Full Text of HB4382 102nd General Assembly
HB4382eng 102ND GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Public Utilities Act is amended by changing | 5 | | Section 2-202 as follows:
| 6 | | (220 ILCS 5/2-202) (from Ch. 111 2/3, par. 2-202)
| 7 | | Sec. 2-202. Policy; Public Utility Fund; tax.
| 8 | | (a) It is declared to be the public policy of this State | 9 | | that
in order to maintain and foster the effective regulation | 10 | | of public
utilities under this Act in the interests of the | 11 | | People of the State of
Illinois and the public utilities as | 12 | | well, the public utilities subject
to regulation under this | 13 | | Act and which enjoy the privilege of operating
as public | 14 | | utilities in this State, shall bear the expense of
| 15 | | administering this Act by means of a tax on such privilege | 16 | | measured by the
annual gross revenue of such public utilities | 17 | | in the manner provided in
this Section. For purposes of this | 18 | | Section, "expense of
administering this Act" includes any | 19 | | costs incident to studies, whether
made by the Commission or | 20 | | under contract entered into by the Commission,
concerning | 21 | | environmental pollution problems caused or contributed to by
| 22 | | public utilities and the means for eliminating or abating | 23 | | those
problems. Such proceeds shall be deposited in the Public |
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| 1 | | Utility Fund in
the State treasury.
| 2 | | (b) All of the ordinary and contingent expenses of the
| 3 | | Commission incident to the administration of this Act shall be | 4 | | paid out
of the Public Utility Fund except the compensation of | 5 | | the members of the
Commission which shall be paid from the | 6 | | General Revenue Fund.
Notwithstanding other provisions of this | 7 | | Act to the contrary, the
ordinary and contingent expenses of | 8 | | the Commission incident to the
administration of the Illinois | 9 | | Commercial Transportation Law may be paid
from appropriations | 10 | | from the Public Utility Fund through the end of fiscal
year | 11 | | 1986.
| 12 | | (c) A tax is imposed upon each public utility subject to | 13 | | the
provisions of this Act equal to .08% of its gross revenue | 14 | | for each
calendar year commencing with the calendar year | 15 | | beginning January 1, 1982,
except that the Commission may, by | 16 | | rule, establish a different rate no
greater than 0.1%.
For | 17 | | purposes of this Section, "gross revenue" shall not include
| 18 | | revenue from the production, transmission, distribution, sale,
| 19 | | delivery, or furnishing of electricity.
"Gross revenue" shall | 20 | | not include amounts paid by telecommunications retailers
under | 21 | | the Telecommunications Infrastructure Maintenance Fee Act.
| 22 | | (d) Annual gross revenue returns shall be filed in | 23 | | accordance with
paragraph (1) or (2) of this subsection (d).
| 24 | | (1) Except as provided in paragraph (2) of this | 25 | | subsection (d), on
or before January 10 of each year each | 26 | | public utility
subject to the provisions of this Act shall |
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| 1 | | file with the Commission an
estimated annual gross revenue | 2 | | return containing an estimate of the amount
of its gross | 3 | | revenue for the calendar year commencing January 1 of said
| 4 | | year and a statement of the amount of tax due for said | 5 | | calendar year on the
basis of that estimate. Public | 6 | | utilities may also file revised returns
containing updated | 7 | | estimates and updated amounts of tax due during the
| 8 | | calendar year. These revised returns, if filed, shall form | 9 | | the basis for
quarterly payments due during the remainder | 10 | | of the calendar year. In
addition, on or before March 31 of | 11 | | each year, each public
utility shall
file an amended | 12 | | return showing the actual amount of gross revenues shown | 13 | | by
the company's books and records as of December 31 of the | 14 | | previous year.
