gambling license per the Illinois Gaming Board is that establishments must hold a valid state combined or on-premises liquor license.

“Essentially, they need a liquor license that allows them to pour and serve alcohol on-premises,” according to the village report. The Illinois Gaming Board determines whether the applicant is eligible.  In addition, “any liquor license holder can apply for a video gaming license as long as the village allows it, and they hold an on-premises village liquor license,” according to the village report.

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A breakdown of the annual video gambling revenue distributed to the village began at $38,017 in 2013 and increased to $194,512 for 2019, according to the report. From January to March 2023, the village’s revenue from video gambling was $131,904. 

A list of options to regulate video gambling in Oswego will be presented to trustees Tuesday, including having a cap on the current number of gambling licenses or in the application process at 32. If a business closes or changes ownership, the number of gambling licenses could be reduced and automatically capped to a lower number, according to the report.

Another option is to cap the current number of gambling cafes at 12, and reduce the number if a business closes or there is a change in ownership. No new gambling cafes would be allowed under that plan.

Another option suggests capping the current number of gas stations and convenience stores with gambling licenses at 10 and reducing the number if a business closes. No new or existing gas stations would be allowed to apply for a license according to that plan. 

There’s also an option to cap the number of gambling terminals. There are currently 142 terminals in the village, according to the report.

Linda Girardi is a freelance reporter for The Beacon-News.

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