Illinois 2023-2024 Regular Session

Illinois House Bill HB1575 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1575 Introduced , by Rep. Adam M. Niemerg SYNOPSIS AS INTRODUCED: 35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3 Amends the Motor Fuel Tax Law. Provides that, beginning on July 1, 2023, the rate of tax shall be $0.19 per gallon (currently, 39.2 cents per gallon, adjusted each year according to the percentage increase in the Consumer Price Index), plus an additional 2 1/2 cents per gallon for diesel fuel, liquefied natural gas, or propane. Amends the Illinois Municipal Code. Provides that no tax may be imposed under the Municipal Motor Fuel Tax Law on or after July 1, 2023. Preempts the exercise of home rule powers. Effective immediately. LRB103 26110 HLH 52465 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1575 Introduced , by Rep. Adam M. Niemerg SYNOPSIS AS INTRODUCED: 35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3 35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3 Amends the Motor Fuel Tax Law. Provides that, beginning on July 1, 2023, the rate of tax shall be $0.19 per gallon (currently, 39.2 cents per gallon, adjusted each year according to the percentage increase in the Consumer Price Index), plus an additional 2 1/2 cents per gallon for diesel fuel, liquefied natural gas, or propane. Amends the Illinois Municipal Code. Provides that no tax may be imposed under the Municipal Motor Fuel Tax Law on or after July 1, 2023. Preempts the exercise of home rule powers. Effective immediately. LRB103 26110 HLH 52465 b LRB103 26110 HLH 52465 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1575 Introduced , by Rep. Adam M. Niemerg SYNOPSIS AS INTRODUCED:
3	3	35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3 35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3
4	4	35 ILCS 505/2 from Ch. 120, par. 418
5	5	35 ILCS 505/8 from Ch. 120, par. 424
6	6	65 ILCS 5/8-11-2.3
7	7	Amends the Motor Fuel Tax Law. Provides that, beginning on July 1, 2023, the rate of tax shall be $0.19 per gallon (currently, 39.2 cents per gallon, adjusted each year according to the percentage increase in the Consumer Price Index), plus an additional 2 1/2 cents per gallon for diesel fuel, liquefied natural gas, or propane. Amends the Illinois Municipal Code. Provides that no tax may be imposed under the Municipal Motor Fuel Tax Law on or after July 1, 2023. Preempts the exercise of home rule powers. Effective immediately.
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10	10	A BILL FOR
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13	13	1 AN ACT concerning revenue.
14	14	2 Be it enacted by the People of the State of Illinois,
15	15	3 represented in the General Assembly:
16	16	4 Section 5. The Motor Fuel Tax Law is amended by changing
17	17	5 Sections 2 and 8 as follows:
18	18	6 (35 ILCS 505/2) (from Ch. 120, par. 418)
19	19	7 Sec. 2. A tax is imposed on the privilege of operating
20	20	8 motor vehicles upon the public highways and recreational-type
21	21	9 watercraft upon the waters of this State.
22	22	10 (a) Prior to August 1, 1989, the tax is imposed at the rate
23	23	11 of 13 cents per gallon on all motor fuel used in motor vehicles
24	24	12 operating on the public highways and recreational type
25	25	13 watercraft operating upon the waters of this State. Beginning
26	26	14 on August 1, 1989 and until January 1, 1990, the rate of the
27	27	15 tax imposed in this paragraph shall be 16 cents per gallon.
28	28	16 Beginning January 1, 1990 and until July 1, 2019, the rate of
29	29	17 tax imposed in this paragraph, including the tax on compressed
30	30	18 natural gas, shall be 19 cents per gallon. Beginning July 1,
31	31	19 2019 and until July 1, 2020, the rate of tax imposed in this
32	32	20 paragraph shall be 38 cents per gallon. Beginning July 1, 2020
33	33	21 and until July 1, 2021, the rate of tax imposed in this
34	34	22 paragraph shall be 38.7 cents per gallon. Beginning July 1,
35	35	23 2021 and until January 1, 2023, the rate of tax imposed in this
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39	39	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1575 Introduced , by Rep. Adam M. Niemerg SYNOPSIS AS INTRODUCED:
40	40	35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3 35 ILCS 505/2 from Ch. 120, par. 418 35 ILCS 505/8 from Ch. 120, par. 424 65 ILCS 5/8-11-2.3
41	41	35 ILCS 505/2 from Ch. 120, par. 418
42	42	35 ILCS 505/8 from Ch. 120, par. 424
43	43	65 ILCS 5/8-11-2.3
44	44	Amends the Motor Fuel Tax Law. Provides that, beginning on July 1, 2023, the rate of tax shall be $0.19 per gallon (currently, 39.2 cents per gallon, adjusted each year according to the percentage increase in the Consumer Price Index), plus an additional 2 1/2 cents per gallon for diesel fuel, liquefied natural gas, or propane. Amends the Illinois Municipal Code. Provides that no tax may be imposed under the Municipal Motor Fuel Tax Law on or after July 1, 2023. Preempts the exercise of home rule powers. Effective immediately.
