Sen. William R. Haine

Filed: 5/22/2008

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 836

2     AMENDMENT NO. ______. Amend Senate Bill 836 by replacing
3 everything after the enacting clause with the following:
 
4     "Section 5. If and only if Senate Bill 2052 of the 95th
5 General Assembly becomes law, then the Flood Prevention
6 District Act is amended by changing Sections 5, 10, 20, 25, 30,
7 35, 40, 45, and 50 as follows:
 
8     (S.B. 2052eng, 95th G.A., Sec. 5)
9     Sec. 5. Creation; purpose.
10     (a) Madison, Monroe, and St. Clair Counties may each be
11 designated independently and separately as a flood prevention
12 district for the purpose of performing emergency levee repair
13 and flood prevention in order to prevent the loss of life or
14 property. The county board of any such county may declare an
15 emergency and create a flood prevention district by the
16 affirmative vote of the majority of the members of the county

 

 

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1 board.
2     (b) Two or more flood prevention districts may join
3 together through an intergovernmental agreement to provide any
4 services described in this Act, to construct, reconstruct,
5 repair, or otherwise provide any facilities described in this
6 Act either within or outside of any district's corporate
7 limits, to issue bonds, notes, or other evidences of
8 indebtedness, to pledge the taxes authorized to be imposed
9 pursuant to Section 25 of this Act to the obligations of any
10 other district, and to exercise any other power authorized in
11 this Act, pursuant to the Intergovernmental Cooperation Act.
12     (c) Any district created under this Act shall be dissolved
13 upon the later of (i) 25 years after the date the district is
14 created or (ii) the payment of all obligations of the district
15 issued under Section 20 of this Act and the payment of any
16 federal reimbursement moneys to the county treasurer under
17 Section 30 of this Act. A district may be dissolved earlier by
18 its board of commissioners if all federal reimbursement moneys
19 have been paid to the county treasurer and all obligations of
20 the district have been paid, including its obligations related
21 to bonds issued under Section 20 of this Act and any
22 obligations incurred pursuant to an intergovernmental
23 agreement.
24 (Source: 95SB2052eng.)
 
25     (S.B. 2052eng, 95th G.A., Sec. 10)

 

 

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1     Sec. 10. Commissioners. The affairs of the district shall
2 be managed by a board of 3 commissioners who shall be appointed
3 by the chairman of the county board of the county in which the
4 district is situated. All initial appointments under this
5 Section must be made within 90 days after the district is
6 organized. Of the initial appointments, one commissioner shall
7 serve for a one-year term, one commissioner shall serve for a
8 2-year term, and one commissioner shall serve for a 3-year
9 term, as determined by lot. Their successors shall be appointed
10 for 3-year terms. A commissioner shall continue to serve as
11 commissioner until his or her successor is duly appointed. No
12 commissioner may serve for more than 20 years. All appointments
13 must be made so that no more than 2 commissioners are from the
14 same political party at the time of the appointment. With
15 respect to appointments representing the minority party in the
16 county, the minority party members of the county board may
17 submit names for consideration to the chairman of the county
18 board. Each commissioner must be a legal voter in the district,
19 and at least one commissioner shall reside or own property that
20 is located within a floodplain situated in the territory of the
21 flood protection district. Commissioners shall serve without
22 compensation, but may be reimbursed for reasonable expenses
23 incurred in the performance of their duties.
24 (Source: 95SB2052eng.)
 
25     (S.B. 2052eng, 95th G.A., Sec. 20)

 

 

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1     Sec. 20. Powers of the district. A district formed under
2 this Act shall have the following powers:
3         (1) To sue or be sued.
4         (2) To apply for and accept gifts, grants, and loans
5     from any public agency or private entity.
6         (3) To enter into intergovernmental agreements to
7     further ensure levee repair, levee construction or
8     reconstruction, and flood prevention, within or outside of
9     the district's corporate limits, including agreements with
10     the United States Army Corps of Engineers or any other
11     agency or department of the federal government.
12         (4) To undertake evaluation, planning, design,
13     construction, and related activities that are determined
14     to be urgently needed to stabilize, repair, restore,
15     improve, or replace existing levees and other flood control
16     systems located within or outside of the district's
17     corporate limits.
18         (5) To address underseepage problems and old and
19     deteriorating pumps, gates, pipes, electrical controls,
20     and other infrastructure within or outside of the
21     district's corporate limits.
22         (6) To conduct evaluations of levees and other flood
23     control facilities that protect urban areas, including the
24     performance of floodplain mapping studies.
25         (7) To provide capital moneys for levee or
26     river-related scientific studies, within or outside of the

 

 

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1     district's corporate limits, including the construction of
2     facilities for such purposes.
3         (8) To borrow money or receive money from the United
4     States Government or any agency thereof, or from any other
5     public or private source, for the purposes of the District
6     and to issue indebtedness, including bonds, notes, or other
7     evidences of indebtedness to evidence such borrowing, and
8     to pledge and use some or all of the taxes imposed pursuant
9     to Section 25 of this Act for the repayment of the
10     indebtedness of the District or any other flood prevention
11     districts. The District shall direct the county to use
12     moneys in the County Flood Prevention Occupation Tax Fund
13     to pay such indebtedness.
14         (9) To enter into agreements with private property
15     owners.
16         (10) To issue revenue bonds, notes, or other evidences
17     of indebtedness payable from revenue received from a
18     retailers' occupation tax imposed under Section 25 of this
19     Act, and from any other revenue sources available to the
20     flood prevention district. These bonds may be issued with
21     maturities not exceeding 25 years from the date of the
22     bonds, and in such amounts as may be necessary to provide
23     sufficient funds, together with interest, for the purposes
24     of the District. These bonds shall bear interest at a rate
25     of not more than the maximum rate authorized by the Bond
26     Authorization Act, as amended at the time of the making of

 

 

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1     the contract of sale, payable semi-annually, may be made
2     registerable as to principal, and may be made payable and
3     callable as provided on any date at a price of par and
4     accrued interest under such terms and conditions as may be
5     fixed by the ordinance authorizing the issuance of the
6     bonds. Bonds issued under this Section are negotiable
7     instruments. In case any officer whose signature appears on
8     the bonds or coupons ceases to hold that office before the
9     bonds are delivered, such officer's signature shall
10     nevertheless be valid and sufficient for all purposes the
11     same as though such officer had remained in office until
12     the bonds were delivered. The bonds shall be sold in such
13     manner and upon such terms as the board of commissioners
14     shall determine, except that the selling price shall be
15     such that the interest cost to the District on of the
16     proceeds of the bonds shall not exceed the maximum rate
17     authorized by the Bond Authorization Act, as amended at the
18     time of the making of the contract of sale, payable
19     semi-annually, computed to maturity according to the
20     standard table of bond values. Bonds issued by the District
21     shall not be considered indebtedness for purposes of any
22     statutory limitation and may be issued in an amount or
23     amounts, including existing indebtedness, in excess of any
24     heretofore or hereafter imposed statutory limitation as to
25     indebtedness. A request to issue revenue bonds by the
26     District Commission must be submitted for approval to the

 

 

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1     county board of the county in which the district is
2     situated. The county board has 30 calendar days to approve
3     the issuance of such bonds. If the county board does not
4     approve or disapprove the issuance of the bonds within 30
5     calendar days after the receipt of such request, the
6     request shall be deemed approved. The District shall direct
7     the county to use moneys in the County Flood Prevention
8     Occupation Tax Fund to pay for bonds issued.
9         (11) To acquire property by gift, grant, or eminent
10     domain, in accordance with the Eminent Domain Act. Any
11     action by the District to acquire property by eminent
12     domain requires the express approval of the county board.
13         (12) To retain professional staff to carry out the
14     functions of the District. Any flood prevention district
15     shall employ a Chief Supervisor of Construction and the
16     Works with appropriate professional qualifications,
17     including a degree in engineering, construction,
18     hydrology, or a related field, or an equivalent combination
19     of education and experience. The Chief Supervisor of
20     Construction and the Works shall be vested with the
21     authority to carry out the duties and mission of the Flood
22     Prevention District, pursuant to the direction and
23     supervision of the Board of Commissioners. The Chief
24     Supervisor of Construction and the Works may hire
25     additional staff as necessary to carry out the duties and
26     mission of the district, including administrative support

 

 

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1     personnel. Two or more districts may, through an
2     intergovernmental agreement, share the services of a Chief
3     Supervisor of Construction and the Works, support staff, or
4     both. If 2 districts are adjoining and share a common
5     federal levee, they must retain the services of the same
6     person as Chief Supervisor of Construction and the Works.
7         (13) To conduct an audit of any drainage, levee, or
8     sanitary district within the territory of the flood
9     prevention district.    
10         (14) To reimburse any county for costs advanced by the
11     county before the formation of a flood prevention district
12     if the funds were used for any purpose permitted under this
13     Act.
14 (Source: 95SB2052eng.)
 
