Public Act 098-0818
 
SB2598 EnrolledLRB098 13500 MLW 48023 b

    AN ACT concerning transportation.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Illinois Highway Code is amended by changing
Section 6-501 as follows:
 
    (605 ILCS 5/6-501)  (from Ch. 121, par. 6-501)
    Sec. 6-501. (a) Findings and purpose. The General Assembly
finds:
        (1) That the financial conditions of the Township and
    District road systems of the State of Illinois have
    suffered adversely as a result of changes in law concerning
    assessed valuation of property for tax purposes. That as a
    result of the changes beginning in 1945, the rates of
    permissible levy were first halved to accommodate full fair
    value, but never restored when subsequent law change
    established the legal assessed valuation at 50% of fair
    market value as equalized by the Department of Revenue.
        (2) Townships and district road systems, as a result of
    the decreased financial support, have suffered a decline in
    ability to maintain or improve roads and bridges in a safe
    condition to permit the normal and ordinary use of its
    highway system. In many instances bridges have been closed
    and detours required because of impossible road conditions
    resulting in hardships for school districts in
    transporting pupils and for farms in moving products to
    market.
        (3) Further, cost for maintenance and improvements
    have risen faster than the valuations of property, the base
    of financial support.
        (4) To solve these problems, this Act makes changes in
    rates of taxation -- returning Townships and District road
    systems to their approximate financial viability prior to
    1945.
    (b) The highway commissioner for each road district in each
county not under township organization shall on or before the
third Tuesday in December of each year determine and certify to
the county board the amount necessary to be raised by taxation
for road purposes and for the salaries of elected road district
officials in the road district.
    Should any highway commissioner during the last year of his
term of office for any reason not file the certificate in the
office of the county clerk, as required by this Section, in
time for presentation to the regular September meeting of the
county board, the clerk shall present in lieu thereof a
certificate equal in amount to that presented for the preceding
year.
    In every such county the certificate shall be filed in the
office of the county clerk and by that official presented to
the county board at the regular September meeting for the
consideration of the board. The amount so certified if approved
by the county board, or the part thereof as the county board
does approve, shall be extended by the county clerk as road
taxes against the taxable property of the district.
    (c) The highway commissioner in each road district in each
county having adopted township organization shall in
accordance with the Illinois Municipal Budget Law at least 30
days prior to the public meeting required by this paragraph,
each year prepare or cause to be prepared a tentative budget
and appropriation ordinance and file the same with the clerk of
the township or consolidated township road district, as the
case may be, who shall make the tentative budget and
appropriation ordinance conveniently available to the public
inspection for at least 30 days prior to final action. One
public hearing shall be held. This public hearing shall be held
on or before the last day of the first quarter of the fiscal
year before the township board of trustees or the highway board
of trustees, as the case may be. Notice of the hearing shall be
given by publication in a newspaper published in the road
district at least 30 days prior to the time of the hearing. If
there is no newspaper published in the road district, notice of
the public hearing shall be given by posting notices in 5 of
the most public places in the district. It shall be the duty of
the clerk of the road district to arrange for the public
hearing. The township board of trustees or highway board of
trustees, as the case may be, at the public hearing shall adopt
the tentative budget and appropriation ordinance, or any part
as the board of trustees deem necessary.
    On or before the last Tuesday in December the township
board of trustees or highway board of trustees or road district
commissioner, as the case may be, shall levy and certify to the
county clerk the amount necessary to be raised by taxation for
road purposes and the road district commissioner shall levy and
certify to the county clerk the amount necessary to be raised
by taxation for the salaries of elected road district officials
in the road district, as determined by the highway
commissioner.
    The amount so certified shall be extended by the county
clerk as road taxes against the taxable property of the
district.
    On or after October 10, 1991, a road district commissioner
whose district is located in a county not under township
organization may not levy separately a tax for salaries of
elected road district officials unless the tax has been first
approved by a majority of the electors voting on the question
at a referendum conducted in accordance with the general
election law. The question submitted to the electors at the
referendum shall be in substantially the following form: "Shall
the road district commissioner be authorized to levy an annual
tax for the salaries of elected road district officials under
Section 6-501 of the Illinois Highway Code?"
    Except as is otherwise permitted by this Code and when the
road district commissioner establishes the tax rate for the
salaries of elected road district officials, the county clerk
shall not extend taxes for road purposes against the taxable
property in any road district at rates in excess of the
following:
        (1) in a road district comprised of a single township
    in a county having township organization, at a rate in
    excess of .125% of the value, as equalized or assessed by
    the Department of Revenue; unless before the last Tuesday
    in December annually the highway commissioner of the
    township road district shall have secured the consent in