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46	46	LRB103 26110 HLH 52465 b
47	47	A BILL FOR
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53	53	35 ILCS 505/2 from Ch. 120, par. 418
54	54	35 ILCS 505/8 from Ch. 120, par. 424
55	55	65 ILCS 5/8-11-2.3
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74	74	1 paragraph shall be 39.2 cents per gallon. On January 1, 2023
75	75	2 and until July 1, 2023, the rate of tax imposed in this
76	76	3 paragraph shall be increased by an amount equal to the
77	77	4 percentage increase, if any, in the Consumer Price Index for
78	78	5 All Urban Consumers for all items published by the United
79	79	6 States Department of Labor for the 12 months ending in
80	80	7 September of 2022. Beginning on July 1, 2023, the rate of tax
81	81	8 imposed in this paragraph, including the tax on compressed
82	82	9 natural gas, shall be $0.19 per gallon. On July 1, 2023, and on
83	83	10 July 1 of each subsequent year, the rate of tax imposed in this
84	84	11 paragraph shall be increased by an amount equal to the
85	85	12 percentage increase, if any, in the Consumer Price Index for
86	86	13 All Urban Consumers for all items published by the United
87	87	14 States Department of Labor for the 12 months ending in March of
88	88	15 the year in which the increase takes place. The rate shall be
89	89	16 rounded to the nearest one-tenth of one cent.
90	90	17 (a-5) Beginning on July 1, 2022 and through December 31,
91	91	18 2022, each retailer of motor fuel shall cause the following
92	92	19 notice to be posted in a prominently visible place on each
93	93	20 retail dispensing device that is used to dispense motor fuel
94	94	21 in the State of Illinois: "As of July 1, 2022, the State of
95	95	22 Illinois has suspended the inflation adjustment to the motor
96	96	23 fuel tax through December 31, 2022. The price on this pump
97	97	24 should reflect the suspension of the tax increase." The notice
98	98	25 shall be printed in bold print on a sign that is no smaller
99	99	26 than 4 inches by 8 inches. The sign shall be clearly visible to
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110	110	1 customers. Any retailer who fails to post or maintain a
111	111	2 required sign through December 31, 2022 is guilty of a petty
112	112	3 offense for which the fine shall be $500 per day per each
113	113	4 retail premises where a violation occurs.
114	114	5 (b) Until July 1, 2019 and beginning again on July 1, 2023,
115	115	6 the tax on the privilege of operating motor vehicles which use
116	116	7 diesel fuel, liquefied natural gas, or propane shall be the
117	117	8 rate according to paragraph (a) plus an additional 2 1/2 cents
118	118	9 per gallon. Beginning July 1, 2019 and until July 1, 2023, the
119	119	10 tax on the privilege of operating motor vehicles which use
120	120	11 diesel fuel, liquefied natural gas, or propane shall be the
121	121	12 rate according to subsection (a) plus an additional 7.5 cents
122	122	13 per gallon. "Diesel fuel" is defined as any product intended
123	123	14 for use or offered for sale as a fuel for engines in which the
124	124	15 fuel is injected into the combustion chamber and ignited by
125	125	16 pressure without electric spark.
126	126	17 (c) A tax is imposed upon the privilege of engaging in the
127	127	18 business of selling motor fuel as a retailer or reseller on all
128	128	19 motor fuel used in motor vehicles operating on the public
129	129	20 highways and recreational type watercraft operating upon the
130	130	21 waters of this State: (1) at the rate of 3 cents per gallon on
131	131	22 motor fuel owned or possessed by such retailer or reseller at
132	132	23 12:01 a.m. on August 1, 1989; and (2) at the rate of 3 cents
133	133	24 per gallon on motor fuel owned or possessed by such retailer or
134	134	25 reseller at 12:01 A.M. on January 1, 1990.
135	135	26 Retailers and resellers who are subject to this additional
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146	146	1 tax shall be required to inventory such motor fuel and pay this
147	147	2 additional tax in a manner prescribed by the Department of
148	148	3 Revenue.
149	149	4 The tax imposed in this paragraph (c) shall be in addition
150	150	5 to all other taxes imposed by the State of Illinois or any unit
151	151	6 of local government in this State.
152	152	7 (d) Except as provided in Section 2a, the collection of a
153	153	8 tax based on gallonage of gasoline used for the propulsion of
154	154	9 any aircraft is prohibited on and after October 1, 1979, and
155	155	10 the collection of a tax based on gallonage of special fuel used
156	156	11 for the propulsion of any aircraft is prohibited on and after
157	157	12 December 1, 2019.
