|
return if such
amount is disclosed in the return, or in a |
statement attached to the
return, in a manner adequate to |
apprise the Department of the nature and
the amount of such |
item.
|
(2) Reportable transactions. If a taxpayer fails to |
include on any return or statement for any taxable year any |
information with respect to a reportable transaction, as |
required under Section 501(b) of this Act, a notice of |
deficiency may be issued not later than 6 years after the |
return is filed with respect to the taxable year in which |
the taxpayer participated in the reportable transaction |
and said deficiency is limited to the non-disclosed item.
|
(c) No return or fraudulent return. If no return is filed |
or a
false and fraudulent return is filed with intent to evade |
the tax
imposed by this Act, a notice of deficiency may be |
issued at any time.
|
(d) Failure to report federal change. If a taxpayer fails |
to
notify the Department in any case where notification is |
required by
Section 304(c) or 506(b), or fails to report a |
change or correction which is
treated in the same manner as if |
it were a deficiency for federal income
tax purposes, a notice |
of deficiency may be issued (i) at any time or
(ii) on or after |
August 13, 1999, at any time for the
taxable year for which the |
notification is required or for any taxable year to
which the |
taxpayer may carry an Article 2 credit, or a Section 207 loss,
|
earned, incurred, or used in the year for which the |
notification is required;
provided, however, that the amount of |
any proposed assessment set forth in the
notice shall be |
limited to the amount of any deficiency resulting under this
|
Act from the recomputation of the taxpayer's net income, |
Article 2 credits, or
Section 207 loss earned, incurred, or |
used in the taxable year for which the
notification is required |
after giving effect to the item or items required to
be |
reported.
|
(e) Report of federal change.
|
(1) Before August 13, 1999, in any case where |
|
notification of
an alteration is given as required by |
Section 506(b), a notice of
deficiency may be issued at any |
time within 2 years after the date such
notification is |
given, provided, however, that the amount of any
proposed |
assessment set forth in such notice shall be limited to the
|
amount of any deficiency resulting under this Act from |
recomputation of
the taxpayer's net income, net loss, or |
Article 2 credits
for the taxable year after giving
effect |
to the item
or items reflected in the reported alteration.
|
(2) On and after August 13, 1999, in any case where |
notification of
an alteration is given as required by |
Section 506(b), a notice of
deficiency may be issued at any |
time within 2 years after the date such
notification is |
given for the taxable year for which the notification is
|
given or for any taxable year to which the taxpayer may |
carry an Article 2
credit, or a Section 207 loss, earned, |
incurred, or used in the year for which
the notification is |
given, provided, however, that the amount of any
proposed |
assessment set forth in such notice shall be limited to the
|
amount of any deficiency resulting under this Act from |
recomputation of
the taxpayer's net income, Article 2 |
credits, or Section 207
loss earned, incurred, or used in
|
the taxable year for which the notification is given after |
giving
effect to the item
or items reflected in the |
reported alteration.
|
(f) Extension by agreement. Where, before the expiration of |
the
time prescribed in this Section for the issuance of a |
notice of
deficiency, both the Department and the taxpayer |
shall have consented in
writing to its issuance after such |
time, such notice may be issued at
any time prior to the |
expiration of the period agreed upon.
In the case of a taxpayer |
who is a partnership, Subchapter S corporation, or
trust and |
who enters into an agreement with the Department pursuant to |
this
subsection on or after January 1, 2003, a notice of |
deficiency may be issued to
the partners, shareholders, or |
beneficiaries of the taxpayer at any time prior
to the |
|
expiration of the period agreed upon. Any
proposed assessment |
set forth in the notice, however, shall be limited to the
|
amount of
any deficiency resulting under this Act from |
recomputation of items of income,
deduction, credits, or other |
amounts of the taxpayer that are taken into
account by the |
partner, shareholder, or beneficiary in computing its |
liability
under this Act.
