99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB4298

 

Introduced , by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
60 ILCS 1/205-140

    Amends the Township Code. Provides that no township may increase or create water main, sewer, or water main and sewer connection charges without first conducting a cost study, the results of which justify the charge. Provides that a township shall not be required to conduct more than one cost study in a 60 month period and specified units or persons requesting a cost study after the first cost study will be required to pay for the cost study. Further provides that if the connection charge that the township charges is greater than is justified by the cost study, the township must reduce its connection charge.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4298LRB099 14423 AWJ 38521 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Township Code is amended by changing Section
5205-140 and by adding Section 200-14c as follows:
 
6    (60 ILCS 1/205-140)
7    Sec. 205-140. Initiating proceedings for particular
8locality; rates and charges; lien.
9    (a) A township board may initiate proceedings under
10Sections 205-130 through 205-150 in the manner provided by
11Section 205-20.
12    (b) The township board may establish the rate or charge to
13each user of the waterworks system or sewerage system, or
14combined waterworks and sewerage system, or improvement or
15extension at a rate that will be sufficient to pay the
16principal and interest of any bonds issued to pay the cost of
17the system, improvement, or extension and the maintenance and
18operation of the system, improvement, or extension and may
19provide an adequate depreciation fund for the bonds. Charges or
20rates shall be established, revised, and maintained by
21ordinance and become payable as the township board determines
22by ordinance.
23    (c) The charges or rates are liens upon the real estate

 

 

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1upon or for which sewerage service is supplied whenever the
2charges or rates become delinquent as provided by the ordinance
3of the board fixing a delinquency date.
4    (d) Notwithstanding any provision of law to the contrary,
5the township shall conduct a cost study regarding the
6connection charge of the township:
7        (1) before the township increases or creates a
8    connection charge;
9        (2) upon the request of the supervisor or a majority of
10    the township board of the township;
11        (3) upon the request of a majority of the mayors or
12    village presidents of the municipalities located within or
13    substantially within the township or township's facility
14    planning area; or
15        (4) upon the filing with the township board of a
16    petition signed by 10% or more of the customers who have
17    paid connection charges to the township in the previous 5
18    calendar years.
19    The cost study shall be conducted by an independent entity
20within 6 months of an action taken under paragraphs (1), (2),
21(3), or (4) of this subsection (d). After performing a cost
22study under this subsection (d), an independent entity may not
23contract with any State agency, unit of local government, or
24non-governmental entity for goods or services within the
25township or township service area in the 24 months after
26completion of the cost study other than to perform further cost

 

 

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1studies under this subsection (d). A township shall not conduct
2more than one cost study under this subsection (d) in a 60
3month period. The cost study must include, at a minimum, an
4examination of similar water main and sewer connection charges
5in neighboring units of local government or units of local
6government similar in size or population. Following the
7completion of the cost study, no increase or new connection
8charge may be imposed unless the increase or new charge is
9justified by the cost study. If the connection charge the
10township charged prior to completion of the cost study is
11higher than is justified by the cost study, the township shall
12reduce its connection charge to the amount justified by the
13cost study.
14    (e) If a cost study has been conducted pursuant to
15subsection (d) of this Section and a new cost study is
16requested under paragraph (3) or (4) of subsection (d), the
17township shall obtain a written quote from an independent
18entity detailing the cost of the requested cost study and the
19following shall occur prior to a new cost study beginning:
20        (1) each township, village, and municipality whose
21    mayor or president requested the cost study under paragraph
22    (3) of subsection (d) shall pay a proportionate share of
23    the cost of the written quote required under this
24    subsection (e); or
25        (2) the customers who signed the petition under
26    paragraph (4) of subsection (d) shall pay to the township

 

 

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1    the entire cost of the written quote required under this
2    subsection (e).
3    (f) For purposes of this Section only:
4    "Connection charge" means any charge or fee, by whatever
5name, assessed to recover the cost of connecting the customer's
6water main, sewer, or water main and sewer service line to the
7township's facilities, and includes only the direct and
8indirect costs of physically tying the service line into the
9township's main.
10    "Independent entity" means an engineering firm that has not
11entered into a contract with any State agency, unit of local
12government, or non-governmental entity for goods or services
13within the township or township service area in the 24 months
14prior to being contracted to perform the cost study.
15(Source: P.A. 82-783; 88-62.)