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Public Act 095-0723 |
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AN ACT concerning local government.
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Be it enacted by the People of the State of Illinois, | ||||
represented in the General Assembly:
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Section 5. If and only if Senate Bill 2052 of the 95th | ||||
General Assembly becomes law, then the Flood Prevention | ||||
District Act is amended by changing Sections 5, 10, 20, 25, 30, | ||||
35, 40, 45, and 50 as follows: | ||||
(S.B. 2052eng, 95th G.A., Sec. 5)
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Sec. 5. Creation; purpose. | ||||
(a) Madison, Monroe, and St. Clair Counties may each be | ||||
designated independently and separately as a flood prevention | ||||
district for the purpose of performing emergency levee repair | ||||
and flood prevention in order to prevent the loss of life or | ||||
property. The county board of any such county may declare an | ||||
emergency and create a flood prevention district by the | ||||
affirmative vote of the majority of the members of the county | ||||
board. | ||||
(b) Two or more flood prevention districts may join | ||||
together through an intergovernmental agreement to provide any | ||||
services described in this Act, to construct, reconstruct, | ||||
repair, or otherwise provide any facilities described in this | ||||
Act either within or outside of any district's corporate | ||||
limits, to issue bonds, notes, or other evidences of |
indebtedness, to pledge the taxes authorized to be imposed | ||
pursuant to Section 25 of this Act to the obligations of any | ||
other district, and to exercise any other power authorized in | ||
this Act , pursuant to the Intergovernmental Cooperation Act. | ||
(c) Any district created under this Act shall be dissolved | ||
upon the later of (i) 25 years after the date the district is | ||
created or (ii) the payment of all obligations of the district | ||
issued under Section 20 of this Act and the payment of any | ||
federal reimbursement moneys to the county treasurer under | ||
Section 30 of this Act. A district may be dissolved earlier by | ||
its board of commissioners if all federal reimbursement moneys | ||
have been paid to the county treasurer and all obligations of | ||
the district have been paid, including its obligations related | ||
to bonds issued under Section 20 of this Act and any | ||
obligations incurred pursuant to an intergovernmental | ||
agreement.
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(Source: 95SB2052eng.) | ||
(S.B. 2052eng, 95th G.A., Sec. 10)
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Sec. 10. Commissioners. The affairs of the district shall | ||
be managed by a
board of 3 commissioners who shall be appointed | ||
by the chairman of the county board of the county in which the
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district is situated. All initial appointments under this | ||
Section must be made within 90 days after the district is | ||
organized. Of the initial appointments, one commissioner shall | ||
serve for a one-year term, one commissioner shall serve for a |
2-year term, and one commissioner shall serve for a 3-year | ||
term, as determined by lot. Their successors shall be appointed | ||
for 3-year terms. A commissioner shall continue to serve as | ||
commissioner until his or her successor is duly appointed. No | ||
commissioner may serve for more than 20 years. All appointments | ||
must be made so that no more than 2 commissioners are from the | ||
same political party at the time of the appointment. With | ||
respect to appointments representing the minority party in the | ||
county, the minority party members of the county board may | ||
submit names for consideration to the chairman of the county | ||
board. Each commissioner must be a
legal voter in the district, | ||
and at least one commissioner shall reside or own property that | ||
is located within a floodplain situated in the territory of the | ||
flood protection district. Commissioners shall serve without | ||
compensation, but may be reimbursed for reasonable expenses | ||
incurred in the performance of their duties.
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(Source: 95SB2052eng.)
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(S.B. 2052eng, 95th G.A., Sec. 20)
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Sec. 20. Powers of the district. A district formed under | ||
this Act shall have the following powers: | ||
(1) To sue or be sued. | ||
(2) To apply for and accept gifts, grants, and loans | ||
from any public agency or private entity. | ||
(3) To enter into intergovernmental agreements to | ||
further ensure levee repair, levee construction or |
reconstruction, and flood prevention, within or outside of | ||
the district's corporate limits, including agreements with | ||
the United States Army Corps of Engineers or any other | ||
agency or department of the federal government. | ||
(4) To undertake evaluation, planning, design, | ||
construction, and related activities that are determined | ||
to be urgently needed to stabilize, repair, restore, | ||
improve, or replace existing levees and other flood control | ||
systems located within or outside of the district's | ||
corporate limits . | ||
(5) To address underseepage problems and old and | ||
deteriorating pumps, gates, pipes, electrical controls, | ||
and other infrastructure within or outside of the | ||
district's corporate limits . | ||
(6) To conduct evaluations of levees and other flood | ||
control facilities that protect urban areas, including the | ||
performance of floodplain mapping studies. | ||
(7) To provide capital moneys for levee or | ||
river-related scientific studies, within or outside of the | ||
district's corporate limits, including the construction of | ||
facilities for such purposes. | ||
(8) To borrow money or receive money from the United | ||
States Government or any agency
thereof, or from any other | ||
public or private source, for the purposes of
the District | ||
and to issue indebtedness, including bonds, notes, or other | ||
evidences of indebtedness to evidence such borrowing, and |
to pledge and use some or all of the taxes imposed pursuant | ||
to Section 25 of this Act for the repayment of the | ||
indebtedness of the District or any other flood prevention | ||
districts. The District shall direct the county to use | ||
moneys in the County Flood Prevention Occupation Tax Fund | ||
to pay such indebtedness . | ||
(9) To enter into agreements with private property | ||
owners. | ||
(10) To issue revenue bonds, notes, or other evidences | ||
of indebtedness payable from revenue received from a | ||
retailers' occupation tax imposed under Section 25 of this | ||
Act, and from any other revenue sources available to the | ||
flood prevention district. These bonds may be
issued with | ||
maturities not exceeding 25 years from the date of the
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bonds, and in such amounts as may be necessary to provide | ||
sufficient
funds, together with interest, for the purposes | ||
of the District. These
bonds shall bear interest at a rate | ||
of not more than the maximum rate
authorized by the Bond | ||
Authorization Act, as amended at the time of the
making of | ||
the contract of sale, payable semi-annually, may be made
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registerable as to
principal, and may be made payable and | ||
callable as provided on any date at a price of
par and | ||
accrued interest under such terms and conditions as may be | ||
fixed by the
ordinance authorizing the issuance of the | ||
bonds. Bonds issued under this
Section are negotiable | ||
instruments. In case any officer whose signature appears on |
the
bonds or
coupons ceases to hold that office before the | ||
bonds are delivered, such
officer's
signature shall | ||
nevertheless be valid and sufficient for all purposes the
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same as though such officer had remained in office until | ||
the bonds
were delivered. The
bonds shall be sold in such | ||
manner and upon such terms as the board of commissioners
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shall determine, except that the selling price shall be | ||
such that the interest
cost to the District on of the | ||
proceeds of the bonds shall not exceed the maximum
rate | ||
authorized by the Bond Authorization Act, as amended at the | ||
time of the
making of the contract of sale, payable | ||
semi-annually, computed to maturity
according
to the | ||
standard table of bond values. Bonds issued by the District | ||
shall not be considered indebtedness for purposes of any | ||
statutory limitation and may be issued in an amount or | ||
amounts, including existing indebtedness, in excess of any | ||
heretofore or hereafter imposed statutory limitation as to | ||
indebtedness. A request to issue revenue bonds by the | ||
District Commission must be submitted for approval to the | ||
county board of the county in which the district is | ||
situated. The county board has 30 calendar days to approve | ||
the issuance of such bonds. If the county board does not | ||
approve or disapprove the issuance of the bonds within 30 | ||
calendar days after the receipt of such request, the | ||
request shall be deemed approved. The District shall direct | ||
the county to use moneys in the County Flood Prevention |
Occupation Tax Fund to pay for bonds issued. | ||
(11) To acquire property by gift, grant, or eminent | ||
domain, in accordance with the Eminent Domain Act. Any | ||
action by the District to acquire property by eminent | ||
domain requires the express approval of the county board. | ||
(12) To retain professional staff to carry out the | ||
functions of the District. Any flood prevention district | ||
shall employ a Chief Supervisor of Construction and the | ||
Works with appropriate professional qualifications, | ||
including a degree in engineering, construction, | ||
hydrology, or a related field, or an equivalent combination | ||
of education and experience. The Chief Supervisor of | ||
Construction and the Works shall be vested with the | ||
authority to carry out the duties and mission of the Flood | ||
Prevention District, pursuant to the direction and | ||
supervision of the Board of Commissioners. The Chief | ||
Supervisor of Construction and the Works may hire | ||
additional staff as necessary to carry out the duties and | ||
mission of the district, including administrative support | ||
personnel. Two or more districts may, through an | ||
intergovernmental agreement, share the services of a Chief | ||
Supervisor of Construction and the Works, support staff, or | ||
both. If 2 districts are adjoining and share a common | ||
federal levee, they must retain the services of the same | ||
person as Chief Supervisor of Construction and the Works. | ||
(13) To conduct an audit of any drainage, levee, or |
sanitary district within the territory of the flood | ||
prevention district.
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(14) To reimburse any county for costs advanced by the | ||
county for expenses that would have otherwise been paid out | ||
of the County Flood Prevention Occupation Tax Fund, had | ||
such fund been established at the time of the expenditure. | ||
Nothing in this Section shall be construed to permit a | ||
county to seek reimbursement from a flood prevention | ||
district for any expense related to levee maintenance, | ||
repair, improvement, construction, staff, operating | ||
expenses, levee or river-related scientific studies, the | ||
construction of facilities for any such purpose, or any | ||
other non-emergency levee related expense that occurred | ||
prior to an emergency situation involving the levees within | ||
such county. | ||
(Source: 95SB2052eng.)
