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1 | AN ACT concerning intermodal facilities.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. Short title. This Act may be cited as the | ||||||
5 | Intermodal Facilities Promotion Act. | ||||||
6 | Section 5. Purpose. The General Assembly has determined | ||||||
7 | that it is in the interest of the State of Illinois to promote | ||||||
8 | development that will protect, promote, and improve freight | ||||||
9 | rail systems and their intermodal connections in Illinois and | ||||||
10 | encourage the efficient development of those facilities. | ||||||
11 | Section 10. Definitions. As used in this Act: | ||||||
12 | "Agreement" means the agreement between an eligible | ||||||
13 | developer and the Department under the provisions of Section 30 | ||||||
14 | of this Act. | ||||||
15 | "Department" means the Department of Commerce and Economic | ||||||
16 | Opportunity. | ||||||
17 | "Director" means the Director of Commerce and Economic | ||||||
18 | Opportunity. | ||||||
19 | "Eligible developer" means an individual, partnership, | ||||||
20 | corporation, or other entity that develops an intermodal | ||||||
21 | terminal facility in the City of Joliet. | ||||||
22 | "Eligible employer" means an individual, partnership, |
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1 | corporation, or other entity that employs full-time employees | ||||||
2 | at an intermodal terminal facility in the City of Joliet. | ||||||
3 | "Full-time employee" means an individual who is employed | ||||||
4 | for consideration for at least 35 hours each week or who | ||||||
5 | renders any other standard of service generally accepted by | ||||||
6 | industry custom or practice as full-time employment. An | ||||||
7 | individual for whom a W-2 is issued by a Professional Employer | ||||||
8 | Organization (PEO) is a full-time employee if employed in the | ||||||
9 | service of the eligible employer for consideration for at least | ||||||
10 | 35 hours each week or who renders any other standard of service | ||||||
11 | generally accepted by industry custom or practice as full-time | ||||||
12 | employment. | ||||||
13 | "Incremental income tax" means the total amount withheld | ||||||
14 | from the compensation of new employees under Article 7 of the | ||||||
15 | Illinois Income Tax Act arising from employment by an eligible | ||||||
16 | employer. | ||||||
17 | "Infrastructure" means roads, access roads, streets, | ||||||
18 | bridges, sidewalks, water and sewer line extensions, water | ||||||
19 | distribution and purification facilities, waste disposal | ||||||
20 | systems, sewage treatment facilities, stormwater drainage and | ||||||
21 | retention facilities, gas and electric utility line | ||||||
22 | extensions, or other improvements that are essential to the | ||||||
23 | development of the project that is the subject of an agreement. | ||||||
24 | "Intermodal terminal facility" means a cohesively planned | ||||||
25 | project consisting of at least 2,000 acres of land, | ||||||
26 | improvements to that land, equipment, and appliances necessary |
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1 | for the receipt and transfer of goods between one mode of | ||||||
2 | transportation and another and for the assembly and storage of | ||||||
3 | those goods. | ||||||
4 | "New employee" means a full-time employee first employed by | ||||||
5 | an eligible employer in the project that is the subject of an | ||||||
6 | agreement between the Department and an eligible developer and | ||||||
7 | who is hired after the eligible developer enters into the | ||||||
8 | agreement, but does not include: | ||||||
9 | (1) an employee of the eligible employer who performs a | ||||||
10 | job that (i) existed for at least 6 months before the | ||||||
11 | employee was hired and (ii) was previously performed by | ||||||
12 | another employee; | ||||||
13 | (2) an employee of the eligible employer who was | ||||||
14 | previously employed in Illinois by a related member of the | ||||||
15 | eligible employer and whose employment was shifted to the | ||||||
16 | eligible employer after the eligible employer entered into | ||||||
17 | the agreement; or | ||||||
18 | (3) a child, grandchild, parent, or spouse, other than | ||||||
19 | a spouse who is legally separated from the individual, of | ||||||
20 | any individual who has a direct or an indirect ownership | ||||||
21 | interest of at least 5% in the profits, capital, or value | ||||||
22 | of the eligible employer. | ||||||
23 | Notwithstanding item (2) of this definition, an employee | ||||||
24 | may be considered a new employee under the agreement if the | ||||||
25 | employee performs a job that was previously performed by an | ||||||
26 | employee who was: |
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1 | (A) treated under the agreement as a new employee; and | ||||||
2 | (B) promoted by the eligible employer to another job. | ||||||
3 | Notwithstanding any provision to the contrary, an employee | ||||||
4 | employed in a part of the project that lies within a business | ||||||
5 | district created pursuant to Division 74.3 of Article 11 of the | ||||||
6 | Illinois Municipal Code or a redevelopment project area created | ||||||
7 | pursuant to the Tax Increment Allocation Redevelopment Act | ||||||
8 | shall not be considered a new employee. | ||||||
9 | "Professional Employer Organization" (PEO) means an | ||||||
10 | employee leasing company, as defined in Section 206.1(A)(2) of | ||||||
11 | the Illinois Unemployment Insurance Act. | ||||||
12 | "Related member" means a person or entity that, with | ||||||
13 | respect to the eligible employer during any portion of the | ||||||
14 | taxable year, is any one of the following: | ||||||
15 | (1) an individual stockholder, if the stockholder and | ||||||
16 | the members of the stockholder's family (as defined in | ||||||
17 | Section 318 of the Internal Revenue Code) own directly, | ||||||
18 | indirectly, beneficially, or constructively, in the | ||||||
19 | aggregate, at least 50% of the value of the eligible | ||||||
