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