State of Illinois
92nd General Assembly
Legislation

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[ Engrossed ][ House Amendment 001 ]


92_HB1956

 
                                               LRB9206057MWdv

 1        AN ACT concerning the payment of local government fees.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section  5.  The Local Government  Acceptance  of  Credit
 5    Cards Act is amended by changing Section 25 as follows:

 6        (50 ILCS 345/25)
 7        Sec. 25.  Payment of fees by cardholders.
 8        (a)  The  governing  body  of a local governmental entity
 9    authorizing acceptance of payment by credit card may, but  is
10    not required to, impose a convenience fee or surcharge upon a
11    cardholder  making  payment  by  credit  card in an amount to
12    wholly or partially offset,  but  in  no  event  exceed,  the
13    amount  of  any  discount  or  processing fee incurred by the
14    local governmental entity.  This convenience fee or surcharge
15    may be applied only when allowed under  the  operating  rules
16    and   regulations  of  the  credit  card  involved.   When  a
17    cardholder elects to make a payment by credit card to a local
18    governmental entity and a convenience  fee  or  surcharge  is
19    imposed,  the  payment  of  the  convenience fee or surcharge
20    shall be deemed voluntary by the  person  and  shall  not  be
21    refundable.
22        (b)  No  fee,  or  accumulation of fees, that exceeds the
23    lesser of $20 or 5% of the principal amount  charged  may  be
24    imposed  in  connection  with  the  issuance  of any license,
25    sticker, or permit, or with  respect  to  any  other  similar
26    transaction.   No  fee, or accumulation of fees, that exceeds
27    the lesser of $5 or 5% of the  transaction  involved  may  be
28    imposed  in connection with the payment of any fine.  No fee,
29    or accumulation of fees, in excess of the lesser of $40 or 3%
30    of the principal amount charged may be imposed in  connection
31    with the payment of any real estate or other tax.
 
                            -2-                LRB9206057MWdv
 1        (c)  Notwithstanding  the provisions of subsection (b), a
 2    minimum fee  of  $1  may  be  imposed  with  respect  to  any
 3    transaction.  Notwithstanding  the  provisions  of subsection
 4    (b), a fee in excess of the limits in subsection (b)  may  be
 5    imposed  by  a  local governmental entity on a transaction if
 6    (i) the fee imposed by the local governmental  entity  is  no
 7    greater  than  a  fee charged by the financial institution or
 8    service  provider  accepting  and  processing   credit   card
 9    payments  on behalf of the local governmental entity and (ii)
10    the financial institution or service provider  accepting  and
11    processing  the  credit  card  payments  was  selected  using
12    procedures  that are in accordance with the provisions of the
13    Illinois Procurement Code.
14    (Source: P.A. 90-518, eff. 8-22-97.)

15        Section 99.  Effective date.  This Act takes effect  upon
16    becoming law.

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