The period
so agreed upon may be |
extended by subsequent agreements in writing made
before the |
expiration of the period previously agreed upon.
|
(g) Erroneous refunds. In any case in which there has been |
an
erroneous refund of tax payable under this Act, a notice of |
deficiency
may be issued at any time within 2 years from the |
making of such refund,
or within 5 years from the making of |
such refund if it appears that any
part of the refund was |
induced by fraud or the misrepresentation of a
material fact, |
provided, however, that the amount of any proposed
assessment |
set forth in such notice shall be limited to the amount of
such |
erroneous refund.
|
Beginning July 1, 1993, in any case in which there has been |
a refund of tax
payable under this Act attributable to a net |
loss carryback as provided for in
Section 207, and that refund |
is subsequently determined to be an erroneous
refund due to a |
reduction in the amount of the net loss which was originally
|
carried back, a notice of deficiency for the erroneous refund |
amount may be
issued at any time during the same time period in |
which a notice of deficiency
can be issued on the loss year |
creating the carryback amount and subsequent
erroneous refund. |
The amount of any proposed assessment set forth in the notice
|
shall be limited to the amount of such erroneous refund.
|
(h) Time return deemed filed. For purposes of this Section |
a tax
return filed before the last day prescribed by law |
(including any
extension thereof) shall be deemed to have been |
filed on such last day.
|
(i) Request for prompt determination of liability. For |
purposes
of subsection (a)(1), in the case of a tax return |
required under this
Act in respect of a decedent, or by his |
|
estate during the period of
administration, or by a |
corporation, the period referred to in such
Subsection shall be |
18 months after a written request for prompt
determination of |
liability is filed with the Department (at such time
and in |
such form and manner as the Department shall by regulations
|
prescribe) by the executor, administrator, or other fiduciary
|
representing the estate of such decedent, or by such |
corporation, but
not more than 3 years after the date the |
return was filed. This
subsection shall not apply in the case |
of a corporation unless:
|
(1) (A) such written request notifies the Department |
that the
corporation contemplates dissolution at or before |
the expiration of such
18-month period, (B) the dissolution |
is begun in good faith before the
expiration of such |
18-month period, and (C) the dissolution is completed;
|
(2) (A) such written request notifies the Department |
that a
dissolution has in good faith been begun, and (B) |
the dissolution is
completed; or
|
(3) a dissolution has been completed at the time such |
written
request is made.
|
(j) Withholding tax. In the case of returns required under |
Article 7
of this Act (with respect to any amounts withheld as |
tax or any amounts
required to have been withheld as tax) a |
notice of deficiency shall be
issued not later than 3 years |
after the 15th day of the 4th month
following the close of the |
calendar year in which such withholding was
required.
|
(k) Penalties for failure to make information reports. A |
notice of
deficiency for the penalties provided by Subsection |
1405.1(c) of this Act may
not be issued more than 3 years after |
the due date of the reports with respect
to which the penalties |
are asserted.
|
(l) Penalty for failure to file withholding returns. A |
notice of deficiency
for penalties provided by Section 1004 of |
this Act for taxpayer's failure
to file withholding returns may |
not be issued more than three years after
the 15th day of the |
4th month following the close of the calendar year in
which the |
|
withholding giving rise to taxpayer's obligation to file those
|
returns occurred.
|
(m) Transferee liability. A notice of deficiency may be |
issued to a
transferee relative to a liability asserted under |
Section 1405 during time
periods defined as follows:
|
1) Initial Transferee. In the case of the liability of |
an initial
transferee, up to 2 years after the expiration |
of the period of limitation for
assessment against the |
transferor, except that if a court proceeding for review
of |
the assessment against the transferor has begun, then up to |
2 years after
the return of the certified copy of the |
judgment in the court proceeding.
|
2) Transferee of Transferee. In the case of the |
liability of a
transferee,
up to 2 years after the |
expiration of the period of limitation for assessment
|
against the preceding transferee, but not more than 3 years |
after the
expiration of the period of limitation for |
assessment against the initial
transferor; except that if, |
before the expiration of the period of limitation
for the |
assessment of the liability of the transferee, a court |
proceeding for
the collection of the tax or liability in |
respect thereof has been begun
against the initial |
transferor or the last preceding transferee, as the case
|
may be, then the period of limitation for assessment of the |
liability of the
transferee shall expire 2 years after the |
return of the certified copy of the
judgment in the court |
proceeding.
