Public Act 097-0399
 
HB0585 EnrolledLRB097 03412 RLJ 43449 b



    AN ACT concerning local government.

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



 
    Section 5. The Regional Transportation Authority Act is 
amended  by changing Sections 2.01c, 2.01d, 2.01e, 4.03.3, and 
4.11 as follows:
 
    (70 ILCS 3615/2.01c)

    Sec. 2.01c. Innovation, Coordination, and Enhancement 
Fund.
    (a) The Authority shall establish an Innovation, 
Coordination, and Enhancement Fund and each year deposit into 
the Fund an amount equal to $10,000,000 in 2008, and, each year 
thereafter, an amount equal to the amount deposited in the 
previous year increased or decreased by the percentage growth 
or decline in revenues received by the Authority from taxes 
imposed under Section 4.03 in the previous year the amounts 
directed by Section 4.03.3 of this Act.  Amounts on deposit in 
such Fund and interest and other earnings on those amounts may 
be used by the Authority,
upon the affirmative vote of 12 of 
its then Directors, and after
a public participation process, 
for operating or capital grants
or loans to Service Boards, 
transportation agencies, or units
of local government that 
advance the goals and objectives
identified by the Authority in 
its Strategic Plan, provided
that no improvement that has been 
included in a Five-Year
Capital Program as of the effective 
date of this amendatory Act
of the 95th General Assembly may 
receive any funding from the
Innovation, Coordination, and 
Enhancement Fund. Unless the
Board has determined by a vote of 
12 of its then Directors that
an emergency exists requiring the 
use of some or all of the
funds then in the Innovation, 
Coordination, and Enhancement
Fund, such funds may only be used 
to enhance the coordination
and integration of public 
transportation and develop and
implement innovations to 
improve the quality and delivery of
public transportation.
    (b) Any grantee that receives funds from the Innovation, 
Coordination, and Enhancement Fund for the operation of 
eligible programs must (i) implement such programs within one 
year of receipt of such funds and (ii) within 2 years following 
commencement of any program utilizing such funds, determine 
whether it is desirable to continue the program, and upon such 
a determination, either incorporate such program into its 
annual operating budget and capital program or discontinue such 
program. No additional funds from the Innovation, 
Coordination, and Enhancement Fund may be distributed to a 
grantee for any individual program beyond 2 years unless the 
Authority by the affirmative vote of at least 12 of its then 
Directors waives this limitation. Any such waiver will be with 
regard to an individual program and with regard to a one 
year-period, and any further waivers for such individual 
program require a subsequent vote of the Board.

(Source: P.A. 95-708, eff. 1-18-08.)
 
    (70 ILCS 3615/2.01d)

    Sec. 2.01d. ADA Paratransit Fund. The Authority shall 
establish an ADA Paratransit Fund and, each year, deposit into 
that Fund the following amounts: (i) a base amount equal to 
$115,000,000 in 2012, and, each year thereafter, an amount 
equal to the final budgeted funding for ADA paratransit 
services for the current year, (ii) the amounts directed by 
Section 4.03.3 of this Act and any funds received from the 
State pursuant to appropriations for the purpose of funding ADA 
paratransit services, and (iii) any additional funds necessary 
to fund the budget or amended budget for ADA paratransit 
services adopted or approved by the Board for the current year. 
The amounts on deposit in the Fund and interest and other 
earnings on those amounts shall be used by the Authority to 
make grants to the Suburban Bus Board for ADA paratransit 
services provided pursuant to plans approved by the Authority 
under Section 2.30 of this Act. Funds received by the Suburban 
Bus Board from the Authority's ADA Paratransit Fund shall be 
used only to provide ADA paratransit services to individuals 
who are determined to be eligible for such services by the 
Authority under the Americans with Disabilities Act of 1990 and 
its implementing regulations. Revenues from and costs of 
services provided by the Suburban Bus Board with grants made 
under this Section shall be included in the Annual Budget and 
Two-Year Financial Program of the Suburban Bus Board and shall 
be subject to all budgetary and financial requirements under 
this Act that apply to ADA paratransit services. Beginning in 
2008, the Executive Director shall, no later than August 15 of 
each year, provide to the Board a written determination of the 
projected annual costs of ADA paratransit services that are 
required to be provided pursuant to the Americans with 
Disabilities Act of 1990 and its implementing regulations for 
the current year. The Authority shall conduct triennial 
financial, compliance, and performance audits of ADA 
paratransit services to assist in this determination.

