99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB6228

 

Introduced 2/11/2016, by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 505/8  from Ch. 120, par. 424

    Amends the Motor Fuel Tax Law. Makes a technical change in a Section concerning the distribution and use of certain tax moneys under the Act.


LRB099 18557 HLH 42936 b

 

 

A BILL FOR

 

HB6228LRB099 18557 HLH 42936 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Motor Fuel Tax Law is amended by changing
5Section 8 as follows:
 
6    (35 ILCS 505/8)  (from Ch. 120, par. 424)
7    Sec. 8. Except as provided in Section 8a, subdivision
8(h)(1) of Section 12a, Section 13a.6, and and items 13, 14, 15,
9and 16 of Section 15, all money received by the Department
10under this Act, including payments made to the Department by
11member jurisdictions participating in the International Fuel
12Tax Agreement, shall be deposited in a special fund in the
13State treasury, to be known as the "Motor Fuel Tax Fund", and
14shall be used as follows:
15    (a) 2 1/2 cents per gallon of the tax collected on special
16fuel under paragraph (b) of Section 2 and Section 13a of this
17Act shall be transferred to the State Construction Account Fund
18in the State Treasury;
19    (b) $420,000 shall be transferred each month to the State
20Boating Act Fund to be used by the Department of Natural
21Resources for the purposes specified in Article X of the Boat
22Registration and Safety Act;
23    (c) $3,500,000 shall be transferred each month to the Grade

 

 

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1Crossing Protection Fund to be used as follows: not less than
2$12,000,000 each fiscal year shall be used for the construction
3or reconstruction of rail highway grade separation structures;
4$2,250,000 in fiscal years 2004 through 2009 and $3,000,000 in
5fiscal year 2010 and each fiscal year thereafter shall be
6transferred to the Transportation Regulatory Fund and shall be
7accounted for as part of the rail carrier portion of such funds
8and shall be used to pay the cost of administration of the
9Illinois Commerce Commission's railroad safety program in
10connection with its duties under subsection (3) of Section
1118c-7401 of the Illinois Vehicle Code, with the remainder to be
12used by the Department of Transportation upon order of the
13Illinois Commerce Commission, to pay that part of the cost
14apportioned by such Commission to the State to cover the
15interest of the public in the use of highways, roads, streets,
16or pedestrian walkways in the county highway system, township
17and district road system, or municipal street system as defined
18in the Illinois Highway Code, as the same may from time to time
19be amended, for separation of grades, for installation,
20construction or reconstruction of crossing protection or
21reconstruction, alteration, relocation including construction
22or improvement of any existing highway necessary for access to
23property or improvement of any grade crossing and grade
24crossing surface including the necessary highway approaches
25thereto of any railroad across the highway or public road, or
26for the installation, construction, reconstruction, or

 

 

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1maintenance of a pedestrian walkway over or under a railroad
2right-of-way, as provided for in and in accordance with Section
318c-7401 of the Illinois Vehicle Code. The Commission may order
4up to $2,000,000 per year in Grade Crossing Protection Fund
5moneys for the improvement of grade crossing surfaces and up to
6$300,000 per year for the maintenance and renewal of 4-quadrant
7gate vehicle detection systems located at non-high speed rail
8grade crossings. The Commission shall not order more than
9$2,000,000 per year in Grade Crossing Protection Fund moneys
10for pedestrian walkways. In entering orders for projects for
11which payments from the Grade Crossing Protection Fund will be
12made, the Commission shall account for expenditures authorized
13by the orders on a cash rather than an accrual basis. For
14purposes of this requirement an "accrual basis" assumes that
15the total cost of the project is expended in the fiscal year in
16which the order is entered, while a "cash basis" allocates the
17cost of the project among fiscal years as expenditures are
18actually made. To meet the requirements of this subsection, the
19Illinois Commerce Commission shall develop annual and 5-year
20project plans of rail crossing capital improvements that will
21be paid for with moneys from the Grade Crossing Protection
22Fund. The annual project plan shall identify projects for the
23succeeding fiscal year and the 5-year project plan shall
24identify projects for the 5 directly succeeding fiscal years.
25The Commission shall submit the annual and 5-year project plans
26for this Fund to the Governor, the President of the Senate, the

