Full Text of HB5728 98th General Assembly
HB5728 98TH GENERAL ASSEMBLY |
| | 98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014 HB5728 Introduced , by Rep. Daniel V. Beiser SYNOPSIS AS INTRODUCED: |
| 30 ILCS 740/2-2.04 | from Ch. 111 2/3, par. 662.04 | 30 ILCS 740/2-14 | from Ch. 111 2/3, par. 674 | 30 ILCS 740/2-15 | from Ch. 111 2/3, par. 675.1 |
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Amends the Downstate Public Transportation Act. Provides that the annual increase in a participant's maximum eligible operating expenses is the percentage increase in the net revenue realized under the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act in the preceding fiscal year (now, 10%). Makes changes in the definition of "operating expenses". In provisions concerning grants, provides that any procurement by a participant using debt service for which operating reimbursement will be requested shall not be subject to the Department's procurement process, but shall be subject to a locally approved procurement process that complies with all federal procurement standards. Provides that, in Fiscal Year 2013, all funds remaining in the Downstate Public Transportation Fund after the payments have been made to participants shall remain in the Downstate Public Transportation Fund. Provides that, in Fiscal Year 2014 and thereafter, an amount equal to the difference between the appropriations from the Downstate Public Transportation Fund in the preceding fiscal year and moneys deposited into that Fund in the preceding fiscal year shall be transferred from the Downstate Public Transportation Fund to the Downstate Transit Improvement Fund (now, the entire amount remaining in the Downstate Public Transportation Fund is transferred to the Downstate Transit Improvement Fund). Effective immediately.
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| 1 | | AN ACT concerning finance.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Downstate Public Transportation Act is | 5 | | amended by changing Sections 2-2.04, 2-14, and 2-15 as follows:
| 6 | | (30 ILCS 740/2-2.04) (from Ch. 111 2/3, par. 662.04)
| 7 | | Sec. 2-2.04. "Eligible operating expenses" means all | 8 | | expenses required
for public transportation, including | 9 | | employee wages and benefits,
materials, fuels, supplies, | 10 | | rental of facilities, taxes other than income
taxes, any | 11 | | payment made for debt service (including principal and | 12 | | interest) by all participants on
publicly owned equipment or | 13 | | facilities, payment made on unfunded pension liability, and any | 14 | | other expenditure which is
an operating expense according to | 15 | | standard accounting practices for the
providing of public | 16 | | transportation. Eligible operating expenses shall not
include | 17 | | allowances: (a) for depreciation whether funded or unfunded; | 18 | | (b)
for amortization of any intangible costs; (c) for debt | 19 | | service on capital
acquired with the assistance of capital | 20 | | grant funds provided by the State
of Illinois; (d) for profits | 21 | | or return on investment; (e) for excessive
payment to | 22 | | associated entities; (f) for Comprehensive Employment Training
| 23 | | Act expenses; (g) for costs reimbursed from federal public |
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| 1 | | transportation grant funds under Sections 6 and 8 of the "Urban
| 2 | | Mass Transportation Act of 1964", as amended ; (h) for | 3 | | entertainment
expenses; (i) for charter expenses; (j) for fines | 4 | | and penalties; (k) for
charitable donations; (l) for interest | 5 | | expense on long term borrowing and
debt retirement other than | 6 | | on publicly owned equipment or facilities; (m)
for income | 7 | | taxes; or (n) for such other expenses as the Department may
| 8 | | determine consistent with federal Department of Transportation | 9 | | regulations
or requirements. In consultation with | 10 | | participants, the Department shall, by October 2008, | 11 | | promulgate or update rules, pursuant to the Illinois | 12 | | Administrative Procedure Act, concerning eligible expenses to | 13 | | ensure consistent application of the Act, and the Department | 14 | | shall provide written copies of those rules to all eligible | 15 | | recipients. The Department shall review this process in the | 16 | | same manner no less frequently than every 5 years.
