SB0514eng 100TH GENERAL ASSEMBLY



 


 
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1    AN ACT concerning transportation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. If and only if Senate Bill 2641 of the 100th
5General Assembly, as amended by House Amendment No. 3 and House
6Amendment No. 4, becomes law, then the Use Tax Act is amended
7by changing Section 3-5 as follows:
 
8    (35 ILCS 105/3-5)
9    Sec. 3-5. Exemptions. Use of the following tangible
10personal property is exempt from the tax imposed by this Act:
11    (1) Personal property purchased from a corporation,
12society, association, foundation, institution, or
13organization, other than a limited liability company, that is
14organized and operated as a not-for-profit service enterprise
15for the benefit of persons 65 years of age or older if the
16personal property was not purchased by the enterprise for the
17purpose of resale by the enterprise.
18    (2) Personal property purchased by a not-for-profit
19Illinois county fair association for use in conducting,
20operating, or promoting the county fair.
21    (3) Personal property purchased by a not-for-profit arts or
22cultural organization that establishes, by proof required by
23the Department by rule, that it has received an exemption under

 

 

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1Section 501(c)(3) of the Internal Revenue Code and that is
2organized and operated primarily for the presentation or
3support of arts or cultural programming, activities, or
4services. These organizations include, but are not limited to,
5music and dramatic arts organizations such as symphony
6orchestras and theatrical groups, arts and cultural service
7organizations, local arts councils, visual arts organizations,
8and media arts organizations. On and after July 1, 2001 (the
9effective date of Public Act 92-35) this amendatory Act of the
1092nd General Assembly, however, an entity otherwise eligible
11for this exemption shall not make tax-free purchases unless it
12has an active identification number issued by the Department.
13    (4) Personal property purchased by a governmental body, by
14a corporation, society, association, foundation, or
15institution organized and operated exclusively for charitable,
16religious, or educational purposes, or by a not-for-profit
17corporation, society, association, foundation, institution, or
18organization that has no compensated officers or employees and
19that is organized and operated primarily for the recreation of
20persons 55 years of age or older. A limited liability company
21may qualify for the exemption under this paragraph only if the
22limited liability company is organized and operated
23exclusively for educational purposes. On and after July 1,
241987, however, no entity otherwise eligible for this exemption
25shall make tax-free purchases unless it has an active exemption
26identification number issued by the Department.

 

 

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1    (5) Until July 1, 2003, a passenger car that is a
2replacement vehicle to the extent that the purchase price of
3the car is subject to the Replacement Vehicle Tax.
4    (6) Until July 1, 2003 and beginning again on September 1,
52004 through August 30, 2014, graphic arts machinery and
6equipment, including repair and replacement parts, both new and
7used, and including that manufactured on special order,
8certified by the purchaser to be used primarily for graphic
9arts production, and including machinery and equipment
10purchased for lease. Equipment includes chemicals or chemicals
11acting as catalysts but only if the chemicals or chemicals
12acting as catalysts effect a direct and immediate change upon a
13graphic arts product. Beginning on July 1, 2017, graphic arts
14machinery and equipment is included in the manufacturing and
15assembling machinery and equipment exemption under paragraph
16(18).
17    (7) Farm chemicals.
18    (8) Legal tender, currency, medallions, or gold or silver
19coinage issued by the State of Illinois, the government of the
20United States of America, or the government of any foreign
21country, and bullion.
22    (9) Personal property purchased from a teacher-sponsored
23student organization affiliated with an elementary or
24secondary school located in Illinois.
25    (10) A motor vehicle that is used for automobile renting,
26as defined in the Automobile Renting Occupation and Use Tax

 

 

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1Act. This exemption does not include the purchase of a motor
2vehicle which will be used in a car facilitation transaction,
3as defined in Section 1-110.06 of the Illinois Vehicle Code.
4    (11) Farm machinery and equipment, both new and used,
5including that manufactured on special order, certified by the
6purchaser to be used primarily for production agriculture or
7State or federal agricultural programs, including individual
8replacement parts for the machinery and equipment, including
9machinery and equipment purchased for lease, and including
10implements of husbandry defined in Section 1-130 of the
11Illinois Vehicle Code, farm machinery and agricultural
12chemical and fertilizer spreaders, and nurse wagons required to
13be registered under Section 3-809 of the Illinois Vehicle Code,
14but excluding other motor vehicles required to be registered
15under the Illinois Vehicle Code. Horticultural polyhouses or
16hoop houses used for propagating, growing, or overwintering
17plants shall be considered farm machinery and equipment under
18this item (11). Agricultural chemical tender tanks and dry
19boxes shall include units sold separately from a motor vehicle
20required to be licensed and units sold mounted on a motor
21vehicle required to be licensed if the selling price of the
22tender is separately stated.
23    Farm machinery and equipment shall include precision
24farming equipment that is installed or purchased to be
25installed on farm machinery and equipment including, but not
26limited to, tractors, harvesters, sprayers, planters, seeders,

 

 

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1or spreaders. Precision farming equipment includes, but is not
2limited to, soil testing sensors, computers, monitors,
3software, global positioning and mapping systems, and other
4such equipment.
5    Farm machinery and equipment also includes computers,
6sensors, software, and related equipment used primarily in the
7computer-assisted operation of production agriculture
8facilities, equipment, and activities such as, but not limited
9to, the collection, monitoring, and correlation of animal and
10crop data for the purpose of formulating animal diets and
11agricultural chemicals. This item (11) is exempt from the
12provisions of Section 3-90.
13    (12) Until June 30, 2013, fuel and petroleum products sold
14to or used by an air common carrier, certified by the carrier
15to be used for consumption, shipment, or storage in the conduct
16of its business as an air common carrier, for a flight destined
17for or returning from a location or locations outside the
18United States without regard to previous or subsequent domestic
19stopovers.
20    Beginning July 1, 2013, fuel and petroleum products sold to
21or used by an air carrier, certified by the carrier to be used
22for consumption, shipment, or storage in the conduct of its
23business as an air common carrier, for a flight that (i) is
24engaged in foreign trade or is engaged in trade between the
25United States and any of its possessions and (ii) transports at
26least one individual or package for hire from the city of

 

 

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1origination to the city of final destination on the same
2aircraft, without regard to a change in the flight number of
3that aircraft.
4    (13) Proceeds of mandatory service charges separately
5stated on customers' bills for the purchase and consumption of
6food and beverages purchased at retail from a retailer, to the
7extent that the proceeds of the service charge are in fact
8turned over as tips or as a substitute for tips to the
9employees who participate directly in preparing, serving,
10hosting or cleaning up the food or beverage function with
11respect to which the service charge is imposed.
12    (14) Until July 1, 2003, oil field exploration, drilling,
13and production equipment, including (i) rigs and parts of rigs,
14rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
15tubular goods, including casing and drill strings, (iii) pumps
16and pump-jack units, (iv) storage tanks and flow lines, (v) any
17individual replacement part for oil field exploration,
18drilling, and production equipment, and (vi) machinery and
19equipment purchased for lease; but excluding motor vehicles
20required to be registered under the Illinois Vehicle Code.
21    (15) Photoprocessing machinery and equipment, including
22repair and replacement parts, both new and used, including that
23manufactured on special order, certified by the purchaser to be
24used primarily for photoprocessing, and including
25photoprocessing machinery and equipment purchased for lease.
26    (16) Coal and aggregate exploration, mining, off-highway

 

 

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1hauling, processing, maintenance, and reclamation equipment,
2including replacement parts and equipment, and including
3equipment purchased for lease, but excluding motor vehicles
4required to be registered under the Illinois Vehicle Code. The
5changes made to this Section by Public Act 97-767 apply on and
6after July 1, 2003, but no claim for credit or refund is
7allowed on or after August 16, 2013 (the effective date of
8Public Act 98-456) for such taxes paid during the period
9beginning July 1, 2003 and ending on August 16, 2013 (the
10effective date of Public Act 98-456).
11    (17) Until July 1, 2003, distillation machinery and
12equipment, sold as a unit or kit, assembled or installed by the
13retailer, certified by the user to be used only for the
14production of ethyl alcohol that will be used for consumption
15as motor fuel or as a component of motor fuel for the personal
16use of the user, and not subject to sale or resale.
17    (18) Manufacturing and assembling machinery and equipment
18used primarily in the process of manufacturing or assembling
19tangible personal property for wholesale or retail sale or
20lease, whether that sale or lease is made directly by the
21manufacturer or by some other person, whether the materials
22used in the process are owned by the manufacturer or some other
23person, or whether that sale or lease is made apart from or as
24an incident to the seller's engaging in the service occupation
25of producing machines, tools, dies, jigs, patterns, gauges, or
26other similar items of no commercial value on special order for

 

 

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1a particular purchaser. The exemption provided by this
2paragraph (18) does not include machinery and equipment used in
3(i) the generation of electricity for wholesale or retail sale;
4(ii) the generation or treatment of natural or artificial gas
5for wholesale or retail sale that is delivered to customers
6through pipes, pipelines, or mains; or (iii) the treatment of
7water for wholesale or retail sale that is delivered to
8customers through pipes, pipelines, or mains. The provisions of
9Public Act 98-583 are declaratory of existing law as to the
10meaning and scope of this exemption. Beginning on July 1, 2017,
11the exemption provided by this paragraph (18) includes, but is
12not limited to, graphic arts machinery and equipment, as
13defined in paragraph (6) of this Section.
14    (19) Personal property delivered to a purchaser or
15purchaser's donee inside Illinois when the purchase order for
16that personal property was received by a florist located
17outside Illinois who has a florist located inside Illinois
18deliver the personal property.
19    (20) Semen used for artificial insemination of livestock
20for direct agricultural production.
21    (21) Horses, or interests in horses, registered with and
22meeting the requirements of any of the Arabian Horse Club
23Registry of America, Appaloosa Horse Club, American Quarter
24Horse Association, United States Trotting Association, or
25Jockey Club, as appropriate, used for purposes of breeding or
26racing for prizes. This item (21) is exempt from the provisions

 

 

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1of Section 3-90, and the exemption provided for under this item
2(21) applies for all periods beginning May 30, 1995, but no
3claim for credit or refund is allowed on or after January 1,
42008 for such taxes paid during the period beginning May 30,
52000 and ending on January 1, 2008.
6    (22) Computers and communications equipment utilized for
7any hospital purpose and equipment used in the diagnosis,
8analysis, or treatment of hospital patients purchased by a
9lessor who leases the equipment, under a lease of one year or
10longer executed or in effect at the time the lessor would
11otherwise be subject to the tax imposed by this Act, to a
12hospital that has been issued an active tax exemption
13identification number by the Department under Section 1g of the
14Retailers' Occupation Tax Act. If the equipment is leased in a
15manner that does not qualify for this exemption or is used in
16any other non-exempt manner, the lessor shall be liable for the
17tax imposed under this Act or the Service Use Tax Act, as the
18case may be, based on the fair market value of the property at
19the time the non-qualifying use occurs. No lessor shall collect
20or attempt to collect an amount (however designated) that
21purports to reimburse that lessor for the tax imposed by this
22Act or the Service Use Tax Act, as the case may be, if the tax
23has not been paid by the lessor. If a lessor improperly
24collects any such amount from the lessee, the lessee shall have
25a legal right to claim a refund of that amount from the lessor.
26If, however, that amount is not refunded to the lessee for any

 

 

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1reason, the lessor is liable to pay that amount to the
2Department.
3    (23) Personal property purchased by a lessor who leases the
4property, under a lease of one year or longer executed or in
5effect at the time the lessor would otherwise be subject to the
6tax imposed by this Act, to a governmental body that has been
7issued an active sales tax exemption identification number by
8the Department under Section 1g of the Retailers' Occupation
9Tax Act. If the property is leased in a manner that does not
10qualify for this exemption or used in any other non-exempt
11manner, the lessor shall be liable for the tax imposed under
12this Act or the Service Use Tax Act, as the case may be, based
13on the fair market value of the property at the time the
14non-qualifying use occurs. No lessor shall collect or attempt
15to collect an amount (however designated) that purports to
16reimburse that lessor for the tax imposed by this Act or the
17Service Use Tax Act, as the case may be, if the tax has not been
18paid by the lessor. If a lessor improperly collects any such
19amount from the lessee, the lessee shall have a legal right to
20claim a refund of that amount from the lessor. If, however,
21that amount is not refunded to the lessee for any reason, the
22lessor is liable to pay that amount to the Department.
23    (24) Beginning with taxable years ending on or after
24December 31, 1995 and ending with taxable years ending on or
25before December 31, 2004, personal property that is donated for
26disaster relief to be used in a State or federally declared

 

 

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1disaster area in Illinois or bordering Illinois by a
2manufacturer or retailer that is registered in this State to a
3corporation, society, association, foundation, or institution
4that has been issued a sales tax exemption identification
5number by the Department that assists victims of the disaster
6who reside within the declared disaster area.
7    (25) Beginning with taxable years ending on or after
8December 31, 1995 and ending with taxable years ending on or
9before December 31, 2004, personal property that is used in the
10performance of infrastructure repairs in this State, including
11but not limited to municipal roads and streets, access roads,
12bridges, sidewalks, waste disposal systems, water and sewer
13line extensions, water distribution and purification
14facilities, storm water drainage and retention facilities, and
15sewage treatment facilities, resulting from a State or
16federally declared disaster in Illinois or bordering Illinois
17when such repairs are initiated on facilities located in the
18declared disaster area within 6 months after the disaster.
19    (26) Beginning July 1, 1999, game or game birds purchased
20at a "game breeding and hunting preserve area" as that term is
21used in the Wildlife Code. This paragraph is exempt from the
22provisions of Section 3-90.
23    (27) A motor vehicle, as that term is defined in Section
241-146 of the Illinois Vehicle Code, that is donated to a
25corporation, limited liability company, society, association,
26foundation, or institution that is determined by the Department

 

 

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1to be organized and operated exclusively for educational
2purposes. For purposes of this exemption, "a corporation,
3limited liability company, society, association, foundation,
4or institution organized and operated exclusively for
5educational purposes" means all tax-supported public schools,
6private schools that offer systematic instruction in useful
7branches of learning by methods common to public schools and
8that compare favorably in their scope and intensity with the
9course of study presented in tax-supported schools, and
10vocational or technical schools or institutes organized and
11operated exclusively to provide a course of study of not less
12than 6 weeks duration and designed to prepare individuals to
13follow a trade or to pursue a manual, technical, mechanical,
14industrial, business, or commercial occupation.
15    (28) Beginning January 1, 2000, personal property,
16including food, purchased through fundraising events for the
17benefit of a public or private elementary or secondary school,
18a group of those schools, or one or more school districts if
19the events are sponsored by an entity recognized by the school
20district that consists primarily of volunteers and includes
21parents and teachers of the school children. This paragraph
22does not apply to fundraising events (i) for the benefit of
23private home instruction or (ii) for which the fundraising
24entity purchases the personal property sold at the events from
25another individual or entity that sold the property for the
26purpose of resale by the fundraising entity and that profits

