{"id":243017,"date":"2026-01-13T22:03:06","date_gmt":"2026-01-13T22:03:06","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/243017\/"},"modified":"2026-01-13T22:03:06","modified_gmt":"2026-01-13T22:03:06","slug":"chicago-video-gambling-legalization-in-flux","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/243017\/","title":{"rendered":"Chicago video gambling legalization in flux"},"content":{"rendered":"

Chicago\u2019s new plan to legalize video gambling terminals \u2014 finally passed last month as part of the 2026 budget<\/a> after years of debate<\/a> \u2014 is not a done deal as Mayor Brandon Johnson and key aldermen say negotiations must continue.<\/p>\n

The ongoing discussions between Johnson\u2019s administration and aldermen over the gambling terminals mark the first major efforts to amend the budget passed by the City Council against the mayor\u2019s wishes in late December.<\/p>\n

Top Johnson advisor Jason Lee said the legalization of gambling machines in bars and restaurants across the city \u201crequires more time and some judicious collaboration,\u201d the clearest sign yet that it\u2019s not a settled matter at City Hall.<\/p>\n

\u201cThere are a number of aldermen who are uncomfortable with the VGT expansion, particularly in the way it was done,\u201d Lee told the Tribune.<\/p>\n

At the time the budget passed, all sides agreed the unprecedented aldermen-backed plan quickly passed to avert a city government shutdown would be a \u201cliving document.\u201d And as talks emerge, millions of dollars are on the line.<\/p>\n

Aldermen counted on the legalization to bring in $6.8 million this year when they passed the budget, a miniscule sum in the city\u2019s $16.6 billion spending plan. Johnson holds broad power over the policy\u2019s implementation, giving him leverage to force state officials and vendors eager to get the machines online back to the table.<\/p>\n

Lee cited a number of concerns about the current plan, including a lack of vendor diversity and little input from the operators of the downtown Bally\u2019s Casino and labor groups. Aldermen need more discretion over where machines are allowed in their wards, he added.<\/p>\n

\u201cI think there\u2019s a right way to do it, and then there\u2019s a way to do it that\u2019s suboptimal, and that if it is going to be done it should be done in the right way,\u201d he said.<\/p>\n

But the biggest issue looming over the legalization push is the city\u2019s need for a better split in tax revenue with the state, he said.<\/p>\n

As it stands, Chicago would receive just 5% of the revenue from the machines, while state government would get a 30% split. The city\u2019s video gambling machine share is far below the around 20% it receives from casino slot machines.<\/p>\n

Even the optimistic timeline aldermen relied on in their estimates predicted terminal licenses would only first be issued in July. Alderman projected machines would open at 1,800 locations this year, though state regulators only issued 790 such licenses across Illinois last year and have a backlog of almost 500 more establishments to vet, according to the Illinois Gaming Board.<\/p>\n

All Johnson needs to do to finish legalization and allow businesses to enter the licensing process is give the state notice of the city\u2019s plans, Ald. Anthony Beale said. Beale, 9th, a chief legalization supporter, accused Johnson of \u201cTrump-like tactics\u201d for not moving ahead.<\/p>\n

\u201cThere\u2019s other ways to negotiate this other than trying to always pour sour milk on everything,\u201d he said. \u201cDo your job, and that is to carry out the duties of the budget that was passed, not to pick and choose on what you want to do, that is not the role of the executive branch.\u201d<\/p>\n

Beale argued that Chicago should pursue change to the statewide revenue sharing formula only after legalization. The machines would be \u201ca lifeline for a lot of small businesses,\u201d he said.<\/p>\n

Melvin Brooks, owner of Grand Crossing\u2019s President\u2019s Lounge, agreed the money from the machines is \u201cmuch needed.\u201d<\/p>\n

When he first bought owned the bar two decades ago, his spot had one jukebox, one dartboard and three video gaming machines. But he took down the machines, which he said did not offer payouts, when city regulators warned they could not be properly licensed and could preclude him from getting approval for the now-at-question gambling machines.<\/p>\n

\u201cWe just sat back and waited,\u201d Brooks said. \u201cThat was our form of entertainment during the day.\u201d<\/p>\n

But insurance costs are rising, property taxes are spiking and the cost of doing business just won\u2019t stop going up, he said. He wants to finally add video gambling machines to his bar.<\/p>\n

\u201cYou\u2019ve got to find a way to subsidize these hikes, and you don\u2019t want to keep raising your prices,\u201d Brooks said. \u201cWe\u2019re paying all types of fees as it is. Are we in business for the city and the city only?\u201d<\/p>\n

John Canham, chief revenue officer for Gold Rush Gaming, a Hoffman Estates-based video gambling machine vendor, estimated Chicago has lost out on $500 million in revenue since terminals first came to the state around 2011. \u201cThey\u2019ve left a lot of money on the table. They continue to leave a lot of money on the table,\u201d he said.<\/p>\n