15     (S.B. 2052eng, 95th G.A., Sec. 25)
16     Sec. 25. Flood prevention retailers' and service
17 occupation taxes Retailers' occupation tax.
18     (a) If the Board of Commissioners of a flood prevention
19 district determines that an emergency situation exists
20 regarding levee repair or flood prevention, and upon an
21 ordinance confirming the determination or resolution adopted
22 by the affirmative vote of a majority of the members of the
23 county board of the county in which the district is situated,
24 the county it may impose a flood prevention retailers'
25 occupation tax upon all persons engaged in the business of

 

 

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1 selling tangible personal property at retail within the
2 territory of the district to provide revenue to pay the costs
3 of providing emergency levee repair and flood prevention and to
4 secure the payment of bonds, notes, and other evidences of
5 indebtedness issued under this Act for a period not to exceed
6 25 years or as required to repay the bonds, notes, and other
7 evidences of indebtedness issued under this Act issued pursuant
8 to Section 20 of this Act. The tax rate shall be 0.25% of the
9 gross receipts from all taxable sales made in the course of
10 that business. The tax imposed under this Section and all civil
11 penalties that may be assessed as an incident thereof shall be
12 collected and enforced by the State Department of Revenue. The
13 Department shall have full power to administer and enforce this
14 Section; to collect all taxes and penalties so collected in the
15 manner hereinafter provided; and to determine all rights to
16 credit memoranda arising on account of the erroneous payment of
17 tax or penalty hereunder.
18     In the administration of and compliance with this
19 subsection, the Department and persons who are subject to this
20 subsection (i) have the same rights, remedies, privileges,
21 immunities, powers, and duties, (ii) are subject to the same
22 conditions, restrictions, limitations, penalties, and
23 definitions of terms, and (iii) shall employ the same modes of
24 procedure as are set forth in Sections 1 through 1o, 2 through
25 2-70 (in respect to all provisions contained in those Sections
26 other than the State rate of tax), 2a through 2h, 3 (except as

 

 

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1 to the disposition of taxes and penalties collected), 4, 5, 5a,
2 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10,
3 11, 11a, 12, and 13 of the Retailers' Occupation Tax Act and
4 all provisions of the Uniform Penalty and Interest Act as if
5 those provisions were set forth in this subsection.
6     Persons subject to any tax imposed under this Section may
7 reimburse themselves for their seller's tax liability
8 hereunder by separately stating the tax as an additional
9 charge, which charge may be stated in combination in a single
10 amount with State taxes that sellers are required to collect
11 under the Use Tax Act, under any bracket schedules the
12 Department may prescribe.
13     If a tax is imposed under this subsection (a), a tax shall
14 also be imposed under subsection (b) of this Section.
15     (b) If a tax has been imposed under subsection (a), a flood
16 prevention service occupation tax shall also be imposed upon
17 all persons engaged within the territory of the district
18 engaged in the business of making sales of service, who, as an
19 incident to making the sales of service, transfer tangible
20 personal property within the territory of the district, either
21 in the form of tangible personal property or in the form of
22 real estate as an incident to a sale of service to provide
23 revenue to pay the costs of providing emergency levee repair
24 and flood prevention and to secure the payment of bonds, notes,
25 and other evidences of indebtedness issued under this Act for a
26 period not to exceed 25 years or as required to repay the

 

 

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1 bonds, notes, and other evidences of indebtedness. The tax rate
2 shall be 0.25% of the selling price of all tangible personal
3 property transferred.
4     The tax imposed under this subsection and all civil
5 penalties that may be assessed as an incident thereof shall be
6 collected and enforced by the State Department of Revenue. The
7 Department shall have full power to administer and enforce this
8 subsection; to collect all taxes and penalties due hereunder;
9 to dispose of taxes and penalties collected in the manner
10 hereinafter provided; and to determine all rights to credit
11 memoranda arising on account of the erroneous payment of tax or
12 penalty hereunder.
13     In the administration of and compliance with this
14 subsection, the Department and persons who are subject to this
15 subsection shall (i) have the same rights, remedies,
16 privileges, immunities, powers, and duties, (ii) be subject to
17 the same conditions, restrictions, limitations, penalties, and
18 definitions of terms, and (iii) employ the same modes of
19 procedure as are set forth in Sections 2 (except that the that
20 reference to State in the definition of supplier maintaining a
21 place of business in this State means the district), 2a through
22 2d, 3 through 3-50 (in respect to all provisions contained in
23 those Sections other than the State rate of tax), 4 (except
24 that the reference to the State shall be to the district), 5,
25 7, 8 (except that the jurisdiction to which the tax is a debt
26 to the extent indicated in that Section 8 is the district), 9

 

 

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1 (except as to the disposition of taxes and penalties
2 collected), 10, 11, 12 (except the reference therein to Section
3 2b of the Retailers' Occupation Tax Act), 13 (except that any
4 reference to the State means the district), Section 15, 16, 17,
5 18, 19, and 20 of the Service Occupation Tax Act and all
6 provisions of the Uniform Penalty and Interest Act, as fully as
7 if those provisions were set forth herein.
8     Persons subject to any tax imposed under the authority
9 granted in this subsection may reimburse themselves for their
10 serviceman's tax liability hereunder by separately stating the
11 tax as an additional charge, that charge may be stated in
12 combination in a single amount with State tax that servicemen
13 are authorized to collect under the Service Use Tax Act, under
14 any bracket schedules the Department may prescribe.
15     (c) The taxes This additional tax imposed in subsections
16 (a) and (b) may not be imposed on personal property titled or
17 registered with an agency of the State; food for human
18 consumption that is to be consumed off the premises where it is
19 sold (other than alcoholic beverages, soft drinks, and food
20 that has been prepared for immediate consumption);
21 prescription and non-prescription medicines, drugs, and
22 medical appliances; modifications to a motor vehicle for the
23 purpose of rendering it usable by a disabled person; or
24 insulin, urine testing materials, and syringes and needles used
25 by diabetics.
26     (d) Nothing in this Section shall be construed to authorize

 

 

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1 the district to impose a tax upon the privilege of engaging in
2 any business that under the Constitution of the United States
3 may not be made the subject of taxation by the State.
4     (e) The certificate of registration that is issued by the
5 Department to a retailer under the Retailers' Occupation Tax
6 Act or a serviceman under the Service Occupation Tax Act
7 permits the retailer or serviceman to engage in a business that
8 is taxable without registering separately with the Department
9 under an ordinance or resolution under this Section.
10     (f) The Department shall immediately pay over to the State
11 Treasurer, ex officio, as trustee, all taxes and penalties
12 collected under this Section to be deposited into the Flood
13 Prevention Occupation Tax Fund, which shall be an
14 unappropriated trust fund held outside the State treasury.
15     On or before the 25th day of each calendar month, the
16 Department shall prepare and certify to the Comptroller the
17 that disbursement of stated sums of money to the counties from
18 which retailers or servicemen have paid taxes or penalties to
19 the Department during the second preceding calendar month. The
20 amount to be paid to each county is equal to the amount (not
21 including credit memoranda) collected from the county under
22 this Section during the second preceding calendar month by the
23 Department, (i) less 2% of that amount, which shall be
24 deposited into the Tax Compliance and Administration Fund and
25 shall be used by the Department in administering and enforcing
26 the provisions of this Section on behalf of the county, (ii)