 

 

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1from the sale to the fundraising entity. This paragraph is
2exempt from the provisions of Section 3-90.
3    (29) Beginning January 1, 2000 and through December 31,
42001, new or used automatic vending machines that prepare and
5serve hot food and beverages, including coffee, soup, and other
6items, and replacement parts for these machines. Beginning
7January 1, 2002 and through June 30, 2003, machines and parts
8for machines used in commercial, coin-operated amusement and
9vending business if a use or occupation tax is paid on the
10gross receipts derived from the use of the commercial,
11coin-operated amusement and vending machines. This paragraph
12is exempt from the provisions of Section 3-90.
13    (30) Beginning January 1, 2001 and through June 30, 2016,
14food for human consumption that is to be consumed off the
15premises where it is sold (other than alcoholic beverages, soft
16drinks, and food that has been prepared for immediate
17consumption) and prescription and nonprescription medicines,
18drugs, medical appliances, and insulin, urine testing
19materials, syringes, and needles used by diabetics, for human
20use, when purchased for use by a person receiving medical
21assistance under Article V of the Illinois Public Aid Code who
22resides in a licensed long-term care facility, as defined in
23the Nursing Home Care Act, or in a licensed facility as defined
24in the ID/DD Community Care Act, the MC/DD Act, or the
25Specialized Mental Health Rehabilitation Act of 2013.
26    (31) Beginning on August 2, 2001 (the effective date of

 

 

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1Public Act 92-227) this amendatory Act of the 92nd General
2Assembly, computers and communications equipment utilized for
3any hospital purpose and equipment used in the diagnosis,
4analysis, or treatment of hospital patients purchased by a
5lessor who leases the equipment, under a lease of one year or
6longer executed or in effect at the time the lessor would
7otherwise be subject to the tax imposed by this Act, to a
8hospital that has been issued an active tax exemption
9identification number by the Department under Section 1g of the
10Retailers' Occupation Tax Act. If the equipment is leased in a
11manner that does not qualify for this exemption or is used in
12any other nonexempt manner, the lessor shall be liable for the
13tax imposed under this Act or the Service Use Tax Act, as the
14case may be, based on the fair market value of the property at
15the time the nonqualifying use occurs. No lessor shall collect
16or attempt to collect an amount (however designated) that
17purports to reimburse that lessor for the tax imposed by this
18Act or the Service Use Tax Act, as the case may be, if the tax
19has not been paid by the lessor. If a lessor improperly
20collects any such amount from the lessee, the lessee shall have
21a legal right to claim a refund of that amount from the lessor.
22If, however, that amount is not refunded to the lessee for any
23reason, the lessor is liable to pay that amount to the
24Department. This paragraph is exempt from the provisions of
25Section 3-90.
26    (32) Beginning on August 2, 2001 (the effective date of

 

 

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1Public Act 92-227) this amendatory Act of the 92nd General
2Assembly, personal property purchased by a lessor who leases
3the property, under a lease of one year or longer executed or
4in effect at the time the lessor would otherwise be subject to
5the tax imposed by this Act, to a governmental body that has
6been issued an active sales tax exemption identification number
7by the Department under Section 1g of the Retailers' Occupation
8Tax Act. If the property is leased in a manner that does not
9qualify for this exemption or used in any other nonexempt
10manner, the lessor shall be liable for the tax imposed under
11this Act or the Service Use Tax Act, as the case may be, based
12on the fair market value of the property at the time the
13nonqualifying use occurs. No lessor shall collect or attempt to
14collect an amount (however designated) that purports to
15reimburse that lessor for the tax imposed by this Act or the
16Service Use Tax Act, as the case may be, if the tax has not been
17paid by the lessor. If a lessor improperly collects any such
18amount from the lessee, the lessee shall have a legal right to
19claim a refund of that amount from the lessor. If, however,
20that amount is not refunded to the lessee for any reason, the
21lessor is liable to pay that amount to the Department. This
22paragraph is exempt from the provisions of Section 3-90.
23    (33) On and after July 1, 2003 and through June 30, 2004,
24the use in this State of motor vehicles of the second division
25with a gross vehicle weight in excess of 8,000 pounds and that
26are subject to the commercial distribution fee imposed under

 

 

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1Section 3-815.1 of the Illinois Vehicle Code. Beginning on July
21, 2004 and through June 30, 2005, the use in this State of
3motor vehicles of the second division: (i) with a gross vehicle
4weight rating in excess of 8,000 pounds; (ii) that are subject
5to the commercial distribution fee imposed under Section
63-815.1 of the Illinois Vehicle Code; and (iii) that are
7primarily used for commercial purposes. Through June 30, 2005,
8this exemption applies to repair and replacement parts added
9after the initial purchase of such a motor vehicle if that
10motor vehicle is used in a manner that would qualify for the
11rolling stock exemption otherwise provided for in this Act. For
12purposes of this paragraph, the term "used for commercial
13purposes" means the transportation of persons or property in
14furtherance of any commercial or industrial enterprise,
15whether for-hire or not.
16    (34) Beginning January 1, 2008, tangible personal property
17used in the construction or maintenance of a community water
18supply, as defined under Section 3.145 of the Environmental
19Protection Act, that is operated by a not-for-profit
20corporation that holds a valid water supply permit issued under
21Title IV of the Environmental Protection Act. This paragraph is
22exempt from the provisions of Section 3-90.
23    (35) Beginning January 1, 2010, materials, parts,
24equipment, components, and furnishings incorporated into or
25upon an aircraft as part of the modification, refurbishment,
26completion, replacement, repair, or maintenance of the

 

 

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1aircraft. This exemption includes consumable supplies used in
2the modification, refurbishment, completion, replacement,
3repair, and maintenance of aircraft, but excludes any
4materials, parts, equipment, components, and consumable
5supplies used in the modification, replacement, repair, and
6maintenance of aircraft engines or power plants, whether such
7engines or power plants are installed or uninstalled upon any
8such aircraft. "Consumable supplies" include, but are not
9limited to, adhesive, tape, sandpaper, general purpose
10lubricants, cleaning solution, latex gloves, and protective
11films. This exemption applies only to the use of qualifying
12tangible personal property by persons who modify, refurbish,
13complete, repair, replace, or maintain aircraft and who (i)
14hold an Air Agency Certificate and are empowered to operate an
15approved repair station by the Federal Aviation
16Administration, (ii) have a Class IV Rating, and (iii) conduct
17operations in accordance with Part 145 of the Federal Aviation
18Regulations. The exemption does not include aircraft operated
19by a commercial air carrier providing scheduled passenger air
20service pursuant to authority issued under Part 121 or Part 129
21of the Federal Aviation Regulations. The changes made to this
22paragraph (35) by Public Act 98-534 are declarative of existing
23law.
24    (36) Tangible personal property purchased by a
25public-facilities corporation, as described in Section
2611-65-10 of the Illinois Municipal Code, for purposes of

 

 

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1constructing or furnishing a municipal convention hall, but
2only if the legal title to the municipal convention hall is
3transferred to the municipality without any further
4consideration by or on behalf of the municipality at the time
5of the completion of the municipal convention hall or upon the
6retirement or redemption of any bonds or other debt instruments
7issued by the public-facilities corporation in connection with
8the development of the municipal convention hall. This
9exemption includes existing public-facilities corporations as
10provided in Section 11-65-25 of the Illinois Municipal Code.
11This paragraph is exempt from the provisions of Section 3-90.
12    (37) Beginning January 1, 2017, menstrual pads, tampons,
13and menstrual cups.
14    (38) Merchandise that is subject to the Rental Purchase
15Agreement Occupation and Use Tax. The purchaser must certify
16that the item is purchased to be rented subject to a rental
17purchase agreement, as defined in the Rental Purchase Agreement
18Act, and provide proof of registration under the Rental
19Purchase Agreement Occupation and Use Tax Act. This paragraph
20is exempt from the provisions of Section 3-90.
21(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
22100-22, eff. 7-6-17; 100-437, eff. 1-1-18; revised 9-27-17.)
 
23    Section 10. If and only if Senate Bill 2641 of the 100th
24General Assembly, as amended by House Amendment No. 3 and House
25Amendment No. 4, becomes law, then the Retailers' Occupation

 

 

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1Tax Act is amended by changing Section 2-5 as follows:
 
2    (35 ILCS 120/2-5)
3    Sec. 2-5. Exemptions. Gross receipts from proceeds from the
4sale of the following tangible personal property are exempt
5from the tax imposed by this Act:
6        (1) Farm chemicals.
7        (2) Farm machinery and equipment, both new and used,
8    including that manufactured on special order, certified by
9    the purchaser to be used primarily for production
10    agriculture or State or federal agricultural programs,
11    including individual replacement parts for the machinery
12    and equipment, including machinery and equipment purchased
13    for lease, and including implements of husbandry defined in
14    Section 1-130 of the Illinois Vehicle Code, farm machinery
15    and agricultural chemical and fertilizer spreaders, and
16    nurse wagons required to be registered under Section 3-809
17    of the Illinois Vehicle Code, but excluding other motor
18    vehicles required to be registered under the Illinois
19    Vehicle Code. Horticultural polyhouses or hoop houses used
20    for propagating, growing, or overwintering plants shall be
21    considered farm machinery and equipment under this item
22    (2). Agricultural chemical tender tanks and dry boxes shall
23    include units sold separately from a motor vehicle required
24    to be licensed and units sold mounted on a motor vehicle
25    required to be licensed, if the selling price of the tender

 

 

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1    is separately stated.
2        Farm machinery and equipment shall include precision
3    farming equipment that is installed or purchased to be
4    installed on farm machinery and equipment including, but
5    not limited to, tractors, harvesters, sprayers, planters,
6    seeders, or spreaders. Precision farming equipment
7    includes, but is not limited to, soil testing sensors,
8    computers, monitors, software, global positioning and
9    mapping systems, and other such equipment.
10        Farm machinery and equipment also includes computers,
11    sensors, software, and related equipment used primarily in
12    the computer-assisted operation of production agriculture
13    facilities, equipment, and activities such as, but not
14    limited to, the collection, monitoring, and correlation of
15    animal and crop data for the purpose of formulating animal
16    diets and agricultural chemicals. This item (2) is exempt
17    from the provisions of Section 2-70.
18        (3) Until July 1, 2003, distillation machinery and
19    equipment, sold as a unit or kit, assembled or installed by
20    the retailer, certified by the user to be used only for the
21    production of ethyl alcohol that will be used for
22    consumption as motor fuel or as a component of motor fuel
23    for the personal use of the user, and not subject to sale
24    or resale.
25        (4) Until July 1, 2003 and beginning again September 1,
26    2004 through August 30, 2014, graphic arts machinery and

 

 

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1    equipment, including repair and replacement parts, both
2    new and used, and including that manufactured on special
3    order or purchased for lease, certified by the purchaser to
4    be used primarily for graphic arts production. Equipment
5    includes chemicals or chemicals acting as catalysts but
6    only if the chemicals or chemicals acting as catalysts
7    effect a direct and immediate change upon a graphic arts
8    product. Beginning on July 1, 2017, graphic arts machinery
9    and equipment is included in the manufacturing and
10    assembling machinery and equipment exemption under
11    paragraph (14).
12        (5) A motor vehicle that is used for automobile
13    renting, as defined in the Automobile Renting Occupation
14    and Use Tax Act. This paragraph is exempt from the
15    provisions of Section 2-70. This exemption does not include
16    the sale of a motor vehicle which will be used in a car
17    facilitation transaction, as defined in Section 1-110.06
18    of the Illinois Vehicle Code.
19        (6) Personal property sold by a teacher-sponsored
20    student organization affiliated with an elementary or
21    secondary school located in Illinois.
22        (7) Until July 1, 2003, proceeds of that portion of the
23    selling price of a passenger car the sale of which is
24    subject to the Replacement Vehicle Tax.
25        (8) Personal property sold to an Illinois county fair
26    association for use in conducting, operating, or promoting

 

 

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1    the county fair.
2        (9) Personal property sold to a not-for-profit arts or
3    cultural organization that establishes, by proof required
4    by the Department by rule, that it has received an
5    exemption under Section 501(c)(3) of the Internal Revenue
6    Code and that is organized and operated primarily for the
7    presentation or support of arts or cultural programming,
8    activities, or services. These organizations include, but
9    are not limited to, music and dramatic arts organizations
10    such as symphony orchestras and theatrical groups, arts and
11    cultural service organizations, local arts councils,
12    visual arts organizations, and media arts organizations.
13    On and after July 1, 2001 (the effective date of Public Act
14    92-35) this amendatory Act of the 92nd General Assembly,
15    however, an entity otherwise eligible for this exemption
16    shall not make tax-free purchases unless it has an active
17    identification number issued by the Department.
18        (10) Personal property sold by a corporation, society,
19    association, foundation, institution, or organization,
20    other than a limited liability company, that is organized
21    and operated as a not-for-profit service enterprise for the
22    benefit of persons 65 years of age or older if the personal
23    property was not purchased by the enterprise for the
24    purpose of resale by the enterprise.
25        (11) Personal property sold to a governmental body, to
26    a corporation, society, association, foundation, or

 

 

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1    institution organized and operated exclusively for
2    charitable, religious, or educational purposes, or to a
3    not-for-profit corporation, society, association,
4    foundation, institution, or organization that has no
5    compensated officers or employees and that is organized and
6    operated primarily for the recreation of persons 55 years
7    of age or older. A limited liability company may qualify
8    for the exemption under this paragraph only if the limited
9    liability company is organized and operated exclusively
10    for educational purposes. On and after July 1, 1987,
11    however, no entity otherwise eligible for this exemption
12    shall make tax-free purchases unless it has an active
13    identification number issued by the Department.
14        (12) (Blank).
15        (12-5) On and after July 1, 2003 and through June 30,
16    2004, motor vehicles of the second division with a gross
17    vehicle weight in excess of 8,000 pounds that are subject
18    to the commercial distribution fee imposed under Section
19    3-815.1 of the Illinois Vehicle Code. Beginning on July 1,
20    2004 and through June 30, 2005, the use in this State of
21    motor vehicles of the second division: (i) with a gross
22    vehicle weight rating in excess of 8,000 pounds; (ii) that
23    are subject to the commercial distribution fee imposed
24    under Section 3-815.1 of the Illinois Vehicle Code; and
25    (iii) that are primarily used for commercial purposes.
26    Through June 30, 2005, this exemption applies to repair and

