Video Gaming Licenses

Slot machineIn September 2019, Schaumburg officials voted to repeal the ban on video gaming and have created a new ordinance that includes village-imposed regulations that will apply to businesses interested in providing video gaming as part of their operations.

View Schaumburg’s local ordinance.

Video gaming has been operating without significant consequences in most of the communities that surround Schaumburg. Hoffman Estates, Streamwood, Hanover Park, Roselle, Rolling Meadows, and Mount Prospect all have video gaming and have reported no major concerns or issues. Schaumburg officials voted to repeal the ban so that Schaumburg restaurants would not experience a competitive disadvantage because some patrons want the option to dine, drink and game all in one location. In addition, village officials received feedback from residents who said they visit establishments in other towns to participate in gaming.

Under Schaumburg’s new ordinance, effective January 1, 2020, existing full-service restaurants, hotels and other establishments that hold an eligible liquor license will be able to apply for a supplemental “Class V” license to allow for video gaming in their establishment. Questions regarding requirements or the local application process can be directed to the village’s Liquor Commissioner by email at cselke@schaumburg.com or by phone at (847) 923-4402.

Video Gaming Liquor License Process

From January 1st, 2020, to December 31st, 2020, only existing Village of Schaumburg Liquor License holders that have held a liquor license for at least one (1) year without incident are eligible to seek a Class V Liquor License with Video Gaming.

Before beginning the Video Gaming Liquor Licensing process with the Village of Schaumburg, please ensure the establishment meets all requirements of the Illinois Video Gaming Act as well as the requirements of the Village of Schaumburg ordinance.

The State of Illinois Video Gaming Location License must be obtained before a Village of Schaumburg Liquor License will be issued; however, you may choose to Get Started prior to receiving your State license.

View the map of areas where video gaming is strictly prohibited.        

How to Get Started (Existing Businesses)

1. Submit an online Video Gaming Notification of Intent form for initial review. 
     a. Preliminary floor plans or other supporting documentation for building modifications are required to be included in the Notification of Intent form.      

Please note: Establishments must be found in good financial standing with the village; any outstanding fees, fines, penalties, taxes, etc. must be paid in full to become eligible to move on to the next steps in the process. If you have questions concerning your financial standing with the village, please contact the Finance Department at (847) 923-4532.

2. Upon a determination of eligibility, you  may begin the process to acquire your Illinois Gaming Location License from the Illinois Gaming Board.

Please note: Schaumburg Video Gaming Liquor licenses will not be physically issued to the business until proof of State Video Gaming Location license is presented to the Village of Schaumburg. (see step 4 below)

3. Apply for the Video Gaming Alteration permit from the Village of Schaumburg Community Development Department for building modifications needed to accommodate video gaming. Consult the Resource Guide to obtain information that is required as part of this process. For questions regarding floor plan requirements or the building permit process, please contact Community Development at (847) 923-4420.

4. Once the Video Gaming Alteration permit process is completed, you will receive a Certificate of Gaming Alteration Completion. The Village of Schaumburg will contact the establishment and set up an appointment at the Robert O. Atcher Municipal Center for payment and issuance of the Video Gaming Liquor License. At that time the establishment will be required to bring the following:
    a. Illinois Video Gaming Location License
    b. Certificate of Gaming Alteration Completion
    c. Current, original Village of Schaumburg Liquor License
         i. The license will be exchanged for a Liquor License that allows you to host video gaming.
    d. Payment of $1,000 for video gaming license and $500 for each terminal hosted (maximum of 6)

Upon proper submittal of all of the above and a final verification that the establishment is currently in good standing with the village, a Video Gaming Liquor License will be issued by the Village President/Liquor Commissioner's Office.

Provided that good standing is maintained, 2021 Video Gaming Liquor Licenses will be renewed so there will be no need to reapply.      

New Businesses

Prospective businesses will be able to apply for a Class A-V, Class C-V, F-1-V, or Class F-2-V liquor license on January 2, 2021. Additional information regarding this process will be available in 2020.

Video Gaming Cafes

Video gaming cafes or lounges are considered businesses whose primary function is to offer gaming and not food and beverages. Individuals interested in opening a video gaming cafe will need to apply for a Class Q-V liquor license. Additional information regarding this process will be available in 2020.

  • No more than five Class Q-V liquor licenses will be issued.
  • The village will begin accepting applications on January 2, 2021, from LLCs that have a manager who is a resident of the village and from corporations whose president is a resident of the village.
  • Effective, January 2, 2022, all interested parties will be able to apply for any remaining Class Q-V liquor licenses.

Video Gaming FAQs

  1. What are the hours of operation?
    • Operation of video gaming terminals is limited to the hours where liquor is sold.
  2. How many video gaming terminals are allowed at each site?
    • The total number allowed shall not exceed 6.
  3. What types of establishments are eligible?
    • Existing holders of a Class A, C, F-1, or F-2 liquor license that meet the separation requirements of the Illinois Video Gaming Act will be allowed to apply for a “Class V” supplement license starting January 1, 2020. These liquor license types require that the establishment be full-service restaurants and hotels that serve beer, wine, and or liquor with food.
    • Prospective businesses will be able to apply for a Class A-V, Class C-V, Class F-1-V, and Class F-2-V liquor license that allows for video gaming on January 2, 2021.
    • Prospective video gaming cafes whose president or manager is a Schaumburg resident will be eligible to apply for a Class Q-V license starting January 2, 2021.
    • All prospective video gaming cafes will be eligible to apply for a Class Q-V license starting January 2, 2022.
  4. Do video gaming terminals need to be placed in a specific area inside a licensed establishment?
    • Yes, video gaming shall be located in a screened, segregated area that is restricted to persons 21 years of age or older. The screening should be a solid wall that is at least 42 inches in height and should surround the entire area with the exception of entrance/exits provided that the screening does not obstruct the view of the area from an employee at all times. No lighting or sounds from the gaming machines shall be visible or audible outside of the segregated area.
  5. How large can the gaming area be?
    • It shall be no more than 300 square feet or 25% of the gross floor area of the premises, whichever is less (this requirement is different for video gaming cafes).
  6. What are the fees?
    • Class A-V: $4,000 (Class A- $3,000)
    • Class C-V: $4,250 (Class C- $3,250)
    • Class F-1-V: $2,800 (Class F-1- $1,800)
    • Class F-2-V: $2,750 (Class F-2- $1,750)
    • (For 2020: If your business holds one of the above liquor licenses and the holder plans to apply for a V license, the liquor license should be renewed before 12/31/2019. Subsequently, if a V license is approved, you will be charged $1,000 for the V license.)
    • Class Q-V: $5,000
    • Video Gaming Terminal Fee: $500 per video gaming terminal
  7. How will video gaming revenue be used?
    • Up to 50% of all terminal fee revenue and up to 50% of the difference between the license fee for a liquor license and a video gaming license of the same class shall be allocated toward the treatment of gambling addiction for residents.
    • All revenue generated by V licenses will be subject to Village Board appropriation as part of the budget process.