Full Text of SB2030 94th General Assembly
SB2030ham003 94TH GENERAL ASSEMBLY
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Rep. Marlow H. Colvin
Filed: 5/3/2006
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| AMENDMENT TO SENATE BILL 2030
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| AMENDMENT NO. ______. Amend Senate Bill 2030, AS AMENDED, | 3 |
| by replacing everything after the enacting clause with the | 4 |
| following:
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| "Section 5. The Film Production Services Tax Credit Act is | 6 |
| amended by changing Sections 10, 40, 45, and 90 as follows:
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| (35 ILCS 15/10)
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| (Section scheduled to be repealed on January 1, 2007)
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| Sec. 10. Definitions. As used in this Act:
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| "Accredited production" means : (i) for productions | 11 |
| commencing before May 1, 2006, a film, video, or television | 12 |
| production that
has been certified by the Department in which | 13 |
| the aggregate Illinois labor
expenditures
included in the cost | 14 |
| of the production, in the period that ends 12 months after
the | 15 |
| time principal filming or taping of the production began, | 16 |
| exceed $100,000
for productions of 30 minutes or longer, or | 17 |
| $50,000 for productions of less
than 30
minutes; and (ii) for | 18 |
| productions commencing on or after May 1, 2006, a film, video, | 19 |
| or television production that has been certified by the | 20 |
| Department in which the Illinois production spending included | 21 |
| in the cost of production in the period that ends 12 months | 22 |
| after the time principal filming or taping of the production | 23 |
| began exceeds $100,000 for productions of 30 minutes or longer | 24 |
| or exceeds $50,000 for productions of less than 30 minutes. |
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| "Accredited production"
but does not include a production that:
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| (1) is news, current events, or public programming, or | 3 |
| a program that
includes weather or market reports;
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| (2) is a talk show;
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| (3) is a production in respect of a game, | 6 |
| questionnaire, or contest;
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| (4) is a sports event or activity;
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| (5) is a gala presentation or awards show;
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| (6) is a finished production that solicits funds;
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| (7) is a production produced by a film production | 11 |
| company if records, as
required
by 18
U.S.C. 2257, are to | 12 |
| be maintained by that film production company with respect
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| to any
performer portrayed in that single media or | 14 |
| multimedia program; or
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| (8) is a production produced primarily for industrial, | 16 |
| corporate, or
institutional purposes.
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| "Accredited production certificate" means a certificate | 18 |
| issued by the
Department certifying that the production is an | 19 |
| accredited production that
meets the guidelines of this Act.
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| "Applicant" means a taxpayer that is a film production | 21 |
| company that is
operating or has operated an accredited | 22 |
| production located within the State of
Illinois and that
(i) | 23 |
| owns the copyright in the accredited production throughout the
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| Illinois production period or (ii)
has contracted directly with | 25 |
| the owner of the copyright in the
accredited production
or a | 26 |
| person acting on behalf of the owner
to provide services for | 27 |
| the production, where the owner
of the copyright is not an | 28 |
| eligible production corporation.
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| "Credit" means :
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| (1) for an accredited production approved by the | 31 |
| Department on or before January 1, 2005 and commencing | 32 |
| before May 1, 2006, the amount equal to 25% of the Illinois | 33 |
| labor
expenditure approved by the Department.
The | 34 |
| applicant is deemed to have paid, on its balance due day |
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| for the year, an
amount equal to 25% of its qualified | 2 |
| Illinois labor expenditure for the tax
year. For Illinois | 3 |
| labor expenditures generated by the employment of | 4 |
| residents of geographic areas of high poverty or high | 5 |
| unemployment, as determined by the Department, in an | 6 |
| accredited production commencing before May 1, 2006 and
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| approved by the Department after January 1, 2005, the | 8 |
| applicant shall receive an enhanced credit of 10% in | 9 |
| addition to the 25% credit ; and .
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| (2) for an accredited production commencing on or after | 11 |
| May 1, 2006, the amount equal to: | 12 |
| (i) 20% of the Illinois production spending for the | 13 |
| taxable year; plus | 14 |
| (ii) 15% of the Illinois labor expenditures | 15 |
| generated by the employment of residents of geographic | 16 |
| areas of high poverty or high unemployment, as | 17 |
| determined by the Department.
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| "Department" means the Department of Commerce and Economic | 19 |
| Opportunity.
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| "Director" means the Director of Commerce and Economic | 21 |
| Opportunity.
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| "Illinois labor expenditure" means
salary or wages paid to | 23 |
| employees of the
applicant for services on the accredited
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| production;
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| To qualify as an Illinois labor expenditure, the | 26 |
| expenditure must be:
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| (1) Reasonable in the circumstances.
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| (2) Included in the federal income tax basis of the | 29 |
| property.