(Source: P.A. 95-708, eff. 1-18-08.)
 
    (70 ILCS 3615/2.01e)

    Sec. 2.01e. Suburban Community Mobility Fund. The 
Authority shall establish a Suburban Community Mobility Fund 
and, each year, deposit into that Fund an amount equal to 
$20,000,000 in 2008, and, each year thereafter, an amount equal 
to the amount deposited in the previous year increased or 
decreased by the percentage growth or decline in revenues 
received by the Authority from taxes imposed under Section 4.03 
in the previous year the amounts directed by Section 4.03.3 of 
this Act. The amounts on deposit in the Fund and interest and 
other earnings on those amounts shall be used by the Authority 
to make grants to the Suburban Bus Board for the purpose of 
operating transit services, other than traditional fixed-route 
services, that enhance suburban mobility, including, but not 
limited to, demand-responsive transit services, ride sharing, 
van pooling, service coordination, centralized dispatching and 
call taking, reverse commuting, service restructuring, and bus 
rapid transit. Revenues from and costs of services provided by 
the Suburban Bus Board with moneys from the Suburban Community 
Mobility Fund  shall be included in the Annual Budget and 
Two-Year Financial Program of the Suburban Bus Board and shall 
be subject to all budgetary and financial requirements under 
this Act.

(Source: P.A. 95-708, eff. 1-18-08.)
 
    (70 ILCS 3615/4.03.3)

    Sec. 4.03.3. Distribution of Revenues.  This Section 
applies only after the Department begins administering and 
enforcing an increased tax under Section 4.03(m) as authorized 
by this amendatory Act of the 95th General Assembly. After 
providing for payment of its obligations with respect to bonds 
and notes issued under the provisions of Section 4.04 and 
obligations related to those bonds and notes, the Authority 
shall disburse the remaining proceeds from taxes it has 
received from the Department of Revenue under this Article IV 
and the remaining proceeds it has received from the State under 
Section 4.09(a) as follows:
    (a) With respect to taxes imposed by the Authority under 
Section 4.03, after withholding 15% of 80% of the receipts from 
those taxes collected in Cook County at a rate of 1.25%, 15% of 
75% of the receipts from those taxes collected in Cook County 
at the rate of 1%, 15% of one-half of the receipts from those 
taxes collected in DuPage, Kane, Lake, McHenry, and Will 
Counties, and 15% of money received by the Authority from the 
Regional Transportation Authority Occupation and Use Tax 
Replacement Fund or from the Regional Transportation Authority 
tax fund created in Section 4.03(n), the Board shall allocate 
the proceeds and money remaining to the Service Boards as 
follows:

        (1) an amount equal to (i) 85% of 80% of the receipts 
    from those taxes collected within the City of Chicago at a 
    rate of 1.25%, (ii) 85% of 75% of the receipts from those 
    taxes collected in the City of Chicago at the rate of 1%, 
    and (iii) 85% of the money received by the Authority on 
    account of transfers to the Regional Transportation 
    Authority Occupation and Use Tax Replacement Fund or to the 
    Regional Transportation Authority tax fund created in 
    Section 4.03(n)  from the County and Mass Transit District 
    Fund attributable to retail sales within the City of 
    Chicago shall be allocated to the Chicago Transit 
    Authority;