 

 

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1    replacement parts added after the initial purchase of such
2    a motor vehicle if that motor vehicle is used in a manner
3    that would qualify for the rolling stock exemption
4    otherwise provided for in this Act. For purposes of this
5    paragraph, "used for commercial purposes" means the
6    transportation of persons or property in furtherance of any
7    commercial or industrial enterprise whether for-hire or
8    not.
9        (13) Proceeds from sales to owners, lessors, or
10    shippers of tangible personal property that is utilized by
11    interstate carriers for hire for use as rolling stock
12    moving in interstate commerce and equipment operated by a
13    telecommunications provider, licensed as a common carrier
14    by the Federal Communications Commission, which is
15    permanently installed in or affixed to aircraft moving in
16    interstate commerce.
17        (14) Machinery and equipment that will be used by the
18    purchaser, or a lessee of the purchaser, primarily in the
19    process of manufacturing or assembling tangible personal
20    property for wholesale or retail sale or lease, whether the
21    sale or lease is made directly by the manufacturer or by
22    some other person, whether the materials used in the
23    process are owned by the manufacturer or some other person,
24    or whether the sale or lease is made apart from or as an
25    incident to the seller's engaging in the service occupation
26    of producing machines, tools, dies, jigs, patterns,

 

 

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1    gauges, or other similar items of no commercial value on
2    special order for a particular purchaser. The exemption
3    provided by this paragraph (14) does not include machinery
4    and equipment used in (i) the generation of electricity for
5    wholesale or retail sale; (ii) the generation or treatment
6    of natural or artificial gas for wholesale or retail sale
7    that is delivered to customers through pipes, pipelines, or
8    mains; or (iii) the treatment of water for wholesale or
9    retail sale that is delivered to customers through pipes,
10    pipelines, or mains. The provisions of Public Act 98-583
11    are declaratory of existing law as to the meaning and scope
12    of this exemption. Beginning on July 1, 2017, the exemption
13    provided by this paragraph (14) includes, but is not
14    limited to, graphic arts machinery and equipment, as
15    defined in paragraph (4) of this Section.
16        (15) Proceeds of mandatory service charges separately
17    stated on customers' bills for purchase and consumption of
18    food and beverages, to the extent that the proceeds of the
19    service charge are in fact turned over as tips or as a
20    substitute for tips to the employees who participate
21    directly in preparing, serving, hosting or cleaning up the
22    food or beverage function with respect to which the service
23    charge is imposed.
24        (16) Petroleum products sold to a purchaser if the
25    seller is prohibited by federal law from charging tax to
26    the purchaser.

 

 

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1        (17) Tangible personal property sold to a common
2    carrier by rail or motor that receives the physical
3    possession of the property in Illinois and that transports
4    the property, or shares with another common carrier in the
5    transportation of the property, out of Illinois on a
6    standard uniform bill of lading showing the seller of the
7    property as the shipper or consignor of the property to a
8    destination outside Illinois, for use outside Illinois.
9        (18) Legal tender, currency, medallions, or gold or
10    silver coinage issued by the State of Illinois, the
11    government of the United States of America, or the
12    government of any foreign country, and bullion.
13        (19) Until July 1, 2003, oil field exploration,
14    drilling, and production equipment, including (i) rigs and
15    parts of rigs, rotary rigs, cable tool rigs, and workover
16    rigs, (ii) pipe and tubular goods, including casing and
17    drill strings, (iii) pumps and pump-jack units, (iv)
18    storage tanks and flow lines, (v) any individual
19    replacement part for oil field exploration, drilling, and
20    production equipment, and (vi) machinery and equipment
21    purchased for lease; but excluding motor vehicles required
22    to be registered under the Illinois Vehicle Code.
23        (20) Photoprocessing machinery and equipment,
24    including repair and replacement parts, both new and used,
25    including that manufactured on special order, certified by
26    the purchaser to be used primarily for photoprocessing, and

 

 

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1    including photoprocessing machinery and equipment
2    purchased for lease.
3        (21) Coal and aggregate exploration, mining,
4    off-highway hauling, processing, maintenance, and
5    reclamation equipment, including replacement parts and
6    equipment, and including equipment purchased for lease,
7    but excluding motor vehicles required to be registered
8    under the Illinois Vehicle Code. The changes made to this
9    Section by Public Act 97-767 apply on and after July 1,
10    2003, but no claim for credit or refund is allowed on or
11    after August 16, 2013 (the effective date of Public Act
12    98-456) for such taxes paid during the period beginning
13    July 1, 2003 and ending on August 16, 2013 (the effective
14    date of Public Act 98-456).
15        (22) Until June 30, 2013, fuel and petroleum products
16    sold to or used by an air carrier, certified by the carrier
17    to be used for consumption, shipment, or storage in the
18    conduct of its business as an air common carrier, for a
19    flight destined for or returning from a location or
20    locations outside the United States without regard to
21    previous or subsequent domestic stopovers.
22        Beginning July 1, 2013, fuel and petroleum products
23    sold to or used by an air carrier, certified by the carrier
24    to be used for consumption, shipment, or storage in the
25    conduct of its business as an air common carrier, for a
26    flight that (i) is engaged in foreign trade or is engaged

 

 

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1    in trade between the United States and any of its
2    possessions and (ii) transports at least one individual or
3    package for hire from the city of origination to the city
4    of final destination on the same aircraft, without regard
5    to a change in the flight number of that aircraft.
6        (23) A transaction in which the purchase order is
7    received by a florist who is located outside Illinois, but
8    who has a florist located in Illinois deliver the property
9    to the purchaser or the purchaser's donee in Illinois.
10        (24) Fuel consumed or used in the operation of ships,
11    barges, or vessels that are used primarily in or for the
12    transportation of property or the conveyance of persons for
13    hire on rivers bordering on this State if the fuel is
14    delivered by the seller to the purchaser's barge, ship, or
15    vessel while it is afloat upon that bordering river.
16        (25) Except as provided in item (25-5) of this Section,
17    a motor vehicle sold in this State to a nonresident even
18    though the motor vehicle is delivered to the nonresident in
19    this State, if the motor vehicle is not to be titled in
20    this State, and if a drive-away permit is issued to the
21    motor vehicle as provided in Section 3-603 of the Illinois
22    Vehicle Code or if the nonresident purchaser has vehicle
23    registration plates to transfer to the motor vehicle upon
24    returning to his or her home state. The issuance of the
25    drive-away permit or having the out-of-state registration
26    plates to be transferred is prima facie evidence that the

 

 

SB0514 Engrossed- 29 -LRB100 05211 AXK 15221 b

1    motor vehicle will not be titled in this State.
2        (25-5) The exemption under item (25) does not apply if
3    the state in which the motor vehicle will be titled does
4    not allow a reciprocal exemption for a motor vehicle sold
5    and delivered in that state to an Illinois resident but
6    titled in Illinois. The tax collected under this Act on the
7    sale of a motor vehicle in this State to a resident of
8    another state that does not allow a reciprocal exemption
9    shall be imposed at a rate equal to the state's rate of tax
10    on taxable property in the state in which the purchaser is
11    a resident, except that the tax shall not exceed the tax
12    that would otherwise be imposed under this Act. At the time
13    of the sale, the purchaser shall execute a statement,
14    signed under penalty of perjury, of his or her intent to
15    title the vehicle in the state in which the purchaser is a
16    resident within 30 days after the sale and of the fact of
17    the payment to the State of Illinois of tax in an amount
18    equivalent to the state's rate of tax on taxable property
19    in his or her state of residence and shall submit the
20    statement to the appropriate tax collection agency in his
21    or her state of residence. In addition, the retailer must
22    retain a signed copy of the statement in his or her
23    records. Nothing in this item shall be construed to require
24    the removal of the vehicle from this state following the
25    filing of an intent to title the vehicle in the purchaser's
26    state of residence if the purchaser titles the vehicle in

 

 

SB0514 Engrossed- 30 -LRB100 05211 AXK 15221 b

1    his or her state of residence within 30 days after the date
2    of sale. The tax collected under this Act in accordance
3    with this item (25-5) shall be proportionately distributed
4    as if the tax were collected at the 6.25% general rate
5    imposed under this Act.
6        (25-7) Beginning on July 1, 2007, no tax is imposed
7    under this Act on the sale of an aircraft, as defined in
8    Section 3 of the Illinois Aeronautics Act, if all of the
9    following conditions are met:
10            (1) the aircraft leaves this State within 15 days
11        after the later of either the issuance of the final
12        billing for the sale of the aircraft, or the authorized
13        approval for return to service, completion of the
14        maintenance record entry, and completion of the test
15        flight and ground test for inspection, as required by
16        14 C.F.R. 91.407;
17            (2) the aircraft is not based or registered in this
18        State after the sale of the aircraft; and
19            (3) the seller retains in his or her books and
20        records and provides to the Department a signed and
21        dated certification from the purchaser, on a form
22        prescribed by the Department, certifying that the
23        requirements of this item (25-7) are met. The
24        certificate must also include the name and address of
25        the purchaser, the address of the location where the
26        aircraft is to be titled or registered, the address of

 

 

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1        the primary physical location of the aircraft, and
2        other information that the Department may reasonably
3        require.
4        For purposes of this item (25-7):
5        "Based in this State" means hangared, stored, or
6    otherwise used, excluding post-sale customizations as
7    defined in this Section, for 10 or more days in each
8    12-month period immediately following the date of the sale
9    of the aircraft.
10        "Registered in this State" means an aircraft
11    registered with the Department of Transportation,
12    Aeronautics Division, or titled or registered with the
13    Federal Aviation Administration to an address located in
14    this State.
15        This paragraph (25-7) is exempt from the provisions of
16    Section 2-70.
17        (26) Semen used for artificial insemination of
18    livestock for direct agricultural production.
19        (27) Horses, or interests in horses, registered with
20    and meeting the requirements of any of the Arabian Horse
21    Club Registry of America, Appaloosa Horse Club, American
22    Quarter Horse Association, United States Trotting
23    Association, or Jockey Club, as appropriate, used for
24    purposes of breeding or racing for prizes. This item (27)
25    is exempt from the provisions of Section 2-70, and the
26    exemption provided for under this item (27) applies for all

 

 

SB0514 Engrossed- 32 -LRB100 05211 AXK 15221 b

1    periods beginning May 30, 1995, but no claim for credit or
2    refund is allowed on or after January 1, 2008 (the
3    effective date of Public Act 95-88) for such taxes paid
4    during the period beginning May 30, 2000 and ending on
5    January 1, 2008 (the effective date of Public Act 95-88).
6        (28) Computers and communications equipment utilized
7    for any hospital purpose and equipment used in the
8    diagnosis, analysis, or treatment of hospital patients
9    sold to a lessor who leases the equipment, under a lease of
10    one year or longer executed or in effect at the time of the
11    purchase, to a hospital that has been issued an active tax
12    exemption identification number by the Department under
13    Section 1g of this Act.
14        (29) Personal property sold to a lessor who leases the
15    property, under a lease of one year or longer executed or
16    in effect at the time of the purchase, to a governmental
17    body that has been issued an active tax exemption
18    identification number by the Department under Section 1g of
19    this Act.
20        (30) Beginning with taxable years ending on or after
21    December 31, 1995 and ending with taxable years ending on
22    or before December 31, 2004, personal property that is
23    donated for disaster relief to be used in a State or
24    federally declared disaster area in Illinois or bordering
25    Illinois by a manufacturer or retailer that is registered
26    in this State to a corporation, society, association,

 

 

SB0514 Engrossed- 33 -LRB100 05211 AXK 15221 b

1    foundation, or institution that has been issued a sales tax
2    exemption identification number by the Department that
3    assists victims of the disaster who reside within the
4    declared disaster area.
5        (31) Beginning with taxable years ending on or after
6    December 31, 1995 and ending with taxable years ending on
7    or before December 31, 2004, personal property that is used
8    in the performance of infrastructure repairs in this State,
9    including but not limited to municipal roads and streets,
10    access roads, bridges, sidewalks, waste disposal systems,
11    water and sewer line extensions, water distribution and
12    purification facilities, storm water drainage and
13    retention facilities, and sewage treatment facilities,
14    resulting from a State or federally declared disaster in
15    Illinois or bordering Illinois when such repairs are
16    initiated on facilities located in the declared disaster
17    area within 6 months after the disaster.
18        (32) Beginning July 1, 1999, game or game birds sold at
19    a "game breeding and hunting preserve area" as that term is
20    used in the Wildlife Code. This paragraph is exempt from
21    the provisions of Section 2-70.
22        (33) A motor vehicle, as that term is defined in
23    Section 1-146 of the Illinois Vehicle Code, that is donated
24    to a corporation, limited liability company, society,
25    association, foundation, or institution that is determined
26    by the Department to be organized and operated exclusively

 

 

SB0514 Engrossed- 34 -LRB100 05211 AXK 15221 b

1    for educational purposes. For purposes of this exemption,
2    "a corporation, limited liability company, society,
3    association, foundation, or institution organized and
4    operated exclusively for educational purposes" means all
5    tax-supported public schools, private schools that offer
6    systematic instruction in useful branches of learning by
7    methods common to public schools and that compare favorably
8    in their scope and intensity with the course of study
9    presented in tax-supported schools, and vocational or
10    technical schools or institutes organized and operated
11    exclusively to provide a course of study of not less than 6
12    weeks duration and designed to prepare individuals to
13    follow a trade or to pursue a manual, technical,
14    mechanical, industrial, business, or commercial
15    occupation.
16        (34) Beginning January 1, 2000, personal property,
17    including food, purchased through fundraising events for
18    the benefit of a public or private elementary or secondary
19    school, a group of those schools, or one or more school
20    districts if the events are sponsored by an entity
21    recognized by the school district that consists primarily
22    of volunteers and includes parents and teachers of the
23    school children. This paragraph does not apply to
24    fundraising events (i) for the benefit of private home
25    instruction or (ii) for which the fundraising entity
26    purchases the personal property sold at the events from

 

 