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(S.B. 2052eng, 95th G.A., Sec. 25)
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Sec. 25. Flood prevention retailers' and service | ||
occupation taxes Retailers' occupation tax . | ||
(a) If the Board of Commissioners of a flood prevention | ||
district determines that an emergency situation exists | ||
regarding levee repair or flood prevention, and upon an | ||
ordinance confirming the determination or resolution adopted | ||
by the affirmative vote of a majority of the members of the | ||
county board of the county in which the district is situated, |
the county it may impose a flood prevention
retailers' | ||
occupation tax upon all persons engaged in the business of
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selling tangible personal property at retail within the | ||
territory of the district to provide revenue to pay the costs | ||
of providing emergency levee repair and flood prevention and to | ||
secure the payment of bonds, notes, and other evidences of | ||
indebtedness issued under this Act for a period not to exceed | ||
25 years or as required to repay the bonds , notes, and other | ||
evidences of indebtedness issued under this Act issued pursuant | ||
to Section 20 of this Act .
The tax rate shall be 0.25%
of the | ||
gross receipts from all taxable sales made in the course of | ||
that
business. The tax
imposed under this Section and all civil | ||
penalties that may be
assessed as an incident thereof shall be | ||
collected and enforced by the
State Department of Revenue. The | ||
Department shall have full power to
administer and enforce this | ||
Section; to collect all taxes and penalties
so collected in the | ||
manner hereinafter provided; and to determine all
rights to | ||
credit memoranda arising on account of the erroneous payment
of | ||
tax or penalty hereunder. | ||
In the administration of and compliance with this | ||
subsection, the Department and persons who are subject to this | ||
subsection (i) have the same rights, remedies, privileges, | ||
immunities, powers, and duties, (ii) are subject to the same | ||
conditions, restrictions, limitations, penalties, and | ||
definitions of terms, and (iii) shall employ the same modes of | ||
procedure as are set forth in Sections 1 through 1o, 2 through |
2-70 (in respect to all provisions contained in those Sections | ||
other than the State rate of tax), 2a through 2h, 3 (except as | ||
to the disposition of taxes and penalties collected), 4, 5, 5a, | ||
5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, | ||
11, 11a, 12, and 13 of the Retailers' Occupation Tax Act and | ||
all provisions of the Uniform Penalty and Interest Act as if | ||
those provisions were set forth in this subsection. | ||
Persons subject to any tax imposed under this Section may | ||
reimburse themselves for their seller's tax
liability | ||
hereunder by separately stating the tax as an additional
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charge, which charge may be stated in combination in a single | ||
amount
with State taxes that sellers are required to collect | ||
under the Use
Tax Act, under any bracket schedules the
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Department may prescribe. | ||
If a tax is imposed under this subsection (a), a tax shall | ||
also
be imposed under subsection (b) of this Section. | ||
(b) If a tax has been imposed under subsection (a), a flood | ||
prevention service occupation
tax shall
also be imposed upon | ||
all persons engaged within the territory of the district | ||
engaged in
the business of making sales of service, who, as an | ||
incident to making the sales
of service, transfer tangible | ||
personal property within the territory of the district ,
either | ||
in the form of tangible personal property or in the form of | ||
real estate
as an incident to a sale of service to provide | ||
revenue to pay the costs of providing emergency levee repair | ||
and flood prevention and to secure the payment of bonds, notes, |
and other evidences of indebtedness issued under this Act for a | ||
period not to exceed 25 years or as required to repay the | ||
bonds, notes, and other evidences of indebtedness . The tax rate | ||
shall be 0.25% of the selling price
of all tangible personal | ||
property transferred. | ||
The tax imposed under this subsection and all civil
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penalties that may be assessed as an incident thereof shall be | ||
collected
and enforced by the State Department of Revenue. The | ||
Department shall
have full power to administer and enforce this | ||
subsection; to collect all
taxes and penalties due hereunder; | ||
to dispose of taxes and penalties
collected in the manner | ||
hereinafter provided; and to determine all
rights to credit | ||
memoranda arising on account of the erroneous payment
of tax or | ||
penalty hereunder. | ||
In the administration of and compliance with this | ||
subsection, the Department and persons who are subject to this | ||
subsection shall (i) have the same rights, remedies, | ||
privileges, immunities, powers, and duties, (ii) be subject to | ||
the same conditions, restrictions, limitations, penalties, and | ||
definitions of terms, and (iii) employ the same modes of | ||
procedure as are set forth in Sections 2 (except that the that | ||
reference to State in the definition of supplier maintaining a | ||
place of business in this State means the district), 2a through | ||
2d, 3 through 3-50 (in respect to all provisions contained in | ||
those Sections other than the State rate of tax), 4 (except | ||
that the reference to the State shall be to the district), 5, |
7, 8 (except that the jurisdiction to which the tax is a debt | ||
to the extent indicated in that Section 8 is the district), 9 | ||
(except as to the disposition of taxes and penalties | ||
collected), 10, 11, 12 (except the reference therein to Section | ||
2b of the Retailers' Occupation Tax Act), 13 (except that any | ||
reference to the State means the district), Section 15, 16, 17, | ||
18, 19, and 20 of the Service Occupation Tax Act and all | ||
provisions of the Uniform Penalty and Interest Act, as fully as | ||
if those provisions were set forth herein. | ||
Persons subject to any tax imposed under the authority | ||
granted
in this subsection may reimburse themselves for their | ||
serviceman's tax
liability hereunder by separately stating the | ||
tax as an additional
charge, that charge may be stated in | ||
combination in a single amount
with State tax that servicemen | ||
are authorized to collect under the
Service Use Tax Act, under | ||
any bracket schedules the
Department may prescribe. | ||
(c) The taxes This additional tax imposed in subsections | ||
(a) and (b) may not be imposed on personal property titled or | ||
registered with an agency of the State; food for human | ||
consumption that is to be consumed off the premises where it is | ||
sold (other than alcoholic beverages, soft drinks, and food | ||
that has been prepared for immediate consumption); | ||
prescription and non-prescription medicines, drugs, and | ||
medical appliances; modifications to a motor vehicle for the | ||
purpose of rendering it usable by a disabled person; or | ||
insulin, urine testing materials, and syringes and needles used |
by diabetics. | ||
(d) Nothing in this Section shall be construed to authorize | ||
the
district to impose a tax upon the privilege of engaging in | ||
any business
that under the Constitution of the United States | ||
may not be made the
subject of taxation by the State. | ||
(e) The certificate of registration that is issued by the | ||
Department to a retailer under the Retailers' Occupation Tax | ||
Act or a serviceman under the Service Occupation Tax Act | ||
permits the retailer or serviceman to engage in a business that | ||
is taxable without registering separately with the Department | ||
under an ordinance or resolution under this Section. | ||
(f) The Department shall immediately pay over to the State | ||
Treasurer, ex officio, as trustee, all taxes and penalties | ||
collected under this Section to be deposited into the Flood | ||
Prevention Occupation Tax Fund, which shall be an | ||
unappropriated trust fund held outside the State treasury. | ||
On or before the 25th day of each calendar month, the | ||
Department shall prepare and certify to the Comptroller the | ||
that disbursement of stated sums of money to the counties from | ||
which retailers or servicemen have paid taxes or penalties to | ||
the Department during the second preceding calendar month. The | ||
amount to be paid to each county is equal to the amount (not | ||
including credit memoranda) collected from the county under | ||
this Section during the second preceding calendar month by the | ||
Department, (i) less 2% of that amount, which shall be | ||
deposited into the Tax Compliance and Administration Fund and |
shall be used by the Department in administering and enforcing | ||
the provisions of this Section on behalf of the county, (ii) | ||
plus an amount that the Department determines is necessary to | ||
offset any amounts that were erroneously paid to a different | ||
taxing body; (iii) less an amount equal to the amount of | ||
refunds made during the second preceding calendar month by the | ||
Department on behalf of the county; and (iv) less any amount | ||
that the Department determines is necessary to offset any | ||
amounts that were payable to a different taxing body but were | ||
erroneously paid to the county. When certifying the amount of a | ||
monthly disbursement to a county under this Section, the | ||
Department shall increase or decrease the amounts by an amount | ||
necessary to offset any miscalculation of previous | ||
disbursements within the previous 6 months from the time a | ||
miscalculation is discovered. | ||
Within 10 days after receipt by the Comptroller from the | ||
Department of the disbursement certification to the counties | ||
provided for in this Section, the Comptroller shall cause the | ||
orders to be drawn for the respective amounts in accordance | ||
with directions contained in the certification. | ||
If the Department determines that a refund should be made | ||
under this Section to a claimant instead of issuing a credit | ||
memorandum, then the Department shall notify the Comptroller, | ||
who shall cause the order to be drawn for the amount specified | ||
and to the person named in the notification from the | ||
Department. The refund shall be paid by the Treasurer out of |
the Flood Prevention Occupation Tax Fund. | ||
(g) If a county flood prevention district board imposes a | ||
tax under this Section, then the county board shall, by | ||
ordinance, discontinue the tax upon the payment of all bonded | ||
indebtedness of the flood prevention district District . The tax | ||
shall not be discontinued until all bonded indebtedness of the | ||
District has been paid. | ||
(h) Any ordinance imposing the tax under this Section, or | ||
any ordinance that discontinues the tax, must be certified by | ||
the county clerk and filed with the Illinois Department of | ||
Revenue either (i) on or before the first day of April, | ||
whereupon the Department shall proceed to administer and | ||
enforce the tax or change in the rate as of the first day of | ||
July next following the filing; or (ii) on or before the first | ||
day of October, whereupon the Department shall proceed to | ||
administer and enforce the tax or change in the rate as of the | ||
first day of January next following the filing. | ||
(j) County Flood Prevention Occupation Tax Fund. All | ||
proceeds received by a county from a tax distribution under | ||
this Section must be maintained in a special fund known as the | ||
[name of county] flood prevention occupation tax fund. The | ||
county shall, at the direction of the flood prevention | ||
district, use moneys in the fund to pay the costs of providing | ||
emergency levee repair and flood prevention and to pay bonds, | ||
notes, and other evidences of indebtedness issued under this | ||
Act. |
(k) (j) This Section may be cited as the Flood Prevention | ||
Occupation Tax Law.