 

 

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1Senate Minority Leader, the Speaker of the House of
2Representatives, and the Minority Leader of the House of
3Representatives on the first Wednesday in April of each year;
4    (d) of the amount remaining after allocations provided for
5in subsections (a), (b) and (c), a sufficient amount shall be
6reserved to pay all of the following:
7        (1) the costs of the Department of Revenue in
8    administering this Act;
9        (2) the costs of the Department of Transportation in
10    performing its duties imposed by the Illinois Highway Code
11    for supervising the use of motor fuel tax funds apportioned
12    to municipalities, counties and road districts;
13        (3) refunds provided for in Section 13, refunds for
14    overpayment of decal fees paid under Section 13a.4 of this
15    Act, and refunds provided for under the terms of the
16    International Fuel Tax Agreement referenced in Section
17    14a;
18        (4) from October 1, 1985 until June 30, 1994, the
19    administration of the Vehicle Emissions Inspection Law,
20    which amount shall be certified monthly by the
21    Environmental Protection Agency to the State Comptroller
22    and shall promptly be transferred by the State Comptroller
23    and Treasurer from the Motor Fuel Tax Fund to the Vehicle
24    Inspection Fund, and for the period July 1, 1994 through
25    June 30, 2000, one-twelfth of $25,000,000 each month, for
26    the period July 1, 2000 through June 30, 2003, one-twelfth

 

 

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1    of $30,000,000 each month, and $15,000,000 on July 1, 2003,
2    and $15,000,000 on January 1, 2004, and $15,000,000 on each
3    July 1 and October 1, or as soon thereafter as may be
4    practical, during the period July 1, 2004 through June 30,
5    2012, and $30,000,000 on June 1, 2013, or as soon
6    thereafter as may be practical, and $15,000,000 on July 1
7    and October 1, or as soon thereafter as may be practical,
8    during the period of July 1, 2013 through June 30, 2015,
9    for the administration of the Vehicle Emissions Inspection
10    Law of 2005, to be transferred by the State Comptroller and
11    Treasurer from the Motor Fuel Tax Fund into the Vehicle
12    Inspection Fund;
13        (5) amounts ordered paid by the Court of Claims; and
14        (6) payment of motor fuel use taxes due to member
15    jurisdictions under the terms of the International Fuel Tax
16    Agreement. The Department shall certify these amounts to
17    the Comptroller by the 15th day of each month; the
18    Comptroller shall cause orders to be drawn for such
19    amounts, and the Treasurer shall administer those amounts
20    on or before the last day of each month;
21    (e) after allocations for the purposes set forth in
22subsections (a), (b), (c) and (d), the remaining amount shall
23be apportioned as follows:
24        (1) Until January 1, 2000, 58.4%, and beginning January
25    1, 2000, 45.6% shall be deposited as follows:
26            (A) 37% into the State Construction Account Fund,

 

 

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1        and
2            (B) 63% into the Road Fund, $1,250,000 of which
3        shall be reserved each month for the Department of
4        Transportation to be used in accordance with the
5        provisions of Sections 6-901 through 6-906 of the
6        Illinois Highway Code;
7        (2) Until January 1, 2000, 41.6%, and beginning January
8    1, 2000, 54.4% shall be transferred to the Department of
9    Transportation to be distributed as follows:
10            (A) 49.10% to the municipalities of the State,
11            (B) 16.74% to the counties of the State having
12        1,000,000 or more inhabitants,
13            (C) 18.27% to the counties of the State having less
14        than 1,000,000 inhabitants,
15            (D) 15.89% to the road districts of the State.
16    As soon as may be after the first day of each month the
17Department of Transportation shall allot to each municipality
18its share of the amount apportioned to the several
19municipalities which shall be in proportion to the population
20of such municipalities as determined by the last preceding
21municipal census if conducted by the Federal Government or
22Federal census. If territory is annexed to any municipality
23subsequent to the time of the last preceding census the
24corporate authorities of such municipality may cause a census
25to be taken of such annexed territory and the population so
26ascertained for such territory shall be added to the population

