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| [ Introduced ] | [ House Amendment 001 ] |
92_HB1956eng HB1956 Engrossed 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. HB1956 Engrossed -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. 4 Notwithstanding the provisions of subsection (b), a fee 5 in excess of the limits in subsection (b) may be imposed by a 6 local governmental entity on a transaction if (i) the fee 7 imposed by the local governmental entity is no greater than a 8 fee charged by the financial institution or service provider 9 accepting and processing credit card payments on behalf of 10 the local governmental entity; (ii) the financial institution 11 or service provider accepting and processing the credit card 12 payments was selected by competitive bid and, when 13 applicable, in accordance with the provisions of the Illinois 14 Procurement Code; and (iii) the local governmental entity 15 fully discloses the amount of the fee to the cardholder. 16 (Source: P.A. 90-518, eff. 8-22-97.) 17 Section 99. Effective date. This Act takes effect upon 18 becoming law.