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(Source: 95SB2052eng.)
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(S.B. 2052eng, 95th G.A., Sec. 30)
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Sec. 30. Disbursement of federal funds. | ||
(a) Any reimbursements for the construction of flood | ||
protection facilities shall be appropriated to each county | ||
flood prevention district in accordance with the location of | ||
the specific facility for which the federal appropriation is | ||
made. | ||
(b) If there are federal reimbursements to a county flood | ||
prevention district for construction of flood protection | ||
facilities that were built using the proceeds of bonds, notes, | ||
or other evidences of indebtedness revenues authorized by this | ||
Act, those funds shall be used for early retirement of such | ||
bonds , notes, or other evidences of indebtedness issued in | ||
accordance with this Act. | ||
(c) When all bonds, notes, or other evidences of | ||
indebtedness bond obligations of the District have been paid, | ||
any remaining federal reimbursement moneys shall be remitted to | ||
the county treasurer for deposit into a special fund for the | ||
continued long-term maintenance of federal levees and flood | ||
protection facilities, pursuant to the direction of the county | ||
board.
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(Source: 95SB2052eng.)
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(S.B. 2052eng, 95th G.A., Sec. 35)
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Sec. 35. Financial audit of the District Commission . A | ||
financial audit of the District Commission shall be conducted | ||
annually by a certified public accountant (CPA) that is | ||
licensed at the time of the audit by the Illinois Department of | ||
Financial and Professional Regulation. The CPA shall meet all | ||
of the general standards concerning qualifications, | ||
independence, due professional care, and quality control as | ||
required by the Government Auditing Standards, 1994 Revision, | ||
Chapter 3, including the requirements for continuing | ||
professional education and external peer review. The financial | ||
audit is to be performed in accordance with generally accepted | ||
auditing standards issued by the American Institute of | ||
Certified Public Accountants (AICPA) for field work and | ||
reporting, generally accepted government auditing standards | ||
(GAGAS) and AICPA Statements on Auditing Standards (SAS) | ||
current at the time the audit is commenced. The audit shall be | ||
made publicly available and sent to the county board chairman | ||
of the county in which the district is situated and to the | ||
Illinois Secretary of State.
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(Source: 95SB2052eng.) | ||
(S.B. 2052eng, 95th G.A., Sec. 40)
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Sec. 40. Budget of the District Commission . The District | ||
Commission shall adopt an annual budget by August 31 of each |
year for the fiscal year beginning October 1. Such budget shall | ||
include expected revenues by source and expenditures by project | ||
or by function for the following year. The budget must be | ||
approved by the county board of the county in which the | ||
district is situated prior to any expenditure by the District | ||
Commission for the fiscal year beginning October 1. The county | ||
board must approve or disapprove the budget of the District | ||
commission within 30 calendar days after the budget is received | ||
by the county board. If the county board does not act to | ||
approve or disapprove the budget within 30 calendar days of | ||
receipt, it shall stand as approved. | ||
In addition, the District Commission shall submit an annual | ||
report to the county board by August 31 of each year detailing | ||
the activities of the district. This report must also include | ||
any information submitted to the flood prevention district by a | ||
drainage, levee, or sanitary district in accordance with | ||
Section 4-45 of the Illinois Drainage Code or Section 2-2 of | ||
the Metro-East Sanitary District Act.
| ||
(Source: 95SB2052eng.) | ||
(S.B. 2052eng, 95th G.A., Sec. 45)
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Sec. 45. Procurement. The District Commission shall | ||
conduct all procurements in accordance with the requirements of | ||
the Local Government Professional Services Selection Act and | ||
any competitive bid requirements contained in Section 5-1022 of | ||
the Counties Code.
|
(Source: 95SB2052eng.) | ||
(S.B. 2052eng, 95th G.A., Sec. 50)
| ||
Sec. 50. Contracts for construction. A request for any | ||
construction contract of more than $10,000 by the District | ||
Commission must be submitted for approval to the county board | ||
of the county in which the district is situated. The county | ||
board has 30 calendar days to approve the construction | ||
contract. If the county board does not approve or disapprove | ||
the construction contract within 30 calendar days after the | ||
receipt of such request, the request shall be deemed approved.
| ||
(Source: 95SB2052eng.) | ||
Section 10. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Intergovernmental | ||
Cooperation Act is amended by changing Section 3.9 as follows: | ||
(5 ILCS 220/3.9)
| ||
Sec. 3.9. Flood prevention. Two or more county flood | ||
prevention districts may enter into an intergovernmental | ||
agreement to provide any services authorized in the Flood | ||
Prevention District Act , to construct, reconstruct, repair, or | ||
otherwise provide any facilities described in that Act either | ||
within or outside of any district's corporate limits, to issue | ||
bonds, notes, or other evidences of indebtedness, to pledge the | ||
taxes authorized to be imposed pursuant to Section 25 of that |
Act to the obligations of any other district, and to exercise | ||
any other power authorized in that Act .
| ||
(Source: 95SB2052eng.) | ||
Section 20. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Use Tax Act is amended | ||
by changing Section 2 as follows:
| ||
(35 ILCS 105/2) (from Ch. 120, par. 439.2)
| ||
Sec. 2. "Use" means the exercise by any person of any right | ||
or power over
tangible personal property incident to the | ||
ownership of that property,
except that it does not include the | ||
sale of such property in any form as
tangible personal property | ||
in the regular course of business to the extent
that such | ||
property is not first subjected to a use for which it was
| ||
purchased, and does not include the use of such property by its | ||
owner for
demonstration purposes: Provided that the property | ||
purchased is deemed to
be purchased for the purpose of resale, | ||
despite first being used, to the
extent to which it is resold | ||
as an ingredient of an intentionally produced
product or | ||
by-product of manufacturing. "Use" does not mean the | ||
demonstration
use or interim use of tangible personal property | ||
by a retailer before he sells
that tangible personal property. | ||
For watercraft or aircraft, if the period of
demonstration use | ||
or interim use by the retailer exceeds 18 months,
the retailer
| ||
shall pay on the retailers' original cost price the tax imposed |
by this Act,
and no credit for that tax is permitted if the | ||
watercraft or aircraft is
subsequently sold by the retailer. | ||
"Use" does not mean the physical
incorporation of tangible | ||
personal property, to the extent not first subjected
to a use | ||
for which it was purchased, as an ingredient or constituent, | ||
into
other tangible personal property (a) which is sold in the | ||
regular course of
business or (b) which the person | ||
incorporating such ingredient or constituent
therein has | ||
undertaken at the time of such purchase to cause to be | ||
transported
in interstate commerce to destinations outside the | ||
State of Illinois: Provided
that the property purchased is | ||
deemed to be purchased for the purpose of
resale, despite first | ||
being used, to the extent to which it is resold as an
| ||
ingredient of an intentionally produced product or by-product | ||
of manufacturing.
| ||
"Watercraft" means a Class 2, Class 3, or Class 4 | ||
watercraft as defined in
Section 3-2 of the Boat Registration | ||
and Safety Act, a personal watercraft, or
any boat equipped | ||
with an inboard motor.
| ||
"Purchase at retail" means the acquisition of the ownership | ||
of or title
to tangible personal property through a sale at | ||
retail.
| ||
"Purchaser" means anyone who, through a sale at retail, | ||
acquires the
ownership of tangible personal property for a | ||
valuable consideration.
| ||
"Sale at retail" means any transfer of the ownership of or |
title to
tangible personal property to a purchaser, for the | ||
purpose of use, and not
for the purpose of resale in any form | ||
as tangible personal property to the
extent not first subjected | ||
to a use for which it was purchased, for a
valuable | ||
consideration: Provided that the property purchased is deemed | ||
to
be purchased for the purpose of resale, despite first being | ||
used, to the
extent to which it is resold as an ingredient of | ||
an intentionally produced
product or by-product of | ||
manufacturing. For this purpose, slag produced as
an incident | ||
to manufacturing pig iron or steel and sold is considered to be
| ||
an intentionally produced by-product of manufacturing. "Sale | ||
at retail"
includes any such transfer made for resale unless | ||
made in compliance with
Section 2c of the Retailers' Occupation | ||
Tax Act, as incorporated by
reference into Section 12 of this | ||
Act. Transactions whereby the possession
of the property is | ||
transferred but the seller retains the title as security
for | ||
payment of the selling price are sales.