158	158	13 (e) The collection of a tax, based on gallonage of all
159	159	14 products commonly or commercially known or sold as 1-K
160	160	15 kerosene, regardless of its classification or uses, is
161	161	16 prohibited (i) on and after July 1, 1992 until December 31,
162	162	17 1999, except when the 1-K kerosene is either: (1) delivered
163	163	18 into bulk storage facilities of a bulk user, or (2) delivered
164	164	19 directly into the fuel supply tanks of motor vehicles and (ii)
165	165	20 on and after January 1, 2000. Beginning on January 1, 2000, the
166	166	21 collection of a tax, based on gallonage of all products
167	167	22 commonly or commercially known or sold as 1-K kerosene,
168	168	23 regardless of its classification or uses, is prohibited except
169	169	24 when the 1-K kerosene is delivered directly into a storage
170	170	25 tank that is located at a facility that has withdrawal
171	171	26 facilities that are readily accessible to and are capable of
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182	182	1 dispensing 1-K kerosene into the fuel supply tanks of motor
183	183	2 vehicles. For purposes of this subsection (e), a facility is
184	184	3 considered to have withdrawal facilities that are not "readily
185	185	4 accessible to and capable of dispensing 1-K kerosene into the
186	186	5 fuel supply tanks of motor vehicles" only if the 1-K kerosene
187	187	6 is delivered from: (i) a dispenser hose that is short enough so
188	188	7 that it will not reach the fuel supply tank of a motor vehicle
189	189	8 or (ii) a dispenser that is enclosed by a fence or other
190	190	9 physical barrier so that a vehicle cannot pull alongside the
191	191	10 dispenser to permit fueling.
192	192	11 Any person who sells or uses 1-K kerosene for use in motor
193	193	12 vehicles upon which the tax imposed by this Law has not been
194	194	13 paid shall be liable for any tax due on the sales or use of 1-K
195	195	14 kerosene.
196	196	15 (Source: P.A. 101-10, eff. 6-5-19; 101-32, eff. 6-28-19;
197	197	16 101-604, eff. 12-13-19; 102-700, eff. 4-19-22.)
198	198	17 (35 ILCS 505/8) (from Ch. 120, par. 424)
199	199	18 Sec. 8. Except as provided in subsection (a-1) of this
200	200	19 Section, Section 8a, subdivision (h)(1) of Section 12a,
201	201	20 Section 13a.6, and items 13, 14, 15, and 16 of Section 15, all
202	202	21 money received by the Department under this Act, including
203	203	22 payments made to the Department by member jurisdictions
204	204	23 participating in the International Fuel Tax Agreement, shall
205	205	24 be deposited in a special fund in the State treasury, to be
206	206	25 known as the "Motor Fuel Tax Fund", and shall be used as
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217	217	1 follows:
218	218	2 (a) 2 1/2 cents per gallon of the tax collected on special
219	219	3 fuel under paragraph (b) of Section 2 and Section 13a of this
220	220	4 Act shall be transferred to the State Construction Account
221	221	5 Fund in the State Treasury; the remainder of the tax collected
222	222	6 on special fuel under paragraph (b) of Section 2 and Section
223	223	7 13a of this Act shall be deposited into the Road Fund;
224	224	8 (a-1) Beginning on July 1, 2019 and until July 1, 2023, an
225	225	9 amount equal to the amount of tax collected under subsection
226	226	10 (a) of Section 2 as a result of the increase in the tax rate
227	227	11 under Public Act 101-32 shall be transferred each month into
228	228	12 the Transportation Renewal Fund;
229	229	13 (b) $420,000 shall be transferred each month to the State
230	230	14 Boating Act Fund to be used by the Department of Natural
231	231	15 Resources for the purposes specified in Article X of the Boat
232	232	16 Registration and Safety Act;
233	233	17 (c) $3,500,000 shall be transferred each month to the
234	234	18 Grade Crossing Protection Fund to be used as follows: not less
235	235	19 than $12,000,000 each fiscal year shall be used for the
236	236	20 construction or reconstruction of rail highway grade
237	237	21 separation structures; $5,500,000 in fiscal year 2022 and each
238	238	22 fiscal year thereafter shall be transferred to the
239	239	23 Transportation Regulatory Fund and shall be used to pay the
240	240	24 cost of administration of the Illinois Commerce Commission's
241	241	25 railroad safety program in connection with its duties under
242	242	26 subsection (3) of Section 18c-7401 of the Illinois Vehicle
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253	253	1 Code, with the remainder to be used by the Department of
254	254	2 Transportation upon order of the Illinois Commerce Commission,
255	255	3 to pay that part of the cost apportioned by such Commission to
256	256	4 the State to cover the interest of the public in the use of
257	257	5 highways, roads, streets, or pedestrian walkways in the county
258	258	6 highway system, township and district road system, or
259	259	7 municipal street system as defined in the Illinois Highway
260	260	8 Code, as the same may from time to time be amended, for
261	261	9 separation of grades, for installation, construction or
262	262	10 reconstruction of crossing protection or reconstruction,
263	263	11 alteration, relocation including construction or improvement
264	264	12 of any existing highway necessary for access to property or
265	265	13 improvement of any grade crossing and grade crossing surface
266	266	14 including the necessary highway approaches thereto of any
267	267	15 railroad across the highway or public road, or for the
268	268	16 installation, construction, reconstruction, or maintenance of
269	269	17 safety treatments to deter trespassing or a pedestrian walkway
270	270	18 over or under a railroad right-of-way, as provided for in and
271	271	19 in accordance with Section 18c-7401 of the Illinois Vehicle
272	272	20 Code. The Commission may order up to $2,000,000 per year in
273	273	21 Grade Crossing Protection Fund moneys for the improvement of
274	274	22 grade crossing surfaces and up to $300,000 per year for the
275	275	23 maintenance and renewal of 4-quadrant gate vehicle detection
276	276	24 systems located at non-high speed rail grade crossings. In
