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91_SB1028eng SB1028 Engrossed LRB9106061PTpk 1 AN ACT in relation to transportation and transportation 2 financing, amending named Acts. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The State Finance Act is amended by changing 6 Section 8.3 as follows: 7 (30 ILCS 105/8.3) (from Ch. 127, par. 144.3) 8 Sec. 8.3. Appropriations from the Road Fund. Money in 9 the road fund shall, if and when the State of Illinois incurs 10 any bonded indebtedness for the construction of permanent 11 highways, be set aside and used for the purpose of paying and 12 discharging annually the principal and interest on that 13 bonded indebtedness then due and payable, and for no other 14 purpose. The surplus, if any, in the road fund after the 15 payment of principal and interest on that bonded indebtedness 16 then annually due shall be used as follows: 17 first--to pay the cost of administration of Chapters 18 2 through 10 of the Illinois Vehicle Code, except the 19 cost of administration of Articles I and II of Chapter 3 20 of that Code; and 21 secondly--for expenses of the Department of 22 Transportation for construction, reconstruction, 23 improvement, repair, maintenance, operation, and 24 administration of highways in accordance with the 25 provisions of laws relating thereto, or for any purpose 26 related or incident to and connected therewith, including 27 the separation of grades of those highways with railroads 28 and with highways and including the payment of awards 29 made by the Industrial Commission under the terms of the 30 Workers' Compensation Act or Workers' Occupational 31 Diseases Act for injury or death of an employee of the SB1028 Engrossed -2- LRB9106061PTpk 1 Division of Highways in the Department of Transportation; 2 or for the acquisition of land and the erection of 3 buildings for highway purposes, including the acquisition 4 of highway right-of-way or for investigations to 5 determine the reasonably anticipated future highway 6 needs; or for making of surveys, plans, specifications 7 and estimates for and in the construction and maintenance 8 of flight strips and of highways necessary to provide 9 access to military and naval reservations, to defense 10 industries and defense-industry sites, and to the sources 11 of raw materials and for replacing existing highways and 12 highway connections shut off from general public use at 13 military and naval reservations and defense-industry 14 sites, or for the purchase of right-of-way, except that 15 the State shall be reimbursed in full for any expense 16 incurred in building the flight strips; or for the 17 operating and maintaining of highway garages; or for 18 patrolling and policing the public highways and 19 conserving the peace; or for any of those purposes or any 20 other purpose that may be provided by law. 21 Appropriations for any of those purposes are payable from 22 the road fund. Appropriations may also be made from the road 23 fund for the administrative expenses of any State agency that 24 are related to motor vehicles or arise from the use of motor 25 vehicles. 26 Beginning with fiscal year 1980 and thereafter, no road 27 fund monies shall be appropriated to the following 28 Departments or agencies of State government for 29 administration, grants, or operations; but this limitation is 30 not a restriction upon appropriating for those purposes any 31 road fund monies that are eligible for federal reimbursement; 32 1. Department of Public Health; 33 2. Department of Transportation, only with respect 34 to subsidies for one-half fare Student Transportation and SB1028 Engrossed -3- LRB9106061PTpk 1 Reduced Fare for Elderly; 2 3. Department of Central Management Services, 3 except for expenditures incurred for group insurance 4 premiums of appropriate personnel; 5 4. Judicial Systems and Agencies. 6 Beginning with fiscal year 1981 and thereafter, no road 7 fund monies shall be appropriated to the following 8 Departments or agencies of State government for 9 administration, grants, or operations; but this limitation is 10 not a restriction upon appropriating for those purposes any 11 road fund monies that are eligible for federal reimbursement: 12 1. Department of State Police, except for 13 expenditures with respect to the Division of State 14 Troopers; 15 2. Department of Transportation, only with respect 16 to Intercity Rail Subsidies and Rail Freight Services. 17 Beginning with fiscal year 1982 and thereafter, no road 18 fund monies shall be appropriated to the following 19 Departments or agencies of State government for 20 administration, grants, or operations; but this limitation is 21 not a restriction upon appropriating for those purposes any 22 road fund monies that are eligible for federal reimbursement: 23 Department of Central Management Services, except for awards 24 made by the Industrial Commission under the terms of the 25 Workers' Compensation Act or Workers' Occupational Diseases 26 Act for injury or death of an employee of the Division of 27 Highways in the Department of Transportation. 28 Beginning with fiscal year 1984 and thereafter, no road 29 fund monies shall be appropriated to the following 30 Departments or agencies of State government for 31 administration, grants, or operations; but this limitation is 32 not a restriction upon appropriating for those purposes any 33 road fund monies that are eligible for federal reimbursement: 34 1. Department of State Police, except not more than SB1028 Engrossed -4- LRB9106061PTpk 1 40% of the funds appropriated for the Division of State 2 Troopers; 3 2. State Officers. 4 Beginning with fiscal year 1984 and thereafter, no road 5 fund monies shall be appropriated to any Department or agency 6 of State government for administration, grants, or operations 7 except as provided hereafter; but this limitation is not a 8 restriction upon appropriating for those purposes any road 9 fund monies that are eligible for federal reimbursement. It 10 shall not be lawful to circumvent the above appropriation 11 limitations by governmental reorganization or other methods. 12 Appropriations shall be made from the road fund only in 13 accordance with the provisions of this Section. 14 Money in the road fund shall, if and when the State of 15 Illinois incurs any bonded indebtedness for the construction 16 of permanent highways, be set aside and used for the purpose 17 of paying and discharging during each fiscal year the 18 principal and interest on that bonded indebtedness as it 19 becomes due and payable as provided in the Transportation 20 Bond Act, and for no other purpose. The surplus, if any, in 21 the road fund after the payment of principal and interest on 22 that bonded indebtedness then annually due shall be used as 23 follows: 24 first--to pay the cost of administration of Chapters 25 2 through 10 of the Illinois Vehicle Code; and 26 secondly--no road fund monies derived from fees, 27 excises, or license taxes relating to registration, 28 operation and use of vehicles on public highways or to 29 fuels used for the propulsion of those vehicles, shall be 30 appropriated or expended other than for costs of 31 administering the laws imposing those fees, excises, and 32 license taxes, statutory refunds and adjustments allowed 33 thereunder, administrative costs of the Department of 34 Transportation, payment of debts and liabilities incurred SB1028 Engrossed -5- LRB9106061PTpk 1 in construction and reconstruction of public highways and 2 bridges, acquisition of rights-of-way for and the cost of 3 construction, reconstruction, maintenance, repair, and 4 operation of public highways and bridges under the 5 direction and supervision of the State, political 6 subdivision, or municipality collecting those monies, and 7 the costs for patrolling and policing the public highways 8 (by State, political subdivision, or municipality 9 collecting that money) for enforcement of traffic laws. 10 The separation of grades of such highways with railroads 11 and costs associated with protection of at-grade highway 12 and railroad crossing shall also be permissible. 13 Appropriations for any of such purposes are payable from 14 the road fund or the Grade Crossing Protection Fund as 15 provided in Section 8 of the Motor Fuel Tax Law. 16 Beginning with fiscal year 1991 and thereafter, no Road 17 Fund monies shall be appropriated to the Department of State 18 Police for the purposes of this Section in excess of its 19 total fiscal year 1990 Road Fund appropriations for those 20 purposes unless otherwise provided in Section 5g of this Act. 21 It shall not be lawful to circumvent this limitation on 22 appropriations by governmental reorganization or other 23 methods unless otherwise provided in Section 5g of this Act. 24 In fiscal year 1994, no Road Fund monies shall be 25 appropriated to the Secretary of State for the purposes of 26 this Section in excess of the total fiscal year 1991 Road 27 Fund appropriations to the Secretary of State for those 28 purposes, plus $9,800,000. It shall not be lawful to 29 circumvent this limitation on appropriations by governmental 30 reorganization or other method. 31 Beginning with fiscal year 1995 and thereafter, no Road 32 Fund monies shall be appropriated to the Secretary of State 33 for the purposes of this Section in excess of the total 34 fiscal year 1994 Road Fund appropriations to the Secretary of SB1028 Engrossed -6- LRB9106061PTpk 1 State for those purposes. It shall not be lawful to 2 circumvent this limitation on appropriations by governmental 3 reorganization or other methods. 4 No new program may be initiated in fiscal year 1991 and 5 thereafter that is not consistent with the limitations 6 imposed by this Section for fiscal year 1984 and thereafter, 7 insofar as appropriation of road fund monies is concerned. 8 Nothing in this Section prohibits transfers from the Road 9 Fund to the State Construction Account Fund under Section 5e 10 of this Act. 11 (Source: P.A. 87-774; 87-1228; 88-78.) 12 Section 10. The Use Tax Act is amended by changing 13 Section 9 as follows: 14 (35 ILCS 105/9) (from Ch. 120, par. 439.9) 15 Sec. 9. Returns; deposits. Except as to motor vehicles, 16 watercraft, aircraft, and trailers that are required to be 17 registered with an agency of this State, each retailer 18 required or authorized to collect the tax imposed by this Act 19 shall pay to the Department the amount of such tax (except as 20 otherwise provided) at the time when he is required to file 21 his return for the period during which such tax was 22 collected, less a discount of 2.1% prior to January 1, 1990, 23 and 1.75% on and after January 1, 1990, or $5 per calendar 24 year, whichever is greater, which is allowed to reimburse the 25 retailer for expenses incurred in collecting the tax, keeping 26 records, preparing and filing returns, remitting the tax and 27 supplying data to the Department on request. In the case of 28 retailers who report and pay the tax on a transaction by 29 transaction basis, as provided in this Section, such discount 30 shall be taken with each such tax remittance instead of when 31 such retailer files his periodic return. A retailer need not 32 remit that part of any tax collected by him to the extent SB1028 Engrossed -7- LRB9106061PTpk 1 that he is required to remit and does remit the tax imposed 2 by the Retailers' Occupation Tax Act, with respect to the 3 sale of the same property. 4 Where such tangible personal property is sold under a 5 conditional sales contract, or under any other form of sale 6 wherein the payment of the principal sum, or a part thereof, 7 is extended beyond the close of the period for which the 8 return is filed, the retailer, in collecting the tax (except 9 as to motor vehicles, watercraft, aircraft, and trailers that 10 are required to be registered with an agency of this State), 11 may collect for each tax return period, only the tax 12 applicable to that part of the selling price actually 13 received during such tax return period. 14 Except as provided in this Section, on or before the 15 twentieth day of each calendar month, such retailer shall 16 file a return for the preceding calendar month. Such return 17 shall be filed on forms prescribed by the Department and 18 shall furnish such information as the Department may 19 reasonably require. 20 The Department may require returns to be filed on a 21 quarterly basis. If so required, a return for each calendar 22 quarter shall be filed on or before the twentieth day of the 23 calendar month following the end of such calendar quarter. 24 The taxpayer shall also file a return with the Department for 25 each of the first two months of each calendar quarter, on or 26 before the twentieth day of the following calendar month, 27 stating: 28 1. The name of the seller; 29 2. The address of the principal place of business 30 from which he engages in the business of selling tangible 31 personal property at retail in this State; 32 3. The total amount of taxable receipts received by 33 him during the preceding calendar month from sales of 34 tangible personal property by him during such preceding SB1028 Engrossed -8- LRB9106061PTpk 1 calendar month, including receipts from charge and time 2 sales, but less all deductions allowed by law; 3 4. The amount of credit provided in Section 2d of 4 this Act; 5 5. The amount of tax due; 6 5-5. The signature of the taxpayer; and 7 6. Such other reasonable information as the 8 Department may require. 9 If a taxpayer fails to sign a return within 30 days after 10 the proper notice and demand for signature by the Department, 11 the return shall be considered valid and any amount shown to 12 be due on the return shall be deemed assessed. 13 Beginning October 1, 1993, a taxpayer who has an average 14 monthly tax liability of $150,000 or more shall make all 15 payments required by rules of the Department by electronic 16 funds transfer. Beginning October 1, 1994, a taxpayer who has 17 an average monthly tax liability of $100,000 or more shall 18 make all payments required by rules of the Department by 19 electronic funds transfer. Beginning October 1, 1995, a 20 taxpayer who has an average monthly tax liability of $50,000 21 or more shall make all payments required by rules of the 22 Department by electronic funds transfer. The term "average 23 monthly tax liability" means the sum of the taxpayer's 24 liabilities under this Act, and under all other State and 25 local occupation and use tax laws administered by the 26 Department, for the immediately preceding calendar year 27 divided by 12. 28 Before August 1 of each year beginning in 1993, the 29 Department shall notify all taxpayers required to make 30 payments by electronic funds transfer. All taxpayers required 31 to make payments by electronic funds transfer shall make 32 those payments for a minimum of one year beginning on October 33 1. 34 Any taxpayer not required to make payments by electronic SB1028 Engrossed -9- LRB9106061PTpk 1 funds transfer may make payments by electronic funds transfer 2 with the permission of the Department. 3 All taxpayers required to make payment by electronic 4 funds transfer and any taxpayers authorized to voluntarily 5 make payments by electronic funds transfer shall make those 6 payments in the manner authorized by the Department. 7 The Department shall adopt such rules as are necessary to 8 effectuate a program of electronic funds transfer and the 9 requirements of this Section. 10 If the taxpayer's average monthly tax liability to the 11 Department under this Act, the Retailers' Occupation Tax Act, 12 the Service Occupation Tax Act, the Service Use Tax Act was 13 $10,000 or more during the preceding 4 complete calendar 14 quarters, he shall file a return with the Department each 15 month by the 20th day of the month next following the month 16 during which such tax liability is incurred and shall make 17 payments to the Department on or before the 7th, 15th, 22nd 18 and last day of the month during which such liability is 19 incurred. If the month during which such tax liability is 20 incurred began prior to January 1, 1985, each payment shall 21 be in an amount equal to 1/4 of the taxpayer's actual 22 liability for the month or an amount set by the Department 23 not to exceed 1/4 of the average monthly liability of the 24 taxpayer to the Department for the preceding 4 complete 25 calendar quarters (excluding the month of highest liability 26 and the month of lowest liability in such 4 quarter period). 27 If the month during which such tax liability is incurred 28 begins on or after January 1, 1985, and prior to January 1, 29 1987, each payment shall be in an amount equal to 22.5% of 30 the taxpayer's actual liability for the month or 27.5% of the 31 taxpayer's liability for the same calendar month of the 32 preceding year. If the month during which such tax liability 33 is incurred begins on or after January 1, 1987, and prior to 34 January 1, 1988, each payment shall be in an amount equal to SB1028 Engrossed -10- LRB9106061PTpk 1 22.5% of the taxpayer's actual liability for the month or 2 26.25% of the taxpayer's liability for the same calendar 3 month of the preceding year. If the month during which such 4 tax liability is incurred begins on or after January 1, 1988, 5 and prior to January 1, 1989, or begins on or after January 6 1, 1996, each payment shall be in an amount equal to 22.5% of 7 the taxpayer's actual liability for the month or 25% of the 8 taxpayer's liability for the same calendar month of the 9 preceding year. If the month during which such tax liability 10 is incurred begins on or after January 1, 1989, and prior to 11 January 1, 1996, each payment shall be in an amount equal to 12 22.5% of the taxpayer's actual liability for the month or 25% 13 of the taxpayer's liability for the same calendar month of 14 the preceding year or 100% of the taxpayer's actual liability 15 for the quarter monthly reporting period. The amount of such 16 quarter monthly payments shall be credited against the final 17 tax liability of the taxpayer's return for that month. Once 18 applicable, the requirement of the making of quarter monthly 19 payments to the Department shall continue until such 20 taxpayer's average monthly liability to the Department during 21 the preceding 4 complete calendar quarters (excluding the 22 month of highest liability and the month of lowest liability) 23 is less than $9,000, or until such taxpayer's average monthly 24 liability to the Department as computed for each calendar 25 quarter of the 4 preceding complete calendar quarter period 26 is less than $10,000. However, if a taxpayer can show the 27 Department that a substantial change in the taxpayer's 28 business has occurred which causes the taxpayer to anticipate 29 that his average monthly tax liability for the reasonably 30 foreseeable future will fall below $10,000, then such 31 taxpayer may petition the Department for change in such 32 taxpayer's reporting status. The Department shall change 33 such taxpayer's reporting status unless it finds that such 34 change is seasonal in nature and not likely to be long term. SB1028 Engrossed -11- LRB9106061PTpk 1 If any such quarter monthly payment is not paid at the time 2 or in the amount required by this Section, then the taxpayer 3 shall be liable for penalties and interest on the difference 4 between the minimum amount due and the amount of such quarter 5 monthly payment actually and timely paid, except insofar as 6 the taxpayer has previously made payments for that month to 7 the Department in excess of the minimum payments previously 8 due as provided in this Section. The Department shall make 9 reasonable rules and regulations to govern the quarter 10 monthly payment amount and quarter monthly payment dates for 11 taxpayers who file on other than a calendar monthly basis. 12 If any such payment provided for in this Section exceeds 13 the taxpayer's liabilities under this Act, the Retailers' 14 Occupation Tax Act, the Service Occupation Tax Act and the 15 Service Use Tax Act, as shown by an original monthly return, 16 the Department shall issue to the taxpayer a credit 17 memorandum no later than 30 days after the date of payment, 18 which memorandum may be submitted by the taxpayer to the 19 Department in payment of tax liability subsequently to be 20 remitted by the taxpayer to the Department or be assigned by 21 the taxpayer to a similar taxpayer under this Act, the 22 Retailers' Occupation Tax Act, the Service Occupation Tax Act 23 or the Service Use Tax Act, in accordance with reasonable 24 rules and regulations to be prescribed by the Department, 25 except that if such excess payment is shown on an original 26 monthly return and is made after December 31, 1986, no credit 27 memorandum shall be issued, unless requested by the taxpayer. 28 If no such request is made, the taxpayer may credit such 29 excess payment against tax liability subsequently to be 30 remitted by the taxpayer to the Department under this Act, 31 the Retailers' Occupation Tax Act, the Service Occupation Tax 32 Act or the Service Use Tax Act, in accordance with reasonable 33 rules and regulations prescribed by the Department. If the 34 Department subsequently determines that all or any part of SB1028 Engrossed -12- LRB9106061PTpk 1 the credit taken was not actually due to the taxpayer, the 2 taxpayer's 2.1% or 1.75% vendor's discount shall be reduced 3 by 2.1% or 1.75% of the difference between the credit taken 4 and that actually due, and the taxpayer shall be liable for 5 penalties and interest on such difference. 6 If the retailer is otherwise required to file a monthly 7 return and if the retailer's average monthly tax liability to 8 the Department does not exceed $200, the Department may 9 authorize his returns to be filed on a quarter annual basis, 10 with the return for January, February, and March of a given 11 year being due by April 20 of such year; with the return for 12 April, May and June of a given year being due by July 20 of 13 such year; with the return for July, August and September of 14 a given year being due by October 20 of such year, and with 15 the return for October, November and December of a given year 16 being due by January 20 of the following year. 17 If the retailer is otherwise required to file a monthly 18 or quarterly return and if the retailer's average monthly tax 19 liability to the Department does not exceed $50, the 20 Department may authorize his returns to be filed on an annual 21 basis, with the return for a given year being due by January 22 20 of the following year. 23 Such quarter annual and annual returns, as to form and 24 substance, shall be subject to the same requirements as 25 monthly returns. 26 Notwithstanding any other provision in this Act 27 concerning the time within which a retailer may file his 28 return, in the case of any retailer who ceases to engage in a 29 kind of business which makes him responsible for filing 30 returns under this Act, such retailer shall file a final 31 return under this Act with the Department not more than one 32 month after discontinuing such business. 33 In addition, with respect to motor vehicles, watercraft, 34 aircraft, and trailers that are required to be registered SB1028 Engrossed -13- LRB9106061PTpk 1 with an agency of this State, every retailer selling this 2 kind of tangible personal property shall file, with the 3 Department, upon a form to be prescribed and supplied by the 4 Department, a separate return for each such item of tangible 5 personal property which the retailer sells, except that 6 where, in the same transaction, a retailer of aircraft, 7 watercraft, motor vehicles or trailers transfers more than 8 one aircraft, watercraft, motor vehicle or trailer to another 9 aircraft, watercraft, motor vehicle or trailer retailer for 10 the purpose of resale, that seller for resale may report the 11 transfer of all the aircraft, watercraft, motor vehicles or 12 trailers involved in that transaction to the Department on 13 the same uniform invoice-transaction reporting return form. 14 For purposes of this Section, "watercraft" means a Class 2, 15 Class 3, or Class 4 watercraft as defined in Section 3-2 of 16 the Boat Registration and Safety Act, a personal watercraft, 17 or any boat equipped with an inboard motor. 18 The transaction reporting return in the case of motor 19 vehicles or trailers that are required to be registered with 20 an agency of this State, shall be the same document as the 21 Uniform Invoice referred to in Section 5-402 of the Illinois 22 Vehicle Code and must show the name and address of the 23 seller; the name and address of the purchaser; the amount of 24 the selling price including the amount allowed by the 25 retailer for traded-in property, if any; the amount allowed 26 by the retailer for the traded-in tangible personal property, 27 if any, to the extent to which Section 2 of this Act allows 28 an exemption for the value of traded-in property; the balance 29 payable after deducting such trade-in allowance from the 30 total selling price; the amount of tax due from the retailer 31 with respect to such transaction; the amount of tax collected 32 from the purchaser by the retailer on such transaction (or 33 satisfactory evidence that such tax is not due in that 34 particular instance, if that is claimed to be the fact); the SB1028 Engrossed -14- LRB9106061PTpk 1 place and date of the sale; a sufficient identification of 2 the property sold; such other information as is required in 3 Section 5-402 of the Illinois Vehicle Code, and such other 4 information as the Department may reasonably require. 5 The transaction reporting return in the case of 6 watercraft and aircraft must show the name and address of the 7 seller; the name and address of the purchaser; the amount of 8 the selling price including the amount allowed by the 9 retailer for traded-in property, if any; the amount allowed 10 by the retailer for the traded-in tangible personal property, 11 if any, to the extent to which Section 2 of this Act allows 12 an exemption for the value of traded-in property; the balance 13 payable after deducting such trade-in allowance from the 14 total selling price; the amount of tax due from the retailer 15 with respect to such transaction; the amount of tax collected 16 from the purchaser by the retailer on such transaction (or 17 satisfactory evidence that such tax is not due in that 18 particular instance, if that is claimed to be the fact); the 19 place and date of the sale, a sufficient identification of 20 the property sold, and such other information as the 21 Department may reasonably require. 22 Such transaction reporting return shall be filed not 23 later than 20 days after the date of delivery of the item 24 that is being sold, but may be filed by the retailer at any 25 time sooner than that if he chooses to do so. The 26 transaction reporting return and tax remittance or proof of 27 exemption from the tax that is imposed by this Act may be 28 transmitted to the Department by way of the State agency with 29 which, or State officer with whom, the tangible personal 30 property must be titled or registered (if titling or 31 registration is required) if the Department and such agency 32 or State officer determine that this procedure will expedite 33 the processing of applications for title or registration. 34 With each such transaction reporting return, the retailer SB1028 Engrossed -15- LRB9106061PTpk 1 shall remit the proper amount of tax due (or shall submit 2 satisfactory evidence that the sale is not taxable if that is 3 the case), to the Department or its agents, whereupon the 4 Department shall issue, in the purchaser's name, a tax 5 receipt (or a certificate of exemption if the Department is 6 satisfied that the particular sale is tax exempt) which such 7 purchaser may submit to the agency with which, or State 8 officer with whom, he must title or register the tangible 9 personal property that is involved (if titling or 10 registration is required) in support of such purchaser's 11 application for an Illinois certificate or other evidence of 12 title or registration to such tangible personal property. 13 No retailer's failure or refusal to remit tax under this 14 Act precludes a user, who has paid the proper tax to the 15 retailer, from obtaining his certificate of title or other 16 evidence of title or registration (if titling or registration 17 is required) upon satisfying the Department that such user 18 has paid the proper tax (if tax is due) to the retailer. The 19 Department shall adopt appropriate rules to carry out the 20 mandate of this paragraph. 21 If the user who would otherwise pay tax to the retailer 22 wants the transaction reporting return filed and the payment 23 of tax or proof of exemption made to the Department before 24 the retailer is willing to take these actions and such user 25 has not paid the tax to the retailer, such user may certify 26 to the fact of such delay by the retailer, and may (upon the 27 Department being satisfied of the truth of such 28 certification) transmit the information required by the 29 transaction reporting return and the remittance for tax or 30 proof of exemption directly to the Department and obtain his 31 tax receipt or exemption determination, in which event the 32 transaction reporting return and tax remittance (if a tax 33 payment was required) shall be credited by the Department to 34 the proper retailer's account with the Department, but SB1028 Engrossed -16- LRB9106061PTpk 1 without the 2.1% or 1.75% discount provided for in this 2 Section being allowed. When the user pays the tax directly 3 to the Department, he shall pay the tax in the same amount 4 and in the same form in which it would be remitted if the tax 5 had been remitted to the Department by the retailer. 