96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010
SB1491


 
Introduced 2/18/2009, by Sen. Louis S. Viverito
 
SYNOPSIS AS INTRODUCED:









  



35 ILCS 505/8
 from Ch. 120, par. 424








 Amends the Motor Fuel Tax Law. Makes changes to the allocations of the tax receipts. Provides that a proportional allotment of tax receipts shall be made for any road district
based on the rate extended by the district. Sets forth allocation procedures for DuPage County. Provides that if any
road district has levied a special tax for road purposes
under certain Sections of the Illinois Highway Code, that levy entitles the road district for a full or proportionate allotment depending on the rate of the levy. Sets forth allotment procedures for those instances when a township has transferred money to the road and bridge fund. Sets forth allotment procedures for road districts that are subject to the Property Tax Extension Limitation Law. Deletes a provision that the term "road district" includes park districts, forest preserve districts and conservation districts organized under Illinois law. Effective immediately.

















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FISCAL NOTE ACT MAY APPLY
















 


 


A BILL FOR









 











SB1491

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1
 AN ACT concerning revenue.


2
 Be it enacted by the People of the State of Illinois,

3
represented in the General Assembly:


4
 Section 5. The Motor Fuel Tax Law is amended by changing 
5
Section 8 as follows:




6
 (35 ILCS 505/8) (from Ch. 120, par. 424)


7
 Sec. 8. Except as provided in Section 8a, subdivision

8
(h)(1) of Section 12a, Section 13a.6, and items
13, 14, 15, and 
9
16 of Section 15, all money received by the Department under

10
this Act, including payments made to the Department by
member 
11
jurisdictions participating in the International Fuel Tax 
12
Agreement,
shall be deposited in a special fund in the State 
13
treasury, to be known as the
"Motor Fuel Tax Fund", and shall 
14
be used as follows:

15
 (a) 2 1/2 cents per gallon of the tax collected on special 
16
fuel under
paragraph (b) of Section 2 and Section 13a of this 
17
Act shall be transferred
to the State Construction Account Fund 
18
in the State Treasury;

19
 (b) $420,000 shall be transferred each month to the State 
20
Boating Act
Fund to be used by the Department of Natural 
21
Resources for the purposes
specified in Article X of the Boat 
22
Registration and Safety Act;

23
 (c) $2,250,000 shall be transferred each month to the Grade 
 


 






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1
Crossing
Protection Fund to be used as follows: not less than 
2
$6,000,000 each fiscal
year shall be used for the construction 
3
or reconstruction of rail highway grade
separation structures; 
4
$2,250,000 in fiscal year 2004 and each fiscal
year
thereafter 
5
shall be transferred to the Transportation
Regulatory Fund and 
6
shall be accounted for as part of the rail carrier
portion of 
7
such funds and shall be used to pay the cost of administration

8
of the Illinois Commerce Commission's railroad safety program 
9
in connection
with its duties under subsection (3) of Section 
10
18c-7401 of the Illinois
Vehicle Code, with the remainder to be 
11
used by the Department of Transportation
upon order of the 
12
Illinois Commerce Commission, to pay that part of the
cost 
13
apportioned by such Commission to the State to cover the 
14
interest
of the public in the use of highways, roads, streets, 
15
or
pedestrian walkways in the
county highway system, township 
16
and district road system, or municipal
street system as defined 
17
in the Illinois Highway Code, as the same may
from time to time 
18
be amended, for separation of grades, for installation,

19
construction or reconstruction of crossing protection or 
20
reconstruction,
alteration, relocation including construction 
21
or improvement of any
existing highway necessary for access to 
22
property or improvement of any
grade crossing including the 
23
necessary highway approaches thereto of any
railroad across the 
24
highway or public road, or for the installation,
construction, 
25
reconstruction, or maintenance of a pedestrian walkway over or

26
under a railroad right-of-way, as provided for in and in

 


 






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1
accordance with Section 18c-7401 of the Illinois Vehicle Code.

2
The Commission shall not order more than $2,000,000 per year in 
3
Grade
Crossing Protection Fund moneys for pedestrian walkways.