SB0514 Engrossed- 35 -LRB100 05211 AXK 15221 b

1    another individual or entity that sold the property for the
2    purpose of resale by the fundraising entity and that
3    profits from the sale to the fundraising entity. This
4    paragraph is exempt from the provisions of Section 2-70.
5        (35) Beginning January 1, 2000 and through December 31,
6    2001, new or used automatic vending machines that prepare
7    and serve hot food and beverages, including coffee, soup,
8    and other items, and replacement parts for these machines.
9    Beginning January 1, 2002 and through June 30, 2003,
10    machines and parts for machines used in commercial,
11    coin-operated amusement and vending business if a use or
12    occupation tax is paid on the gross receipts derived from
13    the use of the commercial, coin-operated amusement and
14    vending machines. This paragraph is exempt from the
15    provisions of Section 2-70.
16        (35-5) Beginning August 23, 2001 and through June 30,
17    2016, food for human consumption that is to be consumed off
18    the premises where it is sold (other than alcoholic
19    beverages, soft drinks, and food that has been prepared for
20    immediate consumption) and prescription and
21    nonprescription medicines, drugs, medical appliances, and
22    insulin, urine testing materials, syringes, and needles
23    used by diabetics, for human use, when purchased for use by
24    a person receiving medical assistance under Article V of
25    the Illinois Public Aid Code who resides in a licensed
26    long-term care facility, as defined in the Nursing Home

 

 

SB0514 Engrossed- 36 -LRB100 05211 AXK 15221 b

1    Care Act, or a licensed facility as defined in the ID/DD
2    Community Care Act, the MC/DD Act, or the Specialized
3    Mental Health Rehabilitation Act of 2013.
4        (36) Beginning August 2, 2001, computers and
5    communications equipment utilized for any hospital purpose
6    and equipment used in the diagnosis, analysis, or treatment
7    of hospital patients sold to a lessor who leases the
8    equipment, under a lease of one year or longer executed or
9    in effect at the time of the purchase, to a hospital that
10    has been issued an active tax exemption identification
11    number by the Department under Section 1g of this Act. This
12    paragraph is exempt from the provisions of Section 2-70.
13        (37) Beginning August 2, 2001, personal property sold
14    to a lessor who leases the property, under a lease of one
15    year or longer executed or in effect at the time of the
16    purchase, to a governmental body that has been issued an
17    active tax exemption identification number by the
18    Department under Section 1g of this Act. This paragraph is
19    exempt from the provisions of Section 2-70.
20        (38) Beginning on January 1, 2002 and through June 30,
21    2016, tangible personal property purchased from an
22    Illinois retailer by a taxpayer engaged in centralized
23    purchasing activities in Illinois who will, upon receipt of
24    the property in Illinois, temporarily store the property in
25    Illinois (i) for the purpose of subsequently transporting
26    it outside this State for use or consumption thereafter

 

 

SB0514 Engrossed- 37 -LRB100 05211 AXK 15221 b

1    solely outside this State or (ii) for the purpose of being
2    processed, fabricated, or manufactured into, attached to,
3    or incorporated into other tangible personal property to be
4    transported outside this State and thereafter used or
5    consumed solely outside this State. The Director of Revenue
6    shall, pursuant to rules adopted in accordance with the
7    Illinois Administrative Procedure Act, issue a permit to
8    any taxpayer in good standing with the Department who is
9    eligible for the exemption under this paragraph (38). The
10    permit issued under this paragraph (38) shall authorize the
11    holder, to the extent and in the manner specified in the
12    rules adopted under this Act, to purchase tangible personal
13    property from a retailer exempt from the taxes imposed by
14    this Act. Taxpayers shall maintain all necessary books and
15    records to substantiate the use and consumption of all such
16    tangible personal property outside of the State of
17    Illinois.
18        (39) Beginning January 1, 2008, tangible personal
19    property used in the construction or maintenance of a
20    community water supply, as defined under Section 3.145 of
21    the Environmental Protection Act, that is operated by a
22    not-for-profit corporation that holds a valid water supply
23    permit issued under Title IV of the Environmental
24    Protection Act. This paragraph is exempt from the
25    provisions of Section 2-70.
26        (40) Beginning January 1, 2010, materials, parts,

 

 

SB0514 Engrossed- 38 -LRB100 05211 AXK 15221 b

1    equipment, components, and furnishings incorporated into
2    or upon an aircraft as part of the modification,
3    refurbishment, completion, replacement, repair, or
4    maintenance of the aircraft. This exemption includes
5    consumable supplies used in the modification,
6    refurbishment, completion, replacement, repair, and
7    maintenance of aircraft, but excludes any materials,
8    parts, equipment, components, and consumable supplies used
9    in the modification, replacement, repair, and maintenance
10    of aircraft engines or power plants, whether such engines
11    or power plants are installed or uninstalled upon any such
12    aircraft. "Consumable supplies" include, but are not
13    limited to, adhesive, tape, sandpaper, general purpose
14    lubricants, cleaning solution, latex gloves, and
15    protective films. This exemption applies only to the sale
16    of qualifying tangible personal property to persons who
17    modify, refurbish, complete, replace, or maintain an
18    aircraft and who (i) hold an Air Agency Certificate and are
19    empowered to operate an approved repair station by the
20    Federal Aviation Administration, (ii) have a Class IV
21    Rating, and (iii) conduct operations in accordance with
22    Part 145 of the Federal Aviation Regulations. The exemption
23    does not include aircraft operated by a commercial air
24    carrier providing scheduled passenger air service pursuant
25    to authority issued under Part 121 or Part 129 of the
26    Federal Aviation Regulations. The changes made to this

 

 

SB0514 Engrossed- 39 -LRB100 05211 AXK 15221 b

1    paragraph (40) by Public Act 98-534 are declarative of
2    existing law.
3        (41) Tangible personal property sold to a
4    public-facilities corporation, as described in Section
5    11-65-10 of the Illinois Municipal Code, for purposes of
6    constructing or furnishing a municipal convention hall,
7    but only if the legal title to the municipal convention
8    hall is transferred to the municipality without any further
9    consideration by or on behalf of the municipality at the
10    time of the completion of the municipal convention hall or
11    upon the retirement or redemption of any bonds or other
12    debt instruments issued by the public-facilities
13    corporation in connection with the development of the
14    municipal convention hall. This exemption includes
15    existing public-facilities corporations as provided in
16    Section 11-65-25 of the Illinois Municipal Code. This
17    paragraph is exempt from the provisions of Section 2-70.
18        (42) Beginning January 1, 2017, menstrual pads,
19    tampons, and menstrual cups.
20        (43) Merchandise that is subject to the Rental Purchase
21    Agreement Occupation and Use Tax. The purchaser must
22    certify that the item is purchased to be rented subject to
23    a rental purchase agreement, as defined in the Rental
24    Purchase Agreement Act, and provide proof of registration
25    under the Rental Purchase Agreement Occupation and Use Tax
26    Act. This paragraph is exempt from the provisions of

 

 

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1    Section 2-70.
2(Source: P.A. 99-180, eff. 7-29-15; 99-855, eff. 8-19-16;
3100-22, eff. 7-6-17; 100-321, eff. 8-24-17; 100-437, eff.
41-1-18; revised 9-26-17.)
 
5    Section 15. If and only if Senate Bill 2641 of the 100th
6General Assembly, as amended by House Amendment No. 3 and House
7Amendment No. 4, becomes law, then the Automobile Renting
8Occupation and Use Tax Act is amended by changing Section 2 as
9follows:
 
10    (35 ILCS 155/2)  (from Ch. 120, par. 1702)
11    Sec. 2. Definitions. "Renting" means any transfer of the
12possession or right to possession of an automobile to a user
13for a valuable consideration for a period of one year or less,
14including the facilitation of the use of a privately-owned
15passenger motor vehicle for use by persons other than the
16vehicle's registered owner as an part of a car facilitation
17transaction, as defined in Section 1-110.06 of the Illinois
18Vehicle Code.
19    "Renting" does not include making a charge for the use of
20an automobile where the rentor, either himself or through an
21agent, furnishes a service of operating an automobile so that
22the rentor remains in possession of the automobile, because
23this does not constitute a transfer of possession or right to
24possession of the automobile.

 

 

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1    "Renting" does not include the making of a charge by an
2automobile dealer for the use of an automobile as a
3demonstrator in connection with the dealer's business of
4selling, where the charge is merely made to recover the costs
5of operating the automobile as a demonstrator and is not
6intended as a rental or leasing charge in the ordinary sense.
7    "Automobile" means (1) any motor vehicle of the first
8division, or (2) a motor vehicle of the second division which:
9(A) is a self-contained motor vehicle designed or permanently
10converted to provide living quarters for recreational, camping
11or travel use, with direct walk through access to the living
12quarters from the driver's seat; (B) is of the van
13configuration designed for the transportation of not less than
147 nor more than 16 passengers, as defined in Section 1-146 of
15the Illinois Vehicle Code; or (C) has a Gross Vehicle Weight
16Rating, as defined in Section 1-124.5 of the Illinois Vehicle
17Code, of 8,000 pounds or less.
18    "Department" means the Department of Revenue.
19    "Person" means any natural individual, firm, partnership,
20association, joint stock company, joint adventure, public or
21private corporation, limited liability company, or a receiver,
22executor, trustee, conservator or other representative
23appointed by order of any court.
24    "Rentor" means any person, firm, corporation or
25association engaged in the business of renting or leasing
26automobiles to users. For this purpose, the objective of making

 

 

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1a profit is not necessary to make the renting activity a
2business. "Rentor" includes a car facilitation company as
3defined in Section 1-110.05 of the Illinois Vehicle Code.
4    "Rentee" means any user to whom the possession, or the
5right to possession, of an automobile is transferred for a
6valuable consideration for a period of one year or less,
7whether paid for by the "rentee" or by someone else.
8    "Gross receipts" from the renting of tangible personal
9property or "rent" means the total rental price or leasing
10price. In the case of rental transactions in which the
11consideration is paid to the rentor on an installment basis,
12the amounts of such payments shall be included by the rentor in
13gross receipts or rent only as and when payments are received
14by the rentor.
15    "Gross receipts" does not include receipts received by an
16automobile dealer from a manufacturer or service contract
17provider for the use of an automobile by a person while that
18person's automobile is being repaired by that automobile dealer
19and the repair is made pursuant to a manufacturer's warranty or
20a service contract where a manufacturer or service contract
21provider reimburses that automobile dealer pursuant to a
22manufacturer's warranty or a service contract and the
23reimbursement is merely made to recover the costs of operating
24the automobile as a loaner vehicle.
25    "Rental price" means the consideration for renting or
26leasing an automobile valued in money, whether received in

 

 

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1money or otherwise, including cash credits, property and
2services, and shall be determined without any deduction on
3account of the cost of the property rented, the cost of
4materials used, labor or service cost, or any other expense
5whatsoever, but does not include charges that are added by a
6rentor on account of the rentor's tax liability under this Act
7or on account of the rentor's duty to collect, from the rentee,
8the tax that is imposed by Section 4 of this Act. The phrase
9"rental price" does not include compensation paid to a rentor
10by a rentee in consideration of the waiver by the rentor of any
11right of action or claim against the rentee for loss or damage
12to the automobile rented and also does not include a separately
13stated charge for insurance or recovery of refueling costs or
14other separately stated charges that are not for the use of
15tangible personal property.
16(Source: 10000SB2641ham003.)
 
17    Section 20. If and only if Senate Bill 2641 of the 100th
18General Assembly, as amended by House Amendment No. 3 and House
19Amendment No. 4, becomes law, then the Counties Code is amended
20by changing Section 5-1032 as follows:
 
21    (55 ILCS 5/5-1032)  (from Ch. 34, par. 5-1032)
22    Sec. 5-1032. County Automobile Renting Occupation Tax. The
23corporate authorities of a county may impose a tax upon all
24persons engaged in the business of renting automobiles in the

 

 

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1county, but outside any municipality, at the rate of not to
2exceed 1% of the gross receipts from such business. For the
3purposes of imposing a tax under this Section, the facilitation
4of the use of a privately-owned passenger motor vehicle for use
5by a person other than the vehicle's registered owner as a part
6of a car facilitation transaction, as defined in Section
71-110.06 of the Illinois Vehicle Code, constitutes engaging in
8the business of renting automobiles in the county. The tax
9imposed by a county pursuant to this Section and all civil
10penalties that may be assessed as an Incident thereof shall be
11collected and enforced by the State Department of Revenue. The
12certificate of registration which is issued by the Department
13to a retailer under the "Retailers' Occupation Tax Act",
14approved June 23, 1933, as amended, or under the "Automobile
15Renting Occupation and Use Tax Act", enacted by the
16Eighty-Second General Assembly, shall permit such person to
17engage in a business which is taxable under any ordinance or
18resolution enacted pursuant to this Section without
19registering separately with the Department under such
20ordinance or resolution or under this Section. The Department
21shall have full power to administer and enforce this Section;
22to collect all taxes and penalties due hereunder; to dispose of
23taxes and penalties so collected in the manner hereinafter
24provided, and to determine all rights to credit memoranda,
25arising on account of the erroneous payment of tax or penalty
26hereunder. In the administration of, and compliance with, this

 

 

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1Section, the Department and persons who are subject to this
2Section shall have the same rights, remedies, privileges,
3immunities, powers and duties, and be subject to the same
4conditions, restrictions, limitations, penalties and
5definitions of terms, and employ the same modes of procedure,
6as are prescribed in Sections 2 and 3 (in respect to all
7provisions therein other than the State rate of tax; and with
8relation to the provisions of the "Retailers' Occupation Tax"
9referred to therein, except as to the disposition of taxes and
10penalties collected, and except for the provision allowing
11retailers a deduction from the tax to cover certain costs, and
12except that credit memoranda issued hereunder may not be used
13to discharge any State tax liability) of the "Automobile
14Renting Occupation and Use Tax Act", as the same are now or may
15hereafter be amended, as fully as if provisions contained in
16those Sections of said Act were set forth herein.
17    Persons subject to any tax imposed pursuant to the
18authority granted in this Section may reimburse themselves for
19their tax liability hereunder by separately stating such tax as
20an additional charge, which charge may be stated in
21combination, in a single amount, with State tax which sellers
22are required to collect under the "Automobile Renting
23Occupation and Use Tax Act" pursuant to such bracket schedules
24as the Department may prescribe.
25    Whenever the Department determines that a refund should be
26made under this Section to a claimant instead of issuing a

 

 

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1credit memorandum, the Department shall notify the State
2Comptroller, who shall cause the order to be drawn for the
3amount specified, and to the person named, in such notification
4from the Department. Such refund shall be paid by the State
5Treasurer out of the county automobile renting tax fund.
6    The Department shall forthwith pay over to the State
7Treasurer, ex-officio, as trustee, all taxes and penalties
8collected hereunder. On or before the 25th day of each calendar
9month, the Department shall prepare and certify to the
10Comptroller the disbursement of stated sums of money to named
11counties from which rentors have paid taxes or penalties
12hereunder to the Department during the second preceding
13calendar month. The amount to be paid to each county shall be
14the amount (not including credit memoranda) collected
15hereunder during the second preceding calendar month by the
16Department, and not including an amount equal to the amount of
17refunds made during the second preceding calendar month by the
18Department on behalf of such county, less 2% of such balance,
19which sum shall be retained by the State Treasurer to cover the
20costs incurred by the Department in administering and enforcing
21this Section as provided herein. The Department at the time of
22each monthly disbursement to the counties shall prepare and
23certify to the Comptroller the amount, so retained by the State
24Treasurer, to be paid into the General Revenue Fund of the
25State Treasury. Within 10 days after receipt, by the
26Comptroller, of the disbursement certification to the counties