| ||
"Sale at retail" shall also be construed to include any | ||
Illinois
florist's sales transaction in which the purchase | ||
order is received in
Illinois by a florist and the sale is for | ||
use or consumption, but the
Illinois florist has a florist in | ||
another state deliver the property to the
purchaser or the | ||
purchaser's donee in such other state.
| ||
Nonreusable tangible personal property that is used by | ||
persons engaged in
the business of operating a restaurant, | ||
cafeteria, or drive-in is a sale for
resale when it is |
transferred to customers in the ordinary course of business
as | ||
part of the sale of food or beverages and is used to deliver, | ||
package, or
consume food or beverages, regardless of where | ||
consumption of the food or
beverages occurs. Examples of those | ||
items include, but are not limited to
nonreusable, paper and | ||
plastic cups, plates, baskets, boxes, sleeves, buckets
or other | ||
containers, utensils, straws, placemats, napkins, doggie bags, | ||
and
wrapping or packaging
materials that are transferred to | ||
customers as part of the sale of food or
beverages in the | ||
ordinary course of business.
| ||
The purchase, employment and transfer of such tangible | ||
personal property
as newsprint and ink for the primary purpose | ||
of conveying news (with or
without other information) is not a | ||
purchase, use or sale of tangible
personal property.
| ||
"Selling price" means the consideration for a sale valued | ||
in money
whether received in money or otherwise, including | ||
cash, credits, property
other than as hereinafter provided, and | ||
services, but not including the
value of or credit given for | ||
traded-in tangible personal property where the
item that is | ||
traded-in is of like kind and character as that which is being
| ||
sold, and shall be determined without any deduction on account | ||
of the cost
of the property sold, the cost of materials used, | ||
labor or service cost or
any other expense whatsoever, but does | ||
not include interest or finance
charges which appear as | ||
separate items on the bill of sale or sales
contract nor | ||
charges that are added to prices by sellers on account of the
|
seller's tax liability under the "Retailers' Occupation Tax | ||
Act", or on
account of the seller's duty to collect, from the | ||
purchaser, the tax that
is imposed by this Act, or, except as | ||
otherwise provided with respect to any cigarette tax imposed by | ||
a home rule unit, on account of the seller's tax liability | ||
under any local occupation tax administered by the Department, | ||
or, except as otherwise provided with respect to any cigarette | ||
tax imposed by a home rule unit on account of the seller's duty | ||
to collect, from the purchasers, the tax that is imposed under | ||
any local use tax administered by the Department or on account | ||
of the seller's tax liability under
Section 8-11-1 of the | ||
Illinois Municipal Code, as heretofore and hereafter
amended, | ||
or on account of the seller's tax liability under the "County
| ||
Retailers' Occupation Tax Act" . Effective December 1, 1985, | ||
"selling price"
shall include charges that are added to prices | ||
by sellers on account of the
seller's tax liability under the | ||
Cigarette Tax Act, on account of the seller's
duty to collect, | ||
from the purchaser, the tax imposed under the Cigarette Use
Tax | ||
Act, and on account of the seller's duty to collect, from the | ||
purchaser,
any cigarette tax imposed by a home rule unit.
| ||
The phrase "like kind and character" shall be liberally | ||
construed
(including but not limited to any form of motor | ||
vehicle for any form of
motor vehicle, or any kind of farm or | ||
agricultural implement for any other
kind of farm or | ||
agricultural implement), while not including a kind of item
| ||
which, if sold at retail by that retailer, would be exempt from |
retailers'
occupation tax and use tax as an isolated or | ||
occasional sale.
| ||
"Department" means the Department of Revenue.
| ||
"Person" means any natural individual, firm, partnership, | ||
association,
joint stock company, joint adventure, public or | ||
private corporation, limited
liability company, or a
receiver, | ||
executor, trustee, guardian or other representative appointed
| ||
by order of any court.
| ||
"Retailer" means and includes every person engaged in the | ||
business of
making sales at retail as defined in this Section.
| ||
A person who holds himself or herself out as being engaged | ||
(or who habitually
engages) in selling tangible personal | ||
property at retail is a retailer
hereunder with respect to such | ||
sales (and not primarily in a service
occupation) | ||
notwithstanding the fact that such person designs and produces
| ||
such tangible personal property on special order for the | ||
purchaser and in
such a way as to render the property of value | ||
only to such purchaser, if
such tangible personal property so | ||
produced on special order serves
substantially the same | ||
function as stock or standard items of tangible
personal | ||
property that are sold at retail.
| ||
A person whose activities are organized and conducted | ||
primarily as a
not-for-profit service enterprise, and who | ||
engages in selling tangible
personal property at retail | ||
(whether to the public or merely to members and
their guests) | ||
is a retailer with respect to such transactions, excepting
only |
a person organized and operated exclusively for charitable, | ||
religious
or educational purposes either (1), to the extent of | ||
sales by such person
to its members, students, patients or | ||
inmates of tangible personal property
to be used primarily for | ||
the purposes of such person, or (2), to the extent
of sales by | ||
such person of tangible personal property which is not sold or
| ||
offered for sale by persons organized for profit. The selling | ||
of school
books and school supplies by schools at retail to | ||
students is not
"primarily for the purposes of" the school | ||
which does such selling. This
paragraph does not apply to nor | ||
subject to taxation occasional dinners,
social or similar | ||
activities of a person organized and operated exclusively
for | ||
charitable, religious or educational purposes, whether or not | ||
such
activities are open to the public.
| ||
A person who is the recipient of a grant or contract under | ||
Title VII of
the Older Americans Act of 1965 (P.L. 92-258) and | ||
serves meals to
participants in the federal Nutrition Program | ||
for the Elderly in return for
contributions established in | ||
amount by the individual participant pursuant
to a schedule of | ||
suggested fees as provided for in the federal Act is not a
| ||
retailer under this Act with respect to such transactions.
| ||
Persons who engage in the business of transferring tangible | ||
personal
property upon the redemption of trading stamps are | ||
retailers hereunder when
engaged in such business.
| ||
The isolated or occasional sale of tangible personal | ||
property at retail
by a person who does not hold himself out as |
being engaged (or who does not
habitually engage) in selling | ||
such tangible personal property at retail or
a sale through a | ||
bulk vending machine does not make such person a retailer
| ||
hereunder. However, any person who is engaged in a business | ||
which is not
subject to the tax imposed by the "Retailers' | ||
Occupation Tax Act" because
of involving the sale of or a | ||
contract to sell real estate or a
construction contract to | ||
improve real estate, but who, in the course of
conducting such | ||
business, transfers tangible personal property to users or
| ||
consumers in the finished form in which it was purchased, and | ||
which does
not become real estate, under any provision of a | ||
construction contract or
real estate sale or real estate sales | ||
agreement entered into with some
other person arising out of or | ||
because of such nontaxable business, is a
retailer to the | ||
extent of the value of the tangible personal property so
| ||
transferred. If, in such transaction, a separate charge is made | ||
for the
tangible personal property so transferred, the value of | ||
such property, for
the purposes of this Act, is the amount so | ||
separately charged, but not less
than the cost of such property | ||
to the transferor; if no separate charge is
made, the value of | ||
such property, for the purposes of this Act, is the cost
to the | ||
transferor of such tangible personal property.
| ||
"Retailer maintaining a place of business in this State", | ||
or any like
term, means and includes any of the following | ||
retailers:
| ||
1. A retailer having or maintaining within this State, |
directly or by
a subsidiary, an office, distribution house, | ||
sales house, warehouse or other
place of business, or any | ||
agent or other representative operating within this
State | ||
under the authority of the retailer or its subsidiary, | ||
irrespective of
whether such place of business or agent or | ||
other representative is located here
permanently or | ||
temporarily, or whether such retailer or subsidiary is | ||
licensed
to do business in this State. However, the | ||
ownership of property that is
located at the premises of a | ||
printer with which the retailer has contracted for
printing | ||
and that consists of the final printed product, property | ||
that becomes
a part of the final printed product, or copy | ||
from which the printed product is
produced shall not result | ||
in the retailer being deemed to have or maintain an
office, | ||
distribution house, sales house, warehouse, or other place | ||
of business
within this State.
| ||
2. A retailer soliciting orders for tangible personal | ||
property by
means of a telecommunication or television | ||
shopping system (which utilizes toll
free numbers) which is | ||
intended by the retailer to be broadcast by cable
| ||
television or other means of broadcasting, to consumers | ||
located in this State.
| ||
3. A retailer, pursuant to a contract with a | ||
broadcaster or publisher
located in this State, soliciting | ||
orders for tangible personal property by
means of | ||
advertising which is disseminated primarily to consumers |
located in
this State and only secondarily to bordering | ||
jurisdictions.
| ||
4. A retailer soliciting orders for tangible personal | ||
property by mail
if the solicitations are substantial and | ||
recurring and if the retailer benefits
from any banking, | ||
financing, debt collection, telecommunication, or | ||
marketing
activities occurring in this State or benefits | ||
from the location in this State
of authorized installation, | ||
servicing, or repair facilities.