 

 

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1 plus an amount that the Department determines is necessary to
2 offset any amounts that were erroneously paid to a different
3 taxing body; (iii) less an amount equal to the amount of
4 refunds made during the second preceding calendar month by the
5 Department on behalf of the county; and (iv) less any amount
6 that the Department determines is necessary to offset any
7 amounts that were payable to a different taxing body but were
8 erroneously paid to the county. When certifying the amount of a
9 monthly disbursement to a county under this Section, the
10 Department shall increase or decrease the amounts by an amount
11 necessary to offset any miscalculation of previous
12 disbursements within the previous 6 months from the time a
13 miscalculation is discovered.
14     Within 10 days after receipt by the Comptroller from the
15 Department of the disbursement certification to the counties
16 provided for in this Section, the Comptroller shall cause the
17 orders to be drawn for the respective amounts in accordance
18 with directions contained in the certification.
19     If the Department determines that a refund should be made
20 under this Section to a claimant instead of issuing a credit
21 memorandum, then the Department shall notify the Comptroller,
22 who shall cause the order to be drawn for the amount specified
23 and to the person named in the notification from the
24 Department. The refund shall be paid by the Treasurer out of
25 the Flood Prevention Occupation Tax Fund.
26     (g) If a county flood prevention district board imposes a

 

 

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1 tax under this Section, then the county board shall, by
2 ordinance, discontinue the tax upon the payment of all bonded
3 indebtedness of the flood prevention district District. The tax
4 shall not be discontinued until all bonded indebtedness of the
5 District has been paid.
6     (h) Any ordinance imposing the tax under this Section, or
7 any ordinance that discontinues the tax, must be certified by
8 the county clerk and filed with the Illinois Department of
9 Revenue either (i) on or before the first day of April,
10 whereupon the Department shall proceed to administer and
11 enforce the tax or change in the rate as of the first day of
12 July next following the filing; or (ii) on or before the first
13 day of October, whereupon the Department shall proceed to
14 administer and enforce the tax or change in the rate as of the
15 first day of January next following the filing.
16     (j) County Flood Prevention Occupation Tax Fund. All
17 proceeds received by a county from a tax distribution under
18 this Section must be maintained in a special fund known as the
19 [name of county] flood prevention occupation tax fund. The
20 county shall, at the direction of the flood prevention
21 district, use moneys in the fund to pay the costs of providing
22 emergency levee repair and flood prevention and to pay bonds,
23 notes, and other evidence of indebtedness issued under this
24 Act.
25     (k) (j) This Section may be cited as the Flood Prevention
26 Occupation Tax Law.

 

 

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1 (Source: 95SB2052eng.)
 
2     (S.B. 2052eng, 95th G.A., Sec. 30)
3     Sec. 30. Disbursement of federal funds.
4     (a) Any reimbursements for the construction of flood
5 protection facilities shall be appropriated to each county
6 flood prevention district in accordance with the location of
7 the specific facility for which the federal appropriation is
8 made.
9     (b) If there are federal reimbursements to a county flood
10 prevention district for construction of flood protection
11 facilities that were built using the proceeds of bonds, notes,
12 or other evidences of indebtedness revenues authorized by this
13 Act, those funds shall be used for early retirement of such
14 bonds, notes, or other evidences of indebtedness issued in
15 accordance with this Act.
16     (c) When all bonds, notes, or other evidences of
17 indebtedness bond obligations of the District have been paid,
18 any remaining federal reimbursement moneys shall be remitted to
19 the county treasurer for deposit into a special fund for the
20 continued long-term maintenance of federal levees and flood
21 protection facilities, pursuant to the direction of the county
22 board.
23 (Source: 95SB2052eng.)
 
24     (S.B. 2052eng, 95th G.A., Sec. 35)

 

 

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1     Sec. 35. Financial audit of the District Commission. A
2 financial audit of the District Commission shall be conducted
3 annually by a certified public accountant (CPA) that is
4 licensed at the time of the audit by the Illinois Department of
5 Financial and Professional Regulation. The CPA shall meet all
6 of the general standards concerning qualifications,
7 independence, due professional care, and quality control as
8 required by the Government Auditing Standards, 1994 Revision,
9 Chapter 3, including the requirements for continuing
10 professional education and external peer review. The financial
11 audit is to be performed in accordance with generally accepted
12 auditing standards issued by the American Institute of
13 Certified Public Accountants (AICPA) for field work and
14 reporting, generally accepted government auditing standards
15 (GAGAS) and AICPA Statements on Auditing Standards (SAS)
16 current at the time the audit is commenced. The audit shall be
17 made publicly available and sent to the county board chairman
18 of the county in which the district is situated and to the
19 Illinois Secretary of State.
20 (Source: 95SB2052eng.)
 
21     (S.B. 2052eng, 95th G.A., Sec. 40)
22     Sec. 40. Budget of the District Commission. The District
23 Commission shall adopt an annual budget by August 31 of each
24 year for the fiscal year beginning October 1. Such budget shall
25 include expected revenues by source and expenditures by project

 

 

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1 or by function for the following year. The budget must be
2 approved by the county board of the county in which the
3 district is situated prior to any expenditure by the District
4 Commission for the fiscal year beginning October 1. The county
5 board must approve or disapprove the budget of the District
6 commission within 30 calendar days after the budget is received
7 by the county board. If the county board does not act to
8 approve or disapprove the budget within 30 calendar days of
9 receipt, it shall stand as approved.
10     In addition, the District Commission shall submit an annual
11 report to the county board by August 31 of each year detailing
12 the activities of the district. This report must also include
13 any information submitted to the flood prevention district by a
14 drainage, levee, or sanitary district in accordance with
15 Section 4-45 of the Illinois Drainage Code or Section 2-2 of
16 the Metro-East Sanitary District Act.
17 (Source: 95SB2052eng.)
 
18     (S.B. 2052eng, 95th G.A., Sec. 45)
19     Sec. 45. Procurement. The District Commission shall
20 conduct all procurements in accordance with the requirements of
21 the Local Government Professional Services Selection Act and
22 any competitive bid requirements contained in Section 5-1022 of
23 the Counties Code.
24 (Source: 95SB2052eng.)
 

 

 

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1     (S.B. 2052eng, 95th G.A., Sec. 50)
2     Sec. 50. Contracts for construction. A request for any
3 construction contract of more than $10,000 by the District
4 Commission must be submitted for approval to the county board
5 of the county in which the district is situated. The county
6 board has 30 calendar days to approve the construction
7 contract. If the county board does not approve or disapprove
8 the construction contract within 30 calendar days after the
9 receipt of such request, the request shall be deemed approved.
10 (Source: 95SB2052eng.)
 
11     Section 10. If and only if Senate Bill 2052 of the 95th
12 General Assembly becomes law, then the Intergovernmental
13 Cooperation Act is amended by changing Section 3.9 as follows:
 
14     (5 ILCS 220/3.9)
15     Sec. 3.9. Flood prevention. Two or more county flood
16 prevention districts may enter into an intergovernmental
17 agreement to provide any services authorized in the Flood
18 Prevention District Act, to construct, reconstruct, repair, or
19 otherwise provide any facilities described in that Act either
20 within or outside of any district's corporate limits, to issue
21 bonds, notes, or other evidences of indebtedness, to pledge the
22 taxes authorized to be imposed pursuant to Section 25 of that
23 Act to the obligations of any other district, and to exercise
24 any other power authorized in that Act.

 

 

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1 (Source: 95SB2052eng.)
 
