SB0580sam002 96TH GENERAL ASSEMBLY

Sen. Dan Cronin

Filed: 3/23/2010

09600SB0580sam002 LRB096 06644 RLJ 39469 a

AMENDMENT TO SENATE BILL 580

AMENDMENT NO. ______. Amend Senate Bill 580 by replacing everything after the enacting clause with the following:

"Section 5. The Counties Code is amended by changing Sections 5-1012 and 5-1024 and by adding the heading of Div. 5-43 and Sections 5-43000, 5-43005, 5-43010, 5-43015, 5-43020, 5-43025, 5-43030, 5-43035, and 5-43040 as follows:

(55 ILCS 5/5-1012) (from Ch. 34, par. 5-1012)

Sec. 5-1012. Issuance of county bonds. When the county board of any county deems it necessary to issue county bonds to enable them to perform any of the duties imposed upon them by law, they may, by an order, entered of record, specifying the amount of bonds required, and the object for which they are to be issued, submit to the legal voters of their county, at any election, the question of issuing such county bonds. The county board shall certify the question to the proper election officials who shall submit the question at an election in accordance with the general election law. The amount of the bonds so issued shall not exceed, including the then existing indebtedness of the county, 5.75% of the value of such taxable property of such county, as ascertained by the assessment for the State and county tax for the preceding year or, until January 1, 1983, if greater, the sum that is produced by multiplying the county's 1978 equalized assessed valuation by the debt limitation percentage in effect on January 1, 1979. For the purposes of calculating the rate limitation, the amount of any bonds or indebtedness transferred to a county under the Water Commission Act of 1985 pursuant to this amendatory Act of the 96th General Assembly shall be excluded. The proposition shall be in substantially the following form: "For county bonds", or "Against county bonds", and if a majority of the votes on that question shall be "For county bonds", such county board may issue such bonds in such denominations as the county board may determine of not less than $25 each, payable respectively, in not less than one, nor more than 20 years, with interest payable annually or semi-annually, at the rate of not more than the greater of (i) the maximum rate authorized by the Bond Authorization Act, as amended at the time of the making of the contract, or (ii) 8% per annum. This Section shall not require submission to the voters of the county of bond issues authorized to be issued without such submission to the voters under Section 5-1027 or 5-1062 or under Division 5-33, 6-6, 6-8 or 6-27 of this Code.

With respect to instruments for the payment of money issued under this Section or its predecessor either before, on, or after the effective date of Public Act 86-4, it is and always has been the intention of the General Assembly (i) that the Omnibus Bond Acts are and always have been supplementary grants of power to issue instruments in accordance with the Omnibus Bond Acts, regardless of any provision of this Act or "An Act to revise the law in relation to counties", approved March 31, 1874, that may appear to be or to have been more restrictive than those Acts, (ii) that the provisions of this Section or its predecessor are not a limitation on the supplementary authority granted by the Omnibus Bond Acts, and (iii) that instruments issued under this Section or its predecessor within the supplementary authority granted by the Omnibus Bond Acts are not invalid because of any provision of this Act or "An Act to revise the law in relation to counties", approved March 31, 1874, that may appear to be or to have been more restrictive than those Acts.

(Source: P.A. 90-655, eff. 7-30-98.)

(55 ILCS 5/5-1024) (from Ch. 34, par. 5-1024)