| ||
5. A retailer that is owned or controlled by the same | ||
interests that own
or control any retailer engaging in | ||
business in the same or similar line of
business in this | ||
State.
| ||
6. A retailer having a franchisee or licensee operating | ||
under its trade
name if the franchisee or licensee is | ||
required to collect the tax under this
Section.
| ||
7. A retailer, pursuant to a contract with a cable | ||
television operator
located in this State, soliciting | ||
orders for tangible personal property by
means of | ||
advertising which is transmitted or distributed over a | ||
cable
television system in this State.
| ||
8. A retailer engaging in activities in Illinois, which | ||
activities in
the state in which the retail business | ||
engaging in such activities is located
would constitute | ||
maintaining a place of business in that state.
| ||
"Bulk vending machine" means a vending machine,
containing |
unsorted confections, nuts, toys, or other items designed
| ||
primarily to be used or played with by children
which, when a | ||
coin or coins of a denomination not larger than $0.50 are | ||
inserted, are dispensed in equal portions, at random and
| ||
without selection by the customer.
| ||
(Source: P.A. 94-1074, eff. 12-26-06.)
| ||
Section 30. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Retailers' Occupation | ||
Tax Act is amended by changing Section 1 as follows:
| ||
(35 ILCS 120/1) (from Ch. 120, par. 440)
| ||
Sec. 1. Definitions. "Sale at retail" means any transfer of | ||
the
ownership of or title to
tangible personal property to a | ||
purchaser, for the purpose of use or
consumption, and not for | ||
the purpose of resale in any form as tangible
personal property | ||
to the extent not first subjected to a use for which it
was | ||
purchased, for a valuable consideration: Provided that the | ||
property
purchased is deemed to be purchased for the purpose of | ||
resale, despite
first being used, to the extent to which it is | ||
resold as an ingredient of
an intentionally produced product or | ||
byproduct of manufacturing. For this
purpose, slag produced as | ||
an incident to manufacturing pig iron or steel
and sold is | ||
considered to be an intentionally produced byproduct of
| ||
manufacturing. Transactions whereby the possession of the | ||
property is
transferred but the seller retains the title as |
security for payment of the
selling price shall be deemed to be | ||
sales.
| ||
"Sale at retail" shall be construed to include any transfer | ||
of the
ownership of or title to tangible personal property to a | ||
purchaser, for use
or consumption by any other person to whom | ||
such purchaser may transfer the
tangible personal property | ||
without a valuable consideration, and to include
any transfer, | ||
whether made for or without a valuable consideration, for
| ||
resale in any form as tangible personal property unless made in | ||
compliance
with Section 2c of this Act.
| ||
Sales of tangible personal property, which property, to the | ||
extent not
first subjected to a use for which it was purchased, | ||
as an ingredient or
constituent, goes into and forms a part of | ||
tangible personal property
subsequently the subject of a "Sale | ||
at retail", are not sales at retail as
defined in this Act: | ||
Provided that the property purchased is deemed to be
purchased | ||
for the purpose of resale, despite first being used, to the
| ||
extent to which it is resold as an ingredient of an | ||
intentionally produced
product or byproduct of manufacturing.
| ||
"Sale at retail" shall be construed to include any Illinois | ||
florist's
sales transaction in which the purchase order is | ||
received in Illinois by a
florist and the sale is for use or | ||
consumption, but the Illinois florist
has a florist in another | ||
state deliver the property to the purchaser or the
purchaser's | ||
donee in such other state.
| ||
Nonreusable tangible personal property that is used by |
persons engaged in
the business of operating a restaurant, | ||
cafeteria, or drive-in is a sale for
resale when it is | ||
transferred to customers in the ordinary course of business
as | ||
part of the sale of food or beverages and is used to deliver, | ||
package, or
consume food or beverages, regardless of where | ||
consumption of the food or
beverages occurs. Examples of those | ||
items include, but are not limited to
nonreusable, paper and | ||
plastic cups, plates, baskets, boxes, sleeves, buckets
or other | ||
containers, utensils, straws, placemats, napkins, doggie bags, | ||
and
wrapping or packaging
materials that are transferred to | ||
customers as part of the sale of food or
beverages in the | ||
ordinary course of business.
| ||
The purchase, employment and transfer of such tangible | ||
personal property
as newsprint and ink for the primary purpose | ||
of conveying news (with or
without other information) is not a | ||
purchase, use or sale of tangible
personal property.
| ||
A person whose activities are organized and conducted | ||
primarily as a
not-for-profit service enterprise, and who | ||
engages in selling tangible
personal property at retail | ||
(whether to the public or merely to members and
their guests) | ||
is engaged in the business of selling tangible personal
| ||
property at retail with respect to such transactions, excepting | ||
only a
person organized and operated exclusively for | ||
charitable, religious or
educational purposes either (1), to | ||
the extent of sales by such person to
its members, students, | ||
patients or inmates of tangible personal property to
be used |
primarily for the purposes of such person, or (2), to the | ||
extent of
sales by such person of tangible personal property | ||
which is not sold or
offered for sale by persons organized for | ||
profit. The selling of school
books and school supplies by | ||
schools at retail to students is not
"primarily for the | ||
purposes of" the school which does such selling. The
provisions | ||
of this paragraph shall not apply to nor subject to taxation
| ||
occasional dinners, socials or similar activities of a person | ||
organized and
operated exclusively for charitable, religious | ||
or educational purposes,
whether or not such activities are | ||
open to the public.
| ||
A person who is the recipient of a grant or contract under | ||
Title VII of
the Older Americans Act of 1965 (P.L. 92-258) and | ||
serves meals to
participants in the federal Nutrition Program | ||
for the Elderly in return for
contributions established in | ||
amount by the individual participant pursuant
to a schedule of | ||
suggested fees as provided for in the federal Act is not
| ||
engaged in the business of selling tangible personal property | ||
at retail
with respect to such transactions.
| ||
"Purchaser" means anyone who, through a sale at retail, | ||
acquires the
ownership of or title to tangible personal | ||
property for a valuable
consideration.
| ||
"Reseller of motor fuel" means any person engaged in the | ||
business of selling
or delivering or transferring title of | ||
motor fuel to another person
other than for use or consumption.
| ||
No person shall act as a reseller of motor fuel within this |
State without
first being registered as a reseller pursuant to | ||
Section 2c or a retailer
pursuant to Section 2a.
| ||
"Selling price" or the "amount of sale" means the | ||
consideration for a
sale valued in money whether received in | ||
money or otherwise, including
cash, credits, property, other | ||
than as hereinafter provided, and services,
but not including | ||
the value of or credit given for traded-in tangible
personal | ||
property where the item that is traded-in is of like kind and
| ||
character as that which is being sold, and shall be determined | ||
without any
deduction on account of the cost of the property | ||
sold, the cost of
materials used, labor or service cost or any | ||
other expense whatsoever, but
does not include charges that are | ||
added to prices by sellers on account of
the seller's tax | ||
liability under this Act, or on account of the seller's
duty to | ||
collect, from the purchaser, the tax that is imposed by the Use | ||
Tax
Act, or, except as otherwise provided with respect to any | ||
cigarette tax imposed by a home rule unit, on account of the | ||
seller's tax liability under any local occupation tax | ||
administered by the Department, or, except as otherwise | ||
provided with respect to any cigarette tax imposed by a home | ||
rule unit on account of the seller's duty to collect, from the | ||
purchasers, the tax that is imposed under any local use tax | ||
administered by the Department or on account of the seller's | ||
tax liability under Section 8-11-1 of
the Illinois Municipal | ||
Code, as heretofore and hereafter amended, or on
account of the | ||
seller's tax liability under the County Retailers'
Occupation |
Tax Act, or on account of the seller's tax liability under the
| ||
Home Rule Municipal Soft Drink Retailers' Occupation Tax,
or on | ||
account of the seller's tax liability under any tax imposed | ||
under the
"Regional Transportation Authority Act", approved | ||
December 12, 1973 .
Effective December 1, 1985, "selling price" | ||
shall include charges that
are added to prices by sellers on | ||
account of the seller's
tax liability under the Cigarette Tax | ||
Act, on account of the sellers'
duty to collect, from the | ||
purchaser, the tax imposed under the Cigarette
Use Tax Act, and | ||
on account of the seller's duty to collect, from the
purchaser, | ||
any cigarette tax imposed by a home rule unit.
| ||
The phrase "like kind and character" shall be liberally | ||
construed
(including but not limited to any form of motor | ||
vehicle for any form of
motor vehicle, or any kind of farm or | ||
agricultural implement for any other
kind of farm or | ||
agricultural implement), while not including a kind of item
| ||
which, if sold at retail by that retailer, would be exempt from | ||
retailers'
occupation tax and use tax as an isolated or | ||
occasional sale.
| ||
"Gross receipts" from the sales of tangible personal | ||
property at retail
means the total selling price or the amount | ||
of such sales, as hereinbefore
defined. In the case of charge | ||
and time sales, the amount thereof shall be
included only as | ||
and when payments are received by the seller.