|
(n) Notice of decrease in net loss. On and after August 23, |
2002
the effective date of
this amendatory Act of the 92nd |
General Assembly, no notice of deficiency shall
be issued as |
the result of a decrease determined by the Department in the |
net
loss incurred by a taxpayer in any taxable year ending |
prior to December 31, 2002 under Section 207 of this Act unless |
the Department
has notified the taxpayer of the proposed |
decrease within 3 years after the
return reporting the loss was |
filed or within one year after an amended return
reporting an |
|
increase in the loss was filed, provided that in the case of an
|
amended return, a decrease proposed by the Department more than |
3 years after
the original return was filed may not exceed the |
increase claimed by the
taxpayer on the original return.
|
(Source: P.A. 92-846, eff. 8-23-02; 93-840, eff. 7-30-04.)
|
(35 ILCS 5/911) (from Ch. 120, par. 9-911)
|
Sec. 911. Limitations on Claims for Refund.
|
(a) In general. Except
as otherwise provided in this Act:
|
(1) A claim for refund shall be filed not later than 3 |
years after
the date the return was filed (in the case of |
returns required under
Article 7 of this Act respecting any |
amounts withheld as tax, not later
than 3 years after the |
15th day of the 4th month following the close of
the |
calendar year in which such withholding was made), or one |
year after
the date the tax was paid, whichever is the |
later; and
|
(2) No credit or refund shall be allowed or made with |
respect to the
year for which the claim was filed unless |
such claim is filed within
such period.
|
(b) Federal changes.
|
(1) In general. In any case where
notification of an |
alteration is required by Section 506(b), a claim
for |
refund may be filed within 2 years after the date on which |
such
notification was due (regardless of whether such |
notice was given), but
the amount recoverable pursuant to a |
claim filed under this Section
shall be limited to the |
amount of any overpayment resulting under this
Act from |
recomputation of the taxpayer's net income, net loss, or |
Article 2
credits for the taxable
year after giving effect |
to the item or items reflected in the
alteration required |
to be reported.
|
(2) Tentative carryback adjustments paid before |
January 1, 1974.
If, as the result of the payment before |
January 1, 1974 of a federal
tentative carryback |
adjustment, a notification of an alteration is
required |
|
under Section 506(b), a claim for refund may be filed at |
any
time before January 1, 1976, but the amount recoverable |
pursuant to a
claim filed under this Section shall be |
limited to the amount of any
overpayment resulting under |
this Act from recomputation of the
taxpayer's base income |
for the taxable year after giving effect to the
federal |
alteration resulting from the tentative carryback |
adjustment
irrespective of any limitation imposed in |
paragraph (l) of this
subsection.
|
(c) Extension by agreement. Where, before the expiration of |
the
time prescribed in this section for the filing of a claim |
for refund,
both the Department and the claimant shall have |
consented in writing to
its filing after such time, such claim |
may be filed at any time prior to
the expiration of the period |
agreed upon. The period so agreed upon may
be extended by |
subsequent agreements in writing made before the
expiration of |
the period previously agreed upon.
In the case of a taxpayer |
who is a partnership, Subchapter S corporation, or
trust and |
who enters into an agreement with the Department pursuant to |
this
subsection on or after January 1, 2003, a claim for refund |
may be issued to the
partners, shareholders, or beneficiaries |
of the taxpayer at any time prior to
the expiration of the |
period agreed upon. Any refund
allowed pursuant to the claim, |
however, shall be limited to the amount of any
overpayment
of |
tax due under this Act that results from recomputation of items |
of income,
deduction, credits, or other amounts of the taxpayer |
that are taken into
account by the partner, shareholder, or |
beneficiary in computing its liability
under this Act.
|
(d) Limit on amount of credit or refund.
|
(1) Limit where claim filed within 3-year period. If |
the claim was
filed by the claimant during the 3-year |
period prescribed in subsection
(a), the amount of the |
credit or refund shall not exceed the portion of
the tax |
paid within the period, immediately preceding the filing of |
the
claim, equal to 3 years plus the period of any |
extension of time for
filing the return.
|
|
(2) Limit where claim not filed within 3-year period. |
If the claim
was not filed within such 3-year period, the |
amount of the credit or
refund shall not exceed the portion |
of the tax paid during the one year
immediately preceding |
the filing of the claim.
|
(e) Time return deemed filed. For purposes of this section |
a tax
return filed before the last day prescribed by law for |
the filing of
such return (including any extensions thereof) |
shall be deemed to have
been filed on such last day.
|
(f) No claim for refund based on the taxpayer's taking a |
credit for
estimated tax payments as provided by Section |
601(b)(2) or for any amount
paid by a taxpayer pursuant to |
Section 602(a) or for any amount of credit for
tax withheld |
pursuant to Section 701 may be filed more than 3
years after |
the due date, as provided by Section 505, of the return which
|
was required to be filed relative to the taxable year for which |
the
payments were made or for which the tax was withheld. The |
changes in
this subsection (f) made by this
amendatory Act of |
1987 shall apply to all taxable years ending on or after
|
December 31, 1969.
|
(g) Special Period of Limitation with Respect to Net Loss |
Carrybacks.