6 Where a retailer collects the tax with respect to the 7 selling price of tangible personal property which he sells 8 and the purchaser thereafter returns such tangible personal 9 property and the retailer refunds the selling price thereof 10 to the purchaser, such retailer shall also refund, to the 11 purchaser, the tax so collected from the purchaser. When 12 filing his return for the period in which he refunds such tax 13 to the purchaser, the retailer may deduct the amount of the 14 tax so refunded by him to the purchaser from any other use 15 tax which such retailer may be required to pay or remit to 16 the Department, as shown by such return, if the amount of the 17 tax to be deducted was previously remitted to the Department 18 by such retailer. If the retailer has not previously 19 remitted the amount of such tax to the Department, he is 20 entitled to no deduction under this Act upon refunding such 21 tax to the purchaser. 22 Any retailer filing a return under this Section shall 23 also include (for the purpose of paying tax thereon) the 24 total tax covered by such return upon the selling price of 25 tangible personal property purchased by him at retail from a 26 retailer, but as to which the tax imposed by this Act was not 27 collected from the retailer filing such return, and such 28 retailer shall remit the amount of such tax to the Department 29 when filing such return. 30 If experience indicates such action to be practicable, 31 the Department may prescribe and furnish a combination or 32 joint return which will enable retailers, who are required to 33 file returns hereunder and also under the Retailers' 34 Occupation Tax Act, to furnish all the return information SB1028 Engrossed -17- LRB9106061PTpk 1 required by both Acts on the one form. 2 Where the retailer has more than one business registered 3 with the Department under separate registration under this 4 Act, such retailer may not file each return that is due as a 5 single return covering all such registered businesses, but 6 shall file separate returns for each such registered 7 business. 8 Beginning January 1, 1990, each month the Department 9 shall pay into the State and Local Sales Tax Reform Fund, a 10 special fund in the State Treasury which is hereby created, 11 the net revenue realized for the preceding month from the 1% 12 tax on sales of food for human consumption which is to be 13 consumed off the premises where it is sold (other than 14 alcoholic beverages, soft drinks and food which has been 15 prepared for immediate consumption) and prescription and 16 nonprescription medicines, drugs, medical appliances and 17 insulin, urine testing materials, syringes and needles used 18 by diabetics. 19 Beginning January 1, 1990, each month the Department 20 shall pay into the County and Mass Transit District Fund 4% 21 of the net revenue realized for the preceding month from the 22 6.25% general rate on the selling price of tangible personal 23 property which is purchased outside Illinois at retail from a 24 retailer and which is titled or registered by an agency of 25 this State's government. 26 Beginning January 1, 1990, each month the Department 27 shall pay into the State and Local Sales Tax Reform Fund, a 28 special fund in the State Treasury, 20% of the net revenue 29 realized for the preceding month from the 6.25% general rate 30 on the selling price of tangible personal property, other 31 than tangible personal property which is purchased outside 32 Illinois at retail from a retailer and which is titled or 33 registered by an agency of this State's government. 34 Beginning January 1, 1990, each month the Department SB1028 Engrossed -18- LRB9106061PTpk 1 shall pay into the Local Government Tax Fund 16% of the net 2 revenue realized for the preceding month from the 6.25% 3 general rate on the selling price of tangible personal 4 property which is purchased outside Illinois at retail from a 5 retailer and which is titled or registered by an agency of 6 this State's government. 7 Of the remainder of the moneys received by the Department 8 pursuant to this Act, (a) 1.75% thereof shall be paid into 9 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2% 10 and on and after July 1, 1989, 3.8% thereof shall be paid 11 into the Build Illinois Fund; provided, however, that if in 12 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%, 13 as the case may be, of the moneys received by the Department 14 and required to be paid into the Build Illinois Fund pursuant 15 to Section 3 of the Retailers' Occupation Tax Act, Section 9 16 of the Use Tax Act, Section 9 of the Service Use Tax Act, and 17 Section 9 of the Service Occupation Tax Act, such Acts being 18 hereinafter called the "Tax Acts" and such aggregate of 2.2% 19 or 3.8%, as the case may be, of moneys being hereinafter 20 called the "Tax Act Amount", and (2) the amount transferred 21 to the Build Illinois Fund from the State and Local Sales Tax 22 Reform Fund shall be less than the Annual Specified Amount 23 (as defined in Section 3 of the Retailers' Occupation Tax 24 Act), an amount equal to the difference shall be immediately 25 paid into the Build Illinois Fund from other moneys received 26 by the Department pursuant to the Tax Acts; and further 27 provided, that if on the last business day of any month the 28 sum of (1) the Tax Act Amount required to be deposited into 29 the Build Illinois Bond Account in the Build Illinois Fund 30 during such month and (2) the amount transferred during such 31 month to the Build Illinois Fund from the State and Local 32 Sales Tax Reform Fund shall have been less than 1/12 of the 33 Annual Specified Amount, an amount equal to the difference 34 shall be immediately paid into the Build Illinois Fund from SB1028 Engrossed -19- LRB9106061PTpk 1 other moneys received by the Department pursuant to the Tax 2 Acts; and, further provided, that in no event shall the 3 payments required under the preceding proviso result in 4 aggregate payments into the Build Illinois Fund pursuant to 5 this clause (b) for any fiscal year in excess of the greater 6 of (i) the Tax Act Amount or (ii) the Annual Specified Amount 7 for such fiscal year; and, further provided, that the amounts 8 payable into the Build Illinois Fund under this clause (b) 9 shall be payable only until such time as the aggregate amount 10 on deposit under each trust indenture securing Bonds issued 11 and outstanding pursuant to the Build Illinois Bond Act is 12 sufficient, taking into account any future investment income, 13 to fully provide, in accordance with such indenture, for the 14 defeasance of or the payment of the principal of, premium, if 15 any, and interest on the Bonds secured by such indenture and 16 on any Bonds expected to be issued thereafter and all fees 17 and costs payable with respect thereto, all as certified by 18 the Director of the Bureau of the Budget. If on the last 19 business day of any month in which Bonds are outstanding 20 pursuant to the Build Illinois Bond Act, the aggregate of the 21 moneys deposited in the Build Illinois Bond Account in the 22 Build Illinois Fund in such month shall be less than the 23 amount required to be transferred in such month from the 24 Build Illinois Bond Account to the Build Illinois Bond 25 Retirement and Interest Fund pursuant to Section 13 of the 26 Build Illinois Bond Act, an amount equal to such deficiency 27 shall be immediately paid from other moneys received by the 28 Department pursuant to the Tax Acts to the Build Illinois 29 Fund; provided, however, that any amounts paid to the Build 30 Illinois Fund in any fiscal year pursuant to this sentence 31 shall be deemed to constitute payments pursuant to clause (b) 32 of the preceding sentence and shall reduce the amount 33 otherwise payable for such fiscal year pursuant to clause (b) 34 of the preceding sentence. The moneys received by the SB1028 Engrossed -20- LRB9106061PTpk 1 Department pursuant to this Act and required to be deposited 2 into the Build Illinois Fund are subject to the pledge, claim 3 and charge set forth in Section 12 of the Build Illinois Bond 4 Act. 5 Subject to payment of amounts into the Build Illinois 6 Fund as provided in the preceding paragraph or in any 7 amendment thereto hereafter enacted, the following specified 8 monthly installment of the amount requested in the 9 certificate of the Chairman of the Metropolitan Pier and 10 Exposition Authority provided under Section 8.25f of the 11 State Finance Act, but not in excess of the sums designated 12 as "Total Deposit", shall be deposited in the aggregate from 13 collections under Section 9 of the Use Tax Act, Section 9 of 14 the Service Use Tax Act, Section 9 of the Service Occupation 15 Tax Act, and Section 3 of the Retailers' Occupation Tax Act 16 into the McCormick Place Expansion Project Fund in the 17 specified fiscal years. 18 Fiscal Year Total Deposit 19 1993 $0 20 1994 53,000,000 21 1995 58,000,000 22 1996 61,000,000 23 1997 64,000,000 24 1998 68,000,000 25 1999 71,000,000 26 2000 75,000,000 27 2001 80,000,000 28 2002 84,000,000 29 2003 89,000,000 30 2004 93,000,000 31 2005 97,000,000 32 2006 102,000,000 33 2007 and 106,000,000 34 each fiscal year SB1028 Engrossed -21- LRB9106061PTpk 1 thereafter that bonds 2 are outstanding under 3 Section 13.2 of the 4 Metropolitan Pier and 5 Exposition Authority 6 Act, but not after fiscal year 2029. 7 Beginning July 20, 1993 and in each month of each fiscal 8 year thereafter, one-eighth of the amount requested in the 9 certificate of the Chairman of the Metropolitan Pier and 10 Exposition Authority for that fiscal year, less the amount 11 deposited into the McCormick Place Expansion Project Fund by 12 the State Treasurer in the respective month under subsection 13 (g) of Section 13 of the Metropolitan Pier and Exposition 14 Authority Act, plus cumulative deficiencies in the deposits 15 required under this Section for previous months and years, 16 shall be deposited into the McCormick Place Expansion Project 17 Fund, until the full amount requested for the fiscal year, 18 but not in excess of the amount specified above as "Total 19 Deposit", has been deposited. 20 Subject to payment of amounts into the Build Illinois 21 Fund and the McCormick Place Expansion Project Fund pursuant 22 to the preceding paragraphs or in any amendment thereto 23 hereafter enacted, each month the Department shall pay into 24 the Local Government Distributive Fund .4% of the net revenue 25 realized for the preceding month from the 5% general rate, or 26 .4% of 80% of the net revenue realized for the preceding 27 month from the 6.25% general rate, as the case may be, on the 28 selling price of tangible personal property which amount 29 shall, subject to appropriation, be distributed as provided 30 in Section 2 of the State Revenue Sharing Act. No payments or 31 distributions pursuant to this paragraph shall be made if the 32 tax imposed by this Act on photoprocessing products is 33 declared unconstitutional, or if the proceeds from such tax 34 are unavailable for distribution because of litigation. SB1028 Engrossed -22- LRB9106061PTpk 1 Subject to payment of amounts into the Build Illinois 2 Fund, the McCormick Place Expansion Project Fund, and the 3 Local Government Distributive Fund pursuant to the preceding 4 paragraphs or in any amendments thereto hereafter enacted, 5 beginning July 1, 1993, the Department shall each month pay 6 into the Illinois Tax Increment Fund 0.27% of 80% of the net 7 revenue realized for the preceding month from the 6.25% 8 general rate on the selling price of tangible personal 9 property. 10 Of the remainder of the moneys received by the Department 11 pursuant to this Act, 75% thereof shall be paid into the 12 State Treasury and 25% shall be reserved in a special account 13 and used only for the transfer to the Common School Fund as 14 part of the monthly transfer from the General Revenue Fund in 15 accordance with Section 8a of the State Finance Act. 16 As soon as possible after the first day of each month, 17 upon certification of the Department of Revenue, the 18 Comptroller shall order transferred and the Treasurer shall 19 transfer from the General Revenue Fund to the Motor Fuel Tax 20 Fund an amount equal to 1.7% of 80% of the net revenue 21 realized under this Act for the second preceding month; 22 except that this transfer shall not be made for the months 23 February through June of 1992. 24 Net revenue realized for a month shall be the revenue 25 collected by the State pursuant to this Act, less the amount 26 paid out during that month as refunds to taxpayers for 27 overpayment of liability. 28 For greater simplicity of administration, manufacturers, 29 importers and wholesalers whose products are sold at retail 30 in Illinois by numerous retailers, and who wish to do so, may 31 assume the responsibility for accounting and paying to the 32 Department all tax accruing under this Act with respect to 33 such sales, if the retailers who are affected do not make 34 written objection to the Department to this arrangement. SB1028 Engrossed -23- LRB9106061PTpk 1 (Source: P.A. 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 2 90-491, eff. 1-1-99; 90-612, eff. 7-8-98.) 3 Section 15. The Service Use Tax Act is amended by 4 changing Section 9 as follows: 5 (35 ILCS 110/9) (from Ch. 120, par. 439.39) 6 Sec. 9. Returns; deposits. Each serviceman required or 7 authorized to collect the tax herein imposed shall pay to the 8 Department the amount of such tax (except as otherwise 9 provided) at the time when he is required to file his return 10 for the period during which such tax was collected, less a 11 discount of 2.1% prior to January 1, 1990 and 1.75% on and 12 after January 1, 1990, or $5 per calendar year, whichever is 13 greater, which is allowed to reimburse the serviceman for 14 expenses incurred in collecting the tax, keeping records, 15 preparing and filing returns, remitting the tax and supplying 16 data to the Department on request. A serviceman need not 17 remit that part of any tax collected by him to the extent 18 that he is required to pay and does pay the tax imposed by 19 the Service Occupation Tax Act with respect to his sale of 20 service involving the incidental transfer by him of the same 21 property. 22 Except as provided hereinafter in this Section, on or 23 before the twentieth day of each calendar month, such 24 serviceman shall file a return for the preceding calendar 25 month in accordance with reasonable Rules and Regulations to 26 be promulgated by the Department. Such return shall be filed 27 on a form prescribed by the Department and shall contain such 28 information as the Department may reasonably require. 29 The Department may require returns to be filed on a 30 quarterly basis. If so required, a return for each calendar 31 quarter shall be filed on or before the twentieth day of the 32 calendar month following the end of such calendar quarter. SB1028 Engrossed -24- LRB9106061PTpk 1 The taxpayer shall also file a return with the Department for 2 each of the first two months of each calendar quarter, on or 3 before the twentieth day of the following calendar month, 4 stating: 5 1. The name of the seller; 6 2. The address of the principal place of business 7 from which he engages in business as a serviceman in this 8 State; 9 3. The total amount of taxable receipts received by 10 him during the preceding calendar month, including 11 receipts from charge and time sales, but less all 12 deductions allowed by law; 13 4. The amount of credit provided in Section 2d of 14 this Act; 15 5. The amount of tax due; 16 5-5. The signature of the taxpayer; and 17 6. Such other reasonable information as the 18 Department may require. 19 If a taxpayer fails to sign a return within 30 days after 20 the proper notice and demand for signature by the Department, 21 the return shall be considered valid and any amount shown to 22 be due on the return shall be deemed assessed. 23 Beginning October 1, 1993, a taxpayer who has an average 24 monthly tax liability of $150,000 or more shall make all 25 payments required by rules of the Department by electronic 26 funds transfer. Beginning October 1, 1994, a taxpayer who 27 has an average monthly tax liability of $100,000 or more 28 shall make all payments required by rules of the Department 29 by electronic funds transfer. Beginning October 1, 1995, a 30 taxpayer who has an average monthly tax liability of $50,000 31 or more shall make all payments required by rules of the 32 Department by electronic funds transfer. The term "average 33 monthly tax liability" means the sum of the taxpayer's 34 liabilities under this Act, and under all other State and SB1028 Engrossed -25- LRB9106061PTpk 1 local occupation and use tax laws administered by the 2 Department, for the immediately preceding calendar year 3 divided by 12. 4 Before August 1 of each year beginning in 1993, the 5 Department shall notify all taxpayers required to make 6 payments by electronic funds transfer. All taxpayers required 7 to make payments by electronic funds transfer shall make 8 those payments for a minimum of one year beginning on October 9 1. 10 Any taxpayer not required to make payments by electronic 11 funds transfer may make payments by electronic funds transfer 12 with the permission of the Department. 13 All taxpayers required to make payment by electronic 14 funds transfer and any taxpayers authorized to voluntarily 15 make payments by electronic funds transfer shall make those 16 payments in the manner authorized by the Department. 17 The Department shall adopt such rules as are necessary to 18 effectuate a program of electronic funds transfer and the 19 requirements of this Section. 20 If the serviceman is otherwise required to file a monthly 21 return and if the serviceman's average monthly tax liability 22 to the Department does not exceed $200, the Department may 23 authorize his returns to be filed on a quarter annual basis, 24 with the return for January, February and March of a given 25 year being due by April 20 of such year; with the return for 26 April, May and June of a given year being due by July 20 of 27 such year; with the return for July, August and September of 28 a given year being due by October 20 of such year, and with 29 the return for October, November and December of a given year 30 being due by January 20 of the following year. 31 If the serviceman is otherwise required to file a monthly 32 or quarterly return and if the serviceman's average monthly 33 tax liability to the Department does not exceed $50, the 34 Department may authorize his returns to be filed on an annual SB1028 Engrossed -26- LRB9106061PTpk 1 basis, with the return for a given year being due by January 2 20 of the following year. 3 Such quarter annual and annual returns, as to form and 4 substance, shall be subject to the same requirements as 5 monthly returns. 6 Notwithstanding any other provision in this Act 7 concerning the time within which a serviceman may file his 8 return, in the case of any serviceman who ceases to engage in 9 a kind of business which makes him responsible for filing 10 returns under this Act, such serviceman shall file a final 11 return under this Act with the Department not more than 1 12 month after discontinuing such business. 13 Where a serviceman collects the tax with respect to the 14 selling price of property which he sells and the purchaser 15 thereafter returns such property and the serviceman refunds 16 the selling price thereof to the purchaser, such serviceman 17 shall also refund, to the purchaser, the tax so collected 18 from the purchaser. When filing his return for the period in 19 which he refunds such tax to the purchaser, the serviceman 20 may deduct the amount of the tax so refunded by him to the 21 purchaser from any other Service Use Tax, Service Occupation 22 Tax, retailers' occupation tax or use tax which such 23 serviceman may be required to pay or remit to the Department, 24 as shown by such return, provided that the amount of the tax 25 to be deducted shall previously have been remitted to the 26 Department by such serviceman. If the serviceman shall not 27 previously have remitted the amount of such tax to the 28 Department, he shall be entitled to no deduction hereunder 29 upon refunding such tax to the purchaser. 30 Any serviceman filing a return hereunder shall also 31 include the total tax upon the selling price of tangible 32 personal property purchased for use by him as an incident to 33 a sale of service, and such serviceman shall remit the amount 34 of such tax to the Department when filing such return. SB1028 Engrossed -27- LRB9106061PTpk 1 If experience indicates such action to be practicable, 2 the Department may prescribe and furnish a combination or 3 joint return which will enable servicemen, who are required 4 to file returns hereunder and also under the Service 5 Occupation Tax Act, to furnish all the return information 6 required by both Acts on the one form. 7 Where the serviceman has more than one business 8 registered with the Department under separate registration 9 hereunder, such serviceman shall not file each return that is 10 due as a single return covering all such registered 11 businesses, but shall file separate returns for each such 12 registered business. 13 Beginning January 1, 1990, each month the Department 14 shall pay into the State and Local Tax Reform Fund, a special 15 fund in the State Treasury, the net revenue realized for the 16 preceding month from the 1% tax on sales of food for human 17 consumption which is to be consumed off the premises where it 18 is sold (other than alcoholic beverages, soft drinks and food 19 which has been prepared for immediate consumption) and 20 prescription and nonprescription medicines, drugs, medical 21 appliances and insulin, urine testing materials, syringes and 22 needles used by diabetics. 23 Beginning January 1, 1990, each month the Department 24 shall pay into the State and Local Sales Tax Reform Fund 20% 25 of the net revenue realized for the preceding month from the 26 6.25% general rate on transfers of tangible personal 27 property, other than tangible personal property which is 28 purchased outside Illinois at retail from a retailer and 29 which is titled or registered by an agency of this State's 30 government. 31 Of the remainder of the moneys received by the Department 32 pursuant to this Act, (a) 1.75% thereof shall be paid into 33 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2% 34 and on and after July 1, 1989, 3.8% thereof shall be paid SB1028 Engrossed -28- LRB9106061PTpk 1 into the Build Illinois Fund; provided, however, that if in 2 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%, 3 as the case may be, of the moneys received by the Department 4 and required to be paid into the Build Illinois Fund pursuant 5 to Section 3 of the Retailers' Occupation Tax Act, Section 9 6 of the Use Tax Act, Section 9 of the Service Use Tax Act, and 7 Section 9 of the Service Occupation Tax Act, such Acts being 8 hereinafter called the "Tax Acts" and such aggregate of 2.2% 9 or 3.8%, as the case may be, of moneys being hereinafter 10 called the "Tax Act Amount", and (2) the amount transferred 11 to the Build Illinois Fund from the State and Local Sales Tax 12 Reform Fund shall be less than the Annual Specified Amount 13 (as defined in Section 3 of the Retailers' Occupation Tax 14 Act), an amount equal to the difference shall be immediately 15 paid into the Build Illinois Fund from other moneys received 16 by the Department pursuant to the Tax Acts; and further 17 provided, that if on the last business day of any month the 18 sum of (1) the Tax Act Amount required to be deposited into 19 the Build Illinois Bond Account in the Build Illinois Fund 20 during such month and (2) the amount transferred during such 21 month to the Build Illinois Fund from the State and Local 22 Sales Tax Reform Fund shall have been less than 1/12 of the 23 Annual Specified Amount, an amount equal to the difference 24 shall be immediately paid into the Build Illinois Fund from 25 other moneys received by the Department pursuant to the Tax 26 Acts; and, further provided, that in no event shall the 27 payments required under the preceding proviso result in 28 aggregate payments into the Build Illinois Fund pursuant to 29 this clause (b) for any fiscal year in excess of the greater 30 of (i) the Tax Act Amount or (ii) the Annual Specified Amount 31 for such fiscal year; and, further provided, that the amounts 32 payable into the Build Illinois Fund under this clause (b) 33 shall be payable only until such time as the aggregate amount 34 on deposit under each trust indenture securing Bonds issued SB1028 Engrossed -29- LRB9106061PTpk 1 and outstanding pursuant to the Build Illinois Bond Act is 2 sufficient, taking into account any future investment income, 3 to fully provide, in accordance with such indenture, for the 4 defeasance of or the payment of the principal of, premium, if 5 any, and interest on the Bonds secured by such indenture and 6 on any Bonds expected to be issued thereafter and all fees 7 and costs payable with respect thereto, all as certified by 8 the Director of the Bureau of the Budget. If on the last 9 business day of any month in which Bonds are outstanding 10 pursuant to the Build Illinois Bond Act, the aggregate of the 11 moneys deposited in the Build Illinois Bond Account in the 12 Build Illinois Fund in such month shall be less than the 13 amount required to be transferred in such month from the 14 Build Illinois Bond Account to the Build Illinois Bond 15 Retirement and Interest Fund pursuant to Section 13 of the 16 Build Illinois Bond Act, an amount equal to such deficiency 17 shall be immediately paid from other moneys received by the 18 Department pursuant to the Tax Acts to the Build Illinois 19 Fund; provided, however, that any amounts paid to the Build 20 Illinois Fund in any fiscal year pursuant to this sentence 21 shall be deemed to constitute payments pursuant to clause (b) 22 of the preceding sentence and shall reduce the amount 23 otherwise payable for such fiscal year pursuant to clause (b) 24 of the preceding sentence. The moneys received by the 25 Department pursuant to this Act and required to be deposited 26 into the Build Illinois Fund are subject to the pledge, claim 27 and charge set forth in Section 12 of the Build Illinois Bond 28 Act. 29 Subject to payment of amounts into the Build Illinois 30 Fund as provided in the preceding paragraph or in any 31 amendment thereto hereafter enacted, the following specified 32 monthly installment of the amount requested in the 33 certificate of the Chairman of the Metropolitan Pier and 34 Exposition Authority provided under Section 8.25f of the SB1028 Engrossed -30- LRB9106061PTpk 1 State Finance Act, but not in excess of the sums designated 2 as "Total Deposit", shall be deposited in the aggregate from 3 collections under Section 9 of the Use Tax Act, Section 9 of 4 the Service Use Tax Act, Section 9 of the Service Occupation 5 Tax Act, and Section 3 of the Retailers' Occupation Tax Act 6 into the McCormick Place Expansion Project Fund in the 7 specified fiscal years. 8 Fiscal Year Total Deposit 9 1993 $0 10 1994 53,000,000 11 1995 58,000,000 12 1996 61,000,000 13 1997 64,000,000 14 1998 68,000,000 15 1999 71,000,000 16 2000 75,000,000 17 2001 80,000,000 18 2002 84,000,000 19 2003 89,000,000 20 2004 93,000,000 21 2005 97,000,000 22 2006 102,000,000 23 2007 and 106,000,000 24 each fiscal year 25 thereafter that bonds 26 are outstanding under 27 Section 13.2 of the 28 Metropolitan Pier and 29 Exposition Authority Act, 30 but not after fiscal year 2029. 31 Beginning July 20, 1993 and in each month of each fiscal 32 year thereafter, one-eighth of the amount requested in the 33 certificate of the Chairman of the Metropolitan Pier and 34 Exposition Authority for that fiscal year, less the amount SB1028 Engrossed -31- LRB9106061PTpk 1 deposited into the McCormick Place Expansion Project Fund by 2 the State Treasurer in the respective month under subsection 3 (g) of Section 13 of the Metropolitan Pier and Exposition 4 Authority Act, plus cumulative deficiencies in the deposits 5 required under this Section for previous months and years, 6 shall be deposited into the McCormick Place Expansion Project 7 Fund, until the full amount requested for the fiscal year, 8 but not in excess of the amount specified above as "Total 9 Deposit", has been deposited. 10 Subject to payment of amounts into the Build Illinois 11 Fund and the McCormick Place Expansion Project Fund pursuant 12 to the preceding paragraphs or in any amendment thereto 13 hereafter enacted, each month the Department shall pay into 14 the Local Government Distributive Fund 0.4% of the net 15 revenue realized for the preceding month from the 5% general 16 rate or 0.4% of 80% of the net revenue realized for the 17 preceding month from the 6.25% general rate, as the case may 18 be, on the selling price of tangible personal property which 19 amount shall, subject to appropriation, be distributed as 20 provided in Section 2 of the State Revenue Sharing Act. No 21 payments or distributions pursuant to this paragraph shall be 22 made if the tax imposed by this Act on photo processing 23 products is declared unconstitutional, or if the proceeds 24 from such tax are unavailable for distribution because of 25 litigation. 