        (2) an amount equal to (i) 85% of 80% of the receipts 
    from those taxes collected within Cook County outside of 
    the City of Chicago at a rate of 1.25%, (ii) 85% of 75% of 
    the receipts from those taxes collected within Cook County 
    outside the City of Chicago at a rate of 1%, and (iii) 85% 
    of the money received by the Authority on account of 
    transfers to the Regional Transportation Authority 
    Occupation and Use Tax Replacement Fund or to the Regional 
    Transportation Authority tax fund created in Section 
    4.03(n)  from the County and Mass Transit District Fund 
    attributable to retail sales within Cook County outside of 
    the City of Chicago shall be allocated 30% to the Chicago 
    Transit Authority, 55% to the Commuter Rail Board, and 15% 
    to the Suburban Bus Board; and

        (3) an amount equal to 85% of one-half of the receipts 
    from the taxes collected within the Counties of DuPage, 
    Kane, Lake, McHenry, and Will shall be allocated 70% to the 
    Commuter Rail Board and 30% to the Suburban Bus Board.

    (b) Moneys received by the Authority on account of 
transfers to the Regional Transportation Authority Occupation 
and Use Tax Replacement Fund from the State and Local Sales Tax 
Reform Fund shall be allocated among the Authority and the 
Service Boards as follows: 15% of such moneys shall be retained 
by the Authority and the remaining 85% shall be transferred to 
the Service Boards as soon as may be practicable after the 
Authority receives payment. Moneys which are distributable to 
the Service Boards pursuant to the preceding sentence shall be 
allocated among the Service Boards on the basis of each Service 
Board's distribution ratio. The term "distribution ratio" 
means, for purposes of this subsection (b), the ratio of the 
total amount distributed to a Service Board pursuant to 
subsection (a) of Section 4.03.3 for the immediately preceding 
calendar year to the total amount distributed to all of the 
Service Boards pursuant to subsection (a) of Section 4.03.3 for 
the immediately preceding calendar year.

    (c)(i) 20% of the receipts from those taxes collected in 
Cook County under Section 4.03 at the rate of 1.25%, (ii) 25% 
of the receipts from those taxes collected in Cook County under 
Section 4.03 at the rate of 1%, (iii) 50% of the receipts from 
those taxes collected in DuPage, Kane, Lake, McHenry, and Will 
Counties under Section 4.03, and (iv) amounts received from the 
State under Section 4.09 (a)(2) and items (i), (ii), and (iii) 
of Section 4.09 (a)(3) shall be allocated as follows: the 
amount required to be deposited into in 2008, $100,000,000 
shall be deposited in the ADA Paratransit Fund described in 
Section 2.01d, the amount required to be deposited into 
$20,000,000 shall be deposited in the Suburban Community 
Mobility Fund described in Section 2.01e, and the amount 
required to be deposited into $10,000,000 shall be deposited in 
the Innovation, Coordination and Enhancement Fund described in 
Section 2.01c, and the balance shall be allocated 48% to the 
Chicago Transit Authority, 39% to the Commuter Rail Board, and 
13% to the Suburban Bus Board; and  in 2009 and each year 
thereafter, the amounts deposited in the ADA Paratransit Fund, 
the Suburban Community Mobility Fund and the Innovation, 
Coordination and Enhancement Fund respectively shall equal the 
amount deposited in the previous year increased or decreased by 
the percentage growth or decline in revenues received by the 
Authority from taxes imposed under Section 4.03 in the previous 
year, and the balance shall be allocated 48% to the Chicago 
Transit Authority, 39% to the Commuter Rail Board and 13% to 
the Suburban Bus Board.

    (d) Amounts received from the State under Section 4.09 
(a)(3)(iv) shall be distributed 100% to the Chicago Transit 
Authority.

    (e)  With respect to those taxes collected in DuPage, Kane, 
Lake, McHenry, and Will Counties and paid directly to the 
counties under Section 4.03, the County Board of each county 
shall use those amounts to fund operating and capital costs of 
public safety and public transportation services or facilities 
or to fund operating, capital, right-of-way, construction, and 
maintenance costs of other transportation purposes, including 
road, bridge, public safety, and transit purposes intended to 
improve mobility or reduce congestion in the county. The 
receipt of funding by such counties pursuant to this paragraph 
shall not be used as the basis for reducing any funds that such 
counties would otherwise have received from the State of 
Illinois, any agency or instrumentality thereof, the 
Authority, or the Service Boards.