| 17 | | With respect to participants other than any Metro-East | 18 | | Transit District
participant and those receiving federal | 19 | | research development and demonstration
funds pursuant to | 20 | | Section 6 of the "Urban Mass Transportation Act of 1964",
as | 21 | | amended, during the fiscal year ending June 30, 1979, the | 22 | | maximum eligible
operating expenses for any such participant in | 23 | | any fiscal year after Fiscal
Year 1980 shall be the amount | 24 | | appropriated for such participant for the
fiscal year ending | 25 | | June 30, 1980, plus in each year a 10% increase over
the | 26 | | maximum established for the preceding fiscal year. For Fiscal |
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| 1 | | Year
1980 the maximum eligible operating expenses for any such | 2 | | participant shall
be the amount of projected operating expenses | 3 | | upon which the appropriation
for such participant for Fiscal | 4 | | Year 1980 is based.
| 5 | | With respect to participants receiving federal research | 6 | | development and
demonstration operating assistance funds for | 7 | | operating assistance pursuant
to Section 6 of the "Urban Mass | 8 | | Transportation Act of 1964", as amended,
during the fiscal year | 9 | | ending June 30, 1979, the maximum eligible operating
expenses | 10 | | for any such participant in any fiscal year after Fiscal Year | 11 | | 1980
shall not exceed such participant's eligible operating | 12 | | expenses for the
fiscal year ending June 30, 1980, plus in each | 13 | | year a 10% increase over
the maximum established for the | 14 | | preceding fiscal year. For Fiscal Year
1980, the maximum | 15 | | eligible operating expenses for any such participant shall
be | 16 | | the eligible operating expenses incurred during such fiscal | 17 | | year, or
projected operating expenses upon which the | 18 | | appropriation for such participant
for the Fiscal Year 1980 is | 19 | | based; whichever is less.
| 20 | | With respect to all participants other than any Metro-East | 21 | | Transit
District participant, the maximum eligible operating | 22 | | expenses for any such
participant in any fiscal year after | 23 | | Fiscal Year 1985 (except Fiscal Year 2008 and Fiscal Year 2009)
| 24 | | shall be the amount
appropriated for such participant for the | 25 | | fiscal year ending June 30, 1985,
plus (i) in fiscal years | 26 | | prior to Fiscal Year 2015, in each year a 10% increase over the |
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| 1 | | maximum established for the preceding
year and (ii) for Fiscal | 2 | | Year 2015 and thereafter, a percentage increase over the | 3 | | maximum established for the preceding
year equal to the | 4 | | percentage increase in the net revenue realized under the Use | 5 | | Tax Act, the Service Use Tax Act, the Service Occupation Tax | 6 | | Act, and the Retailers' Occupation Tax Act in the preceding | 7 | | fiscal year, except that if there is a decrease in the net | 8 | | revenue realized under the Acts, the maximum established shall | 9 | | be equal to the maximum established the preceding year . For | 10 | | Fiscal Year 1985, the maximum eligible operating expenses for
| 11 | | any such participant shall be the amount of projected operating | 12 | | expenses
upon which the appropriation for such participant for | 13 | | Fiscal Year 1985 is
based.
| 14 | | With respect to any mass transit district participant that | 15 | | has increased
its district boundaries by annexing counties | 16 | | since 1998 and is maintaining a
level of local financial | 17 | | support, including all income and revenues, equal to
or greater | 18 | | than the level in the State fiscal year ending June 30, 2001, | 19 | | the
maximum eligible operating expenses for any State fiscal | 20 | | year after 2002 (except State fiscal years
2006 through 2009) | 21 | | shall
be the amount appropriated for that participant for the | 22 | | State fiscal year
ending June 30, 2002, plus, (i) in each State | 23 | | fiscal year prior to Fiscal Year 2015 , a 10% increase over the
| 24 | | preceding State fiscal year and (ii) for Fiscal Year 2015 and | 25 | | thereafter, a percentage increase over the preceding
State | 26 | | fiscal year equal to the percentage increase in the net revenue |
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| 1 | | realized under the Use Tax Act, the Service Use Tax Act, the | 2 | | Service Occupation Tax Act, and the Retailers' Occupation Tax | 3 | | Act in the preceding fiscal year, except that if there is a | 4 | | decrease in the net revenue realized under the Acts, the | 5 | | maximum established shall be equal to the maximum established | 6 | | the preceding year . For State fiscal year 2002, the maximum | 7 | | eligible
operating expenses for any such participant shall be | 8 | | the amount of projected
operating expenses upon which the | 9 | | appropriation for that participant for State
fiscal year 2002 | 10 | | is based. For that participant, eligible operating expenses
for | 11 | | State fiscal year 2002 in excess of the eligible operating | 12 | | expenses for the
State fiscal year ending June 30, 2001, plus | 13 | | 10%, must be attributed to the
provision of services in the | 14 | | newly annexed counties.