2     Section 20. If and only if Senate Bill 2052 of the 95th
3 General Assembly becomes law, then the Use Tax Act is amended
4 by changing Section 2 as follows:
 
5     (35 ILCS 105/2)  (from Ch. 120, par. 439.2)
6     Sec. 2. "Use" means the exercise by any person of any right
7 or power over tangible personal property incident to the
8 ownership of that property, except that it does not include the
9 sale of such property in any form as tangible personal property
10 in the regular course of business to the extent that such
11 property is not first subjected to a use for which it was
12 purchased, and does not include the use of such property by its
13 owner for demonstration purposes: Provided that the property
14 purchased is deemed to be purchased for the purpose of resale,
15 despite first being used, to the extent to which it is resold
16 as an ingredient of an intentionally produced product or
17 by-product of manufacturing. "Use" does not mean the
18 demonstration use or interim use of tangible personal property
19 by a retailer before he sells that tangible personal property.
20 For watercraft or aircraft, if the period of demonstration use
21 or interim use by the retailer exceeds 18 months, the retailer
22 shall pay on the retailers' original cost price the tax imposed
23 by this Act, and no credit for that tax is permitted if the
24 watercraft or aircraft is subsequently sold by the retailer.

 

 

09500SB0836sam001 - 21 - LRB095 05544 RLJ 51328 a

1 "Use" does not mean the physical incorporation of tangible
2 personal property, to the extent not first subjected to a use
3 for which it was purchased, as an ingredient or constituent,
4 into other tangible personal property (a) which is sold in the
5 regular course of business or (b) which the person
6 incorporating such ingredient or constituent therein has
7 undertaken at the time of such purchase to cause to be
8 transported in interstate commerce to destinations outside the
9 State of Illinois: Provided that the property purchased is
10 deemed to be purchased for the purpose of resale, despite first
11 being used, to the extent to which it is resold as an
12 ingredient of an intentionally produced product or by-product
13 of manufacturing.
14     "Watercraft" means a Class 2, Class 3, or Class 4
15 watercraft as defined in Section 3-2 of the Boat Registration
16 and Safety Act, a personal watercraft, or any boat equipped
17 with an inboard motor.
18     "Purchase at retail" means the acquisition of the ownership
19 of or title to tangible personal property through a sale at
20 retail.
21     "Purchaser" means anyone who, through a sale at retail,
22 acquires the ownership of tangible personal property for a
23 valuable consideration.
24     "Sale at retail" means any transfer of the ownership of or
25 title to tangible personal property to a purchaser, for the
26 purpose of use, and not for the purpose of resale in any form

 

 

09500SB0836sam001 - 22 - LRB095 05544 RLJ 51328 a

1 as tangible personal property to the extent not first subjected
2 to a use for which it was purchased, for a valuable
3 consideration: Provided that the property purchased is deemed
4 to be purchased for the purpose of resale, despite first being
5 used, to the extent to which it is resold as an ingredient of
6 an intentionally produced product or by-product of
7 manufacturing. For this purpose, slag produced as an incident
8 to manufacturing pig iron or steel and sold is considered to be
9 an intentionally produced by-product of manufacturing. "Sale
10 at retail" includes any such transfer made for resale unless
11 made in compliance with Section 2c of the Retailers' Occupation
12 Tax Act, as incorporated by reference into Section 12 of this
13 Act. Transactions whereby the possession of the property is
14 transferred but the seller retains the title as security for
15 payment of the selling price are sales.
16     "Sale at retail" shall also be construed to include any
17 Illinois florist's sales transaction in which the purchase
18 order is received in Illinois by a florist and the sale is for
19 use or consumption, but the Illinois florist has a florist in
20 another state deliver the property to the purchaser or the
21 purchaser's donee in such other state.
22     Nonreusable tangible personal property that is used by
23 persons engaged in the business of operating a restaurant,
24 cafeteria, or drive-in is a sale for resale when it is
25 transferred to customers in the ordinary course of business as
26 part of the sale of food or beverages and is used to deliver,

 

 

09500SB0836sam001 - 23 - LRB095 05544 RLJ 51328 a

1 package, or consume food or beverages, regardless of where
2 consumption of the food or beverages occurs. Examples of those
3 items include, but are not limited to nonreusable, paper and
4 plastic cups, plates, baskets, boxes, sleeves, buckets or other
5 containers, utensils, straws, placemats, napkins, doggie bags,
6 and wrapping or packaging materials that are transferred to
7 customers as part of the sale of food or beverages in the
8 ordinary course of business.
9     The purchase, employment and transfer of such tangible
10 personal property as newsprint and ink for the primary purpose
11 of conveying news (with or without other information) is not a
12 purchase, use or sale of tangible personal property.
13     "Selling price" means the consideration for a sale valued
14 in money whether received in money or otherwise, including
15 cash, credits, property other than as hereinafter provided, and
16 services, but not including the value of or credit given for
17 traded-in tangible personal property where the item that is
18 traded-in is of like kind and character as that which is being
19 sold, and shall be determined without any deduction on account
20 of the cost of the property sold, the cost of materials used,
21 labor or service cost or any other expense whatsoever, but does
22 not include interest or finance charges which appear as
23 separate items on the bill of sale or sales contract nor
24 charges that are added to prices by sellers on account of the
25 seller's tax liability under the "Retailers' Occupation Tax
26 Act", or on account of the seller's duty to collect, from the

 

 

09500SB0836sam001 - 24 - LRB095 05544 RLJ 51328 a

1 purchaser, the tax that is imposed by this Act, or, except as
2 otherwise provided with respect to any cigarette tax imposed by
3 a home rule unit, on account of the seller's tax liability
4 under any local occupation tax administered by the Department,
5 or, except as otherwise provided with respect to any cigarette
6 tax imposed by a home rule unit on account of the seller's duty
7 to collect, from the purchasers, the tax that is imposed under
8 any local use tax administered by the Department or on account
9 of the seller's tax liability under Section 8-11-1 of the
10 Illinois Municipal Code, as heretofore and hereafter amended,
11 or on account of the seller's tax liability under the "County
12 Retailers' Occupation Tax Act". Effective December 1, 1985,
13 "selling price" shall include charges that are added to prices
14 by sellers on account of the seller's tax liability under the
15 Cigarette Tax Act, on account of the seller's duty to collect,
16 from the purchaser, the tax imposed under the Cigarette Use Tax
17 Act, and on account of the seller's duty to collect, from the
18 purchaser, any cigarette tax imposed by a home rule unit.
19     The phrase "like kind and character" shall be liberally
20 construed (including but not limited to any form of motor
21 vehicle for any form of motor vehicle, or any kind of farm or
22 agricultural implement for any other kind of farm or
23 agricultural implement), while not including a kind of item
24 which, if sold at retail by that retailer, would be exempt from
25 retailers' occupation tax and use tax as an isolated or
26 occasional sale.