 

 

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1of the municipality as determined by the last preceding census
2for the purpose of determining the allotment for that
3municipality. If the population of any municipality was not
4determined by the last Federal census preceding any
5apportionment, the apportionment to such municipality shall be
6in accordance with any census taken by such municipality. Any
7municipal census used in accordance with this Section shall be
8certified to the Department of Transportation by the clerk of
9such municipality, and the accuracy thereof shall be subject to
10approval of the Department which may make such corrections as
11it ascertains to be necessary.
12    As soon as may be after the first day of each month the
13Department of Transportation shall allot to each county its
14share of the amount apportioned to the several counties of the
15State as herein provided. Each allotment to the several
16counties having less than 1,000,000 inhabitants shall be in
17proportion to the amount of motor vehicle license fees received
18from the residents of such counties, respectively, during the
19preceding calendar year. The Secretary of State shall, on or
20before April 15 of each year, transmit to the Department of
21Transportation a full and complete report showing the amount of
22motor vehicle license fees received from the residents of each
23county, respectively, during the preceding calendar year. The
24Department of Transportation shall, each month, use for
25allotment purposes the last such report received from the
26Secretary of State.

 

 

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1    As soon as may be after the first day of each month, the
2Department of Transportation shall allot to the several
3counties their share of the amount apportioned for the use of
4road districts. The allotment shall be apportioned among the
5several counties in the State in the proportion which the total
6mileage of township or district roads in the respective
7counties bears to the total mileage of all township and
8district roads in the State. Funds allotted to the respective
9counties for the use of road districts therein shall be
10allocated to the several road districts in the county in the
11proportion which the total mileage of such township or district
12roads in the respective road districts bears to the total
13mileage of all such township or district roads in the county.
14After July 1 of any year prior to 2011, no allocation shall be
15made for any road district unless it levied a tax for road and
16bridge purposes in an amount which will require the extension
17of such tax against the taxable property in any such road
18district at a rate of not less than either .08% of the value
19thereof, based upon the assessment for the year immediately
20prior to the year in which such tax was levied and as equalized
21by the Department of Revenue or, in DuPage County, an amount
22equal to or greater than $12,000 per mile of road under the
23jurisdiction of the road district, whichever is less. Beginning
24July 1, 2011 and each July 1 thereafter, an allocation shall be
25made for any road district if it levied a tax for road and
26bridge purposes. In counties other than DuPage County, if the

 

 

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1amount of the tax levy requires the extension of the tax
2against the taxable property in the road district at a rate
3that is less than 0.08% of the value thereof, based upon the
4assessment for the year immediately prior to the year in which
5the tax was levied and as equalized by the Department of
6Revenue, then the amount of the allocation for that road
7district shall be a percentage of the maximum allocation equal
8to the percentage obtained by dividing the rate extended by the
9district by 0.08%. In DuPage County, if the amount of the tax
10levy requires the extension of the tax against the taxable
11property in the road district at a rate that is less than the
12lesser of (i) 0.08% of the value of the taxable property in the
13road district, based upon the assessment for the year
14immediately prior to the year in which such tax was levied and
15as equalized by the Department of Revenue, or (ii) a rate that
16will yield an amount equal to $12,000 per mile of road under
17the jurisdiction of the road district, then the amount of the
18allocation for the road district shall be a percentage of the
19maximum allocation equal to the percentage obtained by dividing
20the rate extended by the district by the lesser of (i) 0.08% or
21(ii) the rate that will yield an amount equal to $12,000 per
22mile of road under the jurisdiction of the road district.
23    Prior to 2011, if any road district has levied a special
24tax for road purposes pursuant to Sections 6-601, 6-602 and
256-603 of the Illinois Highway Code, and such tax was levied in
26an amount which would require extension at a rate of not less

 

 

