093_HB1156 LRB093 07608 RCE 07787 b 1 AN ACT concerning municipal utility taxes. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Illinois Municipal Code is amended by 5 adding Section 8-11-21 as follows: 6 (65 ILCS 5/8-11-21 new) 7 Sec. 8-11-21. School district exemptions. 8 (a) No tax may be imposed or collected by a municipality 9 under this Division 11 or by virtue of any home rule power 10 with respect to electricity used or consumed by a school 11 district subject to the School Code. 12 (b) No tax may be imposed or collected by a municipality 13 under this Division 11 or by virtue of any home rule power on 14 gross receipts from the business of transmitting messages or 15 distributing, supplying, furnishing, or selling gas or water 16 to a school district subject to the School Code. 17 (c) No tax may be imposed or collected by a municipality 18 under this Division 11 or by virtue of any home rule power 19 with respect to telecommunications originated or received by 20 a school district subject to the School Code. 21 (d) A business entity must reflect the tax exemptions 22 under this Section by equivalent reductions in amounts 23 charged to school districts subject to the School Code. 24 (e) This Section is a denial and limitation under 25 subsection (g) of Section 6 of Article VII of the Illinois 26 Constitution of a home rule municipality's power to tax. 27 Section 10. The Public Utilities Act is amended by 28 changing Section 9-221 as follows: 29 (220 ILCS 5/9-221) (from Ch. 111 2/3, par. 9-221) -2- LRB093 07608 RCE 07787 b 1 Sec. 9-221. Whenever a municipality pursuant to Section 2 8-11-2 of the Illinois Municipal Code, as heretofore and 3 hereafter amended, imposes a tax on any public utility, such 4 utility may charge its customers, other than customers who 5 are certified business enterprises under paragraph (e) of 6 Section 8-11-2 of the Illinois Municipal Code or are exempted 7 from those taxes under paragraph (f) of that Section or under 8 Section 8-11-21 of the Illinois Municipal Code, to the extent 9 of such exemption and during the period in which such 10 exemption is in effect, in addition to any rate authorized by 11 this Act, an additional charge equal to the sum of (1) an 12 amount equal to such municipal tax, or any part thereof (2) 13 3% of such tax, or any part thereof, as the case may be, to 14 cover costs of accounting, and (3) an amount equal to the 15 increase in taxes and other payments to governmental bodies 16 resulting from the amount of such additional charge. Such 17 utility shall file with the Commission a true and correct 18 copy of the municipal ordinance imposing such tax; and also 19 shall file with the Commission a supplemental schedule 20 applicable to such municipality which shall specify such 21 additional charge and which shall become effective upon 22 filing without further notice. Such additional charge shall 23 be shown separately on the utility bill to each customer. 24 The Commission shall have power to investigate whether or not 25 such supplemental schedule correctly specifies such 26 additional charge, but shall have no power to suspend such 27 supplemental schedule. If the Commission finds, after a 28 hearing, that such supplemental schedule does not correctly 29 specify such additional charge, it shall by order require a 30 refund to the appropriate customers of the excess, if any, 31 with interest, in such manner as it shall deem just and 32 reasonable, and in and by such order shall require the 33 utility to file an amended supplemental schedule 34 corresponding to the finding and order of the Commission. -3- LRB093 07608 RCE 07787 b 1 (Source: P.A. 87-895; 88-132.) 2 Section 95. The State Mandates Act is amended by adding 3 Section 8.27 as follows: 4 (30 ILCS 805/8.27 new) 5 Sec. 8.27. Exempt mandate. Notwithstanding Sections 6 6 and 8 of this Act, no reimbursement by the State is required 7 for the implementation of any mandate created by this 8 amendatory Act of the 93rd General Assembly. 9 Section 99. Effective date. This Act takes effect on 10 July 1, 2003.