 

 

09500SB0836sam001 - 25 - LRB095 05544 RLJ 51328 a

1     "Department" means the Department of Revenue.
2     "Person" means any natural individual, firm, partnership,
3 association, joint stock company, joint adventure, public or
4 private corporation, limited liability company, or a receiver,
5 executor, trustee, guardian or other representative appointed
6 by order of any court.
7     "Retailer" means and includes every person engaged in the
8 business of making sales at retail as defined in this Section.
9     A person who holds himself or herself out as being engaged
10 (or who habitually engages) in selling tangible personal
11 property at retail is a retailer hereunder with respect to such
12 sales (and not primarily in a service occupation)
13 notwithstanding the fact that such person designs and produces
14 such tangible personal property on special order for the
15 purchaser and in such a way as to render the property of value
16 only to such purchaser, if such tangible personal property so
17 produced on special order serves substantially the same
18 function as stock or standard items of tangible personal
19 property that are sold at retail.
20     A person whose activities are organized and conducted
21 primarily as a not-for-profit service enterprise, and who
22 engages in selling tangible personal property at retail
23 (whether to the public or merely to members and their guests)
24 is a retailer with respect to such transactions, excepting only
25 a person organized and operated exclusively for charitable,
26 religious or educational purposes either (1), to the extent of

 

 

09500SB0836sam001 - 26 - LRB095 05544 RLJ 51328 a

1 sales by such person to its members, students, patients or
2 inmates of tangible personal property to be used primarily for
3 the purposes of such person, or (2), to the extent of sales by
4 such person of tangible personal property which is not sold or
5 offered for sale by persons organized for profit. The selling
6 of school books and school supplies by schools at retail to
7 students is not "primarily for the purposes of" the school
8 which does such selling. This paragraph does not apply to nor
9 subject to taxation occasional dinners, social or similar
10 activities of a person organized and operated exclusively for
11 charitable, religious or educational purposes, whether or not
12 such activities are open to the public.
13     A person who is the recipient of a grant or contract under
14 Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
15 serves meals to participants in the federal Nutrition Program
16 for the Elderly in return for contributions established in
17 amount by the individual participant pursuant to a schedule of
18 suggested fees as provided for in the federal Act is not a
19 retailer under this Act with respect to such transactions.
20     Persons who engage in the business of transferring tangible
21 personal property upon the redemption of trading stamps are
22 retailers hereunder when engaged in such business.
23     The isolated or occasional sale of tangible personal
24 property at retail by a person who does not hold himself out as
25 being engaged (or who does not habitually engage) in selling
26 such tangible personal property at retail or a sale through a

 

 

09500SB0836sam001 - 27 - LRB095 05544 RLJ 51328 a

1 bulk vending machine does not make such person a retailer
2 hereunder. However, any person who is engaged in a business
3 which is not subject to the tax imposed by the "Retailers'
4 Occupation Tax Act" because of involving the sale of or a
5 contract to sell real estate or a construction contract to
6 improve real estate, but who, in the course of conducting such
7 business, transfers tangible personal property to users or
8 consumers in the finished form in which it was purchased, and
9 which does not become real estate, under any provision of a
10 construction contract or real estate sale or real estate sales
11 agreement entered into with some other person arising out of or
12 because of such nontaxable business, is a retailer to the
13 extent of the value of the tangible personal property so
14 transferred. If, in such transaction, a separate charge is made
15 for the tangible personal property so transferred, the value of
16 such property, for the purposes of this Act, is the amount so
17 separately charged, but not less than the cost of such property
18 to the transferor; if no separate charge is made, the value of
19 such property, for the purposes of this Act, is the cost to the
20 transferor of such tangible personal property.
21     "Retailer maintaining a place of business in this State",
22 or any like term, means and includes any of the following
23 retailers:
24         1. A retailer having or maintaining within this State,
25     directly or by a subsidiary, an office, distribution house,
26     sales house, warehouse or other place of business, or any

 

 

09500SB0836sam001 - 28 - LRB095 05544 RLJ 51328 a

1     agent or other representative operating within this State
2     under the authority of the retailer or its subsidiary,
3     irrespective of whether such place of business or agent or
4     other representative is located here permanently or
5     temporarily, or whether such retailer or subsidiary is
6     licensed to do business in this State. However, the
7     ownership of property that is located at the premises of a
8     printer with which the retailer has contracted for printing
9     and that consists of the final printed product, property
10     that becomes a part of the final printed product, or copy
11     from which the printed product is produced shall not result
12     in the retailer being deemed to have or maintain an office,
13     distribution house, sales house, warehouse, or other place
14     of business within this State.
15         2. A retailer soliciting orders for tangible personal
16     property by means of a telecommunication or television
17     shopping system (which utilizes toll free numbers) which is
18     intended by the retailer to be broadcast by cable
19     television or other means of broadcasting, to consumers
20     located in this State.
21         3. A retailer, pursuant to a contract with a
22     broadcaster or publisher located in this State, soliciting
23     orders for tangible personal property by means of
24     advertising which is disseminated primarily to consumers
25     located in this State and only secondarily to bordering
26     jurisdictions.

 

 

09500SB0836sam001 - 29 - LRB095 05544 RLJ 51328 a

1         4. A retailer soliciting orders for tangible personal
2     property by mail if the solicitations are substantial and
3     recurring and if the retailer benefits from any banking,
4     financing, debt collection, telecommunication, or
5     marketing activities occurring in this State or benefits
6     from the location in this State of authorized installation,
7     servicing, or repair facilities.
8         5. A retailer that is owned or controlled by the same
9     interests that own or control any retailer engaging in
10     business in the same or similar line of business in this
11     State.
12         6. A retailer having a franchisee or licensee operating
13     under its trade name if the franchisee or licensee is
14     required to collect the tax under this Section.
15         7. A retailer, pursuant to a contract with a cable
16     television operator located in this State, soliciting
17     orders for tangible personal property by means of
18     advertising which is transmitted or distributed over a
19     cable television system in this State.
20         8. A retailer engaging in activities in Illinois, which
21     activities in the state in which the retail business
22     engaging in such activities is located would constitute
23     maintaining a place of business in that state.
24     "Bulk vending machine" means a vending machine, containing
25 unsorted confections, nuts, toys, or other items designed
26 primarily to be used or played with by children which, when a

 

 

09500SB0836sam001 - 30 - LRB095 05544 RLJ 51328 a

1 coin or coins of a denomination not larger than $0.50 are
2 inserted, are dispensed in equal portions, at random and
3 without selection by the customer.
4 (Source: P.A. 94-1074, eff. 12-26-06.)
 
5     Section 30. If and only if Senate Bill 2052 of the 95th
6 General Assembly becomes law, then the Retailers' Occupation
7 Tax Act is amended by changing Section 1 as follows:
 
8     (35 ILCS 120/1)  (from Ch. 120, par. 440)
9     Sec. 1. Definitions. "Sale at retail" means any transfer of
10 the ownership of or title to tangible personal property to a
11 purchaser, for the purpose of use or consumption, and not for
12 the purpose of resale in any form as tangible personal property
13 to the extent not first subjected to a use for which it was
14 purchased, for a valuable consideration: Provided that the
15 property purchased is deemed to be purchased for the purpose of
16 resale, despite first being used, to the extent to which it is
17 resold as an ingredient of an intentionally produced product or
18 byproduct of manufacturing. For this purpose, slag produced as
19 an incident to manufacturing pig iron or steel and sold is
20 considered to be an intentionally produced byproduct of
21 manufacturing. Transactions whereby the possession of the
22 property is transferred but the seller retains the title as
23 security for payment of the selling price shall be deemed to be
24 sales.

 

 

09500SB0836sam001 - 31 - LRB095 05544 RLJ 51328 a

1     "Sale at retail" shall be construed to include any transfer
2 of the ownership of or title to tangible personal property to a
3 purchaser, for use or consumption by any other person to whom
4 such purchaser may transfer the tangible personal property
5 without a valuable consideration, and to include any transfer,
6 whether made for or without a valuable consideration, for
7 resale in any form as tangible personal property unless made in
8 compliance with Section 2c of this Act.
9     Sales of tangible personal property, which property, to the
10 extent not first subjected to a use for which it was purchased,
11 as an ingredient or constituent, goes into and forms a part of
12 tangible personal property subsequently the subject of a "Sale
13 at retail", are not sales at retail as defined in this Act:
14 Provided that the property purchased is deemed to be purchased
15 for the purpose of resale, despite first being used, to the
16 extent to which it is resold as an ingredient of an
17 intentionally produced product or byproduct of manufacturing.
18     "Sale at retail" shall be construed to include any Illinois
19 florist's sales transaction in which the purchase order is
20 received in Illinois by a florist and the sale is for use or
21 consumption, but the Illinois florist has a florist in another
22 state deliver the property to the purchaser or the purchaser's
23 donee in such other state.
24     Nonreusable tangible personal property that is used by
25 persons engaged in the business of operating a restaurant,
26 cafeteria, or drive-in is a sale for resale when it is