Forms and instructions for such estimated, | 15 | | revised, and amended returns
shall be devised and supplied | 16 | | by the Commission.
| 17 | | (2) Beginning with returns due after January 1, 2002, | 18 | | the
requirements of paragraph (1) of
this subsection (d) | 19 | | shall not apply to any public utility in any calendar year
| 20 | | for which the total tax the public utility owes under this | 21 | | Section is less than
$10,000. For such public utilities | 22 | | with respect to such years,
the public
utility shall file | 23 | | with the Commission, on or before March 31
of the
| 24 | | following year, an annual gross revenue return for the | 25 | | year and a statement of
the amount of tax due for that year | 26 | | on the basis of such a return. Forms and
instructions for |
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| 1 | | such returns and corrected returns shall be devised and
| 2 | | supplied by the Commission.
| 3 | | (e) All returns submitted to the Commission by a public | 4 | | utility as
provided in this subsection (e) or subsection (d) | 5 | | of this Section shall contain
or be verified by a written | 6 | | declaration by an appropriate officer of the public
utility | 7 | | that the return is made under the penalties of perjury. The | 8 | | Commission
may audit each such return submitted and may, under | 9 | | the provisions of Section
5-101 of this Act, take such | 10 | | measures as are necessary to ascertain the
correctness of the | 11 | | returns submitted. The Commission has the power to direct
the | 12 | | filing of a corrected return by any utility which has filed an | 13 | | incorrect
return and to direct the filing of a return by any | 14 | | utility which has failed to
submit a return. A taxpayer's | 15 | | signing a fraudulent return under this Section
is perjury, as | 16 | | defined in Section 32-2 of the Criminal Code of 2012.
| 17 | | (f) (1) For all public utilities subject to paragraph (1) | 18 | | of
subsection (d), at least one quarter of the annual amount of | 19 | | tax due
under subsection (c) shall be paid to the Commission on | 20 | | or before the tenth day
of January, April, July, and October of | 21 | | the calendar year subject to tax. In
the event that an | 22 | | adjustment in the amount of tax due should be necessary as a
| 23 | | result of the filing of an amended or corrected return under | 24 | | subsection (d) or
subsection (e) of this Section, the amount | 25 | | of any deficiency shall be paid by
the public utility together | 26 | | with the amended or corrected return and the amount
of any |
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| 1 | | excess shall, after the filing of a claim for credit by the | 2 | | public
utility, be returned to the public utility in the form | 3 | | of a credit memorandum
in the amount of such excess or be | 4 | | refunded to the public utility in accordance
with the | 5 | | provisions of subsection (k) of this Section. However, if such
| 6 | | deficiency or excess is less than $1, then the public utility | 7 | | need not pay the
deficiency and may not claim a credit.
| 8 | | (2) Any public utility subject to paragraph (2) of | 9 | | subsection (d)
shall pay the amount of tax due under | 10 | | subsection (c) on or before March
31 next following the end of | 11 | | the calendar year subject to tax. In the
event that an | 12 | | adjustment in the amount of tax due should be necessary as a
| 13 | | result of the filing of a corrected return under subsection | 14 | | (e), the amount
of any deficiency shall be paid by the public | 15 | | utility at the time the
corrected return is filed. Any excess | 16 | | tax payment by the public utility shall
be returned to it after | 17 | | the filing of a claim for credit, in the form of a
credit | 18 | | memorandum in the amount of the excess. However, if such | 19 | | deficiency or
excess is less than $1, the public utility need | 20 | | not pay the deficiency and may
not claim a credit.
| 21 | | (g) Each installment or required payment of the tax | 22 | | imposed by
subsection (c) becomes delinquent at midnight of | 23 | | the date that it is due.
Failure to make a payment as required | 24 | | by this Section shall result in the
imposition of a late | 25 | | payment penalty, an underestimation penalty, or both,
as | 26 | | provided by this subsection. The late payment penalty shall be |
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| 1 | | the
greater of:
| 2 | | (1) $25 for each month or portion of a month that the | 3 | | installment or
required payment is unpaid or
| 4 | | (2) an amount equal to the difference between what | 5 | | should have been paid
on the due date, based upon the most | 6 | | recently filed estimated, annual, or
amended return, and | 7 | | what was
actually paid, times 1%, for each month or | 8 | | portion of a
month that
the installment or required | 9 | | payment goes unpaid. This penalty may be
assessed as soon | 10 | | as the installment or required payment becomes delinquent.