 

 

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1and the General Revenue Fund, provided for in this Section to
2be given to the Comptroller by the Department, the Comptroller
3shall cause the orders to be drawn for the respective amounts
4in accordance with the directions contained in such
5certification.
6    Nothing in this Section shall be construed to authorize a
7county to impose a tax upon the privilege of engaging in any
8business which under the constitution of the United States may
9not be made the subject of taxation by this State.
10    An ordinance or resolution imposing a tax hereunder or
11effecting a change in the rate thereof shall be effective on
12the first day of the calendar month next following the month in
13which such ordinance or resolution is passed. The corporate
14authorities of any county which levies a tax authorized by this
15Section shall transmit to the Department of Revenue on or not
16later than 5 days after passage of the ordinance or resolution
17a certified copy of the ordinance or resolution imposing such
18tax whereupon the Department of Revenue shall proceed to
19administer and enforce this Section on behalf of such county as
20of the effective date of the ordinance or resolution. Upon a
21change in rate of a tax levied hereunder, or upon the
22discontinuance of the tax, the corporate authorities of the
23county shall on or not later than 5 days after passage of the
24ordinance or resolution discontinuing the tax or effecting a
25change in rate transmit to the Department of Revenue a
26certified copy of the ordinance or resolution effecting such

 

 

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1change or discontinuance.
2    The Department of Revenue must upon the request of the
3County Clerk or County Board submit to a county a list of those
4persons who are registered with the Department to pay
5automobile renting occupation tax within the unincorporated
6area of that governmental unit. This list shall contain only
7the names of persons who have paid the tax and not the amount
8of tax paid by such person.
9    This Section shall be known and may be cited as the "County
10Automobile Renting Occupation Tax Law".
11(Source: 10000SB2641ham003.)
 
12    Section 25. If and only if Senate Bill 2641 of the 100th
13General Assembly, as amended by House Amendment No. 3 and House
14Amendment No. 4, becomes law, then the Illinois Municipal Code
15is amended by changing Section 8-11-7 as follows:
 
16    (65 ILCS 5/8-11-7)  (from Ch. 24, par. 8-11-7)
17    Sec. 8-11-7. The corporate authorities of a municipality
18may impose a tax upon all persons engaged in the business of
19renting automobiles in the municipality at the rate of not to
20exceed 1% of the gross receipts from such business. For the
21purposes of imposing a tax under this Section, the facilitation
22of the use of a privately-owned passenger motor vehicle for use
23by a person other than the vehicle's registered owner as a part
24of a car facilitation transaction, as defined in Section

 

 

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11-110.06 of the Illinois Vehicle Code, constitutes engaging in
2the business of renting automobiles in the municipality. The
3tax imposed by a municipality pursuant to this Section and all
4civil penalties that may be assessed as an incident thereof
5shall be collected and enforced by the State Department of
6Revenue. The certificate of registration which is issued by the
7Department to a retailer under the Retailers' Occupation Tax
8Act or under the Automobile Renting Occupation and Use Tax Act
9shall permit such person to engage in a business which is
10taxable under any ordinance or resolution enacted pursuant to
11this Section without registering separately with the
12Department under such ordinance or resolution or under this
13Section. The Department shall have full power to administer and
14enforce this Section; to collect all taxes and penalties due
15hereunder; to dispose of taxes and penalties so collected in
16the manner hereinafter provided; and to determine all rights to
17credit memoranda, arising on account of the erroneous payment
18of tax or penalty hereunder. In the administration of, and
19compliance with, this Section, the Department and persons who
20are subject to this Section shall have the same rights,
21remedies, privileges, immunities, powers and duties, and be
22subject to the same conditions, restrictions, limitations,
23penalties and definitions of terms, and employ the same modes
24of procedure, as are prescribed in Sections 2 and 3 (in respect
25to all provisions therein other than the State rate of tax; and
26with relation to the provisions of the "Retailers' Occupation

 

 

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1Tax" referred to therein, except as to the disposition of taxes
2and penalties collected, and except for the provision allowing
3retailers a deduction from the tax to cover certain costs, and
4except that credit memoranda issued hereunder may not be used
5to discharge any State tax liability) of the Automobile Renting
6Occupation and Use Tax Act, as fully as if those provisions
7were set forth herein.
8    Persons subject to any tax imposed pursuant to the
9authority granted in this Section may reimburse themselves for
10their tax liability hereunder by separately stating such tax as
11an additional charge, which charge may be stated in
12combination, in a single amount, with State tax which sellers
13are required to collect under the Automobile Renting Occupation
14and Use Tax Act pursuant to such bracket schedules as the
15Department may prescribe.
16    Whenever the Department determines that a refund should be
17made under this Section to a claimant instead of issuing a
18credit memorandum, the Department shall notify the State
19Comptroller, who shall cause the order to be drawn for the
20amount specified, and to the person named, in such notification
21from the Department. Such refund shall be paid by the State
22Treasurer out of the municipal automobile renting tax fund.
23    The Department shall forthwith pay over to the State
24Treasurer, ex-officio, as trustee, all taxes and penalties
25collected hereunder. On or before the 25th day of each calendar
26month, the Department shall prepare and certify to the

 

 

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1Comptroller the disbursement of stated sums of money to named
2municipalities, the municipalities to be those from which
3rentors have paid taxes or penalties hereunder to the
4Department during the second preceding calendar month. The
5amount to be paid to each municipality shall be the amount (not
6including credit memoranda) collected hereunder during the
7second preceding calendar month by the Department, and not
8including an amount equal to the amount of refunds made during
9the second preceding calendar month by the Department on behalf
10of such municipality, less 1.6% of such balance, which sum
11shall be retained by the State Treasurer to cover the costs
12incurred by the Department in administering and enforcing this
13Section as provided herein. The Department at the time of each
14monthly disbursement to the municipalities shall prepare and
15certify to the Comptroller the amount, so retained by the State
16Treasurer, to be paid into the General Revenue Fund of the
17State Treasury. Within 10 days after receipt, by the
18Comptroller, of the disbursement certification to the
19municipalities and the General Revenue Fund, provided for in
20this Section to be given to the Comptroller by the Department,
21the Comptroller shall cause the orders to be drawn for the
22respective amounts in accordance with the directions contained
23in such certification.
24    Nothing in this Section shall be construed to authorize a
25municipality to impose a tax upon the privilege of engaging in
26any business which under the Constitution of the United States

 

 

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1may not be made the subject of taxation by this State.
2    An ordinance or resolution imposing a tax hereunder or
3effecting a change in the rate thereof shall be effective on
4the first day of the calendar month next following publication
5as provided in Section 1-2-4. The corporate authorities of any
6municipality which levies a tax authorized by this Section
7shall transmit to the Department of Revenue on or not later
8than 5 days after publication a certified copy of the ordinance
9or resolution imposing such tax whereupon the Department of
10Revenue shall proceed to administer and enforce this Section on
11behalf of such municipality as of the effective date of the
12ordinance or resolution. Upon a change in rate of a tax levied
13hereunder, or upon the discontinuance of the tax, the corporate
14authorities of the municipality shall on or not later than 5
15days after publication of the ordinance or resolution
16discontinuing the tax or effecting a change in rate transmit to
17the Department of Revenue a certified copy of the ordinance or
18resolution effecting such change or discontinuance.
19    The Department of Revenue must upon the request of the
20municipal clerk, city council or village board of trustees
21submit to a city, village or incorporated town a list of those
22persons who are registered with the Department to pay
23automobile renting occupation tax within that governmental
24unit. This list shall contain only the names of persons who
25have paid the tax and not the amount of tax paid by such
26person.

 

 

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1    As used in this Section, "municipal" and "municipality"
2means a city, village or incorporated town, including an
3incorporated town which has superseded a civil township.
4    This Section shall be known and may be cited as the
5"Municipal Automobile Renting Occupation Tax Act".
6(Source: 10000SB2641ham003.)
 
7    Section 30. If and only if Senate Bill 2641 of the 100th
8General Assembly, as amended by House Amendment No. 3 and House
9Amendment No. 4, becomes law, then the Illinois Vehicle Code is
10amended by changing Sections 11-208.6, 11-208.8, 11-208.9, and
1111-1201.1 as follows:
 
12    (625 ILCS 5/11-208.6)
13    Sec. 11-208.6. Automated traffic law enforcement system.
14    (a) As used in this Section, "automated traffic law
15enforcement system" means a device with one or more motor
16vehicle sensors working in conjunction with a red light signal
17to produce recorded images of motor vehicles entering an
18intersection against a red signal indication in violation of
19Section 11-306 of this Code or a similar provision of a local
20ordinance.
21    An automated traffic law enforcement system is a system, in
22a municipality or county operated by a governmental agency,
23that produces a recorded image of a motor vehicle's violation
24of a provision of this Code or a local ordinance and is

 

 

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1designed to obtain a clear recorded image of the vehicle and
2the vehicle's license plate. The recorded image must also
3display the time, date, and location of the violation.
4    (b) As used in this Section, "recorded images" means images
5recorded by an automated traffic law enforcement system on:
6        (1) 2 or more photographs;
7        (2) 2 or more microphotographs;
8        (3) 2 or more electronic images; or
9        (4) a video recording showing the motor vehicle and, on
10    at least one image or portion of the recording, clearly
11    identifying the registration plate number of the motor
12    vehicle.
13    (b-5) A municipality or county that produces a recorded
14image of a motor vehicle's violation of a provision of this
15Code or a local ordinance must make the recorded images of a
16violation accessible to the alleged violator by providing the
17alleged violator with a website address, accessible through the
18Internet.
19    (c) Except as provided under Section 11-208.8 of this Code,
20a county or municipality, including a home rule county or
21municipality, may not use an automated traffic law enforcement
22system to provide recorded images of a motor vehicle for the
23purpose of recording its speed. Except as provided under
24Section 11-208.8 of this Code, the regulation of the use of
25automated traffic law enforcement systems to record vehicle
26speeds is an exclusive power and function of the State. This

 

 

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1subsection (c) is a denial and limitation of home rule powers
2and functions under subsection (h) of Section 6 of Article VII
3of the Illinois Constitution.
4    (c-5) A county or municipality, including a home rule
5county or municipality, may not use an automated traffic law
6enforcement system to issue violations in instances where the
7motor vehicle comes to a complete stop and does not enter the
8intersection, as defined by Section 1-132 of this Code, during
9the cycle of the red signal indication unless one or more
10pedestrians or bicyclists are present, even if the motor
11vehicle stops at a point past a stop line or crosswalk where a
12driver is required to stop, as specified in subsection (c) of
13Section 11-306 of this Code or a similar provision of a local
14ordinance.
15    (c-6) A county, or a municipality with less than 2,000,000
16inhabitants, including a home rule county or municipality, may
17not use an automated traffic law enforcement system to issue
18violations in instances where a motorcyclist enters an
19intersection against a red signal indication when the red
20signal fails to change to a green signal within a reasonable
21period of time not less than 120 seconds because of a signal
22malfunction or because the signal has failed to detect the
23arrival of the motorcycle due to the motorcycle's size or
24weight.
25    (d) For each violation of a provision of this Code or a
26local ordinance recorded by an automatic traffic law

 

 

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1enforcement system, the county or municipality having
2jurisdiction shall issue a written notice of the violation to
3the registered owner of the vehicle as the alleged violator.
4The notice shall be delivered to the registered owner of the
5vehicle, by mail, within 30 days after the Secretary of State
6notifies the municipality or county of the identity of the
7owner of the vehicle, but in no event later than 90 days after
8the violation.
9    The notice shall include:
10        (1) the name and address of the registered owner of the
11    vehicle;
12        (2) the registration number of the motor vehicle
13    involved in the violation;
14        (3) the violation charged;
15        (4) the location where the violation occurred;
16        (5) the date and time of the violation;
17        (6) a copy of the recorded images;
18        (7) the amount of the civil penalty imposed and the
19    requirements of any traffic education program imposed and
20    the date by which the civil penalty should be paid and the
21    traffic education program should be completed;
22        (8) a statement that recorded images are evidence of a
23    violation of a red light signal;
24        (9) a warning that failure to pay the civil penalty, to
25    complete a required traffic education program, or to
26    contest liability in a timely manner is an admission of

 

 

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1    liability and may result in a suspension of the driving
2    privileges of the registered owner of the vehicle;
3        (10) a statement that the person may elect to proceed
4    by:
5            (A) paying the fine, completing a required traffic
6        education program, or both; or
7            (B) challenging the charge in court, by mail, or by
8        administrative hearing; and
9        (11) a website address, accessible through the
10    Internet, where the person may view the recorded images of
11    the violation.
12    (e) If a person charged with a traffic violation, as a
13result of an automated traffic law enforcement system, does not
14pay the fine or complete a required traffic education program,
15or both, or successfully contest the civil penalty resulting
16from that violation, the Secretary of State shall suspend the
17driving privileges of the registered owner of the vehicle under
18Section 6-306.5 of this Code for failing to complete a required
19traffic education program or to pay any fine or penalty due and
20owing, or both, as a result of a combination of 5 violations of
21the automated traffic law enforcement system or the automated
22speed enforcement system under Section 11-208.8 of this Code.
23    (f) Based on inspection of recorded images produced by an
24automated traffic law enforcement system, a notice alleging
25that the violation occurred shall be evidence of the facts
26contained in the notice and admissible in any proceeding

 

 

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1alleging a violation under this Section.
2    (g) Recorded images made by an automatic traffic law
3enforcement system are confidential and shall be made available
4only to the alleged violator and governmental and law
5enforcement agencies for purposes of adjudicating a violation
6of this Section, for statistical purposes, or for other
7governmental purposes. Any recorded image evidencing a
8violation of this Section, however, may be admissible in any
9proceeding resulting from the issuance of the citation.
10    (h) The court or hearing officer may consider in defense of
11a violation:
12        (1) that the motor vehicle or registration plates of
13    the motor vehicle were stolen before the violation occurred
14    and not under the control of or in the possession of the
15    owner at the time of the violation;
16        (2) that the driver of the vehicle passed through the
17    intersection when the light was red either (i) in order to
18    yield the right-of-way to an emergency vehicle or (ii) as
19    part of a funeral procession; and
20        (3) any other evidence or issues provided by municipal
21    or county ordinance.
22    (i) To demonstrate that the motor vehicle or the
23registration plates were stolen before the violation occurred
24and were not under the control or possession of the owner at
25the time of the violation, the owner must submit proof that a
26report concerning the stolen motor vehicle or registration