277	277	25 entering orders for projects for which payments from the Grade
278	278	26 Crossing Protection Fund will be made, the Commission shall
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289	289	1 account for expenditures authorized by the orders on a cash
290	290	2 rather than an accrual basis. For purposes of this requirement
291	291	3 an "accrual basis" assumes that the total cost of the project
292	292	4 is expended in the fiscal year in which the order is entered,
293	293	5 while a "cash basis" allocates the cost of the project among
294	294	6 fiscal years as expenditures are actually made. To meet the
295	295	7 requirements of this subsection, the Illinois Commerce
296	296	8 Commission shall develop annual and 5-year project plans of
297	297	9 rail crossing capital improvements that will be paid for with
298	298	10 moneys from the Grade Crossing Protection Fund. The annual
299	299	11 project plan shall identify projects for the succeeding fiscal
300	300	12 year and the 5-year project plan shall identify projects for
301	301	13 the 5 directly succeeding fiscal years. The Commission shall
302	302	14 submit the annual and 5-year project plans for this Fund to the
303	303	15 Governor, the President of the Senate, the Senate Minority
304	304	16 Leader, the Speaker of the House of Representatives, and the
305	305	17 Minority Leader of the House of Representatives on the first
306	306	18 Wednesday in April of each year;
307	307	19 (d) of the amount remaining after allocations provided for
308	308	20 in subsections (a), (a-1), (b), and (c), a sufficient amount
309	309	21 shall be reserved to pay all of the following:
310	310	22 (1) the costs of the Department of Revenue in
311	311	23 administering this Act;
312	312	24 (2) the costs of the Department of Transportation in
313	313	25 performing its duties imposed by the Illinois Highway Code
314	314	26 for supervising the use of motor fuel tax funds
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325	325	1 apportioned to municipalities, counties and road
326	326	2 districts;
327	327	3 (3) refunds provided for in Section 13, refunds for
328	328	4 overpayment of decal fees paid under Section 13a.4 of this
329	329	5 Act, and refunds provided for under the terms of the
330	330	6 International Fuel Tax Agreement referenced in Section
331	331	7 14a;
332	332	8 (4) from October 1, 1985 until June 30, 1994, the
333	333	9 administration of the Vehicle Emissions Inspection Law,
334	334	10 which amount shall be certified monthly by the
335	335	11 Environmental Protection Agency to the State Comptroller
336	336	12 and shall promptly be transferred by the State Comptroller
337	337	13 and Treasurer from the Motor Fuel Tax Fund to the Vehicle
338	338	14 Inspection Fund, and for the period July 1, 1994 through
339	339	15 June 30, 2000, one-twelfth of $25,000,000 each month, for
340	340	16 the period July 1, 2000 through June 30, 2003, one-twelfth
341	341	17 of $30,000,000 each month, and $15,000,000 on July 1,
342	342	18 2003, and $15,000,000 on January 1, 2004, and $15,000,000
343	343	19 on each July 1 and October 1, or as soon thereafter as may
344	344	20 be practical, during the period July 1, 2004 through June
345	345	21 30, 2012, and $30,000,000 on June 1, 2013, or as soon
346	346	22 thereafter as may be practical, and $15,000,000 on July 1
347	347	23 and October 1, or as soon thereafter as may be practical,
348	348	24 during the period of July 1, 2013 through June 30, 2015,
349	349	25 for the administration of the Vehicle Emissions Inspection
350	350	26 Law of 2005, to be transferred by the State Comptroller
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361	361	1 and Treasurer from the Motor Fuel Tax Fund into the
362	362	2 Vehicle Inspection Fund;
363	363	3 (4.5) beginning on July 1, 2019, the costs of the
364	364	4 Environmental Protection Agency for the administration of
365	365	5 the Vehicle Emissions Inspection Law of 2005 shall be
366	366	6 paid, subject to appropriation, from the Motor Fuel Tax
367	367	7 Fund into the Vehicle Inspection Fund; beginning in 2019,
368	368	8 no later than December 31 of each year, or as soon
369	369	9 thereafter as practical, the State Comptroller shall
370	370	10 direct and the State Treasurer shall transfer from the
371	371	11 Vehicle Inspection Fund to the Motor Fuel Tax Fund any
372	372	12 balance remaining in the Vehicle Inspection Fund in excess
373	373	13 of $2,000,000;
374	374	14 (5) amounts ordered paid by the Court of Claims; and
375	375	15 (6) payment of motor fuel use taxes due to member
376	376	16 jurisdictions under the terms of the International Fuel
377	377	17 Tax Agreement. The Department shall certify these amounts
378	378	18 to the Comptroller by the 15th day of each month; the
379	379	19 Comptroller shall cause orders to be drawn for such
380	380	20 amounts, and the Treasurer shall administer those amounts
381	381	21 on or before the last day of each month;
382	382	22 (e) after allocations for the purposes set forth in
383	383	23 subsections (a), (a-1), (b), (c), and (d), the remaining
384	384	24 amount shall be apportioned as follows:
385	385	25 (1) Until January 1, 2000, 58.4%, and beginning
386	386	26 January 1, 2000, 45.6% shall be deposited as follows:
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397	397	1 (A) 37% into the State Construction Account Fund,
398	398	2 and
399	399	3 (B) 63% into the Road Fund, $1,250,000 of which
400	400	4 shall be reserved each month for the Department of
401	401	5 Transportation to be used in accordance with the
402	402	6 provisions of Sections 6-901 through 6-906 of the
403	403	7 Illinois Highway Code;
404	404	8 (2) Until January 1, 2000, 41.6%, and beginning
405	405	9 January 1, 2000, 54.4% shall be transferred to the
406	406	10 Department of Transportation to be distributed as follows:
407	407	11 (A) 49.10% to the municipalities of the State,
408	408	12 (B) 16.74% to the counties of the State having
409	409	13 1,000,000 or more inhabitants,
410	410	14 (C) 18.27% to the counties of the State having
411	411	15 less than 1,000,000 inhabitants,
412	412	16 (D) 15.89% to the road districts of the State.