If the claim for refund relates to an overpayment |
attributable to a net
loss carryback as provided by Section |
207, in lieu of the 3 year period of
limitation prescribed in |
subsection (a), the period shall be that period
which ends 3 |
years after the time prescribed by law for filing the return
|
(including extensions thereof) for the taxable year of the net |
loss which
results in such carryback (or, on and after August |
13, 1999, with respect to a change in the
carryover of
an |
Article 2 credit to a taxable year resulting from the carryback |
of a Section
207 loss incurred in a taxable year beginning on |
or after January 1, 2000, the
period shall be that period
that |
ends 3 years after the time prescribed by law for filing the |
return
(including extensions of that time) for that subsequent |
taxable year),
or the period prescribed in subsection (c) in
|
respect of such taxable year, whichever expires later. In the |
|
case of such
a claim, the amount of the refund may exceed the |
portion of the tax paid
within the period provided in |
subsection (d) to the extent of the amount of
the overpayment |
attributable to such carryback.
On and after August 13, 1999, |
if the claim for refund relates to an overpayment attributable |
to
the
carryover
of an Article 2 credit, or of a Section 207 |
loss, earned, incurred (in a
taxable year beginning on or after |
January 1, 2000), or used in
a
year for which a notification of |
a change affecting federal taxable income must
be filed under |
subsection (b) of Section 506, the claim may be filed within |
the
period
prescribed in paragraph (1) of subsection (b) in |
respect of the year for which
the
notification is required. In |
the case of such a claim, the amount of the
refund may exceed |
the portion of the tax paid within the period provided in
|
subsection (d) to the extent of the amount of the overpayment |
attributable to
the recomputation of the taxpayer's Article 2 |
credits, or Section 207 loss,
earned, incurred, or used in the |
taxable year for which the notification is
given.
|
(h) Claim for refund based on net loss. On and after August |
23, 2002
the effective date
of this amendatory Act of the 92nd |
General Assembly, no claim for refund shall
be allowed to the |
extent the refund is the result of an amount of net loss
|
incurred in any taxable year ending prior to December 31, 2002
|
under Section 207 of this Act that was not reported to the |
Department
within 3 years of the due date (including |
extensions) of the return for the
loss year on either the |
original return filed by the taxpayer or on amended
return or |
to the extent that the refund is the result of an amount of net |
loss incurred in any taxable year under Section 207 for which |
no return was filed within 3 years of the due date (including |
extensions) of the return for the loss year.
|
(Source: P.A. 91-541, eff. 8-13-99; 92-846, eff.
8-23-02.)
|
Section 5-10. The Public Utilities Act is amended by |
changing Section 8-403.1 as follows:
|
|
(220 ILCS 5/8-403.1) (from Ch. 111 2/3, par. 8-403.1)
|
Sec. 8-403.1. Electricity purchased from qualified solid |
waste energy
facility; tax credit; distributions for economic |
development.
|
(a) It is hereby declared to be the policy of this State to |
encourage the
development of alternate energy production |
facilities in order to conserve our
energy resources and to |
provide for their most efficient use.
|
(b) For the purpose of this Section and Section 9-215.1, |
"qualified
solid waste energy facility" means a facility |
determined by the
Illinois Commerce Commission to qualify as |
such under the Local Solid
Waste Disposal Act, to use methane |
gas generated from landfills as its
primary fuel, and to |
possess characteristics that would enable it to qualify
as a |
cogeneration or small power production facility under federal |
law.