| 11 | | The underestimation penalty shall apply to those public | 12 | | utilities
subject to paragraph (1) of subsection (d) and shall | 13 | | be calculated after
the filing of the amended return. It shall | 14 | | be imposed if the amount actually
paid on any of the dates | 15 | | specified in subsection (f) is not equal to at least
| 16 | | one-fourth of the amount actually due for the year, and shall | 17 | | equal the greater
of:
| 18 | | (1) $25 for each month or portion of a month that the | 19 | | amount due is unpaid
or
| 20 | | (2) an amount equal to the difference between what | 21 | | should have been
paid, based on the amended return, and | 22 | | what was actually paid as of the
date specified in | 23 | | subsection (f), times a percentage equal to 1/12 of the
| 24 | | sum of 10% and the percentage most recently established by | 25 | | the Commission
for interest to be paid on customer | 26 | | deposits under 83 Ill. Adm. Code
280.70(e)(1), for each |
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| 1 | | month or portion of a month that the amount due goes
| 2 | | unpaid, except that no underestimation penalty shall be | 3 | | assessed if the
amount actually paid on or before each of | 4 | | the dates specified in subsection
(f) was
based on an | 5 | | estimate of gross revenues at least equal to the actual | 6 | | gross
revenues for the previous year. The Commission may | 7 | | enforce the collection
of any delinquent installment or | 8 | | payment, or portion thereof by legal
action or in any | 9 | | other manner by which the collection of debts due the
| 10 | | State of Illinois may be enforced under the laws of this | 11 | | State. The
executive director or his designee may excuse | 12 | | the payment of an
assessed penalty or a portion of an | 13 | | assessed penalty if he determines that
enforced collection | 14 | | of the penalty as assessed
would be unjust.
| 15 | | (h) All sums collected by the Commission under the | 16 | | provisions of
this Section shall be paid promptly after the | 17 | | receipt of the same, accompanied
by a detailed statement | 18 | | thereof, into the Public Utility Fund in the State
treasury.
| 19 | | (i) During the month of October of each odd-numbered year | 20 | | the
Commission shall:
| 21 | | (1) determine the amount of all moneys deposited in | 22 | | the Public Utility
Fund during the preceding fiscal | 23 | | biennium plus the balance, if any, in that
fund at the | 24 | | beginning of that biennium;
| 25 | | (2) determine the sum total of the following items: | 26 | | (A) all moneys
expended or obligated against |
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| 1 | | appropriations made from the Public Utility
Fund during | 2 | | the preceding fiscal biennium, plus (B) the sum of the | 3 | | credit
memoranda then outstanding against the Public | 4 | | Utility Fund, if any; and
| 5 | | (3) determine the amount, if any, by which the sum | 6 | | determined as
provided in item (1) exceeds the amount | 7 | | determined as provided in item (2).
| 8 | | If the amount determined as provided in item (3) of this | 9 | | subsection exceeds
50% of the previous fiscal year's | 10 | | appropriation level, the Commission shall then compute the
| 11 | | proportionate amount, if
any, which (x) the tax paid hereunder | 12 | | by each utility during the preceding
biennium, and (y) the | 13 | | amount paid into the Public Utility Fund during the
preceding | 14 | | biennium by the Department of Revenue pursuant to Sections 2-9 | 15 | | and
2-11
of the Electricity Excise Tax Law, bears to the | 16 | | difference between the amount
determined as
provided in item | 17 | | (3) of this subsection (i) and 50% of the previous fiscal | 18 | | year's appropriation level.
The
Commission
shall cause the | 19 | | proportionate amount determined with respect to payments
made | 20 | | under the Electricity Excise Tax Law to be transferred into | 21 | | the General
Revenue Fund in the State Treasury, and notify | 22 | | each
public utility that it may file during the 3 month period | 23 | | after the date of
notification a claim for credit for the | 24 | | proportionate amount
determined with respect to payments made | 25 | | hereunder by the public utility.