Receipts or other | ||
consideration derived by a seller from
the sale, transfer or | ||
assignment of accounts receivable to a wholly owned
subsidiary |
will not be deemed payments prior to the time the purchaser
| ||
makes payment on such accounts.
| ||
"Department" means the Department of Revenue.
| ||
"Person" means any natural individual, firm, partnership, | ||
association,
joint stock company, joint adventure, public or | ||
private corporation, limited
liability company, or a receiver, | ||
executor, trustee, guardian or other
representative appointed | ||
by order of any court.
| ||
The isolated or occasional sale of tangible personal | ||
property at retail
by a person who does not hold himself out as | ||
being engaged (or who does not
habitually engage) in selling | ||
such tangible personal property at retail, or
a sale through a | ||
bulk vending machine, does not constitute engaging in a
| ||
business of selling such tangible personal property at retail | ||
within the
meaning of this Act; provided that any person who is | ||
engaged in a business
which is not subject to the tax imposed | ||
by this Act because of involving
the sale of or a contract to | ||
sell real estate or a construction contract to
improve real | ||
estate or a construction contract to engineer, install, and
| ||
maintain an integrated system of products, but who, in the | ||
course of
conducting such business,
transfers tangible | ||
personal property to users or consumers in the finished
form in | ||
which it was purchased, and which does not become real estate | ||
or was
not engineered and installed, under any provision of a | ||
construction contract or
real estate sale or real estate sales | ||
agreement entered into with some other
person arising out of or |
because of such nontaxable business, is engaged in the
business | ||
of selling tangible personal property at retail to the extent | ||
of the
value of the tangible personal property so transferred. | ||
If, in such a
transaction, a separate charge is made for the | ||
tangible personal property so
transferred, the value of such | ||
property, for the purpose of this Act, shall be
the amount so | ||
separately charged, but not less than the cost of such property
| ||
to the transferor; if no separate charge is made, the value of | ||
such property,
for the purposes of this Act, is the cost to the | ||
transferor of such tangible
personal property. Construction | ||
contracts for the improvement of real estate
consisting of | ||
engineering, installation, and maintenance of voice, data, | ||
video,
security, and all telecommunication systems do not | ||
constitute engaging in a
business of selling tangible personal | ||
property at retail within the meaning of
this Act if they are | ||
sold at one specified contract price.
| ||
A person who holds himself or herself out as being engaged | ||
(or who habitually
engages) in selling tangible personal | ||
property at retail is a person
engaged in the business of | ||
selling tangible personal property at retail
hereunder with | ||
respect to such sales (and not primarily in a service
| ||
occupation) notwithstanding the fact that such person designs | ||
and produces
such tangible personal property on special order | ||
for the purchaser and in
such a way as to render the property | ||
of value only to such purchaser, if
such tangible personal | ||
property so produced on special order serves
substantially the |
same function as stock or standard items of tangible
personal | ||
property that are sold at retail.
| ||
Persons who engage in the business of transferring tangible | ||
personal
property upon the redemption of trading stamps are | ||
engaged in the business
of selling such property at retail and | ||
shall be liable for and shall pay
the tax imposed by this Act | ||
on the basis of the retail value of the
property transferred | ||
upon redemption of such stamps.
| ||
"Bulk vending machine" means a vending machine,
containing | ||
unsorted confections, nuts, toys, or other items designed
| ||
primarily to be used or played with by children
which, when a | ||
coin or coins of a denomination not larger than $0.50 are
| ||
inserted, are dispensed in equal portions, at random and
| ||
without selection by the customer.
| ||
(Source: P.A. 92-213, eff. 1-1-02.)
| ||
Section 35. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Southwestern Illinois | ||
Development Authority Act is amended by changing Section 3 as | ||
follows:
| ||
(70 ILCS 520/3) (from Ch. 85, par. 6153)
| ||
Sec. 3. The following terms, whenever used or referred to | ||
in this
Act, shall have the following meanings, except in such | ||
instances where the
context may clearly indicate otherwise:
| ||
(a) "Authority" means the Southwestern Illinois |
Development Authority
created by this Act.
| ||
(b) "Governmental agency" means any federal, State or local | ||
governmental
body, and any agency or instrumentality thereof, | ||
corporate or otherwise.
| ||
(c) "Person" means any natural person, firm, partnership, | ||
corporation,
both domestic and foreign, company, association | ||
or joint stock association
and includes any trustee, receiver, | ||
assignee or personal representative thereof.
| ||
(d) "Revenue bond" means any bond issued by the Authority | ||
the principal
and interest of which is payable solely from | ||
revenues or income
derived from any project or activity of the | ||
Authority.
| ||
(e) "Board" means the Southwestern Illinois Development | ||
Authority Board of Directors.
| ||
(f) "Governor" means the Governor of the State of Illinois.
| ||
(g) "City" means any city, village, incorporated town or | ||
township
within the geographical territory of the Authority.
| ||
(h) "Industrial project" means (1) a capital project, | ||
including one or
more buildings and other structures, | ||
improvements, machinery and equipment
whether or not on the | ||
same site or sites now existing or hereafter
acquired, suitable | ||
for use by any manufacturing, industrial, research,
| ||
transportation or commercial enterprise including but not | ||
limited to use
as a factory, mill, processing plant, assembly | ||
plant, packaging plant,
fabricating plant, office building, | ||
industrial distribution center,
warehouse, repair, overhaul or |
service facility, freight terminal, research
facility, test | ||
facility, railroad facility, solid waste and wastewater
| ||
treatment and disposal sites and other pollution control | ||
facilities,
resource or waste reduction, recovery, treatment | ||
and disposal facilities,
and including also the sites thereof | ||
and other rights in land therefor
whether improved or | ||
unimproved, site preparation and landscaping and all
| ||
appurtenances and facilities incidental thereto such as | ||
utilities, access
roads, railroad sidings, truck docking and | ||
similar facilities, parking
facilities, dockage, wharfage, | ||
railroad roadbed, track, trestle, depot,
terminal, switching | ||
and signaling equipment or related equipment and other
| ||
improvements necessary or convenient thereto; or (2) any land, | ||
buildings,
machinery or equipment comprising an addition to or | ||
renovation,
rehabilitation or improvement of any existing | ||
capital project.
| ||
(i) "Housing project" or "residential project" includes a | ||
specific work
or improvement undertaken to provide dwelling | ||
accommodations, including the
acquisition, construction or | ||
rehabilitation of lands, buildings and
community facilities | ||
and in connection therewith to provide nonhousing
facilities | ||
which are an integral part of a planned large-scale project or | ||
new community.
| ||
(j) "Commercial project" means any project, including but | ||
not limited to
one or more buildings and other structures, | ||
improvements, machinery and
equipment whether or not on the |
same site or sites now existing or
hereafter acquired, suitable | ||
for use by any retail or wholesale concern,
distributorship or | ||
agency, any cultural facilities of a for-profit or
| ||
not-for-profit type including but not limited to educational, | ||
theatrical,
recreational and
entertainment, sports facilities, | ||
racetracks, stadiums, convention centers,
exhibition halls, | ||
arenas, opera houses and theaters, waterfront
improvements, | ||
swimming pools, boat storage, moorage, docking facilities,
| ||
restaurants, velodromes, coliseums, sports training | ||
facilities,
parking facilities, terminals, hotels and motels, | ||
gymnasiums, medical
facilities and port facilities.
| ||
(k) "Unit of local government" means a unit of local | ||
government, as
defined in Section 1 of Article VII of the | ||
Illinois Constitution, and any
local public entity as that term | ||
is defined in the Local Governmental and
Governmental Employees | ||
Tort Immunity Act
and such unit of local government or local | ||
public entity is located
within the geographical territory of | ||
the Authority or, for the purposes of the Flood Prevention | ||
District Act, is located within Monroe County, Illinois .
| ||
(l) "Local government project" means a project or other | ||
undertaking that
is authorized or required by law to be | ||
acquired, constructed,
reconstructed, equipped, improved, | ||
rehabilitated, replaced, maintained, or
otherwise undertaken | ||
in any manner by a unit of local government.
| ||
(m) "Local government security" means a bond, note, or | ||
other evidence of
indebtedness that a unit of local government |
is legally authorized to issue
for the purpose of financing a | ||
public purpose project or to issue for any
other lawful public | ||
purpose under any provision of the Illinois
Constitution or | ||
laws of this State, whether the obligation is payable from
| ||
taxes or revenues, rates, charges, assessments, | ||
appropriations, grants, or
any other lawful source or | ||
combination thereof, and specifically includes,
without | ||
limitation, obligations under any lease or lease purchase | ||
agreement
lawfully entered into by the unit of local
government | ||
for the acquisition or use of facilities or equipment.
| ||
(n) "Project" means an industrial, housing, residential,
| ||
commercial, local government, or
service project or any | ||
combination thereof provided that all uses shall
fall within | ||
one of the categories described above. Any project, of any
| ||
nature whatsoever, shall automatically include all site | ||
improvements and
new construction involving sidewalks, sewers, | ||
solid waste and wastewater
treatment and disposal sites and | ||
other pollution control facilities,
resource or waste | ||
reduction, recovery, treatment and disposal facilities,
parks, | ||
open spaces, wildlife sanctuaries, streets, highways and | ||
runways.
| ||
(o) "Lease agreement" shall mean an agreement whereby
a | ||
project acquired
by the Authority by purchase, gift or lease is | ||
leased to any person or
corporation which will use or cause the | ||
project to be used as a project as
heretofore defined upon | ||
terms providing for lease rental payments at least
sufficient |
to pay when due all principal of and interest and premium, if | ||
any,
on any bonds, notes or other evidences of indebtedness of | ||
the Authority
issued with respect to such project, providing | ||
for the maintenance,
insurance and operation of the project on | ||
terms satisfactory to the
Authority and providing for | ||
disposition of the project upon termination of
the lease term, | ||
including purchase options or abandonment of the premises,
with | ||
such other terms as may be deemed desirable by the Authority.