|
(c) In furtherance of the policy declared in this Section, |
the
Illinois Commerce Commission shall require electric |
utilities to enter into
long-term contracts to purchase |
electricity from qualified solid waste
energy facilities |
located in the electric utility's service area, for a
period |
beginning on the date that the facility begins generating
|
electricity and having a duration of not less than 10 years
in |
the case of facilities fueled by landfill-generated methane, or |
20
years in the case of facilities fueled by methane generated |
from a landfill
owned by a forest preserve district. The |
purchase rate contained in such
contracts shall be equal to the |
average amount per kilowatt-hour paid from
time to time by the |
unit or units of local government in which the
electricity |
generating facilities are located, excluding amounts paid for
|
street lighting and pumping service.
|
(d) Whenever a public utility is required to purchase |
electricity
pursuant to subsection (c) above, it shall be |
entitled to credits in
respect of its obligations to remit to |
the State taxes it has
collected under the Electricity Excise |
Tax Law equal to the amounts,
if any, by which payments for |
|
such electricity
exceed (i) the then current rate at which the |
utility must purchase the
output of qualified facilities |
pursuant to the federal Public
Utility Regulatory Policies Act |
of 1978, less (ii) any costs, expenses, losses,
damages or |
other amounts incurred by the utility, or for which it becomes
|
liable, arising out of its failure to obtain such electricity |
from such other
sources. The amount of any such
credit shall, |
in the first instance, be
determined by the utility, which |
shall make a monthly report of such credits
to the Illinois |
Commerce Commission and, on its monthly tax return, to the
|
Illinois Department of Revenue. Under no circumstances shall a |
utility be
required to purchase electricity from a qualified |
solid waste energy facility
at the rate prescribed in |
subsection (c) of this Section if such purchase would
result in |
estimated tax credits that exceed, on a monthly basis, the |
utility's
estimated obligation to remit to the State taxes it |
has
collected under the Electricity Excise Tax Law. The
owner |
or operator shall negotiate facility operating conditions with |
the
purchasing utility in accordance with that utility's posted |
standard terms and
conditions for small power producers. If the |
Department of Revenue disputes the
amount of any such credit, |
such dispute shall be decided by the Illinois
Commerce |
Commission. Whenever a qualified solid waste energy facility |
has paid
or otherwise
satisfied in full the capital costs or |
indebtedness incurred in developing
and implementing the |
qualified solid waste energy facility, whenever the qualified |
solid waste energy facility ceases to operate and produce |
electricity from methane gas generated from landfills, or at |
the end of the contract entered into pursuant to subsection (c) |
of this Section, whichever occurs first, the qualified solid |
waste energy facility shall
reimburse the Public Utility Fund |
and the General Revenue
Fund in the State treasury for the |
actual
reduction in payments to those Funds caused by this
|
subsection (d) in a
manner to be determined by the Illinois |
Commerce Commission and based on
the manner in which revenues |
for those Funds were reduced. The payments shall be made to the |
|
Illinois Commerce Commission, which shall determine the |
appropriate disbursements to the Public Utility Fund and the |
General Revenue Fund based on this subsection (d).
|
(e) The Illinois Commerce Commission shall not require an |
electric
utility to purchase electricity from any qualified |
solid waste energy facility
which is owned or operated by
an |
entity that is primarily engaged in the
business of producing |
or selling electricity, gas, or useful thermal energy
from a |
source other than one or more qualified solid waste energy |
facilities.
|
(e-5) A qualified solid waste energy facility may receive |
the purchase rate provided in subsection (c) of this Section |
only for kilowatt-hours generated by the use of methane
gas |
generated from landfills. The purchase rate provided in |
subsection (c) of this Section does not apply to electricity |
generated by the use of a fuel that is not methane gas |
generated from landfills. If the Illinois Commerce Commission |
determines that a qualified solid waste energy facility has |
violated the requirement regarding the use of methane gas |
generated from a landfill as set forth in this subsection |
(e-5), then the Commission shall issue an order requiring that |
the qualified solid waste energy facility repay the State for |
all dollar amounts of electricity sales that are determined by |
the Commission to be the result of the violation. As part of |
that order, the Commission shall have the authority to revoke |
the facility's approval to act as a qualified solid waste |
energy facility granted by the Commission under this Section. |
If the amount owed by the qualified solid waste energy facility |
is not received by the Commission within 90 days after the date |
of the Commission's order that requires repayment, then the |
Commission shall issue an order that revokes the facility's |
approval to act as a qualified solid waste energy facility |
granted by the Commission under this Section. The Commission's |
action that vacates prior qualified solid waste energy facility |
approval does not excuse the repayment to the State treasury |
required by subsection (d) of this Section for utility tax |
|
credits accumulated up to the time of the Commission's action.
