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.