26 Subject to payment of amounts into the Build Illinois 27 Fund, the McCormick Place Expansion Project Fund, and the 28 Local Government Distributive Fund pursuant to the preceding 29 paragraphs or in any amendments thereto hereafter enacted, 30 beginning July 1, 1993, the Department shall each month pay 31 into the Illinois Tax Increment Fund 0.27% of 80% of the net 32 revenue realized for the preceding month from the 6.25% 33 general rate on the selling price of tangible personal 34 property. SB1028 Engrossed -32- LRB9106061PTpk 1 All remaining moneys received by the Department pursuant 2 to this Act shall be paid into the General Revenue Fund of 3 the State Treasury. 4 As soon as possible after the first day of each month, 5 upon certification of the Department of Revenue, the 6 Comptroller shall order transferred and the Treasurer shall 7 transfer from the General Revenue Fund to the Motor Fuel Tax 8 Fund an amount equal to 1.7% of 80% of the net revenue 9 realized under this Act for the second preceding month; 10 except that this transfer shall not be made for the months 11 February through June, 1992. 12 Net revenue realized for a month shall be the revenue 13 collected by the State pursuant to this Act, less the amount 14 paid out during that month as refunds to taxpayers for 15 overpayment of liability. 16 (Source: P.A. 89-379, eff. 1-1-96; 90-612, eff. 7-8-98.) 17 Section 20. The Service Occupation Tax Act is amended by 18 changing Section 9 as follows: 19 (35 ILCS 115/9) (from Ch. 120, par. 439.109) 20 Sec. 9. Returns; deposits. Each serviceman required or 21 authorized to collect the tax herein imposed shall pay to the 22 Department the amount of such tax at the time when he is 23 required to file his return for the period during which such 24 tax was collectible, less a discount of 2.1% prior to January 25 1, 1990, and 1.75% on and after January 1, 1990, or $5 per 26 calendar year, whichever is greater, which is allowed to 27 reimburse the serviceman for expenses incurred in collecting 28 the tax, keeping records, preparing and filing returns, 29 remitting the tax and supplying data to the Department on 30 request. 31 Where such tangible personal property is sold under a 32 conditional sales contract, or under any other form of sale SB1028 Engrossed -33- LRB9106061PTpk 1 wherein the payment of the principal sum, or a part thereof, 2 is extended beyond the close of the period for which the 3 return is filed, the serviceman, in collecting the tax may 4 collect, for each tax return period, only the tax applicable 5 to the part of the selling price actually received during 6 such tax return period. 7 Except as provided hereinafter in this Section, on or 8 before the twentieth day of each calendar month, such 9 serviceman shall file a return for the preceding calendar 10 month in accordance with reasonable rules and regulations to 11 be promulgated by the Department of Revenue. Such return 12 shall be filed on a form prescribed by the Department and 13 shall contain such information as the Department may 14 reasonably require. 15 The Department may require returns to be filed on a 16 quarterly basis. If so required, a return for each calendar 17 quarter shall be filed on or before the twentieth day of the 18 calendar month following the end of such calendar quarter. 19 The taxpayer shall also file a return with the Department for 20 each of the first two months of each calendar quarter, on or 21 before the twentieth day of the following calendar month, 22 stating: 23 1. The name of the seller; 24 2. The address of the principal place of business 25 from which he engages in business as a serviceman in this 26 State; 27 3. The total amount of taxable receipts received by 28 him during the preceding calendar month, including 29 receipts from charge and time sales, but less all 30 deductions allowed by law; 31 4. The amount of credit provided in Section 2d of 32 this Act; 33 5. The amount of tax due; 34 5-5. The signature of the taxpayer; and SB1028 Engrossed -34- LRB9106061PTpk 1 6. Such other reasonable information as the 2 Department may require. 3 If a taxpayer fails to sign a return within 30 days after 4 the proper notice and demand for signature by the Department, 5 the return shall be considered valid and any amount shown to 6 be due on the return shall be deemed assessed. 7 A serviceman may accept a Manufacturer's Purchase Credit 8 certification from a purchaser in satisfaction of Service Use 9 Tax as provided in Section 3-70 of the Service Use Tax Act if 10 the purchaser provides the appropriate documentation as 11 required by Section 3-70 of the Service Use Tax Act. A 12 Manufacturer's Purchase Credit certification, accepted by a 13 serviceman as provided in Section 3-70 of the Service Use Tax 14 Act, may be used by that serviceman to satisfy Service 15 Occupation Tax liability in the amount claimed in the 16 certification, not to exceed 6.25% of the receipts subject to 17 tax from a qualifying purchase. 18 If the serviceman's average monthly tax liability to the 19 Department does not exceed $200, the Department may authorize 20 his returns to be filed on a quarter annual basis, with the 21 return for January, February and March of a given year being 22 due by April 20 of such year; with the return for April, May 23 and June of a given year being due by July 20 of such year; 24 with the return for July, August and September of a given 25 year being due by October 20 of such year, and with the 26 return for October, November and December of a given year 27 being due by January 20 of the following year. 28 If the serviceman's average monthly tax liability to the 29 Department does not exceed $50, the Department may authorize 30 his returns to be filed on an annual basis, with the return 31 for a given year being due by January 20 of the following 32 year. 33 Such quarter annual and annual returns, as to form and 34 substance, shall be subject to the same requirements as SB1028 Engrossed -35- LRB9106061PTpk 1 monthly returns. 2 Notwithstanding any other provision in this Act 3 concerning the time within which a serviceman may file his 4 return, in the case of any serviceman who ceases to engage in 5 a kind of business which makes him responsible for filing 6 returns under this Act, such serviceman shall file a final 7 return under this Act with the Department not more than 1 8 month after discontinuing such business. 9 Beginning October 1, 1993, a taxpayer who has an average 10 monthly tax liability of $150,000 or more shall make all 11 payments required by rules of the Department by electronic 12 funds transfer. Beginning October 1, 1994, a taxpayer who 13 has an average monthly tax liability of $100,000 or more 14 shall make all payments required by rules of the Department 15 by electronic funds transfer. Beginning October 1, 1995, a 16 taxpayer who has an average monthly tax liability of $50,000 17 or more shall make all payments required by rules of the 18 Department by electronic funds transfer. The term "average 19 monthly tax liability" means the sum of the taxpayer's 20 liabilities under this Act, and under all other State and 21 local occupation and use tax laws administered by the 22 Department, for the immediately preceding calendar year 23 divided by 12. 24 Before August 1 of each year beginning in 1993, the 25 Department shall notify all taxpayers required to make 26 payments by electronic funds transfer. All taxpayers 27 required to make payments by electronic funds transfer shall 28 make those payments for a minimum of one year beginning on 29 October 1. 30 Any taxpayer not required to make payments by electronic 31 funds transfer may make payments by electronic funds transfer 32 with the permission of the Department. 33 All taxpayers required to make payment by electronic 34 funds transfer and any taxpayers authorized to voluntarily SB1028 Engrossed -36- LRB9106061PTpk 1 make payments by electronic funds transfer shall make those 2 payments in the manner authorized by the Department. 3 The Department shall adopt such rules as are necessary to 4 effectuate a program of electronic funds transfer and the 5 requirements of this Section. 6 Where a serviceman collects the tax with respect to the 7 selling price of tangible personal property which he sells 8 and the purchaser thereafter returns such tangible personal 9 property and the serviceman refunds the selling price thereof 10 to the purchaser, such serviceman shall also refund, to the 11 purchaser, the tax so collected from the purchaser. When 12 filing his return for the period in which he refunds such tax 13 to the purchaser, the serviceman may deduct the amount of the 14 tax so refunded by him to the purchaser from any other 15 Service Occupation Tax, Service Use Tax, Retailers' 16 Occupation Tax or Use Tax which such serviceman may be 17 required to pay or remit to the Department, as shown by such 18 return, provided that the amount of the tax to be deducted 19 shall previously have been remitted to the Department by such 20 serviceman. If the serviceman shall not previously have 21 remitted the amount of such tax to the Department, he shall 22 be entitled to no deduction hereunder upon refunding such tax 23 to the purchaser. 24 If experience indicates such action to be practicable, 25 the Department may prescribe and furnish a combination or 26 joint return which will enable servicemen, who are required 27 to file returns hereunder and also under the Retailers' 28 Occupation Tax Act, the Use Tax Act or the Service Use Tax 29 Act, to furnish all the return information required by all 30 said Acts on the one form. 31 Where the serviceman has more than one business 32 registered with the Department under separate registrations 33 hereunder, such serviceman shall file separate returns for 34 each registered business. SB1028 Engrossed -37- LRB9106061PTpk 1 Beginning January 1, 1990, each month the Department 2 shall pay into the Local Government Tax Fund the revenue 3 realized for the preceding month from the 1% tax on sales of 4 food for human consumption which is to be consumed off the 5 premises where it is sold (other than alcoholic beverages, 6 soft drinks and food which has been prepared for immediate 7 consumption) and prescription and nonprescription medicines, 8 drugs, medical appliances and insulin, urine testing 9 materials, syringes and needles used by diabetics. 10 Beginning January 1, 1990, each month the Department 11 shall pay into the County and Mass Transit District Fund 4% 12 of the revenue realized for the preceding month from the 13 6.25% general rate. 14 Beginning January 1, 1990, each month the Department 15 shall pay into the Local Government Tax Fund 16% of the 16 revenue realized for the preceding month from the 6.25% 17 general rate on transfers of tangible personal property. 18 Of the remainder of the moneys received by the Department 19 pursuant to this Act, (a) 1.75% thereof shall be paid into 20 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2% 21 and on and after July 1, 1989, 3.8% thereof shall be paid 22 into the Build Illinois Fund; provided, however, that if in 23 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%, 24 as the case may be, of the moneys received by the Department 25 and required to be paid into the Build Illinois Fund pursuant 26 to Section 3 of the Retailers' Occupation Tax Act, Section 9 27 of the Use Tax Act, Section 9 of the Service Use Tax Act, and 28 Section 9 of the Service Occupation Tax Act, such Acts being 29 hereinafter called the "Tax Acts" and such aggregate of 2.2% 30 or 3.8%, as the case may be, of moneys being hereinafter 31 called the "Tax Act Amount", and (2) the amount transferred 32 to the Build Illinois Fund from the State and Local Sales Tax 33 Reform Fund shall be less than the Annual Specified Amount 34 (as defined in Section 3 of the Retailers' Occupation Tax SB1028 Engrossed -38- LRB9106061PTpk 1 Act), an amount equal to the difference shall be immediately 2 paid into the Build Illinois Fund from other moneys received 3 by the Department pursuant to the Tax Acts; and further 4 provided, that if on the last business day of any month the 5 sum of (1) the Tax Act Amount required to be deposited into 6 the Build Illinois Account in the Build Illinois Fund during 7 such month and (2) the amount transferred during such month 8 to the Build Illinois Fund from the State and Local Sales Tax 9 Reform Fund shall have been less than 1/12 of the Annual 10 Specified Amount, an amount equal to the difference shall be 11 immediately paid into the Build Illinois Fund from other 12 moneys received by the Department pursuant to the Tax Acts; 13 and, further provided, that in no event shall the payments 14 required under the preceding proviso result in aggregate 15 payments into the Build Illinois Fund pursuant to this clause 16 (b) for any fiscal year in excess of the greater of (i) the 17 Tax Act Amount or (ii) the Annual Specified Amount for such 18 fiscal year; and, further provided, that the amounts payable 19 into the Build Illinois Fund under this clause (b) shall be 20 payable only until such time as the aggregate amount on 21 deposit under each trust indenture securing Bonds issued and 22 outstanding pursuant to the Build Illinois Bond Act is 23 sufficient, taking into account any future investment income, 24 to fully provide, in accordance with such indenture, for the 25 defeasance of or the payment of the principal of, premium, if 26 any, and interest on the Bonds secured by such indenture and 27 on any Bonds expected to be issued thereafter and all fees 28 and costs payable with respect thereto, all as certified by 29 the Director of the Bureau of the Budget. If on the last 30 business day of any month in which Bonds are outstanding 31 pursuant to the Build Illinois Bond Act, the aggregate of the 32 moneys deposited in the Build Illinois Bond Account in the 33 Build Illinois Fund in such month shall be less than the 34 amount required to be transferred in such month from the SB1028 Engrossed -39- LRB9106061PTpk 1 Build Illinois Bond Account to the Build Illinois Bond 2 Retirement and Interest Fund pursuant to Section 13 of the 3 Build Illinois Bond Act, an amount equal to such deficiency 4 shall be immediately paid from other moneys received by the 5 Department pursuant to the Tax Acts to the Build Illinois 6 Fund; provided, however, that any amounts paid to the Build 7 Illinois Fund in any fiscal year pursuant to this sentence 8 shall be deemed to constitute payments pursuant to clause (b) 9 of the preceding sentence and shall reduce the amount 10 otherwise payable for such fiscal year pursuant to clause (b) 11 of the preceding sentence. The moneys received by the 12 Department pursuant to this Act and required to be deposited 13 into the Build Illinois Fund are subject to the pledge, claim 14 and charge set forth in Section 12 of the Build Illinois Bond 15 Act. 16 Subject to payment of amounts into the Build Illinois 17 Fund as provided in the preceding paragraph or in any 18 amendment thereto hereafter enacted, the following specified 19 monthly installment of the amount requested in the 20 certificate of the Chairman of the Metropolitan Pier and 21 Exposition Authority provided under Section 8.25f of the 22 State Finance Act, but not in excess of the sums designated 23 as "Total Deposit", shall be deposited in the aggregate from 24 collections under Section 9 of the Use Tax Act, Section 9 of 25 the Service Use Tax Act, Section 9 of the Service Occupation 26 Tax Act, and Section 3 of the Retailers' Occupation Tax Act 27 into the McCormick Place Expansion Project Fund in the 28 specified fiscal years. 29 Fiscal Year Total Deposit 30 1993 $0 31 1994 53,000,000 32 1995 58,000,000 33 1996 61,000,000 34 1997 64,000,000 SB1028 Engrossed -40- LRB9106061PTpk 1 1998 68,000,000 2 1999 71,000,000 3 2000 75,000,000 4 2001 80,000,000 5 2002 84,000,000 6 2003 89,000,000 7 2004 93,000,000 8 2005 97,000,000 9 2006 102,000,000 10 2007 and 106,000,000 11 each fiscal year 12 thereafter that bonds 13 are outstanding under 14 Section 13.2 of the 15 Metropolitan Pier and 16 Exposition Authority 17 Act, but not after fiscal year 2029. 18 Beginning July 20, 1993 and in each month of each fiscal 19 year thereafter, one-eighth of the amount requested in the 20 certificate of the Chairman of the Metropolitan Pier and 21 Exposition Authority for that fiscal year, less the amount 22 deposited into the McCormick Place Expansion Project Fund by 23 the State Treasurer in the respective month under subsection 24 (g) of Section 13 of the Metropolitan Pier and Exposition 25 Authority Act, plus cumulative deficiencies in the deposits 26 required under this Section for previous months and years, 27 shall be deposited into the McCormick Place Expansion Project 28 Fund, until the full amount requested for the fiscal year, 29 but not in excess of the amount specified above as "Total 30 Deposit", has been deposited. 31 Subject to payment of amounts into the Build Illinois 32 Fund and the McCormick Place Expansion Project Fund pursuant 33 to the preceding paragraphs or in any amendment thereto 34 hereafter enacted, each month the Department shall pay into SB1028 Engrossed -41- LRB9106061PTpk 1 the Local Government Distributive Fund 0.4% of the net 2 revenue realized for the preceding month from the 5% general 3 rate or 0.4% of 80% of the net revenue realized for the 4 preceding month from the 6.25% general rate, as the case may 5 be, on the selling price of tangible personal property which 6 amount shall, subject to appropriation, be distributed as 7 provided in Section 2 of the State Revenue Sharing Act. No 8 payments or distributions pursuant to this paragraph shall be 9 made if the tax imposed by this Act on photoprocessing 10 products is declared unconstitutional, or if the proceeds 11 from such tax are unavailable for distribution because of 12 litigation. 13 Subject to payment of amounts into the Build Illinois 14 Fund, the McCormick Place Expansion Project Fund, and the 15 Local Government Distributive Fund pursuant to the preceding 16 paragraphs or in any amendments thereto hereafter enacted, 17 beginning July 1, 1993, the Department shall each month pay 18 into the Illinois Tax Increment Fund 0.27% of 80% of the net 19 revenue realized for the preceding month from the 6.25% 20 general rate on the selling price of tangible personal 21 property. 22 Remaining moneys received by the Department pursuant to 23 this Act shall be paid into the General Revenue Fund of the 24 State Treasury. 25 The Department may, upon separate written notice to a 26 taxpayer, require the taxpayer to prepare and file with the 27 Department on a form prescribed by the Department within not 28 less than 60 days after receipt of the notice an annual 29 information return for the tax year specified in the notice. 30 Such annual return to the Department shall include a 31 statement of gross receipts as shown by the taxpayer's last 32 Federal income tax return. If the total receipts of the 33 business as reported in the Federal income tax return do not 34 agree with the gross receipts reported to the Department of SB1028 Engrossed -42- LRB9106061PTpk 1 Revenue for the same period, the taxpayer shall attach to his 2 annual return a schedule showing a reconciliation of the 2 3 amounts and the reasons for the difference. The taxpayer's 4 annual return to the Department shall also disclose the cost 5 of goods sold by the taxpayer during the year covered by such 6 return, opening and closing inventories of such goods for 7 such year, cost of goods used from stock or taken from stock 8 and given away by the taxpayer during such year, pay roll 9 information of the taxpayer's business during such year and 10 any additional reasonable information which the Department 11 deems would be helpful in determining the accuracy of the 12 monthly, quarterly or annual returns filed by such taxpayer 13 as hereinbefore provided for in this Section. 14 If the annual information return required by this Section 15 is not filed when and as required, the taxpayer shall be 16 liable as follows: 17 (i) Until January 1, 1994, the taxpayer shall be 18 liable for a penalty equal to 1/6 of 1% of the tax due 19 from such taxpayer under this Act during the period to be 20 covered by the annual return for each month or fraction 21 of a month until such return is filed as required, the 22 penalty to be assessed and collected in the same manner 23 as any other penalty provided for in this Act. 24 (ii) On and after January 1, 1994, the taxpayer 25 shall be liable for a penalty as described in Section 3-4 26 of the Uniform Penalty and Interest Act. 27 The chief executive officer, proprietor, owner or highest 28 ranking manager shall sign the annual return to certify the 29 accuracy of the information contained therein. Any person 30 who willfully signs the annual return containing false or 31 inaccurate information shall be guilty of perjury and 32 punished accordingly. The annual return form prescribed by 33 the Department shall include a warning that the person 34 signing the return may be liable for perjury. SB1028 Engrossed -43- LRB9106061PTpk 1 The foregoing portion of this Section concerning the 2 filing of an annual information return shall not apply to a 3 serviceman who is not required to file an income tax return 4 with the United States Government. 5 As soon as possible after the first day of each month, 6 upon certification of the Department of Revenue, the 7 Comptroller shall order transferred and the Treasurer shall 8 transfer from the General Revenue Fund to the Motor Fuel Tax 9 Fund an amount equal to 1.7% of 80% of the net revenue 10 realized under this Act for the second preceding month; 11 except that this transfer shall not be made for the months 12 February through June, 1992. 13 Net revenue realized for a month shall be the revenue 14 collected by the State pursuant to this Act, less the amount 15 paid out during that month as refunds to taxpayers for 16 overpayment of liability. 17 For greater simplicity of administration, it shall be 18 permissible for manufacturers, importers and wholesalers 19 whose products are sold by numerous servicemen in Illinois, 20 and who wish to do so, to assume the responsibility for 21 accounting and paying to the Department all tax accruing 22 under this Act with respect to such sales, if the servicemen 23 who are affected do not make written objection to the 24 Department to this arrangement. 25 (Source: P.A. 89-89, eff. 6-30-95; 89-235, eff. 8-4-95; 26 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 90-612, eff. 27 7-8-98.) 28 Section 25. The Retailers' Occupation Tax Act is amended 29 by changing Section 3 as follows: 30 (35 ILCS 120/3) (from Ch. 120, par. 442) 31 Sec. 3. Returns; deposits. Except as provided in this 32 Section, on or before the twentieth day of each calendar SB1028 Engrossed -44- LRB9106061PTpk 1 month, every person engaged in the business of selling 2 tangible personal property at retail in this State during the 3 preceding calendar month shall file a return with the 4 Department, stating: 5 1. The name of the seller; 6 2. His residence address and the address of his 7 principal place of business and the address of the 8 principal place of business (if that is a different 9 address) from which he engages in the business of selling 10 tangible personal property at retail in this State; 11 3. Total amount of receipts received by him during 12 the preceding calendar month or quarter, as the case may 13 be, from sales of tangible personal property, and from 14 services furnished, by him during such preceding calendar 15 month or quarter; 16 4. Total amount received by him during the 17 preceding calendar month or quarter on charge and time 18 sales of tangible personal property, and from services 19 furnished, by him prior to the month or quarter for which 20 the return is filed; 21 5. Deductions allowed by law; 22 6. Gross receipts which were received by him during 23 the preceding calendar month or quarter and upon the 24 basis of which the tax is imposed; 25 7. The amount of credit provided in Section 2d of 26 this Act; 27 8. The amount of tax due; 28 9. The signature of the taxpayer; and 29 10. Such other reasonable information as the 30 Department may require. 31 If a taxpayer fails to sign a return within 30 days after 32 the proper notice and demand for signature by the Department, 33 the return shall be considered valid and any amount shown to 34 be due on the return shall be deemed assessed. SB1028 Engrossed -45- LRB9106061PTpk 1 Each return shall be accompanied by the statement of 2 prepaid tax issued pursuant to Section 2e for which credit is 3 claimed. 4 A retailer may accept a Manufacturer's Purchase Credit 5 certification from a purchaser in satisfaction of Use Tax as 6 provided in Section 3-85 of the Use Tax Act if the purchaser 7 provides the appropriate documentation as required by Section 8 3-85 of the Use Tax Act. A Manufacturer's Purchase Credit 9 certification, accepted by a retailer as provided in Section 10 3-85 of the Use Tax Act, may be used by that retailer to 11 satisfy Retailers' Occupation Tax liability in the amount 12 claimed in the certification, not to exceed 6.25% of the 13 receipts subject to tax from a qualifying purchase. 14 The Department may require returns to be filed on a 15 quarterly basis. If so required, a return for each calendar 16 quarter shall be filed on or before the twentieth day of the 17 calendar month following the end of such calendar quarter. 18 The taxpayer shall also file a return with the Department for 19 each of the first two months of each calendar quarter, on or 20 before the twentieth day of the following calendar month, 21 stating: 22 1. The name of the seller; 23 2. The address of the principal place of business 24 from which he engages in the business of selling tangible 25 personal property at retail in this State; 26 3. The total amount of taxable receipts received by 27 him during the preceding calendar month from sales of 28 tangible personal property by him during such preceding 29 calendar month, including receipts from charge and time 30 sales, but less all deductions allowed by law; 31 4. The amount of credit provided in Section 2d of 32 this Act; 33 5. The amount of tax due; and 34 6. Such other reasonable information as the SB1028 Engrossed -46- LRB9106061PTpk 1 Department may require. 2 If a total amount of less than $1 is payable, refundable 3 or creditable, such amount shall be disregarded if it is less 4 than 50 cents and shall be increased to $1 if it is 50 cents 5 or more. 6 Beginning October 1, 1993, a taxpayer who has an average 7 monthly tax liability of $150,000 or more shall make all 8 payments required by rules of the Department by electronic 9 funds transfer. Beginning October 1, 1994, a taxpayer who 10 has an average monthly tax liability of $100,000 or more 11 shall make all payments required by rules of the Department 12 by electronic funds transfer. Beginning October 1, 1995, a 13 taxpayer who has an average monthly tax liability of $50,000 14 or more shall make all payments required by rules of the 15 Department by electronic funds transfer. The term "average 16 monthly tax liability" shall be the sum of the taxpayer's 17 liabilities under this Act, and under all other State and 18 local occupation and use tax laws administered by the 19 Department, for the immediately preceding calendar year 20 divided by 12. 21 Before August 1 of each year beginning in 1993, the 22 Department shall notify all taxpayers required to make 23 payments by electronic funds transfer. All taxpayers 24 required to make payments by electronic funds transfer shall 25 make those payments for a minimum of one year beginning on 26 October 1. 27 Any taxpayer not required to make payments by electronic 28 funds transfer may make payments by electronic funds transfer 29 with the permission of the Department. 30 All taxpayers required to make payment by electronic 31 funds transfer and any taxpayers authorized to voluntarily 32 make payments by electronic funds transfer shall make those 33 payments in the manner authorized by the Department. 34 The Department shall adopt such rules as are necessary to SB1028 Engrossed -47- LRB9106061PTpk 1 effectuate a program of electronic funds transfer and the 2 requirements of this Section. 3 Any amount which is required to be shown or reported on 4 any return or other document under this Act shall, if such 5 amount is not a whole-dollar amount, be increased to the 6 nearest whole-dollar amount in any case where the fractional 7 part of a dollar is 50 cents or more, and decreased to the 8 nearest whole-dollar amount where the fractional part of a 9 dollar is less than 50 cents. 10 If the retailer is otherwise required to file a monthly 11 return and if the retailer's average monthly tax liability to 12 the Department does not exceed $200, the Department may 13 authorize his returns to be filed on a quarter annual basis, 14 with the return for January, February and March of a given 15 year being due by April 20 of such year; with the return for 16 April, May and June of a given year being due by July 20 of 17 such year; with the return for July, August and September of 18 a given year being due by October 20 of such year, and with 19 the return for October, November and December of a given year 20 being due by January 20 of the following year. 21 If the retailer is otherwise required to file a monthly 22 or quarterly return and if the retailer's average monthly tax 23 liability with the Department does not exceed $50, the 24 Department may authorize his returns to be filed on an annual 25 basis, with the return for a given year being due by January 26 20 of the following year. 27 Such quarter annual and annual returns, as to form and 28 substance, shall be subject to the same requirements as 29 monthly returns. 