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91_SB1889
LRB9106792PTpk
1 AN ACT to amend the Illinois Highway Code by changing
2 Section 6-501.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Highway Code is amended by
6 changing Section 6-501 as follows:
7 (605 ILCS 5/6-501) (from Ch. 121, par. 6-501)
8 Sec. 6-501. Tax levy for road district.
9 (a) Findings and purpose. The General Assembly finds:
10 (1) That the financial conditions of the Township
11 and District road systems of the State of Illinois have
12 suffered adversely as a result of changes in law
13 concerning assessed valuation of property for tax
14 purposes. That as a result of the changes beginning in
15 1945, the rates of permissible levy were first halved to
16 accommodate full fair value, but never restored when
17 subsequent law change established the legal assessed
18 valuation at 50% of fair market value as equalized by the
19 Department of Revenue.
20 (2) Townships and district road systems, as a
21 result of the decreased financial support, have suffered
22 a decline in ability to maintain or improve roads and
23 bridges in a safe condition to permit the normal and
24 ordinary use of its highway system. In many instances
25 bridges have been closed and detours required because of
26 impossible road conditions resulting in hardships for
27 school districts in transporting pupils and for farms in
28 moving products to market.
29 (3) Further, cost for maintenance and improvements
30 have risen faster than the valuations of property, the
31 base of financial support.
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1 (4) To solve these problems, this Act makes changes
2 in rates of taxation -- returning Townships and District
3 road systems to their approximate financial viability
4 prior to 1945.
5 (b) The highway commissioner for each road district in
6 each county not under township organization shall on or
7 before the third Tuesday in December of each year determine
8 and certify to the county board the amount necessary to be
9 raised by taxation for road purposes and for the salaries of
10 elected road district officials in the road district.
11 Should any highway commissioner during the last year of
12 his term of office for any reason not file the certificate in
13 the office of the county clerk, as required by this Section,
14 in time for presentation to the regular September meeting of
15 the county board, the clerk shall present in lieu thereof a
16 certificate equal in amount to that presented for the
17 preceding year.
18 In every such county the certificate shall be filed in
19 the office of the county clerk and by that official presented
20 to the county board at the regular September meeting for the
21 consideration of the board. The amount so certified if
22 approved by the county board, or the part thereof as the
23 county board does approve, shall be extended by the county
24 clerk as road taxes against the taxable property of the
25 district.
26 (c) The highway commissioner in each road district in
27 each county having adopted township organization shall in
28 accordance with the Illinois Municipal Budget Law at least 30
29 days prior to the public meeting required by this paragraph,
30 each year prepare or cause to be prepared a tentative budget
31 and appropriation ordinance and file the same with the clerk
32 of the township or consolidated township road district, as
33 the case may be, who shall make the tentative budget and
34 appropriation ordinance conveniently available to the public
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1 inspection for at least 30 days prior to final action. One
2 public hearing shall be held. This public hearing shall be
3 held on or before the last day of the first quarter of the
4 fiscal year before the township board of trustees or the
5 highway board of trustees, as the case may be. Notice of the
6 hearing shall be given by publication in a newspaper
7 published in the road district at least 30 days prior to the
8 time of the hearing. If there is no newspaper published in
9 the road district, notice of the public hearing shall be
10 given by posting notices in 5 of the most public places in
11 the district. It shall be the duty of the clerk of the road
12 district to arrange for the public hearing. The township
13 board of trustees or highway board of trustees, as the case
14 may be, at the public hearing shall adopt the tentative
15 budget and appropriation ordinance, or any part as the board
16 of trustees deem necessary.
17 On or before the last Tuesday in December the township
18 board of trustees or highway board of trustees or road
19 district commissioner, as the case may be, shall levy and
20 certify to the county clerk the amount necessary to be raised
21 by taxation for road purposes and the road district
22 commissioner shall levy and certify to the county clerk the
23 amount necessary to be raised by taxation for the salaries of
24 elected road district officials in the road district, as
25 determined by the highway commissioner.
26 The amount so certified shall be extended by the county
27 clerk as road taxes against the taxable property of the
28 district.