413	413	17 If a township is dissolved under Article 24 of the
414	414	18 Township Code, McHenry County shall receive any moneys
415	415	19 that would have been distributed to the township under
416	416	20 this subparagraph, except that a municipality that assumes
417	417	21 the powers and responsibilities of a road district under
418	418	22 paragraph (6) of Section 24-35 of the Township Code shall
419	419	23 receive any moneys that would have been distributed to the
420	420	24 township in a percent equal to the area of the dissolved
421	421	25 road district or portion of the dissolved road district
422	422	26 over which the municipality assumed the powers and
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433	433	1 responsibilities compared to the total area of the
434	434	2 dissolved township. The moneys received under this
435	435	3 subparagraph shall be used in the geographic area of the
436	436	4 dissolved township. If a township is reconstituted as
437	437	5 provided under Section 24-45 of the Township Code, McHenry
438	438	6 County or a municipality shall no longer be distributed
439	439	7 moneys under this subparagraph.
440	440	8 As soon as may be after the first day of each month, the
441	441	9 Department of Transportation shall allot to each municipality
442	442	10 its share of the amount apportioned to the several
443	443	11 municipalities which shall be in proportion to the population
444	444	12 of such municipalities as determined by the last preceding
445	445	13 municipal census if conducted by the Federal Government or
446	446	14 Federal census. If territory is annexed to any municipality
447	447	15 subsequent to the time of the last preceding census the
448	448	16 corporate authorities of such municipality may cause a census
449	449	17 to be taken of such annexed territory and the population so
450	450	18 ascertained for such territory shall be added to the
451	451	19 population of the municipality as determined by the last
452	452	20 preceding census for the purpose of determining the allotment
453	453	21 for that municipality. If the population of any municipality
454	454	22 was not determined by the last Federal census preceding any
455	455	23 apportionment, the apportionment to such municipality shall be
456	456	24 in accordance with any census taken by such municipality. Any
457	457	25 municipal census used in accordance with this Section shall be
458	458	26 certified to the Department of Transportation by the clerk of
459	459
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461	461
462	462
463	463
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469	469	1 such municipality, and the accuracy thereof shall be subject
470	470	2 to approval of the Department which may make such corrections
471	471	3 as it ascertains to be necessary.
472	472	4 As soon as may be after the first day of each month, the
473	473	5 Department of Transportation shall allot to each county its
474	474	6 share of the amount apportioned to the several counties of the
475	475	7 State as herein provided. Each allotment to the several
476	476	8 counties having less than 1,000,000 inhabitants shall be in
477	477	9 proportion to the amount of motor vehicle license fees
478	478	10 received from the residents of such counties, respectively,
479	479	11 during the preceding calendar year. The Secretary of State
480	480	12 shall, on or before April 15 of each year, transmit to the
481	481	13 Department of Transportation a full and complete report
482	482	14 showing the amount of motor vehicle license fees received from
483	483	15 the residents of each county, respectively, during the
484	484	16 preceding calendar year. The Department of Transportation
485	485	17 shall, each month, use for allotment purposes the last such
486	486	18 report received from the Secretary of State.