If the
proportionate amount | 26 | | is less than $10, no notification will be sent by the
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| 1 | | Commission, and no right to a claim exists as to that amount. | 2 | | Upon the
filing of a claim for credit within the period | 3 | | provided, the Commission
shall issue a credit memorandum in | 4 | | such amount to such public utility. Any
claim for credit filed | 5 | | after the period provided for in this Section is void.
| 6 | | (i-5) During the month of June October of each year the | 7 | | Commission shall: | 8 | | (1) determine the amount of all moneys expected to be | 9 | | deposited in the Public Utility Fund during the next | 10 | | current fiscal year, plus the balance, if any, in that | 11 | | fund at the beginning of that year; | 12 | | (2) determine the total of all moneys expected to be | 13 | | expended or obligated against appropriations made from the | 14 | | Public Utility Fund during the next current fiscal year; | 15 | | and | 16 | | (3) determine the amount, if any, by which the amount | 17 | | determined in paragraph (2) exceeds the amount determined | 18 | | as provided in paragraph (1). | 19 | | If the amount determined as provided in paragraph (3) of | 20 | | this subsection (i-5) results in a deficit, the Commission may | 21 | | assess electric utilities and gas utilities for the difference | 22 | | between the amount appropriated for the ordinary and | 23 | | contingent expenses of the Commission and the amount derived | 24 | | under paragraph (1) of this subsection (i-5). Such proceeds | 25 | | shall be deposited in the Public Utility Fund in
the State | 26 | | treasury. The Commission shall apportion that difference among |
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| 1 | | those public utilities on the basis of each utility's share of | 2 | | the total intrastate gross revenues of the utilities subject | 3 | | to this subsection (i-5). Payments required under this | 4 | | subsection (i-5) shall be made in the time and manner directed | 5 | | by the Commission. The Commission shall permit utilities to | 6 | | recover Illinois Commerce Commission assessments effective | 7 | | pursuant to this subsection through an automatic adjustment | 8 | | mechanism that is incorporated into an existing tariff that | 9 | | recovers costs associated with this Section, or through a | 10 | | supplemental customer charge. | 11 | | Within 6 months after the first time assessments are made | 12 | | under this subsection (i-5), the Commission shall initiate a | 13 | | docketed proceeding in which it shall consider, in addition to | 14 | | assessments from electric and gas utilities subject to this | 15 | | subsection, the raising of assessments from, or the payment of | 16 | | fees by, water and sewer utilities, entities possessing | 17 | | certificates of service authority as alternative retail | 18 | | electric suppliers under Section 16-115 of this Act, entities | 19 | | possessing certificates of service authority as alternative | 20 | | gas suppliers under Section 19-110 of this Act, and | 21 | | telecommunications carriers providing local exchange | 22 | | telecommunications service or interexchange | 23 | | telecommunications service under Sections 13-204 or 13-205 of | 24 | | this Act. The amounts so determined shall be based on the costs | 25 | | to the agency of the exercise of its regulatory and | 26 | | supervisory functions with regard to the different industries |
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| 1 | | and service providers subject to the proceeding. No less often | 2 | | than every 3 years after the end of a proceeding under this | 3 | | subsection (i-5), the Commission shall initiate another | 4 | | proceeding for that purpose. | 5 | | The Commission may use this apportionment method until the | 6 | | docketed proceeding in which the Commission considers the | 7 | | raising of assessments from other entities subject to its | 8 | | jurisdiction under this Act has concluded. No credit memoranda | 9 | | shall be issued pursuant to subsection (i) if the amount | 10 | | determined as provided in paragraph (3) of this subsection | 11 | | (i-5) results in a deficit. | 12 | | (j) Credit memoranda issued pursuant to subsection (f)
and | 13 | | credit memoranda issued after notification and filing pursuant | 14 | | to
subsection (i) may be applied for the 2 year period from the | 15 | | date of issuance,
against the payment of any amount due during | 16 | | that period under
the tax imposed by subsection (c), or, | 17 | | subject to reasonable rule of the
Commission including | 18 | | requirement of notification, may be assigned to any
other | 19 | | public utility subject to regulation under this Act. Any | 20 | | application
of credit memoranda after the period provided for | 21 | | in this Section is void.
| 22 | | (k) The chairman or executive director may make refund of | 23 | | fees, taxes or
other charges whenever he shall determine that | 24 | | the person or public utility
will not be liable for payment of | 25 | | such fees, taxes or charges during the
next 24 months and he | 26 | | determines that the issuance of a credit memorandum
would be |
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| 1 | | unjust.
| 2 | | (Source: P.A. 99-906, eff. 6-1-17 .)
| 3 | | Section 99. Effective date. This Act takes effect upon | 4 | | becoming law.
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