96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
HB5178

 

Introduced 2/1/2010, by Rep. Dave Winters

 

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

    Amends the Motor Fuel Tax Law. Makes changes to the allocations of the tax receipts. Provides that a proportional allotment of tax receipts shall be made for any road district based on the rate extended by the district. Sets forth allocation procedures for DuPage County. Provides that if any road district has levied a special tax for road purposes under certain Sections of the Illinois Highway Code, that levy entitles the road district for a full or proportionate allotment depending on the rate of the levy. Sets forth allotment procedures for those instances when a township has transferred money to the road and bridge fund. Sets forth allotment procedures for road districts that are subject to the Property Tax Extension Limitation Law. Deletes language providing that the term "road district" includes park districts, forest preserve districts, and conservation districts. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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

 

 

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1 Crossing Protection Fund to be used as follows: not less than
2 $12,000,000 each fiscal year shall be used for the construction
3 or reconstruction of rail highway grade separation structures;
4 $2,250,000 in fiscal years 2004 through 2009 and $3,000,000 in
5 fiscal year 2010 and each fiscal year thereafter shall be
6 transferred to the Transportation Regulatory Fund and shall be
7 accounted for as part of the rail carrier portion of such funds
8 and shall be used to pay the cost of administration of the
9 Illinois Commerce Commission's railroad safety program in
10 connection with its duties under subsection (3) of Section
11 18c-7401 of the Illinois Vehicle Code, with the remainder to be
12 used by the Department of Transportation upon order of the
13 Illinois Commerce Commission, to pay that part of the cost
14 apportioned by such Commission to the State to cover the
15 interest of the public in the use of highways, roads, streets,
16 or pedestrian walkways in the county highway system, township
17 and district road system, or municipal street system as defined
18 in the Illinois Highway Code, as the same may from time to time
19 be amended, for separation of grades, for installation,
20 construction or reconstruction of crossing protection or
21 reconstruction, alteration, relocation including construction
22 or improvement of any existing highway necessary for access to
23 property or improvement of any grade crossing and grade
24 crossing surface including the necessary highway approaches
25 thereto of any railroad across the highway or public road, or
26 for the installation, construction, reconstruction, or

 

 

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1 maintenance of a pedestrian walkway over or under a railroad
2 right-of-way, as provided for in and in accordance with Section
3 18c-7401 of the Illinois Vehicle Code. The Commission may order
4 up to $2,000,000 per year in Grade Crossing Protection Fund
5 moneys for the improvement of grade crossing surfaces and up to
6 $300,000 per year for the maintenance and renewal of 4-quadrant
7 gate vehicle detection systems located at non-high speed rail
8 grade crossings. The Commission shall not order more than
9 $2,000,000 per year in Grade Crossing Protection Fund moneys
10 for pedestrian walkways. In entering orders for projects for
11 which payments from the Grade Crossing Protection Fund will be
12 made, the Commission shall account for expenditures authorized
13 by the orders on a cash rather than an accrual basis. For
14 purposes of this requirement an "accrual basis" assumes that
15 the total cost of the project is expended in the fiscal year in
16 which the order is entered, while a "cash basis" allocates the
17 cost of the project among fiscal years as expenditures are
18 actually made. To meet the requirements of this subsection, the
19 Illinois Commerce Commission shall develop annual and 5-year
20 project plans of rail crossing capital improvements that will
21 be paid for with moneys from the Grade Crossing Protection
22 Fund. The annual project plan shall identify projects for the
23 succeeding fiscal year and the 5-year project plan shall
24 identify projects for the 5 directly succeeding fiscal years.
25 The Commission shall submit the annual and 5-year project plans
26 for this Fund to the Governor, the President of the Senate, the

 

 