Sec. 5-1024. Taxes. A county board may cause to be levied and collected annually, except as hereinafter provided, taxes for county purposes, including all purposes for which money may be raised by the county by taxation, in counties having 80,000 or more but less than 3,000,000 inhabitants at a rate not exceeding .25%, of the value as equalized or assessed by the Department of Revenue; in counties with less than 80,000 but more than 15,000 inhabitants at a rate not exceeding .27%, of the value as equalized or assessed by the Department of Revenue; in counties with less than 80,000 inhabitants which have authorized a tax by referendum under Section 7-2 of the Juvenile Court Act prior to the effective date of this amendatory Act of 1985, at a rate not exceeding .32%, of the value as equalized or assessed by the Department of Revenue; and in counties with 15,000 or fewer inhabitants at a rate not exceeding .37%, of the value as equalized or assessed by the Department of Revenue; and in counties having 3,000,000 or more inhabitants for each even numbered year, subject to the abatement requirements hereinafter provided, at a rate not exceeding .39% of the value, as equalized or assessed by the Department of Revenue, and for each odd numbered year, subject to the abatement requirements hereinafter provided, at a rate not exceeding .35% of the value as equalized or assessed by the Department of Revenue, except taxes for the payment of interest on and principal of bonded indebtedness heretofore duly authorized for the construction of State aid roads in the county as defined in "An Act to revise the law in relation to roads and bridges", approved June 27, 1913, or for the construction of county highways as defined in the Illinois Highway Code, and except taxes for the payment of interest on and principal of bonded indebtedness duly authorized without a vote of the people of the county, and except taxes authorized as additional by a vote of the people of the county, and except taxes for working cash fund purposes, and except taxes as authorized by Sections 5-601, 5-602, 5-603, 5-604 and 6-512 of the Illinois Highway Code, and except taxes authorized under Section 7 of the Village Library Act, and except taxes levied to pay the annual rent payments due under a lease entered into by the county with a Public Building Commission as authorized by Section 18 of the Public Building Commission Act, and except taxes levied under Division 6-3, and except taxes levied for general assistance for needy persons in counties under commission form of government and except taxes levied under the County Care for Persons with Developmental Disabilities Act, and except taxes levied under the Community Mental Health Act, and except taxes levied under Section 5-1025 to pay the expenses of elections and except taxes levied under "An Act to provide the manner of levying or imposing taxes for the provision of special services to areas within the boundaries of home rule units and non-home rule municipalities and counties", approved September 21, 1973, and except taxes levied under Section 3a of the Revenue Act of 1939 for the purposes of helping to pay for the expenses of the assessor's office, and except taxes levied under Division 5-21, and except taxes levied pursuant to Section 19 of "The Illinois Emergency Services and Disaster Agency Act of 1975", as now or hereafter amended, and except taxes levied pursuant to Division 5-23, and except taxes levied under Section 5 of the County Shelter Care and Detention Home Act, and except taxes levied under the Children's Advocacy Center Act, and except taxes levied under Section 9-107 of the Local Governmental and Governmental Employees Tort Immunity Act, and except taxes levied under Section 2 of the Water Commission Act of 1985.

Those taxes a county has levied and excepted from the rate limitation imposed by this Section or Section 25.05 of "An Act to revise the law in relation to counties", approved March 31, 1874, in reliance on this amendatory Act of 1994 are not invalid because of any provision of this Section that may be construed to or may have been construed to restrict or limit those taxes levied and those taxes are hereby validated. This validation of taxes levied applies to all cases pending on or after the effective date of this amendatory Act of 1994.

Nothing contained in this amendatory Act of 1994 shall be construed to affect the application of the Property Tax Extension Limitation Law.

Any tax levied for general assistance for needy persons in any county in addition to and in excess of the maximum levy permitted by this Section for general county purposes shall be paid into a special fund in the county treasury and used only for the purposes for which it is levied except that any excess in such fund over the amount needed for general assistance may be used for County Nursing Home purposes and shall not exceed .10% of the value, as equalized or assessed by the Department of Revenue. Any taxes levied for general assistance pursuant to this Section may also be used for the payment of warrants issued against and in anticipation of such taxes and accrued interest thereon and may also be used for the payment of costs of administering such general assistance.