20 | employer's outstanding stock; | ||||||
21 | (2) a partnership, estate, or trust and any partner or | ||||||
22 | beneficiary, if the partnership, estate, or trust, and its | ||||||
23 | partners or beneficiaries own directly, indirectly, or | ||||||
24 | beneficially, or constructively, in the aggregate, at | ||||||
25 | least 50% of the profits, capital, stock, or value of the | ||||||
26 | eligible employer; |
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1 | (3) a corporation, and any party related to the | ||||||
2 | corporation in a manner that would require an attribution | ||||||
3 | of stock from the corporation to the party or from the | ||||||
4 | party to the corporation under the attribution rules of | ||||||
5 | Section 318 of the Internal Revenue Code, if the taxpayer | ||||||
6 | owns directly, indirectly, beneficially, or constructively | ||||||
7 | at least 50% of the value of the corporation's outstanding | ||||||
8 | stock; | ||||||
9 | (4) a corporation and any party related to that | ||||||
10 | corporation in a manner that would require an attribution | ||||||
11 | of stock from the corporation to the party or from the | ||||||
12 | party to the corporation under the attribution rules of | ||||||
13 | Section 318 of the Internal Revenue Code, if the | ||||||
14 | corporation and all such related parties own in the | ||||||
15 | aggregate at least 50% of the profits, capital, stock, or | ||||||
16 | value of the eligible employer; or | ||||||
17 | (5) a person to or from whom there is attribution of | ||||||
18 | stock ownership in accordance with Section 1563(e) of the | ||||||
19 | Internal Revenue Code, except, for purposes of determining | ||||||
20 | whether a person is a related member under this definition, | ||||||
21 | 20% shall be substituted for 5% wherever 5% appears in | ||||||
22 | Section 1563(e) of the Internal Revenue Code. | ||||||
23 | Section 15. Intermodal Facilities Promotion Fund. The | ||||||
24 | Intermodal Facilities Promotion Fund is created as a special | ||||||
25 | fund in the State treasury. As soon as possible, upon |
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1 | certification of the Department of Revenue following review of | ||||||
2 | the amounts contained in the quarter annual report required | ||||||
3 | under paragraph (4) of Section 30, the Comptroller shall order | ||||||
4 | transferred and the Treasurer shall transfer from the General | ||||||
5 | Revenue Fund to the Intermodal Facilities Promotion Fund an | ||||||
6 | amount equal to the incremental income tax for the previous | ||||||
7 | month attributable to a project that is the subject of an | ||||||
8 | agreement. | ||||||
9 | Section 20. Grants from the Intermodal Facilities | ||||||
10 | Promotion Fund. In State fiscal years 2010 through 2016, all | ||||||
11 | moneys in the Intermodal Facilities Promotion Fund, held solely | ||||||
12 | for the benefit of eligible developers, shall be appropriated | ||||||
13 | to the Department to make infrastructure grants to eligible | ||||||
14 | developers pursuant to agreements. | ||||||
15 | Section 25. Limitation on grant amounts. The total amount | ||||||
16 | of a grant to an eligible developer shall not exceed the lesser | ||||||
17 | of: | ||||||
18 | (1) $3,000,000 in each State fiscal year; or | ||||||
19 | (2) the total amount of infrastructure costs incurred | ||||||
20 | by the eligible developer with respect to a project that is | ||||||
21 | the subject of an agreement. | ||||||
22 | No eligible developer shall receive moneys that are | ||||||
23 | attributable to a project that is not the subject of the | ||||||
24 | developer's agreement with the Department. |
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1 | Section 30. Agreements with applicants. The Department | ||||||
2 | shall enter into an agreement with an eligible developer who is | ||||||
3 | entitled to grants under this Act. The agreement must include | ||||||
4 | all of the following: | ||||||
5 | (1) A detailed description of the project that is the | ||||||
6 | subject of the agreement, including the location of the | ||||||
7 | project, the number of jobs created by the project, and | ||||||
8 | project costs. For purposes of this subsection, "project | ||||||
9 | costs" includes the cost of the project incurred or to be | ||||||
10 | incurred by the eligible developer, including | ||||||
11 | infrastructure costs, but excludes the value of State or | ||||||
12 | local incentives, including tax increment financing and | ||||||
13 | deductions, credits, or exemptions afforded to an employer | ||||||
14 | located in an enterprise zone. | ||||||
15 | (2) A requirement that the eligible developer shall | ||||||
16 | maintain operations at the project location, stated as a | ||||||
17 | minimum number of years not to exceed 10 years. | ||||||
18 | (3) A specific method for determining the number of new | ||||||
19 | employees attributable to the project. | ||||||
20 | (4) A requirement that the eligible developer shall | ||||||
21 | report on a quarter annual basis to the Department and the | ||||||
22 | Department of Revenue the number of new employees and the | ||||||
23 | incremental income tax withheld in connection with the new | ||||||
24 | employees. | ||||||
25 | (5) A provision authorizing the Department to verify |
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1 | with the Department of Revenue the amounts reported under | ||||||
2 | paragraph (4). | ||||||
3 | (6) A provision authorizing the Department of Revenue | ||||||
4 | to audit the information reported under paragraph (4). | ||||||
5 | Section 35. Rules. The Department and the Department of | ||||||
6 | Revenue may promulgate rules necessary to implement this Act. | ||||||
7 | Section 90. The State Finance Act is amended by adding | ||||||
8 | Section 5.719 as follows: | ||||||
9 | (30 ILCS 105/5.719 new) | ||||||
10 | Sec. 5.719. The Intermodal Facilities Promotion Fund.
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11 | Section 99. Effective date. This Act takes effect upon | ||||||
12 | becoming law.
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