| ||
(p) "Loan agreement" means any agreement pursuant to which | ||
the Authority
agrees to loan the proceeds of its bonds, notes | ||
or other evidences of
indebtedness issued with respect to a | ||
project to any person or corporation
which will use or cause | ||
the project to be used as a project as heretofore
defined upon | ||
terms providing for loan repayment installments at least
| ||
sufficient to pay when due all principal of and interest and | ||
premium, if any,
on any bonds, notes or other evidences of | ||
indebtedness of the Authority
issued with respect to the | ||
project, providing for maintenance,
insurance and operation of | ||
the project on terms satisfactory to the
Authority and | ||
providing for other matters as may be deemed advisable by the | ||
Authority.
| ||
(q) "Financial aid" means the expenditure of Authority | ||
funds or funds
provided by the Authority through the issuance | ||
of its revenue bonds, notes
or other evidences of indebtedness | ||
for the development, construction,
acquisition or improvement | ||
of a project.
|
(r) "Costs incurred in connection with the development, | ||
construction,
acquisition or improvement of a project" means | ||
the following: the cost of
purchase and construction of all | ||
lands and improvements in connection
therewith and equipment | ||
and other property, rights, easements and franchises
acquired | ||
which are deemed necessary for such construction; financing
| ||
charges; interest costs with respect to bonds, notes and other | ||
evidences of
indebtedness of the Authority prior to and during | ||
construction and for a
period of 6 months thereafter; | ||
engineering and legal expenses; the costs of plans,
| ||
specifications, surveys and estimates of costs and other | ||
expenses necessary or
incident to determining the feasibility | ||
or practicability of any project,
together with such other | ||
expenses as may be necessary or incident to the
financing, | ||
insuring, acquisition and construction of a specific project | ||
and
the placing of the same in operation.
| ||
(s) "Terminal" means a public place, station or depot for | ||
receiving and
delivering passengers, baggage, mail, freight or | ||
express matter and any
combination thereof in connection with | ||
the transportation of
persons and property on water or land or | ||
in the air.
| ||
(t) "Terminal facilities" means all land, buildings, | ||
structures,
improvements, equipment and appliances useful in | ||
the operation of public
warehouse, storage and transportation | ||
facilities and industrial,
manufacturing or commercial | ||
activities for the accommodation of or in
connection with |
commerce by water or land or in the air or useful as an
aid, or | ||
constituting an advantage or convenience to, the safe landing,
| ||
taking off and navigation of aircraft or the safe and efficient | ||
operation
or maintenance of a public airport.
| ||
(u) "Port facilities" means all public structures, except | ||
terminal
facilities as defined herein, that are in, over, under | ||
or adjacent to
navigable waters and are necessary for or | ||
incident to the furtherance of
water commerce and includes the | ||
widening and deepening of slips, harbors
and navigable waters.
| ||
(v) "Airport" means any locality, either land or water, | ||
which is used or
designed for the landing and taking off of | ||
aircraft or for the location of
runways, landing fields, | ||
aerodromes, hangars, buildings, structures,
airport roadways | ||
and other facilities.
| ||
(Source: P.A. 85-591; 86-1455.)
| ||
Section 45. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Metro-East Sanitary | ||
District Act of 1974 is amended by changing Section 5-1 as | ||
follows:
| ||
(70 ILCS 2905/5-1) (from Ch. 42, par. 505-1)
| ||
Sec. 5-1. (a) The board may levy and collect taxes for | ||
corporate
purposes. Such taxes shall be levied by ordinance | ||
specifying the purposes
for which the same are required, and a | ||
certified copy of such ordinance
shall be filed with the county |
clerk of the county in which the predecessor
district was | ||
organized, on or before the second Tuesday in August, as
| ||
provided in Section 122 of the Revenue Act of 1939 (superseded | ||
by Section
14-10 of the Property Tax Code). Any excess funds | ||
accumulated prior to January 1, 2008 by the sanitary district | ||
that are collected by levying taxes pursuant to 745 ILCS | ||
10/9-107 may be expended by the sanitary district to maintain, | ||
repair, improve, or construct levees or any part of the levee | ||
system and to provide capital moneys for levee or river-related | ||
scientific studies, including the construction of facilities | ||
for such purposes. For the purposes of this subsection (a), the | ||
excess funds withdrawn from the Local Governmental and | ||
Governmental Employees Tort Immunity Fund may not be more than | ||
90% of the balance of that fund on December 31, 2007. After the | ||
assessment for the current year
has been equalized by the | ||
Department of Revenue, the board shall, as soon as
may be, | ||
ascertain and certify to
such county clerk the total value of | ||
all taxable property lying within
the corporate limits of such | ||
districts in each of the counties in which
the district is | ||
situated, as the same is assessed and equalized for tax
| ||
purposes for the current year. The county clerk shall ascertain | ||
the rate
per cent which, upon the total valuation of all such | ||
property,
ascertained as above stated, would produce a net | ||
amount not less than the
amount so directed to be levied; and | ||
the clerk shall, without delay,
certify under his signature and | ||
seal of office to the county clerk of such
other county, in |
which a portion of the district is situated such rate
per cent; | ||
and it shall be the duty of each of the county clerks to
extend | ||
such tax in a separate column upon the books of the collector | ||
or
collectors of the county taxes for the counties, against all | ||
property in
their respective counties, within the limits of the | ||
district. All taxes
so levied and certified shall be collected | ||
and enforced in the same
manner, and by the same officers as | ||
county taxes, and shall be paid over
by the officers collecting | ||
the same, to the treasurer of the sanitary
district, in the | ||
manner and at the time provided by the Property Tax Code. The | ||
aggregate amount of taxes levied for any one year,
exclusive of | ||
the amount levied for the payment of bonded indebtedness and
| ||
interest thereon, shall not exceed the rate of .20%, or the | ||
rate limitation of
the predecessor district in effect on July | ||
1, 1967, or the rate limitation set
by subsection (b) whichever | ||
is greater, of value, as equalized or assessed by
the | ||
Department of Revenue. The foregoing limitations upon tax rates | ||
may be
increased or decreased under the referendum provisions | ||
of the Property Tax
Code.
| ||
(b) The tax rate limit of the district may be changed to | ||
.478% of the
value of property as equalized or assessed by the | ||
Department of Revenue for
a period of 5 years and to .312% of | ||
such value thereafter upon the approval
of the electors of the | ||
district of such a proposition submitted at any
regular | ||
election pursuant to a resolution of the board of commissioners | ||
or
submitted at an election for officers of the counties of St. |
Clair and
Madison in accordance with the general election law | ||
upon a petition signed
by not fewer than 10% of the legal | ||
voters in the district, which percentage
shall be determined on | ||
the basis of the number of votes cast at the last
general | ||
election preceding the filing of such petition specifying the | ||
tax
rate to be submitted. Such petition shall be filed with the | ||
executive
director of the district not more than 10 months nor | ||
less than 5 months
prior to the election at which the question | ||
is to be submitted to the
voters of the district, and its | ||
validity shall be determined as provided by
the general | ||
election law. The executive director shall certify the question
| ||
to the proper election officials, who shall submit the question | ||
to the voters.
| ||
Notice shall be given in the manner provided by the general | ||
election law.
| ||
Referenda initiated under this subsection shall be subject | ||
to the provisions
and limitations of the general election law.
| ||
The question shall be in substantially the following form:
| ||
-------------------------------------------------------------
| ||
Shall the maximum tax rate
| ||
for the Metro-East Sanitary
| ||
District be established at YES
| ||
.478% of the equalized assessed
| ||
value for 5 years and then at .312% -----------------------
| ||
of the equalized assessed value
| ||
thereafter, instead of .2168%, the NO
|
maximum rate otherwise applicable
| ||
to the next taxes to be extended?
| ||
-------------------------------------------------------------
| ||
The ballot shall have printed thereon, but not as a part of | ||
the
proposition submitted, an estimate of the approximate | ||
amount extendable
under the proposed rate and of the | ||
approximate amount extendable under
the rate otherwise | ||
applicable to the next taxes to be extended, such
amounts being | ||
computed upon the last known equalized assessed value;
| ||
provided, that any error, miscalculation or inaccuracy in | ||
computing such
amounts shall not invalidate or affect the | ||
validity of any tax rate
limit so adopted.
| ||
If a majority of all ballots cast on such proposition shall | ||
be in
favor of the proposition, the tax rate limit so | ||
established shall become
effective with the levy next following | ||
the referendum; provided that nothing in
this subsection shall | ||
be construed as precluding the extension of taxes at
rates less | ||
than that authorized by such referendum.
| ||
Except as herein otherwise provided, the referenda | ||
authorized by the
terms of this subsection shall be conducted | ||
in all respects in the manner
provided by the general election | ||
law.
| ||
(Source: P.A. 88-670, eff. 12-2-94 .)
| ||
Section 50. If and only if Senate Bill 2052 of the 95th | ||
General Assembly becomes law, then the Local Governmental and |
Governmental Employees Tort Immunity Act is amended by changing | ||
Section 9-107 as follows:
| ||
(745 ILCS 10/9-107) (from Ch. 85, par. 9-107)
| ||
Sec. 9-107. Policy; tax levy.