|
A qualified solid waste energy facility must receive Commission |
approval before it may use any fuel in addition to methane gas |
generated from a landfill in order to generate electricity. If |
a qualified solid waste energy facility petitions the |
Commission to use any fuel in addition to methane gas generated |
from a landfill to generate electricity, then the Commission |
shall have the authority to do the following: |
(1) establish the methodology for determining the |
amount of electricity that is generated by the use of |
methane gas generated from a landfill and the amount that |
is generated by the use of other fuel; |
(2) determine all reporting requirements for the |
qualified solid waste energy facility that are necessary |
for the Commission to determine the amount of electricity |
that is generated by the use of methane gas from a landfill |
and the amount that is generated by the use of other fuel |
and the resulting payments to the qualified solid waste |
energy facility; and |
(3) require that the qualified solid waste energy |
facility, at the qualified solid waste energy facility's |
expense, install metering equipment that the Commission |
determines is necessary to enforce compliance with this |
subsection (e-5). |
A public utility that is required to enter into a long-term |
purchase contract with a qualified solid waste energy facility |
has no duty to determine whether the electricity being |
purchased was generated by the use of methane gas generated |
from a landfill or was generated by the use of some other fuel |
in violation of the requirements of this subsection (e-5).
|
(f) This Section does not require an electric utility to |
construct
additional facilities unless those facilities are |
paid for by the owner or
operator of the affected qualified |
solid waste energy facility.
|
(g) The Illinois Commerce Commission shall require that: |
(1) electric
utilities use the electricity purchased from a |
|
qualified solid waste
energy facility to displace electricity |
generated from nuclear power or
coal mined and purchased |
outside the boundaries of the State of Illinois
before |
displacing electricity generated from coal mined and purchased
|
within the State of Illinois, to the extent possible, and (2) |
electric
utilities report annually to the Commission on the |
extent of such
displacements.
|
(h) Nothing in this Section is intended to cause an |
electric utility
that is required to purchase power hereunder |
to incur any economic loss as
a result of its purchase. All |
amounts paid for power which a utility is
required to purchase |
pursuant to subparagraph (c) shall be deemed to be
costs |
prudently incurred for purposes of computing charges under |
rates
authorized by Section 9-220 of this Act. Tax credits |
provided for herein
shall be reflected in charges made pursuant |
to rates so authorized to the
extent such credits are based |
upon a cost which is also reflected in such
charges.
|
(i) Beginning in February 1999 and through January 2009, |
each qualified
solid waste energy facility that sells |
electricity to an electric utility at
the purchase rate |
described in subsection (c) shall file with the Department
of |
Revenue on or before the 15th of each month a form, prescribed |
by the
Department of Revenue, that states the number of |
kilowatt hours of electricity
for which payment was received at |
that purchase rate from electric utilities
in Illinois during |
the immediately
preceding month. This form shall be accompanied |
by a payment from the
qualified solid waste energy facility in |
an amount equal to six-tenths of a
mill ($0.0006) per kilowatt |
hour of electricity stated on the form. Beginning
on the |
effective date of this amendatory Act of the 92nd General
|
Assembly, a qualified solid waste energy facility must file the |
form required
under this subsection (i) before the 15th of each |
month regardless of whether
the facility received any payment |
in the previous month. Payments received by
the Department of |
Revenue shall be deposited into the Municipal Economic
|
Development Fund, a trust fund created outside the State |
|
treasury.
The State Treasurer may invest the moneys in the Fund |
in any investment
authorized by the Public Funds Investment |
Act, and investment income shall be
deposited into and become |
part of the Fund. Moneys in the Fund shall be used
by the State |
Treasurer as provided in subsection (j). |
Beginning on July 1, 2006 through January 31, 2009, each |
month the State Treasurer shall certify the following to the |
State Comptroller: |
(A) the amount received by the Department of Revenue |
under this subsection (i) during the immediately preceding |
month; and |
(B) the amount received by the Department of Revenue |
under this subsection (i) in the corresponding month in |
calendar year 2002. |
As soon as practicable after receiving the certification from |
the State Treasurer, the State Comptroller shall transfer from |
the General Revenue Fund to the Municipal Economic Development |
Fund in the State treasury an amount equal to the amount by |
which the amount calculated under item (B) of this paragraph |
exceeds the amount calculated under item (A) of this paragraph, |
if any.