In counties having 3,000,000 or more inhabitants, taxes levied for any year for any purpose or purposes, except amounts levied for the payment of bonded indebtedness or interest thereon and for pension fund purpose, and except taxes levied to pay the annual rent payments due under a lease entered into by the county with a Public Building Commission as authorized by Section 18 of the Public Building Commission Act, are subject to the limitation that they shall not exceed the estimated amount of taxes to be levied for the year for the purpose or purposes as determined in accordance with Section 6-24001 and set forth in the annual appropriation bill of the county and in ascertaining the rate per cent that will produce the amount of any tax levied in any county, the county clerk shall not add to the tax or rate any sum or amount to cover the loss and cost of collecting the tax, except in the case of amounts levied for the payment of bonded indebtedness or interest thereon, and in the case of amounts levied for pension fund purposes, and except taxes levied to pay the annual rent payments due under a lease entered into by the county with a Public Building Commission as authorized by Section 18 of the Public Building Commission Act.

In counties having a population of 3,000,000 or more inhabitants, the county clerk shall in each even numbered year, before extending the county tax for the year, reduce the levy for county purposes for the year (exclusive of levies for payment of indebtedness and payment of interest on and principal of bonded indebtedness as aforesaid, and exclusive of county highway taxes as aforesaid, and exclusive of pension fund taxes, and except taxes levied to pay the annual rent payments due under a lease entered into by the county with a Public Building Commission as authorized by Section 18 of the Public Building Commission Act) in the manner described and in an amount to be determined as follows: If the amount received from the collection of the tax levied in the last preceding even numbered year for county purposes as aforesaid, as shown by the county treasurer's final settlement for the last preceding even numbered year and also by subsequent receipts of delinquent taxes for the county purposes fund levied for the last preceding even numbered year, equals or exceeds the amount produced by multiplying the rate extended for the county purposes for the last preceding even numbered year by the total assessed valuation of all property in the county used in the year for purposes of state and county taxes, and by deducting therefrom the amount appropriated to cover the loss and cost of collecting taxes to be levied for the county purposes fund for the last preceding even numbered year, the clerk in determining the rate per cent to be extended for the county purposes fund shall deduct from the amount of the levy certified to him for county purposes as aforesaid for even numbered years the amount received by the county clerk or withheld by the county treasurer from other municipal corporations within the county as their pro rata share of election expenses for the last preceding even numbered year, as authorized in Sections 13-11, 13-12, 13-13 and 16-2 of the Election Code, and the clerk in these counties shall extend only the net amount remaining after such deductions.

The foregoing limitations upon tax rates, insofar as they are applicable to counties having less than 3,000,000 inhabitants, may be increased or decreased under the referendum provisions of the General Revenue Law of Illinois and there shall be no limit on the rate of tax for county purposes that may be levied by a county so long as any increase in the rate is authorized by referendum in that county.

Any county having a population of less than 3,000,000 inhabitants that has determined to change its fiscal year may, as a means of effectuating a change, instead of levying taxes for a one-year period, levy taxes for a period greater or less than a year as may be necessary.

In counties having less than 3,000,000 inhabitants, in ascertaining the rate per cent that will produce the amount of any tax levied in that county, the County Clerk shall not add to the tax or rate any sum or amount to cover the loss and cost of collecting the tax except in the case of amounts levied for the payment of bonded indebtedness or interest thereon and in the case of amounts levied for pension fund purposes and except taxes levied to pay the annual rent payments due under a lease entered into by the county with a Public Building Commission as authorized by Section 18 of the Public Building Commission Act.

A county shall not have its maximum tax rate reduced as a result of a population increase indicated by the 1980 federal census.

(Source: P.A. 91-51, eff. 6-30-99.)

(55 ILCS 5/Div. 5-43 heading new)

Division 5-43. Water Supply Powers

(55 ILCS 5/5-43000 new)

Sec. 5-43000. Water supply powers. A county shall have and exercise all powers, functions, and duties of a water commission created pursuant to Division 135 of the Illinois Municipal Code, and the county may rely on that Division, as modified and supplemented by the provisions of this Act, as lawful authority under which it may act. A county served by a water commission that is abolished by this amendatory Act of the 96th General Assembly shall assume the assets, property, powers, rights, and monetary indebtedness duties of the abolished commission, including the right to impose and receive taxes previously approved pursuant to Sections 2, 4, and 5 of the Water Commission Act of 1985 and all interest in Great Lakes water allocated to the abolished commission by the Illinois Department of Natural Resources and may exercise those powers within the territory of the abolished commission notwithstanding that some of the territory may lie outside the county.

