100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB4739

 

Introduced , by Rep. Barbara Wheeler

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 175/10
730 ILCS 5/5-9-1.21

    Amends the Live Adult Entertainment Facility Surcharge Act. Doubles the amount of the surcharge imposed under the Act. Provides that 50% of the proceeds collected under the Act shall be deposited into the Sexual Assault Services and Prevention Fund and 50% of the proceeds collected from the surcharge imposed under the Act shall be deposited into the Specialized Services for Survivors of Human Trafficking Fund, less amounts which are required to be paid into the Tax Compliance and Administration Fund. Amends the Unified Code of Corrections to make conforming changes.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Live Adult Entertainment Facility Surcharge
5Act is amended by changing Section 10 as follows:
 
6    (35 ILCS 175/10)
7    Sec. 10. Surcharge imposed; returns.
8    (a) An annual surcharge is imposed upon each operator who
9operates a live adult entertainment facility in this State. By
10January 20, 2014, and by January 20 of each year thereafter,
11each operator shall elect to pay the surcharge according to
12either item (1) or item (2) of this subsection.
13        (1) With respect to the surcharge covering a calendar
14    year ending on or before December 31, 2018, an An operator
15    who elects to be subject to this item (1) shall pay to the
16    Department a surcharge imposed upon admissions to a live
17    adult entertainment facility operated by the operator in
18    this State in an amount equal to $3 per person admitted to
19    that live adult entertainment facility. With respect to the
20    surcharge covering a calendar year ending after December
21    31, 2018, an operator who elects to be subject to this item
22    (1) shall pay to the Department a surcharge imposed upon by
23    the operator in this State in an amount equal to $6 per

 

 

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1    person admitted to that live adult facility. This item (1)
2    does not require a live entertainment facility to impose a
3    fee on a customer of the facility. An operator has the
4    discretion to determine the manner in which the facility
5    derives the moneys required to pay the surcharge imposed
6    under this Section. In the event that an operator has not
7    filed the applicable returns under the Retailers'
8    Occupation Tax Act for a full calendar year prior to any
9    January 20, then such operator shall pay the surcharge
10    under this Act pursuant to this item (1) for moneys owed to
11    the Department subject to this Act for the previous
12    calendar year.
13        (2) An operator may, in the alternative, pay to the
14    Department the surcharge as follows:
15            (A) With respect to the surcharge covering a
16        calendar year ending on or before December 31, 2018, if
17        If the gross receipts received by the live adult
18        entertainment facility during the preceding calendar
19        year, upon the basis of which a tax is imposed under
20        Section 2 of the Retailers' Occupation Tax Act, are
21        equal or greater than $2,000,000 during the preceding
22        calendar year, and if the operator elects to be subject
23        to this item (2), then the operator shall pay the
24        Department a surcharge of $25,000. With respect to the
25        surcharge covering a calendar year ending after
26        December 31, 2018, if the gross receipts received by

 

 

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1        the live adult entertainment facility during the
2        preceding calendar year, upon the basis of which a tax
3        is imposed under Section 2 of the Retailers' Occupation
4        Tax Act, are equal or greater than $2,000,000 during
5        the preceding calendar year, and if the operator elects
6        to be subject to this item (2), then the operator shall
7        pay the Department a surcharge of $50,000.
8            (B) With respect to the surcharge covering a
9        calendar year ending after December 31, 2018, if If the
10        gross receipts received by the live adult
11        entertainment facility during the preceding calendar
12        year, upon the basis of which a tax is imposed under
13        Section 2 of the Retailers' Occupation Tax Act, are
14        equal to or greater than $500,000 but less than
15        $2,000,000 during the preceding calendar year, and if
16        the operator elects to be subject to this item (2),
17        then the operator shall pay to the Department a
18        surcharge of $15,000. With respect to the surcharge
19        covering a calendar year ending after December 31,
20        2018, if the gross receipts received by the live adult
21        entertainment facility during the preceding calendar
22        year, upon the basis of which a tax is imposed under
23        Section 2 of the Retailers' Occupation Tax Act, are
24        equal to or greater than $500,000 but less than
25        $2,000,000 during the preceding calendar year, and if
26        the operator elects to be subject to this item (2),

 

 

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1        then the operator shall pay to the Department a
2        surcharge of $30,000.
3            (C) With respect to the surcharge covering a
4        calendar year ending after December 31, 2018, if If the
5        gross receipts received by the live adult
6        entertainment facility during the preceding calendar
7        year, upon the basis of which a tax is imposed under
8        Section 2 of the Retailers' Occupation Tax Act, are
9        less than $500,000 during the preceding calendar year,
10        and if the operator elects to be subject to this item
11        (2), then the operator shall pay the Department a
12        surcharge of $5,000. With respect to the surcharge
13        covering a calendar year ending after December 31,
14        2018, if the gross receipts received by the live adult
15        entertainment facility during the preceding calendar
16        year, upon the basis of which a tax is imposed under
17        Section 2 of the Retailers' Occupation Tax Act, are
18        less than $500,000 during the preceding calendar year,
19        and if the operator elects to be subject to this item
20        (2), then the operator shall pay the Department a
21        surcharge of $10,000.
22    (b) For each live adult entertainment facility paying the
23surcharge as set forth in item (1) of subsection (a) of this
24Section, the operator must file a return electronically as
25provided by the Department and remit payment to the Department
26on an annual basis no later than January 20 covering the

 

 