4
In entering orders for projects for which payments from the 
5
Grade Crossing
Protection Fund will be made, the Commission 
6
shall account for expenditures
authorized by the orders on a 
7
cash rather than an accrual basis. For purposes
of this 
8
requirement an "accrual basis" assumes that the total cost of 
9
the
project is expended in the fiscal year in which the order 
10
is entered, while a
"cash basis" allocates the cost of the 
11
project among fiscal years as
expenditures are actually made. 
12
To meet the requirements of this subsection,
the Illinois 
13
Commerce Commission shall develop annual and 5-year project 
14
plans
of rail crossing capital improvements that will be paid 
15
for with moneys from
the Grade Crossing Protection Fund. The 
16
annual project plan shall identify
projects for the succeeding 
17
fiscal year and the 5-year project plan shall
identify projects 
18
for the 5 directly succeeding fiscal years. The Commission

19
shall submit the annual and 5-year project plans for this Fund 
20
to the Governor,
the President of the Senate, the Senate 
21
Minority Leader, the Speaker of the
House of Representatives, 
22
and the Minority Leader of the House of
Representatives on
the 
23
first Wednesday in April of each year;

24
 (d) of the amount remaining after allocations provided for 
25
in
subsections (a), (b) and (c), a sufficient amount shall be 
26
reserved to
pay all of the following:


 


 






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1
  (1) the costs of the Department of Revenue in 
2
 administering this
Act;


3
  (2) the costs of the Department of Transportation in 
4
 performing its
duties imposed by the Illinois Highway Code 
5
 for supervising the use of motor
fuel tax funds apportioned 
6
 to municipalities, counties and road districts;


7
  (3) refunds provided for in Section 13 of this Act and 
8
 under the terms
of the International Fuel Tax Agreement 
9
 referenced in Section 14a;


10
  (4) from October 1, 1985 until June 30, 1994, the 
11
 administration of the
Vehicle Emissions Inspection Law, 
12
 which amount shall be certified monthly by
the 
13
 Environmental Protection Agency to the State Comptroller 
14
 and shall promptly
be transferred by the State Comptroller 
15
 and Treasurer from the Motor Fuel Tax
Fund to the Vehicle 
16
 Inspection Fund, and for the period July 1, 1994 through

17
 June 30, 2000, one-twelfth of $25,000,000 each month, for 
18
 the period July 1, 2000 through June 30, 2003,
one-twelfth 
19
 of
$30,000,000
each month,
and $15,000,000 on July 1, 2003, 
20
 and $15,000,000 on January 1, 2004, and $15,000,000
on
each

21
 July
1 and October 1, or as soon thereafter as may be 
22
 practical, during the period July 1, 2004 through June 30, 
23
 2010 2009,
for the administration of the Vehicle Emissions 
24
 Inspection Law of
2005, to be transferred by the State 
25
 Comptroller and Treasurer from the Motor
Fuel Tax Fund into 
26
 the Vehicle Inspection Fund;


 


 






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1
  (5) amounts ordered paid by the Court of Claims; and


2
  (6) payment of motor fuel use taxes due to member 
3
 jurisdictions under
the terms of the International Fuel Tax 
4
 Agreement. The Department shall
certify these amounts to 
5
 the Comptroller by the 15th day of each month; the

6
 Comptroller shall cause orders to be drawn for such 
7
 amounts, and the Treasurer
shall administer those amounts 
8
 on or before the last day of each month;

9
 (e) after allocations for the purposes set forth in 
10
subsections
(a), (b), (c) and (d), the remaining amount shall 
11
be apportioned as follows:


12
  (1) Until January 1, 2000, 58.4%, and beginning January 
13
 1, 2000, 45.6%
shall be deposited as follows:


14
   (A) 37% into the State Construction Account Fund, 
15
 and


16
   (B) 63% into the Road Fund, $1,250,000 of which 
17
 shall be reserved each
month for the Department of 
18
 Transportation to be used in accordance with
the 
19
 provisions of Sections 6-901 through 6-906 of the 
20
 Illinois Highway Code;


21
  (2) Until January 1, 2000, 41.6%, and beginning January 
22
 1, 2000, 54.4%
shall be transferred to the Department of 
23
 Transportation to be
distributed as follows:


24
   (A) 49.10% to the municipalities of the State,


25
   (B) 16.74% to the counties of the State having 
26
 1,000,000 or more inhabitants,


 


 






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1
   (C) 18.27% to the counties of the State having less 
2
 than 1,000,000 inhabitants,


3
   (D) 15.89% to the road districts of the State.