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1 Senate Minority Leader, the Speaker of the House of
2 Representatives, and the Minority Leader of the House of
3 Representatives on the first Wednesday in April of each year;
4     (d) of the amount remaining after allocations provided for
5 in subsections (a), (b) and (c), a sufficient amount shall be
6 reserved 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 of this Act and
14     under the terms of the International Fuel Tax Agreement
15     referenced in Section 14a;
16         (4) from October 1, 1985 until June 30, 1994, the
17     administration of the Vehicle Emissions Inspection Law,
18     which amount shall be certified monthly by the
19     Environmental Protection Agency to the State Comptroller
20     and shall promptly be transferred by the State Comptroller
21     and Treasurer from the Motor Fuel Tax Fund to the Vehicle
22     Inspection Fund, and for the period July 1, 1994 through
23     June 30, 2000, one-twelfth of $25,000,000 each month, for
24     the period July 1, 2000 through June 30, 2003, one-twelfth
25     of $30,000,000 each month, and $15,000,000 on July 1, 2003,
26     and $15,000,000 on January 1, 2004, and $15,000,000 on each

 

 

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1     July 1 and October 1, or as soon thereafter as may be
2     practical, during the period July 1, 2004 through June 30,
3     2010, for the administration of the Vehicle Emissions
4     Inspection Law of 2005, to be transferred by the State
5     Comptroller and Treasurer from the Motor Fuel Tax Fund into
6     the Vehicle Inspection Fund;
7         (5) amounts ordered paid by the Court of Claims; and
8         (6) payment of motor fuel use taxes due to member
9     jurisdictions under the terms of the International Fuel Tax
10     Agreement. The Department shall certify these amounts to
11     the Comptroller by the 15th day of each month; the
12     Comptroller shall cause orders to be drawn for such
13     amounts, and the Treasurer shall administer those amounts
14     on or before the last day of each month;
15     (e) after allocations for the purposes set forth in
16 subsections (a), (b), (c) and (d), the remaining amount shall
17 be apportioned as follows:
18         (1) Until January 1, 2000, 58.4%, and beginning January
19     1, 2000, 45.6% shall be deposited as follows:
20             (A) 37% into the State Construction Account Fund,
21         and
22             (B) 63% into the Road Fund, $1,250,000 of which
23         shall be reserved each month for the Department of
24         Transportation to be used in accordance with the
25         provisions of Sections 6-901 through 6-906 of the
26         Illinois Highway Code;

 

 

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1         (2) Until January 1, 2000, 41.6%, and beginning January
2     1, 2000, 54.4% shall be transferred to the Department of
3     Transportation to be distributed as follows:
4             (A) 49.10% to the municipalities of the State,
5             (B) 16.74% to the counties of the State having
6         1,000,000 or more inhabitants,
7             (C) 18.27% to the counties of the State having less
8         than 1,000,000 inhabitants,
9             (D) 15.89% to the road districts of the State.
10     As soon as may be after the first day of each month the
11 Department of Transportation shall allot to each municipality
12 its share of the amount apportioned to the several
13 municipalities which shall be in proportion to the population
14 of such municipalities as determined by the last preceding
15 municipal census if conducted by the Federal Government or
16 Federal census. If territory is annexed to any municipality
17 subsequent to the time of the last preceding census the
18 corporate authorities of such municipality may cause a census
19 to be taken of such annexed territory and the population so
20 ascertained for such territory shall be added to the population
21 of the municipality as determined by the last preceding census
22 for the purpose of determining the allotment for that
23 municipality. If the population of any municipality was not
24 determined by the last Federal census preceding any
25 apportionment, the apportionment to such municipality shall be
26 in accordance with any census taken by such municipality. Any

 

 