487	487	19 As soon as may be after the first day of each month, the
488	488	20 Department of Transportation shall allot to the several
489	489	21 counties their share of the amount apportioned for the use of
490	490	22 road districts. The allotment shall be apportioned among the
491	491	23 several counties in the State in the proportion which the
492	492	24 total mileage of township or district roads in the respective
493	493	25 counties bears to the total mileage of all township and
494	494	26 district roads in the State. Funds allotted to the respective
495	495
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505	505	1 counties for the use of road districts therein shall be
506	506	2 allocated to the several road districts in the county in the
507	507	3 proportion which the total mileage of such township or
508	508	4 district roads in the respective road districts bears to the
509	509	5 total mileage of all such township or district roads in the
510	510	6 county. After July 1 of any year prior to 2011, no allocation
511	511	7 shall be made for any road district unless it levied a tax for
512	512	8 road and bridge purposes in an amount which will require the
513	513	9 extension of such tax against the taxable property in any such
514	514	10 road district at a rate of not less than either .08% of the
515	515	11 value thereof, based upon the assessment for the year
516	516	12 immediately prior to the year in which such tax was levied and
517	517	13 as equalized by the Department of Revenue or, in DuPage
518	518	14 County, an amount equal to or greater than $12,000 per mile of
519	519	15 road under the jurisdiction of the road district, whichever is
520	520	16 less. Beginning July 1, 2011 and each July 1 thereafter, an
521	521	17 allocation shall be made for any road district if it levied a
522	522	18 tax for road and bridge purposes. In counties other than
523	523	19 DuPage County, if the amount of the tax levy requires the
524	524	20 extension of the tax against the taxable property in the road
525	525	21 district at a rate that is less than 0.08% of the value
526	526	22 thereof, based upon the assessment for the year immediately
527	527	23 prior to the year in which the tax was levied and as equalized
528	528	24 by the Department of Revenue, then the amount of the
529	529	25 allocation for that road district shall be a percentage of the
530	530	26 maximum allocation equal to the percentage obtained by
531	531
532	532
533	533
534	534
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541	541	1 dividing the rate extended by the district by 0.08%. In DuPage
542	542	2 County, if the amount of the tax levy requires the extension of
543	543	3 the tax against the taxable property in the road district at a
544	544	4 rate that is less than the lesser of (i) 0.08% of the value of
545	545	5 the taxable property in the road district, based upon the
546	546	6 assessment for the year immediately prior to the year in which
547	547	7 such tax was levied and as equalized by the Department of
548	548	8 Revenue, or (ii) a rate that will yield an amount equal to
549	549	9 $12,000 per mile of road under the jurisdiction of the road
550	550	10 district, then the amount of the allocation for the road
551	551	11 district shall be a percentage of the maximum allocation equal
552	552	12 to the percentage obtained by dividing the rate extended by
553	553	13 the district by the lesser of (i) 0.08% or (ii) the rate that
554	554	14 will yield an amount equal to $12,000 per mile of road under
555	555	15 the jurisdiction of the road district.
556	556	16 Prior to 2011, if any road district has levied a special
557	557	17 tax for road purposes pursuant to Sections 6-601, 6-602, and
558	558	18 6-603 of the Illinois Highway Code, and such tax was levied in
559	559	19 an amount which would require extension at a rate of not less
560	560	20 than .08% of the value of the taxable property thereof, as
561	561	21 equalized or assessed by the Department of Revenue, or, in
562	562	22 DuPage County, an amount equal to or greater than $12,000 per
563	563	23 mile of road under the jurisdiction of the road district,
564	564	24 whichever is less, such levy shall, however, be deemed a
565	565	25 proper compliance with this Section and shall qualify such
566	566	26 road district for an allotment under this Section. Beginning
567	567
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569	569
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577	577	1 in 2011 and thereafter, if any road district has levied a
578	578	2 special tax for road purposes under Sections 6-601, 6-602, and
579	579	3 6-603 of the Illinois Highway Code, and the tax was levied in
580	580	4 an amount that would require extension at a rate of not less
581	581	5 than 0.08% of the value of the taxable property of that road
582	582	6 district, as equalized or assessed by the Department of
583	583	7 Revenue or, in DuPage County, an amount equal to or greater
584	584	8 than $12,000 per mile of road under the jurisdiction of the
585	585	9 road district, whichever is less, that levy shall be deemed a
586	586	10 proper compliance with this Section and shall qualify such
587	587	11 road district for a full, rather than proportionate, allotment
588	588	12 under this Section. If the levy for the special tax is less
589	589	13 than 0.08% of the value of the taxable property, or, in DuPage
590	590	14 County if the levy for the special tax is less than the lesser
591	591	15 of (i) 0.08% or (ii) $12,000 per mile of road under the
592	592	16 jurisdiction of the road district, and if the levy for the
593	593	17 special tax is more than any other levy for road and bridge
594	594	18 purposes, then the levy for the special tax qualifies the road
595	595	19 district for a proportionate, rather than full, allotment
596	596	20 under this Section. If the levy for the special tax is equal to
597	597	21 or less than any other levy for road and bridge purposes, then
598	598	22 any allotment under this Section shall be determined by the
599	599	23 other levy for road and bridge purposes.
600	600	24 Prior to 2011, if a township has transferred to the road
601	601	25 and bridge fund money which, when added to the amount of any
602	602	26 tax levy of the road district would be the equivalent of a tax
603	603
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613	613	1 levy requiring extension at a rate of at least .08%, or, in
614	614	2 DuPage County, an amount equal to or greater than $12,000 per
615	615	3 mile of road under the jurisdiction of the road district,
616	616	4 whichever is less, such transfer, together with any such tax
617	617	5 levy, shall be deemed a proper compliance with this Section
618	618	6 and shall qualify the road district for an allotment under
619	619	7 this Section.