30 Notwithstanding any other provision in this Act 31 concerning the time within which a retailer may file his 32 return, in the case of any retailer who ceases to engage in a 33 kind of business which makes him responsible for filing 34 returns under this Act, such retailer shall file a final SB1028 Engrossed -48- LRB9106061PTpk 1 return under this Act with the Department not more than one 2 month after discontinuing such business. 3 Where the same person has more than one business 4 registered with the Department under separate registrations 5 under this Act, such person may not file each return that is 6 due as a single return covering all such registered 7 businesses, but shall file separate returns for each such 8 registered business. 9 In addition, with respect to motor vehicles, watercraft, 10 aircraft, and trailers that are required to be registered 11 with an agency of this State, every retailer selling this 12 kind of tangible personal property shall file, with the 13 Department, upon a form to be prescribed and supplied by the 14 Department, a separate return for each such item of tangible 15 personal property which the retailer sells, except that 16 where, in the same transaction, a retailer of aircraft, 17 watercraft, motor vehicles or trailers transfers more than 18 one aircraft, watercraft, motor vehicle or trailer to another 19 aircraft, watercraft, motor vehicle retailer or trailer 20 retailer for the purpose of resale, that seller for resale 21 may report the transfer of all aircraft, watercraft, motor 22 vehicles or trailers involved in that transaction to the 23 Department on the same uniform invoice-transaction reporting 24 return form. For purposes of this Section, "watercraft" 25 means a Class 2, Class 3, or Class 4 watercraft as defined in 26 Section 3-2 of the Boat Registration and Safety Act, a 27 personal watercraft, or any boat equipped with an inboard 28 motor. 29 Any retailer who sells only motor vehicles, watercraft, 30 aircraft, or trailers that are required to be registered with 31 an agency of this State, so that all retailers' occupation 32 tax liability is required to be reported, and is reported, on 33 such transaction reporting returns and who is not otherwise 34 required to file monthly or quarterly returns, need not file SB1028 Engrossed -49- LRB9106061PTpk 1 monthly or quarterly returns. However, those retailers shall 2 be required to file returns on an annual basis. 3 The transaction reporting return, in the case of motor 4 vehicles or trailers that are required to be registered with 5 an agency of this State, shall be the same document as the 6 Uniform Invoice referred to in Section 5-402 of The Illinois 7 Vehicle Code and must show the name and address of the 8 seller; the name and address of the purchaser; the amount of 9 the selling price including the amount allowed by the 10 retailer for traded-in property, if any; the amount allowed 11 by the retailer for the traded-in tangible personal property, 12 if any, to the extent to which Section 1 of this Act allows 13 an exemption for the value of traded-in property; the balance 14 payable after deducting such trade-in allowance from the 15 total selling price; the amount of tax due from the retailer 16 with respect to such transaction; the amount of tax collected 17 from the purchaser by the retailer on such transaction (or 18 satisfactory evidence that such tax is not due in that 19 particular instance, if that is claimed to be the fact); the 20 place and date of the sale; a sufficient identification of 21 the property sold; such other information as is required in 22 Section 5-402 of The Illinois Vehicle Code, and such other 23 information as the Department may reasonably require. 24 The transaction reporting return in the case of 25 watercraft or aircraft must show the name and address of the 26 seller; the name and address of the purchaser; the amount of 27 the selling price including the amount allowed by the 28 retailer for traded-in property, if any; the amount allowed 29 by the retailer for the traded-in tangible personal property, 30 if any, to the extent to which Section 1 of this Act allows 31 an exemption for the value of traded-in property; the balance 32 payable after deducting such trade-in allowance from the 33 total selling price; the amount of tax due from the retailer 34 with respect to such transaction; the amount of tax collected SB1028 Engrossed -50- LRB9106061PTpk 1 from the purchaser by the retailer on such transaction (or 2 satisfactory evidence that such tax is not due in that 3 particular instance, if that is claimed to be the fact); the 4 place and date of the sale, a sufficient identification of 5 the property sold, and such other information as the 6 Department may reasonably require. 7 Such transaction reporting return shall be filed not 8 later than 20 days after the day of delivery of the item that 9 is being sold, but may be filed by the retailer at any time 10 sooner than that if he chooses to do so. The transaction 11 reporting return and tax remittance or proof of exemption 12 from the Illinois use tax may be transmitted to the 13 Department by way of the State agency with which, or State 14 officer with whom the tangible personal property must be 15 titled or registered (if titling or registration is required) 16 if the Department and such agency or State officer determine 17 that this procedure will expedite the processing of 18 applications for title or registration. 19 With each such transaction reporting return, the retailer 20 shall remit the proper amount of tax due (or shall submit 21 satisfactory evidence that the sale is not taxable if that is 22 the case), to the Department or its agents, whereupon the 23 Department shall issue, in the purchaser's name, a use tax 24 receipt (or a certificate of exemption if the Department is 25 satisfied that the particular sale is tax exempt) which such 26 purchaser may submit to the agency with which, or State 27 officer with whom, he must title or register the tangible 28 personal property that is involved (if titling or 29 registration is required) in support of such purchaser's 30 application for an Illinois certificate or other evidence of 31 title or registration to such tangible personal property. 32 No retailer's failure or refusal to remit tax under this 33 Act precludes a user, who has paid the proper tax to the 34 retailer, from obtaining his certificate of title or other SB1028 Engrossed -51- LRB9106061PTpk 1 evidence of title or registration (if titling or registration 2 is required) upon satisfying the Department that such user 3 has paid the proper tax (if tax is due) to the retailer. The 4 Department shall adopt appropriate rules to carry out the 5 mandate of this paragraph. 6 If the user who would otherwise pay tax to the retailer 7 wants the transaction reporting return filed and the payment 8 of the tax or proof of exemption made to the Department 9 before the retailer is willing to take these actions and such 10 user has not paid the tax to the retailer, such user may 11 certify to the fact of such delay by the retailer and may 12 (upon the Department being satisfied of the truth of such 13 certification) transmit the information required by the 14 transaction reporting return and the remittance for tax or 15 proof of exemption directly to the Department and obtain his 16 tax receipt or exemption determination, in which event the 17 transaction reporting return and tax remittance (if a tax 18 payment was required) shall be credited by the Department to 19 the proper retailer's account with the Department, but 20 without the 2.1% or 1.75% discount provided for in this 21 Section being allowed. When the user pays the tax directly 22 to the Department, he shall pay the tax in the same amount 23 and in the same form in which it would be remitted if the tax 24 had been remitted to the Department by the retailer. 25 Refunds made by the seller during the preceding return 26 period to purchasers, on account of tangible personal 27 property returned to the seller, shall be allowed as a 28 deduction under subdivision 5 of his monthly or quarterly 29 return, as the case may be, in case the seller had 30 theretofore included the receipts from the sale of such 31 tangible personal property in a return filed by him and had 32 paid the tax imposed by this Act with respect to such 33 receipts. 34 Where the seller is a corporation, the return filed on SB1028 Engrossed -52- LRB9106061PTpk 1 behalf of such corporation shall be signed by the president, 2 vice-president, secretary or treasurer or by the properly 3 accredited agent of such corporation. 4 Where the seller is a limited liability company, the 5 return filed on behalf of the limited liability company shall 6 be signed by a manager, member, or properly accredited agent 7 of the limited liability company. 8 Except as provided in this Section, the retailer filing 9 the return under this Section shall, at the time of filing 10 such return, pay to the Department the amount of tax imposed 11 by this Act less a discount of 2.1% prior to January 1, 1990 12 and 1.75% on and after January 1, 1990, or $5 per calendar 13 year, whichever is greater, which is allowed to reimburse the 14 retailer for the expenses incurred in keeping records, 15 preparing and filing returns, remitting the tax and supplying 16 data to the Department on request. Any prepayment made 17 pursuant to Section 2d of this Act shall be included in the 18 amount on which such 2.1% or 1.75% discount is computed. In 19 the case of retailers who report and pay the tax on a 20 transaction by transaction basis, as provided in this 21 Section, such discount shall be taken with each such tax 22 remittance instead of when such retailer files his periodic 23 return. 24 If the taxpayer's average monthly tax liability to the 25 Department under this Act, the Use Tax Act, the Service 26 Occupation Tax Act, and the Service Use Tax Act, excluding 27 any liability for prepaid sales tax to be remitted in 28 accordance with Section 2d of this Act, was $10,000 or more 29 during the preceding 4 complete calendar quarters, he shall 30 file a return with the Department each month by the 20th day 31 of the month next following the month during which such tax 32 liability is incurred and shall make payments to the 33 Department on or before the 7th, 15th, 22nd and last day of 34 the month during which such liability is incurred. If the SB1028 Engrossed -53- LRB9106061PTpk 1 month during which such tax liability is incurred began prior 2 to January 1, 1985, each payment shall be in an amount equal 3 to 1/4 of the taxpayer's actual liability for the month or an 4 amount set by the Department not to exceed 1/4 of the average 5 monthly liability of the taxpayer to the Department for the 6 preceding 4 complete calendar quarters (excluding the month 7 of highest liability and the month of lowest liability in 8 such 4 quarter period). If the month during which such tax 9 liability is incurred begins on or after January 1, 1985 and 10 prior to January 1, 1987, each payment shall be in an amount 11 equal to 22.5% of the taxpayer's actual liability for the 12 month or 27.5% of the taxpayer's liability for the same 13 calendar month of the preceding year. If the month during 14 which such tax liability is incurred begins on or after 15 January 1, 1987 and prior to January 1, 1988, each payment 16 shall be in an amount equal to 22.5% of the taxpayer's actual 17 liability for the month or 26.25% of the taxpayer's liability 18 for the same calendar month of the preceding year. If the 19 month during which such tax liability is incurred begins on 20 or after January 1, 1988, and prior to January 1, 1989, or 21 begins on or after January 1, 1996, each payment shall be in 22 an amount equal to 22.5% of the taxpayer's actual liability 23 for the month or 25% of the taxpayer's liability for the same 24 calendar month of the preceding year. If the month during 25 which such tax liability is incurred begins on or after 26 January 1, 1989, and prior to January 1, 1996, each payment 27 shall be in an amount equal to 22.5% of the taxpayer's actual 28 liability for the month or 25% of the taxpayer's liability 29 for the same calendar month of the preceding year or 100% of 30 the taxpayer's actual liability for the quarter monthly 31 reporting period. The amount of such quarter monthly 32 payments shall be credited against the final tax liability of 33 the taxpayer's return for that month. Once applicable, the 34 requirement of the making of quarter monthly payments to the SB1028 Engrossed -54- LRB9106061PTpk 1 Department by taxpayers having an average monthly tax 2 liability of $10,000 or more as determined in the manner 3 provided above shall continue until such taxpayer's average 4 monthly liability to the Department during the preceding 4 5 complete calendar quarters (excluding the month of highest 6 liability and the month of lowest liability) is less than 7 $9,000, or until such taxpayer's average monthly liability to 8 the Department as computed for each calendar quarter of the 4 9 preceding complete calendar quarter period is less than 10 $10,000. However, if a taxpayer can show the Department that 11 a substantial change in the taxpayer's business has occurred 12 which causes the taxpayer to anticipate that his average 13 monthly tax liability for the reasonably foreseeable future 14 will fall below $10,000, then such taxpayer may petition the 15 Department for a change in such taxpayer's reporting status. 16 The Department shall change such taxpayer's reporting status 17 unless it finds that such change is seasonal in nature and 18 not likely to be long term. If any such quarter monthly 19 payment is not paid at the time or in the amount required by 20 this Section, then the taxpayer shall be liable for penalties 21 and interest on the difference between the minimum amount due 22 as a payment and the amount of such quarter monthly payment 23 actually and timely paid, except insofar as the taxpayer has 24 previously made payments for that month to the Department in 25 excess of the minimum payments previously due as provided in 26 this Section. The Department shall make reasonable rules and 27 regulations to govern the quarter monthly payment amount and 28 quarter monthly payment dates for taxpayers who file on other 29 than a calendar monthly basis. 30 Without regard to whether a taxpayer is required to make 31 quarter monthly payments as specified above, any taxpayer who 32 is required by Section 2d of this Act to collect and remit 33 prepaid taxes and has collected prepaid taxes which average 34 in excess of $25,000 per month during the preceding 2 SB1028 Engrossed -55- LRB9106061PTpk 1 complete calendar quarters, shall file a return with the 2 Department as required by Section 2f and shall make payments 3 to the Department on or before the 7th, 15th, 22nd and last 4 day of the month during which such liability is incurred. If 5 the month during which such tax liability is incurred began 6 prior to the effective date of this amendatory Act of 1985, 7 each payment shall be in an amount not less than 22.5% of the 8 taxpayer's actual liability under Section 2d. If the month 9 during which such tax liability is incurred begins on or 10 after January 1, 1986, each payment shall be in an amount 11 equal to 22.5% of the taxpayer's actual liability for the 12 month or 27.5% of the taxpayer's liability for the same 13 calendar month of the preceding calendar year. If the month 14 during which such tax liability is incurred begins on or 15 after January 1, 1987, each payment shall be in an amount 16 equal to 22.5% of the taxpayer's actual liability for the 17 month or 26.25% of the taxpayer's liability for the same 18 calendar month of the preceding year. The amount of such 19 quarter monthly payments shall be credited against the final 20 tax liability of the taxpayer's return for that month filed 21 under this Section or Section 2f, as the case may be. Once 22 applicable, the requirement of the making of quarter monthly 23 payments to the Department pursuant to this paragraph shall 24 continue until such taxpayer's average monthly prepaid tax 25 collections during the preceding 2 complete calendar quarters 26 is $25,000 or less. If any such quarter monthly payment is 27 not paid at the time or in the amount required, the taxpayer 28 shall be liable for penalties and interest on such 29 difference, except insofar as the taxpayer has previously 30 made payments for that month in excess of the minimum 31 payments previously due. 32 If any payment provided for in this Section exceeds the 33 taxpayer's liabilities under this Act, the Use Tax Act, the 34 Service Occupation Tax Act and the Service Use Tax Act, as SB1028 Engrossed -56- LRB9106061PTpk 1 shown on an original monthly return, the Department shall, if 2 requested by the taxpayer, issue to the taxpayer a credit 3 memorandum no later than 30 days after the date of payment. 4 The credit evidenced by such credit memorandum may be 5 assigned by the taxpayer to a similar taxpayer under this 6 Act, the Use Tax Act, the Service Occupation Tax Act or the 7 Service Use Tax Act, in accordance with reasonable rules and 8 regulations to be prescribed by the Department. If no such 9 request is made, the taxpayer may credit such excess payment 10 against tax liability subsequently to be remitted to the 11 Department under this Act, the Use Tax Act, the Service 12 Occupation Tax Act or the Service Use Tax Act, in accordance 13 with reasonable rules and regulations prescribed by the 14 Department. If the Department subsequently determined that 15 all or any part of the credit taken was not actually due to 16 the taxpayer, the taxpayer's 2.1% and 1.75% vendor's discount 17 shall be reduced by 2.1% or 1.75% of the difference between 18 the credit taken and that actually due, and that taxpayer 19 shall be liable for penalties and interest on such 20 difference. 21 If a retailer of motor fuel is entitled to a credit under 22 Section 2d of this Act which exceeds the taxpayer's liability 23 to the Department under this Act for the month which the 24 taxpayer is filing a return, the Department shall issue the 25 taxpayer a credit memorandum for the excess. 26 Beginning January 1, 1990, each month the Department 27 shall pay into the Local Government Tax Fund, a special fund 28 in the State treasury which is hereby created, the net 29 revenue realized for the preceding month from the 1% tax on 30 sales of food for human consumption which is to be consumed 31 off the premises where it is sold (other than alcoholic 32 beverages, soft drinks and food which has been prepared for 33 immediate consumption) and prescription and nonprescription 34 medicines, drugs, medical appliances and insulin, urine SB1028 Engrossed -57- LRB9106061PTpk 1 testing materials, syringes and needles used by diabetics. 2 Beginning January 1, 1990, each month the Department 3 shall pay into the County and Mass Transit District Fund, a 4 special fund in the State treasury which is hereby created, 5 4% of the net revenue realized for the preceding month from 6 the 6.25% general rate. 7 Beginning January 1, 1990, each month the Department 8 shall pay into the Local Government Tax Fund 16% of the net 9 revenue realized for the preceding month from the 6.25% 10 general rate on the selling price of tangible personal 11 property. 12 Of the remainder of the moneys received by the Department 13 pursuant to this Act, (a) 1.75% thereof shall be paid into 14 the Build Illinois Fund and (b) prior to July 1, 1989, 2.2% 15 and on and after July 1, 1989, 3.8% thereof shall be paid 16 into the Build Illinois Fund; provided, however, that if in 17 any fiscal year the sum of (1) the aggregate of 2.2% or 3.8%, 18 as the case may be, of the moneys received by the Department 19 and required to be paid into the Build Illinois Fund pursuant 20 to this Act, Section 9 of the Use Tax Act, Section 9 of the 21 Service Use Tax Act, and Section 9 of the Service Occupation 22 Tax Act, such Acts being hereinafter called the "Tax Acts" 23 and such aggregate of 2.2% or 3.8%, as the case may be, of 24 moneys being hereinafter called the "Tax Act Amount", and (2) 25 the amount transferred to the Build Illinois Fund from the 26 State and Local Sales Tax Reform Fund shall be less than the 27 Annual Specified Amount (as hereinafter defined), an amount 28 equal to the difference shall be immediately paid into the 29 Build Illinois Fund from other moneys received by the 30 Department pursuant to the Tax Acts; the "Annual Specified 31 Amount" means the amounts specified below for fiscal years 32 1986 through 1993: 33 Fiscal Year Annual Specified Amount 34 1986 $54,800,000 SB1028 Engrossed -58- LRB9106061PTpk 1 1987 $76,650,000 2 1988 $80,480,000 3 1989 $88,510,000 4 1990 $115,330,000 5 1991 $145,470,000 6 1992 $182,730,000 7 1993 $206,520,000; 8 and means the Certified Annual Debt Service Requirement (as 9 defined in Section 13 of the Build Illinois Bond Act) or the 10 Tax Act Amount, whichever is greater, for fiscal year 1994 11 and each fiscal year thereafter; and further provided, that 12 if on the last business day of any month the sum of (1) the 13 Tax Act Amount required to be deposited into the Build 14 Illinois Bond Account in the Build Illinois Fund during such 15 month and (2) the amount transferred to the Build Illinois 16 Fund from the State and Local Sales Tax Reform Fund shall 17 have been less than 1/12 of the Annual Specified Amount, an 18 amount equal to the difference shall be immediately paid into 19 the Build Illinois Fund from other moneys received by the 20 Department pursuant to the Tax Acts; and, further provided, 21 that in no event shall the payments required under the 22 preceding proviso result in aggregate payments into the Build 23 Illinois Fund pursuant to this clause (b) for any fiscal year 24 in excess of the greater of (i) the Tax Act Amount or (ii) 25 the Annual Specified Amount for such fiscal year. The 26 amounts payable into the Build Illinois Fund under clause (b) 27 of the first sentence in this paragraph shall be payable only 28 until such time as the aggregate amount on deposit under each 29 trust indenture securing Bonds issued and outstanding 30 pursuant to the Build Illinois Bond Act is sufficient, taking 31 into account any future investment income, to fully provide, 32 in accordance with such indenture, for the defeasance of or 33 the payment of the principal of, premium, if any, and 34 interest on the Bonds secured by such indenture and on any SB1028 Engrossed -59- LRB9106061PTpk 1 Bonds expected to be issued thereafter and all fees and costs 2 payable with respect thereto, all as certified by the 3 Director of the Bureau of the Budget. If on the last 4 business day of any month in which Bonds are outstanding 5 pursuant to the Build Illinois Bond Act, the aggregate of 6 moneys deposited in the Build Illinois Bond Account in the 7 Build Illinois Fund in such month shall be less than the 8 amount required to be transferred in such month from the 9 Build Illinois Bond Account to the Build Illinois Bond 10 Retirement and Interest Fund pursuant to Section 13 of the 11 Build Illinois Bond Act, an amount equal to such deficiency 12 shall be immediately paid from other moneys received by the 13 Department pursuant to the Tax Acts to the Build Illinois 14 Fund; provided, however, that any amounts paid to the Build 15 Illinois Fund in any fiscal year pursuant to this sentence 16 shall be deemed to constitute payments pursuant to clause (b) 17 of the first sentence of this paragraph and shall reduce the 18 amount otherwise payable for such fiscal year pursuant to 19 that clause (b). The moneys received by the Department 20 pursuant to this Act and required to be deposited into the 21 Build Illinois Fund are subject to the pledge, claim and 22 charge set forth in Section 12 of the Build Illinois Bond 23 Act. 24 Subject to payment of amounts into the Build Illinois 25 Fund as provided in the preceding paragraph or in any 26 amendment thereto hereafter enacted, the following specified 27 monthly installment of the amount requested in the 28 certificate of the Chairman of the Metropolitan Pier and 29 Exposition Authority provided under Section 8.25f of the 30 State Finance Act, but not in excess of sums designated as 31 "Total Deposit", shall be deposited in the aggregate from 32 collections under Section 9 of the Use Tax Act, Section 9 of 33 the Service Use Tax Act, Section 9 of the Service Occupation 34 Tax Act, and Section 3 of the Retailers' Occupation Tax Act SB1028 Engrossed -60- LRB9106061PTpk 1 into the McCormick Place Expansion Project Fund in the 2 specified fiscal years. 3 Fiscal Year Total Deposit 4 1993 $0 5 1994 53,000,000 6 1995 58,000,000 7 1996 61,000,000 8 1997 64,000,000 9 1998 68,000,000 10 1999 71,000,000 11 2000 75,000,000 12 2001 80,000,000 13 2002 84,000,000 14 2003 89,000,000 15 2004 93,000,000 16 2005 97,000,000 17 2006 102,000,000 18 2007 and 106,000,000 19 each fiscal year 20 thereafter that bonds 21 are outstanding under 22 Section 13.2 of the 23 Metropolitan Pier and 24 Exposition Authority 25 Act, but not after fiscal year 2029. 26 Beginning July 20, 1993 and in each month of each fiscal 27 year thereafter, one-eighth of the amount requested in the 28 certificate of the Chairman of the Metropolitan Pier and 29 Exposition Authority for that fiscal year, less the amount 30 deposited into the McCormick Place Expansion Project Fund by 31 the State Treasurer in the respective month under subsection 32 (g) of Section 13 of the Metropolitan Pier and Exposition 33 Authority Act, plus cumulative deficiencies in the deposits 34 required under this Section for previous months and years, SB1028 Engrossed -61- LRB9106061PTpk 1 shall be deposited into the McCormick Place Expansion Project 2 Fund, until the full amount requested for the fiscal year, 3 but not in excess of the amount specified above as "Total 4 Deposit", has been deposited. 5 Subject to payment of amounts into the Build Illinois 6 Fund and the McCormick Place Expansion Project Fund pursuant 7 to the preceding paragraphs or in any amendment thereto 8 hereafter enacted, each month the Department shall pay into 9 the Local Government Distributive Fund 0.4% of the net 10 revenue realized for the preceding month from the 5% general 11 rate or 0.4% of 80% of the net revenue realized for the 12 preceding month from the 6.25% general rate, as the case may 13 be, on the selling price of tangible personal property which 14 amount shall, subject to appropriation, be distributed as 15 provided in Section 2 of the State Revenue Sharing Act. No 16 payments or distributions pursuant to this paragraph shall be 17 made if the tax imposed by this Act on photoprocessing 18 products is declared unconstitutional, or if the proceeds 19 from such tax are unavailable for distribution because of 20 litigation. 21 Subject to payment of amounts into the Build Illinois 22 Fund, the McCormick Place Expansion Project to the preceding 23 paragraphs or in any amendments thereto hereafter enacted, 24 beginning July 1, 1993, the Department shall each month pay 25 into the Illinois Tax Increment Fund 0.27% of 80% of the net 26 revenue realized for the preceding month from the 6.25% 27 general rate on the selling price of tangible personal 28 property. 29 Of the remainder of the moneys received by the Department 30 pursuant to this Act, 75% thereof shall be paid into the 31 State Treasury and 25% shall be reserved in a special account 32 and used only for the transfer to the Common School Fund as 33 part of the monthly transfer from the General Revenue Fund in 34 accordance with Section 8a of the State Finance Act. SB1028 Engrossed -62- LRB9106061PTpk 1 The Department may, upon separate written notice to a 2 taxpayer, require the taxpayer to prepare and file with the 3 Department on a form prescribed by the Department within not 4 less than 60 days after receipt of the notice an annual 5 information return for the tax year specified in the notice. 6 Such annual return to the Department shall include a 7 statement of gross receipts as shown by the retailer's last 8 Federal income tax return. If the total receipts of the 9 business as reported in the Federal income tax return do not 10 agree with the gross receipts reported to the Department of 11 Revenue for the same period, the retailer shall attach to his 12 annual return a schedule showing a reconciliation of the 2 13 amounts and the reasons for the difference. The retailer's 14 annual return to the Department shall also disclose the cost 15 of goods sold by the retailer during the year covered by such 16 return, opening and closing inventories of such goods for 17 such year, costs of goods used from stock or taken from stock 18 and given away by the retailer during such year, payroll 19 information of the retailer's business during such year and 20 any additional reasonable information which the Department 21 deems would be helpful in determining the accuracy of the 22 monthly, quarterly or annual returns filed by such retailer 23 as provided for in this Section. 