| 15 | | With respect to a participant that receives an initial | 16 | | appropriation in State
fiscal year 2002 or thereafter, the | 17 | | maximum eligible operating expenses for any State fiscal
year | 18 | | after 2003 (except State fiscal years
2006 through 2009) shall | 19 | | be the amount appropriated for that participant for the
State | 20 | | fiscal year in which it received its initial appropriation, | 21 | | plus, (i) in each year prior to Fiscal Year 2015 , a 10% | 22 | | increase over
the preceding year and (ii) for Fiscal Year 2015 | 23 | | and thereafter, a percentage increase over the preceding
State | 24 | | fiscal year equal to the percentage increase in the net revenue | 25 | | realized under the Use Tax Act, the Service Use Tax Act, the | 26 | | Service Occupation Tax Act, and the Retailers' Occupation Tax |
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| 1 | | Act in the preceding fiscal year, except that if there is a | 2 | | decrease in the net revenue realized under the Acts, the | 3 | | maximum established shall be equal to the maximum established | 4 | | the preceding year . For the initial State fiscal year in which | 5 | | a participant received an appropriation, the maximum eligible | 6 | | operating
expenses for any such participant shall be the amount | 7 | | of projected operating
expenses upon which the appropriation | 8 | | for that participant for that State fiscal
year is based.
| 9 | | For the purposes of this Section, "net revenue realized" | 10 | | means the revenue collected by the State pursuant to the Use | 11 | | Tax Act, the Service Use Tax Act, the Service Occupation Tax | 12 | | Act, and the Retailers' Occupation Tax Act during the fiscal | 13 | | year, less the amount paid out during that same fiscal year as | 14 | | refunds or credit memoranda to taxpayers for overpayment of | 15 | | liability under those Acts. | 16 | | With respect to the District serving primarily the counties | 17 | | of Monroe and St. Clair, beginning July 1, 2005, the St. Clair | 18 | | County Transit District shall no longer be included for new | 19 | | appropriation funding purposes as part of the Metro-East Public | 20 | | Transportation Fund and instead shall be included for new | 21 | | appropriation funding purposes as part of the Downstate Public | 22 | | Transportation Fund; provided, however, that nothing herein | 23 | | shall alter the eligibility of that District for previously | 24 | | appropriated funds to which it would otherwise be entitled.
| 25 | | With respect to the District serving primarily Madison | 26 | | County, beginning July 1, 2008, the Madison County Transit |
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| 1 | | District shall no longer be included for new appropriation | 2 | | funding purposes as part of the Metro-East Public | 3 | | Transportation Fund and instead shall be included for new | 4 | | appropriation funding purposes as part of the Downstate Public | 5 | | Transportation Fund; provided, however, that nothing herein | 6 | | shall alter the eligibility of that District for previously | 7 | | appropriated funds to which it would otherwise be entitled. | 8 | | With respect to the fiscal year beginning July 1, 2007, and | 9 | | thereafter, the following shall be included for new | 10 | | appropriation funding purposes as part of the Downstate Public | 11 | | Transportation Fund: Bond County; Bureau County; Coles County; | 12 | | Edgar County; Stephenson County and the City of Freeport; Henry | 13 | | County; Jo Daviess County; Kankakee and McLean Counties; Peoria | 14 | | County; Piatt County; Shelby County; Tazewell and Woodford | 15 | | Counties; Vermilion County; Williamson County; and Kendall | 16 | | County.
| 17 | | (Source: P.A. 94-70, eff. 6-22-05; 95-708, eff. 1-18-08.)
| 18 | | (30 ILCS 740/2-14) (from Ch. 111 2/3, par. 674)
| 19 | | Sec. 2-14. Grants. | 20 | | (a) Upon a determination by the Department that any initial | 21 | | or amended
program of proposed expenditures is in compliance | 22 | | with the provisions of
this Act, and upon approval thereof, the | 23 | | Department shall enter into one or
more grant agreements with | 24 | | and shall make grants to that participant as
necessary to | 25 | | implement the adopted program of expenditures.