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| (3) Incurred by the applicant for services on or after | 31 |
| January 1, 2004.
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| (4) Incurred for the production stages of the | 33 |
| accredited production, from
the final
script stage to the | 34 |
| end of the post-production stage.
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| (5) Limited to the first $25,000 of wages paid or | 2 |
| incurred to each
employee of a
the production commencing | 3 |
| before May 1, 2006 and the first $100,000 of wages paid or | 4 |
| incurred to each
employee of
a production commencing on or | 5 |
| after May 1, 2006 .
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| (6) For a production commencing before May 1, 2006, | 7 |
| exclusive
Exclusive of the salary or wages paid to or | 8 |
| incurred for the 2 highest
paid
employees of the | 9 |
| production.
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| (7) Directly attributable to the accredited | 11 |
| production.
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| (8) Paid in the tax year
for which the applicant is | 13 |
| claiming the credit
or no later than 60 days after the end | 14 |
| of the tax
year.
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| (9) Paid to persons resident in Illinois at the time | 16 |
| the payments were
made.
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| (10) Paid for services rendered in Illinois.
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| "Illinois production spending" means the expenses incurred | 19 |
| by the applicant for an accredited production, including, | 20 |
| without limitation, all of the following: | 21 |
| (1) expenses to purchase, from vendors within | 22 |
| Illinois, tangible personal property that is used in the | 23 |
| accredited production; | 24 |
| (2) expenses to acquire services, from vendors in | 25 |
| Illinois, for film production, editing, or processing; and | 26 |
| (3) the compensation, not to exceed $100,000 for any | 27 |
| one employee, for contractual or salaried employees who are | 28 |
| Illinois residents performing services with respect to the | 29 |
| accredited production.
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| "Qualified production facility" means stage facilities in | 31 |
| the State in which television shows and films are or are | 32 |
| intended to be regularly produced and that contain least one | 33 |
| sound stage of at least 15,000 square feet.
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| (Source: P.A. 93-543, eff. 1-1-04; 94-171, eff. 7-11-05.)
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| (35 ILCS 15/40)
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| (Section scheduled to be repealed on January 1, 2007)
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| Sec. 40. Amount and duration of the credit. The amount of | 4 |
| the credit
awarded under this Act is based on the amount of
the | 5 |
| Illinois labor expenditure and Illinois production spending
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| approved by the Department for the production as set forth | 7 |
| under Section 10 .
The duration
of the credit may not exceed one | 8 |
| taxable year.
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| (Source: P.A. 93-543, eff. 1-1-04 .)
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| (35 ILCS 15/45)
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| (Section scheduled to be repealed on January 1, 2007)
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| Sec. 45. Evaluation of tax credit program; reports to the | 13 |
| General Assembly. | 14 |
| (a) The
Department shall evaluate the tax credit program. | 15 |
| The evaluation must include
an assessment of the effectiveness | 16 |
| of the program in creating and retaining new
jobs in Illinois | 17 |
| and of the revenue impact of the program, and may include a
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| review of the practices and experiences of other states or | 19 |
| nations with similar
programs. Upon completion of this | 20 |
| evaluation, the Department shall determine
the overall success | 21 |
| of the program, and may make a recommendation to extend,
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| modify, or not extend the program based on this evaluation. | 23 |
| (b) At the end of each fiscal quarter, the Department must | 24 |
| submit to the General Assembly a report that includes, without | 25 |
| limitation, the following information: | 26 |
| (1) the economic impact of the tax credit program, | 27 |
| including the number of jobs created and retained, | 28 |
| including whether the job positions are entry level, | 29 |
| management, talent-related, vendor-related, or | 30 |
| production-related; | 31 |
| (2) the amount of film production spending brought to | 32 |
| Illinois, including the amount of spending and type of |
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| Illinois vendors hired in connection with an accredited | 2 |
| production; and | 3 |
| (3) an overall picture of whether the human | 4 |
| infrastructure of the motion picture industry in Illinois | 5 |
| reflects the geographical, racial and ethnic, gender, and | 6 |
| income-level diversity of the State of Illinois. | 7 |
| (c) At the end of each fiscal year, the Department must | 8 |
| submit to the General Assembly a report that includes, without | 9 |
| limitation, the following information: | 10 |
| (1) an identification of each vendor that provided | 11 |
| goods or services that were included in an accredited | 12 |
| production's Illinois production spending; | 13 |
| (2) the amount paid to each identified vendor by the | 14 |
| accredited production; | 15 |
| (3) for each identified vendor, a statement as to | 16 |
| whether the vendor is a minority owned business or a female | 17 |
| owned business, as defined under Section 2 of the Business | 18 |
| Enterprise for Minorities, Females, and Persons with | 19 |
| Disabilities Act; and | 20 |
| (4) a description of any steps taken by the Department | 21 |
| to encourage accredited productions to use vendors who are | 22 |
| a minority owned business or a female owned business.