    (f)  The Authority by ordinance adopted by 12 of its then 
Directors shall apportion to the Service Boards funds provided 
by the State of Illinois under Section 4.09(a)(1) as it shall 
determine and shall make payment of the amounts  to each Service 
Board as soon as may be practicable upon their receipt provided 
the Authority has adopted a balanced budget as required by 
Section 4.01 and further provided the Service Board is in 
compliance with the requirements in Section 4.11.

    (g)  Beginning January 1, 2009, before making any payments, 
transfers, or expenditures under this Section to a Service 
Board, the Authority must first comply with Section 4.02a or 
4.02b of this Act, whichever may be applicable.


(Source: P.A. 95-708, eff. 1-18-08.)
 



    (70 ILCS 3615/4.11)  (from Ch. 111 2/3, par. 704.11)


    Sec. 4.11. Budget Review Powers. 

    (a)  Based
upon estimates which shall be given to the 
Authority by the Director of
the
Governor's Office of 
Management and Budget (formerly
Bureau of the Budget) of the 
receipts to be received by the
Authority from the taxes imposed

by the Authority and the authorized estimates of amounts
to be 
available from State and other sources to the Service Boards, 
and
the times at which such receipts and amounts will be 
available, the Board
shall, not later than the next preceding 
September 15th prior to the beginning
of the Authority's next 
fiscal year,
advise each Service Board of the amounts estimated 
by the Board to be available
for such Service Board during such 
fiscal year and the two following fiscal
years and  the times at 
which such amounts will be available.  The Board
shall, at the 
same time, also advise each Service Board of its required

system generated revenues recovery ratio for the next fiscal 
year which
shall be the percentage of the aggregate costs of 
providing public
transportation by or under jurisdiction of 
that Service Board which must be
recovered from system 
generated revenues. The Board shall, at the same time, consider 
the written determination of the Executive Director, made 
pursuant to Section 2.01d, of the costs of ADA paratransit 
services that are required to be provided under the federal 
Americans with Disabilities Act of 1990 and its implementing 
regulations, and shall amend the current year budgets of the 
Authority and the Service Boards to provide for additional 
funding for the provision of ADA paratransit services, if 
needed. The Board shall, at the same time, beginning with the 
2007 fiscal year, also advise each Service Board that provides 
ADA paratransit services of its required system generated ADA 
paratransit services revenue recovery ratio for the next fiscal 
year which shall be the percentage of the aggregate costs of 
providing ADA paratransit services by or under jurisdiction of 
that Service Board which must be recovered from fares charged 
for such services, except that such required system generated 
ADA paratransit services revenue recovery ratio shall not 
exceed the minimum percentage established pursuant to Section 
4.01(b)(ii) of this Act. In determining
a Service Board's 
system generated revenue recovery ratio, the Board shall

consider the historical system generated revenues recovery 
ratio for the
services subject to the jurisdiction of that

Service Board.  The Board shall not increase a Service Board's 
system generated
revenues recovery ratio for the next fiscal 
year over such ratio for the
current fiscal year 
disproportionately or prejudicially to increases in
such 
ratios for other Service Boards.  The Board may, by ordinance,

provide that (i) the cost of research and development projects 
in the
fiscal year beginning January 1, 1986 and ending 
December 31, 1986
conducted pursuant to Section 2.09 of this 
Act, (ii) the costs for passenger security, and (iii) 
expenditures of amounts granted to a Service Board from the 
Innovation, Coordination, and Enhancement Fund for operating 
purposes may be exempted from the
farebox recovery ratio or the 
system generated revenues recovery ratio of
the Chicago Transit 
Authority, the Suburban Bus Board, and the Commuter
Rail Board, 
or any of them. During fiscal years 2008 through 2012, the 
Board may also allocate the exemption of $200,000,000 and the 
reducing amounts of costs provided by this amendatory Act of 
the 95th General Assembly from the farebox recovery ratio or 
system generated revenues recovery ratio of each Service Board.