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| 1 | | (b) All grants by the Department pursuant to this Act shall | 2 | | be
administered upon such conditions as the Secretary of | 3 | | Transportation shall
determine, consistent with the provisions | 4 | | and purpose of this Act.
| 5 | | (c) Any procurement by a participant using debt service for | 6 | | which operating reimbursement pursuant to this Act will be | 7 | | requested shall not be subject to the Department's procurement | 8 | | process, but shall be subject to a locally approved procurement | 9 | | process that complies with all federal procurement standards. | 10 | | (Source: P.A. 82-783.)
| 11 | | (30 ILCS 740/2-15) (from Ch. 111 2/3, par. 675.1)
| 12 | | Sec. 2-15. Residual fund balance. | 13 | | (a) Except as otherwise provided in this Section,
all funds | 14 | | which remain in the Downstate Public Transportation Fund or the
| 15 | | Metro-East Public Transportation Fund after the payment of the | 16 | | fourth quarterly
payment to participants other than Metro-East | 17 | | Transit District
participants and the last monthly payment to | 18 | | Metro-East Transit
participants in each fiscal year shall be | 19 | | transferred (i) to the
General Revenue Fund through fiscal year | 20 | | 2008 and (ii) to the Downstate Transit Improvement Fund for | 21 | | Fiscal Years fiscal year 2009 through 2012 and each fiscal year | 22 | | thereafter . In Fiscal Year 2013, all funds remaining in the | 23 | | Downstate Public Transportation Fund after the payment of the | 24 | | fourth quarterly
payment to participants in each fiscal year | 25 | | shall remain in the Downstate Public Transportation Fund. In |
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| 1 | | Fiscal Year 2014 and thereafter, an amount equal to the | 2 | | difference between the appropriations from the Downstate | 3 | | Public Transportation Fund in the preceding fiscal year and | 4 | | moneys deposited into that Fund in the preceding fiscal year | 5 | | shall be transferred from the Downstate Public Transportation | 6 | | Fund to the Downstate Transit Improvement Fund. Transfers shall | 7 | | be made no later than 90 days following the end of such fiscal
| 8 | | year. Beginning fiscal year 2010, all moneys each year in the | 9 | | Downstate Transit Improvement Fund, held solely for the benefit | 10 | | of the participants in the Downstate Public Transportation Fund | 11 | | and shall be appropriated to the Department to make competitive | 12 | | capital grants to the participants of the respective funds. | 13 | | However, such amount as the Department determines to be | 14 | | necessary
for (1) allocation to participants for the purposes | 15 | | of Section 2-7 for
the first quarter of the succeeding fiscal | 16 | | year and (2) an amount equal to
2% of the total allocations to | 17 | | participants in the fiscal year just ended
to be used for the | 18 | | purpose of audit adjustments shall be retained in such
Funds to | 19 | | be used by the Department for such purposes.
| 20 | | (b) Notwithstanding any other provision of law, in addition | 21 | | to any other transfers that may be provided by law, on July 1, | 22 | | 2011, or as soon thereafter as practical, the State Comptroller | 23 | | shall direct and the State Treasurer shall transfer the | 24 | | remaining balance from the Metro East Public Transportation | 25 | | Fund into the General Revenue Fund. Upon completion of the | 26 | | transfers, the Metro East Public Transportation Fund is |
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| 1 | | dissolved, and any future deposits due to that Fund and any | 2 | | outstanding obligations or liabilities of that Fund pass to the | 3 | | General Revenue Fund. | 4 | | (Source: P.A. 97-72, eff. 7-1-11.)
| 5 | | Section 99. Effective date. This Act takes effect upon | 6 | | becoming law.
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