620	620	8 In counties in which a property tax extension limitation
621	621	9 is imposed under the Property Tax Extension Limitation Law,
622	622	10 road districts may retain their entitlement to a motor fuel
623	623	11 tax allotment or, beginning in 2011, their entitlement to a
624	624	12 full allotment if, at the time the property tax extension
625	625	13 limitation was imposed, the road district was levying a road
626	626	14 and bridge tax at a rate sufficient to entitle it to a motor
627	627	15 fuel tax allotment and continues to levy the maximum allowable
628	628	16 amount after the imposition of the property tax extension
629	629	17 limitation. Any road district may in all circumstances retain
630	630	18 its entitlement to a motor fuel tax allotment or, beginning in
631	631	19 2011, its entitlement to a full allotment if it levied a road
632	632	20 and bridge tax in an amount that will require the extension of
633	633	21 the tax against the taxable property in the road district at a
634	634	22 rate of not less than 0.08% of the assessed value of the
635	635	23 property, based upon the assessment for the year immediately
636	636	24 preceding the year in which the tax was levied and as equalized
637	637	25 by the Department of Revenue or, in DuPage County, an amount
638	638	26 equal to or greater than $12,000 per mile of road under the
639	639
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641	641
642	642
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649	649	1 jurisdiction of the road district, whichever is less.
650	650	2 As used in this Section, the term "road district" means
651	651	3 any road district, including a county unit road district,
652	652	4 provided for by the Illinois Highway Code; and the term
653	653	5 "township or district road" means any road in the township and
654	654	6 district road system as defined in the Illinois Highway Code.
655	655	7 For the purposes of this Section, "township or district road"
656	656	8 also includes such roads as are maintained by park districts,
657	657	9 forest preserve districts and conservation districts. The
658	658	10 Department of Transportation shall determine the mileage of
659	659	11 all township and district roads for the purposes of making
660	660	12 allotments and allocations of motor fuel tax funds for use in
661	661	13 road districts.
662	662	14 Payment of motor fuel tax moneys to municipalities and
663	663	15 counties shall be made as soon as possible after the allotment
664	664	16 is made. The treasurer of the municipality or county may
665	665	17 invest these funds until their use is required and the
666	666	18 interest earned by these investments shall be limited to the
667	667	19 same uses as the principal funds.
668	668	20 (Source: P.A. 101-32, eff. 6-28-19; 101-230, eff. 8-9-19;
669	669	21 101-493, eff. 8-23-19; 102-16, eff. 6-17-21; 102-558, eff.
670	670	22 8-20-21; 102-699, eff. 4-19-22.)
671	671	23 Section 10. The Illinois Municipal Code is amended by
672	672	24 changing Section 8-11-2.3 as follows:
673	673
674	674
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683	683	1 (65 ILCS 5/8-11-2.3)
684	684	2 Sec. 8-11-2.3. Municipal Motor Fuel Tax Law.
685	685	3 Notwithstanding any other provision of law, in addition to any
686	686	4 other tax that may be imposed, a municipality in a county with
687	687	5 a population of over 3,000,000 inhabitants may also impose, by
688	688	6 ordinance, a tax upon all persons engaged in the municipality
689	689	7 in the business of selling motor fuel, as defined in the Motor
690	690	8 Fuel Tax Law, at retail for the operation of motor vehicles
691	691	9 upon public highways or for the operation of recreational
692	692	10 watercraft upon waterways. The tax may be imposed, in one cent
693	693	11 increments, at a rate not to exceed $0.03 per gallon of motor
694	694	12 fuel sold at retail within the municipality for the purpose of
695	695	13 use or consumption and not for the purpose of resale. The tax
696	696	14 may not be imposed under this Section on aviation fuel, as
697	697	15 defined in Section 3 of the Retailers' Occupation Tax Act.
698	698	16 Persons subject to any tax imposed under the authority
699	699	17 granted in this Section may reimburse themselves for their
700	700	18 seller's tax liability hereunder by separately stating that
701	701	19 tax as an additional charge, which charge may be stated in
702	702	20 combination, in a single amount, with State tax which sellers
703	703	21 are required to collect under the Use Tax Act, pursuant to such
704	704	22 bracket schedules as the Department may prescribe.
705	705	23 A tax imposed pursuant to this Section, and all civil
706	706	24 penalties that may be assessed as an incident thereof, shall
707	707	25 be administered, collected, and enforced by the Department of
708	708	26 Revenue in the same manner as the tax imposed under the
709	709
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711	711
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719	719	1 Retailers' Occupation Tax Act, as now or hereafter amended,
720	720	2 insofar as may be practicable; except that in the event of a
721	721	3 conflict with the provisions of this Section, this Section
722	722	4 shall control. The Department of Revenue shall have full power
723	723	5 to: administer and enforce this Section; collect all taxes and
724	724	6 penalties due hereunder; dispose of taxes and penalties so
725	725	7 collected in the manner hereinafter provided; and determine
726	726	8 all rights to credit memoranda arising on account of the
727	727	9 erroneous payment of tax or penalty hereunder.