24 If the annual information return required by this Section 25 is not filed when and as required, the taxpayer shall be 26 liable as follows: 27 (i) Until January 1, 1994, the taxpayer shall be 28 liable for a penalty equal to 1/6 of 1% of the tax due 29 from such taxpayer under this Act during the period to be 30 covered by the annual return for each month or fraction 31 of a month until such return is filed as required, the 32 penalty to be assessed and collected in the same manner 33 as any other penalty provided for in this Act. 34 (ii) On and after January 1, 1994, the taxpayer SB1028 Engrossed -63- LRB9106061PTpk 1 shall be liable for a penalty as described in Section 3-4 2 of the Uniform Penalty and Interest Act. 3 The chief executive officer, proprietor, owner or highest 4 ranking manager shall sign the annual return to certify the 5 accuracy of the information contained therein. Any person 6 who willfully signs the annual return containing false or 7 inaccurate information shall be guilty of perjury and 8 punished accordingly. The annual return form prescribed by 9 the Department shall include a warning that the person 10 signing the return may be liable for perjury. 11 The provisions of this Section concerning the filing of 12 an annual information return do not apply to a retailer who 13 is not required to file an income tax return with the United 14 States Government. 15 As soon as possible after the first day of each month, 16 upon certification of the Department of Revenue, the 17 Comptroller shall order transferred and the Treasurer shall 18 transfer from the General Revenue Fund to the Motor Fuel Tax 19 Fund an amount equal to 1.7% of 80% of the net revenue 20 realized under this Act for the second preceding month; 21 except that this transfer shall not be made for the months 22 February through June, 1992. 23 Net revenue realized for a month shall be the revenue 24 collected by the State pursuant to this Act, less the amount 25 paid out during that month as refunds to taxpayers for 26 overpayment of liability. 27 For greater simplicity of administration, manufacturers, 28 importers and wholesalers whose products are sold at retail 29 in Illinois by numerous retailers, and who wish to do so, may 30 assume the responsibility for accounting and paying to the 31 Department all tax accruing under this Act with respect to 32 such sales, if the retailers who are affected do not make 33 written objection to the Department to this arrangement. 34 Any person who promotes, organizes, provides retail SB1028 Engrossed -64- LRB9106061PTpk 1 selling space for concessionaires or other types of sellers 2 at the Illinois State Fair, DuQuoin State Fair, county fairs, 3 local fairs, art shows, flea markets and similar exhibitions 4 or events, including any transient merchant as defined by 5 Section 2 of the Transient Merchant Act of 1987, is required 6 to file a report with the Department providing the name of 7 the merchant's business, the name of the person or persons 8 engaged in merchant's business, the permanent address and 9 Illinois Retailers Occupation Tax Registration Number of the 10 merchant, the dates and location of the event and other 11 reasonable information that the Department may require. The 12 report must be filed not later than the 20th day of the month 13 next following the month during which the event with retail 14 sales was held. Any person who fails to file a report 15 required by this Section commits a business offense and is 16 subject to a fine not to exceed $250. 17 Any person engaged in the business of selling tangible 18 personal property at retail as a concessionaire or other type 19 of seller at the Illinois State Fair, county fairs, art 20 shows, flea markets and similar exhibitions or events, or any 21 transient merchants, as defined by Section 2 of the Transient 22 Merchant Act of 1987, may be required to make a daily report 23 of the amount of such sales to the Department and to make a 24 daily payment of the full amount of tax due. The Department 25 shall impose this requirement when it finds that there is a 26 significant risk of loss of revenue to the State at such an 27 exhibition or event. Such a finding shall be based on 28 evidence that a substantial number of concessionaires or 29 other sellers who are not residents of Illinois will be 30 engaging in the business of selling tangible personal 31 property at retail at the exhibition or event, or other 32 evidence of a significant risk of loss of revenue to the 33 State. The Department shall notify concessionaires and other 34 sellers affected by the imposition of this requirement. In SB1028 Engrossed -65- LRB9106061PTpk 1 the absence of notification by the Department, the 2 concessionaires and other sellers shall file their returns as 3 otherwise required in this Section. 4 (Source: P.A. 89-89, eff. 6-30-95; 89-235, eff. 8-4-95; 5 89-379, eff. 1-1-96; 89-626, eff. 8-9-96; 90-491, eff. 6 1-1-99; 90-612, eff. 7-8-98.) 7 Section 30. The Motor Fuel Tax Law is amended by 8 changing Sections 2 and 8 as follows: 9 (35 ILCS 505/2) (from Ch. 120, par. 418) 10 Sec. 2. Tax imposed. A tax is imposed on the privilege of 11 operating motor vehicles upon the public highways and 12 recreational-type watercraft upon the waters of this State. 13 (a) Prior to August 1, 1989, the tax is imposed at the 14 rate of 13 cents per gallon on all motor fuel used in motor 15 vehicles operating on the public highways and recreational 16 type watercraft operating upon the waters of this State. 17 Beginning on August 1, 1989 and until January 1, 1990, the 18 rate of the tax imposed in this paragraph shall be 16 cents 19 per gallon. Beginning January 1, 1990, the rate of tax 20 imposed in this paragraph shall be 19 cents per gallon. 21 (b) The tax on the privilege of operating motor vehicles 22 which use diesel fuel shall be the rate according to 23 paragraph (a) plus an additional 2 1/2 cents per gallon. 24 "Diesel fuel" is defined as any petroleum product intended 25 for use or offered for sale as a fuel for engines in which 26 the fuel is injected into the combustion chamber and ignited 27 by pressure without electric spark. 28 (c) A tax is imposed upon the privilege of engaging in 29 the business of selling motor fuel as a retailer or reseller 30 on all motor fuel used in motor vehicles operating on the 31 public highways and recreational type watercraft operating 32 upon the waters of this State: (1) at the rate of 3 cents per SB1028 Engrossed -66- LRB9106061PTpk 1 gallon on motor fuel owned or possessed by such retailer or 2 reseller at 12:01 a.m. on August 1, 1989; and (2) at the rate 3 of 3 cents per gallon on motor fuel owned or possessed by 4 such retailer or reseller at 12:01 A.M. on January 1, 1990. 5 Retailers and resellers who are subject to this 6 additional tax shall be required to inventory such motor fuel 7 and pay this additional tax in a manner prescribed by the 8 Department of Revenue. 9 The tax imposed in this paragraph (c) shall be in 10 addition to all other taxes imposed by the State of Illinois 11 or any unit of local government in this State. 12 (d) Except as provided in Section 2a, the collection of 13 a tax based on gallonage of gasoline used for the propulsion 14 of any aircraft is prohibited on and after October 1, 1979. 15 (e) The collection of a tax, based on gallonage of all 16 products commonly or commercially known or sold as 1-K 17 kerosene, regardless of its classification or uses, is 18 prohibited on and after July 1, 1992, except when the 1-K 19 kerosene is either: (1) delivered into bulk storage 20 facilities of a bulk user, or (2) delivered directly into the 21 fuel supply tanks of motor vehicles. 22 Any sales, except as provided in paragraph (e), items in 23 (1) or (2) of this Section, of 1-K kerosene that are 24 delivered into a storage tank that is located at a facility 25 that has withdrawal facilities which are readily accessible 26 to, and are capable of dispensing 1-K kerosene into the fuel 27 supply tanks of motor vehicles must be supported by 28 documentation affirming that the 1-K kerosene will not be 29 sold for use in highway vehicles. Any person, who after 30 submitting documentation, sells or uses 1-K kerosene for use 31 in motor vehicles shall be liable for any tax due on the 32 sales of 1-K kerosene. 33 (Source: P.A. 86-16; 86-125; 86-1028; 87-149.) SB1028 Engrossed -67- LRB9106061PTpk 1 (35 ILCS 505/8) (from Ch. 120, par. 424) 2 Sec. 8. Deposits. Except as provided in Section 8a, all 3 money received by the Department under this Act, including 4 payments made to the Department by member jurisdictions 5 participating in the International Fuel Tax Agreement, shall 6 be deposited in a special fund in the State treasury, to be 7 known as the "Motor Fuel Tax Fund", and shall be used as 8 follows: 9 (a) 2 1/2 cents per gallon of the tax collected on 10 special fuel under paragraph (b) of Section 2 and Section 13a 11 of this Act shall be transferred to the State Construction 12 Account Fund in the State Treasury; 13 (b) $420,000 shall be transferred each month to the 14 State Boating Act Fund to be used by the Department of 15 Natural Resources for the purposes specified in Article X of 16 the Boat Registration and Safety Act; 17 (c) $1,500,000 shall be transferred each month to the 18 Grade Crossing Protection Fund to be used as follows: not 19 less than $6,000,000 each fiscal year shall be used for the 20 construction or reconstruction of rail highway grade 21 separation structures; beginning with fiscal year 1997 and 22 ending in fiscal year 1999, $1,500,000, and $750,000 in 23 fiscal year 2000 and each fiscal year thereafter shall be 24 transferred to the Transportation Regulatory Fund and shall 25 be accounted for as part of the rail carrier portion of such 26 funds and shall be used to pay the cost of administration of 27 the Illinois Commerce Commission's railroad safety program in 28 connection with its duties under subsection (3) of Section 29 18c-7401 of the Illinois Vehicle Code, with the remainder to 30 be used by the Department of Transportation upon order of the 31 Illinois Commerce Commission, to pay that part of the cost 32 apportioned by such Commission to the State to cover the 33 interest of the public in the use of highways, roads or 34 streets in the county highway system, township and district SB1028 Engrossed -68- LRB9106061PTpk 1 road system or municipal street system as defined in the 2 Illinois Highway Code, as the same may from time to time be 3 amended, for separation of grades, for installation, 4 construction or reconstruction of crossing protection or 5 reconstruction, alteration, relocation including construction 6 or improvement of any existing highway necessary for access 7 to property or improvement of any grade crossing including 8 the necessary highway approaches thereto of any railroad 9 across the highway or public road, as provided for in and in 10 accordance with Section 18c-7401 of the Illinois Vehicle 11 Code. In entering orders for projects for which payments 12 from the Grade Crossing Protection Fund will be made, the 13 Commission shall account for expenditures authorized by the 14 orders on a cash rather than an accrual basis. For purposes 15 of this requirement an "accrual basis" assumes that the total 16 cost of the project is expended in the fiscal year in which 17 the order is entered, while a "cash basis" allocates the cost 18 of the project among fiscal years as expenditures are 19 actually made. To meet the requirements of this subsection, 20 the Illinois Commerce Commission shall develop annual and 21 5-year project plans of rail crossing capital improvements 22 that will be paid for with moneys from the Grade Crossing 23 Protection Fund. The annual project plan shall identify 24 projects for the succeeding fiscal year and the 5-year 25 project plan shall identify projects for the 5 directly 26 succeeding fiscal years. The Commission shall submit the 27 annual and 5-year project plans for this Fund to the 28 Governor, the President of the Senate, the Senate Minority 29 Leader, the Speaker of the House of Representatives, and the 30 Minority Leader of the House of Representatives on the first 31 Wednesday in April of each year; 32 (d) of the amount remaining after allocations provided 33 for in subsections (a), (b) and (c), a sufficient amount 34 shall be reserved to pay all of the following: SB1028 Engrossed -69- LRB9106061PTpk 1 (1) the costs of the Department of Revenue in 2 administering this Act; 3 (2) the costs of the Department of Transportation 4 in performing its duties imposed by the Illinois Highway 5 Code for supervising the use of motor fuel tax funds 6 apportioned to municipalities, counties and road 7 districts; 8 (3) refunds provided for in Section 13 of this Act 9 and under the terms of the International Fuel Tax 10 Agreement referenced in Section 14a; 11 (4) from October 1, 1985 until June 30, 1994, the 12 administration of the Vehicle Emissions Inspection Law, 13 which amount shall be certified monthly by the 14 Environmental Protection Agency to the State Comptroller 15 and shall promptly be transferred by the State 16 Comptroller and Treasurer from the Motor Fuel Tax Fund to 17 the Vehicle Inspection Fund, and beginning July 1, 1994, 18 and until December 31, 2000, one-twelfth of $25,000,000 19 each month for the administration of the Vehicle 20 Emissions Inspection Law of 1995, to be transferred by 21 the State Comptroller and Treasurer from the Motor Fuel 22 Tax Fund into the Vehicle Inspection Fund; 23 (5) amounts ordered paid by the Court of Claims; 24 and 25 (6) payment of motor fuel use taxes due to member 26 jurisdictions under the terms of the International Fuel 27 Tax Agreement. The Department shall certify these 28 amounts to the Comptroller by the 15th day of each month; 29 the Comptroller shall cause orders to be drawn for such 30 amounts, and the Treasurer shall administer those amounts 31 on or before the last day of each month; 32 (e) after allocations for the purposes set forth in 33 subsections (a), (b), (c) and (d), the remaining amount shall 34 be apportioned as follows: SB1028 Engrossed -70- LRB9106061PTpk 1 (1) 58.4% shall be deposited as follows: 2 (A) 37% into the State Construction Account 3 Fund, and 4 (B) 63% into the Road Fund, $1,250,000 of 5 which shall be reserved each month for the 6 Department of Transportation to be used in 7 accordance with the provisions of Sections 6-901 8 through 6-906 of the Illinois Highway Code; 9 (2) 41.6% shall be transferred to the Department of 10 Transportation to be distributed as follows: 11 (A) 49.10% to the municipalities of the State, 12 (B) 16.74% to the counties of the State having 13 1,000,000 or more inhabitants, 14 (C) 18.27% to the counties of the State having 15 less than 1,000,000 inhabitants, 16 (D) 15.89% to the road districts of the State. 17 As soon as may be after the first day of each month the 18 Department of Transportation shall allot to each municipality 19 its share of the amount apportioned to the several 20 municipalities which shall be in proportion to the population 21 of such municipalities as determined by the last preceding 22 municipal census if conducted by the Federal Government or 23 Federal census. If territory is annexed to any municipality 24 subsequent to the time of the last preceding census the 25 corporate authorities of such municipality may cause a census 26 to be taken of such annexed territory and the population so 27 ascertained for such territory shall be added to the 28 population of the municipality as determined by the last 29 preceding census for the purpose of determining the allotment 30 for that municipality. If the population of any municipality 31 was not determined by the last Federal census preceding any 32 apportionment, the apportionment to such municipality shall 33 be in accordance with any census taken by such municipality. 34 Any municipal census used in accordance with this Section SB1028 Engrossed -71- LRB9106061PTpk 1 shall be certified to the Department of Transportation by the 2 clerk of such municipality, and the accuracy thereof shall be 3 subject to approval of the Department which may make such 4 corrections as it ascertains to be necessary. 5 As soon as may be after the first day of each month the 6 Department of Transportation shall allot to each county its 7 share of the amount apportioned to the several counties of 8 the State as herein provided. Each allotment to the several 9 counties having less than 1,000,000 inhabitants shall be in 10 proportion to the amount of motor vehicle license fees 11 received from the residents of such counties, respectively, 12 during the preceding calendar year. The Secretary of State 13 shall, on or before April 15 of each year, transmit to the 14 Department of Transportation a full and complete report 15 showing the amount of motor vehicle license fees received 16 from the residents of each county, respectively, during the 17 preceding calendar year. The Department of Transportation 18 shall, each month, use for allotment purposes the last such 19 report received from the Secretary of State. 20 As soon as may be after the first day of each month, the 21 Department of Transportation shall allot to the several 22 counties their share of the amount apportioned for the use of 23 road districts. The allotment shall be apportioned among the 24 several counties in the State in the proportion which the 25 total mileage of township or district roads in the respective 26 counties bears to the total mileage of all township and 27 district roads in the State. Funds allotted to the respective 28 counties for the use of road districts therein shall be 29 allocated to the several road districts in the county in the 30 proportion which the total mileage of such township or 31 district roads in the respective road districts bears to the 32 total mileage of all such township or district roads in the 33 county. After July 1 of any year, no allocation shall be 34 made for any road district unless it levied a tax for road SB1028 Engrossed -72- LRB9106061PTpk 1 and bridge purposes in an amount which will require the 2 extension of such tax against the taxable property in any 3 such road district at a rate of not less than either .08% of 4 the value thereof, based upon the assessment for the year 5 immediately prior to the year in which such tax was levied 6 and as equalized by the Department of Revenue or, in DuPage 7 County, an amount equal to or greater than $12,000 per mile 8 of road under the jurisdiction of the road district, 9 whichever is less. If any road district has levied a special 10 tax for road purposes pursuant to Sections 6-601, 6-602 and 11 6-603 of the Illinois Highway Code, and such tax was levied 12 in an amount which would require extension at a rate of not 13 less than .08% of the value of the taxable property thereof, 14 as equalized or assessed by the Department of Revenue, or, in 15 DuPage County, an amount equal to or greater than $12,000 per 16 mile of road under the jurisdiction of the road district, 17 whichever is less, such levy shall, however, be deemed a 18 proper compliance with this Section and shall qualify such 19 road district for an allotment under this Section. If a 20 township has transferred to the road and bridge fund money 21 which, when added to the amount of any tax levy of the road 22 district would be the equivalent of a tax levy requiring 23 extension at a rate of at least .08%, or, in DuPage County, 24 an amount equal to or greater than $12,000 per mile of road 25 under the jurisdiction of the road district, whichever is 26 less, such transfer, together with any such tax levy, shall 27 be deemed a proper compliance with this Section and shall 28 qualify the road district for an allotment under this 29 Section. 30 In counties in which a property tax extension limitation 31 is imposed under the Property Tax Extension Limitation Law, 32 road districts may retain their entitlement to a motor fuel 33 tax allotment if, at the time the property tax extension 34 limitation was imposed, the road district was levying a road SB1028 Engrossed -73- LRB9106061PTpk 1 and bridge tax at a rate sufficient to entitle it to a motor 2 fuel tax allotment and continues to levy the maximum 3 allowable amount after the imposition of the property tax 4 extension limitation. Any road district may in all 5 circumstances retain its entitlement to a motor fuel tax 6 allotment if it levied a road and bridge tax in an amount 7 that will require the extension of the tax against the 8 taxable property in the road district at a rate of not less 9 than 0.08% of the assessed value of the property, based upon 10 the assessment for the year immediately preceding the year in 11 which the tax was levied and as equalized by the Department 12 of Revenue or, in DuPage County, an amount equal to or 13 greater than $12,000 per mile of road under the jurisdiction 14 of the road district, whichever is less. 15 As used in this Section the term "road district" means 16 any road district, including a county unit road district, 17 provided for by the Illinois Highway Code; and the term 18 "township or district road" means any road in the township 19 and district road system as defined in the Illinois Highway 20 Code. For the purposes of this Section, "road district" also 21 includes park districts, forest preserve districts and 22 conservation districts organized under Illinois law and 23 "township or district road" also includes such roads as are 24 maintained by park districts, forest preserve districts and 25 conservation districts. The Department of Transportation 26 shall determine the mileage of all township and district 27 roads for the purposes of making allotments and allocations 28 of motor fuel tax funds for use in road districts. 29 Payment of motor fuel tax moneys to municipalities and 30 counties shall be made as soon as possible after the 31 allotment is made. The treasurer of the municipality or 32 county may invest these funds until their use is required and 33 the interest earned by these investments shall be limited to 34 the same uses as the principal funds. SB1028 Engrossed -74- LRB9106061PTpk 1 (Source: P.A. 89-167, eff. 1-1-96; 89-445, eff. 2-7-96; 2 89-699, eff. 1-16-97; 90-110, eff. 7-14-97; 90-655, eff. 3 7-30-98; 90-659, eff. 1-1-99; 90-691, eff. 1-1-99; revised 4 9-16-98.) 5 Section 35. The Counties Code is amended by changing 6 Section 5-1035.1 as follows: 7 (55 ILCS 5/5-1035.1) (from Ch. 34, par. 5-1035.1) 8 Sec. 5-1035.1. County Motor Fuel Tax Law. The county 9 board of the counties of DuPage, Kane and McHenry may, by an 10 ordinance or resolution adopted by an affirmative vote of a 11 majority of the members elected or appointed to the county 12 board, impose a tax upon all persons engaged in the county in 13 the business of selling motor fuel, asnow or hereafter14 defined in the Motor Fuel Tax Law, at retail for the 15 operation of motor vehicles upon public highways or for the 16 operation of recreational watercraft upon waterways. Kane 17 County may exempt diesel fuel from the tax imposed pursuant 18 to this Section. The tax may be imposed, in half-cent 19 increments, at a rate not exceeding 4 cents per gallon of 20 motor fuel sold at retail within the county for the purpose 21 of use or consumption and not for the purpose of resale. The 22 proceeds from the tax shall be used by the county solely for 23 the purpose of operating, constructing and improving public 24 highways and waterways, and acquiring real property and 25 right-of-ways for public highways and waterways within the 26 county imposing the tax. 27 A tax imposed pursuant to this Section, and all civil 28 penalties that may be assessed as an incident thereof, shall 29 be administered, collected and enforced by the Illinois 30 Department of Revenue in the same manner as the tax imposed 31 under the Retailers' Occupation Tax Act, as now or hereafter 32 amended, insofar as may be practicable; except that in the SB1028 Engrossed -75- LRB9106061PTpk 1 event of a conflict with the provisions of this Section, this 2 Section shall control. The Department of Revenue shall have 3 full power: to administer and enforce this Section; to 4 collect all taxes and penalties due hereunder; to dispose of 5 taxes and penalties so collected in the manner hereinafter 6 provided; and to determine all rights to credit memoranda 7 arising on account of the erroneous payment of tax or penalty 8 hereunder. 9 Whenever the Department determines that a refund shall be 10 made under this Section to a claimant instead of issuing a 11 credit memorandum, the Department shall notify the State 12 Comptroller, who shall cause the order to be drawn for the 13 amount specified, and to the person named, in the 14 notification from the Department. The refund shall be paid by 15 the State Treasurer out of the County Option Motor Fuel Tax 16 Fund. 17 The Department shall forthwith pay over to the State 18 Treasurer, ex-officio, as trustee, all taxes and penalties 19 collected hereunder, which shall be deposited into the County 20 Option Motor Fuel Tax Fund, a special fund in the State 21 Treasury which is hereby created. On or before the 25th day 22 of each calendar month, the Department shall prepare and 23 certify to the State Comptroller the disbursement of stated 24 sums of money to named counties for which taxpayers have paid 25 taxes or penalties hereunder to the Department during the 26 second preceding calendar month. The amount to be paid to 27 each county shall be the amount (not including credit 28 memoranda) collected hereunder from retailers within the 29 county during the second preceding calendar month by the 30 Department, but not including an amount equal to the amount 31 of refunds made during the second preceding calendar month by 32 the Department on behalf of the county; less the amount 33 expended during the second preceding month by the Department 34 pursuant to appropriation from the County Option Motor Fuel SB1028 Engrossed -76- LRB9106061PTpk 1 Tax Fund for the administration and enforcement of this 2 Section, which appropriation shall not exceed $200,000 for 3 fiscal year 1990 and, for each year thereafter, shall not 4 exceed 2% of the amount deposited into the County Option 5 Motor Fuel Tax Fund during the preceding fiscal year. 6 Nothing in this Section shall be construed to authorize a 7 county to impose a tax upon the privilege of engaging in any 8 business which under the Constitution of the United States 9 may not be made the subject of taxation by this State. 10 An ordinance or resolution imposing a tax hereunder or 11 effecting a change in the rate thereof shall be effective on 12 the first day of the second calendar month next following the 13 month in which the ordinance or resolution is adopted and a 14 certified copy thereof is filed with the Department of 15 Revenue, whereupon the Department of Revenue shall proceed 16 to administer and enforce this Section on behalf of the 17 county as of the effective date of the ordinance or 18 resolution. Upon a change in rate of a tax levied hereunder, 19 or upon the discontinuance of the tax, the county board of 20 the county shall, on or not later than 5 days after the 21 effective date of the ordinance or resolution discontinuing 22 the tax or effecting a change in rate, transmit to the 23 Department of Revenue a certified copy of the ordinance or 24 resolution effecting the change or discontinuance. 25 This Section shall be known and may be cited as the 26 County Motor Fuel Tax Law. 27 (Source: P.A. 86-1028; 87-289.) 28 Section 40. The Illinois Municipal Code is amended by 29 changing Sections 8-11-1 and 8-11-15 as follows: 30 (65 ILCS 5/8-11-1) (from Ch. 24, par. 8-11-1) 31 Sec. 8-11-1. Home Rule Municipal Retailers' Occupation 32 Tax Act. The corporate authorities of a home rule SB1028 Engrossed -77- LRB9106061PTpk 1 municipality may impose a tax upon all persons engaged in the 2 business of selling tangible personal property, other than an 3 item of tangible personal property titled or registered with 4 an agency of this State's government, at retail in the 5 municipality on the gross receipts from these sales made in 6 the course of such business. If imposed, the tax shall only 7 be imposed in 1/4% increments. On and after September 1, 8 1991, this additional tax may not be imposed on the sales of 9 food for human consumption that is to be consumed off the 10 premises where it is sold (other than alcoholic beverages, 11 soft drinks and food that has been prepared for immediate 12 consumption) and prescription and nonprescription medicines, 13 drugs, medical appliances and insulin, urine testing 14 materials, syringes and needles used by diabetics. The tax 15 imposed by a home rule municipality under this Section and 16 all civil penalties that may be assessed as an incident of 17 the tax shall be collected and enforced by the State 18 Department of Revenue. The certificate of registration that 19 is issued by the Department to a retailer under the 20 Retailers' Occupation Tax Act shall permit the retailer to 21 engage in a business that is taxable under any ordinance or 22 resolution enacted pursuant to this Section without 23 registering separately with the Department under such 24 ordinance or resolution or under this Section. The 25 Department shall have full power to administer and enforce 26 this Section; to collect all taxes and penalties due under 27 this Sectionhereunder; to dispose of taxes and penalties so 28 collected in the manner hereinafter provided; and to 29 determine all rights to credit memoranda arising on account 30 of the erroneous payment of tax or penalty hereunder. In the 31 administration of, and compliance with, this Section the 32 Department and persons who are subject to this Section shall 33 have the same rights, remedies, privileges, immunities, 34 powers and duties, and be subject to the same conditions, SB1028 Engrossed -78- LRB9106061PTpk 1 restrictions, limitations, penalties and definitions of 2 terms, and employ the same modes of procedure, as are 3 prescribed in Sections 1, 1a, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 4 2 through 2-65 (in respect to all provisions therein other 5 than the State rate of tax), 2c, 3 (except as to the 6 disposition of taxes and penalties collected), 4, 5, 5a, 5b, 7 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 8 9, 10, 11, 12 and 13 of the Retailers' Occupation Tax Act and 9 Section 3-7 of the Uniform Penalty and Interest Act, as fully 10 as if those provisions were set forth herein. 