Illinois Considers New Oversight Role for Gambling Sector

By | February 24, 2026

Illinois legislators are moving to strengthen regulation of the state’s expanding gambling industry with a proposal to establish a dedicated oversight role. House Bill 5742, introduced by Democratic Rep. Yolanda Morris, would create a gaming oversight officer within the Illinois Gaming Board, the agency responsible for supervising casinos, sports betting, and other licensed gambling activities across the state. The role is intended to enhance accountability and ensure more structured oversight as the market grows.

Role and Responsibilities

The proposed oversight officer would be appointed by the Speaker of the Illinois House, following consultation with the Black Legislative Caucus. The measure is designed to enhance representation and ensure inclusive governance in state regulatory bodies.

If enacted, the officer would oversee data collection and analysis on gambling activity, review existing regulations, suggest updates, and advise lawmakers on possible changes to the state’s gaming framework. The position would also focus on promoting diversity in the gaming industry, encouraging participation in ownership and employment opportunities, and supporting fair practices across all regulated operations.

Supporting staff could be hired to assist with research, analysis, and coordination, funded through the Gaming Board’s existing resources. The bill is still in early stages, awaiting committee review and legislative approval before reaching the governor for consideration.

Expanding Online and Casino Operations

The oversight role comes as Illinois continues to explore growth in online gambling. Two weeks prior, Rep. Edgar Gonzalez, Jr. introduced House Bill 4797, the Internet Gaming Act, which would authorise the Illinois Gaming Board to license online operators for up to three casino skins. The measure proposes a 25 percent tax rate on online casino revenue, with emergency rules to be issued within 90 days of passage. Temporary licenses could be granted within 30 days, using current regulatory frameworks where feasible, allowing operators to launch quickly while ensuring compliance.

Illinois now hosts 17 licensed casinos, a mature sports betting market, and thousands of video gaming terminals in bars, restaurants, and other venues. With the market growing rapidly, proponents of HB 5742 argue that a dedicated oversight officer could improve coordination, strengthen compliance, and provide clear guidance for both new and existing operators.

Enforcement and Compliance

In recent months, Illinois regulators have increased enforcement against unlicensed operators, issuing multiple cease-and-desist orders to online casinos and sweepstakes platforms not authorized to operate in the state. Legislators and industry observers suggest that more structured oversight, along with clearer data collection, could enhance compliance, enforcement, and the efficient taxation of gambling activity.

By centralising supervision and advisory responsibilities in one role, the state aims to address the challenges posed by the fast-growing gambling landscape. Lawmakers also see the position as a way to ensure that economic opportunities in the sector are distributed more equitably, reflecting diversity objectives while maintaining regulatory integrity and transparency in all operations.

As the bill advances through committee hearings and legislative deliberations, its passage would mark a notable step toward a more structured and accountable regulatory framework for Illinois’s gambling industry, improving both oversight and long-term market stability.

Source:

“Illinois bill would add speaker-appointed gaming oversight officer”, theintelligencer.com, February 20, 2026

The post Illinois Considers New Oversight Role for Gambling Sector first appeared on RealMoneyAction.com.

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