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1 municipal census used in accordance with this Section shall be
2 certified to the Department of Transportation by the clerk of
3 such municipality, and the accuracy thereof shall be subject to
4 approval of the Department which may make such corrections as
5 it ascertains to be necessary.
6     As soon as may be after the first day of each month the
7 Department of Transportation shall allot to each county its
8 share of the amount apportioned to the several counties of the
9 State as herein provided. Each allotment to the several
10 counties having less than 1,000,000 inhabitants shall be in
11 proportion to the amount of motor vehicle license fees received
12 from the residents of such counties, respectively, during the
13 preceding calendar year. The Secretary of State shall, on or
14 before April 15 of each year, transmit to the Department of
15 Transportation a full and complete report showing the amount of
16 motor vehicle license fees received from the residents of each
17 county, respectively, during the preceding calendar year. The
18 Department of Transportation shall, each month, use for
19 allotment purposes the last such report received from the
20 Secretary of State.
21     As soon as may be after the first day of each month, the
22 Department of Transportation shall allot to the several
23 counties their share of the amount apportioned for the use of
24 road districts. The allotment shall be apportioned among the
25 several counties in the State in the proportion which the total
26 mileage of township or district roads in the respective

 

 

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1 counties bears to the total mileage of all township and
2 district roads in the State. Funds allotted to the respective
3 counties for the use of road districts therein shall be
4 allocated to the several road districts in the county in the
5 proportion which the total mileage of such township or district
6 roads in the respective road districts bears to the total
7 mileage of all such township or district roads in the county.
8 After July 1 prior to 2011 of any year, no allocation shall be
9 made for any road district unless it levied a tax for road and
10 bridge purposes in an amount which will require the extension
11 of such tax against the taxable property in any such road
12 district at a rate of not less than either .08% of the value
13 thereof, based upon the assessment for the year immediately
14 prior to the year in which such tax was levied and as equalized
15 by the Department of Revenue or, in DuPage County, an amount
16 equal to or greater than $12,000 per mile of road under the
17 jurisdiction of the road district, whichever is less. Beginning
18 July 1, 2011 and each July 1 thereafter, an allocation shall be
19 made for any road district if it levied a tax for road and
20 bridge purposes. If the amount of the tax levy, however,
21 requires the extension of the tax against the taxable property
22 in the road district at a rate that is less than 0.08% of the
23 value thereof, based upon the assessment for the year
24 immediately prior to the year in which the tax was levied and
25 as equalized by the Department of Revenue, then the amount of
26 the allocation for the road district shall be a percentage of

 

 

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1 the maximum allocation equal to the percentage obtained by
2 dividing the rate extended by the district by 0.08%. In DuPage
3 County, however, no allocation shall be made for any road
4 district unless it levied a tax for road and bridge purposes in
5 an amount that will require the extension of that tax against
6 the taxable property in any such road district (i) at a rate of
7 not less than either 0.08% of the value thereof, based upon the
8 assessment for the year immediately prior to the year in which
9 such tax was levied and as equalized by the Department of
10 Revenue, or (ii) an amount equal to or greater than $12,000 per
11 mile of road under the jurisdiction of the road district,
12 whichever is less.
13     Prior to 2011, if If any road district has levied a special
14 tax for road purposes pursuant to Sections 6-601, 6-602 and
15 6-603 of the Illinois Highway Code, and such tax was levied in
16 an amount which would require extension at a rate of not less
17 than .08% of the value of the taxable property thereof, as
18 equalized or assessed by the Department of Revenue, or, in
19 DuPage County, an amount equal to or greater than $12,000 per
20 mile of road under the jurisdiction of the road district,
21 whichever is less, such levy shall, however, be deemed a proper
22 compliance with this Section and shall qualify such road
23 district for an allotment under this Section. Beginning in 2011
24 and thereafter, if any road district has levied a special tax
25 for road purposes under Sections 6-601, 6-602, and 6-603 of the
26 Illinois Highway Code, and the tax was levied in an amount that

 

 