11 No tax may be imposed by a home rule municipality under 12 this Section unless the municipality also imposes a tax at 13 the same rate under Section 8-11-5 of this Act. 14 Persons subject to any tax imposed under the authority 15 granted in this Section may reimburse themselves for their 16 seller's tax liability hereunder by separately stating that 17 tax as an additional charge, which charge may be stated in 18 combination, in a single amount, with State tax which sellers 19 are required to collect under the Use Tax Act, pursuant to 20 such bracket schedules as the Department may prescribe. 21 Whenever the Department determines that a refund should 22 be made under this Section to a claimant instead of issuing a 23 credit memorandum, the Department shall notify the State 24 Comptroller, who shall cause the order to be drawn for the 25 amount specified and to the person named in the notification 26 from the Department. The refund shall be paid by the State 27 Treasurer out of the home rule municipal retailers' 28 occupation tax fund. 29 The Department shall immediately pay over to the State 30 Treasurer, ex officio, as trustee, all taxes and penalties 31 collected hereunder. On or before the 25th day of each 32 calendar month, the Department shall prepare and certify to 33 the Comptroller the disbursement of stated sums of money to 34 named municipalities, the municipalities to be those from SB1028 Engrossed -79- LRB9106061PTpk 1 which retailers have paid taxes or penalties hereunder to the 2 Department during the second preceding calendar month. The 3 amount to be paid to each municipality shall be the amount 4 (not including credit memoranda) collected hereunder during 5 the second preceding calendar month by the Department plus an 6 amount the Department determines is necessary to offset any 7 amounts that were erroneously paid to a different taxing 8 body, and not including an amount equal to the amount of 9 refunds made during the second preceding calendar month by 10 the Department on behalf of such municipality, and not 11 including any amount that the Department determines is 12 necessary to offset any amounts that were payable to a 13 different taxing body but were erroneously paid to the 14 municipality. Within 10 days after receipt by the Comptroller 15 of the disbursement certification to the municipalities 16 provided for in this Section to be given to the Comptroller 17 by the Department, the Comptroller shall cause the orders to 18 be drawn for the respective amounts in accordance with the 19 directions contained in the certification. 20 In addition to the disbursement required by the preceding 21 paragraph and in order to mitigate delays caused by 22 distribution procedures, an allocation shall, if requested, 23 be made within 10 days after January 14, 1991, and in 24 November of 1991 and each year thereafter, to each 25 municipality that received more than $500,000 during the 26 preceding fiscal year, (July 1 through June 30) whether 27 collected by the municipality or disbursed by the Department 28 as required by this Section. Within 10 days after January 14, 29 1991, participating municipalities shall notify the 30 Department in writing of their intent to participate. In 31 addition, for the initial distribution, participating 32 municipalities shall certify to the Department the amounts 33 collected by the municipality for each month under its home 34 rule occupation and service occupation tax during the period SB1028 Engrossed -80- LRB9106061PTpk 1 July 1, 1989 through June 30, 1990. The allocation within 10 2 days after January 14, 1991, shall be in an amount equal to 3 the monthly average of these amounts, excluding the 2 months 4 of highest receipts. The monthly average for the period of 5 July 1, 1990 through June 30, 1991 will be determined as 6 follows: the amounts collected by the municipality under its 7 home rule occupation and service occupation tax during the 8 period of July 1, 1990 through September 30, 1990, plus 9 amounts collected by the Department and paid to such 10 municipality through June 30, 1991, excluding the 2 months of 11 highest receipts. The monthly average for each subsequent 12 period of July 1 through June 30 shall be an amount equal to 13 the monthly distribution made to each such municipality under 14 the preceding paragraph during this period, excluding the 2 15 months of highest receipts. The distribution made in 16 November 1991 and each year thereafter under this paragraph 17 and the preceding paragraph shall be reduced by the amount 18 allocated and disbursed under this paragraph in the preceding 19 period of July 1 through June 30. The Department shall 20 prepare and certify to the Comptroller for disbursement the 21 allocations made in accordance with this paragraph. 22 For the purpose of determining the local governmental 23 unit whose tax is applicable, a retail sale by a producer of 24 coal or other mineral mined in Illinois is a sale at retail 25 at the place where the coal or other mineral mined in 26 Illinois is extracted from the earth. This paragraph does 27 not apply to coal or other mineral when it is delivered or 28 shipped by the seller to the purchaser at a point outside 29 Illinois so that the sale is exempt under the United States 30 Constitution as a sale in interstate or foreign commerce. 31 Nothing in this Section shall be construed to authorize a 32 municipality to impose a tax upon the privilege of engaging 33 in any business which under the Constitution of the United 34 States may not be made the subject of taxation by this State. SB1028 Engrossed -81- LRB9106061PTpk 1 An ordinance or resolution imposing or discontinuing a 2 tax hereunder or effecting a change in the rate thereof shall 3 be adopted and a certified copy thereof filed with the 4 Department on or before the first day of June, whereupon the 5 Department shall proceed to administer and enforce this 6 Section as of the first day of September next following the 7 adoption and filing. Beginning January 1, 1992, an ordinance 8 or resolution imposing or discontinuing the tax hereunder or 9 effecting a change in the rate thereof shall be adopted and a 10 certified copy thereof filed with the Department on or before 11 the first day of July, whereupon the Department shall proceed 12 to administer and enforce this Section as of the first day of 13 October next following such adoption and filing. Beginning 14 January 1, 1993, an ordinance or resolution imposing or 15 discontinuing the tax hereunder or effecting a change in the 16 rate thereof shall be adopted and a certified copy thereof 17 filed with the Department on or before the first day of 18 October, whereupon the Department shall proceed to administer 19 and enforce this Section as of the first day of January next 20 following the adoption and filing. However, a municipality 21 located in a county with a population in excess of 3,000,000 22 that elected to become a home rule unit at the general 23 primary election in 1994 may adopt an ordinance or resolution 24 imposing the tax under this Section and file a certified copy 25 of the ordinance or resolution with the Department on or 26 before July 1, 1994. The Department shall then proceed to 27 administer and enforce this Section as of October 1, 1994. 28 Beginning April 1, 1998, an ordinance or resolution imposing 29 or discontinuing the tax hereunder or effecting a change in 30 the rate thereof shall either (i) be adopted and a certified 31 copy thereof filed with the Department on or before the first 32 day of April, whereupon the Department shall proceed to 33 administer and enforce this Section as of the first day of 34 July next following the adoption and filing; or (ii) be SB1028 Engrossed -82- LRB9106061PTpk 1 adopted and a certified copy thereof filed with the 2 Department on or before the first day of October, whereupon 3 the Department shall proceed to administer and enforce this 4 Section as of the first day of January next following the 5 adoption and filing. 6 When certifying the amount of a monthly disbursement to a 7 municipality under this Section, the Department shall 8 increase or decrease the amount by an amount necessary to 9 offset any misallocation of previous disbursements. The 10 offset amount shall be the amount erroneously disbursed 11 within the previous 6 months from the time a misallocation is 12 discovered. 13 Any unobligated balance remaining in the Municipal 14 Retailers' Occupation Tax Fund on December 31, 1989, which 15 fund was abolished by Public Act 85-1135, and all receipts of 16 municipal tax as a result of audits of liability periods 17 prior to January 1, 1990, shall be paid into the Local 18 Government Tax Fund for distribution as provided by this 19 Section prior to the enactment of Public Act 85-1135. All 20 receipts of municipal tax as a result of an assessment not 21 arising from an audit, for liability periods prior to January 22 1, 1990, shall be paid into the Local Government Tax Fund for 23 distribution before July 1, 1990, as provided by this Section 24 prior to the enactment of Public Act 85-1135; and on and 25 after July 1, 1990, all such receipts shall be distributed as 26 provided in Section 6z-18 of the State Finance Act. 27 As used in this Section, "municipal" and "municipality" 28 means a city, village or incorporated town, including an 29 incorporated town that has superseded a civil township. 30 This Section shall be known and may be cited as the Home 31 Rule Municipal Retailers' Occupation Tax Act. 32 (Source: P.A. 90-689, eff. 7-31-98.) 33 (65 ILCS 5/8-11-15) (from Ch. 24, par. 8-11-15) SB1028 Engrossed -83- LRB9106061PTpk 1 Sec. 8-11-15. Municipal motor fuel tax. 2 (a) The corporate authorities of a municipality of over 3 100,000 inhabitants may, upon approval of the electors of the 4 municipality pursuant to subsection (b), impose a tax of one 5 cent per gallon on motor fuel sold at retail within such 6 municipality. A tax imposed pursuant to this Section shall be 7 paid in addition to any other taxes on such motor fuel. 8 (b) The corporate authorities of the municipality may by 9 resolution call for the submission to the electors of the 10 municipality of the question of whether the municipality 11 shall impose such tax. Such question shall be certified by 12 the municipal clerk to the election authority in accordance 13 with Section 28-5 of The Election Code. The question shall be 14 in substantially the following form: 15 ------------------------------------------------------------- 16 Shall the city (village or 17 incorporated town) of ....... YES 18 impose a tax of one cent per ----------------------------- 19 gallon on motor fuel sold at NO 20 retail within its boundaries? 21 ------------------------------------------------------------- 22 If a majority of the electors in the municipality voting 23 upon the question vote in the affirmative, such tax shall be 24 imposed. 25 (c) The purchaser of the motor fuel shall be liable for 26 payment of a tax imposed pursuant to this Section. This 27 Section shall not be construed to impose a tax on the 28 occupation of persons engaged in the sale of motor fuel. 29 If a municipality imposes a tax on motor fuel pursuant to 30 this Section, it shall be the duty of any person engaged in 31 the retail sale of motor fuel within such municipality to 32 collect such tax from the purchaser at the same time he 33 collects the purchase price of the motor fuel and to pay over 34 such tax to the municipality as prescribed by the ordinance SB1028 Engrossed -84- LRB9106061PTpk 1 of the municipality imposing such tax. 2 (d) For purposes of this Section, "motor fuel" shall 3 have the same meaning as provided in the "Motor Fuel Tax 4 Law". 5 (Source: P.A. 84-1099.) 6 Section 45. The Regional Transportation Authority Act is 7 amended by changing Sections 4.03, 4.03.1, 4.04, 4.09, and 8 4.12 as follows: 9 (70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03) 10 Sec. 4.03. Taxes. 11 (a)In orderTo carry out any of the powers or purposes 12 of the Authority, the Board may by ordinance adopted with the 13 concurrence of 9 of the then Directors, impose throughout the 14 metropolitan region any or all of the taxes provided in this 15 Section. Except as otherwise provided in this Act, taxes 16 imposed under this Section and civil penalties imposed 17 incident thereto shall be collected and enforced by the State 18 Department of Revenue. The Department shall have the power to 19 administer and enforce the taxes and to determine all rights 20 for refunds for erroneous payments of the taxes. 21 (b) The Board may impose a public transportation tax 22 upon all persons engaged in the metropolitan region in the 23 business of selling at retail motor fuel for operation of 24 motor vehicles upon public highways. The tax shall be at a 25 rate not to exceed 5% of the gross receipts from the sales of 26 motor fuel in the course of the business. As used in this 27 Act, the term "motor fuel" shall have the same meaning as in 28 the Motor Fuel Tax Act. The Board may provide for details of 29 the tax. The provisions of any tax shall conform, as closely 30 as may be practicable, to the provisions of the Municipal 31 Retailers Occupation Tax Act, including without limitation, 32 conformity to penalties with respect to the tax imposed and SB1028 Engrossed -85- LRB9106061PTpk 1 as to the powers of the State Department of Revenue to 2 promulgate and enforce rules and regulations relating to the 3 administration and enforcement of the provisions of the tax 4 imposed, except that reference in the Act to any municipality 5 shall refer to the Authority and the tax shall be imposed 6 only with regard to receipts from sales of motor fuel in the 7 metropolitan region, at rates as limited by this Section. 8 (c) In connection with the tax imposed under paragraph 9 (b) of this Section the Board may impose a tax upon the 10 privilege of using in the metropolitan region motor fuel for 11 the operation of a motor vehicle upon public highways, the 12 tax to be at a rate not in excess of the rate of tax imposed 13 under paragraph (b) of this Section. The Board may provide 14 for details of the tax. 15 (d) The Board may impose a motor vehicle parking tax 16 upon the privilege of parking motor vehicles at off-street 17 parking facilities in the metropolitan region at which a fee 18 is charged, and may provide for reasonable classifications in 19 and exemptions to the tax, for administration and enforcement 20 thereof and for civil penalties and refunds thereunder and 21 may provide criminal penalties thereunder, the maximum 22 penalties not to exceed the maximum criminal penalties 23 provided in the Retailers' Occupation Tax Act. The Authority 24 may collect and enforce the tax itself or by contract with 25 any unit of local government. The State Department of 26 Revenue shall have no responsibility for the collection and 27 enforcement unless the Department agrees with the Authority 28 to undertake the collection and enforcement. As used in this 29 paragraph, the term "parking facility" means a parking area 30 or structure having parking spaces for more than 2 vehicles 31 at which motor vehicles are permitted to park in return for 32 an hourly, daily, or other periodic fee, whether publicly or 33 privately owned, but does not include parking spaces on a 34 public street, the use of which is regulated by parking SB1028 Engrossed -86- LRB9106061PTpk 1 meters. 2 (e) The Board may impose a Regional Transportation 3 Authority Retailers' Occupation Tax upon all persons engaged 4 in the business of selling tangible personal property at 5 retail in the metropolitan region. In Cook County the tax 6 rate shall be 1% of the gross receipts from sales of food for 7 human consumption that is to be consumed off the premises 8 where it is sold (other than alcoholic beverages, soft drinks 9 and food that has been prepared for immediate consumption) 10 and prescription and nonprescription medicines, drugs, 11 medical appliances and insulin, urine testing materials, 12 syringes and needles used by diabetics, and 3/4% of the gross 13 receipts from other taxable sales made in the course of that 14 business. In DuPage, Kane, Lake, McHenry, and Will Counties, 15 the tax rate shall be 1/4% of the gross receipts from all 16 taxable sales made in the course of that business. The tax 17 imposed under this Section and all civil penalties that may 18 be assessed as an incident thereof shall be collected and 19 enforced by the State Department of Revenue. The Department 20 shall have full power to administer and enforce this Section; 21 to collect all taxes and penalties so collected in the manner 22 hereinafter provided; and to determine all rights to credit 23 memoranda arising on account of the erroneous payment of tax 24 or penalty hereunder. In the administration of, and 25 compliance with this Section, the Department and persons who 26 are subject to this Section shall have the same rights, 27 remedies, privileges, immunities, powers and duties, and be 28 subject to the same conditions, restrictions, limitations, 29 penalties, exclusions, exemptions and definitions of terms, 30 and employ the same modes of procedure, as are prescribed in 31 Sections 1, 1a, 1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 32 (in respect to all provisions therein other than the State 33 rate of tax), 2c, 3 (except as to the disposition of taxes 34 and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, SB1028 Engrossed -87- LRB9106061PTpk 1 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12 and 13 2 of the Retailers' Occupation Tax Act and Section 3-7 of the 3 Uniform Penalty and Interest Act, as fully as if those 4 provisions were set forth herein. 5 Persons subject to any tax imposed under the authority 6 granted in this Section may reimburse themselves for their 7 seller's tax liability hereunder by separately stating the 8 tax as an additional charge, which charge may be stated in 9 combination in a single amount with State taxes that sellers 10 are required to collect under the Use Tax Act, under any 11 bracket schedules the Department may prescribe. 12 Whenever the Department determines that a refund should 13 be made under this Section to a claimant instead of issuing a 14 credit memorandum, the Department shall notify the State 15 Comptroller, who shall cause the warrant to be drawn for the 16 amount specified, and to the person named, in the 17 notification from the Department. The refund shall be paid 18 by the State Treasurer out of the Regional Transportation 19 Authority tax fund established under paragraph (n) of this 20 Section. 21 If a tax is imposed under this subsection (e), a tax 22 shall also be imposed under subsections (f) and (g) of this 23 Section. 24 For the purpose of determining whether a tax authorized 25 under this Section is applicable, a retail sale by a producer 26 of coal or other mineral mined in Illinois, is a sale at 27 retail at the place where the coal or other mineral mined in 28 Illinois is extracted from the earth. This paragraph does not 29 apply to coal or other mineral when it is delivered or 30 shipped by the seller to the purchaser at a point outside 31 Illinois so that the sale is exempt under the Federal 32 Constitution as a sale in interstate or foreign commerce. 33 Nothing in this Section shall be construed to authorize 34 the Regional Transportation Authority to impose a tax upon SB1028 Engrossed -88- LRB9106061PTpk 1 the privilege of engaging in any business that under the 2 Constitution of the United States may not be made the subject 3 of taxation by this State. 4 (f) If a tax has been imposed under paragraph (e), a tax 5 shall also be imposed upon all persons engaged, in the 6 metropolitan region in the business of making sales of 7 service, who as an incident to making the sales of service, 8 transfer tangible personal property within the metropolitan 9 region, either in the form of tangible personal property or 10 in the form of real estate as an incident to a sale of 11 service. In Cook County, the tax rate shall be: (1) 1% of 12 the serviceman's cost price of food prepared for immediate 13 consumption and transferred incident to a sale of service 14 subject to the service occupation tax by an entity licensed 15 under the Hospital Licensing Act or the Nursing Home Care Act 16 that is located in the metropolitan region; (2) 1% of the 17 selling price of food for human consumption that is to be 18 consumed off the premises where it is sold (other than 19 alcoholic beverages, soft drinks and food that has been 20 prepared for immediate consumption) and prescription and 21 nonprescription medicines, drugs, medical appliances and 22 insulin, urine testing materials, syringes and needles used 23 by diabetics; and (3) 3/4% of the selling price from other 24 taxable sales of tangible personal property transferred. In 25 DuPage, Kane, Lake, McHenry and Will Counties the rate shall 26 be 1/4% of the selling price of all tangible personal 27 property transferred. 28 The tax imposed under this paragraph and all civil 29 penalties that may be assessed as an incident thereof shall 30 be collected and enforced by the State Department of Revenue. 31 The Department shall have full power to administer and 32 enforce this paragraph; to collect all taxes and penalties 33 due hereunder; to dispose of taxes and penalties collected in 34 the manner hereinafter provided; and to determine all rights SB1028 Engrossed -89- LRB9106061PTpk 1 to credit memoranda arising on account of the erroneous 2 payment of tax or penalty hereunder. In the administration 3 of and compliance with this paragraph, the Department and 4 persons who are subject to this paragraph shall have the same 5 rights, remedies, privileges, immunities, powers and duties, 6 and be subject to the same conditions, restrictions, 7 limitations, penalties, exclusions, exemptions and 8 definitions of terms, and employ the same modes of procedure, 9 as are prescribed in Sections 1a-1, 2, 2a, 3 through 3-50 (in 10 respect to all provisions therein other than the State rate 11 of tax), 4 (except that the reference to the State shall be 12 to the Authority), 5, 7, 8 (except that the jurisdiction to 13 which the tax shall be a debt to the extent indicated in that 14 Section 8 shall be the Authority), 9 (except as to the 15 disposition of taxes and penalties collected, and except that 16 the returned merchandise credit for this tax may not be taken 17 against any State tax), 10, 11, 12 (except the reference 18 therein to Section 2b of the Retailers' Occupation Tax Act), 19 13 (except that any reference to the State shall mean the 20 Authority), the first paragraph of Section 15, 16, 17, 18, 19 21 and 20 of the Service Occupation Tax Act and Section 3-7 of 22 the Uniform Penalty and Interest Act, as fully as if those 23 provisions were set forth herein. 24 Persons subject to any tax imposed under the authority 25 granted in this paragraph may reimburse themselves for their 26 serviceman's tax liability hereunder by separately stating 27 the tax as an additional charge, that charge may be stated in 28 combination in a single amount with State tax that servicemen 29 are authorized to collect under the Service Use Tax Act, 30 under any bracket schedules the Department may prescribe. 31 Whenever the Department determines that a refund should 32 be made under this paragraph to a claimant instead of issuing 33 a credit memorandum, the Department shall notify the State 34 Comptroller, who shall cause the warrant to be drawn for the SB1028 Engrossed -90- LRB9106061PTpk 1 amount specified, and to the person named in the notification 2 from the Department. The refund shall be paid by the State 3 Treasurer out of the Regional Transportation Authority tax 4 fund established under paragraph (n) of this Section. 5 Nothing in this paragraph shall be construed to authorize 6 the Authority to impose a tax upon the privilege of engaging 7 in any business that under the Constitution of the United 8 States may not be made the subject of taxation by the State. 9 (g) If a tax has been imposed under paragraph (e), a tax 10 shall also be imposed upon the privilege of using in the 11 metropolitan region, any item of tangible personal property 12 that is purchased outside the metropolitan region at retail 13 from a retailer, and that is titled or registered with an 14 agency of this State's government. In Cook County the tax 15 rate shall be 3/4% of the selling price of the tangible 16 personal property, as "selling price" is defined in the Use 17 Tax Act. In DuPage, Kane, Lake, McHenry and Will counties 18 the tax rate shall be 1/4% of the selling price of the 19 tangible personal property, as "selling price" is defined in 20 the Use Tax Act. The tax shall be collected from persons 21 whose Illinois address for titling or registration purposes 22 is given as being in the metropolitan region. The tax shall 23 be collected by the Department of Revenue for the Regional 24 Transportation Authority. The tax must be paid to the State, 25 or an exemption determination must be obtained from the 26 Department of Revenue, before the title or certificate of 27 registration for the property may be issued. The tax or proof 28 of exemption may be transmitted to the Department by way of 29 the State agency with which, or the State officer with whom, 30 the tangible personal property must be titled or registered 31 if the Department and the State agency or State officer 32 determine that this procedure will expedite the processing of 33 applications for title or registration. 34 The Department shall have full power to administer and SB1028 Engrossed -91- LRB9106061PTpk 1 enforce this paragraph; to collect all taxes, penalties and 2 interest due hereunder; to dispose of taxes, penalties and 3 interest collected in the manner hereinafter provided; and to 4 determine all rights to credit memoranda or refunds arising 5 on account of the erroneous payment of tax, penalty or 6 interest hereunder. In the administration of and compliance 7 with this paragraph, the Department and persons who are 8 subject to this paragraph shall have the same rights, 9 remedies, privileges, immunities, powers and duties, and be 10 subject to the same conditions, restrictions, limitations, 11 penalties, exclusions, exemptions and definitions of terms 12 and employ the same modes of procedure, as are prescribed in 13 Sections 2 (except the definition of "retailer maintaining a 14 place of business in this State"), 3 through 3-80 (except 15 provisions pertaining to the State rate of tax, and except 16 provisions concerning collection or refunding of the tax by 17 retailers), 4, 11, 12, 12a, 14, 15, 19 (except the portions 18 pertaining to claims by retailers and except the last 19 paragraph concerning refunds), 20, 21 and 22 of the Use Tax 20 Act, and are not inconsistent with this paragraph, as fully 21 as if those provisions were set forth herein. 22 Whenever the Department determines that a refund should 23 be made under this paragraph to a claimant instead of issuing 24 a credit memorandum, the Department shall notify the State 25 Comptroller, who shall cause the order to be drawn for the 26 amount specified, and to the person named in the notification 27 from the Department. The refund shall be paid by the State 28 Treasurer out of the Regional Transportation Authority tax 29 fund established under paragraph (n) of this Section. 30 (h) The Authority may impose a replacement vehicle tax 31 of $50 on any passenger car as defined in Section 1-157 of 32 the Illinois Vehicle Code purchased within the metropolitan 33 region by or on behalf of an insurance company to replace a 34 passenger car of an insured person in settlement of a total SB1028 Engrossed -92- LRB9106061PTpk 1 loss claim. The tax imposed may not become effective before 2 the first day of the month following the passage of the 3 ordinance imposing the tax and receipt of a certified copy of 4 the ordinance by the Department of Revenue. The Department 5 of Revenue shall collect the tax for the Authority in 6 accordance with Sections 3-2002 and 3-2003 of the Illinois 7 Vehicle Code. 8 The Department shall immediately pay over to the State 9 Treasurer, ex officio, as trustee, all taxes collected 10 hereunder. On or before the 25th day of each calendar month, 11 the Department shall prepare and certify to the Comptroller 12 the disbursement of stated sums of money to the Authority. 13 The amount to be paid to the Authority shall be the amount 14 collected hereunder during the second preceding calendar 15 month by the Department, less any amount determined by the 16 Department to be necessary for the payment of refunds. 17 Within 10 days after receipt by the Comptroller of the 18 disbursement certification to the Authority provided for in 19 this Section to be given to the Comptroller by the 20 Department, the Comptroller shall cause the orders to be 21 drawn for that amount in accordance with the directions 22 contained in the certification. 23 (i) The Board may not impose any other taxes except as 24 it may from time to time be authorized by law to impose. 