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| (Source: P.A. 93-543, eff. 1-1-04; 94-171, eff. 7-11-05.)
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| (35 ILCS 15/90)
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| (Section scheduled to be repealed on January 1, 2007)
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| Sec. 90. Repeal. This Act is repealed on January 1, 2008
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| 2007 .
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| (Source: P.A. 93-543, eff. 1-1-04; 93-840, eff. 7-30-04; | 29 |
| 94-171, eff. 7-11-05.)
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| Section 10. The Energy Assistance Act is amended by | 31 |
| changing Section 13 and by adding Section 17 as follows:
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| (305 ILCS 20/13)
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| Sec. 13. Supplemental Low-Income Energy Assistance Fund.
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| (a) The Supplemental Low-Income Energy Assistance
Fund is | 4 |
| hereby created as a special fund in the State
Treasury. The | 5 |
| Supplemental Low-Income Energy Assistance Fund
is authorized | 6 |
| to receive moneys from voluntary donations from individuals, | 7 |
| foundations, corporations, and other sources, moneys received | 8 |
| pursuant to Section 17, and , by statutory deposit, the moneys
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| collected pursuant to this Section. Subject to appropriation,
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| the Department shall use
moneys from the Supplemental | 11 |
| Low-Income Energy Assistance Fund
for payments to electric or | 12 |
| gas public utilities,
municipal electric or gas utilities, and | 13 |
| electric cooperatives
on behalf of their customers who are | 14 |
| participants in the
program authorized by Section 4 of this | 15 |
| Act, for the provision of
weatherization services and for
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| administration of the Supplemental Low-Income Energy
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| Assistance Fund. The yearly expenditures for weatherization | 18 |
| may not exceed 10%
of the amount collected during the year | 19 |
| pursuant to this Section. The yearly administrative expenses of | 20 |
| the
Supplemental Low-Income Energy Assistance Fund may not | 21 |
| exceed
10% of the amount collected during that year
pursuant to | 22 |
| this Section.
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| (b) Notwithstanding the provisions of Section 16-111
of the | 24 |
| Public Utilities Act but subject to subsection (k) of this | 25 |
| Section,
each public utility, electric
cooperative, as defined | 26 |
| in Section 3.4 of the Electric Supplier Act,
and municipal | 27 |
| utility, as referenced in Section 3-105 of the Public Utilities
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| Act, that is engaged in the delivery of electricity or the
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| distribution of natural gas within the State of Illinois
shall, | 30 |
| effective January 1, 1998,
assess each of
its customer accounts | 31 |
| a monthly Energy Assistance Charge for
the Supplemental | 32 |
| Low-Income Energy Assistance Fund.
The delivering public | 33 |
| utility, municipal electric or gas utility, or electric
or gas
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| cooperative for a self-assessing purchaser remains subject to |
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| the collection of
the
fee imposed by this Section.
The
monthly | 2 |
| charge shall be as follows:
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| (1) $0.40 per month on each account for
residential | 4 |
| electric service;
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| (2) $0.40 per month on each account for
residential gas | 6 |
| service;
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| (3) $4 per month on each account for non-residential | 8 |
| electric service
which had less than 10 megawatts
of peak | 9 |
| demand during the previous calendar year;
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| (4) $4 per month on each account for non-residential | 11 |
| gas service which
had distributed to it less than
4,000,000 | 12 |
| therms of gas during the previous calendar year;
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| (5) $300 per month on each account for non-residential | 14 |
| electric service
which had 10 megawatts or greater
of peak | 15 |
| demand during the previous calendar year; and
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| (6) $300 per month on each account for non-residential | 17 |
| gas service
which had 4,000,000 or more therms of
gas | 18 |
| distributed to it during the previous calendar year.
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| (c) For purposes of this Section:
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| (1) "residential electric service" means
electric | 21 |
| utility service for household purposes delivered to a
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| dwelling of 2 or fewer units which is billed under a
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| residential rate, or electric utility service for | 24 |
| household
purposes delivered to a dwelling unit or units | 25 |
| which is billed
under a residential rate and is registered | 26 |
| by a separate meter
for each dwelling unit;
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| (2) "residential gas service" means gas utility
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| service for household purposes distributed to a dwelling of
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| 2 or fewer units which is billed under a residential rate,
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| or gas utility service for household purposes distributed | 31 |
| to a
dwelling unit or units which is billed under a | 32 |
| residential
rate and is registered by a separate meter for | 33 |
| each dwelling
unit;
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| (3) "non-residential electric service" means
electric |
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| utility service which is not residential electric
service; | 2 |
| and
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| (4) "non-residential gas service" means gas
utility | 4 |
| service which is not residential gas service.