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1than .08% of the value of the taxable property thereof, as
2equalized or assessed by the Department of Revenue, or, in
3DuPage County, an amount equal to or greater than $12,000 per
4mile of road under the jurisdiction of the road district,
5whichever is less, such levy shall, however, be deemed a proper
6compliance with this Section and shall qualify such road
7district for an allotment under this Section. Beginning in 2011
8and thereafter, if any road district has levied a special tax
9for road purposes under Sections 6-601, 6-602, and 6-603 of the
10Illinois Highway Code, and the tax was levied in an amount that
11would require extension at a rate of not less than 0.08% of the
12value of the taxable property of that road district, as
13equalized or assessed by the Department of Revenue or, in
14DuPage County, an amount equal to or greater than $12,000 per
15mile of road under the jurisdiction of the road district,
16whichever is less, that levy shall be deemed a proper
17compliance with this Section and shall qualify such road
18district for a full, rather than proportionate, allotment under
19this Section. If the levy for the special tax is less than
200.08% of the value of the taxable property, or, in DuPage
21County if the levy for the special tax is less than the lesser
22of (i) 0.08% or (ii) $12,000 per mile of road under the
23jurisdiction of the road district, and if the levy for the
24special tax is more than any other levy for road and bridge
25purposes, then the levy for the special tax qualifies the road
26district for a proportionate, rather than full, allotment under

 

 

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1this Section. If the levy for the special tax is equal to or
2less than any other levy for road and bridge purposes, then any
3allotment under this Section shall be determined by the other
4levy for road and bridge purposes.
5    Prior to 2011, if a township has transferred to the road
6and bridge fund money which, when added to the amount of any
7tax levy of the road district would be the equivalent of a tax
8levy requiring extension at a rate of at least .08%, or, in
9DuPage County, an amount equal to or greater than $12,000 per
10mile of road under the jurisdiction of the road district,
11whichever is less, such transfer, together with any such tax
12levy, shall be deemed a proper compliance with this Section and
13shall qualify the road district for an allotment under this
14Section.
15    In counties in which a property tax extension limitation is
16imposed under the Property Tax Extension Limitation Law, road
17districts may retain their entitlement to a motor fuel tax
18allotment or, beginning in 2011, their entitlement to a full
19allotment if, at the time the property tax extension limitation
20was imposed, the road district was levying a road and bridge
21tax at a rate sufficient to entitle it to a motor fuel tax
22allotment and continues to levy the maximum allowable amount
23after the imposition of the property tax extension limitation.
24Any road district may in all circumstances retain its
25entitlement to a motor fuel tax allotment or, beginning in
262011, its entitlement to a full allotment if it levied a road

 

 

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1and bridge tax in an amount that will require the extension of
2the tax against the taxable property in the road district at a
3rate of not less than 0.08% of the assessed value of the
4property, based upon the assessment for the year immediately
5preceding the year in which the tax was levied and as equalized
6by the Department of Revenue or, in DuPage County, an amount
7equal to or greater than $12,000 per mile of road under the
8jurisdiction of the road district, whichever is less.
9    As used in this Section the term "road district" means any
10road district, including a county unit road district, provided
11for by the Illinois Highway Code; and the term "township or
12district road" means any road in the township and district road
13system as defined in the Illinois Highway Code. For the
14purposes of this Section, "township or district road" also
15includes such roads as are maintained by park districts, forest
16preserve districts and conservation districts. The Department
17of Transportation shall determine the mileage of all township
18and district roads for the purposes of making allotments and
19allocations of motor fuel tax funds for use in road districts.
20    Payment of motor fuel tax moneys to municipalities and
21counties shall be made as soon as possible after the allotment
22is made. The treasurer of the municipality or county may invest
23these funds until their use is required and the interest earned
24by these investments shall be limited to the same uses as the
25principal funds.
26(Source: P.A. 97-72, eff. 7-1-11; 97-333, eff. 8-12-11; 98-24,

 

 

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1eff. 6-19-13; 98-674, eff. 6-30-14.)