25 (j) A certificate of registration issued by the State 26 Department of Revenue to a retailer under the Retailers' 27 Occupation Tax Act or under the Service Occupation Tax Act 28 shall permit the registrant to engage in a business that is 29 taxed under the tax imposed under paragraphs (b), (e), (f) or 30 (g) of this Section and no additional registration shall be 31 required under the tax. A certificate issued under the Use 32 Tax Act or the Service Use Tax Act shall be applicable with 33 regard to any tax imposed under paragraph (c) of this 34 Section. SB1028 Engrossed -93- LRB9106061PTpk 1 (k) The provisions of any tax imposed under paragraph 2 (c) of this Section shall conform as closely as may be 3 practicable to the provisions of the Use Tax Act, including 4 without limitation conformity as to penalties with respect to 5 the tax imposed and as to the powers of the State Department 6 of Revenue to promulgate and enforce rules and regulations 7 relating to the administration and enforcement of the 8 provisions of the tax imposed. The taxes shall be imposed 9 only on use within the metropolitan region and at rates as 10 provided in the paragraph. 11 (l) The Board in imposing any tax as provided in 12 paragraphs (b) and (c) of this Section, shall, after seeking 13 the advice of the State Department of Revenue, provide means 14 for retailers, users or purchasers of motor fuel for purposes 15 other than those with regard to which the taxes may be 16 imposed as provided in those paragraphs to receive refunds of 17 taxes improperly paid, which provisions may be at variance 18 with the refund provisions as applicable under the Municipal 19 Retailers Occupation Tax Act. The State Department of 20 Revenue may provide for certificates of registration for 21 users or purchasers of motor fuel for purposes other than 22 those with regard to which taxes may be imposed as provided 23 in paragraphs (b) and (c) of this Section to facilitate the 24 reporting and nontaxability of the exempt sales or uses. 25 (m) Any ordinance imposing or discontinuing any tax 26 under this Section shall be adopted and a certified copy 27 thereof filed with the Department on or before June 1, 28 whereupon the Department of Revenue shall proceed to 29 administer and enforce this Section on behalf of the Regional 30 Transportation Authority as of September 1 next following 31 such adoption and filing. Beginning January 1, 1992, an 32 ordinance or resolution imposing or discontinuing the tax 33 hereunder shall be adopted and a certified copy thereof filed 34 with the Department on or before the first day of July, SB1028 Engrossed -94- LRB9106061PTpk 1 whereupon the Department shall proceed to administer and 2 enforce this Section as of the first day of October next 3 following such adoption and filing. Beginning January 1, 4 1993, an ordinance or resolution imposing or discontinuing 5 the tax hereunder shall be adopted and a certified copy 6 thereof filed with the Department on or before the first day 7 of October, whereupon the Department shall proceed to 8 administer and enforce this Section as of the first day of 9 January next following such adoption and filing. 10 (n) The State Department of Revenue shall, upon 11 collecting any taxes as provided in this Section, pay the 12 taxes over to the State Treasurer as trustee for the 13 Authority. The taxes shall be held in a trust fund outside 14 the State Treasury. On or before the 25th day of each 15 calendar month, the State Department of Revenue shall prepare 16 and certify to the Comptroller of the State of Illinois the 17 amount to be paid to the Authority, which shall be the then 18 balance in the fund, less any amount determined by the 19 Department to be necessary for the payment of refunds. The 20 State Department of Revenue shall also certify to the 21 Authority the amount of taxes collected in each County other 22 than Cook County in the metropolitan region less the amount 23 necessary for the payment of refunds to taxpayers in the 24 County. With regard to the County of Cook, the certification 25 shall specify the amount of taxes collected within the City 26 of Chicago less the amount necessary for the payment of 27 refunds to taxpayers in the City of Chicago and the amount 28 collected in that portion of Cook County outside of Chicago 29 less the amount necessary for the payment of refunds to 30 taxpayers in that portion of Cook County outside of Chicago. 31 Within 10 days after receipt by the Comptroller of the 32 certification of the amount to be paid to the Authority, the 33 Comptroller shall cause an order to be drawn for the payment 34 for the amount in accordance with the direction in the SB1028 Engrossed -95- LRB9106061PTpk 1 certification. 2 In addition to the disbursement required by the preceding 3 paragraph, an allocation shall be made in July 1991 and each 4 year thereafter to the Regional Transportation Authority. 5 The allocation shall be made in an amount equal to the 6 average monthly distribution during the preceding calendar 7 year (excluding the 2 months of lowest receipts) and the 8 allocation shall include the amount of average monthly 9 distribution from the Regional Transportation Authority 10 Occupation and Use Tax Replacement Fund. The distribution 11 made in July 1992 and each year thereafter under this 12 paragraph and the preceding paragraph shall be reduced by the 13 amount allocated and disbursed under this paragraph in the 14 preceding calendar year. The Department of Revenue shall 15 prepare and certify to the Comptroller for disbursement the 16 allocations made in accordance with this paragraph. 17 (o) Failure to adopt a budget ordinance or otherwise to 18 comply with Section 4.01 of this Act or to adopt a Five-year 19 Program or otherwise to comply with paragraph (b) of Section 20 2.01 of this Act shall not affect the validity of any tax 21 imposed by the Authority otherwise in conformity with law. 22 (p) At no time shall a public transportation tax or 23 motor vehicle parking tax authorized under paragraphs (b), 24 (c) and (d) of this Section be in effect at the same time as 25 any retailers' occupation, use or service occupation tax 26 authorized under paragraphs (e), (f) and (g) of this Section 27 is in effect. 28 Any taxes imposed under the authority provided in 29 paragraphs (b), (c) and (d) shall remain in effect only until 30 the time as any tax authorized by paragraphs (e), (f) or (g) 31 of this Section are imposed and becomes effective. Once any 32 tax authorized by paragraphs (e), (f) or (g) is imposed the 33 Board may not reimpose taxes as authorized in paragraphs (b), 34 (c) and (d) of the Section unless any tax authorized by SB1028 Engrossed -96- LRB9106061PTpk 1 paragraphs (e), (f) or (g) of this Section becomes 2 ineffective by means other than an ordinance of the Board. 3 (q) Any existing rights, remedies and obligations 4 (including enforcement by the Regional Transportation 5 Authority) arising under any tax imposed under paragraphs 6 (b), (c) or (d) of this Section shall not be affected by the 7 imposition of a tax under paragraphs (e), (f) or (g) of this 8 Section. 9 (Source: P.A. 86-928; 86-1475; 86-1481; 87-205; 87-435; 10 87-876; 87-895.) 11 (70 ILCS 3615/4.03.1) (from Ch. 111 2/3, par. 704.03.1) 12 Sec. 4.03.1. Automobile renting occupation and use tax. 13 (a) The Board may impose a tax upon all persons engaged 14 in the business of renting automobiles in the metropolitan 15 region at the rate of not to exceed 1% of the gross receipts 16 from such business within Cook County and not to exceed 1/4% 17 of the gross receipts from such business within the Counties 18 of DuPage, Kane, Lake, McHenry and Will. The tax imposed 19 pursuant to this paragraph and all civil penalties that may 20 be assessed as an incident thereof shall be collected and 21 enforced by the State Department of Revenue. The certificate 22 of registration which is issued by the Department to a 23 retailer under the"Retailers' Occupation Tax Act", approved24June 23, 1933, as amended,or under the"Automobile Renting 25 Occupation and Use Tax Act", enacted by the Eighty-Second26General Assembly,shall permit such person to engage in a 27 business which is taxable under any ordinance or resolution 28 enacted pursuant to this paragraph without registering 29 separately with the Department under such ordinance or 30 resolution or under this paragraph. The Department shall have 31 full power to administer and enforce this paragraph; to 32 collect all taxes and penalties due hereunder; to dispose of 33 taxes and penalties so collected in the manner hereinafter SB1028 Engrossed -97- LRB9106061PTpk 1 provided, and to determine all rights to credit memoranda, 2 arising on account of the erroneous payment of tax or penalty 3 hereunder. In the administration of, and compliance with, 4 this paragraph, the Department and persons who are subject to 5 this paragraph shall have the same rights, remedies, 6 privileges, immunities, powers and duties, and be subject to 7 the same conditions, restrictions, limitations, penalties and 8 definitions of terms, and employ the same modes of procedure, 9 as are prescribed in Sections 2 and 3 (in respect to all 10 provisions therein other than the State rate of tax; and with 11 relation to the provisions of the"Retailers' Occupation Tax"12referred to therein, except as to the disposition of taxes 13 and penalties collected, and except for the provision 14 allowing retailers a deduction from the tax cover certain 15 costs, and except that credit memoranda issued hereunder may 16 not be used to discharge any State tax liability) of the 17"Automobile Renting Occupation and Use Tax Act", enacted by18the Eighty-Second General Assembly, as the same are now or19may hereafter be amended,as fully as if provisions contained 20 in those Sections of said Act were set forth herein. Persons 21 subject to any tax imposed pursuant to the authority granted 22 in this paragraph may reimburse themselves for their tax 23 liability hereunder by separately stating such tax as an 24 additional charge, which charge may be stated in combination, 25 in a single amount, with State tax which sellers are required 26 to collect under the"Automobile Renting Occupation and Use 27 Tax Act"pursuant to such bracket schedules as the Department 28 may prescribe. Nothing in this paragraph shall be construed 29 to authorize the Authority to impose a tax upon the privilege 30 of engaging in any business which under the Constitution of 31 the United StatesStatemay not be made the subject of 32 taxation by this State. 33 (b) The Board may impose a tax upon the privilege of 34 using, in the metropolitan region an automobile which is SB1028 Engrossed -98- LRB9106061PTpk 1 rented from a renter outside Illinois, and which is titled or 2 registered with an agency of this State's government, at a 3 rate not to exceed 1% of the rental price of such automobile 4 within the County of Cook, and not to exceed 1/4% of the 5 rental price within the counties of DuPage, Kane, Lake, 6 McHenry and Will. Such tax shall be collected from persons 7 whose Illinois address for titling or registration purposes 8 is given as being in the metropolitan region. Such tax shall 9 be collected by the Department of Revenue for the Regional 10 Transportation Authority. Such tax must be paid to the State, 11 or an exemption determination must be obtained from the 12 Department of Revenue, before the title or certificate of 13 registration for the property may be issued. The tax or proof 14 of exemption may be transmitted to the Department by way of 15 the State agency with which, or State officer with whom, the 16 tangible personal property must be titled or registered if 17 the Department and such agency or State officer determine 18 that this procedure will expedite the processing of 19 applications for title or registration. The Department shall 20 have full power to administer and enforce this paragraph; to 21 collect all taxes, penalties and interest due hereunder; to 22 dispose of taxes, penalties and interest so collected in the 23 manner hereinafter provided, and to determine all rights to 24 credit memoranda or refunds arising on account of the 25 erroneous payment of tax, penalty or interest hereunder. In 26 the administration of, and compliance with, this paragraph, 27 the Department and persons who are subject to this paragraph 28 shall have the same rights, remedies, privileges, immunities, 29 powers and duties, and be subject to the same conditions, 30 restrictions, limitations, penalties and definitions of 31 terms, and employ the same modes of procedure, as are 32 prescribed in Sections 2 and 4 (except provisions pertaining 33 to the State rate of tax; and with relation to the provisions 34 of the"Use Tax Act"referred to therein, except provisions SB1028 Engrossed -99- LRB9106061PTpk 1 concerning collection or refunding of the tax by retailers, 2 and except the provisions of Section 19 pertaining to claims 3 by retailers and except the last paragraph concerning 4 refunds, and except that credit memoranda issued hereunder 5 may not be used to discharge any State tax liability) of the 6"Automobile Renting Occupation and Use Tax Act", enacted by7the Eighty-Second General Assembly, as the same are now or8may hereafter be amended,which are not inconsistent with 9 this paragraph, as fully as if provisions contained in those 10 Sections of said Act were set forth herein. 11 (c) Whenever the Department determines that a refund 12 should be made under this Section to a claimant instead of 13 issuing a credit memorandum, the Department shall notify the 14 State Comptroller, who shall cause the order to be drawn for 15 the amount specified, and to the person named, in such 16 notification from the Department. Such refund shall be paid 17 by the State Treasurer out of the Regional Transportation 18 Authority tax fund created pursuant to Section 4.03 of this 19 Act. 20 (d) The Department shall forthwith pay over to the State 21 Treasurer, ex-officio, as trustee, all taxes, penalties and 22 interest collected under this Section. On or before the 25th 23 day of each calendar month, the Department shall prepare and 24 certify to the State Comptroller the amount to be paid to the 25 Authority. The State Department of Revenue shall also certify 26 to the Authority the amount of taxes collected in each County 27 other than Cook County in the metropolitan region less the 28 amount necessary for the payment of refunds to taxpayers in 29 such County. With regard to the County of Cook, the 30 certification shall specify the amount of taxes collected 31 within the City of Chicago less the amount necessary for the 32 payment of refunds to taxpayers in the City of Chicago and 33 the amount collected in that portion of Cook County outside 34 of Chicago less the amount necessary for the payment of SB1028 Engrossed -100- LRB9106061PTpk 1 refunds to taxpayers in that portion of Cook County outside 2 of Chicago. The amount to be paid to the Authority shall be 3 the amount (not including credit memoranda) collected 4 hereunder during the second preceding calendar month by the 5 Department, and not including an amount equal to the amount 6 of refunds made during the second preceding calendar month 7 by the Department on behalf of the Authority. Within 10 days 8 after receipt, by the State Comptroller, of the disbursement 9 certification to the Authority, the State Comptroller shall 10 cause the orders to be drawn in accordance with the 11 directions contained in such certification. 12 (e) An ordinance imposing a tax hereunder or effecting a 13 change in the rate thereof shall be effective on the first 14 day of the calendar month next following the month in which 15 such ordinance is passed. The Board shall transmit to the 16 Department of Revenue on or not later than 5 days after 17 passage of the ordinance a certified copy of the ordinance 18 imposing such tax whereupon the Department of Revenue shall 19 proceed to administer and enforce this Section on behalf of 20 the Authority as of the effective date of the ordinance. Upon 21 a change in rate of a tax levied hereunder, or upon the 22 discontinuance of the tax, the Board shall, on or not later 23 than 5 days after passage of the ordinance discontinuing the 24 tax or effecting a change in rate, transmit to the Department 25 of Revenue a certified copy of the ordinance effecting such 26 change or discontinuance. 27 (Source: P.A. 83-886; revised 10-31-98.) 28 (70 ILCS 3615/4.04) (from Ch. 111 2/3, par. 704.04) 29 Sec. 4.04. Issuance and Pledge of Bonds and Notes. 30 (a) The Authority shall have the continuing power to 31 borrow money and to issue its negotiable bonds or notes as 32 provided in this Section. Unless otherwise indicated in this 33 Section, the term "notes" also includes bond anticipation SB1028 Engrossed -101- LRB9106061PTpk 1 notes, which are notes thatwhichby their terms provide for 2 their payment from the proceeds of bonds thereafter to be 3 issued. Bonds or notes of the Authority may be issued for any 4 or all of the following purposes: to pay costs to the 5 Authority or a Service Board of constructing or acquiring any 6 public transportation facilities (including funds and rights 7 relating thereto, as provided in Section 2.05 of this Act); 8 to repay advances to the Authority or a Service Board made 9 for such purposes; to pay other expenses of the Authority or 10 a Service Board incident to or incurred in connection with 11 such construction or acquisition; to provide funds for any 12 transportation agency to pay principal of or interest or 13 redemption premium on any bonds or notes, whether as such 14 amounts become due or by earlier redemption, issued prior to 15 the date of this amendatory Act by such transportation agency 16 to construct or acquire public transportation facilities or 17 to provide funds to purchase such bonds or notes; and to 18 provide funds for any transportation agency to construct or 19 acquire any public transportation facilities, to repay 20 advances made for such purposes, and to pay other expenses 21 incident to or incurred in connection with such construction 22 or acquisition; and to provide funds for payment of 23 obligations, including the funding of reserves, under any 24 self-insurance plan or joint self-insurance pool or entity. 25 In addition to any other borrowing as may be authorized by 26 this Section, the Authority may issue its notes, from time to 27 time, in anticipation of tax receipts of the Authority or of 28 other revenues or receipts of the Authority, in order to 29 provide money for the Authority or the Service Boards to 30 cover any cash flow deficit which the Authority or a Service 31 Board anticipates incurring. Any such notes are referred to 32 in this Section as "Working Cash Notes". No Working Cash 33 Notes shall be issued for a term of longer than 18 months. 34 Proceeds of Working Cash Notes may be used to pay day to day SB1028 Engrossed -102- LRB9106061PTpk 1 operating expenses of the Authority or the Service Boards, 2 consisting of wages, salaries and fringe benefits, 3 professional and technical services (including legal, audit, 4 engineering and other consulting services), office rental, 5 furniture, fixtures and equipment, insurance premiums, claims 6 for self-insured amounts under insurance policies, public 7 utility obligations for telephone, light, heat and similar 8 items, travel expenses, office supplies, postage, dues, 9 subscriptions, public hearings and information expenses, fuel 10 purchases, and payments of grants and payments under purchase 11 of service agreements for operations of transportation 12 agencies, prior to the receipt by the Authority or a Service 13 Board from time to time of funds for paying such expenses. 14 In addition to any Working Cash Notes that the Board of the 15 Authority may determine to issue, the Suburban Bus Board, the 16 Commuter Rail Board or the Board of the Chicago Transit 17 Authority may demand and direct that the Authority issue its 18 Working Cash Notes in such amounts and having such maturities 19 as the Service Board may determine. Notwithstanding any 20 other provision of this Act, any amounts necessary to pay 21 principal of and interest on any Working Cash Notes issued at 22 the demand and direction of a Service Board or any Working 23 Cash Notes the proceeds of which were used for the direct 24 benefit of a Service Board or any other Bonds or Notes of the 25 Authority the proceeds of which were used for the direct 26 benefit of a Service Board shall constitute a reduction of 27 the amount of the proceeds of any tax imposed by the 28 Authority under Sections 4.03 and 4.03.1 or any other funds 29 provided by the Authority to a Service Board. The Authority 30 shall, after deducting any costs of issuance, tender the net 31 proceeds of any Working Cash Notes issued at the demand and 32 direction of a Service Board to such Service Board as soon as 33 may be practicable after the proceeds are received. The 34 Authority may also issue notes or bonds to pay, refund or SB1028 Engrossed -103- LRB9106061PTpk 1 redeem any of its notes and bonds, including to pay 2 redemption premiums or accrued interest on such bonds or 3 notes being renewed, paid or refunded, and other costs in 4 connection therewith. The Authority may also utilize the 5 proceeds of any such bonds or notes to pay the legal, 6 financial, administrative and other expenses of such 7 authorization, issuance, sale or delivery of bonds or notes 8 or to provide or increase a debt service reserve fund with 9 respect to any or all of its bonds or notes. The Authority 10 may also issue and deliver its bonds or notes in exchange for 11 any public transportation facilities, (including funds and 12 rights relating thereto, as provided in Section 2.05 of this 13 Act) or in exchange for outstanding bonds or notes of the 14 Authority, including any accrued interest or redemption 15 premium thereon, without advertising or submitting such notes 16 or bonds for public bidding. 17 (b) The ordinance providing for the issuance of any such 18 bonds or notes shall fix the date or dates of maturity, the 19 dates on which interest is payable, any sinking fund account 20 or reserve fund account provisions and all other details of 21 such bonds or notes and may provide for such covenants or 22 agreements necessary or desirable with regard to the issue, 23 sale and security of such bonds or notes. The rate or rates 24 of interest on its bonds or notes may be fixed or variable 25 and the Authority shall determine or provide for the 26 determination of the rate or rates of interest of its bonds 27 or notes issued under this Act in an ordinance adopted by the 28 Authority prior to the issuance thereof, none of which rates 29 of interest shall exceed that permitted in "An Act to 30 authorize public corporations to issue bonds, other evidences 31 of indebtedness and tax anticipation warrants subject to 32 interest rate limitations set forth therein", approved May 33 26, 1970, as now or hereafter amended. Interest may be 34 payable annually or semi-annually, or at such other times as SB1028 Engrossed -104- LRB9106061PTpk 1 provided for by the Board. Bonds and notes issued under this 2 Section may be issued as serial or term obligations, shall be 3 of such denomination or denominations and form, including 4 interest coupons to be attached thereto, be executed in such 5 manner, shall be payable at such place or places and bear 6 such date as the Authority shall fix by the ordinance 7 authorizing such bond or note and shall mature at such time 8 or times, within a period not to exceed forty years from the 9 date of issue, and may be redeemable prior to maturity with 10 or without premium, at the option of the Authority, upon such 11 terms and conditions as the Authority shall fix by the 12 ordinance authorizing the issuance of such bonds or notes. No 13 bond anticipation note or any renewal thereof shall mature at 14 any time or times exceeding 5 years from the date of the 15 first issuance of such note. The Authority may provide for 16 the registration of bonds or notes in the name of the owner 17 as to the principal alone or as to both principal and 18 interest, upon such terms and conditions as the Authority may 19 determine. The ordinance authorizing bonds or notes may 20 provide for the exchange of such bonds or notes which are 21 fully registered, as to both principal and interest, with 22 bonds or notes which are registerable as to principal only. 23 All bonds or notes issued under this Section by the Authority 24 other than those issued in exchange for property or for bonds 25 or notes of the Authority shall be sold at a price which may 26 be at a premium or discount but such that the interest cost 27 (excluding any redemption premium) to the Authority of the 28 proceeds of an issue of such bonds or notes, computed to 29 stated maturity according to standard tables of bond values, 30 shall not exceed that permitted in "An Act to authorize 31 public corporations to issue bonds, other evidences of 32 indebtedness and tax anticipation warrants subject to 33 interest rate limitations set forth therein", approved May 34 26, 1970, as now or hereafter amended. Such bonds or notes SB1028 Engrossed -105- LRB9106061PTpk 1 shall be sold at such time or times and, until January 1, 2 1995, in such manner as the Authority shall determine. The 3 Authority shall notify the Bureau of the Budget and the State 4 Comptroller 30 days before any bond sale and shall file with 5 the Bureau of the Budget and the State Comptroller a 6 certified copy of any ordinance authorizing the issuance of 7 bonds at or before the issuance of the bonds. After December 8 31, 1994, any such bonds or notes shall be sold to the 9 highest and best bidder on sealed bids as the Authority shall 10 deem. As such bonds or notes are to be sold the Authority 11 shall advertise for proposals to purchase the bonds or notes 12 which advertisement shall be published at least once in a 13 daily newspaper of general circulation published in the 14 metropolitan region at least 10 days before the time set for 15 the submission of bids. The Authority shall have the right to 16 reject any or all bids. Notwithstanding any other provisions 17 of this Section, Working Cash Notes or bonds or notes to 18 provide funds for self-insurance or a joint self-insurance 19 pool or entity may be sold either upon competitive bidding or 20 by negotiated sale (without any requirement of publication of 21 intention to negotiate the sale of such Notes), as the Board 22 shall determine by ordinance adopted with the affirmative 23 votes of at least 7 Directors. In case any officer whose 24 signature appears on any bonds, notes or coupons authorized 25 pursuant to this Section shall cease to be such officer 26 before delivery of such bonds or notes, such signature shall 27 nevertheless be valid and sufficient for all purposes, the 28 same as if such officer had remained in office until such 29 delivery. Neither the Directors of the Authority nor any 30 person executing any bonds or notes thereof shall be liable 31 personally on any such bonds or notes or coupons by reason of 32 the issuance thereof. 33 (c) All bonds or notes of the Authority issued pursuant 34 to this Section shall be general obligations of the Authority SB1028 Engrossed -106- LRB9106061PTpk 1 to which shall be pledged the full faith and credit of the 2 Authority, as provided in this Section. Such bonds or notes 3 shall be secured as provided in the authorizing ordinance, 4 which may, notwithstanding any other provision of this Act, 5 include in addition to any other security, a specific pledge 6 or assignment of and lien on or security interest in any or 7 all tax receipts of the Authority and on any or all other 8 revenues or moneys of the Authority from whatever source 9 which may by law be utilized for debt service purposes and a 10 specific pledge or assignment of and lien on or security 11 interest in any funds or accounts established or provided for 12 by the ordinance of the Authority authorizing the issuance of 13 such bonds or notes. Any such pledge, assignment, lien or 14 security interest for the benefit of holders of bonds or 15 notes of the Authority shall be valid and binding from the 16 time the bonds or notes are issued without any physical 17 delivery or further act, and shall be valid and binding as 18 against and prior to the claims of all other parties having 19 claims of any kind against the Authority or any other person 20 irrespective of whether such other parties have notice of 21 such pledge, assignment, lien or security interest. The 22 obligations of the Authority incurred pursuant to this 23 Section shall be superior to and have priority over any other 24 obligations of the Authority. The Authority may provide in 25 the ordinance authorizing the issuance of any bonds or notes 26 issued pursuant to this Section for the creation of, deposits 27 in, and regulation and disposition of sinking fund or reserve 28 accounts relating to such bonds or notes. The ordinance 29 authorizing the issuance of any bonds or notes pursuant to 30 this Section may contain provisions as part of the contract 31 with the holders of the bonds or notes, for the creation of a 32 separate fund to provide for the payment of principal and 33 interest on such bonds or notes and for the deposit in such 34 fund from any or all the tax receipts of the Authority and SB1028 Engrossed -107- LRB9106061PTpk 1 from any or all such other moneys or revenues of the 2 Authority from whatever source which may by law be utilized 3 for debt service purposes, all as provided in such ordinance, 4 of amounts to meet the debt service requirements on such 5 bonds or notes, including principal and interest, and any 6 sinking fund or reserve fund account requirements as may be 7 provided by such ordinance, and all expenses incident to or 8 in connection with such fund and accounts or the payment of 9 such bonds or notes. Such ordinance may also provide 10 limitations on the issuance of additional bonds or notes of 11 the Authority. No such bonds or notes of the Authority shall 12 constitute a debt of the State of Illinois. Nothing in this 13 Act shall be construed to enable the Authority to impose any 14 ad valorem tax on property. 