HB5409 103RD GENERAL ASSEMBLY

LRB103 37137 HLH 67256 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB5409

Introduced 2/9/2024, by Rep. Brad Stephens

SYNOPSIS AS INTRODUCED:

55 ILCS 5/5-1009

from Ch. 34, par. 5-1009

Amends the Counties Code. Provides that no home rule county may impose, pursuant to its home rule authority, a personnel mandate that requires a municipality, township, school district, community college district, park district, or other unit of local government to establish, expand, or modify its activities in such a way as to necessitate additional expenditures from local revenues of that unit of local government. Provides that, if a home rule county's personnel mandate conflicts with an ordinance of another unit of local government, the ordinance of the other unit of local government shall control within the jurisdiction of that other unit of local government. Effective immediately.

A BILL FOR

AN ACT concerning local government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Counties Code is amended by changing Section 5-1009 as follows:

(55 ILCS 5/5-1009) (from Ch. 34, par. 5-1009)

Sec. 5-1009. Limitation on home rule powers. Except as provided in Sections 5-1006, 5-1006.5, 5-1006.8, 5-1007, and 5-1008, on and after September 1, 1990, no home rule county has the authority to impose, pursuant to its home rule authority, a retailers' occupation tax, service occupation tax, use tax, sales tax or other tax on the use, sale or purchase of tangible personal property based on the gross receipts from such sales or the selling or purchase price of said tangible personal property. Notwithstanding the foregoing, this Section does not preempt any home rule imposed tax such as the following: (1) a tax on alcoholic beverages, whether based on gross receipts, volume sold or any other measurement; (2) a tax based on the number of units of cigarettes or tobacco products; (3) a tax, however measured, based on the use of a hotel or motel room or similar facility; (4) a tax, however measured, on the sale or transfer of real property; (5) a tax, however measured, on lease receipts; (6) a tax on food prepared for immediate consumption and on alcoholic beverages sold by a business which provides for on premise consumption of said food or alcoholic beverages; or (7) other taxes not based on the selling or purchase price or gross receipts from the use, sale or purchase of tangible personal property. This Section does not preempt a home rule county from imposing a tax, however measured, on the use, for consideration, of a parking lot, garage, or other parking facility.

On and after December 1, 2019, no home rule county has the authority to impose, pursuant to its home rule authority, a tax, however measured, on sales of aviation fuel, as defined in Section 3 of the Retailers' Occupation Tax Act, unless the tax revenue is expended for airport-related purposes. For purposes of this Section, "airport-related purposes" has the meaning ascribed in Section 6z-20.2 of the State Finance Act. Aviation fuel shall be excluded from tax only for so long as the revenue use requirements of 49 U.S.C. 47017(b) and 49 U.S.C. 47133 are binding on the county.

No home rule county may impose, pursuant to its home rule authority, a personnel mandate that requires a municipality, township, school district, community college district, park district, or other unit of local government to establish, expand, or modify its activities in such a way as to necessitate additional expenditures from local revenues of that unit of local government. The failure of a home rule county to make necessary appropriations for the implementation of any such personnel mandate shall relieve the local government of the obligation to implement that personnel mandate. Notwithstanding any other provision of this Section, if a home rule county's personnel mandate conflicts with an ordinance of another unit of local government, the ordinance of that other unit of local government shall control within the jurisdiction of that other unit of local government.

As used in this Section:

"Personnel mandate" means an ordinance, resolution, rule, regulation, order, or other action of a home rule county that concerns or affects the following with respect to the employees of another unit of local government: (1) salaries and wages; (2) qualifications and training; (3) hours, location of employment, and other working conditions; and (4) fringe benefits, including, but not limited to, health insurance and retirement.

This Section is a limitation, pursuant to subsection (g) of Section 6 of Article VII of the Illinois Constitution, on the power of home rule units to tax. The changes made to this Section by Public Act 101-10 are a denial and limitation of home rule powers and functions under subsection (g) of Section 6 of Article VII of the Illinois Constitution.

(Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19; 102-558, eff. 8-20-21.)

Section 99. Effective date. This Act takes effect upon becoming law.