 

 

09500SB0836sam001 - 32 - LRB095 05544 RLJ 51328 a

1 transferred to customers in the ordinary course of business as
2 part of the sale of food or beverages and is used to deliver,
3 package, or consume food or beverages, regardless of where
4 consumption of the food or beverages occurs. Examples of those
5 items include, but are not limited to nonreusable, paper and
6 plastic cups, plates, baskets, boxes, sleeves, buckets or other
7 containers, utensils, straws, placemats, napkins, doggie bags,
8 and wrapping or packaging materials that are transferred to
9 customers as part of the sale of food or beverages in the
10 ordinary course of business.
11     The purchase, employment and transfer of such tangible
12 personal property as newsprint and ink for the primary purpose
13 of conveying news (with or without other information) is not a
14 purchase, use or sale of tangible personal property.
15     A person whose activities are organized and conducted
16 primarily as a not-for-profit service enterprise, and who
17 engages in selling tangible personal property at retail
18 (whether to the public or merely to members and their guests)
19 is engaged in the business of selling tangible personal
20 property at retail with respect to such transactions, excepting
21 only a person organized and operated exclusively for
22 charitable, religious or educational purposes either (1), to
23 the extent of sales by such person to its members, students,
24 patients or inmates of tangible personal property to be used
25 primarily for the purposes of such person, or (2), to the
26 extent of sales by such person of tangible personal property

 

 

09500SB0836sam001 - 33 - LRB095 05544 RLJ 51328 a

1 which is not sold or offered for sale by persons organized for
2 profit. The selling of school books and school supplies by
3 schools at retail to students is not "primarily for the
4 purposes of" the school which does such selling. The provisions
5 of this paragraph shall not apply to nor subject to taxation
6 occasional dinners, socials or similar activities of a person
7 organized and operated exclusively for charitable, religious
8 or educational purposes, whether or not such activities are
9 open to the public.
10     A person who is the recipient of a grant or contract under
11 Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
12 serves meals to participants in the federal Nutrition Program
13 for the Elderly in return for contributions established in
14 amount by the individual participant pursuant to a schedule of
15 suggested fees as provided for in the federal Act is not
16 engaged in the business of selling tangible personal property
17 at retail with respect to such transactions.
18     "Purchaser" means anyone who, through a sale at retail,
19 acquires the ownership of or title to tangible personal
20 property for a valuable consideration.
21     "Reseller of motor fuel" means any person engaged in the
22 business of selling or delivering or transferring title of
23 motor fuel to another person other than for use or consumption.
24 No person shall act as a reseller of motor fuel within this
25 State without first being registered as a reseller pursuant to
26 Section 2c or a retailer pursuant to Section 2a.

 

 

09500SB0836sam001 - 34 - LRB095 05544 RLJ 51328 a

1     "Selling price" or the "amount of sale" means the
2 consideration for a sale valued in money whether received in
3 money or otherwise, including cash, credits, property, other
4 than as hereinafter provided, and services, but not including
5 the value of or credit given for traded-in tangible personal
6 property where the item that is traded-in is of like kind and
7 character as that which is being sold, and shall be determined
8 without any deduction on account of the cost of the property
9 sold, the cost of materials used, labor or service cost or any
10 other expense whatsoever, but does not include charges that are
11 added to prices by sellers on account of the seller's tax
12 liability under this Act, or on account of the seller's duty to
13 collect, from the purchaser, the tax that is imposed by the Use
14 Tax Act, or, except as otherwise provided with respect to any
15 cigarette tax imposed by a home rule unit, on account of the
16 seller's tax liability under any local occupation tax
17 administered by the Department, or, except as otherwise
18 provided with respect to any cigarette tax imposed by a home
19 rule unit on account of the seller's duty to collect, from the
20 purchasers, the tax that is imposed under any local use tax
21 administered by the Department or on account of the seller's
22 tax liability under Section 8-11-1 of the Illinois Municipal
23 Code, as heretofore and hereafter amended, or on account of the
24 seller's tax liability under the County Retailers' Occupation
25 Tax Act, or on account of the seller's tax liability under the
26 Home Rule Municipal Soft Drink Retailers' Occupation Tax, or on

 

 

09500SB0836sam001 - 35 - LRB095 05544 RLJ 51328 a

1 account of the seller's tax liability under any tax imposed
2 under the "Regional Transportation Authority Act", approved
3 December 12, 1973. Effective December 1, 1985, "selling price"
4 shall include charges that are added to prices by sellers on
5 account of the seller's tax liability under the Cigarette Tax
6 Act, on account of the sellers' duty to collect, from the
7 purchaser, the tax imposed under the Cigarette Use Tax Act, and
8 on account of the seller's duty to collect, from the purchaser,
9 any cigarette tax imposed by a home rule unit.
10     The phrase "like kind and character" shall be liberally
11 construed (including but not limited to any form of motor
12 vehicle for any form of motor vehicle, or any kind of farm or
13 agricultural implement for any other kind of farm or
14 agricultural implement), while not including a kind of item
15 which, if sold at retail by that retailer, would be exempt from
16 retailers' occupation tax and use tax as an isolated or
17 occasional sale.
18     "Gross receipts" from the sales of tangible personal
19 property at retail means the total selling price or the amount
20 of such sales, as hereinbefore defined. In the case of charge
21 and time sales, the amount thereof shall be included only as
22 and when payments are received by the seller. Receipts or other
23 consideration derived by a seller from the sale, transfer or
24 assignment of accounts receivable to a wholly owned subsidiary
25 will not be deemed payments prior to the time the purchaser
26 makes payment on such accounts.

 

 

09500SB0836sam001 - 36 - LRB095 05544 RLJ 51328 a

1     "Department" means the Department of Revenue.
2     "Person" means any natural individual, firm, partnership,
3 association, joint stock company, joint adventure, public or
4 private corporation, limited liability company, or a receiver,
5 executor, trustee, guardian or other representative appointed
6 by order of any court.
7     The isolated or occasional sale of tangible personal
8 property at retail by a person who does not hold himself out as
9 being engaged (or who does not habitually engage) in selling
10 such tangible personal property at retail, or a sale through a
11 bulk vending machine, does not constitute engaging in a
12 business of selling such tangible personal property at retail
13 within the meaning of this Act; provided that any person who is
14 engaged in a business which is not subject to the tax imposed
15 by this Act because of involving the sale of or a contract to
16 sell real estate or a construction contract to improve real
17 estate or a construction contract to engineer, install, and
18 maintain an integrated system of products, but who, in the
19 course of conducting such business, transfers tangible
20 personal property to users or consumers in the finished form in
21 which it was purchased, and which does not become real estate
22 or was not engineered and installed, under any provision of a
23 construction contract or real estate sale or real estate sales
24 agreement entered into with some other person arising out of or
25 because of such nontaxable business, is engaged in the business
26 of selling tangible personal property at retail to the extent

 

 

09500SB0836sam001 - 37 - LRB095 05544 RLJ 51328 a

1 of the value of the tangible personal property so transferred.
2 If, in such a transaction, a separate charge is made for the
3 tangible personal property so transferred, the value of such
4 property, for the purpose of this Act, shall be the amount so
5 separately charged, but not less than the cost of such property
6 to the transferor; if no separate charge is made, the value of
7 such property, for the purposes of this Act, is the cost to the
8 transferor of such tangible personal property. Construction
9 contracts for the improvement of real estate consisting of
10 engineering, installation, and maintenance of voice, data,
11 video, security, and all telecommunication systems do not
12 constitute engaging in a business of selling tangible personal
13 property at retail within the meaning of this Act if they are
14 sold at one specified contract price.
15     A person who holds himself or herself out as being engaged
16 (or who habitually engages) in selling tangible personal
17 property at retail is a person engaged in the business of
18 selling tangible personal property at retail hereunder with
19 respect to such sales (and not primarily in a service
20 occupation) notwithstanding the fact that such person designs
21 and produces such tangible personal property on special order
22 for the purchaser and in such a way as to render the property
23 of value only to such purchaser, if such tangible personal
24 property so produced on special order serves substantially the
25 same function as stock or standard items of tangible personal
26 property that are sold at retail.