(55 ILCS 5/5-43005 new)

Sec. 5-43005. Water Operations and Planning Committee. A county exercising powers under this amendatory Act of the 96th General Assembly shall, by ordinance, establish a Water Operations and Planning Committee. The Water Operations and Planning Committee shall consist of equal numbers of county board members and municipal representatives from each county board district and any other members as may be determined by the county and municipal members.

The county board members shall be appointed as provided by the rules of the county board. Municipal members from each county board district or other represented area shall be appointed by a majority vote of the mayors of those municipalities that have the greatest percentage of their respective populations residing in the county board district or other represented area. All municipal and county board representatives shall be entitled to a vote. No committee member shall receive a salary or compensation for service other than as provided by rule of the county board. Officers of the committee shall include a chair to be selected by the chairperson of the county board and a vice-chair to be selected by the municipal representatives. The county clerk and treasurer shall perform their respective functions as for other county committees and departments.

The principal duties of the Water Operations and Planning Committee shall be to provide recommendations related to the exercise of the county's powers under this Division 5-43. The Water Operations and Planning Committee shall have no duties related to a county's public works water system.

(55 ILCS 5/5-43010 new)

Sec. 5-43010. Annual audit. The county auditor shall annually audit the county's accounts related to the exercise of county water supply powers and shall post the annual audit on the county's official Internet website.

(55 ILCS 5/5-43015 new)

Sec. 5-43015. Taxes. Beginning on December 1, 2010, the county board of a county serviced by an abolished water commission under this amendatory Act of the 96th General Assembly may, by ordinance, impose throughout the territory of the abolished commission, including those areas served that are located outside of the county, any or all of the taxes provided in Sections 2 and 4 of the Water Commission Act of 1985. The revenues collected from these taxes shall be held in a water enterprise fund and shall be expended by the county board solely to repay the debts, obligations, and operating expenses incurred by an abolished water commission.

(55 ILCS 5/5-43020 new)

Sec. 5-43020. Water enterprise fund. On December 1, 2010, the county shall establish a water enterprise fund. All moneys transferred to the county under this amendatory Act of the 96th General Assembly shall, for accounting purposes, be stated separately in the water enterprise fund, which may include sub-funds for bond repayment and any other purposes as deemed useful for management purposes. Any surplus remaining after full payment of indebtedness for which a separate tax has been levied shall not be transferred to the common fund as provided in Section 5-1011, but shall remain in the water enterprise fund. If the county has an existing water fund, the moneys from the abolished commission shall be kept as a separate fund in the county treasury.

(55 ILCS 5/5-43025 new)

Sec. 5-43025. Water service for unincorporated areas. The county may require as a condition of a new or existing water supply contract that a municipality provide water to unincorporated areas of the county that adjoin that municipality, without annexation of those areas, in accordance with the terms of this Section. Before imposing the requirement, the county shall find that the area to be served received well water that is tainted, contaminated, or otherwise substandard or the general safety of the area is compromised.

(55 ILCS 5/5-43030 new)

Sec. 5-43030. Water rate guarantee. The county shall charge its customers a rate that is equal to or reasonably exceeds its bulk water purchase rate to pay for the reasonable costs of operation, including debt obligations, of its water supply system. The rate charged by the county shall increase in an amount equal to any increase charged to the county for the purchase of bulk water, and such increased charge shall automatically become effective without county action no later than one month after the purchase rate increase takes effect. Under no circumstances may the county charge a rate less than the rate of the bulk water purchased by the county. If the rate in effect on December 1, 2010 is less than the bulk purchase rate, then the rate shall be immediately adjusted as set forth in this Section.