| ||
(a) The General Assembly finds that the purpose of this | ||
Section is to
provide an extraordinary tax for funding expenses | ||
relating to (i) tort liability,
(ii) liability relating to | ||
actions brought under the federal Comprehensive Environmental | ||
Response, Compensation, and Liability Act of 1980 or the | ||
Environmental Protection Act, but only until December 31, 2010, | ||
(iii) insurance, and (iv) risk management programs. Thus, the | ||
tax has been excluded from
various limitations otherwise | ||
applicable to tax levies. Notwithstanding the
extraordinary | ||
nature of the tax authorized by this Section, however, it has
| ||
become apparent that some units of
local government are using | ||
the tax revenue to fund expenses more properly paid
from | ||
general operating funds. These uses of the revenue are | ||
inconsistent with
the limited purpose of the tax authorization.
| ||
Therefore, the General Assembly declares, as a matter of | ||
policy, that (i) the
use of the tax revenue authorized by this | ||
Section for purposes not expressly
authorized under this Act is | ||
improper and (ii) the provisions of this Section
shall be | ||
strictly construed
consistent with this declaration and the | ||
Act's express purposes.
| ||
(b) A local public entity may annually levy or have levied |
on
its behalf taxes upon all taxable property within its | ||
territory at
a rate that will produce a sum that will be | ||
sufficient to:
(i) pay the cost
of insurance, individual or | ||
joint self-insurance (including
reserves thereon), including | ||
all operating and administrative costs and
expenses directly | ||
associated therewith, claims services and risk management
| ||
directly attributable to loss prevention and loss reduction, | ||
legal services
directly attributable
to the insurance, | ||
self-insurance, or joint self-insurance program, and
| ||
educational, inspectional, and supervisory
services directly | ||
relating to loss prevention and loss reduction, participation
| ||
in a reciprocal
insurer as provided in Sections 72, 76, and 81 | ||
of the Illinois Insurance Code,
or participation in a
| ||
reciprocal insurer, all as provided in settlements or judgments | ||
under
Section 9-102, including all costs and reserves directly | ||
attributable to
being a member of an insurance
pool, under | ||
Section 9-103; (ii) pay the costs of and principal
and interest | ||
on bonds issued under Section 9-105; (iii) pay judgments
and | ||
settlements under Section 9-104 of this Act; (iv) discharge
| ||
obligations under Section 34-18.1 of the School
Code; (v) pay | ||
judgments and settlements under the federal Comprehensive | ||
Environmental Response, Compensation, and Liability Act of | ||
1980 and the Environmental Protection Act, but only until | ||
December 31, 2010; (vi) pay the costs authorized by the | ||
Metro-East Sanitary District Act of 1974 as provided in | ||
subsection (a) of Section 5-1 of that Act (70 ILCS 2905/5-1); |
and (vii) (vi)
pay the cost of
risk management programs.
| ||
Provided it complies with any other applicable
statutory | ||
requirements, the local public entity may self-insure and
| ||
establish reserves for expected losses for any property damage | ||
or for any
liability or loss for which
the local public entity | ||
is authorized to levy or have levied on its behalf
taxes for | ||
the purchase of insurance or the payment of judgments or
| ||
settlements under this Section. The decision of the board to | ||
establish a
reserve shall be based on reasonable actuarial or | ||
insurance underwriting
evidence and subject to the limits and | ||
reporting provisions in Section
9-103.
| ||
If a school district was a member of a | ||
joint-self-health-insurance
cooperative that had more | ||
liability in outstanding claims than revenue to pay
those | ||
claims, the school board of that district may by resolution
| ||
make a one-time transfer from any fund in which tort immunity | ||
moneys are
maintained to the fund
or funds from which
payments | ||
to a joint-self-health-insurance
cooperative can
be or have | ||
been made of an amount not to exceed the amount of the
| ||
liability claim that the school district
owes to the | ||
joint-self-health-insurance cooperative or that the school | ||
district
paid within the 2 years immediately preceding the | ||
effective date of this
amendatory Act
of the 92nd General | ||
Assembly.
| ||
Funds raised pursuant to this Section shall only be used | ||
for the purposes
specified in this Act, including protection |
against and reduction of any
liability or loss described
| ||
hereinabove and under
Federal or State common or statutory law, | ||
the Workers' Compensation Act,
the Workers' Occupational | ||
Diseases Act and the Unemployment Insurance Act.
Funds
raised | ||
pursuant to this Section may be invested in any manner in which
| ||
other funds of local public entities may be invested under | ||
Section 2 of the
Public Funds Investment Act. Interest on such
| ||
funds shall be used only for purposes for which the funds can | ||
be used or,
if surplus, must be used for abatement of property
| ||
taxes levied by the local taxing entity.
| ||
A local public entity may enter into intergovernmental | ||
contracts with a
term of not to exceed 12 years for the | ||
provision of joint self-insurance
which contracts may include | ||
an obligation to pay a proportional share of a
general | ||
obligation or revenue bond or other debt instrument issued by a
| ||
local public entity which is a party to the intergovernmental | ||
contract and
is authorized by the terms of the contract to | ||
issue the bond or other debt
instrument. Funds due under such | ||
contracts shall not be considered debt
under any constitutional | ||
or statutory limitation and the local public
entity may levy or | ||
have levied on its behalf taxes to pay for its
proportional | ||
share under the contract. Funds raised pursuant to
| ||
intergovernmental contracts for the provision of joint | ||
self-insurance may
only be used for the payment of any cost, | ||
liability or loss against which
a local public entity may | ||
protect itself or self-insure pursuant to Section
9-103 or for |
the payment of which such entity may levy a tax pursuant to
| ||
this Section, including tort judgments or settlements, costs
| ||
associated with the issuance, retirement or refinancing of the | ||
bonds or
other debt instruments, the repayment of the principal | ||
or interest of the
bonds or other debt instruments, the costs | ||
of the administration of the
joint self-insurance fund, | ||
consultant, and risk care management programs or
the costs of | ||
insurance. Any surplus returned to the local public entity
| ||
under the terms of the intergovernmental contract shall be used | ||
only for
purposes set forth in subsection (a) of Section 9-103 | ||
and Section 9-107 or for
abatement of property
taxes levied by | ||
the local taxing entity.
| ||
Any tax levied under this Section shall be levied and | ||
collected in
like manner with the general taxes of the entity | ||
and shall be exclusive
of and in addition to the amount of tax | ||
that entity is now or may
hereafter be authorized to levy for | ||
general purposes under any statute
which may limit the amount | ||
of tax which that entity may levy for general
purposes. The | ||
county clerk of the county in which any part of the
territory | ||
of the local taxing entity is located, in reducing tax levies
| ||
under the provisions of any Act concerning the levy and | ||
extension of
taxes, shall not consider any tax provided for by | ||
this Section as a part
of the general tax levy for the purposes | ||
of the entity nor include such
tax within any limitation of the | ||
percent of the assessed valuation upon
which taxes are required | ||
to be extended for such entity.
|
With respect to taxes levied under this Section, either | ||
before, on, or
after the effective date of this amendatory Act | ||
of 1994:
| ||
(1) Those taxes
are excepted from and shall not be | ||
included within the rate limitation imposed
by law on taxes | ||
levied for general corporate purposes by the local public
| ||
entity authorized to levy a tax under this Section.
| ||
(2) Those taxes that a local public entity has levied | ||
in reliance on this
Section and that are excepted under | ||
paragraph (1) from
the
rate limitation imposed by law on | ||
taxes levied for general corporate purposes
by the local | ||
public entity are not
invalid because of any provision of
| ||
the law authorizing the local public entity's tax levy for | ||
general corporate
purposes that may be construed or may | ||
have been construed to restrict or limit
those taxes | ||
levied, and those taxes are hereby validated.
This | ||
validation of taxes levied applies to all cases pending on | ||
or after the
effective date of this amendatory Act of 1994.
| ||
(3) Paragraphs (1) and (2) do not apply to a hospital | ||
organized under
Article 170 or 175 of the Township Code, | ||
under the Town Hospital Act, or under
the Township | ||
Non-Sectarian Hospital Act and do not give any authority to | ||
levy
taxes on behalf of such a hospital in excess of the | ||
rate limitation imposed by
law on taxes levied for general | ||
corporate purposes. A hospital organized under
Article 170 | ||
or 175 of the Township Code, under the Town Hospital Act, |
or under
the Township Non-Sectarian Hospital Act is not
| ||
prohibited from levying taxes in support of tort liability | ||
bonds if the taxes
do not cause the hospital's aggregate | ||
tax rate from exceeding the rate
limitation imposed by law | ||
on taxes levied for general corporate purposes.
| ||
Revenues derived from such tax shall be paid to the | ||
treasurer of the
local taxing entity as collected and used for | ||
the purposes of this
Section and of Section 9-102, 9-103, 9-104 | ||
or 9-105, as the case may
be. If payments on account of such | ||
taxes are insufficient during any
year to meet such purposes, | ||
the entity may issue tax anticipation
warrants against the | ||
current tax levy in the manner provided by statute.
| ||
(Source: P.A. 95-244, eff. 8-17-07.)
| ||
Section 99. Effective date. This Act takes effect upon | ||
becoming law. |