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| (d) At least 45 days prior to the date on which it
must | 6 |
| begin assessing Energy Assistance Charges, each public
utility | 7 |
| engaged in the delivery of electricity or the
distribution of | 8 |
| natural gas shall file with the Illinois
Commerce Commission | 9 |
| tariffs incorporating the Energy
Assistance Charge in other | 10 |
| charges stated in such tariffs.
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| (e) The Energy Assistance Charge assessed by
electric and | 12 |
| gas public utilities shall be considered a charge
for public | 13 |
| utility service.
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| (f) By the 20th day of the month following the month in | 15 |
| which the charges
imposed by the Section were collected, each | 16 |
| public
utility,
municipal utility, and electric cooperative | 17 |
| shall remit to the
Department of Revenue all moneys received as | 18 |
| payment of the
Energy Assistance Charge on a return prescribed | 19 |
| and furnished by the
Department of Revenue showing such | 20 |
| information as the Department of Revenue may
reasonably | 21 |
| require. If a customer makes a partial payment, a public
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| utility, municipal
utility, or electric cooperative may elect | 23 |
| either: (i) to apply
such partial payments first to amounts | 24 |
| owed to the
utility or cooperative for its services and then to | 25 |
| payment
for the Energy Assistance Charge or (ii) to apply such | 26 |
| partial payments
on a pro-rata basis between amounts owed to | 27 |
| the
utility or cooperative for its services and to payment for | 28 |
| the
Energy Assistance Charge.
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| (g) The Department of Revenue shall deposit into the
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| Supplemental Low-Income Energy Assistance Fund all moneys
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| remitted to it in accordance with subsection (f) of this
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| Section.
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| (h) (Blank).
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| On or before December 31, 2002, the Department shall
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| prepare a report for the General Assembly on the expenditure of | 2 |
| funds
appropriated from the Low-Income Energy Assistance Block | 3 |
| Grant Fund for the
program authorized under Section 4 of this | 4 |
| Act.
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| (i) The Department of Revenue may establish such
rules as | 6 |
| it deems necessary to implement this Section.
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| (j) The Department of Commerce and Economic Opportunity
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| Community Affairs
may establish such rules as it deems | 9 |
| necessary to implement
this Section.
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| (k) The charges imposed by this Section shall only apply to | 11 |
| customers of
municipal electric or gas utilities and electric | 12 |
| or gas cooperatives if
the municipal
electric or gas
utility or | 13 |
| electric or gas cooperative makes an affirmative decision to
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| impose the
charge. If a municipal electric or gas utility or an | 15 |
| electric
cooperative makes an affirmative decision to impose | 16 |
| the charge provided by
this
Section, the municipal electric or | 17 |
| gas utility or electric cooperative shall
inform the
Department | 18 |
| of Revenue in writing of such decision when it begins to impose | 19 |
| the
charge. If a municipal electric or gas utility or electric | 20 |
| or gas
cooperative does not
assess
this charge, the Department | 21 |
| may not use funds from the Supplemental Low-Income
Energy | 22 |
| Assistance Fund to provide benefits to its customers under the | 23 |
| program
authorized by Section 4 of this Act.
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| In its use of federal funds under this Act, the Department | 25 |
| may not cause a
disproportionate share of those federal funds | 26 |
| to benefit customers of systems
which do not assess the charge | 27 |
| provided by this Section.
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| This Section is repealed effective December 31, 2007 unless
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| renewed by action of the General Assembly. The General Assembly | 30 |
| shall
consider the results of the evaluations described in | 31 |
| Section 8 in its
deliberations.
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| (Source: P.A. 92-690, eff. 7-18-02; revised 12-6-03.)
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| (305 ILCS 20/17 new)
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| Sec. 17. Transfer into Supplemental Low-Income
Energy | 2 |
| Assistance Fund. Immediately upon the effective date of this | 3 |
| amendatory Act of the 94th General Assembly, but no later than | 4 |
| 5 business days after that effective date, the State | 5 |
| Comptroller shall direct and the Treasurer shall transfer into | 6 |
| the Supplemental Low-Income
Energy Assistance Fund $5,201,055, | 7 |
| which is equivalent to 50% of the average amount of Gas Revenue | 8 |
| Tax paid per residential gas utility customer in State fiscal | 9 |
| year 2005 multiplied by the number of residential gas utility | 10 |
| customers that received assistance from the Low Income Home | 11 |
| Energy Assistance Program during the State fiscal year 2005 | 12 |
| winter heating season.
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| Section 99. Effective date. This Act takes effect upon | 14 |
| becoming law.".
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