(55 ILCS 5/5-43035 new)

Sec. 5-43035. Preparation and transition costs. All reasonable costs incurred by a county in preparation for the assumption of the functions of an abolished water commission and in transition to the exercise of the powers and duties provided in this Division 5-43 shall be paid by or reimbursed from the assets and revenue of the abolished commission, and shall be deemed proper costs attributable to water supply purposes.

(55 ILCS 5/5-43040 new)

Sec. 5-43040. Home rule. A home rule unit may not regulate its water systems in a manner that is inconsistent with the provisions of this amendatory Act of the 96th General Assembly. This Section is a limitation under subsection (i) of Section 6 of Article VII of the Illinois Constitution on the concurrent exercise by home rule units of powers and functions exercised by the State.

Section 10. The Water Commission Act of 1985 is amended by adding Sections 0.001, 0.001a, 0.001b, 0.001c, 0.001d, 0.001e, and 0.001f as follows:

(70 ILCS 3720/0.001 new)

Sec. 0.001. Purpose and findings. It is the purpose of this amendatory Act of the 96th General Assembly to abolish the water commissions created by this Act and to transfer to the respective counties that are served by the water commissions the assets, property, rights, powers, monetary indebtedness duties, and functions of the commissions.

The General Assembly finds and declares that it is necessary and in the best interest of the people of the State and the persons served by these commissions to change the governance of the water systems created and functioning under this Act. The changes made by this amendatory Act of the 96th General Assembly are intended to save costs by eliminating an unnecessary additional level of government, make the governance of the water systems more responsive to the electors and water users, serve more equitably the municipalities receiving water, ensure the financial viability of the water systems, spread the costs of the water systems more equitably among the users, ensure proper financial and operational oversight, and ensure that government services are delivered in a transparent and responsible manner.

It is the intent of this amendatory Act of the 96th General Assembly to permit the changing of any obligations of a water commission established under this Act to supply water, including the rate charged for supplying water and other matters related to a water commission's supply obligations. It is not the intent of this amendatory Act of the 96th General Assembly to change or permit the changing of any financial covenants or obligations of a water commission established under this Act to supply water.

(70 ILCS 3720/0.001a new)

Sec. 0.001a. Districts abolished. Notwithstanding any provision of law to the contrary, any water commission established under this Act is abolished on December 1, 2010.

(70 ILCS 3720/0.001b new)

Sec. 0.001b. Assumption of powers, rights, and monetary indebtedness; tax rate limitation. On December 1, 2010, the county in which the abolished commission has operated, shall assume all powers, rights, and monetary indebtedness duties of the abolished commission including without limitation the following: (i) the right to impose and receive taxes previously approved pursuant to Sections 2, 4, and 5 of this Act and (ii) all interest in Great Lakes water allocated to the abolished commission by the Illinois Department of Natural Resources. No contract, except those evidencing monetary indebtedness, entered into by the abolished commission shall remain in effect unless re-affirmed or re-negotiated by the county. The assumption of the monetary indebtedness of a water commission as provided for in this Section shall constitute a merger or consolidation for purposes of the Property Tax Extension Limitation Law, notwithstanding the abolishment of the existing water commission.

(70 ILCS 3720/0.001c new)

Sec. 0.001c. Transfer of assets and property. Effective December 1, 2010, all assets, books, records, documents, real and personal property, and unexpended appropriations of a water commission abolished under this amendatory Act of the 96th General Assembly are transferred and delivered to the county served by the abolished water commission.

(70 ILCS 3720/0.001d new)

Sec. 0.001d. Cross references. Beginning on December 1, 2010, all references in other statutes, however phrased, to a water commission abolished under this amendatory act of the 96th General Assembly shall be references to the county in its capacity as successor to the abolished water commission.

(70 ILCS 3720/0.001e new)

Sec. 0.001e. Ordinances, orders, and resolutions.