 

 

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1plates was filed with a law enforcement agency in a timely
2manner.
3    (j) Unless the driver of the motor vehicle received a
4Uniform Traffic Citation from a police officer at the time of
5the violation, the motor vehicle owner is subject to a civil
6penalty not exceeding $100 or the completion of a traffic
7education program, or both, plus an additional penalty of not
8more than $100 for failure to pay the original penalty or to
9complete a required traffic education program, or both, in a
10timely manner, if the motor vehicle is recorded by an automated
11traffic law enforcement system. A violation for which a civil
12penalty is imposed under this Section is not a violation of a
13traffic regulation governing the movement of vehicles and may
14not be recorded on the driving record of the owner of the
15vehicle.
16    (j-3) A registered owner who is a holder of a valid
17commercial driver's license is not required to complete a
18traffic education program.
19    (j-5) For purposes of the required traffic education
20program only, a registered owner may submit an affidavit to the
21court or hearing officer swearing that at the time of the
22alleged violation, the vehicle was in the custody and control
23of another person. The affidavit must identify the person in
24custody and control of the vehicle, including the person's name
25and current address. The person in custody and control of the
26vehicle at the time of the violation is required to complete

 

 

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1the required traffic education program. If the person in
2custody and control of the vehicle at the time of the violation
3completes the required traffic education program, the
4registered owner of the vehicle is not required to complete a
5traffic education program.
6    (k) An intersection equipped with an automated traffic law
7enforcement system must be posted with a sign visible to
8approaching traffic indicating that the intersection is being
9monitored by an automated traffic law enforcement system.
10    (k-3) A municipality or county that has one or more
11intersections equipped with an automated traffic law
12enforcement system must provide notice to drivers by posting
13the locations of automated traffic law systems on the
14municipality or county website.
15    (k-5) An intersection equipped with an automated traffic
16law enforcement system must have a yellow change interval that
17conforms with the Illinois Manual on Uniform Traffic Control
18Devices (IMUTCD) published by the Illinois Department of
19Transportation.
20    (k-7) A municipality or county operating an automated
21traffic law enforcement system shall conduct a statistical
22analysis to assess the safety impact of each automated traffic
23law enforcement system at an intersection following
24installation of the system. The statistical analysis shall be
25based upon the best available crash, traffic, and other data,
26and shall cover a period of time before and after installation

 

 

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1of the system sufficient to provide a statistically valid
2comparison of safety impact. The statistical analysis shall be
3consistent with professional judgment and acceptable industry
4practice. The statistical analysis also shall be consistent
5with the data required for valid comparisons of before and
6after conditions and shall be conducted within a reasonable
7period following the installation of the automated traffic law
8enforcement system. The statistical analysis required by this
9subsection (k-7) shall be made available to the public and
10shall be published on the website of the municipality or
11county. If the statistical analysis for the 36 month period
12following installation of the system indicates that there has
13been an increase in the rate of accidents at the approach to
14the intersection monitored by the system, the municipality or
15county shall undertake additional studies to determine the
16cause and severity of the accidents, and may take any action
17that it determines is necessary or appropriate to reduce the
18number or severity of the accidents at that intersection.
19    (l) The compensation paid for an automated traffic law
20enforcement system must be based on the value of the equipment
21or the services provided and may not be based on the number of
22traffic citations issued or the revenue generated by the
23system.
24    (m) This Section applies only to the counties of Cook,
25DuPage, Kane, Lake, Madison, McHenry, St. Clair, and Will and
26to municipalities located within those counties.

 

 

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1    (n) The fee for participating in a traffic education
2program under this Section shall not exceed $25.
3    A low-income individual required to complete a traffic
4education program under this Section who provides proof of
5eligibility for the federal earned income tax credit under
6Section 32 of the Internal Revenue Code or the Illinois earned
7income tax credit under Section 212 of the Illinois Income Tax
8Act shall not be required to pay any fee for participating in a
9required traffic education program.
10    (o) A municipality or county shall make a certified report
11to the Secretary of State pursuant to Section 6-306.5 of this
12Code whenever a registered owner of a vehicle has failed to pay
13any fine or penalty due and owing as a result of a combination
14of 5 offenses for automated traffic law or speed enforcement
15system violations.
16    (p) No person who is the lessor of a motor vehicle pursuant
17to a written lease agreement shall be liable for an automated
18speed or traffic law enforcement system violation involving
19such motor vehicle during the period of the lease; provided
20that upon the request of the appropriate authority received
21within 120 days after the violation occurred, the lessor
22provides within 60 days after such receipt the name and address
23of the lessee. The drivers license number of a lessee may be
24subsequently individually requested by the appropriate
25authority if needed for enforcement of this Section.
26    Upon the provision of information by the lessor pursuant to

 

 

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1this subsection, the county or municipality may issue the
2violation to the lessee of the vehicle in the same manner as it
3would issue a violation to a registered owner of a vehicle
4pursuant to this Section, and the lessee may be held liable for
5the violation.
6    (q) A citation issued under this Section that is dismissed
7with respect to the registered owner of a vehicle under
8subsection (e) of Section 30 of the Renter's Financial
9Responsibility and Protection Act may be issued and delivered
10by mail or other means to a car facilitation company identified
11in the registered owner's affidavit of non-liability.
12(Source: P.A. 97-29, eff. 1-1-12; 97-627, eff. 1-1-12; 97-672,
13eff. 7-1-12; 97-762, eff. 7-6-12; 98-463, eff. 8-16-13.)
 
14    (625 ILCS 5/11-208.8)
15    Sec. 11-208.8. Automated speed enforcement systems in
16safety zones.
17    (a) As used in this Section:
18    "Automated speed enforcement system" means a photographic
19device, radar device, laser device, or other electrical or
20mechanical device or devices installed or utilized in a safety
21zone and designed to record the speed of a vehicle and obtain a
22clear photograph or other recorded image of the vehicle and the
23vehicle's registration plate while the driver is violating
24Article VI of Chapter 11 of this Code or a similar provision of
25a local ordinance.

 

 

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1    An automated speed enforcement system is a system, located
2in a safety zone which is under the jurisdiction of a
3municipality, that produces a recorded image of a motor
4vehicle's violation of a provision of this Code or a local
5ordinance and is designed to obtain a clear recorded image of
6the vehicle and the vehicle's license plate. The recorded image
7must also display the time, date, and location of the
8violation.
9    "Owner" means the person or entity to whom the vehicle is
10registered.
11    "Recorded image" means images recorded by an automated
12speed enforcement system on:
13        (1) 2 or more photographs;
14        (2) 2 or more microphotographs;
15        (3) 2 or more electronic images; or
16        (4) a video recording showing the motor vehicle and, on
17    at least one image or portion of the recording, clearly
18    identifying the registration plate number of the motor
19    vehicle.
20    "Safety zone" means an area that is within one-eighth of a
21mile from the nearest property line of any public or private
22elementary or secondary school, or from the nearest property
23line of any facility, area, or land owned by a school district
24that is used for educational purposes approved by the Illinois
25State Board of Education, not including school district
26headquarters or administrative buildings. A safety zone also

 

 

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1includes an area that is within one-eighth of a mile from the
2nearest property line of any facility, area, or land owned by a
3park district used for recreational purposes. However, if any
4portion of a roadway is within either one-eighth mile radius,
5the safety zone also shall include the roadway extended to the
6furthest portion of the next furthest intersection. The term
7"safety zone" does not include any portion of the roadway known
8as Lake Shore Drive or any controlled access highway with 8 or
9more lanes of traffic.
10    (a-5) The automated speed enforcement system shall be
11operational and violations shall be recorded only at the
12following times:
13        (i) if the safety zone is based upon the property line
14    of any facility, area, or land owned by a school district,
15    only on school days and no earlier than 6 a.m. and no later
16    than 8:30 p.m. if the school day is during the period of
17    Monday through Thursday, or 9 p.m. if the school day is a
18    Friday; and
19        (ii) if the safety zone is based upon the property line
20    of any facility, area, or land owned by a park district, no
21    earlier than one hour prior to the time that the facility,
22    area, or land is open to the public or other patrons, and
23    no later than one hour after the facility, area, or land is
24    closed to the public or other patrons.
25    (b) A municipality that produces a recorded image of a
26motor vehicle's violation of a provision of this Code or a

 

 

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1local ordinance must make the recorded images of a violation
2accessible to the alleged violator by providing the alleged
3violator with a website address, accessible through the
4Internet.
5    (c) Notwithstanding any penalties for any other violations
6of this Code, the owner of a motor vehicle used in a traffic
7violation recorded by an automated speed enforcement system
8shall be subject to the following penalties:
9        (1) if the recorded speed is no less than 6 miles per
10    hour and no more than 10 miles per hour over the legal
11    speed limit, a civil penalty not exceeding $50, plus an
12    additional penalty of not more than $50 for failure to pay
13    the original penalty in a timely manner; or
14        (2) if the recorded speed is more than 10 miles per
15    hour over the legal speed limit, a civil penalty not
16    exceeding $100, plus an additional penalty of not more than
17    $100 for failure to pay the original penalty in a timely
18    manner.
19    A penalty may not be imposed under this Section if the
20driver of the motor vehicle received a Uniform Traffic Citation
21from a police officer for a speeding violation occurring within
22one-eighth of a mile and 15 minutes of the violation that was
23recorded by the system. A violation for which a civil penalty
24is imposed under this Section is not a violation of a traffic
25regulation governing the movement of vehicles and may not be
26recorded on the driving record of the owner of the vehicle. A

 

 

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1law enforcement officer is not required to be present or to
2witness the violation. No penalty may be imposed under this
3Section if the recorded speed of a vehicle is 5 miles per hour
4or less over the legal speed limit. The municipality may send,
5in the same manner that notices are sent under this Section, a
6speed violation warning notice where the violation involves a
7speed of 5 miles per hour or less above the legal speed limit.
8    (d) The net proceeds that a municipality receives from
9civil penalties imposed under an automated speed enforcement
10system, after deducting all non-personnel and personnel costs
11associated with the operation and maintenance of such system,
12shall be expended or obligated by the municipality for the
13following purposes:
14        (i) public safety initiatives to ensure safe passage
15    around schools, and to provide police protection and
16    surveillance around schools and parks, including but not
17    limited to: (1) personnel costs; and (2) non-personnel
18    costs such as construction and maintenance of public safety
19    infrastructure and equipment;
20        (ii) initiatives to improve pedestrian and traffic
21    safety;
22        (iii) construction and maintenance of infrastructure
23    within the municipality, including but not limited to roads
24    and bridges; and
25        (iv) after school programs.
26    (e) For each violation of a provision of this Code or a

 

 

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1local ordinance recorded by an automated speed enforcement
2system, the municipality having jurisdiction shall issue a
3written notice of the violation to the registered owner of the
4vehicle as the alleged violator. The notice shall be delivered
5to the registered owner of the vehicle, by mail, within 30 days
6after the Secretary of State notifies the municipality of the
7identity of the owner of the vehicle, but in no event later
8than 90 days after the violation.
9    (f) The notice required under subsection (e) of this
10Section shall include:
11        (1) the name and address of the registered owner of the
12    vehicle;
13        (2) the registration number of the motor vehicle
14    involved in the violation;
15        (3) the violation charged;
16        (4) the date, time, and location where the violation
17    occurred;
18        (5) a copy of the recorded image or images;
19        (6) the amount of the civil penalty imposed and the
20    date by which the civil penalty should be paid;
21        (7) a statement that recorded images are evidence of a
22    violation of a speed restriction;
23        (8) a warning that failure to pay the civil penalty or
24    to contest liability in a timely manner is an admission of
25    liability and may result in a suspension of the driving
26    privileges of the registered owner of the vehicle;

 

 

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1        (9) a statement that the person may elect to proceed
2    by:
3            (A) paying the fine; or
4            (B) challenging the charge in court, by mail, or by
5        administrative hearing; and
6        (10) a website address, accessible through the
7    Internet, where the person may view the recorded images of
8    the violation.
9    (g) If a person charged with a traffic violation, as a
10result of an automated speed enforcement system, does not pay
11the fine or successfully contest the civil penalty resulting
12from that violation, the Secretary of State shall suspend the
13driving privileges of the registered owner of the vehicle under
14Section 6-306.5 of this Code for failing to pay any fine or
15penalty due and owing, or both, as a result of a combination of
165 violations of the automated speed enforcement system or the
17automated traffic law under Section 11-208.6 of this Code.
18    (h) Based on inspection of recorded images produced by an
19automated speed enforcement system, a notice alleging that the
20violation occurred shall be evidence of the facts contained in
21the notice and admissible in any proceeding alleging a
22violation under this Section.
23    (i) Recorded images made by an automated speed enforcement
24system are confidential and shall be made available only to the
25alleged violator and governmental and law enforcement agencies
26for purposes of adjudicating a violation of this Section, for

 

 

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1statistical purposes, or for other governmental purposes. Any
2recorded image evidencing a violation of this Section, however,
3may be admissible in any proceeding resulting from the issuance
4of the citation.
5    (j) The court or hearing officer may consider in defense of
6a violation:
7        (1) that the motor vehicle or registration plates of
8    the motor vehicle were stolen before the violation occurred
9    and not under the control or in the possession of the owner
10    at the time of the violation;
11        (2) that the driver of the motor vehicle received a
12    Uniform Traffic Citation from a police officer for a
13    speeding violation occurring within one-eighth of a mile
14    and 15 minutes of the violation that was recorded by the
15    system; and
16        (3) any other evidence or issues provided by municipal
17    ordinance.
18    (k) To demonstrate that the motor vehicle or the
19registration plates were stolen before the violation occurred
20and were not under the control or possession of the owner at
21the time of the violation, the owner must submit proof that a
22report concerning the stolen motor vehicle or registration
23plates was filed with a law enforcement agency in a timely
24manner.
25    (l) A roadway equipped with an automated speed enforcement
26system shall be posted with a sign conforming to the national

 

 