|
The obligation of a
qualified solid waste energy facility |
to make payments into the Municipal
Economic Development Fund |
shall terminate upon either: (1) expiration or
termination of a |
facility's contract to sell electricity to an electric
utility |
at the purchase rate described in subsection (c); or (2) entry
|
of an enforceable, final, and non-appealable order by a court |
of competent
jurisdiction that Public Act 89-448 is invalid. |
Payments by a
qualified solid waste energy facility into the |
Municipal Economic Development
Fund do not relieve the |
qualified solid waste energy facility of its
obligation to |
reimburse the Public Utility Fund and the General Revenue Fund
|
for the actual reduction in payments
to those Funds as a result |
of credits received by electric utilities under
subsection (d).
|
A qualified solid waste energy facility that fails to |
timely file the
requisite form and payment as required by this |
|
subsection (i) shall be subject
to penalties and interest in |
conformance with the provisions of the Illinois
Uniform Penalty |
and Interest Act.
|
Every qualified solid waste energy facility subject to the |
provisions of this
subsection (i) shall keep and maintain |
records and books of its sales pursuant
to subsection (c), |
including payments received from those sales and the
|
corresponding tax payments made in accordance with this |
subsection (i), and for
purposes of enforcement of this |
subsection (i) all such books and records shall
be subject to |
inspection by the Department of Revenue or its duly authorized
|
agents or employees.
|
When a qualified solid waste energy facility fails to file |
the form or make
the payment required under this subsection |
(i), the Department of Revenue, to
the extent that it is |
practical, may enforce the payment obligation in a manner
|
consistent with Section 5 of the Retailers' Occupation Tax Act, |
and if
necessary may impose and enforce a tax lien in a manner |
consistent with
Sections 5a, 5b, 5c, 5d, 5e, 5f,
5g, and 5i of |
the Retailers' Occupation Tax Act. No tax lien may be imposed
|
or enforced, however, unless a qualified solid waste energy |
facility fails to
make the payment required under this |
subsection (i). Only to the extent
necessary and for the |
purpose of enforcing this subsection (i), the Department
of |
Revenue may secure necessary information from a qualified solid |
waste energy
facility in a manner consistent with Section 10 of
|
the Retailers' Occupation Tax Act.
|
All information received by the Department of Revenue in |
its administration
and enforcement of this subsection (i) shall |
be confidential in a manner
consistent with Section 11 of the |
Retailers' Occupation Tax Act. The
Department of Revenue may |
adopt rules to implement the provisions of this
subsection (i).
|
For purposes of implementing the maximum aggregate |
distribution provisions in
subsections (j) and (k), when a |
qualified solid waste energy facility makes a
late payment to |
the Department of Revenue for deposit into the Municipal
|
|
Economic Development Fund, that payment and deposit shall be |
attributed to the
month and corresponding quarter in which the |
payment should have been made, and
the Treasurer shall make |
retroactive distributions or refunds, as the case may
be, |
whenever such late payments so require.
|
(j) The State Treasurer, without appropriation, must make |
distributions
immediately after January 15, April 15, July 15, |
and October 15 of each
year, up to maximum aggregate |
distributions of $500,000 for the distributions
made in the 4 |
quarters beginning with the April distribution and ending with
|
the January distribution,
from the Municipal Economic |
Development Fund to each city, village, or
incorporated town |
that has within its boundaries an incinerator
that: (1) uses
|
or, on the effective date of Public Act 90-813, used
municipal |
waste as its primary fuel to generate electricity;
(2) was |
determined by the Illinois Commerce Commission to qualify as a
|
qualified solid
waste energy facility prior to the effective |
date of Public Act 89-448; and (3)
commenced operation prior to |
January 1, 1998. Total distributions in the
aggregate to all |
qualified cities, villages, and incorporated towns in the 4
|
quarters beginning with the April distribution and ending with |
the January
distribution shall not exceed $500,000. The amount
|
of each distribution shall be determined pro rata based on the |
population of
the city, village, or incorporated town compared |
to the total population of all
cities, villages, and |
incorporated towns eligible to receive a distribution.