(a) On December 1, 2010, the ordinances, orders, and resolutions of a water commission abolished by this amendatory Act of the 96th General Assembly that were in effect on November 30, 2010 and that pertain to the assets, property, rights, powers, monetary indebtedness duties, and functions transferred to the county served by the abolished commission, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b, shall become, with respect to that territory, the ordinances, orders, and resolutions of the county and shall continue in effect until amended or repealed or until December 1, 2010, whichever occurs first.

(b) Any ordinances, orders, or resolutions pertaining to the assets, property, rights, powers, monetary indebtedness duties, and functions transferred to the county under this amendatory Act of the 96th General Assembly that have been proposed by a water commission abolished by this amendatory Act of the 96th General Assembly but have not taken effect or been finally adopted by November 30, 2010 shall become, with respect to that territory, the proposed ordinances, orders, and resolutions of the county, and any procedures that have already been completed by the abolished water commission for those proposed ordinances, orders, or resolutions need not be repeated.

(70 ILCS 3720/0.001f new)

Sec. 0.001f. Savings provisions.

(a) The assets, property, rights, powers, monetary indebtedness duties, and functions transferred to a county by this amendatory Act of the 96th General assembly shall be vested in that county subject to the provisions of this amendatory Act of the 96th General Assembly. An act done by an abolished water commission with respect to the transferred assets, property, rights, powers, monetary indebtedness duties, or functions, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b, shall have the same legal effect as if done by the county. The county is not liable for any act done by an officer, employee, or agent of the abolished commission on or before December 1, 2010 if the act was an individual or unofficial act or an act outside of the scope of duties.

(b) The transfer of assets, property, rights, powers, monetary indebtedness duties, and functions under this amendatory Act of the 96th General Assembly does not invalidate any previous action, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b, taken by or in respect to an abolished water commission or its officers, employees, or agents. References to an abolished water commission or to its officers, employees, or agents in any document, contract, agreement, or law shall, in appropriate contexts, be deemed to refer to the county served by the abolished commission.

(c) The transfer under this amendatory Act of the 96th General Assembly of assets, property, rights, powers, monetary indebtedness duties, and functions of an abolished water commission, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b, does not affect any person's rights, obligations, or duties, including any applicable civil or criminal penalties, arising out of those transferred assets, property, rights, powers, monetary indebtedness duties, and functions.

(d) With respect to matters pertaining to an asset, property, right, power, monetary indebtedness duty, or function transferred to a county under this amendatory Act of the 96th General Assembly:

(1) Beginning December 1, 2010, a report or notice that was previously required to be made or given by any person to an abolished water commission or to any of its officers, employees, or agents must be made or given in the same manner to the county.

(2) Beginning December 1, 2010, a document that was previously required to be furnished or served by any person to or upon an abolished water commission or to or upon any of its officers, employees, or agents must be furnished or served in the same manner to or upon the county.

(e) This amendatory Act of the 96th General Assembly does not affect any act done, ratified, or cancelled or any right occurring or established, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b; or any action or proceeding had or commenced in an administrative, civil, or criminal cause before December 1, 2010. Any such action or proceeding that pertains to an asset, property, right, power, monetary indebtedness duty, or function transferred to a county under this amendatory Act of the 96th General Assembly, exclusive of those relating to contracts to be re-affirmed or re-negotiated under Section 0.001b, and that is pending on November 30, 2010 may be prosecuted, defended, or continued by the county.

Section 15. The State Mandates Act is amended by adding Section 8.34 as follows:

(30 ILCS 805/8.34 new)

Sec. 8.34. Exempt mandate. Notwithstanding Sections 6 and 8 of this Act, no reimbursement by the State is required for the implementation of any mandate created by this amendatory Act of the 96th General Assembly.

Section 97. Severability. The provisions of this Act are severable under Section 1.31 of the Statute on Statutes.

Section 99. Effective date. This Act takes effect upon becoming law.".