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1Manual on Uniform Traffic Control Devices that is visible to
2approaching traffic stating that vehicle speeds are being
3photo-enforced and indicating the speed limit. The
4municipality shall install such additional signage as it
5determines is necessary to give reasonable notice to drivers as
6to where automated speed enforcement systems are installed.
7    (m) A roadway where a new automated speed enforcement
8system is installed shall be posted with signs providing 30
9days notice of the use of a new automated speed enforcement
10system prior to the issuance of any citations through the
11automated speed enforcement system.
12    (n) The compensation paid for an automated speed
13enforcement system must be based on the value of the equipment
14or the services provided and may not be based on the number of
15traffic citations issued or the revenue generated by the
16system.
17    (o) A municipality shall make a certified report to the
18Secretary of State pursuant to Section 6-306.5 of this Code
19whenever a registered owner of a vehicle has failed to pay any
20fine or penalty due and owing as a result of a combination of 5
21offenses for automated speed or traffic law enforcement system
22violations.
23    (p) No person who is the lessor of a motor vehicle pursuant
24to a written lease agreement shall be liable for an automated
25speed or traffic law enforcement system violation involving
26such motor vehicle during the period of the lease; provided

 

 

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1that upon the request of the appropriate authority received
2within 120 days after the violation occurred, the lessor
3provides within 60 days after such receipt the name and address
4of the lessee. The drivers license number of a lessee may be
5subsequently individually requested by the appropriate
6authority if needed for enforcement of this Section.
7    Upon the provision of information by the lessor pursuant to
8this subsection, the municipality may issue the violation to
9the lessee of the vehicle in the same manner as it would issue
10a violation to a registered owner of a vehicle pursuant to this
11Section, and the lessee may be held liable for the violation.
12    (q) A municipality using an automated speed enforcement
13system must provide notice to drivers by publishing the
14locations of all safety zones where system equipment is
15installed on the website of the municipality.
16    (r) A municipality operating an automated speed
17enforcement system shall conduct a statistical analysis to
18assess the safety impact of the system. The statistical
19analysis shall be based upon the best available crash, traffic,
20and other data, and shall cover a period of time before and
21after installation of the system sufficient to provide a
22statistically valid comparison of safety impact. The
23statistical analysis shall be consistent with professional
24judgment and acceptable industry practice. The statistical
25analysis also shall be consistent with the data required for
26valid comparisons of before and after conditions and shall be

 

 

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1conducted within a reasonable period following the
2installation of the automated traffic law enforcement system.
3The statistical analysis required by this subsection shall be
4made available to the public and shall be published on the
5website of the municipality.
6    (s) This Section applies only to municipalities with a
7population of 1,000,000 or more inhabitants.
8    (t) A citation issued under this Section that is dismissed
9with respect to the registered owner of a vehicle under
10subsection (e) of Section 30 of the Renter's Financial
11Responsibility and Protection Act may be issued and delivered
12by mail or other means to a car facilitation company identified
13in the registered owner's affidavit of non-liability.
14(Source: P.A. 97-672, eff. 7-1-12; 97-674, eff. 7-1-12; 98-463,
15eff. 8-16-13.)
 
16    (625 ILCS 5/11-208.9)
17    Sec. 11-208.9. Automated traffic law enforcement system;
18approaching, overtaking, and passing a school bus.
19    (a) As used in this Section, "automated traffic law
20enforcement system" means a device with one or more motor
21vehicle sensors working in conjunction with the visual signals
22on a school bus, as specified in Sections 12-803 and 12-805 of
23this Code, to produce recorded images of motor vehicles that
24fail to stop before meeting or overtaking, from either
25direction, any school bus stopped at any location for the

 

 

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1purpose of receiving or discharging pupils in violation of
2Section 11-1414 of this Code or a similar provision of a local
3ordinance.
4    An automated traffic law enforcement system is a system, in
5a municipality or county operated by a governmental agency,
6that produces a recorded image of a motor vehicle's violation
7of a provision of this Code or a local ordinance and is
8designed to obtain a clear recorded image of the vehicle and
9the vehicle's license plate. The recorded image must also
10display the time, date, and location of the violation.
11    (b) As used in this Section, "recorded images" means images
12recorded by an automated traffic law enforcement system on:
13        (1) 2 or more photographs;
14        (2) 2 or more microphotographs;
15        (3) 2 or more electronic images; or
16        (4) a video recording showing the motor vehicle and, on
17    at least one image or portion of the recording, clearly
18    identifying the registration plate number of the motor
19    vehicle.
20    (c) A municipality or county that produces a recorded image
21of a motor vehicle's violation of a provision of this Code or a
22local ordinance must make the recorded images of a violation
23accessible to the alleged violator by providing the alleged
24violator with a website address, accessible through the
25Internet.
26    (d) For each violation of a provision of this Code or a

 

 

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1local ordinance recorded by an automated traffic law
2enforcement system, the county or municipality having
3jurisdiction shall issue a written notice of the violation to
4the registered owner of the vehicle as the alleged violator.
5The notice shall be delivered to the registered owner of the
6vehicle, by mail, within 30 days after the Secretary of State
7notifies the municipality or county of the identity of the
8owner of the vehicle, but in no event later than 90 days after
9the violation.
10    (e) The notice required under subsection (d) shall include:
11        (1) the name and address of the registered owner of the
12    vehicle;
13        (2) the registration number of the motor vehicle
14    involved in the violation;
15        (3) the violation charged;
16        (4) the location where the violation occurred;
17        (5) the date and time of the violation;
18        (6) a copy of the recorded images;
19        (7) the amount of the civil penalty imposed and the
20    date by which the civil penalty should be paid;
21        (8) a statement that recorded images are evidence of a
22    violation of overtaking or passing a school bus stopped for
23    the purpose of receiving or discharging pupils;
24        (9) a warning that failure to pay the civil penalty or
25    to contest liability in a timely manner is an admission of
26    liability and may result in a suspension of the driving

 

 

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1    privileges of the registered owner of the vehicle;
2        (10) a statement that the person may elect to proceed
3    by:
4            (A) paying the fine; or
5            (B) challenging the charge in court, by mail, or by
6        administrative hearing; and
7        (11) a website address, accessible through the
8    Internet, where the person may view the recorded images of
9    the violation.
10    (f) If a person charged with a traffic violation, as a
11result of an automated traffic law enforcement system under
12this Section, does not pay the fine or successfully contest the
13civil penalty resulting from that violation, the Secretary of
14State shall suspend the driving privileges of the registered
15owner of the vehicle under Section 6-306.5 of this Code for
16failing to pay any fine or penalty due and owing as a result of
17a combination of 5 violations of the automated traffic law
18enforcement system or the automated speed enforcement system
19under Section 11-208.8 of this Code.
20    (g) Based on inspection of recorded images produced by an
21automated traffic law enforcement system, a notice alleging
22that the violation occurred shall be evidence of the facts
23contained in the notice and admissible in any proceeding
24alleging a violation under this Section.
25    (h) Recorded images made by an automated traffic law
26enforcement system are confidential and shall be made available

 

 

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1only to the alleged violator and governmental and law
2enforcement agencies for purposes of adjudicating a violation
3of this Section, for statistical purposes, or for other
4governmental purposes. Any recorded image evidencing a
5violation of this Section, however, may be admissible in any
6proceeding resulting from the issuance of the citation.
7    (i) The court or hearing officer may consider in defense of
8a violation:
9        (1) that the motor vehicle or registration plates of
10    the motor vehicle were stolen before the violation occurred
11    and not under the control of or in the possession of the
12    owner at the time of the violation;
13        (2) that the driver of the motor vehicle received a
14    Uniform Traffic Citation from a police officer for a
15    violation of Section 11-1414 of this Code within one-eighth
16    of a mile and 15 minutes of the violation that was recorded
17    by the system;
18        (3) that the visual signals required by Sections 12-803
19    and 12-805 of this Code were damaged, not activated, not
20    present in violation of Sections 12-803 and 12-805, or
21    inoperable; and
22        (4) any other evidence or issues provided by municipal
23    or county ordinance.
24    (j) To demonstrate that the motor vehicle or the
25registration plates were stolen before the violation occurred
26and were not under the control or possession of the owner at

 

 

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1the time of the violation, the owner must submit proof that a
2report concerning the stolen motor vehicle or registration
3plates was filed with a law enforcement agency in a timely
4manner.
5    (k) Unless the driver of the motor vehicle received a
6Uniform Traffic Citation from a police officer at the time of
7the violation, the motor vehicle owner is subject to a civil
8penalty not exceeding $150 for a first time violation or $500
9for a second or subsequent violation, plus an additional
10penalty of not more than $100 for failure to pay the original
11penalty in a timely manner, if the motor vehicle is recorded by
12an automated traffic law enforcement system. A violation for
13which a civil penalty is imposed under this Section is not a
14violation of a traffic regulation governing the movement of
15vehicles and may not be recorded on the driving record of the
16owner of the vehicle, but may be recorded by the municipality
17or county for the purpose of determining if a person is subject
18to the higher fine for a second or subsequent offense.
19    (l) A school bus equipped with an automated traffic law
20enforcement system must be posted with a sign indicating that
21the school bus is being monitored by an automated traffic law
22enforcement system.
23    (m) A municipality or county that has one or more school
24buses equipped with an automated traffic law enforcement system
25must provide notice to drivers by posting a list of school
26districts using school buses equipped with an automated traffic

 

 

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1law enforcement system on the municipality or county website.
2School districts that have one or more school buses equipped
3with an automated traffic law enforcement system must provide
4notice to drivers by posting that information on their
5websites.
6    (n) A municipality or county operating an automated traffic
7law enforcement system shall conduct a statistical analysis to
8assess the safety impact in each school district using school
9buses equipped with an automated traffic law enforcement system
10following installation of the system. The statistical analysis
11shall be based upon the best available crash, traffic, and
12other data, and shall cover a period of time before and after
13installation of the system sufficient to provide a
14statistically valid comparison of safety impact. The
15statistical analysis shall be consistent with professional
16judgment and acceptable industry practice. The statistical
17analysis also shall be consistent with the data required for
18valid comparisons of before and after conditions and shall be
19conducted within a reasonable period following the
20installation of the automated traffic law enforcement system.
21The statistical analysis required by this subsection shall be
22made available to the public and shall be published on the
23website of the municipality or county. If the statistical
24analysis for the 36-month period following installation of the
25system indicates that there has been an increase in the rate of
26accidents at the approach to school buses monitored by the

 

 

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1system, the municipality or county shall undertake additional
2studies to determine the cause and severity of the accidents,
3and may take any action that it determines is necessary or
4appropriate to reduce the number or severity of the accidents
5involving school buses equipped with an automated traffic law
6enforcement system.
7    (o) The compensation paid for an automated traffic law
8enforcement system must be based on the value of the equipment
9or the services provided and may not be based on the number of
10traffic citations issued or the revenue generated by the
11system.
12    (p) No person who is the lessor of a motor vehicle pursuant
13to a written lease agreement shall be liable for an automated
14speed or traffic law enforcement system violation involving
15such motor vehicle during the period of the lease; provided
16that upon the request of the appropriate authority received
17within 120 days after the violation occurred, the lessor
18provides within 60 days after such receipt the name and address
19of the lessee. The drivers license number of a lessee may be
20subsequently individually requested by the appropriate
21authority if needed for enforcement of this Section.
22    Upon the provision of information by the lessor pursuant to
23this subsection, the county or municipality may issue the
24violation to the lessee of the vehicle in the same manner as it
25would issue a violation to a registered owner of a vehicle
26pursuant to this Section, and the lessee may be held liable for

 

 

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1the violation.
2    (q) A municipality or county shall make a certified report
3to the Secretary of State pursuant to Section 6-306.5 of this
4Code whenever a registered owner of a vehicle has failed to pay
5any fine or penalty due and owing as a result of a combination
6of 5 offenses for automated traffic law or speed enforcement
7system violations.
8    (r) After a municipality or county enacts an ordinance
9providing for automated traffic law enforcement systems under
10this Section, each school district within that municipality or
11county's jurisdiction may implement an automated traffic law
12enforcement system under this Section. The elected school board
13for that district must approve the implementation of an
14automated traffic law enforcement system. The school district
15shall be responsible for entering into a contract, approved by
16the elected school board of that district, with vendors for the
17installation, maintenance, and operation of the automated
18traffic law enforcement system. The school district must enter
19into an intergovernmental agreement, approved by the elected
20school board of that district, with the municipality or county
21with jurisdiction over that school district for the
22administration of the automated traffic law enforcement
23system. The proceeds from a school district's automated traffic
24law enforcement system's fines shall be divided equally between
25the school district and the municipality or county
26administering the automated traffic law enforcement system.

 

 

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1    (s) A citation issued under this Section that is dismissed
2with respect to the registered owner of a vehicle under
3subsection (e) of Section 30 of the Renter's Financial
4Responsibility and Protection Act may be issued and delivered
5by mail or other means to a car facilitation company identified
6in the registered owner's affidavit of non-liability.
7(Source: P.A. 98-556, eff. 1-1-14.)
 