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1 would require extension at a rate of not less than 0.08% of the
2 value of the taxable property thereof, as equalized or assessed
3 by the Department of Revenue or, in DuPage County, an amount
4 equal to or greater than $12,000 per mile of road under the
5 jurisdiction of the road district, whichever is less, that levy
6 shall be deemed a proper compliance with this Section and shall
7 qualify such road district for a full, rather than
8 proportionate, allotment under this Section. Except in DuPage
9 County, if the levy for the special tax is less than 0.08% of
10 the value of the taxable property and if the levy for the
11 special tax is more than any other levy for road and bridge
12 purposes, then the levy for the special tax qualifies the road
13 district for a proportionate, rather than full, allotment under
14 this Section. If the levy for the special tax is equal to or
15 less than any other levy for road and bridge purposes, then any
16 allotment under this Section shall be determined by the other
17 levy for road and bridge purposes.
18     Prior to 2011, if If a township has transferred to the road
19 and bridge fund money which, when added to the amount of any
20 tax levy of the road district would be the equivalent of a tax
21 levy requiring extension at a rate of at least .08%, or, in
22 DuPage County, an amount equal to or greater than $12,000 per
23 mile of road under the jurisdiction of the road district,
24 whichever is less, such transfer, together with any such tax
25 levy, shall be deemed a proper compliance with this Section and
26 shall qualify the road district for an allotment under this

 

 

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1 Section. Beginning in 2011 and thereafter, if a township has
2 transferred to the road and bridge fund money which, when added
3 to the amount of any tax levy of the road district would be the
4 equivalent of a tax levy requiring extension at a rate of at
5 least 0.08% or, in DuPage County, an amount equal to or greater
6 than $12,000 per mile of road under the jurisdiction of the
7 road district, whichever is less, then the transfer, together
8 with any such tax levy, shall be deemed a proper compliance
9 with this Section and shall qualify the road district for a
10 full, rather than proportionate, allotment under this Section.
11     In counties in which a property tax extension limitation is
12 imposed under the Property Tax Extension Limitation Law, road
13 districts may retain their entitlement to a motor fuel tax
14 allotment or, beginning in 2011, their entitlement to a full
15 allotment if, at the time the property tax extension limitation
16 was imposed, the road district was levying a road and bridge
17 tax at a rate sufficient to entitle it to a motor fuel tax
18 allotment and continues to levy the maximum allowable amount
19 after the imposition of the property tax extension limitation.
20 Any road district may in all circumstances retain its
21 entitlement to a motor fuel tax allotment or, beginning in
22 2011, their entitlement to a full allotment if it levied a road
23 and bridge tax in an amount that will require the extension of
24 the tax against the taxable property in the road district at a
25 rate of not less than 0.08% of the assessed value of the
26 property, based upon the assessment for the year immediately

 

 

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1 preceding the year in which the tax was levied and as equalized
2 by the Department of Revenue or, in DuPage County, an amount
3 equal to or greater than $12,000 per mile of road under the
4 jurisdiction of the road district, whichever is less.
5     As used in this Section the term "road district" means any
6 road district, including a county unit road district, provided
7 for by the Illinois Highway Code; and the term "township or
8 district road" means any road in the township and district road
9 system as defined in the Illinois Highway Code. For the
10 purposes of this Section, "road district" also includes park
11 districts, forest preserve districts and conservation
12 districts organized under Illinois law and "township or
13 district road" also includes such roads as are maintained by
14 park districts, forest preserve districts and conservation
15 districts. The Department of Transportation shall determine
16 the mileage of all township and district roads for the purposes
17 of making allotments and allocations of motor fuel tax funds
18 for use in road districts.
19     Payment of motor fuel tax moneys to municipalities and
20 counties shall be made as soon as possible after the allotment
21 is made. The treasurer of the municipality or county may invest
22 these funds until their use is required and the interest earned
23 by these investments shall be limited to the same uses as the
24 principal funds.
25 (Source: P.A. 95-744, eff. 7-18-08; 96-34, eff. 7-13-09; 96-45,
26 eff. 7-15-09; revised 11-3-09.)
 

 

 

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