 

 

09500SB0836sam001 - 38 - LRB095 05544 RLJ 51328 a

1     Persons who engage in the business of transferring tangible
2 personal property upon the redemption of trading stamps are
3 engaged in the business of selling such property at retail and
4 shall be liable for and shall pay the tax imposed by this Act
5 on the basis of the retail value of the property transferred
6 upon redemption of such stamps.
7     "Bulk vending machine" means a vending machine, containing
8 unsorted confections, nuts, toys, or other items designed
9 primarily to be used or played with by children which, when a
10 coin or coins of a denomination not larger than $0.50 are
11 inserted, are dispensed in equal portions, at random and
12 without selection by the customer.
13 (Source: P.A. 92-213, eff. 1-1-02.)
 
14     Section 35. If and only if Senate Bill 2052 of the 95th
15 General Assembly becomes law, then the Southwestern Illinois
16 Development Authority Act is amended by changing Section 3 as
17 follows:
 
18     (70 ILCS 520/3)  (from Ch. 85, par. 6153)
19     Sec. 3. The following terms, whenever used or referred to
20 in this Act, shall have the following meanings, except in such
21 instances where the context may clearly indicate otherwise:
22     (a) "Authority" means the Southwestern Illinois
23 Development Authority created by this Act.
24     (b) "Governmental agency" means any federal, State or local

 

 

09500SB0836sam001 - 39 - LRB095 05544 RLJ 51328 a

1 governmental body, and any agency or instrumentality thereof,
2 corporate or otherwise.
3     (c) "Person" means any natural person, firm, partnership,
4 corporation, both domestic and foreign, company, association
5 or joint stock association and includes any trustee, receiver,
6 assignee or personal representative thereof.
7     (d) "Revenue bond" means any bond issued by the Authority
8 the principal and interest of which is payable solely from
9 revenues or income derived from any project or activity of the
10 Authority.
11     (e) "Board" means the Southwestern Illinois Development
12 Authority Board of Directors.
13     (f) "Governor" means the Governor of the State of Illinois.
14     (g) "City" means any city, village, incorporated town or
15 township within the geographical territory of the Authority.
16     (h) "Industrial project" means (1) a capital project,
17 including one or more buildings and other structures,
18 improvements, machinery and equipment whether or not on the
19 same site or sites now existing or hereafter acquired, suitable
20 for use by any manufacturing, industrial, research,
21 transportation or commercial enterprise including but not
22 limited to use as a factory, mill, processing plant, assembly
23 plant, packaging plant, fabricating plant, office building,
24 industrial distribution center, warehouse, repair, overhaul or
25 service facility, freight terminal, research facility, test
26 facility, railroad facility, solid waste and wastewater

 

 

09500SB0836sam001 - 40 - LRB095 05544 RLJ 51328 a

1 treatment and disposal sites and other pollution control
2 facilities, resource or waste reduction, recovery, treatment
3 and disposal facilities, and including also the sites thereof
4 and other rights in land therefor whether improved or
5 unimproved, site preparation and landscaping and all
6 appurtenances and facilities incidental thereto such as
7 utilities, access roads, railroad sidings, truck docking and
8 similar facilities, parking facilities, dockage, wharfage,
9 railroad roadbed, track, trestle, depot, terminal, switching
10 and signaling equipment or related equipment and other
11 improvements necessary or convenient thereto; or (2) any land,
12 buildings, machinery or equipment comprising an addition to or
13 renovation, rehabilitation or improvement of any existing
14 capital project.
15     (i) "Housing project" or "residential project" includes a
16 specific work or improvement undertaken to provide dwelling
17 accommodations, including the acquisition, construction or
18 rehabilitation of lands, buildings and community facilities
19 and in connection therewith to provide nonhousing facilities
20 which are an integral part of a planned large-scale project or
21 new community.
22     (j) "Commercial project" means any project, including but
23 not limited to one or more buildings and other structures,
24 improvements, machinery and equipment whether or not on the
25 same site or sites now existing or hereafter acquired, suitable
26 for use by any retail or wholesale concern, distributorship or

 

 

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1 agency, any cultural facilities of a for-profit or
2 not-for-profit type including but not limited to educational,
3 theatrical, recreational and entertainment, sports facilities,
4 racetracks, stadiums, convention centers, exhibition halls,
5 arenas, opera houses and theaters, waterfront improvements,
6 swimming pools, boat storage, moorage, docking facilities,
7 restaurants, velodromes, coliseums, sports training
8 facilities, parking facilities, terminals, hotels and motels,
9 gymnasiums, medical facilities and port facilities.
10     (k) "Unit of local government" means a unit of local
11 government, as defined in Section 1 of Article VII of the
12 Illinois Constitution, and any local public entity as that term
13 is defined in the Local Governmental and Governmental Employees
14 Tort Immunity Act and such unit of local government or local
15 public entity is located within the geographical territory of
16 the Authority or, for the purposes of the Flood Prevention
17 District Act, is located within Monroe County, Illinois.
18     (l) "Local government project" means a project or other
19 undertaking that is authorized or required by law to be
20 acquired, constructed, reconstructed, equipped, improved,
21 rehabilitated, replaced, maintained, or otherwise undertaken
22 in any manner by a unit of local government.
23     (m) "Local government security" means a bond, note, or
24 other evidence of indebtedness that a unit of local government
25 is legally authorized to issue for the purpose of financing a
26 public purpose project or to issue for any other lawful public

 

 

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1 purpose under any provision of the Illinois Constitution or
2 laws of this State, whether the obligation is payable from
3 taxes or revenues, rates, charges, assessments,
4 appropriations, grants, or any other lawful source or
5 combination thereof, and specifically includes, without
6 limitation, obligations under any lease or lease purchase
7 agreement lawfully entered into by the unit of local government
8 for the acquisition or use of facilities or equipment.
9     (n) "Project" means an industrial, housing, residential,
10 commercial, local government, or service project or any
11 combination thereof provided that all uses shall fall within
12 one of the categories described above. Any project, of any
13 nature whatsoever, shall automatically include all site
14 improvements and new construction involving sidewalks, sewers,
15 solid waste and wastewater treatment and disposal sites and
16 other pollution control facilities, resource or waste
17 reduction, recovery, treatment and disposal facilities, parks,
18 open spaces, wildlife sanctuaries, streets, highways and
19 runways.
20     (o) "Lease agreement" shall mean an agreement whereby a
21 project acquired by the Authority by purchase, gift or lease is
22 leased to any person or corporation which will use or cause the
23 project to be used as a project as heretofore defined upon
24 terms providing for lease rental payments at least sufficient
25 to pay when due all principal of and interest and premium, if
26 any, on any bonds, notes or other evidences of indebtedness of

 

 

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1 the Authority issued with respect to such project, providing
2 for the maintenance, insurance and operation of the project on
3 terms satisfactory to the Authority and providing for
4 disposition of the project upon termination of the lease term,
5 including purchase options or abandonment of the premises, with
6 such other terms as may be deemed desirable by the Authority.
7     (p) "Loan agreement" means any agreement pursuant to which
8 the Authority agrees to loan the proceeds of its bonds, notes
9 or other evidences of indebtedness issued with respect to a
10 project to any person or corporation which will use or cause
11 the project to be used as a project as heretofore defined upon
12 terms providing for loan repayment installments at least
13 sufficient to pay when due all principal of and interest and
14 premium, if any, on any bonds, notes or other evidences of
15 indebtedness of the Authority issued with respect to the
16 project, providing for maintenance, insurance and operation of
17 the project on terms satisfactory to the Authority and
18 providing for other matters as may be deemed advisable by the
19 Authority.
20     (q) "Financial aid" means the expenditure of Authority
21 funds or funds provided by the Authority through the issuance
22 of its revenue bonds, notes or other evidences of indebtedness
23 for the development, construction, acquisition or improvement
24 of a project.
25     (r) "Costs incurred in connection with the development,
26 construction, acquisition or improvement of a project" means