|
Distributions received by a city, village, or incorporated town |
must be held in
a separate account and may
be used only to |
promote and enhance industrial, commercial, residential,
|
service, transportation, and recreational activities and |
facilities within its
boundaries, thereby enhancing the |
employment opportunities, public health and
general welfare, |
and
economic development within the community, including |
administrative
expenditures exclusively to further these |
activities. These
funds, however, shall not be used by the |
city, village, or incorporated town,
directly or
indirectly, to |
|
purchase, lease, operate, or in any way subsidize the operation
|
of any incinerator, and these funds shall not be paid, directly
|
or indirectly, by the city, village, or incorporated town to |
the owner,
operator, lessee, shareholder, or bondholder of any |
incinerator.
Moreover, these funds shall not be used to pay |
attorneys fees in any litigation
relating to the validity of |
Public Act 89-448. Nothing in
this Section prevents a city, |
village, or incorporated town from using other
corporate funds |
for any legitimate purpose. For purposes of this subsection,
|
the term "municipal waste" has the meaning ascribed to it in |
Section 3.290 of the Environmental Protection Act.
|
(k) If maximum aggregate distributions of $500,000 under |
subsection (j)
have been made after the January distribution |
from the Municipal Economic
Development Fund, then the balance |
in the Fund shall be refunded to the
qualified
solid waste |
energy facilities that made payments that were deposited into |
the
Fund during the previous 12-month period. The refunds shall |
be prorated based
upon the facility's payments in relation to |
total payments for that 12-month
period.
|
(l) Beginning January 1, 2000, and each January 1 |
thereafter, each city,
village, or incorporated town that |
received distributions from the Municipal
Economic Development |
Fund, continued to hold any of those distributions, or
made |
expenditures from those distributions during the immediately |
preceding
year shall submit to
a financial and compliance and |
program audit of those distributions performed
by the Auditor |
General at no cost to the city, village, or incorporated town
|
that received the distributions. The audit should be completed |
by June 30 or
as soon thereafter as possible. The audit shall |
be submitted to the State
Treasurer and those officers |
enumerated in Section 3-14 of the Illinois State
Auditing Act.
|
If the Auditor General finds that distributions have been |
expended in violation
of this Section, the Auditor General |
shall refer the matter to the Attorney
General. The Attorney |
General may recover, in a civil action, 3 times the
amount of |
any distributions illegally expended.
For purposes of this |
|
subsection, the terms "financial audit," "compliance
audit", |
and "program audit" have the meanings ascribed to them in |
Sections 1-13
and 1-15 of the Illinois State Auditing Act.
|
(m) On and after the effective date of this amendatory Act |
of the 94th General Assembly, beginning on the first date on |
which renewable energy certificates or other saleable |
representations are sold by a qualified solid waste energy |
facility, with or without the electricity generated by the |
facility, and utilized by an electric utility or another |
electric supplier to comply with a renewable energy portfolio |
standard mandated by Illinois law or mandated by order of the |
Illinois Commerce Commission, that qualified solid waste |
energy facility may not sell electricity pursuant to this |
Section and shall be exempt from the requirements of |
subsections (a) through (l) of this Section, except that it |
shall remain obligated for any reimbursements required under |
subsection (d) of this Section. All of the provisions of this |
Section shall remain in full force and effect with respect to |
any qualified solid waste energy facility that sold electric |
energy pursuant to this Section at any time before July 1, 2006 |
and that does not sell renewable energy certificates or other |
saleable representations to meet the requirements of a |
renewable energy portfolio standard mandated by Illinois law or |
mandated by order of the Illinois Commerce Commission. |
(n) Notwithstanding any other provision of law to the |
contrary, beginning on July 1, 2006, the Illinois Commerce |
Commission shall not issue any order determining that a |
facility is a qualified solid waste energy facility unless the |
qualified solid waste energy facility was determined by the |
Illinois Commerce Commission to be a qualified solid waste |
energy facility before July 1, 2006. As a guide to the intent,
|
interpretation, and application of this amendatory Act of the
|
94th General Assembly, it is hereby declared to be the policy
|
of this State to honor each qualified solid waste energy |
facility
contract in existence on the effective date of this |
amendatory Act of
the 94th General Assembly if the qualified |