    (b)(1) Not later than the next preceding November 15 prior 
to the
commencement of such fiscal year, each Service Board 
shall submit to the
Authority its proposed budget for such 
fiscal year and its proposed
financial plan for the two 
following fiscal years.  Such budget and
financial plan shall 
(i) be prepared in the format, follow the financial and 
budgetary practices, and be based on any assumptions and 
projections required by the Authority and (ii) not project or 
assume a receipt of revenues from the
Authority in amounts 
greater than those set forth in the estimates provided
by the 
Authority pursuant to subsection (a) of this Section.

    (2) The Board shall review the proposed budget and two-year

financial plan submitted
by each Service Board.  The Board shall 
approve the budget and two-year financial plan of a Service 
Board if:



        (i)
 such budget and plan show a balance between (A) 
    anticipated revenues
from all sources including operating 
    subsidies and (B) the costs of providing
the services 
    specified and of funding any operating deficits or 
    encumbrances
incurred in prior periods, including 
    provision for payment when due of
principal and interest on 
    outstanding indebtedness;


        (ii)
 such budget and plan show cash balances including 
    the proceeds of
any anticipated cash flow borrowing 
    sufficient to pay with reasonable
promptness all costs and 
    expenses as incurred;


        (iii)
 such budget and plan provide for a level of fares 
    or charges and
operating or administrative costs for the 
    public transportation provided
by or subject to the 
    jurisdiction of such Service Board sufficient to allow
the 
    Service Board to meet its required system generated revenue 
    recovery ratio and, beginning with the 2007 fiscal year, 
    system generated ADA paratransit services revenue recovery 
    ratio;


        (iv)
 such budget and plan are based upon and employ 
    assumptions and
projections which are reasonable and 
    prudent;


        (v)
 such budget and plan have been prepared in 
    accordance with sound
financial practices as determined by 
    the Board;


        (vi)
 such budget and plan meet such other financial, 
    budgetary, or fiscal
requirements that the Board may by 
    rule or regulation establish; and


        (vii) such budget and plan are consistent with the 
    goals and objectives adopted by the Authority in the 
    Strategic Plan.

    (3) (Blank).

    (4) Unless the Board by an affirmative vote of 12
 of the 
then Directors
determines that the budget and financial plan of 
a Service Board meets the
criteria specified in clauses (i)
 
through (vii) of subparagraph (2) of
this paragraph (b), the 
Board shall withhold from that Service Board 25% of
 the cash 
proceeds of taxes imposed by the Authority under Section 4.03

and Section 4.03.1 and received after February 1 and 25% of the 
amounts transferred to the Authority from the Public 
Transportation Fund under Section 4.09(a) (but not including 
Section 4.09(a)(3)(iv))  after February 1 that the Board has 
estimated to be available to that Service Board under Section 
4.11(a).  Such funding shall be released to the Service Board 
only upon approval of a budget and financial plan under this 
Section or adoption of a budget and financial plan on behalf of 
the Service Board by the Authority.

    (5) If the Board has not found that the budget and 
financial plan of a
Service Board meets the criteria specified 
in clauses (i) through (vii)
of subparagraph (2) of this 
paragraph (b), the Board, by the affirmative vote of at least 
12 of its then Directors, shall
 adopt a budget and
financial 
plan meeting such criteria for that Service Board.

    (c)(1) If the Board shall at any time have received a

revised estimate, or revises any estimate the Board has made, 
pursuant to
this Section of the receipts to be collected by the 
Authority which, in
the judgment of the Board, requires a 
change in the estimates on which the
budget of any Service 
Board is based, the Board shall advise the affected
Service 
Board of such revised estimates, and such Service Board shall 
within
30 days after receipt of such advice submit a revised 
budget incorporating
such revised estimates.  If the revised 
estimates require, in the judgment
of the Board, that the 
system generated revenues recovery ratio of one or
more Service 
Boards be revised in order to allow the Authority to meet its

required ratio, the Board shall advise any such Service Board 
of its revised
ratio and such Service Board shall within 30 
days after receipt of such
advice submit a revised budget 
incorporating such revised estimates or ratio.