He estimated that, once up and in running, Chicago would bring in around $36.5 million in tax revenue annually from the machines, assuming 2,000 different locations put in an average of five machines each that earn $200 a day.<\/p>\n

Though Johnson\u2019s administration has warned such a massive haul \u2014 $730 million in revenue, by Canham\u2019s estimates \u2014 would cannibalize the revenue at the Bally\u2019s Casino, Canham blasted the concern as \u201csquawking.\u201d The casino is already being undercut by legally-questionable \u201csweepstakes\u201d machines common across South and West Side gas stations that dodge laws by avoiding cash payouts, plus the video gambling terminals that are ubiquitous in suburban establishments just across the city\u2019s border.<\/p>\n

\u201cThe minimal impact Bally\u2019s will receive is more than outweighed by how much the VGT revenue will add. It\u2019s asinine that they\u2019re actually going back and forth on whether they should allow this after it\u2019s proven that it\u2019s a revenue producer. It makes no sense to anybody with half a brain,\u201d he said.<\/p>\n

Asked if he worried that the estimated loss of nearly $1 billion by customers in Chicago neighborhoods would harm city residents, Canham pointed to ongoing sweepstakes and suburban gambling. Video gambling in Chicago would bring an \u201ceconomic multiplier effect\u201d by creating thousands of new jobs \u2014 collectors, technicians, sales people and more \u2014 while supporting small-business bars, he said.<\/p>\n

\u201cI see it as people with discretionary income,\u201d he said. \u201cThey\u2019re going to gamble. That\u2019s just the nature of people, they like to gamble.\u201d<\/p>\n

But several aldermen have already moved to ban video gambling terminals, citing addiction concerns.<\/p>\n

\u201cI don\u2019t personally want mini casinos on every corner of my ward,\u201d Ald. Jessie Fuentes, 26th, said of her ward-level ban. \u201cGambling addiction harms families. It harms the mental health of individuals in our communities. And it can destroy lives.\u201d<\/p>\n

Lee did not make similar arguments opposing neighborhood gambling by arguing it harms poor or working-class Chicagoans, a sign Johnson \u2014 a harsh critic of regressive taxes \u2014 will not label video gambling terminals as one. Alds. Walter \u201cRed\u201d Burnett, 27th, and Rossana Rodriguez-Sanchez, 33rd, also banned the gambling machines in their wards.<\/p>\n

Asked by the Tribune if he views video gambling as a regressive tax last week, Johnson did not directly answer, but said working people want the ultra-rich and corporations to pay more in taxes.<\/p>\n

\u201cThere are a number of taxes that are not necessarily taxes I promote,\u201d he said.<\/p>\n

Fuentes also shared concerns that labor groups and Bally\u2019s leaders were not brought in to discuss the video gambling legalization. She added that she does not believe the revenue projections used for the machines when the budget passed.<\/p>\n

Beale told the Tribune the budget projections estimated only the income from licensing fees and left out the 5% revenue split, making his estimate a likely undercount in the long run.<\/p>\n

Johnson\u2019s administration has also noted legalizing the machines would mean the almost certain end of a $4 million annual payment made by Bally\u2019s as part of the host agreement they reached with the city to land a casino. Without that money, video gambling legalization could end up costing the city money this year and would at best generate only a small sum, the administration has argued.<\/p>\n

Ald. Brian Hopkins, a vocal supporter of the aldermen-backed budget, told the Tribune there is a \u201cconsiderable amount of discussion going on\u201d regarding the video gambling terminals.<\/p>\n

\u201cWe recognize that, in our haste to finalize a budget, there were some details regarding video gaming that were overlooked that can be cleaned up,\u201d he said.<\/p>\n

Like Lee, he said it is possible that terminal licensing might not begin this year. But he said he senses legalization could be \u201cinevitable\u201d and added that he does not think the matter should be \u201cstudied to death.\u201d<\/p>\n

\u201cGo down I-55 on your way to Springfield, you can\u2019t stop at a gas station that isn\u2019t loaded with these things,\u201d he said. \u201cThat horse left the barn a long time ago. It\u2019s highly likely we\u2019ll do something in Chicago\u2026 what we don\u2019t want to do is cannibalize the casino gaming industry.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Chicago\u2019s new plan to legalize video gambling terminals \u2014 finally passed last month as part of the 2026…\n","protected":false},"author":2,"featured_media":243018,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[2193,46138,103,61,12557,60,6492,410,411,43,1650],"class_list":{"0":"post-243017","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-mental-health","8":"tag-chicago","9":"tag-cook-county","10":"tag-health","11":"tag-ie","12":"tag-illinois","13":"tag-ireland","14":"tag-latest-headlines","15":"tag-mental-health","16":"tag-mentalhealth","17":"tag-news","18":"tag-politics"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/243017","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=243017"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/243017\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/243018"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=243017"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=243017"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=243017"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}