4
 As soon as may be after the first day of each month the 
5
Department of
Transportation shall allot to each municipality 
6
its share of the amount
apportioned to the several 
7
municipalities which shall be in proportion
to the population 
8
of such municipalities as determined by the last
preceding 
9
municipal census if conducted by the Federal Government or

10
Federal census. If territory is annexed to any municipality 
11
subsequent
to the time of the last preceding census the 
12
corporate authorities of
such municipality may cause a census 
13
to be taken of such annexed
territory and the population so 
14
ascertained for such territory shall be
added to the population 
15
of the municipality as determined by the last
preceding census 
16
for the purpose of determining the allotment for that

17
municipality. If the population of any municipality was not 
18
determined
by the last Federal census preceding any 
19
apportionment, the
apportionment to such municipality shall be 
20
in accordance with any
census taken by such municipality. Any 
21
municipal census used in
accordance with this Section shall be 
22
certified to the Department of
Transportation by the clerk of 
23
such municipality, and the accuracy
thereof shall be subject to 
24
approval of the Department which may make
such corrections as 
25
it ascertains to be necessary.

26
 As soon as may be after the first day of each month the 
 


 






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1
Department of
Transportation shall allot to each county its 
2
share of the amount
apportioned to the several counties of the 
3
State as herein provided.
Each allotment to the several 
4
counties having less than 1,000,000
inhabitants shall be in 
5
proportion to the amount of motor vehicle
license fees received 
6
from the residents of such counties, respectively,
during the 
7
preceding calendar year. The Secretary of State shall, on or

8
before April 15 of each year, transmit to the Department of

9
Transportation a full and complete report showing the amount of 
10
motor
vehicle license fees received from the residents of each 
11
county,
respectively, during the preceding calendar year. The 
12
Department of
Transportation shall, each month, use for 
13
allotment purposes the last
such report received from the 
14
Secretary of State.

15
 As soon as may be after the first day of each month, the 
16
Department
of Transportation shall allot to the several 
17
counties their share of the
amount apportioned for the use of 
18
road districts. The allotment shall
be apportioned among the 
19
several counties in the State in the proportion
which the total 
20
mileage of township or district roads in the respective

21
counties bears to the total mileage of all township and 
22
district roads
in the State. Funds allotted to the respective 
23
counties for the use of
road districts therein shall be 
24
allocated to the several road districts
in the county in the 
25
proportion which the total mileage of such township
or district 
26
roads in the respective road districts bears to the total

 


 






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mileage of all such township or district roads in the county. 
2
After
July 1 of any year prior to 2010, no allocation shall be 
3
made for any road district
unless it levied a tax for road and 
4
bridge purposes in an amount which
will require the extension 
5
of such tax against the taxable property in
any such road 
6
district at a rate of not less than either .08% of the value

7
thereof, based upon the assessment for the year immediately 
8
prior to the year
in which such tax was levied and as equalized 
9
by the Department of Revenue
or, in DuPage County, an amount 
10
equal to or greater than $12,000 per mile of
road under the 
11
jurisdiction of the road district, whichever is less. Beginning 
12
July 1, 2010 and each July 1 thereafter, an allocation shall be 
13
made for any road district
if it levied a tax for road and 
14
bridge purposes. If the amount of the tax levy, however, 
15
requires the extension of the tax against the taxable property 
16
in
the road district at a rate that is less than 0.08% of the 
17
value
thereof, based upon the assessment for the year 
18
immediately prior to the year
in which the tax was levied and 
19
as equalized by the Department of Revenue, then the amount of 
20
the allocation for the road district shall be a percentage of 
21
the maximum allocation equal to the percentage obtained by 
22
dividing the rate extended by the district by 0.08%. In DuPage 
23
County, however, no allocation shall be made for any road 
24
district
unless it levied a tax for road and bridge purposes in 
25
an amount that
will require the extension of that tax against 
26
the taxable property in
any such road district (i) at a rate of 
 


 