    writing of a majority of the members of the township board
    of trustees to the extension of a greater rate, in which
    case the rate shall not exceed that approved by a majority
    of the members of the township board of trustees, but in no
    case shall it exceed .165% of the value, as equalized or
    assessed by the Department. Once approved by the township
    board of trustees, the rate shall remain in effect until
    changed by the township board of trustees;
        (2) in a consolidated township road district, at a rate
    in excess of .175% of the value, as equalized or assessed
    by the Department of Revenue;
        (3) in a road district in a county not having township
    organization, at a rate in excess of .165% of the value, as
    equalized or assessed by the Department of Revenue.
    However, road districts that have higher tax rate
limitations on a permanent basis for road purposes on July 1,
1967, than the limitations herein provided, may continue to
levy the road taxes at the higher limitations, and the county
clerk shall extend the taxes at not to exceed the higher
limitations.
    If the amount of taxes levied by the township board of
trustees or the highway board of trustees or approved by the
county board in any case is in excess of the amount that may be
extended the county clerk shall reduce the amount so that the
rate extended shall be no greater than authorized by law.
However, the tax shall not be reduced or scaled in any manner
whatever by reason of the levy and extension by the county
clerk of any tax to pay the principal or interest, or both, of
any bonds issued by a road district.
    The taxes, when collected, shall be held by the treasurer
of the district as the regular road fund of the district.
    Notwithstanding any other provision of law, for a period of
time ending 18 years after the effective date of this
amendatory Act of 1994, a road district or consolidated road
district may accumulate up to 50% of the taxes collected from a
subdivision under this Section for improvements of
nondedicated roads within the subdivision from which and for
which the taxes were collected. These nondedicated roads will
become a part of the township and district road system if the
roads meet the criteria established by the counties in which
the roads are located. The total accumulations under this
provision may not exceed 10% of the total funds held by the
district for road purposes. This provision applies only to
townships within counties adjacent to a county with a
population of 3,000,000 or more and only with respect to
subdivisions whose plats were filed or recorded before July 23,
1959.
    Notwithstanding any other provision of law, for a period of
time ending 10 years after the effective date of this
amendatory Act of the 98th General Assembly, a road district or
consolidated road district may accumulate up to 50% of the
taxes collected from a subdivision under this Section for
improvements of nondedicated roads within the subdivision from
which and for which the taxes were collected. These
nondedicated roads will become a part of the township and
district road system if the roads meet the criteria established
by the counties in which the roads are located. The total
accumulations under this provision may not exceed 10% of the
total funds held by the district for road purposes. This
provision applies only to townships within counties adjacent to
a county with a population of 3,000,000 or more and only with
respect to subdivisions whose plats were filed or recorded
before July 23, 1959.
    Any road district may accumulate funds for the purpose of
acquiring, constructing, repairing and improving buildings and
procuring land in relation to the building and for the purpose
of procuring road maintenance apparatus and equipment, and for
the construction of roads, and may annually levy taxes for the
purposes in excess of its current requirements for other
purposes, subject to the tax rate limitations provided in this
Section, provided a proposition to accumulate funds for the
purposes is first submitted to and approved by the electors of
the district. The proposition shall be certified to the proper
election officials by the district clerk upon the direction of
the highway commissioner, and the election officials shall
submit the proposition at a regular election. Notice and
conduct of the referendum shall be in accordance with the
general election law. The proposition shall be in substantially
the following form:
-------------------------------------------------------------
    Shall .......... road district
accumulate funds in the amount
of $......... for ........ years             YES
for the purpose of acquiring,
constructing, repairing and improving    --------------------
buildings and procuring land
therefor,  and for procuring road            NO
maintenance apparatus and equipment
and for the construction of roads?
-------------------------------------------------------------
    If a majority of the electors voting on the proposition
vote in favor of it, the road district may use a portion of the
funds levied, subject to the tax rate limitations provided in
this Section, for the purposes for which accumulation was
authorized. It shall not be a valid objection to any subsequent
tax levy made under this Section, that there remains unexpended
money arising from the levy of a prior year because of an
accumulation permitted by this Section and provided for in the
budget for that prior year.
    (d) Any road district may accumulate moneys in a dedicated
fund for a specific capital construction or maintenance project
or a major equipment purchase without submitting a proposition
to the electors of the district if the annual budget and
appropriation ordinance for the road district states the
amount, purpose, and duration of any accumulation of funds
authorized under this Section, with specific reference to each
project to be constructed or equipment to be purchased. Nothing
in this subsection precludes a road district from accumulating
moneys for non-specific purposes as provided in this Section.
(Source: P.A. 92-395, eff. 8-16-01; 92-656, eff. 7-16-02.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.