728	728	10 Whenever the Department determines that a refund shall be
729	729	11 made under this Section to a claimant instead of issuing a
730	730	12 credit memorandum, the Department shall notify the State
731	731	13 Comptroller, who shall cause the order to be drawn for the
732	732	14 amount specified, and to the person named, in the notification
733	733	15 from the Department. The refund shall be paid by the State
734	734	16 Treasurer out of the Municipal Motor Fuel Tax Fund.
735	735	17 The Department shall immediately pay over to the State
736	736	18 Treasurer, ex officio, as trustee, all taxes and penalties
737	737	19 collected under this Section. Those taxes and penalties shall
738	738	20 be deposited into the Municipal Motor Fuel Tax Fund, a trust
739	739	21 fund created in the State treasury. Moneys in the Municipal
740	740	22 Motor Fuel Tax Fund shall be used to make payments to
741	741	23 municipalities and for the payment of refunds under this
742	742	24 Section.
743	743	25 On or before the 25th day of each calendar month, the
744	744	26 Department shall prepare and certify to the State Comptroller
745	745
746	746
747	747
748	748
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755	755	1 the disbursement of stated sums of money to named
756	756	2 municipalities for which taxpayers have paid taxes or
757	757	3 penalties hereunder to the Department during the second
758	758	4 preceding calendar month. The amount to be paid to each
759	759	5 municipality shall be the amount (not including credit
760	760	6 memoranda) collected under this Section from retailers within
761	761	7 the municipality during the second preceding calendar month by
762	762	8 the Department, plus an amount the Department determines is
763	763	9 necessary to offset amounts that were erroneously paid to a
764	764	10 different municipality, and not including an amount equal to
765	765	11 the amount of refunds made during the second preceding
766	766	12 calendar month by the Department on behalf of the
767	767	13 municipality, and not including any amount that the Department
768	768	14 determines is necessary to offset any amounts that were
769	769	15 payable to a different municipality but were erroneously paid
770	770	16 to the municipality, less 1.5% of the remainder, which the
771	771	17 Department shall transfer into the Tax Compliance and
772	772	18 Administration Fund. The Department, at the time of each
773	773	19 monthly disbursement, shall prepare and certify to the State
774	774	20 Comptroller the amount to be transferred into the Tax
775	775	21 Compliance and Administration Fund under this Section. Within
776	776	22 10 days after receipt by the Comptroller of the disbursement
777	777	23 certification to the municipalities and the Tax Compliance and
778	778	24 Administration Fund provided for in this Section to be given
779	779	25 to the Comptroller by the Department, the Comptroller shall
780	780	26 cause the orders to be drawn for the respective amounts in
781	781
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783	783
784	784
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791	791	1 accordance with the directions contained in the certification.
792	792	2 Nothing in this Section shall be construed to authorize a
793	793	3 municipality to impose a tax upon the privilege of engaging in
794	794	4 any business which under the Constitution of the United States
795	795	5 may not be made the subject of taxation by this State.
796	796	6 An ordinance or resolution imposing or discontinuing the
797	797	7 tax under this Section or effecting a change in the rate
798	798	8 thereof shall either: (i) be adopted and a certified copy
799	799	9 thereof filed with the Department on or before the first day of
800	800	10 April, whereupon the Department shall proceed to administer
801	801	11 and enforce this Section as of the first day of July next
802	802	12 following the adoption and filing; or (ii) be adopted and a
803	803	13 certified copy thereof filed with the Department on or before
804	804	14 the first day of October, whereupon the Department shall
805	805	15 proceed to administer and enforce this Section as of the first
806	806	16 day of January next following the adoption and filing.
807	807	17 An ordinance adopted in accordance with the provisions of
808	808	18 this Section in effect before the effective date of this
809	809	19 amendatory Act of the 101st General Assembly shall be deemed
810	810	20 to impose the tax in accordance with the provisions of this
811	811	21 Section as amended by this amendatory Act of the 101st General
812	812	22 Assembly and shall be administered by the Department of
813	813	23 Revenue in accordance with the provisions of this Section as
814	814	24 amended by this amendatory Act of the 101st General Assembly;
815	815	25 provided that, on or before October 1, 2020, the municipality
816	816	26 adopts and files a certified copy of a superseding ordinance
817	817
818	818
819	819
820	820
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827	827	1 that imposes the tax in accordance with the provisions of this
828	828	2 Section as amended by this amendatory Act of the 101st General
829	829	3 Assembly. If a superseding ordinance is not so adopted and
830	830	4 filed, then the tax imposed in accordance with the provisions
831	831	5 of this Section in effect before the effective date of this
832	832	6 amendatory Act of the 101st General Assembly shall be
833	833	7 discontinued on January 1, 2021.
834	834	8 This Section shall be known and may be cited as the
835	835	9 Municipal Motor Fuel Tax Law.
836	836	10 No tax may be imposed under this Section on or after July
837	837	11 1, 2023. This is a denial and limitation under subsection (g)
838	838	12 of Section 6 of Article VII of the Illinois Constitution of the
839	839	13 power of a home rule municipality to impose a tax.
840	840	14 (Source: P.A. 101-32, eff. 6-28-19; 101-604, eff. 12-13-19.)
841	841	15 Section 99. Effective date. This Act takes effect upon
842	842	16 becoming law.
843	843
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