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1
not less than either 0.08% of the value
thereof, based upon the 
2
assessment for the year immediately prior to the year
in which 
3
such tax was levied and as equalized by the Department of 
4
Revenue,
or (ii) in an amount equal to or greater than $12,000 
5
per mile of
road under the jurisdiction of the road district, 
6
whichever is less. 
7
 Prior to 2010, if If any
road district has levied a special 
8
tax for road purposes
pursuant to Sections 6-601, 6-602, and 
9
6-603 of the Illinois Highway Code, and
such tax was levied in 
10
an amount which would require extension at a
rate of not less 
11
than .08% of the value of the taxable property thereof,
as 
12
equalized or assessed by the Department of Revenue,
or, in 
13
DuPage County, an amount equal to or greater than $12,000 per 
14
mile of
road under the jurisdiction of the road district, 
15
whichever is less,
such levy shall, however, be deemed a proper 
16
compliance with this
Section and shall qualify such road 
17
district for an allotment under this
Section. Beginning in 2010 
18
and thereafter, if any
road district has levied a special tax 
19
for road purposes
under Sections 6-601, 6-602, and 6-603 of the 
20
Illinois Highway Code, and
the tax was levied in an amount that 
21
would require extension at a
rate of not less than 0.08% of the 
22
value of the taxable property thereof,
as equalized or assessed 
23
by the Department of Revenue or, in DuPage County, an amount 
24
equal to or greater than $12,000 per mile of road under the 
25
jurisdiction of the road district, whichever is less, that levy 
26
shall be deemed a proper compliance with this
Section and shall 
 


 






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qualify such road district for a full, rather than 
2
proportionate, allotment under this
Section. Except in DuPage 
3
County, if the levy for the special tax is less than 0.08% of 
4
the value of the taxable property and if the levy for the 
5
special tax is more than any other levy for road and bridge 
6
purposes, then the levy for the special tax qualifies the road 
7
district for a proportionate, rather than full, allotment under 
8
this Section. If the levy for the special tax is equal to or 
9
less than any other levy for road and bridge purposes, then any 
10
allotment under this Section shall be determined by the other 
11
levy for road and bridge purposes. 
12
 Prior to 2010, if If a township has transferred to the road 
13
and bridge fund
money which, when added to the amount of any 
14
tax levy of the road
district would be the equivalent of a tax 
15
levy requiring extension at a
rate of at least .08%, or, in 
16
DuPage County, an amount equal to or greater
than $12,000 per 
17
mile of road under the jurisdiction of the road district,

18
whichever is less, such transfer, together with any such tax 
19
levy,
shall be deemed a proper compliance with this Section and 
20
shall qualify
the road district for an allotment under this 
21
Section.

22
 In counties in which a property tax extension limitation is 
23
imposed
under the Property Tax Extension Limitation Law, road 
24
districts may retain
their entitlement to a motor fuel tax 
25
allotment or, beginning in 2010, their entitlement to a full 
26
allotment if, at the time the property
tax
extension limitation 
 


 






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1
was imposed, the road district was levying a road and
bridge 
2
tax at a rate sufficient to entitle it to a motor fuel tax 
3
allotment
and continues to levy the maximum allowable amount 
4
after the imposition of the
property tax extension limitation. 
5
Any road district may in all circumstances
retain its 
6
entitlement to a motor fuel tax allotment or, beginning in 
7
2010, their entitlement to a full allotment if it levied a road 
8
and
bridge tax in an amount that will require the extension of 
9
the tax against the
taxable property in the road district at a 
10
rate of not less than 0.08% of the
assessed value of the 
11
property, based upon the assessment for the year
immediately 
12
preceding the year in which the tax was levied and as equalized 
13
by
the Department of Revenue or, in DuPage County, an amount 
14
equal to or greater
than $12,000 per mile of road under the 
15
jurisdiction of the road district,
whichever is less.

16
 As used in this Section the term "road district" means any 
17
road
district, including a county unit road district, provided 
18
for by the
Illinois Highway Code; and the term "township or 
19
district road"
means any road in the township and district road 
20
system as defined in the
Illinois Highway Code. For the 
21
purposes of this Section, "road
district" also includes park 
22
districts, forest preserve districts and
conservation 
23
districts organized under Illinois law and "township or

24
district road" also includes such roads as are maintained by 
25
park
districts, forest preserve districts and conservation 
26
districts. The
Department of Transportation shall determine 
 


 






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1
the mileage of all township
and district roads for the purposes 
2
of making allotments and allocations of
motor fuel tax funds 
3
for use in road districts.

4
 Payment of motor fuel tax moneys to municipalities and 
5
counties shall
be made as soon as possible after the allotment 
6
is made. The treasurer
of the municipality or county may invest 
7
these funds until their use is
required and the interest earned 
8
by these investments shall be limited
to the same uses as the 
9
principal funds.

10
(Source: P.A. 94-839, eff. 6-6-06; 95-744, eff. 7-18-08.)



11
 Section 99. Effective date. This Act takes effect upon 
12