 

 

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1 the following: the cost of purchase and construction of all
2 lands and improvements in connection therewith and equipment
3 and other property, rights, easements and franchises acquired
4 which are deemed necessary for such construction; financing
5 charges; interest costs with respect to bonds, notes and other
6 evidences of indebtedness of the Authority prior to and during
7 construction and for a period of 6 months thereafter;
8 engineering and legal expenses; the costs of plans,
9 specifications, surveys and estimates of costs and other
10 expenses necessary or incident to determining the feasibility
11 or practicability of any project, together with such other
12 expenses as may be necessary or incident to the financing,
13 insuring, acquisition and construction of a specific project
14 and the placing of the same in operation.
15     (s) "Terminal" means a public place, station or depot for
16 receiving and delivering passengers, baggage, mail, freight or
17 express matter and any combination thereof in connection with
18 the transportation of persons and property on water or land or
19 in the air.
20     (t) "Terminal facilities" means all land, buildings,
21 structures, improvements, equipment and appliances useful in
22 the operation of public warehouse, storage and transportation
23 facilities and industrial, manufacturing or commercial
24 activities for the accommodation of or in connection with
25 commerce by water or land or in the air or useful as an aid, or
26 constituting an advantage or convenience to, the safe landing,

 

 

09500SB0836sam001 - 45 - LRB095 05544 RLJ 51328 a

1 taking off and navigation of aircraft or the safe and efficient
2 operation or maintenance of a public airport.
3     (u) "Port facilities" means all public structures, except
4 terminal facilities as defined herein, that are in, over, under
5 or adjacent to navigable waters and are necessary for or
6 incident to the furtherance of water commerce and includes the
7 widening and deepening of slips, harbors and navigable waters.
8     (v) "Airport" means any locality, either land or water,
9 which is used or designed for the landing and taking off of
10 aircraft or for the location of runways, landing fields,
11 aerodromes, hangars, buildings, structures, airport roadways
12 and other facilities.
13 (Source: P.A. 85-591; 86-1455.)
 
14     Section 45. If and only if Senate Bill 2052 of the 95th
15 General Assembly becomes law, then the Metro-East Sanitary
16 District Act of 1974 is amended by changing Section 5-1 as
17 follows:
 
18     (70 ILCS 2905/5-1)  (from Ch. 42, par. 505-1)
19     Sec. 5-1. (a) The board may levy and collect taxes for
20 corporate purposes. Such taxes shall be levied by ordinance
21 specifying the purposes for which the same are required, and a
22 certified copy of such ordinance shall be filed with the county
23 clerk of the county in which the predecessor district was
24 organized, on or before the second Tuesday in August, as

 

 

09500SB0836sam001 - 46 - LRB095 05544 RLJ 51328 a

1 provided in Section 122 of the Revenue Act of 1939 (superseded
2 by Section 14-10 of the Property Tax Code). Any excess funds
3 accumulated prior to January 1, 2008 by the sanitary district
4 that are collected by levying taxes pursuant to 745 ILCS
5 10/9-107 may be expended by the sanitary district to maintain,
6 repair, improve, or construct levees or any part of the levee
7 system and to provide capital moneys for levee or river-related
8 scientific studies, including the construction of facilities
9 for such purposes. After the assessment for the current year
10 has been equalized by the Department of Revenue, the board
11 shall, as soon as may be, ascertain and certify to such county
12 clerk the total value of all taxable property lying within the
13 corporate limits of such districts in each of the counties in
14 which the district is situated, as the same is assessed and
15 equalized for tax purposes for the current year. The county
16 clerk shall ascertain the rate per cent which, upon the total
17 valuation of all such property, ascertained as above stated,
18 would produce a net amount not less than the amount so directed
19 to be levied; and the clerk shall, without delay, certify under
20 his signature and seal of office to the county clerk of such
21 other county, in which a portion of the district is situated
22 such rate per cent; and it shall be the duty of each of the
23 county clerks to extend such tax in a separate column upon the
24 books of the collector or collectors of the county taxes for
25 the counties, against all property in their respective
26 counties, within the limits of the district. All taxes so

 

 

09500SB0836sam001 - 47 - LRB095 05544 RLJ 51328 a

1 levied and certified shall be collected and enforced in the
2 same manner, and by the same officers as county taxes, and
3 shall be paid over by the officers collecting the same, to the
4 treasurer of the sanitary district, in the manner and at the
5 time provided by the Property Tax Code. The aggregate amount of
6 taxes levied for any one year, exclusive of the amount levied
7 for the payment of bonded indebtedness and interest thereon,
8 shall not exceed the rate of .20%, or the rate limitation of
9 the predecessor district in effect on July 1, 1967, or the rate
10 limitation set by subsection (b) whichever is greater, of
11 value, as equalized or assessed by the Department of Revenue.
12 The foregoing limitations upon tax rates may be increased or
13 decreased under the referendum provisions of the Property Tax
14 Code.
15     (b) The tax rate limit of the district may be changed to
16 .478% of the value of property as equalized or assessed by the
17 Department of Revenue for a period of 5 years and to .312% of
18 such value thereafter upon the approval of the electors of the
19 district of such a proposition submitted at any regular
20 election pursuant to a resolution of the board of commissioners
21 or submitted at an election for officers of the counties of St.
22 Clair and Madison in accordance with the general election law
23 upon a petition signed by not fewer than 10% of the legal
24 voters in the district, which percentage shall be determined on
25 the basis of the number of votes cast at the last general
26 election preceding the filing of such petition specifying the

 

 

09500SB0836sam001 - 48 - LRB095 05544 RLJ 51328 a

1 tax rate to be submitted. Such petition shall be filed with the
2 executive director of the district not more than 10 months nor
3 less than 5 months prior to the election at which the question
4 is to be submitted to the voters of the district, and its
5 validity shall be determined as provided by the general
6 election law. The executive director shall certify the question
7 to the proper election officials, who shall submit the question
8 to the voters.
9     Notice shall be given in the manner provided by the general
10 election law.
11     Referenda initiated under this subsection shall be subject
12 to the provisions and limitations of the general election law.
13     The question shall be in substantially the following form:
14 -------------------------------------------------------------
15     Shall the maximum tax rate
16 for the Metro-East Sanitary
17 District be established at                  YES
18 .478% of the equalized assessed
19 value for 5 years and then at .312%   -----------------------
20 of the equalized assessed value
21 thereafter, instead of .2168%, the          NO
22 maximum rate otherwise applicable
23 to the next taxes to be extended?
24 -------------------------------------------------------------
25     The ballot shall have printed thereon, but not as a part of
26 the proposition submitted, an estimate of the approximate

 

 

09500SB0836sam001 - 49 - LRB095 05544 RLJ 51328 a

1 amount extendable under the proposed rate and of the
2 approximate amount extendable under the rate otherwise
3 applicable to the next taxes to be extended, such amounts being
4 computed upon the last known equalized assessed value;
5 provided, that any error, miscalculation or inaccuracy in
6 computing such amounts shall not invalidate or affect the
7 validity of any tax rate limit so adopted.
8     If a majority of all ballots cast on such proposition shall
9 be in favor of the proposition, the tax rate limit so
10 established shall become effective with the levy next following
11 the referendum; provided that nothing in this subsection shall
12 be construed as precluding the extension of taxes at rates less
13 than that authorized by such referendum.
14     Except as herein otherwise provided, the referenda
15 authorized by the terms of this subsection shall be conducted
16 in all respects in the manner provided by the general election
17 law.
18 (Source: P.A. 88-670, eff. 12-2-94.)
 
19     Section 99. Effective date. This Act takes effect upon
20 becoming law.".