Video gambling fees going up in Dixon, Sterling

Cities in the area are raising fees for video gambling terminals after changes to state law.

State legislation effective Dec. 17 allows nonhome-rule municipalities to establish an annual fee of $250 per video gaming terminal rather than the previous cap of $25 per year.

The Dixon and Sterling city councils have both recently approved upping fees from $25 to $250 per terminal. The Rock Falls Council will likely take up the measure soon after the ordinance goes through committee.

Dixon had 168 video gambling terminals across 30 locations in 2021, which generated $436,059 in local gambling revenue since January 2021, according to data from the Illinois Gaming Board.

Sterling had 167 gambling terminals across 30 locations and has brought in $388,709 across the year. There are 146 gambling terminals at 26 locations in Rock Falls with 2021 city revenue totaling $372,790.

According to December gaming reports, Dixon had 158 terminals in 28 establishments and Sterling had 156 terminals in 28 locations.

Based on that information, the fee increases would mean bringing an additional $39,500 in Dixon, $39,000 in Sterling and $36,500 in Rock Falls if the council approves the increase.

In December alone, video gambling terminal net income was $770,406 in Dixon, $665,779 in Sterling and $649,648 in Rock Falls.

Businesses must have a liquor license, specifically a pour license, in order to have video gambling. Restaurants, bars, video gambling parlors and other qualifying businesses can then house up to six terminals.