15 (d) The ordinance of the Authority authorizing the 16 issuance of any bonds or notes may provide additional 17 security for such bonds or notes by providing for appointment 18 of a corporate trustee (which may be any trust company or 19 bank having the powers of a trust company within the state) 20 with respect to such bonds or notes. The ordinance shall 21 prescribe the rights, duties and powers of the trustee to be 22 exercised for the benefit of the Authority and the protection 23 of the holders of such bonds or notes. The ordinance may 24 provide for the trustee to hold in trust, invest and use 25 amounts in funds and accounts created as provided by the 26 ordinance with respect to the bonds or notes. The ordinance 27 may provide for the assignment and direct payment to the 28 trustee of any or all amounts produced from the sources 29 provided in Section 4.03 of this Act and provided in Section 30 6z-17 of "An Act in relation to State finance", approved June 31 10, 1919, as amended. Upon receipt of notice of any such 32 assignment, the Department of Revenue and the Comptroller of 33 the State of Illinois shall thereafter, notwithstanding the 34 provisions of Section 4.03 of this Act and Section 6z-17 of SB1028 Engrossed -108- LRB9106061PTpk 1 "An Act in relation to State finance", approved June 10, 2 1919, as amended, provide for such assigned amounts to be 3 paid directly to the trustee instead of the Authority, all in 4 accordance with the terms of the ordinance making the 5 assignment. The ordinance shall provide that amounts so paid 6 to the trustee which are not required to be deposited, held 7 or invested in funds and accounts created by the ordinance 8 with respect to bonds or notes or used for paying bonds or 9 notes to be paid by the trustee to the Authority. 10 (e) Any bonds or notes of the Authority issued pursuant 11 to this Section shall constitute a contract between the 12 Authority and the holders from time to time of such bonds or 13 notes. In issuing any bond or note, the Authority may include 14 in the ordinance authorizing such issue a covenant as part of 15 the contract with the holders of the bonds or notes, that as 16 long as such obligations are outstanding, it shall make such 17 deposits, as provided in paragraph (c) of this Section. It 18 may also so covenant that it shall impose and continue to 19 impose taxes, as provided in Section 4.03 of this Act and in 20 addition thereto as subsequently authorized by law, 21 sufficient to make such deposits and pay the principal and 22 interest and to meet other debt service requirements of such 23 bonds or notes as they become due. A certified copy of the 24 ordinance authorizing the issuance of any such obligations 25 shall be filed at or prior to the issuance of such 26 obligations with the Comptroller of the State of Illinois and 27 the Illinois Department of Revenue. 28 (f) The State of Illinois pledges to and agrees with the 29 holders of the bonds and notes of the Authority issued 30 pursuant to this Section that the State will not limit or 31 alter the rights and powers vested in the Authority by this 32 Act so as to impair the terms of any contract made by the 33 Authority with such holders or in any way impair the rights 34 and remedies of such holders until such bonds and notes, SB1028 Engrossed -109- LRB9106061PTpk 1 together with interest thereon, with interest on any unpaid 2 installments of interest, and all costs and expenses in 3 connection with any action or proceedings by or on behalf of 4 such holders, are fully met and discharged. In addition, the 5 State pledges to and agrees with the holders of the bonds and 6 notes of the Authority issued pursuant to this Section that 7 the State will not limit or alter the basis on which State 8 funds are to be paid to the Authority as provided in this 9 Act, or the use of such funds, so as to impair the terms of 10 any such contract. The Authority is authorized to include 11 these pledges and agreements of the State in any contract 12 with the holders of bonds or notes issued pursuant to this 13 Section. 14 (g) (1) The Authority shall not at any time issue, sell 15 or deliver any bonds or notes (other than Working Cash Notes) 16 pursuant to this Section which will cause it to have issued 17 and outstanding at any time in excess of $500,000,000 of such 18 bonds and notes (other than Working Cash Notes). The 19 Authority shall not at any time issue, sell or deliver any 20 Working Cash Notes pursuant to this Section which will cause 21 it to have issued and outstanding at any time in excess of 22 $100,000,000 of Working Cash Notes. Bonds or notes which are 23 being paid or retired by such issuance, sale or delivery of 24 bonds or notes, and bonds or notes for which sufficient funds 25 have been deposited with the paying agency of such bonds or 26 notes to provide for payment of principal and interest 27 thereon or to provide for the redemption thereof, all 28 pursuant to the ordinance authorizing the issuance of such 29 bonds or notes, shall not be considered to be outstanding for 30 the purposes of the first two sentences of this subsection. 31 (2) In addition to the authority provided by paragraph 32 (1), the Authority is authorized to issue, sell and deliver 33 bonds or notes for Strategic Capital Improvement Projects 34 approved pursuant to Section 4.13 as follows: SB1028 Engrossed -110- LRB9106061PTpk 1 $100,000,000 is authorized to be issued on or after 2 January 1, 1990; 3 an additional $100,000,000 is authorized to be issued on 4 or after January 1, 1991; 5 an additional $100,000,000 is authorized to be issued on 6 or after January 1, 1992; 7 an additional $100,000,000 is authorized to be issued on 8 or after January 1, 1993; 9 an additional $100,000,000 is authorized to be issued on 10 or after January 1, 1994; and 11 the aggregate total authorization of bonds and notes for 12 Strategic Capital Improvement Projects as of January 1, 1994, 13 shall be $500,000,000. 14 (h) The Authority, subject to the terms of any 15 agreements with noteholders or bond holders as may then 16 exist, shall have power, out of any funds available therefor, 17 to purchase notes or bonds of the Authority which shall 18 thereupon be cancelled. 19 (i) In addition to any other authority granted by law, 20 the State Treasurer may, with the approval of the Governor, 21 invest or reinvest, at a price not to exceed par, any State 22 money in the State Treasury which is not needed for current 23 expenditures due or about to become due in Working Cash 24 Notes. 25 (Source: P.A. 86-16.) 26 (70 ILCS 3615/4.09) (from Ch. 111 2/3, par. 704.09) 27 Sec. 4.09. Public Transportation Fund and the Regional 28 Transportation Authority Occupation and Use Tax Replacement 29 Fund. 30 (a) As soon as possible after the first day of each 31 month, beginning November 1, 1983, the Comptroller shall 32 order transferred and the Treasurer shall transfer from the 33 General Revenue Fund to a special fund in the State Treasury, SB1028 Engrossed -111- LRB9106061PTpk 1 to be known as the "Public Transportation Fund" $9,375,000 2 for each month remaining in State fiscal year 1984. As soon 3 as possible after the first day of each month, beginning July 4 1, 1984, upon certification of the Department of Revenue, the 5 Comptroller shall order transferred and the Treasurer shall 6 transfer from the General Revenue Fund to the Public 7 Transportation Fund an amount equal to 25% of the net 8 revenue, before the deduction of the serviceman and retailer 9 discounts pursuant to Section 9 of the Service Occupation Tax 10 Act and Section 3 of the Retailers' Occupation Tax Act, 11 realized from any tax imposed by the Authority pursuant to 12 Sections 4.03 and 4.03.1 and 25% of the amounts deposited 13 into the Regional Transportation Authority tax fund created 14 by Section 4.03 of this Act, from the County and Mass Transit 15 District Fund as provided in Section 6z-20 of the State 16 Finance Act and 25% of the amounts deposited into the 17 Regional Transportation Authority Occupation and Use Tax 18 Replacement Fund from the State and Local Sales Tax Reform 19 Fund as provided in Section 6z-17 of the State Finance Act. 20 Net revenue realized for a month shall be the revenue 21 collected by the State pursuant to Sections 4.03 and 4.03.1 22 during the previous month from within the metropolitan 23 region, less the amount paid out during that same month as 24 refunds to taxpayers for overpayment of liability in the 25 metropolitan region under Sections 4.03 and 4.03.1. 26 (b) Allocation; budget. 27 (1) All moneys deposited in the Public 28 Transportation Fund and the Regional Transportation 29 Authority Occupation and Use Tax Replacement Fund, 30 whether deposited pursuant to this Section or otherwise, 31 are allocated to the Authority. Pursuant to 32 appropriation, the Comptroller, as soon as possible after 33 each monthly transfer provided in this Section and after 34 each deposit into the Public Transportation Fund, shall SB1028 Engrossed -112- LRB9106061PTpk 1 order the Treasurer to pay to the Authority out of the 2 Public Transportation Fund the amount so transferred or 3 deposited. Such amounts paid to the Authority may be 4 expended by it for its purposes as provided in this Act. 5 Subject to appropriation to the Department of 6 Revenue, the Comptroller, as soon as possible after each 7 deposit into the Regional Transportation Authority 8 Occupation and Use Tax Replacement Fund provided in this 9 Section and Section 6z-17 of the State Finance Act, shall 10 order the Treasurer to pay to the Authority out of the 11 Regional Transportation Authority Occupation and Use Tax 12 Replacement Fund the amount so deposited. Such amounts 13 paid to the Authority may be expended by it for its 14 purposes as provided in this Act. 15 (2) Provided, however, no moneys deposited under 16 subsection (a) of this Section4.09shall be paid from 17 the Public Transportation Fund to the Authority for any 18 fiscal year beginning after the effective date of this 19 amendatory Act of 1983 until the Authority has certified 20 to the Governor, the Comptroller, and the Mayor of the 21 City of Chicago that it has adopted for that fiscal year 22 a budget and financial plan meeting the requirements in 23 Section 4.01(b). 24 (c) In recognition of the efforts of the Authority to 25 enhance the mass transportation facilities under its control, 26 the State shall provide financial assistance ("Additional 27 State Assistance") in excess of the amounts transferred to 28 the Authority from the General Revenue Fund under subsection 29 (a) of this Section. Additional State Assistance provided in 30 any State fiscal year shall not exceed the actual debt 31 service payable by the Authority during that State fiscal 32 year on bonds or notes issued to finance Strategic Capital 33 Improvement Projects under Section 4.04 of this Act. 34 Additional State Assistance shall in no event exceed the SB1028 Engrossed -113- LRB9106061PTpk 1 following specified amounts with respect to the following 2 State fiscal years: 3 1990 $5,000,000; 4 1991 $5,000,000; 5 1992 $10,000,000; 6 1993 $10,000,000; 7 1994 $20,000,000; 8 1995 $30,000,000; 9 1996 $40,000,000; 10 1997 $50,000,000; 11 1998 $55,000,000; and 12 each year thereafter $55,000,000. 13 (d) Beginning with State fiscal year 1990 and continuing 14 for each State fiscal year thereafter, the Authority shall 15 annually certify to the State Comptroller and State Treasurer 16 (1) the amount necessary and required, during the State 17 fiscal year with respect to which the certification is made, 18 to pay its obligations for debt service on all outstanding 19 bonds or notes for Strategic Capital Improvement Projects 20 issued by the Authority under Section 4.04 of this Act and 21 (2) an estimate of the amount necessary and required to pay 22 its obligations for debt service for any bonds or notes for 23 Strategic Capital Improvement Projects which the Authority 24 anticipates it will issue during that State fiscal year. The 25 certification shall include a specific schedule of debt 26 service payments, including the date and amount of each 27 payment for all outstanding bonds or notes and an estimated 28 schedule of anticipated debt service for all bonds and notes 29 it intends to issue, if any, during that State fiscal year, 30 including the estimated date and estimated amount of each 31 payment. Immediately, upon the issuance of bonds for which 32 an estimated schedule of debt service payments was prepared, 33 the Authority shall file an amended certification to specify 34 the actual schedule of debt service payments, including the SB1028 Engrossed -114- LRB9106061PTpk 1 date and amount of each payment, for the remainder of the 2 State fiscal year. On the first day of each month of the 3 State fiscal year in which there are bonds outstanding with 4 respect to which the certification is made, the State 5 Comptroller shall order transferred and the State Treasurer 6 shall transfer from the General Revenue Fund to the Public 7 Transportation Fund the Additional State Assistance in an 8 amount equal to the aggregate of (1) one-twelfth of the 9 amount required to pay debt service on bonds and notes issued 10 before the beginning of the State fiscal year and (2) the 11 amount required to pay debt service on bonds and notes issued 12 during the fiscal year, if any, divided by the number of 13 months remaining in the fiscal year after the date of 14 issuance, or some smaller portion as may be necessary, listed 15 in subsection (c) for the relevant State fiscal year, plus 16 any cumulative deficiencies in transfers for prior months, 17 until an amount equal to the certified debt service for that 18 State fiscal year on outstanding bonds or notes for Strategic 19 Capital Improvement Projects issued by the Authority under 20 Section 4.04 of this Act has been transferred. In no event 21 shall total transfers in any State fiscal year exceed the 22 lesser of the annual amounts specified in subsection (c) or 23 the total certified debt service on outstanding bonds or 24 notes for Strategic Capital Improvement Projects issued by 25 the Authority under Section 4.04 of this Act. 26 (e) Additional State Assistance may not be pledged, 27 either directly or indirectly as general revenues of the 28 Authority, as security for any bonds issued by the Authority. 29 The Authority may not assign its right to receive Additional 30 State Assistance or direct payment of Additional State 31 Assistance to a trustee or any other entity for the payment 32 of debt service on its bonds. 33 (f) The certification required under subsection (d) with 34 respect to outstanding bonds and notes of the Authority shall SB1028 Engrossed -115- LRB9106061PTpk 1 be filed as early as practicable before the beginning of the 2 State fiscal year to which it relates. The certification 3 shall be revised as may be necessary to accurately state the 4 debt service requirements of the Authority. 5 (g) Within 6 months of the end of the 3 month period 6 ending December 31, 1983, and each fiscal year thereafter, 7 the Authority shall determine whether the aggregate of all 8 system generated revenues for public transportation in the 9 metropolitan region which is provided by, or under grant or 10 purchase of service contracts with, the Service Boards equals 11 50% of the aggregate of all costs of providing such public 12 transportation. "System generated revenues" include all the 13 proceeds of fares and charges for services provided, 14 contributions received in connection with public 15 transportation from units of local government other than the 16 Authority and from the State pursuant to subsection (9) of 17 Section 49.19 of the Civil Administrative Code of Illinois, 18 and all other revenues properly included consistent with 19 generally accepted accounting principles but may not include 20 the proceeds from any borrowing. "Costs" include all items 21 properly included as operating costs consistent with 22 generally accepted accounting principles, including 23 administrative costs, but do not include: depreciation; 24 payment of principal and interest on bonds, notes or other 25 evidences of obligations for borrowed money of the Authority; 26 payments with respect to public transportation facilities 27 made pursuant to subsection (b) of Section 2.202-20; any 28 payments with respect to rate protection contracts, credit 29 enhancements or liquidity agreements made under Section 4.14; 30 any other cost as to which it is reasonably expected that a 31 cash expenditure will not be made; costs up to $5,000,000 32 annually for passenger security including grants, contracts, 33 personnel, equipment and administrative expenses, except in 34 the case of the Chicago Transit Authority, in which case the SB1028 Engrossed -116- LRB9106061PTpk 1 term does not include costs spent annually by that entity for 2 protection against crime as required by Section 27a of the 3 Metropolitan Transit Authority Act; or costs as exempted by 4 the Board for projects pursuant to Section 2.09 of this Act. 5 If said system generated revenues are less than 50% of said 6 costs, the Board shall remit an amount equal to the amount of 7 the deficit to the State. The Treasurer shall deposit any 8 such payment in the General Revenue Fund. 9 (h) If the Authority makes any payment to the State 10 under paragraph (g), the Authority shall reduce the amount 11 provided to a Service Board from funds transferred under 12 paragraph (a) in proportion to the amount by which that 13 Service Board failed to meet its required system generated 14 revenues recovery ratio. A Service Board which is affected by 15 a reduction in funds under this paragraph shall submit to the 16 Authority concurrently with its next due quarterly report a 17 revised budget incorporating the reduction in funds. The 18 revised budget must meet the criteria specified in clauses 19 (i) through (vi) of Section 4.11(b)(2). The Board shall 20 review and act on the revised budget as provided in Section 21 4.11(b)(3). 22 (Source: P.A. 86-16; 86-463; 86-928; 86-1028; 86-1481; 23 87-764; revised 10-31-98.) 24 (70 ILCS 3615/4.12) (from Ch. 111 2/3, par. 704.12) 25 Sec. 4.12. RTA Strategic Capital Improvement Program. 26 The program created by this amendatory Act of 1989 in 27 Sections 4.12 and 4.13 shall be known as the RTA Strategic 28 Capital Improvement Program (the "Strategic Capital 29 Improvement Program"). The Strategic Capital Improvement 30 Program will enhance the ability of the Authority to acquire, 31 repair or replace public transportation facilities in the 32 metropolitan region and shall be financed through the 33 issuance of bonds or notes authorized by this amendatory Act SB1028 Engrossed -117- LRB9106061PTpk 1 of 1989 for Strategic Capital Improvement Projects under 2 Section 4.04 of this Act. The Program is intended as a 3 supplement to the ongoing capital development activities of 4 the Authority and the Service Boards financed with grants, 5 loans and other moneys made available by the federal 6 government or the State of Illinois. The Authority and the 7 Service Boards shall continue to seek, receive and expend all 8 available grants, loans and other moneys. 9 Any contracts for architectural or engineering services 10 for projects approved pursuant to Section 4.13 shall comply 11 with the requirements set forth in the Local Government 12 Professional Services Selection Act"An Act concerning13municipalities, counties and other political subdivisions",14as now or hereafter amended. 15 (Source: P.A. 86-16.) 16 Section 50. The Illinois Highway Code is amended by 17 changing Section 4-201.4 as follows: 18 (605 ILCS 5/4-201.4) (from Ch. 121, par. 4-201.4) 19 Sec. 4-201.4. Contracts. To enter into contracts covering 20 all matters and things incident to the location, relocation, 21 construction, repair and maintenance of State highways; 22 including, subject to approval by the Illinois Commerce 23 Commission, agreements with a railroad or railway company or 24 other public utility concerning a relocation of its line, 25 tracks, wires, poles, pipes or other facilities, where the 26 same are not then located in a public street or highway, and 27 such relocation is necessary as an incident to the 28 construction of a new State highway or to the relocation, 29 reconstruction, extension, widening, straightening, 30 alteration, repair, maintenance or improvement of an existing 31 State highway (including extensions of a new or existing 32 State highway through or into a municipality upon a new or SB1028 Engrossed -118- LRB9106061PTpk 1 existing street). Nothing contained in this Section shall be 2 construed as requiring the Department to furnish site or 3 right-of-way for railroad or railway lines or tracks or other 4 public utility facilities required to be removed from a 5 public street or highway. 6 (Source: Laws 1959, p. 196.) 7 Section 55. The Illinois Vehicle Code is amended by 8 changing Sections 2-119, 3-806, and 3-814 as follows: 9 (625 ILCS 5/2-119) (from Ch. 95 1/2, par. 2-119) 10 Sec. 2-119. Disposition of fees and taxes. 11 (a) All moneys received from Salvage Certificates shall 12 be deposited in the Common School Fund in the State Treasury. 13 (b) Beginning January 1, 1990 and concluding December 14 31, 1994, of the money collected for each certificate of 15 title, duplicate certificate of title and corrected 16 certificate of title, $0.50 shall be deposited into the Used 17 Tire Management Fund. Beginning January 1, 1990 and 18 concluding December 31, 1994, of the money collected for each 19 certificate of title, duplicate certificate of title and 20 corrected certificate of title, $1.50 shall be deposited in 21 the Park and Conservation Fund. Beginning January 1, 1995, 22 of the money collected for each certificate of title, 23 duplicate certificate of title and corrected certificate of 24 title, $2 shall be deposited in the Park and Conservation 25 Fund. The moneys deposited in the Park and Conservation Fund 26 pursuant to this Section shall be used for the acquisition 27 and development of bike paths as provided for in Section 28 63a36 of the Civil Administrative Code of Illinois. Except as 29 otherwise provided in this Code, all remaining moneys 30 collected for certificates of title, and all moneys collected 31 for filing of security interests, shall be placed in the 32 General Revenue Fund in the State Treasury. SB1028 Engrossed -119- LRB9106061PTpk 1 (c) All moneys collected for that portion of a driver's 2 license fee designated for driver education under Section 3 6-118 shall be placed in the Driver Education Fund in the 4 State Treasury. 5 (d) Beginning January 1, 1999, of the moneysmonies6 collected as a registration fee for each motorcycle, motor 7 driven cycle and motorized pedalcycle, 27% of each annual 8 registration fee for such vehicle and 27% of each semiannual 9 registration fee for such vehicle is deposited in the Cycle 10 Rider Safety Training Fund. 11 (e) Of the monies received by the Secretary of State as 12 registration fees or taxes or as payment of any other fee, as 13 provided in this Act, except fees received by the Secretary 14 under paragraph (7) of subsection (b) of Section 5-101 and 15 Section 5-109 of this Code, 37% shall be deposited into the 16 State Construction Fund. 17 (f) Of the total money collected for a CDL instruction 18 permit or original or renewal issuance of a commercial 19 driver's license (CDL) pursuant to the Uniform Commercial 20 Driver's License Act (UCDLA), $6 of the total fee for an 21 original or renewal CDL, and $6 of the total CDL instruction 22 permit fee when such permit is issued to any person holding a 23 valid Illinois driver's license, shall be paid into the 24 CDLIS/AAMVAnet Trust Fund (Commercial Driver's License 25 Information System/American Association of Motor Vehicle 26 Administrators network Trust Fund) and shall be used for the 27 purposes provided in Section 6z-23 of the State Finance Act. 28 (g) All remaining moneys received by the Secretary of 29 State as registration fees or taxes or as payment of any 30 other fee, as provided in this Act, except fees received by 31 the Secretary under paragraph (7) of subsection (b) of 32 Section 5-101 and Section 5-109 of this Code, shall be 33 deposited in the Road Fund in the State Treasury. Moneys in 34 the Road Fund shall be used for the purposes provided in SB1028 Engrossed -120- LRB9106061PTpk 1 Section 8.3 of the State Finance Act. 2 (h) (Blank). 3 (i) (Blank). 4 (j) (Blank). 5 (k) There is created in the State Treasury a special 6 fund to be known as the Secretary of State Special License 7 Plate Fund. Money deposited into the Fund shall, subject to 8 appropriation, be used by the Office of the Secretary of 9 State (i) to help defray plate manufacturing and plate 10 processing costs for the issuance and, when applicable, 11 renewal of any new or existing special registration plates 12 authorized under this Code and (ii) for grants made by the 13 Secretary of State to benefit Illinois Veterans Home 14 libraries. 15 On or before October 1, 1995, the Secretary of State 16 shall direct the State Comptroller and State Treasurer to 17 transfer any unexpended balance in the Special Environmental 18 License Plate Fund, the Special Korean War Veteran License 19 Plate Fund, and the Retired Congressional License Plate Fund 20 to the Secretary of State Special License Plate Fund. 21 (l) The Motor Vehicle Review Board Fund is created as a 22 special fund in the State Treasury. Moneys deposited into 23 the Fund under paragraph (7) of subsection (b) of Section 24 5-101 and Section 5-109 shall, subject to appropriation, be 25 used by the Office of the Secretary of State to administer 26 the Motor Vehicle Review Board, including without limitation 27 payment of compensation and all necessary expenses incurred 28 in administering the Motor Vehicle Review Board under the 29 Motor Vehicle Franchise Act. 30 (m) Effective July 1, 1996, there is created in the 31 State Treasury a special fund to be known as the Family 32 Responsibility Fund. Moneys deposited into the Fund shall, 33 subject to appropriation, be used by the Office of the 34 Secretary of State for the purpose of enforcing the Family SB1028 Engrossed -121- LRB9106061PTpk 1 Financial Responsibility Law. 2 (n) The Illinois Fire Fighters' Memorial Fund is created 3 as a special fund in the State Treasury. Moneys deposited 4 into the Fund shall, subject to appropriation, be used by the 5 Office of the State Fire Marshal for construction of the 6 Illinois Fire Fighters' Memorial to be located at the State 7 Capitol grounds in Springfield, Illinois. Upon the 8 completion of the Memorial, the Office of the State Fire 9 Marshal shall certify to the State Treasurer that 10 construction of the Memorial has been completed. 11 (o) Of the money collected for each certificate of title 12 for all-terrain vehicles and off-highway motorcycles, $17 13 shall be deposited into the Off-Highway Vehicle Trails Fund. 14 (Source: P.A. 89-92, eff. 7-1-96; 89-145, eff. 7-14-95; 15 89-282, eff. 8-10-95; 89-612, eff. 8-9-96; 89-626, eff. 16 8-9-96; 89-639, eff. 1-1-97; 90-14, eff. 7-1-97; 90-287, eff. 17 1-1-98; 90-622, eff. 1-1-99.) 18 (625 ILCS 5/3-806) (from Ch. 95 1/2, par. 3-806) 19 Sec. 3-806. Registration fees; motor vehicles of the 20 first division and of certain second division weight. Every 21 owner of any other motor vehicle of the first division, 22 except as provided in Sections 3-804, 3-805, 3-806.3, and 23 3-808, and every second division vehicle weighing 8,000 24 pounds or less, shall pay the Secretary of State an annual 25 registration fee at the following rates: 26 SCHEDULE OF REGISTRATION FEES 27 REQUIRED BY LAW 28 Beginning with the 1985 registration year 29 Reduced Fee 30 Annual On and After 31 Fee June 15 32 35 Horse Power and less $36 $18 33 Over 35 Horse Power 48 24 SB1028 Engrossed -122- LRB9106061PTpk 1 Reduced Fee 2 September 16 3 to March 31 4 Motorcycles, Motor Driven 5 Cycles and Pedalcycles 30 15 6 SCHEDULE OF REGISTRATION FEES 7 REQUIRED BY LAW 8 Beginning with the 1986 registration year 9 Reduced Fee 10 Annual On and After 11 Fee June 15 12 Motor vehicles of the first 13 division other than 14 Motorcycles, Motor Driven 15 Cycles and Pedalcycles $48 $24 16 Reduced Fee 17 September 16 18 to March 31 19 Motorcycles, Motor Driven 20 Cycles and Pedalcycles 30 15 21 (Source: P.A. 89-245, eff. 1-1-96.) 22 (625 ILCS 5/3-814) (from Ch. 95 1/2, par. 3-814) 23 Sec. 3-814. Semitrailer tax and registration fees. 24 Effective with the 1984 registration year to the end of the 25 1998 registration year, an owner of a semitrailer shall pay 26 to the Secretary of State, for the use of the public highways 27 of this State, a flat weight tax of $60, which includes the 28 registration fee, for a 5 year semitrailer plate. 29 Effective with the 1999 registration year an owner of a 30 semitrailer shall pay to the Secretary of State, for the use 31 of the public highways of this State, a one time flat tax of 32 $15, which includes the registration fee, for a permanent 33 non-transferrable semitrailer plate. SB1028 Engrossed -123- LRB9106061PTpk 1 (Source: P.A. 89-710, eff. 2-14-97.)