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1previous calendar year. Each return made to the Department must
2state the following:
3        (1) the name of the operator;
4        (2) the address of the live adult entertainment
5    facility and the address of the principal place of business
6    (if that is a different address) of the operator;
7        (3) the total number of admissions to the facility in
8    the preceding calendar year; and
9        (4) the total amount of surcharge collected in the
10    preceding calendar year.
11    Notwithstanding any other provision of this subsection
12concerning the time within which an operator may file his or
13her return, if an operator ceases to operate a live adult
14entertainment facility, then he or she must file a final return
15under this Act with the Department not more than one calendar
16month after discontinuing that business.
17    (c) For each live adult entertainment facility paying the
18surcharge as set forth in item (2) of subsection (a) of this
19Section, the operator must file a return electronically as
20provided by the Department and remit payment to the Department
21on an annual basis no later than January 20 covering the
22previous calendar year. Each return made to the Department must
23state the following:
24        (1) the name of the operator;
25        (2) the address of the live adult entertainment
26    facility and the address of the principal place of business

 

 

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1    (if that is a different address) of the operator;
2        (3) the gross receipts received by the live adult
3    entertainment facility during the preceding calendar year,
4    upon the basis of which tax is imposed under Section 2 of
5    the Retailers' Occupation Tax Act; and
6        (4) the applicable surcharge from Section 10(a)(2) of
7    this Act to be paid by the operator.
8    Notwithstanding any other provision of this subsection
9concerning the time within which an operator may file his or
10her return, if an operator ceases to operate a live adult
11entertainment facility, then he or she must file a final return
12under this Act with the Department not more than one calendar
13month after discontinuing that business.
14    (d) Beginning January 1, 2014, and ending on December 31,
152018, the Department shall pay all proceeds collected from the
16surcharge imposed under this Act into the Sexual Assault
17Services and Prevention Fund, less 2% of those proceeds, which
18shall be paid into the Tax Compliance and Administration Fund
19in the State treasury from which it shall be appropriated to
20the Department to cover the costs of the Department in
21administering and enforcing the provisions of this Act.
22Beginning on January 1, 2019, the Department shall pay (i) 50%
23of the proceeds collected from the surcharge imposed under this
24Act into the Sexual Assault Services and Prevention Fund and
25(ii) 50% of the proceeds collected from the surcharge imposed
26under this Act into the Specialized Services for Survivors of

 

 

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1Human Trafficking Fund, less 2% of those proceeds, which shall
2be paid into the Tax Compliance and Administration Fund in the
3State treasury from which it shall be appropriated to the
4Department to cover the costs of Department in administering
5and enforcing the provisions of this Act.
6(Source: P.A. 97-1035, eff. 1-1-13.)
 
7    Section 10. The Unified Code of Corrections is amended by
8changing Section 5-9-1.21 as follows:
 
9    (730 ILCS 5/5-9-1.21)
10    Sec. 5-9-1.21. Specialized Services for Survivors of Human
11Trafficking Fund.
12    (a) There is created in the State treasury a Specialized
13Services for Survivors of Human Trafficking Fund. Moneys
14deposited into the Fund under this Section shall be available
15for the Department of Human Services for the purposes in this
16Section.
17    (b) Each plea of guilty, stipulation of facts, or finding
18of guilt resulting in a judgment of conviction or order of
19supervision for an offense under Section 10-9, 11-14.1,
2011-14.3, or 11-18 of the Criminal Code of 2012 that results in
21the imposition of a fine shall have a portion of that fine
22deposited into the Specialized Services for Survivors of Human
23Trafficking Fund.
24    (b-5) The Fund may receive, in addition to any source

 

 

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1identified under this Section, any moneys required to be
2deposited into the Fund under Section 10 of the Live Adult
3Entertainment Facility Surcharge Act.
4    (c) If imposed, the fine shall be collected by the circuit
5court clerk in addition to any other imposed fee. The circuit
6court clerk shall retain $50 to cover the costs in
7administering and enforcing this Section. The circuit court
8clerk shall remit the remainder of the fine within one month of
9its receipt as follows:
10        (1) $300 shall be distributed equally between all State
11    law enforcement agencies whose officers or employees
12    conducted the investigation or prosecution that resulted
13    in the finding of guilt; and
14        (2) the remainder of the fine shall be remitted to the
15    Department of Human Services for deposit into the
16    Specialized Services for Survivors of Human Trafficking
17    Fund.
18    (d) Upon appropriation of moneys from the Specialized
19Services for Survivors of Human Trafficking Fund, the
20Department of Human Services shall use these moneys to make
21grants to non-governmental organizations to provide
22specialized, trauma-informed services specifically designed to
23address the priority service needs associated with
24prostitution and human trafficking. Priority services include,
25but are not limited to, community based drop-in centers,
26emergency housing, and long-term safe homes. The Department

 

 

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1shall consult with prostitution and human trafficking
2advocates, survivors, and service providers to identify
3priority service needs in their respective communities.
4    (e) Grants made under this Section are in addition to, and
5not substitutes for, other grants authorized and made by the
6Department.
7    (f) Notwithstanding any other law to the contrary, the
8Specialized Services for Survivors of Human Trafficking Fund is
9not subject to sweeps, administrative charge-backs, or any
10other fiscal maneuver that would in any way transfer any
11amounts from the Specialized Services for Survivors of Human
12Trafficking Fund into any other fund of the State.
13(Source: P.A. 98-1013, eff. 1-1-15.)