29 On or after October 10, 1991, a road district
30 commissioner whose district is located in a county not under
31 township organization may not levy separately a tax for
32 salaries of elected road district officials unless the tax
33 has been first approved by a majority of the electors voting
34 on the question at a referendum conducted in accordance with
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1 the general election law. The question submitted to the
2 electors at the referendum shall be in substantially the
3 following form: "Shall the road district commissioner be
4 authorized to levy an annual tax for the salaries of elected
5 road district officials under Section 6-501 of the Illinois
6 Highway Code?"
7 Except as is otherwise permitted by this Code and when
8 the road district commissioner establishes the tax rate for
9 the salaries of elected road district officials, the county
10 clerk shall not extend taxes for road purposes against the
11 taxable property in any road district at rates in excess of
12 the following:
13 (1) in a road district comprised of a single
14 township in a county having township organization, at a
15 rate in excess of .125% of the value, as equalized or
16 assessed by the Department of Revenue; unless before the
17 last Tuesday in December annually the highway
18 commissioner of the township road district shall have
19 secured the consent in writing of a majority of the
20 members of the township board of trustees to the
21 extension of a greater rate, in which case the rate shall
22 not exceed that approved by a majority of the members of
23 the township board of trustees, but in no case shall it
24 exceed .165% of the value, as equalized or assessed by
25 the Department. Once approved by the township board of
26 trustees, the rate shall remain in effect until changed
27 by the township board of trustees;
28 (2) in a consolidated township road district, at a
29 rate in excess of .175% of the value, as equalized or
30 assessed by the Department of Revenue;
31 (3) in a road district in a county not having
32 township organization, at a rate in excess of .165% of
33 the value, as equalized or assessed by the Department of
34 Revenue.
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1 However, road districts that have higher tax rate
2 limitations on a permanent basis for road purposes on July 1,
3 1967, than the limitations herein provided, may continue to
4 levy the road taxes at the higher limitations, and the county
5 clerk shall extend the taxes at not to exceed the higher
6 limitations.
7 If the amount of taxes levied by the township board of
8 trustees or the highway board of trustees or approved by the
9 county board in any case is in excess of the amount that may
10 be extended the county clerk shall reduce the amount so that
11 the rate extended shall be no greater than authorized by law.
12 However, the tax shall not be reduced or scaled in any manner
13 whatever by reason of the levy and extension by the county
14 clerk of any tax to pay the principal or interest, or both,
15 of any bonds issued by a road district.
16 The taxes, when collected, shall be held by the treasurer
17 of the district as the regular road fund of the district.
18 Notwithstanding any other provision of law, for a period
19 of time ending 8 years after the effective date of this
20 amendatory Act of 1994, a road district or consolidated road
21 district may accumulate up to 50% of the taxes collected from
22 a subdivision under this Section for improvements of
23 nondedicated roads within the subdivision from which and for
24 which the taxes were collected. These nondedicated roads
25 will become a part of the township and district road system
26 if the roads meet the criteria established by the counties in
27 which the roads are located. The total accumulations under
28 this provision may not exceed 10% of the total funds held by
29 the district for road purposes. This provision applies only
30 to townships within counties adjacent to a county with a
31 population of 3,000,000 or more and only with respect to
32 subdivisions whose plats were filed or recorded before July
33 23, 1959.
34 Any road district may accumulate funds for the purpose of
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1 acquiring, constructing, repairing and improving buildings
2 and procuring land in relation to the building and for the
3 purpose of procuring road maintenance apparatus and
4 equipment, and for the construction of roads, and may
5 annually levy taxes for the purposes in excess of its current
6 requirements for other purposes, subject to the tax rate
7 limitations provided in this Section, provided that, in road
8 districts that are not subject to the Property Tax Extension
9 Limitation Law in the Property Tax Code, a proposition to
10 accumulate funds for the purposes is first submitted to and
11 approved by the electors of the district. The proposition
12 shall be certified to the proper election officials by the
13 district clerk upon the direction of the highway
14 commissioner, and the election officials shall submit the
15 proposition at a regular election. Notice and conduct of the
16 referendum shall be in accordance with the general election
17 law. The proposition shall be in substantially the following
18 form:
19 -------------------------------------------------------------
20 Shall.......... road district
21 accumulate funds in the amount
22 of $......... for........years YES
23 for the purpose of acquiring,
24 constructing, repairing and improving --------------------
25 buildings and procuring land
26 therefor, and for procuring road NO
27 maintenance apparatus and equipment
28 and for the construction of roads?
29 -------------------------------------------------------------
30 If a majority of the electors voting on the proposition
31 vote in favor of it, the road district may use a portion of
32 the funds levied, subject to the tax rate limitations
33 provided in this Section, for the purposes for which
34 accumulation was authorized. The annual budget and
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1 appropriation ordinance for the road district shall state the
2 amount, purpose, and duration of any accumulation of funds
3 authorized by this Section with specific reference to each
4 project to be constructed or the equipment to be purchased.
5 It shall not be a valid objection to any subsequent tax levy
6 made under this Section, that there remains unexpended money
7 arising from the levy of a prior year because of an
8 accumulation permitted by this Section and provided for in
9 the budget for that prior year.
10 (Source: P.A. 87-17; 87-738; 87-768; 87-895; 87-1189; 88-360;
11 88-673, eff. 7-1-95.)
12 Section 99. Effective date. This Act takes effect upon
13 becoming law.