    (2) Each Service Board shall, within such period after the 
end of each
fiscal quarter as shall be specified by the Board, 
report to the Authority
its financial condition and results of 
operations and the financial condition
and results of 
operations of the public transportation services subject
to its 
jurisdiction, as at the end of and for such quarter.  If in the 
judgment
of the Board such condition and results are not 
substantially in accordance
with such Service Board's budget 
for such period, the Board shall so advise
such Service Board 
and such Service Board shall within the period specified
by the 
Board submit a revised budget incorporating such results.

    (3) If the Board shall determine that a revised budget 
submitted by a
Service Board pursuant to subparagraph (1) or 
(2) of this paragraph (c)
does not meet the criteria specified 
in clauses (i)
 through (vii) of
subparagraph
(2) of paragraph 
(b) of this Section, the Board shall withhold from that Service 
Board 25% of the cash proceeds of taxes imposed by the 
Authority
under Section 4.03 or 4.03.1 and received by the 
Authority after February 1 and 25% of the amounts transferred 
to the Authority from the Public Transportation Fund under 
Section 4.09(a) (but not including Section 4.09(a)(3)(iv)) 
after February 1 that the Board has estimated to be available 
to that Service Board under
Section 4.11(a).  If the Service 
Board submits a revised financial plan and
budget which plan 
and budget shows that the criteria will be met within
a four 
quarter period, the Board shall release any such withheld funds 
to the
Service Board.  The Board by the affirmative vote of at 
least 12
 of its then Directors may
require a Service Board to 
submit a revised financial plan and budget which
shows that the 
criteria will be met in a time period less than four quarters.

    (d) All budgets and financial plans, financial statements, 
audits and
other information presented to the Authority 
pursuant to this Section or
which may be required by the Board 
to permit it to monitor compliance with
the provisions of this 
Section shall be prepared and presented in such
manner and 
frequency and in such detail as shall have been prescribed by

the Board, shall be prepared on both an accrual and cash flow 
basis as
specified by the Board, shall present such information 
as the Authority shall prescribe that fairly presents the 
condition of any pension plan or trust for health care benefits 
with respect to retirees established by the Service Board and 
describes the plans of the Service Board to meet the 
requirements of Sections 4.02a and 4.02b, and shall identify 
and describe the assumptions and
projections employed in the 
preparation
thereof to the extent required by the Board.  If the 
Executive Director certifies that a Service Board has not 
presented its budget and two-year financial plan in conformity 
with the rules adopted by the Authority under the provisions of 
Section 4.01(f) and this subsection (d), and such certification 
is accepted by the affirmative vote of at least 12 of the then 
Directors of the Authority, the Authority shall not distribute 
to that Service Board any funds for operating purposes in 
excess of the amounts distributed for such purposes to the 
Service Board in the previous fiscal year. Except when the 
Board adopts
a budget and a financial plan for a Service Board 
under paragraph (b)(5),
a Service Board shall provide for such 
levels of transportation services
and fares or charges therefor 
as it deems appropriate and necessary in the
preparation of a 
budget and financial plan meeting the criteria set forth
in 
clauses (i)
 through (vii) of subparagraph (2) of paragraph (b) 
of this
Section.  The Authority
 shall have access to and the 
right to examine and copy
all books, documents, papers, 
records, or other source data of a Service
Board relevant to 
any information submitted pursuant to this Section.

    (e) Whenever this Section requires the Board to make 
determinations with
respect to estimates, budgets or financial 
plans, or rules or regulations
with respect thereto such 
determinations shall be made upon the affirmative
vote of at 
least 12
 of the then Directors and shall be incorporated in a

written report of the Board and such report shall be submitted 
within 10
days after such determinations are made to
the 
Governor, the Mayor of Chicago (if such determinations relate 
to the
Chicago Transit Authority), and the Auditor General of 
Illinois.

(Source: P.A. 94-370, eff. 7-29-05; 95-708, eff. 1-18-08.)

 

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


Effective Date:  8/16/2011