8    (625 ILCS 5/11-1201.1)
9    Sec. 11-1201.1. Automated Railroad Crossing Enforcement
10System.
11    (a) For the purposes of this Section, an automated railroad
12grade crossing enforcement system is a system in a municipality
13or county operated by a governmental agency that produces a
14recorded image of a motor vehicle's violation of a provision of
15this Code or local ordinance and is designed to obtain a clear
16recorded image of the vehicle and vehicle's license plate. The
17recorded image must also display the time, date, and location
18of the violation.
19    As used in this Section, "recorded images" means images
20recorded by an automated railroad grade crossing enforcement
21system on:
22        (1) 2 or more photographs;
23        (2) 2 or more microphotographs;
24        (3) 2 or more electronic images; or
25        (4) a video recording showing the motor vehicle and, on

 

 

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1    at least one image or portion of the recording, clearly
2    identifying the registration plate number of the motor
3    vehicle.
4    (b) The Illinois Commerce Commission may, in cooperation
5with a local law enforcement agency, establish in any county or
6municipality an automated railroad grade crossing enforcement
7system at any railroad grade crossing equipped with a crossing
8gate designated by local authorities. Local authorities
9desiring the establishment of an automated railroad crossing
10enforcement system must initiate the process by enacting a
11local ordinance requesting the creation of such a system. After
12the ordinance has been enacted, and before any additional steps
13toward the establishment of the system are undertaken, the
14local authorities and the Commission must agree to a plan for
15obtaining, from any combination of federal, State, and local
16funding sources, the moneys required for the purchase and
17installation of any necessary equipment.
18    (b-1) (Blank.)
19    (c) For each violation of Section 11-1201 of this Code or a
20local ordinance recorded by an automated railroad grade
21crossing enforcement system, the county or municipality having
22jurisdiction shall issue a written notice of the violation to
23the registered owner of the vehicle as the alleged violator.
24The notice shall be delivered to the registered owner of the
25vehicle, by mail, no later than 90 days after the violation.
26    The notice shall include:

 

 

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1        (1) the name and address of the registered owner of the
2    vehicle;
3        (2) the registration number of the motor vehicle
4    involved in the violation;
5        (3) the violation charged;
6        (4) the location where the violation occurred;
7        (5) the date and time of the violation;
8        (6) a copy of the recorded images;
9        (7) the amount of the civil penalty imposed and the
10    date by which the civil penalty should be paid;
11        (8) a statement that recorded images are evidence of a
12    violation of a railroad grade crossing;
13        (9) a warning that failure to pay the civil penalty or
14    to contest liability in a timely manner is an admission of
15    liability and may result in a suspension of the driving
16    privileges of the registered owner of the vehicle; and
17        (10) a statement that the person may elect to proceed
18    by:
19            (A) paying the fine; or
20            (B) challenging the charge in court, by mail, or by
21        administrative hearing.
22    (d) If a person charged with a traffic violation, as a
23result of an automated railroad grade crossing enforcement
24system, does not pay or successfully contest the civil penalty
25resulting from that violation, the Secretary of State shall
26suspend the driving privileges of the registered owner of the

 

 

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1vehicle under Section 6-306.5 of this Code for failing to pay
2any fine or penalty due and owing as a result of 5 violations
3of the automated railroad grade crossing enforcement system.
4    (d-1) (Blank.)
5    (d-2) (Blank.)
6    (e) Based on inspection of recorded images produced by an
7automated railroad grade crossing enforcement system, a notice
8alleging that the violation occurred shall be evidence of the
9facts contained in the notice and admissible in any proceeding
10alleging a violation under this Section.
11    (e-1) Recorded images made by an automated railroad grade
12crossing enforcement system are confidential and shall be made
13available only to the alleged violator and governmental and law
14enforcement agencies for purposes of adjudicating a violation
15of this Section, for statistical purposes, or for other
16governmental purposes. Any recorded image evidencing a
17violation of this Section, however, may be admissible in any
18proceeding resulting from the issuance of the citation.
19    (e-2) The court or hearing officer may consider the
20following in the defense of a violation:
21        (1) that the motor vehicle or registration plates of
22    the motor vehicle were stolen before the violation occurred
23    and not under the control of or in the possession of the
24    owner at the time of the violation;
25        (2) that the driver of the motor vehicle received a
26    Uniform Traffic Citation from a police officer at the time

 

 

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1    of the violation for the same offense;
2        (3) any other evidence or issues provided by municipal
3    or county ordinance.
4    (e-3) To demonstrate that the motor vehicle or the
5registration plates were stolen before the violation occurred
6and were not under the control or possession of the owner at
7the time of the violation, the owner must submit proof that a
8report concerning the stolen motor vehicle or registration
9plates was filed with a law enforcement agency in a timely
10manner.
11    (f) Rail crossings equipped with an automatic railroad
12grade crossing enforcement system shall be posted with a sign
13visible to approaching traffic stating that the railroad grade
14crossing is being monitored, that citations will be issued, and
15the amount of the fine for violation.
16    (g) The compensation paid for an automated railroad grade
17crossing enforcement system must be based on the value of the
18equipment or the services provided and may not be based on the
19number of citations issued or the revenue generated by the
20system.
21    (h) (Blank.)
22    (i) If any part or parts of this Section are held by a
23court of competent jurisdiction to be unconstitutional, the
24unconstitutionality shall not affect the validity of the
25remaining parts of this Section. The General Assembly hereby
26declares that it would have passed the remaining parts of this

 

 

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1Section if it had known that the other part or parts of this
2Section would be declared unconstitutional.
3    (j) Penalty. A civil fine of $250 shall be imposed for a
4first violation of this Section, and a civil fine of $500 shall
5be imposed for a second or subsequent violation of this
6Section.
7    (k) A citation issued under this Section that is dismissed
8with respect to the registered owner of a vehicle under
9subsection (e) of Section 30 of the Renter's Financial
10Responsibility and Protection Act may be issued and delivered
11by mail or other means to a car facilitation company identified
12in the registered owner's affidavit of non-liability.
13(Source: P.A. 96-478, eff. 1-1-10.)
 
14    Section 35. If and only if Senate Bill 2641 of the 100th
15General Assembly, as amended by House Amendment No. 3 and House
16Amendment No. 4, becomes law, then the Automated Traffic
17Control Systems in Highway Construction or Maintenance Zones
18Act is amended by changing Section 45 as follows:
 
19    (625 ILCS 7/45)
20    Sec. 45. Vehicle rental or leasing company's
21identification of a renter or lessee.
22    (a) A Uniform Traffic Citation issued under this Act to a
23motor vehicle rental or leasing company shall be dismissed with
24respect to the rental or leasing company if:

 

 

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1        (1) the company responds to the Uniform Traffic
2    Citation by submitting, within 30 days of the mailing of
3    the citation, an affidavit of non-liability stating that,
4    at the time of the alleged speeding or other traffic
5    violation, the vehicle was in the custody and control of a
6    renter or lessee under the terms of a rental agreement or
7    lease; and
8        (2) the company provides the driver's license number,
9    name, and address of the renter or lessee.
10    (a-5) A Uniform Traffic Citation issued under this Act to
11the registered owner of a vehicle used in a car facilitation
12transaction, as defined in Section 1-110.06 of the Illinois
13Vehicle Code, shall be dismissed with respect to the registered
14owner if:
15        (1) the registered owner responds to the Uniform
16    Traffic Citation by submitting, within 30 days of the
17    mailing of the citation, an affidavit of non-liability
18    stating that, at the time of the alleged speeding or other
19    traffic violation, the vehicle was under the operation and
20    control of a person other than the vehicle's registered
21    owner under a car facilitation transaction facilitated by a
22    car facilitation company; and
23        (2) the registered owner provides proof of the
24    transaction facilitated by the car facilitation company
25    between the registered owner of the vehicle and the driver
26    of the vehicle during the alleged violation.

 

 

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1    (b) A Uniform Traffic Citation dismissed with respect to a
2motor vehicle rental or leasing company in accordance with
3subsection (a) may then be issued and delivered by mail or
4other means to the renter or lessee identified in the affidavit
5of non-liability.
6    (c) A Uniform Traffic Citation that is dismissed with
7respect to the registered owner of a vehicle under subsection
8(a-5) may be issued and delivered by mail or other means to the
9car facilitation company identified in the registered owner's
10affidavit of non-liability.
11(Source: 10000SB2641ham003.)
 
12    Section 40. If and only if Senate Bill 2641 of the 100th
13General Assembly, as amended by House Amendment No. 3 and House
14Amendment No. 4, becomes law, then the Renter's Financial
15Responsibility and Protection Act is amended by changing
16Section 30 as follows:
 
17    (625 ILCS 27/30)
18    Sec. 30. Car facilitation company obligations and
19liability.
20    (a) Notwithstanding any provision to the contrary, a rental
21company that is a car facilitation company shall, when
22applicable, be subject to the statutory and regulatory
23obligations pertaining to all motor vehicle rental companies.
24    (b) If any loss or injury occurs at any time a vehicle is

 

 

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1under the operation and control of a person other than the
2vehicle's registered owner under a car facilitation
3transaction facilitated by a car facilitation company, the
4company shall assume all liability of the registered owner of
5the vehicle used in the car facilitation transaction and shall
6be considered the vehicle's owner for all purposes.
7    (c) A car facilitation company continues to be liable under
8subsection (b) of this Section until the vehicle is returned to
9a location designated by the company, and one of the following
10occur:
11        (1) the expiration of the car facilitation period
12    established for the vehicle occurs;
13        (2) the intent to terminate the vehicle's car
14    facilitation transaction is verifiably communicated to the
15    company; or
16        (3) the vehicle's registered owner takes possession
17    and control of the vehicle.
18    If any loss giving rise to a claim occurs, the car
19facilitation company shall initially assume liability for a
20claim in which a dispute exists as to who was in control of the
21vehicle and seek indemnification if it is later determined that
22the registered owner was in possession of the vehicle.
23    (d) At no time shall the registered owner of the vehicle or
24the owner's insurer be held liable for any loss, injury,
25damage, or violation involving his or her vehicle occurring
26during a car facilitation transaction unless it is shown that

 

 

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1the registered owner was operating or in control of the vehicle
2at the time of the loss, injury, damage, or violation.
3    (e) Notwithstanding any provision to the contrary, for the
4purpose of the issuance of a civil penalty for a violation of
5Section 11-208.6, 11-208.8, 11-208.9, or 11-1201.1 of the
6Illinois Vehicle Code, the violation shall be dismissed with
7respect to the registered owner of the vehicle, and the car
8facilitation company shall be considered the vehicle's owner
9for purposes of violation, if:
10        (1) the registered owner responds to the citation by
11    submitting, within 30 days of the mailing of the citation,
12    an affidavit of non-liability stating that, at the time of
13    the alleged violation, the vehicle was under the operation
14    and control of a person other than the vehicle's registered
15    owner under a car facilitation transaction facilitated by a
16    car facilitation company; and
17        (2) the registered owner provides proof of the
18    transaction facilitated by the car facilitation company
19    with the driver of his or her vehicle during the alleged
20    violation.
21    (f) Nothing in this Section shall limit the liability of
22the car facilitation company for any acts or omissions by the
23company that result in injury to any persons as a result of the
24use or operation of a vehicle during a car facilitation
25transaction.
26    (g) For the purpose of the allocation of liability for a

 

 

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1private passenger vehicle used in relation to a motor vehicle
2rental company that is a car facilitation company, as defined
3in Section 1-110.05 of the Illinois Vehicle Code, the car
4facilitation company shall assume liability if any damaged to
5the vehicle occurs:
6        (1) at any time when the vehicle is not in possession
7    of the vehicle's registered owner and at the car
8    facilitation company's designated location or other
9    location designated for the car facilitation transaction
10    while being made available to rent;
11        (2) under the operation and control of a person other
12    than the vehicle's registered owner under a car
13    facilitation transaction facilitated by that company; or
14        (3) at the car facilitation company's designated area
15    or other location designated for the car facilitation
16    transaction not being made available to rent, but not yet
17    in the possession of the vehicle's registered owner.
18    Nothing in this subsection (g) prevents a car facilitation
19company from holding a renter in a car facilitation transaction
20liable to the extent permitted under this Section.
21    A car facilitation company continues to be liable under
22this subsection (g) until the end of the car facilitation
23transaction as described in subsection (c) of this Section or
24as described in this subsection (g). At no time shall the
25registered owner of the vehicle or the owner's insurer be
26liable for any exposure, including negligent entrustment, of

 

 

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1the vehicle involved in a car facilitation transaction.
2    Except as otherwise provided in this Section or in Section
345 of the Automated Traffic Control Systems in Highway
4Construction or Maintenance Zones Act, nothing in this
5subsection shall be construed to relieve the registered owner
6of the vehicle from any liability imposed by any ordinance or
7resolution of a unit of local government.
8    (h) Notwithstanding any other law and unless otherwise
9excluded, an owner's insurer may exclude any and all coverage
10and the duty to defend or indemnify for any claim made under a
11car facilitation transaction.
12    (i) An owner's insurer that defends or indemnifies a claim
13against its insured that is determined to be excluded under the
14terms of its policy shall have the right to seek contribution
15against the insurer of the car facilitation company, if the
16claim is:
17        (1) made against the registered owner of the vehicle or
18    renter in the car facilitation transaction for loss or
19    injury that occurs during the car facilitation
20    transaction; and
21        (2) excluded under the terms of the insurer's policy.
22    (j) Nothing in this Section invalidates or limits an
23exclusion contained in an owner's insurance policy for any
24coverage included in the policy.
25    (k) An owner's insurer may deny issuance of, cancel, void,
26terminate, rescind, or deny renewal of an insurance policy

 

 

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1covering a motor vehicle that has been made available for a car
2facilitation transaction if the applicant or policyholder of
3the insurance policy fails to provide complete and accurate
4information about the use of a motor vehicle through a car
5facilitation transaction as requested by the insurer during the
6application or renewal process of the insurance policy.
7    (l) Nothing in this Section requires any owner's insurance
8policy to:
9        (1) provide primary or excess coverage during the car
10    facilitation transaction;
11        (2) imply that any insurance policy provides coverage
12    for a motor vehicle during the car facilitation
13    transaction; or
14        (3) preclude an insurer from providing coverage for a
15    vehicle while the vehicle is made available or used through
16    a car facilitation transaction if the insurer elects to do
17    so by contract or endorsement.
18    (m) The car facilitation company shall collect and verify
19records pertaining to the use of a vehicle, including, but not
20limited to, times used, fees paid by the rentor, and revenues
21received by the vehicle owner, and provide that information
22upon request to the registered owner of the vehicle, the
23owner's insurer, or and the insurer of a person operating the
24vehicle during the car facilitation transaction when a claim
25has been made against an insured involving a dispute as to
26whether the insurer's policy of the registered owner of the

 

 

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1vehicle or the person operating the vehicle and shall retain
2the records for a reasonable period after the expiration of the
3applicable personal injury statute of limitations.
4    (n) The car facilitation company shall have sole
5responsibility for any equipment, such as a GPS system or other
6special equipment, that is put in or on the vehicle to monitor
7or facilitate the transaction, and shall agree to indemnify and
8hold harmless the vehicle owner for any damage to or theft of
9such equipment.
10    (o) The car facilitation company shall:
11        (1) verify that the registered vehicle does not have
12    any safety recalls on the vehicle for which the repairs
13    have not been made; and
14        (2) notify the owner of the registered vehicle of the
15    requirements under subsection (p) of this Section.
16    (p) If the registered owner of the vehicle has received an
17actual notice of a safety recall on the motor vehicle, the
18registered owner of the vehicle may not make the motor vehicle
19available through the car facilitation company until the safety
20recall repair has been made.
21    If a registered owner of a vehicle receives an actual
22notice of a safety recall on a registered vehicle while the
23registered vehicle is made available or in use through the car
24facilitation company, the registered owner of the vehicle shall
25remove the shared motor vehicle from participation as soon as
26practicably possible, but no later than 72 hours after

 

 

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1receiving the notice of the safety recall and shall not allow
2the vehicle to be used in a car facilitation transaction until
3the safety recall repair has been made.
4    (q) A citation for a violation of Section 11-208.6,
511-208.8, 11-208.9, or 11-1201.1 of the Illinois Vehicle Code
6that is dismissed with respect to the registered owner of a
7vehicle under subsection (e) of this Section may be issued and
8delivered by mail or other means to the car facilitation
9company identified in the registered owner's affidavit of
10non-liability.
11(Source: 10000SB2641ham003; 10000SB2641ham004.)
 
12    Section 99. Effective date. This Act takes effect January
131, 2019.